 aer banknote berlitz calloway centrust cluett fromstein gitano guterman hydro-quebec ipo kia memotec mlx nahb punts rake regatta rubens sim snack-food ssangyong swapo wachter
 pierre <unk> N years old will join the board as a nonexecutive director nov. N
 mr. <unk> is chairman of <unk> n.v. the dutch publishing group
 rudolph <unk> N years old and former chairman of consolidated gold fields plc was named a nonexecutive director of this british industrial conglomerate
 a form of asbestos once used to make kent cigarette filters has caused a high percentage of cancer deaths among a group of workers exposed to it more than N years ago researchers reported
 the asbestos fiber <unk> is unusually <unk> once it enters the <unk> with even brief exposures to it causing symptoms that show up decades later researchers said
 <unk> inc. the unit of new york-based <unk> corp. that makes kent cigarettes stopped using <unk> in its <unk> cigarette filters in N
 although preliminary findings were reported more than a year ago the latest results appear in today 's new england journal of medicine a forum likely to bring new attention to the problem
 a <unk> <unk> said this is an old story
 we 're talking about years ago before anyone heard of asbestos having any questionable properties
 there is no asbestos in our products now
 neither <unk> nor the researchers who studied the workers were aware of any research on smokers of the kent cigarettes
 we have no useful information on whether users are at risk said james a. <unk> of boston 's <unk> cancer institute
 dr. <unk> led a team of researchers from the national cancer institute and the medical schools of harvard university and boston university
 the <unk> spokeswoman said asbestos was used in very modest amounts in making paper for the filters in the early 1950s and replaced with a different type of <unk> in N
 from N to N N billion kent cigarettes with the filters were sold the company said
 among N men who worked closely with the substance N have died more than three times the expected number
 four of the five surviving workers have <unk> diseases including three with recently <unk> cancer
 the total of N deaths from malignant <unk> lung cancer and <unk> was far higher than expected the researchers said
 the <unk> rate is a striking finding among those of us who study <unk> diseases said dr. <unk>
 the percentage of lung cancer deaths among the workers at the west <unk> mass. paper factory appears to be the highest for any asbestos workers studied in western industrialized countries he said
 the plant which is owned by <unk> & <unk> co. was under contract with <unk> to make the cigarette filters
 the finding probably will support those who argue that the u.s. should regulate the class of asbestos including <unk> more <unk> than the common kind of asbestos <unk> found in most schools and other buildings dr. <unk> said
 the u.s. is one of the few industrialized nations that does n't have a higher standard of regulation for the smooth <unk> fibers such as <unk> that are classified as <unk> according to <unk> t. <unk> a professor of <unk> at the university of vermont college of medicine
 more common <unk> fibers are <unk> and are more easily rejected by the body dr. <unk> explained
 in july the environmental protection agency imposed a gradual ban on virtually all uses of asbestos
 by N almost all remaining uses of <unk> asbestos will be outlawed
 about N workers at a factory that made paper for the kent filters were exposed to asbestos in the 1950s
 areas of the factory were particularly dusty where the <unk> was used
 workers dumped large <unk> <unk> of the imported material into a huge <unk> poured in cotton and <unk> fibers and <unk> mixed the dry fibers in a process used to make filters
 workers described clouds of blue dust that hung over parts of the factory even though <unk> fans <unk> the area
 there 's no question that some of those workers and managers contracted <unk> diseases said <unk> phillips vice president of human resources for <unk> & <unk>
 but you have to recognize that these events took place N years ago
 it has no bearing on our work force today
 yields on money-market mutual funds continued to slide amid signs that portfolio managers expect further declines in interest rates
 the average seven-day compound yield of the N taxable funds tracked by <unk> 's money fund report eased a fraction of a percentage point to N N from N N for the week ended tuesday
 compound yields assume reinvestment of dividends and that the current yield continues for a year
 average maturity of the funds ' investments <unk> by a day to N days the longest since early august according to donoghue 's
 longer maturities are thought to indicate declining interest rates because they permit portfolio managers to retain relatively higher rates for a longer period
 shorter maturities are considered a sign of rising rates because portfolio managers can capture higher rates sooner
 the average maturity for funds open only to institutions considered by some to be a stronger indicator because those managers watch the market closely reached a high point for the year N days
 nevertheless said <unk> <unk> <unk> editor of money fund report yields may <unk> up again before they <unk> down because of recent rises in short-term interest rates
 the yield on six-month treasury bills sold at monday 's auction for example rose to N N from N N
 despite recent declines in yields investors continue to pour cash into money funds
 assets of the N taxable funds grew by $ N billion during the latest week to $ N billion
 typically money-fund yields beat comparable short-term investments because portfolio managers can vary maturities and go after the highest rates
 the top money funds are currently yielding well over N N
 dreyfus world-wide dollar the <unk> fund had a seven-day compound yield of N N during the latest week down from N N a week earlier
 it invests heavily in dollar-denominated securities overseas and is currently <unk> management fees which boosts its yield
 the average seven-day simple yield of the N funds was N N down from N N
 the 30-day simple yield fell to an average N N from N N the 30-day compound yield slid to an average N N from N N
 j.p. <unk> vice chairman of <unk> grace & co. which holds a N N interest in this <unk> company was elected a director
 he succeeds <unk> d. <unk> formerly a <unk> grace vice chairman who resigned
 <unk> grace holds three of grace energy 's seven board seats
 pacific first financial corp. said shareholders approved its acquisition by royal <unk> ltd. of toronto for $ N a share or $ N million
 the thrift holding company said it expects to obtain regulatory approval and complete the transaction by year-end
 <unk> international inc. said its <unk> & <unk> unit completed the sale of its <unk> controls operations to <unk> s.p a. for $ N million
 <unk> is an italian state-owned holding company with interests in the mechanical engineering industry
 <unk> controls based in <unk> ohio makes computerized industrial controls systems
 it employs N people and has annual revenue of about $ N million
 the federal government suspended sales of u.s. savings bonds because congress has n't lifted the ceiling on government debt
 until congress acts the government has n't any authority to issue new debt obligations of any kind the treasury said
 the government 's borrowing authority dropped at midnight tuesday to $ N trillion from $ N trillion
 legislation to lift the debt ceiling is <unk> in the fight over cutting capital-gains taxes
 the house has voted to raise the ceiling to $ N trillion but the senate is n't expected to act until next week at the earliest
 the treasury said the u.s. will default on nov. N if congress does n't act by then
 clark j. <unk> was named senior vice president and general manager of this u.s. sales and marketing arm of japanese auto maker mazda motor corp
 in the new position he will oversee mazda 's u.s. sales service parts and marketing operations
 previously mr. <unk> N years old was general marketing manager of chrysler corp. 's chrysler division
 he had been a sales and marketing executive with chrysler for N years
 when it 's time for their <unk> <unk> the nation 's manufacturing <unk> typically jet off to the <unk> <unk> of resort towns like <unk> <unk> and hot springs
 not this year
 the national association of manufacturers settled on the <unk> capital of indianapolis for its fall board meeting
 and the city decided to treat its guests more like royalty or rock stars than factory owners
 the idea of course to prove to N corporate decision makers that the buckle on the <unk> belt is n't so <unk> after all that it 's a good place for a company to expand
 on the receiving end of the message were officials from giants like du pont and <unk> along with lesser <unk> like <unk> steel and the valley queen <unk> factory
 for <unk> the executives joined mayor william h. <unk> iii for an evening of the indianapolis <unk> <unk> and a guest <unk> victor <unk>
 champagne and <unk> followed
 the next morning with a police <unk> <unk> of executives and their wives <unk> to the indianapolis motor <unk> <unk> by traffic or red lights
 the governor could n't make it so the <unk> governor welcomed the special guests
 a buffet breakfast was held in the museum where food and drinks are banned to everyday visitors
 then in the guests ' honor the <unk> <unk> out four drivers crews and even the official indianapolis N announcer for a <unk> exhibition race
 after the race fortune N executives <unk> like <unk> over the cars and drivers
 no <unk> the drivers pointed out they still had space on their machines for another sponsor 's name or two
 back downtown the <unk> squeezed in a few meetings at the hotel before <unk> the buses again
 this time it was for dinner and <unk> a block away
 under the stars and <unk> of the <unk> indiana <unk> <unk> nine of the hottest chefs in town fed them indiana <unk> <unk> <unk> <unk> <unk> <unk> and <unk> <unk> with a <unk> <unk>
 knowing a <unk> and free <unk> when they eat one the executives gave the chefs a standing <unk>
 more than a few <unk> say the <unk> treatment <unk> them to return to a <unk> city for future meetings
 but for now they 're looking forward to their winter meeting <unk> in february
 south korea registered a trade deficit of $ N million in october reflecting the country 's economic <unk> according to government figures released wednesday
 preliminary <unk> by the trade and industry ministry showed another trade deficit in october the fifth monthly setback this year casting a cloud on south korea 's <unk> economy
 exports in october stood at $ N billion a mere N N increase from a year earlier while imports increased sharply to $ N billion up N N from last october
 south korea 's economic boom which began in N stopped this year because of prolonged labor disputes trade conflicts and sluggish exports
 government officials said exports at the end of the year would remain under a government target of $ N billion
 despite the gloomy forecast south korea has recorded a trade surplus of $ N million so far this year
 from january to october the nation 's accumulated exports increased N N from the same period last year to $ N billion
 imports were at $ N billion up N N
 newsweek trying to keep pace with rival time magazine announced new advertising rates for N and said it will introduce a new incentive plan for advertisers
 the new ad plan from newsweek a unit of the washington post co. is the second incentive plan the magazine has offered advertisers in three years
 plans that give advertisers discounts for maintaining or increasing ad spending have become permanent <unk> at the news <unk> and underscore the fierce competition between newsweek time warner inc. 's time magazine and <unk> b. <unk> 's u.s. news & world report
 alan <unk> recently named newsweek president said newsweek 's ad rates would increase N N in january
 a full <unk> page in newsweek will cost $ N
 in mid-october time magazine lowered its guaranteed circulation rate base for N while not increasing ad page rates with a lower circulation base time 's ad rate will be effectively N N higher per subscriber a full page in time costs about $ N
 u.s. news has yet to announce its N ad rates
 newsweek said it will introduce the circulation credit plan which <unk> space credits to advertisers on renewal advertising
 the magazine will reward with page bonuses advertisers who in N meet or exceed their N spending as long as they spent $ N in N and $ N in N
 mr. <unk> said the plan is not an attempt to shore up a decline in ad pages in the first nine months of N newsweek 's ad pages totaled N a drop of N N from last year according to publishers information bureau
 what matters is what advertisers are paying per page and in that department we are doing fine this fall said mr. <unk>
 both newsweek and u.s. news have been gaining circulation in recent years without heavy use of electronic <unk> to subscribers such as telephones or watches
 however none of the big three <unk> recorded circulation gains recently
 according to audit bureau of <unk> time the largest <unk> had average circulation of N a decrease of N N
 newsweek 's circulation for the first six months of N was N flat from the same period last year
 u.s. news ' circulation in the same time was N down N N
 new england electric system bowed out of the bidding for public service co. of new hampshire saying that the risks were too high and the potential <unk> too far in the future to justify a higher offer
 the move leaves united illuminating co. and northeast utilities as the remaining outside bidders for ps of new hampshire which also has proposed an internal reorganization plan in chapter N bankruptcy proceedings under which it would remain an independent company
 new england electric based in <unk> mass. had offered $ N billion to acquire ps of new hampshire well below the $ N billion value united illuminating places on its bid and the $ N billion northeast says its bid is worth
 united illuminating is based in new haven conn. and northeast is based in hartford conn
 ps of new hampshire <unk> n.h. values its internal reorganization plan at about $ N billion
 john rowe president and chief executive officer of new england electric said the company 's return on equity could suffer if it made a higher bid and its forecasts related to ps of new hampshire such as growth in electricity demand and improved operating <unk> did n't come true
 when we <unk> raising our bid the risks seemed substantial and persistent over the next five years and the rewards seemed a long way out
 that got hard to take he added
 mr. rowe also noted that political concerns also worried new england electric
 no matter who owns ps of new hampshire after it emerges from bankruptcy proceedings its rates will be among the highest in the nation he said
 that attracts attention
 it was just another one of the risk factors that led to the company 's decision to withdraw from the bidding he added
 wilbur ross jr. of rothschild inc. the financial adviser to the troubled company 's equity holders said the withdrawal of new england electric might speed up the reorganization process
 the fact that new england proposed lower rate increases N N over seven years against around N N boosts proposed by the other two outside bidders complicated negotiations with state officials mr. ross asserted
 now the field is less <unk> he added
 separately the federal energy regulatory commission turned down for now a request by northeast seeking approval of its possible purchase of ps of new hampshire
 northeast said it would <unk> its request and still hopes for an <unk> review by the ferc so that it could complete the purchase by next summer if its bid is the one approved by the bankruptcy court
 ps of new hampshire shares closed yesterday at $ N off N cents in new york stock exchange composite trading
 norman <unk> N years old and former president and chief operating officer of toys r us inc. and frederick <unk> jr. N chairman of <unk> banking corp. were elected directors of this consumer electronics and appliances retailing chain
 they succeed daniel m. <unk> retired circuit city executive vice president and robert r. <unk> u.s. treasury undersecretary on the <unk> board
 commonwealth edison co. was ordered to refund about $ N million to its current and former <unk> for illegal rates collected for cost overruns on a nuclear power plant
 the refund was about $ N million more than previously ordered by the illinois commerce commission and trade groups said it may be the largest ever required of a state or local utility
 state court judge richard curry ordered edison to make average refunds of about $ N to $ N each to edison customers who have received electric service since april N including about two million customers who have moved during that period
 judge curry ordered the refunds to begin feb. N and said that he would n't <unk> any appeals or other attempts to block his order by commonwealth edison
 the refund pool may not be held <unk> through another round of appeals judge curry said
 commonwealth edison said it is already appealing the underlying commission order and is considering appealing judge curry 's order
 the exact amount of the refund will be determined next year based on actual <unk> made until dec. N of this year
 commonwealth edison said the ruling could force it to slash its N earnings by $ N a share
 for N commonwealth edison reported earnings of $ N million or $ N a share
 a commonwealth edison spokesman said that tracking down the two million customers whose addresses have changed during the past N N years would be an administrative nightmare
 in new york stock exchange composite trading yesterday commonwealth edison closed at $ N down N cents
 the $ N billion <unk> N plant near <unk> ill. was completed in N
 in a disputed N ruling the commerce commission said commonwealth edison could raise its electricity rates by $ N million to pay for the plant
 but state courts upheld a challenge by consumer groups to the commission 's rate increase and found the rates illegal
 the illinois supreme court ordered the commission to audit commonwealth edison 's construction expenses and refund any <unk> expenses
 the utility has been collecting for the plant 's construction cost from its N million customers subject to a refund since N
 in august the commission ruled that between $ N million and $ N million of the plant 's construction cost was <unk> and should be <unk> plus interest
 in his ruling judge curry added an additional $ N million to the commission 's calculations
 last month judge curry set the interest rate on the refund at N N
 commonwealth edison now faces an additional <unk> refund on its <unk> rate <unk> <unk> that the illinois appellate court has estimated at $ N million
 and consumer groups hope that judge curry 's <unk> N order may set a precedent for a second nuclear rate case involving commonwealth edison 's <unk> N plant
 commonwealth edison is seeking about $ N million in rate increases to pay for <unk> N
 the commission is expected to rule on the <unk> N case by year end
 last year commonwealth edison had to refund $ N million for poor performance of its <unk> i nuclear plant
 japan 's domestic sales of cars trucks and buses in october rose N N from a year earlier to N units a record for the month the japan automobile dealers ' association said
 the strong growth followed year-to-year increases of N N in august and N N in september
 the monthly sales have been setting records every month since march
 october sales compared with the previous month inched down N N
 sales of passenger cars grew N N from a year earlier to N units
 sales of medium-sized cars which benefited from price reductions arising from introduction of the consumption tax more than doubled to N units from N in october N
 texas instruments japan ltd. a unit of texas instruments inc. said it opened a plant in south korea to manufacture control devices
 the new plant located in <unk> about N miles from seoul will help meet increasing and diversifying demand for control products in south korea the company said
 the plant will produce control devices used in motor vehicles and household appliances
 the survival of spinoff cray computer corp. as a fledgling in the supercomputer business appears to depend heavily on the creativity and <unk> of its chairman and chief designer seymour cray
 not only is development of the new company 's initial machine tied directly to mr. cray so is its balance sheet
 documents filed with the securities and exchange commission on the pending spinoff disclosed that cray research inc. will withdraw the almost $ N million in financing it is providing the new firm if mr. cray leaves or if the <unk> project he heads is scrapped
 the documents also said that although the <unk> mr. cray has been working on the project for more than six years the cray-3 machine is at least another year away from a fully operational prototype
 moreover there have been no orders for the cray-3 so far though the company says it is talking with several prospects
 while many of the risks were anticipated when <unk> cray research first announced the spinoff in may the <unk> it attached to the financing had n't been made public until yesterday
 we did n't have much of a choice cray computer 's chief financial officer gregory <unk> said in an interview
 the theory is that seymour is the chief designer of the cray-3 and without him it could not be completed
 cray research did not want to fund a project that did not include seymour
 the documents also said that cray computer anticipates <unk> perhaps another $ N million in financing beginning next september
 but mr. <unk> called that a <unk> scenario
 the filing on the details of the spinoff caused cray research stock to jump $ N yesterday to close at $ N in new york stock exchange composite trading
 analysts noted yesterday that cray research 's decision to link its $ N million <unk> note to mr. cray 's presence will complicate a valuation of the new company
 it has to be considered as an additional risk for the investor said gary p. <unk> of <unk> group inc. minneapolis
 cray computer will be a concept stock he said
 you either believe seymour can do it again or you do n't
 besides the designer 's age other risk factors for mr. cray 's new company include the cray-3 's tricky <unk> chip technology
 the sec documents describe those chips which are made of <unk> <unk> as being so fragile and minute they will require special <unk> handling equipment
 in addition the cray-3 will contain N processors twice as many as the largest current supercomputer
 cray computer also will face intense competition not only from cray research which has about N N of the world-wide supercomputer market and which is expected to roll out the <unk> machine a direct competitor with the cray-3 in N
 the spinoff also will compete with international business machines corp. and japan 's big three hitachi ltd. nec corp. and fujitsu ltd
 the new company said it believes there are fewer than N potential customers for <unk> priced between $ N million and $ N million presumably the cray-3 price range
 under terms of the spinoff cray research stockholders are to receive one cray computer share for every two cray research shares they own in a distribution expected to occur in about two weeks
 no price for the new shares has been set
 instead the companies will leave it up to the marketplace to decide
 cray computer has applied to trade on nasdaq
 analysts calculate cray computer 's initial book value at about $ N a share
 along with the note cray research is <unk> about $ N million in assets primarily those related to the cray-3 development which has been a drain on cray research 's earnings
 <unk> balance sheets clearly show why cray research favored the spinoff
 without the cray-3 research and development expenses the company would have been able to report a profit of $ N million for the first half of N rather than the $ N million it posted
 on the other hand had it existed then cray computer would have incurred a $ N million loss
 mr. cray who could n't be reached for comment will work for the new colorado springs colo. company as an independent contractor the arrangement he had with cray research
 regarded as the father of the supercomputer mr. cray was paid $ N at cray research last year
 at cray computer he will be paid $ N
 besides messrs. cray and <unk> other senior management at the company includes neil <unk> N president and chief executive officer joseph m. <unk> N vice president engineering malcolm a. <unk> N vice president software and douglas r. <unk> N vice president hardware
 all came from cray research
 cray computer which currently employs N people said it expects a work force of N by the end of N
 john r. stevens N years old was named senior executive vice president and chief operating officer both new positions
 he will continue to report to donald <unk> president and chief executive officer
 mr. stevens was executive vice president of this <unk> holding company
 arthur a. hatch N was named executive vice president of the company
 he was previously president of the company 's eastern edison co. unit
 john d. <unk> N was named to succeed mr. hatch as president of eastern edison
 previously he was vice president of eastern edison
 robert p. <unk> N was named senior vice president of eastern utilities
 he was previously vice president
 the u.s. claiming some success in its trade <unk> removed south korea taiwan and saudi arabia from a list of countries it is closely watching for allegedly failing to honor u.s. patents <unk> and other <unk> rights
 however five other countries china thailand india brazil and mexico will remain on that so-called priority watch list as a result of an interim review u.s. trade representative carla hills announced
 under the new u.s. trade law those countries could face accelerated <unk> investigations and stiff trade sanctions if they do n't improve their protection of intellectual property by next spring
 mrs. hills said many of the N countries that she placed under <unk> degrees of scrutiny have made genuine progress on this touchy issue
 she said there is growing <unk> around the world that <unk> of <unk> rights <unk> all trading nations and particularly the creativity and <unk> of an <unk> country 's own citizens
 u.s. trade negotiators argue that countries with inadequate <unk> for <unk> rights could be hurting themselves by discouraging their own scientists and authors and by <unk> u.s. high-technology firms from investing or marketing their best products there
 mrs. hills <unk> south korea for creating an <unk> task force and special enforcement teams of police officers and prosecutors trained to pursue movie and book <unk>
 seoul also has instituted effective <unk> procedures to aid these teams she said
 taiwan has improved its standing with the u.s. by <unk> a <unk> copyright agreement <unk> its trademark law and introducing legislation to protect foreign movie producers from unauthorized <unk> of their films
 that measure could <unk> taipei 's growing number of small <unk> <unk> to pay movie producers for showing their films
 saudi arabia for its part has vowed to enact a copyright law compatible with international standards and to apply the law to computer software as well as to literary works mrs. hills said
 these three countries are n't completely off the hook though
 they will remain on a <unk> list that includes N other countries
 those countries including japan italy canada greece and spain are still of some concern to the u.s. but are deemed to pose <unk> problems for american patent and copyright owners than those on the priority list
 gary hoffman a washington lawyer specializing in <unk> cases said the threat of u.s. <unk> combined with a growing recognition that protecting intellectual property is in a country 's own interest prompted the improvements made by south korea taiwan and saudi arabia
 what this tells us is that u.s. trade law is working he said
 he said mexico could be one of the next countries to be removed from the priority list because of its efforts to craft a new patent law
 mrs. hills said that the u.s. is still concerned about disturbing developments in turkey and continuing slow progress in malaysia
 she did n't elaborate although earlier u.s. trade reports have complained of videocassette <unk> in malaysia and <unk> for u.s. pharmaceutical patents in turkey
 the N trade act requires mrs. hills to issue another review of the performance of these countries by april N
 so far mrs. hills has n't deemed any cases bad enough to merit an accelerated investigation under the so-called special N provision of the act
 argentina said it will ask creditor banks to <unk> its foreign debt of $ N billion the <unk> in the developing world
 the declaration by economy minister <unk> <unk> is believed to be the first time such an action has been called for by an <unk> official of such <unk>
 the latin american nation has paid very little on its debt since early last year
 argentina <unk> to reach a reduction of N N in the value of its external debt mr. <unk> said through his spokesman <unk> <unk>
 mr. <unk> met in august with u.s. assistant treasury secretary david mulford
 <unk> negotiator carlos <unk> was in washington and new york this week to meet with banks
 mr. <unk> recently has said the government of president carlos <unk> who took office july N feels a significant reduction of principal and interest is the only way the debt problem may be solved
 but he has not said before that the country wants half the debt <unk>
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 three computers that changed the face of personal computing were launched in N
 that year the apple ii commodore pet and tandy <unk> came to market
 the computers were crude by today 's standards
 apple ii owners for example had to use their television sets as screens and <unk> data on <unk>
 but apple ii was a major advance from apple i which was built in a garage by stephen <unk> and steven jobs for <unk> such as the <unk> computer club
 in addition the apple ii was an affordable $ N
 crude as they were these early pcs triggered explosive product development in desktop models for the home and office
 big mainframe computers for business had been around for years
 but the new N pcs unlike earlier <unk> types such as the <unk> <unk> and <unk> had <unk> and could store about two pages of data in their memories
 current pcs are more than N times faster and have memory capacity N times greater than their N counterparts
 there were many pioneer pc <unk>
 william gates and paul allen in N developed an early <unk> system for pcs and gates became an industry billionaire six years after ibm adapted one of these versions in N
 alan f. <unk> currently chairman of seagate technology led the team that developed the disk drives for pcs
 dennis <unk> and dale <unk> two atlanta engineers were <unk> of the internal <unk> that allow pcs to share data via the telephone
 ibm the world leader in computers did n't offer its first pc until august N as many other companies entered the market
 today pc shipments annually total some $ N billion world-wide
 <unk> <unk> & co. an australian pharmaceuticals company said its <unk> inc. affiliate acquired <unk> inc. for $ N million
 <unk> is a new <unk> pharmaceuticals concern that sells products under the <unk> label
 <unk> said it owns N N of <unk> 's voting stock and has an agreement to acquire an additional N N
 that stake together with its convertible preferred stock holdings gives <unk> the right to increase its interest to N N of <unk> 's voting stock
 oil production from australia 's bass <unk> fields will be raised by N barrels a day to about N barrels with the launch of the <unk> field the first of five small fields scheduled to be brought into production before the end of N
 esso australia ltd. a unit of new york-based exxon corp. and broken hill <unk> operate the fields in a joint venture
 esso said the <unk> field started production tuesday
 output will be gradually increased until it reaches about N barrels a day
 the field has reserves of N million barrels
 reserves for the five new fields total N million barrels
 the <unk> and <unk> fields are expected to start producing early next year and the <unk> and <unk> fields later next year
 esso said the fields were developed after the australian government decided in N to make the first N million barrels from new fields free of <unk> tax
 <unk> <unk> corp. said it completed the $ N million sale of its southern optical subsidiary to a group led by the unit 's president thomas r. sloan and other managers
 following the acquisition of <unk> <unk> by a buy-out group led by shearson lehman hutton earlier this year the maker of <unk> <unk> decided to <unk> itself of certain of its <unk> businesses
 the sale of southern optical is a part of the program
 the white house said president bush has approved duty-free treatment for imports of certain types of watches that are n't produced in significant quantities in the u.s. the virgin islands and other u.s. <unk>
 the action came in response to a petition filed by <unk> inc. for changes in the u.s. <unk> system of preferences for imports from developing nations
 previously watch imports were denied such duty-free treatment
 <unk> had requested duty-free treatment for many types of watches covered by N different u.s. tariff <unk>
 the white house said mr. bush decided to grant duty-free status for N categories but turned down such treatment for other types of watches because of the potential for material injury to watch producers located in the u.s. and the virgin islands
 <unk> is a major u.s. producer and seller of watches including <unk> <unk> watches assembled in the philippines and other developing nations covered by the u.s. tariff preferences
 u.s. trade officials said the philippines and thailand would be the main beneficiaries of the president 's action
 imports of the types of watches that now will be eligible for duty-free treatment totaled about $ N million in N a relatively small share of the $ N billion in u.s. watch imports that year according to an aide to u.s. trade representative carla hills
 magna international inc. 's chief financial officer james mcalpine resigned and its chairman frank <unk> is stepping in to help turn the <unk> manufacturer around the company said
 mr. <unk> will direct an effort to reduce overhead and curb capital spending until a more satisfactory level of profit is achieved and maintained magna said
 stephen <unk> currently vice president finance will succeed mr. mcalpine
 an ambitious expansion has left magna with excess capacity and a heavy debt load as the automotive industry enters a downturn
 the company has reported declines in operating profit in each of the past three years despite steady sales growth
 magna recently cut its quarterly dividend in half and the company 's class a shares are <unk> far below their 52-week high of N canadian dollars us$ N
 on the toronto stock exchange yesterday magna shares closed up N canadian cents to c$ N
 mr. <unk> founder and controlling shareholder of magna resigned as chief executive officer last year to seek unsuccessfully a seat in canada 's parliament
 analysts said mr. <unk> wants to resume a more influential role in running the company
 they expect him to cut costs throughout the organization
 the company said mr. <unk> will personally direct the restructuring <unk> by <unk> <unk> president and chief executive
 neither they nor mr. mcalpine could be reached for comment
 magna said mr. mcalpine resigned to pursue a consulting career with magna as one of his clients
 lord <unk> <unk> chairman of english china <unk> plc was named a nonexecutive director of this british chemical company
 japanese investors nearly <unk> bought up two new mortgage <unk> mutual funds totaling $ N million the u.s. federal national mortgage association said
 the purchases show the strong interest of japanese investors in u.s. <unk> instruments fannie mae 's chairman david o. maxwell said at a news conference
 he said more than N N of the funds were placed with japanese institutional investors
 the rest went to investors from france and hong kong
 earlier this year japanese investors snapped up a similar $ N million mortgage-backed securities mutual fund
 that fund was put together by blackstone group a new york investment bank
 the latest two funds were assembled jointly by goldman sachs & co. of the u.s. and japan 's daiwa securities co
 the new seven-year funds one offering a fixed-rate return and the other with a floating-rate return linked to the london interbank offered rate offer two key advantages to japanese investors
 first they are designed to eliminate the risk of prepayment mortgage-backed securities can be retired early if interest rates decline and such prepayment forces investors to <unk> their money at lower rates
 second they channel monthly mortgage payments into semiannual payments reducing the administrative burden on investors
 by addressing those problems mr. maxwell said the new funds have become extremely attractive to japanese and other investors outside the u.s.
 such devices have boosted japanese investment in mortgage-backed securities to more than N N of the $ N billion in such instruments outstanding and their purchases are growing at a rapid rate
 they also have become large purchasers of fannie mae 's corporate debt buying $ N billion in fannie mae bonds during the first nine months of the year or almost a <unk> of the total amount issued
 james l. <unk> <unk> executive vice president was named a director of this oil concern expanding the board to N members
 ltv corp. said a federal bankruptcy court judge agreed to extend until march N N the period in which the steel aerospace and energy products company has the exclusive right to file a reorganization plan
 the company is operating under chapter N of the federal bankruptcy code giving it court protection from creditors ' lawsuits while it attempts to work out a plan to pay its debts
 italian chemical giant montedison <unk> through its montedison acquisition n.v. indirect unit began its $ <unk> tender offer for all the common shares outstanding of erbamont n.v. a maker of pharmaceuticals incorporated in the netherlands
 the offer advertised in today 's editions of the wall street journal is scheduled to expire at the end of november
 montedison currently owns about N N of erbamont 's common shares outstanding
 the offer is being launched <unk> to a previously announced agreement between the companies
 japan 's reserves of gold convertible foreign currencies and special drawing rights fell by a hefty $ N billion in october to $ N billion the finance ministry said
 the total marks the sixth consecutive monthly decline
 the <unk> downturn reflects the intensity of bank of japan <unk> intervention since june when the u.s. currency temporarily surged above the N yen level
 the announcement follows a sharper $ N billion decline in the country 's foreign reserves in september to $ N billion
 pick a country any country
 it 's the latest investment craze sweeping wall street a rash of new closed-end country funds those publicly traded portfolios that invest in stocks of a single foreign country
 no fewer than N country funds have been launched or registered with regulators this year triple the level of all of N according to charles e. simon & co. a washington-based research firm
 the turf recently has ranged from chile to <unk> to portugal
 next week the philippine fund 's launch will be capped by a visit by philippine president <unk> aquino the first time a head of state has kicked off an issue at the big board here
 the next province
 anything 's possible how about the new guinea fund <unk> george foot a managing partner at <unk> management associates of <unk> mass
 the recent explosion of country funds <unk> the closed-end fund mania of the 1920s mr. foot says when narrowly focused funds grew wildly popular
 they fell into <unk> after the N crash
 unlike traditional <unk> mutual funds most of these <unk> portfolios are the closed-end type issuing a fixed number of shares that trade publicly
 the surge brings to nearly N the number of country funds that are or soon will be listed in new york or london
 these funds now account for several billions of dollars in assets
 people are looking to stake their claims now before the number of available nations runs out says michael porter an analyst at smith barney harris upham & co. new york
 behind all the <unk> is some <unk> competition
 as individual investors have turned away from the stock market over the years securities firms have scrambled to find new products that brokers find easy to sell
 and the firms are stretching their <unk> far and wide to do it
 financial planners often urge investors to diversify and to hold a <unk> of international securities
 and many emerging markets have <unk> more mature markets such as the u.s. and japan
 country funds offer an easy way to get a taste of foreign stocks without the hard research of seeking out individual companies
 but it does n't take much to get burned
 political and currency gyrations can <unk> the funds
 another concern the funds ' share prices tend to swing more than the broader market
 when the stock market dropped nearly N N oct. N for instance the mexico fund plunged about N N and the spain fund fell N N
 and most country funds were clobbered more than most stocks after the N crash
 what 's so wild about the funds ' frenzy right now is that many are trading at historically fat premiums to the value of their underlying portfolios
 after trading at an average discount of more than N N in late N and part of last year country funds currently trade at an average premium of N N
 the reason share prices of many of these funds this year have climbed much more sharply than the foreign stocks they hold
 it 's probably worth paying a premium for funds that invest in markets that are partially closed to foreign investors such as south korea some specialists say
 but some european funds recently have skyrocketed spain fund has surged to a startling N N premium
 it has been targeted by japanese investors as a good long-term play tied to N 's european economic integration
 and several new funds that are n't even fully invested yet have jumped to trade at big premiums
 i 'm very alarmed to see these rich <unk> says smith barney 's mr. porter
 the newly <unk> premiums reflect the increasingly global marketing of some country funds mr. porter suggests
 unlike many u.s. investors those in asia or europe seeking <unk> exposure may be less <unk> to paying higher prices for country funds
 there may be an international viewpoint cast on the funds listed here mr. porter says
 nonetheless plenty of u.s. analysts and money managers are <unk> at the <unk> trading levels of some country funds
 they argue that u.s. investors often can buy american depositary receipts on the big stocks in many funds these so-called adrs represent shares of foreign companies traded in the u.s.
 that way investors can essentially buy the funds without paying the premium
 for people who insist on jumping in now to buy the funds <unk> 's mr. foot says the only advice i have for these folks is that those who come to the party late had better be ready to leave quickly
 the u.s. and soviet union are holding technical talks about possible repayment by moscow of $ N million in <unk> russian debts owed to the u.s. government the state department said
 if the debts are repaid it could clear the way for soviet bonds to be sold in the u.s.
 however after two meetings with the soviets a state department spokesman said that it 's too early to say whether that will happen
 <unk> with the talks the state department said it has permitted a soviet bank to open a new york branch
 the branch of the bank for foreign economic affairs was approved last spring and opened in july
 but a soviet bank here would be <unk> unless moscow found a way to settle the $ N million debt which was lent to the country 's short-lived democratic <unk> government before the communists seized power in N
 under a N law the johnson debt default act as amended it 's illegal for americans to extend credit to countries in default to the u.s. government unless they are members of the world bank and international monetary fund
 the u.s.s.r. belongs to neither organization
 moscow has settled <unk> debts with other countries in recent years at less than face value
 the state department stressed the <unk> debts as the key to satisfying the johnson act
 but the soviets might still face legal obstacles to raising money in the u.s. until they settle hundreds of millions of dollars in additional debt still outstanding from the world war ii <unk> program
 in another reflection that the growth of the economy is <unk> off the government said that orders for manufactured goods and spending on construction failed to rise in september
 meanwhile the national association of purchasing management said its latest survey indicated that the manufacturing economy contracted in october for the sixth consecutive month
 its index inched up to N N in october from N N in september
 any reading below N N suggests the manufacturing sector is generally declining
 the purchasing managers however also said that orders turned up in october after four months of decline
 factories booked $ N billion in orders in september nearly the same as the $ N billion in august the commerce department said
 if not for a N N surge in orders for capital goods by defense contractors factory orders would have fallen N N
 in a separate report the department said construction spending ran at an annual rate of $ N billion not significantly different from the $ N billion reported for august
 private construction spending was down but government building activity was up
 the figures in both reports were adjusted to remove the effects of usual seasonal patterns but were n't adjusted for inflation
 kenneth <unk> economist for society corp. a cleveland bank said demand for exports of factory goods is beginning to <unk> off
 at the same time the drop in interest rates since the spring has failed to revive the residential construction industry
 what sector is stepping forward to pick up the slack he asked
 i draw a blank
 by most measures the nation 's industrial sector is now growing very slowly if at all
 factory <unk> fell in september
 so did the federal reserve board 's <unk> index
 yet many economists are n't predicting that the economy is about to slip into recession
 they cite a lack of imbalances that provide early warning signals of a downturn
 inventories are closely watched for such clues for instance
 economists say a buildup in inventories can <unk> cutbacks in production that can lead to a recession
 but yesterday 's factory orders report had good news on that front it said factory inventories fell N N in september the first decline since february N
 this <unk> to the soft landing scenario said elliott <unk> an economist at donaldson lufkin & jenrette securities corp
 i do n't see any signs that inventories are excessive
 a soft landing is an economic slowdown that <unk> inflation without leading to a recession
 the department said orders for <unk> goods those intended to last fewer than three years fell N N in september to $ N billion after climbing N N the month before
 orders for durable goods were up N N to $ N billion after rising N N the month before
 the department previously estimated that <unk> orders fell N N in september
 factory shipments fell N N to $ N billion after rising N N in august
 shipments have been relatively level since january the commerce department noted
 manufacturers ' backlogs of unfilled orders rose N N in september to $ N billion helped by strength in the defense capital goods sector
 excluding these orders backlogs declined N N
 in its construction spending report the commerce department said residential construction which accounts for nearly half of all construction spending was off N N in september to an annual rate of $ N billion
 david <unk> economist for the mortgage bankers association predicted the drop in interest rates eventually will boost spending on single-family homes but probably not until early next year
 spending on private <unk> construction was off N N to an annual rate of $ N billion with no sector showing strength
 government construction spending rose N N to $ N billion
 after adjusting for inflation the commerce department said construction spending did n't change in september
 for the first nine months of the year total construction spending ran about N N above last year 's level
 the government 's construction spending figures contrast with a report issued earlier in the week by mcgraw-hill inc. 's <unk> dodge group
 dodge reported an N N increase in construction contracts awarded in september
 the <unk> counts money as it is spent dodge counts contracts when they are awarded
 the government includes money spent on residential <unk> dodge does n't
 although the purchasing managers ' index continues to indicate a slowing economy it is n't <unk> an imminent recession said robert <unk> chairman of the association 's survey committee and director of materials management at pitney bowes inc. stamford conn
 he said the index would have to be in the low N N range for several months to be considered a forecast of recession
 the report offered new evidence that the nation 's export growth though still continuing may be slowing
 only N N of the purchasing managers reported better export orders in october down from N N in september
 and N N said export orders were down last month compared with N N the month before
 the <unk> managers ' report also added evidence that inflation is under control
 for the fifth consecutive month purchasing managers said prices for the goods they purchased fell
 the decline was even <unk> than in september
 they also said that vendors were delivering goods more quickly in october than they had for each of the five previous months
 economists consider that a sign that <unk> pressures are <unk>
 when demand is stronger than suppliers can handle and delivery times <unk> prices tend to rise
 the purchasing managers ' report is based on data provided by more than N purchasing executives
 each of the survey 's indicators <unk> the difference between the number of purchasers reporting improvement in a particular area and the number reporting a worsening
 for the first time the october survey polled members on imports
 it found that of the N N who import N N said they imported more in october and N N said they imported less than the previous month
 while acknowledging one month 's figures do n't prove a trend mr. <unk> said it does lead you to suspect imports are going down or at least not increasing that much
 items listed as being in short supply numbered only about a dozen but they included one <unk> milk and milk <unk>
 it 's an odd thing to put on the list mr. <unk> noted
 he said that for the second month in a row food processors reported a shortage of <unk> dry milk
 they blamed increased demand for dairy products at a time of exceptionally high u.s. exports of dry milk coupled with very low import quotas
 <unk> <unk> in new york contributed to this article
 here are the commerce department 's figures for construction spending in billions of dollars at seasonally adjusted annual rates
 here are the commerce department 's latest figures for manufacturers in billions of dollars seasonally adjusted
 judging from the <unk> in <unk> <unk> 's a wild sheep chase <unk> N pages $ N baby boomers on both sides of the pacific have a lot in common
 although set in japan the novel 's <unk> is almost entirely western especially american
 characters drink <unk> dogs <unk> <unk> b. <unk> and watch bugs bunny reruns
 they read <unk> <unk> and talk about <unk> and <unk>
 they worry about their careers drink too much and suffer through broken <unk> and <unk> affairs
 this is japan
 for an american reader part of the <unk> of this engaging novel should come in recognizing that japan is n't the <unk> society of contemporary american <unk>
 it 's also <unk> to read a japanese author who clearly does n't belong to the <unk> <unk> school of writers who <unk> the notion of the unique japanese <unk> by outsiders
 if a wild sheep chase carries an implicit message for international relations it 's that the japanese are more like us than most of us think
 that 's not to say that the <unk> plot of a wild sheep chase is rooted in reality
 it 's <unk> and often funny
 a <unk> <unk> <unk> hero sets off for snow country in search of an <unk> sheep with a star on its back at the <unk> of a <unk> <unk> <unk> with a stanford degree
 he has in <unk> his <unk> girlfriend whose sassy <unk> mark her as anything but a <unk> <unk>
 along the way he meets a <unk> christian <unk> who offers the hero god 's phone number and the sheep man a sweet <unk> figure who wears what else a <unk>
 the 40-year-old mr. <unk> is a publishing <unk> in japan
 a more recent novel norwegian wood every japanese under N seems to be <unk> in <unk> <unk> has sold more than four million copies since <unk> published it in N
 but he is just one of several <unk> writers tokyo 's <unk> pack who are <unk> the <unk> charts in japan
 their books are written in <unk> contemporary language and usually carry hefty <unk> of <unk>
 in robert <unk> 's you <unk> have macmillan N pages $ N the <unk> give way to baseball in the <unk> version we would be hard put to call a game
 as mr. <unk> describes it <unk> baseball is a mirror of japan 's <unk> <unk> of hard work and harmony
 <unk> is japanese for team spirit and japanese <unk> have miles and miles of it
 a player 's commitment to practice and team image is as important as his <unk> average
 polls once named tokyo giants star <unk> <unk> a <unk> <unk> <unk> soul as the male symbol of japan
 but other than the fact that <unk> is played with a ball and a bat it 's <unk> fans <unk> return <unk> balls to stadium <unk> the strike zone <unk> depending on the size of the <unk> ties are permitted even welcomed since they <unk> <unk> the shame of defeat players must <unk> by strict rules of conduct even in their personal lives players for the tokyo giants for example must always wear ties when on the road
 you <unk> have <unk> is the often amusing <unk> of how american <unk> <unk> to two per team fare in japan
 despite the enormous sums of money they 're paid to stand up at a japanese plate a good number decide it 's not worth it and run for home
 funny business <unk> N pages $ N by gary <unk> is anything but
 it 's the <unk> complaint of an <unk> american whom sony <unk> for a year while he was on a <unk> <unk> in tokyo to the regret of both parties
 in sometimes amusing more often <unk> even vicious <unk> mr. <unk> describes how sony <unk> even the most mundane aspects of its workers ' lives at the <unk> office where employees are assigned lunch partners and at home in the <unk> company <unk> run by a <unk> <unk>
 some of his <unk> about japanese management style are on the mark
 it 's probably true that many <unk> put in <unk> overtime just for the <unk> of solidarity that the system is so <unk> that only the assistant manager can talk to the manager and the manager to the general manager and that sony was <unk> of letting a young short-term american employee take on any responsibility
 all of this must have been <unk> frustrating to mr. <unk> who went to sony with degrees in business and computer science and was <unk> to <unk> another <unk>
 but sony ultimately took a lesson from the american management books and fired mr. <unk> after he committed the social crime of making an appointment to see the venerable <unk> <unk> founder of sony
 it 's a shame their meeting never took place
 mr. <unk> certainly would have learned something and it 's even possible mr. <unk> would have too
 ms. <unk> the journal 's deputy editorial features editor worked in tokyo for three years
 more and more corners of the globe are becoming free of tobacco smoke
 in singapore a new law requires smokers to put out their cigarettes before entering restaurants department stores and sports centers or face a $ N fine
 <unk> and private clubs are exempt from the ban and smoking will be permitted in bars except during <unk> hours an official said
 singapore already bans smoking in all theaters buses public elevators hospitals and fast-food restaurants
 in malaysia <unk> <unk> <unk> a deputy minister in the prime minister 's office launched a <unk> week at the <unk> institute of technology near kuala lumpur and urged other schools to ban <unk> smoking
 south korea has different concerns
 in seoul officials began visiting about N cigarette <unk> to remove illegal <unk> and <unk> advertising imported cigarettes
 south korea has opened its market to foreign cigarettes but restricts advertising to designated places
 a marketing study indicates that hong kong consumers are the most <unk> in the N major markets where the survey was carried out
 the study by the backer spielvogel bates ad agency also found that the colony 's consumers feel more pressured than those in any of the other surveyed markets which include the u.s. and japan
 the survey found that nearly half of hong kong consumers <unk> what it identified as <unk> values compared with about one-third in japan and the u.s.
 more than three in five said they are under a great deal of stress most of the time compared with less than one in two u.s. consumers and one in four in japan
 the <unk> cabinet endorsed finance minister <unk> <unk> 's proposal to build a $ N million conference center for a joint meeting of the world bank and international monetary fund two years from now
 the meeting which is expected to draw N to <unk> was going to be held at the central plaza hotel but the government balked at the hotel 's conditions for undertaking necessary expansion
 a major concern about the current plan is whether the new center can be built in such a short time
 <unk> arafat has written to the chairman of the international olympic committee asking him to back a palestinian bid to join the committee the <unk> liberation organization news agency <unk> said
 an official of the palestinian olympic committee said the committee first applied for membership in N and renewed its application in august of this year
 the plo in recent months has been trying to join international organizations but failed earlier this year to win membership in the world health organization and the world tourism organization
 a beijing <unk> assistant has become the first <unk> chinese to get aids through sex the people 's daily said
 it said the man whom it did not name had been found to have the disease after hospital tests
 once the disease was confirmed all the man 's associates and family were tested but none have so far been found to have aids the newspaper said
 the man had for a long time had a chaotic sex life including relations with foreign men the newspaper said
 the polish government increased home electricity charges by N N and doubled gas prices
 the official news agency <unk> said the increases were intended to bring <unk> low energy charges into line with production costs and compensate for a rise in coal prices
 in <unk> news south korea in establishing diplomatic ties with poland yesterday announced $ N million in loans to the financially strapped warsaw government
 in a victory for environmentalists hungary 's parliament terminated a multibillion-dollar river <unk> dam being built by <unk> firms
 the <unk> dam was designed to be <unk> with another dam now nearly complete N miles <unk> in czechoslovakia
 in ending hungary 's part of the project parliament authorized prime minister <unk> <unk> to modify a N agreement with czechoslovakia which still wants the dam to be built
 mr. <unk> said in parliament that czechoslovakia and hungary would suffer environmental damage if the <unk> <unk> were built as planned
 czechoslovakia said in may it could seek $ N billion from hungary if the <unk> contract were broken
 the <unk> dam ca n't be operated solely at peak periods without the <unk> project
 a painting by august <unk> set a <unk> price record when it sold at auction in stockholm for $ N million
 <unk> ii was painted in oils by the playwright in N
 after years of decline <unk> in france showed a N N <unk> last year with N more couples <unk> <unk> in N than in the previous year the national statistics office said
 but the number of <unk> last year N was still well below the N registered in N the last year of increasing <unk>
 <unk> ltd. said it agreed to issue N million canadian dollars us$ N million of N N senior debentures due nov. N N together with N bond purchase warrants
 the toronto-based real estate concern said each bond warrant <unk> the holder to buy c$ N principal amount of debentures at par plus accrued interest to the date of purchase
 the warrants expire nov. N N
 the issue will be <unk> into fixed-rate u.s. dollars at a rate the company said is less than N N a spokesman declined to elaborate
 lead underwriters for the issue are <unk> <unk> inc. and <unk> dominion securities inc. both toronto-based investment dealers
 <unk> said it expects to complete the issue by the end of the month
 as an actor charles lane is n't the <unk> of charlie <unk> 's spirit
 steve martin has already laid his claim to that
 but it is mr. lane as movie director producer and writer who has been <unk> with <unk> <unk> 's little tramp in a contemporary way
 in N as a film student at the purchase campus of the state university of new york mr. lane shot a place in time a <unk> black-and-white film about a <unk> artist a man of the streets
 now N years later mr. lane has revived his artist in a <unk> movie called sidewalk stories a <unk> piece of work about a <unk> tramp
 of course if the film contained dialogue mr. lane 's artist would be called a homeless person
 so would the little tramp for that matter
 i say contained dialogue because sidewalk stories is n't really silent at all
 <unk> marc <unk> a college friend of mr. lane 's who earns his living playing the double bass in classical music <unk> has prepared an exciting <unk> score that tells you what the characters are thinking and feeling far more precisely than <unk> or even words would
 much of mr. lane 's film takes a highly <unk> view of life on the streets though probably no more <unk> than mr. <unk> 's notion of the tramp as the <unk> free spirit
 <unk> in lovely black and white by bill <unk> the new york streets of sidewalk stories seem benign
 on wall street men and women walk with great purpose <unk> one another only when they <unk> for <unk>
 the artist hangs out in greenwich village on a strip of sixth avenue <unk> by <unk> <unk> and other <unk> <unk>
 this clearly is not real life no crack dealers no <unk> men selling four-year-old copies of <unk> no one <unk> up in a <unk> box
 the artist has his routine
 he spends his days <unk> <unk> or trying to
 at night he returns to the <unk> building he calls home
 his life including his <unk> with a competing <unk> artist seems <unk>
 he is his own man
 then just as the tramp is given a blind girl to cure in city lights the artist is put in charge of returning a <unk> <unk> <unk> <unk> whose father has been murdered by <unk> to her mother
 this <unk> child turns out to be a blessing and a <unk>
 she gives the artist a sense of purpose but also <unk> him to the serious <unk> of his <unk> life
 the <unk> at the <unk> mission seem far <unk> when he has to <unk> a little girl into one of them at night
 to further load the stakes mr. lane <unk> up a highly <unk> <unk> for the artist with a young woman who owns her own children 's shop and who lives in an expensive <unk> apartment building
 this story line might <unk> more strongly if mr. lane had as strong a presence in front of the camera as he does behind it
 mr. lane 's final purpose is n't to <unk> the artist 's <unk> existence
 he has a point he wants to make and he makes it with a great deal of force
 the movie ends with sound the sound of street people talking and there is n't anything <unk> or <unk> in those rough beaten voices
 the french film maker <unk> <unk> has managed another kind of weird achievement with his story of women
 he has made a harsh brilliant picture one that 's <unk> about a character who viewed from the most sympathetic <unk> would seem <unk>
 yet this woman <unk> <unk> carries historical significance both as one of the last women to be executed in france and as a symbol of the <unk> government 's <unk>
 while <unk> <unk> with the germans during world war ii in the deaths of thousands of resistance <unk> and <unk> its officials needed a <unk> <unk> <unk>
 <unk> a <unk> <unk> was their woman
 she became an <unk> <unk> and continued because it enabled her to buy <unk> cocoa and other <unk> <unk>
 she was <unk> and in one <unk> job killed a client
 her <unk> was <unk> and brief
 although she was kind and <unk> to her children she was <unk> to her <unk> husband she openly brought her <unk> into their home
 as presented by mr. <unk> and played with <unk> intensity by <unk> <unk> <unk> called <unk> <unk> in the film was not a nice person
 but she did n't deserve to have her head <unk> off
 there is very little to recommend old <unk> a confused <unk> of the carlos <unk> novel of the mexican revolution
 most of the picture is taken up with endless scenes of many people either fighting or eating and drinking to <unk> victory
 i mention the picture only because many bad movies have a bright spot and this one has gregory peck in a <unk> loose and energetic portrayal of an old man who wants to die the way he wants to die
 video tip before seeing sidewalk stories take a look at city lights <unk> 's tramp at his <unk>
 boeing co. said it is discussing plans with three of its regular japanese suppliers to possibly help build a larger version of its popular N <unk>
 the discussions are still in preliminary stages and the specific details have n't been worked out between the seattle aerospace company and <unk> heavy industries ltd. mitsubishi heavy industries ltd. and fuji heavy industries ltd
 the three japanese companies build the body sections of the N accounting for a combined N N of the aircraft
 japanese press reports have speculated that the japanese contribution could rise to between N N and N N under the new program
 if boeing goes ahead with the larger N the plane could hit the market in the mid-1990s
 this is the year the negative ad for years a secondary presence in most political campaigns became the main event
 the irony is that the attack commercial after getting a boost in last year 's presidential campaign has come of age in an <unk> election year with only a few <unk> scattered across the country
 but in the three leading political <unk> of N the negative ads have reached new levels of <unk> raising fears that this kind of <unk> empty of significant issues is <unk> in a new era of campaigns without content
 now says joseph <unk> a pioneer in political television the idea is to attack first last and always
 a trend that started with the first <unk> of politics accelerated with the <unk> of the television age and became a <unk> art form in N has reached an entirely new stage
 to get people 's attention these days says douglas <unk> a political consultant your tv ad needs to be bold and entertaining and more often than not that means <unk>
 and unlike a few years ago you do n't even have to worry whether the ad is <unk>
 in N as often as not the principal fights in the major campaigns are prompted by the ads themselves
 take a look then at the main attack commercials that set the tone for tuesday 's elections in new york city new jersey and virginia
 new york city
 the screen <unk> with a small tight <unk> shot of david dinkins democratic candidate for mayor of new york city
 david dinkins failed to file his income taxes for four straight years says a <unk> male voice
 and then this television commercial paid for by republican rudolph giuliani 's campaign and produced by roger <unk> the master of negative tv ads really gets down to business
 mr. dinkins the ad charges also failed to report his campaign contributions accurately <unk> his links to a failing insurance company and paid a convicted <unk> through a phony organization with no members no receipts and no office
 david dinkins says the <unk> why does he always wait until he 's caught
 nasty <unk> says john <unk> mr. dinkins 's issues director designed to <unk> a case of political corruption that simply does n't exist
 <unk> by the giuliani ads mr. dinkins 's tv consultants robert <unk> and david <unk> finally <unk> a negative ad of their own
 the screen shows two distorted <unk> photos presumably of two politicians
 compare two candidates for mayor says the announcer
 one says he 's for banning <unk> bullets
 the other has opposed a ban on <unk> bullets
 one claims he 's pro-choice
 the other has opposed a woman 's right to choose
 funny thing says the <unk> both these candidates are named rudolph giuliani
 who 's telling the truth
 everybody and nobody
 it 's a classic situation of ads that are true but not always fully accurate
 mr. dinkins did fail to file his income taxes for four years but he insists he voluntarily admitted the oversight when he was being considered for a city job
 he was on the board of an insurance company with financial problems but he insists he made no secret of it
 the city 's campaign finance board has refused to pay mr. dinkins $ N in matching funds because his campaign records are incomplete
 the campaign has blamed these reporting problems on computer errors
 and says mr. dinkins he did n't know the man his campaign paid for a <unk> effort had been convicted of <unk>
 but say mr. dinkins 's managers he did have an office and his organization did have members
 mr. giuliani 's campaign chairman peter powers says the dinkins ad is deceptive
 the other side he argues knows giuliani has always been pro-choice even though he has personal reservations
 they know he is generally opposed to <unk> bullets but that he had some reservations about the language in the legislation
 virginia
 democratic <unk> gov. douglas wilder opened his gubernatorial battle with republican marshall coleman with an abortion commercial produced by frank <unk> that analysts of every political <unk> agree was a tour de force
 against a shot of <unk> <unk> on an american flag an announcer talks about the strong tradition of freedom and individual liberty that <unk> have <unk> for generations
 then just as an image of the <unk> of thomas jefferson <unk> from the screen the announcer continues on the issue of abortion marshall coleman wants to take away your right to choose and give it to the politicians
 that commercial which said mr. coleman wanted to take away the right of abortion even in cases of rape and incest a charge mr. coleman denies changed the dynamics of the campaign <unk> it at least in part into a <unk> on abortion
 the ad prompted mr. coleman the former virginia attorney general to launch a series of advertisements created by bob goodman and designed to shake mr. wilder 's support among the very women who were attracted by the abortion ad
 the coleman <unk> featured a <unk> of a young woman in <unk> and the ad suggested that she was <unk> an <unk> courtroom <unk>
 a voice says <unk> now do n't you have <unk>
 then an announcer <unk> it was douglas wilder who introduced a bill to force rape victims age N and younger to be <unk> about their private lives by lawyers for accused <unk>
 so the next time mr. wilder talks about the rights of women ask him about this law he tried to pass
 mr. wilder did introduce such legislation N years ago but he did so at the request of a <unk> a common legislative technique used by lawmakers
 the legislation itself noted that it was introduced by request and in N mr. wilder introduced a bill to protect rape victims from <unk> <unk>
 people have grown tired of these ads and coleman has gotten the <unk> of being a negative <unk> says mark <unk> a political scientist at mary washington college
 wilder has managed to get across the idea that coleman will say anything to get elected governor and more important has been able to put the <unk> for all the negative <unk> on coleman
 mr. coleman said this week that he would devote the remainder of the political season to positive <unk> but the truce lasted only hours
 by tuesday night television stations were carrying new ads featuring mr. coleman himself raising questions about mr. wilder 's <unk> to rape victims
 new jersey
 the attacks began when democratic rep. james florio aired an ad featuring a drawing of <unk> and a photograph of mr. florio 's rival republican rep. jim courter
 remember <unk> says a female voice
 consider jim courter
 and then this commercial produced by bob <unk> gets down to its own mean and <unk> business
 pictures of <unk> oil <unk> <unk> into focus and the female voice <unk> that hazardous waste on his mr. courter 's property the neighbors are suing for consumer fraud
 and the nose on mr. courter 's face grows
 the only fraud involved cry mr. courter 's <unk> is the florio commercial itself and so the courter campaign has responded with its own <unk> commercial produced by mr. <unk>
 in this one the screen <unk> with photographs of both candidates
 who 's really lying asks a female voice
 florio 's lying the voice goes on because the barrel on courter 's land contained heating oil was <unk> up and caused no pollution
 mr. courter 's long nose <unk> while mr. florio 's grows
 who 's telling the truth
 stephen <unk> a political scientist at new jersey 's <unk> institute says it 's another example of an ad that 's true but not fully accurate
 barrels were dumped on the courter property a complaint was made but there is no evidence the barrels were a serious threat to the environment
 even so according to mr. <unk> the ad was devastating because it raised questions about mr. courter 's credibility
 but it 's building on a long tradition
 in N on route to a re-election rout of democrat frank <unk> gop gov. nelson rockefeller of new york appeared in person saying if you want to keep the crime rates high <unk> is your man
 a seat on the chicago board of trade was sold for $ N down $ N from the previous sale last friday
 seats currently are quoted at $ N bid and $ N asked
 the record price for a full membership on the exchange is $ N set aug. N N
 japanese investment in southeast asia is <unk> the region toward economic integration
 interviews with analysts and business people in the u.s. suggest that japanese capital may produce the economic cooperation that southeast asian politicians have pursued in fits and starts for decades
 but japan 's power in the region also is <unk> fears of domination and <unk> fresh policy questions
 the flow of japanese funds has set in motion a process <unk> these economies will be <unk> together by the great japanese investment machine says robert <unk> vice chairman of goldman sachs international corp
 in the past five years japanese companies have tripled their commitments in asia to $ N billion
 in thailand for example the government 's board of investment approved $ N million of japanese investment in N N times the u.s. investment figure for the year
 japan 's commitment in southeast asia also includes steep increases in foreign assistance and trade
 asia 's other <unk> countries are following japan 's lead and pumping capital into the region
 in taiwan and south korea rising wages are forcing manufacturers to seek other overseas sites for <unk> production
 these nations known as asia 's little <unk> also are contributing to southeast asia 's integration but their influence will remain subordinate to japan 's
 for <unk> countries such as thailand and malaysia the investment will provide needed jobs and spur growth
 but asian nations ' harsh memories of their military domination by japan in the early part of this century make them fearful of falling under japanese economic <unk> now
 because of budget constraints in washington the u.s. encourages japan to share economic burdens in the region
 but it <unk> yielding political ground
 in the coming decade analysts say <unk> relations will be tested as tokyo comes to terms with its new status as the region 's economic <unk>
 japan 's swelling investment in southeast asia is part of its economic evolution
 in the past decade japanese manufacturers concentrated on domestic production for export
 in the 1990s spurred by rising labor costs and the strong yen these companies will increasingly turn themselves into <unk> with plants around the world
 to capture the investment southeast asian nations will move to accommodate japanese business
 these nations ' internal decisions will be made in a way not to <unk> their largest aid <unk> largest private investor and largest lender says richard <unk> director of the international business and research program at the university of southern california 's graduate school of business
 japanese money will help turn southeast asia into a more <unk> economic region
 but analysts say asian cooperation is n't likely to parallel the european common market approach
 rather japanese investment will spur integration of certain sectors says kent <unk> a specialist in east asian economies at the <unk> wilson school for public and <unk> affairs at princeton university
 in electronics for example a japanese company might make television picture <unk> in japan <unk> the sets in malaysia and export them to indonesia
 the effect will be to pull asia together not as a common market but as an integrated production zone says goldman sachs 's mr. <unk>
 countries in the region also are beginning to consider a <unk> for closer economic and political ties
 the economic and foreign ministers of N asian and pacific nations will meet in australia next week to discuss global trade issues as well as regional matters such as transportation and telecommunications
 participants will include the u.s. australia canada japan south korea and new zealand as well as the six members of the association of southeast asian nations thailand malaysia singapore indonesia the philippines and <unk>
 in addition the u.s. this year offered its own plan for cooperation around the pacific <unk> in a major speech by secretary of state james baker following up a proposal made in january by australian prime minister bob <unk>
 the baker proposal <unk> washington 's intention to continue playing a leading political role in the region
 in asia as in europe a new order is taking shape mr. baker said
 the u.s. with its regional friends must play a crucial role in designing its architecture
 but maintaining u.s. influence will be difficult in the face of japanese dominance in the region
 japan not only <unk> the u.s. in investment flows but also <unk> it in trade with most southeast asian countries although the u.s. remains the leading trade partner for all of asia
 moreover the japanese government now the world 's largest aid <unk> is pumping far more assistance into the region than the u.s. is
 while u.s. officials voice optimism about japan 's <unk> role in asia they also convey an <unk> of caution
 there 's an understanding on the part of the u.s. that japan has to expand its functions in asia says j. michael <unk> undersecretary of commerce for trade
 if they approach it with a <unk> <unk> attitude there will be a net gain for everyone
 some asian nations are <unk> about washington 's demand that tokyo step up its military spending to ease the u.s. security burden in the region
 the issue is further complicated by uncertainty over the future of the u.s. 's leases on military bases in the philippines and by a possible u.s. troop reduction in south korea
 many <unk> regard a u.s. presence as a desirable <unk> to japanese influence
 no one wants the u.s. to pick up its <unk> and go home mr. <unk> says
 for their part taiwan and south korea are expected to step up their own investments in the next decade to try to slow the japanese <unk>
 they do n't want japan to <unk> the region and <unk> it up says <unk> lee professor of east asian politics at the university of pennsylvania
 <unk> rice could hardly believe her eyes
 while giving the comprehensive test of basic skills to ninth <unk> at greenville high school last march N she spotted a student looking at <unk> sheets
 she had seen cheating before but these notes were <unk>
 a <unk> is an example of a profession in trade and finance
 at the end of world war ii germany surrendered before japan
 the <unk> conference committee is used when a bill is passed by the house and senate in different forms
 virtually word for word the notes matched questions and answers on the <unk> section of the test the student was taking
 in fact the student had the answers to almost all of the N questions in that section
 the student surrendered the notes but not without a protest
 my teacher said it was ok for me to use the notes on the test he said
 the teacher in question was nancy yeargin considered by many students and parents to be one of the best at the school
 confronted mrs. yeargin admitted she had given the questions and answers two days before the examination to two <unk> geography classes
 she had gone so far as to display the questions on an overhead <unk> and <unk> the answers
 mrs. yeargin was fired and prosecuted under an unusual south carolina law that makes it a crime to breach test security
 in september she pleaded guilty and paid a $ N fine
 her alternative was N days in jail
 her story is partly one of personal <unk>
 she was an <unk> teacher who won <unk> and inspired students but she will probably never teach again
 in her wake she left the <unk> and anger of a principal who was her friend and now calls her a <unk> of colleagues who say she brought them shame of students and parents who defended her and insist she was treated <unk> and of <unk> officials stunned that despite the <unk> nature of her actions she became something of a local <unk>
 mrs. yeargin 's case also <unk> some light on the dark side of school reform where pressures on teachers are growing and where <unk> testing has enhanced the temptation to <unk>
 the N statute mrs. yeargin violated was designed to enforce provisions of south carolina 's <unk> laws
 prosecutors alleged that she was trying to bolster students ' scores to win a bonus under the state 's N education improvement act
 the bonus depended on her ability to produce higher <unk> scores
 there is incredible pressure on school systems and teachers to raise test scores says walt <unk> an education professor and testing specialist at boston college
 so efforts to beat the tests are also on the rise
 and most disturbing it is educators not students who are blamed for much of the wrongdoing
 a <unk> study released in september by friends for education an <unk> n.m. <unk> group concluded that outright cheating by american educators is common
 the group says standardized achievement test scores are greatly inflated because teachers often teach the test as mrs. yeargin did although most are never caught
 evidence of widespread cheating has surfaced in several states in the last year or so
 california 's education department suspects adult responsibility for <unk> at N schools that changed wrong answers to right ones on a statewide test
 after numerous <unk> of questionable teacher help to students texas is <unk> its security practices
 and sales of <unk> booklets for classroom instruction are booming
 these materials including <unk> school publishing co. 's scoring high and learning materials are nothing short of sophisticated <unk> sheets according to some recent academic research
 by using them teachers with administrative blessing telegraph to students <unk> the precise areas on which a test will concentrate and sometimes give away a few exact questions and answers
 use of scoring high is widespread in south carolina and common in greenville county mrs. yeargin 's school district
 experts say there is n't another state in the country where tests mean as much as they do in south carolina
 under the state 's education improvement act low test scores can block students ' promotions or force entire districts into <unk> <unk> <unk> that can mean <unk>
 high test scores on the other hand bring recognition and extra money a new computer lab for a school grants for special projects a bonus for the <unk>
 and south carolina says it is getting results
 since the reforms went in place for example no state has posted a higher rate of improvement on the <unk> <unk> test than south carolina although the state still posts the lowest average score of the about N states who use the sat as the primary college <unk> examination
 critics say south carolina is paying a price by stressing improved test scores so much
 friends of education rates south carolina one of the worst seven states in its study on academic cheating
 says the organization 's founder john <unk> <unk> mrs. yeargin is a way for administrators to protect themselves and look like they take cheating seriously when in fact they do n't take it seriously at all
 paul <unk> director of testing for the south carolina department of education says mr. <unk> 's allegations of cheating are <unk> without foundation and based on unfair <unk>
 partly because of worries about potential abuse however he says the state will begin keeping closer track of <unk> preparation booklets next spring
 south carolina 's reforms were designed for schools like greenville high school
 standing on a <unk> hill in a <unk> area of this old textile city the school has educated many of south carolina 's best and <unk> including the state 's last two governors nobel prize winning <unk> charles <unk> and actress <unk> <unk>
 but by the early 1980s its glory had faded like the yellow bricks of its broad <unk>
 it was full of violence and gangs and kids cutting class says linda ward the school 's principal
 crime was awful test scores were low and there was no <unk> in <unk> programs
 mrs. ward took over in N becoming the school 's seventh principal in N years
 her immediate predecessor suffered a nervous breakdown
 prior to his term a teacher <unk> to death in the halls <unk> by a student
 <unk> mrs. ward says the school was having trouble serving in harmony its two <unk> and evenly split student groups a <unk> white elite from old <unk> neighborhoods and blacks many of them poor from <unk> inner city neighborhoods
 mrs. ward resolved to clean out <unk> in the school 's faculty and restore safety and she also had some new factors working in her behalf
 one was statewide school reform which raised overall educational funding and <unk> in a new public spirit for school <unk>
 another was nancy yeargin who came to greenville in N full of the energy and ambitions that reformers wanted to reward
 being a teacher just became my life says the <unk> mrs. yeargin a teacher for N years before her dismissal
 i loved the school its history
 i even <unk> about school and new things to do with my students
 while mrs. ward fired and restructured staff and struggled to improve <unk> mrs. yeargin worked <unk> days and fast became a student favorite
 in N and N she applied for and won bonus pay under the reform law
 encouraged by mrs. ward mrs. yeargin taught honor students in the state teacher <unk> program a reform creation designed to encourage good students to consider teaching as a career
 she won grant money for the school advised <unk> ran the <unk> club proposed and taught a new cultural <unk> class in western <unk> and was chosen by the school <unk> as teacher of the year
 she was an <unk> lady she had it all together says <unk> <unk> a freshman at the university of south carolina who had mrs. yeargin in the <unk> class last year
 she says that because of mrs. yeargin she gave up ambitions in architecture and is studying to become a teacher
 mary beth <unk> a greenville <unk> <unk> also says mrs. yeargin inspired her to go into education
 she taught us more in western <unk> than i 've ever learned in other classes says <unk> green a greenville senior
 in the classroom students say mrs. yeargin distinguished herself by <unk> teaching approaches forcing kids to pair up to complete classroom work or using <unk> type <unk>
 on <unk> she came to work to prepare study plans or sometimes even to polish the furniture in her classroom
 she just never gave it up says mary <unk> mary beth 's mother
 you 'd see her <unk> <unk> in the stands at a football game
 some fellow teachers however viewed mrs. yeargin as <unk> and too yielding to students
 mrs. ward says she often defended her to colleagues who called her a <unk>
 pressures began to build
 friends told her she was pushing too hard
 because of deteriorating hearing she told colleagues she feared she might not be able to teach much longer
 mrs. yeargin 's extra work was also helping her earn points in the state 's <unk> program
 but the most important source of points was student improvement on tests
 huge gains by her students in N and N meant a total of $ N in bonuses over two years a meaningful addition to her annual salary of $ N
 winning a bonus for a third year was n't that important to her mrs. yeargin insists
 but others at greenville high say she was eager to win if not for money then for pride and recognition
 mary elizabeth <unk> another <unk> teacher says she believed mrs. yeargin wanted to keep her standing high so she could get a new job that would n't demand good hearing
 indeed mrs. yeargin was interested in a possible job with the state teacher <unk> program
 last march after attending a teaching <unk> in washington mrs. yeargin says she returned to greenville two days before annual testing feeling that she had n't prepared her <unk> geography students adequately
 when test booklets were passed out N hours ahead of time she says she <unk> questions in the social studies section and gave the answers to students
 mrs. yeargin admits she made a big mistake but insists her <unk> were correct
 i was trying to help kids in an unfair testing situation she says
 only five of the N questions were geography questions
 the rest were history <unk> finance subjects they never had
 mrs. yeargin says that she also wanted to help lift greenville high school 's overall test scores usually near the bottom of N district high schools in <unk> carried annually by local newspapers
 mostly she says she wanted to prevent the damage to <unk> that her <unk> students would suffer from doing badly on the test
 these kids broke my heart she says
 a whole day goes by and no one even knows they 're alive
 they desperately needed somebody who showed they <unk> for them who loved them
 the last thing they needed was another <unk> blow
 school officials and prosecutors say mrs. yeargin is lying
 they found students in an advanced class a year earlier who said she gave them similar help although because the case was n't tried in court this evidence was never presented publicly
 that pretty much <unk> any <unk> that she was out to help the poor <unk> child says joe watson the prosecutor in the case who is also president of greenville high school 's <unk> association
 mrs. yeargin concedes that she went over the questions in the earlier class adding i wanted to help all students
 mr. watson says mrs. yeargin never complained to school officials that the standardized test was unfair
 do i have much <unk> for her mr. watson asks
 not really
 i believe in the system
 i believe you have to use the system to change it
 what she did was like taking the law into your own hands
 mrs. ward says that when the cheating was discovered she wanted to avoid the <unk> public disclosure that a trial would bring
 she says she offered mrs. yeargin a quiet resignation and thought she could help save her teaching certificate
 mrs. yeargin declined
 she said something like you just want to make it easy for the school
 i was <unk> mrs. ward recalls
 it was like someone had turned a <unk> in me
 to the <unk> and <unk> of her <unk> and legal authorities and perhaps as a measure of the <unk> of standardized tests <unk> yeargin won widespread local support
 the <unk> hearing at which she was dismissed was crowded with students teachers and parents who came to testify on her behalf
 supportive callers <unk> unfair testing not mrs. yeargin on a local radio talk show on which she appeared
 the show did n't give the <unk> of mrs. yeargin 's <unk> saying only that she helped students do better on the test
 the message to the board of education out of all this is we 've got to take a serious look at how we 're doing our <unk> and our testing policies in this state said the <unk> host
 <unk> in the greenville newspaper allowed that mrs. yeargin was wrong but also said the case showed how testing was being <unk>
 the radio show <unk> us says mrs. ward
 partly because of the show mr. watson says the district decided not to recommend mrs. yeargin for a first-time offenders program that could have <unk> the charges and the conviction from her record
 and legal authorities <unk> up an investigation worthy of a murder case
 over N witnesses mostly students were interviewed
 at greenville high school meanwhile some students especially on the <unk> <unk> were crushed
 it 's hard to explain to a <unk> why someone they like had to go says mrs. ward
 soon <unk> appeared in the <unk> that carried the school 's familiar <unk> <unk> <unk> on the front
 on the back the shirts read we have all the answers
 many colleagues are angry at mrs. yeargin
 she did a lot of harm says <unk> rice who had discovered the <unk> notes
 we work damn hard at what we do for damn little pay and what she did cast unfair <unk> on all of us
 but several teachers also say the incident <unk> doubt on the wisdom of evaluating teachers or schools by using standardized test scores
 says <unk> key a <unk> teacher the incentive pay thing has opened up a can of <unk>
 there may be others doing what she did
 mrs. yeargin says she pleaded guilty because she realized it would no longer be possible to win <unk> and because she was afraid of further charges
 mrs. ward for one was relieved
 despite the strong evidence against mrs. yeargin popular sentiment was so strong in her favor mrs. ward says that i 'm afraid a jury would n't have convicted her
 since <unk> first touched slate <unk> have wanted to know what 's on the test
 these days students can often find the answer in <unk> <unk> and <unk> their teachers give them in the weeks prior to taking standardized achievement tests
 the <unk> section of the widely used california achievement test asks fifth <unk> what is another name for the roman <unk> <unk>
 it also asks them to add <unk> and <unk>
 <unk> in a <unk> <unk> called learning materials sold to schools across the country by <unk> school publishing co. contain the same questions
 in many other <unk> there is almost no difference between the real test and learning materials
 what 's more the test and learning materials are both produced by the same company <unk> a joint venture of mcgraw-hill inc. and macmillan 's parent britain 's maxwell communication corp
 close parallels between tests and practice tests are common some educators and researchers say
 <unk> booklets software and <unk> are a booming publishing <unk>
 but some practice products are so similar to the tests themselves that critics say they represent a form of <unk> cheating
 if i took these preparation booklets into my classroom i 'd have a hard time <unk> to my students and parents that it was n't cheating says john <unk> a <unk> city mich. teacher who has studied test <unk>
 he and other critics say such <unk> aids can defeat the purpose of standardized tests which is to gauge learning progress
 it 's as if france decided to give only french history questions to students in a european history class and when everybody <unk> the test they say their kids are good in european history says john <unk> an <unk> n.m. <unk> and founder of an educational research organization friends for education which has studied standardized testing
 standardized achievement tests are given about N million times a year across the country to students generally from <unk> through eighth grade
 the most widely used of these tests are <unk> 's cat and comprehensive test of basic skills the iowa test of basic skills by <unk> <unk> co. and <unk> <unk> <unk> inc. 's metropolitan achievement test and stanford achievement test
 sales figures of the <unk> materials are n't known but their reach into schools is significant
 in arizona california florida louisiana maryland new jersey south carolina and texas educators say they are common classroom tools
 <unk> says well over N million of its scoring high <unk> books have been sold since their introduction N years ago with most sales in the last five years
 about N sets of learning materials teachers ' <unk> have also been sold in the past four years
 the materials in each set reach about N students
 scoring high and learning materials are the <unk> preparation tests
 michael kean director of marketing for <unk> <unk> the <unk> division that publishes learning materials says it is n't aimed at improving test scores
 he also asserted that exact questions were n't <unk>
 when referred to the questions that matched he said it was <unk>
 mr. <unk> the <unk> and william <unk> a michigan state university education professor concluded in a study last june that cat test versions of scoring high and learning materials should n't be used in the classroom because of their similarity to the actual test
 they devised a <unk> scale <unk> one point for each <unk> measured on the cat test to rate the <unk> of test <unk> to the <unk> cat
 because many of these <unk> the <unk> of <unk> figures metric measurement of volume or pie and bar <unk> for example are only a small part of the total <unk> <unk> mr. <unk> says the preparation <unk> would n't <unk> too many if their real intent was general instruction or even general <unk> with test procedures
 but learning materials matched on N of N <unk>
 scoring high matched on N
 in cat sections where students ' knowledge of <unk> <unk> sounds is tested the authors noted that scoring high concentrated on the same sounds that the test does to the exclusion of other sounds that fifth <unk> should know
 learning materials for the <unk> contains at least a dozen examples of exact matches or close parallels to test items
 rick <unk> senior editor of scoring high says that messrs. <unk> and <unk> are ignoring the need students have for becoming familiar with tests and testing format
 he said authors of scoring high <unk> avoid <unk> exact questions but he does n't deny that some items are similar
 when scoring high first came out in N it was a publication of random house
 mcgraw-hill was <unk>
 in a N advisory to educators mcgraw-hill said scoring high should n't be used because it represented a parallel form of the cat and <unk> tests
 but in N mcgraw-hill purchased the random house unit that publishes scoring high which later became part of <unk>
 messrs. <unk> and kean say they are <unk> of any efforts by mcgraw-hill to modify or <unk> scoring high
 <unk> corp. said it completed the acquisition of sacramento savings & loan association from the <unk> & <unk> c. <unk> foundation for $ N million
 the <unk> s&l which has N branch offices in north central california had assets of $ N billion at the end of september
 new york-based <unk> is an insurance and financial services concern
 the purchase price includes two <unk> companies
 the department of health and human services plans to extend its <unk> on federal funding of research involving fetal-tissue transplants
 medical researchers believe the <unk> of small amounts of <unk> tissue into humans could help treat <unk> <unk> and such <unk> diseases as <unk> 's <unk> 's and <unk> 's
 but anti-abortionists oppose such research because they worry that the development of <unk> using fetal-tissue transplants could lead to an increase in abortions
 james mason assistant secretary for health said the ban on federal funding of fetal-tissue transplant research should be continued indefinitely
 he said the ban wo n't stop privately funded <unk> research or federally funded fetal-tissue research that does n't involve transplants
 department officials say that hhs secretary louis sullivan will support dr. mason 's ruling which will be issued soon in the form of a letter to the acting director of the national institutes of health
 both dr. mason and dr. sullivan oppose federal funding for abortion as does president bush except in cases where a woman 's life is threatened
 the controversy began in N when the national institutes of health aware of the policy implications of its research asked for an hhs review of its plan to <unk> <unk> tissue into the brain of a patient suffering from <unk> 's disease
 the department placed a <unk> on the research pending a review of scientific legal and ethical issues
 a majority of an <unk> panel recommended late last year that the research continue under carefully controlled conditions but the issue became <unk> in politics as anti-abortion groups continued to oppose federal funding
 the dispute has hampered the administration 's efforts to recruit prominent doctors to fill prestigious posts at the helm of the nih and the centers for disease control
 several candidates have withdrawn their names from consideration after administration officials asked them for their views on abortion and fetal-tissue transplants
 antonio novello whom mr. bush <unk> to serve as surgeon general reportedly has assured the administration that she opposes abortion
 dr. novello is deputy director of the national institute of child health and human development
 some researchers have charged that the administration is imposing new ideological tests for top scientific posts
 earlier this week dr. sullivan tried to <unk> these charges by stressing that candidates to head the nih and the <unk> will be <unk> by standards of scientific and administrative <unk> not politics
 but the administration 's handling of the fetal-tissue transplant issue <unk> many scientists
 when scientific progress moves into <unk> ground there has to be a role for society to make judgments about its applications says <unk> <unk> associate dean of the yale medical school
 the disturbing thing about this abortion issue is that the debate has become <unk> so that no mechanism exists for finding a middle ground
 yale is one of the few medical institutions conducting privately funded research on fetal-tissue transplants
 but dr. <unk> warns that dr. mason 's ruling may discourage private funding
 the <unk> of federal funds and the climate in which the decision was made certainly do n't provide any incentive for one of the more visible foundations to provide support he said
 despite the <unk> over transplants federal funding of research involving <unk> <unk> will continue on a number of fronts
 such research may ultimately result in the ability to <unk> damaged <unk> or to turn off genes that cause cancer or to regulate genes that cause down 's syndrome the leading cause of mental <unk> according to an nih summary
 the nih currently spends about $ N million annually on fetal-tissue research out of a total research budget of $ N billion
 <unk> hope that two new england states will allow broader interstate banking boosted nasdaq 's bank stocks but the over-the-counter market was up only slightly in lackluster trading
 the nasdaq composite index added N to N on <unk> volume of N million shares
 in terms of volume it was an <unk> beginning for november
 yesterday 's share turnover was well below the year 's daily average of N million
 in october the busiest month of the year so far daily volume averaged roughly N million shares
 the nasdaq N index of the biggest <unk> stocks gained N to N
 the index of the N largest nasdaq financial stocks rose modestly as well gaining N to N
 but the broader nasdaq bank index which tracks thrift issues jumped N to N
 the bank stocks got a boost when connecticut bank & trust and bank of new england said they no longer oppose pending legislation that would permit banks from other regions to merge with connecticut and massachusetts banks
 the two banks merged in N
 bank of new england 's shares are traded on the new york stock exchange
 the stocks of banking concerns based in massachusetts were n't helped much by the announcement traders said because many of those concerns have financial problems tied to their real-estate loan portfolios making them <unk> takeover targets
 but speculators anticipating that connecticut will approve a law permitting such interstate banking soon immediately bid up shares of connecticut banks on the news
 a lot of the stocks that have been under water finally saw a reason to uptick said george <unk> head trader of banking issues in shearson lehman hutton 's otc department
 the biggest <unk> was northeast bancorp which surged N N to N
 the stamford conn. concern has agreed to a buy-out by bank of new york in a transaction with an indicated value of about $ N a share that expires next august
 ed <unk> a <unk> conn. money manager who follows bank stocks said the announcement effectively gives the deal the green light
 mr. <unk> said northeast bancorp also fared well because takeover stocks have returned to favor among investors
 another otc bank stock involved in a buy-out deal first constitution financial was higher
 it rose N to N N
 first constitution has signed a merger agreement with <unk> l.p. and <unk> corp. under which all of its common shares will be acquired for $ N each or $ N million
 among other connecticut banks whose shares trade in the otc market society for savings bancorp based in hartford saw its stock rise N N to N N
 <unk> added N to N N shares of <unk> a new london-based bank holding company rose N to N N
 among other banking issues <unk> savings association <unk> more than N N with a gain of N N to N N
 the pennsylvania bank agreed to be acquired in a merger with <unk> corp. of pennsylvania for $ N a share
 valley federal savings & loan a california thrift issue gained N to N N after reporting a third-quarter loss of $ N million after an $ N million pretax charge mostly related to its mobile home financing unit
 dan e. <unk> valley federal 's president and chief executive officer said the one-time charge substantially <unk> future losses associated with the unit
 he said the company 's core business remains strong
 he also said that after the charges and assuming no dramatic <unk> in interest rates the company expects to achieve <unk> earnings in N
 weisfield 's surged N N to N N and ratners group 's american depositary receipts or adrs gained N to N N
 the two concerns said they entered into a definitive merger agreement under which ratners will begin a tender offer for all of weisfield 's common shares for $ N each
 also on the takeover front jaguar 's adrs rose N to N N on turnover of N million
 since the british auto maker became a takeover target last month its adrs have jumped about N N
 after troubled heritage media proposed acquiring pop radio in a stock swap pop radio 's shares tumbled N to N N
 heritage media which already owns about N N of pop radio proposed paying pop radio shareholders with shares of a new class of heritage media preferred stock that would be convertible into four shares of heritage media 's common
 rally 's lost N N to N N
 the restaurant operator said it has redeemed its rights issued monday under its shareholder rights plan
 the fast-food company said its decision was based on discussions with a shareholder group giant group ltd. in an effort to resolve certain disputes with the company
 giant group is led by three rally 's directors burt sugarman james m. trotter iii and william e. trotter ii who earlier this month indicated they had a N N stake in rally 's and planned to seek a majority of seats on rally 's <unk> board
 sci systems slipped N to N on volume of N shares
 the <unk> ala. electronic products maker said it expects to post a significant loss for its fiscal first quarter ended sept. N
 in the year-earlier period sci had net income of $ N million or N cents a share on revenue of $ N million
 the internal revenue service has threatened criminal sanctions against lawyers who fail to report detailed information about clients who pay them more than $ N in cash
 the warnings issued to at least N criminal defense attorneys in several major cities in the last week have led to an outcry by members of the organized bar who claim the information is protected by <unk> privilege
 the irs warnings stem from a N law that requires anyone who receives more than $ N in cash from a client or customer in one or more related transactions in the course of trade or business to report the payment on a document known as form N
 the form asks for such details as the client 's name social security number <unk> number and details about the services provided for the payment
 failure to complete the form had been punishable as a <unk> until last november when congress determined that the crime was a felony punishable by up to N years in prison
 attorneys have argued since N when the law took effect that they can not provide information about clients who do n't wish their <unk> to be known
 many attorneys have returned incomplete forms to the irs in recent years citing <unk> privilege
 until last week the irs rarely acted on the incomplete forms
 this form forces a lawyer to become in effect a witness against his client said neal r. <unk> president of the national association of criminal defense lawyers
 the irs is asking lawyers to <unk> a criminal problem to the government added mr. <unk> a miami lawyer who has heard from dozens of attorneys who received letters in recent days and has himself received the <unk> irs forms sent by certified mail
 mr. <unk> said that clients who pay cash may include alleged drug dealers who do n't have domestic bank accounts
 these individuals may not necessarily be under investigation when they hire lawyers
 mr. <unk> said there also may be other circumstances under which individuals would n't want the government to know they had retained criminal defense lawyers
 filling out detailed forms about these individuals would tip the irs off and spark action against the clients he said
 the defense lawyers ' group formed a task force this week <unk> by new york attorney gerald <unk> to deal with the matter
 the american bar association 's house of delegates passed a resolution in N <unk> the irs reporting requirement
 michael ross a new york lawyer who heads the aba 's grand jury committee said that lawyers are prohibited by the aba 's code of ethics from disclosing information about a client except where a court orders it or to prevent the client from committing a criminal act that could result in death
 mr. ross said he met with officials of the irs and the justice department which would bring any enforcement actions against taxpayers to discuss the issue last may
 at that meeting he said the justice department assured him that enforcement procedures would n't be threatened against attorneys without further review and advance notice
 mr. ross said irs officials opposed the justice department 's moderate stance on the matter
 but in the letters sent in recent days christopher j. <unk> of the irs computing center in detroit told attorneys that failing to voluntarily submit the requested information could result in <unk> enforcement action being initiated
 in some cases the irs asked for information dating back to forms it received in N
 a spokesman for the irs confirmed that there has been <unk> <unk> about incomplete <unk> but he declined to say why the letters were sent to lawyers now
 individuals familiar with the justice department 's policy said that justice officials had n't any knowledge of the irs 's actions in the last week
 lawyers worry that if they provide information about clients that data could quickly end up in the hands of prosecutors
 prosecutors need court permission to obtain the tax returns of an individual or a business
 but they have obtained N forms without court permission and used the information to help develop criminal cases
 some criminal lawyers speculated that the irs was sending the letters to test the issue
 in a number of recent cases federal courts have refused to recognize attorneys ' <unk> that information relating to fees from clients should be confidential
 the war over federal judicial salaries takes a victim
 often judges ease into more lucrative private practice with little fanfare but not federal judge <unk> a. ramirez in sacramento calif
 on tuesday the judge called a news conference to say he was <unk> effective dec. N to join a san francisco law firm
 the reason the refusal of congress to give federal judges a raise
 a couple of my law <unk> were going to pass me in three or four years and i was afraid i was going to have to ask them for a loan the judge <unk> in an interview
 federal judges make $ N annually in february congress rejected a bill that would have increased their pay by N N
 judge ramirez N said it is <unk> for judges to make what they do
 judges are not getting what they deserve
 you look around at professional <unk> or accountants and nobody <unk> an eye
 when you become a federal judge all of a sudden you are <unk> to a <unk> sum
 at his new job as partner in charge of federal litigation in the sacramento office of <unk> <unk> & <unk> he will make out much better
 the judge declined to discuss his salary in detail but said i 'm going to be a high-priced lawyer
 <unk> <unk> union troubles are no laughing matter
 <unk> <unk> trudeau is suing the writers guild of america east for $ N million alleging it mounted a campaign to <unk> and punish him for crossing a <unk> ' picket line
 the dispute involves <unk> productions inc. a tv production company in which mr. trudeau is a <unk>
 mr. trudeau a writers guild member also was employed as a writer for <unk> which was covered by a guild <unk> agreement
 the guild began a strike against the tv and movie industry in march N
 in his lawsuit mr. trudeau says the strike illegally included <unk> and the <unk> refused to honor the strike against the company
 a spokesman for the guild said the union 's lawyers are reviewing the suit
 he said disciplinary proceedings are confidential and declined to comment on whether any are being held against mr. trudeau
 mr. trudeau 's attorney norman k. <unk> said the <unk> consists mainly of the guild 's <unk> threats of disciplinary action
 mr. <unk> said a guild disciplinary hearing is scheduled next monday in new york
 mr. <unk> who will go before the disciplinary panel said the proceedings are unfair and that any punishment from the guild would be <unk>
 in addition to the damages the suit seeks a court order preventing the guild from <unk> or <unk> against mr. trudeau
 abortion ruling upheld
 a federal appeals court upheld a lower court ruling that the u.s. can bar the use of federal funds for <unk> programs that include <unk> services
 a department of health and human services rule adopted in N prohibits the use of so-called title x funds for programs that assist a woman in obtaining an abortion such as abortion counseling and <unk>
 the rule also prohibits funding for activities that encourage promote or advocate abortion
 title x funds are the single largest source of federal funding for <unk> services according to the opinion by the second u.s. circuit court of appeals in new york
 the panel ruled that the restrictions do n't violate the freedom of speech of health care <unk> and that the limits on counseling services do n't violate the rights of pregnant women
 inquiry clears texas judge of bias in comments on homosexual murder victims
 dallas district judge jack <unk> had sparked calls for a judicial inquiry with his remarks to the press last december two weeks after sentencing an <unk> defendant to N years in state prison for killing two homosexual men in a city park
 the judge was quoted as referring to the victims as <unk> and saying they would n't have been killed if they had n't been <unk> the streets picking up <unk> boys
 but robert r. murray a special master appointed by the texas supreme court said judge <unk> did n't breach any judicial standards of fairness although he did violate the state 's judicial code by commenting publicly on a pending case
 <unk> that the judge has never <unk> any bias or <unk> mr. murray concluded that he would be <unk> in any case involving a homosexual or <unk> as a victim
 mr. murray also said judge <unk> 's comments did n't <unk> the judiciary or the administration of justice
 the report is subject to review by the state commission on judicial conduct which is <unk> to impose sanctions
 gaf trial goes to round three
 attorneys in the third <unk> trial of gaf corp. began opening arguments yesterday in the manhattan courtroom of u.s. district judge mary johnson lowe
 in an <unk> indictment the government has charged gaf a wayne n.j. specialty chemical maker and its vice chairman james t. sherwin with attempting to manipulate the common stock of union carbide corp. in advance of gaf 's planned sale of a large block of the stock in november N
 the first two gaf trials ended in <unk> earlier this year
 this trial is expected to last five weeks
 switching to the defense
 a former member of the prosecution team in the <unk> affair joined the chicago firm of mayer brown & <unk>
 michael r. <unk> a member since january N of the <unk> trial team in the prosecution of oliver north became a partner in the washington d.c. office of the <unk> firm
 he will specialize in white-collar criminal defense work
 mr. <unk> N also has served as deputy chief and chief of the narcotics unit for the u.s. attorney 's office for the southern district of new york based in manhattan
 <unk> tire & rubber co. said it has reached an agreement in principle to buy buildings and related property in albany ga. from <unk> inc
 terms were n't disclosed
 the tire maker said the buildings consist of N million square feet of office manufacturing and <unk> space on N acres of land
 fujitsu ltd. 's top executive took the unusual step of publicly <unk> for his company 's making bids of just one yen for several local government projects while computer rival nec corp. made a written <unk> for <unk> in the same practice
 meanwhile business and government leaders <unk> the computer makers and <unk> about the broader statement the companies ' actions make about japanese <unk> pricing
 fujitsu said it bid the equivalent of less than a u.s. penny on three separate municipal contracts during the past two years
 the company also disclosed that during that period it offered N yen or about $ N for another contract
 but fujitsu japan 's no. N computer maker is n't alone
 nec one of its largest domestic competitors said it bid one yen in two separate public auctions since N
 in both cases nec lost the contract to fujitsu which made the same bid and won a <unk> <unk>
 all the contracts were for <unk> contracts and involved no hardware or software
 the ministry of international trade and industry summoned executives from the companies to make sure they understood the concern about such practices according to a government spokesman
 these cases lead to the loss of the firms ' social and international credibility a ministry statement said
 japan 's fair trade commission has said it is considering investigating the bids for possible <unk> violations
 we would like to <unk> for having caused huge trouble fujitsu president <unk> <unk> read from a prepared statement as he stood before a packed news conference at his company 's downtown headquarters
 the bids he added were contrary to common sense
 nec released a statement saying we feel sorry for having caused trouble to society a form of <unk> common in japan for companies caught in embarrassing situations
 japanese companies have long had a reputation for <unk> short-term profits to make a sale that may have long-term benefits
 but the growing controversy comes as many practices historically accepted as normal here such as politicians accepting substantial gifts from businessmen or having <unk> affairs are coming under close ethical scrutiny
 the fire is also fueled by growing international interest in japanese behavior
 so far there have been no public overseas complaints about the issue
 but in one of the auctions in question international business machines corp. made a bid substantially higher than the fujitsu offer according to the <unk>
 the <unk> bids touch on issues central to the increasingly <unk> trade debate
 foreigners complain that they have limited access to government procurement in japan in part because japanese companies unfairly undercut them
 the u.s. government in recent years has accused japanese companies of <unk> slashing prices on semiconductors and <unk> products fujitsu and nec make
 asked whether the bidding <unk> would hurt <unk> relations mr. <unk> said this will be a minus factor
 the <unk> controversy first came to a head last week when the city of hiroshima announced that fujitsu won a contract to design a computer system to <unk> its waterworks
 the city had expected to pay about N million yen $ N but fujitsu essentially offered to do it for free
 then wednesday fujitsu said it made a similar bid to win a library contract in <unk> <unk> two weeks earlier
 it also said that in july it bid N yen to design a system for the <unk> <unk> library and two years ago it bid one yen to plan the telecommunications system for <unk> <unk>
 the company said it has offered to withdraw its bids in hiroshima and <unk>
 the municipalities said they have n't decided whether to try to force the company to go through with the contracts
 fujitsu and nec said they were still investigating and that knowledge of more such bids could emerge
 mr. <unk> insisted that headquarters had n't approved the bids and that he did n't know about most of the cases until wednesday
 other major japanese computer companies contacted yesterday said they have never made such bids
 one yen is not ethical <unk> <unk> an official at <unk> the japan federation of economic organizations said
 profit may be low but at least costs should be covered
 papers
 <unk> group inc. agreed to acquire atlantic publications inc. which has N community papers and annual sales of $ N million
 terms were n't disclosed
 <unk> is a closely held media firm run by former cbs inc. president john <unk>
 tv
 price communications corp. completed the sale of four of its tv stations to <unk> inc. for $ N million in cash and notes retaining a N N equity stake in the new concern
 <unk> was formed by <unk> communications corp. and <unk> capital
 <unk> stores inc. which owns and operates a chain of specialty retail stores said october sales rose N N to $ N million from $ N million a year earlier
 sales in stores open more than one year rose N N to $ N million from $ N million
 furukawa co. of japan said it will acquire two construction machinery plants and a sales unit in france formerly <unk> to <unk> industries inc. of the u.s.
 the company said it made the purchase in order to locally produce <unk> operated <unk>
 last october the company also bought a <unk> manufacturing plant in <unk> west germany from <unk>
 furukawa said the purchase of the french and german plants together will total about N billion yen $ N million
 structural dynamics research corp. which makes <unk> engineering software said it introduced new technology in mechanical design <unk> that will improve mechanical engineering productivity
 <unk>
 money market <unk> N N
 a average rate paid yesterday by N large banks and thrifts in the N largest metropolitan areas as compiled by bank rate monitor
 b current annual yield
 guaranteed minimum N N
 lsi logic corp. reported a surprise $ N million third-quarter net loss including a special restructuring charge that reflects a continuing <unk> slowdown in semiconductor demand
 in september the <unk> maker said excess capacity and lagging billings would result in an estimated $ N million to $ N million net loss for the third quarter
 but company officials said yesterday that they decided to take a $ N million pretax charge for the period to cover a restructuring of world-wide manufacturing operations citing extended weakness in the market as well as a decision to switch to more <unk> production techniques
 over the summer months there has been a slowing in the rate of new orders from the computer sector our primary market said wilfred j. <unk> chairman and chief executive officer
 in addition recent industry forecasts for N indicate a slow environment at least until midyear
 as a result the company said it decided to phase out its oldest capacity and make appropriate reductions in operating expenses
 the $ N million net loss <unk> N cents a share
 not counting the extraordinary charge the company said it would have had a net loss of $ N million or seven cents a share
 a year earlier it had profit of $ N million or N cents a share
 revenue rose N N to $ N million from $ N million
 the charge partly reflects a switch from older <unk> to <unk> <unk> silicon <unk> with which to <unk> chips
 related to that decision the company said it was converting its santa clara calif. factory to a research and development facility
 a spokesman declined to speculate about possible reductions in force
 this is a company that has invested in capacity additions more aggressively than any other company in the industry and now the industry is growing more slowly and they are suddenly poorly positioned said michael stark chip analyst at robertson <unk> & co
 i think the stock is dead money for a while
 yesterday 's announcement was made after markets closed
 u.s. chip makers are facing continued slack demand following a traditionally slow summer
 part of the problem is that chip buyers are keeping inventories low because of jitters about the course of the u.s. economy
 <unk> co <unk> lake n.j
 william g. <unk> former chairman and chief executive officer of general public utilities corp. was elected a director of this maker of industrial and construction equipment increasing board membership to N
 the dollar posted gains against all major currencies yesterday buoyed by persistent japanese demand for u.s. bond issues
 while market sentiment remains cautiously bearish on the dollar based on sluggish u.s. economic indicators dealers note that japanese demand has helped <unk> the dollar against the yen and has kept the u.s. currency from plunging below key levels against the mark
 at the same time dealers said the u.s. unit has been locked into a relatively narrow range in recent weeks in part because the hefty japanese demand for dollars has been offset by the mark 's strength resulting in a <unk>
 jay <unk> with capital insight inc. reasons that while the mark has posted significant gains against the yen as well the mark climbed to N yen from N yen late tuesday in new york the strength of the u.s. bond market compared to its foreign counterparts has helped lure investors to dollar-denominated bonds rather than mark bonds
 <unk> trade is the driving force in the market said tom <unk> a vice president with banque paribas in new york but i 'm not convinced it will continue
 who knows what will happen down the road in three to six months if foreign investment starts to erode
 in late new york trading yesterday the dollar was quoted at N marks up from N marks late tuesday and at N yen up from N yen late tuesday
 sterling was quoted at $ N down from $ N late tuesday
 in tokyo thursday the u.s. currency opened for trading at N yen up from wednesday 's tokyo close of N yen
 douglas madison a corporate trader with bank of america in los angeles <unk> the dollar 's recent solid performance against the yen to purchases of securities by japanese insurance companies and trust banks and the sense that another wave of investment is waiting in the wings
 he contends that the perception in japan of a <unk> u.s. response to sony corp. 's announcement of its purchase of columbia pictures entertainment inc. has been temporarily <unk>
 he cites the recent deal between the mitsubishi estate co. and the rockefeller group as well as the possible white knight role of an undisclosed japanese company in the georgia-pacific corp. takeover bid for great northern nekoosa corp. as evidence
 the <unk> maturity in november of a 10-year japanese government <unk> bond issue valued at about $ N billion has prompted speculation in the market that investors <unk> the bonds will diversify into dollar-denominated instruments according to mr. madison
 it remains unclear whether the bond issue will be rolled over
 meanwhile traders in tokyo say that the prospect of lower u.s. interest rates has spurred dollar buying by japanese institutions
 they point out that these institutions want to lock in returns on high-yield u.s. treasury debt and suggest demand for the u.s. unit will continue <unk> until rates in the u.s. <unk>
 the market again showed little interest in further evidence of a slowing u.s. economy and traders note that the market in recent weeks has taken its <unk> more from wall street than u.s. economic indicators
 dealers said the dollar merely drifted lower following the release wednesday of the u.s. purchasing managers ' report
 the managers ' index which measures the health of the manufacturing sector stood at N N in october above september 's N N and also above average forecasts for the index of N N
 some dealers said the dollar was pressured slightly because a number of market participants had boosted their expectations in the past day and were looking for an index above N which indicates an expanding manufacturing economy
 but most said the index had no more than a minimal effect on trade
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce down N cents
 estimated volume was a moderate N million ounces
 in early trading in hong kong thursday gold was quoted at $ N an ounce
 the cosby show may have <unk> turned around ratings at nbc since its debut in N and the <unk> family still keeps millions of viewers laughing thursday night on the network
 but some of the tv stations that bought cosby reruns for record prices two years ago are n't laughing much these days
 the reruns have helped ratings at many of the N network affiliates and independent tv stations that air the shows
 but the ratings are considerably below expectations and some stations say they may not buy new episodes when their current contracts expire
 meanwhile stations are <unk> because many of them say the show 's distributor viacom inc. is giving an <unk> either sign new long-term commitments to buy future episodes or risk losing cosby to a competitor
 at the same time viacom is trying to persuade stations to make commitments to a different world a <unk> of cosby whose reruns will become available in N
 viacom denies it 's using pressure tactics
 we 're willing to negotiate says dennis <unk> executive vice president of marketing
 we 're offering this plan now because we feel it 's the right time
 but says the general manager of a network affiliate in the midwest i think if i tell them i need more time they 'll take cosby across the street
 viacom 's move comes as the <unk> market is being flooded with situation <unk> that are still running on the networks
 one station manager says he believes viacom 's move is a <unk> strike because the company is worried that cosby ratings will continue to drop in <unk> over the next few years
 cosby is down a full ratings point in the week of oct. N over the same week a year ago according to a.c. nielsen co
 mr. <unk> at viacom says the ratings are rising
 and executives at stations in such major markets as washington <unk> r.i. cleveland <unk> n.c. minneapolis and louisville ky. say they may very well not renew cosby
 dick <unk> the general manager of <unk> the <unk> station in miami for example says the show has been a major disappointment to us
 at the prices we were charged there should have been some return for the dollar
 there was n't
 neil <unk> the general manager of <unk> the cbs affiliate in louisville says cosby gets the station 's highest ratings and he 's pleased
 but he adds i feel pressured disappointed uncomfortable and frankly quite angry with viacom
 the life insurance co. of georgia has officially opened an office in taipei
 david <unk> the company 's representative in taiwan said atlanta-based life of georgia will sell conventional life-insurance products
 life of georgia is part of the <unk> <unk> group based in the netherlands
 in this era of <unk> competition for ad dollars a lot of <unk> magazines are getting pretty <unk> with advertisers <unk> over them in articles and offering pages of <unk> space
 so can a magazine survive by downright <unk> its nose at major advertisers
 garbage magazine billed as the practical journal for the environment is about to find out
 founded by brooklyn n.y. publishing entrepreneur <unk> <unk> garbage made its debut this fall with the promise to give consumers the straight <unk> on the u.s. waste crisis
 the magazine combines <unk> pieces on topics like <unk> <unk> <unk> <unk> on such things as what happens after you flush your toilet and <unk> pieces on alleged environmental offenders
 garbage editors have dumped considerable energy into a <unk> <unk> through supermarket <unk> in a bid to identify corporate america 's good guys and bad boys
 in one feature called in the <unk> editors point out a product they <unk> to be a particularly bad <unk>
 from an advertising standpoint the problem is these offenders are likely to be some of the same folks that are major magazine advertisers these days
 with only two issues under its belt garbage has <unk> some would-be advertisers and raised the <unk> of others
 campbell soup for one is <unk> its <unk> <unk> microwave product was <unk> in the premiere in the <unk> column
 the magazine 's editors ran a giant <unk> of the product with <unk> pointing to the packaging 's <unk> foam <unk> and <unk> film all plastic items they say are <unk>
 it 's precisely the kind of product that 's created the municipal landfill monster the editors wrote
 i think that this magazine is not only called garbage but it is practicing <unk> garbage <unk> a spokesman for campbell soup
 he says campbell was n't even contacted by the magazine for the opportunity to comment
 modifications had been made to the <unk> <unk> product at the time the issue was printed he says making it less an <unk> than was portrayed
 he admits though it is n't one of campbell soup 's better products in terms of <unk>
 campbell soup not surprisingly does n't have any plans to <unk> in the magazine according to its spokesman
 some media experts question whether a young magazine can risk turning off madison avenue 's big <unk>
 you really need the campbell <unk> of the world to be interested in your magazine if you 're going to make a run of it says mike white senior vice president and media director at ddb needham chicago
 the economics of magazine publishing pretty much require that you have a pretty solid base of big-time ad <unk> he adds
 the first two issues featured ads from only a handful of big advertisers including general electric and <unk> coors but the majority were from companies like waste management inc. and <unk> international firms that do n't spend much money advertising and ca n't be relied on to support a magazine over the long haul
 a waste management spokeswoman says its ad in the premiere issue was a one-time purchase and it does n't have any plans to <unk> in future issues
 we do n't spend much on print advertising she says
 but ms. <unk> the magazine 's editor and publisher contends garbage can survive at least initially on subscription revenues
 individual copies of the magazine sell for $ N and yearly <unk> cost $ N
 it is of course printed on recycled paper
 according to ms. <unk> <unk> journal corp. her publishing company printed and sold all N copies of the premiere issue
 the first and second issues sold out on <unk> she says and the magazine has orders for N <unk>
 asked whether potential advertisers will be scared away by the magazine 's direct policy ms. <unk> replies i do n't know and i do n't care
 i 'm not saying advertising revenue is n't important she says but i could n't sleep at night if the magazine bowed to a company because they once took out an ad
 ad notes
 interpublic on tv
 interpublic group said its television programming operations which it expanded earlier this year agreed to supply more than N hours of original programming across europe in N
 it said the programs largely game shows will be provided by its <unk> television unit along with <unk> international a producer and distributor of game shows of which it recently bought N N
 it said that volume makes it the largest supplier of original tv programming in europe
 interpublic is providing the programming in return for advertising time which it said will be valued at more than $ N million in N and $ N million in N
 it plans to sell the ad time to its clients at a discount
 new account
 <unk> financial corp. philadelphia named <unk> palmer brown & <unk> philadelphia as agency of record for its $ N million account
 the business had been handled by <unk> <unk> baltimore
 at&t fax
 american telephone & telegraph 's general business systems division new york awarded the ad account for its fax product line to ogilvy & mather new york a wpp group agency
 billings were n't disclosed for the small account which had been <unk> at young & rubicam new york
 first campaign
 enterprise <unk> inc. breaks its first national ad campaign this week
 the st. louis firm specializes in <unk> <unk> those provided by insurance companies for cars damaged in <unk>
 developed by <unk> free & <unk> new york the $ N million campaign pitches enterprise 's <unk> service and its free <unk> and <unk> service
 <unk> associates
 young & rubicam said it completed its acquisition of <unk> associates a san francisco <unk> firm
 acquisition
 <unk> communications pittsburgh acquired <unk> & co. a los angeles <unk> and <unk> firm
 terms were n't disclosed
 sea containers ltd. said it might increase the price of its $ <unk> buy-back plan if pressed by temple holdings ltd. which made an earlier tender offer for sea containers
 sea containers a hamilton <unk> shipping concern said tuesday that it would sell $ N billion of assets and use some of the proceeds to buy about N N of its common shares for $ N apiece
 the move is designed to ward off a hostile takeover attempt by two european shipping concerns <unk> holding ag and <unk> plc
 in may the two companies through their jointly owned holding company temple offered $ N a share or $ N million for sea containers
 in august temple sweetened the offer to $ N a share or $ N million
 yesterday sea containers ' chief executive officer james <unk> said in an interview that under the <unk> plan sea containers would end up with a cash surplus of approximately $ N million
 about $ N million of that would be allocated to the buy-back leaving about $ N million he said
 that $ N million mr. <unk> said gives us some flexibility in case temple raises its bid
 we are able to increase our price above the $ N level if necessary
 he declined to say however how much sea containers might raise its price
 mr. <unk> speculated that the <unk> that sea containers has means that temple would have to substantially increase their bid if they 're going to top us
 temple however <unk> criticized sea containers ' plan yesterday <unk> it as a highly conditional device designed to <unk> management <unk> shareholders and prevent them from accepting our superior cash offer
 a spokesman for temple estimated that sea containers ' plan if all the asset sales <unk> would result in shareholders receiving only $ N to $ N a share in cash
 the lower figures the spokesman said would stem from preferred shares being converted to common stock and the possibility that sea containers ' subsidiaries might be required to place their shares in the open market
 temple added that sea containers is still mired in legal problems in <unk> where the supreme court has temporarily barred sea containers from buying back its own stock in a case brought by <unk> and <unk>
 the court has indicated it will rule on the case by the end of the month
 temple also said sea containers ' plan raises numerous legal regulatory financial and fairness issues but did n't elaborate
 mr. <unk> said reaction to sea containers ' proposal has been very positive
 in new york stock exchange composite trading yesterday sea containers closed at $ N up N cents
 the transportation department responding to pressure from safety advocates took further steps to impose on light trucks and vans the safety requirements used for automobiles
 the department proposed requiring stronger <unk> for light trucks and minivans beginning with N models
 it also issued a final rule requiring auto makers to <unk> light trucks and minivans with <unk> belts for rear seats beginning in the N model year
 such belts already are required for the vehicles ' front seats
 today 's action transportation secretary samuel skinner said represents another <unk> in the ongoing program to promote vehicle <unk> safety in light trucks and minivans through its extension of passenger car standards
 in september the department had said it will require trucks and minivans to be equipped with the same <unk> <unk> that have long been required on passenger cars
 the big three auto makers said the rule changes were n't surprising because bush administration officials have long said they planned to impose car safety standards on light trucks and vans
 safety advocates including some members of congress have been urging the department for years to extend <unk> requirements to light trucks and vans which now account for almost one-third of all vehicle sales in the u.s.
 they say that many vehicles <unk> as commercial light trucks actually carry more people than cargo and therefore should have the same safety features as cars
 they did n't have much luck during the reagan administration
 but now there seems to be a fairly <unk> effort to address the problem said chuck <unk> vice president of communications for the insurance institute for highway safety
 we 're in a very different regulatory environment
 sen. john <unk> r. <unk> praised the department 's actions noting that <unk> crashes account for almost half of all <unk> deaths
 we could prevent many of these <unk> with minimum <unk> standards he said
 sen. <unk> and others also want the department to require additional safety equipment in light trucks and minivans including air bags or automatic seat belts in front seats and improved <unk> protection
 the department 's <unk> proposal would apply to vehicles weighing N pounds or less
 the <unk> would be required to withstand a force of N times the <unk> weight of the vehicle
 during the test the <unk> could n't be depressed more than five inches
 in detroit a chrysler corp. official said the company currently has no <unk> <unk> and shoulder belts in its light trucks but plans to begin <unk> them in by the end of the N model year
 he said chrysler fully expects to have them installed across its <unk> line by the sept. N N deadline
 chrysler said its trucks and vans already meet the <unk> resistance standard for cars
 john <unk> executive engineer of ford motor co. 's <unk> office said ford trucks have met car standards for <unk> resistance since N
 ford began <unk> the <unk> belts in trucks with its <unk> crew <unk> <unk> in the N model year
 the new <unk> <unk> vehicle set for introduction next spring will also have the <unk> belts
 mr. <unk> said he expects ford to meet the deadline easily
 consolidated rail corp. said it would spend more than $ N million on N <unk> <unk> for <unk> autos
 the <unk> <unk> scheduled for delivery in N will be made by <unk> manufacturing co. a chicago heights ill. division of closely held <unk> industries inc. <unk> ill
 this year the railroad holding company acquired N such <unk>
 sir peter walters <unk> chairman of british petroleum co. until next march joins the board of this cement products company on dec. N
 sir peter will succeed sir john <unk> N who <unk> as blue circle nonexecutive chairman on june N
 bank of new england corp. said it has held talks with potential merger partners outside new england although it added that nothing is imminent and it has n't received any formal offers
 the discussions were disclosed as the bank holding company said that it has dropped its longstanding opposition to full interstate banking bills in connecticut and in massachusetts
 later yesterday a massachusetts senate committee approved a bill to allow national interstate banking by banks in the state beginning in N
 currently both massachusetts and connecticut where most of bank of new england 's operations are allow interstate banking only within new england
 richard <unk> vice chairman of bank of new england told the dow jones professional investor report certainly there are those outside the region who think of us <unk> as a good partner
 we have and i 'm sure others have considered what our options are and we 've had conversations with people who in the future might prove to be interesting partners
 he added there 's nothing very hot
 mr. <unk> did n't elaborate about who the potential partners were or when the talks were held
 a bank spokeswoman also declined to comment on any <unk> matters but said the company decided to drop its opposition to the interstate banking legislation because prevailing sentiment is in favor of passage
 bank of new england has been hit hard by the region 's real-estate slump with its net income declining N N to $ N million or N cents a share in the first nine months of N from the year-earlier period
 the company recently said it would sell some operations and lay off N N of its work force altogether reducing employment to less than N from about N
 it recently signed a preliminary agreement to negotiate exclusively with the bank of tokyo ltd. for the sale of part of its leasing business to the japanese bank
 <unk> products inc. cut its quarterly dividend to five cents a share from N cents a share
 the reduced dividend is payable jan. N to stock of record dec. N
 the <unk> <unk> maker of hair accessories and other cosmetic products said it cut the dividend due to its third-quarter loss of $ N or N cents a share
 in the year-ago quarter the company reported net income of $ N million or N cents a share
 the company also adopted an anti-takeover plan
 michael henderson <unk> group chief executive of this u.k. metals and industrial materials maker will become chairman in may succeeding ian butler N who is retiring
 mr. butler will remain on the board as a nonexecutive director
 rally 's inc. said it has redeemed its rights outstanding issued monday in its shareholder rights plan
 the company said holders of stock of record nov. N will receive <unk> of one cent a share as the redemption payment
 the fast-food company said its decision was based upon discussions with a shareholder group giant group ltd. in an effort to resolve certain disputes with the company
 giant group is led by three rally 's directors burt sugarman james m. trotter iii and william e. trotter ii who last month indicated they hold a N N stake in rally 's and plan to seek a majority of seats on rally 's <unk> board
 when warren <unk> <unk> of <unk> 's leap wine <unk> in <unk> valley announced a $ N price tag for his N <unk> N cabernet this fall few wine shops and restaurants around the country balked
 this is the peak of my <unk> experience mr. <unk> declared when he introduced the wine at a dinner in new york and i wanted to single it out as such
 it is in my <unk> the best wine <unk> 's leap has produced and with fewer than N cases available it is sure to sell quickly
 the price is a new high for california cabernet <unk> but it is not the highest
 diamond creek N lake <unk> cabernet weighed in this fall with a <unk> price of $ N a bottle
 one of the fastest growing segments of the wine market is the category of <unk> wines limited in production of <unk> quality or so perceived at any rate and with <unk> high prices
 for years this group included a stable of <unk> <unk> first <unk> <unk> <unk> <unk> <unk> grand <unk> <unk> <unk> and la <unk> <unk> <unk> <unk> <unk> or <unk> <unk> <unk> sweet wines <unk> <unk> or <unk> <unk> from germany and <unk> <unk> <unk> from <unk>
 these first magnitude wines ranged in price from $ N to $ N a bottle
 in the last year or so however this exclusive club has taken in a host of flashy new members
 the <unk> have <unk> in price to meet the competition and it almost seems that there 's a race on to come up with the <unk> single bottle among current releases from every major wine region on the globe
 france can <unk> the lion 's share of high-priced bottles
 <unk> 's first <unk> from N and N are $ N to $ N each except for the smallest in terms of production <unk> <unk> which costs around $ N
 these prices seem rather modest however in light of other french wines from current <unk>
 <unk> <unk> the leading <unk> now goes for well over $ N a bottle for a lighter vintage like N the <unk> rich N runs $ N
 in champagne some of the prestige <unk> are <unk> toward $ N a bottle
 the first champagne to crack that price barrier was the N salon de <unk> <unk> de <unk>
 the <unk> salon is $ N
 <unk> <unk> at $ N a bottle sells out around the country and <unk> 's <unk> de champagne <unk> de <unk> is <unk> upon that level
 the great <unk> of the <unk> valley have soared in price as well
 e. <unk> 's N <unk> <unk> la <unk> for example is $ N
 none of france 's wine regions can steal a march on <unk> however
 the six wines of the <unk> de la <unk> N of the most precious acres of <unk> anywhere in the world have <unk> <unk> price <unk> for several years now
 with the N vintage they soared higher la <unk> $ N <unk> $ N <unk> $ N
 another small <unk> estate <unk> has just offered its N <unk> for $ N
 from italy there is angelo <unk> <unk> at $ N a bottle <unk> <unk> 's la <unk> a $ N cabernet from <unk> and <unk> <unk> at $ N
 spain 's <unk> <unk> <unk> N released only in its <unk> year is $ N as is australia 's <unk> <unk> N
 there are certain <unk> wines that can command these higher prices says larry shapiro of <unk> 's one of the largest wine shops in dallas
 what 's different is that it is happening with young wines just coming out
 we 're seeing it partly because older <unk> are growing more scarce
 wine auctions have almost exhausted the limited supply of those wines mr. shapiro continued we 've seen a dramatic decrease in demand for wines from the <unk> and <unk> which go for $ N to $ N a bottle
 some of the newer wines even at $ N to $ N a bottle or so almost offer a bargain
 take lake <unk> cabernet from diamond creek
 it 's made only in years when the <unk> <unk> perfectly the last was N and comes from a single <unk> of <unk> that yielded a mere N cases in N
 owner al <unk> originally planned to sell it for $ N a bottle but when a retailer in southern california asked is that wholesale or retail he <unk> the matter
 offering the wine at roughly $ N a bottle wholesale $ N retail he sent merchants around the country a form asking them to check one of three answers N no the wine is too high N responses N yes it 's high but i 'll take it N responses N i 'll take all i can get N responses
 the wine was shipped in <unk> cases instead of the usual N but even at that it was spread thin going to N retailers in N states
 we thought it was <unk> expensive said sterling <unk> wine director at <unk> 's in <unk> ill. one of the top stores in suburban chicago but there are people out there with very different opinions of value
 we got our two <unk> and they 're gone
 mr. <unk> <unk> that he thinks <unk> prices have come about because producers do n't like to see a hit wine dramatically increase in price later on
 even if there is consumer resistance at first a wine that wins high ratings from the critics will eventually move
 there may be <unk> reaction initially said mr. <unk> but as the wine is talked about and starts to sell they eventually get excited and decide it 's worth the <unk> price to add it to their collection
 it 's just sort of a <unk> thing with some people added larry shapiro
 they like to talk about having the new red rock <unk> one of diamond creek 's <unk> or the dunn N cabernet or the <unk>
 producers have seen this market opening up and they 're now creating wines that appeal to these people
 that explains why the number of these wines is expanding so rapidly
 but consumers who buy at this level are also more knowledgeable than they were a few years ago
 they wo n't buy if the quality is not there said <unk> martin of martin wine <unk> in new orleans
 or if they feel the wine is <unk> and they can get something equally good for less
 mr. martin has increased prices on some wines like <unk> hills <unk> now $ N just to slow down movement but he is beginning to see some resistance to high-priced red <unk> and <unk> and <unk> in the $ N to $ N range
 image has of course a great deal to do with what sells and what does n't and it ca n't be forced
 wine merchants ca n't keep <unk> <unk> in stock but they have to push salon <unk> <unk> even lowering the price from $ N to $ N
 it 's hardly a question of quality the N salon is a beautiful wine but as mr. <unk> noted people have their own ideas about value
 it 's interesting to find that a lot of the expensive wines are n't always walking out the door
 in every major market in the u.s. for instance you can buy <unk> la <unk> or <unk> virtually all of the first growth <unk> except <unk> as well as <unk> one and <unk> from california and at the moment the <unk> 's leap N <unk> N
 with the biggest <unk> period of the year looming as the holidays approach it will be interesting to see how the <unk> fare
 by january it should be fairly clear what 's hot and what 's not
 ms. <unk> is a free-lance wine writer in new york
 signs of a slowing economy are increasing pressure on the federal reserve to cut short-term interest rates but it is n't clear whether the central bank will do so
 a survey by the fed 's N district banks shows economic growth has been sluggish in recent weeks while upward pressures on prices have <unk>
 the economy is clearly slowing says robert black president of the richmond federal reserve bank
 if you look at the third quarter as posting roughly N N growth i do see some slowing in the fourth quarter agrees kansas city fed president roger <unk>
 nevertheless both mr. <unk> and mr. black say the slowdown so far is no cause for concern
 we 're coming closer to <unk> the stated objective of slowing the economy to a point where hopefully some downward trend in prices will occur said mr. <unk>
 bush administration officials are looking to the fed to bring down rates and financial markets seem to be expecting easier credit as well
 i think the market had been expecting the fed to ease sooner and a little more than it has to date said robert johnson vice president of global markets for bankers trust co
 the fed cut the key federal funds interest rate by about N percentage point to N N after the oct. N stock market plunge but has shown no sign of movement since
 the report from the fed found that manufacturing in particular has been weak in recent weeks
 the philadelphia fed for instance reported that manufacturing activity continues to decline for the fourth month in a row
 and in the chicago district the report said a manufacturer of capital goods noted slower orders for some types including defense equipment petroleum equipment food packaging machinery and material handling equipment
 retail sales also were reported slow in most districts particularly for discretionary <unk> items such as furniture home appliances and consumer electronics
 and construction also was described as slow in most areas
 despite the economic slowdown there are few clear signs that growth is coming to a halt
 as a result fed officials may be divided over whether to ease credit
 several fed governors in washington have been pushing for easier credit but many of the regional fed presidents have been <unk> such a move
 mr. black said he is pleased with the economy 's recent performance and does n't see a lot of excesses out there that would tilt us into recession
 there is always a chance of recession added mr. <unk> but if you ask me to put a percentage on it i would think it 's well below a N N chance
 <unk> hotel & restaurant co. said its planned rights offering to raise about $ N million was declared effective and the company will begin mailing materials to shareholders at the end of this week
 under the offer shareholders will receive one right for each N common shares owned
 each right <unk> the shareholder to buy $ N face amount of N N bonds due N and warrants to buy N common shares at N cents a share
 the rights which expire nov. N can be exercised for $ N each
 <unk> which owns and operates hotels said that <unk> group inc. has agreed to exercise any rights that are n't exercised by other shareholders
 <unk> a cleveland merchant bank owns about N N of <unk>
 <unk> corp. a specialty steelmaker said N workers at a plant in <unk> ohio began a strike after the united steelworkers local N rejected a new contract on tuesday
 the previous contract between <unk> 's ohio steel tube division and the union expired at midnight tuesday
 the union vote to reject the proposed pact was N
 <unk> said it does n't expect a <unk> strike
 it said it has taken measures to continue shipments during the work <unk>
 the treasury said it plans to sell $ N billion in notes and bonds next week but said the auctions will be postponed unless congress acts quickly to lift the federal debt ceiling
 michael <unk> deputy assistant secretary for federal finance said the treasury may wait until late monday or even early tuesday to announce whether the <unk> are to be <unk>
 unless it can raise money in financial markets mr. <unk> said the federal government wo n't have the cash to pay off $ N billion in treasury bills that mature on thursday
 without congressional action the treasury ca n't sell any new securities even savings bonds
 but despite <unk> <unk> over the debt ceiling which has become <unk> in the fight over cutting capital-gains taxes congress is almost certain to act in time to avoid default
 each day that congress fails to act will cause additional disruption in our borrowing schedule possibly resulting in higher interest costs to the taxpayer treasury secretary nicholas brady said in a speech prepared for delivery last night to a group of bankers
 to avoid these costs and a possible default immediate action is <unk>
 the securities to be sold next week will raise about $ N billion in cash and redeem $ N billion in maturing notes
 the new securities part of the federal government 's regular quarterly refunding will consist of
 $ N billion of three-year notes to be auctioned tuesday and to mature nov. N N
 $ N billion of 10-year notes to be auctioned wednesday and to mature nov. N N
 $ N billion of 30-year bonds to be auctioned thursday and to mature aug. N N
 the treasury also said it plans to sell $ N billion in <unk> cash management bills on thursday
 they will mature dec. N
 none of the securities will be eligible for when-issued trading until congress approves an increase in the debt ceiling clearing the way for a formal offering mr. <unk> said
 the treasury said it needs to raise $ N billion in the current quarter in order to end december with a $ N billion cash balance
 auctions held in october and those scheduled for next week will raise a total of $ N billion
 the remaining $ N billion could be raised through the sale of short-term treasury bills two-year notes in november and five-year notes in early december the treasury said
 in the first three months of N the treasury estimates that it will have to raise between $ N billion and $ N billion assuming that it decides to aim for a $ N billion cash balance at the end of march
 lancaster colony corp. said it acquired <unk> foods inc. in a cash transaction
 terms were n't disclosed
 <unk> a maker and marketer of frozen <unk> and <unk> pasta based in <unk> iowa has annual sales of about $ N million lancaster said
 investors took advantage of tuesday 's stock rally to book some profits yesterday leaving stocks up fractionally
 bond prices and the dollar both gained modestly
 the dow jones industrial average finished less than a point higher to close at N in moderate trading
 but advancing issues on the new york stock exchange were <unk> ahead of declining stocks N to N
 long-term bond prices rose despite prospects of a huge new supply of treasury debt this month
 continuing demand for dollars from japanese investors boosted the u.s. currency
 analysts were disappointed that the enthusiasm investors showed for stocks in the wake of georgia-pacific 's $ N billion bid for great northern nekoosa <unk> so quickly
 the industrial average jumped more than N points tuesday as speculators rushed to buy shares of potential takeover targets
 but with the end of the year in sight money managers are eager to take profits and cut their risks of losing what for many have been exceptionally good returns in
 economic news had little effect on financial markets
 as expected a national purchasing managers ' report indicated the nation 's manufacturing sector continues to contract modestly
 the federal reserve 's <unk> book a summary of economic conditions across the country indicated that the overall economy remains in a pattern of sluggish growth
 in major market activity
 stock prices rose fractionally in moderate trading
 big board volume totaled N million shares
 bond prices were up
 the treasury 's benchmark 30-year bond gained about a quarter of a point or $ N for each $ N of face amount
 the yield fell to N N
 the dollar rose
 in late afternoon new york trading the currency was at N marks and N yen compared with N marks and N yen
 mitsui mining & <unk> co. posted a N N rise in pretax profit to N billion yen $ N million in its fiscal first half ended sept. N compared with N billion yen a year earlier
 net income more than tripled to N billion yen from N billion yen a year earlier
 eaton corp. said it sold its pacific sierra research corp. unit to a company formed by employees of that unit
 terms were n't disclosed
 pacific sierra based in los angeles has about N employees and supplies professional services and advanced products to industry
 eaton is an automotive parts controls and aerospace electronics concern
 investor harold simmons and nl industries inc. offered to acquire georgia gulf corp. for $ N a share or about $ N billion stepping up the pressure on the commodity chemicals concern
 the offer follows an earlier proposal by nl and mr. simmons to help georgia gulf restructure or go private in a transaction that would pay shareholders $ N a share
 georgia gulf rebuffed that offer in september and said it would study other alternatives
 however it has n't yet made any proposals to shareholders
 late yesterday georgia gulf said it reviewed the nl proposal as well as interests from third parties regarding business <unk>
 georgia gulf said it has n't eliminated any alternatives and that discussions are being held with interested parties and work is also continuing on other various transactions
 it did n't elaborate
 analysts saw the latest offer as proof that mr. simmons an aggressive and persistent investor wo n't leave georgia gulf alone until some kind of transaction is completed
 he has <unk> on their <unk> like a pit bull says paul <unk> a vice president with morgan stanley & co
 he appears to be in it for the long haul
 mr. simmons and nl already own a N N stake in georgia gulf
 mr. simmons owns N N of valhi inc. which in turn owns two-thirds of nl
 nl is officially making the offer
 mr. <unk> was n't surprised by the lower price cited by nl saying he believes that $ N a share is the most you can pay for georgia gulf before it becomes a bad acquisition
 georgia gulf stock rose $ N a share yesterday to close at $ N a share while nl shares closed unchanged at $ N and valhi rose N cents to $ N all in new york stock exchange composite trading
 j. <unk> martin nl president and chief executive officer said nl and mr. simmons cut the price they were proposing for georgia gulf because they initially planned a transaction that included about $ N million in equity and a substantial amount of high-yield subordinated debt
 however the junk-bond market has collapsed in recent weeks <unk> the likelihood that such a transaction would succeed
 now he said the group plans to put in several hundred million dollars in equity and finance the remainder with bank debt
 he also said that the group reduced its offer because it was n't allowed to see georgia gulf 's confidential financial information without agreeing that it would n't make an offer unless it had georgia gulf 's consent
 in a letter to georgia gulf president jerry r. <unk> mr. martin asked georgia gulf to answer its offer by tuesday
 it was n't clear how nl and mr. simmons would respond if georgia gulf <unk> them again
 mr. martin said they have n't yet decided what their next move would be but he did n't rule out the possibility of a consent solicitation aimed at replacing georgia gulf 's board
 in other transactions mr. simmons has followed friendly offers with a hostile tender offer
 although georgia gulf has n't been eager to negotiate with mr. simmons and nl a specialty chemicals concern the group apparently believes the company 's management is interested in some kind of transaction
 the management group owns about N N of the stock most purchased at nominal prices and would stand to gain millions of dollars if the company were sold
 in the third quarter georgia gulf earned $ N million or $ N a share down from $ N million or $ N a share on fewer shares outstanding
 sales fell to $ N million from $ N million
 a licensing company representing the university of pennsylvania added johnson & johnson to its lawsuit challenging a university faculty member over rights to <unk> <unk> medicine
 university patents inc. based in <unk> conn. said it seeks johnson & johnson 's profits from sales of <unk> estimated at $ N million a similar amount of punitive damages and the right to license <unk> elsewhere
 in may university patents filed a suit in federal court in philadelphia against albert m. <unk> a researcher and professor at the university of pennsylvania school of medicine who developed <unk> in the 1960s to combat <unk>
 dr. <unk> <unk> the medicine while employed by the university but later licensed the <unk> to a division of johnson & johnson
 in new <unk> n.j. a johnson & johnson spokesman declined comment
 criticism in the u.s. over recent japanese acquisitions is looming ever larger in the two countries ' relations
 officials from both nations say the u.s. public 's <unk> about japanese investment could color a second round of <unk> economic talks scheduled for next week in washington
 not that washington and tokyo disagree on the japanese acquisitions indeed each has come out in favor of <unk> investment in the u.s.
 where they disagree is on the subject of u.s. direct investment in japan
 the u.s. wants the removal of what it <unk> as barriers to investment japan denies there are real barriers
 the <unk> talk <unk> up by recent japanese investments in the u.s. is focusing attention on the differences in investment climate even though it 's only one of many subjects to be covered in the <unk> talks known as the structural <unk> initiative
 the japanese should see this rhetoric as a signal of the need for a change in their own economy says charles <unk> u.s. assistant treasury secretary who has been in tokyo this week <unk> discussing the impending negotiations with government and business leaders
 we have a long history of maintaining an open <unk> policy mr. <unk> says
 u.s. investors should have a greater opportunity at direct investment in japan
 the japanese <unk> openly about the u.s. public 's <unk>
 one clear sign of japan 's nervousness came this week when a spokesman for japan 's foreign ministry devoted nearly all of a regular half-hour briefing for foreign journalists to the subject of recent japanese investments in the u.s.
 we believe that it is <unk> important for those japanese business interests in the u.s. to be more aware of the <unk> and concerns of the american people said the spokesman <unk> <unk>
 at the same time though he <unk> the media for paying such close attention to japanese investment when other foreign countries notably britain are acquiring more american assets
 fears that japanese investors are buying up america have <unk> sharply in the past several weeks with sony corp. 's purchase of columbia pictures entertainment inc. from coca-cola co. and mitsubishi estate co. 's acquisition of a N N holding in rockefeller group the owner of some of <unk> manhattan 's most exclusive real estate
 even before those moves added fuel the fires of <unk> had been well <unk> by the highly publicized experience in japan of one u.s. investor t. boone pickens jr
 the texas <unk> has acquired a N N stake valued at more than $ N billion in an <unk> company <unk> manufacturing co
 but he has failed to gain any influence at the company
 <unk> has refused to grant mr. pickens seats on its board <unk> he is a <unk> trying to pressure <unk> 's other shareholders into buying him out at a profit
 mr. pickens made considerable political <unk> with his troubles in japan
 the senate finance committee <unk> by a fellow <unk> democratic sen. lloyd <unk> last month urged u.s. trade representative carla hills to use mr. pickens 's experience in talks with tokyo to highlight this problem facing americans who seek access to the japanese capital markets
 while mr. <unk> and japanese officials say the question of investors ' access to the u.s. and japanese markets may get a disproportionate share of the public 's attention a number of other important economic issues will be on the table at next week 's talks
 among them are differences in savings and investment rates corporate structures and management and government spending
 each side has a <unk> of recommendations for the other
 the u.s. says it is anxious for results
 we feel very strongly that we really need action across the full range of issues we 've identified and we need it by next spring mr. <unk> says
 both sides have agreed that the talks will be most successful if negotiators start by focusing on the areas that can be most easily changed
 but they have n't <unk> what those might be
 after the first set of meetings two months ago some u.s. officials complained that japan had n't come up with specific changes it was prepared to make
 the japanese <unk> that the first round was too early to make concessions
 just to say the distribution system is wrong does n't mean anything says a ministry of international trade and industry official
 we need to clarify what exactly is wrong with it
 that process of <unk> out <unk> is likely to take time the japanese say no matter how badly the u.s. wants quick results
 for instance at the first meeting the two sides could n't even agree on basic data used in price discussions
 since then a team of about N <unk> and u.s. commerce department officials have crossed the globe <unk> consumer prices
 by monday they hope to have a <unk> of documents both sides can trust
 little by little there is progress says the <unk> official
 both sides are taking action
 <unk> <unk> contributed to this article
 while worry grows about big japanese investments in the u.s. japan 's big trading companies are rapidly increasing their stake in america 's smaller business
 for japan the controversial trend improves access to american markets and technology
 but for small american companies it also provides a growing source of capital and even marketing help
 take the deal with candela laser corp. a <unk> mass. manufacturer of high-tech medical devices which three years ago set its sights on japan as an export market
 partly to help clear the <unk> obstacles facing any overseas company trying to <unk> japan tiny candela turned to mitsui & co. one of japan 's largest trading companies for investment
 in a joint-venture deal mitsui <unk> candela through tokyo 's bureaucratic <unk>
 it eventually secured ministry of health import approval for two candela laser products one that breaks up kidney stones and another that <unk> skin <unk>
 at last count candela had sold $ N million of its medical devices in japan
 the deal also gave mitsui access to a high-tech medical product
 they view this as a growth area so they went about it with a <unk> approach says richard <unk> a candela vice president
 indeed for many japanese trading companies the favorite u.s. small business is one whose research and development can be <unk> for future japanese use
 the japanese companies <unk> many small u.s. companies with promising products or ideas frequently putting their money behind projects that commercial banks wo n't touch
 japanese companies have financed small and medium-sized u.s. firms for years but in recent months the pace has taken off
 in the first half of N alone japanese corporations invested $ N million in minority positions in u.s. companies a N N rise from the figure for all of N reports venture economics inc
 the needham mass. concern tracks investments in new businesses
 in addition of course some of the japanese investments involved outright purchase of small u.s. firms
 heightened japanese interest in american small business parallels an acceleration of investments giving japanese companies control of large highly visible u.s. corporations such as columbia pictures entertainment inc
 only this week it was announced that mitsubishi estate co. had acquired a N N stake in rockefeller group which owns new york 's prestigious rockefeller center
 while the small deals are far less <unk> they add to japanese <unk> of the u.s. market
 as the deals also improve japanese access to american technology and market knowledge they feed american <unk> in this area too
 even a <unk> product like plate glass can catch a trading company 's fancy if there 's a strategic fit
 free state glass industries of <unk> va. a small <unk> of architectural glass was <unk> under its original management
 last year mitsubishi international corp. the new york-based arm of mitsubishi corp. bought controlling interest in the glass company in a joint venture with ronald <unk> a glass industry executive and mitsubishi consultant
 the deal is <unk> designed to give mitsubishi a window on the u.s. glass industry says <unk> <unk> an executive in mitsubishi 's general merchandise department in new york
 it 's not just a simple investment in a small company mr. <unk> says
 we want to see the glass market from the inside not the outside
 mitsubishi 's investment in free state is very small less than $ N million mr. <unk> says
 mr. <unk> declines to comment on the arrangement
 trading companies such as mitsubishi mitsui c. <unk> & co. and <unk> corp. which make many of the japanese investments in small u.s. concerns have no u.s. counterpart
 these <unk> integrated combines some of which got their start in japan 's <unk> period deal <unk> in commodities construction and manufacturing
 they operate ships and banks
 all the <unk> are looking for new business says arthur <unk> adviser to the president of mitsui u.s.a. using the japanese term for the largest of the global trading houses
 adds <unk> <unk> senior vice president of c. <unk> america inc. we have a great interest in making investments particularly in new ventures
 a host of electronics firms in california 's silicon valley were financed with <unk> venture capital
 profit at least in the short term is usually a secondary goal
 strategic objectives not financial return drive many of the deals says a venture economics spokesman
 in investing on the basis of future transactions a role often performed by merchant banks trading companies can cut through the <unk> that <unk> owners often face with their local commercial banks
 it 's the classic problem of the small businessman says malcolm <unk> managing director of trading alliance corp. of new york
 people are <unk> at the door to take his product but he does n't have the working capital to make the thing and commercial banks are very <unk>
 they want assets they want a balance sheet which has no <unk> to the business a company can generate
 adds mitsui 's mr. <unk> unlike corporations in this country trading companies are n't so much interested in a high return on investment as they are on increasing trade flows
 to the extent they can do this they 're quite content to get a return on investment of N N to N N
 mr. <unk> says mitsui has N u.s. subsidiaries in which it holds N N interest or more and the trading company hopes to double the number of its u.s. affiliates in N
 sales by these subsidiaries in the fiscal year ending last march were more than $ N billion
 a N N to N N return on $ N billion ai n't <unk> mr. <unk> says
 hudson general corp. 's president and chief executive officer alan j. <unk> resigned
 mr. <unk> N years old could n't be reached for comment
 a company spokesman declined to elaborate on the departure
 hudson general which provides maintenance fueling and other services to airlines and airports reported a loss for its most recent fiscal year and last month omitted the semiannual dividend on its common shares
 mr. <unk> who had been with the company more than N years and had been president since N will act as a consultant to hudson general
 his duties as chief executive will be assumed by chairman jay b. <unk>
 for N years <unk> <unk> went to her neighborhood bank because it was convenient
 a <unk> customer that banks <unk> for she did n't give much thought to the rates she was receiving nor to the fees she was paying
 but in august first atlanta national bank introduced its crown account a package designed to lure customers such as ms. <unk>
 among other things it included checking safe deposit box and credit card all for free plus a good deal on installment loans
 all she had to do was put $ N in a certificate of deposit or qualify for a $ N personal line of credit
 i deserve something for my loyalty she says
 she took her business to first atlanta
 so it goes in the competitive world of consumer banking these days
 for nearly a decade banks have <unk> for customers primarily with the interest rates they pay on their deposits and charge on their loans
 the competitive rates were generally offset by hefty fees on various services
 but many banks are turning away from strict price competition
 instead they are trying to build customer loyalty by <unk> their services into packages and targeting them to small segments of the population
 you 're dead in the water if you are n't <unk> the market says anne moore president of <unk> research corp. a bank consulting firm in atlanta
 ncnb corp. of charlotte n.c. recently introduced its financial connections program aimed at young adults just starting careers
 the program not only offers a <unk> car loan up to $ N but throws in a special <unk> statement to help in saving money
 in september union <unk> corp. of memphis tenn. launched the edge account a package designed for the <unk> crowd with services that include a credit card and line of credit with no annual fees and a full percentage point off on installment loans
 the theory such individuals many with young children are in their prime borrowing years and having borrowed from the bank they may continue to use it for other services in later years
 for some time banks have been aiming packages at the elderly the <unk> segment with the highest savings
 those efforts are being stepped up
 <unk> macdonald vice president of retail sales at barnett banks inc. of <unk> fla. says the company now targets <unk> within the market by <unk> its popular seniors partners program to various life styles
 <unk> age geography and <unk> differences create numerous <unk> ms. macdonald says
 she says individual barnett branches can add different benefits to their seniors partners package such as athletic activities or travel clubs to appeal to local market interests
 an active <unk> in <unk> <unk> may care more about senior olympic games while a <unk> in panama city may care more about a <unk> on health she says
 banks have tried packaging before
 in N wells fargo & co. of san francisco launched the gold account which included free checking a credit card <unk> box and travelers checks for a $ N monthly fee
 the concept <unk> a slew of <unk> but the banks stopped promoting the packages
 one big reason thin margins
 many banks particularly smaller ones were slow to <unk> and could n't target market <unk> that would have made the programs more profitable
 as banks ' earnings were squeezed in the mid-1970s the emphasis switched to finding ways to cut costs
 but now computers are enabling more banks to analyze their customers by age income and geography
 they are better able to get to those segments in the wake of the deregulation that began in the late 1970s
 deregulation has effectively removed all restrictions on what banks can pay for deposits as well as opened up the field for new products such as <unk> cds
 where a bank once offered a standard <unk> savings account it began offering money-market accounts certificates of deposit and <unk> checking and staggering rates based on the size of deposits
 the competition has grown more intense as bigger banks such as <unk> corp. of minneapolis and chemical banking corp. of new york extend their market-share <unk> into small towns across the nation
 today a banker is worrying about local regional and <unk> banks as well as thrifts and credit unions says ms. moore at <unk> research
 so people who were n't even thinking about targeting N years ago are scrambling to define their customer base
 the competition has <unk> a much <unk> consumer
 the average household will spread N accounts over a dozen financial institutions says michael p. sullivan who runs his own bank consulting firm in charlotte n.c
 this much <unk> makes attracting and keeping today 's <unk> customers costly
 packages encourage loyalty by rewarding customers for doing the bulk of their banking in one place
 for their troubles the banks get a larger <unk> audience that is less likely to move at the drop of a rate
 the more accounts customers have mr. sullivan says the more likely they are to be attracted to a package and to be loyal to the bank that offers it
 that can pay off down the road as customers especially the younger ones change from borrowers to <unk>
 packaging has some <unk>
 the additional technology personnel training and promotional effort can be expensive
 chemical bank spent more than $ N million to introduce its <unk> line several packages aimed at different segments in N according to thomas jacob senior vice president of marketing
 it 's not easy to roll out something that comprehensive and make it pay mr. jacob says
 still bankers expect packaging to <unk> primarily because more customers are demanding that financial services be tailored to their needs
 these days banking customers walk in the door expecting you to have a package especially for them ms. moore says
 some banks are already moving in that direction according to alvin t. sale marketing director at first union corp. in charlotte
 first union he says now has packages for seven customer groups
 soon it will split those into N
 says mr. sale i think more banks are starting to realize that we have to be more like the department store not the <unk>
 iras
 <unk> inc. said it will <unk> a registration statement filed with the securities and exchange commission to <unk> a plan to sell N newly issued common shares
 the chandler ariz. company said it will <unk> the registration to cover only the N million warrants each exercisable for the purchase of one common share
 currently <unk> has about N million common shares outstanding
 <unk> develops and markets low-cost software peripheral equipment and accessories for computers
 five things you can do for $ N or less
 N buy a new chevrolet
 N take a <unk> vacation
 N send your child to a university
 N buy a diamond <unk>
 N make a lasting difference in the regulatory life of an american savings-and-loan association through the foster corporate parents plan
 americans today spend $ N like <unk> change they do n't think much about it
 but for an ailing savings-and-loan association <unk> on <unk> it can lead to safety from imminent demise and to a future full of promise
 your $ N will help keep a <unk> savings and loan <unk> and out of the federal budget deficit
 as a foster corporate parent you 'll be helping a neighborhood s&l in areas crucial to its survival
 like healthy regulatory capital
 a steady deposit base
 performing loans
 at the same time you 'll give your foster savings institution the gift of hope and freedom from the federal regulators who want to close its doors for good
 as a foster corporate parent you will experience the same <unk> felt by robert bass lewis <unk> william simon and others who find ways to help troubled savings institutions and their employees help themselves
 that builds confidence <unk> <unk> not to mention critical regulatory net worth
 do n't wait a savings institution needs your help now
 every day you delay a savings institution 's health and the federal budget deficit grows worse
 think about the good you can do for just $ N a month about the cost of a <unk> chevrolet or two <unk> at a state university
 then send your support to a savings institution that has taken a bad <unk> in the press and on its bottom line
 every $ N you send will go a long way to boost sagging net worth and employee morale and keep your foster savings institution off the federal budget deficit
 mr. <unk> is a lawyer in new york
 the chicago mercantile exchange said it plans to institute an additional circuit breaker aimed at stemming market <unk>
 separately john phelan told a closed house subcommittee meeting in washington that he would support securities and exchange commission halts of program trading during market <unk>
 but the new york stock exchange chairman said he does n't support <unk> a collar on program trading arguing that firms could get around such a limit
 the chicago merc said a new one-hour price limit would take effect in its standard & poor 's N stock-index futures pit once s&p N futures fell N index points the equivalent of about a <unk> drop in the dow jones industrial average
 if the <unk> limit is triggered after N p.m chicago time it would remain in effect until the normal close of trading at N p.m
 with the limit in effect members would be able to execute trades at the limit price or at higher prices but not below it
 the exchange said it decided a new circuit breaker was needed following a review of the tumultuous trading in stocks and stock-index futures on friday oct. N when the dow jones industrials plunged N points and stock-index futures prices skidded as well
 late that afternoon the s&p N stock-index futures contract fell a total of N index points hitting a merc circuit breaker limit that remained in effect for the rest of the trading session
 the merc said that its existing <unk> <unk> limit on s&p N stock-index futures trading equal to about N points on the dow jones industrials which was triggered oct. N will remain in effect
 leo <unk> merc executive committee chairman said that the <unk> limit appeared to <unk> the selling panic oct. N
 but when the contract reopened the subsequent flood of sell orders that quickly knocked the contract down to the <unk> limit indicated that the intermediate limit of N points was needed to help keep stock and stock-index futures prices <unk>
 several traders maintained that the merc 's <unk> <unk> <unk> the market slide oct. N by <unk> additional selling pressure to the floor of the new york stock exchange
 all of the changes require regulatory approval which is expected shortly
 the exchange also said that the <unk> circuit breaker which currently provides only a one-hour <unk> during market <unk> will become the maximum one-day limit for the s&p N stock-index futures contract the one-day limit now is N index points
 a final <unk> was made to the <unk> opening limit for the contract
 the merc said that <unk> limit will remain in effect for the first N minutes of trading
 the limit <unk> under current exchange rules if contracts trade above the limit price during the opening N minutes of trading
 in washington house aides said mr. phelan told congressmen that the collar which banned program trades through the big board 's computer when the dow jones industrial average moved N points did n't work well
 he said that firms could get around the collar by executing trades <unk>
 in a <unk> news conference mr. phelan who has publicly expressed concern about market volatility said he told the house finance and telecommunications subcommittee that he would support the program-trading halt proposal providing the sec would be comfortable with the language in a bill
 the program-trading issue is heating up on capitol hill as it is on wall street and several legislators want to grant the sec the power to shut off the programs when trading becomes too volatile
 sec chairman richard breeden has said he would be willing to consider circuit breakers that have <unk> trigger points but he does n't want discretionary power to stop programs
 a house aide suggested that mr. phelan was so vague and <unk> that it was the kind of meeting where people of all <unk> could come out feeling good
 at one point mr. phelan angered the subcommittee 's chairman rep. edward markey d. mass. by not going much beyond what already had been reported in the morning newspapers
 markey said we could have done this in public because so little sensitive information was disclosed the aide said
 mr. phelan then responded that he would have been happy just writing a report to the panel the aide added
 at another point during the hearing rep. markey asked mr. phelan what would be discussed at a new york exchange board meeting today
 mr. phelan said the big board is likely to study the program-trading issue
 that response <unk> rep. markey house aides said and the congressman snapped back that there had been enough studies of the issue and that it was time for action on the matter
 <unk> of the N subcommittee members attended the hearing most notably rep. john dingell d. mich. the full house energy and commerce committee chairman who has been willing to let mr. markey carry the legislation in recent months
 mr. dingell expressed concern sources said about <unk> problems in <unk> program trading which uses futures to offset stock trades
 the futures industry is regulated by the commodity futures trading commission which reports to the agriculture committees in both houses
 the art of <unk> is <unk> to the english and like most english <unk> <unk> to the rest of the world
 <unk> l. <unk> the nine <unk>
 <unk> england
 of all scenes that <unk> rural england this is one of the <unk> an ancient stone church stands amid the fields the sound of bells <unk> from its tower calling the <unk> to <unk>
 the <unk> of st. michael and all angels stop to <unk> at the church door as members here always have
 in the tower five men and women pull <unk> on ropes attached to the same five bells that first sounded here in N
 but there is also a <unk> modern note in <unk> though it ca n't be heard by the <unk> enjoying the <unk> of bells this cool autumn evening
 like most of the other N <unk> in britain with sets of bells st. michael once had its own band of ringers who would herald every sunday morning and evening service
 now only one local ringer remains <unk> <unk> hammond
 the others here today live elsewhere
 they belong to a group of N ringers including two <unk> and four youngsters in training who drive every sunday from church to church in a <unk> effort to keep the bells <unk> in the many <unk> of east <unk>
 to ring for even one service at this tower we have to <unk> says mr. hammond a retired <unk> worker
 we 've tried to train the youngsters but they have their <unk> and their <unk> and they just <unk> away
 mr. hammond worries that old age and the <unk> of youth will <unk> the ranks of the east <unk> group that keeps the <unk> bells <unk>
 history after all is not on his side
 according to a nationwide survey taken a year ago nearly a third of england 's church bells are no longer <unk> on <unk> because there is no one to ring them
 it is easy to see why the ancient art is on the ropes
 the less complicated version of playing <unk> on bells as do the <unk> of continental europe is considered by the english to be <unk> fit only for foreigners
 <unk> a <unk> exercise the english invented N years ago requires physical <unk> some bells weigh more than a ton combined with intense mental concentration
 proper english bells are started off in <unk> from the <unk> bell to the lowest a simple <unk> scale using in larger <unk> as many as N bells
 then at a signal the ringers begin <unk> the order in which the bells sound without <unk> the steady <unk> of the striking
 each <unk> or change can occur only once the rules state
 ringers <unk> patterns of changes known as methods which have <unk> names like kent <unk> bob major or <unk> <unk>
 a series of N or so changes is a <unk> and takes about three hours
 a look at a thursday night practice at st. mary <unk> church in the <unk> district of london gives an idea of the work involved
 ten <unk> ringers stand in a circle one foot ahead of the other in a <unk> 's stance each pulling a <unk> that disappears through a small hole in the high ceiling of the ringing chamber
 no one speaks and the <unk> of the ropes seems to make as much sound as the bells themselves <unk> by the ceiling
 totally absorbed the ringers <unk> straight ahead using peripheral vision they call it <unk> to watch the other ropes and thus time their pulls
 far above in the <unk> the huge <unk> bells mounted on wheels swing <unk> through a full N degrees starting and ending surprisingly in the <unk> or <unk> position
 skilled ringers use their <unk> to advance or <unk> the next swing so that one bell can swap places with another in the following change
 in a well-known <unk> involving church bells english novelist <unk> l. <unk> described ringing as a passion that finds its satisfaction in <unk> <unk> and mechanical <unk>
 ringers she added are filled with the <unk> <unk> that comes of <unk> <unk> <unk> performed
 ringing does become a bit of an <unk> admits <unk> <unk> master of the band at st. mary <unk> and one of england 's best female ringers
 it is a passion that usually stays in the tower however
 more often than not ringers think of the church as something stuck on the bottom of the <unk>
 when their changes are completed and after they have worked up a sweat ringers often <unk> off to the local <unk> leaving <unk> for others below
 this does not sit well with some <unk>
 with membership of the church of england steadily <unk> <unk> <unk> are pressing equally <unk> and often <unk> ringers to attend services
 two years ago the rev. <unk> <unk> vicar of great <unk> <unk> got so fed up with ringers who did n't attend service he <unk> the entire band the ringers promptly set up a picket line in protest
 they were a <unk> club that treated the tower as sort of a separate premises the vicar <unk> says
 an entirely new band <unk> today at great <unk> several of whom are members of the <unk>
 but there still are n't enough ringers to ring more than six of the eight bells
 at st. mary 's church in <unk> <unk> the bells have fallen silent following a <unk> over church attendance
 the vicar <unk> jones refuses to talk about it saying it would reopen the wound
 but <unk> marshall vicar of a nearby church feels the fault is in the <unk> from the bell tower that are located next to the <unk>
 so crunch crunch crunch bang bang bang here come the ringers from above making a very obvious exit while the <unk> is at <unk> he says
 vicar marshall admits to mixed feelings about this issue since he is both a vicar and an active <unk> himself
 the sound of bells is a net to draw people into the church he says
 i live in hopes that the ringers themselves will be drawn into that <unk> life
 the central council of church bell ringers a sort of parliament of ringing groups aims to improve relations with <unk> says john c. baldwin president
 it hopes to speak to students at <unk> colleges about the <unk> of bell ringing and will shortly publish a <unk> for every vicar in the country entitled the bells in your care
 says mr. baldwin we recognize that we may no longer have as high a priority in church life and experience
 mr. baldwin is also attacking the greater problem lack of ringers
 one survey says that of the N trained <unk> in england today only N of them still ring
 also ringers do n't always live where the bells need to be <unk> like in small rural <unk> and inner-city <unk>
 but the council 's program to attract and train ringers is only partly successful says mr. baldwin
 right now we 're lucky if after five years we keep one new ringer out of N he adds
 one bright sign is that a growing number of women have entered the once <unk> field more than a third of the ringers today are women
 they are n't accepted everywhere however
 the oldest <unk> group in the country the ancient society of college <unk> founded in N remains <unk> a fact that 's particularly <unk> to women because the group is the sole source of ringers for britain 's most prestigious <unk> st. paul 's <unk> and <unk> <unk>
 this being britain no woman has filed an <unk> suit but the extent of the problem surfaced this summer in a series of letters to the ringing world a weekly newspaper for ringers
 one writer signing his letter as <unk> balanced male <unk> on the frequency of women <unk> in <unk> and suggested that they settle back into their traditional role of making tea at meetings
 in the <unk> of replies that followed one woman ringer from <unk> observed that the average male ringer leaves quite a lot to be <unk> badly dressed <unk> with <unk> and a large <unk> frequently <unk> and <unk> <unk> in <unk>
 another women wrote from <unk> to say that in her N years of ringing i have never known a lady to <unk> in the <unk>
 i have seen one or two men die <unk> them
 investors unsettled by the stock market 's gyrations can take some comfort in the predictable <unk> of quarterly dividend checks
 that has been particularly true this year with many companies raising their payouts more than N N
 but do n't <unk> too easy those dividend increases may signal trouble ahead for stock prices some analysts warn
 in the past they say the strongest dividend growth has often come at times when the stock-market party was almost over
 that can be a trap for <unk> investors says richard bernstein senior <unk> analyst at merrill lynch & co
 strong dividend growth he says is the black widow of valuation a reference to the female <unk> that attract males and then kill them after <unk>
 stephen boesel president of t. rowe price growth and income fund explains that companies raise their payouts most <unk> only after the economy and corporate profits have been growing for some time
 invariably those strong periods in the economy give way to <unk> environments he says
 and <unk> environments are n't <unk> to the stock market
 indeed analysts say that payouts have sometimes risen most sharply when prices were already on their way down from cyclical <unk>
 in N for example dividends on the stocks in standard & poor 's 500-stock index soared N N following much slower growth the year before
 the s&p index started sliding in price in september N and fell N N in N despite a N N expansion in dividends that year
 that pattern has n't always held but recent strong growth in dividends makes some market watchers anxious
 payouts on the s&p N stocks rose N N in N according to standard & poor 's corp. and wall street estimates for N growth are generally between N N and N N
 many people believe the growth in dividends will slow next year although a minority see double-digit gains continuing
 meanwhile many market watchers say recent dividend trends raise another warning flag while dividends have risen <unk> their expansion has n't kept pace with even stronger advances in stock prices
 as a result the market 's dividend yield dividends as a percentage of price has slid to a level that is fairly low and <unk> by historical standards
 put another way the decline in the yield suggests stocks have gotten pretty rich in price relative to the dividends they pay some market analysts say
 they are keeping a close watch on the yield on the s&p N
 the figure is currently about N N up from N N before the recent market slide
 some analysts say investors should run for the <unk> if a sustained market rebound <unk> the yield below N N
 a drop below that N N benchmark has always been a strong warning sign that stocks are fully valued says mr. boesel of t. rowe price
 in fact the market has always <unk>
 always
 there 's never been an exception says gerald w. <unk> a chicago investment adviser and money manager based on a review of six decades of stock-market data
 the last time the s&p N yield dropped below N N was in the summer of N
 stockholders who took the hint and sold shares escaped the october debacle
 there have been only seven other times in N N N N N N and N when the yield on the s&p N dropped below N N for at least two consecutive months mr. <unk> found
 and in each case he says a sharp drop in stock prices began within a year
 still some market analysts say the current N N reading is n't as troublesome as it might have been in years past
 it 's not a very meaningful indicator currently because corporations are not <unk> in a traditional manner says james h. <unk> head of stock investments for cigna corp. the <unk> insurer
 in particular mr. <unk> says businesses are paying out a smaller percentage of their profits and cash flow in the form of dividends than they have historically
 so while stock prices may look fairly high relative to dividends they are not excessive relative to the underlying corporate strength
 rather than increasing dividends some companies have used cash to buy back some of their shares notes steven g. einhorn <unk> of the investment policy committee at goldman sachs & co
 he factors that into the market yield to get an adjusted yield of about N N
 that is just a <unk> below the average of the past N years or so he says
 what will happen to dividend growth next year
 common wisdom suggests a <unk> rate of growth reflecting a weakening in the economy and corporate profits
 painewebber inc. for instance is forecasting growth in s&p N dividends of just under N N in N down from an estimated N N this year
 in other years in which there have been moderate economic <unk> the environment the firm expects in N the change in dividends ranged from a gain of N N to a decline of N N according to painewebber analyst thomas <unk>
 the minority argument meanwhile is that businesses have the financial <unk> this time around to declare sharply higher dividends even if their earnings weaken
 dividend growth on the order of N N is expected by both mr. <unk> of cigna and mr. einhorn of goldman sachs
 those dividend bulls argue that corporations are in the unusual position of having plenty of cash left over after paying dividends and making capital expenditures
 one indicator investors might want to watch is the monthly tally from standard & poor 's of the number of public companies adjusting their dividends
 a total of N companies raised dividends in october basically unchanged from N a year ago s&p said wednesday
 that followed four straight months in which the number of increases trailed the year-earlier pace
 while the s&p tally does n't measure the magnitude of dividend changes a further <unk> in the number of dividend increases could be a <unk> of slower dividend growth next year
 in any case opinion is mixed on how much of a boost the overall stock market would get even if dividend growth continues at double-digit levels
 mr. einhorn of goldman sachs estimates the stock market will deliver a N N to N N total return from appreciation and dividends over the next N months vs. a cash rate of return of perhaps N N or N N if dividend growth is weak
 but mr. boesel of t. rowe price who also expects N N growth in dividends next year does n't think it will help the overall market all that much
 having the dividend increases is a supportive element in the market outlook but i do n't think it 's a main consideration he says
 with slower economic growth and flat corporate earnings likely next year i would n't look for the market to have much upside from current levels
 your oct. N page-one story on the renewed plight of western union says that western union had lost its chance to be in the telephone business by turning down alexander graham bell 's offer to it of his <unk> because it supposedly felt that voice communication would never replace the telegraph
 such is hardly the case
 bell 's <unk> <unk> g. hubbard wealthy and <unk> obtained financing to start the american bell telephone co. in boston which even had a subsidiary in new york called the telephone co. of new york
 this is where bell 's patents went
 western union indeed wanted to get into the telephone business
 it acquired thomas edison 's <unk> patent and then immediately sued the bell co. claiming that the <unk> invented by my <unk> <unk> <unk> which had been sold to bell for a <unk> $ N infringed upon western union 's edison patent
 when bell established that the <unk> patent <unk> was registered N days before edison 's application western union dropped the lawsuit and agreed never to enter the telephone business the basis for the company 's current plight
 oliver <unk> beverly hills calif
 troubled nbi inc. said it fired more than half its work force and is <unk> its hardware business to focus on its software and service operations
 the ailing company which has reported net losses for N consecutive quarters said it wo n't manufacture network computer systems any more and will greatly reduce its costly direct sales force
 altogether nbi said it will eliminate N jobs at its <unk> headquarters N field sales jobs and N jobs at its canadian and united kingdom headquarters
 the company 's work force will fall to about N people
 stephen g. <unk> president and chief executive officer said customers were n't willing to commit to an expensive nbi hardware systems because of the company 's financial troubles
 further he said the company does n't have the capital needed to build the business over the next year or two
 we flat ran out of financing resources mr. <unk> said
 we had to do something <unk> and <unk> different
 as a result he said nbi will focus on <unk> its installed base of systems trying to provide maintenance for other manufacturers and expanding its software business using some of the applications it developed for its hardware
 the company currently offers a <unk> package for personal computers called <unk>
 the company which recently said it lacked the profits and capital to pay dividends on its series a convertible preferred stock said it has hired an investment banker to help it raise additional cash
 in new york stock exchange composite trading yesterday nbi common closed at N cents a share up N cents
 it was richard nixon 's first visit to china in N that set in motion the historic <unk> between beijing and washington
 but the former u.s. president 's sixth visit to china during which he spoke at length with chinese leaders was nowhere near as successful at easing <unk> that have recently <unk> the <unk> relationship
 mr. nixon the most prominent american to come to china since beijing 's bloody <unk> of pro-democracy demonstrators in june <unk> on international <unk> over the massacre
 the chinese in turn took aim at american <unk> in china 's domestic affairs
 one official newspaper legal daily even directly criticized mr. nixon who is normally referred to here as an old friend
 the paper accused him of being a leading <unk> of peaceful evolution a catch phrase to describe what china believes is the policy of western countries to <unk> socialist nations into the capitalist <unk>
 the tension was evident on wednesday evening during mr. nixon 's final <unk> <unk> normally an opportunity for <unk> <unk> about <unk> friendship
 instead mr. nixon reminded his host chinese president <unk> <unk> that americans have n't <unk> china 's leaders for the military assault of june N that killed hundreds and perhaps thousands of demonstrators
 many in the united states including many friends of china believe the crackdown was excessive and <unk> mr. nixon told mr. <unk> who was directly involved in ordering the attack
 the events of april through june damaged the respect and confidence which most americans previously had for the leaders of china
 the chinese responded in an equally <unk> fashion
 in talks with mr. nixon chinese leaders expressed no regret for the killings and even suggested that the u.s. was <unk> involved in the demonstrations this spring
 in a meeting tuesday supreme leader deng <unk> told mr. nixon frankly speaking the u.s. was involved too deeply in the turmoil and <unk> <unk> which occurred in beijing not long ago
 china was the real victim and it is <unk> to <unk> china for it
 despite the harsh exchanges the u.s. and china still seem to be looking for a way to <unk> relations which have deteriorated into what mr. nixon referred to as the greatest crisis in <unk> relations since his initial visit to china N years ago
 in his return <unk> to mr. nixon mr. <unk> said the relationship had reached a <unk>
 relations between china and the u.s. have been <unk> since june N when chinese dissident <unk> <unk> and his wife <unk> <unk> took refuge in the u.s. embassy in beijing
 shortly <unk> mr. bush imposed a series of <unk> sanctions including suspension of most <unk> talks which could be <unk> in u.s. congressional legislation in the coming weeks
 mr. nixon is traveling in china as a private citizen but he has made clear that he is an <unk> <unk> for the bush administration
 mr. nixon met mr. bush and his national security adviser <unk> scowcroft before coming to china on saturday
 and he plans to brief the president at the end of the week u.s. sources said
 mr. nixon was to leave china today
 according to an american member of the nixon party the former president raised a number of controversial issues in his N hours of talks with <unk> chinese officials
 these included china 's economic policies human rights and the question of mr. <unk>
 mr. nixon also proposed that china restore its participation in the <unk> program a u.s. <unk> academic exchange
 china pulled out of the program in july
 in his talks the former president urged china 's leaders to acknowledge that their nation is part of the world community and welcome the <unk> of outside contacts and ideas
 ideas are going over borders and there 's no sdi ideological weapon that can shoot them down he told a group of americans at the u.s. embassy on wednesday
 there are no signs however of china 's yielding on key issues
 but in one minor matter mr. nixon appears to have gained a <unk>
 in a meeting with premier <unk> <unk> on monday mr. nixon said that he hoped he would n't <unk> guards with machine guns during his visit to the u.s. embassy
 sure enough when he arrived at the embassy two days later the <unk> guards were gone for the first time in five months
 a few blocks away at the u.s. ambassador 's residence the guards <unk> the compound also had discarded their <unk> arms for the first time since early june
 but the guards there retained their <unk> and a large contingent of <unk> police remained nearby in <unk> cars
 moreover police and soldiers continue to <unk> americans who have filed several protests with the foreign ministry in the past week
 several times chinese guards have pointed their automatic <unk> at young children of u.s. diplomats and <unk> the trigger
 the <unk> were n't loaded
 your oct. N article japan 's financial firms lure science graduates states industrial companies are <unk> financial institutions of <unk> japan 's economy by raising the salary stakes for new employees
 the japanese industrial companies should know better
 they are <unk> up the wrong tree because it is basically their fault they ca n't attract new employees
 <unk> <unk> president of fujitsu ltd. believes the money <unk> among young people caused the problem
 he is just passing the buck to young people
 what 's wrong with asking for more money
 money is not everything but it is necessary and business is not volunteer work
 it is not <unk> to choose a <unk> job
 unfortunately japanese manufacturers have neither good working conditions nor good compensation packages
 i get the impression that some japanese managers believe working harder for less money is beautiful
 i visited a lot of major japanese manufacturers but i never felt i would want to be employed by any of them
 many of them recently have been spending a lot of money on public relations and advertising to improve their images but they should realize that the most important thing is real change not changing people 's perceptions
 if the japanese companies are seriously considering their survival they could do at least three things to improve the situation raise salaries higher than those of financial institutions improve working conditions better offices and more <unk> for example accept and hire more labor from outside japan
 <unk> <unk>
 in reference to your oct. N page-one article barbara bush earns even higher ratings than the president it is <unk> that you must continually define blacks by our <unk> among liberals N N have positive views of her while N N approve of the president 's job performance
 in part this may reflect the fact that she speaks a more <unk> language than her husband as columbia 's <unk> <unk> klein puts it
 among professionals N N have a favorable opinion of her compared to N N who approve of her husband 's performance
 while a quarter of black voters <unk> of mr. bush 's handling of his job only N N have a negative view of his spouse
 the statistics <unk> that <unk> of blacks approve of mr. bush 's job performance and N N of blacks approve of mrs. bush
 if the assumption is that it is surprising that so few blacks find mr. and mrs. bush <unk> the positive view is even more <unk>
 such an editorial point of view <unk> an <unk> <unk> perspective
 why are we blacks continually defined by our minority and the lowest common <unk>
 <unk> g. foster birmingham <unk>
 the national association of securities dealers the <unk> organization for the over-the-counter securities markets disciplined a number of firms and individuals for alleged violations of industry rules
 two firms were expelled from the nasd three were suspended or barred and nine were fined
 first securities group of california and a principal of the firm louis fernando <unk> of marina del rey calif. were jointly fined $ N and expelled for alleged violations of reporting requirements on securities sales
 also mr. <unk> was barred from association with any nasd member
 neither first securities of beverly hills nor mr. <unk> could be reached for comment
 a <unk> operator had no listing for either party
 <unk> henry & co. miami and a principal of the firm henry i. <unk> of miami were jointly fined $ N and expelled for alleged improper use of a customer 's funds among other things
 also mr. <unk> was barred from association with any nasd member
 <unk> henry has n't any miami telephone listing an operator said
 mr. <unk> who apparently has an unpublished number also could n't be reached
 <unk> securities corp. of <unk> fla. and a principal of the firm alvin <unk> of <unk> fla. were jointly fined $ N and given <unk> <unk> for allegedly selling securities at unfair prices
 <unk> has n't any telephone listing an operator said
 mr. <unk> who apparently has an unpublished phone number also could n't be reached
 <unk> securities of <unk> calif. and a principal of the firm <unk> george chase also of <unk> were jointly fined $ N and given 30-day <unk> as part of a settlement
 while neither admitting nor denying wrongdoing <unk> and mr. chase consented to findings of violations in connection with <unk> sales
 officials of <unk> could n't be reached for comment
 mr. chase did n't return a telephone call to his office
 crane & co. securities inc. of mount <unk> mich. and its president glenn r. crane of sterling heights mich. consented to a joint fine of $ N
 without admitting or denying wrongdoing they consented to findings of violations of escrow and <unk> rules
 mr. crane did n't return a call seeking comment
 first commonwealth securities corp. of new orleans and its president kenneth j. <unk> also of new orleans consented to a $ N fine
 also mr. <unk> received a <unk> suspension in a principal capacity
 without admitting or denying wrongdoing they consented to findings that they had <unk> represented the firm 's net capital maintained inaccurate books and records and made other violations
 mr. <unk> confirmed he had consented to the sanctions but declined to comment further
 <unk> securities corp. new york and three of its principals dell eugene <unk> and william <unk> <unk> jr. both of <unk> island wash. and thomas albert <unk> of red bank n.j consented to a fine of $ N
 without admitting or denying wrongdoing they consented to findings that they failed to return funds owed to customers in connection with a <unk> offering
 reached at his office mr. <unk> currently chairman said an implication that we failed to return investor funds is inappropriate and inaccurate
 he described the situation as an escrow problem a timing issue which he said was rapidly <unk> with no losses to customers
 <unk> <unk> & co. of <unk> del. and its president william n. <unk> jr. also of <unk> were barred from <unk> principal trades for N days and were jointly fined $ N
 the firm and mr. <unk> allegedly sold securities to the public at unfair prices among other alleged violations
 mr. <unk> denied the firm had sold securities at unfair prices and suggested that the examination practices of the nasd need improvement
 the firm and the nasd differ over the meaning of <unk> and <unk> he added
 shearson lehman hutton inc. new york which is <unk> by american express co. consented to a $ N fine
 without admitting or denying wrongdoing the firm consented to findings that it failed to respond in a timely manner to the nasd 's requests for information in connection with a customer complaint
 a shearson spokesman had no comment
 the following individuals were fined as indicated and barred from association with nasd members or where noted suspended
 except where noted none of these people could be reached for comment or had any comment
 john william davis <unk> <unk> fined $ N jeffrey gerard <unk> <unk> fla. $ N and <unk> suspension eugene michael <unk> la canada calif. fined $ N ordered to <unk> $ N and suspended one year <unk> stewart <unk> la canada fined $ N ordered to <unk> $ N and suspended six months
 mr. <unk> said we got what amounted to a parking ticket and by complaining about it we ended up with a sizable fine and suspension
 the matter did n't involve anybody 's securities transactions he added
 the following were neither barred nor suspended <unk> <unk> <unk> rolling hills calif. fined $ N and ordered to <unk> $ N stuart lane <unk> <unk> calif. fined $ N and ordered to <unk> $ N <unk> <unk> <unk> <unk> valley calif. fined $ N
 mr. <unk> a registered representative in the insurance business said he <unk> up because he did n't realize he was breaking securities laws
 insurance agents have been forced by their companies into becoming registered <unk> he said but they are not providing compliance and <unk> training so that we can avoid stupid mistakes
 i was n't ever actively engaged in any securities activities said mr. <unk>
 i never had any clients at all
 it was just a stupid mistake to get the license he said adding i 'd just as soon not get into details of the settlement
 program traders are <unk> of predicting that if they are blocked in the u.s. they will simply <unk> to foreign stock markets
 but in london and tokyo where computer-driven trading now plays a small but growing role traders say a number of hurdles <unk>
 government officials especially in japan probably would resist any <unk> of program trading by players trying to <unk> off the u.s. furor over their activities and <unk> abroad with their business
 japan is very concerned about the possible effects of program trading a senior japanese official said after the oct. N stock plunge in new york
 u.s. stock-index futures are n't even traded in japan now
 and because of the time difference the japanese and the u.s. markets ' trading hours do n't <unk>
 it all adds up to a barrier to <unk> index arbitrage the most popular form of u.s. program trading that seeks to exploit brief differences between prices of stocks in new york and the price of a futures contract in chicago based on those stocks
 about N N of all program trading by new york stock exchange firms in september took place in foreign markets according to big board data
 yet it is difficult to imagine japan racing to introduce <unk> stock-index futures
 japan 's finance ministry already is <unk> institutional investors ' activity to see whether policy changes are needed to cope with the current level of program trading said <unk> utsumi vice minister for international finance
 program trading has taken off in japan since last year 's introduction of <unk> stock-index futures trading on the tokyo and osaka stock exchanges
 but regulators are wary
 they have n't forgotten the leap in share prices last dec. N when the first <unk> of <unk> index arbitrage drove stocks <unk> in the last half-hour of trading startling regulators who thought they had written enough rules to prevent such a swing
 japan 's finance ministry had set up <unk> to limit how far futures prices could fall in a single session and to give market operators the authority to suspend trading in futures at any time
 maybe it was n't enough a finance ministry official noted after the dec. N surge
 japan 's regulators have since tightened controls on <unk> stock purchases
 tokyo 's leading program traders are the big u.s. securities houses though the japanese are playing <unk>
 some u.s. firms notably salomon inc. and morgan stanley group inc. have <unk> a hefty chunk of their japanese earnings from index arbitrage both for customers and for their own accounts
 morgan stanley last week joined a growing list of u.s. securities firms that have stopped doing index arbitrage for their own accounts
 both <unk> c. <unk> who heads salomon in tokyo and john s. <unk> who heads morgan stanley there <unk> a good part of their firms ' success in tokyo to their ability to offer sophisticated futures-related investment strategies to big institutional clients
 they do n't have plans to cut back
 it has not been <unk> in the markets here mr. <unk> said
 the real difference seems to be that the cash market here is big enough and liquid enough that the futures market is n't having the same impact it does in america
 the british also are <unk> program trades
 index-arbitrage trading is something we want to watch closely an official at london 's stock exchange said
 we do n't think there is cause for concern at the moment
 london serves increasingly as a <unk> for program trading of u.s. stocks
 market professionals said london has several <unk>
 first the trading is done over the counter and is n't reported on either the u.s. or london stock trading tapes
 second it can be used to <unk> positions before u.s. trading begins but at prices pegged to the previous session 's big board close
 in addition to the extra privacy of these trades the transactions can often be less expensive to execute because the parties do n't have to pay a floor brokerage fee or a specialist 's fee
 still much less index-arbitrage activity is done over here than in the u.s. said richard <unk> chief investment manager at standard life assurance co. which manages about # N billion $ N billion in united kingdom institutional funds
 britain has two main index-arbitrage instruments
 a financial times-stock exchange 100-share index option contract is traded on the london stock exchange 's traded options market
 and an ft-se futures contract is traded on the london international financial futures exchange
 both contracts have gained a following since the N global market crash
 the average number of ft-se option contracts traded on the london exchange has surged nearly tenfold since the contract 's launch in N
 this year the average of daily contracts traded totaled N up from N a year earlier and from N in N
 but a survey early this summer indicated that the volume of <unk> trading was only N N of the size of the underlying equity market exchange officials said
 this compares with estimates that the u.s. <unk> market is perhaps four times as large as the underlying domestic market
 the house voted to boost the federal minimum wage for the first time since early N casting a solid N vote for a compromise measure backed by president bush
 the vote came after a debate <unk> with complaints from both proponents and critics of a substantial increase in the wage floor
 advocates said the <unk> rise to $ N an hour by april N is too small for the working poor while opponents argued that the increase will still hurt small business and cost many thousands of jobs
 but the legislation reflected a compromise agreed to on tuesday by president bush and democratic leaders in congress after congressional republicans urged the white house to <unk> a bit from its previous resistance to compromise
 so both sides accepted the compromise which would lead to the first lifting of the minimum wage since a four-year law was enacted in N raising the wage to $ N an hour from $ N
 under the measure passed yesterday the minimum wage would rise to $ N next april
 the senate plans to take up the measure quickly and is expected to pass it
 there are no <unk> about this bill rep. pat williams d. <unk> said during house floor debate yesterday
 but because it 's all we 've got i 'm going to vote for it
 while the minimum wage had traditionally been pegged at half the average u.s. manufacturing wage the level of $ N an hour in N will still be less than N N of average factory pay mr. williams said
 but rep. <unk> <unk> r. n.j instead praised the house 's acceptance of a new youth training wage a <unk> that gop <unk> have sought for many years
 adopting a <unk> policy means getting beyond the nickel and <unk> of the minimum wage mrs. <unk> said
 policy makers regard the youth wage as helping to limit the loss of jobs from an increase in the minimum wage but they have lately touted it as necessary to help <unk> job skills to <unk> into the work force
 labor unions and democrats long fought the idea but recently <unk> to it in the face of bush administration insistence
 the compromise sets the training wage at $ N an hour next april and at $ N an hour or N N of the minimum wage in april N
 employers can pay the <unk> for N days without restriction to workers with less than six months of job experience and for another N days if the company uses a <unk> training program for the young workers
 the training wage covers only workers who are N to N years old
 the white house previously insisted on an <unk> six-month training wage that could be paid any time a worker of any age took a new job
 the u.s. chamber of commerce still opposed to any <unk> increase said the compromise plan to lift the wage floor N N in two stages between april N and april N will be impossible for many employers to accommodate and will result in the elimination of jobs for american workers and higher prices for american consumers
 zenith data systems corp. a subsidiary of zenith electronics corp. received a $ N million navy contract for software and services of <unk> over an <unk> period
 rockwell international corp. won a $ N million air force contract for <unk> <unk> replacement aircraft
 martin <unk> corp. was given a $ N million air force contract for <unk> navigation and targeting equipment
 federal data corp. got a $ N million air force contract for intelligence data handling
 for six years t. marshall hahn jr. has made corporate acquisitions in the george bush mode kind and <unk>
 the question now can he act more like <unk> teddy <unk>
 mr. hahn the <unk> chairman and chief executive officer of georgia-pacific corp. is leading the <unk> concern 's unsolicited $ N billion bid for great northern nekoosa corp
 nekoosa has given the offer a public cold shoulder a reaction mr. hahn has n't faced in his N earlier acquisitions all of which were negotiated behind the scenes
 so far mr. hahn is trying to <unk> nekoosa into negotiating a friendly surrender while talking tough
 we are prepared to pursue aggressively completion of this transaction he says
 but a takeover battle opens up the possibility of a bidding war with all that implies
 if a competitor enters the game for example mr. hahn could face the dilemma of paying a premium for nekoosa or seeing the company fall into the arms of a rival
 given that choice associates of mr. hahn and industry observers say the former university president who has developed a reputation for not <unk> for anything would <unk>
 there 's a price above which i 'm positive marshall has the <unk> not to pay says <unk> <unk> georgia-pacific 's executive vice president for pulp and paper
 says <unk> associate jerry <unk> vice president corporate development at <unk> industries inc. he is n't of the old school of winning at any cost
 he also is a consensus manager insiders say
 the decision to make the bid for nekoosa for example was made only after all six members of georgia-pacific 's management committee signed onto the deal even though mr. hahn knew he wanted to go after the company early on says mr. <unk>
 associates say mr. hahn picked up that careful approach to management as president of virginia <unk> institute
 assuming that post at the age of N he managed by consensus as is the rule in universities says warren h. <unk> a university official who is <unk> a book on mr. hahn
 but he also showed a willingness to take a strong stand
 in N mr. hahn called in state police to arrest student protesters who were <unk> a university building
 that impressed robert b. <unk> georgia-pacific 's chief executive at the time whom mr. hahn had met while <unk> for the institute
 in N mr. <unk> <unk> mr. hahn into joining the company as executive vice president in charge of chemicals the move <unk> many in georgia-pacific who did n't believe a university administrator could make the transition to the corporate world
 but mr. hahn rose swiftly through the ranks <unk> a raw intelligence that he says he knew he <unk> early on
 the son of a <unk> mr. hahn <unk> first grade because his reading ability was so far above his <unk>
 moving rapidly through school he <unk> <unk> beta <unk> from the university of kentucky at age N after spending only N N years in college
 he earned his <unk> in nuclear physics from the massachusetts institute of technology
 mr. hahn agrees that he has a <unk> memory but friends say that 's an <unk>
 they call it photographic
 mr. hahn also has engineered a surprising turnaround of georgia-pacific
 taking over as chief executive officer in N he inherited a company that was mired in debt and hurt by a <unk> slide in its <unk> business
 mr. hahn began selling <unk> businesses such as oil and gas and chemicals
 he even sold one unit that made <unk> <unk> covers
 at the same time he began building up the pulp and paper segment of the company while <unk> building products on home repair and remodeling rather than materials for new-home construction
 the idea was to buffet building products from cycles in new-home construction
 the formula has paid off so far
 georgia-pacific 's sales climbed to $ N billion last year compared with $ N billion in N when mr. hahn took the reins
 profit from continuing operations has soared to $ N million from $ N million
 mr. hahn attributes the gains to the philosophy of concentrating on what a company knows best
 the record of companies that have diversified is n't all that impressive he says
 nekoosa would n't be a diversification
 it would be a good match mr. hahn and many analysts say of two healthy companies with high-quality assets and strong cash flows
 the resulting company would be the largest forest-products concern in the world with combined sales of more than $ N billion
 but can mr. hahn carry it off
 in this instance industry observers say he is entering <unk> waters
 says <unk> <unk> an analyst at first manhattan co. this is the greatest acquisition challenge he has faced
 a house-senate conference approved major portions of a package for more than $ N million in economic aid for poland that relies heavily on $ N million in credit and loan guarantees in fiscal N in hopes of <unk> future trade and investment
 for the agency for international development <unk> approved $ N million in secondary loan guarantees under an expanded trade credit insurance program and total loan guarantees for the overseas private investment corp. are increased by $ N million over fiscal N as part of the same poland package
 the conference approved at least $ N million in direct cash and development assistance as well and though no decision was made both sides are committed to adding more than $ N million in economic support funds and environmental initiatives sought by the bush administration
 the agreement on poland contrasts with the major differences remaining over the underlying foreign aid bill which has already provoked veto threats by the white house and is sharply confined under this year 's budget
 these fiscal pressures are also a factor in shaping the poland package and while more ambitious <unk> legislation is still pending the appropriations bill in conference will be more decisive on u.s. aid to eastern europe
 to accommodate the additional cash assistance the house appropriations committee last week was required to <unk> an estimated $ N million from the pentagon
 and though the size of the loan guarantees approved yesterday is significant recent experience with a similar program in central america indicates that it could take several years before the new polish government can fully use the aid effectively
 the action on poland came as the conference separately approved $ N million for international population planning activities an N N increase over fiscal N
 the house and senate are divided over whether the united nations population fund will receive any portion of these appropriations but the size of the increase is itself significant
 in a second area of common concern the world environment an additional $ N million will be provided in development assistance to fund a series of initiatives related both to global warming and the plight of the african elephant
 the sweeping nature of the bill draws a variety of special interest amendments running from an import exemption for a california <unk> museum to a small but intriguing struggle among sugar producing nations over the fate of panama 's quota of exports to the profitable u.s. market
 panama was stripped of this right because of u.s. differences with the noriega regime but the central american country would have received a quota of N metric tons over a <unk> period ending sept. N N
 about a quarter of this share has already been <unk> according to the industry but the remaining N tons are still a lucrative target for growers because the current u.s. price of N cents a pound runs as much as a nickel a pound above the world rate
 the potential sales are nearly $ N million and house majority whip william gray d. pa began the bidding this year by proposing language that the quota be allocated to <unk> countries of the caribbean such as jamaica and <unk>
 rep. jerry lewis a conservative <unk> added a provision of his own intended to assist <unk> and the senate then <unk> the list further by including all countries in the u.s. caribbean basin <unk> as well as the philippines backed by the powerful hawaii democrat sen. daniel inouye
 jamaica wary of <unk> its caribbean basin allies has apparently instructed its lobbyist to abandon the provision initially drafted by mr. gray but the greater question is whether mr. inouye who has strong ties to the sugar industry is able to <unk> a claim by the philippines
 in separate floor action the house <unk> budget restrictions and gave quick approval to $ N billion in supplemental appropriations for law enforcement and anti-drug programs in fiscal N
 the funding is attached to an estimated $ N billion transportation bill that goes next to the senate and carries with it a proposed permanent smoking ban on virtually all u.s. domestic airline flights
 the leadership hopes to move the compromise measure promptly to the white house but in recent days the senate has been as likely to bounce bills back to the house
 the most recent example was a nearly $ N billion fiscal N bill funding the state justice and commerce departments
 and after losing a battle tuesday night with the senate foreign relations committee <unk> from both houses are expected to be forced back to conference
 beauty takes <unk> to safety on bridges
 everyone agrees that most of the nation 's old bridges need to be repaired or replaced
 but there 's disagreement over how to do it
 highway officials insist the <unk> <unk> on older bridges are n't strong enough to prevent vehicles from <unk> through
 but other people do n't want to lose the bridges ' beautiful sometimes historic features
 the primary purpose of a <unk> is to contain a vehicle and not to provide a <unk> view says jack white a planner with the indiana highway department
 he and others prefer to install <unk> such as the type f safety shape a <unk> concrete <unk> with no <unk>
 in richmond ind. the type f <unk> is being used to replace <unk> <unk> on the <unk> street bridge
 <unk> boone who teaches art at <unk> college calls the new structure just an <unk> bridge and one that blocks the view of a new park below
 in hartford conn. the charter oak bridge will soon be replaced the <unk> <unk> from its <unk> <unk> to a park
 <unk> are possible
 citizens in peninsula ohio upset over changes to a bridge negotiated a deal the bottom half of the <unk> will be type f while the top half will have the old bridge 's <unk> pattern
 similarly highway engineers agreed to keep the old <unk> on the key bridge in washington d.c. as long as they could install a crash barrier between the sidewalk and the road
 <unk> <unk>
 drink carrier competes with <unk>
 <unk> <unk> just got easier or so claims <unk> corp. the maker of the <unk>
 the chicago company 's beverage carrier meant to replace <unk> <unk> at <unk> stands and fast-food outlets resembles the plastic <unk> used on <unk> of beer only the <unk> hang from a <unk> of <unk>
 the new carrier can <unk> as many as four <unk> at once
 inventor <unk> marvin says his design virtually <unk> <unk>
 <unk> are n't even needed
 he also claims the carrier costs less and takes up less space than most paper carriers
 a few fast-food outlets are giving it a try
 the company acknowledges some problems
 a driver has to find something to hang the carrier on so the company supplies a window hook
 while it breaks down in prolonged <unk> it is n't <unk>
 and unlike some <unk> there 's no place for food
 spirit of perestroika <unk> design world
 an exchange of u.s. and soviet designers promises change on both sides
 an exhibition of american design and architecture opened in september in moscow and will travel to eight other soviet cities
 the show runs the <unk> from a <unk> to chairs to a model of the citicorp building
 the event continues into next year and includes an exchange program to swap design teachers at <unk> and <unk> 's <unk> institute
 dan <unk> leader of the <unk> group sees benefits all around
 the soviets who normally have few clients other than the state will get exposure to a market system he says
 americans will learn more about making products for the soviets
 mr. <unk> says the soviets could even help u.s. designers renew their sense of purpose
 in moscow they kept asking us things like why do you make N different <unk> when all you need is one good one he says
 they got us thinking maybe we should be helping u.s. companies improve existing products rather than always developing new ones
 seed for jail solution fails to take root
 it 's a two birds with one stone deal <unk> group architects propose using grain elevators to house <unk>
 it would ease jail <unk> while preserving historic structures the company says
 but new york state which is seeking solutions to its prison cell shortage says no
 grain elevators built in the 1920s and <unk> have <unk> concrete walls and a <unk> shape that would easily contain <unk> cells with a control point in the middle the new york firm says
 many are far enough from residential areas to pass public <unk> yet close enough to permit family visits
 besides <unk> says grain elevators are worth preserving for <unk> reasons one <unk> architect compared them to the <unk> of egypt
 a number of cities including minneapolis philadelphia and houston have vacant grain elevators <unk> says
 a medium-sized one in brooklyn it says could be altered to house up to N <unk> at a lower cost than building a new prison in <unk> new york
 a spokesman for the state however calls the idea not effective or cost efficient
 the labor department cited usx corp. for numerous health and safety violations at two pennsylvania plants and proposed $ N million in fines the largest penalty ever proposed for alleged workplace violations by an employer
 the department 's <unk> safety and health administration proposed fines of $ N million for alleged violations at the company 's <unk> hills pa. steel mill that was a record for proposed penalties at any single facility
 osha cited nearly N alleged violations of federal electrical <unk> <unk> and other requirements
 a second <unk> covering the company 's <unk> pa. coke works involved more than N alleged violations of <unk> and other requirements for which osha proposed $ N million in fines
 labor secretary elizabeth dole said the magnitude of these penalties and <unk> is matched only by the magnitude of the hazards to workers which resulted from corporate <unk> to worker safety and health and severe cutbacks in the maintenance and repair programs needed to remove those hazards
 osha said there have been three worker <unk> at the two plants in the past two years and N deaths since N
 gerard <unk> the head of osha said usx managers have known about many of the safety and health deficiencies at the plants for years yet have failed to take necessary action to <unk> the hazards
 particularly <unk> mrs. dole said are the company 's numerous failures to properly record injuries at its <unk> works in spite of the firm promise it had made in an earlier <unk> settlement agreement to correct such discrepancies
 that settlement was in april N
 a usx spokesman said the company had n't yet received any documents from osha regarding the penalty or fine
 once we do they will receive very serious evaluation the spokesman said
 no consideration is more important than the health and safety of our employees
 usx said it has been <unk> with osha since the agency began investigating the <unk> and <unk> works
 he said that if and when safety problems were identified they were corrected
 the usx <unk> represented the first sizable enforcement action taken by osha under mr. <unk>
 he has promised <unk> fines though the size of penalties sought by osha have been rising in recent years even before he took office this year
 the big problem is that usx management has proved unwilling to devote the necessary resources and manpower to removing hazards and to <unk> safety and health in the plants said linda <unk> osha regional administrator in philadelphia
 usx has N working days to contest the <unk> and proposed penalties before the independent <unk> safety and health review commission
 before the usx case osha 's largest proposed fine for one employer was $ N million for alleged safety violations at john <unk> & co. a <unk> subsidiary of united brands co. cincinnati
 the company is <unk> the fine
 due to an <unk> error a letter to the editor in yesterday 's edition from frederick h. <unk> mistakenly identified the <unk>
 it should be the natural resources defense council
 your oct. N editorial the ill homeless referred to research by us and six of our colleagues that was reported in the sept. N issue of the journal of the american medical association
 your comments implied we had discovered that the principal cause of homelessness is to be found in the large numbers of <unk> ill and <unk> people in the homeless population
 we have made no such statement
 it is clear that most <unk> ill people and most <unk> do not become homeless
 the causes of homelessness are poorly understood and complex in any individual case
 in <unk> from our research you emphasized the high <unk> of mental illness and <unk>
 you did not note that the homeless people we examined had a <unk> of physical disorders in addition to their psychiatric problems and substance abuse
 they suffered from <unk> <unk> diseases cardiovascular disorders skin problems <unk> diseases and the <unk> of <unk> and rape
 homeless people not only lack safety privacy and shelter they also lack the <unk> <unk> of <unk> <unk> and basic health care
 in a recent report the institute of medicine pointed out that certain health problems may <unk> a person to homelessness others may be a consequence of it and a third category is composed of disorders whose treatment is difficult or impossible if a person lacks adequate shelter
 the <unk> between health and homelessness are complex <unk> sweeping <unk> as to cause or effect
 if we look to the future preventing homelessness is an important objective
 this will require us to develop a much more sophisticated understanding of the dynamics of homelessness than we currently <unk> an understanding that can be developed only through careful study and research
 william r. <unk> <unk> <unk> j. <unk> <unk> department of <unk> johns hopkins university school of medicine baltimore
 a study by <unk> prof. james wright says homelessness is due to a complex array of problems with the common <unk> of poverty
 the study shows that nearly N N of the homeless population is made up of women and children and that only N N of the homeless <unk> some combination of drug alcohol and mental problems
 according to dr. wright homelessness is simultaneously a housing problem an employment problem a <unk> problem a problem of social <unk> a mental health problem a family violence problem a problem created by the cutbacks in social welfare spending a problem resulting from the <unk> of the traditional nuclear family and a problem <unk> connected to the recent increase in the number of persons living below the poverty level
 <unk> e. <unk> <unk> president robert wood johnson foundation princeton n.j
 to quote the highly regarded director of a privately funded <unk> center for the homeless in new york if you 're homeless you do n't sleep for fear of being robbed or murdered
 after your first three weeks of sleep <unk> you 're <unk> in touch with reality any more without psychiatric treatment you may well be unable to fend for yourself ever again
 some of the homeless obviously had <unk> mental illness or <unk>
 but many others have fallen through cracks in the economy into the grim <unk> world of our city streets
 once there what ways of escape are open to them other than drink drugs or <unk>
 maxwell <unk> <unk> brooklyn n.y
 you dismiss as <unk> the view that the reduction of federal <unk> programs by N N might have played a significant role in the increased number of men and women sleeping on our city streets during the <unk> years
 there is no sign that you bothered to consider the <unk> of your logic namely that mental illness and substance abuse might be to some degree consequences rather than causes of homelessness
 your research stopped when a convenient <unk> could be made
 robert s. <unk> cambridge mass
 of the approximately N sponsors of the recent march in washington for the homeless you chose to cite such groups as the national association of home builders and the international union of <unk> and allied <unk> <unk> that the march got its major support from <unk> groups that know a good thing when they see it and that the crusade was based on greed or the profit motive
 but is n't the desire for profit the driving force behind those who subscribe to and <unk> in your paper
 why did n't you mention the <unk> or the <unk> or catholic charities usa or a hundred other nonprofit organizations that participated in the march
 as for the findings on the N baltimore homeless who <unk> psychiatric <unk> i suggest you conduct your own survey
 choose N business executives including perhaps someone from your own staff and put them out on the streets to be deprived for one month of their homes families and income
 i would predict that within a short time most of them would find <unk> a satisfactory substitute for chivas <unk> and that their normal <unk> <unk> <unk> and substance abuse would increase dramatically
 ruth k. nelson <unk> n.c
 rogers communications inc. said it plans to raise N million to N million canadian dollars us$ N million to $ N million through a private placement of perpetual preferred shares
 perpetual preferred shares are n't <unk> by the holders the company said
 rogers said the shares will be convertible into class b shares but that the company has the option to redeem the shares before a conversion takes place
 a spokesman for the toronto cable television and telecommunications concern said the coupon rate has n't yet been fixed but will probably be set at around N N
 he declined to discuss other terms of the issue
 the house passed legislation designed to make it easier for the transportation department to block airline leveraged buy-outs
 the final vote came after the house rejected republican efforts to weaken the bill and approved two amendments sought by organized labor
 the bush administration has threatened to veto such a bill because of what it views as an <unk> <unk> into the affairs of industry but the N vote suggests that supporters have the potential to override a veto
 the broader question is where the senate stands on the issue
 while the senate commerce committee has approved legislation similar to the house bill on airline leveraged buy-outs the measure has n't yet come to the full floor
 although the legislation would apply to acquisitions involving any major airline it is aimed at giving the transportation department the chance to review in advance transactions financed by large amounts of debt
 the purpose of the bill is to put the <unk> on airline acquisitions that would so load a carrier up with debt that it would <unk> safety or a carrier 's ability to compete rep. john paul <unk> r. ark said
 the bill as it was approved by the house public works and transportation committee would give the transportation department up to N days to review any purchase of N N or more of the stock in an airline
 the department would be required to block the buy-out if the acquisition is likely to financially weaken a carrier so that safety would be <unk> its ability to compete would be sharply diminished it would be put into foreign control or if the transaction would result in the sale of <unk> assets unless selling such assets had an <unk> public benefit
 the house approved an amendment offered by rep. peter <unk> d. ore. that would in addition to the previous criteria also require the department to block the acquisition of an airline if the added debt incurred were likely to result in a reduction in the number of the carrier 's employees or their wages or benefits
 rep. james <unk> d. ohio said the amendment which passed N would let the american worker know that we consider them occasionally
 but rep. <unk> said that the provision which he dubbed a special interest amendment was likely to make the bill even more controversial
 on tuesday the house approved a <unk> amendment that would require the transportation department to reject airline acquisitions if the person seeking to purchase a carrier had run two or more airlines previously that have filed for protection from creditors under chapter N of the federal bankruptcy code
 the provision called the <unk> amendment by its supporters apparently was aimed at preventing texas air corp. chairman frank lorenzo from attempting to take over another airline
 <unk> report
 you now may drop by the voice of america offices in washington and read the text of what the voice is broadcasting to those N million people around the world who tune in to it each week
 you can even take notes extensive notes for the voice folks wo n't look over your shoulder about what you read
 you can do all this even if you 're not a reporter or a researcher or a scholar or a member of congress
 and my newspaper can print the text of those <unk>
 until the other day you as an ordinary citizen of this democracy had no right to see what your government was telling your <unk> around the world
 that was the law
 and i apparently had no right to print <unk> what the voice was booming to <unk>
 it was censorship
 it was <unk>
 and it was stupid
 the theory was that the voice is a propaganda agency and this government should n't <unk> its own people
 that sounds neat but this government any government <unk> its own people every day
 government press releases <unk> <unk> tours of military facilities publications are all propaganda of sorts
 propaganda is just information to support a viewpoint and the beauty of a democracy is that it enables you to hear or read every viewpoint and then make up your own mind on an issue
 the restrictions on <unk> and <unk> of voice material were especially absurd an agency in the information business was not being allowed to inform
 in june N i wrote in this space about this issue
 assuming it was n't one of those columns that you <unk> and put on the <unk> door i 'll review the facts
 the voice of america is a government agency that <unk> news and views some might say propaganda in N <unk> to N million <unk> around the world
 it does a <unk> job
 its budget $ N million is paid for by you
 but a N law barred the <unk> of that material in the u.s.
 the law let scholars reporters and researchers read <unk> of <unk> material only at <unk> headquarters in washington but it barred them from copying <unk>
 and of course there 's that word <unk>
 how 's that again
 you may come by the agency to read but not copy either <unk> or by <unk> a voice official explained when i asked
 what if i tune in my <unk> radio <unk> an editorial or program and print it in my newspaper
 nor are you free to <unk> such material i was advised
 that sounded a lot like censorship so after years of letters and conversations that went nowhere i sued
 a couple of weeks ago i lost the case in federal district court in des <unk>
 at least that 's the way it was reported
 and indeed the lawsuit was dismissed
 but i i like to think of it in terms of we all of us won the point
 for a funny thing happened on the way to the ruling the united states information agency which runs the voice changed its position on three key points
 the usia said that on reflection of course i could print anything i could get my hands on
 the word <unk> it decided referred only to itself
 the usia officially and publicly declared the <unk> right of everyone except the usia to <unk> agency program materials in the united states my lawyer the <unk> mark mccormick of des <unk> said in a memo pointing out the facts and trying to make me feel good after the press reported that i had lost
 the court noted the new usia position but just in case officially found that congress did not intend to preclude plaintiffs from <unk> usia information domestically
 the usia said that on reflection anyone could view the <unk> materials not just the reporters scholars researchers and congressmen who are mentioned in the statute
 the usia publicly and officially stated in the litigation that all persons are allowed access to the materials notwithstanding the statutory <unk> because the usia has determined that it will not check the credentials of any person appearing and <unk> to see the materials mr. mccormick noted
 and the usia said that all of us could take extensive notes
 the agency publicly and officially declared in the lawsuit that persons who examine the materials may make notes and while the agency position is that persons may not take <unk> notes no one will check to determine what notes a person has taken mr. mccormick reported
 i had sought in my suit the right to print voice material which had been denied me and i had sought a right to receive the information arguing in effect that a right to print government information is n't very helpful if i have no right to get the information
 but the court disagreed
 the first amendment <unk> the government from passing laws <unk> the right to free speech judge donald o'brien ruled
 the first amendment does not <unk> a duty upon the government to assure easy access to information for members of the press
 so now the situation is this
 you have a right to read voice of america scripts if you do n't mind traveling to washington every week or so and visiting the voice office during business hours
 i have a right to print those scripts if i go there and <unk> but no longer <unk> copy them out in long hand
 but neither of us can copy the material on a xerox machine or have it sent to us
 in an era when every government agency has a public-relations machine that sends you stuff whether you want it or not this does seem odd
 indeed judge o'brien ruled that it would be easy to conclude that the usia 's position is inappropriate or even stupid but it 's the law
 so the next step i suspect is to try to get the law changed
 we i assume you 're in this with me at this point need to get three words for examination only eliminated from the law
 section N of the united states information and educational exchange act of N says voice material shall be available to certain of us but now thanks to the usia 's new position all of us for examination only
 if those words were n't there the nice people at the voice would be able to send you the information or at the very least let you <unk> it
 this is not a <unk> issue
 you have raised important questions which ought to be answered what does usia say about america abroad how do we say it and how can american taxpayers get the answers to these questions a man wrote me a couple of years ago
 the man was charles <unk> <unk>
 at the time he was director of the
 he had no answers then
 now there are some
 this democracy is suddenly a little more democratic
 i feel pretty good about it
 mr. gartner is editor and <unk> of the daily tribune in <unk> iowa and president of nbc news in new york
 r. gordon mcgovern was forced out as campbell soup co. 's president and chief executive officer the strongest evidence yet of the power that dorrance family members intend to <unk> in <unk> the troubled food company
 herbert m. baum the <unk> president of the company 's campbell u.s.a. unit and edwin l. harper N the chief financial officer will run campbell as a team <unk> responsibilities rather evenly until a successor is named
 the board already has been searching for strong outside candidates including <unk> executives with considerable international experience
 wall street reacted <unk> to mr. mcgovern 's departure and its implications
 in heavy trading on the new york stock exchange campbell 's shares rose $ N to close at $ N
 the profit motive of the major shareholders has clearly changed for the better said john <unk> a food industry analyst for prudential-bache in new york
 mr. mcgovern was widely seen as sales and not profit <unk>
 new managers would think a little more like wall street mr. <unk> added
 some of the surge in the stock 's price appeared to be linked to revived takeover speculation which has contributed to volatility of campbell shares in recent months
 campbell 's international businesses particularly in the u.k. and italy appear to be at the heart of its problems
 growth has fallen short of targets and operating earnings are far below results in u.s. units
 for example campbell is a distant third in the u.k. frozen foods market where it recently paid N times earnings for <unk> foods plc and wound up with far more capacity than it could use
 similarly campbell 's italian <unk> operation d. <unk> & co. has been hurt by <unk> and distribution problems
 such problems will require considerable <unk> to resolve
 however neither mr. baum nor mr. harper has much international experience
 mr. baum a <unk> marketer who is said to have a good <unk> with campbell employees will have responsibility for all domestic operations except the <unk> farm unit
 mr. harper a veteran of several manufacturing companies who joined campbell in N will take charge of all overseas operations as well as <unk>
 in an joint interview yesterday both men said they would like to be the company 's next chief executive
 mr. mcgovern N had been under intense pressure from the board to boost campbell 's <unk> performance to the level of other food companies
 the board is dominated by the <unk> of the late john t. dorrance jr. who controlled about N N of campbell 's stock when he died in april
 in recent months mr. dorrance 's children and other family members have pushed for improved profitability and higher returns on their equity
 in august the company took a $ N million pretax charge against fiscal N earnings when it announced a world-wide restructuring plan
 the plan calls for closing at least nine plants and eliminating about N jobs
 but analysts said early results from the reorganization have been disappointing especially in europe and there were signs that the board became <unk>
 campbell officials said mr. mcgovern was n't available yesterday to discuss the circumstances of his departure
 the company 's prepared statement quoted him as saying the ceo succession is well along and i 've decided for personal reasons to take early retirement
 but people familiar with the agenda of the board 's meeting last week in london said mr. mcgovern was fired
 mr. mcgovern himself had said repeatedly that he intended to stay on until he reached the conventional retirement age of N in october N unless i get fired
 campbell said mr. mcgovern had withdrawn his name as a candidate for re-election as a director at the annual shareholder meeting scheduled for nov. N
 for fiscal N mr. mcgovern received a salary of $ N
 he owns about N shares of campbell stock and has options to buy more than N additional shares
 he will be eligible for an annual pension of more than $ N with certain other <unk> benefits
 during mr. mcgovern 's <unk> term as president the company 's sales rose to $ N billion from $ N billion and net income increased to $ N million from $ N million the statement said
 mr. baum said he and mr. harper both <unk> closing some plants as long ago as early N
 you 've got to make the restructuring work said mr. baum
 you 've got to make those savings now
 mr. harper expressed confidence that he and mr. baum can convince the board of their <unk> to run the company
 we look upon this as a great opportunity to prove the fact that we have a tremendous management team he said
 he predicted that the board would give the current duo until early next year before naming a new chief executive
 mr. baum said the two have orders to focus on <unk> profits and to take a hard look at our businesses what is good what is not so good
 analysts generally <unk> the performance of campbell u.s.a. the company 's largest division which posted N N unit sales growth and a N N improvement in operating profit for fiscal N
 the way that we 've been managing campbell u.s.a. can hopefully spread to other areas of the company mr. baum said
 in the interview at headquarters yesterday afternoon both men <unk> confidence and seemed to work well together
 you 've got two <unk> sitting right before you said mr. baum
 we play to win
 wednesday november N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 robert l. bernstein chairman and president of random house inc. announced his resignation from the publishing house he has run for N years
 a successor was n't named which fueled speculation that mr. bernstein may have <unk> with <unk> newhouse jr. whose family company advance publications inc. owns random house
 abrupt departures are n't <unk> of within the newhouse empire
 in an interview mr. bernstein said his departure <unk> out of discussions with <unk> newhouse and that 's the decision i reached
 he declined to elaborate other than to say it just seemed the right thing to do at this minute
 sometimes you just go with your gut
 mr. bernstein said he will stay until dec. N and work with his successor who is to be named soon
 mr. newhouse meanwhile insisted that he is n't unhappy with mr. bernstein or the performance of random house the largest trade publishing house in the u.s.
 the company said the publisher 's annual sales volume increased to $ N million from $ N million during mr. bernstein 's tenure
 bob has handled the extraordinary growth of the company quite <unk> said mr. newhouse
 the company is doing well it 's stable it 's got good people
 bob has an agenda and this seemed like the natural time
 publishing officials believe that while random house has enjoyed spectacular growth and has smoothly integrated many acquisitions in recent years some of the bigger ones have n't been absorbed so easily
 crown publishing group acquired last year is said to be turning in disappointing results
 as a private company random house does n't report its earnings
 mr. bernstein who succeeded bennett <unk> has been only the second president of random house since it was founded in N
 speculation on his successor centers on a number of division heads at the house
 possible candidates include susan <unk> president of <unk> <unk> random house 's huge and successful <unk> division
 some say anthony <unk> head of a recently acquired british company century hutchinson could be chosen
 there is also speculation that mr. newhouse could bring in a powerhouse businessman or another newhouse family member to run the business side in combination with a publishing executive like robert <unk> who left random house 's alfred a. <unk> to run the new yorker also owned by the newhouse family
 not included on the <unk> list are <unk> evans recruited two years ago to be publisher of adult trade books for random house and <unk> mehta president of the prestigious alfred a. <unk> unit
 when ms. evans took her job several important divisions that had reported to her predecessor were n't included partly because she did n't wish to be a full-time administrator
 mr. mehta is widely viewed as a brilliant editor but a <unk> administrator and his own departure was rumored recently
 mr. bernstein a tall energetic man who is widely respected as a publishing executive has spent much of his time in recent years on human rights issues
 congress learned during the reagan administration that it could <unk> the executive branch by <unk> again and again the same seven words provided that no funds shall be spent
 this phrase once again is found throughout the many appropriations bills now moving through congress
 it signals congress 's attempt under the <unk> of <unk> the public <unk> to deny the president the funding necessary to execute certain of his duties and prerogatives specified in article ii of the constitution
 this <unk> of congressional action is <unk> on an interpretation of the appropriations clause that is <unk> and unconstitutional
 the appropriations clause states that no money shall be drawn from the treasury but in consequence of appropriations made by law
 the prevailing interpretation of the clause on capitol hill is that it gives congress an <unk> veto over every <unk> action of the president through the ability to <unk> funding
 this interpretation was officially endorsed by congress in N in the iran-contra report
 as <unk> of congressional power understand a power of the <unk> so broadly <unk> would <unk> the presidency and <unk> the principle of separation of powers
 it is not supported by the text or history of the constitution
 the <unk> hardly discussed the appropriations clause at the constitutional convention of N according to madison 's notes
 to the extent they did their concern was to ensure fiscal accountability
 moreover the <unk> believed that the nation needed a <unk> executive with the independence and resources to perform the executive functions that the confederation congress had performed poorly under the articles of confederation
 it would <unk> that objective if the appropriations clause technically a <unk> on legislative power could be read as placing the president on congress 's short <unk> making the executive consist of the president and every member of congress
 as it went to the conference panel now <unk> the appropriations bill for the executive office of the president for fiscal N contained some <unk> attempts by congress to rewrite the constitution under the <unk> of protecting the public 's money
 during the coming weeks president bush must decide whether to veto the bills containing them or alternatively to sign these bills into law with a statement declaring their <unk> on executive power to be in violation of article ii and thus <unk> and <unk>
 the N appropriations legislation attempts to strip the president of his powers to make certain appointments as provided by article ii
 article ii places on the president the duty to <unk> and by and with the advice and consent of the senate <unk> <unk> judges and other officers of the u.s.
 it also <unk> the president to make <unk> appointments without senate approval the president shall have power to fill up all <unk> that may happen during the <unk> of the senate by granting commissions which shall expire at the end of their next session
 yet section N of the appropriations bill for the executive office provides no part of any <unk> for the current fiscal year contained in this or any other act shall be paid to any person for the filling of any position for which he or she has been <unk> after the senate has voted not to approve the nomination of said person
 thus with one brief passage in an appropriations bill congress <unk> the president 's power to make <unk> appointments under article ii
 section N also imposes unconstitutional conditions on the president 's ability to <unk> candidates of his choosing
 the language of the appropriations rider implies that any nomination to any position of a rejected <unk> will result in the president being denied funding to pay that person 's salary
 the president could probably not avoid this restriction by choosing people willing to serve without pay because the <unk> act prohibits voluntary service to the government
 the N appropriations bills also contain a number of <unk> provisions that violate the recommendation clause in article ii of the constitution
 <unk> provisions which might be called <unk> laws as well prevent the executive branch from even looking at certain policy options let alone from recommending them to congress
 such laws violate the provision in article ii that requires the president to make recommendations to congress but which gives the president the discretion to select the subject matter of those recommendations
 typically these laws seek to prevent executive branch officials from <unk> into whether certain federal programs make any economic sense or proposing more <unk> alternatives to regulations
 probably the most <unk> example is a <unk> in the appropriations bill for the executive office that prevents the president 's office of management and budget from <unk> agricultural marketing orders to any <unk> scrutiny
 there is something <unk> suspect about congress 's <unk> the executive from even studying whether public funds are being wasted in some favored program or other
 perhaps none of the unconstitutional conditions contained in the appropriations bills for fiscal N better illustrates congress 's attempt to <unk> executive power than section N of the <unk> bill none of the funds made available <unk> to the provisions of this act shall be used to implement <unk> or enforce any regulation which has been <unk> <unk> to a resolution of <unk> <unk> adopted in <unk> with the applicable law of the united states
 this provision amounts to a legislative veto over the president 's execution of the law since a <unk> resolution could be said to be <unk> adopted even though it would require neither <unk> action in congress nor presentation to the president for his signature or veto
 the supreme court 's decision in <unk> v. <unk> held that legislative <unk> are unconstitutional
 president bush should veto appropriations acts that contain these kinds of unconstitutional conditions on the president 's ability to <unk> his duties and exercise his prerogatives
 if president bush fails to do so in his first year he will <unk> congress for the remainder of his presidency to rewrite article ii of the constitution to suit its purposes
 what becomes custom in the bush administration will only become more difficult for future presidents including democrats to undo
 president reagan learned that lesson
 by N <unk> jim wright was discussing arms control in moscow with mikhail gorbachev and then attempting to direct the president through an appropriations rider to treat the soviets as though the senate had ratified salt ii
 if a veto is <unk> because it would leave part of the executive branch <unk> the president could sign the appropriations bills into law and <unk> a power of <unk> declaring the rider restricting his article ii powers to be unconstitutional and <unk>
 the constitution does not <unk> give the president such power
 however the president does have a duty not to violate the constitution
 the question is whether his only means of defense is the veto
 <unk> of appropriations riders that trespass on the president 's duties and <unk> under article ii would be different from the line-item veto
 as discussed in the context of controlling federal spending the line-item veto is characterized as a way for the president to <unk> perfectly constitutional provisions in a spending bill that are <unk> merely because they conflict with his policy objectives
 the <unk> of unconstitutional conditions in an appropriations bill would be a power of far more limited <unk>
 one could argue that it is not an <unk> of a item veto at all for the president by <unk> a power of <unk> to resist unconstitutional conditions in legislation that violate the separation of powers
 there is no downside if the president asserts a right of <unk> over unconstitutional conditions in the fiscal N appropriations bills
 if congress does nothing president bush will have won
 if congress takes the dispute to the supreme court assuming it can establish standing to sue president bush might win
 in that case he might receive an opinion from the court that is a <unk> of the president 's right to perform the duties and exercise the prerogatives the <unk> thought should be <unk> to the executive
 if president bush loses at the court it might be disappointing as morrison v. <unk> was for the reagan administration
 but the presidency would be no worse off than it is now
 moreover the <unk> would have received a valuable <unk> lesson in how the separation of powers works in practice
 as it stands now congress <unk> after the reagan administration that the white house will take unconstitutional provisions in appropriations bills lying down
 president bush should set things straight
 if he does not he will help realize madison 's fear in the <unk> no. N of a legislature everywhere extending the <unk> of its activity and drawing all powers into its <unk> <unk>
 mr. <unk> served as an attorney in the reagan administration
 his longer analysis of executive power and the appropriations clause is to appear in the duke law journal later this year
 despite one of the most devastating <unk> on record net cash income in the farm belt rose to a new high of $ N billion last year
 the previous record was $ N billion in N according to the agriculture department
 net cash income the amount left in farmers ' pockets after <unk> expenses from gross cash income increased in N states in N as the drought cut into crop yields and drove up commodity prices the department 's economic research service reported yesterday
 most of those states set farm income records
 the worst crop damage occurred in the midwestern corn belt and the northern great plains
 what saved many farmers from a bad year was the opportunity to reclaim large quantities of grain and other crops that they had <unk> to the government under <unk> loan programs
 with prices soaring they were able to sell the <unk> commodities at considerable profit the agency 's <unk> report said
 in less <unk> areas meanwhile farmers who had little or no loss of production <unk> greatly from the higher prices
 to the surprise of some analysts net cash income rose in some of the <unk> states including indiana illinois nebraska and the <unk>
 analysts attributed the increases partly to the $ N billion <unk> package enacted by congress
 last year 's record net cash income confirms the farm sector 's rebound from the agricultural depression of the early 1980s
 it also helps explain the reluctance of the major farm <unk> and many lawmakers to make any significant changes in the N farm program next year
 commodity prices have been rising in recent years with the farm price index hitting record <unk> earlier this year as the government curtailed production with <unk> programs to reduce <unk> surpluses
 at the same time export demand for u.s. wheat corn and other commodities strengthened said keith collins a department analyst
 farmers also benefited from strong livestock prices as the nation 's cattle inventory dropped close to a 30-year low
 all of these forces came together in N to benefit agriculture mr. collins said
 california led the nation with $ N billion in net cash income last year followed by texas $ N billion iowa $ N billion florida $ N billion and minnesota $ N billion
 iowa and minnesota were among the few major farm states to <unk> a decline in net cash income
 despite federal disaster relief the drought of N was a severe financial setback for an estimated N to N farmers according to the department
 many lost their farms
 department economists do n't expect N to be as good a year as N was
 indeed net cash income is likely to fall this year as farm expenses rise and government payments to farmers decline
 at the same time an increase of land under <unk> after the drought has boosted production of corn soybeans and other commodities causing a fall in prices that has been only partly <unk> by heavy grain buying by the soviets
 last year government payments to farmers slipped to less than $ N billion from a record $ N billion in N
 payments are expected to range between $ N billion and $ N billion this year
 after years of struggling the los angeles herald examiner will publish its last edition today shut down by its parent hearst corp. following unsuccessful efforts to sell the venerable newspaper
 the demise of the <unk> herald once the nation 's largest afternoon newspaper with circulation exceeding N turns the country 's second-largest city into a <unk> town at least in some <unk>
 the los angeles times with a circulation of more than N million dominates the region
 but it faces stiff competition in orange county from the orange county register which sells more than N copies a day and in the san fernando valley from the los angeles daily news which sells more than N
 nearby cities such as pasadena and long beach also have large <unk>
 in july closely held hearst based in new york put the paper on the block
 speculation had it that the company was asking $ N million for an operation said to be losing about $ N million a year but others said hearst might have virtually given the paper away
 an attempted buy-out led by john j. <unk> chief operating officer never materialized and a stream of what one staff member dismissed as <unk> and <unk> had filed through since
 the prospective buyers included investor marvin davis and the toronto sun
 the death of the herald a <unk> paper in a freeway town was perhaps inevitable
 los angeles is a <unk> <unk> newspaper market and advertisers seemed to feel they could buy space in the <unk> times then target a particular area with one of the regional <unk>
 the herald was left in limbo
 further the herald seemed torn <unk> between keeping its <unk> hearst <unk> blue-collar and <unk> and trying to provide a <unk> upscale alternative to the sometimes <unk> times
 hearst had <unk> with a conversion to tabloid format for years but never executed the plan
 the herald joins the baltimore <unk> which <unk> and the boston <unk> which was sold as <unk> of the old hearst newspaper empire abandoned by the company in the 1980s
 many felt hearst kept the paper alive as long as it did if marginally because of its place in family history
 its <unk> offices were designed by architect <unk> morgan who built the hearst castle at san <unk>
 william <unk> hearst had kept an apartment in the spanish <unk> building
 analysts said the herald 's demise does n't necessarily represent the overall condition of the newspaper industry
 the herald was a <unk> from a <unk> age said j. <unk> noble a media analyst with painewebber inc
 actually the long deterioration in daily newspapers shows signs of coming to an end and the industry looks pretty healthy
 founded as the examiner in N by mr. hearst the herald was <unk> by a bitter <unk> strike that began in N and cut circulation in half
 financially it never recovered <unk> it had its moments
 in N hearst hired editor james <unk> who <unk> the editorial product considerably
 he and his successor mary anne <unk> restored respect for the editorial product and though in recent years the paper had been <unk> along on limited resources its <unk> were notable
 for example the herald consistently beat its <unk> rival on disclosures about los angeles mayor tom bradley 's financial dealings
 the herald 's sports coverage and arts criticism were also highly regarded
 robert j. <unk> vice president and general manager of hearst newspapers stood up in the paper 's <unk> yesterday and announced that no buyers had stepped forward and that the paper would <unk> putting more than N full-time employees out of work
 hearst said it would provide employees with a placement service and pay them for N days
 some <unk> employees will receive additional benefits the company said
 hours after the announcement representatives of the orange county register were in a bar across the street recruiting
 the reaction in the <unk> was emotional
 i 've never seen so many people <unk> in one place at one time said bill johnson an assistant city editor
 so long l.a. was chosen as the paper 's final headline
 i 'm doing the main story and i 'm already two beers drunk said reporter andy <unk> whom the times hired away several years ago but who returned to the herald out of preference
 his wife also works for the paper as did his father
 outside a young <unk> filling a news box with an extra edition <unk> herald examiner closes refused to take a reader 's quarter
 forget it he said as he handed her a paper
 it does n't make any difference now
 olympia broadcasting corp. said it did n't make a $ N million semiannual interest payment due yesterday on $ N million of senior subordinated debentures
 the <unk> owner and <unk> said it was trying to obtain additional working capital from its senior secured lenders and other financial institutions
 it said it needs to make the payment by dec. N to avoid a default that could lead to an acceleration of the debt
 in september the company said it was seeking offers for its five radio stations in order to concentrate on its programming business
 if you 'd really rather have a buick do n't leave home without the american express card
 or so the <unk> might go
 american express co. and general motors corp. 's beleaguered buick division are joining forces in a promotion aimed at boosting buick 's sales while encouraging broader use of the american express card
 the companies are giving four-day <unk> for two to buick buyers who charge all or part of their down payments on the american express green card
 they have begun sending letters explaining the program which began oct. N and will end dec. N to about five million card holders
 neither company would disclose the program 's cost
 buick approached american express about a joint promotion because its card holders generally have a good credit history and are good at making payments says a spokeswoman for the division
 american express also represents the upscale image we 're trying to project she adds
 buick has been seeking for the past few years to restore its reputation as the doctor 's car a product for upscale professionals
 sales were roughly flat in the N model year compared with a year earlier though industry sales fell
 but since the N model year began oct. N buick sales have plunged N N
 for american express the promotion is part of an effort to broaden the use of its card for retail sales where the company expects to get much of the future growth in its card business
 traditionally the card has been used mainly for travel and entertainment expenses
 <unk> <unk> an american express executive vice president says the promotion with buick is his company 's first with an auto maker but hopefully will be the first of many in the company 's effort to promote its green card as the total <unk> card
 to that end american express has been signing up gasoline companies car repair shops tire companies and car dealers to accept the card
 many auto dealers now let car buyers charge part or all of their purchase on the american express card but few card holders realize this mr. <unk> says
 until now however buyers who wanted to finance part of a car purchase through general motors acceptance corp. could n't put their down payment on a charge card because of possible conflicts with <unk> and state disclosure laws over finance rates says a spokesman for the gm finance arm
 but gmac approved the buick program he says because the american express green card requires payment in full upon billing and so does n't carry any finance rates
 mr. <unk> says american express considers gm and buick very sophisticated direct-mail marketers so by joining forces with them we have managed to maximize our direct-mail capability
 in addition buick is a relatively respected <unk> among american express card holders says an american express spokeswoman
 when the company asked members in a mailing which cars they would like to get information about for possible future purchases buick came in fourth among u.s. cars and in the top N of all cars the spokeswoman says
 american express has more than N million card holders in the u.s. and over half have the green card
 gmac <unk> the <unk> list for holders more than N years old with household incomes over $ N who had n't missed any payments the buick spokeswoman says
 some N million of the five million who will get letters were <unk> for credit with gmac
 these N million people also are eligible to get one percentage point off gmac 's advertised finance rates which start at N N for two-year loan contracts
 a spokesman for visa international 's u.s. subsidiary says his company is using promotions to increase use of its cards but does n't have plans for a <unk> similar to the american <unk> link
 three divisions at american express are working with buick on the promotion the establishment services division which is responsible for all merchants and companies that accept the card the travel division and the merchandise sales division
 the vacation packages include hotel <unk> and in some cases tours or tickets to local <unk> but not meals
 <unk> are chicago <unk> las vegas nev. los angeles miami beach fla. new orleans new york <unk> fla. san francisco and washington d.c.
 a buyer who chooses to fly to his <unk> must pay for his own ticket but gets a companion 's ticket free if they fly on united airlines
 in <unk> of the vacation buyers can choose among several prizes including a <unk> <unk> or a stereo videocassette recorder
 card holders who receive the letter also are eligible for a <unk> with buick cars or a hawaii vacation as prizes
 if they <unk> a buick they get an american express <unk>
 this is n't buick 's first <unk> promotion
 a few years ago the company offered two <unk> tickets on trans world airlines to buyers of its <unk> luxury car
 the promotion helped <unk> sales exceed the division 's forecast by more than N N buick said at the time
 the united kingdom high court declared illegal a variety of interest-rate swap transactions and options deals between a london borough council and commercial banks
 the ruling could lead to the cancellation of huge bank debts the london borough of <unk> and <unk> ran up after losing heavily on swap transactions
 as many as N u.k. and international banks stand to lose several hundred million pounds should the decision be upheld and set a precedent for other municipalities
 an appeal is expected
 in response to the ruling <unk> futures swiftly plunged more than a point yesterday before recovering much of the loss by the end of the session
 <unk> or british government bonds which also fell sharply initially <unk> some of the losses to end about N point lower
 the council which is alleged to have engaged in over N deals valued at over # N billion $ N billion lost millions of pounds from <unk> swap deals
 at one point <unk> is reported to have accounted for as much as N N of the sterling market in interest-rate swap dealings
 when two parties engage in an interest-rate swap they are betting against each other on future rates
 thus an institution obligated to make fixed-rate interest payments on debt swaps the payments with another making floating-rate payments
 in most of the british transactions the municipalities agreed to make floating-rate payments to banks which would make fixed-rate payments
 as interest rates rose municipalities owed the banks more than the banks were paying them
 the court hearing began in early october at the request of anthony <unk> district <unk> for <unk> who argued that local <unk> are n't vested with constitutional authority to engage in such <unk> activities
 the council backed the audit commission 's stand that the swap transactions are illegal
 although the <unk> and <unk> council was by far the most active local authority engaging in such <unk> transactions the court decision could set a precedent for similar transactions by N other local <unk>
 while this court ruling was only on <unk> it will obviously be very <unk> in other cases of a similar nature a <unk> representing one of the banks said
 already N local <unk> have refused to honor fees and payments to banks incurred during various swaps dealings
 other financial institutions involved include barclays bank plc midland bank plc security pacific corp. chemical banking corp. 's chemical bank citicorp 's citibank and mitsubishi finance international
 if the banks <unk> all <unk> of appeal it is possible that they would seek to have the <unk> ruling work both ways some market sources said
 banks could seek to recover payments to local authorities in <unk> where the banks made net payments to <unk>
 officials from the various banks involved are expected to meet during the next few days to consider other arrangements with local authorities that could be questionable
 the banks have N days to file an appeal against the ruling and are expected to do so shortly
 in the aftermath of the stock market 's <unk> 190-point drop on oct. N kidder peabody & co. 's N stockbrokers across the country began a telephone and <unk> campaign aimed at <unk> the country 's second-largest program trader
 the target of their <unk>
 their own employer kidder peabody
 since october 's <unk> wall street has been shaken by an explosion of <unk> against program trading the computer-driven <unk> trades of huge baskets of stocks and futures that can send stock prices reeling in minutes
 but the <unk> fight over program trading is about much more than a volatile stock market
 the real battle is over who will control that market and reap its huge rewards
 program trading itself according to many <unk> who have studied it is merely caught in the middle of this battle unfairly labeled as the evil driving force of the marketplace
 the evidence indicates that program trading did n't in fact cause the market 's sharp fall on oct. N though it may have <unk> it
 on one side of this power struggle stand the forces in <unk> on wall street the new guard consisting of high-tech computer <unk> at the major brokerage firms their pension fund clients with <unk> pools of money and the traders at the fast-growing chicago futures exchanges
 these are the main proponents of program trading
 defending their <unk> are wall street 's old guard the traditional <unk> money managers tens of thousands of stock brokers the new york stock exchange 's listed companies and the <unk> floor traders known as specialists who make markets in their stocks
 so far wall street 's old guard seems to be winning the program-trading battle successfully <unk> public and congressional opinion to <unk> their <unk>
 the chicago mercantile exchange a major futures marketplace yesterday announced the addition of another layer of trading halts designed to slow program traders during a rapidly falling stock market and the big board is expected today to approve some additional restrictions on program trading
 <unk> by charges that their greed is turning the stock market into a <unk> <unk> almost all the big investment banking houses have abandoned index arbitrage a common form of program trading for their own accounts in the past few days
 a few such as giant merrill lynch & co. now refuse even to do index arbitrage trades for clients
 the old guard 's assault on program trading and its practitioners has been fierce and broad-based in part because some old guard members feel their very <unk> is at stake
 some such as traditional money manager neuberger & <unk> have taken out national newspaper advertisements demanding that market regulators stop the numbers <unk> on wall street
 big board stock specialists in a bold palace <unk> began shortly after oct. N to telephone the corporate executives of the companies whose stock is listed on the big board to have them pressure the exchange to ban program trading
 charles wohlstetter the chairman of contel corp. who is <unk> other <unk> to the <unk> trading cause says he has received <unk> letters offering support
 they said <unk> without a single exception do n't even compromise
 kill it he says
 wall street 's new guard is n't likely to take all this lying down for long however
 its new products and trading techniques have been highly profitable
 program trading money managers have gained control over a big chunk of the invested funds in this country and the pressures on such money managers to produce consistent profits has <unk> them to the ability to move rapidly in and out the market that program trading gives them
 what 's more the last time major wall street firms said they were getting out of program trading in the aftermath of the N crash they waited a few months and then <unk> back into it
 even some members of the old guard despite their current advantage seem to be <unk> that the future belongs with the new guard
 last week robert m. bradley one of the big board 's most respected floor traders and head of a major traders ' organization surrendered
 he sold his exchange seat and wrote a bitter letter to big board chairman john j. phelan jr. in which he said the big board is too focused on machines rather than people
 he said the exchange is headed for a real crisis if program trading is n't <unk>
 i do not want my money invested in what i consider as nothing more than a casino mr. bradley wrote
 the battle has turned into a civil war at some firms and organizations causing internal <unk> and <unk> employee against employee
 at kidder a unit of general electric co. and other big brokerage firms stockbrokers battle their own firm 's program traders a few floors away
 corporations like contel <unk> program trading yet contel has in the past hired pension fund managers like bankers trust co. that are also big program traders
 the big board the nation 's premier stock exchange is sharply divided between its floor traders and its top executives
 its entrenched N stock specialists firms are fighting <unk> and <unk> against programs
 but the big board 's leadership over the specialists ' protests two weeks ago began trading a new stock basket product designed to facilitate program trading
 a lot of people would like to go back to N before program trading mr. phelan said this week
 i would like to go back to N
 but we are not going back to N
 again and again program-trading 's critics raise the casino theme
 they say greedy market <unk> have made a <unk> of the nation 's <unk> system turning the stock market into a big gambling <unk> with the odds heavily <unk> against the small investor
 the public did n't come to the market to play a game they can go to <unk> betting for that says a. <unk> murray chairman of <unk> murray foster securities a traditional money management firm
 the program traders on the other hand <unk> old-fashioned stock pickers as the <unk> of the industry
 critics like mr. murray are looking for <unk> and people who use computers to trade are a convenient <unk> says j. thomas allen president of advanced investment management inc. a pittsburgh firm that runs a $ N million fund that uses index arbitrage
 just a blind fear of the unknown is causing them to <unk> the regulators for protection
 for all the furor there is nothing particularly complex about the concept of stock-index arbitrage the most controversial type of <unk> program trading
 like other forms of arbitrage it merely seeks to take advantage of <unk> discrepancies in the price of a single product in this case a basket of stocks in different markets in this case the new york stock exchange and the chicago futures markets
 that divergence is what stock index traders seek
 when it occurs the traders place orders via computers to buy the basket of stocks such as the N stocks that constitute the standard & poor 's N stock index in whichever market is cheaper and sell them in the more expensive market they lock in the difference in price as profit
 such program trades which can involve the purchase or sale of millions of dollars of stock occur in a matter of seconds
 a program trade of $ N million of stock typically earns a <unk> profit of $ N
 to keep program-trading units profitable in the eyes of senior brokerage executives traders must seize every opportunity their computers find
 the speed with which such program trades take place and the volatile price movements they can cause are what program trading critics <unk> to <unk>
 if you continue to do this the investor becomes frightened any investor the odd <unk> mutual funds and pension funds says larry <unk> managing partner at neuberger & <unk>
 but many experts and traders say that program trading is n't the main reason for stock-market gyrations
 i have not seen one <unk> of evidence to support restrictions on program trading says a <unk> university finance professor <unk> stoll an authority on the subject
 says the big board 's mr. phelan volatility is greater than program trading
 the oct. N plunge was triggered not by program traders but by news of the <unk> of the $ N billion buy-out of ual corp
 unable to unload ual and other airline shares takeover-stock speculators or risk arbitragers dumped every blue-chip stock they had
 while program trades swiftly kicked in a circuit breaker that halted trading in stock futures in chicago made some program trading impossible
 susan del <unk> head trader at travelers investment management co. says critics are ignoring the role the takeover stock <unk> is taking in the market as a source of volatility
 many <unk> are <unk> she says and they have to sell when things look like they fall apart
 like virtually everything on wall street the program-trading battle is over money and the <unk> have been losing out on <unk> of it to the new guard in recent years
 take the traditional money managers or stock pickers as they are <unk> known among the computer <unk>
 traditional stock managers like to charge N cents to N cents for every $ N they manage for big institutional investors and higher fees for smaller investors
 yet many such managers consistently fail to even keep up with much less beat the returns of standard <unk> like the s&p
 not surprisingly <unk> money managers have been losing clients to giant stock-index funds that use computers to <unk> portfolios so they mirror the s&p N
 the <unk> charge only a few pennies per $ N managed
 today about $ N billion or N N of all <unk> stock investments is held by index funds
 the new wall street of computers and automated trading threatens to make <unk> of the N big board <unk> firms
 these small but influential floor brokers long have earned fat returns of N N to N N a year on their capital by virtue of their monopoly in making markets in individual stocks
 the specialists see any step to electronic trading as a death <unk>
 and they believe the big board under mr. phelan has abandoned their interest
 the son of a specialist and once one himself mr. phelan has nonetheless been <unk> with products like the new stock basket that his former colleagues dislike so much to keep index funds and other program traders from taking their business to overseas markets
 meanwhile specialists ' trading risks have skyrocketed as a result of stock-market volatility
 when the sell programs hit you can hear the order printers start to go on the big board trading floor says one specialist there
 the buyers walk away and the specialist is left alone as the buyer of last resort for his stable of stocks he contends
 no one is more unhappy with program trading than the nation 's stockbrokers
 they are still trying to lure back small investors spooked by the N stock-market crash and the market 's swings since then
 small investors are absolutely <unk> that wall street is <unk> the deck against them and these wide swings are scaring them to death says raymond a. mason chairman of regional broker legg mason inc. in baltimore
 stockbrokers ' business and pay has been falling
 last year the average broker earned $ N N N lower than in N
 corporate executives <unk> that their company 's stock has been transformed into a <unk> piece of a stock-index basket
 index traders who buy all N stocks in the s&p N often do n't even know what the companies they own actually do complains andrew <unk> chairman of champion international corp
 do you make <unk> or <unk>
 oh you 're in the paper business is one reaction mr. <unk> says he 's gotten from his big institutional shareholders
 by this september program traders were doing a record N N of the big board 's average daily trading volume
 among the top practitioners were wall street blue <unk> morgan stanley & co. kidder peabody merrill lynch salomon brothers inc. and painewebber group inc
 but then came oct. N and the negative publicity <unk> by the old guard particularly against index arbitrage
 the <unk> ' strategy for the moment is to <unk> down and let the furor die
 there 's a <unk> psychology right now says the top program-trading official at a wall street firm
 wall street 's cash <unk> has been <unk> but i do n't think anyone has proven that index arbitrage is the problem
 too much money is at stake for program traders to give up
 for example stock-index futures began trading in chicago in N and within two years they were the fastest-growing futures contract ever launched
 stock futures trading has <unk> dozens of <unk> in their <unk> and <unk>
 now on a good day chicago 's stock-index traders trade more dollars worth of stock futures than the big board trades in stock
 now the stage is set for the battle to play out
 the <unk> are getting some helpful <unk> from congress
 program traders ' power to create total panic is so great that they ca n't be allowed to have their way says rep. edward markey a massachusetts democrat
 we have to have a system that says to those largest investors
 sit down
 you will not panic
 you will not put the financial system in jeopardy
 but the prospects for legislation that targets program trading is unlikely anytime soon
 many people including the big board think that it 's too late to put the <unk> back in the bottle
 the big board 's directors meet today to approve some program-trading restrictions but a total ban is n't being considered big board officials say
 you 're not going to stop the idea of trading a basket of stocks says <unk> 's prof. stoll
 program trading is here to stay and computers are here to stay and we just need to understand it
 short of a total ban some <unk> have proposed several <unk> reforms which they say would take away certain advantages program traders currently enjoy in the marketplace that other investors do n't
 one such proposal regarding stock-index futures is an increase in the margin requirement or the <unk> payment of cash needed to trade them to about the same level as the margin requirement for stocks
 currently margins on stock futures purchases are much lower roughly N N compared with N N for stocks making the futures market much faster and potentially more speculative
 program trading critics also want the federal reserve board rather than the futures industry to set such margins
 futures traders respond that low margins help keep their markets active
 higher margins would chase away dozens of smaller traders who help larger traders buy and sell they say
 another proposed reform is to have program traders answer to an uptick rule a reform instituted after the great crash of N that protects against stocks being <unk> beaten downward by those seeking to profit from lower prices namely short sellers
 the big board 's uptick rule prevents the short sale of a stock when the stock is falling in price
 but in N program traders received what amounted to an exemption from the uptick rule in certain situations to make it easier to link the stock and futures markets
 a <unk> of the uptick rule for program traders would slow their activity considerably
 program traders argue that a <unk> of the rule would destroy the pricing efficiency of the futures and stock markets
 james a. white contributed to this article
 <unk> <unk>
 big board chairman john phelan said yesterday that he could support letting federal regulators suspend program trading during wild <unk> swings
 thus the <unk> psychology of recent days picks up new impetus
 index arbitrage is a common form of program trading
 as usually practiced it takes advantage of a rather basic concept two separate markets in different locations trading basically the same <unk> ca n't trade them for long at prices that are widely different
 in index arbitrage the widget is the s&p N and its price is constantly compared between the futures market in chicago and the stock markets largely in new york
 to profit from an index-arbitrage opportunity someone who owns the s&p N widget in new york must sell it and replace it with a cheaper s&p N widget in chicago
 if the money manager performing this service is being paid by his clients to match or beat the return of the s&p N index he is likely to remain fully invested at all times
 few if any <unk> managers will risk <unk> performance by owning more than N N exposure to stocks and equally few will want to own less than a N N position should stocks rise
 by constantly seeking to own the cheapest widget index-arbitrage traders hope to add between N N and N N to the annual return of the s&p N
 that represents a very thin excess return certainly far less than what most fundamental stock pickers claim to seek as their performance objective
 the fact that a vast majority of <unk> money managers fail to beat the s&p N may contribute to the <unk> surrounding the issue
 as more managers pursue the index-arbitrage strategy these small opportunities between markets will be reduced and eventually eliminated
 the current opportunities arise because the process for executing a buy or sell order in the actual stocks that make up the s&p N is more <unk> than <unk> in the futures market
 the new york stock exchange 's attempt to introduce a new portfolio basket is evidence of investors ' <unk> to make fast and easy transactions of large numbers of shares
 so if index arbitrage is simply taking advantage of thin <unk> between two markets for the same widget how did program trading <unk> into the evil <unk> that is <unk> the <unk> of so many observers
 all arguments against program trading even those pressed without fact conclude with three expected results after reforms are implemented N reduced volatility N a long-term investment focus and N a level playing field for the small investor
 but many of these reforms are <unk> even harmful
 reducing volatility
 an index-arbitrage trade is never executed unless there is sufficient difference between the markets in new york and chicago to cover all transaction costs
 arbitrage does n't cause volatility it <unk> to it
 think about what causes the difference in prices between the two markets for s&p N stocks usually it is large investors <unk> a buy or sell in chicago
 a large investor will likely cause the futures market to decline when he sells his futures
 arbitrage simply transfers his selling pressure from chicago to new york while <unk> as a buyer in chicago
 the start of the whole process is the key someone must fundamentally increase or decrease his ownership in <unk> to make widget prices move
 why does this large hypothetical seller trade in chicago instead of new york
 perhaps he is willing to sacrifice to the arbitrage trader some small profit in order to get quick and certain execution of his large trade
 in a competitive market this investor has many ways to execute his transactions and he will have more alternatives both foreign and domestic if his volume is profitable for an exchange to handle
 if not chicago then in new york if not the u.s. then overseas
 volatility surrounding his trades occurs not because of index arbitrage but because his is a large addition or <unk> to a widget market with <unk> liquidity
 eliminate arbitrage and liquidity will decline instead of rising creating more volatility instead of less
 the speed of his transaction is n't to be feared either because faster and cleaner execution is desirable not <unk>
 if slowing things down could reduce volatility stone <unk> should become the trade ticket of the future
 encouraging long-term investing
 we must be very cautious about <unk> investors as long-term or short-term
 policies designed to encourage one type of investor over another are <unk> to placing a sign over the big board 's door saying buyers welcome sellers please go away
 the ultimate goal of any investor is a profit motive and regulators should not concern themselves with whether investors are sufficiently focused on the long term
 a free market with a profit motive will attract each investor to the liquidity and risks he can <unk>
 in point of fact volatility as measured by the annualized standard deviation of daily stock price movements has frequently been much higher than it is today
 periods before the advent of futures or program trading were often more volatile usually when fundamental market conditions were <unk> change N N and N for example
 it is interesting to see the fundamental stock pickers <unk> <unk> on program trading when the markets decline while <unk> the great values still <unk> as the markets rise
 could rising volatility possibly be related to uncertainty about the economics of stocks instead of the evil <unk> of program-trading <unk>
 some of the proposed <unk> for what is labeled program-trading volatility could be far worse than the perceived problem
 in using program trading as a <unk> boy <unk> investors stand to gain the high ground in wooing small investors for their existing <unk> products
 they may however risk bringing some damaging <unk> from outside the markets themselves
 how does a nice new tax say N N on any financial transaction sound
 that ought to make sure we 're all thinking for the long term
 getting a level playing field
 this argument is perhaps the most interesting one for <unk> program trading not because of its merits but because of the firms <unk> the cause
 the <unk> of these reformers are money managers who cater to smaller investors
 they continually advise their clients on which individual stocks to buy or sell while their clients continue to hope for superior performance
 even with mutual funds the little investor continues to <unk> high fees high commissions and poor performance while <unk> managers slowly <unk> a better record with lower fees lower commissions and less risk
 yet our efforts are somehow less noble than those of an investment expert <unk> <unk> press <unk> on each company he follows
 almost all new regulation is introduced in the interests of protecting the little guy and he invariably is the one least able to cope with its consequences
 if spreads available from index arbitrage are so enormous surely any sizable mutual-fund company could profit from offering it to small investors
 the sad reality is that the retail investor continues to pursue <unk> performers first while leaving institutions to <unk> with basis points of performance on large sums of money quarter by quarter
 <unk> index funds just are n't <unk> enough to justify the high fees and commissions that retail customers frequently pay and that institutional customers refuse to pay
 each new trading <unk> is likely to be beaten by institutions seeking better ways to serve their <unk> clients here or overseas
 <unk> new trading <unk> will only make things harder on the least sophisticated investors
 so what is next for program trading
 left to its own devices index arbitrage will become more and more efficient making it harder and harder to do profitably
 spreads will become so tight that it wo n't matter which market an investor chooses arbitrage will prevent him from gaining any temporary profit
 if government or private <unk> insist however on introducing greater <unk> between the markets limits on price moves <unk> execution higher margin requirements taxation etc. the end loser will be the markets themselves
 instead we ought to be inviting more liquidity with cheaper ways to trade and transfer capital among all participants
 mr. allen 's pittsburgh firm advanced investment management inc. <unk> program trades for institutions
 some democrats in congress are warning that a complicated new funding device for the two federal antitrust agencies could result in further cutbacks in a regulatory area already reduced sharply in recent years
 the funding mechanism which has received congressional approval and is expected to be signed by president bush would affect the antitrust operations of the justice department and the federal trade commission
 as a part of overall efforts to reduce spending congress cut by $ N million the bush administration 's request for antitrust enforcement for fiscal N which began oct. N
 to offset the reduction congress approved a $ N fee that investors and companies will have to pay each time they make required filings to antitrust regulators about mergers acquisitions and certain other transactions
 some democrats led by rep. jack brooks d. texas unsuccessfully opposed the measure because they fear that the fees may not fully make up for the budget cuts
 but justice department and ftc officials said they expect the filing fees to make up for the budget reductions and possibly exceed them
 it could operate to <unk> our budget james <unk> the justice department 's antitrust chief said in an interview
 under measures approved by both houses of congress the administration 's request for $ N million for the antitrust division would be cut $ N million
 the ftc budget request of $ N million about $ N million of which would go for antitrust enforcement would also be cut by $ N million
 the administration had requested roughly the same amount for antitrust enforcement for fiscal N as was appropriated in fiscal N
 the offsetting fees would apply to filings made under the hart-scott-rodino act
 under that law parties proposing mergers or acquisitions valued at $ N million or more must notify ftc and justice department antitrust regulators before completing the transactions
 currently the government charges nothing for such filings
 proponents of the funding arrangement predict that based on recent filing levels of more than N a year the fees will yield at least $ N million this fiscal year or $ N million more than the budget cuts
 when you do that there is not a cut but there is in fact a program increase of $ N million each for the ftc and the justice department rep. neal smith d. iowa said during house debate
 but rep. don edwards d. calif responded that a recession could <unk> merger activity reducing the amount of fees collected
 the antitrust staffs of both the ftc and justice department were cut more than N N in the reagan administration and enforcement of major merger cases fell off drastically during that period
 today is not the time to signal that congress in any way sanctions the dismal state into which antitrust enforcement has fallen mr. edwards argued
 any money in excess of $ N million collected from the fees in fiscal N would go to the treasury at large
 corporate lawyers said the new fees would n't inhibit many mergers or other transactions
 though some lawyers reported that prospective <unk> were scrambling to make filings before the fees take effect government officials said they had n't noticed any surge in filings
 fall ballot issues set a record for <unk> elections
 <unk> elections attract relatively few ballot issues
 but the N fall total of N while well below N activity shows a steady <unk> up in citizen <unk> and initiatives says patrick <unk> editor of family law and democracy report
 he says the N <unk> issues on state <unk> this fall represent the most in any <unk> this decade
 ballot questions range from a maine initiative on banning cruise missiles to a <unk> on increasing the north <unk> income tax
 ballot watchers say attention already is focused on the N elections
 in california two petition drives for next year 's election are essentially finished says david <unk> author of citizen lawmakers
 mr. <unk> cites three completed efforts in oklahoma
 hot ballot topics are expected to be abortion the environment and insurance reform
 taking a <unk> from california more politicians will launch their campaigns by backing initiatives says david <unk> of <unk> young university
 photograph collecting gains new <unk> as prices rise
 price records are being set at auctions this week
 at christie 's a <unk> of N prints from alfred <unk> 's equivalents series sold for $ N a <unk> record
 other works also have been exceeding price estimates
 in part prices reflect development of a market structure based on such <unk> as the number of prints
 this information used to be poorly <unk> and largely <unk> says beth <unk> of sotheby 's
 there is finally some sort of sense in the market she says
 corporations and <unk> are among the serious buyers giving greater market stability says robert <unk> of the photograph <unk>
 when i see prints going into the hands of institutions i know they are n't going to come back on the market
 most in demand classic photographs by masters such as <unk> and man ray
 but much contemporary work is also <unk> a great deal of money says miles <unk> of the international center of photography
 dialing N brings callers a growing number of services
 currently a $ N <unk> business N telephone service is expected to hit $ N million next year and near $ N billion by N as uses for the service continue to expand says joel gross of donaldson lufkin & jenrette inc
 the service which costs the caller from N cents to $ N a minute currently is dominated by celebrity <unk> <unk> and <unk> lines
 but more serious applications are in the wings and that is where the future growth is expected
 i 'm starting to see more business transactions says <unk> west of american telephone & telegraph co. noting growing interest in use of N service for stock sales software <unk> and even service contracts
 colleges she says are <unk> registration through N service
 charities test the waters but they face legal barriers to electronic fund raising
 the thing that will really break this market right open is merchandising ms. west says
 much of the N service will <unk> to N predicts jack <unk> general manager of us <unk> 's N product
 family <unk> are improving recovery rates of patients at columbia hospital milwaukee
 patients who receive <unk> or <unk> visitors are found to have lower blood pressure and improved appetite and be more <unk> to therapy says mary ann <unk> program coordinator
 tired of trimming
 <unk> <unk> & co. offers a <unk> christmas tree that <unk> the need to string lights
 the $ N tree is designed to send <unk> changing <unk> light to dozens of <unk> <unk>
 medicine transplant growth of japanese trade and travel <unk> beth israel medical center new york to set up a <unk> medical practice
 funded by a $ N million gift from <unk> marine & fire insurance the service will follow japanese medical <unk> including emphasis on <unk> medicine
 diaper services make a comeback amid growing environmental concerns
 concerned about shrinking <unk> and the safety of chemicals used in <unk> <unk> parents are returning to the <unk> diaper
 tiny <unk> inc. campbell calif. says business is up N N in the past year
 we 're gaining N new customers each week says jack <unk> of general health care corp. <unk> n.j
 in <unk> n.y. <unk> service 's new marketing push <unk> environmental awareness
 among its new customers <unk> centers that previously <unk> the service
 the national association of diaper services philadelphia says that since january it has gotten more than N inquiries from people interested in starting diaper services
 <unk> <unk> launched a diaper service last year because state college pa. where she lives did n't have one
 diaper shortages this summer limited growth at <unk> diaper services <unk> mass. where business is up N N in
 also spurring the move to <unk> diaper covers with <unk> fasteners that eliminate the need for safety <unk>
 briefs
 only N N of new <unk> watch the local news the lowest <unk> in the country says a new study by impact resources inc. columbus ohio
 <unk> a <unk> bearing the <unk> of <unk> <unk> is marketed as a $ N tool for <unk> analysis
 program trading is a <unk> complains edward <unk> a white plains n.y. investor and electronics sales executive and it 's not to the benefit of the small investor that 's for sure
 but although he thinks that it is hurting him he doubts it could be stopped
 mr. <unk> 's dislike of program trading is <unk> by many small investors interviewed by wall street journal reporters across the country
 but like mr. <unk> few expect it to be halted entirely and a surprising number doubt it should be
 i think program trading is basically unfair to the individual investor says leo fields a dallas investor
 he notes that program traders have a commission cost advantage because of the quantity of their trades that they have a smaller margin requirement than individual investors do and that they often can figure out earlier where the market is heading
 but he blames program trading for only some of the market 's volatility
 he also considers the market <unk> and cites the troubles in junk bonds
 he adds the market may be giving us another message that a recession is looming
 or as <unk> <unk> an interior <unk> in arnold calif. puts it all kinds of funny things <unk> the market these days
 but she believes that program trading creates <unk> swings
 it 's not a sound thing there 's no inherent virtue in it
 she adds that legislation curbing it would be a <unk> good idea
 at the charles schwab & co. office in atlanta 's <unk> district a group of investors voices skepticism that federal officials would curb program trading
 citing the october N crash glenn miller says it 's like the last crash they threatened but no one did anything
 a. donald anderson a <unk> los angeles investor who says the stock market 's fluctuations and gyrations give me the <unk> does n't see much point in <unk> program trading
 those who still want to do it will just find some way to get around any attempt to curb it
 similarly rick <unk> a <unk> asset manager for a dallas real-estate firm would like to see program trading disappear because i ca n't see that it does anything for the market or the country
 yet he is n't in favor of new legislation
 i think we 've got enough securities laws he says
 i 'd much rather see them dealing with interest rates and the deficit
 peter anthony who runs an employment agency in new york <unk> program trading as limiting the game to a few but he also is n't sure it should be more strictly regulated
 i do n't want to <unk> it because <unk> it would be like <unk> capitalism he explains
 and surprising numbers of small investors seem to be <unk> to greater stock market volatility and say they can live with program trading
 glenn <unk> a <unk> new york financial analyst who plays options for his personal account says he is <unk> the market 's volatility into investment decisions
 he adds that program trading increases liquidity in the market
 you ca n't hold back technology
 and the practice should n't be stopped he says because even big players are n't immune to the <unk> of program trading
 also in new york israel <unk> an <unk> lawyer comments that program trading increases volatility but i do n't think it should be banned
 there 's no <unk> here
 the market is just becoming more efficient
 <unk> on differences between spot and futures prices is an important part of many financial markets he says
 he adds that his shares in a company savings plan are invested in a mutual fund and volatility on a given day may hurt the fund
 but i 'm a long-term investor he says
 if you were a short-term investor you might be more leery about program trading
 jim <unk> of atlanta <unk> program trading because he believes that it can bring the market back up after a plunge
 if we have a real bad day the program would say buy he explains
 if you could get the <unk> of the program trading you could take advantage of it
 what else can a small investor do
 scott <unk> a chicago <unk> is going into money-market funds
 mr. <unk> says he had just <unk> the $ N he lost in the N crash when he lost more money last oct. N
 now he plans to sell all his stocks by the first quarter of N
 in october before the market dropped mrs. <unk> of arnold calif. moved to sell the speculative stocks in her family trust so we will be able to withstand all this <unk> caused by program trading
 she believes that the only answer for individuals is to buy stocks that 'll weather any storm
 <unk> <unk> an <unk> chicago <unk> has become <unk> immune to stock-market <unk>
 mrs. <unk> took advantage of low prices after the N crash to buy stocks and has <unk> for other bargains since the oct. N plunge
 my stocks are all blue chips she says
 if the market goes down i figure it 's paper profits i 'm losing
 on the other hand if it goes way sky high i always sell
 you do n't want to get yourself too upset about these things
 young 's market co. a <unk> of spirits wines and other goods said it will merge with a new corporation formed by the <unk> family which controls young 's
 under terms of the agreement shareholders other than the <unk> will receive $ N a share at closing which is expected in december
 the <unk> family said that holders of more than a majority of the stock of the company have approved the transaction by written consent
 researchers at american telephone & telegraph co. 's bell laboratories reported they raised the electrical current-carrying capacity of new superconductor crystals by a factor of N moving the materials closer to commercial use
 the scientists said they created small changes in the <unk> structures of the superconductors to raise the amount of current that single crystals could carry to N <unk> per square <unk> in a moderately strong magnetic field
 the scientists said they made the advance with <unk> superconductors cooled to <unk> <unk> or minus N degrees <unk>
 their report appears in today 's issue of the journal nature
 the finding marks a significant step in research on bulk superconductors which are aimed at use in wires for motors <unk> <unk> and other applications
 scientists had obtained even higher current-carrying capacity in thin films of the new superconductors but have had problems increasing the amount of current that bulk crystals could carry
 superconductors conduct electricity without resistance when cooled
 a family of ceramic superconductors discovered during the past three years promise new technologies such as cheaper electrical generation but only if their current-carrying capacity can be raised
 the at&t advance shows how one aspect of the current-carrying problem can be overcome
 but it wo n't lead to imminent use of new superconductors cautioned robert b. van dover one of the at&t researchers
 he added that the current-carrying capacity of <unk> samples of superconductors remains too low for most practical uses because of so-called weak links between crystals
 such <unk> materials will probably be needed for commercial applications
 mr. van dover said the at&t team created the <unk> crystal changes by <unk> superconductor samples with neutrons a process that creates some <unk> in the samples and may not be <unk> for large-scale commercial use
 still scientists <unk> a collective sigh of relief about the finding because it demonstrates how to overcome the <unk> <unk> problem that earlier this year was widely publicized as <unk> new superconductors ' potential
 the problem involves the motion of small magnetic fields within superconductor crystals limiting their current-carrying capacity
 mr. van dover said the crystal changes his team introduced apparently <unk> the magnetic fields in place preventing them from lowering current-carrying capacity
 mr. van dover added that researchers are trying to determine precisely what crystal changes solved the problem
 determining that may enable them to develop better ways to introduce the needed <unk> patterns
 the at&t team also is trying to combine their latest superconductor process with <unk> growth a process discovered earlier at bell laboratories
 the combined processes may significantly raise the current-carrying capacity of <unk> samples
 william c. <unk> jr. an executive at san <unk> <unk> nationwide bank was named president and chief executive officer of <unk> holding corp. and its principal operating unit fidelity federal bank
 the appointment takes effect nov. N
 he succeeds james a. taylor who stepped down as chairman president and chief executive in march for health reasons
 edward l. kane succeeded mr. taylor as chairman
 separately <unk> posted a third-quarter net loss of $ N million or N cents a share <unk> net income of $ N million or $ N a share a year earlier
 the latest results include some unusual write-downs which had an after-tax impact of $ N million
 those included costs associated with the potential valley federal savings and loan association acquisition which was terminated on sept. N N
 in addition operating results were hit by an increase in loan and real estate loss reserves
 in american stock exchange composite trading <unk> shares closed yesterday at $ N down N cents
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 international business machines corp.
 $ N million of N N N debentures due nov. N N priced at N to yield N N
 the 30-year <unk> issue was priced at a spread of N basis points above the treasury 's N N N bellwether long bond
 rated triple-a by both moody 's investors service inc. and standard & poor 's corp. the issue will be sold through underwriters led by salomon brothers inc
 the size of the issue was increased from an originally planned $ N million
 detroit
 $ N million of general obligation <unk> state aid bonds due N and N tentatively priced by a chemical securities inc. group to yield from N N in N to N N in N
 there is $ N million of N N term bonds due N priced at N N to yield N N
 serial bonds are priced to yield from N N in N to N N in N
 the bonds are insured and <unk>
 santa ana community redevelopment agency calif.
 $ N million of tax allocation bonds N series <unk> due N N and N tentatively priced by a donaldson lufkin & jenrette securities corp. group to yield from N N in N to N N in N
 the N N N term bonds due N are priced at N N to yield N N and N N N term bonds due N are priced at N to yield N N
 serial bonds are priced at par to yield from N N in N to N N in N
 the bonds are rated single-a by s&p according to the lead underwriter
 maryland community development administration department of housing and community development
 $ N million of single-family program bonds N fourth and fifth series tentatively priced by a merrill lynch capital markets group to yield from N N in N for fourth series bonds to N N in N for fifth series bonds
 there is $ N million of fourth series bonds the interest on which is not subject to the federal alternative minimum tax
 they mature N N and N
 fourth series serial bonds are priced at par to yield from N N in N to N N in N
 the N N term bonds due N are priced to yield N N and N N term bonds due N are priced to yield N N
 there is $ N million of fifth series bonds which are subject to the federal alternative minimum tax
 they mature in N N and N
 bonds due in N have a N N N coupon and are priced at par
 the N N N bonds due N are priced to yield N N and N N N bonds due N are priced at N N to yield N N
 the underwriters expect a double-a rating from moody 's
 <unk> co japan
 $ N million of eurobonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via daiwa europe ltd
 each $ N bond carries one warrant exercisable from nov. N N through nov. N N to buy shares at an expected premium of N N N to the closing price when terms are fixed tuesday
 fees N N
 <unk> <unk> <unk> <unk> sweden
 N billion yen of N N eurobonds due nov. N N priced at N N to yield N N less full fees via mitsui finance international
 guaranteed by <unk> <unk>
 fees N N
 <unk> & co japan
 N million swiss francs of privately placed convertible notes due march N N with a fixed N N coupon at par via yamaichi bank switzerland
 put option march N N at a fixed N N to yield N N
 each N swiss franc note is convertible from nov. N N to march N N at a N N premium over the closing share price monday when terms are scheduled to be fixed
 fees N N
 mitsubishi pencil co japan
 N million swiss francs of privately placed convertible notes due dec. N N with a fixed N N coupon at par via union bank of switzerland
 put option on dec. N N at a fixed N N to yield N N
 each N swiss franc note is convertible from dec. N N to dec. N N at a N N premium over the closing share price tuesday when terms are scheduled to be fixed
 fees N N
 <unk> <unk> corp japan
 N million swiss francs of N N N privately placed notes due nov. N N priced at N N via dai-ichi kangyo bank <unk>
 guarantee by dai-ichi kangyo bank ltd
 fees N N
 although his team lost the world series san francisco giants owner bob <unk> hopes to have a new home for them
 he is an <unk> fan of a proposition on next week 's ballot to help build a replacement for candlestick park
 small wonder since he 's asking san francisco taxpayers to sink up to $ N million into the new stadium
 as san francisco digs out from the pretty big one opponents say the last thing the city can afford is an expensive new stadium
 a stadium craze is sweeping the country
 it 's fueled by the increasing profitability of <unk> teams
 something like one-third of the nation 's N largest cities are thinking about new stadiums ranging from cleveland to san antonio and st. <unk>
 most <unk> claim the new sports <unk> will be <unk> for their city
 <unk> university economist dean <unk> <unk> at that
 he has looked at N baseball and football stadiums and found that only one private <unk> stadium brought more money into a city than it took out
 stadiums tend to <unk> existing wealth within a community not create more of it
 voters generally agree when they are given a chance to decide if they want to sink their own tax dollars into a new <unk>
 san francisco voters rejected a new <unk> two years ago
 last month phoenix voters turned <unk> down on a $ N million stadium bond and tax proposition
 its backers <unk> every important interest on their team a popular mayor the chamber of commerce the major media and spent $ N on promotion
 but voters decided that if the stadium was such a good idea someone would build it himself and rejected it N N to N N
 in san francisco its backers concede the <unk> is at best running even in the polls
 george christopher the former san francisco mayor who built candlestick park for the giants in the 1960s wo n't <unk> the new <unk>
 he says he had candlestick built because the giants claimed they needed N parking <unk>
 since the new park will have only N <unk> mr. christopher thinks backers are playing some fiscal games of their own with the voters
 stadium <unk> claim that without public money they would never be built
 miami <unk> owner joe <unk> <unk> and he can prove it
 several years ago he gave up trying to persuade miami to improve its <unk> orange bowl and instead built his own $ N million <unk> with private funds
 he did n't see why the taxpayers should help build something he would then use to turn a healthy profit
 this stadium shows that anything government can do we can do better mr. <unk> says
 but to moon <unk> the former new orleans mayor who helped build that city 's <unk> money-losing <unk> questions of who benefits or the bottom line are of little <unk>
 the <unk> is an exercise in optimism a statement of faith he has said
 it is the very building of it that is important not how much of it is used or its economics
 an egyptian <unk> could n't have justified his <unk> any better
 but <unk> has moved forward since then
 today taxpayers get to vote most of the time on whether they want to finance the building schemes of our modern political <unk> or let private money <unk> these <unk> for public <unk>
 reed international plc said that net income for the six months ended oct. N slipped N N to # N million $ N million or N pence a share from # N million $ N million or N pence a share
 the british paper packaging and publishing concern said profit from continuing lines fell N N to # N million from # N million
 while there were no one-time gains or losses in the latest period there was a one-time gain of # N million in the N period
 and while there was no profit this year from discontinued operations last year they contributed # N million before tax
 pretax profit fell N N to # N million from # N million and was below analysts ' expectations of # N million to # N million but shares rose N pence to N pence in early trading yesterday in london
 reed is paying an interim dividend of N pence up N N from N pence a year earlier
 sales fell N N to # N million
 earnings were hurt by disposal of operations in its restructuring reed said
 wall street 's big securities firms face the prospect of having their credit ratings lowered
 the reason risks from the firms ' new merchant banking activities are rising as revenue from the industry 's traditional business <unk>
 the downgrading of debt issued by cs first boston inc. parent of first boston corp. by moody 's investors service inc. coupled with a moody 's announcement that shearson lehman hutton holdings inc. is under review for a possible downgrade sent <unk> through the brokerage community this week
 with the <unk> came the <unk> that some of wall street 's biggest players are struggling to maintain the <unk> credit standing required to finance their activities profitably
 securities firms are among the biggest issuers of commercial paper or short-term corporate <unk> which they sell to finance their daily operations
 the biggest firms still retain the highest ratings on their commercial paper
 but moody 's warned that shearson 's commercial paper rating could be lowered soon a move that would reduce shearson 's profit margins on its borrowings and signal trouble ahead for other firms
 shearson is <unk> by american express co
 just as the 1980s bull market transformed the u.s. securities business so too will the more difficult environment of the 1990s says christopher t. <unk> a moody 's vice president
 a sweeping restructuring of the industry is possible
 standard & poor 's corp. says first boston shearson and drexel burnham lambert inc. in particular are likely to have difficulty <unk> up their credit standing in months ahead
 what worries <unk> concerns the most is that wall street firms are taking long-term risks with their own capital via leveraged buy-out and junk bond financings
 that 's a departure from their traditional practice of <unk> almost all financing risks to investors
 <unk> conventional securities financings are structured to be sold quickly wall street 's new <unk> for leveraged buy-outs and junk bonds is resulting in long-term lending commitments that stretch out for months or years
 the recent disarray in the junk bond market suggests that brokers may become longer-term creditors than they anticipated and may face long delays in getting their money back says jeffrey <unk> a vice president at s&p which raised a warning flag for the industry in april when it downgraded cs first boston
 wall street is facing a <unk> situation says mr. <unk> of moody 's
 merchant banking where firms commit their own money is getting riskier and there 's less of it to go around
 in addition he says the buy-out business is under pressure because of the junk bond collapse meaning that returns are likely to decline as the volume of junk-bond financings <unk>
 in a leveraged buy-out a small group of investors acquires a company in a transaction financed largely by borrowing with the expectation that the debt will be paid with funds generated by the acquired company 's operations or sales of its assets
 in a recent report moody 's said it expects intense competition to occur through the rest of the century in the securities industry which combined with overcapacity will create poor prospects for profitability
 it said that the temptation for <unk> to ease this profit pressure by taking greater risks is an additional rating factor
 both moody 's and s&p cited first boston 's reliance in recent years on merchant banking which has been responsible for a significant portion of the closely held firm 's profit
 the recent cash squeeze at campeau corp. first boston 's most lucrative client of the decade is proving costly to first boston because it arranged more than $ N billion of high-yield high-risk junk financings for campeau units
 in addition a big loan that first boston made to ohio <unk> co was n't repaid on time when its $ N million junk financing for a buy-out of the <unk> company was withdrawn
 these two exposures alone represent a very substantial portion of cs first boston 's equity moody 's said
 total merchant banking exposures are in excess of the firm 's equity
 cs first boston however benefits from the backing of its largest shareholder credit suisse switzerland 's third largest bank
 shearson also has been an aggressive participant in the leveraged buy-out business
 but its earnings became a major disappointment as its traditional retail or individual investor business showed no signs of rebounding from the slump that followed the october N stock market crash
 in addition shearson 's listed $ N billion of capital is <unk> according to the rating concerns because it includes $ N billion of goodwill
 shearson really only has $ N million of capital says mr. <unk> of s&p
 a shearson spokesman said the firm is n't worried
 a year ago moody 's also had shearson under review for possible downgrade he said
 after two months of talks our rating was maintained
 drexel meanwhile already competes at a disadvantage to its big wall street rivals because it has a slightly lower commercial paper rating
 the collapse of junk bond prices and the cancellation of many junk bond financings apparently have taken their toll on closely held drexel the leading underwriter in that market
 the firm also has been hit with big financial settlements with the government stemming from its guilty plea to six <unk> related to a big insider-trading scandal
 drexel this year eliminated its retail or individual customer business cutting the firm 's <unk> almost in half to just over N
 recently drexel circulated a private financial statement among several securities firms showing that its earnings performance has diminished this year from previous years
 the firm 's capital moreover has n't grown at the same rate as in the past officials at these firms say
 drexel remains confident of its future <unk>
 we 're well positioned with $ N billion of capital a drexel spokesman said
 and as a leading investment and merchant banking firm the fact that we are no longer subject to the uncertainties and <unk> of the retail business is a major plus in our view
 moreover we 've probably been the most aggressive firm on the street in reducing costs which are down around N N over the last six months
 lewis c. <unk> the father of the team that created the highly successful ford <unk> and mercury <unk> cars retired early after experiencing recent heart problems
 most recently mr. <unk> N years old has been vice president of product and manufacturing engineering at ford motor co
 but he is best known in the auto industry as the <unk> of a team <unk> approach that produced the two midsized cars that were instrumental in helping the no. N auto maker record profits in recent years and in enabling the company 's ford division to <unk> general motors corp. 's chevrolet division as the <unk> <unk> in the u.s.
 under the so-called team <unk> approach mr. <unk> and other ford product planners sought the involvement of parts suppliers <unk> workers auto designers and financial staff members from the initial stages of the development cycle
 the concept 's goal was to eliminate bureaucracy and make ford 's product development more responsive to consumer demands
 it was later applied to other <unk> programs including those that produced the ford <unk> and mercury <unk>
 ford chairman donald e. <unk> said yesterday that mr. <unk> has helped to change the world 's perception of <unk> cars
 mr. <unk> worked at ford for N years holding a variety of car and <unk> positions
 the limits to legal <unk> stretched another <unk> this week when the supreme court refused to hear an appeal from a case that says corporate defendants must pay damages even after proving that they could not possibly have caused the harm
 we can understand and share the <unk> that makes judges sometimes wish to offer a kind of <unk> aid to those who 've been hurt
 but this case is a stark lesson in how the failures of the traditional <unk> process have left the courts as the only forum this country has to debate risk technology and innovation
 too often now a single court decision becomes the precedent for other less compelling cases
 from the <unk> until N some two million women took the synthetic <unk> <unk> des to prevent <unk> and morning <unk>
 the drug was approved by the food and drug administration and marketed by some N pharmaceutical companies often under generic labels
 in the 1970s scientists reported cancer cases among the daughters of des users
 the cases quickly went to court but the mothers of several thousand des plaintiffs could n't recall whose brand they used
 beginning in N courts in several states including california and new york decided to suspend the <unk> rule that plaintiffs must prove that the defendants are the ones who are liable
 courts made the assumption that all des pills were essentially the same and created a market-share test so that damages would be assessed against drug makers in the proportion of their share of the original sales
 this has some logic
 drug makers should n't be able to duck liability because people could n't identify precisely which identical drug was used
 but courts quickly tumbled down a <unk> <unk>
 just as all plaintiffs are not alike it turns out that des defendants marketed the drugs differently and may have offered different <unk>
 the ultimate result came in <unk> v. lilly where the highest new york court expanded the market-share approach for the first time to say that drug makers that could prove <unk> <unk> 's mother did n't use their pill must still pay their share of any damages
 but as duke university law professor william van <unk> notes by this <unk> a defendant could be held liable in new york for a bad apple even if he sold all his apples in california
 despite the supreme court 's refusal to hear the case there are serious constitutional issues of due process and <unk> <unk> from the defendants
 the big problem however is that there 's no guarantee that this <unk> will be limited to des or to drugs
 the problem here goes well beyond <unk> legal doctrine
 the california supreme court last year reversed direction to make it much harder to win des cases because the justices saw how all the pharmaceutical litigation has <unk> the introduction of new drugs
 the court rejected strict liability for prescription drugs citing the huge hidden social costs
 public policy favors the development and marketing of beneficial new drugs even though some risks perhaps serious ones might <unk> their introduction because drugs can save lives and reduce pain and suffering the <unk> court said
 the california justices noted that the fear of litigation already forced the only remaining <unk> drug <unk> off the u.s. market
 this raises the key issue what to do about people who suffer serious injuries from beneficial drugs
 we now know that holding drug makers liable where there 's no evidence that they or anyone else knew of any risks only means the drugs wo n't be available to anyone
 as liability expert peter <unk> tells us after the <unk> case if any drug maker <unk> an <unk> drug it 's time to sell that company 's stock short
 we also know that the <unk> system is a <unk> way to compensate victims anyway some win the legal <unk> others get much less and <unk> lawyers take a big cut either way
 des daughters and other victims of drugs would be better off if their cases were taken out of the courts
 congress could create a compensation program to help such victims while protecting the national interest in encouraging new drugs
 but a N law that supposedly replaced lawsuits over children 's <unk> with a compensation fund has predictably led to even more litigation
 everyone by now understands that congress is utterly <unk> of writing legislation to help <unk> people without its becoming some billion-dollar <unk>
 we have no doubt this is one reason judges in new york and justices on the supreme court are willing to trash the law in the des cases
 they must figure that justice has to get done by somebody but know it wo n't be done by congress
 <unk> partners limited partnership an investment firm completed the purchase of may department stores co. 's <unk> discount chain for $ N million plus the assumption of $ N million in debt
 <unk> based in <unk> conn. operates N stores in the northeast it reported revenue of $ N billion last year
 may stores st. louis runs such well-known department stores as lord & taylor
 n.v <unk> said net income in the third quarter jumped N N as the company had substantially lower extraordinary charges to account for a restructuring program
 the dutch chemical group said net income gained to N million guilders $ N million or N guilders a share from N million guilders or N guilders a share a year ago
 the N N state-owned <unk> had eight million guilders of extraordinary charges in the latest quarter mainly to reflect one-time losses in connection with the disposal of some operations
 the charges were offset in part by a gain from the sale of the company 's construction division
 last year <unk> had N million guilders of extraordinary charges for the restructuring program and other transactions
 the earnings growth also was fueled by the company 's ability to cut net financing spending by half to around N million guilders
 also substantially lower dutch corporate tax rates helped the company keep its tax <unk> flat relative to earnings growth the company added
 sales however were little changed at N billion guilders compared with N billion guilders
 <unk> inc. said it received food and drug administration approval to sell the <unk> <unk> lens the first <unk> <unk> lens available for <unk> surgery
 the <unk> 's <unk> enables it to be inserted in smaller <unk> than are now possible for <unk> surgery the eye care and skin care concern said
 <unk> refer to a <unk> of the eye 's natural lens
 a man from the bush administration came before the house agriculture committee yesterday to talk about the u.s. 's intention to send some $ N million in food aid to poland with more to come from the ec
 the committee 's members are worried what all this free food might do to the economic prospects of poland 's own farmers
 rep. gary ackerman noted that past food aid had <unk> farmers in el salvador and egypt
 however well <unk> food transfers have the habit of growing larger and <unk> the market incentives for the <unk> country 's own farmers
 the first world has for some time had the bad habit of <unk> other people 's economies with this kind of <unk> <unk>
 it should be constantly stressed that poland 's farmers mostly need a real market for their products
 <unk> industries inc. said it expects net income in the year ending june N N to fall below a recent analyst 's estimate of $ N a share
 the <unk> ill. maker of fasteners also said it expects to post sales in the current fiscal year that are slightly above fiscal N sales of $ N million
 the company said its industrial unit continues to face margin pressures and lower demand
 in fiscal N <unk> earned $ N million or $ N a share
 the company 's stock fell $ N to $ N in over-the-counter trading yesterday
 <unk> truck corp. <unk> wis. estimated earnings for its fourth quarter ended sept. N fell N N to N N below the year-earlier $ N million or N cents a share
 the truck maker said the significant drop in net income will result in lower earnings for the fiscal year
 in fiscal N the company earned $ N million or $ N a share on revenue of $ N million
 <unk> truck attributed the downturn in its earnings to higher start-up costs of its new <unk> division a softer <unk> market and higher administrative costs of compliance with government contractor regulations
 the company said it is in the process of <unk> out john deere its current source of production for midsized motor home <unk>
 in anticipation of the start-up of its new factory the company said a <unk> <unk> supply has been built to carry it through the transition period
 tokyo stocks edged up wednesday in relatively active but <unk> trading
 london shares finished moderately higher
 at tokyo the nikkei index of N selected issues which gained N points tuesday added N points to N
 in early trading in tokyo thursday the nikkei index fell N points to N
 wednesday 's volume on the first section was estimated at N million shares in line with tuesday 's N million
 declining issues slightly outnumbered advancing issues N to N
 investors switched trading focus quickly as they did tuesday reflecting uncertainty about long-term commitments to any issue or sector traders said
 speculation on the other hand sparked buying in certain <unk> issues though rumors underlying such shares eventually proved <unk>
 the development traders said showed that there is more than ample liquidity available for investment despite the market 's recent <unk> trend
 dealers led the market wednesday by actively trading for their own accounts observers said
 institutions mostly remained on the sidelines because of uncertainty regarding interest rates and the dollar
 the tokyo stock price index <unk> of all issues listed in the first section which gained N points tuesday was down N points or N N at N
 the second section index which added N points tuesday was up N points or N N to close at N
 volume in the second section was estimated at N million shares up from N million tuesday
 <unk> <unk> managing director of nomura investment trust management said that if the u.s. federal funds rate declines to around N N institutions would acquire a <unk> idea regarding the direction of the market and thus more <unk> participate in active buying
 tokyu group mitsubishi estate and <unk> which advanced tuesday declined on profit-taking
 wednesday 's dominant issue was <unk> fire & marine insurance which continued to surge on rumors of speculative buying
 it ended the day up N yen N cents to N yen $ N
 due to <unk> high gold prices tied to uncertainty about the u.s. currency investor interest was directed toward oil and mining shares which traders called a defensive action frequently taken when the dollar is expected to fall or during times of inflation
 <unk> oil also <unk> by rumors of speculative buying advanced N yen to N
 <unk> shell gained N to N and mitsubishi oil rose N to N
 <unk> metal mining fell five yen to N and nippon mining added N to N
 among other winners wednesday was nippon <unk> which was up N at N
 <unk> advanced N to N
 london share prices were bolstered largely by continued gains on wall street and technical factors affecting demand for london 's blue-chip stocks
 the financial times-stock exchange 100-share index closed N points higher at N
 it rose largely throughout the session after posting an intraday low of N in the first N minutes of trading
 the index ended the day near its session high of N which was posted within the last half-hour of trading
 dealers said most investor interest was focused on defensive blue-chip stocks particularly those with limited u.k. exposure
 also several key blue chips were pushed higher in thin volume because of a technical squeeze among market makers
 sterling 's firm tone combined with a steady opening on wall street also <unk> some investors to come back to the market dealers said
 there were concerns early in the day that wall street 's sharp gains on tuesday were <unk> and due for a reversal
 the <unk> 30-share index settled N points higher at N
 volume was N million shares up from N million on tuesday
 dealers said institutions were still largely <unk> the sidelines on fears that the market 's recent technical rally might prove fragile
 they cited wall street 's recent volatility and the lack of a clear indication over the market 's short-term direction as factors in the institutional caution
 jaguar a u.k. luxury auto maker being pursued by ford motor and general motors gained N pence N cents a share to close at N pence $ N
 it shed about N pence however after dealers said the market was disappointed that ford did n't move to tender a bid for control of the company
 dealers said the u.k. government 's decision tuesday to waive its <unk> golden share in the auto maker raised prospects of a bidding war between the two u.s. auto giants
 but the waiver also was seen as a signal that ford a major u.k. auto industry employer was able to gain government acceptance of its bid for control of jaguar
 dealers said that interpretation sparked expectations of an imminent bid by ford
 b.a.t industries which is being pursued by sir james goldsmith 's <unk> investments rose N to N on speculation that <unk> will <unk> its bid dealers said
 like jaguar b.a.t also eased off its highs in afternoon dealings
 reed international a u.k. publishing group gained N to N despite reporting a N N drop in interim pretax profit
 analysts said the fall in pretax profit was due to the group 's recent restructuring and sale of peripheral units and that its remaining businesses are performing well
 dealers said the market agreed
 stocks boosted by market-makers shopping to cover book requirements in ft-se N shares included <unk> communications which climbed N to N
 drug companies in the key index also <unk> gains as market-makers searched for stock in anticipation of demand due to the sector 's defensive <unk>
 wellcome gained N to N on a modest N million shares
 <unk> the u.k. 's largest pharmaceutical concern advanced N to # N
 stock prices closed higher in stockholm amsterdam and frankfurt and lower in zurich
 paris brussels and milan were closed for a holiday
 south african gold stocks closed marginally lower
 elsewhere share prices closed higher in singapore taipei and wellington were mixed in hong kong lower in seoul and little changed in sydney
 manila markets were closed for a holiday
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 the following issues were recently filed with the securities and exchange commission
 <unk> corp. offering of N common shares via goldman sachs & co. and <unk> <unk> & <unk> inc
 <unk> water co. offering of N shares of common stock via legg mason wood walker inc. and howard weil <unk> <unk> inc
 <unk> <unk> resources inc. initial offering of N common shares to be offered by the company via chicago corp
 <unk> municipal fund inc. offering of five million common shares
 occidental petroleum corp. shelf offering of $ N billion in senior debt securities
 prime motor <unk> inc. offering of up to $ N million zero coupon convertible debentures via drexel burnham lambert inc. and montgomery securities
 service <unk> co. proposed offering of N million shares of common stock via <unk> mitchell <unk> & garrison inc. and blunt ellis & <unk> inc
 western gas resources inc. initial offering of N shares of common stock of which N shares will be sold by the company and N shares by a holder via prudential-bache capital funding smith barney harris upham & co. and <unk> <unk> inc
 hold the <unk>
 with <unk> <unk> <unk> and <unk> there are still beauty plans left to tackle but as the years go by it seems that before i <unk> i should <unk>
 pat <unk>
 criminal charges were filed against <unk> electronics inc. and two company officials alleging waste disposal violations in its <unk> calif. facility
 the los angeles county district attorney 's office filed seven felony and five <unk> counts charging that late last year and early this year the irvine calif.-based <unk> manufacturer illegally <unk> of acid <unk> and heavy metals into the <unk> system and <unk> hazardous materials in <unk> <unk> or <unk> containers
 named as defendants were <unk> matthews president and peter <unk> executive vice president and chief financial officer as well as a former plant manager
 the company said local authorities held hearings on the allegations last spring and had returned the plant to routine inspection in august
 the company does not feel that it or any of the individuals violated any criminal statute and the company expects full <unk> in court
 <unk> are scheduled for nov. N
 consumer confidence stayed strong in october despite the <unk> gyrations of the stock market
 the sharp stock market decline in late october appears to have had little or no effect on consumers said <unk> <unk> executive director of the conference board 's consumer research center
 survey returns received after the drop in the dow jones average were about the same as the views expressed prior to that event
 the nonprofit <unk> group said its consumer confidence index was N in october barely changed from a revised N in september
 the index was N in october N and in the past year has ranged from a low of N to a high of N
 it uses a base of N in N
 in october more people said that present business conditions were good than in september
 an equal number in each month said that employment conditions were good
 and N N of consumers contacted believed business conditions will improve in the coming six months compared with N N in september
 also more people said conditions will worsen in the period
 fewer said conditions wo n't change
 in october N N N said business conditions would improve
 in october N N N said more jobs will be created in the coming six months compared with N N in september and N N in october N
 only N N in october compared with N N in september and N N in october N said income would increase
 the sustained level of confidence can be attributed to the continued favorable circumstances which affect the consumer 's day-to-day economic life said mr. <unk>
 unemployment continues at a relatively low level providing a sense of job security and a low inflation rate has kept the purchasing power of the weekly <unk> reasonably strong
 the consumer confidence survey covering N u.s. households is conducted in the first two weeks of each month for the conference board by national family opinion inc. a toledo ohio market researcher
 buying plans were mixed in october with fewer households indicating plans to buy cars and more saying they will buy homes and appliances in the coming six months
 in october N N of respondents said they will buy a car easing from september when N N anticipated a purchase
 in october N N N said they would buy a car
 home purchase plans increased to N N from N N in the two recent months
 in october N N N said they would buy a house
 in N home purchase plans have ranged monthly from N N to N N of respondents
 in october N N said they will buy appliances in the coming six months compared with N N in september and N N in october N
 despite a <unk> of economic news the treasury market remained quiet but the corporate market was <unk> over international business machines corp. 's huge debt offering
 there were so many economic reports but the market did n't care about any of them said <unk> <unk> a money market economist at drexel burnham lambert inc
 so the focus turned to other fixed-income markets corporate and mortgages in particular she said
 ibm the giant computer maker offered $ N million of <unk> 30-year debentures priced to yield N N or about N percentage point higher than the yield on 30-year treasury bonds
 the size of ibm 's issue was increased from an originally planned $ N million as money managers and investors scrambled to buy the bonds
 in the investment-grade corporate market it 's rare that you get an opportunity to buy a name that has such broad appeal and has such attractive call features said james <unk> a drexel industrial bond trader
 money managers ranked ibm 's offering as the most significant investment-grade sale of the year because large issues of long-term debt by companies with triple-a credit are <unk>
 syndicate officials at lead underwriter salomon brothers inc. said the debentures were snapped by up pension funds banks insurance companies and other institutional investors
 in the treasury market investors paid <unk> attention to the day 's economic reports which for the most part provided a mixed view of the economy
 whether you thought the economy was growing weak or holding steady yesterday 's economic indicators did n't change your opinion said charles <unk> a managing director at manufacturers hanover securities corp
 the government reported that orders for manufactured goods were essentially unchanged in september while construction spending was slightly lower
 both indicators were viewed as signs that the nation 's industrial sector is growing very slowly if at all
 a survey by the federal reserve 's N district banks and the latest report by the national association of purchasing management <unk> that picture of the economy
 in a monthly report prepared for use at the fed 's next federal open market committee meeting on nov. N the nation 's central bank found that price increases have <unk> and economic activity has grown at a sluggish pace in recent weeks
 among other things the survey found that manufacturing activity <unk> considerably across districts and among industries
 the philadelphia and cleveland districts for example reported declines in manufacturing activity while the boston dallas and san francisco banks noted that business expanded
 the purchasing managers index of economic activity rose in october although it remains below N N
 a reading below N N indicates that the manufacturing sector is slowing while a reading above N N suggests that the industry is expanding
 mr. <unk> said the diverse showing in yesterday 's reports only <unk> the importance of the employment data
 the employment report which at times has caused wide swings in bond prices is due out tomorrow
 the average estimate of N economists polled by dow jones capital markets report was that <unk> <unk> expanded by N in october
 the economists forecast a N N rise in the unemployment rate to N N
 treasury securities
 in a surprise announcement the treasury said it will reopen the outstanding benchmark 30-year bond rather than create a new one for next week 's quarterly refunding of the federal debt
 the treasury will raise $ N billion in fresh cash by selling $ N billion of securities including $ N billion of new three-year notes and $ N billion of new 10-year notes
 but rather than sell new 30-year bonds the treasury will issue $ N billion of <unk> nine-month bonds essentially increasing the size of the current benchmark 30-year bond that was sold at the previous refunding in august
 credit market analysts said the decision to reopen the current benchmark the N N N bond due august N is unusual because the issue trades at a premium to its face amount
 some dealers said the treasury 's intent is to help government bond dealers gauge investor demand for the securities given uncertainties about when the auction will occur
 the treasury said the refunding is contingent upon congressional and presidential passage of an increase in the federal debt ceiling
 until such action takes places the treasury has no ability to issue new debt of any kind
 meanwhile treasury bonds ended modestly higher in quiet trading
 the benchmark 30-year bond about N point or $ N for each $ N face amount
 the benchmark was priced at N N to yield N N compared with N N to yield N N tuesday
 the latest 10-year notes were quoted at N N to yield N N compared with N N to yield N N
 the discount rate on three-month treasury bills was essentially unchanged at N N while the rate on six-month bills was slightly lower at N N compared with N N tuesday
 corporate issues
 ibm 's $ N million debenture offering dominated activity in the corporate debt market
 meanwhile most investment-grade bonds ended unchanged to as much as N point higher
 in its latest <unk> of performance statistics moody 's investors service found that investment-grade bonds posted a total return of N N in october while junk bonds showed a negative return of N N
 moody 's said those returns compare with a N N total return for longer-term treasury notes and bonds
 total return measures price changes and interest income
 for the year to date moody 's said total returns were topped by the N N of longer-term treasury issues closely followed by N N for investment-grade bonds
 junk bonds trailed the group again
 even the N N return from the <unk> three-month treasury bill has easily <unk> the N N return from junk bonds wrote moody 's economist john <unk> in yesterday 's market report
 little wonder that buyers for junk have been found wanting he said
 moody 's said the average net asset value of N junk-bond mutual funds fell by N N in october
 mortgage-backed issues
 mortgage securities ended slightly higher but trailed gains in the treasury market
 ginnie mae 's N N issue for november delivery finished at N N up N and its N N N issue at N N also up N
 the ginnie mae N N securities were yielding N N to a 12-year average life
 activity was light in derivative markets with no new issues priced
 municipal issues
 municipal bonds were mostly unchanged to up N point in light cautious trading prior to tomorrow 's unemployment report
 a $ N million issue of health facility revenue bonds from the california health facilities financing authority was temporarily withdrawn after being tentatively priced by a first boston corp. group
 an official for the lead underwriter declined to comment on the reason for the delay but market participants speculated that a number of factors including a lack of investor interest were responsible
 the issue could be <unk> possibly in a restructured form as early as next week according to the lead underwriter
 a $ N million offering of santa ana community redevelopment agency calif. tax allocation bonds got off to a slow start and may be <unk> at lower levels today according to an official with lead underwriter donaldson lufkin & jenrette securities corp
 the santa ana bonds were tentatively priced to yield from N N in N to N N in
 <unk> the market trend an issue of $ N million general obligation <unk> state aid bonds from detroit mich. apparently drew solid investor interest
 they were tentatively priced to yield from N N in N to N N in
 foreign bond
 west german dealers said there was little interest in treasury bonds ahead of thursday 's new government bond issue
 so far they said investors appear <unk> about the new issue which might force the government to raise the coupon to more than N N
 it is generally expected to be the usual 10-year four billion mark issue
 rumors to the contrary have been that it would be a six billion mark issue or that the last <unk> a N N issue due october N would be increased by two billion marks
 elsewhere
 in japan the benchmark no. N N N issue due N ended on brokers screens unchanged at N to yield N N
 in britain the benchmark N N N bond due N fell N to N N to yield N N
 the N N notes due N fell N to N N to yield N N
 standard & poor 's corp. lowered to <unk> from <unk> the rating on about $ N million of debt
 the rating concern said the textile and clothing company 's interest expense exceeds operating profit by a wide margin and it noted united 's estimated after-tax loss of $ N million for the year ended june N
 travelers corp. 's third-quarter net income rose N N even though claims stemming from hurricane hugo reduced results $ N million
 net advanced to $ N million or N cents a share from $ N million or N cents a share including net realized investment gains of $ N million up from $ N million a year ago
 but revenue declined to $ N billion from $ N billion
 travelers estimated that the california earthquake last month will result in a fourth-quarter <unk> charge of less than $ N million
 the insurer 's earnings from commercial property\/casualty lines fell N N in the latest quarter while it lost $ N million in its personal property\/casualty business compared with earnings of $ N million a year ago
 travelers 's employee benefits group which includes its group health insurance operations posted earnings of $ N million compared with a loss of $ N million last year
 in the first nine months net was $ N million compared with a loss of $ N million in the N period
 the year-ago results included a $ N million charge in the N second quarter for <unk> real estate and mortgage loans
 the british department of trade and industry ordered an investigation of the competitive impact of michelin <unk> plc 's planned acquisition of national <unk> service ltd
 the department said it referred the takeover to the monopolies and mergers commission because of the purchase 's possible effects on the u.k. market for distribution of replacement tires
 <unk> plc a u.k. industrial conglomerate said in june it had sold its national <unk> service business to michelin investment ltd. a u.k. unit of the tire maker for # N million $ N million
 michelin <unk> is a unit of france 's michelin s.a
 michelin officials could n't immediately comment on the <unk> but they noted the purchase from <unk> has already been concluded
 national <unk> which has N branches throughout the u.k. had N pretax profit of # N million
 rep. john dingell an important sponsor of president bush 's clean-air bill plans to unveil a surprise proposal that would break with the white house on a centerpiece issue acid rain
 the michigan democrat 's proposal which is expected today is described by government sources and lobbyists as significantly weaker than the bush administration 's plan to cut utility emissions that lead to acid rain
 the administration 's plan could cost utilities mainly those that use coal up to $ N billion a year
 the proposal comes as a surprise even to administration officials and temporarily throws into chaos the house 's work on clean-air legislation
 as chairman of the house energy and commerce committee mr. dingell has almost <unk> control over clean-air legislation
 people close to the utility industry said mr. dingell 's proposal appears to guarantee only an estimated <unk> cut in annual <unk> emissions that lead to acid rain though additional cuts could be ordered later
 mr. bush 's legislative package promises to cut emissions by N million tons basically in half by the year N
 although final details were n't available sources said the dingell plan would abandon the president 's proposal for a cap on utilities ' <unk> emissions
 that proposal had been hailed by environmentalists but <unk> by utilities because they feared it would limit their growth
 it also would junk an innovative <unk> system for trading emissions credits among <unk>
 in addition it is believed to offer a cost-sharing mechanism that would help subsidize the <unk> costs for the <unk> <unk> utilities in the country <unk> their customers from <unk> <unk> in their electric bills
 the administration sticking to its <unk> of avoiding tax increases has <unk> opposed cost-sharing
 mr. dingell 's staff was expected to present its <unk> alternative to other committee members apparently in an attempt to <unk> midwestern lawmakers from <unk> states who insist on cost-sharing
 it is n't clear however whether support for the proposal will be broad enough to pose a serious challenge to the white house 's <unk> plan
 while the new proposal might appeal to the <unk> utilities it might not win the support of utilities many in the west that already have added expensive cleanup equipment or <unk> <unk> fuels
 lawmakers representing some of the cleaner utilities have been quietly working with the white house to devise ways to <unk> with the administration bill to address their <unk> concerns
 american city business <unk> inc. said its president michael k. russell will resign rather than <unk> to new headquarters in charlotte n.c
 mr. russell who <unk> the kansas city <unk> local business publications concern here said he would have a five-year consulting agreement with the company which recently <unk> an ownership change
 earlier this year shaw publishing inc. charlotte acquired N N of american city and has an agreement to acquire a further N N from <unk> <unk> co. next year
 ray shaw chairman of american city said he would assume mr. russell 's responsibilities if a successor is n't found this month
 a <unk> for measures to stop the market from plunging too far too fast
 several moves were taken following the october N crash to coordinate and sometimes deliberately <unk> the stock and futures markets in times of heightened volatility
 on the big board a side car is put into effect when the s&p futures rise or fall N points
 the side car routes program trades into a special computer file that <unk> for imbalances of buy and sell orders
 on the chicago mercantile exchange s&p N futures are not allowed to fall further than N points from the previous day 's close for half an hour
 if when trading <unk> the s&p futures fall N points from the previous day 's close a one-hour trading halt takes effect
 also the reforms allow the big board to halt trading for one hour if the dow jones industrial average falls N points and for two more hours if the dow <unk> an additional N points on the same day
 <unk> system the designated order turnaround system was launched by the new york stock exchange in march N to offer automatic <unk> order processing
 a faster version the <unk> was launched in N
 used by program traders and others to zip orders into the exchange <unk> handles about N N of all orders entered at the exchange
 futures contracts obligations to buy for those who have purchased a contract or deliver for those who sold one a quantity of the underlying commodity or financial instrument at the <unk> price by a certain date
 most contracts are simply <unk> by an opposite trade before they come due
 indexing many investors mainly institutions follow an investment strategy of buying and holding a mix of stocks to match the performance of a broad stock-market barometer such as the s&p N
 many institutional index funds are active program traders <unk> their stocks for futures when profitable to do so
 program trading a wide range of <unk> portfolio trading strategies involving the simultaneous purchase or sale of N or more stocks
 <unk> generally any wall street analyst who employs <unk> research techniques
 the newest breed also called rocket scientists because of their backgrounds in physics and <unk> devise the complex hedging and trading strategies that are <unk> known as program trading
 stock-index arbitrage buying or selling baskets of stocks while at the same time executing offsetting trades in stock-index futures or options
 traders profit by trying to capture fleeting price discrepancies between stocks and the index futures or options
 if stocks are temporarily cheaper than futures for example an <unk> will buy stocks and sell futures
 stock-index futures contracts to buy or sell the cash value of a stock index by a certain date
 the cash value is determined by <unk> the index number by a specified amount
 the most common program-trading vehicles are futures contracts on standard & poor 's 500-stock index traded on the chicago mercantile exchange the major market index a <unk> index that <unk> the dow jones industrial average traded on the chicago board of trade and the s&p N options traded on the chicago board options exchange and based on N stocks selected from the s&p N
 stock-index options options give holders the right but not the obligation to buy a call or sell a put a specified amount of an underlying investment by a <unk> date at a <unk> price known as the strike price
 for stock indexes the underlying investment may be a stock-index futures contract or the cash value of a stock index
 for example there are options on the s&p N futures contract and on the s&p N index
 uptick an expression <unk> that a transaction in a listed security occurred at a higher price than the previous transaction in that security
 new york financier saul steinberg sought federal permission to buy more than N N of united airlines ' parent ual corp. saying he might seek control of the nation 's second-largest airline
 although takeover experts said they <unk> mr. steinberg will make a bid by himself the application by his reliance group holdings inc. could signal his interest in helping revive a failed labor-management bid
 such an application for federal antitrust clearance is necessary for any investor that might seek control
 but some investors have used such filings to boost the value of their stock holdings which without buying more stock they then sold
 takeover stock traders were <unk> by the reliance filing and cautioned that it does n't mean mr. steinberg will definitely seek control
 maybe he just wants to make something happen said one takeover expert
 one investment banker said mr. steinberg may be trying to position himself as a friendly investor who could help ual chairman stephen wolf revive a failed labor-management bid
 mr. steinberg he suggested could replace british airways plc which has withdrawn from the buy-out group
 reliance had already bought and sold ual stock at a big profit without making an antitrust filing before the collapse oct. N of the $ N billion $ 300-a-share labor-management buy-out
 reliance acquired a N N ual stake early this year at an average cost of $ N a share and reduced its stake to N N after ual accepted the bid at prices higher than $ N a share
 market sources said reliance has already sold its entire ual stake and thus would n't have any reason to file the application simply to boost the value of its stock
 but the exact amount of reliance 's current holding has n't been formally disclosed
 the filing adds a new twist to market speculation that coniston partners a new york money manager has bought more than N N of ual stock and may challenge the ual board 's decision last week to remain independent
 speculation about coniston has caused the stock to rebound from a low of $ N
 ual 's announcement came after the market closed yesterday
 in composite new york stock exchange trading the shares closed at $ N up $ N
 ual would n't elaborate on a statement that it had been notified of the filing by reliance
 reliance confirmed the filing but would n't elaborate
 some takeover experts were skeptical saying it was possible that mr. steinberg made the filing only to help boost the value of any remaining reliance stake in ual
 mr. steinberg is thought to be on friendly terms with ual 's mr. wolf
 the investor was instrumental in <unk> mr. wolf to run the air cargo unit of tiger international inc
 mr. wolf 's success in that job helped him land the top job with ual in december N
 but any potential acquirer must attempt to reach some kind of accord with the company 's employees primarily its pilots and the powerful machinists ' union which has opposed a takeover
 <unk> williams corp. was merged into primerica corp. new york after a special meeting of williams shareholders cleared the transaction the companies said
 primerica which had owned nearly N N of williams will pay about N million shares currently valued at almost $ N million for the rest of williams
 the financial-services company will pay N share for each williams share
 williams shares which were to be <unk> from the new york stock exchange after the close of composite trading yesterday closed at $ N off N cents
 primerica closed at $ N down N cents
 williams <unk> ga. is an insurance and financial-services holding company
 its subsidiaries ' services are marketed by closely held <unk> williams & associates
 primerica as expected also acquired certain assets of the agency and assumed certain of its liabilities
 terms were n't disclosed
 intelogic <unk> inc. san antonio texas said it bought N million shares or about N N of its common stock from an <unk> shareholder for $ N a share or $ N million
 the move boosts intelogic chairman <unk> edelman 's stake to N N from N N and may help prevent martin ackerman from making a run at the <unk> concern
 mr. ackerman already is seeking to oust mr. edelman as chairman of datapoint corp. an intelogic affiliate
 the action followed by one day an intelogic announcement that it will retain an investment banker to explore alternatives to maximize shareholder value including the possible sale of the company
 in new york stock exchange composite trading yesterday intelogic shares rose N cents to close at $ N
 mr. edelman declined to specify what prompted the recent moves saying they are meant only to benefit shareholders when the company is on a roll
 he added this has nothing to do with <unk> ackerman and it is not designed particularly to take the company private
 but mr. ackerman said the buy-back and the <unk> price paid prove that mr. edelman is running scared
 dow jones & co. said it extended its $ <unk> offer for telerate inc. common stock until N p.m. est nov. N
 the offer valued at about $ N million for the N N of telerate that dow jones does n't already own had been set to expire nov. N
 dow jones which owns about N million of telerate 's N million common shares outstanding said that about N shares have been tendered under its offer
 telerate 's two independent directors have rejected the offer as inadequate
 in composite trading on the new york stock exchange telerate shares closed at $ N up N cents
 telerate provides an electronic financial information network
 dow jones publishes the wall street journal barron 's magazine and community newspapers and operates financial news services and computer data bases
 rockwell international corp. reported flat operating earnings for the fourth quarter ended sept. N
 the aerospace automotive supply electronics and <unk> concern also indicated that the first half of fiscal N could be rough
 in an interview donald <unk> chairman said first-half profit certainly would trail the past year 's primarily because of weakness in the <unk> and <unk> markets
 still he added if the industrial sector remains relatively stable rockwell should be able to recover in the second half and about equal fiscal N 's operating profit of $ N million
 for fiscal N 's fourth quarter rockwell 's net income totaled $ N million or N cents a share
 that compares with operating earnings of $ N million or N cents a share the year earlier
 the <unk> period includes a one-time favorable tax adjustment on the <unk> bomber program and another gain from sale of the industrial <unk> business which made net $ N million or N cents a share
 sales rose N N to $ N billion from $ N billion
 mr. <unk> said that he was generally pleased with the latest numbers and cited a particularly strong showing by the company 's electronics segment
 overall pretax electronics earnings soared N N to $ N million from $ N million
 all four areas had higher revenue for the three months ended sept. N
 for the year electronics emerged as rockwell 's largest sector in terms of sales and earnings <unk> out aerospace for the first time
 the graphics business which also was singled out by the chairman as a positive saw its operating earnings for the quarter jump N N to $ N million from $ N million
 for the year bolstered by the introduction of the <unk> <unk> press graphics earnings almost doubled
 aerospace earnings sagged N N for the quarter and N N for the year largely due to lower <unk> program profit the last of the <unk> rolled out in april N
 that was partially offset by the <unk> of space shuttle flights and increased demand for <unk> <unk> engines
 the company also took hits in the fourth quarters of N and N on a fixed-price <unk> development program probably the <unk> <unk> according to analysts
 for fiscal N the company posted net of $ N million or $ N a share down from $ N million or $ N a share in fiscal N
 excluding one-time additions to profit in each year earnings per share were $ N up N N from $ N in fiscal N
 sales for the year rose N N to $ N billion from $ N billion in fiscal N
 dell computer corp. said it cut prices on several of its personal computer lines by N N to N N
 the austin <unk> company which specializes in the direct sale of personal computers and accessories said its price cuts include a $ N reduction on its system N computer with N <unk> of memory a <unk> hard disk and a color monitor
 that package now sells for about $ N
 a computer using the <unk> intel corp. N microprocessor with four <unk> of memory and a <unk> hard disk now sells for $ N down from $ N
 personal computer prices for models using the intel N and N microprocessors which the dell models use generally have been coming down as chip prices have fallen
 world sugar futures prices soared on rumors that brazil a major grower and exporter might not ship sugar this crop year and next
 prices also were boosted by another rumor that mexico usually a large producer and exporter might have to buy a large quantity of sugar
 although traders rushed to buy futures contracts many remained skeptical about the brazilian development which could n't be confirmed analysts said
 the march and may contracts rose to fresh <unk> highs of N cents and N cents at their best levels of the day
 the march delivery which has no limits settled at N cents up N cent a pound
 the may contract which also is without restraints ended with a gain of N cent to N cents
 the july delivery rose its daily permissible limit of N cent a pound to N cents while other contract months showed <unk> advances
 according to reports carried by various news services the brazilian government told its sugar producers that they wo n't be allowed to export sugar during the current N season which began may N and the N season so that it can be used to produce alcohol for automobile fuel
 one analyst arthur stevenson of prudential-bache securities new york estimated that N N or more of brazil 's newly made automobiles run on alcohol and ca n't use gasoline
 this is a demand that must be met regardless of the price of oil said mr. stevenson
 brazil is the third-largest producer and the <unk> exporter of sugar in the world
 a shift to producing more alcohol and less sugar had been expected but the latest news if true indicates a more drastic shift than had been anticipated
 during the current crop year brazil was expected to produce N million tons of sugar a drop from N million tons in N
 its N exports were expected to total N tons in contrast to shipments of N million tons in
 it is these N tons that are in question for this crop year explained <unk> <unk> analyst for shearson lehman hutton new york
 producers were granted the right earlier this year to ship sugar and the export licenses were expected to have begun to be issued yesterday
 as a result ms. <unk> said it is believed that little or no sugar from the N crop has been shipped yet even though the crop year is six months old
 more than a half of all sugar produced in brazil goes for alcohol production according to ms. <unk>
 also there has been a switch in the past decade to <unk> of orange trees in areas that were previously used for cane and this change is being felt now she said
 most important ms. <unk> noted brazilian officials said that no decision has as yet been made on the suspension of exports
 thomas <unk> sugar analyst for painewebber in <unk> n.j. said i am highly skeptical that brazil will curtail sugar exports particularly with the price of sugar at over N cents a pound
 above all mr. <unk> noted the situation is extremely confused
 professional sugar people here who have strong contacts with the brazilian sugar industry have been unable to confirm the reports or get enough information to clarify the situation he said
 it 's the type of nervous atmosphere in which a report can be put out such as the one saying exports will be suspended and no one can confirm it
 mr. <unk> observed that the situation in brazil is also very complicated
 on the one hand brazil started an <unk> program about N years ago to fuel a huge portion of its national fleet of cars and is now committed to this program
 it has to weigh on the other hand the relatively high price of sugar it can earn on the export market in making decisions as to whether to produce sugar or alcohol mr. <unk> said
 mexico which is normally a sugar exporter has had production problems in the past two years analysts said
 last year it had to buy sugar on the world market to meet export commitments they noted
 this year it is expected to be a net importer and is said to be seeking to buy about N tons of sugar to meet internal needs analysts said
 in other commodity markets yesterday
 energy
 petroleum futures were generally higher with heating oil leading the way
 on the new york mercantile exchange heating oil for december delivery increased N cents to settle at N cents a <unk>
 gasoline futures were mixed to unchanged
 but the strength in heating oil helped push up crude oil
 west texas intermediate crude for december delivery rose N cents a barrel to settle at $ N
 the <unk> in heating oil was attributed to <unk> weather in parts of the u.s. and to the latest weekly report by the american petroleum institute which showed a decline in inventories of the fuel
 grains and soybeans
 prices closed mostly higher in relatively light trading as farmers continued to <unk> their crops from the marketplace in the hope of higher prices to come
 trading was <unk> in part because of the <unk> of all <unk> ' day across much of europe
 continued export demand also supported prices
 as an indicator of the tight grain supply situation in the u.s. market analysts said that late tuesday the chinese government which often buys u.s. grains in quantity turned instead to britain to buy N metric tons of wheat
 traders said prices also were supported by widespread rumors that the soviet union is on the verge of receiving most favored nation status from the u.s.
 that <unk> would among other things provide more generous credit terms under which the soviets could purchase grain
 the soviets are widely believed to need additional supplies despite running up record <unk> purchases of N million <unk> of corn in october
 copper
 futures prices rose extending tuesday 's gains
 the december contract advanced N cents a pound to $ N
 buying for the most part carried over from the previous session and traders apparently ignored reports that a <unk> mine strike may have ended almost before it began an analyst said
 according to news service reports most workers at the <unk> mines owned by exxon corp. agreed to a new two-year wage contract that includes a N N increase and other benefits
 however some workers have n't yet accepted the new contract and are continuing negotiations the analyst said
 separately reuter reported that the <unk> guinea government urged its parliament to extend a state of emergency in <unk> bougainville island for two months
 the bougainville copper mine has been <unk> since may N because of attacks by native <unk> who want bougainville to <unk> from <unk> guinea
 the parent of younkers after failing to find a buyer for the chain of midwestern department stores said it will sell a stake in the chain to management and take other steps to reduce its investment in retailing
 equitable of iowa cos. des <unk> had been seeking a buyer for the <unk> younkers chain since june when it announced its intention to free up capital to expand its insurance business
 but equitable said it was unable to find a buyer willing to pay what it considers fair value for younkers because of recent turmoil in the bond and stock markets and in retailing
 younkers <unk> up sales in N of $ N million
 it operates stores mostly in iowa and nebraska
 younkers management is likely to buy a N N to N N interest in the chain in january said fred s. <unk> equitable 's president and chief executive officer
 he said equitable hopes to eventually reduce its stake in younkers to less than N N
 tony lama co. said that <unk> investment ii limited partnership has proposed changing the offer for the company to $ N in cash and stock from an <unk> transaction
 under terms of the new proposal <unk> managed by <unk> capital corp. houston would pay $ N cash and one new preferred share with a liquidation preference of $ N a share for each of tony lama 's N million shares outstanding
 previously it offered $ N a share in cash or $ N million
 the el paso texas maker of western <unk> and leather accessories said the preferred stock would <unk> dividends at a N N rate but would n't be paid for the first two years
 the stock would be redeemed in five years subject to terms of the surviving company 's debt
 neither <unk> nor tony lama gave a reason for the changed offer and tony lama could n't be reached for comment
 however tony lama said it would promptly submit the offer to a special committee of the company 's board
 reuters holdings plc said michael reupke resigned as general manager to pursue unspecified interests a move the news organization termed an amicable separation
 mr. reupke N years old and a <unk> reuters veteran had been the <unk> company 's general manager for only six months
 his appointment to that post which has senior administrative staff and policy responsibilities followed a <unk> tenure as reuters 's editor in chief
 no successor was named and mr. reupke 's duties will be split among three other senior reuters executives the company said
 in a telephone interview mr. reupke said his departure was for personal reasons which he declined to specify
 there is no business reason for my departure nor any disagreement over policy he added
 he also rejected reports that his departure stemmed from disappointment the general manager 's post had n't also led to a board <unk> at the london-based news organization
 mr. reupke was one of three executives on reuters 's <unk> executive committee who did n't also serve on the company 's board of directors
 if i were choosing the people of tomorrow i would have chosen the people who are now on the board he said
 a reuters spokesman said the departure reflects no change in strategy or profits
 mark <unk> an analyst at <unk> phillips & drew in london said i suspect the departure will be fairly irrelevant for the company
 i would be very surprised if his departure signals any change in strategy or change in profit expectations
 on london 's stock exchange reuters shares rose five pence to N pence $ N
 in the u.s. over-the-counter market american depositary shares for reuters each representing three shares in the london market closed unchanged at $ N
 the senior of the three executives who will assume mr. reupke 's duties is nigel <unk> N finance director and a reuters board director
 peter <unk> N deputy general manager becomes director of corporate affairs
 and patrick <unk> N international technical manager becomes director of group quality programs
 dd acquisition corp. a partnership of unicorp canada corp. 's <unk> capital group and cara operations ltd. extended to nov. N its $ <unk> offer for all <unk> donuts inc. shares outstanding
 the offer which was due to expire yesterday is conditional on N N of <unk> common shares on a fully diluted basis being tendered and on the withdrawal of the company 's poison pill rights plan
 dd acquisition has launched a suit in a delaware court seeking the withdrawal of dunkin 's poison pill rights and employee stock ownership plans which it claims were put in place to deter bidders
 dd acquisition said N million shares or about N N of the shares outstanding have been tendered under its offer
 the partners said they already hold N N of all shares outstanding
 <unk> has set nov. N as the deadline for the <unk> of any competing bids
 dd acquisition said the extension is to allow this process to be completed
 <unk> is based in <unk> mass
 cara a food services chain operator and unicorp a holding company are based in toronto
 <unk> corp. reported a third-quarter net loss of $ N million or N cents a share compared with year-earlier profit of $ N million or one cent a share
 a spokesman for the stamford <unk> company said operations had a loss of $ N million for the quarter in addition the loss was magnified by nonrecurring charges totaling $ N million and $ N million in <unk> adjustments that he described as unusual
 the charges were partly offset by a $ N million gain on the sale of investments of two joint ventures he said
 revenue declined N N to $ N million from $ N million a year earlier
 <unk> cited a general softening in the demand for office products in the market segments in which <unk> competes
 <unk> corp. said it expects to report a third-quarter net loss of $ N million to $ N million because of special reserves and continued low natural-gas prices
 the oklahoma city energy and defense concern said it will record a $ N million reserve for its defense group including a $ N million charge related to problems under a fixed-price development contract and $ N million in overhead costs that wo n't be <unk>
 in addition <unk> said it will write off about $ N million in costs related to international exploration leases where exploration efforts have been unsuccessful
 the company also cited interest costs and amortization of goodwill as factors in the loss
 a year earlier net income was $ N million or six cents a share on revenue of $ N million
 a lack of enthusiasm with the latest economic data hampered the stock market 's bid to extend tuesday 's sharp gains as prices closed slightly higher in sluggish trading
 while renewed optimism about the outlook for takeover activity boosted several so-called deal stocks traders said profit-taking weighed on the market with <unk> bearing the brunt of the selling
 the dow jones industrial average which had jumped N points on tuesday drifted on either side of its previous close and finished with a gain of just N at N
 standard & poor 's 500-stock index added N to N the rise was equivalent to a gain of about six points in the industrial average
 the dow jones equity market index gained N to N and the new york stock exchange composite index went up N to N
 advancing stocks led decliners on the new york stock exchange by N to N
 big board volume amounted to N shares down from N million tuesday
 the october survey of corporate purchasing managers as expected provided evidence that economic growth remains subdued
 an index of economic activity drawn from the survey stood last month at N N a reading above N N would have indicated that the manufacturing sector was improving
 but with the index proving somewhat better than expected and the widely anticipated report on october employment scheduled to arrive tomorrow stock prices firmed only modestly in response to the report and then faltered
 this market 's still going through its <unk> said philip <unk> head of equity trading at prudential-bache securities
 the psychology is still we want stocks up but if they do n't carry we 're going to sell them
 uncertainty about the prospects for further action to curtail stock-index arbitrage a form of program trading blamed for recent volatility in the market also contributed to its lack of direction mr. <unk> said
 <unk> trading during the session was confined largely to a round of buy programs near the close which helped offset the impact of profit-taking among blue chips
 trading is expected to remain subdued as the market <unk> tomorrow 's release of the jobs data with the hope that it will point toward a decline in interest rates
 i sense that some people are reluctant to stick their <unk> out in any aggressive way until after the figures come out said richard <unk> president of <unk> associates fair haven
 campbell soup jumped N N to N N as the resignation of r. gordon mcgovern as president and chief executive officer sparked a revival of rumors that the company could become a takeover target
 prudential-bache securities boosted the stock 's short-term investment rating in response to the departure analyst john <unk> said he believes the company will turn to new management that 's more financially <unk>
 other rumored takeover and restructuring candidates to attract buyers included woolworth which went up N N to N N avon products up N N to N N paramount communications up N to N N and <unk> up N N to N N
 upjohn a rumored target within the drug industry advanced N to N N
 the company said it plans a fourth-quarter charge which it did n't specify for an <unk> program
 amr climbed N N to N N amid rumors that new york developer donald trump was seeking financing to mount a new lower offer for the parent company of american airlines
 mr. trump withdrew a $ <unk> bid last month
 ual rose N N to N
 drexel burnham lambert analyst michael <unk> said he sees a N N chance that the parent of united airlines the target of a failed $ 300-a-share offer from a labor-management group will be acquired or restructured within six months
 georgia gulf added N N to N N after nl industries controlled by dallas investor harold simmons offered to acquire the stock it does n't already own for $ N a share
 nl which closed unchanged at N N has a stake of just under N N
 great northern nekoosa which surged N N tuesday after georgia-pacific launched a $ N billion offer for the company dropped N N to N N in big board composite trading of N million shares
 georgia-pacific which went down N N tuesday lost another N to N N
 other paper and forest-products stocks closed mixed
 mead rose N to N N federal paper board added N to N N and scott paper gained N to N N while international paper fell N to N N champion international lost N to N N and <unk> dropped N to N N
 texaco rose N to N N as N million shares changed hands
 most of the volume came from trades designed to capture the stock 's next dividend texaco has a yield of N N and goes ex-dividend today
 santa fe pacific dropped N N to N N
 the company 's proposal to sell a N N stake in its real-estate unit for around $ N million has caused analysts to consider whether to cut their estimates of santa fe 's asset value
 <unk> tumbled N to N
 the company forecast that fourth-quarter income from continuing operations would be significantly lower than a year earlier
 <unk> went up N to N N
 the food and drug administration allowed the company to begin marketing a new lens for use in <unk> patients
 the american stock exchange market value index gained N to N
 volume totaled N shares
 old <unk> warehouse rose N to N N
 its net income for the september quarter rose about N N from a year ago
 freeport-mcmoran inc. said it will convert its freeport-mcmoran energy partners ltd. partnership into a publicly traded company through the exchange of units of the partnership for common shares
 the company said the restructuring is n't expected to have any impact adverse or otherwise on its financial results
 freeport-mcmoran a new <unk> diversified energy conglomerate said the partnership will exchange its assets for common shares of a <unk> entity
 freeport-mcmoran energy partners will be liquidated and shares of the new company distributed to the partnership 's <unk>
 <unk> will receive two additional N <unk> distribution payments before the trust is liquidated in early N the company said
 it is expected that common shares equal to the number of units outstanding about N million on sept. N will be issued during the first quarter of N
 freeport-mcmoran the parent company holds roughly N N of the units outstanding
 nissan motor co. japan 's second-largest car maker announced wednesday that the parent concern 's pretax earnings in the first half ended last sept. N rose N N to N billion yen $ N million from N billion yen a year earlier
 nissan cited strong domestic sales against the backdrop of <unk> economic expansion
 profit surged N N to N billion yen or N yen a share from N billion yen or N yen a share
 sales totaled N trillion yen climbing N N from N trillion yen in the year-earlier period
 nissan scheduled a <unk> interim dividend payment unchanged
 <unk> <unk> executive vice president and chief financial officer of nissan said the company has experienced a remarkable turnaround in terms of profitability since the fiscal year ending march N when the sharp and rapid appreciation of the yen caused many difficulties
 it can be said that the trend of financial improvement has been firmly set he added
 heritage media corp. new york said it offered to buy the shares of pop radio corp. it does n't already own in a stock swap
 heritage which owns N N of pop 's N million shares outstanding said it will exchange one share of a new preferred stock for each pop common share it does n't already own
 depending upon how many warrants and options are exercised prior to completion of the transaction heritage would issue between N million and N million preferred shares a heritage spokesman estimated
 in national over-the-counter trading yesterday pop plunged $ N to $ N
 the preferred stock which would have a dividend rate of $ N a year would be convertible into heritage common at a rate of four common shares for each preferred
 new york-based pop radio provides through a national <unk> network a <unk> music information and advertising service which <unk> live radio
 heritage owns and operates television and radio stations and <unk> advertising and promotion programs
 <unk> inc. hurt by a plant accident and other unexpected costs said it expects to report that fiscal fourth-quarter profit from continuing operations will be significantly below last year 's $ N million
 the <unk> <unk> company also said that full-year profit from continuing operations will be far below last year 's $ N million
 last year 's figures include a one-time loss of $ N million for restructuring and unusual items
 but the automotive parts and aerospace concern expects that net for the year ending nov. N will exceed last fiscal year 's net of $ N million or $ N a share primarily because of $ N million in gains from sales of discontinued operations
 harry <unk> an analyst at mcdonald & co. in cleveland said <unk> 's unanticipated losses come largely from an accident at a government-owned assembly plant in kansas run by a private <unk> that makes <unk> <unk> for <unk> 's <unk> <unk> business
 <unk> corp. san francisco said third-quarter profit was essentially flat despite a large one-time gain a year earlier
 the insurance and financial services concern said profit for the quarter rose N N to $ N million or $ N a share compared with $ N million or $ N a share the year earlier
 the results reflected a N N gain in income from its finance businesses and a N N slide in income from insurance operations
 <unk> said third-quarter investment gains were $ N million compared with $ N million the year earlier
 it said insurance profit reflected a $ N million loss from hurricane hugo
 it also estimated that losses from the oct. N earthquake in california would be no more than $ N million and would be included in fourth-quarter results
 <unk> international inc. <unk> heights n.j. facing a <unk> squeeze said it is seeking other financing sources and <unk> from debenture holders
 the company said that because of softening sales it is n't in compliance with requirements that it maintain $ N million in working capital
 <unk> distributes electronic devices and produces power supplies and plastic literature displays
 <unk> said it had a loss of $ N or N cents a share in the third quarter compared with a year-earlier loss of $ N or two cents a share
 sales rose to $ N million from $ N million
 for the nine months the company reported a net loss of $ N or N cents a share compared with year-earlier net income of $ N or N cents a share
 sales rose to $ N million from $ N million
 meridian national corp. said it sold N shares of its common stock to the mcalpine family interests for $ N million or $ N a share
 the sale represents N N of meridian 's shares outstanding
 the mcalpine family which operates a number of multinational companies including a london-based engineering and construction company also lent to meridian national $ N
 that amount is convertible into shares of meridian common stock at $ N a share during its one-year term
 the loan may be extended by the mcalpine group for an additional year with an increase in the conversion price to $ N a share
 the sale of shares to the mcalpine family along with the recent sale of N shares of meridian stock to <unk> <unk> holding plc of <unk> england and a recent public offering have increased meridian 's net worth to $ N million said william <unk> chief executive officer of toledo <unk> meridian
 ratners group plc a fast-growing <unk> london-based <unk> raised its price for <unk> specialty <unk> weisfield 's inc. to $ N a share or $ N million from $ N a share or $ N million after another concern said it would be prepared to <unk> ratners 's initial offer
 the other concern was n't identified
 ratners 's chairman gerald <unk> said the deal remains of substantial benefit to ratners
 in london at <unk> yesterday ratners 's shares were up N pence N cents at N pence $ N
 the sweetened offer has acceptances from more than N N of weisfield 's shareholders and it is scheduled for completion by dec. N
 the acquisition of <unk> weisfield 's raises ratners 's u.s. presence to N stores
 about N N of ratners 's profit already is derived from the u.s.
 carnival cruise lines inc. said potential problems with the construction of two big cruise ships from finland have been <unk>
 last week miami-based carnival disclosed that waertsilae marine industries the finnish shipyard that is building carnival 's new cruise ships planned to file for bankruptcy
 yesterday carnival said a new company has been formed in finland that will carry on waertsilae 's shipbuilding operations
 carnival said it will be an N N shareholder in the new company
 carnival said the fantasy a <unk> ship that was slated to be delivered this month will be delivered in january
 a second ship is now expected to be delivered late next year or early in N
 carnival had expected that ship to be delivered next fall
 a planned third ship still may be built in the finnish shipyard or may be built elsewhere carnival said
 valley federal savings & loan association took an $ N million charge as it reported a third-quarter loss of $ N million or $ N a share
 the van <unk> calif. thrift had net income of $ N or three cents a share a year ago
 the bulk of the pretax charge is a $ N million write-off of capitalized <unk> at the mobile home financing subsidiary which the company said had been a big drain on earnings
 the company said the one-time provision would substantially eliminate all future losses at the unit
 valley federal also added $ N million to <unk> loan reserves and eliminated $ N million of good will
 the thrift said that after these charges and assuming no dramatic <unk> in interest rates the association expects to achieve near record earnings in N
 valley federal is currently being examined by regulators
 new loans continue to slow they were $ N million in the quarter compared with $ N million a year ago
 the thrift has assets of $ N billion
 first of america bank corp. said it completed its acquisition of midwest financial group inc. for about $ N million
 first of america which now has N banks and $ N billion in assets announced an agreement to acquire the <unk> ill. bank holding company in january
 midwest financial has $ N billion in assets and eight banks
 the midwest financial subsidiary banks will continue to operate under their current names until early N when each will adopt the first of america name
 <unk> <unk> first of america said it will eliminate the N management positions of the former midwest financial parent company
 first of america said some of the managers will take other jobs with first of america
 but it said that severance payments to those executives not staying with the company will reduce first of america 's operating results for N by $ N million to $ N million or N cents to N cents a share
 <unk> industries inc. a once <unk> toy maker whose stock peaked at $ N a share in the early 1980s filed a chapter N reorganization plan that provides just N cents a share for common stockholders
 under the plan unsecured creditors who are owed about $ N million would receive about $ N million or N cents for each dollar they are owed
 in addition they will receive stock in the <unk> company which will be named <unk> industries inc
 after these payments about $ N will be available for the N million common shares outstanding
 the avon conn. company 's stock hit a high in N after it unveiled its <unk> home computer but the product was plagued with <unk> and the company 's fortunes plunged
 but <unk> bounced back with the introduction of the <unk> patch <unk> whose sales hit $ N million in N
 but as the craze died <unk> failed to come up with another winner and filed for bankruptcy-law protection in july N
 the plan was filed jointly with unsecured creditors in federal bankruptcy court in new york and must be approved by the court
 ortega ended a truce with the contras and said elections were threatened
 the nicaraguan president citing attacks by the <unk> rebels suspended a <unk> cease-fire and accused bush of promoting death
 while he <unk> support for the country 's feb. N elections ortega indicated that renewed u.s. military aid to the contras could thwart the balloting
 he said u.s. assistance should be used to <unk> the rebels
 a white house spokesman <unk> the truce suspension as <unk> but brushed off talk of renewing military funding for the <unk>
 the contra military command in a statement from honduras said sandinista troops had launched a major offensive against the rebel forces
 east german leader krenz called the protests in his country a good sign saying that many of those <unk> for democratic freedoms were showing support for the <unk> for socialism
 the communist party chief in moscow for talks with soviet officials also said east germany would follow gorbachev 's restructuring plans
 thousands of east germans fled to czechoslovakia after the east berlin government lifted travel restrictions
 the ban on cross-border movement was imposed last month after a massive exodus of <unk> to west germany
 also a communist official for the first time said the future of the berlin wall could be open to discussion
 health officials plan to extend a <unk> on federal funding of research involving fetal-tissue transplants
 the assistant hhs secretary said the ban should be continued indefinitely
 while researchers believe such transplants could help treat diseases like <unk> 's anti-abortionists oppose the research
 rep. dingell of michigan plans to unveil today a proposal that would break with bush 's clean-air bill on the issue of emissions that lead to acid rain
 the democrat 's proposal is described by government sources and lobbyists as significantly weaker than the president 's plan to cut utility emissions
 house-senate conferees approved major portions of a package for more than $ N million in economic aid for poland
 the plan relies heavily on $ N million in credit and loan guarantees in fiscal N in hopes of <unk> future trade and investment
 south africa accused armed <unk> <unk> guerrillas of crossing from bases in neighboring <unk> violating <unk> peace plans for the territory 's independence from pretoria
 south african troops were placed on alert
 guerrilla leaders said pretoria was attempting to sabotage next week 's elections in namibia
 <unk> in lebanon <unk> a saudi <unk> embassy employee and the <unk> <unk> <unk> took responsibility for the <unk> to <unk> the <unk> of N <unk> by <unk> 's government in september
 also in <unk> a <unk> group vowed to kill americans if the u.s. <unk> a policy to seize suspects abroad
 nixon concluded five days of private talks with chinese leaders in beijing but apparently failed to ease <unk> in <unk> ties caused by china 's crackdown against pro-democracy protesters in june
 beijing 's <unk> complained to the former president about u.s. <unk> in china 's domestic affairs
 mexico 's president salinas said the country 's recession had ended and the economy was growing again
 in his first state of the nation address salinas pledged to continue his program of modernization and warned opposition politicians that <unk> progress could cost them popular support
 pakistan 's <unk> defeated the first <unk> motion in the nation 's <unk> history surviving the vote that could have brought down her <unk> government
 the prime minister 's opponents claimed the balloting N votes short of a majority in <unk> 's <unk> assembly was <unk>
 the white house said the <unk> meetings next month between bush and soviet leader gorbachev will take place in the waters off <unk>
 the location was disclosed as the u.s. began planning the issues to be discussed at the dec. N <unk>
 bush unveiled a package of trade initiatives to help establish economic alternatives to drug trafficking in the <unk> nations of south america
 the president 's plan includes a commitment to help negotiate a new international coffee agreement
 pan am has <unk> several government agencies including the cia and fbi to determine whether they were warned that a bomb had been planted aboard a jet that exploded over scotland last december killing N people
 the airline is attempting to show that israel and west germany warned the u.s. about the impending attack
 died james a. <unk> N retired chairman and president of mutual life insurance co. of new york tuesday in new york city of an <unk> <unk> condition
 sony corp. completed its tender offer for columbia pictures entertainment inc. with columbia shareholders <unk> N N of all common shares outstanding by the tuesday deadline
 sony columbia acquisition corp. formed for the columbia deal will formally take ownership of the movie studio later this month a spokesman said
 sony is paying $ N a share or $ N billion cash and is assuming $ N billion of long-term debt
 still <unk> is sony 's effort to hire producers jon peters and peter guber to run the studio
 sony 's planned acquisition of <unk> entertainment co. for $ N million is scheduled to close monday
 <unk> has been locked in litigation with warner communications inc. in an attempt to get out of an exclusive production contract with warner
 both sides are in talks to settle the dispute
 xerox corp. has told employees in its <unk> & <unk> personal insurance operations that it is laying off about N people or N N of the staff
 a spokeswoman for <unk> & <unk> said employees were told early this week that numerous staff functions for the personal insurance lines were going to be <unk> as a cost-cutting move
 she said the move would result in a after-tax charge of less than $ N million to be spread over the next three quarters
 by comparison for the first nine months xerox earned $ N million or $ N a share on revenue of $ N billion
 earnings at xerox 's financial-services operations actually rose slightly but that was largely because capital gains at <unk> & <unk> offset hurricane hugo payments and the reserves set up to cover future payments
 property\/casualty insurance has been a tough business in recent quarters as pricing has been <unk> and natural disasters such as hurricane hugo and the california earthquake have resulted in huge payments
 <unk> ltd. a large integrated maker of construction machinery posted a N N unconsolidated gain in first-half pretax profit
 for the period ended <unk> it earned N billion yen us$ N million up from N billion yen the year before
 sales rose N N to N billion yen from N billion yen
 net income surged N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 brisk domestic demand due to increasing capital investment pushed up sales sharply in construction and industrial machinery divisions
 domestic sales of construction machinery such as power <unk> and <unk> rose to N billion yen from N billion yen
 demand from europe and southeast asia also grew but due to increasing production at local plants overseas sales edged down N N
 <unk> predicted that for the fiscal year ending march N sales will climb to N billion yen from N billion yen pretax profit was forecast at N billion yen up from N billion yen in fiscal N
 net is expected to rise to N billion yen from N billion yen a year earlier
 economic growth appears to be <unk> off latest reports suggest
 factory orders and construction outlays were largely flat in september while purchasing agents said manufacturing shrank further in october
 still many economists are n't predicting a recession anytime soon
 the fed is coming under pressure to cut short-term interest rates due to the apparent slowing of the economy
 but it is n't clear yet whether the central bank will make such a move
 campbell soup forced out its president and chief executive r. gordon mcgovern the strongest indication yet that the dorrance family plans to take charge of <unk> the troubled food company
 campbell 's stock rose $ N to $ N in reaction
 the chicago merc plans an additional circuit breaker to stem sharp drops in the market
 also big board chairman phelan said he would support sec halts of program trading during market crises but not any revival of a collar on trading
 georgia gulf received a new takeover bid from investor harold simmons and nl industries of $ N a share or about $ N billion
 the offer which follows a $ <unk> bid that was rejected in september steps up pressure on the chemicals concern
 the minimum-wage bill worked out by congress and bush won easy approval in the house
 the compromise plan which boosts the minimum wage for the first time since N is expected to clear the senate soon
 steinberg sought clearance to buy more than N N of united air 's parent saying he may seek control
 takeover experts said they <unk> the financier would make a bid by himself
 an airline buy-out bill was approved by the house
 the measure would make it easier for the transportation department to block leveraged buy-outs in the industry
 usx was cited by osha for several health and safety violations at two pennsylvania plants and may face a record fine of $ N million
 random house chairman robert bernstein said he is resigning from the publishing house he has run for N years
 a successor was n't named
 cray research indicated that the survival of a spinoff company which is developing a new supercomputer depends heavily on its chairman and chief designer seymour cray
 light trucks and vans will face the same safety requirements as automobiles under new proposals by the transportation department
 the treasury plans to sell $ N billion in notes and bonds next week but will delay the auction unless congress quickly raises the debt ceiling
 u.s. farmers ' net income rose to a record $ N billion last year despite one of the worst <unk> ever
 two antitrust agencies may face further cutbacks because of a complicated new funding device some democrats in congress are warning
 markets
 stocks volume N shares
 dow jones industrials N up N transportation N up N utilities N up N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N up N spot index N up N
 dollar N yen up N N marks up N
 junk-bond <unk> an ongoing securities and exchange commission investigation a drexel burnham lambert connection a <unk> buy-out rumor
 all this has cast a pall over columbia savings & loan association and its <unk> <unk> chairman thomas spiegel who built the $ N billion beverly hills calif. thrift with high-yield junk bonds
 bears have targeted columbia 's stock because of the thrift 's exposure to the shaky junk market
 and some investors fault mr. spiegel 's life style he earns millions of dollars a year and flies around in columbia 's jet planes
 columbia stock recently hit N N after reaching N N earlier this year on rumors that mr. spiegel would take the thrift private
 moreover junk professionals think columbia 's huge third-quarter <unk> of its junk portfolio to $ N billion was n't enough meaning another <unk> could be coming
 but in recent days columbia has edged up closing at N N up N yesterday on revived speculation that the thrift might restructure
 mr. spiegel 's fans say columbia 's southern california branches are highly <unk> and the thrift has $ N million of shareholders equity underlying its assets
 that 's almost $ N of equity for each columbia share including convertible preferred shares though more junk <unk> would reduce the cushion
 columbia has only about N million common shares in public hands
 the spiegel family has N N of the common and N N of the votes
 other big common holders are carl <unk> 's american financial investor <unk> jacobs and pacific financial research though the latter cut its stake this summer
 while many problems would attend a restructuring of columbia investors say mr. spiegel is <unk> such a plan to <unk> columbia 's junk problems
 indeed columbia executives recently told reporters they were interested in creating a separate unit to hold columbia 's junk bonds and perhaps do merchant banking
 columbia wo n't comment on all the speculation
 but like other thrifts it 's expected to seek regulators ' consent to create a distinct junk-bond entity
 plans to do this are due to be filed in a week or so
 new rules force thrifts to write down their junk to market value then sell the bonds over five years
 that 's why columbia just wrote off $ N million of its junk and reserved $ N million for future junk losses
 but if columbia could keep its junk bonds separate from the thrift till they mature at full value unless the issuer goes <unk> or <unk> the junk portfolio might do all right
 columbia a longtime drexel client wo n't provide current data on its junk
 but its N big junk holdings at year end showed only a few bonds that have been really battered
 these were allied stores western union telegraph gillett holdings sci television and texas air though many other bonds in columbia 's portfolio also have lost value
 possibly offsetting that columbia recently estimated it has <unk> gains on publicly traded equity investments of more than $ N million
 it also hopes for ultimate gains of as much as $ N million on equity investments in buy-outs and restructurings
 one trial balloon mr. spiegel is said to have <unk> to investors columbia might be broken up as mellon bank was split into a good bank and a bad bank
 but columbia 's good bank would be a regulated thrift while the bad bank would be a private investment company holding some of columbia 's junk bonds real estate and equity investments
 some think columbia 's thrift which now is seeking a new chief operating officer might be capitalized at say $ N million and <unk> to a commercial bank that wants a california presence
 the thrift surely could be sold for more than the value of its equity financial industry executives say
 meanwhile the bad bank with the junk bonds and some capital might be spun off to columbia shareholders including mr. spiegel who might then have a new career investors say
 it is n't clear how much a restructuring would help columbia stockholders
 but the concept is <unk>
 you sell the good bank as an ongoing operation and use some of the proceeds to capitalize the bad bank says thrift specialist lewis <unk> of <unk> associates in new york
 mr. spiegel 's next career move is a subject of speculation on wall street
 few people think mr. spiegel wants to run a bread-and-butter thrift which current rules would force columbia to become
 they are n't really a thrift says jonathan gray a sanford c. bernstein analyst
 of course regulators would have to approve columbia 's reorganization
 and some investment bankers say a restructuring is n't <unk> while the sec still is <unk> mr. spiegel 's past junk-bond trades
 <unk> <unk> in los angeles contributed to this article
 columbia savings & loan nyse symbol <unk>
 business savings and loan
 year ended dec. N N net income $ N million or $ N a share
 third quarter sept. N N net loss $ N a share vs. net income N cents a share
 average daily trading volume N shares
 common shares outstanding N million
 note all per-share figures are fully diluted
 genetics institute inc. cambridge mass. said it was awarded u.s. patents for <unk> and bone <unk> protein
 the patent for <unk> covers materials and methods used to make the human blood cell growth factor via <unk> dna technology
 <unk> ltd. has licensed certain manufacturing and marketing rights for <unk> from genetics institute and is conducting <unk> studies with it
 <unk> may help in treating blood cell deficiencies associated with cancer treatment bone <unk> transplants and other <unk> disorders genetics institute said
 the second patent describes bone <unk> <unk> a substance that can induce formation of new <unk>
 the patent covers <unk> type proteins and pharmaceutical <unk> and methods for treating bone or <unk> defects genetics institute said
 the company added that it has filed patent applications on a large number of different <unk> proteins and the patent on <unk> is the first it has received
 <unk> products may be useful in <unk> <unk> and in treating bone loss associated with <unk> disease and certain cancers the company said
 the bush administration 's nomination of <unk> thomas to a seat on the federal appeals court here received a blow this week when the american bar association gave mr. thomas only a qualified rating rather than well qualified
 people familiar with the senate judiciary committee which will vote on the nomination said some liberal members of the panel are likely to question the aba rating in hearings on the matter
 mr. thomas currently chairman of the equal employment opportunity commission would add another conservative voice to the closely divided court
 groups have accused him of <unk> policies that narrowed rights of older workers and of ignoring discrimination by large companies
 <unk> members of the house with jurisdiction over the <unk> have said they oppose mr. thomas 's nomination because of serious questions about his judgment and respect for the law
 a senior justice department official however said the administration is n't worried about the aba rating
 we 're pleased the aba rated him qualified david runkel the department 's chief spokesman said in an interview
 the aba gives a qualified rating to <unk> it believes would perform <unk> on the bench
 in contrast the lawyers ' association gives a well qualified rating to those regarded as one of the best available for the vacancy
 <unk> ag said it agreed to acquire N N of <unk> ag from the ferdinand <unk> foundation
 terms were n't disclosed
 <unk> a diversified frankfurt west <unk> metals group said it is buying the stake in the specialized engineering company to expand its production of environmental supplies for power plants
 <unk> ' product mix of specialized <unk> and pipes provides a good fit with its own <unk> g.m.b h. plant engineering unit the company said
 the move is part of a strategy to focus on its core metals trading processing and plant engineering activities while shedding peripheral units the company said
 <unk> had N sales of N million marks $ N million and has a current order backlog of N billion marks
 the sale comes in place of a planned initial public offering of <unk> stock
 a plan to bring the stock to market before year end apparently was upset by the recent weakness of frankfurt share prices
 the u.s. international trade commission issued preliminary rulings under the u.s. <unk> act that imports of <unk> from hong kong taiwan and south korea may be <unk> a domestic industry
 because of the rulings the commerce department will continue to investigate complaints by u.s. <unk> makers that the imports are reaching the u.s. at unfairly low prices in violation of the u.s. <unk> act
 the law <unk> unfairly low prices as ones below the cost of production or below prices in an exporter 's home market
 <unk> officials said final commerce department and <unk> rulings wo n't come until next march or later
 if both agencies find violations of the u.s. trade law the u.s. would assess penalty duties on the imports which already are subject to import quotas under <unk> textile and apparel trade agreements
 imports of <unk> <unk> in N totaled about $ N million from taiwan $ N million from south korea and $ N million from hong kong according to the <unk>
 in another action the <unk> dismissed <unk> act complaints filed by du pont co. of wilmington del. against imports of <unk> a type of synthetic rubber from france and west germany
 these imports totaled about $ N million last year
 upjohn co. said it will offer an early retirement package to as many as N employees in a cost-cutting move expected to result in a fourth-quarter charge
 upjohn officials said they could n't estimate the size of the charge until they determine which employees and how many will participate in the retirement plan
 but the pharmaceutical company said it anticipates the long-term savings resulting from the plan 's <unk> will more than offset short-term costs
 the program available to upjohn employees N years old or older could increase an individual 's retirement benefits N N to N N
 in addition upjohn is offering a one-time retirement bonus equal to six months of base pay
 chairman <unk> <unk> called the program part of the company 's two-year strategy to implement budget constraints and an effective <unk> program
 but some analysts questioned how much of an impact the retirement package will have because few jobs will end up being eliminated
 it 's a cosmetic move said jonathan s. <unk> of wertheim schroder & co
 according to upjohn 's estimates only N N to N N of the N eligible employees will take advantage of the plan
 upjohn further estimated that about N N of the employees who leave for early retirement may be replaced
 as a result upjohn will likely trim only about N to N of its more than N jobs world-wide
 in composite trading on the new york stock exchange yesterday upjohn shares rose N cents to $ N apiece
 an upjohn spokesman said he had heard nothing to suggest the early retirement package was spurred by shareholder pressure or a potential bidder for the company which occasionally has been the target of takeover speculation
 the company earlier this year adopted a <unk> plan to ward off unwanted suitors
 the spokesman said it is the first early retirement plan offered under its two-year <unk> strategy
 earlier <unk> moves have trimmed about N jobs the spokesman said
 <unk> inc chandler ariz.
 jerry <unk> managing director of <unk> associates was elected a director of this business telecommunications software and systems concern
 he increases the board to seven
 feeding frenzy henry holt N pages $ N a highly detailed account of the wedtech scandal begins on a reassuring note
 right up front in the <unk> co-author william <unk> gives us an example of his own integrity
 when offered a free trip from the bronx wedtech 's home to washington d.c. by one of wedtech 's principals he tells the reader <unk> of accepting anything of value from those i was writing about i declined
 any question as to why an author would believe this <unk> <unk> note of assurance is necessary is answered by reading this book about <unk> fingers and <unk> <unk>
 bribe by bribe mr. <unk> and his co-author <unk> c. harrison jr. lead us along the path wedtech traveled from its inception as a small manufacturing company to the status of <unk> defense contractor <unk> with the task of producing vital equipment for the army and navy
 the book <unk> around john <unk> the founder of the company and fred neuberger who became his partner soon after wedtech 's creation
 although started in N wedtech did n't really get rolling until N when mr. neuberger discovered the federal government 's section N a minority business program
 this is a <unk> great society creation that <unk> certain government contracts be awarded <unk> to minority businesses
 mr. neuberger realized that although of italian <unk> mr. <unk> still could qualify as a minority person since he was born in puerto rico
 the two partners merely had to <unk> the true ownership of the corporation
 instead of N it became on paper only two-thirds <unk> one-third neuberger and they were in the program and off to the races
 besides being a <unk> company wedtech was located in the south bronx a <unk> area made famous by <unk> carter in his N presidential campaign
 the company <unk> itself right into carter campaign rhetoric about rebuilding the south bronx and kept using the minority south bronx <unk> through the reagan '80s
 starting with congressman mario <unk> now serving a jail sentence the company began a career of <unk> federal state and local public officials and those close to public officials right up to and including e. robert <unk> close friend and adviser to former attorney general ed <unk>
 wedtech did n't just use old <unk> bribery
 it made ample use of the modern techniques of influence peddling retaining politically connected respectable law firms investment bankers and political consultants including reagan <unk> <unk> <unk>
 when necessary it sought and received assistance from organized crime
 sometimes the <unk> became partners in the company
 wedtech management used the merit system
 if you were especially helpful in a corrupt scheme you received not just cash in a bag but equity
 if you were not an effective <unk> you found yourself out in the cold a fate that eventually <unk> mr. <unk> the firm 's <unk> minority person
 but despite the <unk> nature of the <unk> and the <unk> <unk> tabloid writing style feeding frenzy often falls short of <unk> reading
 none of the scams show much <unk> auditors found <unk> the first day on the job
 wedtech 's <unk> simply <unk> them to shut up
 the <unk> themselves were <unk> low <unk> <unk> consumers who wanted big houses mercedes cars beautiful women expensive clothes
 among the lot of them not one is <unk> with good and evil or especially <unk> or even temporarily <unk>
 the one character at least somewhat interesting was irving louis <unk> a <unk> who changed his name to <unk> kent london and became a master <unk> and author of a book on <unk>
 he enters the story toward the end just in time to get arrested
 absorbed in <unk> out feeding frenzy 's <unk> the authors <unk> over the root causes of wedtech namely the section N a federal program under whose <unk> the scandal took place
 they do at least come around to saying that the courts might want to end rigid <unk> action programs
 programs like section N a are a little like leaving gold in the street and then <unk> surprise when thieves walk by to <unk> it up
 numerous other scandals among them the ones at hud have the same <unk> as wedtech
 they take place in government programs that seem <unk> for corruption
 why are programs like this not eliminated
 feeding frenzy does provide a few clues
 in and around all levels of government in the u.s. are groups of people who can best be described as <unk> to a political insider commercial party
 they know that whenever government is <unk> wealth <unk> commerce or maintaining a large defense establishment there is big money to be made in <unk> <unk> or selling the processes and decisions of government
 they are our version of the east bloc 's <unk> and they have absolutely no wish to see anything change
 how many government programs and policies exist because they line the pockets of political insiders
 this is the real issue raised by the wedtech scandal
 mr. stern was chairman and chief executive officer of the new york state urban development corp. N
 the finnish government and major creditors of bankrupt shipyard waertsilae marine industries oy agreed in principle to form a new company to complete most of the troubled shipyard 's backlog of N ships
 the new company will attempt to limit the shipyard 's losses participants said
 the situation is that the bankruptcy court will get out of the shipbuilding business
 everything will be taken over by the new company said christian andersson executive vice president of oy waertsilae former parent of waertsilae marine
 once its ownership is <unk> the new company will open talks with <unk> <unk> to buy or lease waertsilae marine 's shipyard facilities
 <unk> will be offered a settlement and a swift transition to new management is expected to <unk> an exodus of skilled workers from waertsilae marine 's two big <unk> government officials said
 under an accord signed yesterday the government and union bank of finland would become major shareholders in the new company each <unk> N million finnish <unk> $ N million
 oy waertsilae is to contribute N million <unk> most of it as subordinated debt and take a minority stake in the new company
 customers holding contracts for waertsilae marine 's <unk> ships are expected to subscribe most of the remaining N million <unk> in share capital government officials said
 waertsilae marine 's biggest creditor is miami-based carnival cruise lines inc
 carnival which has three ships on order from waertsilae marine presented claims for $ N billion damages in the bankruptcy court this week
 waertsilae marine 's bankruptcy proceedings began tuesday in a <unk> court
 its plans to be acquired dashed comprehensive care corp. said it plans to sell most of its psychiatric and drug abuse facilities in california and some other assets to pay its debt and provide working capital
 in all the company hopes to repay $ N million in debt through the sales which will completely <unk> its secured debt the company said
 in addition the company has replaced its president and chief executive naming w. james <unk> head of the company 's contract health services to succeed b. lee <unk>
 mr. <unk> said he was extremely disappointed in the continuing deterioration of the company 's operations while it attempted to conclude the reorganization during the past four months
 <unk> with mr. <unk> 's appointment comprehensive care moved its corporate headquarters from irvine calif. to st. louis where the company maintained its contract services offices
 mr. <unk> continues as chairman
 comprehensive care had agreed to be acquired by closely held first hospital corp. of norfolk va. but the sale <unk> almost from the beginning and finally collapsed last week
 in composite trading on the new york stock exchange yesterday comprehensive care closed at $ N a share up N cents
 ralston <unk> co. reported a N N decline in fourth-quarter earnings reflecting restructuring costs as well as a more difficult pet food market
 the st. louis company earned $ N million or N cents a share compared with $ N million or $ N a share a year earlier
 sales in the latest period were $ N billion a N N increase from last year 's $ N billion
 for the year ended sept. N ralston earned $ N million or $ N a share up N N from $ N million or $ N a share
 this year 's results included a gain of $ N million on the disposal of <unk> operations
 sales for the full year were $ N billion up N N from $ N billion
 ralston said its restructuring costs include the <unk> of a battery facility in greenville n.c. the recent closing of a <unk> <unk> <unk> in cincinnati and a reduction in staff throughout the company
 the battery plant which makes <unk> nickel <unk> and carbon <unk> products will be closed over the next year or so a spokesman said
 ralston attributed its fourth-quarter slump partly to higher costs of <unk> in the pet food business as well as competitive pressures which required higher advertising spending
 for the year pet food volume was flat the company said
 its cereal division realized higher operating profit on volume increases but also spent more on promotion
 the continental <unk> business benefited from higher margins on bread and on increased <unk> sales it added
 ralston said its <unk> battery unit was hurt by continuing economic problems in south america
 ralston shares closed yesterday at $ N off $ N in new york stock exchange composite trading
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 first chicago corp. said it completed its $ N million <unk> acquisition of closely held <unk> financial corp. another chicago bank holding company
 the record <unk> binge by the soviet union is causing serious <unk> in the u.s. grain pipeline
 the soviet purchases are so massive that exporters are struggling to find enough river <unk> and trains to move the recently <unk> midwest crop to ports for <unk> onto soviet ships
 river <unk> rates have soared N N this fall from a year earlier
 railroad companies and some ports are <unk> a sudden <unk> of business
 and some grain analysts are predicting that corn prices might <unk> this month as exporters <unk> to find enough of the crop to meet their obligations to the soviets
 the soviet union bought roughly N million <unk> of u.s. corn in october which is the most ever sold to the soviet union in one month from the u.s.
 the soviet union wants much of it delivered by january which would be a strain in most years
 but it is particularly difficult this autumn because of low water levels on the mississippi river on which flows much of the u.s. corn that is shipped overseas
 we are shipping the most corn in that short of time period to one customer on record said william <unk> a u.s. agriculture department transportation expert
 it is going to be real tight
 because of persistent dry weather in the northern plains the water level on the upper section of the mississippi river is so low that many river operators are already trimming the number of <unk> their <unk> push at one time
 in a few weeks many <unk> probably wo n't be able to operate fully loaded south of st. louis because the u.s. army corps of engineers is beginning to reduce the flow of the missouri river which feeds into the mississippi river
 the army corps is cutting the flow of the missouri river about two weeks earlier than normal because of low water levels in the <unk> that feed it
 <unk> rates on the mississippi river sank yesterday on speculation that widespread rain this week in the midwest might temporarily alleviate the situation
 but the army corps of engineers expects the river level to continue falling this month
 at st. louis the water level of the mississippi river is already N feet below normal and it could drop an additional N feet when the flow of the missouri river is slowed an army corps spokesman said
 similar levels <unk> <unk> shipments last year in the wake of the worst drought in N years
 so far the grain industry 's <unk> <unk> problems have n't been a major factor in the trading of corn contracts at the chicago board of trade
 many grain processors and exporters use the price of the corn futures contracts traded there to calculate the price they offer to buy corn from farmers
 at the board of trade yesterday the price of the corn contract for december delivery slipped N cents a bushel to settle at $ N a bushel
 corn prices have been sluggish this fall despite the huge soviet orders because the harvest has allowed farmers to rebuild the <unk> <unk> by the N drought
 with the harvest <unk> down however some analysts are <unk> that prices might jump in some regions as u.s. exporters try to gather the corn they are obligated to deliver
 farmers are in the best position of many years to push up corn prices
 because the drought reduced u.s. <unk> they have more than enough storage space for their new crop and that permits them to wait for prices to rise
 in parts of iowa for example some grain elevators are offering farmers $ N a bushel for corn
 many farmers probably would n't sell until prices rose at least N cents a bushel said <unk> reed president of chicago central & pacific railroad co. of <unk> iowa
 it is n't clear however who would win a waiting game
 although u.s. corn <unk> shrank by roughly half in the wake of the drought the agriculture department projects that nearly <unk> of the harvest will still be in storage before the N corn harvest begins
 some analysts are worried that reports of the grain industry 's problems might spark investors to begin buying corn futures contracts only to see little appreciation
 the public is buying the market when in reality there is plenty of grain to be shipped said bill <unk> <unk> inc. research director
 although much of this country 's export corn goes to new orleans by <unk> it is possible for exporters to <unk> the mississippi river by shipping a <unk> amount of corn by train to the port
 ports in the great <unk> and atlantic coast can also relieve pressure on new orleans
 one railroad for example is already increasing its grain <unk> service from indiana to baltimore
 and it is n't clear that the soviet union will stay on its record buying pace
 the soviet orders were <unk> into the month of october because of delays
 the soviet union usually begins buying u.s. crops earlier in the fall
 but its purchases apparently were delayed by a reorganization of its agricultural bureaucracy as well as budget problems
 in other commodity markets yesterday
 energy crude oil futures prices increased in moderate trading but much of the action was in heating oil
 prices rose on the news that a sizable west german refinery was damaged in a fire tightening an already tight european market
 heating oil for november delivery ended at N cents a <unk> up one cent on the new york mercantile exchange
 west texas intermediate for december delivery advanced N cents to $ N a barrel
 gasoline futures continued a sell-off that began monday
 precious metals futures prices eased as increased stability and strength came into the securities markets
 december delivery gold fell $ N an ounce to $ N
 december silver declined N cents an ounce to $ N
 january platinum was down $ N an ounce at $ N
 precious metals gold in particular currently are being influenced more by stock market gyrations than the dollar as traders seek greater investment stability according to william <unk> vice president of research at elders futures in new york
 the recent rally in precious metals was a result of uncertainty and volatility in equities he said
 yesterday the stock market rose strongly creating a more defensive attitude among precious metals traders he said
 silver and platinum which have more of an industrial nature than gold were even weaker he said
 silver is also under pressure of extremely high inventories in warehouses of the commodity exchange he said
 yesterday these stocks rose by N ounces to a record of N ounces according to an exchange spokesman
 copper futures prices partially recovered monday 's declines because <unk> miners voted to strike
 the december contract rose N cents a pound to $ N
 in chile workers at two copper mines los <unk> and el <unk> which belong to the <unk> <unk> <unk> yesterday voted to begin a full strike tomorrow an analyst said
 reasons for the <unk> the analyst said included a number of procedural issues such as a right to strike
 the analyst noted that also inherent in all metal markets was a sympathetic reaction to stocks
 in the case of copper he said the upbeat mood of stocks was reflected in demand for futures contracts because a stronger economy means greater buying interest for the metal
 also contributing to the <unk> in copper the analyst noted was a report by chicago purchasing agents which <unk> the full purchasing agents ' report that is due out today and gives an indication of what the full report might hold
 the purchasing management association of chicago 's october index rose to N N after three previous months of <unk> below N N
 the september index was N N
 a reading below N N generally indicates a slowing in the industrial sector of the economy while a reading above N N points to expansion
 the chicago report raised the possibility that the october survey of the national association of purchasing management would also show a reading above N N
 ncr corp. unveiled two models of its tower line of <unk> computers and introduced advanced <unk> software to allow the tower family to operate as a central hub in a network of computers
 the new software is based on <unk> inc. 's <unk> network operating system software
 usx corp. posted a N N drop in third-quarter profit as improved oil results failed to offset weakness in steel and natural gas operations
 the nation 's largest steelmaker earned $ N million or N cents a share compared with the year-earlier $ N million or N cents a share
 the recent quarter includes pretax gains of $ N million from asset sales while like gains in the year-earlier quarter totaled $ N million
 in the N period usx also had a $ N million after-tax gain from a tax dispute settlement
 sales rose N N to $ N billion from $ N billion
 the earnings drop appears particularly steep in comparison with last year 's unusually strong third quarter when the company was riding an industrywide boom in demand and pricing
 however third-quarter operating profit fell N N as usx sold sizable chunks of its diversified and steel segments eliminating income from those operations
 among segments that continue to operate though the company 's steel division continued to suffer from soft demand for its <unk> goods serving the oil industry and other markets
 peter marcus an analyst with painewebber inc. said that a downturn in the <unk> industry coupled with sluggish automotive sales hurt usx results
 moreover usx exports more than other steelmakers and the overseas market has been under more severe pricing pressure
 the company attributed lower sales and earnings for the steel segment to the loss of results from the <unk> ohio plant which now is a N joint venture with japan 's kobe steel ltd
 in the steel division operating profit dropped N N to $ N million
 profit per ton of steel shipped dropped to about $ N a ton from $ N a ton last year and $ N a ton in the second quarter analysts said
 still usx fared better than other major steelmakers earning more per ton of steel shipped than either bethlehem steel corp. which posted a N N drop in net income or inland steel industries inc. whose profit plummeted N N
 in new york stock exchange composite trading yesterday usx shares closed up $ N at $ N as the reported earnings exceeded projections by some analysts who had n't expected as great a volume of asset sales
 the rise in the stock 's price may also reflect the fact that usx 's steel segment fared better than some other steelmakers '
 charles bradford an analyst with merrill lynch capital markets said usx may have received orders lost by competitors who were involved in labor contracts earlier this year
 he said usx also appeared to sell a richer mix of steel products such as the more profitable pipe and galvanized coated sheet than <unk> structural goods
 the energy segment with a N N rise in operating profit is clearly the company 's strongest
 higher crude oil prices helped boost operating profit for the marathon oil co. unit to $ N million from $ N million
 the texas oil & gas division continues to operate in the red although losses narrowed to $ N million from $ N million
 usx announced in october that it was soliciting bids to sell <unk> 's oil and gas reserves
 proceeds of that sale are to be used to reduce debt and buy back shares
 the company noted that it has reduced debt by $ N billion since the end of N and bought back about N million shares of common stock since the fourth quarter of N
 usx has about $ N billion in long-term debt and N million shares outstanding
 the announced sale of the reserves was followed by news that investor carl icahn had increased his stake in usx to N N and threatened a takeover or other business combination
 mr. icahn has said he believes usx would be worth more if broken up into steel and energy segments
 profit for the nine months jumped N N to $ N million or $ N a share from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 john f. barrett N formerly executive vice president and chief financial officer was named president and chief operating officer posts which had been vacant
 leon j. level vice president and chief financial officer of this computer services concern and f. warren <unk> a professor at harvard university 's graduate school of business were elected directors increasing board membership to nine
 david a. <unk> president of metal container division was named to the additional post of group vice president packaging products at this packaging industrial and aerospace products concern succeeding <unk> a. davis who was named president and chief operating officer in august
 two leading <unk> experts said president bush does n't have the legal authority to exercise a line-item veto
 professors philip <unk> of the university of chicago and laurence tribe of harvard law school said any effort by president bush to claim authority for a line-item veto would <unk> the text of the constitution and the intent of its authors as well as the views of previous presidents
 a line-item veto is a procedure that would allow a president to veto part of a big congressional spending bill without having to scuttle the entire measure
 mr. bush has said he would like to be able to use this procedure
 a white house spokesman said last week that the president is considering declaring that the constitution <unk> gives him the authority for a line-item veto to <unk> a test case
 but the two legal experts responding to an inquiry by sen. edward kennedy d. mass. wrote in a joint letter that the president lacks the constitutional authority to exercise a line-item veto
 the two professors represent different ends of the political spectrum mr. <unk> is a conservative and mr. tribe is a liberal
 the two professors said the constitution <unk> the president to veto entire bills not partial measures
 moreover they said the first appropriations bill passed N years ago covered many different items and there was no discussion of a line-item veto
 they also said that more than a dozen presidents have called for line-item veto authority since the civil war and all have shared the view that such <unk> power is beyond the reach of the president
 sen. kennedy said in a separate statement that he supports legislation to give the president line-item veto power but that it would be a reckless course of action for president bush to claim the authority without congressional approval
 trinity industries inc. said it reached a preliminary agreement to sell N <unk> <unk> to <unk> train co. of chicago
 terms were n't disclosed
 trinity said it plans to begin delivery in the first quarter of next year
 in an oct. N review of the <unk> at chicago 's goodman theatre <unk> <unk> take the stage in <unk> city leisure & arts the role of <unk> played by kim <unk> was mistakenly attributed to <unk> <unk>
 ms. <unk> plays <unk>
 <unk> motor cars inc. said it expects its u.s. sales to remain steady at about N cars in N
 the luxury auto maker last year sold N cars in the u.s.
 howard <unk> president and chief executive officer said he anticipates growth for the luxury auto maker in britain and europe and in far eastern markets
 bell industries inc. increased its quarterly to N cents from seven cents a share
 the new rate will be payable feb. N
 a record date has n't been set
 bell based in los angeles makes and distributes electronic computer and building products
 investors are appealing to the securities and exchange commission not to limit their access to information about stock purchases and sales by corporate insiders
 a sec proposal to ease reporting requirements for some company executives would undermine the <unk> of information on insider trades as a <unk> tool individual investors and professional money managers contend
 they make the argument in letters to the agency about rule changes proposed this past summer that among other things would exempt many <unk> executives from reporting trades in their own companies ' shares
 the proposed changes also would allow executives to report exercises of options later and less often
 many of the letters maintain that investor confidence has been so shaken by the N stock market crash and the markets already so <unk> against the little guy that any decrease in information on insider-trading patterns might prompt individuals to get out of stocks altogether
 the sec has historically paid <unk> to the ideal of a level playing field wrote <unk> s. <unk> of <unk> ill. in one of the N letters the agency has received since the changes were proposed aug. N
 apparently the commission did not really believe in this ideal
 currently the rules force executives directors and other corporate insiders to report purchases and sales of their companies ' shares within about a month after the transaction
 but about N N of the insiders according to sec figures file their reports late
 the changes were proposed in an effort to streamline federal bureaucracy and boost compliance by the executives who are really calling the shots said brian lane special counsel at the sec 's office of disclosure policy which proposed the changes
 investors money managers and corporate officials had until today to comment on the proposals and the issue has produced more mail than almost any other issue in memory mr. lane said
 the sec will probably vote on the proposal early next year he said
 not all those who wrote oppose the changes
 the committee on federal regulation of securities for the american bar association argues for example in its lengthy letter to the sec that the proposed changes would substantially improve the law by <unk> it more closely to contemporary business realities
 what the investors who oppose the proposed changes object to most is the effect they say the proposal would have on their ability to spot <unk> <unk> of trading activity buying or selling by more than one officer or director within a short period of time
 according to some estimates the rule changes would cut insider filings by more than a third
 the sec 's mr. lane <unk> disputed those estimates
 the rules will eliminate filings <unk> divisions such as sales marketing finance and research and development mr. lane said
 the proposed rules also would be tougher on the insiders still required to file reports he said
 companies would be <unk> to publish in annual proxy statements the names of insiders who fail to file reports on time
 considered as a whole mr. lane said the filings required under the proposed rules will be at least as effective if not more so for investors following transactions
 but robert <unk> president of <unk> a north miami fla. company that packages and sells the insider-trading data said the proposal is <unk> so <unk> that key officials may fail to file the reports
 many investors wrote asking the sec to require insiders to report their purchases and sales immediately not a month later
 but mr. lane said that while the sec <unk> who files the law tells them when to do so
 investors who want to change the required timing should write their representatives in congress he added
 the sec would likely be <unk> to legislation that required insiders to file transactions on a more timely basis he said
 the nation 's largest pension fund which oversees $ N billion for college employees plans to offer two new investment options to its N million participants
 the teachers insurance and annuity <unk> retirement equities fund said it will introduce a stock and bond fund that will invest in <unk> responsible companies and a bond fund
 both funds are expected to begin operation around march N subject to securities and exchange commission approval
 for its employees to sign up for the options a college also must approve the plan
 some N institutions are part of the pension fund
 the new options carry out part of an agreement that the pension fund under pressure to relax its strict participation rules and to provide more investment options reached with the sec in december
 the new social choice fund will <unk> securities of companies linked to south africa nuclear power and in some cases northern ireland
 also excluded will be investments in companies with significant business stemming from weapons manufacture <unk> <unk> or tobacco
 <unk> percent of the fund will be invested in stocks with the rest going into bonds or short-term investments
 the bond fund will invest in high-grade or <unk> bonds mortgages or asset-backed securities including as much as N N in foreign securities
 the fund also might buy and sell futures and options contracts subject to approval by the new york state insurance department
 under two new features participants will be able to transfer money from the new funds to other investment funds or if their jobs are terminated receive cash from the funds
 the investment choices offered by the pension fund currently are limited to a stock fund an annuity and a money-market fund
 new <unk> scientific co. a maker of biotechnology instrumentation and equipment said it adopted an anti-takeover plan giving shareholders the right to purchase shares at half price under certain conditions
 the company said the plan under review for some time will protect shareholders against <unk> takeover tactics
 w. ed tyler N years old a senior vice president at this printing concern was elected president of its technology group a new position
 solo <unk> players have to be creative if they want to work a lot because their <unk> and audience appeal are limited
 the <unk> <unk> <unk> has taken a hard line about the problem he commissions and <unk> <unk> <unk> contemporary scores and does some conducting so he does n't have to play the same <unk> and <unk> <unk> over and over again
 richard stoltzman has taken a <unk> more <unk> approach
 years ago he <unk> with the new music <unk> peter <unk> and fred <unk> in the very <unk> chamber group <unk> which won audiences over to <unk> contemporary scores like <unk> 's <unk> for the end of time
 today the <unk> <unk> has mostly dropped the <unk> work though a touch of the old <unk> still <unk> and now goes on the road with piano bass a slide show and a <unk> that ranges from light classical to light jazz to light pop with a few notable exceptions
 just the thing for the <unk> set the <unk> audience that has embraced new age as its very own easy listening
 but you ca n't dismiss mr. stoltzman 's music or his <unk> as merely commercial and <unk>
 he believes in what he plays and he plays <unk>
 his recent appearance at the metropolitan museum dubbed a musical <unk> was a case in point
 it felt more like a party or a highly <unk> <unk> session with a few friends than a classical concert
 <unk> in his trademark black <unk> suit the <unk> <unk> announced that his new <unk> inner voices had just been released that his family was in the front row and that it was his mother 's birthday so he was going to play her favorite tune from the record
 he launched into <unk> 's the <unk> from carnival of the animals a favorite <unk> piece for <unk> with lovely glossy tone and no <unk>
 then as if to show that he could play fast as well he offered the second movement from <unk> 's <unk> for <unk> a <unk> <unk> <unk> that reflected the <unk> side of the stoltzman <unk>
 and so it went through the first half an <unk> chosen <unk> of pieces none longer than five minutes none that would <unk> or challenge a <unk>
 mr. stoltzman introduced his colleagues bill douglas <unk> and an old buddy from yale and jazz <unk> eddie <unk>
 an <unk> section was built around pieces by mr. douglas beginning with golden rain a <unk> <unk> lead in to the <unk> sky which gave mr. stoltzman the opportunity to <unk> in a high register and show off his fleet fingers
 <unk> 's air followed
 mr. stoltzman tied the <unk> in by <unk> him the great <unk> of the <unk> century and then built on the image by joining with mr. douglas in some <unk> two-part <unk> <unk> arranged for <unk> and <unk> by mr. douglas
 keeping the mood light the two then <unk> and <unk> their way through some <unk> <unk> devised by mr. douglas as an alternative to <unk> 's dry <unk> techniques and then with mr. <unk> soared and <unk> on the <unk> 's tight <unk> <unk>
 the end of the first half however brought what the <unk> crowd seemed to be waiting for the pop singer <unk> collins who appears on inner voices
 glamorous and <unk> as ever ms. collins sang <unk> mitchell 's for free about an <unk> with a <unk> <unk> to which mr. stoltzman contributed a <unk> <unk> and mr. douglas 's <unk> setting of a <unk> blessing deep peace
 deep peace also featured a slide show of lovely but predictable images of clouds <unk> <unk> <unk> etc
 it was all too <unk> to be believed but they probably would have gotten away with it had they not felt <unk> to add ms. collins 's signature tune amazing grace and ask for audience participation
 that went over the permissible line for warm and <unk> feelings
 was this why some of the audience <unk> before or during the second half
 or was it because ms. collins had gone
 either way it was a <unk> because mr. <unk> offered the most substantial music of the evening just after <unk> steve reich 's new york <unk> one of a series of reich works that <unk> a live performer with recorded tracks of his or her own playing
 mr. reich 's new different trains for string <unk> uses the technique <unk>
 mr. stoltzman must have worried that his audience might not be able to take it he warned us in advance that new york <unk> lasts N N minutes
 he also unfortunately illustrated this <unk> <unk> <unk> with mr. <unk> 's images this time of <unk> or <unk> <unk> in a <unk> <unk> of the musical structure that was <unk> <unk> from mr. reich 's piece and mr. stoltzman 's elegant execution of it
 the rest of the concert was more straight jazz and <unk> sounds written by charlie parker <unk> coleman bill douglas and eddie <unk> with pictures for the douglas pieces
 it was <unk> to hear accomplished jazz without having to sit in a <unk> club but like the first half much of it was easy to take and ultimately <unk>
 is this the future of chamber music
 managers and <unk> insist that chamber music <unk> are a hard sell but can audiences really enjoy them only if the music is <unk> of threatening elements served up in <unk> <unk> and accompanied by <unk>
 what 's next
 <unk> to illustrate <unk> <unk>
 it was not an <unk> evening certainly thanks to the high level of performance the <unk> <unk> of mr. douglas and the obvious <unk> with which mr. stoltzman chooses his <unk>
 but it was neither deep nor lasting light entertainment that was no substitute for an evening of <unk>
 ms. <unk> is a free-lance writer based in new york
 one of ronald reagan 's attributes as president was that he rarely gave his blessing to the <unk> that passes for consensus in various international institutions
 in fact he <unk> the u.s. from one of the world 's most corrupt organizations unesco
 this is the u.n. group that managed to <unk> its own charter of promoting education science and culture
 ever since the remaining members have been desperate for the united states to <unk> this <unk> group
 now unesco <unk> are lobbying president bush to <unk> on president reagan 's decision to <unk>
 but we can think of many reasons to stay out for the foreseeable future and well beyond
 the u.s. along with britain and singapore left the agency when its <unk> <unk> financial corruption and top leadership got out of hand
 the personal <unk> of agency director <unk> <unk> drew much attention such as when several of his top aides were uncovered as kgb plants and <unk> from france and when a <unk> office fire was set just before congress sent accountants to <unk> u.s. funds
 mr. <unk> was an extreme case but even his replacement the more personally <unk> spanish <unk> <unk> mayor has had little success at <unk> reforms
 several ridiculous projects continue including the new international economic order which means <unk> from the west to pay for everyone else 's <unk>
 the <unk> new world information order would give government officials rights against the press journalists would be obliged to <unk> to their government which would have licensing and censorship powers and indeed duties to block printing of wrong ideas
 unesco somehow converted the founding u.n. <unk> of individual rights and liberty into peoples ' rights
 <unk> conferences were held to <unk> on subjects such as ethical responsibilities of scientists in support of <unk> and the impact of the activities of <unk> corporations
 the agency was so totally <unk> from the high principles of its founding that even the soviets now wonder about an agency that seemed so <unk> to them
 glasnost may be partly responsible but soviet foreign minister eduard shevardnadze last year admitted the <unk> ideological approach undermined <unk> <unk> to unesco
 unesco is now holding its <unk> meetings in paris to devise its next projects
 mr. mayor 's hope that <unk> to press freedom would survive <unk> seems doomed to failure the current <unk> is <unk> the public and media to avoid manipulation
 he has n't been able to replace the <unk> <unk>
 soviets remain in charge of education programs a former head of an african military <unk> for executions is in charge of culture and a hard-line polish communist in <unk> directs the human-rights and peace division
 of the agency 's N staff members N are in the field working on actual projects such as <unk> and <unk> research
 the position of the united states which once contributed N N of the budget is that nothing has changed
 john <unk> the assistant secretary of state for international organizations told congress that the continuing <unk> restrictive <unk> programs make <unk> any time soon extremely unlikely
 this has n't much bothered the unesco delegates who last week could n't even agree to raise funds by selling off a fancy <unk> french <unk> the agency somehow owns
 other countries including west germany may have a hard time <unk> continued membership
 we see an even stronger argument against unesco than its <unk> failure to reform
 this is that the reagan revolution <unk> eastern europe and <unk> square shows the power of ideas <unk> by international civil <unk> or government <unk>
 free markets free minds and free elections have an appeal that seems to get <unk> only when delivered through u.n. organizations which of course are made up largely of governments that fear these principles at home
 the <unk> of the united nations are experts at <unk>
 this can have its purposes at times but there 's no reason to cloud the importance and <unk> of western <unk> of freedom and justice
 we can see plenty of reasons to stay out and none to <unk> unesco
 researchers at plant genetic systems n.v. in belgium said they have developed a genetic engineering technique for creating hybrid plants for a number of key crops
 the researchers said they have isolated a plant gene that prevents the production of <unk>
 the gene thus can prevent a plant from <unk> itself
 such so-called <unk> plants can then be <unk> by <unk> from another strain of the plant thereby producing hybrid seed
 the new generation of plants will <unk> the <unk> <unk> <unk> known as hybrid <unk> similar to that now seen in hybrid corn
 the development could have a dramatic effect on farm production especially cotton said murray robinson president of delta & <unk> land co. a <unk> inc. subsidiary that is one of the largest cotton seed producers in the u.s.
 on a commercial scale the <unk> of the <unk> male part has only been achieved in corn and <unk> feed grains
 that 's because the male part the <unk> and the female the <unk> are some distance apart on the corn plant
 in a <unk> process the seed companies cut off the <unk> of each plant making it male <unk>
 they <unk> a row of <unk> plants nearby which then <unk> the <unk> plants
 the first hybrid corn seeds produced using this mechanical approach were introduced in the 1930s and they yielded as much as N N more corn than naturally <unk> plants
 the vast majority of the u.s. corn crop now is grown from hybrid seeds produced by seed companies
 a similar technique is almost impossible to apply to other crops such as cotton soybeans and rice
 the male part the <unk> of the plant and the female the <unk> of the same plant are within a fraction of an inch or even attached to each other
 the <unk> in these plants are difficult to <unk> off
 in china a great number of workers are engaged in pulling out the male <unk> of rice plants using <unk> and one-third of rice produced in that country is grown from hybrid seeds
 at plant genetic systems researchers have isolated a <unk> gene that can be inserted in a plant to <unk> male <unk>
 jan <unk> research director said this gene was successfully introduced in <unk> <unk> plants a major crop in europe and canada using as a carrier a <unk> gene developed by robert goldberg at the university of california in los angeles
 the <unk> gene is expressed just before the <unk> is about to develop and it <unk> the <unk> of every <unk> in the plant
 mr. <unk> said this genetic manipulation does n't hurt the growth of that plant
 the researchers also pulled off a second genetic engineering <unk> in order to get <unk> plants in large enough numbers to produce a commercial hybrid seed crop
 they attached a second gene for <unk> resistance to the <unk> gene
 both genes are then inserted into a few greenhouse plants which are then <unk> and allowed to mature and produce seed
 the laws of <unk> <unk> that half of the plants <unk> from these <unk> seeds will be male <unk> and <unk> <unk> and half will be male <unk> and <unk> susceptible
 the application of <unk> would kill off the <unk> plants leaving a large field of <unk> plants that can be <unk> to produce hybrid seed
 mr. <unk> said the hybrid <unk> created with this genetic engineering yield N N to N N more output than the commercial <unk> used currently
 this technique is applicable to a wide variety of crops he said and added that some modifications may be necessary to accommodate the <unk> of each type of crop
 he said the company is <unk> with the technique on <unk> and plans to include cotton and corn among other crops
 he said that even though virtually all corn seeds currently planted are <unk> the genetic approach will <unk> the need for mechanical <unk> of <unk> which costs u.s. seed producers about $ N million annually
 in recent years demand for hybrid seeds has spurred research at a number of chemical and biotechnology companies including monsanto co. shell oil co. and eli lilly & co
 one technique developed by some of these companies involves a chemical <unk> supposed to kill only a plant 's <unk>
 but there have been problems with chemical <unk> damaging plants ' female reproductive <unk> and concern for the <unk> of such chemical <unk> to humans animals and beneficial <unk>
 however paul <unk> monsanto 's director of plant sciences said the company 's chemical <unk> <unk> these problems and is <unk> on the female <unk>
 <unk> genetics corp. <unk> calif. is developing a <unk> containing a gene that spreads from cell to cell and <unk> with the genes that are responsible for producing <unk>
 this gene called <unk> is carried into the plant by a virus that remains active for a few days
 robert <unk> president of <unk> called plant genetic 's approach interesting and novel and <unk> rather than competitive
 there is a large market out there <unk> for hybrid seeds he said
 mr. robinson of delta & <unk> the seed producer in scott <unk> said plant genetic 's success in creating genetically engineered male <unk> does n't automatically mean it would be simple to create <unk> in all crops
 that 's because <unk> while easy in corn because the carrier is wind is more complex and involves <unk> as carriers in crops such as cotton
 it 's one thing to say you can <unk> and another to then successfully <unk> the plant he said
 nevertheless he said he is negotiating with plant genetic to acquire the technology to try breeding hybrid cotton
 a bitter conflict with global implications has erupted between nomura securities co. and industrial bank of japan two of the world 's most powerful financial companies
 the clash is a sign of a new <unk> and <unk> in japan 's <unk> financial circles
 not only are japan 's financial institutions putting their enormous clout to work increasingly they 're <unk> off against one another in unprecedented public fashion
 already the consequences are being felt by other players in the financial markets even governments
 what triggered the latest clash was a <unk> over the timing of a new zealand government bond issue
 nomura was attempting to <unk> the N <unk> $ N million borrowing in japan at a time when many japanese banks led by industrial bank of japan were <unk> the wellington government to help them recover loans made to a <unk> investment bank that had been owned by new zealand 's <unk> pension fund
 unwilling to put up new money for new zealand until those debts are repaid most banks refused even to play administrative roles in the new financing forcing an embarrassed nomura to postpone it this week
 the dispute shows clearly the global power of japan 's financial <unk>
 aside from nomura 's injured pride the biggest victim so far has been the new zealand government
 barred by its budget law from making any new domestic bond issues wellington 's debt management office had been casting abroad to raise the N billion new zealand dollars us$ N billion to <unk> N billion it needs to come up with by the end of its fiscal year next june N
 with japan 's <unk> banks aligned against it though raising money may be difficult
 not only can they block wellington from raising money in japan bankers here say but as the largest underwriters in the <unk> market they might be able to scuttle borrowings there too
 new zealand 's finance minister david <unk> <unk> out at such suggestions
 he told reporters in wellington tuesday that the government had n't guaranteed the loans to <unk> new zealand ltd. an investment bank <unk> by the national <unk> fund and would n't bail it out
 it may very well be what the japanese banks want he told radio new zealand
 i think it would be irresponsible and i am not about to be <unk> by japanese banks or any other international interests
 no less significant than the japanese banks ' attempt to cut off funds to pressure a foreign government are the implications of a confrontation between japan securities and banking industries
 anxiety is rising over recent government proposals to eventually lower the strict barriers that now separate and protect the two industries from each other
 both sides are <unk> <unk> their turf and relations have been at a <unk> for months
 the banks badly want to break into all aspects of the securities business
 meanwhile the securities companies most of them smaller than the banks are seeking access only to limited kinds of banking that would n't open them to the full brunt of competition from the banks
 nomura the world 's biggest securities company largely by virtue of its protected home field and industrial bank of japan japan 's most innovative and aggressive bank in capital markets abroad <unk> the opposing sides
 and their <unk> of each other run deep
 in the past year both have tried to stretch the limits of their businesses
 nomura started a credit-card venture with american express co. that allowed <unk> to use their nomura securities accounts like a bank account attracting the <unk> of banks
 and industrial bank of japan started up a london securities subsidiary that sells japanese stocks to <unk> institutions overseas a move that <unk> the anger of the stock brokerage firms
 the new zealand bond issue simply has brought the two institutions face-to-face
 itel corp. reported third-quarter earnings which were mistakenly shown in the quarterly earnings surprises table in yesterday 's edition to be lower than the average of analysts ' estimates
 on a pretax basis itel 's third-quarter earnings of N cents a share were actually N N higher than the average of estimates
 raymond e. ross N years old formerly group vice president u.s. plastics machinery at this machine tool plastics machinery and robots concern was named senior vice president industrial systems succeeding david a. <unk> who resigned monday
 john a. <unk> jr. N was named a managing director at this investment-banking company
 he will be in charge of research equity sales and trading and the syndicate operation of rothschild
 mr. <unk> was executive vice president and director of the equity division of the international division of nikko securities co
 as <unk> <unk> might say it 's <unk> <unk> all over again
 <unk> at <unk> <unk> <unk> once oakland 's master thief <unk> <unk> up a <unk> and <unk> it to second
 in the <unk> paul blair the <unk> ' <unk> gold <unk> winner <unk> <unk> a fly
 on the <unk> former red <unk> great luis <unk> the <unk> master of N moves throws an <unk> strike
 <unk> <unk> <unk> their manager a fellow named <unk> <unk> who in a different time handled four world series teams and now handles the gold coast <unk>
 <unk> <unk> he says
 perhaps
 but for the next few months these boys of <unk> long past are going to be <unk> in an indian summer of the soul
 now that the baseball season is officially over you see it 's time for a new season to begin
 today is the debut of the senior professional baseball association a new <unk> pro sports circuit <unk> after the highly successful senior tennis and golf tours and complete with good salaries a cable television contract and even expansion plans
 one hundred and <unk> two former <unk> near <unk> hardly <unk> and <unk> begin a <unk> three-month season in <unk> stadiums up and down florida
 for everyone involved it 's one more <unk> of that <unk> of youth baseball
 someone always makes you quit says legendary st. louis <unk> <unk> <unk> flood the league 's commissioner
 you feel you want one more one more <unk> one more hit one more game
 until the <unk> heroes of today reclaim these <unk> for spring training there is one more
 and not just for the players
 it 's one more for the <unk> lawyers accountants and real estate developers who <unk> up about $ N million each for the chance to be an owner to step into the shoes of a gene <unk> or have a beer with <unk> fingers
 nothing can be better than this says don <unk> owner of the west palm beach <unk>
 early in the morning mr. <unk> an estate lawyer <unk> over last <unk> and <unk>
 midmorning he <unk> an <unk> uniform and for fun may field a <unk> from dave <unk>
 it 's one more too for the fans who dream of a season that never ends
 i feel like a little kid says a <unk> alex de <unk> a car salesman who has stopped by a workout of the <unk> to slip six <unk> cards to the great man himself to be <unk>
 the league 's <unk> hope <unk> and tourists will join <unk> fans like mr. de <unk> and pack the stands to see the seniors
 the league is the <unk> of colorado real estate developer james <unk> once a <unk> himself who says he had the idea last january while lying on a beach in australia
 when he sent letters offering N retired major <unk> the chance of another season N responded
 eventually about N made the trip to florida to compete for the available <unk>
 players have to be N or older except for <unk> who are eligible at N because life behind the plate is so rough
 for some players the lure is money up to $ N a month
 others just released from the <unk> hope the senior league will be their bridge back into the big-time
 but as they <unk> <unk> that <unk> rather than <unk> and <unk> old <unk> in the sun it 's clear that most are there to make their fans <unk> again or <unk> the <unk> of seasons past or prove to themselves and their colleagues that they still have it or something close to it
 my <unk> is good
 real good says <unk> pete <unk> working in the midday heat of the <unk> camp
 mr. <unk> who started with the <unk> washington senators says that when he left baseball in N he never looked back
 for a long time he ignored baseball altogether even the sports pages
 now mr. <unk> a lawyer claims he 'd play for free
 you ca n't give it up that easily he says
 i tried
 the nagging memory of one afternoon <unk> years ago drove jim <unk> a lean <unk> <unk> to take a <unk> leave from selling insurance in texas to try out for mr. <unk> 's team
 it does n't replace pitching in the <unk> but it proves to me that i would have been able to play if i 'd stayed healthy he says
 back in N late in the season a <unk> mr. <unk> made his only major league appearance five and two-thirds <unk> for the texas <unk> against the chicago white <unk>
 he gave up seven hits walked five and did n't get a decision
 arm troubles forced him back to the <unk> the next year
 there 's a satisfaction in going against the rules offers will <unk> once a <unk> with cincinnati 's big red machine
 he means the rule that a player ca n't cut it after a certain age
 these days he <unk> to <unk> jobs in his chevy pickup before and after training with the <unk>
 while <unk> a beer after practice he <unk> <unk> getting the red <unk> 's carl <unk> to pop out to end the N world series and <unk> the feat against the <unk> ' roy white in N
 some of the game 's <unk> <unk> dislike the idea of <unk> men attempting a young man 's sport
 i personally do n't enjoy seeing players who i remember <unk> from their playing days running about and being <unk> about their deficiencies says roger <unk> new yorker magazine 's resident baseball <unk>
 i feel people should be allowed to remember players as they were
 worse says baseball author lawrence <unk> someone will get a heart attack and that will be the end of the whole story
 but the <unk> disagree
 most are trim
 some have been training for months others only recently left active status
 no one has worked out the players ' average age but most appear to be in their late <unk>
 and there 's pride
 i 'm not going to look stupid <unk> former pittsburgh <unk> second <unk> <unk> <unk> sweat <unk> his <unk> as he prepares for some practice swings
 it 's going to be a tough league promises the <unk> mr. <unk>
 there will be a lot of <unk>
 men who have played hard all their lives are n't about to change their habits he says
 nonetheless one ca n't help wonder whether the game will be just a little bit slower
 at the <unk> <unk> beach municipal stadium mr. blair the 45-year-old former <unk> knows his power is n't what it used to be
 so he <unk>
 he no longer <unk> the plate
 he 's not thinking about home runs anymore just base hits
 still how sweet it is he says <unk> the fat sound of the <unk> line drive that <unk> off the center field wall
 and do n't expect many complete games by <unk> perhaps three out of N <unk> mr. fingers the former oakland <unk>
 expect tricky stuff from <unk> says mr. <unk> the manager
 expect <unk> but no <unk> says mr. <unk>
 even expect stolen bases says the <unk> and fit mr. <unk> if you know how to slide it 's no problem he says
 and expect slower <unk>
 i 'm not so young anymore concedes the <unk> <unk> mr. <unk>
 i wo n't be throwing N mph but i will throw <unk> he says
 <unk> <unk> <unk> at N the league 's oldest player and a <unk> with the <unk> has lost even more speed
 <unk> a <unk> of red man into his <unk> he admits the <unk> he brought into the <unk> in N has become a <unk>
 its maximum <unk> is N mph
 but he is n't worried
 he will compensate with the <unk> learned from his years in the <unk>
 he has good control
 he will keep the ball down move it around
 after all he says even to make love you need experience
 <unk> corp. said it will acquire the N N of <unk> branch telephone company inc. 's cellular franchise that it does n't own already
 terms were n't disclosed
 <unk> holds N N of the franchise which has operations in <unk> s.c. and <unk> <unk>
 <unk> which provides local telephone service in N states said it exercised its right of first refusal following an offer from an undisclosed third party to acquire the majority position in the franchise
 stewart & stevenson services inc. said it received two contracts totaling $ N million to build <unk> <unk>
 the separate contracts were from <unk> light & water commission a utility in <unk> <unk> and pse inc. a <unk> operator in houston
 stewart & stevenson makes equipment <unk> with diesel and gas <unk>
 liberty national bancorp said its acquisition of <unk> deposit bank <unk> ky. first announced in april has been completed in a transaction valued at $ N million
 liberty national exchanged about N shares of its common stock for each of <unk> deposit 's N shares outstanding
 liberty national a bank holding company has assets exceeding $ N billion
 <unk> <unk> was appointed president and chief executive officer of this financially troubled department store chain effective nov. N succeeding frank robertson who is retiring early
 mr. <unk> was previously president and chief operating officer of <unk> inc. a retail chain that is owned by toronto-based hudson 's bay co. canada 's largest department store operator
 tuesday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 canada 's gross domestic product rose an inflation-adjusted N N in august mainly as a result of <unk> growth statistics canada a federal agency said
 the august <unk> was up N N from its year-earlier level
 <unk> is the total value of a nation 's output of goods and services
 statistics canada said <unk> output in august rose N N from july
 output of <unk> industries increased N N
 separately statistics canada reported that its <unk> price index dropped N N in september its third consecutive monthly decline
 it also reported a N N decline in its <unk> price index for september
 columbia pictures entertainment inc. was dropped effective today from the recreational products and services industry group of the dow jones equity market index
 columbia pictures is being acquired by sony corp. which is based in japan
 people 's savings financial corp. said it will buy back as much as N N of its N million shares outstanding because the stock is undervalued
 the holding company said it has been unfairly associated with other banks in new england that have had major loan losses in recent quarters
 the company said its people 's savings bank unit does n't have a large exposure to construction and commercial loans that have caused the loan-loss problems in many of the banks
 a seat on the chicago mercantile exchange was sold for $ N down $ N from the previous sale <unk>
 seats currently are quoted at $ N bid $ N asked
 the record price for a full membership on the exchange is $ N set march N
 in a surprise move the british government cleared the way for a bidding war for jaguar plc by agreeing to remove an obstacle to a takeover of the auto maker
 trade and industry secretary nicholas ridley told the house of commons yesterday that he will <unk> the government 's so-called golden share in the company as long as jaguar shareholders agree
 the golden share restricts any individual holding to N N and expires at the end of N
 it was in jaguar 's best interests for the company 's future to be assured and the present climate of uncertainty resolved as quickly as possible mr. ridley said
 mr. ridley 's decision fires the starting <unk> for perhaps a costly contest between the world 's auto giants for britain 's leading luxury-car maker
 both general motors corp. and ford motor co. have been trying to <unk> N N stakes in jaguar
 ford which already has an unwelcome N N holding is prepared to bid for the entire company and had lobbied the government to lift the takeover restrictions early
 gm has been negotiating a friendly transaction with jaguar that likely would involve joint ventures and an eventual stake of just under N N
 but the government 's action which caught jaguar management <unk> may scuttle the gm minority deal by forcing it to fight for all of jaguar
 i ca n't believe they gm will let ford have a free run said stephen reitman a european auto industry analyst at <unk> & drew
 i am sure they will be going for a full bid
 many investors certainly believe a bidding war is imminent
 jaguar shares skyrocketed yesterday after mr. ridley 's announcement following their temporary suspension on london 's stock exchange
 in late trading the shares were up a <unk> N pence $ N a N N gain to a record N pence on very heavy volume of N million shares
 in the u.s. over-the-counter market jaguar shares trading as american depositary receipts closed at $ N up $ N
 analysts expect ford will make the first move perhaps today with an initial offer of about N pence $ N a share
 such a proposal values jaguar at more than # N billion $ N billion
 speculation about a takeover fight has sent jaguar shares soaring in the past six weeks
 the share price was <unk> at about N pence before ford 's sept. N announcement of its interest in a minority stake
 ford is in the driving seat at the moment observed bob barber an auto analyst at brokers james capel & co
 an aggressive ford bid for jaguar would put pressure on gm to make a better offer as the british company 's white knight
 such a <unk> could end jaguar 's hopes for remaining independent and <unk>
 but it is n't clear how long gm would be willing to fight ford for jaguar
 because of their longstanding <unk> gm just wants to make sure ford pays a huge <unk> for jaguar said john lawson an auto analyst at london 's nomura research institute
 people close to the <unk> talks agreed that ford now may be able to shut out general motors
 it 's either going to be a <unk> or there only may be one player in town one person said
 another person close to the talks said it is very hard to justify paying a silly price for jaguar if an <unk> bidding war were to start now
 in a statement jaguar 's board said they were not <unk> about the ridley decision in advance and were surprised at the action taken
 the statement emphasized that holders representing N N of the shares voting at a special shareholders ' meeting must agree to lift the takeover restrictions
 jaguar officials in the u.s. noted that ford as jaguar 's largest shareholder now has the power to call for such a meeting
 u.s. auto analysts also noted that ford is in the best position to benefit from the large number of jaguar shares that have moved over the past month into the hands of arbitragers waiting for the highest takeover bid
 jaguar 's own defenses against a hostile bid are weakened analysts add because fewer than N N of its shares are owned by employees and management
 ford officials in the u.s. declined to comment on the british government 's action or on any plans to call a special jaguar shareholders meeting
 but gm officials said they too were surprised by the move which left them to consider all our options and explore matters further
 although gm has u.s. approval to buy up to N N of jaguar 's stock it has n't yet disclosed how many shares it now owns
 in a prepared statement gm suggested its plans for jaguar would be more valuable in the long run than the initial <unk> investors might reap from a hostile ford bid
 our intensive discussions with jaguar at their invitation gm said have as their objectives to create a cooperative business relationship with jaguar that would provide for the continued independence of this great british car company to ensure a secure future for its employees and to provide an attractive long-term return for its shareholders
 jaguar was shocked by mr. ridley 's decision because management had believed the government would n't lift the golden share without consulting the company first
 indeed the government is taking a calculated risk
 mr. ridley 's announcement set off a <unk> of protests from members of the opposition labor party who accused the thatcher administration of backing down on promised protection for a privatized company
 the british government retained the single golden share after selling its stake in jaguar in
 the conservative government 's decision may reflect its desire to shed a politically sensitive issue well before the next election expected in late N
 it 's now a very good time politically to get this over and done with observed daniel jones professor of motor industry management at the university of <unk> in <unk>
 the government already <unk> by high interest rates and a slowing economy has been badly hurt by last week 's <unk> in mrs. thatcher 's cabinet
 at the same time the government did n't want to appear to favor gm by allowing a minority stake that might preclude a full bid by ford
 mr. ridley hinted at this motive in <unk> questions from members of parliament after his announcement
 he said he was giving up the golden share to clear the way so the playing field is level between all <unk>
 bradley a. <unk> in detroit contributed to this article
 dow chemical co. midland mich. and eli lilly & co. indianapolis said they completed the formation of dow <unk> a joint venture combining their <unk> businesses as well as dow 's industrial <unk> business
 the companies said dow <unk> will be the largest <unk> agricultural concern in north america with projected <unk> revenue of $ N billion
 dow will own N N of the venture with eli lilly holding the rest
 the venture will be based in indianapolis
 william a. <unk> N years old president of the el paso natural gas co. unit of this energy and <unk> concern was named to the additional post of chief executive officer succeeding <unk> h. <unk> N who continues as a vice chairman of the parent
 <unk> <unk> the <unk> founder of this maker of data communications products and a former chairman and chief executive resigned as a director
 dataproducts is fighting a hostile tender offer by dpc acquisition partners a group led by new york-based <unk> investments associates
 under the circumstances dataproducts said mr. <unk> said he was unable to devote the time required because of other commitments
 mr. <unk> will remain as a director <unk>
 the company had no comment on whether a replacement would be named
 robert <unk> <unk> president <unk> university of florida and a director of this maker of medical devices was named chairman
 dr. <unk> N years old succeeds alexander t. <unk> N who did n't stand for re-election due to mandatory board retirement policy
 <unk> technologies said william p. <unk> was elected chairman and chief executive officer of this troubled electronics parts maker
 the 45-year-old mr. <unk> who has a background in crisis management succeeds alan d. <unk> N
 jerome j. <unk> executive vice president and chief financial officer said mr. <unk> was resigning by mutual agreement with the board
 he is going to pursue other interests mr. <unk> said
 mr. <unk> could n't be reached
 mr. <unk> the company said will retain the rest of the current management team
 for the nine months ended july N <unk> technologies reported a net loss of $ N on sales of $ N million
 that compared with an operating loss of $ N million on sales of $ N million in the year-earlier period
 in national over-the-counter trading <unk> technologies shares closed yesterday at N cents a share up N cents
 sales of new cars in europe fell N N in september from a year earlier and analysts say the market could continue to soften in the months ahead
 after a <unk> pace early this year analysts say the market after a series of sharp swings in recent months now shows signs of retreating
 statistics from N countries which normally account for N N of <unk> europe 's passenger car sales showed new car <unk> totaled N in september down N N from august and down N N for the year to date
 tokyo stocks rebounded tuesday from two consecutive daily losses in relatively active dealings
 london shares also rose while trading in frankfurt west germany ended higher
 in tokyo the nikkei index of N selected issues was up N points to N
 the index fell N monday
 volume on the first section was estimated at N million shares up from N million shares monday
 advancing issues outnumbered decliners N to N while N issues were unchanged
 <unk> buying targeted at <unk> issues pushed up the nikkei
 but other sectors failed to attract investor interest and remained sluggish making overall trading appear mixed
 individuals and corporations as well as dealers trading for their own account actively bought tuesday
 an official at <unk> securities said these investors feel the need to make quick profits despite <unk> external factors such as political uncertainty tied to the ruling party 's fate at next year 's lower house elections an event which could directly affect the stock market
 the tokyo stock price index of all issues listed in the first section which declined N on monday was up N or N N at N on tuesday
 the second section index which fell N points monday was up N points or N N to close at N
 second section volume was estimated at N million shares unchanged from monday
 institutional investors mostly remained on the sidelines tuesday
 a fund manager at a life-insurance company said three factors make it difficult to read market direction
 first he said domestic interest rates are likely to stay at higher levels as increased anticipation of inflation followed rising consumer prices reported last week
 second the dollar is showing persistent strength despite a slowdown in the u.s. economy shown by economic indicators
 third oil prices have n't declined although supply has been increasing
 the topic that attracted participants ' attention was mitsubishi estate 's purchase of N N of rockefeller center properties announced late monday in new york
 mitsubishi estate ended the day at N up N
 the gains also sparked buying interest in other real-estate companies traders said
 <unk> realty & development rose N to N
 <unk> real estate gained N to N
 investor focus shifted quickly traders said
 many of the <unk> winners turned out to be losers by afternoon
 in other stock-market news the tokyo stock exchange said that for the week ended friday the balance of margin buying rose N billion yen $ N billion to N trillion yen $ N billion
 the balance of short positions outstanding fell N billion yen to N billion yen
 in london prices finished at intraday <unk> <unk> by a reassuring early performance on wall street and news that the british government will waive its golden share in auto maker jaguar
 but trading was very <unk> as investment decision makers remain wary from gyrations and <unk> of recent weeks
 volume has been <unk> said a dealer at a british brokerage concern
 the market was dragged up by the <unk> of its neck by wall street and by market makers getting caught short
 no one wants stock on their books
 meanwhile the broad-based financial times 100-share index added N points to end at N while reaching its minimum of N a half hour into the session
 at the close the narrower 30-share index was up N points to N
 volume totaled a modest N million shares up from N million shares monday
 the market also moved at early afternoon on news that jaguar shares were being temporarily suspended at N pence $ N each
 secretary of state for trade and industry nicholas ridley said later in the day that the government would abolish its golden share in jaguar the luxury auto maker being <unk> by general motors and ford motor
 the golden share dates from jaguar 's public offering in N and was designed to protect the company from takeover
 the golden share was scheduled to expire at the beginning of
 but although the golden share has been <unk> a hostile bidder for jaguar would still have to alter the british concern 's articles of association which ban <unk> of more than N N
 jaguar shares closed at N pence up N pence on hefty turnover of N million shares
 as the london trading session drew to a close the market was still listening to the parliamentary debate on the economy with new chancellor of the exchequer john major expected to clarify his approach to the british economy and currency issues
 on the frankfurt stock exchange share prices closed higher in fairly thin trading as selective buying by foreigners helped <unk> prices
 the dax index closed at N up from N
 despite the modest gains traders said the market remains <unk> with investors remaining cautiously on the sidelines
 contributing to the market 's reserved stance was the release later in the day of new data on the health of the u.s. economy in the form of the u.s. index of leading indicators
 additionally the end of the month <unk> might have also played a minor role traders said
 elsewhere share prices closed higher in amsterdam brussels milan and paris
 prices were mixed in zurich and lower in stockholm
 stocks closed higher in hong kong manila singapore sydney and wellington but were lower in seoul
 taipei was closed for a holiday
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 french consumer prices rose N N in september from the previous month and were up N N from a year earlier according to definitive figures from the national statistics institute
 the state agency 's figures confirm previous estimates and leave the index at N up from N in august and N a year earlier
 the index is based on N equaling N
 a breakdown showed that food prices were the most active part of growth with a rise of N N
 an official linked the gain essentially to higher prices for beef and pork
 he said summer drought problems that had hit several southern agricultural regions had stopped being a major source of price pressure in september
 japan 's index of leading indicators rose to N in august above the so-called <unk> line of N for the first time since may the economic planning agency said
 the leading index recovered from july 's revised level of N on strong performances in consumer <unk> and machinery orders among other factors according to an agency spokeswoman
 the index is intended to measure future economic performance
 a figure above N indicates the economy is likely to expand one below N indicates a <unk> may be ahead
 metromedia co. said its metromedia long distance unit has been renamed <unk> long distance reflecting acquisitions from itt corp. which licenses its name to closely held metromedia
 metromedia said its unit is the <unk> provider of long-distance communications service in the u.s. with projected N revenue of more than $ N million
 metromedia headed by john w. <unk> has interests in telecommunications <unk> painting computer software restaurants and entertainment
 south korean consumer prices rose N N in the first N months of this year matching the government 's target for the entire year according to the bank of korea and the economic planning board
 according to reports released by the two government agencies domestic consumer and wholesale prices each rose by N N in october from the previous month
 as a result consumer prices for the first N months of N surged by N N and wholesale prices by N N
 the south korean government had been projecting a N N consumer price increase for the entire year
 martin <unk> corp. said it won a $ N million contract from the u.s. postal service to manufacture and install automated <unk> machines
 under terms of the three-year contract martin <unk> said it will make and install N of the new machines at N postal offices
 the new machines are capable of <unk> by zip code up to N large flat mail pieces including magazines and <unk> an hour
 thomas a. <unk> N years old formerly vice president west coast operations at this <unk> <unk> concern was named executive vice president and chief operating officer both newly created posts and a director filling a vacancy
 <unk> said it anticipates naming mr. <unk> to succeed richard f. <unk> N as president and chief executive officer effective march N
 mr. <unk> will remain a <unk> board member and will be a consultant to the company
 yields on <unk> certificates of deposit dropped slightly in the week ended yesterday
 the average yield on a six-month cd of $ N or less was N N compared with N N a week earlier
 the average one-year <unk> cd was down to N N from N N according to banxquote money markets a new york information service that tracks cd yields
 this week was <unk> for the cd market said <unk> mehl chairman of banxquote
 the major banks have n't even reacted to sharp rises in the three-month treasury bill rates in the past two weeks
 banks that adjusted payouts on cds in the most recent week made only <unk> moves he said
 the cd trend runs counter to the direction of short-term interest rates at the treasury bill auction monday
 the average six-month bill was sold with a yield of N N up from N N
 the average three-month issue rose to N N from N N
 typically banks offer cd yields higher than those on treasury bills which are considered the <unk> short-term investments banks need a competitive edge to sell their products
 but when market interest rates move up rapidly increases in bank cd yields sometimes lag
 most yields on short-term jumbo cds those with denominations over $ N also moved in the opposite direction of treasury bill yields
 the average six-month yield on a jumbo cd was at N N down from N N banxquote said
 for longer-term cds yields were up
 the average two-year and five-year <unk> were up N of a percentage point to N N and N N respectively
 however cds sold through major broker-dealer networks were up slightly almost across the board
 the average six-month cd in that category added N percentage point to N N for example
 mr. mehl attributed the rise specifically to the treasury bill increase
 among the major banks surveyed by banxquote in six regions of the country N N is the highest yield available
 it is offered by the flagship banks of new york 's manufacturers hanover corp. in the one-year maturity only
 the yield is offered across a range of maturities at san francisco 's bankamerica corp. and wells fargo & co
 just two weeks ago bankamerica 's yields in many of those maturities was N N
 still on average the major california banks have the highest yields on cds according to banxquote
 the average yield there on six-month issues is N N
 i had to reach back to french N when the <unk> <unk> <unk> <unk> over my shoulder during the coffee phase of dinner and asked whether i wanted to ride in a <unk>
 i was a last-minute read <unk> <unk> at a french journalism convention and so far the <unk> had been taken up entirely by eating drinking smoking sleeping and drinking
 the man with the <unk> represented a <unk> attempt to introduce a bit of <unk> <unk> into our <unk>
 but as the french <unk> a <unk> state of <unk> when it comes to athletics try finding a <unk> machine in paris my fellow <unk> were having none of it
 the <unk> at my table simply <unk> more <unk> and <unk> at the suggestion of <unk> a perfectly good saturday morning to go <unk> or even <unk> ballooning to you the brothers <unk> french of course were the world 's first <unk> <unk>
 back in the u.s.a. this kind of <unk> <unk> activity wins <unk> <unk> responses
 as in you went ballooning
 in france
 americans it seems have followed malcolm <unk> 's <unk> lead and taken to ballooning in a <unk> way
 during the past N years the number of <unk> those who have passed a federal aviation authority <unk> test have swelled from a couple hundred to several thousand with some estimates running as high as N
 some N balloon shows are held annually in the u.s. including the world 's largest <unk> of <unk> <unk> <unk> the <unk> <unk> international balloon <unk> that attracts some N enthusiasts and more than N <unk> some of which are <unk> <unk> to resemble <unk> <unk> <unk> or a <unk> <unk>
 the <unk> balloon was denied official entry status this year
 but in <unk> a gray <unk> river town adjacent to france 's <unk> mountain region none of these <unk> <unk> for things <unk> was evident
 ballooning at the de <unk> hour of N a.m. held all the attraction for most people of <unk> <unk> work
 feeling the <unk> of a culture <unk> i promptly signed up
 the first thing anybody will tell you about ballooning is that it requires zip in the way of athletic <unk> or even a measure of <unk>
 so long as you do n't look down
 they will also tell you that even if you hate heights you can still balloon
 i still say do n't look down
 at least not when you are <unk>
 what they wo n't tell you is not to go <unk> in anything you do n't want to get <unk>
 i 'm not referring to the traditional champagne <unk> during the <unk> <unk>
 i 'm talking about landing in a <unk>
 in a <unk> <unk> basket
 with a pilot who speaks no english
 to <unk> my <unk> <unk> and <unk> are referred to as <unk> began at <unk> on a <unk> <unk> and ended at noon in a <unk> field
 balloon flights almost always occur at <unk> or <unk> when the <unk> are <unk>
 in between came lots of coffee drinking while watching the <unk> <unk> and lots of standing around deciding who would fly in what balloon and in what order the baskets hold no more than four passengers
 when it was n't my turn in the balloon i followed its progress from the chase car listening to the driver <unk> into a <unk>
 after long <unk> of this <unk> ground activity came N or so lovely minutes of <unk> above the <unk> watching the silver <unk> rise off the river and the french <unk> <unk> about the fields
 it 's hard not to feel that god 's in his <unk> with this kind of <unk> view of the world even if your <unk> in silly <unk> <unk> kept pointing out how <unk> it all was
 eventually little french farmers and their little french <unk> came out of their stone houses and put their hands above their tiny eyes and <unk> at us
 no wonder
 we were coming down straight into their <unk>
 see the other rule of <unk> about ballooning is that you ca n't steer
 and neither can your pilot
 you can go only up or down by heating the balloon 's air with a propane <unk> which does make the top of your head feel hot and ride the air <unk>
 which makes the chase car necessary
 most <unk> seldom go higher than N feet and most average a <unk> N miles an hour
 when the balloon is <unk> along at a steady <unk> there is little sense of motion
 only when one is <unk> or in our case <unk> a <unk> <unk> <unk> does one feel well <unk> in a <unk> basket
 what 's he doing <unk> my companion who was the only other <unk> member of the convention and whose <unk> were white
 attention <unk> our pilot as our basket plunged into the <unk>
 you bet attention i <unk> back leaping <unk> the propane tanks i 'm wearing <unk> <unk>
 our pilot simply <unk> fired up the <unk> and with another blast of <unk> lifted us oh a good <unk> above the water level
 we <unk> along for a few feet before he plunged us into the drink again
 eventually we came to rest in a <unk> patch of field where we had the <unk> pleasure of scrambling out of the basket into the <unk> while the french half of our ballooning tag team scrambled in
 i looked at my watch
 barely <unk> <unk>
 back in the chase car we drove around some more got stuck in a <unk> <unk> the aid of a local farmer to get out the <unk> <unk> and pull us out of the <unk>
 we finally <unk> with our balloon which had come to rest on a <unk> road amid a <unk> of <unk> who watched us <unk> our craft another <unk> of <unk> activity that included the precision routine of <unk> the balloon to the ground <unk> all the air out of it rolling it up and <unk> it and the basket into the <unk>
 it was the most exercise we 'd had all morning and it was followed by our driving immediately to the <unk> <unk> hole
 this meant returning to the golf course where we watched a few french <unk> <unk> the first <unk> while we sat under <unk> <unk> me nursing an <unk> and my <unk>
 a whole morning of ballooning and i had been off the ground barely N minutes
 still i figured the event 's <unk> back in the u.s.a. was near <unk>
 as for the ride back to camp our pilot and all the other <unk> passengers <unk> into the chase car
 my american companion and i were left to ride <unk> in the <unk> basket
 as we <unk> by a <unk> <unk> i could n't resist <unk> up on my <unk> <unk> and <unk>
 ms. de <unk> is a free-lance writer
 treasury undersecretary david mulford defended the treasury 's efforts this fall to drive down the value of the dollar saying it helped minimize damage from the 190-point drop in the stock market oct. N
 <unk> before a house subcommittee mr. mulford said that if the treasury had n't intervened in foreign-exchange markets in september and early october to reduce the dollar 's value the plunge in the stock market might have provoked a steep fall in the currency that might have <unk> financial markets
 mr. mulford responding to critics of intervention also said intervention is highly visible is taken seriously by financial markets and works better than was recognized some time ago
 differences between the treasury and the federal reserve on the <unk> of intervention to help restrain the dollar <unk> at the hearing
 fed vice chairman manuel johnson who had <unk> from the treasury 's policy told lawmakers i became convinced about what looked to me like an attempt to push the dollar down against the fundamentals in the market
 intervention he added is useful only to smooth <unk> markets not to fundamentally influence the dollar 's value
 rep. john <unk> d. n.y said mr. johnson refused to testify jointly with mr. mulford and instead asked to appear after the treasury official had completed his testimony
 a fed spokesman denied mr. <unk> 's statement
 mr. mulford said reports of tension between the treasury and fed have been <unk> insisting that they involved <unk>
 mr. johnson also said that in the scheme of things these things are minor
 on other matters mr. mulford said west germany is contributing to imbalances in the world economy because of its success as an exporter
 the solution is stronger domestic growth in germany he said
 but because the growth of the german economy has been stronger than expected mr. mulford said it 's difficult for the u.s. to argue that germany ought to adopt more <unk> monetary and fiscal policies
 germany 's trade surplus is largely with other european countries rather than with the u.s. mr. mulford acknowledged
 but nonetheless u.s. companies might be more successful in european markets if not for the german export push he said
 the board increased by one to N members
 in the past year one inside director resigned while three others retired
 some u.s. allies are complaining that president bush is pushing <unk> talks too quickly creating a risk that negotiators will make errors that could affect the security of western europe for years
 concerns about the pace of the vienna talks which are aimed at the destruction of some N weapons as well as major reductions and <unk> of troops in central europe also are being registered at the pentagon
 mr. bush has called for an agreement by next september at the latest
 but some american defense officials believe the north atlantic treaty organization should take more time to examine the long-term implications of the options being considered
 for one thing pentagon officials who asked not to be identified worry that the u.s. will have a much tougher time <unk> europeans to keep some <unk> nuclear weapons on their soil once soviet <unk> forces are <unk> out
 at the same time they contend that a reduction of nato forces under a treaty will increase the possibility of a conventional soviet attack unless the west retains a <unk> force of nuclear weapons in europe
 allies concerned about the deadline include the british french and smaller nato allies some of whom do n't have adequate staffs to provide quick answers to the questions being raised by what generally are considered the most complex arms-control talks ever attempted
 so far no ally has complained openly preserving the impression that nato is in line with the bush position that a quick agreement bringing soviet conventional forces down to parity with nato is the west 's top bargaining priority
 but even though nato negotiators have only N months left under the bush timetable they are still <unk> over such seemingly fundamental questions as what is a tank
 five of the six categories of weapons under negotiation have n't even been defined
 tanks currently are defined as <unk> vehicles weighing N tons or more that carry large guns
 the soviets complicated the issue by offering to include light tanks which are as light as N tons
 <unk> a. <unk> the chief soviet negotiator in the <unk> talks argued that this would mean the soviets would have to destroy some N tanks while the u.s. would lose none because it has no light tanks in europe
 but the issue is <unk> than it seems
 france britain and italy all have light tanks they would like to keep out of the talks
 and some u.s. army analysts worry that the proposed soviet <unk> is aimed at blocking the u.s. from developing lighter more <unk> high-technology tanks
 <unk> combat aircraft is even tougher
 the soviets insisted that aircraft be brought into the talks then argued for <unk> some N russian planes because they are solely defensive
 nato has n't <unk> from its insistence that any <unk> plane has offensive capability
 the dispute over that issue according to one u.s. official is a potential treaty <unk> and only president bush and soviet leader mikhail gorbachev may be able to resolve it
 accounting problems raise more <unk> issues
 greece and turkey for example are suspected of <unk> their <unk> in hopes that they can emerge from the <unk> treaty with large remaining forces to deter each other
 other nations are n't sure how many weapons they have in their own <unk>
 it 's just going to be sloppy both on our side and theirs the warsaw pact 's says one nato analyst
 so far neither the bush administration nor arms-control experts in congress seem moved by arguments that these problems may take more time to <unk> out than president bush has allowed
 they argue that the bigger danger would be that the west would delay action so long that the soviets might back away from the current <unk> attitude
 so what if you miss N tanks somewhere asks rep. norman <unk> d. wash. a member of the house group that visited the talks in vienna
 the bottom line is that if we can get that warsaw pact <unk> brought down to parity we ought to keep pressing ahead as quickly as possible
 i worry more about things becoming so unraveled on the other side that they might become unable to negotiate
 international lease finance corp. announced a leasing contract with charter carrier american trans air inc. in a transaction involving six boeing co. <unk>
 the value of the jets including <unk> is in excess of $ N million
 two of the <unk> are new aircraft to be delivered to american trans air the main subsidiary of <unk> inc. in december N and january N
 four of the planes were purchased by international lease from singapore airlines in a previously announced transaction
 delivery of the first aircraft is set for early november a second for december and two for april N
 norway 's unemployment rate for october was N N unchanged from september but up from N N in the same month last year
 the figure <unk> a record number employed by extraordinary government work programs the labor <unk> announced tuesday
 including those in the state programs there were N <unk> or about N N of the work force without permanent employment in october up from september 's N
 the number of people registered as jobless at the end of october declined by N from september to N
 those employed in <unk> special programs increased by N to N in the same period the <unk> said
 in october N there were N fewer employed by government programs
 coca-cola co. aiming to boost soft-drink volume in singapore said it is discussing a joint venture with fraser & <unk> ltd. its bottling franchisee in that country
 the venture would be the latest in coke 's rapid expansion of overseas investment
 so far this year it has put nearly $ N million into bottling operations in australia new zealand and france
 the move also reflects coke 's eagerness to have a hand in developing the soft-drink markets in pacific basin countries
 aside from europe the pacific division is where coke will be focusing much of its attention for years to come
 that 's because when coke looks to the pacific area it sees an economic and <unk> gold mine
 in countries such as taiwan south korea and singapore economies are growing resulting in a rise in disposable income that consumers can use for soft drinks
 and unlike europe and the u.s. where <unk> are aging the pacific basin countries have growing <unk> of <unk> the heaviest consumers of coca-cola and other <unk>
 a coca-cola spokesman said it is too early to say how the joint venture would be structured or how much the company would invest in the transaction
 in the past however coke has typically taken a minority stake in such ventures
 by acquiring stakes in bottling companies in the u.s. and overseas coke has been able to improve <unk> ' efficiency and production and in some cases marketing
 coke has <unk> to increase its control when results were sluggish in a given country
 that does n't appear to be the case in singapore a country of about three million people with a relatively high soft-drink consumption rate a key indicator of coke 's success in a market
 in singapore <unk> consumption is about one-third that of the u.s.
 and combining fraser & <unk> 's own soft drinks with coca-cola 's gives the singapore company more than half the share of the soda market there coke said
 fraser & <unk> which also has interests in packaging beer and dairy products holds the coke licenses for malaysia and <unk> where <unk> consumption is n't as high as in singapore
 coke could be interested in more quickly developing some of the <unk> potential in those markets
 a coke spokesman said he could n't say whether that is the direction of the talks
 coke said the joint-venture arrangement which needs approval from both companies ' boards should be completed early next year
 american brands inc. old greenwich conn. said it increased its quarterly N N to N cents a share from N cents payable dec. N to stock of record nov. N
 the increase follows the company 's report of strong earnings for the third quarter and reflects what american brands called its tradition of sharing earnings growth with shareholders
 american brands is a consumer products company with core businesses in tobacco <unk> spirits and life insurance
 as of sept. N american brands had N million shares outstanding
 giovanni agnelli & co. announced a transaction that will strengthen its indirect control of fiat s.p a. and will admit prince <unk> aga khan as its first <unk> shareholder
 giovanni agnelli a limited partnership that is the master holding company for fiat 's agnelli family owns approximately N N of the shares in <unk> <unk> <unk> which in turn owns approximately N N of fiat italy 's biggest private-sector industrial group
 the company said maria sole agnelli <unk> sister of fiat chairman giovanni agnelli agreed to trade her shares in ifi for new ordinary shares in the limited partnership which will give her control of N N of giovanni agnelli & co
 the aga khan meanwhile agreed to trade some of his stake in <unk> <unk> s.a. another agnelli family company for N N of giovanni agnelli & co. 's capital
 his new stake would be in the form of preferred shares which receive higher dividends but have voting rights only in extraordinary shareholders <unk>
 the aga khan owns N N of <unk> 's capital while ifi owns N N
 as a result of the transaction which is expected to be approved at a shareholders meeting nov. N giovanni agnelli & co. will control N N of ifi 's ordinary shares
 its capital will also be raised to N billion lire $ N million from the current N billion lire
 ifi also has <unk> preferred shares which are quoted on the milan stock exchange
 the value of the two transactions was n't disclosed but an ifi spokesman said no cash would change hands
 the move <unk> the existing links between the <unk> and the aga khan the head of the world 's <unk> <unk> who is a longtime family friend and frequently goes sailing with mr. agnelli
 mr. agnelli and the aga khan also have some business ties and a spokesman for the agnelli company did n't rule out that the current agreement could lead to further collaboration
 for instance <unk> earlier this year bought an N N stake in <unk> the aga khan 's airline which flies between italy and <unk>
 giovanni agnelli & co. which was formed in january N as a way of keeping the <unk> ' controlling stake in fiat together despite an <unk> family tree has been playing a more active role in the agnelli group of late
 it raised financing of N billion lire for the purchase this summer by another <unk> group of the food concern <unk> s.p a. by selling a chunk of its ifi shares to <unk> s.p a.
 <unk> said during the weekend that it agreed to sell the shares back to giovanni agnelli for N billion lire
 your oct. N page-one article on people riding so-called <unk> on railroad tracks was a <unk> to your readers
 it unfortunately encourages others to engage in a highly dangerous and illegal activity that only a very few are doing now
 and it <unk> such activities in a <unk> <unk> fashion with total <unk> to common sense and public safety
 saul <unk>
 vice president
 public affairs
 <unk>
 mci communications corp. said it received a three-year contract valued at more than $ N million to provide network credit-card and other telecommunications services to drexel burnham lambert inc
 congressional democrats and the bush administration agreed on a compromise minimum-wage bill opening the way for the first <unk> boost in more than nine years
 the agreement ended a long <unk> between the congressional leaders and the white house over the wage issue
 president bush in june vetoed a measure passed by congress and said he would n't accept any minimum-wage rise that went beyond limits he set early in this year 's debate on the issue
 the compromise was a somewhat <unk> version of what the white house had said it would accept
 under the agreement with the house and senate leaders the minimum wage would rise from the current $ N an hour to $ N an hour by april N
 employers could also pay a <unk> training wage for N days to new workers who are up to N years old and then for another N days if the company institutes a specific training program for the newcomers
 white house officials were <unk> that the compromise includes the concept of a training wage which mr. bush has fought for throughout the year
 for the first time in history we have a training wage that will be part of the nation 's labor laws said roger porter assistant to the president for economic and domestic policy
 white house aides said that although they made a small compromise on the length of a training wage the final minimum-wage increase will meet the standards set by mr. bush
 the bill vetoed by the president in june which the house failed to override would have lifted the minimum wage to $ N an hour by late N with a training wage for up to two months generally for a worker 's first job
 mr. bush had been holding out for a bill boosting the wage floor to $ N an hour by the end of N coupled with a six-month training wage for workers newly hired by any employer
 under the compromise the $ N level would be reached nine months earlier while the training <unk> would be shorter unless it is tied to a training plan
 democrats argued that the training wage was a way of allowing employers to pay less than the minimum wage while new workers need far less than six months to be trained for their jobs
 democrats had been negotiating with some republican congressional leaders on a compromise lately
 with congressional elections next year gop leaders have worried about opposing a minimum-wage rise for <unk> workers at a time when congress is moving toward a capital-gains tax cut that would directly benefit <unk> taxpayers
 republicans have been <unk> the white house to compromise on the wage issue
 in the senate edward kennedy d. mass. chairman of the labor committee and pete <unk> r. <unk> ranking minority member of the budget committee have been working on a compromise and their <unk> showed that the senate appeared to be heading toward enough strength to override another bush veto a democratic staff official said
 the house is scheduled to vote this week on the compromise as a substitute to a new democratic bill itself <unk> down from last spring 's version
 the senate will probably vote not long afterward
 some democrats thought they might have <unk> too much
 rep. austin murphy d. pa. chairman of the house labor standards subcommittee said they might have done better if we 'd held their feet to the fire
 mr. kennedy suggested democrats yielded a great deal on the size of the increase but he cited concessions from the white house on the training wage which he said make it less harsh
 with only <unk> to <unk> eligible N N of workers getting less than $ N an hour who are adults wo n't be subject to the training wage he said
 the <unk> which previously opposed the administration 's <unk> idea said the compromise has adequate <unk> so the youth are not <unk> and older workers are not <unk>
 gerald f. <unk> contributed to this article
 moody 's investors service inc. said it lowered the ratings on about $ N billion of houston lighting & power co. 's securities because of the company 's low levels of interest coverage and internal cash generation
 houston lighting is a unit of houston industries inc. a utility holding company in houston
 downgraded by moody 's were houston lighting 's <unk> bonds and secured <unk> bonds to single-a-3 from single-a-2 unsecured <unk> bonds to <unk> from single-a-3 preferred stock to single-a-3 from single-a-2 a shelf registration for preferred stock to a preliminary rating of single-a-3 from a preliminary rating of single-a-2 two shelf <unk> for collateralized debt securities to a preliminary rating of single-a-3 from a preliminary rating of single-a-2 and the unit 's rating for commercial paper to <unk> from <unk>
 moody 's said houston lighting 's current situation has some positive aspects including managing very well the construction and commercial operation risks of units N and N of the south texas project nuclear power plant
 capital requirements will be declining and no new generating facilities will be required for several years moody 's said
 scott c. smith formerly vice president finance and chief financial officer of this media concern was named senior vice president
 mr. smith N retains the title of chief financial officer
 armstrong world industries inc. agreed in principle to sell its carpet operations to shaw industries inc
 the price was n't disclosed but one analyst estimated that it was $ N million
 armstrong which has faced a takeover threat from the <unk> family of canada since july said that <unk> of the carpet business would improve total financial performance
 the move also would allow the company to concentrate on core businesses which include ceramic <unk> floor <unk> and furniture
 moreover such a sale could help armstrong <unk> its investors and deter the <unk> who own a N N stake in the lancaster pa. company
 analysts expect armstrong to use proceeds of the sale to reduce debt buy back stock or perhaps finance an acquisition
 the carpet division had N sales of $ N million or almost N N of armstrong 's $ N billion total revenue
 the company has been manufacturing carpet since N
 recently it upgraded its plants so that it could make <unk> products with higher quality <unk>
 for the past year or two the carpet division 's operating profit margins have <unk> around N N high by industry standards but disappointing compared with the N N to N N margins for two of armstrong 's chief businesses <unk> and building products
 analysts hailed the planned transaction as being beneficial to armstrong and shaw the market leader in the u.s. carpet industry with an estimated N N to N N share
 shaw based in <unk> ga. has annual sales of about $ N billion and has economies of scale and lower <unk> costs that are expected to boost the profitability of armstrong 's brands sold under the armstrong and <unk> names
 yesterday in composite trading on the new york stock exchange shaw 's shares closed ex-dividend at $ N up $ N
 armstrong 's shares also listed on the big board closed at $ N up N cents
 yesterday armstrong reported flat earnings for the third quarter and nine months <unk> by the stock <unk> of an employee stock ownership plan adopted earlier this year
 for the quarter earnings were $ N million or N cents a share including a one-time gain of $ N million
 in the year-ago quarter earnings were $ N million or N cents a share
 yesterday armstrong announced an agreement to sell its small applied color systems unit to a subsidiary of the swiss company <unk> <unk> ltd
 the price was n't disclosed
 armstrong expects to close the sale of the color unit in late november and the carpet sale in december with the gains to be applied to fourth quarter or first-quarter results
 the government 's primary <unk> gauge rose a slight N N in september but economists said the report offered little new information on the degree to which the u.s. economy is slowing
 the small increase in the index of leading indicators which had climbed N N in august but was unchanged in july does lend support to the view that the economy has slowed <unk>
 however it does n't give much of a clue as to whether a recession is on the horizon
 i do n't think it provides much new information on the economy said richard <unk> economist at dean witter reynolds inc
 so far this year the index of leading indicators has risen in four months fallen in four months and remained unchanged in the other month
 in another report yesterday the commerce department said sales of new single-family houses plunged N N in september to an annual rate of N from N in august
 the declines were particularly <unk> in the northeast and in the south where hurricane hugo was a factor
 although september 's weakness followed two strong months for home sales the decline supports other indications that the drop in mortgage rates earlier this year has had only a limited beneficial effect on the housing market
 the september drop was the largest since a N N drop in january N but monthly changes in this measure are even less <unk> than those in other economic indicators
 because the figures are based on a small sample the department said it is N N confident only that new-home sales fell somewhere between N N and N N during the month
 the department also said it takes four months to establish a trend
 so far this year N newly built homes have been sold down N N from the like months of N
 the index of leading indicators got a major boost in september from a surge in consumer expectations as measured by the university of michigan
 this measure had dropped sharply in august
 the commerce department said that as a result of a new adjustment to the formula used to calculate the index the influence of this component has been reduced
 of the N components to the index only three others rose in september the money supply the length of the average work week and stock prices
 several components that track the health of the manufacturing sector of the economy turned down in september
 these include new orders for manufactured consumer goods lead times on vendor deliveries orders for new plant and equipment and backlogs of orders for durable goods
 meanwhile the national association of manufacturers said yesterday a recent poll of N executives on its board found that N N do n't expect a recession to occur until N or later
 the remainder expect a downturn to begin sometime in
 although manufacturers often are quick to call for lower interest rates N N of the executives said they would prefer that the fed keep <unk> as its top priority even if that means higher rates
 the other N N said the fed ought to worry less about inflation and bring interest rates down
 all the figures are adjusted to remove usual seasonal patterns
 here are the net contributions of the components of the commerce department 's index of leading indicators
 after various adjustments they produced a N N rise in the index for august and a N N rise for september
 september and the change from august are from N in the previous month
 boston edison co. said it will take a previously reported $ N million charge against earnings in the fourth quarter
 the charge resulted from a settlement approved yesterday by the massachusetts department of public utilities
 as expected the settlement limits rate increases for three years and ties future charges to customers for operation of the troubled <unk> nuclear power station to that plant 's performance
 in its order the state regulatory agency said the company must be held <unk> for the mistakes made in the management of the plant 's operation
 <unk> had been closed for N months
 the average interest rate rose to N N at citicorp 's $ N million weekly auction of <unk> commercial paper or corporate <unk> from N N at last week 's sale
 bids totaling $ N million were submitted
 accepted bids ranged from N N to N N
 citicorp also said that the average rate rose to N N at its $ N million auction of <unk> commercial paper from N N at last week 's sale
 bids totaling $ N million were submitted
 accepted bids ranged from N N to N N
 the bank holding company will auction another $ N million in each maturity next tuesday
 an <unk> novelist writing a <unk> about <unk> <unk> might <unk> a clifford stoll but it 's unlikely
 it 's also unnecessary
 <unk> <unk> clifford stoll is a real person or as he might <unk> put it a <unk> person
 he is N an <unk> with impressive credentials and something of a <unk> at making computers do his bidding
 he once described himself as a berkeley <unk> and played the role well <unk> <unk> jeans a <unk> of long hair and rejection of all things conventional including for a time at least formal marriage to his <unk> <unk> matthews
 he also is an entertaining writer combining <unk> and <unk> with <unk> detail and <unk> <unk> of how computers work
 in the <unk> 's egg <unk> N pages $ N he <unk> a remarkable tale of his efforts over N months to catch a computer spy
 the result last spring was the arrest by west german authorities of five young west germans accused of stealing information from computers in the u.s. and europe and selling it to the soviet kgb
 one of them <unk> <unk> hess of <unk> allegedly used the international telecommunications network to break into more than N <unk> computers in the u.s. searching for secrets
 he probably did n't <unk> any <unk> files but the kgb in east berlin was willing to pay two of his associates peter carl and <unk> <unk> $ N for some of the material hess collected
 they promised yet more for really good stuff
 mr. stoll draws his title from the <unk> 's habit of laying eggs in the <unk> of other birds making them <unk> parents
 the computer spy had discovered that a popular <unk> mail program called <unk> could do <unk> with the widely used unix operating system created by at&t
 using <unk> the spy could substitute a <unk> <unk> program for the one that routinely <unk> up the unix system every five minutes
 once his <unk> 's egg was laid he could enter unix and become a <unk> with access to everything
 mr. stoll was <unk> the <unk> at the <unk> <unk> of the lawrence berkeley laboratory in N when his grant ran low and he was asked to switch to helping run the lab 's computers
 he discovered a <unk> <unk> in the charges made to various departments for computer time and <unk> it to a user named hunter who had no valid billing address
 mr. stoll suspected the <unk> was one of those <unk> students who has fun breaking into computers
 but after much tracking it became evident to mr. stoll through various clues that the hacker was not on the berkeley campus or even in california
 finding him became an <unk> for mr. stoll
 he made a midnight <unk> of all the printers he could lay hands on so that he could monitor all the telephone lines coming into the lab 's computers
 after <unk> that the hacker had taken over the <unk> account of a legitimate user named joe <unk> he <unk> up an alarm system including a portable <unk> to alert him when <unk> came on the line
 some nights he <unk> under his desk
 his boss complained about <unk> of other chores
 the hacker was <unk> over the berkeley files but also using berkeley and other easily accessible computers as stepping stones to the network of computers used by the military and national security agencies
 the white <unk> missile range and cia contractor <unk> inc. were among the targets
 when the hacker moved mr. stoll moved too calling up other systems managers to alert them but keeping his own system open to avoid <unk> <unk>
 sometimes if the hacker seemed to be into a sensitive file he would drag his <unk> across the terminal to create <unk> or slow the system down to <unk> his <unk>
 the fbi initially showed little interest and he had the impression other federal security agencies were <unk> up in legal red tape
 the cia told him it does not do domestic <unk>
 one <unk> a lot from this book or seems to about <unk> federal bureaucracy
 seems to because it 's possible that the cia and the national security agency were more interested than they let on to mr. stoll
 finally he got help
 <unk> is a major network linking computers
 one of its international specialists steve white took a quick interest in mr. stoll 's hunt ultimately <unk> the hacker to west germany
 the west germans then took over and finally found <unk> hess
 eventually mr. stoll was invited to both the cia and <unk> to brief <unk> officers on computer theft
 he <unk> the humor of his <unk> appearance among these <unk> <unk>
 back in berkeley he was <unk> <unk> by a <unk> lady friend for <unk> with such people
 he became angry in return
 he had developed a <unk> for the hacker and a <unk> appreciation of the federal <unk> who make national security their business
 at several different levels it 's a <unk> tale
 mr. <unk> is deputy editor of the journal
 mips computer systems inc. today will unveil a new <unk> computer that will compete with more expensive machines from companies such as sun microsystems inc. and digital equipment corp
 the closely held sunnyvale calif. company also will announce an agreement to supply computers to control data corp. which will sell mips machines under its own label
 the new mips machine called the <unk> will cost $ N for a basic system
 the computer processes N million instructions per second and uses only one central processing chip unlike many rival machines using several processors
 the machine employs reduced <unk> computing or risc technology
 at that price an analyst familiar with the machine said the computer offers up to N times the performance of similar machines
 in the price range it 's a <unk> <unk> product said <unk> <unk> an analyst at the <unk> firm <unk>
 the machine is part of an effort by mips to establish itself as a supplier of computers not just of <unk> technology
 mips also wants to wedge into markets other than traditional risc applications such as engineering mips said the new machine will also be used by businesses and for communications
 this clearly demonstrates that mips is a systems company rather than just a chip company said mips vice president john <unk>
 the control data deal is a <unk> for mips because it gives the the <unk> company one more ally as it <unk> more established electronic concerns such as sun hewlett-packard co. motorola inc. and intel corp. for the emerging market for risc machines
 risc technology speeds up a computer by <unk> the internal software
 for mips which expects revenue of $ N million this year <unk> allies such as control data are essential to attract software developers to the company 's risc architecture
 the thing it says about mips is that they 're on a roll right now said ms. <unk> at <unk>
 they 're getting some major wins she added
 last month for example mips agreed to supply its computers to <unk> computer ag of west germany and france 's <unk> bull
 sony corp. tandem computers inc. and digital equipment have agreed to sell mips computers and companies such as japan 's nec corp. and west germany 's siemens a.g. have agreed to make mips chips under license
 today 's agreement gives control data a machine to compete against digital and other <unk> computer makers said john <unk> a <unk> analyst at <unk> group inc. of boston
 the machine is essentially a mainframe computer he said
 suddenly <unk> control data has a competitive product to fight back against the <unk> a machine digital announced last month he added
 control data based in minneapolis minn. expects its sales of mips systems including the new <unk> to amount to more than $ N million by the end of N mips said
 <unk> bull and others will also sell versions of the machine said mips president robert miller
 mips will start shipping its new machine in the first quarter of N he said
 the machine uses a single <unk> which makes it easier to program than competing machines using several processors
 the computer can process N million calculations called <unk> operations every second
 the machine can run software written for other mips computers the company said
 another fight is brewing between congress and the bush administration over how to pay for the savings-and-loan bailout without adding to the federal budget deficit
 in a hearing before the house ways and means committee the general accounting office and the congressional budget office which both are arms of congress advised the new s&l bailout agency to abandon plans to raise temporary working capital through debt issued from an agency that would n't be counted on the federal budget
 officials of the resolution trust corp. have said privately that such a plan was the most likely alternative to raise short-term cash for the bailout
 instead the <unk> and the congressional budget office said the rtc should consider using treasury debt which is less expensive and subject to oversight by congress
 the spending could be <unk> from meeting deficit-reduction targets in the gramm-rudman budget law
 the rtc has projected that it will require between $ N billion to $ N billion in temporary working capital
 the borrowing to raise these funds would be paid off as assets of sick thrifts are sold
 the new s&l law allows the rtc to issue notes for as much as N N of the value of the assets it holds
 but higher interest rates paid on <unk> debt could add billions to the bailout costs and would n't be subject to congressional scrutiny ways and means members argued
 to allow this massive level of <unk> federal borrowing without prior congressional approval would be irresponsible said rep. <unk> stark d. calif. who has introduced a bill to limit the rtc 's authority to issue debt
 the rtc will have to sell or merge hundreds of insolvent thrifts over the next three years
 the new s&l bailout law allows $ N billion to be spent to sell or merge sick s&ls and their assets but that is a net cost
 in the meantime the agency must raise cash to maintain assets such as real estate until they can be sold
 then the short-term debt is paid off through the proceeds of selling the assets
 david mullins assistant secretary of the treasury said that the working capital is necessary to reduce the final costs of the bailout by allowing the agency to sell savings and loans without their bad assets then hold the assets until they can be sold under favorable conditions
 he said it has n't yet been determined how the rtc will raise the cash but the administration does n't want it to be included on the federal budget because it would <unk> the budget process by requiring either <unk> from gramm-rudman or big increases in the budget deficit
 but the worst possibility would be raising no working capital he said
 if working capital financing is not provided he said the rtc may have to slow s&l sales or dump acquired assets through fire sales
 <unk> eastern corp. said it applied on behalf of two of its subsidiaries to the federal energy regulatory commission for permission to build a <unk> $ N million pipeline system from <unk> county okla. to independence miss
 the natural gas pipeline concern said the N million cubic feet a day capacity pipeline would be built by a proposed joint venture between two <unk> eastern units texas eastern transmission corp. and <unk> gas co
 texas eastern transmission will build and operate the system which will <unk> the <unk> basin with several interstate pipelines
 now was that a quarter cup or a half cup
 not a <unk> question unless you 're the <unk> <unk> of this city 's <unk> <unk> restaurant and you 've just lost your <unk> personal <unk> notebook
 <unk> <unk> was listed among the top N restaurants in the world this year by <unk> magazine
 the <unk> black <unk> <unk> with N years ' worth of <unk> held together by rubber <unk> was in <unk> <unk> shere 's <unk> when it was stolen from her house recently
 the berkeley police do n't have any leads but doubt the crime was driven by a passion for <unk>
 instead they figure the <unk> probably took money from ms. shere 's <unk> and discarded all the tips in the <unk> <unk>
 <unk> <unk> whose founder alice waters is considered the inventor of the cooking style known as california <unk> and whose <unk> make reservations a month in advance has n't exactly <unk> <unk> to <unk> ice <unk> because of the theft
 for one thing ms. shere can draw on her <unk> published by random house four years ago which is <unk> with <unk> for such <unk> as <unk> <unk> <unk> fool a <unk> <unk> made with crushed <unk> <unk> and <unk> <unk> a la <unk>
 for another sympathetic fans have sent ms. shere copies of her <unk> <unk> from magazines over the years
 still the restaurant 's <unk> <unk> of <unk> <unk> it supposedly has n't repeated a <unk> since opening in N requires constant <unk>
 and that puts added pressure on <unk> <unk> <unk> planners
 we make what we know how to make says business manager richard <unk>
 many in the bay area 's <unk> community express <unk> that ms. shere kept only one copy of such valuable notes but she has received moral support from baker 's dozen a group of california <unk> chefs that meets regularly to discuss issues like how to keep <unk> from <unk> and how <unk> eating habits affect butter <unk>
 ms. shere has offered a $ N reward for the book 's return but figures she 'll have to <unk> many <unk> from <unk>
 it 's an overwhelming job she says
 there are so many possible <unk> when you consider how many things are made out of eggs and butter and milk
 newport electronics inc. named a new slate of officers a move that follows replacement of the company 's five incumbent directors last week
 milton b. hollander N years old was named chief executive officer succeeding barrett b. weekes
 mr. hollander 's stamford <unk> high technology holding co. acquired most of its N N stake in newport in august
 mr. hollander was named chairman last week succeeding mr. weekes who was among the ousted directors
 the company has declined requests to discuss the changes but mr. weekes has said that mr. hollander wanted to have his own team
 scott <unk> was named president and chief operating officer of u.s. operations titles that had been held by mr. weekes
 mr. <unk> was vice president of the instrument and controls division of closely held <unk> engineering inc. another company controlled by mr. hollander
 a company spokesman did n't know mr. <unk> 's age
 james r. <unk> N vice president of newport 's european operations was named executive vice president and chief operating officer of european operations assuming some former duties of mr. weekes
 arthur b. <unk> N an attorney was named secretary succeeding john virtue who was another of the ousted directors
 <unk> corp. declared a 2-for-1 stock split
 the wilmington mass. <unk> service company also boosted its quarterly dividend N N to three cents a share adjusted for the split
 the dividend had been five cents a share
 the split and quarterly dividend will be payable jan. N to stock of record nov. N the company said
 the split will raise the number of shares outstanding to about N million
 separately <unk> reported that net income rose N N to $ N million or N cents a share adjusted for the split for the fourth quarter ended aug. N
 a year earlier <unk> earned $ N million or N cents a share adjusted for the split
 sales rose to $ N million from $ N million
 <unk> corp. said it completed the previously reported sale of approximately N acres of <unk> near <unk> calif. to closely held sierra pacific industries corp. <unk> calif. for $ N million
 the lumber <unk> and <unk> concern said the transaction which includes a swap of other <unk> interests would result in a $ N million after-tax gain to be recorded in the fourth quarter
 healthcare international inc. said it reached a <unk> standstill agreement with its healthvest affiliate calling for healthcare to pay healthvest $ N million right away and additional amounts in the future
 under the agreement healthcare a manager of health-care facilities said it would pay healthvest $ N million in overdue rent and mortgage payments and repay $ N million in funds that healthvest advanced for construction work on facilities
 in return healthvest agreed that it wo n't exercise its rights and <unk> against healthcare during the <unk> period
 after the payment healthcare still will be $ N million in <unk> on rent and mortgage payments to healthvest a real estate investment trust whose portfolio consists largely of properties operated by healthcare
 healthcare has given healthvest a N N note for that overdue amount to be repaid over three years
 in addition healthcare agreed to make monthly rent and mortgage payments of $ N million to $ N million to healthvest during the standstill period to be paid when healthcare successfully <unk> asset sales
 because healthcare actually owes healthvest $ N million in rent and mortgage payments each month the amount due above the amount paid will be added to the three-year note
 the funds should help ease a cash <unk> at healthvest which has been unable to pay its debts because healthcare has n't made complete rent and mortgage payments since july
 a spokesman said healthvest has paid two of the three banks it owed interest to in october and is in negotiations with the third bank
 healthcare which has been in a severe liquidity <unk> said it is able to make the payments because it completed a transaction with <unk> rehabilitation group inc. in which <unk> purchased stock and warrants for $ N and <unk> healthcare $ N million
 the loan is backed by healthcare 's N N stake in healthvest and interest in certain facilities
 i was pleased to note that your oct. N centennial journal item recognized the money-fund concept as one of the significant events of the past century
 actually about two years ago the journal listed the creation of the money fund as one of the N most significant events in the world of finance in the 20th century
 but the reserve fund america 's first money fund was not named nor were the <unk> of the money-fund concept harry brown and myself
 we <unk> telephone redemptions daily dividends total elimination of share certificates and the constant $ N <unk> pricing all of which were painfully thought out and not the result of some <unk> on the part of the sec
 president
 the reserve fund
 the <unk> moment in the career of joseph f. o'kicki came as N local and state <unk> packed into his elegant <unk> courtroom here last year for his <unk> in as president judge of cambria county
 baskets of <unk> and <unk> <unk> <unk> his bench
 the local american <unk> color guard led the way
 as the judge marched down the center <unk> in his flowing black <unk> he was <unk> by a <unk> fanfare
 to many it was a <unk> more <unk> a king than a rural judge <unk> in the isolated foothills of the southern <unk> <unk>
 but then judge o'kicki often behaved like a man who would be king and some say an arrogant and <unk> one
 while his case may be extreme it reflects the <unk> of many small communities to <unk> judges
 last march nine months after the judge 's <unk> the state attorney general 's office indicted him on a sweeping array of charges alleging more than N years of official <unk> in cambria county a depressed steel and mining community in western pennsylvania
 the allegations ranging from theft and bribery to <unk> and <unk> <unk> a <unk> picture
 according to testimony in a public <unk> <unk> report handed up to the state attorney general judge o'kicki <unk> cash from lawyers <unk> favorable loans from banks and <unk> local businesses for more than a decade
 prosecutors in an indictment based on the grand jury 's report maintain that at various times since N he owned a secret and illegal interest in a beer <unk> <unk> hidden ownership interests in real estate that presented an alleged conflict of interest set up a <unk> corporation to buy a car and obtain insurance for his former girlfriend now his second wife and maintained N accounts in six banks in cambria county
 in testimony recorded in the grand jury report court employees said the judge now N years old <unk> his secretaries made imperial demands on his staff and <unk> anyone who crossed him
 <unk> claimed they were required to <unk> him to and from work <unk> his lawn <unk> his wood fix his car and even drop by his house to feed his two grown <unk> <unk> and <unk>
 one former <unk> charged that the judge <unk> him by <unk> on a promise of a better paying job after <unk> a $ N bribe
 some of the allegations are simply bizarre
 two former secretaries told the grand jury they were summoned to the judge 's chambers on separate occasions to take <unk> only to find the judge in his <unk> underwear
 one secretary testified that the judge once called her to his office while wearing nothing at all
 the judge suspended from his bench pending his trial which began this week <unk> denies all the allegations against him calling them <unk> and <unk> political <unk>
 he blames the indictment on local political <unk> <unk> with his aggressive efforts to clear the courthouse 's <unk> and a <unk> by state investigators and prosecutors angered by some of his rulings against them
 i do n't know whose <unk> i 've stepped on says the judge
 i 'll find out eventually who pushed the state police <unk> into action
 even if only some of the allegations stand up however they provide ample testimony to the <unk> power of judges in rural communities
 that power can sometimes be abused particularly since <unk> in smaller <unk> operate without many of the restraints that serve as <unk> measures in urban areas
 lawyers and their clients who frequently bring business to a country courthouse can expect to appear before the same judge year after year
 fear of <unk> that judge is pervasive says maurice <unk> founder and director of the rural justice center in <unk> <unk> a public interest group that <unk> rural justice issues
 as a result says mr. <unk> lawyers think twice before appealing a judge 's ruling are reluctant to mount or even support challenges against him for re-election and are usually loath to file complaints that might <unk> a judge 's integrity
 judge o'kicki a stern and <unk> man has been a <unk> in the local legal community for more than two decades
 the son of an <unk> <unk> of <unk> <unk> he was raised in a small borough outside <unk> the cambria county seat and put himself through the university of pittsburgh law school
 he <unk> near the top of his class serving on the school law review with richard thornburgh who went on to become governor of pennsylvania and now u.s. attorney general
 it was also in law school that mr. o'kicki and his first wife had the first of seven daughters
 he <unk> his first wife three years ago and married the daughter of his court clerk
 last year pennsylvania supreme court justice john p. <unk> called mr. o'kicki one of the <unk> judges not only in pennsylvania but in the united states
 clearly the judge has had his share of <unk>
 after practicing law locally he was elected to his first 10-year term as judge in N in N he was effectively <unk>
 six years ago judge o'kicki was voted president of the pennsylvania conference of state trial judges by the state 's N judges
 he has been considered several times for appointments to federal district and appellate court <unk> in pennsylvania
 and when he ran unsuccessfully for a state appellate court seat in N the pennsylvania bar association rated him one of the best available after <unk> local lawyers
 he probably was the <unk> guy who ever sat on our bench says a former president of cambria county 's <unk> bar association who like most lawyers in cambria county refuses to talk about the judge publicly
 he 's sharp as a <unk>
 he could grasp an issue with the <unk> of an eye
 for more than a decade virtually no one complained about judge o'kicki
 what about those institutions that are supposed to be the <unk> of society the banks and the bar association wrote a columnist for the <unk> a newspaper in nearby <unk> shortly after the scandal became public
 if only a banker or a lawyer had spoken out years ago the judicial process would n't be under the <unk> it is today
 officials with the pennsylvania judicial inquiry and review board the arm of the state that <unk> judicial misconduct counter that they had no <unk> of anything <unk> in <unk>
 nobody told us nobody called us says an official close to the case who asked not to be named
 nobody had the <unk> to complain
 certainly not the lawyers
 <unk> attorney richard j. green jr. <unk> out $ N in loans to the judge over five years he said in testimony to the grand jury
 the judge never made a <unk> of <unk> the money said mr. green
 eventually mr. green testified he began <unk> out of his office rather than face the judge when he visited
 when mr. green won a $ N verdict in a land <unk> case against the state in june N he says judge o'kicki unexpectedly awarded him an additional $ N
 mr. green thought little of it he told the grand jury until the judge walked up to him after the courtroom had cleared and suggested a <unk>
 do n't you think i ought to get a commission or part of your fee in this case mr. green said the judge asked him
 <unk> mr. green never paid the money he testified
 but he did n't complain to the state 's judicial inquiry and review board either saying later that he feared <unk>
 mr. o'kicki said he will respond to mr. green 's <unk> at his trial
 like most of cambria county 's lawyers and residents who had dealings with the judge mr. green declined to be interviewed for this article
 and no one with a complaint about the judge would allow his name to be printed
 i do n't have anything much to say and i think that 's what you 're going to find from everyone else you talk to up here says local attorney edward f. <unk>
 says another lawyer the practice of law is a matter of <unk> one 's <unk> when you live in a small community
 one had best not dance on top of a <unk> until the lid is <unk> tightly shut
 the judge was considered <unk> <unk> and ambitious those who practiced before him say
 he <unk> tea sweetened with <unk> from his <unk> leather chair at his bench while <unk> notes ordering <unk> to stop <unk> or to take off their hats in his courtroom
 four years ago he jailed all nine members of the cambria county school board for several hours after they <unk> his order to extend the school year by several weeks to make up for time lost during a teachers ' strike
 visitors in his chambers say he could cite precisely the years months weeks and days remaining until mandatory retirement would force aside the <unk> president judge giving judge o'kicki the seniority required to take over as the county 's top court administrator
 the judge they say was fiercely proud of his <unk> and <unk>
 my name is judge judge o'kicki told a car salesman in <unk> when he bought a new red <unk> <unk> in october N according to the <unk> report
 the dealership <unk> recorded the sale under the name judge o'kicki
 yet despite the judge 's imperial bearing no one ever had reason to suspect possible wrongdoing says john <unk> president of cambria county 's <unk> bar association
 the <unk> of a judge his <unk> the way he handles people are not a basis for filing a complaint says mr. <unk>
 until this came up and hit the press there was never any indication that he was doing anything wrong
 state investigators dispute that view now particularly in light of the judge 's various business dealings in cambria county
 the judge came under scrutiny in late N after the state attorney general 's office launched an unrelated investigation into corruption in cambria county
 the inquiry soon focused on the judge
 even his routine business transactions caused trouble according to the grand jury report
 when the judge bought his new <unk> from james e. black <unk> in <unk> five years ago the dealership had certain <unk> about the judge 's reputation according to the <unk> report
 the dealership took the extra step of having all the paper work for the transaction <unk> by <unk> 's local lender laurel bank
 then as an additional <unk> the car dealership took the judge 's photograph as he stood next to his new car with sales papers in hand proof that he had received the loan documents
 but when the judge received his payment book he <unk> the deal
 there was no loan there is no loan there never shall be a loan the judge wrote the bank on his judicial <unk> according to the report
 later the judge went a step <unk>
 after laurel bank tried to <unk> the car a vice president asked him to intervene in an unrelated legal dispute involving a trust account
 the judge wrote again
 i find myself in an adversary relationship with laurel bank and i am not inclined to extend myself as far as any favors are concerned the judge wrote back in a letter attached to the grand jury 's report
 perhaps if my personal matters can be resolved with laurel bank in the near future i may be inclined to reconsider your request
 the judge now says it was unfortunate that he chose to write the letter but says there was certainly no intent to <unk> there
 the bank <unk>
 it <unk> the judge 's loan lowered its interest rate and accepted a <unk> that had n't originally been part of the deal a beat up N chevy <unk> the dealer had to repair before it could be <unk>
 the incident was n't the only time the judge got special treatment from his local bank
 two years later he wrote to complain that the interest he was paying on an unsecured $ N loan was absolutely onerous
 paul l. kane laurel 's president at the time quickly responded
 the bank he wrote back was immediately lowering the rate by N N as a <unk> to you
 the judge says he ca n't discuss in detail how he will defend himself at his trial although he contends that if he were as corrupt as state prosecutors believe he would be far <unk> than he is
 his <unk> <unk> and brick house outside of <unk> is up for sale to pay for his lawyers
 the judge says he is confident he will return to his old bench
 already he notes the N charges originally filed against him have been trimmed to N
 most of the allegations no longer pending were ethics charges withdrawn by state prosecutors as part of a pre-trial agreement
 the heart of the case official <unk> remains intact
 if i lose i lose my position my career my pension my home and my investments says the judge
 my god and i know i am correct and innocent
 many thanks for alexander <unk> 's comic <unk> u.s. economy a house built on junk-bond sand viewpoint oct. N
 the use of the <unk> construction practices in the soviet union as <unk> by the collapse of sand apartment blocks during the <unk> earthquake as a <unk> for the u.s. economic system was a <unk> example of mr. <unk> 's <unk> <unk>
 i await his <unk> the economic and social <unk> of the san francisco bay area and the outstanding work of the local governments and the private charitable organizations there as <unk> for the <unk> of whatever failed system mr. <unk> now believes in
 it should be a <unk>
 william s. smith
 as a money manager and a <unk> <unk> i was very disappointed to read in the premiere issue of garbage that the wall street journal uses N metric tons of newsprint each year but that only N N of it comes from recycled paper
 by contrast the los angeles times for example uses N N recycled paper
 with newspapers being the largest single component of solid waste in our <unk> and with our country <unk> with trash all sectors of our society and all types of businesses must become more responsible in our use and disposal of precious natural resources
 the wall street journal is an excellent publication that i enjoy reading and must read daily
 please make me and thousands of other readers more comfortable with our daily purchase of your newspaper by raising your environmental standards to your overall <unk> quality levels and increase your use of recycled paper
 virginia <unk> <unk>
 first american financial corp. declared a special dividend of one share of class b common stock for each share of class a common stock payable to holders of record on nov. N if the securities and exchange commission approves this as the effective date of the registration statement
 shareholders of the santa ana calif. <unk> company approved the creation of this second class of stock which will be traded on the national over-the-counter market and which the company said would be used for acquisitions and other general corporate purposes
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 continental <unk> inc.
 $ N million of senior subordinated debentures due nov. N N was priced at par to yield N N N
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue which is <unk> for five years will be sold through underwriters led by morgan stanley & co
 beatrice co.
 $ N million of notes due nov. N N was priced in a two-part offering through underwriters at salomon brothers inc
 the size of the issue was scaled back from an originally planned $ N million
 the first part consisting of $ N million of N N N senior subordinated reset notes was priced at N
 the rate on the notes will be reset annually to give the issue a market value of N
 however the maximum coupon at which the notes can be reset is N N N
 the minimum coupon is N N N
 the second part consisting of $ N million of senior subordinated floating-rate notes was priced at N N to float N N above the three-month london interbank offered rate
 the initial coupon on the floating-rate notes will be N N
 the issue is rated <unk> by moody 's and <unk> by s&p
 new jersey wastewater treatment trust
 $ N million two-part offering of bonds apparently was won by a merrill lynch capital markets group
 the group 's bid for $ N million of wastewater treatment insured bonds series N a produced a N N true interest cost
 the series N a bonds are insured and rated triple-a by moody 's and s&p
 the group 's bid for $ N million of wastewater treatment bonds series N b produced a N N true interest cost
 the series N b bonds are uninsured and rated double-a by moody 's and s&p
 both the series N a and series N b bonds were priced to yield from N N in N to N N in N according to a merrill lynch official
 <unk> county navigation district no. N texas
 $ N million of pollution control revenue bonds houston lighting & power co project due oct. N N were tentatively priced by a goldman sachs & co. group at N N to yield N N with a coupon of N N N
 interest on the bonds will be treated as a preference item in <unk> the federal alternative minimum tax that may be imposed on certain investors
 the bonds are insured and rated triple-a by moody 's and s&p
 federal home loan mortgage corp.
 $ N million of remic mortgage securities is being offered in N classes by a morgan stanley group
 the offering series N is backed by freddie mac N N securities
 complete details were n't immediately available
 <unk> mortgage funding corp. ii
 $ N million issue of collateralized mortgage obligations is being offered in four classes by a morgan stanley group
 the securities yield from N N to N N for a 30-year issue with an average life of N years
 the N N yield represents a spread to the 20-year treasury of N percentage points
 the collateral consists of collateralized whole loans with a weighted average coupon rate of N N and weighted average remaining term to maturity of N years
 the issue is rated triple-a by s&p moody 's and <unk> investors service inc
 the issue is N N to N N <unk> and N N of the loans are covered by a general electric pool policy covering losses of as much as N N of the original principal balance of the loans
 j.c. penney co.
 $ N million of <unk> master credit card trust asset-backed certificates series b with a final stated maturity of oct. N N was priced at N to yield N N with a coupon of N N
 the certificates which have average life of N years were priced at N percentage points over the benchmark treasury 10-year note
 rated triple-a by moody 's and s&p the issue will be sold through first boston corp
 the issue is backed by a N N letter of credit from credit suisse
 <unk> <unk> electric railway co japan
 $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via nomura international ltd
 each $ N bond carries one warrant exercisable from nov. N through nov. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed tuesday
 diesel <unk> co japan
 $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via yamaichi international europe ltd
 each $ N bond carries one warrant exercisable from nov. N through nov. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed monday
 <unk> electric power co japan
 $ N million of N N N bonds due nov. N N priced at N N to yield N N N less full fees via nikko securities ltd
 fees N N
 monte <unk> <unk> di <unk> singapore branch italian parent via the law debenture trust corp.
 N billion yen $ N million of N N bonds due feb. N N priced at N N via daiwa europe ltd
 <unk> finland
 N billion yen of N N bonds due nov. N N priced at N to yield N N via <unk> international
 <unk> inc. said it acquired <unk> prof. dr. <unk> a german maker of scientific instruments
 terms were n't disclosed
 the <unk> mass. maker of scientific instruments and electronic parts said <unk> expects N sales of more than N million deutsche marks $ N million and employs about N people
 <unk> is based in <unk> west germany and also has operations in belgium
 john m. <unk> <unk> 's chairman and chief executive said the acquisition will extend <unk> 's core technologies strengthen its position in the european economic community and assure a strength and presence in the eastern european market
 he said it especially will strengthen the company 's efforts in the rapidly growing field of <unk> instrumentation and in applied nuclear physics
 separately <unk> said it sold most of its mason research institute subsidiary to <unk> sciences inc. a closely held biotechnology company based in <unk> mass
 the sale for $ N million in cash and securities will leave <unk> with a N N stake in <unk> executives said
 mason is the largest <unk> lab in new england with annual revenue of $ N million and N employees
 mason serves commercial and government customers including the national institutes of health
 the combined companies will become profitable by january N said james p. <unk> <unk> 's chairman and chief executive officer
 the internal revenue service said it is willing to let the u.s. tax court decide how much oil man william herbert hunt will owe the government after his assets are liquidated
 the surprise announcement came after the irs broke off negotiations with mr. hunt on a settlement of the one-time <unk> 's personal bankruptcy case
 although the action <unk> one obstacle in the way of an overall settlement to the case it also means that mr. hunt could be stripped of virtually all of his assets if the tax court rules against him in a N case heard earlier this year in washington <unk>
 the irs has been seeking more than $ N million in back taxes from mr. hunt
 separately a federal judge hearing mr. hunt 's bankruptcy case yesterday turned down a proposed $ N million settlement between mr. hunt and minpeco s.a. another major creditor in the case
 the <unk> minerals concern had been seeking a claim of $ N million against mr. hunt
 in addition to turning down the compromise judge harold c. abramson said he would allow a claim of only $ N million
 minpeco attorneys said they would appeal the decision to a federal district court
 regarding mr. hunt 's taxes he and the irs have apparently agreed on a basic formula for <unk> his estate in which the irs would get N N of the proceeds from a <unk> trust and N N would go to other creditors
 but they have been at odds over how much mr. hunt would owe the government after his assets are sold
 the irs had demanded $ N million but mr. hunt would agree to no more than $ N million
 <unk> <unk> iii a government lawyer warned that mr. hunt stood to lose certain oil and gas properties $ N in english <unk> a colorado <unk> and other assets he might have kept if he had settled with the irs
 but they wanted to roll the <unk> and we 're going to let them mr. <unk> said
 stephen <unk> mr. hunt 's attorney said his client welcomed the gamble
 the tax court is n't expected to rule before early next year
 japan has found another safe <unk> for its money u.s. home mortgages
 an increasing number of big japanese investors are buying up u.s. home mortgages that have been <unk> and packaged for sale as <unk> instruments known as mortgage-backed securities
 as much as N N of new u.s. mortgage securities issued by the federal national mortgage association or fannie mae and federal home loan mortgage corp. or freddie mac now flow into japanese hands
 that may not come as a surprise to americans who have watched the japanese <unk> up properties in the u.s. from golf courses to a stake in rockefeller center
 but it marks a big change for the japanese who <unk> mortgage securities after getting burned by a big downturn in interest rates a few years back
 you ca n't say it 's a <unk> <unk> wave but we 're making some <unk> says fannie mae 's chairman david o. maxwell who visits tokyo at least once a year to explain and drum up investor interest in mortgage securities
 interest is a great deal higher than it was a year ago
 the steady growth of the mortgage securities market in the u.s. has even triggered talk of building up a similar market here
 evidence of the growing japanese demand for mortgage securities <unk>
 earlier this year blackstone group a new york investment bank had no trouble selling out a special $ N million <unk> trust it created for japanese investors
 industrial bank of japan which claims to be the biggest japanese buyer of u.s. mortgage securities says it will more than double its purchases this year to an amount one official puts at several billion dollars
 and a fannie mae <unk> this week promises to draw hundreds of prospective investors who can be expected to channel tens of billions of dollars into the market in the next few years
 last year there were only several big investors who were interested says <unk> <unk> a vice president at the international arm of nomura securities co
 this year some investors are changing their policies and investing a lot
 ultimately he says strong demand could help to drive down interest rates on mortgage securities
 at the moment nomura is the only japanese institution authorized to act as a primary seller of fannie mae instruments
 but other japanese institutions say privately that they are considering asking to join the <unk> selling group
 these securities are attractive to japanese investors for three reasons
 first they are safe
 while they are n't backed by the full faith and credit of the u.s. government as treasury bonds are it is widely assumed that the government would support them if necessary
 u.s. treasury bonds are still the dollar-denominated investment of choice for long-term japanese investors
 second they are liquid
 the secondary market in federally backed mortgage securities now exceeds $ N billion or nearly half of the $ N trillion in u.s. residential mortgages issued
 third they offer high yields
 at the moment some offer as much as N to N percentage points over treasury securities of similar maturities
 but there is a risk which the japanese discovered when they first dipped their <unk> into the market nearly five years ago
 since most mortgages can be prepaid or <unk> at any time issuers of mortgage securities retain the right to buy back their bonds before maturity
 that 's a <unk> for long-term investors since it forces them to reinvest their money usually at lower rates than the original mortgage securities carried
 two or three years ago the problem was that people did n't understand the prepayment risk says nomura 's mr. <unk>
 so they were surprised and very disappointed by prepayment
 <unk> the trouble to japanese investors mortgage securities pay interest monthly since most mortgages require homeowners to make monthly payments
 but japanese institutional investors are used to quarterly or semiannual payments on their investments so the monthly cash flow posed administrative problems
 as a result japanese investors <unk> clear of the mortgage securities
 but they did n't lose touch with the u.s. issuers
 since N japanese investors have bought nearly N N of $ N billion in fannie mae corporate debt issued to foreigners money that fannie mae uses to buy mortgages from u.s. banks
 and japanese investors took up nearly all of two $ N million real estate mortgage investment <unk> a kind of collateralized mortgage obligation that were offered to foreigners this year
 in addition further packaging of mortgage-backed securities such as blackstone 's fund have reduced the effects of prepayment risk and automatically reinvest monthly payments so institutions do n't have to
 freddie mac for years has offered a so-called participation certificate that guarantees it wo n't be prepaid for a set number of years and offers semiannual payments
 as georgia-pacific 's bid for great northern nekoosa has shown <unk> takeovers are still alive despite <unk> reports of their demise
 therefore the debate about poison pills will continue to rage in the <unk> of corporations and the halls of <unk>
 although poison pills come in different colors and <unk> they usually give current shareholders the right to buy more stock of their corporation at a large discount if certain events occur typically if a hostile bidder acquires more than a specified percentage of the corporation 's stock
 however these discount purchase rights may generally be redeemed at a nominal cost by the corporation 's directors if they approve of a bidder
 supporters of poison pills argue that their adoption forces bidders to negotiate with a corporation 's directors who are thereby put in a better position to pursue the long-term interests of the corporation
 recent studies by <unk> & co. conclude that corporations with poison pills have experienced greater <unk> appreciation than corporations without poison pills during the past few years
 critics of poison pills argue that they harm shareholders by letting corporate management defeat takeover bids at premium prices and by <unk> premium bids from ever being made to shareholders
 these critics are backed by several academic studies showing that the adoption of poison pills reduces shareholder values not merely in the short run but also over longer periods
 institutional investors that must evaluate poison pills on a regular basis are interested less in this general debate than in the answers to specific questions about the corporation issuing the pill
 does this corporation have a high-quality management team with a good track record
 does this team have a viable strategy for improving shareholder values and does this strategy require <unk> over an extended period
 will the adoption of this particular form of a poison pill significantly improve the chances for management to carry out this strategy
 if the answers to these questions are <unk> then institutional investors are likely to be <unk> <unk> toward a specific poison pill
 however the problem is that once most poison pills are adopted they survive forever
 although the current management team may be outstanding who will be the ceo in N years
 although the five-year strategy may be excellent what will be the strategy in N years
 the solution to this problem is a <unk> poison pill
 the limit could range from three years to seven years depending on the <unk> of the management team and the nature of its strategic plan
 at the end of this period the poison pill would be eliminated automatically unless a new poison pill were approved by the <unk> shareholders who would have an opportunity to evaluate the corporation 's strategy and management team at that time
 one rare example of a <unk> poison pill is the shareholder rights plan adopted by pennzoil last year after it received a huge litigation settlement from texaco
 pennzoil 's poison pill covers five years in order to give current management enough time to put these proceeds to work in a prudent manner
 another interesting example is the poison pill adopted recently by <unk> national intergroup inc. a diversified holding company
 the state of wisconsin investment board which owned about N N of the company 's voting stock worked with management to devise a <unk> poison pill
 this pill automatically expires after three years unless continued by a vote of the shareholders
 the attitude of the wisconsin investment board reflects a growing <unk> to <unk> poison pills on the part of institutional investors as shown by the discussions at recent meetings of the council of institutional investors and my informal survey of several retirement plans with large stock positions
 more widespread time limits on poison pills would allow shareholders to evaluate a specific poison pill within the context of a specific management team 's strategy
 such concrete analysis is likely to lead to more <unk> dialogue between management and shareholders than the <unk> debate about poison pills
 mr. <unk> is the general counsel and a managing director of fidelity investments in boston
 michael blair former president and chief executive officer of enfield corp. failed to win election to the company 's board at a special shareholder meeting
 mr. blair said after the meeting that he had filed separate lawsuits in the ontario supreme court for <unk> dismissal against enfield and for libel against its largest shareholder canadian express ltd. and two executives of hees international bancorp inc. which controls canadian express
 holders at the meeting elected a full slate of canadian express <unk> to enfield 's <unk> board
 mr. blair and hees have been <unk> for months
 yesterday 's election was a <unk> to enfield 's annual meeting in june when mr. blair <unk> <unk> in favor of two hees <unk>
 the ontario supreme court <unk> mr. blair 's decision
 he later resigned from his executive positions with enfield saying that actions by its board amounted to my dismissal
 mr. blair said his libel suit seeks N million canadian dollars us$ N million from canadian express and hees executives <unk> walt and <unk> <unk>
 he said his suit against enfield seeks two years severance pay equivalent to c$ N
 hees and canadian express executives could n't be reached for comment
 enfield is a holding company with interests in manufacturing concerns
 it is N N owned by canadian express another holding company
 hees is a merchant bank controlled by toronto financiers peter and edward bronfman
 all the concerns are based in toronto
 buying N N of rockefeller group inc. is right up mitsubishi estate co. 's alley in one sense the huge japanese real estate company is entering a long-term relationship with a similarly conservative u.s. owner of tony urban property
 but in another sense the $ N million purchase is <unk> <unk> industry analysts say
 the usually cautious giant will become the majority owner of the company that owns new york 's <unk> rockefeller center at a time when <unk> over japanese purchases of u.s. property are at an <unk> high
 officials of rockefeller group and mitsubishi estate prefer to focus on the <unk> nearly <unk> the threat of a backlash from the u.s. public
 we think there will be positive as well as negative reactions says raymond <unk> senior vice president and chief financial officer of rockefeller group
 on balance we think it will be positive
 but some japanese government officials and businessmen worry that the prominent purchase is just the sort of deal that should be avoided for the time being
 in particular they <unk> the timing coming as it does on the heels of sony corp. 's controversial purchase of columbia pictures entertainment inc
 officially yes we encourage the free flow of direct investment says a foreign ministry official
 but they did n't have to choose this particular moment
 during the past year government officials and leading business organizations have repeatedly urged japanese companies to <unk> from flashy real estate purchases in the
 since the mid-1980s japan 's other major real estate purchases in the u.s. include dai-ichi <unk> america corp. 's $ N million purchase of an office building at N east <unk> st. in manhattan in N and mitsui <unk> inc. 's $ N million purchase of the exxon building part of rockefeller center in N
 in los angeles arco plaza was sold to <unk> corp. for $ N million in N and <unk> life insurance co. paid $ N million for atlanta 's ibm tower last year
 altogether annual japanese investment in u.s. commercial real estate grew from about $ N billion in N to about $ N billion in N
 many japanese companies have taken the warnings by the country 's leaders to heart and sought development partnerships rather than landmark properties
 critics say mitsubishi estate 's decision to buy into rockefeller reflects the degree to which companies are <unk> by the pressure to act for the good of japan
 those who have no money and are n't buying think it 's right to <unk> but those with money who want to buy for themselves pay no attention says an official of the <unk> business council
 but to mitsubishi estate the acquisition has just the elements that should win support from both sides
 first of all it is a friendly acquisition in which rockefeller sought out mitsubishi estate and asked it to buy a majority share
 <unk> the two companies found a similarity in their business and development <unk> and intend to cooperate in a range of activities from real estate to telecommunications
 finally mitsubishi estate has no plans to interfere with rockefeller 's management beyond taking a place on the board
 we 'll continue to work with them in keeping with the reputation of the company and we 'll rely very much on their leadership says mitsubishi estate president <unk> <unk>
 rockefeller may well have found its match in mitsubishi estate a company of long history strong government ties and sound resources
 in asset terms mitsubishi estate is the largest real estate firm in japan
 the core of its holdings is N square <unk> of <unk> expensive property in the <unk> district the business and financial center of tokyo often <unk> called mitsubishi village
 the mitsubishi family company acquired that property from the government some N years ago when it was a portion of <unk> residential land running from the <unk> of the imperial palace east toward the <unk> of tiny shops and <unk> <unk> that made up the merchants ' district
 at the time japan had just opened its doors to the world after about N years of <unk> and needed a western-style business center
 mitsubishi built the government 's dream development the story goes in exchange for the official decision to <unk> tokyo 's central railway station there
 that was just an early step in a relationship with government that has earned the mitsubishi group the dubious <unk> of <unk> literally <unk> a title that has the <unk> <unk> of doing the government 's bidding but also suggests the clout inherent in maintaining such close ties
 mitsubishi estate is one of the dozens of companies in today 's mitsubishi group
 it 's known for its <unk> in part because it has had little need for bold overseas ventures in the year ended march N N N of its total revenue came from office building management
 its earnings can rise N N to N N annually simply from the natural turnover of tenants and automatic rent increases says <unk> mcdonald an industry analyst at james capel pacific ltd
 for the latest fiscal year the company 's net income jumped a robust N N to N billion yen $ N million
 for mitsubishi estate the rockefeller purchase will <unk> it firmly into the overseas real estate business the one area where it has lagged notably behind japanese competitors such as mitsui which had purchased the exxon building
 japanese companies need to invest in overseas real estate for diversification says <unk> <unk> an industry analyst at goldman sachs japan corp
 rockefeller is n't the first overseas purchase for mitsubishi estate it has already played a leading role in designing los angeles 's citicorp plaza
 but the rockefeller investment is its largest
 nonetheless it will barely make a <unk> in mitsubishi estate 's finances analysts say
 mitsubishi estate has n't decided how it will raise the funds for the purchase which are due in cash next april but the <unk> holdings alone are estimated to have a market value of as much as N trillion yen to N trillion yen
 moreover as a member of the mitsubishi group which is headed by one of japan 's largest banks it is sure to win a favorable loan
 analysts say the company also could easily issue new convertible bonds or warrants
 meanwhile at home mitsubishi has control of some major projects
 it is the largest private-sector <unk> of the <unk> N project a <unk> development in the port city of <unk> about an hour outside tokyo
 the project is one of a select group of public projects opened to u.s. firms under a <unk> construction trade agreement reached last year
 the centerpiece of that complex the landmark tower will be japan 's <unk> building when it is completed in N
 mitsubishi is also pushing ahead with a controversial plan to <unk> <unk> into a business center of high-tech buildings a project <unk> for N years and six trillion yen
 time warner inc. and sony corp. may be today 's public enemies but the two entertainment giants could end up becoming partners in a number of ventures as part of a settlement of their <unk> legal dispute over hollywood producers peter guber and jon peters
 the warner bros. studio and sony signaled they are close to a settlement yesterday asking a los angeles superior court to postpone a hearing scheduled for tomorrow on warner 's request for a preliminary injunction blocking mr. guber and mr. peters from taking the top posts at columbia pictures entertainment inc
 in separate statements the two sides said they want to have further discussions
 sony is acquiring columbia and guber-peters entertainment co. in two separate transactions valued at more than $ N billion
 warner communications inc. which is being acquired by time warner has filed a $ N billion <unk> suit against sony and the two producers
 warner has a five-year exclusive contract with mr. guber and mr. peters that requires them to make movies exclusively at the warner bros. studio
 the two sides in the legal battle have <unk> accusations of <unk> at each other for weeks and both warner and sony have accused each other of trying to sabotage each other 's prospects for success in the entertainment business
 but it may amount to little more than <unk> the two have continued <unk> <unk> settlement talks over the last few weeks and people familiar with the talks say the matter could be resolved within a week
 both warner and sony declined to comment on the terms of the settlement discussions
 but the people familiar with the talks said that warner is n't expected to get any cash in the settlement
 instead sony is likely to agree to let warner participate in certain of its businesses such as the record club of sony 's cbs records unit
 warner has <unk> sony as the largest record company but it does n't have a powerful world-wide record club like cbs
 the two sides are also discussing certain business ventures involving cable rights to columbia 's movies
 in addition sony is expected to agree to swap columbia 's N N stake in the <unk> <unk> calif. studio that warner and columbia share in exchange for the old mgm studio lot that warner acquired with the purchase of <unk> <unk> corp
 still it may be tough for the two to have a smooth partnership in anything in the wake of sworn affidavits filed over the last week
 one for example came from cbs records chairman walter yetnikoff who will head a committee that will oversee sony 's entertainment division including both records and movies
 in his affidavit mr. yetnikoff accused warner chairman steven j. ross of having an <unk> <unk> bias and said that mr. ross had tried to talk him out of letting sony buy cbs records two years ago for that reason
 mr. ross who will be chairman and co-chief executive officer of time warner after the merger is complete denied that in his own affidavit and called mr. yetnikoff 's remarks vicious and his claims reckless irresponsible and <unk> saying warner under his leadership has started a number of businesses in japan
 mr. ross also said he enjoys warm professional and personal relationships with japanese executives including sony chairman <unk> <unk> who has visited my home here
 but despite the <unk> between mr. ross and mr. yetnikoff officials of the time side of time warner have reportedly been increasingly interested in a settlement that might yield attractive business opportunities
 time executives such as the company 's president n.j nicholas who will eventually be co-chief executive of time warner alongside mr. ross have no personal relationships or <unk> at stake in the fight over the guber-peters duo and were never directly drawn into the fray
 talks between the two sides could <unk> of course as they have more than once since sony announced its plans to hire mr. guber and mr. peters
 but both sides appear to be more willing now to meet each other 's terms to resolve the issue
 and although warner has said it wanted the producers to fulfill the terms of their contract the producers said in sworn court <unk> that they did n't believe the relationship could be repaired after the <unk> of the legal battle
 any settlement is also expected to exclude mr. guber and mr. peters from any of the projects they were working on at warner
 the guber-peters duo have N projects in various stages of development and production at warner including <unk> of the <unk> and a bright <unk> lie
 but that does n't mean mr. guber and mr. peters might not eventually get their hands on some of their projects studios develop hundreds of movies but produce only N to N each year
 once a studio chooses not to actually make a movie that is in development producers are typically free to take it elsewhere
 mr. guber and mr. peters also almost certainly would n't be able to participate in future <unk> to batman the blockbuster hit they produced for warner
 but in acquiring guber-peters entertainment sony will actually get a piece of the profits from batman since the publicly held concern gets certain revenue from the movies mr. guber and mr. peters produce
 the two producers own a combined N N stake in guber-peters
 southern co. 's gulf power co. subsidiary pleaded guilty to two felony charges of conspiracy to make illegal political contributions and tax evasion and paid $ N in fines
 gulf power 's guilty plea before u.s. district judge robert l. <unk> yesterday marks the end of only one part of a <unk> inquiry of southern co
 the company is the subject of a federal grand jury investigation into whether its officials and its utility subsidiaries conspired to cover up their accounting for spare parts to <unk> federal income taxes
 the terms announced today are strictly between the united states and gulf power said u.s. attorney robert l. <unk>
 this is only a further step in a lengthy investigation
 the plea settlement does not allow southern co. to charge any of the $ N to its customers or take action against employees who provided information during the federal inquiry
 gulf power had been under investigation for violating the utility holding company act which prohibits public utilities from making political contributions
 in a statement southern co. president edward l. <unk> said we believe our decision to plead guilty to these charges is responsible and proper
 and our action today will allow gulf power to avoid prolonged <unk> legal proceedings
 he did not say what effect if any the $ N fine would have on the company 's earnings
 mr. <unk> said yesterday 's plea by gulf power which came after months of negotiations was based on evidence that gulf power had set up an elaborate payment system through which it <unk> outside vendors primarily three florida advertising agencies for making illegal political contributions on its behalf
 the <unk> agency for example allegedly made contributions from N to N to various funds for political candidates then submitted bills to gulf power
 the contributions were funded by monthly payments of $ N to $ N to <unk> in the <unk> of a special production fee in effect <unk> the nature of the payments from the internal revenue service federal prosecutors said
 the government also indicated that former gulf power senior vice president jacob f. <unk> <unk> was the <unk> behind the use of the ad agencies <unk> dick leonard group ii inc. and <unk> & <unk> corp. to make payments to various political candidates from N to N
 mr. <unk> who <unk> gulf power 's <unk> efforts died <unk> in a plane crash in april after learning he might be fired following the <unk> of <unk> in a company audit
 government officials declined to say whether the investigation includes the ad agencies or the politicians involved
 in new york stock exchange trading southern co. rose N cents a share to $ N
 frequent <unk> offer <unk> up <unk> debate
 to grab a bigger piece of the declining <unk> market seagram co. has launched a controversial frequent <unk> promotion for its chivas <unk> brand
 under the program dubbed chivas class customers who send in two labels from chivas bottles will receive an upgrade in <unk> class on some trans world airlines flights
 repeat customers also can purchase luxury items at reduced prices
 but at a time of mounting concern over alcohol abuse some liquor marketers consider seagram 's frequent buyer promotion risky
 i 'm surprised they 're doing this says penn <unk> president of <unk> & <unk> co. which markets <unk> walker <unk>
 i would be very leery of anything that says if you drink more you get more
 others question the impact on chivas 's upscale image of a promotion that has customers <unk> off labels
 it 's really bizarre says albert <unk> creative director at the wells rich greene ad agency
 chivas has an image of something you would <unk> rather than <unk>
 chivas class is n't the first such promotion
 last year <unk> <unk> offered N <unk> frequent <unk> miles in exchange for a label
 and <unk> 's gave discounts on scottish merchandise to people who sent in bottle labels
 but the scope of seagram 's chivas promotion sets it apart
 the current campaign is just the first leg of an aggressive <unk> direct marketing plan
 seagram says the promotion is designed to build brand loyalty rather than promote heavy drinking
 seagram asks customers to buy only two or three bottles over a 12-month period says richard shaw vice president of u.s. direct marketing
 we 're not asking them to save up N <unk>
 we 're not saying drink more we 're saying trade up
 <unk> <unk> a milk for hispanic <unk>
 most food companies these days are trimming the fat and cholesterol content of their products to appeal to <unk> consumers
 but <unk> foods inc. believes it can milk some sales by <unk> the trend
 the <unk> n.j. company has formed a joint venture with a distributor called la <unk> to market a <unk> milk targeted at hispanic consumers
 to give <unk> <unk> the <unk> taste <unk> says hispanics prefer the new brand has a <unk> content of N N
 that compares with N N <unk> for whole milk
 a spokesman for <unk> inc. the nation 's largest milk producer concedes <unk> may be on to something
 <unk> sells considerably more whole milk than <unk> <unk> in southern and hispanic markets he says
 <unk> even tested a milk with N N <unk> in the south but decided the market was too small
 <unk> is selling <unk> <unk> in nearly N grocery stores and <unk> in new york and parts of new jersey
 and it 's adding N to N new outlets a day says <unk> <unk> sales director at la <unk>
 because of <unk> <unk> 's success he says the joint venture is developing other dairy products tailored to hispanic <unk>
 jewelry makers copy cosmetics sales <unk>
 for years <unk> jewelry makers fought a losing battle
 jewelry displays in department stores were often <unk> and <unk>
 and the merchandise was well fake
 as a result marketers of <unk> <unk> steadily lost space in department stores to more fashionable rivals cosmetics makers
 but lately retailers say fake has become more fashionable
 and jewelry makers are beginning to use many of the same marketing <unk> <unk> in the aggressive world of cosmetics
 last year the total women 's fashion jewelry business topped $ N billion says karen <unk> editor of accessories magazine
 and it 's growing fast with annual sales gains of more than N N
 to increase their share of that business jewelry makers such as crystal brands inc. 's <unk> and <unk> units and <unk> inc. maker of anne klein jewelry are launching new lines with as much fanfare as the <unk> companies
 they 're hiring models to <unk> the <unk> sporting their <unk> and they 're even beginning to borrow a <unk> favorite of the beauty business offering a gift when consumers make a purchase
 we 've started trying just about anything to keep sales moving in the stores says kim <unk> a <unk> vice president
 but there are limits
 ms. <unk> says retailers <unk> a promotion for <unk> with animal <unk>
 her idea bring in live <unk> animals
 <unk> whose national ads earlier this year included paper <unk> of its <unk> <unk> takes a <unk> approach
 the company focuses on the <unk> aspects says andrew e. philip president
 <unk> now trains sales help to advise customers on the best <unk> styles
 but cosmetics firms still have one big marketing edge they <unk> sales people with commissions
 jewelry makers rarely pay commissions and are n't expected to anytime soon
 odds and ends
 despite growing interest in the environment u.s. consumers have n't shown much interest in <unk> packages for household products
 procter & gamble co. recently introduced <unk> versions of four products including tide and mr. clean in canada but does n't plan to bring them to the u.s.
 marketers believe most americans wo n't make the convenience <unk>
 <unk> ltd. tests a beer <unk> with oat bran rather than rice or corn
 called <unk> 's original oat bran beer the <unk> costs about $ N a case
 no cholesterol of course
 northwest airlines settled the remaining lawsuits filed on behalf of N people killed in a N crash but claims against the jetliner 's maker are being pursued a federal judge said
 northwest a unit of nwa inc. and mcdonnell douglas corp. which made the <unk> aircraft also are pursuing <unk> against each other in the crash near detroit metropolitan airport
 terms of the settlements for the remaining N lawsuits against northwest were n't disclosed
 a total of N lawsuits were filed on behalf of crash victims
 u.s. district judge <unk> a. cook jr. announced the settlements as the jury trial was to begin yesterday
 he reset opening arguments for today
 the jury will resolve the claims against mcdonnell douglas northwest 's claim that a <unk> in the aircraft caused the crash and mcdonnell douglas ' claim that the plane was improperly <unk>
 the national transportation safety board ruled that pilots failed to set the plane 's <unk> <unk> and <unk> properly for <unk> and failed to make mandatory <unk> checks that would have detected the error
 also a <unk> warning system failed to alert the pilots the <unk> and <unk> were not set for <unk> the <unk> said
 the only passenger who survived the crash was <unk> <unk> then N of <unk> ariz. whose parents and brother died in the crash
 she now lives with <unk> in alabama
 sun <unk> moon the korean <unk> who in N founded the unification church remains the mystery man behind a multimillion-dollar political and publishing operation based in this country and <unk> to the american right
 but there may be less there than meets the eye
 mr. moon planned to convert millions of americans to his unique brand of <unk> in which he plays the role of old <unk> <unk> political messiah and then to make the u.s. part of a unified international <unk>
 his original strategy in itself a brilliant innovation for spreading a <unk> was to create new economic enterprises each time he wanted to extend and fund his various <unk> <unk>
 tax-exempt airport and <unk> <unk> were intended only to provide start-up funds
 more stable industries were to build an economically viable infrastructure for the moon movement in north america as they had in japan and south korea
 then he would move his movement to europe
 but that was not to be
 throughout the 1970s and early 1980s spokesmen for both the unification church and its opponents in the <unk> movement gave wildly <unk> membership figures
 their <unk> lives on
 it is still common to read in the press that the church has N or more full-time american members and N associates
 some estimates have gone as high as N members
 but internal church documents clearly show that at its <unk> heights as when it organized a spectacular yankee stadium <unk> rally in N there actually were only about N full-time unification church members in the u.s.
 mr. moon 's support for a <unk> richard nixon the <unk> scandal and his prison sentence for income-tax evasion did not help the church 's <unk> efforts
 <unk> <unk> and <unk> <unk> kept member turnover high
 that the membership number has even kept close to its N size is the result of the <unk> of the church
 many of the enthusiastic young <unk> of the nixon era who remained <unk> to father moon are now parents producing new members by <unk> rather than conversion
 the <unk> wealth of the unification church is another matter of <unk>
 yet these purchases can be misleading
 most were obtained with huge <unk> of church money from south korea and japan minimum cash <unk> and sizable mortgages
 those teams of young <unk> selling flowers peanuts or <unk> outright at traffic <unk> brought in somewhere near $ N million a year during the <unk> 1970s but those revenues were a <unk> compared to the costs of mr. moon 's <unk> international conferences speaking tours and <unk> land buys
 only his factories in japan and korea <unk> his <unk> at <unk> wages and producing everything from <unk> to <unk> to expensive marble <unk> kept the money flowing <unk>
 virginia commonwealth university sociologist david <unk> who more than any other researcher has <unk> into the complex world of <unk> finances has concluded that profitable operations in the u.s. have been the exceptions rather than the rule
 likewise journalists john burgess and michael <unk> of the washington post have estimated that at least $ N million was transferred from japan to the u.s. to deal with the church 's annual operating losses in this country
 mr. moon 's two <unk> u.s. newspapers illustrate the scope of this financial drain
 start-up costs for the washington times alone were close to $ N million and the total amount lost in this <unk> black hole was estimated at $ N million by N
 since then moon 's organization has <unk> a pair of high-quality glossy opinion magazines the world and i and insight which are a further drain
 insiders say that not even their editors know for sure how much these <unk> publications along with the newspapers have cost mr. moon
 many american <unk> businesses such as a $ N million factory to build fishing vessels are <unk>
 some components of the american church had their budgets cut in half last year and again this year
 the relatively small academic conferences that have attracted conservative guests and press scrutiny in recent years are much more narrowly targeted and <unk> than the <unk> <unk> in fancy digs and exotic <unk> of years past
 i attended several of these in the dual role as a <unk> of research findings as well as an investigator of my hosts
 mr. moon 's <unk> house eventually even published three of my <unk> books on <unk> and politics
 according to veteran watchers of <unk> affairs such as dr. j. gordon <unk> director of the institute for the study of american <unk> almost all operations are being drastically reduced as mr. moon now <unk> more on developing his empire in the far east
 everything one <unk> senior consultant to the unification church recently told me in an interview is going back to korea and japan
 europe had proved even less <unk> than north america
 european politicians were less reluctant to have their governments investigate and <unk> new <unk>
 so mr. moon is in retreat <unk> on the far east
 south korea and japan continue to be profitable
 moon 's <unk> industry conglomerate is now investing heavily in china where church accountants have high hopes of expanding and attracting <unk> even in the wake of the bloody massacre in <unk> square
 <unk> motors is one such investment
 according to senior consultants to the church mr. moon has successfully negotiated a joint venture with the chinese government to build an <unk> plant in <unk> province an area of china with a substantial korean minority
 mr. moon has agreed to put up $ N million a year for N years and keep the profits in china
 in return he has the government 's blessing to build <unk> and spread <unk> in that country
 whatever respectability and ties to intellectuals and <unk> the publications and conferences bring really are salvage not the rev. moon 's original final goals but the ones for which he will have to settle
 mr. <unk> is co-author with david g. <unk> of <unk> in america <unk> church and crusade and strange <unk> the great american <unk> scare
 the manville personal injury settlement trust said it is considering several ways to ease a liquidity crunch that could include the sale of manville corp. to a third party
 in a filing with the securities and exchange commission the majority holder of manville acknowledged that the cash portion of its initial funding of $ N million will be <unk> next year and that alternative sources of funds will be necessary to meet its obligations
 the trust which was created as part of manville 's bankruptcy-law reorganization to compensate victims of <unk> diseases ultimately expects to receive $ N billion from manville but its cash flow from investments has so far lagged behind its payments to victims
 <unk> for both the trust and the company refused to comment on whether any talks with a possible acquirer of manville had actually taken place
 the trust is considering a sale of its manville holdings but manville has the right of first refusal on any sales of its stock held by the trust
 manville a forest and building products concern has offered to pay the trust $ N million for a majority of manville 's convertible preferred stock
 manville and the trust are discussing the offer but no decision has been made
 the filing also said the trust is considering a sale of manville securities in the open market an extraordinary dividend on the common stock or a recapitalization of manville
 the soviet union 's jobless rate is soaring to N N in some areas pravda said
 it said the situation is caused by efforts to streamline bloated factory <unk>
 unemployment has reached N N in <unk> N N in <unk> N N in <unk> N N in <unk> N N in <unk> and N N in <unk> the communist party newspaper said
 all are <unk> republics along the southern border of the soviet union and all but <unk> have reported <unk> in the past six months
 the newspaper said it is past time for the soviet union to create unemployment insurance and <unk> programs like those of the west
 pravda gave no estimate for overall unemployment but said an association of the <unk> has <unk> up that says the number of jobless is N million soviets or N N of the work force
 an <unk> dispute involving australia 's N domestic pilots has slashed airline earnings and <unk> much of the continent 's tourist industry
 the only people who are flying are those who have to said frank moore chairman of the australian tourist industry association
 he added how is a travel agent going to sell a holiday when he can not guarantee a return flight
 transport giant <unk> which owns half of one of the country 's two major domestic carriers said the cost of the dispute had been heavy cutting <unk> 's profits N N to $ N million in the three months to sept. N
 brazilian financier <unk> <unk> who was arrested on monday after N days in <unk> is likely to be <unk> next week by the brazilian judiciary
 mr. <unk> who <unk> provoked a one-day <unk> of brazil 's stock markets in june when he failed to honor a debt of $ N million owed to his brokers yesterday blamed his <unk> on the president of the <unk> <unk> stock exchange a few days before mr. <unk> 's failure the exchange raised the required margin on <unk> transactions
 china 's parliament ousted two hong kong residents from a panel <unk> a new constitution for the colony
 the two <unk> <unk> and martin lee were deemed <unk> because they had <unk> china 's crackdown on its pro-democracy movement
 the committee is <unk> hong kong 's constitution for when it <unk> to chinese control in N and chinese lawmakers said the two can only return if they abandon their <unk> stand against the chinese government and their attempt to <unk> the <unk> joint declaration on hong kong
 nuclear <unk> for israel
 israeli officials confirmed that energy minister <unk> <unk> and his canadian counterpart <unk> <unk> discussed a possible israeli purchase of a $ N billion canadian nuclear <unk> for producing electricity
 however a canadian embassy official in <unk> <unk> said that canada was unlikely to sell the <unk> <unk> <unk> to israel since israel has n't signed the nuclear <unk> treaty
 israel has been accused in the past of using <unk> to seek elements needed to develop nuclear weapons
 the south korean government is signing a protocol today establishing formal diplomatic relations with poland
 the two are also signing a trade agreement
 south korean government officials said they do n't expect that seoul can loan money to warsaw but it can offer experience
 poland is the second communist nation to recognize the seoul government south korea established diplomatic relations with hungary in february N
 venezuela will hold a <unk> auction friday with N potential bidders participating
 earlier this year venezuela announced it was opening up <unk> swaps to foreign investors but said the program would be limited to a net <unk> of $ N million a year
 friday 's auction will be limited to $ N million <unk> by the central bank to potential investors
 the office of foreign investment has authorized some $ N billion worth of investment proposals said edwin <unk> <unk> of foreign investment
 most of the proposals are in tourism basic industry and <unk> and <unk> projects he said
 under the <unk> program potential investors will submit <unk> bids on the percentage of discount they are willing to purchase the debt at and the bids will be allocated based on these discount offers
 the <unk> central bank set a N N floor on the bidding
 a song by american singer <unk> <unk> <unk> jailed black leader nelson <unk> was banned from south african state radio and television
 the south african broadcasting corp. said the song freedom now was <unk> for broadcasting
 britain 's house of commons passed a law that will force english <unk> fans to carry identity cards to enter stadiums
 the <unk> law which would <unk> <unk> of cards must be ratified by the house of <unk> and is expected to become effective early next year
 a federal judge ruled that <unk> marcos was n't brought to the u.s. against her will and that <unk> privileges which protect spouses from <unk> each other do n't apply in her case
 as a result judge john f. keenan of new york ordered mrs. marcos to turn over to the court all <unk> and documents she may have filed in foreign countries in opposition to u.s. requests for evidence
 mrs. marcos had claimed that she did n't have to turn over the documents because she was brought here <unk> and because providing the materials would violate her <unk> privilege
 in N a year and a half after mrs. marcos and her late husband ferdinand marcos the ousted president of the philippines fled the philippines for hawaii they were charged with racketeering conspiracy <unk> of justice and mail fraud in a scheme in which they allegedly <unk> more than $ N million from their <unk>
 much of the money was <unk> <unk> through purchases of prime manhattan real estate federal prosecutors have charged
 mrs. marcos 's trial is expected to begin in march
 u.s. law requires criminal defendants to turn over foreign documents such as those sought in the marcos case
 the law is meant to overcome delays caused by defendants ' use of foreign procedures to block u.s. requests for records judge keenan said in his opinion
 for instance the documents could involve foreign business dealings or bank accounts
 the u.s. has charged that the <unk> ' alleged crimes involved bank accounts in the philippines hong kong the u.s. and other countries
 on the <unk> of <unk> judge keenan wrote the suggestion that mrs. marcos was brought to this country against her will is <unk> by affidavit or <unk>
 the judge also said the two <unk> <unk> privileges cited by mrs. marcos do n't apply
 the first one permits a witness to refuse to testify against her spouse
 but judge keenan said that privilege 's purpose is <unk> harmony in marriage
 because mr. marcos died sept. N the privilege can no longer apply the judge said
 the second <unk> privilege cited by mrs. marcos protects confidential communications between spouses
 but judge keenan said that privilege is meant to protect private <unk> not litigation papers filed with foreign governments as mrs. marcos 's attorneys maintained
 though judge keenan threw out most of mrs. marcos 's objections he agreed with one of her concerns that turning over the foreign documents could violate the defendant 's constitutional right against <unk>
 as a result he said he will examine the marcos documents sought by the prosecutors to determine whether turning over the filings is <unk>
 judge keenan also directed the prosecutors to show that mrs. marcos 's fifth amendment right against <unk> wo n't be violated
 mrs. marcos 's attorney in new york <unk> <unk> declined to comment on the ruling
 mrs. marcos has n't admitted that she filed any documents such as those sought by the government
 charles <unk> the assistant u.s. attorney <unk> the marcos case did n't return phone calls seeking comment
 u.s. and british law firms announce rare joint venture in tokyo
 <unk> & austin a leading chicago-based law firm and <unk> morris <unk> a midsized london firm of <unk> are scheduled today to announce plans to open a joint office in tokyo
 the firms will be registered under japanese law as foreign legal consultants and their practice with japanese clients will be limited to advising them on matters of foreign law
 the office may also be able to advise foreign and multinational clients on international law and general matters
 the office will provide <unk> shopping for japanese financial institutions and other clients seeking advice on access to the world capital markets according to a. bruce <unk> <unk> 's senior banking specialist who will move to tokyo from chicago to open the office next year
 the <unk> venture will also be <unk> by another <unk> partner specializing in corporate law a partner from <unk> concentrating on acquisitions and a japanese attorney
 the office will tap the resources of <unk> 's N lawyers in the u.s. london and singapore as well as the N <unk> staff members in london and brussels
 <unk> is new to the far east
 <unk> will maintain its association with the <unk> law office in tokyo
 the united auto workers said it will seek a <unk> of a u.s. appellate court ruling against the union 's claim that the state of michigan <unk> in <unk> against female employees
 a <unk> panel of the court in cincinnati made the ruling saturday
 the <unk> is seeking a hearing by the full <unk> panel
 the union sued the state in november N alleging that it intentionally <unk> job <unk> by sex and paid employees in <unk> female jobs less than males in comparable jobs
 the <unk> also charged that the state applied its own standards for determining pay in a <unk> manner
 in november N a district court judge in detroit ruled against the <unk>
 the union is the bargaining representative for more than N michigan state employees
 new jersey merger
 one of the largest law firms in central new jersey has been created through the merger of <unk> <unk> & marcus a <unk> firm and <unk> <unk> <unk> & <unk> a health-care specialty law firm with N lawyers
 <unk> <unk> is a <unk> firm that has expanded recently into such <unk> as banking labor and environmental work
 the merged firm will carry <unk> <unk> 's name
 drug wars
 a texas legislator proposes <unk> drivers ' licenses of some drug offenders
 the bill would <unk> courts to order the licenses as a condition of <unk>
 state senator <unk> <unk> brown a republican who is running for texas attorney general introduced the bill
 he said an altered license would be an embarrassment to <unk> and young adults and would act as a <unk> to drug use
 richard <unk> executive director of the texas civil <unk> union called the proposal political <unk> and said it fails to recognize the drug problem as a health issue
 the amendment offered by rep. douglas <unk> d. calif. was approved N during debate on a bill designed to strengthen the transportation department 's authority in dealing with leveraged buy-outs of airlines
 the bill would require the agency to block the acquisition of N N or more of an airline 's stock if the purchase threatened safety reduced the carrier 's ability to compete or put the airline under foreign control
 debate on the legislation which faces a veto threat from president bush is to continue today
 the amendment would require the department to block the purchase of a major airline by anyone who has run two or more carriers that have filed for protection from creditors under chapter N of the bankruptcy code
 in N texas air 's continental airlines filed for bankruptcy
 earlier this year texas air 's eastern airlines filed for bankruptcy
 this ought to be <unk> the do n't let frank lorenzo take over another airline amendment said rep. james <unk> d. minn. chairman of the house aviation subcommittee who argued that the provision was unnecessary because the bill already would give the department ample power to block <unk> deals
 for years a strict <unk> <unk> the staff meetings at nissan motor co. 's technical center in tokyo 's western <unk>
 employees wore <unk> <unk> listing not only their names but also their dates of hire
 no one could voice an opinion until everybody with more seniority had spoken first so younger employees often the most enthusiastic and innovative seldom spoke up at all
 but in N the <unk> and the do n't speak out of turn rule were abolished early steps in a cultural revolution still rolling on with all the <unk> of a freight train
 in recent years nissan has instituted <unk> work schedules and allowed employees to dress <unk> even in blue jeans
 a rule <unk> staffers to own competitors ' cars has been lifted and now many designers drive foreign cars to get useful ideas
 nissan 's <unk> corporate song filled with <unk> to mount fuji has been scrapped in favor of a <unk> tune sung by a popular japanese <unk>
 and in a japanese corporate first nissan recently opened the first <unk> company <unk> for single employees at the suburban tokyo technical center
 we had lots of internal debate about this one concedes <unk> <unk> a senior public-relations official
 but in the end top management decided to follow the voice of the younger generation
 this corporate glasnost is a big reason nissan after years of making lackluster cars and <unk> profits has <unk> up its rigid ways and now is riding a string of hits ranging from the <unk> <unk> sedan and <unk> <unk> to the <unk> <unk> <unk> a <unk> sold only in japan
 the company 's turnaround is far from complete many crucial tests are just beginning
 but its surprising progress so far holds important <unk> for companies in trouble
 the big one a company 's culture ca n't be <unk> changed unless top management first admits that things have gone badly <unk> and then publicly leads the charge
 <unk> <unk> nissan 's executive vice president for finance helped set the tone in december N when the company was heading toward the first operating loss by a japanese auto maker since the nation 's postwar recovery
 this is a time of <unk> to discover what is wrong with us he said
 <unk> kume who took the helm as nissan 's president in june N added simply i am deeply disappointed
 no wonder
 nissan japan 's second-largest auto maker and the world 's <unk> was getting beat up not only by its bigger rival toyota motor corp. but also by honda motor co. the most successful japanese car company in the u.s. but a relative <unk> in japan
 nissan 's market share in japan had been dropping year by year since the beginning of the decade
 its u.s. sales sagged partly because of price increases due to the rising yen
 worst of all nissan was <unk> with management <unk> <unk> and corporate <unk>
 consider the experience of <unk> <unk> a <unk> designer of vehicle <unk> who joined nissan in N
 at that time tasks were assigned strictly on the basis of seniority
 the oldest designer got to work on the <unk> she recalls
 the next level down did doors
 if a new person got to work on part of the <unk> that was a big deal
 this system produced boring <unk> cars that consumers just were n't buying
 desperately hoping to spark sales nissan transferred N middle managers and plant workers to dealerships
 meanwhile president kume ordered everyone from top executives to <unk> designers to go town watching to visit <unk> parts of tokyo to try to gain <unk> into developing cars for <unk>
 some <unk> <unk> were downright comic
 one group of <unk> manufacturing men from the company 's <unk> plant outside tokyo was supposed to check out a trendy restaurant in the city
 but when they arrived at the door all were afraid to go in <unk> that they would be out of place
 other trips were more productive
 mr. kume himself visited honda 's headquarters in tokyo 's upscale <unk> district
 he liked the <unk> lobby display of honda 's cars and trucks so much that he had nissan 's gloomy lobby exhibit <unk>
 later nissan borrowed other honda practices including an engineering idea contest to promote <unk>
 one engineer developed a <unk> car that moves <unk>
 such sudden cultural shifts may come across as a bit forced but they seem to be genuine so much so in fact that some older employees have resisted
 nissan handled the <unk> in a typically japanese fashion they were n't fired but instead were neglected says <unk> <unk> the personnel manager at the nissan technical center
 despite the pain of adjusting the cultural revolution has begun to yield exciting cars
 a year ago the company completely revamped its <unk> sedan the $ N <unk> which competes against a broad range of upscale <unk> it replaced its <unk> <unk> body with <unk> <unk> lines
 since then nissan also has launched new versions of the $ N <unk> <unk> <unk> and <unk> sports car
 the <unk> <unk> costs as much as $ N and is <unk> off against the <unk> N which begins at $ N
 besides new <unk> the new <unk> have more powerful engines and more sophisticated suspension systems
 all three new models are <unk> their <unk> by wide margins
 in its home market nissan has grabbed attention with <unk> <unk> featuring <unk> odd enough to be <unk>
 one is the <unk> a tiny <unk> with a <unk> <unk> top and <unk> <unk> that give it a <unk> look
 nissan initially planned to sell just N <unk> but sales have passed N and there 's a one-year waiting list for the car
 then there 's the <unk> an <unk> delivery van with a <unk> body that inspired its name
 nissan helped develop a tokyo restaurant with both vehicles as its design theme
 the chairs are <unk> seats and a gift shop sells such items as alarm <unk> <unk> like the <unk> 's <unk> <unk>
 all these vehicles have sharply improved nissan 's morale and image but have n't done much for its market share
 nissan had N N of the japanese car market in N before beginning a <unk> <unk> slide that continued through last year
 strong sales so far this year are certain to turn the tide but even the N N market share that nissan expects in N will leave it far below its position at the beginning of the decade
 nissan concedes that it wo n't recoup all its market-share losses in japan until at least N and even that timetable might prove optimistic
 everyone else is going to catch up with nissan 's innovative designs says a. <unk> <unk> auto analyst at first boston japan ltd
 nissan 's pace of <unk> hits will slow he adds just as <unk> toyota <unk> its own batch of new cars
 likewise in the u.s. nissan has grabbed N N of the car market so far this year up from N N a year ago
 but even that brings nissan only to the share it had in N and leaves the company behind its high of N N in N and N
 why
 so far nissan 's <unk> successes are mostly specialized vehicles with limited sales potential
 in compact and <unk> cars the bread-and-butter sales <unk> for japanese auto makers nissan still trails toyota and honda
 nissan hopes that that will start to change this fall with its new version of the stanza compact sedan
 the stanza has been a <unk> compared with honda 's <unk> successful accord and toyota 's <unk>
 but this year honda has revamped the accord and made it a midsized car
 nissan instead has kept its new stanza a bit smaller than that and cut the base price N N at $ N stanza prices start $ N below the predecessor model yet have a <unk> engine
 accord prices start at $ N
 nissan 's risk is that its <unk> strategy might get lost amid the highly publicized rebates being offered by detroit 's big three
 but on a new car a <unk> does n't work well because it <unk> the vehicle 's image contends thomas d. <unk> executive vice president of nissan 's u.s. sales arm
 even if the new stanza succeeds nissan will remain behind in the <unk> segment where its <unk> does n't measure up to the honda civic and toyota <unk>
 nissan will introduce a completely revamped <unk> next fall
 at the opposite end of the market nissan <unk> its luxury infiniti division on nov. N three years after honda <unk> japanese luxury cars and two months after toyota 's lexus went on sale
 nissan started advertising infiniti fully eight months before the cars hit american <unk>
 the ads featured <unk> rocks and <unk> <unk> almost anything but the cars themselves
 the ads have generated some <unk> but also plenty of attention because they are so unlike any other u.s. auto advertising
 on the other hand nissan 's sales goals for infiniti are modest compared with toyota 's targets for lexus
 nissan will build only about N of the $ N infiniti <unk> <unk> each month sending about N of them to the u.s. and keeping the rest for sale in japan
 toyota wants to sell about N lexus <unk> <unk> next year in the u.s. alone
 when i saw the lexus sales projections i got worried <unk> <unk> <unk> who led the infiniti development team
 but on reflection mr. <unk> says he concluded that nissan is being prudent in following its <unk> strategy instead of simply copying lexus
 infiniti is nissan 's big business move for the <unk> century and we 're in no hurry to generate large profits right away mr. <unk> says
 despite plans to add two new infiniti models next year bringing the total to four infiniti wo n't show profits for at least five years he adds
 these days nissan can afford that strategy even though profits are n't exactly robust
 nissan had record net income of N billion yen $ N million in the fiscal year ended last march N a remarkable recovery from the N billion yen of two years earlier when the company lost money on operations
 nissan has increased earnings more than market share by cutting costs and by taking advantage of a general surge in japanese car sales
 but nissan expects to earn only N billion yen in the current fiscal year a modest increase of N N
 the big reason for all its cost-cutting nissan remains less efficient than toyota
 in its last fiscal year nissan 's profit represented just N N of sales compared with N N at toyota
 to help close the gap nissan recently established a <unk> cost-cutting committee
 nissan is the world 's only auto maker currently building vehicles in all three of the world 's key economic <unk> the u.s. japan and europe
 that gives it an <unk> strategic advantage at least until its rivals catch up but also plenty of <unk> headaches
 for example nissan 's u.s. operations include N separate subsidiaries for manufacturing sales design research etc. that report separately back to japan
 and in july nissan 's tennessee manufacturing plant beat back a united auto workers organizing effort with aggressive tactics that have left some workers bitter
 we are in a <unk> phase from being a japanese company to becoming an international company based in japan says mr. <unk> the executive vice president
 he promises that nissan will soon establish a holding company overseeing all u.s. operations just as it 's doing in europe
 perhaps the biggest challenge however will be to prevent a return to its former corporate <unk> as its recovery continues
 already personnel officials are talking about the need for a phase two <unk> effort of some sort
 we are still only half way through the turnaround of this company and there are many more things to do president kume says
 he adds however that the momentum we have generated is <unk>
 as expected warner <unk> records said it agreed to form a <unk> and <unk> joint venture with former mca records chairman irving azoff
 warner said it will provide financing for the venture but did n't disclose terms
 mr. azoff has n't named the company yet but any records it produces will be distributed by warner
 warner is part of warner communications inc. which is in the process of being acquired by time warner inc
 mr. azoff resigned as head of mca records a unit of mca inc. in september and had been discussing a joint venture with both warner and mca
 in a statement yesterday mr. azoff said he chose warner the largest record company because their standing in the entertainment industry is second to none
 president bush and soviet leader mikhail gorbachev will hold an informal meeting in early december a move that should give both leaders a political boost at home
 the white house is <unk> not calling the meeting a summit so that there wo n't be any expectation of detailed negotiations or agreements
 rather senior administration officials said that the unexpected meeting was scheduled at mr. bush 's request because of his preference for conducting <unk> through highly personal and informal meetings with other leaders
 the two leaders will meet on dec. N and N <unk> the two days of meetings between a u.s. and a soviet naval vessel in the <unk> sea
 the unusual <unk> meeting wo n't disrupt plans for a formal summit meeting next spring or summer at which an arms-control treaty is likely to be completed
 in announcing the meeting yesterday mr. bush told reporters at the white house that neither he nor mr. gorbachev expects any substantial decisions or agreements
 instead he said that the purpose is simply for the two to get better <unk> and discuss a wide range of issues without a formal agenda
 despite the informal nature of the session and the calculated effort to hold down expectations the meeting could pay significant political dividends for both leaders
 mr. gorbachev badly needs a diversion from the serious economic problems and ethnic unrest he faces at home
 american officials have said that a meeting with the leader of the u.s. could help bolster his <unk> among soviet politicians and <unk> whose support he needs
 for his part mr. bush has been criticized regularly at home for moving too slowly and cautiously in reacting to mr. gorbachev 's reforms and the historic moves away from communism in eastern europe
 a face-to-face meeting with mr. gorbachev should damp such criticism though it will hardly eliminate it
 senate majority leader george mitchell d. maine who has been the most prominent democratic critic of mr. bush 's handling of the soviet relationship praised the president for arranging the meeting
 but he added the mere fact of a meeting does n't deal with the substance of policy
 mr. bush said that the december meeting which was announced simultaneously in moscow will be held in the unusual setting of ships at sea to hold down the fanfare and force the two sides to limit participation to just small groups of advisers
 by doing it in this manner we can have i would say more time without the press of social activities or mandatory joint appearances things of that nature for public consumption mr. bush said
 soviet foreign minister eduard shevardnadze at a news conference in moscow said as the two sides plan to hold a <unk> summit in late <unk> summer next year they found it useful i would say even necessary to hold an interim informal meeting
 although no specific agreements are expected mr. shevardnadze said that does n't mean they will be without an agenda
 if the two leaders cover the subjects that have been featured in lower level u.s.-soviet meetings their talks would include human rights soviet reforms regional disputes relations with allies economic cooperation arms control and joint efforts to fight narcotics terrorism and pollution
 the president specifically mentioned u.s. economic advice to moscow as a possible topic
 mr. gorbachev has for months been publicly urging the u.s. to drop its restrictions on soviet trade
 he recently told a small group of american businessmen in moscow that he hoped to sign a general trade agreement with the u.s. possibly at the N summit
 the soviets hope a trade agreement would give them <unk> nation status which would lower the tariffs on soviet exports to the u.s.
 in an unusually <unk> article about the latest economic <unk> unemployment pravda yesterday reported that three million soviets have lost their jobs as a result of perestroika and the number could grow to N million by the year N
 economists in moscow are now proposing that the state start a system of unemployment benefits
 but one bush administration official knowledgeable about the summit plan cautioned against assuming that there will be bold new initiatives on the soviet economy or other issues
 do n't take this as some big opening for major movement on economic cooperation or arms control or the environment he said
 those things will all come up but in a fairly informal way
 instead this official said this is vintage george bush
 this was george bush 's own idea
 it 's george bush wanting to meet a foreign leader and talk to him directly
 aside from the soviet economic plight and talks on cutting strategic and chemical arms one other issue the soviets are likely to want to raise is naval force reductions
 western analysts say that given the meeting 's setting at sea gorbachev is unlikely to pass up the opportunity to press once again for negotiated cuts in the <unk> of both the north atlantic treaty organization and the warsaw pact
 that theme has been a <unk> one for soviet military officials for much of this year
 they argue that as the kremlin follows through on announced plans to cut land forces the soviets ' area of greatest strength the u.s. should show more willingness to cut sea forces washington 's area of greatest <unk>
 one of the reasons bush administration aides are anxious to insist that the coming meeting will be informal is to avoid comparisons with the last such <unk> structured <unk> gathering former president reagan 's N meeting with mr. gorbachev in <unk> <unk>
 that meeting sent <unk> through the western alliance because mr. reagan was pulled into discussing the possible elimination of nuclear weapons without consulting american allies
 mr. bush said that he initiated talks with the soviets on the informal meeting by sending a proposal to mr. gorbachev last july which the soviet leader readily accepted
 but word of the possible session was closely held by the president and a handful of top aides and word of it did n't reach many <unk> officials until the past few days
 indeed many senior officials had been insisting for weeks that mr. bush was n't interested in such an informal <unk>
 though president bush 's political critics at home have been urging him to open a more direct dialogue with mr. gorbachev it actually was the arguments of leaders within the soviet bloc itself that led the president to seek the december meeting
 mr. bush decided he wanted the meeting after talking in europe in july with the leaders of poland and hungary who urged him to support mr. gorbachev 's efforts to transform the soviet system and to urge him to loosen his grip on eastern europe a senior aide said
 while flying home from those discussions mr. bush drafted a letter to mr. gorbachev suggesting an informal <unk> to <unk> their formal summit next year
 peter <unk> in moscow contributed to this article
 <unk> <unk> del <unk> said its potential losses from lending to <unk> could reach N trillion lire $ N million marking the bank 's first <unk> of potential costs of unauthorized lending by its atlanta branch
 bnl previously reported that its georgia branch had taken on loan commitments <unk> $ N billion without the <unk> management 's approval
 state-owned bnl italy 's largest bank has filed charges against the branch 's former manager christopher <unk> and a former branch vice president alleging fraud and breach of their fiduciary duties
 bnl also said that its board had approved after an <unk> discussion a letter to the bank of italy <unk> measures the state-owned bank has taken or plans to take to improve controls on its foreign branches
 the central bank had ordered bnl to come up with a suitable program by yesterday
 bank of italy has also ordered bnl to shore up its capital base to account for potential foreign loan losses and the rome bank has outlined a N trillion lire <unk> operation
 bnl was unable to elaborate on what measures were planned by the bank to improve controls on its branches abroad
 hardly a day passes without news photos of the police dragging <unk> protesters from some building or <unk> in one of our cities
 of recent note are the activities of the <unk> and anti-abortionists anti-nuclear activists animal rights protesters college students concerned about <unk> <unk> groups various <unk> environmentalists and those <unk> with the pace of the war against aids
 maybe he did n't start it but <unk> gandhi certainly provided a <unk> beginning to non-violent civil disobedience as we know it today
 the <unk> or great <unk> one <unk> several campaigns of passive resistance against the british government in india
 unfortunately according to webster 's <unk> <unk> his policies went beyond his control and resulted in <unk> and <unk> and later a renewed campaign of civil disobedience resulted in <unk> and a second <unk>
 i am not a <unk> of everything gandhi did but some of his law breaking was justified because india was then under <unk> by a foreign power and indians were not able to participate fully in decisions that <unk> affected them
 it is difficult however to justify civil disobedience non-violent or not where citizens have full <unk> to the ballot box to effect change
 where truly representative governments are <unk> by constitutional <unk> of human rights and an independent judiciary to <unk> those rights there is no excuse for breaking the law because some individual or group <unk> with it
 there may be a few cases where the law breaking is well <unk> and so completely <unk> of the rights of others that it is difficult to <unk> it
 the case of <unk> parks the black woman who refused to sit at the back of the bus comes to mind as an illustration
 but most cases of non-violent civil disobedience are not nearly so benign
 the public has a tendency to <unk> <unk> demonstrations with non-violent civil disobedience
 it is true that both are non-violent but there is a fundamental difference between them
 <unk> demonstrations such as peaceful <unk> and other <unk> that do not <unk> the peace or cause a public <unk> or interfere with the rights of others are rights guaranteed by any truly free system of government
 civil disobedience violent or non-violent is <unk> law breaking
 the subject of this discussion is non-violent civil disobedience but before we get on with that let me make just a few <unk> remarks about <unk> demonstrations
 they are useful to call public attention to <unk> but they have little value in <unk> anyone about the issues in dispute
 the <unk> of television in dramatic confrontation encourages <unk> of <unk> <unk> through <unk> <unk> gestures <unk> signs and other <unk> inspired tactics
 <unk> <unk> and an environment where compromise can begin are lost in a hostile posture <unk> by <unk> media interviews
 at best demonstrations are <unk> and <unk> <unk> at worst they can become the <unk> that lead to law breaking
 demonstrations are particularly apt to <unk> into criminal conduct when they leave the site of the <unk> and become mobile
 <unk> criminals and street people looking for excitement <unk> themselves like <unk> to the <unk> of the crowd and use the protest as an excuse for rock throwing auto <unk> <unk> window breaking <unk> <unk> picking and general <unk>
 soon the whole purpose of the demonstration is lost in <unk> mania
 there are better ways to promote a cause
 where non-violent civil disobedience is the centerpiece rather than a <unk> demonstration that may only attract crime it is difficult to justify
 some find no harm in the <unk> of trespass minor property destruction blocking traffic and the like
 they say these are small prices to pay for <unk> action for the <unk> cause
 the crimes may appear small but the prices can be huge
 here are two cases to illustrate
 assume a neighborhood demonstration to protest speeding on a certain road or a <unk> accident involving a police car
 the protesters lie down in the street blocking traffic and will not move until the authorities carry them away
 assume that someone caught in the <unk> has a heart attack
 there is no way to get an <unk> in quickly to move him to a hospital
 he dies
 the demonstration was non-violent and involved only a simple <unk> but its impact on that individual was violent and terminal
 assume that a tv network is airing a celebrity interview program with a live audience
 the politician appearing is highly controversial and has recently generated a good deal of <unk> amid certain groups
 in a planned protest against his appearance several members of the studio audience chain themselves in front of the tv cameras in such a way that the program can not continue
 the network must refund money to the advertisers and loses considerable revenue and prestige
 the demonstrators have been non-violent but the result of their <unk> has been to seriously <unk> the rights of others <unk> with their dispute
 it might be alleged that tv has done more than its share to <unk> and promote non-violent civil disobedience so the second situation <unk> above would be simply a case of <unk> coming home to <unk>
 or maybe the tv network would lose nothing
 <unk> or phil would probably pull up another camera and interview the <unk> protesters
 let us look for a moment at another type of non-violent civil disobedience that only <unk> other people indirectly yet does <unk> damage to the nation as a whole
 i am referring to those young men who chose to <unk> their country 's call to arms during the vietnam war and fled to canada or some other <unk> to avoid combat
 their <unk> acts of civil disobedience which they tried to hide under the <unk> of <unk> at a war they characterized as <unk> weakened the national fabric and threw additional burdens on those who served <unk> in that conflict
 even more at fault are those leaders in and out of government who urged and supported their <unk> thereby giving great help and comfort to the enemy <unk>
 it is amazing that the <unk> mass executions in vietnam and cambodia do not weight more heavily on minds so morally <unk>
 worse it remained to a <unk> but <unk> president of the united states to <unk> the final <unk> upon those who fought and died in vietnam
 under the <unk> of <unk> the <unk> of the nation president carter <unk> thousands of draft <unk> thus giving dignity to their allegations of the war 's <unk>
 the precedent having been set who can complain if future generations called upon to defend the u.s. yield to the temptation to avoid the danger of combat by simply declaring the war <unk> and <unk> until it is over
 finally i think it important to point out the extraordinarily high <unk> of non-violent civil disobedience in these days of intensive media coverage
 give television a chance to cover live any breaking of the law and no second invitation will be required
 this brings into question the <unk> of those who lead civil disobedience demonstrations
 do they want the <unk> for themselves or for their cause
 here is a good rule of <unk> if the movement produced the leader the chance that he is <unk> is much greater than if the leader produced the movement
 in either case ask yourself whether you have become better informed on the issues under protest by watching the act of civil disobedience
 if you have not it is probable that a <unk> airing of the dispute by calm and rational debate would have been the better course
 mr. <unk> was vice president of the u.s. from N until he resigned in N
 gov. george deukmejian and key legislators agreed to back a temporary <unk> increase in the state sales tax to raise $ N million for repairs and relief associated with last month 's earthquake
 the tax increase which will be considered at a special session of the state legislature that begins tomorrow would cover only part of the estimated $ N billion to $ N billion in total damage caused by the oct. N quake
 aside from as much as $ N billion in recently approved federal aid the state is expected to draw from a gubernatorial emergency fund that currently stands at an estimated $ N million
 i am not aware that there is anything but bipartisan agreement for the general <unk> of the <unk> plan said a spokesman for the governor after a monday meeting with legislative leaders over the <unk> question
 the tax increase on top of the current <unk> per dollar sales tax would become effective this dec. N and expire dec. N N
 the <unk> plan was preferred over an alternative that would have boosted the state gasoline tax
 some legislators expressed concern that a <unk> increase would take too long and possibly damage chances of a major <unk> ballot initiative that voters will consider next june
 despite continuing problems in its newsprint business <unk> corp. posted a N N gain in third-quarter net income
 the consumer-products and newsprint company said net rose to $ N million or $ N a share from $ N million or $ N a share a year ago
 sales rose N N to $ N billion from $ N billion
 after a flat second quarter tied largely to lower newsprint earnings <unk> attributed the gain to improved results in its consumer businesses in north america brazil and korea
 those gains came from higher prices particularly for disposable <unk> and tissue products and from increased sales primarily for <unk> products the company said
 newsprint results continued to be depressed the company added because of industrywide price discounting
 the <unk> comparison was also enhanced by charges taken in the year-earlier period including $ N million related to the modernization of a pulp and newsprint mill in alabama
 in the N period also interest expense and tax rates were lower than a year ago
 in the first nine months profit rose N N to $ N million or $ N a share from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 in new york stock exchange composite trading <unk> closed at $ N a share up $ N
 intensive audits are coming to N taxpayers as research guinea pigs
 this is the year <unk> <unk> of N personal returns are being picked <unk> for <unk> audits to help the irs update its criteria for enforcement audit selection and use of resources
 the last taxpayer compliance measurement program survey covered N returns
 the <unk> project starts jan. N and is to be done by may N N
 specially trained irs agents will look for <unk> income and <unk> deductions and credits
 the agents will make more than routine inquiries about such items as <unk> status and dependents they want to look at living standards and business assets
 but they also are to see that taxpayers get all <unk> tax benefits and to ask if <unk> who sought irs aid were satisfied with it
 courts have ruled that taxpayers must submit to <unk> audits but the irs will excuse from the <unk> <unk> anyone who was <unk> without change for either N or N
 rewards have been suggested but never adopted for <unk> who come through <unk> audits without change
 penalty overhaul is still likely congressional sources say
 <unk> proposals to <unk> the more than N civil penalties and make them <unk> and easier to <unk> are in the house tax bill
 but they were stripped from the senate bill after staffers estimated penalty revenue would fall by $ N million over five years
 still congressional aides say penalty reform is a strong candidate for enactment even if not this time around although some provisions may be modified
 sen. <unk> d. <unk> a leader on the issue who generally backs the house plan wants some changes for one separate sanctions for negligence and large <unk> of tax owed not a single penalty
 he would ease the proposed penalties for delayed <unk> deposits and for <unk> form N and other reports that taxpayers correct voluntarily
 the general accounting office urges congress to ensure that all penalties retain their force as <unk>
 taxpayers ' rights are defined by a growing number of states
 the N tax act created a federal bill of rights <unk> out irs duties to protect taxpayers ' rights in the assessment and collection of taxes
 states are following suit
 california enacted a rights law in N
 in N illinois kansas ohio oregon and south carolina have adopted rights laws the federation of tax administrators a state officials ' group reports the features vary
 and taxpayer groups are urging legislation in many other states
 one group is the committee on state taxation which <unk> N <unk> corporations and advises the council of state chambers of commerce
 the group 's mark <unk> says its efforts begun in N have led to the introduction of bills in massachusetts minnesota and colorado to establish <unk> procedures affecting all kinds of taxpayers
 the group also seeks <unk> among states in provisions for taxpayers ' rights
 this week new york city announced a <unk> policy <unk> on the federal bill of rights for taxpayers
 the <unk> rate allowed for business use of a car in N has risen to N cents a mile for the first N from N cents in N the irs says the rate stays N cents for each added mile
 also <unk> N cents for charitable activities and nine cents for medical and moving costs
 ira <unk> could be used to qualify for bank services under a bill entered by <unk> chandler r. wash and <unk> d. texas
 the bill would thwart a recent labor department opinion that investing <unk> funds to earn free checking violates the law
 hugo <unk> vast <unk>
 south carolina 's congressional delegation has entered senate and house bills to provide special <unk> treatment and other tax relief for <unk> growers in the hurricane disaster areas
 he rode his <unk> but he could n't milk it the tax court says
 the court often <unk> deductions of <unk> costs do they stem from a <unk> activity or a <unk> <unk>
 but it 's rare to see both functions in one case
 charles o. <unk> of mount <unk> ind. investment broker <unk> and son of a former stable owner <unk> tennessee walking horses for six years raised cattle for four and never made a profit on either
 he claimed losses totaling $ N and the irs denied them all
 special judge <unk> noted that <unk> managed <unk> in a <unk> way he kept detailed accounts practiced soil conservation enhanced his experience by consulting experts spent several hours a day doing chores and dropped the sideline when his best <unk> <unk> died
 yet he took little <unk> care with his cattle he had no prior experience and did n't seek business counsel about them
 the judge said <unk> may <unk> his $ N of losses from horse breeding but rejected the $ N in deductions from the cattle operation
 briefs
 the irs already is doing intensive <unk> audits of N returns for N and fiscal N filed by corporations with under $ N million in assets
 president bush says he will name donald e. <unk> to the new treasury post of inspector general which has responsibilities for the irs
 the u.s. and finland signed an income-tax treaty subject to <unk>
 an arbitrator awarded eastern airlines pilots between $ N million and $ N million in back pay a decision that could complicate the carrier 's bankruptcy-law reorganization
 eastern a unit of texas air corp. said it is <unk> the ruling to determine if it can appeal
 it 's unclear whether eastern will succeed in <unk> the arbitrator 's decision made in a <unk> pay parity dispute that <unk> both the carrier 's chapter N petition and its N acquisition by texas air
 all eastern 's previous court efforts to head off the pilots ' demands have failed
 an eastern spokesman said he does n't expect that the arbitrator 's ruling will have any overall material effect on the company 's strategic plan
 bankruptcy experts said the law is n't clear on how such an arbitration ruling can affect a company 's case
 like any other creditor the pilots will have to apply to the court for payment of their claim
 that may leave a lot of <unk> for u.s. bankruptcy judge burton r. <unk> to decide what if anything the pilots actually collect
 in august he issued the ruling that let the pilots pursue their <unk> <unk> before the arbitrator
 the pilots ' contract with eastern calls for a <unk> acceptable private arbitrator to resolve such <unk>
 in a statement to employees eastern said the company was disappointed by the ruling
 the obligation is totally unwarranted the statement said
 james <unk> a lawyer for the air line pilots association said the pilots were extremely pleased
 this is a blow not only to eastern but to the creditors committee he said
 eastern 's creditors committee along with the company has consistently opposed the pilots ' claim which if paid would have to come out of money both hope to use to pay off other bankruptcy claims
 eastern and its creditors are in the final delicate stages of negotiating a second reorganization plan to pay off the airline 's debts
 an earlier plan which had received the creditors ' approval in july fell apart when eastern changed its business plan
 it is n't known whether the pilot claim was figured into either plan
 the dispute between eastern and its pilots is over a pay parity clause in the pilots ' contract
 the clause was part of an agreement in which pilots accepted a substantial pay cut as long as no other labor group got a raise
 shortly after texas air took control of eastern some machinists union supervisors received a N N pay raise
 the pilots argued that this triggered a pay raise for them
 eastern has disputed the claim but a federal district court an appeals court and now the arbitrator have all <unk> with the pilots
 the two sides do n't even agree about how much money is at issue
 the pilots put the amount as high as $ N million the company at $ N million
 another arbitrator is hearing another pay parity case between eastern and its pilots resulting from a similar set of circumstances involving a separate pay raise granted another union
 a decision on that case is n't expected before <unk>
 ironically many of the pilots involved have left eastern or are still striking the carrier which filed for bankruptcy protection march N
 about N have crossed the picket lines and returned to work
 few people in the advertising business have raised as many <unk> as alvin a. achenbaum
 the general public may not know his name but he 's famous make that <unk> in advertising circles a marketing consultant he <unk> slashing ad agency commissions to the <unk> of advertising clients and the <unk> of agencies
 now after beating them mr. achenbaum is joining them
 backer spielvogel bates worldwide named mr. achenbaum N vice chairman of professional services reporting directly to carl spielvogel chairman and chief executive officer
 he joins nov. N <unk> his consulting firm <unk> achenbaum associates
 in years past the ad industry 's most distinguished executives did n't hesitate to <unk> mr. achenbaum
 they have since <unk> although one senior young & rubicam executive <unk> others said i think ad agencies owe carl spielvogel a vote of thanks for getting him out of the consulting business
 but industry executives also believe hiring mr. achenbaum is a <unk> move for backer spielvogel a unit of saatchi & saatchi
 mr. achenbaum has counted among his clients some of the most visible blue-chip advertisers in the country including nissan toyota seagram and backer spielvogel clients hyundai and j.p. morgan
 at backer spielvogel he will work with clients and potential clients on marketing strategies aside from agency compensation issues he helped nissan for example come up with its <unk> and pricing for its new infiniti line
 his client contacts meanwhile could prove a gold mine for an agency that has had few new business wins of late
 i 've done over N ad agency searches for clients so i have a pretty good notion of what clients are interested in when they look for an agency mr. achenbaum said
 as a consultant he has given <unk> at agencies including ogilvy & mather on how to win new business
 mr. spielvogel said he hopes mr. achenbaum will do some strategic consulting at the agency for <unk> in hopes that they become clients
 at backer spielvogel mr. spielvogel 's <unk> has been personal involvement with all major clients
 he <unk> them he invites them to <unk> parties he strokes them
 mr. achenbaum too <unk> into his clients ' business
 carl has a much higher degree of <unk> with his clients than is ordinary for an agency his size
 and with al 's record of being a <unk> and a detail guy you can see how the two fit said alan <unk> an analyst with painewebber
 mr. achenbaum 's move follows the announcement last month that his consulting partner stanley <unk> N would retire
 when the announcement came out i picked up the phone and said why do n't you come to us mr. spielvogel said
 mr. achenbaum who had been considering <unk> down his firm or <unk> it with another small consulting outfit soon agreed
 the two men are longtime friends and tennis partners having met about N years ago
 before becoming a consultant in N mr. achenbaum was a senior executive at j. walter thompson co
 he spent most of his career <unk> marketing strategies but became best-known for <unk> away at ad agency compensation
 ad agencies typically earned a straight N N commission if a client spent $ N million on tv time the agency made $ N million
 but mr. achenbaum <unk> negotiated fees which often worked out to less than N N
 more recently he negotiated <unk> <unk> in which an ad agency in some cases must pay a client if it drops the account
 he ultimately became so well-known for cutting compensation however that clients did n't seek him out for anything else
 i was very frustrated he said
 the fact of the matter is i am a marketer
 that 's another reason for the backer spielvogel job
 it struck me as a way to get back to what i really want to do
 mr. spielvogel added <unk> the pressure on commissions did n't begin with al achenbaum
 mr. spielvogel said mr. achenbaum will work with clients to determine the mix of promotion merchandising publicity and other marketing outlets and to integrate those services
 he will concentrate on among others j.p. morgan and hyundai
 mr. achenbaum helped morgan in its recent agency search and he has a long relationship with hyundai which is having severe troubles including declining sales
 the trail of revenue is increasingly going away from pure advertising and going <unk> other services mr. spielvogel said
 instead of being just an ad agency he said we have <unk> our mission here
 our mission is to help our clients grow and to use every tool of marketing communications to accomplish that
 industry executives are <unk> mr. achenbaum well
 leonard matthews <unk> of the american association of advertising agencies called mr. achenbaum a <unk> in an <unk> N speech
 yesterday mr. matthews now a consultant with the stamford conn. firm matthews & johnston <unk> i think he 'll be very good at that new job
 and much better at that than at the <unk> he 's been doing recently
 cotton inc campaign
 cotton inc. the fiber company that represents cotton growers will begin a new ad campaign developed by ogilvy & mather <unk> day
 j. nicholas hahn cotton inc. 's president and chief executive was an outspoken critic of wpp group 's acquisition of ogilvy group earlier this year
 during the takeover mr. hahn said he would put his account up for review if wpp 's bid were successful but he did n't
 cotton inc. 's new $ N million campaign calls cotton the fabric of our lives
 the campaign <unk> its take comfort in cotton ads and marks the end of its national cooperative advertising efforts
 for years the company 's ads were tied in with pitches for <unk> sheets or <unk> <unk> for example and an announcer at the end of the ads would tell customers where to find the true performance label
 with the new tv spots ogilvy & mather has opted for a family style with lots of <unk> <unk> and <unk>
 we 're making a fairly obvious plea for some emotional reaction says tom <unk> creative director at ogilvy & mather
 cotton inc. will spend nearly $ N million on broadcasting on <unk> day alone advertising on such programs as good morning america macy 's <unk> day parade and the nfl holiday game
 frank <unk> dies at N
 frank l. <unk> one of the <unk> of advertising targeted at black audiences died at the age of N after a <unk>
 mr. <unk> was chief executive officer of the <unk> group which he founded in N and which created ads for the black market
 clients include miller brewing co. and general motors
 mr. <unk> was <unk> sept. N and died monday according to samuel j. <unk> the agency 's president and chief operating officer
 ad notes
 earnings
 <unk> group inc. new york reported third-quarter net income rose N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 revenue increased N N to $ N million from $ N million
 prime minister lee <unk> <unk> singapore 's leader and one of asia 's leading <unk> for N years recently announced his intention to retire next year though not necessarily to end his influence
 the prime minister whose hair is <unk> and gray and whose face has a perpetual <unk> nonetheless continues to display an energy a precision of thought and a willingness to say publicly what most other asian leaders <unk> say only privately
 the <unk> mr. lee recently spent an hour discussing the state of asia and the world with two journal reporters in his <unk> <unk> <unk> office
 the interview did not touch on singapore 's domestic affairs
 <unk> personal <unk> mr. lee picked up exactly where he left off several months earlier before the government crackdown in china when he had warned that the orthodox leadership in beijing feared a <unk> of views
 <unk> follow
 on china 's turmoil it is a very unhappy scene he said
 it took <unk> <unk> former premier and party chief N years to build a team of economists who understood how the western economies work and now that team is part in <unk> part being <unk> and part missing
 rebuilding that team mr. lee predicted will take another N years
 that 's very sad for china and for asia because china could have been a good engine for growth not just for hong kong and taiwan but for japan korea and the rest of asia
 on <unk> between china and the soviet union in important <unk> the soviets are different from the chinese
 they are already industrialized
 their problem is one of <unk> of an industrial economy
 the chinese problem is much greater it 's how to <unk> to begin with
 asked if the soviets like chinese officials wo n't one day face a similar conflict between the desire to <unk> economically and yet retain political control mr. lee said i would think that the soviets face a deeper dilemma because they have been more in <unk> than the chinese i mean keeping their people cut off from the outside world
 mikhail gorbachev he said is ahead of china 's leaders in his awareness of the world
 but i think the soviet peoples are more <unk> than the chinese
 regardless he said he still believes the soviet union while falling far short of the efficiency of a western economy may well manage to improve considerably
 on <unk> prosperity if america can keep up the present situation her markets open for another N years with adjustments and japan can grow and not cut back and so too korea taiwan hong kong singapore <unk> australia and new zealand then in N years the economies of these countries would be totally restructured to be able to almost sustain growth by themselves
 in such an arrangement all benefit he said
 and if the europeans come in they benefit too
 it 's not a <unk> game
 asked about the possibility of greater economic cooperation among <unk> nations which will be discussed nov. N and N at a <unk> meeting in <unk> mr. lee said the goal is to have a free and open world trading system
 an asian bloc is n't intended he said
 that 's not possible
 on <unk> relations i 'm encouraged
 i think the earlier <unk> notes struck by u.s. commerce secretary robert mosbacher and u.s. trade representative carla hills have been more <unk>
 i believe the u.s. is becoming more patient and <unk> he said
 it 's the total relationship that is important
 the total relationship as mr. lee sees it is the flow of dollars to the u.s. to fund the deficits the investments the japanese are making in the u.s. in order to satisfy american demand that american products consumed in america should be made as much as possible in america by americans with japanese technology and capital
 japan 's recent political turbulence mr. lee said may mean japan will slow market adjustments
 they 'll be more <unk> in <unk> their own voters like opening up more to agricultural imports from america hurting their farmers
 on u.s. military presence in asia asked if his offer to allow the american military to use facilities in singapore would help preserve america 's presence in the region at bases in the philippines he said what we have done is make it easier for the philippines to continue to host american bases without it being said they are <unk> of the <unk> and the only ones in asia or in southeast asia
 we are willing to share the political burden of being host to america an imperial power
 we think it is n't such a great burden that it carries no <unk> and we are prepared to do it
 on <unk> relations it 's such a <unk> relationship going back into history
 i really do not understand how it is that <unk> feel so <unk> involved in this father figure that they want to <unk> of and yet they need
 i just do n't understand it
 my relationships with the british are totally different
 they <unk> it over me
 they did me some good
 they did themselves even more good
 they let me down when the japanese came down during world war ii
 i do n't feel down or done in because i show british <unk> on my television network or read their books
 i mean it is a normal adult relationship
 but the <unk> and the americans when i talk to them there 's so much passion about filipino <unk> being diminished as a result of being <unk> upon by the americans and so on
 the <unk> <unk> tries to put on <unk> but we let it pass
 it 's just comic when they try to <unk> they 're still the master race
 mr. lee added that the <unk> are making it very difficult for the u.s. military presence to last beyond five or N years
 on military alternatives if the u.s. pulls back the soviets already are present
 i <unk> sooner or later the japanese would have to fill up a large part of the gap on the naval side
 maybe the chinese maybe even the indians
 on economic consequences of a diminished u.s. presence america is the only major power in recent history that has used its military might to sustain a system that enables all participants to equally benefit without her as the provider of the security taking royalties
 asked why so few nations seem to share his views of america he said many people see it that way
 but they have just taken it for granted
 on cambodia let 's assume that former <unk> leader prince <unk> <unk> does what the press wants him to do and joins up with <unk> <unk> leader <unk> sen
 is the trouble over
 can <unk> and <unk> sen knock off the khmer rouge still supported by china
 he ca n't
 what is the way forward
 to get the khmer rouge as part of a process for elections
 and when they lose then we can expect china to stop aid
 let 's put it <unk>
 the chinese can not be seen to have made use of the khmer rouge and then <unk> them
 ms. house is vice president of dow jones international group
 mr. <unk> is editor of the asian wall street journal
 everything looked good as <unk> walter levy and colleagues carefully cut away a woman 's <unk> tumor at the cleveland clinic in N
 using small electrical shocks applied to her feet they were able to monitor <unk> nerves
 the shocks generated <unk> <unk> that traveled via <unk> to brain and showed up clearly on a <unk> monitor indicating no damage to the delicate <unk> tissue
 then says dr. levy she <unk> up <unk>
 the damage was to her motor nerves which could n't be monitored along with the <unk> nerves he explains
 the tragedy he adds galvanized me to look for a way to prevent similar cases
 dr. levy 's answer may come with a new kind of magnetic brain probe a device that he and dozens of u.s. researchers are studying with great hope
 besides holding the promise of safer <unk> surgery the probe could improve the <unk> of brain and <unk> disorders such as strokes and multiple <unk>
 perhaps most exciting the device is <unk> open a window to the workings of the brain
 the probe which is <unk> <unk> and apparently <unk> employs strong magnetic fields to induce small <unk> of electricity within the brain
 if positioned over the brain 's <unk> area the hand-held <unk> generate <unk> <unk> that zip down motor nerves and <unk> <unk> making say a finger <unk>
 in principle they will enable doctors to check the body 's motor system the way an <unk> tests a home 's electrical circuits by running current through them
 until now we 've had no objective way of measuring motor function says keith <unk> a <unk> conducting clinical tests with the devices at boston 's massachusetts general hospital
 all we could do was tell a patient squeeze my fingers as hard as you can or raise your arm
 under the best circumstances such tests are <unk> when a patient is <unk> they do n't work at all
 magnetic brain <unk> started in the early <unk> when researchers produced <unk> of light in the <unk> field with <unk>
 in the 1960s <unk> clinic researchers developed magnetic devices to stimulate motor nerves in the hand and other <unk>
 but for brain tests the <unk> machines would have required patients to stand on their heads says <unk> <unk> a researcher at the university of california at san diego
 the field took off in N after scientists at britain 's <unk> university developed a handy compact <unk> for brain <unk>
 since then at least two commercial versions have been put on the u.s. market and an estimated N have been sold
 in august a chicago conference on such devices attracted more than N researchers who reported studies on everything from brain <unk> to physical therapy
 we do n't feel we can use the devices routinely in surgery yet but we 're getting close says dr. levy who is now with the university of pittsburgh
 a problem he adds is that <unk> brains are more <unk> to magnetic <unk> than <unk> ones
 the devices could help indicate when surgery would help says charles <unk> a university of toronto <unk>
 for example <unk> <unk> victims occasionally have some intact <unk> <unk> that if <unk> by emergency surgery enable partial recovery
 but such operations typically are n't performed because there is no sign right after an injury that surgery would be beneficial
 the cost of magnetic stimulators would seem like peanuts if we could retrieve <unk> function in such people dr. <unk> says
 scientists caution there is a chance the <unk> technique might spark seizures in <unk>
 but no significant problems have been reported among hundreds of people tested with the devices
 the main <unk> besides feeling like a <unk> <unk> with <unk> <unk> is like a <unk> on the head says sam <unk> a <unk> who has studied the brain stimulators at yale university
 one apparent side effect is a minor increase in a brain <unk>
 and some doctors who have conducted hours of tests on themselves report temporary headaches
 at least two companies <unk> laboratories inc. of <unk> wash. and <unk> medical systems inc. of <unk> conn. now sell versions of the magnetic devices
 the machines which at $ N are <unk> by medical standards have n't been approved in the u.s. for marketing as brain stimulators but are sold for <unk> nerves in the hand <unk> and other <unk> areas
 researchers can apply for permission to use the <unk> for brain studies
 at the university of kentucky a team led by dean <unk> a physical therapy researcher is testing the stimulators in <unk> with electric shocks to induce muscle <unk> to help prevent <unk> of <unk> <unk> after <unk> surgery
 similarly a <unk> university team led by heart researcher <unk> <unk> hopes to develop ways to <unk> induce <unk> muscle <unk>
 the devices might someday serve as temporary <unk> or <unk> for stopped hearts says dr. <unk> whose prototype was dubbed the <unk> <unk>
 the devices ' most remarkable possibilities though involve the brain
 probing with the stimulators national institutes of health scientists recently showed how the brain <unk> <unk> resources after an <unk>
 similar studies are expected to reveal how <unk> patients ' brains <unk> a first step toward finding ways to bolster that process and speed rehabilitation
 scientists also are exploring memory and perception with the new machines
 at the state university of new york at brooklyn researchers <unk> two groups of different letters on a computer screen in front of human guinea pigs
 between <unk> certain areas in subjects ' brains are jolted with a magnetic <unk>
 when the jolt is <unk> just right the subjects do n't recall seeing the first group of letters
 where does that first <unk> go <unk> <unk> <unk> paul <unk>
 trying to answer that is suggesting all kinds of theories such as precisely where and how the brain processes <unk> signals from the eyes
 he and others say that the machines are weak enough that they do n't jeopardize the memory
 both the <unk> team and researchers at the national <unk> laboratory in cambridge mass. are working with more potent magnetic brain stimulators
 among other things the stronger devices may be able to <unk> forth <unk> memories and induce mood changes <unk> say
 du pont co. hewlett-packard co. and los <unk> national laboratory said they signed a three-year $ N million agreement to <unk> on superconductor research
 the collaboration will include at least N researchers and will be aimed primarily at developing thin films of <unk> superconductors for use in electronics the companies said
 the materials discovered during the past three years conduct electricity without resistance and promise smaller faster computers and other new technologies
 <unk> programs have <unk> as u.s. companies seek to spread the risks and costs of <unk> new superconductors and to meet the challenges posed by foreign <unk> especially in japan
 the latest research pact <unk> du pont 's growing portfolio of investments in superconductors
 the wilmington del. chemicals concern previously signed research superconductor agreements with oak <unk> national laboratory and with <unk> national laboratory
 last year du pont agreed to pay $ N million for rights to superconductor work at the university of houston
 hewlett-packard is a palo alto calif. computer maker
 the los <unk> laboratory is one of three u.s. department of energy national laboratories designed as pilot centers to foster joint <unk> programs to speed the transfer of new superconductors to the marketplace
 j.c. penney co. dallas said it issued $ N million of securities backed by credit-card receivables
 the offering was priced with an N N coupon rate at N N to yield N N
 the retailer said the securities are expected to be rated triple-a by standard & poor 's corp. and <unk> by moody 's investors service inc
 they pay interest only for N months with principal payments beginning thereafter
 the expected average life of the certificates is N years with the final scheduled payment in october N
 first boston corp. is sole underwriter
 as part of the transaction j.c. penney will sell a portion of its credit-card receivables to its <unk> receivables inc. unit which will then transfer them to a master trust
 the trust will issue the certificates
 credit support will be provided by a letter of credit facility from credit suisse in favor of the trustee fuji bank & trust co. for the benefit of the certificate holders
 j.c. penney will continue to service the receivables
 <unk> japanese industrial managers here always buck up nervous newcomers with the tale of the first of their <unk> to visit mexico a <unk> of <unk> <unk> <unk> <unk> N years ago
 from the beginning it took a man with extraordinary <unk> to succeed in mexico says <unk> <unk> president of mitsui group 's <unk> engineering inc. unit
 here in this new center for japanese assembly plants just across the border from san diego turnover is dizzying infrastructure <unk> bureaucracy intense
 even <unk> drag <unk> bars where japanese <unk> <unk> over recorded music are prohibited by mexico 's powerful musicians union
 still N japanese companies including giants such as <unk> industries corp. <unk> electronics components corp. and sony corp. have set up shop in the state of northern <unk> california
 keeping the japanese happy will be one of the most important tasks facing conservative leader <unk> <unk> when he takes office nov. N as the first opposition governor in mexico 's modern history
 mexico with its desperate need for investment and japan with its huge budget surplus would seem like a perfect match
 but the two countries remain <unk> by a cultural barrier wider than the ocean
 conservative japanese investors are put off by what they consider mexico 's restrictive investment regulations and loose work habits
 from the <unk> ' viewpoint <unk> tactics of <unk> japanese managers do n't count for much in a land where a saying says there are no fixed rules
 japan ranks as only the fourth largest foreign investor in mexico with N N of the total investments
 that is just N N of all the money japan has invested abroad
 mexican president carlos salinas de <unk> would like to change that
 the young president so <unk> japanese discipline that he sends his children to a japanese school in mexico city
 he already has <unk> a $ N billion loan from the japanese government
 but mexico <unk> needs more help
 mr. salinas 's unpopular institutional revolutionary party or <unk> faces congressional elections in N
 for the <unk> to stand a chance mr. salinas has to press on with an economic program that so far has succeeded in lowering inflation and providing moderate economic growth
 but maintaining the key components of his strategy a stable exchange rate and high level of imports will consume enormous amounts of foreign exchange
 mr. salinas needs big investment inflows quickly
 the problem is that japanese businesses make decisions with a view well beyond the coming months that weigh so heavily on mr. salinas
 the japanese will come to mexico but not immediately says <unk> <unk> <unk> of the japanese external trade organization in mexico
 if not now when
 when the fruit is <unk> it falls from the tree by itself he says
 pressed on the matter he is more specific
 there will be big japanese investments probably five to N years from now
 <unk> <unk> japan 's ambassador to mexico agrees that mexico may be too eager
 there seems to be a <unk> in some sectors of mexico 's government that there is a lot of japanese money waiting behind the gate and that by slightly opening the gate that money will enter mexico
 i do n't think that is the case
 mexican officials maintain the japanese reserve is only a result of <unk>
 because of distance it takes a while for them to appreciate the economic stability we 've achieved says one economic <unk>
 mexico is sending a number of <unk> to japan looking for a major <unk> investment in telecommunications petrochemicals or tourism
 it is hoped that other japanese would then follow the leader
 but japanese investors say that their reluctance to invest stems not only from concerns about mexico 's economic outlook but also reservations about mexico 's recently revamped investment law
 unable to get a new law through a congress with a strong leftist bloc mexico <unk> the existing law 's regulations
 it created special 20-year trusts to allow foreigners N N ownership in some <unk> industries
 it also made <unk> use of <unk> <unk> as <unk> industries some that had been in the national <unk>
 those devices do n't give sufficient <unk> to our bosses in japan says <unk> <unk> representative of the industrial bank of japan
 mr. <unk> cites the case of a customer who wants to build a giant tourism complex in <unk> and has been trying for eight years to get around mexican restrictions on foreign ownership of <unk> property
 he could develop the beach through a trust but instead is trying have his <unk> become a <unk> mexican so his family gains direct control
 some say the best hope for the <unk> is catching the eye of japan by promoting the one industry the japanese clearly like the border assembly plants known as <unk> which are open to N N foreign control
 we must do more to help the japanese here in <unk> if we want them to invest elsewhere says mr. <unk> the <unk> of the national action party and himself a <unk> businessman
 plant operators are <unk> by mr. <unk> 's pledge to cut corruption associated with the ruling party officials
 but mr. <unk> <unk> that an even bigger problem could be <unk> from the u.s. where some politicians oppose what they consider japanese efforts to use <unk> to crack the u.s. market through the back door
 shaken by tumbling stock prices and pessimistic projections of u.s. economic growth currency analysts around the world have <unk> down their <unk> of the dollar 's near-term performance
 most of the N analysts polled last week by dow jones international news service in frankfurt tokyo london and new york expect the u.s. dollar to ease only mildly in november
 opinion is mixed over its three-month prospects
 half of those polled see the currency <unk> lower over the next three months while the others forecast a modest rebound after the new year
 in late afternoon new york trading yesterday the dollar stood at N west german marks up from N marks late monday and at N yen up from N yen late monday
 a month ago a similar survey predicted the dollar would be trading at N marks and N yen by the end of october
 sterling was trading at $ N down from $ N late monday
 in tokyo wednesday the u.s. currency was trading at about N yen at midmorning up from N yen at the opening and up from tuesday 's tokyo close of N yen
 the average of estimates of the N economists polled puts the dollar around N marks at the end of november and at N yen
 by late january the consensus calls for the dollar to be trading around N marks and near N yen
 those with a bullish view see the dollar trading up near N marks and N yen while the dollar bears see the u.s. currency trading around N marks and N yen
 a number of those polled predict the dollar will slip as the federal reserve <unk> interest rates
 david owen an economist at kleinwort benson & co. in london said he expects further cuts in short-term u.s. rates in an effort to encourage a narrowing of the trade gap and to ensure a soft landing in the u.s. economy
 robert white a vice president and manager of corporate trade at first interstate of california agreed with that view and predicted the u.s. federal funds rate will drop to between N N N and N N within N days from its current level at N N N
 fed funds is the rate banks charge each other on overnight loans the fed influences the rate by adding or <unk> reserves from the banking system
 mr. white also predicted a <unk> cut in the u.s. discount rate in the near future
 the discount rate currently N N is the rate the fed charges member banks for loans using government securities as collateral
 he expects such a cut because of problems in several sectors of the economy particularly real estate and automobiles
 <unk> his argument the commerce department reported yesterday that new home sales for september were down N N from august 's revised N N fall
 the drop marked the largest monthly tumble since a N N slide in january N
 in last month 's survey a number of currency analysts predicted the dollar would be pressured by a narrowing of interest rate <unk> between the u.s. and west germany
 indeed in early october the west german central bank raised its discount and <unk> rates by a full percentage point
 several other european central banks notably in britain followed the west german <unk> 's lead by raising their own key rates
 and a week later japan raised its official discount rate by a half point to N N
 the japanese discount rate is the central bank 's base rate on loans to commercial banks
 after a surprisingly sharp widening in the u.s. august merchandise trade deficit $ N billion from a revised $ N billion in july and well above expectations and a startling 190-point drop in stock prices on oct. N the federal reserve <unk> short-term interest rates knocking fed funds from around N N to N N N
 but predictions that central banks of the group of seven <unk> major industrial nations would continue their massive dollar sales went <unk> as the market drove the dollar downward on its own reacting to wall street 's plunge and subsequent price volatility lower u.s. interest rates and signs of a slowing u.s. economy
 <unk> consists of the u.s. japan britain west germany canada france and italy
 <unk> <unk> senior deputy manager in the treasury department of mitsui bank ltd. in tokyo suggested that uncertainty about u.s. stocks and bonds has made japanese investors leery of holding those securities in the near term thus <unk> dollar demand
 but mr. <unk> added once u.s. equities regain some stability players will move back into dollar-denominated investments especially treasury bonds whose value rises when interest rates decline
 mr. <unk> said the key <unk> exchange rate is at N yen
 if N is broken some panic will be seen he predicted explaining that japanese institutions are comfortable with the dollar anywhere between current levels and N yen
 <unk> <unk> a senior trader at manufacturers hanover trust co. in frankfurt said he expects the dollar to recover within the next three months to around N marks as u.s. economic data particularly u.s. trade figures level off
 he contended that the fed wo n't ease rates further but predicted <unk> officials will relax key rates in west germany
 alfred <unk> chief trader at bank of boston in frankfurt took an opposite stance
 he said he expects u.s. interest rates to decline dragging the dollar down to around N marks by the end of january after a short-lived <unk> to N marks by the end of november
 west german interest rates he said will remain unchanged
 but i 'm not one of these great dollar bears you see more of these days mr. <unk> said
 i ca n't really see it dropping far below N marks
 scott greene chief foreign exchange dealer with <unk> <unk> & co. in new york fits the <unk> of a great dollar bear
 he predicted the u.s. unit will <unk> below N marks to around N marks this month and N marks by the beginning of the new year
 we 're finally seeing the culmination of all the <unk> buildup of the last few months he said noting a continuing downward trend in u.s. interest rates a shaky stock market and <unk> economic times ahead all signal a significantly lower dollar
 in the wake of british chancellor of the exchequer nigel lawson 's surprise resignation and sterling 's subsequent <unk> most analysts had little good to say about the pound 's near-term prospects
 mr. owen of kleinwort benson suggested that the new chancellor john major will take a tough line in his autumn statement later this month helping to <unk> the pound
 but he warned the currency will remain at risk
 on the commodity exchange in new york gold for current delivery dropped $ N to $ N an ounce in moderate trading
 estimated volume was N million ounces
 in early trading in hong kong wednesday gold was quoted at $ N an ounce
 christopher hill in tokyo nicholas hastings in london <unk> <unk> in frankfurt and <unk> <unk> and douglas <unk> in new york contributed to this article
 west germany will repeal the unpopular turnover tax on securities transactions as of jan. N N economics minister helmut <unk> said
 he said the government will also repeal the N N transaction tax on the first-time purchase of stakes in companies
 the announcement follows several comments by government officials that the government will speed up the repeal of the tax which was originally scheduled to fall with the start of the single internal market in the european community at the end of N
 the <unk> tax has been long criticized by the west german financial community because it tends to drive securities trading and other banking activities out of frankfurt into rival financial centers especially london where trading transactions is n't taxed
 the tax has raised less than one billion marks $ N million annually in recent years but the government has been reluctant to abolish the levy for budgetary concerns
 in the interview mr. <unk> did n't specify the amount of revenue the government will lose after the tax disappears
 the new date means that the tax will be officially <unk> before the end of the current parliamentary term at the end of N and guarantees its <unk> even if the current <unk> coalition loses the elections in december N
 earlier this year president bush made a final <unk> it offer on the minimum wage an increase to $ N an hour over three years and only if accompanied by a lower wage for the first six months of a job
 now the white house has decided to accept the higher wage over only two years
 the <unk> wage would apply only to first-time <unk> workers for N days
 the white house had enough votes to sustain a veto but chose to avoid a confrontation
 the only permanent losers will be the N or so workers everyone agrees will be priced out of a job at the $ N rate congress is likely to approve today
 it is <unk> such as this that convince washington 's liberals that if they simply stay the course this administration will <unk> from its own course on this and other issues
 the head trader of chemical banking corp. 's interest-rate options group has left the company following valuation errors that resulted in a $ N million charge against its third-quarter results
 chemical said steven <unk> resigned recently but one individual close to the situation said the resignation was forced
 mr. <unk> could n't be reached for comment
 a separate inquiry by chemical cleared mr. <unk> of allegations that he had been <unk> <unk> by a new york money broker
 that inquiry has n't resolved similar allegations involving another chemical options trader
 in other personnel changes stemming from problems in its options unit
 chemical named james kennedy a trader in swaps contracts for the bank to assume mr. <unk> 's duties and to be trading manager for derivative products including swaps and interest-rate options
 lee <unk> vice president in charge of options research who discovered the valuation errors and was asked by senior management to <unk> out the mess resigned to take a position in asset and liability management at continental bank in chicago
 mr. <unk> whom chemical tried to keep did n't return calls for comment
 separately chemical confirmed that it took an undisclosed charge in the second quarter for losses on <unk> agreements involving foreign currency written by its branch in frankfurt west germany
 a chemical spokeswoman said the second-quarter charge was not material and that no personnel changes were made as a result
 the spokeswoman said the frankfurt situation was totally different from problems in the interest-rate options unit
 according to individuals familiar with the situation the frankfurt loss stemmed from a computer program for <unk> prices on <unk> agreements that failed to <unk> an interest-rate environment where short-term rates were equal to or higher than long-term rates
 while the incidents involving interest-rate options and <unk> agreements are unrelated some observers say they echo a N incident in which bankers trust new york corp. restated the value of its foreign exchange options contracts downward by about $ N million
 these complex products require close monitoring because each must be valued separately in light of current market conditions
 in an interest-rate options contract a client pays a fee to a bank for <unk> protection against adverse interest-rate swings for a specified period
 in a <unk> agreement a client agrees to an exchange rate on a future currency transaction
 some competitors maintain the <unk> option loss in particular may have resulted more from chemical 's taking large and often <unk> positions than a valuation problem
 started three years ago chemical 's interest-rate options group was a leading force in the field
 from N to N the value of chemical 's option contracts outstanding <unk> to $ N billion from $ N billion
 more <unk> the volume of options written exceeded those purchased by almost <unk>
 with such a <unk> book of options traders say chemical was more vulnerable to <unk> valuation assumptions
 the chemical spokeswoman said the bank has examined its <unk> and internal controls
 we consider our internal controls to have worked well she said adding that some procedures have been strengthened
 its valuation <unk> she said are recognized as some of the best on the street
 not a lot was needed to be done
 when thomas w. wathen went big league last year he acquired a <unk> of <unk> along with a well-known but ailing security business pinkerton 's inc
 there was a wanted <unk> offering rewards for the arrest of express and train <unk> frank james and <unk> w. james and the original pinkerton 's <unk> with an open eye and the <unk> we never sleep which inspired the phrase private eye
 then there were two gold watches once owned by <unk> pinkerton who founded the company in chicago in N
 but there were supposed to be three mr. wathen 's company claims
 the missing watch is <unk> of the problems mr. wathen encountered in building his closely held california plant protection security service into the largest <unk> and security agency in the u.s. through acquisitions
 the <unk> mr. wathen has learned that while acquiring a big <unk> company can be a <unk> to growth it can also bring a host of <unk> problems
 we cleared out a lot of <unk> ' <unk> says the <unk> security veteran
 mr. wathen who started his career as an air force investigator and worked as a security officer for several large companies built his california plant protection from a tiny <unk> security <unk> firm here in the san fernando valley
 he joined the firm in N and bought it from the owners the next year
 over the next N years california plant protection opened N offices around the country
 yet although california plant protection was <unk> bigger and bigger clients the firm provided security for the N summer olympics in los angeles it still did n't have the name recognition of pinkerton 's
 so when american brands inc. decided to sell the unit in N as part of a divestiture of its food and security industries operations mr. wathen saw a chance to accomplish several objectives
 he decided he could easily merge pinkerton 's operations with his own while slashing overhead costs because the two already operated in many of the same cities
 he could acquire a staff of loyal pinkerton 's employees many of whom had spent their entire careers with the firm he could eliminate a competitor and he could get the name recognition he 'd wanted
 mr. wathen also <unk> the chance to demonstrate an entrepreneur like himself who 'd spent his whole career in the security business could run pinkerton 's better than an <unk> conglomerate or investment banker
 the security business is my favorite subject
 i love this business he says
 most of the lbo guys do n't know how to run a business anyway
 but there were <unk> not the least of which was that mr. wathen says he <unk> almost <unk> in doing the $ N million acquisition which was completed in january N
 we were n't allowed to do any due <unk> because of competitive reasons
 if we had it might have scared us off he says
 five years of rapid expansion under american brands with an emphasis on marketing the agency 's services instead of improving them had hurt pinkerton 's profits mr. wathen claims
 he says his team could n't tell whether accounts <unk> had been paid or not
 pinkerton 's had locked itself into <unk> contracts to win new business with no hope of profitability until the contracts expired he adds
 and regional offices were <unk> <unk> he claims
 one office had N people doing the work of three and half of the employees had company automobiles
 american brands declined to comment on mr. wathen 's accusations
 the acquisition combined the country 's second-largest security company pinkerton 's with N sales of $ N million and the fourth largest california plant protection with $ N million in sales creating the industry 's biggest firm which took on the pinkerton 's name
 even after <unk> itself of $ N million of unprofitable business the new pinkerton 's will have sales of about $ N million this year and operating profit roughly double the industry average of N N of sales says lloyd <unk> of <unk> & co. in los angeles which arranged the pinkerton 's acquisition
 mr. wathen says his turnaround strategy has been simple just <unk> away at the fat
 he began by closing N of the combined companies ' N offices in two months eliminating about N N of the company 's <unk> <unk> staff including more than N sales positions
 he shut down the company 's tony new york headquarters
 pinkerton 's world headquarters today is a <unk> <unk> office building across the street from the small van <unk> airport
 next mr. wathen raised pinkerton 's rates which were <unk> lower than california plant protection 's average rate of around $ N
 and he got rid of <unk> businesses that just were n't making money for the company
 mr. wathen who says pinkerton 's had a loss of nearly $ N million in N under american brands boasts that he 's made pinkerton 's profitable again
 but mr. wathen 's team still must pay down about $ N million of long-term bank debt from the acquisition within the next four years
 last year earnings of the combined companies did n't cover debt service and pinkerton 's was forced to borrow $ N million of subordinated debt
 we would n't have had to <unk> if a lot of the problems had n't been there mr. wathen says
 this year mr. wathen says the firm will be able to service debt and still turn a modest profit
 now pinkerton 's could become <unk> in a <unk> legal <unk> with its former parent
 the company recently filed suit in state court in los angeles against american brands seeking at least $ N million in damages from the old greenwich <unk> company
 the suit alleges that american brands <unk> the financial condition of pinkerton 's before the sale failed to disclose pending lawsuits and material contracts in which pinkerton 's was in default had n't registered the pinkerton 's name and trademark in the united kingdom and did n't tell california plant protection about some labor <unk>
 we have previously had discussions with representatives of pinkerton 's inc. concerning the sale of the company and we concluded that we did not have liability under the contract says american brands
 as this is now a litigation matter we have no further comment
 and then there 's the case of the missing gold watch
 the lawsuit alleges that an inventory of pinkerton 's <unk> disclosed that one of the watches had n't been <unk> over by american brands
 american brand 's failure to surrender the gold watch has damaged new pinkerton 's in an amount as yet to be determined and deprived it of a valuable <unk> for which it had <unk> the suit charges
 the key to pinkerton 's future will be sticking to what it does best being a security company says mr. wathen
 the company is also renewing its emphasis on investigations particularly <unk> investigations for corporations
 although investigations now account for only about N N of pinkerton 's total revenue that side of the business has traditionally been the more glamorous of the two and it carries historical and <unk> value
 author <unk> <unk> who wrote the <unk> falcon was a former pinkerton 's <unk>
 american brands just had a different approach mr. wathen says
 their approach did n't work mine is
 farm prices in october edged up N N from september as raw milk prices continued their rise the agriculture department said
 milk sold to the nation 's dairy plants and dealers averaged $ N for each hundred pounds up N cents from september and up $ N from october N the department said
 commercial <unk> led by <unk> and <unk> rose N N in october <unk> and other <unk> rose N N
 <unk> prices fell N cents in october to N cents a pound while turkey prices rose N cents a pound to N cents
 egg prices averaged N cents a dozen down N cent from september
 <unk> rose $ N to $ N a <unk> in october while beef cattle slipped N cents to $ N for each hundred pounds and <unk> dropped N cents to $ N
 soybeans averaged $ N a bushel down N cents from september corn averaged $ N down seven cents and <unk> grain averaged $ N for each hundred pounds down N cents according to the department
 paramount communications inc. new york completed the sale of its associates corp. consumer and commercial finance subsidiary to a unit of ford motor co. for $ N billion
 paramount which agreed to sell the unit in july said it would realize net proceeds from the sale of $ N billion with an after-tax gain of $ N billion
 paramount said the gain would be recorded in its fourth quarter which ended yesterday
 paramount said the sale <unk> the strategic restructuring it began in N and would enable it to focus on its entertainment and publishing businesses
 ford said in july it planned to operate associates based in dallas as a separate entity in its ford financial services group
 paramount said associates has about $ N billion in total assets making it third-largest in terms of assets among independent finance companies in the u.s.
 sea containers ltd. in a long-awaited move to <unk> a hostile takeover bid said it will sell $ N billion of assets and use some of the proceeds to buy about N N of its common shares for $ N apiece
 together with the N million shares currently controlled by management subsidiaries and directors the completed tender offer would give sea containers a controlling stake
 describing itself as asset rich sea containers said it will move immediately to sell two ports various <unk> ferry services containers and other investments
 of the proceeds $ N million will be used to fund its tender offer
 sea containers added that the recapitalization plan will reduce its debt by more than $ N million
 the company which has N million common shares outstanding said in <unk> that it was considering a restructuring to ward off a hostile takeover attempt by two european shipping concerns
 in late may <unk> holding ag and <unk> plc launched a $ <unk> or $ N million tender offer for the hamilton <unk> sea containers
 in <unk> the companies through their jointly owned holding company temple holdings ltd. sweetened the offer to $ N a share or $ N million
 officials for temple declined to comment
 news of the restructuring plan sent sea containers ' shares up $ N to $ N in new york stock exchange composite trading
 walter <unk> an analyst with painewebber inc. said that offering holders a higher $ <unk> price is a fairly effective method of blocking the <unk> bid
 michael <unk> an analyst with tucker anthony & <unk> day added that the sale of assets would allow sea containers to focus on its core container businesses
 for holders who decide not to tender their shares sea containers will issue one share of preferred stock with a stated value of $ N plus a cash dividend on the common stock
 the company said its directors management and subsidiaries will remain long-term investors and wo n't tender any of their shares under the offer
 sea containers said the offer will proceed after the <unk> supreme court <unk> or <unk> an interim injunction <unk> the company from buying its shares
 that injunction resulted from litigation between temple and sea containers last may
 the company said the court has indicated it will make a decision on or about nov. N
 sea containers will soon set a date for its annual shareholder meeting to seek holder approval for the offer
 you 'd think all the stories about <unk> communities and developers getting hud grants would prompt congress to tighten up on upscale housing subsidies
 no way
 congress has just made it easier for the affluent to qualify for insured loans from the <unk> federal housing administration
 it appears that the only thing congress is learning from the hud story is how to <unk> its control of the <unk> pot going to special interests
 right now the largest loan the fha can insure in <unk> housing markets is $ N
 last week housing <unk> persuaded congress to raise the ceiling to $ N making fha loans more accessible to the <unk>
 but it does that at the cost of <unk> the taxpayer 's exposure if the fha is forced to pay for more loans going sour
 this is no idle fear last year the fha lost $ N billion in loan defaults
 but the higher mortgage ceiling is only the <unk> <unk> for what senator alan cranston and majority leader george mitchell have in mind for housing
 the senate banking committee will begin hearings next week on their proposal to expand existing federal housing programs
 other senators want to lower the down payments required on <unk> loans
 that would be a formula for ensuring even more fha red ink
 experience has shown that the most important element in predicting a <unk> default is the down payment
 because a <unk> can use an fha loan to finance all points and closing costs the fha can wind up lending more than a house is worth
 if housing prices continue to fall many borrowers would be better off walking away from their homes and leaving taxpayers with the losses
 much the same thing happened with <unk> s&ls a problem congress just solved with a $ N billion bailout
 we hear that hud secretary jack kemp is <unk> with going along with some of the <unk> proposals
 that sounds like a formula for ensuring that he gets dragged into the next hud <unk> pit
 a group of N senators has written mr. kemp urging him to reject <unk> and focus on programs that <unk> the poor rather than create vast new government obligations
 but even if he agrees mr. kemp does n't write the nation 's housing law congress does
 and the majority of members <unk> view the current <unk> of hud as mainly a chance to <unk> through their own slate of projects
 exhibit a is last week 's house vote to fund N pet projects out of the same discretionary fund that is at the heart of the hud scandal
 none of the grants had been requested by hud <unk> <unk> or were the subject of a single hearing
 more and more observers now realize that the key to ending future hud scandals lies in forcing congress to clean up its own act
 this week a baltimore sun editorial said the <unk> subcommittee on hud should forget about sam <unk> 's testimony for the moment and call some other witnesses the various congressional sponsors of the N pork-barrel projects
 the sun concluded that mr. <unk> is only part of the problem and a part that 's gone
 if hud is to be <unk> it concluded members of congress will have to start looking into and doing something about the practices of their colleagues
 of course <unk> is about the last thing this congress is interested in
 proponents of expanding fha programs say they merely want to help home buyers who are frozen out of high-priced markets
 but the fha program is hemorrhaging bad loans
 jack kemp has submitted a package of reforms and they are surely headed for the capitol hill <unk>
 like the s&l mess before it this is a problem congress should be solving not ignoring
 gillette co. boston said it is planning to restructure its south african subsidiary
 under the plan gillette south africa will sell manufacturing facilities in springs south africa and its business in <unk> and plastic bags to <unk> pharmaceuticals ltd. an affiliate of <unk> american corp. a south african company
 terms were not disclosed
 a final agreement has not been signed and the moves will not have a material effect on the company gillette said
 the company said it is part of a continuing world-wide restructuring in which it has <unk> or sold operations in several countries
 gillette said its continued presence in south africa enables it to make meaningful contributions to south african society to the lives of its employees and to the communities in which it operates
 gillette south africa employs about N people
 about N N of the work force will continue with gillette or transfer to <unk> pharmaceuticals the company said
 the soviet legislature approved a N budget yesterday that <unk> its huge deficit with cuts in defense spending and capital outlays while <unk> to improve supplies to frustrated consumers
 the vote to approve was
 a proposal to raise prices of beer tobacco and <unk> was rejected N
 soviet president mikhail s. gorbachev told the legislators they had made a good start but that the most difficult work was still ahead
 the tass news agency said the N budget anticipates income of N billion rubles us$ N billion and expenditures of N billion rubles us$ N billion
 those figures are almost exactly what the government proposed to legislators in september
 if the government can stick with them it will be able to <unk> this year 's N billion ruble us$ N billion deficit
 officials proposed a cut in the defense budget this year to N billion rubles us$ N billion from N billion rubles us$ N billion as well as large cuts in outlays for new factories and equipment
 tass said the final budget and economic plan calls for a sharp increase in the production of consumer goods
 trial and <unk>
 at times i sequester my mind when i must think with precision <unk> from all other thoughts while trying to reach a decision
 but often nothing 's resolved to my frustration and <unk> with pros and <unk> in limbo i feel like a hung jury
 arnold j. <unk>
 daffynition
 <unk> applause <unk> <unk>
 marvin <unk>
 ocean drilling & exploration co. will sell its <unk> business and took a $ N million loss from discontinued operations in the third quarter because of the planned sale
 the new orleans oil and gas exploration and <unk> operations company added that it does n't expect any further adverse financial impact from the restructuring
 in the third quarter the company which is <unk> by murphy oil corp. of arkansas had a net loss of $ N million or N cents a share compared with a restated loss of $ N million or N cents a share a year ago
 the latest period had profit from continuing operations of $ N million
 revenue gained N N to $ N million from $ N million
 ocean drilling said it will offer N N to N N of the <unk> business through an initial public offering in the near future
 it has long been rumored that ocean drilling would sell the unit to concentrate on its core oil and gas business
 ocean drilling said it wo n't hold any shares of the new company after the restructuring
 after N years of pushing labor proposals to overhaul the nation 's health-care system <unk> seidman of the <unk> is finding interest from an unlikely quarter big business
 corporate leaders frustrated by double-digit increases in health-care costs are beginning to sound like liberal democrats
 failure to check rising medical costs ultimately could lead some of us who today are free-market advocates to <unk> our thinking and positions with respect to <unk> national health insurance arthur <unk> a general electric co. vice president warned earlier this year
 the <unk> impact of health benefits has driven business and labor to a surprising consensus
 both the <unk> and the national association of manufacturers are calling for measures to control rising costs improve quality and provide care to the N million americans who currently lack health insurance
 agreement on these points is a long way from a specific program and nobody expects the u.s. to rush toward radical restructuring of the health-care system
 but there are signs that labor-management cooperation could change the politics of health-care legislation and the economics of medicine
 i ca n't remember a time when virtually everyone can agree on what the problem is says mr. seidman who heads the <unk> 's department dealing with health matters
 because the bush administration is n't taking the initiative on health issues business executives are dealing with congressional democrats who champion health-care revision
 business across the country is spending more time addressing this issue says sen. edward kennedy d. mass
 it 's a <unk> issue
 business complained earlier this year when sen. kennedy introduced a bill that would require employers to provide a minimum level of health insurance to workers but does n't contain <unk> measures
 partly in response a bipartisan group of senators from the finance and labor committees is <unk> a plan to attract broader support
 it will feature a <unk> provision designed to keep expanded benefits from fueling higher care prices
 at N N of gross national product u.s. health costs already are the highest in the world
 by contrast japan 's equal N N of gnp a nation 's total output of goods and services
 management and labor worry that the gap makes u.s. companies less competitive
 chrysler corp. estimates that health costs add $ N to the price of each of its cars about $ N to $ N more per car than foreign competitors pay for health
 the cost of health care is eroding standards of living and <unk> industrial strength complains walter <unk> a chrysler <unk> specialist
 labor is upset because many companies are using higher employee insurance premiums <unk> and <unk> to <unk> surging medical costs to workers
 health benefits are contentious issues in the strikes against pittston co. and nynex corp
 in their new contract this year american telephone & telegraph co. and the communications workers of america agreed to look for prompt and lasting national solutions to rising health-care costs
 some analysts are <unk> about the new corporate interest in health-care overhaul
 carl <unk> president of the health insurance association of america <unk> at capitalists who want to <unk> the entire financing system for health
 they hope they can buy some government cost discipline but this is a false hope mr. <unk> says
 he asserts that government has done an even worse job of controlling its health bill than business
 so far neither the bush administration nor congress is prepared to lead the way toward revamping health care
 the administration lacks a comprehensive health-care policy
 congress still is struggling to <unk> the unpopular catastrophic care act of N which boosted benefits for the elderly and taxed them to pay for the new coverage
 a bipartisan commission established by congress and headed by sen. john rockefeller d. <unk> is scheduled to present new plans for dealing with the uninsured and long-term care for the elderly by next march N
 a <unk> commission appointed by health and human services secretary louis sullivan is taking a broad look at the economics of medicare for the elderly medicaid for the poor and the health system in general
 it is expected to report next summer
 no magic bullet will be discovered next year an election year says rep. <unk> stark d. calif
 but N could be a window for action
 the pressure for change will rise with costs
 i think employers are really going to be the ones to push for major change says sharon <unk> a health expert at nam
 any major attempt to <unk> the health-care system is likely to trigger opposition from politically powerful interest groups particularly the american medical association and perhaps from the public as well if congress takes steps that patients fear will limit the availability of care
 the nam <unk> efforts which both the administration and the medical profession have begun to measure the effectiveness of medical <unk> and then to draft <unk> guidelines
 advocates hope that such standards will improve treatment while limiting unnecessary tests and medical procedures
 hhs secretary sullivan estimates that as much as N N of the medical procedures performed each year may be inappropriate or unnecessary
 limiting care wo n't be easy or popular
 to slow the rise in total spending it will be necessary to reduce <unk> use of services the nam warns in a policy statement
 this will require us to define and <unk> what is necessary or appropriate care
 this involves <unk> and it cuts against the grain of existing consumer and even provider <unk> of what is necessary
 the <unk> also <unk> treatment guidelines
 in addition it 's <unk> with an approach that would impose <unk> <unk> or budgets on the government as a whole and on individual states as a way to slow health-care spending
 at a meeting here on nov. N the labor federation plans to launch a major effort to build <unk> support for health-care overhaul
 <unk> inc. said it plans to shut down three <unk> plants moving their <unk> operations to a leased facility in <unk> ontario
 the company said the <unk> business has been under severe cost pressures for some time
 the fasteners <unk> and <unk> are sold to the north american auto market
 a company spokesman declined to estimate the impact of the <unk> on earnings
 he said the new facility will employ N of the existing N employees
 the steelmaker employs about N people
 <unk> said it has an option to lease a <unk> building in <unk> and proposes to spend N million canadian dollars us$ N million on the facility
 the three existing plants and their land will be sold
 first security corp. said it tentatively agreed to acquire <unk> <unk> for stock valued at about $ N million
 terms call for first security to issue about N share of its stock for each <unk> share held or a total of about N first security shares
 it has about N million shares outstanding
 <unk> with about $ N million in assets is the parent of the <unk> bank which has six offices and headquarters at <unk> <unk> utah
 the purchase price is equal to about N times <unk> 's roughly $ N million book value or assets less liabilities
 salt lake <unk> first security with $ N billion in assets said the agreement is subject to shareholder and regulatory approval and that it hopes to complete the transaction early next year
 georgia-pacific corp. 's unsolicited $ N billion bid for great northern nekoosa corp. was hailed by wall street despite a cool reception by the target company
 william r. <unk> nekoosa 's chairman chief executive officer and president characterized the $ <unk> bid as <unk> and said nekoosa 's board would consider the offer in due course
 t. marshall hahn jr. georgia-pacific 's chairman and chief executive said in an interview that all terms of the offer are negotiable
 he added that he had spoken with mr. <unk> whom he referred to as a friend by telephone monday evening
 i 'm hopeful that we 'll have further discussions mr. hahn said
 on wall street takeover stock traders bid nekoosa 's stock well above the georgia-pacific bid assuming that nekoosa 's will either be sold to a rival bidder or to georgia-pacific at a higher price as much as $ N a share according to some estimates
 yesterday nekoosa common closed in composite new york stock exchange trading at $ N up $ N on volume of almost N million shares
 georgia-pacific closed down $ N at $ N in big board trading
 takeover stock traders noted that with the junk-bond market in disarray georgia-pacific 's bid is an indication of where the takeover game is headed namely industrial companies can continue bidding for one another but financial buyers such as leveraged buy-out firms will be at a disadvantage in obtaining financing
 the way the world is shaping up the strategic buyer is going to be the rule and the financial buyer is going to be the exception said one trader
 for the paper industry specifically most analysts said the deal will spur a wave of <unk> takeovers possibly involving such companies as union camp corp. federal <unk> co. and mead corp
 the analysts argued that georgia-pacific 's offer the first hostile bid ever among major players in the paper industry ends the <unk> <unk> on hostile bids and will push <unk> to look closely at the industry 's several attractive takeover candidates
 consolidation has been long overdue
 it was just the culture of the industry that kept it from happening
 the georgia-pacific offer has definitely changed the landscape said gary <unk> of oppenheimer & co
 added mark rogers of prudential-bache securities inc. it 's much easier to be second
 a georgia-pacific acquisition of nekoosa would create the largest u.s. forest-products company
 based on N sales georgia-pacific ranked third at $ N billion behind weyerhaeuser co. at $ N billion and international paper co. at $ N billion
 nekoosa ranked <unk> with sales of $ N billion
 the combined company would have had N sales of $ N billion
 but such a combination also presents great risks
 at a time when most analysts and industry consultants say pulp and paper prices are heading for a dive adding capacity and debt could squeeze georgia-pacific if the industry declines more than the company expects
 moreover any unexpected strengthening of the dollar would hurt georgia-pacific because two of nekoosa 's major product lines <unk> which is used to make shipping boxes and market pulp are exported in large quantities
 nobody knows how deep the cycle is going to be said rod young vice president of resource information systems inc. a <unk> mass. <unk> firm
 depending on how far down you go it may be difficult to pay off that debt
 one person familiar with georgia-pacific said the acquisition would more than double the company 's debt of almost $ N billion
 it also could be a drag on georgia-pacific earnings because the roughly $ N billion in goodwill the amount by which the bid exceeds nekoosa 's book value of $ N billion will have to be <unk> from earnings over a period of decades
 georgia-pacific 's mr. hahn said that a combined operation would allow savings in many ways
 the two companies each produce market pulp <unk> and white paper
 that means goods could be manufactured closer to customers saving shipping costs he said
 moreover production runs would be longer cutting <unk> from adjusting machinery between production cycles
 and georgia-pacific could save money in selling pulp because the company uses its own sales organization while nekoosa employs <unk> agents
 mr. hahn said georgia-pacific has accounted in its strategy for a significant downturn in the pulp and paper industry an event that he said would temporarily <unk> earnings
 but he said that even under those conditions the company still would realize a savings of tens of millions of dollars in the first year following a merger
 the fit is so good we see this as a time of opportunity he said
 georgia-pacific which has suspended its <unk> program would finance the acquisition with all bank debt provided by banks led by bankamerica corp
 georgia-pacific owns N nekoosa shares and would need federal antitrust clearance to buy more than $ N million worth
 u.s. clearance also is needed for the proposed acquisition
 for nekoosa defense options may be undercut somewhat by the <unk> state of the junk-bond market which limits how much value the target could reach in a <unk> recapitalization
 the company 's chairman mr. <unk> and a group of advisers met at the offices of <unk> lipton rosen & katz a law firm specializing in takeover defense
 nekoosa also is being advised by goldman sachs & co
 georgia-pacific 's advisers are <unk> <unk> & co. which stands to receive a $ N million fee if the takeover succeeds and the law firm of <unk> & sterling
 people familiar with nekoosa said its board is n't likely to meet before the week after next to respond to the bid
 the board has N business days to respond
 in addition to the usual array of defenses including a so-called poison pill and a <unk> board nekoosa has another takeover defense a maine state law barring hostile bidders from <unk> acquired businesses for five years
 nekoosa is incorporated in maine
 georgia-pacific has filed a lawsuit in federal court in maine challenging the poison pill and the maine merger law
 nekoosa 's poison pill allows shareholders to vote to <unk> it but georgia-pacific is n't likely to pursue such a course immediately because that would take N to N days and would n't affect the provisions of the maine law
 among companies mentioned by analysts as possible <unk> for nekoosa are international paper weyerhaeuser canadian pacific ltd. and macmillan <unk> ltd
 i 'm sure everybody else is putting pencil to paper said <unk> <unk> an analyst with first manhattan co
 international paper and weyerhaeuser declined to comment
 canadian pacific could n't be reached for comment and macmillan <unk> said it has n't any plans to make a bid for nekoosa
 investors were quick to spot other potential takeover candidates all of which have strong cash flows and low-cost operations
 among paper company stocks that rallied on the big board because of the offer were union camp up $ N to $ N federal <unk> up $ N to $ N mead up $ N to $ N and temple inland inc. up $ N to $ N
 in over-the-counter national trading <unk> inc. jumped $ N to $ N
 some analysts argued that there wo n't be a flurry of takeovers because the industry 's continuing <unk> program is eating up available cash
 moreover some analysts said they expect a foreign paper company with deeper pockets than georgia-pacific to end up acquiring nekoosa <unk> to the rest of the industry that hostile bids are <unk>
 this is a one-time event said lawrence ross of painewebber inc. referring to the georgia-pacific bid
 but many analysts believe that given the <unk> of paper companies ' cash flows as well as the <unk> consolidation of the paper industry in europe there will be at least a few more big hostile bids for u.s. companies within the next several months
 the buyers these analysts added could be either foreign or other u.s. concerns
 the georgia-pacific bid may open the door to a new era of consolidation in the paper industry said mark <unk> of shearson lehman hutton inc
 i do n't think anyone is now immune from takeover said robert <unk> of duff & phelps inc. chicago
 he added every paper company management has to be saying to itself before someone comes after me i 'm going to go after somebody
 prudential-bache 's mr. <unk> said he does n't see the industry 's <unk> program <unk> takeover activity
 several projects he said are still on the drawing board
 moreover it 's a lot cheaper and <unk> to buy a plant than to build one
 indeed a number of analysts said that japanese paper companies are <unk> to acquire additional manufacturing capacity anywhere in the world
 some predicted that nekoosa will end up being owned by a japanese company
 meanwhile shearson lehman 's mr. <unk> said that to stay competitive the u.s. paper industry needs to catch up with the european industry
 since the <unk> wave of friendly takeovers was completed in the u.s. in N there have been more than N mergers and acquisitions within the european paper industry he said
 <unk> inc. <unk> ill. and <unk> research inc. los angeles said the food and drug administration granted full marketing approval for a new drug for the treatment of a condition in which the heart <unk> between N and N <unk> a minute
 the condition known as <unk> <unk> <unk> leads to <unk> and <unk>
 the typical healthy heart <unk> N times a minute
 the drug called <unk> returns the heart to a normal <unk> within seconds according to <unk>
 <unk> research developed the drug and licensed it to <unk> for sale in the u.s. and canada
 private industry 's labor costs rose N N in the third quarter matching the second-quarter pace as health insurance costs continued to soar the labor department said
 the increase in wage and benefit costs in the third quarter was greater than the N N rise reported for the third quarter of N
 wage increases and overall compensation increases are beginning to <unk> upward a little bit said <unk> <unk> a labor economist at the conference board a business research organization
 one would have thought this would have happened two or three years ago as the labor market tightened
 it is a considerably delayed reaction and it 's not a severe one at all she added
 the new data underscored the <unk> of the nation 's health-care cost problem
 in the N months ended in september wages and salaries of private-sector workers rose N N while health insurance costs <unk> by N N
 the consumer price index climbed N N in the same period
 despite the big increases in health-care costs wages still account for a far greater share of overall labor costs
 the overall private-sector employment cost index which includes both wages and benefits rose N N in the N months ended in september compared with N N for both the N months ended in june and the N months ended september N
 labor costs are climbing at a far more rapid pace in the health care industry than in other industries
 for instance wages of private-sector hospital workers leaped N N in the N months ended in september compared with N N for workers in all industries
 in the third quarter wages and salaries in all private industry rose N N compared with N N increases in both the second quarter and in the third quarter of N
 for the past five years unions have n't managed to win wage increases as large as those granted to <unk> workers
 for private-sector union workers the cost of wages and benefits rose N N in the third quarter
 for <unk> workers the costs rose N N
 labor costs continued to rise more rapidly in service industries than in <unk> industries the report showed
 it also found them rising much more in the northeast than elsewhere
 including employees of state and local but not the federal governments the employment cost index rose N N in the third quarter compared with a N N rise in the same quarter in N
 the index rose N N in the second quarter
 for the N months ended in september this index was up N N
 it rose N N for the N months ended in june and N N in the N months ended in september N
 unlike most economic indicators none of these figures are adjusted for seasonal variations
 <unk> inc. said it is <unk> N employees as part of a restructuring aimed at producing pretax savings of $ N million annually
 under the plan <unk> said it will sell certain assets and businesses that do n't meet strategic and profitability objectives
 the des <unk> ill. chemical coatings concern which has about N employees world-wide said it plans to sell its domestic rigid container packaging and flexible <unk> businesses and its chicago heights ill. <unk> plant
 the company said it plans to use the sale proceeds to invest in business opportunities more closely identified with the company 's <unk> direction
 stateswest airlines phoenix ariz. said it withdrew its offer to acquire mesa airlines because the <unk> n.m. carrier did n't respond to its offer by the close of business yesterday a deadline stateswest had set for a response
 however stateswest is n't abandoning its pursuit of the <unk> mesa
 stateswest which has a N N stake in mesa said it may purchase more mesa stock or make a tender offer directly to mesa shareholders
 stateswest had proposed acquiring mesa for $ N a share and one share of a new series of stateswest N N convertible preferred stock it values at $ N a share
 earlier mesa had rejected a general proposal from stateswest to combine the two carriers in some way
 stateswest serves N cities in california arizona and nevada
 mesa flies to N cities in new mexico arizona wyoming colorado and texas
 a <unk> new takeover deal sparked a big rally in stock prices which buoyed the dollar
 bond prices also edged higher
 georgia-pacific 's $ N billion bid for great northern nekoosa helped drive the dow jones industrial average up N points to N in active trading
 the dollar drew strength from the stock market 's climb
 long-term bond prices rose despite <unk> about what a key economic report will show today
 analysts said the offer for great northern nekoosa broke the pall that settled over the takeover business for the past three weeks in the wake of the collapsed ual corp buy-out
 great northern nekoosa soared $ N a share to $ N substantially above the $ N a share georgia-pacific is offering
 that indicates speculators are betting a higher offer is in the wings
 prices of other paper makers rose sharply although georgia-pacific fell $ N a share to $ N
 despite all the furor over program trading program trading played a big role in yesterday 's rally
 some traders point out that as the big brokerage firms back out of program trading for their own accounts or for clients opportunities increase for others to engage in the controversial practice
 that 's what happened yesterday
 the rally notwithstanding there are plenty of worries about the short-term course of stock prices
 a slowing economy and its effect on corporate earnings is the <unk> concern of many traders and analysts
 unless the federal reserve <unk> interest rates soon to stimulate the economy profits could remain disappointing
 yesterday 's major economic news a N N rise in the september index of leading economic indicators had little impact on financial markets
 but the next important piece of news on the economy 's health this morning 's release of the national purchasing manager 's survey for october could prompt investors into action
 a report late yesterday that the <unk> purchasing managers survey showed increased economic activity in that part of the country cut into <unk> gains
 if the national survey confirms a pickup in the manufacturing sector it could further depress bond prices while <unk> stock prices and the dollar
 meanwhile bond investors are <unk> under the <unk> of a national debt ceiling debate
 although the treasury is expected to announce details of its november quarterly refunding operation today the nov. N schedule could be delayed unless congress and the president act soon to lift the nation 's debt ceiling
 in major market activity
 stock prices rallied in active trading
 volume on the new york stock exchange totaled N million shares
 advancing issues on the big board surged ahead of decliners N to
 bond prices rose
 the treasury 's benchmark 30-year bond gained less than a quarter of a point or less than $ N for each $ N of face amount
 the yield on the issue slipped to N N
 the dollar gained against most foreign currencies
 in late afternoon new york trading the dollar was at N marks and N yen compared with N marks and N yen late monday
 <unk> s.a. a diversified construction concern based in paris said its consolidated profit for the N first half after payments to minority interests surged to N million french francs $ N million from N million francs a year earlier
 revenue rose N N to N billion francs from N billion francs
 the company did n't specify reasons for the strong earnings gain
 but <unk> said its first-half profit is n't <unk> of the full-year trend because of the highly seasonal nature of many of the company 's activities
 for all of N <unk> had consolidated profit of N million francs after payments to minority interests on revenue of N billion francs
 the group has forecast N revenue of N billion francs
 <unk> network inc. said it completed its acquisition of <unk> cos. for about $ N million
 <unk> agreed to pay $ N and <unk> <unk> share for each of <unk> 's N million fully diluted shares
 the acquisition brings together the two largest competitors to home shopping network inc. which now reaches more viewers than any other company in the video shopping industry
 among them home shopping <unk> and <unk> already control most of that young and fast-growing market which last year had sales of about $ N billion
 coast savings financial inc. reported a third-quarter loss citing a previously announced capital restructuring program
 the los angeles thrift holding company said it had a loss of $ N million or $ N a share for the quarter ended sept. N
 coast earned $ N million or N cents a share in the year-ago quarter
 the year-ago results have been restated to comply with government regulations
 the restructuring program is designed to increase the company 's tangible capital ratio
 it includes removing $ N million in good will from the books issuing $ N million in preferred stock and <unk> an exchange offer for $ N million in convertible bonds
 during the third quarter the company charged about $ N million against earnings in reducing goodwill added $ N million to its general loan loss reserves and established a $ N million reserve for its high-yield bond portfolio
 the company said its junk-bond portfolio after these moves had been reduced to less than N N of assets
 philip morris cos. is launching a massive corporate advertising campaign that will put the tobacco giant 's name in tv commercials for the first time since the early 1950s when it stopped advertising its <unk> cigarette brand on television
 the campaign a <unk> celebration of the <unk> anniversary of the bill of rights does n't mention cigarettes or smoking cigarette ads have been prohibited on television since N
 but even before it begins the campaign is drawing fire from <unk> advocates who <unk> philip morris 's attempt to bolster its beleaguered image by <unk> itself in the document that is a <unk> of american democracy
 philip morris which became the u.s. 's largest food company last year with its $ N billion acquisition of kraft inc. seems determined to <unk> beyond its roots in <unk> country
 the company 's research suggests that its name recognition among most consumers remains unusually low although its array of brands including maxwell house coffee <unk> <unk> <unk> and miller beer blanket supermarket shelves
 the company is expected to spend about $ N million a year on its two-year corporate campaign created by wpp group 's ogilvy & mather unit in new york
 the initial spots will appear during morning and prime-time news shows
 philip morris hopes that by taking its bill of rights theme to the <unk> in addition to publications it will reach the <unk> possible audience
 until now its corporate ads mainly promoting its <unk> of the arts have appeared almost exclusively in newspapers and magazines
 most people whether in toledo tucson or <unk> have n't got a clue who we are says guy l. smith philip morris 's vice president of corporate affairs
 if they think well of the company through our support of the bill of rights it follows they 'll think well of our products
 mr. smith says the bill of rights commercial which <unk> the themes of liberty and freedom of expression is n't designed to have any special appeal for smokers
 although philip morris typically tries to defend the rights of smokers with <unk> arguments this has nothing to do with cigarettes nor will it ever the spokesman says
 but some <unk> activists disagree <unk> anger at what they see as the company 's attempt to purchase <unk> by association
 i 'm <unk> because this company is portraying itself at the heart of american culture and political freedom and in fact it 's a killer says michael <unk> former chairman of the federal trade commission and a <unk> critic
 it should be treated like the <unk> drug mafia not the founding <unk>
 mr. <unk> adds that the new commercial <unk> perfectly with major aspects of philip morris 's political strategy
 these include trying to protect its print advertising by <unk> the first amendment and wooing blacks by portraying itself as a <unk> of civil rights
 the commercial features among others the voice of martin <unk> king jr. the <unk> civil rights leader
 many marketers say philip morris 's approach will be effective but they agree that the ads ' implied smoking message is <unk>
 this is <unk> <unk> advertising that really says smokers have rights too says al <unk> chairman of <unk> & <unk> inc. a greenwich conn. marketing strategy firm
 this is designed to get the <unk> in a circle and defend the smoking franchise
 richard <unk> a partner at boston consulting group adds it 's very popular to <unk> yourself in the flag these days
 if you can do that and at the same time send a message that supports your business that 's brilliant
 rjr nabisco inc. and american brands inc. say they have no plans to follow philip morris 's lead
 indeed rjr nabisco is currently under fire for having sent <unk> <unk> touting its now brand to consumers who smoke american brands ' <unk>
 despite the criticism philip morris 's corporate campaign runs little risk of getting <unk> off the tube
 they are n't showing james madison taking a <unk> or lighting up says laurence tribe a professor of constitutional law at harvard university
 all they are trying to do is borrow some of the legitimacy of the bill of rights itself
 technology stocks <unk> up helping the over-the-counter market rise from its recent doldrums
 the nasdaq composite index surged N or about N N to N
 it was the market 's biggest gain since rising more than N points on oct. N
 advancing otc stocks <unk> decliners by N to N
 but the move lagged a stronger rise in new york stock exchange issues
 the big board 's composite index was up more than N N and the dow jones industrial average jumped N N
 nasdaq 's gain was led by its biggest industrial stocks
 the nasdaq N rose N to N
 the financial index of N biggest banks and insurance issues added N to N
 other strong sectors were indicated in gains of the transportation index up N to N and the utility index up N to N
 national market system volume improved to N shares from N million monday
 many of nasdaq 's biggest technology stocks were in the <unk> of the rally
 microsoft added N N to N N and <unk> systems rose N N to N N
 intel was up N N to N N
 but traders who watch the stocks warned the rise may be yet another one-day phenomenon
 technology stocks <unk> the brunt of the otc market 's recent sell-off and traders say it 's natural that they rebound sharply now that the market has turned around
 but they caution conservative investors would do well to sell into the strength
 they are always the first to be sold when people are taking profits because people are most scared of the high-technology stocks said robin west director of research for <unk> <unk> 's <unk> division which specializes in emerging growth stocks
 the technology group includes many of the otc market 's biggest stocks which dominate the <unk> nasdaq composite index
 analysts say rallies in the group historically have lifted the market while weakness in the sector often sank <unk> share prices broadly
 but increasing volatility in the sector has exhausted investors who try to follow its <unk> and swings
 the stocks have been <unk> repeatedly by inventory <unk> and disappointing earnings as the industry <unk> and <unk>
 some even claim the group has become a lagging not leading indicator
 the technology sector of the dow jones equity market index has risen only about N N this year while the nasdaq composite index has gained N N
 while the composite index lost less than a third of its <unk> gains in the market 's recent decline the technology group 's gains were more than <unk>
 the otc technology sector is far from a <unk> unit
 the group is divided primarily between software semiconductors and computers
 while computer stocks have taken the biggest hit from the slowdown in the industry many software and semiconductor stocks have continued to outperform the market
 microsoft is up more than N N this year while intel is up more than N N
 the technology group is also split between large companies and small with the biggest stocks trading as blue-chip issues in the institutional marketplace while the smaller stocks <unk> on their individual merits or <unk> analysts say
 the volatility of smaller technology companies has served the group well overall in recent stock trading according to hambrecht & quist 's technology stock indexes
 the brokerage firm tracks technology stocks with its technology index which <unk> only N N in the first nine months of this year
 but the firm also tracks smaller technology companies as a <unk> of the larger group
 that index which contains technology companies with annual revenues of $ N million or less gained N N by sept. N this year still lagging the s&p N but leading larger technology firms
 yesterday bank stocks lagged behind the overall otc market
 the nasdaq bank index rose N to N
 george <unk> who trades bank stocks for shearson lehman hutton said the stocks tend to fall behind because they are n't traded as much as many other issues
 but he added <unk> stocks in general are stalled
 the interest-rate <unk> are n't <unk> with the rest of the market because of fears about what the federal reserve will do mr. <unk> said
 he said that investors will <unk> the october employment report due out friday for clues about the direction of the economy and the immediate outlook for interest rates
 on the other hand mr. <unk> noted that the recent slide in bank and thrift stocks was at least halted yesterday
 shearson lehman hutton gave small investors some welcome news by announcing that it would no longer handle <unk> program trades for its accounts
 shearson with its in-house order execution system has handled the bulk of such program trades in the over-the-counter market
 the trading has been blamed for much of the market 's recent volatility
 jaguar topped the <unk> list as its american depository receipts climbed N N to N N with more than N million adrs traded
 britain said it would waive its golden share in the luxury auto maker if shareholders vote to allow a suitor to acquire more than N N of the company
 the announcement effectively <unk> the british government as an <unk> to a takeover of the company which is being <unk> by general motors and ford
 gen-probe was another active takeover stock
 it surged N N to N on volume of more than N million shares after the company agreed to be acquired by japan 's chugai pharmaceutical for about $ N million almost double the market price of gen-probe 's stock
 <unk> corp. lost N to N after filing for protection from its creditors under chapter N of the federal bankruptcy code
 mci communications added N N to N N
 the company has <unk> up over $ N million in contracts in the past two days
 monday mci announced a $ N million <unk> contract with the investment bank <unk>
 yesterday it received a $ N million three-year contract from drexel burnham lambert
 florida national banks of fla. slid N N to N N
 late monday the federal reserve board said it is delaying approval of first union corp. 's proposed $ N million acquisition of florida national banks pending the outcome of an examination into first union 's lending practices in low-income <unk>
 florida national said yesterday that it remains committed to the merger
 <unk> industries gained N to N N after it said it agreed to buy <unk> & associates and two affiliates for cash and stock
 the value of the transaction was n't disclosed
 the companies being acquired provide telecommunications services to the telephone industry
 <unk> industries whose stock has suffered steep losses in recent sessions surged N N to N
 the stock was one of many in the paper products industry that rose following georgia-pacific 's $ N billion bid for great northern nekoosa
 a permanent smoking ban on virtually all domestic airline routes won approval from the house which separately sent to president bush a nearly $ N billion fiscal N bill including the first construction funds for the space station
 the smoking prohibition remains attached to a $ N billion transportation bill that must still overcome budget obstacles in congress
 but yesterday 's action put to rest any <unk> resistance from tobacco interests
 faced with inevitable defeat the once dominant industry declined any recorded vote on the ban which covers all but a fraction of N N of daily flights in the u.s.
 the sole exceptions are an estimated N flights of six hours or more beginning or ending in hawaii and alaska
 assuming final enactment this month the prohibition will take effect N days later or in early february
 on a N roll call the house adopted the underlying transportation measure
 but the bill still faces budget questions because it also is the vehicle for an estimated $ N billion in supplemental appropriations for law enforcement and anti-drug programs
 the additional spending <unk> the measure more than $ N billion above its prescribed budget ceiling and the house appropriations committee leadership must now seek a waiver in hopes of completing action today
 the separate $ N billion bill sent to the white house had budget difficulties too but was saved ultimately by its importance to a broad spectrum of interests in congress and the administration itself
 no single bill this year includes more discretionary spending for domestic programs and apart from the space station the measure <unk> far-reaching provisions affecting the federal mortgage market
 the current ceiling on home loans insured by the federal housing administration is increased to $ N during fiscal N
 and in anticipation of increased lending the cap on fha loan guarantees would rise to approximately $ N billion
 separately the bill gives authority to the department of housing and urban development to facilitate the refinancing of high-interest loans subsidized by the government under the so-called section N <unk> program for <unk> families
 this provision met early and strong resistance from investment bankers worried about disruptions in their clients ' portfolios
 but the promise of at least $ N million in new savings helped to forge a partnership between hud secretary jack kemp and lawmakers wanting to protect their projects elsewhere
 the estimated $ N billion for the space station would be double last year 's level and total appropriations for the national aeronautics and space administration would grow N N to nearly $ N billion
 a string of costly projects including the <unk> national aerospace plane and the advanced communications technology satellite would continue to be developed within these limits
 and while imposing a statutory cap of $ N billion on future spending the bill would give nasa $ N million for the start-up of the <unk> mission a successor to the <unk> space probe
 separately the national science foundation is promised a N N increase to bring its appropriations to $ N billion
 and while pursuing these initiatives congress and the white house are squeezed too by steady increases $ N million in veteran 's medical care
 the result is that all sides resort to <unk> of hand to make room for competing housing and environmental programs and the commitments now will drive excess spending into fiscal N
 senior members of the house budget committee are reduced in frustration to raising doomed parliamentary obstacles to individual bills yet admit that much of the <unk> now stems from the fiscal <unk> associated with their own summit agreement with the white house this past spring
 it 's hard to get the administration 's attention on anything said rep. bill <unk> r. minn. because the whole agreement was built on <unk>
 among the subsidies continued in the transportation bill is $ N million to maintain commercial air service for an estimated N communities often in rural areas
 senate appropriations committee chairman robert byrd d. <unk> strongly resisted deeper cuts sought by the house
 but at a time when the white house wants to kill the entire program republicans have been among its leading <unk>
 sen. pete <unk> r. n.m. the ranking republican on the senate budget committee used his influence to preserve more than $ N in subsidies for air service to <unk> fe n.m. and more than $ N million would go for service to eight communities in the western nebraska district of gop rep. virginia smith on the house appropriations committee
 <unk> express an independent airline serving much of nebraska estimates that nearly N N of its revenues come from the subsidies that in some cases exceed the cost of a ticket
 for example a passenger can fly from <unk> neb. to denver for as little as $ N to $ N according to prices quoted by the company
 but given the few number of users the cost to the federal government per passenger is estimated at $ N according to house and senate appropriations committees
 the house action yesterday came as the senate remained mired in difficulties over a $ N billion measure covering the budgets for the state commerce and justice departments in fiscal N
 the compromise bill passed the house last week but has now provoked <unk> fights with the senate foreign relations committee which <unk> protects its prerogatives over operations at the state department
 the same <unk> can breed confusion however in the absence of any authorization bill this year
 house and senate <unk> sought to establish a nov. N deadline after which their bill would become the last word on how funds are distributed
 but on a N roll call this provision was stripped from the bill last night after foreign relations chairman <unk> <unk> d. <unk> complained that it was an <unk> on exclusive powers vested in his panel for more than three decades
 coda energy inc. said it arranged a $ N million credit facility with ncnb texas national bank a unit of ncnb corp. of charlotte n.c
 the dallas oil and gas concern said that $ N million of the facility would be used to consolidate the company 's $ N million of existing bank debt to repurchase N million of its N million shares outstanding of series d convertible preferred stock and to purchase a N N <unk> interest in certain oil and gas properties from one of its existing lenders national canada corp
 the remaining $ N million can be used over three years for oil and gas acquisitions the company said
 ted <unk> coda 's president said the loan carries an interest rate of prime plus one percentage point with N N of the company 's net oil and gas revenue each month dedicated to repayment
 the company put up virtually all of its oil and gas properties as collateral he said
 general dynamics corp. was given an $ N million air force contract for <unk> aircraft and related equipment
 loral corp. 's defense systems division received a $ N million air force contract for a <unk> weapons system <unk>
 southern air transport inc. won $ N million in air force and navy contracts for transportation services
 international business machines corp. was given a $ N million air force contract for satellite data systems equipment
 directed technologies received a $ N million defense advanced research projects agency contract for advanced <unk> systems research
 <unk> international inc. got a $ N million defense <unk> agency contract for combat <unk> <unk>
 santa fe pacific was the kind of story wall street loved
 since the value of its assets was n't known analysts were free to pick a number
 in one of many <unk> scenarios bear stearns 's gary <unk> wrote in march that its real estate alone had a value of $ N billion
 throw in its railroad minerals pipeline and oil assets he and others argued and the chicago-based conglomerate should be worth N a share
 and why should holders expect to realize that presumed worth
 that was another reason the street loved santa fe
 with real estate experts olympia & york and samuel <unk> 's itel owning close to N N of santa fe 's stock management was under pressure in a favored phrase of wall street to quickly maximize values
 but value it turns out is only what a buyer will pay
 and with the company 's recent announcement that it is contemplating a partial sale of its real estate the values suddenly look poorer
 santa fe has disclosed that it is negotiating to sell a N N interest in its real estate unit to the california public employees retirement system for roughly $ N million
 since the real estate unit also includes debt the <unk> value of the real estate itself is close to $ N billion
 the implied current net asset value of N per share is well below the N level that the street believed painewebber says
 the upside was in the <unk> real estate which is no longer an <unk>
 so what is santa fe worth
 if the railroad is valued on a private market basis at the same multiple of earnings as in the recent sale of cnw it would have a value of $ N billion
 a compromise between bulls and bears puts remaining assets and cash including its N N stake in its publicly traded pipeline at $ N billion
 santa fe also has $ N billion in debt
 in addition its railroad lost a $ N million antitrust suit which is on appeal and which analysts say could be settled for one-third that amount
 that <unk> out to about $ N a share for the company on a private market basis
 but santa fe currently trading at N N is n't likely to realize private market values by selling assets because the tax against it would be onerous
 its plan instead is to spin off the remainder of its real estate unit and to possibly do the same with its mining and energy assets
 robert d. <unk> santa fe 's chairman argues that since its businesses are valued in different ways the sum of the parts may be greater than the whole
 but it is n't clear why that should be so
 the spinoff argument after all <unk> the current notion that assets are worth more to private buyers than to public shareholders
 and real estate usually has n't traded well under public ownership
 salomon brothers says we believe the real estate properties would trade at a discount after the realty unit is spun off
 and what about the cost and risk of waiting to realize the hypothetical private market values
 some analysts remain bullish
 mr. <unk> of bear stearns says he is <unk> the worth of the company 's assets and in the meantime is sticking to his buy recommendation on the belief that he will find values of N a share
 he adds if for any reason i do n't have the values then i wo n't recommend it
 first boston 's <unk> anne <unk> values santa fe at N down from her earlier estimate of N
 her recent report <unk> the stock as a hold
 but it appears to be the sort of hold one makes while heading for the door
 <unk> from the report the stock 's narrow discount to asset valuation makes it a relatively <unk> investment at current prices especially given the risk that our projections could be on the aggressive side
 chairman <unk> says the california pension fund is getting a bargain price that would n't have been offered to others
 in other words the real estate has a higher value than the pending deal suggests
 since most of the unit 's real estate is in california the pension fund will be a useful political ally in a state where development is often held <unk> to <unk> boards
 and as mr. <unk> says with itel and <unk> on the unit 's board the real estate will be run by a very unusual group to say the least
 it is possible then that santa fe 's real estate even in a state <unk> by earthquakes could one day fetch a king 's <unk>
 but as drexel analyst linda dunn notes its properties will be developed over N to N years
 so despite wall street 's <unk> talk of quickly <unk> values holders could be in for a long wait
 santa fe pacific nyse symbol <unk>
 business railroad natural resources and real estate
 year ended dec. N N
 revenue $ N billion
 net loss $ N million N cents a share
 third quarter sept. N N
 net income N cents a share vs. net loss of $ N a share
 average daily trading volume N shares
 orkem s.a. a french state-controlled chemical manufacturer is making a friendly bid of N pence $ N a share for the N N of u.k. specialty chemical group coates brothers plc which it does n't already own the two sides said
 the offer which values the whole of coates at # N million has already been accepted by coates executives and other shareholders owning N N of the company
 the acceptances give orkem a controlling N N stake in the company
 orkem and coates said last wednesday that the two were considering a merger through orkem 's british subsidiary orkem coatings u.k. ltd
 orkem france 's third-largest chemical group said it would fund the acquisition through internal resources
 the takeover would be followed by a restructuring of orkem 's u.k. unit including the addition of related orkem businesses and possibly further acquisitions
 orkem said it eventually would seek to make a public share offering in its u.k. business
 intelogic <unk> inc. said it is exploring alternatives to maximize shareholder value including the possible sale of the company
 but <unk> b. edelman who controls about N N of the san antonio texas <unk> company insisted that the announcement did n't have anything to do with the ongoing battle for control of datapoint corp
 any sale of intelogic could have an impact on the battle between mr. edelman and new york attorney martin ackerman for control of datapoint
 intelogic holds N N of datapoint 's common shares outstanding
 mr. edelman said the decision has nothing to do with <unk> ackerman
 mr. ackerman contended that it was a direct response to his efforts to gain control of datapoint
 intelogic was spun off from datapoint four years ago shortly after mr. edelman took control of datapoint
 marks & spencer plc reported a N N gain in first-half pretax profit mainly because of improving performances in the u.k. and continental europe
 in the six months ended sept. N pretax profit at the british clothing and food retailer rose to # N million $ N million from # N million a year ago
 the results <unk> analysts ' forecasts which averaged around # N million and marks & spencer responded in trading on london 's stock exchange with an eight pence rise to N pence
 profit after tax and minority interest but before extraordinary items rose N N to # N million per-share earnings rose to five pence from N pence
 marks declared an interim per-share dividend of N pence compared with N pence a year earlier
 sales increased N N to # N billion from # N billion while operating profit climbed N N to # N million from # N million
 sales in north america and the far east were inflated by acquisitions rising N N to # N million
 operating profit dropped N N however to # N million
 brooks brothers which marks bought last year saw operating profit drop in half to # N million
 federal and state thrift <unk> said they saw evidence of criminal wrongdoing in the collapse of lincoln savings & loan association and a california regulator described an attempted <unk> by deputies of chief federal regulator danny wall
 in a <unk> day of hearings before the house banking committee the <unk> described finding <unk> documents a <unk> panamanian subsidiary millions of dollars <unk> into a swiss bank and a <unk> attitude by mr. wall 's deputies one of whom was portrayed as acting more like a public-relations man for the thrift than a federal regulator
 a california official also said he sent the federal bureau of investigation a <unk> of documents relating to a previously reported $ N contribution from lincoln 's parent <unk> by sen. alan cranston d. calif
 federal examiner alex <unk> said lincoln 's operations amounted to <unk> debt to provide a <unk> life style for its owners
 another federal examiner john <unk> said lincoln 's principal owner charles keating jr. and his family drew off at least $ N million from the thrift in salaries bonuses and proceeds from securities sales in the N N years before federal authorities seized it earlier this year
 lincoln 's collapse may cost taxpayers as much as $ N billion according to estimates making it the most expensive thrift failure in history
 i think there 's overwhelming evidence to indicate probable criminal activity said mr. <unk> who participated last year in an examination of the irvine calif. thrift
 he said the evidence pointed to wrongdoing by mr. keating and others although he did n't <unk> any specific violation
 richard <unk> a california state official who last year examined lincoln 's parent american continental corp. said he also saw evidence that crimes had been committed
 it sure <unk> like it he said
 he said N N of the loans he <unk> were dead meat on the day they were made
 the state examiner also said supervisors of a parallel federal examination seemed so reluctant to demand write-downs of lincoln 's bad loans that he immediately grew <unk>
 later on my concerns about a <unk> became even more serious he said
 he called the sour loans <unk> and added you opened the file up and it just jumped at you
 leonard <unk> a washington attorney for lincoln 's parent corporation said in an interview we deny any criminal behavior by the association or its officers
 those who testified yesterday have consistently maintained that anyone who did n't agree with them is part of a <unk> a <unk> or the subject of excessive influence mr. <unk> said
 we simply do n't agree with that or the findings of their investigation
 mr. wall 's deputies complained that they had n't been given an opportunity to respond to the criticism brought out during the banking committee 's hearings which committee chairman henry gonzalez d. texas has used as a forum to <unk> mr. wall 's handling of the affair and to demand that he step aside from his job
 a couple of things mr. <unk> said were at least misleading said kevin o'connell one of the washington regulators responsible for the handling of lincoln
 in an interview he said federal regulators eventually declared one of the loans the state regulator cited to be a total loss and forced lincoln to make an $ N million downward adjustment on another
 our response to the <unk> would simply be look what happened another washington official alvin <unk> said in an interview
 federal officials seized the association in april a day after the parent corporation entered bankruptcy-law proceedings
 the government later brought a $ N billion fraud suit against mr. keating and others
 rep. gonzalez has complained that regulators waited far too long however ignoring a recommendation from regional officials to place lincoln into <unk> two years before it failed
 he took the reckless course of ignoring the evidence rep. gonzalez said
 state thrift examiner eugene <unk> said he found the chief federal examiner steve scott to be totally <unk> in one allegedly fraudulent series of transactions
 frankly it was like he worked for the lincoln public-relations department mr. <unk> testified
 and david <unk> a federal examiner who worked under mr. scott said he found his chief oddly upbeat about lincoln
 asked to comment a spokesman for mr. scott said mr. scott has spoken to his attorney who has advised him not to talk to anybody
 mr. <unk> said that a day or two before lincoln 's parent entered bankruptcy proceedings he and other <unk> saw a truck with a sign on it that said it was from the document destruction center
 we observed at least two large plastic bags of <unk> paper loaded into this truck
 mr. <unk> said the paper had been donated to a charitable organization that sells it for recycling
 they <unk> it simply because it contained financial information about their creditors and <unk>
 mr. <unk> said his <unk> were aroused by several foreign investments by lincoln including $ N million paid to credit suisse of switzerland an $ N million interest in saudi european bank in paris a $ N million investment in a <unk> trading company and a recently discovered holding in a <unk> company <unk> holdings
 mr. <unk> said i can see why an s&l examiner would regard these as unusual activities but said the overseas investments essentially broke even for the s&l
 ltv steel co. is boosting the prices of flat rolled steel products by an average of N N following a recent erosion in the prices of such crucial steel products
 the big questions are whether the increase effective jan. N N will stick and whether other major steelmakers will follow suit
 it is widely expected that they will
 the increase is on the base price which is already being discounted by virtually all steel producers
 but ltv 's move marks the first effort by a major steelmaker to counter the free fall in spot prices
 major steel producers are selling cold rolled sheet steel at about $ N a ton compared with a peak price of $ N a ton in N
 <unk> companies are receiving even less per ton
 ltv 's planned increase which was announced in an oct. N memo to district managers does n't affect <unk> steel or <unk> plate
 ltv confirmed the <unk> plan saying the move is designed to more accurately reflect the value of products and to put steel on more equal footing with other commodities
 a spokesman for ltv steel which is a unit of dallas-based ltv corp. noted that steel prices adjusted for inflation increased only N N between N and the fourth quarter of N while the prices of other industrial commodities increased nearly five times as much
 at the same time steelmakers are trying to invest more to modernize technology and make themselves more competitive
 but analysts say the company is also trying to prevent further price drops
 moreover they note that ltv may be trying to send a signal to major customers such as chrysler corp. and <unk> corp. that steelmakers need more money
 both companies are in the process of negotiating contracts with ltv and others
 they ltv may believe this can impact contract negotiations and is their signal to the world that now is the time to get tough on prices said peter marcus an analyst with painewebber inc
 mr. marcus believes spot steel prices will continue to fall through early N and then reverse themselves
 he is n't convinced though that the price decline reflects falling demand because the world economy remains relatively strong
 and while customers such as steel service centers are continuing to reduce inventories through the fourth quarter they eventually will begin <unk> up again he notes
 it wo n't be clear for months whether the price increase will stick
 steelmakers announced a round of <unk> increases last year but began offering sizable discounts over the summer
 in fact ltv was the first steelmaker to publicly boost discounts for buyers of cold rolled sheet steel and hot-dipped galvanized sheet steel
 in composite new york stock exchange trading yesterday ltv common shares fell N cents to close at $ N
 the treasury plans to raise $ N billion in new cash with the sale monday of about $ N billion in short-term bills to redeem $ N billion in maturing bills
 however the treasury said it will postpone the auction unless it has assurances of enactment of legislation to raise the statutory debt limit before the scheduled auction date
 the offering will be divided evenly between 13-week and 26-week bills maturing on feb. N N and may N N respectively
 tenders for the bills available in minimum $ N denominations must be received by N p.m. est monday at the treasury or at federal reserve banks or branches
 j.c. penney co. is extending its involvement in a televised <unk> service by five to N years
 shop television network inc. of los angeles said penney agreed to continue its exclusive arrangement with shop television which does the production marketing and cable distribution for the j.c. penney television shopping channel
 the channel reaches N million homes a penney spokesman said
 michael rosen president of shop television said penney decided to extend its involvement with the service for at least five years
 if by that time the network reaches N million homes the contract will be renewed for five more years
 earlier this year penney abandoned another home shopping venture <unk> corp. after investing $ N million in it
 the company took a $ N million charge in the fiscal first quarter ended april N related to <unk> the service
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 <unk> <unk> <unk> plants to produce the billion-dollar idaho potato
 <unk> set out to <unk> that feat <unk> and <unk> with new life forms
 in N james watson and his colleagues <unk> the double <unk> of dna <unk> acid the genetic key to <unk>
 <unk> years later two california <unk> stanley cohen and herbert boyer made <unk> dna <unk> a <unk> 's gene into bacteria which then <unk> <unk> genes
 when boyer met robert <unk> an <unk> <unk> in N they saw dollar signs
 with $ N apiece and an injection of outside capital they formed genentech inc
 commercial <unk> was born
 genentech 's first product a brain protein called <unk> proved its technology
 the next to be <unk> human insulin had market potential and genentech licensed it to eli lilly which produced N N of the insulin used by N million u.s. diabetics
 their laboratory credentials established boyer and <unk> headed for wall street in N
 at the time genentech had only one profitable year behind it a modest $ N on revenue of $ N million in N and no product of its own on the market
 nonetheless the $ N million issue they <unk> in N opened at $ N and leaped to $ N within N minutes
 the trip from the test tube was not without <unk>
 boyer and cohen for instance both still university researchers had to be talked into applying for a patent on their <unk> technique and then the patent office refused to grant it
 that judgment in turn was reversed by the u.s. supreme court leaving cohen and boyer holding the first patents for making <unk> dna now assigned to their schools
 <unk> now is an <unk> part of the drug business
 genentech 's N sales were $ N million both from licensing and its own products
 the portfolio unit of the french bank group credit lyonnais told stock market regulators that it bought N shares of cie. de navigation mixte apparently to help fend off an unwelcome takeover bid for the company
 earlier yesterday the societe de <unk> <unk> was told that a unit of <unk> s.a. also bought navigation mixte shares this purchase covering more than N shares
 both companies are allies of navigation mixte in its fight against a hostile takeover bid launched last week by cie
 financiere de paribas at N french francs $ N a share
 navigation mixte 's chairman had suggested that friendly institutions were likely to buy its stock as soon as trading opened monday
 the credit lyonnais purchase for N regular common shares and N newly created shares is valued at about slightly more than N million french francs
 unocal corp. los angeles said it and <unk> de venezuela s.a. would create a petroleum marketing and refining general partnership in the midwest
 the joint venture <unk> co. would generate total annual revenue of about $ N million and have N employees a unocal spokesman said
 unocal said the venture would enable it to recover more of its refining and marketing investment and prepare for expected growth in exploration production chemicals and other areas
 it said financing would consist of $ N million from a private placement obtained through shearson lehman hutton inc. and a $ N million revolving credit line underwritten by chase manhattan bank
 in addition to unocal 's N <unk> refinery near <unk> ill. the new venture would control N distribution terminals a <unk> <unk> and packaging plant and N company-owned unocal service stations
 it said the venture expected to take control of the facilities dec. N would also serve another N independent unocal gasoline stations
 <unk> will supply N barrels of oil a day for the refinery unocal said
 mitsubishi heavy industries ltd. said unconsolidated pretax earnings in the fiscal first half surged N N to a record N billion yen $ N million reflecting strong demand for a variety of products
 in the period ended sept. N net income rose N N to N billion yen or N yen a share from N billion yen or N yen a share
 a year ago the tokyo company had pretax profit of N billion yen
 sales amounted to N trillion yen climbing N N from N billion yen
 encouraged by the brisk performance mitsubishi plans to raise its per-share dividend to N yen from three yen
 company officials said the current robust domestic demand that has been fueling sustained economic expansion helped push up sales of products like ships steel structures power systems and machinery and resulted in sharply higher profit
 senate leaders traded proposals aimed at speeding action on legislation to narrow the deficit and raise the federal government 's debt limit but the major <unk> block remains president bush 's proposal to cut the capital-gains tax rate
 democrats want the tax provision to be a separate bill subject to the usual procedural obstacles
 republicans meanwhile want to try to protect the measure by combining it with two politically popular issues that democrats could find hard to block
 the talks between senate majority leader george mitchell of maine and his gop counterpart sen. robert dole of kansas are expected to resume today
 last night after meeting with mr. bush and administration officials at the white house mr. dole proposed streamlining the fiscal N deficit-reduction bill now stalled in a house-senate conference committee and passing a long-term extension of the federal debt ceiling without any accompanying amendments
 under this plan two provisions currently in the house version of the <unk> bill repeal of both the <unk> insurance program and a controversial N tax provision intended to counter discrimination in <unk> plans would be made into a separate bill
 republicans would try to <unk> a capital-gains provision to that legislation hoping the political popularity of its other two parts would <unk> democrats from blocking it
 democrats want to avoid having to make that choice by making the capital-gains tax cut an individual bill
 sen. mitchell is confident he has sufficient votes to block such a measure with procedural actions
 both plans would drop child-care provisions from the house version of the deficit-reduction legislation and let it progress as a separate bill
 while that could make it vulnerable to a veto by mr. bush democrats argue that a presidential rejection would give their party a valuable issue in next year 's congressional elections
 senate democrats are to meet today to consider the gop proposal
 yesterday mr. dole seemed <unk> of the bush administration 's strategy of pushing the capital-gains measure at every chance in the face of democratic procedural hurdles
 pushing the issue on legislation needed to avoid default by the federal government he told reporters does n't seem to be very good strategy to me
 at N a.m. est today the federal government 's temporary $ N trillion debt limit expired
 to avoid default lawmakers must pass legislation raising the limit to $ N trillion from $ N trillion by next wednesday according to the treasury
 pressed by chairman dan <unk> d. ill of the house ways and means committee treasury undersecretary robert <unk> told a congressional hearing that the administration would give up its demand for the capital-gains tax cut if faced with a potential default
 price stern sloan inc. said it hired an investment banking firm to assist in evaluating restructuring or merger alternatives and reported a net loss of $ N million or $ N a share for the third quarter ended <unk>
 these results compare with net income of $ N million or N cents a share for the corresponding period last year
 this quarter 's loss includes pretax charges of $ N million on the proposed <unk> of the company 's troubled british subsidiary and $ N million of other write-offs the company said were <unk> and <unk> related to inventory publishing advances and <unk> costs
 the publishing concern said it retained the investment banking firm of donaldson lufkin & jenrette securities inc. to act as its financial adviser <unk> in the evaluation of various financial and strategic alternatives including debt refinancing raising capital recapitalization a merger or sale of the company
 the company also retained attorney martin p. <unk> a director of the company and former head of the <unk> publishing group as an adviser
 net sales for this year 's third quarter were $ N million down from $ N million last year
 the company attributed the decrease in part to the exclusion of the company 's british sales from the current year 's figures as a result of the subsidiary 's status as a proposed discontinued operation and in part to lower sales in certain key foreign and domestic accounts
 u.k. sales for last year 's quarter were about $ N million
 stock prices surged as a multibillion-dollar takeover proposal helped restore market players ' confidence about the prospects for further <unk>
 paper and forest-products stocks were especially strong as the offer for great northern nekoosa by georgia-pacific triggered speculation that the industry could be in for a wave of merger activity
 the dow jones industrial average climbed N to N even though some late selling caused the market to retreat from session highs
 trading was moderate with N shares changing hands on the new york stock exchange
 aside from the takeover news big buy orders were placed for blue-chip shares in afternoon trading
 traders said the buy programs came from very large institutional accounts that were also active in the stock-index futures markets
 at one point almost all of the shares in the <unk> major market index which <unk> the industrial average were sharply higher
 some N big board issues advanced in price and only N declined while broader market averages rose sharply
 standard & poor 's 500-stock index climbed N to N the dow jones equity market index added N to N and the new york stock exchange composite index climbed N to
 great northern surged N N to N N well above georgia-pacific 's offering price of $ N a share amid speculation that other suitors for the company would surface or that the bid would be raised
 nearly N million shares or about N N of the company 's shares outstanding changed hands in big board composite trading
 with stocks having been battered lately because of the collapse of takeover offers for ual the parent company of united airlines and amr the parent of american airlines analysts viewed the proposal as a psychological lift for the market
 the $ N billion bid which had been rumored since last week creates a better feeling that there 's value in the market at current levels and <unk> prospects for a hot tape says a.c. moore director of research at <unk> research corp
 traders and analysts alike said the market 's surge also reflected an easing of concerns about volatility because of moves by a number of brokerage firms to curtail or cease stock-index arbitrage
 much of the <unk> in stock prices lately has been blamed on arbitrage trading designed to profit from differences in prices between stocks and index futures
 people are looking for an ability to try and read the market rather than be <unk> said <unk> a. <unk> manager of equity trading at donaldson lufkin & jenrette
 he noted that institutional investors showed pretty general interest in stocks in the latest session
 but traders also said <unk> trading contributed to the market 's surge as buy programs boosted prices shortly after the opening and <unk> through the remainder of the session
 georgia-pacific fell N N to N N but most paper and forest-products stocks firmed as market players speculated about other potential industry takeover targets
 within the paper sector mead climbed N N to N N on N million shares union camp rose N N to N N federal paper board added N N to N N <unk> gained N N to N N stone container rose N to N N and <unk> jumped N N to N N
 forest-products issues showing strength included champion international which went up N N to N N weyerhaeuser up N to N N <unk> up N N to N N and <unk> cascade up N to N
 the theme of industry consolidation had surfaced earlier this year among drug stocks which posted solid gains in the latest session
 pfizer gained N N to N N schering-plough added N N to N N eli lilly rose N N to N N and upjohn firmed N to N
 also <unk> <unk> rose N N to N N
 an advisory committee of the food and drug administration recommended that the agency approve <unk> the company 's heart drug
 two rumored restructuring candidates in the oil industry moved higher chevron which rose N N to N N on N million shares and usx which gained N N to N N
 pennzoil is rumored to be <unk> a stake in chevron in order to push for a revamping of the company investor carl icahn has recently increased his stake in usx which separately reported earnings that were in line with expectations
 paramount communications which completed the $ N billion sale of its associates corp financial-services unit to ford motor gained N N to N N after losing one point monday amid rumors of a delay
 the company said the sale would produce a $ N billion gain in the fourth quarter
 bankamerica climbed N N to N after painewebber boosted its investment opinion on the stock to its highest rating
 the upgrade reflected the N N decline in shares of the bank since the firm lowered its rating in early october based on the belief the stock had become expensive
 sea containers which unveiled a proposed restructuring advanced N to N
 the company said it would repurchase half of its common shares at $ N each sell an estimated $ N billion in assets and pay a special <unk> dividend to <unk> holders
 shaw industries which agreed to acquire armstrong world industries ' carpet operations for an undisclosed price rose N N to N N
 armstrong added N to N N
 <unk> corp. rose N to N
 the company agreed definitively to be acquired by ogden corp. in a stock swap valued at about $ N million
 ogden gained N N to N N
 ocean drilling & research dropped N N to N N following news of a restructuring plan that calls for the company to <unk> its drilling business into a separate company and offer a N N to N N stake to the public
 the american stock exchange market value index rose N to N
 volume totaled N shares
 imperial <unk> fell N N to N N in the wake of its third-quarter earnings report
 net income was down from a year ago when a gain from the restructuring of a retirement plan boosted <unk>
 cilcorp inc. <unk> ill. said it agreed to acquire the environmental consulting and analytical service businesses of hunter environmental services inc. of <unk> conn
 the utility holding company said hunter will receive N shares of a new series of cilcorp convertible preferred stock with a face value of $ N million for the businesses
 cilcorp will also assume $ N million of hunter 's existing debt
 as part of the agreement cilcorp said it will pay hunter $ N million in exchange for agreements not to compete
 cilcorp said the businesses to be acquired had revenue of $ N million for the year ended march N
 separately cilcorp said it plans to purchase as many as N million shares or N N of its common stock outstanding from time to time on the open market and through privately negotiated transactions
 the company which currently has N million common shares outstanding said it has no specific plans for the shares
 bush and gorbachev will hold two days of informal talks next month
 the president said that he and the kremlin leader would meet dec. N aboard u.s. and soviet naval vessels in the <unk> to discuss a wide range of issues without a formal agenda
 a simultaneous announcement was made in moscow
 bush said that neither he nor gorbachev expected any substantial decisions or agreements
 the <unk> meetings wo n't disrupt plans for a formal summit next spring or summer at which an arms-control treaty is likely to be completed
 the two leaders are expected to discuss changes sweeping the east bloc as well as human-rights issues regional disputes and economic cooperation
 israel 's army lifted a <unk> around a palestinian town in the occupied west bank ending a <unk> campaign of <unk> cars furniture and other goods to crush a tax <unk>
 while residents claimed a victory military authorities said they had confiscated the equivalent of more than $ N million to make up for the unpaid taxes
 east german leader krenz arrived in moscow for talks today with gorbachev on restructuring proposals
 in east berlin communist party officials considered <unk> new forum the country 's largest opposition alliance as about N demonstrators staged protests in three cities to press demands for democratic freedoms
 the house approved a permanent smoking ban on nearly all domestic airline routes as part of a $ N billion transportation bill that must still overcome budget obstacles in congress
 the chamber also sent to bush a nearly $ N billion fiscal N measure that includes the first construction funds for a space station
 nicaragua 's ortega postponed until today a decision on whether to end a <unk> cease-fire in the conflict with the contra rebels
 in washington the senate voted to condemn ortega 's threat to cancel the truce and bush said he would review u.s. policy toward managua including the possibility of renewing military aid to the rebels
 chinese leader deng told former president nixon that the u.s. was deeply involved in the turmoil and <unk> <unk> that <unk> beijing last spring
 nixon on the fourth day of a private visit to china said that damage to <unk> relations was very great calling the situation the most serious since N
 afghanistan 's troops broke through a guerrilla <unk> on the strategic <unk> highway allowing trucks carrying food and other <unk> to reach kabul after a missile attack on rebel <unk>
 the <unk> of about N vehicles was the first to make deliveries to the capital in about N days
 turkey 's legislature elected prime minister <unk> as the country 's first civilian president since N opening the way for a change of government under a new premier he will select
 the vote in <unk> was <unk> by opposition politicians who vowed to oust <unk>
 he begins his seven-year term nov. N succeeding <unk> <unk>
 south africa 's government dismissed demands by <unk> conservatives the nation 's main opposition party for emergency talks on pretoria 's recent <unk> of dissent
 the government also urged whites to <unk> from panic over growing black protests such as the massive <unk> rally sunday on the <unk> of <unk>
 researchers in belgium said they have developed a genetic engineering technique for creating hybrid plants for a number of crops such as cotton soybeans and rice
 the scientists at plant genetic systems n.v. isolated a gene that could lead to a generation of plants <unk> a <unk> <unk>
 a bomb exploded at a leftist union hall in san salvador killing at least eight people and <unk> about N others including two americans authorities said
 the blast which <unk> the opposition labor group 's offices was the latest in a series of attacks in el salvador 's <unk> civil war
 hungary 's parliament voted to hold a national <unk> on an election to fill the new post of president
 the balloting to decide when and how to fill the position which <unk> a collective presidency under a pact signed by the ruling <unk> and opposition groups is to be held <unk>
 the state department denied <unk> to a vietnamese man who escaped from his <unk> by <unk> himself to the <unk> housing of a tanker for two days in <unk> <unk>
 a spokesman for democratic sen. <unk> of <unk> island said however that the <unk> and <unk> service would review the <unk> 's request
 ogden projects inc. said net income jumped to $ N million or N cents a share in the third quarter
 the fairfield n.j. company which is <unk> by ogden corp. new york had net of $ N million or four cents a share a year ago
 revenue soared to $ N million from $ N million
 ogden projects whose shares began trading on the new york stock exchange in august closed yesterday at $ N down N cents
 the stock began trading this summer at $ N apiece
 ogden projects which has interests in <unk> recovery and <unk> cleanup said it has N facilities in operation up from seven a year ago
 meanwhile ogden corp. which also has interests in building maintenance and management reported third-quarter net income of $ N million or N cents a share more than twice the $ N million or N cents a share a year earlier
 revenue rose N N to $ N million from $ N million
 under attack by its own listed companies and powerful floor traders the new york stock exchange is considering <unk> a collar on program trading that it abandoned last year according to people familiar with the big board
 the exchange also may step up its disclosure of firms engaged in program trading these people said
 big board officials would n't comment publicly
 but in an interview in which he called the stock market 's volatility a national problem big board chairman john j. phelan jr. said we are going to try to do some things in the short intermediate term to help the situation
 mr. phelan has been viewed by many exchange members as being <unk> to <unk> swings caused by program trades
 he said he is very surprised by the furor over program trading and the exchange 's role in it that has <unk> in recent days
 mr. phelan said that the big board has been trying to deal quietly with the issue but that banning <unk> trading strategies entirely as some investors want would be like taking everybody out of an automobile and making them ride a horse
 the exchange has a board meeting scheduled for tomorrow and it is expected that some public announcement could be made after that
 big board officials have been under <unk> from both investors and the exchange 's own floor traders since the dow jones industrial average 's 190-point tumble on oct. N
 mr. phelan has n't been making public remarks in recent days and many people have urged him to take more of a leadership role on the program trading issue
 what the big board is considering is <unk> a collar on program trading when the market moves significantly
 early last year after a <unk> one-day drop in the dow the big board instituted the collar which banned program trading through the big board 's computers whenever the dow moved N points up or down in a day
 it did n't work
 the collar was <unk> on a number of occasions meaning securities firms figured out ways to conduct program trades to <unk> the collar and use the big board 's electronic trading system mr. phelan said
 that was when the exchange took a new <unk> by publishing monthly statistics listing the top N program trading firms
 exchange officials emphasized that the big board is considering a variety of actions to deal with program trading
 people familiar with the exchange said another idea likely to be approved is expanding the monthly reports on program trading to cover specific days or even hours of heavy program trading and who was doing it
 meanwhile another big wall street brokerage firm joined others that have been pulling back from program trading
 american express co. 's shearson lehman hutton inc. unit said it <unk> all index-arbitrage program trading for client accounts
 in stock-index arbitrage traders buy and sell large amounts of stock with offsetting trades in stock-index futures to profit from fleeting price discrepancies between the two markets
 shearson which in september was the <unk> program trader on the big board had already suspended stock-index arbitrage for its own account
 also cs first boston inc. 's first boston corp. unit the <unk> program trader in september is preparing a response to the program-trading outcry officials of the firm said
 first boston is one of the few major wall street firms that have n't pulled back from program trading in recent days
 mr. phelan is an <unk> diplomat who normally appears to be <unk> in control of the big board 's <unk>
 but he has been getting heat from all sides over program trading
 mr. phelan 's recent remarks that investors simply must get used to the stock-market volatility from program trading have drawn criticism from both the exchange 's stock specialists who make markets in individual stocks and from many companies that have shares listed on the big board
 mr. phelan said that his predicting continued volatility is just how the world is
 if bringing the message is a crime i 'm guilty of it
 but he said this does n't mean he is satisfied with the market 's big swings
 we 're trying to take care of a <unk> of a lot of constituents mr. phelan said
 each one has a different agenda
 for example in a special meeting monday with mr. phelan senior officials of some of the big board 's N stock specialist firms complained that the exchange is no longer representing their interests
 we are looking for representation we have n't had a specialist said
 we 've had <unk>
 after another session mr. phelan held yesterday with major brokerage firms such as morgan stanley & co. goldman sachs & co. painewebber group inc. and first boston all of which have engaged in program trading an executive of a top brokerage firm said clearly the firms want the exchange to take leadership
 many specialist firms <unk> the big board 's new basket product that allows institutions to buy or sell all stocks in the standard & poor 's 500-stock index in one shot
 ultimately the specialists view this as yet another step toward electronic trading that could eventually destroy their franchise
 his phelan 's own interests are in building an electronic marketplace said a market maker
 the basket product while it has got off to a slow start is being supported by some big brokerage firms another member of mr. phelan 's <unk> constituency
 mr. phelan has had difficulty convincing the public that the big board is serious about curbing volatility especially as the exchange clearly <unk> its role as the home for $ N billion in stock-index funds which buy huge baskets of stocks to mimic popular stock-market indexes like the standard & poor 's N and which sometimes employ program trading
 the big board wants to keep such index funds from <unk> to overseas markets but only as long as it handles it <unk> mr. phelan said
 despite what some investors are suggesting the big board is n't even considering a total ban on program trading or stock futures exchange officials said
 most revisions it will propose will be geared toward slowing down program trading during <unk> periods said officials working with the exchange
 computers have made trading more rapid but that can be fixed with some <unk>
 i think if you can speed things up you can slow them down mr. phelan said
 that 's different than <unk> them
 while volatility wo n't go away he said volatility is greater than program trading
 what i 'm trying to say to people is it 's proper to worry about program trading but it 's only a piece of the business
 for example mr. phelan said that big institutions have so much control over public investments that they can cause big swings in the market regardless of index arbitrage
 a lot of people would like to go back to N before program trading he said
 i would like to go back to N
 but we 're not going back to N
 indeed mr. phelan said that if stock-market volatility <unk> the u.s. may lose its edge as being the best place to raise capital
 japan 's markets are more stable he said
 if that continues a significant number of u.s. companies will go over there to raise money
 in coming days when the big board <unk> its responses to the program-trading problem mr. phelan may take a more public role in the issue
 lewis l. <unk> vice chairman of smith barney harris upham & co. said this is a problem that 's taking on a life of its own
 the program trading situation seems to have driven individual investors as well as others out of the market and even europeans are <unk>
 the exchange should take a <unk> position
 for now however mr. phelan said i refuse to get out there and tell everybody everything is <unk>
 we have a major problem and that problem is volatility
 craig <unk> contributed to this article
 a new minimum-wage plan has been worked out by congress and bush opening the way for the first increase in over nine years
 the compromise proposal ending a long <unk> between democrats and the president would boost the minimum wage to $ N an hour by april N from $ N now
 the legislation also includes a lower training wage for new workers who are <unk>
 the big board is considering <unk> a curb on program trading when the market is volatile
 the exchange which abandoned such a collar last year because it did n't prevent sharp price swings has been under attack recently for not taking action against program trading
 great northern nekoosa reacted <unk> to georgia-pacific 's takeover bid of $ N a share or $ N billion though the suitor said all terms are negotiable
 great northern 's stock soared $ N to $ N on speculation that a higher bid would emerge
 stock prices rallied as the georgia-pacific bid broke the market 's recent <unk>
 the dow jones industrials finished up N at N
 the dollar and bond prices also closed higher
 leading indicators rose a slight N N in september a further indication the economy is slowing but without any clear sign of whether a recession looms
 meanwhile new-home sales plunged N N in the month
 labor costs climbed N N in private industry during the third quarter matching the second-quarter rise
 <unk> costs soared
 time warner and sony could end up becoming partners in several business ventures as part of a settlement of their dispute over hollywood producers peter guber and jon peters
 a bidding war for jaguar became more likely as britain unexpectedly decided to end restrictions blocking a takeover of the luxury car maker
 sea containers plans to sell $ N billion of assets and use some of the proceeds to buy about N N of its common shares for $ N each
 the company is trying to fend off a hostile bid by two european shipping firms
 eastern airlines pilots were awarded between $ N million and $ N million in back pay by an arbitrator a decision that could complicate the carrier 's bankruptcy reorganization
 ltv steel is boosting prices of flat rolled steel products an average N N but it 's unclear whether the increases set for jan. N N will stick
 southern 's gulf power unit paid $ N in fines after <unk> guilty to conspiracy to make illegal political contributions and tax evasion
 more big japanese investors are buying u.s. mortgage-backed securities <unk> a recent trend
 usx 's profit dropped N N in the third quarter as improved oil results failed to offset weakness in the firm 's steel and natural gas operations
 miniscribe reported a negative net worth and hinted it may file for chapter N
 the disk-drive maker disclosed a major fraud two months ago
 markets
 stocks volume N shares
 dow jones industrials N up N transportation N up N utilities N up N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N up N spot index N off N
 dollar N yen up N N marks up N
 bond prices <unk> in <unk> trading rising on reports of economic weakness and falling on reports of economic strength
 treasury bonds got off to a strong start advancing modestly during overnight trading on foreign markets
 we saw good buying in japan and excellent buying in london said jay <unk> market strategist and trader at capital insight inc. beverly hills calif
 the market 's <unk> was helped by the dollar 's <unk> he said
 late in london the dollar was quoted at N west german marks and N japanese yen up from late monday in new york
 british sterling eased to $ N from $ N
 when u.s. trading began treasury bonds received an additional boost from news that sales of new single-family homes fell N N in september
 the <unk> was twice as large as economists projected and was the sharpest decline since a N N drop in january N
 economists said the report raised speculation that the economic slowdown could turn into a recession which would <unk> the way for the federal reserve to lower interest rates
 but later in the day a report by the purchasing management association of chicago cast doubt on the recession scenario
 the association said its october index of economic activity rose to N N after having been below N N for three consecutive months
 a reading below N N indicates that the manufacturing industry is slowing while a reading above N N suggests that the industry is expanding
 bond prices fell after the chicago report was released
 by the end of the day bond prices were mixed
 the benchmark 30-year bond was nearly N point higher or up about $ N for each $ N face amount
 new two-year notes ended unchanged while three-year and four-year notes were slightly lower
 municipal bonds ended unchanged to as much as N point higher while mortgage-backed securities were up about N point
 corporate bonds were unchanged
 in the corporate market an expected debt offering today by international business machines corp. generated considerable attention
 the giant computer maker is slated to offer $ N million of 30-year <unk> debentures through underwriters led by salomon brothers inc
 traders expect the bonds to yield about N to N percentage point above the treasury 's benchmark 30-year bond which ended tuesday with a yield of about N N
 the last time ibm tapped the corporate debt market was in april N when it offered $ N million of debt securities
 ibm 's visits to the debt market are closely watched by <unk> at other corporations and by credit market analysts
 some analysts believe the company has the ability to pinpoint the trough in interest-rate cycles
 in october N just days before the federal reserve raised interest rates ibm offered $ N billion in debt securities
 the boost in rates sent ibm 's bonds tumbling leaving underwriters with millions of dollars of losses and triggering a sell-off in the overall market
 the company ca n't be bullish if they 're doing a sizable 30-year bullet said one analyst
 others said ibm might increase the size of the offering to as much as $ N billion if investor demand is strong
 the company has $ N billion in debt filed with the securities and exchange commission
 i think the $ N million is a little bit of a fire drill said jim <unk> head of the industrial bond department at drexel burnham lambert inc
 i think as the pricing time <unk> the bonds will come a little richer and in a larger amount
 treasury securities
 treasury prices ended mixed in light trading
 the benchmark 30-year bond was quoted late at N N to yield N N compared with N N to yield N N monday
 the latest 10-year notes were unchanged at N N to yield N N
 short-term rates also were mixed
 the discount rate on three-month treasury bills rose slightly from the average rate at monday 's auction to N N for a bond-equivalent yield of N N
 the discount rate on six-month treasury bills fell slightly to N N for a bond-equivalent yield of N N
 corporate issues
 two junk bond issues were priced yesterday including a <unk> offering by beatrice co
 a spokesman for underwriters salomon brothers inc. said beatrice cut its high-yield offering to $ N million from a planned $ N million after it became clear the company would have to give investors higher yields
 in the two-part offering $ N million of senior subordinated reset notes were priced at N and carried a rate of N N N while the $ N million of senior subordinated floating rate notes were priced to float at N percentage points above the london interbank offered rate or libor
 the one-year libor rate yesterday was N N N
 since the recent deterioration of the junk-bond market at least two other junk issuers have said they plan to scale back planned high-yield offerings and several issues have been postponed
 william <unk> beatrice chief financial officer said favorable market conditions in september prompted the company to plan more debt than necessary
 however given the changes in the market conditions that have occurred since then we decided to sell only the amount needed to proceed with our contemplated recapitalization he said
 under the firm 's original bank credit agreement it was required to raise $ N million of subordinated debt to be used to repay some of the bank borrowings drawn to redeem $ N million of increasing rate debentures in august
 a month ago when beatrice first filed to sell debt the company had planned to offer $ N million of its senior subordinated reset notes at a yield of N N N
 the $ N million in senior subordinated floating-rate notes were targeted to be offered at a price to float four percentage points above the three-month libor
 by october however market conditions had deteriorated and the reset notes were targeted to be offered at a yield of between N N N and N N N
 mr. <unk> said investors also demanded <unk> <unk>
 continental <unk> inc. via underwriters at morgan stanley & co. priced $ N million of junk bonds at par to yield N N N
 mortgage-backed securities
 j.c. penney & co. issued $ N million of securities backed by credit-card receivables
 the securities were priced at N to yield about N N
 underwriters at first boston corp. said the j.c. penney credit-card securities are the first with a 10-year average life which is much longer than previous such issues
 elsewhere ginnie mae 's N N issue for november delivery was quoted at N N bid up N from late monday to yield about N N to a 12-year average life assumption
 freddie mac 's N N N issue was quoted at N N up N from monday
 fannie mae 's N N issue was at N N up N
 on the pricing front an <unk> issue of $ N million federal home loan mortgage corp
 remic mortgage securities was launched by a morgan stanley group
 the offering is backed by freddie mac 's N N issue with a weighted average term to maturity of N months
 municipal issues
 municipal bonds were little changed to N point higher in late dealings
 we were <unk> and today we bounced back
 some accounts came in for some blocks in the secondary market which we have n't seen for a while said one trader
 there were no sell lists and the calendar is <unk> up a bit
 there 's light at the end of the tunnel for municipals he said adding that he expects prices to inch up in the near term
 the market 's tone improved after monday 's pricing of $ N million new york city general obligation bonds
 the issue 's smooth <unk> eased fears that supply would <unk> demand in coming sessions traders said
 demand for the bonds was strong enough to permit underwriters to trim some yields in the tax-exempt portion of the offering late monday
 a two-part $ N million offering of wastewater treatment bonds by the new jersey wastewater treatment trust was more than half sold by late in the session according to lead underwriter merrill lynch capital markets
 the debt was reoffered priced to yield from N N in N to N N in N
 foreign bonds
 most foreign government bonds markets were quiet
 west german bonds firmed a bit after monday 's fall but traders said the market remains bearish due to speculation that interest rates could rise again
 in a speech given friday but released late monday <unk> vice president helmut <unk> suggested that it was risky to claim that the booming german economy has reached the peak of its cycle
 his comments were interpreted as a sign that higher interest rates are possible
 on oct. N the <unk> raised the <unk> and discount rates by one percentage point to N N and N N respectively the highest levels in seven years
 germany 's N N bond due october N was unchanged at N to yield N N while the N N N notes due july N rose N point to N to yield N N
 japanese government bonds showed little change
 japan 's benchmark no. N issue due N ended on brokers ' screens at N down N point to yield N N
 british government bonds were little changed as investors <unk> an address on economic policy by john major the new chancellor of the exchequer
 britain 's benchmark N N N bond due N rose N to N N to yield N N while the N N N notes due N were unchanged at N N to yield N N
 paramount communications inc. said it sold two simon & <unk> information services units to macmillan inc. a subsidiary of maxwell communication corp
 the two units are prentice hall information services which publishes tax financial planning and business law information among other services and prentice hall information network which electronically <unk> tax information
 terms were n't disclosed but industry executives said the units were sold for $ N million
 arthur h. <unk> previously president of the prentice hall tax and professional services division was named president of the newly formed macmillan professional and business reference division
 simon & <unk> retains the corporation law <unk> service which will become part of its prentice hall law & business unit
 a governing body of both the financial accounting standards board and the <unk> accounting standards board voted to give the fasb jurisdiction over accounting standards for certain government-owned entities
 the financial accounting foundation voted N that fasb accounting rules <unk> gasb rules in regard to utilities hospitals and colleges and universities owned by the government
 gasb rules still apply for other government units
 after the gasb was founded in N N years after the fasb the government-owned entities were supposed to follow fasb rules unless the gasb <unk> them
 the gasb had told governments they did n't have to follow fasb rules on depreciation making it difficult for <unk> agencies to compare private and state-owned schools which compete in the public bond market
 the foundation vote is effective for the affected government entities with fiscal years that begin starting next jan. N and makes the financial results of the hospitals colleges and schools easier to compare with <unk> businesses
 but it may lead to separate financial reports based on different rules for the government entities under fasb rules and those still under gasb rules
 managers of government entities are often more concerned with the political and legal structure and <unk> <unk> with <unk> businesses is n't always as high a priority a foundation spokesman said
 avery inc. said it completed the sale of uniroyal chemical holding co. to a group led by management of uniroyal chemical co. the unit 's main business
 it valued the transaction at $ N million
 avery which continues to operate a coal company it expects to sell at a loss said in proxy materials it intends to seek control of one or more companies
 after fees and repayment of debt avery is left with about $ N million in cash and securities from the uniroyal sale
 avery paid $ N million including various legal and financing fees to acquire uniroyal chemical <unk> conn. in N a move that <unk> avery with debt
 in over-the-counter trading avery shares were quoted yesterday at a bid price of N cents a share
 according to avery for the year ended sept. N N uniroyal chemical had sales of $ N million and a net loss of $ N million
 an avery spokesman said that the loss was magnified by accounting adjustments and that the company 's loss was smaller on a cash basis
 uniroyal has N employees and facilities in the u.s. canada brazil italy and taiwan
 in a related development avery said it completed a recapitalization in which its controlling shareholders and top officers nelson <unk> and peter w. may surrendered warrants and preferred stock in exchange for a larger stake in avery 's common shares
 on a fully diluted basis the two raised their stake to N N from N N
 in december N messrs. <unk> and may sold their stock in <unk> industries inc. a packaging company they controlled to <unk> corp. of france
 the executives had <unk> <unk> by building american national can co. <unk> 's chief asset
 in january N the two men acquired the <unk> assets of <unk> including a controlling stake in avery and by extension uniroyal chemical
 in the august proxy material avery said that unless it sold uniroyal its ability to service debt would be hurt and avery 's shareholder value would continue to erode
 until avery makes an acquisition messrs. <unk> and may will waive their direct salaries and bonuses the company said
 for at least the next six months however avery will continue to pay $ N a month for management services to a company controlled by messrs. <unk> and may according to the proxy material
 <unk> inc. said a plan to sell its <unk> clark inc. subsidiary to a group headed by anderson industries inc. for $ N million has been terminated
 <unk> a maker of packaging and <unk> products said the two companies could n't agree on terms of a definitive agreement
 the sale price of the unit which makes packaging products was to consist of cash notes and an amount to be determined by the unit 's future performance
 <unk> said it is inviting proposals from other prospective purchasers of the unit
 both <unk> and anderson are based in <unk> ill
 rally 's inc. said it adopted a shareholders rights plan to protect shareholders from an <unk> priced takeover offer
 the plan provides for the distribution of one common <unk> right as a dividend for each share of common outstanding
 each right <unk> shareholders to buy one-half share of common for $ N
 earlier this month a group led by three of the company 's directors burt sugarman james m. trotter iii and <unk> e. trotter ii indicated it had a N N stake in the louisville ky. fast-food company and that it planned to seek a majority of seats on rally 's <unk> board
 the company said it was concerned about the announced intent to acquire control of the company by a <unk> group
 fujitsu ltd. said it wants to withdraw its controversial <unk> bid to design a waterworks computer system for the city of hiroshima
 meanwhile japan 's fair trade commission said it was considering launching an investigation into whether the bid the equivalent of less than a penny violates <unk> laws
 hiroshima last week held an auction to pick the contractor expecting to pay about N million yen for the project
 eight companies submitted bids but fujitsu won the contract by essentially saying it would do the job for free
 news of the bid drew sharp criticism from other computer companies and industry observers
 fujitsu itself which said the bid had n't been approved by its headquarters was clearly embarrassed
 the bid was n't <unk> acceptable a company spokeswoman said
 hiroshima officials said they still consider the contract in effect and had no immediate plans to cancel it
 they said they wanted to wait for the outcome of any government investigation before deciding what to do
 the city 's department of consumer affairs charged <unk> & lewis inc. with failing to deliver on its promise of lowering prices
 in a civil suit <unk> in state supreme court in new york the agency alleged that the <unk> and <unk> <unk> chain engaged in deceptive advertising by claiming to have lowered every price on every item as part of an advertising campaign that began june N
 the agency said it monitored <unk> & lewis 's advertised prices before and after the ad campaign and found that the prices of at least N different items either increased or stayed the same
 in late may <unk> & lewis announced a plan to cut prices N N to N N and eliminate what it called a standard <unk> practice of negotiating individual deals with customers
 the consumer agency also disputed <unk> & lewis 's continuing strategy of advertising new lower prices when <unk> there have n't been price reductions since june N
 richard d. lewis president of the <unk> chain defended the company 's pricing campaign saying it did n't use the misleading expression reduced from original prices
 mr. lewis said the company marked price <unk> and advertised at its lowest possible prices for all its merchandise to reduce public confusion
 mr. lewis said the company gave the consumer affairs department volumes of documents to <unk> its statements and made every effort to comply with all the agency 's policies
 in its suit the consumer agency seeks fines of $ N per violation of the city 's consumer protection law costs of investigation and an injunction to prevent <unk> & lewis from continuing its allegedly deceptive advertising
 wary investors have been running for the stock market 's equivalent of bomb shelters buying shares of <unk> and utility companies
 those two groups have recently been leading the list of stocks setting new highs
 on friday when only a dozen common stocks hit 52-week highs on the new york stock exchange five were <unk> issues and another four were utilities
 on monday when a mere seven common stocks managed new highs six were utilities or <unk>
 at first <unk> gold and utilities seem strange <unk>
 after all gold prices usually soar when inflation is high
 utility stocks on the other hand <unk> on <unk> because the fat dividends utilities pay look more attractive when prices are falling or rising slowly
 but the two groups have something very important in common they are both <unk> for scared money stocks for people who hate stocks
 it 's as if investors the past few days are betting that something is going to go wrong even if they do n't know what
 if the stock market and the economy catch their breath and show that they 're on firmer footing these stocks might well fall back
 indeed that happened to some extent yesterday as industrial stocks rebounded partly on news of takeovers in the paper industry
 still a lot of investors clearly have revived their interest in gold and utility shares
 the primary <unk> thing is that people are frightened says martin <unk> a new york money manager
 the aftershocks of oct. N when the dow jones industrial average dropped N points are still <unk>
 certainly the oct. N sell-off did n't settle any <unk>
 beyond that money managers and analysts see other problems
 inventories are creeping up car inventories are already high and big auto makers are <unk> plants
 takeover fever has cooled removing a major horse from the market 's <unk>
 britain 's unsettled political scene also worries some investors
 the gyrations in the british government add political uncertainty on top of high inflation and a <unk> stock market says john hoffman assistant director of research at smith barney harris upham & co
 one of the three major markets in the world is getting <unk> up pretty bad
 if the fed does not come to the rescue and produce lower short-term interest rates over the next N days the market 's going to <unk> says larry <unk> a market analyst with prudential-bache securities
 with this sort of sentiment common it 's natural for investors to seek out defensive investments
 utilities are a classic example even in recessions people continue to use electric power water and gas at a fairly steady rate
 such defensive issues as food tobacco and drug stocks have been in favor for some time
 but many of these stocks have now become expensive
 mr. <unk> points to coca-cola co. and pepsico inc. as examples they 're selling for N to N times estimated N per-share earnings
 gold stocks are n't cheap on this basis either with many selling for N times earnings or more
 even utility stocks are n't all that <unk> at an average of N times earnings
 but the two groups represent a further step in <unk>
 if gold stocks and utilities continue to lead it may signal that the market is in for rough times
 that 's just what joseph <unk> expects
 we are going to <unk> lower says the flamboyant market <unk> who had a huge following a few years back
 anyone telling you to buy stocks in this market is technically irresponsible
 you do n't want to own anything long except gold stocks
 one reason for his <unk> is a weekly tally he keeps of stocks within a point of hitting new highs or lows
 last friday N stocks on the big board hit new 12-month lows
 but by mr. <unk> 's count N issues were within one point of such lows
 robert <unk> a veteran new york money manager and president of <unk> securities has money in both gold and utility issues
 i think we could very well have an economic slowdown beginning very soon if not already he says
 mr. <unk> does n't expect an actual recession
 but he does expect a <unk> <unk> of an economy with very slow growth maybe one quarter of no growth at all
 in such a climate utility stocks look good to him
 he favors <unk> group inc. florida progress corp. <unk> energy inc. wisconsin energy corp. and dominion resources inc
 the appeal of gold issues mr. <unk> says is that they 're a counter group
 you go into them because they move counter to the general market
 he adds that gold stocks had been down so long they were ready for a bounce
 his <unk> are american <unk> resources corp. echo bay mines ltd. and <unk> <unk> mines corp
 nevertheless mr. <unk> <unk> that you do n't buy gold stocks based on powerful fundamentals
 in addition to having high price-earnings ratios most pay <unk> dividends if any
 the earning power of gold mining companies is restricted unless the gold price <unk> up over $ N an ounce he says
 <unk> cohen an investment strategist for drexel burnham lambert also thinks it makes sense to have some money in both utilities and gold
 my outlook is for a decline of about N N in corporate profits in N she says
 but a bunch of utilities should post profit increases
 among utilities drexel currently favors <unk> corp. and general public utilities corp
 as for gold she notes that it usually rises when the dollar is weak as it has been lately
 among gold stocks drexel likes battle mountain gold co. <unk> gold co. and freeport-mcmoran gold co
 it never <unk> to <unk> me how the business world continues to <unk> the world 's environmental problems is science or private gain driving ozone policy by george <unk> business world oct. N
 to suggest that a N N drop in ozone by the middle of the next century would be negligible is irresponsible and <unk>
 consider the fact that a mere N N drop in ozone would increase birth defects and <unk> by allowing solar radiation to alter the dna structure
 even a small reduction is <unk> and to suggest otherwise is <unk> and <unk>
 the reason environmentalists do n't mind seeing new crises arise is because there are new crises
 crises larger and more dangerous to the quality of life than they were N years ago
 if you are doubtful consider for a moment that the <unk> <unk> <unk> in northern new jersey which supply the <unk> area with drinking water are <unk> with toxic <unk>
 this is a fact and not the product of some environmental <unk> or a group 's <unk> to create a market
 it 's time business leaders and the general public learn that <unk> does not rule over this natural environment but is rather the <unk> <unk> player within nature 's workings
 mark t. <unk> jersey city n.j
 mr. <unk> 's column was right on the money but i wish it could have gone one step further
 as an employee of a major <unk> and <unk> manufacturer i have been heavily involved in dealing with the political <unk> of the <unk> theory named after the researchers who found in N that chlorofluorocarbons contributed to the depletion of ozone in the earth 's atmosphere and the montreal protocol
 an important part of my effort has been to understand the science so i can explain it to corporate colleagues facing major changes in product design
 in my research i have found a paper by joseph <unk> of the national cancer institute and several colleagues reporting an <unk> decrease in uv-b radiation at eight u.s. measurement sites
 our concern for the ozone layer of course grows out of the potential for increasing uv-b radiation which could damage <unk> and <unk>
 the last of the measurements reported was in N but recent conversations with mr. <unk> indicated that he knew of no recent changes in the trend
 i understand but have n't yet <unk> that there are studies by <unk> russians and the max <unk> institute that show either <unk> or declining uv-b at the surface
 to me this calls into question the <unk> of the <unk> theory and hence the whole chlorofluorocarbons replacement effort
 this in turn threatens the massive vested interests of which you have written
 my questions on this subject at a recent meeting at the world resources institute with representatives of the national resource development commission the environmental protection agency friends of the earth etc. were greeted with <unk> and some <unk> comments about that report being <unk>
 when i expressed <unk> that no one was undertaking a more current and credible uv-b study i was urged to get back to the agenda topic which was ironically a schedule for getting rid of <unk> the so-called soft cfcs that are such an important part of the <unk> <unk> scenario
 subsequently i have learned that a private group of which du pont is a part is funding a modest program to continue data gathering at the <unk> report stations as well as to develop more sophisticated <unk> measuring instruments
 but this is almost an underground activity
 to my knowledge no government entities including the epa are pursuing uv-b measurements
 the topic never comes up in <unk> establishment meetings of which i have attended many
 it seems to me that such measurements are a vital part of any <unk> honest evaluation of the threat posed by cfcs
 while recognizing that professional environmentalists may feel threatened i intend to urge that uv-b be monitored whenever i can
 frederick h. <unk> vice president industry and government relations white consolidated industries inc washington
 the relationship between surface release of cfcs and global <unk> ozone loss was identified back in N
 although like all scientific theories it had its initial opponents few experts question the connection now
 the discovery of the ozone hole over <unk> and the results of <unk> and <unk> aircraft experiments conducted over the past several years serve as evidence that ozone depletion is related to <unk> <unk>
 in the september issue of scientific american thomas e. <unk> distinguished member of the technical staff at at&t bell laboratories and paul j. <unk> director of the air chemistry division of the max <unk> institute for chemistry in <unk> west germany wrote it is now quite evident that chlorofluorocarbons particularly <unk> and <unk> are the major <unk> responsible for ozone depletion
 mr. <unk> quotes peter teagan and <unk> the name of arthur d. little inc. to support his statement
 however unlike messrs. <unk> and <unk> who are both <unk> in the study of atmospheric chemistry mr. teagan has no special expertise in the area
 he is a mechanical engineer not an atmospheric <unk>
 it is <unk> and <unk> to say that scientists needed new crises to generate new grants and contracts and that environmental groups need them to stay in business
 solving the global environmental problems we all face will require an unprecedented level of cooperation and communication among industry policy makers and the scientific community world-wide
 karen fine <unk> publisher global environmental change report <unk> mass
 nearly two months after saying it had been the victim of widespread fraud miniscribe corp. disclosed it had a negative net worth of $ N million as of july N and hinted that it might be forced to file for protection under bankruptcy laws
 richard rifenburgh chairman and chief executive of the <unk> colo. disk-drive maker also said the company continued losing money in the third quarter and expects to sustain further losses through the end of the year
 mr. rifenburgh told industry analysts he is moving aggressively to negotiate <unk> settlements on a number of shareholder lawsuits but noted that the company could file for bankruptcy-law protection if settlement talks fail
 mr. rifenburgh also noted that N million shares of miniscribe common stock were traded during the past three years so there 's a tremendous amount of exposure
 miniscribe has said that its financial results for the past three fiscal years would have to be restated because of the allegedly fraudulent accounting and marketing practices that inflated revenues and net income
 miniscribe also has n't filed any financial statements for N
 mr. rifenburgh said such statements should be ready by the end of november
 he said he expects the company to have $ N million in sales for this year
 he did n't say what the company expected to report for year-earlier sales which will be restated from the previously reported $ N million
 the release of miniscribe 's new balance sheet came one day after it introduced its new line of <unk> disk drives on which it is <unk> much of its hope for survival
 although it is not the first company to produce the <unk> drives which store information in personal computers miniscribe says it is the first with an <unk> drive the company plans to introduce a <unk> drive next year
 analysts and consultants had mixed reactions to yesterday 's announcements <unk> mr. rifenburgh 's efforts but questioning whether the company can survive in a highly competitive marketplace
 it 's a <unk> attitude said dave <unk> vice president of storage research for international data corp
 others pointed out that at least four other disk-drive makers will have competitive <unk> drives early next year and that the industry already operates on very thin margins
 the company also faces <unk> by the national association of securities dealers
 the company continues to trade in the over-the-counter market with an exception to listing requirements
 miniscribe filed a status report with the nasd on monday detailing its efforts to comply with listing requirements and <unk> an extension of the exception but has n't received a response
 miniscribe common closed yesterday at $ N down N cents and has been trading for several months at less than $ N a share
 meanwhile u.s. attorney jerry <unk> in denver is reviewing the report prepared by miniscribe 's outside directors to determine if criminal charges should be brought before a grand jury
 the miniscribe report <unk> a host of allegedly fraudulent practices including the shipment of bricks and defective disk drives that were booked as sales and inventory <unk> in accounting records
 the internal investigation also criticized miniscribe 's auditors coopers & <unk> for allegedly ignoring numerous red flags
 mr. rifenburgh said the board still has n't acted on most of the internal report 's recommendations pending <unk> of the balance sheet
 he added that he expects to make a recommendation within a few weeks on whether miniscribe should file its own lawsuits against former company officers and directors
 american enterprise institute scholar norman <unk> in the oct. N tv guide on what tv news does n't report about congress and should
 by concentrating all their resources on the pay raise wright and tower the networks actually <unk> some major stories that showed the flaws and <unk> of the institution
 an <unk> producer could easily have created a <unk> and interesting piece about how congress really works and why voters in say west virginia got a federally funded university project and building while voters in arkansas did not
 but nobody did such a piece reflecting a contemporary <unk> the more a scandal has to do with a congressman 's duties as a congressman the less likely it is to catch the fancy of a network
 <unk> michael <unk> in one of his institute 's recent publications on journalism in the year N
 the <unk> definition of <unk> will favor virtually <unk> use of personal sensitive and intimate facts
 traditional standards of <unk> and importance is this something the public ought to know will be replaced by a much broader test is this something the public is interested in knowing
 and since the public has always been <unk> by <unk> and <unk> reporters and editors will strain for creative <unk> to justify the <unk> of collateral facts about private lives including sexual activities and domestic relationships activities of family members and all matters about mental and physical health
 similarly <unk> images will be more vivid <unk> and sometimes <unk>
 one consequence of the trend toward tabloid standards of taste will be fierce attacks from politicians who will find sufficient evidence of abuse to <unk> an already <unk> public to control the press
 bankers trust new york corp. won permission from the federal reserve board to move the company 's private placement department to its fledgling securities subsidiary
 the seemingly mundane action which was opposed by the securities industry association a trade group has important implications for banks ' recent entry into the underwriting of corporate securities
 the fed 's action increases the volume of publicly registered securities that banks ' securities affiliates will be able to underwrite
 several other banks have similar applications pending
 over the past two years the fed has given a handful of banks ' securities affiliates permission to underwrite and deal in a variety of corporate asset-backed and municipal securities that had previously been the sole <unk> of securities firms
 securities firms have challenged those fed approvals saying they violate federal laws <unk> the banking and securities businesses
 however the fed limited the revenue that banks could earn from these new underwriting activities to no more than N N of the revenue earned from other securities activities long open to banks such as dealing in u.s. treasurys
 for some banks that N N ceiling created problems
 but by allowing <unk> securities inc. to handle private <unk> the fed boosted the volume of new types of underwriting that the unit can do
 private <unk> involve debt and equity securities typically in denominations of $ N million that are sold to institutional investors and are n't registered with the securities and exchange commission
 last year bankers trust said it placed $ N billion of corporate debt and equities privately
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 <unk> j. <unk> was named an executive vice president of the american express travel related services co. unit of this travel and financial services firm
 she retains her duties of <unk> director
 joe f. lynch the <unk> chairman and chief executive officer of first continental real estate investment trust was named to the new post of vice chairman of this bank holding company
 every <unk> at N a.m. 40-year-old mike sinyard <unk> cycling clothes <unk> on a bike he keeps at his morgan hill calif. office and sets out to cover a distance most people would travel only by car
 as many as N of his employees at specialized bicycle components inc. ride with him
 when they return to their desks at N p.m. they have <unk> N miles
 such <unk> for cycling helped mr. sinyard build a creative company at the <unk> of its industry
 founded by bike enthusiasts rather than businessmen specialized spotted the appeal of <unk> bikes that go almost anywhere and began <unk> them in N
 in the past five years the company 's sales have grown to $ N million from $ N million
 today so-called mountain bikes account for two-thirds of the $ N billion spent annually on all <unk> in the u.s.
 with N N of its sales coming from mountain bikes specialized is widely considered to be a market leader
 accessories largely for mountain-bike users account for much of the rest of sales
 but today the company needs its entrepreneurial spirit more than ever
 one large competitor after another is leaping into the booming market specialized helped create turning out mountain bikes with such well-known names as <unk> <unk> <unk> and <unk>
 thus mr. sinyard 's company must <unk> more than ever to stay ahead of them by developing new products specifically for mountain <unk>
 at the same time though it must become more structured to better manage its growth
 <unk> both will be a <unk> act as challenging as riding a <unk>
 it is a problem common to small companies that have grown fast especially when their success attracts big-time competitors
 the big word around specialized is passion says <unk> eidsmo a former <unk> executive whom mr. sinyard recruited from citicorp to run marketing and sales
 what i hope to bring to this is another word process
 that 's my challenge
 it 's mike 's challenge as well
 mr. eidsmo is one of several key people from outside the cycling industry who were hired to bring the <unk> fast-growing company under tighter control
 we had a lot of problems mr. sinyard says
 while the company 's sales were soaring we still had a system that was probably appropriate for $ N million to $ N million in sales
 adds mr. eidsmo what felt good that day was done that day
 since his <unk> in may mr. eidsmo has put in place techniques learned while working for citicorp such as <unk> detailed project plans and forecasts of company sales and product trends
 we 're finally getting and it 's been very painful some understanding of what the company 's long-term horizon should begin to look like mr. eidsmo says
 but it 's risky he says of specialized 's attempt to adopt a corporate structure
 you do n't want to lose the magic of the company 's creative drive
 hoping to stay ahead of the pack the company is <unk> innovation
 at a recent trade show <unk> lined up to view a new specialized bike frame that <unk> just N pounds a pound less than the <unk> mountain-bike frame on the market
 by replacing the frame 's steel <unk> with titanium ones mr. sinyard 's company plans to make its next generation of <unk> even lighter
 at the trade show specialized also unveiled a revolutionary <unk> bike <unk> developed jointly by specialized and du pont co
 made of <unk> materials the <unk> <unk> are designed like <unk> wings to <unk> N minutes off the time of a rider in a <unk> race the company claims
 it currently costs $ N though mr. sinyard thinks the price can be reduced within three years to between $ N and $ N
 he was able to slash the price of the company 's least expensive mountain bike to $ N from $ N in
 but demands on the company 's creativity are certain to grow
 competition is <unk> as larger companies <unk> a mountain-bike market mr. sinyard 's company once had virtually all to itself
 u.s. cycling federation official philip <unk> says mountain <unk> is growing at such a <unk> rate that a lot of companies are getting into this
 one especially <unk> specialized market the new players are targeting is mountain-bike accessories which mr. eidsmo calls the future of our business
 accessories not only sell faster than whole bikes they also offer profit margins nearly double the N N to N N or so on sales of complete cycles
 to get a piece of the business <unk> inc. <unk> ore. introduced a line of mountain-bike shoes
 about a month ago michelin tire corp. greenville s.c. began selling mountain-bike tires for years a specialized <unk>
 competition in the sale of complete bikes is heating up too
 <unk> bicycle corp. which accounts for <unk> of the $ N million in annual sales at its <unk> parent <unk> corp. entered the mountain-bike business in N
 <unk> previously made only traditional road bikes but it did n't take a rocket scientist to change a road bike into a mountain bike says <unk> 's president dick burke
 the segment now makes up roughly two-thirds of his company 's total sales
 at giant bicycle inc. <unk> <unk> calif. sales have tripled since the company entered the u.s. mountain-bike business in N
 a subsidiary of a taiwanese holding company with world-wide sales of $ N million giant is one example of the sudden <unk> of mr. sinyard 's <unk> market niche
 <unk> bicycle co. chicago established joint ventures with bike companies in <unk> china and hungary to sell bikes
 in the past year <unk> international corp. <unk> has acquired such major brands as <unk> <unk> and <unk>
 in response to the <unk> of the business mr. sinyard 's company is replacing independent distributors overseas with wholly owned subsidiaries
 the move will cut out the cost of a <unk> and give specialized more control over marketing and sales
 but as bill austin giant 's president puts it with some of the bigger players consolidating their strength the game has changed
 carl e. pfeiffer chief executive officer was named to the additional post of chairman of this <unk> manufacturing concern
 robert c. <unk> a director and chief operating officer of the company succeeds mr. pfeiffer as president
 roger m. <unk> president was named to the new post of vice chairman
 michael <unk> who had been executive vice president operations was named president and chief operating officer
 <unk> manufactures <unk> systems for mainframes and minicomputers
 richard j. <unk> was elected a director of this single-family home <unk> increasing the board to nine
 he is a senior partner with the law firm of <unk> & <unk> and is a partner in <unk> venture management
 john franco N years old formerly vice chairman of capital holding corp. and president of its accumulation investment group was named chief executive officer of this insurance holding company effective dec. N succeeding robert t. shaw who remains chairman
 <unk> also named steven b. <unk> N senior vice president since N as president succeeding john w. <unk> who will join the <unk> acquisition corp. division of <unk> <unk> & co. which has agreed to buy most of <unk> 's <unk> subsidiaries
 mci communications corp. said it won a $ N million contract from <unk> co. a denver investment banking concern to provide voice and data telecommunications services
 the agreement calls for mci to provide data service N and <unk> service a <unk> private network service
 the companies would n't disclose the length of the contract except to say it was a <unk> agreement
 the head of british satellite broadcasting ltd. said he hopes to raise about # N million $ N million before the <unk> venture makes its delayed debut next spring with a major chunk coming from new investors
 we 'll raise it through bank loans
 we 'll raise it through new equity
 and we 'll raise it through existing shareholders as well as through junk bonds said anthony <unk> the private consortium 's chief executive
 he said he believes the bank loan to be arranged by february will supply about half of the financing
 british satellite which already has raised # N million from N backers initially expected to seek an additional # N million
 mr. <unk> said the additional financing may leave british satellite owned by about N investors including australian entrepreneur alan bond whose nearly N N stake would be reduced to as little as N N
 bond corp. british satellite 's biggest investor would like to withdraw from the <unk> consortium and analysts have speculated hollywood studios might buy the bond stake
 but mr. <unk> said he is n't talking to any studios about investing
 besides bond corp. british satellite 's other backers include <unk> plc reed international plc and <unk> group plc
 the consortium faced a setback in may when technical problems forced it to postpone the september launch until next spring
 continued uncertainty about the timing of the consortium 's debut could make it hard to find a # N million cash injection
 mr. <unk> conceded that british satellite 's potential u.k. lenders are saying when you 're on the air you 'll actually get the money
 the bankers also insist that the loans depend on the consortium raising more money from new and existing backers
 british satellite today is <unk> a # N million advertising and promotional drive for the consortium 's planned five channels of movies sports entertainment and news shows
 as part of the drive the first N viewers who put up # N each will get a package valued at # N including a satellite receiving <unk> equipment installation and a three-month subscription to its <unk> service
 british satellite faces competition from sky television a <unk> venture begun last february and owned by rupert murdoch 's news corp
 the rivals currently are locked in a costly bidding contest for hollywood film rights
 shares closed sharply higher in london in the year 's <unk> volume monday supported largely by a technical bounce after last week 's sharp declines
 tokyo stocks posted a <unk> loss monday while trading in frankfurt west germany was mixed
 in london the financial times 100-share index finished N points higher at N
 the index settled off the high of N posted after wall street opened stronger
 but it showed strength throughout the session hitting a low of only N within the first few minutes of dealings
 the 30-share index settled N points higher at N
 volume was only N million shares breaking the previous N low of N million shares recorded oct. N
 turnover was also down substantially from N million shares on friday
 dealers said the market was supported to some extent by a firmer pound gains on wall street and shopping by market-makers to cover internal requirements for selected stocks in the 100-share index
 dealers attributed most of the day 's gains to market-makers moving prices higher rather than an <unk> of significant buying interest
 prices were up across the board with most blue-chip stocks <unk> solid gains
 though the market was stronger dealers said fresh buying interest was <unk> ahead of a potential <unk> debate in the house of commons set for tuesday
 it will be chancellor of the exchequer john major 's first appearance before the opposition labor party
 the market is <unk> interested in hearing what he has to say about the status of the current N N base lending rate
 in london trading courtaulds a chemicals and <unk> company increased N pence to N after it disclosed plans to spin off its <unk> operations into a separately listed company on jan. N
 it was the most active of the 100-share index at N million shares N million of which were traded by midday
 jaguar ended N higher at N
 dealers said fresh buying was drawn into jaguar after a senior executive of daimler-benz the auto maker told a british television <unk> during the weekend that the west german company held talks with the luxury auto maker over possible joint ventures
 although <unk> has said it is n't interested in mounting a bid for jaguar dealers said its name further <unk> the growing interest in the british concern
 <unk> was the biggest <unk> jumping N to # N $ N on anticipation of a stock split next week
 total turnover in <unk> was a thin N shares
 in tokyo stocks had a <unk> loss monday in quiet trading with the exception of concentrated buying in some <unk> issues
 the nikkei index of N selected issues fell N points to N
 the index fell N friday
 in early trading in tokyo tuesday the nikkei index rose N points to N
 on monday volume on the first section was estimated at N million shares down from N billion shares friday
 declining issues outnumbered advancers N to N N issues were unchanged
 investors who took profits friday mostly took a <unk> attitude monday amid uncertainty in the foreign-currency market and new york stocks traders said
 <unk> <unk> an analyst at <unk> securities said <unk> expectation for lower interest rates made investors step back from real-estate shares which advanced last week
 some traders said institutions were waiting to see the u.s. jobless rate to be issued friday
 the tokyo stock price index of all issues listed in the first section which fell N points friday was down N points or N N at N
 the second section index which fell N points friday was down N points or N N to close at N
 second section volume was estimated at N million shares down from N million shares friday
 monday 's losers included railway <unk> and high-technology issues
 the energy of participating investors <unk> into tokyu group shares pushing prices of its companies up across the board
 tokyu group announced during the weekend that each group company will buy the others ' stocks to defend themselves against a rumored takeover
 the announcement fueled speculation for future advances in the shares
 tokyu department store advanced N to N
 tokyu corp. was up N at N
 tokyu construction gained N to N
 other winners monday included <unk> metals which attracted investors because of a surge in gold prices on the back of the unstable dollar
 petroleum companies were also popular because of expectations of a weaker dollar which cuts dollar-denominated <unk> prices
 share prices in frankfurt closed narrowly mixed after <unk> and <unk> trading
 the dax index closed at N up only N
 traders said turnover was particularly thin as investors waited for wall street to set the direction for the week
 most expect the decline in new york stock prices to continue this week
 another factor weighing on the frankfurt market involves fears about the impending wage talks between the ig metall <unk> union and industry representatives which could result in a wave of strikes next spring traders said
 a few blue-chip stocks posted strong gains boosted by special factors while the majority of shares ended little changed
 elsewhere stock prices were lower in brussels milan and stockholm and mixed in amsterdam paris and zurich
 stocks closed higher in hong kong manila seoul sydney taipei and wellington but were lower in singapore
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 deere & co. said it reached a tentative agreement with the machinists ' union at its <unk> wis. plant ending a <unk> strike by workers at the facility
 the maker of farm equipment said the three-year labor agreement with the international association of machinists and aerospace workers at john deere <unk> works deere 's primary facility for producing lawn and <unk> equipment takes effect immediately and <unk> through oct. N N
 about N employees are covered by the new agreement deere said
 courtaulds plc announced plans to spin off its <unk> operations to existing shareholders in a restructuring to boost shareholder value
 the british chemical and textile company 's plan which requires shareholder approval would create a new listed u.k. stock with a probable market capitalization between # N million $ N million and # N million analysts said
 the establishment of the separate company to be called courtaulds <unk> could be effective as early as next year 's first quarter
 investors welcomed the move
 courtaulds ' shares rose N pence to N pence <unk> the entire company at about # N billion
 courtaulds ' spinoff reflects pressure on british industry to boost share prices beyond the reach of corporate raiders
 courtaulds ' restructuring is among the largest thus far in britain though it is <unk> by b.a.t industries plc 's plans to spin off roughly # N billion in assets to help fend off a takeover bid from <unk> financier sir james goldsmith
 the <unk> courtaulds textile operations had operating profit of # N million on # N million in revenue in the year ended march N
 some analysts have said courtaulds ' moves could boost the company 's value by N N to N N because the two entities separately will carry a higher price earnings multiple than they did combined
 in addition courtaulds said the moves are logical because they will allow both the chemicals and textile businesses to focus more closely on core activities
 courtaulds has been under pressure to enhance shareholder value since takeover speculators including australian financier kerry <unk> surfaced holding small stakes last year
 though mr. <unk> has since sold his stake courtaulds is moving to keep its institutional shareholders happy
 even without a specific takeover threat courtaulds is giving shareholders choice and value said <unk> <unk> an analyst at london stockbrokers barclays de zoete wedd
 in a statement the company said both parts can only realize their full potential and be <unk> valued by the market if they are separately quoted companies
 the sharper definition and the <unk> which each will thereby gain will benefit shareholders customers and employees
 courtaulds chairman and chief executive sir christopher <unk> will remain in both posts at the surviving chemical company after the spinoff
 <unk> <unk> corp. said its affiliated company in malaysia established this april will begin manufacturing steel doors wednesday
 its partner in the joint venture is <unk> kean <unk> metal industries <unk> malaysia
 company officials said the new company <unk> kean <unk> <unk> is capitalized at the equivalent of N million yen $ N
 the japanese concern has a N N stake while the local partner has a N N stake
 the new company was created to meet growing demand for steel doors <unk> with increasing local concern about fire prevention the company said
 barbara <unk> franklin president of franklin associates was elected a director of this building products maker
 ms. franklin N years old <unk> the position vacated by <unk> g. <unk> who retired earlier this year at age N
 nec corp. said it plans to more than double its british subsidiary 's capacity for the production of semiconductor <unk>
 officials at the japanese semiconductor maker said the company intends to increase investment in plant and equipment by N billion yen $ N million to N billion yen in the year ending march N with the extra funds used to increase production overseas
 officials said they were n't sure how the money will be distributed among overseas units but added that nec semiconductors u.k. ltd. will receive priority
 officials also disclosed it 's possible that nec may reduce domestic production of <unk> chips to five million a month from six million beginning january because of deteriorating market prices
 japan 's steel exports fell N N in september from a year earlier and were down N N from the previous month the japan iron and steel federation reported
 september was the <unk> consecutive month in which steel exports failed to reach the year-earlier level
 a federation official attributed the decline to brisk demand from domestic industries backed by continuing economic expansion in japan
 japanese steel companies are apparently focusing on domestic sales but the official said it does n't necessarily mean that local sales contracts are increasing that <unk>
 they are just too busy to meet domestic demand and have little room for overseas shipments the official said
 after a bad start treasury bonds were buoyed by a late burst of buying to end modestly higher
 the market was pretty <unk> for most of the day said robert h. <unk> vice president at <unk> bank plc
 he said some investors were reluctant to plunge into the market ahead of several key economic indicators due this week especially friday 's potentially <unk> employment report
 during the first hour of trading yesterday prices fell as much as N point or down about $ N for each $ N face amount
 but market activity was <unk> as investors started to view the lower price levels as attractive
 and the treasury 's $ N billion auction of short-term bills which generated strong buying interest helped to lift the bond market out of the doldrums
 we saw good retail demand by small banks individuals and institutions and that is one reason why the market advanced late in the day said sung won <unk> senior vice president and chief economist at <unk> corp. minneapolis
 he said the change in sentiment also reflected perceptions that the slate of economic <unk> due this week will be <unk> to a bond market rally
 the employment report which will provide the first official measure of the economy 's strength in october is expected to show smaller gains in the generation of new jobs
 other key economic indicators due this week include today 's release of the september leading indicators index and new-home sales
 tomorrow the october purchasing managers report is due and on thursday comes october <unk> sales
 despite yesterday 's modest bond market gains economists say investors are anxious about the treasury 's huge quarterly refunding of government debt the timing of which depends on congressional efforts to raise the debt ceiling
 although the treasury will announce details of the november refunding tomorrow it could be delayed if congress and president bush fail to increase the treasury 's borrowing capacity
 the debt ceiling is scheduled to fall to $ N trillion from $ N trillion at midnight tonight
 the treasury 's benchmark 30-year bond rose N point
 mortgage-backed securities were up less than N point and investment-grade corporate bonds were unchanged
 strong demand for new york city 's $ N million general obligation bonds <unk> up the municipal market
 traders said most municipal bonds ended N point higher
 the new york city issue included $ N million of tax-exempt bonds priced to yield between N N to N N depending on the maturity
 the $ N million of new york 's taxable general obligation bonds were priced to yield between N N to N N
 as expected the longer-term tax-exempt new york bonds had yields nearly as high as those on taxable long-term treasury bonds
 the yield on the benchmark 30-year treasury bond ended yesterday at about N N
 bond dealers said the rates for the long-term tax-exempt new york city bonds were among the highest as a percentage of treasury rates for any new york city issue in recent memory
 a spokesman for new york city comptroller harrison <unk> said the high rates reflect investors concerns about the city 's financial health and political uncertainties
 new york bonds which have been <unk> in recent weeks on the pending supply and reports that the city 's economy is growing weaker rose N point yesterday
 treasury securities
 treasury bonds ended slightly higher in light trading
 the benchmark 30-year bond ended at N N to yield N N compared with friday 's price of N N to yield N N
 the latest 10-year notes ended at about N N to yield N N compared with N N to yield N N on friday
 short-term interest rates rose at the government 's regular weekly <unk> auction
 the average discount rate on three-month bills was N N and the rate on six-month bills was N N
 those rates are up from N N and N N respectively at last week 's auction
 due to the treasury 's need to raise funds quickly before the current authority to issue debt expires at midnight tonight yesterday 's auction was structured differently from previous sales
 the treasury bills sold yesterday settle today rather than the standard settlement day of thursday
 and because of the early settlement the three-month bills actually have a <unk> maturity and the six-month bills have an <unk> maturity
 because of the early settlement the federal reserve was unable to purchase bills for its system account
 however analysts expect the fed to buy treasury bills that were auctioned yesterday in the secondary market
 the treasury also held a hastily scheduled $ N billion sale of <unk> management bills yesterday
 here are details of yesterday 's three-month and six-month bill auction
 rates are determined by the difference between the purchase price and face value
 thus higher bidding narrows the investor 's return while lower bidding widens it
 the percentage rates are calculated on a <unk> year while the coupon equivalent yield is based on a <unk> year
 both issues are dated oct. N
 the 13-week bills mature feb. N and the 26-week bills mature may N N
 here are details of yesterday 's <unk> cash management bill auction
 interest rate N N
 the bills are dated oct. N and mature dec. N N
 corporate issues
 the junk bond prices of western union corp. tumbled after the company said it wo n't proceed with an exchange offer to holders of its reset notes
 the upper <unk> river n.j. communications firm said it is considering alternatives to the restructuring of the senior secured notes because of changes in the high-yield market
 in june western union was forced to reset the interest rate on the senior secured notes due in N to N N N from N N N a move which increased the firm 's annual interest payments by $ N million
 although the notes held at a price of N to N immediately after the reset they started falling soon afterward
 yesterday western union 's senior secured reset notes fell N N points or about $ N for each $ N face amount to close at N N
 other western union securities were also lower
 the company 's N N sinking fund debentures were quoted at a bid price of N N and an offered price of N while the N N N subordinated debentures of N were being bid for at N and offered at around N N
 the N N N debentures last traded at N
 high-yield traders said spreads between the bid and offered prices of western union junk bonds have been widening for some time and in certain cases bids for western union securities are not available
 elsewhere prices of investment-grade and high-risk high-yield junk bonds ended unchanged
 in the new-issue market for junk securities underwriters at salomon brothers inc. are expected to price today a $ N million junk bond offering by beatrice co.
 the two-part issue consists of $ N million of senior subordinated reset notes maturing in N and $ N million of subordinated floating rate notes also maturing in N
 portfolio managers said expectations are for the issue to be priced at a discount with a coupon of N N N and a yield of about N N
 the chicago-based food and consumer goods concern was acquired in april N in a $ N billion leveraged buy-out engineered by kohlberg kravis roberts & co
 proceeds from the note sale will be used to repay a portion of the bank borrowings used by beatrice to redeem its $ N million principal amount of increasing rate debentures in august
 meanwhile underwriters at morgan stanley & co. are expected today to price a $ N million high-yield offering by continental <unk> inc
 the senior subordinated debentures maturing in N are targeted to be offered at a yield of between N N N to N N N
 mortgage-backed securities
 mortgage securities ended N to N higher in light trading
 ginnie mae 's N N issue for november delivery finished at N N up N and its N N issue at N N up N
 freddie mac 's N N issue ended at N N up N
 in the derivative market insurance companies have scaled back their purchases of remic securities or real estate mortgage investment <unk> as they assess potential claims from the recent california earthquake and hurricane in the carolinas
 this could mean diminished issuance of derivative mortgage issues during the next few weeks
 insurance companies have been major buyers of <unk> planned amortization classes <unk> during the past few months
 the <unk> appeal to insurance companies and other investors because they have higher yields than <unk> corporate bonds and carry the guarantee of freddie mac and fannie mae <unk> agencies
 in the asset-backed market beneficial corp. offered $ N million of securities backed by home-equity loans the second large deal in the past week
 last week a unit of <unk> financial corp. offered $ N million of home-equity securities
 both the <unk> and beneficial offering were underwritten by merrill lynch capital markets the leading wall street firm in the home-equity securities market which was created early this year
 municipal issues
 the improved tone in the municipal market largely an <unk> of the new york city sale 's reception helped municipal futures rebound from early lows but the spread between the contract and <unk> futures continued to grow more negative
 the <unk> spread or difference between the municipal and <unk> futures contracts has been near <unk> lows in recent trading driven basically by concerns that new-issue supply would <unk> demand
 december municipal futures ended up N point to N having pulled off a morning low of N as cash municipals rebounded
 but front month <unk> futures settled the afternoon session up a slightly greater N at N
 foreign bonds
 british government bonds ended moderately higher encouraged by a <unk> pound and a rise in british stocks
 the benchmark N N N bond due N rose N to N N to yield N N while the treasury 's N N notes due N rose N to N N to yield N N
 west german government bonds fell as much as N point in light nervous trading
 the N N treasury bond due october N ended off N point to N to yield N N while the N N N notes due N fell N point to N to yield N N
 japanese government bonds continued to erode as the dollar remained <unk> against the yen
 japan 's no. N N N bond due N ended the day on brokers screens at N to yield N N
 so-called cross-border acquisitions totaled $ N billion in the second quarter down from $ N billion a year earlier according to the accounting firm <unk> peat <unk>
 in a cross-border transaction the buyer is in a different region of the globe from the target
 such transactions numbered N in the second quarter up from N a year earlier
 however the total value declined for deals of $ N million and up
 the downturn in total value may be only temporary suggested <unk> <unk> a <unk> peat <unk> partner
 he explained in part that restructuring to prepare for the common market expansion due in N has become more of a strategic priority both for companies inside and outside the european community
 in the second quarter <unk> cross-border transactions deals under $ N million each numbered N and totaled $ N billion compared with N such transactions totaling $ N billion a year earlier the firm said
 large cross-border deals numbered N and totaled $ N billion in the second quarter the firm added
 that compared with N such transactions totaling $ N billion as year earlier
 <unk> foods inc. said its board authorized the purchase of as many as N of its common stock purchase warrants at a price of $ N a warrant
 the food company which has N warrants and about N million common shares outstanding said it may increase the offer to purchase any or all warrants that are properly tendered
 a warrant permits a holder to acquire one share of common stock for $ N a share
 the warrants expire on oct. N N and may be called by the company at a price of $ N
 the offer is scheduled to expire on nov. N unless extended
 in new york stock exchange composite trading <unk> closed yesterday at $ N down N cents
 seasonal <unk>
 <unk> problems though often quite grim this time of year leave us in <unk> when we notice around our airport a holding pattern for <unk>
 edward f. <unk>
 <unk>
 i am <unk> myself i 've said in moments of heat without ever <unk> to <unk> at the feat
 <unk> adams
 <unk> <unk>
 the ultimate blow to the <unk> is learning that even your mistakes go <unk>
 <unk> ball
 gen-probe inc. a biotechnology concern said it signed a definitive agreement to be acquired by chugai pharmaceutical co. of tokyo for about $ N million or almost double the market price of gen-probe 's stock
 the move is sure to <unk> concerns about increased japanese investment in u.s. biotechnology firms
 it is also likely to bolster fears that the japanese will use their <unk> in u.s. biotechnology concerns to gain certain trade and competitive advantages
 gen-probe an industry leader in the field of genetic <unk> which is a new technology used in diagnostic tests last year signed an agreement for chugai to exclusively market its diagnostic products in japan for <unk> diseases and cancer
 chugai agreed then to fund certain associated research and development costs
 that arrangement apparently has worked well and thomas a. bologna president and chief executive officer of gen-probe founded in N said the sale of the company means we will be able to concentrate on running the business rather than always looking for sources of financing
 chugai agreed to pay $ N a share for gen-probe 's N million common shares outstanding on a fully diluted basis
 yesterday in national trading in the over-the-counter market gen-probe common closed at $ N a share
 because the u.s. leads in most areas of biotechnology largely because of research investment by the u.s. government the sale is sure to increase concerns that japanese companies will buy american know-how and use it to obtain the upper hand in biotechnology trade and competition
 the biotechnology firms may be setting up their own competitors said richard <unk> president of the industrial biotechnology association
 he added that until now the japanese have only acquired equity positions in u.s. biotechnology companies
 they are <unk> onto developed technology he said
 during the past five years japanese concerns have invested in several of the u.s. 's N independent biotechnology companies
 chugai has been one of the most active japanese players in u.s. biotechnology companies it has an equity investment in genetics institute inc. cambridge mass. and a joint-venture agreement with upjohn co. <unk> mich
 the japanese government mr. <unk> said has stated that it wants N N to N N of its gross national product to come from biotechnology products
 it is becoming more of a horse race every day between the u.s. and japan he said adding that some fear that as with the semiconductor electronics and automobile industries japanese companies will use <unk> technology to gain trade advantages
 mr. bologna said the sale would allow gen-probe to speed up the development of new technology and to more quickly apply existing technology to an array of diagnostic products the company wants to offer
 by N when only N genetic <unk> tests of diagnostic <unk> diseases of humans had been approved for marketing by the food and drug administration eight of them had been developed and sold by gen-probe
 <unk> <unk> deputy president of chugai which spends about N N of its sales on research and development was unable to pinpoint how much money chugai would pump into gen-probe
 we think gen-probe has technology important to people 's health he said adding we think it is important for us to have such technology
 he and mr. bologna emphasized that both companies would gain technological knowledge through the sale of gen-probe which will expand significantly as a result of the acquisition
 in N chugai had net income of $ N million on revenue of $ N million
 <unk> had a net loss of $ N million on revenue of $ N million
 recently gen-probe received a broad u.s. patent for a technology that helps detect identify and <unk> <unk> <unk> through the targeting of a form of genetic material called <unk> <unk>
 among other things mr. bologna said that the sale will facilitate gen-probe 's marketing of a diagnostic test for acquired immune deficiency syndrome or aids
 chugai also will help gen-probe with its regulatory and marketing expertise in asia mr. bologna said
 the tender offer for gen-probe 's shares is expected to begin next monday the company said
 it was supposed to be a routine <unk> call
 a <unk> soviet space officials in tokyo in july for an exhibit stopped by to see their counterparts at the national space development agency of japan
 but after a few <unk> the soviets unexpectedly got serious
 the soviets have a <unk> space program the guests noted
 would n't the japanese like a piece of it
 the visitors then listed technologies up for sale including launch services and <unk> hardware
 we were just surprised says <unk> <unk> <unk> 's director for international affairs
 shocked
 that moscow with its <unk> economic machine would try to sell high technology to japan one of the world 's high-tech leaders sounds like a <unk> notion
 but the soviet union has areas where it is n't behind japan says mikhail <unk> of the soviet ministry of foreign economic relations
 we have obtained through the development of <unk> the soviet space program technologies you do n't see anywhere else
 the sales pitch might n't be as <unk> as it seems
 <unk> trade relations are <unk> these days and some japanese favor <unk> their reliance on u.s. technology in light of the <unk> <unk> <unk> when u.s. officials reversed an earlier decision and refused to share certain crucial <unk> technology
 and despite its image as a technology <unk> japan has a lot of weaknesses
 it 's a world leader in semiconductors but behind the u.s. in making the computers that use those chips
 it 's a world leader in auto manufacturing but its aviation industry is struggling and its space program is years behind the u.s. the europeans and the soviets
 one question being <unk> in the soviet union is how to use the defense sector 's <unk> expertise in the rest of the economy
 many plants that used to make military equipment are now being ordered to produce <unk> videocassette recorders small <unk> and <unk> machinery
 the soviets also hope to make better use of their considerable expertise in theoretical science which has helped them win twice as many nobel science prizes as the japanese
 where they lag behind the japanese is in turning the scientific <unk> into improved production
 by contrast the japanese have proved <unk> at making use of soviet <unk>
 kobe steel ltd. adopted soviet casting technology in N and used it for N years until it developed its own system
 <unk> steel corp. bought a soviet <unk> patent two years ago and has jointly developed the system with the soviets
 in N the soviets will take a japanese journalist into space the first japanese to go into <unk>
 soviet efforts to sell their technology abroad do n't appear to worry the u.s. japan 's principal ally
 we have never opposed the development of economic relations between our allies and the soviet union says a state department official
 frankly i would n't expect the japanese to get <unk> on anybody 's technology least of all the soviets
 under mikhail gorbachev 's perestroika the soviets have sought economic ties all over the world including new export markets
 they believe technology is one of their best bets and some soviet officials say moscow will even consider <unk> military know-how if the price is right
 the soviets held export <unk> that included high-tech items in new york and west germany
 last week a soviet delegation came to japan to push more space technologies
 japan is a major target for the soviets
 in august representatives of <unk> japan 's largest business organization visited moscow to explore exports and investments that would help the soviet economy
 out of the blue the soviet chamber of commerce handed over details on N technologies that the japanese might want to buy
 these mainly involved such areas as materials advanced <unk> machines for example and medical developments derived from <unk> in space such as <unk> blood vessels
 a main motive is hard cash
 but while the soviets ca n't expect direct technology flow from japan they also hope to benefit from japanese manufacturing expertise
 the soviet union has a lot of know-how but it has been difficult to put that into actual production because of various structural problems in the economy says mr. <unk> the foreign ministry official
 the soviets are contemplating a flexible system under which it would be possible to develop technology jointly and even to market it jointly he says
 even if the japanese find soviet technology desirable such discussions would be <unk> with political <unk>
 still <unk> from the international backlash over the sale two years ago of sensitive military technology to the soviets by a subsidiary of japan 's toshiba corp. many japanese are eager to avoid appearing to help the soviets in any way
 another hurdle concerns japan 's attempts to persuade the soviet union to <unk> its <unk> war ii control of four islands north of japan
 so far the soviets have provided only the <unk> information about their technology and business plans
 and what they have shown is n't impressive
 my impression is that there is n't anything which <unk> our interest at first <unk> says an official from japan 's ministry of international trade and industry
 peter <unk> in moscow contributed to this article
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 may N N signaled a <unk> may day for securities houses which were forced to end N years of charging fixed commissions
 it scared brokers but most survived
 it took effect after seven years of bitter debate between the securities and exchange commission and traders and exchanges
 despite warnings from such leaders as former federal reserve board chairman william <unk> martin that <unk> commissions would undo the industry the sec in september N said full competition must start may <unk> N
 the timing for change was right
 institutions had become active market players in the early 1970s and sought exchange seats to handle their own trades
 and the industry was <unk> with brokers trying to secure big client orders by using <unk> gifts women and <unk>
 within three weeks of the N end to fixed rates there were <unk> price wars among brokers fighting for institutional business with rate <unk> of N N to N N below <unk> N levels
 ray <unk> jr. sec chairman said the <unk> and <unk> of the discounting is more than i expected
 even a federal measure in june allowing houses to add research fees to their commissions did n't stop it
 longer term the impact is unclear
 the change prompted the rise of discount brokers and a reduction in securities research firms
 but there are currently more exchange members than in N with the bigger houses gaining a larger share of total commissions
 commissions however account for a smaller share of <unk> business as takeover advisory fees have soared
 foreign stock markets with which the u.s. is <unk> also have ended fixed commissions in recent years
 it came in london 's big bang N deregulation and toronto 's little bang the same year
 paris is currently <unk> out fixed commissions under its <unk> <unk> bang plan
 president bush said that three members of his cabinet will lead a presidential mission to poland to gauge how the u.s. can help the new <unk> government 's economic changes
 mr. bush announced several weeks ago that he intended to send such a mission composed of top government aides and business and labor leaders
 the mission will visit poland from nov. N to dec. N the white house said
 in remarks at a white house <unk> marking polish heritage month mr. bush announced that agriculture secretary <unk> <unk> commerce secretary robert mosbacher and labor secretary elizabeth dole will lead the u.s. group
 michael <unk> chairman of the council of economic advisers also will be a member
 in addition the white house said that charles harper chairman of <unk> inc. and john <unk> chairman of manufacturers hanover corp. will be among a group of at least N business and labor representatives in the presidential mission
 mr. bush said the group is to focus on economic sectors where u.s. expertise and cooperation can indeed make a difference
 mr. bush has asked congress to provide more than $ N million in economic aid and food grants for poland 's new government but has been <unk> by democrats for failing to do more
 warner communications inc. is close to an agreement to back a new recorded music and music publishing company in partnership with irving azoff who resigned in september as head of mca inc. 's mca records unit
 warner and mr. azoff declined comment as did mca where mr. azoff had also been discussing such a venture
 but record industry executives familiar with the talks said mr. azoff and warner came to an agreement yesterday to form a N joint-venture company funded by warner and run by mr. azoff
 among other things they said mr. azoff would develop musical acts for a new record label
 the agreement is said to be similar to warner 's N partnership with record and movie producer david <unk> whose films and records are distributed by the warner bros. studio and the warner records unit
 although mr. azoff wo n't produce films at first it is possible that he could do so later the sources said
 like mr. <unk> 's arrangement the venture gives mr. azoff a link to the world 's largest and most successful record distributor in the u.s. alone warner has a N N share of the market about double its <unk> competitor sony corp. 's cbs records
 for warner meanwhile it gives the company a second young partner with a finger on the <unk> of the hottest trends in the music business
 the <unk> mr. azoff a former rock <unk> roll manager is credited with turning around mca 's <unk> music division in his six years at the company
 but mr. azoff had been negotiating for more than a year to get out of his mca contract which expired in N
 mr. azoff reportedly was <unk> and frequently <unk> with top mca management over a number of issues such as compensation and business plans
 mr. azoff also was eager to return to a more entrepreneurial role in which he had a big financial stake in his own efforts
 in an interview at the time of his resignation from mca he said i 'd rather build a company than run one
 part of a series
 tom <unk> had a perfectly good reason for not using the $ N <unk> machine he bought three years ago
 i <unk> a bad <unk> <unk> got food <unk> and had to have a shot in my shoulder he says making it too painful to row
 the <unk> he admits went away about a week after the shot
 yet the <unk> machine has n't been touched since even though he has moved it across the country with him twice
 a san francisco lawyer mr. <unk> <unk> <unk> when he first got the machine but he complains it left <unk> marks on his carpet and it was boring
 it 's a horrible machine actually
 i 'm <unk> i own the stupid thing
 mr. <unk> has plenty of company
 nearly <unk> of the people who own home exercise equipment do n't use it as much as they planned according to the wall street journal 's american way of buying survey
 the roper organization which conducted the survey said almost half of the exercise equipment owners found it <unk> than they expected
 it is n't just exercise gear that is n't getting a good workout
 the fitness craze itself has gone soft the survey found
 fewer people said they were working up a sweat with such activities as <unk> tennis <unk> and <unk>
 half of those surveyed said they simply walk these days for exercise
 that 's good news for marketers of walking shoes
 the survey also detected a bit more interest in golf a positive sign for country clubs and golf club makers
 the survey 's findings certainly are n't encouraging for marketers of <unk> <unk> tennis <unk> and home exercise equipment but people 's good intentions if not their actions are keeping sales of some fitness products healthy
 for instance sales of <unk> exercise bikes <unk> <unk> and the like are expected to rise N N to about $ N billion this year according to the national sporting goods association which sees the home market as one of the hottest growth areas for the 1990s
 but even that group knows some people do n't use their machines as much as they should
 the first excuse is they do n't have enough time says research director thomas doyle
 the second is they do n't have enough discipline
 with more than N million exercise bikes sold in the past five years he adds a lot of <unk> <unk> and <unk> must be <unk> with them
 still the average price of such bikes rose last year to $ N
 mr. doyle predicts a trend toward fewer pieces of home exercise equipment being sold at higher prices
 electronic <unk> are key
 <unk> international inc. for example <unk> the <unk> electronic cycling <unk> a $ N <unk> cycle
 on a video screen riders can see N different <unk> including urban mountain and desert scenes and check how many <unk> are burned a minute
 nancy <unk> who works in corporate payments at bank of america in san francisco may be a good prospect for such a <unk>
 she 's trying to sell a $ N exercise bike she bought about five years ago for her <unk>
 but rather than write off home fitness equipment she traded up ms. <unk> just paid about $ N for a <unk> <unk> bike with a <unk> <unk> showing average and maximum speeds and a comfortable seat that feels almost like a chair
 i 'm using it a lot she says
 i spent so much money that if i look at it and i 'm not on it i feel guilty
 the poll points up some <unk> between what people say and what they do
 a surprising N N of people said they exercise regularly up from N N in N
 this <unk> up images of a nation full of trim <unk> folks and suggests <unk> potatoes are out of season
 of course that is n't really the case
 the <unk> may be because asking people about their fitness regime is a bit like <unk> about their love life
 they 're bound to <unk>
 people say they <unk> and that may mean they 've been to the beach this year says <unk> spain research specialist for the president 's council on physical fitness and sports
 it 's hard to know if people are responding <unk>
 people are too embarrassed to say they have n't done anything
 while she <unk> the fact that more americans are getting up from the television to <unk> or garden she says the percentage of americans who do real exercise to build the heart is only N N to N N
 so many people <unk> on answers about exercise the president 's council now uses specific criteria to determine what is considered vigorous it must produce <unk> of large muscle groups must achieve N N of maximum <unk> capacity and must be done three or more times a week for a minimum of N minutes
 one of the council 's goals set in N was to see more than N N of adults under N years of age getting vigorous exercise by N
 that target has been revised to N N by the year N
 but even that goal may prove optimistic
 of N activities the journal survey found that N including <unk> skiing and <unk> are being done by fewer americans today than eight years ago
 time pressures and the <unk> of the fitness fad are cited as reasons for the decline
 only walking and golf increased in popularity during the 1980s and only slightly
 <unk> <unk> a california lawyer gave up running three times a week to play a weekly round of golf finding it more social and <unk>
 it 's an activity she feels she can do for life and by pulling a golf <unk> she still gets a good workout
 i 'm really wiped out after walking five hours she says
 most people said they exercise both for health and <unk>
 if you sit down all the time you 'll go stiff says <unk> <unk> a <unk> n.c. <unk> who walks several miles a week
 and it 's <unk>
 sometimes if you have a <unk> you can go out and walk it right off
 only about a quarter of the respondents said they exercise to lose weight
 slightly more like leslie <unk> a law <unk> in san francisco who <unk> dance <unk> five times a week exercise to relieve stress
 working with lawyers she says i need it
 but fully N N of those polled felt they did n't need to belong to a health club
 they 're too crowded and everybody 's showing off says joel bryant a <unk> student from pasadena calif
 the guys are being <unk> and the <unk> are walking around in little things
 they 're not there to work out
 but at least they show up
 nearly half of those who joined health clubs said they did n't use their membership as often as they planned
 feeling they should devote more time to their families or their jobs many <unk> are <unk> their <unk> workout
 even so the association of quality clubs a <unk> trade group in boston says membership revenues will rise about N N this year from last year 's $ N billion
 a spokeswoman adds however that the group is considering offering a <unk> course similar to a <unk> program to teach people ways to stay with it
 there are <unk> bodies of course
 the <unk> of <unk> west an <unk> studio in san francisco 's marina district which was hit hard by the earthquake says people were going <unk> the minute we opened three days after the quake
 the emotional aspect is so <unk> they needed a good workout
 perhaps the most disturbing finding is that the bowling alley may be an endangered american institution
 the survey reported the number of people who said they bowl regularly has fallen to just N N from N N in N
 the american bowling congress claims a higher percentage of the public <unk> regularly but concedes its membership has declined this decade
 to find out why the group recently commissioned a study of the past N years of <unk> research
 three reasons were <unk> a preference for watching bowling and other sports on television rather than actually bowling <unk> bowling centers and <unk> with bowling itself
 people who start bowling expecting it to be a <unk> exercise have been generally disappointed the report said
 but not richard <unk> a san francisco <unk> driver who <unk> in two weekly <unk>
 he hit the <unk> three years ago on the advice of his doctor
 it 's good exercise he says
 i ca n't do anything <unk> but i like meeting the <unk>
 he says bowling helps him shed pounds though that effort is sometimes <unk> by the fact that when i 'm drinking i bowl better
 his tuesday night team the <unk> is in first place
 wpp group 's ogilvy & mather expects profit margins to improve to N N in N in the u.s.
 yesterday 's edition did n't specify where the improvement would take place
 concerning your sept. N article retailers face cutbacks uncertain future the outcome of our leveraged <unk> is looking very positive
 unlike most of the other retailers mentioned in the story <unk> a. bank <unk> inc. is not in serious financial problems
 we did experience some difficulties with the initial lbo terms and as your article made clear successfully restructured our debt earlier this year something those other retailers have yet to accomplish
 your were on target regarding industry problems but wide of the mark in portraying the financial health of this company
 chairman and ceo <unk> a. bank <unk> inc. <unk> mills md
 private housing starts in japan were unchanged in september from a year earlier at N units the construction ministry said
 the flat report followed a <unk> string of declines
 the down trend was partly the result of tighter credit sparked by a discount rate increase by the bank of japan in may
 the central bank also unexpectedly raised the base rate by half a percentage point to N N oct. N as part of an <unk> move that indirectly increases interest rates charged on new home construction loans
 if there 's <unk> strange in your neighborhood
 if there 's something weird and it do n't look good
 who <unk> <unk> <unk> call
 for <unk> some people call ed and <unk> warren
 when it comes to <unk> ghosts the <unk> conn. couple are perfect <unk>
 they claim to have <unk> spirits <unk> and other <unk> in hundreds of houses around the country
 they say they now get three or four legitimate calls a week from people <unk> by haunts
 i firmly believe in angels <unk> and ghosts says mr. warren whose business card <unk> him as a <unk>
 if <unk> do n't work but your house still seems <unk> you can call any one of a swelling band of skeptics such as richard <unk>
 a professional <unk> and <unk> he heads the pittsburgh branch of the committee for the scientific investigation of the <unk>
 mr. <unk> says there is a scientific explanation for all haunts and he can even tell you how to encourage the spirits
 all you have to do is eat a big pizza and then go to bed he says
 you 'll have weird dreams too
 either way the <unk> business is going like <unk>
 <unk> of haunts and <unk> are <unk> beyond the nation 's <unk> streets and <unk>
 i get calls nearly every day from people who have ghosts in their house says raymond hyman a skeptical psychology professor at the university of oregon
 in a public opinion poll published in the october issue of parents magazine a third of those <unk> said they believe that ghosts or spirits make themselves known to people
 the movies the books the <unk> even nancy reagan is boosting this stuff says paul <unk> a philosophy professor at the state university of new york at <unk> who heads the committee for the scientific investigation of the <unk>
 the committee formed in N now has N <unk> around the world
 the spirits of course could hardly care less whether people do or do n't believe in them
 they do n't even give a <unk> to human <unk> by celebrating halloween
 for the <unk> it 's just another day of <unk> business as usual <unk> say the holiday seems to occasion no unusual number of ghost reports
 one of the busiest <unk> is robert baker a <unk> <unk> university of kentucky psychology professor whose <unk> gray <unk> <unk> at the mere mention of a ghost
 mr. baker says he has personally <unk> more than N haunts from aliens to <unk>
 mr. baker heads the kentucky association of science educators and skeptics
 like hollywood 's <unk> kentucky 's stand ready to roll when haunts get out of hand
 but they do n't <unk> around in an old cadillac wear funny suits or blast away at <unk> spirits
 mr. baker drives a N chevy and usually wears a <unk> <unk> on his <unk> <unk>
 i 've never met a ghost that could n't be explained away by perfectly natural means he says
 when a louisville woman complained that a ghost was <unk> her <unk> mr. baker discovered a <unk> dragging a trap across the <unk>
 a <unk> <unk> supposedly plagued a house in <unk> <unk>
 mr. baker found an opening under the house that led to a <unk> coal mine
 when the weather <unk> mr. baker says <unk> often hole up in abandoned houses
 people see activity in there and the next thing you know you 've got a <unk> he says
 on a recent afternoon mr. baker and a reporter go <unk> visiting <unk> <unk> a lexington woman who has <unk> the university of kentucky to report <unk> <unk> in her house
 mrs. <unk> says she never believed in ghosts before but lately her vacuum cleaner turned itself on a telephone flew off its stand doors <unk> <unk> and she heard <unk> in her empty kitchen
 i was doing the <unk> and nearly broke my neck running <unk> to see who was there and it was nobody she says eyes wide at the <unk>
 mr. baker <unk> her out <unk> around a bit asks a few questions and proposes some <unk>
 of the <unk> vacuum cleaner he says could be <unk> mrs. <unk> 's dog
 the flying telephone you <unk> the base <unk> around a chair leg and the receiver does seem to fly off
 the <unk> <unk> interstate N is a block away and heavy traffic can sure set a house to <unk>
 i 'm not sure he 's explained everything mrs. <unk> says <unk>
 there are some things that have gone on here that nobody can explain she says
 mr. baker promises to return if the <unk> continues
 for especially <unk> haunts mr. baker carries a secret weapon a <unk> of <unk>
 i tell people it 's the <unk> <unk> of <unk> he says
 i <unk> a little around and tell the <unk> to leave
 it 's reassuring and it usually works
 oregon 's mr. hyman has investigated claims of flying <unk> <unk> and <unk> <unk> and has come up with a <unk> explanation he says for every one
 invariably he says <unk> are <unk>
 two years ago a canadian reader bet omni magazine $ N that it could n't <unk> the <unk> <unk> in the oregon <unk> a former indian <unk> ground in southern oregon
 to viewers from a distance visitors to the spot seemed to shrink <unk> relative to the background
 the magazine called in mr. hyman as a consultant
 he showed up with a carpenter 's level carefully measured every surface and showed how the apparent <unk> was caused by the perspective
 a very striking illusion mr. hyman says now his voice <unk> with skepticism but an illusion nevertheless
 the canadian wound up writing a check
 the rev. <unk> <unk> a <unk> professor and <unk> expert at st. <unk> university in <unk> n.y. frequently is asked to <unk> <unk> spirits and he often <unk>
 on certain occasions a spirit could be <unk> and make itself known he says
 it happens
 father <unk> often uses what he calls a <unk> <unk> a few <unk> and an <unk> to the spirit to leave
 if the person believes there 's an evil spirit you ask it to be gone he says
 the suggestion itself may do the <unk>
 but sometimes more energetic attacks are required
 to <unk> with a <unk> in a house owned by a <unk> conn. woman the <unk> recently called in an <unk> the rev. robert <unk> a dissident <unk> who <unk> to the catholic church 's old latin <unk>
 i attend and so does a television crew from new york city
 mr. warren <unk> the <unk> case your typical <unk> <unk>
 a scottish <unk> built the small red house N years ago and now his <unk> ghost haunts it mr. warren says
 the owner who <unk> <unk> asserts that the <unk> appearing as a dark shadow has <unk> her <unk> her around the living room and <unk> out a <unk> of hair
 two previous <unk> have failed
 this is a very <unk> ghost mr. warren says <unk>
 father <unk> moves through the house <unk> in latin urging the <unk> to split
 suddenly the woman begins <unk> and then <unk>
 she 's being attacked by the <unk> mrs. warren <unk> as the <unk> <unk> <unk> water over the <unk> woman and the television camera <unk>
 a half-hour later the woman is smiling and <unk> the <unk> seems to have gone
 but mr. warren says the woman has <unk> burns on her back from the confrontation
 she declines to show them
 this was an <unk> powerful force that 's almost impossible for a <unk> to <unk> mr. warren says <unk> as the <unk> <unk> <unk> up to leave
 this time though he says i think we got it
 <unk> from <unk> by ray s. parker jr. N by golden <unk> music corp. <unk> and <unk> music <unk>
 all administrative rights for the u.s. jointly controlled by both companies
 international copyright secured
 made in usa
 all rights reserved
 <unk> by permission
 brokerage hiring <unk> amid market turmoil
 but <unk> earn more
 shearson lehman hutton inc. counts under N workers down N from the start of the year and off N from after its merger and the market collapse two years ago
 another major firm has cut N workers N N of its staff since black monday
 the bureau of labor statistics says securities firms in new york city alone have slashed N jobs from the december N peak of N
 average annual earnings of those who have hung on though surged to $ N last year from $ N in N
 any hiring is confined to retail sales
 illinois company investments had been trimming its ranks until last summer
 but then it was acquired by household international inc
 now it offers richer commissions to lure a broker a week
 <unk> lane inc. this year adds N people N of them in retail to its <unk> staff
 a.g. edwards & sons runs training classes and looks for experienced brokers
 we 're always going to hire someone we consider to be a winner an edwards official says
 skilled workers <unk> are available to cope with earthquake damage
 i do n't <unk> any shortages over the next few months says ken allen an official of operating engineers local N in san francisco
 ironically up until the quake we desperately tried to fill jobs especially for crane and <unk> operators
 but the oct. N temblor put a halt to much <unk> building and heavy <unk> last week slowed the rest <unk> construction workers for earthquake repairs
 the supply of experienced civil engineers though is tighter
 in recent months california 's transportation department has been recruiting in pennsylvania arizona and texas for engineers experienced in road and bridge design
 but with the state offering only $ N a year and california 's high standard of living there are n't too many to choose from says <unk> scott a recruiting officer
 he says the department now has N <unk> and wants to hire N civil engineers over the next N months
 the irs may <unk> what the labor department <unk>
 but stay <unk>
 <unk> specialists drew a collective sigh of relief in early october when the labor department backed away from a proposal that companies let former employees and beneficiaries along with active workers borrow against <unk> in N k and similar savings plans
 in an advisory letter the department said that starting oct. N loans could be limited to parties in interest which generally means active workers but also includes <unk> who continue as directors and N N shareholders
 now comes word that irs regulations being drafted could put companies in violation of the tax code if they make loans to <unk> shareholders and directors but do n't make them available to other former workers who usually earned less
 the irs says the question wo n't be settled until the regulations are issued shortly
 but violation could bring substantial tax penalties to both employer and employees
 it 's a severe case of regulatory <unk> complains henry <unk> of consultant a. foster <unk> & co
 frederick <unk> of buck consultants has asked labor to <unk> its rule to remove the irs threat
 corporate <unk> digs deeper
 <unk> consultant right associates says the average pay of its clients fell to $ N last year from $ N in N severance pay dropped to N weeks from N
 both reflect the dismissal of <unk> and <unk> executives
 first teach <unk>
 executives <unk> believe workers should know their <unk> benefits
 but three out of four managers ca n't accurately state the value of their own packages consultant noble <unk> says
 <unk> <unk>
 fully N N of the doctors surveyed for metropolitan life insurance co. think their fellow physicians are responsible for rising health-care costs ahead of hospitals N N and patients N N
 no you work
 only one in four companies with flexible benefit plans lets workers buy or sell vacation days consultant towers <unk> says
 employees like the option but firms say it 's too tough to run
 students <unk> burger <unk> for jobs tied to careers
 some even study
 fast-food jobs are n't popular no matter what they pay says a <unk> official
 working students she explains want some satisfaction
 university of michigan students look for jobs related to planned careers
 <unk> mellon though says some students conclude they can help their careers most by hitting the books they 're <unk> to build their <unk> through good grades and leadership roles in <unk>
 slowing economies in some areas limit student choice
 student job <unk> at boston university slip N N this year following a N N drop in N
 still the school says there are an ample number and pay is up to $ N an hour from $ N last year
 <unk> candidates at the university of pittsburgh earn up to $ N an hour on marketing or computer projects
 the <unk> <unk> <unk>
 <unk> corp. <unk> a university of wyoming graduate with degrees in <unk> and petroleum engineering for $ N an hour to tend wood fires at a colorado ski resort
 is somebody telling us something
 our copy of <unk> <unk> labor comes through the mail <unk> around two sections of baseball card news
 democracy is making a return with a <unk> to latin america 's most <unk> and deeply <unk> country
 on nov. N when <unk> <unk> a president for the first time in N years the country 's N million voters will have N candidates to choose from
 the candidates have been <unk> this huge country of N million people holding rallies and televised debates in hope of being elected to what must be one of the world 's most <unk> political jobs trying to drag brazil out of its economic and social mess
 i feel sorry for whoever wins says a brazilian diplomat
 who that winner will be is highly uncertain
 a <unk> candidates backing policies ranging from <unk> to <unk> <unk> are given a chance of winning
 whoever says he knows which of the six will win is out of his mind says antonio <unk> a <unk> member of parliament
 the favorite remains fernando <unk> de <unk> a 40-year-old former governor of the state of <unk>
 he came out of nowhere to grab the lead in opinion polls probably less because of his vague program to build a new brazil than because of his good looks the open backing of the powerful <unk> <unk> television network and his reputation as a hunter of <unk> or <unk> and <unk> civil <unk>
 but after building up a commanding lead the moderate to conservative mr. <unk> has slipped to about N N in the polls from a high of about N N only a few weeks ago
 to avoid a <unk> one candidate would have to win N N of the vote a feat that most analysts consider impossible with so many candidates running
 two <unk> politicians socialist <unk> <unk> a former governor of <unk> de <unk> state and <unk> luis <unk> <unk> <unk> currently are running neck and neck at about N N and three other candidates are given a chance of reaching the dec. N <unk> election between the two biggest <unk> social democrat mario <unk> and two conservatives <unk> <unk> <unk> a former governor of the state of <unk> <unk> and <unk> <unk> <unk>
 the uncertainty is sending <unk> through brazilian financial markets
 the dollar the best indicator of the country 's mood has skyrocketed on the parallel market as has gold
 capital flight is reported to be strong
 the big question is whether the new president will have the strength and the political support in congress to take steps to cure brazil 's economic <unk>
 president jose <unk> who took office in N when the man picked by an electoral college became <unk> ill appears to be simply trying to avoid <unk>
 the unpopular mr. <unk> whose task was to bring about a smooth transition to democracy after N years of military rule is n't seeking re-election
 what comes out of the ballot box could be crucial in determining whether brazil finally lives up to the potential of the world 's eighth largest economy or keeps living up to its other less <unk> title that of the developing world 's largest <unk> <unk> on the brink of <unk> mired in deficits and <unk> with huge economic <unk> and social <unk> <unk> under the surface
 if brazil <unk> an economic strategy allowing it to resume growth and service debt this could lead it to open up and <unk> its <unk> economy analysts say just as <unk> president carlos saul <unk> has been doing even though he was elected on a <unk> platform
 depending on the president we could either be a <unk> economy by the end of the century or stay where we are says political scientist <unk> de <unk>
 and where we are is bad
 despite <unk> efforts by finance minister <unk> <unk> <unk> <unk> inflation came to N N in september alone and is expected to top N N for the year
 that might have been considered <unk> not long ago but argentina <unk> price increases of almost N N in july before bringing the rate down sharply in august and september
 still massive internal debt has forced the government to borrow <unk> on the domestic market and to offer inflation-adjusted returns of N N to N N a month just to get investors to hold on to its paper
 about $ N billion is estimated to be tied up in the short-term money market which acts both as a hedge against inflation for consumers and an <unk> of inflation and deficits for the government
 by some estimates brazil 's internal debt or combined public deficit could reach N N of its $ N billion gross domestic product
 much of the money goes into subsidies or keeping inefficient state-controlled companies operating
 among the results is a frequent breakdown of public services
 it 's not uncommon to wait three minutes for a dial tone after picking up the telephone and then to be interrupted by a busy signal before finishing dialing the number
 officials also say a national electricity shortage might not be far off
 economists businessmen and some politicians agree that the answer is an orthodox economic <unk> program including reduced state spending focusing spending on vital areas such as education health and welfare turning state companies private <unk> the tax system raising public service rates to match costs and possibly a temporary wage and price freeze and a devaluation of the <unk>
 analysts also say it 's inevitable that brazil will seek to <unk> its $ N billion foreign debt on which it suspended interest payments last month
 analysts say however that a tough economic program would have to be accompanied by measures to shield the poor from its <unk> effects for instance by subsidizing <unk> food items
 about N N of brazil 's voters are believed to live near the poverty level
 of the three candidates with a serious chance of winning mr. <unk> comes <unk> to <unk> the sort of measures that economists say are necessary
 but his <unk> raises doubts that he would have the political power to carry them out
 the <unk> mr. <unk> has been vague about his intentions and often <unk> in his rhetoric but analysts say he probably would be <unk>
 mr. <unk> <unk> a <unk> former factory worker and labor leader is the most radical <unk> to <unk> payments on the foreign debt and saying he would n't go around putting the country up for sale to the highest bidder
 but despite the differences in what they say according to some analysts here economic constraints mean the next president may not have many choices about what he does
 hospital regulation <unk> kentucky <unk>
 which is the best medicine for runaway health costs competition or regulation
 the question is at the root of a <unk> between humana inc. the big <unk> hospital and insurance company and its <unk> <unk> in its home state of kentucky
 the battle focuses on the state 's <unk> law which <unk> investment in new medical technology
 the law has prevented $ N million of unnecessary expenditures since N according to william s. conn president of the kentucky hospital association
 but according to david jones humana 's chief executive it <unk> technology monopolies <unk> innovation and raises prices
 if the legislature does n't repeal the law due for revision in N mr. jones says humana may move its insurance operations including N jobs in louisville to another state
 the company complains that it paid $ N million to <unk> hospitals in its latest fiscal year for services provided to its insurance plan members
 but humana says its own facilities could serve its insured for less if they were properly equipped
 mr. conn charges that humana 's own actions undermine its argument
 when a hospital in lexington installed a <unk> last year demand for a similar <unk> <unk> machine at a humana hospital in louisville fell N N
 the humana hospital responded by <unk> up prices to make up for lost revenue mr. conn says and now charges as much as $ N for the procedure which costs only about $ N in lexington
 humana contends that $ N represents an extreme case and that its regular charge for <unk> is $ N
 meanwhile another hospital 's proposal for a <unk> <unk> is pending before the board that <unk> the <unk> law
 humana which wants to acquire one of the new machines itself is on the record as opposed to the proposal
 <unk> doctors seek financial security
 health-care experts have long worried that young doctors emerging from medical school with a mountain of debt will choose careers in <unk> <unk> instead of primary care where more physicians are needed most
 now there 's a new <unk> in what young doctors want more than half of N residents responding to recent survey said they 'd prefer a guaranteed salary over traditional <unk> compensation in their first professional position
 and N N preferred a group practice or health maintenance organization while just N N favored solo practice
 ten years ago a physician would go to a town and take out a loan to start a practice says james <unk> president of <unk> <unk> & associates an irvine calif. physician <unk> that conducted the survey
 they wo n't do that very often today at all
 they 're looking for something that 's very safe
 the numbers behind such fears the average debt of medical school graduates who borrowed to pay for their education jumped N N to $ N this year from $ N in N says the association of american medical colleges
 that 's N N more than in N
 money is n't the only reason for the shift in practice preferences
 it reflects values of a generation that wants more time for families and personal interests says john h. <unk> iii who directs <unk> searches for <unk> international
 this is a change in the social fabric of medicine he says
 related <unk> trim hospital bills
 when <unk> <unk> spent several weeks at the medical center of vermont recently with a bone infection in her <unk> she shared a room just like most patients
 but unlike most patients her <unk> was her husband
 it was certainly good to have him handy mrs. <unk> says
 the <unk> cooperative care unit is one of about N nationwide where a family member or friend helps care for a patient in the hospital
 the philosophy is to make the patient and the family very responsible for a portion of their own care says anthony j. <unk> medical director of cooperative care at new york university medical center where the concept began N years ago
 it helps us and them while they 're here and it certainly makes them a better health-care team when they get home
 it also <unk> money
 because patients require less attention from nurses and other staff room charges are lower about $ N less per day than a regular room at the vermont hospital
 cancer patients <unk> prolonged radiation therapy diabetics learning to manage their blood sugar levels and <unk> <unk> patients are among those who spend time on <unk> units
 the approach has generated so much interest that <unk> is host to the first conference on cooperative care nov. N
 it 's really part of the hospital of the <unk> century dr. <unk> says
 odds and ends
 the chief nursing officer can be responsible for more than N employees and at least one-third of a hospital 's budget a head <unk> typically oversees up to N employees and $ N million
 so says the commonwealth fund a new york <unk> that 's <unk> a $ N million project to develop joint masters in business and nursing programs at N universities
 <unk> medical college in <unk> tenn. <unk> a new research publication in the spring the journal on health care for the poor and <unk>
 a group of michigan investors has offered to buy knight-ridder inc. 's ailing detroit free press for $ N million but has left unclear how the offer will be financed
 the offer came just prior to arguments before the u.s. supreme court over whether the free press should be allowed to enter into a joint operating pact with <unk> co. 's detroit news
 the group led by birmingham mich. <unk> william d. <unk> did n't name an investment banker backing the deal or say how much its members will contribute to the offer
 indeed some individuals identified with the group said they have n't committed any money to the bid and were n't aware of it until they heard about it in local news accounts over the weekend
 knight-ridder would n't comment on the offer
 the company has said the paper is n't for sale and has rebuffed mr. <unk> 's earlier requests for access to free press financial statements
 in his letter to knight-ridder president james k. <unk> mr. <unk> said he arrived at the $ N million figure using knight-ridder 's corporate financial statements and comments by knight-ridder officials that the free press has a $ N million value in salvage
 but in an interview mr. <unk> said he and his investment banker would need access to full financial records before <unk> up the offer
 mitsui & co. said it started a joint venture with <unk> <unk> chemical co. a major pharmaceutical manufacturer in south korea to manufacture <unk> <unk>
 the new company is capitalized at about $ N million
 mitsui expects the <unk> products to be exported to southeast asia and africa
 it also hopes to enter the u.s. market
 nrm energy co. said it filed materials with the securities and exchange commission calling for it to restructure into a corporation from a limited partnership
 the partnership said it is proposing the change largely because the provisions of its senior notes restrict it from making distributions on its units outstanding
 nrm suspended its common distribution in june N and the distribution on its $ N cumulative convertible acquisition preferred units in september
 however unpaid distributions on the acquisition preferred are cumulative and would total $ N million a year hurting nrm 's financial flexibility and its ability to raise capital nrm said
 in following several other oil and gas partnerships that have made the conversion to a corporation in the last year nrm also noted that tax advantages for partnerships have diminished under new tax laws and said it would save $ N million a year in administrative costs from the change
 under the plan nrm said holders of its common units will receive one share of new common stock in edisto resources corp. for every N common units owned
 holders of nrm 's $ N cumulative convertible acquisition preferred units will receive one new common share in edisto for every N units they own
 after the transaction current common <unk> will own about N N of edisto current acquisition preferred holders will own N N and current stockholders of edisto will own about N N about the same stake as edisto owns now in nrm
 edisto currently is the general partner of nrm
 as the largest holder of acquisition preferred units mesa limited partnership would own about N N of edisto after the transaction
 as part of the transaction edisto agreed to give mesa an <unk> texas oil and gas partnership managed by t. boone pickens jr. a seat on its board
 nrm said its $ N senior cumulative convertible preferred units will be converted into an equal number of shares of $ N senior cumulative convertible preferred stock of edisto
 the transaction is subject to approval of nrm <unk> of record on oct. N among other conditions
 nrm said it expects <unk> to vote on the restructuring at a meeting dec. N
 <unk> co. and <unk> corp. said they 've discontinued talks toward a definitive agreement regarding <unk> ' acquisition of <unk> 's chemical <unk> group
 the companies reached an agreement in principle for the sale in august
 terms were n't disclosed
 <unk> <unk> produces <unk> and coatings while the los angeles-based <unk> coatings group produces industrial coatings
 <unk> corp. agreed to sell its headquarters building here to manufacturers life insurance co. of toronto and will lease the <unk> facility until it moves to a new quarters in N
 the <unk> concern did n't disclose terms of the sale which will close in the first quarter of next year
 proceeds from the planned sale of the <unk> building will help reduce the debt incurred as a result of our july N recapitalization said a <unk> official
 the recently revived enthusiasm among small investors for stock mutual funds has been <unk> by a jittery stock market and the <unk> over program trading
 after hitting two-year highs this summer net sales of stock funds slowed in september according to the investment company institute a trade group
 the sales recovery <unk> to a halt this month some analysts say
 confidence was starting to come back because we did n't have wildly volatile days says tyler <unk> research director for <unk> <unk> <unk> & co. a boston research firm
 now everything such as program trading and wide stock market swings that everyone had pushed back in their <unk> is just sitting right there
 net sales of stock funds in september totaled $ N million down from $ N billion in august the institute said
 but if reinvested dividends are excluded investors put in only $ N million more than they pulled out for the month
 october 's numbers which wo n't be released for a month are down further mutual fund executives say
 investors in stock funds did n't panic the weekend after mid-october 's 190-point market plunge
 most of the those who left stock funds simply switched into money market funds
 and some fund groups said investors actually became net buyers
 but the stock market swings have continued
 the recent outcry over program trading will cast a pall over the <unk> environment in the coming months some analysts say
 the public is very close to having had it mr. <unk> says
 investors pulled back from bond funds in september too
 net sales of bond funds for the month totaled $ N billion down two-thirds from $ N billion in august
 the major reason heavy outflows from high-risk high-yield junk bond funds
 big withdrawals from the junk funds have continued this month
 overall net sales of all mutual funds excluding money market funds fell to $ N billion in september from $ N billion in august the trade group said
 small net inflows into stock and bond funds were offset by slight declines in the value of mutual fund stock and bond portfolios stemming from falling prices said jacob <unk> the institute 's chief economist
 many small investors went for the safety of money market funds
 assets of these and other short-term funds surged more than $ N billion in september the institute said
 analysts say additional investors transferred their assets into money funds this month
 at fidelity investments the nation 's largest fund group money funds continue to draw the most business says michael <unk> vice president marketing
 in october net sales of stock funds at fidelity dropped sharply mr. <unk> said
 but he emphasized that new accounts new sales inquiries and subsequent sales of stock funds are all up this month from september 's level
 investor interest in stock funds has n't stalled at all mr. <unk> maintains
 he notes that most of the net sales drop stemmed from a <unk> period following the friday the 13th plunge
 if that follows through next month then it will be a different story he says
 but mr. <unk> adds sales based on a few days ' events do n't tell you much about october 's trends
 one trend that continues is growth in the money invested in funds
 buoyed by the continued inflows into money funds assets of all mutual funds swelled to a record $ N billion in september up fractionally from $ N billion in august
 <unk> managers meantime went into october with less cash on hand than they held earlier this year
 these managers held N N of assets in cash at the end of september down from N N in august and N N in september N
 large cash positions help buffer funds from market declines but can cut down on gains in rising markets
 managers of junk funds were <unk> their cash <unk> after the september cash crunch at campeau corp
 <unk> managers raised their cash position to N N of assets in september from N N in august
 in september N that level was N N
 investors in all funds will seek safety in the coming months some analysts say
 among stock funds the conservative <unk> portfolios probably will remain popular fund specialists say
 there will be a <unk> and possibly greater focus on conservative equity funds at the expense of growth and aggressive growth funds says <unk> <unk> an analyst at strategic insight a new york <unk> concern
 secretary of state baker we read decided to kill a speech that robert gates deputy national security adviser and a career soviet expert was going to give to a student <unk> the national <unk> security conference
 we keep wondering what mr. gates wanted to say
 perhaps he might have cited mr. gorbachev 's need for a stable currency free and competitive markets private property and real prices and other <unk> reforms
 perhaps he 'd have called for a <unk> political and economic system without a dominant communist party
 or political arrangements to alleviate the <unk> and demands of soviet ethnic minorities and republics
 why a bob gates might even have said nor are soviet problems susceptible to rescue from abroad through abundant western credits
 if mr. gates had been allowed to say these things we would now be hearing about <unk> and disarray on foreign policy
 dark hints would be raised that parts of the administration hope mr. gorbachev would fail just as they were when vice president quayle voiced similar <unk>
 it 's somehow ok for secretary baker himself however to say all the same things
 in fact he did the quotes above are from mr. baker 's speech of two weeks ago
 so far as we can see there is no disagreement among mr. baker mr. quayle the mr. gates we 've read or for that matter president bush
 they all understand point one nothing the u.s. can do will make much difference in whether mr. gorbachev succeeds with perestroika
 perhaps mr. gates would <unk> more than mr. baker the many hurdles the soviet leader must leap if he is going to succeed
 but everyone agrees that mr. gorbachev 's problems result from the failure of his own system
 they can be relieved only by changing that system not by pouring western money into it
 gatt membership will not matter to <unk> coal miners short of soap nor will a start treaty make any difference to <unk> <unk>
 on the other hand so long as mr. gorbachev is easing his grip on his empire everyone we 've heard agrees that the u.s. can benefit by engaging him
 if a deal can be made to cut the world 's <unk> loose from moscow why not
 we do n't expect much good from <unk> control but <unk> talks might <unk> eastern europe
 there 's nothing in the least <unk> in all this and it would be nice to think that washington could <unk> a reasonably sophisticated complex view
 yet much of the political culture seems intent on <unk> the bush administration for not helping mr. gorbachev
 so every time a bush official raises a doubt about mr. gorbachev the washington community <unk> cold war and <unk> and an administration spokesman is quickly <unk> out to <unk> mr. bush wants perestroika to succeed
 mr. baker seems especially sensitive to the washington <unk> known as <unk>
 its symptoms include a cold sweat at the sound of debate <unk> hands in the face of congressional criticism and <unk> <unk> when someone writes the word controversy
 as one unidentified official clearly in the late stages of the disease told the times baker just felt that there were some lines in the speech that could be <unk> and seized by the press
 in short the problem is not <unk> disagreement but <unk> with the prospect that <unk> might fail and its political opponents will ask who lost gorbachev
 mr. baker may want to avoid criticism from senate majority leader george mitchell but as secretary of state his audience is the entire free world not just congress
 in any case he 's likely to find that the more he <unk> his colleagues the more leaks will pop up all around washington a lesson once learned by henry <unk>
 letting officials express their own <unk> can be educational
 we note that in rome yesterday defense secretary cheney said that european euphoria over mr. gorbachev is starting to be <unk> by a recognition of the magnitude of the problems he was trying to deal with
 it is in the western interest to see mr. gorbachev succeed
 the odds are against him as he himself would no doubt tell you
 the ultimate outcome depends on what he does not on what we do
 even if the press is ready to seize and <unk> these are not very complicated thoughts
 surely there is someone in the administration maybe bob gates who could explain them to college students or even <unk>
 <unk> e. jordan was elected to the board of this transportation services concern
 mr. jordan has served as executive director of the united <unk> college fund director of the voter education project of the southern regional council and <unk> to the u.s. office of economic opportunity
 his election increases ryder 's board to N members
 the american stock exchange said a seat was sold for $ N down $ N from the previous sale last friday
 seats are currently quoted at $ N bid and $ N asked
 two <unk> entered a maryland restaurant ordered two employees to lie on the floor and shot them in the backs of their heads
 the <unk> fled with less than $ N
 describing this and other <unk> killings sen. <unk> thurmond r. s.c recently urged fellow lawmakers to revive a broad federal death penalty
 the ultimate punishment he declared will protect the <unk> from the vicious <unk> individuals who commit these crimes
 there 's just one problem the law that sen. thurmond is pushing would be irrelevant in the case of the maryland restaurant <unk> and almost all other killings
 most <unk> are state crimes so any federal <unk> law probably would turn out to be more <unk> than substance
 yet the bill is riding high on the furor over drug trafficking
 senate republicans after repeatedly failing to <unk> <unk> amendments to unrelated legislation have finally gotten a <unk> <unk> bill through committee
 the democratic leadership agreed to allow a floor vote on the issue before the end of the year a debate certain to focus on the alleged racial <unk> of death sentencing
 even some democrats concede that there is probably a majority in the senate that favors some kind of broad <unk> measure
 the pending bill introduced by mr. thurmond would revive the <unk> federal <unk> laws by <unk> legal procedures required by the supreme court
 in N the high court <unk> aside all <unk> laws federal and state alike as unconstitutional
 but in N the court permitted <unk> of such laws if they meet certain procedural requirements
 for instance <unk> would have to consider specific <unk> and <unk> factors before deciding whether to condemn someone to death
 since that N ruling N states have <unk> the death penalty
 but congressional democrats have blocked the same from <unk> at the federal level with the exception of a N law allowing capital punishment for certain drug-related <unk>
 the thurmond bill would establish a federally <unk> death sentence for N crimes most of which were formerly punishable by death under federal statutes that the supreme court <unk>
 among these crimes are murder on federal land presidential assassination and <unk>
 the thurmond bill would also add five new crimes punishable by death including murder for hire
 separately the senate last week passed a bill permitting execution of <unk> who kill americans abroad
 amid the <unk> of punitive rhetoric surrounding the issue one critical question involves whether a federal death penalty on top of existing state laws would deter any would-be criminals
 for one thing it 's unlikely that many people would receive federal death sentences let alone be executed
 most of the crimes incorporated in the thurmond bill are <unk> rare killing a supreme court justice for instance or deliberately causing a train <unk> that results in a death
 in fact only N defendants would have been eligible for federal death sentences if the thurmond bill had been in effect in the past three years according to a study by the senate judiciary committee 's democratic staff
 the last federal execution before the supreme court 's N ruling banning the death penalty took place in N meaning that the federal government did n't exercise its execution authority for eight years
 in that sense the whole debate is sort of a fraud argues a democratic senate staff member
 it 's <unk> attention from serious issues like how to make <unk> fbi and customs work together on drug enforcement
 republicans acknowledge that few people would be executed under the thurmond bill but they contend that is n't the point
 many scholars are of the opinion that the mere existence of the penalty <unk> many people from the commission of capital crimes says sen. <unk> hatch r. utah
 executions regardless of how frequently they occur are also proper <unk> for <unk> crimes mr. hatch argues
 thomas boyd a senior justice department official says the new federal drug-related crimes punishable by death since last november may result in a jump in capital sentences though that has n't happened so far
 in addition to <unk> the old issue of whether death sentences deter criminals this bill has made race a major part of the <unk> debate
 before the bill left committee sen. edward kennedy d. mass attached an amendment that would allow a defendant to escape from a death sentence in <unk> shown to have <unk> out executions in a <unk> manner
 the amendment prompted an ironic protest from mr. thurmond who complained that it would kill capital punishment
 a large number of studies suggest that state judges and <unk> have imposed the penalty in a <unk> <unk> fashion
 and the kennedy amendment would <unk> not only federal but state <unk> in two important ways
 it would allow all defendants to introduce statistical evidence showing <unk> disproportionate application of the death penalty in the past
 and it would shift the burden to prosecutors to <unk> that discrimination caused any statistical racial <unk>
 that burden is very difficult if not impossible to meet says mr. boyd
 how do you prove a negative
 since most prosecutors would n't be able to demonstrate <unk> that racial considerations did n't affect sentencing executions everywhere might come to a halt mr. boyd explains
 at least N major studies <unk> to show that particular states have imposed the death penalty <unk> against <unk> of whites compared with blacks and against black defendants compared with white defendants
 conservatives question the <unk> of the studies and note that the supreme court ruled in N that such research regardless of its <unk> is n't relevant to a constitutional attack on a particular death sentence
 the kennedy amendment would in effect <unk> around the supreme court ruling
 lawyers would <unk> seize on the provision in their <unk> appeals says richard <unk> director of the <unk> legal defense and educational fund 's <unk> defense team
 mr. kennedy failed to get his amendment incorporated into last year 's anti-drug legislation and it will be severely attacked on the senate floor this time around
 but if it <unk> it could prompt other statutory changes according to the mr. <unk>
 it might force congress and the states to narrow the death penalty only to convictions shown to be relatively free of racial <unk> <unk> by repeat offenders who <unk> their victims perhaps
 narrowing the penalty in this fashion would clearly reduce whatever <unk> effect it now has
 and that in turn would only strengthen the argument of those who oppose execution under any circumstances
 a state judge postponed a decision on a move by holders of telerate inc. to block the tender offer of dow jones & co. for the N N of telerate it does n't already own
 vice chancellor maurice a. <unk> iii of delaware 's court of chancery heard arguments for more than two hours here but he made no comment and asked no questions
 he could rule as early as today on the motion seeking a temporary injunction against the dow jones offer
 dow jones has offered to pay $ N a share or about $ N million for the remaining telerate stake
 the offer will expire at N p.m. est on nov. N unless extended again
 robert <unk> an attorney for the telerate holders told judge <unk> the dow jones offer is arrogant and hostile
 he accused dow jones of using unfair means to obtain the stock at an unfair price
 michael <unk> an attorney for dow jones defended the offer as adequate based on what the company considers realistic projections of telerate 's revenue growth in the range of N N
 he also contended that the plaintiffs failed to cite any legal authority that would justify such an injunction
 telerate provides information about financial markets through an electronic network
 dow jones publishes the wall street journal barron 's magazine other <unk> and community newspapers and operates electronic business information services
 japan 's exports of cars trucks and buses declined N N to N units in september from a year earlier the japan automobile manufacturers association said
 the association attributed the drop to a trend among auto makers to move manufacturing operations overseas
 with the exception of august when exports rose N N exports have declined every month from year-earlier levels since march
 lone star technologies inc. said its lone star steel co. unit sued it in federal court here seeking to recover an <unk> <unk> valued at a minimum of $ N million
 the lawsuit was filed by lone star steel 's unsecured creditors ' committee on behalf of lone star steel which has been operating under chapter N of the federal bankruptcy code since june N
 lone star technologies said it and its subsidiary 's creditors agree that the parent company owes the unit money but they have n't been able to reach agreement on the amount
 <unk> <unk> lawyer for the creditors said the creditors group is challenging certain accounting <unk> on the parent company 's books and estimates that the <unk> owed the steel company could be as much as $ N million
 the lone star steel lawsuit also asks the court to rule that lone star technologies is jointly responsible for a $ N million lone star steel pension payment that was due but was n't paid in september and that the parent company ca n't recover the amount from its subsidiary if the parent company makes the payment
 separately lone star technologies said the bankruptcy court granted lone star steel an extension until year end on its exclusive period to present a reorganization plan
 the <unk> exclusivity period was to expire yesterday
 under chapter N a company continues to operate but is protected from creditor lawsuits while it tries to work out a plan to pay its debt
 nothing was going to hold up the <unk> settlement of <unk> vs. <unk>
 not even an earthquake
 on the afternoon of oct. N after hours of <unk> with five <unk> adjusters over settling a <unk> suit four lawyers had an agreement in hand
 but as judge thomas m. <unk> <unk> his <unk> so he could give final approval the major earthquake struck its epicenter not far from his courtroom in <unk> city calif
 the walls shook the building rocked
 for a while it looked like the deal not to mention the courtroom itself was on the verge of collapse
 the judge came out and said quick let 's put this on the record says <unk> <unk> the judge 's court reporter
 i said now
 i was shaking the whole time
 a <unk> water <unk> had <unk> onto the floor <unk> the red carpeting
 lights <unk> on and off <unk> dropped from the ceiling the walls still shook and an evacuation alarm <unk> outside
 the four lawyers climbed out from under a table
 let 's close the door said the judge as he climbed to his bench
 at stake was an $ N settlement involving who should pay what share of cleanup costs at the site of a former gas station where underground fuel tanks had <unk> and <unk> the soil
 and the lawyers were just as eager as the judge to wrap it up
 we were never going to get these insurance companies to agree again says john v. trump a san francisco defense lawyer in the case
 indeed the insurance adjusters had already <unk> out of the courtroom
 the lawyers went to work anyway <unk> noting that the proceeding was taking place during a major earthquake
 ten minutes later it was done
 for the record jeffrey <unk> an attorney for fireman 's fund said he was rattled both literally and <unk>
 my belief is always if you 've got a settlement you read it into the record says judge <unk> now known in his courthouse as shake <unk> down <unk>
 the insurance adjusters think differently
 i did n't know if it was world war iii or what says <unk> <unk> of morristown n.j
 reading the settlement into the record was the last thing on my mind
 edison brothers stores inc. said it agreed to buy N <unk> women 's apparel stores from <unk> specialty stores corp. a unit of <unk> ltd. of toronto
 terms were n't disclosed
 edison said the acquired stores would be integrated into its current operations
 brown-forman corp louisville ky.
 david r. jackson formerly vice president managing director of corporate communications for maxwell communication inc. was named vice president and assistant to the chairman of this maker of <unk> <unk> and consumer products
 your oct. N front page noted that british lawyers have to wear <unk> in court and that these <unk> are made from horses ' <unk>
 do you think the british know something that we do n't
 yale jay <unk>
 <unk> md
 applause for sometimes talk is the best medicine in your oct. N marketplace section
 indeed the art of <unk> does contribute to better health results and <unk> unwarranted <unk> litigation
 <unk> on the concern about doctors ' <unk> earnings in order to spend talk time with patients we are finding the quality of the time spent is the key to true <unk>
 even brief conversations can show <unk> and trust and need not restrict the efficiency of the communication or restrain the doctor 's earnings
 the issue is far-reaching
 right now the american <unk> is spending about N N of our gross national product on health care
 that amounts to more than $ N billion a year
 and it is estimated that more than N N of that $ N billion goes to defensive medicine those measures taken by doctors to protect themselves from the most unlikely possibilities
 so we all stand to benefit if <unk> relations become a partnership
 president north american physicians insurance risk <unk> group
 chrysler corp. chairman lee a. <unk> said the nation 's no. N auto maker will need to close one or two of its assembly plants because of the slowdown hitting the industry
 in an interview with the trade journal automotive news mr. <unk> declined to say which plants will close or when chrysler will make the moves
 but he said we have too many plants in our system
 so the older or most inefficient capacity has got to go
 according to industry analysts chrysler plants most likely to close are the st. louis no. N facility which builds chrysler <unk> and dodge <unk> models the toledo ohio jeep plant which dates back to the early <unk> and two canadian plants that build the jeep <unk> and chrysler 's <unk> vans
 chrysler has had to temporarily close the st. louis and toledo plants recently because of excess inventories of vehicles built there
 at chrysler 's N model <unk> last month chrysler motors president robert a. <unk> said the no. N auto maker along with other u.s. manufacturers might be forced to <unk> capacity if market demand does n't improve
 but mr. <unk> 's remarks are the most specific indication to date of how many plants could be in jeopardy
 general motors corp. has signaled that as many as five of its u.s. and canadian plants may not survive the mid-1990s as it struggles to trim its excess <unk> capacity
 the overcapacity problem has <unk> in recent years with foreign auto makers beginning car and truck production in the u.s.
 with companies such as honda motor co. toyota motor corp. and nissan motor co. running so-called transplant auto operations japanese auto production in the u.s. will reach one million vehicles this year
 unless the market goes to N million units which we all know it 's not going to do we have the <unk> fact that the transplants are adding capacity mr. <unk> said last month
 the <unk> plants eventually will have the capacity to build some N million vehicles in the u.s. and that will translate into market share that is going to have to come out of somebody he added
 already chrysler has closed the <unk> wis. plant it acquired when it bought american motors corp. in N
 chrysler has also launched a $ N billion cost-cutting program that will cut about N white-collar workers from the payroll in the next few months
 revco <unk> inc. the <unk> chain that filed for bankruptcy-court protection last year received a $ N million offer from a group led by texas billionaire robert bass
 revco reacted cautiously saying the plan would add $ N million of new debt to the highly leveraged company
 it was revco 's huge debt from its $ N billion leveraged buy-out in N that forced it to seek protection under chapter N of the federal bankruptcy code
 revco insists that the proposal is simply an expression of interest because under chapter N revco has exclusivity rights until feb. N
 those rights prevent anyone other than revco from proposing a reorganization plan
 also under chapter N a reorganization plan is subject to approval by bondholders banks and other creditors
 a financial adviser for revco bondholders david <unk> of <unk> partners had mixed reactions to the offer
 he said he feared a revco reorganization might force bondholders to accept a cheap deal and that the bass group 's offer would give them more money
 however the group is offering to pay off bondholders in cash only $ N million and no equity
 the revco bonds are high-yield high-risk junk bonds holders have $ N million in claims against revco mr. <unk> said
 revco received the offer oct. N but issued a response yesterday only after a copy of the proposal was made public by bondholders
 acadia partners limited partnership a fort worth texas partnership that includes the robert m. bass group made the proposal
 mr. bass is based in fort worth
 analysts said the nation 's second-largest <unk> chain was a valuable company despite its financial woes
 its problem they say is that management paid too much in the leveraged buy-out and the current $ N million debt load is keeping revco in the red
 if bought at the right price it could still be profitable said jeffrey stein an analyst at mcdonald & co. cleveland
 in addition revco 's N stores in N states represent a lot of real estate he said and <unk> are helping <unk> the nation 's aging population will boost demand for prescription drugs
 last week revco 's parent company <unk> holding corp. said the company reported a loss of $ N million for the fiscal first quarter compared with a loss of $ N million in the year-earlier quarter
 sales were $ N million up N N from the previous year
 the company based in <unk> ohio said its operating profit before depreciation and amortization increased N N to $ N million from $ N million
 acadia partners and the bass group declined to comment
 the partnership also includes american express co. equitable life assurance society of the u.s. and shearson lehman hutton inc
 the offer consists of $ N million in cash and the rest in notes
 acadia would sell up to N N of the equity in the <unk> company to creditors and bondholders in exchange for the cash distribution but creditors and bondholders would receive no discount for their shares
 revco 's chairman and chief executive officer <unk> a. sells said both the company and the bondholders have put forth reorganization plans but little progress has been made since negotiations began this summer
 he said he has not met with representatives from acadia
 any reorganization proposal mr. sells said is difficult to assess because it must be agreed upon by the company bondholders banks and other creditors
 revco has $ N billion in claims outstanding
 it 's not like the board can decide by itself mr. sells said adding we 're <unk> to the bass plan
 we just want a plan that <unk> creditors and at the end leaves a healthy revco
 but mr. <unk> the bondholders ' adviser said revco was dragging its feet in responding to the proposal
 they want to <unk> it does n't exist he said
 mr. <unk> who met with acadia representatives on oct. N said it 's certainly a responsible offer
 it 's not an effort to steal the company in the middle of the night
 copper futures prices failed to extend friday 's rally
 declines came because of concern that demand for copper may slow down
 the december contract was down three cents a pound settling at $ N which was just above the day 's low of $ N
 futures prices fell during three of five sessions last week and the losses <unk> and <unk> were greater than the advances
 two of the major factors <unk> prices the prolonged strikes at the highland valley mine in canada and the cananea mine in mexico were finally resolved
 also the premiums paid by the u.s. government on a purchase of copper for the u.s. mint were lower than expected and acted as a price <unk> analysts said
 the mint purchases were at premiums about N N cents a pound above the respective prices for the copper
 at the time merchants were asking for premiums of about five cents a pound
 all this has led to prolonged selling in futures mostly on the part of computer-guided funds
 prices fell through levels regarded as important support areas which added to the selling
 the reluctance of traders to buy contracts indicates that they have begun focusing on demand rather than supply
 at least one analyst noted that as production improves the concern among traders is whether the prospective increased supply will find buyers because of uncertainty over national economies
 demand from japan is expected to continue strong but not from other areas of the world into the first quarter of next year he said
 japan normally depends heavily on the highland valley and cananea mines as well as the bougainville mine in <unk> new guinea
 recently japan has been buying copper elsewhere
 but as highland valley and cananea begin operating they are expected to resume their roles as japan 's suppliers
 according to fred demler metals economist for drexel burnham lambert new york highland valley has already started operating and cananea is expected to do so soon
 the bougainville mine is generally expected to remain closed until at least the end of the year
 it has n't been operating since may N because of attacks by native <unk>
 a recent attempt to resume operations was cut short quickly by these attacks
 however traders <unk> a potential production disruption in chile and a continued drop in inventories
 workers at two <unk> mines los <unk> and el <unk> which belong to the <unk> <unk> <unk> group will vote thursday on whether to strike after a two-year labor pact ends today
 the mines produced a total of N tons of copper in N
 according to drexel 's mr. demler the potential strike is expected to be resolved quickly which may be one reason why the situation did n't affect prices much
 another analyst said that if there was any concern it was that a strike could encourage other <unk> in chile
 london metal exchange copper inventories fell N tons last week to N tons a <unk> decline
 but that development also had little effect on traders ' sentiment
 mr. demler said that stocks of copper in u.s. producers ' hands at the end of september were down N metric tons from august to N tons
 outside the u.s. he said producer stocks at the end of august were N tons down N tons from the end of july
 consumer stocks of copper in the u.s. fell to N tons at the end of september from N tons a month earlier and stocks of copper held by consumers and merchants outside of the u.s. at the end of july stood at N tons down from N tons in june
 the high point of foreigners ' copper stocks this year was N tons at the end of april according to mr. demler
 in other commodity markets yesterday
 grains and soybeans
 the prices of most corn soybean and wheat futures contracts dropped slightly as farmers in the midwest continued to rebuild <unk> that were <unk> by the N drought
 buying by the soviets has helped to <unk> up corn prices in recent weeks but a lack of any new purchases kept prices in the doldrums
 coffee
 futures prices rose slightly in a market filled with rumors that a new international coffee agreement might still be achieved
 the december contract ended with a gain of N cents a pound at N cents
 according to one analyst prices opened higher because of reports over the weekend that brazil and colombia at the <unk> summit meeting in costa rica had agreed to a reduction in their coffee export quotas for the <unk> of creating a new agreement
 the reports attributed to the colombian minister of economic development said brazil would give up N bags of its quota and colombia N bags the analyst said
 these reports were later denied by a high brazilian official who said brazil was n't involved in any coffee discussions on quotas the analyst said
 the colombian minister was said to have referred to a letter that he said president bush sent to colombian president <unk> <unk> and in which president bush said it was possible to overcome obstacles to a new agreement
 the minister was also quoted as saying that a new pact could be achieved during the first half of next year according to the analyst
 precious metals
 futures prices showed modest changes in light trading volume
 december delivery gold eased N cents an ounce to $ N
 december silver was off N cents an ounce at $ N
 january platinum rose N cents an ounce at $ N
 the market turned quiet after rising sharply late last week according to one analyst
 last week 's uncertainty in the stock market and a weaker dollar triggered a flight to safety he said but yesterday the market lacked such <unk>
 there was some profit-taking because prices for all the precious metals had risen to levels at which there was resistance to further advance he said
 the dollar was also slightly firmer and prompted some selling as well according to the analyst
 <unk> corp. said its board authorized the purchase of as many as five million of its common shares for employee stock plans and other general corporate purposes
 the forest-products concern currently has about N million shares outstanding
 in yesterday 's composite trading on the new york stock exchange <unk> shares closed at $ N down N cents
 when the supreme soviet passed laws on workers ' rights in may N and on <unk> cooperatives a year later some western observers assumed mikhail gorbachev had launched the soviet union on a course that would lead inevitably to the creation of a market economy
 their only doubt concerned the possibility that mr. gorbachev might not survive the opposition that his reforms would <unk> and that the whole process might be reversed
 if mr. gorbachev 's goal is the creation of a free market he and these western observers have good reason to fear for his future as economic <unk> within communist <unk> leads <unk> to demands for fundamental political reform accompanied by civil unrest
 these fears were clearly apparent when last week secretary of state james baker blocked a speech by robert gates deputy national security adviser and soviet expert on the ground that it was too pessimistic about the chances of mr. gorbachev 's economic reforms succeeding
 yet the soviet leader 's <unk> to <unk> on foreign visits and steady accumulation of personal power particularly since the last politburo <unk> on sept. N do not suggest that mr. gorbachev is on the verge of being <unk> nor does he look likely to reverse the powers of perestroika
 indeed the soviet miners strike this summer clearly demonstrated that mr. gorbachev must proceed with economic reform
 but is he so <unk> that he has achieved the political equivalent of making water run <unk>
 and has he truly persuaded the communist party to accept economic change of a kind that will sooner or later lead to its demise
 an alternative and more convincing explanation confirmed by recent events and a close inspection of the gorbachev program is that the new soviet economic and social structures are intended to conform to a model other than that of the market
 for example while the laws on individual labor activity allow a citizen to earn a living independent of the state strict provisions are attached on how far this may lead to the development of a free market
 before becoming self-employed or setting up a cooperative workers must seek permission from the local soviet council
 permission is far from automatic the soviets have the legal right to turn down applications and impose conditions and they appear to be exercising these powers
 private <unk> for example is allowed in N soviet republics but banned by five <unk> is allowed in seven but illegal in nine
 the controls on cooperatives appeared relatively liberal when first introduced
 but that changed following a resolution from the supreme soviet banning cooperatives from operating in some areas of the economy and permitting activity in others only if the cooperatives are under contract to the state
 all independent media activity is now illegal which perhaps is not surprising but so is the manufacture of <unk> cosmetics household chemicals and sand <unk>
 medical cooperatives among the most successful in the u.s.s.r. are banned from providing <unk> services their main source of income carrying out surgery and treating cancer patients drug <unk> and pregnant women
 earlier this month the supreme soviet adopted two more resolutions restricting the freedom of cooperatives the first enables the soviets to set prices for which goods may be sold the second bans cooperatives from buying industrial and food goods from the state or other cooperatives
 if mr. gorbachev is looking toward <unk> the productive forces of the market these latest resolutions are nothing short of reckless
 along with some other <unk> indicators these developments suggest that while mr. gorbachev wishes to move away from some rigid central controls he is <unk> on creating economic structures of a kind that would <unk> find favor with the <unk> or chicago schools of economic thought
 mr. gorbachev has ruled out the use of the market to solve the problem of insufficient consumer goods
 he told the congress of people 's deputies on may N we do not share this approach since it would immediately destroy the social situation and disrupt all the processes in the country
 having rejected central economic planning for economic reasons and the market for fear of the social political consequences mr. gorbachev seeks a third way that would combine the discipline and controls of the former with the economic benefits of the latter
 most important this would leave the party intact and its monopoly of political power largely <unk>
 indeed mr. gorbachev 's proposals display a close conceptual <unk> to the <unk> of italian <unk> whose architects spoke specifically of a third way of having produced a historic <unk> of socialism and capitalism
 they too promised to combine economic efficiency with order and discipline
 the emergence of russian <unk> had been anticipated in journalist george urban 's introduction to a series of <unk> can the soviet system survive reform published this spring
 communism will reach its final stage of development in a <unk> <unk> <unk> in form <unk> in content and <unk> in style that will <unk> the world with <unk> <unk> of <unk> and <unk>
 the <unk> concept of <unk> <unk> an organic society in which citizens were <unk> and morally unified and prepared to sacrifice themselves for the nation
 this unification was to be brought about through policies and institutions that would <unk> workers and employers with government in a fully integrated and <unk> society
 the key to the creation of the organic state lay in the formation of natural groups that would <unk> the role of <unk>
 by contrast a parliamentary system based on <unk> political rights and groups was held to cause rather than resolve conflict
 the <unk> of soviet perestroika to the <unk> social blueprint of <unk> was evident when mr. gorbachev presented his economic vision to the soviet congress
 in doing so he neither rejected a socialist planned economy nor embraced the free market
 instead he proposed a <unk> economy in which there would be a <unk> division between state direction of the economy and economic management
 the latter would be undertaken by enterprises joint stock companies and cooperatives
 these would not function <unk> but would act together to form combines unions and associations to tackle problems and coordinate their activities
 mr. gorbachev is in a much stronger position to pursue the <unk> ideal than was <unk> who was never able to influence business giants such as <unk> and fiat
 the soviet communist party has the power to shape corporate development and <unk> it into a body dependent upon it
 to ensure the loyalty of the business sector mr. gorbachev may offer concessions and powers that will allow the business community to preserve its own interests probably by restricting competition
 however mr. gorbachev must ensure that within this alliance the business sector remains subordinate to the party
 at the same time he must give it sufficient freedom to provide the economic benefits so desperately needed
 it is the promise of economic returns that is supposed to make the <unk> model attractive to both the party and labor
 the work force provides the third arm of the alliance
 within the alliance it is supposed to act as a <unk> force <unk> against excessive control by government or abuse of its economic position by business for either could result in a deterioration of its living standards under the new resolutions workers <unk> may demand that a cooperative be closed or its prices be reduced
 by providing workers with the opportunity to move into the private sector where wages tend to be higher and by holding out the promise of more consumer goods mr. gorbachev hopes to revive the popularity of the party
 at the same time the strategy requires that he deal effectively with those who seek genuine western-style political <unk>
 the most important development in mr. gorbachev 's policy for <unk> the opposition movement is the claim that the u.s.s.r. also <unk> from terrorism
 an increasing number of <unk> by the soviet press to opposition groups now active in the u.s.s.r. particularly the democratic union <unk> that they show <unk> <unk> and claim that they would be prepared to kill in order to achieve their aims
 it is possible that in <unk> such <unk> the ground is being laid for the arrest of opposition activists on the ground of terrorism
 mr. gorbachev would appear to see his central task however as that of ensuring that foundations of an alliance among labor capital and the state are properly laid before the demands for a <unk> system reach a <unk>
 if he were able to construct a popular and efficient <unk> system he or his heir would be <unk> to rein in political opposition and to <unk> control in eastern europe
 the weaknesses in his plan do not lie in the political calculations mr. gorbachev is a <unk> political leader perhaps one of the greatest but in its economic prescription
 contrary to widespread belief <unk> failed to live up to his promise to make the trains run on time it is doubtful whether <unk> <unk> will make soviet trains run on time or fill the shops with goods that the consumers so desperately <unk>
 miss brady is deputy director of the russian research foundation in london
 new construction contracting climbed N N in september to an annualized $ N billion with commercial industrial and <unk> contracts providing most of the increase according to <unk> dodge group
 through the first nine months of the year the <unk> total of all new construction was $ N billion flat compared with a year earlier
 the south was off N N after the first nine months while the north central region was up N N
 the northeast and west regions were unchanged
 a small decline in total construction for the entire year is possible if contracting for housing does n't increase in response to this year 's lower mortgage rates said george a. christie vice president and chief economist of dodge the forecasting division of publisher mcgraw-hill inc
 the seasonally adjusted dodge index reached N in september its highest level this year from N in august
 the index uses a base of N in N
 newly contracted residential work edged up N N in september to an annualized $ N billion largely because <unk> building rebounded from a very weak august
 at the end of the third quarter there was still no evidence of renewed home building in response to the midyear decline of mortgage rates mr. christie said
 housing has been weak all year and especially so in the past five months
 contracting for <unk> buildings rose N N in september to an annualized $ N billion
 commercial and industrial construction rose sharply partly because of three large projects each expected to cost more than $ N million
 institutional building such as hospitals and schools eased in september following a surge in august
 although the third quarter was the best so far this year for <unk> building weakness early in the year held the nine-month total to $ N billion up just N N from a year earlier
 <unk> and utility projects also known as <unk> contracting grew N N to $ N billion in september but the nine-month total of $ N billion was down N N from a year earlier
 the sept. N end of the federal fiscal year may have <unk> contractors to get any <unk> road and bridge construction under way before the <unk> ran out mr. christie said referring to threatened N N across-the-board budget cuts
 a monthly construction contract values are reported on an annualized seasonally adjusted basis
 moody 's investors service inc. said it lowered ratings on long-term debt of cs first boston inc. the holding company of wall street giant first boston corp. because of first boston 's aggressive merchant banking risk in highly leveraged takeovers
 in downgrading cs first boston 's subordinated domestic <unk> and swiss debt to single-a-3 from single-a-2 moody 's is matching a move made by the other major credit rating concern standard & poor 's corp. several months ago
 moody 's also confirmed the <unk> rating its highest on cs first boston 's commercial paper or short-term corporate <unk>
 in addition moody 's said it downgraded financiere credit <unk> boston 's senior and subordinated swiss debt to single-a-2 from single-a-1 and lowered financiere <unk> n.v. 's junior subordinated perpetual <unk> guaranteed by financiere credit suisse first boston to single-a-3 from single-a-2
 about $ N million of long-term debt is affected according to moody 's
 a spokesman for cs first boston said we remain committed to a full range of businesses including merchant banking
 we think that the ratings revision is unfortunate but not unexpected
 our commitment to manage these businesses profitably will continue
 first boston 's merchant banking risks mounted last month as highly leveraged campeau corp. first boston 's most lucrative client of the decade was hit by a cash squeeze and the high-risk junk bond market tumbled
 first boston incurred millions of dollars of losses on campeau securities it owned as well as on special securities it could n't sell
 first boston financings for several other highly leveraged clients including ohio <unk> unraveled as the high-risk junk bond market plummeted
 moody 's said its rating changes actions reflect cs first boston 's aggressive merchant banking risk as well as the risk profile of its current merchant banking exposures
 it said cs first boston has consistently been one of the most aggressive firms in merchant banking and that a very significant portion of the firm 's profit in recent years has come from merchant <unk> business
 moody 's believes that the uncertain environment for merchant banking could put pressure on cs first boston 's performance the rating concern said citing continued problems from the firm 's exposures to various <unk> firms and to ohio <unk>
 these two exposures alone represent a very substantial portion of cs first boston 's equity moody 's said
 total merchant banking exposures are in excess of the firm 's equity
 quotron systems inc. plans to cut about N or N N of its N employees over the next several months
 this action will continue to keep operating expenses in line with revenue said j. david <unk> president and chief executive officer of los angeles-based quotron
 the move by the financial information and services subsidiary of citicorp is a response to changing conditions in the retail securities industry which has been contracting since october N 's stock market crash the executive added
 quotron which citicorp purchased in N provides price quotations for securities particularly stocks
 quotron also provides trading and other systems services for brokerage firms and <unk> services
 independent <unk> of financial information including quotron have been under some pressure as the major securities houses try to regain their hold on the production of market data and on the related revenue
 shearson goldman sachs & co. morgan stanley & co. and salomon inc. are discussing formation of a group to sell <unk> data
 the job cuts to be made in a number of areas at various job levels are a streamlining of operations a spokeswoman said
 the company has no immediate plans to close any operations she said but quotron may <unk> some work that it has been doing in-house including <unk> and production of quotron N equipment used in delivering financial data
 the spokeswoman said the move is n't directly a response to quotron 's loss of its two biggest customers merrill lynch & co. and american express co. 's shearson lehman hutton inc. to automated data processing inc. earlier this year
 the spokeswoman noted that last week kidder peabody & co. the securities subsidiary of general electric co. chose a quotron subsidiary to provide <unk> services
 and oct. N quotron said it will market the automated trading system of broker-dealer <unk> government securities inc
 quotron is n't profitable on citicorp 's books because of the interest charges the new york bank holding company incurred in buying the <unk> concern for $ N million says ronald i. <unk> analyst for sanford c. bernstein & co
 but citicorp does view quotron as being crucial to the financial-services business in the 1990s the analyst added
 this past summer quotron sold its <unk> unit <unk> N to phoenix technologies inc. a closely held <unk> firm in valley forge pa
 terms were n't disclosed
 the oakland athletics ' four-game sweep over the san francisco giants in the world series may widen <unk> losses that the abc network will incur on the current final year of its baseball contract
 the N series disrupted by a devastating earthquake and diminished in national interest because both teams came from the san francisco bay area is likely to end up as the <unk> series of this decade and probably since the event has been broadcast
 the first three games were seen by an average of only N N of u.s. homes a sharp decline from the N N rating for last year 's series
 a final ratings tally from a.c. nielsen co. is due today
 the sweep by the <unk> whose <unk> and <unk> <unk> dominated the <unk> giants will only make things worse for abc owned by capital cities\/abc inc
 the network had been expected to have losses of as much as $ N million on baseball this year
 it is n't clear how much those losses may widen because of the short series
 had the contest gone a full seven games abc could have <unk> an extra $ N million in ad sales on the seventh game alone compared with the ad take it would have received for regular prime-time shows
 abc had based its budget for baseball on a <unk> series
 a network spokesman would n't comment and abc sports officials declined to be interviewed
 but some industry executives said abc in anticipation of a four-game sweep limited its losses by <unk> up the number of commercials it aired in the third and fourth games
 a world series <unk> typically carries N <unk> commercials but by the fourth game abc was <unk> in N to N ads to generate extra revenue
 abc 's baseball experience may be of interest to cbs inc. which next season takes over the broadcasting of all baseball playoffs in a four-year television contract priced at $ N billion
 cbs sports president neal pilson has conceded only that cbs will have a loss in the first year
 but other industry executives contend the losses could reach $ N million over four years and could go even higher if the world series end in four-game <unk>
 the series typically is among the <unk> sports events on television
 last year 's series broadcast by general electric co. 's nbc was the <unk> series in four years instead of featuring a major east coast team against a west coast team it <unk> the los angeles <unk> against the losing oakland <unk>
 abc 's hurdle was even higher this year with two teams from the same area
 the series got off to a <unk> start oct. N with a N N rating the next night it drew N N of homes
 then came the earthquake and a damaging delay of N days
 some people had hoped abc 's ratings would go up because of the intense focus on the event in the aftermath of the earthquake
 an analyst 's opinion to that effect even sent capital cities\/abc shares soaring two weeks ago
 but interest instead decreased
 the third game last friday night drew a disappointing N rating
 bargain <unk> helped stock prices break a <unk> losing streak while bond prices and the dollar inched higher
 the dow jones industrial average gained N points to N in light trading after losing more than N points last week
 bond prices continued to edge higher in anticipation of more news showing a slower economy
 although the dollar rose slightly against most major currencies the focus in currency markets was on the beleaguered british pound which gained slightly against the dollar
 trading volume on the new york stock exchange <unk> to only N million shares yesterday as major brokerage firms continued to throw in the towel on program trading
 kidder peabody became the most recent firm to <unk> off stock-index arbitrage trading for its own account and merrill lynch late yesterday took the major step of <unk> the trading strategy even for its clients
 yet that did n't eliminate program trading from the market
 the dow industrials shot up N points in the opening hour at least in part because of buy programs generated by stock-index arbitrage a form of program trading involving futures contracts
 but interest <unk> as the day wore on and investors looked ahead to the release later this week of two important economic reports
 the first is wednesday 's survey of purchasing managers considered a good indicator of how the nation 's manufacturing sector fared in october
 the other is friday 's measure of october employment an indicator of the broader economy 's health
 both are expected to show continued <unk> which would be good for bonds and bad for stocks
 in major market activity stock prices rose in light trading
 but declining issues on the new york stock exchange outnumbered gainers N to N and broader market indexes were virtually unchanged
 bond prices <unk> higher
 the treasury 's benchmark 30-year bond gained about an eighth of a point or about $ N for each $ N face amount
 the yield on the issue slipped to N N
 the dollar gained
 in late new york trading the dollar was quoted at N marks and N yen compared with N marks and N yen friday
 the british pound pressured by last week 's resignations of key thatcher administration officials nevertheless rose monday to $ N from friday 's $ N
 if japanese companies are so efficient why does <unk> transportation co. sometimes need a week just to tell its clients how soon it can ship goods from here to osaka
 why until last spring did the long-term credit bank of japan sometimes take several days to correct <unk> errors in its paper work for international transactions
 because the companies have lacked office computers considered standard equipment in the u.s. and western europe japanese corporations ' reputation as <unk> <unk> is only half right
 their factories may look like sets for a <unk> movie but their offices with rows of <unk> <unk> over <unk> and <unk> are more like scenes from a <unk> novel
 now the personal-computer revolution is finally reaching japan
 <unk> a freight company set up its own software subsidiary this year and is spending nearly a year 's profit to more than double the computer terminals at its main office
 in april the long-term credit bank linked its computers in tokyo with its three american offices
 overall pc sales in japan in the first half of N were N N higher than in the year-earlier period
 combined pc and <unk> use in japan will jump as much as N N annually over the next five years according to some analysts compared with about N N in the u.s.
 and with a labor shortage and intense competitive pressure to improve efficiency more and more japanese companies are concluding that they have no choice
 we have too many people in our home offices says <unk> <unk> the president of the japan management association
 productivity in japanese offices is relatively low
 with japanese companies in a wide range of industries from heavy industry to securities firms increasing their market share world-wide the prospect of an even more efficient japanese economic army may <unk> foreigners
 but it also offers opportunities americans are well poised to supply the weapons
 japan may be a tough market for outsiders to <unk> and the u.s. is <unk> behind japan in certain technologies
 but for now at least americans are far better at making pcs and the software that runs them
 after years of talking about selling in japan more and more u.s. companies are seriously pouring in
 apple computer inc. has doubled its staff here over the past year
 lotus development corp. has slashed the lag between u.s. and japan product <unk> to six months from three years
 <unk> inc. has a bigger share of the <unk> market in japan than at home
 but the japanese have to go a long way to catch up
 typical is one office of the ministry of international trade and industry 's machinery and information industries bureau the main bureaucracy overseeing the computer industry
 personal computer <unk> are lined up on nearly every desk and <unk> copies of nikkei computer crowd magazine <unk>
 but amid the two dozen bureaucrats and secretaries sits only one <unk> pc
 while american pc sales have averaged roughly N N annual growth since N and west european sales a <unk> N N japanese sales were flat for most of that time
 japanese office workers use pcs at half the rate of their european counterparts and one-third that of the americans
 moreover japanese offices tend to use computers less efficiently than american offices do
 in the u.s. pcs commonly perform many tasks and plug into a broad network
 in japan many desktop terminals are limited to one function and ca n't <unk> with other machines
 the market planning and sales promotion office of nomura securities co. for example has more than N computers for its N workers a respectable ratio
 but the machines are n't on employees ' desks they ring the <unk> of the large office
 some machines make charts for <unk>
 others analyze the data
 to transfer information from one to the other employees make <unk> and enter the data <unk>
 to <unk> charts to branch offices they use a fax machine
 meanwhile a woman sitting next to a new fujitsu terminal writes stock-market information on a chart with a pencil and adds it up with a hand <unk>
 in an efficient <unk> the same pc could perform all those tasks
 in the u.s. more than half the pc software sold is either for <unk> or for <unk> analysis according to lotus
 in japan those functions account for only about a third of the software market
 machines dedicated solely to word processing which have all but disappeared in the u.s. are still more common in japan than pcs
 in the u.s. <unk> of the office pcs are <unk> up to some sort of network
 in japan about N N are linked
 computers here are used for data gathering says roger j. <unk> who manages the <unk> group in <unk> & co. 's tokyo office
 some japanese operations such as <unk> rooms may be ahead of their american counterparts he says but basically there 's little analysis done on computers in japan
 of course simply buying computers does n't always solve problems and many american companies have <unk> by purchasing technology they did n't understand
 but healthy skepticism is only a small reason for japan 's pc lag
 various cultural and economic forces have <unk> demand
 because the japanese <unk> is so huge japan has no history of <unk> use and so <unk> <unk> especially among older workers remains a common <unk>
 i have no experience before with such sophisticated machinery says <unk> <unk> a <unk> executive vice president of japan air lines explaining his reluctance before accepting a terminal in his office this summer
 while most american employees have their own private space japanese <unk> usually share large common tables and rely heavily on old-fashioned personal contact
 top japanese executives often make decisions based on consensus and personal relationships rather than complex financial projections and fancy <unk>
 and japan 's management system makes it hard to impose a single integrated computer system <unk>
 besides a computer processing the japanese language needs a huge memory and much processing capability while the screen and printer need far better definition to <unk> accurately the <unk> <unk>
 until recently much of the necessary technology has been unavailable or at least <unk>
 some analysts estimate the average pc costs about N N more in japan than the u.s.
 but the complex language is n't the only reason
 for the past decade nec corp. has owned more than half the japanese pc market and ruled it with <unk> power
 with little competition the computer industry here is inefficient
 the u.s. market too is dominated by a giant international business machines corp
 but early on ibm offered its basic design to anybody wanting to copy it
 dozens of small companies did swiftly establishing a standard operating system
 that <unk> competition and growth allows users to change and mix brands easily and increases software firms ' incentive to write packages because they can be sold to users of virtually any computer
 if a record industry lacked a common standard sony cd owners could listen to a sony version of <unk> 's like a <unk> but not one made for a <unk> player
 that is the state of japan 's computer industry
 nec wo n't release its code and every one of the dozen or so makers has its own <unk> operating system all <unk> with each other
 ibm established its standard to try to stop falling behind <unk> apple computer but nec was ahead from the start and did n't need to <unk> in competitive allies
 meanwhile the big players have n't tried to copy the nec standard
 corporate pride as well as the close ties common among japanese manufacturers help explain why
 most rivals have a working relationship with nec often through <unk> of technology the japan personal computer software association noted recently
 they hesitate to market <unk> machines nec <unk> of such machines and marketing one would jeopardize their relationship
 the result according to many analysts is higher prices and less innovation
 while tens of thousands of software packages using the ibm standard are available in the u.s. they say only about N are written for nec
 a year ago japan 's fair trade commission warned nec about possible violations of <unk> laws for discouraging retailers from discounting
 in japan software is four to five years behind the u.s. because hardware is four to five years behind because nec is enjoying a monopoly complains <unk> <unk> the president of <unk> corp. one of japan 's leading <unk> publishing and software companies
 there are no price wars no competition
 an nec spokeswoman <unk> that prices are higher in japan because customers put a greater emphasis on quality and service than they do in the u.s.
 she adds that some technological advances trail those in the u.s. because the japanese still import basic operating systems from american companies
 but the market is changing
 the government is funding several projects to push pc use
 over the next three years public schools will get N million pcs a <unk> increase from current levels
 in the private sector practically every major company is setting explicit goals to increase employees ' exposure to computers
 toyota motor corp. 's sales offices in japan have <unk> the computers per employee that its own u.s. offices do over the next five years it is aiming for rough parity
 within a year <unk> corp. a major cosmetics company plans to eliminate N <unk> jobs by putting on a central computer network some work such as credit reports currently performed in N separate offices
 by increasing the number of pcs it uses from N to N <unk> <unk> electronics co. of <unk> hopes not only to make certain tasks easier but also to transform the way the company is run
 managers have long been those who <unk> their subordinates so orders would be properly acted on a spokesman says
 but new managers will have to be <unk> and <unk> and for that purpose it is necessary to create an environment where information from both inside and outside the company can be reached easily and also shared
 meanwhile more computer makers now are competing for the new business
 <unk> <unk> corp. a <unk> to the industry fought off a legal challenge and started selling nec <unk> last year
 it has won about N N of the retail pc market
 sony corp. which temporarily dropped out of the pc business three years ago started selling its work station in N and quickly became the leading japanese company in that market
 in a country where <unk> room is scarce laptop machines will take a large portion of the industry 's future growth
 toshiba corp. <unk> open that sector this summer with a <unk> machine that <unk> for less than N yen under $ N one of the smallest cheapest pcs available in the country
 fujitsu ltd. is <unk> the most expensive promotion campaign in its history including a <unk> <unk> at tokyo <unk> for its sophisticated <unk> fm towns machine which it <unk> for everything from <unk> the family <unk> to practicing <unk> bar <unk>
 many of the companies are even dropping their traditional independence and trying to band together to create some sort of standard
 two years ago most of the smaller makers joined under the microsoft corp. <unk> to adopt a version of the american ibm at standard
 that has n't generated much sales but this summer microsoft rallied all the major nec competitors to make their new machines compatible with the ibm <unk> standard
 a healthy <unk> japanese market could also make it far easier for japanese companies to sell overseas where their share is still minimal
 but it could also help american companies which also are starting to try to open the market
 as with many other goods the american share of japan 's pc market is far below that in the rest of the world
 u.s. makers have under N N share compared with half the market in europe and N N at home
 though no formal trade barriers exist the japanese computer industry is difficult for outsiders to enter
 if it were an open market we would have been in in N or N says <unk> pfeiffer who heads compaq computer corp. 's european and international operations
 his company without any major effort sells more machines in china than in japan
 although it has opened a new zealand subsidiary it is still only studying japan the only nation that has n't adopted <unk> specifications
 and because general retail centers such as <unk> have little presence in japan sales remain in the iron grip of established computer makers
 but the americans are also to blame
 they long made little effort here
 ibm though long a leader in the japanese mainframe business did n't introduce its first pc in japan until five years after nec did and that was n't compatible even with the u.s. ibm standard
 apple did n't introduce a <unk> machine one that handles the chinese characters of written japanese until three years after entering the market
 critics also say american companies charge too much
 japan 's ftc says it is investigating apple for allegedly discouraging retailers from discounting
 but the u.s. companies are <unk> their efforts
 apple recently hired its first japanese president <unk> away an official of toshiba 's european operations as well as a whole japanese <unk> team
 earlier this year it introduced a much more powerful <unk> operating system and a <unk> laser printer
 ibm just last year started selling its first machine that could run in both japanese and english and that substantially <unk> <unk> with its american products
 it may take five years to break even in japan says john a. <unk> who runs the <unk> office for <unk> & dodge a u.s. software company
 but it 's an enormous business opportunity
 from a reading of the somewhat <unk> <unk> medical literature on ru-486 the french abortion pill emerges as one of the <unk> <unk> around
 this is not only because it <unk> the <unk> a job at which it actually is not <unk> efficient <unk> only N N to N N of them depending on which study you read <unk> taken in <unk> with the pill boosts the rate to N N
 by contrast surgical abortion is N N effective
 abortion via the pill is far more of an <unk> than conventional surgical abortion
 it is <unk> the abortion part alone lasts three days and the clinical part <unk> a week 's worth of visits bloody one woman in a swedish trial required a <unk> although for most it resembles a <unk> period with bleeding lasting an average of N days and painful many women require <unk> shots to ease them through
 <unk> and <unk> are other common side effects
 timing is of the <unk> with ru-486
 it is most effective taken about a week after a woman misses her <unk> period up through the seventh week of pregnancy when it is <unk> less effective
 that is typically about a <unk> window
 so far all the studies have concluded that ru-486 is safe
 but safe in the definition of <unk> bass of the reproductive health technologies project means there 's been no evidence so far of mortality
 no one has <unk> the long-term effects of ru-486 on a woman 's health or <unk>
 the drug seems to <unk> <unk> for three to seven months after it is taken
 some women clearly have no trouble eventually <unk> again the studies have reported <unk> in their programs
 but there are no scientific data on this question
 rather <unk> <unk> studies reveal that ru-486 can cause birth defects <unk> the british medical journal reported in N
 however dr. <unk> <unk> the french physician who invented ru-486 wrote in a science magazine article last month that the <unk> results could not be <unk> in <unk> and <unk>
 the drug has a <unk> structure similar to that of des the <unk> drug that has been linked to <unk> and <unk> cancer in some of the daughters of the women who took it
 all the published studies recommend that women on whom the drug proves <unk> not carry the pregnancy to term but <unk> a surgical abortion
 a risk of birth defects a sure source of lawsuits is one reason the u.s. pharmaceutical industry is steering clear of ru-486
 one might well ask why bother with this drug at all
 some abortion advocates have been asking themselves this very question
 ru-486 probably represents a technical advance in an area where none is needed or at least not very much said <unk> <unk> president of the national abortion federation at a reproductive health conference in N
 many physicians have expressed concern over the heavy bleeding which occurs even if the drug fails to induce an abortion
 it typically takes from eight to N years to obtain the food and drug administration 's approval for a new drug and the cost of testing and marketing a new drug can range from $ N million to $ N million
 the health and human services department currently <unk> the national institutes of health from funding abortion research as part of its $ N million contraceptive program
 but the population council a <unk> $ N million nonprofit organization that has the backing of the rockefeller and mellon foundations and currently <unk> most u.s. research on <unk> has recently been paying for u.s. studies of ru-486 on a license from its french developer <unk> a joint subsidiary of the german pharmaceutical company hoechst and the french government
 in the year since the pill went on the french market the national organization for women and its <unk> former now president <unk> <unk> 's fund for a <unk> majority have been trying to <unk> the u.s. pharmaceutical industry into getting involved
 its <unk> prediction the pill will be available in the u.s. either legally or illegally in no more than N years
 following the <unk> and <unk> lead has been a generally <unk> press
 a june N article in mother jones magazine is typical of the general level of media ignorance
 for a woman whose period is late using ru-486 means no waiting no walking past picket lines at abortion <unk> and no feet up in <unk> for surgery <unk> health writer <unk> fraser
 it also means she will never have to know whether she had actually been pregnant
 wrong on all counts miss fraser
 ru-486 is being <unk> in france only under strict supervision in the presence of a doctor
 <unk> reportedly has every pill marked and accounted for to make sure none <unk> into the black market
 thus a woman who used ru-486 to have an abortion would have to make three trips to the clinic past those picket lines an initial visit for medical <unk> <unk> and those with previous pregnancy problems are eliminated and to take the pill a second trip N hours later for the <unk> <unk> either via injection or <unk> <unk> and a third trip a week later to make sure she has completely aborted
 furthermore because timing is so critical with ru-486 she will learn via a <unk> examination and <unk> not only that she is pregnant but just how pregnant she is
 no doctor who fears <unk> liability would likely <unk> a <unk> patient to the risk of hemorrhaging
 many women may even see the dead embryo they have expelled a sight the <unk> industry typically <unk> them
 at seven weeks an embryo is about <unk> of an inch long and <unk> human
 at the <unk> of pro-choice members of congress a four-year <unk> bill for title x federal <unk> assistance now contains a $ N million grant for development evaluation and bringing to the marketplace of new improved contraceptive devices drugs and methods
 if this passes a senate version has already been cleared for a floor vote that is likely early next year it would put the federal government into the contraceptive marketing business for the first time
 it also could put the government into the ru-486 business which would please <unk> <unk> at what they view as <unk> in the private-sector drug industry
 we do not know whether ru-486 will be as <unk> as some of the earlier <unk> methods released to <unk> <unk> <unk> from educated people who should have known better
 remember the dalkon shield and the early <unk> pills
 we will not know until a first generation of female guinea pigs all of whom will be more than happy to volunteer for the job has put the abortion pill through the clinical test of time
 mrs. allen is a senior editor of insight magazine
 this article is adapted from one in the october american <unk>
 on june N a major part of our trade deficit went <unk>
 no figure <unk> no <unk> just <unk> improved recording of some of our exports
 the result
 the commerce department found that u.s. exports in N net of imports were <unk> by $ N billion a year and <unk> at the annualized rate of $ N billion in the first quarter of N
 more than half of the newly found net exports were from just a few <unk> categories
 some of the biggest <unk> exporters american <unk> companies for example have yet to be fully included in our export statistics
 nearly N years ago representatives of <unk> companies worked out a plan with the commerce department to improve the data on <unk> exports
 both groups believed that tens of billions of dollars of service exports such as <unk> tourism legal accounting and other professional services <unk> to foreigners financial engineering and construction services and the like were not being counted as exports
 the monthly trade deficit figure is limited to traditional merchandise trade manufactured goods and raw materials
 in the quarterly <unk> report those merchandise trade figures are merged with statistics on exports and imports of services as well as returns on investments abroad by americans and returns on foreign investments in the u.s.
 over time through benchmark surveys the corrected data on service exports and imports have been gathered
 the first three major areas of the service sector to be revamped were expenditures by foreign students in the u.s. net after expenditures by americans studying abroad some exports by professional firms a law firm billing a german client for services <unk> in watching legislation in washington is as much an export as shipment of an american jet engine and improved data from travel and tourism
 in just these three areas the commerce department found $ N billion more exports than previously reported and $ N billion more imports with the net result that the u.s. service surplus in N increased by $ N billion to $ N billion
 combined with <unk> and revisions in other trade areas the value of u.s. net exports that had not previously been recorded was about $ N billion a year
 that means that the u.s. trade deficit was running closer to $ N billion than to $ N billion in N and $ N billion annualized rather than $ N billion in the first quarter of N
 these revised figures also may explain some of the recent strength of the dollar
 the <unk> smaller trade deficit may have been already discounted in the market
 what does this mean for trade policy
 too early to tell but a trade deficit that is significantly smaller than we <unk> does suggest a review of our trade posture
 it does not relieve the need for our <unk> efforts for both goods and services but it does suggest that it is our exports of services and not just borrowing that is financing our imports of goods
 mr. freeman is an executive vice president of american express
 the collapse of a $ N billion labor-management buy-out of united airlines parent ual corp. may not stop some of wall street 's top talent from collecting up to $ N million in fees
 according to one person familiar with the airline the buy-out group led by united 's pilots union and ual chairman stephen wolf has begun billing ual for fees and expenses it owes to investment bankers law firms and banks
 the <unk> even covers $ N million in commitment fees owed to citicorp and chase manhattan corp. even though their failure to obtain $ N billion in bank loans for the buy-out was the main reason for its collapse
 under a merger agreement reached sept. N the ual board agreed to reimburse certain of the buy-out group 's expenses out of company funds even if the transaction was n't completed provided the group did n't breach the agreement
 the failure to obtain financing does n't by itself constitute a breach
 the merger agreement says the buy-out group is entitled to be repaid $ N million in fees for its investment bankers lazard <unk> & co. and salomon brothers inc. and its law firm paul weiss <unk> <unk> & garrison
 the buy-out group is also entitled to $ N million to repay a fund created by the pilots union for an employee stock ownership plan
 in addition to the $ N million for citicorp and chase salomon brothers is also owed $ N million for promising to make a $ N million bridge loan
 a spokesman for the buy-out group was n't immediately available for comment
 separately ual stock rose $ N a share to $ N in composite trading on the new york stock exchange on reports that los angeles investor marvin davis has asked united airlines unions if they 're interested in <unk> with mr. davis in a new bid for ual
 but neither the pilots nor the machinists appear interested and mr. davis is barred from making a new bid under terms of an agreement he made with ual in september unless ual <unk> an offer below $ N a share
 wall street continued to buckle under the public outcry against computer-driven program trading
 kidder peabody & co. a unit of general electric co. announced it would stop doing stock-index arbitrage for its own account and merrill lynch & co. pulled out of the practice altogether
 at the new york stock exchange which has been <unk> by complaints from angry individual investors and the exchange 's own listed companies chairman john j. phelan jr. held an emergency meeting with senior partners of some of the big board 's N stock specialist firms
 the specialists a trader said were <unk> about mr. phelan 's recent remarks that sophisticated computer-driven trading strategies are here to stay
 many investors blame program trading for wild swings in the stock market including the 190-point plunge in the dow jones industrial average on oct. N
 a specialist is an exchange member designated to maintain a fair and orderly market in a specified stock
 mr. phelan 's meeting with the floor brokers comes as he prepares to explain the exchange 's position on program trading to key congressional regulators in a closed session tomorrow according to exchange officials
 a big board spokesman would only say we 're working the problem and looking at the issue and meeting with a broad number of customers and constituents to get their views and ideas on the issue
 the program-trading outcry was taken to a new level when giant contel corp. said it and N or more of the big board 's listed companies are forming an unprecedented alliance to complain about the exchange 's role in program trading
 the decision by merrill the nation 's largest securities firm represents the biggest retreat yet from program trading
 merrill has been the <unk> stock-index arbitrage trader on the big board this year executing an average of N million shares a month in such trades or about one million shares a day
 merrill 's move is one of the most sweeping program-trading <unk> of recent days because the big securities firm will no longer execute stock-index arbitrage trades for customers
 most wall street firms in pulling back have merely stopped such trading for their own accounts
 merrill has been one of the main firms executing index arbitrage for customers
 merrill also said it is lobbying for significant regulatory controls on program trading including tough margin or <unk> requirements and limits on price moves for <unk> financial futures
 merrill in a statement by chairman william a. <unk> and president daniel p. <unk> said index arbitrage has been clearly identified in the investing public 's mind as a contributing factor to excess market volatility so merrill wo n't execute such trades until effective controls are in place
 in stock-index arbitrage traders buy and sell large amounts of stocks with offsetting trades in stock-index futures and options
 the idea is to lock in profits from short-term swings in volatile markets
 last thursday painewebber group inc. also said it would cease index arbitrage altogether but the firm was n't as big an index <unk> as merrill is
 other large firms including bear stearns & co. and morgan stanley & co. last week announced a <unk> from index arbitrage but only for the firms ' own accounts
 kidder made an abrupt <unk> on program trading yesterday after a special meeting between the firm 's president and chief executive officer michael carpenter and its senior managers
 just a week ago mr. carpenter <unk> defended index arbitrage at kidder the most active index-arbitrage trading firm on the stock exchange this year
 index arbitrage mr. carpenter said last week does n't have a negative impact on the market as a whole and kidder 's customers were sophisticated enough to know that
 but yesterday mr. carpenter said big institutional investors which he would n't identify told us they would n't do business with firms that continued to do index arbitrage for their own accounts
 we were following the trend of our competitors who were under pressure from institutions he said
 kidder so far this year has executed a monthly average of N million shares in index-arbitrage trading and is second only to morgan stanley in overall program trading which includes index arbitrage
 most of kidder 's program trading is for its own account according to the new york stock exchange
 kidder denied that ge 's chairman and chief executive john f. welch had anything to do with kidder 's decision
 but at least one chief executive said he called mr. welch to complain about kidder 's aggressive use of program trading and other market sources said they understood that mr. welch received many phone calls complaining about kidder 's reliance on index arbitrage as a major business
 kidder has generally been sensitive to suggestions that ge makes decisions for its kidder unit
 our decision had nothing to do with any pressure mr. welch received mr. carpenter said
 this was a kidder peabody <unk> decision
 a spokeswoman for ge in fairfield conn. said absolutely no one spoke to jack welch on this subject and added anyone who claims they talked to jack welch is n't telling the truth
 supporters of index arbitrage have n't been publicly sticking up for the trading strategy as some did during the post-crash outcry of N
 but merrill lynch in its statement about pulling out of index arbitrage suggested that the current debate has missed the mark
 merrill said it continues to believe that the causes of excess market volatility are far more complex than any particular computer trading strategy
 indeed there are legitimate hedging strategies used by managers of large portfolios such as pension funds that involve program trading as a means of protecting the assets of their pension beneficiaries
 merrill 's index arbitragers will continue to do other kinds of <unk> program trading so there probably wo n't be any layoffs at the firm people familiar with merrill 's program operation said
 meanwhile bear stearns chairman and chief executive alan c. greenberg said his firm will continue stock-index arbitrage for its clients
 at the firm 's annual meeting last night he told shareholders that index arbitrage wo n't go away despite the public outcry
 if they think they are going to stop index arbitrage by causing a few wall street firms to quit they are crazy mr. greenberg said
 it 's not going to stop it at all
 mr. greenberg noting that stock-index arbitrage rises and <unk> with stock market 's volatility said that for the first four months of the firm 's fiscal year beginning in july stock-index arbitrage had been a break-even proposition for bear stearns
 in response to a shareholder 's suggestion mr. greenberg agreed that european firms will simply pick up the index-arbitrage business left behind by u.s. institutions
 pressure from big institutional investors has been the major catalyst for wall street 's program-trading <unk>
 and there was speculation yesterday that fidelity investments and other large mutual-fund companies might soon follow the lead of kemper corp. and other institutions in cutting off trading business to securities firms that do program trading
 a fidelity spokesman in boston denied the speculation saying the program-trading issue was more of a regulatory problem
 but a much smaller mutual fund company the <unk> investment management co. unit of <unk> san antonio texas said it informed nine national brokerage firms it will cease business with them unless they stop index-arbitrage trading
 <unk> with N mutual fund accounts manages more than $ N billion $ N billion of which is in the stock market
 michael j.c. roth <unk> executive vice president called program trading <unk>
 he said there is no valid investment reason for stock-index futures to exist
 a <unk> move is clearly on
 charles wohlstetter chairman of contel who is helping <unk> the alliance of big <unk> firms said he had no time to work yesterday because he received so many phone calls <unk> and letters supporting his view that the big board has been turned into a gambling casino by program traders
 we are reaching the moment of truth on wall street said rep. edward j. markey d. mass. chairman of the house subcommittee on telecommunications and finance
 wall street is beginning to realize as shakespeare said the trouble is not in our stars but in ourselves
 craig <unk> and anne <unk> contributed to this article
 an ancient <unk> <unk> <unk> or drinking cup was recovered <unk> at sotheby 's this spring and has been returned to the manhattan couple who lost it in a <unk> three years ago
 robert guy an associate <unk> at the princeton art museum was <unk> a june <unk> sale at the auction house when he recognized the <unk> which he as a specialist in <unk> <unk> and a careful reader of the stolen art alert in <unk> reports knew was stolen
 the timing of his visit was <unk> the man who had brought it in for an estimate had returned to collect it and was waiting in the hall
 to confirm mr. guy 's <unk> sotheby 's and <unk> exchanged photos by fax and the waiting man apparently innocent of knowledge that the <unk> was stolen agreed to release it
 the cup had been insured and in short order it was given over to a <unk> & son representative
 the original owners <unk> repaid the claim and took their <unk> home
 a former <unk> of the museum of <unk> art in <unk> <unk> n.y. pleaded guilty in july to stealing and selling original signed and dated comic strips among them N dick <unk> strips by <unk> gould N prince <unk> sunday <unk> by <unk> foster and a dozen walt disney <unk> <unk> according to barbara hammond the museum 's director
 he sold them well below market value to raise cash to pay off mounting credit-card debts incurred to buy presents for his girlfriend his attorney philip russell told <unk>
 the <unk> <unk> sherman <unk> of greenwich conn. had worked his way up from <unk> in seven years at the museum
 the theft was discovered early this year soon after ms. hammond took her post
 sentencing was postponed on aug. N when mr. <unk> was <unk> for depression
 his efforts to get back the stolen strips had resulted in recovery of just three
 but on oct. N he had reason to <unk>
 two days earlier his attorney met in a park avenue law office with a <unk> dealer who expected to sell N of the most important stolen strips to mr. russell for $ N
 instead new york city police seized the stolen goods and mr. <unk> avoided jail
 he was sentenced to N hours of community service and <unk> to the museum of $ N
 authorities at london 's <unk> airport are investigating the disappearance of a paul <unk> <unk> young <unk> woman in a red <unk> that has two <unk> on its <unk> opposite side
 valued at $ N million it was part of a <unk> shipment
 the <unk> number was changed en route and paper work showing that the <unk> had cleared customs was <unk> so it was a week before three of the four <unk> could be located in a <unk> warehouse and the <unk> discovered missing
 although <unk> authorities have been watching a group of allegedly <unk> <unk> <unk> for some time the <unk> may be lost
 chief inspector peter <unk> of the criminal investigation department at the airport said it is not uncommon for property to be temporarily <unk> or <unk>
 officials at the university of virginia art museum certainly would agree
 their museum had purchased an <unk> <unk> column <unk> and shipped it from london
 it was reported stolen in transit en route to washington d.c. in february
 months later the <unk> <unk> arrived in good condition at the museum in <unk> having <unk> traveled by a <unk> route through <unk>
 two mexican college <unk> not professional art thieves have been arrested for a N christmas <unk> <unk> from the national museum of <unk> in mexico city
 about N <unk> <unk> <unk> and <unk> <unk> including some of mexico 's best-known <unk> <unk> were taken
 the government offered a reward for the return of the <unk> but routine police work led to the recovery
 as it turned out carlos <unk> <unk> and <unk> <unk> garcia had hidden the haul in a <unk> in the <unk> family 's home for a year
 then they took the art to <unk> and began to trade some of it for cocaine
 information from an arrested drug <unk> led to the two men and the recovery of almost all the stolen art
 among other happy news <unk> from the german democratic republic the leipzig museum of fine arts announced that it has recovered cemetery in the snow a painting by the german romantic <unk> <unk> david <unk>
 the artist 's <unk> subjects bring high prices on the world market and the u.s. state department notified <unk> of the theft in february N
 according to a source at the east europe desk two previously convicted <unk> were charged tried convicted and sentenced to prison terms of four and N years
 the precious <unk> cut from its frame at the time of the theft was found in nearby <unk> hidden in the <unk> of an easy chair in the home of the girlfriend of one of the thieves
 no charges were brought against her
 <unk> <unk> painting is meant to fool the eye but robert lawrence trotter N of <unk> square pa. took his <unk> seriously
 he painted one himself in the style of john <unk> and sold it as a <unk> original to <unk> dealers in <unk> conn
 mr. trotter 's painting showed a wall of wood boards with painted <unk> tacked down in a <unk> <unk> behind the <unk> were <unk> <unk> faded and <unk> papers and currency
 mr. trotter 's fake <unk> was offered at a bargain price of $ N with a phony story that it <unk> to his wife 's late <unk> in new <unk> conn
 the dealers immediately showed their new acquisition to an expert and came to see it as a fake
 they persuaded mr. trotter to take it back and with the help of the fbi taped their conversation with him
 after his arrest the <unk> admitted to <unk> and selling other paintings up and down the eastern <unk>
 ms. <unk> is executive director of the international foundation for art research <unk>
 ford motor co. said it is <unk> about N of its <unk> <unk> because the <unk> <unk> was improperly applied to some cars
 separately ford and mazda motor corp. 's u.s. sales arm said they are <unk> about N <unk> mercury <unk> and N N N and N model mazda <unk> equipped with <unk> <unk> engines to replace the oil <unk> cap
 mazda makes the <unk> for ford
 as a result of the <unk> problem on the ford <unk> <unk> <unk> may easily separate from the car during <unk> impact the u.s. auto maker said
 when properly applied the <unk> is designed to retain the <unk> in place in a crash test at N miles per hour
 a ford spokesman said the dearborn mich. auto maker is n't aware of any injuries caused by the <unk> problem
 ford said owners should return the cars to dealers so the <unk> can be removed and <unk> <unk>
 mazda and ford said a combination of limited <unk> <unk> and improper maintenance could cause engine oil in some of the mercury <unk> and mazda <unk> to <unk> more rapidly than normal causing increased engine noise or reduced engine life
 they said the problems are n't safety related
 both companies will replace the oil <unk> cap with a <unk> oil <unk> cap
 both also will <unk> and replace if necessary oil filters and oil <unk> at no charge to owners
 for owners who have followed the recommended oil maintenance schedule mazda will extend to five years or N miles the warranty term for engine damage due to <unk> engine oil deterioration
 the normal term for the N and N model N is two years or N miles the term for the N N is three years or N miles
 ford said the term on its warranty is already six years or N miles
 separately ford said it will offer $ N cash rebates to buyers of its <unk> ford <unk> sport utility vehicle
 it said it will also offer buyers the option of financing as low as N N on <unk> loans
 ford also offered the low financing rate option on <unk> <unk> which previously carried a $ N cash discount
 ford said the new offer will begin saturday and run indefinitely
 the supreme court agreed to decide whether the federal pension benefit guaranty corp. may require ltv corp. to <unk> funding responsibility for a $ N billion <unk> in the company 's pension plans
 the high court 's decision expected next spring may affect the stability of many large corporate pension plans that have relied on the availability of pension insurance provided by the federal pension regulatory and insurance agency
 the agency which is funded through insurance premiums from employers <unk> pension benefits for some N million private-sector workers who take part in <unk> pension plans
 it recently reported assets of $ N billion and liabilities of $ N billion
 in its appeal to the high court the agency said the federal appeals court ruling which favored ltv threatened to transform the agency from an insurer of troubled pension plans into an <unk> source of industry <unk>
 the ruling also may determine how quickly ltv is able to complete its chapter N reorganization
 ltv filed for protection under chapter N in federal bankruptcy court in N
 the filing was partly the result of the $ N billion <unk> in ltv 's three pension plans operated for its ltv steel co. subsidiary 's employees
 in january N as ltv steel continued operating while under reorganization the agency terminated the three ltv pension plans to keep its insurance liability from increasing
 termination means that the agency 's insurance assumes the liabilities and pays the pension benefits already owed under the plans but workers do n't <unk> new benefits
 a few months later under pressure from the united steelworkers of america ltv instituted a new program to provide retirement benefits similar to those in the terminated plans
 because the federal pension agency had taken over the old plans ltv would be responsible only for benefits paid under the new pension plans
 but the agency viewed the creation of the new plans as an abuse of federal pension law and an attempt to transfer the liability of the $ N billion <unk> from ltv to federal insurance
 the agency also concluded that ltv 's financial status had improved while it was under reorganization
 in september N it ordered ltv to <unk> liability and funding for the three original plans
 ltv challenged the order and a federal district court in new york in june N ruled that the agency improperly ordered ltv to <unk> responsibility for the plans
 in may a federal appeals court in new york agreed that the agency acted <unk>
 the appeals court said there was no evidence that congress intended to allow the pension agency to consider a company 's creation of new benefit plans as a basis for ordering that company to <unk> liability for old plans
 the appeals court also said the agency had to consider a company 's long-term ability to fund pension plans not just short-term improved financial status
 in dallas ltv said that it was disappointed that the court agreed to hear the case because it believes the move will further delay its chapter N proceedings
 the company has n't been able to come up with a reorganization plan in part because of the sizable disagreement with the pension agency
 but ltv a steel aerospace and energy concern said it is confident that the supreme court will <unk> the <unk> decisions and said it expects to continue discussions with the agency about a settlement while the case is being reviewed
 pension benefit guaranty corp. vs. ltv corp
 the commercial was absolutely silent
 breaking into the <unk> chicago <unk> <unk> match during last week 's monday night football game it was nothing but simple block letters <unk> on the tv screen
 due to the earthquake in san francisco nissan is donating its commercial air time to broadcast american red cross emergency relief messages
 please contribute what you can the ad said
 the nissan <unk> <unk> on the screen for a moment and then came a taped plea for donations from former president reagan followed by the silent print telling viewers where to call
 within two hours viewers pledged over $ N according to a red cross executive
 call it disaster marketing
 nissan motor is just one of a slew of advertisers that have <unk> their ads to the devastating san francisco quake and hurricane hugo
 sometimes the ads attempt to raise money always they try to boost good will
 by advertising disaster relief these companies are hoping to don a white hat and come out a hero
 but the strategy can <unk> if the ads appear too <unk> the companies may end up looking like rank <unk> instead of good <unk>
 that has n't <unk> plenty of companies
 along with nissan grand metropolitan plc 's burger king and new york life insurance have tied ads to red cross donations
 other ads do n't bother with the <unk> a <unk> if <unk> american telephone & telegraph ad that aired sunday <unk> <unk> of the devastation in san francisco and charleston s.c. with interviews of people <unk> how at&t helped
 at nissan we felt we wanted to do something to help them gather money and we had this <unk> on monday night football explains <unk> <unk> a nissan advertising creative manager
 what did we get out of it
 we got some exposure and pretty much good will
 the ads are just the latest evidence of how television advertising is getting faster on the draw
 while tv commercials typically take weeks to produce advertisers in the past couple of years have learned to turn on a <unk> to crash out ads in days or even hours
 the big brokerage houses learned the art of the instant commercial after the N crash when they turned out reassuring ads inviting investors right back into the stock market
 they <unk> out another crop of instant commercials after the sudden market dip a few weeks ago
 nissan created its quake ad in a weekend
 but as advertisers <unk> onto disasters with increasing frequency they risk hurting themselves as much as helping the cause
 they chance <unk> the customers they hope to woo by looking like <unk> <unk>
 people see extra messages in advertising and if a manufacturer is clearly trying to get something out of it if it 's too <unk> then consumers will see through that warns john philip jones chairman of the advertising department at the newhouse school of public communications at <unk> university
 it can <unk> because companies can step across the line and go too far be too <unk> agrees gary <unk> a principal with new england consulting group <unk> conn
 the ultimate form of charity is when you do n't tell anyone
 still he says that only a few of the <unk> campaigns have been <unk> and that the majority have been truly beneficial to the people who need the help
 we do n't consider that <unk> chasing
 the companies running the disaster ads certainly do n't see themselves as <unk> <unk> either
 burger king 's chief executive officer barry <unk> stars in ads saying that the fast-food chain will <unk> N cents to the red cross for every purchase of a <unk> <unk> <unk>
 the campaign which started last week and runs through nov. N with funds earmarked for both the quake and hugo was barry 's idea a spokeswoman says
 barry felt very committed
 he felt we should be giving something back
 while the campaign was mr. <unk> 's idea however he wo n't be paying for it the donations will come out of the chain 's national advertising fund which is financed by the franchisees
 and by <unk> donations on <unk> <unk> a new <unk> line the fast-food chain is trying to push burger king works a sales pitch into its <unk> message
 toyota 's upscale lexus division a sponsor of the world series also put in a plug for red cross donations in a world series game it sponsored
 the world series is brought to you by lexus who urges you to help relieve the suffering caused by the recent earthquake the game announcer said
 and new york life made a plea for red cross donations in newspaper ads in the san francisco area <unk> onto the <unk> of the red cross 's <unk> reputation the red cross has been helping people for N years
 new york life has been doing the same for over N years
 nancy craig advertising manager for the red cross readily admits they 're <unk> on our reputation
 but she has no problem with that she says in the meanwhile they 're helping us
 the red cross does n't track contributions raised by the disaster ads but it has <unk> $ N million since it first launched its hurricane relief effort sept. N
 ad notes
 new account
 <unk> king co. golden valley minn. awarded its $ N million <unk> account to <unk> <unk> <unk> & <unk> a <unk> <unk> iowa division of young & rubicam
 the account had previously been handled by saatchi & saatchi <unk> new york
 tv guide
 <unk> & kennedy <unk> ore. was named to handle the news corp. publication 's $ N million to $ N million <unk> account
 <unk> <unk> <unk> the new york agency that had handled the account since N resigned the account about two weeks ago
 no alcohol
 miller brewing co. will introduce its first <unk> beer jan. N
 the <unk> called miller sharp 's will be supported by ads developed by <unk> <unk> & <unk> milwaukee
 radio
 viacom broadcasting inc. definitively agreed to acquire <unk> am and <unk> in san francisco for about $ N million from pacific fm inc
 the supreme court let stand a new york court 's ruling that the manufacturers of a drug once used to prevent <unk> must share liability for injuries or deaths when the maker of an individual <unk> is unknown
 the high court 's action refusing to hear appeals by several drug companies is likely to have a significant impact at several levels
 the most immediate effect is in new york where former manufacturers of the <unk> drug des the synthetic female <unk> <unk> face the prospect of shared liability for damages in many of the N to N des lawsuits pending in that state
 the lawsuits stemmed from the development of cancer and other problems in the daughters of women who took the drug
 on a broader scale the ruling could encourage other states ' courts to adopt the logic of the new york court not only in des cases but in other <unk> lawsuits as well
 the new york court of appeals ruling parallels a N decision by the california supreme court requiring shared liability among manufacturers for injuries when it ca n't be determined which company is at fault
 paul <unk> a new york lawyer who represents des victims said that before the new york ruling only the states of washington and wisconsin had followed the california decision
 now that the new york decision has been left intact other states may follow suit
 generally when new york and california go one way it has a tremendous influence on other states especially small ones said mr. <unk>
 the high court refused to hear appeals by <unk> drug co. which went out of business in N and was taken over by <unk> <unk> trust <unk> squibb & sons inc. a unit of squibb corp. and eli lilly & co
 the appeals involved des which was approved by the food and drug administration for use from the <unk> until N to prevent <unk> during pregnancy
 in N the fda banned the use of des after studies linked it to cancer and other problems in daughters of women who took the drug
 lawsuits over the harm caused by des have flooded federal and state courts in the past decade
 in many cases the lawsuit was filed long after the drug was used the cancer in the daughters was typically not detected for years and there is no way to prove which of several companies manufactured the <unk> consumed by certain women
 under traditional legal theories inability to prove which company manufactured a drug that caused an injury or death would lead to the lawsuit being dismissed
 but in its ruling last april the new york court said that all producers of the <unk> drug should share liability when the manufacturer of a specific <unk> ca n't be determined
 each company 's share of liability would be based on their share of the national des market
 the new york court also upheld a state law passed in N extending for one year the statute of limitations on filing des lawsuits
 the effect is that lawsuits that might have been barred because they were filed too late could proceed because of the one-year extension
 <unk> drug co. vs. <unk> <unk> squibb & sons inc. vs. <unk> and eli lilly & co. vs. <unk>
 government contractors
 the high court leaving intact a $ N million damage award against general dynamics corp. declined to resolve questions about a legal defense against civil lawsuits often used by government contractors
 last year the supreme court defined when companies such as military contractors may defend themselves against lawsuits for deaths or injuries by <unk> that they were simply following specifications of a federal government contract
 in that decision the high court said a company must prove that the government approved precise specifications for the contract that those specifications were met and that the government was warned of any dangers in use of the equipment
 but last february a federal appeals court in new orleans upheld a damage award against general dynamics rejecting the company 's use of the government contractor defense
 the appeals court said the defense is valid only if federal officials did more than rubber <unk> a company 's design or plans and engaged in a <unk> review and evaluation on a par with a policy decision
 general dynamics appealed to the high court backed by numerous business trade groups arguing that the appeals court definition restricts the defense too severely
 general dynamics was sued by the families of five navy <unk> who were killed in N after they <unk> a <unk> through a <unk> chamber
 the accident was caused by <unk> operation of a <unk>
 a federal district court awarded damages to the families and the appeals court <unk> the award
 general dynamics corp. vs. <unk>
 court in brief
 in other action yesterday the high court
 let stand the mail fraud and conspiracy conviction of john <unk> a former vice president of <unk> <unk> corp. a unit of nestle s.a
 the conviction stemmed from federal charges of consumer fraud for sale of phony <unk> apple <unk> between N and N
 <unk> vs. u.s.
 left intact an award of $ N million in damages against dow chemical co. in the death of an oregon man from exposure to agent orange
 the award was made by a federal court to the widow of a u.s. forest service employee who contracted <unk> 's disease after using <unk> containing agent orange in a <unk> program
 it can be hoped that spanish prime minister <unk> gonzalez will draw the right conclusion from his narrow election victory sunday
 a strong challenge from the far left the communist coalition <unk> <unk> failed to topple him
 he should consider his victory a mandate to continue his <unk> economic reforms and not a demand that he move further left
 if he follows the correct path he may be able to look back on this election as the <unk> mark of <unk> opposition
 the far left had some good issues even if it did not have good programs for dealing with them
 it could point to plenty of <unk> that the spanish economic <unk> so far has failed to cure
 unemployment still is officially recorded at N N the highest rate in europe although actual <unk> may be lower
 housing is scarce and public services the court system schools mail service telephone network and the highways are in <unk> condition
 large pockets of poverty still exist
 the left also is critical of the style of the socialist government a remarkable parallel to the situation in britain
 mr. gonzalez and his colleagues particularly the finance minister carlos <unk> are charged with having abandoned their socialist principles and with having become arrogant <unk> who refuse even to go on television controlled by the state to face their <unk>
 in response to this the socialist prime minister has simply cited his free-market <unk>
 they are very considerable since N when spain joined the european community its gross domestic product has grown at an annual average of N N the fastest in the ec
 in that time more than N million jobs have been created and the official jobless rate has been pushed below N N from N N
 a N N inflation rate dropped below N N
 net foreign investment through august this year has been running at a pace of $ N billion about double the year-earlier rate
 mr. gonzalez also has split with the left in <unk> spain 's nato commitment and in renewing a defense treaty with the u.s.
 mr. gonzalez is not quite a <unk> <unk> revolutionary however
 he did not go as far as he could have in tax reductions indeed he combined them with increases in indirect taxes
 yet the best the <unk> could do was not enough to deter the biggest voting bloc nearly N N from <unk> the direction spain is taking
 now he can go further
 he should do more to reduce tax rates on wealth and income in recognition of the fact that those cuts yield higher not lower revenues
 he could do more to cut public subsidies and transfers thus making funds available for public services <unk> of money for six years
 the voters delivered mr. gonzalez a third mandate for his successes
 they as well as numerous latin american and east european countries that hope to adopt elements of the spanish model are supporting the direction spain is taking
 it would be sad for mr. gonzalez to abandon them to <unk> his foes
 monday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp. freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par
 N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 oh that terrible mr. ortega
 just when american <unk> had pulled the arms plug on the contras and their friend ronald reagan along comes mr. ortega in costa rica this weekend to <unk> into the hands of what are often called conservatives
 conservatives are the <unk> in u.s. politics which always said that mr. ortega and his friends do n't want to hold an election in nicaragua
 liberals are the <unk> that says give peace a chance now they are saying mr. ortega should give them a break <unk> the conservatives ask them to vote for bullets instead of <unk>
 we suspect daniel ortega knows the difference between a <unk> and a strategy
 he knows that making george bush look silly in a photograph with him will trigger <unk> <unk> and that announcing an end to the liberals ' cease-fire will produce mainly their concern over the contras ' military activities in northern nicaragua
 mr. ortega understands better than those who worry about his behavior that what <unk> the sandinista movement is not democratic peace but <unk> <unk>
 it is the presence of internal and external enemies which justifies the need for a large active army that mikhail gorbachev 's soviet union continues to supply with bullets
 annualized interest rates on certain investments as reported by the federal reserve board on a <unk> basis
 a discounted rate
 b week ended wednesday october N N and wednesday october N N
 c yields adjusted for constant maturity
 <unk> corp. said the government of spain approved the marketing of its <unk> <unk> drug to treat kidney cancer
 the biotechnology concern said spanish authorities must still clear the price for the treatment but that it expects to receive such approval by year end
 four other countries in europe have approved <unk> in recent months
 <unk> is currently trying to obtain federal regulatory clearance for u.s. distribution
 the treasury department proposed that banks be required to keep detailed records of international wire transfers which officials believe is the main vehicle used by drug traffickers to move billions of dollars in and out of the u.s.
 in recent testimony on capitol hill treasury officials said they were considering the new reporting requirements and the expected publication of the proposal in the federal register today is the first official step toward creating final regulations
 the treasury is still working out the details with bank trade associations and the other government agencies that have a hand in fighting money laundering
 among the possibilities the treasury is considering are requirements that banks keep records identifying the <unk> and recipients of international wire transfers
 another suggestion would draw banks more directly into tracking down money <unk> by developing a <unk> international wire transfer profile which banks would use to <unk> questionable payments
 but banks may prefer using a profile that targets selected transactions rather than a blanket reporting requirement
 banks now are required only to report cash deposits or withdrawals of $ N or more
 but wire transfers from a standing account including those bigger than $ N are n't reported
 officials believe this has left a <unk> <unk> that illegal drug businesses are <unk>
 authorities estimate that revenues from illegal drugs in the u.s. total about $ N billion annually
 sen. john kerry d. mass. chairman of a senate foreign relations subcommittee that oversees the issue of money laundering criticized the proposal for ignoring wire transfers between foreign banks that are executed and cleared on u.s. wire systems
 the american bankers association did n't have any comment on the plan
 the proposal now enters a <unk> comment period after which the treasury will propose final regulations followed by another comment period
 western union corp. took steps to withdraw its proposed debt swap for $ N million in high-interest notes and said it is looking at other alternatives for refinancing the debt
 western union had said two weeks ago that it might withdraw the pending offer which would have replaced $ N million in so-called reset notes now paying N N annual interest and set to come due in N with two new issues paying lower interest
 yesterday the company said it had filed a request with the securities and exchange commission to withdraw the registration statement regarding the proposed swap
 a western union spokesman citing adverse developments in the market for high-yield junk bonds declined to say what alternatives are under consideration
 but some holders of the western union notes expect the company to propose a <unk> debt swap that will give them a substantial equity stake in the company
 western union has had major losses in recent years as its <unk> business has faltered in the face of competition from facsimile machines and as other business ventures have gone <unk>
 the major question said one holder who asked not to be named is whether new york investor bennett s. <unk> whose <unk> partners controls western union is willing to offer a large enough equity stake to <unk> bondholders into agreeing to a new swap
 the $ N million in notes the largest chunk of western union 's $ N million in long-term debt stems from the company 's major restructuring in december N
 the notes became <unk> when reset provisions allowed their interest rate to be raised to N N last june
 western union had offered to swap each $ N face amount of the notes for six shares of common stock and two new debt issues a $ N note paying an interest rate starting at N N annually and rising in later years due in N and a $ N note due in N paying a fixed rate of N N and including rights protecting a holder against a decline in the trading price of the bond
 western union must make $ N million in interest payments on the reset notes on dec. N and a company spokesman said it fully intends to meet the payments
 but western union has said it must lower the interest rate on its debt to regain full financial health
 genentech inc. said the west german distributor of its heart drug tpa reached a joint marketing agreement with a subsidiary of hoechst ag which makes the rival <unk> agent <unk>
 the biotechnology concern said the agreement between its longtime west german distributor <unk> 's dr. <unk> <unk> <unk> subsidiary and hoechst 's <unk> subsidiary was an attempt to expand the market for <unk> drugs in general
 a genentech spokeswoman said the agreement calls for hoechst to promote tpa for heart patients and <unk> for other <unk> purposes
 investors in the over-the-counter market dumped banking and insurance issues sending the nasdaq composite index lower for the third consecutive session
 all nasdaq industry indexes finished lower with financial issues hit the hardest
 despite some early computer-guided program buying the nasdaq composite fell N to N
 the otc market now has declined in eight of the past N sessions
 the nasdaq bank index fell N to N while the insurance index fell N to N and the other finance index dropped N to N
 the largest financial issues as measured by the nasdaq financial index tumbled N to
 meanwhile the index of the N biggest <unk> stocks the nasdaq N gained N to N
 profit-taking accounted for much of the slide in otc stock prices according to david mills senior vice president of boston company advisers
 he said many portfolio managers whose year-end bonuses are tied to annual performance are selling now rather than risk seeing their gains erode further
 the profit <unk> is definitely going on said mr. mills whose firm manages $ N million for boston co
 tax-loss sellers those investors who sell <unk> stocks so they can <unk> their losses from this year 's income are also getting out mr. mills said
 that 's helping put pressure on both the market 's winners and its losers
 the stocks that have been the best are having big <unk> and the ones that have been the worst are getting clobbered mr. mills said
 he expects the market to sink further and to reach a low sometime next month or in december
 the selling by money managers and individual investors is turning traders bearish as well
 we are advising a lot of our clients to make moves that make sense to them rather than waiting until the last minute because things have been so volatile said william <unk> head of otc trading at a.g. edwards & sons in st. louis
 ralph <unk> head of the otc trading department at smith barney harris upham said many market players are awaiting some resolution of the current debate over program trading
 much of the market 's recent volatility has been blamed on this large-scale computerized trading technique that can send stock prices surging or <unk> in a matter of minutes
 the problem has been particularly damaging to the otc market traditionally a base for the small investor
 weisfield 's surged N to N after agreeing in principle to be acquired by a unit of ratners group for $ N a share
 the stock jumped N N friday when the company announced it was in takeover talks
 ratners and weisfield 's said they expect to sign definitive agreements shortly and to complete the transaction by dec. N
 <unk> federal savings bank advanced N N to N N after it said it is in talks with a possible acquirer
 the bank said the talks resulted from <unk> by its financial adviser
 jaguar assumed its recently <unk> place on the otc most active list as its american depository receipts gained N to N N on volume of N million shares and daimler-benz joined the list of companies interested in the british car maker
 <unk> said it has had talks with jaguar about possible joint ventures
 meanwhile general motors and ford motor continue their pursuit of the company
 ford has acquired more than N N of jaguar 's shares and gm has received u.s. regulatory clearance to buy N N
 <unk> pizza time gained N N to N
 the company reported third-quarter operating profit of N cents a share compared with N cents a share a year earlier
 a third-quarter charge of $ N million related to planned restaurant closings resulted in a net loss for the quarter
 employers casualty which reported a $ N million third-quarter loss late friday fell N N to N N
 the loss was largely due to a $ N million addition to reserves
 employers casualty had a loss of $ N million in the year-earlier quarter
 old stone fell N N to N N
 late friday the company reported a loss of $ N million for the third quarter after earning $ N million a year before
 the loss came after a $ N million addition to loan-loss reserves
 the bank made a $ N million provision in the N quarter
 old stone repeated projections that it will be profitable for the fourth quarter and will about break even for the year
 <unk> lincoln federal savings bank sank N to N N after announcing a <unk> that will change senior management and <unk> the bank 's mortgage business as a separate unit
 the bank also said it will establish a loan-loss reserve of $ N million to $ N million against a construction loan that is in default
 the bank which previously said it was for sale said it has received no offers and that its board will review whether to continue soliciting bids
 medical scientists are starting to <unk> a handful of genes which if damaged <unk> the chaotic growth of cells that <unk> cancer
 scientists say the discovery of these genes in recent months is painting a new and startling picture of how cancer develops
 an emerging understanding of the genes is expected to produce an array of new strategies for future cancer treatment and prevention
 that is for the future
 already scientists are developing tests based on the newly identified genes that for the first time can predict whether an otherwise healthy individual is likely to get cancer
 it 's a <unk> set of <unk> says <unk> vogelstein a johns hopkins university researcher who has just found a gene <unk> to the triggering of colon cancer
 only a decade ago cancer was a black box about which we knew nothing at the <unk> level
 today we know that the accumulation of several of these altered genes can <unk> a cancer and then <unk> it into a deadly state
 scientists call the new class of genes <unk> or simply <unk> genes
 when <unk> normally they make proteins that hold a cell 's growth in check
 but if the genes are damaged perhaps by radiation a chemical or through a chance accident in cell division their <unk> proteins no longer work and cells normally under control turn malignant
 the newly identified genes differ from a family of genes discovered in the early 1980s called <unk>
 <unk> must be present for a cell to become malignant but researchers have found them in normal as well as in <unk> cells suggesting that <unk> do n't cause cancer by themselves
 in recent months researchers have come to believe the two types of cancer genes work in concert an <unk> may turn <unk> cells malignant only after the tumor-suppressor gene has been damaged
 like all genes tumor-suppressor genes are inherited in two copies one from each parent
 either copy can make the proteins needed to control cell growth so for cancer to arise both copies must be <unk>
 a person who is born with one defective copy of a <unk> gene or in whom one copy is damaged early in life is especially prone to cancer because he need only lose the other copy for a cancer to develop
 emerging genetic tests will be able to spot such <unk> individuals <unk> in what some scientists believe is a new age of <unk> cancer <unk>
 bill and <unk> <unk> are among the first beneficiaries of the new findings
 the <unk> mass. couple knew even before <unk> became pregnant in N that any child of theirs had a N N chance of being at risk for retinoblastoma an eye cancer that occurs about once every N <unk>
 mr. <unk> N years old knew he carried a damaged gene having lost an eye to the rare tumor when he was only two months old after his mother had suffered the same fate when she was a baby
 because of the <unk> of the retinoblastoma tumor-suppressor gene it became possible last january to find out what threat the <unk> baby faced
 a test using new genetic <unk> showed that little will <unk> had not inherited a damaged retinoblastoma <unk> gene and therefore faced no more risk than other children of developing the rare cancer
 it made our new year says mr. <unk>
 this test was the first to predict <unk> whether an individual could expect to develop cancer
 equally important the initial discovery of the gene that controls <unk> cell growth made by a boston doctor named <unk> <unk> has opened a field of cancer study which in recent months has exploded
 it turns out that studying a <unk> but uncommon tumor made possible some fundamental <unk> about the most basic workings of cancer says samuel <unk> director of the national cancer institute
 all this may not be obvious to the public which is concerned about advances in treatment but i am convinced this basic research will begin showing results there soon
 to date scientists have <unk> two of these <unk>
 dr. <unk> made his retinoblastoma discovery in N
 then last spring researchers reported finding a gene called p53 which if <unk> turns healthy colon cells <unk>
 soon after that report two other research teams uncovered evidence that the same damaged p53 gene is present in tissue from lung and <unk> cancers
 colon lung and <unk> cancers are the most common and <unk> forms of the disease <unk> killing almost N americans a year
 right now about a dozen laboratories in the u.s. canada and britain are racing to <unk> other suspected <unk> genes
 they have about seven candidates
 researchers say the <unk> of tumor-suppressor genes alone or in combination appears crucial to the development of such <unk> as cancer of the brain the skin kidney <unk> and <unk>
 there is evidence that if people <unk> defective versions of these genes they are especially prone to cancer perhaps explaining finally why some cancers seem to <unk> certain families
 the story of tumor-suppressor genes goes back to the 1970s when a <unk> named alfred g. <unk> jr. proposed that retinoblastoma stemmed from two separate genetic defects
 he <unk> that in the eye cancer an <unk> inherited a damaged copy of a gene from one parent and a normal copy from the other
 the tumor he suggested developed when the second normal copy also was damaged
 but there was no way to prove dr. <unk> 's <unk> theory
 back then scientists had no way of <unk> out specific genes but under a <unk> they could see the N <unk> of <unk> in the cells that contain the genes
 occasionally gross chromosome damage was visible
 dr. <unk> found that some children with the eye cancer had inherited a damaged copy of chromosome no. N from a parent who had had the disease
 under a <unk> he could actually see that a bit of chromosome N was missing
 he assumed the missing piece contained a gene or genes whose loss had a critical role in setting off the cancer
 but he did n't know which gene or genes had disappeared
 then a scientific team led by <unk> <unk> webster <unk> then at the university of utah found the answer
 the team used a battery of the newly developed gene <unk> <unk> of genetic material that can track a gene 's presence in a cell
 by analyzing cells <unk> from eye <unk> they found defects in the second copy of chromosome N in the exact area as in the first copy of the chromosome
 the finding <unk> medicine
 it was the first time anyone had showed that the loss of both copies of the same gene could lead to the <unk> of a cancer
 it was extraordinarily satisfying says dr. <unk> now at fox chase cancer research center in philadelphia
 i was convinced that what was true of retinoblastoma would be true for all cancers
 it was an <unk> claim
 but in baltimore dr. vogelstein a young <unk> <unk> at johns hopkins medical school believed dr. <unk> was right and set out to repeat the <unk> experiment in cells from other cancers
 his was one of two research teams in N to report dual chromosome losses for a rare <unk> cancer of the kidney called <unk> 's tumor
 dr. vogelstein next turned his attention to colon cancer the second biggest cancer killer in the u.s. after lung cancer
 he believed colon cancer might also arise from multiple hits on cancer <unk> genes because it often seems to develop in stages
 it often is <unk> by the development of <unk> in the <unk> which in some cases become increasingly malignant in <unk> stages <unk> from less severe to deadly as though a cascade of genetic damage might be <unk>
 dr. vogelstein and a <unk> student eric <unk> began months of <unk> and often frustrating probing of the <unk> searching for signs of genetic damage
 they began <unk> a confusing variety of genetic <unk> some existing only in benign <unk> others in malignant cells and many in both <unk> and malignant cells
 gradually a <unk> picture of cancer development emerged
 if both copies of a certain gene were knocked out benign <unk> would develop
 if both copies of a second gene were then <unk> the <unk> would progress to <unk>
 it was clear that more than one gene had to be damaged for colon cancer to develop
 their report galvanized other <unk> <unk>
 it was the confirming evidence we all needed that gene losses were critical to the development of a common tumor says ray white at howard hughes medical institute in salt lake city
 but dr. vogelstein had yet to <unk> the identity of the gene that if damaged <unk> a colon cell into <unk> <unk>
 they focused on chromosome N
 for months the johns hopkins researchers using gene <unk> <unk> <unk> down the length of chromosome N looking for the smallest common bit of genetic material lost in all tumor cells
 such a piece of dna would probably constitute a gene
 when they found it last winter dr. vogelstein was dubious that the search was over
 his doubts stemmed from the fact that several years earlier a princeton university researcher arnold levine had found in experiments with mice that a gene called p53 could transform normal cells into <unk> ones
 the <unk> dr. vogelstein found was in exactly the same spot as p53
 but mr. levine had said the p53 gene caused cancer by promoting growth <unk> the johns hopkins scientists were looking for a gene that <unk> growth
 despite that when the johns hopkins scientists compared the gene they had found in the human cancer cells with the mr. levine 's p53 gene they found the two were identical it turned out that in mr. levine 's cancer studies he had <unk> been <unk> a damaged form of p53 a <unk> gene
 the discovery suddenly puts an <unk> gene right in the <unk> of cancer formation says robert <unk> a leader in <unk> research at <unk> institute in cambridge mass
 evidence now is emerging that the p53 <unk> gene is involved in other cancers too
 researchers in <unk> scotland have found that in N of N <unk> <unk> one copy of chromosome N was <unk> at the spot where gene p53 lies
 the scientists say that since <unk> cancer often strikes multiple members of certain families the gene when inherited in a damaged form may <unk> women to the cancer
 the p53 gene has just been <unk> in lung cancer
 in a report out last week john <unk> and colleagues at the national cancer institute say that about half the cells taken from lung cancer tissue they tested are missing this gene
 there also are reports from several labs as yet unpublished of missing p53 genes in tissue taken from kidney brain and skin cancers
 at the same time the johns hopkins team and others are rushing to pinpoint other tumor-suppressor genes
 dr. vogelstein hopes soon to <unk> one on chromosome N also involved in colon cancer
 ray white in utah and walter <unk> a researcher in great britain are close to finding another gene involved with some types of colon cancer thought to be on chromosome N
 dr. <unk> believes people who <unk> a defective gene somewhere on one of their two copies of chromosome N are especially prone to lung cancer
 recently he and others reported that the retinoblastoma <unk> gene may also be involved in some lung cancers as well as several other more common cancers too
 where these <unk> will lead scientists can only speculate
 already two major pharmaceutical companies the squibb unit of bristol-myers squibb co. and <unk> <unk> inc. are <unk> with gene <unk> to turn the anticipated cascade of <unk> into <unk> tests and maybe new <unk>
 some researchers say new cancer drugs to slow or reverse tumor growth may be based on the <unk> proteins normally produced by the genes
 the idea would be to <unk> to patients the <unk> proteins made by healthy versions of the damaged genes
 it may even be possible to replace defective genes with healthy versions though no one has come close to doing that so far
 in any case says dr. <unk> of the national cancer institute we 're <unk> the discovery of one of the most important steps in the <unk> of cancer
 many investors give michael foods about as much chance of getting it together as <unk> <unk>
 but now at least there 's a <unk> of hope for the stock
 burger king which breaks thousands of fresh eggs each morning is quietly switching over to an alternative egg product made by michael foods
 known as easy eggs the product has disappointed investors
 when the company this month announced <unk> sales of easy eggs the stock dropped nearly N N
 michael wo n't confirm the <unk> of any easy egg customers nor will it say much of anything else
 two minneapolis shareholder suits in the past month have accused top officers of making various <unk> statements
 these <unk> suits accuse the officers of failing to disclose that easy eggs were unlikely to sell <unk> enough to justify all of michael 's production capacity
 but at least burger king has signed on and says that by year end it wo n't be using any shell eggs
 the miami fast-food chain owned by grand metropolitan of britain expects to consume roughly N million pounds of <unk> eggs annually
 so there is reason to believe that michael 's hopes for a <unk> <unk> egg were n't all <unk>
 easy eggs are <unk> in a <unk> process
 still caution is <unk>
 a company official says michael 's break-even volume on easy eggs is around N million pounds a year apparently well above current shipments and a far cry from what the company once suggested was a <unk> market waiting for such a product
 perhaps to <unk> the analysts ' talk of <unk> michael today will take some of the skeptics on a tour of its new <unk> minn. plant
 there has been no announcement of the burger king arrangement by either party possibly for fear that mcdonald 's and other fast-food rivals would seize on it in <unk> advertising
 but burger king operators <unk> confirm using michael 's product
 other institutional users reportedly include <unk> which is moving away from fresh eggs on a <unk> basis
 the extent of <unk> 's use is n't known and <unk> officials could n't be reached for comment
 michael foods has attracted a good many <unk> the people who sell borrowed shares in a bet that a stock price will drop and allow the return of cheaper shares to the lender
 many analysts question management 's credibility
 the stock in my opinion is going to go lower not only because of disappointing earnings but because the credibility gap is certainly not closing says l. craig <unk> of <unk> <unk>
 mr. <unk> says that at a recent <unk> conference in new york he asked michael 's chief executive officer if the fourth quarter would be down
 the ceo richard g. <unk> replied yes but would n't elaborate
 the company did n't put out a public announcement
 a spokesman said later that mr. <unk> was being conservative in his estimate
 but the spokesman added that while michael will earn less than last year 's $ N a share it thinks street estimates of $ N or so are low
 analyst robin young of john <unk> & co. minneapolis calls himself the last remaining bull on the stock
 he argues that michael foods is <unk> this is a growth company in the packaged food industry a rare breed like finding a white <unk>
 earnings are n't keeping pace he says because of heavy investments in the egg technologies and <unk> costs in its potato business
 mr. <unk> however believes the company 's egg product wo n't help the bottom line in the short run even though it makes sense it 's more convenient and justifies its price which is higher than shell eggs because of health and <unk> concerns
 prospective competition is one problem
 last week a closely held new jersey concern <unk> high-grade egg products co. rolled out an <unk> packaged <unk> item called table ready
 company president steve <unk> says <unk> will be among his clients as well
 michael shares closed at N N yesterday in national over-the-counter trading
 says new york-based short seller mark <unk> in my mind this is a $ N stock
 michael late yesterday announced a $ N million stock buy-back program
 michael which also processes potatoes still relies on <unk> for about a fourth of its sales and nearly half its pretax profit
 but dry growing conditions in the red river valley of minnesota and north <unk> are pushing spot prices of potatoes beyond what michael contracted to pay last spring
 company lawyers recently sent letters to growers saying that michael would take very seriously any effort to <unk> its <unk> potatoes to other outlets
 still analysts believe that profit margins in the potato business will be down again this year
 pierre peladeau a canadian newspaper publisher <unk> in the u.s. figures to become a big player in north american printing and his ambitions do n't end there
 yesterday quebecor inc. a montreal printing publishing and forest-products company <unk> by mr. peladeau agreed to acquire maxwell communication corp. 's u.s. printing subsidiary maxwell graphics inc. for $ N million in cash and securities
 the purchase expected to be completed by year end will make quebecor the second-largest commercial printer in north america behind only <unk> <unk> & sons co. chicago
 the printing customers that quebecor will gain through maxwell graphics include the sunday newspaper supplement parade time sports illustrated and tv guide
 but the transaction is just mr. peladeau 's latest step in a larger design to build quebecor through acquisitions into an integrated paper publishing and printing concern with a reach throughout north america
 he already has achieved <unk> integration on a limited scale quebecor can put a weekly newspaper on almost any quebec <unk> without using outside help from <unk> down the tree to making the newsprint to <unk> it up onto the <unk>
 analysts say quebecor 's purchase is part of a trend toward consolidation in the north american printing industry
 along with <unk> says <unk> <unk> an analyst with <unk> thomson <unk> inc. in montreal quebecor has positioned itself as one of the two key players
 he adds i think this is a great strategic move for quebecor
 they are buying an operation that is running well
 mr. peladeau says he is n't trying to catch up to <unk> which has annual sales of over $ N billion
 size does n't matter mr. peladeau says
 what counts is the bottom line
 some of mr. peladeau 's ventures including an earlier push into the u.s. market have n't paid off on the bottom line
 quebecor started the philadelphia journal a daily tabloid in N and closed it three years later
 the venture cost quebecor $ N million mr. peladeau says
 more recently some former quebecor executives started their own printing company specializing in printing and distributing advertising <unk>
 quebecor still <unk> in the quebec <unk> market while mr. peladeau 's former employees are expanding across canada
 mr. peladeau took his first big gamble N years ago when he took advantage of a strike at la <unk> then montreal 's dominant <unk> newspaper to launch the journal de montreal
 the tabloid 's circulation soared to N but plunged to under N when the la <unk> strike ended
 still mr. peladeau stuck with the venture
 now the journal flush with ads and <unk> profitable is even with la <unk> in weekend circulation and <unk> it N to N every <unk>
 mr. peladeau has never made any <unk> for publishing the tabloid a <unk> mix of crime and sports
 i 've read <unk> he answers critics
 it 's tabloid news from a to z
 quebecor also publishes a second tabloid in montreal the struggling <unk> montreal daily news <unk> in quebec city and <unk> manitoba and dozens of <unk> covering most of quebec
 a series of recent acquisitions made it the dominant magazine publisher in quebec
 after a recent merger it is also the only <unk> distributor of magazines and newspapers in quebec
 finally with maxwell communication the company controls N N of <unk> inc. a quebec city pulp and paper concern
 in yesterday 's accord quebecor agreed to pay $ N million in cash for maxwell graphics and to give maxwell communication a N N stake valued at $ N million in quebecor 's new printing subsidiary
 the new as yet <unk> subsidiary will combine quebecor 's existing printing unit and maxwell graphics
 it will have N plants from coast to coast and $ N billion in annual sales
 quebecor will own N N of the new subsidiary
 <unk> de <unk> <unk> placement the quebec government <unk> agency will pay $ N million for the remaining N N stake in the printing operation
 <unk> peladeau the founder 's son and the executive in charge of the acquisition says quebecor has n't decided how it will finance its share of the purchase but he says it most likely will use debt
 the maxwell deal is quebecor 's second big printing acquisition in just over a year
 last october quebecor bought N canadian printing plants from <unk> inc. a montreal telecommunications manufacturing energy and real estate company
 that purchase doubled quebecor 's annual printing revenue to $ N million
 maxwell 's sale of its u.s. printing unit was expected the last major business to be <unk> of in a major <unk> of assets
 according to its most recent annual report covering the N months ended march N maxwell communication bought $ N billion in assets including macmillan inc. and official airlines <unk> and sold $ N billion in <unk> businesses
 now maxwell founder robert maxwell says he has an appetite for new acquisitions in the u.s. adding that he could spend a good deal more than $ N billion on another u.s. purchase
 in london trading yesterday maxwell communication shares rose nine pence to N pence $ N
 in montreal quebecor 's multiple voting class a stock closed at c$ N us$ N down N canadian cents
 quebecor class b stock closed at c$ N up N canadian cents
 craig <unk> in london contributed to this article
 <unk> searle & co. said the food and drug administration approved the sale of <unk> a <unk> drug developed by a joint venture between searle and a french concern
 searle a unit of monsanto co. said the <unk> <unk> drug <unk> is the first product to reach the market through <unk> pharmaceuticals the u.s. company jointly owned by searle and <unk> a french pharmaceutical concern owned by france 's <unk> s.a
 the u.s. equal employment opportunity commission sued new york state for age discrimination against appointed state judges
 the suit filed in federal court in manhattan charges that new york 's mandatory retirement age of N violates federal law
 separately the commission intervened in a connecticut state judge 's <unk> suit in federal court in new haven
 the commission 's filing in that case challenges connecticut 's mandatory retirement age of N for appointed judges
 the new york suit was filed on behalf of justice <unk> rubin whose appointment to the state appellate division expires at year end and all other judges hurt by the alleged age discrimination
 the suit assigned to federal judge <unk> wood seeks a permanent injunction back pay for judges who have been forced to retire <unk> of retired judges and other <unk> relief necessary to <unk> the effects of new york 's unlawful employment practices
 justice rubin a state judge since N said the <unk> age <unk> the court system because it <unk> the state of experienced judges still capable of serving on the bench
 the issue is n't age age is just a number
 the issue is one of a judge 's experience his <unk> and his physical ability to serve on the bench justice rubin said
 i 've had no problems performing my duties and responsibilities
 because justice rubin turned N on may N he is n't eligible to be <unk> to the bench at the end of the year
 the suit 's impact on new york may be narrow however
 most new york judges are elected and the federal <unk> law does n't apply to elected officials said james l. lee regional attorney for the <unk> in new york
 under new york law elected judges must retire at age N but then can be appointed to two-year terms until they reach N
 a spokeswoman for the state 's office of court administration declined to comment on the suit
 but she said the state currently has N appointed judges who are over N
 in connecticut however most state judges are appointed by the governor and approved by the state legislature
 the parties in the connecticut case have agreed to stay proceedings pending the appeal of another <unk> <unk> case against vermont
 in the vermont case a federal judge ruled that the state 's mandatory age of N for appointed judges was illegal vermont 's appeal of that decision is pending before the u.s. second circuit court of appeals in manhattan
 <unk> <unk> connecticut 's chief court administrator declined to comment on the suit and the <unk> 's intervention
 he said the state has N appointed judges and N trial <unk> who are former judges over age N and serve a restricted role on the bench
 organized crime strike forces likely to be abolished next month
 u.s. attorney general dick thornburgh 's plan to <unk> the N regional <unk> strike forces is expected to go into effect next month despite the opposition of democratic congressional leaders and lawyers in the special units
 the units are <unk> from u.s. attorneys ' offices and focus exclusively on <unk> <unk> cases
 in february mr. thornburgh announced his plan to abolish the units
 he says the <unk> lawyers will work more efficiently under the supervision of u.s. attorneys
 mr. thornburgh will be free to <unk> the strike forces after congress approves a $ N million <unk> for federal law-enforcement and <unk> agencies according to david runkel a justice department spokesman
 the bill is expected to pass in congress next month
 congress temporarily halted mr. thornburgh 's effort with an <unk> resolution that prohibited him from using <unk> funds to implement his plan
 opponents say mr. thornburgh 's plan will <unk> break up longtime tightly <unk> <unk> units that have successfully prosecuted major <unk> figures
 they predict that <unk> activity will increase once the units are <unk> and their responsibilities transferred to u.s. attorneys ' offices
 some former <unk> personnel say the units have already begun to break up
 the eastern district unit in brooklyn n.y. lost seven of its N attorneys this year partly because the lawyers were troubled by the proposed reorganization says <unk> a. <unk> who left the strike force to join morrison cohen singer & <unk> a new york law firm
 those who have left have expressed an opinion that the strike force should continue ms. <unk> says
 but mr. runkel contends there has been no exodus of <unk> lawyers
 he says N lawyers have left and N have been hired since mr. thornburgh announced his plan
 at the time the plan was announced there were N lawyers
 some congressional leaders intend to continue to fight for independent strike forces
 a spokesman for sen. edward m. kennedy d. mass says mr. thornburgh would be required to <unk> the units next year if an proposed omnibus crime bill is passed
 among other things the bill calls for a reorganization of the justice department
 the senate is expected to consider the bill shortly says the senator 's spokesman
 mr. runkel says he doubts mr. kennedy can <unk> enough congressional support to <unk> the justice department
 we will vigorously oppose the bill he says
 i do n't think the reorganization is going to happen
 <unk> & <unk> <unk> lawyers from <unk> firm
 the <unk> new york firm will bring in at least N partners and a not yet determined number of associates from <unk> & <unk> which will <unk> dec. N
 <unk> with N lawyers has lost several partners during the past year
 some <unk> lawyers wo n't be invited to join <unk> & <unk> according to partners at both firms
 <unk> & <unk> managing partner <unk> f. <unk> said the <unk> <unk> will enhance the firm 's corporate and litigation departments
 short <unk> not welcome in texas court
 <unk> hancock a male county court judge in houston refused to let a woman plead guilty to a <unk> charge because her <unk> stopped three inches above her <unk>
 the woman appeared in court thursday to enter her plea but when she started to approach the bench she was stopped by judge hancock
 he told the woman 's lawyer victor <unk> that the short <unk> was inappropriate for a court appearance
 despite mr. <unk> 's protests the judge <unk> her case for nov. N
 kelly <unk> an assistant district attorney who was in the courtroom disputed suggestions the action was <unk> saying she had seen judge hancock turn away male defendants dressed in <unk> tank tops or muscle shirts many times
 judge hancock did n't return phone calls
 warner communications inc. and sony corp. resumed settlement talks on their legal battle over hollywood producers peter guber and jon peters but continued to level strong accusations at each other in legal documents
 warner has filed a $ N billion breach of contract suit in los angeles superior court against sony and the guber-peters duo who in turn are <unk> warner for trying to interfere in sony 's acquisition of columbia pictures entertainment inc. and guber peters entertainment co. in two transactions valued at over $ N billion
 although settlement talks had been dropped attorneys for the two sides apparently began talking again yesterday in an attempt to settle the matter before thursday when a judge is expected to rule on warner 's request for an injunction that would block the two producers from taking over the management of columbia
 yesterday in documents filed in connection with that case warner accused sony officials of <unk> claiming that they never read the five-year contract requiring the two producers to make movies exclusively for columbia citing securities and exchange commission filings made by sony that described the contracts
 warner was referring to documents filed last week in which sony corp. of america vice chairman michael <unk> and walter yetnikoff president of its cbs records unit said they had taken mr. guber and mr. peters at their word when the producers told them that getting out of the contract would be no problem because of a previous oral agreement
 wayne smith an attorney at <unk> dunn & <unk> in los angeles representing sony said the sony executives had n't seen the contract because it was n't relevant once guber and peters told them warner would let them terminate it at any time
 mr. smith said statements about the contract made in sec filings were made by attorneys who did have access to the contracts but who were n't part of the negotiations between sony and the duo
 warner executives also filed new sworn affidavits denying claims by messrs. guber and peters that the two sides had an oral agreement that enabled the producers to terminate their contract with warner should the opportunity to run a major studio come up
 but mr. smith said sony intends to prove that the oral agreement did in fact exist and that even the existing written contract does n't preclude the producers from taking executive posts at another studio
 warner described as nonsense yesterday sony 's <unk> in prior court filings that mr. guber and mr. peters could in theory run columbia while still <unk> their contract to produce movies for warner
 such a dual role would be <unk> and <unk> warner said adding that concept is as silly as suggesting that the head coach of the los angeles <unk> could simultaneously be general manager of the san francisco giants
 warner which is in the process of being acquired by new york-based time warner inc. also said it paid the two producers a fixed annual salary of $ N million
 dataproducts inc. said it filed a lawsuit in delaware chancery court to block a tender offer by dpc acquisition partners alleging that the hostile offer violates a standstill agreement between the two concerns
 dpc an investor group led by new york-based <unk> investment associates had itself filed a suit in state court in los angeles seeking to <unk> the agreement
 earlier this year dataproducts had rejected a $ N a share offer from dpc saying it was n't adequately financed
 dpc last week launched a new $ <unk> offer for the <unk> hills calif.-based computer printer maker
 dpc said it could n't comment on the suit
 boeing co. 's third-quarter profit leaped N N but wall street 's attention was focused on the picket line not the bottom line
 in fact the earnings report <unk> as representatives of the world 's no. N jet maker and the striking machinists union came back to the negotiating table for their first meeting in two weeks
 doug hammond the federal mediator in seattle where boeing is based said the parties will continue to sit down daily until a new settlement proposal emerges or the talks break off again
 despite the progress boeing indicated that the work <unk> now in its <unk> day will have a serious adverse impact on the current quarter
 for the third quarter net rose to $ N million or $ N a share from $ N million or N cents a share
 sales climbed N N to $ N billion from $ N billion as the company capitalized on the <unk> global demand for commercial <unk>
 because it 's impossible to gauge how long the <unk> by N machinists rank and file will last the precise impact on boeing 's sales earnings cash flow and short-term investment position could n't be determined
 the investment community however strongly believes that the strike will be settled before there is any lasting effect on either boeing or its work force
 the company 's total firm backlog of unfilled orders at sept. N stood at a mighty $ N billion compared with $ N billion at the end of
 although the company could see fourth-quarter revenue shrink by nearly $ N billion if it is n't able to deliver any more planes this year those dollars actually would just be deferred until N
 and the company is certain to get out some aircraft with just supervisors and other <unk> employees on hand
 before the union rejected the company 's offer and the strike was launched with the <unk> shift of oct. N boeing had been counting on turning N aircraft out the door in the present period
 that included N of the company 's N jumbo jets its most successful product
 it 's not a pretty picture said david smith an analyst with raymond james & associates
 but it would just mean a great first and second quarter next year
 <unk> <unk> of merrill lynch capital markets added you do n't want to minimize this and say nobody is looking at it
 but the strike has n't gone on long enough for boeing to lose business in any real sense
 that 's the primary reason the company 's share price has held up so well when in mr. smith 's words most companies would have unraveled by now
 in new york stock exchange composite trading boeing closed yesterday at $ N a share off a <unk> N cents
 still boeing went through its normal <unk> <unk> and played up the downside
 in a statement chairman frank <unk> asserted that the company faces significant challenges and risks on both its commercial and government contracts
 for instance he noted that spending on pentagon programs is shrinking and boeing is either the prime contractor or a major supplier on many important military projects including the b-2 <unk> bomber the <unk> <unk> <unk> aircraft and the air force 's <unk> tactical fighter
 because of cost overruns on fixed-price military work mr. <unk> said the company 's defense business will record a significant loss in N
 moreover mr. <unk> added <unk> increases that have been implemented on the N N N and N programs have resulted in serious work force <unk> problems
 suppliers and <unk> are experiencing heightened pressure to support delivery schedules
 and of course there 's the <unk> labor situation
 besides the machinists pact accords representing N of the company 's engineering and technical employees in the <unk> sound and wichita kan. areas expire in early december
 also a contract with the united auto workers at the company 's helicopter plant in philadelphia expired oct. N
 this contract covering about N hourly production and maintenance workers is being extended on a day-to-day basis
 the machinists rejected a proposal featuring a N N base wage increase over the life of the three-year contract plus bonuses of N N the first year and N N the second
 on top of that boeing would make cost-of-living adjustments projected to be N N for each year of the contract
 the union though has called the offer <unk>
 the company reiterated yesterday that it 's willing to <unk> the package but not add to the substance of it
 for the nine months boeing 's net increased N N to $ N million or $ N a share from $ N million or $ N a share
 sales soared N N to $ N billion from $ N billion
 in a separate matter the justice department yesterday said boeing agreed to pay the government $ N million to settle claims that the company provided inaccurate cost information to the air force while negotiating contracts to replace the aluminum <unk> on the <unk> tanker aircraft
 the settlement <unk> to four contracts negotiated from N to N prosecutors said
 they added that the settlement is the culmination of a N 1\/2-year investigation into the company 's aluminum pricing practices in connection with <unk>
 a boeing spokesman responded all along the company has said there was no grounds for criminal prosecution
 that was <unk> out by the justice department 's decision to settle the case
 foothills pipe lines ltd. filed an application with canadian regulators to build a N billion canadian dollar us$ N billion pipeline to transport natural gas from canada 's arctic to u.s. markets beginning in
 the application by foothills owned by calgary-based <unk> corp. of alberta and <unk> energy inc. of vancouver canada is expected to kick off what could be a contentious battle for the right to transport vast quantities of gas to southern markets from <unk> fields in canada 's mackenzie river delta
 this is a <unk> strike by foothills said rick <unk> natural gas manager of the calgary-based independent petroleum association of canada an industry group
 foothills wants to make it clear to other pipeline companies that it 's on first <unk> as <unk> gas from the arctic to southern markets mr. <unk> said
 at least two rival applications are expected to emerge in coming months including one from transcanada pipelines ltd. canada 's largest natural gas pipeline operator
 another is expected from a consortium of oil and gas producers who won conditional approval this month from canada 's national energy board to export about N trillion cubic feet of mackenzie delta gas to the u.s. starting in N
 the producers include shell canada ltd. a unit of royal <unk> group esso resources canada ltd. a unit of imperial oil ltd. which is <unk> by exxon corp. and gulf canada resources ltd. a unit of olympia & york developments ltd
 the national energy board approval of the exports just <unk> the starting flag for the next stage the rush to build facilities to transport the gas said bill <unk> an analyst with brady & <unk> a washington d.c. law firm
 foothills ' main rival to build a mackenzie delta pipeline is likely to be transcanada pipelines
 the toronto-based company together with tenneco inc. of houston has had an incomplete proposal filed with canadian regulators since N that it is now <unk>
 like foothills transcanada 's <unk> gas consortium plans to build a pipeline directly south from the mackenzie river delta in canada 's western arctic with an initial capacity to transport N billion cubic feet of gas daily
 industry sources said they expect a fierce battle to emerge between transcanada which has a monopoly on canadian gas transportation east of alberta and <unk> and <unk> which control the pipelines within and running west of alberta respectively
 this is virgin territory <unk> and it 's going to be nasty said one <unk> who asked not to be named
 neither is going to back down easily
 transcanada declined to comment on the foothills application
 but last week gerald <unk> president and chief executive officer of transcanada said the company intends to be a party to any transportation system that goes up there and that it would consider joint ventures with other players to ensure it has a role
 a number of issues still need to be resolved before canadian regulators give any project the final <unk>
 first the price of natural gas will have to almost double
 kent <unk> president of foothills said the company believes the project would be viable if gas prices reach us$ N a thousand cubic feet by N in current dollars up from a current spot price of about us$ N
 mr. <unk> 's us$ N estimate is somewhat below the $ N floor price that calgary-based consulting firm paul <unk> & co. recently said would be needed for mackenzie delta gas producers to see a return on their investment
 u.s. gas buyers must also decide whether they want to enter firm contracts for mackenzie delta gas or develop alaskan reserves in the <unk> bay area first a project that has been on hold for more than a decade
 robert <unk> chairman and chief executive of foothills said it 's too early to say whether alaskan or mackenzie delta gas would flow to market first
 but foothills said it plans to seek regulatory approval to build an alternative line the alaska natural gas transportation system further north toward alaska
 if that option is favored by gas buyers and regulators foothills said it would build another smaller pipeline connecting mackenzie delta reserves to the alaska <unk>
 it 's also likely that regulators will try to forge some kind of consensus between the would-be pipeline builders before undertaking any hearings into rival projects
 douglas <unk> vice president of shell canada noted that producers would prefer to avoid hearings into competing proposals that would <unk> the regulatory review process and <unk> down development
 <unk> pipe line co. an oil pipeline operator rumored to be <unk> a gas pipeline proposal of its own said that is n't in the cards
 instead richard <unk> president and chief executive of <unk> 's calgary-based parent <unk> energy inc. said the company would prefer to work with other interested parties on a joint proposal
 as for foothills ' <unk> bid mr. <unk> said if they think it gives them some kind of priority position well that 's their strategy
 the federal reserve board said it is delaying approval of first union corp. 's proposed $ N million acquisition of florida national banks of florida inc. pending the outcome of an examination into first union 's lending practices in low-income neighborhoods
 the decision reflects the fed 's tougher stance on <unk> the community reinvestment act a federal law passed in N to help low-income residents obtain loans
 in recent years unions and community groups have won big commitments from banks to make <unk> loans in certain neighborhoods by threatening to hold up proposed acquisitions with protests to the fed about reinvestment act compliance
 few <unk> however have actually delayed or <unk> mergers
 the current dispute involves allegations that charlotte <unk> first union has n't lived up to its responsibilities under the reinvestment act
 during the summer legal services corp. a florida legal aid group filed a petition with the fed on behalf of residents in four florida counties
 the petition challenged first union 's lending record in the state saying that the bank-holding company had shut itself off from contact with the low-income community and is <unk> almost every black neighborhood that it serves in the state
 in deferring action on the merger the fed said the board does not believe that there is sufficient information in the record at this time to allow it to reach a final conclusion on first union 's record of helping to meet the credit needs of the communities it serves in florida and north carolina including low to <unk> neighborhoods in those communities
 the fed said the comptroller of the currency is expected to begin a community reinvestment act examination of first union 's florida and north carolina banking units in the next two weeks
 first union with assets of about $ N billion said it was disappointed by the delay but said it would cooperate with regulatory authorities
 the bank added that it believes the review will demonstrate that first union is in compliance with the requirements of the community reinvestment act
 the company has already missed its initial oct. N target date for completing the merger
 it said yesterday it still expects to close the acquisition later this year or early in N
 florida national if acquired would almost double first union 's banking franchise in florida to $ N billion in assets
 that would make it the second-largest bank after barnett banks inc. in a state widely considered to be the most lucrative banking market in the country
 in new york stock exchange composite trading yesterday first union shares rose N cents to $ N
 florida national stock closed unchanged at $ N in national over-the-counter trading
 earlier this year the fed denied an application by continental bank corp. to purchase grand <unk> state bank in <unk> ariz. on grounds that continental had n't fully <unk> with the community reinvestment act
 at the time the fed said the <unk> the first ever on such grounds signaled the agency 's new emphasis on the community reinvestment act
 eastern airlines ' creditors committee backed off a move to come up with its own alternative proposals to the carrier 's bankruptcy reorganization plans according to sources familiar with the committee
 in a meeting in new york yesterday the committee put on hold instructions it gave two weeks ago to its experts to explore other options for eastern 's future the sources said
 the consultants had been working to finish a report this week
 that means eastern a unit of texas air corp. of houston can go forward with its pitch for creditor approval as early as today when it is expected to deliver a revised reorganization plan to the committee
 the committee intends to meet next week to make a recommendation on the new plan
 in another development yesterday creditors were told that $ N million they had expected to become available for <unk> a reorganization may not <unk> according to one source
 texas air has run into difficulty <unk> about $ N million of debt securities because of problems in the junk bond market the person said
 and plans to raise another $ N million through changes to an insurance policy have hit a <unk> the source said
 an eastern spokesman said the $ N million will have no effect <unk> on the asset structure of eastern 's plan
 <unk> million in the total scheme of things is not that significant
 it is unclear what caused the creditors to do an <unk> on exploring alternatives to eastern 's new reorganization plan
 however since eastern first filed for chapter N protection march N it has consistently promised to pay creditors N cents on the dollar
 because the carrier is still <unk> to do that some committee members successfully argued that there 's little reason yet to explore a different plan according to one person familiar with the creditors ' position
 earlier this month the accounting firm of ernst & young and the securities firm of goldman sachs & co. the experts hired by the creditors contended that eastern would have difficulty meeting earnings targets the airline was projecting
 ernst & young said eastern 's plan would miss projections by $ N million
 goldman said eastern would miss the same mark by at least $ N million
 the consultants maintained eastern would n't generate the cash it needs and would have to issue new debt to meet its targets under the plan
 eastern at the time disputed those <unk> and called the experts ' report completely off base
 yesterday joel <unk> an attorney for eastern 's creditors committee declined to comment on whether the experts had ever been instructed to look at other choices and whether they now were asked not to
 he said only that the committee has not yet taken any position on eastern 's reorganization plan and that the two sides were still negotiating
 in every case people would like to see a <unk> plan he said
 eastern and its creditors agreed in july on a reorganization plan that called for the carrier to sell off $ N billion in assets and to emerge from chapter N status in late N at two-thirds its former size
 eastern eventually decided not to sell off a major chunk its south american routes which were valued at $ N million
 such a change meant the reorganization plan the creditors had agreed on was no longer valid and the two sides had to begin negotiating again
 eastern has publicly stated it is exceeding its goals for getting back into operation and has predicted it would emerge from chapter N proceedings early next year operating more flights than it originally had scheduled
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 new york city
 $ N million of general obligation bonds fiscal N series c and d including $ N million of tax-exempt bonds and $ N million of taxable bonds tentatively priced by a goldman sachs & co. group
 yields for tax-exempt bonds range from N N N in N to N N in N
 yields for taxable bonds range from N N N in N to N N in N and N
 the bonds are all rated single-a by moody 's investors service inc
 the underwriters expect a <unk> rating from standard & poor 's corp. which has the issue under review
 collateralized mortgage securities corp.
 $ N million of remic mortgage securities offered in N classes by first boston corp
 the offering series N is by a company established by first boston for issuing remics and other derivative mortgage securities
 it is backed by government national mortgage association N N N securities with a weighted average remaining term to maturity of N years and being offered at market prices
 beneficial corp.
 $ N million of securities backed by home-equity loans through merrill lynch capital markets
 the offering with an expected average life of N years will float monthly at N basis points above the rate on an index of 30-day <unk> commercial paper which now yields about N N
 the issue has an expected final maturity date of N
 the offering is rated triple-a by moody 's and s&p based on the quality of the underlying home equity loans and a letter of credit covering N N of the deal from union bank of switzerland
 the offering is being made through <unk> home equity loan asset-backed certificates series N
 rochester community savings bank
 $ N million of N N certificates backed by automobile loans priced to yield N N via first boston corp
 the issue through <unk> <unk> <unk> trust was priced at a yield spread of N basis points above the treasury N N N note due july N
 the offering has an expected average life of N years and a final maturity date of may N N
 the issue is rated triple-a by moody 's based on the quality of the underlying auto loans and a letter of credit covering N N of the deal from credit suisse
 south australian government finance authority agency
 N million australian dollars of zero-coupon eurobonds due dec. N N priced at N to yield N N less fees via <unk> bank ltd
 guaranteed by the south australian treasury
 fees N N
 government insurance office of new south <unk> agency
 a$ N million of N N N eurobonds due dec. N N priced at N to yield N less fees via <unk> banking corp
 fees N N
 swedish export credit corp sweden
 N million swiss francs of N N N privately placed notes due sept. N N priced at N N to yield N N via citicorp investment bank switzerland
 call from sept. N N at N N declining by N point a year to to par
 fees N N
 west german insurance giant allianz ag entered the takeover battle between france 's cie financiere de paribas and cie. de navigation mixte
 allianz said it won french government approval to buy as much as one-third of navigation mixte a diversified financial transport and food holding company
 the move comes a week after paribas announced that it was preparing to bid for N N control of navigation mixte
 <unk> allianz 's brief <unk> statement said it is acting to protect its own interests as a shareholder of navigation mixte
 that would be a blow to both paribas and navigation mixte
 each had claimed allianz europe 's largest insurance company as a <unk> ally
 the allianz statement also reinforced the belief that the takeover battle could be a long one
 it led to broad market speculation that paribas now will <unk> its bid which is expected to be formally launched later this week after approval from french government regulators
 allianz 's entry reflects the increasing eagerness of west german companies looking ahead to the reduction in european community internal barriers in N to get involved in what until now were considered internal french affairs
 deutsche bank dresdner bank and commerzbank all also have expressed eagerness to expand in france before N
 dresdner bank this month moved to acquire banque <unk> des <unk> a small french merchant bank that deutsche bank had looked at and passed over
 commerzbank had hoped to buy a stake in credit lyonnais until the <unk> returned to government last year and canceled plans to <unk> the large french bank
 deutsche bank has actively sought a french acquisition for at least two years
 lately analysts say deutsche bank has shocked some in the french financial community by indicating it wants a strong bank with a large number of branches
 we are still looking said a deutsche bank spokesman
 the banks we think would fit into our concept are either government-owned or not for sale though deutsche bank would be able to pay a good price
 while allianz officials were n't willing to comment in any detail on their plans they said allianz currently holds between N N and N N of navigation mixte an apparent increase from the N N stake that navigation mixte officials had earlier announced
 paris market sources said they believed allianz was buying yesterday morning and navigation mixte moved up N francs $ N to close at N francs in heavy trading
 it was the first day of trading following the suspension of navigation mixte shares last monday when paribas announced its plan to pay N francs for each navigation mixte share
 allianz also holds a N N stake in navigation mixte 's insurance subsidiary one of france 's largest insurance groups which it bought for about N billion francs just before paribas launched its bid
 navigation mixte holds the remaining N N
 allianz said in its statement that it was acting to protect that interest which ties it to navigation mixte as a partner
 allianz 's statement stressed the company 's previously announced position that paribas 's offer price is too low
 allianz also suggested without saying so directly that it regrets that paribas is n't bidding for all of navigation mixte 's shares
 the problem here analysts say is that if paribas wins its N N remaining navigation mixte shares will fall in value
 that <unk> many current holders such as allianz which could n't be sure of selling all their shares if they tendered to paribas
 the allianz statement led to speculation that allianz eventually could sell to paribas
 that would be bad news for navigation mixte 's current management which was counting on allianz to help fend off paribas
 allianz did n't say whom if anyone it will support
 it said simply that it will boost its navigation mixte stake as it sees fit over the coming days to protect itself as long as it has french regulatory officials ' approval
 paribas currently intends to offer N francs a share for navigation mixte shares that receive full dividends this year
 it is to offer N francs for shares created on july N which receive partial dividends
 alternatively it would offer to swap three paribas shares for one navigation mixte share
 paribas already holds about N N of navigation mixte and the acquisition of the additional N N would cost it about N billion francs under its current bid
 the bid values navigation mixte at around N billion francs depending on how many holders of navigation mixte warrants exchange them for shares before the bid expires
 penn central corp. cincinnati said it agreed in principle to acquire noranda inc. 's carol cable co. unit for $ N million
 the company said carol cable based in <unk> r.i. is a leading supplier of electrical and electronic wire and cable for the distributor retail and original equipment manufacturer markets
 carol cable which operates N manufacturing plants had operating profit of $ N million on sales of $ N million for the first six months of this year and operating profit of $ N million on sales of $ N million for all of N
 the maker of telecommunications and defense equipment said carol cable 's portfolio and market focus would <unk> the company 's current wire and cable businesses
 the plan is subject to a satisfactory due <unk> investigation of carol cable by penn central a definitive agreement and regulatory approvals
 fletcher challenge ltd. said its <unk> unit agreed to acquire certain alberta oil and gas interests from amoco corp. 's canadian unit for about N million canadian dollars us$ N million
 fletcher challenge a big new <unk> forest products concern with <unk> operations in canada said the assets include stakes in four natural gas fields and one oil field near <unk> alberta plus gas processing facilities and about N acres of undeveloped land
 the proposed purchase requires approval from investment canada which monitors large foreign investments in canada
 amoco canada petroleum co. which operates the major properties included in the asset package said the sale is part of a plan to streamline its assets
 <unk> a new <unk> oil and gas producer said the planned purchase would be its first oil and gas acquisition outside its home country and would form the basis for a new <unk> exploration and production unit in canada
 miniscribe corp. <unk> colo. said it introduced a <unk> high <unk> hard disk drive that it hopes will prove popular with makers of <unk> laptop and portable computers
 the troubled disk drive maker aims with the new N <unk> disks to revive its reputation and sales growth
 miniscribe said the disk drives have more memory capacity than other disks that size
 miniscribe said it expects to begin full volume production of the drives in the u.s. and singapore in the first quarter next year
 a drive with N <unk> of capacity is scheduled for release during the third quarter of N
 miniscribe has been on the rocks since it disclosed early this year that its earnings reports for N were n't accurate
 after an internal investigation the company found that senior officials used a variety of schemes to <unk> sales gains including counting shipments of bricks and defective drives as sales
 the new york times co. said it reached a settlement with independent home delivery dealers in the metropolitan new york area that will free the newspaper to expand home delivery circulation
 the settlement stemmed from a lawsuit the dealers filed in N when the times began its own competing direct delivery service
 the pact calls for the times to pay dealers $ N million over six years as well as other payments in the form of subsidies over three years based on the number of new customers started by the dealers and on pricing structures the times said
 the amount of the settlement will be taken as a charge against earnings in the fourth quarter
 the settlement which involves most of the N independent newspaper dealers in the new york area will allow the times to freely operate its own direct home delivery system
 home delivery is the fastest growing segment of the times 's N million daily circulation
 currently about N N of home delivery subscribers in the new york area receive the paper directly from the times
 mercury savings & loan association <unk> beach calif. reported a third-quarter loss of $ N million or N cents a share compared with net income of $ N million or N cents a share in the year-earlier quarter
 mercury attributed the loss to rapid prepayments of loans and costs incurred in refinancing many house loans this past spring and summer when interest rates dipped
 the thrift hired an investment banker earlier this month to advise it regarding a possible sale or merger
 mercury also is shrinking itself part of its plan to change its emphasis from buying mortgage loans from mortgage brokers to making loans directly
 such a focus is more profitable more efficient and gives us a greater sense of control said william a. <unk> mercury 's senior executive vice president
 as of sept. N mercury 's assets were $ N billion down from $ N billion a year ago
 for the nine months mercury posted a loss of $ N million or N cents share against net income of $ N million or N cents share a year earlier
 mercury shares closed yesterday at $ N up N cents in new york stock exchange composite trading
 bancroft convertible fund inc. new york likely will reject a renewed offer from florida investor robert i. green to buy bancroft for $ N a share
 <unk> levine bancroft secretary and treasurer said the closed-end fund 's directors will consider mr. green 's offer in a couple of weeks at a regular meeting
 he has n't added anything mr. levine said predicting the board will again reject mr. green 's proposal
 in a securities and exchange commission filing mr. green said he had boosted his holdings in bancroft common to N N from N N and renewed an offer he made in march to acquire the fund
 mr. levine noted that bancroft 's shares have been trading at or above mr. green 's offering price for the last several months
 he said bancroft attorneys are scheduled to meet with mr. green 's attorneys in delaware chancery court at the end of this week to respond to the investor 's request for company records for the past five years
 mr. green could n't be reached
 giant group said a federal court in delaware has denied a motion by rally 's inc. seeking to block a group led by giant chairman burt sugarman from acquiring more of the company 's shares
 rally 's a fast-food chain based in louisville ky. is <unk> that mr. sugarman and two other company directors failed to disclose to the securities and exchange commission that they intended to acquire a big rally stake
 mr. sugarman has in turn contended that the other major shareholder group whose interests are represented by three other directors connected to trusts in the name of the children of the company 's founder james patterson has ties to a competing fast food chain wendy 's international inc
 the company last week assembled a <unk> committee of directors aligned with neither side to analyze the situation
 each group controls more than N N of rally 's stock
 the company just went public earlier this month
 rally 's had no comment but was expected to make an announcement this morning about the situation
 singer <unk> midler won a $ N federal court jury verdict against young & rubicam in a case that threatens a popular advertising industry practice of using <unk> performers to <unk> products
 the decision in los angeles federal court stems from a N mercury <unk> tv ad that young & rubicam worked up for ford motor co
 the ad agency had approached ms. midler about appearing but she declined citing a longstanding policy of refusing advertising work
 the agency then turned to a former backup singer for ms. midler who appeared in the ad and <unk> what was generally considered a more than credible <unk> of ms. midler 's N hit song do you <unk> dance
 the appeals court held when a distinctive voice of a professional singer is widely known and is deliberately <unk> in order to sell a product the sellers have appropriated what is not theirs
 the judge in the jury trial said there was insufficient evidence to hold ford liable in the case
 in a statement young & rubicam called the award unfortunate but <unk>
 peter <unk> a los angeles lawyer for ms. midler said we believe that the verdict <unk> her position and our position that advertisers and advertising agencies can not with <unk> <unk> the voices of well-known performers
 that is a property right that belongs to the performer
 the award although far less than the $ N million including punitive damages that ms. midler sought is likely to force madison avenue to further <unk> how they use famous <unk> in ads
 last year 's appeals court decision for instance spawned several suits reportedly including a recent action by the <unk> of singer bobby <unk> against mcdonald 's corp. over its mac tonight tv commercials a rough <unk> of mr. <unk> 's mack the <unk> trademark
 the <unk> decision last year was particularly surprising because the same court had dismissed a similar case in N involving singer nancy <unk> and a tire ad also a young & rubicam product
 ms. <unk> sued over the use of her these <unk> are made for <unk> song in the ad
 at that time the court held that such a claim would interfere with federal copyright law which has always <unk> down on the unauthorized copying of <unk> and musical <unk> but never actual performances
 one thing that is a little <unk> is that you had three old men on the court of appeals in california coming up with a statement that nancy <unk> is not distinctive but that <unk> midler is
 i am not sure that judges many of whom i like very much are proper <unk> for making <unk> about pop <unk> said richard <unk> a new york advertising lawyer
 nonetheless mr. <unk> said that the latest decisions are having a <unk> effect
 it has made people think twice about how they use music and is forcing them to be more <unk> about doing a particular <unk> of a song in its most famous form he said
 <unk> <unk> contributed to this article
 james river corp. richmond va. said it acquired the tissue operations of <unk> n.v. of the netherlands for about $ N million
 the dutch unit known as <unk> <unk> is a leading maker of consumer and <unk> tissue products for the <unk> region
 in addition the acquisition includes production assets of <unk> <unk> a maker of household tissue products for the u.k. and ireland
 the combined operations had N revenue of about $ N million
 james river a maker of pulp paper and plastic products already has interests in tissue businesses in france spain italy and turkey
 the company said it plans to form european ventures with italian and finnish companies
 the <unk> operations would become part of those ventures
 vitro s.a. of <unk> mexico said its <unk> corp. subsidiary has entered into definitive loan agreements in connection with vitro 's $ <unk> tender offer for <unk> glass container corp
 the agreements are with security pacific national bank and an affiliate of donaldson lufkin & jenrette securities corp
 proceeds of the loan agreement together with funds from vitro will permit the purchase of all shares outstanding of <unk> and the payment of all related costs and expenses
 vitro said the definitive agreements require that <unk> obtain a waiver from its bank lenders of existing <unk> defaults under its bank facilities
 since <unk> is still seeking this waiver vitro said the tender offer is being extended until N p.m. est tomorrow
 the dollar finished mostly stronger yesterday boosted by a modest recovery in share prices
 the dow jones industrial average climbed N points in a spate of bargain-hunting following last week 's declines
 attention is fixed on the stock market for lack of anything else to sink our teeth into said robert white a vice president at first interstate of california
 some analysts predict that in the absence of <unk> news to push the u.s. unit sharply higher or lower the currency is likely to <unk> below N marks this week
 but others reject the view and forecast the dollar will continue to hold its current tight trading pattern
 they argue that weakness in both the yen and sterling have helped offset bearish u.s. economic news and have lent support to the dollar
 in late new york trading yesterday the dollar was quoted at N marks up from N marks late friday and at N yen up from N yen late friday
 sterling was quoted at $ N up from $ N late friday
 the dollar rose against the swiss and french francs
 in tokyo tuesday the u.s. currency opened for trading at N yen up from monday 's tokyo close of N yen
 last week the surprise resignation of british chancellor of the exchequer nigel lawson sent the british pound into a tailspin
 while sterling bounced back from session lows in a <unk> of <unk> yesterday foreign exchange dealers said that any hopes that the pound would soon post significant gains have <unk>
 traders said that statements made over the weekend to <unk> concern about the stability of prime minister margaret thatcher 's government and the future of her economic program largely failed to <unk> investors and bolster the <unk> british unit
 in her first televised interview following mr. lawson 's resignation mrs. thatcher reiterated her desire to keep sterling strong and warned again that full entry into the european monetary system 's exchange rate mechanism would provide no easy solution to britain 's economic troubles
 she said that the timing of the united kingdom 's entry would depend on the speed with which other members <unk> their economies
 mrs. thatcher 's remarks were seen as a <unk> to several leading members of her own conservative party who have called for a more <unk> british commitment to the ems
 at the same time a recent poll shows that mrs. thatcher has hit the lowest popularity rating of any british leader since <unk> began N years ago
 comments by john major who has succeeded mr. lawson also failed to damp market concern despite his pledge to maintain relatively high british interest rates
 according to one london-based analyst even higher interest rates wo n't help the pound if britain 's government continues to appear unstable
 one u.s. trader however dismissed sterling <unk> while acknowledging there is little immediate upside potential for the u.k. unit
 there is no question that the situation is bad but we may be painting a <unk> picture than we should he said
 he predicts the pound will continue to trade in a very volatile fashion with fits of being <unk> and <unk> before recovering its losses
 dealers also note that the general lack of enthusiasm for the yen has helped bolster the u.s. dollar
 they <unk> that persistent japanese investor demand for dollars for both portfolio and direct investment has kept a base of support for the dollar at around N yen
 the dollar began yesterday on a firm note in tokyo closing higher in late trade
 in europe the dollar closed slightly up in a market dominated by cross trades
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce down N cents
 estimated volume was a moderate N million ounces
 in early trading in hong kong tuesday gold was quoted at $ N an ounce
 general electric capital corp. 's <unk> bank usa acquired a visa and <unk> portfolio from commercial federal savings & loan association an omaha neb. unit of commercial federal corp. of omaha
 terms were n't disclosed
 the portfolio currently includes $ N million in receivables ge capital said
 ge capital is a financial services subsidiary of general electric co. of fairfield conn. which also has broadcasting and <unk> businesses
 ge capital said commercial federal savings will continue to market visa and <unk> programs while <unk> provides operational and marketing support and actually owns the accounts
 with the acquisition <unk> blue <unk> ohio has more than N million total accounts ge capital added
 east germans rallied in three cities to demand democratic freedoms
 as the country 's new leader egon krenz prepared to travel to moscow today for talks with soviet leader gorbachev hundreds of thousands of east germans <unk> in the streets of leipzig <unk> and <unk> to call for internal freedoms and the <unk> of the new forum opposition group
 krenz however vowed to preserve the communist party 's hold on political power and said east germans should n't <unk> the nation with <unk> demands
 communist officials this month have faced nearly daily pro-democracy protests accompanied by the flight to the west by thousands of east germans
 soviet police <unk> with demonstrators in moscow following a <unk> <unk> around the kgb 's <unk> headquarters in memory of those <unk> under <unk>
 more than N <unk> attended the service
 a <unk> group demonstrated in <unk> square where the police <unk> and <unk> a number of protesters
 police in <unk> <unk> about N ethnic <unk> who were <unk> the trial of the former communist party chief of the southern province of <unk>
 <unk> <unk> and N others are accused of <unk> <unk> and strikes and opposing constitutional limits to <unk> 's <unk>
 if convicted they could be sentenced to death
 a court in <unk> sentenced a palestinian to N life terms for forcing a bus off a <unk> july N killing N people israeli radio reported
 he also received 20-year sentences for each of the N passengers injured
 it was considered the <unk> sentence passed since the start of the <unk> arab <unk> in the <unk> <unk>
 u.s. and soviet negotiators opened talks in new york aimed at <unk> differences in proposals to reduce <unk> <unk>
 while the kremlin has urged a ban on output of the poison <unk> the white house wants to continue producing the weapons even after an international treaty calling for their destruction is signed
 south africa 's government said peaceful demonstrations such as the <unk> rally sunday near <unk> have helped ease <unk> and <unk> political changes
 about N people attended the <unk> rally at which leaders of the banned african national congress refused to <unk> violence to end apartheid
 secretary of state baker expressed concern that nicaraguan president ortega may attempt to use alleged attacks by the <unk> contra rebels as an excuse to scuttle elections scheduled for february
 ortega had threatened to end a <unk> <unk>
 baker 's remarks came as the white house urged both sides to honor the truce
 the <unk> lexington returned to <unk> in <unk> fla. following an accident sunday in which the pilot of a training jet <unk> into the ship killing five <unk>
 the <unk> of the aircraft carrier the oldest in the navy said the <unk> was making his first attempt to land on a carrier
 four people <unk> three u.s. flags on the central steps of the u.s. capitol in a bid to test a new federal law protecting the american flag from <unk>
 all four demonstrators were arrested
 the law which bush allowed to take effect without his signature went into force friday
 chinese officials said armed police would replace soldiers in <unk> square as part of a <unk> down of beijing 's <unk> state of emergency
 separately the u.s. embassy has filed three protests in as many days with china 's government alleging <unk> of diplomats and their families an embassy source said
 authorities in <unk> said the toll from two earthquakes sunday had reached at least N dead and about N injured
 the heaviest damage was reported in <unk> about N miles west of <unk>
 as rescue teams continued searching for victims hundreds of <unk> accused the government of a <unk> response following the <unk>
 britain 's thatcher summoned senior advisers for strategy talks as opinion polls showed the prime minister 's popularity had hit a record low following the resignation last thursday of chancellor of the exchequer lawson
 one poll conducted for the british broadcasting corp. found that N N of voters believed that she should quit
 lawmakers in hungary approved legislation granting <unk> to many people convicted of crimes punishable by less than three years in prison
 they also established an office to control government and party finances
 the laws take effect next month
 died robert v. van <unk> N chairman of mutual benefit life insurance co. sunday in morristown n.j. of cancer
 fluor corp. said it was awarded a $ N million contract to provide engineering and <unk> services at a copper mine in <unk> <unk> indonesia for a unit of freeport-mcmoran copper co
 fluor based in irvine calif. will direct expansion of the mine 's capacity to N metric tons a day from N metric tons a day
 completion of the project is expected by <unk>
 in N fluor had revenue of $ N billion and earnings of $ N million or N cents a share
 <unk> computer ag citing continued profitability problems said it will have to reduce personnel further notably in research and development sectors
 the troubled west german computer company said in a statement to its employees that the number of persons working in product development will be reduced world-wide to N from N by the end of N
 the number of workers in production sectors will be cut by N to N by september
 the cuts will be made half within germany and half abroad
 in the first nine months of N <unk> said sales rose N N amid good growth in selected areas such as banks and trading companies
 the company also cited some success in <unk> cost increases and said it wants to return to profitability in N
 it cited the expected beneficial effects of a concentration on key products further structural changes within the group and cooperation agreements with other companies
 great northern nekoosa is being sought by another big paper company georgia-pacific for $ N a share or about $ N billion
 the tender offer which surprised analysts because it appeared to be unsolicited could spark a period of industry consolidation
 analysts questioned whether georgia-pacific will ultimately prevail saying other paper concerns may make competing bids
 two more securities firms bowed to the outcry over program trading
 ge 's kidder peabody unit said it would stop doing stock-index arbitrage for its own account while merrill lynch said it was <unk> such trading entirely
 also the big board met with angry stock specialists
 a big <unk> case will be reviewed by the supreme court
 the justices agreed to decide whether federal insurers can require ltv to take back <unk> for funding its $ N billion pension <unk>
 drug companies lost a major liability case
 the supreme court let stand a new york ruling that all manufacturers of an <unk> drug are liable for injuries or deaths if the actual maker is n't known
 revco received a $ N million takeover offer from texas financier robert bass and acadia partners
 the <unk> chain reacted cautiously saying the plan would further swell its huge debt which forced the company into chapter N protection last year
 rockefeller group agreed to sell a N N interest to mitsubishi estate a major japanese developer and property owner for $ N million
 officials at some rockefeller units are said to be unhappy with the agreement
 continental air replaced its top executive for the sixth time in as many years
 chairman and chief executive joseph corr was succeeded by frank lorenzo chief of parent texas air
 united air 's parent may have to pay as much as $ N million to the labor-management buy-out group for fees and expenses incurred in their failed $ N billion takeover bid
 gen-probe agreed to be bought by chugai pharmaceutical for about $ N million
 the sale is likely to fuel concern about growing japanese investment in u.s. biotechnology firms
 boeing posted a N N jump in third-quarter earnings but wall street 's attention was focused on the continued strike at the aircraft maker
 the fed delayed approval of first union 's $ N million acquisition of florida national banks pending a review of first union 's lending practices in low-income neighborhoods
 allianz of west germany entered the takeover battle between france 's paribas and navigation mixte
 maxwell agreed to sell its u.s. printing unit to quebecor for $ N million making quebecor the no. N commercial printer in north america
 new construction contracts rose N N in september led by commercial industrial and <unk> projects according to <unk> dodge group
 western union took steps to withdraw a $ N million debt swap citing turmoil in the junk bond market
 markets
 stocks volume N shares
 dow jones industrials N up N transportation N up N utilities N up N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N off N spot index N off N
 dollar N yen up N N marks up N
 pacific telesis group said its pacific bell unit sustained property damage of about $ N million to $ N million from the california earthquake earlier this month
 the san <unk> telecommunications company said it carries $ N million of earthquake insurance with a $ N million deductible provision
 sam <unk> chairman and chief executive officer told securities analysts in new york that the company expects somewhat slower per-share earnings growth in N although annual growth should return to the traditional figure of about N N thereafter
 as factors contributing to the temporary slowdown he cited one-time rate reductions prescribed by california regulators as a prelude to a new <unk> that <unk> profit constraints
 he also mentioned increased capital investment by pacific bell for network improvements
 mr. <unk> said the company 's cellular operations now serve about N customers up N N from a year ago
 general motors corp. is planning to build a new engine plant in europe that may be built in britain provided the company can reach a satisfactory agreement with unions sources said
 officials of <unk> motors ltd. gm 's british unit were meeting with union leaders late yesterday in hopes of winning such an accord
 the engine plant may <unk> plans for a joint components venture with jaguar
 alternatively a separate engine plant may be built as part of gm 's planned <unk> with the british luxury car maker the sources said
 sources said a complex and detailed announcement of a joint agreement between general motors and jaguar would be made by jaguar some time in the next N N weeks
 cray research inc. won government clearance for its proposed reorganization of founder seymour cray 's supercomputer design team into a separate company
 internal revenue service approval of the move as a tax-free transaction was the last hurdle to splitting up the world 's dominant maker of <unk> which mr. cray founded in N
 cray 's directors set nov. N as the record date for distribution of shares in the new company to be called cray computer corp
 it will trade over the counter under the symbol cray
 the plan calls for cray research holders to receive one share in the new company for every two shares held
 an estimated N million cray computer shares will be distributed cray research said
 under the accord cray research will transfer to mr. cray 's fledgling operation $ N million of assets primarily related to the cray-3 development project his team is undertaking and will lend cray computer $ N million
 cray research will retain a N N interest in the new company which will be based in colorado springs <unk>
 when it announced the planned breakup in may cray research said development costs of several competing projects were <unk> its earnings growth
 after the split the two companies presumably will be rivals for orders from government and commercial customers
 <unk> systems inc. ann <unk> mich. said it will report net income for the fourth quarter ended sept. N fell to $ N or N cents a share from $ N or N cents a share a year earlier
 chairman carl l. <unk> said the decline occurred although revenue rose N N to more than $ N million from $ N million a year earlier
 the company which makes computer parts said fiscal N earnings were down slightly from $ N million or N cents a share in fiscal <unk>
 the company said fiscal N revenue increased about N N to more than $ N million from $ N million
 mr. <unk> said that early signs point to improved earnings and revenue in the first quarter of fiscal N
 the current backlog of orders is strong throughout the corporation he said
 <unk> corp. said it filed for protection under chapter N of the federal bankruptcy code and announced a N N reduction in its world-wide employment
 the filing in bankruptcy court here follows a string of quarterly losses and product <unk> for the maker of <unk> drives for minicomputers and <unk>
 <unk> had a loss of $ N million for the fiscal year ended july N compared with year-earlier profit of $ N or two cents a share
 revenue for the year fell N N to $ N million
 the <unk> staff <unk> announced yesterday will bring <unk> 's employment to about N workers less than half of what it was before a similar <unk> reduction in august
 the company yesterday also said it was <unk> one of its major new products a <unk> drive which while technically <unk> did n't hold much promise of generating substantial orders because financing problems caused a nine-month delay in getting the product to market
 the french economics ministry approved a planned asset swap between the defense and electronics group <unk> s.a. and the bank group credit lyonnais
 the ministry said the swap details of which were disclosed last thursday will allow both state-controlled companies to reinforce operations in their main markets and argued that the move shows the <unk> of france 's <unk> concerns
 the approval also ends any hope that banque <unk> de paris another <unk> bank might have had about taking credit lyonnais 's place in the accord
 it hinted over the weekend that it would have been interested in a <unk> with <unk>
 under details of the accord credit lyonnais will take slightly more than N N of <unk> finance in exchange for about N N of its own shares
 the move will help the bank to keep up with international <unk> ratios being phased in by the bank for international settlements and will also represent the first time that its voting shares have been held by a party other than the government
 <unk> general corp. received tenders for N N of its N N convertible senior subordinated notes due april N N and N N of its N N convertible senior subordinated debentures due march N N
 in exchange offers that expired friday holders of each $ N of notes will receive $ N face amount of series a N N senior secured convertible notes due jan. N N and N common shares
 for each $ N face amount of debentures holders received $ N of series b N N senior secured convertible notes due oct. N N and N common shares
 <unk> a new york maker of genetically engineered products for human and animal health care said it made the exchange offer to reduce its interest payments
 japanese companies have long been accused of <unk> profit to boost sales
 but fujitsu ltd. has taken that practice to a new extreme
 japan 's biggest computer maker last week undercut seven competitors to win a contract to design a <unk> system for the city of hiroshima 's waterworks
 its bid one yen or less than a u.s. penny
 the bid created such a furor that fujitsu said it is now offering to withdraw from the project
 from a <unk> viewpoint it was not <unk> acceptable a fujitsu spokeswoman said yesterday
 hiroshima city officials could n't be reached to find out whether they would drop fujitsu 's bid
 fujitsu said it issued the low bid because it wanted a foot in the door of a potentially lucrative market
 we desperately wanted the contract because we want experience in the field the fujitsu spokeswoman said
 we expect a big market in the future so in the long term it will be profitable
 it 's a kind of an investment
 hiroshima 's waterworks bureau said the municipal government had <unk> about N million yen $ N for the project
 i was <unk> <unk> <unk> head of the bureau was quoted by <unk> news service as saying
 i understand the firm 's enthusiasm in getting the deal but such a large company would have been better off showing a little more discretion
 indeed fujitsu officials admitted they may have been a little <unk>
 the fujitsu spokeswoman said <unk> officials did n't approve the bid in advance and will take measures so this kind of thing does n't happen in the future
 it 's contrary to common sense she added
 specifically fujitsu won the right to design the specifications for a computerized system that will show water lines throughout the city
 the system could be used in a fire or earthquake to <unk> problems among other things
 a waterworks official said fujitsu will have to design the system so it would be compatible with other makers ' equipment
 but industry officials expressed concern that the initial project might give fujitsu an edge in winning more lucrative contracts later
 fujitsu said it hopes the hiroshima contract will help it secure <unk> with other municipalities
 japanese local governments are expected to invest heavily in computer systems over the next few years and many companies expect that field to provide substantial revenue
 in the near future it will be a big market not just for waterworks but for all <unk> systems the fujitsu spokeswoman said
 we can expect a <unk> market
 no foreign companies bid on the hiroshima project according to the bureau
 but the japanese practice of deep discounting often is cited by americans as a classic barrier to entry in japan 's market
 earlier this year the u.s. complained that japan 's supercomputer makers were effectively closing out foreign competitors by slashing prices as much as N N for universities
 fujitsu was n't the only company willing to sacrifice profit on the project
 three competitors bid between N yen and N yen according to the hiroshima government office
 other bids ranged from about N million yen to N million yen
 american airlines will expand its <unk> service N N beginning next year with six new daily flights between the u.s. and europe officials announced yesterday
 american a unit of amr corp. is the nation 's largest airline
 the new <unk> flights starting next may will include <unk> <unk> <unk> <unk> a second daily <unk> flight and a second daily <unk> flight the officials said
 chicago has the largest population of citizens of polish heritage in any city outside poland
 with the new service american will fly N flights a week to N european cities
 the additions <unk> american 's position as the third-largest u.s. transatlantic carrier behind <unk> corp. 's pan american world airways and trans world airlines
 <unk> ag said sales for its domestic group rose N N in the first nine months of N from a year earlier
 the west german retailing group also said that the results of the first three quarters suggest it will meet its profit goal for the year
 earnings at the department-store division which generates the bulk of profit should remain at least stable while income at the mail-order and tourism units is likely to fall slightly from N the company said
 <unk> did n't give any group sales or profit figures for the first nine months
 georgia-pacific corp. offered to acquire great northern nekoosa corp. for $ N a share or about $ N billion
 the offer capped a week of rumors that georgia-pacific an atlanta-based forest-products company was considering making a bid for nekoosa a <unk> concern based in <unk> conn
 executives at nekoosa could n't be reached and officials at georgia pacific declined to comment
 analysts however were surprised because the tender offer appeared unsolicited
 it 's quite a <unk> said one adding that the offer could spark a period of industry consolidation
 the two companies would appear to be a logical fit because of their <unk> lines and analysts described the offer representing a N N premium over nekoosa 's market price as fair
 nekoosa closed yesterday at $ N up $ N in new york stock exchange composite trading
 but industry observers still questioned whether georgia pacific will ultimately prevail
 you have to watch out for <unk> said one analyst
 international paper or weyerhaeuser could step in
 the bid for great northern a notice of which appears in an <unk> in today 's wall street journal is the first big takeover offer since the collapse of a $ N billion buy-out of united airlines parent ual corp. oct. N
 that collapse following on the heels of disarray in the market for high-risk high-yield bonds cast doubt on the entire takeover business which has fueled both big profits among wall street securities firms and big gains in the stock market generally
 while georgia-pacific 's stock has outperformed the market in the past two years nekoosa has lagged the market in the same period
 yesterday 's rise in nekoosa 's share price came on volume of N shares four times the daily average
 according to dow jones professional investor report options trading in nekoosa was also heavy ranking only behind international business machines corp. and ual in volume on the chicago board options exchange
 according to the value line investment survey demand for nekoosa 's commodity paper has weakened prompting earnings to decline by N N in the third quarter ended sept. N
 value line added with discounts widening on business papers and with newsprint and <unk> shipments flat we expect negative earnings comparisons through next year
 by contrast value line said georgia-pacific is in a <unk> good position to deal with weakening paper markets because its production is concentrated not in the northwest but in the south where it should be able to avoid some of the cost pressures from rising <unk> prices
 also it is n't exposed to the weakening newsprint business and is strong in the <unk> tissue business
 the purchase of nekoosa would easily <unk> georgia-pacific 's $ N million acquisition of <unk> pulp & paper co. last year
 that acquisition which also included the assumption of $ N million in debt was designed to allow georgia-pacific to capitalize on the strong demand for <unk> pulp as well as reduce its exposure to the housing market
 <unk> <unk> & co. is the <unk> for the offer which will expire nov. N unless extended
 ratners group plc 's u.s. subsidiary has agreed to acquire jewelry retailer weisfield 's inc. for $ N a share or about $ N million
 weisfield 's shares soared on the announcement yesterday closing up $ N to close at $ N in national over-the-counter trading
 ratners and weisfield 's said they reached an agreement in principle for the acquisition of weisfield 's by sterling inc
 the companies said the acquisition is subject to a definitive agreement
 they said they expect the transaction to be completed by dec. N
 weisfield 's based in seattle wash. currently operates N specialty jewelry stores in nine states
 in the fiscal year ended jan. N the company reported sales of $ N million and pretax profit of $ N million
 ratners which controls N N of the british jewelry market would increase the number of its u.s. stores to about N stores from N
 it has said it hopes to control N N of jewelry business in the u.s. by N currently it controls about N N
 mcdonnell douglas corp. received contracts totaling $ N million for N <unk> aircraft for the navy and helicopter spare parts for the army
 <unk> general corp. a unit of <unk> inc. was awarded a $ N million air force contract for <unk> missile rocket motors
 rockwell international corp. received a $ N million navy contract for <unk> <unk> missiles
 honeywell inc. got a $ N million navy contract for aircraft missile warning sets
 <unk> aircraft corp. a unit of <unk> co. received an $ N million air force contract for <unk> aircraft support
 <unk> devices inc. said it may purchase as many as one million of its common shares over the next several months
 <unk> also said that a one million share buy-back program announced in march is substantially complete
 the company which makes integrated circuits and other electronic parts now has about N million common shares outstanding
 in new york stock exchange composite trading yesterday <unk> devices closed at $ N up N cents
 john lehman 's editorial-page article on the pentagon as a <unk> house <unk> the real roots of its ghost population in the pentagon the <unk> walk oct. N
 the media 's treatment of the defense department during the vietnam war the carter administration 's <unk> of the military and the public <unk> of <unk> col. oliver north have all served to <unk> the poor <unk> who live there
 the resulting <unk> house tends to reward <unk> not leadership it creates <unk> about wearing the uniform and raises doubt about having the will to fulfill the ghosts ' role <unk> to be able to win if called on
 perhaps the halloween season is a good time for congress to be looking at funding for some <unk> equipment
 mike greece former air force career officer new york
 where does mr. lehman get off <unk> gen. george marshall for <unk> in on naval prerogatives
 ever since the days of alfred <unk> <unk> u.s. naval officer and naval <unk> and teddy <unk> the navy has been the service most favored by washington <unk>
 mr. lehman <unk> the fact that the navy <unk> its own air force the carrier fleet and its own army the <unk> which in turn has its own air force
 of course these turf <unk> are <unk> <unk> and potentially dangerous and should be resolved in the interest of national security but mr. lehman seems to be part of the problem rather than part of the answer
 <unk> <unk> <unk> texas
 i agree with mr. lehman N N
 is n't this the same guy who resigned as navy secretary because he could n't get his <unk> navy
 i personally do not want to <unk> mr. lehman 's demise but i can see him figuring <unk> in his own article
 carl <unk> jr birmingham mich
 for the sixth time in as many years continental airlines has a new senior executive
 gone is d. joseph corr the airline 's chairman chief executive and president appointed only last december
 mr. corr resigned to pursue other business interests the airline said
 he could not be reached for comment
 succeeding him as chairman and chief executive will be frank lorenzo chairman and chief executive of continental 's parent texas air corp
 mr. lorenzo N years old is <unk> the job that was his before mr. corr signed on
 the airline also named <unk> <unk> as president
 mr. <unk> N is a <unk> veteran of texas air and texas international airlines its predecessor
 most recently he had been executive vice president for planning and finance at texas air
 top executives at continental have n't lasted long especially those recruited from outside
 but mr. corr 's tenure was shorter than most
 the <unk> mr. corr was hired largely because he was credited with returning trans world airlines inc. to profitability while he was its president from N to N
 before that he was an executive with a manufacturing concern
 at continental he cut money-losing operations which helped produce a modest profit in this year 's second quarter
 but mr. corr a <unk> pilot in his spare time was understood to be frustrated by what he regarded as limited freedom under mr. lorenzo
 while not officially an executive at continental during mr. corr 's tenure mr. lorenzo is known for keeping close <unk> on texas air 's operating units
 continental is texas air 's flagship and was built painfully to its present size under mr. lorenzo after emerging from bankruptcy proceedings in N
 it 's unclear what role if any mr. lorenzo 's recent exploration of a possible sale of a stake in continental had in mr. corr 's departure
 one source familiar with the airline said however that mr. corr was n't informed in advance during the summer when mr. lorenzo began discussions with potential buyers
 during his tenure mr. corr attempted through a series of meetings to inform managers of some of the company 's future plans traveled widely to talk to employees and backed training sessions designed to improve the carrier 's image
 mr. <unk> is one of a handful of executives mr. lorenzo has relied on over the years
 previously he had served in financial planning positions at the company 's eastern airlines unit
 another longtime ally phil <unk> currently heads eastern now in chapter N bankruptcy proceedings
 mr. <unk> previously had a turn at running continental
 among the other <unk> are stephen wolf now chairman of ual inc. and thomas <unk> president of pan am corp
 <unk> cos. said its <unk> payments have been extended until may N N to give it more time to sell its wilson foods corp. retail and fresh meat operations
 the company was to repay $ N million in debt on dec. N and $ N million on march N
 the company acquired the debt when it paid $ N million to purchase wilson last year
 an agreement to sell the wilson assets for $ N million in cash and notes collapsed in late september when the buyer a company controlled by george gillett could n't secure financing
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 charles d way president of this restaurant operator assumed the additional post of chief executive officer
 he succeeds alvin a. mccall in the position
 mr. mccall will remain chairman
 australia 's inflation is expected to rise as high as N N in the quarter ending march N but could fall to around N N by june according to economists
 the government said the consumer price index rose N N in the quarter ended sept. N from the previous quarter and N N from a year ago
 charles a. pearce N years old will retire from his post as chief executive officer of this bank holding company effective dec. N
 he will remain chairman
 charles r. simpson jr. N president and chief operating officer will assume the chief executive 's post
 it is a peaceful time in this part of western india
 the summer crop is <unk> winter <unk> has yet to begin
 farmers in loose <unk> and fancy <unk> spend their <unk> laughing and <unk> at the markets
 one could imagine such a <unk> in the lives of the arabs before the <unk> of oil prices
 for just as the arabs were in the 1960s the farmers of sidhpur are on the brink of global power and fame
 the arabs had merely oil
 these farmers may have a grip on the world 's very heart
 or at least its heart disease
 that is because sidhpur has a <unk> on the world 's supply of <unk> seed also known as <unk> <unk> or in western <unk> psyllium a tiny <unk> <unk> seed that according to early research may reduce cholesterol levels in the blood
 ever since the link to cholesterol was disclosed americans have begun <unk> up psyllium in their breakfast <unk>
 if further research proves the seed 's benefits this dusty farm district could become the epicenter of a <unk> fad to rival all <unk> since <unk> oil
 this seed 's not grown anywhere else in india or anywhere else in the world says <unk> <unk> a vice president of procter & gamble india ltd. a major psyllium buyer and <unk>
 the proper <unk> conditions do n't exist in many places in the world
 <unk> patel a <unk> and exporter of the seed <unk> if psyllium takes the place of oat bran it will be huge
 whether psyllium makes sidhpur 's fortune depends on <unk> americans the u.s. food and drug administration and of course the outcome of further research
 only one thing is certain here <unk> is likely to remain solely an export item from sidhpur for a long time
 local farmers say it is as good a cash crop as <unk> or <unk> a <unk>
 but they have no desire to eat a bowl of psyllium each morning and perhaps little need lean <unk> <unk> the farmers are <unk> in the <unk> <unk> world of cholesterol
 psyllium is an annual <unk> <unk> <unk> that has been used for centuries by folk doctors here mainly as a <unk> and <unk>
 as such the <unk> fiber has an almost <unk> following in northern india
 i can assure you <unk> a <unk> lawyer in new <unk> with a <unk> raised <unk> from personal experience it works
 a prominent businessman in <unk> gives a similar <unk> i have been taking it daily since N
 folk doctors also <unk> it for kidney <unk> and <unk> problems <unk> <unk> and <unk>
 some apply it to <unk> <unk>
 the plant has a <unk> stem that produces flowers and <unk> seeds
 it is the seed 's <unk> and size N of them weigh only N <unk> or about as much as two paper <unk> that explain the historical <unk> to <unk>
 the <unk> <unk> of the seed is removed <unk> and crushed the seed itself is fed to animals
 some N N of the crop which was worth $ N million last year is exported
 for decades psyllium <unk> has been the main <unk> in such <unk> as procter & gamble co. 's <unk> the <unk> brand in the u.s. and ciba-geigy corp. 's <unk>
 but some time ago researchers discovered that <unk> fibers also lower cholesterol levels in the blood
 <unk> p&g took an interest it ordered two studies on psyllium and cholesterol
 one of the studies done at the university of minnesota tested N people with raised cholesterol levels
 after N weeks the group that took three daily <unk> of <unk> saw a significant dip in their general cholesterol levels and an even larger reduction in levels of <unk> <unk> the so-called bad cholesterol
 in late N p&g asked the fda for approval to market <unk> as the first <unk> <unk> product in the
 in april the psyllium <unk> got more crowded
 general mills inc. the food giant launched a breakfast cereal called benefit containing psyllium oat wheat and <unk> bran the words reduce cholesterol were <unk> displayed on its package
 in september kellogg co. launched a competing <unk> cereal called <unk>
 suddenly on television in advertisements and on their cereal boxes americans were <unk> with news about the <unk> seed
 the flood of claims and <unk> worried consumers and actually hurt sales of the new <unk>
 this month the food and drug administration expressed concern that americans might someday in various forms <unk> too much psyllium
 currently there is a <unk> in the psyllium war
 the fda has asked kellogg and general mills to show research that their <unk> are safe
 it also ordered p&g to produce more studies to <unk> its claims that <unk> can lower cholesterol
 but the agency has n't <unk> psyllium off store shelves
 if the fda approves the new uses of psyllium other companies are expected to rush to market with psyllium products
 it 's going to be a <unk> thing says mr. <unk> of p&g in <unk>
 says psyllium exporter mr. patel i just got back yesterday from the u.s.
 in the newspapers on the radio and tv psyllium is everywhere
 but the news of the boom has yet to <unk> down to the farmers
 they only know of one use for the crop as a <unk> and with psyllium prices currently <unk> in the wake of a <unk> crop they think of the seed as a marginal crop something to grow between summer wheat crops
 psyllium 's not a good crop complains <unk> <unk> a <unk> farmer from the village of <unk>
 you get a rain at the wrong time and the crop is <unk>
 even at the basic chemicals pharmaceuticals and cosmetics export promotion council the government agency that <unk> the seed the psyllium boom is distant <unk>
 the staff <unk> about psyllium 's hefty contribution to american <unk> without quite <unk> the implications of the research on cholesterol
 the council 's annual report has psyllium on its last page <unk> with such <unk> export items as <unk> and <unk> <unk> a plant that <unk> <unk>
 in one way the psyllium middlemen the buyers and exporters are glad to keep news of the boom to themselves
 they want psyllium prices low for their purchases next year
 but there 's a catch
 sidhpur and adjacent districts are the only places in the world where psyllium is grown in large quantities
 this is partly due to the particular demands of the crop
 psyllium needs <unk> soil <unk> during the first few weeks and then total <unk> when its seeds are maturing
 small crops are grown in pakistan france spain italy belgium and brazil but their quality ca n't compare to that of indian psyllium
 big buyers like procter & gamble say there are other spots on the globe and in india where the seed could be grown
 it 's not a crop that ca n't be doubled or tripled says mr. <unk>
 but no one has made a serious effort to transplant the crop
 in sidhpur it is almost time to <unk> this year 's crop
 many farmers too removed to <unk> psyllium 's new <unk> in the west have decided to plant <unk> <unk> <unk> <unk> or <unk> seeds
 mr. <unk> is thinking of passing up psyllium altogether this year in favor of a crop with a future such as <unk> or <unk>
 maybe i 'll plant <unk> seeds
 his brother <unk> whose head is <unk> in a <unk> <unk> <unk> <unk> vigorous <unk>
 so when next year 's psyllium crop is <unk> in march it may be smaller than the N metric tons of the past few years right at the crest of the psyllium boom
 and the world could experience its first psyllium shortage
 <unk> co. said it completed a previously announced acquisition of <unk> manufacturing corp. a new york-based maker of <unk> <unk> and <unk> wear
 the apparel maker would n't disclose terms of the agreement
 <unk> said <unk> <unk> sr. president of <unk> will continue to head <unk> 's management group
 a seat on the chicago mercantile exchange was sold for $ N down $ N from the previous sale <unk>
 seats currently are quoted at $ N bid $ N asked
 the record price for a full membership on the exchange is $ N set march N N
 small businesses say a recent trend is like a dream come true <unk> rates for <unk> insurance initially at least
 but then they wake up to a nightmare
 the reasonable <unk> rates can be followed by increases of N N or more if a covered employee files a major claim they complain
 insurance premiums for one small maryland concern went up N N in less than two years the last increase coming after one of its three workers developed a <unk> disk
 there 's a distinct possibility that i may lose my job over this the employee karen allen of floor covering resources <unk> md. recently told a congressional hearing
 she said her employer ca n't afford the rate increases and she fears she wo n't find another job with a benefit plan covering her <unk>
 for employee and employer alike the worry is widespread
 surveys repeatedly show that small-business owners rank the availability and rising cost of health insurance as one of their biggest concerns
 the house energy and commerce committee 's health subcommittee headed by democratic rep. henry waxman of california is looking into complaints that small businesses not only ca n't keep reasonably priced <unk> insurance if claims are filed but often ca n't get coverage at all if a worker is termed <unk> <unk>
 i have an old-fashioned name for people in that position sick people who need health insurance rep. waxman says
 what we 're seeing now makes a <unk> of the idea of insurance collect premiums from the healthy dump the sick and let them pay their own bills
 some lawmakers may seek legislation to limit overly restrictive insurance policies
 the concern grows out of increased efforts by the insurers to woo the small-business market
 as larger companies increasingly <unk> or use reserves to pay their own workers ' medical bills the insurance industry has turned to the <unk> market that was once a <unk> for them
 insurance companies will offer a good rate if no one is sick but it 's a roll of the <unk> says <unk> <unk> of the small business service bureau a group representing N small businesses nationwide
 one case of cancer or a high-risk pregnancy with a sick <unk> and rates go up N N to N N
 small-business people end up paying insurance premiums worth two to three times the cost of one illness
 in addition the group says some of its member companies have been denied insurance because individual workers had medical problems that ranged from a mild <unk> condition to psychological counseling after a <unk> <unk> and <unk>
 the health insurance association of america an insurers ' trade group acknowledges that stiff competition among its members to insure businesses likely to be good risks during the first year of coverage has <unk> the problem in the small-business market
 but it says that rapid rate increases are directly tied to the soaring cost of health care
 some business analysts blame the problem on tough competition in the insurance market
 they say insurance companies use policies aimed at excluding bad risks because their competitors do
 but the general practice makes it more difficult to combine small groups of people into larger groups thus spreading the risk over a larger base of premiums
 i 'm not <unk> insurers of <unk> of duty robert <unk> of the u.s. chamber of commerce told mr. waxman 's panel
 you ca n't ask one carrier to underwrite on social grounds when that might destroy it in the marketplace
 rep. waxman and democratic sen. edward kennedy of massachusetts have proposed regulation to deal with the problem
 the proposal is just part of legislation that would require businesses to provide health benefits an idea that is strongly opposed by small business who say it would just compound the <unk> problems
 but small-business lobbyists say they support the idea included in the <unk> bill of new laws or regulations requiring greater use of community rating which <unk> rates to the use of health care by a community or other large group and is designed to prevent insurance companies from taking only <unk> small companies as clients
 but first on the list of priorities says the national federation of independent business is to prohibit state laws requiring the <unk> of specialty items such as psychiatric care in basic health plans
 such requirements they argue make it difficult to provide a basic low-cost <unk> package
 before the state of wisconsin mandated that <unk> care be covered there were only N <unk> <unk> in the state now there are N says <unk> miller an <unk> lobbyist
 she contends that similar <unk> have driven up insurance costs N N in maryland and N N in california
 the <unk> association also strongly <unk> with the proposed community rating which does n't save one dollar argues james <unk> <unk> 's washington counsel
 it just makes healthy businesses subsidize <unk> ones and gives each employer less incentive to keep his workers healthy
 mr. <unk> says the <unk> is working on a proposal to establish a privately funded reinsurance mechanism to help cover small groups that ca n't get insurance without excluding certain employees
 the <unk> of the insurance problem make the outcome difficult to predict
 but to ms. allen the employee whose back problem triggered a huge <unk> increase the issue was simple
 what good is having health insurance she asked when it 's so expensive that it becomes impossible to keep after only one major claim
 the belgian consumer price index rose a provisional N N in october from the previous month and was up N N from october N the ministry of economic affairs said
 the index which uses a base of N as N was calculated at N points in october from N in september
 annual inflation rose to N N in october from N N in september
 belgium 's inflation has been rising steadily for the past year but the ministry said the latest rise is slower than gains in september and august
 nashua corp. rumored a potential takeover target for six months said that a dutch company has sought u.s. approval to buy up to N N of nashua 's shares
 nashua immediately responded by strengthening a <unk> plan and saying it will buy back up to one million of its shares or N N of the N million outstanding
 nashua whose major business is selling <unk> facsimile machines and related supplies said <unk> & co <unk> of the netherlands filed a request with the federal trade commission under the hart-scott-rodino act for permission to buy more than $ N million of nashua 's stock but less than N N
 previously an affiliate of unicorp canada disclosed a stake of less than N N in nashua according to daniel m. <unk> nashua 's treasurer
 nashua 's stock has <unk> sharply on takeover speculation rising to a high for the year of $ N a share in june from $ N in march
 but the company has had weak results so far this year with earnings declining N N to $ N million or $ N a share on a N N decline in revenue to $ N million through the first nine months of the year
 its stock has slumped recently closing unchanged friday at $ N a share in composite trading on the new york stock exchange at that price the company has a market value of about $ N million
 nashua announced the <unk> request after the market closed
 mr. <unk> said nashua 's intention is to remain an independent public company
 the company said it amended its shareholder rights plan by reducing to N N from N N the level of ownership by an outsider that would trigger the issuance to other holders of rights to buy additional shares of nashua common at half price
 in addition the company 's board authorized the purchase of up to an additional one million shares
 under a program approved by the company in N that did n't specify a share amount nashua had purchased N shares through sept. N
 alex henderson an analyst at prudential-bache securities said that while nashua 's performance this year has been <unk> the company nonetheless is attractive as a classic breakup candidate because there 's no similarity between its four businesses
 he estimated the breakup value at $ N a share
 in addition to selling <unk> <unk> and facsimile machines in europe and <unk> supplies in the u.s. nashua has three other major businesses labels and tapes data storage disks for computers and mail-order <unk>
 the closely held supermarket chain named frank <unk> vice president and treasurer
 the <unk> mr. <unk> joins grand union from singer co. where he was treasurer
 the current account deficit on france 's balance of payments narrowed to N billion french francs $ N million in august from a revised N billion francs in july the finance ministry said
 previously the july figure was estimated at a deficit of N million francs
 seasonally adjusted figures for august were n't available because of a recent strike that has disrupted the ministry 's data collection
 weisfield 's inc. said it is in preliminary discussions regarding the possible sale of the company
 a spokesman for the retail <unk> said the company would provide more details today and that it expects to reach a definitive agreement by the end of the week
 in over-the-counter trading friday weisfield 's gained $ N to $ N
 at that price the company has an indicated value of $ N million
 weisfield 's had about N million shares outstanding as of july N
 the stock gained $ N thursday to close at a <unk> week high
 in the aftermath of the beijing massacre on june N economists advanced wildly <unk> views on how hong kong would be affected
 among the most upbeat was <unk> brokerage asia ltd
 in a june N reaction the bankers trust co. unit proclaimed the economy <unk>
 others were more cautious
 in a july analysis titled from euphoria to <unk> <unk> carr far east ltd. another securities firm said that eroding confidence might undermine future economic development
 today with business activity in hong kong staggering along at an <unk> pace the economy itself seems locked in a struggle between hope and fear
 manufacturers have survived the turmoil in china largely <unk>
 signs of revival seem evident in hong kong 's <unk> hotel sector
 but in the stock and real-estate markets activity remains <unk> even though prices have regained much of their lost ground
 <unk> demand reported by <unk> retailers and even fancy restaurants all reinforce a profile of a community that is sharply tightening its belt
 as many economists and businessmen see it those <unk> underscore a <unk> that seems likely to <unk> the economy throughout the 1990s
 that <unk> is hong kong 's economically rewarding yet politically <unk> relationship with china
 as a model of capitalist efficiency on southern china 's <unk> hong kong 's prospects look good
 china 's land and labor offer <unk> alternatives to local industry
 <unk> freight <unk> through the territory 's port
 in the decade since the communist nation emerged from <unk> its <unk> trade with the west has lifted hong kong 's status as a regional business center
 these benefits seem secure despite china 's current economic and political troubles
 but to hong kong china is n't <unk> business
 it is also the <unk> power that come N will take over this british colony
 china 's leaders have promised generous <unk> for <unk> hong kong
 that promise sounds shaky now that those same leaders have fallen back on marxist <unk> and <unk> force to crush their nation 's democracy movement
 outflows of people and capital from hong kong have been growing since the sovereignty issue first arose in the early 1980s
 a widely held assumption all along has been that given its robust economy hong kong will be able to attract sufficient foreign money and talent to <unk> offset the outflows
 with interest in emigration and investment abroad soaring since june N that assumption no longer seems so safe
 investment and emigration plans take time to come to <unk>
 only four months have passed since the beijing massacre and few are prepared to predict its ultimate impact
 the only consensus is that more money and people may leave hong kong than had been thought likely
 this expected blow has cast a pall over the economy 's prospects
 the question as many people see it is how long such uncertainty will last
 <unk> fraser an economist with <unk> carr a subsidiary of france 's banque <unk> believes that the territory may not be able to regain its momentum until some time after N
 it may experience an <unk> or two in between
 but with local investors shaken by china 's political and economic turmoil she says a genuine recovery may not arrive until hong kong can prove itself secure under chinese sovereignty
 investors have to accept the possibility of a significant slowdown in economic activity in the <unk> to N she says
 over the next few years i would advise caution
 in a <unk> published book on the territory a political economist <unk> <unk> has derived three future scenarios from interviews with N hong kong government officials and businessmen
 nearly half of them argue that hong kong 's uneasy relationship with china will <unk> though not inhibit long-term economic growth
 the rest are split roughly between <unk> who expect hong kong to <unk> along as before and <unk> who <unk> <unk> chaos
 the interviews took place two years ago
 since the china crisis erupted mr. <unk> says the scenario as <unk> by the <unk> group bears a remarkable <unk> to the difficulties hong kong currently faces
 the consensus of this group which he <unk> <unk> is that the local economy will grow through the 1990s at annual rates averaging between N N and N N
 such a pace of growth though respectable for mature industrialized economies would be unusually slow for hong kong
 only twice since the 1960s has annual gross domestic product growth here fallen below N N for two or more consecutive years
 the first instance occurred in N when china 's cultural revolution triggered bloody street <unk> in the colony
 the other came in N from the combined shock of world recession and a severe local stock market crash
 during the past N years hong kong 's economic growth has averaged N N annually
 given hong kong 's record mr. <unk> 's <unk> might have sounded <unk> conservative when the interviews took place two years ago
 under the current circumstances he says their scenario no longer seems <unk>
 the city could lose some of its entrepreneurial flavor
 it could lose some of its <unk> says mr. <unk> a director of baring securities hong kong ltd. a unit of britain 's <unk> plc
 it does n't have to be a disaster
 it just means that hong kong would become a less exciting place
 going by official forecasts of <unk> which measures the colony 's output of goods and services minus foreign income mr. <unk> 's <unk> seem relatively close to the mark
 after taking into account the fallout from the china crisis the government has projected N <unk> growth of N N
 the <unk> forecast published aug. N compares with an earlier forecast of N N published march N and a N N rate achieved in
 sir <unk> jacobs hong kong 's financial secretary says a further downward revision may be justified unless the economy stages a more convincing rally
 we are n't looking at anything like a <unk> scenario he says
 but clearly we 're entering a difficult period
 many factors besides a <unk> of N will have a bearing on hong kong 's economy
 one concerns japanese investors
 barely visible on hong kong 's property scene in N by last year japan had become the top foreign investor spending $ N million
 the market has grown relatively quiet since the china crisis
 but if the japanese return in force their financial might could compensate to some extent for local investors ' <unk> commitment
 another and critical factor is the u.s. hong kong 's biggest export market
 even before the china crisis weak u.s. demand was slowing local economic growth
 <unk> strong consumer spending in the u.s. two years ago helped <unk> the local economy at more than twice its current rate
 indeed a few economists maintain that global forces will continue to govern hong kong 's economic <unk>
 once external conditions such as u.s. demand swing in the territory 's favor they argue local businessmen will probably overcome their N worries and continue doing business as usual
 but economic arguments however solid wo n't necessarily <unk> hong kong 's N million people
 many are refugees having fled china 's <unk> cycles of political repression and poverty since the communist party took power in N
 as a result many of those now planning to leave hong kong ca n't easily be <unk> by <unk> improvements in the colony 's political and economic climate
 emigration applications soared in N when britain and china ratified their accord on hong kong 's future
 in N hong kong 's most <unk> year for a decade N left up N N from the previous year
 last year N went
 the government predicts that annual outflows will level off over the next few years at as much as N a projection that is widely regarded as <unk> low
 a large number of those leaving are managers and professionals
 while no one <unk> to know the exact cost of such a brain drain to the economy hardly anyone doubts that it <unk> a threat
 when the economy loses a big portion of its work force that also happens to include its most productive members economic growth is bound to be affected says <unk> <unk> an economist with hang seng bank
 while wall street is retreating from computer-driven program trading big institutional investors are likely to continue these strategies at full blast further <unk> the stock market trading executives say
 <unk> to a mounting public outcry three more major securities firms bear stearns & co. inc. morgan stanley & co. and oppenheimer & co. announced friday they would suspend stock-index arbitrage trading for their own accounts
 painewebber group inc. announced a <unk> on thursday from stock-index arbitrage a controversial program-trading strategy blamed by many investors for encouraging big stock-market swings
 though the trading halts are offered as a sign of concern about recent stock market volatility most wall street firms remain open to handle program trading for customers
 trading executives privately say that huge stock-index funds which <unk> wall street firms in terms of the size of their program trades will continue to launch big programs through the stock market
 wells fargo investment advisers bankers trust co. and mellon capital management are among the top stock-index arbitrage clients of wall street trading executives say
 these huge stock-index funds build portfolios that match the s&p N stock index or other stock indexes and frequently swap between stocks and futures to capture profits
 they will do it every chance they get said one program-trading executive
 consequently abrupt swings in the stock market are not likely to disappear anytime soon they say
 in fact without wall street firms trading for their own accounts the stock-index arbitrage trading opportunities for the big funds may be all the more abundant
 more customers may come to us now said james <unk> president of bear stearns <unk>
 executives who manage these funds see the current debate over program trading as a repeat of the concern expressed after the N crash
 they noted that studies completed after the N crash <unk> program trading as a source of volatility
 the issues that are now being raised in classic <unk> fashion fly in the face of a number of post-crash studies said fred <unk> chairman of wells fargo investment advisers
 a bankers trust spokesman said that the company 's investment arm uses stock-index arbitrage to enhance investors ' returns
 officials at mellon capital were unavailable for comment
 stock-index funds have grown in popularity over the past decade as pension funds and other institutional investors have sought a low-cost way to match the performance of the stock market as a whole
 many money managers who trade stock actively have trouble consistently matching the <unk> 's returns
 some stock-index funds are huge
 wells fargo investment advisers for example managed $ N billion in stock investments tracking the s&p N at the end of june according to standard & poor 's corp
 mr. <unk> said $ N billion of that is used in active index arbitrage
 stock-index funds frequently use the futures markets as a hedging tool but that is a far less aggressive strategy than stock-index arbitrage in which traders buy and sell big blocks of stocks with offsetting trades in stock-index futures to profit from price differences
 the 190-point plunge in the stock market oct. N has heightened concerns about volatility
 and while signs of an economic slowdown softer corporate earnings and troubles with takeover financing all have contributed to the stock market 's recent weakness many investors rushed to blame program trading for <unk> market swings
 the wall street firms ' <unk> followed their recent <unk> by several institutional investors
 last tuesday kemper corp. 's kemper financial services inc. unit said it would no longer trade with firms committed to stock-index arbitrage including the three that later suspended stock-index arbitrage trading on friday
 phoenix mutual life insurance co. and <unk> asset management inc. also cut off brokerage firms that engage in program trading
 though it is still doing stock-index arbitrage trades for customers morgan stanley 's trading halt for its own account is likely to shake up firms such as kidder peabody & co. that still do such trades for their own account
 morgan stanley has consistently been one of the top stock-index arbitrage traders in recent months
 indeed morgan stanley 's president richard b. fisher said the firm is putting up money to form a group of regulators investors and investment banks to find out if stock-index arbitrage artificially <unk> stock-market volatility
 we have to clear up these issues and find out what is present that is creating <unk> volatility mr. fisher said
 there is no question that investor confidence in the stock market is critical
 joining the call for some kind of study or regulatory action merrill lynch & co. recommended program-trading reforms late friday including higher margins on stock-index futures and greater regulatory coordination
 separately mr. <unk> of bear stearns said his firm is working with regulators to balance margin requirements to enhance <unk>
 margin rules determine the minimum amount of cash an investor must put up when buying a security
 current rules permit investors to put up less cash for futures than for stocks
 some observers say that different rules governing stock and futures markets are partly responsible for volatility
 these rules they say permit faster and cheaper trading in futures than in stocks which frequently <unk> the two markets out of line
 stock-index arbitrage because it sells the more expensive market and buys the cheaper one attempts to <unk> the link between the stock and futures markets and the adjustments are often abrupt
 but <unk> trading rules allow the futures market to trade differently from stocks which invites frequent <unk> of stock-index arbitrage in the first place
 there has to be better coordination on a regulatory basis said christopher <unk> director of trading at <unk> securities corp
 one agency should have the authority over all equity products
 like so many trends in the entertainment industry the current spate of rape <unk> on television seems to represent a <unk> of <unk> and <unk>
 the former comes from the latest wave of political <unk> in hollywood especially around <unk> issues such as abortion
 the latter comes from the perception on the part of many people in network tv that their only hope of keeping viewers from <unk> to cable is to fill the <unk> with an increasingly raw <unk>
 put these together and you get programs about rape
 the best of the crop was last week 's season premiere of in the heat of the night the nbc series based on a N feature film about a black philadelphia police <unk> in a small southern town
 in the series <unk> <unk> howard <unk> and his wife <unk> <unk> johnson have settled in <unk> miss
 because the show has acquired a sense of place by being <unk> on location in georgia this episode in which <unk> gets <unk> by an arrogant white <unk> does a decent job of <unk> the social <unk> of the crime
 obviously it 's harder to establish a sense of place in a <unk> tv movie
 but tonight 's offering settle the score N p.m. est on nbc does n't even try
 this tale of a chicago <unk> returning home to find the man who <unk> her N years earlier is supposed to be set in the <unk>
 but it 's more like an illustration of what ben stein describes in his study of social attitudes in the tv industry fear of violence and <unk> because of race or <unk> fear and lack of <unk> about the politics of small-town people produce a powerful wave of dislike of small towns in the minds of tv writers and producers
 the writer and executive producer of settle the score steve sohmer is a graduate of yale who participated in a pbs <unk> aired this summer in which six members of the yale class of N <unk> about their lives since <unk>
 at one point in the <unk> mr. sohmer who is jewish says he felt rejected by many of the <unk> and <unk> he met at yale
 he quotes one student saying you 're just the kind of <unk> we <unk> ca n't stand
 mr. sohmer <unk> that it was partly in response to such attitudes that he is now a <unk> on one of the two islands off the coast of america
 but is <unk> in hollywood enough
 not to judge by settle the score in which mr. sohmer seems to be settling a score of his own
 of all the <unk> <unk> of small-town america i 've seen on tv this film is the most <unk> nasty
 the sole sympathetic character is the <unk> daughter kate <unk> smith and she is <unk> only by virtue of having nothing in common with her <unk> a truly <unk> pack of southern <unk> whose grim existence consists mostly of growing <unk> and <unk> sex
 i mean these folks are so <unk> that they blame pretty kate for the fact that when she was a <unk> someone tied her hands behind her back thrust her head into a <unk> <unk> <unk> <unk> and beat her and then left her to die in a <unk> room
 her pa howard duff is the kind of guy who while saying grace at the <unk> table <unk> at the word <unk> and <unk> at the daughter he has n't seen for two decades because he knows in his heart that she enjoyed what happened in the <unk> room and has been <unk> the same taste ever since in the <unk> of chicago
 people like pa do exist of course
 but in mr. sohmer 's <unk> he is but the tip of the <unk> <unk>
 every man kate <unk> is either <unk> <unk> <unk> <unk> <unk> <unk> or all three
 add the fact that any one of them including pa could be her <unk> and you have a setting that does n't resemble small-town america or even hollywood 's nightmare of small-town america so much as a <unk> <unk> <unk> like margaret <unk> 's the <unk> 's tale itself soon to be you <unk> it a hollywood movie
 there are two exceptions <unk> jeffrey <unk> the local doctor who has always loved kate and lincoln richard <unk> kate 's <unk> but <unk> brother
 <unk> makes <unk> passes at kate when she 's <unk> with anger and fear but we know from the outset that he 's not a member of the evil <unk>
 how could he be
 he 's the director of the local planned <unk> chapter
 as for lincoln if you ca n't guess why he 's so sweet to his sister when everybody else <unk> her then i 'm not going to tell you
 as for the women they 're <unk>
 kate 's <unk> <unk> <unk> is a moral <unk>
 her <unk> <unk> wright is a <unk> <unk> afraid that kate will <unk> all the married men in town including a particularly <unk> fellow named tucker whose idea of fun is to leave his wife at home <unk> to her <unk> and cigarette burns while he <unk> kate into a dance that consists of <unk> on her while trying to break her <unk>
 at the very least it would appear that <unk> is a poor judge of <unk> <unk>
 yet even these <unk> <unk> are not as bad as the moral <unk> at the heart of settle the score
 in the <unk> episode of in the heat of the night we saw <unk> being attacked but we were n't invited to enjoy the <unk>
 in mr. sohmer 's film by contrast we are urged to share the <unk> excitement of the <unk> creeping up on his victim as the camera <unk> kate in various stages of <unk> and <unk> on the sight of her <unk> body during frequent <unk> to the rape
 at this point the truce between <unk> and <unk> gets mighty uneasy
 take the scene in which kate stands naked by a <unk> window <unk> to her hidden <unk> look all you want
 starting tomorrow i 'm <unk> you
 or the one in which she and <unk> are <unk> in the city and after insisting on separate motel rooms she <unk> on his door to pour out her feelings about the rape wearing nothing but a <unk> and a <unk> <unk>
 surely the question is obvious
 with friends like mr. sohmer do the <unk> of hollywood need enemies
 crossland savings bank 's stock plummeted after management recommended a suspension of dividend payments on both its common and preferred stock because crossland may not meet the new government capital criteria effective dec. N
 in composite trading on the new york stock exchange friday crossland closed at $ N down $ N a N N decline
 a spokesman said the savings bank may not qualify for the capital requirements because under the proposed guidelines its $ N million of preferred stock does n't meet the core capital criteria outlined under the new financial institutions reform recovery and enforcement act of N
 he added that final guidelines to be published in early november will determine whether the bank is in compliance
 crossland said it retained three investment bankers to assist it in developing and <unk> a financial restructuring plan
 it would n't identify the bankers
 additionally crossland reported a third-quarter loss of $ N million or $ N a share compared with net income of $ N million or $ N a share a year ago
 a major factor in the third-quarter loss was the write-down of $ N million of goodwill
 the spokesman said that the proposed guidelines caused crossland to revise its business objectives and consequently to write down the asset value of some previous acquisitions
 crossland recorded an additional $ N million in loan loss reserves in the third quarter
 net interest income for the third quarter declined to $ N million from $ N million a year ago
 however non-interest income rose to $ N million from $ N million
 third-quarter loan <unk> dropped sharply to $ N million from $ N billion a year ago
 standard & poor 's corp. lowered the rating on crossland 's preferred stock to <unk> from <unk> and placed it on <unk> for possible further downgrade
 it also placed on <unk> for possible downgrade other securities including the <unk> rating of crossland 's certificates of deposit and the <unk> rating of its senior subordinated capital notes
 about $ N million of debt is affected
 the <unk> <unk> in the mail
 open it and two <unk> eyes on a boy 's brown face <unk> out from the page <unk>
 does the <unk> have a good mind about to be wasted
 is he a victim of gramm-rudman cuts
 no but he 's endangered all the same his new <unk> on abc needs a following to stay on the air
 abc has n't had much luck with shows featuring blacks in recent years and the producers of one new <unk> are a bit desperate
 <unk> a show about a black ad executive who gives up the <unk> for a <unk> classroom is <unk> the ratings test
 so producers <unk> and <unk> <unk> spun their <unk> and gathered names of black opinion makers to mount a direct-mail campaign
 by wooing a core black audience they figure they might keep the show alive at least until the spring <unk>
 using direct mail for a tv show is like fishing for <unk> with a <unk> hook
 it just is n't done
 but <unk> this kind of <unk> plea to black <unk> makes it even more unusual
 still mr. <unk> thinks he can reach a good chunk of the three <unk> black homes he needs by mailing to the almost N blacks who form what he calls the <unk>
 the <unk> is n't organized but you and i know it exists says mr. <unk> referring to the often <unk> small world of black professionals and community leaders
 this is a very personal ethnic style mr. <unk> says
 i want people in the barber shops and the beauty shops and standing in line at the <unk> <unk> to be talking about the show
 i want white america to talk about it too but i 'm convinced that the <unk> is what 's happening
 abc says it is aware of the producers ' action but the mailing was sent without the network 's blessing
 the letter in fact takes a <unk> at abc for being a <unk> in black programming
 meanwhile as the sunday evening show struggles to stay afloat against the tough competition of murder she wrote the <unk> idea is threatening to turn into a <unk> the <unk> apparently has inspired sample <unk> but <unk> are slow in coming
 doug <unk> a black advertising executive who tracks black <unk> patterns gives the <unk> an a for marketing <unk> but is n't alone in his <unk> reaction
 some shows just do n't <unk> he says and this is one of them
 transcanada pipelines ltd. said it plans to shift its headquarters to calgary alberta from toronto next year to cut costs and be closer to the <unk> natural-gas industry
 gerald <unk> president and chief executive officer of the natural-gas pipeline and marketing concern said the company 's future growth is increasingly linked to decisions made by calgary-based gas producers
 since deregulation of the market in N producers have become much more intensely involved in both transportation and marketing mr. <unk> said
 it 's a matter of being close to those suppliers many of those companies do n't know us as well as they should
 transcanada <unk> all gas that moves <unk> from alberta
 that includes all the gas consumed in ontario and quebec along with the bulk of canadian gas exports to the
 walter <unk> vice president of <unk> gas ltd. a calgary-based gas marketing concern said the industry will welcome the move
 having more than a <unk> presence here should enhance communications and business relationships mr. <unk> said
 since the cost of <unk> gas is so important to producers ' ability to sell it it helps to have input and access to transportation companies
 the move which could cost transcanada as much as N million canadian dollars us$ N million in relocation and severance payments should be complete by next summer mr. <unk> said
 all N toronto-based employees will be offered positions in calgary the company said
 the company will save between c$ N million and c$ N million annually in office expenses and other administrative costs by moving to calgary mr. <unk> added
 part of both the costs and the savings could be passed on to shippers on the transcanada pipeline through <unk> which are based on the value of the pipeline system and the cost of operating it
 transcanada is N N owned by <unk> holding company <unk> inc
 since its founding in N brooks brothers the <unk> of the ivy league look has <unk> flashy sales promotions and fashion trends the rules that most retailers live by
 but with sales growth sluggish and other men 's stores putting on the heat the venerable retailer can no longer afford such a <unk> attitude
 so two weeks ago thousands of brooks brothers charge customers customers <unk> to wait for <unk> clearance sales got a surprise an invitation to come in and buy any one item for N N off
 during the four-day promotion shoppers at the short hills n.j. store lined up to pay for <unk> items like coats and suits
 that 's not all
 <unk> from its newspaper ads featuring <unk> <unk> of a suit or a <unk> brooks brothers is marketing an <unk> image in a new campaign that carries the <unk> the surprise of brooks brothers
 one color photo displays a rainbow of dress shirts tied in a <unk> another picture shows <unk> with bold designs
 the message is loud and clear this is not your father 's brooks brothers
 as part of its national ad pitch brooks brothers will show less <unk> women 's clothes moving away from its <unk> business <unk>
 one ad shows a bright red <unk> <unk> with a black leather <unk>
 and the ad copy is <unk> how can you be a wall street hot shot without at least one brooks brothers suit in your portfolio
 brooks brothers hopes that shaking its <unk> <unk> will attract more young men and more women and change consumer perceptions about its range of merchandise
 we have men who only buy their shirts and underwear here or younger customers who only buy their job interview suit here says william roberti chairman and chief executive officer of brooks brothers
 we want them to buy more of their <unk> here
 industry watchers agree that brooks brothers is long overdue in <unk> its <unk> image which has <unk> its growth
 when acquired in may N by british retailer marks & spencer plc brooks brothers ' annual operating profit was about $ N million on sales of $ N million
 mr. roberti concedes that since the $ N million takeover sales growth has n't been dramatic
 for the N months ended march N operating profit at the <unk> chain totaled $ N million on sales of $ N million
 as brooks brothers <unk> into the fashion fray it will be playing catch up
 many <unk> especially ralph <unk> have <unk> in on the recent popularity of <unk> ivy league and english styles
 in keeping with men 's broader fashion scope today businessmen are <unk> in english and italian suits that are conservative but not <unk>
 the rigid ivy league customer brooks brothers ' bread and butter meanwhile is becoming <unk>
 thus brooks brothers has lost customers to stores that offer more variety such as paul stuart <unk> new york and louis boston
 brooks brothers no longer has a lock on the ivy league customer who is <unk> about his clothes says charlie <unk> president of the <unk> shop a traditional men 's store in cambridge mass
 by making a break from tradition brooks brothers is seeking a delicate balance
 if it <unk> fashion too much the shop risks <unk> its <unk> customers by <unk> value it risks <unk> down its <unk> <unk>
 fashion industry consultants also question whether the company can make significant <unk> in its women 's business given that its customer base is less established and that conservative business dress for women is on the decline
 brooks brothers ' aim is for N N of total sales to come from the women 's department up from the current N N
 everybody <unk> that there are fashion cycles in classic merchandise observes carol farmer a retail consultant
 for women <unk> for success in a real structured way is over
 despite these challenges marks & spencer sees big potential in brooks brothers noting the widely recognized name and global presence
 marks & spencer plans to open roughly N more u.s. stores in the next five years
 brooks brothers says business is robust at its N outlets in japan and two shops in hong kong
 marks & spencer is also considering opening stores across europe sometime in the future
 alan smith president of marks & spencer north america and far east says that brooks brothers ' focus is to boost sales by <unk> its merchandise <unk> while keeping its traditional emphasis
 the british parent is also streamlining brooks brothers which continues to make almost all of its merchandise recently shut one of its two <unk> plants in paterson n.j. and has closed boys ' departments in all but N stores
 brooks brothers is also remodeling its stores
 wednesday it will unveil a $ N million <unk> at its flagship store on madison avenue
 with newly installed <unk> the store retains its signature <unk> look but is less <unk>
 more shirts and <unk> will be laid out on tables instead of sitting behind glass cases so that customers can walk up and touch them mr. roberti says
 because the biggest growth in <unk> is in casual <unk> brooks brothers is chasing more of that business
 the entire second floor of its madison avenue store is now casual <unk> featuring items such as ski <unk> leather <unk> and a $ N <unk> baseball hat with the store 's crest
 the centerpiece of the overhaul according to mr. roberti is the men 's tailored clothing department where brooks brothers has added new suit styles and <unk>
 the perception out there is that we are very conservative and we only sell one type of suit mr. roberti says referring to brooks brothers ' signature <unk> <unk> suit with a <unk> <unk> and <unk> fit
 but it now offers more <unk> versions and suits with a <unk> fit
 it also plans to add suits cut for athletic men with broader upper bodies
 next spring nearly N N of its suits will have <unk> <unk> compared with virtually none a couple of years ago
 says mr. roberti we want to turn the customer on
 <unk> corp. said it will buy back as many as one million common shares
 the maker of chemical and industrial materials did n't say how much it would pay or when it would make the transactions
 <unk> also said it would cancel the unused portion of a N buy-back plan for administrative reasons
 the plan calls for the company to buy back N shares which reflects a <unk> stock split this year
 so far the company had bought back N million shares
 in new york stock exchange composite trading friday <unk> closed at $ N down N cents
 arthur price abruptly quit as president and chief executive officer of mtm entertainment inc. a los angeles production company that has fallen on hard times
 mr. price N years old also stepped down from the board of tvs entertainment plc the british tv company that last year bought mtm producer of such tv programs as hill street blues and the mary tyler moore show
 a tvs spokesman said he did n't know mr. price 's plans
 james gatward tvs 's chief executive said in a statement that he will assume overall responsibility for mtm 's operations until a successor is named
 industry analysts speculated that mr. price 's sudden departure may have stemmed from conflicts with mr. gatward
 mr. price wanted to run the mtm business and may have <unk> selling the company to tvs suggested charles <unk> managing director of zenith productions a subsidiary of <unk> communications plc london
 mr. gatward declined to comment and mr. price could n't be reached on friday
 in the tvs statement mr. price said leaving mtm was a very difficult decision but added that it is now time for a change
 the $ N million purchase of mtm represented an <unk> international move for tvs which then was about half the u.s. concern 's size
 at the time mr. gatward said his friendship with mr. price had <unk> the way for its link with the small british company
 but tvs stunned industry analysts last month by disclosing that it expected mtm to post an operating loss for this year
 in that announcement tvs also said it was trimming production finance and hiring a new u.s. sales manager
 mr. gatward has spent a lot of time since late september at mtm 's headquarters he eliminated three departments and fired six executives according to the tvs spokesman
 further staff cuts are likely the spokesman indicated
 obviously we are looking at making economies across the board
 tvs blames difficulties in peddling reruns of mtm shows to u.s. broadcasters for the problems at mtm
 the market for reruns sold to local u.s. broadcasters has been weak for the past three or four seasons
 mr. price <unk> mtm in N with u.s. actress mary tyler moore and grant <unk> her <unk>
 mr. <unk> later left to become chairman of national broadcasting co
 the tvs spokesman said mr. price still holds about an N N tvs stake acquired as part of the mtm acquisition
 in late trading on london 's stock exchange friday tvs shares rose four pence to N pence a share
 two rival bidders for connaught <unk> extended their offers to acquire the toronto-based vaccine manufacturer friday
 <unk> merieux s.a. which offered N million canadian dollars us$ N million or c$ N a share for connaught said it would extend its bid due to expire last thursday to nov. N
 a c$ <unk> bid by ciba-geigy ltd. a pharmaceutical company based in <unk> switzerland and <unk> chiron corp. a <unk> concern was extended to nov. N
 it had been due to expire friday evening
 merieux previously said it would ensure its bid remained open pending a final decision by canadian regulators on whether to approve the takeover
 merieux a vaccine and <unk> firm based in <unk> france is controlled N N by state-owned <unk> <unk> s.a
 the canadian government previously said merieux 's bid did n't offer enough net benefit to canada to be approved and gave merieux an until <unk> to submit additional information
 merieux officials said last week that they are highly confident the offer will be approved once it <unk> details of its proposed investments to federal regulators
 both offers are conditional on regulatory approvals and enough shares being tendered to give the bidders a majority of connaught 's shares outstanding
 <unk> merieux which already holds a N N stake in connaught said that at the close of business thursday N shares of connaught and c$ N million face amount of debentures convertible into N common shares had been tendered to its offer
 at the close of business thursday ciba-geigy and chiron said N common shares had been tendered to their offer
 at last report connaught had N million shares outstanding
 separately the ontario supreme court said it will postpone indefinitely a ruling on the lawsuit launched by the university of toronto against connaught in connection with the merieux bid
 in a statement prepared by lawyers for the university and connaught the parties said they agreed that as a result of reaching a c N million research accord it is unnecessary that there be a judgment on the merits of the case at this time
 lawyers for the two sides were n't immediately available for comment
 the university had sought an injunction blocking connaught 's board from recommending or supporting an offer for the company by merieux
 <unk> inc. said it is calling for the redemption on dec. N of all the N remaining shares outstanding of its $ N series a convertible preferred stock at $ N a share
 the insurance concern said all conversion rights on the stock will terminate on nov. N
 until then <unk> said the stock remains convertible into common stock at the rate of N shares of common stock for each share of preferred stock which is equivalent to a conversion price of $ N a common share
 in new york stock exchange trading friday <unk> closed at $ N down N cents
 <unk> energy corp. said the ohio water development authority approved terms for two series of tax-exempt bonds to finance a <unk> control and <unk> disposal facilities
 the authority will issue a total of $ N million of <unk> revenue bonds
 proceeds of the sale will go to <unk> 's operating subsidiaries to finance the projects located at a nuclear unit located near cleveland
 the bonds will be issued for a term of N years at an interest rate of N N
 goldman sachs & co. is the underwriter
 general motors corp. 's <unk> truck division put a $ N cash incentive on its N <unk> <unk> and suburban trucks
 the program which runs through jan. N also offers <unk> financing in <unk> of the cash <unk>
 after days of intense but <unk> negotiations a federal judge last week threatened to convert william herbert hunt 's chapter N personal bankruptcy case into a chapter N liquidation
 judge harold c. abramson raised the possibility after talks to end a <unk> between two major creditors failed and all three reorganization plans in the case ran into <unk>
 if the case is converted to chapter N what remains of the oil <unk> 's <unk> estate now believed to have a value of less than $ N million would be sold off quickly with most of the proceeds going to the internal revenue service whose claim for $ N million in back taxes has priority in the case
 hundreds of smaller creditors could get nothing according to attorneys involved
 while admitting such a move would be devastating to most creditors judge abramson told a courtroom filled with nearly two dozen attorneys that he was concerned about the toll mounting legal bills will take on mr. hunt 's shrinking estate and about the fact that following voting by creditors none of the reorganization plans appeared to be viable in their present form
 it would be a shame to have a chapter N after all the progress in this case said judge abramson
 under chapter N of the federal bankruptcy code a company continues to operate under protection from creditors ' lawsuits while it works out a plan to pay its debts
 under chapter N the assets of a company are sold off to pay creditors
 despite his reluctance to take the latter step the judge indicated he would move quickly after hearing testimony later this week in the bitter dispute between manufacturers hanover trust co. and minpeco s.a. a minerals concern owned by the <unk> <unk>
 the manufacturers hanover corp. unit which is seeking repayment of a $ N million loan has asked the court to give its claim priority over that of minpeco which won a $ N million judgment against mr. hunt his brother nelson <unk> hunt and other defendants last year in a case stemming from their alleged attempts to corner the silver market in
 while claiming that penalties legal fees and interest have driven the value of its claim to more than $ N million minpeco has agreed to settle for an allowed claim of as much as $ N million
 but even that is disputed by manufacturers hanover which in alliance with the irs contends that minpeco has already collected more than its actual damages from other defendants in the <unk> case
 under <unk> from judge abramson a minpeco executive flew in from peru last week to talk directly with executives from manufacturers hanover on a settlement
 despite long private sessions in both new york and dallas the two sides ended the week N miles and many dollars apart according to attorney <unk> ray who represents manufacturers hanover
 meanwhile inside the courtroom the judge said he would fine attorneys for the two creditors $ N every time they referred to each other with terms such as <unk> or <unk>
 all three major creditors the irs minpeco and manufacturers hanover voted against and effectively doomed a reorganization plan proposed by mr. hunt
 a reorganization plan proposed jointly by the irs and manufacturers hanover was stalled by a negative vote from minpeco
 the mineral concern 's own reorganization plan met a similar fate after opposition from the irs and manufacturers hanover
 neither plan is dead however and the judge could force creditors to accept some version of them after ruling on the <unk> hanover dispute
 meanwhile settlement negotiations continue between mr. hunt and the irs which has already reached a tentative agreement with nelson <unk> hunt
 the two sides have been far apart on how much herbert hunt will continue to owe the government after his assets are sold
 stuart e. <unk> a partner in the washington law firm of <unk> <unk> <unk> & murphy was named a director of this utility holding company increasing board membership to N
 pacific first financial corp. said it signed a <unk> letter of intent to acquire the construction lending unit of old stone bank of california
 terms have n't been <unk> but the transaction is expected to close by year end pacific first said
 old stone 's construction lending portfolio includes about $ N million in real-estate loans outstanding
 the unit has N employees in four california offices the company said
 pacific first owns pacific first federal savings banks and other financial services firms
 general electric co. 's <unk> leasing unit completed the $ N million purchase of similar businesses from <unk> national corp. and <unk> corp. <unk> by <unk> the sellers said
 the buyer was ge capital <unk> services chicago a major owner of railway equipment and part of the ge capital operations
 <unk> new york estimated it had a <unk> gain on the transaction of $ N million including its part of <unk> 's gain
 because of tax-loss carry-forward <unk> said it expects to escape taxes on a substantial portion of the gain
 the estimated gain for <unk> is $ N million including a tax credit of $ N million the sellers said
 the credit for income taxes is a result of having provided deferred income taxes applicable to the sold assets at the higher income tax rates in effect in prior years the sellers said
 automatic data processing inc. plans to redeem on nov. N its $ N million of N N convertible subordinated debentures due march N N
 the <unk> concern will pay $ N for each $ N face amount of debt
 the conversion price for the debentures is $ N a share
 in new york stock exchange composite trading friday automatic data closed at $ N a share down $ N
 if all the debt is converted to common automatic data will issue about N million shares last monday the company had nearly N million shares outstanding
 automatic data is <unk> the bonds because the after-tax cost of the interest on the bonds is higher than the dividend yield on the common a spokesman said
 dow jones & co. extended its tender offer of $ N a share or about $ N million for the N N of telerate inc. that it does n't already own until N p.m. est nov. N
 the offer which telerate 's two independent directors have rejected as inadequate previously had been scheduled to expire at midnight friday
 dow jones said it extended the offer to allow shareholders time to review a supplement to the dow jones tender offer <unk> that it <unk> last friday
 the supplement contains various information that has been filed with the securities and exchange commission since dow jones launched the offer on sept. N but it does n't change the terms and conditions of the offer except to extend its expiration date
 in delaware chancery court litigation telerate has criticized dow jones for not disclosing that telerate 's management expects the company 's revenue to increase by N N annually while dow jones based its projections of telerate 's performance on a N N revenue growth forecast
 in the tender offer supplement dow jones <unk> the different growth forecasts but says it views the N N growth rate as a <unk> goal of telerate 's management and not as a realistic basis on which to project the company 's likely future performance
 telerate shares fell N cents on friday to close at $ N each in new york stock exchange composite trading
 dow jones shares also fell N cents to close at $ N in big board composite trading
 dow jones has said it believes the $ <unk> price is fair to telerate 's minority shareholders
 late last week representatives of dow jones and telerate began negotiations about the terms of the offer but those talks did n't result in any changes in the offer
 telerate provides information about financial markets through an electronic network
 dow jones which owns N N of telerate publishes the wall street journal barron 's magazine community newspapers and operates financial news services and computer data bases
 <unk> manufacturing corp. won a $ N million army contract for <unk> <unk> shell <unk>
 avondale industries inc. received a $ N million navy contract for ship spare parts
 air & water technologies corp. completed the acquisition of falcon associates inc. a <unk> pa. <unk> concern for $ N million of stock
 air & water which provides environmental services and systems paid about N million of its shares for falcon
 in american stock exchange composite trading friday air & water closed unchanged at $ N
 at july N air & water had nearly N million shares outstanding
 the canadian <unk> <unk> totaled N at oct. N down N N from a year earlier said statistics canada a federal agency
 <unk> for breeding and <unk> <unk> totaled N down N N from a year ago
 <unk> fla. charles bates president chief executive and chief operating officer will resign from these positions and the board effective oct. N
 norman j. harrison chairman will succeed him as chief executive
 roger l. sutton executive vice president was appointed as the new president and chief operating officer
 kerry p. <unk> will become executive vice president and retain his positions as chief financial officer and treasurer
 upset over the use of what it says are its exclusive <unk> <unk> angels <unk> corp. is fighting back in court
 concord new <unk> corp. <unk> of a N movie called nam angels used the gang 's name and <unk> without authorization the <unk> corporation says in a complaint filed in federal court
 nam angels <unk> a group of the cycle gang 's members on a <unk> mission to <unk> nam during the war years
 in addition to being broadcast on cable television the movie also is being distributed on <unk> the suit alleges in seeking unspecified damages
 also named in the suit is media home entertainment inc. of <unk> city calif. its parent <unk> communications inc. and <unk> television of los angeles holders of the copyright on the movie
 a concord spokeswoman called the suit <unk> but declined to comment further
 besides being upset with the film 's use of the <unk> angels name and <unk> the angels are angry with their <unk> in the movie
 there is absolutely no way our board or membership would have approved the portrayal of the <unk> angels in this movie said george christie president of the club 's <unk> chapter
 portrayal of our members as <unk> to each other is totally contrary to the most important values of our organization loyalty and trust
 nam angels shows angels fighting with each other and also <unk> them as showing no <unk> when a member is killed
 both of these actions are n't characteristic of real <unk> angels mr. christie said
 <unk> angels was formed in N and incorporated in N
 in addition to N <unk> in the u.s. there are N <unk> in foreign countries
 douglas h. miller self-employed in the oil and gas securities business was named chairman of this oil and gas exploration company filling a vacancy
 mr. miller who has been a coda director also was named chief executive officer succeeding ted <unk> who remains president and chief operating officer
 lawrence m. <unk> jr. president was elected to the additional posts of chairman and chief executive officer of this utility holding company effective feb. N N
 the <unk> mr. <unk> who was also elected chairman and chief executive of all <unk> subsidiaries succeeds john a. warren
 mr. warren will remain on the company 's board
 the american stock exchange said a seat was sold for $ N unchanged from the previous sale oct. N
 seats on the amex currently are quoted at $ N bid and $ N asked
 the world had a big <unk> recently when the soviets reported a rash of ufo <unk> one of them bringing tall aliens who <unk> in the dark to <unk>
 it is the opinion of timothy good author of above top secret the world ufo <unk> <unk> <unk> N pages $ N that the world <unk> too fast
 here is a <unk> for ufo watchers complete with pictures of people who say they 've had personal relationships with aliens
 one photo shows a woman sporting a <unk> she says was made by a laser beam a <unk> weapon from the looks of the wound
 so far anyway our <unk> visitors seem more intent on <unk> our <unk> than <unk> us
 mr. good <unk> much serious space to the events of feb. N N when american <unk> spotted strange lights in the sky above los angeles
 <unk> <unk> sounded the alarm at N a.m. <unk> N air <unk> to duty
 soon all hell broke loose
 ground <unk> targeting an odd <unk> of aircraft traveling at highly unusual speeds opened up a <unk> <unk>
 the sky filled with <unk> <unk> several of which fell back to earth destroying homes and buildings
 when the smoke cleared six people were dead three from heart attacks and everyone <unk> what in the world they were shooting at
 mr. good who documents these things as best he can provides an official explanation in the form of a memorandum from chief of staff george c. marshall to president <unk> N pounds of <unk> he wrote his <unk> in chief were <unk> on unidentified aircraft flying at speeds as slow as N mph and <unk> between N and N feet
 well thousands of californians on the scene insisted the <unk> had been <unk> aimed at a large <unk> ufo but you will just have to make your own decision about such <unk>
 one thing 's for sure there have been a ton of them and greater beings than the editors of the national <unk> have shown interest
 gerald ford a fairly <unk> fellow once sent a letter to the chairman of the armed services committee recommending that there be a committee investigation of the ufo phenomenon
 i think we owe it to the american people to establish credibility regarding <unk> and to produce the greatest possible <unk> on the subject
 <unk> carter went further in a N campaign promise if i become president i 'll make every piece of information this country has about ufo <unk> available to the public and the scientists
 i am convinced that <unk> exist because i have seen one
 but you know about campaign promises
 it still does n't look like governments are <unk> up everything they know
 still despite their efforts to convince the world that we are indeed alone the visitors do seem to keep coming and like the recent <unk> there 's often a detail or two that suggests they may actually be a little on the <unk> side
 for instance witnesses in <unk> say the <unk> <unk> and their robot friend after <unk> around the city park left behind some rocks
 now why you have to ask yourself would <unk> beings haul a bunch of rocks around the universe
 or land in russia so often
 in a N incident a soviet mail plane disappeared off the radar screen just after <unk> its position to ground control in sverdlovsk
 a search party soon found the <unk> aircraft in a forest clearing much too small to have allowed a conventional landing
 what 's more the seven mail personnel aboard were missing
 again you have to ask the obvious question why would <unk> beings <unk> seven soviet <unk>
 speculation as to the nature of aliens will no doubt continue until we wake up one morning to find they 've taken over the today show the way they <unk> an entire town in jack <unk> 's <unk> of the body <unk> <unk> & <unk> N pages $ N
 maybe some of our <unk> hosts and <unk> have already been taken over
 the point of this N novel which spawned two movies is that the <unk> <unk> people <unk> by <unk> plants are virtually <unk> from human folks
 another guy who thinks they 're out there and closing fast is <unk> <unk> whose new novel <unk> <unk> N pages $ N takes a look at a reported N ufo crash near the <unk> army air field in a new mexico desert
 mr. <unk> knows a lot about aliens
 he even had sex with one sort of and not intentionally as readers learned in his <unk> a book recently described in the new york times as a <unk> best seller
 the way mr. <unk> tells it in his <unk> <unk> the intelligence officer who found the craft 's strange debris was forced by the government to call the <unk> <unk> parts of a weather balloon
 the apparent crash became top secret and the <unk> creatures went away upset with the <unk> ways of human beings
 we lost our chance to <unk> with <unk> visitors about four feet tall who looked as though they were made of <unk> <unk>
 mr. <unk> is an editorial writer for the rocky mountain news
 trustcorp inc. will become society bank & trust when its merger is completed with society corp. of cleveland the bank said
 society corp. which is also a bank agreed in june to buy trustcorp for N million shares of stock with a market value of about $ N million
 the transaction is expected to close around year end
 when the economy <unk> in the mid-1970s akzo <unk> fell out of bed
 <unk> overcapacity in the synthetic fiber business which accounted for half of the dutch chemical company 's sales led to huge losses and left akzo 's survival in doubt
 it was n't until the early 1980s that akzo <unk> itself back to health
 now as a new downturn in the chemical industry looms akzo says it is in far better shape to cope
 investment analysts generally agree
 aside from slashing costs and investing heavily in its plants akzo has spent N billion guilders $ N billion on acquisitions since N to give it better balance
 during the same period the company has sold about N billion guilders of assets
 the fibers business whose products go into <unk> carpeting and <unk> industrial uses now accounts for only N N of akzo 's sales
 we have definitely become less cyclical <unk> bergsma executive vice <unk> said in an interview
 still akzo has n't yet found a way to achieve another goal a large presence in the u.s. market for prescription drugs
 mr. bergsma said prices for u.s. pharmaceutical companies remain too high making it unlikely that akzo will pursue any major acquisitions in that area
 but he said akzo is considering alliances with american drug companies although he would n't elaborate
 an indication of akzo 's success in <unk> itself will come thursday when it reports third-quarter results
 analysts expect the company to show profit of about N million guilders up N N from N million guilders a year earlier
 a bigger test will come next year if as many analysts expect bulk chemical prices slump in europe
 maybe akzo can surprise the investment world a bit said <unk> <unk> an analyst at <unk> bank <unk>
 he figures akzo is likely to be one of the few major chemical companies to show profit growth next year
 the bank projects akzo will show per-share earnings of N guilders in N up from an estimated N guilders for this year and the N guilders reported for N
 at james capel & co. in london analyst <unk> <unk> notes that akzo is less exposed than many of its rivals to the most volatile chemical products
 for example akzo has only minor petrochemical operations is small in plastics and does n't make <unk>
 thus while akzo <unk> less than many rivals from the boom of recent years in petrochemicals and plastics it has less to fear from the current slump
 the company is exposed to bulk chemicals however
 although <unk> prices have begun falling in the u.s. they are generally stable in europe mr. bergsma said
 a decline may come in the first half of N he said but the market does n't appear on the verge of a severe downturn
 to reduce the danger of such pricing cycles akzo has invested heavily in specialty chemicals which have highly specific industrial uses and tend to produce much higher profit margins than do bulk chemicals
 akzo 's biggest move in this area was the N acquisition of <unk> chemical co. 's specialty chemical business for $ N million
 in a less glamorous field akzo is the world 's biggest producer of industrial salt used as a raw material for the chemical industry as well as for such tasks as <unk> ice
 akzo also makes products derived from salt such as <unk> and <unk> soda
 in the fibers division profit remains weak largely because of persistent overcapacity
 but akzo is still <unk> down it recently announced plans to eliminate about N <unk> jobs in the netherlands and west germany
 although the <unk> and <unk> markets remain mostly bleak akzo has high hopes for some emerging fiber businesses such carbon fibers and <unk> extremely strong fibers used to reinforce tires and metals and to make such products as <unk> <unk>
 akzo 's <unk> <unk> fiber is a distant second to du pont co. 's <unk> which dominates the market
 mr. bergsma said world-wide industry sales of <unk> fibers are expected to total about $ N million this year
 sales growth of N N a year seems possible he said and akzo expects its <unk> business to become profitable in N
 akzo also has spent heavily on acquisitions in <unk> auto <unk> and industrial coatings
 in august for example it completed the $ N million acquisition of reliance universal inc. a u.s. maker of industrial coatings for wood metals and plastics from tyler corp
 mr. bergsma said akzo is likely to see strong profit growth from coatings as it <unk> cost savings and other benefits from its greater scale
 for akzo 's drug business where profits have shown <unk> change for the past five years mr. bergsma predicted moderate profit growth
 akzo is the leading seller of <unk> pills in europe but is still seeking regulatory approvals to enter that market in the u.s. and japan
 mr. bergsma said akzo hopes to have approval to sell its <unk> pill in the u.s. in N
 akzo also has small operations in diagnostic tests generic drugs and <unk> products
 <unk> products are showing especially strong growth mr. bergsma said
 among the leading products is a <unk> shot for horses
 we 're sorry to see nigel lawson 's departure from the british government
 he is a politician with the <unk> of true conviction as in <unk> <unk> exchange controls and in particular slashing the top rate of income taxation to N N
 but in the end his resignation as chancellor of the exchequer may be a good thing especially if it works as he no doubt intends by forcing prime minister thatcher and her counterparts elsewhere to <unk> the genuine intellectual issues involved
 the early <unk> we admit <unk> suggest so <unk> an outcome
 the fleet street reaction was captured in the guardian headline departure reveals thatcher poison
 british politicians divide into two groups of <unk> those with their <unk> cut and those <unk> the sky is falling
 so far as we can see only two persons are <unk> with a dignity recognizing the <unk> of the issues mr. lawson and sir alan walters the <unk> of the chancellor 's difficulties who also resigned as personal adviser to mrs. thatcher
 the problem is that on the vital issue of monetary policy and exchange rates conservative free-market economists divide into at least three <unk> camps
 there are the strict <unk> who believe that floating exchange rates free an economy to stabilize its price level by stabilizing the monetary aggregates
 there are the <unk> <unk> who seek to spread the advantages of a common currency through fixed exchange rates
 and there are the <unk> <unk> who <unk> <unk> to balance trade flows
 this is a problem not only for prime minister thatcher but for president bush as shown in the ongoing <unk> over the dollar between the federal reserve and the mulford treasury
 in the british case mr. lawson is the <unk> thing in london to a <unk> <unk>
 he not only slashed marginal tax rates initially <unk> fresh growth in britain but he wanted to regulate monetary policy by targeting exchange rates indeed joining the european monetary system
 while no doubt agreeing with mr. lawson on everything else sir alan is a <unk> <unk> inclined to defend floating rates to the death
 to make matters even more confusing the earlier u.s. experience made clear that mr. lawson 's tax cuts would have <unk> effects on britain 's international accounts and the value of sterling
 they increased the after-tax rate of return and made britain a far more attractive place to invest producing sudden capital inflows
 by accounting <unk> this had to produce a sudden trade deficit
 as in the u.s. it also produced a sudden burst in the demand for sterling that is a surge in the sterling monetary aggregates <unk>
 at this point the options were crunch money to stop the boost in the aggregates as sir alan surely advised and forget the soaring pound
 to push the pound even lower trying to cure the trade deficit a policy britain has repeatedly proved <unk>
 or to supply enough money to meet the increased demand and stabilize the exchange rate as the chancellor argued and ensure the <unk> of this policy by joining the ems
 faced with a similar situation paul <unk> let the dollar soar though monetary aggregates also grew so rapidly <unk> issued <unk> warnings of inflation
 but this <unk> the u.s. manufacturing sector laying the seeds of <unk>
 mr. lawson though not allowed to join the ems chose to shadow the deutsche mark
 he <unk> inflation along with rapid growth no doubt <unk> sir alan 's predictions in the prime minister 's mind
 but more recently the pound has been falling with high inflation which has also seemed almost <unk> to the high interest rates mr. lawson deployed to stop it
 so the british experience presents a genuine <unk> that reaches far beyond the <unk> of <unk>
 we had been soliciting opinions on it long before mr. lawson 's resignation and offer some of the collection for the benefit of his successor and one-time deputy john major
 to begin with we should note that in contrast to the u.s. deficit britain has been running <unk> budget surpluses
 in pursuit of this mystery <unk> <unk> and <unk> <unk> need not apply
 we should also add mr. lawson 's own explanation as we understand it
 unlike the u.s. britain never achieved even a <unk> reduction in real wages
 the wage <unk> which <unk> studies confirm is particularly high in britain gives its economy a structural bias toward inflation
 inflation is easier to spark and harder to control
 we should also concede that in the british experience the <unk> cause <unk> some of the credibility it lost in the u.s. experience
 nearby paul craig roberts a distinguished <unk> with <unk> <unk> argues the case for sir alan
 perhaps the fiscal shock of tax cuts is after all best absorbed by floating rates though of course in the event mr. lawson resigned over whether to support a weak pound not restrain a strong one
 we recall that mr. roberts not only <unk> the chancellor for being too easy because of a desire to <unk> sterling but also led the chorus saying that mr. <unk> was too tight when he let the dollar rise
 somewhere in between there must be a golden mean perhaps measured by <unk> but perhaps measured by purchasing power parity
 the <unk> tend to think mr. lawson ran onto technical <unk>
 in <unk> rates the choice of initial <unk> is crucial for example and perhaps he picked the wrong <unk> rate
 for that matter perhaps he fixed to the wrong currency
 we <unk> with mrs. thatcher 's reluctance to tie her currency to one <unk> by the domestic political <unk> of west germany
 perhaps the shock would have been less if they 'd fixed to another <unk> <unk> <unk> economy
 alan reynolds of <unk> adds his <unk> that the <unk> <unk> <unk> is the budget surplus
 those who can shake <unk> ghosts out of their heads might recognize that the retirement of <unk> for cash is equivalent to an <unk> <unk> operation indeed it is the definition of an open market operation to expand the money supply
 mr. reynolds also notes that since british banks have no reserve requirements high interest rates are less likely to curb inflation than to cause recession
 we would add that in political terms mrs. thatcher 's problem was failing to decide between the chancellor and her adviser
 in the end neither policy was followed and instead of learning anything we are left with a mystery
 in particular <unk> a currency is anything but <unk> it is an open announcement that the exchange rate target has no credibility
 all the more so when strong voices are heard opposing the policy
 better to have a true <unk> policy just for the experience
 so mr. lawson had to resign
 in the end his move was sparked by remarks in <unk> from sir alan 's <unk> in the american economist a <unk> academic journal
 but it was the underlying situation that became <unk>
 what mr. major and mrs. thatcher will do now remains to be seen
 they <unk> <unk> inflation and a sagging economy that is to say <unk>
 this can not be solved by <unk> a further downturn reducing the supply of goods does not solve inflation
 our advice is this immediately return the government surpluses to the economy through <unk> tax cuts and find some monetary policy target that <unk> both supply and demand for money which neither aggregates nor interest rates can do
 this was the version of <unk> economics that in the late 1970s and early '80s worked in america and world-wide to solve a far more serious <unk> than <unk> britain today
 ogilvy & mather whose declining profitability prompted its takeover by wpp group earlier this year will see its profit margins bounce back to the N N range in N said graham phillips the agency 's new <unk>
 the ad agency 's pretax profit margins were slightly under N N at the time of the takeover according to analysts london-based wpp 's goal is to increase margins to N N
 mr. phillips made his comments during an interview detailing his plans for the agency
 <unk> the <unk> ogilvy veteran was named last week to succeed kenneth roman who is leaving by year 's end to take a top post at american express an ogilvy client
 surrounded by <unk> of paper two computers and photos of himself <unk> and flying mr. phillips laid out several changes he hopes to make at the agency
 first and <unk> mr. phillips said he hopes to improve client service
 ogilvy under the <unk> mr. roman gained a reputation as occasionally being <unk> in its treatment of clients of <unk> what strategy a client should indeed must follow
 and some of its top <unk> executives including mr. phillips were <unk> to the point they were <unk> with administrative duties with little time to see clients
 but mr. phillips recently freed himself up to spend more time with clients by <unk> much of his administrative work to a deputy
 he also plans to get to know clients that mr. roman was closer to such as <unk> brothers american express and seagram
 the two men are planning joint visits to a number of clients to attempt to smoothly hand over the reins
 clients want to see more of our senior people involved in the business not once a month but two or three times a week he said
 mr. phillips also hopes to finally implement a reorganization announced earlier this year but put on hold by the wpp takeover
 the reorganization is supposed to make <unk> shopping buying advertising public relations and design all in one place or ogilvy <unk> in <unk> a reality
 under the reorganization ogilvy plans to name one executive on each account as a client service director to work as the client 's single contact for all those services
 there is little or no integration of our work quality is <unk> there is no single focus mr. phillips complained to staffers in march when the reorganization was announced
 now mr. phillips says he hopes to have the new system in place for several clients including american express american telephone & telegraph and ryder by year 's end
 industry executives and analysts are divided on whether mr. phillips is up to the task
 he is n't as well-known to clients as is mr. roman
 under his watch office <unk> was often rampant in the agency 's new york operation and the office there has had a dismal <unk> record for more than a year
 and while last week the agency hired a top <unk> executive bill hamilton to try to bolster its work graham has to get the revenue of that new york office moving says james <unk> an analyst with county natwest securities
 the one thing mr. phillips clearly does have going for him is <unk> although it is n't certain if that will be enough
 as mr. <unk> says the last thing they need is enormous disruption at the top and graham is obviously a long-term member of the ogilvy mafia as we call it
 mr. phillips and mr. roman are indeed quite similar in substance if not in style
 while mr. roman is a <unk> <unk> mr. phillips would rather delegate leaving him time for his interests outside the office
 mr. roman by contrast seems rarely to cut loose at all although he did appear at ogilvy 's halloween party friday <unk> out in duck feet and a duck hat <unk> as a <unk> duck
 mr. phillips said the company 's expected margin improvement will be all but inevitable given that the company 's profitability was dragged down this year by an expensive move to <unk> <unk> new new york headquarters
 the move <unk> at about $ N million actually came in at about $ N million he said
 but margins will be helped too by some other <unk> steps
 ogilvy eliminated the mail room staff closed the executive <unk> room and after the takeover let go half a dozen financial executives
 wpp which assumes financial control of its businesses in a <unk> way instituted a new financial system and plans to <unk> some floors in ogilvy 's new headquarters building to outsiders
 the fact that the agency will now be part of a u.k. company under british accounting rules will also make the profit picture look better
 <unk> 's klein steps down
 arthur klein president of young & rubicam 's new york office stepped down temporarily in the wake of charges by a federal grand jury in new haven conn. that he the agency and another top executive <unk> <unk> tourist officials to win its account in N
 in an internal memo alex <unk> the agency 's chairman said mr. klein decided to remove himself to minimize negative reaction from prospective clients and others and to prepare for his defense
 the fact that he is in the process of defending himself against the present charges could <unk> have an adverse impact on <unk> mr. <unk> wrote
 he said mr. klein will return to his post at the end of the trial at which he will be <unk>
 mr. klein will work with mr. <unk> on some of the agency 's joint venture activities and acquisitions while the case is pending
 peter <unk> president of <unk> 's ad operations will assume mr. klein 's day-to-day role
 wells rich 's new partner
 wells rich greene named <unk> heller as an executive vice president and creative partner in its image group which <unk> on fashion and <unk> <unk> advertising
 ms. heller N had headed up boston agency <unk> a unit of wcrs
 the agency with about $ N million in billings will be <unk> with some of its staffers absorbed by wcrs 's della femina mcnamee unit in boston ms. heller said
 she said it was too early to say what would happen to its clients including reebok and apple
 at wells rich ms. heller will concentrate on accounts that include philip morris 's benson & hedges cigarette brand which relies on print ads ms. heller 's specialty
 as previously reported the account is troubled with philip morris asking backer spielvogel bates ogilvy & mather and possibly others to try their hand at developing new creative work
 wells rich declined to comment on the status of the account as did the other agencies
 waxman industries inc. said holders of $ N face amount of its N N N convertible subordinated debentures due march N N have elected to convert the debt into about N common shares
 the conversion price is $ N a share
 the company said the holders represent N N of the face amount of the debentures
 waxman sells a variety of hardware products for the home repair market
 r.h. macy & co. the closely held department store chain said in a financial filing friday that its sales for the fiscal fourth quarter ended july N were up N N to $ N billion against $ N billion a year earlier
 comparable store sales for the quarter were up N N
 the net loss for the quarter was $ N million against a year-earlier loss of $ N million
 the loss in the fourth quarter of N reflected in part expenses for an unsuccessful bid for federated department stores inc. as well as the restructuring of some of its department store operations
 for the year sales were up N N to $ N billion compared with $ N billion in fiscal N
 sales for both years reflect 12-month performances for each year of i. <unk> bullock 's and <unk> <unk>
 macy acquired those three businesses in may N
 on a comparable store basis including the new acquisitions for both years sales for fiscal N were up N N
 macy reported a net loss for fiscal N of $ N million compared with a net loss of $ N million for fiscal N
 the company 's earnings before interest taxes and depreciation which bondholders use a measurement of the chain 's ability to pay its existing debt increased N N in fiscal N to $ N million from $ N million
 the $ N million figures includes the new acquisitions
 excluding those businesses earnings before interest taxes and depreciation for N would have been $ N million
 as of feb. N N the <unk> <unk> stores will operate as i. <unk> stores
 altogether macy and its subsidiaries own or lease N department stores and N specialty stores nationwide
 although management led a leveraged buy-out of r.h. macy in july N the company still makes financial filings because of its publicly traded debt
 the company estimates its total debt at about $ N billion
 this includes $ N billion of long-term debt $ N million in short-term debt and $ N million of the current portion of long-term debt
 in a letter to investors chairman edward s. finkelstein wrote that he expects the company to benefit from some of the disruption faced by our competitors
 while our competitors are concerned with their financial viability and possible ownership changes we will be concentrating on buying and selling merchandise our customers need and want
 mr. finkelstein is apparently referring to b. altman and <unk> teller two new york retailers that have recently filed for chapter N bankruptcy protection as well as the retail chains owned by financially troubled campeau corp
 those chains include bloomingdale 's which campeau recently said it will sell
 other retail properties for sale include saks fifth avenue and marshall field retailers now owned by b.a.t plc the british tobacco conglomerate
 in his letter mr. finkelstein also referred to the recent san francisco earthquake
 mr. finkelstein flew to san francisco the day after the earthquake and found that N to N of his company 's stores had sustained some damage including the <unk> of most windows at the i. <unk> store on union square
 the volume and profit impact on our fiscal first quarter will not be positive but looking at the whole fiscal year we do n't see the effect as material wrote mr. finkelstein
 rjr nabisco inc. said it agreed to sell its baby ruth <unk> and <unk> candy businesses to nestle s.a. 's nestle foods unit for $ N million
 the sale at a higher price than some analysts had expected helps the food and tobacco giant raise funds to pay debt and boosts nestle 's N N share of the u.s. candy market to about N N
 the candy businesses had sales of about $ N million last year which was roughly N N of total revenue for rjr 's <unk> <unk> unit according to a memorandum distributed by rjr 's owner kohlberg kravis roberts & co. to bankers last december
 the nestle acquisition includes a candy plant in franklin park ill. which employs about N workers
 the sale which had been expected is part of kkr 's program to pay down $ N billion of a $ N billion bridge loan by february
 roughly $ N billion of that debt has already been repaid from previous asset sales and rjr expects to use another $ N billion from the pending two-part sale of most of its del monte unit
 that sale however could still fall through if financing problems develop
 thus it remains crucial for rjr to obtain top dollar for its smaller assets like the candy brands
 louis <unk> jr. chairman and chief executive officer of new york-based rjr called the sale a significant step in the company 's divestiture program as well as a a strategic divestiture
 since kkr bought rjr in february for $ N billion of debt it has agreed to sell nearly $ N billion of rjr assets
 rjr 's executives have said they will <unk> with certain brands in particular that are n't leaders in their markets
 rjr nabisco and <unk> <unk> will concentrate more on our own core businesses mr. <unk> said friday
 baby ruth and <unk> are both among the <unk> N <unk> bars in the u.s. but rjr 's overall share of the roughly $ N billion market is less than N N
 nestle 's share of N N before friday 's purchases is far below the shares of market leaders <unk> foods corp. and <unk> inc. which have about N N and N N of the market respectively
 this means nestle is now in the <unk> business in a big way said <unk> <unk> publisher of <unk> <unk> <unk> magazine
 for them it makes all kinds of sense
 they 've been given a mandate from switzerland to expand their u.s. <unk> operations
 nestle s.a. is based in <unk> switzerland
 the new candy bars make an important contribution to our nestle foods commitment to this very important strategic unit said c. alan macdonald president of nestle foods in purchase n.y
 aetna life & casualty co. 's third-quarter net income fell N N to $ N million or $ N a share reflecting the damages from hurricane hugo and lower results for some of the company 's major divisions
 catastrophe losses reduced aetna 's net income by $ N million including $ N million from hugo
 last year catastrophe losses totaled $ N million when net was $ N million or $ N a share
 the year-earlier results have been restated to reflect an accounting change
 the insurer has started processing claims from the northern california earthquake nearly two weeks ago
 but because these claims are more difficult to evaluate and have been coming in more slowly the company has no estimate of the impact of the earthquake on fourth-quarter results
 in new york stock exchange composite trading friday aetna closed at $ N down N cents
 in the latest quarter aetna had a $ N million loss on its <unk> line compared with earnings of $ N million last year
 profit for its commercial insurance division fell N N to $ N million reflecting higher catastrophe losses and the price war in the property\/casualty market for nearly three years
 however aetna 's employee benefits division which includes its group health insurance operations posted a N N profit gain to $ N million
 third-quarter results included net realized capital gains of $ N million which included $ N million from the sale of federated investors in august and a $ N million tax credit
 in the nine months net rose N N to $ N million or $ N a share from $ N million or $ N a share last year
 out of the <unk> of <unk> are coming words of <unk>
 here at a <unk> stadium near the black township of <unk> yesterday were eight leaders of the african national congress seven of whom had spent most of their adult lives in prison for sabotage and conspiracy to <unk> the government
 here were more than N anc supporters gathering for the first anc rally inside south africa since the black liberation movement was banned in N
 here was the state security <unk> poised to <unk> on any words or acts of <unk> let alone revolution
 but the words that <unk> over the <unk> <unk> messages of peace unity negotiation and discipline
 we stand for peace today and we will stand for peace tomorrow said walter sisulu the anc 's former secretary general who along with five of his colleagues served N years in prison before being released two weeks ago
 some members of the huge crowd shouted <unk> peace <unk>
 these are <unk> times in south african politics
 the government and the anc the <unk> of enemies are engaged in an elaborate <unk> dance designed to <unk> each other to the negotiating table
 pretoria releases the anc leaders most of whom were serving life sentences and allows them to speak freely hoping that the anc will abandon its use of violence
 the anc leaders speak in <unk> of <unk> <unk> discipline hoping the government will be encouraged to take further steps such as <unk> nelson <unk> the most prominent anc figure and <unk> the organization
 the government of president <unk> de <unk> is using this situation to improve its international image and head off further economic sanctions
 meanwhile the many organizations inside the country that back the anc are taking the opportunity to regain their strength and <unk> their supporters even though the state of emergency which has severely curtailed black opposition remains in force
 the result is that the <unk> and <unk> are happening
 six months ago government approval for an anc rally was <unk>
 equally <unk> is that the anc given the chance to hold a rally would extend a hand <unk> <unk> to the government
 in a message read out at the rally <unk> anc president oliver <unk> who ca n't legally be quoted in south africa said the country was at a <unk> and that mr. de <unk> may yet earn a place among the <unk> of our country if he chooses a path of genuine political settlement
 still this does n't mean that either the government or the anc is changing <unk> or that either has moved significantly closer to the other
 the government may ease repression in some areas but it still keeps a tight grip in others
 for instance it releases mr. sisulu without conditions yet his son <unk> a newspaper editor is restricted to his home much of the day and is n't allowed to work as a journalist
 the anc <unk> to keep up pressure on the government
 <unk> yesterday called on foreign governments to increase sanctions against pretoria and urged supporters inside the country to continue <unk> emergency restrictions and racial <unk> known as apartheid
 we can not wait on the government to make changes at its own pace mr. sisulu said
 because the anc remains banned both the government which approved the rally and the <unk> who <unk> it denied it was an anc rally
 they both called it a welcome home gathering
 nevertheless an anc rally by any other name is still an anc rally
 the recently released leaders sat high <unk> a <unk> in one section of the stadium stands
 behind them was a huge anc flag and an even bigger sign that said anc lives anc leads
 next to them was the red flag of the outlawed south african communist party which has long been an anc ally
 in the stands people <unk> anc flags wore anc <unk> sang anc <unk> and <unk> anc <unk>
 today said mr. sisulu the anc has captured the center stage of political life in south africa
 as a police helicopter <unk> overhead mr. sisulu repeated the anc 's demands on the government to create a climate for negotiations release all political <unk> <unk> lift all bans and restrictions on individuals and organizations remove all troops from the black <unk> end the state of emergency and cease all political trials and political executions
 if these conditions are met he said the anc would be prepared to discuss <unk> its guerrilla activities
 there can be no question of us <unk> abandoning the armed struggle he said
 to date we see no clear indication that the government is serious about negotiations
 all their <unk> are vague
 <unk> a phrase from mr. de <unk> mr. sisulu said let all of us who love this country engage in the task of building a new south africa
 when westinghouse electric corp. <unk> its massive steam <unk> plant in <unk> pa. three years ago it seemed like the company had pulled the plug on its <unk> power generation business
 but now westinghouse is enjoying a <unk> in demand for both steam and combustion <unk> and may even join the growing <unk> of independent electric producers
 and with its new venture with japan 's mitsubishi heavy industries ltd. announced last week it is poised to <unk> growing markets overseas
 for the first time since the mid-1970s westinghouse this year has seen a significant increase in orders for power plants
 most are from independent producers instead of regulated utilities and westinghouse believes it will ride a wave of demand stretching over the next six years
 analysts agree predicting that the revived market could significantly boost westinghouse 's bottom line in coming years
 westinghouse 's earnings could be <unk> enhanced in the mid-1990s or sooner says russell l. <unk> of salomon brothers inc
 the company expects a need for N <unk> of new generation in the u.s. over the next decade
 already this year it has received orders for four <unk> advanced combustion <unk> from florida power & light co. and for two <unk> plants from <unk> energy corp. among others
 westinghouse 's own role as a supplier also is changing
 in the past the company usually took <unk> equity positions in power plants it supplied as a <unk> to close deals
 but last june 's <unk> that westinghouse would put up all of the $ N million to build a new <unk> plant could herald a new age
 westinghouse 's plant will provide electrical power to the southern california edison co. and backup power and steam to the u.s. <unk> & chemical co
 we have n't decided on a strategy yet but we could become an independent producer depending on whether we 're the developer or just the supplier says <unk> stern executive vice president of the company 's energy and utility systems group
 at the same time westinghouse hopes its venture with mitsubishi will help fend off growing competition particularly in the u.s. from such european competitors as asea brown boveri ag siemens ag and british general electric co
 under the agreement westinghouse will be able to purchase smaller combustion <unk> from its japanese partner and package and sell them with its own <unk> and other equipment
 westinghouse also jointly will bid on projects with <unk> giving it an edge in developing asian markets
 in addition the two companies will develop new steam <unk> technology such as the plants ordered by florida power and even <unk> each other 's plants at times to take advantage of currency fluctuations
 even though we 'll still compete against mitsubishi we can also work jointly on some projects and we 'll gain a lot of <unk> flexibility mr. stern contends
 the <unk> venture was designed as a <unk> transaction <unk> any possible antitrust concerns
 westinghouse carefully <unk> the agreement because the justice department earlier this year successfully challenged a proposed steam <unk> joint venture with asea brown boveri
 it is expected that the current surge in demand for new power will be filled primarily by independent producers which unlike utilities are n't regulated and therefore do n't need government approval to construct new plants
 westinghouse expects about half of its new orders for <unk> to come from independent producers for at least the next six years
 despite <unk> of the company 's <unk> and east pittsburgh plants the company believes it has sufficient capacity to meet near-term demand with its much smaller and more efficient manufacturing facilities in north carolina
 still westinghouse acknowledges that demand from independent producers could <unk> if prices for fuel such as natural gas or oil rise sharply or if utilities which have been pressured by regulators to keep down rates are suddenly freed to add significant generating capacity
 even if that scenario occurs westinghouse figures it is prepared
 the company already is <unk> up for a renaissance of nuclear power even though it has n't received an order for a domestic nuclear plant in a decade
 john c. marous chairman and chief executive officer says he expects a commercial order by N for the company 's <unk> nuclear power plant which is under development
 once we see an order we expect it 'll be on line by N
 among the things i learned covering the world series these past few weeks is that the richter scale which measures earthquakes is n't like the one in your <unk>
 a quake that measures two on the richter is n't twice as severe as a one it 's N times worse
 a three is N times N again and so on
 that put the seven of oct. N in perspective for me
 think i 'll buy one of those i survived <unk> after all
 by <unk> standards the show that the oakland athletics put on friday and saturday nights in putting a <unk> swift end to the game 's longest short series rated somewhere between a N and an N
 the boys with the white <unk> on their <unk> might not have made the earth move much but they certainly did some impressive things with <unk>
 the pale <unk> propelled six of <unk> out of the unfriendly <unk> of candlestick park during the two games en route to N and N wins over the san francisco giants
 combined with their two <unk> victories way back on oct. N and N the scores were N and N remember that gave them a sweep of the <unk> series
 the joke here is that the giants lost by de fault
 that 's <unk> correct but a <unk> unfair otherwise
 they showed up but did n't or could n't challenge
 they led for <unk> an inning in the four games and managed to stir their fans only once
 that came in the seventh inning of game four when <unk> N they scored four times and brought their big heat will clark and kevin mitchell to the plate with one out and a <unk> on
 but clark <unk> out to short right field and mitchell 's drive to left was caught on the warning track by <unk> henderson as N sets of <unk> <unk> as one
 i went out to <unk> burns the a 's <unk> and told him that we were n't <unk> <unk> let this guy beat us said oakland <unk> terry <unk> of the decisive confrontation with mitchell the national league 's <unk> <unk> king
 i told him to make mitchell reach for everything and that 's what we did
 the ball he hit was n't a strike
 if it had been he <unk> hit it out
 but if the a 's had n't won in four they would have prevailed in five or six or seven
 the best team won this series which is more unusual than it may sound
 baseball ai n't football where the good teams beat up on the bad ones
 the best baseball teams win six of N games and the worst win four of N
 without becoming overly contentious allow me to suggest that several recent <unk> of the world according to us as in u.s. might not have ranked no. N in many polls
 that list includes last season 's <unk> the los angeles <unk> who rode a <unk> home run by kirk <unk> and two <unk> pitching performances by <unk> <unk> to a <unk> <unk> over a <unk> bothered oakland crew
 these a 's however got few grades as low as b on their N report card
 they led the major <unk> in regular-season wins with N and <unk> the toronto blue <unk> four games to one for the american league <unk> before <unk> their <unk> rivals
 the <unk> testimony to their domination of the <unk> <unk> came from giants ' manager roger craig after his team had fallen in game three to a <unk> <unk> that tied a <unk> series record
 asked what he would do differently on the <unk> craig allowed that he might play his <unk> deeper maybe on the other side of the <unk>
 the a 's offensive showing in the series got an a as in <unk>
 their N total bases broke a record for a four-game set and their nine home runs tied one
 eight oakland players hit <unk> with <unk> dave henderson getting two both on friday
 <unk> henderson the <unk> <unk> man had nine hits and set or tied four-game series marks for <unk> N and stolen bases N
 the sole a not to homer was cleanup <unk> mark <unk> their regular-season leader with N and he contributed five hits plus a <unk> <unk> play on a ground ball in game three that stopped a giant rally while the issue still was in doubt
 think i 'll <unk> my image get this changed to a <unk> <unk> the big first <unk> saturday night <unk> the gold bat he wears on a neck chain
 even with that power show though the oakland series ' star certified by the most valuable player award was a <unk> dave stewart
 he shut out the giants on five hits in game one and allowed three runs on five hits in seven <unk> friday after the <unk> break caused by the earthquake
 stewart 's honor was a nice note on a couple of grounds
 one was that despite his N regular-season wins over the past three seasons in the land beyond the late news he has been <unk> by his <unk> <unk> and missed out on prizes that might have been his due
 the other is that he 's an oakland native and lifted residents ' spirits by his visits to <unk> areas last week
 afterward as the a 's <unk> their victory with beer they <unk> with traditional champagne <unk> in <unk> to the quake victims stewart said he thought his <unk> ring would <unk> his individual <unk>
 give me four or five more series with these guys and i do n't care if i ever win a <unk> young he said in reference to baseball 's <unk> award
 indeed the possibility of an a 's ring cycle <unk> a <unk> was a major topic of <unk> discussion saturday so much so that <unk> <unk> the team 's general manager felt obliged to <unk> it
 people change teams change he cautioned
 it 's easier to get worse than better in this game
 he might have added an interesting historical fact the last series sweep by the cincinnati <unk> came in N which also was the first year of baseball player free agency
 it was widely predicted that free agency would allow the glamorous big market teams to <unk> the best talent but quite the opposite has occurred twelve different clubs have won titles in the N seasons since its advent
 the number includes such <unk> <unk> as well oakland
 the rationale for responding to your customers ' needs faster than the competition can is clear your company will benefit in terms of market share customer satisfaction and profitability
 in fact managers today are probably more aware of speed as a competitive <unk> than ever before
 however for many managing speed does not come naturally
 most of us grew up <unk> in the <unk> <unk> makes waste and do n't cut corners ideas that seem to run counter to the concept of managing speed says dean <unk> vice president for product integrity at grumman corp
 but in the real world you learn that speed and quality are not a <unk>
 speed is a component of quality one of the things we must deliver to satisfy customers
 companies that actually market speed as part of their service train their managers to lead and participate in teams that increase speed and improve quality in everyday operations
 managers learn to spot opportunities to increase customer satisfaction through speed and shift some responsibility for analyzing improving and streamlining work processes from themselves to teams of employees
 one team at the federal express ground operations station in <unk> mass. focused on a particularly <unk> operation the morning package sort
 every morning <unk> trucks arrive at the <unk> ground station from boston 's <unk> airport carrying the day 's package load
 in peak periods that load may include N pieces
 the packages must be <unk> quickly and distributed to smaller vans for delivery so <unk> can be on the road by N
 no customer is present at the morning package sort but the process is nevertheless critical to customer satisfaction
 we 're committed to deliver the customer 's package by a stated time usually N notes glenn <unk> a federal express <unk> who led the <unk> team
 the sooner our vans hit the road each morning the easier it is for us to fulfill that obligation
 following a <unk> formula used by teams throughout federal express members of the <unk> team monitored their morning routine carefully noting where and when the work group 's resources were used effectively and where they were idle waiting for others <unk> in the process to send packages their way
 we suspected there was <unk> built into our process
 but we did n't know just where it was until we completed our data gathering mr. <unk> says
 we used the data to <unk> our <unk> system and put our resources where they could do the most good
 the team even created a points system to identify those <unk> and <unk> that were doing the most to reduce <unk> cycle time
 winners of the friendly competition earn a <unk> dinner out with their spouses
 monitoring shows that the <unk> team 's new system really does reduce cycle time for the morning package sort reports james <unk> chief operating officer at federal express
 the vans leave at least N minutes earlier on average than they used to
 and service levels have increased to the point where they 're consistently above N N
 a <unk> team at union carbide 's <unk> n.y. facility which produces <unk> plants followed a similar path to reduce manufacturing cycle time
 the team included <unk> from the shop floor as well as engineering scheduling and purchasing personnel reports alan <unk> director of quality
 first they produced a <unk> detailing the process by which an <unk> plant actually gets built
 then they identified <unk> in the process
 the <unk> team determined that <unk> for <unk> were the main problem and identified which kinds of delays involved critical <unk> and which were less critical or could be handled by workers already on the line
 the team then proposed modifications in their work process to management
 the <unk> manufacturing process benefits our customers in at least two ways mr. <unk> concludes
 first we have better quality assurance than ever because the people building the product have taken on more responsibility for the quality of their own work
 second we trimmed more than a month off the time required to deliver a finished product
 at grumman 's aircraft systems division a <unk> team reduced the cycle time required to produce a new business proposal for an important government contract
 the team was composed of representatives from engineering manufacturing corporate estimating flight test material quality control and other departments
 we needed contributions from all these departments to generate the proposal says carl <unk> <unk> manager for grumman 's <unk> combat aircraft program
 but instead of gathering their input <unk> we formed the team which reached consensus on the proposal objectives and produced a statement of work to guide all the functions that were involved
 armed with this shared understanding and <unk> background information each department developed its specialized contribution to the proposal <unk> data and cost estimates on a closely managed schedule
 we cleared up questions and <unk> very quickly because the people who had the skills and perspective required to resolve them were part of the task team mr. <unk> explains
 the team trimmed more than two months from the cycle time previously required to develop comparable proposals
 the team eliminated the crisis mentality that proposal deadlines can generate
 the result was a more <unk> complete and competitive proposal mr. <unk> concludes
 the successes achieved at federal express union carbide and grumman suggest that managing speed may be an <unk> source of competitive advantage
 managers in all three companies recognize speed as a component of quality and a key to customer satisfaction
 they effectively lead team efforts to reduce cycle time
 and they prepare all their people to increase the speed and improve the quality of their own work
 mr. <unk> is president of <unk> a consulting firm in burlington mass
 home taping of <unk> music cuts into record industry revenues but banning home taping would hurt consumers even more
 that 's the conclusion of an independent report prepared by the office of technology assessment at the request of the house and senate judiciary committees
 the report is to be released today
 the report says the availability of such advanced <unk> recording equipment as <unk> recorders does n't seem to increase the quantity of home copying
 that finding the report says <unk> doubt on the record industry 's <unk> that the new generation of digital recording equipment will inevitably lead to wholesale abuse of <unk> material by home <unk>
 the longstanding position of the recording industry association of america a trade group based in washington d.c. is that record companies performers <unk> and music publishers need to be <unk> by <unk> fees on the sale of blank tapes and recording equipment to make up for royalties lost to home taping
 i think it is a <unk> in the <unk> in any royalty tax proposal says gary shapiro vice president for government and legal affairs of the electronic industries association in washington
 what the report shows is everything we 've been saying for the past eight or nine years that audio taping is the best thing to happen for the recording industry
 the people who tape the most buy the most
 <unk> <unk> a <unk> for <unk> says her organization has n't received a copy of the completed report yet and has no immediate comment
 a recent agreement between the recording industry and electronics manufacturers requires that any digital audio tape or <unk> recorder sold in the u.s. have a <unk> device that restricts its ability to make second copies from <unk> tape copies of digital compact disks
 but the disappointing sales of <unk> machines here and abroad so far have not seemed to warrant the three years of legal <unk> that went into the agreement
 under current copyright laws it is considered fair use to <unk> <unk> material for one 's personal use or for use by one 's family or friends while copying for purposes of resale or profit is prohibited
 a survey contained in the <unk> report copyright and home copying technology challenges the law found that most people consider home copying for such personal use a right a right moreover that was exercised by N N of americans over the age of N in the past year
 the study says that the <unk> legal status of home copying makes it appropriate to examine the effects on consumers as well as on industry
 reports by the office of technology assessment do n't <unk> any specific legislative action but suggest a range of options that congress may pursue
 the study also says that advent of new communications technologies makes an explicit congressional definition of the legal status of home copying more desirable in order to reduce legal and market uncertainties and to prevent de <unk> changes to copyright law through technology and says that finding an appropriate balance of <unk> and benefits is a political decision not a technical one
 switzerland 's most famous raider says he is n't one
 werner k. rey believes fortunes are made by being friendly
 and in little more than a decade of being friendly and at the same time <unk> the <unk> swiss business community with some <unk> <unk> and dealing the <unk> mr. rey has grown from a modest banker to a billionaire
 he achieved this in part with an <unk> talent for getting his foot <unk> in the door of established european companies
 his latest coup september 's <unk> of the five billion <unk> $ N billion merger between <unk> s.a. the world 's second-largest temporary employment agency and <unk> international s.a. a <unk> <unk> company
 shareholders must approve the merger at general meetings of the two companies in late november
 but approval is almost certain since mr. rey and a friendly <unk> management are in control
 after the transaction mr. rey estimates the value of his N N stake in the new company to be held by his omni holding ag will be about N billion swiss francs
 this will be his return on an original investment of between N million swiss francs and N million swiss francs
 mr. rey bought a controlling stake in <unk> for N million swiss francs in N building up the <unk> engineering company with european and u.s. acquisitions
 i like to succeed says mr. rey during a recent morning of working at home which he also likes
 home is an estate with green <unk> opening onto lake geneva and a <unk> house whose rooms <unk> the water and offer a view of the french <unk>
 in the corner of his reception room is a delicate <unk> desk <unk> high with <unk>
 there is a small <unk> on the wall
 <unk> magazine <unk> lists mr. rey as having a fortune of about N billion swiss francs
 writes <unk> no one in switzerland ever came so far so fast
 he was simply the first in this country to realize that <unk> were just lying around waiting to be picked up
 in short rey found companies with weak earnings but rich assets
 however the swiss financial press in general as well as many analysts have had a hard time making up their minds about mr. rey and his <unk> ways
 for switzerland 's most prestigious newspaper <unk> <unk> <unk> mr. rey seems <unk> to remain the former bally raider an image that has proved hard to overcome
 in N as an <unk> in the eyes of switzerland 's establishment mr. rey laid the foundations of his <unk> <unk> with an <unk> <unk> on bally the country 's traditional <unk>
 sitting <unk> a banker at a <unk> in london where he was working as a financial consultant he learned that a large <unk> of bally 's shares was up for sale
 looking into bally he could hardly believe what he saw a company with enormous real-estate holdings in major european cities and a market capitalization of N million swiss francs it had N employees
 investing four million swiss francs earned from his financial transactions and two million swiss francs from his parents and his wife mr. rey acquired N N of bally 's shares
 but such tactics were <unk> to switzerland in N and still are n't common because of share restrictions that companies are allowed to maintain
 eventually mr. rey was forced to sell his bally shares to the weapons maker <unk> holding ag as establishment pressure grew on this hostile move into the swiss old boys ' network
 mr. rey made N million swiss francs on the sale
 bally was not an unfriendly takeover he insists
 buying from willing shareholders makes an unfriendly takeover impossible mr. rey contends
 i bought from willing shareholders
 nevertheless mr. rey has been very careful since then to make sure his moves are welcome
 and he has worked to shed his raider image
 in N his career as an <unk> began with the acquisition of the swiss metals works <unk> based in <unk>
 with the <unk> metals business undermined in switzerland by tough foreign competition and high domestic costs this looked like a <unk> undertaking
 but mr. rey brought about a merger in the next few years between the country 's major producers the increased efficiency has <unk> up the industry
 three years later machinery producer <unk> de <unk> <unk> de <unk> s.a. was to become part of the rey empire
 once again the company 's future looked less than <unk>
 but after restructuring under new management the profits began rolling in
 a major boost to mr. rey 's respectability among the swiss came in N when he sold N N of his <unk> bank to the conservative swiss <unk> banks
 they renamed it swiss <unk> and are using it to expand abroad
 in N mr. rey <unk> leading publishing houses to take over switzerland 's jean <unk> ag a major producer of magazines and newspapers
 and with the recent acquisition of N N of <unk> machinery manufacturer <unk> <unk> ag mr. rey has enjoyed the status of white knight
 <unk> preferred him to financier <unk> <unk> whose <unk> <unk> on the company 's stock had led to a bitter battle
 meanwhile as such strategic investments have mounted the <unk> arm of mr. rey 's omni holding has been <unk> buying and selling dozens of companies often after a financial or corporate restructuring
 today this branch of mr. rey 's empire runs under the name <unk> offering services and handles mergers and acquisitions placement of securities and real estate
 in its portfolio are such diverse companies as united <unk> air europe <unk> inc. a u.s. company that makes supermarket <unk> machines <unk> industries a u.s. manufacturer of securities systems <unk> systems inc. a u.s. regional telephone company and major real-estate projects in the u.s. and europe
 for financial analysts reading omni 's accounts is a tough challenge
 companies move in and out says <unk> <unk> of <unk> swiss investment
 financial analysts note that mr. rey is attracted to companies that are undervalued on the basis of their real-estate interests
 in august omni unexpectedly bought <unk> 's N N stake in <unk> ag of west germany a <unk> company
 the internal transaction within the rey empire <unk> <unk> 's small shareholders but analysts say it makes sense for <unk> to focus on its main businesses of product inspection and temporary help
 mr. rey says the move is yet another example of his <unk>
 he explains that companies with real estate give security
 the real estate can be used he points out as guarantees for bank loans for corporate development
 he says he wants to influence but not manage companies
 i do n't want to be like financier alan bond and the other <unk>
 i do n't want companies to be built around me as a person
 i want them to stand alone
 ultimate corp. signed a letter of intent to market hewlett-packard co. minicomputers the companies said
 ultimate expects the N 1\/2-year agreement to generate $ N million in sales but it would n't estimate profit
 under terms of the pact ultimate a <unk> concern will market the full line of <unk> N series N <unk> minicomputers
 hewlett-packard is based in palo alto calif
 in the second step of a reorganization that began earlier this year boeing co. said it will create a defense and space group to consolidate several divisions
 meanwhile boeing officials and representatives of the machinists union met separately last night with a federal mediator in an attempt to break the <unk> strike that has shut the aerospace giant 's assembly lines at a time when it has an $ N billion backlog of jetliner orders
 the two sides were scheduled to meet with the mediator this morning
 machinists already have rejected a package that would provide a N N pay raise plus bonuses over the three-year life of the contract
 boeing has said repeatedly it wo n't expand its offer and the machinists have responded that the offer is n't good enough
 however the resolve of some of the striking N machinists might be weakening
 about N <unk> signed <unk> last week calling for boeing and machinists representatives to schedule new meetings
 the two sides had n't met since oct. N
 while boeing 's commercial business is booming its military business is feeling the effects of a declining defense budget after a strong buildup during the reagan presidency
 in may the company consolidated its aerospace and electronics groups the new defense and space group will contain the aerospace and electronics division and advanced systems both based in the seattle area boeing <unk> in philadelphia boeing military airplanes in wichita kan. and <unk> in sunnyvale calif
 b. dan <unk> president of boeing aerospace and electronics will become president of the new group which will become operational jan. N
 in addition boeing said it also will <unk> all its work in wichita into military and commercial divisions
 all of the changes will reduce its overhead and streamline operations boeing said
 analysts agreed
 it 's a further step to better returns in the hemorrhaging defense business said steven <unk> an analyst with bear stearns & co. in new york
 they had to do it
 howard <unk> an analyst with <unk> lawrence morgan grenfell inc. in new york said the shift reflects boeing confidence in mr. <unk> described by mr. <unk> as an expert on doing business with the military
 his side of the business has been successful in a tough environment mr. <unk> said
 a two-day meeting of representatives of cocom the <unk> group that oversees exports of sensitive goods to communist countries did n't take any <unk> decisions on trimming the list of items under controls
 nor did it ease restrictions on exports to poland and hungary according to u.s. officials who attended the talks
 the u.s. had been under pressure from several cocom members especially france west germany and italy to ease restrictions on some types of machine tools which those countries argued were now widely available to east bloc countries from <unk> members
 for several years some european countries have complained that <unk> cocom lists and restrictions served more to <unk> their trade than to add to western security
 some countries also have been pressing for special treatment for hungary and poland as they move toward more democratic rule just as special treatment had been agreed on for china
 but u.s. officials said representatives at the meeting decided that this was a matter for further discussion at future meetings
 they added that all of us cocom members look at the changes in hungary and poland in a positive way but a question of this scope deserves further discussion and study
 the officials also said the meeting agreed to continue treating china as a special case despite the recent repression of dissent there but to offer no further concessions
 the u.s. officials said that despite the rapid changes under way in eastern europe and the soviet union all the cocom members agreed on the continuing need for this organization which was founded N years ago at the start of the cold war
 the officials said the meeting agreed to continue working toward streamlining cocom 's restricted products list and to improve procedures for <unk> companies that do n't comply with the export restrictions
 the officials said this meeting put in motion procedural steps that would speed up both of these functions but that no specific decisions were taken on either matter
 unisys corp. 's announcement friday of a $ N million loss for the third quarter showed that the company is moving even faster than expected to take write-offs on its various problems and prepare for a turnaround next year
 at the same time the sheer size of the loss coupled with a slowing of orders made some securities analysts wonder just how strong that turnaround will be at the computer maker and <unk> concern
 unisys is getting clobbered
 just clobbered said <unk> weil an analyst at weil & associates who had once been high on the company
 the quarter was terrible and the future looks anything but encouraging
 unisys whose revenue inched up N N in the quarter to $ N billion from $ N billion in the year-earlier quarter had an operating loss of about $ N million
 on top of that the blue bell pa. concern took a $ N million charge related to the layoffs of N employees
 that is at the high end of the range of N to N employees that unisys said a month ago would be laid off
 unisys said that should help it save $ N million a year in costs again at the high end of the previously reported range of $ N million to $ N million
 the company also took a write-off of $ N million to cover losses on some fixed-price defense contracts as some new managers took a hard look at the prospects for that <unk> business
 in addition unisys set up an unspecified reserve apparently $ N million to $ N million to cover the minimum amount it will have to pay the government because of its involvement in the <unk> scandal
 unisys also noted that it paid $ N million in taxes during the quarter even though tax payments normally would be minimal in a quarter that produced such a big loss
 the tax payments will leave unisys with $ N million in loss <unk> that will cut tax payments in future quarters
 in addition unisys said it reduced computer inventories a further $ N million during the quarter leaving it within $ N million of its goal of a reduction of $ N million by the end of the year
 still unisys said its european business was weak during the quarter a worrisome sign given that the company has relied on solid results overseas to overcome weakness in the u.s. over the past several quarters
 the company also reported slower growth in another important business systems that use the unix operating system
 that would be a huge problem if it were to continue because unisys is betting its business on the assumption that customers want to move away from using operating systems that run on only one manufacturer 's equipment and toward systems mainly unix that work on almost anyone 's machines
 in addition unisys must deal with its increasingly <unk> debt load
 debt has risen to around $ N billion or about N N of total capitalization
 that means unisys must pay about $ N million in interest every quarter on top of $ N million in dividends on preferred stock
 jim <unk> unisys 's president said he is approaching next year with caution
 he said the strength of the world-wide economy is suspect and does n't see much revenue growth in the cards
 he also said that the price wars <unk> up in parts of the computer industry will continue through next year
 he said the move toward standard operating systems means customers are n't locked into buying from their traditional computer supplier and can force prices down
 that he said is why unisys is <unk> its whole business it needs to prepare for a world in which profit margins will be lower than computer companies have been used to
 we 've approached this not as a response to a temporary condition in the industry but as a fundamental change the industry is going through mr. <unk> said
 the <unk> industry is still going to be a <unk> business and we 're confident that we have tremendous assets as a company
 but we do n't minimize the challenges of the near term
 securities analysts were even more cautious having been burned repeatedly on unisys this year
 some had predicted earnings of more than $ N a share for this year up from last year 's fully diluted $ N a share on earnings of $ N million
 but the company said friday that it had losses of $ N million through the first nine months compared with earnings a year earlier of $ N million or $ N a share fully diluted as revenue inched up N N to $ N billion from $ N billion
 and unisys is expected to do little better than break even in the fourth quarter
 so steve <unk> at first boston said he is cutting his earnings estimate for next year to $ N a share from $ N
 i was feeling like i was too high to begin with he said
 mr. weil of weil & associates said he will remain at $ N a share for next year but said he <unk> whether even that low target is at risk
 the break-even point for next year is much lower but is it low enough he asked
 reflecting the concern unisys stock fell a further N cents to $ N in composite trading friday on the new york stock exchange
 if a tv <unk> gets <unk> facing the camera again after a questionable forecast donald h. straszheim surely understands
 the chief economist of merrill lynch & co. finds himself in such a position as he <unk> the midwest on his first road trip since <unk> on a major prediction
 mr. straszheim expects he will take some heat and he 's right
 since the last time he traveled this way several months ago he has <unk> a series of bold forecasts of a recession
 in february N for example merrill lynch 's weekly commentary announced that the economy is likely to fall into recession in early N
 the forecasts were widely <unk> and in a <unk> ad campaign launched in the summer of N merrill lynch urged investors to buy bonds
 it said long-term interest rates then above N N could drop to N N by the end of N so bonds which benefit from falling rates would be a good buy
 the firm also raised the percentage of bonds in its model portfolio from N N to N N and later to N N
 but this september just when many market economists including some at merrill lynch believed that mr. straszheim was about to be proved right he took a <unk> if not a <unk>
 he <unk> the talk about a recession
 now in fact he is predicting economic growth of N N this year and N N next year a more optimistic outlook than the consensus of some four dozen top <unk> surveyed by blue chip economic indicators newsletter
 and just recently merrill lynch cut the recommended <unk> back to N N
 while such changes might sound minor they are n't merrill lynch manages or oversees some $ N billion in retail accounts that include everything from mutual funds to individual annuities
 two well-known colleagues who believe mr. straszheim was right the first time are david <unk> jr. and a. gary <unk> both of whom run their own new york research firms
 mr. <unk> said in august that his <unk> index signaled recession
 mr. <unk> who was merrill lynch 's chief economist from N to N has <unk> a recession for months
 my own personal opinion is that don threw in the towel just about the time he should have doubled his bet he says
 now a rocky stock market and weak corporate profits may further threaten the economy
 and mr. straszheim conceded after a recent drop in manufacturing jobs that it may prove to be the case that we got <unk> that we pulled the recession forecast at just the wrong time
 he adds that 's the forecasting business
 however risky the business it 's brisk these days
 <unk> by bosses brokers clients and media people and pushed by their own <unk> wall street economists are forecasting about everything from broad economic trends to the <unk> monthly indicator
 but the surprisingly durable seven-year economic expansion has made <unk> of more than one forecast
 this is n't the quiet economic science practiced in the universities
 this is the commercial version
 carrying the new message on the road mr. straszheim meets confrontation that often occurs in <unk> proportion to the size of the client
 no sophisticated professional expects economists to be right all the time
 some smaller clients do n't seem to notice his switch
 but with some clients the talk can heat up a bit
 dennis o'brien the treasurer of commonwealth edison co. in chicago <unk> a <unk> approach waiting for an opportunity to ask about the forecast
 a good half-hour into breakfast at the palmer house mr. o'brien looks up from his plate after mr. straszheim says something about people who believe interest rates are about to <unk>
 i 'm one of them who hope they will with $ N billion in debt on the books
 is that the forecast mr. o'brien asks trying to <unk> down the economist
 he does n't fully succeed although mr. straszheim lists an array of interest-rate scenarios
 in a <unk> conference room at alliance capital management in minneapolis in contrast the firm 's money managers seem ready to <unk> mr. straszheim to the wall
 alfred harrison the manager <unk> mr. straszheim 's <unk> back at him do we want to go through this
 or can we ask you why you changed your forecast just when it 's about to be right
 <unk> in his chair mr. straszheim replies that the new outlook though still weak does n't justify calling a recession right now
 it 's all in this <unk> you do n't want to look at
 we could still have a recession at some point
 one of mr. straszheim 's <unk> themes is that the state of the economy is n't a simple black or white
 sometimes like now it 's gray
 this <unk> assessment moves one alliance portfolio manager to ask so what is this a <unk> recession
 another challenges merrill lynch 's bond recommendation last year
 we 're not running that ad campaign any more mr. straszheim <unk> in a rare show of <unk>
 he adds i think it was a fairly decent call
 explaining his change of mind mr. straszheim says later it 's hard to <unk> this on one factor
 he says the economy and especially the employment numbers look much better than he expected interest rates have generally declined inflation has n't run <unk>
 our business is constantly looking at all these things he says
 his new forecast calls for a soft landing
 and it may be right judging from last week 's report that inflation-adjusted gross national product rose at a N N annual rate in the third quarter
 mr. <unk> understands mr. straszheim 's problems
 there 's <unk> pressure on economists to forecast these numbers he says
 you make a forecast and then you become its prisoner
 it is indeed hard to back away from a widely publicized forecast and mr. straszheim is <unk> with the <unk> on this trip
 his approach to the <unk> is direct but <unk>
 for some time we had forecast negative third and fourth-quarter growth
 we pulled that forecast he begins <unk> in a meeting with <unk> <unk> & <unk> inc. officials in minneapolis the first stop
 crane co. said it holds an N N stake in milton roy corp. an <unk> maker and may seek control of the company
 crane a maker of engineered products for aerospace construction defense and other uses made the disclosure in a securities and exchange commission filing
 in the filing crane said that in the past it considered seeking control of milton roy of st. <unk> fla. through a merger or tender offer and that it expects to continue to evaluate an acquisition from time to time
 crane officials did n't return phone calls seeking comment
 crane holds N milton roy shares including N bought from sept. N to thursday for $ N to $ N each
 in new york stock exchange composite trading friday milton roy shares leaped $ N to $ N each while crane sank $ N to $ N a share
 john m. <unk> chief financial officer of milton roy said the company has no comment on crane 's filing
 milton roy recently <unk> off unsolicited <unk> from <unk> <unk> corp. a <unk> mass. maker of <unk> products
 milton roy disclosed in may that it was approached for a possible acquisition by <unk> <unk> which agreed to purchase milton roy 's <unk> line for $ N million in february
 <unk> <unk> acquired some N N of milton roy 's common stock before throwing in the towel and reducing its stake in early september
 <unk> group began raising its milton roy stake in july and holds N N according to a recent sec filing
 it has n't made merger <unk> to the board
 earlier this month milton roy signed a letter of intent to acquire automated custom systems inc. orange calif. and its sister operation environmental testing co. in <unk> <unk>
 the companies are <unk> concerns
 under the terms milton roy will pay an initial $ N million for the operations and additional payments during the next four years based on the earnings performance of the businesses
 in the nine months milton roy earned $ N million or $ N a share on sales of $ N million
 last week the british displayed unusual political <unk>
 the chancellor of the exchequer nigel lawson resigned because prime minister thatcher would not fire her trusted adviser sir alan walters
 the opposition labor party leader neil <unk> in a display of the male <unk> typical of the british lower class denounced mrs. thatcher for having an independent mind and refusing to <unk> the men in her cabinet
 the british press making a mountain out of a <unk> <unk> an unnecessary economic crisis by portraying mrs. thatcher as an <unk> who had thrown economic policy into confusion by driving a respected figure from her government
 behind the silly <unk> lies a real dispute
 mr. lawson and his <unk> colleagues want the british pound formally tied to the west german mark
 sir alan considers this an <unk> and costly policy
 as there is an effort to <unk> the dollar either to gold or other currencies the dispute is worth <unk>
 until his resignation mr. lawson had been conducting british monetary policy as if the pound were tied to the mark
 when mrs. thatcher cut the top tax rate to N N mr. lawson flooded the country with money to prevent the pound from rising against the mark
 as a result he <unk> the inflation that mrs. thatcher through a long and costly effort had subdued
 with inflation surging the pound began falling against the mark
 to keep the exchange rate pegged mr. lawson tightened monetary policy and pushed interest rates up to N N
 this doubled the mortgage interest rates of the many new homeowners that mrs. thatcher 's policies had created producing widespread <unk> and pushing labor ahead in the polls
 instead of <unk> his mistake in letting the exchange rate dominate both british economic policy and mrs. thatcher 's political fortune mr. lawson pushed for <unk> the pound formally to the mark by entering the european monetary system which subordinates all member currencies to german monetary policy
 this put mrs. thatcher in a <unk>
 the concept of european integration is one of those grand schemes that appeal to intellectuals the media and the <unk> but are full of practical <unk>
 if the pound had been tied to the mark the british would have been unable to cut their <unk> tax rates
 the reason is simple
 when a country cuts tax rates it makes itself more attractive to investors and drives up the value of its currency
 it was fear of disturbing ems exchange-rate relationships that caused the <unk> government in france to be <unk> about cutting tax rates
 <unk> <unk> the finance minister at the time was sold on the <unk> policy but was concerned that his government would be criticized as <unk> for disturbing the linked european currency relationship
 the price of attracting capital whether one 's own or that of foreigners is a trade deficit
 to avoid this deficit mr. lawson inflated the pound in order to prevent its rise
 this <unk> policy could not prevent a british trade deficit
 consequently mr. lawson <unk> mrs. thatcher with a record trade deficit renewed inflation and high interest rates three political failures in a row
 little wonder that mrs. thatcher 's opponents were so anxious to keep mr. lawson in office
 it is extraordinary that the british treasury thought it could prevent a trade deficit by <unk> the pound
 the british <unk> statistics show that after the top tax rate was cut to N N the flow abroad of british capital slowed to N billion pounds $ N billion at the current rate in N from N billion pounds in N
 this change in the british capital account required an offsetting change in the trade account a change that could not be prevented by <unk> the currency
 nigel lawson was a victim of the <unk> confusion in thought that has been characteristic of western financial circles during the 1980s
 the most important governments have ignored the role of low tax rates in attracting real capital investment instead <unk> financial flows in response to high interest rates
 this has led them in a <unk> and <unk> policy circle
 first comes monetary expansion to drive down the currency 's value that was pushed up by <unk> reduction
 then when the currency falls interest rates are raised to attract financial flows in order to stabilize the exchange rate
 this policy is totally <unk> and sir alan is correct to point out its deficiencies
 britain and all of europe need to reconsider the prospects for european integration in light of the possible reunification and <unk> of germany
 a unified germany that remained within the western alliance would give germany such an <unk> position that all other members of a unified europe would become <unk> of the german state
 unless the soviet union <unk> german reunification is likely to require germany 's <unk>
 the implications for britain france and the rest of europe of having their currencies tied to the economic policy of a neutral country need considering before we judge mr. lawson 's resignation to be unfortunate
 in the least we must recognize the <unk> of trying to use exchange-rate intervention to offset the effects of <unk> reduction on capital flows
 mr. roberts was assistant treasury secretary under president reagan
 joseph p. jordan N years old becomes president chief executive officer and a director of the bank company
 mr. jordan formerly president and chief executive of <unk> national bank in <unk> n.y. succeeds donald broderick who died at N in an automobile accident
 personal spending which fueled the economy 's growth in the third quarter was clearly slowing by the end of the period raising questions about the economy 's strength as the year ends
 personal spending grew N N in september to a $ N trillion annual rate the commerce department said
 it was the smallest monthly increase in a year
 at the same time personal income was held down by the effects of hurricane hugo which <unk> through parts of north and south carolina in late september
 the department said personal income rose N N in september to a $ N trillion rate but would have climbed N N had it not been for the storm
 among the economic effects of the hurricane was a sharp drop in rental income
 the figures came a day after the government released a report showing that consumer spending propelled u.s. economic expansion in the third quarter while on an inflation-adjusted basis business investment slowed government spending declined and exports were flat
 but the new statistics show that by september the burst in spending seemed to be <unk> off
 many economists expect the weakness to continue
 i think the consumer has pretty well played himself out said david <unk> senior economist at manufacturers national bank of detroit
 i do n't think there 's a lot in the wings in other sectors of the economy to keep growth above N N he said
 in the third quarter the economy grew at a moderate N N annual rate
 in august personal income rose N N and spending grew N N
 analysts have attributed much of the summer 's <unk> in spending to bargain car prices at the end of the model year
 car sales <unk> in september after the N models were introduced
 according to the commerce department report spending on durable goods items expected to last at least three years including cars declined by $ N billion
 the nation 's savings rate was unchanged in september at N N of after-tax income far below the N N it reached in july
 all the figures are adjusted for seasonal variations
 here is the commerce department 's latest report on personal income
 the figures are at seasonally adjusted annual rates in <unk> of dollars
 <unk> ltd. said it agreed to sell a N N stake in its <unk> coal mine in the state of new south <unk> to mitsubishi development <unk> of japan
 the price was n't disclosed
 the agreement is subject to government approval
 <unk> acquired the <unk> coal mine oct. N when it bought british petroleum co. 's australian coal interests for $ N million
 <unk> said then that it was looking for a partner for the mine which produces more than three million metric tons of coal a year
 <unk> is <unk> by <unk> corp. of britain
 control data corp. which just months ago was hemorrhaging financially thinks it will be healthy enough soon to consider <unk> public debt
 moreover the company whose <unk> approach nearly proved fatal now sees alliances with others as the way back to prosperity in what it calls the data solutions business
 i 'm not saying everything is <unk> but we have completed the transition robert m. price chairman and chief executive said in an interview
 transition is a reference to the company 's five-year restructuring effort
 during that time control data had losses of more than $ N billion
 now following asset sales that shrank revenue by more than one-third this year alone control data is flush with cash
 so its senior executives are talking openly about possibly buying back some of the company 's $ N million in subordinated convertible debentures next year
 we 'd like to continue to reduce debt president lawrence perlman said
 noting that the company is offering to buy back $ N million in senior notes paying N N N he said the response will help determine future <unk> efforts
 the offer was automatically triggered by the recent sale of control data 's <unk> disk-drive business to seagate technology inc
 mr. perlman who is also acting chief financial officer and the <unk> favorite to become the next chief executive said the company is <unk> modest positive cash flow from operations and we expect that to continue into N
 he said the company has no intention of <unk> its short-term bank lines for a good part of N
 sometime next year control data will develop a new bank relationship mr. perlman said
 in recent months a group of lenders led by bank of america has extended control data up to $ N million in revolving loans through january as well as $ N million in <unk> letters of credit
 loan <unk> require that the company achieve specified levels of operating earnings and meet a rolling <unk> profitability test
 last week control data reported third-quarter earnings of $ N million or N cents a share on revenue of $ N million
 through the first nine months the company had a loss of $ N million largely reflecting the closing of its supercomputer unit
 while a few assets are still being <unk> including the sports and entertainment <unk> portion of the company 's <unk> unit mr. price said future restructuring would be a question of strategy
 we do n't need the cash
 <unk> 's automated <unk> business which operates <unk> in a half dozen states is not for sale the company said
 rather mr. perlman said control data intends to bid for the coming minnesota <unk> contract and is seeking new applications for the technology overseas where there is great interest in games of <unk>
 he would n't elaborate
 control data 's semiconductor business <unk> inc. continues to lose money the executives acknowledged but they said they consider some of the technology vital to national defense and so are reluctant to <unk> of it
 the company 's strategy for keeping its computer products business profitable it recently achieved profitability after several quarters of losses calls for a narrow focus and a lid on expenses
 partly costs will be held down through strategic technology alliances management said
 control data recently announced an agreement with mips computer systems inc. to jointly develop machines with <unk> operating software
 james e. <unk> computer products group president said such arrangements could help slash control data 's computer research and development costs in half by the end of N
 he disclosed that before control data scrapped its <unk> systems inc. supercomputer business this past spring those costs were running at nearly N N of group revenue
 at the same time four of six design projects were <unk> he said
 asked how the company hopes to expand its computer hardware business mr. <unk> said it sees good opportunities in systems integration
 we think we 're getting only N N of the integration dollars our customers are spending he said
 we 're in environments that are going to spend a lot of money on that
 control data mainframes are designed for <unk> intensive computing users such as the scientific engineering and academic communities
 utilities management is a major commercial niche
 reviewing the company 's <unk> with disaster mr. price conceded it had tried to do too much on its own
 absolutely he said
 but while its stock is selling at about half control data 's estimated breakup value neither messrs. perlman nor price said he spends much time considering the possibility of a hostile takeover
 we 've been listed as a candidate for so long it 's not worth worrying about said mr. price
 well the arrogant east coast media have spoken again going for the green editorial oct. N
 having <unk> in the great state of california for the past seven years i find it hard to ignore our environmental problems when i start my commute to work with eyes <unk> and head <unk> from the <unk> air when i try to enjoy the <unk> and come home covered with <unk> and oil when i hear of numerous deaths related to irresponsible processing of <unk> and use of chemicals in fruit growing
 perhaps it 's entertaining for those like you to discount the concerns of environmentalists suggesting that their <unk> initiatives are <unk> and referring to so many citizens as <unk> activists
 strange that we do n't hear similar criticisms of the east coast activists who seek to clean up boston harbor or rid their <unk> of medical waste
 while there are no easy low-cost solutions simply ignoring our problems will result in their <unk> increasing and spreading throughout the state the nation and the world
 if nothing else such initiatives as these will provide an awareness to citizens and lawmakers and encourage appropriate <unk> action
 before your next <unk> editorial please spend more time out here <unk> the situation it just may change your view
 john barry <unk> calif
 i realize you were just looking for something <unk> to say about california and its environmental movement but picking frank lloyd wright to say it for you was a bad call
 wright 's organic architecture demonstrated a keen <unk> to the environment decades before it became fashionable among <unk> activists
 indeed wright said all his life that the greatest <unk> he learned were derived from the study of nature
 obviously it 's lost on you that about N N of the american people these days and in fact the president of the united states consider themselves environmentalists
 as for california being a state run by liberal environmental <unk> let 's not forget where ronald reagan came from
 perhaps mr. reagan who claimed that air pollution is caused by trees is the man you should be <unk> to back up your position that economics is more important than the earth
 but it was frank lloyd wright who said is this not <unk>
 the <unk> that knows no god but more
 robert <unk> santa <unk> calif
 your editorial was <unk> and neatly matched by the readers ' comments in letters to the editor <unk> scaring on the side of caution
 the <unk> and <unk> of john h. adams 's comments for the national resources defense council fully justifies your <unk> of california 's greens in particular as <unk> activists
 we may all hope that california 's voters will <unk> the scientific realities that their own university 's <unk> prof. tom <unk> provides them and ignore the <unk> <unk> by their wealthy hollywood <unk>
 i have a different approach to offer not only to californians but to all americans
 in a free country the law should restrict citizens as little as is consistent with good <unk> and public safety
 would-be <unk> should have the burden of proving reasonable necessity when they urge a prohibition for enactment into law
 w. brown <unk> jr warsaw va
 the N airlines in the international air transport association last year posted group net profit of $ N billion on revenue of $ N billion
 according to the association 's annual report scheduled to be released today in warsaw <unk> members have n't posted such a strong performance since the late 1970s
 revenue last year increased by more than N N over N and net income nearly tripled from restated year-earlier net of $ N million
 the group attributed the strong results to the favorable economic climate rising demand for air travel and improved average yield revenue received per ton of traffic <unk> a <unk>
 <unk> <unk> airlines carried N million passengers last year N N more than in N
 but <unk> the distance <unk> while carrying people increased N N in N
 the association said that lack of airport and air space capacity is the biggest problem facing the airline industry
 the kgb has abolished a unit known for <unk> <unk> the government newspaper <unk> said
 the newspaper quoted kgb chairman <unk> a. <unk> as saying the definition of <unk> crimes had narrowed the laws had changed and people no longer have to fear a simple slip of the <unk>
 mr. <unk> was quoted as saying that in place of the <unk> <unk> <unk> a new unit would work to <unk> the <unk> of foreign intelligence services to create and use organized <unk> groups in our country
 czechoslovakia has restricted <unk> exports to neighbor countries because of massive buying out of food by tourists from poland hungary and the soviet union the <unk> <unk> daily said
 rising inflation in poland and hungary makes <unk> food clothing and shoes relatively cheap for visitors from these countries
 the paper gave no details of what the restrictions would <unk> but said the measures were necessary to protect the domestic market
 west germany 's biggest union ig metall said it is ready to back demands for more pay and shorter hours with strikes against the nation 's automotive steel and engineering industries
 its chairman told the union to prepare for the worst in next year 's confrontation with employers over a new three-year wage deal
 a major goal is to cut the working week to N hours from the present N
 last week came news of alarm in venice over a plan to tap gas fields off the city 's coast
 now comes word from a scientist that over the next century venice will sink nearly three times faster than the present rate because of the greenhouse effect
 global warming means higher <unk> which will lower venice by another N inches in the next N years giovanni <unk> of the the new venice consortium said
 the consortium of scientists and companies was set up by italy to help preserve the <unk> city of <unk>
 venice has <unk> N inches in this century
 west germany 's <unk> said it will establish a mail-order operation with two local partners in the soviet union next year
 saying this is a first for a western company west germany 's largest mail-order group said the newly established <unk> <unk> company is scheduled to begin operations in february N
 <unk> will initially only send the textile and clothing section of the <unk> catalog translated into russian to soviet customers who have access to convertible currency
 the european community commission has imposed provisional <unk> duties on imports of south korean <unk> <unk> sets
 saying that a surge in <unk> imports had damaged ec producers ' profits and led to job losses the commission imposed a duty of N N on tvs made by daewoo a duty of N N on <unk> co. N N on <unk> and N N on tvs made by other south korean producers
 the commission said that ec television producers lost important market shares and suffered an <unk> pressure on prices because of the korean companies ' marketing and pricing policies which it said were in clear violation of international trade rules
 in other news concerning south korea 's television industry <unk> signed an agreement with <unk> the <unk> organization of the soviet union to swap korean television sets and videocassette recorders for <unk> iron from the soviet union
 south korea and the soviet union have no diplomatic relations but exchanged trade offices earlier this year
 sri <unk> where more than N people have died in six years of ethnic turmoil said it will ban sex and violence from state-owned television next year
 many programs we have now come from the west and are not suitable to our culture a government minister said
 a star attraction on the national network is the u.s. 's <unk>
 a poll of south koreans showed overwhelming opposition to efforts to curb <unk> consumption just because it <unk> foreigners
 broad inc. said it doubled its regular quarterly dividend to five cents a share from N cents on common and to N cents a share N cents on class b stock payable nov. N to holders of record nov. N
 the financial services company emerged from the restructuring of <unk> & broad inc. which spun off its <unk> subsidiary into <unk> & broad home corp. earlier this year and changed its name to broad inc
 for the <unk> fiscal year ended sept. N chairman eli broad said he expected earnings results to <unk> analysts ' estimates which the company said have been revised upward to N cents a share
 this would compare with an estimated loss of N cents a share for the comparable N months last year which included restructuring costs
 if this battle were a movie the producers would be fighting over two scripts with nothing but an opening scene in common
 in the <unk> sony corp. would agree to buy columbia pictures entertainment inc. in a transaction valued at close to $ N billion
 shortly after that sony would offer to buy guber-peters entertainment co. for $ N million and offer its <unk> peter guber and jon peters the chance to run columbia
 mr. peters would fly to new york with the intention of telling warner communications inc. chairman steven j. ross that guber-peters planned to end its five-year contract to produce movies exclusively for warner
 that 's where the two scripts would <unk>
 in affidavits filed in los angeles superior court in connection with the $ N billion <unk> suit warner brought against sony for hiring the two producers mr. guber and mr. peters tell one story
 warner tells another
 in the affidavits mr. peters says he was shocked when mr. ross refused a meeting and made it clear he would stop them
 mr. peters claims he reminded mr. ross that robert daly and terry semel the top executives of the warner brothers studio had repeatedly agreed that we had every right to accept an offer such as sony 's
 in response mr. peters says mr. ross referred to his colleagues at warner with an <unk> and said tell them that they do n't have a job
 you can take them with you
 warner denies mr. ross ever said any such thing and in fact denies virtually everything mr. guber and mr. peters say in their affidavits
 tomorrow warner will file another batch of documents <unk> that the <unk> of everything these guys are saying is basically lies says warner 's chief outside counsel stuart <unk>
 thursday a judge is scheduled to rule on warner 's motion seeking to block the guber-peters duo from going to columbia
 the battery of legal documents filed in the past week in connection with the suit provide a <unk> into the inner workings of this hollywood <unk>
 but they also make it clear that the first thing a judge will have to decide is which if any version of events in this <unk> is <unk> and which fact
 the matter may never even be tried in court
 warner says that what it really wants is for the producers to fulfill their <unk> obligations but the <unk> of this battle and the accusations flying on both sides make it unlikely that the <unk> relationship between warner and its two most <unk> producers can ever be repaired
 warner which is in the process of <unk> with time warner inc. says it is willing to settle the matter out of court
 so far however sony has n't been willing to meet its considerable financial demands
 mr. guber and mr. peters do n't have much to gain from a <unk> battle
 sony for its part could decide that the cost of a warner settlement or court fight is too high choosing instead to find someone else to run columbia although that too would be costly given the financial arrangement already guaranteed to mr. guber and mr. peters
 in that case mr. guber and mr. peters might not suffer financially but they would be left without their dream job of running a studio and with a considerably <unk> relationship with warner
 at the center of any court fight will be the <unk> <unk> of the written contract between warner and the two producers but other <unk> issues will play a big role
 sony and the guber-peters team are hanging much of their case on warner 's willingness last year to release the producers from another contract and on an oral agreement they say allowed them to terminate the current written contract if the opportunity to run a major studio came up
 warner denies such an agreement was made and disputes the guber-peters version of virtually every telephone call and meeting the two sides had on the matter
 just how <unk> the relationship has become is clear from the <unk> versions of the two sides ' current business dealings
 mr. guber and mr. peters say in their affidavits that warner already is taking steps to freeze them out of their projects at warner notably the <unk> <unk> film <unk> and cash
 mr. peters says in his affidavit that the movie 's staff was told last week that warner was taking over the picture and another producer would be giving all of the orders
 over his objections mr. peters says the film 's release date was moved up by many months to december and plans for a <unk> worth millions of dollars were dropped
 <unk> de la <unk> an editor on the film backs mr. peters in a separate sworn declaration
 mr. de la <unk> says warner brothers production president mark canton called him oct. N and said mr. peters is off the picture
 if he calls you up just tell him everything is fine
 the editor also says the new producer on the film bruce <unk> told editors to screen the picture without telling stars <unk> <unk> and kurt russell or mr. peters
 the less they know the easier it is for us
 if someone asks just lie and tell them it will be done mr. de la <unk> says mr. <unk> told them
 that says warner 's mr. <unk> is a total N N lie
 the movie he says is in its <unk> stages of cleaning up the film
 he says mr. peters and mr. guber as the <unk> producers with <unk> rights have been invited to <unk> and to give their input on the film
 dozens of guber-peters staffers are still working on the warner lot and consulting on various projects on a daily basis the attorney says
 mr. guber in his affidavit says that when he advised warner president terry semel of the sony offer at lunch on sept. N mr. semel <unk> and <unk> me and expressed <unk> that we had finally realized our long-term <unk> of running and having an equity position in a major entertainment company
 mr. guber says he brought to lunch a release document warner had agreed to in N when he and mr. peters made an aborted bid to buy part of mgm\/ua entertainment co. to run the mgm studio
 mr. guber says he had crossed out mgm with a red <unk> and written in columbia giving the document to mr. semel
 mr. semel said absolutely nothing to indicate warner would have any <unk> to our assuming management positions at columbia mr. guber says
 mr. semel in his affidavit does n't mention any <unk> or <unk>
 he says he told mr. guber he could n't sign any documents and that the deal although apparently a good one for him and mr. peters would have a very negative impact on warner
 he said he would contact mr. ross and warner brothers chairman robert daly and that in a conference call the three agreed they could n't let the producers out of their contract
 mr. ross in his own affidavit says he and mr. daly instructed mr. semel to tell the producers warner would n't terminate their agreement
 mr. guber says that mr. semel did convey that information and that mr. semel said mr. ross was crazy because of the time deal meaning mr. guber says that mr. ross did not want to <unk> to his new merger partner time inc. that warner 's agreements provided for our departure under these circumstances
 mr. guber also says in his affidavit that mr. daly told us that even if sony did not want us warner 's relationship with us already was <unk> damaged that there was no way to put the egg together and that it would sue sony for tons of money
 moreover mr. guber claims mr. semel told him that mr. ross probably would n't object if it were anybody other than sony
 but sony is a problem
 the guber-peters side has said warner is particularly concerned about the prospect of a huge japanese company controlling important segments of the u.s. entertainment business
 some in hollywood suggest mr. guber and mr. peters took encouragement from warner studio executives such as mr. semel and mr. canton too literally
 according to this theory warner executives hoping to strengthen their relationships with the producers encouraged mr. guber and mr. peters in their ambitions to build a major entertainment company
 but the warner executives in their affidavits deny ever telling the producers they could get out of their written contract
 mr. <unk> the warner attorney says the studio still wants the producers to come back and fulfill their contract
 they are like a <unk> they have N projects in development for warner he says
 but mr. guber indicates in his affidavit that not all of the projects will be used
 for example he says that since N he and mr. peters have developed over N movie projects and warner has passed or chosen not to produce at least N
 as for the projects remaining at warner mr. guber says mr. semel informed me that warner 's producers have already started a feeding frenzy for our projects
 <unk> <unk> co. said it has acquired a georgia cable television company and a massachusetts publishing firm
 terms on both deals were n't disclosed
 the media company said it purchased cable usa inc. a privately held cable television system in <unk> county ga. a suburb of atlanta
 the system is still under construction and will serve a market of N homes
 the company also has acquired <unk> publishers and distributors inc. a family owned producer and distributor of educational materials in <unk> mass
 despite politicians ' <unk> about the federal budget the government ended fiscal N with a $ N billion deficit about the same as the two previous years
 even white house budget director richard darman had trouble finding a silver <unk> in the report
 i <unk> you could say the good news is that the deficits are not heading up he said but you ca n't be satisfied with deficits at this level and we 're not
 the federal deficit was $ N billion in N and $ N billion in N
 the N deficit would have been nearly $ N billion larger had the government been able to spend as much as congress intended on cleaning up the thrift industry before the year ended on sept. N
 because the resolution trust corp could n't spend the money fast enough the savings-and-loan outlays were pushed into fiscal N
 nevertheless the N deficit still exceeded the $ N billion target set by the gramm-rudman deficit-reduction law by $ N billion a reminder of that law 's <unk>
 the law sets a deficit target of $ N billion for fiscal N
 a <unk> fight over cutting capital-gains taxes has slowed the progress of N deficit-reduction legislation almost to a halt triggering across-the-board spending cuts under the gramm-rudman law
 the white house and the democratic leadership in congress blame each other for turning capital-gains taxes into such a divisive issue this year
 neither side showed any sign of retreating
 meeting with reporters friday mr. darman again said he would rather live with across-the-board spending cuts than accept a deficit-reduction bill like the one passed by the house which would increase spending in future years
 <unk> the size of the deficits of the past few years the treasury report showed that for the first time interest paid on the public debt $ N billion exceeded spending on social security the single largest government program
 in all federal outlays amounted to $ N trillion in N up N N from the previous year the treasury said
 federal revenues rose N N to $ N billion
 the treasury said a surge in tax receipts noted earlier in the year did n't turn out to be quite as strong as it first appeared
 the treasury marked up its forecast by $ N million in july but that proved to be about $ N billion too optimistic
 the government ran a deficit of $ N billion in september compared with a surplus of $ N billion in september N
 outlays for the month totaled $ N billion up from $ N billion a year earlier
 the increase reflects spending on the s&l rescue as well as payroll and social security checks normally issued in october that were issued in september this year because oct. N fell on a sunday
 revenues were $ N billion up from $ N billion a year earlier
 cms energy corp. said it would begin paying a <unk> quarterly dividend the company 's first since N
 consumers power co. now the main unit of cms energy ran into financial problems over its $ N billion midland nuclear plant which was abandoned as a nuclear facility in N because of construction delays and high costs
 cms is nearly done converting the midland plant to a <unk> <unk> facility at a cost of $ N million
 cms management said thursday that they planned to recommend paying a modest dividend when the board of directors met friday
 the dividend will be paid nov. N to shares of record nov. N
 the company suffered a loss of $ N million in N but its financial situation has been improving since then
 humana inc. said it expects to receive about $ N million in federal income-tax refunds and interest from a court ruling on a tax dispute
 the health-care company said it expects the refund to be included in the first quarter ending nov. N
 the refund is about $ N million
 accrued interest on the refund was about $ N million as of oct. N
 the refund stems from a court ruling that found certain payments by humana subsidiaries to its insurance subsidiary during fiscal N through N were deductible as premiums for liability insurance
 polly peck international inc. 's agreement to acquire N N of sansui electric co. proves that foreign companies can acquire japanese companies if the alternative for the japanese company is <unk>
 polly peck a fast-growing british conglomerate will pay N billion yen $ N million for N million new shares of sansui a well-known maker of <unk> audio equipment that failed to adjust to changing market conditions
 japanese government officials eager to <unk> foreign criticism of japanese investments overseas hailed the transaction as proof foreigners can make similar investments in japan
 polly peck 's chairman <unk> <unk> <unk> the official japanese view of the accord which was announced friday
 the <unk> that japan is not open to concerns from outside has i think been <unk> at a <unk> mr. <unk> said
 but analysts say sansui is a special case
 it expects to post a loss of N billion yen for the year ending tomorrow and its liabilities currently exceed its assets by about N billion yen
 if you find sound healthy companies in japan they are not for sale said george <unk> a <unk> at tokyo-based asia advisory services inc
 statistics on acquisitions by foreigners vary in detail because unlike sansui which is listed on the tokyo and osaka stock exchanges most of the japanese companies acquired by foreigners are privately held
 but by all accounts foreign companies have bought only a relative handful of japanese companies this year while japanese companies have acquired hundreds of foreign companies
 nor do analysts expect the sansui deal to touch off a fresh wave of foreign purchases
 if the strong yen and the high stock prices of japanese companies were n't <unk> enough <unk> of <unk> between friendly japanese companies and fiercely independent japanese corporate attitudes <unk> most would-be <unk>
 usually when a japanese company is ready to sell it has few alternatives remaining and the grim <unk> of sansui 's directors at a joint news conference here left little doubt that this was not the company 's <unk> hour
 sansui was once one of japan 's premier makers of expensive high-quality stereo gear for <unk>
 but in recent years the market has moved toward less expensive <unk> sets <unk> <unk> and <unk> and software players that could be <unk> on top of each other
 some of sansui 's fellow <unk> companies such as <unk> co. and pioneer electric corp. responded to the challenge by quickly bringing out <unk> products of their own by moving heavily into the booming compact disk businesses or by diversifying into other <unk> fields including laser disks or portable <unk> players
 sansui was late into the <unk> business and failed to branch into other new businesses
 as the yen soared in recent years sansui 's <unk> financial problems became a vicious circle
 while competitors moved production offshore in response to the sagging competitiveness of japanese factories sansui lacked the money to build new plants in southeast asia
 our company has not been able to cope very effectively with changes in the marketplace said <unk> <unk> sansui 's president
 but even a japanese company that looks like a dog may turn out to be a good investment for a foreign concern some management consultants maintain
 <unk> <unk> a management consultant for <unk> & hamilton japan inc. said his firm will likely be recommending acquisitions of japanese companies more often to foreign clients in the future
 attitudes toward being acquired are still negative but they 're becoming more positive mr. <unk> said
 in some industries like pharmaceuticals acquisitions make sense
 whether polly peck 's acquisition makes sense remains to be seen but at the news conference mr. <unk> <unk> with <unk> that he can turn sansui around
 sansui he said is a perfect fit for polly peck 's electronics operations which make <unk> videocassette recorders <unk> and other products on an original equipment maker basis for sale under other companies ' brand names
 he said polly peck will greatly expand sansui 's product line using sansui 's engineers to design the new products and will move sansui 's production of most products other than sophisticated audio gear offshore into polly peck 's own factories
 whatever capital it sansui needs so it can compete and become a totally global entity capable of competing with the best in the world that capital will be <unk> mr. <unk> said
 and while polly peck is n't <unk> the <unk> <unk> structure of sansui it is bringing in a former toshiba corp. executive as executive vice president and chief operating officer
 such risk taking is an everyday matter for the <unk> mr. <unk> who is N N owner of polly peck as well as its chairman
 he took polly peck once a small fabric <unk> and used it at as a base to build a conglomerate that has been doubling its profits annually since N
 in september it announced plans to acquire the <unk> business of rjr nabisco inc. 's del monte foods unit for # N million $ N million
 last month polly peck posted a N N jump in pretax profit for the first half to # N million from # N million on a N N rise in sales
 <unk> s. <unk> in london contributed to this article
 the bolstered cellular agreement between bellsouth corp. and lin broadcasting corp. carries heightened risks and could fail to fend off mccaw cellular communications inc. the rival suitor for lin
 moreover the amended pact shows how mccaw 's <unk> has pushed lin and bellsouth into a corner forcing huge debt on the proposed new company
 the debt estimated at $ N billion could mortgage the cellular company 's future earning power in order to <unk> some lin holders in the short term
 the plan still calls for lin to combine its cellular telephone properties with bellsouth 's and to spin off its broadcasting operations
 but under new terms of the agreement announced friday lin holders would receive a special cash dividend of $ N a share representing a payout of about $ N billion shortly before the proposed merger
 lin said it expects to borrow the money to pay the dividend but commitments from banks still have n't been obtained
 under previous terms holders would have received a dividend of only $ N a share
 in addition new york-based lin would exercise its right to buy out for $ N billion the N N equity interest of its partner metromedia co. in a new york cellular franchise
 that money also would have to be borrowed
 in effect mccaw has forced lin 's hand by bidding $ N billion for the stake earlier this month
 we 're taking on more debt than we would have liked to acknowledged michael <unk> lin 's vice president and treasurer
 although he expressed confidence that the proposed new company 's cash flow would be sufficient to cover interest payments on the debt he estimated that the company would n't be profitable until N or later
 analyst estimate the value of the bellsouth proposal at about $ N to $ N a share
 they value mccaw 's bid at $ N to $ N a share
 the previous bellsouth pact was valued at about $ N to $ N a share
 mccaw the largest provider of cellular telephone service in the u.s. already owns about N N of lin 's stock
 in response to bellsouth 's amended pact the <unk> wash. company extended its own offer to buy N million lin shares for $ N apiece which would give mccaw a N N controlling interest
 over the weekend mccaw continued to call for an auction of lin
 analysts said they expect mccaw to <unk> the bidding again
 this game is n't over yet said joel d. gross a vice president at donaldson lufkin & jenrette securities corp
 at some point it will become <unk> for one company
 but i do n't think we 're at that point yet
 under its revised proposal atlanta-based bellsouth would have a N N interest in the new cellular company and would be responsible for half of its debt
 to <unk> the pact further and to ease concerns of institutional investors bellsouth added a provision designed to give extra protection to holders if the regional bell company ever decides to buy the rest of the new cellular company
 the provision described as <unk> protection would require bellsouth to pay a price equivalent to what an outside party might have to pay
 mccaw 's bid also has a similar clause
 only mccaw 's proposal requires the company to begin an auction process in june N for remaining shares at <unk> prices
 to <unk> shareholders concerned about the long-term value of the company under the <unk> agreement bellsouth also agreed to pay as much as $ N a share or $ N million if after five years the trading value of the new cellular company is n't as high as the value that shareholders would have realized from the mccaw offer
 we 're very pleased with the new deal
 we did n't expect bellsouth to be so responsive said frederick a. <unk> president of <unk> asset management inc. which holds N lin shares
 bellsouth 's <unk> protection was flawed previously
 we think this is a superior deal to mccaw 's
 we 're surprised
 we did n't think a sleeping bell mentality would be willing to take on <unk>
 but kenneth leon a telecommunications analyst with bear stearns & co. finds the bellsouth proposal still flawed because the company does n't have to wait five years to begin buying more lin shares
 how many shares will be around in N he asked
 there 's nothing preventing bellsouth from buying up shares in the meanwhile
 bellsouth 's revised proposal surprised many industry analysts especially because of the company 's willingness to accept some <unk> of future earnings
 william o. <unk> president of the company 's bellsouth enterprises inc. unit said the revised agreement with lin would <unk> bellsouth earnings by about N N in both N and N and by significantly less thereafter
 indeed bellsouth 's cellular operations were among the first in the country to become profitable
 for N bellsouth earned $ N billion or $ N a share on revenue of $ N billion
 analysts were predicting N bellsouth earnings in the range of $ N a share or $ N billion but now those estimates are being scaled back
 in composite trading friday on the new york stock exchange bellsouth shares fell N cents to $ N
 in national over-the-counter trading lin shares soared $ N to closed at $ N while mccaw fell $ N a share to $ N
 the proposed <unk> cellular company including the newly acquired metromedia stake would give the new entity N million potential customers including about N million in the nation 's top N markets
 mr. leon of bear stearns speculated that mccaw in an attempt to buy time might consider filing an antitrust suit against bellsouth with the justice department and u.s. district judge harold greene who oversees enforcement of the consent <unk> that broke up the bell system in N
 indeed mccaw seemed to hint at that option in a brief statement
 urging lin directors to conduct a fair auction on a level playing field mccaw asked how well the public interest would be served with the bell operating companies controlling over N N of all cellular potential customers in the nation 's top N markets
 market makers in nasdaq over-the-counter stocks are adding their voices to the swelling chorus of complaints about program trading
 their <unk> however has a strong practical aspect program trading is hazardous to their <unk>
 the most controversial form of program trading stock-index arbitrage is making it tough for traders to make money declares robert <unk> head of otc trading at donaldson lufkin & jenrette
 stock-index arbitrage the computer-guided buying and selling of stocks with offsetting trades in stock-index futures to profit from fleeting price discrepancies affects the otc market directly through the N stocks included in standard & poor 's 500-stock index
 the s&p N is often used in arbitrage strategies
 the portion of otc volume attributable to program trading is n't known as it is on the new york stock exchange where it amounted to more than N N in september
 estimates from traders put it at less than N N of nasdaq 's average daily volume of roughly N million shares
 other <unk> <unk> program trading also causes the nasdaq composite index to lose ground against other segments of the stock market
 because of program trading it is more difficult to trade many otc stocks without sharp price moves a condition known as <unk>
 moreover the price volatility that is <unk> by program trading is <unk> efforts to woo individual investors back to an otc market that <unk> misses them
 some of these problems are neither new nor unique to the otc market
 but the big often tumultuous slide in stock prices this month has turned some of those who have been <unk> from the practice against it
 peter dapuzzo head of retail equity trading at shearson lehman hutton acknowledges that he was n't troubled by program trading when it began in the <unk> bull market because it added liquidity and people were pleased to see stock prices rising
 we were n't as concerned until they became sell programs says mr. dapuzzo who now thinks it adds unnecessary volatility
 shearson lehman however <unk> program trades for clients
 merrill lynch goldman sachs and kidder peabody in addition to shearson do <unk> otc stocks
 shearson merrill lynch and goldman sachs say they do so only for customers however
 kidder peabody does program trading for its own as well as clients ' accounts
 of course there were sell programs in past years too but they seem to hurt market makers more painfully these days
 that 's largely because of defensive measures they adopted after the N crash when individual investors fled the market and trading activity <unk>
 market makers to cut costs slashed inventories of stocks they keep on hand to sell investors when other holders are n't selling
 and to protect their reduced capital investment from eroding further market makers became <unk> to lower price quotes when sell programs are in progress
 on days when prices are tumbling they must be willing to buy shares from sellers when no one else will
 in such an environment market makers can suffer huge losses both on trades made that day at steadily dropping prices and in the value of their inventories of shares
 it makes no sense for us to put money at risk when you know you 're going to lose says mr. <unk> of donaldson lufkin
 but this <unk> mr. <unk> says is creating liquidity problems in certain otc stocks
 it 's harder to sell stocks when the sell programs come in because some market makers do n't want to take the orders
 no one has big positions and no one wants to take big risks
 joseph <unk> president of the national association of securities dealers which oversees trading on nasdaq agrees that program trading is hurting the market 's efforts to bring back small investors
 but he observes while makers suffer losses when program trading <unk> the market down they also make money when program trading <unk> the prices higher
 sometimes traders lose sight of that he says
 the otc stocks in the s&p N include nasdaq 's biggest such as apple computer mci communications tele-communications and <unk> <unk>
 these big stocks greatly influence the nasdaq composite index
 when the computers say sell the composite <unk> as well as the dow jones industrial average
 the problem market makers say is that while the industrial average and the s&p N usually recover as buy programs kick in the nasdaq composite frequently is left behind
 eight trading days after oct. N the day before the stock market plunge for instance the nasdaq composite had fallen N N compared with N N for the s&p N N N for the new york stock exchange composite index and N N for the industrial average
 this gap eventually closes but slowly
 three days later as of friday 's close the nasdaq composite was down N N compared with N N for the industrial average N N for the s&p N and N N for the big board composite
 the main reason for this lag is that individual investors own N N of the otc market 's capitalization according to mr. <unk> much more than on the big board
 such investors tend to be more cautious than institutional investors are about <unk> the market after massive <unk> market makers say
 friday 's market activity
 the nasdaq composite index tumbled N or N N to N on friday
 for the week the index dropped N N
 weakness in big technology stocks hurt the composite as well as the nasdaq N index which fell N N or N on friday to N
 the nasdaq financial index lost about N N or N to N
 friday 's trading volume totaled N million shares
 the average daily share turnover for october is almost N million shares
 lin broadcasting surged N N to N N lin and bellsouth sweetened their merger agreement in an attempt to keep shareholders from <unk> their shares to mccaw cellular communications
 mccaw which dropped N N to N N has offered $ N a share for a majority of lin 's shares
 the revised <unk> agreement boosts the dollar amount of the special dividend lin promises to pay shareholders
 lin now plans to dole out $ N a share in cash up from the earlier $ N amount
 intel eased N to N N
 the semiconductor concern said the <unk> in shipment of its N computer chip will be brief and have little impact on the company 's earnings
 the stock fell N thursday amid concerns over problems discovered with the chip
 intel told analysts that the company will resume shipments of the chips within two to three weeks
 weisfield 's <unk> N N to N after the jewelry store operator said it is in preliminary discussions with a party it would n't identify regarding the possible acquisition of the company
 <unk> savings bank rose N to N after the federal deposit insurance corp. approved <unk> savings bank of new york 's $ <unk> acquisition of <unk>
 <unk> medical fell N to N
 the company said its third-quarter earnings will probably be lower than the N cents a share it reported last year despite a rise in the company 's revenue
 <unk> earned $ N on revenue of $ N million in the N quarter
 the company blamed a number of factors for the earnings decline including softer sales of <unk>
 london share prices closed sharply lower friday in active trading after chancellor of the exchequer nigel lawson 's resignation <unk> the market and wall street 's rapid initial sell-off knocked it down
 london shares were depressed initially by overnight losses in new york and by the drop in sterling after mr. lawson 's resignation
 it showed some early resilience after central bank support firmed sterling but the weight of wall street late in london trading and signs of further weakness in the british pound proved a hefty load to bear
 new york stocks recovered some of their losses after the london market closed
 the financial times 100-share index shed N points to close at N down N N from the previous friday and N N from oct. N when wall street 's plunge helped spark the current weakness in london
 the 30-share index settled N points lower at N
 volume was N million shares up from N million thursday and the week 's most active session
 dealers said the turnover largely confined to the 100-share index stocks partly reflected the flurry of activity typical at the close of a <unk> trading account and the start of a new account
 but they said friday 's focus on the <unk> stocks <unk> active overseas selling and showed the broad-based fears over the status of the u.k. economy and britain 's currency in the wake of the upheaval in prime minister margaret thatcher 's cabinet
 a senior dealer with warburg securities noted british gas the most active blue-chip stock at N million shares traded was affected by the political implications of mr. lawson 's departure and mrs. thatcher 's cabinet <unk>
 he attributed the unusually high volume to broad-based selling on fears that the thatcher government may be in turmoil and britain 's labor party positioned to regain control of the government and renew efforts at <unk>
 british gas shed N pence a share to close at N pence $ N
 other dealers added that the blue-chip stocks in general were hit by profit-taking over concerns that london shares will continue posting declines and the uncertainty over sterling given that mr. lawson 's successor john major had only been in the job one day
 besides british gas british steel skidded N to N on turnover of N million shares
 british petroleum fell N to N on N million shares traded
 dealers said the multinational oil company was pressured by recent brokerage recommendations urging investors to switch into shell trading & transport
 shell eased N to N on turnover of N million shares
 among the other actively traded blue-chip issues imperial chemical industries dropped N to # N hanson skidded N to N and british <unk> fell N to N
 in tokyo stocks closed lower but above intraday lows in active trading
 the nikkei index was pressured down by profit-taking triggered by sharp advances made through this week and fell N points to N
 in early trading in tokyo monday the nikkei index fell N points to N
 on friday the tokyo stock price index of first section issues was down N at N
 <unk> volume was estimated at N billion shares up from N million shares thursday
 an official at <unk> securities said <unk> ' excessive expectations about recent advances in tokyu group shares and real estate issues were dashed friday
 dealers placed heavy buy orders in the morning to start the first trading day for november transactions
 but they failed to sell these stocks to client investors who were cautious about the sharp gains these issues made this week the <unk> official said
 fund managers said friday 's <unk> was a natural result of the week 's <unk> fever in buying real estate shipbuilding steel and construction shares
 frankfurt prices closed lower again friday the fourth decline in the past five days and the culmination of a week that saw the dax index lose N N
 the dax dropped N points friday to N
 traders said the continued turbulence in other markets coupled with the drop in london following the lawson resignation were responsible
 traders said that selling pressure was n't enormous and that the dax dropped friday more on a lack of any substantial buying interest
 they said contributing to the downward <unk> was the fact that many professional traders had chosen to square positions ahead of the weekend
 it 's the whole uncertainty about what 's happening around us said <unk> von <unk> a trader at credit suisse first boston in frankfurt
 if you take away the outside influences the market itself looks very cheap
 what 's happening here is n't justified by the fundamentals
 traders said the market remains extremely nervous because of the wild swings seen on the new york stock exchange last week
 that 's leaving small investors with cold feet they said and prompting institutions to take a reserved stance on the sidelines as well at least until the market in new york <unk> down somewhat
 elsewhere share prices closed lower in paris zurich amsterdam brussels and stockholm and were mixed in milan
 the british <unk> was widely cited for the declines
 share prices also closed lower in sydney hong kong singapore taipei manila wellington and seoul
 concern about declines in other markets especially new york caused selling pressure
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 last week 's best and worst performing stocks among those issues that make up N N of the world 's stock market capitalization in local currency
 source morgan stanley capital <unk>
 apartheid foes staged a massive <unk> rally in south africa
 more than N people filled a <unk> stadium on the <unk> of the black township of <unk> and welcomed freed leaders of the outlawed african national congress
 it was considered south africa 's largest opposition rally
 walter sisulu the anc 's former secretary general who served N years in prison before being released two weeks ago urged peace negotiation and discipline
 president de <unk> 's government permitted the rally and security forces did n't interfere
 pretoria 's approval of the demonstration and the anc 's <unk> tone appeared aimed at setting up negotiations to give blacks political rights
 congressional leaders backed bush 's criticism of nicaragua 's ortega
 while lawmakers have n't raised the possibility of renewing military aid to the contras following ortega 's weekend threat to end a truce senate majority leader mitchell said on <unk> that ortega had made a very <unk> move
 minority leader dole plans to offer a resolution tomorrow <unk> the nicaraguan president whose remarks came during a celebration in costa rica marking regional moves to democracy
 ortega cited renewed attacks by the <unk> rebels
 lawmakers must decide next month whether the contras will get so-called humanitarian aid under a bipartisan agreement reached in march
 spain 's socialist party claimed victory in nationwide elections saying it had retained its parliamentary majority by one seat
 with all the votes counted a government spokesman said prime minister gonzalez 's party won N seats in the <unk> <unk> or lower house of parliament
 the <unk> held N seats going into the balloting
 thousands of east germans attended public rallies organized by the communist leadership and demanded free speech controls on the security forces and an end to official privileges
 the <unk> in east berlin and elsewhere were viewed as part of a government effort to stop activists from staging protests to press their demands
 <unk> in czechoslovakia said the nation 's pro-democracy movement was growing despite the government 's move to crush a protest saturday in <unk> 's <unk> square
 more than N demonstrators had called for free elections and the resignation of communist party leader <unk> <unk>
 police <unk> more than N people
 federal investigators have determined a <unk> flaw that developed during the making of an engine disk led to the july crash of a united airlines jetliner in <unk> city iowa killing N people
 congress sent to bush an $ N billion military construction bill that cuts spending for new installations by N N
 the measure also moves more than $ N million in the pentagon budget to <unk> projects from foreign bases
 u.s. and soviet officials are to open a new round of talks today aimed at reducing <unk> <unk> amid <unk> differences over whether to stop making the <unk>
 the talks in new york are the first since bush and soviet foreign minister shevardnadze unveiled proposals in september to scrap existing weapons
 afghan guerrillas <unk> kabul in a weekend assault that western diplomats called one of the biggest <unk> since the soviet union completed a troop withdrawal in february
 the rebels also reportedly tightened a <unk> on roads leading to the capital and government forces <unk> a <unk> area in western afghanistan
 lebanon 's christian leader <unk> an emergency meeting of his cabinet after indications that he might <unk> parliament in an attempt to scuttle an <unk> peace plan
 gen. <unk> aoun rejected the pact because it fails to provide a timetable for a syrian troop pullout from lebanon
 authorities in hawaii said the <unk> of a missing <unk> plane with N people aboard was spotted in a <unk> valley on the island of <unk>
 there was n't any evidence of <unk>
 the plane failed to reach <unk> 's airport saturday while on a flight from the neighboring island of <unk>
 the oakland athletics won baseball 's world series <unk> the san francisco giants in a four-game sweep
 an earthquake oct. N in northern california had caused a <unk> delay <unk> through the championship contest which ended saturday at san francisco 's candlestick park
 died <unk> von <unk> N chairman of <unk> ag of west germany in <unk> of <unk>
 the west german machinery and plant equipment industry 's orders rose an inflation-adjusted N N in september from a year earlier despite a sharp drop in foreign orders the german association of machinery makers said
 before adjustment for inflation the association said orders were up a nominal N N
 while domestic orders climbed an adjusted N N and a nominal N N in september foreign orders declined N N after inflation and N N on a nominal basis
 in the third quarter orders rose a real N N and a nominal N N
 domestic orders were up a real N N and a nominal N N while foreign orders rose a real N N and a nominal N N
 when michael s. <unk> took the <unk> at a recent cosmetics industry event more than N executives <unk> the room snapped to attention
 mr. <unk> who runs unilever group 's world-wide <unk> business <unk> to <unk> the crowd
 i see we have about half the audience working for us he said <unk> in <unk>
 the other half we may have before long
 members of the audience <unk> or <unk> nervously their industry has been unsettled recently by acquisitions
 first unilever the <unk> packaged-goods giant spent $ N billion to acquire brands such as faberge and elizabeth <unk>
 it now holds the no. N position at u.s. department-store cosmetic <unk>
 then procter & gamble co. agreed to buy noxell corp. for $ N billion
 that acquisition to be completed by year end will include the cover girl and <unk> makeup lines making p&g the top marketer of cosmetics in mass-market outlets
 it 's not so much the idea of acquisitions that has <unk> the cosmetics industry as the companies doing the acquiring p&g and unilever bring with them great experience with mundane products like soap and toilet paper <unk> <unk> in the <unk> cosmetics trade but they also bring <unk> marketing clout <unk> fear
 though it is far from certain that companies best known for selling promise <unk> and tide detergent will succeed in cosmetics there 's little doubt they will shake up the industry
 for now both companies are keeping quiet about their specific plans
 but industry watchers expect them to <unk> the <unk> marketing strategies they use for more mundane products with the more <unk> approach typical of cosmetics companies
 likely changes include more emphasis on research soaring advertising budgets and aggressive pricing
 but some <unk> executives wonder whether techniques <unk> in packaged goods will translate to the cosmetics business
 <unk> lauder inc. <unk> inc. and other cosmetics houses traditionally have considered themselves fashion enterprises whose product development is <unk> by the creative <unk> of their executives
 cosmetics companies roll out new makeup colors several times a year and since most products can be easily <unk> by competitors they 're loath to test them with consumers
 just because upscale cosmetics look like packaged goods and <unk> like packaged goods it does n't mean they are packaged goods says leonard lauder chief executive of <unk> lauder
 they 're really fashion items <unk> up in little <unk>
 in contrast to the more artistic nature of traditional cosmetics houses unilever and p&g are the <unk> of organization men in <unk> suits
 both companies are conservative marketers that rely on extensive market research
 p&g in particular rarely rolls out a product nationally before extensive <unk>
 both can be extremely aggressive at pricing such products as <unk> and <unk> to the extent that some industry consultants predict <unk> coupons for <unk> could result from their entry into the field
 p&g already has shown it can <unk> some traditional packaged-goods techniques with the <unk> of the cosmetics trade in the mass-market end of the business
 consider oil of <unk> which p&g acquired as part of <unk> international in N
 the <unk> introduced in N had a <unk> image
 oil of <unk> brought with it the <unk> of being used basically by older women who had already aged says david williams a consultant with new england consulting group
 p&g set out to <unk> the brand by <unk> the product line to include <unk> <unk> and <unk> for sensitive skin
 it also <unk> oil of <unk> 's packaging <unk> the traditional <unk> boxes with gold lines to create a more <unk> look
 moreover p&g shifted its ad campaign from one targeting older women to one featuring a woman in her <unk> <unk> not to grow old <unk>
 the company says sales have soared
 <unk> like unilever and p&g have enormous financial advantages over smaller rivals
 next year noxell plans to roll out a <unk> called navy says george l. <unk> jr. chairman of noxell
 without p&g 's backing noxell might not have been able to spend the estimated $ N million to $ N million needed to accomplish that without <unk> on its existing brands
 packaged-goods companies will make it tougher for smaller people to remain competitive mr. <unk> says
 further <unk> in the industry could follow
 rumors that unilever is interested in acquiring schering-plough corp. 's <unk> unit are widespread
 unilever wo n't comment <unk> however denies the brand is for sale
 the presence of unilever and p&g is likely to increase the impact of advertising on cosmetics
 while the two are among the world 's biggest advertisers most makers of upscale cosmetics spend relatively little on national ads
 instead they focus on events in department stores and pour their promotional budgets into gifts that go along with purchases
 <unk> lauder for example spends only an estimated N N of sales on advertising in the u.s. and mr. lauder says he has no plans to change his strategy
 the most dramatic changes however probably will come in <unk> development
 nearly N N of cosmetics sales come through <unk> outlets such as drug stores and supermarkets according to andrew shore an analyst at shearson lehman hutton inc
 that figure has been <unk> up for several years
 as the trend continues demand for mass-market items that are high quality but only <unk> particularly <unk> products is expected to increase
 this fall for example <unk> group ordinarily a high-end line rolled out a <unk> line of <unk> products called <unk> which retail for $ N to $ N
 the packaged-goods marketers may try filling that gap with a spate of new products
 unlike the <unk> cosmetics houses unilever and p&g both have enormous research and development bases to draw on for new products
 p&g in fact is noted for gaining market leadership by introducing products that offer a technical edge over the competition
 sales of its tide detergent soared earlier this year for example after p&g introduced a version that includes a <unk> safe for all colors and <unk>
 that 's led industry executives to speculate that future product development will be driven more by technological innovation than by fashion <unk> especially among mass-market brands
 there will be more emphasis on quality says guy <unk> chief executive of <unk> inc. the u.s. <unk> of <unk>
 you 'll see fewer <unk>
 but success for unilever and p&g is far from guaranteed as shown by the many <unk> companies that have tried and failed to master the <unk> beauty business
 in the 1970s several pharmaceutical and packaged-goods companies including colgate-palmolive co. eli lilly & co. pfizer inc. and schering-plough acquired cosmetics companies
 industry consultants say only schering-plough which makes the mass-market <unk> has maintained a meaningful business
 colgate which acquired <unk> <unk> in N sold the brand seven years later after the brand <unk>
 unilever already has experienced some disappointment
 the mass-market <unk> brand which it acquired in N along with <unk> 's inc. has lost share according to industry analysts
 the <unk> world of department-store cosmetics retailing where unilever is concentrating its efforts may prove even more <unk>
 in this niche makeup colors change seasonally because they are linked to <unk> <unk>
 because brand loyalty is weak and most cosmetics purchases are <unk> careful training of store sales staffs by cosmetics companies is important
 and <unk> a luxury image strong enough to persuade consumers to pay more than $ N for <unk> or eye makeup requires a <unk> touch that packaged-goods companies have yet to demonstrate on their own
 there may be a truce in the long war of nerves between the white house and congress over how this country <unk> secret intelligence operations abroad
 after years of <unk> born of <unk> past <unk> of the central intelligence agency and the iran-contra scandal president bush and the senate intelligence committee appear ready for now at least to trust each other when it comes to setting policy on covert activities
 if that attitude lasts it could <unk> covert action planning with a level of care and confidence that has n't been seen in years
 over the past week the president has agreed to keep the committee informed usually in advance of covert actions and to put key intelligence decisions in writing
 that was n't always the way the reagan administration handled such matters
 mr. bush has pledged as well to respect the 14-year-old executive order barring u.s. agents from <unk> foreign leaders or helping others to do so
 congress never fully trusted former cia chief william <unk> and national security adviser john <unk> to honor the ban
 despite objections by the cia mr. bush also has agreed to the establishment of an inspector general at the cia who would be independent of the cia director
 in return the senate panel has dropped efforts to enact legislation requiring the administration to inform it within N hours of the launching of any covert activity
 it also has removed a ban on cia use of a <unk> fund for covert acts and has agreed to wipe away some <unk> and <unk> restrictions on coup planning put in place to ensure that the cia did n't get back in the assassination game
 we 've finally been able to convince them that <unk> and oliver north do n't work here anymore says one administration official
 the new understanding did n't just spring to life in a <unk> <unk> of <unk> and light
 it emerged after a <unk> display of <unk> intelligence politics that followed this month 's failed coup attempt in panama
 the white house used television appearances and leaks to argue that <unk> imposed restrictions on covert actions made u.s. support for such coups difficult
 mr. bush even disclosed privately that one <unk> deal with congress required him to notify the <unk> panamanian dictator manuel noriega if the u.s. learned of a coup plot that might endanger his life
 the president also hinted he might veto this year 's intelligence authorization bill if it is too restrictive
 intelligence committee chairman david boren d. <unk> and vice chairman william cohen r. maine for their part <unk> accused the white house of <unk> <unk> classified documents and trying unfairly to shift the blame to congress for the <unk> attempt to topple gen. noriega
 the white house got the better of the exchange but took care not to press its advantage to the kind of constitutional confrontation sought by conservative republicans who do n't want any congressional oversight of intelligence activities
 instead mr. bush and his aides made it clear they respected congress 's role and felt they could work with the conservative mr. boren and the moderate mr. cohen to iron out their differences
 the senators responded in kind
 sen. boren <unk> told reporters that there had been a meeting of the minds with the white house and that the committee had given mr. bush a clean slate free of the <unk> imposed during the reagan years
 sen. cohen said the relationship has <unk> to its <unk> character
 there still are some details to be <unk> down
 mr. bush is <unk> the right in rare <unk> to keep congress in the dark <unk> a constitutional <unk> the committee does n't recognize
 and a pending justice department interpretation of the assassination ban could raise questions that would have to be settled
 moreover both sides may face political critics
 some conservatives will accuse the president of promising congress too much
 and they continue <unk> attacking cia director william webster for being too <unk> to the committee
 at the same time some congressional liberals will accuse sens. boren and cohen of <unk> out and they will warn that the lawmakers ' concessions raise the specter of more internationally embarrassing covert operations like the mining of nicaraguan harbors and the iran arms sales
 but if the cooperative attitude holds and there is greater <unk> on covert activities the country could be entering an era when such <unk> schemes are scrapped before they get off the drawing boards while risky but <unk> secret operations can be undertaken without fear that a <unk> congress will <unk>
 several of the new york stock exchange 's own listed companies led by giant contel corp. are joining for the first time to complain about program trading and the exchange 's role in it
 claiming program trading has turned the big board into a gambling casino contel chairman charles wohlstetter said that he and at least N other corporate executives are forming an unprecedented alliance
 the group mr. wohlstetter said in an interview wants to end the market 's wild price swings that critics blame on <unk> program-trading strategies
 the group will complain to washington to the heads of program-trading firms and to the heads of the big board itself he said
 they should call the exchange trump east charged mr. wohlstetter the <unk> founder of contel who 's also a former investment banker and stock trader
 what is the mission of the financial community
 to help some <unk> or <unk> or help corporate america
 contel is a $ N billion telephone and electronics company
 pressure has been building on the big board in the past two weeks to do something about market volatility which many investors say is caused by program trading
 the market 's friday-the-13th plunge of N points in the dow jones industrial average and the big board 's <unk> response to it galvanized some longstanding <unk> among companies listed on the exchange
 last month program trading accounted for a record N N of average daily big board volume
 mr. wohlstetter for example said he wrote to big board chairman john j. phelan jr. about program trading after the 190-point dow plunge and as in previous <unk> what i get back is <unk>
 he said he 's upset that mr. phelan trying to calm investors after the plunge said that investors would simply have to get used to the market 's big price swings
 the big board is partly to blame for the price swings because they 're <unk> said mr. wohlstetter
 their powerful members manage them
 the focus of the outcry has been stock-index arbitrage which accounts for about half the program trading that goes on
 index arbitragers argue that their trading is healthy because it links markets but critics say such trading <unk> market movements and increases the chance for a crash
 the big board has refused to be drawn into a public debate about program trading
 richard <unk> big board president last week said only that the exchange is concerned about all its constituents
 privately exchange officials worry that without a <unk> system for program trading at the big board billions of dollars in trading will simply <unk> to overseas exchanges such as london 's
 it is partly for this reason that the exchange last week began trading in its own stock basket product that allows big investors to buy or sell all N stocks in the standard & poor 's index in a single trade
 one intended customer of the new basket product is index arbitragers according to the exchange
 investors have complained for some time about program trading particularly index arbitrage to little <unk>
 but according to some big board traders an organized campaign from <unk> companies might make the exchange finally consider big changes
 they wo n't fight the listed companies
 now the assault is on said one top trader
 the big board ca n't ban stock-index futures of course but it could ban use of its <unk> electronic trading system for program trading or at least encourage securities firms to back off
 the exchange put a bit of a <unk> on program trading when last year it simply started to publish monthly statistics of each firm 's program-trading volume
 contel 's mr. wohlstetter said the group of big board companies is n't ready to go public yet with its effort and that he does n't plan to be the leader once it is public
 however he said he planned to spend the weekend making calls to gather additional support
 among those mr. wohlstetter said he has been talking to are sanford <unk> of primerica corp. which is the parent of smith barney harris upham & co. gte corp. 's james johnson and itt corp. 's rand <unk>
 none of these chief executives were available for comment
 among the targets of the big board companies ' campaign will be some corporate pension funds that use program-trading strategies to maximize returns on their investments
 for contel 's part the company a month ago informed each of its money managers that it would drop them if they give business to program-trading firms
 it was just those kinds of <unk> that last week succeeded in turning up the heat in the debate
 kemper corp. 's kemper financial services unit said it cut off bear stearns morgan stanley oppenheimer and general electric co. 's kidder peabody & co. unit
 all of the firms except kidder which is the <unk> program trader on wall street quickly announced <unk> from index arbitrage
 kidder officials stand by their aggressive use of program trading
 chief executive officer michael carpenter said that despite the outcry even by some of kidder 's own brokers he believes index arbitrage does n't have a negative impact on the market as a whole
 however pressure on kidder 's parent ge could change kidder 's policy
 ge chairman john welch has been besieged with phone calls complaining about his unit 's program trading according to a person close to him
 margaret thatcher 's <unk> response to the latest upheaval in her government is to promise business as usual
 that may be the last thing she needs
 as the air clears from last week 's storm of resignations and <unk> the government faces a <unk> job of rebuilding confidence in its policies
 the prime minister and her new chancellor of the exchequer the <unk> john major need to haul the country through something like a recession to bring down inflation and set the economy moving again
 mrs. thatcher has to come to terms with european economic integration beginning with the european monetary system which britain is committed to joining fully someday
 finally the government has to convince a rattled financial community and voters it is proceeding <unk> toward its goals
 it sounds like the work of a decade but the deadline is late N when mrs. thatcher is expected to call another national election
 what 's worrying her supporters is that the economic cycle may be out of <unk> with the political timetable
 she could end up seeking a fourth term in an economy sick with inflation high interest rates and a heavy trade deficit
 though mrs. thatcher has pulled through other crises supporters wonder if her <unk> <unk> ways are the right formula today
 there 's a rising fear that perhaps mrs. thatcher 's style of management has become a political liability says bill martin senior economist at london brokers <unk> & drew
 the prime minister 's insistence on keeping a private <unk> of advisers including an economic <unk> who openly criticized former chancellor of the exchequer nigel lawson confused the financial community
 last week the strategy of playing the two experts off each other <unk> up mr. lawson quit in <unk> and sir alan walters the adviser announced his resignation within an hour
 the confusion could be costly
 currency traders <unk> mr. major wo n't defend the pound <unk> sent the british currency sharply lower friday against the dollar and west german mark
 analysts expect further jitters this week
 a continuing slide in the pound could force the government to push through another rise in the base rate currently N N
 that could <unk> a weak economy into recession
 economists have been anticipating a slump for months but they now say it will be deeper and longer than they had thought
 britain 's economy is developing rapidly toward <unk> says j. paul <unk> international economist with smith barney harris upham co. in paris
 a mild slowdown probably would have run its course by early N economists say while the <unk> downturn now expected could stretch into N
 recovery could be hampered if britain 's major trading partners in europe which are enjoying robust economic activity cool off as expected in late N and N
 that would leave mrs. thatcher little room for maneuver
 for the <unk> to win the next election voters will need to sense economic improvement for about a year <unk>
 though mrs. thatcher does n't need to call an election until june N she would prefer doing so in late N
 if the economy shows no sign of turning around in about year 's time she will be very vulnerable says john <unk> a <unk> at the london school of economics
 there 's an equally pressing deadline for the government to define its monetary and economic ties to the rest of the european community
 it has sent mixed signals about its willingness to take part in the exchange-rate mechanism of the european monetary system which links the major ec currencies
 at a june ec summit mrs. thatcher appeared to ease her opposition to full ems membership saying britain would join once its inflation rate fell and the ec <unk> capital movements
 since then the government has left observers wondering if it ever meant to join
 sir alan <unk> the monetary arrangement as <unk> in an article being published in an american economics journal
 that produced little reaction from his boss reinforcing speculation the government would use its two conditions as a <unk> for avoiding full ems membership
 despite the departure of mr. lawson and sir alan the <unk> over the ems could continue
 sir <unk> <unk> deputy prime minister and a lawson ally on the ems has signaled he will continue pressing for early membership
 of immediate concern is whether the thatcher government will continue mr. lawson 's policy of tracking the monetary policies of the west german <unk> and responding in kind when the frankfurt authorities move interest rates
 mrs. thatcher does n't like taking orders from foreigners says tim <unk> economist with <unk> & national holding plc
 as conservatives rally around mrs. thatcher during the crisis many harbor hopes last week 's debacle will prompt change
 we wo n't have any more of this <unk> behavior says sir peter <unk> a <unk> <unk> member of parliament
 the party is fed up with <unk> of good people
 it 's an <unk> expectation
 as long as a decade ago mrs. thatcher declared she did n't want debate in her cabinet she wanted strong government
 over the weekend she said she did n't intend to change her style and denied she is <unk>
 nonsense she told an <unk> yesterday on london weekend television
 i am staying my own sweet reasonable <unk>
 joseph l. <unk> chairman and chief executive officer of mcgraw-hill inc. was elected to the board of directors of this electronics manufacturer
 he succeeds the retiring james w. <unk>
 base data
 computers that once were the state of the art the <unk> bought three years ago are now <unk>
 as we <unk> start the search for <unk> we know the new one we purchase in hopes it will do despite every wonder that 's stated means more speed more graphics more memory too but also more quickly out dated
 <unk> <unk>
 <unk> <unk>
 i know when dividends are due when bonds should be retired but what gets by me every time is has the milk expired
 ralph <unk>
 daffynition
 <unk> <unk> to <unk> <unk>
 <unk> elliott
 wives may not benefit when men do chores
 when <unk> take on more <unk> they tend to substitute for chores done by the kids rather than by the wife
 rand corp. researchers linda <unk> and <unk> <unk> <unk> a large sample of married women with at least one child at home between the ages of six and N
 the women indicated which family member usually did various household chores and the <unk> share each did
 not unexpectedly wives whether working or <unk> did by far the most about N N of the shopping <unk> and cooking and about two-thirds of <unk> <unk> <unk> child care and family paper work
 only for <unk> and home maintenance did women do less than half
 but the researchers found that while children 's household tasks eased the mother 's burden <unk> the husband 's helping hand appears to <unk> the children 's load almost on a <unk> basis and to reduce the wife 's responsibility only modestly
 this pattern was particularly evident among more highly educated couples
 in these families <unk> took on N N more chores than in couples with only <unk> school education
 but the kids with highly educated parents did N N less <unk> than those in <unk> families
 it is clear ms. <unk> says that most of the effect of increasing education has been to shift who is helping the <unk>
 her share <unk> but only slightly
 nursing home patients apt to be private <unk>
 far fewer elderly nursing home residents bankrupt themselves than was previously believed two recent studies declare
 state governments place very low <unk> on how much property people may own or how much income they may keep if they want welfare help on medical bills
 conventional wisdom has long held that anywhere from <unk> to one-half of all elderly long-term care patients are obliged to spend themselves into poverty before <unk> for medicaid assistance
 but separate reports from <unk> <unk> and <unk> <unk> of the <unk> institution and <unk> <unk> of the urban institute find that a surprisingly small proportion only about N N of residents start out as private <unk> but spend down to medicaid levels in a single nursing home stay before they die or are <unk>
 another one-third are already on medicaid when they enter the nursing homes a considerably higher proportion than the analysts anticipated
 but a <unk> high percentage over half are private <unk> throughout their stay even a fairly lengthy one
 about one-third pay out of their own pockets while the rest are covered throughout by medicare private insurers or the veterans administration
 both reports are based on several thousand patients <unk> in a N nationwide government survey
 the <unk> and urban institute authors caution however that most nursing home stays are of <unk> short <unk> and reaching the medicaid level is more likely with an unusually long stay or repeated stays
 moreover they note those who manage to pay their own way often do so only by selling their homes using up life savings or drawing heavily on children and other <unk>
 reagan era young hold liberal views
 the reagan generation young men and women reaching political maturity during ronald reagan 's presidency are firmly liberal on race and <unk> according to <unk> the social science research center at the university of chicago
 many political analysts have speculated that the reagan years would produce a <unk> conservative younger generation
 <unk> 's most recent opinion surveys find the youngest adults indeed somewhat more <unk> and <unk> than other adults
 but says chief investigator tom smith this does not translate into support for <unk> in general or into conservative positions on <unk> and civil rights issues
 answers to a dozen questions in the N N N and N national surveys reveal that men and women in the N to N age <unk> are considerably more liberal on race and <unk> than were the N to N year <unk> in <unk> 's <unk> in the early 1970s and early 1980s
 they were also as liberal or more liberal than any other age group in the N through N surveys
 for example N N of the N to N year <unk> in the four latest surveys favored an open housing law <unk> homeowners from refusing on racial grounds to sell to prospective buyers
 that compares with N N of the similar age group in the N through N surveys and N N in the N through N surveys
 asked whether they agreed or disagreed with the claim that men are <unk> better <unk> to politics than women N N of the reagan generation disagreed compared with under N N of younger men and women in the earlier years
 odds and ends
 <unk> and <unk> men and women are far more likely to be smokers than married persons the centers for disease control <unk>
 graduate students are taking longer than ever to get their doctor of philosophy degrees the national research council says
 it estimates the time between college <unk> and the <unk> of a <unk> d. has <unk> by N N over the past N years with the average gap now ranging from about N years in the physical sciences to N years in education
 october was an <unk> month for the practitioners of glasnost the official soviet policy of allowing more <unk> from the nation 's media
 for one of the <unk> of glasnost <unk> korotich editor of the <unk> weekly <unk> friday oct. N was a <unk> day that turned from tension to <unk>
 he had been summoned to the central committee of the soviet communist party after he finished his lunch at the <unk> hotel an unlikely prelude to a bureaucratic <unk> <unk> <unk> naked <unk> float on their <unk> toward a ceiling <unk> with <unk> all surrounded by <unk> laid on with a <unk> <unk> 's <unk> and supported by marble <unk> columns whose <unk> are <unk> <unk> of gold
 why had mr. korotich been called
 i told my driver he said that he was taking my <unk> to the central committee so they can <unk> <unk> <unk> his hand made vigorous <unk> gestures on his left palm
 they feel the need from time to time to educate me
 and indeed as he later reported that was the import of the meeting
 anxious allies of president mikhail gorbachev are <unk> media leaders to take it easy to be careful not to do anything that could be used by mr. gorbachev 's opponents
 the government is nervous
 according to mr. korotich who was present mr. gorbachev 's publicized <unk> of the press on oct. N was more of a plea be careful boys use good judgment
 we 're standing in gasoline so do n't smoke
 u.s. and northern european diplomats confirm mr. korotich 's assessment that glasnost is in no immediate danger
 in fact a very <unk> soviet official told an american official at a diplomatic dinner that no change in the policy was contemplated
 the day after that conversation at the residence of the u.s. ambassador the <unk> editor of pravda victor <unk> was replaced by a college <unk> of mr. gorbachev 's
 <unk> <unk> have more to fear from mr. gorbachev than the <unk> <unk> he gave to the press
 at the end of the very week in which mr. korotich was called to the central committee <unk> was again <unk> its independence by printing a poll that showed that N N of the soviet population a <unk> believed that mr. gorbachev 's economic reforms perestroika would result in only <unk> change
 a good measurement of the popularity of <unk> <unk> like <unk> is circulation
 when mr. korotich took it over in N it sold N copies today it sells N million
 pravda meanwhile has retained only N N of its N <unk>
 glasnost has made <unk> of men like mr. korotich
 prevented by the communist party from getting on its slate of <unk> for the new supreme soviet he stood as an independent candidate for congress from his native <unk> and won with N N of the vote
 the same evening that he was summoned for a warning from the party he was cheered by thousands of his supporters at a rally of what can only be called the korotich party
 but as <unk> as the changes that have already occurred are there is a <unk> to glasnost
 censorship is n't a marxist <unk>
 the <unk> were no civil <unk>
 as late as the <unk> the russian government prevented any coverage of <unk>
 it even directed newspapers not to publish anything that might <unk> the honor of the <unk> <unk> 's wives
 so glasnost is not a value <unk> with steel <unk> into the fabric of russian society
 it is an <unk> public relations program initiated by a single political leader during a four-year <unk> of history
 it is public relations of the highest <unk> that recognizes that credibility is enhanced by honesty up to a point
 what is that point
 will <unk> begin a series of reports analyzing the failures of perestroika
 i 'd be destroying myself replies mr. korotich who then asks what would that accomplish
 his answer reveals his <unk> it also draws the line that soviet society must cross to enter the normal dialogue of western culture
 it is the line beyond which the press can report not only on the bankruptcy of factories but on the failures of even <unk> leaders
 mr. <unk> is editor and publisher of the <unk> ala. star
 a state trial judge in illinois gave preliminary approval to a proposed settlement of a suit against a bank of new york co. unit irving trust co. over the interest rates on irving 's former one wall street account money-market deposit accounts
 judge albert green in cook county circuit court in chicago also recognized the suit filed last may by robert and cynthia <unk> as a class action covering thousands of irving customers
 the plaintiffs accused irving of paying less interest than promised in a marketing <unk>
 irving maintained and still does that its actions were proper under its account agreements with customers
 under the proposed settlement customers with valid claims to be submitted by dec. N will receive valuable bank services such as credit cards with reduced finance charges for two years
 larry <unk> attorney for the plaintiffs valued the settlement at between $ N million and $ N million
 a bank of new york spokesman in manhattan owen brady said that 's the maximum outside figure
 federal reserve critics used to complain of stop and go monetary policies
 they claimed that the fed would first give a green light to the economy by making credit readily available and then turn on the red and bring growth to a <unk> halt
 but under alan greenspan that has changed
 a <unk> cautious man the fed chairman is forever <unk> yellow
 indeed his caution has become legendary within the government
 he <unk> <unk> over economic statistics <unk> them in dozens of ways probing for hours in search of potential problems
 after <unk> <unk> <unk> of information he often concludes that more data are needed and when he finally decides to act his movements sometimes seem <unk> small
 such caution was evident after the recent friday-the-13th stock market plunge
 some bush administration officials urged mr. greenspan to make an immediate public announcement of his plans to provide ample credit to the markets
 but he refused claiming that he wanted to see what happened monday morning before making any public statement
 mr. greenspan 's decision to keep quiet also prompted a <unk> within the fed 's ranks
 a senior fed official spoke on saturday after the market <unk> to both the washington post and the new york times saying the fed was prepared to provide as much credit as the markets needed
 the statement angered chairman greenspan but it was greeted with applause by the bush administration and the financial markets
 and while the <unk> fed member has n't gone public some fed governors most notably vice chairman manuel johnson are known to have disagreed with the chairman 's decision to remain silent
 ironically the <unk> official 's comments have earned some <unk> for mr. greenspan who is mistakenly seen as the source
 at a hearing last week democratic sen. chris dodd of connecticut told treasury secretary nicholas brady that chairman greenspan 's announcement over the oct. N weekend was a very important statement
 mr. brady <unk> replied that he was n't sure whether mr. greenspan made a statement himself or whether that was a newspaper report
 the fed chairman 's caution was apparent again on the monday morning after the market 's plunge when the central bank took only modest steps to aid the markets
 a surprisingly small amount of reserves was added to the banking system
 and by the end of that week the key federal funds interest rate which is largely controlled by the fed had settled at N N barely changed from the level of just under N N that prevailed the previous week
 bush administration officials appear increasingly concerned that mr. greenspan is cautious to a fault
 signs of growing weakness in the economy <unk> with indications that inflation is staying well under control have caused them to wonder why the fed chairman is so <unk> in reducing rates
 those concerns are n't expressed in public
 in fact the administration and the fed have been going out of their way in the past two weeks to <unk> any impression that they are at odds <unk> stories about an <unk> split added to the stock market 's jitters
 still the split is there
 the administration 's concerns are <unk>
 the economy is showing signs of weakness particularly among manufacturers
 exports which played a key role in fueling growth over the last two years seem to have stalled
 factory <unk> and production fell in september and the auto industry and housing are in a severe crunch
 but mr. greenspan remains reluctant to loosen policy partly because he faces a <unk> of presidents of regional fed banks who oppose credit easing
 in addition the chairman has a wary eye aimed a year or two down the road
 inflation may be stable at the moment running at about N N
 but if the fed <unk> too soon mr. greenspan fears prices may begin to accelerate again next year
 moreover if the fed holds tight it may be able gradually to reduce inflation moving toward the <unk> goal that the fed chairman embraced in testimony to congress last week
 so far mr. greenspan 's cautious approach to policy has served both him and the nation well
 his hand on the monetary <unk> seems one reason why the economy next month seems highly likely to begin an unprecedented eighth year of <unk> growth without a recession
 we 've gotten through two stock market crashes and we 've gone through an election without any major problems says david <unk> an economist of kemper financial services
 i think you have to give greenspan a good rating
 but such caution is no guarantee against mistakes
 the fed 's reluctance to ease credit now could be laying the <unk> for a new recession perhaps starting early next year
 if that happens chairman greenspan could well become an open target
 already congress is <unk> with legislation to curb the fed 's independence
 if the economy turns down such proposals could gain strong momentum
 the following issues were recently filed with the securities and exchange commission
 <unk> environmental inc. initial offering of N million shares of which <unk> will sell N and <unk> will sell N shares via oppenheimer & co
 <unk> co. proposed offering of N common shares by holders via robert w. <unk> & co. and william blair & co
 first capital holdings corp. proposed offering of $ N million of floating rate senior notes via shearson lehman hutton inc
 industrial funding corp. initial offering of common stock via alex brown & sons inc. and <unk> <unk> & <unk>
 <unk> technology corp. initial offering of N million common shares of which N shares will be sold by the company and N shares by holders via alex brown & sons hambrecht & quist and <unk> arnold & henderson
 union camp corp. shelf offering of up to $ N million of debt securities
 spencer j. <unk> president and chief operating officer of this consumer and industrial products company was elected a director
 mr. <unk> N years old succeeds <unk> <unk> who retired in september
 in an age of <unk> the federal judiciary is one of the last <unk> of the <unk>
 a judge must jump from murder to antitrust cases from <unk> to securities fraud without missing a beat
 but even on the federal bench <unk> is creeping in and it has become a subject of sharp controversy on the newest federal appeals court
 the court of appeals for the federal circuit was created in N to serve among other things as the court of last resort for most patent disputes
 previously patent cases moved through the court system to one of the N circuit appeals courts
 there judges who saw few such cases and had no experience in the field <unk> with some of the most technical and complex disputes <unk>
 a new specialty court was sought by patent experts who believed that the <unk> had <unk> too many important multimillion-dollar cases
 some patent lawyers had hoped that such a specialty court would be filled with experts in the field
 but the reagan administration thought otherwise and so may the bush administration
 since N the president has filled four <unk> in the federal circuit court with <unk> lawyers
 now only three of the N judges <unk> <unk> chief judge howard t. markey N and <unk> rich N have <unk> backgrounds
 the latter two and judge daniel m. <unk> N are approaching senior status or retirement
 three seats currently are vacant and three others are likely to be filled within a few years so patent lawyers and <unk> industries are making a new push for specialists to be added to the court
 several organizations including the industrial <unk> association and the pharmaceutical manufacturers association have asked the white house and justice department to name candidates with both patent and scientific backgrounds
 the associations would like the court to include between three and six judges with specialized training
 some of the associations have recommended dr. alan d. <unk> N a former patent agent with a <unk> in organic chemistry who now is associate general counsel with <unk> <unk> corp. in philadelphia
 dr. <unk> says the justice department interviewed him last july
 their effort has received a <unk> response from the justice department
 we do not feel that seats are reserved for patent lawyers says justice spokesman david runkel who declines to say how soon a candidate will be named
 but we will take it into consideration
 the justice department 's view is shared by other lawyers and at least one member of the court judge h. robert mayer a former civil <unk> who served at the claims court trial level before he was appointed to the federal circuit two years ago
 i believe that any good lawyer should be able to figure out and understand patent law judge mayer says adding that it 's the responsibility of highly paid lawyers who argue before the court to make us understand complex patent litigation
 yet some lawyers point to eli lilly & co. vs. <unk> inc. the patent infringement case the supreme court this month agreed to review as an example of poor legal <unk> by judges who lack patent litigation experience
 judge mayer was not on the <unk> panel
 in the lilly case the appeals court broadly <unk> a federal statute to grant <unk> a medical device manufacturer an exemption to <unk> a patent under certain circumstances
 if the supreme court holds in <unk> 's favor the decision will have billion-dollar consequences for the manufacturers of medical devices color and food <unk> and all other <unk> products that required food & drug administration approval
 <unk> <unk> a lawyer and director of government relations for the industrial <unk> association contends that a judge <unk> in patent law and the concerns of <unk> industries would have ruled otherwise
 and judge <unk> a former patent lawyer wrote in her dissent when the court denied a motion for a <unk> of the case by the full court the panel 's judicial legislation has affected an important <unk> industry without regard to the consequences for research and innovation or the public interest
 says ms. <unk> the judgment confirms our concern that the absence of patent lawyers on the court could prove troublesome
 friday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac
 posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae
 posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 the financial accounting standards <unk> coming rule on disclosure involving financial instruments will be effective for financial statements with fiscal years ending after june N N
 the date was misstated in friday 's edition
 kidder peabody & co. is trying to struggle back
 only a few months ago the <unk> securities firm seemed to be on the verge of a <unk> racked by internal <unk> and <unk>
 its relationship with parent general electric co. had been <unk> since a big kidder insider-trading scandal two years ago
 chief executives and presidents had come and gone
 now the firm says it 's at a turning point
 by the end of this year <unk> chairman <unk> cathcart the former chairman of illinois tool works who was <unk> as a <unk> man when ge brought him in to clean up kidder in N <unk> to his lake forest ill. home possibly to build a shopping mall on some land he owns
 i 've done what i came to do at kidder he says
 and that means <unk> michael carpenter president and chief executive since january will for the first time take complete control of kidder and try to make good on some <unk> plans
 mr. carpenter says he will return kidder to <unk> as a great investment bank
 wall street is <unk> skeptical
 through the first nine months of the year kidder ranks a distant <unk> among underwriters of u.s. stocks and bonds with a N N market share up slightly from N N in the year-earlier period according to securities data co
 it 's quite a fall from the early 1980s when kidder still was counted as an investment-banking powerhouse
 gary s. <unk> president of the <unk> group an executive search firm said i 'd like to see kidder succeed
 but they have to attract good senior bankers who can bring in the business from day one
 in N kidder <unk> out a $ N million profit mainly because of severe cost cutting
 its <unk> brokerage operation reported an estimated $ N million loss last year although kidder expects it to turn a profit this year
 in fact kidder is a minor player in just about every business it does except computer-driven program trading in that controversial business only morgan stanley & co. rivals kidder
 but even that niche is under attack as several wall street firms pulled back from program trading last week under pressure from big investors
 mr. carpenter a former <unk> executive who has a love for task forces says he has done a complete <unk> of kidder in recent months
 there have been a dizzying parade of studies of the firm 's operations
 more than N new managing directors and senior vice presidents have been hired since january
 the firm 's brokerage force has been trimmed and its <unk> staff increased to a record N people
 mr. carpenter says that when he assumes full control kidder will finally tap the resources of ge
 one of ge 's goals when it bought N N of kidder in N was to take advantage of <unk> between kidder and general electric capital corp. ge 's <unk> unit which has $ N billion in assets
 the leveraged buy-out group of ge capital now reports to mr. carpenter
 so far instead of <unk> up ge capital staffers and kidder investment bankers have <unk>
 yet says mr. carpenter we 've really started to exploit the <unk> between ge capital and kidder peabody
 the units have worked on N investment banking deals this year he says though not all of them have <unk> out
 we 've had a good relationship with ge which is the first time you could say that <unk> let me withdraw that
 it 's been a steadily improving relationship says mr. carpenter
 still without many actual deals to show off kidder is left to stress that it finally has a team in place and that everyone works harder
 a month ago the firm started serving dinner at about N each night about N to N of the N people in the investment banking operation have consistently been around that late
 we are working significantly longer and harder than has been the case in the past says scott c. <unk> kidder 's head of investment banking since june
 everywhere kidder <unk> the always working theme
 a new in-house magazine kidder world which will focus on the firm 's <unk> strategy says mr. carpenter <unk> that on <unk> mr. <unk> often gets <unk> ideas while flying his <unk> <unk> <unk> on the way to <unk>
 the firm 's new head of mergers and acquisitions under mr. <unk> <unk> <unk> talks of the opportunity to rebuild a franchise at kidder
 the kidder name is one of only six or seven that every ceo recognizes as a viable alternative when considering a merger deal he says
 now according to a kidder world story about mr. <unk> all the firm has to do is position ourselves more in the deal flow
 with investment banking as kidder 's lead business where do kidder 's <unk> brokerage network and its N brokers fit in
 mr. carpenter this month sold off kidder 's eight brokerage offices in florida and puerto rico to merrill lynch & co. <unk> speculation that kidder is getting out of the brokerage business entirely
 mr. carpenter denies the speculation
 to answer the brokerage question kidder in typical fashion completed a <unk> study
 the result kidder will focus on rich individual investors and small companies much closer to the <unk> of goldman sachs & co. than a <unk> firm like merrill lynch or shearson lehman hutton inc
 mr. carpenter notes that these types of investors also are sophisticated enough not to complain about kidder 's aggressive use of program trading
 as part of the upscale push kidder is putting brokers through a <unk> training course turning them into investment <unk> with knowledge of corporate finance
 they will get new and improved tools to sell particularly to the affluent investor says brokerage chief charles v. <unk>
 <unk> the brokers will then be able to <unk> leads on corporate finance opportunities to kidder 's investment bankers possibly easing the longstanding tension between the two camps
 however skeptics caution that this kind of <unk> between brokers and investment bankers looks great on paper but does n't always happen
 kidder competitors are n't <unk> hostile to the firm as many are to a tough competitor like drexel burnham lambert inc. that does n't have kidder 's long history
 however competitors say that kidder 's hiring binge involving <unk> staffers some with <unk> contract guarantees could <unk> unless there are results
 the <unk> mr. cathcart says he has no worries about kidder 's future
 mr. cathcart who will return to the <unk> <unk> co. board of directors in addition to his personal ventures is credited with bringing some basic <unk> and planning discipline to traditionally <unk> kidder
 he also improved the firm 's compliance procedures for trading
 mr. cathcart says he has had a lot of fun at kidder adding the crack about his being a <unk> man never bothered him
 it was an absolutely <unk> line and one i used many times he says
 smiling broadly when he talks about mr. carpenter mr. cathcart says the new kidder chief is going to be recognized shortly as one of the real leaders in the investment-banking business
 in coming years mr. cathcart says kidder is <unk> <unk> <unk>
 or as mr. carpenter again drawing on his <unk> background puts it we 're ready to implement at this point
 under a proposal by democrats to expand individual retirement accounts a $ N contribution by a taxpayer in the N N <unk> would save $ N on his taxes
 the savings was given incorrectly in friday 's edition
 in what could prove a major addition to the philippines ' <unk> portfolio a taiwanese company signed a $ N million construction contract to build the centerpiece of a planned petrochemical complex
 taiwan 's <unk> far east corp. a petrochemical company <unk> the agreement with an unidentified japanese contractor to build a <unk> <unk> according to <unk> lee who heads the philippine company set up to build and operate the complex
 mr. lee president of luzon petrochemical corp. said the contract was signed wednesday in tokyo with <unk> far east officials
 contract details however have n't been made public
 the complex is to be located in <unk> about N miles south of manila
 <unk> far east will hold a N N stake in luzon petrochemical according to papers signed with the philippine government 's board of investments
 the proposed petrochemical plant would use <unk> to manufacture the petrochemicals <unk> and <unk> and their <unk> <unk> <unk> and polyethylene
 these are the raw materials used in making plastics
 the contract signing represented a major step in the <unk> petrochemical project
 at an estimated $ N million the project would represent the single largest foreign investment in the philippines since president <unk> aquino took office in february N
 it also is considered critical to the country 's efforts to both attract other investment from taiwan and raise heavy industry <unk>
 the project has been in and out of the pipeline for more than a decade
 however workers ca n't break ground until legal <unk> to block the complex are resolved moves which caused the signing to remain questionable up to the last moment
 as previously reported a member of the philippines ' house of representatives has sued to stop the plant
 the legislator <unk> garcia had actively backed the plant but at the original site in his constituency northwest of manila
 the country 's supreme court dismissed the suit but mr. garcia late last month filed for a <unk>
 in addition president aquino has yet to sign into law a bill removing a stiff N N tax on <unk> the principal raw material to be used in the <unk>
 however at a news conference thursday mrs. aquino backed the project and said her government was attempting to <unk> the feelings of residents at the original site adjacent to the government 's major petroleum refinery in <unk> province
 we have tried our best to tell the people in <unk> that maybe this time it will not go to them but certainly we will do our best to encourage other investors to go to their province mrs. aquino told <unk> foreign <unk>
 the project appeared to be on the rocks earlier this month when the other major partner in the project china general plastics corp. backed out
 china general plastics another taiwanese petrochemical manufacturer was to have a N N stake in luzon petrochemical
 however mr. lee said that <unk> far east is confident other investors will take up the slack
 he said <unk> far east has applied to both the asian development bank and the world bank 's international finance corp. for financing that could include equity stakes
 three new issues begin trading on the new york stock exchange today and one began trading on the <unk> market system last week
 on the big board <unk> & co. atlanta <unk> begins trading today
 <unk> <unk> health care plans manages medical and <unk> aspects of worker 's compensation injuries and is involved in claims adjustments for insurance companies
 also beginning trading today on the big board are el paso refinery limited partnership el paso texas <unk> and franklin <unk> trust san mateo calif. <unk>
 el paso owns and operates a petroleum refinery
 franklin is a closed-end management investment company
 on the nasdaq over-the-counter system allied capital corp. washington d.c. <unk> began trading last thursday
 allied capital is a closed-end management investment company that will operate as a business development concern
 the yale political union does n't pay an <unk> to <unk>
 in thursday 's edition it was incorrectly indicated that the union had paid a fee to former house speaker jim wright
 president bush insists it would be a great tool for curbing the budget deficit and <unk> the <unk> out of government programs
 he wants it now
 not so fast says rep. <unk> edwards of oklahoma a fellow republican
 i consider it one of the <unk> ideas of the 20th century he says
 it 's the line-item veto a procedure that would allow the president to kill individual items in a big spending bill passed by congress without <unk> the entire bill
 whatever one thinks of the idea it 's far more than the budgetary <unk> it may seem at first <unk>
 rather it 's a device that could send shock waves through the president 's entire relationship with democrats and republicans alike in congress fundamentally enhance the power of the presidency and transform the way the government does its business
 president bush badly wants a line-item veto and has long called for a law giving it to the president
 now the white house is declaring that he might not rely on congress which has n't shown any willingness to surrender such authority to pass the line-item veto law he seeks
 white house spokesmen last week said mr. bush is considering simply declaring that the constitution gives him the power exercising a line-item veto and inviting a court challenge to decide whether he has the right
 although that may sound like an <unk> maneuver of little interest outside washington it would set off a political earthquake
 the <unk> are enormous says rep. don edwards a california democrat who is a senior member of the house judiciary committee
 it 's a real face-to-face arm <unk> challenge to congress
 white house aides know it 's a step that ca n't be taken <unk> and for that reason the president may back down from launching a test case this year
 some senior advisers argue that with further fights over a capital-gains tax cut and a <unk> bill looming mr. bush already has enough pending <unk> with congress
 they prefer to put off the line-item veto until at least next year
 still mr. bush and some other aides are strongly drawn to the idea of trying out a line-item veto
 the issue arose last week when vice president dan quayle told an audience in chicago that mr. bush was looking for a test case
 white house press secretary marlin fitzwater confirmed that mr. bush was interested in the idea but cautioned that there was n't a firm decision to try it
 mr. bush former president reagan and a host of conservative activists have been arguing that a line-item veto would go a long way in restoring discipline to the budget process
 they maintain that a president needs the ability to <unk> remove pork-barrel spending projects that are attached to big omnibus spending bills
 those bills ca n't easily be vetoed in their <unk> because they often are needed to keep the government operating
 conservatives note that N governors have the line-item veto to use on state budgets
 more <unk> some conservative legal <unk> have begun arguing that mr. bush does n't need to wait for a law giving him the veto because the power already is implicit in the constitution
 they base their argument on a clause buried in article i section N of the constitution that states every order resolution or vote to which the <unk> of the senate and house of representatives may be necessary except on a question of <unk> shall be presented to the president of the united states and before the same shall take effect shall be approved by him or <unk> by him
 this clause they argue is designed to go beyond an earlier clause <unk> that the president can veto a bill and is broad enough to allow him to strike out items and riders within bills
 senate minority leader robert dole r. kan. for one <unk> this argument and earlier this year publicly urged mr. bush to use the line-item veto and allow the courts to decide whether or not it is constitutional
 there 's little doubt that such a move would be immediately challenged in court and that it would quickly make its way to the supreme court to be ultimately resolved
 it 's a major issue and they would n't want to leave it at a lower level says stephen <unk> a new york attorney whose <unk> have been instrumental in pushing the idea that a president already has a line-item veto
 rep. edwards the california democrat is one who <unk> that he would immediately challenge mr. bush in the courts arguing a line-item veto would expand a president 's powers far beyond anything the <unk> of the constitution had in mind
 it puts this president in the legislative business he declares
 that 's not what our <unk> had in mind
 in addition to giving a president powers to rewrite spending bills meant to be written in congress rep. edwards argues a line-item veto would allow the chief executive to <unk> lawmakers
 he notes that as a <unk> from the san francisco area he fights each year to preserve federal funds for the bay area rapid transit system
 if a president had a line-item veto and wanted to force him to support a controversial <unk> initiative rep. edwards says the president could call and declare that he would <unk> kill the bart funds unless the congressman <unk> up on the <unk> issue
 proponents maintain that a president would choose to use a line-item veto more <unk> than that
 but there may be another problem with the device despite all the political <unk> it would cause it might n't be effective in cutting the deficit
 big chunks of the government budget like the <unk> programs of social security and medicare would n't be affected
 governors have found that they have to use the device <unk> to maintain political <unk>
 and it is n't even clear that some pork-barrel projects can be hit with a line-item veto because they tend to be listed in informal conference reports accompanying spending bills rather than in the official bills themselves
 still proponents contend that the veto would have what mr. <unk> calls an important <unk> effect on all manner of appropriations bills
 lawmakers they say would avoid putting many spending projects into legislation in the first place for fear of the embarrassment of having them singled out for a line-item veto later
 whatever the outcome of a test case president bush would have to move cautiously <unk> the very attempt would <unk> not just democrats but republicans says louis fisher a scholar at the congressional research service who specializes in <unk> relations
 republicans have as much interest as democrats in the way the system works he notes
 indeed although a majority of republican lawmakers favor a line-item veto some ranging from liberal oregon sen. mark <unk> to conservative rep. edwards are opposed
 rep. edwards voices the traditional conservative view that it 's a mistake to put too much power in the hands of a single person
 conservatives pushing for a line-item veto now he notes may regret it later sometime you 're going to have a democratic president again who 'll use his expanded powers against those very same conservatives
 every order resolution or vote to which the <unk> of the senate and house of representatives may be necessary except on a question of <unk> shall be presented to the president of the united states and before the same shall take effect shall be approved by him or being <unk> by him shall be <unk> by two-thirds of the senate and house of representatives according to the rules and limitations prescribed in the case of a bill
 this has n't been kellogg co. 's year
 the <unk> craze has cost the world 's largest cereal maker market share
 the company 's president quit suddenly
 and now kellogg is indefinitely <unk> work on what was to be a $ N billion cereal plant
 the company said it was delaying construction because of current market conditions
 but the memphis tenn. facility was n't to begin turning out product until N so the decision may reveal a more pessimistic long-term outlook as well
 kellogg which has n't been as successful in <unk> on the public 's <unk> desire for oat bran as rival general mills inc. has been losing share in the $ N billion <unk> cereal market
 kellogg 's current share is believed to be slightly under N N while general mills ' share is about N N
 led by its <unk> <unk> line general mills has gained an estimated N N share so far this year mostly at the expense of kellogg
 each share point is worth about $ N million in sales
 analysts say much of kellogg 's erosion has been in such core brands as corn <unk> rice <unk> and <unk> <unk> which represent nearly one-third of its sales volume
 kellogg is so anxious to turn around corn <unk> sales that it soon will begin selling boxes for as little as N cents trade sources say
 <unk> and <unk> <unk> <unk> have <unk> away sales normally going to kellogg 's <unk> lines simply because they are made of <unk> says merrill lynch food analyst william <unk>
 they are not a happy group of people at battle creek right now
 kellogg is based in battle creek mich. a city that calls itself the breakfast capital of the world
 another analyst john c. maxwell jr. of wheat first securities in richmond va. recently went to a sell recommendation on kellogg stock which closed friday at $ N down N cents in new york stock exchange composite trading
 i do n't think kellogg can get back to N N this year he said
 kellogg 's main problem is life style
 people are reading the boxes and deciding they want something that 's healthy for you <unk> bran
 mr. maxwell said he would n't be surprised if over the next two years or so general mills ' share increased to N N or more
 in announcing the plant delay kellogg chairman william e. <unk> said cereal volume growth in the u.s. has not met our expectations for N
 he said construction would n't resume until market conditions warrant it
 kellogg indicated that it has room to grow without adding facilities
 the company has five other u.s. plants including a modern facility at its battle creek headquarters known as building N which is to add <unk> and <unk> capacity next year
 general mills meanwhile finds itself <unk> from boosting sales further because its plants are operating at capacity
 a large plant in <unk> ga. is to come on line next year
 a kellogg officer who asked not to be named said the memphis project was pulled in for a <unk> of costs an indication that the ambitious plans might be scaled back in any future construction
 initial cost estimates for the plant which was to have been built in <unk> ranged from $ N billion to $ N billion
 a company spokesman said it was possible but highly unlikely that the plant might never be built
 as we regain our leadership level where we have been and as we continue to put new products into the marketplace and need additional capacity we will look at <unk> our involvement with our plan he said
 the new facility was to have been the world 's most advanced cereal manufacturing plant and kellogg 's largest construction project
 the company had retained the fluor daniel unit of fluor corp. as general contractor
 but in recent weeks <unk> sources reported that early preparation work was slowing at the <unk> site
 <unk> said they were told that equipment orders would be delayed
 fluor daniel already has <unk> most of its work crew the sources said
 last friday 's announcement was the first official word that the project was in trouble and that the company 's plans for a surge in market share may have been overly optimistic
 until recently kellogg had been telling its sales force and wall street that by N it intended to achieve a N N share of market measured in dollar volume
 although he called current market conditions highly competitive mr. <unk> kellogg 's chairman and chief executive officer forecast an earnings increase for the full year
 last year the company earned $ N million or $ N a share on sales of $ N billion
 as expected kellogg reported lower third-quarter earnings
 net fell N N to $ N million or $ N a share from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 the company had a one-time charge of $ N million in the latest quarter covering the <unk> of certain assets
 the company would n't elaborate citing competitive reasons
 parker <unk> corp. which is selling three automotive replacement parts divisions said it will retain its automotive <unk> and <unk> impact divisions
 the divisions that parker <unk> is retaining were n't mentioned in thursday 's edition
 the following were among friday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 sun microsystems inc. $ N million of N N N convertible subordinated debentures due oct. N N priced at N to yield N N
 the debentures are convertible into common stock at $ N a share representing a N N conversion premium over thursday 's closing price
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue will be sold through underwriters led by goldman sachs & co
 hertz corp. $ N million of senior notes due nov. N N priced at par to yield N N
 the issue which is <unk> back to the company in N was priced at a spread of N basis points above the treasury 's 10-year note
 rated single-a-3 by moody 's and <unk> by s&p the issue will be sold through underwriters led by merrill lynch capital markets
 canadian imperial bank of commerce canada N billion yen of N N bonds due nov. N N priced at N N to yield N N less full fees via <unk> international ltd
 fees N N
 the singapore and kuala lumpur stock exchanges are bracing for a <unk> separation following <unk> finance minister <unk> <unk> 's long-awaited announcement that the exchanges will <unk> ties
 on friday <unk> <unk> added <unk> to an otherwise <unk> address on malaysia 's proposed budget for N by ordering the kuala lumpur stock exchange to take appropriate action immediately to cut its links with the stock exchange of singapore
 the <unk> of <unk> companies from the singapore exchange may not be a smooth process analysts say
 though the split has long been expected the exchanges are n't fully prepared to go their separate ways
 the finance minister 's order was n't sparked by a single event and does n't indicate a <unk> in relations between the neighboring countries
 rather the two closely linked exchanges have been <unk> apart for some years with a nearly <unk> <unk> on new dual listings separate and different listing requirements <unk> trading and settlement guidelines and <unk> <unk> aims
 quantum chemical corp. 's plant in morris ill. is expected to resume production in early N
 the year was misstated in friday 's editions
 italy 's trade deficit narrowed to N trillion lire $ N billion in september from N trillion lire a year earlier the state statistical office istat said
 the deficit was N billion lire in august
 for the first nine months the trade deficit was N trillion lire compared with N trillion lire in the year-earlier period
 istat said the statistics are provisional and are n't seasonally adjusted
 imports rose N N to N trillion lire in september from a year earlier while exports rose N N to N trillion lire
 in the nine months imports rose N N to N trillion lire while exports grew N N to N trillion lire
 import values are calculated on a cost insurance and freight <unk> basis while exports are accounted for on a <unk> <unk> basis
 as competition <unk> up in spain 's crowded bank market banco exterior de <unk> is seeking to shed its image of a state-owned bank and move into new activities
 under the direction of its new chairman francisco luzon spain 's seventh largest bank is <unk> a tough restructuring that analysts say may be the first step toward the bank 's privatization
 the state-owned industrial holding company <unk> <unk> de <unk> and the bank of spain jointly hold a N N stake in banco exterior
 the government directly owns N N and <unk> a financial services company holds N N
 the rest is listed on spanish stock exchanges
 some analysts are concerned however that banco exterior may have waited too long to diversify from its traditional <unk> activities
 catching up with commercial competitors in retail banking and financial services they argue will be difficult particularly if market conditions turn sour
 if that proves true analysts say banco exterior could be a prime partner or even a takeover target for either a spanish or foreign bank seeking to increase its market share after N when the european community plans to <unk> financial barriers
 with N branches in spain and N banking subsidiaries five branches and N representative offices abroad the banco exterior group has a lot to offer a potential suitor
 mr. luzon and his team however say they are n't interested in a merger
 instead they are working to transform banco exterior into an efficient bank by the end of N
 i want this to be a model of the way a <unk> company should be run mr. luzon says
 banco exterior was created in N to provide subsidized credits for spanish exports
 the market for export financing was <unk> in the mid-1980s however forcing the bank to face competition
 at the same time many of spain 's traditional export markets in latin america and other developing areas faced a sharp decline in economic growth
 as a result the volume of banco exterior 's export credit portfolio plunged from N billion <unk> $ N billion as of dec. N N to its current N billion pesetas
 the other two main <unk> of banco exterior 's traditional business wholesale banking and foreign currency trading also began to <unk> under the weight of heavy competition and changing client needs
 the bank was <unk> in its efforts to face the challenges of a changing market by its links to the government analysts say
 until mr. luzon took the helm last november banco exterior was run by politicians who lacked either the skills or the will to introduce innovative changes
 but mr. luzon has moved swiftly to streamline bureaucracy cut costs increase capital and build up new areas of business
 we 've got a lot to do he acknowledged
 we 've got to move quickly
 in mr. luzon 's first year the bank eliminated N jobs
 now it says it 'll trim another N jobs over the next three to four years
 the bank employs N people in spain and N abroad
 to strengthen its capital base banco exterior this year issued $ N million in subordinated debt launched two rights issues and sold stock held in its treasury to small investors
 the bank is now aggressively marketing retail services at its domestic branches
 last year 's drop in export credit was partially offset by a N N surge in lending to individuals and small and medium-sized companies
 though spain has an excess of banks analysts say the country still has one of the most profitable markets in europe which will aid banco exterior with the tough tasks it faces ahead
 expansion plans also include acquisitions in growing foreign markets
 the bank says it 's interested in purchasing banks in <unk> portugal and puerto rico
 but the bank 's retail activities in latin america are likely to be cut back
 banco exterior was one of the last banks to create a brokerage house before the four spanish stock exchanges <unk> sweeping changes in july
 the late start may be a <unk> for the bank as spain continues to open up its market to foreign competition
 but mr. luzon contends that the experienced team he brought with him from banco <unk> <unk> where he was formerly director general will whip the bank 's capital market division into shape by the end of N
 the bank also says it 'll use its international network to channel investment from london frankfurt zurich and paris into the spanish stock exchanges
 general motors corp. 's general counsel hopes to cut the number of outside law firms the auto maker uses from about N to N within two years
 harry j. pearce named general counsel in may N says the reduction is a cost-cutting measure and an effort to let the no. N auto maker 's <unk> in-house legal department take on matters it is better equipped and trained to handle
 gm trimmed about N firms from its approved local counsel list mr. pearce says
 the move is consistent with a trend for corporate legal staffs to do more work in-house instead of <unk> it out to law firms
 mr. pearce set up gm 's first in-house litigation group in may with four lawyers all former assistant u.s. attorneys with extensive trial experience
 he intends to add to the litigation staff
 among the types of cases the in-house <unk> handle are disputes involving companies doing business with gm and <unk> actions including one in which a driver is suing gm for damages resulting from an accident
 mr. pearce has also encouraged his staff to work more closely with gm 's technical staffs to help prevent future litigation
 gm lawyers have been working with technicians to develop more uniform <unk> procedures the way a vehicle is <unk> has a lot to do with its <unk>
 the lawyers also monitor suits to identify specific automobile parts that cause the biggest legal problems
 mr. pearce says law firms with the best chance of retaining or winning business with gm will be those providing the <unk> service at the best cost <unk> similar <unk> from gm 's auto operations to suppliers
 this does n't necessarily mean larger firms have an advantage mr. pearce said gm works with a number of smaller firms it <unk> highly
 mr. pearce has shaken up gm 's legal staff by eliminating all titles and establishing several new functions including a <unk> group that has made films on safety and drunk driving
 federal prosecutors are concluding fewer criminal cases with trials
 that 's a finding of a new study of the justice department by researchers at <unk> university
 david burnham one of the authors says fewer trials probably means a growing number of plea bargains
 in N N N of federal prosecutions concluded at trial in N only N N did
 the study covered N major u.s. attorneys ' offices including those in manhattan and brooklyn n.y. and new jersey from N to N
 the justice department rejected the implication that its prosecutors are currently more willing to plea bargain
 our felony <unk> have been consistent for N years with about N N of all prosecutions going to trial a department spokeswoman said
 the <unk> is somewhat <unk> in that the <unk> researchers said they based their conclusions on government statistics
 one possible explanation for this decline in taking cases to trial says mr. burnham is that the number of defendants being charged with crimes by all u.s. attorneys has substantially increased
 in N the study says prosecutors surveyed filed charges against N defendants for each N people aged N years and older
 in N prosecutors filed against N defendants for every N adults
 another finding from the study prosecutors set significantly different priorities
 the manhattan u.s. attorney 's office stressed criminal cases from N to N averaging N for every N adults
 but the new jersey u.s. attorney averaged N
 on the civil side the manhattan prosecutor filed an average of only N cases for every N adults during the same period the san francisco u.s. attorney averaged N
 the study is to provide reporters academic experts and others raw data on which to base further inquiries
 <unk> marcos asks for dismissal says she was <unk>
 the former first lady of the philippines asked a federal court in manhattan to dismiss an indictment against her claiming among other things that she was <unk> from her <unk>
 mrs. marcos and her late husband former philippines president ferdinand marcos were charged with <unk> more than $ N million from that country and then <unk> <unk> much of the money through purchases of prime real estate in manhattan
 mrs. marcos 's attorneys asked federal judge john f. keenan to give them access to all u.s. documents about her alleged <unk>
 the u.s. attorney 's office in documents it filed in response said mrs. marcos was making the <unk> and <unk> <unk> claim that she was <unk> into this country in order to obtain classified material in the case
 the office also said mrs. marcos and her husband were n't brought to the u.s. against their will after mr. marcos was ousted as president
 the prosecutor quoted statements from the <unk> in which they said they were in this country at the invitation of president reagan and that they were enjoying the <unk> of the u.s.
 lawyers for mrs. marcos say that because she was taken to the u.s. against her wishes the federal court lacks jurisdiction in the case
 the federal court of appeals in manhattan ruled that the dismissal of a N indictment against former bank of <unk> owner george <unk> should be <unk>
 the indictment which was <unk> and apparently forgotten by investigators until N charges mr. <unk> and three others with tax fraud and other violations
 he made numerous trips to the u.s. in the early 1980s but was n't arrested until N when he showed up as a guest of <unk> president george bush at a government function
 a federal judge in manhattan threw out the indictment finding that the seven-year delay violated the defendant 's constitutional right to a <unk> trial
 the appeals court however said the judge did n't adequately consider whether the delay would actually hurt the chances of a fair trial
 mr. <unk> is fighting <unk> proceedings that would return him to greece where he is charged with <unk> more than $ N million from the bank of <unk>
 his attorney could n't be reached for comment
 pro bono <unk> in an effort to <unk> off a plan that would require all lawyers in new york state to provide <unk> hours of free legal aid a year the state bar recommended an alternative program to increase voluntary participation in pro bono programs
 the state bar association 's policy making body the house of delegate voted saturday to ask chief judge <unk> <unk> to give the bar 's voluntary program three years to prove its effectiveness before considering mandatory pro bono
 we believe our suggested plan is more likely to improve the availability of quality legal service to the poor than is the proposed mandatory pro bono plan and will achieve that objective without the <unk> <unk> administrative burdens and possible failure that we fear would <unk> an attempt to impose a mandatory plan said justin l. <unk> of rochester who headed the bar 's pro bono study committee
 dallas and houston law firms merge jackson & walker a <unk> firm in dallas and <unk> & <unk> a <unk> firm in houston said they have agreed in principle to merge
 the consolidated firm which would rank among the N largest in texas would operate under the name jackson & walker
 the merger must be formally approved by the partners of both firms but is expected to be completed by year end
 jackson & walker has an office in fort worth texas and <unk> & <unk> has an office in new orleans
 <unk> on
 <unk> on government <unk> that general electric co. may have covered up fraudulent billings to the pentagon two shareholders have filed a civil racketeering suit against the company
 the suit was filed by plaintiffs ' securities lawyer richard d. <unk> in u.s. district court in philadelphia
 he seeks damages from the company 's N directors on grounds that they either participated in or <unk> the illegal acts or utterly failed to carry out their duties as directors
 ge is defending itself against government criminal charges of fraud and false claims in connection with a <unk> contract for the army
 the trial begins today in federal court in philadelphia
 the government 's <unk> of the <unk> were made in last minute pretrial <unk>
 ge which <unk> denies the government 's allegations denounced mr. <unk> 's suit
 it is a <unk> suit <unk> defective and <unk> <unk> which was <unk> filed by a <unk> lawyer as a result of newspaper reports said a ge spokeswoman
 she added that the company was considering bringing sanctions against mr. <unk> for making grossly inaccurate and <unk> allegations
 the head of the nation 's largest <unk> group is telling dealers to just say no when auto makers pressure them to <unk> cars on their lots
 in an open letter that will run today in the trade journal automotive news ron <unk> president of the national car dealers association says dealers should cut their inventories to no more than half the level traditionally considered desirable
 mr. <unk> who has been <unk> with the big three since he took office earlier this year said that with half of the nation 's dealers losing money or breaking even it was time for emergency action
 u.s. car dealers had an average of N days ' supply of cars in their lots at the end of september according to ward 's automotive reports
 but mr. <unk> said dealers should slash stocks to between N and N days to reduce the costs of financing inventory
 his message is getting a <unk> reception in detroit where the big three auto makers are already being forced to close plants because of soft sales and reduced dealer orders
 even before mr. <unk> 's <unk> some large dealers said they were cutting inventories
 ford motor co. and chrysler corp. representatives criticized mr. <unk> 's plan as <unk>
 it is going to sound neat to the dealer except when his <unk> car supply does n't include the bright red one that the lady wants to buy and she goes up the street to buy one a chrysler spokesman said
 southern co. 's gulf power co. unit may plead guilty this week to charges that it illegally <unk> company money to politicians through outside vendors according to individuals close to an investigation of the utility holding company
 the tentative settlement between gulf power a <unk> fla. electric company and federal prosecutors would mark the end of one part of a <unk> inquiry of southern co. in the past year
 a grand jury has been investigating whether officials at southern co. conspired to cover up their accounting for spare parts to <unk> federal income taxes
 the grand jury has also been investigating whether gulf power executives violated the federal utility holding company act which prohibits certain utilities from making political contributions
 the individuals said gulf power and federal prosecutors are considering a settlement under which the company would plead guilty to two felony charges and pay fines totaling between $ N and $ N million
 under one count gulf power would plead guilty to conspiring to violate the utility holding company act
 under the second count the company would plead guilty to conspiring to <unk> taxes
 the guilty <unk> would be made solely by gulf power the individuals said
 no employee or vendor would be involved
 a spokesman for southern co. would say only that discussions are continuing between gulf power and federal prosecutors
 we have no further developments to report he said
 officials at gulf power could n't be reached for comment
 and prosecutors declined to comment
 while southern co. has been reluctant to discuss the grand jury investigations edward l. <unk> chief executive officer has said the company is prepared to defend its tax and <unk> practices if any charges are brought against it
 <unk> mr. <unk> has said southern co. and its units do n't <unk> illegal political contributions
 neither mr. <unk> nor any other southern co. official has been charged with any wrongdoing in connection with the current inquiries
 the probe of southern co. has attracted considerable attention this year because of several events that have <unk> the company including the death of a gulf power executive in a plane crash and the disappearance of a company vendor who was to be a key grand jury witness
 witnesses have said the grand jury has asked numerous questions about jacob f. <unk> <unk> the senior vice president of gulf power who died in the plane crash in april
 mr. <unk> <unk> gulf power 's <unk> efforts
 on the morning of the crash he had been put on notice that an audit committee was recommending his dismissal because of <unk> <unk> in a company audit
 investigators have been trying to determine whether the crash was an accident sabotage or <unk>
 gulf power said in may that an internal audit had disclosed that at least one vendor had used false <unk> to fund political causes
 but the company said the political contributions had been made more than five years ago
 exxon corp. is resigning from the national wildlife federation 's corporate advisory panel saying the conservation group has been unfairly critical of the exxon <unk> oil spill along the alaskan coast
 the federation said friday that it regrets the resignation but issued a <unk> response that called exxon a corporate <unk> that should keep an open dialogue with environmentalists
 the federation with N million members nationwide has been one of the sharpest critics of exxon 's handling of the N million <unk> tanker spill and has accused the company of repeatedly ignoring requests to meet and discuss it
 the march N oil spill <unk> hundreds of miles of <unk> along alaska 's southern coast and <unk> havoc with wildlife and the fishing industry
 exxon 's exxon usa unit was one of the charter members of the corporate conservation council a panel of executives formed in N by the national wildlife federation to foster frank and open discussions between industry and the federation 's leaders
 in a letter to the federation raymond <unk> exxon 's environmental coordinator said recent public actions by you regarding the <unk> oil spill have failed to demonstrate any sense of <unk> or fairness
 the federation was among the plaintiffs in a lawsuit filed in august against exxon seeking full payment of environmental recovery costs from the spill
 first tennessee national corp. said it would take a $ N million charge in the fourth quarter as a result of plans to expand its systems operation
 the banking company said it reached an agreement in principle with international business machines corp. on a systems operations contract calling for ibm to operate first tennessee 's computer and telecommunications functions
 further under the agreement first <unk> would continue to develop the software that creates customer products and <unk>
 because personal computers will soon be on the desks of all of our <unk> and customer service and loan representatives information will be instantly available to help customers with product decisions and provide them with information about their accounts according to john <unk> executive vice president and corporate services group manager at first tennessee
 however about N employees will be affected by the agreement
 first tennessee <unk> by ibm said it will attempt to place the employees within the company ibm or other companies in memphis
 the process will take as many as six months to complete the company said
 the agreement is subject to the banking company 's board approval which is expected next month
 the treasury department said the u.s. trade deficit may worsen next year after two years of significant improvement
 in its report to congress on international economic policies the treasury said that any improvement in the <unk> measure of trade known as the current account is likely at best to be very modest and the possibility of deterioration in the current account next year can not be excluded
 the statement was the u.s. government 's first <unk> of what other groups such as the international monetary fund have been predicting for months
 continued strength in the dollar was cited as one reason the trade position may <unk>
 the treasury 's report which is required annually by a provision of the N trade act again took south korea to task for its exchange-rate policies
 we believe that there have continued to be indications of exchange-rate manipulation during the past six months it said citing the lack of market forces in south korea 's exchange-rate system and the use of capital and interest-rate controls to manipulate exchange rates
 the treasury expressed pleasure however with the government of taiwan which was cited for exchange-rate manipulation in last year 's report
 the treasury said taiwan has <unk> its exchange rate system in the past year
 the fiscal N budget deficit figure came out friday
 it was down a little
 the next time you hear a member of congress <unk> about the deficit consider what congress did friday
 the senate N voted to increase to $ N the ceiling on insured mortgages from the fha which lost $ N billion in loan defaults last year
 then by voice vote the senate voted a pork-barrel bill approved thursday by the house for domestic military construction
 compare the bush request to what the senators gave themselves
 for construction in west virginia mr. bush requested $ N million congress gave senator byrd 's state $ N million
 senator byrd is chairman of the appropriations committee
 for iowa a $ N million request became $ N million for senator <unk> ranking minority member of a military construction subcommittee
 rep. jamie whitten of mississippi and chairman of house appropriations turned a $ N million bush request for his state into a $ N million <unk>
 senator <unk> of tennessee is chairman of the appropriations subcommittee on military construction mr. bush 's $ N million request for tennessee increased to $ N million
 in a remark someone should remember this time next year senator <unk> said i think we 've seen the peak of military construction spending for many years to come
 tell us about spending restraint
 tell us about the hud scandals
 tell us what measure short of house arrest will get this congress under control
 costa rica reached an agreement with its creditor banks that is expected to cut that government 's $ N billion in bank debt by as much as N N
 the agreement was announced by costa rican president <unk> arias friday as president bush and other leaders from the western <unk> gathered in the central american nation for a celebration of democracy
 costa rica had been negotiating with the u.s. and other banks for three years but the debt plan was rushed to completion in order to be announced at the meeting
 the government had fallen $ N million behind in interest payments
 treasury secretary nicholas brady called the agreement an important step forward in the strengthened debt strategy noting that it will when implemented provide significant reduction in the level of debt and debt service owed by costa rica
 under the plan costa rica will buy back roughly N N of its bank debt outstanding at a deeply discounted price according to officials involved in the agreement
 the remainder of the debt will be exchanged for new costa rican bonds with a N N N interest rate
 the international monetary fund and the world bank are expected to provide approximately $ N million to help support the deal and additional funds are expected from japan
 treasury officials say the costa rican agreement demonstrates that the brady debt plan can benefit small <unk> countries as well as big <unk> such as mexico
 the treasury said it plans to sell $ N billion of <unk> <unk> bills today raising all new cash
 the bills will be dated oct. N and will mature dec. N
 no <unk> tenders will be accepted
 tenders available in minimum denominations of $ N million must be received by noon est today at federal reserve banks or branches
 the treasury also announced details of this week 's unusual bill auction which has been changed to accommodate the expiration of the federal debt ceiling at midnight tomorrow
 the 13-week and <unk> bills will be issued tomorrow rather than thursday nov. N as originally planned
 the three-month bills will still mature feb. N N and the six-month bills on may N N
 the treasury also said <unk> tenders will be considered timely if <unk> no later than sunday oct. N and received no later than tomorrow
 the treasury said it wo n't be able to honor reinvestment requests from holders of bills maturing nov. N held in the treasury 's <unk> system
 the department will make payment for bills maturing on nov. N to all investors who have requested reinvestment of their bills on that date as well as to all account holders who have previously requested payment
 american pioneer inc. said it agreed in principle to sell its american pioneer life insurance co. subsidiary to <unk> <unk> <unk> inc. 's <unk> insurance cos. for $ N million
 american pioneer parent of american pioneer savings bank said the sale will add capital and reduce the level of investments in subsidiaries for the thrift holding company
 recently the boards of both the parent company and the thrift also voted to suspend dividends on preferred shares of both companies and convert all preferred into common shares
 the company said the move was necessary to meet capital requirements
 the transaction is subject to execution of a definitive purchase agreement and approval by various regulatory agencies including the insurance departments of the states of florida and indiana the company said
 in the second quarter american pioneer reported a loss of $ N million compared with net income of $ N million a year earlier
 the banking operation had a loss of $ N million in the second quarter largely because of problem real-estate loans while the insurance operations earned $ N
 october employment data also could turn out to be the most confusing
 on the surface the overall unemployment rate is expected to be little changed from september 's N N
 but the actual head count of <unk> employment payroll jobs is likely to be <unk> by the impact of hurricane hugo strikes and <unk> seasonal adjustments economists said
 the consensus view calls for an overall job gain of N compared with september 's N increase
 but the important <unk> segment which last month plunged by N positions and raised recession fears is most likely to be <unk> by the month 's unusual events
 several other reports come before friday 's jobs data including the september leading indicators index new-home sales and october agricultural prices reports due out tomorrow the october purchasing managers ' index and september construction spending and manufacturers ' orders on wednesday and october <unk> sales on thursday
 friday brings the final count on october auto sales
 the employment report is going to be difficult to interpret said michael <unk> economist with <unk> international a unit of mcgraw-hill inc. new york
 mr. <unk> added that next month 's data is n't likely to be much better because it will be distorted by san francisco 's earthquake
 what 's more he believes seasonal swings in the auto industry this year are n't <unk> at the same time as in the past because of production and pricing differences that are curbing the <unk> of seasonal adjustments built into the employment data
 wednesday 's report from the purchasing agents will be watched to see if the index maintains a level below N N as it has for the past couple of months
 a reading of less than N N indicates an economy that is generally contracting while a reading above N N indicates an economy that 's expanding
 samuel d. <unk> chief financial economist at kleinwort benson government securities inc. chicago said that the purchasers ' report is valuable because it often presents the first <unk> of economic data for the month
 but he added some people use the purchasers ' index as a leading indicator some use it as a <unk> indicator
 but the thing it 's supposed to measure manufacturing strength it missed altogether last month
 david wyss chief financial economist at data resources inc. boston said that the purchasers ' index does miss occasionally adding when it misses one month it tends to miss the next month too
 the consensus view on september leading indicators calls for a gain of N N the same as in august
 economists said greatly increased consumer optimism a larger money supply and higher stock prices helped lift the index
 all <unk> components such as <unk> orders and building permits are thought to have been weaker
 data resources ' mr. wyss added that he will be keeping a closer eye than <unk> on october <unk> sales
 usually october is n't a very interesting month for retail figures because school clothes have been bought and people are waiting for december to buy christmas presents he said
 but mr. wyss said he will watch the numbers to get an <unk> of whether consumers ' general buying habits may slack off as much as their <unk> apparently has
 he noted that higher gasoline prices will help <unk> the october totals
 seasonal factors are also expected to have taken their toll on september new-home sales which are believed to have fallen sharply from august 's N units
 construction spending is believed to have slipped about N N from august levels although economists noted the rate probably will pick up in the months ahead in response to hurricane and earthquake damage
 factory owners are buying new machinery at a good rate this fall machine tool makers say but sluggish sales of new cars and trucks raise questions about fourth-quarter demand from the important automotive industry
 september orders for machine tools rebounded from the summer doldrums but remained N N below year-earlier levels according to figures from <unk> the association for manufacturing technology
 domestic machine tool plants received $ N million of orders last month up N N from august 's $ N million but still below the $ N million of september N <unk> said
 machine tools are complex machines ranging from <unk> to <unk> <unk> that are used to shape most metal parts
 overall demand still is very respectable says christopher c. <unk> group vice president at cincinnati <unk> inc. the nation 's largest machine tool producer
 the outlook is positive for the intermediate to long term
 september orders for all u.s. producers in fact were slightly above the monthly average for N a good year for the industry
 aerospace orders are very good mr. <unk> says
 and export business is still good
 while some automotive programs have been delayed they have n't been canceled
 september was one of the biggest order months in our history says james r. roberts vice president world-wide sales and marketing for <unk> & lewis inc. <unk> du <unk> <unk>
 at a recent meeting of manufacturing executives everybody i talked with was very positive he says
 most say they plan to spend more on factory equipment in N than in N
 but sales of north <unk> <unk> cars are running at an annual rate of only six million down from N million a year earlier
 and truck sales also are off more than N N
 auto makers who began deferring some equipment purchases last spring can be expected to remain cautious about spending if their sales do n't pick up machine tool builders say
 machine tool executives are hopeful however that recent developments in eastern europe will expand markets for <unk> machine tools in that region
 there is demand for <unk> machine tools in the soviet union and in other eastern european countries as those nations <unk> to improve the efficiency of their ailing factories as well as the quality of their goods
 however there 's a continuing dispute between machine tool makers and the defense department over whether sophisticated u.s. machine tools would increase the soviet union 's military might
 the commerce department says go and the defense department says stop complains one machine tool producer
 if that controversy continues u.s. machine tool makers say west german and other foreign producers are likely to grab most of the sales in eastern europe
 september orders for <unk> centers <unk> <unk> machines <unk> boring mills and other machines that shape metal by cutting totaled $ N million down N N from $ N million a year earlier but a N N increase from august 's $ N million <unk> said
 orders last month for <unk> <unk> and other machinery to form metal with pressure surged to $ N million a N N rise from $ N million a year earlier and a N N gain from $ N million in august
 today 's <unk> are large and costly machines and a few orders can produce a high total for one month that does n't necessarily indicate a trend
 machine tool shipments last month were $ N million a N N rise from a year earlier and a N N increase from august
 shipments have run well ahead of N all year as machine tool builders produce against relatively good backlogs
 u.s. producers had a $ N billion backlog of unfilled orders at the end of september
 that was up N N from a year earlier even though orders for the first nine months of N were down N N from the comparable N period
 $ N
 $ N
 $ N
 $ N
 in <unk> stock market circles the <unk> is <unk>
 at least N companies are coming to the capital market to raise $ N billion an amount never thought possible in india
 when they talk mega-issues they 're truly talking <unk> says s.a. dave chairman of the securities and exchange board of india
 the capital market is booming
 but the mega-issues are raising <unk> about the rapidly <unk> indian capital market
 one is whether there is enough money to fund the new issues without <unk> stock trading
 moreover in the relatively <unk> indian stock markets investors frequently do n't know what they are getting when they subscribe to an issue
 a prospectus in india does n't always tell a potential investor much
 some of the large amounts are being raised by small firms
 in addition once money is raised investors usually have no way of knowing how it is spent
 some analysts are concerned that the mega-issues in such an <unk> environment could lead to a <unk>
 the rate of failures will be much more than the rate of successes in the <unk> says <unk> patel a former chairman of the giant <unk> mutual fund the unit trust of india
 they 're going to have <unk>
 the indian stock markets have been on a five-year high with <unk> and <unk> since prime minister <unk> gandhi started <unk> industry
 but the last stock market boom in N seems small compared with the current rush to market
 the $ N billion that some N companies are looking to raise in the year ending march N compares with only $ N billion raised on the capital market in the previous fiscal year
 in fiscal N before mr. gandhi came to power only $ N million was raised
 this year 's biggest issue $ N million of convertible debentures by engineering company larsen & toubro ltd. is the largest in indian history
 and it is n't the only giant issue together the top four issues will raise $ N billion
 convertible debentures bonds that can later be converted into equity shares are the most popular instrument this year though many companies are also selling <unk> bonds or equity shares
 these mega-issues are being propelled by two factors economic and political
 in the past the socialist policies of the government strictly limited the size of new steel mills petrochemical plants car factories and other industrial concerns to <unk> resources and restrict the profits businessmen could make
 as a result industry operated out of small expensive highly inefficient industrial units
 when mr. gandhi came to power he <unk> in new rules for business
 he said industry should build plants on the same scale as those outside india and benefit from economies of scale
 if the output was too great for the domestic market he said companies should export
 india 's <unk> businessmen had to be persuaded but they have started to think big
 some of the projects being funded by the new issues are the first <unk> of mr. gandhi 's policy and they require more capital than the smaller industrial units built in the past
 the industrial revolution has produced an explosion in the capital market which is a far cheaper source of funds than <unk> banks where interest rates for prime borrowers are around N N
 the second factor spurring mega-issues is political
 mr. gandhi has called general elections for november and many businessmen fear that he and his congress i party will lose
 some companies are raising money in anticipation of a government less predictable than mr. gandhi 's and possibly more restrictive
 the <unk> <unk> rumor mill also says that some of the money raised in the current spate of issues will be used as campaign donations before the elections
 no one admits to anything but india 's <unk> have a history of making <unk> campaign donations
 so far the mega-issues are a hit with investors
 earlier this year <unk> iron & steel co. 's offer of $ N million of convertible debentures was oversubscribed
 <unk> <unk> ltd. a marine construction company had similar success with a slightly smaller issue
 larsen & toubro started accepting applications for its giant issue earlier this month bankers and analysts expect it to be oversubscribed
 still to come are big issues by <unk> <unk> <unk> ltd. a petrochemical and <unk> company and <unk> <unk> corp india a semiconductor maker
 while many investors are selling parts of their portfolios to buy the new issues prices on india 's N stock exchanges are holding up so far
 i do n't think it will lead to any chaos in the secondary market says mr. patel only a sagging tendency
 says <unk> <unk> chairman of the unit trust of india the markets are headed for growth <unk> of and <unk> before
 but with growth come growing <unk> and never has this been <unk> on the indian capital market than now
 in the past the government controlled the markets indirectly through its tight grip on industry itself
 various ministries decided the products businessmen could produce and how much and government-owned banks controlled the financing of projects and monitored whether companies came through on promised plans
 the government has been content with this far-reaching <unk> form of control exercised on a <unk> basis with no clear rules or guidelines
 but now with large amounts being raised from investors the government 's <unk> on regulation and disclosure requirements has a more dangerous aspect
 the securities and exchange board of india was set up earlier this year along the lines of the u.s. securities and exchange commission but new <unk> has n't pushed the legislation to make it operational
 mr. dave its head acts <unk> and patient but he makes no <unk> about the need to get to work
 <unk> or <unk> we feel the prospectus standards need to be considerably improved he says
 disclosures are very poor in india
 he says the big questions do you really need this much money to put up these investments have you told investors what is happening in your sector what about your track record are n't asked of companies coming to market
 instead he says most investors have to rely on the <unk> indian press
 an example is the biggest offering of them all larsen & toubro 's $ N million bond issue
 the engineering company was acquired in a takeover earlier this year by the giant reliance textile group
 although larsen & toubro had n't raised money from the public in N years its new owners frequently raise funds on the local market
 reliance <unk> a $ N million petrochemical company in N that was at the time the largest public issue in indian history
 the media has raised questions about larsen & toubro 's issue pointing out that it exceeds the company 's annual sales and its market capitalization
 even <unk> is the case of <unk> <unk> a semiconductor company with N sales of $ N million that 's raising $ N million to build an iron plant
 once the money is raised it is n't always certain how it is used
 larsen & toubro for example says it 's raising $ N million to use as supplier credit on large engineering jobs
 unlike other companies it has n't <unk> specific projects for the funds
 and even when specific projects are described in <unk> the money often is used elsewhere according to analysts
 someone must monitor where the funds are deployed says mr. dave
 mr. patel agrees there is no proper monitoring and <unk> of the use of these funds
 they 're trying to plug the various <unk> but they 're totally <unk> for this
 because of the large amounts of money being raised the loose disclosure requirements and the casual monitoring of how the money is used some analysts fear that there could be a few <unk> which could hurt market confidence far more than the small <unk> that followed the boom of N
 the government insists that such a possibility is low
 it says that despite loose regulation of the market itself its longstanding regulation of industry will prevent such crashes
 <unk> <unk> <unk> contributed to this article
 lion nathan ltd. a new zealand brewing and retail concern said friday that bond corp holdings ltd. is committed to a transaction <unk> lion nathan would acquire N N of bond 's australian brewing assets
 lion nathan issued a statement saying it is applying to australia 's national companies & securities commission the nation 's corporate <unk> agency for a <unk> to takeover regulations similar to that obtained by s.a. brewing holdings ltd
 <unk> brewing an australian brewer last thursday was given approval to acquire an option for up to N N of bell resources ltd. a unit of bond corp
 bell resources is acquiring bond 's brewing businesses for N billion australian dollars us$ N billion
 s.a. brewing would make a takeover offer for all of bell resources if it exercises the option according to the commission
 bond corp. a brewing property media and resources company is selling many of its assets to reduce its debts
 lion nathan has a concluded contract with bond and bell resources said douglas <unk> chief executive of lion nathan
 finnair finland 's state-owned airline joined the wave of global airline alliances and signed a <unk> cooperation agreement with archrival <unk> airlines system
 under the accord finnair agreed to coordinate flights marketing and other functions with <unk> the <unk> airline of <unk> norway and sweden
 the pact also calls for coordination between finnair and switzerland 's national carrier <unk> with which <unk> entered a similar alliance last month
 finnair and <unk> said they plan to swap stakes in each other
 neither disclosed details pending board meetings next month
 officials hinted however that <unk> would take a stake of at least N N in finnair valued at about $ N million at current market prices
 finnair would receive <unk> shares valued at the same amount officials said
 general motors corp. and ford motor co. are now going head to head in the markets for shares of jaguar plc as gm got early clearance from the federal trade commission to boost its stake in the british luxury car maker
 gm confirmed friday that it received permission late thursday from u.s. antitrust regulators to increase its jaguar holdings past the $ N million level
 ford got a similar <unk> earlier in october and on friday jaguar announced that the no. N u.s. auto maker had raised its stake to N N or N million shares from N N earlier in the week
 a spokesman for gm the no. N auto maker declined to say how many jaguar shares that company owns
 in late trading friday jaguar shares <unk> the downward tide in london 's stock market and rose five pence to N pence $ N
 trading volume was a moderately heavy N million shares
 in the u.s. jaguar 's american depositary receipts were among the most active issues friday in national over-the-counter trading where they closed at $ N each up N cents
 analysts expect that the two u.s. auto giants will move quickly to buy up N N stakes in jaguar setting up a potential bidding war for the prestigious jaguar brand
 british government restrictions prevent any single shareholder from going beyond N N before the end of N without government permission
 the british government which owned jaguar until N still holds a controlling golden share in the company
 with the golden share as protection jaguar officials have rebuffed ford 's <unk> and moved instead to forge an alliance with gm
 jaguar officials have indicated they are close to <unk> up a friendly alliance with gm that would preserve jaguar 's independence but no deal has been announced
 ford on the other hand has said it 's willing to bid for all of jaguar despite the objections of jaguar chairman sir john <unk>
 analysts continued to speculate late last week that ford may try to force the issue by calling for a special shareholder 's meeting and urging that the government and jaguar holders remove the barriers to a full bidding contest before december N
 but a ford spokeswoman in dearborn said friday the company has n't requested such a meeting yet
 individuals close to the situation believe ford officials will seek a meeting this week with sir john to <unk> their proposal for a full bid
 any discussions with ford could postpone the <unk> deal headed for completion within the next two weeks
 the gm agreement is expected to retain jaguar 's independence by involving an eventual N N stake for the u.s. auto giant as well as joint manufacturing and marketing ventures
 jaguar and gm hope to win jaguar shareholders approval for the accord partly by <unk> it in a way that would n't preclude a full ford bid once the golden share expires
 there 's either a minority stake package capable of getting jaguar shareholder approval or there is n't said one knowledgeable individual
 if there is n't the deal wo n't be put forward to shareholders
 union sentiment also could influence shareholder reaction to a <unk> accord
 gm 's u.k. unit holds crucial talks today with union officials about its consideration of an <unk> port site for its first major engine plant in britain
 one <unk> union leader said if they try to build it somewhere else in europe besides the u.k. they are going to be in big trouble with <unk> over any jaguar deal
 these are the last words abbie hoffman ever <unk> more or less before he killed himself
 and you are there sort of
 abbie i 'm ok jack
 i 'm ok
 listening <unk>
 i 'm out of bed
 i got my feet on the floor
 <unk>
 two feet
 i 'll see you wednesday thursday
 he <unk> <unk>
 abbie <unk> i 'll always be with you jack
 do n't worry
 abbie lies back and leaves the frame empty
 of course that was n't the actual conversation the late <unk> activist protest leader and founder of the <unk> ever had with his brother
 it 's a script <unk> together from interviews by cbs news for a <unk> a dramatic <unk> by an actor of mr. hoffman 's ultimately unsuccessful struggle with depression
 the segment is soon to be broadcast on the cbs news series saturday night with <unk> chung thus further <unk> the <unk> between <unk> and reality in tv news
 it is the new journalism come to television
 ms. chung 's program is just one of several network shows and many more in <unk> that rely on the controversial technique of <unk> events using actors who are supposed to resemble real people living and dead
 ms. chung 's however is said to be the only network news program in history to employ casting directors
 abbie hoffman in this case is to be played by hollywood actor paul <unk> who is n't new to the character
 he was mr. hoffman in a N los angeles production of a play called the chicago conspiracy trial
 television news of course has always been part <unk>
 broadcasters have a healthy appreciation of the role entertainment values play in <unk> an audience
 but as cbs broadcast group president howard <unk> puts it the network now needs to broaden the <unk> of <unk> television and that includes some <unk>
 since its premiere sept. N the show on which ms. chung appears has used an actor to <unk> the rev. <unk> johns a <unk> leader and one to play a <unk> drug dealer
 it has <unk> the <unk> of pan am flight N over the scottish town of <unk>
 on oct. N it did a <unk> of the <unk> and <unk> of associated press <unk> terry anderson who was <unk> in march N and is believed to be held in lebanon
 the production had actors playing mr. anderson and former <unk> david <unk> the rev. benjamin <unk> and father lawrence <unk>
 abc news has similarly <unk> out into entertainment <unk>
 prime time live a new show this season featuring sam donaldson and <unk> <unk> has a studio audience that <unk> and that one night to the embarrassment of the network <unk> at the camera like the crowd on let 's make a deal
 abc stops short of using an applause sign and a comic to warm up the audience
 the stars do that themselves
 nbc news has produced three episodes of an <unk> series produced by <unk> <unk> called yesterday today and tomorrow <unk> maria <unk> chuck <unk> and mary alice williams that also gives work to actors
 call it a fad
 or call it the wave of the future
 nbc 's <unk> are produced by <unk> productions which also makes the successful prime-time nbc entertainment series <unk> <unk>
 the marriage of news and theater if not exactly inevitable has been <unk> nonetheless
 news programs particularly if they score well in the ratings appeal to the networks ' <unk> corporate parents because they are so much less expensive to produce than an entertainment show is somewhere between $ N and $ N for a one-hour program
 entertainment shows tend to cost twice that
 <unk> have been used successfully for several seasons on such syndicated tabloid tv shows as a current affair which is produced by the fox broadcasting co. unit of rupert murdoch 's news corp
 that show whose host is ms. chung 's husband <unk> <unk> has a particular <unk> for <unk> <unk> and stories having to do with sex the robert chambers murder case the <unk> lowe tapes what have you
 gerald stone the executive producer of a current affair says we have opened eyes to being a little less conservative and more <unk> in how to present the news
 nowhere have eyes been opened wider than at cbs news
 at N w. <unk> st. in manhattan one floor below the offices of N minutes the most successful prime-time news program ever actors wait in the reception area to <unk> for saturday night with <unk> chung
 cbs news sends scripts to agents who pass them along to clients
 the network deals a lot with <unk> including scott <unk> who portrayed mr. anderson and bill <unk> as father <unk> but the network has some big names to contend with too
 james <unk> jones is cast to play the rev. mr. johns
 <unk> <unk> may <unk> former california gov. pat brown in a <unk> <unk> on <unk> <unk> the last man to be executed in california in N
 saturday night has cast actors to appear in future stories ranging from the abortion rights of <unk> to a nov. N segment on a man named <unk> <unk> who calls himself a monster and is <unk> to be the <unk> prisoner in new york
 cbs news which as recently as two years ago fired hundreds of its employees in budget cutbacks now <unk> featured actors beginning at $ N a week
 that is n't much compared with what bill cosby makes or even <unk> chung for that matter who is paid $ N million a year and who recently did a guest shot of her own on the <unk> murphy brown
 but the money is n't peanuts either particularly for a news program
 cbs news is also <unk> the N three mile island nuclear accident in <unk> pa. with something less than a cast of thousands
 it is <unk> the town of N for about N <unk>
 on oct. N the town 's mayor robert <unk> made an announcement on behalf of cbs during <unk> at the <unk> high school football game asking for <unk>
 there was a roll of <unk> through the stands says joe <unk> the editor of the weekly press and journal in <unk>
 they 're <unk> right now at the bank down the street and they want shots of people getting out of cars and kids on <unk>
 they are approaching everyone on the street and asking if they want to be in a <unk>
 mr. <unk> says he would n't dream of participating himself
 no way
 i think <unk> <unk>
 though a <unk> may have the flavor hollywood on the hudson it is n't
 some producers seem tentative about the technique <unk> even
 so the results while not news are n't exactly theater either at least not good theater
 and some people do think that acting out scripts is n't worthy of cbs news which once lent prestige to the network and set standards for the industry
 in his review of saturday night with <unk> chung tom <unk> the tv critic of the washington post and generally an <unk> of cbs wrote that while the show is impressive one has to wonder if this is the proper direction for a network news division to take
 <unk> events has in general upset news <unk> including former cbs news president richard s. <unk> and former nbc news president <unk> frank former cbs news <unk> walter <unk> and the new dean of the columbia university graduate school of journalism joan <unk>
 says she once you add <unk> it 's no longer news it 's drama and that has no place on a network news broadcast
 they should never be on
 never
 criticism of the abbie hoffman segment is particularly <unk> among people who knew and loved the man
 that includes his companion of N years <unk> <unk> as well as his former wife <unk>
 both women say they also find it <unk> that cbs news is apparently concentrating on mr. hoffman 's problems as a <unk>
 this is dangerous and <unk> abbie 's life says ms. <unk> who has had an advance look at the <unk> script
 it 's a <unk> piece about someone who is not here to defend himself
 mrs. hoffman says that <unk> makes the truth flexible
 it takes one person 's account and gives it <unk>
 cbs news interviewed jack hoffman and his sister <unk> as well as mr. hoffman 's <unk> in <unk> township pa
 also jonathan <unk> who <unk> with mr. hoffman on two books
 mr. <unk> says i wanted to be interviewed to get abbie 's story out and maybe talking about the illness will do some good
 the executive producer of saturday night with <unk> chung andrew lack declines to discuss <unk> as a practice or his show in particular
 i do n't talk about my work he says
 the president of cbs news david w. burke did n't return numerous telephone calls
 one person close to the process says it would not be in the best interest of cbs news to comment on a work in progress such as the hoffman <unk> but says cbs news is aware of the concerns of ms. <unk> and mr. hoffman 's former wife
 neither woman was invited by cbs news to participate in a <unk> discussion about mr. hoffman that is to follow the <unk>
 mr. <unk> the actor who plays mr. hoffman says he was concerned at first that the script would <unk> an <unk> political mind one that i <unk> but that his concerns were <unk>
 the producers he says did a good job of <unk> someone who had done so much but who was also a <unk>
 dentsu inc. the world 's largest advertising agency on the strength of its dominance in the japanese market is setting its sights on overseas expansion
 last year dentsu started <unk> a joint network with u.s. ad agency young & rubicam and eurocom of france
 a few months ago dentsu acquired N N of australian agency fortune communication holdings ltd. for N million australian dollars us$ N million
 dentsu has u.s. subsidiaries but they keep low <unk>
 now the giant marketing company which holds N N of japan 's N trillion yen $ N billion advertising industry is considering the acquisition of an advertising network in the u.s. or europe
 what is driving dentsu 's international expansion largely is the need to keep up with its japanese clients as they grow in the u.s. and europe
 if we do n't do something we wo n't be able to catch up with demand says a dentsu spokesman
 our president said acquisition is an effective method
 last year dentsu 's foreign business accounted for less than N N of total billings but the company is aiming at N N in the near future
 so far it appears cautious about taking the big step
 for example the spokesman says dentsu has been approached by banks and securities companies a number of times to invest in the troubled british marketing group saatchi & saatchi plc
 but he said dentsu has n't looked seriously at saatchi
 though dentsu says it has no concrete acquisition plans or deadlines it is laying the <unk> for international growth
 it is setting up a special team in charge of international markets and training workers to do business abroad
 for the year ended march N dentsu sales rose N N to $ N billion from $ N billion and net income jumped N N to $ N million from $ N million
 dentsu 's billings last year were larger than those of young & rubicam the world 's second-largest ad agency according to a survey by the publication advertising age
 but success overseas in <unk> markets could be <unk> than for other industries such as manufacturers
 on its own dentsu 's muscle in japan may count for little in major foreign markets when seeking <unk> clients
 thus an acquisition may prove the necessary course
 but japanese agencies are cautious about expanding abroad because client relationships are different
 japanese agencies do business with rival clients in the same industry a practice that would be <unk> by traditional western conflict rules says roy <unk> the london chief executive of saatchi & saatchi 's communications division
 although acquiring a foreign company would expand japanese advertising agencies ' business to foreign clients many clients would also be japanese companies expanding overseas says the dentsu spokesman
 but the different business system would make it hard for dentsu to provide these japanese companies the same kind of services they do in japan
 ciba-geigy ag the big swiss chemicals company said that it agreed in a letter of intent with corning inc. to acquire corning 's N N share of <unk> corning <unk> corp. based in <unk> mass
 <unk> corning which had been a N venture between <unk> ciba-geigy and corning has annual sales of about $ N million the announcement said
 terms of the transaction were n't disclosed
 <unk> corning makes clinical <unk> systems and related products for the <unk> industry
 the announcement said the acquisition should be completed by december after a definitive agreement is completed and regulatory approval is received
 ciba-geigy intends to develop the <unk> corning unit into a substantial business making the unit an <unk> part of ciba-geigy 's comprehensive disease management concept
 the nbc network canceled its first new series of the fall tv season killing <unk> brooks 's <unk> hotel comedy the <unk> house
 the show one of five new nbc series is the second casualty of the three networks so far this fall
 last week cbs inc. canceled the people next door
 nbc 's comedy had aired <unk> at N p.m. and in five <unk> had drawn an average of only N N of homes lagging behind the jamie lee <unk> comedy anything but love on abc and cbs 's one-hour drama <unk> and the <unk>
 nbc a unit of general electric co. has n't decided on a permanent replacement for the canceled series
 john <unk> ltd. said it plans a private placement of N million canadian dollars us$ N million in preferred shares to be completed around nov. N
 proceeds will be used to reduce short-term debt at the beer and food concern said robert <unk> vice president finance
 the preferred shares will carry a floating annual dividend equal to N N of the 30-day bankers ' acceptance rate until dec. N N
 thereafter the rate will be <unk>
 mr. <unk> said that if no agreement is reached other buyers will be sought by bid or auction
 the shares are <unk> after the end of N
 mr. <unk> said the share issue is part of a strategy to strengthen <unk> 's balance sheet in anticipation of acquisitions to be made during the next N to N months
 <unk> 's has no takeover bids outstanding currently he said
 lead underwriter to the issue is toronto dominion securities inc
 texas instruments inc. once a pioneer in portable computer technology today will make a bid to <unk> itself in that business by <unk> three small personal computers
 the announcements are scheduled to be made in temple texas and include a so-called notebook pc that <unk> less than seven pounds has a <unk> hard disk drive and is <unk> by intel corp. 's N microprocessor
 that introduction comes only two weeks after compaq computer corp. <unk> it had a lead of three to six months on competitors introduced the first u.s. notebook computer with such features
 despite the inevitable comparison with compaq however texas instruments ' new notebook wo n't be a direct competitor
 while compaq sells its machines to businesses through computer retailers texas instruments will be selling most of its machines to the industrial market and to <unk> <unk> and <unk> manufacturers
 the <unk> also mark texas instruments ' plunge back into a technology it has all but ignored for the past several years
 although the dallas-based computer giant introduced the first portable data terminal in N a <unk> monster and the world 's first <unk> portable in N the only portable machines it has introduced since the first part of the decade have been <unk> terminals with limited <unk> processing ability
 it stopped selling a standard personal computer a while ago
 now that is about to change as texas instruments begins marketing two <unk> laptop pcs with N <unk> and N <unk> hard drives
 the <unk> are not revolutionary and indeed are <unk> in a market first opened by grid systems corp. now a unit of tandy corp. almost two years ago
 but the notebook with the more advanced microprocessor and hard disk is more innovative
 weighing N pounds with battery the notebook measures N by N inches has a <unk> hard disk drive and boasts a <unk> screen that is N N larger than compaq 's
 its <unk> according to industry consultants is better than compaq 's but its battery life of two to three hours is shorter
 it does n't have an internal <unk> disk drive although a <unk> drive can be purchased separately
 its greatest <unk> may be its <unk> <unk> big enough for one consultant to describe it as <unk>
 list prices on the heavier texas instrument <unk> will be $ N for the <unk> model N with a N <unk> disk drive and $ N for the <unk> model N
 the notebook the <unk> model N will be priced at $ N
 shearson lehman hutton inc. said it applied to taiwanese securities officials for permission to open brokerage offices in taipei
 shearson 's application is the first since the taiwan securities and exchange commission announced june N that it would allow foreign brokerage firms to do business in that country
 taiwan officials are expected to review the shearson application later this year
 under current rules investors in taiwan can buy overseas stocks only through the purchase of mutual funds issued by local and foreign investment trusts
 the new rules will allow investors to buy foreign stocks directly
 a spokesman for shearson said the brokerage service will be directed at individual investors who want to buy foreign and domestic stocks
 it 's an attractive market with good growth opportunities he added
 retailers in the west and parts of the south are entering the critical christmas shopping season with more momentum than those in other regions
 in a new report the international council of shopping centers said sales of general merchandise in the west for the first seven months of N rose N N above year-earlier levels
 sales increased a more modest N N in the south and N N in the midwest
 but sales in the <unk> state of texas surged N N and sales in south carolina jumped N N in the period the new york trade group said
 in the northeast however sales declined N N in the period with sales in new england falling N N
 the numbers show that we do n't have a <unk> economy said <unk> <unk> council research director
 there are a lot of have and <unk> markets
 sales nationally rose N N through july the latest month for which the figures are available the council said
 the northern california earthquake and hurricane hugo are likely to temporarily damp sales growth in the west and south carolina
 but mr. <unk> predicted the regional trends would continue through christmas
 the big <unk> is as much of a factor in retailing as in politics he said
 the christmas quarter is important to retailers because it represents roughly a third of their sales and nearly half of their profits
 the council 's report is based on data the trade group buys from the u.s. census bureau
 the information on N metropolitan markets is supplied by retailers such as sears roebuck & co. and k mart corp. as well as closely held concerns such as r.h. macy & co
 the council plans to release its regional reports monthly
 mr. <unk> said strength in employment appears to have the biggest impact on sales growth
 el paso austin and fort worth the three strongest retail markets in the nation are all located in texas where employment grew a relatively strong N N
 massachusetts which has lost jobs in the computer and <unk> industries was the weakest link in bleak new england
 the results reflect a reversal in the fortunes of the regions during the past two years
 in N the west had the <unk> sales growth and the south and the midwest were first and second respectively according to the council
 mr. <unk> said that although retailers probably wo n't ever recover sales lost because of the california quake and hurricane hugo they could see some benefits later on
 stores such as sears that sell <unk> durable goods might actually get a boost as consumers rush to replace items lost in the disasters he said
 <unk> corp. said it will spend $ N million to purchase land and <unk> its <unk> <unk> storage facility to clark county nev. from henderson <unk>
 the company said it will move the storage and <unk> operations to a site N miles northeast of las vegas to distance the operations from residential areas
 <unk> <unk> is an <unk> that is mixed with a <unk> to make rocket fuel used in the space shuttle and military <unk>
 in may N an <unk> <unk> plant in henderson owned by an american pacific corp. unit was <unk> by a series of explosions
 after the explosion <unk> temporarily shut down its facility just south of las vegas for a safety inspection
 american pacific and <unk> are the only two u.s. manufacturers of <unk> <unk>
 when the plant was destroyed i think everyone got concerned that the same thing would happen at our plant a <unk> spokeswoman said
 that prompted <unk> to consider moving the potentially volatile storage facilities and <unk> operations away from town
 <unk> said it has purchased N acres from the federal government in clark county and plans to begin construction early next year
 the new facility is expected to begin operations in early N
 the henderson plant will continue its other chemical operations the company said
 this maker of electronic devices said it replaced all five incumbent directors at a special meeting called by milton b. hollander whose high technology holding co. of stamford conn. acquired most of its N N stake in newport in august
 elected as directors were mr. hollander frederick <unk> frederick ross arthur b. <unk> and rose <unk>
 removed from office were george <unk> robert e. davis norman gray john virtue corporate secretary and barrett b. weekes chairman president and chief executive officer
 newport officials did n't respond friday to requests to discuss the changes at the company but earlier mr. weekes had said mr. hollander wanted to have his own team on the board
 <unk> co. japan 's leading cosmetics producer said it had net income of N billion yen $ N million in its first half which ended sept. N
 exact comparisons with the previous year were unavailable because of a change in the company 's fiscal calendar
 the tokyo-based company had net of N billion yen in the previous reporting period which was the four months ended march N
 sales in the first half came to N billion yen compared with N billion yen in the <unk> period
 <unk> predicted that sales for the year ending next march N will be N billion yen compared with N billion yen in the year ended nov. N N
 it said it expects net to rise to N billion yen from N billion yen
 bruce w. <unk> president and chief executive officer was named to the additional post of chairman of this architectural and design services concern
 mr. <unk> N years old succeeds thomas a. bullock N who is retiring as chairman but will continue as a director and chairman of the executive committee
 merger and acquisition activity in the third quarter exceeded the year-earlier pace said merrill lynch & co. 's <unk> <unk> & co. unit in <unk> ill
 a total of N transactions were announced during the latest quarter up N N from the year-earlier period 's N <unk> said
 transactions in which prices were disclosed totaled $ N billion up N N from $ N billion a year earlier the company added
 <unk> counted N transactions valued at $ N billion or more in the latest period twice as many as a year earlier
 the largest was the $ N billion merger creating bristol-myers squibb co
 in the first nine months N transactions were announced up N N from N in the year-earlier period
 transactions in which prices were disclosed totaled $ N billion up N N from $ N billion a year earlier
 citing current stock market conditions and the trend away from highly leveraged transactions <unk> said it was n't certain that the total value of transactions for the year will exceed the record $ N billion in N
 medicine <unk> international inc. declared a <unk> stock split and substantially boosted the dividend payout
 the <unk> of <unk> said the added shares will be distributed dec. N to stock of record nov. N
 the company also changed its dividend policy under which holders had received an annual N <unk> payment by declaring a <unk> dividend to be paid quarterly on <unk> shares
 nbi inc. said that it can not pay the oct. N dividend on its series a convertible preferred stock allowing the stock 's holder to convert the shares into as much as N N of nbi 's shares outstanding
 nbi said that it has the funds to pay the dividend but that it does n't have the surplus or profit required under delaware law for payment of the dividend
 all the preferred stock is held by the <unk> office supply stock ownership plan
 under terms of the stock the <unk> <unk> can demand that the stock be redeemed for $ N on nov. N but nbi said it is legally prohibited from making the redemption
 failure to pay the dividend allows <unk> to convert all or some of its shares into nbi common after nov. N at a conversion price based on nbi 's closing stock price
 nbi a maker of <unk> systems said it ca n't predict if any of the preferred stock will be converted
 nbi also said it has hired prudential-bache securities inc. as its financial adviser and investment banker to help it restructure financially and improve its balance sheet
 insurers may see claims resulting from the san francisco earthquake totaling nearly $ N billion far less than the claims they face from hurricane hugo but the recent spate of catastrophes should jolt property insurance rates in coming months
 the property claims service division of the american insurance services group estimated insured losses from the earthquake at $ N million
 this estimate does n't include claims under workers ' compensation life health <unk> and liability insurance and damage to infrastructure such as bridges highways and public buildings
 the estimated earthquake losses are low compared with the $ N billion in claims that insurers face from hurricane hugo which <unk> through the caribbean and the carolinas last month
 that 's because only about N N of california homes and businesses had earthquake insurance to cover the losses
 however insurance brokers and executives say that the combination of the bay area earthquake hugo and last week 's explosion at the phillips petroleum co. 's refinery in pasadena texas will cause property insurance and reinsurance rates to jump
 other insurance rates such as casualty insurance which would cover liability claims are n't likely to firm right away says alice <unk> an industry analyst with <unk> research in avon conn
 she believes the impact of losses from these catastrophes is n't likely to halt the growth of the industry 's surplus capital next year
 property reinsurance rates are likely to climb first analysts and brokers believe
 the reinsurance market has been <unk> by disasters in the u.s. as well as in great britain and europe says thomas <unk> director of research at <unk> lane inc. in atlanta
 insurers typically retain a small percentage of the risks they underwrite and pass on the rest of the losses
 insurers buy this insurance protection for themselves by giving up a portion of the premiums they collect on a policy to another firm a reinsurance company which in turn <unk> a portion of any losses resulting from this policy
 insurers such as cigna corp. <unk> corp and aetna life & casualty co. buy reinsurance from other <unk> companies and lloyd 's of london for one catastrophe at a time
 after hugo hit many insurers exhausted their reinsurance coverage and had to tap <unk> to replace that coverage in case there were any other major disasters before the end of the year
 after the earthquake two weeks ago brokers say companies scrambled to replace reinsurance <unk> again and lloyd 's syndicates turned to the london market excess lines for protection of their own
 james <unk> senior vice president of <unk> & <unk> inc. a new york-based reinsurance broker says insurers who took big losses this fall and had purchased little reinsurance in recent years will be asked to pay some pretty hefty rates if they want to buy reinsurance for N
 however companies with few catastrophe losses this year and already big buyers of reinsurance are likely to see their rates remain flat or perhaps even decline slightly
 many companies will be negotiating their N reinsurance contracts in the next few weeks
 it 's a seller 's market said mr. <unk> of the reinsurance market right now
 but some large insurers such as state farm mutual automobile insurance co. do n't purchase reinsurance but fund their own program
 a few years ago state farm the nation 's largest home insurer stopped buying reinsurance because no one carrier could provide all the coverage that it needed and the company found it cheaper to <unk>
 the $ N million of losses state farm expects from hugo and an additional $ N million from the earthquake are less than N N of state farm 's $ N billion total net worth
 since few insurers have announced what amount of losses they expect to see from the earthquake it 's impossible to get a clear picture of the quake 's impact on fourth-quarter earnings said herbert <unk> at prudential-bache securities corp
 <unk> expects an after-tax charge of less than $ N million against fourth-quarter net hartford insurance group a unit of itt corp. expects a $ N million or N cents after-tax charge and fireman 's fund corp. expects a charge of no more than $ N million before taxes and after using its reinsurance
 sharp corp. tokyo said net income in its first half rose N N to N billion yen $ N million from N billion yen a year earlier
 the consumer electronics home appliances and <unk> concern said revenue in the six months ended sept. N rose N N to N billion yen from N billion yen
 sales of <unk> products and electric parts increased a strong N N to N billion yen from N billion yen and accounted for N N of total sales
 in audio equipment sales rose N N to N billion yen from N billion yen
 sales of electric appliances were flat and sales of electronic equipment declined slightly
 sharp projected sales for the current year ending march N at N trillion yen a N N increase the previous fiscal year
 it said it expects net to rise N N to N billion yen
 sun microsystems inc. a computer maker announced the effectiveness of its registration statement for $ N million of N N N convertible subordinated debentures due oct. N N
 the company said the debentures are being issued at an issue price of $ N for each $ N principal amount and are convertible at any time prior to maturity at a conversion price of $ N a share
 the debentures are available through goldman sachs & co
 nelson holdings international ltd. shareholders approved a <unk> consolidation of the company 's common stock at a special meeting
 at the same time shareholders approved the adoption of a rights plan and a <unk> voting approval requirement
 they also approved the relocation of the company 's registered office to toronto from vancouver and a name change to <unk> nelson holdings international ltd
 following the consolidation the entertainment company which has film and television operations in beverly hills calif. will have about N million shares outstanding
 the number of authorized common shares will remain at N million
 under the rights plan holders will have one right for each common share held with each right <unk> the purchase of one common share for N canadian dollars
 the rights plan would be triggered if a person or group acquires N N or more of the common shares outstanding without making an offer to all shareholders
 under the <unk> amendment certain mergers and other transactions would require approval of holders of N N of the company 's common shares outstanding
 wilfred american educational corp. said a federal grand jury in boston indicted the operator of <unk> and business schools for mail fraud
 the charges in the <unk> indictment which stem from events that allegedly occurred in late N and early N involve <unk> procedures of six students and the preparation of certain reports wilfred said
 no individuals were charged in the indictment
 wilfred american said it will vigorously defend itself against the charges and added that the charges <unk> to procedures that it has since changed
 eight <unk> representatives at two of wilfred 's former massachusetts schools previously pleaded guilty to charges of <unk> <unk> and counseling students to submit false <unk> applications
 wilfred closed its massachusetts schools earlier this year
 in new york stock exchange composite trading friday wilfred fell N cents to N cents a share
 rally 's inc. said it filed suit in u.s. district court in delaware against a group led by burt sugarman seeking to block the investors from buying more shares
 rally 's a louisville ky. fast-food chain alleges that the three investors who are directors of the company broke securities laws because they did n't disclose their intentions to acquire a big rally 's stake
 the group led by giant group ltd. and its chairman mr. sugarman owns about N N of rally 's
 in the securities and exchange commission filings the group has said it may seek control of rally 's
 mr. sugarman called the lawsuit not nice and said his group will continue to push for control of the company and the removal of certain directors
 he asserts that some directors who have joined forces with company founder james patterson have ties to wendy 's a competing <unk> chain
 the patterson group which controls about N N of rally 's shares also may seek control
 rally 's also said it formed a committee of three directors who are n't associated with either the patterson or sugarman groups to analyze the situation
 leaseway transportation corp. said it will restructure $ N million of certain subordinated debentures to reduce its debt obligations and interest expense
 the N N subordinated debentures due N were issued in august N as part of the $ N million financing for a leveraged buy-out of the company
 leaseway provides transportation services for manufacturers distributors and retailers
 leaseway said it has begun discussions with certain institutional debt holders to review the proposed private placement transaction which would exchange the debt for new subordinated debt instruments and equity securities
 specific terms are subject to review and a final agreement with debt holders the company said
 but the proposed transaction calls for an exchange of the debt for new debentures of lower face value and reduced cash interest
 also debt holders would be offered an equity position in leaseway which in total would represent a controlling interest in the company
 drexel burnham lambert inc. is the adviser on the transaction
 company officials said leaseway <unk> payment requirements of its debt obligations since the leveraged buy-out but our performance since the buy-out makes it <unk> to implement actions that will further improve our cash flow
 nicaraguan president daniel ortega may have accomplished over the weekend what his u.s. <unk> have failed to do revive a constituency for the contra rebels
 lawmakers have n't publicly raised the possibility of renewing military aid to the contras and president bush <unk> the question at a news conference here saturday saying only that if there 's an <unk> military offensive that 's going to change the equation N degrees
 but mr. ortega 's threat over the weekend to end a <unk> cease-fire with the rebels seeking to topple him effectively <unk> the contras as a policy priority just as they were slipping from the <unk> of their most <unk> supporters
 senate majority leader george mitchell d. maine said yesterday on <unk> 's meet the press that mr. ortega 's threat was a very <unk> move particularly the timing of it
 the threat came during a two-day celebration in costa rica to highlight central america 's progress toward democracy in the region attended by president bush canadian prime minister brian <unk> and N other western <unk> leaders
 mr. bush returned to washington saturday night
 mr. ortega announced on friday that he would end the cease-fire this week in response to the periodic contra <unk> against his army
 saturday he amended his remarks to say that he would continue to <unk> by the cease-fire if the u.s. ends its financial support for the contras
 he asked that the remaining u.s. humanitarian aid be diverted to <unk> and <unk> the rebels
 not only did mr. ortega 's comments come in the midst of what was intended as a <unk> for the region it came as nicaragua is under special international scrutiny in anticipation of its planned february elections
 outside observers are gathering in nicaragua to monitor the registration and treatment of opposition candidates
 and important u.s. lawmakers must decide at the end of november if the contras are to receive the rest of the $ N million in so-called humanitarian assistance under a bipartisan agreement reached with the bush administration in march
 the humanitarian assistance which pays for supplies such as food and clothing for the rebels <unk> along the nicaraguan border with honduras replaced the military aid cut off by congress in february N
 while few lawmakers anticipated that the humanitarian aid would be cut off next month mr. ortega 's threat practically guarantees that the humanitarian aid will be continued
 senate minority leader robert dole r. <unk> said yesterday on meet the press i would hope after his mr. ortega 's act yesterday or the day before we 'd have <unk> support for quick action on remaining humanitarian aid
 sen. dole also said he hoped for <unk> support for a resolution he plans to offer tomorrow <unk> the nicaraguan leader
 while renewing military aid had been considered out of the question rejected by congress and <unk> by the bush administration mr. ortega 's statement provides contra supporters with the opportunity to press the administration on the issue
 the administration should now state that if the february election is <unk> by the sandinistas they should call for military aid said former assistant secretary of state elliott abrams
 in these circumstances i think they 'd win
 sen. mitchell said that congressional democrats intend to honor the march agreement to give <unk> support to the contras through the february elections although he added that the agreement requires that the contras not <unk> any military action
 mr. ortega 's threat to breach the cease-fire comes as u.s. officials were acknowledging that the contras have at times violated it themselves
 secretary of state james baker who accompanied president bush to costa rica told reporters friday i have no reason to deny reports that some contras <unk> some sandinista soldiers
 mr. baker 's assistant for <unk> affairs bernard <unk> while maintaining that the sandinistas had also broken the cease-fire acknowledged it 's never very clear who starts what
 he added that the u.s. has cut off aid to some rebel units when it was determined that those units broke the cease-fire
 in addition to <unk> arguments in favor of ending contra aid mr. ortega 's remarks also played to the <unk> of some u.s. officials and conservatives outside the government that he is searching for ways to manipulate or <unk> the february elections
 administration officials traveling with president bush in costa rica interpreted mr. ortega 's <unk> as a sign that he is n't responding to the military attacks so much as he is searching for ways to strengthen his hand prior to the elections
 mr. abrams said that mr. ortega is seeking to <unk> the contras prior to the elections to remove any pressure to hold fair elections
 my sense is what they have in mind is an excuse for <unk> down on <unk> by creating an atmosphere of a military emergency he said
 milton petrie chairman of petrie stores corp. said he has agreed to sell his N N stake in deb shops corp. to petrie stores
 in a securities and exchange commission filing mr. petrie said that on oct. N petrie stores agreed to purchase mr. petrie 's N deb shops shares
 the transaction will take place tomorrow
 the filing said petrie stores of <unk> n.j. is purchasing mr. petrie 's deb shops stake as an investment
 although petrie stores has considered seeking to acquire the remaining equity of deb stores it has no current intention to pursue such a possibility the filing said
 <unk> deb shops said it saw little significance in mr. petrie selling his stock to petrie stores
 we did n't look at it and say oh my god something is going to happen said stanley <unk> vice president and corporate counsel
 mr. <unk> said that mr. petrie or his company have been <unk> deb shops stock for several years each time issuing a similar regulatory statement
 he said no discussions currently are taking place between the two companies
 <unk> corp. said unconsolidated pretax profit increased N N to N billion yen $ N million in the first half ended sept. N from N billion yen a year ago
 the tokyo camera maker said net income more than doubled to N billion yen or N a share from N billion yen or N yen a share
 <unk> said sales rose despite the adverse effect of japan 's unpopular consumption tax introduced in april
 increasing personal spending and capital investment are fueling growth the company said
 rising export sales also contributed to strong growth <unk> added
 total sales gained N N to N billion yen from N billion yen
 exports made up N N of the latest year 's total up from N N a year ago
 camera sales showed the strongest gains rising N N to N billion yen
 <unk> forecast sales for the year ending march N will rise N N to N billion yen
 pretax profit is expected to increase N N to N billion yen and net income is expected to rise N N to N billion yen
 <unk> oil co. said it signed a definitive agreement to acquire gulf canada resources ltd. 's u.s. unit for $ N million
 <unk> a denver oil and gas concern said it will acquire the properties and operations of home petroleum corp. which includes two regional <unk> systems and proved reserves of about nine million barrels of oil and N billion cubic feet of natural gas
 <unk> said the properties are generally <unk> in wyoming north <unk> texas oklahoma and louisiana
 gulf canada calgary said the transaction is part of its plan to sell <unk> assets and focus operations on canada indonesia and other international areas
 a spokesman for gulf canada which is controlled by toronto 's <unk> family said the properties account for about N N of the company 's assets and produce about N barrels of oil and N million cubic feet of gas a day
 he said gulf canada will likely report an extraordinary gain from the sale in the fourth quarter but he would n't offer a specific estimate
 the transaction is expected to close by nov. N
 nec corp. a tokyo-based computer and electronics concern said net income rose N N to N billion yen $ N million in the fiscal first half ended sept. N from N billion yen a year earlier
 sales rose N N to N trillion yen from N trillion yen
 nec said first-half computer sales totaled N billion yen up N N from N billion yen a year earlier
 sales of electrical devices rose N N to N billion yen from N billion yen
 it said sales of home electronic products advanced N N to N billion yen from N billion yen
 in the period just ended computers accounted for N N of total sales nec said and electrical devices made up N N
 nec forecast sales for the year ending next march N of N trillion yen an increase of N N from the previous fiscal year
 it said net income will rise N N to N billion yen
 montedison <unk> definitively agreed to buy all of the publicly held shares of erbamont n.v. for $ N each
 montedison now owns about N N of erbamont 's shares outstanding
 the companies said the accord was unanimously approved by a special committee of erbamont directors <unk> with montedison
 under the pact <unk> will make a $ <unk> tender offer for erbamont stock outstanding
 the tender offer will be followed by the sale of all of erbamont 's assets subject to all of its liabilities to montedison
 erbamont will then be liquidated with any remaining erbamont holders receiving a distribution of $ N a share
 the companies said the transaction is being structured this way because the laws of the netherlands <unk> under which erbamont is organized do n't provide for merger transactions
 a unit of dpc acquisition partners launched a $ <unk> tender offer for the shares outstanding of dataproducts corp. and said it would seek to liquidate the <unk> maker as soon as possible even if a merger is n't <unk>
 dpc acquisition is controlled by <unk> investment associates wilson investment group <unk> corp. and catalyst partners
 the investor group owns N dataproducts common shares or a N N stake
 the offer is based on several conditions including obtaining financing
 dpc acquisition said it had received the reasonable assurance of chase manhattan bank <unk> that the financing can be obtained
 in a filing with the securities and exchange commission dpc acquisition said it expects it will need about $ N million to buy the shares and pay related fees and expenses
 dpc acquisition added that it has not begun discussions with financing sources and said it expected to repay the amounts borrowed through proceeds of the liquidation
 dataproducts officials declined to comment and said they had not yet seen a suit filed in federal court by dpc acquisition that seeks to <unk> a standstill agreement between dpc acquisition and dataproducts
 earlier this year dpc acquisition made a $ <unk> offer for dataproducts which the dataproducts board said it rejected because the $ N million offer was not fully financed
 dataproducts has since started a restructuring and has said it is not for sale
 jayark corp. agreed to pay $ N million in cash $ N million of N N convertible debentures and N million common shares to acquire closely held <unk> imports inc
 in over-the-counter trading friday jayark was quoted at N cents bid down N cents
 at the market price the transaction has a total indicated value of $ N million
 <unk> is a new york holding company for <unk> inc. which imports furniture and other items
 david l. <unk> president and chief executive officer of jayark holds about N N of <unk> jayark said
 jayark new york distributes and <unk> <unk> equipment and prints promotional ads for retailers
 in the quarter ended july N jayark had an average of N million shares outstanding
 the transaction is subject to approval by a panel of <unk> directors the company said adding that shareholder approval is n't needed
 <unk> co. a tokyo-based <unk> concern said net income in its first half rose N N to N billion yen $ N million from N billion yen a year earlier
 sales in the six months ended sept. N were up N N to N billion yen from N billion yen
 sales were higher in all of the company 's business categories with the biggest growth coming in sales of <unk> such as <unk> coffee and frozen food which rose N N
 oils and <unk> also did well posting a N N sales increase
 sales in the category that includes pharmaceuticals <unk> <unk> and chemicals rose N N
 <unk> predicted sales in the current fiscal year ending next march N of N billion yen compared with N billion yen in fiscal N
 it said it expects full-year net of N billion yen compared with N billion yen in the latest year
 the new york mercantile exchange the world 's chief oil futures marketplace is at a critical <unk>
 several longtime observers of the commodities industry think the fortunes of the merc over the next decade will be determined to a large extent by how well its new natural gas futures contract does and how successful its new president is in raising the level of compliance by floor traders with exchange and commodity futures trading commission rules
 if the exchange <unk> in these moves they say it might once again fall behind its chief new york competitor the commodity exchange
 on friday the merc 's board announced that it had approved <unk> pipe line co. 's henry hub in <unk> <unk> as the delivery site for its long-awaited natural gas futures contract
 it also said that it would start trading the contract as soon as the cftc approved it
 the cftc has N days to respond to such applications
 the merc first started working on developing this contract in N
 only three weeks earlier the merc had turned to one of its own executives 40-year-old r. patrick thompson to replace <unk> t. <unk> as president
 mr. thompson is believed to have a mandate from the board of directors to help improve the merc 's <unk> reputation as an exchange whose floor traders do n't follow the rules very well
 ms. <unk> had been forced out in july in a bitter power struggle with <unk> <unk> <unk> chairman and a longtime floor trader on the exchange
 mr. <unk> told one person familiar with the new york exchanges during the search for a replacement that he was looking for a president who would be responsive to the needs of the membership and the board
 mr. thompson first came to the exchange in N and has been executive vice president since march N
 he previously held posts of senior vice president of compliance and senior vice president and general counsel
 by contrast the comex in july imported a highly regarded outsider arnold f. <unk> as its president
 mr. <unk> N was a senior officer of the philadelphia stock exchange and is considered a specialist in new financial products
 mr. thompson is n't <unk> of experience with new products however
 for the past two years he said he and the exchange 's research department have been working on the new natural gas contract seeking a good delivery site and studying the natural gas market
 our members are eager to begin trading this contract so we expect no difficulty in attracting <unk> to the natural gas pit he said
 the educational effort of teaching companies in the natural gas industry how to use the futures to hedge would have to continue for another a year or two he added
 the merc 's extremely successful contracts in crude oil gasoline and heating oil have made it the largest futures exchange in new york and third behind the chicago board of trade and chicago mercantile exchange
 in a recent interview mr. thompson said the biggest problem facing all commodity exchanges was one of image
 earlier this year the u.s. attorney indicted N floor traders and one clerk at the two big chicago exchanges
 federal authorities in new york started investigating exchanges in may though no <unk> have been handed down there
 so far they have issued scores of <unk> some of which went to members of the new york merc
 mr. thompson will have to face some of the consequences of those <unk>
 in a recent general accounting office study the merc was found to have been the most <unk> in <unk> exchange rules
 it <unk> the smallest number of <unk> of traders and fines of the four largest commodity exchanges studied over the past five years
 it also had both the <unk> and least experienced investigators per million contracts traded
 the merc received considerable criticism in N when it was discovered that its compliance director kevin p. conway who then was responsible for <unk> the exchange 's busy oil and metal pits was engaged in other personal business activities on exchange time including <unk> trips according to a new york merc report prepared last year
 mr. conway is no longer at the exchange
 we had a management breakdown in N in terms of compliance mr. thompson says
 we recognized the problem and took care of it
 he says that even if the natural gas contract boosts volume at the exchange strongly the N business plan calls for having adequate compliance people to ensure that exchange rules are being followed
 for years the five new york exchanges have been talking about <unk> in various aspects of their business in order to improve the efficiency of their operations
 <unk> there has even been talk of mergers between one or more exchanges
 so far there is little to show for such efforts
 mr. thompson believes the case for working together is stronger now than ever
 the cost of competition has become extremely high he says
 we must find ways to save money for the futures commission merchants who do business on our exchanges
 he thinks that progress in cooperation can be made in areas where no vested interests have built up
 one of those areas is the development of a hand-held electronic device that would permit floor traders to enter trades as they make them
 the <unk> has recommended the creation of a system to record trade data so that an independent <unk> audit trail can be established to prevent customer fraud
 the merc is now <unk> with the comex in developing such a device to provide such an audit trail
 the chicago exchanges also are working on such a device
 another major electronics problem faces mr. thompson the creation of a 24-hour trading system that can be used outside normal trading hours
 in january the new york merc signed a letter of intent with the chicago merc as a preliminary step to joining their electronic system called <unk>
 but in may the chicago merc said it was looking into creating a common system with the chicago board of trade and it suspended negotiations with the new york merc
 mr. thompson says his exchange is n't waiting for the results of the chicago exchanges ' cooperation
 it recently began a pilot program to test an electronic trading system called <unk> the automated trading system created by the international commodities clearing house
 looking ahead to commodity markets this week
 copper
 michael <unk> metals trader for painewebber inc. in new york said there is good technical support between $ N and $ N a pound for december copper which ended friday at $ N a pound up N cents
 he views the $ N to $ N range as a buying opportunity and considers the market <unk>
 i think the market could pop up to the $ N to $ N level without too much difficulty he said
 but he said it wo n't climb further and he expects it to remain in a trading range between $ N and $ N
 he noted that the equity markets will set the tone for the industrial metals this week and traders should keep an eye on wall street
 william <unk> research director for elders futures inc. in new york said for a rally to occur there must be demand from the far east
 he added that talk of strike settlements at producing mines has been fully discounted
 however to resume the bull trend according to mr. <unk> copper would have to close over $ N
 he said there are two reports this week that might affect prices the purchasing managers report on wednesday and the unemployment report on friday
 precious metals
 friday 's strong price gains confirmed a turnaround in the precious metals markets according to painewebber 's mr. <unk>
 most traders will be looking to buy on <unk> he said
 he thought the moves in the metals last week were most influenced by the uncertainty in the equity and other financial markets
 according to mr. <unk> floor traders say there is good support for december gold in the $ N to $ N per ounce area around $ N an ounce for december silver and in the $ N to $ N an ounce range for january platinum
 william <unk> research director for elders futures inc. in new york said the price action for all of last week is the best he has seen on a weekly basis in more than a year
 he said last week 's activity in gold could <unk> a move to $ N an ounce for the december contract
 he also said traders should keep an eye on the stock market because if the stock market rallies that could <unk> trouble for the precious metals
 he said traders should be on the <unk> for how metals producers react to this rally
 i expect to see some selling but will they kill this one as they have every rally in the recent past by selling and <unk> in prices for their production
 he noted that for the first time in months there was some light investor interest in the metals
 grains and soybeans
 prices this week will likely be dominated by reports on the progress of the corn and soybean harvest as well as by speculation about more purchases of u.s. crops by the soviet union
 in recent weeks warm and dry weather has <unk> the midwest harvest and that is permitting farmers to rebuild the <unk> that were cut by the N drought
 if the weather allowed farmers to work in their fields over the weekend many midwest grain elevators will probably sell futures contracts today at the chicago board of trade in order to hedge their weekend purchases from farmers
 that selling of futures contracts by elevators is what helps keep downward pressure on crop prices during the harvest
 traders will also watch for whether the soviet union continues its traditional fall buying of u.s. grain
 so far this month the soviets have bought about N million metric tons of u.s. corn
 there may be some activity in soybean prices this week as investors try to get rid of the contract for november delivery
 investors usually do n't want to take physical delivery of a contract <unk> instead to profit from its price swings and then end any obligation to take delivery or make delivery as it <unk> expiration
 employees of the globe and mail a thomson corp. newspaper in toronto voted to accept a tentative contract agreement saturday <unk> a strike at canada 's leading daily
 under the terms of the three-year contract similar to one reached at <unk> corp. 's toronto star newspaper earlier this month the N globe and mail workers will see a raise of N N in the contract 's first year and N N in each of the following two years
 <unk> <unk> vice chairman of the southern ontario newspaper guild the union representing the workers said thomson made significant concessions in the final round of talks
 in addition to wage increases the union negotiated improved vacation plans benefit packages and pension plans mr. <unk> said
 he said more than N N of the bargaining unit voted in favor of the agreement
 wall street is just about ready to line the <unk> <unk> with paper stocks
 for three years a healthy economy and the <unk> effects of a weak dollar propelled sales and earnings of the big paper companies to record levels
 as the good times rolled they more than doubled their prices for pulp a raw material used in all sorts of paper to $ N a metric ton this past spring from $ N a ton at the start of N
 but now the companies are getting into trouble because they <unk> a record expansion program while they were raising prices sharply
 third-quarter profits fell at several companies
 put your money in a good utility or bank stock not a paper company advises george <unk> of smith barney
 other analysts are nearly as pessimistic
 gary <unk> of oppenheimer & co. expects a N N decline in earnings between now and N for <unk> paper companies which account for the majority of the industry
 robert <unk> of duff & phelps sees <unk> stock prices falling N N to N N in N perhaps N N if there 's a recession
 paper companies concede that business has been off recently
 but they attribute much of the weakness to customer inventory reductions
 generally they maintain that barring a recession and a further strengthening of the dollar against foreign currencies the industry is n't headed for a prolonged slump
 it wo n't be an <unk> drop a weyerhaeuser spokesman says
 last week mr. <unk> lowered his rating from hold to avoid on <unk> cascade champion international great northern nekoosa international paper louisiana pacific and weyerhaeuser
 oppenheimer 's mr. <unk> meanwhile is steering clear of <unk> container stone container and federal paper board
 mr. <unk> is cool to georgia pacific and <unk>
 lawrence ross of painewebber would avoid union camp
 the companies in question believe the analysts are too pessimistic
 great northern nekoosa said the odds of the dire predictions about us being right are small
 international paper <unk> that it is better positioned than most companies for the coming overcapacity because its individual mills can make more than one grade of paper
 a <unk> spokesman referred to a speech by chairman john <unk> in which he said that markets generally are stable although some risk of further price deterioration exists
 stone container chairman roger stone said that unlike for some other paper products demand for stone 's principal commodity <unk> <unk> remains strong
 he expects the price for that product to rise even more next year
 <unk> container said analysts are skeptical of it because it 's carrying a lot of debt
 champion international said we 've gotten our costs down and we 're better positioned for any cyclical downturn than we 've ever been
 louisiana pacific and georgia pacific said a number of other analysts are recommending them because of their strong <unk> business
 federal paper board said we 're not as exposed as the popular perception of us
 the company explained that its main product <unk> <unk> which goes into some advertising materials and white boxes historically does n't have sharp price swings
 because the stock prices of some paper companies already reflect an expected profit slump painewebber 's mr. ross says he thinks that next year the share prices of some companies may fall at most only N N to N N
 a company such as federal paper board may be overly discounted and looks <unk> to him he says though he is n't yet recommending the shares
 wall street is n't avoiding everything connected with paper
 mr. <unk> recommends <unk> explaining that it is virtually the sole major paper company not <unk> a major capacity expansion and thus should be able to lower long-term debt substantially next year
 a <unk> spokesman said the company expects record earnings in N and we 're still pretty bullish on N
 the analysts say their gloomy forecasts have a <unk> side
 some take a warm view of <unk> paper companies which buy pulp from the commodity producers and should benefit from the expected declines in pulp prices
 estimates on how much pulp prices will fall next year currently run between $ N and $ N a metric ton
 analysts agree that the price drop should especially benefit the two big tissue makers scott paper and <unk>
 a spokesman for scott says that assuming the price of pulp continues to soften we should do well
 <unk> 's inc. said it will report a write-off of $ N million or seven cents a share for its fourth quarter ended yesterday
 the restaurant operator cited transaction costs from its N recapitalization as a result of a $ N million restructuring of its bank debt
 the write-off will be reported as an extraordinary item in the company 's N operating results
 in addition the effective interest rate on the $ N million of total remaining bank debt after the restructuring is N N
 the combined effect of these changes is expected to save the company about $ N million in interest expenses next year or six cents a share
 <unk> 's said the latest restructuring affected bank <unk> that was incurred to finance $ N million of the company 's $ N million recapitalization that took place in
 the company has made payments of $ N million against the original $ N million of bank debt incurred in connection with the recapitalization
 these payments <unk> of $ N million in scheduled payments and $ N million in prepayments funded by $ N million from operating cash flow zero-coupon subordinated debt and assets sales
 <unk> asea brown boveri <unk> said it signed a contract for the <unk> power plant order in the netherlands
 <unk> said the contract signed with the dutch utility n.v <unk> <unk> is valued in excess of $ N million
 the accord is for a <unk> plant at the <unk> power station <unk> in amsterdam
 <unk> asea brown boveri is the dutch unit of the <unk> electrical engineering group <unk> asea brown boveri ag
 <unk> said a significant portion of the order will be placed with dutch <unk> adding that a group has been set up for this purpose
 the dutch utility firm serves the amsterdam and <unk> areas
 the planned <unk> plant is expected to go into operation in N
 nissan motor co. expects net income to reach N billion yen u.s. $ N million in its current fiscal year up from N billion yen in the previous year <unk> kume president said
 mr. kume made the earnings projection for fiscal N ending next march N in an interview with u.s. automotive writers attending the tokyo motor show
 the executive said that the anticipated earnings increase is fairly modest because nissan is spending heavily to bolster its dealership network in japan and because of <unk> fluctuations
 during the next decade mr. kume said nissan plans to boost overseas vehicle production sufficiently to account for a majority of sales outside japan
 last year mr. kume said nissan exported slightly over one million vehicles and produced N cars and trucks at its factories in north america europe and australia
 but by N he added nissan will build one million vehicles a year outside japan or sufficient to equal exports
 by the end of the 1990s he said we want to be producing roughly two vehicles overseas for every vehicle that we export from japan
 that will involve a substantial increase in overseas manufacturing capacity he acknowledged but did n't provide specific details
 national intergroup inc. said it expects to report a charge of $ N million related to the sale of its aluminum unit 's <unk> division for the third quarter
 the company said it has agreed to sell the <unk> division for $ N million to <unk> werner co. a closely held firm based in greenville pa
 the charge is offset by an after-tax gain of about $ N million in the quarter from the previously announced pact to sell national aluminum 's rolling division
 national intergroup in the year-ago third quarter earned $ N million or N cents a share including a gain of $ N million from the sale of a steel tube company
 revenue was $ N million
 the company also said it continues to explore all options concerning the possible sale of national aluminum 's N N stake in an aluminum <unk> in <unk> <unk>
 the sale of the <unk> division is subject to audit adjustments for working capital changes through the closing
 the agreement also provides for potential payments of additional proceeds to national aluminum over the next two years depending on the plant 's shipping levels
 the <unk> unit produces <unk> and painted custom <unk> for building products and construction industries
 in fiscal N it had sales of about $ N million and an operating loss of $ N million
 the municipal bond market is bracing for tough times through the end of the year as it struggles to absorb an <unk> of bonds and two of its best customers turn into sellers
 commercial banks and property\/casualty insurers which together own about N N of all municipal bonds have been <unk> their securities for weeks
 last week traders said there were three institutional sellers for every buyer
 every day we 're getting new bid lists from would-be sellers one trader said
 most dealers can not continue to absorb this supply
 as a result yields on long-term <unk> bonds now stand at about N N of long-term treasury yields the highest such level in more than two years
 there is incredible negative psychology building in the market said <unk> <unk> a vice president at merrill lynch & co
 people are very concerned about who is going to step up to the plate and buy municipal bonds in the absence of institutional buyers
 the yield on a group of N revenue bonds compiled by the bond buyer a trade publication now exceeds N N
 at this week 's new york city bond sale traders expect yields on the 20-year new york bonds to nearly match the N N yield on 30-year treasury bonds
 for an investor in the N N federal tax <unk> N N tax-free is the same as N N on a taxable investment
 that 's a <unk> yield nearly three percentage points more than the current yield on 30-year treasury bonds
 how quickly things change
 this past summer investors ' appetite for municipal bonds seemed <unk>
 individuals eager for tax-free income drove up bond prices making state and local government debt one of the <unk> types of fixed-income investments during the period
 but while analysts say that municipal bonds still offer good value you would n't know it by the way institutional investors are rushing to dump their holdings
 bond market analysts say the institutional selling was triggered by several factors
 big banks such as chemical bank and chase manhattan which have been taking heavy charges to expand their third world loan-loss reserves are n't looking for tax-exempt income
 we do n't need the shelter of tax-free bonds said a spokeswoman at chemical
 in recent weeks traders said chemical has sold more than $ N billion of tax-free bonds
 the spokeswoman confirmed that the bank has significantly reduced its <unk> holdings but could n't immediately confirm the amount
 insurance companies are rushing to sell before the end of the year when some of their tax benefits associated with municipal bonds will be phased out
 there is speculation that property\/casualty firms will sell even more <unk> as they scramble to raise cash to pay claims related to hurricane hugo and the northern california earthquake
 fundamental factors are at work as well
 <unk> bond holders are worried about the impact of a slowing economy on tax revenue at a time when many state and local governments already face budget deficits and huge spending needs
 the recent natural disasters and the need of many other cities to rebuild crumbling infrastructure suggests that supply of new issues will continue to rise sharply even as demand <unk> off
 there is just so much going on that it 's difficult to pick just one factor that 's driving the market said ronald ian heller vice president at first chicago capital markets inc. a subsidiary of first chicago corp
 some of the recent selling could actually be considered a positive sign
 mutual funds for example are said to be selling existing municipal bonds to raise cash to buy new issues
 because municipal bonds yields have risen at a time when interest rates generally have fallen some portfolio managers are assuming that bonds bought now will appreciate in value as the municipal bond market <unk>
 ms. <unk> believes that the mutual funds are selling <unk> bonds that have a negative <unk> those that have <unk> in price slowly relative to the decline in interest rates
 such bonds she says are those that are <unk> their call date
 but traders said the market 's tone could pick up this week if new york city 's $ N million bond offering goes well
 the offering will include $ N million of 20-year tax-exempt bonds and $ N million of taxable bonds
 a few weeks ago new york sold $ N million of <unk>
 new york city bonds have been beaten down for three straight weeks
 on friday some issues fell nearly one point or close to $ N for each $ N face amount
 the sell-off in new york city bonds was triggered by concerns about the city 's financial health and political uncertainty in view of the impending mayoral election
 the city 's economy is growing weaker and expenditures are rising as tax revenue is falling
 the city has issued so much supply recently that some people are getting a little concerned
 they 'd like to see some other names in their portfolios said michael s. <unk> first vice president at shearson lehman hutton
 but he thinks investors may be <unk> to the market 's problems
 overall he says municipal prices are very cheap and represent an excellent buying opportunity
 friday 's market activity
 treasury bonds fell sharply on confusion about this week 's treasury debt auction and rumors that a major japanese investor was unloading large amounts of long-term bonds
 the treasury 's benchmark 30-year bond ended at a price of N N down nearly N point from thursday or about $ N for each $ N face amount
 the issue 's yield rose to N N from N N
 late thursday the treasury said it needed to raise $ N billion quickly and would do so by issuing new securities this week
 credit market analysts expected the treasury to cancel today 's three-month and six-month sale and to sell $ N billion of cash management bills
 instead the treasury announced it would sell $ N billion of <unk> cash management bills today and said that the weekly sale of $ N billion of three-month and six-month bills will take place today as usual but the sale will settle tomorrow instead of thursday
 by moving the settlement date ahead the treasury can raise money under the $ N trillion debt ceiling that is in effect through tomorrow after which it <unk> to $ N trillion
 the market also was hurt by rumors that nippon kangyo <unk> a japanese brokerage firm was unloading some of the 30-year bonds it recently purchased
 one dealer said the talk was that the firm sold about $ N million of bellwether 30-year bonds
 the firm is thought to have purchased up to $ N billion of 30-year bonds in a buying spree on wednesday and the previous thursday
 dealers say the firm apparently has wanted to <unk> its recent buying and subsequent selling of 30-year bonds by using <unk> <unk> securities corp. as a broker
 <unk> provides price quotes to telerate systems inc. a widely used electronic system
 nippon kangyo 's moves <unk> traders and created confusion among potential investors many of whom decided to stay out of the market
 as a result of its large-scale buying some analysts now say that liquidity or the ability to easily buy and sell has been <unk> in the benchmark treasury bond issue
 in other markets
 the junk bonds of rjr nabisco inc. rallied friday on news that the company is selling its candy bar brands to nestle foods corp. for $ N million
 the sale price which was above wall street expectations sent many rjr securities up by one point
 it shows that there are buyers of high-quality assets at high prices in today 's market said robert long managing director and head of the high-yield research department at first boston corp
 many of the rjr securities which had been trading near their 52-week lows earlier in the session bounced back after the company 's announcement that it agreed to sell its baby ruth <unk> and <unk> candy businesses to nestle foods a unit of the <unk> food concern
 the sale expected to close before the end of the year also includes a manufacturing plant in franklin park ill
 rjr 's subordinated discount debentures of N which traded as low as N friday finished the day at N N
 other rjr securities also closed higher
 rjr holdings capital corp. 's N N convertible <unk> securities maturing in N closed N higher at N N after trading as low as N N
 most other junk bond issues finished a <unk> lower on rumors that campeau corp. was filing for protection from creditors under chapter N of the bankruptcy code
 a spokesman for campeau called the rumors ridiculous
 most investment-grade bonds fell N to N point
 mortgage securities fell N to N but held up better than intermediate treasurys
 dealers said some defensive investors were buyers of mortgages as were dealers seeking collateral for remics priced earlier last week
 among major issues government national mortgage association N N securities for november delivery ended at N N down N point for a yield of about N N to a 12-year average life assumption
 the premium the elderly pay for coverage of doctor 's bills under part b of the medicare health insurance plan will rise to $ N a month in N from $ N the department of health and human services said
 in addition a second part b premium to cover the cost of the new program of insurance against catastrophic illness will rise to $ N a month from $ N if congress does n't change the program
 the house has voted to repeal most of the catastrophic coverage act of N however which would end the monthly <unk> premium as well as an unpopular income <unk> paid by about N N of the <unk> medicare beneficiaries
 under a <unk> senate plan the <unk> monthly premium would continue rising to $ N next year but the <unk> would be abolished
 medicare part b pays N N of a <unk> 's <unk> doctor 's bills after an annual deductible of $ N
 the catastrophic coverage act would add a stop-loss provision next year to limit the maximum beneficiaries must pay for doctors
 both the house and senate bills to reduce the cost and coverage of the <unk> plan would eliminate the cap on doctor 's bills
 if the house <unk> in its efforts to kill the <unk> plan the monthly part b premium will be $ N next year
 if the senate plan <unk> the premium will be $ N with the additional $ N going to pay for expanded hospital coverage under part a of medicare
 most of part a 's costs are paid by a payroll tax on workers and employers
 lockheed corp. said it will trim its <unk> systems work force in california and georgia by several hundred workers reflecting the defense industry 's decline
 the lockheed unit has N workers it expects to make the cuts through a combination of <unk> <unk> and <unk>
 the reductions should be complete by the end of the year a spokesman said adding that the exact number to be cut has n't been determined
 lockheed reported a $ N million third-quarter net loss largely because of cost overruns on fixed-price military contracts
 noting that other defense contractors are complaining of losses on such contracts analysts say taxpayers have been getting <unk> bargains on weapons systems in recent years
 defense contractors can not continue to get contracts on that basis said howard <unk> an analyst with <unk> lawrence morgan grenfell inc. in new york
 the pain is too great
 jim <unk> industries ltd. one of a group of closely held companies owned by entrepreneur james <unk> said it intends to seek control of <unk> innopac inc. a toronto packaging concern
 jim <unk> industries a holding company with annual sales of about c$ N billion largely from car dealerships and grocery stores did n't elaborate on the statement and a company official declined further comment
 the company said it currently holds about N million of innopac 's N million common shares outstanding which have an <unk> market value of about N million canadian dollars us$ N million
 separately innopac reported a fourth-quarter loss of about c$ N million or N canadian cents a share reflecting inventory write-downs
 the results made net income for the year ended aug. N c$ N million or N canadian cents a share down from c$ N million or N canadian cents a share last year
 revenue was c$ N million up from c$ N million in N
 martin <unk> innopac 's president and chief executive said innopac viewed mr. <unk> 's decision to seek control as a very positive move
 i 'm happy that he feels <unk> about our company he said
 mr. <unk> would n't say directly whether mr. <unk> has disclosed potential terms for his planned bid for control
 among other things innopac is involved in recycling <unk> foam products that are often used by fast food chains such as mcdonald 's corp. for food packaging
 a joint venture involving units of innopac and mobil corp. earlier this year opened the first u.s. <unk> recycling plant in <unk> mass
 program trading is being <unk> by more securities firms but big institutional investors are expected to continue the practice further <unk> the stock market
 <unk> to criticism bear stearns morgan stanley and oppenheimer joined painewebber in <unk> stock-index arbitrage trading for their own accounts
 still stock-index funds are expected to continue launching big programs through the market
 several big board firms are organizing to complain about program trading and the exchange 's role in it
 the effort is being led by contel
 personal spending rose N N in september the smallest gain in a year
 the slowdown raises questions about the economy 's strength because spending fueled much of the third-quarter gnp growth
 meanwhile personal income edged up N N
 factory owners are buying new machinery at a healthy rate this fall <unk> makers say
 but weak car sales raise questions about future demand from the auto sector
 southern 's gulf power unit may plead guilty this week to charges it illegally <unk> company money to politicians through third parties
 the tentative pact would resolve part of a broad investigation of the atlanta-based company in the past year
 lin broadcasting and bellsouth sweetened their plan to merge cellular phone operations offering lin holders a special $ <unk> payout
 but the new pact will force huge debt on the new firm and could still fail to thwart rival suitor mccaw cellular
 unisys posted a $ N million loss for the third quarter as it moved quickly to take write-offs for various problems and prepare for a turnaround
 but some analysts wonder how strong the recovery will be
 rjr nabisco agreed to sell three candy businesses to nestle for $ N million
 the accord helps rjr pay off debt and boosts nestle 's N N share of the u.s. candy market to N N
 gm and ford are expected to go head to head in the markets to buy up rival N N stakes in jaguar
 gm confirmed it received u.s. antitrust clearance to boost its holding
 sansui electric agreed to sell a N N stake to polly peck of britain for $ N million
 still analysts said the accord does n't suggest japan is opening up to more foreign takeovers
 kellogg suspended work on a $ N billion cereal plant indicating a pessimistic outlook by the cereal maker which has been losing market share
 insurers could see claims totaling nearly $ N billion from the san francisco earthquake far less than the $ N billion from hurricane hugo
 nashua strengthened its <unk> plan after announcing a dutch firm is seeking to buy up to N N of the new hampshire <unk> company
 mobil is cutting back its u.s. oil and gas exploration and production group by up to N N as part of a restructuring of the business
 markets
 stocks volume N shares
 dow jones industrials N off N transportation N off N utilities N up N
 bonds shearson lehman hutton treasury index N off
 commodities dow jones futures index N up N spot index N off N
 dollar N yen off N N marks off N
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 thomas jefferson sold congress on the idea of the <unk> system for currency thus saving americans the headaches of pounds <unk> and pence
 but he struck out with the <unk> system of metric <unk> and measures the french had invented
 instead congress opted for the inches feet and yards the <unk> had brought with them
 americans did n't dislike <unk> they simply ignored them
 scientists felt differently
 in N the swiss <unk> who headed the u.s. coast and <unk> survey made an iron <unk> that he had brought from europe the standard of measure
 by the end of the century scientists had embraced the system
 businessmen took their <unk> from the engineers
 when congress finally passed the metric conversion act in N industry was far ahead
 because the law made compliance voluntary it inspired little more than jokes
 the press had a field day with questions about what would happen to <unk> <unk> and <unk>
 today though the public is barely aware much of u.s. industry particularly companies manufacturing or selling overseas have made <unk> routine
 general motors for example uses metric terms for its automobile bodies and power trains
 in auto advertising however items such as <unk> are still described in inches
 <unk> makers such as caterpillar and deere work in the metric system
 the liquor industry went metric N years ago
 the pentagon has led the charge particularly as military alliances spread world-wide
 new weapons systems will be around until the next century notes john <unk> the defense department 's metric coordinator
 still like the auto makers when dealing with mr. <unk> the pentagon <unk> to the tried and true
 soldiers and <unk> are still measured in inches and pounds
 whittle communications l.p. which for months has fought a public relations battle with education leaders said it has signed N schools in N states to subscribe to the controversial channel one news program and its sister programs
 channel one a <unk> daily program supported by advertising is scheduled to be launched next march
 whittle said its field staff signed up the N schools in N school districts after only eight weeks and company executives now expect to reach their start-up goal of N schools before the end of this year
 christopher whittle chairman of the <unk> tenn. media company that is N N owned by time warner inc. said that by december N he expects to have channel one installed in about N schools with a potential audience of six million
 installation of the tv system which includes providing free <unk> tv sets in <unk> begins in january
 what we 've done in eight weeks shows we wo n't have enormous difficulties getting to the place we want to be said mr. whittle
 he said his sales force is signing up schools at the rate of N a day
 in california and new york state officials have opposed channel one
 mr. whittle said private and <unk> schools in both states will be <unk> to see if they are interested in getting the programs
 <unk> schools get the <unk> daily channel one news program whose four <unk> tv ads during each show have drawn protests from educators
 subscribers also get the classroom channel which will feature <unk> educational programming similar to some <unk> shows and the <unk> 's channel which will offer <unk> programming for teachers and school administrators and will be supported by advertising
 whittle has met some resistance
 the educational network as mr. whittle has named the three programs has been offered to N school districts and whittle continues to negotiate with N districts
 about N N of the school districts approached have rejected the network
 mr. whittle said that so far three of the six schools that carried the program in a <unk> test last spring have <unk> to the program
 one of the test schools <unk> high school in cincinnati rejected the project
 john <unk> associate director of communications for cincinnati public schools said channel one was rejected because students watching the program did n't fare particularly better on a <unk> current events <unk> than a control school without the program and school <unk> were almost unchanged during the period when the program was being aired
 the number of correct responses was N N on the test and school <unk> did n't change much said mr. <unk>
 the pilot program was received well by teachers and students but there was n't reason enough to sign up
 we even invited the public to stop by and see the program but there was n't much interest
 advertisers are showing interest
 last month whittle announced it had sold $ N million in advertising time on the network to national advertisers
 mr. whittle friday said several more advertisers have been added
 whittle is spending $ N million initially to launch the network
 installation of satellite <unk> tvs and videocassette equipment will cost the company about $ N per school mr. whittle said
 the following u.s. treasury corporate and municipal offerings are tentatively scheduled for sale this week according to dow jones capital markets report
 $ N billion of three-month and six-month bills
 $ N billion of <unk> cash management bills
 associated natural gas corp. N million common shares via dillon read & co
 b & <unk> crude carriers ltd. four million common shares via salomon brothers inc
 chemical banking corp. N million common shares via goldman sachs & co
 <unk> pharmaceuticals inc. N million units consisting of two shares of common stock and one common warrant via painewebber inc
 <unk> corp. $ N million convertible debentures via merrill lynch capital markets
 energy service co. N million common shares via alex
 brown & sons inc
 <unk> bancorp inc. N common shares via shearson lehman hutton inc
 <unk> inc. two million common shares via kidder peabody & co
 immune response corp. three million common shares via merrill lynch
 <unk> pharmaceuticals inc. N million common shares via smith barney harris upham & co
 <unk> corp. of <unk> inc. N million common shares via merrill lynch
 municipal
 new jersey wastewater treatment trust $ N of various bonds including $ N million wastewater treatment insured bonds series <unk> and $ N wastewater treatment bonds series <unk> via competitive bid
 eastern municipal water district calif. $ N of N certificates of participation treatment plant projects via competitive bid
 california health facilities financing authority $ N million of health facility revenue bonds catholic healthcare west series <unk> via a first boston corp. group
 detroit $ N million of <unk> state aid bonds via a chemical securities inc. group
 maryland community development administration department of housing and community development $ N million of single-family program bonds N <unk> and <unk> series via a merrill lynch group
 <unk> county navigation district no. N texas $ N of pollution control revenue alternative minimum tax <unk> bonds south texas project units no. N and N via a goldman sachs group
 new york city $ N of bonds fiscal N series c and d including $ N million tax-exempt bonds and $ N million taxable bonds via a goldman sachs group
 santa ana redevelopment agency $ N million of tax allocation bonds N series <unk> via a donaldson lufkin & jenrette securities corp. group
 pending <unk> county tenn. $ N million of refunding bonds series N via a first tennessee bank group
 hewlett-packard co. said it raised its stake in octel communications corp. to N N of the common shares outstanding
 in a securities and exchange commission filing hewlett-packard said it now holds N octel common shares including N shares bought from aug. N to oct. N for $ N to $ N a share
 hewlett-packard a palo alto calif. computer company said it acquired the stock to develop and maintain a strategic partnership in which each company remains independent while working together to market and sell their products
 octel said the purchase was expected
 hewlett-packard <unk> it does n't plan to obtain control of octel a <unk> calif. maker of <unk> systems
 according to the filing hewlett-packard acquired N common shares from octel as a result of an aug. N N stock purchase agreement
 that accord also called for hewlett-packard to buy N octel shares in the open market within N months
 in addition hewlett-packard acquired a two-year option to buy an extra N N of which half may be sold directly to hewlett-packard by octel
 following is a weekly listing of <unk> net asset values of publicly traded investment fund shares reported by the companies as of friday 's close
 also shown is the closing listed market price or a <unk> asked price of each fund 's shares with the percentage of difference
 closed end bond funds
 flexible portfolio funds
 specialized equity and convertible funds
 a ex-dividend
 b as of thursday 's close
 c translated at commercial rand exchange rate
 e in canadian dollars
 f as of wednesday 's close
 z not available
 <unk> <unk>
 twice in two weeks the <unk> of the <unk> <unk> ual buy-out <unk> the stock market
 now stock prices seem to be in a general retreat
 since <unk> at N on oct. N the dow jones industrial average has lost N points or N N closing friday at N down N
 the number of issues falling on the new york stock exchange each day is <unk> the number of gainers
 and the number of stocks hitting new lows far <unk> the number setting new highs
 but why should an <unk> $ N billion leveraged buy-out deal shake the foundations of the entire stock market
 opinions vary about how important the ual deal was to the market 's health but analysts generally agree that the market gyrations created as the ual plan <unk> revealed a fundamental change in investor psychology
 if this had happened a few months ago when the atmosphere was still very positive it would n't have been greeted with anything like the impact it has had over the past two weeks says dennis <unk> a market strategist at kidder peabody
 there are of course analysts who view the <unk> that briefly <unk> through investors on oct. N and again on oct. N as <unk> <unk> of good judgment that have only temporarily undermined a healthy stock market
 sure price action is volatile and that 's scary but <unk> stocks are still a good place to be they suggest
 the reaction to the ual debacle is <unk> says john connolly chief market strategist at dean witter
 ual is a small deal as far as the overall market is concerned
 the only way you can make it a big deal is to draw <unk> that just do n't make sense
 he suggests for example that investors may have assumed that just because ual could n't get financing no leveraged buy-outs can get financing
 carried even further some investors assumed that since leveraged buy-outs are the only thing <unk> up stock prices the market would collapse if no more lbos could be done
 there will still be deals argues mr. connolly
 there may not be as many and the buyers may not get away with some of the things they 've done in the past but deals wo n't disappear
 he forecasts that the emphasis in mergers and acquisitions may soon return to what he calls strategic deals in which somebody is taking over a company not to milk the cash flow but because it 's a good fit
 and even without deals mr. connolly figures the market would remain healthy
 he notes for instance that there has n't been a merger or acquisition among the N stocks in the dow jones industrial average since N yet that average only three weeks ago hit a record high
 those stocks are up because their earnings are up and their dividends are up he says
 even the volatility created by stock index arbitrage and other computer-driven trading strategies is n't entirely bad in mr. connolly 's view
 for the long-term investor who picks stocks carefully the price volatility can provide welcome buying opportunities as short-term players scramble <unk> to sell stocks in a matter of minutes
 who can make the better decision the guy who has N seconds to decide what to do or the guy with all the time in the world he says
 what on earth does the ual deal have to do with the price of <unk> which i was able to buy on oct. N at a very attractive price
 kidder peabody 's mr. <unk> also sees some benefits to the stock market 's recent drop
 we 've run into a market that was beginning to run out of steam and get <unk> he says
 the balloon had been <unk> up so big that when somebody came along with a <unk> in this case the ual deal we got a little pop
 the pop <unk> up investors who had been getting a little too <unk> says mr. <unk>
 it provided an excuse for people to get back to reality and to look at the economic data especially the third-quarter economic numbers and to realize that we ca n't continue to <unk> over what is going on in the junk bond market
 but he figures that at current levels the stock market is <unk> valued even with the economy obviously slowing
 just because we 've got some <unk> back in the market does n't mean it 's going lower from here he says
 the bottom line is that it 's healthy to have this kind of <unk> activity especially after a N N gain in stock values over the past N months
 he 's now estimating that after a period of consolidation the dow jones industrial average will once again forge new highs
 maybe maybe not
 <unk> joseph cohen a market strategist at drexel burnham lambert is n't nearly so <unk> about the market 's chances of surging to new highs anytime soon
 her view is that stock prices have three major <unk> merger and buy-out proposals earnings and the economic outlook
 at current levels of economic activity and earnings stocks are fairly valued she says
 but any chance for prices to surge above fair value lies in the speculation that <unk> a vigorous merger and buy-out business and ual has obviously put a <unk> on that
 stocks are n't cheap anymore there have been some judicial and legislative changes in the merger area and all of this changes the <unk> of deals she says
 i 'm not saying they 've stopped altogether but future deals are going to be structured differently and bids probably wo n't be as high
 but that 's not the only problem for stocks
 the other two <unk> earnings and the economic outlook are troubling too
 <unk> is getting all the <unk> right now but these other things have been building up more gradually she says
 third-quarter earnings have been generally disappointing and with economic data showing a clear slowing the outlook for earnings in the fourth quarter and all of N is getting worse
 there are a lot more downward than upward revisions and it looks like people are questioning corporate profits as a means of support for stock prices she says
 with all this can stock prices hold their own
 the question is <unk> at this point she says
 it depends on what happens
 if the economy <unk> into a recession then this is n't a level that 's going to hold
 friday 's market activity
 stock prices tumbled for a third consecutive day as earnings disappointments a sluggish economy and a fragile junk bond market continued to weigh on investors
 the dow jones industrial average fell N points to N in active trading
 volume on the new york stock exchange totaled N shares
 declining issues on the big board were far ahead of gainers N to N
 for the week the dow jones industrial average sank N points or N N
 oil stocks escaped the brunt of friday 's selling and several were able to post gains including chevron which rose N to N N in big board composite trading of N million shares
 the stock 's advance reflected ongoing speculation that pennzoil is <unk> a stake in the company according to dow jones professional investor report
 both companies declined to comment on the rumors but several industry analysts told the professional investor report they believed it was <unk> that pennzoil may be buying chevron shares as a prelude to pushing for a restructuring of the company
 usx gained N to N N on a report in business week magazine that investor carl icahn is said to have raised his stake in the oil and steel company to just about N N
 earlier this month mr. icahn boosted his usx stake to N N
 elsewhere in the oil sector exxon rallied N to N N amoco rose N to N texaco was unchanged at N N and atlantic richfield fell N N to N N
 mobil which said it plans to cut its exploration and production work force by about N N in a restructuring dropped N to N N
 the precious metals sector <unk> other dow jones industry groups by a wide margin for the second consecutive session
 <unk> mining rose N to N battle mountain gold climbed N to N N <unk> mining rose N N to N N <unk> minerals added N to N <unk> <unk> went up N to N N and <unk> ltd. jumped N N to N N
 gold mining stocks traded on the american stock exchange also showed strength
 echo bay mines rose N to N N <unk> gold advanced N N to N and <unk> class a gained N to N N
 unisys dropped N to N N after posting a third-quarter loss of $ N a share including restructuring charges but other important technology issues were mixed
 compaq computer which had lost N N thursday following a disappointing quarterly report gained N to N N
 international business machines dropped N to N N
 digital equipment tacked on N N to N N and hewlett-packard fell N to N N
 <unk> trading swelled volume in merrill lynch which closed unchanged at N N as N million shares changed hands
 the stock has a N N dividend yield and goes ex-dividend today
 erbamont advanced N N to N N on N million shares
 montedison which owns about N N of the company 's common stock agreed to buy the rest for $ N a share
 <unk> another <unk> unit of montedison added N N to N N
 milton roy jumped N to N N
 crane said it holds an N N stake in the company and may seek control
 crane dropped N N to N N
 comprehensive care which terminated its agreement to merge with first hospital dropped N to N N
 the company 's decision was made after first hospital failed to obtain financing for its offer
 federal investigators have identified the problem in last july 's crash of a united airlines flight in iowa a structural flaw that developed during the making of a titanium engine disk
 for several months officials at the federal aviation administration and the national transportation safety board have suspected that a <unk> flaw in the disk led to a crack that ultimately caused the <unk> engine to break apart in flight
 the explosion sent <unk> of metal flying <unk> the <unk> 's <unk> or control systems and led to the crash that killed N people
 but investigators could confirm their theory only after the recent <unk> of a big chunk of flight N 's <unk> engine from a <unk> near the <unk> city airport in iowa
 the safety board will begin four days of hearings on the accident tomorrow in <unk> city
 among the issues the board will examine is whether united airlines a unit of ual corp. should have been able to detect the cracks through maintenance checks
 the engine involved was a <unk> made by general electric co
 anthony broderick the faa 's acting executive director for regulatory standards and compliance said that recent tests of the failed engine disk indicate that a flaw known as hard <unk> occurred in the titanium during its production almost N years ago
 he said there was n't any way to detect the flaw at that time and that the process has since been changed to decrease the chance that such flaws would occur
 the faa already has ordered that all N disks made by the old process be removed from the planes and <unk> to an <unk> test in a <unk> chamber
 such tests make the faa confident that a <unk> <unk> accident wo n't happen again said mr. broderick
 a spokesman for ge said that the company has been working with the faa all along on this issue and will comply fully with the required <unk>
 but he also pointed out that the recalls will have no impact on ge 's engine production
 the <unk> series engines are n't being manufactured any more they are only being used in the <unk> series N planes currently in service he said
 a frozen <unk> in <unk> may offer an important clue about whether the earth is warming <unk>
 researchers at ohio state university and <unk> institute of <unk> and <unk> in china have <unk> samples of <unk> ice in <unk> and say temperatures there have been significantly higher on average over the past <unk> than in any similar period in the past N years
 the ice samples are an important piece of evidence supporting theories that the earth has <unk> considerably in recent times largely because of <unk> in the air and will warm far more in the century ahead
 a substantial warming would <unk> some of the earth 's <unk> ice <unk> raising the level of the <unk> and causing widespread flooding of heavily <unk> coastal areas
 if you can use data to <unk> what happened in the past you have much more confidence in predictions for the future said <unk> thompson a research scientist at ohio state who <unk> for and <unk> the ice samples
 to compare temperatures over the past N years researchers <unk> the changes in <unk> of two forms of <unk>
 these measurements can indicate <unk> changes researchers said because the rates of <unk> of these <unk> atoms differ as temperatures change
 analysis of ice from the <unk> ice cap a <unk> <unk> in <unk> N feet above sea level show that average temperatures were higher in N than in any other <unk> period since before the last ice age mr. thompson said
 some climate models project that interior regions of asia would be among the first to heat up in a global warming because they are far from <unk> which moderate <unk> changes
 but the <unk> samples are n't definitive proof that the so-called greenhouse effect will lead to further substantial global heating mr. thompson acknowledged
 according to greenhouse theories increased carbon dioxide emissions largely caused by burning of fossil fuels will cause the earth to warm up because carbon dioxide prevents heat from <unk> into space
 skeptics say that if that 's the case temperatures should have risen fairly <unk> over the past century reflecting the increase in carbon dioxide
 instead the <unk> <unk> record shows increasing temperatures from N through the early 1950s <unk> temperatures from the late 1950s through the mid-1970s then higher temperatures again through last year
 other <unk> data show similar <unk> swings
 climate <unk> drastically due to natural causes said mr. thompson
 but he said ice samples from peru <unk> and <unk> all show substantial signs of warming
 <unk> corp. said its vice president for manufacturing resigned and its houston work force has been trimmed by N people or about N N
 the maker of hand-held computers and computer systems said the personnel changes were needed to improve the efficiency of its manufacturing operation
 the company said it has n't named a successor to ronald <unk> the vice president who resigned
 its houston work force now totals N
 cnw corp. said the final step in the acquisition of the company has been completed with the merger of cnw with a subsidiary of chicago & north western holdings corp
 as reported cnw agreed to be acquired by a group of investors led by blackstone capital partners limited partnership for $ N a share or about $ N million
 congress sent to president bush an $ N billion military construction bill that cuts spending for new installations by N N while revamping the pentagon budget to move more than $ N million from foreign bases to <unk> projects
 the fiscal N measure builds on a pattern set earlier this year by house and senate defense <unk> committees and at a time of <unk> for the military and concern about the u.s. 's standing in the world economy overseas spending is most vulnerable
 total pentagon requests for installations in west germany japan south korea the united kingdom and the philippines for example are cut by almost two-thirds while lawmakers added to the military budget for construction in all but a dozen states at home
 the result is that instead of the pentagon 's proposed split of N between domestic and foreign bases the reduced funding is distributed by a ratio of approximately N
 the extra margin for bases in the u.s. <unk> the power of the appropriations committees meanwhile lawmakers used their positions to <unk> as much as six times what the pentagon had requested for their individual states
 house appropriations committee chairman jamie whitten d. miss helped secure $ N million for his state or more than double the pentagon 's budget
 west virginia home of senate appropriations committee chairman robert byrd would receive $ N million four times the military 's request
 tennessee and north carolina home states of the two democratic chairmen of the house and senate military construction <unk> receive $ N million or N N above the pentagon 's request
 though spending for iowa and oregon was far less their increases above pentagon requests N N and N N respectively were much greater because of the influence of republicans at critical <unk>
 the swift passage of the bill which cleared the senate and house on simple voice votes last week contrasts with the problems still facing a more <unk> $ N billion measure funding housing environmental space and veterans programs
 by an N margin the senate approved the bulk of the spending friday but the bill was then sent back to the house to resolve the question of how to address budget limits on credit <unk> for the federal housing administration
 the house democratic leadership could seek to waive these restrictions but the underlying bill is already under attack for excesses elsewhere
 appropriations committees have used an <unk> of devices to <unk> as much as $ N billion in spending and as critics have <unk> to these devices the bill can seem like a <unk> <unk> trying to make it past ice and <unk> to reach safer winter <unk>
 much of the excess spending will be pushed into fiscal N and in some cases is temporarily <unk> in <unk> accounts in anticipation of being transferred to <unk> areas after the budget <unk> is completed
 for example a house-senate conference <unk> increased the national aeronautics and space administration budget for construction of facilities to nearly $ N million or more than $ N million above what either chamber had previously approved
 part of the increase would provide $ N million toward ensuring construction of a costly solid <unk> facility in mr. whitten 's mississippi
 but as much as $ N million or nearly N N of the account is marked for potential transfers to research management and flight accounts that are spent out at a faster <unk>
 the bill 's managers face criticism too for the unusual number of conditions openly imposed on where funds will be spent
 conservatives embarrassed by republican <unk> scandals at the department of housing and urban development have used the issue in an effort to shift blame onto a <unk> congress
 hud secretary jack kemp backed an unsuccessful effort to strike such language last week but received little support from the white house budget office which wants to protect <unk> funding in the bill and has <unk> to turn its eyes from pork-barrel amendments
 within discretionary funds for community development grants more than $ N million is allocated to six projects in michigan home state of a subcommittee chairman rep. bob <unk>
 house speaker thomas foley won $ N for a project in his district in washington state and $ N million earmarked by sen. daniel inouye amounts to a business subsidy under the title <unk> sugar mills job <unk>
 the powerful democrat had first wanted to add language <unk> environmental restrictions on two mills on the <unk> coast that are threatening to close
 when this plan met resistance it was agreed instead to take money from hud to subsidize needed improvements in two settling <unk> for the mills which employ an estimated N workers according to mr. inouye 's office
 dennis <unk> 's oct. N page-one article river of <unk> about the poverty along the mississippi <unk> <unk> memories of when my parents were <unk> in <unk> arkansas only a few miles from the river
 although we were white the same economic factors affected us as affects the black people mr. <unk> writes about
 fortunately an <unk> with a college degree bought a small farm and moved us N miles north to good schools and an environment that opened the world of opportunity for me as an <unk>
 though i 've been <unk> with academic degrees and some success in the <unk> world i 've never forgotten or lost contact with those memories of the 1930s
 most of the land in that and other parts of the delta are now owned by second third or fourth generations of the same families
 these are the families who used and sometime abused their <unk> people who had no encouragement and little access to an education or training for a better life
 following world war ii when one family with <unk> equipment could farm crops formerly requiring N families the surplus people were dumped into the mainstream of society with no social security no skills in the workplace no hope for their future except welfare
 and today many of their children <unk> and <unk> remain on welfare
 in the meantime the <unk> continue receiving generous subsidies that began during new deal days
 or those who choose not to farm can lease their <unk> and crop <unk> for <unk> sums
 farmers in the midwest and other areas have suffered but those along the mississippi continue to <unk> with holdings that were built with the sweat of men and women living in economic <unk>
 and when they were no longer needed they were turned loose <unk> to build lives of their own
 <unk> harris
 chairman
 <unk> bank
 atlanta
 because the cycle of poverty along the lower mississippi goes back so many generations breaking this cycle will be next to impossible
 <unk> the cycle appears not as waves but as a downward <unk>
 yet the evidence that we have not hit bottom is found in the fact that we are not yet helping ourselves
 the people of the delta are waiting for that big factory to open river traffic to increase government spending to fund <unk> programs or public schools to educate <unk> students
 because we refuse to face the tough answers the questions continue as <unk> for the commissions and committees for the media and politicians
 <unk> <unk> does not lend itself to solving the problems of <unk> <unk> pregnancy or lack of parental support or <unk>
 does the delta deserve government help in attracting industry when the majority of residents black and white do not realize <unk> <unk> potential employers
 should we focus on the region 's <unk> rate when the <unk> <unk> and the school boards <unk> and legislators prohibit schools from teaching the two ways <unk> or <unk> of <unk> <unk> pregnancy
 delta problems are difficult not impossible to solve i am just not convinced that we are ready to solve them yet
 leslie falls <unk>
 little rock ark
 i would like to issue a challenge to corporate america
 the next time expansion plans are mentioned at the old company and somebody says <unk> <unk> guys nobody can do it like japan or south korea i wish you would <unk> in and say hold it <unk> why do n't we compare prices and use our own little third world country
 we would even save on freight
 there is no mystery why the delta <unk> <unk> the blues
 eugene s. <unk> <unk>
 <unk> miss
 your story is an <unk> to the citizens of the mississippi delta
 many of the problems you presented exist in every part of this country
 poverty is only two blocks from president bush 's residence
 for years we tried to ignore the problem of poverty and now that it has gotten out of hand it 's a new crusade for the media and our democratic congress
 nobody should have to live in such poor conditions as in sugar <unk> but when you travel to washington boston chicago or new york the same problems exist
 the only difference is in those cities the poor are <unk> in <unk> apartments each consisting of one room with <unk> pipes called plumbing <unk> and <unk> everywhere and <unk> elevators and with the building <unk> by gangs and drug dealers
 many middle-class people would love free food medicaid insurance utilities and rent
 then maybe i could stay home and have seven children and watch <unk> <unk> like <unk> in the article instead of having one child and working constantly just to stay above water like so many families in this country
 <unk> ann wilson
 greenville miss
 mobil corp. is in the midst of cutting back its exploration and production group which finds and develops oil and gas reserves in the u.s. by as much as N N as part of a new restructuring of that sector of its business
 management advised employees friday that it was going to reduce employment in production operations of the group by N N or N people
 the exploration side of the unit has recently <unk> a similar overhaul during which it also lost as many as N employees a company spokesman said in response to questions
 mobil exploration & producing u.s. inc. the group involved currently has a work force of somewhat less than N
 a few years ago mobil restructured the entire company during an industrywide <unk>
 but since then u.s. oil production has declined and mobil wants to focus its <unk> efforts overseas
 mobil <unk> to the <unk> cuts last week when it took a $ N million charge as part of its third-quarter earnings and attributed it to a restructuring
 mobil officials said that it is unlikely any additional charges related to this move will be taken in future quarters
 on wednesday mobil will begin offering separation packages and voluntary retirement in its u.s. production operation
 mobil officials said they have been studying ways of streamlining these operations since early this year
 during the coming months <unk> of management will be <unk> away and regional offices will become more <unk>
 for greater efficiency employees at those locations will be <unk> into teams responsible for managing the properties under their jurisdiction mobil said
 the main feature of the new organization is that each local manager will have both the authority and accountability for profitable and technically sound operations said charles e. <unk> president of the mobil unit
 field offices at new orleans houston denver midland <unk> <unk> calif. oklahoma city and liberal kan. will be maintained
 but the staffs at some of those locations will be slashed while at others the work force will be increased
 for instance employment in denver will be reduced to N from N
 but on the west coast where profitable oil production is more likely than in the <unk> region the <unk> calif. office staff of N will grow by N to N
 the reorganization will focus on the value and potential of assets mr. <unk> said
 wanted an investment that 's as simple and secure as a certificate of deposit but offers a return worth getting excited about
 with $ N billion of cds maturing this month a lot of people have been <unk> the financial landscape for just such an investment
 in april when many of them bought their cds six-month certificates were yielding more than N N investors willing to look could find double-digit yields at some banks and thrifts
 now the nationwide average yield on a six-month cd is just under N N and N N is about the best around
 but investors looking for alternatives are n't finding it easy
 yields on most fixed-income securities are lower than several months ago
 and the stock market 's recent gyrations are a painful reminder of the dangers there
 if you 're looking for a significantly higher yield with the same level of risk as a cd you 're not going to find it says washington financial planner dennis m. <unk>
 there are however some alternatives that <unk> investors should consider investment advisers say
 short-term municipal bonds bond funds and <unk> annuities are some of the choices they mention and not just as a way to get a higher return
 in particular advisers say investors may want to look at securities that reduce the risk that cd holders are <unk> right now of having to reinvest the proceeds of maturing short-term certificates at lower rates
 a mix of cds and other holdings may make the most sense
 people should remember their money is n't all or nothing they do n't need to be shopping for the one <unk> investment and putting all their money in it says <unk> md. adviser karen schaeffer
 here 's a look at some of the alternatives
 short-term municipals
 investors with a heavy tax load should take out their <unk>
 yields on municipal bonds can be higher than after-tax yields on cds for maturities of perhaps one to five years
 that 's because <unk> interest is exempt from federal income tax and from state and local taxes too for <unk> investors
 for an investor paying tax at a N N rate a seemingly <unk> N N yield on a one-year <unk> is equivalent to a taxable N N
 rates approach N N on five-year municipals
 some of the more cautious cd holders might like <unk> municipals
 these securities get top credit ratings because the issuers have put aside u.s. bonds that will be sold to pay off holders when the municipals are retired
 it 's a <unk> you do n't have to worry about diversification you do n't have to worry about quality says steven j. <unk> executive vice president of the new york bond firm of <unk> <unk> & <unk> inc
 consider a <unk> bond portfolio with issues maturing in say N N and N advises malcolm a. <unk> a <unk> r.i. financial planner
 the idea is to have money rolling over each year at prevailing interest rates
 bond funds
 bond mutual funds offer diversification and are easy to buy and sell
 that makes them a reasonable option for investors who will accept some risk of price <unk> in order to make a bet that interest rates will decline over the next year or so
 buyers can look forward to double-digit annual returns if they are right
 but they will have disappointing returns or even losses if interest rates rise instead
 bond resale prices and thus fund share prices move in the opposite direction from rates
 the price movements get bigger as the maturity of the securities <unk>
 consider for instance two bond funds from vanguard group of investment cos. that were both yielding N N on a recent day
 the short term bond fund with an average maturity of N N years would deliver a total return for one year of about N N if rates drop one percentage point and a one-year return of about N N if rates rise by the same amount
 but in the same circumstances the returns would be a more extreme N N and N N for the vanguard bond market fund with its N 1\/2-year average maturity
 you get <unk> returns from bonds if you guess right on rates says james e. wilson a columbia s.c. planner
 if interest rates do n't change bond fund investors ' returns will be about equal to the funds ' current yields
 deferred annuities
 these insurance company contracts feature some of the same tax benefits and restrictions as <unk> individual retirement accounts investment gains are compounded without tax consequences until money is withdrawn but a N N penalty tax is imposed on withdrawals made before age N N
 aimed specifically at cd holders are so-called <unk> annuities or certificates of annuity
 an interest rate is guaranteed for between one and seven years after which holders get N days to choose another guarantee period or to switch to another insurer 's contract without the surrender charges that are common to annuities
 some current rates exceed those on cds
 for instance a <unk> annuity from north american co. for life & health insurance chicago offers N N interest for one year or a N N rate for two years
 annuities are rarely a good idea at age N because of the withdrawal restrictions
 but at age N they may be a great deal says mr. wilson the columbia s.c. planner
 money market funds
 that 's right money market mutual funds
 the conventional wisdom is to go into money funds when rates are rising and shift out at times such as the present when rates seem headed down
 with average maturities of a month or so money funds offer fixed share prices and floating returns that track market interest rates with a slight lag
 still today 's <unk> money funds may beat cds over the next year even if rates fall says guy <unk> an editor of the bond market <unk> newsletter in atlanta
 that 's because <unk> funds currently offer yields almost N N percentage points above the average cd yield
 mr. <unk> likes the dreyfus worldwide dollar money market fund with a seven-day compound yield just under N N
 a new fund its operating expenses are being temporarily subsidized by the sponsor
 try combining a money fund and an <unk> bond fund as a <unk> bet on falling rates suggests back bay <unk> inc. a mutual fund unit of new england insurance co
 if rates unexpectedly rise the increasing return on the money fund will partly offset the lower-than-expected return from the bond fund
 federal drug regulators concerned over british reports that diabetics have died after shifting from animal to <unk> insulin say they are considering a study to see if similar deaths have occurred here
 the united kingdom reports came from dr. patrick toseland head of clinical chemistry at guy 's hospital in london
 in a telephone interview friday dr. toseland said the number of sudden <unk> deaths of diabetics he had seen this year was N compared with just two in N
 at least six of the deaths occurred among relatively young diabetics who had switched from animal to human insulin within the past year he said
 dr. <unk> <unk> director of <unk> and <unk> drug products for the u.s. food and drug administration said fda officials have discussed dr. toseland 's findings fairly <unk>
 while there have been no reports of similar sudden <unk> deaths among diabetics in the u.s. dr. <unk> said the fda plans to examine dr. toseland 's evidence and is considering its own study here
 dr. toseland a <unk> said he was preparing an article for a british <unk> medical journal raising the possibility that the deaths may have occurred after human insulin <unk> critical warning signs indicating hypoglycemia or low blood sugar which can kill diabetics
 the usual warning signs of hypoglycemia include <unk> anxiety and <unk>
 with proper warning diabetics can easily raise their blood sugar to safe levels by eating sugar or <unk> food
 the <unk> data certainly shows that some of the people were not aware of the rapid <unk> of hypoglycemia dr. toseland said
 at the u.s. national institutes of health dr. robert e. <unk> chief of the <unk> program branch said no evidence of unexpected deaths from hypoglycemia had shown up in a study of N diabetics that has been under way at nih for five years
 however he said officials conducting the study had n't been looking for signs of problems related to hypoglycemia <unk>
 we are now monitoring for it much more closely he said
 we do know there are slight differences in the way human and animal <unk> drive down blood sugar dr. <unk> said
 the <unk> drug starts the blood sugar dropping sooner and drives it down faster he said
 but we do n't believe there is enough of a difference to be <unk> significant dr. <unk> said
 reports of dr. toseland 's findings in the british press have triggered widespread concern among diabetics there
 both the british <unk> association and the committee on safety in <unk> britain 's equivalent of the u.s. fda recently issued statements noting the lack of hard scientific evidence to support dr. toseland 's findings
 on friday the american <unk> association issued a similar statement urging the six million u.s. diabetics not to <unk> to the british report
 a loss of the warning symptoms of hypoglycemia is a complex problem that is very unlikely to be due simply to the type of insulin used the american association said
 the fda already requires drug manufacturers to include warnings with insulin products that symptoms of hypoglycemia are less <unk> with human insulin than with <unk> products
 eli lilly & co. the <unk> drug manufacturer dominates the u.s. human insulin market with its product known as <unk>
 lilly is building plants to make the insulin in indianapolis and <unk> france
 in its latest annual report lilly said <unk> sales have shown excellent growth
 lilly officials said they had seen reports of <unk> <unk> among some patients making the shift from animal to human insulin but did n't know if the problem had caused any deaths
 dr. <unk> thompson a lilly group vice president said the company 's clinical trials of both its animal and <unk> <unk> indicated no difference in the level of hypoglycemia between users of either product
 dr. toseland said most of the british diabetics who died had been taking a <unk> insulin made by <unk> a <unk> manufacturer
 none of the diabetics were using lilly 's insulin
 <unk> corp. said it will reduce its <unk> work force by about N N effective tomorrow in an effort to stem continuing losses
 the company which makes data base systems and software said it expects to report a loss for the third quarter ended sept. N
 defense intellectuals have complained for years that the pentagon can not determine priorities because it has no strategy
 last april the new defense secretary richard cheney acknowledged that given an ideal world we 'd have a nice neat orderly process
 we 'd do the strategy and then we 'd come around and do the budget
 this city does n't work that way
 with a five-year defense plan costing more than $ N trillion it 's about time we put together a defense strategy that works in washington
 this wo n't happen until strategists come down from their ivory tower and learn to work in the real world of limited budgets and uncertain futures
 as it is we identify national goals and the threats to these goals we shape a strategy to counter these threats we determine the forces needed to execute the strategy before finally <unk> the budgets needed to build and maintain the forces
 these procedures consume millions of <unk> of labor and produce tons of paper and each year their end product the five year defense plan promptly <unk> away
 the <unk> on the left shows how this happens see accompanying illustration wsj oct. N N
 compare the past eight five-year plans with actual appropriations
 the pentagon 's strategists produce budgets that simply can not be executed because they assume a defense strategy depends only on goals and threats
 strategy however is about possibilities not hopes and dreams
 by ignoring costs u.s. strategists <unk> their responsibility for hard decisions
 that puts the real strategic decisions in the hands of others <unk> <unk> <unk> and <unk>
 these people have different <unk>
 and as a result as the recent vote by the house to undo mr. cheney 's program <unk> suggests the <unk> of jobs is becoming the real goal of defense strategy
 how can we turn this situation around
 reform starts in the pentagon
 strategists should consider the impact of budget uncertainties at the beginning of the planning process
 they ought to examine how a range of optimistic to pessimistic budget scenarios would change the defense program
 they would then develop priorities by identifying the least painful program cuts as they moved from higher to lower budgets
 they would also identify the best way to add programs should the budget come in at higher levels
 this kind of <unk> analysis is common in war planning and business planning
 there is no reason that it can not be done for defense planning
 two steps are necessary to translate this idea into action
 step N <unk> up our books
 our five-year plan contains three accounting devices negative money an above <unk> management reserve and optimistic inflation estimates which <unk> the spending the pentagon has committed itself to by almost $ N billion
 negative money was invented in N to make the N five year defense plan conform to the numbers in president reagan 's final budget <unk> to congress
 that plan exceeded the numbers contained in his budget message by $ N billion
 to make the books balance as is required by law somebody invented a new budget line item that simply <unk> $ N billion
 it is known in the pentagon as the negative wedge
 the pentagon argues that the negative wedge is the net effect of $ N billion in the <unk> unidentified procurement reductions that it intends to find in future years and $ N billion in an above <unk> management reserve that accounts for <unk> programs that will <unk> in the future
 the N plan also assumes inflation will decline to N N by N
 most <unk> including those in the congressional budget office assume inflation will be in excess of N N in each of those five years
 at that rate the defense plan is <unk> by $ N billion
 by adding the negative wedge and <unk> the remaining program using a more probable inflation estimate we arrive at a baseline program costing $ N trillion between N and N
 step N <unk> how four <unk> lower budget scenarios would change the baseline and how these changes would affect our national security
 the <unk> on the right which assumes a N N rate of inflation places these scenarios in the context of recent appropriations see accompanying illustration wsj oct. N N
 note how the baseline program assumes a sharp increase in future appropriations
 step N will answer the question what happens if these increases do not <unk>
 scenario N known as the constant dollar freeze <unk> the pentagon for inflation only it <unk> upward at N N per year
 this scenario has been the rough position of the u.s. senate since N and it reduces the baseline by $ N billion between N and N
 scenario N the current dollar freeze has been the <unk> position of the house of representatives for about four years
 it <unk> the budget at its current level and forces the pentagon to eat the effects of inflation until N
 this reduces the baseline by $ N billion
 scenario N <unk> the recent <unk> between the house and the senate it <unk> the difference between scenarios N and N by increasing the budget at N N per year
 it reduces the baseline by $ N billion
 finally scenario N reduces the budget by N N per year for the next five years a total reduction of $ N billion
 this can be thought of as a pessimistic prediction perhaps driven by the <unk> effects of the gramm-rudman deficit reduction law or possibly a <unk> of <unk> with the soviet union
 the strategic planners in the joint chiefs of staff would construct the most effective defense program for each scenario <unk> strengths and <unk> weaknesses
 they would conclude their efforts by producing a comprehensive net assessment for each plan including the assumptions made an analysis of its deficiencies and limitations the impact on national security and the best strategy for working around these limitations
 this exercise would reveal the true cost of a particular program by forcing the strategists to make hard decisions
 if for example they choose to keep the b-2 <unk> bomber they would have to sacrifice more and more other programs such as carrier <unk> or army divisions as they moved toward lower budget levels
 these <unk> would <unk> priorities by <unk> when the cost of the b-2 became <unk>
 some may be <unk> to argue that the idea of a strategic review merely <unk> the <unk> <unk> <unk> <unk> concept of the carter administration
 but <unk> did not involve the strategic planners in the joint chiefs of staff and therefore <unk> into a <unk> drill driven by budget politics
 anyway <unk> 's procedures were so <unk> that everyone involved was crushed under a burden of <unk>
 a strategic review is fundamentally different
 it would be run by the joint chiefs under simple <unk> produce the best possible force for each budget scenario and provide the secretary of defense with a comprehensive net assessment of how that force could be used to achieve u.s. goals
 it might be feared that even thinking about lower budgets will hurt national security because the door will be opened to <unk> budget cutting by an irresponsible congress
 this argument plays well in the atmosphere of <unk> and <unk> <unk> the pentagon and congress and unfortunately there is some truth to it
 but in the end it must be rejected for logical as well as moral reasons
 to say that the pentagon should act <unk> because acting <unk> will <unk> congress into acting <unk> leads to the conclusion that the pentagon should deliberately <unk> its needs in the national interest in other words that it is justified in committing a crime lying to congress because it is morally superior
 strategy is not a game between the pentagon and congress it is the art of the possible in a world where constraints force us to choose between <unk> or <unk> alternatives
 if we want meaningful priorities we must understand the <unk> they <unk> before we make commitments
 strategy is not a separate event in an <unk> <unk> of <unk> events it is a way of thinking that <unk> threats to our interests in a manner consistent with our financial cultural and physical limitations
 mr. <unk> is a permanent pentagon official
 this is a <unk> version of an <unk> that will appear in the january issue of the naval institute proceedings
 the views expressed do not reflect the official policy of the department of defense
 although bullish dollar sentiment has <unk> many currency analysts say a massive sell-off probably wo n't occur in the near future
 while wall street 's tough times and lower u.s. interest rates continue to undermine the dollar weakness in the pound and the yen is expected to offset those factors
 by default the dollar probably will be able to hold up pretty well in coming days says <unk> <unk> a foreign-exchange adviser at credit suisse
 we 're close to the bottom of the near-term ranges she contends
 in late friday afternoon new york trading the dollar was at N marks and N yen off from late thursday 's N marks and N yen
 the pound strengthened to $ N from $ N
 in tokyo monday the u.s. currency opened for trading at N yen down from friday 's tokyo close of N yen
 the dollar began friday on a firm note gaining against all major currencies in tokyo dealings and early european trading despite reports that the bank of japan was seen unloading dollars around N yen
 the rise came as traders continued to dump the pound after the sudden resignation thursday of british chancellor of the exchequer nigel lawson
 but once the pound <unk> with help from purchases by the bank of england and the federal reserve bank of new york the dollar was dragged down traders say by the stock-market slump that left the dow jones industrial average with a loss of N points
 with the stock market <unk> and dollar buyers discouraged by signs of u.s. economic weakness and the recent decline in u.s. interest rates that has diminished the <unk> of dollar-denominated investments traders say the dollar is still in a <unk> position
 they 'll be looking at levels to sell the dollar says james <unk> a foreign-exchange marketing representative at bank of montreal
 while some analysts say the dollar eventually could test support at N marks and N yen mr. <unk> and others do n't see the currency <unk> sliding under support at N marks and N yen soon
 predictions for limited dollar losses are based largely on the pound 's weak state after mr. lawson 's resignation and the yen 's inability to strengthen substantially when there are dollar <unk>
 with the pound and the yen lagging behind other major currencies you do n't have a confirmation that a sharp dollar downturn is in the works says mike <unk> senior currency analyst at <unk> inc. in chicago
 as far as the pound goes some traders say a slide toward support at $ N may be a favorable development for the dollar this week
 while the pound has attempted to stabilize currency analysts say it is in critical condition
 sterling plunged about four cents thursday and hit the week 's low of $ N when mr. lawson resigned from his <unk> post because of a policy <unk> with other cabinet members
 he was succeeded by john major who friday expressed a desire for a firm pound and supported the relatively high british interest rates that he said are working exactly as intended in reducing inflation
 but the market remains uneasy about mr. major 's policy strategy and the prospects for the pound currency analysts contend
 although the bank of england 's tight monetary policy has fueled worries that britain 's slowing economy is headed for a recession it is widely believed that mr. lawson 's willingness to <unk> up the pound with interest-rate increases helped stem pound selling in recent weeks
 if there are any signs that mr. major will be less inclined to use interest-rate boosts to rescue the pound from another plunge that currency is expected to fall sharply
 it 's fair to say there are more risks for the pound under major than there were under lawson says malcolm roberts a director of international bond market research at salomon brothers in london
 there 's very little upside to sterling mr. roberts says but he adds that near-term losses may be small because the selling wave that followed mr. major 's appointment apparently has run its course
 but some other analysts have a <unk> forecast for the pound particularly because britain 's inflation is <unk> at a relatively <unk> annual rate of about N N and the nation is <unk> with a struggling government and large current account and trade deficits
 the pound likely will fall in coming days and may trade as low as N marks within the next year says nigel <unk> an international economist at james capel & co. in london
 the pound was at N marks late friday off sharply from N in new york trading a week earlier
 if the pound falls closer to N marks the bank of england may raise britain 's base lending rate by one percentage point to N N says mr. <unk>
 but such an increase he says could be viewed by the market as too little too late
 the bank of england indicated its desire to leave its monetary policy unchanged friday by declining to raise the official N N <unk> rate that it charges discount houses analysts say
 pound concerns aside the lack of strong buying interest in the yen is another <unk> for the dollar many traders say
 the dollar has a natural base of support around N yen because the japanese currency has n't been purchased heavily in recent weeks says ms. <unk> of credit suisse
 the yen 's softness she says apparently stems from japanese investors ' interest in buying dollars against the yen to purchase u.s. bond issues and persistent worries about this year 's upheaval in the japanese government
 on new york 's commodity exchange friday gold for current delivery jumped $ N to $ N an ounce the highest settlement since july N
 estimated volume was a heavy seven million ounces
 in early trading in hong kong monday gold was quoted at $ N an ounce
 we are deeply <unk> that a recent editorial stated that the americans with disabilities act of N was <unk> primarily by democratic senators kennedy and <unk> with a <unk> based on the <unk> that most americans are hostile to the disabled
 perhaps even more offensive is the statement it is surprising that george bush and the white house inner circle would ally themselves with this <unk> philosophy
 this legislation was not drafted by a handful of democratic <unk>
 quite the contrary it results from years of work by members of the national council on the handicapped all appointed by president reagan
 you <unk> the bill as something democratic leaders <unk> the administration into <unk>
 the opposite is true it 's the product of many meetings with administration officials senate staffers advocates and business and transportation officials
 many congressmen are citing the compromise on the americans with disabilities act of N as a model for bipartisan deliberations
 most national council members are themselves disabled or are parents of children with disabilities
 we know <unk> the discrimination addressed by the act to be told there 's no place for your child in school to spend <unk> hours at home because there is no transportation for someone in a <unk> to be denied employment because you are disabled
 your editorial <unk> <unk> this legislation the lawyers ' employment act
 for the N million people with disabilities and their families this legislation is the <unk> <unk>
 <unk> swift <unk>
 <unk>
 national council on the handicapped
 a group of investors led by giant group ltd. and its chairman burt sugarman said it filed with federal antitrust regulators for clearance to buy more than N N of the stock of rally 's inc. a fast-food company based in louisville <unk>
 rally 's operates and <unk> about N fast-food restaurants throughout the u.s.
 the company went public earlier this month offering N shares of common stock at $ N a share
 giant has interests in cement making and newsprint
 the investor group includes restaurant investment partnership a california general partnership and three rally 's directors mr. sugarman james m. trotter iii and william e. trotter ii
 the group currently holds N rally 's shares or N N of its <unk> shares outstanding
 giant group owned N N of rally 's shares before the initial public offering
 a second group of three company directors aligned with rally 's founder james patterson also is seeking control of the fast-food chain
 it is estimated that the patterson group controls more than N N of rally 's stock
 rally officials were n't available to comment late yesterday
 for the year ended july N rally had net income of $ N million or N cents a share on revenue of $ N million
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 dpc acquisition partners a hostile suitor for dataproducts corp. filed a petition in federal district court in los angeles seeking to have its standstill agreement with the computer printer maker declared <unk> and it <unk> with a $ <unk> tender offer for the company
 the offer would give the transaction an indicated value of $ N million based on the N million shares the group does n't already own
 dpc holds about N N of dataproducts ' shares
 lawyers representing dpc declined to elaborate saying they did n't have a final copy of the filing
 jack davis dataproducts ' chairman said he had n't yet seen the filing and could n't comment
 dpc made a $ <unk> bid for the company in may but dataproducts management considered the $ N million proposal <unk>
 dataproducts had sought a buyer for several months but it is now in the midst of a restructuring plan and management says the company is no longer for sale
 <unk> power co. a subsidiary of american electric power co. said it will redeem on dec. N the entire $ N million of its N N N first mortgage bonds due N
 the redemption price will be N N of the principal amount of the bonds plus accrued interest to the date of redemption
 the european community 's consumer price index rose a provisional N N in september from august and was up N N from september N according to <unk> the ec 's statistical agency
 the <unk> rise in the index was the largest since april <unk> said
 efforts by the hong kong futures exchange to introduce a new interest-rate futures contract continue to hit <unk> despite the support the proposed instrument enjoys in the colony 's financial community
 hong kong financial institutions have been waiting for interest-rate futures for a long time
 the contract was first proposed more than two years ago but shortly afterward the colony 's markets were hit hard by the october N global stock crash
 the subsequent drive to reform hong kong 's markets also has <unk> the interest-rate futures contract
 the securities and futures commission a government <unk> set up after the N crash to try to restore confidence and order to hong kong 's markets had been expected to give the contract conditional approval last week
 but regulators this week said <unk> officials still have a way to go before they answer all the remaining detailed questions about the contract
 the exchange had forecast that the contract would begin trading by december
 but securities regulators now say privately that it is n't likely to start until the first quarter of next year
 analysts and financial officials in the british colony consider the new contract essential to the revival of the hong kong futures exchange which has never fully recovered from the october N crash
 many believe that without a healthy futures exchange hong kong 's aspirations to be recognized as an international financial center will suffer
 in addition local banks say the new contract is important in helping them offset their hong <unk> exposure
 the contract will be based on the three-month hong kong interbank offered rate or <unk>
 it is almost a carbon copy of the chicago mercantile exchange 's eurodollar contract which is based on the three-month eurodollar rate the rate paid on <unk> deposits in london banks
 if the contract is as successful as some expect it may do much to restore confidence in futures trading in hong kong
 the contract is definitely important to the exchange says robert <unk> executive director of the securities and futures commission
 two years ago the futures exchange was the envy of other would-be futures centers
 after only N months its main contract based on the hang seng index had grown to be the second-largest <unk> contract in the world
 a futures contract is an agreement to buy or sell a commodity or financial instrument at a set price on a specified date
 in the case of stock-index and interest-rate futures the instruments are given an underlying cash value and are settled in cash
 but in the week following the N stock crash the exchange <unk> on collapse and the stock and futures markets in hong kong were closed for four days
 only a <unk> bailout kept the crisis from <unk> the exchange
 trading in hang seng index futures remains <unk> by the experience
 volume for the entire month of september totaled only N contracts compared with a daily average of N in the month before the N crash
 despite the thin trading and after two painful years of restructuring the futures market has shown itself to be <unk> in two recent tests
 while asian markets struggled to cope with the uncertainty caused by the oct. N plunge in new york stock prices futures trading in hong kong was relatively heavy and went smoothly
 that was also the case in the days following the june N massacre in beijing which caused a sharp drop in hong kong stock prices
 there was no problem at all says douglas ford chief executive officer of the futures exchange
 most important to the contract 's success is the commitment of hong kong 's big financial institutions especially the two leaders <unk> & shanghai banking corp. and the local subsidiary of britain 's standard chartered bank plc
 the two big banks were instrumental in designing the new contract
 if those two banks are there then the balance of the banking institutions will be there says mr. <unk> the securities and futures commission official
 colony banks have a major stake in how interest rates move because of their enormous hong <unk> exposure
 even though the currency is pegged to the u.s. dollar with a fixed exchange rate of hk$ N to the american currency the u.s. and hong kong economies do n't always move in lock step making it difficult to predict where interest rates in the colony will go
 in early N when the three-month eurodollar rate was between N N and N N the three-month <unk> rate was as low as N N
 just a few months ago the three-month eurodollar rate was around N N while three-month <unk> hit highs above N N
 the <unk> contract <unk> quite a bit of the problem of interest-rate risk in the interbank market says eric <unk> a director of james capel far east ltd. the hong kong arm of the british brokerage firm
 despite the initial support expected trading in the contract is likely to start slowly
 the <unk> from the N crash have n't yet <unk> and not all claims against the exchange <unk> by those who bet the hang seng index would fall have been settled
 companies and financial institutions familiar with hong kong remain wary of trading in its futures market
 and mr. <unk> <unk> that there may be limits on how much the contract can grow because the hong kong dollar is n't a widely traded currency
 he says the contract will be considered a success if it starts trading N to N lots a day
 exchange officials also point out that <unk> futures were designed for institutions and corporations not for the type of small individual investors who were very active in hang seng index futures and defaulted in the N crash
 mr. <unk> says the low margin required for trading futures attracted a lot of small investors before the N crash who did n't realize that their risk was virtually <unk>
 you 're not going to get your taxi drivers and <unk> and all that says <unk> nicholas a director for securities company elders bullion & futures ltd
 that should help to <unk> confidence mr. <unk> says
 but many bankers remain nervous especially as the start-up of the contract continues to be delayed
 two of japan 's largest paper manufacturers <unk> paper co. and <unk> paper co. posted unconsolidated pretax profit gains from a year earlier for the first half ended sept. N on continuing robust domestic demand for paper products
 <unk> paper the nation 's largest in terms of sales said its pretax profit rose N N to N billion yen us$ N million from N billion yen
 sales jumped N N to N billion yen from N billion yen
 net income increased N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 <unk> paper 's sales strength was evident in overall paper products sales including <unk> printing and <unk> papers which rose to N billion yen in the first half from N billion yen a year earlier
 pulp processed and <unk> paper sales also surged
 for the full fiscal year ending next march <unk> predicted that total sales of N billion yen up from N billion yen in the previous fiscal year
 pretax profit is seen at N billion yen down from N billion yen while net income is estimated at N billion yen up from N billion yen
 the company did n't provide an explanation for the softer pretax profit performance and officials could n't be reached for comment
 <unk> paper said its pretax profit rose N N to N billion yen from N billion yen
 sales rose N N to N billion yen from N billion yen
 net income surged N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 general paper product sales including <unk> and other papers accounting for the bulk of sales rose to N billion yen from N billion yen
 <unk> paper predicted that for the full fiscal year ending next march N sales will total N billion yen up from N billion yen
 pretax profit was estimated at N billion yen down from N billion yen while net income was estimated at N billion yen up from N billion yen
 unocal corp. 's decision to put its norwegian oil and gas interests up for sale earlier this week is another step in the company 's strategic review of its properties and shows that few of them are <unk> <unk>
 the company declined to estimate the value of the norwegian holding
 but eugene l. <unk> an analyst at dean witter reynolds inc. forecast that the sale will bring in $ N million or substantially more
 the proposed transaction is the latest in a <unk> of assets by the los angeles-based oil company that has included the $ N million sale of its headquarters property and the pending sale of half of its chicago refinery and related marketing operations to <unk> de venezuela s.a
 mr. <unk> said he <unk> particular importance to the proposed sale because it suggests that the company is willing to sell oil and gas assets that are n't part of its major strategic strengths
 unocal said it expects to complete the sale of its unocal <unk> <unk> unit by next march or april
 in addition to an N N stake in the <unk> offshore field the norwegian unit has interests ranging from N N to N N in three other norwegian oil and gas production licenses
 in N unocal sold a N N stake in the <unk> field to deutsche <unk> g.m.b h. a west german oil company for an undisclosed amount
 in N it sold a N N stake in the <unk> field to the swedish national oil company resulting in a $ N million after-tax gain
 however those sales were early in the field 's history before production equipment was installed
 the field is currently being developed and is slated to start production by the end of the year
 it 's expected to produce about N barrels per day
 a company spokesman said the <unk> field 's gross reserves were estimated in N at N million barrels
 however he added that that estimate made before extensive development drilling currently is being <unk>
 the spokesman said unocal has had considerable interest from prospective buyers
 the company has retained j. henry schroder <unk> & co. as financial adviser and agent for the sale
 france 's unemployment rate was steady at a seasonally adjusted N N in september the social affairs ministry said
 in september the number of jobless rose N N from the previous month to N million on a seasonally adjusted basis
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 tenneco credit corp. $ N million of N N N senior notes due nov. N N priced at N to yield N N
 the noncallable issue was priced at a spread of N basis points above the treasury 's seven-year note
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue will be sold through underwriters led by merrill lynch capital markets
 tenneco credit is a unit of tenneco inc
 <unk> health system <unk> issue of $ N million of revenue bonds tentatively priced through a morgan stanley & co. group
 the offering includes a new issue of $ N million of tampa fla. series N revenue bonds for st. joseph 's hospital inc. due N N and N
 the bonds are tentatively priced to yield from N N in N to N N in N
 the other two portions of the deal are <unk> of outstanding debt rather than new issues
 the bonds are rated single-a by moody 's and <unk> by s&p according to the lead underwriter
 city and county of <unk> $ N million of general obligation bonds N series b due N through a bear stearns & co. group
 the bonds rated double-a by moody 's and s&p were priced to yield from N N in N to N N in N and N
 federal national mortgage association $ N million of remic mortgage securities being offered in N classes by shearson lehman hutton inc
 the offering series N backed by fannie mae N N securities brings fannie mae 's N remic issuance to $ N billion and its total remic volume to $ N billion since the program began in april N
 pricing terms were n't available
 <unk> electric power co japan $ N million of N N N bonds due nov. N N priced at N N to yield N N N less full fees via yamaichi international europe ltd
 fees N N
 toshiba corp japan $ N billion of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via nomura international ltd
 each $ N bond carries a warrant exercisable dec. N N through nov. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed nov. N
 credit lyonnais australia ltd french parent N million australian dollars of N N N bonds due nov. N N priced at N to yield N N less full fees via <unk> bank ltd
 guarantee by credit lyonnais
 fees N N
 world bank agency # N million of N N N bonds due aug. N N offered at N to yield N N via baring brothers & co
 tap on outstanding # N million issue
 also issued were N billion yen of bonds due dec. N N priced at N N with coupon paid in australian dollars via <unk> international ltd
 interest during first year paid <unk> at N N
 thereafter interest paid annually at N N
 the world bank also offered N million swiss francs of N N bonds due nov. N N priced at N N to yield N N via credit suisse
 option by <unk> to increase issue amount to N million francs
 <unk> corp japan N million swiss francs of privately placed convertible notes due march N N with fixed N N coupon at par via nomura bank switzerland
 put march N N at a fixed N N to yield N N
 each N swiss franc note convertible dec. N N through march N N at a N N premium over closing share price nov. N when terms are fixed
 nippon air <unk> co japan N million swiss francs of privately placed convertible notes due march N N with fixed N N coupon at par via yamaichi bank switzerland
 put march N N at fixed N N to yield N N
 each N swiss franc note convertible nov. N N through march N N at a N N premium over closing share price nov. N when terms are fixed
 credit suisse finance <unk> ltd swiss parent N billion lire of N N N bonds due june N N priced at N to yield N N less full fees via <unk> <unk> del <unk>
 guarantee by credit suisse
 fees N N
 maryland national bank $ N million of securities backed by home-equity lines of credit through merrill lynch capital markets
 the bank is a subsidiary of <unk> <unk> financial inc
 the securities were priced to float monthly at N basis points above the 30-day commercial paper rate
 the issue formally titled <unk> home equity loan asset backed certificates series N will represent interest in a trust fund of home equity revolving credit line loans <unk> by the retail finance division of maryland national bank and secured primarily by second <unk> of trust or second mortgages on single to <unk> residential properties
 the securities are rated triple-a by moody 's and duff & phelps inc
 they are expected to have an average life of N years
 maryland national bank 's retail finance division will continue to service the loans
 first national bank of chicago will act as trustee and the transaction will be supported by an N N letter of credit issued by dai-ichi kangyo bank ltd. chicago branch
 province of <unk> <unk> $ N million of N N N debentures due nov. N N priced at N to yield N N
 the noncallable issue which can be put back to the province in N was priced at a spread of N basis points above the treasury 's 10-year note
 rated single-a-2 by moody 's and <unk> by s&p the issue will be sold through underwriters led by merrill lynch capital markets
 bausch & <unk> inc. said it plans to introduce next year a new line of <unk> containing <unk> the <unk> that protects against damage from <unk> <unk>
 the optical products company has signed a licensing agreement with <unk> technologies inc. a closely held firm in san antonio texas which has developed a method to <unk> the synthetic <unk> into plastic lenses
 terms were n't disclosed
 security pacific corp. has set its sights on buying its second bank holding company this year
 security said it signed a letter of intent to purchase la jolla bancorp agreeing to pay $ N of its own stock for each share of la jolla
 based on the current number of la jolla shares that gives the transaction a value of $ N million
 la jolla is the parent company of la jolla bank & trust co. which has N branches in san diego county
 as of sept. N the bank had assets of $ N million and deposits of $ N million security pacific said
 earlier this month security pacific which is among the N largest bank holding companies in the u.s. completed the acquisition of san <unk> southwest bancorp
 south africa 's current account surplus swelled to a seasonally adjusted annual rate of between five billion and six billion rand $ N billion and $ N billion in the third quarter reserve bank governor chris <unk> said
 the surplus was two billion rand in the second quarter and N billion rand in the first quarter
 he said this improvement means it is still possible to reach the targeted current account surplus of four billion rand for N
 <unk> corp. said its board approved the repurchase of as many as N common shares when market conditions are suitable
 the maker of telecommunications management systems had N shares outstanding as of sept. N
 in over-the-counter trading yesterday <unk> closed at $ N up N cents
 service corp. international said it expects to report net income of N cents a share for the third quarter
 the company said it expects to release third-quarter results in <unk>
 the <unk> home and cemetery operator changed from a fiscal year to a calendar year in december
 in the comparable year-ago quarter the second quarter ended oct. N service corp. had a loss of about $ N million or N cents a share on revenue of $ N million
 results for that quarter included a $ N million or N cents a share write-down associated with the consolidation of a facility
 your sept. N criticism of credit-card foreign-exchange charges is unwarranted
 i have just returned from france and the net exchange rate charged on my visa account was more favorable than i obtained for <unk> 's checks in any of the several banks where i converted them
 vincent <unk> <unk> wash
 the state-controlled french metals group <unk> s.a. said it has signed a preliminary accord to sell its paris headquarters to <unk> <unk> <unk> and <unk> <unk> for N billion francs $ N million
 the sale which <unk> had been eager to make for several months is still subject to certain unspecified conditions and is expected to be completed during the first quarter of N the group
 hong kong 's main measure of consumer prices rose N N in september from a year earlier the government said
 the consumer price index a which measures price changes for the N N of urban households that spend between N hong kong dollars us$ N and hk$ N a month edged up N N in september from august
 index b which monitors price changes for the N N of urban households that spend between hk$ N and hk$ N a month rose N N last month from a year earlier and was up N N from the preceding month
 september 's hang seng consumer price index which measures price changes for the N N of urban households spending hk$ N and hk$ N a month was up N N from a year ago and up N N from august
 the main factors for the september increase from the previous month were higher prices for services food and housing
 prices fell marginally for fuel and electricity
 west german and french authorities have cleared dresdner bank ag 's takeover of a majority stake in banque <unk> de placement <unk> dresdner bank said
 the approval which had been expected permits west germany 's second-largest bank to acquire shares of the french investment bank
 in a first step dresdner bank will buy N N of <unk> for N french francs $ N a share or N million francs $ N million
 dresdner bank said it will also buy all shares tendered by shareholders on the paris stock exchange at the same price from today through nov. N
 in addition the bank has an option to buy a N N stake in <unk> from societe generale after jan. N N at N francs a share
 furukawa electric co. one of japan 's leading electric wire and cable manufacturers said unconsolidated pretax profit in the fiscal first half ended sept. N fell N N to N billion yen $ N million from N billion yen a year earlier
 sales increased N N to N billion yen from N billion yen
 net fell N N to N billion yen from N billion yen
 <unk> net fell to N yen from N yen
 the growing sales sustained by domestic demand failed to counter rising material metal costs and declining profitability in overseas construction furukawa said
 rolled copper product sales were major <unk> to overall sales growth
 sales by category rose N N to N billion yen reflecting increased production in automobile <unk> and electric machine industries which are major users of wire and cable products
 sales for electric wires and <unk> rose N N to N billion yen
 west germany 's cost-of-living index rose a preliminary N N in october from september and was up N N from a year earlier the federal statistics office in <unk> said
 the increase follows a monthly rise of N N in september from august
 preliminary cost-of-living data for the current month are calculated based on inflation data from the four largest west german states <unk> north <unk> <unk> and <unk>
 the philippine government awarded finland 's <unk> oy the contract to upgrade the facilities of philippine associated <unk> & refining corp. according to documents from national development corp. one of philippine company 's owners
 the project costs $ N million and is intended to boost the company 's production capacity by N N to N metric tons of copper <unk> a year
 <unk> is a mining trading and construction concern
 september sales at major japanese retail stores rose N N from a year earlier to N trillion yen $ N billion marking the <unk> monthly increase the ministry of international trade and industry announced
 according to the ministry retail sales at major department stores were up N N to N billion yen while sales at supermarkets rose N N to N billion yen
 september 's growth followed a N N rise in july and an N N increase in august showing continued expansion at high <unk> levels
 a ministry official said the growth leads to the conclusion the adverse effects of a consumption tax introduced in april have diminished
 shell canada ltd. said it plans to build a lubricants <unk> and packaging plant at <unk> ontario with start-up scheduled for N
 a spokesman said the plant which will replace older <unk> and <unk> manufacturing plants in montreal and toronto will cost about N million canadian dollars us$ N million to build
 <unk> is about N miles east of toronto
 shell canada an oil and gas producer and marketer is a unit of royal <unk> group an <unk> concern
 when the going gets tough it 's tough to trade stocks in continental europe
 that 's the troubling conclusion reached by many international investors and money managers angry at the <unk> on continental stock exchanges during last week 's global market turbulence
 they say the recent market volatility has underscored the <unk> of the way many european exchanges trade stocks
 the weaknesses of continental exchanges are driving some fund managers to switch business to stocks traded on london 's stock exchange which quotes firm trading prices for about N blue-chip issues from N major countries
 i 'm not saying london covered itself in glory but the events of the past week have certainly exposed europe 's weaknesses says stewart <unk> a director of scottish amicable investment managers in <unk> scotland which manages about # N billion $ N billion in institutional money
 he says the problems on european exchanges included <unk> <unk> delayed execution of buy and sell orders and trading <unk>
 the events strengthen london 's hand in becoming the center for trading european stocks mr. <unk> says
 unable to unload a large block of a french blue-chip company 's shares in paris for two days last week a frustrated scottish amicable fund manager finally <unk> down her phone in <unk> and called james capel & co. a london brokerage firm
 the firm did the trade in seconds on the london stock exchange 's <unk> <unk> system
 on so-called manic monday oct. N stock prices plunged across europe and trading problems erupted
 london had some problems too
 the london exchange 's electronic <unk> system provided only <unk> or <unk> prices for about N minutes on manic monday
 some dealers say other traders were n't picking up their phones
 but london 's problems were nothing compared with the continent 's
 in brussels which recently spent millions of dollars on a <unk> trading system <unk> traders watched <unk> as a software failure before opening on manic monday prevented trading for two days
 for N hours no one had any idea precisely how much his securities were worth
 by wednesday frustrated belgian brokers reopened the market by using the <unk> method of <unk> stocks with <unk> on a <unk>
 the belgian computer system finally was repaired and <unk> on tuesday of this week with the aid of toronto stock exchange officials who developed the system
 in frankfurt which only has a <unk> daily <unk> session even in the best of times stocks did n't open for the first N minutes because of order imbalances that brokers blame on a wave of sell orders from small investors
 as banks processed <unk> <unk> of sell orders the crush led to manic monday 's worst decline german stocks ended down N N
 exchange officials extended trading hours N minutes on monday and N minutes on tuesday to clear up order backlogs
 in france more than half the top N blue-chip stocks including such giants as bsn and <unk> <unk> did n't open until wall street rallied late in the european trading day traders say
 the rally transformed some big sell orders into big buy orders solving an <unk> problem
 but by that time many big institutions had switched business to london
 belgium was closed for two days france closed for a couple of hours germany was stuck
 it was a nightmare says susan noble an investment manager at robert fleming holdings ltd. 's international investment management unit in london
 it 's very worrying that these markets ca n't cope
 on manic monday the volume of german shares traded in london more than tripled to N million and the volume of french shares rose N N
 by comparison german domestic stock volume in frankfurt only doubled that day
 the switch to the london market during such <unk> times is significant
 for one thing the size of the affected market is enormous the european stock markets account for some N N of global stock market capitalization with an estimated value of $ N trillion according to morgan stanley capital international
 the continental markets alone contribute about N N of estimated world market capitalization of $ N trillion
 though the widely traded shares that are quoted in london account for only a small portion of those totals they still are the most closely watched stocks and are often viewed as a barometer for the local markets generally
 the switch to london <unk> the fact that despite the economic restructuring associated with european community efforts to develop a single market by N european stock trading remains a highly <unk> and very <unk> activity
 against this backdrop one thing that does n't seem likely to result from N is a single european stock market
 rather there increasingly is a group of international brokerage and trading firms that operate in most european financial centers including european giants such as barclays bank plc and deutsche bank as well as merrill lynch & co. and shearson lehman hutton inc. of the u.s. and japan 's nomura securities co
 these firms which often have acquired a local brokerage firm are calling the shots when it comes to deciding in which market to <unk> a trade
 and senior officials of two u.s. securities houses say they switched trades in european stocks to the london market last week when they could n't <unk> positions on the continent
 meantime brokers on the continent are worried too mostly by the potential loss of business
 i would be much <unk> if this volume in german stocks were in frankfurt rather than london says <unk> <unk> head of international equity sales at dresdner bank in frankfurt
 he acknowledges that spreads were too wide and volumes too light in the extreme conditions on manic monday
 already the germans appear to be acting at a special meeting on the day of the decline directors of the frankfurt stock exchange voted to extend their trading hours although they have n't decided when or by how much
 a frankfurt exchange official acknowledging the brokers ' <unk> says the market still feels it <unk> ok during this crash
 the dutch who had some trading problems because of insufficient computer capacity say new equipment to solve the problems ought to be installed within a month
 says a spokeswoman for the brussels <unk> nobody around here will tell you they are happy the system did n't work
 but it 's just one of those things that happened
 investors can be assured now that this kind of problem can never occur again
 but for others the <unk> echo the promises made after the N stock crash when similar problems led many markets to develop the new systems that performed so badly last week
 they all said they invested huge amounts of money
 but they either did n't buy the right machines or they wasted it says fleming 's ms. noble
 canadian steel production totaled N metric tons in the week ended oct. N a N N increase from N tons the previous week but a N N decline from N tons a year earlier statistics canada said
 the federal agency said that in the year through oct. N production totaled N tons up N N from N tons
 trinova corp. said it will resume buying back as many as three million of its common shares under a program announced two years ago
 trinova which had N million common shares outstanding sept. N had <unk> N shares since october N before this latest announcement
 the company said it is n't making a commitment to purchase a specific number of shares
 in new york stock exchange composite trading yesterday trinova closed at $ N up N cents
 <unk> inc. and <unk> inc. said they plan a joint project to develop biological products to control such plant diseases as <unk> a potent <unk> agent
 under the plan the companies will use <unk> 's <unk> technology to <unk> <unk> such as <unk> <unk> a bacterium to enhance their biological activity against plant diseases
 <unk> an agricultural biotechnology concern said initial work will concentrate on a <unk> strain of <unk> <unk> which has shown promise for controlling <unk>
 the strain was discovered by <unk> & co. and licensed to <unk> a unit of uniroyal chemical co
 <unk> is released by <unk> during grain and seed storage
 the recent appearance of <unk> in such foods as corn and <unk> butter has sparked public concern and consumer scrutiny of food handling and storage procedures
 european community employers fear that the ec commission 's plans for a charter of fundamental social rights is a danger to industrial competitiveness
 we do n't want brussels deciding conditions for workers unless they are necessary and useful said <unk> <unk> secretary general of the employers ' confederation <unk>
 <unk> an <unk> for the union of industrial and employers ' <unk> of europe fears that the charter will force ec countries to adopt a single pattern in labor relations
 workers and management mr. <unk> said would lose the flexibility and diversity that has so far allowed them to <unk> to local conditions and <unk>
 the british government also strongly opposes the charter in its current form
 it argues as does <unk> that labor relations are best left to be regulated at the national level
 france will propose a slightly <unk> version of the charter to be discussed by ec <unk> ministers on monday officials said
 but the cosmetic changes are n't expected to win over britain
 we still have serious differences with the text a british official said because it provides for a regulation of the labor market
 mr. <unk> said the charter would put poorer ec countries such as spain greece and portugal at a disadvantage
 it would force these countries to introduce minimum standards for pay and working hours and provide for collective bargaining and worker participation in major corporate decisions
 this he warned would prevent these countries from <unk> the difference with their richer ec <unk>
 indeed lower wages in greece they are a third of the ec average are n't enough to offset higher transport costs and lower productivity in the southern countries
 increasing labor costs mr. <unk> argued would only put the countries at a further disadvantage in competing in the <unk> ec market planned for after N
 but the <unk> official said that producing a charter acceptable to both britain and european industry is n't an <unk> goal
 the charter would just have to be restricted to a list of workers ' fundamental rights without seeking to impose any <unk>
 a key provision in the current version of the charter would give the commission a mandate to produce an action program detailing on what points ec member states would be required to comply with the goals set out in the charter
 this provision lies at the heart of the british and <unk> fears of social engineering by the commission
 one possible political solution an ec official said would be for the commission to present the action program in late november before the adoption of the charter at a summit of ec governments on dec. N and N
 this would leave britain free to adopt the charter after having <unk> the action program
 the charter was approved by the ec commission on sept. N
 france 's socialist government which currently holds the council 's <unk> presidency is committed to having the charter adopted by all N ec states before the end of N the <unk> of the french revolution and its universal declaration of human rights
 bruno <unk> chairman of <unk> brothers lumber <unk> pa. was named a director of this bank-holding company expanding the board to N members
 sam ramirez and his men are late
 they pile out of their truck and <unk> begin <unk> together steel pipes linking a giant storage tank to the <unk> a <unk> <unk> oil well two miles deep
 if they finish today the <unk> can pump tomorrow
 one <unk> hanging by his hands from a <unk> <unk> his weight on a <unk> <unk> to loosen a stuck <unk>
 we 've been putting in long hours mr. ramirez says <unk> weeks and <unk> days for the last two months
 a year ago when almost nothing was happening amid these <unk> dunes you 'd spend two days working and two days in the yard he recalls
 after a three-year nightmare of uncertain oil prices <unk> budget cuts and sweeping layoffs fear is finally leaving the oil patch
 independent <unk> are <unk> sinking <unk> into the earth 's <unk> again
 some in big oil are easing the grip on their <unk>
 investment capital is creeping back and oil properties are <unk> more
 <unk> prices are even <unk> up
 what happened
 in <unk> terms stability has quietly settled into international oil markets
 mideast politics have <unk> down and the <unk> within the organization of petroleum exporting countries seems under control for now
 the fundamentals of supply and demand once again are setting oil prices says victor <unk> an arthur <unk> & co. oil expert
 after years of wild swings oil prices over the last N months have settled at around $ N to $ N a barrel
 that is n't the $ N that <unk> producers a decade ago or the $ N that pleased users a year ago
 but it is high enough to <unk> the search for future supplies low enough to promote consumption and most important steady enough for both producers and users to believe in
 not that oil suddenly is a sure thing again
 the current <unk> is fragile and depends on steady strong demand and continued relative harmony within opec producer of more than N N of the <unk> world 's crude
 a recession or new opec <unk> could put oil markets right back in the soup
 also the new <unk> are <unk> and some question their extent
 drilling activity is still far below eight years ago there 's no hiring surge and some companies continue to shrink
 with all this even the most wary oil men agree something has changed
 it does n't appear to be getting worse
 that in itself has got to cause people to feel a little more optimistic says glenn cox the president of phillips petroleum co
 though modest the change reaches beyond the oil patch too
 the same roller-coaster prices that halted u.s. oil exploration and drove many veteran oil men and companies out of the business also played havoc with the nation 's inflation rate the trade deficit and oil users ' corporate and personal budgets
 now at least some <unk> has returned for everyone from economists to <unk>
 corporate planners can plan again
 management does n't want surprises notes jack <unk> who as <unk> director at american airlines buys some N billion gallons of jet fuel a year
 prices had been so unstable that two years ago mr. <unk> gave up on long-term forecasts
 and consumers should be comfortable adds w. <unk> moore u.s. deputy secretary of energy
 i do n't see anything on the horizon that could lead to a <unk> rise in the price
 the catalyst for all this has been opec
 about a year ago it ended an <unk> <unk> internal production war that had put prices on a roller <unk> and pitched oil towns from houston to <unk> into recession
 saudi arabia opec 's <unk> abandoned a policy of flooding the market to punish <unk>
 about the same time the <unk> war which was <unk> oil markets ended
 in addition global petroleum demand has been climbing
 it is projected to keep growing by a million barrels a day or up to N N annually for years to come
 for opec that 's ideal
 the resulting firm prices and stability will allow both producers and consumers to plan <unk> says saudi <unk> oil minister <unk> <unk>
 opec <unk> <unk> explains consumers offer security of markets while opec provides security of supply
 this is an <unk> time to find mutual ways to prevent price shocks from happening again he says
 to promote this balance opec now is finally <unk> a <unk> internal problem
 at its november meeting it will try to revise its quotas to satisfy persian gulf members that can produce far more oil than their <unk>
 being held well below capacity greatly <unk> them and has led to widespread cheating
 opec has repeatedly raised its <unk> production ceiling to <unk> some of that unauthorized output
 oil ministers now hope to solve the issue for good through an iranian proposal that gives a larger share of output to countries with surplus capacity and reduces the shares of those that ca n't produce more anyway
 but if they walk out without any effort to resolve their problem production could increase to N million or N million barrels a day making for a very troublesome first quarter warns <unk> <unk> a consultant and former <unk> opec delegate
 that would send prices <unk> from what some <unk> u.s. oil executives still regard as too low a level
 patrick <unk> early president of amoco corp. 's <unk> unit says that despite recent stability he plans continued tightening of costs and exploration spending
 the view of some others in big oil he maintains is very much similar to amoco 's outlook
 just this week mobil corp. disclosed new cutbacks in its domestic exploration and production operations
 out here on the <unk> plains of new mexico however the mood is more upbeat trucks <unk> along the dusty roads and <unk> men in hard hats sweat and <unk> through the afternoon sun
 santa fe energy co. a unit of santa fe southern pacific co. bought from amoco the rights that allowed it to drill the <unk>
 a mile and a half away looms the <unk> rig of the <unk> due to be pumping by december
 talk is that everybody is going to drill more wells says <unk> <unk> <unk>
 santa fe aims to drill about N wells in this area in N and double that next year
 it is more aggressive than most but it is n't the only company with a new attitude as it found when it went looking for a partner for the <unk>
 we went to six companies over two days pitching the prospect says tim parker a santa fe exploration manager
 five were interested
 mitchell energy & development corp. became the partner <unk> up more than half of the $ N in drilling and start-up costs
 mitchell will get a <unk> in the oil
 a kind of <unk> mentality had been <unk> activity says don <unk> mitchell 's oil exploration chief
 now everybody is a lot more optimistic
 one attraction for oil operators here and in other fields is the <unk> cost of drilling and equipment reflecting service companies ' <unk> for work
 <unk> oil co. a small texas independent is currently drilling two wells itself and putting money into three others
 one of its wells in southwestern oklahoma is a rank <unk> a risky well where oil previously has n't been found
 at this price $ N plus or minus and with costs being significantly less than they were several years ago the economics are pretty good says george <unk> head of the company
 if you know you 've got stability in price you can do things you would n't do with the volatility of the past few years
 the activity is enough to move some <unk> prices back up a little
 some <unk> prices have risen N N in the past month
 in the gulf of mexico a boat to deliver supplies to offshore <unk> now costs around $ N a day up nearly N N since june
 some service <unk> recently were auctioned for about $ N million each up from less than $ N million two years ago
 at the bottom of the slump <unk> inc. was discounting N N on an electronic evaluation of a well now it discounts about N N <unk> say
 still there is money to be made
 most oil companies when they set exploration and production budgets for this year forecast revenue of $ N for each barrel of crude produced
 prices have averaged more than $ N a barrel higher than that not a <unk> but at least a <unk> bonus for them
 so according to a dun & bradstreet corp. survey companies that had been refusing to spend even their very conservative budgets may loosen up before year end
 it says N N of those surveyed report that N exploration spending will exceed N 's
 funds for drilling may inch up more next year if oil prices stay stable
 texaco thinking in terms of $ <unk> oil for N may raise spending especially for <unk> prospects an official says
 outside investors scarce since <unk> are <unk> back
 although it 's still difficult to raise money for a pure <unk> program says william thomas a texas commerce bank official in houston institutions are starting to see there are cycles to these things and this one is beginning to turn
 wall street generally likes the industry again
 the appetite for <unk> stocks has been especially strong although some got hit yesterday when shearson lehman hutton cut its short-term investment ratings on them
 contractors such as parker drilling co. are raising cash again through stock offerings and for the first time in years two <unk> companies recently went public
 they are grace energy corp. of dallas and marine drilling co. of houston
 most oil companies are still reluctant to add to the office and professional staffs they slashed so deeply
 but a few new spots are opening
 arthur <unk> the accounting firm has increased its energy staff N N in a year
 out in the oil fields if activity picks up much more shortages could appear because so many <unk> <unk> and others left after the crash
 already it 's hard to get people
 they 're so busy says one santa fe drilling <unk> here
 for most field workers it 's about time
 mr. ramirez who arrived late at the <unk> with his crew because he had started early in the morning setting up tanks at another site just got the first raise he can remember in eight years to $ N an hour from $ N
 norman young a <unk> at the <unk> well has worked all but about nine days of this year
 last year i was off a straight month then one time for two to three weeks and another two to three weeks he says
 <unk> <unk> who sells <unk> equipment for davis tool co. is also busy
 a native of the area he is back now after riding the <unk> boom to the top then surviving the <unk> running an oklahoma city convenience store
 first year i came back there was n't any work he says
 i think it 's on the way back now
 but it wo n't be a boom again
 no major <unk> no major setbacks he predicts
 business has been good enough that he just took a <unk> weekend trip to the mountain area of <unk> something i have n't done in years
 the figures confirm that there certainly is n't any drilling boom
 only N wells including N dry <unk> were <unk> for oil and natural gas in the u.s. in the first nine months of the year down N N from the like N period
 but that was off less than at midyear when <unk> lagged by N N
 and the number of <unk> active in the u.s. is <unk> up
 according to baker hughes inc. N <unk> <unk> were at work in the u.s. last week up from the year-ago count of N
 in N before the <unk> the rig count was above N
 global <unk> use shows a similar upward trend
 some equipment going to work is almost new
 grace energy just two weeks ago <unk> a rig here N miles from <unk> <unk> to drill the <unk> well a <unk> $ <unk> natural gas well
 the rig was built around N but has <unk> only two wells the last in N
 until now it had sat idle
 for <unk> <unk> owner and a cook at the <unk> <unk> <unk> a <unk> building in <unk> all this has made for a very good year
 after N a.m. or so we have them standing and waiting she says as she <unk> out orders for <unk> and the daily special <unk> <unk> beef <unk> and <unk> <unk> <unk> on whole wheat potato <unk> <unk> <unk> and <unk> plus coffee or <unk> tea
 price $ N
 mike <unk> a <unk> is even making it in his new career as an entrepreneur
 he started arrow <unk> inc. a year ago with a loan from a friend since repaid and now employs N
 he got three trucks and a <unk> cheap
 i want to add one more truck mr. <unk> says
 i sense that it 's going to continue to grow
 that 's the word
 the word is out
 eight people including a supervisor of security pacific national bank 's central vault were arrested in an investigation of an alleged drug <unk> operation
 the u.s. attorney 's office filed a criminal complaint against six bank employees charging them with conspiracy in the scheme which apparently was capable of handling millions of dollars a week by <unk> cash through <unk> bank accounts
 two other men also were charged with participating in the operation
 the <unk> capped a <unk> investigation by the internal revenue service the u.s. attorney 's office and a security pacific internal investigation team
 walter s. fisher executive vice president and general <unk> of the bank 's parent security pacific corp. said no bank funds were at risk during the investigation
 arrested were jose o. <unk> N years old of <unk> calif. the vault supervisor carlos o. <unk> N of la <unk> luis a. <unk> N of los angeles <unk> <unk> jr. N of baldwin park <unk> <unk> N of bell gardens and ana l. <unk> N of <unk> park
 <unk> m. <unk> N of los angeles and <unk> n. madison N of <unk> were also charged with participating in the conspiracy
 each defendant faces a possible sentence of N years in prison and $ N in fines
 the defendants could n't immediately be reached for comment
 s.a. brewing holdings ltd. began laying the <unk> to launch a rival offer for bond corp holdings ltd. 's australian brewing operations
 such an offer could <unk> a plan by lion nathan ltd. of new zealand to acquire half the brewing interests
 but it would probably increase the amount of cash that <unk> bond corp. would earn from the transaction
 australia 's national companies and securities commission said it will allow s.a. brewing to acquire an option on as much as N N of bell resources ltd. a unit of bond corp. that is in the process of acquiring bond corp. 's brewing businesses for N billion australian dollars us$ N billion
 s.a. brewing which is <unk> by elders <unk> ltd. australia 's largest brewer will make a takeover offer for all of bell resources if it exercises the option the corporate regulators said in a statement
 bond corp. a brewing property media and resources concern controlled by financier alan bond is selling many of its assets to reduce an a$ N billion debt
 contrary to what might be expected based on the headline on john r. dorfman 's recent money matters article pros hit <unk> right where it <unk> oct. N i was able to stand <unk> before my <unk> finance students and <unk> that the findings of your <unk> experiment on stock picking is completely consistent with what they have been taught in the classroom
 in particular i do not find the fact that your group of pros ' monthly <unk> of four stocks <unk> the market in general to be <unk> with market efficiency
 mr. dorfman states that an investor who invested $ N a year ago in the first four stocks selected by your pros and then sold those one month later purchasing the four new pro picks and repeated this process for the year would have accumulated $ N excluding account dividends taxes and commissions
 in contrast an investor holding the dow jones portfolio over the year would have accumulated only $ N
 accepted theories of asset pricing offer a perfectly legitimate explanation
 accepted theories state that investors require higher returns on riskier investments
 thus rather than seeing the excess returns to the <unk> portfolio as being <unk> i see those returns as simply <unk> for taking on added risk
 i believe the risk for each individual stock selected by your pros is very large
 if you asked me to select a stock with the highest expected return i would select a stock with the greatest amount of <unk> risk as i am sure your pros do
 your hypothetical investor is simply being <unk> for taking on this added risk
 moreover your hypothetical investor has <unk> the gains to be had in reducing risk by diversifying his portfolio
 a <unk> portfolio is still exposed to a great deal of unnecessary risk
 this means the returns can vary a great deal
 mr. dorfman provides confirming evidence of this phenomenon when he reports that your staff of <unk> <unk> would have accumulated only $ N by <unk> <unk> four new stocks to be held in a portfolio each month
 scott e. <unk> texas <unk> university <unk> texas your investment <unk> article misses the target
 the fact that stock pickers have <unk> a <unk> selected portfolio in eight of N months has no bearing on the <unk> theory
 what matters is that the stocks recommended by your pros tend to be substantially riskier than a diversified portfolio
 for example your pickers ' recommendations for the coming month are on average N N riskier than holding the market portfolio according to value line 's beta estimates
 james morgan 's pick for october <unk> is a substantial N N riskier than the market portfolio his <unk> <unk> <unk> pick is N N riskier
 eric c. <unk>
 peter w. <unk> president of <unk> university bethlehem pa. was elected a director of this maker of industrial <unk> parts and systems
 his appointment <unk> the board to N members
 california <unk> make travel agents jittery
 being a travel agent used to be pretty glamorous
 now it 's getting downright dangerous
 in recent months more than N agencies have been robbed compared with only a handful all last year according to police and <unk> groups
 most of the cases have been in california where one agent was <unk> and another was shot and killed
 los angeles police say the thieves seem to be part of a crime network that knows how to convert blank tickets into real ones
 already the stolen tickets have been used for flights all over the world
 so far the thieves have stolen N blank tickets according to airline reporting corp. a ticket processing center
 police say the <unk> are usually pulled off by two to five men who walk into the agencies near closing or lunch time when few employees are there
 they looked like ordinary <unk> at first says <unk> <unk> owner of travel air service in monte <unk> calif. describing five men who entered his agency last june
 but then he says they put two loaded <unk> to his temple and demanded he open the safe
 when he initially refused he says they <unk> him in the back and made off with $ N and N blank tickets
 they said they wanted to show me how serious they were he says
 as word of the crime spree has spread many agents have started changing their <unk> policies
 at el monte travel center in el monte calif. customers now can get in only through a <unk> and lock system
 it 's hard to deal with clients this way in a service business says ralph <unk> conner owner of the agency which was robbed of N blank tickets and $ N last month
 but we 're just too nervous
 the <unk> also have set off a controversy involving the airlines
 agents say airlines which track ticket numbers of all stolen tickets should be doing more to catch the thieves by <unk> the tickets when they 're used
 they have the most sophisticated computers in the world says mr. <unk>
 they ought to be able to do this
 but airlines say it would be too expensive and cause too many delays if they started using computerized <unk> to check tickets at the gate
 texans get reasonable car rental insurance
 consumer advocates have long claimed that car rental companies charge too much for car rental insurance
 now a new law in texas seems to be providing the proof
 the law the first of its kind requires car rental companies in texas to charge only reasonable rates for <unk> waiver insurance
 specifically the law says the rates must closely reflect what the company 's actual expenses have been to replace damaged cars
 before the law went into effect last month car rental companies were charging as much as $ N a day for the waiver in texas
 now they 're charging as little $ N a day
 if they 're telling the truth now then they 've been charging N N more than what is reasonable says steve <unk> an assistant state attorney general in texas
 a spokesman for hertz corp. acknowledges the waiver is n't a source of protection for consumers but a source of revenue
 but hertz points out that at least it 's now charging only $ N a day in texas while some competitors are charging $ N
 the state attorney general 's office is investigating rental car agencies charging <unk> higher prices
 flight attendants lag before jets even land
 if your flight <unk> seems a little <unk> it may be because he or she has been working N straight hours
 a recent study for the federal aviation administration found that major airlines sometimes make flight attendants work N hours or more straight despite union contracts at some airlines limiting duty time to N hours
 some flight attendants on charter planes are putting in <unk> work days the study found
 this happens because the faa does n't have any rules on duty time for flight attendants by contrast it strictly restricts duty time for pilots and air traffic controllers usually to a maximum of N consecutive hours
 as far as the faa is concerned says <unk> <unk> air safety director at the association of flight attendants flight attendants can work an <unk> number of hours
 experts say such long hours for attendants pose a safety risk
 for instance tired flight attendants might not react quickly enough during an emergency evacuation
 at the end of their day they are <unk> says john <unk> president of the aviation safety institute a <unk> group in <unk> ohio
 they have to work such long hours and then we expect them to be heroes if there 's an evacuation
 in response to the study the faa says it is considering changing its policy or lack of it on flight attendants
 the agency may not have much choice a congressional bill has been introduced that would force the agency to limit flight <unk> duty time to N hours on u.s. flights and N hours on international trips
 odds and ends
 golf has become the latest diversion for travelers stuck at some airports
 <unk> golf games in which players hit golf balls into <unk> have been installed at airports in denver and pittsburgh
 the average cost for breakfast at a decent hotel restaurant in new york is $ N according to corporate travel magazine
 the cheapest among N cities surveyed was $ N in el paso texas
 mark <unk> <unk> was named executive vice president and chief financial officer
 mr. <unk> N years old formerly was <unk> and chief accounting officer at <unk> communications inc
 management co. manages <unk> and produces markets and finances entertainment
 why do you continually ignore the <unk> effects of indexing the basis of capital gains for inflation
 why do you maintain the house-passed capital-gains plan is a temporary reduction when it is not
 i think the reason is that you are confusing tax rates with tax payments
 your sept. N page-one story on the house-passed capital-gains plan is a good example
 you lead readers to believe that the house reduced the capital-gains tax for two years only
 you virtually ignore the <unk> power of indexation which in many cases is more substantial than a lower rate
 the monetary tax benefit of indexation for all gains in excess of inflation can be measured using the following equation tax rate times inflation rate times basis for the gain
 depending on the size of the gain and the rate of inflation indexation can mean a lower tax payment than using the N N rate without indexation
 but in any event and this is the important point tax payments on capital gains will be lower with indexation than under current law even though the tax rate is the same under both systems
 as you can see the capital-gains reduction plan adopted by the house would not be temporary but permanent
 i hope that you begin talking about the plan 's permanent and in my view most beneficial feature indexation
 rep. robert k. <unk> r. calif washington
 that the <unk> for the two-year reduction to N N is budgetary does not mean it is not in the public interest
 the reduction <unk> the burden on portfolio changes and <unk> capital to seek more productive or more appropriate uses
 but what is really significant is the indexation of capital gains after N
 to argue that this is not likely to affect the economy in positive ways is contrary both to recent experience with capital-gains tax cuts and to common sense
 a large part of the long-term appreciation of assets reflects inflation and the taxation of <unk> capital gains is <unk>
 does the journal really believe that people ignore the prospect of having a substantial part of their capital confiscated when they decide whether to save or how to invest
 under current law it is not financially rational to <unk> consumption
 real <unk> returns from financial assets are on the order of N N or N N a year
 the capital-gains tax reform is a step toward <unk> one of the <unk> structural weaknesses of the u.s. economy the closely connected <unk> of low savings rates weak capital formation and high capital costs
 j. <unk> nielsen richmond va
 <unk> <unk> N years old was elected president and chief operating officer of this designer and marketer of graphics video cable and other <unk> equipment
 he succeeds alfred <unk> <unk> N who continues as chairman and chief executive officer
 mr. <unk> formerly was group vice president of marketing and product planning for <unk> and president of the <unk> and video products division
 <unk> grace & co. said it formed a new <unk> company by combining its <unk> and <unk> business with sierra chemical co. <unk> calif
 grace a maker of specialty chemicals that already owned about N N of closely held sierra said it owns a N N stake in the new company
 grace said it did n't invest any additional capital in the venture which will be known as <unk> <unk> products co
 the business is expected to have sales of about $ N million in N grace said
 the new company 's product lines will be aimed at <unk> <unk> and the lawn and garden industry
 the financial accounting standards board said it will soon issue a rule requiring disclosure about the financial risk of certain financial instruments
 but the chief <unk> body for accountants backed off one part of its original proposal made earlier this year that would have required a breakdown of certain <unk> items related to <unk> sheet instruments
 the <unk> detail was opposed by many banks and thrifts that felt the cost of supplying such data was n't worth the value of the disclosures
 under the initial proposal for example banks would have been required to disclose that portion of <unk> for loan losses that reflects specific letters of credit for which customers had defaulted
 the final rule wo n't require such a breakdown of the <unk> for loan losses which appears on the balance sheet
 the fasb rule will cover such financial instruments as interest rate swaps financial guarantees <unk> interest rate contracts loan contracts loan commitments and options written on <unk> held
 it will require companies to <unk> out in more detail collateral <unk> and <unk> of credit risk for all financial instruments
 the rule will require companies with financial instruments that have <unk> sheet risks to disclose data about the value and terms of the instruments any accounting loss that would occur if the outside party involved in the instrument failed to perform and the company 's policy for requiring collateral or other security for the instrument
 scott miller an fasb project manager said that a final rule will be issued before year end
 but he noted that the initial effective date of the earlier proposal had been delayed by six months
 poughkeepsie savings bank said a plan to sell its south carolina branch offices to first citizens bank of columbia s.c. fell through
 poughkeepsie also expects to post a one-time charge of $ N million resulting in a net loss for the third quarter
 the charge represents a write-down of the goodwill associated with poughkeepsie 's investment in the banks it is trying to sell and its north carolina branches as well
 the thrift announced the plan aug. N
 among other reasons high fees regulators imposed on certain transfers of thrift deposits to commercial banks substantially altered the economics of the transaction for both parties poughkeepsie said
 additionally the bank is increasing its loan-loss reserves for the third quarter by $ N million before taxes
 in the year-earlier third quarter poughkeepsie savings had net income of $ N million or N cents a share
 poughkeepsie said it is continuing to try to sell itself under a june agreement with a <unk> group
 the bank also said its effort would continue past the nov. N deadline set in that agreement and that the litigation between the two sides might resume as a result
 the thrift and the holders had suspended their lawsuits as part of the agreement
 joe frank <unk> jr. was elected president and chief executive officer of this <unk> producer
 joe frank <unk> who is currently chairman chief executive and treasurer will remain chairman
 the current president and chief operating officer j. <unk> johnson was elected to the new position of vice chairman of the board
 <unk> inc. was dropped from the consumer services industry group of the dow jones equity market index because the company split itself in a restructuring
 it was succeeded in the group by <unk> industries inc
 both moves are effective today
 a potentially safer whooping cough vaccine made by novel genetic engineering techniques was described by a team of italian u.s. and japanese scientists
 the team reported they managed to induce bacteria to produce a <unk> version of the <unk> produced by the bacterium that causes whooping cough
 laboratory tests showed that <unk> versions of the <unk> are capable of <unk> an <unk> to whooping cough the researchers reported in this week 's issue of the journal science
 the current vaccine for whooping cough or pertussis is part of the <unk> for <unk> pertussis <unk> shot given most <unk> and young children
 the vaccine is effective in preventing a disease that still <unk> about N million children a year world-wide causing an estimated one million deaths
 the vaccine however causes <unk> reactions that can be fatal
 the reactions stem from the fact that the vaccine contains multiple copies of the whole <unk> pertussis bacterium which causes whooping cough
 this bacterium produces a toxin that if used as a vaccine can induce <unk> to whooping cough
 unfortunately the toxin is also <unk>
 the <unk> scientific team said they had succeeded in getting bacteria to produce a <unk> version of the pertussis toxin which could be used as a safe vaccine
 the researchers reported they have been able to <unk> the five genes that produced the toxin out of the pertussis bacterium
 it turned out that although it took all five genes to produce the toxin only one was responsible for the toxin 's <unk>
 ordinarily in genetic engineering each of these genes minus the one that caused the <unk> would have been transferred to another bacterium called e. <unk> which would then produce a <unk> version of the toxin
 the researchers said they did this but the toxin did n't induce <unk> to whooping cough
 the scientists then took the five toxin genes and triggered a <unk> in the one gene that caused <unk>
 then using a new technique called <unk> <unk> for introducing genes into cells they transferred all five genes to bacteria closely related to the pertussis <unk>
 these <unk> <unk> ordinarily do n't make the toxin
 but the genes were accompanied by a piece of dna called a <unk> that turns the genes on
 the new bacteria recipients of the genes began producing pertussis toxin which because of the <unk> <unk> gene was no longer toxic
 experiments showed that the new <unk> toxin is capable of <unk> <unk> according to the researchers from the <unk> research center in <unk> italy the medical college of wisconsin in milwaukee and the japanese national institutes of health
 carl e. <unk> president and chief executive officer of bank one dover has been named regional president a new post at the bank-holding company
 mr. <unk> N years old will be responsible for the company 's N banks in the eastern region
 dan j. <unk> N executive vice president of bank one dover was named president and chief executive of the dover bank succeeding mr. <unk>
 no one was named to succeed mr. <unk>
 at a time when foreign banks are pouring vast resources and personnel into west germany 's financial center the opening of a <unk> office on a frankfurt side street should n't attract much attention
 unless of course it happens to be run by the rothschilds
 after an <unk> absence from the <unk> of the family banking empire the return of the rothschild group to frankfurt was greeted by the glare of television lights <unk> reporters and a mayoral reception in town hall
 like other foreign banks establishing a presence here the family describes its move as a calculated decision to set up a financial services <unk> in europe 's largest economy ahead of the integration of european community markets after N
 yet the rothschilds do n't deny an emotional element to the decision
 in N mayer <unk> rothschild founded <unk> <unk> rothschild & sons and later sent his four sons to london paris vienna and <unk> to begin the bank 's expansion during the early 19th century
 the original bank in frankfurt closed in N after the death of <unk> carl von rothschild and the family 's banking activities focused on london and paris
 <unk> <unk> de rothschild the family 's <unk> spokesman explains that by the end of the 19th century berlin had replaced frankfurt as germany 's financial center
 yet the chief reason for the <unk> he says was rooted in a family tradition that would n't allow a bank to bear the rothschild name without a rothschild in its management
 at the time we had only daughters explains the <unk> <unk> so we had to close the bank
 much of the family 's <unk> remained
 although its <unk> residence was destroyed by <unk> during world war ii the rothschilds ' place in frankfurt 's history is still recalled by the city park and a street bearing the rothschild name
 the family 's long absence is <unk>
 the family was in allied countries during both world war i and the long period of economic <unk> of the 1920s
 during the third reich the rothschilds were a target of <unk> propaganda against jewish financiers
 the <unk> pursued the rothschilds across europe as the <unk> grabbed countries <unk> the family 's property in the process
 american journalist william l. <unk> in his book the rise and fall of the third reich wrote of how in vienna he had <unk> <unk> of <unk> <unk> men <unk> off silver <unk> paintings and other <unk> from the rothschild palace
 in the immediate postwar years the rothschilds concentrated on rebuilding their other european operations delaying their return to frankfurt
 for a member of the rothschild family the return to frankfurt is a very meaningful event although it might not mean as much to german banking as it means to us says <unk> david de rothschild <unk> 's younger <unk> and a partner in rothschild & cie banque in paris
 indeed the competition is n't greatly concerned
 it would be surprising if they did n't come to frankfurt in time for N and they bring an interesting tradition
 but the market really is n't going to be stood on its head said a banker at one of frankfurt 's big three banks
 the return of the rothschilds is modest
 the new representative office with one manager and two <unk> none a member of the rothschild family will carry out no banking operations of its own
 instead it is to seek out corporate financing business and sell investment products on behalf of the family 's mainstay banking units <unk> <unk> rothschild & sons ltd. in london rothschild & cie. in paris and rothschild bank ag in zurich
 the constraints do n't bother the office 's <unk> manager erich <unk>
 he left his job as general manager of shearson lehman hutton holdings inc. 's frankfurt office because he says when the rothschilds called i could n't resist
 each rothschild bank is linked by family ties and <unk>
 in march <unk> <unk> rothschild in london and rothschild bank in zurich showed assets of # N billion $ N billion and N billion swiss francs $ N million respectively
 the paris bank does n't publish that figure
 in europe the rothschilds banks are focusing on mergers and acquisitions as european industry <unk> ahead of N
 yet the group 's limited resources makes it a niche player
 obviously there are <unk> limitations on the assistance we can provide concedes <unk> david de rothschild but we feel we have some cards to play
 among them he says is the family 's traditional ties to old wealth and <unk> in banking and industry throughout europe and beyond
 the rothschilds hope to use a long history in private banking and an <unk> of exclusivity to attract private and institutional investors
 as at the zurich bank the minimum investment for individuals will be high about a million german marks $ N three times what many other west german investment banks require
 but we do make exceptions says a smiling <unk> <unk> de rothschild especially if they are very young and have very rich parents
 as program trading comes under renewed attack for causing stock market gyrations a few people on wall street say it is time to consider extreme measures
 the real answer to curbing wild swings in stock prices they say might be to curb or even abolish stock-index futures
 a stock-index future is a contract to buy or sell the market value of a basket of stocks such as the standard & poor 's 500-stock index
 since stock futures were created in N trading on the chicago mercantile exchange and other exchanges has <unk> to the point where trading in stock-index futures rivals that in the stocks themselves
 the conventional view as voiced by goldman sachs & co. partner <unk> black is that stocks and <unk> such as futures and options form a single market and that <unk> make it a more liquid market
 but increasingly people are questioning that view and the critics include some of the country 's most successful investors
 warren buffett has been on record as opposing stock-index futures since their inception in N
 and mario <unk> another star in the investing world says my gut says the <unk> of futures and <unk> far outweigh the benefits
 like others mr. <unk> says that if futures cause investors to lose confidence in stocks they will move away from stocks as many have already done
 and those who remain he says will demand a higher return and over time raise the cost of capital to companies
 essentially the critics of stock-index futures fall into two camps
 one group says the futures contribute to stock market volatility the other contends that futures are a <unk> of speculation that <unk> from the stock market 's basic function of raising capital
 before futures says new york investor michael <unk> you actually had to pay attention to whether the thing you were buying had any <unk> value
 while it was once expected that futures would mimic stock prices traders now routinely check the futures markets in chicago before they buy or sell stocks
 when chicago futures prices jump up or down the new york stock exchange follows
 on tuesday for instance the dow jones industrial average plunged N points in little more than an hour
 then in the space of a <unk> coffee break the average rallied almost all of the way back
 paul <unk> who manages more than $ N billion of investments at <unk> capital management inc. blames futures markets for leading the way
 the fundamentals do n't change in an hour he says
 i think they should close down the futures exchange and then we could get back to investing
 index arbitrage the <unk> buying and selling of stocks offset with opposite trades in futures is frequently blamed for adding to stock market volatility
 although index arbitrage is said to add liquidity to markets john <unk> managing partner of edward d. jones says too much liquidity is n't a good thing
 the kind of instant liquidity that is implied by index futures is that you can buy a portfolio over two years and get out in one day
 it 's too <unk> he says
 it is n't investing
 but stock-index futures have plenty of support
 defenders say futures make markets more efficient and provide ways for investors to reduce risks
 they note that stocks experienced volatile swings long before futures
 and defenders say few people complain about futures when stock prices are rising
 louis <unk> managing director in charge of equity options and futures at salomon inc. says that trading baskets of stocks began in the 1970s a decade before the advent of futures
 futures he says merely cut down on trading costs
 he says blaming futures is like blaming the <unk>
 since stock-index arbitrage merely narrows the gap between prices in the futures and stock markets it ca n't add to volatility he says
 futures do n't need defending says andrew <unk> a spokesman for the chicago mercantile exchange which trades the s&p N by far the largest stock-index futures contract
 despite the current outcry over stock market volatility few people expect stock futures to disappear
 for one thing the chicago futures exchanges have political and financial clout including many friends in congress
 and traders say that futures have become an accepted part of the financial landscape
 all life is about change either you <unk> or die says one chicago futures trader
 if futures are n't permitted here we 'll take it to australia or tokyo
 average daily volume in s&p N futures last year was N contracts
 based on yesterday 's closing price of the s&p the average value of one day 's trading amounts to $ N billion
 by contrast average dollar volume on the big board last year was $ N billion
 many investment managers say futures are useful as a way to hedge portfolios
 if managers fear that the overall stock market will fall but want to continue owning stocks they can hold on to specific stocks and sell a corresponding amount of futures contracts
 average daily volume in s&p N futures last year was N contracts
 based on yesterday 's closing price of the s&p the average value of one day 's trading amounts to $ N billion
 by contrast average dollar volume on the big board last year was $ N billion
 many investment managers say futures are useful as a way to hedge portfolios
 if managers fear that the overall stock market will fall but want to continue owning stocks they can hold on to specific stocks and sell a corresponding amount of futures contracts
 and although criticism of futures generally comes from wall street one chicago futures trader notes that brokerage firms rely on futures as hedging tools when they buy and sell big blocks of stocks from institutions
 one reason futures are said to add volatility is that unlike in stocks people can speculate in futures with little money down
 margin requirements for speculators on the chicago mercantile exchange are currently about N N
 for $ N million you can move $ N million of stocks a specialist on the big board <unk>
 that gives futures traders a lot more power
 by contrast an investor in stocks must put up N N in cash
 some critics say futures encourage people to think of stocks as a single commodity rather than as investments in individual businesses
 thus they say futures inhibit the basic purpose of the stock market to accurately price securities so that capital and investment flows where it 's needed most
 the s&p N index futures transferred the identity of N stocks into one unit making them a simple commodity to trade says george <unk> senior vice president at a. webster <unk> in philadelphia
 it took away the need to know the bad third-quarter report of ibm for example mr. <unk> says
 of course portfolio trading the increasingly common practice of buying or selling baskets of actual stocks also <unk> stocks as <unk> commodities
 there is a class of investor that wants to be exposed to the whole market says <unk> <unk> assistant vice president at travelers investment management co
 the s&p futures are merely a cheaper and <unk> way to get access to all N stocks he says
 the big board yesterday began trading in its own basket trading vehicle representing the s&p N stocks
 but owning index futures is n't the same as owning the underlying stocks
 stockholders as a group can win because they own a share of corporate earnings which can grow and boost stock prices
 futures on the other hand are a zero sum game a market for making side bets about the direction of stock prices
 you do n't own anything says stephen boesel a money manager for t. rowe price in baltimore
 you 're making a pure bet on the market
 the european community commission challenged an agreement on routes and fares between france 's two largest airlines on antitrust grounds
 meeting in <unk> wednesday the commission voted as expected to formally object to the accord between air france the state-owned airline and state-controlled domestic carrier air <unk>
 an ec spokesman said the two companies will be notified so they can begin negotiations with brussels on how to modify the pact
 at issue is an accord dating back to march in which air france gained access to five domestic french routes under air <unk> 's flight numbers and the domestic airline got to fly to five cities outside of france under the flag of air france
 the two shared results from this route swap and followed rules on ticket pricing
 the ec commission decided that such an accord does n't benefit consumers enough to merit an exemption from antitrust law
 the airlines presented it as offering consumers more choice and better flight connections
 an air france spokeswoman said we 're absolutely ready to study all solutions
 an air <unk> spokesman said because they the ec have doubts we will work again on the text and the <unk> of the accord
 a state appellate court <unk> the N convictions of <unk> <unk> corp. and two of its executives on charges of assault for <unk> workers to toxic mercury <unk>
 the indictment charged that <unk> operated a machine to crush broken <unk> and recover the mercury in an illegal <unk>
 the charges said that one worker suffered permanent brain damage from mercury exposure
 the judge handling the case in state supreme court a trial court had <unk> out the jury <unk> ruling that the matter should have been handled under federal <unk> safety and health administration rules
 but the appellate division of state supreme court held that federal law did n't <unk> the states from such a prosecution
 elizabeth <unk> district attorney for brooklyn n.y. said the appellate division has agreed with our view that despite federal <unk> laws state prosecutors have the power to protect working people
 lawyers for the company and executives could n't be reached for comment
 the executives face five to N years in prison and fines of $ N or double the profit made by failing to comply with the rules
 the company could be fined a maximum of $ N or double the profit
 general motors corp. wants to buy as much as N N of jaguar plc marking its first <unk> in a possible <unk> battle against ford motor co. for control of the british car maker
 gm sought u.s. antitrust clearance last week to purchase more than $ N million worth of jaguar shares but does n't own any yet according to gm officials here and at the company 's detroit headquarters
 the no. N u.s. auto maker then wrote jaguar that it intends to go to that N N level once it wins the u.s. clearance to go beyond $ N million a jaguar spokesman said yesterday
 the gm move follows tuesday 's declaration by ford which holds an unwelcome N N stake in jaguar that it is prepared to bid for the entire company
 gm is close to completing a friendly deal with jaguar that is likely to involve an eventual N N stake and joint manufacturing ventures
 speculative investors betting on an imminent clash between ford and gm pushed up jaguar 's share price five pence eight u.s. cents to a <unk> N pence $ N in late trading on london 's stock exchange yesterday
 since tuesday the shares have gained nearly N N
 but an <unk> bidding war between the world 's top auto giants for britain 's leading luxury-car maker seems unlikely
 we will not go over a certain level said david n. <unk> ford 's vice president for finance at a news conference yesterday in dearborn mich
 there 's some price at which we 'd stop bidding
 he would n't specify what it was
 and powerful political pressures may convince the conservative government to keep its so-called golden share which limits any individual holding to N N until the restriction expires on dec. N N
 i really do n't see the government doing something that jaguar does n't want over the next N months said kenneth warren a conservative member of parliament and chairman of the select committee on trade and industry in britain 's house of commons
 the golden share is a single share but it is the magic share
 the government retained the single share after selling its stake in jaguar in N part of a <unk> practice of protecting former government-owned enterprises to <unk> criticism of privatization
 the N N restriction covers any would-be suitor british or foreign
 ford is willing to bid for N N of jaguar 's shares if both the government and jaguar shareholders agree to relax the anti-takeover barrier <unk>
 as jaguar 's biggest holder and britain 's biggest car maker ford could turn up the heat by <unk> a special shareholders ' meeting and urging holders to drop the limits early
 ford might succeed because many shareholders are speculators keen for a full bid or institutional investors unhappy over jaguar management 's handling of its current financial difficulties
 the government probably would n't give in readily to a hostile <unk> by ford however
 it has <unk> a golden share only once before during british petroleum co. 's # N billion $ N billion takeover of <unk> plc in N
 in wooing british lawmakers gm has pointed out that its willingness to settle for a minority stake would keep jaguar <unk> and independent
 this week the u.s. auto giant paid for N house of commons members and two house of <unk> members to fly to detroit and tour its operations there
 while the visit was unrelated to jaguar gm chairman roger smith answered the legislators ' questions about it over lunch tuesday
 he said jaguar should n't be <unk> by anyone else recalled one participant
 politics also influences the government 's thinking on the anti-takeover restriction
 the conservatives do n't <unk> jeopardize marginal <unk> seats in <unk> where jaguar has headquarters nor can the government easily back down on promised protection for a privatized company while it proceeds with controversial plans to <unk> most of britain 's water and electricity industries
 prime minister margaret thatcher might however be <unk> to any request by jaguar chairman sir john <unk> for the restriction 's early removal to let gm <unk> more than N N or mount a friendly suitor bid against ford
 in the end sir john rather than the government or jaguar shareholders may hold the key that <unk> the golden share
 swedish <unk> and <unk> group ab skf said its pretax profit rose N N to N billion kronor $ N million in the first nine months from one billion kronor $ N million in the corresponding period a year earlier
 skf said sales increased N N to N billion kronor from N billion
 earnings per share were N kronor compared with N kronor
 skf said demand for the group 's main product rolling bearings remained favorable in europe which accounts for slightly more than two-thirds of group sales
 latin american markets continued their recovery after a weak start to the year skf said
 the company said the situation in the u.s. is still uncertain as reduced production in the country 's automotive industry has resulted in weakened demand for rolling bearings
 analysts said skf 's results for the first nine months lived up to market expectations as brokerage firms had predicted a pretax profit of N billion to N billion kronor
 the three business areas engaged in rolling bearing operations continued to show favorable sales development
 sales of rolling bearings increased N N to N billion kronor from N billion kronor in the corresponding period the previous year
 we read with interest robert <unk> 's sept. N page-one article on robert redford the <unk> kid gets little respect around <unk>
 <unk> conversations with us mr. <unk> argued that mr. redford 's environmental views are at odds with utah residents
 this may have been true N years ago but times have changed even in utah
 mr. redford no longer stands out as an <unk>
 he has not changed but those around him have
 many of his views on the protection of <unk> areas <unk> and <unk> are now embraced by mainstream conservative <unk>
 recently some N environmental and <unk> groups representing such <unk> points of view as the sierra club the league of women voters and the national <unk> association joined together to request a <unk> of the environmentally <unk> central utah project
 while utah is not yet a haven for environmentalism public views toward the environment have significantly improved
 in one of the most conservative republican states in the entire nation the <unk> of robert redford 's neighbors is the real story that mr. <unk> missed
 <unk> <unk> sam <unk> gary <unk> <unk> city utah
 if mr. redford wanted to be accepted by the people of utah he should have taken an advisory role instead of one of forcing his personal preferences
 furthermore his actions <unk> that it is too damaging or costly for society to provide jobs through <unk> construction coal mining or to build roads for public safety because of the adverse impact on the environment but it is just fine and <unk> for him to transform a mountain high in the <unk> range into a ski resort
 it <unk> me he can <unk> his <unk> and greedy actions in utah
 an excellent environmental actor he is
 david <unk> <unk> student university of colorado <unk> <unk>
 mr. redford like it or not is like a <unk> system on a runaway truck kind of slowing it down into control
 he 's rich famous and <unk> and has the time to do something that not even the federal government will do
 mr. redford is slowing down a <unk> speeding <unk> known as the progress of <unk>
 personally i 'm glad there are people like him around to slow down the profit <unk> and those who are in such a blind hurry for something that may appear to benefit them in the immediate future not <unk> about the <unk> implications
 ron <unk>
 when president bush <unk> to costa rica today he 'll go with little of the fanfare that <unk> many of his foreign <unk>
 but the two-day trip still has managed to fuel controversy over his administration 's policies in central america
 some conservatives say mr. bush should n't make the trip during which he will participate in costa rica 's celebration of N years of democracy
 these critics object to mr. bush 's participation in a meeting that includes nicaraguan president daniel ortega among the guests
 in addition they argue he wo n't help washington 's standing in the region by <unk> the u.s. commitment to democracy less than a month after his administration played an <unk> role in the failed coup attempt in panama
 i believe it will do more damage than good because it will <unk> people like daniel ortega says <unk> windsor who served as u.s. ambassador to costa rica during the reagan administration
 mr. windsor among other analysts connected to the conservative heritage foundation fears the gathering of N leaders mostly from central american nations will force mr. bush to explain and redeem himself in the wake of charges that the u.s. failed to do enough to aid the removal of panamanian dictator manuel noriega
 at the same time liberal and moderate democrats note the irony of mr. bush 's joining a celebration of costa rican democracy at a time his administration has sought sharp cuts in u.s. aid to the tiny country
 the administration proposed only $ N million in so-called economic support funds for costa rica this year down from the $ N million the u.s. provided last year
 the administration said improvements in costa rica 's economic condition warrant the cut in aid which the country uses mainly to make payments on its $ N billion foreign debt
 but costa rican officials argue that the recent drop in coffee prices combined with the country 's continuing struggle to <unk> its economy make the support as necessary as ever
 we are crossing the river and we need a little more help to get to the other side said <unk> <unk> an economic affairs specialist at the costa rican embassy in washington
 democrats argue that costa rica deserves more assistance for the same reason that mr. bush is attending the celebration this weekend to reward the country for its stability in a region <unk> with turmoil and for its efforts to promote peace in nicaragua
 however peace efforts by costa rican president <unk> arias have n't always helped the country 's cause in washington
 mr. arias 's <unk> refusal to support the u.s. 's campaign against leftist nicaragua earned him the <unk> of the reagan white house
 and more recently he insisted on signing a <unk> agreement intended to <unk> nicaragua 's <unk> contra rebels faster than the bush administration would prefer
 i think bush 's going there is a helpful sign said sen. terry sanford d. n.c a member of the foreign relations committee who pushed to provide costa rica about the same amount of aid as it received last year
 lawmakers in both houses support the higher level
 administration officials defend mr. bush 's decision to make the trip
 while they acknowledge the president will attend several meals and a working session also attended by mr. ortega they insist that mr. bush wo n't be extending the nicaraguan leader any special <unk>
 the administration also made clear its continuing <unk> for the leftist nicaraguan government in recent days <unk> a package of electoral aid to the nicaraguan opposition renewing the u.s. trade <unk> against the country and continuing to complain that the country supports rebel groups in the region
 officials also insist mr. bush will use the trip to highlight his own initiatives for pushing democracy in the region fighting illegal drugs and <unk> the less developed countries
 let me say there is a <unk> component to this trip secretary of state james baker told reporters wednesday
 there wo n't be any formal resolutions or <unk> i do n't think
 but we still see this as an opportunity to discuss many many very important issues
 in N the presidents commission of the ncaa which oversees most u.s. <unk> sports contracted with the washington-based american institutes for research to do a survey on the college <unk> of what the body chooses to call <unk>
 a brief executive summary was issued last april and attracted some but not much attention
 <unk> reports followed and attracted even less notice
 i suspect i may be one of the few people to have read them all
 the sixth and last report now is out and it puts the effort in perspective
 titled comments from students it focuses on the real shame of college sports what happens to young athletes once they enter <unk>
 it 's little less than a cry for help from those who make the costly show possible
 the previous five reports were mainly statistical but clear enough in <unk>
 they showed that participants in division i football and men 's basketball the big-time revenue sports entered school with poorer high-school grades and test scores than <unk> <unk> and students who participated in other <unk> activities and they got lower grades once they got there at least partly because of the athletic demands placed on them
 the football and basketball players spent more time on their sports in season than they did on class attendance and <unk> combined N hours a week <unk> N
 almost half N N reported suffering mental abuse from coaches and almost <unk> N N said they had been pressured to ignore injuries
 but even those numbers do n't describe the situation as well as the athletes do in their own words
 the composite portrait that emerges is n't of a <unk> <unk> marking time until he can land a <unk> pro contract he 's part of a tiny minority
 rather it 's of a kid we 're talking about N to N year <unk> here having a tough time making the best of what will probably be his one shot at college
 the <unk> question coming at the end of a lengthy confidential <unk> was this are there things about your college life you would like to tell us that we did n't ask about
 of the almost N athletes surveyed N took the time to respond
 here are a few of their answers they say that i am a <unk> but really i 'm an <unk>
 they <unk> to me on the recruiting trip
 football is the no. N thing here
 junior football player
 being a <unk> at college is a lot different from high school
 first the sport you play is no longer a game it becomes a job
 your coaches demand a lot more out of you even though some of them are not willing to take the time to watch you progress
 you become <unk>
 your interest is not taken to heart because people only care about your performance
 freshman basketball player
 the coaches should have a more personal and sympathetic attitude toward the athletes not treat us like pieces of meat
 they always say to get a degree first but they do n't allow us time or to <unk> practice to study for a test
 they just want to get their job done at any cost to the <unk>
 freshman football player
 the pressure put on us to win at all times has resulted in physical violence such as <unk> and <unk> by coaches
 some days the coaches make you feel as though you are part of a large <unk> of animals
 in other words they treat you like a piece of meat
 <unk> football player
 playing <unk> sports does n't give you a lot of time to spend with others
 we are almost left out of campus social activities
 this mostly happens because we go from football in the fall to lifting in the winter to football again in the spring
 freshman football player
 you talk about free time <unk> free time
 time to relax and enjoy ourselves is always taken up by something to do with football meetings lifting <unk> <unk> or films
 there is no recovery period it 's go go go
 abuse to our bodies is overwhelming
 with our schedule it 's hard to sleep well knowing what is going to happen the next day
 junior football player
 physical <unk> and depression are common in my life and in some of my <unk> ' lives
 football player class unspecified
 more often than not college athletes go through college never really experiencing <unk> life to the <unk>
 one has to establish one 's own identity away from athletics and make athletics only a part not a whole of the <unk> 's life
 <unk> basketball player
 somehow and i do n't know how the game needs to be played for fun again and not for the big bowl revenues or lucrative tv contracts
 <unk> football player
 there have been <unk> that at long last changes may be in the works
 the knight foundation of <unk> ohio has established a national commission to look into <unk> reform and the ncaa presidents commission earlier this month recommended cutting spring football practice in half moving the start of basketball practice back by a month and reducing maximum schedules in that sport to N games from N
 the key word in that <unk> though is may
 ncaa executive director richard <unk> in accepting a place on the knight commission urged that the panel take a balanced view which looks for all the world like a plea not to rock the boat too much and the presidents ' recommendations could face considerable opposition at the ncaa 's full convention in january which will vote on them
 i read that one <unk> athletics director predicted that the <unk> proposal could fail because of real world <unk> economic considerations
 but the real world also includes the <unk> truth that colleges are cheating the athletes they have <unk> and won
 if they wo n't change their ways voluntarily maybe somebody bigger congress should make them
 they want <unk> <unk> to the <unk> labs
 they want a 24-hour library
 and like college <unk> everywhere they are talking about a demonstration where protesters would gather quietly near the science building and raise their hands classroom style
 such is the fiber of the <unk> that <unk> intellectuals let fly at <unk> of harvard university 's new society of <unk> and <unk> or song
 <unk> are mad as <unk> about campus <unk> and they are n't going to take it anymore at least not without trying a few really neat ideas first
 we could have called ourselves the academic intellectual society but then everyone would have said oh you mean the <unk> club <unk> <unk> song 's <unk> adviser told N <unk> at the club 's <unk> meeting earlier this month
 membership has since swelled to between N and N
 some people may think of <unk> as <unk> <unk> <unk> individuals with <unk> <unk> for their pencils and a <unk> with computers and matters <unk>
 <unk> by at least one definition are <unk> circus <unk>
 but song founder <unk> <unk> a harvard junior thinks of <unk> and <unk> more as <unk> <unk> with a <unk> <unk>
 one of the group 's first projects is a <unk> hot line that students could call when they have an urge to delay studying
 the club plans to show <unk> movies such as real <unk> in which physics <unk> pop corn with <unk> and naturally the <unk> of the <unk> a tale of college males with <unk> <unk> and <unk> <unk>
 one of its more ambitious goals is to get <unk> <unk> the los angeles high-school <unk> teacher featured in the film stand and deliver to come to harvard for a guest <unk>
 <unk> and <unk> sometimes find themselves a bit isolated at harvard
 so mr. <unk> says high priority is being given to creating a computerized <unk> service where instead of being matched for eye color you could be matched for similar intellectual interests
 for instance
 i 'm a <unk> major but i want to know about <unk>
 hopefully i 'd find someone in <unk> who wanted to know more about <unk>
 it could work
 meanwhile finding a volunteer to write the computer program is n't a problem
 <unk> savings bank of new york was cleared by the federal deposit insurance corp. to acquire <unk> savings bank of <unk> n.j. the banks said
 <unk> holders who approved the plan last april will receive $ N in cash a share or a total $ N million
 the fdic cleared the move yesterday and the banks must wait at least N days before closing the purchase
 a closing date has n't been set
 <unk> industries inc. directors authorized a <unk> split of the common payable dec. N to stock of record nov. N
 the split was aimed at boosting the stock 's liquidity said <unk> <unk> chairman of the <unk> n.j. maker of plastic film products
 after the split the company will have more than N million shares outstanding
 in national over-the-counter trading yesterday <unk> shares closed at $ N down N cents
 <unk> federal savings & loan association edison n.j.
 lawrence b. seidman N years old was named chairman of this savings and loan institution
 he will succeed charles l. <unk> chairman and chief executive officer who retired last month
 <unk> is conducting a search for a chief executive
 mr. seidman a director of <unk> since july is general partner of seidman financial associates which owns N N of <unk>
 william j. <unk> was named senior vice president public affairs and advertising for this financial and travel services concern 's american express bank ltd. subsidiary
 mr. <unk> N years old previously was first vice president public affairs and advertising at the banking unit
 environmental concerns are beginning to have as much influence in <unk> spending plans as the price of crude does
 in the wake of the exxon <unk> spill in march new <unk> drilling bans are sharply <unk> exploration in promising locations offshore and in alaska
 at the same time moves toward tighter <unk> standards are spurring interest in lighter or alternative fuels that do n't <unk> as much as fuel refined from heavy <unk> generally high in <unk>
 over the years the world 's stream of oil has been growing heavier
 so the scramble is on for lighter <unk> <unk> and for natural gas in the u.s.
 recently saudi arabia and venezuela traditional <unk> producers have <unk> of new finds of light <unk> oil by their national oil companies
 venezuela has also earmarked $ N million in new money for <unk> exploration
 and some oil companies are trying to lock in future supplies
 typical is <unk> <unk> <unk> italy 's state-owned energy company which not long ago acquired through its agip oil subsidiary a N N share in the consortium accounting for half of <unk> 's oil output
 agip already has an oil stake in libya
 both countries produce high-quality <unk> <unk> especially <unk> to making <unk> motor fuel at minimum refining cost
 franco <unk> <unk> chairman looks for sweeping structural change in the oil industry he calls it a revolution requiring huge investments as a result of environmental issues
 he made a special trip to examine u.s. environmental trends because they are often followed in europe
 <unk> needs to know what 's coming as it prepares to spend some $ N billion on upgrading its refineries he says
 oil companies world-wide will have to spend a lot of money for the cleaner fuels that will be required says john h. <unk> the president of the petroleum industry research foundation
 it will go for work ranging from refinery <unk> to changes in the distribution system including the way service stations pump fuel into cars
 in the u.s. the search for oil had been headed toward environmentally sensitive areas believed to have vast reserves
 alaska 's arctic national wildlife refuge alone is thought to hide more than three billion barrels of oil
 until the tanker spill big oil was slowly convincing authorities it could <unk> produce from such places
 now the wildlife refuge has been closed to the industry possibly for years
 similarly a group of companies led by chevron corp. has been unable to pump oil found off the california coast in the early 1980s
 a huge production system built in the sea off santa barbara and <unk> is sitting idle
 but the push for cleaner fuels is increasing the <unk> of natural gas
 more than half the domestic drilling now under way is for gas partly on the assumption that demand will rise for a fuel that is cleaner to <unk> than either oil or coal
 activity has revived in the largest u.s. <unk> regions such as the gulf of mexico
 santa fe international corp. which is owned by kuwait and is n't related to santa fe southern pacific 's unit is stepping up development of a well off texas ' <unk> island where it found gas in N
 we could have sat on it longer but the impetus is to get the gas to the marketplace says richard <unk> senior <unk> for santa fe international
 we 're trying to get it on line as soon as possible now
 this month exxon corp. announced plans for a <unk> project drilling for gas about five miles underground in the <unk> basin of western oklahoma the <unk> drilling project in the u.s.
 exxon will use a parker drilling co. rig built in N that can go down N N miles
 as the soviet union <unk> with its worsening economy leading reformers have drawn up a blueprint for change designed to push the nation much closer to a free-market system
 the proposals go far beyond the current and rather confused policies of perestroika mikhail gorbachev 's restructuring of the economy
 they lay out a clear timetable and <unk> for <unk> the system of setting prices breaking up huge industrial monopolies and putting unprofitable state-owned companies out of business
 they also address such <unk> subjects as the likelihood of unemployment and high inflation and recommend ways to soften the social consequences
 while many solutions to the nation 's economic troubles are being discussed the blueprint is attracting widespread attention here because of its <unk> and presumed <unk> <unk>
 although it was published <unk> in the latest edition of the weekly <unk> <unk> soviet sources say the article was written by <unk> <unk> and a small group of colleagues
 mr. <unk> head of the academy of science 's institute of economics was recently appointed deputy chairman of the soviet government and head of a state commission on economic reform
 it 's clearly a <unk> for the next stage of perestroika said one analyst
 the economic ideas in the document are much <unk> than current policies
 for example the proposed overhaul of prices an extremely sensitive political topic is far more precise than the vague plans announced by mr. gorbachev in N and later dropped
 but the proposals also display political <unk> <unk> some of the most controversial ideas in cautious language so as not to <unk> powerful conservatives in the government who stand to lose out if they are implemented
 seeking a middle path between opponents of change and <unk> who demand overnight solutions the article advocates what it calls a <unk> approach
 the document is to be discussed at a conference of leading economists late this month and will probably be presented to the soviet parliament for consideration this year
 as <unk> draw up proposals for the next five-year plan which starts in N the blueprint represents a powerful first shot in what is likely to be a fierce battle over economic reform
 the authors make a gloomy assessment of the economy and concede that quick and easy <unk> to success simply do n't exist
 instead they <unk> out a strategy in several <unk> from now until N
 most of the measures would probably only start to have an effect on beleaguered soviet consumers in two to three years at the earliest
 the key steps <unk> include property
 rigid ideological restrictions on property ownership should be abandoned
 the document proposes breaking up the <unk> system of state-owned enterprises and farms and allowing a big private sector to <unk> helped by tough <unk> legislation
 the economy would be thrown open to numerous types of ownership between now and N including factories leased by workers or owned by shareholders cooperatives and joint ventures
 some forms of private property would be <unk>
 such moves would greatly reduce the power of government ministries who now <unk> guard their turf and are seen as one of the major obstacles blocking economic reform
 finances
 emergency measures would be introduced to ease the country 's financial crisis notably its $ N billion budget deficit
 by the end of next year all <unk> state enterprises would be put out of business or handed over to workers who would buy or lease them or turn them into cooperatives
 similar steps would be taken to liquidate unprofitable state and collective farms by the end of N
 a unified system of taxation should be introduced rapidly
 to <unk> up some of the N billion rubles in circulation the government should encourage home ownership including issuing bonds that guarantee holders the right to purchase an apartment
 labor
 a genuine market for labor and wages would replace the present rigid <unk> system
 <unk> from decades of soviet <unk> the new system would lead to big differences in pay between workers and almost certainly to unemployment
 to cushion the <unk> the government would introduce a minimum wage and unemployment benefits
 prices
 the entire system of <unk> set prices would be <unk> and free-market prices introduced for most wholesale trade and some retail trade
 consumers would still be able to buy some food and household goods at subsidized prices but luxury and imported items including food would be sold at market prices
 wholesale prices would be divided into three categories raw materials sold at fixed prices close to world levels <unk> procurement prices for a small number of key products and free prices for everything else to be determined by contracts between suppliers and purchasers
 inflation-adjusted social benefits would ensure that the poor and elderly do n't suffer <unk>
 foreign trade
 the current <unk> and <unk> of foreign trade would be taken much further
 soviet companies would face fewer obstacles for exports and could even invest their hard currency abroad
 foreigners would receive greater incentives to invest in the u.s.s.r.
 alongside the current <unk> ruble a second currency would be introduced that could be freely exchanged for dollars and other western currencies
 a domestic foreign exchange market would be set up as part of an overhaul of the nation 's banking system
 the blueprint is at its <unk> when referring to the fate of the two powerful economic institutions that seem likely to oppose such sweeping plans the state planning committee known as <unk> and the state committee for material supply or <unk>
 but it hints strongly that both organizations would increasingly lose their clout as the changes particularly the introduction of wholesale trade and the breakup of state monopolies take effect
 ready willing and unable i always lift the <unk> when my car does n't start if <unk> at home do n't work i <unk> take them apart
 i 'll admit there 's nothing wrong that i ever do find but it 's nice when people say i appear <unk> inclined
 <unk> adams
 <unk> shock
 at the movies today in detail you see what the <unk> would n't show in <unk> three
 robert gordon
 <unk> comment
 do n't worry people will learn to read as long as there are tv program listings
 john <unk>
 albert engelken and robert thomson had never met though for N years their lives had been <unk> in a way <unk> to the sports world
 mr. engelken now a <unk> executive in washington d.c. and mr. thomson a <unk> salesman in <unk> n.j. had n't even talked to each other
 but one recent day they became much closer
 mr. engelken a <unk> baseball fan <unk> over the sports pages to chart the <unk> of my favorite and <unk> teams and players
 he often <unk> he says at the clutter of sports stories about drugs alcohol gambling and some player 's <unk> about the <unk> millions he is offered to play the game
 his morning paper the washington post even carries a sports column called <unk> that <unk> the latest <unk> and convictions of players and team managers
 like many sports <unk> mr. engelken has turned <unk>
 but his is a story about a hero in an era of sports <unk> and about what <unk> ruth mr. engelken <unk> us once called the only real game in the world
 to mr. engelken it is also a story about love because i 'm <unk> to have a wife who still thinks her slightly <unk> husband 's <unk> birthday deserves the ultimate present
 to understand what mr. engelken means one must go back to a <unk> october afternoon in N at new york 's <unk> grounds stadium where it can be argued the most dramatic moment in baseball history was played out
 it was the ninth inning of the third game of a <unk> <unk> between the brooklyn <unk> and the new york giants the predecessor to the san francisco giants scheduled to play in tonight 's world series
 baseball fans throughout new york had <unk> out a long summer with their teams and now it had come to this a battle between the two for the national league <unk> down to the last inning of the last game no less
 some N fans <unk> the stands and shouted at the top of their <unk>
 mr. engelken was doing the same across the hudson river in new jersey where with his nose pressed against the front window of the <unk> national bank he watched the <unk> on a television set the bank set up for the event
 the <unk> series had <unk> the <unk> giants fan
 the giants struck first winning the <unk> N on a <unk> homer off <unk> <unk> ralph <unk> mr. engelken recalls with precision today
 the giants got <unk> in the second game N and trailed N going into the bottom of the ninth of the third and deciding game
 the giants scored once and had <unk> on second <unk> <unk> and third <unk> <unk> as bobby thomson advanced to the plate
 the rest as they say is history
 mr. thomson a tall <unk> <unk> <unk> stepped into the <unk> 's box
 thomson took a called strike mr. engelken <unk>
 the tension mounted as ralph <unk> again on the <unk> <unk> down the <unk>
 he wound up and let loose a <unk>
 the pitch <unk> toward bobby thomson high and inside and then with a crack of the bat was sent <unk> back into the lower <unk> stands
 giants fans went into euphoria says mr. engelken
 and bobby thomson was made a <unk>
 the same bobby thomson it turns out who sells those <unk> today
 there ca n't be an older baseball fan alive who does n't clearly remember that bobby thomson homer who ca n't tell you where he was when he heard the famous <unk> <unk> radio broadcast the one that concluded with mr. <unk> shouting over and over the giants win the <unk> the giants win the <unk>
 mr. engelken and mr. thomson drifted in different <unk> in the subsequent years and the <unk> grounds located under <unk> 's <unk> in upper manhattan was replaced by a <unk> project
 mr. thomson played <unk> and third base until N posting a lifetime N <unk> average and <unk> up N home runs before retiring and going into <unk> sales
 mr. engelken moved south to washington but he took with him <unk> memories of the homer of N
 when his wife <unk> came down the <unk> on their <unk> day in N mr. engelken no <unk> on the romantic front gave her the ultimate <unk> you look <unk> than bobby thomson 's home run
 the couple 's first dog homer was named after the great event though <unk> friends assumed he was the <unk> of the <unk>
 and when mr. engelken 's sister <unk> who was born two days before the home run reached her <unk> birthday mr. engelken wrote his sports hero to tell him of the <unk> of events
 mr. thomson sent off a card to <unk> it does n't seem like N years since i hit that home run to <unk> your birth it read
 <unk> was pleased but nowhere near as much as mr. engelken
 the family license plate reads <unk> N the first three letters of the family name and no surprise here bobby thomson 's uniform number
 and on mr. engelken 's <unk> birthday his wife bought a book detailing the big homer and sent it off to mr. thomson to be <unk>
 what could have been better asks mr. engelken
 <unk> engelken asked the same question earlier this year when her husband was about to turn N
 she had an idea
 on her husband 's <unk> birthday after an <unk> N years of marriage it should be noted <unk> al and their <unk> son set out for new york to visit <unk> university
 mrs. engelken had scheduled a stop on the new jersey turnpike to she told her husband pick up some papers for a neighbor
 the papers would be handed over at a bank of telephone <unk> just off exit N
 it sounded like something out of ian fleming mr. engelken recalls
 at the appointed exit the family pulled over and mrs. engelken went to get her papers
 mr. engelken turned off the motor and rolled down the window
 in a matter of minutes she was back with a tall <unk> man in <unk>
 she <unk> down by the car window and addressed her husband with her favorite <unk>
 <unk> she said happy <unk> birthday
 this is bobby thomson
 and there he was recalls mr. engelken
 the hero of my youth the one person in history i 'd most like to meet
 keep your thomas <unk> or st. <unk> or <unk> i 'd take baseball 's flying <unk> without <unk>
 they talked of the home run
 i thought it was in the upper deck said bobby thomson now N years old
 they talked of the aftermath
 i never thought it would become so <unk> bobby <unk>
 mr. engelken says his wife was <unk> by the whole thing
 it was worth it just for the look on albert 's face
 the two men spent an hour at exit N <unk> the event <unk> the <unk> dream of a young boy now turned N mr. engelken says
 his hero signed photographs of the homer and <unk> called ralph <unk> a very fine <unk>
 and when mr. engelken asked him why he took time off from work for somebody he did n't even know bobby thomson replied you know albert if you have the chance in life to make somebody this happy you have an obligation to do it
 in an interview mr. thomson who is married and has three grown children says he has few ties to baseball these days other than playing <unk> games now and again
 but his fans to his constant <unk> never let him forget the famous <unk>
 his mail regularly recalls my one event and has been growing in recent years
 in response to the letters mr. thomson usually sends an <unk> photo with a <unk> note and rarely <unk> a <unk>
 but when <unk> engelken wrote him saying she could stop near his new jersey home it seemed different
 what a good feeling it would be for me to do that he says he thought
 when the engelken family got back from its trip up north mr. engelken wrote it all down just to make sure no detail was missed
 on the way home his notes recall it took concentrated effort to keep that car pointed south
 my mind was miles north at a place called <unk> 's <unk> where a real sports hero had captured the <unk> of a kid who never fully grew up and is all the richer for it
 take heart sports fans he wrote
 real heroes exist
 you might not find one in the <unk> column
 but who knows
 you might meet up with him at that bank of telephone <unk> just off exit N of the new jersey turnpike
 southam inc. said its unprofitable weekly newspaper the financial times of canada is up for sale
 analysts said the announcement the latest in a series of <unk> and restructuring moves is aimed at improving southam 's earnings before the expiration in june of a standstill pact with <unk> corp
 when that agreement expires <unk> will be free to increase its N N stake in southam or to make an offer for the whole company
 <unk> of the southam family hold an additional N N stake in the toronto-based company canada 's largest newspaper publisher
 the newspaper could fetch between N million and N million canadian dollars us$ N million to $ N million said one analyst who asked not to be identified
 a spokesman for southam declined to comment on the price the company is seeking or on estimates of the paper 's annual losses which most analysts place at between c$ N million and c$ N million
 yesterday southam reported third-quarter earnings of c$ N million on revenue of c$ N million down from c$ N million on revenue of c$ N million in the year-ago quarter
 to be profitable the paper requires more circulation and building circulation is an expensive undertaking said john <unk> the paper 's publisher
 southam said the level of future investment required by the paper would have restricted its options in other areas
 the acquisition of the financial times of canada is well within reach for any number of media companies both public and private said james <unk> an analyst with toronto-based <unk> james capel inc
 possible bidders include christopher <unk> a toronto financier and vice chairman of hees international bancorp inc. a holding company controlled by toronto 's bronfman family
 mr. <unk> sold his stake in <unk> corp. to hees earlier this year and is said to be seeking a media acquisition
 mr. <unk> could n't be reached for comment but roy <unk> chairman of <unk> media a closely held concern that publishes two business magazines said his company would take a close look at the newspaper
 mr. <unk> said the sale of the <unk> financial times which southam has owned since N is consistent with southam 's strategy of cutting costs to obtain maximum profits from its operations while <unk> of <unk> <unk> assets
 southam agreed to sell its N N stake in <unk> communications ltd. a broadcasting concern to <unk> hunter ltd. for about c$ N million last year
 this year it has moved to cut costs in its newspaper division through layoffs and asset sales while reaching joint venture and acquisition agreements in other areas
 the financial times of canada has no links to the british daily newspaper the financial times
 norton co. said net income for the third quarter fell N N to $ N million or N cents a share from $ N million or $ N a share
 operating profit for the <unk> engineering materials and petroleum services concern was $ N million or N cents a share up N N from $ N million or N cents a share
 the company had a tax credit of $ N million
 in the year-earlier quarter the tax credit was $ N million
 sales rose N N to $ N million from $ N million
 operating profit in the company 's <unk> segment rose N N while operating profit in the engineering materials segment rose N N
 however the company 's petroleum services segment while profitable was hurt by high financing costs associated with the company 's buy-out of a N N stake in eastman <unk> co. from texas eastern corp. last june
 norton and texas eastern had each held a N N stake in eastman in a joint venture
 norton announced earlier this month that it was exploring the possible sale of all or part of eastman <unk>
 for the nine months norton had net of $ N million or $ N a share and a tax credit of $ N million
 in the year-earlier period the company had net of $ N million or $ N a share and a tax credit of $ N million
 norton had operating profit of $ N million or $ N a share up N N from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 <unk> park and her family <unk> for four years to buy a tiny apartment here but found that the closer they got to saving the $ N they originally needed the more the price rose
 by this month it had more than doubled
 now the <unk> <unk> whose husband earns a modest salary as an assistant professor of economics is saving harder than ever
 i am determined to get an apartment in three years she says
 it 's all i think about or talk about
 for the parks and millions of other young koreans the <unk> dream of home ownership has become a <unk> illusion
 for the government it has become a highly volatile political issue
 last may a government panel released a report on the extent and causes of the problem
 during the past N years the report showed housing prices increased nearly <unk>
 the report laid the blame on speculators who it said had pushed land prices up <unk>
 the panel found that since N real-estate prices rose nearly N N in a speculative fever fueled by economic prosperity the N seoul olympics and the government 's pledge to rapidly develop korea 's southwest
 the result is that those rich enough to own any real estate at all have boosted their holdings substantially
 for those with no holdings the prospects of buying a home are ever <unk>
 in N a quarter of the population owned N N of the nation 's N square <unk> of private land the report said and N N of the population owned N N of the land devoted to housing
 meanwhile the government 's land bureau reports that only about a third of korean families own their own homes
 <unk> have soared along with house prices
 former national <unk> hong <unk> now a radio <unk> says the problem is <unk> for many people
 i 'm afraid of a popular <unk> if this situation is n't corrected he adds
 in fact during the past three months there have been several demonstrations at the office complex where the land bureau is <unk> and at the national assembly demanding the government put a stop to real-estate speculation
 president roh <unk> woo 's administration has been studying the real-estate crisis for the past year with an eye to partial land <unk>
 last week the government took three bills to the national assembly
 the proposed legislation is aimed at <unk> some of the <unk> in the current <unk> system
 <unk> of the bills as currently <unk> are a restriction on the amount of real estate one family can own to N square <unk> in the nation 's six largest cities but more in smaller cities and rural areas
 the government will <unk> offenders but wo n't <unk> property
 a tax of between N N and N N on property holdings that exceed the <unk> ceiling
 taxes of between N N and N N a year on excessive profits from the resale of property or the sale of idle land to the government
 the government <unk> excessive profits as those above the average realized for other <unk> properties in an area
 grace periods ranging from two to five years before the full scope of the penalties takes effect
 the administration says the measures would stem rampant property speculation free more land for the government 's ambitious <unk> program designed to build two million apartments by N and perhaps boost the popular standing of president roh
 but opposition legislators and others calling for help for south korea 's <unk> say the proposed changes do n't go far enough to make it possible for ordinary people to buy a home
 some want lower limits on house <unk> others insist on <unk> higher taxation for larger homes and lots
 the citizens coalition for economic justice a <unk> group leading the charge for radical reform wants restrictions on <unk> high taxation of capital gains and drastic revamping of the <unk> system on which property taxes are based
 but others large <unk> real-estate developers and business leaders say the government 's proposals are <unk>
 led by the federation of korean industries the critics are lobbying for the government to weaken its proposed restrictions and penalties
 government officials who are urging real-estate reforms <unk> at the arguments of business leaders and <unk> at their pressure
 there is no violation of the <unk> principle of private property in what we are doing says lee <unk> <unk> director of the government 's land bureau which drafted the bills
 but he adds the constitution <unk> the government to impose some controls to <unk> the shortage of land
 the land available for housing construction stands at about N square <unk> a person N N lower than in taiwan and only about half that of japan
 mr. lee estimates that about N property speculators are operating in south korea
 the chief <unk> he says are big companies and business groups that buy huge amounts of land not for their corporate use but for resale at huge profit
 one research institute calculated that as much as N N of <unk> land is held by N companies and that as little as N N of that is used for business
 the government 's office of bank supervision and examination told the national assembly this month that in the first half of N the nation 's N largest business groups bought real estate valued at $ N billion
 the ministry of finance as a result has proposed a series of measures that would restrict business investment in real estate even more tightly than restrictions aimed at individuals
 under those measures financial institutions would be restricted from owning any more real estate than they need for their business operations
 banks investment and credit firms would be permitted to own land equivalent in value to N N of their capital currently the proportion is N N
 the maximum <unk> property holdings for insurance companies would be reduced to N N of their total asset value down from N N currently
 but mrs. park acknowledges that even if the policies work to slow or stop speculation apartment prices are unlikely to go down
 at best she <unk> they will rise more slowly more slowly she hopes than her family 's income
 <unk> corp. <unk> n.j. declared its initial quarterly of five cents a share payable dec. N to stock of record nov. N
 the maker of specialty chemicals has about N million shares outstanding
 the company said the move recognizes its strong financial position
 although profits were squeezed in N mainly as a result of higher <unk> costs the company said it is confident about future earnings and cash flow for N and beyond
 in national over-the-counter trading yesterday <unk> shares rose N cents to close at $ N a share
 the justice department said it is seeking to join a private lawsuit challenging a pittsburgh suburb 's <unk> ordinance that sharply restricts the locations available to group homes for the handicapped
 this would be the department 's first suit challenging a local <unk> ordinance under N amendments to the fair housing act
 under those amendments which took effect in march of this year the federal government can intervene in private <unk> lawsuits
 the ordinance in moon township prohibits <unk> a group home for the handicapped within a mile of another such facility
 in papers filed with the federal district court in pittsburgh the justice department alleged that the ordinance by limiting the number of group homes that can be established in the township makes housing unavailable on account of <unk>
 the private suit was brought by three <unk> <unk> people who live in a group home in moon
 <unk> smith moon township manager said the ordinance is intended to prevent the concentration of group homes for the <unk> <unk> from changing the character and flavor of the neighborhood
 he said the ordinance also will benefit the <unk> <unk>
 our intent is to spread them out to insure they are well integrated into the community he said
 energetic and concrete action has been taken in colombia during the past N days against the <unk> of the drug trade but it has not been sufficiently effective because unfortunately it came too late
 ten years ago the newspaper el espectador of which my brother <unk> was editor began warning of the rise of the drug <unk> and of their leaders ' aspirations to control colombian politics especially the congress
 then when it would have been easier to resist them nothing was done and my brother was murdered by the drug <unk> three years ago
 the most <unk> <unk> have not <unk> their press more <unk> than the drug <unk> <unk> colombia 's
 the censorship is <unk> through terrorism and assassination
 in the past N years about N journalists have been <unk> forever murdered
 within the past two months a bomb exploded in the offices of the el espectador in <unk> destroying a major part of its installations and equipment
 and only last week the newspaper <unk> liberal in the city of <unk> was <unk> and its installations destroyed
 journalists and their families are constantly threatened as are the newspaper distribution outlets
 distribution centers are <unk> and advertisers are <unk>
 censorship is imposed by terrorism
 if the colombian media accept this new and <unk> censorship there is little doubt that the drug mafia 's terrorism someday will extend to all the newspapers published in the free world
 the solidarity of the <unk> media world-wide against drug terrorism is the only way press freedom can survive
 the american people and their government also <unk> up too late to the <unk> drugs posed to the moral structure of their country
 even now the american attack upon this tremendous problem is <unk> in <unk> to the magnitude of the threat
 i can <unk> that a recent colombian <unk> to the u.s. was offered drugs three times in the few blocks ' walk between grand central terminal and the <unk> <unk> hotel in <unk> manhattan
 colombia alone its government its people its newspapers does not have the capacity to fight this battle successfully
 all <unk> countries must jointly decide to combat and punish the consumers and distributors of drugs
 the u.s. as the major drug consumer should lead this joint effort
 reduction if not the total <unk> of drug consumption is the requirement for victory
 much is being done in colombia to fight the drug <unk> mafia
 <unk> homes and <unk> have been <unk> by the military authorities and sophisticated and powerful communications equipment have been seized
 more than N planes and <unk> have been <unk> at airports and a large number of vehicles and <unk> has been confiscated
 the military has also captured enormous <unk> of powerful and sophisticated weapons <unk> and other <unk> <unk>
 much has been accomplished and public opinion <unk> supports the government and the army but on the other hand none of the key drug <unk> have been captured
 there has been a lot of talk that a large portion of the colombian economy is sustained by the laundering of drug money
 in my opinion this is not true
 <unk> drug money has served only to increase <unk> the price of real estate creating serious problems for low-income people who <unk> to own their own homes
 drug money has also gone to buy expensive cars airplanes <unk> and <unk> where drugs are consumed
 but most of the drug money is kept in investments and in financial institutions outside colombia
 in fact the cooperation of those financial institutions is essential to the success of the drug battle
 what is of much more importance to the colombian economy than the supposed benefits of <unk> drug money is higher prices for colombia 's legitimate products
 the price of coffee has gone down almost N N since the beginning of the year to the lowest level after inflation since the great depression
 market conditions point to even lower prices next year
 the <unk> coffee <unk> had to be formally <unk> this summer
 as a result colombia will earn $ N million less from its coffee this year than last
 our coffee growers face reductions in their income and this <unk> them to <unk> <unk> <unk> crops for coffee
 u.s. interests occasionally try to impose barriers to the import of another important colombian export cut flowers into the american market
 a just price and an open market for what colombian produces and exports should be the policy of the u.s.
 i take advantage of this opportunity given to me by the wall street journal to make a plea to the millions of readers of this newspaper to become soldiers dedicated to the fight against the use of drugs
 each <unk> of cocaine consumed is a deadly bullet against those in our country and in the rest of the world who fight this terrible <unk>
 a crusade of no to the consumption of drugs is <unk>
 mr. <unk> is president of el espectador a newspaper founded by his <unk>
 it has more drug users than boston has people
 <unk> thousand of its children live in foster homes while N residents have no homes at all
 its tax base is shrinking a $ N billion budget deficit looms and the city faces contract negotiations with all major municipal unions next year
 this is new york city
 when the dust and <unk> settle in an <unk> mayoral race the man most likely to gain custody of all this is a career politician named david dinkins
 running the nation 's largest and most <unk> city may be no treat but at least mr. dinkins knows what to expect from it
 as the campaign hits the home stretch however voters still have very little idea what they can expect from him
 after N years in city politics david dinkins remains an <unk>
 the <unk> <unk> manhattan borough president the first black man to win the democratic nomination for mayor here does n't have a single prominent political enemy
 while he is widely described as a man with deep convictions he has few major political programs that he can call his own
 asked about his greatest achievement in public life he first speaks about the quality of his staff
 now as election day <unk> even some supporters wonder what he will do if he wins the <unk> on nov. N
 they wonder whether he can be firm with his longtime allies including union leaders and political <unk> who may seek a place at the trough
 they wonder whether he has the economic know-how to steer the city through a possible fiscal crisis and they wonder who will be advising him
 will he if he wins be in the <unk> of the most liberal of his allies who advocate such policies as rent control for commercial buildings or will he tilt toward the real-estate interests that have <unk> money into his campaign
 after his decisive primary victory over mayor edward i. koch in september mr. dinkins <unk> until recently on a <unk> lead over his republican opponent rudolph giuliani the former crime <unk> who has proved a something of a <unk> as a candidate
 but mr. dinkins has <unk> in the past two weeks over his campaign 's payments to a black activist who is a convicted <unk> and over his handling of a stock sale to his son
 polls also have recorded some <unk> in mr. dinkins 's support among jewish voters and <unk> projections now put his lead at between four and N percentage points
 in an interview with reporters and editors of the wall street journal mr. dinkins appears quite confident of victory and of his ability to handle the <unk>
 a lot of people think i will give away the store but i can assure you i will not he says
 i am aware we have real budgetary problems
 the city is full of aging bridges water <unk> and roadways that are in need of billions of dollars worth of repair
 renewed efforts to fight drugs and crime will be costly
 but city officials say tax revenues are lagging
 and after a decade of explosive job growth on wall street a period of <unk> is under way
 mr. koch already has announced he will drop N jobs from the city payroll but that wo n't be enough
 new york state comptroller edward <unk> predicts a $ N billion budget gap for the city 's next fiscal year a gap that could grow if there is a recession
 if elected mr. dinkins will probably have no choice but to raise taxes on <unk> businesses or cut spending in already <unk> neighborhoods
 he is going to face a mess says city council president andrew stein
 his supporters are not <unk> but their solution to everything will be to spend more money and he wo n't have any money
 by and large mr. dinkins has <unk> the touchy question of whose <unk> he would <unk>
 instead of focusing on the financial future mr. dinkins has sold himself as a <unk> for a city recently touched by racial violence and as a <unk> <unk> to N years of <unk> generated by mayor koch
 the thing about the dinkins <unk> is that it offers hope to a broad range of people says <unk> <unk> a real-estate executive and former aide to gov. mario <unk>
 it is a <unk> <unk>
 no doubt mr. dinkins has been a <unk> influence
 he is an <unk> figure who <unk> the <unk> of colleagues ' children opens doors for women and almost never has a bad word to say about anybody
 more important he emerged as a <unk> last summer after the central park rape of a white <unk> in which a group of <unk> <unk> was charged and the racial murder of a black <unk> in the white brooklyn neighborhood of <unk>
 rather than scaring off white voters as many predicted he would mr. dinkins attracted many whites precisely because of his reputation for having a cool head
 keeping cool is a dinkins priority on <unk> days this summer he was known to change his <unk> suits as many as four times a day
 but even in his <unk> campaign he has shown signs of the <unk> and confusion that some say has plagued his tenure as manhattan borough president and might <unk> him as mayor
 over the last few weeks he has <unk> away roughly half of what was once a <unk> lead in the polls over mr. giuliani
 a story about how he <unk> the sale to his son of his stock in a media company controlled by his political <unk> <unk> sutton was allowed to <unk> a full week before mr. dinkins faced the media
 he has canceled numerous campaign appointments and was largely <unk> to the media until the stock story broke
 his campaign was caught <unk> amid allegations it paid almost $ N for what it said was a <unk> effort by black activist <unk> carson a convicted <unk> who later said publicly that he is <unk>
 critics have said the payment looked like an attempt by the dinkins camp to get mr. carson to stop leading <unk> demonstrations <unk> the <unk> murder protests the campaign may have feared could cause some white voters to turn from a black candidate
 mr. dinkins also has failed to <unk> jewish voters ' fears about his association with the rev. <unk> jackson despite the fact that few local <unk> politicians have been as <unk> for jewish causes in the past N years as mr. dinkins has
 these campaign problems have <unk> difficulties mr. dinkins has run into before
 a former u.s. marine mr. dinkins got off to a quick start in politics joining a local democratic political club in the 1950s linking up with black urban leaders such as charles <unk> <unk> paterson and mr. sutton and getting himself elected to the state assembly in N
 but his chance to become deputy mayor under mayor <unk> <unk> a plan boosted by mr. sutton was <unk> because of mr. dinkins 's failure still largely <unk> to file income tax returns for four years running
 i always thought of this as a thing that could always be done tomorrow he said at the time
 later mr. dinkins became more deeply <unk> to mr. sutton and other city <unk> including <unk> council president paul <unk> when they helped him get appointed city clerk a largely <unk> post responsible for the city 's marriage bureau among other things
 mr. <unk> is now one of the lawyers for mr. sutton 's media company
 the debt rose further in N when mr. sutton resigned his position as manhattan borough president to run for mayor
 mr. sutton recalls when i left i sat down with charlie <unk> <unk> paterson and david and david said who will run for borough president and i said you will
 david <unk> mayor koch 's longtime media adviser says of mr. dinkins he really is the <unk> of the <unk> system
 but the guy is so personally decent people tend to forget that
 mr. dinkins lost twice by wide margins before finally getting elected borough president in N
 but by most accounts he made little of the post and was best known among city politicians for his problems making up his mind on matters before the city 's board of estimate the body that votes on crucial budget and <unk> matters
 colleagues today recall with some humor how meetings would <unk> into the early morning hours as mr. dinkins would march his staff out of board meetings and into his private office to discuss en <unk> certain controversial proposals
 he taught me how to drink <unk> tea instead of coffee at N a.m. i 'll give him that says deputy mayor robert <unk>
 often mr. dinkins 's <unk> prevented him from having a say in the way things turned out critics claim
 on the campaign <unk> he often points out that he was the only board of estimate member to vote against a controversial real-estate project at manhattan 's columbus circle
 but board members say he took so long to decide how to vote that by the time he decided it was too late to try to draw other members to his position
 says one city official everybody else had brought in the <unk> and made their deal
 he would have got a lot more done if he made up his mind faster
 one board member bronx borough president ferdinand <unk> was said to be so <unk> with mr. dinkins 's behavior at many meetings that he withheld his support for mr. dinkins 's mayoral effort until late in the primary campaign
 i had some problem from time to time on the length of time he would take to make up his mind mr. <unk> admits but he maintains that he did n't delay his support of mr. dinkins and that he backs the democratic candidate <unk>
 mr. dinkins 's campaign manager and former chief of staff bill lynch denies that the manhattan borough president has taken too long to decide important issues
 we did n't <unk> everything that came to us mr. lynch says
 on some occasions when mr. dinkins has discussed the issues during the campaign he has run into a familiar kind of trouble
 some supporters were stunned this summer when mr. dinkins suggested weakening the law <unk> public employees to go on strike
 he withdrew the remark
 when he later <unk> with striking hospital workers some allies <unk> a little more concerned that mr. dinkins was setting the wrong tone for coming contract negotiations with city employees
 then two days before receiving an endorsement from environmental groups mr. dinkins promised he would issue a three-year <unk> on construction of <unk> plants
 that announcement was <unk> criticized by mayor koch who has endorsed mr. dinkins because the city faces a garbage crisis and has already spent $ N million planning for an incinerator that would be scrapped under mr. dinkins 's proposal
 while his public statements have at times been confusing mr. dinkins 's position papers have more consistently reflected <unk> sentiment
 he favors a form of commercial rent control which the financial community believes would make it more difficult to attract investment in the city
 in the midst of a labor shortage he proposes linking city subsidies to businesses to their record of hiring new york city residents
 with an <unk> local labor pool many experts believe that policy could drive businesses from the city
 and he favors a more cooperative approach toward the neighboring states of new jersey and connecticut in the battle over companies thinking of moving employees out of new york city
 many <unk> officials say the koch administration 's aggressive approach helped save N chase manhattan bank jobs from moving across the hudson
 but mr. dinkins 's economic <unk> do n't seem to bother the business community where he draws significant support
 steven <unk> president of the real estate board of new york an industry organization says mr. dinkins 's economic development program is <unk> but when it comes down to it he can be reasonable
 mr. dinkins 's inner circle of advisers appears to include both <unk> and <unk> leaving voters with little clue as to who will be more influential
 the key man seems to be the campaign manager mr. lynch
 a <unk> <unk> son of a long island potato farmer mr. lynch is a veteran union <unk> who worked on the presidential campaigns of sen. edward kennedy and mr. jackson
 but as the dinkins campaign hit tough times this month andrew <unk> the politically <unk> son of the new york governor is also said to have taken a more active role on strategy
 another close ally is ruth <unk> a manhattan city <unk> some of whose programs such as commercial rent control have made their way into mr. dinkins 's position papers
 if she remains influential with mr. dinkins as some suggest she will his <unk> may take on a more <unk> flavor
 but lincoln center president nathan leventhal who would head a dinkins transition team is more mainstream as is real-estate executive anthony <unk> another insider
 mr. dinkins also has said he would receive economic advice from a board that would include american express co. chairman james d. robinson iii investment banker <unk> <unk> <unk> specialist <unk> lewis and attorney joseph flom
 some business leaders and others also believe that mr. dinkins would place significant responsibility in the hands of a deputy mayor with a strong administrative background
 names of possible deputies that have surfaced include former mayoral candidate richard <unk> former schools chancellor frank <unk> and messrs. leventhal and <unk>
 then there are mr. dinkins 's <unk> <unk> colleagues such as u.s. rep. <unk> former deputy mayor paterson and mr. sutton
 having <unk> positions of real influence or wealth these men constitute the old guard of new york city black politics they are less <unk> than the younger more activist black political community that has been based largely in brooklyn
 part of mr. dinkins 's strength is his ability to win the support of both the brooklyn and <unk> <unk>
 we know there are <unk> for the city out there says mr. paterson mr. dinkins 's former law partner
 if any of us think we 're going to <unk> david 's determination to be the best possible mayor because of his obligations to us we are making a sad mistake
 adds ms. <unk> who is expected to win the borough president 's job mr. dinkins is <unk> you have to remember david is a <unk>
 but mr. dinkins 's sense of <unk> often comes across more as an insider 's determination not to upset the political apple <unk>
 he is taken <unk> in an interview when asked whether as mayor he plans on <unk> the political <unk> that <unk> the <unk> <unk> of new york 's school system
 i will sit down and talk some of the problems out but take on the political system <unk> he says with a shake of the head
 despite many doubts about his <unk> white new <unk> who gave mr. dinkins N N of their votes in the primary are n't expected to desert in sufficient numbers to turn the election to mr. giuliani
 the former u.s. attorney who prosecuted targets ranging from mafia <unk> to wall street executives has succeeded in raising questions about mr. dinkins 's ethical standards but so far has failed to generate excitement about his own <unk>
 as a republican in an <unk> democratic city mr. giuliani has an inherent <unk>
 as a first-time candidate he has been slow to learn the <unk> of new york city <unk>
 mr. giuliani is finding that mr. dinkins in his many years in public life has built up considerable good will that so far has led many voters to <unk> certain <unk>
 the bottom line is that he is a very genuine and decent guy says malcolm <unk> a jewish community leader
 in the end i think david will be <unk> for being david
 <unk> johnson pulls a tape measure across the front of what was once a <unk> <unk> home
 a deep <unk> now runs along its north wall exposed when the house <unk> two feet off its foundation during last week 's earthquake
 a side <unk> was <unk> away
 the <unk> is a pile of bricks on the front lawn
 the remainder of the house <unk> <unk> against a <unk> oak tree
 the <unk> <unk> ms. johnson dressed in jeans and a <unk> as she <unk> through the steady afternoon rain is a claims adjuster with aetna life & casualty
 she has been on the move almost <unk> since last thursday when an army of adjusters employed by major insurers <unk> the san francisco area to help policyholders <unk> through the rubble and restore some order to their lives
 equipped with cellular telephones laptop computers <unk> and a pack of blank checks they parcel out money so their clients can find temporary living quarters buy food replace lost clothing repair broken water <unk> and <unk> walls
 some of the funds will used to <unk> unstable buildings and clear sites for future construction
 many adjusters are authorized to write checks for amounts up to $ N on the spot
 they do n't <unk> at writing them
 that 's my job get policyholders what they 're entitled to says bill schaeffer a claims supervisor who flew in from aetna 's <unk> conn. office
 the <unk> house that ms. johnson is <unk> has been deemed <unk> by town officials
 but she asks a <unk> <unk> the bricks from the lawn to give her a boost through an open <unk> window
 once inside she spends nearly four hours measuring and <unk> each room in the <unk> house gathering enough information to estimate what it would cost to rebuild it
 she <unk> photos of the <unk> floors and the <unk> that has fallen away from the walls
 while she works inside a <unk> returns with several friends to collect furniture and clothing
 one of the friends <unk> broken <unk> and shattered glass from a <unk> and starts to pack what can be <unk> from the kitchen
 others grab books records photo <unk> <unk> and chairs working <unk> in the fear that an <unk> will jolt the house again
 the owners william and <unk> hammack are <unk> than many others
 a few years ago mrs. hammack insisted on buying earthquake insurance for this house which had been converted into apartments
 only about N N of california home and business owners carried earthquake coverage
 the <unk> ' own home also in los <unk> suffered <unk> minor damage
 ms. johnson who works out of aetna 's office in <unk> creek an east bay suburb is <unk> by the earthquake 's <unk> force
 it really brings you down to a human level she says
 it 's hard to accept all the suffering people are going through but you have to
 if you do n't you ca n't do your job
 for aetna and other insurers the san francisco earthquake hit when resources in the field already were stretched
 most companies still are trying to sort through the <unk> caused by hurricane hugo in the carolinas last month
 aetna which has nearly N adjusters had deployed about N of them in charlotte columbia and charleston
 adjusters who had been working on the east coast say the insurer will still be processing claims from that storm through december
 it could take six to nine months to handle the earthquake-related claims
 when the earthquake rocked northern california last week aetna senior claims executives from the san francisco area were at the company 's hartford conn. headquarters for additional training on how to handle major catastrophes including earthquakes
 since commercial airline flights were disrupted the company chartered three planes to fly these executives back to the west coast and bring along portable computers cellular phones and some claims adjusters
 because of the difficulty of assessing the damages caused by the earthquake aetna pulled together a team of its most experienced claims adjusters from around the country
 even so few had ever dealt with an earthquake
 some adjusters like alan singer of san diego had been working in charleston for nearly four weeks
 he returned home last thursday packed a bag with fresh clothes and reported for duty friday in <unk> creek
 offices were set up in san francisco and san jose
 in a few <unk> aetna knew it would probably be <unk> out big <unk> even before a client called or <unk> in a claim
 for example officials at <unk> creek office learned that the <unk> hotel near the san francisco airport which is insured by aetna was badly damaged when they saw it on network television news
 the secret to being a good adjuster is counting says <unk> <unk> an aetna adjuster from santa ana
 you have to count everything
 adjusters must count the number of <unk> <unk> <unk> <unk> <unk> and <unk>
 but they must also <unk> a price to each of these items as well as to floors <unk> <unk> and <unk> to come up with a total value for a house
 to do that they must think in terms of <unk> by the square foot carpeting by the square yard <unk> by the roll <unk> by the linear foot
 using a <unk> and a <unk> guide for such jobs as painting plumbing and <unk> in each major region of the country adjusters can figure out the value of a home in today 's market and what it would cost to rebuild it
 sometimes repairs are out of the question
 when aetna adjuster bill schaeffer visited a retired couple in oakland last thursday he found them living in a mobile home <unk> in front of their yard
 the house itself located about N yards from the collapsed section of <unk> highway interstate N was pushed about four feet off its foundation and then collapsed into its <unk>
 the next day mr. schaeffer presented the couple with a check for $ N to help them build a new home in the same neighborhood
 he also is working with a real-estate agent to help find them an apartment to rent while their home is being built
 many of the adjusters employed by aetna and other insurers have some experience with construction work or <unk>
 but such skills were <unk> to <unk> johnson
 four years ago she was managing a <unk> shop and was totally <unk>
 a friend mentioned that she might want to look into a position at aetna if she was interested in a job that would constantly challenge her
 she signed up starting as an inside adjuster who <unk> minor claims and does a lot of work by phone
 a year later she moved to the commercial property claims division
 she spent a month at an aetna school in <unk> pa. learning all about the construction trade including <unk> plumbing and electrical <unk>
 that was followed by three months at the aetna institute in hartford where she was <unk> in learning how to read and interpret policies
 her new line of work has some <unk>
 recently a contractor saved her from falling three stories as she investigated what remained of an old <unk> house <unk> by an <unk>
 i owe that contractor
 i really do she says
 as ms. johnson stands outside the hammack house after <unk> up her chores there the house begins to <unk> and <unk>
 the ground <unk> <unk> her
 it is an <unk> one of about N since the earthquake and it makes her uneasy
 the next day as she prepares a $ N check for the <unk> which will cover the cost of <unk> the house and clearing away the debris she <unk> at the <unk> noise
 on further reflection she admits that <unk> inside the <unk> ' house the previous day was n't such a great idea
 during her second meeting with the <unk> ms. johnson reviews exactly what their policy covers
 they would like to retrieve some appliances on the second floor but wonder if it 's safe to venture inside
 ms. johnson tells them that if the appliances ca n't be <unk> their policy covers the replacement cost
 mr. hammack is eager to know what aetna will pay for the house which has to come down
 when will i get that check for a million dollars he jokes
 the adjuster had n't completed all the calculations but says we 're talking policy limits
 in this case that 's about $ N
 it suddenly <unk> on mr. hammack that rebuilding the house in los <unk> an affluent community in santa clara county may cost more than aetna 's policy will pay
 we can lose money on this he says
 and you did n't want me to buy earthquake insurance says mrs. hammack reaching across the table and gently <unk> his hand
 earthquake insurance costs about $ N to $ N annually for every $ N of value and high <unk> mean it generally pays only when there is a catastrophe
 so many californians believe they can get by without it
 even ms. johnson herself made that assumption
 i always knew that the big one was coming but not during my lifetime she says
 now she says she 's thinking of <unk> her own insurance agent
 for ms. johnson dealing with the earthquake has been more than just a work experience
 she lives in oakland a community hit hard by the earthquake
 she did n't have hot water for five days
 the apartment she shares with a <unk> daughter and her sister was rattled books and crystal hit the floor but nothing was severely damaged
 her sister cynthia wishes <unk> had a different job
 we worry about her out there cynthia says
 last sunday ms. johnson finally got a chance to water her plants but stopped abruptly
 i realized i could n't waste this water when there are people in <unk> who do n't have fresh water to drink
 she has n't played any music since the earthquake hit out of respect for those who died on interstate N where the roadway collapsed
 the federal communications commission allowed american telephone & telegraph co. to continue offering discount phone services for <unk> customers and said it would soon <unk> its regulation of the long-distance market
 the fcc moves were good news for at&t which has been <unk> since the breakup of the phone system for greater <unk> in pricing and reduced regulation
 alfred <unk> the new fcc chairman <unk> deregulation of at&t at his last job as head of a commerce department telecommunications agency
 but it has been an open question whether mr. <unk> an extraordinarily cautious man would continue pushing deregulation at the fcc in the face of what is likely to be great political pressure
 it means that <unk> is serious about the deregulation of long distance said jack <unk> a telecommunications analyst at painewebber inc. who attended the fcc meeting
 all the commissioners were in amazing agreement to <unk> regulation for only having been together for a few months
 the fcc took three specific actions regarding at&t
 by a N vote it allowed at&t to continue offering special discount packages to big customers called tariff N rejecting appeals by at&t competitors that the discounts were illegal
 then by a separate N vote it chose the <unk> possible grounds to strike down a different discount plan called tariff N that at&t offered to holiday corp
 at&t gave a N N to N N discount to the memphis tenn. company that oversees holiday <unk> in response to a similar discount offered to holiday corp. by mci communications corp
 the agency said that because mci 's offer had expired at&t could n't continue to offer its discount plan
 but the agency specifically did n't rule whether at&t had the right to match offers by competitors if that means giving discounts not generally available to other phone users
 indeed joe <unk> at&t 's vice president for <unk> services said at&t offered a similar tariff N discount to resort <unk> international of indianapolis to meet another mci bid
 the fcc did n't say i could n't do it again he said
 apart from those two actions mr. <unk> and the three other commissioners said they expect to <unk> how at&t is regulated since competition has increased
 richard <unk> chief of the fcc 's <unk> bureau said he expected the agency to propose new rules next year
 at&t <unk> the fcc 's actions
 the time is long overdue to take a look at the fierce competition in the long-distance business and the rules governing it the new york telecommunications firm said in a statement
 but mci of washington was <unk> with the fcc decision concerning tariff N arguing that at&t can not be allowed to <unk> fcc rules
 united telecommunications inc. 's us <unk> unit said it was obviously disappointed with the fcc decision on tariff N
 us <unk> said was it will petition the fcc decision in federal court
 we believe that the court will find it unlawful said a us <unk> spokesman
 separately at&t filed a <unk> against mci <unk> it of misleading consumers through allegedly false and deceptive advertising
 the at&t action was the most recent blow in a nasty fight
 earlier this month mci sued at&t in federal district court claiming that at&t 's ads are false
 at&t assembled three of its top executives in washington all <unk> angry to try to <unk> mci 's charges
 mci has made <unk> out of the upper <unk> of at&t said painewebber 's mr. <unk> who said he expected at&t to become increasingly aggressive in dealing with its longtime <unk>
 <unk> <unk> <unk> in philadelphia also contributed to this article
 billions of investors ' dollars are pouring out of the nation 's junk-bond mutual funds <unk> a <unk> of support in the already reeling junk market
 last week alone an <unk> $ N billion <unk> out of the junk funds or nearly N N of their total assets according to estimates by <unk> financial services inc. a boston research firm
 in the past two months the nation 's N junk funds have lost a total of about $ N billion more than N N of assets through sales or transfers of <unk> shares <unk> says
 it made the estimates based on data collected from more than a dozen big junk funds
 interviews with three major fund groups fidelity investments vanguard group inc. and t. rowe price associates inc. confirm the trend
 their junk funds combined have had net outflows totaling nearly $ N million or about N N of their junk fund assets in the past two months
 some fund managers say negative publicity has <unk> investors ' concern about recent declines in junk-bond prices
 people have been seeing headline after headline after headline and saying i ca n't take it anymore i 'm getting out says kurt brouwer of brouwer & <unk> a san francisco investment adviser
 the withdrawals could <unk> trouble for the $ N billion junk market
 if the heavy outflows continue fund managers will face increasing pressure to sell off some of their junk to pay <unk> investors in the weeks ahead
 such selling could erode prices of high-yield junk bonds already weakened by a rash of corporate credit problems
 mutual fund groups have n't lost control of much of the <unk> money says louis <unk> <unk> 's president
 mutual fund officials say that investors have transferred most of it into their money market accounts and to a lesser extent <unk> funds
 so the impact on the $ N billion mutual fund industry as a whole probably will be slight
 but tremors are likely in the junk-bond market which has helped to finance the takeover boom of recent years
 mutual funds are the among the largest holders of junk accounting for more than a quarter of the entire high-yield high-risk market
 the N mutual funds investing solely in junk bonds hold assets of about $ N billion
 other funds hold a <unk> of junk bonds too
 the $ N billion fidelity high income fund has had a net <unk> of about $ N million in the past two months
 about $ N million <unk> out last week alone double the level of the week following last month 's campeau corp. credit squeeze
 about N N of the <unk> was transferred to other fidelity funds says neal <unk> a fidelity vice president marketing with most going into money market funds
 you get a news item it hits you have strong redemptions that day and for two days following then go back to normal says mr. <unk>
 the fund with a cash cushion of more than N N has met all the redemptions without having to sell one thing mr. <unk> says
 he adds our fund has had positive net sales every month for the last three years until this month
 vanguard 's $ N billion high yield bond portfolio has seen $ N million flow out since early september $ N million of that <unk> out friday oct. N alone
 still two-thirds of the <unk> has been <unk> into other vanguard portfolios says brian <unk> a vice president
 the fund now holds a cash position of about N N
 at the $ N million t. rowe price high yield fund investors <unk> out about $ N million in the past two months
 those withdrawals most of which were transferred to other t. rowe price funds followed little change in the fund 's sales picture this year through august
 the last two months have been the whole ball game says steven <unk> a vice president
 <unk> holders have barely broken even this year as fat interest payments barely managed to offset declining prices
 through oct. N high-yield funds had an average N N total return the price change plus dividends on fund shares according to lipper analytical services inc
 that 's even less than the N N total return of the merrill lynch high-yield index
 fidelity 's junk fund has fallen N N this year through oct. N lipper says the vanguard fund rose N N and the t. rowe price fund edged up N N
 people who remain in junk funds now could get hit again some analysts and fund specialists say
 many funds in recent weeks and months have been selling their <unk> junk issues such as rjr nabisco to raise cash to meet expected redemptions
 funds might be forced to accept lower prices if they expand their selling to the securities of <unk> borrowers
 and then asset values of the funds could plunge more than they have so far
 says michael <unk> chief investment officer of republic national bank and manager of the <unk> group in new york it 's a time bomb just waiting to go off
 the surprise resignation yesterday of british chancellor of the exchequer nigel lawson sent sterling into a tailspin against the dollar by creating uncertainties about the direction of the british economy
 the u.s. unit also firmed against other currencies on the back of sterling 's tumble as market participants switched out of pounds
 the pound also dropped <unk> against the mark falling below the key <unk> level to N marks from N marks late wednesday
 mr. lawson 's resignation shocked many analysts despite the recent <unk> speculation of a <unk> between the chancellor and prime minister margaret thatcher
 indeed only hours earlier mrs. thatcher had called mr. lawson 's economic policies sound and said she has always supported him
 there was a general feeling that we 'd seen the worst said patrick foley deputy chief economic adviser for <unk> bank in london
 the resignation came as a great surprise
 graham <unk> manager of foreign-exchange operations at hong kong & shanghai banking corp. in new york added that mrs. thatcher 's comments reinforced the market 's growing confidence about sterling and compounded the unit 's later decline
 the market was caught totally the wrong way
 everyone was extremely long on sterling mr. <unk> said
 in late new york trading yesterday the dollar was quoted at N marks up from N marks late wednesday and at N yen up from N yen late wednesday
 sterling was quoted at $ N sharply down from $ N late wednesday
 in tokyo friday the u.s. currency opened for trading at N yen up from thursday 's tokyo close of N yen
 few analysts had much good to say about the pound 's near-term prospects despite the fact that most do n't anticipate a shift in mrs. thatcher 's economic policies
 mr. foley of <unk> noted that mr. lawson 's replacement john major the british foreign minister will take time to establish his credibility and in the meantime sterling could trend downward in volatile trade
 but mr. foley predicted few economic policy changes ahead commenting that mr. major shares a very similar view of the world with mr. lawson
 bob <unk> chief economist at <unk> bank in new york also noted that the pound 's sharp decline is pegged more to uncertainty in the market than a vision of altered united kingdom economic policies
 unless mr. lawson 's resignation leads to a change in british interest-rate policy mrs. thatcher 's administration firmly supports high interest rates to keep inflation in check or <unk> toward full <unk> in the european monetary system 's exchange-rate mechanism mr. lawson 's withdrawal will have little long-term impact on exchange rates mr. <unk> concluded
 also announcing his resignation thursday was alan walters mrs. thatcher 's economic adviser and mr. lawson 's <unk>
 the pound which had been trading at about $ N in new york prior to mr. lawson 's announcement sank more than two cents to $ N prompting the federal reserve bank to buy pounds for dollars
 the fed 's move however only proved a <unk> to the pound 's slide and the fed intervened for a second time at around $ N according to new york traders
 meanwhile dollar trading was relatively <unk> throughout the session according to dealers who noted that thursday 's release of the preliminary report on the u.s. third-quarter gross national product was something of a <unk>
 u.s. gnp rose at an annual rate of N N in the third quarter
 the implicit price deflator a measure of inflation was down to a N N annual rate of increase in the quarter from a N N rate of gain in the second quarter
 in europe the dollar ended lower in <unk> trading
 the market closed prior to mr. lawson 's announcement
 on the commodity exchange in new york gold for current delivery rose $ N to $ N an ounce in heavy trading
 the close was the highest since august N
 estimated volume was five million ounces
 in early trading in hong kong friday gold was quoted at $ N an ounce
 the following issues were recently filed with the securities and exchange commission
 <unk> cos. shelf offering of $ N million of debt securities
 coca-cola bottling co. consolidated shelf offering of $ N million of debt securities via salomon brothers inc. and goldman sachs & co
 first brands corp. proposed offering of N common shares of which N common shares will be sold by the company and five million shares by holders via first boston corp. and credit suisse first boston ltd
 home nutritional services inc. a wholly owned subsidiary of <unk> inc. proposed initial offering of four million common shares of which N million will be sold by home nutritional services and N million will be sold by <unk> via smith barney harris upham & co
 <unk> technology corp. initial public offering of N million common shares of which N will be offered by the company and N will be offered by holders via alex brown & sons inc. hambrecht & quist inc. and <unk> arnold & henderson
 <unk> communications inc. proposed public offering of N million common shares of which N shares are to be sold by the company and N shares are to be sold by holders via morgan stanley & co. and hambrecht & quist
 on an office wall of the senate intelligence committee hangs a quote from chairman david boren do n't hold your ticket <unk> the show 's over
 he once used that line in a <unk> meeting on panama meaning do n't shrink from taking action against manuel noriega
 so how did a good senator like this end up <unk> a policy that required the u.s. to warn mr. noriega of any coup plot against him
 i agree it 's ridiculous says mr. boren and indeed by now ridiculous may be the only way to describe how the u.s. decides to take or rather not to take covert action
 george bush disclosed the policy last week by reading it to gop senators perhaps as a way of shifting blame for the panama <unk> to congress
 but the broader truth is more complicated and <unk>
 the policy was contained in an exchange of letters last october between the senate intelligence committee and the cia and national security council
 staff lawyers for both sides were busy agreeing with one another about what the u.s. could not do to oust the panamanian <unk>
 they simply got carried away with <unk> what the executive order banning assassinations really meant
 mr. boren himself did n't discover the <unk> <unk> until mr. bush told him privately at the white house last week
 it 's ironic that david boren should be in the center of this <unk>
 a former oklahoma governor he 's a <unk> <unk> of presidential powers in foreign policy
 he 's a rare democratic <unk>
 he 's the senator most like arthur <unk> the gop senator from michigan who worked to forge a bipartisan foreign policy in the <unk>
 <unk> and <unk> are heroes of mine mr. boren says referring as well to sam <unk> the democratic house speaker who <unk> with president <unk>
 they allowed this country to be credible
 i really want to see that happen again
 if this were N mr. boren might even succeed
 but in N most senators have other ideas
 last july his committee rejected a reagan administration plan to support a coup in panama
 ohio democrat howard <unk> refused to support any plan that might get people hurt a <unk> notion for a great power
 maine republican william cohen said the plan might violate the assassination ban
 so the administration dropped it
 by october when the committee rejected a much more modest covert proposal even the administration was agreeing little should be done
 mr. boren does n't think all this influenced the failed coup this month but he does concede that congress has made mistakes
 in the aftermath of vietnam in the aftermath of iran-contra i can understand some people might think that if they plan a coup they have to bring their lawyers he says
 but even mr. boren <unk> congressional oversight
 writing in the harvard international review he says that his committee approves covert operations only when there 's a consensus
 so what does consensus mean
 it does n't mean <unk> he insists though he implies it means a bipartisan majority
 the <unk> of u.s. foreign policy is essential he explains
 why was <unk> so successful
 because it had bipartisan support
 mr. boren is confusing consensus on general principles with agreement on specific actions
 elliott abrams a veteran of intelligence committee debates doubts that even <unk> or the <unk> <unk> would have taken place if consensus had been required
 <unk> and <unk> were <unk> enough to leave specific operations to presidents modern senators mr. boren notwithstanding are less modest
 the result is that the senate committee has what amounts to veto power over every covert action
 i would n't say it 's quite a veto mr. boren <unk>
 but would n't a president who acted despite senate objections be taking grave political risks
 he would agrees the chairman
 but that is something the president ought to know before he goes ahead
 mr. boren even <unk> a silver <unk>
 he figures the episode will help clarify any <unk> between the committee and administration
 he points to a letter on his desk his second in a week from president bush saying that they do n't disagree
 more broadly mr. boren hopes that panama will shock washington out of its fear of using military power
 maybe this will jolt us out of the <unk> syndrome that we never are prepared to use force he says
 maybe if every senator shared the principles of mr. boren
 but it 's just as <unk> to argue that if even david boren can get mired in this sort of mess the problem goes beyond legal interpretation
 maybe the problem is a political system that wo n't act without an exchange of letters that insists on running foreign policy by committee that <unk> a president as just another guy at the table
 the <unk> of the <unk> and <unk> is that we ca n't abolish these oversight committees because we 've seen too many abuses of executive power
 but panama illustrates that their substitute is a system that produces an absurd gridlock
 the lawyers are now in charge of our national security
 in panama the u.s. interests at stake were <unk> minor the only people killed were foreigners <unk> enough to trust american will
 americans may not be so lucky the next time
 i was impressed by the <unk> of your sept. N story rural enterprise tough row to <unk>
 we lived in rural areas many years but now live in st. louis county <unk>
 this morning as i drove the N miles to my law office and <unk> the routine heavy traffic during that <unk> <unk> i thought of how <unk> it was that we made the decision to be residents of an expanding community with so many opportunities and where so much is happening
 the presence of so many people cars and competing businesses is evidence of a healthy economy in a place where people want to live
 i thought back to our time in small <unk> <unk> communities
 i remembered how hard it was for an outsider to become accepted by <unk> <unk> residents and what <unk> <unk> an original <unk> in <unk> that were long accustomed to <unk> safe ways of thought and action
 i remembered being fired at age N with five children at home when my views and actions were deemed <unk> by a <unk> small-town employer
 how difficult it is for a thinking person to live among <unk> rooted in the past
 now i <unk> in the freedom culture activity and diversity of this great metropolitan area with its traffic <unk> and perpetual <unk> projects
 yet when my youngest child died two years ago i buried him in the church cemetery of a small missouri town
 so after all even the <unk> critic of rural exclusivity harbors a continuing <unk> for those scarce rural <unk> thought to exist amid fields <unk> and country <unk>
 ronald edwin <unk> <unk> <unk>
 finnish government officials are negotiating with creditors of waertsilae marine oy a major shipyard that filed for bankruptcy protection this week amid confusion and mounting doubts that collapse of the nation 's entire shipbuilding industry can be <unk>
 at stake are almost N jobs in an industry that has been the mainstay of finland 's <unk> economic revival
 shipbuilding became a point of pride as finnish <unk> remained profitable long after rivals collapsed all over europe
 but if as many now fear waertsilae marine joins the ranks of failed <unk> it might turn out to be remembered most as a <unk> on finland 's international reputation
 the shipyard 's N billion finnish <unk> $ N billion backlog includes about N ships ordered by big international shippers including three for carnival cruise lines inc
 miami-based carnival said the first of the three ships is scheduled to be delivered next month just in time for the winter tourist season in the caribbean
 the second ship is scheduled to be delivered in fall N and the third in fall N
 one analyst said the first ship probably will be delivered close to schedule but that carnival may have to pay up to N N more to get the second and third ships
 all the ships are covered by loan guarantees from a state export financing agency even though it 's not clear whether they will actually be built
 bankers worry that if the government makes good a threat to withdraw its guarantee commitments shippers will counter with a <unk> of lawsuits
 state loan guarantees are rarely a source of controversy
 however some bankers cited possible parallels between the waertsilae marine case and the collapse of norway 's state-owned <unk> <unk> as two years ago
 in that case international banks and investors incurred big losses because they incorrectly believed the company 's debt carried implicit state guarantees
 doubts about the quality of state credit guarantees could reduce the competitive strength of finnish companies in world markets where financing often is the key to winning orders analysts warn
 moreover state-owned finnish companies lacking formal state guarantees could face greater difficulty raising funds in international financial markets bankers say
 the decision by a majority of <unk> waertsilae marine directors monday to file for bankruptcy was an abrupt <unk> from previous government policy
 in august the government played a major part in a sweeping restructuring of the troubled shipyard
 at the time <unk> by oy waertsilae a conglomerate the shipbuilding unit faced potential losses estimated at one billion <unk> and was on the brink of liquidation
 under the rescue plan waertsilae sold N N of its stake to a group of banks and pension funds
 the government in turn guaranteed financing to complete the order backlog and took control of the board
 government officials were expected to combine waertsilae marine with two other struggling firms and thus ensure finland 's survival as a shipbuilding nation
 the government spent most of last year attempting to carry out such a plan but was <unk> when the parent waertsilae concern pulled out at the last minute
 after the restructuring of waertsilae marine and bolstered by state loan guarantees two big bank creditors union bank of finland and state-controlled <unk> resumed lending the shipyard working capital
 but the bankers got cold feet recently as government officials complained they had been <unk> about the shipyard 's actual financial condition and hinted the credit guarantees might be withdrawn
 people familiar with monday 's board meeting said it was the state 's refusal to <unk> <unk> the credit guarantees that led union bank and <unk> to halt lending to waertsilae marine
 then in a <unk> <unk> <unk> directors voted to file for bankruptcy apparently under instructions from finland 's industry minister <unk> <unk>
 analysts say mr. <unk> had grown increasingly worried about the state 's potential financial exposure as waertsilae marine 's losses <unk> to more than double the figure estimated in august
 noting that sweden wound up <unk> state subsidies of about N billion swedish kronor $ N billion during the 1970s in a <unk> attempt to salvage its shipbuilding industry one analyst suggested that mr. <unk> may have decided to cut finland 's losses once and for all
 senior ministry officials <unk> with creditors during the week in an attempt to agree on some form of restructuring that would keep waertsilae marine operating
 the talks may drag on for weeks before any concrete result is announced people familiar with them said
 one solution would be to sell the shipyard to an outsider
 but there appear to be few if any suitors
 indeed the potential losses make any rescue scheme unlikely unless the politicians once again change <unk> and agree to pick up the bill analysts said
 meantime shippers with vessels on order from waertsilae marine will remain in limbo
 turner broadcasting system inc. said it expects to report an extraordinary loss of about $ N million in the fourth quarter due to early retirement of debt
 the cable <unk> said the loss will consist primarily of prepayment penalties and <unk> issue discount and costs related to its <unk> $ N billion refinancing of its long-term debt and some preferred stock in one of its subsidiaries
 a turner spokesman would n't speculate on the extent of the charge 's effect on the quarter 's earnings but said the company continues to expect to report a net loss for N
 the company said the repayment or redemption of the long-term debt and the outstanding class a cumulative <unk> preferred stock of cable news network was made possible by an offering of about $ N million of debentures and notes and $ N million in bank borrowings
 the offering included $ N million of N N senior subordinated debentures due N and $ N million of zero coupon liquid yield option notes due N
 the notes were priced to yield N N and are convertible into the company 's class b common stock at a price which represents a N N premium over the market price on oct. N N
 in addition the company called its N N N senior subordinated notes due N with an <unk> principal amount of $ N million for redemption on dec. N
 as a result of the refinancing the company said the interest on the debt will fall to slightly more than N N from slightly more than N N
 in american stock exchange composite trading turner 's class a stock closed at $ N down N cents
 general motors corp. said it will temporarily idle its <unk> texas assembly plant for one week beginning monday because of slow sales
 the closing will affect about N workers and eliminate production of N cars
 the assembly plant builds the cadillac <unk> chevrolet <unk> and <unk> <unk> <unk> <unk>
 in addition gm 's truck & bus group said slow sales are forcing it to close its detroit assembly plant the week beginning monday
 the plant builds <unk> for recreational vehicles and about N workers will be affected by the closing
 the no. N auto maker scheduled overtime this week at its <unk> wis. assembly plant manufacturer of the chevrolet <unk>
 the nine major u.s. auto makers plan to build N vehicles this week down N N from the N a year ago but N N higher than last week 's N
 ford motor co. slated overtime again this week at its <unk> mich. wayne mich. kansas city mo. and norfolk va. assembly plants
 they build the lincoln town car continental and mark <unk> the ford <unk> and <unk> pickup trucks
 chrysler corp. scheduled overtime this week at its st. louis assembly plant no. N newark del. and sterling heights mich. assembly plants
 they build extended minivans and the dodge spirit <unk> shadow and <unk>
 d percentage change is greater than N N
 e estimated
 f includes chevrolet <unk> and toyota <unk>
 r revised
 x <unk> N figure includes <unk> <unk> through july
 the surprise resignations of two top economic government officials <unk> more uncertainty on london 's financial markets which already have been <unk> under worries about britain 's ailing economy
 the last thing markets like is uncertainty said ian <unk> chief economist at <unk> warburg & co. of the resignations of chancellor of the exchequer nigel lawson and chief economic adviser sir alan walters
 i think you 'll see share prices go down and sterling now is under something of a cloud
 the pound immediately began to take a <unk> after the resignations were announced
 in late new york trading sterling stood at $ N down from $ N late wednesday
 the british economy is hardly the picture of health these days
 at N N base interest rates are the highest in eight years and the N N annual inflation rate is by far the highest in the european community
 unions are pressing demands for wage increases of more than N N despite general belief that economic growth next year will be less than N N
 increasingly the financial markets are reflecting the <unk>
 the financial times 100-share index has dropped about N N from its N high of N on sept. N
 yesterday even before the resignations were announced the index <unk> N points to close at N
 we are expecting a recession says donald franklin chief economist at <unk> investment bank
 the only question is how deep is it going to be
 the outlook for corporate earnings is fairly bleak
 it 's quite likely we 're going to get <unk> of the mid-october market shocks
 red ink already has begun to flow in the wake of the <unk> market breaks of oct. N and oct. N
 london-based <unk> holdings the largest <unk> of traders in the chicago options and futures markets said yesterday it will incur a <unk> loss as a result of the market plunge
 the company which also will <unk> its <unk> dividend did n't specify the size
 but company insiders estimated that the loss could approach the equivalent of $ N million
 christopher <unk> <unk> chief executive said in an interview that the loss stemmed from the default of three options traders who had bet on a price rise in ual corp. shares before oct. N
 the price plummeted after a proposed leveraged buy-out of the airline fell through
 <unk> holdings shares plummeted N pence to close at N pence N cents a N N drop on london 's stock exchange
 <unk> of london 's financial district are <unk> themselves for heavy <unk>
 a lot more of our customers are staying until our N p.m. closing time says christopher brown managing director of <unk> & <unk> restaurants ltd. which runs five tony wine bars in the district
 there 's a strong sense among the <unk> set that there 's more bad news to come asserts roger <unk> chief investment officer at morgan grenfell asset management
 people in the stock market were very much thatcher 's children very young and wealthy <unk>
 now it 's <unk> on them that they can be <unk>
 the <unk> has created a <unk> <unk> for the <unk> days of the mid-1980s before a rash of <unk> mergers on the <unk> of the industry 's deregulation in N
 people come to us saying they 'd like to be back where they were a few years ago in a more <unk> atmosphere with less tension says stephen <unk> managing director of hanover partners ltd. a financial district <unk> firm
 but after trading losses in the mid-october market <unk> here many people will be lucky to have jobs at all executives predict
 the industry which currently employs about N people in london has shed about N jobs over the past two years
 i can see cuts of at least N N more says the head of the london office of a major u.s. firm
 the mergers and acquisitions market has been a saving grace for the industry but uncertainties are beginning to mount even there
 <unk> takeovers are expected to continue at their brisk pace
 but investment bankers say that stock market uncertainties in the u.s. may cause many european companies to mark time before bidding for american companies in the hope that share prices will come down
 if prices in the states go down industrial buyers in europe have the opportunity of getting reasonable prices in the u.s. says <unk> von <unk> chief of <unk> <unk> at credit suisse first boston ltd
 but he adds everybody and his sister have opened up <unk> shops
 it 's difficult to see that there 's going to be enough business to go around
 about eight firms will get the lion 's share
 at the others there are going to be a lot of disappointments after all those promises and all that big money that 's been paid to people
 it all adds up to a cold winter here
 says allen d. wheat head of trading at bankers trust co. people are just plain scared
 one person who is past worrying about london 's blues is christopher <unk>
 last summer he <unk> his 10-year career as a london <unk> and headed for the <unk>
 he did n't stop until he got to jackson hole <unk>
 i 'm glad to be out said the <unk> mr. <unk> in a phone interview
 the percentage of your day spent <unk> your <unk> got greater and the work day kept getting longer
 what am i doing in jackson hole
 not a great deal
 my wife and i will stay through the skiing season or until the money runs out whichever comes first
 but unlike london out here i 've never heard anybody blow a car horn in anger
 <unk> australia ltd. under pressure from bank lenders has called in accounting firm peat <unk> <unk> to help oversee asset sales and restructure the resorts and media company
 analysts said the move could <unk> even <unk> action by the banks
 but any move by the banks to take over qintex australia 's management could threaten its ability to operate its national television network under australian broadcast license rules
 that in turn could substantially reduce the value of the television assets
 the appointment of peat <unk> which has a unit that specializes in advising troubled companies came about as a result of a round of meetings held by qintex australia chairman christopher skase with bank creditors
 yesterday mr. skase said the company is <unk> and with the continued support of its bankers is able to meet its financial commitments
 qintex australia is a unit of qintex ltd
 the qintex group 's problems began in <unk> in march when mr. skase agreed to buy mgm\/ua communications co
 but the transaction faltered in september when qintex australia was forced to increase its offer to us$ N billion following a <unk> from rupert murdoch the deal fell apart altogether earlier this month
 qintex australia owes creditors around a$ N billion
 last friday qintex entertainment inc. its <unk> u.s. tv production and distribution affiliate filed for chapter N protection
 the government is <unk> its newest weapon against white-collar defendants the power to prevent them from paying their legal bills
 and defense lawyers are warning that they wo n't stick around if they do n't get paid
 the issue has come to a <unk> in newark n.j. where federal prosecutors have warned lawyers for eddie antar that if the founder and former chairman of crazy eddie inc. is indicted the government may move to seize the money that mr. antar is using to pay legal fees
 the warning by the u.s. attorney 's office follows two decisions by the u.s. supreme court last june
 in those cases the high court ruled that federal law gives prosecutors broad authority to seize assets of people accused of racketeering and drug-related crimes including fees paid to lawyers before an indictment
 if the government succeeds in <unk> mr. antar 's assets he could be left without <unk> legal representation because his attorneys are likely to quit according to individuals familiar with the case
 a seizure also would make the case the largest and one of the first in which lawyers ' fees have been confiscated in a prosecution unrelated to drugs
 the people who suffer in the short run are defendants but the people who suffer in the long run are all of the people because there wo n't be a vigorous private bar to defend the bill of rights says gerald <unk> a criminal defense attorney who says he has turned down a number of cases to avoid possible fee seizures
 mr. antar is being investigated by a federal grand jury in newark where prosecutors have told him that they may soon seek an indictment on racketeering and securities fraud charges
 under the <unk> influenced and corrupt organizations law or rico the government has the authority to seek to freeze or seize a defendant 's assets before trial
 according to individuals familiar with mr. antar 's case prosecutors issued their warning this week after one of mr. antar 's attorneys asked whether legal fees might be subject to seizure
 in a letter prosecutors told mr. antar 's lawyers that because of the recent supreme court rulings they could expect that any fees collected from mr. antar may be seized
 prosecutors have told mr. antar 's attorneys that they believe mr. antar 's allegedly <unk> gains are so great that any money he has used to pay attorneys <unk> from illegal activities
 therefore they said the money can be taken from the lawyers even after they are paid
 justin <unk> and jack <unk> attorneys for mr. antar both declined to comment on the matter
 in newark u.s. attorney samuel a. <unk> said i do n't think there 's any legal reason to limit forfeiture of attorney 's fees to drug cases
 mr. <unk> said his office just responded to an attorney 's question about whether we would go after attorney 's fees and that is different from actually doing it although we reserve that right
 mr. antar was charged last month in a civil suit filed in federal court in newark by the securities and exchange commission
 in that suit the sec accused mr. antar of engaging in a massive financial fraud to <unk> the earnings of crazy eddie edison n.j. over a three-year period
 through his lawyers mr. antar has denied allegations in the sec suit and in civil suits previously filed by shareholders against mr. antar and others
 the sec has alleged that mr. antar aimed to pump up the company 's stock price through false financial statements in order to sell his stake and reap huge profits
 mr. antar the sec said made more than $ N million from the sale of his shares between N and N
 the justice department has emphasized that the government 's <unk> power is to be used <unk>
 according to department policy prosecutors must make a strong showing that lawyers ' fees came from assets tainted by illegal profits before any attempts at seizure are made
 still criminal defense lawyers worry that defendants are being deprived of their sixth amendment right to counsel and a fair trial if the government can seize lawyers ' fees
 they also worry that if the government applies <unk> laws broadly the best defense lawyers will be unwilling to take criminal cases unless they are assured of being paid
 the stock market correction of oct. N N was a grim reminder of the oct. N N market collapse
 since like earthquakes stock market <unk> will always be with us it is prudent to take all possible <unk> against another such market collapse
 in general markets function well and adjust smoothly to changing economic and financial circumstances
 but there are times when they seize up and <unk> sellers can not find buyers
 that 's just what happened in the october N crash
 as the market tumbled <unk> market conditions prevailed the margins between buying bids and selling bids widened trading in many stocks was suspended orders took <unk> long to be executed and many specialists stopped trading altogether
 these failures in turn contributed to the fall in the market averages uncertainty <unk> an extra risk premium and <unk> triggered additional selling pressures
 the situation was like that of a <unk> who is thrown slightly off balance by an unexpected <unk> on the <unk>
 his <unk> spread <unk> and <unk> apart just as <unk> spreads widen during a financial panic and soon he is out of control
 unable to stop his accelerating <unk> he crashes
 after the N crash and as a result of the recommendations of many studies circuit breakers were devised to allow market participants to <unk> and restore orderly market conditions
 it 's doubtful though whether circuit breakers do any real good
 in the additional time they provide even more order imbalances might pile up as would-be sellers finally get their broker on the phone
 instead an appropriate institution should be charged with the job of preventing chaos in the market the federal reserve
 the availability of timely assistance of a <unk> can help markets retain their resilience
 the fed already buys and sells foreign exchange to prevent <unk> conditions in foreign-exchange markets
 the fed has assumed a similar responsibility in the market for government securities
 the stock market is the only major market without a <unk> of <unk> liquidity or a buyer of last resort
 this does not mean that the federal reserve does not already play an important indirect role in the stock market
 in N it pumped billions into the markets through open market operations and the discount window
 it lent money to banks and encouraged them to make funds available to brokerage houses
 they in turn lent money to their customers who were supposed to recognize the opportunity to make a profit in the turmoil and buy shares
 the fed also has the power to set margin requirements
 but would n't it be more efficient and effective to supply such support to the stock market directly
 instead of flooding the entire economy with liquidity and thereby increasing the danger of inflation the fed could support the stock market directly by buying market averages in the futures market thus stabilizing the market as a whole
 the stock market is certainly not too big for the fed to handle
 the foreign-exchange and government securities markets are <unk> larger
 daily trading volume in the new york foreign exchange market is $ N billion
 the daily volume for treasury securities is about $ N billion
 the combined value of daily equity trading on the new york exchange the american stock exchange and the nasdaq over-the-counter market ranges between $ N billion and $ N billion
 the $ N billion the fed <unk> into the money markets after the N crash is more than enough to buy all the stocks traded on a typical day
 more carefully targeted intervention might actually reduce the need for government action
 and taking more direct action has the advantage of avoiding sharp increases in the money supply such as happened in october N
 the fed 's stock market role ought not to be very ambitious
 it should seek only to maintain the <unk> of markets not to <unk> up the dow jones or new york stock exchange averages at a particular level
 the fed should guard against <unk> risk but not against the risks inherent in individual stocks
 it would be inappropriate for the government or the central bank to buy or sell ibm or general motors shares
 instead the fed could buy the broad market <unk> in the futures market
 the increased demand would <unk> trading and stabilize prices
 stabilizing the derivative markets would tend to stabilize the primary market
 the fed would eliminate the cause of the potential panic rather than attempting to treat the <unk> the liquidity of the banks
 <unk> market conditions could be observed quite frequently in foreign exchange markets in the 1960s and 1970s
 but since the member countries of the international monetary fund agreed to the guidelines to floating in N such difficulties have been avoided
 i can not recall any <unk> in currency markets since the N guidelines were adopted
 thus the mere existence of a <unk> agency helps to avoid panic in <unk>
 the old saying advises if it ai n't broke do n't fix it
 but this could be a case where we all might go broke if it is n't fixed
 mr. heller now at visa international was a governor of the federal reserve board from N until earlier this year
 this is adapted from a speech to the commonwealth club in san francisco
 bank of england governor robin <unk> urged banks to be cautious in financing leveraged buy-outs
 caution should be the rule of the day said mr. <unk> in a speech to the association of corporate <unk> ' annual dinner
 it would be damaging to industry and to the financial sector in general to say nothing of banks if <unk> does not guide the financing of leveraged transactions
 his remarks were distributed to the press before chancellor of the exchequer nigel lawson announced his resignation last evening
 bank of england officials said the central bank had no comment on mr. lawson 's resignation
 mr. <unk> reiterated that the exposure of united kingdom banks to leveraged deals have n't yet reached worrying levels
 however in light of the risks involved in such transactions banks should satisfy themselves that they have the skills to participate in this market and clear policy guidelines on acceptable levels of exposure to such transactions he said
 in other comments he said takeovers may not always be the most efficient way of <unk> a change of corporate direction or strategy
 a similar result could sometimes be achieved at less cost by changing <unk> he said
 intel corp. 's most powerful computer chip has flaws that could delay several computer makers ' marketing efforts but the bugs are n't expected to hurt intel and most computer makers
 computer experts familiar with the flaws found in intel 's N chip say the defects do n't affect the average user and are likely to be cleared up before most computers using the chip as their brains appear on the market sometime next year
 intel said that last week a customer discovered two flaws in its N microprocessor chip 's <unk> unit a set of circuits that do certain calculations
 on friday intel began <unk> customers about the bugs which cause the chip to give wrong answers for some <unk> calculations
 but while international business machines corp. and compaq computer corp. say the bugs will delay products most big computer makers said the flaws do n't affect them
 bugs like this are just a normal part of product development said richard <unk> director of hewlett-packard co. 's advanced systems development
 <unk> announced last week that it planned to ship a computer based on the N chip early next year
 these bugs do n't affect our schedule at all he said
 likewise <unk> research inc. and sun microsystems inc. said the bugs wo n't delay their development of <unk> machines
 we have n't modified our schedules in any way said a sun spokesman
 to switch to another vendor 's chips would definitely not be an option he said
 nonetheless concern about the chip may have been responsible for a decline of N cents in intel 's stock to $ N a share yesterday in over-the-counter trading on volume of N shares and partly responsible for a drop in compaq 's stock in new york stock exchange composite trading on wednesday
 yesterday compaq plunged further closing at $ N a share off $ N a share on volume of N shares
 most of compaq 's decline is being attributed to a third-quarter earnings report that came in at the low end of analysts ' expectations
 intel said it had corrected the problems and would start producing <unk> chips next week
 we should not be seeing any more said bill rash intel 's director for the N chip
 what 's more the bugs only emerge on <unk> applications such as <unk> design and scientific calculations he said and then very seldom
 these <unk> do not affect business programs he said
 the bugs will cause problems in specific and rare circumstances that will not occur in typical applications such as <unk> and <unk> said michael <unk> editor of the microprocessor report an industry newsletter
 sun hewlett-packard and others say intel is n't wholly to blame for the <unk>
 the real <unk> they said are computer makers such as ibm that have jumped the gun to unveil <unk> products
 the reason this is getting so much <unk> is that some started shipping and announced early availability said hewlett-packard 's mr. <unk>
 you can do that but you 're taking a risk
 those companies are paying the price for taking the risk
 in late september ibm began shipping a <unk> card that <unk> its <unk> model <unk> from a N machine to an N machine
 an ibm spokeswoman said the company told customers monday about the bugs and temporarily stopped shipping the product
 ibm has no plans to recall its <unk> cards the spokeswoman said and could probably <unk> the bugs without long product delays
 we do n't look at this as a major problem for us she said
 compaq which said it discovered the bugs still plans to announce new N products on nov. N
 because of the <unk> however the company said it does n't know when its machine will be <unk> available
 that 's a break from compaq tradition because the company does n't announce products until they 're actually at the dealers
 the problem is being <unk> experts say because the N is intel 's future flagship
 intel 's microprocessors are the chips of choice in many of today 's personal computers and the N microprocessor is the <unk> of the company 's bid to guard that spot in the next generation of machines
 although these sorts of bugs are not at all uncommon the N is an extremely <unk> product said mr. <unk> the newsletter editor
 intel 's N chip is the <unk> of intel 's microprocessors a <unk> <unk> chip that only the most <unk> computer users are likely to buy for at least several years
 unveiled last april the chip <unk> N million <unk> on a <unk> of silicon more than four times as many as on intel 's earlier model N
 intel <unk> the chip 's speed at N million instructions per second or mips
 that 's four times as fast as the N
 machines using the N are expected to challenge <unk> work stations and minicomputers in applications such as so-called <unk> which <unk> groups of computers together and in <unk> design
 but while the chip 's speed in processing power is <unk> it 's real strength lies in its software <unk>
 the N is the <unk> of a long series of intel chips that began <unk> the market ever since ibm picked the <unk> N chip for its first personal computer
 a <unk> microprocessor processes N pieces of data at a time and is slower than newer <unk> chips
 since then intel has <unk> a large part of the market with <unk> generations of <unk> and <unk> chips all of which can run software written for previous models
 that 's what will keep computer makers coming in spite of the <unk> of bugs
 big personal computer makers and many makers of engineering workstations are developing <unk> machines which are expected to reach the market early next year
 of the big computer makers only apple computer co. bases its machines on motorola chips instead
 the N is going to have a big impact on the industry said hewlett-packard 's mr. <unk>
 it 's going to be the leading edge technology in personal computers for the next few years
 this <unk> is not going to have any affect on that at all
 andy <unk> in dallas contributed to this article
 bethlehem steel corp. has agreed in principle to form a joint venture with the world 's second-largest steelmaker <unk> of france to modernize a portion of bethlehem 's ailing <unk> division
 the venture which involves adding sophisticated equipment to make <unk> mill rolls is part of a <unk> effort to shore up a division that has posted continuing operating losses for several years
 the other element includes consolidating <unk> 's <unk> operations
 the entire division employs about N workers
 while the joint venture affects only a small part of bethlehem 's operations it is significant because it marks the first time the nation 's no. N steelmaker has joined forces with a foreign partner
 wall street analysts have criticized bethlehem for not following its major competitors in linking with a foreign company to share costs and provide technology to modernize old facilities or build new ones
 we think it 's a step in the right direction for bethlehem said <unk> <unk> <unk> group 's international steel analyst
 it 's important to share the risk and even more so when the market has already peaked
 he said the move could be the beginning of a broader relationship between the two companies one that could open up new markets for bethlehem
 bethlehem had little choice but to go with a european steelmaker because its competitors already have tapped the japanese and south korean industry leaders analysts noted
 under terms of the agreement <unk> 's <unk> unit and bethlehem would establish a <unk> facility to make <unk> mill rolls at the company 's <unk> shop here
 terms for the venture which would be jointly owned by both companies were n't disclosed
 the <unk> unit has agreed to provide technology and expertise to install a so-called spin <unk> by early next fall
 the <unk> improves the <unk> quality of the iron mill rolls which are basically huge rolling <unk> used to <unk> or shape steel products
 bethlehem is also working with the united steelworkers union to consolidate <unk> 's two machine shops and four <unk> facilities of the <unk> operations
 once the consolidation is complete bethlehem plans to concentrate its <unk> business on nuclear fabrication <unk> steel and <unk> steel rolls for rolling mills and selected <unk> applications
 bethlehem said earlier this year that it planned to restructure the <unk> division to improve its cost structure
 in the second quarter bethlehem posted a $ N million charge related to its plans to <unk> the division
 if you 're still wondering about the causes of the slump in the junk-bond market consider the case of columbia savings & loan
 the california thrift has just announced a $ N million third-quarter loss
 how did this happen
 well when congress in its recent s&l bailout mandated that the thrifts sell off all their junk-bond holdings by N it not only artificially increased the supply of these bonds in the market but also eliminated one of the few profitable investments thrifts have made
 but there is a <unk> ironic twist to the columbia loss
 as <unk> of the debate over a capital-gains tax cut know there is much talk in congress and indeed all over washington about the need to encourage long-term investment and discourage the financial sector 's presumed <unk> with the short term
 now we regard this as a largely phony issue but the long term is nonetheless a big salon topic all around the <unk>
 it turns out that columbia had this huge loss in large part because the new <unk> mandated rules forced it to adjust the book value of its <unk> junk bonds to the lower of either their cost or market value
 they could no longer be classified as what columbia regarded them namely long-term investments
 congress 's <unk> treatment of the existing structure of junk-bond holdings <unk> us of a story in the journal earlier this year about the baby bell companies ' desire to have the <unk> bans lifted on offering information services
 the issue of seeking relief from congress was raised to <unk> <unk> the chairman of nynex
 mr. <unk> replied legislation tends to be <unk>
 i believe we have to take a shot at getting as much done as we can through the court through justice and through state and federal regulatory agencies
 i see congress as a last resort
 healthy thrifts such as columbia or the junk-bond market itself should have been so lucky
 the reality of life in modern america is that if you want to <unk> something that works let it fall into the hands of congress
 exxon corp. said it will move its headquarters from manhattan to dallas
 most of the N employees at the oil company 's <unk> headquarters building including much of senior management were <unk> of the plan until informed at a morning meeting by chairman lawrence g. <unk>
 the shift wo n't affect operations
 as part of its restructuring several years ago exxon moved most of those out of the city and sold its <unk> rockefeller center <unk> to a japanese company
 but the pullout is an embarrassment to new york city officials coming at a time of high office building vacancy rates and departures by other major companies
 mobil corp. is in the process of <unk> its headquarters here and huge operations like j.c. penney & co. and trans world airlines have recently left
 new york authorities informed yesterday about the move reacted with concern and even some anger to the idea of the nation 's third-largest corporation leaving without giving them an opportunity to accommodate it
 we are <unk> but there 's nothing we can do about it now said stanley <unk> new york city deputy mayor for finance and economic development
 meanwhile dallas welcomed the move
 city officials there had been were aware that a large company was moving in but negotiations had all been conducted through a law firm and under the code name <unk>
 when we were told it was exxon it was beyond all expectations what a coup said tom lewis senior vice president of dallas partnership the economic development affiliate of the city 's chamber of commerce
 dallas its economy based on oil and real estate has been in a slump
 exxon said it will build a new headquarters on a <unk> <unk> in the <unk> las <unk> complex in the suburb of irving
 until the building is completed exxon will rent part of an existing office tower
 las <unk> once a huge texas ranch is a <unk> complex of office buildings homes and recreational facilities that its developers have been struggling to <unk> in recent years
 exxon officials said it will cost less to run its headquarters at las <unk> than in new york
 the company wo n't say how much it will save but during at its interim location sources say it will likely pay rent of $ N to $ N per square foot
 owners of the building in new york say they will be asking $ N per square foot for rent to fill the space that exxon is <unk>
 in texas taxes and development costs are also lower they said
 plus one exxon official said by eliminating the typically long new york <unk> between office and home management will expect employees to work N hours a week in dallas rather than a <unk> work week in new york
 canadian production of market pulp rose N N in september from a year earlier as the industry operated at N N of capacity
 the canadian pulp and paper association an industry group said canadian mills produced N metric tons of market pulp in september compared with N metric tons a year earlier
 market pulp is wood pulp sold on the open market to producers of paper and other products
 the statistics exclude pulp consumed at the producing mill or shipped to another mill that is affiliated with the producing mill
 canada is the world 's largest producer of market pulp
 the september N N operating rate compared with a rate of N N in august but was unchanged from a year earlier
 in the first nine months of this year output was N metric tons down from N metric tons a year earlier
 ima holdings corp. completed its $ N billion acquisition of american medical international inc. purchasing N million shares or N N of the los angeles-based health-care services concern for $ N a share
 the price also includes assumption of about $ N billion in debt
 ima is a group that includes first boston corp. and the <unk> family of chicago through the leveraged buy-out fund harry gray <unk> klein & partners
 harry j. gray and <unk> n. klein along with five other ima <unk> were named to join american medical 's <unk> board
 the completion of the merger agreement follows months of <unk> and turns
 in january american medical brought in a new chief executive officer richard a. <unk> N who will remain as chairman president and chief executive
 a few days later american medical announced sharply lower earnings taking charges of $ N million for insurance reserves and canceled real estate leases
 in march american medical received a $ <unk> offer to take the company private from an investor group including large holder m. lee pearce
 it also was considering a restructuring to help boost the stock price
 a group including several members of the the bass family of texas urged the company to take some steps to maximize shareholder value
 the following month the company put itself up for sale
 it received more offers but the auction was surprisingly won by ima which bid $ N a share and asked mr. <unk> to stay on as an equity participant
 he indicated that some assets might be sold off to service the debt
 then after extending its offer four times waiting for a congressional tax ruling ima early this month lowered its offer to $ N a share amid turbulence in the junk bond market
 american medical accepted the offer meanwhile indicating it had heard from two other suitors
 but they never materialized and ima completed the purchase yesterday
 other new board members include john s. harrison and mark a. <unk> of first boston james f. <unk> william s. goldberg and harold s. <unk>
 treasury secretary nicholas brady said that congress should grant the securities and exchange commission the power to close the stock markets in periods of crisis
 in testimony to the senate securities subcommittee mr. brady disputed the view of sec chairman richard breeden who told a house panel wednesday that he does n't want the ability to halt the markets
 mr. breeden contended that discretionary power could have an impact on the markets if rumors were to <unk> about when the exchanges might be closed
 he added that the president already has the power to close the markets in an emergency
 but mr. brady argued that the sec is closer to the markets and in a better position to understand when the exchanges are under such stress that they should be closed
 separately mr. brady said he asked the working group on financial markets to determine whether futures margins are too low
 he noted that some minimum margin requirements have been reduced to levels below those before the N crash
 this raises questions whether futures and equity margin requirements are consistent at these levels and whether futures margins are adequate mr. brady said
 margins are the amount of money an investor needs to put up to buy or sell a futures contract
 margins on the futures exchanges typically are raised and lowered according to market volatility
 the chicago mercantile exchange margins for the standard & poor 's N stock-index futures stood at $ N a contract for speculators and $ N for <unk> before oct. N N that day the hedging margin was raised to $ N
 margins were raised or lowered about a dozen times since the crash oct. N N
 currently they stand at $ N for speculators who are typically individuals and <unk> traders and $ N for <unk> which are usually institutions and have offsetting positions in the underlying stocks
 mr. brady also said he expects the leveraged buy-out phenomenon to end under its own weight
 asked whether there is anything congress should do to curb the lbo boom mr. brady responded i think the lbo phenomenon while it wo n't stop completely will be a thing of the past
 before taking any action he advised the panel to see what the market has produced as a cure
 mr. brady also agreed with senators ' concerns about recent stock-market volatility and said he <unk> that the gyrations are scaring investors from investing in stocks
 but he added that individuals still are participating in the equity market indirectly through mutual funds and pension funds
 the former wall street executive refused to offer an opinion on the controversy surrounding program trading which has recently become a larger part of the trading in the market and has been blamed for accelerating the drop two weeks ago
 i do not have a view of whether we should do anything about program trading at this time he said
 but mr. brady endorsed the <unk> bill that both houses of congress will try to push through this session
 that bill proposed by the sec last year would require brokerage firms to disclose the financial positions of their holding companies mandate large traders ' reporting of program or block trades and improve clearing and settlement of trades between the futures and stock markets
 the bill also would give the sec the power to close the markets a discretion that former sec chairman david <unk> wanted but mr. breeden does n't
 mr. brady and senators agreed to have their staffs meet within the next week to start <unk> the bill
 the senate agriculture committee is responding to trading abuses in the futures markets with a far-reaching bill that would become the futures trading practices act of N
 the proposed legislation has a <unk> goal to assure the integrity of the u.s. futures markets
 however as is common with sweeping legislation the proposal contains many provisions that could destroy important parts of the system it sets out to preserve
 the complex bill introduced by sens. patrick <unk> d. <unk> richard <unk> r. ind. and bob <unk> d. neb. covers a wide range of provisions that would affect the funding and authority of the commodity futures trading commission and would <unk> change the way the industry is regulated
 these include provisions relating to the technology and systems that must be employed by exchanges oversight and disciplinary procedures for exchange trading practices the relationship between commodity brokerage firms and floor traders and exchange <unk>
 the bill also <unk> even minor rule <unk> to <unk> and provides for recovery of punitive damages in civil lawsuits and arbitration cases without any showing of willful misconduct
 many aspects of the bill are <unk> providing appropriate public <unk> that can and should be instituted throughout the industry
 indeed some of the bill 's requirements including broad representation on the exchanges ' boards of directors and strong measures to prevent conflicts of interest already have been put in place by the coffee sugar & cocoa exchange and other futures exchanges
 other aspects of the bill however are either structured in ways that create unnecessary burdens for the industry or actually are harmful to the exchanges the industry and ultimately the general public
 one of the most prominent features is the requirement that in three years all exchanges have in place a system that records all trades by a source independent of the executing broker
 the new york futures exchanges have been working together to develop a trade recording system much like the one called for in the bill
 we would be <unk> to have such a system in place today
 but is it realistic for congress to mandate by a rigid deadline a system that has not yet been <unk> to <unk> studies
 what if the system does n't work
 what if the only system that does work is so expensive that at best only the largest exchanges can afford it
 cost is a key consideration because of the global sweep of the financial markets
 the u.s. futures exchanges compete world-wide as never before
 today trading in almost any commodity can be diverted from u.s. markets with just a few strokes of a <unk>
 all foreign markets are aggressively <unk> u.s. business
 in fact several london markets already offer lower costs for trading in the same or very similar contracts
 the u.s. exchanges need both market integrity and <unk> long-term growth depends on it
 the senate bill contains many provisions that will increase the costs of trading
 the most <unk> of these is the <unk> of service fees which will directly widen the cost spread between u.s. and foreign markets
 other provisions have a more <unk> but nonetheless real and <unk> effect on the international position of u.s. exchanges
 these include the extension of liability into areas beyond those established by judicial precedent and the expansion of liability to include punitive damages
 in addition to increasing costs as a result of greater financial exposure for members these measures could have other far-reaching <unk>
 one section of the bill would make all commodity brokerage firms and floor brokers liable for damages without willful misconduct
 nowhere in the federal securities law is simple negligence or <unk> action a source of liability under similar circumstances
 it is only logical to assume that the enactment of this provision will lead to increased litigation
 in an already <unk> business commodity brokerage firms may well decide to eliminate the risk and expense of dealing with the retail public <unk> the private individual of access to the markets
 another measure makes commodity brokerage firms liable for violations committed by independent floor brokers who execute trades for them
 this <unk> concept would <unk> these firms to potentially <unk> punitive damages
 faced with the virtually impossible task of <unk> the execution of each trade many commodity brokerage firms are likely to stop doing business with <unk> and instead hire their own <unk> floor brokers
 this would force out of business many of the individuals and small firms that function as floor brokers
 a consequence of their departure could be a serious <unk> of market liquidity
 finally under the bill a number of legitimate longstanding business practices would be <unk> banned unless the cftc were to take specific and timely action to permit them to continue
 in other words regulation will occur through <unk> and <unk> rather than through a normal <unk> procedure
 the affected practices include the placing of oral orders which is the way most public customer orders are placed and trading between affiliated brokers even though in some cases trading with affiliates may be the only way to obtain the best execution for a client
 also <unk> would be dual trading <unk> a broker trades for customers as well as his own account a practice that provides needed liquidity to the markets
 all u.s. futures exchanges agree that these and other trading practices require proper regulation and supervision
 nonetheless each has too much potential value to the system to be banned by legislative fiat before the cftc carefully considers all the consequences of a ban and what the regulatory alternatives are
 the markets are complex as is the environment in which they function
 when problems surface the temptation becomes strong to <unk> overhaul a market system that has served for more than N years
 that temptation must be put aside to permit careful consideration of all the implications positive and negative of the proposed resolutions to those problems and to avoid creating a marketplace where no one trades
 mr. <unk> is chairman of the coffee sugar & cocoa exchange in new york and director of commodity administration at shearson lehman hutton
 initial claims for state unemployment benefits fell to a seasonally adjusted N for the week ended oct. N from N the previous week the labor department said
 the number of people receiving state benefits in the week ended oct. N fell to a seasonally adjusted N or N N of those covered by unemployment insurance from N the previous week when the insured unemployment rate was N N
 counting all state and federal benefit programs the number of people receiving unemployment benefits in the week ended oct. N fell to N from N a week earlier
 these figures are n't seasonally adjusted
 on the <unk> streets of <unk> mahfouz 's cairo life is nasty <unk> and <unk> entertaining
 <unk> the <unk> <unk> the <unk> of <unk> <unk> and takes a cut of every cent they <unk>
 <unk> <unk> <unk> is a card <unk> and <unk> dealer who has a simple <unk> i live in this world assuming that there is no <unk> god or police
 for the killer and thief said <unk> fame flows from the barrel of a gun
 one man said you act as a <unk> a <unk> tells him a diversion to relieve people 's <unk>
 mr. mahfouz 's cairo also has <unk> <unk> and <unk> wives who look to god not crime for their <unk>
 but it is his portrait of cairo <unk> of <unk> and <unk> <unk> of streets filled with dust <unk> <unk> and animal <unk> that made his reputation and won him the nobel prize in N
 three novels the beginning and the end N pages $ N the thief and the dogs N pages $ N and <unk> song N pages $ N recently published by <unk> offer an <unk> sample of the <unk> mr. mahfouz 's talent
 but they do show the range of a <unk> <unk> whose <unk> novels span five decades and include work of social <unk> protest and <unk>
 they also chart the evolution of a city that has grown tenfold in the author 's lifetime from a colonial <unk> of <unk> <unk> to a third world <unk> <unk> on its own refuse
 soon it 'll be so crowded a <unk> complains that people will start eating each other
 the beginning and the end easily the best of the three belongs to mr. mahfouz 's realistic period and it is the one for which he is most <unk>
 published in N it follows the decline of a cairo family with the <unk> sweep and rich detail that critics often compare to <unk> <unk> and <unk>
 a minor bureaucrat dies suddenly <unk> his family to poverty and eventual <unk>
 his daughter turns to <unk> then to peddling herself for a few <unk>
 one son <unk> his own career so that his <unk> brother can succeed while another helps support the family with money <unk> from crime
 the real tragedy though lies not in the family 's circumstances but in its concern for appearances
 <unk> for the father is <unk> by the shame of <unk> him in a <unk> 's grave
 the family moves to another house at night to <unk> <unk> <unk> from neighbors
 and the successful son wishes his embarrassing <unk> dead
 as a <unk> of middle-class <unk> the story is <unk>
 but its <unk> <unk> of cairo life are vintage mahfouz
 we see <unk> and hear <unk> filled with the <unk> of <unk> advertising their <unk> <unk> with <unk> language <unk> <unk> and the sound of people gathering <unk> in their <unk> and <unk> into the street
 and we meet engaging <unk> such as <unk> the head <unk> for his <unk> fights his <unk> and his <unk>
 god has not yet <unk> that i should have earnings he tells his worried mother
 <unk> comes to a bad end but so does almost everyone else in the book
 if the setting is exotic the <unk> is closer to <unk> 's <unk> <unk> than it is to <unk> nights
 mr. mahfouz began writing when there was no <unk> tradition in <unk> and he <unk> his work on western <unk>
 in one sense this limits him unlike a writer such as <unk> garcia <unk> who has a distinctive latin voice mr. mahfouz 's style offers little that can be labeled egyptian
 but the <unk> of his style also makes his work accessible as the streets of cairo come alive for the western reader as <unk> as <unk> 's london or <unk> 's st. <unk>
 the thief and the dogs written in N is a <unk> psychological drama <unk> of crime and punishment
 its <unk> said <unk> is an egyptian <unk> who seeks <unk> in <unk> and killing
 i am the hope and the dream the redemption of <unk> he says in one of many interior <unk>
 later he recalls the words of his marxist <unk> the people theft the <unk> fire
 said 's story reflects the <unk> of socialism under <unk> whose <unk> rule replaced the <unk> <unk> in N
 by N mr. mahfouz 's <unk> had <unk> or become <unk> as it has in said
 his <unk> dream of <unk> a life of badly aimed bullets by <unk> the real <unk> the rich dogs who <unk> on the poor leads only to the death of <unk> and eventually to his own
 cairo 's <unk> <unk> also has gone gray
 here the city is dark and <unk> with <unk> said has left his jail cell only to enter the larger prison of cairo society
 while the theme is compelling the plot and characters are not
 we never care about said or the <unk> he <unk>
 the thief and the dogs is a <unk> work the first <unk> novel in <unk> but it is likely to <unk> western readers
 the N novel <unk> song also is experimental and another badly aimed bullet
 the story of a playwright 's stage debut <unk> in <unk> <unk> in the manner of <unk> 's the sound and the <unk>
 but the device <unk> more than it <unk>
 buried in the work is a <unk> on the <unk> of art and on the struggle for integrity in an unfair world
 but again the themes get <unk> in mr. mahfouz 's <unk> <unk>
 the <unk> of his later work reflects both an appetite for new <unk> and the hazards of art in the arab world
 mr. mahfouz has been <unk> and <unk> for questioning <unk> and <unk> peace with israel
 <unk> his message has helped him endure
 art says the playwright in <unk> song is the <unk> for the action that an <unk> like me is unable to take
 <unk> song gives <unk> of a cairo that has become so much <unk> since his youth when as he once said the poorest person was able to find his daily bread and without great difficulty
 the clutter of the <unk> remains but its color has <unk> away and the will to overcome has been defeated
 cars ca n't move because of <unk> <unk>
 characters complain <unk> about food <unk> prices and corruption
 and the <unk> <unk> <unk> is now a <unk> and <unk> man who <unk> only government ministers can afford it these days
 having lost their faith in god in social reform and in <unk> <unk> are left with nothing but their sense of humor
 mr. <unk> is a journal staff reporter covering the middle east
 norwood partners limited partnership of boston said it may make a tender offer for some or all of phoenix technologies ltd. 's common shares
 norwood <unk> phoenix a <unk> maker of software for personal computers has had substantial losses in the past two quarters
 its stock which was as high as $ N a share has been trading under $ N a share recently
 yesterday it closed at $ N a share up $ N in national over-the-counter trading
 in a securities and exchange commission filing norwood said it 's part of a group that holds N phoenix technologies common shares or a N N stake
 norwood has made no detailed plans but it has engaged in talks with other shareholders the filing said
 phoenix declined to comment
 norwood is controlled by daniel l. barnett and paul a. <unk> both officers of <unk> <unk> capital management inc. a small boston money management firm
 also involved in the group is robert f. angelo formerly phoenix 's senior vice president field operations who left phoenix at the beginning of october
 mr. angelo was described in the filing as a consultant to <unk>
 weirton steel corp. said it reached a tentative agreement on a <unk> labor contract with the independent steelworkers union covering production and maintenance employees
 the agreement subject to approval of union members would cover about N workers
 the tentative agreement provides for wage increases of N cents an hour <unk> to sept. N N and for increases of N cents N cents and N cents an hour effective jan. N N N and N respectively
 it also provides for benefit adjustments including a partial restoration of <unk> and holidays as well as <unk> changes to increase productivity
 ground zero of the hud scandal is the secretary 's discretionary fund a <unk> pot used to fund projects that were n't approved through normal hud channels
 jack kemp wants to abolish it
 instead congress 's idea of reform is to increase this <unk> fund by $ N million
 and transfer control of much of it to capitol hill
 the hud scandals will simply continue but under new <unk>
 after one of the most amazing debates we 've ever seen on the cable channel <unk> the house voted N to N on wednesday to order $ N million in spending for a new jersey arts center a michigan library and N other pet projects out of the same discretionary fund that was supposed to have been so abused during sam <unk> 's tenure
 hud has no paper work <unk> on N of the projects none of the others has been approved and not a single congressional hearing has been held on any of them
 however four are in the michigan district of rep. bob <unk> the chairman of the house subcommittee that writes the hud spending bill
 of course this kind of <unk> congressional <unk> is called <unk> service by members while the same kind of <unk> <unk> at hud is labeled influence peddling
 unlike those awful republican consultants members do n't profit directly from hud projects
 they merely collect campaign contributions from developers that help keep them in office
 the N pet projects were discovered buried in the appropriations bill for hud and some other agencies after it returned from a conference committee that was called to resolve differences between the house and senate versions
 conference committees are breeding grounds for <unk>
 they are often closed to the public and no minutes are taken
 members find it easy to doctor legislation by slipping in special provisions that could never survive in the cold light of day
 in this case the members <unk> themselves
 rep. <unk> recently purchased an <unk> building lot on the island
 this is slightly adapted from remarks oct. N by former secretary of state george p. <unk> to an <unk> gathering at the stanford business school where he has returned to the faculty
 i was struck a couple of years ago by the <unk> effort in the <unk>
 we had <unk> during the year an estimated $ N billion street value of cocaine
 i do n't know how much got through
 nobody has any credible estimate
 the gnp of the <unk> is probably somewhere between one and two billion dollars
 so you get an idea of the leverage there and elsewhere that our market for drugs has brought about
 i welcome the emphasis that is now being put on the drug problem
 the efforts to get to the people who are <unk> try to <unk> them if they can not be <unk> at least to contain them to educate people to strongly discourage use of drugs by people who are casual users and first users to stop this process among the young all of these things i think are extremely important
 but i have to tell you that it seems to me that the conceptual base of the current program is flawed and the program is not likely to work
 the conceptual base a <unk> approach is the same that i have worked through before in the nixon administration when i was budget director and secretary of the treasury with jurisdiction over the customs
 we designed a comprehensive program and we worked hard on it
 in the reagan administration we designed a comprehensive program we worked very hard on it
 our international efforts were far greater than ever before
 you 're looking at a guy whose <unk> was attacked in <unk> by the drug <unk> so i 'm personally a veteran of this war
 what we have before us now is essentially the same program but with more resources <unk> into all of the efforts to enforce and control
 these efforts wind up creating a market where the price <unk> exceeds the cost
 with these incentives demand creates its own supply and a criminal network along with it
 it seems to me we 're not really going to get anywhere until we can take the <unk> out of the drug business and the incentives for <unk> out of it
 frankly the only way i can think of to accomplish this is to make it possible for <unk> to buy drugs at some regulated place at a price that <unk> their cost
 when you do that you wipe out the criminal incentives including i might say the incentive that the drug <unk> have to go around and get kids <unk> so that they create a market for themselves
 they wo n't have that incentive because they wo n't have that market
 so i think the conceptual base needs to be thought out in a different way
 if i am catching your attention then read a bold and <unk> article in this september 's issue of science by <unk> <unk> on this subject
 we need at least to consider and examine forms of controlled <unk> of drugs
 i find it very difficult to say that
 sometimes at a reception or <unk> party i advance these views and people head for somebody else
 they do n't even want to talk to you
 i know that i 'm shouting into the <unk> here as far as what we 're doing now
 but i feel that if somebody does n't get up and start talking about this now the next time around when we have the next <unk> of these programs it will still be true that everyone is scared to talk about it
 no politician wants to say what i just said not for a minute
 the u.s. economy grew at a moderate N N annual rate in the third quarter the same pace as the second quarter despite the worst trade performance in six years the commerce department reported
 personal spending buoyed by a burst of automobile buying was the main catalyst to the economy 's expansion
 but trade one of the economy 's main forces in the past few years showed a sharp deterioration
 imports of goods and services soared while exports were flat
 some economists found the <unk> <unk>
 for the past two years the foreign trade sector has been a major <unk> to economic growth
 you ca n't rely now solely on consumer spending to sustain the economy on a solid growth path said norman robertson chief economist at mellon bank in pittsburgh
 although the economy showed no change of pace from the second quarter many analysts expect it to slow considerably in the fourth quarter as demand for autos falls partly because of higher prices on models introduced last month
 many economists think the rise in the value of the u.s. dollar this year will further <unk> progress in trade because it makes exports more expensive and imports cheaper
 and business investment which slowed in the third quarter according to yesterday 's report is expected to continue to be sluggish
 a sharp reduction in inflation was by far the <unk> spot in the report on the real gross national product the inflation-adjusted market value of all the goods and services the economy produced
 an inflation gauge that measures the quarterly change in prices of an array of goods and services slowed its growth to a N N annual rate in the third quarter from N N in the second
 much of the <unk> came from declining energy prices which have since turned up a bit analysts said
 consequently michael <unk> undersecretary for economic affairs at the commerce department said inflation probably will edge up from the third-quarter rate in the final three months of N
 but he said he believes the second quarter 's N N rate will prove to have been this year 's peak quarterly inflation rate
 generally the bush administration expressed satisfaction with the economy 's progress as it heads into its eighth year of sustained growth next month
 treasury secretary nicholas brady called the N N pace good solid growth although he said he expects the expansion to slow in the fourth quarter
 he added inflation is lower than i think people expected it to be and i think that 's good news
 but administration officials were concerned over the bleak trade report which showed the deficit in the country 's trade of goods and services swelling to a $ N billion annual rate in the third quarter from a $ N billion rate in the second quarter
 mr. <unk> called it a disappointment but predicted exports will pick up again
 we were <unk> for the deterioration in net exports said daniel van <unk> vice president of u.s. forecasting at bank of america in san francisco
 i ca n't believe it will continue he added noting that the economies of the country 's major trading partners are strong and prices of u.s. products are still competitive
 some analysts also were <unk> by a pickup in the growth of business inventories
 while a buildup of these stocks adds to gnp it can hurt the economy because a <unk> of <unk> goods can lead to production cuts and layoffs
 according to the report inventories outside the farm sector grew at an annual rate of $ N billion in the third quarter up from a $ N billion pace in the second quarter
 manufacturers ' stocks <unk> at an $ N billion annual rate up from $ N billion
 that suggests there is a little more inventory <unk> than some people expected said edward boss senior financial economist at continental bank in chicago
 i do n't think it 's anything that 's going to cause a downturn in economic activity
 but it will slow production
 devastation from hurricane hugo which <unk> into the southeast coast in late september diminished personal income by about $ N billion the department said but it called the effect on the roughly $ N trillion economy negligible
 except for the loss from the hurricane all the figures were adjusted for seasonal factors and inflation
 here are some of the major components of the gross national product expressed in seasonally adjusted annual rates in billions of constant N dollars
 in the third quarter the implicit price deflator fell to N N of the N average from N N in the previous quarter
 northrop corp. received a $ N million contract by the u.s. air force for production <unk> and test equipment for the <unk> rainbow <unk> missile
 the contract provides additional equipment for northrop the prime contractor on the missile and also supports a N purchase of N missiles for <unk> flight tests
 general motors corp. 's chevrolet division said it is offering $ N cash incentives on all N models of its <unk> <unk> and suburban truck lines
 chevrolet already has cash incentives on the N models of these vehicles
 hudson 's bay co. announced terms of a previously proposed rights issue that is expected to raise about N million canadian dollars us$ N million net of expenses
 proceeds of the offering will be used to redeem c$ N million of preferred shares and to reduce short-term debt the company said
 canada 's largest department store operator said the rights offering will <unk> holders of its ordinary shares except residents in the u.s. and britain to subscribe for two additional shares for every five shares held at a price of c$ N a share
 the record date is nov. N
 the company has about N million ordinary shares outstanding
 on the toronto stock exchange hudson 's bay shares closed at c$ N up N cents
 hudson 's bay said that <unk> co. which currently holds about N N of the ordinary shares will subscribe for all the shares to which it is entitled and for any shares that are n't otherwise taken up
 <unk> is a holding company owned by toronto 's thomson family
 hudson 's bay said it will redeem N million series <unk> preferred shares on oct. N at a price of c$ N each
 the move was approved at a special shareholders ' meeting yesterday
 gary <unk> chief financial officer said redemption of the preferred shares originally issued at c$ N each will eliminate dividend payments of c$ N million annually
 iverson technology corp. was one of the fastest-growing small companies in america until last year
 the <unk> va. company <unk> computers to keep sensitive military data out of unfriendly hands
 from N to N its earnings soared <unk> to $ N million on a <unk> increase in revenue to $ N million
 but in N it ran into a <unk> saw a defense department spending freeze
 iverson 's earnings plunged N N to $ N million
 the troubles continued in this year 's first half when profit plunged N N to $ N
 iverson technology is one of many small defense contractors besieged by the slowdown in defense spending
 unlike larger contractors with a broad enough base to weather the downturn easily these companies are suffering big drops in business as <unk> specialty <unk> in the massive military market erode or even disappear
 companies that only recently were thriving find themselves scrambling to survive
 as their <unk> strategies suggest there is more than one way to respond to a disaster though it 's too soon to tell whether the changes will pay off
 for many companies the <unk> first response is to cut costs
 others are trying to find specialty defense work <unk> by the slowdown or new <unk> created by <unk>
 more <unk> businesses are applying their skills in commercial fields
 <unk> international inc. which provides professional and technical services to the military is refining its defense niche not retreating from it
 after <unk> annual earnings over four years to $ N million in N the <unk> va. company posted a N N drop in earnings for this year 's first half
 in the belief that development of advanced military technology will remain a top defense department priority <unk> last year acquired <unk> <unk> associates a technical and scientific analysis company with contracts under the strategic defense initiative
 while the sdi <unk> program recently awarded <unk> <unk> two contracts totaling $ N million <unk> 's chairman and founder jack <unk> says he bought the company more for its technology than its customer
 <unk> inc. an <unk> md. contractor that earned $ N million on revenue of $ N million in N has gone even further in <unk> its military business
 as orders for its aircraft and <unk> parts <unk> three years of steady growth ended with a N N drop in income in this year 's first half
 the company hit on a new strategy if the defense department is so intent on saving money why not make money off that trend
 among the company 's current efforts <unk> old parts at N N of the cost of replacing them
 <unk> also is selling new parts if needed directly to the military instead of through a prime contractor
 at as little as one-third of the government 's cost the company is running a program to train army helicopter pilots
 it is also taking over the maintenance of certain navy aircraft with N N fewer people than the military used
 in another approach tiny iverson technology is trying to resume its growth by <unk> the new world of commercial products
 donald iverson chairman says he hopes the company can eventually get up to half of its revenue from commercial markets
 for now he says we 're looking at buying some small companies with niche markets in the personal-computer business
 earlier this month mr. iverson agreed to buy exclusive rights to a software system developed by <unk> systems inc. salt lake city
 the product <unk> an array of functions performed at small to <unk> printing companies
 mr. iverson says there are N potential customers for the software in the washington d.c. area alone
 <unk> inc. falls church va. also has acquired some companies outside the military market
 moreover it 's trying to transfer its <unk> at designing military equipment to commercial ventures
 a partnership with a <unk> va. unit of shell oil co. recently <unk> a process for producing plastic food containers that wo n't <unk> in microwave <unk>
 we 're trying to take the <unk> and talent of our engineers and come up with new processes for industry says vincent <unk> <unk> 's chief executive
 it is an effort to branch out from the government which is very difficult for a defense contractor
 mr. <unk> should know
 instead of helping his company in the defense spending slowdown dynamic engineering inc. a troubled subsidiary that makes wind <unk> for the space industry contributed to much of <unk> 's $ N million loss on $ N million in revenue last year
 in january mr. <unk> sold the unit
 it was our first acquisition he says and it was a mistake
 some companies are cutting costs and hoping for the best
 <unk> corp. a santa <unk> calif. provider of <unk> and <unk> services to the military enjoyed steady growth until this year
 following a <unk> of earnings to $ N million on a doubling of revenue to $ N million over four years earnings in the company 's fiscal first quarter which ended june N plunged N N to $ N
 a one-time write-off for <unk> <unk> revenue was partly to blame but so were lower profits from a <unk> contract with the army and delays in getting paid
 <unk> responded by combining three of its five divisions to reduce expenses and bring more focus to potentially fewer bidding opportunities says lin <unk> <unk> chairman and controlling shareholder
 it 's evident we 're entering a more competitive era he says
 <unk> corp. a sherman <unk> calif. defense contractor that earned $ N million on revenue of $ N million in N provides a more dramatic example of cost-cutting
 the company not only merged three <unk> manufacturing operations but also closed an unrelated plant that makes <unk> devices used in fighter planes and missiles
 the closing contributed to a $ N million loss in the fiscal first quarter ended july N its first quarterly loss since N
 our <unk> business has been hurt very badly by the slowdown says <unk> <unk> <unk> 's chairman
 i would n't say we 're out of the business
 but we 're not making as many <unk> devices as we used to
 the growing crowd of japanese investors buying up foreign companies are n't all <unk> businessmen in dark suits
 <unk> morishita whose art gallery last month became a major shareholder in christies international plc the london auction house is one man who does n't fit the <unk>
 in japan he 's known in <unk> weekly magazines as the king of <unk> money
 if nothing else the <unk> 's past has its share of <unk>
 nearly N years ago mr. morishita founder and chairman of aichi corp. a finance company received a <unk> suspended sentence from a tokyo court for violating a <unk> law and an income tax law
 he was convicted of charging interest rates much higher than what the law permitted and attempting to <unk> income taxes by using a double accounting system
 he 's had other <unk> with the law
 he was arrested though not indicted on at least three other occasions in the <unk> and <unk> for assault and unlawful <unk> for fraud and <unk> of private documents and for <unk>
 christies says it has had no contact with mr. morishita since the stock purchase but that it 's happy to deal with him
 we like to make our own judgments about mr. morishita says christopher <unk> christies ' group managing director
 people have a different reputation country by country
 mr. morishita is a leading figure among japan 's N <unk> which lend to small companies and <unk> which lend to individuals
 many of these financiers lend freely often without demanding collateral
 but the interest rates they charge are often near japan 's N N legal limit says <unk> <unk> a lawyer specializing in loan troubles
 aichi is a <unk> mr. <unk> says and one of the nasty ones
 in describing that business in general he says that when the client ca n't repay the loan some <unk> <unk> on like <unk> and even take over the client 's company
 last month mr. morishita 's new gallery <unk> international ltd. purchased N N of christies for # N million $ N million
 acquired from <unk> holdings u.k. ltd. a company owned by australian financier robert holmes a court the stake was apparently the first of its kind for <unk> an entity separate from aichi
 and the acquisition which made <unk> one of christies ' top five shareholders left many people wondering who this man was and what his intentions were
 we 're an investor mr. morishita says sitting back in his <unk> gallery filled with some N <unk> and <unk>
 in the long run the stock prices will go up
 it 's not clear whether <unk> plans to buy more shares
 but christies mr. morishita insists is happy to see him become a long-term <unk>
 mr. morishita considers himself a <unk> of art
 in N years of collecting <unk> and japanese paintings he has acquired N items he says enough to persuade him to start a museum next year
 he says he spent $ N million on his art business this year
 a week ago his gallery racked up a $ N million <unk> at a sotheby 's auction in new york buying seven works including a <unk>
 he makes <unk> judgments says <unk> <unk> the art gallery 's manager and mr. morishita 's secretary for more than seven years
 mr. morishita 's main business certainly appears to be thriving although he wo n't disclose numbers
 according to <unk> data bank ltd. which tracks company earnings aichi 's revenue rose N N to N billion yen $ N million in the year ended february
 revenue doubled from two years ago
 that is if the company reported results <unk>
 the <unk> <unk> a japanese daily last month reported that aichi revised its tax calculations after being challenged for allegedly failing to report all of its income to tax authorities over a two-year period
 the tokyo regional taxation office declines to comment and mr. <unk> the <unk> 's secretary says the problem simply resulted from a difference of opinion over what was considered income
 the small <unk> mr. morishita comes across as an outspoken man of the world
 stretching his arms in his <unk> white <unk> and <unk> his black shoes he <unk> a <unk> about the way to sell american real estate and boasts about his friendship with margaret thatcher 's son
 but when asked what exactly he does in business he immediately takes <unk>
 are you stupid he <unk>
 you should know what questions to ask to get people to answer
 not many people know the details of mr. morishita 's business but it 's a source of rumors about <unk> dealings
 when a small company goes <unk> for instance the <unk> weekly magazines are often quick to link the demise with aichi
 mr. morishita <unk> at those stories as well as the ones connecting him to the japanese <unk>
 he says he has never even <unk> with <unk>
 the seventh child of a store owner in aichi <unk> mr. morishita started out in the textile business
 from there he set up his finance company and rapidly expanded from lending to investment in real estate to building golf courses
 he spends most <unk> flying his helicopter to one of his nine courses he says two of which were designed by jack <unk>
 he also owns courses in the u.s. and france
 the <unk> financier recently started <unk> in <unk> circles
 although he says he was n't keen on going last year he attended a new york <unk> where his daughter made her debut
 he also leads an <unk> life style
 even in <unk> one of tokyo 's <unk> neighborhoods mr. morishita 's <unk> brick <unk> one of some N houses he owns <unk> the neighbors '
 a <unk> white <unk> with a <unk> window towers over the brick wall surrounding his property
 although mr. morishita says little about his business he offers one rule to success never gamble too far
 i quit after one try whether i win or lose he says
 i 'm done in two minutes
 mr. morishita says he intends to expand his business to many other areas at home and abroad
 he 'll be there wherever there 's money to be made <unk> mr. <unk> the secretary
 who knows he says if he heard that soybeans make money today he might be flying out to chicago tomorrow
 who 's news
 arthur price resigned as president and chief executive officer of mtm enterprises inc. a <unk> calif. entertainment concern
 he <unk> the company with grant <unk> and mary tyler moore in N
 mtm is a unit of <unk> tvs entertainment plc whose chief executive officer james gatward will oversee the company until a successor is named
 as expected first interstate bancorp reported a net loss of $ N million for its third quarter because of hemorrhaging at its first interstate bank of arizona unit
 the los angeles-based bank holding company disclosed last friday that it had taken a huge $ N million provision for loan losses at the arizona bank the result of the state 's worsening real-estate market
 in yesterday 's report first interstate said its bank in texas also reported a loss of $ N million for the quarter
 but it said that its consumer banks in oregon california nevada and washington performed well during the quarter and that nonperforming assets at these banks declined by N N over the year-ago period
 private-sector union contracts signed in the third quarter granted slightly lower wage increases than those signed in the second quarter but wage increases still are running above last year 's levels
 the labor department said wage settlements in the third quarter called for average annual wage increases of N N in the first year and N N over the life of the contracts
 the last time parties to these settlements negotiated wage increases mostly in N or N wages increased an average of N N a year over the life of the contracts
 if this pattern continues the labor department said N will be the first year that the measure has shown an increase since N when the department started <unk> <unk> contracts with those that replaced them
 this reflects the restoration of wage cuts in the steel and other industries as well as higher wages granted nurses who work in health-care facilities
 settlements reached in the first nine months of N called for wage increases averaging N N in the first contract year and N N annually over the life of the contracts the department said
 for all of N union contracts provided for N N wage increases in the first year and N N over the life of the contracts
 in the second quarter contracts called for increases of N N in the first year and N N over the life of the contracts
 the figures exclude <unk> payments and cost-of-living adjustments so the actual wage increases may have been bigger
 about N N of the workers covered by contracts signed in the first nine months of year get <unk> payments about N N are covered by cost-of-living <unk>
 unions covered by one or other provisions generally settled for lower percentage wage increases
 the labor department said wage increases in manufacturing industries continue to be smaller than those in other industries
 for all six million workers under major collective bargaining agreements regardless of when they were signed wage increases in the first nine months of N averaged N N including cost-of-living adjustments
 an enormous <unk> has succeeded where the government has failed he has made speaking filipino respectable
 the N <unk> <unk> <unk> <unk> is a character who stars in the children 's television show batibot
 he speaks only in filipino
 batibot which started in N as a hybrid of the u.s. program <unk> street has developed into a <unk> philippine effort
 radio programs and books have followed the daily television show
 in the process batibot an <unk> filipino word meaning strong or <unk> has become a powerful advocate of the use of the filipino language
 it <unk> on ordinary young <unk> that there 's nothing to feel <unk> about in using their own language says <unk> david a sociologist and host of a popular television talk show
 when we started the program six years ago the use of filipino was deemed <unk> by the <unk> middle class says <unk> brown the program 's <unk>
 now she says it 's no longer an issue
 the success of batibot stands in marked contrast to many academic and government attempts to promote filipino as a national language
 filipino once known as <unk> is <unk> <unk> the <unk> language spoken in a part of the country 's principal island of luzon
 resistance to a national language comes primarily from members of the country 's elite who generally prefer english
 but while <unk> <unk> are quick to cite the logic in using a language as widespread as english they are often slow to reveal that they are <unk> against filipino say advocates of the native language
 for the middle and <unk> class filipino is <unk> says <unk> <unk> a <unk> professor at <unk> city 's university of the philippines
 there 's also <unk>
 other opponents of filipino come from <unk> regions
 they argue that their own <unk> should have equal weight although recent surveys indicate that the majority of the country 's population understands filipino more than any other language
 there are seven major <unk> and more than N <unk> in the country
 what <unk> to speak is an emotional mine field in the philippines
 it is entrenched in the country 's colonial bonds to the u.s. in philippine class structure in the regional <unk> of its people and in its island geography
 as they did when the philippines was a colony of the u.s. teachers for the most part teach in english even though it is a foreign language for most philippine children
 as a result they often speak one language at home another at school
 mrs. brown calls the <unk> cultural <unk> to filipino a language <unk>
 the issue has been <unk> for years
 it does n't take much to <unk> an intense debate
 when president <unk> aquino whose command of filipino is <unk> announced last year that the language would be used in official communications there was an <unk> from many legislators who continue to conduct debates mostly in english
 but many proponents of filipino see resistance to the language finally crumbling
 they believe the media including batibot have played a crucial role
 according to chief <unk> <unk> <unk> batibot does n't set out to advance the cause of filipino
 it 's not as if we 're teaching language per <unk> he says we 're just using it
 these days batibot is produced in a converted <unk> on a <unk> budget of $ N a one-hour segment
 it is shown <unk> on two of the country 's five networks
 with an audience totaling more than N batibot consistently ranks in the country 's <unk> <unk> <unk> programs
 but advertising revenue is inadequate
 <unk> there are threats that the program will <unk>
 batibot lacks the polish of <unk> street
 sound stages echo
 acting sometimes falls flat
 there are only two large <unk> in the program <unk> <unk> and a <unk> named <unk> <unk>
 but the production is the equal of any local program
 and the show 's creativity makes up for any technological deficiencies
 the program is n't afraid to tackle controversial topics such as nuclear weapons and the environment
 not that the language war is won even on batibot
 during one recent episode all the advertisements were in english
 cms energy corp. said management would recommend to its board today that its common stock dividend be <unk> at a modest level later this year
 the dearborn mich. energy company stopped paying a dividend in the third quarter of N because of troubles at its midland nuclear plant
 in addition cms reported third-quarter net of $ N million or N cents a share up from $ N million or N cents a share a year ago
 <unk> inc. atlanta said its subsidiary home nutritional services inc. registered with the securities and exchange commission an initial public offering of four million shares of common
 the <unk> health care services provider said it will sell N million of the new shares while home nutritional services will sell the remaining N million
 the company estimates the offering price at between $ N and $ N a share
 the company said it expects to use the proceeds to repay certain bank debt and for general corporate purposes including establishing new operating centers and possible acquisitions
 home nutritional currently has N million shares outstanding
 it will have N million shares outstanding after the offering with <unk> owning about N N of the total
 black & decker corp. said it agreed to sell its <unk> chemical <unk> unit to orkem s.a. a french chemical company for $ N million
 <unk> is the first emhart corp. unit to be sold as part of the <unk> manufacturer 's effort to reduce debt and consolidate operations after it acquired emhart earlier this year
 black & decker said it plans to put other emhart units on the block in the future with the goal of raising $ N billion in net proceeds
 black & decker <unk> emhart from the takeover bid of <unk> limited partnership last march by agreeing to acquire the maker of door <unk> and <unk> tools for about $ N billion
 the move significantly expanded black & decker 's product line but also significantly increased its debt load
 the acquisition boosted black & decker 's ratio of debt to total capital to more than N N
 company officials have said they plan to reduce that ratio to less than N N over the next N N years
 earlier this year black & decker put three emhart businesses on the auction block the information and electronics segment the <unk> electrical assembly business and <unk> <unk>
 the three units had combined N sales of about $ N million
 the three units contributed about a third of emhart 's total sales
 in addition black & decker had said it would sell two other undisclosed emhart operations if it received the right price
 <unk> is one of the previously <unk> units and the first of the five to be sold
 the company is still negotiating the sales of the other four units and expects to announce agreements by the end of the year
 the five units generated sales of about $ N billion in N almost half of emhart 's $ N billion revenue
 <unk> posted N sales of $ N million
 our divestiture program is on schedule and we remain confident that we will achieve our stated goal of over $ N billion in net proceeds said <unk> d. <unk> black & decker 's president and chief executive officer in a statement
 the sales are an attempt to <unk> investor concern about black & decker 's increased debt burden from the emhart purchase
 the company 's stock plunged when it first announced that it planned to acquire emhart
 the company maintains that it does n't expect emhart to contribute to earnings for about another N months
 in composite trading on the new york stock exchange black & decker closed at $ N yesterday down N cents
 the company did n't announce the sale until after the close of the market
 dick darman call your office
 <unk> in the budget being <unk> by the house-senate conference committee is something that looks <unk> and <unk> like a duck
 it 's a <unk> tax on mergers
 congress has decided to raise $ N million by charging companies $ N for the honor of filing the required papers under the hart-scott-rodino law
 ever since the bad days of big is bad antitrust enforcement this law has required that anyone proposing a merger must make a filing describing the effects on all relevant markets
 the <unk> filing is then reviewed and any antitrust concerns usually met
 typically <unk> is used now to give managers of target firms early news of a bid and a chance to use regulatory review as a delaying <unk>
 the $ N tax would be a small cost in a multibillion-dollar deal but a serious drag on thousands of small friendly deals
 one especially dangerous aspect to the new tax would be that the proceeds will be used to increase the budgets of the antitrust division at justice and the federal trade commission
 this amounts to a <unk> for regulators the more <unk> the more they get to keep
 also as former reagan antitrust chief charles rule has noted this would establish the precedent that the government may charge parties for the privilege of being sued regardless of whether the government <unk>
 yet another opportunity for president bush to respond read my <unk>
 line-item veto
 michael <unk> N years old was named vice chairman for planning marketing and industry services a new post
 mr. <unk> had been a vice chairman of ernst & <unk> an accounting firm that merged with rival arthur young in july to form ernst & young a major accounting tax and management consulting firm
 mr. <unk> 's appointment <unk> a role he has been performing since the merger a spokeswoman said
 cie. de navigation mixte chairman marc fournier said his board unanimously rejected as too low the $ N billion bid by cie. financiere de paribas to bring its stake in navigation mixte to N N
 at a news conference mr. fournier accused paribas of planning to pay for the takeover by selling parts of the company whose interests include insurance banking <unk> <unk> sugar and orange <unk>
 the chairman said his board members including representatives of west german insurance giant allianz ag and french banks credit lyonnais and societe generale hold nearly N N of navigation mixte 's capital
 mr. fournier said that as navigation mixte chairman he is prohibited by takeover regulations from organizing his own defense or doing anything besides managing current company business
 but sources said he will be urging his allies to boost their stakes in navigation mixte which is being traded in london and is to resume trading in paris tuesday
 at the same time he is expected to seek legal and regulatory means of blocking or delaying paribas 's bid
 for the moment the sources said he has decided against seeking a white knight or organizing a <unk> for paribas
 mr. fournier said navigation mixte 's N unconsolidated or <unk> profit is likely to be N billion francs $ N million up from N million francs last year
 that is due mostly to payments from allianz for most of the N N stake it has agreed to acquire in navigation mixte 's insurance business
 mr. fournier said the <unk> gain would mean nearly twice as high a dividend this year as last
 if holders avoid <unk> to paribas he added they can expect strong dividends again next year
 analysts noted that over the past N years mr. fournier has built his company through <unk> stock-market activity and has <unk> off at least three takeover attempts
 this time however some analysts think he could face a real battle
 without some unexpected coup de theatre i do n't see what will block the paribas bid said <unk> de <unk> analyst at the brokerage <unk> & cie
 mr. de <unk> said mr. fournier 's biggest hope was to somehow persuade regulatory authorities to block the bid
 paribas still needs the <unk> from the commission des operations de <unk> a government regulatory agency but analysts said that is considered likely
 mr. fournier also noted that navigation mixte joined paribas 's core of shareholders when paribas was <unk> in N and said it now holds just under N N of paribas 's shares
 once he realized that paribas 's intentions were n't friendly he said but before the bid was launched he sought approval to boost his paribas stake above N N
 the petition is still pending but mr. fournier <unk> the likelihood of his organizing a takeover bid of his own for the <unk> paribas
 one big question now is the likely role of mr. fournier 's allies
 mr. fournier said the large institutions that hold nearly N N of navigation mixte 's capital all strongly support him but some analysts said they are n't so sure
 allianz for example has said in official comments so far that it will remain neutral
 paribas is allianz 's lead french bank
 paribas said monday that it intends to bid to boost its stake in navigation mixte to N N from the N N it already owns
 the purchase of the additional N N stake is expected to cost more than N billion francs $ N billion
 paribas says it will offer N francs $ N each for navigation mixte shares that enjoy full dividend rights and N francs each for a block of shares issued july N which will receive only partial dividends this year
 alternatively it is to offer three paribas shares for one navigation mixte share
 the paribas offer values navigation mixte at about N billion francs depending on how many of navigation mixte 's warrants are converted into shares during the takeover battle
 blockbuster entertainment corp. said it raised $ N million from an offering of liquid yield option notes
 the gross proceeds from the sale of the notes which will be due on nov. N N will be used to reduce existing debt and for general corporate purposes the company said
 the debt reduction is expected to save the fort <unk> fla. home video concern about $ N million a year in interest expense
 the zero-coupon subordinated notes have no periodic interest payments
 each note is being offered at $ N per $ N principal amount at maturity representing an N N yield to maturity
 in addition each note can be converted into blockbuster entertainment common stock at a rate of N shares per note
 merrill lynch capital markets inc. is the sole underwriter for the offering
 the notes will have a principal amount of $ N million at maturity
 blockbuster shares closed yesterday at $ N down $ N in new york stock exchange trading
 the N tax reform act has nearly eliminated the number of large profitable corporations that do n't pay federal income tax according to citizens for tax justice a nonprofit <unk> research and lobbying group
 in a study of N of the nation 's <unk> companies the group found that only seven managed to avoid paying federal income taxes last year compared with N in N the last year the old tax rules were in effect and N in N when some of the new tax provisions went into effect
 moreover N companies that paid no federal income tax from N through N despite billions of dollars of profits ended up paying an average of N N of their income in federal taxes in N
 the report released yesterday comes as congress is considering a number of special tax breaks only three years after the sweeping <unk> legislation abolished or curtailed many <unk>
 in the corporate <unk> the N law abolished the <unk> credit scaled back use of an accounting method that allowed large contractors to defer taxes until a project was completed and strengthened the so-called alternative minimum tax a levy to ensure all <unk> businesses pay some federal tax
 the combination of lower rates and fewer <unk> has meant that the so-called average effective tax rate the rate actually paid of the N corporations surveyed reached N N in N compared with N N in the years from N through N according to the study
 in addition corporations are now <unk> a bigger share of the tax burden as the authors of the N law hoped
 corporate taxes paid for almost N N of federal spending in N excluding social security compared with less than N N in the first half of the 1980s the study found
 tax reform is working the study said
 under the new <unk> law the days of widespread wholesale corporate tax <unk> have come to an end
 still <unk> co. pinnacle west capital corp. <unk> corp. illinois power co. media general inc. santa fe southern pacific corp. and gulf states utilities co. did n't pay any federal income tax last year although they <unk> a total of $ N billion in profits the group said
 in fact six of those companies received refunds which totaled $ N million
 the lobbying group used publicly available information to calculate each company 's domestic profits and its federal income tax payments
 this is the fifth year citizens for tax justice has released a study on corporate tax bills
 earlier reports which revealed that as many as N companies were avoiding income tax legally have been credited with helping <unk> efforts to overhaul the tax code
 but even though companies are paying more taxes many are still paying less than the statutory rate the report said
 and N companies paid effective tax rates of below N N of their income
 while the overall picture is very encouraging significant corporate tax <unk> continues the study said
 glenn hall contributed to this article
 f. <unk> <unk> N years old was named chief executive officer
 he retains his titles of president and chief operating officer and succeeds as chief executive howard o. <unk> jr. who remains chairman of the board
 <unk> makes electronic instrumentation and data acquisition systems
 in search of buyers for upscale department-store chains such as bloomingdale 's and saks fifth avenue investment bankers are turning to who else the japanese
 but so far japan 's <unk> retailers are proving to be cautious shoppers
 we have the money to buy
 but operating a u.s. department-store chain would be very difficult says <unk> <unk> managing director of the international division at <unk> ltd. one of japan 's leading department stores
 japanese retail executives say the main reason they are reluctant to jump into the fray in the u.s. is that unlike manufacturing retailing is extremely sensitive to local <unk> and life styles
 the japanese have watched the europeans and <unk> <unk> in the u.s. market and they <unk> that business practices that have won them huge profits at home wo n't translate into success in the u.s.
 japanese department stores are also wary of attracting negative publicity
 after sony corp. 's recent <unk> acquisition of columbia pictures many say it makes good political sense to lie low
 it 's a question of timing says <unk> <unk> managing director of international operations at <unk> co. a tokyo department store
 still for those with a long-term eye on the vast u.s. retail market this is a <unk> time to look for bargains
 britain 's b.a.t industries plc is trying to <unk> its u.s. retailing operations which include such well-known stores as saks fifth avenue marshall field 's <unk> and <unk> 's
 and <unk> campeau corp. of toronto is giving up the <unk> bloomingdale 's group
 every department store in japan is taking a look says mike allen a retail analyst at <unk> 's de zoete wedd securities japan ltd
 mr. allen however does n't think that japan is about to <unk> on a major buying binge
 nonetheless speculation <unk> up yesterday when tokyu department store co. confirmed a report in <unk> <unk> <unk> japan 's leading business daily that tokyu is talking with campeau about buying bloomingdale 's
 tokyu however said no agreement had been reached
 nor is tokyu the only japanese retailer interested in bloomingdale 's which bankers in tokyo estimate could cost between $ N billion and $ N billion
 seven japanese department-store groups were approached by investment bankers representing bloomingdale 's chairman marvin traub and more than half are seeking additional information on the group bankers say
 what mr. traub is hoping to put together investment bankers say is a management-led group to buy the new york department-store group that he heads from campeau 's federated department stores subsidiary
 federated ran into a cash crunch after it was acquired last year by campeau which relied heavily on debt to finance the transaction
 paying off that debt put such a squeeze on campeau and its stores that federated decided to sell off the <unk> of its retailing empire including bloomingdale 's
 hoping to avoid another takeover mr. traub retained blackstone group and drexel burnham lambert inc. to help him find partners for a management-led buy-out
 <unk> investment bankers say he wants to get backing from a japanese department store and a european department store to forge a global retailing network
 when you look at the economics traub needs a japanese and a european partner to make it work says one investment banker who follows the retail industry
 looking only at a narrow american strategy is n't where it 's at
 <unk> <unk> japanese retailers to get involved in the <unk> of the u.s. retailing industry is n't likely to be so easy analysts say
 up until now most stores have followed the same basic overseas strategy
 first they set up overseas merchandising offices to import items and track new fashion trends
 then they opened small gift shops mostly aimed at japanese tourists
 reluctant to advance further on their own some stores have settled for <unk> with famous specialty shops
 last march <unk> invested N billion yen $ N million in a venture with barney 's inc. an <unk> new york specialty <unk>
 the first barney 's shop is scheduled to open in japan next year
 and <unk> recently increased its equity stake in <unk> & co. to N N
 through the longstanding relationship between the two companies <unk> has opened N <unk> shops in its stores and <unk> in japan
 plans are under way to open a <unk> 's in hawaii to cater to japanese tourists it will be run mostly by <unk>
 some industry observers say that <unk> 's <unk> image makes it a possible match for saks fifth avenue
 company officials say they are studying various proposals but wo n't discuss details
 <unk> co. japan 's oldest department store is another name that keeps <unk> up as a potential fit with saks
 <unk> <unk> a <unk> general manager admits that his company 's image is similar to saks 's and that there is some interest in the idea
 but he stops there
 we 'd like to do business in america he says
 but it looks tough
 marcus w. <unk> contributed to this article
 compiled by william <unk>
 the vatican was in the red last year
 it said the regular N deficit amounted to $ N million based on revenue of $ N million and expenses of $ N million
 but it said extraordinary expenditures for its radio station and restoration of buildings increased the deficit to $ N million
 a statement from the council of <unk> said <unk> had responded <unk> to an appeal last year to give more money after N 's record $ N million deficit
 the statement said a N N jump in the peter 's pence collection the annual offering from <unk> to the pope helped cover the deficit
 council member <unk> gerald carter of toronto told vatican radio now that we say we covered our deficit this year people are going to relax and say well that 's fine the <unk> see is out of the hole
 but we 're going to be in the exact same situation next year
 former president richard nixon is to visit china at the invitation of the government beginning saturday the foreign ministry announced
 according to mr. nixon 's office this is solely a <unk> trip
 there will be no <unk> no shopping and no social events
 mr. nixon 's office said the former president expects to have <unk> discussions with the major chinese leaders and will give his assessment of those leaders to president bush upon his return
 a poll conducted in N of N nato countries shows that the dutch appear to be the strongest supporters of the alliance
 the poll conducted for the dutch daily de <unk> by <unk> international said N N of dutch people supported nato
 canada was the second most <unk> country with N N supporting the alliance followed by the u.s. with N N britain with N N belgium with N N and west germany with N N
 all other countries registered support below N N
 the israeli manufacturers ' association filed a police complaint against an arab pasta maker for using the four colors of the outlawed palestinian flag on <unk> packages
 we asked police to investigate why they are allowed to distribute the flag in this way
 it should be considered against the law said danny <unk> a spokesman for the association
 the <unk> is made by the al <unk> <unk> co. in bethlehem and is marketed in a package <unk> with green black red and white <unk>
 british postal authorities say they have uncovered a large-scale scheme where unscrupulous <unk> dealers <unk> removed <unk> <unk> <unk> the <unk> and sold them to u.s. collectors or in large lots to british businesses
 the scheme allegedly cost the post office # N million $ N in revenue in the past N months
 dealers bought the used <unk> <unk> from charities including the guide dogs for the blind association
 the charities regularly sell used <unk> which they collect from children and other <unk> to raise funds
 <unk> <unk> president of japan 's <unk> electric industrial co. presented the u.s. <unk> general in osaka with a $ N million check to help san francisco 's earthquake victims
 the company 's u.s. subsidiary <unk> electric corp. of america had donated over $ N worth of <unk> <unk> and <unk> to residents shortly after the disaster a company spokesman said
 several other japanese companies and regional governments have sent aid to san francisco
 <unk> bank donated $ N tokyo <unk> $ N and the city of osaka $ N
 chinese officials are trying to use the canton trade fair to lure back overseas traders after the bloody crackdown on dissent
 but attendance is down from previous years
 what 's more a hong kong textile trader says some chinese exporters from <unk> enterprises are <unk> the crackdown by dragging their feet on soliciting new business
 they are angry about the government so they hold back the goods he said
 this autumn 's edition of the <unk> fair will run through oct. N
 inside the <unk> glass exhibition complex products ranging from clothing to <unk> machine guns are on display
 fair officials say that N guests visited during the first five days a N N drop from the spring exhibition
 but china 's official <unk> news agency reported that the number of foreign businessmen was greater than the previous fair without providing statistics
 in another sign of glasnost alexander <unk> 's <unk> <unk> of soviet repression the <unk> <unk> is now recommended reading in one <unk> moscow history class
 british customs officers said they 'd arrested eight men <unk> N rare <unk> into britain including one man who strapped a pair of <unk> <unk> under his <unk>
 a customs official said the <unk> followed a <unk> day at <unk> university in the netherlands an event used by some collectors as an opportunity to obtain rare <unk>
 di giorgio corp. said it 's continuing talks with potential buyers of certain units but has reached no agreement on any deals
 di giorgio a food <unk> and building products maker is seeking alternatives to an unsolicited $ <unk> tender offer of dig acquisition corp. a unit of rose partners limited partnership
 dig is the vehicle being used to pursue to acquisition
 robert <unk> di giorgio 's executive vice president said the company stands to reap more money through the sale of individual units to others than by accepting dig 's offer
 some <unk> earnings reports <unk> the stock market but bond prices fell only slightly and the dollar rose a little against most major currencies
 the dow jones industrial average tumbled N points to N in active trading
 long-term treasury bonds ended slightly higher
 the dollar rose modestly against the mark and the yen but soared against the pound following the resignation of britain 's chancellor of the exchequer nigel lawson
 analysts have complained that third-quarter corporate earnings have n't been very good but the effect hit home particularly hard yesterday
 compaq computer <unk> $ N a share to $ N and pulled other technology issues lower after reporting lower-than-expected earnings after the stock market closed wednesday
 later yesterday the nation 's major auto makers added to the <unk> when they each reported their core auto operations were net losers in the third quarter
 the <unk> third-quarter results came amid renewed concern about the volatility of stock prices and the role of <unk> program trading
 taken together the worries prompted a broad sell-off of stocks
 the number of stocks on the new york stock exchange that fell in price yesterday exceeded N a key measure of underlying sentiment among technical analysts
 although the government said the economy grew an estimated N N in the third quarter in line with expectations analysts are increasingly predicting much more sluggish growth and therefore more corporate earnings disappointments for the fourth quarter
 there are a lot more downward revisions of earnings forecasts than upward revisions said <unk> joseph cohen a market strategist at drexel burnham lambert
 people are questioning corporate profits as a <unk> of support for the equity market
 the bond market was <unk> by the economic statistics
 while bond investors would have preferred growth to be a little slower they were cheered by inflation measures in the data that showed prices rising at a modest annual rate of N N
 that is another small encouragement for the federal reserve to lower interest rates in coming weeks they <unk>
 in major market activity
 stock prices fell sharply in active trading
 volume on the new york stock exchange totaled N million shares
 declining issues on the big board <unk> gainers N to N
 bond prices were barely higher
 the treasury 's benchmark 30-year rose fractionally
 yield on the issue was N N
 the dollar rose modestly against most major currencies
 in late new york trading the dollar was at N marks and N yen compared with N marks and N yen wednesday
 the dollar soared against the pound which was at $ N compared with $ N wednesday
 the house joined the senate in making federal <unk> for <unk> held in world war ii <unk> camps a legal <unk> requiring the treasury department to meet <unk> payments of an estimated $ N billion during the next several years
 the N roll call came as the chamber approved a compromise bill <unk> $ N billion to the departments of state justice and commerce in fiscal N and imposing increased fees on business interests making filings with the government
 an estimated $ N million would come annually from a new $ N charge on <unk> <unk> to the justice department and securities and exchange commission filing fees would rise by N N to fund a $ N million increase in the agency 's budget
 yesterday 's vote on <unk> <unk> <unk> final enactment of the <unk> provision which <unk> earlier efforts to find offsetting cuts but is seen as a more realistic path to <unk> compensation first authorized in N
 the only way to reduce the costs is to say we do n't want to pay the bill said rep. neal smith d. iowa who <unk> president bush 's party to back up his campaign promise of supporting the claims of $ N per individual
 read my <unk> said mr. smith
 if you 're for paying the claims i do n't know how anyone can oppose this
 no payments would be made this year but beginning in fiscal N the bill <unk> the government to annual payments of as much as $ N million until the total liability of $ N billion is met
 the issue has assumed some of the character of past <unk> debates and <unk> old regional divisions in the democratic majority
 as much as republicans led the opposition among the N democrats voting against treating the payments as an <unk> N came from the N states in the old <unk> south and its borders
 the odd mix of departments in the underlying bill makes it one of the more <unk> of the annual appropriations measures and it is a <unk> rod for a running battle over the fate of the legal services corp
 the measure provides $ N million to maintain services but would sharply curb the power of the current board until <unk> are agreed to by the bush administration
 the conservative <unk> of the incumbent <unk> named by former president reagan has divided republicans
 and on <unk> roll calls N and N the appropriations committee leadership turned back efforts to weaken or strip the proposed restrictions first added by sen. warren <unk> r. n.h.
 the estimated $ N million from the new <unk> notification fee would be divided between the justice department 's antitrust division and the federal trade commission which both face serious cuts if the income is n't realized
 the federal bureau of investigation is slated to receive $ N million by charging for <unk> services in civil cases and the judiciary will rely on another $ N million from bankruptcy charges including a N N increase in the current filing fee
 the $ N billion total for the bill does n't include an estimated $ N billion in supplemental anti-drug funds approved by the house-senate conference yesterday and the rush of money is already <unk> <unk> among states competing for assistance
 the house agreed to defer for a year a scheduled N N increase in the required state matching funds for law-enforcement grants but by a N margin the chamber stripped a senate initiative to raise the minimum grant for smaller states such as new hampshire and delaware to $ N million from $ N
 few are more powerful in the competition for funds than the appropriations committees themselves including the three authors of the <unk> deficit-reduction law
 when a house-senate conference on yesterday 's bill <unk> $ N million in <unk> funds for a fort worth texas economic development project backed by former speaker james wright sen. phil <unk> r. texas insisted last week that the money be <unk>
 the measure includes $ N million secured by mr. <unk> for a <unk> project at the university of new hampshire and sen. ernest <unk> d. s.c used his power to add $ N million for an advanced technology initiative in the commerce department
 this was in addition to a more <unk> $ N million authorization for a health center in south carolina upheld by a N vote in the house last night
 the big three u.s. auto makers posted losses in their core north american automotive businesses for the third quarter and expectations of continued slow vehicle sales and price wars are casting a pall over the fourth period
 the strongest sign of the big three 's woes came from ford motor co. which said it had a loss in its u.s. automotive business for the first time since N
 ford predicted fourth-quarter net income will fall below the year-earlier level partly because of a likely $ N million charge from the sale of its steel operations
 the bleak automotive results were offset by strong earnings from some <unk> operations
 still the combined profit of ford chrysler corp. and general motors corp. fell N N to $ N billion from $ N billion a year earlier excluding a one-time gain of $ N million at chrysler from the sale of mitsubishi motors corp. stock
 the last time all three companies reported north american automotive losses was in the recession year of N
 yesterday 's announcements helped spark a midday wave of program selling in the stock market
 gm 's common closed at $ N a share down N cents ford fell N cents to end at $ N and chrysler eased N cents to $ N all in new york stock exchange composite trading
 the market 's <unk> reflects the gloomy outlook in detroit
 as japanese auto makers gained market share the big three with gm in the lead slashed north american production and launched a retail discounting <unk>
 the price war peaked in the third quarter as big three factory discounts climbed to more than $ N a vehicle according to industry officials
 gm probably had the heaviest incentives said robert s. miller chrysler 's chief financial officer
 we all did what we had to do to stay within sight of them
 but the costly efforts did little to slow japanese market gains and domestic car sales have plunged N N since the big three ended many of their programs sept. N
 gm ford and chrysler have already cut fourth-quarter u.s. output plans an estimated N N from N levels
 if sales do n't pick up the cuts will go deeper and incentives will <unk> again
 ford which has long <unk> of its ability to weather a downturn saw earnings take a beating
 the no. N auto maker blamed incentive costs and reduced production both the result of a substantially weaker u.s. market for a N N drop in net to $ N million or $ N a share on revenue of $ N billion
 nearly all the decline came in ford 's u.s. automotive operations
 the dearborn mich. auto maker ran a loss of $ N million on <unk> and marketing cars in the u.s. a deterioration of $ N million in that line from the N quarter
 ford managed to show a profit for the quarter primarily because of earnings from overseas auto operations and financial services
 a year earlier ford reported record net of $ N million or $ N a share on revenue of $ N billion
 in the latest nine months ford earned $ N billion or $ N a share compared with $ N billion or $ N a share
 the u.s. automotive loss was a sharp reversal for a company that had <unk> off N consecutive quarters of improved earnings until the N second quarter
 but david n. <unk> vice president finance insisted that cost-cutting and tight production capacity will make results better in this downturn than in prior <unk> when ford had net losses
 still mr. <unk> said ford expects the u.s. economy to weaken through the end of N causing weaker sales and production
 as a result fourth-quarter profit will come in below N results although the drop wo n't be as sharp as the N N third-quarter decline he said
 part of the drop will come from an anticipated charge of as much as $ N million from the proposed sale of its rouge steel unit
 in the N fourth quarter ford had net of $ N billion or $ N a share
 chrysler 's operating profit fell to a <unk> $ N million or N cents a share its lowest quarterly total in seven years
 its $ N million or $ N a share gain from the sale of N million mitsubishi shares made net $ N million or $ N a share
 sales were flat at $ N billion
 the results include record quarterly earnings of $ N million from chrysler financial corp
 a year earlier chrysler 's net was $ N million or N cents a share
 mr. miller said costs of incentives caused a moderate loss in the highland park mich. company 's north american car and truck business
 he said the loss was n't that much different from ford 's $ N million loss on u.s. automotive operations but he declined to be specific
 mr. miller said chrysler spent an average of $ N a vehicle on its incentive programs in the third quarter compared with about $ N a vehicle a year earlier a <unk> mark at the time
 he said chrysler is no longer sure of its forecast for industry car and truck sales of N million in the N model year
 consumers he said are <unk> at higher prices on N cars especially after seeing the <unk> prices on N models
 in the nine months net was $ N billion or $ N a share including the gain from the mitsubishi stock sale compared with $ N million or $ N a share after a charge of $ N million or N cents a share for plant closings in the N period
 sales rose N N to $ N billion from $ N billion
 heavy losses in north american auto operations sent gm 's net tumbling to $ N million from a record $ N million
 <unk> gm does n't issue separate quarterly earnings for the north american automotive business
 but analysts estimated that gm had a loss of as much as $ N million on domestic vehicle operations
 an N N drop in north american factory sales of cars and trucks cut into revenue and rebates to dealers and customers more than offset gains from price increases on N model vehicles delivered during the period a gm spokesman said
 but gm 's results also illustrate the increasing diversity of its operations
 in one breakdown gm attributed half of its net to its two big technology units electronic data systems corp. and gm hughes electronics corp
 meanwhile gm said overseas auto operations are on track to exceed last year 's record full-year net of $ N billion
 the diversified operations helped gm build its cash reserves exclusive of its financial subsidiary to $ N billion as of sept. N a N N increase from a year earlier
 this cushion could come in handy if gm has to trim fourth-quarter north american production schedules more than the already scheduled N N
 under the circumstances it wo n't be easy for gm to exceed its record N fourth-quarter net of $ N billion the spokesman acknowledged
 that means it 's unlikely the company will <unk> last year 's $ N billion full-year profit even though net for the first nine months was up N N to $ N billion on revenue of $ N billion
 it earned $ N billion on revenue of $ N billion in the N nine months
 there are two versions of measure for measure on stage at the alley theater here
 one is a strong vigorous portrayal of shakespeare 's play the other is director gregory boyd 's <unk> of <unk> <unk> rock <unk> on old vienna
 measure for measure is one of shakespeare 's problem plays so named because it does not fit neatly into a category such as tragedy comedy or history
 its <unk> and uneasy <unk> of the serious and the comic is no doubt one reason why it is very much in <unk> with directors just now
 last season hartford stage director mark <unk> mounted a production at lincoln center and currently two other productions one just closed at the old globe in san diego and another now at the seattle rep <unk> with mr. boyd 's
 in the play the duke of vienna <unk> over the <unk> of his subjects and turns over the rule of the city to the <unk> angelo hoping he can set things right
 when angelo <unk> that the young man <unk> has made his <unk> pregnant before he could <unk> her angelo <unk> <unk> <unk> to death
 when however <unk> 's sister <unk> a <unk> in a <unk> goes to angelo to plead her brother 's case the <unk> <unk> immediately falls in love with her and in a supreme act of <unk> demands that <unk> yield up her virtue to him in exchange for her brother 's life
 meanwhile the duke who set the original scheme in motion appears on the scene <unk> as a <unk> and becomes involved in a series of <unk> that has everyone <unk> the worst possible outcome until the duke <unk> a last minute <unk> for all concerned
 for the alley production scene designer peter david gould has arranged a stark but extremely effective set featuring a <unk> platform of <unk> boards that <unk> into the audience
 when the action requires a prison cell consisting of an <unk> wire <unk> rolls forward on iron wheels on the platform
 in the play 's major scenes mr. boyd demonstrates that he has a firm grasp of the <unk> dynamic
 when <unk> <unk> <unk> <unk> her brother <unk> <unk> <unk> in his cell explaining the price she has been asked to secure his freedom when <unk> and the <unk> duke philip <unk> <unk> to <unk> angelo and when <unk> <unk> jefferies a woman <unk> by angelo <unk> him with his past <unk> the performers bring the dramatic high points to life with intense energy and intelligence
 at such moments mr. boyd makes it clear that he has the capacity to be a superior <unk> of shakespeare
 when however he decides to be modern or more accurately when he decides to be trendy the results are far less satisfactory
 mr. boyd is of the <unk> school that believes one must find modern parallels or <unk> to make shakespeare accessible to today 's audiences
 it 's a valid approach but it puts a heavy burden on the director to show an uncommon degree of <unk> and taste
 in his measure mr. boyd has <unk> the <unk> and <unk> of vienna whom angelo is supposed to bring under control by converting them into <unk> <unk> <unk> and heavy metal types with a strong emphasis on leather chains and <unk> <unk>
 loud rock music <unk> all the scene changes even those in the <unk>
 when <unk> is arrested he is brought on stage <unk> except for the <unk> on his <unk> and <unk>
 when the <unk> <unk> jack <unk> visits the <unk> to inform <unk> of her brother 's fate <unk> not only <unk> the mother superior on her rear but brings along a <unk> companion <unk> <unk> not in shakespeare 's script to <unk> <unk>
 meanwhile the <unk> <unk> <unk> allen <unk> dressed in black leather and a prominent <unk> <unk> in enough <unk> gestures and <unk> <unk> to launch a space probe
 the problem here is not in the concept but in its lack of discrimination
 the <unk> at one point for example of a list of <unk> <unk> <unk> ranging from jim bakker and <unk> helmsley to <unk> <unk> <unk> is a bid for a cheap <unk> <unk> of mr. boyd 's ability
 despite the excesses however the <unk> for the production has many more <unk> than <unk>
 what 's more it represents an important step for the alley theater
 measure for measure is mr. boyd 's first <unk> <unk> as the theater 's new artistic director
 he succeeded pat brown who was fired by the alley board N months ago
 her dismissal angered many in the regional theater establishment and led peter <unk> head of theatre communications group to write an editorial in american theatre magazine <unk> the board
 none of this backlash could change the fact that ms. brown 's regime was <unk> <unk> and <unk>
 now the alley has moved ahead on both artistic and financial fronts
 not only is mr. boyd giving the theater a new sense of <unk> and excitement on stage the balance sheet is the best the theater has had in N years
 as opposed to the $ N million deficit of the N season the N year concluded with a $ N surplus and a $ N cash reserve
 <unk> last season 's runaway hit steel <unk> helped a lot but so did cost cutting and other measures insisted on by the board
 only time will tell if mr. boyd can restore to the alley the <unk> it received when its founder <unk> <unk> was at the <unk> of her powers
 but it is clear he is going to give it a shot
 democratic leaders have bottled up president bush 's capital-gains tax cut in the senate and may be able to prevent a vote on the issue indefinitely
 senate majority leader george mitchell d. maine said he intends to use senate procedures to force advocates of the tax cut to come up with at least N votes before they can address the issue
 and neither democrats nor republicans are predicting that the capital-gains forces can produce enough votes
 the <unk> requirement will be there and they do n't have the N votes sen. mitchell said
 they do n't have the votes to get it passed
 sen. bob packwood r. ore. the leading republican <unk> of the tax cut did n't disagree
 i 'm not sure what 's going to happen he said
 previously he had said he would be able to find the <unk> N votes eventually
 sen. packwood has offered his <unk> package as an amendment to a bill now pending in the senate that would <unk> aid to poland and hungary
 democrats are holding up a vote on the amendment by threatening a <unk> or extended debate
 for a <unk> vote to stop the <unk> republicans must <unk> at least N votes
 yesterday sen. packwood acknowledged we do n't have the votes for <unk> today
 the republicans show no sign of <unk>
 gop leaders continued to press for a vote on the amendment to the eastern europe aid measure
 and they threatened to try to <unk> any other revenue bill in the senate with the capital-gains provision
 this is serious business we 're serious about a capital-gains reduction said kansas sen. robert dole the senate 's republican leader
 the strategy is let 's vote
 the republicans contend that they can <unk> a majority in the <unk> senate for a capital-gains tax cut
 they accuse the democrats of unfairly using senate rules to <unk> a <unk> hurdle
 democrats counter that the republicans have often used the same rules to suit their own ends
 the two sides also traded accusations about the cost of the packwood plan
 democrats asserted that the proposal which also would create a new type of individual retirement account was <unk> with budget <unk> that would lose billions of dollars in the long run
 republicans <unk> that <unk> revenue estimates were <unk>
 the packwood proposal would reduce the tax depending on how long an asset was held
 it also would create a new ira that would shield from taxation the appreciation on investments made for a wide variety of purposes including retirement medical expenses <unk> purchases and tuition
 a white house spokesman said president bush is generally supportive of the packwood plan
 marsh & mclennan cos. said it agreed to acquire the rest of <unk> & <unk> a leading west german insurance brokerage firm in which it has held a N N stake for N years
 the transaction for cash and stock would represent the biggest european takeover since N for new york-based marsh & mclennan the world 's largest insurance broker
 it 's also the first major sign of the long-awaited consolidation in the european insurance industry as the european community commission moves toward a single market by N
 <unk> barriers will start coming down within the insurance industry next summer when big industrial companies will be able to buy insurance from carriers in any other ec country for the first time
 that 's why we have been working hard to develop a single more unified presence in europe said <unk> smith marsh & mclennan 's president at a london news conference yesterday
 analysts speculated that marsh & mclennan would spend between N million marks $ N million and N million marks for the rest of <unk> & <unk> or roughly N to N times the private firm 's estimated earnings
 this is paying a big price to maintain their <unk> as the world 's leading insurance broker said philip <unk> an analyst at <unk> & <unk> a u.k. brokerage firm
 earlier this year new york life insurance co. agreed to acquire windsor group ltd. a first step toward establishing a presence in the european market ahead of N
 but most u.s. insurers have n't rushed to change the way they do business in europe because they believe the european market will still be dominated by a handful of domestic companies
 under the proposed combination marsh & mclennan would gain a majority stake in <unk> & <unk> that would increase over time to the rest of the remaining N N
 the three managing general partners would receive a significant number of marsh & mclennan shares said <unk> l. <unk> a partner who would also join marsh & mclennan 's board
 mr. <unk> said he sought the combination because all our large clients in germany are becoming european companies or multinational companies and they expect an insurance broker to serve them as well in paris as in germany
 beatrice e. garcia in philadelphia contributed to this article
 washington
 united technologies corp. won an $ N million army contract for helicopter modifications and spare parts
 the company will modify one <unk> <unk> transport helicopter to the prototype <unk> <unk> for use by military special forces
 <unk> shipbuilding inc. a division of <unk> industries inc. was given a $ N million extension on a contract for shipyard services
 furukawa electric co. said it plans to increase production of computer memory devices on a large scale in the u.s. and japan
 as part of the move its affiliated u.s. company international components technology corp. purchased a mexican plant formerly <unk> to <unk> <unk> products inc
 the price was n't disclosed
 together with two existing plants in the u.s. furukawa said it will expand its current local monthly production of memory disks to N million sheets from N
 in japan furukawa said it will raise production at a plant outside tokyo to N sheets monthly from N
 furukawa said the u.s. market is strengthening as related computer technology gains in <unk> and quality
 primerica corp. new york raised its quarterly N N to eight cents a share from seven cents payable nov. N to stock of record nov. N
 the financial services company which has about N million shares outstanding noted its continued confidence in the ongoing strength of the operations
 compaq computer corp. said that its net income rose N N in the third quarter bolstered by unusual gains from its investment in a disk-drive maker and reflecting continued growth in its european operations
 the computer maker said net jumped to $ N million or $ N a share from $ N million or $ N a share a year earlier
 sales increased N N to $ N million from $ N million
 the latest quarter 's results however included a pretax gain of $ N million or N cents a share in the carrying value of the company 's investment in conner peripherals inc. and a $ N million gain or N cents a share from the sale of one million conner shares
 net for the nine months was $ N million or $ N a share up N N from $ N million or $ N a share a year earlier
 sales rose N N to $ N billion from $ N billion
 net for the year-earlier nine months also included a gain of $ N million or N cents a share in the carrying value of the conner investment
 michael <unk> president of compaq 's north america division attributed the company 's third-quarter performance to continued increases in international sales which accounted for N N of the company 's sales a N N increase from a year earlier
 over the next couple of years we would not be surprised to see europe and international sales represent N N of the company 's revenues he said
 during the third quarter compaq purchased a former wang laboratories manufacturing facility in <unk> scotland which will be used for international service and repair operations
 mr. <unk> said the new space will allow compaq to increase the manufacturing capacity of its plant in <unk> scotland
 in new york stock exchange composite trading yesterday compaq shares fell $ N to $ N
 wilson h. taylor president and chief executive officer of this insurance and financial services concern was elected to the additional post of chairman
 mr. taylor N years old succeeds robert d. <unk> N who is retiring as reported earlier
 mr. <unk> will remain a director
 diversified investment group inc. said it agreed to be acquired by star states corp. for stock valued at $ N a share or about $ N million
 diversified the holding company for fidelity federal savings & loan association said the agreement also gives star states the option to acquire N of diversified 's N shares outstanding under certain circumstances
 the acquisition would give wilmington <unk> star states access to the pennsylvania market
 the agreement is subject to regulatory approval and resolution of lawsuits brought by certain diversified holders in connection with the proposed merger
 chandler insurance co. said it expects to report third-quarter net income jumped N N to $ N million or N cents a share
 in the year-earlier quarter the automobile and trucking insurer had earnings of $ N million or N cents a share on a restated basis on revenue of $ N million
 in an interview w. <unk> <unk> chairman and chief executive officer said he expects revenue in the latest quarter to total about $ N million
 the <unk> figures reflect a N N stock dividend in june N
 mr. <unk> attributed the earnings increase to growth in the company 's <unk> trucking insurance lines and the ability to keep premium rates firm
 <unk> carbon corp. said it will build a $ N million plant for producing <unk> <unk> carbon
 the maker of <unk> chemicals and equipment said it will select the plant site early next year and production is expected to begin in N
 call jim wright 's office in downtown fort worth texas these days and the <unk> still answers the phone speaker wright 's office
 the former congressman who resigned as speaker of the house after an investigation of his financial dealings is <unk> in his district office maintained by taxpayers on a $ N allowance
 he is negotiating a rich book contract to <unk>
 one of the hottest tickets on washington 's social calendar this fall was a charity benefit <unk> former congressman tony <unk> who landed a <unk> job on wall street after resigning over a controversial junk-bond investment last summer
 michael deaver the former white house aide has become the most recent addition to the <unk> ranks of fallen politicians and officials earning their way as lobbyists and consultants here
 mr. deaver has reopened a public-relations business
 surviving scandal has become a <unk> of political passage at a time when a <unk> of scandal has <unk> this town 's <unk>
 let the president demand strict new ethics rules with four sitting house members accused of sexual <unk> amid the <unk> hud scandal and after the wright debacle people are slightly <unk> by scandal says political <unk> art <unk>
 it now takes something really weird to <unk> public <unk>
 not all the <unk> have enjoyed soft <unk>
 but many have
 these people bounce back more <unk> than regular people says washington writer <unk> <unk> who is working on a history of <unk> scandal
 given their own <unk> for book writing it is surprising that none of the masters of scandal survival have yet published a guide to the art
 for there is an emerging protocol indeed an <unk> to it
 among the rules
 <unk> nothing happened
 as if he were still in his old job mr. wright by resigning with his title instead of being forced from his job by law enjoys a $ N annual office expense allowance three paid staffers up to $ N for <unk> and telephones and continued use of the <unk> privilege
 not to mention a generous federal pension
 there is also a busy schedule of speaking <unk> at $ N a pop at tony places including the yale political union
 he 's as busy as he was as speaker reports mr. wright 's administrative aide larry shannon
 <unk>
 on the edge of fashionable <unk> in a <unk> office with a river view and a number of corporate clients whom he wo n't name mr. deaver is trying to reclaim his reputation as one of the <unk> image makers in town
 there are few <unk> of his days as white house deputy chief of staff and <unk> of ronald and nancy reagan
 the former $ N <unk> lobbyist now <unk> shelters for the homeless and <unk> a third of his time counseling other recovering <unk>
 i feel better than i ever have in my life he says
 mr. deaver confessed to his <unk> during his trial on perjury charges
 he is also a recovering <unk> <unk> with his family and creating topiary or <unk> <unk> a fashionable pursuit for which he developed a passion during his three-year legal <unk>
 one sign of mr. deaver 's renaissance an appearance on abc 's <unk> for a show on pack journalism
 host ted <unk> introduced him as the media master of the reagan administration with <unk> a mention of mr. deaver 's conviction in N on perjury charges
 finding god
 when someone says i 've turned to god everybody <unk> off observes frank <unk> an old washington hand and former aide to robert kennedy
 thus have charles <unk> and <unk> <unk> launched successful <unk> careers at the <unk>
 but it does n't always work so smoothly
 after allegations surfaced in a N <unk> contest that he had beaten his wife sec enforcement chief john <unk> retreated to a <unk> <unk> in rural virginia
 he is now in solo law practice in washington but his fees have been <unk> and he failed in efforts to win a chunk of his <unk> 's royalties on her <unk> book
 from time to time he returns to the <unk> for <unk> <unk> and pro bono legal work
 mr. <unk> is <unk> about his <unk>
 this whole experience has been an opportunity for internal growth he says
 he sees a <unk> five <unk> a week
 i 've surrendered to the circumstances mr. <unk> says
 the word surrender has a precise <unk> meaning
 my universe has changed
 i 'm enjoying my life and who i am today
 the aspect of being a <unk> is n't as important
 do n't <unk>
 the best thing you can do is get off the screen says mr. <unk>
 nobody proved that more <unk> than mr. <unk> the former democratic majority whip
 declaring that there was life after congress he resigned almost immediately after media reports questioned the <unk> of a N junk-bond investment before any official investigations took hold
 among the <unk> who turned out in bipartisan <unk> force to benefit the <unk> <unk> fund last month were sen. robert dole rep. <unk> <unk> and other <unk> of congress
 dan rather served as <unk>
 from his new <unk> <unk> on wall street as a managing director of wertheim schroder & co. mr. <unk> reports that many of his former colleagues have contacted him to find out how they too can pursue investment banking careers
 it helps to be male
 male scandal victims invariably fare better
 anne <unk> the former epa chief who resigned under fire in N during a <unk> with congress was <unk> in the confrontation even though she was never charged with official <unk>
 she worked <unk> as a consultant and wrote a book but never <unk> her <unk> legal career
 it did n't help when in N she was charged and then cleared on allegations of public <unk>
 i cut my losses and ran she says from her new home in colorado where she is busy remodeling
 mrs. <unk> remains bitter over the overwhelming legal expenses involved in clearing her name
 my husband was instantly <unk> by the very act of <unk> me she says
 another former epa official <unk> lavelle is still struggling after her conviction in N on perjury charges
 there 's nothing she could do to bring herself back to where she was says her lawyer james <unk>
 you could say she survived but it was n't easy on her
 no book contracts have been <unk> before <unk> <unk> dean the <unk> queen of the hud scandal
 <unk> rice of gary hart fame failed to obtain a book contract and lost her <unk> contract for no <unk> jeans
 <unk> hall oliver north 's former secretary has yet to launch a <unk> television news career according to her lawyer
 <unk> jenrette the former wife of <unk> rep. john jenrette has yet to hit it big in hollywood although with roles in such movies as <unk> island massacre and <unk> <unk> 's <unk> shop she is doing a lot better than her former husband
 he was back in jail over the summer on <unk> charges
 be the star
 central figures such as richard nixon usually fare better than those with supporting roles
 richard <unk> the retired air force general <unk> in the iran-contra scandal is all but <unk> forced to sell his virginia home and pull his kids out of college according to a recent fund-raising appeal sent out on his behalf
 yet his <unk> in the case also a former military officer by the name of oliver north has been <unk> and profitably <unk> his involvement in the affair
 what accounts for the difference
 during the televised iran-contra hearings mr. north came off as a <unk> from central casting
 mr. <unk> 's performance was <unk> less <unk>
 mr. north remains in heavy demand as a speaker for fees reported in the $ N range
 even in the wake of hurricane hugo N people turned out in a <unk> virginia town in september for a family <unk> to mr. north given by two dozen conservative members of congress
 if sex is involved all bets are off
 sex scandals make people look <unk> and silly and one of the worst <unk> in washington is to be <unk> at
 you can be <unk> but not <unk> says mr. <unk>
 nevertheless rep. <unk> <unk> of massachusetts was <unk> <unk> because of the <unk> with which he handled <unk> that he had sex with a male congressional page in N
 former rep. robert <unk> a maryland republican who lost his seat in N after he was caught soliciting sex from a <unk> boy has never regained his professional footing as a lawyer
 mr. <unk> a conservative says he was <unk> by the right <unk>
 conservatives shoot their own he says
 if the political establishment is reluctant to <unk> sexual <unk> the private sector sometimes will
 john tower was accused of <unk> and <unk> during his unsuccessful bid to win confirmation as secretary of defense earlier this year
 now he is writing a book serving on an elite foreign policy advisory board and consulting for an array of corporate clients including british publishing <unk> robert maxwell
 become a lobbyist
 when all else fails <unk> <unk> the <unk> halls of the capitol <unk> by lobbyists and their imported shoes offers a welcome environment for fallen officials
 former rep. <unk> <unk> <unk> brought down by the savings-and-loan crisis now represents you <unk> it <unk> associations
 some become <unk>
 john mack promptly quit his job last spring as an aide to speaker wright amid public <unk> over mr. mack 's violent attack on a young woman when he was N years old
 after a few weeks in <unk> mr. mack opened a consulting firm but not to enable him to directly lobby that would require him to disclose his clients by <unk> as a lobbyist
 still mr. mack says he talks to N members of congress a week
 <unk> <unk> company
 other scandal <unk> are sometimes the best source of <unk>
 raymond <unk> the new jersey construction executive who was forced to resign as labor secretary and indicted in N only to be acquitted of fraud charges often calls other <unk> public figures to offer a sympathetic <unk>
 each time a new scandal hits he says it pulls the <unk> off your <unk>
 one of the first people to come to the deaver home after his troubles erupted was former nixon aide john <unk> whom mr. deaver <unk> knew
 he <unk> me that the hurricane would end mr. deaver recalls
 mr. <unk> received an encouraging letter from the recognized master of scandal survival richard nixon
 says mr. <unk> if things get really tough i can always auction it off at sotheby 's
 the canadian government with a view to becoming more politically active in latin america is expected to announce tomorrow its application to join the organization of american states a washington-based regional agency
 the expected canadian move has been welcomed by the bush administration even though canada has opposed such u.s. actions as the trade <unk> against cuba the <unk> of <unk> and the military support for nicaragua 's contra guerrillas
 latin american countries have long urged canada to join the oas in the hopes that it would be a <unk> to the u.s. which for many years <unk> to dominate the <unk> organization
 even though the u.s. also has supported canadian membership it has n't been a washington priority
 the fact that we might not side with the americans may be a reason why canada 's membership in the oas has n't been over the years an item high on the u.s. agenda said <unk> <unk> former canadian ambassador to the u.s.
 the canadian application is expected to be announced in san jose costa rica by canadian prime minister brian <unk> who is attending a <unk> celebration of costa rican democracy
 canada has a larger and more beneficial role to play in the <unk> mr. <unk> said recently
 some canadian political <unk> have opposed canada 's joining what they see as a <unk> organization
 canada could do plenty of things to get serious about latin america without running the risk of getting caught in the cross fire between the u.s. and latin american members of the oas said jeffrey simpson a columnist in toronto 's globe & mail newspaper
 canada at times could be an <unk> oas partner for the u.s. if its united nations voting record is an indication
 in u.n. general assembly votes last year canada voted the same as the u.s. only N N of the time
 france voted the same as the u.s. N N of the time west germany N N and britain N N
 larry <unk> director of the washington-based council on <unk> affairs a liberal research group said that latin american countries would be <unk> disappointed if canada were to follow the u.s. lead in the oas
 latin americans see canada as a <unk> power that <unk> their sovereignty he said
 the oas which tries to promote peace and economic development within the <unk> is attempting to find a settlement of the current panama political crisis
 cuba has been suspended from oas membership but the organization 's members are discussing cuba 's <unk>
 robert h. knight 's oct. N editorial-page article <unk> violence in comedy movies hollywood you <unk> me is interesting but somewhat <unk>
 as a fan of older movies from the 1920s on i do not find modern <unk> contain violence sex and <unk> language to any greater degree than other recent movies
 older movies have plenty of violence though it is portrayed in keeping with the more restrictive social <unk> of the time
 for example one of my favorite movies is the N british comedy kind hearts and <unk> in which the entire comedy is based on actor dennis price 's <unk> eight titled <unk> all played by <unk> guinness because they <unk> his mother and stand in the way of his acquiring the family title
 similarly one of the most popular comedy <unk> of the 1930s and <unk> was the murder <unk>
 the thin man series of movies as well as many others based their entire <unk> appeal on the star <unk> ' <unk> <unk> and <unk> as other characters in the movies were murdered
 further i think mr. knight made a poor choice in picking a fish called <unk> as an example of the <unk> state of modern comedy movies
 the specific scene he <unk> in which pet dogs are crushed is somewhat <unk> of the <unk> <unk> that <unk> the <unk> in the old warner <unk> road <unk> <unk>
 there is no <unk> <unk> <unk> portrayal of the animal 's demise
 keep in mind that this is the same movie in which a character is <unk> by a <unk> only to pop right back up and <unk> in the window of a boeing N from the outside as it takes off
 i will be the first to agree that there is much to be found wrong with modern movie making
 many modern <unk> seem to be <unk> of writing drama or anything else without <unk> <unk>
 sex and violence are routinely included even when they are irrelevant to the script and high-tech special effects are continually <unk> for good plot and character development
 in short we have a movie and television industry that is either <unk> or <unk> of making a movie unless it carries a <unk> or r rating
 hence <unk> amounts of <unk> sex violence and <unk> language are included as a <unk>
 however these <unk> are not the exclusive property of modern <unk> and i believe mr. knight <unk> when he attempts to link this modern phenomenon too closely to a single category of movie making
 michael smith
 rochester telephone corp. said it agreed to buy <unk> telephone co. of <unk> <unk>
 terms were n't disclosed
 rochester will exchange shares of its common stock for all shares outstanding of <unk> telephone a <unk> company
 <unk> serves about N access lines in western wisconsin
 the average unemployment rate in the N biggest industrialized <unk> was steady in august at the N N rate of the two previous months the organization for economic cooperation and development <unk> said
 the august rate was N percentage point lower than in the like month a year earlier reflecting the pickup of activity in the N countries
 the <unk> said that most of the improvement occurred in the second half of last year since february of this year unemployment has been steady at around N N of the labor force
 <unk> inc. said its board has approved a <unk> reverse stock split
 the <unk> <unk> producer of gas and oil said it wants shareholders to approve the split because it would enhance the <unk> and trading of the stock
 if approved at a shareholder meeting in december the number of shares outstanding would decrease to five million from N million and par value would rise to N cents from a penny
 <unk> co. said it has agreed to buy <unk> inc. a cincinnati maker of control accessories for industrial <unk>
 terms were n't disclosed but <unk> said the deal will be completed through an exchange of stock
 closely held <unk> has annual sales of about $ N million
 <unk> a maker of <unk> <unk> and other controls said the acquisition wo n't impact its N profit
 canadian manufacturers recorded a N N decline in august in their backlog of unfilled orders statistics canada a federal agency said
 the august drop was the fourth decline in five months
 most of the august decrease was attributed to lower order backlogs in the primary metal and electric and <unk> industries
 manufacturers ' shipments rose N N in august following two months of declines
 inventories fell N N in august
 burmah oil plc a british independent oil company said its west german subsidiary <unk> has a N N share in <unk> <unk> a new polish lubricants company
 the remaining N N of the joint venture will be controlled by polish lubricants manufacturers refiners and technical institutes
 <unk> will develop application guidelines for lubricants sell high-quality mineral oils and offer services in industrial cleaning and related fields
 burmah which has a strong market position supplying marine lubricants and <unk> <unk> in poland described the joint venture as fairly small
 it did n't provide details of <unk> costs
 du pont co. reported that third-quarter profit grew a robust N N from a year ago on the strength of the company 's operations in various chemicals and fibers and in petroleum
 du pont also raised its quarterly dividend to $ N a share from $ N a change that will increase the annualized payout to shareholders by some $ N million
 du pont unlike companies hurt badly by sharp price declines for basic chemicals and plastics is benefiting from its broad range of businesses
 the profit gain was made despite a weakening in the housing market for which the company is a supplier and a strengthening in the dollar which <unk> the value of overseas earnings when they are translated into dollars
 the wilmington del. company reported net of $ N million or $ N a share which was in line with wall street estimates
 in the year-earlier period the company earned $ N million or $ N a share
 sales in the latest quarter were $ N billion up N N from $ N billion
 the dividend increase was du pont 's second this year an <unk> of statements by top executives that they intend to increase rewards to shareholders
 we have n't benefited the shareholder as much as we need to said edgar <unk> jr. du pont 's chairman and chief executive officer in an interview several months before he entered his current position in april
 the largest <unk> will be seagram co. which owns about N N of du pont
 a spokesman for seagram the montreal wine and spirits concern controlled by the bronfman family said the company will post additional pretax profit of about $ N million a year because of the additional du pont dividends
 du pont also announced plans for a <unk> stock split although the initial higher dividend will be paid on <unk> shares
 du pont 's stock rose $ N a share to close at $ N in new york stock exchange composite trading yesterday
 seagram closed at $ N up N cents a share in big board trading
 leading the gains for du pont in the latest quarter was its industrial products segment where profit soared to $ N million from $ N million a year earlier
 the company benefited from continued strong demand and higher selling prices for titanium dioxide a white <unk> used in <unk> paper and plastics
 james <unk> a new <unk> n.j. marketing consultant to the chemicals industry says du pont still holds an edge in making the <unk> because the company was first in with the technology to lower costs
 he said du pont holds about N N of the world-wide market the largest single share at a time when growing uses for the <unk> have kept it in tight supply although others are now adding low-cost production capacity
 profit climbed to $ N million from $ N million in the petroleum segment as du pont 's <unk> inc. oil company was helped by crude oil prices higher than a year ago and by higher natural gas prices and volume
 in the <unk> businesses segment which includes <unk> profit grew to $ N million from $ N million
 a spokesman said <unk> use in some areas of the u.s. was delayed earlier in the year by heavy <unk> thus increasing sales in the third quarter
 in the fibers segment profit rose to $ N million from $ N million a gain du pont attributed to higher demand in the u.s. for most textile products
 two segments posted lower earnings for the quarter
 profit from coal fell to $ N million from $ N million partly because of a miners ' strike
 and profit from <unk> dropped to $ N million from $ N million amid what du pont called lower demand and selling prices in certain packaging and industrial markets
 for the nine months du pont earned $ N billion or $ N a share up N N from $ N billion or $ N a share a year earlier
 sales increased N N to $ N billion from $ N billion
 the increased dividend will be paid dec. N to holders of record nov. N
 the stock split which is subject to holder approval would be paid on a still unspecified date in january to holders of record dec. N
 american medical international inc. was dropped from the health care <unk> industry group of the dow jones equity market index
 the company is being acquired
 u.s. healthcare inc. was added to the health care <unk> group
 both moves are effective today
 the canadian government plans to auction on tuesday N million canadian dollars us$ N million of N N bonds due dec. N N the finance department said
 proceeds of the issue will be used for general government purposes
 finnish conglomerate <unk> oy ab said it reached an agreement to buy dutch cable company <unk> <unk> <unk> for N million finnish <unk> $ N million
 <unk> said it will gain control over <unk> <unk> by buying N N of the shares in <unk> holding n.v. which owns <unk> <unk>
 western european leaders who favor <unk> economic and monetary union are adding a new argument to their <unk> the dizzying political changes under way in eastern europe
 french president <unk> mitterrand european community commission president <unk> <unk> spanish prime minister <unk> gonzalez and others have begun linking the rapid changes in the east to the need to speed up changes in the west
 they are stressing that the best way for the west to help the east is to move faster <unk> western european economic and monetary unity
 this would make the <unk> system more attractive to eastern countries they argue and allow greater economic aid and technological know-how to flow from west to east
 the only response to the challenge being presented to us by the east mr. mitterrand told the european parliament in <unk> yesterday is to reinforce and accelerate the union and <unk> of the european community
 mr. mitterrand proposed that a conference be <unk> next fall to write a new treaty for the ec allowing a european central bank and that the treaty be ratified by N
 mr. mitterrand also proposed a separate bank for europe that would channel development money to the east
 one basis for linking change in the east and change in the west is the notion that <unk> N million eastern europeans with N million western europeans is primarily the task of europeans despite the u.s. 's obvious strategic and economic interest
 says a european strategist the u.s. tends to look at eastern europe not including the soviet union as europe looks at latin america important but far away
 but for us in western europe these are europeans next door
 a <unk> europe implies big changes in 40-year-old military and economic policies
 there is likely to be a natural division of labor says <unk> <unk> director of the international institute for strategic studies in london with the u.s. more engaged in strategic issues with the soviet union and western europe more involved with specific aid measures for the east
 the <unk> at july 's economic summit of major industrialized nations of the ec commission as coordinator of western aid to poland and hungary was a first step
 in part this division is <unk> by economics west germany is a net exporter of capital while the u.s. is n't
 while american aid efforts have been limited by budget problems yesterday france announced a three-year four billion french franc $ N million aid plan for poland
 despite sudden changes in the strategic equation some western european leaders especially british prime minister margaret thatcher remain skeptical about european political and economic unity and are unlikely to let <unk> concerns change their minds
 but british analysts are beginning to link the issues
 we need a western <unk> says john roper of the royal institute of international affairs in london referring to west germany 's longstanding policy of a diplomatic opening to the east
 for poland and hungary we need to think about a <unk> economic approach that would force them to price things <unk> in return for removing all our tariff barriers
 he notes that the marshall plan of u.s. aid to europe did n't just throw money at <unk> europe it also <unk> and opened up those markets
 the french analysis goes further
 most of the west 's leaders have finally concluded that we all want perestroika soviet leader mikhail gorbachev 's policy of economic restructuring to succeed says <unk> <unk> security adviser to mr. mitterrand
 but they have n't yet drawn the operational policy conclusions
 he adds that with communism <unk> and mr. gorbachev scrambling to <unk> the soviet economy our interest lies in a controlled <unk> a contained nuclear reaction so we need to help him and not just with words
 managing change he adds will require a lot more aid and a prominent role for the ec especially in dealing with the question of german reunification
 <unk> de <unk> director of the french <unk> for international relations in paris says it is n't clear what exactly west germany wants
 any push for a gorbachev vision of a common european home <unk> the eventual <unk> of the ec a <unk> partnership and the withdrawal of u.s. forces would be a very very serious problem he says
 he doubts a <unk> <unk> state will emerge that would dominate europe but warns of a risk of <unk> change in the heart of the european community from a germany that is too strong even if democratic
 he adds we and the rest of the ec have to talk to the germans now frankly and raise these future risks with them
 while many <unk> particularly french ones worry that <unk> and emotional reaction to the changes in the east might lead to dangerous pressures for a <unk> europe or the <unk> withdrawal of american troops mr. roper in london sees a more positive scenario
 there seems to be a message from moscow there 's a deal on offer he says
 they want <unk> we wo n't try to undermine or destroy the warsaw pact
 in return the u.k. and france could keep their nuclear weapons
 he adds once both sides feel comfortable it should be that much easier to make more progress toward the economic and social reforms that are now starting in the east
 <unk> technology corp. said a seattle investor has signed a letter of intent to buy the company for about $ N million or $ N a share
 the investor donald a. wright plans to run the company said a spokesman for <unk>
 the transaction has been approved by <unk> 's board but requires the approval of the company 's shareholders
 <unk> manufactures electronic components
 dominion textile inc. holders adopted a <unk> plan at the annual meeting
 the so-called poison pill took effect aug. N pending <unk> by holders
 rights attached to the company 's common shares were issued that are triggered if a hostile bidder acquires more than N N of the shares outstanding
 once triggered the rights allow holders to buy additional shares at N N of the then current market price or at the board 's discretion to receive securities or assets
 separately dominion textile posted net income of N million canadian dollars $ N million or N canadian cents a share for the <unk> quarter ended sept. N
 the company had a net loss of c$ N million or N canadian cents a share a year ago
 sales were c$ N million compared with c$ N a year earlier
 computer sciences corp. said it received a u.s. postal service contract that will have a value of at least $ N million
 computer sciences will perform data processing work for the postal service under the three-year contract which also includes two additional option years for which compensation has n't yet been fixed
 computer sciences said its work will improve <unk> efficiency
 for its fiscal year ended march N computer sciences had revenue of $ N billion
 ohbayashi corp. agreed to buy <unk> <unk> co. the u.s. subsidiary of <unk> as of norway for about $ N million
 <unk> a port washington n.y. construction concern was established in N
 it has three u.s. branches
 ohbayashi officials said the purchase was undertaken to participate in ventures in and around new york city
 they said <unk> is particularly successful there because of its membership cooperation with local unions
 ohbayashi is japan 's second largest construction company
 until now its inability to form membership ties with organized labor has kept it from <unk> the lucrative new york metropolitan area construction market
 the company also hopes the latest acquisition will help secure large construction orders from japanese concerns with u.s. operations
 ohbayashi cited industry publications <unk> <unk> currently capitalized at $ N million with receiving orders valued at $ N million in N
 the japanese company received orders totaling N billion yen $ N million from its u.s. business activities during the fiscal year ended in march
 h. marshall schwarz was named chairman and chief executive officer of u.s. trust corp. a <unk> firm with assets under management of about $ N billion
 mr. schwarz N years old will succeed daniel p. <unk> feb. N soon after mr. <unk> reaches the company 's mandatory retirement age of N
 mr. schwarz who is president of u.s. trust will be succeeded in that post by jeffrey s. <unk> N who is executive vice president in charge of the company 's <unk> group
 u.s. trust a <unk> institution that is one of the earliest <unk> worth banks in the u.s. has faced <unk> competition from other firms that have established and heavily <unk> <unk> businesses of their own
 as a result u.s. trust 's earnings have been hurt
 but mr. schwarz <unk> the competition in u.s. trust 's flagship businesses calling it <unk>
 mr. schwarz says the competition <unk> the base of opportunity for us
 other firms are dealing with the <unk>
 i do n't believe they have the culture to adequately service <unk> individuals he adds
 u.s. trust recently introduced certain mutual-fund products which allow it to serve customers with minimum deposits of $ N
 previously the company advertised at the $ N million level
 we have always taken smaller accounts but now we are looking for smaller accounts that will grow mr. schwarz says
 our bread and butter is still the $ N million to $ N million account he says
 the new services allow u.s. trust to cater to the new wealth mr. schwarz says
 quarterly net income this year has risen just over comparable periods in N when year-end net was below the N level
 in this year 's third quarter for example net was $ N million or $ N a share compared with $ N million or $ N a share a year earlier
 assets as of sept. N fell to $ N billion from about $ N billion
 we will have a reasonably flat year this year mr. schwarz says
 mr. schwarz also said costs associated with u.s. trust 's planned move to <unk> manhattan from wall street will continue to be a drag on earnings through N
 mr. schwarz 's <unk> founded the new york toy store <unk> schwarz but his family no longer has ties to the company
 mr. schwarz 's father was a u.s. trust trustee until N
 u.s. trust also created a <unk> office of the chairman effective feb. N
 it will include messrs. schwarz and <unk>
 donald m. roberts N treasurer and frederick s. <unk> N who takes responsibility for the <unk> group were named vice chairmen and will serve in the office of the chairman
 mr. roberts continues as treasurer and mr. <unk> remains responsible for the offices of comptroller planning marketing and general services
 frederick b. taylor N also was named a vice chairman and chief investment officer a new post
 he previously held similar responsibilities
 mr. taylor also was named a director increasing the board to N but is not part of the new office of the chairman
 james e. <unk> N executive vice president who has directed the <unk> group will retire
 sun microsystems inc. <unk> back to profitability after its first quarterly loss as a public firm said it earned $ N million or seven cents a share in the fiscal first quarter
 sun a maker of computer workstations reported sales of $ N million for the quarter ended sept. N up N N from $ N million a year earlier
 in the N period the company earned $ N million or N cents a share
 sun 's results were slightly better than expectations
 earlier this month the company said it expected to break even for the quarter on sales of $ N million
 in a statement scott <unk> sun 's chief executive officer said the company 's performance was hampered by problems tied to the introduction of a major new family of computers in april
 one of those new computers called <unk> N accounted for nearly half of the N systems sun shipped in the quarter he said
 more than two-thirds of the systems shipped meanwhile were products introduced in april
 but problems in manufacturing forecasting demand and getting the bugs out of a new management information system made it extremely difficult for sun to meet demand for its newest computers well into the summer
 these problems also resulted in sun reporting a $ N million loss for its fourth quarter ended june N
 mr. <unk> said the issues that hurt sun 's performance earlier this year are now largely behind the firm and he indicated that sun 's profitability should increase throughout the fiscal year
 sun also reported a record backlog of orders
 while this indicates continued strong demand for the company 's <unk> computers sun faces increasing competition from digital equipment corp. and hewlett-packard co
 recently analysts have said sun also is vulnerable to competition from international business machines corp. which plans to introduce a group of workstations early next year and next inc
 <unk> rogers jr. was named chief executive officer of this business information concern
 mr. rogers N years old succeeds <unk> white N who will remain chairman and chairman of the executive committee
 mr. rogers who was president and chief operating officer of <unk> will retain his position as president
 the company said a new chief operating officer wo n't be appointed
 a merchant bank and investment fund have agreed to <unk> a reorganization plan to bring sharon steel corp. out of chapter N proceedings and to acquire the company 's <unk> assets in a transaction valued at more than $ N million
 castle <unk> inc. a new york merchant bank and quantum fund said they would acquire the assets for a combination of cash and the assumption of certain of sharon 's liabilities
 the balance of the company 's assets and liabilities would be transferred to a new company that would be owned by sharon 's creditors
 quantum said it has agreed to purchase as much as $ N million in equity in the new company if necessary for the confirmation of the plan
 castle <unk> and quantum said the plan is expected to be filed within N days with the u.s. bankruptcy court in pittsburgh
 the agreement is subject to certain conditions including obtaining financing
 castle <unk> said that such financing is already being sought and that a formal proposal would be made to sharon 's chapter N trustee and other sharon creditors over the next few days
 sharon based in farrell pa. filed for protection from creditors under the federal bankruptcy code in april N
 the company had been one of the <unk> of miami beach financier victor posner 's empire
 mr. posner resigned as president and chief executive officer of sharon in april N
 he remains chairman but <unk> little power at the company
 quantum fund based in new york is a $ N billion investment fund managed by <unk> fund management
 quantum is sharon 's largest unsecured creditor
 the castle <unk> group includes walter <unk> former chief operating officer of sharon and <unk> <unk> former executive vice president
 executives at sharon declined to comment on the proposal
 the company 's trustee <unk> <unk> was unavailable for comment
 two old friends george bush and deng <unk> are trying to limit further damage to <unk> ties
 but as congress prepares a fresh package of sanctions against beijing the <unk> relationship could get worse
 the problem for congress will be to weigh what china is saying to its people against the more <unk> message it is delivering to the bush administration
 in a move apparently aimed at heading off new punitive legislation mr. deng sent an indirect signal to washington via <unk> lee a columbia university <unk> who met mr. deng and other chinese leaders in beijing last month
 when he met with mr. bush on his return mr. lee says he told the president that the chinese made statements to me that i regard as a first step toward reconciliation
 the communication mr. lee brought represents the softer line the u.s. has been hoping to hear from chinese officials since the june N massacre of pro-democracy demonstrators in beijing
 the chinese leader mr. lee informed mr. bush expressed some regret for what had happened in beijing and conceded that china 's officials <unk> some responsibility
 mr. lee says mr. deng told him we should not mind those who participated in demonstrations signed <unk> materials and went on <unk> strikes
 mr. deng added says mr. lee that we really made mistakes
 we must not <unk> our responsibility and we can not just blame the demonstrators
 mr. lee also reported to the president that in a separate meeting communist party chief <unk> <unk> said the chinese leadership looked <unk> on the students who took part in the demonstrations
 mr. <unk> also pledged that the chinese red cross would publish very soon a list of those killed
 and he told the <unk> that china 's leaders were very much concerned about the deaths and had arranged aid for the victims ' families
 i <unk> my conversations to the white house prof. lee says
 but he adds i was not acting as a <unk>
 he says that the chinese never asked him to convey their statements to president bush but that the white house <unk> invited him to do so
 mr. lee concedes the statements made to him are far different from others being issued in china but attributes that to the fact that the situation in china is very complex
 according to u.s. sources in beijing the administration hopes mr. deng 's fairly <unk> comments will <unk> congress to be cautious about further sanctions against beijing
 the president does n't want to have legislative sanctions says a u.s. official
 but he may not have a choice
 given china 's <unk> statements to its own people mr. bush may be unable to prevent new sanctions
 beijing officials have said they will step up the campaign of <unk> and <unk> against those who participated in the demonstrations
 sentences have been stiff
 a university student got eight years for participating in the rallies sources in beijing said while an <unk> worker got N years
 nor has beijing hinted to its citizens that it will publish the <unk> of those killed
 so far the victims are officially considered <unk> and their families receive no compensation
 a man <unk> down by a <unk> bullet while cycling to work carries after his death the official <unk> of <unk> his wife says
 what 's more much of china 's official rhetoric is hostile to the u.s.
 china frequently <unk> the u.s. embassy for <unk> <unk> <unk> <unk> a political dissident who took refuge there after the massacre
 in the u.s. there are still people who want to crush china and interfere in our internal affairs <unk> <unk> china 's new ambassador to the u.s. said as he left for washington last week
 the house and senate are to begin soon <unk> out an agreement for sanctions legislation
 it will probably be attached to a state department authorization bill which mr. bush is n't expected to veto
 a congressional <unk> involved in <unk> the sanctions says they are likely to mirror those mr. bush enacted shortly after the massacre
 but as legislative action they would carry greater weight and would be more difficult to <unk>
 measures already in effect that are expected to be made law include a ban on military sales and exchanges a suspension of most <unk> government contacts and a halt to u.s. trade <unk> programs such as the overseas private investment corp. and the trade development program
 <unk> those sanctions could prompt chinese <unk>
 if the two sides are n't careful <unk> ties could spin downward out of control says a u.s. official in beijing
 bush and deng are hoping that <unk> heads prevail
 the amount of blood surgical patients can <unk> and store before surgery can be increased by the new genetically engineered drug epo
 epo or <unk> is a protein the human body makes to stimulate the growth of red blood cells
 a genetically engineered version of the human protein developed by amgen corp. of thousand <unk> calif. recently has been marketed by the <unk> pharmaceuticals division of johnson & johnson
 a competing version of epo is being developed by genetics institute inc. in cambridge mass
 the drug is being used primarily to treat <unk>
 a new experiment reported in this week 's new england journal of medicine involved giving <unk> of amgen 's epo to N patients who wanted to store units of their own blood
 the patients began receiving epo <unk> about a month before their scheduled surgery
 they then began donating blood twice a week receiving an epo injection each time
 if tests indicated a low number of red cells blood was n't taken
 the <unk> patients donated an average of N units of blood each compared with only N units donated by a similar group of surgical patients who received a <unk> injection
 the volume of red cells donated by the <unk> patients was N N higher per <unk> the research team representing a number of hospitals and blood banks reported
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 tax shelters called individual retirement accounts or iras were created without fanfare on sept. N N but grew beyond expectations as an <unk> to personal saving
 that labor day in his first major act after succeeding the resigned richard nixon as president gerald r. ford signed the employee retirement income security act
 pension reform was its main thrust
 labor and business leaders quoted at the white house rose garden <unk> hailed its provisions for <unk> corporate pension benefits
 iras were like <unk> there
 the ira 's conception is <unk>
 in N then treasury secretary george <unk> with the key support of sen. carl <unk> sought some form of <unk> for the uncovered
 that year a <unk> group headed by william <unk> in the legislation and regulations division of the office of the chief counsel for the internal revenue service was assigned the task of designing a plan
 they used the N <unk> plan a pension plan created by a new york congressman for the self-employed as a partial model
 this team initially called its new model personal retirement account or <unk>
 but it did n't <unk>
 so they opted for ira naming it after ira cohen a brilliant irs <unk> who helped them
 ira himself confirms this account
 ira rules have been changed over the years
 one in N raised to $ N a year from $ N the amount a person could put <unk> into the <unk> accounts and widened coverage to people under employer retirement plans
 this caused an explosion of ira promotions by brokers banks mutual funds and others
 but in N congress sharply reduced the number of people who could qualify for its benefits and ira <unk> slowed their <unk> growth
 ira account assets have grown to about $ N billion from $ N billion last year and just $ N billion in N
 the soviet state bank announced a N N devaluation of the ruble against the dollar for private transactions in an apparent attempt to curb the nation 's rapidly growing black market for hard currency
 the measure which will take effect next wednesday will create a two-tier exchange rate
 commercial transactions will continue to be based on the official rate of about N rubles to the dollar
 but for soviet citizens who travel abroad for business or tourism the rate will jump to N rubles to the dollar
 tass news agency said the devaluation also will apply to foreigners ' transactions
 but it did n't elaborate and it remains unclear how far western tourists and foreigners living in moscow will be allowed to benefit from the sweeping rate cut
 the current ruble rate has long been out of line with the black market
 as soviet leader mikhail gorbachev has opened up the country to foreign trade the <unk> has become ever greater
 western tourists in the soviet union who could exchange a dollar <unk> illegally for about four rubles a year ago are now being offered N rubles or more
 even at such rates black <unk> have been able to make big profits because of the dire shortage of consumer goods here
 they use dollars to buy western items such as video recorders and personal computers and then sell them at a huge <unk>
 the going rate for a small personal computer that costs about $ N in the west is anywhere from N to N rubles
 even a pack of N western cigarettes can fetch N rubles or more
 with more than N billion rubles in savings accounts and little to spend them on soviet consumers <unk> at the <unk> <unk> prices for such goods but they buy them anyway
 moscow has already <unk> admitted that the ruble is n't worth much announcing in august that it will pay soviet farmers in hard currency for grain and other produce that they grow in excess of <unk> quotas
 the <unk> of the official rate should seem obvious to everyone the afternoon newspaper <unk> wrote in a brief commentary on the devaluation
 the state bank 's move is part of a drive to iron out exchange-rate discrepancies as moscow moves toward making the ruble convertible a goal that soviet bankers and economists say is still far away
 rumors of an impending devaluation have been circulating in moscow for weeks but the size of the cut took many western bankers by surprise
 it 's much bigger than we expected said one german banker who asked not to be named
 the next step which could have a larger effect on businesses will come early next month when the bank for foreign economic affairs is to hold its first auction of foreign currency
 soviet companies <unk> western currencies to buy equipment and supplies abroad will be able to submit bids
 plans for the auction which was supposed to take place last spring and become a regular event have been <unk> by a lack of hard currency
 soviet firms that hold some are unwilling to part with it and joint ventures are n't yet allowed to participate
 the kremlin also has been unwilling to provide hard currency for the auction using a lot of it instead to finance emergency imports of consumer goods
 if foreign tourists and businesses could sell their currencies freely at the new better exchange rate that would enable the state bank to increase its dollar reserves and would <unk> up some of the excess rubles in the economy at the same time
 but the amounts they exchange may be limited most soviet hotels for example demand payment in hard currency from western visitors
 unless other rules are changed the devaluation could cause difficulties for the people it is primarily meant to help soviets who travel abroad
 over the past three years thousands of people here have made use of <unk> travel restrictions to get their first taste of life abroad
 but under current rules they are allowed to change just N rubles into dollars and other currencies for each trip
 at the new rate that would give them about $ N to travel on
 it is n't yet clear whether the <unk> limit will be lifted
 if it is n't the black market for dollars probably will continue to <unk>
 international business machines corp. made news this summer when it landed an unusual contract to manage all of eastman kodak co. 's <unk> needs
 but the computer giant appears to have lost a second key contract with kodak to archrival digital equipment corp
 kodak yesterday confirmed that it has entered negotiations with maynard <unk> digital to manage all of its voice and data communications needs
 kodak based in rochester n.y. said ibm also had bid for the business
 ibm is based in armonk n.y
 the loss is a setback to ibm which pointed to the kodak contract as an example of its success in systems integration
 that 's an emerging business in which computer makers or consultants provide <unk> communications and computing services to major corporations
 a kodak spokesman declined to disclose the potential value of the contract which is still in negotiation
 he said that american telephone & telegraph mci communications corp. rochester telephone corp. and ibm itself would likely be digital 's <unk> on the project
 when we decided to look outside the company for critical <unk> and communications services we wanted to get the best vendor for that service said paul allen the spokesman
 that 's why we went with ibm for data center management and now digital for voice and data telecommunications
 this year is the <unk> anniversary of the federal reserve system and some members of congress think it 's time to take a fresh look at the nation 's central bank
 after N years there may be a few things that are worth <unk>
 the regional federal reserve bank <unk> for instance may be out of date
 in earlier years it may have seemed reasonable to give richmond va. a bank and allow los angeles only a branch of the san francisco bank but times have changed
 maybe the whole regional system is an <unk> the fed after all is a national central bank
 some of the would-be reformers however want to restore an arrangement we once had or at least part of it
 in the beginning the treasury secretary and the comptroller of the currency were both <unk> <unk> members of the federal reserve board
 but in N when congress was trying to find someone or something to blame for the great depression it decided to drop both the secretary and the comptroller from the board
 carter glass a former treasury secretary who was then back in congress probably influenced the decision
 he said that when he was on the board he felt that he had a great deal of power and somehow he did n't think that was a good thing
 times have changed
 rep. <unk> <unk> d. <unk> has introduced a bill in congress <unk> by rep. lee hamilton d. ind. that would put the treasury secretary back on the board
 there is doubt that the change would accomplish much but at least congress as in N would be doing something
 so far no one has suggested putting the comptroller back on the board
 nicholas brady the incumbent treasury secretary is of course aware of the proposal and he does n't like it much
 mr. <unk> has changed tactics dropping the <unk> idea
 that may have pleased the secretary but h. erich <unk> chief economist of the investment firm of <unk> <unk> & co. suggests that mr. brady may figure he already has all the power he needs
 like most treasury secretaries mr. brady takes a keen interest in monetary matters of course
 he was in fact taking an especially keen interest in board matters even before he went to the treasury
 after the october N market crash mr. brady as a private citizen headed a presidential commission that tried to decide what went wrong and what should be done about it
 one of the commission 's recommendations was that a single agency probably the federal reserve should coordinate regulation of all financial markets
 this recommendation might have encouraged a <unk> bureaucrat to try to expand his power but so far federal reserve chairman alan greenspan has n't made a pitch for the job
 the fed has plenty of responsibilities in times of market turmoil and in N and again in N it appears to have handled them well
 mr. brady has said he thought government agencies in the latest market drop were better prepared to coordinate their actions but he has left no doubt that he still likes the ideas the commission advanced nearly two years ago
 in recent weeks moreover mr. brady has joined other administration officials in trying to urge the fed toward lower interest rates
 the urging <unk> has been <unk>
 in an interview with the washington post in early october the secretary said the fed may be slightly more interested in curbing inflation than the administration is while the administration may put slightly more emphasis on spurring economic growth
 at least some economists of course would argue that inflation deserves a lot of emphasis
 earlier this month the st. louis fed held a conference to assess the system 's first N years
 <unk> <unk> a <unk> university economist noted that the fed 's record included the longest most sustained <unk> inflation in our history dating from either N or N to N
 the <unk> argument is an old one but mr. brady on the board or off is surely trying to influence fed policy
 equally <unk> the treasury secretary has <unk> the administration effort to bring the u.s. dollar down by shopping <unk> for west german marks and japanese yen
 the treasury can do something on its own but to have any hope of success it needs help from the fed
 the central bank has been helping but apparently not especially <unk>
 the fed has been <unk> in foreign currency markets all right but through august at least it appeared to be <unk> the intervention
 in other words it was offsetting purchases of marks and yen by buying dollars in the domestic money market
 now <unk> intervention may have some effect
 when traders see the fed is in the exchange market it may make them <unk> a little carefully for fear of what the central bank may do
 but it 's generally accepted that <unk> intervention has little or no lasting impact on currency values
 after august the fed may have stopped <unk> but it 's hard to see much impact on the dollar
 the dollar is still highly volatile
 the fed has let interest rates slip slightly but whether the main reason was dollar intervention the gloomy reports on manufacturing employment or the friday N market drop only mr. greenspan and his associates know
 earlier this year martin <unk> president of the national bureau of economic research argued <unk> that a government that wants steady stable exchange rates might try some steady stable economic policies
 trying to manage exchange rates to some <unk> level he said would mean <unk> monetary and fiscal policies from their <unk> roles and thereby <unk> excessive inflation and unemployment and inadequate capital formation
 the more we think about it the more we suspect mr. brady does indeed have enough power where he already is
 this has been a week of stunning events behind what was once called the iron <unk> and interesting shifts in official american policy toward moscow
 it has also been a week when <unk> washington has had a high old time <unk> over <unk> reagan 's multimillion-dollar <unk> in japan
 the latter may seem oddly irrelevant if not downright <unk> given the big picture and the way we have handled it in the nation 's capital has done nothing to <unk> that impression
 in fact however mr. reagan 's casual <unk> of the office he so recently held raises issues about which americans can actually do something
 our ability to influence the outcome of events in eastern europe and the soviet union is far more marginal
 those events continue to move at a rate and in a direction which leave informed commentary let alone policy far in their wake
 earlier this week soviet foreign minister eduard a. shevardnadze confessed that the u.s.s.r. ignored universal human values by <unk> afghanistan and to put it <unk> engaged in a violation of the abm treaty by building its radar station at krasnoyarsk
 hungary is no longer a socialist peoples republic the communist party no longer has automatic delegates in the u.s.s.r. 's congress of peoples deputies and egon krenz was not backed unanimously by his fellow party <unk> when he took over as east germany 's new maximum leader
 all of that is just for <unk> or so the hundreds of thousands of eastern europeans in the streets seem to hope and are certainly demanding
 of like though lesser note secretary of state james baker put the administration <unk> behind perestroika and glasnost and therefore behind mikhail gorbachev in a pair of carefully <unk> <unk> over the past week or so
 and last but not least president george bush now views the changes in eastern europe as absolutely extraordinary and believes that mr. krenz ca n't turn the <unk> back in east germany because the change is too <unk> as he told the new york times 's <unk> apple jr
 in other words after some highly visible <unk> and public airing of differences the administration has come down on the side of those who believe that what we are <unk> from berlin to <unk> is a good thing to be welcomed rather than a new thing to be feared or viewed with <unk>
 all of this is what history will note assuming that events do n't make it seem a bad joke when the record of this time is put down
 for journalists however who write what they <unk> view as history 's first draft this has also been a week to give a lot of space and time to ron and nancy 's sales appearance in japan on behalf of a communications giant and its controversial founder
 it has been a <unk> transaction this <unk> away of the prestige of the republic 's highest office
 the japanese <unk> has <unk> up at least $ N million the japanese government has put up just about as much or so it is reported and at least one estimate puts the total <unk> at $ N million
 all of which has enabled those of us in washington who enjoy <unk> in such things to go into high public <unk> as mr. apple and i did the other night on abc 's <unk>
 <unk> away we raised what i still think were all the right issues and landed more than one hard blow but at the end of the affair there was just the <unk> nagging worry that we had been aiming at the wrong target
 as one of his defenders so <unk> put it president reagan was simply doing what he had always done before his election and some would say thereafter as well
 he was performing for pay and why should anyone expect anything more
 primarily because there 's more to the matter than ronald reagan 's personal values or lack of them
 selling the presidency for a mess of <unk> is not so much a devaluation from the <unk> of public life today as it is a reflection of the <unk> of public standards
 the theme song for the 1980s has been anything goes and it has been <unk> with <unk> from wall street to some of the highest <unk> of <unk>
 there are those who say that this is nothing new that america has always suffered from a bad case of <unk> when it comes to the <unk> between what is <unk> and what is practiced
 there is evidence to support that view
 <unk> years ago william james wrote to <unk> wells the moral <unk> born of the exclusive <unk> of the <unk> <unk> success that with the <unk> cash interpretation put on the word success is our national disease
 but if it was the national disease in N it is today the national <unk>
 if there is no law against it do it
 if the law leaves <unk> use them
 if there is no moral prohibition that <unk> <unk> it full speed ahead
 and if you are caught or if people complain simply argue that everyone does it or no one said i should n't and <unk> it out
 as a last <unk> when all else has failed and you are <unk> <unk> for having disappointed those who trusted you but deny having actually done anything wrong
 see for instance jim bakker 's remarks upon being sentenced to prison this tuesday for <unk> the <unk>
 consider the troubling <unk> between mr. shevardnadze 's speech of <unk> this week and the <unk> defense of everyone concerned with the iran-contra affair
 the soviet foreign minister publicly concedes that his government violated <unk> of behavior in afghanistan and just plain <unk> about the radar station
 we have people in high place still lying through their teeth about iran-contra and that apparently is n't going to change
 for that matter those long ago identified as <unk> are still given <unk> hearings in the press
 that is the key to the current national disease
 no one seems willing to hold anyone in public life to a standard higher than the <unk> construction of the law
 the <unk> media <unk> hunt about some politician 's private <unk> notwithstanding the general <unk> is to offer a version of the old <unk> who am i to judge
 thus no standards no judgment and no values
 you are mad because he 's making so much money say president reagan 's defenders
 no we ought to be mad because he has <unk> the office we gave him <unk> it in the service of private gain just as we ought to be mad that public officials lie through their teeth play <unk> games about their activities or to steal a phrase make public service a private trough
 i 'm not going to be <unk> into <unk> to any of this president bush told mr. apple in this week 's interview
 he was referring to the absolutely extraordinary events in eastern europe and it is a <unk> position
 but there is no defense at all for the <unk> of the 1980s
 we did n't <unk> into it we <unk> and slipped down the long <unk> and now we have as its <unk> symbol a former president <unk> for a foreign <unk>
 or perhaps that is a <unk> symbol for the united states of N everything for sale nothing of real value
 mr. carter is a political <unk> who heads a television production firm
 cineplex odeon corp. directors said the company 's chairman and chief executive <unk> drabinsky is considering bidding N million canadian dollars us$ N million to acquire the company
 the board said mr. drabinsky and vice chairman <unk> <unk> are negotiating financing before offering c$ N a share to acquire all of cineplex 's shares outstanding
 the directors added that the two executives have n't reached a final decision to proceed with a bid and that until an offer is made the board will continue seeking higher offers from other bidders
 the directors said if messrs. drabinsky and <unk> mail an offer to shareholders by nov. N it will reimburse them a maximum of c$ N million for expenses related to a bid
 we consider that his bid is an acceptable bid said <unk> <unk> spokeswoman for the independent directors ' committee appointed last may to <unk> and review bids for the company in the wake of a dispute between mr. drabinsky and cineplex 's major shareholder mca inc
 mca and cineplex 's other major shareholder <unk> financier charles bronfman and his associates have agreed to tender their holdings to an offer by mr. drabinsky unless a higher offer is made by another bidder
 mca holds half of cineplex 's equity and N N of its voting rights through restricted voting shares while bronfman interests hold about N N of the company 's equity
 ms. <unk> said the committee had received other bids
 she declined to identify other bidders but said mr. drabinsky 's offer is all cash and it 's for all of the company
 several cineplex analysts have speculated that outside bids received by the committee were either <unk> low or for only part of the company
 all this has really established is that mca and the <unk> have agreed on a price at which they can be bought out said <unk> <unk> an analyst with <unk> <unk> in los angeles
 if a bid <unk> at that price shareholders will have every reason to be glad but the question of financing still remains
 last april mr. drabinsky and a group of financial backers planned to acquire up to N N of cineplex for c$ N a share from bronfman associates
 mr. drabinsky who would have had the right to vote those shares for two years said the purchase subsequently rejected by regulators was aimed at consolidating his control of the company
 mca strongly opposed the drabinsky group 's move
 the directors did n't indicate the source of financing for mr. drabinsky 's new proposal but said mca and the bronfman associates agreed in principle to buy for $ N million and then lease back to cineplex its <unk> theater complex in universal city calif. if mr. drabinsky succeeds in an offer
 this is being done at the suggestion of mr. drabinsky and to accommodate him to facilitate his financing arrangements ms. <unk> said
 in addition the directors said if a bid by mr. drabinsky is successful cineplex expects rank <unk> plc to acquire the N N of cineplex 's film house unit it does n't own and provide mr. drabinsky with additional loan financing
 michael <unk> rank 's chief executive said the british theater chain 's total involvement would n't exceed $ N million but declined to give a breakdown between the loan financing and the proposed film house purchase
 cineplex shareholders responded <unk> to yesterday 's announcement
 in trading on the new york stock exchange cineplex closed at $ N down N cents with more than a million shares changing hands
 on the toronto stock exchange cineplex closed at c$ N off N canadian cents well below the c$ N level
 where 's the bid asked pierre <unk> an analyst and broker with toronto securities dealer <unk> st. lawrence ltd
 mr. <unk> said he does n't think messrs. drabinsky and <unk> are anywhere close to arranging financing and that investors will need a solid offer before the stock begins to rise again
 mr. drabinsky could n't be reached for comment
 two west german chemical companies announced steps that apparently are designed to boost the chemical industry 's standing among environmental groups and the general public
 hoechst ag 's chairman <unk> <unk> said the company wants to have a substitute product to completely replace <unk> chlorofluorocarbons by N
 in april hoechst the largest producer of cfcs in west germany said it wanted to reduce production of the product by N N by N
 mr. <unk> said hoechst will invest N million marks $ N million in a plant to make a substitute product it has developed that it says is <unk>
 the company hopes the new plant likely to be built in frankfurt will be able to produce N tons a year
 this year hoechst will produce about N tons of cfcs in factories in frankfurt spain and brazil
 of hoechst 's N billion marks in group sales in N N million marks came from sales of cfcs
 also <unk> ag another large chemicals company said it formed a separate division that will study the environmental impact of plastics and will investigate all possibilities of recycling plastics
 george l. <unk> N years old senior vice president of texas eastern corp. was elected a group vice president of this <unk> concern
 mr. <unk> who succeeds retiring richard c. <unk> will be responsible for gas supply regulatory affairs and marketing and transportation and exchange for <unk> eastern pipe line co. <unk> gas co. texas eastern transmission corp. and <unk> gas transmission co
 all of the companies are units of <unk> eastern corp. which acquired texas eastern corp. earlier this year
 <unk> coors co. said its coors brewing co. unit will test market a new line of bottled water in the west beginning early next year
 the move which was expected marks the first time since prohibition that coors has sold a <unk> beverage and marks the company 's entry into a crowded but fast-growing market that generated about $ N billion in sales last year
 coors is hoping to become one of the first companies to distribute bottled water nationwide
 <unk> sold by <unk> group of america a unit of source <unk> s.a. of paris and <unk> sold by a u.s. unit bsn of france are distributed to urban areas nationally but are less available in rural communities
 coors with its large <unk> network could <unk> more markets
 the company said the water will be called coors rocky mountain <unk> water and will come from the same mountain spring as water used in coors beer
 the company said it will sell the water plain and with <unk> and cherry <unk> and will package it in <unk> bottles and N ounce bottles as part of <unk>
 the test markets though not specified will be in northern california arizona and colorado some of the hottest <unk> markets
 some of america 's biggest trading partners gave a quick <unk> to a u.s. proposal to <unk> world trade and reduce <unk> subsidies
 in geneva where world trade talks are being held under the general agreement on tariffs and trade or gatt the european community called the u.s. proposal a step <unk>
 and japan 's minister of agriculture <unk> and <unk> told a committee of japan 's parliament that washington 's proposal was <unk> and that tokyo would continue to heavily subsidize its rice farmers
 the u.s. in a far-reaching plan submitted to the geneva meeting tuesday proposed curbing price support subsidies within N years and eliminating export subsidies within five years
 u.s. officials said the plan was flexible and was intended as a <unk> approach for gradually removing <unk> subsidies
 but the ec reacted <unk> arguing that the proposal 's main aim is to destroy the common agricultural policy the ec 's $ N <unk> price support program
 the american proposal is not an adequate basis for negotiation the ec said in a statement
 ec officials say they are <unk> that the u.s. has set a specific timetable and is insisting on the elimination of export <unk> not just reduction
 ec agriculture commissioner ray <unk> said the u.s. plan calls into question the agreement reached by world negotiators last april in geneva seeking substantial <unk> reductions in agricultural support and protection
 u.s. deputy trade representative <unk> katz replied that the proposal was entirely consistent with the april accord
 he said he was surprised by the ec 's reaction calling it <unk> even <unk>
 the u.s. proposal also was criticized by <unk> developing countries who said that the u.s. made no special <unk> for poor nations
 while many experts argue that <unk> nations would eventually become <unk> in a free-market system the poorest nations are likely to need help in the meantime
 ambassador katz said the u.s. was open to discussing particular problems of developing countries
 the u.s. administration said its plan would allow considerable flexibility in determining how and when the <unk> goals would be achieved
 the u.s. argues that its plan would ease the transition to <unk> agriculture trade by converting certain <unk> barriers into tariffs that together with existing tariffs then would be phased out over N years
 but the ec is strongly opposed to converting agricultural supports into tariffs
 the new u.s. package also says countries could temporarily raise tariffs on certain products if they experience an unusually heavy volume of imports
 it would establish procedures to prevent countries from using health and <unk> rules to <unk> trade <unk>
 seeking to <unk> european concerns u.s. agriculture secretary <unk> <unk> said in washington that the new u.s. plan would n't put farmers out of business but would encourage them to grow what the markets desire instead of what the government wants
 the ec with a population of N million has N million farmers while the u.s. with a population of about N million has only two million farmers
 japan 's objections to the u.s. plan center around its desire to stay <unk> in rice a <unk> food even though foreign producers are far more efficient
 bell atlantic corp. said it agreed definitively to acquire one of control data corp. 's <unk> businesses
 terms of the accord were n't disclosed
 control data 's <unk> maintenance unit services products primarily made by digital equipment corp. and international business machines corp
 the unit has N customers and according to one analyst had N revenue of about $ N million
 under the agreement which had been widely expected bell atlantic would be buying control data 's customer base and its approximately N u.s. maintenance facilities in about N cities
 however control data would continue to provide maintenance services for customers of its <unk> product line
 the unit represents a small portion of <unk> control data 's overall <unk> business which last year posted sales of about $ N million
 earlier this year the company sold a similar unit in europe for about $ N million
 lawrence perlman control data 's president and chief operating officer said the maintenance business no longer fits into the company 's strategy to be a data solutions company
 thomas <unk> president of bell atlantic 's customer services division said the acquisition would give the company 's <unk> <unk> unit added expertise in the increasingly sophisticated workstation and high-end mainframe technologies
 two recent decisions by federal courts cast judges in the odd role of telling authors how they should write history and <unk>
 these decisions deserve more attention than they have received from scholars and from journalists as well
 russell miller 's bare-faced messiah the true story of l. ron hubbard is a <unk> of the founder of the church of <unk>
 mr. hubbard who died in N <unk> the <unk> on his <unk> to his church which licensed them to new era publications a <unk> corporation
 in N new era sought a permanent injunction to restrain henry holt & co. from publishing bare-faced messiah on the ground that mr. miller 's quotations from mr. hubbard infringed the <unk>
 the publisher argued in response that the fair use statute permits <unk> for purposes such as criticism comment news reporting teaching <unk> or research
 district court judge pierre leval denied the injunction on the ground that new era had failed to make its claim within a reasonable time the doctrine lawyers call <unk>
 as for the merits judge leval said that mr. miller had written a serious book of responsible historical criticism
 <unk> <unk> the judge believed was justified in order to prove points the author had asserted about mr. hubbard <unk> <unk> <unk> and other <unk> <unk> that could not be <unk> demonstrated without use of mr. hubbard 's own words
 the <unk> judge leval wrote should not be required simply to express conclusions without defending them by example
 in such circumstances <unk> interests <unk> the interests of the copyright owner
 but judge leval felt <unk> by an earlier decision of the second circuit court <unk> a <unk> of <unk> salinger to quote from mr. salinger 's personal letters
 he distinguished the two cases in salinger judge leval noted the quotations were for the purpose of <unk> the <unk> rather than of proving points about the subject
 still the salinger decision created a strong <unk> against fair use of unpublished materials
 judge leval <unk> concluded that a few of mr. miller 's quotations from mr. hubbard 's unpublished <unk> because they were not necessary to prove historical points failed the <unk> test and therefore infringed copyright
 but the proper remedy judge leval said lay in a suit for damages not in an injunction
 the case went on appeal to the second circuit
 in a decision in april of this year judge roger <unk> joined by judge frank <unk> agreed on denying the injunction and did not doubt that bare-faced messiah was a serious work but rejected judge leval 's argument that the public interest in <unk> could outweigh the <unk> of copyright
 we conclude the two judges wrote that <unk> is the sole bar to the issuance of an injunction
 had the suit been filed in time they said bare-faced messiah would have been <unk>
 this was too much for james oakes the court 's chief judge
 in a powerful separate opinion judge oakes further distinguished the salinger case by pointing out that a living person like mr. salinger had privacy rights that did not apply to a dead man like mr. hubbard
 i thought that salinger might by being taken in another <unk> context come back to <unk> us
 this case <unk> that concern
 decisions by the second circuit itself judge oakes continued had recognized that public interest in the subject matter and the <unk> in particular cases of <unk> quotations are vital components of fair use
 and the injunction judges <unk> and <unk> would so readily have granted had new era sued in time
 <unk> of the book judge oakes observed would operate as a prior restraint and thus involve the first amendment
 moreover and here judge oakes went to the heart of the question responsible <unk> and <unk> constantly use primary sources letters <unk> and <unk>
 indeed it would be irresponsible to ignore such sources of information
 now scholars in <unk> their responsibility do not claim the right to <unk> every collection of papers that bears upon their topics of investigation
 and of course they agree that people can impose restrictions on the use of their papers whether in their own <unk> or as donated or sold to <unk>
 but in the bare-faced messiah case the author found most of his material in court records or via the freedom of information act
 and when responsible scholars gain legitimate access to unpublished materials copyright should not be permitted to deny them use of quotations that help to establish historical points
 judges oakes and leval understand the requirements of historical <unk>
 judges <unk> and <unk> do not appear to have a clue
 yet at the moment they are the judges who are making the law
 as matters stand the salinger ruling torn from context and broadly <unk> is controlling
 if an author quotes more than minimal amounts of unpublished <unk> materials as the salinger decision had it he deserves to be <unk>
 the courts have not defined minimal amounts but publishers i understand take it to mean about N words
 the bare-faced messiah decision strikes a blow against the whole historical enterprise
 a second decision handed down in august by the court of appeals for the ninth circuit is another blow against <unk>
 <unk> malcolm a professional writer on psychiatric matters wrote a series of articles for the new yorker later published in book form by <unk> under the title in the <unk> <unk>
 the articles were largely based on interviews ms. malcolm had taped with jeffrey masson a <unk> who had served as projects director of the <unk> <unk>
 mr. masson then brought a libel suit against ms. malcolm the new yorker and <unk>
 as a public figure mr. masson had to prove <unk> and as proof of <unk> mr. masson contended that <unk> quotations <unk> to him by ms. malcolm were in fact <unk>
 the quotes could not be found on the tapes and the two judges who decided the case for ms. malcolm and her publishers conceded that for the purpose of their decision we assume the quotations were deliberately altered
 for all <unk> and most journalists this admission would have been sufficient to condemn the malcolm articles
 but judge arthur <unk> joined by judge cynthia <unk> hall took the <unk> position that it is perfectly ok to <unk> quotations so long as a judge finds that the <unk> do not alter <unk> content or are rational <unk> of <unk> remarks
 in his <unk> dissent judge alex <unk> observed that when a writer uses <unk> marks in reporting what someone has said the reader assumes that these are the speaker 's precise words or at least his words <unk> of <unk> and you know and <unk> error
 while judges have an obligation under the first amendment to <unk> freedom of the press the right to deliberately alter quotations is not in my view a <unk> of a free press
 ms. malcolm for example wrote that mr. masson described himself as the greatest analyst who ever lived
 no such statement appears on the tapes
 the majority cited mr. masson 's remark it 's me alone against the rest of the <unk> world as warrant for the malcolm fabrication
 but as judge <unk> noted the context shows that mr. masson 's me alone remark referred not to his alleged <unk> in his profession but to the fact that his position on a particular issue was not shared by anyone else
 ms. malcolm had mr. masson describing himself as an intellectual <unk>
 again no such statement appears on the tapes
 the majority decision contended that the phrase was a rational interpretation of mr. masson 's <unk> of himself as a private asset but a public liability to <unk> <unk> and that in any case it was not <unk>
 judge <unk> found the <unk> entirely <unk> and writes that for an academic to refer to himself as an intellectual <unk> is a devastating admission of professional dishonesty
 these were only two of a series of <unk> that had in judge <unk> 's words the cumulative effect of making mr. masson appear more arrogant less sensitive <unk> more <unk> and less in touch with reality than he appears from his own statements
 as robert <unk> wrote in a review of ms. malcolm 's book mr. masson emerges as a <unk> <unk> and in the end a <unk> fool
 but it is not <unk> malcolm who calls him such his own words reveal this psychological profile
 we now know that the words were not always his own
 there is one <unk> rule of journalism john <unk> has said
 the writer must not <unk>
 should the green light judges <unk> and hall have given to the fabrication of quotations become standard practice it will notably reduce the value of journalism for <unk> and for citizens
 as judge <unk> put it to <unk> the right to deliberately <unk> what someone else has said is to <unk> the right to lie in print
 masson has lost his case but the defendants and the profession to which they belong have lost far more
 the historical profession will survive these decisions
 perhaps in time the supreme court will correct them
 but writing history is tough enough without judges <unk> throwing obstacles in the scholar 's path
 mr. <unk> is albert <unk> professor of the <unk> at the city university of new york and a winner of <unk> prizes in history and <unk>
 <unk> <unk> N years old senior vice president marketing at <unk> entertainment inc. was named president of capitol records inc. a unit of this entertainment concern
 mr. <unk> succeeds david <unk> who resigned last month
 legal <unk> in america have a way of assuming a <unk> significance far exceeding what is involved in the particular case
 they speak volumes about the state of our society at a given moment
 it has always been so
 in the 1920s a young <unk> john t. <unk> <unk> to be a guinea <unk> in a test case sponsored by the american civil <unk> union to challenge a ban on the teaching of evolution imposed by the tennessee legislature
 the result was a <unk> trial <unk> <unk> cultural conflicts in american life between the smart set whose spokesman was <unk> <unk> and the <unk> <unk> whom <unk> <unk> as <unk> <unk>
 few now recall the actual outcome <unk> was convicted and fined $ N and his conviction was reversed on appeal because the fine was excessive under tennessee law
 so it was with the <unk> case a generation later when <unk> <unk> became a <unk> rod for the <unk> of the cold war and <unk> attitudes toward the new deal he had served
 his trials aroused public <unk> out of all proportion to the rather <unk> secrets he allegedly had passed to soviet intelligence
 and so it seems to be with the case of elizabeth morgan the washington d.c. plastic surgeon jailed in a child custody case for refusing to reveal the <unk> of her daughter
 dr. morgan has just emerged from the d.c. jail after more than two years ' <unk> for <unk> of court a <unk> to her many supporters
 to the rest of us the case is a <unk>
 it is what lawyers call fact intensive
 it presents no great issue of legal principle no <unk> question of family law or the law of <unk>
 instead it turns on the disputed and <unk> facts of who did what to whom
 it is difficult if not impossible for anyone who has not <unk> over the thousands of pages of court <unk> and <unk> to have a <unk> opinion on the underlying merits of the controversy
 certainly i do not
 so we must look elsewhere for an explanation of the unusual power this case has <unk> over the minds of many not just in washington but elsewhere in the country and even the world
 i suggest that three themes have come together in the strange case of dr. morgan
 the first is that it represents an intense battle in what james <unk> used to <unk> as the war between the <unk>
 but although <unk> did so gently and <unk> many of dr. morgan 's supporters have taken <unk> 's <unk> title the male animal quite literally
 the <unk> of the <unk> aroused by the case <unk> to its <unk> importance in the war that <unk> accepted as an <unk> part of the human condition
 a second theme is the <unk> of social class and race in the public reaction to the morgan case
 dr. morgan is a highly educated white professional who attended some of the best schools
 as members of the black <unk> in congress asked during the debate on the legislation that freed dr. morgan does anyone seriously believe that if she were an <unk> black <unk> woman congress would have rushed to pass a private relief bill <unk> her
 or that the president would have <unk> to sign the bill out of <unk> for her plight
 to ask those questions is to answer them
 finally the case of dr. morgan gave congress an opportunity to act with <unk> <unk> and to engage in one of its favorite <unk> <unk> the district of columbia government
 the local government is <unk> in the eyes of many residents for a variety of reasons and congressmen read the same newspapers and watch the same tv <unk> as other people in the area do
 <unk> the d.c. government is <unk> for members of congress who do not have to answer to their own constituents for it
 congress is <unk> from acting on such great issues of the day as the federal budget deficit
 yet a bill tailored to the interests of a single individual passed congress with almost <unk> speed before the judicial process had run its course and indeed while the morgan case was awaiting a ruling by the appellate court
 the morgan case thus tells us much more about the current state of sex class race and politics in our society than it does about the facts of dr. morgan 's particular situation
 it may stand as a <unk> for how wide and deep the divisions in that society continue to be however we try to deny their existence
 mr. <unk> is a lawyer in washington <unk>
 the national aeronautics and space administration said it awarded general dynamics corp. a $ N million contract to launch the combined release and radiation effects satellite in june N
 <unk> is a joint <unk> force satellite to study the effects of space radiation on <unk> components
 nasa said general dynamics will launch <unk> using an atlas N rocket
 ronald j. taylor N was named chairman of this insurance firm 's reinsurance brokerage group and its major unit <unk> <unk> & son inc
 robert g. <unk> N retired as chairman but will remain a consultant
 stephen a. crane N senior vice president and chief financial and planning officer of the parent was named president and chief executive of the brokerage group and the unit succeeding mr. taylor
 the appointments are effective nov. N
 <unk> said it will announce a successor to mr. crane at a later date
 an investment company said it offered to acquire arby 's inc. the fast-food operator for $ N million
 the proposal however was immediately rebuffed by arby 's parent <unk> corp
 arby 's is n't for sale said <unk> <unk> senior vice president at <unk>
 the new suitor <unk> equity ventures inc. of <unk> n.y. characterized its proposal as the first truly independent offer which does not pit one interest group against another within the arby 's franchisee community
 in september <unk> a miami beach fla. holding company controlled by <unk> victor posner rejected an offer from a group of arby 's franchisees to acquire arby 's for $ N million
 since then a second group of franchisees has <unk> together to try to <unk> control of the unit from mr. posner
 arby 's is the marketing <unk> and service company for the N restaurants in the chain
 <unk> 's principals richard and steven <unk> said they led the acquisition group that acquired the nathan 's famous inc. restaurant chain and subsequently served as the top officers of the company
 richard <unk> said <unk> 's acquisition of arby 's would allow <unk> franchisers and <unk> operators with no conflicts of interest to stabilize franchisee relations and properly <unk> the company 's <unk> toward growth
 general motors corp. 's big defense and automotive electronics unit gm hughes electronics said net income fell N N in the third quarter reflecting declining military spending and <unk> gm vehicle production
 meanwhile net at gm 's finance arm general motors acceptance corp. fell N N
 by contrast electronic data systems corp. gm 's data processing subsidiary boosted net N N
 gm closed down $ N at $ N in new york stock exchange trading yesterday
 earnings for gm common stock reflecting the performance of gm 's core automotive operations will be disclosed this morning
 gm class <unk> which represents a dividend interest in hughes earnings closed at $ N up N cents in big board composite trading
 gm class e which represents a dividend interest in <unk> profit fell N cents to $ N on the big board
 the earnings drop at gm hughes electronics is a sign of tough times at both the defense operations of hughes aircraft co. and gm 's north american automotive operations which are a primary customer for the <unk> electronics corp. side of the gm hughes unit
 profit at the unit fell to $ N million or N cents a share from $ N million or N cents a share largely because of a $ N million one-time charge associated with hughes 's previously announced plan to reduce employment by at least N people by year end
 even excluding the charge however net fell N N
 in addition gm 's north american vehicle production fell N N from a year ago which hurt <unk> electronic 's earnings a company spokesman said
 that decline was reflected in revenue for the gm hughes unit which edged down to $ N billion from $ N billion
 in the nine months gm hughes net fell N N to $ N million or $ N a share from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 at gmac net dropped N N to $ N million from $ N million
 the finance unit attributed the decline to higher borrowing costs compared with a year earlier
 gmac said its automotive financing and leasing business rose N N in the u.s. largely because of dealer and customer incentives used to boost sales
 gmac profits are combined with earnings from the rest of gm 's operations and attributed to the company 's traditional common stock
 in the first nine months gmac 's earnings fell N N to $ N million from $ N million
 at <unk> third-quarter profit jumped N N to a record $ N million or N cents a share from $ N million or N cents a share
 revenue rose N N to $ N billion from $ N billion
 in the nine months <unk> earned $ N million or $ N a share up N N from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 revenue from <unk> accounts was N N of <unk> 's total business in the latest nine months compared with N N a year earlier
 the company has said it wants to boost <unk> revenue to at least N N of its total business by the end of N
 william c. <unk> jr. N years old was elected a director of this <unk> <unk> concern expanding the board to N members
 alvin w. <unk> director of oak <unk> national laboratory oak <unk> tenn. was elected a director of this <unk> concern
 mr. <unk> N years old succeeds william <unk> who died in august
 in the bidding war for public service co. of new hampshire united illuminating co. raised its proposed offer to one it valued at $ N billion from $ N billion apparently <unk> all other bidders
 the bids remain subject to evaluation by the federal bankruptcy court <unk> ps of new hampshire 's reorganization
 they are also indirectly subject to approval by the state of new hampshire where residents fear soaring rates to pay for the cost of reorganization
 each of the four parties bidding for ps of new hampshire proposes a complex financial package to satisfy creditors and shareholders and also proposes a formula to limit rate increases to satisfy the state
 the new round of bidding would seem to complicate the decision making for judge james <unk> the bankruptcy judge overseeing the case because the company 's stockholders unsecured creditors and regulators each are currently backing different plans
 in addition some of the proposals are so close that <unk> issues such as timing may play a more important role
 the unsecured creditors agreed in principle to support new haven <unk> united illuminating 's new bid
 they previously had backed an internal reorganization plan proposed by ps of new hampshire
 all of the bidders <unk> full payment including interest to secured creditors
 united illuminating 's plan however offers more for unsecured creditors
 <unk> <unk> counsel to the official creditors committee said that under the united illuminating plan unsecured creditors would be paid in full credits and interest of about $ N million accrued before ps of new hampshire 's jan. N filing for bankruptcy court protection
 in addition they would receive some $ N million in payments for interest since then
 mr. <unk> said that by next july they would have accrued unpaid interest equal to $ N million
 other plans generally would n't pay unsecured creditors ' interest accrued since the filing
 under united illuminating 's plan a new holding company would be formed to own the two companies
 it would be <unk> by united illuminating holders and <unk> by current holders of ps of new hampshire preferred and common stock
 ps of new hampshire preferred holders also would get certain debentures and preferred stock
 united illuminating said the preferred holders total package would equal about N N of their claims
 common shareholders would end up owning about N N of the combined company
 as previously reported northeast utilities hartford conn. monday filed a bid it valued at $ N billion
 that offer was endorsed by the shareholders committee
 the other bidders new england electric system <unk> mass. and ps of new hampshire did n't change the value of their bids although ps of new hampshire changed its rate proposal
 new england electric values its offer at $ N billion and ps of new hampshire values its reorganization plan at $ N billion
 the bankruptcy judge has ruled that federal bankruptcy laws could be used to <unk> state regulation
 however creditors and bidders alike concede that the state plays a major role because it could significantly delay final settlement of a plan it did n't like
 the state has endorsed the new england electric plan which promises to limit rate increases to N N annually for seven years
 northeast utilities ' plan proposes N N annual increases
 ps of new hampshire amended its plan to call for two years of N N rate increases followed by five years of N N increases
 fuel cost adjustments could change the effective rate increases however
 previously it had proposed seven years of N N increases
 united illuminating also amended its rate plan
 the new offer assumes just five years of N N rate increases to be followed by <unk> increases under the usual hearing procedure
 previously united illuminating had also called for seven years of N N increases
 the bids and rate proposals generally assume the seabrook nuclear power plant which is completed will go into operation
 most of the plans have reduced bids in case the plant fails to get a license from the nuclear regulatory commission
 in new york stock exchange trading ps of new hampshire 's N N debenture due N closed yesterday at $ N up $ N
 the utility 's stock closed at $ N a share up N cents in composite trading on the big board
 in a separate development ps of new hampshire gave N managers severance agreements that would pay one to three years ' salary if their jobs were changed or they were dismissed in the wake of a takeover
 it said the maximum cost of the plan would be $ N million
 c. <unk> tucker will become president and chief executive officer of bell atlantic international inc. a unit of this telecommunications concern effective jan. N
 mr. tucker N years old is currently vice president and chief operating officer of bell atlantic 's <unk> telephone unit
 mr. tucker will succeed <unk> j. <unk> N who will hold the newly created position of chairman of the international unit until his retirement april N
 richard breeden had n't noticed that his new desk had just four telephone lines and one phone
 it was after all only his second full day as chairman of the securities and exchange commission
 but the lack of lines became painfully apparent
 as the stock market <unk> into a 190-point free fall on oct. N mr. breeden found himself <unk> around the sixth floor of the sec from his desk where the new york stock exchange was on an open line to his assistant 's office where the commodity futures trading commission was connected to a third room where a computer monitored market moves
 with other anxious calls pouring in he recalls i 'd either have to <unk> the new york stock exchange or go out to the secretary 's desk
 it wo n't happen again
 now there are more lines connected to the chairman 's office and the <unk> computer has been moved next to his desk
 it 's all part of a new command center
 the changes in the office <unk> illustrate mr. breeden 's stance as the nation 's top securities regulator
 like his predecessor david <unk> he was faced with a crisis in the stock markets soon after coming into office
 but unlike mr. <unk> who during the N crash damaged himself by saying rather <unk> that the markets might be closed mr. breeden is turning the market drop to his own advantage using it to further his agenda for the sec
 in an interview and in congressional testimony he repeatedly points to the recent 190-point plunge in the dow jones industrial average the second-largest ever as evidence of the need for congress to give the sec the ability to better monitor leveraged buy-out loan activity by brokerage firms and to track big trades in the market
 a veteran of another financial crisis the savings-and-loan bailout mr. breeden wants to have the sec regulate securities issued by banks and s&ls
 more broadly he wants to modernize regulation by eliminating barriers between commercial and investment banking and by helping u.s. financial firms compete in the global market
 he believes the tax code encourages the use of debt instead of stock and may fuel leveraged buy-outs an area the sec does n't regulate directly but one where it <unk> influence both on wall street and in congress
 also unlike mr. <unk> mr. breeden appears to be in a position to get somewhere with his agenda
 as a former white house aide who worked closely with congress he is <unk> in the ways of washington
 what 's more the coming months likely will offer him the opportunity to obtain his own majority on the <unk> commission enabling him to avoid the <unk> that frustrated his predecessor
 but mr. breeden a <unk> securities lawyer has <unk> some of the <unk> issues facing the financial markets
 for instance he has n't stated a clear position on high-risk high-yield junk bonds an area of growing concern as turmoil in the junk market <unk> over into stocks
 he may be waiting to see the results of several pending sec studies of junk market liquidity and disclosure rules
 he also has kept a close wrap on the names of people under consideration for the crucial post of enforcement director at the commission a job vacant since the summer
 mr. breeden 's selection will be <unk> as an important signal about the strength of his commitment to continuing the sec 's <unk> pursuit of insider trading and market manipulation on wall street
 congress seems likely to let the new chairman have his way for a while
 members of the senate banking committee know mr. breeden from working on the <unk> bill and the relationship generally remains warm
 indeed during mr. breeden 's confirmation hearing last month senators asked him to introduce his children three separate times more often than they asked about his <unk> for the job
 these days mr. breeden is winning <unk> in washington and on wall street for his <unk> role in monitoring the friday-the-13th market plunge and the following monday 's <unk> morning session
 as a regulator charged with restoring investor confidence mr. breeden avoided making <unk> comments and worked to gather information critical to wall street and to other government agencies
 not everyone has jumped on the breeden <unk> however
 some in washington contend that it 's too soon to tell whether mr. breeden will help or <unk> the sec
 i do n't think this was a real test says one congressional aide
 it was a fairly <unk> weekend but my sense is if you had n't had richard breeden there it would n't have made much of a difference
 for some at the sec an agency that <unk> its independence mr. breeden may be too much of a washington insider
 they note that he has <unk> his office with five photos of george bush one of them featuring the first dog <unk>
 they worry that mr. breeden also will roll over when told to do so by the white house
 but mr. breeden already has shown an eagerness to run the sec his way
 during the monday market rebound a new york exchange spokesman told cable news network viewers that the industrial average had turned down N points
 stunned mr. breeden turned to his <unk> computer which by then was next to his desk
 it showed the <unk> up N points
 sec staffers soon determined that a widely watched stock-market service quotron had <unk> the industrial average
 mr. breeden instructed sec staffers to inform the network that it was airing the wrong number
 it was the plunge that did n't happen he says
 mr. breeden also is trying to use a far more catastrophic event the california earthquake to move another rule change past congress
 that disaster closed the pacific stock exchange 's stock <unk> operation forcing those options to be switched to other exchanges temporarily
 though <unk> to most investors the question of whether to list options on more than one exchange has aroused much interest in congress mainly because regional exchanges fear the change could bankrupt them
 congressmen raised the issue yesterday at a hearing
 mr. breeden not missing a chance to press his agenda cited the earthquake
 that event he contended simply shows the <unk> of having listings on only one exchange
 in a corner of the <unk> new nippon convention center sits mazda motor corp. 's <unk> display
 the highlight a <unk> control system
 with the touch of a <unk> drivers can choose from <unk> <unk> mint or <unk> <unk> all <unk> in through the car 's <unk> system
 the soft <unk> <unk> will improve ride comfort the display <unk> and a proud employee says mazda hopes to move the system out of the lab and into its cars in a year or two
 welcome to the <unk> tokyo motor show
 here you can find mitsubishi motors corp. <unk> a live fish <unk> a truck <unk> to an <unk> on wheels and nissan motor co. with its <unk> <unk> whose doors <unk> upon recognizing the owner 's <unk>
 <unk> motor co. 's <unk> sport vehicle features a <unk> rear <unk> and invites drivers to go back to the nature
 but this <unk> event the world 's largest display of cars and trucks has its serious side including the first major <unk> of future engines and <unk> systems
 it 's also the prime <unk> for a country whose world dominance in the industry is increasingly acknowledged and <unk> lies the draw
 even the biggest auto shows in the u.s. are largely regional affairs but the tokyo show is international
 virtually every automotive analyst in new york showed up
 <unk> flights were booked solid this week as motor city executives including ford motor co. chairman donald e. <unk> and chrysler corp. vice chairman gerald <unk> <unk> to see the future
 even the soviet union came for the first time in N years to show off its <unk> <unk> sedan and its <unk> <unk> <unk> model
 here 's a <unk> look at what the japanese hosts <unk> and what the foreign visitors saw
 new technology
 the hottest displays were items that <unk> passengers from <unk> <unk> and other <unk> of the road
 these active suspension systems electronically sense road conditions and adjust a car 's ride
 existing suspension systems try to absorb <unk> but active suspension provides power to counter the <unk>
 nissan in a <unk> <unk> modestly compares its <unk> active suspension to a <unk> and <unk> the various parts to the animal 's heart brain nerves and blood vessels
 toyota motor corp. <unk> touted its system in a car that <unk> in half to reveal the suspension 's inner workings
 nissan says it will introduce its first system next month on the infiniti <unk> luxury sedan and toyota 's <unk> <unk> will go on sale with the suspension device next spring
 but drivers in the u.s. must wait the japanese for now are keeping active suspension for domestic use only
 and detroit 's big three auto makers say their systems are still under development
 in the engine department several companies displayed experimental models that within a decade could provide power equal to today 's engines and yet take up only half the space allowing for shorter <unk>
 in the so-called <unk> engines which are expected to get sharply higher gas <unk> each <unk> goes up and down only once to provide power
 by contrast the <unk> in conventional <unk> engines must move up and down twice in each power cycle
 the <unk> engine displays by toyota and fuji heavy industries the maker of <unk> cars drew plenty of interest from u.s. auto executives who are rushing to develop <unk> engines
 honda motor co. shows a more conventional <unk> engine in the new accord <unk> model which made its debut just this month in japan only
 honda says the <unk> engine provides a compromise between the <unk> of a <unk> and the power of a <unk>
 it is rumored to be bound for a new model in the luxury <unk> line in the u.s. but honda officials would n't comment
 odd cars funny names
 there 's plenty of <unk> here but it is n't always clear whether it 's <unk>
 the show 's symbol is a woman riding on a <unk> not your usual <unk> for speed and <unk>
 but the sponsors have an explanation through the character associated with a <unk> they say important values such as harmony with nature and aspirations for the future are sought
 japanese auto makers are known for coming up with funny names but this year the practice seems to have reached a new high or low
 honda has a tiny <unk> called the <unk> and a slightly larger <unk> the <unk>
 mitsubishi has a <unk> delivery truck called the <unk>
 mazda has the <unk> truck and under its <unk> <unk> a <unk> called the <unk>
 its <unk> carol <unk> is designed with softness <unk> and <unk>
 but the court <unk> appears to be japan 's smallest car maker <unk> motor co
 one of its <unk> <unk> is the <unk> <unk> which seats just one person in front and could hold a small child and bag of <unk> in the rear
 <unk> also has the fellow N the <unk> <unk> and the <unk> <unk>
 the jokes are n't just on the japanese though
 <unk> <unk> des <unk> renault the french auto maker has a concept car called the <unk>
 the name is supposed to <unk> <unk> <unk> but in japanese it means <unk>
 foreign presence
 foreign auto makers are taking the tokyo motor show more seriously than ever
 ab <unk> invites <unk> to play the role of the test <unk> by <unk> in a car that <unk> a crash to show just how its <unk> <unk> works
 hyundai motor co. of south korea has its <unk> exhibit in tokyo
 general motors corp. is <unk> its first independent display in N years and it includes a <unk> buick station <unk> with <unk> side panels
 ford and chrysler also have <unk> although theirs are <unk> in a separate room with the <unk> automotive parts section
 we 've got to get out of the detroit mentality and be part of the world mentality declares charles m. jordan gm 's vice president for design in explaining his <unk> to the tokyo show
 even so traditional american <unk> is n't <unk> endangered
 ford officials for example <unk> about their <unk> tokyo grand <unk> racing victory
 true ford was declared the winner sunday but only after the honda driver who crossed the finish line first was <unk> because it hit another car and <unk> <unk> out of <unk>
 mr. jordan of gm meanwhile still <unk> japanese <unk>
 it 's hard for the japanese he says to get a feeling in a car to get a passion in a car to get <unk> in a car
 regarding your sept. N politics & policy column on the party differences over cutting capital gains or expanding iras why not compromise now and save the public from the coming <unk> congressional political rhetoric that seems to go hand in hand with the process
 the republicans maintain that a N N capital-gains exclusion will raise revenue in the short term and spur economic investment while the democrats maintain that an increase in the top income-tax rate and expanded iras will raise revenue and spur savings
 this is a classic example of the old saying the whole is greater than the sum of its parts
 it 's ridiculous for a family with taxable income of $ N to pay the same N N <unk> tax rate as a family with taxable income of $ N
 the N N <unk> should apply to all income over the applicable level not just the N N rate adjustment amount
 it 's equally ridiculous not to provide a capital investment or <unk> tax incentive
 jeffrey t. <unk>
 pwa corp. said it plans to sell by spring N all N passenger planes it acquired earlier this year in its N million canadian dollar us$ N million purchase of <unk> inc
 pwa which recently merged <unk> 's operations with those of <unk> canadian airlines international ltd. canada 's <unk> airline said the proposed sale is part of a revised five-year plan aimed at streamlining its fleet and shedding debt
 pwa would n't estimate the value of <unk> 's aircraft which include N airbus <unk> and three boeing <unk>
 but james ireland a miami-based technical analyst with <unk> inc. an aircraft evaluation firm estimated the total <unk> value of the N planes at about $ N million or more
 mr. ireland said N <unk> aircraft that pwa also said it plans to sell beginning in N have a current <unk> value of about $ N million each or a total $ N million raising <unk> potential proceeds from the aircraft sale to about $ N billion
 mr. ireland said current demand for used aircraft is strong partly because surging orders for new aircraft have <unk> waiting lists
 he predicted that pwa would have little difficulty attracting prospective buyers
 under its revised fleet plan pwa said it will also increase its existing fleet of eight boeing <unk> aircraft to N by N and add four more boeing <unk> by N to the two units that it previously planned to add by next year
 pwa said two of the boeing <unk> aircraft scheduled for delivery in N would be leased out for two to five years
 pwa did n't disclose the expected net cost of the fleet overhaul but a toronto-based analyst estimated it at about $ N million us excluding replacement costs for the N <unk> aircraft that pwa plans to sell and purchase costs for as many as N airbus N aircraft that pwa previously ordered
 i do n't see this as a debt reduction exercise
 it 's focused on streamlining pwa 's fleet in a bid to cut training and aircraft <unk> costs the analyst said
 pwa 's long-term debt and capital lease obligations rose to c$ N billion at the end of the second quarter nearly double the year-earlier figure reflecting debt absorbed under the <unk> purchase
 pwa said it also expects to announce by tuesday whether it will take delivery of all N airbus N aircraft it previously ordered
 the first five leased units were to be delivered in N
 this british banking and financial-services group 's investment-banking arm barclays de zoete wedd group announced the following appointments at its <unk> subsidiary barclays de zoete wedd ltd
 john <unk> N years old was named a deputy chairman
 mr. <unk> is currently a director at barclays de zoete wedd ltd
 graham <unk> N was named to the new post of chief executive officer of the <unk> <unk> division
 <unk> <unk> N was named to the new post of deputy head of the <unk> division and a managing director
 mr. <unk> and mr. <unk> join <unk> 's from kleinwort benson ltd. where they served as directors
 the recent bids for united and american airlines have led congress to move with <unk> speed to protect incumbent airline <unk>
 the house is scheduled to vote today on an <unk> bill that would block for up to N days any bid for N N or more of a u.s. airline even a straight cash purchase
 transportation secretary sam skinner who earlier fueled the anti-takeover fires with his <unk> attacks on foreign investment in u.s. carriers now says the bill would further <unk> the jittery capital markets
 texas rep. steve bartlett who has N american airlines workers in his district says the bill is good politics but bad law
 it is ironic that at a time when america 's partial airline deregulation is being <unk> by governments from new zealand to ethiopia so many in congress favor an <unk> program for airlines that would be more appropriate for the soviet airline aeroflot
 federal reserve chairman alan greenspan told congress that the fed can wipe out inflation without causing a recession but he said doing so will <unk> some short-term pain and will require reducing the federal deficit sharply
 mr. greenspan said he and other fed governors <unk> a bill by rep. stephen neal d. n.c. that would require the fed to pursue policies aimed at eliminating inflation within five years
 such a deadline is <unk> but it would have costs mr. greenspan told rep. neal 's monetary policy subcommittee
 the fed chief opposed a bill introduced by <unk> lee hamilton d. ind. and <unk> <unk> d. <unk> that among other things would require the fed to disclose all monetary policy moves immediately and increase outside scrutiny of the fed
 in responding to questions mr. greenspan played down reports of tension between the fed and the treasury over exchange-rate policy
 what seem to be interpreted as great conflicts are relatively minor issues of tactics he said
 he did n't elaborate
 but the fed is n't enthusiastic about treasury efforts to bring down the value of the dollar through intervention in foreign-exchange markets and the treasury is frustrated at the fed 's reluctance to cut interest rates to pull down the dollar 's value
 mr. greenspan said the inflation rate currently about N N N could be brought down to levels which are close to zero without putting the economy into a recession but i do suspect that there might be some modest loss of economic output
 in other words economic growth would be lower and unemployment would be higher for a few years
 but mr. greenspan who has repeatedly said the fed 's goal is to reduce inflation added that whatever losses are incurred in the pursuing of price stability would surely be more than made up in increased output thereafter
 he warned that fed efforts to <unk> inflation would fail and could produce a major financial crunch unless they are accompanied by a significant reduction in the federal deficit which causes the government to borrow heavily
 rep. neal 's bill originally called on the fed to reduce the inflation rate by one percentage point a year for five years and to maintain a zero inflation rate thereafter
 he altered the <unk> to win mr. greenspan 's endorsement
 even so his bill is given little chance of passage
 <unk> hamilton and <unk> also have altered their bill dropping a proposal to add the treasury secretary to the <unk> fed committee that makes monetary policy
 instead the bill simply calls for <unk> meetings between the committee and top administration officials
 even that met with mr. greenspan 's <unk> because it might subject the fed to a more intensely political perspective and could risk <unk> monetary policy away from long-term strategic goals
 while each of the <unk> proposals represents only a small step together they would erode the fed 's independence mr. greenspan said
 mr. greenspan also said that although he favors cutting capital-gains taxes as sound economic policy he would oppose such a move if it would undo the political compromise <unk> in the tax reform act of N and result in higher marginal income tax rates
 sears roebuck & co. signed a contract with bob vila the former host of the popular public television program this old house to star in a half-hour home improvement show sponsored by the giant retailer
 the <unk> show slated to start airing by june N marks sears 's entry into the <unk> market of home repair television programs and could bolster sales of its home improvement products
 in recent months sales of home improvement items have sagged along with sales of other big ticket durable goods
 the show also signals mr. vila 's return as a television celebrity
 earlier this year public television station <unk> in boston fired mr. vila after a sponsor <unk> some of his numerous commercial <unk>
 with mr. vila as host this old house became one of the public broadcasting service 's top N programs airing weekly on about N of the network 's stations and seen by an average of N million viewers
 but home <unk> inc. an atlanta-based home center chain <unk> when mr. vila started doing commercial <unk> for <unk> home centers a new jersey building supply company that competes with home <unk> in some markets
 i 'm <unk> about the change said mr. vila whose new syndicated program is called home again with bob vila
 in an interview mr. vila criticized his old show which is continuing with a new host
 public tv is in fantasy land he said
 last season we did a story that involved spending $ N in converting a <unk> house into a bed and breakfast
 in the new show he said we 're going to spend $ N building a start-up house for a young couple
 while sears would n't comment on the <unk> over mr. vila 's commercial <unk> it appears to be building a <unk> around mr. vila 's <unk>
 his contract makes him exclusive spokesman for sears 's home improvement marketing campaigns
 ogilvy & mather in chicago a unit of wpp group plc will handle the advertising account and <unk>
 the only other endorsement permitted by the contract involves a series of <unk> home improvement and repair books
 his other agreements to promote products have expired
 little matter for mr. vila who complains that public tv never paid me more than $ N a year
 he said his compensation under the sears contract is a <unk> dollar deal
 eugene a. miller N years old was elected a director of this electric utility company filling a vacancy
 he is president and chief executive officer of <unk> inc. in detroit
 the white house has decided to push for changes in pesticide law that are designed to speed the removal of harmful chemicals from the nation 's food supply
 the proposed changes which are scheduled to be announced today would apply to pesticides and other <unk> found on fresh and processed foods according to federal officials
 environmental groups have been calling for faster action on dangerous pesticides and may welcome part of the proposal
 but they are already <unk> to among other things a plan to give more weight to <unk> considerations in evaluating pesticides
 it 's a tremendous disappointment said <unk> <unk> an attorney with the natural resources defense council
 allowing the epa to <unk> continued use of a chemical whenever the benefits outweigh the risks is absolutely <unk> to the environmental community
 the bush administration plans to announce a series of principles and to work with congressional leaders in writing specific legislative proposals that <unk> them
 the principles would give the environmental protection agency increased authority and flexibility in <unk> pesticides with the aim of enabling the agency to move more quickly
 there already are proposals pending in congress to overhaul pesticide law
 moves to accelerate the removal of dangerous pesticides gained new impetus during this year 's <unk> scare when the epa was <unk> criticized for failing to <unk> the possible <unk> a growth regulator used to make apples <unk> and <unk>
 the agency has since acted to remove <unk> from the nation 's grocery shelves by may N N and the apple industry has said that growers already have stopped using the chemical
 in addition the principles attempt to eliminate the so-called <unk> <unk>
 under the <unk> clause which applies to processed food a chemical is banned if it causes cancer in laboratory animals
 under other laws applying to pesticide use however that same chemical could be allowed to be used on fresh food if it fell within the epa 's <unk> level
 among other changes the white house wants to
 give the epa more flexibility to declare a pesticide an imminent hazard and pull it from the marketplace
 speed up the process for removing a pesticide that is n't an imminent hazard
 bar states from setting more <unk> <unk> levels for a pesticide once the federal government has set a standard
 give the epa added discretion to set negligible risk levels for pesticide <unk> in processed food
 chemicals that exceed these risk levels would be barred but those that fall below these levels would be allowed
 allow the epa to permit the continued use of pesticides that exceed its negligible risk standard if the benefits of doing so outweigh the cost
 financial markets took a <unk> break from their recent wild gyrations with stock prices falling modestly bond prices posting tiny gains and the dollar almost unchanged
 the dow jones industrial average lost N points to N in moderate trading
 long-term treasury bonds rose slightly despite the <unk> on the market of $ N billion in 30-year bonds offered by the resolution funding corp. as part of the government 's bailout of the savings and loan industry
 the dollar was barely changed against the west german mark and up marginally against the japanese yen
 yesterday 's sluggish action was in marked contrast to the <unk> and plunging of stock prices tuesday after the proposed buy-out of ual corp. once again collapsed
 traders said the stock market 's <unk> moves have prompted many investors to head for the sidelines until it <unk> some <unk> of stability
 although bond prices were n't as volatile on tuesday trading as stock prices traders nevertheless said action also was much slower yesterday in the treasury market
 bond investors paid close attention to comments by federal reserve chairman alan greenspan who was <unk> before a congressional hearing but were n't able to extract many clues about the future course of the fed 's monetary policy
 many analysts are expecting the fed to lower interest rates at least once more before the end of the year
 investors now are awaiting today 's release of the preliminary estimate of third-quarter gross national product
 economists predict the report will show economic growth of about N N in the third quarter which would have little effect on financial markets
 but an unexpected deviation either way could <unk> bond and currency markets
 in major market activity
 stock prices slipped lower in moderate trading
 volume on the new york stock exchange totaled N million shares
 but advancing issues on the big board were ahead of decliners N to N
 bond prices inched higher
 the treasury 's benchmark 30-year issue rose less than an eighth of a point or less than $ N for each $ N of face amount
 the yield on the issue stood at N N
 the dollar was virtually unchanged
 in late new york trading the u.s. currency was quoted at N marks and N yen compared with N marks and N yen tuesday
 a few years ago i was on a panel of journalists that discussed the image of <unk> athletics for an audience of campus information directors and others
 we <unk> quickly <unk> that not only was the bad rep of big-time college sports <unk> earned but also that it could be corrected
 competition could be maintained and stadiums probably would remain full if schedules were reduced and the games returned to the students we said
 comments from the audience reflected widespread if <unk> agreement with those conclusions
 as the session broke up i was approached by a man who identified himself as the <unk> director of a big ten university
 i 'd love to see sports cut back and so would a lot of my counterparts at other schools but everybody 's afraid to make the first move he <unk>
 it 's like the u.s. and the russians nobody wants to <unk> first
 and so our institutions of higher learning <unk> from scandal to scandal on <unk> and basketball court while the <unk> mount
 three new books make the point that one large price of the <unk> <unk> show can be the integrity of the schools that stage it
 they are a payroll to meet a story of greed corruption and football at <unk> macmillan N pages $ N by david <unk> big red confidential inside nebraska football contemporary N pages $ N by <unk> <unk> and never too young to die the death of <unk> bias <unk> N pages $ N by lewis <unk>
 the pick of the group is payroll it should be required reading for every college president
 it <unk> how over a period of a dozen years southern <unk> university bought its way to football respectability in the southwest conference only to find itself trapped and <unk> by the <unk> system it created
 the school was the first in N to receive the ncaa 's death penalty two years without football for repeated rules violations
 given current <unk> about the university of florida it may not be the last
 the man who brought the bribe to the dallas school was ron <unk> a flashy sort who came in N to rescue a <unk> program mr. <unk> writes
 mr. <unk> 's personal style was illustrated by his <unk> a $ N bill to a high-school <unk> board on which other coaches tacked their cards
 one <unk> working with mr. <unk> was so generous with $ N and $ N bills that prospects sang here comes santa <unk> when he approached
 paying players at <unk> was no casual operation
 it involved the athletics director two different football <unk> staffs and school <unk> and governors just about everybody it seemed but donald <unk> the university 's president
 there 's a <unk> passage in which mr. <unk> having finally learned of the practice <unk> his <unk> to bill <unk> then a university governor and now the governor of texas and oil man edwin cox chairman of the board of <unk>
 you stay out of it author <unk> quotes mr. <unk> as saying
 go run the university
 which was about what mr. <unk> did and quietly until he resigned a few years later <unk> ill health when the stuff hit the fan
 mr. <unk> drew on <unk> news media coverage of the <unk> scandal and on a university internal investigation
 mr. <unk> had to do most of his own <unk> on university of nebraska football which is to date high and dry as far as the ncaa is concerned
 unfortunately he gets low grades as an <unk> reporter relying heavily on what chicago 's late mayor richard j. <unk> called <unk>
 discrepancies go <unk> in confidential one <unk> claims he received $ N to $ N for his season football tickets while others said theirs brought only a few hundred dollars and when mr. <unk> ca n't <unk> down something like who really owned a car driven by <unk> <unk> doug <unk> he simply <unk> his notes
 there are <unk> <unk> to supposed romantic <unk> between <unk> players and a <unk> female university employee
 a serious charge that star <unk> irving <unk> threw the N orange bowl game by intentionally dropping a pass in the end zone is included even though the nebraska assistant coach quoted denied making it
 still the book produces more smoke than a <unk> <unk> along with a few <unk> especially concerning the use of <unk>
 dean <unk> a <unk> <unk> former <unk> <unk> that he used <unk> and says other <unk> did too
 it 's a mystery how this could have escaped the notice of nebraska coaches
 probably it did n't
 never too young is a different sort of work focusing on the N death from cocaine <unk> of bias a university of maryland basketball star <unk> for sure pro <unk>
 while the university was no more to blame for that than for the similar fate of any other student it must bear responsibility for its conduct in the aftermath
 bias 's coach <unk> <unk> ordered the room in which bias died to be <unk> before the police could arrive the order was n't carried out and the school 's athletics director issued false information about the academic standing of bias and other players
 those of course were the responses of people with something to hide
 one <unk> how other college athletic officials would <unk> under the same circumstances
 tomorrow 's on sports column will look at another aspect of the college sports mess
 <unk> of north america inc. a unit of daimler-benz ag paid massachusetts $ N million in taxes bringing to an end a <unk> corporate tax chase
 officials at the department of revenue had dogged the foreign car maker for taxes owed on business transactions and were proceeding to settle the dispute in court
 but the check arrived in the mail said stephen kidder massachusetts commissioner of revenue
 <unk> which had said it did n't owe taxes to massachusetts partly because it sells its cars at a <unk> in baltimore and not in massachusetts did n't explain its change of heart
 last month <unk> executives approached state revenue officials complaining about bad press the commissioner said
 the dispute was the subject of a wall street journal article in august
 the amount covers taxes interest and penalties owed from N when the state began collecting corporate taxes to N
 <unk> also agreed to pay taxes owed for the years N through N mr. kidder added
 under massachusetts tax laws corporations must pay N N of estimated profits resulting from business transactions in the state if the company <unk> a variety of <unk> activities including <unk> customer complaints and relations with independent dealerships
 national convenience stores inc. trying to shake the doldrums in the <unk> business said it will <unk> the merchandise in all of its stores in the next N months to cater better to the neighborhoods around its stores
 as part of the plan the <unk> company 's N stop <unk> go stores will be <unk> to target black hispanic upscale or core middle-class customers
 stores in <unk> neighborhoods for instance will carry high-priced wines publications such as <unk> fair <unk> pasta <unk> oat bran <unk> and weight watchers and <unk> products
 stores in hispanic areas will stock an <unk> of <unk> magazines mexican cooking items and <unk>
 stores in the company 's core middle-class market will get more frozen and <unk> foods and a greater selection of bottled water
 <unk> van horn national convenience president and chief executive officer said the move reflects the company 's <unk> that the industry 's poor performance stems from its failure to give customers what they want rather than from increasing competition from gasoline stations and 24-hour grocery stores
 convenience store merchandise has not kept pace with current trends in consumer preferences he said in a speech at the company 's annual shareholders meeting
 analysts and competitors said the move reflects a growing need by the stores to expand their customer base beyond the traditional blue-collar worker who <unk> into a convenience store for a <unk> cigarettes soda or beer
 there are an increasing number of people out there who are <unk> said chris <unk> retail analyst with alex brown & sons of baltimore
 those are primarily white-collar workers a customer segment that has historically proved <unk> for convenience stores
 national convenience 's move is likely to be <unk> by other chains though analysts note that <unk> corp. owner of <unk> stores and circle k corp. are too <unk> to roll out such an extensive effort
 still <unk> said that its franchisees have been targeting their merchandise to their customers for years and that the company has begun to follow suit
 for instance <unk> has expanded its bottled water selection in some stores and added fresh <unk> in some outlets
 several months ago it also added black health and beauty aids displays to many stores a spokeswoman said
 we certainly see an increasing trend toward that she added
 national convenience said it has tested its new merchandise mix in N stores with favorable results
 analysts said the company 's effort will be helped by its decision last year to put <unk> <unk> in N stores allowing national convenience to quickly track items that are selling and those that are n't
 to promote its new strategy national convenience said it plans to spend about $ N million on advertising for the year ending june N up from about $ N million in fiscal N
 labor secretary elizabeth dole named a mediator to help resolve the lengthy labor dispute between the united mine workers and pittston co
 <unk> <unk> jr. labor secretary during the ford administration was named to <unk> talks to settle the six-month strike by the <unk>
 previous talks between pittston of greenwich conn. and the union have been sporadic and unsuccessful
 the union called the strike in april after pittston refused to sign the <unk> 's national labor pact
 pittston seeks changes in health and pension benefits among other things
 no schedule for formal talks was set but meetings are expected to begin soon
 one day after delmed inc. made top management changes and disclosed the end of an important business tie its stock did n't trade and the company forecast a significant drop next year in sales of its core product
 that disclosure came a delmed spokeswoman said after the american stock exchange <unk> the company that trading would n't resume in its stock until additional information about developments was provided
 in addition to the forecast the company also said it is <unk> potential cost cuts and reductions in overhead
 the spokeswoman said the exchange would resume trading of delmed stock today
 delmed which makes and sells <unk> dialysis products used in treating kidney disease on tuesday announced the resignations of robert s. ehrlich chairman president and chief executive officer and of leslie i. shapiro chief operating officer and chief financial officer
 they were succeeded by executives of fresenius usa inc. and its parent fresenius ag which owns about N N of delmed
 at the same time the new <unk> n.j. company said negotiations about pricing and volumes of product had collapsed between it and its exclusive distributor in the u.s. national medical care inc
 following that announcement tuesday however company officials were unavailable to elaborate
 yesterday the spokeswoman said sales of delmed products through the exclusive arrangement with national medical accounted for N N of delmed 's N sales of $ N million
 the current distribution arrangement ends in march N although delmed said it will continue to provide some supplies of the <unk> dialysis products to national medical the spokeswoman said
 nonetheless delmed currently expects that N sales will be significantly below their N level the company said in a statement
 delmed said yesterday that fresenius usa would begin distributing the product and that the company is investigating other possible distribution channels
 in any case supplies to patients wo n't be interrupted the company added
 fresenius a west german pharmaceutical concern has been discussing a transaction in which it would buy delmed stock for cash to bring its beneficial ownership to between N N and N N
 the transaction also would combine fresenius usa and delmed
 but the plan now is being <unk> delmed said declining to provide most of the new terms of the combination
 said the spokeswoman the whole structure has changed
 the value of the company has changed
 delmed did say that the proposal still would <unk> cash into delmed but less than the $ N million originally expected
 delmed also would receive the north american rights to certain fresenius ag products
 another option for delmed the company said is that it could sell its plant in ogden utah
 it added that no discussions about such a sale are under way
 brooks <unk> car service inc. never wanted to get into money laundering
 but july N a <unk> in wilmington del. caused <unk> creek to rise N feet pouring N million gallons of water into <unk> <unk>
 the water destroyed about $ N million in currency and <unk> $ N million of coins with <unk> <unk> them dangerous to counting machines
 the $ N million in paper money although <unk> <unk> and <unk> was exchanged through the federal reserve bank of philadelphia without incident
 but brooks was unable to reach a <unk> agreement with the government
 we kind of got caught between <unk> says president william f. brooks jr
 the u.s. mint would n't take the coin because it was n't <unk> and the federal reserve bank <unk> only clean coins he says
 the philadelphia fed says it is merely an agent for coins responsible only for storage and distribution
 we issue paper money we destroy paper money says <unk> <unk> a philadelphia fed spokeswoman
 the coin is their problem
 a mint official says the agency offered to clean the coins for its <unk> cost of $ N plus certain other expenses
 but brooks declined figuring that <unk> the <unk> up money to washington would cost the company thousands more
 so brooks gave the <unk> work to coin wrap inc. which came up with an unusual solution
 for eight hours a day for the past two weeks in aggregates of as much as N pounds equaling $ N in pennies coin wrap has been pouring money into a <unk> truck
 a giant <unk> working like a <unk> causes the <unk> to <unk> and burns off any <unk>
 after <unk> around for an hour or so the <unk> hot money <unk> out of the cement <unk> where a giant vacuum <unk> away the <unk> <unk> and <unk> <unk>
 after cooling the coins are then <unk>
 brooks expects to pay coin wrap a total of about $ N a cost that insurance wo n't cover
 and while the job is half done brooks is still bitter
 in fact there 's only one person involved who 's happy and that 's <unk> string president of coin wrap and <unk> of the <unk> solution
 not only did his company find $ N worth of work but when the approach was suggested mr. string says brooks officials did n't <unk> at me or anything
 <unk> this summer 's successful and amusing movie about parents and children apparently was only the beginning
 it seems that every day a new movie opens featuring a child coping with a mother 's death or adoption or aging parents or pregnancy
 and why not
 some of our best and most <unk> film makers from <unk> to <unk> to <unk> allen have taken a <unk> from <unk> when it comes to compelling drama there 's no place like home
 yet too many people working in hollywood today seem to suffer from the <unk> that the drama played out in every home will be interesting to people who live somewhere else
 this is not the case
 some <unk> simply are n't worth <unk> in
 yet there will be people who will <unk> at immediate family a <unk> constructed and offensive movie about adoption
 these are the sensitive <unk> who can <unk> with and even enjoy hearing about other people 's troubles no matter how <unk> or predictably the sad tale is told
 written by barbara <unk> co-author of the big <unk> immediate family takes the position that only rich people living in nice houses should have children
 the film makers have <unk> this offensive idea in pretty packaging
 everyone is very nice and <unk> the <unk> parents glenn close and james woods and the <unk> couple who decide to give up their baby for adoption mary stuart <unk> and kevin dillon
 linda and michael ms. close and mr. woods who seem to be pushing N live in a large and <unk> <unk> home in suburban seattle
 all of their friends have children and they ca n't so now they want a child more than anything perhaps even more than michael wanted his fancy convertible or his <unk> stereo equipment
 the idea of a <unk> must be <unk> them since the wealthy <unk> of their friends are shown to be <unk> <unk> in therapy by age five
 having exhausted all modern aids to <unk> linda and michael decide to adopt
 the actors wear <unk> <unk> to indicate their genuine <unk> for a little one or maybe they 're <unk> commenting on the <unk> of the script and jonathan <unk> 's the accused <unk> direction
 or maybe they are <unk> by the <unk> musical score when a character <unk> at a major decision her thoughts are revealed by the sound of i can see clearly now
 the adoption agency insists on introducing the adopting parents to the birth mother so linda and michael pay for pregnant <unk> 's ms. <unk> bus ticket from ohio
 why in these movies is the <unk> pregnant woman always from ohio
 i ask this not necessarily as a native <unk>
 <unk> of course is pretty and smart though <unk>
 everyone falls in love with everyone else
 there is some pain when <unk> has the baby and did n't know she would feel like this and wants to keep the baby
 but in the end everything turns out for the best in the film makers ' <unk> view
 like lawyers in the hostile takeover field the baby goes where the money is
 at the other end of the life cycle is <unk> gary david goldberg 's <unk> of the william <unk> novel
 this picture is about a <unk> son who makes sure that his delayed bond with his father will last by waiting to cement it until just before the old man dies
 the <unk> emotional style mr. goldberg has <unk> on television 's family ties does n't benefit from <unk>
 his characters practically <unk> through a vast range of human <unk> like travelers doing N cities in eight days
 they <unk> only to register little <unk> of <unk> and <unk> of satisfaction like tourists <unk> the sights they 've seen from the window of a bus
 not even jack <unk> 's expert <unk> makes this trip worth taking
 so it 's entirely possible that look who 's talking is n't as entertaining as it seems in comparison to the <unk> other films opening now
 but by comparison this <unk> comedy seems like a <unk>
 it starts with conception taking the <unk> 's point of view then <unk> to the baby 's point of view
 bruce <unk> 's best attribute as an actor is his <unk> <unk> voice and that 's all you get of him here speaking for the baby
 finally there is one family movie that quite <unk> <unk> the <unk> of human <unk> only its stars are bears
 for the second time in a movie called the bear french director <unk> <unk> demonstrates just how powerful pictures can be
 <unk> for fire was the first time
 to be sure one <unk> what kind of man is this who feels <unk> to try to understand the most <unk> <unk> and <unk> in a way that requires the most sophisticated appreciation of <unk> <unk>
 supposedly he proposed the movie to his producer <unk> <unk> in four lines
 an <unk> bear <unk>
 a big <unk> bear
 two <unk> in the forest
 the animals ' point of view
 but then even a great many words could n't <unk> the extraordinary pull of this movie about an <unk> bear who <unk> a parent
 video tip
 one of the best movies about the <unk> thing in recent years was raising arizona the N <unk> brothers ' comedy that definitely was not about the folks next door
 westinghouse electric corp. <unk> on a major restructuring program expects operating margins of more than N N and double-digit per-share earnings growth next year top officers told securities analysts here
 john c. marous chairman and chief executive officer also said the company expects sales from continuing businesses to rise N N annually through the next three years
 in N the company earned $ N million or $ N a share on sales of $ N billion
 since N westinghouse has shed N businesses that it did n't expect to produce N N operating margins while acquiring N businesses
 in the past N months alone paul e. <unk> president and chief operating officer said the divestiture of $ N million of <unk> <unk> businesses has been more than offset by $ N million in profitable acquisitions
 westinghouse expects to meet its corporate goals despite a softening in the economy
 even if the gross national product is either flat or in the growth range of N N to N N we can handle that mr. marous said
 gnp is the total value of the nation 's output of goods and services
 a bright spot is the company 's <unk> business which is experiencing a surge of growth for the first time in years
 mr. marous said the business will achieve higher sales this year than the company 's target goal of N N
 while westinghouse has n't had a nuclear power plant order from a u.s. utility in about a decade excess capacity is beginning to shrink
 mr. <unk> said the company <unk> the need for a major boost in <unk> capability throughout the 1990s
 westinghouse also is well positioned to sell steam <unk> and gas <unk> plants to independent power producers
 the company 's ability to respond to energy needs world-wide will be enhanced through a recently announced venture with mitsubishi heavy industries mr. <unk> said
 he said the independent power segment could grow to provide as much as N N of near-term generation capacity adding we expect to supply a significant share of this market
 westinghouse also expects its international sales to soon grow to N N of total corporate sales from N N last year
 the company is negotiating with the soviets to build a <unk> king <unk> plant that would produce about N units annually
 mr. marous said westinghouse would own N N of the facility
 the deal which will involve an initial $ N million investment was struck with a <unk> he added
 company officials also said that any gain from the sale of westinghouse 's N N stake in its transmission and distribution venture with the swiss firm of asea brown boveri will be offset by a restructuring charge in the fourth quarter
 the executives did n't disclose the size of the expected gain
 capital expenditure in N will rise slightly mr. marous said from an estimated $ N million this year
 short interest in international mobile machines corp. fell to N shares in the month ended oct. N from N in september
 because of an error by the national association of securities dealers the listing appeared incorrectly in the main table and several highlight tables in yesterday 's edition
 a proposed <unk> policy for federally funded <unk> researchers may thwart many high-technology new ventures say financiers researchers and university administrators
 the national institutes of health policy would require researchers to cut financial ties with health-care businesses or lose their government money
 among other concerns the agency says researchers with business ties are more likely to <unk> findings in order to <unk> new drugs
 as ties between <unk> and venture capital have <unk> in recent years <unk> fear of abuse has risen
 but the guidelines could make it impossible to <unk> research says kenneth smith associate <unk> and vice president for research at massachusetts institute of technology
 the nih is asking grant recipients and others for comments on the proposed guidelines until dec. N
 after that it will make a final decision on the policy
 the guidelines could <unk> future arrangements similar to the deal behind <unk> inc. a <unk> mass. start-up says robert daly a managing partner of <unk> associates a venture-capital firm
 with $ N million he and other investors launched <unk> last year to market a <unk> cure being developed by researchers of the university of california at san diego
 the researchers who are being financed by the <unk> funds will receive a royalty or percentage of sales if their research yields a commercial product
 but because the university of california like many other universities shares its royalties with researchers it may <unk> itself from federal funds under the proposed guidelines mr. daly says
 the high-tech industry is full of the kind of arrangement that the new guidelines would affect
 for instance commonwealth <unk> inc. a venture-capital concern last month invested $ N to launch <unk> inc. a <unk> mass. concern that will produce pharmaceuticals
 scientists <unk> <unk> and paul <unk> conducted the initial research at the massachusetts institute of technology
 while ms. <unk> left mit to head <unk> prof. <unk> will continue to work at mit serve on <unk> 's board and own a small equity stake in the company
 the <unk> transaction is typical of the way venture-capital firms are approaching the task of <unk> biotechnology research
 while universities develop the basic research venture capitalists are the ones best positioned to finance its <unk> says <unk> w. <unk> of commonwealth
 this is the best way to transfer technology straight off the <unk> of universities
 but the new guidelines could prevent scientists like prof. <unk> from being involved with <unk> such as <unk> venture capitalists point out
 and if that happens the entire process of <unk> technology to the marketplace could be <unk> they say
 the stakes in the controversy are large
 last year venture capitalists spent an estimated $ N million to finance start-up companies in medical and biotechnology businesses according to the national venture capital association a trade group
 many of the deals involved transactions in which scientific institutions or researchers agreed to <unk> their work in return for an equity stake or royalties
 in many of these deals venture capitalists had the inside track says lawrence <unk> of <unk> ventures la jolla calif
 investors were willing to gamble on new technologies because we had exclusive rights to those technologies he adds
 but under the proposed guidelines all federally funded research will have to be reported publicly so that anyone can capitalize on the work
 without the exclusivity most venture capitalists wo n't have the incentive to invest in such deals mr. <unk> says
 last year for example <unk> and others invested $ N million in <unk> <unk> inc. south san francisco calif. to license and develop technology for delivery of drugs to the brain
 but before <unk> was able to get an exclusive license to the technology the federal register published most of the details giving all of the company 's potential competitors a chance to exploit it mr. <unk> says
 <unk> eventually acquired exclusive rights to the technology and currently is developing it
 but says mr. <unk> it was a close call
 the proposed guidelines could also delay <unk> and force small companies to waste scarce capital entrepreneurs say
 if <unk> ca n't have early access to research being conducted at institutions we have to <unk> it ourselves or do without the research says ruth <unk> manager of business development at applied biotechnology inc. a cambridge mass. concern
 <unk> research is both costly and <unk> for a start-up ms. <unk> says
 for its part nih insists that its guidelines should not <unk> research creativity or technology transfer from the research laboratory to commercial use
 universities such as harvard and mit should be able to develop a way to act as brokers for the individual scientists says <unk> <unk> who oversees the huge nih grants program as its deputy director for <unk> research
 nih staff members believe the guidelines are essential to prevent the <unk> of problems that have already begun to surface in scientific ventures
 not long ago scientists holding stock in <unk> pharmaceutical services inc. were accused of <unk> research to boost the stock
 many officials are also concerned about companies getting a free ride on <unk> research
 a congressional <unk> has been investigating the potential abuse from researchers holding stock in companies <unk> their research
 among other provisions the nih guidelines would prohibit researchers and members of their immediate families from holding stock in any company that is affected by the outcome of their research
 ms. <unk> the nih administrator says the business and scientific community is <unk> to what the agency merely meant to be ideas for discussion
 the predictions of <unk> are <unk> she says
 but when agencies like the nih <unk> guidelines they 've often already <unk> policy veteran scientists say
 indeed institutions already are taking note
 on sept. N harvard began circulating a <unk> policy statement that in effect would follow the nih guidelines <unk>
 the university of california at san francisco is also circulating a memo among its scientific faculty that will restrict contact with the world of business
 in many other institutions scientists are <unk> contacts with venture investors until the nih policy is settled
 says mr. daly the venture capitalist it does n't matter whether they call it guidelines or policy
 the damage is already done
 friday oct. N N <unk> edt on pbs pbs air dates and times vary so check local listings show boat
 new jersey 's paper mill <unk> produced this <unk> revival of america 's most influential musical written by jerome <unk> and <unk> <unk> and first produced on broadway in N
 worth watching although the music has lasted better than the plot or the humor
 saturday oct. N N p.m. edt on hbo repeated oct. N nov. N N N N and N perfect witness
 <unk> <unk> brian <unk> and <unk> <unk> are excellent in this <unk> tale of a reluctant witness in an organized crime prosecution
 it 's set in new york but it <unk> with the terrible dynamics of the latin american drug wars
 sunday oct. N N p.m. est on abc the final days
 no doubt there is something to <unk> everyone in this <unk> <unk> of bob <unk> and carl bernstein 's book about <unk>
 personally i 'm <unk> by its combination of <unk> and <unk> which adds up to an <unk> lack of drama
 sunday oct. N N p.m. est on showtime repeated nov. N N N and N the strange case of dr. <unk> and mr. <unk>
 fans of anthony <unk> <unk> <unk> will <unk> watching him play the title role s in the <unk> robert louis stevenson <unk> drama of <unk> <unk>
 monday oct. N N p.m. est on pbs <unk> into sleep
 i promise you will stay <unk> through this intriguing <unk> about the science of sleep
 wednesday nov. N N p.m. est on pbs thomas hart benton
 critical opinion is divided about the success of benton 's <unk> <unk> of <unk> art
 but no one could disagree that ken burns has made a <unk> film about this famous american <unk>
 thursday nov. N N p.m. est on <unk> repeated at N a.m. and on nov. N third and oak the pool hall
 a <unk> by the <unk> <unk> playwright <unk> norman is the first presentation in a new series called american <unk> theater sponsored by general motors
 james <unk> jones and mario van <unk> carry out a bitter <unk> dialogue between two black men
 <unk> nov. N N p.m. est on pbs taiwan the other china
 <unk> <unk> hosts this <unk> <unk> series about the history economy culture and politics of the island home of chinese democracy and capitalism
 friday nov. N N p.m. est on pbs our town
 along with show boat great performances <unk> off its new season with this lincoln center production of <unk> wilder 's best known play in which the role of the small-town stage manager is given a <unk> twist by performance artist <unk> gray
 saturday nov. N N p.m. est on nbc <unk> 's cup day
 <unk> <unk> fancy turf fat <unk> the horse race of the year
 sunday nov. N N <unk> p.m. est on abc new york city marathon
 <unk> <unk> <unk> cement media glory the foot race of the year
 sunday nov. N N p.m. est on <unk> gary <unk> american life american <unk>
 i 've seen a great many <unk> film <unk> and this one is outstanding
 <unk> nov. N N p.m. est on pbs glory enough for all
 can <unk> theatre make a compelling human story out of the discovery of insulin
 this <unk> amusing film answers with a <unk> yes
 sunday and monday nov. N and N N p.m. est on nbc cross of fire
 the <unk> <unk> <unk> was revived in the 1920s as a national organization aimed at <unk> and <unk> as well as blacks
 one reason for its <unk> was the murder trial of d.c. <unk> an indiana leader whose reckless career is <unk> in this film <unk> <unk> harris <unk> and john heard
 tuesday nov. N N p.m. est on pbs hurricane
 has the san francisco earthquake caused you to forget hugo
 you 'll remember when you see the stunning <unk> taken from inside a hurricane 's eye in this edition of <unk>
 merksamer jewelers inc. a fast-growing jewelry store chain filed for chapter N bankruptcy-law protection from creditors apparently to speed a management buy-out of the chain
 the filing made yesterday in u.s. bankruptcy court here follows an agreement by l.j. hooker corp. merksamer 's owner to sell the chain to management for an undisclosed price
 ge capital corp. a financial services subsidiary of general electric co. is providing merksamer management with $ N million in financing
 l.j. hooker based in atlanta filed for chapter N protection in august and has also announced its intention to sell its b. altman & co. department store chain
 l.j. hooker is owned by hooker corp. sydney australia which itself is currently being managed by a court-appointed provisional <unk>
 l.j. hooker 's planned sale of merksamer is subject to approval by judge <unk> <unk> of u.s. bankruptcy court
 rumors to the effect that the merksamer chain would file for chapter N arose last week in the jewelry industry
 at that time sam merksamer president of the chain <unk> denied that his company was about to file
 mr. merksamer is leading the buy-out
 according to executives close to the situation merksamer filed for chapter N to speed the sale of the chain
 one executive said an accord signed by the unsecured creditors of l.j. hooker corp. had frozen in place all of l.j. hooker 's assets
 the merksamer bankruptcy-law filing appears to <unk> that agreement
 by filing for chapter N the merksamer chain will only need approval from a bankruptcy judge for the sale not the hundreds of unsecured creditors said this executive
 the cash from the sale will go to l.j. hooker but the company itself will belong to sam merksamer
 mr. merksamer and sanford <unk> chief executive of l.j. hooker were unavailable for comment
 in a statement mr. merksamer described the filing as a legal <unk> but also said that our inability to obtain trade credit combined with a need to ensure that our stores were properly <unk> for the christmas season <unk> our filing chapter N
 the jewelry chain which is based in sacramento calif. had revenue of $ N million and operating profit of $ N million for the year ended june N
 for all of this year 's explosive <unk> in stock prices renaissance investment management inc. 's computer sat on the sidelines
 now it 's on the <unk>
 renaissance a <unk> money manager began buying stocks again this week with half of the $ N billion that it oversees for clients according to people familiar with the firm 's revised strategy
 it was the first time since january that renaissance has thought stocks are worth owning
 renaissance declined to confirm the move but its stock purchases were thought to have begun tuesday <unk> to <unk> with the maturity this week of treasury bills owned by the firm
 the other half of its portfolio is expected to remain invested in treasury bills for the time being
 wall street executives said they believed that renaissance 's $ N million buy program was carried out by painewebber inc
 as reported painewebber bought shares tuesday as part of a customer strategy shift although the broker 's client was said then to have been japanese
 yesterday painewebber declined comment
 when it owns stocks renaissance 's portfolio typically is composed of about N <unk> issues to make buy or sell moves the firm <unk> wall street brokerage houses a day or so in advance looking for the best package price to carry out the trades
 the broker winning the business does n't charge commissions but instead profits by buying or selling for less than the overall package price
 that puts the broker at risk if it 's trying to buy stock in a rising market
 in tuesday 's <unk> session the dow jones industrial average fell by N points early in the day but finished with less than a <unk> loss
 renaissance 's last portfolio shift carried out by goldman sachs & co. was a highly publicized decision last january to sell its entire stock portfolio and buy treasury bills
 the sell signal which sent a bearish <unk> through the stock market came when renaissance 's computer found that stocks were <unk> compared with bonds and treasury bills
 at the time the dow jones industrial average stood at about N
 the dow average now stands more than N N higher while renaissance 's portfolio of treasurys produced a return of about N N through the first three quarters of the year
 the computer 's <unk> has been painful for renaissance
 almost any money manager holding stocks has turned in better results while renaissance has played it safe with treasury bills
 so why does renaissance 's computer like stocks with the dow at N where it closed yesterday when it did n't with the dow at N
 with the decline in stock prices and continued low or stable interest rates stocks are representing a better value all the time renaissance president frank w. <unk> said yesterday
 three-month <unk> yields have fallen to N N from about N N at the start of the year
 stock prices meanwhile are about N points lower than the peak of N reached on the dow industrial average oct. N
 are those declines enough to signal a partial return to stocks
 mr. <unk> wo n't say specifically explaining that if there was such a move it would take about three days to complete the loose ends of the transaction
 during that time a buyer with the clout of a renaissance could end up driving up the price of stocks it was trying to buy if it <unk> its hand
 but everything is relative to mr. <unk> so stocks in his view can become more attractive in comparison with bonds or <unk> even if shares are more expensive than when they were sold in january
 our computer model has a certain trigger point he said
 when the computer says switch renaissance switches
 the firm has made N previous shifts from one type of asset to another in its 10-year history
 almost all have involved at least half and often the firm 's entire portfolio as the computer searches for the most undervalued investment category following a <unk> style called tactical asset allocation
 competing <unk> firms march to their own computer models so some have been partly or fully invested in stocks this year while renaissance has sat on the sidelines
 as a result competitors say renaissance has been looking for any opportunity to return to the stock market rather than risk losing business by continuing to remain fully invested in treasury bills
 mr. <unk> confirms some clients have left renaissance but no major ones and the firm has added new accounts
 david evans who last week resigned as president and chief executive of qintex entertainment inc. for personal reasons just as the company filed for bankruptcy-law protection has been temporarily <unk> to both positions the company said
 qintex entertainment also said chief financial officer and treasurer jonathan lloyd N years old would join the <unk> board
 he succeeds roger <unk> who resigned last week saying his participation in evaluating the company 's role in buying mgm\/ua communications co. was no longer necessary
 mr. evans will stay until a successor is found but not later than the end of the year the company said
 it was the <unk> mr. evans who had moved into the offices of mgm\/ua and run the company during qintex australia ltd. 's aborted bid for the movie company
 after mgm\/ua terminated the $ N billion merger because of a dispute over a $ N million letter of credit qintex entertainment which is <unk> by qintex australia found itself facing problems of its own
 and the relationship between qintex entertainment and the australian company appears to be quickly deteriorating
 on oct. N qintex entertainment was about to default on a $ N million payment owed to mca inc. in connection with the distribution of a television program
 qintex entertainment was depending on qintex australia to arrange financing
 but early on oct. N the second of two hectic days of board meetings mr. evans said he believed qintex australia would n't be <unk>
 he recommended that the company file for protection under chapter N of the u.s. bankruptcy code before the mca deadline according to a source familiar with the sessions
 but a majority of the board which includes three members from the australian company <unk> him
 mr. evans resigned
 later in the day according to the source the board reversed itself decided to file for bankruptcy protection and asked mr. evans to stay on
 mr. evans told the board he needed the weekend to think about it
 mr. evans could n't be reached yesterday for comment
 last monday qintex australia announced a restructuring plan and said it would sell off assets
 last week the company indicated it would cut back on the working capital it would supply to qintex entertainment
 separately a qintex entertainment shareholder filed suit in federal court in los angeles charging qintex australia with misleading shareholders about qintex entertainment 's financial position
 qintex australia said it had n't seen the suit and could n't comment
 the sept. N tracking travel column advises readers to charge with caution when traveling abroad because credit-card companies charge N N to convert foreign-currency expenditures into dollars
 in fact this is the best bargain available to someone traveling abroad
 in contrast to the N N conversion fee charged by visa foreign-currency dealers routinely charge N N or more to convert u.s. dollars into foreign currency
 on top of this the <unk> who <unk> his dollars into foreign currency before the trip starts will lose interest from the day of conversion
 at the end of the trip any <unk> foreign exchange will have to be converted back into dollars with another commission due
 the card holder will pay the modest N N fee only on the amounts actually needed
 typically he will be billed only several weeks after the expenditure and then has another couple of weeks before he has to pay the bill
 in the meantime the money can continue to earn interest for the card holder often more than N N during that float period alone
 daniel <unk>
 visa u.s.a. inc
 mgm grand inc. has agreed to pay $ N million and nearly N million common shares to buy N acres of land along the las vegas nev. strip as a site for its planned <unk> and <unk> resort
 of the total purchase price $ N million cash and $ N million in stock nearly N million shares would be paid to buy the existing <unk> marina hotel & casino from southwest securities a nevada limited partnership
 the remaining properties to be acquired are the <unk> country club & golf course a facility jointly owned by ramada inc. of phoenix ariz. and the <unk> family and a small parcel owned by mgm grand director james d. <unk>
 the purchase price was disclosed in a preliminary prospectus issued in connection with mgm grand 's planned offering of six million common shares
 the luxury airline and casino company <unk> by investor kirk <unk> and his <unk> corp. earlier this month announced its agreements to acquire the properties but did n't disclose the purchase price
 the proposed stock offering and issuance of nearly N million common shares in connection with the land purchase will bring mgm grand 's total shares outstanding to N million of which N N will be owned by mr. <unk> and <unk> according to the prospectus
 in over-the-counter trading mgm grand was bid at $ N a share
 proceeds from the offering are expected to be used for remodeling the company 's desert <unk> resort in las vegas <unk> certain aircraft of the mgm grand air unit and to acquire the property for the new resort
 the company said it estimates the desert <unk> remodeling will cost about $ N million and the <unk> of the three <unk> aircraft made by mcdonnell douglas corp. will cost around $ N million
 mgm grand said the latest stock offering wo n't cover the $ N million or more cost of building the proposed resort and theme park and added it will need to seek additional financing either through bank borrowings or debt and equity offerings at a later date
 construction is set to begin in early N
 the resort will include the mgm grand hotel a <unk> <unk> facility that will include N rooms and N square feet of casino space
 the facility will be marketed toward families and room rates will be between $ N and $ N a night mgm grand said
 the prospectus did n't include many details about the studio and theme park although conceptual drawings released this month show that it may feature several <unk> areas similar to those found at parks built by walt disney co
 investors poured $ N billion more into money-market mutual funds in the latest week despite further declines in yields
 assets of the N taxable funds tracked by <unk> 's money fund report jumped to $ N billion in the week ended tuesday the <unk> <unk> newsletter said
 assets soared $ N billion in the previous week
 meanwhile the average yield on taxable funds dropped nearly a <unk> of a percentage point the largest drop since <unk>
 the average seven-day compound yield which assumes that dividends are reinvested and that current rates continue for a year fell to N N its lowest since late last year from N N the week before according to donoghue 's
 lower yields are just reflecting lower short-term interest rates said <unk> <unk> <unk> editor of money fund report
 money funds invest in such things as short-term treasury securities commercial paper and certificates of deposit all of which have been posting lower interest rates since last spring
 individual investors can still get better yields on money funds than on many other short-term instruments
 the yield on six-month treasury bills sold at monday 's auction for example was just N N
 the average yield on six-month cds of $ N or less at major banks was N N in the week ended tuesday according to banxquote money markets a new york information service
 one way that money fund managers boost yields in a declining rate environment is by extending the maturities of their investments so they can earn the current higher rates for a longer period
 the average maturity of the taxable funds that donoghue 's follows increased by two days in the latest week to N days its longest since august
 they 're anticipating further declines in rates and they 're going to get them slowly said walter frank chief economist for the donoghue organization publisher of money fund report
 average maturity was as short as N days at the start of this year when short-term interest rates were moving steadily upward
 the average seven-day compound yield of the funds reached N N in late april
 the <unk> funds are still above N N
 the <unk> fund in the latest week was dreyfus worldwide dollar with a seven-day compound yield of N N
 the fund invests heavily in dollar-denominated money-market securities overseas
 it is currently <unk> management fees which <unk> to the higher yield
 the average seven-day simple yield of the N funds fell to N N from N N donoghue 's reported
 the average 30-day simple yield slid to N N from N N and the average 30-day compound yield fell to N N from N N
 many small investors are facing a double <unk> this year they got hurt by investing in the highly risky junk bond market and the pain is worse because they did it with borrowed money
 these people invested in leveraged junk bond mutual funds the publicly traded funds that make a habit of taking out loans to buy extra junk
 it 's a good strategy in a rising market where a N N leveraged portfolio in effect allows investors to have N N of their money working for them
 the strategy boosts current yield by putting more bonds into the portfolio
 trouble is junk bond prices have been weak for months
 thus the leverage has <unk> the funds ' portfolio losses
 and shares of leveraged junk funds this year have been clobbered even harder than the junk bonds they hold
 that 's really where the leverage hurt says thomas <unk> a miami-based investment manager who specializes in closed-end funds
 share prices performed even worse than the funds ' asset values because fear has taken hold in the junk market he says
 leverage is never a problem for the traditional open end mutual funds which are n't publicly traded and are n't allowed to use leverage at all
 leverage is used only by some of the closed-end funds
 the usual maneuver is to borrow against the portfolio value or issue preferred stock using the proceeds to buy additional bonds
 the fallout for investors lately has been painful
 consider the new america high income fund
 with a leveraged position of about N N the fund 's share price has plunged N N so far this year
 that 's worse than the price drop sustained by the bonds in its portfolio whose total return <unk> changes plus interest has amounted to a negative N N
 such problems may not be over
 leveraged funds in particular are still extremely vulnerable because we 're still at the beginning of problems in the junk market says george foot a managing partner at <unk> management associates in <unk> mass
 many investors are <unk> their funds have borrowed to speculate in such a risky market
 if someone actually sat down and thought about what they were being sold says gerald <unk> editor of the mutual fund letter in chicago they might shy away
 in a typical leverage strategy a fund tries to capture the spread between what it costs to borrow and the higher return on the bonds it buys with the borrowed money
 if the market <unk> holders can make that much more profit the leverage effectively acts as an <unk> margin account for investors
 but when the market moves against the fund investors lose more than other junk holders because the market decline is magnified by the amount the fund is leveraged
 fund managers for their part defend their use of leverage
 carl <unk> who runs the colonial intermediate high income fund says the fund 's N N leverage has <unk> up its interest income
 as long as i am borrowing at N N and each bond yields over that it <unk> the yield he maintains
 mr. <unk> says he tries to offset the leverage by diversifying the fund 's portfolio
 yet some funds have pulled in their <unk>
 new america high income fund recently said that it plans to reduce its leverage position by buying back $ N million in preferred stock and notes from investors
 the fund made a similar move earlier this year
 we are trying to increase our flexibility says <unk> e. terry a vice president at <unk> capital management the fund 's investment adviser
 she declined to elaborate and would n't disclose the fund 's recent purchases sales or cash position
 ms. terry did say the fund 's recent performance illustrates what happens in a leveraged product when the market does n't cooperate
 when the market turns around she says it will give a nice picture of how leverage can help performance
 several leveraged funds do n't want to cut the amount they borrow because it would slash the income they pay shareholders fund officials said
 but a few funds have taken other defensive steps
 some have raised their cash positions to record levels
 high cash positions help buffer a fund when the market falls
 prospect street high income portfolio for instance now holds about N N in cash and equivalents nearly <unk> the amount it held earlier this year says john <unk> portfolio <unk>
 he says the fund which is N N leveraged has maintained a substantial cushion between its borrowing costs and the yields of the portfolio 's bonds
 i do n't want to be in a position to have to sell mr. <unk> says
 other funds have recently sold weak junk bonds to raise cash
 at the <unk> zenith income fund portfolio manager john <unk> recently dumped mesa petroleum <unk> and <unk> industries among others to raise his cash position to a record N N
 that 's a problem because cash is n't earning us very much money mr. <unk> says
 he concedes this is the most difficult market that i 've been involved in
 because of the recent <unk> turmoil the fund is considering investing in other issues instead including mortgage-backed bonds
 we 're looking at the leverage factor every day says robert moore president of <unk> inc. a shearson lehman hutton inc. unit and the fund 's adviser
 at some point if we are unable to cover our leveraged cost and at the moment we 're right on it we 're going to have to make a move
 one of the more bizarre garden stories since <unk> has been <unk> for four years now in the private <unk> <unk> of artist <unk> bartlett
 and if she and the battery park city authority have their way her <unk> <unk> plan will soon go public as a real garden <unk> in the downtown complex
 south gardens as the bartlett scheme is called will <unk> the last N acres of open space at the southwest tip of manhattan
 it could cost taxpayers $ N million to install and <unk> residents $ N million a year to maintain
 created by an artist who <unk> her ignorance of plants and gardens south gardens as now planned will die from <unk> garden design
 ms. bartlett 's previous work which earned her an international reputation in the <unk> art world often took gardens as its nominal subject
 <unk> this <unk> connection made the <unk> fine arts committee think she had a <unk> green <unk>
 ms. bartlett would not discuss her garden for this article
 last year she <unk> to <unk> magazine i 'd never looked at a garden in my life
 and she proved no <unk> <unk> in her initial statement to the bpca a new york state public benefit corporation the only thing i was interested in doing was a very complicated garden which would cost an enormous amount of money and be very expensive to maintain
 <unk> the bpca hired ms. bartlett and another confessed garden <unk> the architect alexander <unk> who claimed he had never visited much less built a garden and said of the project i do n't view this as a landscape
 i view this as a building
 the third principal in the south gardens <unk> did have garden experience
 the firm of bruce <unk> <unk> landscape architects had created central park 's <unk> fields and shakespeare garden
 the bpca called its team a stunning collaboration
 after four years though the south gardens design is N N <unk> <unk> bartlett
 she has done little more than <unk> her standard <unk> trees water landscape <unk> <unk> square houses circles <unk> <unk> and fit them into a grid as if she were making one of her <unk> <unk> works for a gallery wall
 but for south gardens the grid was to be a <unk> network of <unk> or hedge walls with real plants inside them
 in a letter to the bpca <unk> called this <unk> and <unk>
 the landscape architects were expelled from the garden in july
 all the while ms. bartlett had been busy at her <unk> <unk> in her sense of <unk>
 as she put it in a N <unk> at the harvard graduate school of design i have designed a garden not knowing the difference between a <unk> and a <unk>
 moreover she proclaimed that landscape architects have been going wrong for the last N years in the design of open space
 and she further stunned her <unk> by <unk> her secret garden design method <unk> a friend to spend five or six thousand dollars on books that i ultimately cut up
 after that the <unk> had been easy
 i 've always relied heavily on the grid and found it never to fail
 ms. bartlett told her audience that she absolutely did not believe in compromise or in giving in to the client because i do n't think you can do <unk> versions of things
 this was never a problem with south gardens because the client had long since given in to ms. bartlett 's every <unk>
 last year the public was <unk> a <unk> of ms. bartlett 's creation in a <unk> version at a <unk> exhibition
 the labels were <unk> within its <unk> walls is a <unk> of a thousand years in garden design a rose garden <unk> garden <unk> garden <unk> fields an apple <unk> organized in a <unk> of <unk> <unk> to form rooms here and there are simple architectural forms a <unk> jet of water a <unk> of topiary or <unk> <unk> and chairs of every sort to drag around
 at the core of it all is a love for plants
 plant <unk> who studied the <unk> were alarmed
 they looked at the <unk> and saw a giant <unk>
 ms. bartlett 's little rooms left little room for plants or people
 <unk> had put south gardens ' carrying capacity at four people per room or about N humans overall
 this <unk> of tiny <unk> <unk> was inspired by the artist 's own digs my <unk> was N by N feet so N feet by N feet seemed like a good garden room
 inside the grid were N of these plant cells <unk> full of clutter
 one she made into a topiary <unk> room <unk> with plants <unk> into a <unk> tv piano and chairs
 in another she <unk> topiary <unk> missile <unk> costing $ N each in heights up to N feet
 another she <unk> with eight <unk> hedges for a topiary <unk> lesson in the <unk> of plants
 in the <unk> <unk> she specified a <unk> <unk> garden <unk>
 she ordered the <unk> done in a different <unk> <unk> and made the landscape architects study a book on <unk>
 in one garden <unk> she <unk> a <unk> square glass <unk> meant to show off a <unk> <unk> floor <unk> a <unk> sink a huge <unk> with <unk> and a <unk> with <unk>
 next door she put a smaller <unk> glass house where she suggested a flat of <unk> might be displayed in the dead of winter
 in another <unk> called the <unk> <unk> N <unk> trees were to be crowded together at killing <unk> of N or N feet
 <unk> need about N feet
 one thing about the bartlett plan was never in doubt it would demand the full-time skills of a <unk> of topiary <unk> <unk> <unk> and <unk>
 ms. bartlett <unk> suggested calling upon <unk> garden club workers for maintenance
 furthermore she had insisted on <unk> so narrow five to eight feet and hedge corners so square that standard maintenance equipment trucks or cherry pickers could n't maneuver
 then to make these <unk> quite literally rooms ms. bartlett had thrown up <unk> walls brick <unk> hedge eight to N feet tall casting her <unk> into <unk> <unk> <unk>
 it was hard to see how <unk> would ever happen in south gardens without <unk> the walls in a <unk> array of <unk>
 finally <unk> the bpca 's wishes to continue the popular <unk> <unk> <unk> <unk> for its <unk> views of new york harbor the <unk> of liberty and ellis island ms. bartlett threw up yet another wall this time concrete this time N N feet tall
 she ran it the length of the south gardens <unk> <unk> out the city 's great natural water features the harbor and the river
 within her garden she has <unk> a <unk> a <unk> <unk> and other costly <unk> waterworks <unk> the hudson
 while the model was still on view manhattan community board N passed a resolution against south gardens
 the parks council wrote the bpca that this too private exclusive complex and expensive <unk> garden belongs in almost any location but the <unk>
 <unk> b. miller the noted public garden designer who restored central park 's <unk> garden recalls her reaction to the south gardens model in light of the public garden she was designing for <unk> street 's bryant park bryant park as designed in N failed as a public space because it made people feel trapped
 by removing the hedges and some walls the bryant park restoration is opening it up
 it seems to me the bpca plan has the potential of making south gardens a <unk> jail for people and plants
 the three urban <unk> experts with cornell cooperative extension weighed in with a letter to the bpca that began we feel that the garden is <unk> doomed
 they then addressed the <unk> questionable safety of a complex garden of endless <unk> places
 the N <unk> hedges which <unk> views in and out of small rooms insure that this garden will be a potential breeding ground for crime
 at harvard ms. bartlett had declared there are going to be problems with safety
 i 'm not going to address questions of safety
 despite the dire <unk> of knowledgeable garden professionals ms. bartlett 's south gardens design somehow continues on seemingly <unk> to reason stalled only by bureaucratic <unk> and <unk> <unk>
 bpca president and ceo david <unk> hopes to negotiate a <unk> that could be significantly more <unk> <unk>
 and by <unk> yet another landscape architect nicholas <unk> he insists he can achieve that and other <unk> to <unk> reality while still preserving the artistic vision of a truly great artist
 after four years of no progress in this direction it is doubtful any viable collaboration with ms. bartlett will suddenly now be possible
 mr. <unk> has said he plans to go with the grid regardless
 there is still time however for gov. mario <unk> or <unk> <unk> chairman of the bpca board to prevent this topiary <unk> <unk>
 these <unk> might take counsel from william robinson author of the english <unk> garden the <unk> 's <unk> since N who seems to have had a <unk> bartlett in mind when he wrote <unk> our <unk> for ages have suffered at the hands of the <unk> artist when applying his designs to the garden
 it is this <unk> of absurd <unk> ' and patterns from old books to any surface where a <unk> garden has to be made that leads to bad and <unk> design wrong in plan and <unk> for the life of plants
 i read the <unk> of wayne <unk> 's exchange with a <unk> representative put the soviet economy on golden <unk> editorial page oct. N with great interest since the gold standard is one of my areas of research
 mr. <unk> is incorrect when he states that the soviet union 's large gold reserves would give it great power to establish credibility
 during the latter part of the 19th century russia was on a gold standard and had gold reserves representing more than N N of its outstanding currency but no one outside russia used rubles
 the bank of england on the other hand had gold reserves that averaged about N N of its outstanding currency and bank of england notes were accepted throughout the world
 the most likely reason for this <unk> is that the bank of england was a private bank with substantial earning assets and the <unk> rights of creditors to collect claims against the bank were well established in britain
 by contrast in <unk> russia an <unk> government owned the bank and had the power to revoke payment whenever it chose much as it would in today 's soviet union
 the success of the british gold standard was due to independent private banking and common law rather than the choice of gold for <unk> the currency
 it is no <unk> that from N to N when the bank of england was an independent private bank the pound was never <unk> and payment of gold for pound notes was never suspended but with the subsequent <unk> of the bank of england the pound was <unk> with increasing frequency and its use as an international medium of exchange declined
 the soviet union should keep these <unk> in mind as it seeks to establish the ruble as an international currency
 one way to make the ruble into a major international currency would be to leave reserves of gold and earning assets in a swiss bank with distributions based on swiss laws
 unless the laws determining the <unk> 's rights to payment are independent of the issuer of those notes however a <unk> ruble would be as unsuccessful for the soviets as it was for the <unk>
 christopher r. <unk>
 professor of taxation
 california state university
 <unk> calif
 wednesday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 securities and exchange commission chairman richard breeden told a congressional subcommittee that he would consider imposing circuit breakers to halt program trading at volatile times
 mr. breeden in his first testimony to congress since taking the sec post said the agency is studying the friday the 13th market plunge including how current circuit breakers affected the market that day and the following monday
 after the study the sec would be willing to consider adding new circuit breakers or <unk> the current ones he added
 circuit breakers designed to give the markets a <unk> in cases of sharp price movements curb trading of futures or stocks at various trigger points
 at certain points during the friday the 13th drop circuit breakers kicked in on the futures market slowing trading at times
 a circuit breaker that would have closed down the new york stock exchange was n't <unk>
 rep. edward markey d. mass. chairman of the house telecommunications and finance subcommittee is pushing the idea of a circuit breaker for computer-driven program trading in hopes that would curb turmoil in the marketplace
 he argued that program-trading by roughly N big institutions is pushing around the markets and scaring individual investors
 mr. breeden did n't reject the proposal
 after the sec study of the drop is completed he said i 'm perfectly happy to work with this committee in identifying whether we need other devices such as a program-trading curb
 mr. breeden backed most of the provisions in a <unk> bill that the sec brought to the subcommittee last year under <unk> david <unk>
 the measure is expected to move through this congress
 but the new chairman <unk> opposed a provision in the bill that would give the agency the right to close the markets at times of stress
 mr. breeden contended that uncertainty over when the sec might act could worsen volatility in the markets
 he argued that the current <unk> system allows investors to know precisely when and where any trading <unk> will occur and how long they will last
 mr. breeden offered strong support for two other provisions in the bill
 one would force brokerage houses to provide the sec detailed information about loans made by their holding companies
 such loans often are used to finance leveraged buy-outs and the agency is worried that a sharp market drop could create capital problems for the firms
 he also backed a rule to require large traders to report transactions on a <unk> basis
 that information he argued is critical to <unk> sharp market moves such as the one nearly two weeks ago
 in a rare package sale of its real estate k mart corp. <unk> mich. has sold N of its strip shopping centers to a limited partnership led by new york developer philip <unk> according to sources familiar with the transaction
 they estimate the value of the transaction at close to $ N million
 k mart officials and mr. <unk> would n't comment on the sale
 k mart previously had announced it would report its third consecutive decline in quarterly earnings for the period ended yesterday the same day the real estate deal was completed
 analysts are estimating third-quarter earnings will drop between N N and N N to about N to N cents per share compared with N cents per share in the year-ago quarter
 it is unclear what effect the sale of the shopping centers will have on earnings
 k mart developed the centers which range in size from about N square feet to just over N square feet
 most are <unk> by a k mart store
 the retailer reportedly will lease its stores back from the developer who plans to expand the small centers
 the centers <unk> a total of about N million square feet of retail space
 they are spread around the country and include locations in california florida washington and arizona
 mr. <unk> who heads <unk> international holding corp. a new york-based real estate company owns more than a dozen other shopping centers in which k mart is a <unk>
 the company is active in office and residential development in new york
 however nationally mr. <unk> controls through limited partnerships about N shopping centers with about N million square feet
 k mart runs N k mart stores primarily in leased facilities
 the company typically sells the centers it develops but has usually sold only one or several at a time
 motorola is fighting back against junk mail
 so much of the stuff poured into its austin texas offices that its mail rooms there simply stopped delivering it
 now thousands of <unk> <unk> and sales pitches go straight into the trash
 we just do n't have the staff to deliver it nor do we have the space or the time says a spokesman for the <unk> ill. electronics company which has N employees in the austin area
 it 's the <unk> problem and the weight problem we have
 motorola is in good company
 businesses across the country are getting fed up with junk mail and some are saying they just are n't going to take it anymore literally
 while no one has tracked how many company mail rooms throw out junk mail direct-mail advertising firms say the number is growing
 general motors earlier this year said it would n't deliver bulk mail or free magazines in its <unk> mich. office while air products & chemicals <unk> pa. says it screens junk mail and often throws out most of a given mass mailing
 why the <unk>
 anybody with a <unk> can answer that sheer overwhelming <unk> volume
 according to the direct marketing association total direct mail to both businesses and consumers jumped N N to N billion pieces in N from five years earlier
 though direct mail to businesses is n't broken out separately the association says it 's growing even faster
 the <unk> has spurred <unk> companies to action with mail rooms throwing the stuff out rather than taking the time or money to deliver it
 the direct-mail industry not surprisingly is <unk> at the <unk> of it all
 after all this is the industry that has a hard enough time getting any respect that is the <unk> of so many jokes that television 's l.a. law <unk> <unk> david as short <unk> intensely <unk> and <unk> boring
 the practice of businesses throwing out junk mail is a commonly known problem and it 's increasing as companies attempt to put through budget cuts across the board right down to the <unk> level says stephen <unk> a list consultant and chairman of the direct marketing association 's <unk> council
 but it 's like <unk> the hand that feeds them because every one of these companies uses direct marketing
 it 's almost impossible to track the number of companies <unk> junk mail since the decision is usually made in the mail room not the board room
 and the practice often <unk> from location to location even within a company
 but industry executives say businesses seem especially inclined to dump <unk> sent to titles rather than to individual names
 motorola 's austin operation was one of the first to lose patience deciding a few years ago to junk any bulk mail that was n't addressed to an individual
 magazines are n't delivered at all even if an individual 's name is listed employees who want their magazines have to pick them up from the mail room or the company library and are told to change the <unk> to their home addresses
 at air products meanwhile the <unk> staff opens junk mail and often throws it away even if addressed to an individual
 if they get N <unk> of something they open one see what it says throw N away and send two to people or departments they think are appropriate a spokesman says
 direct marketers were especially alarmed when general motors one of the country 's largest companies and a big direct-mail user itself entered the <unk> battle
 as of march N its <unk> office with about N employees stopped delivering bulk mail and <unk> magazines
 employees were told that if they really wanted the publications they would have to have them sent home instead
 the reason <unk> especially of <unk> magazines
 direct-mail executives see gm 's stand as an <unk> sign even if the <unk> <unk> did bring it on themselves
 why anyone would want to close themselves off from direct mail a <unk> does n't make any sense says michael bronner of bronner <unk> associates a boston <unk> firm
 it <unk> of big <unk>
 they 're going to decide what their employees can or can not read
 the practice is however legal in most cases
 jack ellis a u.s. postal inspector in new york says the postal service 's only job is to deliver the mail to the mail room once it gets there a company can do with it what it wishes
 the <unk> <unk> ever optimistic are looking for ways around the problem
 so far they say it has n't had any <unk> effect on response rates
 and before it does they 're trying to cut back on the clutter that created the situation in the first place
 among other things the industry is trying to come up with standardized business lists that cut down on <unk>
 we 're going to have to mail a lot less and a lot <unk> says jack miller president of <unk> corp. a <unk> ill. <unk> mail-order company
 but then again mailing less and <unk> wo n't be much help if the mail ends up in the garbage anyway
 new hyundai campaign
 hyundai motor america fighting quality complaints declining sales and management turmoil yesterday unveiled its N ad strategy <unk> we 're making more sense than ever
 the ad campaign created by saatchi & saatchi 's backer spielvogel bates agency is an extension of the auto company 's cars that make sense campaign which emphasized <unk>
 tv ads <unk> the company 's new <unk> <unk> and its <unk> <unk> <unk> will begin appearing monday
 one spot shows a <unk> next to a rival midsized car and an announcer says listen to what they 're saying about the hyundai <unk>
 as the announcer reads favorable quotes about the model from motor trend and road & track magazines the other car which is white slowly turns green
 no wonder the competition 's green with envy the announcer says
 ad notes
 acquisition
 <unk> formed by the merger of eurocom and della femina mcnamee wcrs said it agreed to buy <unk> an agency in <unk>
 terms were n't disclosed
 holiday ads
 seagram will run two interactive ads in december magazines promoting its chivas <unk> and crown royal brands
 the chivas ad illustrates via a series of <unk> the wild reactions from the pool man <unk> and others if not given chivas for christmas
 the <unk> crown royal ad features a black-and-white shot of a boring holiday party and a set of <unk> <unk> with which readers can dress it up
 both ads were designed by <unk> 's ddb needham agency
 senate democrats who favor cutting the capital-gains tax are n't ready to line up behind the leading senate proposal
 their reluctance to support the proposal is another blow to the capital-gains cut which has had a roller-coaster existence since the beginning of the year when it was considered dead and then suddenly revived and was passed by the house
 nevertheless oregon sen. bob packwood the ranking gop member on the <unk> senate finance committee last night introduced his plan as an amendment to a pending measure <unk> u.s. aid for poland and hungary
 senate majority leader george mitchell d. maine was confident he had enough votes to block the maneuver on procedural grounds perhaps as soon as today
 mr. packwood all but conceded defeat telling mr. mitchell i sense at this stage you may have the votes
 the two lawmakers <unk> in a highly personal fashion violating usual senate <unk>
 their tone was <unk> with mr. packwood saying he intended to offer the proposal again and again on future legislation and sen. mitchell saying he intended to use procedural means to block it again and again
 although the proposal <unk> by mr. packwood and sen. william roth r. del. appears to have general backing by republicans their votes are n't sufficient to pass it
 and democrats who are under increasing pressure from their leaders to reject the <unk> cut are finding reasons to say no at least for now
 a major reason is that they believe the <unk> plan would lose <unk> of revenue over the long run
 the <unk> proposal would reduce the tax depending on how long an asset was held
 it also would create a new individual retirement account that would shield from taxation the appreciation on investments made for a wide variety of purposes including retirement medical expenses <unk> purchases and tuition
 a number of us are not going to touch capital gains iras or anything else unless it <unk> to deficit-reduction said sen. charles <unk> d. va. who is one of the N to N democrats who the bush administration believes might favor giving <unk> treatment to capital gains
 president bush has been hearing this kind of opposition first hand during meetings over the past two days with democratic senators at the white house
 and at a <unk> meeting tuesday of democratic senators there was outspoken opposition to cutting the capital-gains tax this year according to participants
 the trend is making advocates of the tax cut less optimistic about success
 there is a <unk> shot of getting it this year said sen. david boren of oklahoma a leading democratic <unk> of cutting the capital-gains tax
 he called the battle <unk>
 other democrats who favor a capital-gains cut are even more pessimistic
 there will be no capital-gains bill this year said sen. dale <unk> d. ark
 i 'm probably not going to vote for any capital-gains proposal
 the ira portion of the <unk> plan is irresponsible
 another significant factor in the <unk> debate is the extent to which it has become a <unk> political battle between president bush and senate majority leader mitchell
 mr. mitchell has made clear to his <unk> colleagues that the issue is important to him personally
 today sen. mitchell and other leading democrats plan to turn up the heat again by holding a news conference to <unk> the proposal
 estimates requested by sen. mitchell from the congressional joint taxation committee show that the <unk> N taxpayers got an average benefit from the capital-gains <unk> of $ N million each in N the last year for which figures are available
 white house officials acknowledged yesterday that democrats still are reluctant to publicly express support for the <unk> capital gains proposal because they are loath to buck sen. mitchell
 as a result the officials said they are open to making a variety of deals with senate democrats to win their support for a capital-gains tax cut
 democrats asked in this week for discussions with president bush have suggested ways of <unk> with the <unk> proposal suggesting an interest in looking for a modified version they can back one official said
 in addition white house aides think that there are numerous other important measures democrats badly wanted passed such as the <unk> back of a controversial catastrophic health-care plan for the elderly that might provide the president leverage in cutting deals with democrats
 a capital-gains tax cut might be <unk> with such measures to help ensure passage
 other possibilities include a child-care initiative and an increase in the minimum wage
 if they ca n't secure immediate passage of a capital-gains plan administration officials also are n't ruling out making a deal with congress to put off a vote until a firm date in the future even next year
 but the officials insist that such a deal on a future vote would have to apply to both the house and the senate
 gerald f. <unk> contributed to this article
 japanese <unk> authorities said they found N more chinese among vietnamese boat people bringing the number of chinese trying to enter japan by <unk> as vietnamese refugees this year to N
 japan plans to send the chinese back home and is negotiating with the chinese government a justice ministry official said
 the chinese were among N boat people supposedly from vietnam who arrived in japan this year compared with N for all of N the official said
 the N chinese who have been in a <unk> center were sent to <unk> facilities yesterday pending <unk> to china the official said
 on sept. N japan began a policy of <unk> boat people accepting only those deemed to be political refugees
 <unk> <unk> <unk> former deputy director of france 's mint faces prison for her theft of some N rare coins from the mint 's <unk>
 second in command from N to N mrs. <unk> told a paris court that the great <unk> that <unk> at the agency led her into temptation
 before an inventory in N that showed the disappearance of N coins valued at about N million french francs about $ N there had n't been any <unk> since N
 tony lambert mrs. <unk> 's successor says the mint 's losses from the theft run into the hundreds of thousands of francs
 el salvador is destroying more than N million pounds of food that had <unk> in government warehouses government officials said
 the state supply regulator institute is to <unk> rice corn and <unk> that <unk> because of <unk> and corruption in the previous christian democrat government a statement from the information service <unk> said
 during the past administration the <unk> were first bought by the institute then sold at low prices to unscrupulous businessmen who <unk> them to the institute at inflated prices the statement said
 a <unk> cruise <unk> <unk> into <unk> yesterday bringing N <unk> threatening <unk> if italy refuses to pay compensation for more than N years of colonial rule
 another N <unk> were already in italy to stage a day of <unk> for victims of italy 's colonial rule between N and N when <unk> says rome <unk> N <unk> and <unk> them as forced labor
 libya 's revolutionary committees have threatened attacks on <unk> if rome does n't pay compensation
 but officials in rome say the issue was legally resolved by a settlement between italy and king <unk> <unk> by col. <unk> <unk> in N
 canadian indians are taking five countries to court in a bid to stop low military flights over their homes the dutch defense ministry said
 representatives of the <unk> and <unk> peoples living in quebec and <unk> in <unk> canada told the ministry of the planned action at a meeting a ministry spokesman said
 they also wanted to prevent a nato training base being built in the region he said
 the action in the canadian federal court will be against canada the netherlands west germany britain and the u.s. the ministry spokesman said
 japan suspended imports of french mushrooms after finding some <unk> by radiation an official of the ministry of health and welfare said
 japan has been testing imported food from europe since the april N <unk> accident in the soviet union the spokesman said
 since then the ministry has announced N bans on food imports from european countries including italy spain turkey greece and the soviet union
 the venice city council is <unk> plans to tap huge gas fields off the coast that it says will speed up the city 's slow sinking into its <unk>
 agip the state-owned energy giant made the announcement about the gas field last month
 located six miles northeast of venice the field contains N billion cubic feet of <unk> gas <unk> of italy 's reserves
 alarmed <unk> say the project could jeopardize costly efforts to stop or slow down the <unk> that makes venice subject to regular and <unk> flooding
 the council unanimously opposed the idea of agip pumping out the <unk> gas and swiftly appealed to the company and to prime minister <unk> <unk> who has yet to <unk>
 agip refused to reconsider and says drilling is due to start early next year
 it 's unlikely <unk> the gas will cause <unk> says a spokeswoman
 thieves <unk> a <unk> century <unk> from an abandoned church in <unk> italy by removing the entire wall on which the work had been painted police said
 west germany 's <unk> commissioned the <unk> post office to test a prototype <unk> car
 the vehicle has a top speed of N miles an hour and requires <unk> from a standard wall <unk> every N miles
 total assets protection inc. rebounding from its earlier loss expects to report earnings from operations of about $ N for the third quarter j.c. <unk> chairman said
 net income includes an extraordinary gain of about $ N from the reversal of bad debt and interest income
 revenue was about $ N million
 in the N third quarter the company posted a net loss of $ N or N cents a share on revenue of about $ N million
 total assets plans and designs computer centers computer security systems and computer backup systems
 regarding your oct. N page-one article bad blood on the <unk> battle the <unk> institute is not just a <unk> organization
 it is primarily a certified <unk> treatment facility providing comprehensive services to people with <unk> and their families
 the institute 's <unk> efforts are based on the needs of the population it serves and represents
 in N the medical tribune reported that a growing number of critics are challenging the fda <unk> equation
 they contend it is based on an assumption that has not yet been proven in valid tests the tribune said
 in N some institute patients were reporting <unk> seizures when they were switched from a specific <unk> medication to a generic one or from one generic manufacturer of a specific product to another
 in addition <unk> were beginning to report these <unk> as well
 call it <unk> if you will
 but no ethical physician would switch patients who were doing well on a specific medication from a specific manufacturer to prove a point
 we do not depend on pharmaceutical companies for our support
 the institute has <unk> service contracts for the provision of direct patient services <unk> patient fees receives money through contributions from individuals foundations and <unk>
 the funds received from pharmaceutical firms are used to offset physician <unk> and these <unk> do not stress any particular medication or manufacturer
 the <unk> institute 's reporting of <unk> seizures stemmed from concerns about the people we treat and care about daily
 this perhaps was perceived as a bold stance and thus <unk>
 but let us not <unk> profits of big business <unk> as concerns for people 's health care or for the cost
 for whom is the saving
 surely not to people with <unk> who depend on the same levels of medication in their <unk> daily to maintain seizure control
 <unk> <unk>
 executive director
 arnold m. katz
 parker <unk> corp. said it agreed to sell its three automotive parts divisions to a management-led investor group for $ N million
 the buy-out group is headed by paul r. <unk> president of parker 's automotive group and includes several other executives of the three divisions
 the units are the <unk> ideal and <unk> divisions
 net sales for the units for the fiscal year ended june N were $ N million
 parker officials said the company is selling the units to focus on its other businesses
 a <unk> will <unk> next month on the <unk> strip a <unk> mountain <unk> smoke and <unk> every five minutes
 the <unk> <unk> will tower over a <unk> <unk> with more than four acres of pools <unk> and <unk>
 visitors <unk> from the strip on a moving <unk> will <unk> over a <unk> for rare white <unk> which will star in performances by the <unk> <unk> team of <unk> & roy
 nearby six <unk> will <unk> in a N <unk> <unk> <unk>
 at the core of all this stands a hotel
 in the lobby behind its <unk> <unk> <unk> a <unk> <unk> will come alive with <unk> <unk> <unk> <unk> and other creatures of the deep
 and oh yes
 there 's a casino the financial heart of it all
 this is the mirage a $ N million <unk> hotel-casino now being completed for opening in november by golden nugget inc
 it 's the most stunning example of las vegas 's <unk> effort to transform itself into a <unk> vacation resort for families as well as <unk>
 las vegas has seen nothing quite like it before
 not for N years has a big new hotel-casino opened here
 now the mirage and circus circus enterprises inc. 's $ N million <unk> are going up
 the <unk> with a <unk> hotel <unk> <unk> and other <unk> <unk> will be able to handle up to N visitors a day when it opens in N
 if mgm grand inc. proceeds with its plan for an <unk> park a $ N million <unk> resort with a working studio casino and <unk> hotel that would become las vegas 's biggest the investment in the three properties will total some $ N billion
 mgm grand has agreed to buy a <unk> site for the resort for $ N million in cash plus stock currently valued at nearly $ N million
 smaller projects swell the figure to at least $ N billion
 still other projects that have been announced but not yet started could put expenditures above $ N billion over the next few years
 stephen a. <unk> who owns N N of golden nugget 's shares says the mirage and other projects will help las vegas attract a whole new generation of visitors
 if you create a <unk> if you create something so exciting that the public dreams of being part of it then they 'll come he says
 the projects already under construction will increase las vegas 's supply of hotel rooms by N or nearly N N to N
 by a rule of <unk> of N new jobs for each new hotel room clark county will have nearly N new jobs
 the county at the end of N had N jobs N of them in the tourist industry
 projects in the talking or blueprint stage would add a further N rooms
 hotel-casino operators play down the possibility of a labor shortage
 after all N newcomers a year are settling in the las vegas valley
 but nevada state labor economists think a shortage is probable
 nobody yet seems to have calculated the total number of <unk> machines <unk> tables or <unk> wheels las vegas will add to the enormous store that lady luck already guards here much less the ultimate impact of the growth on schools and municipal services
 traffic is certainly a concern as is pollution water and an adequate labor market says frank <unk> executive director of the las vegas convention and visitors bureau
 city <unk> have managed to push through projects that are crucial for tourist growth such as the expansion of <unk> international airport to accommodate the N N of las vegas tourists who fly here
 this year by one means of transport or another more than N million people will visit the city
 the expansion will set off a marketing war among the big <unk>
 las vegas promises or threatens to become a giant carnival with rooms to be had for $ N a day or less for visitors <unk> solely by gambling
 amid a <unk> of <unk> <unk> circus <unk> <unk> <unk> and creatures of the wild lesser competitors will fall
 <unk> world inc. plans to defend its august reputation by sinking $ N million into its <unk> <unk> palace next door to the new mirage and adding a $ N million shopping area <unk> of <unk> drive
 the palace with its marble <unk> and <unk> parties for high <unk> is already well-known for its <unk> theme
 the <unk> hilton imperial palace <unk> and others are pouring millions of dollars into <unk> new room towers and casino floor space just to keep up
 where 's this huge amount of investment capital coming from
 golden nugget drexel burnham lambert inc. 's first casino client has borrowed on more than $ N million worth of mortgage notes mostly sold to private investors by drexel to build the mirage
 other casino owners circus circus among them are financing their expansion with their own cash and revolving credit lines from local lenders such as first interstate bank of nevada
 will the investments pay off
 the growth of las vegas tourism in recent years <unk> lenders that they will
 casino revenues and hotel <unk> rates are high
 last year the tourists left $ N billion with the area 's casinos nearly N N more than in N
 the people with a stake in nevada 's gambling industry believe that they have barely tapped the potentially huge family trade
 if you build a better <unk> it will catch more mice says fred <unk> chairman of mgm grand
 <unk> <unk> a tourist from <unk> ill. seems inclined to agree
 i 'd love it if my daughter had something else to do here says ms. <unk> watching <unk> <unk> on the water slide at the strip 's <unk> <unk> wild water park
 two generations ago <unk> came to las vegas by himself for a little diversion says van <unk> executive vice president of the nevada hotel and motel association
 one generation ago mom joined <unk>
 now in the <unk> we 're headed toward a total resort environment
 only a decade or so ago casino managers balked at <unk> tv sets and other <unk> that <unk> from gambling
 casinos today offer bowling <unk> water parks golf courses tennis courts <unk> <unk> pools and other <unk> and more such facilities are being designed
 despite the new emphasis on the family trade however tourists in search of <unk> fun than gambling seem certain to find it with las vegas call <unk> remaining on the scene
 a serious economic downturn <unk> <unk> could hurt the <unk>
 for now however the <unk> ' voices are <unk> by the <unk> of cement <unk> and the <unk> of construction <unk> along the strip
 this is no place for <unk> but at N on a recent morning when construction <unk> traffic at the famous four corners <unk> to one lane a taxi passenger found it faster to abandon the <unk> and walk to her <unk>
 the <unk> competition probably will drive some poorly managed properties into bankruptcy or new ownership
 it has happened before
 the dunes the <unk> and the <unk> were all acquired by the present owners from bankruptcy proceedings spawned by the last recession in the early 1980s
 yet that has n't discouraged investors
 some have bought big chunks of strip property for what may turn into another wave of building
 atlantic city casino owner donald trump is <unk> the las vegas market with an eye toward building an <unk> spectacular place
 even before the huge new projects began the strip 's recent expansion squeezed smaller competitors
 many blue-collar customers of downtown 's <unk> gambling spots have been <unk> to the strip or to <unk> nev. a colorado river town <unk> to <unk> and the <unk> crowd
 hotel expansion and an influx of <unk> tourists have hurt <unk>
 since N the number of motel rooms has fallen by N
 many people here expect a <unk> war as the new projects open
 there 's probably going to be some pressure on <unk> and room rates over the next year but after that you should see the market return to <unk> <unk> and regular rates says paul <unk> casino executive at ramada inc. which runs the <unk>
 skeptics wonder whether <unk> such as the mirage will be able to squeeze a profit from their cash flow
 the mirage will cost at least $ N million a day to operate
 mr. <unk> seems confident that it will produce a healthy profit but some securities analysts doubt it
 competitors and analysts say that among large existing properties bally manufacturing corp. 's bally grand hotel-casino probably will be hardest hit among major properties
 bally officials decline to discuss the situation
 bally bought the former mgm grand hotel-casino from kirk <unk> four years ago
 only now is it <unk> a badly needed <unk>
 its parking lot is <unk> the mgm <unk> <unk> still appears in places and customers still call it the grand rather than the bally grand
 it has a great location but they 're going to have some real problems when everyone around them opens says daniel lee a drexel analyst
 older properties that still have a 1950s image are also vulnerable
 any hotel-casino without a strong identity will get <unk> by the new competition says glenn schaeffer senior vice president of circus circus
 if you do n't know what you are bigger wo n't make you better he says
 but it 'll sure make you poorer
 circus circus 's flagship casino has become the envy of competitors for its ability to vacuum cash from the pockets of <unk> families
 the circus circus <unk> them with low room rates <unk> <unk> and entertainment for children at no extra charge
 the company 's <unk> will also appeal to families of course
 its castle mr. schaeffer says will be the most compelling piece of folk architecture ever built
 some casino owners have resisted the temptation to add rooms
 instead they are spending to reinforce the identity that they believe attracts their customers
 more rooms are n't the answer for us says <unk> world chairman henry <unk>
 while his company 's hotel is building a retail complex in beverly hills style and <unk> existing rooms it has decreased the number of its rooms
 some have been combined into suites for the high <unk>
 <unk> has made a specialty of <unk> to high <unk> from abroad who are also being aggressively <unk> by the mirage the las vegas hilton and others
 other smaller concerns are also pursuing market <unk> <unk> tourists for example or the local trade
 there 's still room for <unk> properties says james barrett president of <unk> resorts inc
 off the strip <unk> is building the <unk> a hotel-casino with a brazilian theme and only N rooms all of them suites
 despite the proliferation of tourist <unk> las <unk> have n't <unk> that gambling is still what the town is all about
 the days when when the thrust of casinos was all high <unk> with no windows and <unk> and lots of red and black <unk> are gone mr. <unk> of the visitors ' bureau says
 but N N of tourists still come for gambling
 we ca n't lose sight of that
 north side savings bank directors declared an initial dividend of N cents a share payable dec. N to stock of record nov. N
 the <unk> park n.y. thrift has a strong <unk> ratio said vice president michael <unk> <unk>
 at sept. N the thrift which converted to a stock form of ownership from a mutual form in april N had more than four million shares outstanding
 article i section N clause N
 every bill which shall have passed the house of representatives and the senate shall before it becomes a law be presented to the president of the united states if he approve he shall sign it but if not he shall return it with his objections to that house in which it shall have <unk> who shall enter the objections at large on their journal and proceed to reconsider it
 if after such <unk> two <unk> of that house shall agree to pass the bill it shall be sent together with the objections to the other house by which it shall likewise be <unk> and if approved by two <unk> of that house it shall become a law
 article i section N clause N
 every order resolution or vote to which the <unk> of the senate and house of representatives may be necessary except on a question of <unk> shall be presented to the president of the united states and before the same shall take effect shall be approved by him or being <unk> by him shall be <unk> by two <unk> of the senate and house of representatives according to the rules and limitations prescribed in the case of a bill
 president bush told reporters a few months ago that he was looking for the right test case to see whether he already has the line-item veto
 vice president quayle and budget director darman said recently they 've joined the search
 on tuesday the subject came up again when marlin fitzwater explained the constitutional argument based on the provisions above to the white house press corps
 president bush does n't have any provision in mind but <unk> <unk> will be like <unk> at midnight in the coming continuing resolution
 the harder question is whether anyone yet understands that mr. bush 's fight for his constitutional prerogatives is about politics as much as it is about law
 we have been persuaded by the constitutional argument for the inherent line-item veto since N when lawyer stephen <unk> first made the case on this page
 the N budget reform passed over president nixon 's veto took away the presidential <unk> power thereby introducing <unk> <unk> and <unk> the presidential veto
 mr. <unk> discovered that the <unk> had worried that congress might take the president out of the <unk>
 article i section N clause N says that whether it 's called an order resolution or vote or anything else presidents must have the chance to veto
 <unk> an omnibus budget a bill ca n't <unk> the president of his power to veto items
 finding a test case should n't be hard but there is something to be said for picking the best one possible
 the white house had the perfect case but congress <unk> before it could go to court
 after the hud and s&l stories broke some congressmen began to worry that their influence peddling at <unk> and independent agencies might some day get them in trouble
 they worried about an interior department <unk> to <unk> all communications with members or their staffs
 congress inserted the following into the interior <unk> none of the funds available under this title may be used to prepare reports on contacts between employees of the <unk> of the interior and members and committees of congress and their staff
 the white house warned that this would be an unconstitutional <unk> of its power
 when it threatened to use this provision as the test for a line-item veto congress <unk>
 the fear congress has of any <unk> test led members to add the single most <unk> and ridiculous provision this year this section shall be effective only on oct. N N
 this means interior contacts can not be <unk> only on one day a sunday that had already passed
 if the white house is looking for another unconstitutional bill rep. john dingell is trying again to raise the fairness doctrine from the dead
 president reagan vetoed this as a first amendment violation
 the fairness doctrine 's enthusiasts are <unk> in the house who know the rules <unk> <unk> discussions on <unk> <unk> <unk> <unk>
 there are also other provisions requiring congressmen to join <unk> teams and new restrictions on <unk>
 unconstitutional bills make good legal targets but the line-item veto is better understood as a political opportunity than as mere <unk> for lawyers
 commenting on the budget mess this week president bush said the perception out there is that it 's the fault of congress
 and you can look to the leadership and ask them why that is the perception of the american people
 exactly right
 now 's the time to make the political case that presidents need the line-item weapon to restore discipline to the budget
 congress is in no position to <unk> mr. bush now that we 're into gramm-rudman 's <unk>
 just this week the house-senate conference met N conferees divided into N different <unk>
 senator daniel inouye agreed to close some bases in hawaii in exchange for such <unk> as $ N million for a parking lot at walter reed hospital
 conference negotiator rep. bill <unk> pulled down $ N million in military bases for north carolina and <unk> allowed senator james <unk> $ N million for bases in tennessee
 president bush should take the constitution in one hand and a budget <unk> in the other and get to work
 he should <unk> out both unconstitutional provisions and budget pork
 congress may have lost any sense of discipline but that does n't mean the country must learn to live forever with this mess
 president bush has the power to change how washington works if only he will use it
 troubled sci television inc. proposed to restructure much of its $ N billion in debt to buy time to sell assets and pay its obligations
 the leveraged buy-out firm of kohlberg kravis roberts & co. which owns N N of the common equity of sci tv indicated in the debt plan that it would reduce its equity stake to N N giving the rest of its stake to bondholders in the restructuring
 kkr also signaled to the company 's creditors that henry kravis and other kkr directors of sci tv would resign from the board once the restructuring is completed and <unk> their voting rights
 holders of sci tv 's $ N million of high-yield junk bonds are being asked to <unk> a lot of debt in exchange for taking a N N equity stake in sci tv
 they immediately termed the proposal inadequate and said the restructuring would not solve the company 's problems
 i think the current plan is sufficiently flawed in a sufficient number of bondholders ' eyes that substantial revisions will be required to get it done says analyst craig davis of <unk> smith & co. here
 investors interpreted the kkr move as a desire by the firm to wash its hands of sci tv
 but a spokesman for kkr says that with only a N N equity stake it would n't be appropriate for kkr to keep board representation
 kkr already has made about $ N billion of gains from earlier transactions with sci tv thus it is n't significantly affected by the company 's troubles
 sci tv which is controlled by <unk> tenn. entrepreneur george gillett owns six tv stations including several cbs inc. affiliates
 it is having trouble meeting its debt payments because of heavy borrowing in N for a leveraged buy-out
 through investment banker drexel burnham lambert inc. sci tv is offering to exchange three classes of junk bonds for packages of new bonds and equity that investors value at ranges from N cents to N cents on the dollar
 kkr would give up a N N equity stake to bondholders while mr. gillett would surrender an N N stake
 while one big sci tv investor thinks that 's pretty generous many <unk> had been hoping that kkr and mr. gillett would invest new money in sci tv
 those investors think sci tv needs new equity to survive
 sci tv 's debt restructuring plan would defer payment of $ N million of bank debt
 it also would defer interest and principal on junk bonds that have fallen due the grace period for paying the bill expires nov. N
 at the same time investors estimate the restructuring would cut the company 's annual cash interest bill from about $ N million to $ N million
 yet to pay that interest bill analysts say sci tv will only produce about $ N million to $ N million of cash flow a year
 office market <unk> in overbuilt northeast
 the northeast office market is feeling serious <unk> of the <unk> <unk> of the 1980s
 <unk> and other signs of financial <unk> most often associated with the real estate market in the southwest are <unk> in the suburban office market of the once thriving northeast
 some projects are now in the hands of lenders including a <unk> office facility in little falls n.j
 the owners of a <unk> hotel and office complex in king of <unk> pa. have advertised for new financing
 rising office vacancy rates in fairfield county conn. have builders and bankers scrambling to restructure loans
 and in suburban boston developers are bracing for cutbacks in the computer industry a major user of office space
 many troubled properties have n't been foreclosed on and are hard to identify says albert i. <unk> who heads the <unk> n.j. office of <unk> inc. a real estate brokerage
 owners are voluntarily and quietly turning over properties to lenders through <unk> in <unk> of <unk>
 often developers stay on as property manager
 real estate analyst lloyd <unk> says the northeast 's <unk> is <unk> by relatively low vacancy rates
 but in today 's overbuilt market tenants have many choices and are negotiating low <unk> that squeeze building owners
 on average mr. <unk> says it now takes three to N N years to fill new office space compared with N N years in N
 beverly hills comes to suburban tokyo
 why should the japanese cross the pacific to buy american real estate when they can simply <unk> it at home
 tokyu development corp. is spending $ N million to build <unk> luxury homes in suburban tokyo with rarely seen back yards front yards <unk> pools and tennis courts
 the japanese company hired <unk> <unk> martin a newport beach calif. architectural firm to design what the japanese press has dubbed the beverly hills of tokyo
 instead of japan 's typical small homes <unk> on narrow streets with no <unk> the new one hundred hills development will offer N houses on <unk> lots
 that 's more than N times the usual housing site size
 buyers with $ N million to spend can select from N designs including a <unk> california style a traditional yankee look and designs inspired by midwestern architect frank lloyd wright
 there are <unk> living rooms and <unk> plus a master <unk> <unk> and a <unk> for removing shoes to suit japanese life styles
 <unk> are faced with brick wood or stone but the homes are made of <unk> concrete
 we were disappointed we could n't use wood says architect walter j. <unk> but the japanese only want stronger materials
 at $ N per square foot the japanese want the feeling of <unk> he explains not to mention protection from possible earthquake damage
 housing developers try <unk> buildings
 residential builders faced with a more competitive market are turning to a traditional consumer marketing technique to establish <unk> identity
 one of the difficulties people in real estate have is that each product is like starting a new company or starting a new line in the fashion business says l. robert <unk> president of mountain development corp. in west paterson n.j
 so he 's using river in many project names
 it 'll never be like what bristol-myers does he adds but it helps establish recognition with the public and with banks
 <unk> group inc. of <unk> n.j. has built cross creek <unk> <unk> <unk> and other <unk> in new jersey
 <unk> development corp of armonk n.y. has developed two apartment buildings called classic and plans a third
 developer steve <unk> says the same brand name indicates consistent quality regardless of location design or <unk>
 the leader in real estate brand names is developer <unk> <unk>
 his <unk> <unk> are labeled society hill
 <unk> hill is for <unk> town houses and <unk> hill for single-family houses
 because of standardized designs mr. <unk> says a buyer can <unk> society hill regardless of where it is
 quake not likely to jolt the commercial market
 the earthquake in san francisco has sent few tremors through the hearts of real estate investors
 i think there 's a disease called buyer 's regret and i 'm sure it 's running rampant at this moment but it gets <unk> in a short period of time says kenneth leventhal <unk> partner of kenneth leventhal & co. a los angeles accounting firm specializing in real estate
 if i were buying a building in san francisco now the first thing i 'd do is insist on a structural inspection then i 'd delay a little <unk> a little
 but like other real estate professionals accustomed to california 's quake risks mr. leventhal anticipates little long-term change in the city 's commercial real estate market
 still local builders are eager to tell the world that most of san francisco does n't look like the tv images of destruction
 planners of the urban land institute real estate conference this week hastily added a panel on the quake 's effects
 the message is we build <unk> right says peter <unk> a california developer and officer at urban land institute
 there 's seven million square feet of space that 's doing great
 health clubs gear up for a <unk> <unk>
 although their ads picture <unk> young people in <unk> <unk> club owners know the future lies with the <unk> <unk> set
 it 's a <unk> that physical fitness is something for the young and <unk> says michael <unk> sales manager of the la fitness club diamond bar calif
 about N N to N N of members at atlanta 's holiday <unk> center are elderly says gerald williams fitness consultant
 most want cardiovascular <unk> the no. N way of reducing risk of heart disease
 the association of quality clubs which puts N industry revenue at $ N billion surveyed the <unk> <unk> market and found that N N exercise regularly
 michael <unk> head of <unk> fitness notes an industry wash is in progress
 clubs need to be run like restaurants where every square foot makes a dollar he says
 older people help profits by filling in <unk>
 he adds the medical market and the fitness market parallel each other and are going to cross real soon
 people on fixed incomes get a break at <unk> over N wins a N N discount at <unk> imperial health <unk>
 hot <unk> <unk> regulator <unk> concern over import of <unk> stones
 a committee of <unk> dealers <unk> the source of some hot blue <unk> stones recently reported by a hong kong jewelry manufacturer
 in the u.s. radiation limits are set and monitored by the nuclear regulatory commission which licenses <unk> that process the <unk>
 the agency is working on licensing <unk> but does n't currently monitor imports
 <unk> a <unk> mineral that is often <unk> when taken from the ground can be turned blue by <unk> which <unk> it into a <unk> that looks like an <unk>
 the stones that were <unk> in the u.s. are safe says john <unk> chief of the <unk> operations branch washington
 we believe that the vast majority of imported material is safe
 but there is a small risk that some were imported with high radiation levels
 mr. <unk> added that the stones found in hong kong are thought to carry double the u.s. radiation limit although he noted that double or even triple the u.s. limit is still in the range of safe levels
 some jewelers have <unk> <unk> to measure <unk> radiation
 capital <unk> to europe as N unification <unk>
 boston 's advent international raises $ N million from u.s. pension funds and other institutions to invest in europe
 other venture capitalists are already there <unk> <unk> group and its alan <unk> associates new york <unk> <unk> <unk> & co. boston and san francisco 's hambrecht & quist have about $ N million to invest in european companies
 european venture capital funds total about $ N billion and are expected to continue growing N N annually
 <unk> believe that the strongest growth area will be southern europe
 spain and italy are most often mentioned as the future economic hot spots
 favored ventures include media telecommunications and retailing
 most popular acquisition method the leveraged buy-out
 <unk> firms that need cash to grow are attractive says john turner of <unk> <unk> <unk>
 an aids <unk> from the american foundation for aids research rates and reviews educational materials
 learning aids lists films <unk> <unk> <unk> and other educational data
 the distributor is <unk> <unk> new york
 suspect sales ads are challenged by the better business bureau of metropolitan new york
 the bureau found that only two of six new york furniture stores could prove their <unk> prices were higher
 <unk> 's busy this time of year but a visit to his <unk> castle is part of a chicago-based <unk> trip in the spring presumably the count 's <unk>
 radio <unk> draws the <unk> of the federal communications commission
 am radio which has been losing <unk> to fm channels since the 1970s approaches the 1990s with a diminished voice
 but it may have a good <unk> in washington
 the fcc plans to hear a day of testimony nov. N on the plight of am radio
 the commission believes that improving am service would broaden listening <unk> and increase options for advertisers
 the issues are also thought to be important to the fcc 's new chairman alfred <unk> a former am <unk> in his native missouri
 the fm radio band considered technically superior because it can carry stereo <unk> has <unk> the <unk> for delivering music
 am stereo remains largely undeveloped because it lacks a uniform delivery system
 the national association of broadcasters in june adopted an agenda for <unk> am radio that includes among other things pursuing further fcc action on <unk> an am stereo standard and seeking a law requiring all stereo <unk> to include am stereo
 <unk> turned to <unk> run on <unk> for news when the san francisco earthquake and hurricane hugo cut power lines
 briefs
 a modern healthcare magazine article says N N of surveyed executives admitted falling <unk> during formal <unk>
 lee co. the jeans maker <unk> its <unk> anniversary with a <unk> <unk> featuring photos of its N employees
 kemper financial services inc. charging that program trading is <unk> the stock market cut off four big wall street firms from doing any of its <unk> business
 the move is the biggest <unk> yet in the renewed outcry against program trading with kemper putting its money the millions of dollars in commissions it generates each year where its mouth is
 the kemper corp. unit and other critics complain that program trading causes wild swings in stock prices such as on tuesday and on oct. N and N and has increased chances for market crashes
 over the past nine months several firms including discount broker charles schwab & co. and sears roebuck & co. 's dean witter reynolds inc. unit have attacked program trading as a major market evil
 several big securities firms backed off from program trading a few months after the N crash
 but most of them led by morgan stanley & co. moved back in earlier this year
 the most volatile form of program trading is index arbitrage the <unk> computer-guided buying and selling of stocks offset with opposite trades in stock-index futures and options
 the object is to capture profits from fleeting price discrepancies between the futures and options and the stocks themselves
 index arbitrage recently has accounted for about half of all program trading on the new york stock exchange
 last month program trading accounted for N million shares a day or a record N N of the big board 's average daily volume
 on tuesday afternoon kemper told bear stearns & co. general electric co. 's kidder peabody & co. unit morgan stanley and oppenheimer & co. that it will no longer do business with them because of their commitment to index arbitrage officials inside and outside these firms confirmed
 kemper officials declined to identify the firms but acknowledged a <unk> dispute with four securities firms and said the list of brokers it wo n't do business with may be <unk> in the months ahead
 we 've been opposed to index arbitrage for a long time said stephen b. <unk> chief investment officer at kemper which manages $ N billion including $ N billion of stocks
 index arbitrage does n't work and it <unk> natural buyers of stock
 while mr. <unk> explained he 's not totally convinced index arbitrage changes the overall level of the stock market he said that on an intraday basis it has major effects
 we 've talked to proponents of index arbitrage and told them to cool it because they 're <unk> the market
 they said too bad so we finally said we 're not going to do business with them
 kemper also <unk> the big board for ignoring the interests of individual and institutional holders
 the new york stock exchange has vested interests in its big member securities firms that cloud its <unk> mr. <unk> said
 it has never been interested in what we think
 the big board also has a terrible communication problem with individual investors he added
 small investors <unk> that big operators dominate the market said thomas <unk> chairman of the national association of investors and head of the exchange 's individual investors advisory committee set up after the N crash
 the impression i 've got is they 'd love to do away with it program trading but they the exchange ca n't do it he said
 big board chairman john j. phelan said in a recent interview that he has no <unk> to eliminate program trading
 he said the market 's volatility <unk> him but that all the exchange can do is slow down the process by using its circuit breakers and shock <unk>
 mr. <unk> <unk> that the mere fact they put in circuit breakers is an admission of their problems
 morgan stanley and kidder peabody the two biggest program trading firms <unk> defend their strategies
 we continue to believe the position we 've taken is reasonable a morgan stanley official said
 we would stop index arbitrage when the market is under stress and we have recently he said citing oct. N and earlier this week
 michael carpenter president and chief executive officer at kidder peabody said in a recent interview we do n't think that index arbitrage has a negative impact on the market as a whole
 according to lawrence <unk> a securities industry analyst at prudential-bache securities inc. kemper is the first firm to make a major statement with program trading
 he added that having just one firm do this is n't going to mean a hill of <unk>
 but if this <unk> others to consider the same thing then it may become much more important
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 blockbuster entertainment corp. $ N million redemption amount of zero-coupon convertible notes also known as liquid yield option notes due nov. N N priced at N to yield at maturity N N
 the notes are zero-coupon securities and will not pay interest <unk>
 the size of the offering was increased from the originally planned $ N million redemption amount
 the notes are convertible into common stock of blockbuster entertainment at $ N a share representing a N N conversion premium over yesterday 's closing price
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue will be sold through merrill lynch capital markets
 merrill lynch & co. $ N million of N N notes due nov. N N priced at N to yield N N
 the issue which is <unk> back to the company nov. N N was priced at a spread of N basis points above the treasury 's five-year note
 rated single-a-1 by moody 's and <unk> by s&p the noncallable issue will be sold through underwriters led by merrill lynch capital markets
 <unk> cascade corp. $ N million of N N debentures due N priced at N
 itt financial corp. $ N million of N N subordinated notes due nov. N N priced at N to yield N N
 the noncallable issue which is <unk> back to the company nov. N N was priced at a spread of N basis points above the treasury 's five-year note
 rated single-a-2 by moody 's and single-a by s&p the issue will be sold through underwriters led by merrill lynch capital markets
 itt financial is a subsidiary of itt corp
 arco chemical co. $ N million of N N debentures due nov. N N priced at N to yield N N
 rated single-a-2 by moody 's and single-a by s&p the issue will be sold through underwriters led by salomon brothers inc
 trinity river authority texas $ N million of regional wastewater system improvement revenue bonds series N due N N and N through a shearson lehman hutton inc. group
 the bonds insured and rated triple-a by moody 's and s&p were priced to yield from N N in N to N N in N
 there are $ N of N N term bonds due N priced at N N to yield N N and $ N million of N N term bonds due N priced at N N to yield N N
 serial bonds which all carry N N coupons are priced to yield from N N in N to N N in N
 beverly hills calif. $ N of refunding certificates of participation civic center improvements project due N N N and N tentatively priced by a goldman sachs & co. group to yield from N N in N to N N in N
 serial certificates yield to N N in N
 they are all priced at par
 there are $ N of N N term certificates due N priced to yield N N
 the $ N million of N N certificates due N carry the issue 's high yield priced at N N to yield N N
 there are also $ N million of N N N certificates due N priced to yield N N
 the bonds are rated single-a-1 by moody 's and <unk> by s&p according to the lead underwriter
 michigan $ N million of first general obligation bonds series N environmental protection program and recreation program tentatively priced by a shearson lehman hutton group to yield from N N for current interest bonds due N to N N for convertible capital appreciation bonds
 environmental protection program current interest bonds are due N N and N
 they are tentatively priced to yield from N N in N to N N in N
 the standard capital appreciation bonds in the issue due N yield to maturity from N N in N to N N in N
 the convertible capital appreciation bonds all yield N N to their respective conversion dates when they become N N N current <unk> bonds until maturity
 convertible capital appreciation bonds with a final stated maturity of nov. N N convert nov. N N
 convertible capital appreciation bonds with a final stated maturity of nov. N N convert nov. N N
 recreation program current interest bonds are due N and are priced to yield from N N in N to N N in N
 all of the bonds are rated single-a-1 by moody 's and double-a by s&p
 federal national mortgage association $ N million of remic securities in N classes through goldman sachs
 the issue is backed by fannie mae N N <unk>
 the offering is fannie mae 's series N
 fuji heavy industries ltd japan $ N million of N N N bonds due nov. N N priced at N N to yield N N less full fees annually via daiwa europe ltd
 guarantee by industrial bank of japan
 fees N
 european investment bank agency $ N million of N N N bonds due nov. N N priced at N to yield N N at reoffered price via lead manager <unk> morgan securities ltd
 nippon meat <unk> inc japan $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via yamaichi international europe
 each $ N bond carries a warrant exercisable nov. N N through oct. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 gmac canada ltd u.s. parent N million canadian dollars of floating-rate notes due november N via banque paribas capital markets ltd
 coupon paid monthly is <unk> canadian bankers acceptance rate
 guarantee by general motors acceptance corp
 call at par after two years and thereafter at par every six months
 swedish export credit corp. # N million of N N bonds due june N N priced at N N to yield N N annually less full fees via samuel <unk> & co
 fees N N
 <unk> finland N billion yen of N N N bonds due nov. N N priced at N N to yield N N N less full fees via <unk> international
 fees N N
 <unk> <unk> bank japan N million swiss francs of notes and bonds due march N N with fixed N N coupon at par via swiss bank corp
 put option march N N at N N to yield a fixed N N
 the issue is in two parts N million swiss francs of privately placed notes N million swiss francs of publicly listed bonds
 <unk> conditions for the two parts
 other terms to be fixed nov. N
 kingdom of <unk> $ N million redemption amount of zero-coupon government trust certificates with maturities stretching from may N N to nov. N N priced at yields ranging from N N to N N
 all the issues were priced at a spread of N basis points above the treasury strips with similar maturities
 proceeds from the offering are about $ N million
 rated triple-a by moody 's and s&p the issue will be sold through underwriters led by <unk> securities a subsidiary of bankers trust new york corp
 at a time when jon levy should be planning the biggest spring season in his dress company 's N years his work day is <unk> with intense moments of concern about one of his biggest customers campeau corp
 the dress business has always been a gamble but it 's never been like this says mr. levy president of st. <unk> group ltd. which has become a hot name thanks to a campaign of <unk> tv commercials
 every day mr. levy checks orders from campeau department store chains trying to guess if he will be paid
 i 'm now monitoring every major account
 campeau owner of such retailers as bloomingdale 's <unk> <unk> and jordan marsh <unk> financial collapse last month after an emergency $ N million loan from olympia & york developments ltd. a canadian developer and a major shareholder in campeau
 the need for the loan surprised many analysts and bond holders who had been told at the company 's annual meeting in july that there were n't any major problems ahead
 the risk of doing business with campeau 's federated and allied department store chains is about to increase greatly not only for mr. levy but for hundreds of other small apparel makers <unk> suppliers trucking firms and fabric houses
 next week the country 's top designers and manufacturers will begin showing <unk> for spring N the second most important selling season of the year
 and as the applause dies down in <unk> along seventh avenue and broadway <unk> <unk> campeau buyers will begin writing orders
 orders from campeau retailers used to be cause for celebration
 this is no longer true because of campeau 's massive debt load
 it 's all anybody wants to talk about says richard posner executive vice president for credit exchange inc. a leading credit service
 people wonder what 's going to happen next
 many manufacturers are worried about being paid for merchandise already shipped to campeau stores
 but those dollars at risk pale in comparison to the investment required to make and ship spring goods to campeau stores
 the few million dollars i could lose today is nothing against what i could lose on the spring line says mr. levy who estimates that campeau stores will sell $ N million worth of his clothes this year
 i 'm buying fabric right now for clothes which i may not be paid for until april or may
 what happens to me if campeau <unk> between now and then
 some credit concerns such as bernard <unk> credit consultants inc. have told clients not to ship anything to federated or allied stores on credit
 this is especially true for spring merchandise says jim <unk> credit manager at bernard <unk>
 campeau has too much debt
 other credit houses such as credit exchange and solo credit service corp. are suggesting that their clients study each order before shipping
 payments are good right now but we are n't recommending any long-term lines of credit says richard hastings a retail credit analyst referring to credit lines which make inventory purchases automatic
 the campeau situation is a little uncertain and very difficult to analyze
 because of those concerns some manufacturers say they will ask for letters of credit before shipping spring merchandise
 we 're being paid today but we 're worried about tomorrow and will want letters of credit says the sales director at one major dress maker who asked not to be identified
 howard <unk> president of the dress firm <unk> b inc. says it 's big time chaos today
 i 'm going to ship and hope i get paid
 if i need to ask for money up front later i will
 carol <unk> vice president corporate communications at campeau says that all of the federated and allied chains are paying their bills in a timely manner
 they continue to pay their bills and will do so says ms. <unk>
 we 're confident we 'll be paying our bills for spring merchandise as well
 typically manufacturers are paid N days after the month in which they ship
 if goods are shipped to bloomingdale 's between oct. N and oct. N manufacturers expect to be paid by nov. N
 but manufacturers now buying fabric for spring season goods wo n't be paid until march april or even may
 some in the market question whether campeau will be in a position to pay bills at that time
 everybody is worried about the possibility of <unk> says kurt <unk> publisher of <unk> 's retail marketing report
 the buyers who work for the various campeau chains may lose their jobs
 the stores they work for may be sold
 what that will mean for manufacturers is anybody 's guess
 campeau 's financial situation is complicated by an estimated $ N billion in debt due next spring
 this includes a working capital facility for allied stores of $ N million that <unk> march N N and an $ N million bridge loan due april N N
 the company has stated in recently filed financial documents that it anticipates refinancing its march N payments
 in recent months numerous retailers have filed for chapter N bankruptcy protection including <unk> teller b. altman & co. and miller & <unk> inc
 those filings plus the expected sale of a number of financially healthy chains such as saks fifth avenue marshall field 's and bloomingdale 's have added to the anxiety
 right now federated owes us a considerable amount of money says morris <unk> president of david warren enterprises a major dress manufacturer
 we expect they will be current with their debts by the end of the week but we are considering asking them for letters of credit before we take more orders
 mr. <unk> adds that his company is now holding some goods in anticipation of being paid in full
 it 's become a <unk> business he says
 business has never been this tough before
 not only does your product have to be excellent but you also have to be able to collect
 other manufacturers are equally cautious
 <unk> <unk> president of <unk> miller inc. says his company is now shipping only to the flagship stores of the federated and allied chains
 this limits his financial exposure he says
 the branches are just <unk> over empty halls says mr. <unk>
 why should i be part of that problem
 i 've got limited production and i ca n't give it to <unk>
 campeau 's ms. <unk> disputes mr. <unk> 's comments
 many of the branches are very lucrative she says
 that 's just nonsense
 as for mr. levy at st. <unk> he says he will maintain his credit lines with the various campeau stores unless they miss a payment
 if they slip for N cents for N minutes i 'll stop he says
 bethlehem steel corp. <unk> by higher costs and lower shipments to key automotive and <unk> customers posted a N N drop in third-quarter profit
 separately two more of the nation 's top steelmakers armco inc. and national intergroup inc. reported lower operating earnings in their steel businesses marking what is generally believed to be the end of a two-year boom in the industry
 wall street analysts expect the disappointing trend to continue into the fourth quarter and through at least the first two quarters of N when the industry will increasingly see the effect of price erosion in major product lines such as rolled sheet used for cars appliances and construction
 it does n't <unk> well for coming quarters said john jacobson who follows the steel industry for <unk> consultants
 in fact he thinks several steelmakers will report actual losses through the third quarter of N
 bethlehem the nation 's second largest steelmaker earned $ N million or N cents a share
 the figures include $ N million in costs related to a blast <unk> <unk> and $ N million in losses from unauthorized work <unk> at the company 's coal operations
 in the year-ago period bethlehem earned $ N million or $ N a share including a $ N million gain from early retirement of debt
 third-quarter sales dropped N N to $ N billion from $ N billion a year ago
 in composite trading on the new york stock exchange bethlehem shares rose N cents to $ N
 of all the major steelmakers bethlehem would seem to be the most vulnerable to a slowdown
 it has n't diversified beyond steel nor has it linked up with a joint venture partner to share costs and risks
 however in spite of the difficult industrywide environment of high cost and low volume bethlehem had pretty good earnings numbers said <unk> <unk> <unk> an analyst with salomon brothers inc
 ms. <unk> had estimated third-quarter earnings of N cents a share but said the losses for the unusual items were larger than expected
 still bethlehem 's core basic steel operations experienced a steep drop in operating profit to $ N million from $ N million a year ago when the industry enjoyed strong demand and pricing
 the company said its shipments declined as a result of a reduction in inventories by service centers a lackluster automotive market and increasing competitive pressures in the construction market
 at the same time production costs compared with a year ago were boosted by higher raw material and employment costs which resulted from the company 's new labor pact effective june N
 we anticipate that steel market conditions will exhibit a further moderate decline in the fourth quarter as the automotive sector remains weak and customers continue to adjust inventories said bethlehem chairman walter f. williams
 he noted however that the company 's order entry has increased from the low levels of the early summer following the end of labor negotiations
 armco hampered by lower volume in its specialty steel business said third-quarter net income dropped N N to $ N million or N cents a share from $ N million or N cents a share in the year-ago quarter
 sales dropped to $ N million from $ N million because the company no longer <unk> its eastern steel division which is now a joint venture with <unk> steel corp
 along with reduced volume analysts said the nation 's fifth largest steelmaker was hurt by holding <unk> inventory when raw material costs of such key products as nickel dropped
 operating profit dropped N N in its specialty flat-rolled steel segment
 moreover the company said higher sales and shipments to service centers from its armco steel co. joint venture failed to offset weakness in the automotive market higher production costs and a poorer product mix
 armco shares closed unchanged at $ N in composite trading on the new york stock exchange
 national intergroup which owns N N of the nation 's sixth largest steelmaker national steel corp. posted net income for the fiscal second-quarter of $ N million or N cents a share compared with a net loss of $ N million
 sales increased in the quarter ended sept. N to $ N million from $ N million a year ago
 the latest period includes gains of $ N million from early retirement of debt and tax loss carry-forward
 last year 's results were hurt by $ N million in restructuring charges
 national intergroup stock closed at $ N unchanged in composite trading on the new york stock exchange
 the company noted that its <unk> drug co. ben franklin stores inc. and <unk> corp. operations showed improvements as a result of restructuring moves
 however its equity in the net income of national steel declined to $ N million from $ N million as a result of softer demand and lost orders following prolonged labor talks and a threatened strike
 national intergroup is negotiating for the sale of its N N interest in national steel to concentrate more fully on drug distribution operations
 international business machines corp. said it agreed to let motorola inc. participate in a semiconductor research project as part of its effort to bolster the u.s. semiconductor industry
 ibm which made the announcement at the <unk> of a research center here said it invited many other companies to participate as well including some from europe
 jack <unk> ibm 's president said ibm is also considering letting other companies participate in additional semiconductor work but declined to be more specific
 ibm which said a year ago it was inviting companies to participate in some semiconductor work has become far more open about its technology as it has tried to rally u.s. industry to head off the japanese who now dominate the market for dynamic random access memory chips
 while ibm armonk n.y. makes the bulk of the <unk> it uses it does n't make the equipment needed to produce those chips
 and ibm worries that the japanese will take over that equipment market too unless u.s. semiconductor companies produce enough memory chips here to keep u.s. equipment makers healthy
 failure of u.s. equipment makers ibm fears would leave it dependent on many of the japanese companies that compete with it in other parts of the market
 ibm also said it expects to benefit from the expertise that motorola and other companies can bring to bear on the difficult problems involved in semiconductor manufacturing
 ibm already <unk> in one industrywide effort to improve <unk> techniques
 ibm said it expects industrywide efforts to become <unk> because semiconductor manufacturing has become so expensive
 a <unk> plant cost $ N million in the mid-1970s but costs $ N million today because the technology is so complex
 and ibm said it expects the costs to continue climbing
 ibm which said motorola is paying just a nominal fee to cover the <unk> agreement acknowledged some companies had turned down its invitation to join in
 but it said that was mainly because the project may not bear fruit until the mid-1990s
 ibm said it thought more companies would become interested as the project <unk>
 the project involving motorola concerns a technique called <unk> <unk> that figures to be crucial to future generations of memory chips
 currently chips are produced by <unk> light through a <unk> to produce an image on the chip much as a camera produces an image on film
 but details on chips must now be extraordinarily fine and the <unk> of even <unk> light are long enough so that the images they draw may be too <unk> much as someone using a wide <unk> could produce a broad line but would have trouble painting a thin one
 <unk> by contrast travel <unk> and can be focused more tightly than light
 <unk> have problems too
 they can make the <unk> <unk> and can pass through material they 're not supposed to
 but assuming those problems can be overcome they should allow for memory chips that could approach one billion <unk> of information N times as much as is contained in the <unk> chips that are just reaching the market and a million times what was possible in the mid-1970s
 allied-signal aerospace co. received a $ N million contract to outfit continental airlines ' N planes with the <unk> traffic alert and <unk> <unk> system
 the <unk> system operates independent of <unk> radar systems <unk> pilots of nearby aircraft allied-signal said
 the system also provides <unk> <unk>
 allied-signal is a unit of allied-signal inc. a manufacturer with interests in aerospace automotive products and engineered materials
 continental airlines is a unit of texas air corp. houston
 in a stunning shift in direction provigo inc. said it will sell all its non-food operations to concentrate solely on its retail and wholesale grocery business
 the non-food operations accounted for about N N of provigo 's N billion canadian dollars us$ N billion in sales in the latest fiscal year
 in a related move pierre lortie chairman and chief executive resigned
 mr. lortie joined provigo in N and <unk> the company 's drive to grow outside its traditional food business
 he could n't be reached for comment
 <unk> nadeau newly appointed chairman and interim chief executive of provigo would n't say if mr. lortie was asked to leave
 mr. lortie felt less <unk> mr. nadeau said given the decision to dump provigo 's non-food operations
 at this stage it was felt i was perhaps more <unk> as chief executive
 mr. nadeau also is chairman and chief executive of <unk> inc. provigo 's controlling shareholder
 at a news conference mr. nadeau said the sale of the three non-food businesses which account for nearly half the company 's c$ N million in assets should be completed in a matter of months
 the three units are a nationwide pharmaceutical and <unk> distributor a small <unk> chain and a combination catalog showroom and <unk> chain
 investors and analysts <unk> the news
 provigo was the most active industrial stock on the montreal exchange where it closed at c$ N us$ N up N canadian cents
 i think it 's a pretty positive development said ross <unk> a financial analyst with <unk> <unk> <unk> inc. of the decision to concentrate on <unk>
 mr. lortie 's departure while sudden was seen as inevitable in light of the shift in strategy
 the non-food operations were largely mr. lortie 's creation and his strategy did n't work said steven holt a financial analyst with midland <unk> ltd
 provigo 's profit record over the past two years <unk> the company 's and mr. lortie 's <unk>
 for the six months ended aug. N provigo posted net income of c$ N million or eight canadian cents a share compared with c$ N million or N canadian cents a share a year earlier
 sales were c$ N billion compared with c$ N billion
 last month canadian bond rating service downgraded provigo 's commercial paper and debentures because of its lackluster performance
 analysts are skeptical provigo will be able to sell the non-food businesses as a group for at least book value and are expecting write-downs
 mr. nadeau said he could n't yet say if the sale prices would match book values
 he said all three non-food operations are profitable
 mr. nadeau said discussions are under way with potential purchasers of each of the units
 he declined to confirm or deny reports that provigo executive <unk> roy is trying to put together a management buy-out of the <unk> showroom unit
 mr. roy could n't be reached
 <unk> <unk> was named senior executive vice president and chief operating officer of provigo a new position
 mr. <unk> was president and chief operating officer of provigo 's quebec retail and wholesale grocery unit
 mr. nadeau said he intends to remain provigo 's chief executive only until the non-food businesses are sold after a which a new chief executive will be named
 comments by federal reserve board chairman alan greenspan lent some support to the dollar but the u.s. unit ended yesterday lower against most major currencies
 foreign-exchange dealers noted that the impact of the chairman 's remarks was slight and warned that the currency remains sensitive to developments on wall street
 traders said that mr. greenspan whose statements are ordinarily cautious was especially careful to avoid any <unk> <unk> with fears about equities still <unk> financial markets
 <unk> before a panel of the house banking committee mr. greenspan said the short-term value of the dollar on foreign-exchange markets is n't the primary policy focus of the central bank
 our essential focus is on domestic policy mr. greenspan said referring to the goals of price stability and a stable economy
 in perhaps his most telling remark mr. greenspan termed the current u.s. inflation rate of around N N as much too high to be ignored
 he added however that inflation could be brought down close to zero without throwing the economy into a recession
 analysts viewed the chairman 's comments as an indication that the central bank is <unk> to ease monetary policy further in the near future
 the dollar climbed immediately higher on news of mr. greenspan 's testimony settling lower in later trade as dealers <unk> positions ahead of today 's preliminary report on third-quarter u.s. gross national product
 in late new york trading yesterday the dollar was quoted at N marks down from N marks tuesday and at N yen up from N yen late tuesday
 sterling was quoted at $ N up from $ N late tuesday
 in tokyo thursday the u.s. currency opened for trading at N yen up from wednesday 's tokyo close of N yen
 many traders forecast a <unk> of the market 's recent bearish trend and predict the u.s. currency will remain stuck in its relatively narrow ranges in the near term and then shift lower
 but according to doug madison a corporate trader with bank of america in los angeles a large number of short positions must first be corrected spurring a temporary <unk> before the unit can turn lower
 he predicts a downward move in <unk> trade and a less dramatic slip in <unk> noting that there continues to be a large pool of japanese investor interest in u.s. securities which could provide a solid base for the dollar at around N yen
 market participants hope today 's gnp report will offer more substantial evidence on u.s. economic growth although analysts are quick to point out that the figures may <unk> the economy 's <unk>
 the r word is looming again says one dealer referring to persistent concern among some market analysts that the u.s. economy is heading toward a major slowdown if not a recession
 some dealers note that while the third-quarter figures may appear relatively bullish the market consensus calls for a N N annual growth rate unchanged from the second-quarter rate it would take a significantly stronger figure to alter market perceptions that the economy is softening
 some analysts <unk> that the next quarter 's figures will present a more accurate picture of the u.s. economy showing a marked slowdown in a number of sectors including housing starts and equities
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce down $ N
 estimated volume was a light N million ounces
 in early trading in hong kong thursday gold was quoted at $ N an ounce
 lawrence insurance group inc. said it acquired united republic reinsurance co. a houston property and casualty reinsurance company from united savings association of texas for $ N million
 lawrence insurance also sold N million of its shares for $ N each to its parent lawrence group inc
 lawrence insurance based in albany n.y. plans to use the $ N million in proceeds to help finance the acquisition of united republic
 by acquiring the shares lawrence group increased its stake in lawrence insurance to N N from N N
 lawrence insurance <unk> mostly primary insurance a company spokesman said
 a reinsurance company effectively <unk> insurance companies that wish to spread the risk of a particular policy
 lawrence group also owns lawrence agency corp. <unk> n.y. an insurance agency and brokerage
 <unk> <unk> associates inc. the closely held owner of <unk> <unk> & co. said its fiscal third-quarter earnings jumped to $ N million from $ N million a year earlier aided by a $ N million gain from the sale of stock in a japanese subsidiary
 the apparel holding company had sales in the quarter ended aug. N of $ N billion up N N from $ N million a year ago
 the company said its quarterly results are now being publicly filed as the result of the formation earlier this year of employee stock investment plans
 wall street would like ual corp. 's board to change its mind about keeping the company independent
 but what happens next in the continuing takeover drama may depend more on the company 's two most powerful and <unk> unions the pilots and machinists
 some people familiar with the situation believe that the collapse of the previous $ N billion buy-out if anything may have strengthened the hands of these two labor groups
 as a result both may now have <unk> veto power over any ual transaction
 one reason banks likely to react to any new ual deal with even more caution than the first time around probably will insist on labor harmony before they agree to put up cash for any new bid or even a <unk> recapitalization plan
 united pilots have shown on a number of occasions they are willing and able to strike said an executive at fuji bank one of ual 's large lenders
 if you have both labor groups on strike you 've got no revenue and that 's a very scary thing for a bank to be looking at
 just this past week a leading japanese bank asked for a meeting with the machinists ' union leaders to determine where the union would stand if another bid or recapitalization became possible
 another reason <unk> by their success in helping to scuttle the previous transaction the machinists are likely to be more aggressive if a second buy-out attempt occurs
 the two unions already had significant leverage simply because their employer has yet to settle with either on new contracts
 that gives them both the threat of a strike and the ability to resist any wage concessions that may be necessary to make a transaction work
 thus even investors who are pushing for the board to do a recapitalization that would pay shareholders a special dividend and possibly grant employees an ownership stake acknowledge that the unions are key
 there 's less likelihood of creating and completing a transaction without the unions ' cooperation and wage concessions said richard nye of baker nye investments a new york takeover <unk>
 mr. nye thinks the ual board should be ousted if it does n't move soon to increase shareholder value
 both the pilots and machinists have made it clear that they intend to block any transaction they do n't like
 the pilots will be involved in any transaction that takes place around here pilot union chairman frederick c. <unk> declared yesterday
 but whether the pilots can team up with their longtime <unk> the machinists is another question
 the pilots ' mr. <unk> says his union would like majority ownership for employees
 at the very least the pilots want some form of control over the airline perhaps through <unk> voting rights
 on the other hand the machinists have always opposed majority ownership in principle saying they do n't think employees should be owners
 still in recent days machinists ' union leaders have shown some new flexibility
 we may be able to reach a <unk> where we can accommodate the pilot union 's concerns and <unk> said brian m. freeman the machinists ' financial adviser
 mr. freeman said machinists ' union advisers plan to meet this week to try to draw up a blueprint for some form of recapitalization that could include a special dividend for shareholders an employee stake and perhaps an equity investment by a friendly investor
 if a compromise ca n't be reached the pilots maintain they can do a transaction without the support of the machinists
 but at this point that may just be <unk> thinking
 the machinists lobbied heavily against the original bid from ual pilots and management for the company
 their opposition helped scare off some japanese banks
 the pilots ' insistence on majority ownership also may make the idea of a recapitalization difficult to achieve
 who wants to be a public shareholder investing in a company controlled by the pilots ' union asks <unk> <unk> an analyst at wertheim <unk> & co
 who would the board be working for the public shareholders or the pilots she adds
 ms. <unk> says she believes a recapitalization involving employee ownership would succeed only if the pilots <unk> on their demand for control
 she also notes that even if the pilots accept a minority stake now they still could come back at a later time and try to take control
 another possibility is for the pilots ' to team up with an outside investor who might try to force the <unk> of the board through the solicitation of <unk>
 in that way the pilots may be able to force the board to approve a recapitalization that gives employees a majority stake or to consider the labor-management group 's latest proposal
 the group did n't make a formal offer but instead told ual 's advisers before the <unk> board meeting that it was working on a bid valued at between $ N and $ N a share
 but again they may need the help of the machinists
 i think the dynamics of this situation are that something 's got to happen said one official familiar with the situation
 the board and ual 's management he says ca n't go back to business as usual
 the pilots wo n't let them
 delta air lines earnings soared N N to a record in the fiscal first quarter <unk> the industry trend toward declining profits
 the atlanta-based airline the third largest in the u.s. attributed the increase to higher passenger traffic new international routes and reduced service by rival eastern airlines which is in bankruptcy proceedings in the wake of a strike that began last spring
 for the quarter ended sept. N delta posted net income of $ N million or $ N a share up from $ N million or $ N a share a year earlier
 revenue rose N N to $ N billion from $ N billion
 during the quarter delta issued N million shares of common stock to <unk> and <unk> N million shares for use in a company employee stock ownership plan
 the key to delta 's record earnings continued to be excellent passenger revenue growth said thomas <unk> chief financial officer
 passenger traffic jumped N N in the quarter while profit per passenger grew N N
 delta has benefited more than other carriers from the weakness of eastern airlines which shares the atlanta hub
 although eastern is back to about N N of its <unk> schedule now the texas air corp. subsidiary was only beginning to get back on its feet during the quarter
 separately america west airlines phoenix ariz. reported third-quarter profit jumped N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 the latest results include a $ N million one-time payment from a foreign entity
 america west would n't identify the entity but said the payment was for the foreign company 's use of certain tax benefits in connection with america west plane purchases
 year-earlier results included an extraordinary gain of $ N million from a buy-back of convertible subordinated debentures
 revenue rose N N to $ N million from $ N million
 for the nine months america west posted earnings of $ N million or N cents a share compared with a loss of $ N million or N cents a share a year earlier
 revenue rose N N to $ N million from $ N million
 papers
 thomson corp. 's globe & mail newspaper in november will begin <unk> an experimental edition to selected subscribers ' facsimile machines
 the <unk> news summary will be aimed at readers outside canada or in canadian locations where the national daily is n't available on the day of publication
 in the u.s. the hartford <unk> has a facsimile edition and some other newspapers are considering the idea
 who 's news
 michael t. carr advertising director of <unk> magazine was named publisher of national <unk> and heavy metal magazines succeeding george <unk>
 it was the first management change since <unk> daniel <unk> and tim <unk> took control of national <unk> inc. in march
 they are looking for a new editor for national <unk> and are trying to sell heavy metal
 columbia savings & loan association reeling from <unk> changes mandated by congress and the recent collapse of the junk-bond market announced a loss for the third quarter of $ N million or $ N a share
 for the quarter a year ago columbia reported earnings of $ N million or N cents a share
 total assets increased to $ N billion in the latest quarter from $ N billion a year earlier
 the loss stems from $ N million of write-downs on columbia 's $ N billion high-yield investment securities portfolio which includes about $ N billion of junk bonds $ N million of preferred stock and treasury securities
 columbia owes its spectacular growth in recent years to its junk-bond portfolio the largest of any u.s. thrift
 much of columbia 's junk-bond trading has been done through the high-yield department of its beverly hills neighbor drexel burnham lambert inc
 for the nine months losses totaled $ N million or $ N a share compared with net income of $ N million or $ N a share a year earlier
 the results include a $ N million write-down of the securities in the high-yield portfolio to the lower of their cost or market value
 columbia also added $ N million to reserves for losses on the portfolio increasing general reserves to $ N million or about N N of the total portfolio as of sept. N
 on june N loss reserves stood at $ N million
 thrift officials said the $ N million reserve will be adjusted quarterly and will reflect the rate of <unk> and market conditions
 the adjustments result from the recently passed <unk> bailout legislation which requires thrifts to <unk> all high-yield bond investments by N
 previously columbia did n't have to adjust the book value of its junk-bond holdings to reflect declines in market prices because it held the bonds as long-term investments
 because columbia now must sell the bonds within five years accounting rules require the thrift to value the bonds at the lower of cost or market prices
 for its future strategy columbia officials said the thrift may branch out into commercial lending or managing outside investments as well as <unk> up more traditional thrift activities
 the quarterly results also reflected $ N million in <unk> losses from commercial real-estate activities in california
 thomas spiegel columbia 's chairman said in a statement that the thrift was disappointed by the effects of the accounting changes
 but he said columbia remains one of the most strongly capitalized thrifts in the industry based on the economic value of its assets and tangible capital
 columbia announced the results after the close of the stock market
 its shares closed at $ N each in composite new york stock exchange trading down N cents
 the price of columbia shares has been cut nearly in half since august when they traded at about $ N as investors apparently realized that the thrift would be forced to take a big write-down
 the stock 's decline accelerated in the past two weeks from a price of $ N a share on oct. N
 columbia officials said they do n't know how quickly they will <unk> of the thrift 's junk bonds because federal regulations such as those that would allow thrifts to continue holding the bonds in separately capitalized subsidiaries have n't yet been completed
 columbia officials also said the thrift should n't face problems meeting regulatory capital requirements despite the large reserves and write-downs and <unk> regulatory requirements that should be in place by year 's end
 its ratio of tangible equity to total assets as of sept. N was N N and total equity was $ N million
 the thrift emphasized that it has a large portfolio of equity securities issued in connection with corporate restructurings and leveraged buy-outs which has a book value of $ N million
 although many of the transactions related to those securities have n't been completed columbia said the ultimate gain on the sale of those assets will range from $ N million to $ N million
 columbia also has <unk> gains in its public equity securities portfolio of more than $ N million
 david b. <unk> in new york contributed to this article
 <unk> cos. said it plans to aggressively discount its major beer brands setting the stage for a potentially <unk> price war as the maturing industry 's growth continues to slow
 anheuser the world 's largest brewer and u.s. market leader has historically been reluctant to engage in <unk> as a means of boosting sales volume
 with the passing of the <unk> days of swelling industry sales however the <unk> and brief <unk> into discounting are becoming standard competitive weapons in the beer industry
 over the summer anheuser competitors offered more and deeper discounts than industry observers have seen for a long time
 some experts now predict anheuser 's entry into the fray means near-term earnings trouble for all the industry players
 the st. louis company said major rivals philip morris co. 's miller brewing unit and <unk> coors co. have been following a policy of <unk> and deep discounting for at least the past N months on their premium brands pricing their product as much as N cents a <unk> below anheuser 's <unk> label in many markets
 anheuser said it 's discounting policy basically would involve matching such moves by rivals on a <unk> basis
 <unk> announced its plan at the same time it reported third-quarter net income rose a <unk> N N to $ N million or N cents a share from $ N million or N cents
 <unk> sales were $ N billion up from last year 's $ N billion
 anheuser said its new strategy started in some markets last month and expected to be applied soon in selected markets nationwide will mean <unk> earnings for the last half of N and for N
 the projection sent anheuser shares plunging $ N in new york stock exchange composite trading yesterday
 the stock closed at $ N on heavy volume of about N million shares
 shares of coors the company 's sole publicly traded major competitor fell $ N apiece to $ N in national over-the-counter trading apparently on investor concerns over potential fallout from the coming pricing struggle
 anheuser noted that beer industry sales volume is N is following the trend that has characterized the last half of the '80s with sales volume being essentially flat while consolidation creates fewer bigger players
 we can not permit a further slowing in our volume trend anheuser said adding it will take appropriate competitive pricing actions to support our long-term market share growth strategy for the premium brands
 anheuser said it continues to hold to its <unk> goal of a N N u.s. market share by the mid-1990s
 beneath the <unk> <unk> <unk> lies a powerful threat from the brewing giant which last year accounted for about N N of all u.s. beer sales and is expected to see that grow to N N in the current year
 anheuser is the biggest guy in the bar and he just decided to join in the <unk> <unk> said joseph j. doyle an analyst with smith barney harris upham & co
 it 's going to get bloody
 jerry <unk> publisher of beer marketers <unk> a trade newsletter said anheuser 's announcement means everybody else in the industry is going to have a difficult time reaching their profit objectives
 prudential-bache securities inc. analyst george e. thompson <unk> the importance of the announcement and called any comparison between the coming <unk> <unk> and the seemingly <unk> <unk> wars unwarranted
 mr. thompson calls discounting a loser 's game for anyone without a dominant market share and projected that anheuser 's statement of intent could simply be a means of warning competitors to ease up on <unk> or face a costly and <unk> battle
 mr. thompson noted that the disappointing earnings which fell five cents a share short of his own projections contributed to the sell-off by an <unk> and currently <unk> investing public
 but smith barney 's mr. doyle who yesterday trimmed his N anheuser earnings projection to $ N a share from $ N called the market 's reaction justified
 while the third-quarter earnings were a moderate disappointment he said the real bad news is the intensity of price competition in the <unk> sector
 according to mr. <unk> the newsletter publisher anheuser 's market share is nearly twice that of its <unk> competitor miller brewing which had a N N stake last year
 it 's followed by <unk> brewery co. which has agreed to sell its assets to coors
 both coors and <unk> have recently been <unk> market share to miller and anheuser
 tokyo stocks closed easier for the second consecutive day finishing at the intraday low on <unk> investment trust fund selling toward the end of the afternoon session
 stocks rose in london but fell again in frankfurt
 tokyo 's nikkei index fell N points to N
 trading was active
 volume on the first section was estimated at N billion shares up from N million tuesday
 the tokyo stock price index of first section issues was down N at
 in early trading in tokyo thursday the nikkei index rose N points to N
 on wednesday the market opened <unk> with high turnover ignoring the volatility in new york stocks
 but losers were spread in a broad range by the end of the session
 a trader said that the more an issue gained recently the sharper the loss sustained wednesday
 a trader at yamaichi securities said the market 's mood was undercut by the continuing fall of nippon telegraph & telephone shares which declined to their lowest level since the <unk> of this year
 <unk> lost N yen to N yen $ N
 some traders noted individual investors dumped <unk> shares amid growing expectation for a division of the company as suggested by a recent <unk> panel
 dealers said they also took profits to reduce holdings in their own account at the end of the october transaction period
 among pharmaceutical shares chugai lost N yen to N yen $ N and <unk> fell N to N
 other losing issues included <unk> shell which fell N to N
 toyota motor fell N to N
 <unk> house which gained N tuesday lost N to N
 daiwa house also ended easier but <unk> home was firmer
 pioneer electronic and sony both of which dominated buying earlier this month continued to fall wednesday
 pioneer was down N at N and sony lost N to N down N N from its record set oct. N
 london share prices closed modestly higher largely on technical factors although the market was <unk> near the end of the session by wall street 's firmer trend
 the financial times 100-share index finished at N up N points
 the 30-share index ended N points higher at N
 volume was thin at N million shares traded down from N million tuesday
 dealers said the market gained some late steam on a flurry of buying by market-makers looking at blue-chip issues and stocks viewed as <unk> during the market 's recent <unk>
 outside what essentially amounted to a <unk> exercise dealers said london dealings were largely <unk> by the absence of active interest beyond the market-makers
 the late buying was drawn into the london market dealers added after wall street showed signs of stability following its rocky opening
 stocks that suffered on the day were those with active u.s. operations dealers noted
 among them were b.a.t industries which settled N pence a share lower at N $ N
 hanson with N million shares traded closed N lower at N
 dealers said the shares were hit by fears of a slowdown in the u.s. economy
 cable & <unk> benefited from a market squeeze <unk> N to N in moderately active volume
 jaguar was boosted N to N on <unk> buying after ford motor 's announcement tuesday that it might be prepared to mount a full bid for the u.k. luxury auto maker
 it was further helped by ford which announced after london 's close that it had raised its stake to N N from just under N N on tuesday
 frankfurt prices closed sharply lower in thin dealings hurt by the roller-coaster session on wall street tuesday and worries about wage demands by the largest west german trade union
 the german stock index tumbled N to end at
 it was dead <unk> <unk> and negative said one trader at a u.s. bank in frankfurt
 there was little turnover and nothing to stimulate the market
 equities tumbled at the opening as tuesday 's gyrations on wall street where the dow jones industrial average recovered most of an <unk> loss fueled fears of another stock market crash brokers said
 tough talk from trade union officials at the conference of the powerful ig metall metals worker union in west berlin raised the specter of nationwide strikes next spring they said
 for the N wage negotiations the ig metall is demanding a further cut in the german <unk> and steep wage increases which could sharply increase the costs for german industry
 all the positive figures on the economy are out already and people are focusing more on the dangers for next year mostly the wage talks and the parliamentary elections the u.s. trader said
 the market also <unk> off positive factors such as higher bond prices and a slowdown in monetary growth in september traders said
 they said they expect the bearish mood to <unk> a while longer as trading volume is falling toward the end of the year and the market is becoming more volatile
 in the auto sector <unk> <unk> <unk> plunged N marks to N marks $ N daimler-benz dropped N to N and <unk> slumped N to N
 continental gave up some of its recent gains dropping N to N as rumors of an impending takeover attempt for the <unk> faded brokers said
 deutsche bank plummeted N to N hurt by the general mood
 other banks were slightly more <unk> with dresdner bank shedding N to N and commerzbank slipping N to
 meanwhile wall street 's volatility <unk> investors in other markets
 share prices closed lower in paris zurich brussels milan and stockholm and mixed in amsterdam
 among pacific markets prices closed lower in sydney seoul hong kong manila singapore and wellington
 trading in taipei was suspended for a national holiday
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 french chemicals group orkem s.a. said wednesday it has made a bid for control of coates brothers plc a british manufacturer of <unk> and <unk> <unk>
 state-controlled orkem already owns N N of coates
 the remainder is held by the public and by family interests a spokeswoman for the french group said
 orkem declined to give details of its offer saying only that the bid will be submitted for approval by the board of the british company
 the <unk> house by a margin of N votes failed to override president bush 's veto of legislation renewing federal support of medicaid abortions for poor women who are victims of rape and incest
 the N roll call illustrates the limits of power a <unk> abortion-rights movement still faces
 it continues to gain strength in the chamber but remains far short of the two-thirds majority required to prevail over mr. bush
 democrats voted to override by a N margin but republicans were equally firm in support of the president who has threatened to make abortion a decisive issue on at least three separate fiscal N spending bills
 yesterday 's vote dealt with the largest of these bills an estimated $ N billion measure funding the departments of labor education and health and human services
 to gain more leverage abortion-rights advocates may seek to <unk> the bill into an omnibus continuing resolution next month
 but the stark numbers yesterday when N votes were needed indicate the president is in a commanding position for at least this year
 unless he changes they lose said a democratic leadership aide
 the action came as congress sent to the president last night a <unk> spending bill to keep the government operating through nov. N and provide $ N billion in emergency funds to assist in the recovery from hurricane hugo and the california earthquake
 by a <unk> N margin the senate approved the measure after <unk> further provisions sought by the influential california delegation and despite reservations the house adopted the bill on a N roll call
 the package is more than $ N billion above the recommendations of budget director richard darman this week
 but given the political importance of california the administration was content to use its influence to prevent any senate amendments adding further new appropriations
 the $ N billion measure comes on top of $ N billion appropriated after hugo struck the carolinas and caribbean last month and these totals do n't reflect the additional benefit of <unk> disaster loans
 the bill last night includes $ N million to help finance this credit and further raises the obligation ceiling for the small business administration <unk> to $ N billion to accommodate the expected loan activity
 in direct cash assistance $ N billion is provided in federal highway construction funds and $ N billion is divided between general emergency aid and a reserve to be available to the president to meet unanticipated costs from the two disasters
 in the senate majority whip alan cranston used his position to win not only the expanded credit but also more generous treatment than the house had permitted in the distribution of highway funds in the next six months
 the emergency assistance would n't be counted against a state 's normal allocation of annual highway funds and the bill <unk> existing restrictions that otherwise would prevent the use of federal aid to repair a toll road such as the san <unk> bay bridge damaged in last week 's earthquake
 the underlying <unk> bill is the second required by congress this fall and since the current fiscal year began oct. N only the energy and interior departments are operating on permanent appropriations enacted into law
 the <unk> over abortion is certain to contribute to further delays and apart from the health and education measure vetoed by mr. bush bills funding the district of columbia and the entire u.s. <unk> budget are in jeopardy because of related abortion or <unk> issues
 the vote yesterday was the most <unk> in many years and though the democratic leadership is <unk> about how to address the abortion issue the debate is increasingly measured in party terms
 the N democrats who supported the override yesterday compare with N who initially backed the <unk> exemption two weeks ago and N last year on a similar vote
 by comparison republicans have held closer to the anti-abortion movement
 only N gop members opposed the president 's veto a marginal increase over the vote two weeks ago and just N more than the N who supported the <unk> exemption last year
 at a recent white house meeting rep. <unk> <unk> r. mass. the ranking minority member of the house appropriations committee argued with his friend mr. bush against a veto and though mr. <unk> and minority leader robert <unk> of illinois stood with the president yesterday they are <unk> uncomfortable with his position
 this is n't a political issue this is a moral issue said rep. henry <unk> r. ill. the most <unk> spokesman for the anti-abortion movement
 but after years of using the issue for its benefit the gop finds its candidates on the defensive
 new jersey gubernatorial candidate rep. james florio <unk> returned from <unk> to vote against the president yesterday in contrast with his opponent gop rep. james courter who has <unk> supported abortion restrictions in the past but was <unk>
 in an extraordinary mix of <unk> and <unk> powers rep. robert <unk> r. calif <unk> his fellow roman <unk> including mr. florio for having the <unk> to disagree with the <unk> of their church on abortion
 rep. <unk> <unk> was as blunt on behalf of the abortion-rights movement
 this may not make george bush a <unk> president said the oregon liberal addressing the republican side of the house
 but if you support him over rape victims this may be your last term
 separately the house last night approved a nearly $ N billion compromise spending bill providing the first construction funds for the administration 's ambitious space station in fiscal N and <unk> far-reaching provisions affecting the federal mortgage market
 the current ceiling on home loans insured by the federal housing administration would be increased to $ N and the bill gives the department of housing and urban development new authority to facilitate the refinancing of subsidized loans for low-income homeowners
 by a N margin the appropriations committee leadership beat back an early challenge by house banking chairman henry gonzalez d. texas to the fha provision
 and on a closer N roll call lawmakers upheld controversial agreements made by a house-senate conference <unk> community development funds for more than N projects backed by often influential members
 rupert murdoch acquired a N N stake in <unk> zeta s.a. the leading spanish magazine and newspaper publisher said
 the transaction called for mr. murdoch 's news international plc a unit of <unk> news corp. to subscribe to a rights issue by zeta valued at N billion pesetas $ N million
 also participating in the issue was <unk> spain <unk> s.a
 the film producer owned by <unk> financier <unk> <unk> received a N N stake in the <unk> publishing group
 the cash injection boosted zeta 's capital more than <unk> to N billion pesetas from N billion pesetas greatly <unk> the group 's ability to make investments zeta officials said
 following its failure last month to win a license for one of spain 's first three private television stations zeta is seeking investment opportunities in communications and publishing
 with annual sales of about N billion pesetas zeta publishes over a dozen magazines including the popular <unk> <unk> and <unk> and three regional <unk>
 chairman antonio <unk> will retain a N N share in zeta
 the new york stock exchange is expected to launch its own program trading vehicle today just as controversy over this trading strategy <unk> up
 the big board this morning plans to begin trading its exchange stock portfolio basket product the first program-trading vehicle carrying the exchange 's seal of approval
 <unk> will allow institutional investors to buy or sell all N stocks in standard & poor 's index in a single trade of a minimum of $ N million
 <unk> baskets of fewer stocks will also be available
 the securities and exchange commission gave provisional six-month approval to the big board basket at a meeting late yesterday
 the sec at the same time approved a similar but smaller basket product on the chicago board options exchange where the minimum will be $ N million
 also approved was a plan to trade stock portfolios by computer after regular hours on the midwest stock exchange
 the basket products are an <unk> step in solving problems in trading big blocks of stock that came to light in the N market crash said sec commissioner joseph <unk>
 new sec chairman richard breeden overseeing his first public meeting said there have been concerns that the big board 's basket could attract investors with a short-term perspective who would rapidly turn over the product thus increasing volatility
 but richard <unk> the sec 's market regulation chief said he did n't believe this will <unk> dramatic new program-trading strategies that will be <unk>
 the baskets on the big board and cboe which involve the actual s&p stocks unlike the stock-index contracts currently traded on the chicago futures markets and index options on the cboe will begin trading as critics step up their attacks on program trading and its contributions to the stock market 's wild price swings
 the big board argues that its new product will help rather than hurt the situation by possibly drawing business from <unk> forms of program trading
 <unk> are also an attempt by the big board to head off the exodus of program trading business to overseas markets such as london
 big board officials also hope japanese investors will become interested in the exchange 's product
 already many of the big board 's own floor traders are warning that the <unk> baskets are risky and not in the best interests of the investing public
 the <unk> alliance of floor brokers said the new product with the $ N million minimum will benefit only big institutional investors and could lead to wild <unk> of volatility
 stockbrokers who cater to individual investors said the big board 's new product confirms the exchange does n't want to curtail program trading which last month accounted for a record N N of the exchange 's average daily volume
 the new york stock exchange is losing its cool here said james <unk> head of institutional trading at <unk> montgomery scott inc. in philadelphia
 the new stock baskets are going to make it easier for program trading to be done
 and it 's going to be done more frequently as the result of having more access to it at different places
 both the big board 's exchange stock portfolio and the chicago exchange 's market basket are designed for institutional investors
 the big board lists its targets as pension plans mutual fund managers and index-arbitrage traders
 in index arbitrage program traders buy and sell stocks and stock-index futures to profit from small price discrepancies between the markets
 at the same time only four securities firms have signed up with the big board to buy and sell <unk> as market makers an <unk> response
 the market makers so far are cs first boston group 's first boston corp. unit morgan stanley & co. painewebber group inc. and salomon inc. 's salomon brothers inc. unit
 kidder peabody & co. a general electric co. unit that has become the biggest program trader along with morgan stanley is n't a market maker although the big board hopes that will change
 similarly the big board hopes to <unk> merrill lynch & co
 neither has plans to be a market maker for now
 traders said major securities firms are reluctant to become market makers because they fear the baskets may attract only limited trading
 big board officials say only N contracts a day may trade at first equivalent to a day 's action at a small regional exchange
 even though the big board says its product represents a post-crash reform some traders suggest that if the new basket had been trading during this month 's friday the 13th market plunge the dow jones industrial average might have dropped more than the N points it did
 with the futures locked into a trading halt oct. N and trading in some individual stock difficult program traders would have undoubtedly fled to the basket system the traders say
 if we had the baskets we would be leaving in <unk> one trader said
 the sec 's mr. breeden said the <unk> trading on the midwest exchange would help the u.s. win back business that has moved overseas to conduct <unk> trades
 comprehensive care corp. which has agreed to be acquired by closely held first hospital corp. reported a $ N million loss for its aug. N first quarter and said it is negotiating an extension of senior bank debt past its oct. N due date
 in composite trading yesterday on the new york stock exchange comprehensive care shares plunged $ N to close at $ N on volume of N shares
 the loss in comprehensive care 's latest quarter is equal to N cents a share
 in the year-earlier quarter comprehensive care earned $ N million or N cents a share
 revenue in the latest quarter fell N N to $ N million from $ N million the company said reflecting poor utilization of the company 's facilities and its <unk> medicine contracts
 comprehensive care shareholders have approved acquisition of the developer and operator of <unk> chemical <unk> and psychiatric programs for about $ N million in cash notes and stock of first hospital norfolk va
 the price was reduced last august from an indicated value of $ N million
 comprehensive care said first hospital had advised it that both bank debt and senior notes would be repaid after the acquisition although it is n't assured the acquisition will be completed
 if it is n't completed comprehensive care said it would be required to promptly restructure its debt
 first hospital advised comprehensive care that an agent for the financial institutions providing financing of its acquisition is scheduled to make a final credit determination tomorrow and that a favorable determination could result in a reorganization at comprehensive care by the end of october
 failure to win such a determination however would lead comprehensive care directors to consider various alternatives comprehensive care said without <unk>
 separately first hospital reported a N N rise in net income to $ N million for its year ended june N on a N N increase in revenue to $ N million
 it said however that net income for the <unk> period ended aug. N plunged to $ N from $ N in the prior year on a N N rise in revenue to $ N million
 a group including new york investors douglas a. <unk> and anthony <unk> holds the equivalent of a N N stake in h.h. robertson co. 's common shares outstanding according to a filing with the securities and exchange commission
 officials of <unk> h.h. robertson which makes steel <unk> store fronts and building parts declined comment
 as reported last month mr. <unk> said he was interested in making an offer to buy h.h. robertson for $ N a share
 in the sec filing the <unk> group said it intends to acquire additional h.h. robertson shares with a view <unk> a possible change in control of the company
 it has not however made a formal proposal
 the group also is engaged in talks with third parties regarding obtaining financing to buy more shares but no agreements have yet been reached the filing said
 the group controls N h.h. robertson common shares assuming exercise of an option it acquired from executive life insurance co. to buy N shares
 its stake includes N shares bought in the open market from aug. N to oct. N for $ N to $ N a share
 in new york stock exchange composite trading yesterday h.h. robertson closed at $ N up N cents
 after coming close to a partial settlement a year ago shareholders who filed civil suits against ivan f. boesky and the partnerships he once controlled again are approaching an accord people familiar with the case said
 meanwhile within the next few weeks the limited partners in ivan f. boesky & co l.p. are expected to reach a partial settlement with drexel burnham lambert inc. regarding the distribution of the $ N million in partnership assets said one of the individuals
 under the terms of the settlement the limited partners would drop their civil suits against drexel now pending in federal court in new york another individual said
 attorneys involved in the talks said that the parties were closer to accord than they were a year ago when reports of an imminent agreement circulated
 one individual said the shareholders ' accord was well worked out
 however less optimistic attorneys warned that because of the <unk> of numerous defendants and plaintiffs with <unk> claims there is always the possibility that the talks will again fall apart
 a shareholders ' accord would provide the first <unk> to thousands of individuals and institutions claiming losses as a result of insider trading by boesky & co. once the largest arbitrage fund in the u.s.
 the plaintiffs are investors who bought and sold securities in which mr. boesky and his partnerships were dealing
 some claim they suffered losses because they sold while he was buying and others because they bought while he was selling
 stocks involved in the shareholder suits include union carbide rjr nabisco american natural resources <unk> cascade corp. general foods corp. houston natural gas and <unk> corp
 there are at least N class-action shareholder suits that have been consolidated in federal court in new york under u.s. district judge milton <unk>
 among the defendants are mr. boesky the <unk> ivan f. boesky & co. mr. boesky 's main underwriter drexel burnham and <unk> & general securities plc a british investment fund once controlled by mr. boesky
 individuals familiar with the negotiations said the partial settlement being negotiated would remove the boesky partnership the british fund and mr. boesky as defendants while drexel and other defendants would remain
 charles <unk> of the washington <unk> law firm <unk> cutler & <unk> which represents mr. boesky in this matter said only that discussions are under way
 there are no agreements yet
 it has been three years since mr. boesky now in prison agreed to pay a $ N million fine to settle the government 's charges that he had traded illegally using insider information
 out of this the government set up a $ N million fund for plaintiffs who can prove their financial losses
 according to william <unk> an attorney at <unk> & <unk> the escrow agents for the fund as of sept. N the fund amounted to $ N million
 separately attorneys for the N or so limited partners have had serious discussions that could lead to the distribution of the partnership 's assets
 the limited partners include insurance companies financial institutions and individual investors
 an agreement with drexel regarding the limited partners ' investments is an essential step toward getting their money back
 this is because a delaware court earlier this year said that drexel is entitled to get its money back before or at the same time as the limited partners
 drexel is owed $ N million by the partnership
 an individual familiar with the negotiations said that whatever investments the limited partners do not recoup from the $ N million in partnership assets they will receive from the $ N million <unk> fund available as a result of drexel 's settlement with the government in december N
 drexel agreed to plead guilty to six felony counts and pay $ N million of which $ N million was set aside for shareholders and other plaintiffs including the limited partners who claim they were injured by drexel
 jailed <unk> activist wins a battle against the
 u.s. district judge robert p. patterson jr. ordered the fbi to immediately begin processing <unk> benjamin ferguson 's request for documents stemming from the agency 's investigation of him during the 1960s
 the fbi had said it would not be able to begin processing the request until june
 mr. ferguson who is N years old fled the u.s. in N after <unk> his appeals of a N conviction on conspiracy to murder
 he turned himself in to authorities in new york earlier this year
 he maintains that the information from the fbi will help him get his N conviction vacated and his <unk> indictment dismissed
 his attorneys claim he was <unk> by the fbi and new york police as part of a campaign to destroy the black liberation movement of the 1960s
 because the federal freedom of information act was n't law at that time the fbi was n't required to turn over information on its investigations when mr. ferguson appealed his conviction in the 1960s
 but in federal court in manhattan judge patterson said the fbi records could show that mr. ferguson 's arrest was the result of questionable legal practices
 the judge said that if the fbi 's proposed schedule was followed in <unk> the documents a delay of over one year will have occurred and plaintiff will have served approximately two-thirds of his N 1\/2-year minimum sentence by the time he receives the files
 <unk> w. <unk> the assistant u.s. attorney handling the case for the fbi said no decision has been made about appealing the judge 's ruling
 federal courts urged to cut costs and reduce delays of civil suits
 the study conducted by a task force of the <unk> institution suggests that congress should require the courts to develop the plans
 the study was initiated by senate judiciary committee chairman joseph <unk> d. del
 the washington d.c. think tank recommends that the courts adopt different tracks for different types of civil cases in order to separate the handling of highly complex suits from simpler ones
 complex cases such as antitrust suits and many business disputes would receive intense supervision by federal judges to keep pretrial proceedings moving
 standard cases would require less judicial attention and <unk> cases could be resolved quickly
 the study also said each federal court should set strict time limits for the pretrial exchange of documents and evidence ranging from as much as N days for cases in the fast track to as much as N months for complex disputes
 and the study said federal courts should set firm trial dates early in the process
 to take advantage of local expertise and custom the study said congress should require each of the N federal district courts to adopt its own plan to speed the handling of civil suits and to reduce the high costs in civil cases
 although some of the study 's recommendations resemble those of similar projects the makeup of the task force was unusually diverse adding significance to the effort
 it included lawyers from civil rights and consumer groups plaintiffs ' lawyers and defense attorneys corporate counsel and law professors
 businessland inc. said it purchased a major regional computer retailer data systems computer <unk> inc. <unk> new jersey
 terms were n't disclosed
 the purchase <unk> san jose calif.-based businessland 's links to the large corporations who are among the biggest buyers of computers
 data systems has five retail stores in the northeast but specializes in selling personal computers made by international business machines corp. and apple computer inc. to banks brokerage firms and other big businesses based in the new york metropolitan area
 john <unk> chief executive officer of data systems said the company was profitable and expected sales of nearly $ N million this year
 he said businessland which operates stores in N u.s. metropolitan areas planned to absorb his firm 's operations
 eastman kodak co. of rochester n.y. said its <unk> & <unk> products subsidiary was restructured to form two operating groups one for household products such as <unk> and <unk> and the other for <unk> products such as wood <unk> and <unk>
 the <unk> n.j. unit said the new operating structure creates a more focused and responsive organization geared to effectively managing the size and scope of the unit 's current business
 the consumer brands unit was absorbed by the photographic pharmaceutical and chemical concern last year when it acquired sterling drug inc
 in a related matter peter black president of consumer brand <unk> was named group vice president for the household products operating group
 kenneth m. evans president of thompson & <unk> brand was named group vice president of the <unk> operating group
 sotheby 's holdings inc. the parent of the auction house sotheby 's said its net loss for the seasonally slow third quarter narrowed from a year earlier on a leap in operating revenue
 the new york-based company reported a third-quarter net loss of $ N million or N cents a share compared with a year-earlier net loss of $ N million or N cents a share
 operating revenue surged N N in the latest period to $ N million from $ N million
 the company said N N of its auction business is usually conducted in the second and fourth quarters with the current quarter having begun extremely well
 west texas intermediate the u.s. benchmark crude seemed <unk> again yesterday in trading on the new york mercantile exchange
 widely expected to open N to N cents a barrel higher on the strength of statistics from the american petroleum institute the december contract managed to start the session only eight cents higher
 in the last hour of the trading day december contract took a tumble to end the session N cents lower at $ N a barrel
 and now that the price has fallen below $ N which many had said showed considerable resistance some traders and analysts figure there 's little to stop the price from going lower on technical decisions
 with no <unk> news or changes in the fundamentals to <unk> price moves technicians are wanting to sell this stuff said eric <unk> of edge trading corp
 and short-term the technicians may have their way
 the market quickly discounted the weekly inventory report showing a N million barrel decrease in u.s. crude oil stocks as the <unk> of hurricane jerry
 that storm hit the gulf coast oct. N closing the louisiana offshore oil port for a time and preventing <unk> from unloading
 next week 's report could very well show an increase in crude inventories
 <unk> the trade group 's numbers left traders plenty of time to worry <unk> about the latest reports on opec production
 an <unk> jones survey of integrated oil companies independent refiners and oil industry consultants indicates that the organization of petroleum exporting countries increased its production to N million barrels a day in september
 estimates suggest october 's figure may be even higher
 that level of production is n't of much concern as long as demand continues strong analysts said
 but the first quarter of the year is generally the weakest and opec production does n't seem to be <unk> in anticipation of that
 also maintaining current demand assumes no significant slowdown in world economies
 to top off the bearish factors affecting yesterday 's trading late october weather especially in the northeast u.s. continues to be very moderate leaving heating oil futures trading lackluster
 we are n't seeing any cold weather here mr. <unk> said from new york
 in other commodity markets yesterday
 grains and soybeans
 soybean and corn futures prices moved higher on the strength of buying from commodity pool managers trying to profit from technical price trends as well as continued export strength
 a <unk> off of farmer selling tied to the harvest also removed some of the downward pressure on futures contract prices
 wheat futures prices fell however at least partly in reaction to the rumored selling of futures contracts equal to several million <unk> of wheat by commodity <unk> richard dennis
 neither mr. dennis nor officials of his chicago trading company <unk> commodities could be reached for comment
 as for corn and soybean futures a lot of commission house buying this morning and computer-driven buying supported prices in early trading said steven freed a futures analyst with dean witter reynolds inc. in chicago
 soybean futures for november delivery gained N cents a bushel to close at $ N a bushel on the chicago board of trade
 december corn futures added N cents a bushel to close at $ N a bushel on the board of trade
 announced and anticipated purchases from foreign countries are also supporting futures prices
 russian ships are <unk> in the gulf and there is n't enough grain in the pipeline said <unk> <unk> a futures analyst with merrill lynch & co. in new york
 the soviet union has purchased roughly eight million tons of grain this month and is expected to take delivery by year end analysts said
 cotton
 futures prices rose modestly but trading volume was n't very heavy
 the december contract settled at N cents a pound up N cent but it rose as high as N cents
 several cotton analysts said that the move appeared to be mostly technical
 traders who had sold contracts earlier in hopes of buying them back at lower prices yesterday were buying contracts back at higher prices to limit their losses
 floor traders also said that the market could have been helped by rumors which have been circulating for the past two days about china purchasing cotton
 the rumor which has been neither confirmed nor denied has china buying N to N <unk> for near-term delivery
 one floor trader said that if there were chinese purchases they should have had a bigger effect on the market
 another said that if china was a buyer it would be the earliest that country had made purchases since the N crop year and thus would be a bullish sign
 this trader characterized the recent price action as a contest between the <unk> who see higher prices ahead and the technicians who are basically buying cotton toward the bottom of the current trading range around N cents and selling it when the price <unk> more than N cents
 this trader said that he thought the market would turn aggressively bullish from a technical standpoint if the december contract was able to exceed N cents
 he also noted that stocks on aug. N N are currently projected at N million <unk> the smallest <unk> supply since N
 cocoa
 the modest sell-off which started on tuesday continued
 the december contract ended at $ N a metric ton down $ N
 the market is <unk> at least partly because of a lack of crop information out of <unk> and the ivory coast the two largest african producers
 harry schwartz a soft commodity specialist for <unk> investors services in new york said the only report <unk> has issued about the <unk> of cocoa from the interior was for N metric tons as of oct. N
 by this time last year he noted <unk> totaling N tons had been announced
 a similar situation apparently exists in the ivory coast with no figures released yet this year compared with N tons as of this time a year ago
 he said that if little cocoa actually has arrived at the ports shipping delays could result
 this is the worry that probably brought <unk> to the market earlier in the week he said
 there was also some fear that without ivory coast cocoa a large french cocoa merchant cie financiere <unk> <unk> <unk> might not be able to deliver cocoa against the contracts it had sold earlier for december delivery in london
 however the french merchant has about N tons of old crop ivory coast cocoa <unk> in the netherlands from an agreement it had negotiated with the ivory coast last spring
 <unk> thinks that even though the merchant has a contract <unk> that it wo n't bring this cocoa to market until after march N there is some evidence the contract has been modified
 this <unk> apparently would permit the french merchant to deliver this cocoa if necessary against existing short positions
 richard d. sutton N years old chairman of this bank-holding company was named acting president and chief executive officer of the company and its first national bank of <unk> river subsidiary
 joseph w. robertson N was dismissed from those posts the company said
 he could n't be reached and a company spokesman would n't comment on the dismissal
 mr. robertson was also removed from the board of first national bank of new <unk> county another unit and the <unk> river bank
 american medical international inc. said it has n't received any other offers to acquire the owner and operator of hospitals and took another step toward completion of its $ N billion acquisition by ima holdings corp
 earlier this month ima an investment group that includes chicago 's <unk> family and first boston corp. submitted a reduced bid for american medical after it could n't finance its initial offer
 under the new offer ima will pay $ N a share for N million shares or about N N of the shares outstanding
 ima also will assume $ N billion in debt
 yesterday in composite trading on the new york stock exchange <unk> common closed at $ N up N cents on volume of almost N million
 earlier american medical said it had been approached again by two other possible suitors whom it would n't identify but who had previously submitted bids for the company
 yesterday american medical said that the two other parties told the company that they do n't have any current intention of making a takeover bid
 american medical said its directors have approved what is in effect a draft of a <unk> opinion on the acquisition submitted by the los angeles-based investment banking and evaluation consulting firm of <unk> <unk> howard & <unk> inc
 a final opinion must be approved prior to the acceptance of tendered shares for payment under the offer which was due to expire at N a.m. edt today
 separately moody 's investors service inc. downgraded the ratings of american medical 's senior and subordinated debt issues and those of its international affiliate
 the downgrade anticipates completion of the ima holdings acquisition today moody 's said
 the ratings concern said the acquisition should result in pretax losses from operations because of increases in interest expense and charges for depreciation and amortization but that it expects the losses to be reduced through productivity gains and above average growth of the company 's hospitals
 moody 's said the ratings anticipate a successful <unk> program and modest improvement in discretionary cash flow because of planned asset sales
 moody 's changes affected the following issues
 american medical international senior notes <unk> debentures <unk> notes eurobonds swiss franc bonds unsecured loan stock to <unk> from <unk> convertible subordinated debentures notes and <unk> debentures to <unk> from <unk>
 american medical international n.v. guaranteed <unk> to <unk> from <unk>
 an american medical spokeswoman said the moody 's downgrading was expected because of the nature of the takeover
 bay financial corp. boston which has been reporting big losses and warning of a possible bankruptcy-law filing said it was sued by a holder
 the real estate investment trust said the <unk> class action suit seeks damages and other <unk> under federal securities law and state law
 gerald e. wilson corporate secretary and legal counsel said the company would n't disclose further details
 he declined to name the shareholder the plaintiff 's lawyer or the court where the lawsuit was filed
 bay which has substantial investments in the <unk> massachusetts market reported a loss of $ N million or $ N a share for the fiscal year ended june N
 it has said it might seek bankruptcy-court protection from creditor lawsuits if it ca n't <unk> its borrowings
 in new york stock exchange composite trading bay closed at $ N down N cents
 keith a. tucker was named a director of this insurance and financial services concern
 mr. tucker N years old is president of <unk> securities corp. and senior vice president of <unk> inc. closely held investment companies based in miami
 his selection increases the size of the board to N members
 <unk> also said that samuel e. <unk> jr. N vice president and general counsel was selected to serve the remainder of the term vacated by john <unk> <unk> who resigned as director
 philip morris cos. new york adopted a defense measure designed to make a hostile takeover <unk> expensive
 the giant foods tobacco and brewing company said it will issue <unk> purchase rights to shareholders of record nov. N
 under certain circumstances the rights would <unk> philip morris holders to buy shares of either the company or its acquirer for half price
 the board is n't aware of any attempts to take over philip morris the company said
 as of sept. N philip morris had N million shares outstanding
 in composite trading on the new york stock exchange philip morris shares closed yesterday at $ N each down $ N
 <unk> s.a. said that it plans to sell its remaining paper operations by the end of january as part of a drive to <unk> on the food sector and lower its debt
 the french unit of <unk> <unk> <unk> also disclosed a N N rise in its consolidated net profit for the first half of N excluding nonrecurring items and after payments to minority interests
 <unk> said the sale will be done in two parts and will raise a total of N billion francs $ N million
 this will include the sale of its interest in the joint venture <unk> <unk> to <unk> ag
 the west german paper company entered the venture in april N by acquiring a N N stake also from <unk>
 the other part of the transaction will see <unk> sell its N N stake in its <unk> paper affiliate to an unspecified unit of the petrochemical group montedison s.p a. which is also controlled by <unk>
 and in a separate transaction <unk> will sell its remaining N N interest in <unk> a holding company for international trading assets to an unspecified unit of <unk> for N million francs
 esselte ab the stockholm office supplies company as expected proposed to acquire the N N it does n't own of its u.s. unit esselte business systems inc
 the price in the proposal is $ N for each of the N million shares the parent does n't own or $ N million
 in new york stock exchange composite trading esselte closed yesterday at $ N a share up $ N
 a committee of outside directors for the garden city n.y. unit is evaluating the proposal the parent asked it to respond by oct. N
 the unit said it can provide no assurance a transaction will occur
 esselte ab sold the minority stake five years ago in a $ N million international share offering
 the unit which is the holding company for esselte 's <unk> units accounted for N N of sales and N N of operating profit last year
 separately esselte business systems reported third-quarter net income fell N N to $ N million or N cents a share from $ N million or N cents a share in the year-ago period
 sales rose N N to $ N million from $ N million
 house and senate conferees agreed to continue production of grumman corp. 's f-14 and to provide more than $ N billion for the strategic defense initiative during the current fiscal year
 industry officials and congressional aides said that the main points of a compromise defense authorization bill <unk> out during a flurry of private meetings over the past few days provide a <unk> compromise for both the white house and house democrats
 although conferees are still putting the finishing <unk> on the package the final agreement could be announced as early as tomorrow
 an announcement is more likely next week though
 president bush and other supporters of sdi will be able to take credit for blocking house efforts to significantly cut the program to develop a <unk> <unk> system which already has cost some $ N billion
 senate armed services committee chairman sam <unk> d. <unk> and other senate conferees have opposed the house cuts <unk> for almost two months action on a number of <unk> items in the pentagon 's budget
 the senate voted to <unk> $ N billion for sdi spending in the current fiscal year but the house reflecting a dramatic erosion of support for the program earmarked only $ N billion
 despite the widening gap between the two sides conferees eventually followed the pattern set in previous years by <unk> to roughly split the difference
 that would hold spending on the program at about the previous year 's level
 the decision to keep the <unk> f-14 's production line running for at least another year is an important victory for the house and especially for rep. <unk> <unk> d. <unk>
 as the head of the house conferees rep. <unk> has been under intense pressure from his colleagues to reject senate provisions that would have abruptly cut further f-14 production
 the package provides a temporary golden <unk> for grumman according to one congressional aide familiar with the <unk> bargaining
 but as part of the overall agreement grumman and its outspoken supporters on capitol hill effectively will be <unk> from <unk> the emotional issue in the debate over next year 's budget
 defense secretary dick cheney and most senators contend that the navy 's f-14 is too expensive in an era of shrinking pentagon budgets
 but the plane boasts a strong core of support in the house where members are intent on saving grumman jobs and are worried about potential shortages of <unk> aircraft by the late 1990s
 conferees also agreed to pentagon requests to <unk> a total of nearly $ N billion for work on both mobile <unk> and <unk> nuclear missiles according to congressional aides
 and lawmakers are putting the finishing <unk> on a compromise that would give the air force nearly all of the $ N billion it wants for production of northrop corp. 's <unk> b-2 <unk> which cost $ N million apiece
 the final b-2 agreement is certain to require detailed testing and <unk> of the bomber 's <unk> but congressional aides said the accord wo n't include a house-passed provision that would have withheld production funds until congress approves a cheaper <unk> version of the $ N billion fleet of N <unk> <unk> by the pentagon
 consolidated <unk> inc. reported a N N drop in third-quarter net income citing expected losses in its <unk> worldwide shipping business
 the menlo park calif. company said net was $ N million or N cents a share down from $ N million or N cents a share a year ago
 revenue totaled $ N billion a N N increase from $ N million reflecting the company 's acquisition of <unk> earlier this year
 profit also suffered because of intense discounting in its <unk> trucking business the company said
 analysts had expected consolidated to post a slim profit and the company 's stock was down only N cents to $ N in new york stock exchange composite trading yesterday
 they have to continue to tighten their belts said craig <unk> an analyst at goldman sachs & co
 a round of futures-related program selling near the close sent the stock market lower in otherwise <unk> trading
 nervousness that the market has n't seen the last of its recent volatility kept trading at a moderate pace as did anticipation of a report on the economy 's third-quarter performance
 the dow jones industrial average which plunged more than N points in early trading tuesday and then recovered nearly all of its losses by the close fell N to N in the latest session
 the average drifted in a trading range of about N points throughout the day
 the lower <unk> was established just after the opening in a brief round of selling the upper <unk> was set at midday as scattered bargain-hunting pushed prices higher
 buying interest in du pont which declared a stock split and a dividend boost and certain other blue-chip issues gave the industrial average a better performance than broader indexes
 standard & poor 's 500-stock index dropped N to N the decline was the equivalent of a <unk> setback in the <unk> average
 the dow jones equity market index fell N to N and the new york stock exchange composite index slid N to N
 but advancing issues topped decliners by N to N on the big board despite the late sell programs resulting from stock-index arbitrage
 the programs occurred against the backdrop of a late <unk> in ual which had held at slightly lower levels through most of the session amid optimism that another bidder might surface
 traders said program activity was n't in evidence through most of the session however and big board volume dropped to N shares from about N million tuesday as concerns about the potential for additional sharp swings in the market kept other trading in check
 people are sort of nervous to do anything in the market now
 our phones are quiet around here said don r. <unk> director of investment strategy at wheat first butcher & singer inc. richmond va
 the gross national product report due to be released before today 's opening is expected to show that the economy continued to expand in the third quarter at a moderate pace
 the consensus of economists polled by dow jones capital markets report calls for a N N annual growth rate for gnp during the quarter
 du pont which announced plans for a <unk> stock split and raised its quarterly dividend by N N jumped N N to N N
 the company also posted third-quarter earnings that were in line with analysts ' forecasts
 blue-chip consumer stocks also provided a lift to the industrial average
 american telephone & telegraph rose N to N N in big board composite trading of N million shares chevron advanced N N to N N on N million shares woolworth rose N to N N coca-cola co. gained N to N N and eastman kodak added N to N N
 but general motors dropped N N to N N
 its gm hughes electronics and financial-services units both reported that third-quarter earnings were down from a year earlier
 <unk> plunged N N to N N on N million shares
 its third-quarter earnings were lower than analysts had forecast and the company said it had lowered its projections for earnings growth through the end of N because of planned price cuts
 xerox fell N N to N N
 disappointment with the company 's earnings for the quarter led prudential-bache securities to reduce its N and N earnings estimates according to dow jones professional investor report
 computer associates international the most active big board issue was another victim of an <unk> sell-off
 the stock fell N to N N as N million shares were traded in the wake of its report that fiscal second-quarter net income fell N N from a year ago
 insurance stocks moved higher in the wake of a strong third-quarter earnings report from <unk> coming on the heels of speculation that last week 's devastating earthquake in the san francisco area would lead to higher premium rates
 <unk> whose net income for the quarter exceeded most analysts ' expectations rallied N N to N N
 aetna life & casualty gained N N to N N cigna advanced N to N N travelers added N to N N and american international group rose N N to N N
 comprehensive care plunged N N to N N on N million shares
 the company reported a third-quarter loss and said it is holding talks with its bank lenders for an extension on some overdue debt payments
 tw services dropped N N to N N following the <unk> of a $ N billion junk-bond offering that would have permitted coniston partners to complete its takeover of the company
 coniston said it would pursue various financing alternatives
 ual stock declined by N to N after nobody surfaced to claim credit for aggressive buying tuesday by bear stearns that sent ual stock up N points in a matter of hours
 tuesday 's rumored buyer coniston partners would n't comment on speculation that coniston which battled the ual board in N might challenge the board 's decision monday to remain independent
 other airline stocks were mixed
 amr which owns american airlines rose N N to N N usair group fell N N to N N and delta air lines rose N to N N after posting higher earnings for the september quarter
 stocks that reportedly benefited tuesday from a japanese buy program handled by painewebber gave back some of their gains
 procter & gamble went down N N to N dow jones fell N N to N N and rockwell international dropped N N to N
 however atlantic richfield <unk> its <unk> advance in the previous session and added N to N N
 general mills gained N N to N N
 goldman sachs placed the stock back on its list of recommended issues raised its N earnings estimate and recommended that its clients shift funds from kellogg to general mills
 kellogg dropped N N to N N
 manville advanced N to N
 the company offered to purchase $ N million of convertible preferred stock from the trust that handles its payments to asbestos victims
 di giorgio gained N to N N after the company said it is starting negotiations with unidentified parties interested in acquiring its units
 investor arthur goldberg is pursuing a $ <unk> takeover offer
 esselte business systems rose N to N N
 esselte ab of sweden offered $ N a share for the N N of the company it does n't already own
 public service of new hampshire went up N to N
 northeast utilities boosted its offer to acquire the company by $ N million to $ N billion
 <unk> which declared a 2-for-1 stock split and boosted its quarterly dividend by N N added N to N N
 also the company posted improved third-quarter earnings
 the american stock exchange market value index fell N to N
 volume totaled N shares
 mission resource partners lost N N to N N
 the partnership which had <unk> takeover offers said it failed to receive any adequate bids for all of its operations but is reviewing offers for individual properties
 japan is going on a <unk> binge that could make its trade surpluses even harder to shrink
 its capital spending is growing at double-digit rates for the second year in a row and its <unk> producers of everything from cars to computer chips are rushing to expand capacity modernize factories and develop new products
 the boom 's so huge says <unk> <unk> an economist at <unk> research institute it makes you think of the golden <unk> when japan developed rapidly
 the more factories and robots japanese manufacturers add the more they will be able to export and the less their domestic customers will need to import
 at <unk> inc. for example sales are up nearly N N this year so the maker of cameras and computer printers is doing what any japanese company would do under the circumstances it is increasing capital spending by N N
 it is building among other things a new <unk> factory in western japan that can produce up to N printers next year
 some N N of them are to be exported to the u.s.
 even companies in <unk> industries <unk> with world-wide overcapacity are joining the boom
 japan 's steelmakers are raising capital spending N N this year to $ N billion
 hitachi <unk> corp. a <unk> buried in debt just a few years ago will build a machinery plant its first expansion in N years
 so big is the <unk> boom that japanese companies ' outlays in japan topped american companies ' domestic outlays by $ N billion to $ N billion in the N months ended march N even though japan 's total output of goods and services is less than two-thirds america 's
 from a financial standpoint the boom could n't come at a better time
 many japanese companies expect record profits this fiscal year and japanese interest rates though up a bit recently are still low
 and in a business system where shareholders have few rights and expect only modest dividends companies can <unk> their profits back into plant and equipment
 but some economists and government officials here are n't <unk>
 they fear that the boom may be too big for japan 's or anyone else 's good
 it 's an explosive <unk> thrown at the world says kenneth <unk> senior economist at the tokyo unit of deutsche bank group
 the ministry of international trade and industry is so concerned that it recently took the unusual step of urging japanese auto companies to exercise caution in capital spending
 <unk> officials hope to avoid <unk> source of trade <unk> with the u.s. even though export restraints currently limit japanese car exports to the u.s.
 not everyone is worried however
 some economists and many japanese companies are <unk> by the warnings
 the investment boom is mainly sparked they say by strong domestic demand and is n't likely to increase exports sharply
 moreover much investment is n't aimed at increasing capacity
 according to a survey of some N large companies by the japan development bank expanded capacity is the goal of just N N of the outlays for manufacturers alone the figure is N N
 the manufacturers said N N of their spending is designed to improve products or add new ones N N is to cut costs N N is for research and development and the rest is for maintenance and other purposes
 but the <unk> remain <unk>
 with japan running enormous trade surpluses against much of the world they think that japan should meet the increased domestic demand by importing more
 and eventually they contend domestic demand will weaken forcing companies to <unk> exports again
 if there 's a further drive to export says <unk> <unk> an economist at the japan development bank that 'll be a problem
 even in the short run the investment boom could <unk> a disturbing trend japanese exports are showing surprisingly little tendency to ease
 japanese auto makers for example are increasing their production capacity in the u.s. the additional production should in part replace imported vehicles with locally manufactured ones
 but although japanese companies increased their u.s. auto output by N N from january to september compared with the year-earlier period their exports to the u.s. will drop only N N this year nikko research center estimates
 in contrast to previous economic <unk> japanese auto companies are n't just trying to boost production
 many are pouring money into developing high-quality products to target affluent consumers and to some extent to avoid direct combat with cheaper cars from south korea and taiwan
 others are replacing older facilities with flexible assembly lines on which different models can be turned out at once
 so many companies are investing in high-tech machinery that <unk> ltd. a robot maker also had to build a new plant
 the buildup is making japan clearly more efficient more <unk> advanced and more competitive declares a western diplomat in tokyo
 but whatever its effects on exports and imports japan 's investment boom during the past two years has been <unk> at least partly by soaring domestic demand
 japan 's marathon economy growing at N N this year is now in its <unk> month of expansion and some economists are betting that the boom will <unk> the record <unk> expansion in the late 1960s
 japanese consumers are increasingly eager to spend their money especially on high-priced goods such as <unk> television sets and luxury cars
 nissan motor co. 's domestic auto sales are up N N this year largely because its expensive <unk> <unk> and <unk> models are in heavy demand
 one dealer told me that if he had more cars he 'd sell them right away says <unk> <unk> nissan executive vice president
 he adds that the company is trying to keep up with demand by <unk> its employees
 similarly honda motor co. 's sales are so brisk that workers <unk> they have n't had a saturday off in years despite the government 's encouragement of more leisure activity
 with demand growing and workers in short supply many japanese manufacturers are spending heavily on <unk>
 among them are the <unk> which had <unk> their shipyard work forces to cut costs during a prolonged slump in demand but now are <unk> an increased share of the strengthening global market
 <unk> heavy industries co. a medium-sized <unk> expects its sales to increase N N this year largely because of rising demand for oil <unk>
 once one japanese company steps up its investments the whole industry follows
 because most businesses put market share above profitability to let a competitor 's addition to capacity go <unk> is to concede defeat
 the emphasis on market share is evident at daikin industries ltd. japan 's biggest maker of industrial air <unk>
 seeing new office buildings <unk> up and its sales soar daikin is building another plant which will lift its production capacity N N
 the expansion is aimed not just at meeting demand but also at expanding the company 's market share to N N from N N currently
 besides daikin 's major competitors hitachi ltd. and mitsubishi heavy industries ltd. are all adding production lines a daikin spokesman says
 until now we were trying to increase productivity with the facilities we already had
 but we ca n't produce enough anymore
 the competition is even more <unk> in the auto industry where companies are racing one another in a world-wide market
 nissan aims to expand its N N share of the market to N N by spending $ N million on a plant in southern japan that could make as many as N cars a year
 meanwhile toyota motor corp. 's $ N million buildup is increasing its annual capacity by N cars and honda is spending $ N million on expansion
 mazda motor corp. is still considering its options but it <unk> aims to double its annual domestic sales to N cars in the next four years
 those who are n't worried about how japanese manufacturers ' investments will affect trade note that many new products are n't <unk> for imports
 although imports account for less than N N of beer sales in japan <unk> <unk> ltd. which has been gaining share with its popular dry beer plans to fend off japanese competitors by pouring $ N billion into facilities to <unk> N N more beer
 but <unk> development will make japanese companies stronger and big investments in domestic industries such as beer will make it even tougher for foreign competitors to crack the japanese market
 moreover much of the investment boom is in high-tech fields in which japanese companies have only limited foreign competition so more investment practically <unk> more exports
 toshiba corp. for example is spending $ N million on two new plants to build <unk> dynamic random access memories the next generation of computer chips
 the product is n't widely used yet but toshiba which has already beaten everyone else in producing the <unk> <unk> <unk> believes that its early investment will <unk> its chances of beating its competitors again
 it 's important to gain leadership a toshiba spokesman says
 meanwhile toshiba 's japanese rivals hitachi fujitsu ltd. and nec corp. are n't sitting still
 after doubling production in one plant nec is spending $ N million to build another plant that in two years will be able to make a million <unk> <unk> a year
 the new chip plants wo n't be excessive investment says <unk> <unk> an nec vice president
 we have enough products to make and the markets to sell these products
 some of japan 's goods being produced as a result of the investment boom are already successful overseas
 toyota 's $ N lexus automobile a luxury model that it started shipping to the u.s. only last month is <unk> up orders at a time when <unk> luxury-car sales are slow
 toyota plans to raise lexus exports when a new plant starts up next year
 what if its sales weaken someday
 japanese companies have a <unk> competitor attitude
 if excess capacity develops they say not everyone will suffer
 the losers will be those with the least attractive products and many of them analysts think will be foreign companies
 benjamin franklin federal savings & loan association said it plans to restructure in the wake of a third-quarter loss of $ N million or $ N a share reflecting an $ N million addition to loan-loss reserves
 the <unk> ore. thrift said the restructuring should help it meet new capital standards from the financial institution reform recovery and enforcement act
 a year ago benjamin franklin had profit of $ N million or N cents a share
 in over-the-counter trading yesterday benjamin franklin rose N cents to $ N
 the company said the restructuring 's initial phase will feature a gradual reduction in assets and staff positions
 the plan may include selling branches consolidating or eliminating departments and <unk> down or <unk> of unprofitable units within N months
 initially the company said it will close its commercial real-estate lending division and stop <unk> new leases at its commercial lease subsidiary
 details of the restructuring wo n't be made final until regulators approve the regulations mandated by the new federal act the company said
 <unk> corp. a maker of mainframe computers reported a sharp decline in net income for its third quarter citing <unk> by competitors and adverse effects from a strong u.s. dollar
 net income fell N N to $ N million or N cents a share from $ N million or N cents a share in the year-ago period
 revenue rose N N to $ N million from $ N million
 <unk> 's results were somewhat worse than expected
 jay stevens an analyst with dean witter reynolds said he expected the sunnyvale calif. company to earn N cents a share for the quarter and said the firm 's weaker profit was partly the result of increased competition from international business machines corp. <unk> 's principal competitor for mainframe sales
 <unk> ltd. declared a N N stock dividend payable dec. N to stock of record nov. N
 the <unk> n.y. maker of consumer <unk> and industrial products also declared a quarterly cash dividend of N cents a share with the same payable and record dates
 the cash dividend paid on the common stock also will apply to the new shares the company said
 the move rewards shareholders and should improve the stock 's liquidity <unk> said
 the company has about N million shares outstanding
 in new york stock exchange composite trading yesterday <unk> 's shares closed at $ N a share unchanged
 federal health officials are expected today to approve a program granting <unk> access to the drug azt for children with acquired immune deficiency syndrome
 announcement of the approval is expected to be made by louis sullivan secretary of health and human services
 the clearance by the food and drug administration comes after two years of restricted access for the youngest victims of aids to the only <unk> drug yet cleared to treat the fatal disease
 the drug will be given treatment <unk> new drug status a label <unk> to drugs believed effective but lacking formal approval
 the move will make the drug available free of charge for a time to children with the disease and symptoms of advanced infection
 adults with aids have had access to azt since fda approved the drug 's usage for adults in march N
 but despite more than two years of research showing azt can relieve <unk> and other symptoms in children the drug still lacks federal approval for use in the youngest patients
 as a result many youngsters have been unable to obtain the drug and for the few exceptions insurance carriers wo n't cover its cost of $ N a year
 so far aids has <unk> N children under age N with many times that number believed to carry the infection without symptoms
 to date N of those children have died according to the federal centers for disease control
 mothers of young aids patients expressed <unk> satisfaction
 <unk> <unk> it 's happening
 it should have happened sooner said elizabeth <unk> a los angeles mother and activist who contracted the aids virus through a blood <unk> and <unk> it to two of her children
 one of them a daughter <unk> died a year ago at age seven after her parents unsuccessfully pleaded for the drug
 i could get azt says mrs. <unk> who bears her infection without any symptoms
 but my daughter could n't until she was too ill to take it
 to watch your child die is an <unk> experience
 her son healthy and <unk> currently takes no medication
 the delay in getting azt to children has been blamed on a combination of factors
 traditionally the medical establishment has waited two years to approve adult <unk> for pediatric uses because of a combination of conservative safety standards and red tape
 <unk> critics have charged azt 's maker <unk> wellcome co. with corporate <unk> because children account for just N N of the patient population and hence a small part of the large and lucrative market
 wellcome has replied that it is moving ahead to <unk> the relevant data and recently promised to develop a pediatric <unk> form easier for youngsters to take
 still all this comes nearly a year and a half after philip <unk> of the national cancer institute offered evidence that azt could reverse the <unk> of aids <unk> sometimes prompting dramatic recovery of <unk> levels and <unk> of lost motor skills
 since then roughly N pediatric patients have received the drug in his program
 to some mothers the expected fda action is a <unk> reminder of what might have been
 my first reaction is i do n't understand why it 's taken so long
 why has it taken people so long for people to understand pediatric aids is a major problem asked <unk> <unk> whose son samuel died six years ago at age three victim of a tainted <unk>
 similar <unk> were voiced on capitol hill
 while i 'm pleased the fda is finally <unk> azt for children it 's taken much too long to get to this point said rep. ted weiss
 why did it take <unk> wellcome so long to apply for treatment <unk> new drug status the new york democrat asked
 let 's not forget this is the same company that has been <unk> with this drug for N N years mr. weiss added
 mrs. <unk> who is a <unk> of the pediatric aids foundation based in santa <unk> calif. <unk> neither bureaucratic nor corporate <unk>
 there 's no finger to be pointed she said
 the crucial thing is that we learn our lesson well and to make sure other experimental drugs like bristol-myers co. 's <unk> do n't follow the same frustrating course as azt
 aids <unk> which gradually <unk> children 's ability to speak walk and think is often the most striking aspect of the pediatric syndrome
 for some patients azt has restored the ability to ride a bicycle or solve <unk> giving back a piece of their <unk> if only temporarily
 it 's impossible to <unk> how much this means to the families of these patients said samuel <unk> director of the national cancer institute and a main developer of azt
 avon <unk> & truck corp. said it declared a dividend of one warrant for each three shares of common stock
 currently avon based in santa <unk> calif. has N million common shares outstanding
 about N million class c warrants were issued the company said
 each of the class c warrants will enable the holders to purchase one share of common stock at $ N
 the warrants may be exercised until N days after their issue date
 avon also said it will issue an additional N of the class c warrants to holders of its class a class b and <unk> warrants
 issuance of those warrants will be at the rate of one-third warrant for each warrant exercised
 the big board plans to launch its own vehicle for program trading today amid growing controversy over the practice
 the new baskets of stocks will allow big investors to buy or sell all N s&p index stocks in a single trade
 the exchange argues that the product which the sec temporarily approved yesterday will help ease rather than worsen any volatility in the stock market
 sec chairman breeden said he would consider imposing circuit breakers to halt program trading during sharp swings in the market
 kemper financial services has stopped executing its stock trades through four big securities firms because of their involvement in program trading which kemper and others say is <unk> the market
 the main capital-gains tax plan in the senate is n't winning support from democrats who favor a reduction
 the trend is making proponents less optimistic a tax cut will pass
 bethlehem steel 's profit plunged N N in the third quarter hurt by higher costs and lower shipments to key clients
 also armco and national intergroup had lower operating profit in steel marking what may be the end of a two-year industry boom
 columbia s&l posted a quarterly loss of $ N million as the beverly hills thrift <unk> from new industry rules and turmoil in junk bonds
 <unk> plans to aggressively discount its major beer brands setting the stage for a price war as the beer industry 's growth <unk>
 ps new hampshire received a sweetened bid from another suitor united illuminating which valued its new proposal at $ N billion apparently <unk> all others so far
 financial markets <unk> with stock prices <unk> lower bonds <unk> up and the dollar almost unchanged
 the dow jones industrials closed off N points at N
 fed chairman greenspan said the central bank can wipe out inflation without causing a recession but doing so will <unk> short-term pain
 gm 's hughes electronics unit said profit slid N N in the third quarter
 the finance unit gmac said net fell N N but <unk> 's profit rose N N
 campeau reportedly may receive a $ N billion offer for bloomingdale 's from tokyu department store of japan
 campeau declined to comment
 ual 's pilots and machinists unions appear to hold the key to any future takeover bid for the airline
 provigo plans to sell all non-food operations to <unk> on its retail and wholesale grocery business
 also chairman pierre lortie resigned
 westinghouse expects operating margins of over N N and sharply higher earnings per share next year due to a major restructuring
 some major u.s. trade partners quickly rejected a compromise proposal by bush to <unk> trade and reduce <unk> subsidies
 markets
 stocks volume N shares
 dow jones industrials N off N transportation N off N utilities N up N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N up N spot index N off N
 dollar N yen up N N marks off N
 gorbachev said moscow wo n't intervene in east bloc moves to democracy
 the kremlin leader on the first day of a <unk> official visit to <unk> assured finland 's president that the soviet union has no moral or political right to interfere with moves toward democracy in poland hungary or elsewhere in eastern europe
 in moscow the soviet state bank announced a N N devaluation of the ruble against the dollar for private transactions in an apparent attempt to curb a black market for hard currency
 the action will establish a two-tier exchange rate
 workers at six mines in arctic circle coal fields called strikes over a series of economic and political demands
 the move <unk> a law approved in moscow this month banning such <unk>
 the house failed to override bush 's veto of a bill easing abortion funding
 the chamber voted N N votes short of the two-thirds majority needed to <unk> the president 's veto of legislation renewing support of medicaid abortions for poor women who are victims of rape and incest
 the roll call was considered an illustration of the limits of power that the <unk> abortion-rights movement faces
 the legislation was part of a $ N billion measure funding the departments of labor education and health
 michigan 's senate passed a bill requiring <unk> to get parental consent for an abortion and pennsylvania 's house cleared a measure banning abortions after the <unk> week of pregnancy
 the fda is expected to approve today a program granting access free of charge to the drug azt for children with aids
 adults have had access to the only approved <unk> drug since N
 research shows azt can relieve <unk> and other symptoms in children N of whom are known to have been infected
 congress sent to bush a $ N billion emergency package to assist in the recovery from last week 's california earthquake and from hurricane hugo
 the action came after the senate approved the house-passed measure
 in the san francisco bay area more than N people were homeless and <unk> threatened more houses
 house-senate conferees agreed to continue production of grumman corp. 's f-14 jet and to provide more than $ N billion during the current fiscal year to develop a <unk> <unk> system
 the final package is expected to be announced within the next week
 the white house has decided to seek changes in pesticide law that are aimed at speeding the removal of harmful chemicals from the food supply
 the changes which could be announced as early as today would apply to pesticides and other <unk> found on fresh and processed foods officials said
 east german leader krenz said he was willing to hold talks with opposition groups pressing for internal changes
 the communist party chief facing what is viewed as the nation 's worst unrest in nearly N years also said he would allow east germans to travel abroad more freely but made clear that the berlin wall would remain
 a <unk> christian alliance accepted an <unk> proposal aimed at ending lebanon 's 14-year-old civil war
 the move by the coalition of political parties and lebanon 's largest christian <unk> isolated military chief aoun who has rejected the plan which includes political changes and a syrian troop withdrawal from <unk>
 baker offered to review israel 's suggested changes to his proposal for direct <unk> talks
 but the secretary of state advised israel that attempting to overhaul the <unk> plan <unk> delaying the negotiations aimed at mideast peace
 nato defense ministers said the <unk> alliance continues to need a strong nuclear strategy despite political changes in eastern europe
 the ministers concluding a two-day meeting in southern portugal welcomed moscow 's <unk> to cut its military forces but urged the soviets to do more to slash <unk> nuclear weapons
 the justice department indicated a possible challenge to a court order allowing former national security adviser <unk> to subpoena <unk> reagan 's personal papers for use in the defense case against iran-contra charges
 a department spokesman said the ruling raised a serious question about the office of the president
 bush said washington would continue a trade <unk> against nicaragua declaring that the central american country <unk> an unusual and extraordinary threat to the security of the u.s.
 meanwhile secretary of state baker said the u.s. <unk> to moscow over shipments of east bloc arms to <unk> rebels from managua
 a <unk> <unk> a <unk> <unk> in <unk> <unk> brazil and at least N people most of them children were missing and feared dead
 the city 's mayor vowed to take legal action against developers who had been <unk> at the crest of the hill
 czechoslovakia 's premier said he supports broad political and economic restructuring but ruled out any dialogue between <unk> 's communist government and independent human-rights or dissident groups
 <unk> <unk> ending a two-day visit to <unk> pledged changes in czechoslovakia including <unk> travel to the west
 died mary <unk> N novelist and literary critic in new york city of cancer
 <unk> harper N founder and <unk> executive of interpublic group of cos. in oklahoma city of a heart attack
 <unk> coors co. said william k. coors chairman assumed the additional responsibilities of president succeeding jeffrey h. coors
 jeffrey coors N years old had been president since N when he succeeded his father joseph in the job
 but the brewer said jeffrey coors voluntarily gave up the position to focus more of his energy on coors technology co. a small unit of coors he has run for several years
 a coors spokesman said the company does n't believe the move will further increase william coors 's influence or reduce the influence of jeffrey coors peter coors or joseph coors jr. who run the company 's three operating units
 it certainly was n't intended to be a <unk> the spokesman said
 pete and jeff and joe jr. have taken over the reins and are doing most of the work
 we do n't think this will affect that
 jeffrey peter and joseph jr. are brothers
 william coors is their uncle
 jeffrey peter joseph jr. william and joseph sr. constitute the company 's board
 peter coors runs the coors brewing co. unit the nation 's <unk> brewery that accounted for $ N billion of <unk> coors 's $ N billion in N sales
 joseph jr. runs coors <unk> co. the other operating unit which had about $ N million in N sales
 dun & bradstreet corp. said business failures fell N N to N in the third quarter from N in the year-earlier period
 in the first nine months of this year business failures dropped N N to N from N
 except for a few spots notably georgia virginia and michigan failures declined almost across the board according to the business information services company
 <unk> <unk> a business failure as a company that closes with losses to creditors
 the current decline in failures continues a trend begun in late N <unk> said
 the drop accelerated in this year 's third quarter <unk> an overall lack of stress in the u.s. economy the company said
 failures in seven of nine regional areas fell more than N N in the nine months
 the south atlantic states were the only region to report an increase in <unk> up N N to N from N
 this occurred partly because of more competition as the number of new businesses surged
 the only industry sector to report more business failures for the nine months was the finance insurance and real-estate sector where <unk> grew N N to N from N
 the troubled savings-and-loan industry and subsequent stress in real-estate businesses fueled <unk> in this sector <unk> said
 a major tokyo newspaper reported that a japanese department store concern is planning to offer about $ N billion to buy bloomingdale 's
 campeau corp. the chain 's owner declined to comment on the report
 a spokeswoman said toronto-based campeau has received <unk> of interest in bloomingdale 's but she declined to comment on whether any actual bids had been made
 <unk> <unk> <unk> japan 's leading economic newspaper reported wednesday that tokyu department store co. is planning to team up with u.s. and western european financing to buy the new york-based retail chain which campeau has put up for sale
 the service did n't identify its tokyu sources
 this is the first of many rumors we expect to hear during the sale 's process said a bloomingdale 's spokesman
 we wo n't comment on them
 tokyu executives were n't available for comment early thursday morning in tokyo
 campeau 's chairman robert campeau said at its annual meeting in july that he valued bloomingdale 's at $ N billion
 among previously disclosed possible bidders is bloomingdale 's chairman marvin traub who has aligned himself with drexel burnham lambert inc. and blackstone group
 investment bankers in tokyo confirmed that tokyu department store is one of several japanese companies that has been approached by representatives of a management committee headed by bloomingdale 's mr. traub
 but they said detailed financial figures have n't been passed yet to any prospective buyers
 nobody is going to make a real bid before the middle of november said one investment banker familiar with the discussions in japan
 tokyu is one of the potential buyers who might raise its hand
 but it 's in very early stages still
 bloomingdale 's is a <unk> chain acquired last year by campeau in its $ N billion acquisition of federated
 bloomingdale 's does an estimated $ N billion in annual sales
 the sale of bloomingdale 's is a condition of efforts by toronto-based olympia & york developments ltd. to arrange $ N million in bridge financing for campeau which disclosed last month that its retailing units federated department stores inc. and allied stores corp. were strapped for cash
 <unk> owned by toronto 's <unk> family is also <unk> major restructuring and refinancing of campeau a toronto-based real estate and retailing company
 one executive familiar with the bloomingdale 's situation said no book has been issued regarding bloomingdale 's there are no projections so i doubt very much whether any bid has been made
 separately a campeau shareholder filed suit charging campeau chairman robert campeau and other officers with violating securities law
 the suit filed in u.s. district court in manhattan seeks class-action status
 the suit <unk> the retailer and several of its officers of making false and misleading statements about the company 's business affairs
 the suit says the company failed to disclose material adverse information about its financial condition
 a spokesman for the company said campeau has n't seen the suit and declined to comment
 mccaw cellular communications inc. must extend its offer for lin broadcasting corp. because it has not yet announced committed financing sufficient to complete the bid lin said in new york
 according to securities and exchange commission rules mccaw is required to keep its offer for the <unk> and broadcasting concern open for at least five business days after the announcement of the financing lin said
 mccaw 's offer is scheduled to expire tomorrow
 last week mccaw said it obtained firm financing commitments from three major banks in regard to its bid to control lin broadcasting
 the banks jointly committed $ N billion of financing subject to certain conditions mccaw said
 a spokesman for mccaw said the company was moving forward with our financing
 he added that hopefully lin will conduct a fair auction
 mccaw wants to buy N million shares of lin for $ N each or $ N billion which would result in mccaw 's owning N N of lin
 the offer is in limbo however because lin has agreed to merge its <unk> businesses with bellsouth corp
 in national over-the-counter trading yesterday lin rose N cents to $ N
 <unk> institute declared a 2-for-1 split of its common stock payable nov. N to stock of record nov. N
 the clinical testing services holding company is based in san <unk> <unk> calif
 stateswest airlines phoenix ariz. said it sent a more detailed merger proposal to <unk> mesa airlines
 <unk> <unk> mesa has consistently rejected stateswest 's offers and early this week said its board would n't give the proposal further consideration calling it vague and <unk> because it did n't describe the source of funds or the specific terms of stateswest securities which were part of the offer
 the new letter <unk> to do this saying that in addition to $ N a share in cash stateswest would offer one share of new N N convertible preferred stock of stateswest it values at $ N a share
 it also said the cash portion of the transaction would be financed with stateswest 's own cash and short-term investments plus debt and other financing arranged through <unk> brown & co. the company 's investment banker
 in national over-the-counter trading yesterday mesa closed at $ N up N cents
 stateswest asked mesa to <unk> by oct. N
 mesa president larry <unk> said his board had received stateswest 's most recent offer and was reviewing it
 spiegel inc. citing continuing improvement in the apparel market said third-quarter net income jumped N N from the soft year-earlier period on an N N increase in revenue
 the catalog retailer reported net income of $ N million or N cents a share up sharply from $ N million or N cents a share a year earlier
 revenue rose to $ N million from $ N million
 spiegel said margins improved because its inventory position this year did n't need the costly <unk> required to trim last year 's <unk> levels
 a spokeswoman said the apparel market <unk> in the first half of N then began showing improvement in the second half of last year
 we 've seen continued improvement in N she said
 the year-ago quarter 's results were <unk> by expenses associated with spiegel 's $ N million acquisition of <unk> eddie <unk> spiegel noted
 in addition the company said ongoing cost-cutting efforts contributed to the latest period 's earnings <unk>
 spiegel is <unk> by the <unk> family of west germany
 in national over-the-counter trading the company 's shares climbed N cents to $ N
 for the latest nine months spiegel 's net climbed a solid N N to $ N million or N cents a share from $ N million or N cents
 unlike the quarter 's results which were based on roughly equal shares outstanding nine-month per-share figures reflect an increase in average common shares outstanding to N million from N million
 nine-month revenue was $ N billion up N N from $ N million
 the bad news in the junk bond market yesterday was that tw services a group of restaurant chains became the latest prospective issuer to get a cold shoulder from bond buyers
 the good news to fans of stable credit at least is what the rejection says about the state of mind of junk buyers
 apparently they are learning to say no to excess risk
 coniston partners which with related entities controls N N of tw had been planning to sell $ N billion of junk bonds among other things to finance their acquisition of the remaining public shares
 but coniston a new york partnership managed by the firm of <unk> <unk> & oliver yesterday announced that in view of unsettled conditions in securities markets the offering would be postponed and restructured
 what was n't mentioned is that coniston and its investment banker donaldson lufkin & jenrette just completed a <unk> road show for the purpose of marketing the bonds
 and investors at least for now took a pass
 tw 's junk bonds were n't as junk bonds go unusually weak
 its fast-food restaurants including <unk> 's <unk> 's <unk> 's and el <unk> <unk> the only significant fast-food chain to specialize in <unk> chicken are stable <unk> and growing
 but unless they continued to grow tw based in <unk> n.j. would have run into trouble
 until recently such <unk> <unk> deals were routine
 but people do n't buy anything on expectation anymore says jack <unk> who manages the high-yield fund of <unk> financial services
 investors he adds are getting <unk>
 the tw buy-out may yet be financed
 there is nothing wrong with the company says coniston principal paul <unk>
 the <unk> he says is that the junk market is n't as deep as before
 tw 's <unk> meeting was postponed from tomorrow to nov. N
 by then dlj hopes to be able to sell <unk> junk bonds
 <unk> <unk> & oliver is likely to contribute more than the $ N million in equity it had planned on
 banks may contribute more senior debt
 and the total amount of junk financing will be reduced
 a dlj banker putting a best possible face on it asserts that very few people said they did n't like the credit quality
 people said they did n't think a billion-dollar deal would trade
 but trading risk stems from credit risk
 and by adding equity dlj would seem to be acknowledging that credit risk was a concern
 indeed the dlj banker says in the <unk> capital structure cash coverage of interest will <unk> improve
 as he sums it up we are listening to the market
 what is it to borrow a term from coniston that so unsettled the market
 some of the same risks that were cited and seemingly ignored in dozens of previous junk offerings
 the tw prospectus says that if the acquisition had been completed earlier pretax earnings would have been insufficient to cover its fixed charges including interest on debt securities by approximately $ N million in the first six months of N
 tw notes as many junk issuers do that adjusted to eliminate <unk> charges tw would have run a cash surplus in this case of $ N million over six months
 but such calculations ignore the <unk> charge of depreciation taken to allow for the gradual wearing out of french <unk> deterioration of stores and the like
 in fact dlj says the company <unk> capital expenses of about $ N million a year
 tw 's pitch was that sales and earnings at its restaurants have risen steadily and that people wo n't stop eating during a downturn
 but they wo n't necessarily eat at <unk> 's
 the fast-food business is intensely competitive notes wertheim schroder analyst john <unk>
 prospective bond buyers noted that tw historically has <unk> because it has been willing to spend aggressively on remodeling restaurants and <unk> <unk>
 we were concerned that they were n't going to generate enough cash for capital spending and also to pay down debt says a big investor in high-yield debt
 dlj argues that tw could if necessary cut capital spending since half of what it plans to spend is for growth rather than maintenance
 but investors noted that under the <unk> offering tw would have needed to grow to meet its debt payments
 its calculations for meeting cash charges ignore $ N million a year in interest on <unk> or zero-coupon debentures which ultimately would have had to be paid
 the prospectus notes there can be no assurance that future growth will continue at past levels
 in the recent past bond buyers did n't seek such assurance
 now apparently they do
 tw services
 nyse symbol tw
 business restaurants
 year ended dec. N N \*
 revenue $ N billion
 net income $ N million $ N a share \*\*
 third quarter sept. N N net loss N cents share vs. net income N cents a share
 average daily trading volume N shares
 common shares outstanding N million
 \* includes results of <unk> 's inc. acquired in september
 \*\* includes $ N million write-down of assets and takeover defense costs
 <unk> thatcher must be doing something right her political enemies are <unk> <unk> than ever
 mrs. thatcher who was practicing the <unk> school of politics years before mr. bush encountered it has made clear her opposition to <unk> britain 's free-market policies to suit the bureaucrats in brussels
 in return mrs. thatcher is <unk> from fleet street to paris as an <unk>
 well it now turns out that mrs. thatcher had to travel across the globe to the <unk> commonwealth summit in kuala lumpur to <unk> the <unk> order of consensus builders
 a <unk> <unk> in malaysia <unk> the <unk> guardian
 she can no longer be trusted to <unk> in a <unk> that is <unk> fashion when abroad
 <unk>
 canada 's brian <unk> and australia 's bob <unk> the paper said were <unk>
 the london times said she had <unk> protocol
 as usual her <unk> was saying what she thought
 she issued a separate statement <unk> herself from a commonwealth document <unk> the political value of imposing sanctions against south africa
 while supporting the commonwealth in utterly <unk> apartheid her statement urged it to encourage change rather than <unk> further punishment on the country 's black population
 actually there is a consensus somewhere on sanctions in may a <unk> poll found that most south african blacks N N oppose economic sanctions
 still mrs. thatcher had once again gone against the grain
 malaysia 's prime minister <unk> <unk> <unk> if everybody else puts out their left foot and you put out your right foot you are out of step
 mrs. thatcher if it 's one against N i 'm very sorry for the N
 if indeed mrs. thatcher has one opponent that could throw her off political course it is britain 's <unk> <unk> inflation problem
 we can not however join the political chorus that as one <unk> how <unk> it is that mrs. thatcher refuses to get along by going along
 it is <unk> to see at least one world figure who knows what she believes in and is not inclined to <unk> compromise those <unk>
 perhaps mrs. thatcher understands better than those <unk> at her style that ultimately history and britain 's voters will decide who is right about europe <unk> south africa or running britain 's economy
 follow with care
 work hard play hard is advice best taken with some caution for it can bring fitness and success or a state of total <unk>
 edward f. <unk>
 double check
 the guest paid his bill at the resort hotel and as he <unk> he noticed a sign saying have you left anything
 the man went back and spoke to the desk clerk that sign is wrong he said
 it should read have you anything left
 sam <unk>
 after being <unk> in tuesday 's selling <unk> the nasdaq over-the-counter market <unk> itself off and moved on in moderate trading
 but while the composite gained N to N many issues did n't participate in the advance
 it was a mixed bag said richard bruno who heads over-the-counter trading at painewebber
 we played <unk> in some areas and sold off in some others
 volume totaled N million shares which is about average for the year
 of the N issues that changed hands N advanced and N declined
 big financial stocks carried the day
 the nasdaq financial index rose N to N
 meanwhile the nasdaq N index of the big <unk> stocks basically stood still easing N to N
 despite the composite 's advance some trading officials are <unk> optimistic that the market is on the road to recovery
 <unk> <unk> head of over-the-counter trading at kidder peabody said it is difficult to make predictions based on yesterday 's trading volume
 the advance felt more like a technical bounce he said
 the market acted better but it was n't a tremendous comeback mr. <unk> observed
 if we get a decent rally today maybe the buyers will come back
 if <unk> <unk> <unk> is right a <unk> may come in handy during the next few sessions
 the president of <unk> <unk> mr. <unk> expects the market to be very <unk> for a while
 there 's a lot of uncertainty out there and it will cause a lot of swings he said
 among active stocks mci communications rose N to N on N million shares <unk> graphics added N to N N on turnover of N million shares
 apple computer dropped N N to N N on one million shares
 almost one million shares of sun microsystems changed hands but the issue was unchanged at N N
 biotechnology issues were strong
 amgen advanced N N to N chiron jumped N to N N <unk> gained N to N N and <unk> rose N to N N
 the american depositary receipts of jaguar jumped N to N N on turnover of N million
 ford motor said it raised its stake in the british car maker to N N of the ordinary shares outstanding
 in a securities and exchange commission filing ford said it holds N million ordinary shares
 the company has said it is prepared to make a bid for all of the shares outstanding of jaguar if british government restrictions to such a transaction are removed
 another takeover target lin broadcasting rose N to N N on N shares
 its suitor mccaw cellular also added N to N N on N shares
 other stocks were affected by corporate earnings
 <unk> which recently said third-quarter net income rose to N cents a share from a penny a share a year ago gained N N to N N on N shares
 the N results included a one-time gain
 <unk> <unk> rose N or N N to N N on volume of N shares
 the maker of software products and services which had a net loss in the N third quarter earned N or a penny a share in this year 's quarter
 it was nasdaq 's biggest percentage <unk>
 star states plunged N N to N N on N shares
 the company suffered a $ N million loss in the third quarter compared with net of $ N million a year earlier
 <unk> dropped N N to N N on N shares
 in its <unk> quarter ended sept. N the <unk> maker earned N cents a share up from eight cents a share in the N quarter which included an extraordinary credit
 <unk> care health fell N N to N N on N shares
 the company 's third-quarter earnings also rose to N cents a share from eight cents a share a year ago
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 one day last march cbs sports president neal pilson and olympics <unk> barry frank met for lunch at the <unk> club here
 mr. frank told mr. pilson that olympics officials wanted $ N million or more for tv rights to the N winter games in norway
 the cbs official said that price sounded fine
 at that price cbs was the only player at the table when negotiations with the international olympic committee started in toronto aug. N
 dick pound a committee member began by disclosing that abc and nbc had refused to even bid
 then he asked mr. pilson to raise his offer anyway if we can have a number that starts with a three you can have a <unk>
 mr. pilson and his team <unk> in a <unk> and took just N minutes to return with a $ N million offer
 mr. pound responded it 's a deal
 a <unk> mr. pilson announced his <unk> coup at a news conference that afternoon
 mr. pilson 's rivals at abc and nbc <unk> at the price
 how could cbs get pushed into <unk> itself
 well cbs mired in the ratings <unk> and looking to sports as a way out wanted to close the deal immediately and block its rivals from getting another chance to bid
 but mr. pilson has been put in the uncomfortable role of setting off a bidding frenzy for sports rights a frenzy that the networks had hoped to avoid
 the price of <unk> has gone up <unk> charles m. <unk> the college football association 's executive director
 with cbs inc. on a spending spree that may top $ N billion for four years of major sports events the new <unk> of <unk> could jolt the entire broadcast business
 cbs itself could run up losses of a few hundred million dollars on four years of various sports if its big gamble goes wrong
 abc a unit of capital cities\/abc inc. and general electric co. 's national broadcasting co. also risk losses if they <unk> cbs for other contracts
 while rights fees head <unk> ad rates wo n't
 advertisers already are <unk> at higher prices
 the networks are paying too much for rights warns <unk> paul <unk> of young & rubicam
 if they ask advertisers to absorb the costs they 're likely to lose all but a few who need sports above all
 viewers may not be <unk> either
 soaring rights fees will lead to an even greater clutter of commercials
 at the same time some sports events will move off free television and onto cable or <unk> where half the nation 's tv homes ca n't see them
 cbs has changed the rules by throwing out the old basis for sports bids that is can the network alone make a profit on it
 mr. pilson <unk> the <unk> benefits of positive press <unk> affiliate stations enthusiastic advertisers and huge audiences that might stick around to watch other cbs programs when the game is over
 the billion-dollar question is how much are those benefits worth
 some tv people doubt they will <unk> and argue that even if they do they wo n't offset the multimillion-dollar deficits that cbs could run up
 as we 've seen in the '80s says roger werner the president of the espn sports channel those deals can turn sour if the numbers do n't work
 and three years later in a sea of red ink the heroes can find themselves with a lot of explaining to do
 cbs <unk> top sports to <unk> the fact that they are n't supporting affiliates viewers and advertisers charges thomas h. <unk> who was ousted as chairman of cbs inc. after laurence a. tisch bought a N N stake in the company and took over three years ago
 they lost the entertainment crown and they needed one
 and they 've bought one
 on just three big deals for four years of baseball and for the olympic winter games in both N and N pilson bid a total of $ N billion
 that 's well over half a billion dollars more than abc and nbc were willing to pay
 after N the winter and summer olympics will be held two years apart with the revised schedule beginning with the winter games in N and the summer games in N
 now mr. pilson a former college basketball player who says a good negotiator needs a level of focus and intellectual attention similar to a good <unk> is facing the consequences of his own <unk>
 next month talks will begin on two <unk> cbs contracts for the pro and college basketball <unk>
 cbs is likely to spend whatever it takes to keep them
 the potential bill more than $ N million for several seasons an N N jump
 a few months later cbs 's college and pro football contracts come up for renewal they could go for close to $ N million more than cbs now pays a N N to N N rise
 what happens to those two basketball contracts will shape the next five years of network sports says peter <unk> a former cbs sports president now at <unk> inc
 j. william <unk> former president of espn says nbc may come in with a huge bid for college basketball to take it away from cbs and say we can <unk> too
 and the winners will be the colleges not either network
 nor by the way advertisers
 mr. pilson is an unlikely big <unk>
 in the mid-1980s after abc had just bid a record $ N million for the N winter games he <unk> at rivals for paying reckless prices
 i love pilson but he was the guy who complained most bitterly and <unk> says robert <unk> a former cbs sports president
 and yet his company is one reason why rights are so high today
 rivals <unk> at the principle of pilson as nbc 's arthur watson once put it he 's always <unk> that rights are too high then he 's going crazy
 but the <unk> mr. pilson is hardly a man to ignore the numbers
 a yale law school graduate he began his career in corporate law and then put in years at metromedia inc. and the william morris talent agency
 in N he joined cbs sports to head business affairs and five years later became its president
 mr. pilson says that when he spoke out a few years ago i did n't say forever and i did n't say every property
 the market changed he adds
 and he is n't the only big <unk> nbc will pay a record $ N million for the N summer games and espn <unk> by capital cities\/abc will shell out $ N million for four years of baseball airing N regular-season games a year
 our competitors say we <unk> them
 who <unk>
 maybe we recognize values the other guys do n't mr. pilson says
 mr. pilson 's major events strategy <unk> after mr. tisch took over
 mr. pilson recalls that in april N after cbs 's annual meeting in philadelphia he and mr. tisch took the <unk> train ride back to new york and mr. pilson used this extended private audience to <unk> his ambitions
 mr. tisch a billionaire in hotels and finance was just learning the tv business
 five months later mr. tisch took over as cbs 's chief executive and soon he was <unk> sole approval each time mr. pilson <unk> a <unk> large figure on a slip of paper <unk> it in an <unk> and gave it to sports negotiators
 then in may N mr. tisch <unk> needed to make a bold statement to <unk> rumors that he might sell the network
 mr. pilson gave him one he bid $ N million for rights to the N winter games in <unk> france abc and nbc would n't bid even $ N million
 that started the <unk> bidding wars
 the major events strategy mr. pilson says is designed to <unk> a place for cbs on the crowded tv dial of the 1990s
 it 's also a fast fix for an ailing image
 he sees flashy sports as the only way the <unk> network can cut through the clutter of cable and <unk> grab millions of new viewers and tell them about other shows <unk> a few weeks later
 next october cbs for the first time wo n't have to start the season against the <unk> american and national baseball league <unk> and the world series
 i 've been struggling against that for years says jonathan <unk> who runs <unk> the <unk> station in chicago
 even if baseball <unk> losses at cbs and he does n't think it will i 'd rather see the games on our air than on nbc and abc he says
 that is n't surprising
 regular tv series ratings have slumped in the past five years and <unk> new shows is a <unk> shoot mr. pilson says
 but top sports events are still a strong bet to lure audiences N N or N N larger than those cbs usually gets
 mr. pilson says baseball and the olympics may help cbs move up to no. N in the household ratings race putting <unk> back into the network 's image
 and the winter olympics will air during the february <unk> when ratings are used to set ad rates for local stations
 that will please <unk> affiliates another aim of the pilson plan
 they <unk> await the dream season in N
 cbs will air the <unk> bowl baseball playoffs college and pro basketball <unk> and other premier sports events
 it 's made me more committed to cbs says philip a. jones the president of meredith corp. 's broadcast group which has two cbs affiliates
 the cbs plan to use big-time sports as a platform for other series carries no guarantee of success however
 no amount of <unk> will bring viewers back if the shows are weak
 in this market of N channels sophisticated viewers and the <unk> control trial is n't a guarantee of anything espn 's mr. werner says
 if the show ai n't a killer they 're gone
 during the N summer games for example abc touted call to glory but the military drama was missing in action within weeks
 last october during the N summer games nbc <unk> pitched a new series <unk>
 it <unk> anyway
 moreover sports is hardly the best way to lure adult women
 though cbs might move up to no. N in household ratings most advertisers buy based on ratings for women aged N to N
 cbs may remain a distant no. N in that regard
 nor is cbs a <unk> to get blockbuster ratings
 in recent years the world series and the olympics were aired against cbs 's <unk> lineup
 but cbs will put the athletes up against bill cosby <unk> and other shows in nbc 's no. N schedule
 even the <unk> to affiliate relations may be limited
 the sports lineup may add only N N to N N to a station 's annual profits
 it alone is n't likely to stop a station from <unk> cbs shows
 the world series seven nights was n't enough of an incentive says arnold <unk> of <unk> in rochester which dropped cbs for nbc six weeks ago
 you 've got to judge where the network will be in three years
 the <unk> benefits may prove extremely costly if cbs ca n't avoid big losses on the sports coverage itself
 and avoiding such losses will take a <unk> effort
 on the $ N billion baseball agreement alone cbs is likely to lose $ N million in four years contends mr. <unk> the former cbs man now at comsat inc
 nevertheless he <unk> the deal plain smart for its huge promotional value
 mr. pilson calls that loss estimate wildly inaccurate <unk> only that cbs will lose money on baseball in the first year
 it 's too early to tell what happens after that he says
 but mr. tisch expects losses in all four years of the contract he told u.s. senators last june
 cbs will pay an average of $ N million more each year than abc and nbc had paid together and those two networks expect losses on baseball this season
 yet cbs will air only N regular-season games N fewer than abc and nbc
 that has <unk> some fans
 it also indicates a $ N million drop in ad sales for regular-season games a risk cbs took to get an unprecedented lock on all <unk> games
 if the playoffs end in four-game <unk> losses could soar
 advertisers are <unk> higher prices which would help close the gap
 cbs signed general motors and toyota to be the only <unk> sponsors in baseball for four years
 price $ N million
 but ad executives who negotiated the deal say that works out to only $ N for a <unk> ad in the world series through N N N less than what abc is charging for the series this month
 moreover there 's no question ad rates will come down considerably from the <unk> price says arnold chase of bozell inc
 other <unk> however say rates could rise later if ad spending <unk>
 the winter games outlook also is mixed
 cbs expects to make modest profits but rivals contend that it will take a beating
 abc lost $ N million on the N winter games partly because of its $ N million rights fee
 it aired N hours of mostly live events in calgary helping raise ratings slightly from N but still failed to deliver the audience promised to advertisers
 cbs will add N N hours to that load in N and ratings could be hurt by a lack of live events
 all prime-time fare will be on <unk> because of time differences with norway so the results can be announced on the N <unk> news
 turner broadcasting will pay cbs $ N million to air N hours of cbs coverage plus N hours of additional events
 barry frank the agent who took mr. pilson to lunch last march says that even if cbs loses say $ N million it matters little
 ten million ai n't jack man when you got $ N billion sitting in the bank says mr. frank senior vice president at international management group citing cbs 's enormous cash reserves from selling off various businesses
 it does n't mean anything it 's public-relations money
 moreover sports has claimed its place as a guaranteed <unk> says david j. stern the commissioner of the national basketball association
 this is n't <unk> bidding this is a situation of very careful businessmen making judgments about the worth of product and acting on it
 i would tend to trust their judgment
 that 's easy for him to say cbs 's four-year <unk> pact now at $ N million for four years could double in price by the time his talks with mr. pilson are completed later this month
 that would cut into cbs 's slim margin for profit and error
 cbs sports earned $ N million or so last year
 and cbs takes in the least money in prime time abc and nbc charge N N to N N more for ads according to a variety survey
 but cbs 's costs are huge and the risks go up with each new sports package that cbs <unk> up
 although sports officials predict <unk> of N N to N N in the major contracts coming up for renewal ad rates may rise only N N
 cbs hopes to save money by ordering fewer episodes of regular series because sports will fill up a few weeks of prime time
 but the savings will be <unk>
 each hour of olympics and baseball in prime time will cost cbs $ N million to $ N million an <unk> drama costs only $ N and it is aired twice
 cbs may cushion losses with about $ N million a year in interest earned on the proceeds from selling cbs records and other businesses
 but <unk> analyst richard j. macdonald of macdonald <unk> <unk> says wall street wo n't take <unk> to that
 on a <unk> basis the network ought to make money he says
 when mr. pilson is asked directly can you make money on all this he does n't exactly say yes
 what you 're really asking is are the profit and loss margins anticipated on the events acceptable to management he says
 then he answers his own question
 yes they are
 that 's the only question we need to address
 place a phone order through most any catalog and chances are the clerk who answers wo n't be the only one on the line
 bosses have big <unk> these days
 or open up an electronics magazine and <unk> the ads for <unk> tape recorders and other <unk> <unk>
 some would make even james bond green with envy
 <unk> both corporate and private is on the rise thanks to the proliferation of <unk> technologies
 and while sellers of the equipment and companies monitoring employees have few <unk> <unk> advocates and some lawmakers are alarmed
 new technologies are changing the way we deal with each other and the way we work says <unk> goldman a staff attorney at the american civil <unk> union
 our expectation of <unk> is being eroded
 on the corporate side companies claim that monitoring employee phone conversations is both legal and necessary to gauge productivity and ensure good service
 the practice is common at catalog insurance and phone companies banks and <unk> according to trade groups and worker organizations
 it 's also widespread for reservations <unk> in the airline <unk> hotel and railroad industries
 the communications workers of america which opposes such monitoring says supervisors listen in on an estimated N million calls each year
 among companies saying they monitor employees are united airlines american airlines united parcel service nynex corp. spiegel inc. and the circulation department of this newspaper
 some wall street firms monitor for <unk> purposes
 dictaphone corp. says there 's a big business demand for its <unk> taping systems whether the sophisticated <unk> N system which costs from $ N to $ N and can record N conversations simultaneously or simple <unk> units selling for $ N
 businesses want to <unk> information and ensure <unk> says john <unk> dictaphone 's manager of media relations
 the state of alaska recently bought the <unk> system he says to monitor the exxon cleanup effort
 merrill lynch & co. and shearson lehman hutton inc. say they use <unk> systems to record and <unk> orders between salesmen and traders
 shearson says it has taped some of its institutional trading desks such as commodities and futures for about four years
 both companies stress that employees know they are being recorded and that customer conversations are n't taped
 kidder peabody & co. says it monitors <unk> conversations between brokers and customers to <unk> order <unk>
 <unk> by individuals is harder to measure
 but devices are there for the asking whether in stores or through the mail
 the counter spy shop in washington d.c. for instance offers the secret connection <unk> case which can <unk> record conversations for nine hours at a stretch
 that and other fancy <unk> may cost thousands but simple <unk> tape recorders sell for as little as $ N at electronics stores like radio shack
 the most common use of <unk> devices is in <unk> cases say private investigators
 while tape <unk> to <unk> say <unk> are n't <unk> in court they can mean leverage in a settlement
 concerned with the increased availability of <unk> technology and heavier use of it lawmakers have proposed laws addressing the issue
 nine states have introduced bills requiring that workers and customers be made aware of monitoring
 and four states california florida michigan and pennsylvania have adopted rules that all parties involved must consent when phone calls are recorded
 two bills in congress hope to make such restrictions national
 in may rep. don edwards d. calif introduced congressional legislation that would require an <unk> <unk> during any employee monitoring warning people that they are being heard
 the legislation is similar to a N <unk> bill that was defeated after heavy lobbying by the <unk> industry
 also last spring rep. ron <unk> d. calif. introduced a bill requiring universal <unk> consent to any <unk> in cases that do n't involve law enforcement
 in addition products such as <unk> tape recorders would have to include <unk> <unk> and labels explaining federal laws on <unk>
 the outlook on both federal bills is uncertain especially <unk> the N defeat
 the <unk> and worker organizations back tighter laws but employers and device manufacturers object
 i 'm sympathetic with workers who feel under the gun says richard <unk> of the direct marketing association of america which is lobbying <unk> against the edwards <unk> bill
 but the only way you can find out how your people are doing is by listening
 the powerful group which represents many of the nation 's <unk> was instrumental in <unk> the N bill
 spiegel also opposes the <unk> bill saying the noise it requires would interfere with customer orders causing <unk> and even errors
 <unk> dale center manager at the catalog company 's customer order center in <unk> nev. <unk> monitoring
 we like to follow up and make sure operators are <unk> our standards of company service says ms. dale who <unk> N operators
 john <unk> a nynex spokesman says the telephone company needs to monitor operators to evaluate performance during the first six months on the job
 sometimes he says we 'll pull someone off the phones for more training
 federal <unk> statutes recognize the right of employers to monitor employees ' for evaluation purposes
 and in the past congress has viewed monitoring as an issue best handled in union negotiations
 but opponents led by the <unk> say new laws are needed because monitoring is heavily concentrated in service industries and N N of monitored workers are n't represented by unions
 the <unk> claims that monitoring not only <unk> on employee privacy but increases stress
 nine to five a <unk> office workers organization that supports the <unk> bill six months ago started a privacy hot line to receive reports of alleged monitoring abuses
 meanwhile supporters of the <unk> <unk> consent bill say it is needed because of a giant <unk> in the <unk> consent law
 currently if the person taping is a party to the conversation it 's all right to record without the knowledge of the other person on the line
 <unk> other people 's private conversations is illegal and punishable by five years in prison and fines of $ N
 the electronics industry is closely following the <unk> bill
 some marketers of <unk> gear including communication control system ltd. which owns the counter spy shop and others like it already put warning labels in their <unk> <unk> customers of the <unk> law
 but vendors contend that they ca n't control how their products are used
 radio shack says it has a policy against selling products if a <unk> suspects they will be used illegally
 everything sold at radio shack has a legal purpose says bernard <unk> president of the tandy corp. subsidiary
 he says he has n't yet studied the <unk> bill but that requiring a <unk> tone on recorders would be <unk>
 still radio shack is aware that some of its products are controversial
 a few years ago the company voluntarily stopped selling the big <unk> a powerful <unk>
 with its ability to pick up <unk> and <unk> wings it was meant to be a toy for children for <unk> watching says mr. <unk>
 but we were getting too many complaints that people were using them to <unk> on their neighbors
 the hottest <unk> in the computer industry <unk> sharply yesterday as digital equipment corp. announced its first line of mainframe computers targeting international business machines corp. 's largest market
 ibm fired back with new mainframes of its own extending the <unk> N line with a N N to N N power boost
 up to now the intense competition between ibm and digital has been confined largely to the broad <unk> of the computer market where digital sought to exploit ibm 's weaknesses in <unk>
 but digital 's move into mainframes will target ibm 's home turf where it has a commanding N N share of the market
 digital maynard mass. insisted yesterday that its marketing focus would differ sharply from ibm 's
 this is not your father 's mainframe said <unk> <unk> a digital spokesman
 it 's a whole new generation he said
 ibm which gets about half its revenue and more than half its profit from mainframes also announced upgraded operating system software that together with the new hardware lets customers do so-called batch processing as much as N N faster
 batch processing is the <unk> <unk> data processing that most mainframes typically <unk> through at night such as <unk> accounts at banks
 ibm said the N new <unk> and <unk> models will generally be available immediately though three wo n't ship until the third quarter of next year
 prices on the larger models which range as high as $ N million generally wo n't change
 small models whose performance increased as much as N N will carry higher prices
 <unk> to bigger models also will be <unk>
 digital 's vax N mainframes which it claimed were among the fastest available were priced from $ N million to $ N million sharply lower than ibm models of comparable power
 the first models will ship in the spring with the largest following in the fall
 analysts were disappointed that digital 's new line apparently wo n't contribute much to earnings before the next fiscal year which begins in july
 jay stevens of dean witter reynolds inc. said he may cut his earnings estimate for the current fiscal year because he had expected at least some mainframe profit this year
 but he added that he expected to raise his estimate for fiscal N at the same time
 after the announcement yesterday digital shares gained $ N to close at $ N in new york stock exchange composite trading
 ibm shares closed at $ N down N cents in big board trading
 analysts have predicted strong <unk> demand for the new line among digital 's customers
 large digital buyers say the new vax will let them stay with digital when they need the power of a mainframe instead of turning to ibm
 i 'm convinced there 's a huge market for this machine said stephen smith of painewebber inc
 digital also plans to compete fiercely with ibm when the giant 's customers are <unk> new aspects of their businesses
 digital however does n't expect to <unk> ibm mainframes that are already installed at big companies
 in addition to commercial markets digital 's new line targets the low end of the engineering and scientific supercomputer market when it 's packaged with an <unk> <unk> known as a <unk> <unk>
 digital 's push into mainframes comes at a time when its mainstay <unk> line is under growing pressure from smaller personal computers and workstations that operate on standard operating systems rather than on the <unk> systems that older minicomputers use
 although digital has <unk> out a major presence in the booming workstation market profit margins in that market are much <unk> than for mainframes
 the <unk> mainframe market also has shown new signs of life lately
 ibm 's mainframe sales have held up better than expected this year with analysts estimating they have risen N N to N N
 demand for these systems has been very very strong said bill <unk> a senior ibm marketing executive
 we have a good strong backlog for the fourth quarter even without the systems that were announced yesterday
 but the N line is nearly five years old which is getting up there in mainframe years and its growth is expected to slow in N
 ibm armonk n.y. said it wanted to bring out the mainframes as soon as it could to spark as many sales as possible by the end of the year
 the fourth quarter is always ibm 's biggest by far with most sales coming in december as customers seek to use budgets before year end
 still steve cohen an analyst at <unk> financial group inc. said i do n't see that this will be sufficient to give ibm a significant kick in the fourth quarter
 ibm has already indicated it will have problems in the quarter partly because of a delay in shipping a high-end disk drive and partly because the strong dollar will cut significantly the value of ibm 's overseas earnings when translated into dollars
 some analysts have estimated ibm 's fourth-quarter per-share earnings will fall N N to $ N a share from $ N a share a year earlier
 in addition to the new mainframe hardware and software ibm announced a <unk> system for data storage that it said <unk> half as much floor space as older systems but can store five times as much data on a single <unk>
 that should help ibm address the damage that a <unk> storage technology corp. has <unk> in that market
 concord camera corp. completed the acquisition of peter <unk> g.m.b h. a west german photographic products distributor
 terms were n't disclosed
 concord is a camera and photographic products company
 the navy awarded <unk> industries inc. 's <unk> shipbuilding division $ N million for shipyard services on the <unk> <unk> program
 the award exercises a navy option to extend a contract given in N
 the white house called on congress to <unk> the proposed capital-gains tax cut to its final deficit-reduction bill but lawmakers seem likely to <unk> at the idea
 earlier this month the white house endorsed <unk> the controversial tax measure from the bill so that congress could pass quickly a clean bill containing only provisions specifically designed to meet federal budget targets under the gramm-rudman act
 but now that congress has missed the legal deadline for meeting the gramm-rudman targets the white house said it has returned to its original view that a capital-gains cut should be part of the deficit-reduction bill on which congress continues to work
 if that does n't happen then we press forward on another vehicle and a separate vote said press secretary marlin fitzwater
 on capitol hill though there does n't seem to be sufficient sentiment to pair capital gains and the deficit-reduction bill
 texas rep. william <unk> the ranking republican on the house ways and means committee said i do n't see how we have the votes to place a capital-gains tax cut there
 meanwhile president bush stepped up his personal lobbying for the capital-gains tax cut
 the white house said he plans to hold a series of private white house meetings mostly with senate democrats to try to persuade lawmakers to fall in line behind the tax cut
 the first meeting yesterday was with N senate democrats who have expressed an interest in cutting the tax
 according to some who attended the senators argued that the president should give the democratic leaders in congress a victory of their own to compensate them for allowing the president to win on the controversial capital-gains issue
 issues discussed in this context were an increase in the minimum wage and an increase in child-care spending
 the president was said to have been <unk>
 toshiba corp. said its new french marketing concern has started operating under the <unk> of the company 's west german subsidiary which formerly handled all sales of toshiba electronic products in france
 a recent change in french law according to toshiba permitted formation of the semiconductor marketing arm in paris
 american telephone & telegraph co. unveiled new optical transmission systems for data video and voice communications
 two products in what the telecommunications giant called a new generation of such equipment are available now at&t said and three others will be introduced in N and N
 the products are aimed at a market expected to total more than $ N billion a year in sales by N said morgan <unk> jr. vice president of transmission systems for at&t
 the products already available are <unk> systems used instead of <unk> of <unk> to <unk> other telecommunications equipment
 this cuts down greatly on labor mr. <unk> said
 to be introduced later are a <unk> which will allow several signals to travel along a single optical line a <unk> system which carries voice channels and a network <unk> which directs data flow through <unk> systems
 at&t said the products unlike previous generations will meet so-called <unk> <unk> standards which at&t expects to be broadly adopted
 <unk> or <unk> optical network products have more capacity than earlier models
 these products are the heart of our <unk> line mr. <unk> said
 he declined to disclose specific prices but said each product costs in the tens of thousands or even hundreds of thousands of dollars
 at&t said it expects to beat to the marketplace two rivals northern <unk> ltd. of canada and france 's <unk> n.v. which also have announced <unk> products
 at&t predicted strong growth in demand for such products
 it noted that last july nippon telegraph & telephone corp. of japan selected at&t to supply $ N million of such equipment over a four-year period starting next year
 law firms that have <unk> and grown on the revenue from mergers and acquisitions work are feeling the squeeze as that work declines
 the disarray in the junk-bond market that began last month with a credit crunch at campeau corp. and the failure of banks to deliver financing for a leveraged buy-out of united airlines parent ual corp. has <unk> through some of the nation 's largest law firms
 while it is still too early to tell whether the <unk> of takeover activity is only temporary many lawyers say their firms are bracing for lower revenue from merger work which has been so lucrative in the past
 much of this work was done for higher fees than other legal work and was not generally billed by the hour
 if deals take longer to complete and there are fewer of them to do you ca n't bill the same kind of premium as when deals took a few weeks from start to finish says one lawyer at a large new york firm
 we 're planning on a <unk> year in N but next year we 'll be another story said robert <unk> a partner at simpson <unk> & bartlett
 we 're settling down to a less active period
 lawyers at such firms as sullivan & <unk> <unk> <unk> & <unk> <unk> lipton rosen & katz and fried frank harris <unk> & jacobson all say they too have experienced a significant slowdown particularly during the past few weeks
 everyone is waiting to see if deals can be done at <unk> prices and if money is available said jack <unk> <unk> of <unk> <unk>
 it 's hard to know right now if the change is fundamental or cyclical
 some lawyers say the slump while more obvious in recent weeks began earlier this year
 dennis block a partner at the new york firm of weil <unk> & <unk> said that in the first eight months of this year N hostile offers were launched compared with N for the first eight months of
 what 's more he said transactions are taking a much longer time to conclude and many fall apart for lack of financing and more <unk> scrutiny by state courts
 lawyers also say an <unk> stock market and uncertain financing conditions have sharply reduced the number of lucrative big deals likely to be proposed
 still some lawyers say the mergers slowdown has n't affected foreign buyers as much as domestic ones
 we just took another floor for our london offices said joseph flom of the new york firm of <unk> <unk> slate <unk> & flom
 davis <unk> & <unk> also said its international clients are keeping mergers and acquisitions partners busy
 european companies are looking to buy american ones said henry king the managing partner at that firm
 but the question is whether things people are looking at will actually surface in live transactions in light of the current market conditions
 murder threat charged in haas securities corp <unk> trial
 in the trial of former haas securities chairman eugene laff the defense accused one of the government 's chief witnesses of threatening to kill mr. laff
 mr. laff 's attorney john lang filed a memorandum asking that the trial record include a <unk> taped conversation in which the witness henry lorin told a haas <unk> that mr. laff should be killed
 the conversation was taped by federal investigators in what mr. lang said was an effort to get mr. lorin to <unk> mr. laff
 in his opening arguments last week in federal court in new york mr. lang told the jury that mr. lorin was the real master criminal behind the stock manipulation and that mr. laff knew nothing about it
 in march mr. laff was indicted on N counts of conspiracy mail and securities fraud and <unk> an investigation by the securities and exchange commission
 the government has charged that mr. lorin and mr. laff were part of a conspiracy to maintain the prices of certain stocks at artificially high prices
 mr. lorin a stock <unk> pleaded guilty to the <unk> charges in april and agreed to cooperate with the government 's investigation of mr. laff
 during his cross examination of mr. lorin mr. lang read from the <unk> of a conversation that was taped oct. N N
 stanley <unk> the haas broker who agreed to carry a hidden <unk> during the conversation also has pleaded guilty to conspiracy to commit securities violations in the stock manipulation and agreed to cooperate
 according to the <unk> mr. lorin said mr. laff should be killed after mr. <unk> told him that information given to mr. laff by another <unk> could jeopardize the stock scheme
 mr. lorin then repeated the threat and mr. <unk> urged him not to say such things
 from the parts of the <unk> read by mr. lang it was unclear what exactly mr. lorin feared might happen
 when asked for a copy of the <unk> mr. lang said judge thomas p. <unk> had instructed him not to release it or the memorandum
 during the trial mr. lang asked mr. lorin whether he had been so upset that you considered killing mr. laff
 is n't it true that you were so worked up that <unk> mr. laff for this crime was the least that you planned for him
 mr. lorin responded no
 when mr. lang asked mr. lorin whether he had taken steps to have mr. laff killed the witness again said no
 peter <unk> the assistant u.s. attorney <unk> the case declined to comment on the trial
 trustee who monitored settlement payments to dalkon shield claimants <unk>
 stephen a. <unk> one of five <unk> appointed to monitor payments to women injured by the dalkon shield <unk> contraceptive resigned citing personal reasons
 mr. <unk> who teaches evidence at the university of virginia school of law and was a deputy assistant attorney general in the u.s. justice department until august submitted his resignation earlier this month to federal judge robert r. <unk> jr. in richmond va
 judge <unk> is overseeing the bankruptcy-law reorganization of <unk> robins co. the company that manufactured the shield
 in a letter monday to mr. <unk> the judge said he would <unk> accept the resignation
 the $ N billion dalkon shield claimants trust was established as part of <unk> robins ' <unk> plan to resolve injury claims arising from use of the shield
 american home products corp. proposes to acquire the company
 the remaining four <unk> on the claimants trust have N days to <unk> a successor to mr. <unk>
 judge <unk> will make the appointment
 chicago law firm <unk> american express co. vice president
 <unk> <unk> harris & <unk> brought in howard a. <unk> as a partner in its washington d.c. office which opened oct. N
 for the past six years mr. <unk> N years old served as vice president for government affairs at american express
 he previously was staff director and counsel for the senate committee on banking housing and urban affairs
 the other lawyer in the office is partner robert a. <unk> the firm 's legislative director
 the philadelphia law firm of <unk> <unk> <unk> & ingersoll said three partners have joined its business and finance department
 john <unk> N a former <unk> in charge of legal compliance at american capital management & research inc. in houston will join <unk> <unk> 's <unk> practice
 kent walker N a former partner at the philadelphia law firm of <unk> <unk> <unk> <unk> & <unk> will specialize in antitrust real estate and mergers and acquisitions
 richard l. sherman N will advise midsized businesses
 mr. sherman is former deputy general counsel for <unk> <unk> corp. in philadelphia now <unk> <unk> plc in london
 delmed inc. 's top two officers resigned and were succeeded by executives of fresenius usa inc. and its parent fresenius ag a major delmed holder that has been negotiating to acquire a controlling stake
 in addition delmed which makes and sells a dialysis solution used in treating kidney diseases said negotiations about pricing had collapsed between it and a major distributor national medical care inc
 delmed said robert s. ehrlich resigned as chairman president and chief executive
 mr. ehrlich will continue as a director and a consultant
 leslie i. shapiro chief operating officer and chief financial officer also resigned the company said
 mr. ehrlich was succeeded as chairman by <unk> <unk> a director of fresenius a west german pharmaceutical concern
 ben <unk> president of fresenius usa was named president chief executive and chief operating officer
 none of the officials was available for comment
 in trading on the american stock exchange delmed closed at N cents down N cents
 fresenius owns about N N of delmed 's fully diluted common stock
 the two companies have been discussing a transaction under which fresenius would buy delmed stock for cash to bring its beneficial ownership to between N N and N N of delmed 's fully diluted common stock
 the transaction also would combine fresenius usa and delmed
 under the proposal delmed would issue about N million additional delmed common shares to fresenius at an average price of about N cents a share though under no circumstances more than N cents a share
 yesterday delmed said it continues to explore the possibility of a combination with fresenius usa
 it added that it is apparent that any terms of a combination would be substantially less favorable than those previously announced
 while the discussions between delmed and national medical care have been discontinued delmed will continue to supply dialysis products through national medical after their exclusive agreement ends in march N delmed said
 in addition delmed is exploring distribution arrangements with fresenius usa delmed said
 philip l. hall president of j. lawrence hall co. nashua was named a director of this thrift holding company filling a vacancy
 <unk> inc. said it intends to acquire <unk> america inc. for $ N million plus a consideration of as much as an additional $ N million payable over five years
 <unk> is a <unk> and <unk> company
 <unk> whose principal offices are in detroit is a mail-order <unk> of industrial tools and supplies
 the acquisition is subject to approval by <unk> 's board
 genentech inc. said third-quarter profit more than doubled to $ N million or N cents a share from a depressed N third-quarter performance of $ N million or six cents a share
 revenue rose N N to $ N million from $ N million
 net product sales accounted for $ N million up from $ N million a year earlier
 sales of the heart drug tpa were $ N million better than last year 's depressed third period when the company sold just $ N million of the drug
 but tpa sales fell below levels for this year 's first and second quarter sales of $ N million cooling investors
 genentech stock fell N cents in trading yesterday on the new york stock exchange to $ N
 in the nine months net income slid N N to $ N million or N cents a share from $ N million or N cents a share
 revenues climbed N N to $ N million from $ N million
 we continue to be on target for increasing tpa sales N N to N N this year said founder and chief executive officer robert <unk>
 but some analysts remain sour on the company
 tpa sales are down quarter to quarter
 expenses are flat and that 's a good sign
 there 's contract revenue from limited research and development partnerships
 but i still think the fundamentals are poor said <unk> <unk> an analyst with montgomery securities in san francisco
 genentech faces competition in the <unk> market from <unk> <unk> plc 's heart drug <unk> expected to receive market approval shortly
 and genentech is n't likely to have any new products ready for market until at least N ms. <unk> added
 the company 's stock is trading at N times next year 's numbers and that 's too much she said
 on the plus side genentech is benefiting from a lower tax rate due to its research outlays giving a boost to earnings she said
 the american cancer society 's N costs of fund raising and administration were $ N million or N N of its revenue
 a chart in last friday 's special report on personal finance contained an incorrect figure supplied by nonprofit times a monthly newspaper covering charities
 ryder system inc. posted a third-quarter net loss of $ N million because of an expected $ N million after-tax charge and continued weakness in the company 's <unk> business
 the loss which is N cents a share is the transportation services concern 's first quarterly setback in more than a decade and compares with net income of $ N million or N cents a share in the year-ago period
 the previous year 's third quarter included gains on the sale of aircraft by the company 's aviation leasing & services division
 revenue was flat at $ N billion
 the latest quarter 's after-tax charge which is N cents a share was related to adjustments to reserves for workers ' compensation claims reductions in vehicle fleets staff and facilities and <unk> of assets
 although ryder did n't break out the charge analysts estimated that the majority of the $ N million was linked to workers ' compensation reserves and anticipated losses on the disposal of trucks
 many analysts said they were n't surprised that problems in many of ryder 's lines of business continued to <unk> the company
 it pretty much confirms what we had been expecting said anthony hatch an analyst at painewebber inc
 in new york stock exchange composite trading yesterday ryder closed at $ N down N cents
 m. anthony burns ryder 's chairman and chief executive officer said we 're constantly trying to find ways to regain the earnings momentum
 but we 're still at the beginning stages of some of these changes
 he said the fourth quarter will be challenging and maintained his conservative forecast that N wo n't be a <unk> <unk>
 in the nine months net income fell N N to $ N million or N cents a share from $ N million or $ N a share a year earlier
 revenue rose slightly to $ N billion from $ N billion
 robert l. wood <unk> chief financial officer was named chairman and chief executive officer of this independent power producer succeeding raymond l. <unk> N
 mr. <unk> who resigned effective jan. N for health reasons remains a director
 advanced medical technologies inc. said it purchased N N of a unit of <unk> group inc
 advanced medical paid $ N million in cash for its share in a unit of <unk> 's fisher scientific subsidiary
 the unit makes <unk> <unk> used by hospitals and had more than $ N million in sales last year according to advanced medical
 maxicare health plans inc. operating under chapter N <unk> protection outlined terms of its reorganization plan that calls for creditors and shareholders to receive at least $ N million in cash and $ N million face amount of 10-year N N notes
 the plan outlined in a filing with the securities and exchange commission also calls for creditors and shareholders to receive common stock and warrants in the new company
 the <unk> concern said it reached the agreement with its court-appointed creditors ' committees sept. N and intends to submit the plan to the bankruptcy court in november
 maxicare which filed for bankruptcy protection march N has total debt of $ N million
 the company has promptly paid all its expenses and obligations since march N a maxicare spokesman said
 general unsecured creditors of maxicare 's continuing operations initially will receive $ N million in cash $ N million face amount of senior notes and N N of the new company 's stock
 those creditors whose claims are estimated at about $ N million include doctors and hospitals
 general unsecured creditors of maxicare 's discontinued operations whose claims total $ N million initially will receive $ N million in cash and $ N million in senior notes
 maxicare 's public shareholders will receive N N of the new company 's stock and warrants <unk> them to acquire as much as an additional N N of the stock on a <unk> basis
 general unsecured creditors of the parent holding company initially will receive $ N million in cash $ N million face amount of senior notes and N N of the new company 's stock
 that group includes banks and bondholders who have claims of $ N million and $ N million respectively
 maxicare also will guarantee that the banks will realize at least $ N million on certain notes pledged to them
 maxicare said the plan <unk> that <unk> in the company 's health plans will have valid claims covered in full
 those claims along with priority employee claims administrative claims priority tax claims and administrative convenience claims are expected to total about $ N million
 the plan is subject to approval by the bankruptcy court and others
 the spokesman said maxicare hopes to complete the reorganization by early N
 birmingham steel corp. said that its <unk> calif. <unk> sustained only minor damage from last week 's earthquake
 <unk> resumed oct. N but the company expects production to be hampered in the next few months by traffic disruptions around the plant and <unk> for repair to gas and electric power systems
 the average interest rate rose to N N at citicorp 's $ N million weekly auction of <unk> commercial paper or corporate <unk> from N N at last week 's sale
 bids totaling $ N million were submitted
 accepted bids ranged from N N to N N
 however citicorp said that the average rate fell to N N at its $ N million auction of <unk> commercial paper from N N at last week 's sale
 bids totaling $ N million were submitted
 accepted bids were all at N N
 the bank holding company will auction another $ N million in each maturity next tuesday
 hughes aircraft co. a general motors corp. unit said the <unk> <unk> commercial communications satellite is set to be launched friday
 the satellite built by hughes for the international telecommunications satellite organization is part of a $ N million contract awarded to hughes in N to develop five of the <unk> <unk>
 italian car manufacturer fiat said it is n't interested in partnership or industrial cooperation with swedish auto and aerospace group saab-scania ab which faces heavy losses in its car division
 fiat said it 's only interested in technical cooperation with saab
 we know that saab is looking for a partner for industrial and financial cooperation fiat said
 but that partner is n't fiat
 the italian auto maker confirmed that it was discussing technical cooperation with saab but declined to comment on rumors that it was planning to buy saab 's car division
 fiat 's rejection of partnership with saab means that the swedish company which announced last friday that its pretax profit for the first eight months plummeted N N will have to look for a partner among other car manufacturers as both ford motor corp. and fiat have turned down the offer
 news reports said yesterday that saab is trying to start negotiations with french <unk> <unk> and renault
 itt corp. its insurance business hurt by hurricane hugo reported a N N decline in third-quarter net income despite a N N rise in revenue
 itt also forecast a fourth-quarter blow to earnings from the california earthquake
 except for insurance however itt said it expects improved operating earnings in all of our businesses for the full year
 third-quarter net income dropped to $ N million or $ N a share from $ N million or $ N a share in the year-earlier period
 itt bought back N million shares this year including N million during the third quarter
 third-quarter revenue rose to $ N billion from $ N billion
 in new york stock exchange composite trading yesterday itt common stock fell N cents to close at $ N a share
 in addition to insurance and finance itt has interests in electronic parts defense technology automotive parts <unk> technology pulp and <unk> and communications and information services
 hurricane hugo losses and the continuing industrywide downturn in the property and casualty insurance business were the major factors affecting quarterly comparisons said rand v. <unk> chairman and chief executive officer
 itt 's hartford insurance group had a $ N million quarterly pretax loss from hurricane hugo itt said
 hartford expects to report a further pretax loss of about $ N million for the current quarter as a result of the california earthquake this month itt added
 the company also disclosed its financial operations had increased reserves for bankrupt accounts resulting in a $ N million pretax charge for the third quarter
 this charge was partly offset however by $ N million in pretax capital gains
 itt also said its consumer finance unit agreed in september to settle a civil suit with the california attorney general over alleged improper lending and sales practices
 anticipating this settlement the company recorded a pretax charge of $ N million during the fourth quarter of N
 an itt spokesman said the charge was n't publicly reported at the time
 the company 's product businesses with the exception of electronic components had higher operating earnings for the first nine months of N the company said
 <unk> on the exception it said volume and margins were lower in semiconductor and power systems operations
 amoco corp. said it plans to install two <unk> and drill as many as N wells to develop oil reserves it discovered in the atlantic ocean about N miles off the coast of <unk>
 amoco an energy concern is the operator of the project with a N N working interest and other partners include <unk> <unk> the <unk> state oil company with a N N interest and kuwait foreign petroleum exploration co. with a N N stake
 production is expected to be about N barrels of oil a day after completion of the drilling program
 jacobs engineering group inc. 's jacobs international unit was selected to design and build a <unk> manufacturing plant in county <unk> ireland for intel corp
 jacobs is an international engineering and construction concern
 total capital investment at the site could be as much as $ N million according to intel
 the <unk> plant will be constructed on a <unk> site near <unk>
 jacobs engineering officials could n't be reached for comment
 bob evans inc. said its board authorized the purchase of as many as N shares of its common
 the stock to be purchased on the open market or through privately negotiated transactions will be held as treasury shares for stock options or other general corporate purposes
 the program expires april N
 the restaurant operator had N million shares outstanding as of sept. N
 coda energy inc. said it completed the sale of <unk> co. to <unk> pipeline co. for $ N million in cash and notes
 coda an oil and gas concern said it and its partners received $ N million in cash and $ N million in five-year notes for the kansas <unk> pipeline
 coda owned N N of the pipeline and private entities owned the rest
 <unk> is based in hutchinson kansas
 french consumer prices rose N N in september from august according to provisional estimates by the national statistics institute
 the agency noted that because of a strike by finance ministry personnel the provisional estimate does n't <unk> exactly to the consumer price index usually published
 the agency noted however the estimate will likely be confirmed
 the institute did n't estimate annual price growth in september but a N N rise by the consumer price index would put growth at either N or N up N N or N N from the year-earlier level of N
 the index was N in august and is based on N equaling N
 international technology corp. and <unk> <unk> corp. a unit of london 's <unk> corp. said they were awarded a $ N million contract by the u.s. army corps of engineers for the <unk> of the <unk> <unk> landfill superfund site in <unk> township n.j
 international technology an environmental management concern said the contract includes construction of <unk> walls gas collection systems a <unk> cap and water treatment plant
 u.s. memories inc. the venture that seeks to crack japan 's domination of the <unk> market said it has chosen four potential sites for its operations after a fierce bidding war by N states
 u.s. memories said it will begin visits during the next several weeks to sites in austin texas colorado springs colo. <unk> n.y. and phoenix <unk>
 sanford kane president said the <unk> were chosen from among N locations based on financial business and quality of life considerations
 <unk> by its absence is california
 san jose and several other california cities mounted major campaigns during the summer to woo the group which was founded last june by seven electronics concerns
 the venture plans to announce a final site by late november
 it expects to begin construction by year end and start shipping <unk> dynamic <unk> memory chips by <unk>
 u.s. memories investors include advanced micro devices inc. digital equipment corp. hewlett-packard co. international business machines corp. intel corp. lsi logic corp. and national semiconductor corp
 mr. kane said he expects several other companies to join some time after the venture <unk> a business plan probably later this week
 a seat on the chicago board of trade was sold for $ N unchanged from the previous sale oct. N
 seats currently are quoted at $ N bid $ N asked
 the record price for a full membership on the exchange is $ N set aug. N N
 dennis r. <unk> a general manager of <unk> <unk> was named vice president of research and development a new post at this steel company
 fred d. thompson a <unk> attorney in private practice in washington and <unk> tenn. was elected to the board of this engineering and construction company
 the board increased to N seats
 sun microsystems inc. said prime computer inc. has agreed to <unk> as much as $ N million worth of sun 's machines over the next two years
 the computers use the company 's own microprocessor called <unk> sun said
 quickview systems inc. said it filed a lawsuit against apple computer inc. claiming patent infringement in an element of apple 's popular <unk> software program
 the suit filed in minneapolis federal court claims that apple violated a quickview patent that allows computer users to display only portions of multiple fields on a computer screen with the ability to see the entire <unk> of any given field
 the <unk> program allows users to design applications for <unk> computers without having to be <unk> programmers and is distributed with every <unk> sold
 it 's one of the most popular computer programs of all time but analysts said the quickview suit does n't appear to <unk> major difficulties for apple
 the technology at issue is not an underlying technology of <unk> to my knowledge said danny goodman a san <unk> <unk> program developer
 nonetheless the suit seeks unspecified damages that an attorney for quickview claimed could run into the millions of dollars
 in cupertino calif. apple said that it believes the case has no merit and that <unk> does not <unk> any valid claims of the quickview patents
 it said it filed an action of its own in federal court in san jose calif. seeking a declaration that quickview 's claims are <unk>
 this is in response to <unk> kageyama 's manager 's journal looking for the real thing in sony editorial page oct. N
 though i agree with many of mr. kageyama 's comments i believe he points the gun in the wrong direction it is n't the americans who must be criticized for not understanding the japanese culture but the japanese who insist on forcing their culture on americans
 the japanese want us to accept their culture but they refuse to accept the american culture
 japanese managers ca n't expect americans to <unk> as if they were japanese instead they must manage americans as americans
 americans are expected to conform to the japanese culture when in japan
 what is wrong with expecting the japanese to conform to american <unk> when they <unk> here
 americans place native or native <unk> in charge of subsidiaries overseas
 european <unk> do likewise even in america their affiliates are usually run by american managers
 but the japanese insist upon japanese managers everywhere they set up shop
 do the japanese feel so superior that they can not find capable american managers
 paul a. <unk> indiana university <unk> <unk>
 mr. kageyama suggests that <unk> electronics industries workers were having difficulty understanding their foreign bosses ' perspective
 while mr. kageyama does an excellent job of explaining the differences both cultural and <unk> i question his perspective
 would he suggest that employees of an american company doing business in japan conform to their new bosses ' culture and philosophy
 obviously not
 thus the conclusion is that the burden <unk> with management to <unk> the culture and philosophy of the country in which they are operating
 the workers can be motivated and the company reach its full potential only when management <unk> the employees ' perspective
 a. <unk> <unk> president municipal code corp <unk> fla
 i believe mr. kageyama left out one major aspect of japanese culture that <unk> his piece the belief in the <unk> of japanese culture and behavior vs. others
 a manager should not have to <unk> the opinions of his employees about the style of his management
 instead he should listen to see how that criticism can be used <unk> to advance his objective of carrying out a set of tasks through the efforts of his subordinates
 japanese culture vs. american culture is irrelevant
 the key is how a manager from one culture can <unk> employees from another
 for mr. kageyama to argue that american employees must <unk> accept a direct <unk> of the japanese way of doing things is outright cultural <unk> of the first order
 the japanese are <unk> the opportunity to <unk> a new corporate culture based on a fusion of the best aspects of both national <unk>
 mr. kageyama is accurate to deny a specific <unk> bias
 it is more difficult to deny a general <unk> in seeing things only the japanese way
 when the response to criticism is only a better explanation of policies without <unk> the reasons for the criticism i am convinced that mr. kageyama has still failed to attack the root cause of the problem and is simply treating symptoms
 norman l. <unk> <unk> <unk>
 cie generale des <unk> reported that net profit climbed N N in the first half of N and said that it expects a gain of about N N for the full year
 the french water treatment group said consolidated net profit after payments to minority interests rose to N million francs us$ N million from N million francs in the first half of N
 revenue climbed N N to N billion francs from N billion
 generale des <unk> said the earnings gain was led by its water energy and building activities
 as a presidential candidate in N george bush <unk> expressed his position on abortion in an interview with rolling stone magazine published that march
 what did he think of the supreme court 's decision <unk> abortion
 i happen to think it was right mr. bush said <unk>
 a few months later mr. bush became ronald reagan 's running <unk>
 suddenly george bush the pro-choice advocate became george bush the <unk>
 and the <unk> did n't end there
 just a month ago mr. bush <unk> threatened to veto a pending welfare bill if it provided any abortion funds except to save a woman 's life
 then two weeks ago declaring that i 'm not looking for any conflict over this the president said he would consider a compromise to fund abortions for poor women in cases of rape and incest
 but only four days after that mr. bush <unk> the veto threat
 i do not support federal funding for abortions except where the mother 's life is threatened he proclaimed and finally vetoed the measure last weekend
 so what does george bush really believe
 the answer is so <unk> that it is beginning to get this popular president in trouble with each of the increasingly <unk> increasingly powerful sides of the abortion issue
 the result is <unk> and criticism from all around
 anti-abortion forces regard him as at best an uncertain ally
 in all honesty if you ask me is this man a true <unk> i do n't know says john <unk> head of the washington-based ad <unk> committee in defense of life inc
 yet abortion-rights forces remain bitterly critical
 douglas gould vice president of communications for the planned <unk> federation of america calls mr. bush 's position on the <unk> issue extremely <unk> adding the guy has n't done one thing about prevention
 he 's totally geared to a punitive position
 mr. bush is <unk> uncomfortable with the entire abortion question
 for most of the past nine years he has <unk> to convince anti-abortion activists of his <unk> support for their position
 but ever since the supreme court 's webster vs. reproductive health services decision this year changed the political landscape of the abortion issue the president seemingly has tried just as hard to avoid saying anything more unless pressed to the wall
 many americans still <unk> over their own personal feelings about abortion
 mr. bush 's problem is n't so much that he seems to be <unk> over the issue as it is that he seems to <unk> on it
 the political risk would be far less if the president drew a firm line and <unk> to it experts insist
 if you have a position you 're better off to stick with it than to move around very much says republican strategist john sears
 the need for <unk> is especially <unk> for mr. bush who mr. sears maintains lacks a strong ideological base
 by his moderate republican heritage as well as the warnings of political advisers who say the issue is vital to younger voters the president might seem to have at least some <unk> with abortion-rights arguments
 yet he is also firmly bound by his hard-line rhetoric and promises he made to anti-abortion activists during his long pursuit of the white house
 on many issues <unk> for instance his keen political <unk> overcome such conflicts
 but mr. bush and his advisers <unk> the politics of the abortion issue failing to grasp how dramatically the abortion-rights movement would be aroused following last summer 's supreme court decision to restrict those rights in the webster case
 it was one of the <unk> changes in public attitudes i 've ever seen says former reagan <unk> richard <unk>
 these days when others raise the subject of abortion the usually <unk> president can be <unk> almost to the point of <unk>
 ten days ago he was asked to <unk> the reasons behind his anti-abortion stance
 my position is well-known and <unk> he replied
 a close look at his record over the last N years suggests that mr. bush has <unk> his views on all sides of the issue
 in N as the u.s. representative to the united nations he wrote an introduction to a book on world population in which he <unk> of his leadership during his term in congress in expanding <unk> services for the poor
 running for president in early N he was also quoted as supporting federal funding for abortions in cases of rape incest and to save the life of the mother
 in his rolling stone interview in N mr. bush <unk> his abortion-rights remarks to contrast himself with his rival ronald reagan
 in addition to supporting the landmark roe vs. wade supreme court decision <unk> abortion mr. bush said he opposed the constitutional ban on abortion that mr. reagan was promising to promote
 as mr. reagan 's running <unk> though mr. bush plunged <unk> into the anti-abortion position <unk> a constitutional amendment <unk> abortion
 he acknowledged only one difference with mr. reagan that the amendment ought to have exceptions for rape and incest as well as to save a woman 's life
 throughout the early 1980s mr. bush was quoted sometimes supporting federal funding for abortion in cases of rape and incest and sometimes opposing it
 in april N <unk> president bush had his staff write a letter <unk> out that he would support a constitutional amendment banning abortions except in cases of rape incest and life <unk> but that he opposed federal funding in all but the latter case
 at the gop convention last year he again came out for an amendment with exceptions for rape incest and life <unk>
 his rhetoric gathered momentum as he rolled into office <unk> his firm support of our cause during an anti-abortion rally three days after his <unk> last january
 he again urged passage of a constitutional amendment <unk> abortion
 but when the high court ruled in the webster case in july the president began to lower the volume
 when the ruling was handed down the <unk> president dispatched chief of staff john <unk> to issue a statement and refused to answer questions himself
 he did later threaten <unk> over legislation restoring the district of columbia 's right to use its own tax money to fund abortions for poor women and over restoring funding to the united nations population fund
 but in the months since then while trying to drum up support for other issues such as an <unk> constitutional amendment he has <unk> away from talking about abortion
 what few comments he has initiated have been <unk> such as urging greater efforts toward the protection of human life at a meeting of catholic lawyers in boston last month
 the white house has likewise avoided any involvement in florida 's recent special legislative session on abortion which anti-abortion forces had regarded as a key test of their ability to get state lawmakers to <unk> abortion restrictions
 the session failed to enact any new curbs
 now some see mr. bush trapped in a position he is neither comfortable with nor able to escape
 ken <unk> head of the republican mainstream committee a group of party <unk> observes the administration finds itself in an ideological <unk> de <unk> that it will find it difficult if not impossible to get itself out of
 christopher cox 's oct. N editorial-page article toward more <unk> lawsuits misses the point
 the N americans with disabilities act is about eliminating <unk> barriers
 when we look closely at our own history it is clear that our <unk> mandated civil rights have <unk> not through the <unk> of people 's hearts but through legislation and constitutional amendments
 this is how american women won the right to vote
 and it is how <unk> and other minority groups were guaranteed their equal rights as citizens in this nation
 for the more than N million americans with disabilities the N americans with disabilities act provides the missing piece
 disabled americans have had their civil rights guaranteed in all federally funded programs since section N was passed as a part of the N rehabilitation act
 the N act simply <unk> these guarantees to the private sector
 those who fear a <unk> of suits <unk> our legal system need only look at the record on the rehabilitation act
 without legal <unk> there are no guarantees of civil rights for anyone
 john r. garrison president national <unk> seal society
 ford motor co. said it is consolidating control of its asian operations under a new organization here that will be headed by w. wayne <unk>
 ford <unk> will coordinate the activities of ford subsidiaries in japan australia taiwan and new zealand and work with ford business associates throughout the region
 these functions are currently performed out of <unk> australia and at ford 's headquarters in dearborn mich
 mr. <unk> executive director of ford 's latin america automotive operations since december N was named vice president of ford <unk>
 goodyear tire & rubber co. buoyed by improved operating profit in its tire segment reported that third-quarter net income rose N N to $ N million or $ N a share
 in the year-ago period goodyear had net of $ N million or $ N a share
 sales rose slightly to $ N billion from $ N billion
 analysts had mixed responses to the results
 donald <unk> an independent analyst in new <unk> conn. said he was impressed with the company 's performance
 he said results were better than he 'd expected and indicate that goodyear is in the midst of a turnaround from a string of lackluster quarters that have plagued the company for a year
 however harry <unk> an analyst at mcdonald & co. cleveland said goodyear 's results fell at the bottom of his range of estimates
 excluding an increase in the tax rate and the effects of foreign currency <unk> mr. <unk> said the company 's results were still a little disappointing
 goodyear 's stock which has been weak in recent weeks fell $ N yesterday to close at $ N a share in composite trading on the new york stock exchange
 the <unk> <unk> company said pretax operating income in its tire segment jumped about N N to $ N million from $ N million a year earlier reflecting improvements in raw material costs sales of replacement tires and pricing
 mcdonald 's mr. <unk> said goodyear appeared to have held or gained some market share in the u.s. for the first time since the second quarter of N
 but goodyear said total u.s. tire unit sales were off about N N
 total tire segment sales were up only about N N to $ N billion and the company said it reduced manufacturing levels at some of its u.s. tire plants because of inventory adjustments and <unk> production by auto makers
 in the latest quarter goodyear 's tax rate was N N compared with N N a year earlier
 as a result total tax outlays were $ N million compared with $ N million the year earlier
 for the nine months profit skidded about N N reflecting charges taken in this year 's second quarter and the effect of <unk> of weaker foreign currencies into the stronger u.s. dollar
 net was $ N million or $ N a share compared with net of $ N million or $ N a share the year earlier
 the latest nine months included charges of $ N million related to the company 's south african subsidiary and unused pipe sold by its crude oil pipeline unit
 sales rose nearly N N to $ N billion from $ N billion
 environmental control group inc. said it expects to report minimal earnings or a loss for the third quarter
 the environmental services company said that the <unk> of unsuccessful product lines and an increase in <unk> reserves probably will result in charges of $ N million to $ N million most of which will be taken against third-quarter results
 in the year-ago quarter the company reported earnings of $ N million or N cents a share
 former usx corp. chairman david m. roderick may have been lucky he retired last may
 as he handed over the reins to successor charles a. corry steel profits were close to a cyclical peak
 though imports were troublesome they were n't running away with the market and american companies had high hopes that steel import quotas would be extended for another five years
 perhaps most important carl icahn who had once threatened a hostile takeover bid was subdued
 he and mr. roderick were even <unk> out together
 today mr. corry <unk> over a company whose fortunes have changed abruptly
 mr. icahn the company 's <unk> <unk> adversary recently disclosed that he had raised his usx stake to N N and he again threatened a takeover
 a battle with mr. icahn would <unk> even the most <unk> chief executive to say nothing of one who took the helm less than five months ago
 in addition usx 's giant steel segment representing N N of its N sales is facing softening demand and slipping prices as well as increasing competition from foreign steelmakers and low-cost minimills
 the import quotas got only a N 1\/2-year extension and usx is <unk> under a staggering $ N billion debt at a time when it must spend money to upgrade steel mills and drill for oil
 it 's a <unk> of fire for corry says one usx executive
 the burning question is whether the new chief can <unk> mr. icahn without being pushed into unwelcome moves
 mr. corry might have to <unk> the company more than he wants to
 or he might have to incur a huge expense of either buying mr. icahn 's stock possibly at a premium or paying stockholders a special dividend partly because of mr. icahn 's pressure
 with his recent purchases of usx common stock mr. icahn shattered a <unk> <unk> standstill agreement with mr. roderick
 in N mr. roderick <unk> <unk> mr. icahn 's first bullet after the takeover specialist had built up an N N stake
 mr. roderick did so by having usx redeem a series of guaranteed notes a move that in effect raised the cost of a $ N billion icahn bid by about $ N billion
 and he managed to fend off further advances and even strike up an unlikely friendship with the <unk>
 over <unk> at new york 's sky club and links club restaurants the steel executive and the big investor talked steel international trade and thoroughbred horses
 mr. corry who has <unk> up on corporate raiders by reading t. boone pickens 's <unk> had hoped the <unk> would continue
 he was shocked associates say to learn of mr. icahn 's new takeover threat
 both men declined to be interviewed for this article
 but the fiercely competitive mr. corry quickly showed he 's no <unk>
 he <unk> with directors at a special meeting two weeks ago and tried to block his opponent
 although the board believed that mr. icahn is more interested in talking the stock price higher than acquiring usx it adopted a <unk> defense to be <unk> if anyone <unk> a N N stake
 now it 's mr. icahn 's move
 will he try to gain a seat on or control of the board and force a radical split of usx into separate oil and steel companies
 given the weakness of the junk-bond market can he finance a buy-out
 mr. icahn may not want to sell out unless he can get a special dividend similar to one he received before selling his stake in texaco inc. in june a coup that gave him enough cash to make his usx move
 and although the recent turmoil in the stock and junk-bond markets by making it harder to arrange takeover financing has eased some of the pressure on mr. corry it does n't end the takeover threat
 i know it 's not over a <unk> mr. corry acknowledged while <unk> steel suppliers in new york on oct. N and inviting them to a buffet of <unk> and <unk> in honor of kobe steel ltd. usx 's partner in a steel mill in <unk> ohio
 in fact it 's barely begun for mr. corry who faces tough decisions before he has had a chance to get settled into his new job
 he 's in a vulnerable position because he has n't established much credibility on his own says <unk> <unk> a securities analyst at painewebber inc
 the <unk> tax attorney never even <unk> to the job of chief executive
 an <unk> college student who <unk> in <unk> until he concluded that he could n't stand cutting up <unk> mr. corry wanted to work for a big company that could do big things
 but after joining the tax department of a usx subsidiary N years ago he set the modest goal of becoming tax manager by the age of N
 for years he quietly stuck to the back accounting rooms wearing a hat to work because everyone else did
 i was never a rebel he said in an earlier interview
 i do n't think most of the people that have been around me would ever say they 've seen me pound the table or get angry
 yet the <unk> mr. corry helped chart usx 's transition from big steel to big oil
 he served as mr. roderick 's front man in <unk> negotiations for the N purchase of marathon oil for $ N billion
 nevertheless mr. corry once named chief executive did n't waste any time <unk> himself from his former boss who still has an office on the <unk> floor of the usx tower in pittsburgh
 soon after taking over last june mr. corry <unk> a pay cut imposed on <unk> workers a move that mr. roderick had n't made in spite of improved earnings
 mr. corry also ruled that all board meetings would be held in pittsburgh instead of new york or <unk> ohio marathon 's home
 and earlier this month he announced the sale of the reserves of texas oil & gas which was acquired three years ago and has n't posted any significant operating profits since
 one former executive says nobody wanted that deal inside usx except dave roderick who was a hunting and fishing buddy of william l. <unk> chairman of texas oil & gas
 the executive recalls mr. corry <unk> to him and others remember this was dave 's deal
 what <unk> many usx executives and shareholders was that the acquisition for $ N billion of stock doubled the usx shares outstanding and considerably diluted them
 what 's more the takeover occurred as natural-gas prices were falling and just as texas oil & gas reported its first annual loss in N years
 mr. corry expected the texas oil & gas sale to <unk> mr. icahn by addressing his concern about boosting shareholder value
 but when the two men met in new york a day after mr. icahn disclosed the rise in his usx stake mr. corry learned that mr. icahn wanted him to sell all of texas oil not just its reserves of about N trillion cubic feet of natural gas and N million barrels of oil but also its pipeline <unk> and <unk> operations
 that would leave usx with marathon its steel mills and its diversified business segment which includes among other things mineral and transportation products
 some speculate that mr. corry would agree if he could find a buyer at the right price
 the problem is that mr. icahn is pushing him to move faster and further in restructuring usx than mr. corry had planned
 mr. icahn has long believed associates say that the company whose N sales totaled $ N billion is worth $ N a share if broken up
 the stock closed yesterday at $ N giving mr. icahn 's N million shares a value of $ N billion
 mr. icahn advocates the sale of the company 's steel operations and mr. corry does n't necessarily disagree
 unlike his predecessor who saw steel as america 's <unk> mr. corry tends to view it as a <unk> and <unk> business with limited potential associates say
 in the past five years usx has turned steel into a profit maker by closing several plants and reducing labor costs
 but the short-term outlook is <unk>
 it is n't surprising that messrs. roderick and corry view steel so differently
 while mr. roderick was <unk> in the <unk> of pittsburgh 's smoking mills mr. corry grew up in cincinnati a city <unk> <unk> and more accustomed to pork <unk> than <unk> iron
 he has never met lynn williams the president of the united steelworkers union and is n't active in the industry 's main trade group the american iron and steel institute which mr. roderick served as chairman
 dave thought the country needed a strong u.s. steel and while chuck agreed he was more apt to say not at any cost to shareholders a former executive says
 indeed mr. corry at an august press conference talked about investing in steel as long as it provides a good return and not a day longer
 however shedding steel would run directly counter to mr. roderick 's original rationale for diversifying into oil and gas having two major products would <unk> the company 's <unk> to one market 's down cycle and help smooth out the flow of cash and earnings
 as mr. roderick once said we 're a <unk> company and boy if you ca n't figure out the value of those two parts you are so damn <unk> that you do n't belong on wall street
 moreover the opportunity to sell steel at a price acceptable to usx may be gone for now
 the time has passed for us to spin off steel either in a public offering or to a buyer one executive contends
 about the only way that usx now can get out of steel is to <unk> it out piece by piece in separate joint ventures he adds
 with mr. icahn breathing down his neck however mr. corry may have little choice but to sell at a weak price even if it means losing some <unk> tax-loss <unk>
 that would leave usx essentially an oil company with marathon as its core
 marathon has benefited from higher <unk> prices and strong demand for refined products
 oil has long been mr. corry 's pet
 indeed when the bush administration finally decided this summer to renew import restrictions <unk> the most important decision to affect the steel industry in five years mr. corry and his directors were aboard <unk> high above marathon 's rich oil reserves in the north sea
 should usx be left with only marathon mr. corry might well feel pushed to <unk> out other energy companies
 however even usx executives who work closely with him are n't sure about his long-term goals
 i do n't think he has a clear sense of where he wants the company to go one says
 right now the executive adds he wants to continue to focus on paying down usx 's debt by selling assets
 one thing is certain however mr. corry while studying other options probably wo n't make a major move until he 's clear about mr. icahn 's intentions
 and then he wo n't panic says j. bruce johnston a former usx executive and now a labor and benefit consultant with <unk> cohen & <unk> in pittsburgh
 mr. corry learned presence under fire when as vice president of corporate planning he handled what mr. johnston calls <unk> negotiations that led to usx 's shedding of a wide array of assets ranging from chemicals to construction
 when negotiating mr. corry played his cards close to the <unk>
 <unk> johnson who worked for mr. corry in strategic planning recalls how his boss would routinely ask a subordinate to research an entire industry to target acquisition candidates
 what he really wanted to know was about a particular company but you did n't know that
 he wanted your own <unk> virgin opinion says mr. johnson now managing director at <unk> & co. a <unk> and <unk> firm
 ever the <unk> mr. corry said in august that he realized that usx is on acquisition screens all over the country
 it 's part of the <unk> market system that equity can be bought and equity is bought he said
 usx he noted was formed N years ago by in effect buying out a bunch of other companies
 people got rich through takeovers in those days as they do today
 thomas f. <unk> contributed to this article
 westinghouse electric corp. said it will buy <unk> co
 terms were n't disclosed
 <unk> based in <unk> mich. makes metal files and desks and <unk> and office systems furniture
 israel has launched a new effort to prove the <unk> liberation organization continues to practice terrorism and thus to persuade the u.s. to break off talks with the group
 u.s. officials however said they are n't buying the israeli argument
 israeli <unk> officials provided the state department with a <unk> list of recent terrorist incidents they attribute directly to forces controlled by plo chairman <unk> arafat
 mr. arafat publicly <unk> terrorism dec. N satisfying the u.s. <unk> for a direct dialogue with the plo
 a u.s. <unk> official said experts are studying the israeli list
 we have no independent evidence linking <unk> to any acts of terrorism since dec. N N he said referring to the specific plo group that mr. arafat heads
 so far this list does n't change our view
 israel wants to end the dialogue but our analysts take a different view than theirs
 israeli prime minister <unk> shamir 's top adviser on <unk> <unk> <unk> was here monday to present the report to members of congress reporters and others
 mr. <unk> said he also presented the list last week to william brown u.s. ambassador to israel
 separately the new york times reported that the israeli government had provided its <unk> in <unk> with different documents that israel said prove the plo has been conducting terrorism from the occupied arab <unk>
 the state department said it has n't yet seen copies of those papers
 if the dialogue was based on the assumption that arafat or the plo would stop terrorism and we have evidence of continued terrorism what would be the logical conclusion mr. <unk> asked
 israel has long claimed mr. arafat never meant to <unk> terrorism particularly because he and his <unk> reserved the right to press armed struggle against the jewish state
 now <unk> says it is backing up its <unk> with detailed accounts of alleged terrorist acts and plans linked to mr. arafat
 it blames most of these on <unk>
 the new accusations come at a delicate time in u.s. efforts to bring about talks between israel and palestinian representatives
 the state department said it had received a new letter on the subject from israeli foreign minister <unk> <unk> <unk> israel 's previous <unk> to negotiating with any palestinian tied to the plo
 deciding what <unk> terrorism can be a <unk> exercise
 the u.s. <unk> it as <unk> politically motivated violence <unk> against <unk> targets by <unk> groups or <unk> state agents
 to meet the u.s. criteria israel contended it only listed incidents that involved <unk> and occurred inside its <unk> borders
 at the heart of israel 's report is a list of a dozen incidents <unk> attributes to <unk> including the use of <unk> and <unk> <unk>
 but u.s. officials say they are n't satisfied these incidents constitute terrorism because they may be <unk> of the <unk> the palestinian <unk> in the occupied <unk> which the u.s. does n't <unk> as terrorism
 in addition the officials say israel has n't presented convincing evidence these acts were ordered by <unk> or by any group mr. arafat controls
 u.s. terrorism experts also say they are highly uncertain about the <unk> of the separate documents <unk> to the new york times
 the papers which israel says were discovered in <unk> <unk> refer to terrorist acts to be carried out in the name of a group called the revolutionary <unk>
 some supporters of israel say u.s. policy on palestinian terrorism is <unk> by an intense desire to maintain the dialogue with the plo
 but state department officials accuse israel of <unk> questionable claims to <unk> the u.s.
 the dollar finished lower yesterday after tracking another <unk> session on wall street
 concern about the volatile u.s. stock market had faded in recent sessions and traders appeared content to let the dollar <unk> in a narrow range until tomorrow when the preliminary report on third-quarter u.s. gross national product is released
 but <unk> gyrations in the dow jones industrial average yesterday put wall street back in the <unk> and inspired market participants to bid the u.s. unit lower
 ual 's decision to remain an independent company sent share prices tumbling
 by midmorning the <unk> had plunged N points and foreign-exchange dealers quickly drove the dollar down
 when the <unk> modestly rebounded the dollar bounced back in <unk> dealings but ended the day below the levels of late monday
 stock prices meanwhile posted significant gains in later trading and closed down by only N points on the day
 some dealers said that the market 's strong reaction to wall street reflects a general <unk> about the dollar
 they added that the <unk> 's swift drop proved an easy excuse for the market to drive the u.s. currency in the direction it was already headed
 in late new york trading yesterday the dollar was quoted at N marks down from N marks monday and at N yen down from N yen late monday
 sterling was quoted at $ N up from $ N late monday
 in tokyo wednesday the u.s. currency opened for trading at N yen down from tuesday 's tokyo close of N yen
 tom <unk> a vice president with banque paribas in new york sees a break in the dollar 's long-term upward trend a trend that began in january N
 he argues that the dollar is now moving <unk> adding that the next leg could be the beginning of a longer term bearish phase
 analysts <unk> the dollar 's recent weakness to an underlying slowdown in the u.s. economy <unk> by recent economic data particularly a surprisingly sharp widening in the august u.s. trade gap
 they also point out that narrowing interest-rate <unk> between the u.s. and its major trading partners tend to make the u.s. currency less attractive to foreign investors
 despite several <unk> of dollar trading it was noted that <unk> cross trade grabbed much of the market 's attention
 following the dive in u.s. stocks the mark has strengthened more than its major counterparts
 traders attribute the mark 's surge to a robust west german economy and higher rate <unk>
 but they add that the mark 's strength is in part a reflection of a shift away from u.s. assets by japanese investors into west german investments
 the question remains how much can the west german market absorb says one senior dealer
 some dealers say that bank of japan governor <unk> <unk> 's <unk> that japanese monetary policy wo n't be changed for the time being has given investors an added excuse to push the yen down even further against the mark
 despite the yen 's weakness with respect to the mark tokyo traders say they do n't expect the bank of japan to take any action to support the japanese currency on that front
 meanwhile sterling slumped on news that the united kingdom posted a <unk> trade deficit in september
 the news also knocked the british unit to below N marks in london but a <unk> of <unk> helped sterling recoup some of its earlier losses
 on the commodity exchange in new york gold for current delivery jumped $ N to $ N an ounce
 the close was the highest since aug. N
 estimated volume was a light two million ounces
 in early trading in hong kong wednesday gold was quoted at $ N an ounce
 boston co. the <unk> financial services concern that was rocked by a management scandal late last year has had a sharp drop in profitability mainly because a high-risk bet on interest rates <unk>
 boston co. 's fall from grace is bad news for its parent shearson lehman hutton holdings inc. which has relied heavily on the banking and money management unit 's contributions in recent years
 in N for example boston co. had an estimated pretax profit of at least $ N million while shearson managed net income of just $ N million
 shearson does n't break out the earnings of its subsidiaries
 but people familiar with boston co. 's performance say the unit had profit of around $ N million for the third quarter after barely breaking even for the first six months
 shearson meanwhile posted net income of $ N million for the first nine months of the year down slightly from $ N million for the year-ago period
 moody 's investors service inc. last week downgraded the long-term deposit rating of boston co. 's boston safe deposit & trust co. subsidiary to single-a-1 from <unk> citing problems in the company 's aggressively managed securities portfolio
 john <unk> a moody 's vice president said boston safe deposit 's performance has been hurt this year by a <unk> in the maturities of its assets and liabilities
 the <unk> exposed the company to a high degree of interest-rate risk and when rates moved <unk> beginning late last year and continuing into this year it cost them mr. <unk> said
 mr. <unk> noted that boston safe deposit has taken some actions to better control <unk> management and improve controls in general and we think these will serve to improve credit quality
 as some securities mature and the proceeds are reinvested the problems ought to ease he said
 but he also cited concerns over the company 's mortgage exposure in the troubled new england real estate market
 boston co. officials declined to comment on moody 's action or on the unit 's financial performance this year except to deny a published report that outside accountants had discovered evidence of significant accounting errors in the first three quarters ' results
 an accounting controversy at the end of last year forced boston co. to admit it had <unk> pretax profits by some $ N million
 the resulting scandal led to the <unk> of james n. von <unk> as boston co. 's president and to the resignations of the company 's chief financial officer and treasurer
 the executives were accused of improperly deferring expenses and <unk> revenue early in an effort to dress up results and perhaps bolster <unk> bonuses
 mr. von <unk> in turn attributed the controversy to <unk> errors by accountants and accused shearson of conducting a <unk> hunt
 mr. <unk> of moody 's said the problems in the securities portfolio stem largely from positions taken last year
 the company 's current management found itself locked into this he said
 mexico exported an average of N barrels of crude oil a day at an average of $ N a barrel during N 's first eight months for a total of $ N billion <unk> <unk> s.a. said
 the state petroleum monopoly said sales in the period gained N N and $ N million more than originally projected at an average of $ N a barrel on an export platform of N barrels a day
 chicago
 sears roebuck & co. is struggling as it enters the critical christmas season
 yesterday the retailing and financial services giant reported a N N drop in third-quarter earnings to $ N million or N cents a share from a restated $ N million or N cents a share a year earlier
 but the news was even worse for sears 's core u.s. retailing operation the largest in the nation
 sears said its u.s. stores had a loss of $ N million their first deficit for the period in more than five years
 analysts estimated that sales at u.s. stores declined in the quarter too
 the results underscore sears 's difficulties in <unk> the everyday low pricing strategy that it adopted in march as part of a broad attempt to revive its retailing business
 under the new approach sears set prices that were somewhere between its old regular and sale prices
 the company said it would resort far less often to slashing prices to woo shoppers
 sears officials insist they do n't intend to abandon the everyday pricing approach in the face of the poor results
 instead a spokesman blames the dismal third-quarter showing on an environment that is being distorted by a very harsh climate for sales of durable goods which account for roughly two-thirds of sears 's annual merchandise volume
 the new pricing strategy is working the spokesman asserted
 he added that after an initial surge triggered by an advertising <unk> in march sears expected that the pricing program would n't have any effect on revenue
 sears has been counting on growth coming from the large displays of <unk> merchandise it is adding to its stores over the next two years in what it calls power <unk>
 but analysts say sears faces an especially <unk> challenge on the <unk> of the christmas shopping season
 i believe everyday pricing in the current environment does n't work says walter <unk> of morgan stanley & co. pointing to soft <unk> sales
 sears is likely to be unsuccessful if it continues with its pricing policy when everyone else is offering unusual values
 in what amounts to an admission that the transition has n't gone as smoothly as sears had hoped the giant retailer is now trying new ways to drum up business without appearing to abandon its <unk> strategy
 the company is <unk> more special deals in its advertising and stores and it 's offering to defer finance charges on certain <unk> items
 sears is also stepping up its television ads and changing its message
 in a new tv ad for instance a woman going through the sunday newspaper brands as <unk> claims by other stores that they are offering goods for N N N N and N N off
 by lowering prices throughout its stores she says sears has the right idea
 but the ad also <unk> sears 's sales a topic that the retailer has avoided since switching to everyday pricing
 when sears has a sale at a special price the woman in the ad declares it 's something you do n't want to miss
 recent surveys by leo j. shapiro & associates a market research firm in chicago suggest that sears is having a tough time attracting shoppers because it has n't yet done enough to improve service or its selection of merchandise
 the number of people who said they were more likely to shop at sears fell in september to N N from N N in march when sears <unk> the <unk> with ads about its new pricing strategy
 moreover the number of people who <unk> cited lower prices as the reason for their interest in sears declined to N N in september from N N in march
 just N N of the respondents mentioned brands in september up slightly from N N in march
 only N N of the people in september cited sears 's friendly personnel
 the power of price as an appeal which was very considerable in driving traffic in march and april has diminished says george <unk> president of shapiro & associates
 you see some improvement in these other areas but it 's a very small and slow process
 for the third quarter sears said its total revenue rose N N to $ N billion from $ N billion a year earlier
 net income at sears 's merchandise group which includes international and credit card operations as well as u.s. stores fell N N
 profit at sears 's <unk> insurance unit fell N N to $ N million because of hurricane hugo which <unk> the greatest single storm damage loss in the company 's history
 sears said claims from the storm as expected reduced its third-quarter net by $ N million or N cents a share
 <unk> is expected to absorb another big hit in the fourth quarter as claims pour in from the san francisco earthquake
 but a spokesman said the quake wo n't have as big a financial impact on <unk> as hurricane hugo did
 net income at sears 's dean witter <unk> services group meanwhile rose nearly N N to $ N million reflecting improvements in its basic stock brokerage and discover credit card businesses
 profit at sears 's <unk> banker real estate group nearly <unk> to $ N million because of gains on sales of property
 in new york stock exchange composite trading yesterday sears shares closed at $ N up N cents
 oil imports to japan rose N N in september from year-earlier levels according to statistics released by the government 's ministry of international trade and industry
 the imports totaling N million barrels were N N lower than august levels
 the <unk> rise was partly because of higher demand for petroleum products and partly because of tax changes in N that left oil companies with high inventories in the <unk> period
 imports of crude from the middle east grew N N from year-earlier levels and southeast asian crude imports grew N N
 while mideast crude imports were higher compared with year-earlier levels they fell N N compared with august imports
 southeast asian crude imports however were N N higher than august
 this is in response to george <unk> 's business world column the housing market is a bigger mess than you think <unk> page sept. N
 in houston we have seen how bad the housing problem can become
 unused houses <unk> rapidly affecting the value of nearby homes in a <unk> effect the entire neighborhood can fall victim
 at this stage some people just walk away from homes where the mortgage exceeds current market value
 but most of them could have <unk> to keep up their payments they chose not to do so
 the problem is so vast that we need to try innovative solutions in <unk> experiments
 here are some ideas
 N foreclosed homes could be sold by the fha for no down payment the biggest obstacle to young buyers but with personal liability for the mortgage no walking away by choice
 N encourage long-term <unk> by <unk> one month 's payment off the <unk> end of the mortgage for every six months paid or perhaps have the down payment deferred to the end of the mortgage balloon but <unk> on a monthly <unk> basis as long as the owner remains the <unk>
 N develop rental agreements with exclusive purchase options for the <unk>
 an <unk> will in most every case be better for the home and neighborhood than a vacant house
 in this way the house is not dumped on to a <unk> market
 john f. merrill
 houston
 the federal housing administration veterans administration and the department of housing and urban development further <unk> the problem of affordable housing stock by buying in to their foreclosed properties of which there are <unk> many at an inflated balance due say $ N on a house worth $ N instead of allowing a free market to price the house for what it 's really worth
 worse the properties then sit around deteriorating for maybe a year or so but are <unk> eventually because of the <unk> of the low down payment etc to a marginal buyer who ca n't afford both the mortgage and needed repairs and having little vested interest that buyer will walk away and the vicious cycle <unk> itself all over again
 paul <unk>
 italy 's unemployment rate rose to N N of the labor force in july from N N in april and was up from N N a year earlier according to quarterly figures from the state statistical institute
 istat said a national survey during the first week of july showed the number of job <unk> was N up from N in april and from N a year ago
 the unemployment rate was by far the highest in the southern so-called <unk> region
 the southern unemployment rate rose to N N in july from N N in april and from N N a year earlier
 istat said N more people were employed in july than in april
 xerox corp. 's third-quarter net income grew N N on N N higher revenue earning mixed reviews from wall street analysts
 quarter net for the <unk> and financial-services company rose to $ N million or $ N a share from $ N million or $ N a share in the year-earlier period
 revenue rose to $ N billion from $ N billion
 in new york stock exchange composite trading xerox closed at $ N a share up $ N
 sales growth and profit in business products and systems xerox 's main business were disappointing said b. alex henderson who follows the company for prudential-bache securities inc
 sales of xerox <unk> and other office products grew N N we expected growth of N N to N N mr. henderson said
 <unk> margins slipped almost N N to N N of sales the analyst noted
 still with competitors such as eastman kodak co. <unk> in <unk> sales xerox 's sales increases were encouraging says eugene glazer of dean witter reynolds inc
 they are holding their own in a weak market and the restructuring is working he says
 david t. <unk> xerox chairman and chief executive officer cited the restructuring and strong cost controls for the N N growth in profit from business products and systems operations
 mr. glazer expects xerox to experience tough <unk> though in financial services because of rate pressures and uncertainty surrounding tax treatment of capital gains
 in the quarter the <unk> & <unk> insurance unit reported $ N million before tax of capital gains from property and casualty operations
 the subsidiary also increased reserves by $ N million however and set aside an additional $ N million for claims connected with hurricane hugo
 for the nine months xerox earned $ N million or $ N a share up N N from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 new orders for durable goods fell back slightly in september after shooting up the month before reflecting weakening auto demand after a <unk> of orders for new N models the commerce department reported
 orders for military equipment household appliances machinery and other goods expected to last at least three years dipped N N last month to $ N billion after leaping N N in august the department said
 most analysts had expected a sharper decline after the steep rise in august
 moreover a recent government report showing widespread layoffs in manufacturing had contributed to perceptions that the manufacturing sector of the economy had slowed to a <unk>
 but many economists pointed to a N N september rise in orders outside the volatile transportation category
 that suggests the manufacturing sector is not falling apart said <unk> <unk> an economist at manufacturers hanover securities corp. in new york
 she added however it is not robust by any means
 while a decline in orders for cars and civilian airplanes pulled down the orders total an enormous jump in orders for heavy military equipment <unk> it up
 orders for capital defense goods skyrocketed N N and a government analyst said nearly all areas saw increases including airplanes missiles ships tanks and communications equipment
 orders for military goods usually <unk> in september government officials say as the pentagon <unk> to spend its money before the new fiscal year begins oct. N
 while all the numbers in the durable goods report were adjusted for seasonal fluctuations a commerce department analyst said that the adjustment probably did n't factor out all of the <unk> surge in defense orders
 without the increase in defense bookings september orders would have plummeted N N
 analysts were most unsettled by evidence the backlog of orders at factories is slipping
 unfilled orders for durable goods rose N N in september to $ N billion after declining for the first time in N N years in august
 in july unfilled orders grew N N
 but analysts noted that excluding transportation where what they believe was a temporary surge in auto demand pushed up the figures order backlogs have declined for three months in a row
 it means we 're eating into the bread that keeps us going
 that is a little disturbing ms. <unk> said
 it also means if you have a real <unk> in orders production will likely fall off very quickly because there is less to keep things going
 capital goods orders outside of the defense sector tumbled for the second month in a row posting a N N drop after a N N decline
 such steep drops in a category seen as a barometer of business investment would <unk> be grave news for the economy
 but a commerce department analyst said that in both months orders would have risen had it not been for a drop in civilian aircraft bookings a category that is showing declines only after a huge surge earlier this year
 still milton hudson senior economic adviser at morgan guaranty trust co. in new york said if you look back a <unk> or so the evidence was pretty good of <unk> strength in the <unk> sector
 now at least there are question marks about that and without any question the pace of growth has slowed
 norfolk southern corp. directors authorized the railroad company to buy back as many as N million of its shares which would have a current value of more than $ N billion
 the buy-back coupled with a nearly completed earlier purchase of N million shares would reduce shares outstanding by more than N N
 the norfolk va. company has N million shares outstanding
 in a statement arnold b. <unk> chairman and chief executive officer noted that the new repurchase program should serve to enhance shareholder value
 a spokeswoman said the company will finance the buy-back with cash on hand borrowing and cash norfolk expects to generate
 analysts said they expected the action and investors <unk> the move
 in composite trading on the new york stock exchange norfolk southern shares closed at $ N up $ N
 still analysts do n't expect the buy-back to significantly affect per-share earnings in the short term
 the impact wo n't be that great said <unk> <unk> of first boston corp
 that is in part because of the effect of having to average the number of shares outstanding she said
 in addition mrs. <unk> said norfolk is likely to draw down its cash initially to finance the purchases and thus <unk> some interest income
 longer term however the buy-back is expected to increase earnings especially after N mrs. <unk> said
 moreover the extensive program in effect <unk> a floor for the stock price said joel price analyst for donaldson lufkin & jenrette
 the buy-back is really a comfort to those who want to buy the stock that there is a price floor he said
 at a certain price if the management thinks the stock is cheap they can go in and buy it
 under the program norfolk plans to acquire shares in the open market
 under the earlier plan norfolk was authorized in N to buy up to N million shares
 it has purchased about N million of them
 john b. <unk> N years old resigned as chairman of this diesel truck manufacturer effective upon appointment of a successor
 last month mr. <unk> was succeeded by ralph e. reins as chief executive officer following several quarters of lackluster or declining performance
 falcon holding group inc. said it agreed to acquire about N subscribers from first carolina cable tv limited partnership for about $ N million or roughly $ N a subscriber
 the subscribers are in N different communities in georgia alabama and mississippi
 completion of the sale is expected early next year falcon said
 currently falcon has about N <unk> subscribers around the nation the company 's <unk> unit reported N revenue of about $ N million
 in composite trading on the american stock exchange falcon closed at $ N unchanged
 richard w. lock retired vice president and treasurer of <unk> inc. was named a director of this transportation industry supplier increasing its board to six members
 usx corp. said it delayed the proposed initial public offering of common stock of <unk> titanium co. because of market conditions
 <unk> titanium is owned jointly by usx and quantum chemical corp
 usx which had n't set a date for the offering did n't disclose any timetable for the offering
 your oct. N editorial <unk> <unk> & <unk> on the recent education summit was like most pieces on the subject of education it had little to say
 oddly though on the very same page you printed a comment that addresses one of the most serious <unk> of the american education system
 unfortunately the comment was buried in another article so it could not stand out in an education context
 in the manager 's journal <unk> kageyama in commenting on many differences between american and japanese culture said japanese children are raised in a way many americans would find severe
 after a <unk> <unk> early <unk> they are exposed to rigid discipline as soon as they enter school
 what far too many people concerned about education either fail to understand or choose to ignore is that american children on the whole are among the most <unk> in the world making any attempt at improvements in the mode of education potentially unsuccessful
 unless parents and educators alike start to develop more discipline in children all the worthy concern discussions and actions will not solve the problem
 allen b. <unk> <unk> <unk>
 retired adm. william j. <unk> former chairman of the joint chiefs of staff and robert p. <unk> chairman and chief executive officer of schering-plough corp. were elected directors of this securities firm
 the board expanded to N seats
 tuesday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 roy e. <unk> the company 's president and chief operating officer since sept. N was named to its board
 the appointment increased the number of directors to N three of whom are company employees
 simpson is an auto parts maker
 japan has climbed up from the <unk> of world war ii and a gross national product of about $ N per capita to reach the <unk> class among industrialized nations
 now this remarkable economic growth seems to be coming to an end because the government has not converted itself into a modern democratic developed nation mode of operation
 until N when japan joined the $ N per capita gnp club of the advanced countries it was a model developing nation
 the government built ports bridges highways schools hospitals and <unk>
 when industries were weak it protected them
 it gave the japanese people a value system based on the <unk> that given the country 's lack of natural resources they must work hard to create value through exports and buy food with the surplus
 individual prosperity inevitably would result
 that system has worked
 the standard of living has increased steadily over the past N years more than N N of the people consider themselves middle class
 the people have given their leading and only credible political party the liberal democratic party clear and <unk> power for those N years
 the ldp won by a <unk> in the last election in july N
 but less than two years later the ldp started to <unk> and dissent rose to unprecedented heights
 the symptoms all point to one thing japan does not have a modern government
 its government still wants to sit in the driver 's seat set the speed step on the gas apply the <unk> and steer with N million people in the back seat
 in a modern system the government 's role is to give the people as much choice as possible and to keep them well informed so they are capable of making a choice
 it also allows people to buy the best and the cheapest goods from anywhere in the world
 the japanese government does n't allow this
 the ministry of agriculture and <unk> actually is a ministry for farmers and <unk> instead of a ministry of provisions
 the ministry of health and welfare is a ministry of doctors and pharmaceutical companies rather than an organization dedicated to protecting the health of the people
 the ministry of education is nothing but a <unk> for licensed teachers and certainly does not act on behalf of students
 the ministry of construction spreads concrete throughout the country and boasts in international conferences that japan 's <unk> roadway per capita is the longest in the world but they seldom think of the poor commuters who spend so much time sitting in traffic
 the ministry of transportation serves the industry certainly not the passengers who must pay extraordinarily high prices
 and the ministry of foreign affairs works for itself supporting japanese diplomats who <unk> abundant aid money around the world to ensure that their seat at the dinner table is next to the host 's
 this ministry has done nothing to correct the <unk> and <unk> that are at the root of japan 's deteriorating image
 instead it seems to be using foreign pressure and even the trade conflict to expand its <unk> of influence <unk> a <unk> other ministries
 all this illustrates that japanese ministries still have a provider mentality they do not serve the people and particularly not consumers
 they serve the industries and the special-interest groups
 the rest of the world accepted such methods when japan was developing
 japanese put up with it because the government provided job stability and growing <unk>
 japan is not a political country
 it is a bureaucratic country
 the diet plays a minor role compared with the powerful bureaucratic system
 most bills are drafted by bureaucrats not politicians
 the diet does n't normally even debate bills because the opposition parties are so often opposed to whatever ldp does that it would be a waste of time
 so most bills are passed without full discussion particularly difficult bills are passed in the absence of the opposition parties
 a recent example is the N N consumption tax on all commercial activities
 this makes enormous sense in japan where direct tax accounts for more than N N of revenues and the capture rate of direct tax is so unfair
 if you are a <unk> man <unk> N N captured
 if you are a retailer N N and a farmer N N
 to correct this <unk> most people would have favored an indirect tax like the consumption tax
 but the bill was passed without debate in the diet in the absence of the opposition
 as a result the japanese people did n't know what to expect when the new law was introduced on april N
 they were frustrated by the longer <unk> at the <unk> and the small coins given as change
 all of a sudden prices were no longer in denominations of N or N
 they were N or N
 pockets exploded with <unk> coins
 while people were <unk> their change the ldp politicians were caught in scandals
 money such as in recruit 's political donations and women as in the cases of prime minister <unk> <unk> and secretary general <unk> <unk> seldom have caused political scandals in japan
 <unk> most men were a bit <unk> about the sex scandals though they were <unk> about recruit women were upset about both and surged to the polls
 in the recent upper house and tokyo metropolitan congressional elections in which the socialist party won a runaway victory N N of all women voted as opposed to the usual N N
 it is difficult to analyze how much of their anger was due to recruit the sex scandals or the <unk> coins in their <unk> but they obviously were voting to punish the ldp
 taken by surprise the socialist party is busy changing its <unk>
 it 's now ok to deal with the u.s. but not the soviet union
 nuclear power plants are acceptable
 the <unk> security treaty can continue sort of
 and so on
 against the rapid cosmetic overhaul of the socialist party the ldp has been <unk>
 now is the time to reform the government from a provider developing-country vanguard role to that of a modern industrialized nation in which consumers have the ultimate choice
 if the ldp as currently composed ca n't make the <unk> then it should split into two parties
 one party could stand for consumer interests small government free trade and <unk> to put japan clearly among the most developed and open countries
 the other party could continue on the traditional track of the ldp representing the manufacturers ' preference for larger government control regulation and <unk>
 the ldp must make a decision immediately lower house elections must take place before june
 in the current mood of the japanese people journalists and even some <unk> giving power to the <unk> might be good for the ldp <unk> it of past <unk>
 we must not forget however that such a <unk> political experiment could cause a global <unk> wave of shocks in real-estate and financial markets
 at the most there is only nine months before the ldp <unk> burns out
 mr. <unk> is managing director of <unk> & co. in japan
 early this century diamond mining in the <unk> dunes where the <unk> desert meets the atlantic ocean was a day at the beach
 men would <unk> in the sand looking for <unk> stones
 it was as easy as collecting sea <unk> at <unk>
 men are still <unk> the beach with <unk> and hand <unk> searching for that unusual <unk>
 but only after a fleet of N <unk> <unk> vehicles <unk> to de beers consolidated mines ltd. the world 's diamond <unk> do their work
 last year N million tons of desert were moved from one <unk> to another to recover N <unk> which comes to N tons of sand per carat or <unk> <unk>
 oh yes the atlantic was also pushed back N yards
 if there 's diamonds out there we 'll get to them says <unk> johns de beers 's engineering manager
 here <unk> between shifting dunes and <unk> waves at the world 's most <unk> diamond dig lies the earth 's most precious <unk> box
 thanks to centuries of <unk> by mother nature first in the <unk> current of the orange river that carried the stones from south africa 's interior then in the cold <unk> of the ocean and finally in the <unk> <unk> of the desert N N of the diamonds uncovered are of <unk> quality
 while other mines might yield more <unk> a higher percentage of them go to industrial use
 since this <unk> <unk> is too big to fit in a bank vault it has been turned into one
 months after railway worker <unk> <unk> first picked up a diamond from the sand in N the german <unk> who controlled namibia proclaimed a wide <unk> of the desert about N miles north from the orange river and N miles inland from the atlantic a restricted area a <unk> normally reserved for military operations
 when the germans lost world war i they lost namibia to south africa and the diamonds to ernest oppenheimer <unk> of <unk> american corp. and de beers
 today no one gets in or out of the restricted area without de beers 's <unk> approval
 the mining zone has thus remained one of the most <unk> places in africa
 ghost towns <unk> the <unk> dunes proving diamonds are n't forever
 <unk> the mine headquarters is a <unk> corporate <unk> of N residents
 <unk> <unk> the streets at night and <unk> <unk> <unk> with long straight <unk> <unk> in from the desert to drink from water <unk>
 on most days the desert 's heat and the cool of the ocean combine to create a <unk> like a damp <unk>
 the wind <unk> with sand never seems to stop
 still miners from all parts of namibia as well as professional staff from de beers 's head offices in south africa and london keep coming
 and <unk> boasts <unk> besides diamonds
 there are six video rental shops three restaurants one <unk> and N sports and recreation clubs for everything from <unk> to lawn bowling
 the pride of <unk> is the <unk> golf course with the largest sand trap in the world
 last year when the rising orange river threatened to <unk> the course the same engineers who are pushing back the atlantic rushed to build a wall to hold back the flood
 nothing is too good for our golf course says tony george a mining engineer
 despite fears the mine may be partially <unk> by the new <unk> government following next month 's elections <unk> the country from south african control de beers engineers are working to extend the mine 's productive life for another N years from the current estimate of N
 huge machines that look as though they came from the star wars <unk> scene lumber among the dunes
 <unk> vacuum <unk> probe the sand like giant <unk> a <unk> <unk> <unk> <unk> with <unk> instead of seats <unk> through <unk> of <unk> sand tracks and <unk> belts <unk> sand to the <unk> plants <unk> the beach
 then there is the <unk> sea wall N yards long and N yards thick <unk> into the ocean
 made of sand it receives <unk> <unk> against the <unk> waves
 when the mining in front of the wall is complete it is moved <unk>
 a companion <unk> that helps hold back the sea looks like a <unk> <unk>
 engineers first used concrete blocks to bolster the barrier but the ocean <unk> them aside like <unk>
 then someone decided to try <unk> <unk> equipment that <unk> held against the waves
 the caterpillar people are n't too happy when they see their equipment used like that <unk> mr. george
 they figure it 's not a very good <unk>
 despite all these <unk> most of the diamonds are still found in the sand <unk> away by the men <unk> <unk> and <unk> the <unk> named <unk> <unk> who <unk> in the wake of the <unk>
 <unk> in blue and gray <unk> they are supposed to concentrate on cleaning out <unk> and not strain their eyes looking for diamonds
 but should they spy one the company will pay a bonus equal to one-third its value
 for these workers at the bottom of the mine 's pay scale this is usually enough to overcome the temptation to steal a crime that could earn them up to N years in jail
 still employees do occasionally try to <unk> out a <unk> or two
 one man <unk> several diamonds in the <unk> of his tie
 another <unk> a hole in the <unk> of his <unk>
 a food <unk> <unk> stones in the false bottom of a milk <unk>
 none made it past the body searches and <unk> of mine security
 disaster states are n't jumping to raise taxes for relief and recovery
 not yet anyway
 just after hurricane hugo battered south carolina some officials talked of perhaps adding a penny to the state gasoline tax or raising property taxes
 gov. campbell responded they 're <unk> <unk> when there 's been a hanging in the family
 a spokesman says the governor believes he can avoid increases by relying on federal aid and shifting funds in state programs
 still hugo 's impact may revive unsuccessful proposals to give local governments authority to levy sales taxes
 a spokesman for north carolina gov. martin says hugo has n't prompted proposals for state or local increases
 california where earthquake damage may top $ N billion plans a special legislative session
 <unk> relief is likely
 legislators are talking about temporary rises in sales or gasoline taxes although gov. deukmejian says they should be a last resort
 needs are n't clear and the state constitution makes increasing taxes and spending very difficult
 but some legislators think the time may be <unk> to revise the constitution
 the irs will pay if its error burdens you with bank charges
 policy statement <unk> sets out terms
 as a result of an <unk> irs levy on a bank account a taxpayer may incur administrative and <unk> charges
 if the irs admits its error and the charges have been paid it will reimburse a taxpayer who has n't refused to give timely answers to irs inquiries or has n't contributed to continuing or <unk> the error
 the irs recently amended the policy to cover <unk> charges for checks lost by the irs
 if the irs asks for and gets a replacement for a check that it concedes it lost in processing it will reimburse the taxpayer for the <unk> charge on the original
 <unk> claims must be filed with the irs district or <unk> director within a year after the expense <unk>
 if the irs seeks <unk> interest because of the lost check you should request interest <unk> publisher prentice hall notes
 just five acres more are all we need to feel really at home they say
 a couple we 'll call the <unk> spent nearly $ N on a <unk> plot and main home and have an old $ N mortgage exempt from the new limit on <unk> deductions
 they plan to expand the home site by buying five <unk> acres for $ N borrowed against a first mortgage on the five acres and also collateralized by the N acres
 their debt will be well under the $ N million limit on borrowing to acquire build or improve a home that <unk> for <unk> deductions
 as you can guess the <unk> want to <unk> <unk> interest on the $ N loan
 but irs private ruling N notes no rule or court case bears directly on the issue of adding land to a principal residence
 so the irs has drawn a rationale from the sale of a home site split in two and sold in different years to the same buyer a court let the seller in that old case treat this as the sale of one residence
 thus the irs says the <unk> ' $ N loan is <unk> debt and interest on it is fully deductible
 earthquake victims facing imminent filing and payment deadlines will get <unk> and penalty <unk> like those provided for hugo 's victims irs notice N has details
 notice N offers added relief for <unk> concerns that must file pension and <unk> returns
 reports of payments to independent contractors for services must be filed by businesses but do n't bet that contractors ' <unk> income will be detected that way
 the general accounting office estimates that N N of irs audits do n't spot companies that fail to file the reports
 <unk> <unk>
 a claim by peter <unk> of new york that a <unk> paid him $ N to go into a bank and change $ N in small bills into large bills is <unk> the tax court found
 it held that <unk> is taxable on $ N of <unk> income
 why be a <unk> for charitable gifts a <unk> asks
 a retired electrical engineer we 'll call ben works <unk> as a consultant but he does n't want to earn so much that social security reduces his benefits
 so he has arranged for a university foundation to set up a <unk> fund for <unk> engineering students
 he plans to tell clients to pay certain fees directly to the foundation instead of to him he would <unk> those fees from income reported on his return
 so he asked the irs if the plan would work
 well notes irs private ruling N a fundamental principle is that income must be taxed to whoever earns it
 the rule goes back at least as far as a N supreme court decision robert <unk> of shearson lehman hutton says
 if you <unk> your income to another you still have controlled its <unk> and enjoyed the <unk> of your labor even if indirectly
 ben earns any fees sent directly to charity and is taxable on them the irs says of course he also may take a charitable deduction for them
 briefs
 ways and means veteran <unk> d. <unk> moves to the house budget committee rep. <unk> d. md <unk> him
 seattle 's license fees for adult <unk> shows vary from those for other <unk> <unk> without serving a substantial government interest and are unconstitutional the <unk> appeals court holds for <unk> investments inc
 blue-chip advertisers have plenty of complaints about the magazines they <unk> in ranging from inadequate consumer research to ad clutter and a seemingly <unk> proliferation of special interest magazines
 criticism from such big advertisers as <unk> lauder inc. colgate-palmolive co. and seagram co. put a <unk> on the euphoria at the american magazine conference here
 the conference opened monday with <unk> reports about consumer magazines ' growth in circulation and advertising revenue in the past year
 magazines are not providing us <unk> information on circulation said edgar bronfman jr. president and chief operating officer of seagram in a panel discussion
 how do readers feel about the magazine
 how deeply do they read it
 research does n't tell us whether people actually do read the magazines they subscribe to
 <unk> mark chief executive of colgate-palmolive said advertisers lack detailed <unk> and geographic <unk> of magazines ' audiences
 we need research that <unk> us that magazines are a real value in reader 's lives that readers are really involved
 the critics also <unk> the magazine industry for something executives often are very proud of the growth in magazine titles during the 1980s
 leonard lauder president and chief executive officer of <unk> lauder said consumer magazines are suffering from what he called <unk> the increasing number of magazines that target the <unk> interests of readers
 <unk> <unk> our advertising dollars said mr. lauder
 we are being <unk>
 we are constantly faced with deciding which partnerships with magazines we can keep
 he added there 's probably even a magazine for <unk> <unk> but the general interest magazine is something we all miss and it should come back
 mr. lauder also attacked what he sees as the wide <unk> of <unk> a fashion magazine published by <unk> communications inc. and criticized the practice of <unk> ads at the front of magazines
 readers do n't want to face all those ad pages at the front of a magazine he said
 magazine editors did not take the criticisms lying down
 we spend a fortune on research information said steve <unk> publisher of meredith corp. 's metropolitan home
 and <unk> brown editor of <unk> <unk> publications inc. 's <unk> fair said advertisers are frequently asked to take advertising positions in the back of her magazine to relieve ad clutter
 but advertisers would n't think of it she said
 bernard <unk> president of <unk> <unk> added our research shows we sell more of our heavier issues because readers believe they are getting more for what they pay for
 wall street securities giant salomon inc. posted a big unexpected earnings gain in the third quarter buoyed by its securities trading and investment banking activities
 salomon said net income soared to $ N million or $ N a share from $ N million or N cents a share a year earlier
 revenue more than doubled to $ N billion from $ N billion
 a salomon spokesman said its stock bond and foreign exchange trading as well as its investment banking operations were mostly responsible for the earnings jump
 the earnings were fine and above expectations said michael w. <unk> an analyst at first boston corp
 nevertheless salomon 's stock fell $ N yesterday to close at $ N a share in new york stock exchange composite trading
 i suspect october was n't as good as the third quarter and they 'll have difficulty matching the third quarter in the fourth quarter mr. <unk> said
 but some analysts say salomon has turned the corner
 i upgraded the firm to my buy list because i certainly see signs of improvement says lawrence <unk> an analyst at prudential-bache securities
 the market has been overly harsh to them
 analysts say investors remain <unk> toward salomon because of its volatile earnings
 in the first quarter salomon had a record loss of $ N million on revenue of $ N billion
 but in the second quarter salomon posted a record $ N million net on revenue of $ N billion
 for the real estate industry a <unk> for the 1990s will be buy more than build
 that 's the word expected to be on the <unk> of the more than N developers <unk> advisers and real estate financiers slated to attend a four-day conference beginning here today sponsored by the urban land institute
 the <unk> is a <unk> research and education group based in washington d.c. with N members nationwide
 with the market overbuilt builders are finding limited opportunities and increased risks
 developers and money managers are looking for bargains among the thousands of financially troubled properties around the country
 real estate professionals now often bill themselves as turnaround experts and workout specialists
 conference <unk> are expected to be <unk> about the workings of the recently formed resolution trust corp. a federal agency charged with <unk> of an estimated $ N billion of real estate dumped in government hands by insolvent savings and loans
 developers are also <unk> the real estate portfolios of major corporations
 some plan to pursue foreign development ventures mostly in europe
 and other developers may shift from commercial to residential development in the u.s.
 there are n't as many economically viable alternatives for real estate developers in this country as N years ago says charles shaw a chicago-based real estate developer
 so developers are saying they will look into <unk> properties
 they 'll go into someone else 's <unk> as long as it 's <unk> than the one they 're in now
 developers are also forming more joint ventures with pension funds and insurance companies that can finance big projects
 the builders are more willing to give up some equity and rely on management and consulting fees to stay afloat in the soft market
 developers are <unk> up with institutions often acting as project managers says <unk> york <unk> president and president of york properties inc. of <unk> n.c
 they are growing more <unk> about their role
 real estate firms are also using their alliances with financial institutions to <unk> acquisition funds
 why should you beat your brains out fighting the environmentalists the neighborhood groups dealing with traffic <unk> <unk> and fighting city hall then try to convince a lender to lend you money in an overbuilt market when you can get pension fund money buy a portfolio sell off pieces off it and play your own game says jack <unk> managing partner of the los angeles office of kenneth leventhal inc. a national accounting firm
 but experts say that when it comes to <unk> properties finding diamonds in the rough is n't easy
 the level of interest in the rtc 's properties has been greater than expected and has come from larger companies than initially anticipated says <unk> ross leventhal 's <unk> partner
 and to succeed in the turnaround business he says developers may have to put in a lot of money and time
 finding pension funds and other sources willing to invest is a high priority
 <unk> david <unk> director of real estate research for salomon brothers inc. a theme of the urban land conference will be take a pension fund manager to lunch
 sheraton corp. and pan american world airways announced that they and two soviet partners will construct two <unk> hotels within a mile of red square in moscow
 u.s. and soviet officials hailed the joint project as a new indication of the further <unk> in u.s.-soviet relations
 this is an outstanding example of how the east and the west can work together for their mutual benefit and progress said soviet ambassador <unk> <unk> who <unk> a signing <unk> for the venture 's partners at the soviet embassy here
 commerce secretary robert mosbacher who attended the <unk> called the undertaking a historic step in the evolution of u.s.-soviet ties
 he added that it likely will have a <unk> effect in <unk> further trade between the two countries
 the project will be the largest <unk> joint venture to be undertaken in the soviet union in recent years
 one of the hotels to be called the sheraton moscow will have N rooms and will cost an estimated $ N million to build
 the <unk> hotel will be on gorky street and initially will cater mostly to business travelers
 it will have a russian <unk> an english <unk> a <unk> and japanese and italian restaurants according to a sheraton announcement
 the hotel is scheduled to open in N
 the second hotel to be called the <unk> hotel is to be constructed at a site even closer to red square
 details about its size and cost have n't yet been determined
 sheraton a subsidiary of itt corp. will have a N N share in the two hotels pan american a subsidiary of pan am corp. will have a N N share
 the soviet owners will be <unk> moscow 's city governing body and aeroflot the soviet national airline
 although a finnish group has a minority interest in an already operating moscow hotel the <unk> am venture will be the first joint-venture hotels in the soviet union to have as much as N N foreign ownership
 u.s. companies account for less than N N of the N or more soviet joint ventures that have been announced since the soviets began encouraging such <unk> in N
 but some u.s. companies are negotiating projects that could be among the biggest ones to be launched
 chevron corp. amoco corp. <unk> co. and eastman kodak co. are among the u.s. companies known to be considering such ventures
 sheraton and pan am said they are assured under the soviet joint-venture law that they can <unk> profits from their hotel venture
 the sheraton moscow will charge about $ N to $ N a day for each of its rooms and it will accept payment only in currencies that can be traded in foreign exchange markets according to a sheraton executive
 thomas <unk> pan am 's chairman said the u.s. airline 's participation is a natural <unk> of its current arrangements with aeroflot to jointly operate <unk> new <unk> flights
 he said the rising volume of passenger traffic on this route justifies a major investment in new <unk> moscow hotels
 david <unk> was named to the new post of executive vice president of the maxwell macmillan group of this communications giant
 mr. <unk> takes primary responsibility for the electronic and <unk> group
 he had been group vice president of the <unk> group
 also <unk> <unk> formerly a vice president at maxwell was named group vice president with responsibility for various electronic and <unk> companies
 <unk> honda 's picture now hangs with henry ford 's in the u.s. automotive hall of fame and the <unk> jeopardy is soon to be <unk>
 but no matter how much japan gets under our skin we 'll still have mom and apple pie
 on second thought make that just mom
 a japanese apple called the fuji is <unk> up in <unk> the way <unk> did on u.s. roads
 by N it will be planted more often than any other apple tree according to a recent survey of six <unk> <unk> by washington state university <unk> robert norton
 some fruit <unk> say the fuji could someday tumble the red delicious from the top of america 's apple <unk>
 it certainly wo n't get there on looks
 compared to the red delicious the <unk> of apple <unk> the fuji is <unk> more <unk> generally smaller <unk> <unk> <unk> with <unk> of red
 to hear most u.s. growers tell it we 'd still be in <unk> if the <unk> had <unk> one to <unk>
 but how sweet it is
 it has more sugar than any apple we 've ever tested says <unk> greene a university of massachusetts <unk> or apple scholar
 it has a long shelf life and does n't fool the public says <unk> <unk> an <unk> wash. grower who is <unk> fujis and spreading the good word about them
 it does n't look nice on the outside while getting <unk> inside
 mr. <unk> <unk> sharp at N has picked and packed a <unk> <unk> of apples over the past N years
 he is known as the father of the <unk> <unk> smith a <unk> different apple that the conventional wisdom once said would never catch on
 it did shaking the apple establishment to its roots
 now even more radical changes seem <unk> as the grand old <unk> of american apples plays the role of <unk> <unk>
 the fuji is going to be no. N to replace the red delicious he says
 the delicious <unk> wo n't end anytime soon
 new apple trees grow slowly and the red delicious is almost as entrenched as mom
 its roots are <unk> with the first trees appearing in N in an <unk> near peru iowa to be exact
 for more than N years it has been the apple of our eye
 a good delicious can indeed be delicious
 more than twice as many red delicious apples are grown as the golden variety america 's no. N apple
 but the apple industry is <unk> for change
 red delicious has been <unk> and its prices have dropped below the cost of production says washington state 's mr. norton
 the scare over <unk> a growth regulator that makes apples <unk> and <unk> but may be <unk> made consumers shy away from the delicious though they were less affected than the <unk>
 the <unk> and <unk> lower prices combined with cancer fears was a very serious blow to growers
 a lot of growers wo n't be around in a few years says mr. norton although they have stopped using <unk>
 one may be william broderick a sterling mass. grower
 this is beautiful stuff he says looking <unk> at big boxes of <unk> red delicious next to his <unk>
 but i 'm going to lose $ N to $ N on it
 i 'm going to have to get another job this year just to eat
 besides <unk> prices he has been hit recently by <unk> a <unk> <unk> of mice <unk> and bugs
 some N <unk> and N diseases <unk> <unk> and <unk> through growers ' <unk> including <unk> <unk> <unk> <unk> black <unk> and the <unk> <unk>
 even if a grower <unk> them back his $ N <unk> <unk> might <unk> off to the neighbors ' <unk> instead of <unk> his mr. broderick says
 though growers ca n't always keep the worm from the apple they can protect themselves against the price <unk> of any one variety by diversifying into the recently imported <unk> a sweet new zealand native the <unk> <unk> reportedly thomas jefferson 's favorite apple <unk> kinds like the liberty
 i 've <unk> out a lot of delicious and <unk> the trees with many different <unk> says steve wood a west lebanon n.h. grower <unk> through his <unk> poverty lane <unk> on a <unk> autumn day recently
 i 've got N kinds of apples
 here 's a <unk> he <unk> picking one off a tree
 he <unk> it <unk> and throws it down
 it 's a real dog
 supermarkets are getting into the variety act too
 they still buy apples mainly for big red good looks that 's why so many taste like <unk> ' <unk> bags
 but <unk> counts more than it once did and stores are expanding shelf space for <unk> but <unk> and often <unk> apples
 rather than sell <unk> delicious maybe we can sell <unk> fujis says chuck <unk> <unk> director for <unk> <unk> inc. a minneapolis supermarket chain and food distributor
 the fuji is a product of <unk> japanese <unk> engineering which <unk> it N years ago at a government research <unk>
 japanese researchers have <unk> dozens of <unk> of fujis to <unk> its color taste and shelf life
 now the best of them age as <unk> as <unk> the industry 's gold standard for <unk>
 in the <unk> of <unk> apples the fuji 's track record stands out during the past N years it has gone from almost <unk> to some N N of japan 's market
 the japanese apple market is very <unk> to high quality says david lane a scientist at a canadian <unk> research center in <unk> british columbia and so apples are more of a <unk> there than a big food commodity
 the u.s. department of agriculture estimates that this year americans will eat about N N more fresh apples per capita than the japanese
 the fuji is still small potatoes in the u.s. sold mainly in fruit <unk>
 but in california says craig <unk> a <unk> grower there 's a fuji apple <unk>
 once somebody <unk> one they get <unk>
 mr. <unk> the washington grower says that he could sell fujis to taiwan buyers at $ N a box if he had them
 taiwan already is a big importer of fujis from other places he adds
 but his first crop wo n't be picked till next year
 i expect to see the demand exceed supply for fujis for the next N to N years he adds
 washington red delicious by the way are <unk> for less than $ N a box these days
 mr. <unk> sees fujis in part as striking a blow against the <unk> of u.s. apples by supermarkets
 when the chain stores took over there was no longer a connection between grower and consumer
 a guy is sitting up in an office deciding what you 're going to eat
 after all until the 1950s even the red delicious was a firm <unk> <unk>
 then as growers <unk> them more for looks and to satisfy supermarket chains ' demands of long-term storage the red went into decline
 now those red <unk> things stores sell in summer are <unk> lovely but usually not good eating
 they do deserve respect however they are almost a year old probably equal to about N in human years
 the fuji to be sure has <unk> too
 it <unk> later than most apples and growing it in u.s. areas with <unk> <unk> may be tricky
 moreover the <unk> fuji must compete with an increasingly <unk> delicious
 mr. broderick the massachusetts grower says the big boss at a supermarket chain even rejected his red delicious recently because they were n't <unk> and brushed for extra <unk>
 and he had n't used <unk> which many growers employ to <unk> their delicious apples for greater eye appeal
 still mr. <unk> points out <unk> became popular without big red looks so why not fujis
 he sees a shift in american values at least regarding apples toward more emphasis on substance and less on <unk>
 taste has finally come to the <unk> he says
 or for that matter the core
 <unk> <unk> inc. said its board increased the number of shares of common stock to be purchased under a previously authorized program to N million from N million
 the maker of engineered materials has acquired more than N million shares under the program
 the state attorney general 's office filed suit against five new york brokerage firms charging them with responsibility for much of a $ N million loss incurred by the state treasurer 's office in N
 the suit sets the firms ' liability at more than $ N million
 the firms are morgan stanley & co. salomon brothers inc. county natwest government securities inc. greenwich capital markets inc. and goldman sachs & co
 the firms have all said that west virginia 's suit is without merit
 on friday the firms filed a suit against west virginia in new york state court asking for a <unk> judgment <unk> them of liability
 that suit is pending
 the suits <unk> to a $ N million loss disclosed in december that was suffered by west virginia 's consolidated investment pool
 the pool invested idle cash for many state agencies and local governments
 in its suit the attorney general 's office alleges that brokers encouraged members of the treasurer 's office to engage in <unk> high-risk transactions that benefited the brokers
 few people are aware that the federal government <unk> almost as much money as it <unk>
 from N to N while federal budget deficits totaled $ N trillion the government issued $ N billion of new direct loans and an additional $ N billion of new primary loan guarantees
 these figures <unk> secondary guarantees deposit insurance and the activities of <unk> enterprises a huge concern in its own right as detailed on this page may N
 federal credit programs date back to the new deal and were meant to break even financially
 since the 1950s federal lending has experienced extraordinary growth in credit volume subsidy rates and policy applications spurred on by the growth of government in general and budget <unk> and deceptive management in particular
 as we will see many of these obligations do n't show up as part of the federal deficit
 but recent events indicate that federal credit is out of control
 student loan defaults remain high at about N N and the program has been rocked by allegations of fraud and <unk>
 farmers home administration <unk> loans have turned into de <unk> <unk> programs losses over the next three years are expected to exceed $ N billion
 defaults on veterans affairs loan guarantees have <unk> in the past eight years
 last month the general accounting office reported that defaults in federal housing administration guarantees were five times as high as previously estimated and that fha 's equity fell to minus $ N billion
 <unk> 's findings are particularly troubling because the fha has about $ N billion in obligations outstanding and had previously been considered one of the most financially secure credit programs
 scores of other credit programs subsidizing agriculture small business exporters defense energy transportation and others are less visible but in no better shape
 if the programs continue their present path the potential government losses are staggering the federal government holds $ N billion in direct loans outstanding and backs an additional $ N billion in primary guarantees
 secondary guarantees of pools of fha and <unk> loans by the agency known as ginnie mae currently exceed $ N billion
 although external events have contributed to the <unk> the principal causes of the current crisis are internal and generic to all programs
 to reduce the risks while still retaining the legitimate benefits these programs can provide credit policy must N use credit to improve the operation of capital markets not to provide subsidies
 there is a fundamental conflict between providing a subsidy and maintaining the integrity of a credit program
 if the program is meant to provide a subsidy collecting the debt <unk> the original goal
 thus subsidized loans tend to turn into <unk> programs with increasing subsidy and default rates over time
 to avoid this problem government should issue credit only if it intends to use every legal method to collect
 in contrast credit programs can be appropriate tools to improve the operation of capital markets
 for example legal restrictions on interstate banking once <unk> the supply of credit to the agricultural sector
 farm lending was enacted to correct this problem by providing a <unk> flow of <unk> funds
 however this in no way justifies the huge government subsidies and losses on such loans
 credit policy should separate these two competing objectives and eliminate aspects that provide the subsidy
 for example student loans currently attempt to subsidize college attendance and <unk> problems created by the fact that students ' future earnings are not accepted as collateral
 the program provides highly subsidized loans to any student whose family earns less than a particular amount
 high default rates a low interest rate and government coverage of all interest costs while the student is in school make program costs extremely high
 families that do not need the loan can make money simply by putting the loan in the bank and paying it back when the student graduates
 in contrast a student loan program that was meant solely to correct <unk> <unk> would allow loans for any student regardless of family income at market or <unk> rates
 while the student was in school interest costs would either be paid by the student or added to the loan balance
 this program combined with cash grants to <unk> students would reduce program costs and much more effectively target the intended beneficiaries
 N provide better incentives
 given the structure of most credit programs it is surprising that default rates are not even higher
 guarantee rates are typically N N giving lenders little reason to screen customers carefully
 reducing those rates moderately say to N N would still provide substantial assistance to borrowers
 but it would also encourage lenders to choose more <unk> customers and go a long way toward reducing defaults
 for example the small business administration has had reasonable success in reducing both guarantee rates and default rates in its preferred lenders ' program
 borrowers ' incentives are equally <unk>
 since the government has a dismal record of collecting bad debts the costs to the <unk> of <unk> are usually low
 in addition it is often possible to obtain a new government loan even if existing debts are not paid off
 simple policy <unk> in this case would be to improve debt collection taking the <unk> off contracted collection agencies and to deny new credit to <unk>
 these provisions would be difficult to enforce for a program intended to provide a subsidy but would be reasonable and effective devices for programs that attempt to offset market <unk>
 N record the true costs of credit programs in the federal budget
 since the budget measures cash flow a new $ N direct loan is treated as a $ N expenditure even though at least part of the loan will be paid back
 loan guarantees do n't appear at all until the <unk> defaults so new guarantees do not raise the deficit even though they create future liabilities for the government
 by converting an expenditure or loan to a guarantee the government can ensure the same flow of resources and reduce the current deficit
 predictably guarantees outstanding have risen by $ N billion since N while direct loans outstanding have fallen by $ N billion
 the true budgetary cost of a credit subsidy is the discounted value of the net costs to government
 this figure could be estimated using techniques employed by private lenders to forecast losses or determined by selling loans to private owners without federal guarantees
 neither technique is perfect but both are better than the current system which <unk> the costs of new credit programs by amounts that vary substantially and average about $ N billion annually according to the congressional budget office
 a budget that reflected the real costs of lending would eliminate incentives to convert spending or lending programs to guarantees and would let taxpayers know what congress is committing them to
 N impose standard accounting and administrative practices
 creative accounting is a <unk> of federal credit
 many agencies roll over their debt paying off <unk> loans by issuing new loans or converting defaulted loan guarantees into direct loans
 in any case they avoid having to write off the loans
 some agencies simply keep bad loans on the books as late as N the <unk> bank held in its portfolio at face value loans made to cuba in the 1950s
 more seriously <unk> has carried several billion dollars of defaulted loans at face value
 until <unk> 's recent audit fha books had not been subject to a complete external audit in N years
 the administration of federal credit should closely parallel private lending practices including the development of a loan loss reserve and regular outside audits
 establishing these practices would permit earlier <unk> of emerging financial crises provide better information for loan sales and <unk> decisions and reduce fraud
 government lending was not intended to be a way to <unk> spending figures hide fraudulent activity or provide large subsidies
 the reforms described above would provide a more limited but <unk> safer and ultimately more useful role for government as a lender
 without such reforms credit programs will continue to be a large-scale high-risk proposition for taxpayers
 mr. <unk> is an assistant professor of economics at <unk>
 malcolm s. <unk> was named vice president and senior officer in charge of equipment leasing to municipalities a new effort of this bond insurer
 mr. <unk> had been vice president and treasurer of <unk> corp
 president bush is considering casting a line-item veto as a test to determine whether the courts will rule that he has such authority
 mr. bush has long <unk> for passage of a bill or a constitutional amendment that would <unk> give him a line-item veto which would enable him to kill individual items in a big spending bill without having to kill the entire bill
 he has argued that such presidential power is necessary to rein in congressional spending
 but some analysts particularly conservative legal scholars have urged mr. bush not to wait for explicit authorization but simply to <unk> that the constitution already <unk> gives him the power to exercise a line-item veto
 such an <unk> most likely would bring about a court challenge from congress that would clarify whether a president already has such power
 white house spokesman marlin fitzwater confirming comments made this week by vice president dan quayle said mr. bush is interested in finding a suitable test case
 but he also said that exercising a test line-item veto is n't a top initiative on the president 's agenda because he faces <unk> budget issues at the moment
 harris <unk> executive vice president of customer satisfaction was named executive vice president finance and administration of this maker of data storage equipment
 mr. <unk> succeeds william r. <unk> jr. who will remain with the company until the end of the year to support the transition and to complete important projects
 the bush administration said it is <unk> a comprehensive proposal for <unk> agricultural trade that could help break an <unk> in the current round of <unk> trade negotiations
 the proposal <unk> the u.s. desire to scrap or reduce a host of <unk> subsidies on farm products
 but it would allow considerable flexibility in determining how and when these goals would be achieved
 the u.s. plan also would ease the transition to <unk> agriculture trade by allowing some countries to convert <unk> barriers into tariffs that together with existing tariffs then would be phased out over N years
 trade representative carla hills who along with agriculture secretary <unk> <unk> unveiled the proposal said she is confident it will gain considerable support from the u.s. 's trading partners
 mr. <unk> seeking to <unk> european objections to an earlier u.s. plan that called for eliminating all <unk> barriers by the year N said the new u.s. proposal would n't put farmers out of business but would only encourage them to grow what the markets desire instead of what the government wants
 the u.s. is <unk> the proposal today in geneva hoping that the initiative will spur members of the general agreement on tariffs and trade to reach agreement on new trade rules before their current negotiating round concludes in december N
 another u.s. proposal filed monday urges more fair play in services trade including predictable and clear rules and <unk> in the treatment of foreign and domestic service companies
 unlike the earlier u.s. <unk> proposal which struck european countries as too extreme the latest plan would provide some room for maneuver
 for instance the new u.s. package makes clear there would be a transition period during which gatt members could use a combination of tariffs and quotas to cushion their farmers from foreign competition
 it also says countries could temporarily raise tariffs on certain products if they experience an unusually heavy volume of imports
 instead of proposing a complete elimination of farm subsidies as the earlier u.s. proposal did the new package calls for the elimination of only the most <unk> ones
 less <unk> ones would be subject only to some restraints and others with a relatively minor trade impact would be allowed to continue under certain conditions
 the new u.s. plan also would establish procedures to prevent countries from using health and <unk> rules to <unk> trade <unk>
 the goal would be to resolve disputes such as one prompted by the european community 's current attempt to bar imports of beef from <unk> u.s. cattle
 the u.s. contends that the rules are n't justified on health grounds
 to encourage more competition among exporting countries the u.s. is proposing that export subsidies including tax incentives for exporters be phased out in five years
 procter & gamble co. helped by a gain from a lawsuit settlement and continued growth overseas posted a N N rise in fiscal first-quarter net income
 net for the quarter ended sept. N climbed to $ N million or $ N a share from $ N million or $ N a share a year earlier
 per-share figures have been adjusted for a 2-for-1 stock split effective oct. N
 sales increased N N to $ N billion from $ N billion
 earnings at the consumer-products giant were boosted by a gain of $ N million or about N cents a share stemming from last month 's settlement of litigation with three of p&g 's competitors over patents on p&g 's <unk> <unk> <unk>
 excluding the gain p&g 's earnings were close to analysts ' predictions of about $ N a share for the quarter
 wall street had expected a modest rise in the company 's domestic sales and earnings and more substantial increases in overseas results
 one factor helping sales and earnings was a N N price rise for most p&g products except coffee analysts said
 unit volume or amount of products shipped rose about N N in the international segment with p&g continuing to win market share in japan 's diaper and detergent markets
 jay <unk> analyst with kidder peabody & co. said p&g 's always <unk> <unk> sold under the <unk> name in japan has firmly established itself as a leading brand
 he figures p&g will expand its <unk> product line in japan to continue that momentum
 p&g 's u.s. shipments were up just N N partly because the company decided to shift more promotions and sales for health and beauty products to the fiscal second quarter
 <unk> <unk> analyst with salomon bros. predicts the shift will mean p&g 's sales growth in the second quarter will be in the double <unk>
 also slowing growth in the u.s. were lackluster results for p&g 's cooking oils which had a strong year-earlier first quarter
 last year 's drought in the midwest prompted retailers to stock up on oils ahead of anticipated price increases boosting sales for <unk> and <unk> oils analysts said
 for fiscal N analysts expect p&g 's sales to continue to grow with earnings climbing between N N and N N
 <unk> hyman vice president of equity research for first boston corp. expects p&g to post net of about $ N a share on a <unk> basis
 but i 'm recognizing there 's a good chance they 'll do a bit better than that she says
 in fiscal N p&g earned $ N a share adjusted for the stock split
 one big factor affecting the fiscal second half will be the new <unk> of edwin l. <unk> who becomes chairman and chief executive officer in january
 because of his remarkable success turning around p&g 's international operations analysts have high hopes for his tenure
 if he does to the domestic operations what he did internationally says mr. <unk> this company will earn $ N or $ N a share in a few years
 the voting rights act of N was enacted to keep the promise of the <unk> amendment and enable southern blacks to go to the polls <unk> by <unk> tests and other <unk> devices
 <unk> years later the voting rights act has been transformed by the courts and the justice department into a program of racial gerrymandering designed to increase the number of blacks and other minorities hispanics <unk> and native americans holding <unk> office
 in the 1980s the justice department and lower federal courts that enforce the voting rights act have required state legislatures and municipal governments to create the maximum number of safe minority election districts districts where minorities form between N N and N N of the voting population
 the program has even been called upon to create safe white electoral districts in municipalities where whites are the minority
 although section N of the act <unk> <unk> requiring that minorities win a <unk> share of <unk> offices few municipal and state government plans achieve <unk> by the justice department or survive the scrutiny of the lower federal courts unless they <unk> out as many <unk> minority districts as possible
 the new goal of the voting rights act more minorities in political office is <unk>
 for the political process to work all citizens regardless of race must feel represented
 one essential indicator that they are is that members of minority groups get elected to public office with reasonable frequency
 as is blacks constitute N N of the population but fewer than N N of elected leaders
 but racial gerrymandering is not the best way to accomplish that essential goal
 it is a quick fix for a complex problem
 far from promoting a <unk> of interests among black white hispanic and other minority voters drawing the district lines according to race suggests that race is the voter 's and the candidate 's most important <unk>
 such a policy implies that only a black politician can speak for a black person and that only a white politician can govern on behalf of a white one
 examples of the divisive effects of racial gerrymandering can be seen in two cities new york and birmingham <unk>
 when they <unk> their districts after the N census every other <unk> and state in the country will face this issue
 new york city
 racial gerrymandering has been a familiar policy in new york city since N when congress first amended the voting rights act to expand its reach beyond the southern states
 in N the justice department required that the electoral <unk> in the borough of brooklyn be <unk> to concentrate black and hispanic votes despite protests that the new electoral <unk> would split a neighborhood of <unk> <unk> into two different districts
 this year a commission appointed by the mayor to revise new york 's system of government completed a new charter expanding the city council to N from N members
 sometime in N as soon as the N census becomes available a <unk> panel will <unk> the city council district lines
 the charter revision commission has made it clear that in response to the expectations of the justice department and the commission 's own commitment to <unk> minority political leadership the new district lines will be drawn to maximize the number of <unk> minority districts
 blacks and hispanics currently make up N N of the city 's population and hold only N N of the seats on the council
 several of the city 's black leaders including democratic mayoral <unk> david dinkins have spoken out for racial gerrymandering to accord blacks and hispanics the <unk> opportunity for representation
 in this connection it is important to note that several members of new york 's sitting city council represent <unk> districts that bring together sizable black hispanic and <unk> white <unk> <unk> <unk> 's <unk> district in northern manhattan and the south bronx and susan alter 's <unk> district in brooklyn for example
 to win their seats on the council these political leaders have had to listen to all the voices in their district and devise public policies that would benefit all
 often they have found that the relevant issue is not race but rather housing crime prevention or education
 birmingham ala.
 the unusual situation in birmingham <unk> illustrates the divisive consequences of <unk> out safe districts for racial minorities
 in birmingham which is N N black whites are the minority
 insisting that they are protected by the voting rights act a group of whites brought a federal suit in N to demand that the city abandon <unk> voting for the nine member city council and create nine electoral districts including four safe white districts
 the white group argued that whites were not fully and fairly represented because in <unk> elections only black candidates or white candidates who <unk> to black interests could win
 no federal court has ruled that the voting rights act protects a white minority but in june the justice department approved a <unk> plan for birmingham that <unk> out three <unk> districts and six <unk> districts
 richard <unk> birmingham 's black mayor <unk> the consequences
 in the past people who had to run for office had to moderate their views because they could n't afford to <unk> blacks or whites he said
 now you go to districts you 're likely to get candidates whose views are more extreme white and black on racial issues
 two hundred years ago critics of the new united states constitution warned that the electoral districts for congress were too large and <unk> too many different economic interests
 a small farmer and a <unk> merchant could not be represented by the same spokesman they said
 but james madison <unk> that argument in one of the most <unk> political <unk> ever written no. N of the <unk> papers
 madison explained that a representative 's duty was to speak not for the narrow interests of one group but instead for the common good
 large <unk> election districts would encourage good government said madison because a representative would be <unk> to serve the interests of all his constituents and be <unk> to none
 madison 's noble and <unk> vision of the representative still can guide us
 as long as we believe that all americans of every race and ethnic background have common interests and can live together <unk> our political <unk> should reflect our belief
 racial gerrymandering creating separate black and white districts says that we have discarded that belief in our ability to live together and govern ourselves as one people
 ms. <unk> is a constitutional scholar at the center for the study of the presidency in new york
 the justice department has distributed these new guidelines for u.s. attorneys <unk> rico cases
 a related editorial appears today
 under rico the government may seek a temporary <unk> order tro upon the filing of a rico indictment in order to preserve all <unk> assets until the trial is completed and judgment entered
 such orders can have a <unk> impact on third parties who do business with the defendants including clients vendors banks investors creditors dependents and others
 some highly publicized cases involving rico <unk> have been the subject of considerable criticism in the press because of a perception that pre-trial <unk> of assets is <unk> to a seizure of property without due process
 in order to ensure that the rights of all interested parties are protected the criminal division has instituted the following requirements to control the use of <unk> in rico prosecutions
 it should be noted that these requirements are in addition to any other existing requirements such as review by the asset forfeiture office
 N as part of the approval process for rico prosecutions the prosecutor must submit any proposed forfeiture tro for review by the organized crime and racketeering section
 the prosecutor must show that <unk> <unk> such as bonds are not likely to preserve the assets for forfeiture in the event of a conviction
 N in seeking approval of a tro the prosecutor must <unk> any anticipated impact that forfeiture and the tro would have on innocent third parties balanced against the government 's need to preserve the assets
 N in deciding whether forfeiture and hence a tro is appropriate the section will consider the nature and <unk> of the <unk> the government 's policy is not to seek the <unk> forfeiture permissible under the law where that forfeiture would be disproportionate to the defendant 's crime
 the division expects that the prosecutor will announce these principles either at the time the indictment is returned or at the latest at the first proceeding before the court concerning the tro
 sales of north <unk> cars and trucks plunged N N in mid-october from a year earlier as domestic manufacturers paid the price for heavy incentives earlier this year
 people are waiting for new factory <unk> said ben <unk> sales manager of bob <unk> auto world in lynn mass. whose sales are slow
 this trend appears to be especially true at general motors corp. which used both dealer and consumer incentives to <unk> sales in august and september
 since then deliveries have slumped
 gm 's car sales dropped N N in mid-october to N while truck sales fell N N to N
 gm also had dismal results in the first N days of the month while other auto makers reported mixed results
 all of the big three suffered in the <unk> period however with sales of all domestically made cars including those built at <unk> plants falling N N to N from a year earlier
 the seasonal adjusted annual selling rate was six million vehicles a small improvement from the N million rate of early october but a big drop from the N million rate a year ago
 sales of domestically made trucks also continued to be sluggish in mid-october dropping N N to N from a year ago
 the big three auto makers already have slashed fourth-quarter production plans N N below year-ago levels but that may not be enough to prevent inventories from ballooning if sales do n't improve
 industry analyst john h. <unk> a vice president with hill & <unk> in st. louis forecasts that domestic auto makers will have a <unk> supply of cars at the end of the year even if car sales improve to a N million vehicle rate for the quarter
 ford motor co. reported a N N drop in sales of <unk> cars to N and a N N drop in domestic trucks to N
 the sales are being dragged down by a <unk> of N vehicles said joel <unk> a ford analyst
 the earlier use of incentives <unk> the market of <unk> for <unk> N cars he said
 town & country ford in charlotte n.c. still needs to move about N N cars and trucks
 business had been fairly strong until hurricane hugo hit the area but has been down since
 chrysler corp. also hit the rocks in mid-october
 the no. N u.s. auto maker had a N N plunge in car sales to N and a N N drop in truck sales to N which include its minivans and <unk>
 honda motor co. which continues to have short supplies of domestically made accords saw its sales of north <unk> cars fall N N to N
 but sales of domestic cars and trucks at nissan motor corp. rose N N to N
 a nissan spokesman attributed the increase to the use of incentives this year and not a year ago and to higher fleet sales
 toyota motor corp. which opened a plant in <unk> ky. last year saw sales triple to N vehicles
 a totals include only vehicle sales reported in the period
 c domestic car
 d percent change greater than N N
 x there were N selling days in the most recent period and N a year earlier
 percentage differences based on daily sales rate rather than sales volume
 short interest in nasdaq over-the-counter stocks rose N N as of mid-october its biggest jump since N N last april
 the most recent otc short interest statistics were compiled oct. N the day the nasdaq composite index slid N N and the new york stock exchange tumbled N N
 the <unk> might lead to the conclusion that <unk> bet heavily on that day that otc stocks would decline further
 as it happens the nasdaq composite did continue to fall for two days after the initial plunge
 however the short interest figures reported by brokerage and securities clearing firms to the national association of securities dealers include only those trades completed or settled by oct. N rather than trades that occurred on that day according to gene <unk> chief economist for the nasd
 generally it takes five business days to transfer stock and to take the other steps necessary to settle a trade
 the total short interest in nasdaq stocks as of mid-october was N million shares up from N million in september but well below the record level of N million shares established in july N
 the sharp rise in otc short interest compares with the N N decline in short interest on the new york stock exchange and the N N rise on the american stock exchange during the <unk> period
 generally a short seller expects a fall in a stock 's price and aims to profit by selling borrowed shares that are to be replaced later the short seller hopes the replacement shares bought later will cost less than those that were sold
 short interest which represents the number of shares borrowed and sold but not yet replaced can be a <unk> barometer for many stocks
 among N of the largest otc issues short interest rose to N million shares from N million in N stocks in september
 big stocks with large short interest gains as of oct. N included first executive intel campeau and lin broadcasting
 short interest in first executive an insurance issue rose N N to N million
 intel 's short interest jumped N N while campeau 's increased N N
 intel makes semiconductors and campeau operates department-store chains and is <unk> for cash
 <unk> savings again had the dubious honor of being the otc stock with the biggest short interest position on nasdaq
 <unk> has headed the list since may
 first executive and troubled valley national corp. of arizona were next in line
 short selling is n't necessarily bad for the overall market
 <unk> shares must eventually be replaced through buying
 in addition changes in short interest in some stocks may be caused by arbitrage
 for example an investor may seek to profit during some takeover situations by buying stock in one company involved and <unk> the stock of the other
 two big stocks involved in takeover activity saw their short interest surge
 short interest in the american depositary receipts of jaguar the target of both ford motor and general motors more than doubled
 nasdaq stocks that showed a drop in short interest included adobe systems class a shares of tele-communications and takeover targets <unk> and <unk>
 the nasd which operates the nasdaq computer system on which N otc issues trade <unk> short interest data in two categories the approximately two-thirds and generally biggest nasdaq stocks that trade on the national market system and the one-third and generally smaller nasdaq stocks that are n't a part of the system
 short interest in N <unk> securities totaled N million shares compared with almost N million shares in N issues in september
 the october short interest represents N days of average daily trading volume in the smaller stocks in the system for the reporting period compared with N day a month ago
 among bigger otc stocks the figures represent N days of average daily volume compared with N days in september
 the adjacent tables show the issues in which a short interest position of at least N shares existed as of oct. N or in which there was a short position change of at least N shares since sept. N see accompanying tables wsj oct. N N
 from the sept. <unk> N issue of the economist
 what defeated general aoun was not only the weight of the syrian army
 the weight of lebanon 's history was also against him and it is a history israel is in danger of <unk>
 like lebanon and however unfairly israel is regarded by the arab world as a colonial <unk>
 its best hope of acceptance by its <unk> lies in reaching a settlement with the <unk>
 like lebanon israel is being <unk> by <unk>
 in greater israel more than half the children under six are <unk>
 within N years <unk> will probably be the minority
 yet israel will neither share power with all these arabs nor says its present prime minister <unk> its borders closer to its <unk> jewish <unk>
 by not choosing one of these options <unk> will condemn themselves as the <unk> did to perpetual war with the <unk> in their midst and so to the internal erosion of their state
 unlike the <unk> israel 's <unk> will not let themselves become the weakest force in a system of private <unk> <unk> will become <unk> before it becomes <unk>
 but that is not much of a <unk> to draw from the failure of general aoun
 the nasdaq over-the-counter market did n't fully recover from a selling <unk> and closed down N N
 the effects on the market of the mostly computer-driven sell-off among <unk> stocks <unk> many market makers who watched the nasdaq composite index tumble in <unk> with the dow jones industrial average and then saw it get left behind in the subsequent rally
 after <unk> N N at one point during the day the composite rebounded a little but finished down N at N
 in contrast the industrial average recovered almost completely from its <unk> and closed down N N
 the new york stock exchange composite was N N lower for the day
 as usual the over-the-counter market 's biggest technology stocks were hardest hit
 microsoft battered by profit taking in recent sessions sank as much as N but it finished at N N down N N on volume of one million shares
 mci communications the most active issue finished down N to N N
 mci traded as low as N N during the session
 other active stocks included jaguar whose american depositary receipts added N to N N
 apple computer improved N to N N intel slipped N to N N and valley national corp. was up N to N N
 the market started with several strikes against it said peter dapuzzo head of retail equity trading at shearson lehman hutton referring to news that the labor-management buy-out of ual corp. continued to <unk> and reports that the junk-bond market is <unk>
 but the computer-guided selling in response to those developments dealt a serious blow to the over-the-counter market mr. dapuzzo said
 even though the over-the-counter market usually does n't fall by as much as listed stocks during <unk> <unk> he said when the market does recover the damage is done and it leaves nasdaq down more than the big board
 mr. dapuzzo also complained that the sharp swings in stock prices lately is scaring away retail and foreign investors
 while shearson does n't do computer-guided program trading for its own account the firm does execute orders for clients involved in the buying and selling of shares tied to movements in certain stock indexes mr. dapuzzo acknowledged
 the volatility inherent in program trading troubled other traders too
 they do n't like the risks they are forced to assume when prices swing so drastically
 market makers are supposed to keep supplies of stocks on hand to maintain orderly trading when imbalances occur
 that means that on days when prices are tumbling and sellers <unk> they must be willing to buy shares from sellers when no one else will
 in such an environment a market maker can absorb huge losses
 but the recent volatility in stock prices caused by the program trading has made some market makers less willing to <unk> up the stocks that are for sale
 the market makers say they are n't comfortable carrying big positions in stocks because they realize prices can tumble quickly
 the situation makes it harder to buy and sell shares quickly <unk> the rise and fall in stock prices during <unk> trading
 <unk> robert <unk> head of over-the-counter trading at donaldson lufkin & jenrette it 's making it tough for traders to make money
 he said that when sell programs kick in many traders believe that there 's no sense in sticking your nose out because you 're an instant loser
 <unk> learning centers added N to N N on N shares
 <unk> group said it will make a $ <unk> offer for the remaining <unk> learning center common stock if it acquires a majority of the company 's shares in a pending rights offering by <unk> learning center 's parent <unk> inc
 shares of <unk> inc. closed at N N also up N on volume of N
 ohio casualty dropped N N to N N
 the company posted third-quarter earnings of N cents a share down from $ N a year earlier
 the company estimated that losses from hurricane hugo reduced net income by N cents a share in the most recent quarter
 the company said losses from the oct. N earthquake in california have n't yet been determined but that it provides earthquake coverage to about N properties in the <unk> area
 any <unk> losses will be reported in the fourth quarter the company said
 north atlantic industries jumped N to N N
 the <unk> maker is to be acquired by asset management associates for $ N a share
 lin broadcasting slid N N to N N despite reporting third-quarter net of N cents a share up from N cents the previous year
 the company said the latest quarter included about $ N million in special legal and financial advisory costs related to mccaw cellular communications ' bid for the company and lin 's merger pact with bellsouth
 mccaw was unchanged at N
 <unk> slid N N to N N amid continuing concerns about the company 's contract negotiations with international business machines
 ibm is reviewing its entire <unk> program and <unk> confirmed earlier this month that it was in talks with the company about possible modifications to its current <unk> contract
 <unk> make modifications to ibm 's computer hardware and <unk> the products
 omni capital group surged N N to N N
 the company said net rose to N cents a share in its <unk> quarter ended sept. N from N cents a shares a year ago
 probably the most <unk> soviet violation for example is the krasnoyarsk radar
 arms control reality nov. N N the first of some N journal <unk> saying that krasnoyarsk violated the abm treaty
 whether the installation is for early warning or space track it clearly is not deployed the lawmakers said
 thus we judge it to be not a violation of the abm treaty at this time
 the delegation included a reporter from the new york times aides to sen. edward m. kennedy and rep. <unk> <unk> and natural resources defense council staff members
 the washington post sept. N N
 the u.s.s.r. has taken unprecedented <unk> measures of openness by giving american representatives a possibility to <unk> the building site of the krasnoyarsk radar as well as radar vans in the areas of <unk> and moscow so as to see for themselves that there are no violations of the abm treaty of N on the part of the soviet union
 letter from eduard shevardnadze to u.n. <unk> <unk> de <unk> reported in tass june N N
 the construction of this station equal in size to the egyptian <unk> <unk> i say it directly a clear violation of abm
 eduard shevardnadze oct. N N
 we 're happy we guess to receive confirmation of the krasnoyarsk violation from the soviets five years after we started writing about it
 perhaps even the american <unk> will now <unk>
 without question something intriguing is going on in the policy chambers of the politburo
 as it bids for new agreements new loans and indeed admission to the <unk> world the soviet government has recognized it has a credibility problem
 so after N years it is <unk> the obvious hoping to be believed about other things
 it 's not enough
 if the soviets want to be believed they need to start telling the truth about more than the totally obvious
 our own test of glasnost 's <unk> would be a soviet decision to open itself to a complete international examination of one of the most troubling <unk> in u.s.-soviet relations the reported N anthrax <unk> at a soviet military facility in sverdlovsk
 the u.s. government has never <unk> in its assessment of this incident as an accident at a biological weapons facility there and hence a violation of the N biological weapons convention
 the pentagon 's recently issued soviet military power though in general adopting a softer line repeated the sverdlovsk assessment
 it also was detailed in congressional testimony this past february an explosion at the <unk> and <unk> institute in sverdlovsk released anthrax <unk> that caused a significant number of deaths
 since mr. shevardnadze did not address this topic before the supreme soviet the soviet union 's official position remains that the anthrax deaths were caused by tainted meat
 we doubt this claim just as we <unk> mr. shevardnadze 's assurance last year that krasnoyarsk did n't violate the abm treaty
 and just as we did not believe the <unk> claims of the congressmen and arms-control advocates who visited krasnoyarsk we are in no way persuaded by the <unk> to the <unk> theory by a u.s. team of scientists who met with soviet counterparts in washington last year
 the soviets ' explanation is that the anthrax came from one lot of animal feed made from the <unk> of cattle that <unk> on soil that was naturally infected with anthrax <unk>
 harvard 's <unk> <unk> who we read has sold something called the scientific community on the notion that yellow rain attacks on the <unk> <unk> were in fact the result of <unk> <unk> by giant <unk> found the soviet anthrax scenario completely <unk>
 we do n't believe it
 and we certainly do not believe that mr. gorbachev or any of his <unk> yet deserve to have the west take their word for it
 sverdlovsk is a large gray cloud over glasnost and indeed over the legitimacy of the arms-control process itself
 the u.s. government 's sverdlovsk complaint as with krasnoyarsk is no mere political <unk>
 biological weapons violations have figured little in political debate and indeed have not been pressed vigorously enough by the u.s. government
 but the stated u.s. position is detailed and specific and the prospect of biological <unk> is <unk> <unk>
 the soviets should be willing to set in motion a process that would allow them to acknowledge that sverdlovsk violated the N agreement or alternatively that would give u.s. specialists reasonable confidence that this was a wholly civilian accident
 until that happens glasnost can not begin to deserve the kind of credibility mr. shevardnadze was bidding for with his <unk> on monday
 manville corp. said it offered to buy $ N million of its convertible preferred stock from the manville personal injury settlement trust in a move that would improve the trust 's liquidity and reduce the potential number of manville shares outstanding
 manville said it made the offer within the past several weeks as part of an effort to improve shareholder value
 it said it would purchase the stock at market price
 manville and a spokeswoman for the trust said that the two are discussing the proposal but a decision has n't been made
 we are considering that offer along with all other alternatives the trust spokeswoman said
 we need to look at how to maximize our cash flow to pay our beneficiaries
 the trust created as part of manville 's bankruptcy-law reorganization to compensate victims of <unk> diseases owns N million of the series a convertible preferred shares which are each convertible into N manville common shares
 the trust also owns half of manville 's N million common shares outstanding
 based on manville 's closing price yesterday of $ N a share manville 's offer would purchase about N million of its preferred shares or about N N of the trust 's preferred stock holding
 in addition to the stock and N N of manville 's profits beginning in N the trust is supposed to receive $ N billion over its <unk> life
 but it initially was funded with about $ N million and may soon face a cash crunch
 as of june N it had settled about N of N claims filed and its unpaid claims totaled $ N million a large portion of its $ N million in cash and <unk> securities
 since most of its assets are tied to manville a forest and building products concern the trust might also want to diversify its holdings
 as part of its offer manville said it requested changes in some <unk> between it and the trust to allow manville to reflect a more typical corporate ownership and financial structure
 a manville spokesman would n't elaborate on the proposed changes
 but he said they are to a large degree <unk> although some may generate some disagreement
 manville said the shares issued to the trust were intended to be sold as needed and that manville has the right of first refusal to buy those shares
 northeast utilities raised its bid for public service co. of new hampshire which is operating under bankruptcy code protection to $ N billion from $ N billion
 northeast 's raised bid which was supported by ps of new hampshire 's official shareholder committee is a prelude to what is expected to be a round of higher bids by the other groups trying to acquire the company the largest utility in new hampshire
 the $ N billion value claimed by northeast based in hartford conn. is the highest yet given to a bid
 some of the three other bidding groups are expected to increase their offers tomorrow a date set for revised offers by a bankruptcy court judge
 a hearing is set for nov. N but participants do n't expect a resolution until july N
 under the new northeast utilities plan it would pay $ N billion in cash to creditors and assume $ N million in pollution control bonds
 secured creditors would recover both principal and interest while unsecured creditors would receive only principal and interest accrued before ps of new hampshire filed for bankruptcy code protection in january
 the biggest change in northeast 's offer was in improvements made for equity holders who had been given short <unk> previously
 assuming full operation of the seabrook nuclear power plant which is completed but is n't yet operating equity holders would receive up to $ N million in cash preferred stock and new 10-year seabrook bonds
 northeast 's previous offer had proposed that equity holders receive just $ N million
 in addition northeast promised the state of new hampshire that rate increases would be limited to N N annually for seven years
 its previous proposal had <unk> rate limits on seabrook operations and other <unk>
 wilbur ross financial adviser to the equity holders said given the state 's strong bargaining position we believe the <unk> plan provides the best recovery available to ps of new hampshire 's equity holders
 officials of ps of new hampshire could n't be reached for comment
 the company has filed an internal reorganization plan it valued at $ N billion that would require N N rate increases
 that plan would leave existing preferred shareholders with at least a N N stake and give common shareholders as little as N N
 new england electric system <unk> mass. has proposed buying the company for $ N billion as part of a plan that would require rate increases of only N N annually for seven years
 the state of new hampshire has favored that plan
 the other bidder is united illuminating co. new haven conn. with a bid valued at $ N billion and and a proposal for seven years of N N rate increases
 the polish <unk> will eat well this winter
 tons of <unk> <unk> potatoes <unk> and wheat will fill damp <unk> across the land as thousands of farmers turn the state 's buyers away
 many a <unk> wo n't be born as a result and many a <unk> will never hang in a butcher shop
 but with inflation <unk> grain in the <unk> will still be a safer bet for the private farmer than money in the bank
 once again the <unk> peasant holds poland 's future in his hands
 until his labor can produce a profit in this dying and distorted system even solidarity 's sympathetic new government wo n't win him over
 in coming months emergency food aid moving in from the west will be the one buffer between a <unk> public and a new political <unk>
 factory workers on strike knocked poland 's communist bosses off balance last year this year it was the farmers who brought them down
 in june farmers held onto meat milk and grain waiting for july 's usual <unk> price rises
 the communists <unk> prices instead
 the farmers ran a <unk> and meat disappeared from the shops
 on aug. N the state <unk> up its controls and food prices leaped
 without buffer stocks inflation exploded
 that was when the <unk> old peasants ' party desperate to live through the crisis broke ranks with the communists and joined with solidarity in the east bloc 's first <unk> government
 but by the time solidarity took office in september the damage was done
 <unk> as economists have come to call it had gone <unk>
 the cost of raising a <unk> kept <unk> ahead of the return for selling one
 the farmers stayed angry
 they still are
 at <unk> on a cool day hundreds travel to the private market in <unk> a town not far from warsaw <unk> pigs cattle and <unk> of feed that the state 's official buyers ca n't induce them to sell
 here they are searching for a higher price
 in a crush of trucks and horse <unk> on the <unk> field <unk> <unk> <unk> a <unk> <unk> <unk> into the <unk> of a private butcher 's polish fiat
 of course it 's better to sell private he says as the butcher <unk> away
 why should anybody want to sell to them
 the young farmer makes money on the few <unk> he sells here
 he wo n't for long because his old state sources of <unk> and potatoes are <unk> up
 there 's no feed he says
 you ca n't buy anything <unk>
 i do n't know why
 edward <unk> does
 his truck is <unk> across the field in a row of grain sellers
 like the others it is loaded with <unk> wheat and <unk> in <unk> labeled asbestos made in <unk>
 the farmer at the next truck <unk> wheat
 it 's nice
 it wo n't be cheaper
 we sell direct
 a heavy <unk> woman runs a handful through her fingers and counts him out a pile of <unk>
 country people breed pigs says mr. <unk> <unk> against the back of his truck
 they ca n't buy feed from the state
 there is n't enough
 some state middlemen come to buy from me
 i sell a little
 i am waiting
 i have plenty more at home
 on this morning he does n't sell much in <unk> either
 at closing time farmers <unk> out most of what they <unk> in
 a private market like this just is n't big enough to absorb all that business
 the <unk> of <unk> it seems will not quickly <unk> away
 state monopolies will keep on <unk> trade free prices or not until something else <unk> them
 polish agriculture will need a whole private network of procurement processing and distribution plus a new manufacturing industry to supply it with <unk> pesticides <unk> and feed
 the communists spent N years working to ensure that no such <unk> structures ever arose here
 building them now will require <unk> from the west and removal of political <unk> a job that solidarity has barely started
 but polish agriculture does <unk> one great asset already the private farmer
 we are dealing with real entrepreneurs says <unk> <unk> an economist who advises rural solidarity the union 's <unk> <unk>
 there are a lot of them and they have property
 polish peasants <unk> the <unk> were once a source of shame to orthodox communists
 now among communist reformers they are <unk> of envy
 food is the <unk> 's top priority the key to popular support
 as the chinese have shown and the soviets are learning family farms <unk> where <unk> fail
 ownership it seems is the best fertilizer
 the poles have had it all along
 poland 's N million small private farms cover N N of its <unk> land
 on it a quarter of the country 's N million people produce <unk> of its grain beef eggs and milk and <unk> of its fruit <unk> and potatoes
 like the roman catholic church the polish peasant is a <unk> of the nation
 try as they might the communists could neither replace nor break him
 and they did try
 a few miles past <unk> a <unk> road narrows to a track of sand and leads into <unk> a village of <unk> farms
 <unk> <unk> owns N acres in N scattered <unk>
 he grows <unk> and potatoes for a few <unk> five <unk> and N <unk>
 in <unk> <unk> and torn shoes he stands in his <unk> <unk> the ground with a look both <unk> and <unk>
 it 's bad soil he says
 until N it was good soil
 then the state put in a <unk> to supply the area with drinking water
 farmers lay down before the <unk>
 their protest was ignored
 the dam caused the water level to drop in <unk>
 <unk> <unk> <unk> and his <unk> <unk>
 he expected as much
 in his lifetime N years the communists brought electricity to his village and <unk> in drinking water from the <unk>
 no phones
 no gas
 we wanted them to build a road here he says
 they started and then abandoned it
 a <unk> his only <unk> equipment stands in front of the <unk>
 it 's russian
 good for nothing
 parts are a tragedy
 even if i had a lot of money i could n't buy what i need
 the farmer can say the same for coal cement saw <unk>
 in poland only N N of all investment goes toward making things farmers want in the west it is closer to N N
 the few big state farms take first crack at what does get made
 they use N N more fertilizer per <unk> twice the high-grade feed
 yet their best <unk> is that they produce N N of polish pork
 i 've heard from friends that state farms are subsidized mr. <unk> says as his wife <unk> sets some chairs out in the sun
 we have one near here
 there is a lot of waste
 a private farmer never <unk> anything
 the state quit <unk> peasants onto its subsidized farms over N years ago
 but it never did let up on the pressure
 until recently a farmer with no heir had to will the state his land to collect his pension
 the pension 's size still depends on how much produce he sells the state
 his <unk> of materials also did until the state could n't hold up its end of that bargain
 yet the state alone sells seeds and machines
 when supplies are short it often hands them over only in exchange for milk or grain
 a private farmer in poland is free to buy and sell land hire help decide what to grow and how to grow it
 he is free to invest in <unk> and to fail for lack of chicken wire
 he has plenty of freedom but no choices
 i 'm on my own land mr. <unk> says
 i do n't have to listen to what anybody tells me to do
 sometimes says his wife we 're happy about that
 by <unk> the peasant the communists have <unk> poland
 <unk> like <unk> exist in a desert of poor schools and few doctors
 farm income is N N below the average
 the young leave especially <unk> who wo n't milk <unk> by hand
 some men stay their best friend a bottle of <unk> but two million acres have gone <unk>
 without machines good farms ca n't get bigger
 so the potato crop once N million tons is down to N million
 meat consumption is at N 's level pork production at N 's milk output at N 's
 if a food crisis <unk> the communists a food revolution will make solidarity
 the potential is displayed along every road into warsaw row upon row of <unk> stretching out behind modern <unk> that <unk> their owners ' wealth
 <unk> are abundant and full of flavor in poland the <unk> and <unk> <unk> the state monopolies long broken
 grain milk and meat come next
 a private challenge to the <unk> <unk> industry will take more time and money than poland can spare although a <unk> or a local dairy can spring up fast
 poland makes no machinery for a plant on that scale
 solidarity wants it from the west
 maria <unk> one of its farm experts <unk> it on the line the world bank will be brought in to help us destroy the old system
 <unk> <unk> is destroying it now
 he <unk> pork
 a law went on the books in january that let him smoke <unk> without breeding pigs
 he <unk> in
 poland is short on enterprises not enterprise
 i pay a lot to the farmer and five times the state salary to my employees he says
 he is in warsaw to open a shop
 i hire transportation and my customers have fresh cold cuts every day
 i do n't subsidize anyone
 everyone around me lives well
 yes my prices are high
 if nobody buys i bring my prices down
 that 's the rule
 that 's the market
 mr. <unk> is making a fortune $ N a month he says
 he has bought some trendy western clothes and a green mercedes with an american flag in the window
 but the <unk> machines he picked up are N years old
 i do n't want expensive machines
 if the situation changes i 'll get stuck with them
 that 's politics
 by taking power in a deal with the peasant party 's <unk> communist <unk> solidarity has spooked the rural entrepreneur
 rural solidarity <unk> to no <unk> when solidarity leader <unk> <unk> accepted the peasants ' support
 it <unk> again in september when prime minister <unk> <unk> <unk> named a peasant party man as his agriculture minister
 both the peasants and rural solidarity are forming new political parties for farmers
 the peasants can make a credible case against solidarity that <unk> reform will drive millions from the land
 next spring the two will battle in local elections
 but until then and probably long afterward the communists ' <unk> of <unk> from the head of the dairy <unk> to the village bank manager will stay planted in the polish <unk>
 we know how to get from capitalism to socialism <unk> <unk> is saying one afternoon
 we do n't know how to get from socialism to capitalism
 he farms N acres in <unk> two miles from the soviet border in one of poland 's poorest places
 now he is mounting the steps of a <unk> building in a nearby village on a visit to the communist administrator the naczelnik
 many people in poland hope this government will break down says mr. <unk> who belongs to the local council and to rural solidarity
 that 's what the naczelnik counts on
 he is our most dangerous enemy
 every time he sees me he gets very nervous
 the farmer <unk> into the naczelnik 's office
 a thin man in a gray suit looks up from a newspaper
 mr. <unk> sits
 <unk> <unk> 's leg begins <unk> beneath his desk
 solidarity does n't care for the good of this region he says after a few <unk>
 they want to turn everything upside down in a week
 mr. <unk> here wants N acres used at the moment by a state farm
 he ca n't guarantee that he can use it any better
 i am ready at any moment to compete with a state farm
 the naczelnik <unk> his eyes
 what have you got
 not even a <unk>
 and you want to make <unk> baskets too
 i can do five things at once to be a businessman
 big business mr. <unk> <unk> in english
 the farmer stands to go
 the naczelnik stands too
 i care very much for this post he says
 eight years i 've had it
 a cultural center has been built shops
 suddenly i am not a comfortable man for solidarity
 i have accomplished too much
 they want to do more
 i wish them all the best
 the farmer leaves
 and the naczelnik <unk> his door
 the house approved a short-term spending bill to keep the government operating through nov. N and provide $ N billion in emergency funds to assist in the recovery from hurricane hugo and the california earthquake
 the N roll call vote reflected broad support for the disaster assistance but the cost to the treasury is sure to <unk> budget pressures this year and next under the gramm-rudman deficit reduction law
 by a <unk> N margin the chamber rejected an effort to waive gramm-rudman for purposes of addressing the two disasters and budget analysts estimate the increased appropriations will widen the fiscal N deficit by at least $ N billion unless offsetting spending cuts or new revenues are found by congress
 the budget impact will be greater still in fiscal N and the issue forced a confrontation between the appropriations committee leadership and budget committee chairman leon <unk> whose california district was at the center of the earthquake last week
 going to the well of the chamber mr. <unk> demanded the costs be fully counted
 his prominent role put him in the <unk> position of challenging the very committee members on whom his state will be most dependent in the months ahead
 we do not come to this house asking for any <unk> said the california democrat
 we do not intend to hide these costs from the american people
 the $ N billion package <unk> $ N million for <unk> disaster loans $ N billion in highway construction funds and $ N billion divided between general emergency assistance and a reserve to be available to president bush to meet unanticipated costs from the two disasters
 the funds are in addition to $ N billion appropriated last month to assist in the recovery from hugo bringing the total for the two disasters to nearly $ N billion in unanticipated spending
 because of the <unk> of gramm-rudman the immediate impact is relatively small
 but the appropriations set in motion spending that adds to an already grim budget picture for fiscal N
 within the appropriations process the situation is even more difficult since the costs will be counted against the share of funds to be allocated to those <unk> that recently have had the greatest difficulty in staying within the budget
 the underlying bill approved yesterday is required to keep the government operating past midnight tonight and this urgency has contributed to the speed and critics say mistakes that have accompanied the package of disaster assistance
 the hastily drafted measure could hurt california by requiring it to put up more matching funds for emergency highway assistance than otherwise would be required
 and the state 's delegation is fearful that the new funding will be counted against a separate $ N million in federal highway funds it would expect to receive under its normal allocation this year
 also the high price of san francisco real estate puts the state at odds with federal regulations more <unk> to the national average
 for example disaster loans which will go to small businesses and homeowners offer credit as low as N N in some cases
 but the san francisco delegation finds itself asking that the cap per household be lifted to $ N from $ N to assist the hard hit but often wealthy marina district
 the senate is expected to make some modifications today but both the white house and congress appear most anxious to speed final approval before tonight 's deadline
 administration pressure <unk> any effort to add to total funding and the senate changes are expected to be largely technical dealing with highway aid and lifting the ceiling on total small business administration loans to $ N billion to accommodate the increased activity expected
 yesterday 's floor action came as a house-senate conference approved a nearly $ N billion fiscal N military construction bill representing a N N reduction from last year and making severe cuts from pentagon requests for installations abroad
 an estimated $ N million is allocated to continue work in <unk>
 but all funding is cut for the philippines and projects in south korea are cut to $ N million or less than a sixth of the administration 's request
 closer to home the negotiators were more generous
 an estimated $ N million was set aside for military installations in the home state of north carolina rep. <unk> <unk> the house chairman
 and $ N million would go to projects in tennessee represented by his senate counterpart and fellow democrat sen. james <unk>
 texas and california are traditionally powerful within the conference but equally striking is the dominance of alaska pennsylvania and west virginia because of their power elsewhere in the appropriations process
 senate appropriations committee chairman robert byrd d. <unk> even added report language listing $ N million in projects he wants in the budget next year
 no individual illustrated this mix of power more yesterday than sen. daniel inouye d. hawaii who chairs the senate defense subcommittee
 in the final trading the house was <unk> on setting aside $ N million to carry out base closings ordered to begin in fiscal N
 but it gave ground to mr. inouye on a number of projects ranging from a $ N million parking garage here to a land transfer in hawaii to a provision to assist the <unk> indian tribe in washington state
 the tribe is one of the poorest in the pacific northwest
 mr. inouye who chairs the select committee on indian affairs used his power to move $ N from the air force to the bureau of indian affairs to assist in <unk> a <unk> base to accommodate a drug and alcohol rehabilitation center
 meanwhile house-senate negotiators have tentatively agreed on a $ N billion anti-drug and <unk> <unk> cutting other federal spending N N to pay for it
 a formal house-senate conference is expected to <unk> the accord later this week
 mobil corp. is preparing to slash the size of its work force in the u.s. possibly as soon as next month say individuals familiar with the company 's strategy
 the size of the cuts is n't known but they 'll be centered in the exploration and production division which is responsible for <unk> oil reserves drilling wells and pumping crude oil and natural gas
 employees have n't yet been notified
 sources said that meetings to discuss the staff reductions have been scheduled for friday at mobil offices in new orleans and denver
 this would be a second round of cuts by mobil which along with other oil producers and refiners reduced its work force by N N to N N during the mid-1980s as part of an industrywide <unk>
 mobil 's latest move could signal the beginning of further reductions by other oil companies in their domestic <unk> operations
 in yesterday 's third-quarter earnings report the company <unk> to a $ N million provision for restructuring costs involving u.s. exploration and production operations
 the report says that the restructuring will take place over a two-year period and will <unk> involve the transfer and termination of employees in our u.s. operations
 a company spokesman reached at his home last night would only say that there will be a public announcement of the reduction program by the end of the week
 most oil companies including mobil have been reporting lower third-quarter earnings largely as a result of lower earnings from chemicals as well as refining and marketing businesses
 individuals familiar with mobil 's strategy say that mobil is reducing its u.s. work force because of declining u.s. output
 yesterday mobil said domestic exploration and production operations had a $ N million loss in the third quarter while comparable foreign operations earned $ N million
 industrywide oil production in this country fell by N barrels a day to N million barrels in the first eight months of this year
 daily output is expected to decline by at least another N barrels next year
 some mobil executives were <unk> that a reference to the cutbacks was included in the earnings report before workers were notified
 one mobil executive said that the $ N million charge related to the action indicates a substantial number of people will be involved
 some will likely be offered severance packages while others will be transferred to overseas operations
 the justice department is in the process of trying to gain control over a law that federal judge david <unk> recently called a monster
 <unk> to say he was talking about rico
 with its recently revised guidelines for rico justice makes it clear that the law currently holds too many incentives for abuse by prosecutors
 the text of the new policy guidelines from the criminal division are <unk> nearby
 they strongly suggest that justice 's prosecutions of drexel burnham lambert michael <unk> and <unk> violated <unk> of fundamental fairness
 justice is attempting to avoid a <unk> of these tactics
 this amounts to an extraordinary <unk> of the tenure of new york mayoral candidate and former u.s. attorney rudolph giuliani who was more inclined to gathering <unk> than understanding markets
 the new guidelines limit the pretrial <unk> of assets of <unk> defendants and their investors clients bankers and others
 this follows earlier new guidelines from the tax division <unk> <unk> tax cases from <unk> as rico cases
 the forfeiture memo cited considerable criticism in the press because of a perception that pre-trial <unk> of assets is <unk> to a seizure of property without due process
 it told prosecutors not to seek <unk> if there are less <unk> alternatives such as bonds and in any case not to seek <unk> disproportionate to the defendant 's crime
 these changes come a <unk> late for <unk> the first <unk> securities firm
 it was forced into liquidation before trial when investors <unk> their funds after the government demanded a huge pre-trial asset forfeiture
 <unk> investors including <unk> & co. and the harvard <unk> made the rational decision to withdraw their money for the firm the liquidation was sentence first verdict later
 prosecutors wanted $ N million in forfeiture for alleged tax fraud of some $ N
 the experience of <unk> and <unk> of other <unk> cases against legitimate businesses taught drexel that a <unk> investment bank would be an <unk> bank
 drexel therefore agreed instead to an arrangement allowing it to plea to charges which the company is not in a position to dispute because of rico
 part of drexel 's plea was to cut mr. <unk> loose
 so after all the prosecutorial <unk> no one has established what if anything drexel did wrong
 so two <unk> for the new rules
 justice has finally recognized its employees ' abuses thanks largely to the demands for reform by former u.s. attorney in washington joseph <unk> who wants to salvage rico for real criminals
 but prosecutorial guidelines are effective only if someone at justice is willing and able to <unk> <unk> prosecutors
 judge <unk> of the appeals court in washington made this point at a <unk> institute conference last week in a remarkable speech titled rico the monster that <unk> <unk>
 he said <unk> is supposed to be a government of laws not of men and yet rico defenders tell us that we should rely on prosecutorial discretion to protect against <unk> of rico
 no prosecutorial guidelines observed or <unk> limit civil rico cases by plaintiffs for damages
 what now for <unk> officials drexel and mr. <unk>
 justice should review these cases to see what other prosecutorial abuses may have occurred
 we suspect that justice will some day agree that only the complete repeal of rico can guarantee an end to <unk> in its name
 the famous teddy z which cbs inc. had hoped would emerge as one of the few bright spots in its otherwise lackluster prime-time schedule is n't turning out to be the hit the network <unk>
 although the half-hour situation comedy seen <unk> at N p.m eastern and pacific time is n't a candidate for cancellation it is slated for <unk> and by next week the network may announce teddy z is moving to N p.m. from its N time <unk> replacing the people next door which became the first network show to be canceled this season
 teddy z which centers on a <unk> <unk> agent at a hollywood talent agency was scheduled in the <unk> N p.m. <unk> to follow murphy brown a situation comedy about a television news magazine <unk> <unk> <unk>
 teddy z was boosted by favorable reviews and a <unk> promotional <unk> contest with k mart corp
 it was <unk> on cable services including <unk> <unk> at night and <unk> and <unk> as the no. <unk> show for the week
 but five weeks after the premiere the series has <unk>
 in figures released yesterday by a.c. nielsen co teddy z produced by the television unit of columbia pictures entertainment inc. was in <unk> place
 worse every week it <unk> audience <unk> from murphy brown and <unk> on cbs picks up again once teddy z is over and is followed by designing women
 there is strong indication that teddy z is not compatible with the shows it is surrounding said john <unk> senior vice president at j. walter thompson co. a unit of wpp group plc
 last week murphy brown was viewed by N N of the available television households while the number dropped to N N for teddy z and rose to N N for designing women
 cbs executives said the program is also slated to <unk> some plot changes
 <unk> <unk> wilson for example included the lead character 's <unk> family in the cast but that is not the right focus anymore said one cbs executive
 instead cbs hopes the show will increasingly highlight the talent agency and the business of being an agent
 we 're making adjustments on the show yes but nothing radical said craig nelson the story consultant on teddy z
 but we hope to keep a balance between the office and the family
 the opening credits are being <unk> mr. nelson said to make teddy 's situation clear to viewers who have not been with us since the beginning
 those viewers find the show confusing
 the stock market 's woes spooked currency traders but prompted a quiet little party among bond investors
 prices of long-term treasury bonds moved <unk> to the stock market as investors sought safety amid growing evidence the economy is weakening
 but the shaky economic outlook and the volatile stock market forced the dollar lower against major currencies
 the bond market got an early boost from the <unk> sell-off in stocks
 that rout was triggered by ual corp. 's announcement late monday that the proposed <unk> buy-out had collapsed
 the <unk> decline in the dow jones industrial average during the morning trading session touched off a flight to safety that saw investors shifting assets from stocks to treasury bonds
 at its strongest the treasury 's benchmark 30-year bond rose more than a point or more than $ N for each $ N face amount
 as the stock market recovered some of its losses later in the day bond prices retreated
 but analysts said the combination of a second consecutive decline in monthly <unk> orders and lackluster mid-october auto sales helped <unk> up the treasury market
 a slowing economy and the implication of lower inflation and interest rates tend to bolster bond prices
 on the surface the decline in september durable goods only N N did n't appear very weak
 but orders for <unk> capital goods a <unk> of future plant and equipment spending were off N N after falling N N in august
 auto makers reported that mid-october sales were running at an annual rate of about N million units far less than the N million units analysts had expected
 taken together the <unk> and <unk> reports confirmed perceptions that the economy is <unk> down
 although analysts do n't expect the federal reserve to ease credit policy soon reports like those yesterday help build the case for lower rates
 now bond investors are looking toward next week 's report from national purchasing managers and the government 's october employment report as potentially prompting the fed to lower rates
 the stock market 's <unk> drop frightened foreign investors who quickly bid the dollar lower
 but as stock prices recovered some of the early losses so did the u.s. currency
 although dealers said investors are becoming more bearish toward the dollar in the wake of the stock market 's recent troubles and as the u.s. economy <unk> the dollar ended down only modestly
 in major market activity bond prices rose
 the treasury 's benchmark 30-year bond gained nearly half a point or about $ N for each $ N face amount
 the yield on the issue slipped to N N
 the dollar retreated
 in late new york trading the currency was quoted at N marks and N yen compared with N marks and N yen monday
 <unk> of the rich and famous may be visiting some new <unk> in the near future
 judge robert maximum bob <unk> sentenced jim bakker to N years in the big house yesterday while a beverly hills judge <unk> away <unk> <unk> <unk> for three days plus N hours of work with homeless women
 miss <unk> <unk> her <unk> fear of <unk> <unk>
 mr. bakker said he was guilty of <unk> but not fraud
 we can only wonder who will be the next lost soul chosen to be america 's celebrity <unk>
 boeing co. said trans european airways ordered a dozen N <unk> valued at a total of about $ N million
 the N and N series aircraft will be <unk> by engines jointly produced by general electric co. and <unk> of france
 currently boeing has a backlog of about $ N billion but production has been slowed by a strike of N machinists which entered its <unk> day today
 last week a mediator failed to <unk> talks between the company and the <unk> who have rejected a pay raise offer of N N over three years
 when the good <unk> assigned to <unk> <unk> over the <unk> of <unk> <unk> many years ago in <unk> she <unk> her with high e <unk> <unk> <unk> clean <unk> and <unk> <unk> <unk> as magic dust
 maybe she could drop by at the metropolitan opera and bring along what she <unk> a little <unk> a few <unk> of <unk> skills and a nice <unk>
 cast as violetta <unk> in a new production of <unk> 's la <unk> ms. <unk> last week did many things <unk> and others not so well
 it is n't every day that we hear a violetta who can <unk> the first act 's <unk> music with all the little notes perfectly pitched and neatly <unk> together
 never once did she <unk> for air or <unk> her <unk>
 she was as cool as a <unk>
 but as you may know things are not going well for violetta
 there are times when she must show a little <unk>
 she has <unk> after all and a <unk> <unk> and though a successful <unk> she is just about <unk> at the bank
 worse her walls move all the time at least in this production
 just when ms. <unk> sat down away from her guests to cough in private her salon began sliding around the stage her country <unk> also has a very active set of <unk>
 hold on to those funny <unk> you wanted to caution her as the sets started to roll around once more
 this is the most moving <unk> i 've ever seen
 normally violetta can go about her business without wondering whether she is moving as <unk> as the <unk>
 but this is a production designed and directed by franco <unk> and paid for by <unk> <unk> who has no need to count her pennies unlike violetta down to N louis at the opera 's end
 seeing all those millions in action i was just so relieved that ms. <unk> <unk> thing that she is did n't <unk> <unk> herself in a <unk>
 large and <unk> <unk> is another addition to the met 's growing stock of <unk> productions mostly by mr. <unk>
 they have a life of their own and can be counted on to look good and perform whenever a cast is n't up to either
 if a strike ever hits the met the company can still sell tickets to his <unk> and <unk> and boom out <unk> of another era
 last week 's <unk> audience gave a bigger hand to a greenhouse than to the <unk> neil <unk> who sang an <unk> inside it
 <unk> <unk> as a <unk> student <unk> around on <unk> mr. <unk> hardly seemed the fellow to catch a fancy <unk> 's eye
 i wish he could wear <unk> in his voice
 not nearly in his best form the <unk> made <unk> sounds along with his usual <unk> hand gestures
 maybe mr. <unk> was too busy <unk> his set to work with his naturally <unk> <unk>
 or is it that mr. <unk> is getting a little tired of <unk>
 this is the same production already seen in paris and <unk> and its <unk> ideas echo the movie he made with <unk> <unk> and <unk> <unk>
 decades earlier maria <unk> sang the dallas staging that introduced the <unk> idea
 in an <unk> that drives <unk> <unk> <unk> violetta lies dying in bed during the prelude rising <unk> when then she <unk> the great parties she used to throw
 the entire opera is her dream
 given the prelude 's <unk> connections with the music preceding the last act the idea is more <unk> than bad though as luck would have it for a change there actually was a <unk> in the pit whom we wanted to hear carlos <unk> trying to make <unk> music while we all waited for the bed <unk> to stir into song
 once she did so the <unk> german <unk> with the shaky nerves who so often <unk> offered a <unk> flowing performance that in its <unk> and <unk> approach was totally at odds with the staging
 of <unk> moments there were nearly none and whether this has to do with mr. <unk> or the wooden cast is hard to say
 in any event ms. <unk> barely <unk> violetta 's <unk> in her long meeting with <unk> <unk> who as <unk> seemed fairly desperate trying to <unk> an <unk> <unk> into his heavy <unk> <unk>
 di <unk> was n't much of an <unk> for <unk> southern france
 perhaps mr. <unk> could let him substitute one of the <unk> about dead children and dark nights from <unk> 's <unk>
 speaking of dark nights the met 's <unk> neighbor the new york city opera has canceled its season after failing to reach a settlement with its musicians who wanted pay parity with the the chicago <unk> and san francisco opera <unk>
 well they can now go and <unk> there
 good luck
 common sense suggests that people who play for a company that charges about half what those houses do for a ticket are not in the same market
 the cancellation <unk> poorly for a company already <unk> with an identity crisis <unk> by the retirement of general director beverly <unk> and the amazing appointment of christopher <unk> as her successor after his years of <unk> <unk> in the pit
 as the met discovered years ago following a <unk> december opening it is nearly impossible to <unk> subscribers once they have had time to <unk> their entertainment choices
 i for instance was perfectly happy at avery fisher hall the other day listening to <unk> <unk> conduct the <unk> per <unk> a strange piece written by N different italian <unk> to honor <unk> after his death in N
 each of them contributed a section at the <unk> of <unk> who was nearly driven to his own early grave by the troublesome arrangements
 for all that the piece landed <unk> in a dusty <unk> after bologna refused to supply a chorus and <unk>
 we know <unk> 's own contribution was mighty impressive since the <unk> <unk> me was <unk> for the <unk> <unk> of which he wrote every note himself having learned his lesson
 the surprising discovery of the evening at fisher was the high standard achieved by some of his <unk> colleagues notably <unk> <unk>
 his <unk> <unk> was smoothly sung by bass brian matthews
 also <unk> <unk> 's <unk> <unk> was <unk> scored and <unk> put across by mr. <unk>
 he brought along his <unk> <unk> <unk> chorus and even better the <unk> <unk> <unk> <unk>
 she was in her most <unk> <unk> voice
 maybe she could step across the plaza to the met where she has still to make her debut and help out her <unk> <unk> by <unk> the slow parts of <unk>
 the tokyo international film festival was no match for the <unk> film festival in terms of prestige but it made its mark it awarded the largest cash prize of any film festival to young and first-time film makers
 at this year 's event the third since the festival got under way in N <unk> <unk> of <unk> <unk> won the <unk> gold prize of $ N for <unk> old woman
 by comparison <unk> now gives $ N to the winner of its young director 's award
 says director george miller mad max i think the tokyo festival may become known as a major attraction for young directors because of the money as well as the recognition
 there are <unk>
 vincent <unk> a <unk> for the french magazine <unk> says of the recently ended tokyo festival no one makes deals and most of the films have been seen before at other <unk>
 belgium decided that investors who demand the delivery of their securities when they buy shares or domestic bonds will have to pay an additional N belgian francs about $ N for each transaction bringing the total fee to N francs
 while no figures exist it is thought that many small investors in belgium store securities privately in some cases to avoid paying high <unk> taxes
 the law could <unk> to the advantage of brokers and banks who incur high administrative costs to deliver securities to investors
 japan is considering giving aid to hungary and poland to support their recent political reforms a spokesman for the foreign ministry said
 this is the first time if we decide to do so for japan to extend aid of this kind to eastern european countries the spokesman said
 he said prime minister <unk> <unk> also is studying the possibility of a visit to the two eastern bloc nations and to western europe next january
 drugs were a major issue in two days of talks between french president <unk> mitterrand and spanish prime minister <unk> gonzalez
 i demand the <unk> <unk> in the fight against drug traffickers president mitterrand said after the meeting in <unk> spain
 he added banks must open their books
 the leaders ' talks <unk> with a meeting in madrid of anti-drug experts from the u.s. france italy spain peru <unk> and colombia
 that conference which began yesterday was expected to cover such matters as police training and <unk> agreements spanish officials said
 three soviet government officials the ministers of <unk> of foreign economic relations and of <unk> building will visit <unk> next month for talks iran 's official news agency reported
 under an agreement signed last june the soviets will help iran in oil exploration and other areas in return for exports of iranian natural gas
 and in paris <unk> <unk> iran 's vice minister of foreign affairs began a <unk> visit to discuss such matters as compensation to french enterprises for contracts broken by the <unk> regime
 <unk> co. a japanese <unk> maker has developed a toilet that can check the user 's health
 a <unk> spokesman said the toilet not only tests blood pressure <unk> and <unk> it also stores the data for up to N days
 nippon telegraph & telephone corp. and <unk> <unk> electronics are involved with <unk> 's new product which will go on the market in about two years time
 it will be very expensive the spokesman warned
 the price can not be less than $ N
 since mexican president carlos salinas de <unk> took office last december special agents have arrested more than N federal employees on charges ranging from <unk> to tax evasion
 <unk> <unk> <unk> chief prosecutor at the attorney general 's office said that an estimated $ N million in government property and unpaid taxes have been recovered in the campaign to root out official corruption
 mr. <unk> 's office will reportedly issue warrants during the next six months for the arrest of another N federal employees
 those employees are suspected of illegally gaining an estimated $ N million the prosecutor was quoted as saying by the <unk> news service
 he added that federal agents hope to recover at least half that amount
 the rest will probably not be <unk> either because the statute of limitations expired or because many prefer to spend additional time in jail rather than return the money the prosecutor said
 the united nations which is distributing farm tools to returning refugees in namibia is <unk> a plan to hand out <unk> because of the <unk> political climate during <unk> for independence from south africa
 the decision to distribute <unk> at this time which could be used as weapons is under review said a u.n. spokesman
 sources close to the family of <unk> prime minister <unk> <unk> said she is expecting a second child probably early next year
 cray research inc. forecast that N will be a <unk> year for its supercomputer line
 in what has become a series of <unk> announcements the world 's largest maker of <unk> said that after reviewing its order prospects we have concluded it is prudent to plan for next year on the assumption that revenue again will be flat
 cray jolted the market in july when it slashed revenue and earnings projections for this year citing a slowing economy that has delayed orders from government as well as commercial customers
 the company made its N projection an unusual event for cray in announcing improved net income for the third quarter
 cray said it earned $ N million or $ N a share up N N from $ N million or N cents a share a year ago
 revenue gained N N to $ N million from $ N million
 for the nine months earnings totaled $ N million or $ N a share down N N from $ N million or $ N a share a year earlier
 revenue was $ N million a N N gain from $ N million
 cray made its announcement after the stock market closed
 in new york stock exchange composite trading yesterday cray closed down $ N at $ N
 cray said its order backlog at sept. N was $ N million down $ N million from june N
 <unk> <unk> president said the company did well in the quarter as far as revenues and earnings are concerned and not quite as well in terms of signing orders
 as for the current period mr. <unk> said we anticipate that fourth-quarter revenue and earnings will be substantially greater than any of the preceding three quarters but not up to the record levels of last year 's fourth quarter when cray earned $ N million or $ N a share
 he added that the company expects strong operating profit for the year but at a level significantly lower than last year
 he said N 's net income could be N N to N N of revenue which assuming current expectations would be N N to N N below N 's level
 last year cray earned $ N million or $ N a share on revenue of $ N million
 next year looks dismal said analyst paul <unk> of robert <unk> & co. milwaukee
 noting that cray does n't have a <unk> supercomputer to compete with the likes of convex computer corp. and international business machines corp. mr. <unk> said such a machine would be necessary to get things back on line here
 cray has indicated it will decide on whether to build such a machine before year end
 johnson & johnson reported a N N rise in third-quarter net income on a N N sales increase results that were driven particularly by new products including pharmaceuticals and the company 's professional operations
 net for the new <unk> n.j. maker of health-care products climbed to $ N million or N cents a share from $ N million or N cents a share in the year-earlier period
 sales rose to $ N billion from $ N billion
 the year-ago per-share earnings are adjusted to reflect a 2-for-1 stock split last may
 in a statement ralph s. larsen chairman and chief executive officer said the company was pleased with its third-quarter sales performance especially in light of the extremely competitive environment in domestic consumer markets and the negative impact of unfavorable exchange rates this quarter
 david j. <unk> an industry analyst for painewebber group inc. said johnson & johnson 's results slightly exceeded his expectations for the third quarter
 in new york stock exchange composite trading yesterday johnson & johnson shares fell N cents to $ N
 mr. larsen noted substantial sales growth for the recently introduced <unk> disposable contact lens and <unk> a <unk> <unk>
 <unk> used by dialysis patients who are <unk> and <unk> a <unk> drug did well overseas he said
 despite health-care cost controls and programs to hold down inventory the professional division which makes products including <unk> and surgical <unk> equipment achieved solid growth johnson & johnson said
 but domestic consumer sales slipped N N for the quarter to $ N million from $ N million
 the company cited softness in the retail health and beauty aids category as well as the intense competition in the company 's <unk> protection product line
 overseas sales were stronger <unk> because of a rebound in brazil where economic turmoil had hurt year-earlier results johnson & johnson said
 mr. <unk> of painewebber said the company 's sales pace has been picking up largely because the effect of unfavorable exchange rates has been easing a pattern continuing this quarter
 he cautioned however that a tough <unk> comparison may slow the company 's earnings growth for the current quarter
 for last year 's fourth quarter the company 's tax rate was less than N N he said
 while the third period contained no major surprises mr. <unk> said the results show how sensitive the <unk> can be to developments in a single country such as brazil
 he also questioned whether recent gains in that country can be sustained
 the following issues were recently filed with the securities and exchange commission
 <unk> <unk> corp. proposed offering of liquid yield option notes via merrill lynch capital markets
 columbia gas system inc. shelf offering of up to $ N million of debentures
 <unk> initial offering of N common shares of which N shares are to be sold by the company and N by holders via alex brown & sons inc. and <unk> <unk> & <unk>
 <unk> systems inc. proposed offering of N common shares to be sold by holders
 western gas system inc. initial offering of N common shares of which N shares will be sold by the company and N by a holder via prudential-bache capital funding smith barney harris upham & co. and <unk> <unk> inc
 insiders have been selling shares in dun & bradstreet corp. the huge <unk> concern
 six top executives at the new york-based company sold shares in august and september
 four of those insiders sold more than half their holdings
 the stock in new york stock exchange composite trading yesterday closed at $ N up N cents well below the $ N to $ N a share the insiders received for their shares
 much of the recent slide in dun & bradstreet 's stock came late last week after negative comments by analysts at merrill lynch & co. and goldman sachs & co
 a company spokesman declined to comment and said that the officials who sold shares would n't comment
 one of dun & bradstreet 's chief businesses is <unk> reports that rate the <unk> of millions of american companies
 it also owns moody 's investors service which <unk> <unk> to bonds and preferred stock a.c. nielsen known for its data on <unk> patterns and <unk> publisher <unk>
 last march this newspaper reported on widespread allegations that the company <unk> many customers into purchasing more <unk> services than needed
 in june the company agreed to settle for $ N million several lawsuits related to its sales practices without admitting or denying the charges
 an investigation by u.s. postal inspectors is continuing
 among the insider sales charles <unk> the firm 's general counsel sold N shares in august representing N N of his holdings in the company
 he received $ N for the shares according to insider filings with the securities and exchange commission
 john c. holt an executive vice president and dun & bradstreet director sold N shares on aug. N for $ N filings show
 he retains N shares
 william <unk> <unk> the firm 's secretary and associate general counsel sold N shares in two separate sales in september for $ N
 the shares represented N N of his dun & bradstreet holdings according to the company
 the other insiders all senior or executive vice presidents sold between N and N shares representing between N N and N N of their holdings according to sec filings
 dun & bradstreet 's stock price began its recent <unk> downward last wednesday when the company reported third-quarter results
 net income rose to N cents a share from N cents a share the year-earlier period
 but analysts focused more on the drop in revenue to $ N billion from $ N billion reflecting in part a continuing drop in sales of the controversial <unk> services
 last thursday merrill lynch securities analyst peter <unk> downgraded his investment rating on the firm according to dow jones professional investors report citing a slowdown in the <unk> business
 he cut his rating to a short-term hold from <unk> performer and reduced his N earnings estimate
 mr. <unk> continues to rank the stock a <unk> buy
 the stock slid $ N on more than four times average daily volume
 the stock received another blow on friday when goldman sachs analyst eric <unk> advised that investors with short-term <unk> should avoid dun & bradstreet stock because it is unlikely to outperform the market
 the stock fell N cents
 insider selling is not unusual at dun & bradstreet in fact the recent pace of selling is just about average for the company according to figures compiled by <unk> a north miami fla. firm that specializes in tracking and analyzing sec insider filings
 but previous sales have often been sales of shares purchased through the exercise of stock options and sold six months later as soon as allowed said robert <unk> president of <unk>
 the most recent sales do n't appear to be <unk> he said
 <unk> profits
 michael a. miles chief executive officer of philip morris <unk> kraft general foods unit bought N shares of the company on sept. N for $ N each
 the $ N purchase raised his holdings to N shares
 the stock split <unk> on oct. N
 mr. miles 's newly purchased shares are now worth $ N based on philip morris 's closing price of $ N up N cents in composite trading on the new york stock exchange yesterday
 a spokesman for mr. miles said he bought the shares because he felt they were a good investment
 the executive made his purchases shortly before being named to his current chief executive officer 's position formerly he was kraft general foods ' chief operating officer
 shedding <unk>
 two directors of <unk> gold inc. a <unk> wash. <unk> mining firm sold most of their holdings in the company aug. N
 john j. <unk> sold N shares for $ N each leaving himself with a stake of N shares
 he received $ N
 peter <unk> sold N shares all of his holdings for $ N a share or $ N
 gary <unk> corporate counsel for the company said the directors sold for personal financial reasons
 both insiders declined to comment
 on wall street merrill lynch & co. analyst daniel a. <unk> rates the stock neutral and drexel burnham lambert inc. lists it as a buy
 <unk> gold has been on a lot of recommended lists as a junior growth company stepping into the big <unk> says <unk> <unk> metals analyst at <unk> & <unk> a new york investment firm
 it 's a good company and growing there 's nothing that would warrant that it be sold
 yesterday in composite trading on the american stock exchange <unk> closed at $ N up N cents
 <unk> <unk> used to hold the <unk> belief that it was more perfect to exist than not to exist and that to exist as a matter of necessity was most perfect of all
 now only god exists as a matter of <unk> necessity it is built into his nature
 but since the time of <unk> we humans could at least claim a sort of natural necessity for the existence of our <unk>
 are n't we after all the inevitable culmination of that <unk> <unk> called evolution
 if <unk> and natural selection slowly but surely give rise to more and more advanced forms of life then it was only a matter of <unk> before <unk> beings <unk> with reason <unk> and taste <unk> onto the scene
 now along comes stephen jay gould to <unk> this <unk> illusion
 his credentials are excellent for the task
 star <unk> at harvard author of numerous popular books on science and <unk> of the <unk> lobby mr. gould is perhaps the world 's most <unk> <unk> <unk>
 yet he puts quite a twist on the old story handed down from <unk>
 for him natural history is anything but a gradual predictable march from <unk> <unk> to human <unk> it is a <unk> chaotic affair in which the emergence of a <unk> <unk> was a <unk> shot
 in wonderful life the burgess <unk> and the nature of history norton N pages $ N mr. gould makes his case for the <unk> <unk> of human evolution
 the argument turns on the discovery in N of an amazing fossil <unk> high in the canadian <unk> called the burgess <unk>
 here in an area smaller than a city block lay buried <unk> of <unk> weird creatures that had <unk> more than N million years ago creatures whose <unk> variety far exceeded what can be found in all the world 's <unk> today
 such an embarrassment of <unk> was <unk> to the man who discovered the burgess <unk> one charles <unk> <unk>
 the received <unk> wisdom of the day said that animals living so long ago must be simple in design limited in scope and <unk> to contemporary <unk>
 <unk> the <unk> <unk> <unk> hypothetical <unk> from the burgess <unk> in such a way that they could be <unk> into familiar categories
 it was not until the early 1970s that cambridge prof. harry whittington and two sharp graduate students began to publish a <unk> of the burgess <unk>
 by making <unk> <unk> about how the <unk> and distorted fossil remains <unk> to <unk> structures this <unk> was able to piece together a series of <unk> <unk> quite unlike anything currently on the planet
 one was so <unk> in appearance it was dubbed <unk>
 would that mr. gould 's minute <unk> of these creatures was always so <unk>
 a good deal of the book is boring particularly the endless <unk> to high and pop culture and the frequent jokes <unk> the text
 these turns do not provide sufficient relief from sentences like most modern <unk> have six <unk> <unk> on the <unk>
 interest picks up though when mr. gould gets around to discussing the meaning of the burgess <unk> for the theory of evolution
 not long after the appearance of life <unk> there was an explosive proliferation in the number of animal designs seen on the earth
 the vast majority of them however were wiped out by a succession of environmental <unk> that were too sudden and catastrophic for the normal rules of natural selection to operate
 consequently the <unk> process was like a <unk> in which each group held a ticket unrelated to its <unk> <unk>
 so much for survival of the <unk>
 so much too for the notion that we humans <unk> in the <unk> struggle by <unk> big brains
 our <unk> <unk> <unk> out through the <unk> impact that did in the <unk> because they were small not smart
 if anyone has difficulty <unk> a world in which history went <unk> on without us mr. gould <unk> several
 in one birds are the dominant <unk> in another the <unk> <unk> with little <unk>
 back when the burgess <unk> were <unk> it seems human <unk> hopes hung on the survival of a little worm with a <unk> called <unk>
 mr. gould finds this oddly <unk> like an <unk> of old he views our <unk> as a source of both freedom and <unk> moral responsibility
 i by contrast can not help feeling that if some other <unk> from the burgess <unk> had survived instead beings at once <unk> and less <unk> than <unk> <unk> might have eventually gained <unk> dominion
 but even if no <unk> life had <unk> here at all the universe is a big place and given the right conditions sympathetic to creating some form of life
 surely at some other <unk> address a <unk> <unk> would have risen out of the <unk> to explain why <unk> speaking it is indeed a wonderful life
 mr. holt is a columnist for the literary review in london
 the justice department scrambled to play down the significance of its new guidelines concerning prosecutions under the federal racketeering law
 the guidelines were distributed to u.s. attorneys last summer but were disclosed for the first time by press reports this week
 they discourage prosecutors under certain circumstances from seeking court orders <unk> the assets of racketeering defendants prior to trial
 but david runkel chief justice department spokesman said the guidelines are a <unk> and a <unk> far more than a new direction
 use of the <unk> influenced and corrupt organizations law against white-collar defendants as opposed to alleged <unk> figures has come under attack from some defense lawyers and legal scholars
 critics have complained that the law unfairly strips defendants of assets before a jury <unk> they have committed a crime and that aggressive use of the forfeiture provisions can <unk> corporate defendants or force them into unfavorable plea bargains
 in the new guidelines the justice department says that in attempting to freeze disputed assets before trial the government will not seek to disrupt the normal legitimate business activities of the defendant and will not seek to take from third parties assets <unk> transferred to them
 the guidelines also state the government 's policy is not to seek the <unk> forfeiture permissible under the law where that forfeiture would be disproportionate to the defendant 's crime
 another provision <unk> certain limits on when prosecutors may use <unk> charges as a basis for bringing a racketeering case
 mr. runkel declined to speculate on whether the guidelines would curb racketeering prosecutions against corporate defendants
 the impact if there is any will be impossible to judge ahead of time because the decision whether to use racketeering charges is made in individual cases by justice department officials in washington he said
 in a memorandum describing the guidelines assistant attorney general edward dennis jr. said that government efforts to freeze defendants ' assets pending racketeering prosecutions have been the subject of considerable criticism in the press
 but mr. runkel said the government is n't backing off on these kinds of matters at all
 california legislators searching for ways to pay for the $ N billion to $ N billion in damages from last week 's earthquake are laying the <unk> for a temporary increase in the state 's sales tax
 the talk of a sales tax rise follows a <unk> from congress on the question of how much the federal government is willing to spend to aid in california 's earthquake relief efforts
 the state had sought as much as $ N billion in relief but yesterday the house approved a more general <unk> measure calling for $ N billion in aid the bulk of which would go to california with an unspecified amount going to regions affected by hurricane hugo
 that leaves the state roughly $ N billion to $ N billion short
 a sales tax increase appears to be the fastest and <unk> to raise funds in a hurry
 according to the state department of finance a <unk> increase in the state 's <unk> per dollar sales tax could raise $ N billion
 <unk> brown speaker of california 's assembly said that gov. george deukmejian has agreed to schedule a special session of the legislature within two weeks
 california 's so-called <unk> limit effectively prevents the state from spending new tax money and so drastically limits its options in an emergency
 both mr. brown the state 's most influential legislator and gov. deukmejian favor a temporary sales tax increase should more money be needed than the state can raise from existing sources and the federal government
 according to a spokesman the governor is also studying the possibility of raising state gasoline taxes
 mr. brown meanwhile believes only one tax will be <unk> and it will be a <unk> sales tax increase said chuck <unk> an aide
 one immediate source of money is an emergency fund set up by gov. deukmejian
 the fund has about $ N billion and is set up to handle precisely the kind of emergency the state faces said tom <unk> the governor 's deputy press secretary
 but the fund 's size is disputed by mr. brown 's office which estimates the fund holds from $ N million to $ N million
 moreover an aide to mr. brown said gov. deukmejian has expressed a desire not to spend all the reserve on this
 to push through a sales tax increase however the state will have to suspend the <unk> limit citing an emergency
 and then it will be required to lower taxes by a corresponding amount during a three-year period after the temporary tax increase ends said <unk> katz assistant director of the state department of finance
 a sales tax increase would require two-thirds approval in both houses of the state 's legislature
 but observers expect broad support
 if there 's an emergency and there are n't sufficient funds from elsewhere i think the attitude will be supportive said kirk west president of the california chamber of commerce
 but others think property owners ought to pay a higher portion of the state 's earthquake relief <unk>
 since the late 1970s california property owners have benefited from a tax <unk> as a result of a state ballot initiative known as proposition N
 the state could also increase gasoline taxes every one penny increase in the tax would yield $ N million a month
 but gov. deukmejian and others are reluctant to do anything to harm the state 's chances of sharply raising gasoline taxes on a permanent basis
 to raise more highway funds a measure to double the state 's <unk> a <unk> tax over five years is set to appear on the state 's june election ballot
 but some fear imposing a temporary gasoline tax increase in the meantime could undercut support among voters for the measure
 not everyone is convinced the state must raise new revenue to meet its earthquake needs
 it 's possible though not probable that the state could get by with its existing resources and federal help said <unk> <unk> chairman of the state senate 's transportation committee
 separately two men injured in last week 's <unk> freeway collapse in oakland began a legal battle against the state over whether officials adequately <unk> warnings about the structure 's safety
 the claims which were filed with the state board of control but will probably end up in court are the first arising out of the collapse of the so-called cypress structure <unk>
 the men can defeat <unk> that states often <unk> in court by showing that officials knew or should have known that design of the structure was defective and that they failed to make reasonable changes
 a board of control spokesman said the board had not seen the claim and declined to comment
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 exxon capital corp. $ N million of N N N notes due nov. N N priced at N to yield N N
 the notes which are noncallable were priced at a spread of N basis points above the treasury 's 10-year note
 rated triple-a by both moody 's investors service inc. and standard & poor 's corp. the issue will be sold through salomon brothers inc
 citicorp $ N million of N N N notes due nov. N N priced at N to yield N N
 the noncallable issue was priced at a spread of N basis points above the treasury 's seven-year note
 rated single-a-1 by moody 's and double-a by s&p the issue will be sold through salomon brothers
 <unk> 's <unk> inc. $ N million of N N N subordinated notes due nov. N N priced at N to yield N N
 the noncallable issue was priced at a spread of N basis points above the treasury 's 10-year note
 rated single-a-3 by moody 's and <unk> by s&p the issue will be sold through underwriters led by morgan stanley & co
 xerox corp. $ N million of N N N notes due nov. N N priced at N to yield N N
 the noncallable issue was priced to yield N basis points above the treasury 's <unk> note
 rated single-a-2 by moody 's and <unk> by s&p the issue will be sold through underwriters led by salomon brothers
 american general finance corp. $ N million of N N notes due oct. N N through bear stearns & co. being offered at a price of N to yield N N
 the noncallable issue which has a one-time put oct. N N was priced at a spread of N basis points above the treasury 's 10-year note
 the issue is rated single-a-1 by moody 's and <unk> by s&p
 baltimore gas & electric co. $ N million of first and refunding mortgage bonds due oct. N N through shearson lehman hutton inc. offered at par to yield N N
 the noncallable issue is rated <unk> by moody 's and <unk> by s&p
 it was priced at a spread of N basis points above the treasury 's 10-year note
 massachusetts $ N million of general obligation bonds consolidated loan of N series d due N through a goldman sachs & co. group
 the insured bonds rated triple-a by moody 's and s&p were priced to yield from N N in N to N N in N
 <unk> county school district fla. $ N million of school district general obligation bonds series N due N and N tentatively priced by a first boston corp. group to yield from N N in N to N N in N
 there are $ N million of N N N term bonds due N priced to yield N N
 serial bonds are priced to yield to N N in N
 the bonds are rated single-a-1 by moody 's and <unk> by s&p
 <unk> city redevelopment financing authority calif. $ N million of revenue bonds series N tentatively priced by a stone & <unk> group
 the issue includes $ N million of insured senior <unk> bonds
 these consist of current interest bonds due N N and N and capital appreciation bonds due N and N tentatively priced to yield from N N in N to N N in N
 bonds due N N and N are n't being formally reoffered
 there are also $ N million of uninsured subordinate <unk> bonds due dec. N N and dec. N N
 there are $ N of N N N bonds priced at par and due N and $ N of N N bonds priced at par and due N
 the insured bonds are rated triple-a by moody 's and s&p
 the uninsured subordinate <unk> bonds are n't rated according to the lead underwriter
 west virginia <unk> economic development and tourism authority $ N million of parkway revenue bonds series N with current interest bonds due N and N and capital appreciation bonds due N tentatively priced by a painewebber inc. group to yield from N N in N to N N in N
 there are $ N of N N N bonds priced at N N to yield N N in N
 current interest serial bonds are tentatively priced to yield to N N in N
 capital appreciation bonds are priced to yield to maturity from N N in N to N N in N and N
 the bonds are insured and rated triple-a by moody 's and s&p
 connecticut housing finance authority $ N million of housing mortgage revenue bonds priced by a painewebber inc. group
 the $ N million of series b bonds which are n't subject to the alternative minimum tax were priced at par to yield from N N in N to N N in N
 meanwhile the $ N million of series c bonds which are <unk> to the alternative minimum tax were priced at par to yield from N N in N to N N to N
 the issue is expected to receive a double-a rating from moody 's the underwriter said
 an s&p rating of <unk> has already been confirmed
 montgomery county md. $ N million of general obligation series b consolidated public improvement bonds of N through a manufacturers hanover trust co. group
 the bonds rated triple-a by moody 's and s&p were priced to yield from N N in N to N N in N to N
 federal home loan mortgage corp. $ N million of remic mortgage securities being offered by prudential-bache capital funding inc
 there were no details available on the pricing of the issue freddie mac 's series N
 the issue is backed by freddie mac N N N securities
 <unk> co japan two-part $ N million issue of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par
 european portion of $ N million via yamaichi international europe ltd
 asian portion of $ N million via <unk> securities europe ltd
 each $ N bond carries one warrant exercisable from nov. N N through oct. N N to buy shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 japan storage battery co. $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via nikko securities co europe ltd
 guaranteed by mitsubishi bank ltd
 each $ N bond carries one warrant exercisable from nov. N N through oct. N N to buy shares at an expected premium of N N N to the closing share price when terms are fixed nov. N
 <unk> inc japan $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N coupon at par via nomura international
 guaranteed by dai-ichi kangyo bank ltd
 each $ N bond carries one warrant exercisable from nov. N N through oct. N N to buy shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 nippon signal co japan N million marks of bonds with equity-purchase warrants indicating a N N N coupon due nov. N N and priced at par via commerzbank
 guaranteed by fuji bank
 each N mark bond carries one warrant and one certificate for four warrants exercisable from dec. N N to oct. N N to buy shares at an expected premium of N N N above the closing share price when prices are fixed oct. N
 <unk> oil & fat co japan N million swiss francs of privately placed convertible notes due dec. N N with a fixed N N coupon at par via union bank of switzerland
 put option on dec. N N at a fixed N to yield N N
 each N swiss franc bond convertible from nov. N N to dec. N N at a N N premium over closing share price oct. N when terms are scheduled to be fixed
 <unk> n.v netherlands N million swiss francs of convertible bonds due nov. N N with a fixed N N coupon at par via union bank of switzerland
 each N swiss franc bond convertible from jan. N N to oct. N N
 fees N N
 <unk> lion ltd japan N million swiss francs of privately placed convertible notes due dec. N N with a N N coupon at par via yamaichi bank switzerland
 put option on dec. N N at an indicated N N to yield N N
 each N swiss franc note convertible from dec. N N to dec. N N at N N premium over the closing share price oct. N when terms are scheduled to be fixed
 credit local de france N million swiss francs of N N privately placed notes due dec. N N priced at N N to yield N N via swiss bank corp
 people start their own businesses for many reasons
 but a chance to fill out <unk> records is rarely one of them
 red tape is the <unk> of small business
 ironically the person who wants to run his or her own business is probably the active <unk> sort most likely to hate meeting the rules and <unk> demands of federal state and local regulators
 yet every business owner has to face the <unk> of forms and regulations and often is the only one available to tackle it
 there is hope of change
 last week sen. malcolm <unk> r. <unk> held hearings on a bill to strengthen an existing law designed to reduce regulatory <unk> for small businesses
 a great many federal regulations are meant for larger entities and do n't really apply to small businesses says <unk> jacob a legislative aide to sen. <unk>
 other lawmakers are busy trying to revive the recently <unk> <unk> reduction act which many feel benefited small enterprises
 thus optimistic entrepreneurs await a promised land of less red tape just as soon as uncle sam gets around to arranging it
 meanwhile they tackle the <unk> of paper and <unk> about a dream world where <unk> postal regulations and government inspectors are <unk>
 to find out what red tape <unk> entrepreneurs most the journal asked a completely <unk> random sample of business owners to <unk> about the forms and regulations they would most like to get lost in the mail
 some entrepreneurs say the red tape they most love to hate is red tape they would also hate to lose
 they concede that much of the government <unk> that <unk> them is essential to the public good and even to their own businesses
 rules that set standards for products or govern business behavior generally the best regarded form of red tape create a level playing field and keep unscrupulous competitors away says <unk> west president of <unk> international inc. a <unk> va. business that designs <unk> and other products
 mr. west cites the federal communications commission and its standards for telecommunications equipment they monitor product quality and prevent junk from flooding the market
 some <unk> about red tape are predictable architects complain about a host of building regulations auto leasing companies about car insurance rules
 determining when handicapped access is required can be a nightmare for architects says mark <unk> president of <unk> & co. a <unk> mass. architectural firm
 there is such a <unk> of federal state and local codes that building inspectors are backing away from <unk> them mr. <unk> says
 taxi leasing and other companies that maintain fleets of vehicles devote substantial resources to <unk> with state insurance laws and a host of agencies
 it 's very costly and <unk> says phil rosen a partner in fleet & leasing management inc. a boston <unk> company
 one senior executive at his firm spends nearly N N of his time on insurance he says
 other forms of red tape are more pervasive
 the most onerous many entrepreneurs say is the <unk> and filing required by tax authorities
 <unk> with environmental and workplace regulations runs a close second
 but <unk> run the <unk>
 here is the red tape that <unk> surveyed business owners the most
 environmental regulations
 next to medical insurance costs of compliance are the fastest-growing expense at <unk> inc. a <unk> r.i. chemical company
 peter <unk> the company 's owner says spending on regulatory paper work and the people to do it mostly to comply with federal state and local environmental laws will rise almost N N this year to $ N
 mr. <unk> adds that spending on environmental red tape amounts to between N N and N N of <unk> 's total operating expenses
 eastern <unk> corp. a <unk> mass. maker of thin metal precision parts must report to five federal and state agencies as well as to local fire police hospital and plumbing authorities says robert <unk> president
 one state environmental regulator returned a report because it was n't heavy enough it could n't have been correct mr. <unk> says
 <unk> rules
 employers must deposit <unk> taxes exceeding $ N within three days after payroll or pay stiff penalties and that 's a big problem for small businesses
 it 's especially <unk> if you 're on the road and you 're the one responsible says eddie brown president of brown capital management inc. a baltimore <unk> firm
 employee <unk>
 <unk> employee <unk> on <unk> health care and other subjects costs over $ N a year for <unk> <unk> president of professional agricultural management inc. a <unk> calif. provider of business services to farmers
 an employer leaves itself open to a great deal of liability if its employee <unk> do n't reflect the most recent laws he says
 but the <unk> laws are usually so complicated and confusing that you need professionals to help you you ca n't do it yourself he adds
 pension and <unk> rules
 <unk> with these is enough to make business owners look forward to their own pension days
 yearly changes in federal benefit laws force small businesses to repeatedly <unk> and <unk> existing plans
 alice <unk> who runs her own public-relations concern in new york says she has had to overhaul her pension and <unk> plans three times in the past three years
 it does n't increase benefits but it 's costly and <unk> ms. <unk> says
 compliance added N N to N N to her accounting bill last year she says
 sales tax records
 advertising agencies and other service companies are exempt from city and state sales tax in most <unk> but the exemption comes at a price of <unk> records and <unk> reviews
 to justify their exempt status and avoid penalties these businesses must show once a year that each and every transaction on which they did n't pay sales tax was a legitimate business expense
 you need one person to just take care of sales tax says <unk> <unk> executive vice president of lee <unk> & <unk> advertising inc. new york
 when the trinity <unk> theater named anne bogart its artistic director last spring the nation 's theatrical <unk> <unk> a collective <unk>
 ms. bogart an <unk> <unk> of <unk> dramatic <unk> that <unk> into such <unk> <unk> as <unk> and <unk> 's south pacific is <unk> downtown
 trinity rep meanwhile is one of the nation 's oldest and most respected regional theaters still <unk> an annual a christmas carol
 how would this <unk> of traditional values fare in ms. bogart 's <unk> hands
 she held her fire with her first production at the trinity earlier this season
 it was a predictable revival of her <unk> <unk> <unk> of <unk> <unk> 's theoretical <unk> called no plays no <unk>
 now with the opening of <unk> gorky 's <unk> <unk> ms. bogart has laid her cards on the table
 <unk> is a hand that will test the <unk> of her audiences
 for ms. bogart who initially studied and directed in germany and cites such european directors as peter stein giorgio <unk> and <unk> <unk> as influences tends to stage her productions with a <unk> <unk> whether the text demands it or not
 and gorky considered the father of soviet socialist <unk> did not write plays that easily lend themselves to deliberately <unk> <unk> techniques
 gorky was a loyal if occasionally <unk> <unk> writer committed to <unk> the <unk> with plain speaking rooted in a slightly sour version of <unk> <unk>
 and <unk> <unk> in N as a kind of <unk> to <unk> 's cherry <unk> is a lawn party of russian <unk> engaged in an <unk> ideological fight to the finish between the <unk> and the reformers
 along the way there also are lots of romantic <unk>
 <unk> ms. bogart has kept gorky 's time and place intact
 despite the absence of <unk> and a tendency to turn the furniture upside down the production is rich in russian <unk> voiced by <unk> folk sporting <unk> <unk> and <unk> cotton with <unk> and fishing poles <unk>
 but beyond this <unk> <unk> to tradition ms. bogart and company head off in a <unk> direction that all but <unk> gorky 's <unk> drama into something <unk> to well <unk>
 the director 's attempt to force some <unk> distance between her actors and their characters frequently <unk> with performances that are <unk> <unk>
 not only do the actors stand outside their characters and make it clear they are at odds with them but they often literally stand on their heads
 like peter <unk> ms. bogart <unk> her actors as if they were <unk> <unk> <unk> them on <unk> <unk> them off tables even hanging them from <unk> while having them perform some <unk> <unk> of <unk>
 there are moments in this <unk> when the characters <unk> the vast <unk> country house which looks like a <unk> of frank lloyd wright and is designed by <unk> <unk> <unk> <unk> <unk> <unk> with the <unk> <unk> <unk> of <unk> in
 talk <unk> from where it <unk> one of them says
 the clash of <unk> <unk> this treatment but the <unk> and <unk> of gorky 's individual characters have <unk> in the <unk>
 as for the humor that gorky 's text provides when <unk> in such broad strokes particularly by the lesser members of the <unk> it looks and sounds forced
 ms. bogart does better with music than with words when she wants as she so often does want to express herself through gorky 's <unk> play
 here she has the aid of her longtime associate jeff <unk> whom she appointed trinity 's <unk> musical director and whom she equipped with a <unk> new $ N sound system and recording studio
 for gorky mr. <unk> provided an <unk> <unk> of <unk> and <unk> which is less a score than a separate character with a distinct point of view
 like <unk> and indeed <unk> pound ms. bogart has said that her intent in such <unk> staging of the <unk> is simply an attempt to make it new
 indeed during a recent <unk> audience discussion the director explained that her <unk> artistic wish was to find a way to play somewhere over the rainbow so that the song 's original beauty comes through <unk> the <unk>
 the danger that ms. bogart seems to be <unk> here is one of <unk> rather than <unk> a vision so at odds with the playwright 's that the two points of view <unk> rather than <unk> each other
 ms. bogart 's cast is part and parcel of the problem
 ed shea and barbara <unk> never find a real reason for their love affair as the <unk> <unk> young <unk> and the <unk> humanitarian doctor maria <unk>
 cynthia <unk> as the <unk> <unk> is a <unk> <unk> not the <unk> <unk> gorky intended
 better to look in the corners for performances that <unk> or <unk>
 <unk> <unk> in addition to <unk> one of the evening 's more impressive <unk> instruments brings an <unk> <unk> touch to her role of <unk> everybody 's favorite mom
 <unk> rice plays the <unk> with so much edge as to steal her two scenes
 but it is the trinity rep <unk> jonathan fried <unk> the <unk> who is the actor to watch whether he is <unk> it up while conducting the chamber musicians or <unk> his neighbor 's wife <unk> <unk> by <unk> her <unk>
 ms. de <unk> writes frequently about theater
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 morgan stanley the once <unk> investment house in N helped a corporate client complete a hostile takeover
 it was the start of a boom in unfriendly even <unk> mergers
 on july N N international <unk> of canada advised by morgan offered $ N a share equal to $ N million for esb a philadelphia battery maker
 esb said it was given only a <unk> advance warning on a take it or leave it basis from inco as the toronto company is called
 esb is aware that a hostile tender offer is being made by a foreign company for all of esb 's shares said <unk> port esb 's president
 hostile thus entered the <unk> <unk>
 joseph flom of <unk> <unk> <unk> <unk> & flom which became a leading legal firm in merger cases said the case made takeovers respectable
 esb <unk> inco and within five days esb had a white knight as united aircraft headed by harry gray a <unk> friendly acquirer of companies offered $ N a share
 gray was advised by goldman sachs and merrill lynch
 esb directors <unk> accepted but a <unk> bidding match <unk>
 within a few days in july inco raised its bid to $ N and united matched it
 on a single day inco lifted its offer to $ N and then to $ N equal to $ N million
 united met the $ N but then withdrew
 esb on july N accepted the inco offer and the brief battle unlike the <unk> and lengthy big takeovers of N was over
 the new <unk> game became a money maker for wall street 's once <unk> <unk> houses
 inco paid morgan an advisory fee of about $ N a <unk> figure by today 's measures
 early this year morgan and three other investment houses each received $ N million in advisory fees from kohlberg kravis & roberts in its $ N billion friendly buy-out of rjr nabisco
 homefed corp. said third-quarter net income slid N N to $ N million or $ N per fully diluted share from $ N million or $ N a fully diluted share because of increased bad assets and unexpected trouble in unloading foreclosed property
 the decline surprised analysts and jolted homefed 's stock which lost N N of its value closing at $ N on the new york stock exchange down $ N
 homefed had been one of the handful of large west coast thrifts that in recent quarters had <unk> interest-rate problems <unk> the industry by keeping a lid on problem assets and lending heavily into the <unk> california housing market
 analysts had been projecting fully diluted earnings in the third quarter in the range of about $ N a share
 however homefed 's loan <unk> and purchases plunged N N in the quarter to $ N billion from $ N billion a year earlier
 meanwhile <unk> assets rose to $ N million from $ N million
 some $ N million of the troubled assets is <unk> real estate a N N surge from the $ N million of <unk> property homefed held a year ago
 homefed has $ N billion of assets
 homefed said most of the troubled assets are apartment <unk> shopping <unk> and other commercial real estate
 it said about half are in california with the rest scattered across the country
 it said sales of such properties were slower than anticipated in the third quarter but it expects sales to pick up in the rest of the year
 homefed said the slide in loan <unk> was more a matter of design than a sign of cooling in the california market
 any such downturn in california would be grim news for west coast thrifts particularly the less healthy ones which have performed poorly even with a <unk> market
 but homefed said it <unk> <unk> loan <unk> in the quarter because of uncertainty over the new capital requirements and regulations that will emerge from negotiations over <unk> the government 's massive thrift bailout bill
 it said its real-estate operations earned a record $ N million more than double year-earlier real estate profit of $ N million
 and analysts said they see no signs of an imminent <unk> in california real estate even with last week 's earthquake
 the thrift said earnings also were <unk> in the quarter by a $ N million provision for losses associated with its previously reported plan to liquidate a real-estate franchise network
 for the nine months homefed earned $ N million or $ N a fully diluted share a N N increase from year-earlier net income of $ N million or $ N a fully diluted share
 yields on certificates of deposit at major banks were little changed in the latest week
 the average yield on six-month cds of $ N and less slipped to N N from N N according to banxquote money markets an information service based here
 on one-year cds of $ N and less the average slid to N N from N N
 both issues are among the most popular with individual investors
 because of <unk> in the economy rates can be expected to decline over a one-year horizon said <unk> mehl chairman of banxquote
 it 's unclear how much rates can fall and how soon
 changes in cd yields in the week ended tuesday were in line with <unk> up and down within a fairly narrow range for the last two months
 interest rates generally began declining last spring after moving steadily upward for more than a year
 the average yield on <unk> three-month cds moved up <unk> of a percentage point in the latest week to N N
 long-term cds declined just a fraction
 the average yield on both two-year cds and five-year cds was N N
 only cds sold by major brokerage firms posted significant increases in average yields in the latest week reflecting increased yields on treasury bills sold at monday 's auction
 the average yield on six-month <unk> cds rose to N N from N N and on one-year cds the average yield rose to N N from N N
 the brokerage firms which negotiate rates with the banks and thrifts whose cds they sell generally feel they have to offer clients more than they can get on <unk> or from banks and thrifts directly
 <unk> sold at monday 's auction yielded N N for six months and N N for three months up from N N and N N respectively the week before
 so-called jumbo cds typically in denominations of $ N and up also usually follow <unk> and interest rate trends in general more than those aimed at small investors
 some <unk> posted <unk> changes in average yields this week both up and down
 the average yield on <unk> <unk> rose to N N from N N while the two-year average fell by the same amount to N N
 six-month and <unk> yields were unchanged on average
 the cd market is unsettled right now said banxquote 's mr. mehl
 it 's very easily influenced by changes in the stock market and the junk bond market
 the small changes in averages reflect generally unchanged yields at many major banks
 some however lowered yields significantly
 at chase manhattan bank in new york for example the yield on a small <unk> six-month cd fell about a quarter of a percentage point to N N
 in california bank of america dropped the yield on both six-month and one-year savings cds to N N from N N
 yields on money-market deposits were unchanged at an average N N for $ N and less and down just a <unk> of a percentage point to N N for jumbo deposits
 lion nathan ltd. agreed to buy the franchise to bottle distribute and market <unk> soft-drink products in australia the company said
 the new zealand brewing and retail concern did n't disclose terms
 the agreement is effective jan. N and is subject to approval from australia 's foreign investment review board
 <unk> <unk> australia ltd. has held the australian pepsi franchise for the past four years
 lion nathan and <unk> australia a unit of pepsico inc. of the u.s. did n't say why <unk> <unk> will no longer hold the franchise
 wang laboratories inc. has sold $ N million of assets and reached agreements in principle to sell an additional $ N million shortly richard miller president said at the annual meeting
 he said wang had reached an agreement with a major financial firm to sell for $ N million its domestic equipment lease portfolio and that of its wang credit corp. subsidiary
 he said it also agreed to sell a portion of its european real estate unit for $ N million
 mr. miller said that wang has already sold some $ N million of <unk> assets and disclosed that it had received $ N million from compaq computer corp. houston in the previously announced sale of its <unk> scotland plant
 mr. miller repeated that in the next six months he plans to sell another $ N million to $ N million of assets to repay debt and reduce interest costs at wang a <unk> maker in <unk> mass
 in response to questions after the annual meeting mr. miller said the company is no longer looking for an equity investor
 during the summer wang executives had said they might seek outside investment
 murata <unk> co. said it is establishing a subsidiary in britain to produce electric parts including ceramic <unk>
 the tokyo maker of ceramic <unk> said it purchased a plant in <unk>
 the company did n't disclose a purchase price or capitalization figures
 murata said however it will invest about N billion yen $ N million in the new company
 production is slated to begin in april
 the company which has a european <unk> murata europe management g.m.b h. in germany said the latest venture is designed to meet demand for electric parts in european community countries ahead of the creation of the unified market by the end of N
 murata expects sales at the unit of about N billion yen in the first year
 <unk> stores inc. reported a N N decline in profit for the fiscal third quarter but said operating improvements were <unk> by unusual gains in the year-earlier period
 the oakland grocery retailer closely held since a $ N billion leveraged buy-out in N said profit for the three months ended sept. N was $ N million compared with $ N million a year earlier
 but it said the year-earlier results included gains of $ N million from <unk>
 sales rose N N to $ N billion from $ N billion
 for the nine months the company said profit fell N N to $ N million from $ N million in the year-earlier quarter which included <unk> gains of $ N million
 sales increased N N to $ N billion from $ N billion
 benjamin jacobson & sons has been the new york stock exchange specialist firm in charge of trading stock in ual corp. and its <unk> since the early 1930s
 but the firm has never had a day like yesterday
 at first ual did n't open because of an order <unk>
 when it did a half-hour into the session it was priced at $ N a share down more than $ N from monday 's close
 it sank further to as low as $ N but a big rally developed in the last half hour pushing the stock back up to close at $ N down just $ N from monday
 in the process N million shares traded making ual the second most active issue on the big board
 <unk> pizza when they could and <unk> until their voices gave out the two benjamin jacobson specialists at the big board 's ual trading post yesterday <unk> over what can only be described as a financial <unk>
 it was chaotic
 but we like to call it controlled chaos said <unk> robert j. jacobson jr. <unk> of the firm 's founder
 he <unk> the ual post yesterday with christopher bates N an energetic long <unk> who 's a dead ringer for actor <unk> <unk>
 who was doing all the selling
 options traders arbitrage traders everyone said mr. bates cooling down with a <unk> of apple <unk> after the close yesterday
 added mr. jacobson there were some pretty bad losses in the stock
 big board traders said a <unk> buy order at $ N a share entered by bear stearns & co. which was active in ual stock all day is what set off the ual crowd in the late afternoon
 a subsequent rally in ual helped the staggering stock market stage an <unk> recovery from an <unk> deficit to finish only slightly below monday 's close
 both jacobson traders who had been hoping ual trading would get back to normal read the news about the <unk> of ual takeover plans on the train into work yesterday morning
 the news told them it would be a while longer before ual resumed trading like a regular airline stock after months of gyrations
 when mr. jacobson walked into the office at N a.m. edt he announced ok buckle up
 messrs. jacobson and bates walked on the big board floor at about N a.m. yesterday and immediately spotted trouble
 already entered in the big board 's computers and <unk> to their post were sell orders for N ual shares
 the ual news had already caused a selling furor in the so-called third market in which firms buy and sell stock away from the exchange floor
 ual which closed on the big board monday at $ N a share traded in the third market afterward as low as $ N a share
 there were rumors of $ <unk> trades
 in the N minutes before the N opening bell the jacobson specialists kept getting sell orders heavier than they <unk>
 and at N they posted a $ N to $ N first indication or the price range in which the stock would probably open
 that range was quickly narrowed to $ N to $ N although traders surrounding the post were told that $ N to $ N would be the likely target
 when ual finally opened a half hour late some N shares traded at $ N
 there was selling pressure from everyone said one trader
 this month 's friday-the-13th market plunge spurred by ual news was n't as bad for the jacobson specialists as yesterday 's action
 on that earlier day the stock 's trading was halted at a critical time so the specialists could catch their breath
 not yesterday
 mr. jacobson his gray hair flying did n't wear out his <unk> <unk> but he sweat so much he considered sending out for a new <unk>
 mr. bates usually handles day-to-day ual trading on his own
 but yesterday the heavy trading action eventually consumed not only messrs. jacobson and bates but four other jacobson partners all doing their <unk> job of <unk> buyers and sellers together and adjusting prices to accommodate the market
 about N floor traders <unk> near the ual post most of the day and probably hundreds more came and went a <unk> mass as one trader described it
 the N <unk> volume flowing through the jacobson specialist operation was about five times normal for the stock
 the heavy buying in the last half hour led the specialists to take special steps
 the bear stearns order that marked the <unk> turnaround caused a massive buying effort as ual jumped $ N a share to $ N in the last half hour said mr. bates
 with N seconds of trading to go mr. jacobson with what voice he had left announced to the trading <unk> we 're going to trade one price on the bell
 that meant no trading would occur in the final seconds as a way of making sure that <unk> orders are n't <unk> to a sudden price swing that would upset customers
 about N shares sold at $ N on the bell representing about eight to N late orders the specialists estimate
 big board traders praised the jacobson specialists for getting through yesterday without a trading halt
 in chicago a ual spokesman by way of policy declined to comment on the company 's stock or the specialists ' performance
 leaving the exchange at about N p.m. the jacobson specialists made no predictions about how trading might go today
 said <unk> ellis a jacobson partner who got involved in the ual action it all starts all over again today
 britain 's current account deficit dropped to # N billion $ N billion in september from an adjusted # billion $ N billion the previous month but the improvement comes amid increasing concern that a recession could strike the u.k. economy next year
 the confederation of british industry 's latest survey shows that business executives expect a <unk> slowdown largely because of a <unk> series of interest-rate increases that has raised banks ' base lending rates to N N
 the outlook has deteriorated since the summer with orders and employment falling and output at a standstill said david <unk> chairman of the industry group 's economic committee
 he also said investment by businesses is falling off
 of N companies surveyed N N expect to cut spending on plant equipment and machinery while only N N plan to spend more
 but despite mounting recession fears government data do n't yet show the economy <unk> to a halt
 unemployment for example has continued to decline and the september trade figures showed increases in both imports and exports
 as a result prime minister margaret thatcher 's government is n't currently expected to ease interest rates before next spring if then
 chancellor of the exchequer nigel lawson views the high rates as his chief weapon against inflation which was <unk> by tax cuts and loose credit policies in N and N
 officials fear that any <unk> this year could <unk> inflation or further weaken the pound against other major currencies
 <unk> off attacks on his economic policies in a house of commons debate yesterday mr. lawson said inflation remains the greatest threat to our economic <unk> and promised to take whatever steps are needed to <unk> it off
 the latest government figures said retail prices in september were up N N from a year earlier
 many economists have started predicting a mild recession next year
 david owen u.k. economist with kleinwort benson group reduced his growth forecast for N to N N from N N and termed the risk of recession next year quite high
 but he said the downturn probably wo n't become a major <unk> similar to those of N and N
 still britain 's current slump is a cause for concern here as the nation joins in the european community 's plan to create a unified market by N
 compared with the major economies on the continent the u.k. faces both higher inflation and lower growth in the next several months
 as a result mr. owen warned investment will be more likely to flow toward the other european economies and the u.k. will be less prepared for the single market
 britain 's latest trade figures contained some positive news for the economy such as a surge in the volume of exports which were N N higher than a year earlier
 but while september exports rose to # N billion imports shot up to # N billion
 the resulting # N billion merchandise trade deficit was partly offset by an assumed surplus of # N million in so-called <unk> items which include income from investments services and official transfers
 despite the narrowing of the monthly trade gap economists expect the current account deficit for all of N to swell to about # N billion from # N billion in N
 increasingly economists say the big deficit reflects the slipping competitive position of british industry
 when the country gets <unk> we tend to buy high-quality imports mr. owen said
 vickers plc a british aerospace defense and automotive conglomerate said it reached an agreed cash bid of # N million $ N million for ross <unk> group plc a maker of specialty <unk> and <unk>
 the company said it expects to receive acceptances for its offer of N pence $ N per share representing at least N N of ross <unk> 's issued share capital or N million ordinary shares
 vickers said its offer also includes an option to receive a <unk> loan note in <unk> of cash
 the notes can be redeemed starting in july N
 the company said its acquisition of ross <unk> will be covered largely by cash raised in its july disposal of <unk> for # N million
 if <unk> wo n't pay high prices for <unk> anymore who will
 <unk> are betting on the common folk
 the thoroughbred owners and <unk> association a lexington <unk> trade group has launched <unk> for potential investors at race tracks around the country
 the group which has held half a dozen <unk> so far also is considering promotional <unk> and perhaps a pitch to wall street investment bankers
 people in this business have been <unk> says <unk> pons a horse <unk> from <unk> air md
 but the real future of this game is in a number of people owning a few horses
 at the laurel race track the <unk> are <unk> people like tim <unk> a beer packaging plant worker
 right now mr. <unk> is <unk> his racing program <unk> for <unk> on the <unk> a <unk> thoroughbred <unk> down the home stretch
 mr. <unk> <unk> that he sold all his stocks a week before the market plummeted N points on oct. N and he is using the money to help buy a <unk> horse farm
 just imagine how exciting that would be if that 's your horse he says
 but experts caution that this is n't a game for anyone with a weak <unk> or <unk>
 it 's a <unk> business warns charles c. <unk> a lexington attorney and former kentucky state securities commissioner
 you have to go into it firmly <unk> that it 's the kind of investment where you can lose everything
 and many have done just that
 consider <unk> farm a prominent lexington horse farm that went public in N but hit hard times and filed for bankruptcy-court protection last year
 a group of investors recently bought the remaining assets of <unk> hoping to rebuild it
 other investors have lost millions in partnerships that bought thoroughbred <unk> or <unk> breeding rights
 one big problem has been the thoroughbred <unk> market
 from N to N prices for the best <unk> at the summer sales rose N N to an average of $ N
 since then prices have slumped to an average of $ N this summer
 but that 's for the best horses with most selling for much less as little as $ N for some <unk> <unk>
 even while they move outside their traditional tony circle <unk> owners still try to capitalize on the <unk> of the sport
 glossy <unk> circulated at <unk> <unk> about the <unk> of the winner 's circle and <unk> <unk>
 one <unk> promises <unk> parties post times <unk> and <unk>
 it 's just a matter of marketing and promoting ourselves says <unk> bell a <unk> horse <unk> from lexington
 maybe it 's not that simple
 for <unk> <unk> buyers have to remember the basic problem of such ventures these <unk> do n't come with <unk>
 and for every champion there are plenty of <unk>
 <unk> <unk> a veteran <unk> at the laurel md. track offers <unk> a <unk> tour of a horse <unk> noting that only three of about a dozen horses have won sizable <unk>
 one brown <unk> <unk> was <unk> from a cold while another had <unk> on its <unk> keeping both animals from the <unk>
 you can see the highs and lows of the business all under one <unk> she tells the group
 there are n't too many winners
 perhaps the biggest hurdle owners face is convincing newcomers that this is a reputable business
 some badly managed partnerships have burned investors sometimes after they received advice from industry consultants
 so owners have developed a code of ethics <unk> rules for consultants and agents and disclosure of fees and any conflicts of interest
 but some are skeptical of the code 's effectiveness
 the industry is based on individual honesty says cap <unk> a lexington horse farmer and one of the investors who bought <unk>
 despite the drop in prices for <unk> owning one still is n't cheap
 at the low end investors can spend $ N or more to own a <unk> in partnership with others
 at a <unk> sale a buyer can go solo and get a horse for a few thousand dollars
 but that means paying the horse 's maintenance on average it costs $ N a year to raise a horse
 for those looking for something between a minority stake and total ownership the owners ' group is considering a special sale where established horse <unk> would sell a N N stake in horses to newcomers
 <unk> industries inc. <unk> its quarterly dividend to five cents a share payable nov. N to stock of record nov. N
 the company 's quarterly dividend had been N cents a share since april N N
 <unk> recently said it would incur an <unk> charge of about $ N million in its fourth quarter ending tuesday in connection with the sale and <unk> of several lines at a plant
 the <unk> conn. maker of industrial fasteners and metal <unk> has N million shares outstanding
 dunkin donuts inc. <unk> a takeover proposal by canada 's dd acquisition corp. said that its directors will evaluate takeover offers submitted by nov. N
 dunkin donuts based in <unk> mass. previously said it would explore alternatives including a leveraged buy-out of the company but had n't set a date for <unk> of proposals
 dunkin donuts chairman and chief executive robert m. <unk> said a sale is one alternative being considered but he added the board has n't decided whether to sell the <unk> <unk>
 dd acquisition jointly owned by unicorp canada corp. 's <unk> capital group unit and cara operations ltd. has made a $ <unk> tender offer valued at $ N million for dunkin donuts
 dunkin donuts ' announcement followed dd acquisition 's request to the delaware court of chancery monday to set a trial date for its suit against the company
 the trial had been postponed to allow dunkin donuts to seek alternatives to dd acquisition 's offer
 combustion engineering inc. said third-quarter net income of $ N million <unk> a $ N million year-earlier loss
 the stamford conn. <unk> products and services company said per-share earnings were N cents compared with the year-ago loss of $ N
 sales fell N N to $ N million from $ N million
 strong profit in the process industries including chemical and pulp and paper were offset by higher interest expense and by lower earnings as the company closed out certain long-term contracts
 combustion reported improved profits in its <unk> and control products businesses and it narrowed its losses in its public sector and environmental segment
 power generation had higher sales but lower earnings the company cited factors including work on certain low <unk> contracts from previous years
 net in the latest quarter included a pretax gain of $ N million from the sale of combustion 's minority interest in stein <unk> to <unk> <unk> n.v. of the netherlands
 last year 's results reflected a gain of $ N million on <unk> of assets and a $ N million pretax provision mainly from costs of completing certain <unk> and other power plants
 <unk> bebear chairman and chief executive officer of <unk> assurances pledged to retain employees and management of farmers group inc. including leo e. <unk> jr. chairman and chief executive officer if axa succeeds in acquiring farmers
 mr. bebear added that the french insurer would keep farmers ' headquarters in los angeles and will not send french people to run the company
 axa would also maintain farmers ' relationships with the insurance exchanges that it manages
 mr. bebear made his remarks at a breakfast meeting with reporters here yesterday as part of a tour in which he is trying to rally support in the u.s. for the proposed acquisition
 the bid is part of sir james goldsmith 's unfriendly takeover attempt for b.a.t industries plc the british tobacco retailing paper and financial-services giant that acquired farmers last year for $ N billion
 axa has agreed to acquire farmers from sir james 's investment vehicle <unk> investments ltd. for $ N billion plus a $ N billion investment in <unk>
 any acquisition of farmers needs the approval of insurance commissioners in the nine states where farmers operates and mr. bebear 's trip will take him to idaho arizona and new york after his stay here he will meet with insurance regulators legislators industry <unk> and the press
 hearings on axa 's acquisition application have been set for nov. N in idaho nov. N in illinois nov. N and dec. N in arizona dec. N in washington state and jan. N in oregon
 hearings have n't yet been set in texas ohio and kansas
 california 's insurance commissioner does n't hold hearings on acquisition applications
 although axa has been rebuffed by farmers and has n't had any meetings with management mr. bebear nonetheless appears to be trying to woo the company 's executives with promises of <unk> and <unk> authority under axa
 he said mr. <unk> would be a member of the top management team of the <unk> group of companies and would help define policies and strategies of the group
 farmers was quick yesterday to point out the many negative aspects it sees in having axa as its parent
 for one axa plans to do away with certain tax credits that have resulted in more than $ N million paid to the farmers exchanges during the past few years to offset underwriting losses
 those credits result because of taxes that farmers as the management company has paid and have proved to be very important for the exchanges a farmers spokesman said
 mr. bebear contended that the tax cost to the exchanges under the revised structure would be about $ N million a year which he described as peanuts
 honeywell inc. minneapolis said it completed its previously announced sale of N N of the shares outstanding in its japanese joint venture <unk> for $ N million
 the stake was acquired by a group of N japanese financial institutions and industrial corporations primarily insurance companies honeywell said
 proceeds will be used to repurchase as many as N million shares of honeywell stock as previously announced
 honeywell said a second sale of <unk> is still being negotiated
 the company which now holds a N N stake in the venture has indicated that it intends to retain at least a N N stake long term
 a N N stake would allow honeywell to include <unk> earnings in its results
 a company spokesman said the gain on the sale could n't be estimated until the tax treatment has been determined
 oppenheimer capital limited partnership increased the quarterly distribution to N cents a limited partnership unit from N cents
 the distribution represents available cash flow from the partnership between aug. N and oct. N
 it is payable nov. N to units of record oct. N
 the money manager is controlled N N by its top officers and top officers of oppenheimer & co. a securities firm
 both firms are in new york
 oppenheimer capital has about N million limited partnership units outstanding
 in new york stock exchange composite trading yesterday the units closed at $ N up N cents
 bank of montreal said it added N million canadian dollars us$ N million to its reserves against losses on third world loans bringing the total it has set aside this year to c$ N billion
 the bank said the c$ N billion in reserves will result in a charge of c$ N million against earnings but said it still expects to report a profit for the year ending tuesday
 the bank reported net income of c$ N million for the nine months ended july N
 the bank said the increase in loan-loss provisions wo n't affect the payment of dividends
 the bank said reserves now amount to N N of its total <unk> exposure
 excluding mexico reserves equal N N of <unk> exposure
 in toronto stock exchange trading bank of montreal closed at c$ N up N canadian cents
 knight-ridder inc. said third-quarter earnings jumped N N partly because of the sale of two of its media properties
 the media concern said net income rose to $ N million or N cents a share from $ N million or N cents a share in the year-earlier period
 the latest results include a gain of $ N million or eight cents a share on the sale of television stations in oklahoma city and <unk> mich
 revenue increased N N to $ N million from $ N million
 robert f. <unk> knight-ridder 's chief financial officer said the company was pleased with its overall performance despite only <unk> growth in newspaper revenue
 that division 's revenue rose N N to $ N million from $ N million in the year-ago period
 gains in advertising revenue however resulted in operating profit of $ N million up N N from $ N million
 in new york stock exchange composite trading knight <unk> closed at $ N a share down N cents
 alberta energy co. calgary said it filed a preliminary prospectus for an offering of common shares
 the natural resources development concern said proceeds will be used to repay long-term debt which stood at N million canadian dollars us$ N million at the end of N
 the company plans to raise between c$ N million and c$ N million from the offering according to a spokeswoman at <unk> <unk> of canada ltd. lead underwriter
 the shares will be priced in early november she said
 general electric co. executives and lawyers provided misleading and false information to the pentagon in N in an effort to cover up longstanding fraudulent billing practices federal prosecutors alleged in legal briefs
 the government 's startling allegations filed only days before the scheduled start of a criminal <unk> trial against ge in philadelphia federal district court challenge the <unk> and <unk> of the nation 's third-largest defense contractor
 in a strongly <unk> response <unk> a filing made in the same court yesterday ge asserted that prosecutors have misstated the testimony of witnesses distorted documents and ignored important facts
 the company attacked the government 's allegations as reckless and <unk> <unk> and said its management promptly and accurately reported to the pentagon all relevant information about billing practices
 the case strikes at the corporate image of ge which provides the military with everything from jet engines and electronic <unk> equipment to highly classified design work on the strategic defense initiative and could cause a loss of future defense contracts if pentagon and justice department officials take a tough stance
 the company has been considered an industry leader in <unk> cooperation and voluntary disclosures of improper or inflated billing practices
 but the government now claims that a group of company managers and lawyers engaged in an elaborate strategy over five years to <unk> from federal authorities the extent and details of widespread fraudulent billing practices
 the problems were uncovered during a series of internal investigations of the company 's space systems division which has been the focus of two separate <unk> prosecutions by the government since N
 the dispute stems from pretrial <unk> in the pending court case in which prosecutors have been demanding access to a host of internal company <unk> reports and documents
 last november a federal grand jury indicted ge on charges of fraud and false claims in connection with an alleged scheme to <unk> the army of $ N million on a <unk> computer contract
 the company for its part maintains that many of the disputed documents are <unk> <unk> communications that should n't be turned over to prosecutors
 a hearing is scheduled on the issue today
 the government 's <unk> filing covers events leading up to the current case and an earlier indictment in march N when ge was accused of <unk> the pentagon by illegally claiming cost overruns on <unk> missile contracts
 ge pleaded guilty and paid a fine of more than $ N million in the <unk> case which involved some of the same individuals and operations that are at the center of the dispute in the philadelphia court
 in order to show that all of its units had corrected billing problems and therefore should become eligible again for new contracts prosecutors contend that <unk> ge executives and company lawyers provided misleading statements to <unk> force secretary <unk> <unk> and other pentagon officials during a series of meetings in N
 overall the government contends that ge 's disclosure efforts largely were intended to curry favor with pentagon officials without detailing the extent of the management <unk> and allegedly pervasive billing <unk> uncovered by company investigations
 prosecutors <unk> a company that allegedly sat on damaging evidence of <unk> from N to N despite warnings from an internal <unk>
 when ge finally disclosed the problems prosecutors contend that mr. <unk> was <unk> informed that the suspected practices had only just been discovered by ge management
 in its brief the government asserted that it needs the internal ge documents to <unk> anticipated efforts by ge during the trial to demonstrate its good corporate character
 ge which was surprised by the last-minute subpoena for more than N boxes and file <unk> of documents <unk> that senior ge managers did n't find out about questionable billing practices until N and that the information was passed on quickly to mr. <unk> at his first meeting with company representatives
 subsequent meetings initiated after the company and two of its units were briefly suspended from federal contracts were held to <unk> mr. <unk> with the company 's <unk> procedures and to disclose additional information according to ge
 ge 's filing contends that the billing practices at the heart of the current controversy involved technical disputes rather than criminal activity
 the company 's conduct does not even raise a question of <unk> corporate intent <unk> or <unk> ge 's brief asserts
 on the contrary it shows a corporation reacting swiftly and aggressively to very difficult issues in largely <unk> waters
 mr. <unk> could n't be reached for comment yesterday
 applied solar energy corp. of city of industry calif. said it and its majority shareholder american <unk> co. signed a <unk> letter of intent for the acquisition of applied solar by mcdonnell douglas corp. for about $ N million
 the proposed acquisition provides for a cash payment of $ N a share at closing and a contingent payment of as much as N cents a share placed in escrow
 details of the escrow agreement have n't been completed the companies said
 there are N million shares of applied solar of which american <unk> owns N million
 american <unk> is a wayne n.j. chemicals drugs and fertilizer concern
 completion of the acquisition is subject to execution of a definitive agreement approval by all three companies ' boards and the approval of applied solar 's shareholders
 an applied solar spokesman said completion is expected at the end of the year or early next year
 a spokeswoman for the st. louis aerospace and defense concern said it wanted the <unk> because applied solar is involved in solar cells and <unk> laser components and this fits with mcdonnell 's business of laser applications for military space
 trading in cineplex odeon corp. shares was halted on the new york and toronto stock exchanges late yesterday afternoon at the company 's request toronto stock exchange officials said
 brian <unk> a spokesman for the company 's committee of independent directors established in may to <unk> and evaluate offers for the company said it was expected to make an announcement early this morning
 but mr. <unk> said he was n't aware of the nature of the talks under way between committee members and their advisers
 cineplex traded on the new york stock exchange at $ N a share up $ N before trading was halted
 analysts have speculated in recent days that the value of offers received by the committee fell well short of what they had hoped or even that the company 's chairman president and chief executive officer <unk> drabinsky is the only bidder for the company as a whole
 the current effort to auction off the company was triggered by a dispute between mr. drabinsky and the toronto-based movie chain 's major shareholder mca inc
 london share prices closed sharply lower tuesday on the back of wall street 's steep drop and renewed fears over u.k. economic fundamentals
 tokyo 's winning streak came to an end and stocks fell in frankfurt and across europe as well
 london 's financial times 100-share index shed N points to finish at N
 at london 's close the dow jones industrial average was N points lower at N
 dealers said the initial pressure came from mildly disappointing u.k. trade figures for september and a worrisome report by the confederation of british industry that a decline in orders for manufactured goods is <unk> both business optimism and investment plans for the coming year
 the trade and <unk> reports <unk> attention on high interest rates and corporate profitability and helped <unk> underlying concerns over prospects for a recession in the u.k. dealers said
 the 30-share index fell N points to N
 volume was a modest N million shares traded but better than the year 's lowest turnover of N million monday
 market watchers also noted an absence of institutional interest later in the session helped <unk> the way for broader declines when wall street opened weaker
 they added that market-makers were knocking share prices down in <unk> in a bid to attract some interest but the action largely helped open the way for london 's late declines
 insurance stocks provided some early support to the market partly on favorable brokerage <unk> and talk of continental european interest in british life and composite insurers
 british life insurer london & general which firmed N pence to N pence $ N and composite insurer royal insurance which finished N lower at N were featured in the talk
 on the life insurance side <unk> group finished N lower at N and sun life dropped N to # N
 jaguar finished N lower at N
 dealers said the market did n't react substantially to ford motor co. 's disclosure to the u.s. securities and exchange commission that it will seek N N of jaguar 's shares outstanding when u.k. government share regulations are lifted at the end of next year
 tokyo stocks closed easier posting their first loss in six trading days partly because of <unk> <unk> selling by trust investment funds in the afternoon session
 the nikkei index fell N points to N
 the index gained N points monday
 in early trading in tokyo wednesday the nikkei index rose N points to N
 on tuesday the tokyo stock price index of all first section issues was down N at N
 first section volume was estimated at N million shares up from N million monday
 observers said the market again failed to find a trading focus discouraging much participation by investors
 the market however is expected to remain stable and expectations for future gains are high traders said
 such sentiment is being supported by word that a large amount of cash from investment trust funds is scheduled to enter the market later this week and in early november
 the expected amount is said to be N billion yen $ N billion to N trillion yen the second largest amount this year in a given period following the record high set at the end of july according to market observers
 in addition to a large amount of investment trust fund cash analysts generally see the market environment improving compared with the past couple of weeks
 <unk> <unk> an analyst at yamaichi securities said the market sentiment is bullish simply because there are few bad factors
 buying activity tuesday centered on a wide range of <unk> domestic <unk> shares whose prices range from N to N yen
 investors expect these shares will be targets of investment trust funds which often buy small amounts spread across a wide range of issues
 on the other hand high-priced shares such as pioneer electronic and sony failed to spark investor interest because these issues are unlikely to be bought by investment trust funds observers said
 tuesday 's notable losers were <unk> shares such as pioneer which shed N yen to N yen
 sony was down N to N
 <unk> fell N to N fuji photo film declined N to N and <unk> dropped N to N
 share prices on the frankfurt stock exchange closed sharply lower in thin dealings as worried investors remained idle as the result of two potentially <unk> domestic developments
 the dax index fell N to end at N
 cutting against the downward trend was continental which jumped N marks to N marks $ N in heavy trading on rumors that the tire maker is about to be taken over
 it jumped N monday
 traders said the market was exceptionally thin as small investors remain on the sidelines
 market participants say investors are not only <unk> their <unk> following the turbulence last week but they have also been made nervous by two events in west germany
 on sunday the governing christian democratic union suffered a series of setbacks the extent of which became fully known only late monday in municipal elections in <unk>
 traders say investors are worried that the <unk> wo n't be able to hold office in federal elections at the end of N
 and statements by the chairman of the ig metall labor union <unk> <unk> also cast a cloud over trading dealers said
 mr. <unk> said at a convention in west berlin that the union has to prepare for a big fight to achieve its main goal of a <unk> <unk> down from current <unk> <unk>
 the decline in prices cut broadly through the blue-chip issues as siemens tumbled N to N deutsche bank plunged N to N and the auto makers fell sharply as well
 daimler-benz dropped N to N <unk> <unk> <unk> dropped N to N and <unk> lost N
 elsewhere share prices closed lower in zurich amsterdam milan and stockholm
 <unk> about wall street was cited in several markets
 prices closed lower in sydney singapore and wellington were mixed in hong kong and higher in taipei manila paris brussels and seoul
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 directors of <unk> bank and <unk> <unk> <unk> two of norway 's leading banks announced they had agreed to the formal merger of the banks
 the merger would create <unk> 's seventh largest bank with combined assets of N billion norwegian <unk> $ N billion
 the banks said an application for a <unk> to merge into one entity to be called <unk> <unk> bank as was sent monday to the finance ministry
 the two boards said in a joint statement that the proposed merger agreement was considered in separate board meetings in <unk> monday
 they said the agreement will be submitted to their respective <unk> boards next wednesday
 extraordinary general meetings to be held nov. N will decide the share exchange ratio
 the merger requires the approval of norwegian authorities
 savings and loans reject blacks for mortgage loans twice as often as they reject whites the office of thrift supervision said
 but that does n't necessarily mean thrifts are <unk> against blacks the agency said
 the office an arm of the treasury said it does n't have data on the financial position of applicants and thus ca n't determine why blacks are rejected more often
 nevertheless on capitol hill where the information was released yesterday at a senate banking subcommittee hearing lawmakers said they are worried that financial institutions are routinely <unk> against minorities
 they asked regulators to suggest new ways to force banks and thrifts to comply with <unk> laws
 sen. alan <unk> d ill. chairman of the subcommittee on consumer and regulatory affairs said i 'm not a <unk>
 but when blacks are getting their loan applications rejected twice as often as whites and in some cities it is three and four times as often i conclude that discrimination is part of the problem
 james <unk> a spokesman for the u.s. league of savings institutions said the data is a red flag but lacking the financial data you ca n't make a case that discrimination is widespread
 the trade group official added certainly the federal government should take a hard look at it
 sen. <unk> held the hearing to follow up on a provision in the savings and loan bailout bill that required regulators to report on evidence of <unk> in mortgage lending
 the legislation also requires broad new disclosures of the race sex and income level of borrowers but that information wo n't be gathered in new studies for several months at least
 the federal reserve said its studies in recent years which adjust for income differences and other <unk> showed that blacks received fewer home mortgages from banks and thrifts than whites
 but john <unk> a fed governor told the subcommittee the evidence is mixed and that the fed 's believes the vast majority of banks are n't <unk>
 for instance he noted the fed studies have shown that blacks receive more home improvement loans than whites
 several lawmakers were angered that the bank and thrift regulators generally said they have been too busy handling the record number of bank and thrift failures in the past few years to put much energy into investigating possible discrimination
 we would be the first to admit that we have not devoted the necessary amount of emphasis over the past several years to developing <unk> for discrimination said jonathan <unk> a top official of the office of thrift supervision
 if we 've got folks out there who are being turned away in the mortgage market improperly and unfairly said sen. donald <unk> d. mich. chairman of the banking committee then that is a matter that needs remedy now not six months from now or six years from now or N years from now
 officials of the federal deposit insurance corp. and the office of the comptroller of the currency said they have <unk> only a few banks for violations of <unk> laws
 the fdic said it has issued five <unk> to banks over the past three years for <unk> practices
 the comptroller 's office said it found no indications of illegal discrimination in N <unk> of banks since april N
 the comptroller 's office also said that of N complaints it received since january N only N alleged racial discrimination in real estate lending
 the agency investigated the complaints but no violations were cited
 thrift regulators did n't give any figures on their enforcement actions
 mr. <unk> said that among the possibilities being considered by regulators to fight discrimination is the use of <unk> government investigators who would pose as home buyers
 the department of housing and urban development has used <unk> to investigate discrimination in rental housing
 using <unk> could be controversial with financial institutions but mr. <unk> said the u.s. league of savings institutions had n't yet taken any position on the matter
 time warner inc. is considering a legal challenge to tele-communications inc. 's plan to buy half of showtime networks inc. a move that could lead to <unk> war between the cable industry 's two most powerful players
 time is also fighting the transaction on other fronts by attempting to discourage other cable operators from joining tele-communications as investors in showtime cable-tv industry executives say
 time officials declined to comment
 last week tele-communications agreed to pay viacom inc. $ N million for a N N stake in its showtime subsidiary which is a distant second to time 's home box office in the delivery of <unk> networks to cable subscribers
 tele-communications the u.s. 's largest cable company said it may seek other cable partners to join in its investment
 tele-communications is hbo 's largest customer and the two have a number of other business relationships
 earlier this year time even discussed bringing tele-communications in as an investor in hbo executives at both companies said
 the purchase of the showtime stake is a direct <unk> in our face said one senior time executive
 time is expected to mount a legal challenge in u.s. district court in new york where viacom in may filed a $ N billion antitrust suit charging time and hbo with <unk> the <unk> business and trying to crush competition from showtime
 executives involved in <unk> time 's defense say it is now preparing a <unk> naming both viacom and tele-communications as defendants
 the executives say time may seek to break up the transaction after it is <unk> or may seek constraints that would prevent tele-communications from dropping hbo in any of its cable systems in favor of showtime
 viacom officials declined to comment
 jerome <unk> tele-communications ' chief outside counsel said he was n't aware of time 's legal plans
 but he said that any effort by time to <unk> the tele-communications investment in showtime as <unk> would be the pot calling the <unk> black
 it 's hard to see how an investment by the largest cable operator in the weaker of the two networks is <unk> when the stronger of the two networks is owned by the second largest cable operator mr. <unk> said
 in addition to owning hbo with N million subscribers time warner separately operates cable-tv system serving about N million cable-tv subscribers
 tele-communications controls close to N million cable subscribers and viacom has about one million
 in its suit against time viacom says the ownership of both cable systems and <unk> networks gives the company too much market power
 time argues that in joining up with tele-communications viacom has potentially more power particularly since viacom also owns cable networks <unk> <unk> and <unk> at <unk>
 ironically tele-communications and time have often worked closely in the cable business
 together they control nearly N N of turner broadcasting systems inc. tele-communications has a N N stake while time warner has a N N stake
 but since time 's merger with warner communications inc. relations between the two have become <unk>
 each company worries that the other is becoming too powerful and too <unk> integrated
 meanwhile some legal observers say the tele-communications investment and other developments are weakening viacom 's antitrust suit against time
 viacom <unk> time in its suit of refusing to carry showtime or a sister service the movie channel on time 's manhattan cable tv system one of the nation 's largest urban systems
 but yesterday manhattan cable announced it will launch showtime on nov. N to over N subscribers
 showtime has also accused hbo of <unk> up the lion 's share of hollywood 's movies by signing exclusive contracts with all the major studios
 but showtime has continued to sign new contracts with hollywood studios and yesterday announced it will buy movies from columbia pictures entertainment inc. which currently has a <unk> arrangement with hbo
 the federal trade commission said it authorized its staff to seek a preliminary injunction barring imo industries inc. from acquiring the shares outstanding of the u.s. unit of the british company united scientific holdings plc for $ N million
 the ftc said it had reason to believe that the proposed acquisition could substantially reduce competition in the production of certain image <unk> <unk> which are important components of <unk> devices sold primarily to the defense industry
 the ftc said it would seek to <unk> the proposed acquisition in a federal trial court but declined to specify which one
 under federal law if the court grants a preliminary injunction the ftc must begin administrative proceedings to determine the <unk> of the proposed stock purchase within N days
 officials at the united scientific unit <unk> corp. of <unk> texas and at imo industries of <unk> n.j. could n't be reached for comment
 the airline industry 's fortunes in <unk> shape for most of the year have taken a sudden turn for the worse in the past few weeks
 citing rising fuel costs promotional fare cuts and a general slowdown in travel several major carriers have posted or are expected to post relatively poor third-quarter results
 yesterday usair group inc. recently one of the industry 's <unk> performers posted a <unk> $ N million net loss for the period
 so far the industry 's fourth quarter is n't looking too strong either prompting many analysts to slash earning projections for the rest of the year by as much as <unk>
 and they say the outlook for N is nearly as bad
 airlines in N came in like a bang and are going out like a <unk> said kevin murphy an airline analyst at morgan stanley & co
 this turn of events has put a big <unk> on an industry that seemed almost <unk> last spring when fares were rising at double-digit rates and many carriers seemed to be growing fat on <unk> in certain markets
 now many airline companies might become a lot less attractive as takeover targets on wall street
 the downturn also raises questions about the carriers ' ambitious orders for new airplanes which currently total $ N billion over the next three years
 for travelers though the industry 's problems have had some positive effects
 in recent weeks airlines have cut numerous fares in leisure markets to try to win back customers
 others have tried to <unk> up <unk> programs
 previously airlines were limiting the programs because they were becoming too expensive
 just last week for example trans world airlines and pan am corp. 's pan american world airways went so far as to offer cash rebates or gift checks of $ N to $ N to certain <unk> members making <unk> flights in business class or first class
 the industry 's slowdown became apparent this month when amr corp. parent of american airlines reported an N N drop in third-quarter net income and said its fourth quarter would be disappointing
 shortly before that usair had said its third-quarter results would be significantly lower than a year earlier
 yesterday it provided the details
 its loss of $ N million or $ N a share <unk> with net of $ N million or $ N a share in the N third quarter
 revenue rose only N N in the latest period to $ N billion from $ N billion
 for the nine months the <unk> va. company 's net plunged N N to $ N million or N cents a share from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 the results surprised many analysts because usair has almost no competition in its pittsburgh hub and has expanded operations by completing its acquisition of <unk> airlines
 shortly after announcing its quarterly loss usair 's stock tumbled $ N a share
 it ended at $ N down $ N in new york stock exchange composite trading
 nobody was expecting this size of a loss said paul <unk> an analyst with first boston corp
 one airline executive who declined to be identified called the loss amazing
 in announcing the results usair cited many of the same problems that several other industry officials have named recently
 it said the industry 's domestic traffic was flat in the third quarter analysts say this was because hefty fare increases earlier in the year scared off many leisure travelers this summer
 to try to combat the traffic slowdown airlines started reducing fares average fares rose only N N in august in contrast to increases of N N each in february and march
 but so far the effort has failed and traffic is still slow
 some other fare promotions have <unk>
 this summer the industry introduced a kids fly free program in which children were allowed to fly free if they were traveling with an adult
 airlines tried to restrict the program substantially by limiting the offer to certain days of the week but it still was apparently used far more heavily than the airlines expected
 airlines also say their <unk> programs are <unk> profits because <unk> are being redeemed at a <unk> rate
 one airline official said about three times as many <unk> coupons are being turned in as in previous years not surprisingly as the airlines last year allowed many travelers to build up <unk> at triple the normal rate
 rising operating expenses are another problem
 fuel costs were up N N in the third quarter
 labor costs which <unk> off in the past few years because of lower pay <unk> for newer employees are on the <unk> again at many carriers
 and some carriers are facing other unexpected headaches usair for example blamed some of its loss on merger expenses and on disruptions caused by hurricane hugo last month
 we can not <unk> the total adverse effects of hugo said edwin <unk> chairman and president of usair group
 whatever the cause for the downturn few people are predicting any sudden improvement
 airline economics inc. an aviation consulting firm is projecting an industrywide operating profit of $ N billion for N compared with earlier forecasts of $ N billion to $ N billion
 as for N the firm predicts that profit will slip to between $ N billion and $ N billion
 good <unk>
 charlie brown is selling out
 those metropolitan life ads were bad enough
 but now charlie brown is about to start pitching everything from <unk> party mix to light <unk>
 why is he <unk> in now
 turns out that next year charlie brown <unk> and the gang turn N and <unk> howard 's united media unit the <unk> and licensing agent for charles <unk> 's comic strip sees a <unk> in licensing the <unk> characters to a <unk> of advertisers for ads <unk> and promotions
 peanuts has become a major part of american culture says peter shore united media 's vice president of marketing and licensing
 the comic strip has a <unk> <unk> quality about it
 our plan is to honor charles <unk> and the strip all year long
 the effort will make the peanuts gang very familiar <unk> in N
 general electric plans to use the characters to plug its <unk> light <unk>
 <unk> will run tv ads at <unk> 's day promoting its <unk> 's love <unk>
 ralston <unk> will promote its <unk> party mix 's three new flavor <unk> named for charlie brown <unk> and <unk>
 the characters will also be featured in a new public service effort for the united way
 beyond the advertisements the <unk> is planning a traveling arena show new tv <unk> for cbs and even an exhibit at the <unk> institute
 the <unk> schedule of <unk> will be kicked off officially with a combination live and <unk> <unk> special at the <unk> bowl in january
 all the <unk> though have some marketing experts questioning whether the party may go too far
 there are too many people participating says al <unk> of <unk> & <unk> a greenwich conn. marketing consulting firm
 if you want to cut through the clutter you have to make your message as distinct sharp and individual as possible
 sharing a character with other advertisers is n't a way to do that
 but united media says it 's very <unk> with the contracts it hands out
 we 're not interested in promoting every single product that comes along mr. shore says
 metropolitan life ad executives could n't be reached about the use of the peanuts characters by others
 but mr. shore says that company 's exclusive advertising rights extend only to the insurance and financial services category
 berry <unk> wpp group
 norman berry the creative executive who was apparently squeezed out of ogilvy & mather in june is returning to ogilvy 's parent company wpp group plc
 mr. berry N had resigned after being asked by ogilvy 's chairman and chief executive officer kenneth roman to give up his title as creative head of the new york office and to take a <unk> international role
 yesterday just a day after mr. roman announced he would leave to take a top post at american express wpp said mr. berry would return to take an international role at the parent company
 mr. berry said the timing was a <unk> and that his decision was unrelated to mr. roman 's departure
 rjr <unk> <unk>
 rjr nabisco inc. awarded its national broadcast <unk> <unk> to <unk> katz partners the new york <unk> of chicago-based <unk> <unk> & <unk>
 the naming of <unk> katz partners as agency of record for nabisco brands inc. and <unk> <unk> co. follows rjr nabisco 's announcement last week that it will <unk> its rjr nabisco broadcast division and dismiss its N employees dec. N to cut costs
 new york-based rjr nabisco would n't say what it spends annually but industry executives say it will spend more than $ N million this year down from about $ N million last year
 ad notes
 earnings
 interpublic group of cos. said third-quarter net rose N N to $ N million or N cents a share from $ N million or N cents a share in the year-earlier period
 revenue increased more than N N to $ N million from $ N million
 holiday promotion
 pepsico inc. will give away N sets of game boy <unk> 's new hand-held video game in a <unk> promotion scheduled to begin nov. N
 pepsi said it will spend $ N million advertising the promotion
 international business machines corp. agreed to acquire a N N stake in <unk> corp. an australian <unk> and <unk> concern for N million australian dollars us$ N million
 the investment will be made through ibm australia ltd. a unit of ibm the two companies said yesterday
 ibm can raise its stake in <unk> to N N over three years but agreed to not go beyond N N in that time
 <unk> said in a statement it has several well developed product and services relationships with the u.s. computer company and plans to expand these links
 the company earns about half its revenue overseas and plans further expansion
 a majority stake in <unk> currently held by <unk> corp. will be diluted to slightly less than N N after ibm acquires its interest
 the agreement requires approval from australia 's foreign investment review board and national companies and securities commission and from shareholders of <unk>
 bond corp holdings ltd. 's consolidated debt totals N billion australian dollars us$ N billion including a$ N billion of bonds convertible into shares
 alan bond chairman and controlling shareholder of the <unk> australian media brewing resources and property concern disclosed the debt figures yesterday
 the disclosure follows last friday 's news that bond corp. incurred an overall loss of a$ N million for the fiscal year ended june N the largest loss in australian corporate history
 the debt load would have been higher but for a reduction of a$ N billion over the past year from asset sales mr. bond said at a business gathering
 mr. bond indicated the consolidated debt figures which include debt of units such as bell group ltd. will be published soon in bond corp. 's N annual accounts
 he predicted the debt will be reduced by another a$ N billion this fiscal year ending june N N but did n't explain how this will be achieved
 mr. bond blamed rising australian interest rates and the acquisition of bell group with its very high levels of <unk> debt for producing a condition that was no longer <unk>
 in order to restore confidence and ensure the support of our principal lenders mr. bond said we <unk> on <unk> changes in the structure and direction of the group
 that <unk> resulted in continuing asset sales as well as write-offs exceeding a$ N billion last fiscal year
 in <unk> we have made a decision to clear the <unk> mr. bond told the meeting
 while some assets have been written down others are undervalued in the accounts mr. bond maintained
 among these are the company 's australian brewing assets in the books at a$ N million but actually worth a$ N billion he said
 an investment in chile 's telephone company is carried at us$ N million but really worth us$ N million and the company 's property portfolio is undervalued by at least a$ N million mr. bond said
 mr. bond forecast that by next june what will emerge will be a company with a <unk> sense of purpose a stable balance sheet with <unk> assets in brewing telecommunications media and property
 he did n't name energy resources in that list <unk> that all the company 's coal and oil interests might be for sale in total or in part
 some of the oil interests already have been sold
 <unk> of north america inc. <unk> <unk> <unk> mich. estimated it will sell about as many cars in N as the N it expects to deliver this year
 mercedes officials said they expect flat sales next year even though they see the u.s. luxury-car market expanding slightly
 erich <unk> president of the u.s. sales arm of west german auto maker <unk> <unk> ag predicted luxury-car sales will rise to N in N from N this year primarily because of the new japanese makes
 most of the growth he said will come in the $ <unk> price range where mercedes has a N N u.s. market share
 mercedes sold N cars in N
 mr. <unk> also said that mercedes plans to bring out new models every year through the mid-1990s and it will <unk> its product development cycle to eight years from N or N years to compete more effectively with toyota motor corp. 's lexus nissan motor co. 's infiniti and honda motor co. 's <unk> luxury-car divisions
 <unk> mining co. san francisco blamed the continued slump in gold prices for an N N plunge in third-quarter net income to $ N million or two cents a share from $ N million or N cents a share a year earlier
 revenue rose N N to $ N million from $ N million
 in new york stock exchange composite trading <unk> closed at $ N down N cents
 a significant increase in gold sales to N ounces for the quarter from N in the third quarter of N was more than offset by the continued decline in average gold price <unk> to $ N from $ N per ounce the company said
 for the nine months the mining company posted a N N drop in profit to $ N million or N cents a share from $ N million or N cents a share on a N N rise in revenue to $ N million from $ N million
 the treasury plans to raise $ N billion in new cash with the sale monday of about $ N billion in short-term bills to redeem $ N billion in maturing bills
 the offering will be divided evenly between 13-week and 26-week bills maturing feb. N N and may N N respectively
 tenders for the bills available in minimum $ N denominations must be received by N p.m. est monday at the treasury or at federal reserve banks or branches
 the treasury said it will alter the auctions unless it has assurance of enactment of legislation to raise the statutory debt limit before the scheduled auctions monday
 apogee enterprises inc. said profit for the third quarter ending dec. N will fall below the year-earlier results because of an after-tax charge of $ N million related to a project that was guaranteed by the company
 a year ago the minneapolis glass products and aluminum window maker earned $ N million or N cents a share on revenue of $ N million
 apogee said the charge stems from a building supply contract in which the company guaranteed a contractor 's performance
 apogee said a <unk> had severe cost overruns and was unable to fulfill the contract terms on its own making it necessary for apogee to advance cash to ensure completion of the project
 the company said its core businesses have performed well and it expects them to continue to do so in the remainder of the fiscal year
 japan 's production of cars trucks and buses in september fell N N from a year ago to N units because of a slip in exports the japan automobile manufacturers ' association said
 domestic demand continues to grow but its contribution to higher production was <unk> in september by the estimated N N fall in imports accompanied by a growing tendency for japanese manufacturers to build vehicles overseas according to the association
 the association said domestic demand grew N N in september
 demand has been growing consistently under the encouragement of <unk> government policies an association spokesman said
 he also said the introduction of a N N consumption tax in april has helped sales
 the new tax though a source of general <unk> among japanese taxpayers replaced a higher commodities tax that applied to automobiles
 japanese domestic <unk> sales rose N N in september the japan automobile dealers ' association said earlier this month
 the manufacturers ' association will issue statistics on vehicle exports later this month
 production of cars rose to N units in september a N N increase from a year earlier
 midsized cars accounted for the greatest growth in units rising N units to N units or N N
 <unk> output more than tripled
 manufacturers produced N of the vehicles which have engines of N cubic <unk> or less an increase of N units
 total truck production fell N N from a year earlier to N units
 <unk> production fell N N to N units
 bus production also slipped by N N from a year earlier to N units
 the association spokesman said bus production has declined since january but could n't offer an explanation for the fall
 auto production for the first half of the fiscal year which began in august totaled N units the association said
 <unk> production was up N N compared with the same period a year earlier
 stock of united airlines parent ual corp. <unk> wildly yesterday amid speculation that one or more investors may challenge the ual board 's decision to remain independent instead of pursuing a buy-out or other transaction
 the board 's decision announced after the market closed monday initially prompted a severe sell-off in ual shares which at midday traded as low as $ N a share down $ N a share in composite trading on the new york stock exchange
 the <unk> <unk> for takeover-stock traders who by then had seen ual stock tumble N N since oct. N also triggered a <unk> sell-off that sent the dow jones industrial average down more than N points at N a.m
 but then steady concentrated buying by bear stearns & co. which frequently buys stock for corporate raiders took hold and <unk> the fall in ual which eventually buoyed the entire market
 the industrial average closed down only N points at N
 late in the afternoon several big purchases by bear stearns particularly a block of N shares at N p.m. at $ N a share triggered a buying spree that took ual up more than N points in the final hour of trading
 ual stock closed at $ N a share down $ N
 volume was a tumultuous N million shares or N N of the N million ual shares outstanding
 traders estimated that bear stearns bought more than N million shares
 the two most frequently rumored buyers neither of whom would comment were coniston partners which battled the ual board in N and new york real estate developer donald trump who recently made and withdrew an offer for american airlines parent amr corp
 however one person familiar with ual said the signs pointed to coniston because mr. trump has n't asked for permission to buy more than $ N million of stock under federal antitrust rules
 takeover-stock traders <unk> by their huge losses in ual stock remained eager for some action by an outside catalyst following the collapse oct. N of a $ 300-a-share $ N billion labor-management buy-out
 their hope was that the catalyst would seek to oust the board in a solicitation of shareholder <unk>
 baker nye investments a new york takeover-stock trader that owns ual stock would n't comment on reports the firm is considering seeking such a shareholder vote
 but partner richard nye said this is the most extraordinary failed transaction i 've seen in N years in this business
 it would make sense for somebody to do it
 i have never seen a case of <unk> shared by so many participants
 in N baker nye <unk> a proxy fight for control of leaseway transportation inc. that ultimately led to leaseway 's being sold
 some traders pointed hopefully to earlier estimates by ual 's investment adviser first boston corp. that <unk> could yield $ N to $ N a share
 but those would require pilots ' cooperation
 any investor who acquires ual stock in an attempt to force a buy-out or recapitalization must deal with united 's contentious unions
 the pilots are working under an expired contract and the machinists contract expires next month
 that gives them enormous leverage including the threat of a strike to block any buy-out or recapitalization attempt they oppose
 however a catalyst like coniston could seek shareholder support for a sale to a labor-management group at the last price discussed by that group before the board meeting monday
 the pilots had been working on a buy-out bid between $ N and $ N a share or $ N billion to $ N billion
 one person familiar with ual said the unsettled labor situation and the uncertain world-wide financial markets contributed to the board 's decision to avoid rushing around selling the company at a bargain price particularly since it accepted a $ 300-a-share offer just last month
 even some takeover-stock traders said they could n't <unk> with the board 's logic
 but the board 's decision prompted many to bail out of the stock yesterday
 we had a lot of people who threw in the towel today said <unk> ellis a partner in benjamin jacobson & sons a specialist in trading ual stock on the big board
 another trader noted that many arbitrage firms are afraid to sell their ual stock at the bottom but already own so much they ca n't buy any more
 this deal is like a <unk> motel he said
 they check in but they ca n't check out
 but both the traders and the pilots remain interested in some transaction
 so too according to many reports is british airways plc despite its public withdrawal from the buy-out
 the pilots might end up <unk> up with their longtime <unk> the machinists union in a recapitalization
 the machinists are reviewing proposals they made in the past for <unk> that would pay a special shareholder dividend and give employees a minority stake
 the company rejected those past proposals
 it is unclear however if the machinists would support a majority stake as the pilots want
 a <unk> official said that would depend on how much in concessions machinists would have to give in return for the majority stake
 some investors whose names were <unk> about by traders as potential ual stock buyers said they were n't buying
 i 'm not interested said dallas investor harold simmons
 a source close to carl icahn a corporate raider who owns trans world airlines inc. said he has n't owned any ual stock and is n't buying
 one person familiar with texas billionaire robert bass said he is n't likely to make any hostile moves
 and a spokesman for reliance group holdings inc. which had held N N of ual before the first buy-out bid but later reduced its holdings below N N would n't comment
 marvin davis whose $ N billion takeover bid originally put the nation 's second-largest airline in play is limited by a standstill agreement with ual he signed in september
 the los angeles investor ca n't buy ual stock <unk> shareholder <unk> or make a new offer unless he makes a formal offer of $ N a share or ual <unk> an offer below $ N
 however mr. davis could pressure the board by asking that the agreement be <unk> or letting it be known that he has financing for an offer at a lower price
 times mirror co. said third-quarter net income fell N N to $ N million or N cents a share compared with net income of $ N million or N cents a share a year earlier
 the los angeles media concern said that the year-ago period included a $ N million gain from the sale of assets primarily <unk>
 revenue was $ N million up N N from $ N million
 stronger results from the company 's broadcast and cable television units and professional and <unk> publishing divisions plus increased advertising at the company 's largest newspaper the los angeles times offset advertising declines in the company 's newspapers in the eastern u.s. the company said
 looking ahead to the fourth quarter the outlook for the newspaper group remains <unk> with no improvement yet seen in operating trends in our eastern markets said robert f. <unk> times mirror 's chairman and chief executive
 copper futures sold off sharply yesterday influenced by declines in the stock market and dollar and a rally in bonds
 december copper opened near monday 's close tried to rally but failed and then triggered stop-loss orders on its way down to settle at $ N a pound off N cents for the day
 stop-loss orders are placed previously with instructions to execute them if the market hits a <unk> price
 william kaiser president of the kaiser financial group in chicago said the decline was almost certainly influenced by the early sell-off in the stock market which partly reflected a weakening economy
 he said the recent decline in copper stocks was misleading in the face of a slowdown in manufacturing
 mr. kaiser said traders could have picked up signals of an imminent price decline had they been watching the scrap metal markets which became <unk> weaker two to three weeks ago
 but though a weakening economy implies reduced demand mr. kaiser said that third world <unk> countries have n't any choice but to sell copper
 they might even step up sales in a falling market he said in an effort to maintain the flow of foreign exchange into their <unk>
 technically mr. kaiser noted that a lot of traders had bought into the market when the price was in the $ N to $ N range thinking there was support at the $ N level
 when the market fell below that level on monday and then yesterday could n't climb above that level traders started selling out their positions
 <unk> <unk> senior metals analyst at prudential-bache securities in new york agreed that most of the selling was of a technical nature
 she said the market hit the $ N level at around N a.m. edt where it encountered a large number of stop-loss orders
 more stop-loss orders were touched off all the way down to below $ N where modest buying was attracted
 ms. <unk> said the settling of strikes in canada and mexico will have little effect on supplies of copper until early next year
 she thinks the next area of support for copper is in the $ N to $ N range
 i believe that as soon as the selling <unk> somewhat we could see a rally back to the $ N region she added
 she thinks a recovery in the stock market would help copper rebound as well
 she noted that the preliminary estimate of the third-quarter gross national product is due out tomorrow and is expected to be up about N N to N N
 if the number is a little better then copper will respond <unk> if it is worse then more selling could <unk> she predicted
 ms. <unk> noted that relating economic numbers to specific market activity is tricky
 yesterday for example the durable goods numbers came out for september and the number was down only N N she said
 however if you exclude <unk> orders then durable goods were down N N
 i believe that number reflects a slowing economy
 she said copper traders will also be looking toward the release of the index of leading economic indicators next tuesday
 however david <unk> president of <unk> & co. an international metals company noted that so far this year copper consumption is way ahead of the same period of N and that projected production is below last year
 mr. <unk> said the copper market seems to be anticipating a recession in three months with declining use being the result
 but he added we have had that exact same perception six times in the last six years
 he noted that currently the ratio of available copper to consumption is about N weeks
 he said the normal ratio is five to six weeks
 according to mr. <unk> the <unk> in copper production is n't at the mines but at the copper refineries
 it takes three months to turn copper concentrate into <unk> he said
 if there is n't a recession he said we will be out of copper by the end of march
 if there is a recession that will change the statistical situation
 he thinks that without a recession copper prices could exceed a high of $ N a pound which was reached last year
 in the past mr. <unk> has been known to have substantial long positions that is he had bought copper futures in anticipation of rising prices in the copper futures market
 in other commodity markets yesterday
 energy the attitude was <unk> in crude oil futures yesterday in trading on the new york mercantile exchange
 prices for the u.s. benchmark west texas intermediate crude remained locked in a fairly narrow range before ending the session four cents lower at $ N a barrel for december delivery
 several analysts and brokers said the petroleum market was ready to rally after two days of price declines from profit-taking
 but an early <unk> drop in the dow jones industrial average stopped the crude rally cold
 the industrial average recovered to close only N points lower but petroleum futures never shook off the <unk>
 most market participants said they were looking to this week 's inventory statistics from the american petroleum institute to give the market some direction
 the report is n't generally available until late on <unk>
 precious metals futures prices inched upward in mostly lackluster trading
 december gold was up $ N an ounce at $ N december silver gained N cents to $ N an ounce
 january platinum rose $ N an ounce to $ N
 mr. kaiser said there were no fundamental factors moving these markets
 he noted that two weeks ago there were rumors of soviet sales of precious metals to finance grain purchases but the sales do n't seem to have materialized
 ms. <unk> thought yesterday 's price action reflected weakness in the stock market and the dollar
 gold still acts as a haven when uncertainty <unk> in the financial markets as it did yesterday she said
 mr. kaiser noted that gold was more than N times the price of silver at the close yesterday which is historically high
 the high ratio reflects the fact that silver is still regarded as about a <unk> metal and its price lagging relative to gold says that traders are expecting a weakening economy he said
 grains and soybeans prices closed lower after trading in relatively narrow ranges because of strong selling in the cash market and continued favorable harvest weather
 the sale to the chinese government of N metric tons of wheat under the government 's export <unk> program was announced after the close of trading monday but the sale was expected and failed to <unk> prices yesterday said dale <unk> a futures analyst with drexel burnham lambert inc. in chicago
 as for other export customers the soviet union is n't expected to be back buying u.s. corn in significant amounts until early next year he said
 a number of commercial grain users <unk> that opinion yesterday by buying certain corn options for delivery in march indicating to analysts that the commercial companies would use the options to hedge against expected corn sales in next year 's first quarter
 cocoa futures at first continued the rally begun on monday but then faltered and closed lower
 the december contract opened just under monday 's close triggered some previously placed buy orders just above $ N a metric ton pushing the price to $ N and then encountered heavy selling by traders who buy and sell for their own accounts and by commercial interests
 the contract settled at $ N a ton off $ N
 robert <unk> senior commodities analyst at kaiser financial group said monday 's rally continued yesterday for only about N minutes after the opening
 he said even though there was arbitrage buying in new york because of the weak dollar cocoa fell to <unk> pressure from bearish traders
 but he noted that speculators apparently do n't believe there is much more of a decline in store for cocoa
 the december contract reached its <unk> low of $ N a ton on oct. N its lifetime high was $ N set in N and its recent high was $ N set in early august
 the last time cocoa traded at prices as low as currently was in N
 but while further modest declines might be ahead mr. <unk> said it would be difficult to get through resistance levels just above yesterday 's high
 citizens first bancorp inc. said it agreed to buy <unk> first financial group inc. a <unk> n.j. bank holding company for about $ N million in cash and stock
 citizens first which controls citizens first national bank and is based in <unk> rock n.j. will pay a maximum of N N in cash for the parent of <unk> savings bank and the remainder in convertible preferred stock with a liquidation value of $ N a share
 <unk> holders will have the option to request either stock or cash
 the convertible preferred will pay dividends at N N and be convertible into shares of citizens first at a rate equal to N N above the average closing price of the stock during a <unk> period prior to the transaction 's completion
 the deal requires regulatory and shareholder approval
 color systems technology inc. los angeles said its major creditor general electric pension trust agreed to convert $ N million of debt owed into N N of color system 's fully diluted common stock
 the agreement also calls for general electric pension a unit of general electric co. to receive as much as N N of color systems ' fully diluted common stock depending on the proceeds from the sale of the <unk> film library and its receivables
 general electric pension took control of the <unk> library last month after color systems defaulted on the loan
 the agreement depends on color systems ' ability to win similar concessions from other creditors
 buddy young president said the company expects to conclude negotiations with other creditors within N days
 color systems which <unk> black-and-white film to color <unk> posted a loss of $ N million or $ N a share on revenue of $ N million for the fiscal year ended june N
 its stock fell N cents to $ N in american stock exchange composite trading yesterday
 next to kohlberg kravis roberts 's <unk> rjr nabisco deal sci television is small <unk>
 but the troubles of sci tv are a classic tale of the leveraged buy-out excesses of the 1980s especially the <unk> game
 sci tv which expects to release a plan to restructure $ N billion of debt in the next day or so is n't just another lbo that went bad after <unk> on debt though it did do that
 the cable and tv station company was an lbo of an lbo a set of assets that were leveraged twice enabling the blue-chip buy-out king henry kravis in N to take more than $ N billion of cash out of the <unk> <unk>
 sci tv 's buy-out was an <unk> in the hole for mr. kravis and for investors in kkr partnerships
 but it has left holders of sci tv 's junk bonds holding the bag including some <unk> that kkr might need to finance future deals such as kemper financial services first executive columbia savings & loan and prudential insurance co. of america
 some junk-holders are said to be considering legal action against kkr or moves to force sci tv into bankruptcy court
 and kkr 's majority partner in sci tv 's buy-out <unk> tenn. entrepreneur george gillett also is said to be very unhappy
 sci tv 's six stations once were part of storer communications
 kkr loaded up the cable and television company with debt in an N buy-out then later sold storer 's cable operations at a fat profit
 in N kkr for the second time <unk> debt onto storer 's tv stations selling them for $ N billion to a new entity that was <unk> by kkr and <unk> by gillett corp. which now operates the sci tv stations
 in this second lbo kkr with one hand took more than $ N billion of cash out of the tv company 's assets and moved it into the storer cable operations making them more valuable in a N sale
 storer also took $ N million of junior sci tv bonds as partial payment for the tv assets
 with the other hand kkr put back into sci tv less than N N of the cash it had taken out buying sci tv common and preferred shares
 so while kkr today has an estimated $ N million <unk> in <unk> sci tv including equity and debt the lbo firm still is $ N billion ahead on the sci tv buy-out after taking cash up front
 on storer as a whole kkr racked up compound annual returns of N N in the three years it owned storer
 meanwhile mr. gillett risks losing his entire equity investment of about $ N million in sci tv if the company ca n't be restructured
 overall mr. gillett 's holding company gillett holdings is heavily <unk> and except for its <unk> mountain resorts is n't doing very well
 with the tv business falling on hard times in recent years analysts say that if sci tv had to be liquidated today it might fetch N N less than in the N buy-out <unk> out most of the company 's junk-holders and its stockholders
 meanwhile sci tv can barely pay its cash interest bill and to stay out of bankruptcy court it must soon <unk> a lot of bank loans and junk bonds that have fallen due
 sci tv 's grace period for paying its bills is due to expire nov. N
 it now is quietly circulating among creditors a preliminary plan to restructure debt
 negotiations have started con <unk> but that 's not to say we like this particular offer says wilbur ross of rothschild inc. adviser to sci tv junk-holders
 no major player in the sci tv deal will talk publicly
 but it 's understood that mr. kravis is disappointed that mr. gillett did n't manage to boost sci tv 's operating profit after the buy-out
 mr. kravis apparently thinks sci tv can survive if lenders extend its debt payments until tv stations rise in value again allowing sci tv to sell assets to pay debt
 mr. gillett is said to be proud of his operating record he has lifted some stations ' ratings and turned around a detroit station
 as for junk-holders they 're <unk> it can be a mistake to take the other side of a trade by kkr
 the bonds of sci tv now are being quoted at prices ranging from only five cents to about N cents on the dollar according to <unk> smith & co. in new york which trades <unk> securities
 people who have seen sci tv 's restructuring plan say it offers concessions by kkr and gillett corp
 they would both give part of their combined $ N million in common equity in sci tv to holders of sci tv 's $ N million of junk bonds as a <unk> to persuade them to accept new bonds that might reduce the value of their claims on the company
 but some <unk> sci tv junk-holders say that 's not enough
 they contend that sci tv 's equity now is <unk>
 they add that it is n't costing kkr anything to give up equity because of its big <unk> cash profit on the buy-out which they think contributed to sci tv 's current problems
 kemper the biggest holder of senior sci tv bonds has refused to join the <unk> committee and is said to be reviewing its legal options
 to protect their claims some junk-holders want kkr and perhaps mr. gillett to invest new money in sci tv perhaps $ N million or more
 one investment banker who is n't involved in the deal says sci tv needs at least $ N million of new equity to survive
 junk-holders say they have a stick to beat kkr with the threat of bankruptcy is a legitimate tool to extract money from kkr says one big sci tv holder
 this could be the first major bankruptcy-law proceeding for kkr he adds
 a big bankruptcy-court case might <unk> kkr 's name and provide new fuel for critics of lbos in washington and elsewhere
 but others say junk-holders have nothing to gain by putting sci tv into bankruptcy-law proceedings
 while kkr does n't control sci tv which is unusual for a kkr investment it clearly has much deeper pockets than mr. gillett
 bankruptcy specialists say mr. kravis set a precedent for putting new money in sour lbos recently when kkr restructured <unk> <unk> furniture doubling kkr 's equity stake
 but with <unk> kkr was only trying to salvage its original investment says bankruptcy investor james rubin of <unk> <unk> rubin in new york
 by contrast kkr probably has already made all the money it can on sci tv
 and people who know mr. kravis say he is n't in a hurry to pour more money into sci tv
 rubbermaid inc. reflecting strong earnings growth boosted its quarterly dividend N N to N cents a share from N cents
 the maker of household products said the new dividend is payable dec. N to shares of record nov. N
 separately the company 's board adopted a proposal to <unk> its N shareholder rights plan further <unk> the company from takeover
 rubbermaid officials said they are n't aware of any effort to take over the company but believed the shareholder plan needed to be strengthened
 the board has stated repeatedly that rubbermaid should be independent said walter w. williams rubbermaid president
 some changes to the plan were minor adjustments but the most significant was an amendment that provides that if any investor holds N N or more of rubbermaid 's voting securities each right held by others would <unk> the holder to buy rubbermaid shares with a market value of twice the right 's exercise price
 mr. williams said the exercise price is $ N meaning holders would have the right to buy $ N of rubbermaid stock for half price <unk> the investor 's N N stake
 for the third quarter rubbermaid earned $ N million or N cents a share up N N from $ N million or N cents a share a year earlier
 sales rose N N to $ N million from $ N million
 rubbermaid shares closed yesterday at $ N off N cents in new york stock exchange composite trading
 the stock market went on a dizzying ride as ual parent of united airlines once again led shares into a <unk> decline and then an afternoon comeback
 at the end of it all the dow jones industrial average closed down N to N
 at one point yesterday morning the dow was down N points
 new york stock exchange volume was N shares
 declining issues <unk> advancers N to N
 yesterday 's sell-off and rebound was a powerful reminder that N days after the 190-point plunge on friday the 13th the stock market still has a bad case of nerves
 takeover stock speculation and futures-related program trading drove the industrial average through wide ranges
 and there is more volatility to come
 october 13th left us with a cut and exposed <unk> said jack <unk> technical analyst for bear stearns
 people are fearful and sensitive
 everybody 's finger is one inch closer to the <unk>
 i have never had as many calls as i had this morning
 volatility is here to stay
 the dow jones industrial average plunged about N points in slightly more than one hour after the opening bell
 for many it began to look like a <unk> of oct. N
 as stocks and stock-index futures fell a trading limit was hit in the s&p N stock futures pit
 under a <unk> crash reform the chicago mercantile exchange would n't permit the december s&p futures to fall further than N points for a half hour
 that caused a brief period of panic selling of stocks on the big board
 but at a critical moment stock-index arbitrage traders showed their power and control
 they <unk> up hundreds of s&p futures when the market needed it most
 at about N a.m. edt several big buy orders hit the s&p pit simultaneously lifting the futures up out of the trading limit and eventually into ranges that caused computer-driven program buying of stocks
 it is very clear that those buy orders came from people who wanted their franchise protected said one chicago-based futures trader
 these guys wanted to do something to show how powerful they are
 traders said goldman sachs shearson lehman hutton and salomon brothers were the main force behind the futures buying at the <unk> moment
 shearson lehman hutton declined to comment
 officials at goldman sachs and salomon brothers were unavailable for comment
 as in the oct. N massacre yesterday morning 's drop was triggered by bad news for speculators in ual
 a ual statement after the market closed monday indicated that the airline 's board wanted to keep the company independent effectively <unk> hopes of an immediate buy-out
 five minutes before the big board opened a preliminary price was <unk> for ual somewhere between N and N a loss of as much as $ N a share from monday 's close
 ual finally opened for trading at N a.m. at N down $ N
 floor traders said there was a huge crowd around the big board specialist 's post where ual trades
 there was a <unk> mass of people said one floor trader
 then there was a big liquidation of stock across the board he added
 takeover speculators who have already taken a record loss estimated at more than $ N million on ual started selling other stocks as well as s&p futures in an attempt to hedge against a further ual blood <unk>
 shortly after the ual opening program traders started selling stocks in the major market index and s&p N index
 the <unk> mmi <unk> the dow jones industrial average
 by N a.m. the dow was down N
 all <unk> in the mmi except exxon general motors and sears were down $ N to $ N
 at N when the s&p N december futures contract <unk> to a <unk> loss under the force of sell programs s&p futures trading was halted and program trades on the big board were <unk> into a special computer that <unk> for order imbalances
 under the rules adopted by the chicago mercantile exchange the futures contract can not drop below the limit but buyers can purchase futures
 at this point the dow industrials were down N points and falling
 the trading halt in the s&p N futures <unk> selling and confusion many traders maintain
 but as the <unk> began to spread through the s&p pit the big brokerage firms came in and bought futures aggressively
 it was <unk> said one futures trader
 in five minutes the dow industrials climbed almost N points
 the big futures buying triggered stock-index buy programs that eventually trimmed the dow 's loss to N points by N a.m
 traders said the futures buying was <unk> calculated by program traders
 these firms sold stock into the big morning decline but seeing the <unk> of the market 's drop held back on their offsetting purchases of futures until the s&p futures hit the trading limit
 then they completed the other side of the trade by buying futures which abruptly halted the stock market 's decline as traders began to buy stocks
 from then on the dow industrials held at a loss of N to N points
 then in <unk> trading <unk> buy orders for ual hit the market including a <unk> order through bear stearns that seemed to spark ual 's late price surge
 almost simultaneously painewebber began a very visible buy program for dozens of stocks
 the combined buying rallied the dow into a small gain before closing at a slight loss
 some institutional traders loved the wild ride
 this is fun asserted susan del <unk> head equity trader at travelers investment management co
 she said she used the market 's wild swings to buy shares <unk> on the sell-off
 on the comeback ms. del <unk> <unk> shares she has been aiming to get rid of
 but traders who risk money handling big blocks of stock were shaken
 this market is eating away my youth said chung <unk> head equity trader at kleinwort benson north america inc
 credibility sounds <unk>
 but i think we are losing credibility because when the market does this it does n't present itself as a rational investment
 but if you <unk> all this it is a beautiful market for investment still
 traders attributed rallies in a number of stocks to a japanese buy program that painewebber carried out as part of a shift in portfolio strategy according to dow jones professional investor report
 dow jones climbed N N to N on very heavy volume of N shares
 analysts said a big japanese buy order was behind the rise
 a dow jones spokesman said there were no corporate developments that would account for the activity
 other issues said to be included in the buy program were procter & gamble which rose N N to N N atlantic richfield which gained N to N N and rockwell international which jumped N N to N N
 painewebber declined to comment
 ual finished at N off N N
 other airline stocks fell in response to the ual board 's decision to remain independent for now including usair group which separately reported a third-quarter loss of $ N a share compared with a year-ago profit
 usair fell N N to N
 amr the parent of american airlines fell N N to N N on N million shares delta air lines lost N N to N southwest airlines slid N to N N and <unk> airlines dropped N to N N
 texas air which owns continental and eastern airlines lost N to N N on the american stock exchange
 metals stocks also were especially weak as concerns about the earnings outlook for cyclical companies weighed on the group
 aluminum co. of america dropped N N to N N phelps dodge fell N to N N asarco lost N N to N N reynolds metals slid N N to N N <unk> dropped N N to N N and <unk> minerals skidded N to N N
 <unk> <unk> was an exception as it gained N N to N on two million shares
 goodyear tire & rubber tumbled N N to N N
 its third-quarter earnings were higher than a year ago but fell short of expectations
 other stocks in the dow industrials that failed to benefit from the market 's rebound included united technologies which dropped N to N N and <unk> <unk> steel which fell N to N N
 bankamerica dropped N N to N N on N million shares amid rumors that the earthquake last week in the san francisco area had caused structural damage to its headquarters building
 the company denied the rumors and noted that it does n't own the building
 stocks of <unk> thrifts also were hard hit
 great western financial lost N N to N N on N million shares golden west financial dropped N N to N N and h.f. ahmanson dipped N to N N
 homefed plunged N N to N N its third-quarter earnings were down from a year ago
 golden valley microwave foods skidded N N to N N after warning that its fourth-quarter results could be hurt by some fairly large international marketing expenses
 <unk> trading swelled volume in two issues security pacific which fell N to N N and led the big board 's most <unk> list on composite volume of N million shares and <unk> industries which lost N to N N on N million shares
 both stocks have dividend yields of about N N and will go ex-dividend wednesday
 kellogg surged N N to N
 donaldson lufkin & jenrette placed the stock on its list of recommended issues
 the company noted that its third-quarter results should be released later this week or early next week
 vista chemical rose N N to N N after bear stearns added the stock to the firm 's buy list citing recent price weakness
 georgia gulf another producer of commodity chemicals advanced N to N N dallas investor harold simmons who holds about N N of its shares said he has n't raised his stake
 norfolk southern went up N N to N N
 the company 's board approved the repurchase of up to N million common shares or about N N of its shares outstanding through the end of N
 <unk> freight climbed N N to N N
 its third-quarter earnings more than doubled from a year earlier and exceeded analysts ' expectations
 john <unk> which will replace american medical international on the s&p N following wednesday 's close gained N to N N
 the amex market value index fell N to N
 volume totaled N shares
 <unk> co. raised its quarterly dividend N N to N cents a share from N cents payable jan. N N to shares of record dec. N N
 the action increases the annual dividend to $ N a share from $ N
 this is the <unk> year in which the washington media company has increased dividends
 <unk> 's third-quarter earnings rose N N to N cents a share from N cents in the year-ago period
 sales rose N N to $ N million from $ N million
 <unk> has N million shares outstanding
 fireman 's fund corp. said third-quarter net income plunged N N to $ N million from last year 's $ N million or N cents a share because of <unk> of hurricane hugo and increased reserves for legal expenses
 payout of preferred dividends resulted in a net loss of five cents a share in the most recent quarter
 revenue edged up N N to $ N million from $ N million in last year 's third quarter
 in new york stock exchange composite trading fireman 's closed at $ N a share down N cents
 impact of the oct. N san francisco earthquake which will be recorded in the fourth quarter is n't expected to exceed $ N million after taxes the company added
 for the nine months the insurance company said net fell N N to $ N million or $ N a share from $ N million or $ N a share the previous year
 revenue slid N N to $ N billion from $ N billion a year earlier
 fireman 's fund <unk> subsidiaries reported a N N combined underwriting ratio for the nine months up from N N for the year-ago period
 hurricane hugo accounted for about $ N million in pretax third-quarter losses net of reinsurance <unk>
 the company said there was an additional increase in loss and <unk> reserves of $ N million reflecting higher than expected development in claims legal expenses from to prior periods
 for the third quarter net premiums were $ N million up N N from $ N million in last year 's quarter because of the expiration of the national <unk> quota share reinsurance agreement
 net premiums written through sept. N fell N N to $ N billion from $ N billion a year ago because of the writing of fewer policies at flat prices the company said
 third-quarter and nine-month results do n't include any provision for premium returns that could be ordered by the california department of insurance under proposition N
 fireman 's fund said it has applied for an exemption from these rate <unk> and plans to defend its filing in hearings before the department
 control data corp. said it is offering to purchase the $ N million amount of its N N N senior notes due june N N at par plus accrued interest to the dec. N purchase date
 the minneapolis computer systems and services concern said the offer is required under the senior note <unk> as a result of control data 's recent sale of its disk drive subsidiary <unk> to seagate technology inc
 child 's game
 there was very slow play on the market today they were selling and buying by <unk> instead of trading like bears and bulls they behaved like cubs and <unk>
 george o. <unk>
 <unk>
 i 've learned one thing from candidates a technique so <unk> done if a question ca n't be answered strongly answer an <unk> one
 <unk> <unk>
 <unk>
 we need to get a space platform set up soon just in case we want to step out for a breath of fresh air
 <unk> ball
 after being <unk> by a volatile stock market treasury bonds closed higher
 but junk bonds took more hits
 early in the day bond dealers said trading volume was heavy as large institutional investors scrambled to buy long-term treasury bonds on speculation that the stock market 's volatility would lead to a <unk> rally
 that happens when nervous stock investors dump equities and buy treasurys which are higher in quality and thus considered safe
 some retail accounts such as commercial banks and pension funds wanted to get on the <unk> before it was too late said sung won <unk> chief economist at <unk> corp. minneapolis
 at one point the dow jones industrial average fell about N points on news that ual corp. decided to remain independent
 in response treasury prices soared N N points or about $ N for each $ N face amount
 but the gains in treasury bonds were <unk> as stocks staged a partial recovery
 the industrial average ended at N down N points
 economists said the bond market 's strength also is a sign that investors expect the federal reserve to cut interest rates amid growing evidence that the economy is slowing
 while they do n't expect the fed to move right away they say the case for lower rates is building
 yesterday for example the commerce department reported that new orders for durable goods fell N N while the nation 's auto makers reported lackluster mid-october sales
 the treasury 's 30-year bond ended over N point higher
 municipal mortgage-backed and investment-grade corporate bonds rose N to N point
 but high-yield high-risk bonds fell N to N point with the stock market early in the session and never recovered
 according to a trader at drexel burnham lambert inc. the hardest hit junk bonds were those issued by rjr holdings capital corp. which are the <unk> to sell
 rjr 's N N bonds due N fell N N points
 trading activity in the junk market was extremely light as dealers could n't find enough buyers to match sellers
 while the stock market was falling most junk bond holders were just watching it not knowing what to do said paul <unk> director of fixed-income securities at oppenheimer management corp
 it was like driving down the highway watching a <unk>
 everybody was <unk>
 adding to the junk market 's jitters were reports that donaldson lufkin & jenrette securities corp. is having trouble <unk> a $ N billion offering for tw food services inc. and will postpone or even cancel the issue
 tw is the largest franchisee of <unk> 's a fast-food restaurant and operates several other food chains
 donaldson lufkin would n't comment
 credit analysts said investors are nervous about the issue because they say the company 's ability to meet debt payments is dependent on too many <unk> including the sale of assets and the need to mortgage property to retire some existing debt
 also the tw offering includes <unk> and <unk> securities which are currently unpopular
 meanwhile investors turned a cold shoulder to the treasury 's sale of $ N billion of new two-year notes yesterday
 it 's not too surprising that the auction was sloppy given the volatility in the bond market because of stocks said robert t. <unk> a senior vice president at <unk> bank ltd
 people are looking past supply to lower interest rates but they 're also worried about being <unk> by the volatility in the stock market
 the new two-year notes were priced with an average yield of N N
 that was higher than the N N to N N average yield that traders had expected
 in when-issued trading the notes were quoted at a price to yield N N
 sluggish demand was also <unk> by the weak <unk> <unk> ratio which was lower than the average <unk> ratio at the last N similar auctions
 the ratio which reflects the number of bids the treasury receives for each bid accepted is used to gauge investor demand
 dealers said players <unk> away from the note sale because they were concerned that prices at the time of the auction might erode if the stock market staged a recovery which in fact did happen
 individual and japanese participation in the auction was disappointing according to dealers
 interest by japanese investors was limited said michael <unk> chief economist at daiwa securities america inc
 they are typically not active in two-year note auctions but today 's participation could be viewed as <unk>
 however mr. <unk> added that the japanese generally have a positive view of the u.s. bond market because of expectations that the dollar will remain strong and interest rates will decline
 he said possibly they 're waiting to buy at the quarterly refunding of government debt to be held next month by the treasury
 a trader at a japanese firm estimated that the japanese purchased no more than N N of the two-year notes
 treasury agency securities
 today investors will focus on the long-awaited auction of $ N billion of 30-year bonds by resolution funding corp
 the initial bond offering by the new government agency which was created to help rescue the nation 's troubled thrifts is n't expected to see robust demand
 a small yield premium over comparable treasurys and a lack of liquidity is <unk> dealers ' efforts to drum up interest in the so-called bailout bonds
 in when-issued trading the refcorp bonds were quoted at a price to yield N N
 yesterday the benchmark 30-year bond was quoted late at N N to yield N N compared with N N to yield N N on monday
 the latest 10-year treasury was quoted at N N to yield N N compared with N N to yield N N
 short-term rates were unchanged to slightly lower
 the discount rate on three-month treasury bills was quoted at N N for a bond-equivalent yield of N N while the rate on six-month treasury bills was quoted at N N for a yield of N N
 rates are determined by the difference between the purchase price and face value
 thus higher bidding narrows the investor 's return while lower bidding widens it
 corporate issues
 several blue-chip companies tapped the new-issue market yesterday to take advantage of falling interest rates
 three of the largest offerings by exxon capital corp. xerox corp. and citicorp were underwritten by groups led by salomon brothers inc
 exxon capital <unk> to be a potential debt issuer offered $ N million of 10-year notes priced to yield N N
 citicorp issued $ N million of seven-year notes priced to yield N N and xerox priced $ N million of <unk> notes to yield N N
 meanwhile international business machines corp. <unk> the way for a visit to the credit markets by filing a shelf registration with the securities and exchange commission for $ N million in new debt
 this is in addition to ibm 's existing shelf registration under which $ N million in debt securities are available for issuance
 in secondary trading investment-grade corporate bonds ended N to N higher
 municipals
 actively traded municipal bonds ended N to N point higher in brisk trading despite a flood of new supply
 new jersey turnpike authority 's N N issue of N finished N point stronger at N N bid to yield N N
 traders said municipals were <unk> by influences including the climb in treasury issue prices
 also municipal bonds <unk> buying because the stock market remains <unk> traders contended
 mainly though it was a favorable outlook for yesterday 's new supply that <unk> up municipals some traders said
 among the new issues was massachusetts 's $ N million of general obligation bonds
 the bonds were won by a goldman sachs & co. group with a true interest cost of N N
 they were priced to yield from N N in N to N N in N
 the massachusetts deal had an <unk> balance of $ N million in late trading the underwriter said
 mortgage asset-backed securities
 mortgage securities gained N to N point after a hectic session with government national mortgage association N N securities as the <unk> issue
 the ginnie mae issue rose amid talk of large purchases of the securities by institutional investors
 the derivative markets remained active as one new issue was priced and talk circulated about more offerings in the next day or two
 the federal home loan mortgage corp. issued a $ N million real estate mortgage investment <unk> backed by its N N N securities
 in the asset-backed market a big offering of ford motor credit corp <unk> securities was increased in size after strong institutional demand
 the deal by the ford motor co. unit priced monday was increased to $ N billion from $ N billion
 among major <unk> issues ginnie mae N N securities for november delivery ended at N N up N after <unk> an early high of N N N N securities were at N N up N N N N securities at N N up N and N N securities at N N up N
 freddie mac N N securities were at N N up N
 the ginnie mae N N issue was yielding N N to a 12-year average life assumption as the spread above the treasury 10-year note held at N percentage points
 foreign bonds
 the eurodollar bond market <unk> to life late in the european trading session after the dow jones industrial average tumbled
 eurodollar bonds are often issued by foreign corporations but interest and principal are paid in dollars
 the bonds ended about N point higher yesterday
 prices of european government bonds also rose as u.s. stocks declined
 west germany 's N N issue due october N rose N point to N to yield N N while the N N N issue due july N rose N to N to yield N N
 britain 's N N N treasury bond due N rose N to N N to yield N N while the N N notes due N rose N to N N to yield N N
 in japan government bond prices fell
 the no. N N N bond due N ended on brokers ' screens at N down N point to yield N N
 <unk> bancorp inc. <unk> n.y. said it increased its regular quarterly dividend N N to N cents a share from N cents
 it is payable dec. N to stock of record nov. N
 the move was made because of the bank-holding company 's increased profitability officials said
 in the third quarter <unk> earned $ N million up from $ N million a year earlier
 in national over-the-counter trading yesterday <unk> closed at $ N up N cents
 <unk> has N million shares outstanding
 <unk> surgical co. 's board said that it has removed thomas r. <unk> as president and chief executive officer and that john r. wolf formerly executive vice president sales and marketing has been named president and chief executive officer
 mr. <unk> has been involved in a dispute with the board since august when he ousted all the directors
 later they said they fired him and two directors attempted to place the company under bankruptcy-law protection
 a federal judge turned down the chapter N petition
 the company 's latest announcement said mr. <unk> will remain a director of <unk> a maker of products for <unk> surgery
 mr. wolf and other members of the board declined to comment on the announcement
 mr. <unk> could n't be reached
 the <unk> board also said that john r. ford resigned as a director and that mr. wolf was named a member of the board
 east <unk> krenz warned against further pro-democracy protests
 after the legislature confirmed him as the communist party leader krenz said demonstrations to demand democratic freedoms could cause a worsening of the situation or confrontation
 he also <unk> east germany 's <unk> to communist <unk>
 but as many as N people marched in east berlin after the speech to protest his election
 during the balloting N members of the <unk> parliament voted against krenz a move considered unprecedented in the country 's <unk> history
 officials in east berlin responding to complaints from opposition groups admitted police used excessive force in <unk> protesters this month
 the iran-contra judge agreed to allow <unk> to subpoena the personal papers of <unk> reagan ruling that there was sufficient evidence that the data would be important to the defense
 but the judge denied a request by the former national security adviser who faces five criminal charges to seek documents from bush
 san francisco bay area officials said nine people remain missing in the aftermath of last week 's earthquake
 the death toll rose to N
 the house meanwhile approved $ N billion to aid in the recovery from the temblor and from hurricane hugo as state legislators moved toward a temporary <unk> increase
 u.s. officials expressed skepticism over an israeli effort to show the plo continues to practice terrorism
 israel provided the state department with a list of recent alleged terrorist incidents attributed to forces controlled by arafat but the u.s. said it was n't satisfied that the incidents <unk> terrorism
 tv <unk> jim bakker was sentenced to N years in prison and fined $ N for <unk> <unk> of his <unk> ministry
 bakker who was immediately taken into custody was convicted oct. N by a federal court jury in charlotte n.c. of fraud and conspiracy for <unk> more than $ N million of ministry funds for personal use
 lawmakers in moscow voted to deny the communist party its N guaranteed seats in the soviet congress meaning gorbachev and other aides might have to face voters
 in warsaw shevardnadze held his first talks with the <unk> government and vowed to maintain fuel supplies
 poland 's premier is to visit moscow next month
 the arab league pledged an accord for a complete syrian troop pullout from lebanon where about N people marched to the headquarters of christian leader aoun to support his rejection of a peace plan approved sunday by lebanon 's legislature
 the plan lacked a withdrawal timetable
 <unk> <unk> renewed an offer to trade their <unk> in lebanon for at least N <unk> <unk> <unk> jailed in kuwait
 the statement by <unk> <unk> which holds at least two u.s. <unk> was accompanied by a photograph of associated press <unk> terry anderson longest held of N western <unk>
 the treasury department said s&ls reject blacks for mortgage loans twice as often as they reject whites
 the department 's office of thrift supervision said that does n't necessarily mean thrifts are <unk> but conceded that it does n't have data about applicants to determine why blacks are rejected more often
 emergency crews searched through the <unk> rubble of a phillips petroleum co. plastics plant near pasadena texas where a series of explosions monday killed at least two people and injured N
 company officials said N workers were missing and presumed dead
 safety authorities did n't immediately know the cause of the <unk>
 nato defense ministers opened a two-day meeting in portugal to assess the alliance 's <unk> needs amid reduced <unk> <unk>
 the ministers ordered a study on the strategic role of nuclear arms in western europe once soviet conventional weapons are reduced in the east bloc
 the justice department scrambled to play down the significance of revised guidelines concerning prosecutions under the federal racketeering law
 the guidelines which discourage prosecutors from seeking court orders <unk> the assets of certain racketeering defendants prior to trial were first disclosed this week
 died s. clark <unk> N <unk> and chief executive officer of bank of america <unk> saturday in <unk> calif
 stock prices swung wildly as the market reacted to an initial plunge by ual shares followed by a sharp rebound in the afternoon
 the dow jones industrials down over N points in the morning closed off N at N
 bond prices surged in reaction to the sell-off in stocks then eased slightly during the afternoon recovery
 the dollar finished lower
 ual 's stock regained most of an early loss amid speculation one or more investors may challenge the airline 's decision to stay independent
 the stock closed down $ N at $ N after plunging $ N to $ N
 ford may seek all of jaguar setting the stage for a possible bidding war with gm
 jaguar has been discussing an alliance with gm but ford 's move may <unk> the talks
 car and truck sales slid N N in mid-october as u.s. manufacturers paid the price for heavy incentives earlier in the year
 general motors continued to be hardest hit
 durable goods orders slipped N N in september reflecting weakening auto demand after a <unk> of orders for new N models
 excluding transportation items orders rose N N
 norfolk southern 's board approved a buy-back of up to N million shares valued at over $ N billion
 the repurchase coupled with an earlier <unk> will reduce the firm 's shares outstanding by over N N
 ps new hampshire received a sweetened $ N billion offer from northeast utilities likely spurring a new round of bidding for the utility
 ge executives were accused by u.s. prosecutors of providing misleading and false data to the pentagon in N to cover up longstanding fraudulent billing practices
 texaco said profit rose N N in the quarter partly due to a massive restructuring
 sun posted a gain
 mobil shell and chevron had declines
 mobil is preparing to slash its work force in the u.s. possibly as soon as next month sources said
 sears posted a N N drop in third-quarter profit as u.s. retail operations recorded the first loss in over five years
 the results show sears is struggling to attract shoppers
 digital equipment announced its first mainframe computers targeting ibm 's largest market and heating up the industry 's biggest <unk>
 cray research expects supercomputer sales to be flat next year the latest in a series of negative announcements by the company
 short interest increased N N in the nasdaq over-the-counter market for the month ended oct. N
 salomon posted an unexpectedly big gain in quarterly earnings aided by its securities trading and investment banking activities
 procter & gamble 's profit surged N N in its latest fiscal quarter aided by a gain from a legal settlement and continued growth overseas
 goodyear 's profit rose N N in the quarter buoyed by improved operating results in its tire business
 markets
 stocks volume N shares
 dow jones industrials N off N transportation N off N utilities N off N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N off N spot index N off N
 dollar N yen off N N marks off N
 genetic <unk> spotted in <unk> embryo
 researchers <unk> a genetic <unk> in a <unk> mouse embryo in an experiment directly applicable to humans
 <unk> <unk> of genetic defects as early as the sixth week of pregnancy is increasingly common today
 but the mouse experiment at a medical research council laboratory in london shows genetic defects can be detected three days after conception using a new <unk> <unk> technique
 the experiment applicable to many genetic disorders involved <unk> a severe blood <unk> resulting from a missing <unk> gene
 it 's an inherited human <unk> that 's been <unk> in mice
 in the experiment mice with the defective gene were <unk>
 three days later before the new embryo had become <unk> in the <unk> it was <unk> out of the mother mouse
 the embryo had <unk> only to a <unk> of eight identical cells
 one cell was <unk> out and its dna <unk>
 using the new technique developed by <unk> corp. called the <unk> chain reaction the scientists rapidly made millions of copies of the section of dna that ordinarily contains the <unk> gene providing enough copies to test
 a genetic probe showed the <unk> gene was missing the researchers report in the medical journal <unk>
 in the report two <unk> <unk> suggest such embryo <unk> can be used by couples at high risk of passing a genetic <unk> to a child
 for example <unk> couples who have the woman 's eggs <unk> in the test tube usually have several eggs <unk> at a time
 when the <unk> cells divide to eight cells a single cell from each embryo can be tested for genetic defects
 a healthy embryo can be picked for <unk> and defective ones discarded
 or in other couples the embryo could be temporarily taken out and tested three days after conception and returned if healthy or discarded if not
 yeast adapted to make <unk> drugs
 an oil company finds a sideline in the <unk> world of yeast
 in the early 1970s when the world food crisis was a major worry phillips petroleum co. like several other big companies began developing <unk> protein <unk> protein made by <unk> feeding on <unk> materials
 phillips found and improved a yeast <unk> <unk> which made protein from natural <unk> alcohol
 it also could convert <unk> from farm <unk> into <unk> protein
 <unk> protein never <unk> out and most companies abandoned such research
 but phillips <unk> calling in scientists from the <unk> institute
 they 've now adapted the yeast to making genetically engineered drugs
 like the bacteria used by genetic engineers the yeast can take in human genes and <unk> out human proteins for medical use
 but the yeast genetic <unk> is more like that of animals than the <unk> genetic <unk>
 thus the proteins from the yeast are <unk> more like human proteins than those from bacteria
 the oil company claims its yeast system also is better than bacteria at <unk> production of genetically engineered drugs
 chiron corp. an <unk> calif. biotechnology firm is seeing if the phillips yeast can be used to make its genetically engineered human proteins
 <unk> inside arteries from outside the body
 <unk> blood vessels without <unk> <unk> into the body may come out of research at at&t bell laboratories
 strokes heart attacks leg <unk> <unk> <unk> and other problems stem from <unk> of the arteries by <unk> deposits
 at present doctors can see how badly an artery is <unk> only by <unk> a thin <unk> into the artery and <unk> a <unk> that makes the arteries visible on <unk>
 a <unk> method is being <unk> by <unk> lynn <unk> at the at&t unit
 it relies on the fact that certain atoms give off <unk> signals when <unk> to an intense magnetic field
 it 's the same phenomenon used in the new <unk> magnetic <unk> <unk> <unk> being used in hospitals in place of <unk> <unk>
 in the bell labs experiments an <unk> of machine <unk> with the <unk> via an <unk> rapidly <unk> a magnetic field on and off as blood passes a certain point in a vessel
 the rapidly <unk> return signals from excited <unk> atoms in the blood give a <unk> movie of the <unk> vessel like the <unk> seen in <unk> <unk> when a <unk> light is <unk>
 the scientists have <unk> on the tiny neck arteries of <unk>
 they 've been able to measure the <unk> movements of the artery wall as the beating heart raises and <unk> the pressure of the flowing blood a first for such tiny blood vessels they report in nature a scientific journal
 they now are <unk> with measuring blood flow
 the ultimate hope is that the technique could identify <unk> vessels
 odds and ends
 tests on <unk> <unk> from chile indicate ancient wood fires did n't produce <unk> or <unk> <unk> a theory the two <unk> today are coming from wood burning general electric co. reports in environmental science & technology magazine
 almost N N of <unk> men have an <unk> sense of <unk> vs. fewer than N N of <unk> women reports the american journal of <unk>
 the justice department said it filed a lawsuit seeking more than $ N million from a meredith corp. unit on charges that the company <unk> the government on a contract to provide relocation services for federal employees
 the suit filed in federal trial court in des <unk> iowa where meredith is based alleges that the diversified media company 's relocation unit <unk> the government by <unk> the value of government employees ' homes
 the government contract required meredith relocation corp. to purchase employees ' homes based on independent <unk>
 the justice department alleges that the company engaged in various forms of <unk> with the goal of reducing the <unk> value of employees ' homes
 in the suit the department seeks to recover $ N million in costs incurred when the government terminated its contract with meredith relocation and sought other contracts to replace it
 the department also said it seeks three times the government 's damages which are <unk> <unk> plus penalties
 officials with meredith did n't have any immediate comment on the suit
 lloyd 's of london said it plans to <unk> down on the ability of underwriting syndicates to leave their annual accounts open beyond the <unk> three years
 underwriting syndicates at lloyd 's the world 's largest insurance market generally do n't close their accounts for three years to allow for the filing of claims and litigation
 when such claims and litigation extend beyond the period the syndicates can extend their accounting deadlines
 lloyd 's said there are currently N open account years involving N of the market 's roughly N syndicates
 the <unk> accounting practice is widely recognized within lloyd 's as of serious concern to the N member investors who underwrite insurance at lloyd 's in return for premium and investment income lloyd 's said
 the procedure causes great uncertainty because an investor ca n't be sure of his or her individual liability lloyd 's said
 as a result the insurance market plans new measures to restrict the ability of syndicate officials to leave years open
 lloyd 's said it expects to enact new rules <unk> the changes by year end
 under the new rules the officials will have to secure additional information and reports from <unk> including an assessment of whether officials have acted reasonably
 in addition officials will have to get quotes for certain reinsurance contracts and obtain approvals from other syndicate directors
 computer associates international inc. reported earnings for the second quarter ended sept. N plummeted N N primarily because of the acquisition of <unk> software inc
 the nation 's largest software company earned $ N million or five cents a share compared with $ N million or N cents a share a year earlier
 revenue rose N N to $ N million from $ N million
 the drop in earnings had been anticipated by most wall street analysts but the results were reported after the market closed
 computer associates closed at $ N down N cents in composite trading on the new york stock exchange
 anthony wang president attributed the drop to the disruption of the company 's business resulting from the prolonged process of acquiring <unk>
 the acquisition was completed in september
 in august the company warned investors that the acquisition was being delayed and many customers were holding off on purchase decisions until the takeover was completed
 the delays mainly affected sales of data base management products a core area for both computer associates and <unk> as well as sales of other products as part of package sales
 residents of this city soon will be seeing ads urging them to visit cleveland 's <unk> museum lake view cemetery
 despite such famous tenants as oil <unk> john d. rockefeller lake view cemetery has fallen on hard times
 so the inner-city <unk> ground is trying to <unk> itself with a television advertising campaign
 the ads <unk> the <unk> of some of lake view 's residents
 a spot <unk> bill white the inventor of <unk> gum shows a woman trying to <unk> her <unk> <unk> from a <unk> of gum
 another focuses on charles <unk> the first person to light a city <unk>
 it shows a boy <unk> rocks at a street <unk>
 street lights the ad points out helped <unk> the arm of many a <unk> baseball player
 cemetery officials hope the ads which will begin airing next month will not only draw visitors but bolster <unk> and <unk> fund contributions
 lake view had an operating deficit last year and has a poor reputation as an <unk> and <unk> cemetery
 the private <unk> cemetery has had trouble competing against its <unk> counterparts which use direct mail and other advertising to sell lots
 we do n't want to be known as <unk> <unk> says william garrison lake view 's president
 we want people to think of lake view as an historical park and educational experience
 a <unk> place to come and spend a few hours
 not all of the cemetery 's <unk> tenants lend themselves to the promotional job at hand however
 for example president james a. <unk> is <unk> here the victim of an assassination in N
 mr. garrison notes however that the <unk> <unk> is one of the nation 's premier examples of <unk> architecture
 mr. rockefeller buried beneath a <unk> <unk> <unk> did n't seem right for an ad either
 the oil <unk> who spent his later years passing out <unk> to counter his <unk> image is n't <unk> amusing says barry <unk> creative director at <unk> canton ohio which is producing the ads
 but there are plenty of other promising prospects at lake view <unk> believe ernest ball for instance who wrote when irish eyes are smiling and <unk> morgan the inventor of the gas <unk> and the <unk> traffic light
 <unk> <unk> shares made a debut like snow white yesterday while most of the london stock market looked like it had <unk> the evil queen 's <unk> apple
 in its first day of when-issued trading here <unk> disney soared like <unk> to close at N pence $ N up N N from its <unk> offering price
 the overall london market following wall street 's early <unk> took a late beating
 the financial times-stock exchange 100-share index plummeted N points to close at N
 traders credited <unk> disney 's share performance to the tremendous <unk> of the project that the shares are <unk> to help finance walt disney co. 's <unk> theme park N miles east of paris
 the park is slated to open in N
 the issue was very <unk> disney is such a well-known you can say world-wide name said <unk> <unk> head trader of european equities at kleinwort benson ltd. which is making a market in the issue
 mr. <unk> estimated that the issue 's london debut was accompanied by very very heavy turnover between five million and six million shares
 most of the buying was institutional he added
 official trading in the shares will start in london paris and brussels on nov. N when the <unk> <unk> offering valued at the equivalent of nearly $ N billion comes to market in the european community
 u.s. investors will be permitted to buy the shares from ec investors N days later
 because of the interest connected with the issue the london exchange took the unusual step of letting traders establish an officially <unk> when-issued market
 a volatile <unk> gray market in the shares has been operating in paris for about two weeks
 in contrast to the london performance <unk> disney there closed down three francs yesterday at N N francs $ N bid but still about N N over the <unk> offering price
 a lot of people are getting hurt on this <unk> <unk> cautioned <unk> <unk> a london-based salomon brothers international ltd. trader who makes a market in <unk> <unk> disney shares
 there should be no great rush for investors to buy this
 a lot of big european banks mostly french and swiss <unk> accounts have been buying the stock just to <unk> it for a quick profit he said
 albert fried jr. a <unk> director and holder of a N N stake in the company was named chairman of this maker of products for the construction equipment material handling and railroad industries
 he succeeds <unk> white jr. N who resigned but continues as a director
 mr. fried also is the managing partner of albert fried & co
 ford motor co. <unk> its battle with general motors corp. over jaguar plc by saying it is prepared to make a bid for all of the british auto maker when restrictions on its <unk> are lifted
 the statement was part of a ford filing with the u.s. securities and exchange commission
 ford did n't say how much it might offer for jaguar or when
 the british government currently <unk> any outside investor from holding more than N N of the company 's shares without permission until dec. N
 but with its stake in jaguar which it raised yesterday to N N ford could <unk> a special jaguar shareholders ' meeting and urge holders to vote to drop the restriction sooner
 a successful vote would put pressure on the british government to lift the restriction
 we have not made that decision to seek a jaguar special shareholders ' meeting said <unk> <unk> a ford spokesman in london
 he emphasized that the car maker only would bid for all of jaguar under the right circumstances and said those circumstances are n't right or possible at the moment
 last month ford announced plans to acquire as much as N N of jaguar
 since then jaguar officials have confirmed that they are discussing an alliance with gm and said last week that they hoped to reach an agreement within a month
 analysts have been expecting a <unk> pact that would give the u.s. car maker an eventual N N stake in the british company and create joint ventures that would produce an <unk> range of cars
 but the specter of ford eventually launching a <unk> bid could <unk> the <unk> talks
 jaguar seems to be losing interest in giving gm a minority stake said one individual close to the talks adding it would n't surprise me if jaguar executives want to wait and see what the color of that ford bid is first
 he predicted ford officials will meet with jaguar executives in the next week to <unk> their proposed offer
 sir john <unk> jaguar 's chairman so far has refused to meet with ford officials but he is believed to be willing to consider a specific bid proposal
 as for gm its <unk> position has to be a full bid itself said stephen reitman european <unk> analyst at london brokers <unk> & drew
 a ford takeover of jaguar would have such implications for the balance of power in the 1990s that general motors ca n't afford to step aside
 they will have to throw their hat in the ring
 a gm spokesman yesterday reiterated the company 's interest in acquiring a minority stake to help jaguar remain independent
 a pitched battle could mean jaguar would fetch # N $ N a share or about # N billion $ N billion several analysts believe
 the prospect of such a takeover fight has sent jaguar shares soaring in recent weeks
 u.s. takeover-stock speculators now own an estimated N N of jaguar shares
 in a declining london stock market yesterday jaguar shares were down four pence from monday in late trading at N pence $ N a share
 in the u.s. jaguar 's american depositary receipts rose N cents in over-the-counter trading to $ N
 both ford and gm badly need a luxury brand to combat new competition from the japanese in the european and u.s. markets
 and financially strapped jaguar has spent over a year looking for a rich uncle to provide cash and technological know-how
 the company has expressed a preference for gm over ford because gm has promised it would keep jaguar independent
 ford 's need to acquire some or all of jaguar became more <unk> last week when it abandoned a four-year effort to market its <unk> merkur scorpio sedan as a european luxury import in the u.s.
 then last friday ford 's talks about a possible alliance with saab-scania ab of sweden collapsed
 gm 's interest in jaguar reflects a desire to help diversify the u.s. company 's products in the growing luxury-car segment of the market
 its <unk> line has a solid image and a recent string of highly successful new models but it lacks jaguar 's <unk>
 gm officials also see a lot of potential in <unk> jaguar 's cars to the technological know-how of group lotus plc a british engineering and specialty car maker gm bought in N
 texaco inc. reported an N N increase in third-quarter earnings which it attributed partly to the company 's massive restructuring after it emerged from bankruptcy-law proceedings N months ago
 sun co. also reported higher earnings
 meanwhile like many other oil companies hurt by <unk> <unk> businesses mobil corp. shell oil co. and chevron corp. reported lower quarterly earnings
 texaco
 texaco 's exploration and production earnings improved as a result of its streamlining of those operations as it sold many of its marginal producing properties over the past N months
 an increase in production at some major oil fields in the north sea which had been knocked out by an explosion in july N also aided results
 the sale of a portion of refining and marketing operations to saudi arabia helped alleviate the decline in earnings from that business
 the company has been completely revamped said frank <unk> analyst for prudential-bache securities inc
 third-quarter net income at texaco rose to $ N million from $ N million last year
 revenue declined N N to $ N billion from $ N billion
 per-share earnings declined to $ N a share from $ N a share largely because of N million additional shares issued to retire $ N billion of debt
 per-share earnings also shrank because of dividends on a new series of preferred stock
 sun sun co. 's net income climbed N N to $ N million or N cents a share from $ N million or N cents a share
 revenue increased N N to $ N billion from $ N billion
 sun said some of the growth reflects higher earnings in the oil <unk> operation of <unk> a <unk> canadian subsidiary
 chairman robert <unk> jr. said the synthetic crude oil production from the facility rose even as the price for that oil increased
 overseas exploration and production results also improved because of additional output from the north sea <unk> field a portion of which was acquired by sun earlier this year
 results declined however in sun 's refining and marketing and coal businesses
 shell oil
 profits of shell a subsidiary of the royal <unk> group tumbled $ N million or N N to $ N million despite a gain of $ N million from an insurance settlement
 president frank <unk> attributed the decline to lower natural gas prices which <unk> higher earnings from the crude oil sector of shell 's exploration and production operation
 <unk> away some of the gain in that unit was a decline in u.s. oil production to N barrels of oil a day during the quarter from N barrels a day last year
 shell 's chemical earnings fell by $ N million to $ N million reflecting lower margins and less demand for commodity chemicals
 mobil
 net income at mobil corp. slipped N N to $ N million or $ N a share from $ N million or $ N a share
 revenue declined $ N million to $ N billion
 earnings included a one-time gain of $ N million on a property transaction in hong kong
 exploration and production profits slumped $ N million due to a provision for restructuring costs
 the restructuring will take place over a two-year period and will involve the transfer and <unk> of employees in u.s. operations to reduce costs and focus efforts in other areas
 last year third-quarter earnings included a $ N million gain from foreign tax rate changes and a loss from a $ N million write-off of reserves
 chevron
 chevron 's net income fell N N to $ N million or $ N a share from $ N million or $ N a share
 results included a $ N million gain from the sale of rights from chevron 's investment in <unk> inc. and a loss of $ N million from the sale of california oil and gas properties
 revenue rose N N to $ N billion from $ N billion
 chevron said higher crude oil prices boosted profits from production operations but margins in refining and marketing declined
 profits from u.s. exploration and production operations totaled $ N million after the property sale loss compared with a year-earlier $ N million loss that included a $ N million reorganization charge
 refining and marketing operations earned $ N million in the quarter this year compared with earnings of $ N million a year earlier that included $ N million in charges for environmental programs
 foreign earnings fell to $ N million from $ N million that included a $ N million gain from lower canadian and australian taxes
 chemical profits fell to $ N million from $ N million
 jeff rowe contributed to this article
 asarco inc. continuing its effort to <unk> its business ended its involvement in asbestos mining in the third quarter and said it would stop mining and selling coal by year end
 the mining metal and <unk> concern said combined revenue for asbestos and coal was about $ N million of the company 's total revenue in N of $ N billion
 richard de j. <unk> chairman president and chief executive officer said the company 's decisions to get out of asbestos and <unk> coal continue the process of <unk> and focusing the company in areas with a better future
 asarco also reported third-quarter net income rose N N to $ N million or $ N a share from a restated $ N million or $ N a share a year earlier
 asarco said the gain reflected continued strength in prices for refined copper lead and <unk> and higher equity earnings in mexico <unk> industrial <unk> s.a. a mexican mining company in which asarco has a N N stake
 the N results were restated for <unk> changes
 sales rose N N to $ N million from $ N million
 in august asarco through its <unk> <unk> du quebec subsidiary sold its remaining one-third interest in an asbestos mining limited partnership in canada for $ N million
 asarco said it plans to shut down or sell its <unk> coal mine and will end its involvement in southern illinois strip mining
 the company said that it is discussing a <unk> buy-out of the facility but that it would stop mining and selling coal at year end when existing sales contracts expire regardless of the outcome of those talks
 in new york stock exchange composite trading asarco fell $ N to close at $ N
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 david w. <unk> was elected vice president and chief financial officer effective nov. N
 mr. <unk> N years old a former finance executive at singer <unk> machine co. and <unk> corp. succeeds francis l. <unk> N who plans to retire from the company next year
 carlos a. <unk> vice president pharmaceutical manufacturing will assume responsibility for manufacturing in <unk> mich. effective nov. N
 mr. <unk> N years old succeeds john c. <unk> N who is retiring as corporate vice president of pharmaceutical manufacturing
 upjohn is a world-wide provider of health-care products and services seeds and <unk> chemicals
 this brooklyn n.y. <unk> maker announced a N N stock dividend payable dec. N to holders of record nov. N
 as of sept. N <unk> had N million common shares outstanding
 jay marcus president said the move reflects the confidence of our board and management in <unk> 's long-term prospects and our desire to provide our shareholders with an attractive return on their investment
 in american stock exchange composite trading <unk> closed at $ N a share up N cents
 walter m. brady was named a senior vice president of this insurer in the canadian head office
 he had been vice president in that office
 john b. <unk> was named senior vice president and remains responsible for the individual policy services department
 frank j. <unk> was named senior vice president in charge of the mortgage finance department
 he had been vice president of the department which was formerly called the real estate department
 timothy c. brown a vice president was named executive vice president and a director of this lighting and specialty products concern
 in the director post mr. brown N years old succeeds joseph w. <unk> who retired from the board in august
 c. <unk> <unk> N vice president and chief financial officer was named senior vice president of corporate development and acquisitions a new post
 <unk> j. <unk> N vice president secretary and treasurer was named vice president of finance and chief financial officer
 he remains secretary
 ronald b. <unk> N years old was named a senior managing director of the <unk> & co. brokerage subsidiary of this insurance and financial-services firm
 mr. <unk> will build the <unk> and investment-banking business of <unk> which has primarily been a <unk> firm
 he was chairman and co-chief executive officer of <unk> <unk> & co. until july when he was named <unk> of the investment-banking firm along with howard l. <unk> jr. who then became the sole chief executive
 yesterday mr. <unk> N said he was n't aware of plans at <unk> to name a <unk> to succeed mr. <unk> and said the board would need to approve any appointments or title changes
 mr. <unk> added he was n't surprised mr. <unk> resigned but his departure was nothing that we <unk> or worked for
 mr. <unk> said i just got a tremendous offer from <unk>
 mci communications corp. said it received a $ N million contract to provide <unk> network services to woolworth corp. 's N corporate and retail sites in the
 the contract also provides for advanced billing and network management services
 woolworth said it expects to expand usage of the mci services as it adds about N business locations over the next few years
 the philippine merchandise trade deficit widened to $ N billion during the first eight months of N from $ N million a year earlier
 imports continued to <unk> philippine exports despite gains in shipments abroad the government national statistics office said
 exports reached $ N billion up from $ N billion a year earlier while imports rose to $ N billion from $ N billion
 the trade deficit in the first eight months is already wider than the trade gap of $ N billion for all of N
 analysts expect the trade gap for the year to <unk> $ N billion as demand for capital equipment and raw materials continues to push imports higher
 <unk> corp. said it signed a definitive agreement with <unk> <unk> inc. a murray hill n.j. maker of health-care products for the purchase of the company 's <unk> <unk> division for about $ N million
 <unk> a maker of electronic medical equipment said the transaction is expected to close on or before nov. N
 <unk> had N sales of about $ N million <unk> said
 <unk> n.c.
 first wachovia corp. said john f. <unk> iii will retire as president and chief executive officer of this regional banking company 's wachovia corp. and wachovia bank & trust co. subsidiaries on dec. N
 mr. <unk> N years old will be succeeded by <unk> <unk> baker jr. N the parent 's chief credit officer and head of its administration division
 mr. baker will <unk> his previous positions but a successor for him has n't been named yet
 in addition on jan. N thomas a. bennett N will become vice chairman and chief operating officer of wachovia and wachovia bank & trust filling a vacancy left by the retired <unk> w. <unk> in april
 mr. bennett will continue as executive in charge of the north carolina banking operation
 messrs. baker and bennett have been elected directors of wachovia and wachovia bank & trust filling vacant seats on both boards
 canadian retail sales rose N N in august from july statistics canada a federal agency said
 the august increase followed a N N decline in july
 during the past four months retail sales have remained generally weak advancing an average N N a month the agency said
 <unk> production by the nation 's mills decreased N N last week to N tons from N tons the previous week the american iron and steel institute said
 last week 's output fell N N from the N tons produced a year earlier
 the industry used N N of its capability last week compared with N N the previous week and N N a year ago
 the american iron and steel institute reported the capability utilization rate is a <unk> designed to indicate at what percent of its production capability the industry is operating in a given week
 with reduced exports and rising imports south korea 's trade surpluses with the u.s. and europe between january and september fell sharply from a year ago the customs administration said
 officials said south korea 's trade surplus with the u.s. for the first nine months of the year totaled $ N billion down N N from the same period last year on a <unk> basis
 south korean exports to the u.s. during the period fell N N from a year ago to $ N billion while imports from the u.s. soared N N to $ N billion
 the trade surplus with europe was pegged at $ N million down N N from a year ago
 officials said south korean exports to europe dropped N N to $ N billion while imports from there went up N N to $ N billion
 bausch & <unk> inc. said its pharmaceuticals subsidiary agreed to supply <unk> <unk> <unk> for animal eye surgery to a unit of international minerals & chemical corp
 terms were n't disclosed
 the agreement marks bausch & <unk> 's first venture selling its eye care products for use by <unk>
 the <unk> <unk> shield helps speed <unk> of the <unk> after eye surgery
 the product will be distributed by <unk> inc. a subsidiary of international minerals
 france 's industrial production index for july and august rose N N from june and was up N N from a year ago according to seasonally adjusted data from the national statistics institute
 the state agency which usually publishes the data on monthly basis but traditionally combines the index for the two <unk> months said the advance was led by output of consumer goods which rose N N from june and was up N N from a year earlier
 <unk> goods turned in a strong showing with a monthly rise of N N and a <unk> advance of N N
 food production was ahead N N from june and N N from a year earlier
 output in the <unk> sector was ahead N N on a monthly basis and N N year on year
 these gains were partly offset by output of cars and other consumer <unk> which eased N N from june 's high level
 the sector was still N N above its output levels from a year earlier however
 international minerals & chemical corp. said it agreed definitively to sell its international <unk> business to <unk> ag of west germany
 terms were n't disclosed
 the maker of animal health and <unk> products said the business <unk> <unk> of port <unk> switzerland and <unk> n.y. is a division of its <unk> inc. subsidiary and had sales of about $ N million for its most recent year
 international minerals said the sale will allow <unk> to focus its resources on its core businesses of medical products specialty chemicals and <unk>
 consumers power co. filed with the michigan public service commission a contract to buy power from the <unk> nuclear plant under a proposed new ownership arrangement for the plant
 consumers power and <unk> power corp. last year announced a joint venture to buy the plant currently owned completely by the utility
 two japanese scientists said they discovered an antibody that in laboratory <unk> experiments <unk> <unk> cells while preserving healthy cells
 if further experiments are successful the work would represent a major advance in research on acquired immune deficiency syndrome
 the drug azt the only treatment currently on the market claims only to help stop the spread of aids not to cure it
 but several analysts and japanese scientists familiar with the study which was announced at a conference in <unk> yesterday expressed skepticism over the significance of the results
 and the researchers themselves acknowledged they still must do much more work before they can say whether the treatment would actually cure humans
 <unk> <unk> a research scientist at the tokyo metropolitan institute of medical science said the antibody he discovered works by recognizing an <unk> called a <unk> which is characteristic of an infected cell
 the antibody then <unk> the cell
 dr. <unk> and his partner <unk> <unk> of <unk> university said their experiments showed that the antibody wiped out an average of N N of <unk> cells within three days
 in some of the experiments it killed almost all the infected cells the researchers said
 meanwhile fewer than N N of the healthy cells were killed
 the two said they must still do more laboratory tests then experiment on animals
 they said they hoped to conduct tests on human patients in the u.s. by late next year
 japan does n't have enough aids patients to do significant <unk> in that country they said
 the announcement got wide exposure in the japanese media and even moved some pharmaceutical stocks yesterday
 but <unk> <unk> director of the <unk> department at japan 's national institute of health and secretary of the government 's <unk> center said i 'm not so optimistic of its future use in <unk> methods
 he said some infected cells may not have the relevant <unk> and so would n't be killed even after exposure to the antibody
 the results seem to be very <unk> said <unk> <unk> editor of nikkei biotechnology a leading japanese industry newsletter
 dr. <unk> responded that he thought the antibody could potentially kill all infected cells
 but he and dr. <unk> said there were still several uncertainties particularly regarding possible side effects
 our antibody specifically killed infected cells at a very low <unk> but it can also kill other cells said dr. <unk>
 we do n't know the effect of our antibody on the human body
 aids is n't considered a widespread problem in japan the government reports about N known carriers of the virus but many companies have poured substantial resources into research in recent years hoping to cash in on a possible cure
 dr. <unk> said about N projects are currently under way in japan and that japanese researchers in the past year have made available three possible <unk> to american researchers for clinical tests
 he said that when scientists from the two countries meet again in january in new orleans the japanese will present at least three more drugs for human testing
 azt is the world 's only prescription medicine approved for treating the disease
 wellcome plc a major british pharmaceutical maker sells the drug under the name <unk>
 a wellcome spokesman declined to comment on the discovery of the antibody in japan
 but andrew porter a <unk> analyst at nikko securities co. in london said if the product were to be successfully developed it would represent a potential threat to the long-term viability of <unk>
 the following issues were recently filed with the securities and exchange commission
 american exploration co. offering of five million common shares via smith barney harris upham & co. and shearson lehman hutton inc
 chemical waste management inc. proposed global offering of N shares of common stock of which seven million of the shares will be offered in the u.s. and N shares will be offered overseas via merrill lynch capital markets domestic and kidder peabody & co international
 <unk> corp. proposed offering of $ N million of senior subordinated debentures via goldman sachs & co
 <unk> capital corp. robin cable systems l.p. and <unk> cable partners offering of senior subordinated discount reset debentures via drexel burnham lambert inc
 john <unk> & co. initial offerings of the <unk> california performance plus municipal fund inc. and the <unk> new york performance plus municipal fund inc. via alex brown & sons inc
 <unk> inc. initial offering of three million shares of its common stock of which N shares will be sold by the company and N will be sold by holders via montgomery securities and donaldson lufkin & jenrette securities corp
 mgm grand inc. proposed offering of six million shares of common stock via merrill lynch
 <unk> corp. formerly called old dominion systems inc. offering of N million common shares of which one million will be sold by the company and the balance by holders via hambrecht & quist and johnston <unk> & co
 scott paper co. shelf offering of up to $ N million of debt securities via goldman sachs salomon brothers inc. and smith barney harris upham
 sullivan graphics inc. offering of $ N million of senior subordinated notes via merrill lynch
 sun <unk> inc. initial offering of N million common shares of which one million shares will be sold by the company and the balance by a holder via salomon brothers inc. and <unk> <unk> & <unk> inc
 yes clothing co. proposed initial offering of N common shares of which N shares will be offered by the company and N by holders via <unk> <unk> securities inc
 a # N million $ N million british airways plc rights issue <unk> badly the victim of recent market turbulence and the collapse of the buy-out bid for united airlines ' parent ual corp
 the united kingdom carrier had planned the issue to help finance its $ N million purchase of a N N stake in ual
 but british airways withdrew from the ual labor-management buy-out plan last friday after the group failed to get bank financing for its $ N billion buy-out
 british airways said its shareholders accepted only N N of the convertible capital bonds but that the rest of the issue will be taken up by underwriters
 analysts said that N N level marked the poorest showing for any major british rights issue since the N global stock market crash
 it is close to being a record <unk> said bob <unk> an analyst with london broker smith new court securities
 fund managers do n't like to have rights issues that do n't have an obvious reason
 the obvious reason was for british air to buy a stake in united airlines
 in a statement british air chairman lord king said the company was obviously disappointed that the issue was not taken up but it would have been <unk> to expect a better result given the volatility of the stock market since the launch of the issue
 but except for the embarrassment british air will emerge relatively <unk> from the <unk> issue
 underwriters led by lazard brothers & co. will pick up the rest of the airline 's offer of four convertible capital bonds for every nine common shares
 lazard and other primary underwriters have reduced or eliminated their exposure by <unk> the issue among u.k. institutional investors
 the paper loss here is very small for these <unk> observed john nelson a lazard managing director
 in any case he added most institutions probably wo n't sell the bonds
 and instead of buying the ual stake the u.k. carrier will be able to reduce its high debt level and build an acquisition war <unk>
 from a cash flow point of view british airways is better off not being in united airlines in the short term said andy chambers an analyst at nomura research institute in london
 added another u.k. analyst it gives them some cash in the back <unk> for when they want to do something
 for instance british air is continuing to negotiate with <unk> royal dutch airlines about each acquiring a N N stake in <unk> world airlines the air transport subsidiary of the belgian national airline
 a definitive agreement had been expected by the end of july
 the failed rights issue also should have a modest impact on british air shares
 the airline 's share price already is far below the N pence $ N level seen after the company announced the rights issue in late september
 in late trading on london 's stock exchange yesterday the shares were off three pence at N pence
 and because british air is issuing convertible bonds rather than ordinary shares the share price wo n't be directly hurt by any surplus left with underwriters after they try to sell the issue in the open market
 but british air 's withdrawal from the ual buy-out could have further <unk>
 some analysts speculated yesterday that the move has set off a board room split which may lead to the resignation of sir <unk> marshall the carrier 's chief executive officer
 the stories are <unk> a british air spokesman said
 there is no difference of opinion between chairman lord king and sir <unk> on any aspect of company policy
 minority recruiting has yet to meet hopes raised by bush administration
 six months ago as some personnel specialists saw it a perception that president bush really <unk> about fair employment after what they said was eight years of <unk> <unk> was <unk> top management to raise hiring goals for <unk> blacks and other minorities
 the perception <unk> says an official at a major industrial company
 but so far he declares there 's little evidence the new urgency is <unk> down to the managers who actually do hiring
 is there really a commitment or an illusion of activity he asks
 the recruiting has n't materialized asserts jeffrey christian who runs a search agency
 samuel hall howard university 's placement director also does n't see it
 and he questions the white house <unk>
 i do n't think the bush administration has done anything he says
 <unk> donald clark does note an increase in searches for minority candidates
 but some of the activity he says may reflect a rush to get numbers in order for <unk> reports
 pay for performance hangs mostly on boss 's <unk> view
 du pont co. in a couple of units has installed objective tests based on earnings or return on equity
 many companies have set up machinery to assure workers a fair shake
 at most firms though it 's the immediate supervisor who decides the merit increases subordinates will be paid
 managers have some very broad discretion says an official at walt disney co
 unocal corp. 's top management sets guidelines but line supervisors <unk> up the merit pie
 lotus development corp. feeds its <unk> into a computer but only for storage the decisions are made by supervisors
 <unk> foods corp. <unk> for fairness by <unk> increases on quarterly reviews annual <unk> and meetings with workers
 at <unk> technology inc. each supervisor 's recommendation must be approved by the next boss up the line and then <unk> by a salary review committee
 japanese companies fare best in u.s. when they give americans more say
 university of michigan researchers find the companies earn more and win a bigger market share when their american employees get a voice in planning product development and design including <unk> back in japan
 you ca n't hire competent americans and say let them run only their own show says <unk> <unk> who headed the study run with egon <unk> international a search firm
 the researchers say many japanese companies <unk> in the u.s. by adopting the american practice of hiring managers on the open market
 in japan by contrast companies tend to develop their own talent and promote from within
 the japanese also are accused of keeping their cards too close to their <unk>
 some japanese executives are not yet comfortable about sharing strategic information with their american colleagues the researchers say
 americans stay longer with japanese firms than american companies
 but they think promotions are limited
 the house votes down a proposal to put pension plans under the control of joint labor-management boards
 some consultants had insisted it would n't work
 long-term care insurance gains favor
 more than half the people surveyed for the employee benefit research institute say they would be willing and able to pick up most of the cost of the coverage
 <unk> spending by small and medium-sized employers has dropped to N N of payroll from N N three years ago says the national institute of business management an advisory service
 ousted executives over N years old take slightly less time than their younger colleagues to find a job N months vs. N for the <unk> <unk> firm <unk> gray & christmas finds
 it 's the first time in the survey 's N years that the <unk> group came out ahead
 fear of aids <unk> hiring at few hospitals
 <unk> runs high
 <unk> <unk> who heads the aids program at new york city 's <unk> hospital center ca n't find help
 i 've been recruiting every single day since it 's been identified that many aids patients come from the inner city she says
 she was the only staff physician available to treat aids patients last summer and now she has the help of only two doctors part time
 part of the problem though may reflect a general <unk> to work with the urban poor
 <unk> <unk> hospital in dallas says it has n't had any problem recruiting even after a <unk> contracted the virus while <unk> an aids patient
 i can tell you that nobody quit over it
 no one <unk> a spokeswoman says
 st. paul medical center also in dallas sees only a minimal erosion of support staff due to aids
 <unk> haven hospital sees no problem says john <unk> the chief of staff
 there are enough <unk> and <unk> individuals who know their responsibilities he says
 the <unk> at least somebody gains on layoffs
 the association of <unk> consulting firms says the industry 's volume has soared tenfold since N to $ N million a year
 and somebody loses on the expected repeal of section N the benefits test fought by most employers
 <unk> solutions says software producers had each invested hundreds of thousands of dollars in programs that now have no use
 big gains for the <unk> republicans party in <unk> state municipal elections sunday showed eroding support for chancellor helmut kohl in a traditional <unk> for his christian democratic union
 with <unk> from most of the state 's major cities in by yesterday morning the republicans came away with N N of the vote in several of the key districts
 with many rural districts yet to report <unk> election officials estimate support for christian democrats fell an average five percentage points statewide
 the <unk> social democrats and the environmental greens party posted mixed results
 headed by a former <unk> <unk> <unk> and working from a <unk> platform of <unk> rhetoric the fledgling republicans party has scored surprising gains in earlier elections in the states of west berlin <unk> and <unk> <unk>
 with west german unemployment remaining high at two million jobless and the lack of affordable housing becoming a primary issue for next year 's campaign the republicans are seen drawing support for their germans first stand on <unk> issues
 election analysts acknowledge that a <unk> coalition of social democrats and greens could edge out chancellor kohl 's coalition in the december N national election if support for the republicans continues to spread
 international investigators urged britain to allow prosecution of suspected <unk> war criminals who took refuge there after N
 under current law such suspects are immune from prosecution for acts committed while not british citizens
 if we 're not careful we could become known as a haven for war criminals said jeff <unk> a member of parliament and one of several british politicians attending a london conference with government investigators from the u.s. canada and australia
 a parliamentary inquiry found in july that more than N people living in britain could have been part of death <unk> that <unk> <unk> eastern europe
 parliament is expected to discuss next month whether to change the law
 british investigations were prompted by a list of N alleged war criminals living in britain sent to prime minister margaret thatcher in october N by the simon <unk> center in los angeles
 in a sign of easing tension between beijing and hong kong china said it will again take back illegal <unk> caught crossing into the british colony
 china had refused to <unk> citizens who <unk> into hong kong illegally since early this month when the colony allowed a dissident chinese <unk> to <unk> to the u.s.
 about N chinese were awaiting <unk> yesterday
 italy 's foreign ministry said it is investigating exports to the soviet union by an <unk> c. olivetti & co. subsidiary called <unk> that makes <unk> controlled machine tools
 although italy 's investigation of whether olivetti had violated western <unk> rules had previously been made known this marked the first time the unit and product were named
 the u.s. is worried about the <unk> of olivetti 's machine tools to military use
 however an olivetti spokeswoman said <unk> of which olivetti sold the majority interest last year does n't make equipment that has the type of precision necessary for sophisticated productions
 <unk> say that <unk> fishing threatens to wipe out much of the world 's <unk> stocks in a few years
 but the japanese <unk> association criticized moves to ban the practice in international waters
 it is really unfortunate for human beings to be <unk> by emotional discussions the association said
 in <unk> or wall of death fishing fleets lay <unk> up to three miles long that trap almost everything in their path
 earlier this year japan said it would cut the number of its <unk> vessels in the south pacific by two-thirds or down to N
 workers at <unk> s.a. 's car plant at <unk> in eastern france voted to end a <unk> strike that has cost the <unk> group production of N automobiles a company spokesman said
 the <unk> voted to accept a series of management proposals that will give them a higher basic wage better <unk> benefits and bigger annual bonuses
 the spokesman said the vote at <unk> is expected to be followed by a similar move at the company 's assembly plant at <unk> where the number of <unk> has been <unk> down to N
 about N national union of <unk> members resumed their strike against de beers consolidated mines ltd. after further negotiations to settle a wage dispute broke down
 striking workers who began striking five diamond mines on oct. N had returned to work last week when the union and de beers arranged to reopen negotiations
 a de beers spokesman said yesterday the company had offered to increase the minimum wage by N N while the union was demanding N N
 before the two parties resumed talks last week de beers offered N N and the union wanted N N
 china 's people 's daily took note of the growing problem of computer fraud
 since the first fraud was discovered in july N at an office of the people 's bank of china in <unk> N major cases have been found the paper said the biggest was the theft of $ N from a bank in <unk> in march N
 the number of computers has <unk> in recent years with N in use as well as N <unk> models
 but security systems effective management controls and regulations to govern their use have not kept pace the people 's daily said
 besides money criminals have also used computers to steal secrets and intelligence the newspaper said but it gave no more details
 japanese tourists will be told to take care when <unk> earthquake damage in san francisco the japan association of travel agents said
 the association issued an advisory to its N member agencies following a report from the foreign ministry that <unk> by japanese tourists in <unk> areas was causing ill feeling among local residents
 tass said <unk> 's <unk> in red square will be closed from nov. N to jan. N for essential maintenance
 the red <unk> <unk> draws thousands of visitors daily
 <unk> on rural <unk> rose N N between N and last year the national highway traffic safety administration said in a report on the impact of the N <unk> speed limit on those roads
 the report to congress said that <unk> rose N N in N and N N in N on rural <unk>
 the N highway bill permitted states to raise the speed limit to N mph from N mph on interstate roads which are defined as highways that pass through areas with fewer than N people
 since N N states have increased the speed limit on rural <unk>
 about one-third of the <unk> increase is attributed to greater travel and about two-thirds is attributed to other factors primarily to greater speed according to <unk>
 the report showed that deaths on urban interstate highways rose N N between N and last year while <unk> on <unk> roads were about the same in N as in N
 in states that raised the speed limit on rural <unk> the <unk> rate rose about N N to N deaths per N million miles traveled between N and N
 in contrast the <unk> rate in the states that retained the N mph limit was N last year the same as in N
 <unk> <unk>
 food manufacturer changes <unk> of <unk> to <unk> saying that 's the <unk> people now prefer
 wsj business <unk>
 public preference is important so product names should match up and firms that find they 're lagging behind should now take steps to <unk>
 george o. <unk>
 judge not
 how easy it is to attack others ' views without ever setting a foot in their shoes
 g. sterling <unk>
 daffynition
 <unk> course <unk>
 thomas henry
 in an oct. N editorial-page article it 's the world bank 's turn to adjust paul craig roberts <unk> most of the blame for what <unk> developing countries at the <unk> of the world bank
 the article is unfortunately <unk> with <unk> <unk>
 one of mr. roberts 's <unk> is that the bank 's own loan portfolio is in deep trouble because of its lending to developing countries
 this is just not so
 the reality is that bank finances are rock solid
 as of june N N the day our past fiscal year came to a close only N N of the bank 's portfolio was affected by <unk> of over six months
 this is an <unk> low level
 moreover the bank follows a prudent <unk> policy and has set aside $ N million against possible loan losses
 for the same fiscal year by the way the bank 's net income was a robust $ N billion after provisions
 because of the <unk> manner in which the bank goes about development financial markets have confidence in it
 this helps explain the triple-a rating enjoyed by our bonds and our ability to borrow $ N billion in fiscal N on the most <unk> terms
 another of mr. roberts 's criticisms is that bank lending has done more harm than good by <unk> the wrong incentives and <unk> energy away from economic development
 here too mr. roberts is way off the mark
 the reality is that bank loans have been linked to policy improvements for N years
 our traditional project loans have for instance supported <unk> energy pricing in the power sector sound interest-rate policies in the credit area and the operation of public utilities as efficient <unk> agencies
 by and large these efforts have <unk> fruit
 in my home region latin america much of the existing infrastructure base an important building block for development has been financed by the world bank
 mr. roberts also takes a <unk> at the bank 's adjustment lending
 what are the facts on this type of lending
 the bank has been making adjustment loans for N years
 as their name implies these operations are linked to far-reaching policy reforms that aim at helping borrowing countries get back on the growth path and at <unk> their <unk>
 typically these measures include reforms to <unk> the role of government and <unk> in the economy to open up <unk> economies to international competition and to promote the development of a vigorous private sector
 support for the private sector has been a longstanding concern of the bank 's
 over the years it has helped encourage investments by entrepreneurs in the third world through its extensive credit operations and through loans and investments by the international finance corp
 most recently the bank group has been expanded to include the <unk> investment guarantee agency to stimulate direct foreign investment in developing countries by offering guarantees against <unk> risk and advice to member countries on how to improve their business climate
 these are not the actions of a development agency <unk> to central planning and to the concentration of investment decisions in the hands of government as mr. roberts alleges
 rather they reflect the bank 's <unk> <unk> approach which aims at ensuring that developing countries put their scarce resources to the best possible use
 francisco <unk> director external affairs the world bank
 the government said it would streamline its enormous and <unk> food marketing and distribution network <unk> <unk> de <unk> <unk> or conasupo
 conasupo director <unk> <unk> fernandez said the agency will sell N midsized supermarkets and several <unk> plants and warehouses beginning early next year
 the agency will withdraw from the production of nine food products maintaining production of the two most important ones corn and milk
 mr. <unk> also said conasupo will cut back subsidies to producers of <unk> farm products and close retail outlets in wealthy neighborhoods
 the agency 's workers and private companies would be allowed to bid for the assets up for sale
 conasupo controls prices on agricultural goods and operates retail outlets where basic consumer items are sold at <unk> prices
 business leaders have long criticized the agency as a leading example of <unk> waste
 private-sector leaders praised the conasupo restructuring
 but most economists doubt the streamlining would cut deeply into conasupo government subsidy which largely goes to reduce consumer prices for corn and milk
 the food and drug administration banned all imports of mushrooms from china in response to a rash of <unk> <unk> linked to <unk> chinese mushrooms
 the agency has concluded that <unk> may be widespread throughout the <unk> industry in china an fda spokesman said yesterday
 the agency wo n't allow mushrooms that were <unk> or packed in <unk> at any chinese plant to enter the u.s. until satisfactory <unk> measures are implemented in china to prevent <unk> <unk>
 on may N the fda began <unk> chinese mushrooms in <unk> cans after more than N people in mississippi new york and pennsylvania became ill from eating tainted mushrooms
 in subsequent tests the agency found <unk> cans from several chinese plants to be similarly <unk>
 the <unk> were <unk> to <unk> <unk> a type of bacteria that produces a toxin capable of surviving the high temperatures used in <unk> <unk>
 a recall of the mushrooms blamed for the food <unk> began in early march
 in N china exported N million pounds of mushrooms valued at $ N million to the u.s.
 the shipments went mostly to <unk> distributors that supply <unk> and restaurants
 a spokesman for the chinese embassy here said that the beijing government has taken many effective measures to stop the <unk> <unk> and is further investigating the underlying causes
 he predicted the problem will be solved very soon
 your sept. N politics & policy article about william bennett 's emergency drug plan for washington gives the impression that the fbi has not been nor is actively involved
 this is not the case
 the fbi is very supportive of and an active participant in mr. bennett 's initiative
 it was agreed at the outset of the washington drug initiative that the fbi 's role would be to continue targeting the major drug traffickers through our national drug strategy
 through these investigations we do not focus on the street drug user but rather we target and attack major <unk> organizations that control a large segment of the drug market
 the trial of <unk> <unk> iii in washington serves to highlight our efforts in this area and the results achieved through our excellent working relationship with the drug enforcement administration and the metropolitan police department <unk>
 the fbi 's role is to <unk> the d.c. initiative through not only these major trafficking investigations but also by providing a full range of services through various task forces and our contacts with local police <unk> handling drug-related crimes
 in fact we have agents assigned full time to assist the <unk> in drug-related crimes such as <unk> and other crimes of violence
 <unk> <unk> assistant director office of public affairs federal bureau of investigation
 ramada inc. revised the terms of its restructuring and extended to feb. N N the deadline to complete the sale of its hotel business to new world development co. of hong kong and prime motor <unk> inc. of fairfield n.j
 ramada 's previous plan was <unk> by upheaval in the junk-bond market that <unk> the offering of $ N million in high-yield securities of <unk> corp. the new company that will operate ramada 's casinos in nevada and atlantic city
 under the new terms new world will still pay $ N million for ramada 's hotel business subject to adjustment at closing but ramada will now reimburse new world for $ N million in expenses
 prime will still manage ramada 's domestic franchise system when the sale closes
 revised terms call for each ramada common share to be exchanged for $ N in cash subject to possible reduction and one share of <unk> common stock
 shareholders will also receive one cent per share for the redemption of preferred stock purchase rights
 the cash payout will be reduced by N N of any amount by which the weighted mean price of ramada 's common stock exceeds $ N on the day the transaction closes
 the provision will help provide for tax liabilities that may stem from the restructuring
 ramada 's stock rose N cents on the news to close at $ N in composite new york stock exchange trading
 the announcement <unk> some wall street observers ' fears that new world might demand a huge premium for the delay or scrap the deal entirely
 the previous deadline to complete the sale was nov. N
 one major advantage of the revised plan is that <unk> will have far less debt than under the old terms
 they 'll go from being one of the most leveraged to one of the least leveraged casino companies said daniel lee an analyst with drexel burnham lambert inc
 mr. lee values the package at between $ N and $ N a share based on current trading prices of other <unk> stocks
 the <unk> restructuring which was first announced in october N must again be approved by shareholders and state casino regulators in nevada and new jersey
 financing plans include raising $ N million in debt secured by the company 's holdings in new jersey
 in may ramada sold its <unk> <unk> pie shops inc. unit to a group of private investors as part of its plan to focus on its casinos in atlantic city and in las vegas and <unk> <unk>
 bond prices took the high road and stock prices took the low road as worries mounted about the economy and the junk bond market
 the dow jones industrial average fell N points to N in sluggish trading
 but long-term treasury bonds staged a modest rally with prices on most issues rising about half a point or $ N for each $ N face amount
 the dollar sagged against other major currencies in <unk> trading
 traders and analysts said the divergence between the stock and bond markets is a sign of growing <unk> about the economic outlook
 a sinking economy <unk> corporate earnings and thus stock prices but it <unk> bond prices as interest rates fall
 that <unk> is expected to grow today when the government reports on september durable goods orders and again thursday when the first assessment of third-quarter economic growth is released
 analysts say they think durable goods orders fell about N N compared with a N N gain in august and that growth in the third quarter slowed to about N N from the second quarter 's N N
 the stock market 's decline coming after a record weekly gain of N points surprised some investors
 but a.c. moore director of research at <unk> research said last week 's rally was a <unk> reaction to the oct. N stock market rout
 overall he said the trend in stock prices will be down as the economy <unk>
 we think we 're on target in looking for renewed economic deterioration he said
 corporate profits are going to decrease faster than interest rates will fall and the probability is that we 'll see negative economic growth in the fourth quarter
 <unk> johnson chief investment officer at first albany corp. agreed that a deteriorating economy is worrisome but he said the real concern among stock investors is that some new problem will crop up in the junk bond market
 in major market activity stock prices slumped in sluggish trading
 volume on the new york stock exchange totaled N million shares
 declining issues on the big board were ahead of gainers N to N
 bond prices rallied
 the yield on the treasury 's benchmark 30-year bond slipped to N N
 the dollar weakened against most other major currencies
 in late new york trading the dollar was quoted at N marks and N yen compared with N marks and N yen late friday
 the wall street journal american way of buying survey consists of two separate <unk> nationwide polls conducted for the journal by peter d. hart research associates and the roper organization
 the two surveys which asked different questions were conducted using national random probability samples
 the poll conducted by peter d. hart research associates interviewed N adults age N and older from june N to june N N
 the poll conducted by the roper organization interviewed N adults age N and older from july N to july N N
 responses were weighted on the basis of age and <unk> to conform with u.s. census data
 for each poll the odds are N out of N that if <unk> had sought to survey every household in the u.s. using the same <unk> the findings would differ from these poll results by no more than N N percentage points in either direction
 the margin of error for <unk> for example married women with children at home would be larger
 in addition in any survey there is always the chance that other factors such as question <unk> could introduce errors into the findings
 see related story the american way of buying is buying a car a choice or a <unk>
 ironically american airlines ' attempt to lead industry prices higher was reported in the same issue as your survey showing that consumers had the least confidence in the airline industry sept. N
 you quote robert crandall chairman of american 's parent amr corp. as having said that discount deals for big customers would be <unk> because you will go to detroit because you have to go to detroit whether the fare is $ N $ N or $ N
 even if mr. crandall is correct he of all people must realize our society relies on competition to keep prices at a competitive level
 in N he settled an antitrust suit based on a taped telephone conversation of him proposing to <unk> 's president that they both raise fares N N
 <unk> declined
 when i asked american airlines for its side of the story for use in my <unk> class where i teach business ethics it did not respond
 perhaps the ethics of an industry 's leader filters down and is one of the factors that ultimately <unk> consumer trust in that industry
 arnold <unk> assistant professor ohio state university
 meredith corp. is launching a new service to offer advertisers package deals combining its book magazine and videocassette products
 the des <unk> publisher said it created a new custom marketing group that will offer advertisers special rates for combination packages in its magazines such as <unk> home journal and better homes and gardens
 in addition the group will create <unk> media such as <unk> newspaper <unk> and <unk> for ad campaigns
 earlier this year meredith sold its first such package for $ N million to kraft inc. now a unit of new york-based philip morris <unk>
 the kraft package included a specially published <unk> a national <unk> <unk> in sunday newspapers and a kraft <unk> section that ran in five meredith magazines
 kraft recently agreed to spend an additional $ N million on similar programs through N
 bill murphy director of the new marketing unit said meredith is negotiating other large-scale packages with leading companies in several product categories but he would n't disclose their names
 sources close to the company and ad agencies that work with meredith said leading advertisers in consumer electronics packaged goods and automotive products were among those negotiating ad packages with the meredith group
 other magazine publishing companies have been moving in the same direction
 the new york times co. 's magazine group earlier this year began offering advertisers extensive merchandising services built around buying ad pages in its golf digest magazine
 time warner inc. recently formed a <unk> department to seek out ways to offer advertisers packages that could combine time 's magazines with warner products such as <unk>
 paul <unk> director of media services at grey advertising said meredith is the leader in providing <unk> packages
 they may get passed up later when other publishers get their acts together but for now they are the <unk> offering the most extensive plan he said
 mr. murphy of meredith said one advertiser which he would n't identify wants meredith to provide ad pages in seven meredith magazines publish an <unk> book that will be distributed at point of purchase give away a <unk> on installation <unk> and possibly use meredith 's better homes and gardens ' residential real-estate agents to distribute <unk> books to new homeowners
 five years ago magazine publishers would simply bid on an advertiser 's big ad schedule for their magazine said mr. murphy
 but the marketplace changed
 advertisers now say help us improve our image and extend our selling season
 they are coming to publishers looking for ideas
 your sept. N article it 's so easy to get burned when buying a small firm was excellent
 i 've been advising small businesses many years and have lived with the fact that N N will go out of business within two years and N N in five years
 the economic loss jobs lost <unk> frustration and <unk> are beyond measure
 and most of these are absolutely unnecessary
 your article points out the <unk> people fall into but when reviewing those <unk> one sees just about all of them could have been avoided
 an <unk> did not review the seller 's books before buying a business
 i guess i was <unk> he said
 there is a more <unk> word to describe his <unk> of common sense
 corporate managers who want to start their own business are the highest failure risks
 they know all the answers and are not used to working more than N hours a week
 the blue-collar worker who decides to start a business will listen and take advice
 his <unk> gives him a much better chance of success
 a few months ago your paper reported the results of a study to determine why <unk> who arrive in this country without any money and unable to speak english become overnight successes
 their secret is that they gather a small group of advisers around them listen to what they have to say prepare a business plan and they are on their way
 successful american business owners do the same thing
 unfortunately they are in the minority
 avoiding failure is easy
 it 's unfortunate so many must learn the hard way
 daniel b. <unk> tucson <unk>
 the management turnover at reebok international ltd. continued with the resignation of company president c. joseph <unk> who joined reebok just two years ago
 mr. <unk> 's departure follows by two months the resignation of mark <unk> as senior vice president and chief marketing officer after only N months at reebok
 the resignations by the two executives considered <unk> and <unk> by reebok insiders reflect a difference in style with paul fireman chairman and chief executive according to several former executives
 the two executives are among a number of outsiders recruited by reebok in the past few years to help it make the transition from a small start-up company to a marketing giant with sales last year of $ N billion
 the changes come as reebok which grew rapidly in the mid-1980s but has seen its sales <unk> of late is seeking to regain momentum in the <unk> business against rivals <unk> inc. and l.a. gear inc
 the departures said alice ruth an analyst at montgomery securities in san francisco should enable the company to focus on business issues instead of management differences
 i think it 's more an issue of style
 i would view it as a net positive
 the company can go about its business
 they 're in the midst of a turnaround she noted
 earnings have rebounded in N after a N N decline last year
 a former executive agreed that the departures do n't reflect major problems adding if you see any company that grows as fast as reebok did it is going to have people coming and going
 reebok said mr. <unk> will resume the presidency of <unk> group inc. a <unk> venture capital firm that he founded in N
 before that he was president and chief operating officer of <unk> <unk> film corp
 reebok added that mr. fireman will assume the title of president
 a spokesman said that neither mr. fireman nor mr. <unk> would be available for comment
 we will not be commenting beyond the news release the spokesman said
 mr. <unk> who had been president of faberge inc. 's faberge u.s.a. division before joining reebok in september N left in august to pursue other interests
 magazine publishers are facing <unk> costs and a <unk> of new titles
 but even a <unk> of recent failures is n't <unk> them from launching new publications
 at the american magazine conference here publishers are plenty worried about the industry 's woes
 but they are also talking about new magazines
 for example toronto-based <unk> inc. will publish eating well a new food and health magazine due out next summer
 new york-based hearst corp. this fall plans to publish its first issue of N months a magazine for <unk> mothers and has already launched american home
 and time warner inc. is developing a spinoff of time magazine aimed at kids on the heels of its successful sports illustrated for kids
 over the past four years the number of consumer magazines has increased by an average of N magazines annually according to donald <unk> president of the magazine publishers of america
 this is an impressive show of faith in the future of the magazine industry said mr. <unk>
 entrepreneurs do n't rush to get into a <unk> or declining industry
 and despite the recent tough advertising climate industry figures released at the meeting here indicate things may be turning around
 for the first nine months advertising pages in consumer magazines tracked by the publishers information bureau increased N N from the same period last year to N pages
 total magazine ad revenue for the same period increased N N to $ N billion
 though for some magazines categories a tough advertising climate <unk> the industry in general is doing well compared with the newspaper industry
 though some magazines are thriving the magazine publishing industry remains a risky business
 within the same nine months news corp. closed down in fashion a <unk> young woman 's fashion magazine <unk> publications inc. has <unk> the <unk> venture magazine and lang communications has announced ms. magazine after N years will no longer carry advertising as of january
 lang is cutting costs and will attempt to operate the magazine with only subscription revenue
 meanwhile american health partners publisher of american health magazine is deep in debt and owen <unk> founder and managing partner is being forced to sell the magazine to reader 's digest association inc
 mr. <unk> 's absence from the meeting here raised speculation that the sale is in trouble
 mr. <unk> said in a telephone interview from new york that the sale was proceeding as planned
 the magazine is strong
 it 's simply the right time to do what we are doing mr. <unk> said
 magazines can no longer be considered institutions said james <unk> president of meredith corp. 's magazine group
 publishers will find that some magazines have served their purpose and should die he added
 magazines could like other brands find that they have only a limited life
 there are also indications that the number of magazine entrepreneurs traditionally depended upon to break new ground with potentially risky <unk> are <unk>
 more than ever independent magazines and small publishing groups are being <unk> up by larger publishing groups such as american express publishing corp. a unit of american express co. and <unk> <unk> publications inc. a unit of advance publications inc. which are consolidating in order to gain leverage with advertisers
 some entrepreneurs are still active though
 <unk> <unk> president of new york-based network publishing corp. earlier this year sold his soap opera digest magazine to rupert murdoch 's news corp
 mr. <unk> said that in the next six months he will take $ N million from the soap opera digest sale to acquire new magazines
 he would not reveal which magazines he is considering
 the magazines i am looking for are <unk> said mr. <unk>
 they could be old or new but they are magazines whose editorial quality needs to be improved
 they will be the next hot magazines
 mca inc. said its <unk> unit agreed to buy buddy <unk> corp. producer of a line of toy vehicles and <unk> products
 the price was n't disclosed but an executive of <unk> toys ltd. the mca unit said the closely held buddy <unk> had annual sales in excess of $ N million
 the 40-year-old buddy <unk> concern based in new york designs and develops toys under the names buddy <unk> and my first buddy he said
 mca said it expects the proposed transaction to be completed no later than nov. N
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 franklin national bank died at N p.m. edt oct. N N and was promptly <unk> under new owners to shore up confidence in other banks during a recession
 arthur burns federal reserve board chairman said the government 's luck in keeping the bank open despite being the <unk> u.s. bank failure prevented shock waves around the country and around the world
 federal officials who had been probing the bank for months arranged a merger with <unk> bank & trust owned by six foreign banks to <unk> the <unk>
 and federal insurance protected the bank 's N <unk>
 the crisis had peaked on may N N when the bank disclosed severe foreign-exchange losses due to unauthorized trading
 massive withdrawals followed and there was a brief rescue attempt with political <unk> including $ N billion in federal reserve loans
 within six years many figures were convicted for their illegal abuse of franklin funds
 in june N <unk> <unk> an italian financier who in july N had bought a N N block of franklin 's stock from <unk> corp. headed by laurence a. tisch was sentenced to N years in prison after being convicted of fraud and perjury
 included was the charge that <unk> <unk> $ N million of franklin funds for his other ventures
 <unk> in N <unk> his <unk> for N N months to delay his trial
 during N to N other former franklin officials either pleaded guilty to or were found guilty of violations including phony transactions to hide the bank 's losses
 <unk> the <unk> vatican financial adviser with reported links to the mafia died on march N N at age N reportedly after drinking <unk> coffee in an italian prison
 it happened four days after he was sentenced to life in prison for ordering a N murder
 italian <unk> labeled his death a <unk>
 in a <unk> office building south of los angeles human behavior is being monitored <unk> and ultimately <unk>
 a <unk> line <unk> across a video screen <unk> <unk> as subjects with hand-held computers register their <unk> reactions to a speaker 's remarks
 agreement <unk> <unk> and <unk> all can be <unk> from the subjects ' twist of a dial
 in another experiment an elaborate chart with color codes reveals how people 's opinions were <unk> and how they can be <unk>
 donald vinson who oversees the experiments is n't some <unk> researcher
 he heads litigation sciences inc. the nation 's largest legal consulting firm which is helping corporate america prepare for <unk> litigation by predicting and shaping jurors ' reactions
 in the process litigation sciences is quietly but <unk> <unk> the world of law
 little known outside the legal world but a powerhouse within litigation sciences a unit of saatchi & saatchi plc employs more than N <unk> <unk> marketers <unk> artists and technicians
 <unk> of its workers are <unk> <unk>
 among other services the firm provides pre-trial opinion polls creates <unk> of ideal jurors sets up <unk> trials and shadow <unk> coaches lawyers and witnesses and designs courtroom graphics
 much like their <unk> in political consulting and product marketing the litigation advisers encourage their clients to play down complex or <unk> matters <unk> their messages and provide their target audiences with a psychological <unk> to make the <unk> choice
 with jury <unk> getting bigger all the time companies are increasingly willing to pay huge sums for such advice
 recently litigation sciences helped pennzoil co. win a $ N billion jury verdict against texaco inc
 it advised the national football league in its largely successful defense of antitrust charges by the united states football league
 and it helped win defense <unk> in <unk> suits involving scores of products ranging from <unk> N tires to the <unk> drug <unk>
 largely as a result litigation sciences has more than doubled in size in the past two years
 its N revenue was $ N million
 meanwhile competitors are being spawned almost daily some N new businesses many just <unk> shops have <unk> up
 mr. vinson estimates the industry 's total revenues approach $ N million
 in any <unk> case you can be sure that one side or the other or even both is using litigation consultants
 despite their <unk> the consultants are n't entirely welcome
 some lawyers and scholars see the social scientists ' vision of the american jury system as a far cry from the ideal presented in <unk> <unk> and <unk> on the movie screen
 in the film classic twelve angry men the <unk> of deliberations <unk> each <unk> 's bias and <unk> it from playing a role in the verdict
 after hours of conflict and debate that jury focuses on the facts with <unk> <unk>
 in real life jurors may not always work that way but some court observers question why they should n't be encouraged to do so rather than be <unk> not to
 litigation consulting is as new york trial attorney donald <unk> puts it highly <unk>
 he adds the notion they try to sell is that <unk> do n't make decisions <unk>
 but the effort is also being made to try and cause jurors not to decide things <unk>
 i find it troubling
 but mr. <unk> also acknowledges that consultants can be very effective
 it 's gotten to the point where if the case is large enough it 's almost <unk> not to use them he says
 others complain that the consultants ' growing influence <unk> the advantage of <unk> wealthy enough to afford such <unk> services
 the affluent people and the corporations can buy it the poor <unk> in political cases get it free and everybody in between is at a disadvantage and that 's not the kind of system we want says <unk> <unk> a prominent sociologist who teaches at george washington university
 sophisticated trial consulting grew ironically from the radical political movements of the 1960s and 1970s before finding its more lucrative calling in big commercial cases
 the <unk> N trial in N in which daniel <unk> and others were charged with <unk> <unk> violence was a landmark
 in that case a group of <unk> <unk> interviewed N registered voters around <unk>
 the researchers discovered that <unk> <unk> <unk> and <unk> <unk> were nearly always against the defendants the lawyers resolved to try to keep them off the jury
 the defense also learned that <unk> people were <unk> conservative about the vietnam war
 a more blue-collar panel became a second aim
 ultimately that carefully picked jury <unk> with a N vote to <unk> and the prosecution decided not to <unk> the case
 litigation consulting had arrived
 the fledgling science went corporate in N when international business machines corp. hired a marketing professor to help defend a complex antitrust case
 the problem for ibm trial lawyers thomas <unk> and david <unk> was how to make such a highly technical case <unk>
 as the trial <unk> they were eager to know if the jury was keeping up with them
 the solution devised by the professor was to hire six people who would mirror the actual jury <unk> sit in on the trial and report their reactions to him
 he then <unk> messrs. <unk> and <unk> who had the chance to tilt their next day 's presentation <unk>
 thus the shadow jury was born
 mr. vinson the professor got the law <unk> and formed litigation sciences
 ibm won the case
 the hardest thing in any complex case is to retain <unk> and in some sense your ignorance says mr. <unk> of <unk> <unk> & moore
 what you look for in a shadow jury is very much what you do when you give an opening argument to your wife or a friend and get some response to it
 a shadow jury is a way to do that in a more <unk> and organized way
 the approach worked well in the recent antitrust case in which energy transportation systems inc. sued santa fe pacific corp. over the transport of <unk> coal the kind of case likely to make almost anyone 's eyes <unk> over
 energy transportation retained litigation sciences at a cost of several hundred thousand dollars to poll <unk> profile and shadow
 just before the actual closing arguments the firm put the case to a vote of the five shadow jurors each of whom was being paid $ N a day
 the jurors who did n't know which side had retained them decided for energy transportation and awarded $ N million in damages
 the real jury returned days later with a $ N million victory for energy transportation
 it 's just like weather forecasting says energy transportation trial attorney harry <unk> of vinson & <unk>
 it 's often wrong but it 's better than consulting an indian rain <unk>
 forecasting is only one part of litigation sciences ' work
 changing the outcome of the trial is what really matters
 and to the <unk> some of the firm 's approaches may seem <unk> <unk>
 <unk> jurors are supposed to weigh the evidence in a case <unk> and <unk>
 instead mr. vinson says interviews with thousands of jurors reveal that they start with firmly entrenched attitudes and try to <unk> the facts of the case to fit their views
 pre-trial <unk> helps the consultants develop a profile of the right type of <unk>
 if it is a case in which the client seeks punitive damages for example depressed <unk> people are far more likely to grant them
 someone with a master 's degree in classical arts who works in a <unk> would be ideal litigation sciences advises
 so would someone recently <unk> or <unk>
 since litigation sciences generally represents the defense its job is usually to help the lawyers identify and remove such people from the jury
 for personal-injury cases litigation sciences seeks defense jurors who believe that most people including victims get what they deserve
 such people also typically hold negative attitudes toward the <unk> handicapped the poor blacks and women
 the consultants help the defense lawyers find such jurors by asking questions about potential jurors ' attitudes toward volunteer work or toward particular movies or books
 litigation sciences does n't make moral <unk>
 if a client needs <unk> jurors the firm will help find them
 as mr. vinson explains it we do n't control the facts
 they are what they are
 but any lawyer will select the facts and the strategy to employ
 in our system of <unk> the trial lawyer is duty bound to present the best case he possibly can
 once a jury is selected the consultants often continue to determine what the jurors ' attitudes are likely to be and help shape the lawyers ' presentation <unk>
 logic plays a minimal role here
 more important are what lsi calls psychological <unk> a few <unk> points calculated to appeal to the jury on a gut level
 in one personal-injury case a woman claimed she had been injured when she slipped in a pool but the fall did n't explain why one of her arms was <unk> <unk>
 by repeatedly drawing the jury 's attention to the arm the defense lawyers planted doubt about the <unk> of the woman 's injuries
 the <unk> worked
 the defense won
 in a classic defense of a personal-injury case the consultants concentrate on encouraging the jury to shift the blame
 the ideal defense in a case involving an accident is to persuade the jurors to hold the accident victim responsible for his or her plight mr. vinson has written
 <unk> graphics <unk> for effectiveness also play a major role in litigation sciences ' operation
 studies show the consultants say that people absorb information better and remember it longer if they receive it <unk>
 <unk> <unk> help
 the average american watches seven hours of tv a day
 they are very <unk> sophisticated explains lsi graphics specialist robert <unk>
 lawyers remain divided about whether anything is wrong with all this
 supporters acknowledge that the process aims to manipulate but they insist that the best trial lawyers have always employed similar tactics
 they may not have been able to <unk> it all but they did it says stephen <unk> a legal ethics expert at new york university law school
 what you have here is <unk> made <unk>
 many lawyers maintain that all 's fair in the adversary system as long as no one <unk> with the evidence
 others point out that lawyers in small communities have always had a feel for public sentiment and used that to advantage
 litigation consulting is n't a guarantee of a favorable outcome
 litigation sciences concedes that in one in N cases it was <unk> wrong in its predictions
 a few attorneys offer <unk> stories of jobs <unk> by consultants or of <unk> services as when one lawyer paid a consultant not at litigation sciences $ N to interview a jury after a big trial and later read more <unk> interviews with the same jurors in the american lawyer magazine
 some <unk> <unk> at the notion that a sociologist knows more than they do about what makes a jury <unk>
 the <unk> of being a trial lawyer is understanding how people of diverse backgrounds react to you and your presentation says barry <unk> of simpson <unk> & bartlett who recently won a huge case on behalf of insurers against shell oil co
 he says he used consultants in the case but found them to be virtually <unk>
 but most lawyers accept that the marketplace has spoken
 and the question remains whether the jury system can maintain its integrity while <unk> such a <unk> massage
 for more than a decade mr. <unk> the sociologist has been a leading critic of the <unk>
 there 's no reason to believe that <unk> rule <unk> he says
 but the last thing you want to do is manipulate the <unk> to make them think better
 what you then do is you make them think <unk>
 to <unk> the work of litigation scientists he suggests that courts sharply limit the number of jurors that lawyers can remove from the jury panel through so-called <unk> challenges <unk> that do n't require <unk>
 in most civil cases judges allow each side three such challenges
 for complex cases judges sometimes allow many more
 mr. <unk> also suggests <unk> anyone from gathering background information about the jurors
 some courts release names and addresses and researchers can drive by houses look up credit ratings and even question neighbors
 furthermore he says <unk> should not be allowed to analyze jurors ' <unk>
 even some lawyers who have used consultants to their advantage see a need to limit their impact
 mr. <unk> the first lawyer to use mr. vinson 's services <unk> against courts ' allowing extensive jury questioning known as <unk> dire or giving out personal information about the jurors
 the more extensive the <unk> dire the easier you make it for that kind of research to be effective and i do n't think courts should lend themselves to that mr. <unk> says
 silicon graphics inc. a fast-growing maker of computer workstations said it landed two federal government contracts worth more than $ N million over the next five years
 one award is part of a department of defense contract to loral <unk> <unk> computers and could be valued at more than $ N million over five years
 the other involves the sale of about N of the company 's high-end workstations to the national institutes of health
 the models which cost about $ N each will be used in research
 the <unk> are evidence that silicon graphics ' approach to computer graphics is catching on with users of powerful desktop computers analysts said
 the company 's on a roll said robert <unk> an analyst at hambrecht & quist
 no other computer vendor offers graphics performance that good for their price
 in the battle to supply desktop computers for researchers and design engineers most of the attention is given to the biggest competitors sun microsystems inc. hewlett-packard co. and digital equipment corp. which make computers mainly aimed at a wide range of engineering and scientific needs
 silicon graphics on the other hand has targeted a specific niche since its inception in N which has been dubbed by some as <unk> computing
 this is a style of <unk> computing that provides <unk> color models of everything from the inside of a house to the latest in women 's fashion
 though silicon graphics is much smaller than digital <unk> and sun it has emerged in recent years as a feared adversary in this graphics portion of the workstation market
 in addition the company has made it tough on competitors by offering a stream of desktop computers at sharply lower prices
 a year ago silicon graphics introduced a model priced at $ N almost as cheap as mainstream workstations that do n't offer special graphics features
 silicon graphics also plans to unveil even less expensive machines in the near future
 it 's pretty safe to assume we can bring the cost down of these systems by N N to N N a year said edward <unk> the company 's chief executive officer
 silicon graphics ' strategy seems to be paying off
 revenue for its first quarter ended sept. N was $ N million a N N increase over the year-ago period
 profit was $ N million compared with $ N million for the year-ago quarter
 remember those <unk> <unk> refrigerators of N years ago
 they or at least something less efficient than today 's <unk> units may soon be making a comeback
 that something whatever it is could add as much as $ N to the $ N or so consumers now pay for <unk> refrigerators
 these and other expensive changes in products ranging from auto air <unk> to foam <unk> to commercial <unk> are in prospect because of something called the montreal protocol signed by N nations in N
 in one of the most sweeping environmental regulatory efforts to date involving products with an annual value of $ N billion in the u.s. alone the <unk> agreed to curtail sharply the use of chlorofluorocarbons cfcs
 world-wide production would be cut in half by N
 the u.s. senate liked the treaty so well it ratified it by a vote of N to N
 not to be <unk> george bush wants cfcs <unk> altogether by the year N a goal endorsed at an <unk> u.n. environmental meeting in <unk> in the spring
 that 's a lot of <unk> as it turns out
 cfcs are the primary <unk> in a gas often referred to by the du pont trade name <unk> which is <unk> to liquid form to serve as the cooling agent in <unk> and <unk> equipment
 <unk> containing cfcs are pumped into <unk> to make the foam used in <unk> <unk> and <unk>
 <unk> foam is a highly efficient <unk> which accounts for why the walls of refrigerators and <unk> can be <unk> now than they were back in the days when they were <unk> with glass fiber
 but even though by some estimates it might cost the world as much as $ N billion between now and the year N to convert to other <unk> <unk> agents and <unk> and to <unk> equipment for these less efficient <unk> the montreal protocol 's <unk> of supporters say it is worth it
 they insist that cfcs are damaging the earth 's <unk> ozone layer which screens out some of the sun 's <unk> <unk>
 hence as they see it if something is n't done <unk> will become ever more subject to <unk> and skin cancer
 peter teagan a specialist in heat transfer is running a project at arthur d. little inc. of cambridge mass. to find alternative technologies that will allow industry to eliminate cfcs
 in addition to his interest in ozone depletion he has <unk> studied the related topic of global warming a theory that <unk> 's generation of carbon dioxide through increased combustion of fossil fuels is creating a greenhouse effect that will work important <unk> changes in the earth 's atmosphere over time
 i would be the first to admit that there is not a complete consensus in the scientific community on either one of these problems says mr. teagan
 in the kind of literature i read i come across <unk> opinions quite frequently
 but the nature of the problem is such that many others feel it has to be addressed soon before all the evidence is in
 we ca n't afford to wait
 but does it have to be so soon
 some atmospheric scientists think that even if cfcs were released into the atmosphere at an accelerating rate the amount of ozone depletion would be only N N by the middle of the next century
 it 's easy to get something comparable by simply moving to a higher <unk> in the u.s.
 moreover there are questions particularly among atmospheric scientists who know this subject best about the ability of anyone to know what in fact is happening to the ozone layer
 it is generally agreed that when cfcs rise from earth to <unk> the <unk> in them is capable of <unk> with the process through which <unk> <unk> split <unk> <unk> and form ozone
 but ozone creation is a very large-scale natural process and the importance of <unk> cfcs in reducing it is largely a matter of <unk>
 the ozone layer is constantly in motion and thus very hard to measure
 what scientists have known since the late 1970s is that there is a hole in the layer over <unk> that <unk> or contracts from year to year
 but it is at least worthy of some note that there are very few refrigerators in <unk>
 moreover surely someone has noticed that household refrigerators are closed systems running for many years without either the <unk> gas or the <unk> ever <unk>
 another argument of the environmentalists is that if <unk> are available why not use them
 mr. teagan cites a list of <unk> but none so far match the <unk> <unk> cfcs
 <unk> and propane can be used as <unk> for example but are <unk>
 moreover new lubricants will be needed to protect <unk> from the new <unk> which as with cfcs are <unk>
 mr. teagan points out as well that if the equipment designed to get along without cfcs is less efficient than current devices energy consumption will rise and that will worsen the greenhouse effect
 folks in the midwest who just suffered a mid-october <unk> may wonder where the greenhouse was when they needed it but let 's not be <unk> about grave risks
 as it happens arthur d. little is not at all interested in throwing cold water on ozone depletion and global warming theories
 it is interested in making some money advising industry on how to convert to a world without cfcs
 there is after all big money in environmentalism
 maybe we should ask why it was that du pont so quickly <unk> and issued a statement giving it wide publicity that it was <unk> cfcs
 <unk> introduced in N <unk> america by making <unk> and air <unk> practical after all
 one answer is that big companies are growing <unk> of fighting environmental movements and are trying instead to cash in on them although they never care to put it quite that way
 du pont as it happens has a potential substitute for cfcs
 imperial chemical industries of the u.k. also has one and is building a plant in louisiana to produce it
 japanese chemical companies are at work developing their own <unk> and hoping to <unk> new markets of course
 there are still others who do n't mind seeing new crises arise
 environmental groups would soon go out of business were they not able to send out <unk> describing the latest threat and asking for money to fight it
 university professors and consultants with scientific credentials saw a huge market for their services <unk> when price <unk> destroyed the energy crisis and thus the demand for alternative energy
 they needed new crises to generate new grants and contracts
 in other words environmentalism has created a whole set of vested interests that fare better when there are many problems than when there are few
 that tends to tilt the public debate toward solutions even when some of the most knowledgeable scientists are skeptical about the <unk> of the threats and the insistence of urgency
 there is an element of <unk> involved
 consumers pay the bill for all this in the price of a <unk> or an <unk> car
 if they were really getting insurance against environmental disaster the price would be cheap
 but if there is no impending threat it can get to be very expensive
 but worries about N
 with most legislatures <unk> for the year small business is <unk> its <unk>
 much of its attention was spent fighting organized labor 's initiatives on issues the small-business community traditionally opposes from raising state minimum wage levels to <unk> benefits in health plans
 while results were mixed in many states small business got by fairly well concludes don l. robinson associate director of the national federation of independent business the largest small-business organization
 five states oregon <unk> island new hampshire iowa and wisconsin passed bills to boost the minimum wage but measures in N other states were defeated
 oregon 's rate will rise to $ N an hour the nation 's highest in jan. N N
 iowa 's will be the second highest at $ N an hour in january N but small-business lobbyists won an exclusion for tiny concerns and a lower training rate
 in N central states one small-business count shows lawmakers adopted only three of N bills <unk> health coverage or parental leave
 the illinois legislature narrowly passed a <unk> bill which gov. james thompson vetoed and iowa and tennessee amended laws to require that employers pay for <unk> <unk>
 small business is bracing for an <unk> of similar proposals next year
 those kinds of issues always keep coming back says robert <unk> who manages the illinois chamber of commerce 's small-business office
 despite victories this year small business fears losing <unk> war
 only two states vermont and washington this year joined five others requiring private employers to grant leaves of absence to employees with <unk> or adopted <unk>
 similar proposals were defeated in at least N other states
 but small business which generally <unk> <unk> benefits has taken note of the growing number of close votes
 it 's just a matter of time before the tide turns says one midwestern lobbyist
 consequently small business is taking more <unk> steps to counter mandated leaves
 in pennsylvania small businesses are pushing for a voluntary alternative they favor a commission that would develop sample leave policies that employers could adopt
 they also support a tax credit for employers to offset the cost of hiring and training workers who temporarily replace employees on parental leave
 in N the issue is expected to be especially close in alaska california michigan new york pennsylvania and illinois
 we 'll be playing a lot of defense especially in the midwest and northeast says jim <unk> of the <unk>
 in los angeles more small businesses <unk> adopting a child-care policy
 triggering the <unk> is a recent city council decision to give preference in letting city contracts to suppliers with a stated policy on child care for their employees
 the <unk> treatment even applies to <unk> small contracts under $ N and consulting and temporary services which often go to the smaller concerns
 firms are permitted wide flexibility in the child-care arrangements they provide
 council member <unk> <unk> the measure 's chief advocate considers it part of a <unk> policy that makes los angeles a leader in <unk> the workplace
 november <unk> will contain few <unk> or initiative issues that especially affect small business
 in san francisco small businesses are urging passage of a local initiative to build a new $ N million downtown baseball stadium they believe it will spur retail sales and <unk> business
 but in washington state small business generally opposes an initiative to boost spending on children 's programs by $ N million <unk> the state 's N N sales tax will be raised to finance the outlays
 dialing dollars
 small businesses in suburban chicago are <unk> that an <unk> switch nov. N to N from the familiar N wo n't be without some costs as they alter <unk> among other things and notify customers
 <unk> & <unk> a small st. charles law firm plans to mail N customers a list of its lawyers ' new phone and fax numbers as well as <unk> <unk> cards
 but many owners plan to practice <unk> crossing out the old code and writing in the new one until their stock runs out
 even <unk> operator <unk> smith of <unk> wo n't <unk> his old supply
 he reports his business is up slightly from customers replacing old stock
 california a <unk> in <unk> rules <unk> a controversy
 with some new rules state officials say they made it easier and faster to sell new <unk> whose terms <unk> from those in <unk> contracts
 previously regulators insisted that franchisers <unk> such changes with the state a costly process taking at least six weeks
 now some negotiated sales that meet a series of tests do n't have to be <unk>
 for instance franchisers no longer must <unk> sales to <unk> franchisees who qualify as sophisticated purchasers
 such buyers must have a minimum net worth of $ N million $ N annual income or recent experience in the business area of the franchise being sold
 but critics consider the changes <unk>
 lewis g. <unk> a chicago lawyer who represents franchisers contends california is narrowly limiting rather than expanding opportunities for negotiating sales
 he argues california regulators historically have <unk> their law and he says negotiated sales that are n't <unk> have been legal all along
 san francisco lawyer timothy h. fine who represents franchisees insists california 's <unk> helps protect franchisees from <unk> sales negotiators who push unlawful <unk>
 small talk
 a new maryland law <unk> store owners of liability if a customer trips or otherwise gets hurt on the way to the <unk>
 only N N of missouri small businesses surveyed say they 've tested an employee or <unk> for drug or alcohol use
 by N N tennessee <unk> members favor laws to limit foreign ownership of land and facilities in the state
 about N commuters trying to find their way through the bay area 's <unk> transportation system <unk> <unk> into <unk> sat in traffic <unk> on major freeways or waited <unk> for buses yesterday
 in other words it was a <unk> manhattan commute
 city officials feared widespread gridlock on the first day that normal business operations were resumed following last tuesday 's earthquake
 the massive temblor which killed at least N people <unk> the bay bridge a major artery to the east and closed most <unk> leading to and from highway N the biggest artery to the south
 it will take several weeks to repair the bridge and several months to repair some of the N connections
 but in spite of a <unk> <unk> gridlock never materialized mainly because the bay area rapid transit subway system carried N N more passengers than normal
 for the first time in memory it was <unk> only in bart 's <unk> modern <unk>
 moreover the two main bridges still connecting san francisco with the east bay did n't charge <unk> allowing traffic to zip through without <unk>
 officials also suspect that traffic benefited from steps by major employers to get workers to come in at odd hours or that many workers are still staying at home
 many commuters who normally drove across the bay bridge which is shut down for several weeks because of damage to one span actually may have reached work a bit faster on bart yesterday provided they could find a parking space at the system 's <unk> stations
 in the best of times the bay bridge is the worst commute in the region often experiencing <unk> of N to N minutes or more
 not that getting into town was easy
 storm flooding caused <unk> on the freeway and many commuters had to find <unk> to bart 's stations because parking lots were full before <unk>
 bus schedules were sometimes in disarray <unk> commuters such as <unk> sullivan
 her commute from <unk> calif. normally takes an hour and N minutes via the golden gate bridge which <unk> san francisco with the north bay area
 yesterday she was still waiting at a bus stop after three hours trying to transfer to a bus going to the financial district
 it 's worse than i thought she said
 i do n't know where all the buses are
 but while traffic was heavy early in the commute over the golden gate by N a.m. it already had <unk> out
 it 's one of the <unk> <unk> i 've ever had said charles <unk> an insurance broker on the bus from mill valley in <unk> county
 it looks like a holiday
 i think a lot of people got scared and stayed home
 however a spokeswoman for bankamerica corp. said yesterday 's <unk> at the bank holding company was no greater than on an average day
 at the san mateo bridge which <unk> the san francisco peninsula with the east bay police were surprised at the speed with which traffic moved
 everybody pretty much pitched in and <unk> said <unk> <unk> a <unk> with the california highway <unk>
 there were many indications that the new work hours implemented by major corporations played a big role
 the golden gate handled as many cars as normally yesterday but over four hours rather than the usual <unk> crush
 <unk> group inc. the giant closely held engineering concern says it has instituted a N a.m. to N p.m. <unk> arrangement <unk> employees may select any <unk> period during those hours to go to work
 of <unk> 's N employees about N work in san francisco one-third of them <unk> from <unk> east bay
 pacific gas & electric co. is offering its N san francisco employees a two-tier <unk> schedule either N a.m. to N p.m. or N a.m. to N p.m
 the <unk> may cut by almost a third the number of <unk> employees working conventional N hours a spokesman says
 some of the utility 's employees may <unk> for a four-day <unk> N hours a day to cut the commute by N N
 at pacific telesis group <unk> is left up to individual working groups because some of the telephone company 's employees must be on-site during normal business hours a spokeswoman says
 some individuals went to some <unk> on their own to avoid the anticipated gridlock
 one senior vice president at <unk> said he got up at N a.m. to drive into san francisco from the east bay
 but transportation officials worry that such extraordinary measures and cooperation may not last
 although one transportation official said drivers who did n't use car pools were committing an <unk> act about two-thirds of the <unk> crossing the golden gate were alone compared with the normal N N rate
 and some commuters relieved by the absence of gridlock were planning to return to their old ways
 <unk> kasparov went to combat sunday with the world 's most advanced <unk> computer and kicked it around <unk> anyway like an old <unk> can
 playing black in the first game the human champion <unk> deep thought known for its attacking <unk> into a totally passive position
 then he <unk> his own <unk> attack
 and in the second game with mr. kasparov advancing <unk> as white d.t. offered <unk> resistance and lost even faster
 well <unk> can rest easier for now
 though almost everybody at the playing site had been looking for the <unk> soviet to beat the <unk> computer he gave the machine a far worse <unk> than many expected
 and when mr. kasparov <unk> into the playing hall he called the outcome
 as if he were iron mike about to enter the ring with a <unk> <unk> he declared i 'll be able to beat any computer for the next five years
 his strategy against d.t. was based on a <unk> study of dozens of its games he said including its notorious <unk> of the <unk> <unk> larsen of <unk> and robert <unk> of the u.s.
 mr. kasparov was <unk>
 the computer 's mind is too straight too <unk> lacking the <unk> and creativity needed to reach the top he said
 the champion apparently was not worried at all about d.t. 's strong points
 its chief <unk> <unk> <unk> <unk> <unk> his <unk> the <unk> for its tactical <unk> at <unk> out of horrible positions
 d.t. also has a <unk> and <unk> memory is utterly <unk> and could n't be <unk> by the <unk> <unk> <unk> spread around the playing hall in the new york academy of art
 in fact d.t. never left home <unk> mellon university in pittsburgh but <unk> with its human <unk> by telephone link
 they conceded that the odds favored mr. kasparov but they put their hope in d.t. 's recently enhanced capacity for <unk> positions up to a million per second from N
 but the <unk> mistakenly stuck with silicon chips they needed <unk>
 this became apparent as game one a <unk> defense by mr. kasparov <unk>
 no human can examine millions of moves but mr. kasparov using his <unk> powerful brain consistently found very good ones
 after eight moves by each side the board was the same as in a game in which nigel short of great britain fought the champion to a draw in N
 but the computer did n't play mr. short 's ninth move a key pawn thrust and its position deteriorated rapidly
 instead of <unk> a standard measure to <unk> the king d.t. made a <unk> <unk> maneuver at move N then it put a knight <unk> on move N
 only two classes of minds would think of this very weak human players and computers said <unk> <unk> the expert <unk> for the match which was attended by hundreds of <unk> fans
 by move N d.t. had fallen into a deep <unk> trap
 it allowed mr. kasparov to exchange his <unk> <unk> for one of d.t. 's <unk>
 <unk> usually are worth slightly more than <unk> but in this case mr. kasparov was left with a very dangerous knight and d.t. 's surviving <unk> was reduced to <unk>
 indeed it looked more like a pawn a tall pawn as <unk> <unk> put it
 consistently d.t. was <unk> about its chances which it continually <unk> up in <unk> form
 when most <unk> thought its position <unk> the computer thought it was only in effect one-half of a pawn down
 such <unk> met with <unk> and kept the machine from resigning as soon as humans would have prompting more <unk>
 while d.t. <unk> its king back and forth in a defensive <unk> mr. kasparov <unk> the knight to a dominant <unk>
 he also launched a <unk> storm <unk> a pawn to <unk> d.t. 's king
 no amount of <unk> could have saved this game for <unk>
 a piece down the computer resigned
 now with the crowd in the analysis room <unk> <unk> blood the only question seemed to be how fast mr. kasparov could win game two
 with the advantage of playing white which moves first mr. kasparov followed up <unk> against the computer 's defense a queen 's <unk> accepted
 as early as move six mr. kasparov <unk> from a well-known <unk> of moves developing a knight instead of making a standard <unk> attack against the computer 's advanced knight
 this left the computer with a broader range of <unk> replies and it immediately <unk> by moving a <unk> pawn to the <unk> of <unk> development
 in a new position just after the opening a computer will have serious problems mr. kasparov said later
 in such positions he explained you have to create something new and the computer is n't able to do that right now
 after only N moves for each side the computer 's position was shaky
 <unk> it grabbed a pawn at the cost of facing a <unk> attack
 and when a defensive move was called for d.t. passed up an obvious pawn move and instead exposed its queen to immediate tactical threats
 mr. kasparov <unk> later that even a weak club player would have avoided the queen move
 now after only a dozen moves <unk> were looking for a <unk> combination
 on a demonstration board <unk> <unk> <unk> showed a quick kill initiated by a knight sacrifice no <unk> <unk> this line of play
 mr. kasparov 's <unk> was slower but in the end just as deadly
 he won d.t. 's queen for two minor pieces and two <unk> not enough compensation in this position to give the computer much hope
 in a <unk> position the computer resigned rather than make its <unk> move
 and mr. kasparov to <unk> and applause marched back into the analysis room
 in both games i got exactly what i wanted he said
 what he had demonstrated he added is that there 's more to <unk> than sheer <unk>
 <unk> d.t. 's <unk> vowed to press on
 indeed three of them will be building a successor machine for international business machines corp
 promises <unk> <unk> in three years we 'll mount a better challenge
 mr. <unk> is a reporter in the journal 's new york bureau
 reaching for that extra bit of yield can be a big mistake especially if you do n't understand what you 're investing in
 just ask richard blumenfeld a new jersey <unk> who considers himself a reasonably sophisticated investor
 in may N dr. blumenfeld gave merrill lynch & co. about $ N for a federally insured certificate of deposit offering an effective yield of more than N N
 it was a time when interest rates came down very rapidly dr. blumenfeld recalls
 yields on five-year cds at major banks were averaging about N N and 10-year treasury notes were paying less than N N
 the cd seemed like a great deal
 but nearly N N years later merrill says the investment is worth about $ N an amount that represents an annual return of just over N N on dr. blumenfeld 's $ N
 the problem is that the cd he bought for a retirement plan was n't a plain <unk> cd
 instead his merrill broker put him in a zero-coupon cd which is sold at a deep discount to its face value
 the difference between the price and the face value payable at maturity is the investor 's return
 more important the cd was purchased on the secondary or resale market
 because the cd had an effective yield of N N when it was issued in N and interest rates in general had declined sharply since then part of the price dr. blumenfeld paid was a premium an additional amount on top of the cd 's base value plus accrued interest that represented the cd 's increased market value
 now the thrift that issued the cd is insolvent and dr. blumenfeld has learned to his surprise that the premium is n't insured under federal deposit insurance
 the <unk> came when he opened a recent merrill lynch statement and found that the cd 's estimated current market value had plummeted by $ N in a month
 several phone calls and a visit to his broker 's office later the <unk> found out that the $ N drop represented the current value of the premium he paid when he bought the cd and that the amount was n't insured
 this is one thing i was never aware of he says
 he assumed that principal and interest were fully insured up to $ N he adds
 dr. blumenfeld is n't unique
 especially at times like these when declining rates make it hard for investors to get yields they have come to expect too many people chase the promise of <unk> returns without fully <unk> the risk
 yield greed often gets in the way of understanding things says john <unk> research director of the american association of individual investors a chicago-based educational group
 the biggest problem we have is that investors realize after the fact that they did n't understand what they were investing in
 dr. blumenfeld concedes he did n't fully understand what he was buying
 he says that he knew he was getting a zero-coupon cd and that he had previously invested in <unk> treasury income growth receipts a type of zero-coupon treasury security sold by merrill lynch
 but he says he did n't understand he was buying the cd on the secondary market and he contends his broker never fully explained the risks
 the broker thomas <unk> of merrill lynch 's morristown n.j. office refuses to discuss the matter with a reporter referring inquiries to merrill lynch officials in new york
 those officials say there was full disclosure of the risks in a fact sheet sent to all cd investors with their confirmation of sale
 the fact sheet dated april N says on page three if the price paid for a cd purchased in the secondary market is higher than the <unk> value in the case of zero-coupon cds the difference is not insured
 <unk> involving zero-coupon cds are more complicated and you should discuss any questions you may have with your financial consultant
 dr. blumenfeld says he does n't remember the <unk> about premiums in the fact sheet he received and did n't realize part of what he paid was a premium
 i assumed i was buying a cd as a cd he says
 nevertheless merrill lynch has agreed that if the thrift that issued dr. blumenfeld 's cd peoples heritage federal savings & loan association in <unk> kan. is liquidated and the cd terminated the brokerage firm would cover the premium dr. blumenfeld paid
 federal deposit insurance would pay principal and interest accrued to the date of liquidation to a maximum of $ N
 it 's not a blanket commitment it 's a <unk> situation says albert <unk> a managing director of merrill lynch money markets inc
 there 's a question whether brokers at the time were fully aware of the risks
 we were n't sure that full disclosure as we wanted it was being made
 merrill lynch says it 's impossible to estimate how many investors are in dr. blumenfeld 's situation although it says the firm has received only one other complaint about premiums on the secondary market in three years
 merrill lynch now provides credit rating information about the institutions whose cds it sells which it did n't provide in N
 zero-coupon cds are only a small portion of the $ N <unk> in cds outstanding and those purchased on the secondary market are an even smaller part of the total
 merrill lynch estimates that fewer than N financial institutions currently issue zero-coupon cds
 still there are several billion dollars of zero-coupon cds with various maturities outstanding
 because of the tax consequences of zero-coupon investments income tax is payable in the year interest is accrued although interest is n't actually paid until maturity zero-coupon cds are usually sold for <unk> accounts to finance things like retirement and children 's education
 most zero-coupon cds are in maturities of six to nine years and they usually double in value by maturity
 but investors who bought zero-coupon cds in the secondary market are n't the only ones who may be surprised to learn the full amount of their investments is n't insured
 people who paid a premium for standard cds purchased on the secondary market could also find that those premiums are n't insured if the institutions that issued the cds failed
 however those premiums are usually far smaller than on zero-coupon cds and the simpler pricing structure of a standard cd makes it more apparent when a premium is paid
 whatever the case a merrill lynch spokesman <unk> investors should n't have to worry about the uninsured premium issue unless the bank or thrift that issued the cd is closed and its deposits paid off before maturity or transferred to another institution at a lower rate
 dr. blumenfeld says he 's satisfied that his problem has been resolved
 and he says he 's learned a lesson you always have to watch out for yourself
 no one else will watch out for you
 americans are drinking less but young professionals from australia to west germany are rushing to buy <unk> american <unk> <unk> and other spirits
 in particular many are <unk> the <unk> preferred by their parents and <unk> for bourbon the sweet <unk> from the kentucky <unk>
 with u.s. liquor consumption declining steadily many american producers are stepping up their marketing efforts abroad
 and those efforts are paying off spirits exports jumped more than N N times to $ N million in N from $ N million in N according to the <unk> spirits council of the u.s. a trade group
 spirits companies now view themselves as global marketers says michael <unk> president of beverage marketing corp. a research and consulting firm
 if you want to be a player you have to be in america europe and the far east
 you must have <unk> brands a long-term perspective and deep pockets
 the <unk> of the industry has been <unk> by foreign companies ' acquisitions of many u.s. producers
 in recent years for example grand metropolitan plc of britain acquired <unk> inc. while another british company guinness plc took over united <unk> group and <unk> industries inc
 but the shift has also been fueled by necessity
 while <unk> spirits like <unk> <unk> and jack daniel 's whiskey are riding high in the u.s. domestic spirits consumption fell N N to N million cases in N from N million cases in N
 in recent years growth has come in the foreign markets
 u.s. <unk> exports more than doubled last year to N proof gallons a standard industry measure according to <unk> beverage alcohol group an industry association
 exports of <unk> surged N N to N proof gallons
 mexico is the biggest importer of both <unk> and <unk> from the u.s.
 japan the world 's third-largest liquor market after the u.s. and britain helped american companies in april when it lowered its tax on imported spirits and <unk> a tax on many domestic products
 california <unk> benefiting from lowered trade barriers and federal marketing subsidies are expanding aggressively into japan as well as canada and great britain
 in japan the <unk> are promoting their products ' pacific roots and <unk> restaurant and hotel chefs whose recommendations carry weight
 in australia britain canada and greece brown-forman corp. has increased its marketing of southern comfort <unk>
 using <unk> television and print ads the company pitches southern comfort as a grand old drink of the <unk> american south
 the biggest foreign <unk> though have been made by bourbon
 while u.s. makers of <unk> <unk> and other spirits compete against <unk> abroad trade agreements prohibit any other country from making bourbon
 all bourbon comes from kentucky though jack daniel 's tennessee whiskey often is counted as bourbon because of similarity of taste
 moreover just as <unk> has acquired an upscale image in the u.s. bourbon has become fashionable in many foreign countries a <unk> american product tied to <unk> <unk>
 how was the west won
 with a <unk> in one hand and bourbon in the other
 we imagine with bourbon the wild west western motion pictures and <unk> appearing says <unk> <unk> vice president of <unk> international corp. a division of <unk> ltd. japan 's largest liquor company
 <unk> distributes brown-forman <unk> in japan
 bourbon makes up just N N of world-wide spirits consumption but it represented N N of u.s. liquor exports last year according to <unk> no other category had more than N N
 big u.s. <unk> are fiercely <unk> for this market which grew to $ N million last year from $ N million in N according to government figures
 jim beam brands co. a division of american brands inc. is the leading exporter of bourbon and produces N other types of liquor
 the company says it will increase its international advertising N N in N with bourbon representing most of that amount
 guinness 's <unk> industries unit has increased its tv advertising in japan and has built partnerships with duty-free shops throughout asia enabling it to install prominent counter displays
 the company 's <unk> harper brand is the leading bourbon in japan with N N of the market
 bourbon exporters have succeeded in japan where other industries have failed avoiding cultural <unk> in marketing and distribution by <unk> themselves with local agents
 jim beam brands has a distribution partnership with <unk> whiskey co. a <unk>
 seagram co. which exports four <unk> bourbon has such a link with <unk> brewery co
 some bourbon makers <unk> abroad as they do at home
 to promote jack daniel 's overseas brown-forman uses the same photos of front <unk> from <unk> va. and <unk> old men in <unk> and <unk>
 jim beam print ads however strike different <unk> in different countries
 in australia land of the <unk> a <unk> of jim beam lies on a strip of <unk> leather
 west germans get <unk> with bourbon in the <unk> and a <unk> beverly hills hotel in the background
 ads for england are <unk> and <unk>
 one ad features a huge robot carrying a <unk> woman in a <unk>
 the <unk> i only asked if she wanted a jim beam
 capital cities\/abc inc. 's net income rose N N on a modest N N increase in revenue in the third quarter mainly on strong advertising demand at its abc television network operation
 demand for ads also rose at the eight tv stations capital cities owns and at its <unk> espn sports cable channel
 the broadcast and publishing company reported net climbed to $ N million or $ N a share from $ N million or $ N a share in the year-earlier period
 revenue reached $ N billion from $ N billion
 in new york stock exchange composite trading yesterday capital cities closed at $ N down $ N
 the broadcasting unit reported operating profit of $ N million up N N from the year-earlier $ N million
 publishing reported operating profit was $ N million nearly flat with the <unk> $ N million
 revenue at the broadcasting unit consisting of the network and stations advanced N N to $ N million from $ N million
 the publishing unit reported revenue edged up N N to $ N million from $ N million
 chairman thomas s. murphy cited capital cities ' nine daily newspapers in explaining most of the gain
 the parent also publishes <unk> shopping <unk> and specialty magazines
 for N 's first nine months capital cities net income grew N N to $ N million or $ N a share from $ N million or $ N a share
 revenue eased N N to $ N billion from $ N billion
 last week abc <unk> general electric co. 's national broadcasting co. unit as the no. N network as rated by a.c. nielsen co
 abc has four shows in the top N including the top show <unk>
 as part of a previously announced transaction federal <unk> corp. has bought approximately N shares of its common stock from <unk> inc. at $ N a share
 <unk> has agreed not to acquire any securities of <unk> for N years and not to influence company affairs during that period
 weyerhaeuser co. said it sold its <unk> business to an affiliate of one of indonesia 's largest <unk> firms
 terms of the transaction were n't disclosed
 weyerhaeuser said its <unk> business employs about N workers at two facilities in <unk> va. and hancock <unk>
 manville corp. said it will build a $ N million power plant to provide electricity to its <unk> pulp and paper mill in brazil
 the company said the plant will ensure that it has adequate energy for the mill and will reduce the mill 's energy costs
 manville said it expects the plant to begin operating at the end of N
 housing and urban development secretary jack kemp called on the federal reserve system to lower interest rates
 in a speech to the mortgage bankers association mr. kemp broke the administration 's public <unk> on the fed and complained that interest rates are too high
 i am convinced that a monetary policy for this country that would return interest rates to the historical level of N N or N N would have not only an immediate impact on housing starts the housing stock our industry in america the <unk> of our industrial system it would help the third world economies considerably and it would particularly have a favorable impact upon our budget deficit mr. kemp said
 the fed recently eased credit by lowering the bellwether federal funds interest rate to N N N from about N N
 bush administration officials say inflation is under control
 with economic growth slowing they say they believe the fed should ease credit even further
 but for the most part officials have avoided <unk> those views in public <unk> they would <unk> <unk> the fed
 mcdonald 's corp. said third-quarter earnings rose N N on a hefty sales gain but domestic franchisees apparently did n't <unk> of the improvement
 the world 's largest fast-food chain said net income rose to $ N million or N cents a share from $ N million or N cents a share a year ago
 in the latest period the company had an average of N million shares N million shares below last year 's level
 revenue rose N N to $ N billion from $ N billion
 <unk> sales which include sales at franchisee as well as company-owned stores totaled $ N billion compared with $ N billion
 but sales for u.s. franchisees were flat at best on a <unk> basis despite weak N figures
 compared with the first nine months of last year average franchisee store sales this year were down nearly $ N reflecting a fierce discounting war among fast-food chains
 since mcdonald 's <unk> prices rose this year the actual decline may have been more
 mcdonald 's closed at $ N up $ N in new york stock exchange composite trading yesterday
 while franchisees were having a tough time holding sales mcdonald 's <unk> stores posted hefty gains for the nine months with sales per <unk> unit rising $ N
 one analyst noted that the company often has better store locations than do its franchisees thus <unk> promotional efforts
 on average in the latest nine months <unk> units in the u.s. had $ N more in sales than did <unk> outlets
 there are more than three times as many <unk> domestic outlets as there are company stores
 profit margins at u.s. company-owned stores in the quarter were up nearly N N which the company attributed in part to lower food costs
 prudential-bache securities analyst leslie <unk> said reduced labor costs helped boost margins although she <unk> that kind of performance is <unk>
 calling sales still relatively soft ms. <unk> believes that in real terms u.s. sales slipped N N N to N N at <unk> stores in the quarter
 apparently acknowledging weaker u.s. sales <unk> mcdonald 's vowed to use our size and muscle to do all that is necessary to build the brand
 overseas both franchisees and the company performed substantially better than a year ago
 third-quarter sales in europe were exceptionally strong boosted by promotional programs and new products although weaker foreign currencies reduced the company 's earnings
 mcdonald 's said that <unk> sales would have been $ N million greater had N exchange rates remained in effect
 going into the fourth quarter the sales comparison will be more difficult predicted restaurant analyst howard <unk> of kidder peabody & co
 reflecting better growth prospects abroad mcdonald 's noted that as of sept. N more stores were under construction overseas than a year ago while the opposite was true for domestic expansion
 at the end of the third quarter mcdonald 's had N units operating world-wide
 in the nine months earnings rose N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 revenue rose N N to $ N billion from $ N billion
 carnival cruise lines inc. 's common stock was dragged down yesterday amid concerns that a bankruptcy filing by a finnish <unk> would delay delivery of three big cruise ships
 the miami-based company 's stock fell $ N yesterday to $ N a share in heavy american stock exchange composite trading
 early yesterday carnival said in a company statement that it had been notified <unk> that waertsilae marine industries the finnish shipyard that is building its three new cruise ships planned to file for bankruptcy
 officials at carnival declined to comment
 there is just a tremendous amount of uncertainty about what the effect if any of all this is said john p. <unk> an analyst at raymond james associates inc
 i did n't even know that a company in a <unk> country could file for bankruptcy
 carnival said the fantasy the first of the three $ N million ships that carnival has on order is scheduled to be delivered next month just in time for the winter tourist season in the caribbean
 that ship which would carry about N passengers would expand the capacity of carnival 's existing <unk> fleet by N N
 the second ship which is <unk> is scheduled to be delivered in fall N and the third in fall N
 there 's a N N chance that the fantasy will be delivered close to schedule said <unk> levy an analyst at shearson lehman hutton inc
 the others will probably be delivered as well but carnival will likely have to pay a higher price for them
 she said the company could pay as much as N N more for the ships
 if the ships are n't delivered however it will likely have an effect on the company 's earnings as soon as the N fiscal year which begins dec. N
 analysts said those estimates which range from about $ N a share to $ N a share are based on fantasy being in operation in N
 if the ship fails to arrive those per-share earnings estimates could be trimmed N cents or more
 analysts were n't willing to speculate on how much money carnival might lose through deposits
 normally a company pays a portion of the total cost of a ship as it reaches various stages of construction
 carnival for example has already paid about $ N million of the total cost for fantasy
 some analysts say this may give it the right to seize the ship if the situation warrants it
 according to reports from finland waertsilae marine <unk> by conglomerate oy waertsilae filed for bankruptcy yesterday after the shipyard 's contractors had started to demand bank guarantees
 the shipyard disclosed in <unk> that it expected losses stemming from a series of unprofitable orders
 designer <unk> garratt filed for chapter N bankruptcy code protection saying that her cash flow had been cut off
 the designer whose line of <unk> <unk> clothing has spawned a host of <unk> has been in a dispute with her latest <unk> <unk> inc. for several months
 ms. garratt was the subject of a wall street journal article in march
 the designer 's attorney <unk> <unk> said that ms. garratt was forced to start bankruptcy-law proceedings because <unk> began <unk> her royalty payments last month
 <unk> paid ms. garratt royalties for the line known as multiples by <unk> garratt which are sold primarily through department stores
 ms. garratt sued the dallas apparel maker earlier this year charging that <unk> developed and marketed clothing lines <unk> after her designs in violation of their contract
 that lawsuit is still pending
 <unk> could n't immediately be reached for comment
 ms. garratt 's assets and liabilities were n't disclosed
 eaton corp. had a N N drop in third-quarter profit mainly because of lower sales of truck parts its largest and most profitable single business
 sales of medium and <unk> trucks continue to lag <unk> rates leading eaton to expect fourth-quarter net income to fall below year-earlier levels said stephen r. <unk> vice chairman and chief financial and administrative officer
 he declined to make a specific earnings estimate
 third-quarter net was $ N million or $ N a share from $ N million or $ N a share a year ago
 sales rose N N to $ N million from $ N million
 the quarter net was below analyst expectations mainly because <unk> sales did n't rebound in september from the summer doldrums as they usually do said patrick e. <unk> analyst with mcdonald & co
 mr. <unk> who had been expecting quarter profit of about $ N a share says he is reducing his estimate for the year to the area of $ N a share from his previous estimate of $ N
 eli <unk> of painewebber inc. who a couple of weeks ago reduced his N estimate to $ N a share because of the weakening truck market says he will make another cut to about $ N a share in light of the third-quarter report
 he said eaton 's quarter profit margin on controls was lower than he anticipated
 eaton said sales of truck <unk> <unk> and other parts fell N N to $ N million
 sales of parts for cars and construction vehicles rose
 eaton does n't provide profit figures separately for each category but operating profit for vehicle parts as a group fell N N to $ N million on an about N N drop in sales to $ N million
 mr. <unk> said <unk> operators appear to be cautious about buying new trucks until they see how the economy <unk>
 the truck sales slowdown reflects the general slowing in sales of consumer goods he said and the latest reports show a slight improvement rather than any indication of a downward <unk>
 operating profit from electrical and electronics controls eaton 's other major business group fell N N to $ N million despite a N N increase in sales to $ N million
 the company attributed the decline to weakness in the <unk> market in north america and in the european <unk> market
 for the nine months net including profit from discontinued operations both years and in N an extraordinary charge of $ N million related to settlement of a lawsuit was $ N million or $ N a share up N N from $ N million or $ N a share a year ago
 eaton earned from continuing operations $ N million or $ N a share down N N from $ N million or $ N a share a year earlier
 nine-month sales were $ N billion up N N from $ N billion a year earlier
 in new york stock exchange composite trading eaton closed at $ N a share down $ N
 in poland 's rapid shift from socialism to an <unk> alternative environmental issues have become a cutting edge of broader movements to restructure the economy cut <unk> <unk> and <unk> local politics
 initial steps were taken at poland 's first international environmental conference which i attended last month
 the conference held in lower <unk> was <unk> by the environment ministry the rockefeller brothers fund and the polish ecological club and was attended by N poles from government and industry as well as <unk> <unk> russians japanese and americans
 the conference was entitled economic <unk> for environmental protection a significant departure from east bloc usage which recognizes only one economic mechanism central planning to direct industrial behavior
 even more <unk> it focused on emissions trading and similar market approaches to address pollution notwithstanding poland 's lack of <unk> markets
 why did east bloc participants unanimously <unk> <unk> pollution approaches
 the answer lies both in the <unk> environment of these countries and the perceived causes of that <unk>
 like other east bloc countries poland <unk> environmental laws more <unk> in their breach than in their <unk>
 according to a detailed report by <unk> <unk> of the university of minnesota 's <unk> <unk> institute N areas containing a third of poland 's population are regarded as ecological hazards due to multiple violations of standards
 <unk> are consistently exceeded at N N of <unk> <unk> monitoring sites and N N of those for dust and <unk> emissions
 <unk> of poland 's <unk> have become highly <unk> N N of its southern <unk> are projected to die by century 's end
 between N and N polish waters fit for human consumption dropped from N N to N N of all surface waters while those <unk> even for industry use nearly doubled
 poland produces about N times more <unk> and five times more <unk> dioxide and solid waste per unit of gross national product than does western europe
 its mortality rate for males over N is about N N higher than west germany 's and N N higher in hazard areas than the national average
 since N average annual growth rates for most <unk> have <unk> the growth of gnp
 conference participants saw these effects as flowing directly from a marxist devaluation of environmental resources which are not produced by labor b planned economies ' inability to control pollution where enterprises are state-owned and penalties are paid by the government and c the continuing <unk> emphasis on heavy industry for economic development producing a far heavier and more <unk> use of energy and natural resources than in the west
 they repeatedly noted that environmental progress could not be secured without true ownership genuine competition based on market factors and the risk of bankruptcy if a business makes the wrong decisions
 the solutions they formally proposed included <unk> taxes conservation and recycling incentives <unk> <unk> <unk> pollution permits an ecological bank to finance <unk> credits and <unk> swaps
 but their most fundamental recommendation was to separate industry from the state making it fully <unk> for pollution control
 a revolution takes more than conference <unk>
 indeed skepticism was <unk> captured by a joke told by poles at the conference the world must be coming to an end
 the russians are talking peace
 the <unk> are talking elections
 and the poles are engaged in commerce
 but the implications of such a shift to market approaches go well beyond the fact that poland is already working on nationwide emissions trades to reduce <unk> pollution or that the soviets plan to introduce <unk> pollution permits in some republics next year
 those implications include privatization
 faced with a $ N billion foreign debt and <unk> inflation poland must <unk> industry and eliminate subsidies to stabilize its currency and qualify for international assistance
 <unk> pollution control may consume some capital that would otherwise purchase state industries
 but it could also accelerate <unk> by reinforcing industrial accountability breaking up state monopolies giving managers a stake in solutions and ensuring that modernization is not <unk> for failure to address environmental effects
 <unk> solutions
 as conferees noted scarce capital means the costs of control must be <unk> through a broad <unk> of compliance choices for individual firms
 that means simple clear rules that secure the first large blocks of reduction deferring more complex issues such as risk
 it also means use of <unk> pollution limits such as <unk> permits rather than <unk> limits such as <unk> fees
 that 's because <unk> managers will likely respond better to quantity than to price signals
 creative financing
 even <unk> environmental solutions will require billions of dollars
 new types of financing must make funds available without <unk> poland 's <unk> reserves
 <unk>
 east bloc pollution data typically have been state secrets
 while polish data have been freely available since N it was no accident that participants urged the free flow of information
 for once information flows public participation follows and repression becomes difficult to <unk>
 global <unk>
 one participant <unk> declared that america has had a free market in goods but a planned economy for environmental protection while poland represents the opposite
 his point it will be increasingly difficult for the u.s. to <unk> to <unk> measures if even the east bloc steps to a different <unk>
 at the moment poland resembles <unk> pittsburgh more than a modern industrial society with <unk> production inadequate environmental management and little ecological awareness
 but the continuing pressures for free-market economics suggest the conference 's vision was not all fantasy
 mr. <unk> former head of epa 's regulatory reform staff adapted this from his november column for the journal of the air and waste management association
 disappointing earnings news from some technology companies <unk> investors in the over-the-counter market who sold shares of apple computer intel and many other <unk> concerns
 the drop in those and other technology stocks contributed to an N N slide by the nasdaq composite index
 it finished at N down N
 the nervousness about the technology stock outlook also hurt the dow jones industrial average which slipped about N N
 mostly because of the sell-off in technology stocks the nasdaq N index of the otc 's largest <unk> issues dropped N to N
 the nasdaq financial index of giant insurance and banking issues lost N to N
 some traders said the sell-off of technology stocks on low volume reflected a lack of conviction by investors
 but charlie <unk> vice president in charge of otc trading at <unk> financial in stamford conn. said the selling was orderly
 it 's a quiet retreat said mr. <unk>
 it 's nothing dramatic just a routine sell-off
 some of it was due to lower-than-expected earnings from leading companies he said
 but some of it also represented profit-taking by investors who have made big gains in some issues
 yesterday 's volume of N million shares was far below last week 's <unk> average of nearly N million
 for october so far daily volume is averaging N million putting it on track to be the year 's busiest month
 apple computer which reported lackluster earnings friday lost N N to N N on N million shares
 <unk> computer which reported earnings late friday that were in line with a disappointing forecast eased N to N on N shares
 investors apparently did n't like the news from rainbow technologies either
 it said net income was N cents a share in the third quarter compared with N cents a share a year earlier
 rainbow 's stock dropped N to N N
 other technology stocks that were weaker included intel which fell N N to N N on N million shares <unk> graphics down N to N N on N million shares sun microsystems which slipped N to N N and mci communications down N to N N
 microsoft which last week rose to a record fell victim to profit-taking traders said as it declined N N to N N
 conner peripherals was unchanged at N
 among takeover stocks jefferson <unk> jumped N N to N N after <unk> holdings said the price to be paid to jefferson <unk> 's minority holders has been raised to $ N a share
 the increase of $ N a share is being made to settle shareholder litigation relating to <unk> 's tender offer
 <unk> holdings is a new company jointly owned by an affiliate of jefferson <unk> and a morgan stanley limited partnership
 the jefferson <unk> affiliate <unk> international <unk> holds about N N of the shares outstanding
 these shares will be bought by <unk> holdings at $ N each after the acquisition of the minority shares
 another takeover target lin broadcasting eased N to N N on N shares
 lin 's suitor mccaw cellular communications dropped N to N on almost N shares
 some analysts say investors will begin paying more attention to earnings partly in response to the latest round of disappointments
 they say investors will favor companies that historically have posted annual earnings growth of N N to N N
 that would be good news for the otc market some analysts say because many small growth stocks are traded there
 michael r. <unk> partner in charge of research at robertson <unk> & co. in san francisco said some investors have already made the switch
 the robertson <unk> index of N emerging growth stocks is up N N for the year through friday
 the rise matches that of the dow jones industrials this year
 it 's been a spectacular year for the emerging growth stock investor mr. <unk> said
 he predicted that the most popular growth companies will be those with some kind of unique product or franchise that makes them appear able to sustain their momentum
 he puts the otc market 's <unk> office club and <unk> on the list
 <unk> a maker of electronic patient monitoring systems was up N to N N on N shares yesterday while retailing issue office club was unchanged at N N on N shares
 <unk> another retailing stock was off N to N N on nearly N shares
 other <unk> of <unk> analysts and money managers also had a mixed session
 <unk> american a credit collection concern jumped N N to N N on volume of N and mail boxes etc. a private postal services company advanced N to N N on volume of N
 but legent a systems software stock was down N to N N on N shares
 <unk> a computer <unk> concern fell N N to N on N shares
 elsewhere valley national continued its slide dropping N N to N on N million shares
 the arizona banking concern is facing difficulties related to weakness in the real estate market in the state
 higher earnings helped some issues
 amgen rose N N to N N on almost N shares and <unk> financial jumped N to N on only N shares
 why ca n't we teach our children to read write and <unk>
 it 's not that we do n't know how to because we do
 it 's that we do n't want to
 and the reason we do n't want to is that effective education would require us to <unk> some <unk> <unk> <unk> about human nature in general and the human nature of young people in particular as well as to violate some <unk> vested interests
 these <unk> so dominate our educational establishment our media our politicians and even our parents that it seems almost <unk> to challenge them
 here is an example
 if i were to ask a sample of american parents do you wish the <unk> schools to encourage creativity in your children the <unk> answer would be yes of course
 but what do we mean specifically by creativity
 no one can say
 in practice it ends up being <unk> with a <unk> that encourages the youngsters ' <unk>
 the result is a generation of young people whose ignorance and intellectual <unk> is matched only by their good opinion of themselves
 the whole notion of creativity in education was and is part and parcel of a romantic <unk> against disciplined instruction which was and is regarded as <unk> a repression and frustration of the <unk> <unk> and the wonderful if as yet <unk> <unk> inherent in the <unk> of all our children
 it is not surprising that parents find this romantic <unk> so attractive
 fortunately these same parents do want their children to get a decent education as traditionally understood and they have enough common sense to know what that demands
 their commitment to creativity can not survive <unk> <unk>
 american education 's future will be determined by the degree to which we all of us allow this common sense to prevail over the <unk> that we also share
 the education establishment will fight against common sense every inch of the way
 the reasons are complex but one simple reason ought not to be underestimated
 <unk> education as it was once called is far more interesting and <unk> to teachers than is disciplined instruction
 it is nice for teachers to think they are engaged in <unk> development and even <unk> to minimize those <unk> tests with often disappointing results
 it also provides teachers with a superior <unk> as a profession since they will have passed courses in educational psychology and educational philosophy
 i myself took such courses in college thinking i might end up a <unk>
 they could all fairly be described as <unk> courses
 but it is unfair to dump on teachers as distinct from the educational establishment
 i know many <unk> and on the whole they are seriously committed to <unk> teaching
 they may not be among the best and <unk> of their generation there are very few such people by definition
 but they need not be to do their jobs well
 yes we all can remember one or two truly <unk> teachers from our school days
 but our education <unk> at the hands of those others who were merely competent and <unk>
 in this sense a teacher can be compared to one 's family doctor
 if he were brilliant he probably would not be a family doctor in the first place
 if he is competent and <unk> he serves us well
 our teachers are not an important factor in our educational crisis
 whether they are or are not <unk> is a problem of equity it is not an educational problem
 it is silly libel on our teachers to think they would educate our children better if only they got a few thousand dollars a year more
 it is the kind of libel the teachers ' unions do n't mind spreading for their own narrow purposes
 it is also the kind of libel politicians find useful since it helps them strike a friendly posture on behalf of an important constituency
 but there is not one <unk> of evidence that other things being equal salary <unk> result in educational <unk>
 if there were such evidence you can be sure you would have heard of it
 if we wish to be serious about american education we know exactly what to do and just as important what not to do
 there are many successful schools scattered throughout this nation some of them in the poorest of <unk> and they are all sending us the same message
 <unk> there are the majority of unsuccessful schools and we know which efforts at educational reform are doomed <unk>
 we really do know all we need to know if only we could <unk> this knowledge into our thinking
 in this respect it would be helpful if our political leaders were <unk> rather than <unk> concerned
 they are inevitably inclined to echo the conventional <unk> since this is the least controversial option that is open to them
 thus at the recent governors ' conference on education gov. bill clinton of arkansas announced that this country needs a comprehensive <unk> policy for children under five
 a comprehensive development policy for governors over N would seem to be a more pressing need
 what gov. clinton is <unk> in effect is extending the educational system down to the <unk> years
 whether desirable or not this is a child-care program not an educational program
 we know that very early exposure to <unk> improves performance in the first grade but afterward the difference is quickly <unk> away
 let us sum up what we do know about education and about those education reforms that do work and do n't work parental involvement is a bad idea
 parents are too likely to blame schools for the educational limitations of their children
 parents should be involved with their children 's education at home not in school
 they should see to it that their kids do n't play <unk> they should make certain that the children spend enough time doing <unk> they should <unk> the report card
 if parents are <unk> with a school they should have the option of switching to another
 community involvement is an even worse idea
 here the experience of new york city is decisive
 locally elected school boards especially in our larger cities become the <unk> of ambitious generally corrupt and invariably <unk> local politicians or would-be politicians
 new york is in the process of trying to <unk> itself from a <unk> commitment to this system of school <unk> even as chicago and other cities are moving to institute it
 in most states increasing expenditures on education in our current circumstances will probably make things worse not better
 the reason is simple education takes place in the classroom where the influence of money is minimal
 decades of educational research tell us <unk> that even smaller classes have zero effect on the academic performance of the <unk> though they may sometimes be desirable for other reasons
 the new money flows into the already <unk> administrative structure which <unk> itself <unk> more and more paper work on the teachers
 there is neither mystery nor <unk> in the fact that as educational expenditures in real terms have increased sharply in the past <unk> we now spend more per <unk> than any other country in the world educational performance has declined
 that is the way the system works
 students should move up the educational <unk> as their academic potential allows
 no student should be permitted to be <unk> from <unk> school without having <unk> the N r 's at the level that prevailed N years ago
 this means tracking whose main purpose is less to permit the <unk> youngsters to <unk> though that is clearly desirable than to ensure that the less <unk> get the necessary <unk> for further study or for entering the modern world of work
 the notion that tracking is somehow <unk> is absurd
 the purpose of education is to encourage young men and women to realize their full academic potential
 no one in his right mind actually believes that we all have an equal academic potential
 it is generally desirable to use older <unk> many of them <unk> out of print rather than newer ones
 the latter are <unk> trendy often downright silly and at best <unk>
 they are based on dubious psychological and <unk> theories rather than on educational experience
 one of the reasons american students do so poorly in <unk> tests as compared with british french german or japanese students is the influence of the new <unk> on american <unk> and teaching methods
 anyone who wants to appreciate just how bizarre this situation is with students who ca n't add or <unk> learning the conceptual basis of <unk> theory should read the article by <unk> nelson himself a recent <unk> major at harvard in the november american <unk>
 most important of all schools should have principals with a large measure of authority over the faculty the <unk> and all matters of student discipline
 study after study the most recent from the <unk> institution tells us that the best schools are those that are free of outside <unk> and are <unk> by a powerful head
 with that authority of course goes an <unk> accountability
 schools that are structured in this way produce students with higher morale and superior academic performance
 this is a fact though in view of all the <unk> that are <unk> by this fact it is not surprising that one <unk> so little about it
 mr. <unk> an american enterprise institute fellow <unk> the public interest and publishes the national interest
 international business machines corp. unveiled a broad strategy to tackle the biggest problem that manufacturers face when <unk> their operations most machines ca n't talk to each other
 the company unveiled more than N products mostly software that are designed to integrate the three areas of a manufacturing operation the plant floor design operations and production planning
 the aim ultimately is to increase the flow of information into a manufacturer 's main computer network for use in business planning marketing and other operations
 manufacturers have already spent so heavily on <unk> that they are one of the computer industry 's leading revenue sources
 but many manufacturers find that communication between different computers has been <unk> nearly impossible by the <unk> of computer <unk> used by different machines including robots and machine tools
 ibm 's announcement which was expected and will formally be made to customers today also marks an attempt to gain credibility on the plant floor where digital equipment corp. has long dominated and where hewlett-packard co. has recently gained market share
 consultants have said that it will take a while for all the pieces of the ibm strategy to fall into place even though the specific products ibm unveiled will generally be available by the end of the first quarter
 sam albert a consultant in <unk> n.y. said that in the past ibm has developed broad software strategies only for problems that crossed industry lines
 he said he believes ibm 's decision to invest this sort of effort into a single industry showed that it was getting serious about understanding customers ' problems and was n't just selling technology
 he said he expects ibm to unveil similar strategies for other industries in coming months
 ibm 's push is also unusual in its approach to marketing
 rather than just send out marketing people to knock on customers ' doors ibm is making several hundred of its own manufacturing people available to discuss specific needs
 ibm 's manufacturing staff also will be able to provide software that ibm has developed <unk> and will be able to form teams with a customer to jointly solve manufacturing problems
 ibm can obviously bring its expertise to bear on problems related to computer manufacturing but it could also help customers on software to deal with such things as changes in engineering documents
 we may not have every manufacturing problem but we have most said george <unk> ibm 's top marketing official
 japan 's big four securities firms posted first-half unconsolidated results that <unk> softer performance as a result of slower turnover on the tokyo stock exchange during july and august
 figures for the period ended sept. N for the four largest brokerage firms nomura securities co. daiwa securities co. yamaichi securities co. and nikko securities also reflected a <unk> to a fiscal year ending march N replacing the 12-month term formerly finishing sept. N
 as a result brokerage house officials said appropriate comparisons from the same period a year earlier were unavailable
 operating profit pretax profit and net income results however were provided for the immediately preceding six-month period
 the statistics follow a <unk> rebound in consolidated and unconsolidated results in the full fiscal year ended in march N recovering from dismal results in the prior fiscal year as a result of the october N stock market crash
 nomura said its pretax profits inched up N N to N billion yen us$ N billion from N billion yen in the six months ended march N
 total operating profit fell N N to N billion yen from N billion yen
 net income however rose N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 daiwa said its pretax profits surged N N to N billion yen from N billion yen in the preceding six-month term
 operating profit rose N N to N billion yen from N billion yen
 net income jumped N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 yamaichi said its pretax profit increased N N to N billion yen from N billion yen
 operating profit rose N N to N billion yen from N billion yen
 net income surged N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 nikko 's pretax profit rose N N to N billion yen from N billion yen
 operating profit rose N N to N billion yen from N billion yen
 net income rose N N to N billion yen from N billion yen
 per-share net rose to N yen from N yen
 <unk> energy corp. of dallas said it will drop its $ <unk> or $ N million offer for tesoro petroleum corp. if the two companies do n't have an agreement to merge by dec. N
 <unk> which made its offer in august said it still is awaiting a response to its offer from tesoro 's board
 <unk> also said that its financing from bankers trust co. has been extended until dec. N to give tesoro 's board time to consider the offer at a tesoro board meeting scheduled for <unk>
 <unk> which owns about N retail gas stations has said it is particularly interested in tesoro 's refinery because it would fill a gap in its business
 however tesoro based in houston already has rejected a suitor in the past year
 francis d. john <unk> president will assume the additional job of chief executive officer
 he succeeds paul j. <unk> N who will remain chairman
 national environmental also said it will move its headquarters from <unk> to <unk> pa. the site of its <unk> <unk> facility
 national environmental formerly yankee cos. is a <unk> treatment company
 eagle clothes inc. which is operating under chapter N of the federal bankruptcy code said it reached an agreement with its creditors
 under the accord albert roth chairman and chief executive officer and arthur chase sam <unk> and louis <unk> will resign as officers and directors of the <unk> retailer
 mr. roth who has been on leave from his posts will be succeeded by <unk> d. <unk> of <unk> management inc. which is eagle 's crisis manager
 mr. <unk> is currently co-chief executive
 arnold levine acting co-chief executive will continue as senior vice president and a board member
 eagle also said it received a commitment for as much as $ N million in financing from norfolk capital group inc
 in addition a norfolk affiliate york capital inc. will purchase all of the interests of eagle 's secured lenders which total $ N million and guarantee as much as $ N million in payments to eagle 's unsecured creditors
 a committee representing the unsecured creditors agreed to accept N cents on the dollar eagle said
 the plan would extend the period under which eagle has the exclusive right to file a reorganization plan
 it would <unk> all of eagle 's existing capital stock and issue new stock to york as sole holder
 a bankruptcy court hearing is set for nov. N on these accords
 in its bankruptcy-law petition filed in u.s. bankruptcy court in manhattan eagle said its problems began in N and early N when its <unk> lender bankers trust co. reduced its credit line
 in september N eagle acquired <unk> clothing inc. a closely held new york chain operated under the bonds name
 eagle 's management retired and <unk> 's management took control of the company
 at the time eagle reached a new credit agreement with bankers trust and with bank <unk> trust co. of new york for $ N million and a new subordinated debt accord with first century partners and <unk> management for $ N million
 but eagle said the financing was insufficient and sales during the past fiscal year sagged
 under chapter N a company operates under protection from creditors ' lawsuits while it works out a plan to pay debts
 standard & poor 's corp. said it would add john h. <unk> co. an atlanta check printer to its 500-stock index effective at the close of trading on wednesday
 american medical international inc. a new york hospital operator will be <unk> from the index at that time
 american medical is being acquired
 the tougher new regulations under the savings-and-loan bailout law are accelerating the thrift industry 's shrinking act
 largely to meet tougher new capital requirements thrifts reduced their assets $ N billion in august by selling such assets as mortgage-backed securities and loans
 industry assets as of aug. N were $ N trillion the lowest since august N
 as thrifts sell assets to improve their <unk> ratio as required under the new law passed in august they must also reduce liabilities such as deposits
 as interest rates paid <unk> were lowered thrift withdrawals exceeded deposits by $ N billion not including interest credited to accounts
 it was the third consecutive month in which thrifts shed assets to increase the size of their capital in <unk> to their assets the office of thrift supervision said
 the asset <unk> was particularly concentrated in several large california institutions
 the <unk> of the thrift industry is well under way said <unk> <unk> an industry consultant in <unk> va
 this suggests the bailout law is having a more dramatic effect than anyone would have <unk> so soon
 james <unk> an economist with the office of thrift supervision also attributed some of the <unk> to seasonal factors
 august is a month when people are paying school tuition he said
 that and adjustment to the new law were the biggest factors in the industry
 not including thrifts under government conservatorship s&ls reduced their assets by $ N billion from the previous month and deposit outflows totaled $ N billion
 for the N insolvent thrifts under government management at the end of august assets declined by $ N billion and withdrawals exceeded deposits by $ N billion
 thrifts raised capital mostly by selling mortgages and mortgage-backed securities which were reduced by $ N billion in august from the prior month
 as of aug. N thrifts held $ N billion in mortgage-backed securities
 the deposit numbers for august marked a swing back to huge outflows after a july net deposit <unk> of $ N million the only net <unk> in more than a year
 deposits are n't expected to exceed withdrawals in the foreseeable future as the industry continues to shrink
 i think we are going to see deposit <unk> continue unless we see big changes in rates mr. <unk> said
 for the first eight months of N thrifts ' withdrawals exceeded deposits by $ N billion
 for the prior year deposits exceeded withdrawals by $ N billion
 the estimates of real gross national product prepared by the bureau of economic analysis in the department of commerce significantly <unk> the rate of economic growth
 since the bureau 's estimates for the business sector provide the <unk> for the productivity ratios calculated by the department of labor underestimated growth rates artificially depress official productivity statistics
 if this <unk> is correct it has important implications for <unk> policies it may lower the sense of urgency behind efforts to enact tax incentives and other measures to increase the rate of growth in productivity and real gnp
 it would also affect the perceptions of the board of governors of the federal reserve system and the informed public generally as to what <unk> a reasonable degree of price stability
 in the early 1980s i predicted a significant acceleration in productivity growth over the rest of the decade
 this forecast was based on the apparent reversal of most of the negative forces such as <unk> changes the oil shock and accelerating inflation that had reduced productivity gains in the 1970s
 there has indeed been more than a one percentage point improvement in productivity growth since N
 but i had expected more which is one reason i began looking at evidence suggesting defects in the official output estimates
 the evidence does not clearly support the view that the downward bias in output growth has become greater during the N period but all i am claiming is that the growth trend is <unk>
 it is however possible that further study will reveal increasing bias
 this bias is in no way <unk>
 the <unk> of growth is due largely to the conservative <unk> adopted to deal with deficiencies in basic economic data
 the first of three major sources of error is the use of labor input estimates mainly employment or hours instead of output estimates for those sectors such as governments paid household services and private <unk> institutions where there are difficulties in <unk> output data
 this means that no allowance is made for possible increases in output per unit of labor
 in an unrelated program in which the labor department does estimate output per employee for more than two-thirds of federal civilian employees it found an average annual rate of productivity improvement of N N during the 1980s
 even if it is assumed that productivity rose no more than half as quickly in the rest of the <unk> sector this labor department estimate indicates a downward bias in the real gnp estimates of N percentage point a year on average
 the federal productivity <unk> use labor input rather than output data for their calculations of half of private financial and service industries as well
 independent estimates of output in those industries including one by the department of labor for banking suggests that productivity in finance and services appears to have risen by an average of at least N N a year between N and N
 because finance and services contribute N N to final business product missing these productivity improvements <unk> the overall growth rate by N N a year
 the second source of error in growth statistics is the use of inappropriate <unk> to adjust for price changes
 i estimate that these <unk> as detailed by martin n. <unk> and robert j. gordon add a further N percentage point to the downward bias in the growth rate of real business product
 finally the official estimates <unk> growth because they make inadequate allowance for improvements in quality of goods and services
 in N a new price index for computers adjusted for changes in performance <unk> was introduced and that resulted in a significantly larger increase in real outlays for durable goods than the earlier estimates had showed
 since then further research argues that failure to take account of quality improvements has contributed a total of at least N percentage point to the downward bias in the growth rate
 in sum the <unk> <unk> above indicate a N percentage point <unk> in growth of total real gnp
 for the private domestic business economy the bias was a bit over N percentage point
 in other words the growth rates of both total gnp and real private business product per labor hour have been underestimated by about N N
 mr. <unk> is professor <unk> of economics at george washington university
 he is co-author of personal productivity how to increase your satisfaction in living <unk> sharp N
 union carbide corp. said third-quarter net income plunged N N from a year earlier on weakness in the company 's mainstay chemicals and plastics business
 net was $ N million or N cents a share for the quarter compared with $ N million or $ N a share a year ago
 sales were $ N billion up N N from $ N billion the previous year
 carbide like other companies with a heavy reliance on the so-called commodity end of the chemicals industry was expected to post earnings sharply lower than in an exceptionally strong N third quarter
 but the company 's latest quarter was a few pennies a share lower than the more pessimistic projections on wall street
 it certainly was n't a disaster but it does show weakness in some of the company 's chief markets said george <unk> a <unk> analyst at oppenheimer & co
 in new york stock exchange composite trading carbide closed at $ N a share down N cents
 prices for polyethylene a common plastic and an important carbide product started to fall early this year the slide accelerated in the third quarter as buyers continued to trim inventories
 prices also fell for <unk> <unk> and <unk> products used in making <unk>
 some producers of polyethylene figuring the inventory reductions are near an end have announced price boosts
 the first real test of whether prices have hit bottom may come in the next several weeks when the new prices become effective
 a carbide spokesman said the conditions are right for the increase to hold
 for the third quarter operating profit from carbide 's chemicals and plastics business fell to $ N million from $ N million a year ago before accounting for taxes and interest expense
 operating profit from carbon products such as <unk> <unk> also declined to $ N million from $ N million
 in the <unk> segment operating profit climbed to $ N million from $ N million
 the latest quarter included a gain of about $ N million on the sale of the company 's <unk> <unk> and <unk> <unk> businesses
 <unk> <unk> are used in making <unk> products such as <unk> and <unk> <unk> are used in making the <unk> foam found in furniture <unk> and other products
 that gain was mostly offset by a loss of about $ N million from a write-down in its <unk> business
 <unk> is used in making integrated circuits
 for the nine months net totaled $ N million or $ N a share up N N from $ N million or $ N a share a year ago
 sales rose N N to $ N billion from $ N billion
 at least N states are <unk> drexel burnham lambert inc. 's nationwide effort to settle its legal troubles and some might instead try to revoke the firm 's license to sell securities within their borders
 the reluctance of some states to let drexel off the hook could <unk> the firm 's attempts to polish its image after its guilty plea to six <unk> last month say several people familiar with the discussions
 up to now drexel has made a <unk> series of settlements with N states and the commonwealth of puerto rico
 just yesterday new hampshire announced it made a $ N settlement with drexel a <unk> fine for a <unk> matter in that state
 these states have been entering into settlements with drexel as part of the firm 's efforts to operate freely anywhere in the u.s. despite its record as an admitted <unk>
 but individuals familiar with the generally successful drexel talks say the firm is meeting resistance from some big states including new jersey new york california pennsylvania connecticut and missouri
 officials in some of these states say they do n't want to simply accept the settlements offered by drexel
 they question if drexel is getting easier treatment than the many small <unk> firms whose brokerage licenses are routinely <unk>
 drexel has to settle with state securities regulators in the wake of its criminal guilty plea and a related civil settlement with the securities and exchange commission that includes payment of $ N million in penalties
 these stem from a two-year federal investigation of insider trading and securities fraud on wall street
 ohio the district of columbia tennessee and illinois have been less <unk> to drexel than the other six states but nonetheless have refused to settle so far say those familiar with the discussions
 drexel says it does n't expect any of its state brokerage licenses will be <unk> and even if some are its securities business would n't be directly hurt
 it already has sold its retail or <unk> brokerage network securities firms do n't need brokerage licenses for <unk> activities such as investment banking
 still if nothing else a <unk> brokerage license could be a burden because it must be disclosed in many of the transactions in which drexel could be involved
 securities regulators <unk> drexel for its energetic effort led by <unk> general counsel saul s. cohen to settle its legal problems with the states
 but they disagree about the message these settlements give to the public
 there was a lot of internal debate about that specific issue said susan bryant oklahoma 's chief securities regulator and president of the north american securities administrators association which drafted a voluntary settlement plan for the states with drexel
 the question she said is whether drexel should be allowed to pay and move on or whether you should simply revoke the license when someone is convicted of a felony
 while ms. bryant 's state went ahead and accepted drexel 's settlement offer of $ N she said i do n't have any argument with those who came to different conclusions
 i can see both sides
 similarly alfred <unk> new hampshire 's director of securities regulation said his state had n't received any complaints about drexel so it really could n't press the issue
 still i understand the reasons that other states are holding out he said
 mr. cohen the drexel general counsel said i do n't think as we say in investment banking that by the end of the day we 'll be losing any licenses
 asked about states that are taking a hard line he said there are states that have asked for additional information which we are providing to them
 mr. cohen said more than $ N million has been paid to N states and that drexel still expects to pay out a total of $ N million
 by the end of this week drexel should have another three to four settlements mr. cohen said
 the rate we 're going i think that by the end of the month we 're looking to have a total of N to N he said
 that total would be important for drexel
 the investment bank has previously announced that as part of its punishment it would create an independent foundation to promote ethical behavior in the securities industry
 a <unk> to that promise is that a minimum of N states reach settlement agreements before next tuesday
 there are according to several securities commissioners at least N states that are either close to settlements with drexel or who do n't appear opposed to settling
 drexel 's proposed state fines have been based on a state 's population and on the size of drexel 's business in the state
 new jersey for example was asked to accept $ N but refused
 the state is n't ruling out <unk> drexel 's brokerage license
 the state can also bar drexel as an investment adviser
 state officials wo n't describe their position in detail but james <unk> smith state securities chief said we really are still looking at it and have informed drexel that the proposal is really not sufficient for settlement
 connecticut already has issued a notice of intent to revoke drexel 's brokerage license
 it is one of the states that have met with mr. cohen and asked for additional information about investors ' accounts and other matters
 this particular issue goes to the very integrity of the <unk> market state banking commissioner howard brown said
 a banking department spokesman added commissioner brown does n't feel that money alone is the issue here
 particularly touchy are the cases of new york which is drexel 's base and california the base of drexel 's highly profitable junk-bond operation that led to the firm 's legal difficulties
 neither state has settled and officials in the two states wo n't discuss their reasons for not doing so
 but drexel has made it clear it could mount a significant legal battle in each state if its license is <unk> according to state officials
 ms. bryant the head of the state securities group said drexel has done a better job of settling with the states than <unk> hutton did after its guilty plea to a massive <unk> scheme several years ago
 still she said drexel 's trouble with some states is n't a bad thing
 this process should point out that it 's not going to be easy for a firm that 's convicted of a felony to immediately jump back into the retail business ms. bryant said
 we need to have somebody worried so they do n't do this again
 these are the N states including the commonwealth of puerto rico that have settled with drexel alaska arkansas delaware georgia hawaii idaho indiana iowa kansas kentucky maine maryland minnesota mississippi new hampshire new mexico north <unk> oklahoma oregon south carolina south <unk> utah vermont washington wyoming and puerto rico
 time warner inc. reported a third-quarter net loss of $ N million or $ N cents a share reflecting acquisition costs for a N N stake in warner communications inc. and the purchase method of accounting for the transaction
 separately warner reported a net loss of $ N million or N cents a share including merger expenses of $ N million and $ N million in charges associated with <unk> compensation plans
 time warner is in the process of completing its acquisition of the remaining warner shares
 time warner emphasized in a news release that it should be <unk> based on its cash flow which the company defined as earnings before interest taxes depreciation and amortization
 on a <unk> basis assuming the merger was effective jan N N including the results from both time inc. and all of warner that cash flow figure would be $ N million for the latest quarter more than double the comparable figure a year ago or $ N million according to time warner
 some analysts at least are buying that argument and were n't alarmed by the losses
 what really matters is the operating income of the divisions i look at these numbers and i say these businesses are doing well said mark <unk> a vice president of donaldson lufkin & jenrette securities corp
 for example warner made more than $ N million from <unk> entertainment in three months
 that 's a big number
 warner also had a gain of more than N N from records and music publishing even though the domestic record business was sluggish this summer
 in the year-ago third quarter time on its own reported net income of $ N million or $ N a share
 combined revenue for the latest quarter of time warner was $ N billion compared with the year-ago time revenue of $ N billion
 on a pro <unk> basis including all of warner 's earnings time warner had a third-quarter loss of $ N million compared with a $ N million loss a year earlier
 on the same basis revenue rose to $ N billion from $ N billion
 for the third quarter warner 's $ N million loss compared with a year-ago loss of $ N million or N cents a share
 revenue rose to $ N billion from $ N billion
 the N figures were restated to include the results of <unk> <unk> corp. which warner acquired in january
 time warner 's operating earnings got a boost from warner 's record <unk> results
 batman alone has racked up more than $ N million in <unk> receipts to date making it warner <unk> largest <unk> film ever
 <unk> weapon ii was also a big hit
 warner also contributed record results from its music business where unit sales of compact <unk> rose more than N N from a year ago the company said helped by prince 's batman <unk>
 time warner said its cable division turned in a N N increase in operating cash flow to $ N million from $ N million reflecting higher <unk> revenue
 in addition the N results included a $ N million charge reflecting a reserve for relocation related expenses at american television & communications corp
 on the other hand time warner said its operating cash flow declined in the quarter for its magazine division its books division and the home box office programming division
 in magazines higher advertising revenues at sports illustrated and fortune were offset by lower ad revenue for other major magazines
 the programming division saw a decline in operating cash flow because the year-ago quarter included a $ N million dividend from turner broadcasting system and because the quarter includes expenses associated with the nov. N launch of hbo 's comedy channel
 in new york stock exchange composite trading time warner closed at $ N a share up $ N while warner closed at $ N a share up N cents
 robert j. penn president and chief executive officer will take early retirement from this steelmaker dec N
 william s. <unk> chairman said mr. penn N years old would continue as a consultant and would work with the board in <unk> a successor
 <unk> recently emerged from bankruptcy-law proceedings that left N N of the <unk> company 's common stock in the hands of <unk> of an <unk> claims trust
 the company said it would have no further comment
 mr. <unk> N was elected chairman earlier this year by the company 's new board having served as vice president for legal and corporate affairs
 his father david s. <unk> was chairman and chief executive until his death in an accident five years ago at which time mr. penn was named president
 some house democrats are trying to head off an appointment by president bush to the board that oversees the savings-and-loan bailout <unk> that the prospective <unk> is the head of troubled banks himself
 four democrats on the house banking committee sent president bush a letter <unk> their concerns about the expected appointment of james simmons an arizona banker and former <unk> for mr. bush to the oversight board of the resolution trust corp
 the oversight board created in the savings-and-loan law signed in august sets policy for the rtc which will sell hundreds of the nation 's sick thrifts and billions of dollars of their assets
 treasury secretary nicholas brady federal reserve board chairman alan greenspan and housing and urban development secretary jack kemp are members of the board
 president bush must <unk> two other members one a democrat and one a republican
 an administration official confirmed last week that mr. simmons the chairman of valley national bank in phoenix is the republican <unk> and that a security clearance was under way
 the democratic <unk> has n't been determined the official said
 mr. simmons declined to comment and the white house said the congressmen 's letter is under review
 the letter dated last thursday cited the losses at valley national and at united bank also of phoenix where mr. simmons was chairman for N years
 both banks have been battered as have other arizona banks by falling real estate prices
 valley national for example had $ N million in problem assets as of june
 we believe that there are numerous other candidates more qualified for this important position and we encourage you to give them your <unk> consideration before making this key rtc appointment the letter said
 the rtc needs the most able competent management available
 but mr. simmons has long ties to both republicans and banking
 he was <unk> of mr. bush 's arizona campaign committee in last year 's election and also worked for mr. bush in the N election
 the two met more than N years ago when mr. simmons worked for commercial bank & trust co. of midland texas where mr. bush was an organizing director
 in N mr. simmons also served on a committee of businessmen headed by william seidman chairman of the federal deposit insurance corp. and the resolution trust corp
 that committee determined to open arizona to banking across state lines
 arizona trend magazine referred to mr. simmons this year as one of the N most influential people in the state
 the letter to mr. bush was signed by <unk> bruce <unk> d. minn. the chairman of the banking committee 's rtc task force thomas <unk> d. md. <unk> <unk> d. md and paul <unk> d. pa
 <unk> w. <unk> a vice chairman of this bank-holding company was named to the additional position of chairman of its principal unit <unk> bank
 mr. <unk> N years old will remain president and chief executive officer of the unit
 <unk> also named john b. werner a vice chairman of the parent company and the unit and elected him to the newly created position of chief credit officer of <unk> financial increasing the number of corporate board members to N
 mr. werner N was formerly senior executive vice president of the parent company and the unit
 moody 's investors service inc. said it lowered the debt ratings of certain long-term debt held by this company
 the <unk> concern cited the bank 's move into the texas market noting its profitability and capital <unk> measurements will be depressed relative to the bank 's past performance
 moody 's also said it raised its rating on the deposit insurance bridge bank now known as bank one texas <unk> reflecting the support of other banking affiliates and substantial assistance for the fdic
 officials at the new york bank-holding company were n't available for comment on the <unk> changes
 at lloyd 's of london underwriters still <unk> out policies using <unk> <unk> and <unk> paper
 visitors are <unk> into the premises by <unk> <unk> known as <unk> a reminder of the insurance market 's <unk> in a <unk> in <unk> century london
 such <unk> suggest a <unk> past but give no hint of a troubled present
 lloyd 's once a <unk> of the world insurance market is being shaken to its very foundation
 the <unk> exchange is battered by enormous claims from a <unk> run of unprecedented disasters the most recent of which is last week 's earthquake in california 's bay area
 at the same time lloyd 's is besieged by <unk> investors and <unk> by inefficient but <unk> ways of conducting business
 the exchange is gradually being squeezed into narrow <unk> segments of the market by less <unk> competitors
 lloyd 's is on the ropes says peter <unk> a lloyd 's investor for N years who now leads a dissident group threatening to sue exchange underwriters for alleged <unk> and negligence
 it needs more discipline
 it needs to sort itself out
 most troublesome is the shrinking pool of names the <unk> investors some of them royal who as members of about N syndicates underwrite policies
 some N members quit the exchange last year more than triple the number of resignations in N
 names are resigning at an even faster pace this year
 lackluster returns are one reason
 the average after-tax return on investment in N the most recent year for which results are available was N N according to <unk> ltd. an insurance consulting firm in london
 in N it was N N
 between N and N the most recent five-year period for which figures are available lloyd 's reported over # N billion in claims and reserves against future losses $ N billion at today 's exchange rates more than double the # N billion posted in the previous five-year period
 many of the N investors who remain are beginning to question one of the exchange 's most basic <unk> the concept of <unk> personal liability
 investors may reap huge profits when premiums exceed claims but they are liable to their last pound or dollar in the event of a catastrophe
 and catastrophes are getting ever more costly
 lloyd 's claims for the N <unk> <unk> <unk> disaster in the north sea for instance may reach $ N billion
 during the five-year period ended N roughly N N of the names had money tied up in money-losing syndicates according to <unk> consultants
 the <unk> of <unk> liability looms large for a number of them now
 i have <unk> i could die and be out of it that 's how bad it is <unk> <unk> a secretary from suburban london says
 ms. <unk> whose lloyd 's membership was a bonus from a former employer in N belongs to mr. <unk> 's dissident group on the <unk> syndicate which has been hard hit by asbestos reinsurance claims
 ms. <unk> who <unk> # N or about $ N of insurance coverage on that syndicate now faces potential losses of roughly # N or $ N
 if lloyd 's wants # N out of me they will have to take everything i 've got and even then i do n't know if it will be enough she says
 <unk> is widespread among exchange members
 i ca n't think of any reason to join lloyd 's now says keith whitten a british businessman and a lloyd 's member since N
 the downside is very considerable and at the moment the upside is very marginal
 if profits do n't improve mr. whitten says he may quit the exchange
 meanwhile competition from rivals <unk> by history is <unk>
 lloyd 's is being squeezed out of <unk> but more consistently profitable product lines such as primary property and marine insurance
 over the past decade competitors have <unk> away at the exchange 's share of the # N billion marine market in london where half the world 's ships are insured
 lloyd 's N N stake in that market has <unk> to N N in that period according to an official at the institute of london underwriters a lloyd 's competitor
 the official asked not to be named
 much of the business has gone to the institute an association of more than N insurers including cigna corp. allianz <unk> ag of west germany and britain 's commercial union assurance plc
 lloyd 's has <unk> decades of <unk> decline
 at the peak of its power and influence a century ago lloyd 's dominated the insurance world with a N N stake
 it virtually <unk> how ships were to be built and it monitored commerce through a <unk> intelligence network in ports around the globe
 today lloyd 's share of the world market excluding life insurance is about N N
 its stake is even smaller if life insurance is included
 bigger rivals such as aetna and allianz backed by <unk> of <unk> using computers in hundreds of branches operate more efficiently and often can offer lower rates brokers say
 though lloyd 's <unk> such <unk> policies as worker 's compensation insurance <unk> insurance for homeowners and businesses and bankers ' liability insurance competitors now underwrite most of that business
 beyond that many big oil chemical and airline companies are <unk> off big chunks of the market by <unk> themselves through <unk> offshore companies for <unk> coverage
 even lloyd 's specialty unusually risky ventures is being challenged
 only N years ago for instance lloyd 's was the <unk> insurer of thoroughbred horses
 but since N kirk horse insurance inc. of lexington ky. has grabbed a N N stake of the market
 ronald kirk president says lloyd 's has suffered because its structure does n't allow underwriters to deal directly with clients brokers are required <unk>
 thus he asserts lloyd 's ca n't react quickly to competition
 lloyd 's has lost control of the situation he says
 they are n't controlling their <unk> like they used to
 murray lawrence lloyd 's chairman agrees the exchange faces big challenges
 this is a <unk> time and we are trying to plot our way ahead he says
 we have been a great market for <unk> risks which other people then take copy and cut rates
 lloyd 's he says is cut off from the vast body of premium down at the bottom end which acts as a <unk> influence against catastrophic losses
 by that he means <unk> but <unk> products such as certain types of primary property insurance
 the exchange he says must find new products and new markets
 that wo n't be an easy task
 tradition is dictator at lloyd 's
 three years ago the exchange took up residence in a <unk> tower of steel and glass <unk> of the kind of modern architecture that britain 's prince charles has denounced
 some exchange <unk> call the building the oil rig
 but along with such <unk> <unk> as lord nelson 's <unk> lloyd 's also brought its <unk> ways of doing business
 the lloyd 's market actively <unk> insurance just N N hours a day brokers say
 underwriting does n't get under way until after morning tea at N a.m
 a <unk> lunch break follows
 things wind down at about N p.m. just in time for afternoon tea
 lloyd 's vast trading hall houses a warren of <unk> desks
 the hall 's few computers are used mostly to send messages
 <unk> between desks underwriters sit on <unk> surrounded by <unk> of policies
 brokers <unk> thick <unk> stand in lines waiting their turn to speak to the underwriters
 a broker may have to approach as many as N underwriters who insure the <unk> on behalf of the syndicates
 it could take six months for a claim to be paid
 the system says nicholas <unk> a lloyd 's broker who left the exchange in N is so <unk> <unk> it drives you mad
 some maintain underwriters also have been <unk>
 john <unk> a lloyd 's underwriter says he and his fellow underwriters underestimated by as much as N N the premiums they should have charged for property risks from N to N
 how <unk> we must have appeared to the outside world how incompetent at risk assessment and evaluation he says
 lloyd 's officials decline to comment on the matter
 more recently property rates have increased
 many at lloyd 's expect the san francisco earthquake will cause the industry to boost rates even further
 but it will be years before it is clear whether higher rates will offset the payouts for such disasters
 the magnitude of the exchange 's problems may not become known for some time because of lloyd 's practice of leaving the books open for three years to allow for the settlement of claims
 lloyd 's only recently reported its financial results for N
 that year it posted record pretax profit of # N million a gain it attributes to higher rates and fewer claims
 but mr. lawrence says reported profit will be down in N N and N though he declines to specify how steep the decline will be
 insurance analysts say the exchange 's downturn in profitability is likely to be <unk> by more than $ N million in aviation losses including the N pan am airline disaster over <unk> scotland and a <unk> chunk of claims from september 's hurricane hugo
 lloyd 's says the departures of names is n't likely to hurt its underwriting capacity currently about # N billion
 mr. lawrence says the drain of funds has been offset by an increase in investments by the remaining names
 meanwhile the exchange has been trying to lower costs
 it recently cut its work force by N N or N
 but lloyd 's is hampered in its efforts to overhaul operations by its reluctance to <unk> modern technology
 mr. <unk> the underwriter <unk> half of his business could be <unk> by computer cutting costs at least N N
 though lloyd 's has talked for years about <unk> underwriting transactions the effort has n't gotten very far
 competition among underwriters and brokers makes them loath to <unk> price and policy information
 both groups <unk> to traditional face-to-face dealings even for routine policies
 lloyd 's <unk> bureaucracy also <unk> efforts to update marketing strategies
 some underwriters have been pressing for years to tap the <unk> business by selling some policies directly to consumers
 lloyd 's <unk> sells only auto insurance directly to the public and such policies are sold only in limited markets such as the u.k. and canada
 but such changes must be cleared by four internal committees and dozens of underwriters brokers and administrators before being implemented
 the proposal to sell directly to the public remains mired in bureaucratic <unk>
 lloyd 's is moving forward on some fronts though
 mr. lawrence says the exchange is <unk> some procedures to make <unk> payments on claims
 by next year all underwriters will be linked to a communications network that could reduce paper work on claims
 japan 's daiwa securities co. named <unk> dozen president
 mr. dozen succeeds <unk> <unk> who will become vice chairman
 <unk> <unk> retains his title of chairman of daiwa japan 's second-largest securities firm
 in japanese firms the president usually is in charge of day-to-day operations while the chairman 's role is more a <unk> one
 the title of chief executive officer is n't used
 while people within daiwa particularly <unk> expected that mr. dozen N would eventually become daiwa 's president the speed of his promotion surprised many
 it was only earlier this year that the <unk> <unk> executive he likes to joke with americans about how his name is <unk> with twelve was appointed deputy president
 mr. dozen is taking over the reins of a securities company that does very well in its domestic market but that is still seeking to realize its potential in global investment banking and securities dealing
 daiwa is one of the world 's largest securities firms
 as of march N the daiwa group had shareholder equity of N billion yen $ N billion
 for the six months ended sept. N daiwa reported unconsolidated parent company net income of N billion yen $ N million on revenue of N billion yen $ N billion
 both figures were record highs
 several observers interpreted mr. dozen 's appointment as an attempt by daiwa to make its international operations more profitable while preparing the firm for the effects of the continuing deregulation of japan 's domestic markets which should mean increased competition
 all of japan 's so-called big four securities firms nomura securities co. ltd. the world 's largest nikko securities co. ltd. yamaichi securities co. ltd. and daiwa have suffered setbacks in their attempts to break into foreign markets
 while they have moved to the <unk> in underwriting fixed-income securities in the <unk> market mostly for japanese firms they have been only marginally profitable if at all in the u.s.
 american institutional investors have never had a large appetite for japanese equities
 and while the japanese have stepped up their purchases of u.s. shares in the past several months they have shown themselves in the past to be <unk> investors
 at the same time daiwa and its <unk> have faced stiff competition from <unk> american competitors that have prevented them from building strong links to u.s. corporations and institutional investors
 mr. dozen knows these problems <unk>
 when he arrived in the u.s. in N the start of an <unk> tour he tried selling japanese <unk> bonds to u.s. investors
 he made desperate efforts using the yellow pages from beginning to end said <unk> <unk> president of daiwa 's u.s. unit
 but not a single piece of paper was sold
 by his own account mr. dozen did n't do much better with u.s. bonds
 in an interview a few months ago he recalled how after some training at salomon brothers inc. he successfully bid for the opportunity to sell portions of N u.s. corporate bond issues
 but he could n't sell any
 japanese stock salesmen selling american bonds
 maybe it 's crazy he said
 mr. dozen even related the <unk> suffered when he and two colleagues went on an overnight fishing <unk> off the new jersey shore and caught nothing
 upon returning to new york exhausted i got into a <unk> and the woman driver said americans make better <unk> he recalled
 <unk> mr. dozen said that daiwa 's goal is to build a high-technology <unk> international organization with maybe some japanese flavor to it
 he said that he was particularly interested in his firm gaining expertise in futures options <unk> securities computerized trading and investment systems as well as mergers and acquisitions
 mr. dozen said daiwa 's strengths were its large capital base its influential position in the tokyo market and its links to japanese corporations and institutional investors
 mr. dozen joined daiwa upon his <unk> from <unk> university in N
 like many young <unk> in japanese securities firms he began his career peddling stock to individual investors
 in his climb to the top mr. dozen also headed the company 's <unk> division its fixed-income units and its international operations
 he was constantly picking up new things to fill out his experience he is very <unk> said <unk> <unk> chairman of daiwa 's u.s. unit in new york
 but it mr. dozen 's experience as a salesman that enabled him to gain the political support particularly from the retail sales force to <unk> to the presidency
 commission income from domestic stock and bond sales accounts form a large portion of japanese securities companies ' earnings
 and anybody who lacked the backing of the retail sales force would be fragile said a daiwa executive
 if mr. dozen has a weakness it may be his golf game
 he digs in the sand instead of hitting the ball like a farmer said mr. <unk>
 inco ltd. posted a N N decline in third-quarter net income a performance that was in line with analysts ' expectations
 the nickel producer also raised its quarterly dividend to N cents a share from N cents and said it may buy back as much as N N of its common outstanding
 inco shares fell after the announcements
 analysts said some investors were disappointed that the <unk> company had failed to announce a special dividend
 inco closed at $ N a share down N cents in new york stock exchange composite trading
 some analysts said inco which had cash reserves of $ N million as of sept. N could still announce a special dividend in the next few months though it would be smaller than the $ <unk> special dividend it paid last year
 the quarterly dividend is payable dec. N to shares of record nov. N
 inco 's net fell to $ N million or $ N a share in the third quarter from $ N million or $ N a share a year earlier
 sales rose N N to $ N million from $ N million
 excluding special gains from tax-loss <unk> earnings in the latest quarter were $ N million or $ N a share compared with $ N million or $ N a share
 inco said the drop in earnings resulted mainly from lower nickel prices for the period and a temporary cut in nickel output at the company 's manitoba operations due to high levels of <unk> in the <unk>
 inco said it plans to buy back as many as five million common shares over the next N months if nickel market conditions are favorable
 under a previous <unk> program inco has purchased N million of its shares since april
 ual corp. 's board <unk> any prospects for an immediate revival of a labor-management buy-out saying united airlines ' parent should remain independent for now
 as a result ual 's chairman stephen m. wolf pulled out of the buy-out effort to focus on running the company
 the two developments put the acquisition attempt back to square one and leaves the airline with an array of <unk> matters including an unsettled labor situation and a management scrambling to restore its damaged credibility
 the effort to create the nation 's largest <unk> company began <unk> oct. N when the labor-management group was unable to obtain financing for its $ 300-a-share $ N billion offer
 just last week it suffered another major setback when british airways plc the largest equity investor in the labor-management bid withdrew its support
 takeover stock traders focusing on the company 's intention to stay independent took the announcement as bad news
 ual which had risen $ N to $ N in composite trading on the new york stock exchange on reports of a new bid being prepared by the group reversed course and plummeted in <unk> trading after the N p.m. edt announcement
 among the first trades reported by the securities firm of jefferies & co. which makes a market in ual after the exchange is closed were N shares at $ N N shares at $ N N at $ N and N at $ N
 the rebound in ual stock during regular trading hours monday was its first daily gain after six consecutive losses left the price N N below its level before oct. N the day the group announced the bank financing could n't be obtained for the original deal
 twelve of ual 's outside directors met at a <unk> meeting yesterday in chicago to consider an informal proposal from the buy-out group for a revised bid
 but the board said it was n't interested for now
 that proposal valued at between $ N and $ N a share would have transferred majority ownership to employees while leaving some stock in public hands
 the buy-out group had no firm financing for the plan
 and with no other offers on the table the board apparently felt no pressure to act on it
 the directors signaled however that they would be willing to consider future offers or take some other action to maximize shareholder value saying they would continue to explore all strategic and financial alternatives
 but it was clear that for the time being the board wants the company to return to <unk>
 the board said it concluded that the welfare of the company its shareholders its employees and the broader public can best be enhanced by continued development of ual as a strong viable independent company
 mr. wolf urged all employees to now turn their full attention to operating the airline
 he also vowed to make every effort to <unk> a <unk> new relationship that has been <unk> with participating employee groups
 but mr. wolf faces a <unk> task in pulling the company back together again
 labor problems top the list
 for a brief time the buy-out effort seemed to solve his problems with united 's pilot union
 in return for an ownership stake in the company the pilots were willing to agree to a seven-year contract that included a <unk> clause and significant wage concessions and productivity gains the union previously resisted
 that contract was tied to the success of the buy-out
 as a <unk> measure the pilots had been working four extra hours a month and had agreed to fly ual 's two new boeing N aircraft
 it 's uncertain if the pilots will continue to do so without a contract settlement
 the union said late last night that it is still committed to majority employee ownership and that the labor disputes that faced the company prior to the buy-out effort still need to be addressed
 the buy-out effort also <unk> <unk> relations between united 's pilot and <unk> unions
 the machinists ' criticisms of the labor-management bid and their threats of a strike unless they received substantial wage increases this year helped cool banks ' interest in financing the transaction
 the machinists previously had shown themselves to be an ally to mr. wolf but he lost much of his credibility with that group when he <unk> up with the pilot union
 the machinists criticized the terms mr. wolf and management received in the buy-out
 they paid $ N million for a N N stake and received an additional N N of the company at no additional cost
 his credibility is also on the line in the investment community
 until the collapse of this bid mr. wolf was regarded as one of the nation 's <unk> airline executives after engineering <unk> of tiger international inc. and republic airlines
 but he and his chief financial officer john pope <unk> some of the seeds for the deal 's failure by insisting banks accept low financing fees and interest rates while they invested in the transaction only a small fraction of the $ N million they stood to gain from sale of their ual stock and options
 the board 's actions leave takeover stock traders nursing some $ N million in losses and eager to respond to anyone who might make a new offer
 it also inevitably leaves a <unk> of shareholder lawsuits
 arbitragers said they were disappointed the company did n't announce some recapitalization or other plan to maximize value
 one takeover expert noted that arbitragers could force a recapitalization through the written consent process under which holders may oust the board by a majority vote
 the machinists union has suggested it may propose a recapitalization that includes a special dividend for holders and a minority ownership stake for employees
 los angeles investor marvin davis whose $ <unk> offer for ual in august triggered a bidding war says he remains interested in the airline
 however he is restricted from making certain hostile moves by an agreement he signed to obtain confidential ual data
 essentially he ca n't make any hostile moves unless he makes a tender offer at least $ N a share
 tandy corp. said it wo n't join u.s. memories the group that seeks to battle the japanese in the market for computer memory chips
 tandy 's decision is a second setback for u.s. memories
 last month apple computer inc. said that it would n't invest in the group
 apple said that its money would be better spent in areas such as research and development
 u.s. memories is seeking major investors to back its attempt to crack the $ N billion market for dynamic random access memory chips a market dominated by the japanese
 those chips were in dire shortage last year hurting many u.s. computer companies that could n't get sufficient <unk> chips
 tandy said its experience during the shortage did n't merit the $ N million to $ N million investment u.s. memories is seeking from each investor
 at this time we elected not to get involved because we have been able to satisfy our need for <unk> from the market as a rule said ed <unk> tandy 's director of market planning
 sanford kane u.s. memories president said the decision was disappointing but does n't <unk> u.s. memories ' failure
 i would like to have had them he said
 but they were n't on my list of companies who were critical to be a part of it
 mr. kane became president and chief executive officer of u.s. memories last june when the group was formed by seven electronics companies advanced micro devices inc. digital equipment corp. hewlett-packard co. intel corp. international business machines corp. lsi logic corp. and national semiconductor corp
 mr. kane said he expects two or three major corporations to announce their participation in u.s. memories soon after the group <unk> a business plan probably late this week
 u.s. memories needs a catalyst he said to <unk> others to join
 but so far most potential participants have n't decided
 sun microsystems inc. said it 's still actively evaluating u.s. memories and plans to meet with u.s. memories representatives later this week
 american telephone & telegraph co. said it was waiting to see u.s. memories ' business plan
 personal-computer maker <unk> research inc. said it is still studying the situation
 a compaq computer corp. spokeswoman said that the company has n't made a decision yet although it is n't under active consideration
 in a startling <unk> members of the senate intelligence committee are complaining that someone in the executive branch is <unk> on them
 david boren the intelligence committee chairman is upset that someone <unk> a letter to the committee from the reagan administration suggesting that the u.s. would <unk> to warn panamanian <unk> manuel noriega if it got wind of an impending coup that might result in his assassination
 with due respect to highly classified <unk> and other <unk> the <unk> are performing a public service
 if the cia has become a protection service for mr. noriega the american people ought to know
 what went wrong in panama is a <unk> subject for public and congressional inquiry
 naturally senator boren and his committee would like free rein to blame the executive branch while <unk> top secret on their own <unk>
 but there 's no danger of <unk> sources and methods in disclosing the debate running up and down pennsylvania avenue
 and if congress is going to assume authority to <unk> foreign policy it 's going to have to take some of the responsibility too
 the president of the united states urged the panamanian armed forces to move against mr. noriega
 when they did his <unk> did n't have the initiative to do more than block a couple of roads
 the executive branch bears the first responsibility for <unk>
 but what kind of initiative can you expect given the climate set by congress
 for example what exactly did the cia tell major <unk> and his fellow coup <unk> about u.s. laws and executive orders on assassinations
 what part did u.s. warnings play in the major 's <unk> to pull the trigger when he had general noriega in custody but was under attack by <unk> troops
 mr. noriega did n't suffer from any <unk> once he had the <unk>
 maybe we need a cia version of the <unk> warning you have the right to <unk> your coup intentions because we may <unk> on you
 or maybe a surgeon general 's warning <unk> in the united states may be fatal
 cia chief william webster hardly a washington <unk> got the debate started last week by noting that the executive order banning assassinations had contributed to u.s. <unk> during the coup
 the cia 's deputy director of operations richard <unk> tried to smooth things over a few days later but instead simply <unk> mr. webster 's point
 the interpretation of the executive order mr. <unk> said and the way in which the various committees have over time interpreted it has led in my view to a proper caution on the part of operators including me
 in other words congress wo n't let the cia do much of anything anymore and that 's fine with the cia
 the pay 's the same and the duty 's lighter
 and of course doing anything that might be <unk> by congress carries heavy penalties
 witness the <unk> prosecution of <unk> north
 the intelligence committee 's ranking republican senator william cohen joined with senator george mitchell to write a best seller about iran-contra <unk> men of <unk>
 no doubt many people in the cia the pentagon and the national security council have read it
 what kind of initiative should anyone expect from people out on the line who 've read all this and know what can happen if they fail
 who wants to end up as the <unk> in a bill cohen <unk> play
 the order against assassinations is another <unk> of the same congressional <unk> a product of the 1970s vietnam syndrome against any executive action
 president bush would do himself and the country a favor by <unk> the order as an <unk> <unk> on his ability to defend america 's national security
 there are of course good reasons the u.s. should n't get into the assassination business but <unk> the executive order is not the same thing as saying the u.s. should start passing out <unk> <unk>
 the world being the nasty place it is we want presidents to have the freedom to order operations in which someone might get killed
 in such situations you can not write rules in advance you can only make sure the president takes the responsibility
 the executive order and the reported agreements with the intelligence committee are neither <unk> nor moral
 as it now stands the u.s. can bomb <unk> but ca n't <unk> <unk> <unk>
 it can send a fighter <unk> to <unk> terrorist <unk> in the <unk> valley but ca n't shoot <unk> <unk>
 both the assassination order and the quality of debate in washington are telling the world that the only way the u.s. will kill a <unk> is by making sure we take some innocent <unk> with him
 we 've heard california 's <unk> proposition N blamed for a lot over the years but abc 's ted <unk> came up with a new <unk> in his earthquake coverage last week when he asked democratic <unk> richard katz if <unk> N had withheld money needed for road maintenance
 mr. katz <unk> agreed sliding over the fact that california 's roads and bridges are n't funded by property taxes but by state and federal gasoline taxes
 both have been raised at least N N in recent years even while the price of gasoline has fallen
 dragging <unk> N into this story is a pretty long stretch
 a series of explosions <unk> through the huge phillips petroleum co. plastics plant near here <unk> more than a hundred and closing parts of the houston ship channel
 there were no immediate reports of deaths but officials said a number of workers were still <unk> for last night
 the <unk> okla. oil company late yesterday still had n't said officially what caused the explosions and fires which sent columns of heavy black smoke <unk> high into the air
 one local phillips manager said a seal <unk> in one of the plant 's <unk>
 glenn cox phillips ' president and chief operating officer and other phillips officials flew from <unk> to assess the damage and determine the cause of the afternoon explosions
 in composite trading on the new york stock exchange phillips petroleum shares fell $ N to $ N
 the plastics plant is located on an <unk> <unk> in the heart of the petrochemical <unk> that reaches along the u.s. gulf coast
 the u.s. coast guard closed six miles of the houston ship channel where about N companies have operations because the thick black smoke <unk> the area
 the port of houston closed its terminal for handling bulk cargo
 broken water lines and gas leaks <unk> <unk> ' efforts but by late yesterday authorities said they had the fire under control
 the <unk> <unk> out windows <unk> debris for miles and <unk> the ceiling in an area <unk> school
 the initial <unk> was caught by cameras in downtown houston about N miles away
 nearby pasadena texas police reported that N people had been taken to area hospitals but a spokeswoman said that toll could rise
 the injured including three in critical condition were treated for burns breathing problems and cuts from flying glass hospital officials said
 the plant employs between N and N on three shifts
 the number working at the time of the blast was n't known
 yesterday 's explosions were the second round in two months at the plastics plant
 in late august four contract workers were injured and one phillips employee died after an explosion at a fuel supply line near the facility 's boiler house
 the phillips facility manufactures polyethylene <unk> and <unk> plastics used in a wide array of applications including milk <unk> and toys
 plastics are the <unk> of phillips ' chemicals operations which is the biggest single <unk> to the company 's profits
 a federal judge in manhattan has entered a judgment requiring a chicago organized crime figure to pay the government $ N representing alleged profits he gained from his involvement with the international <unk> of <unk>
 manhattan u.s. attorney <unk> <unk> said it was the first time ever that the government had obtained any <unk> from an organized crime figure indicted under the civil racketeering law
 joseph <unk> who the government alleged was the <unk> of organized crime in chicago was one of numerous defendants in the government 's sweeping racketeering suit against the <unk>
 in the suit filed in june N the government accused the union 's leadership of <unk> its N million members of their rights through a pattern of racketeering
 among other things the government claimed that organized crime figures had routinely <unk> the union 's top officials
 u.s. district judge david <unk> also permanently <unk> mr. <unk> from any future dealings with the <unk> or any other labor union
 mr. <unk> the last of the defendants to settle the suit agreed to pay the government the $ N within one week
 exxon corp. said its third-quarter earnings slipped N N as profits from two of its three major businesses sagged
 all cleanup costs from last spring 's alaskan oil spill were reflected in earlier results it said
 phillips petroleum co. and atlantic richfield co. also reported declines in quarterly profit while ashland oil inc. posted a loss for the latest quarter
 <unk> hess corp. and occidental petroleum corp. reported higher earnings
 exxon
 although exxon spent heavily during the latest quarter to clean up the alaskan <unk> <unk> by its huge oil spill those expenses as well as the cost of a continuing <unk> program are covered by $ N million in charges taken during the first half
 an exxon official said that at this time the oil company does n't anticipate any additional charges to future earnings relating to the cleanup of oil <unk> when one of its <unk> <unk> into an <unk> <unk>
 she added however that charges already taken do n't take into account the potential effect of litigation involving the oil spill
 she said that impact ca n't be reasonably assessed yet
 exxon 's net income during the third quarter dropped to $ N billion or N cents a share from $ N billion or N cents a share a year earlier
 revenue rose N N to $ N billion from $ N billion
 during the third quarter exxon purchased N million shares of its stock at a cost of $ N million
 exxon 's profitability like that of many other oil companies was hurt during the third quarter by declining returns from the chemicals and refining and marketing businesses
 exxon 's earnings from chemicals operations fell $ N million to $ N million while refining and marketing profits declined $ N million to $ N million
 although crude oil prices were significantly higher this year they were n't strong enough to offset the declining profits in those business sectors at most oil companies said william <unk> oil analyst for first boston corp
 he estimates that the price of west texas intermediate the u.s. benchmark crude was $ N a barrel higher during the third quarter of this year than in the same period last year
 ashland oil
 a rash of one-time charges left ashland oil with a loss of $ N million for its fiscal fourth quarter
 a year earlier the <unk> earned $ N million or $ N a share
 quarterly revenue rose N N to $ N billion from $ N billion
 for the year net income tumbled N N to $ N million or $ N a share
 the ashland ky. oil company reported a $ N million charge resulting from settlement of a 10-year dispute with the national iranian oil co. over claims that ashland did n't pay for iranian crude it had received
 in september ashland settled the <unk> dispute by agreeing to pay iran $ N million
 ashland also took a $ N million after-tax charge to cover anticipated costs to correct problems with <unk> built by one of its subsidiaries
 the oil <unk> also booked a $ N million charge for selling ashland technology corp. one of its subsidiaries at a loss
 <unk> hess
 third-quarter earnings at <unk> hess more than tripled to $ N million or N cents a share from $ N million or N cents a share a year earlier
 revenue climbed N N to $ N billion from $ N million
 profits improved across hess 's businesses
 refining and marketing earnings climbed to $ N million from $ N million and exploration and production earnings rose to $ N million from $ N million
 hess 's earnings were up despite a $ N million charge to cover the cost of maintaining operations after hurricane hugo heavily damaged the company 's refinery at st. <unk>
 it is widely known within industry circles that hess had to buy oil products in the high-priced spot markets to continue supplying its customers
 hess declined to comment
 phillips petroleum
 phillips petroleum 's third-quarter earnings slid N N to $ N million or N cents a share from $ N million or N cents a share
 revenue rose N N to $ N billion from $ N billion
 shrinking profit margins in chemical and refining and marketing sectors accounted for most of the decline said chairman <unk> <unk> in a statement
 despite higher oil prices exploration and production profits were off because of foreign-currency losses and some construction costs incurred in one of phillips ' north sea oil fields
 a year ago results were buoyed by a $ N million after-tax gain from an asset sale
 occidental petroleum
 occidental petroleum 's third-quarter net income rose N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 the latest quarter included an after-tax gain of $ N million from <unk> items
 sales dropped N N to $ N billion from $ N billion
 the latest period included a $ N million gain from the sale of various oil and gas properties a $ N million charge from the restructuring of occidental 's domestic oil and gas operations and tax credits of $ N million
 both periods included <unk> charges of $ N million for early retirement of debt
 occidental said oil and gas earnings fell to $ N million from $ N million
 the latest period includes net gains of $ N million in <unk> credits from the sale of properties indicating operating losses for the quarter in the oil and gas division
 chemical earnings fell N N reflecting softening of demand
 atlantic richfield
 citing its reduced ownership in the lyondell petrochemical co. atlantic richfield reported that net income slid N N in the third quarter to $ N million or $ N a share from $ N million or $ N a share for the comparable period last year
 sales fell N N to $ N billion from $ N billion
 arco 's earnings from its N N stake in lyondell fell to $ N million from $ N million for the same period last year when lyondell was wholly owned
 offsetting the lower stake in lyondell were higher crude oil prices increased natural gas volumes and higher coke prices the company said
 coal earnings rose to $ N million from $ N million
 for the nine months arco reported net income of $ N billion or $ N a share up N N from $ N billion or $ N a share a year earlier
 sales were $ N billion off N N from $ N billion
 jeff rowe contributed to this article
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 imo industries inc. $ N million of senior subordinated debentures due N priced at par to yield N N
 the issue will be sold through morgan stanley & co
 other details were n't available
 san antonio texas $ N million of electric and gas system revenue refunding bonds series N <unk> and <unk> tentatively priced by a first boston corp. group to yield from N N in N to N N in N
 the issue includes current interest bonds due N N N N and N and capital appreciation bonds due N
 the current interest serial bonds are priced to yield from N N in N to N N in N
 there are about $ N million of N N term bonds due N priced to yield N N which is the issue 's high yield
 there are also about $ N million of N N N bonds priced to yield N N in N about $ N million of N N bonds priced to yield N N in N and about $ N million of N N bonds priced to yield N N in N
 all of the term bonds are original issue discount bonds according to the lead underwriter
 the capital appreciation bonds are tentatively priced to yield to maturity from N N in N to N N in N
 the bonds are rated double-a by moody 's investors service inc. and standard & poor 's corp
 maryland stadium authority $ N million of sports facilities lease revenue bonds series N d due N N N and N tentatively priced at par by a morgan stanley group to yield from N N in N to N N in N
 serial bonds are priced to yield to N N in N
 there are $ N of N N N bonds priced at par and due N $ N of N N N bonds priced at par and due N and $ N million of N N bonds priced at par and due N
 the bonds are rated double-a by moody 's and <unk> by s&p
 interest on the bonds will be treated as a preference item in <unk> the federal alternative minimum tax that may be imposed on certain investors
 federal home loan mortgage corp. $ N million of remic mortgage securities being offered in N classes by morgan stanley
 the offering series N is backed by freddie mac <unk> N N securities and brings freddie mac 's N remic issuance to $ N billion and its total volume to $ N billion since the program began in february N
 the offering used <unk> pricing
 federal national mortgage association $ N million of remic mortgage securities being offered in N classes by merrill lynch capital markets
 the offering series N is backed by fannie mae N N securities
 separately a $ N million issue of fannie mae remic mortgage securities is being offered in N classes by bear stearns & co
 the offering series N is backed by fannie mae N N securities
 finally a $ N million issue of fannie mae remic mortgage securities is being offered in N classes by smith barney harris upham & co
 the offering series N is backed by fannie mae N N N securities
 the three offerings together bring fannie mae 's N remic issuance to $ N billion and its total remic volume to $ N billion since the program began in april N
 credit agricole <unk> french $ N million of N N N bonds due nov. N N priced at N to yield N N annually less full fees via <unk> international ltd
 fees N N
 <unk> electric power co japan $ N million of N N N bonds due nov. N N priced at N N to yield N N less full fees via yamaichi international europe ltd
 fees N N
 international finance corp agency N billion pesetas of N N bonds due nov. N N priced at N N to yield N N less full fees via citibank madrid and banco <unk> de <unk> spain
 fees N N
 royal bank of canada grand <unk> branch canada N million canadian dollars of N N N deposit notes due nov. N N priced at N N to yield N N less full fees via <unk> dominion securities international ltd
 fees N N
 union bank of finland N million australian dollars of N N bonds due nov. N N priced at N to yield N N less full fees via banque paribas capital markets ltd
 fees N
 ford motor credit $ N billion of certificates backed by automobile loans with a coupon rate of N N priced at N N to yield N N through an underwriting group headed by first boston corp
 the issue is the first by ford motor credit a unit of ford motor co. and the second largest in the four-year history of the $ N billion asset-backed market
 the largest issue was a $ N billion offering of <unk> securities by general motors acceptance corp. in N
 the ford issue through ford credit <unk> <unk> trust was priced at a yield spread of N basis points above the treasury N N N issue due july N
 the offering is rated <unk> by moody 's and double-a by s&p based on the quality of the underlying auto loans and a guarantee covering N N of the deal from ford motor credit
 the certificates have an estimated average life of N years assuming monthly prepayments at N N of the original balance
 the final maturity is in five years
 the mouth is back
 <unk> downey jr. who <unk> as a <unk> host and frequently <unk> abused his guests has been signed to <unk> a half-hour <unk> program on the consumer news and business channel the cable channel partly owned by the general electric co. 's national broadcasting co
 the premiere of <unk> with mr. downey and richard g. carter a columnist with the new york daily news is scheduled for dec. N at N p.m
 cnbc is available to N million cable households
 mr. downey said he is not going to change his style which some critics said was flamboyant and others deemed offensive
 but i 'm going to proceed in a more logical way
 i 'm not going to do anything that is not acceptable in anyone 's home
 but that does n't mean i 'm not going to get angry
 michael <unk> president of cnbc said that although there will be a studio audience viewers will no longer have to endure the shouting of <unk> <unk> <unk>
 but just how does mr. downey 's <unk> style <unk> with the <unk> tone of cnbc 's business programming
 <unk> percent of <unk> 's old show fits into our style said mr. <unk>
 that is consumer issues
 mr. downey 's previous show a one-hour <unk> <unk> <unk> by mca inc. and produced by quantum media inc. was canceled in july after advertisers and stations abandoned it
 investors dumped stocks of big companies whose earnings <unk> with the economy
 many of those cyclical issues are in the dow jones industrial average which fell N to N
 declining issues on the new york stock exchange <unk> advancers N to N
 recession fears are <unk> up again among investors
 analysts say that the selling of cyclical stocks yesterday will be followed by a sell-off in shares of companies with big debt <unk> on their balance sheets
 in an economic slowdown heavy debt <unk> reduce the flexibility of companies because cash that would normally be used to keep the company <unk> must be diverted to interest payments
 on the other hand investors beat a clear path yesterday to blue-chip issues with proven earnings growth records
 among the N dow industrials they bought mcdonald 's coca-cola co. and procter & gamble and sold aluminum co. of america
 in another sign of slowdown fears investors dumped technology shares
 many money managers are bracing for a decline in stocks of companies with big debt <unk> on their balance sheets
 the junk bond market is being taken apart because of recession fears said j. david mills senior vice president at boston company advisers
 under this scrutiny the first thing you do is sell your cyclical stocks and the second thing you do is sell your <unk> companies
 in fact much of the buying in blue chips yesterday was a pursuit of companies with lower debt levels
 in a recent investment letter entitled winners of the leverage wars edward <unk> chairman of painewebber 's investment policy committee suggested that investors buy stocks of companies that have avoided <unk> up on debt
 we 're saying companies have to pay increasing attention to balance sheets said mr. <unk>
 he suggested that investors buy the shares of great atlantic & pacific tea j. baker mcdonald 's philip morris and <unk> lee
 he said that all of these companies will be able to compete fiercely in an economic downturn
 mcdonald 's has long-term debt equaling N N of shareholder equity currently but mr. <unk> said the company is carrying real estate assets at about $ N billion below their real value
 coca-cola climbed N N to N N mcdonald 's added N to N N and procter & gamble gained N to N N
 <unk> fell N N to N N and j. baker gained N to N N
 philip morris slipped N to N N while <unk> lee closed unchanged at N N
 according to salomon brothers ' <unk> stock index of N companies whose debt is giant compared with shareholder equity investors are already beginning to retreat from shares of <unk> companies
 from january to early september the index of <unk> stocks the tiny portion of equity that 's publicly traded following a recapitalization outperformed standard & poor 's 500-stock index by about N N
 but starting in early september the index started to slide and now stands about even with the s&p N
 stocks that have a high default risk have started to <unk> those stocks that have a lower default risk said eric <unk> director of <unk> analysis at salomon brothers
 companies that have the most exposure to the business cycle have <unk> since late last summer
 union carbide whose third-quarter earnings dropped about N N from a year earlier and fell short of analysts ' expectations declined N to N N
 also exxon went down N to N N and allied-signal lost N to N N even though the companies ' results for the quarter were in line with forecasts
 other weak blue-chip issues included chevron which went down N to N N in big board composite trading of N million shares goodyear tire & rubber off N N to N N and american express down N to N N
 texas instruments which had reported friday that third-quarter earnings fell more than N N from the year-ago level went down N N to N on N million shares
 motorola another major semiconductor producer dropped N N to N N
 pinnacle west capital whose earnings have been hurt by continued problems at its merabank unit fell N N to N N on N million shares to lead the big board 's list of most active issues
 growing pressures on the arizona real-estate market are affecting the thrift pinnacle west told dow jones professional investor report it may consider filing for chapter N bankruptcy protection if it ca n't reach an agreement with federal regulators to provide additional capital to merabank
 <unk> dropped N N to N N on one million shares about six times its average daily trading volume after a disappointing third-quarter earnings report
 merrill lynch and prudential-bache securities both lowered the stock 's investment rating immediately after the results were issued friday according to <unk>
 elsewhere in the chemicals sector dow chemical fell N N to N N monsanto lost N N to N <unk> <unk> slipped N N to N N and <unk> slid N to N N
 other stocks hurt by <unk> selling included tandy which dropped N N to N and eaton which retreated N N to N N
 third-quarter earnings at both companies were below analysts ' forecasts
 after declining about N N last week ual advanced N N to N N on N million shares on anticipation of a revised takeover offer from a labor-management group for the parent company of united airlines
 however delta air lines fell N N to N N and usair group dropped N to N N
 ramada gained N to N N after revamping the terms of its restructuring plan which calls for the company to sell its hotel operations for $ N million and spin off its casino business to shareholders
 the revision follows last month 's withdrawal of a $ N million junk-bond offering for the new casino company <unk> corp
 mead gained N to N N
 usa today reported that the <unk> brothers washington <unk> investors who made an unsuccessful offer to acquire <unk> last year have bought nearly N N of mead 's common shares
 entertainment and media stocks generally escaped the market 's slide as well
 paramount communications rose N to N N time warner climbed N N to N N walt disney advanced N N to N N mca rose N N to N N and mcgraw-hill added N to N N
 the american stock exchange market value index lost N to N
 volume totaled N shares
 carnival cruise lines class a fell N N to N N
 the company said it had been notified <unk> that waertsilae marine industries a finnish shipyard building three cruise ships for the company is having financial trouble and may already have filed for bankruptcy
 <unk> and <unk> are the sort of <unk> normally associated with <unk> and <unk> <unk>
 who 'd have thought that the next group of tough guys carrying around <unk> like that would be school <unk>
 chicago 's new school chief is the <unk> ted <unk>
 at his old job in <unk> calif. he took a bitter teachers ' strike and nearly came to <unk> with a <unk> member
 at his first chicago press conference he <unk> the reporters
 in new york city the new chancellor joseph fernandez has landed like a <unk> shell in the middle of a system that has been <unk> to serious reform
 both men fit the mood of the times the mood being one of a public fed up with officials ' <unk> for why their schools do n't work
 former patterson n.j. principal joe clark was no doubt the general public 's first experience with this new breed of <unk> administrator
 the subject of the movie lean on me mr. clark controlled his school with a <unk> and a baseball bat
 he may have gone <unk> in his pursuit of good discipline but is n't it interesting that some of the country 's biggest most troubled school districts are choosing new chiefs from the same <unk> <unk>
 <unk> <unk> the woman assigned to run the jersey city school system that was taken over by the state says her top priority will be to cut through the dead hand of bureaucracy
 mr. fernandez does n't take control in new york until january but already he 's <unk> the waters
 he 's attacked the concept of building tenure one of the most <unk> institutions in american public schools
 it means it is virtually impossible to fire or even transfer incompetent principals
 once they are in the building they stay
 one south bronx principal kept his job for N years despite a serious drinking problem and rarely showing up for work
 he was finally given leave when he was arrested for allegedly buying crack
 naturally the principals ' union <unk> building tenure and tenure has <unk> previous challenge
 we suggest that mr. fernandez find an incompetent principal <unk> him out of the building and let the forces of the status <unk> explain to the parents whatever it is they 're defending
 in his old job as <unk> county chief mr. fernandez forced out N teachers and <unk> N principals
 he cut the <unk> rate by N N
 but the <unk> <unk> are going to have to be <unk> as well incompetent principals and administrators should go but the good ones ought to be left alone
 the situation will be especially delicate for mr. <unk>
 he takes over a school system in the midst of radical reform
 <unk> have just elected N <unk> school boards one for each school
 this of course led to disaster in new york city
 getting a community of parents to care again about its schools is essential but in chicago the new boards will make mistakes and mr. <unk> will have to identify them
 the rise of <unk> such as joseph fernandez and ted <unk> suggests <unk> the process of <unk> in many school systems
 the schools ' central mission <unk> children became <unk> by the competing interests of bureaucrats politicians and unions
 the classroom itself operated on the <unk> of this awful system discipline collapsed and kids stopped learning
 mr. chips was a nice fellow and maybe some day he 'll return
 until then it 's clear that some of the people who 've been keeping <unk> schools down are going to be dealing with the <unk>
 ingersoll publications co. agreed to buy the new haven register in a transaction valued at $ N million from goodson newspaper group inc
 as part of the agreement goodson also terminated the contract under which ingersoll manages goodson 's N newspapers ending a long association between the two companies that has turned increasingly bitter recently
 goodson has accused ingersoll of paying less attention to its properties and more to such ventures as the recent launch of the st. louis sun
 under the terms of the accord ingersoll will pay about $ N million for the register a daily that goodson bought for about $ N million in N
 goodson will pay the additional $ N million in settlement of the management contract
 goodson also announced that it hired the former president and senior vice president of ingersoll to run the goodson papers
 both executives left the company after <unk> with chairman ralph ingersoll jr
 goodson which is based here will use part of the proceeds to pay down debt associated with its purchase of the morristown daily record for $ N million in N
 the new jersey paper like the new haven conn. paper was purchased by ingersoll on goodson 's behalf as part of the management contract
 industry analysts have said that the purchase price for the paper was too high causing a strain on goodson 's finances
 investment bankers familiar with the company said goodson is seeking a new bank credit line of $ N million and may have to sell additional newspapers
 david n. <unk> president and chief operating officer of goodson said in a telephone interview that the company does n't currently have any plans to sell additional newspapers
 goodson said david carr former president of ingersoll publications and ray <unk> former senior vice president would head the new in-house management team at goodson which had revenue of $ N million in N
 the association between the two companies <unk> back <unk> years to a friendship between television producer mark goodson and ingersoll founder ralph ingersoll
 the latter 's son ralph ingersoll jr. took over the company and has been managing the goodson properties and acting as an agent in the purchase of newspapers for goodson
 but in recent years mr. ingersoll began focusing more on expanding his own newspaper empire in partnership with investment banking firm warburg <unk> & co
 ingersoll has N <unk> and N other <unk> papers in the u.s. and europe
 the company said its revenue will exceed $ N million this year
 ingersoll president robert m. <unk> said in a statement that the company is <unk> by the conclusion of the goodson relationship and will be able to concentrate all our <unk> on ingersoll 's own papers
 mr. goodson in his own statement was less upbeat saying unfortunately over the past few years it has become increasingly clear that ralph and i have different <unk> and that he feels more comfortable with a management team whose sole interest and responsibility is in the goodson papers
 just five months after ogilvy group was <unk> up in an unsolicited takeover kenneth roman ogilvy 's chairman and chief executive officer said he is leaving to take a top post at american express co
 mr. roman N years old abruptly announced he will leave the venerable ad agency whose largest client is american express to become american express 's executive vice president for corporate affairs and communications
 he will succeed harry l. freeman N who has said he will retire in december
 mr. freeman said in august that he would retire by the end of this year to take executive responsibility for an embarrassing effort to <unk> banker <unk> <unk>
 american express representatives apparently influenced the publication of unfavorable articles about mr. <unk>
 the company later <unk> and agreed to make $ N million in contributions to charities chosen by him
 although mr. freeman is retiring he will continue to work as a consultant for american express on a project basis
 ad industry executives were n't surprised by mr. roman 's decision to leave ogilvy
 the agency under his direction bitterly fought a takeover attempt by wpp group plc of london before <unk> in may
 and although mr. roman and wpp 's chief executive martin sorrell have gone out of their way to be publicly supportive of each other people close to mr. roman say he was unhappy giving up control of the company
 some executives also cite tension because of efforts by mr. sorrell a financial man to cut costs at the agency
 mr. roman will be succeeded as the head of ogilvy 's flagship ad agency ogilvy & mather worldwide by graham phillips N who had been president of north american operations and who like mr. sorrell is british
 alexander <unk> N will take on the newly created position of president of the world-wide agency and chief executive of its international operations
 he had been president of the international operations
 mr. roman also had <unk> ogilvy group 's two other units the <unk> <unk> <unk> advertising agency and its research division but those units will now report directly to wpp
 mr. roman appears <unk> for the american express job
 known as a traditional executive he is very much in the conservative american express <unk>
 moreover after N years at ogilvy he had <unk> a reputation for being <unk> and a straight arrow which can only help american express in the wake of the <unk> incident
 he also is close to american express 's chairman and chief executive officer james d. robinson iii
 aside from working with mr. robinson on the american express advertising account for about N years mr. roman serves on several of the same charities and boards as mr. robinson
 the abrupt management change sparked widespread speculation that mr. roman had been pushed out of ogilvy 's top spot by mr. sorrell
 but mr. roman <unk> denied the speculation saying mr. sorrell had tried several times to persuade him to stay offering various incentives and in one instance sending a note with a case of wine the wine naturally was seagram 's brand an ogilvy client
 he asked me not to resign
 the implication that i was pushed aside would n't be accurate mr. roman said
 mr. sorrell traveling in the far east could n't be reached
 mr. roman said american express 's mr. robinson first approached him about the job in late september
 according to industry executives peter <unk> a former european community commissioner from ireland was also a serious <unk> for the american express job
 although it ultimately was n't offered to him he will be on <unk> to american express as an adviser on international matters
 after talking on and off for the past four weeks mr. roman said he agreed to take the job because it 's the right time it 's a <unk> opportunity and i think i leave the company in very strong hands
 it was my decision not anyone else 's
 mr. roman also brushed aside reports about <unk> between him and mr. phillips his successor at ogilvy
 the two executives could hardly be more different
 mr. roman comes across as a <unk> executive mr. phillips has a <unk> <unk>
 during time off mr. roman tends to his garden mr. phillips <unk> to a <unk> for among other things fast cars and planes
 industry executives say that although the two executives used to clash more frequently the wpp takeover brought them closer together
 i 'm the guy who made him head of new york head of the u.s. president of north america and recommended him to mr. sorrell as my successor
 would i have done all those things <unk> if i did n't think he was the right guy mr. roman asked
 he labeled reports of <unk> ridiculous and said that he spent part of the weekend on mr. phillips 's boat in connecticut
 mr. roman will oversee american express 's public relations and government affairs among other things but he wo n't be involved in its advertising which is handled by the operating units
 i consider this a second career he said
 he also will sit on the company 's corporate planning and policy committee made up of the top corporate and operating executives
 mr. roman 's departure is n't expected to have any enormous <unk> at ogilvy
 american express kraft general foods and mattel executives said the move wo n't affect their relationships with the ad agency
 general foods 's relationships with its agencies are based on the agencies ' work and will continue to be said david <unk> a vice president of kraft general foods
 but some clients and analysts expressed concern that mr. phillips is n't as well-known to many clients
 ken was my key contact said j. nicholas hahn president and chief executive officer of cotton inc. which represents cotton producers
 i do n't know mr. phillips all that well
 i have n't seen or talked to him in several years
 and some analysts questioned whether mr. phillips would have the skills ogilvy needs to turn the agency around
 while the agency has done well in many parts of the world its flagship new york office has had a dismal track record recently it has won few new accounts while losing big ones including maxwell house
 i think mr. phillips is going to need some help
 i think they need creative leadership and i do n't think they have it said <unk> hill an analyst with wertheim & co
 ogilvy & mather 's top creative executive norman berry left the agency earlier this year
 <unk> berry was a creative <unk> at the company and nobody has filled that <unk> said ms. hill
 but other analysts said that having mr. phillips succeed mr. roman would make for a smooth transition
 graham phillips has been there a long time knows the culture well is aggressive and apparently gets along well with mr. sorrell said andrew <unk> an analyst with drexel burnham lambert
 it 's probably a reasonable transition
 hopefully he 'll be the answer to the problems they 've had in new york
 sale of saatchi unit close
 computer sciences corp. el <unk> calif. said it is close to making final an agreement to buy cleveland consulting associates from saatchi & saatchi
 computer sciences would n't disclose the proposed purchase price for cleveland consulting which <unk> companies on <unk> and supply
 but david lord managing editor of consultants news an industry publication based in <unk> n.h. said an industry standard would suggest a purchase price of between one and two times cleveland consulting 's approximately $ N million annual revenue
 both saatchi & saatchi which announced its intention to sell off most of its consulting business in june and cleveland consulting declined to comment on the proposed sale
 ad notes
 new account
 <unk> corp. new york awarded the ad account for its home insurance co. unit to <unk> kelly & <unk> new york
 billings were n't disclosed
 puerto rico telephone co. awarded its $ N million account to west <unk> & grey grey advertising 's office in puerto rico
 diet coke
 coca-cola co. yesterday said singer <unk> john signed to appear in an ad for diet coke
 details of the commercial which will be part of the brand 's N advertising campaign were n't disclosed
 mr. john becomes the latest of many music stars including george michael and <unk> houston to appear in ads for the diet drink
 turner broadcasting system inc. said it formed a unit to make and distribute movies to theaters overseas and eventually to u.s. theaters too
 the operator of <unk> networks said the new turner pictures unit will produce movies that will premiere on turner broadcasting 's turner network television channel or <unk> and then will be released internationally in movie theaters
 the unit 's first two offerings are slated to be the secret life of ian fleming a <unk> about the former british spy who wrote the james bond novels and <unk> island produced by <unk> <unk> who also stars in the movie
 ted turner turner broadcasting 's chairman was named chairman of turner pictures and <unk> <unk> president of turner entertainment networks was named president of the unit
 in an interview mr. <unk> said the subsidiary 's primary mission will be to make movies for <unk> and to distribute them internationally
 but he said turner broadcasting already has found some ideas that might work well as films for theatrical release in the u.s.
 when that occurs and when the time is right we 'll release the films in the u.s. he said adding that turner pictures may develop such movies next year for domestic release in N
 turner has made several movies <unk> and <unk> for its networks in recent years but the company has never acted as a <unk> movie studio and released its own pictures to theaters
 mr. <unk> said the secret life of ian fleming and <unk> island cost more than $ N million each to make which is only about one-third the cost of most movies made for theatrical release
 the turner move is in line with a cable-tv trend toward more original programming and toward finding more ways to <unk> the high cost of producing films
 in july viacom inc. formed viacom pictures to produce N <unk> movies a year that will premiere on showtime network and be distributed later in various markets including foreign theaters
 in a sign the stock slump has n't <unk> europe 's takeover fever cie financiere de paribas said it intends to bid for one of france 's other large financial and industrial holding companies cie. de navigation mixte
 paribas said that once it receives the <unk> from french stock market authorities it will offer to boost its navigation mixte stake to N N from the current N N
 its <unk> bid values navigation mixte at about N billion francs $ N billion making this one of france 's <unk> attempted takeovers
 the cost of buying the additional N N stake would be N billion francs $ N billion
 the move would greatly boost paribas 's stake in the insurance transport and food businesses where navigation mixte is strong
 it also would make paribas a major french ally of west germany 's allianz ag insurance group
 allianz holds a N N stake in navigation mixte 's insurance interests acquired three weeks ago
 those include <unk> <unk> <unk> <unk> and via assurances
 long considered a potential takeover target navigation mixte had hoped allianz would help protect it from raiders
 that idea may have <unk>
 paribas is allianz 's main french bank and the <unk> group said it intends to stay neutral
 navigation mixte said it would n't have any comment until its board meets wednesday
 but navigation mixte is <unk> held and hard to defend
 the defensive options are limited says <unk> <unk> a partner in portfolio management concern france finance <unk>
 who would bid against paribas
 if the paribas bid succeeds it will be the second time in two months a big french investment banking group has snapped up an insurance group
 last month paribas 's archrival cie financiere de suez won a battle for <unk> <unk> france 's second-largest private-sector insurer which itself had just acquired west germany 's <unk> <unk> ag
 that complex bid was billed as france 's largest takeover ever this one is slightly smaller
 moreover suez had just finished winning an even larger battle last year for control of societe generale de <unk>
 paribas officials once considered france 's <unk> bankers felt <unk> at suez 's success and its rapid growth
 although paribas denies it analysts say the new bid in part simply reflects the continuing <unk> between france 's two largest investment banking groups
 it also reflects the broader pressure on companies in europe to keep up as the european community prepares to reduce internal trade barriers by N
 although paribas chairman <unk> <unk> would n't rule out eventually selling all of navigation mixte 's insurance operations to allianz he stressed the potential for the two groups instead to cooperate
 he also told reporters the acquisition would give paribas fresh diversity bringing it properties in food and transport where it has been weak
 navigation mixte has investments in a sugar company a food and <unk> concern a <unk> and bus and trucking firms among others
 and navigation mixte has a huge hidden attraction
 payment by allianz for the insurance interests it has just bought will help swell the french concern 's treasury to an estimated N billion francs
 paribas said it will bid N francs a share for navigation mixte shares that qualify for a full yearly dividend and N francs for those created july N which are eligible for partial dividends
 alternatively it said it would offer three paribas shares themselves eligible for dividends as of next jan. N for one navigation mixte share
 paribas shares closed down N francs at N francs and navigation mixte shares were suspended at N francs pending the outcome of the bid
 paribas said it would publish details of its bid once authorities clear it
 this is one of the first bids under new takeover rules aimed at encouraging open bids instead of gradual accumulation of large stakes
 some financial sources said privately that paribas <unk> in failing to move sooner for the insurance and industrial group bidding only after speculation had pushed up the price
 mr. <unk> responded that his group initially intended to take only a minority stake striking an alliance with current management
 when <unk> <unk> navigation mixte chairman marc fournier rejected paribas 's offer and began buying paribas shares in <unk> mr. <unk> said he felt obliged to bid for control
 he told reporters he had information that mr. fournier was preparing to buy as much as N N of paribas up from less than N N currently
 a bid against paribas could n't be ruled out
 france 's second-largest government-owned insurance company assurances <unk> de france has been building its own navigation mixte stake currently thought to be between N N and N N
 analysts said they do n't think it is contemplating a takeover however and its officials could n't be reached
 crude oil futures prices fell further as analysts and traders said opec oil producers are n't putting the <unk> on output ahead of the traditionally weak first quarter
 in trading on the new york mercantile exchange the u.s. benchmark west texas intermediate crude fell N cents a barrel to $ N for december delivery
 petroleum products prices also declined
 analysts pointed to reports that the organization of petroleum exporting countries is producing substantially more than its official limit of N million barrels a day with some accounts putting the <unk> group 's output as high as N million barrels a day
 that level of production did n't take its toll on futures prices for the fourth quarter when demand is traditionally strong
 but because first-quarter demand is normally the weakest of the year several market participants say opec production will have to decline to keep prices from eroding further
 the group plans to meet in a month to discuss production strategy for early N
 with prices already headed lower news of a series of explosions at a major phillips petroleum co. chemical facility on the houston ship channel also was bearish for prices
 even though such facilities use a relatively small amount of crude analysts say now the facility wo n't need any at a time of already high availability
 the phillips plant makes polyethylene <unk> and other plastic products
 a company official said the explosions began when a seal <unk> out
 dozens of workers were injured authorities said
 there was no immediate estimate of damage from the company
 some petroleum futures traders say technical considerations now will help to put downward pressure on futures prices
 for instance one trader said that prices inevitably will go lower now that they 've fallen below $ N a barrel
 our <unk> is a little bearish now that we 've taken out $ N he said
 in other commodity markets yesterday
 copper
 the selling that started on friday continued yesterday
 the december contract fell N cents a pound to $ N
 london metal exchange warehouse stocks were down only N metric tons for the week to N tons expectations late last week were a drop of N to N tons
 the new york market made its high for the day on the opening and when it dropped below the $ <unk> level selling picked up as previous buyers <unk> out of their positions and aggressive short sellers anticipating further declines moved in
 fund selling also picked up at that point
 according to bernard savaiko senior commodity analyst at painewebber the only stability to the market came when short sellers <unk> moved in to cover their positions by buying contracts
 this activity produced small rallies which in turn attracted new short selling
 mr. savaiko noted that copper had a steep fall in spite of a weak dollar which would normally support the u.s. copper market
 such support usually comes from arbitragers who use a strong british pound to buy copper in new york
 the sell-off would probably have been worse if the dollar had been strong he said
 copper has been stuck in a trading range of $ N to $ N
 mr. savaiko believes that if copper falls below the bottom of this range the next significant support level will be about $ N
 precious metals
 platinum and palladium struggled to maintain their prices all day despite news stories over the weekend that recent cold fusion experiments which use both metals showed signs of producing extra heat
 january platinum closed down $ N an ounce at $ N nearly $ N above its low for the day
 december palladium was off $ N an ounce at $ N
 platinum is believed to have good support around $ N and palladium at around $ N
 some traders were thought to be waiting for the auto sales report which will be released today
 such sales are watched closely by platinum and palladium traders because both metals are used in automobile <unk> <unk>
 mr. savaiko <unk> that the news on cold fusion did n't affect the market yesterday because many traders have already been badly <unk> by such stories
 he said the traders are demanding a higher level of proof before they will buy palladium again
 also weighing on both metals ' prices is the role of the chief supplier the soviet union
 many analysts believe that the soviets ' <unk> for dollars this year to buy grain and other western commodities and goods will bring them to the market whenever prices rally very much
 grains and soybeans
 prices closed mixed as contracts reacted to largely offsetting bullish and bearish news
 on the chicago board of trade soybeans for november delivery closed at $ N a bushel down half a cent while the december wheat contract rose <unk> of a cent to $ N a bushel
 supporting prices was the announcement late friday of additional grain sales to the soviet union
 but acting as a drag on prices was the improved harvest weather over the weekend and the prospect for continued fair weather this week over much of the farm belt
 strong farmer selling over the weekend also weighed on prices
 sugar
 world prices tumbled mostly from their own weight according to analysts
 the march contract ended at N cents a pound down N cent
 for the past week or so traders have been expecting india to buy between N and N tons of refined sugar and there have been expectations of a major purchase by japan
 but with no reports of either country actually entering the market analysts said futures prices became vulnerable
 developing countries such as india some analysts said seem to have made it a point to stay away whenever sugar reached the top of its trading range around N cents and wait for prices to return to the bottom of the range around N cents
 but <unk> <unk> a sugar analyst with <unk> <unk> international ltd. said the explanation for the latest drop in sugar prices is much simpler speculators he said got too long too soon and ran into resistance around the old contract highs
 a painewebber analyst said that in light of a new estimate of a production increase of four million metric tons and only a modest increase in consumption sugar is n't likely to rise above the top of its trading range without a crop problem in a major producing country
 cocoa
 futures rallied modestly
 the december contract rose $ N a metric ton to $ N near its high for the day
 <unk> & <unk> ltd. a british <unk> house estimated that the N world cocoa surplus would be N tons down from N tons for the previous year
 market technicians were encouraged by the price patterns which in the past have <unk> sharp rallies
 recent prices for cocoa have been near levels last seen in the mid-1970s
 at such prices according to mr. savaiko bargain hunting and <unk> buying back of contracts previously sold by speculators is n't uncommon
 but mr. savaiko expects <unk> producer selling at around the $ N to $ N level
 he also noted that a strong sterling market yesterday might have helped cocoa in new york as arbitragers took advantage of the currency move
 <unk> <unk> research analyst at shearson lehman hutton said the market pushed higher mainly in anticipation of a late harvest in the ivory coast a major cocoa producer
 rockwell international corp. bought out <unk> corp. 's interest in <unk> a joint venture of the two companies based in tokyo
 the price was N billion yen $ N million
 the agreement provides that <unk> corp. will remain a supplier to <unk> which makes printing <unk> for the newspaper industry
 the purchase was made by rockwell <unk> systems a chicago subsidiary of the el <unk> calif. concern
 <unk> which has about N employees is among the industry leaders in <unk> <unk> technology which reduces time and materials waste when preparing a press for printing
 the bond market which sometimes <unk> on bad news cheered yesterday 's stock market sell-off and perceptions that the economy is growing weaker
 early in the day bonds rose modestly on economists ' forecasts that this week 's slate of economic data will <unk> an economy headed for trouble
 such news is good for bonds because economic weakness sometimes causes the federal reserve to lower interest rates in an effort to stimulate the economy and <unk> off a recession
 for example today the department of commerce is scheduled to release the september durable goods report
 the consensus forecast of N economists surveyed by dow jones capital markets report is for a N N drop in september orders
 that would follow a N N advance in august
 bonds received a bigger boost later in the day when stock prices moved broadly lower
 the dow jones industrial average fell N points to N
 bond investors have been watching stocks closely said joel <unk> chief fixed-income analyst at technical data global markets group
 when you get a big sell-off in equities money starts to shift into bonds which are considered safer he said
 the treasury 's benchmark 30-year bond ended about N point higher or up about $ N for each $ N face amount while the yield slid to N N from N N friday
 municipals ended mixed while mortgage-backed and investment-grade corporate bonds rose
 prices of high-yield high-risk corporate securities ended unchanged
 in more evidence of the growing division between good and bad junk bonds a $ N million issue by imo industries inc. was snapped up by investors while underwriters for beatrice co. 's $ N million issue are considering restructuring the deal to attract buyers
 in the treasury market analysts expect bond prices to trade in narrow ranges this week as the market takes in positive and negative news
 on the negative side the market will be affected by constant supply in all sectors of the market said william m. <unk> economist at daiwa securities america inc
 on the other hand we have economic news that is expected to be relatively positive for the bond market
 we will go back and forth with a tilt toward slightly lower yields he said
 today the treasury will sell $ N billion of new two-year notes
 tomorrow resolution funding corp. a division of a new government agency created to bail out the nation 's troubled thrifts will hold its first bond auction at which it will sell $ N billion of 30-year bonds
 so far money managers and other bond buyers have n't shown much interest in the refcorp bonds
 analysts have mixed views about the two-year note auction
 while some say the auction should proceed smoothly others contend that yesterday 's sale of $ N billion of asset-backed securities by ford motor credit corp. may have <unk> some potential institutional buyers from the government 's note sale
 the division of auto maker ford motor co. made its debut in the asset-backed securities market with the second-largest issue in the market 's four-year history
 the company offered securities backed by automobile loans through an underwriting group headed by first boston corp
 the issue yields N N and carries a guarantee covering N N of the deal from the company
 first boston sweetened the terms from the original yield estimate in an apparent effort to place the huge offering
 the issue was offered at a yield nearly one percentage point above the yield on two-year treasurys
 the only asset-backed deal larger than ford 's was a $ N billion offering by general motors acceptance corp. in N
 treasury securities
 treasury bonds were N to N point higher yesterday in light trading
 the benchmark 30-year bond ended at a price of N N compared with N N friday
 the latest 10-year notes were quoted late at N N to yield N N compared with N N to yield N N
 the latest two-year notes were quoted late at N N to yield N N
 short-term rates rose yesterday at the government 's weekly treasury bill auction compared with the previous bill sale
 the treasury sold $ N billion of three-month bills with an average discount rate of N N the highest since the average of N N at the auction on oct. N
 the $ N billion of six-month treasury bills were sold with an average discount rate of N N the highest since the average of N N at the oct. N auction
 the rates were up from last week 's auction when they were N N and N N respectively
 here are auction details
 rates are determined by the difference between the purchase price and face value
 thus higher bidding narrows the investor 's return while lower bidding widens it
 the percentage rates are calculated on a <unk> year while the <unk> yield is based on a <unk> year
 both issues are dated oct. N
 the 13-week bills mature jan. N N and the 26-week bills mature april N N
 corporate issues
 investment-grade <unk> closed about N point higher in quiet trading
 in the junk bond market imo industries ' issue of 12-year debentures considered to be one of the market 's high-quality credits was priced at par to yield N N
 peter <unk> managing director at underwriter morgan stanley & co. said the issue was oversubscribed
 it 's a <unk> market and if you have a good strong credit people have an appetite for it he said
 morgan stanley is expected to price another junk bond deal $ N million of senior subordinated debentures by continental <unk> inc. next tuesday
 in light of the recent <unk> in the high-yield market junk bond analysts and traders expect other high-yield deals to be sweetened or restructured before they are offered to investors
 in the case of beatrice salomon brothers inc. is considering restructuring the reset mechanism on the $ N million portion of the offering
 under the originally contemplated terms of the offering the notes would have been reset annually at a fixed spread above treasurys
 under the new plan being considered the notes would reset annually at a rate to maintain a market value of N
 price talk calls for the reset notes to be priced at a yield of between N N N and N N N
 mortgage-backed securities
 activity in derivative markets was strong with four new real estate mortgage investment <unk> announced and talk of several more deals in today 's session
 the federal national mortgage association offered $ N billion of remic securities in three issues and the federal home loan mortgage corp. offered a $ N million remic backed by N N <unk> securities
 part of the reason for the heavy activity in derivative markets is that underwriters are <unk> mortgage securities being sold by thrifts
 traders said thrifts have stepped up their mortgage securities sales as the bond market has risen in the past two weeks
 in the mortgage <unk> sector active issues rose but trailed gains in the treasury market
 government national mortgage association N N securities for november delivery were quoted late yesterday at N N up N and freddie mac N N securities were at N N up N
 the ginnie mae N N issue was yielding N N to a 12-year average life assumption as the spread above the treasury 10-year note widened slightly to N percentage points
 municipals
 a $ N million san antonio texas electric and gas system revenue bond issue dominated the new issue sector
 the refunding issue which had been in the wings for two months was one of the chief offerings <unk> the market and limiting price appreciation
 but <unk> that <unk> failed to stimulate much activity in the secondary market where prices were off N to up N point
 an official with lead underwriter first boston said orders for the san antonio bonds were on the slow side
 he attributed that to the issue 's aggressive pricing and large size as well as the general <unk> in the municipal marketplace
 in addition he noted the issue would normally be the type purchased by property and casualty insurers but recent disasters such as hurricane hugo and the northern california earthquake have stretched insurers ' resources and <unk> their demand for bonds
 a $ N million maryland stadium authority sports facilities lease revenue bond issue appeared to be off to a good start
 the issue was oversubscribed and doing very well according to an official with lead underwriter morgan stanley
 activity <unk> in the new york city bond market where heavy investor selling last week drove yields on the issuer 's full faith and credit backed bonds up as much as N percentage point
 foreign bonds
 japanese government bonds ended lower after the dollar rose modestly against the yen
 the turnaround in the dollar fueled bearish sentiment about japan 's bond market
 the benchmark no. N N N bond due N ended on brokers ' screens at a price of N off N
 the yield rose to N N
 west german bond prices ended lower after a day of <unk> trading
 the benchmark N N bond due october N fell N point to N to yield N N while the N N N notes due july N fell N to N to yield N N
 british government bonds ended slightly higher in quiet trading as investors looked ahead to today 's british trade report
 the benchmark N N N treasury bond due N rose N to N N to yield N N while the N N issue of N rose N to N N to yield N N
 the <unk> 's done gone from the hook
 damn
 my language sure goes to pot down here on the coast
 the <unk> <unk> guide with the <unk> cap <unk> his face in <unk> <unk>
 i got to get back to school and <unk> out my english
 he has two more years at texas <unk>
 right now he takes people out to fish in the <unk> behind the barrier islands that curve for hundreds of miles along the eastern coast of texas <unk> <unk> green <unk> behind <unk> of sand and <unk> <unk> that <unk> the deep blue of the gulf beyond
 there have been three days of hot <unk> rain and now with the first sun we are after <unk> <unk> which with <unk> provides most of the game fishing <unk>
 the little radio <unk> as other <unk> want to see if we have found any fish <unk> location is everything in this sport
 negative answers <unk> back
 the fish often are <unk> around the <unk> of the old gas wells that <unk> the flat surface like the remains of <unk> ships
 we go from one to the other
 the sun is hot now though it 's only N in the morning
 the great silver clouds on the horizon build themselves on the pale water
 we cruise toward another set of <unk>
 the guide <unk> into a <unk> and puts a <unk> <unk> <unk> on the hook
 then he <unk> out
 just wait for that <unk> that <unk>
 it comes real <unk> before it pulls
 do n't forget <unk> have very soft <unk>
 the radio <unk> again
 <unk> one or two says the guide <unk>
 you can tell they 've got <unk>
 a pair of black <unk> <unk> past close to the surface
 soon we have our limit of the <unk> fish <unk> in <unk> and black
 and we are the first back at the <unk> where the great blue <unk> stand waiting by the cleaning <unk>
 the guide is young and he knows this business but he wants a different life after college such as working for ibm and wearing a <unk>
 this must be the last big stretch of the american <unk> that is undeveloped
 there are a few <unk> fishing towns with quiet <unk> of resort houses nearby
 people are not apt to be <unk> about the place or themselves
 texas is big and beautiful and they live here that 's all
 <unk> out just to the north of us is the <unk> peninsula after the oak not the game which forms the core of the <unk> wildlife refuge
 it is famous as the winter home of the whooping crane that symbol of the destruction of wild america
 last year a <unk> shot a <unk> by mistake thinking that it was a snow <unk>
 he paid an <unk> fine and was lucky according to a local <unk> to escape the gas chamber
 the peninsula comes off the vast <unk> <unk> plain with fields of rice and cotton and <unk> as far as the eye can see
 near the coast there are <unk> <unk> of live oak <unk> with <unk> and <unk>
 <unk> wild <unk> <unk> and <unk> are the <unk> <unk> and the birds are <unk> especially the <unk> and the <unk>
 above the <unk> of <unk> and <unk> <unk> the <unk> and golden <unk> <unk> <unk> on its <unk> <unk>
 inland a few miles from the refuge there is a place called <unk> with a white church a gas station and a grocery the houses relatively close together for such a settlement in these parts
 <unk> motel i read a sign in the usual <unk> of the name as we <unk> through
 here in south texas we say <unk> my host gently <unk>
 mr. king is the director of the foreign press center in new york
 <unk> ag and siemens ag said they will launch their previously announced joint venture for power semiconductors in january
 the two west german electronics concerns said they have set up european power semiconductor co. to merge their activities in the field
 <unk> and siemens each will hold a N N stake in the venture
 the joint venture will have nominal capital of N million marks $ N million and N employees
 it will develop produce and market <unk> electronic parts
 siemens is west germany 's largest electronics group
 <unk> is N N owned by daimler-benz ag the country 's biggest industrial concern
 <unk> corp. said its third-quarter net income fell N N to $ N million or N cents a share from $ N million or $ N a share a year earlier
 sales dropped N N to $ N billion from $ N billion
 the company which supplies <unk> and other <unk> parts to auto makers said about half the earnings drop came from the <unk> collapse of the <unk> auto industry
 the <unk> currency plummeted this year making it difficult for auto makers there to afford imported parts
 <unk> also said it was hurt by <unk> u.s. truck sales and by a strike at a parts supplier
 the company based in toledo ohio had said it expected reduced third-quarter profit
 mary anne <unk> an analyst at <unk> investors in new york said automotive suppliers were reporting lower profit almost across the board
 <unk> j. <unk> <unk> 's president said the company 's decision to approve its normal fourth-quarter dividend indicated its underlying strength
 <unk> <unk> president of japan 's mazda motor corp. said the japanese car maker is planning joint production with ford motor co. in europe ahead of the european community 's N integration
 mr. <unk> did n't disclose further details of the arrangement at a news conference but said the project would be undertaken with ford 's european subsidiary
 a ford official confirmed in tokyo that the u.s. motor vehicle maker is studying such an arrangement
 at age eight <unk> baker was sent by her mother to a white woman 's house to do chores in exchange for meals and a place to sleep a place in the <unk> with the coal
 at age N she was a paris <unk> transformed from unwanted child to international sex symbol in just over a decade
 it is the stuff of dreams but also of <unk>
 only the <unk> spirits survive such roller <unk>
 and for ms. baker the ride was far from over
 her <unk> <unk> her <unk> her voice her beauty and perhaps most <unk> her <unk> were prominent <unk> but <unk> of a rare sort made her remarkable life possible
 <unk> another american black woman who found a measure of fame in paris said i do n't think i 've ever known anyone with a less complicated view of life or whose life was more complicated than <unk> 's
 men were a constant <unk>
 baker had lots of them
 but she did n't trust them and did n't reward trust
 as she saw one key love affair the problem was n't her <unk> it was his <unk>
 her appetite for children also was large
 she adopted N of <unk> races naming them the rainbow tribe and driving her husband first to <unk> and then to argentina
 she made money but spent more
 friends pitched in
 finally prince <unk> and <unk> grace saved her with the offer of a house in <unk>
 another <unk> <unk> as <unk> rose makes clear in jazz <unk> <unk> baker in her time <unk> N pages $ N was <unk>
 baker had the good luck to arrive in N paris where blacks had become exotic
 african art was in <unk> and some intellectuals were writing <unk> of a <unk> age to be inspired by blacks
 to be exotic was to be <unk> as well as <unk> but for the most part paris was a friendly island in a <unk> world
 baker had bitter experience of <unk> from her st. louis <unk> and her days in new york theater where she was <unk> too dark for an <unk> chorus line performing of course for <unk> audiences
 paris loved her at first sight
 she just <unk> her <unk> and all the french fell in love with her <unk> the literary world 's maria <unk> not entirely <unk>
 one can hardly <unk> the importance of her rear end ms. rose writes
 ms. rose who teaches literature at <unk> university quickly proceeds to <unk> claiming that baker 's <unk> had uncovered a new region for desire and thereby ignoring centuries of <unk> to the <unk>
 jazz <unk> contains other more important false notes that undermine what is for the most part a <unk> account of a life already familiar from earlier works
 it is easy to see why baker a free spirit who broke many of the restraints convention places on women attracts ms. rose the author of parallel lives a wonderful study of <unk> marriage
 still even the title raises questions about the author 's vision of her subject
 baker 's art was jazz only by the <unk> stretch of the term
 to find parallels other than sexual appeal with <unk> requires an equal stretch
 baker was N years old when she died in paris two days after the <unk> opening of her newest show a <unk> ending to what was a <unk> life
 in fact ms. baker played scenes in <unk> that could have made it into <unk>
 during world war ii her <unk> view of life led her to the conclusion that the <unk> were evil and must be resisted a decision made by only about N N of french citizens
 she was devoted to charles de <unk> 's cause accepting great financial sacrifice and considerable risk to become first a spy and then a <unk> <unk> tour for the forces of free france
 in <unk> bogart 's <unk> victor <unk> leads free french <unk> in la <unk> to <unk> out the <unk>
 the night the germans occupied all of france baker performed in <unk>
 the free french wore black arm <unk> and when she sang <unk> <unk> <unk> they <unk>
 ms. rose is best on the early years and world war ii
 in her introduction ms. rose writes that she feels she has much in common with baker but as jazz <unk> goes on it seems more rushed as though the author were growing less interested
 it does n't help that sometimes ms. rose 's language fails to deliver the effect she appears to want
 one chapter opens world war ii was not one of france 's <unk> moments
 elsewhere in an attempt to explain without <unk> it <unk> that baker had a large <unk> following later in her career when she was an <unk> singer rather than <unk> <unk> ms. rose writes she was a female <unk> who happened to be a woman
 one devoted fan who fell under baker 's <unk> in N and began collecting baker <unk> was <unk> hammond
 in <unk> baker jonathan <unk> N pages $ N which was published in britain last year and distributed in the u.s. this month mr. hammond has used his collection to produce an <unk> of photographs and drawings of the star
 the text by patrick <unk> is a tough read but the pictures make her <unk> clear and help explain why ernest <unk> called baker the most <unk> woman anybody ever saw
 or ever will
 mr. <unk> is foreign editor of the journal
 manville having rid itself of asbestos now sells <unk> forest products minerals and industrial goods
 <unk> stuff it 's not
 but manville 's ownership is unusual and it has caught the eye of some <unk> and patient investors
 the <unk> concern which emerged from bankruptcy-law proceedings late last year is controlled by the manville personal injury settlement trust
 the trust which owns N N of manville 's stock on a fully diluted basis is a separate legal entity that is settling claims with asbestos victims
 when and if the trust runs out of cash which seems increasingly likely it will need to convert its manville stock to cash
 but as an N N owner if it tried to sell much of its stock in the market it would likely depress the price of its shares
 some investors say there is a good chance that the trust will instead seek to convert the company 's shares to cash in some sort of friendly restructuring that would n't involve just <unk> stock on the market
 their principal asset is manville common stock says jeffrey <unk> who runs <unk> associates an investment fund that owns manville shares
 if they tried to sell they 'd be chasing their own <unk>
 what makes the most sense is to find someone who wants to buy the whole company or cause a recapitalization of all shares
 the trust is n't commenting on when it might need to <unk> its manville stock
 however the trust 's cash flow from investments is far short of its payments to asbestos victims
 its cash and liquid securities fell by $ N million in the first six months of N
 the trust also will receive $ N million a year starting in N on a bond it holds from manville
 and beginning in N it will have a claim on as much as N N of manville 's annual net income
 even so the trust would seem to be facing a cash crunch
 as of june N it had settled only about N of the N received claims from asbestos victims for an average of $ N each
 the average should drop over time since the most expensive claims are being settled first
 and as of midyear settled but unpaid claims amounted to $ N million more than half the trust 's total of $ N million in cash and <unk> securities
 at some point we 're going to need an <unk> of funds a person close to the trust says
 even before then the trust may be eager to unload manville stock
 it does n't pay a dividend and this trust needs income
 moreover with N N of its assets tied up in manville the trust is badly in need of diversification
 obviously a diversified portfolio would have less risk the person close to the trust says
 manville itself does n't rule out a restructuring
 though the ink is barely dry on its new <unk> law structure bill bullock manville 's head of investor relations says the company is continually <unk> whether there is a better way to be structured
 we understand that the trust is ultimately going to need to sell some of our shares he says
 of course one option would be for manville to buy out the trust 's shares which would do little to benefit public stockholders
 but the trust in most cases is <unk> from seeking a buyer for only its shares before november N
 and both the trust and manville are seeking to avoid the bad publicity that in the asbestos era <unk> the manville name
 thus analysts say the trust is unlikely to do anything that would hurt manville 's other shareholders
 this is a rare case of a company with a big majority holder which will probably act in the interests of the minority holders one investor says
 even if there is no restructuring manville seems to be attractive long-term
 its stock at N N trades at about N N times estimated N earnings an <unk> low multiple for a company with <unk> customers
 mr. bullock says N N of revenues are tied to construction
 analysts predict little or no near-term growth
 they are nonetheless high on manville 's management
 it 's one of the best in the business says salomon brothers analyst stephen <unk>
 and he says manville has the financial flexibility to buy other companies at the best possible moment when other <unk> firms are hurting and selling cheap
 with a conservative <unk> ratio of <unk> and $ N million in cash manville is indeed actively on the <unk>
 so far as a <unk> <unk> manville has n't bought much
 paul <unk> an analyst at duff & phelps says even though they have borrowing power they have been disciplined about acquisitions
 and mr. <unk> says that with N N of its stock in friendly hands manville is the rare publicly traded company that can ignore short-term stock fluctuations and plan for the long haul
 manville nyse symbol <unk>
 business forest products and <unk>
 year ended dec. N N sales $ N billions net loss $ N billion \*
 third quarter sept. N N per-share earnings N cents vs. N cents \*\*
 average daily trading volume N shares
 common shares outstanding N million
 \* includes $ N billion extraordinary charge
 \*\* year ago figure is restated
 emerson electric co. and robert <unk> <unk> said the federal trade commission has requested additional information from the two companies about their announced intention to acquire vermont american corp. for $ N a share or about $ N million
 yesterday in composite trading on the american stock exchange vermont american common closed at $ N off N cents
 the ftc 's request was not unusual and emerson will make a full and prompt response according to a spokesman
 spokesmen for emerson and vermont american which has agreed to be acquired said they do n't anticipate any problems with the completion of the transaction
 an ftc spokesman said the matter is in a <unk> posture at this time and declined to comment further
 emerson and <unk> through their joint acquisition arm <unk> acquisition have begun a cash tender offer for all of vermont 's common shares outstanding
 the offer set to expire nov. N may be extended pending the timing and resolution of the ftc request the companies said
 st. <unk> emerson and <unk> <unk> make electrical and electronic products including power tools
 the vermont american acquisition is designed to enhance their position in the accessories portion of the <unk> industry
 santa fe pacific corp. is preparing a plan to sell a N N stake in its large real estate unit to a california public employee pension fund for $ N million after which it would spin off the realty operation to shareholders
 the plan places an indicated value on the real estate operation santa fe pacific realty corp. of $ N billion
 santa fe pacific directors are expected to review the plan at a meeting today according to people familiar with the transaction
 if approved the sale is expected to close by year 's end with the spinoff <unk> by the end of N
 in composite trading on the new york stock exchange yesterday santa fe pacific closed at $ N down N cents
 santa fe pacific realty is a major california land and building owner whose prime properties include N undeveloped acres in the san francisco bay area and several office sites
 a spokesman said the properties survived without significant damage in last week 's northern california earthquake
 as a result of the partial sale and spinoff the $ N billion california public employees retirement system would obtain two seats on the board of the real estate operation according to officials of the fund who described the plan
 a spokesman for chicago-based santa fe pacific confirmed that negotiations were being held with the fund
 also holding two seats each on the board they said would be olympia & york developments ltd. controlled by the <unk> family of canada and itel corp. controlled by chicago businessman sam <unk>
 the <unk> and mr. <unk> the largest holders of santa fe pacific stock have been looking for ways to raise the value of their investments including possible <unk>
 itel bought a N N stake in <unk> fe pacific last year and olympia & york later purchased about a N N stake they would have interests in the new realty company in line with their holdings in <unk> fe pacific
 the sale and spinoff of the real estate unit is the first phase of what could lead to the breakup of santa fe pacific into <unk> companies for its railroad and energy operations as well as real estate
 the <unk> parent has been under pressure from large shareholders to boost the company 's share price
 at the same time it has been caught in an earnings squeeze
 the california pension fund 's planned investment in the real estate unit is unusual
 pension funds rarely own as much as a N N stake in what is expected to be a publicly traded company
 in addition pension funds are rarely given seats on company boards and most often try to avoid them because of legal concerns
 but fund officials said the santa fe pacific realty investment provides an opportunity to buy a stake in a large real estate portfolio heavily weighted with california properties
 it also marks a major commitment to real estate development which we have n't been involved with before said dale hanson the fund 's executive director
 under the proposed plan the fund would also lend santa fe pacific realty $ N million in the form of a note that would be convertible into additional shares of the realty company after the second year at the <unk> market price
 the note would <unk> interest at the rate of N N a year which would be payable to the fund after five years according to stephen e. <unk> a real estate consultant working for the fund
 the purpose of the note is to provide added capital for the <unk> company in a form that will save it spending cash on immediate interest payments mr. <unk> said
 the <unk> concern clearly will be one of the dominant real estate development companies with a prime portfolio he said
 for the last year santa fe pacific has <unk> its real estate operations toward longer-term development of its properties hurting profits that the parent had generated in the past from periodic sales from its portfolio
 real estate operating income for the first nine months fell to $ N million from $ N million a year earlier the company said
 in a statement late yesterday santa fe pacific 's chairman robert d. <unk> said that santa fe pacific realty would repay more than $ N million in debt owed to the parent before the planned spinoff
 that would help reduce santa fe pacific 's remaining debt to about $ N million from a high of $ N billion in early N
 it was n't clear where santa fe pacific expected to obtain the payment of more than $ N million which would be well above the $ N million that california pension fund officials say they plan to provide
 the realty unit might take on new debt or obtain additional investors among other possibilities
 the santa fe pacific spokesman declined to comment on that aspect saying the deal was still under negotiation
 santa fe pacific realty owns N million acres of property including N buildings with more than N million square feet of space
 it also holds nearly N acres of raw land with development potential but under a previously announced strategy the company has targeted building on N acres in california arizona and the chicago area
 among those are the N acres in the san francisco bay area including N acres in the mission bay area
 the california pension fund which has $ N billion already invested in real estate and mortgages could be a valuable funding source for that development although it is n't obliged to make further investments
 the fund is the nation 's largest public employee fund and it has a growing cash flow now <unk> $ N billion a year
 fund officials negotiated the final structure of the proposed deal with santa fe pacific but they were approached with the idea by real estate brokers <unk> realty corp. of chicago
 <unk> officials are expected to be hired to represent the pension fund on the santa fe pacific realty board mr. <unk> said to <unk> the fund from potential liability problems
 gaf part iii is scheduled to begin today
 after two <unk> the stakes in the stock manipulation trial of gaf corp. and its vice chairman james t. sherwin have changed considerably
 the first two gaf trials were watched closely on wall street because they were considered to be important tests of the government 's ability to convince a jury of allegations stemming from its insider-trading investigations
 in an <unk> indictment the government charged gaf a wayne n.j. chemical maker and mr. sherwin with illegally attempting to manipulate the common stock of union carbide corp. in advance of gaf 's planned sale of a large block of the stock in N
 the government 's credibility in the gaf case depended heavily on its star witness boyd l. jefferies the former los angeles brokerage chief who was <unk> by former <unk> ivan boesky and then pointed the finger at mr. sherwin takeover <unk> <unk> b. lewis and corporate raider paul <unk>
 the gaf trials were viewed as <unk> of the government 's strength in its cases against mr. lewis and mr. <unk>
 mr. jefferies 's performance as a witness was expected to affect his sentencing
 but gaf 's bellwether role was short-lived
 the first gaf trial ended in a <unk> after four weeks when u.s. district judge mary johnson lowe found that a prosecutor improperly but <unk> withheld a document
 after N hours of <unk> the jurors in the second trial said they were <unk> <unk> and another <unk> was declared on march N
 meanwhile a federal jury found mr. <unk> guilty on securities fraud and other charges in june
 a month later mr. jefferies was <unk> a jail term by a federal judge who praised him for helping the government
 in august mr. lewis pleaded guilty to three felony counts
 nevertheless the stakes are still high for the players directly involved in the gaf case
 the <unk> have left the <unk> of gaf mr. sherwin and gaf chairman samuel <unk> in limbo
 for mr. sherwin a conviction could carry penalties of five years in prison and a $ N fine on each count
 gaf faces potential fines of $ N for each count
 individuals familiar with the case said that throughout september defense attorneys were talking with the government in an effort to prevent a trial but by the end of the month the talks had ended
 there is much speculation among attorneys not involved that the strategy of gaf 's attorney arthur <unk> and mr. sherwin 's counsel stephen <unk> will include testimony by mr. sherwin or mr. <unk>
 neither testified at the previous trials
 for now defense attorneys are <unk> about their plans
 max <unk> another gaf defense attorney said yesterday as we go in for the third time <unk> <unk> 's famous line is apt it 's <unk> <unk> all over again
 dalkon shield claimants hope to stop <unk> appeal
 attorneys for more than N women who claim injuries from the dalkon shield contraceptive device have asked the u.s. supreme court to refuse to hear an appeal of the bankruptcy-law reorganization plan for <unk> robins co. which manufactured the device
 the dispute pits two groups of claimants against each other
 baltimore attorney michael a. <unk> and N other attorneys representing N claimants in the u.s. and abroad argue that the appeal would delay and perhaps even destroy a $ N billion settlement fund that is the centerpiece of the reorganization plan
 the bankruptcy-court reorganization is being challenged before the supreme court by a dissident group of claimants because it places a cap on the total amount of money available to settle claims
 it also bars future suits against robins company officials members of the robins family and robins 's former insurer aetna life & casualty co
 the latter provision is legally unprecedented said alan b. morrison a public interest lawyer in washington d.c. who is challenging the plan on behalf of N claimants
 more than N claims against robins are pending
 the company made and marketed the dalkon shield in the early 1970s amid mounting evidence that it could cause serious injuries
 robins has been in proceedings under chapter N of the u.s. bankruptcy code since august N such proceedings give it protection from creditor lawsuits while it works out a plan for paying its debts
 american home products corp. wants to acquire robins but only if all legal challenges to the plan are exhausted
 in a brief filed with the supreme court last week mr. <unk> <unk> the appeal for raising <unk> and theoretical legal issues while <unk> the proposed reorganization and the settlement payments to claimants
 the supreme court is scheduled to consider the case nov. N and may issue a decision as early as nov. N
 jury 's criminal conviction under superfund law is a first
 charles a. <unk> sole <unk> of a louisville ky. <unk> company was found guilty of violating the superfund law as well as the clean air act
 criminal convictions under the federal superfund law are rare and the decision is the first jury verdict in such a case
 under superfund those who owned generated or <unk> hazardous waste are liable for its cleanup regardless of whether their actions were legal at the time
 environmental lawyers say virtually all of the superfund cases to date have involved civil penalties designed to insure cleanup of past <unk> activities
 but superfund also contains a criminal provision concerning the release of toxic <unk> into the environment
 in N congress strengthened the penalty by making it a felony
 mr. <unk> was convicted in louisville late last month of violating superfund by failing to report the release of asbestos into the environment from a building he was <unk>
 he was also convicted of failing to properly remove asbestos from the building a violation of the clean air act
 the government sought a criminal penalty because no cleanup is possible here
 once asbestos is released into the environment it can <unk> anywhere says richard a. dennis the assistant u.s. attorney who prosecuted the case
 mr. <unk> is scheduled to be sentenced dec. N
 his lawyer could not be reached for comment
 mr. <unk> faces as much as three years in prison and a $ N fine for the superfund conviction and as much as one year in prison and a $ N fine for the violation of the clean air act
 ted <unk> lawyers switch to victims ' side in <unk> case
 <unk> cutler & <unk> the washington d.c. law firm that spent over $ N million fighting the execution of <unk> ted <unk> who eventually was executed has taken on another death penalty case before the supreme court this time on the side of the family of four murder victims in arkansas
 the law firm has filed a <unk> brief jointly with the washington legal foundation a conservative legal group
 the key issue in the case which the law firm is handling without a fee or pro bono is whether a person sentenced to death can voluntarily waive his rights of appellate review
 the <unk> ronald gene simmons was convicted of killing N people
 another <unk> on death row has appealed mr. simmons 's death sentence in a next friend capacity
 <unk> cutler 's brief argues that there is no mandatory appellate review of capital sentences and that the <unk> who filed the appeal lacks proper standing
 <unk> mode <unk> cutler 's managing partner says the trial team that represented mr. <unk> was asked by the firm 's pro bono committee whether the new case posed a conflict and that no objections were raised
 the <unk> of the law firm and the washington legal foundation is odd also because <unk> cutler was one of the firms singled out for criticism two years ago by the conservative legal group for <unk> a liberal bias in its pro bono work
 we give them a lot of credit for taking this case says <unk> 's alan <unk>
 the case of the fake <unk>
 in federal court in manhattan three defendants pleaded guilty to charges of fraud in connection with the sale of fake salvador <unk> <unk>
 james burke and larry evans formerly owners of the <unk> <unk> gallery and <unk> clark a <unk> sales representative were charged with conducting <unk> telephone sales in which they <unk> cheap copies of <unk> <unk> as signed <unk> <unk>
 the <unk> were sold for $ N to $ N although the government says they had a value of only $ N to $ N apiece
 henry <unk> the assistant u.s. attorney handling the case said about N customers were <unk> and that <unk> 's total proceeds from the sales were $ N million
 attorneys for messrs. burke and evans and ms. <unk> said that although their clients admitted to making some <unk> in the sales they had believed that the works were authorized by mr. <unk> who died in january
 the <unk> were printed on paper <unk> by mr. <unk> the attorneys said
 <unk> <unk> said richard w. decker resigned as president and chief executive officer after only a year on the job because of differences with the board
 the banking company could n't be reached to comment beyond a written announcement
 it did n't specify the nature of the differences saying only that they related to management style and strategic objectives
 <unk> said mr. decker 's posts were assumed by david <unk> <unk> 's chairman who at N years of age becomes one of the youngest chief executives of a sizable bank in the country
 mr. decker is about N years old
 neither mr. <unk> nor mr. decker could be reached to comment
 <unk> has about $ N billion of assets and is the largest independent bank in northern california
 it controls about N N of the affluent <unk> county market across the golden gate bridge from san francisco
 mr. decker 's resignation surprised many industry officials
 he was brought to the company in september N after N years at los angeles-based first interstate bancorp
 the bank had been suffering in late N from a slew of bad real estate loans made in arizona
 when he was hired mr. <unk> <unk> mr. decker 's extraordinary skills and his outstanding reputation as one of the west 's <unk> bankers
 though the bank is n't performing as well as some of its competitors in the lucrative california market its condition has improved since mr. decker took over
 for the six months ended june N it earned $ N million or N cents a share compared with net income of $ N million or N cents a share a year earlier
 its stock also has risen lately at least partly because it is considered a possible takeover candidate
 interstate banking is scheduled to begin in california in N and larger california banks such as wells fargo & co. have been paying fat premiums to buy smaller banks to control markets before any <unk> banks enter the fray
 in american stock exchange composite trading yesterday <unk> closed at $ N a share down N cents
 <unk> associates inc. palo alto calif. reported fiscal fourth-quarter profit plunged more than N N to $ N million or five cents a share from $ N million or $ N a share in the year-earlier quarter
 the diversified electronics company blamed the decline in the quarter ended sept. N on previously reported operating problems in its <unk> devices & systems group
 for the full fiscal year <unk> posted a N N profit rise to $ N million or $ N a share up from $ N million or $ N a share last year
 sales for the year rose almost N N to $ N billion from $ N billion last year
 a profit last year in both the quarter and year included a net gain of $ N million or N cents a share from the sale of a division
 additionally the full-year profit last year reflected an after-tax restructuring charge of $ N million or $ N a share
 shares of <unk> which last month warned there would be a fourth-quarter plunge closed at $ N down N cents in composite trading on the new york stock exchange
 sales rose N N in the fiscal fourth quarter to $ N million from $ N million on the strength in semiconductors and other products
 in a <unk> effort to keep its sales force and customer base integrated resources inc. said it agreed in principle to transfer ownership of its broker-dealer subsidiary to two of its top executives
 the financial-services firm struggling since summer to avoid a bankruptcy-law filing after missing interest payments on about $ N billion of debt will retain the right to regain the subsidiary
 it said it will exercise that right only if it sells substantially all of its other core businesses
 it also can sell the right to regain the subsidiary to another party
 also the broker-dealer subsidiary integrated resources equity corp. was renamed royal alliance associates inc
 because of integrated 's widely reported troubles the unit 's representatives had been <unk> a name change
 royal alliance to which the N representatives ' licenses will be transferred is a shell company integrated owns
 in the transaction integrated will transfer N N ownership of the subsidiary to gerard m. <unk> executive vice president of integrated and head of <unk> operations at the subsidiary and gary w. <unk> executive vice president of the parent and president of the subsidiary
 integrated will pump $ N million to $ N million into royal alliance as initial funding
 in an interview mr. <unk> said that based on criteria yet to be determined he expects to distribute N N of royal alliance to the representatives who sell integrated 's insurance and mutual-fund products
 if integrated <unk> royal alliance the representatives will retain their N N ownership
 mr. <unk> indicated that completion of the transaction could take several weeks and it was n't immediately clear what would happen to the broker-dealer subsidiary if integrated files for bankruptcy-law protection in the meantime
 the subsidiary is n't expected to be profitable for at least one year
 if integrated <unk> the unit it would receive any profit the unit reports even while the unit is independent
 if the deal closes the two officers will draw salaries from the independent operation not from integrated
 many aspects of the agreement were worked out wednesday in chicago when integrated senior managers met with about N representatives
 i think it was something that we and they thought was <unk> said stephen d. <unk> chairman and co-chief executive officer of integrated
 integrated made its announcement after the market closed
 in new york stock exchange composite trading integrated shares closed at $ N up N cents
 the dollar weakened in <unk> trading as foreign-exchange dealers <unk> fresh economic news that they hope will jolt the u.s. unit out of its narrow ranges
 the canadian dollar climbed to its highest level against the u.s. dollar since late august prompting the bank of canada to sell the canadian currency on the market
 traders say that after a week of nervously tracking every development on wall street the foreign-exchange market has settled back to catch its breath ahead of new u.s. economic data
 they noted however that a <unk> drop in the dow jones industrial average gave the dollar a sharp <unk> downward late in the day
 in late new york trading yesterday the dollar was quoted at N marks down from N marks late friday and at N yen down from N yen late friday
 sterling was quoted at $ N up from $ N late friday
 in tokyo tuesday the u.s. currency opened for trading at N yen down from monday 's tokyo close of N yen
 the market 's attention is especially focused on a preliminary report on the u.s. third-quarter gross national product due out thursday which could show the economy is continuing to expand at a relatively brisk pace
 the consensus view on real gnp the total value of the u.s. output of goods and services adjusted for inflation calls for a N N gain on an annual basis slowing somewhat from the second quarter 's N N but still fairly strong
 few market participants expect the u.s. unit to rally sharply on the news if it turns out as expected
 many contend that the report may <unk> the economy 's health and predict the third-quarter figures may be the last vigorous statistics for some time to come
 everyone is waiting for gnp says walter simon an assistant treasurer with bank <unk> <unk> & co
 yet even a relatively strong number N N to N N wo n't alter the market 's view that the economy is softening
 <unk> <unk> managing director of foreign exchange at credit suisse in new york adds the market sees this as the last piece of good news
 mr. <unk> notes that the gnp deflator a measure of inflation is expected to slow which would give the federal reserve more room to ease key u.s. rates
 analysts predict a N N rise in the deflator after climbing N N in the second quarter
 they note that when an unexpectedly sharp widening in the u.s. trade gap in august was reported earlier this month hopes for a sustained narrowing of the trade deficit were dashed and sentiment <unk> the market that the u.s. economy was losing its momentum
 a 190-point plunge in u.s. stock shares compounded the view they say
 everyone is extremely convinced the economy is slowing says one senior new york dealer
 if we 're not headed for a recession we 're certainly headed for a major slowdown
 while the market expects little reaction from news of u.s. durable goods orders scheduled for release today participants note that the figures will probably serve to reinforce this bearish sentiment
 u.s. durable goods orders are expected to show a decline of N N in september according to economists
 the anticipated drop follows a N N rise in august
 traders however are quick to point out that while there is little enthusiasm for buying dollars the u.s. unit has found a natural bottom at about N marks and N yen
 its resilience around these levels is pegged to persistent investor demand for the <unk> especially in japan
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce down N cents
 estimated volume was a very light one million ounces
 in early trading in hong kong tuesday gold was quoted at $ N an ounce
 <unk> <unk> inc. new york said its third-quarter net income jumped N N citing continued strength in apparel sales and the start of shipments of its new product lines a men 's <unk> <unk> women 's apparel and casual <unk>
 the big apparel maker and retailer said that its net income in the latest quarter increased to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales in the quarter gained N N to $ N million from $ N million a year earlier
 <unk> shares closed yesterday at $ N up N cents in national over-the-counter trading
 <unk> 's directors also declared its regular cash dividend payment of five cents a share payable on dec. N to shareholders of record at the close of business on nov. N
 for the nine months net income rose N N to $ N million or $ N a share from $ N million or N cents a share a year earlier
 sales gained N N to $ N billion from $ N million
 tokyo stocks closed firmer monday with the nikkei index making its fifth consecutive daily gain
 stocks also rose in london while the frankfurt market was mixed
 in tokyo the nikkei index added N to N
 the index moved above N at midmorning nearly reaching the record of N set sept. N
 but the market lost part of the early gains on <unk> investment trust fund selling
 in early trading in tokyo tuesday the nikkei index rose N points to N
 on monday traders noted that some investors took profits against the backdrop of the nikkei 's <unk> recovery following its plunge last monday in reaction to the oct. N drop in new york stock prices
 but overall buying interest remained strong through monday with many observers saying they expect the nikkei to continue with moderate gains this week
 turnover remained relatively small
 volume on the first section was estimated at N million shares down from N billion shares friday
 the tokyo stock price index of first section issues was up N at N
 relatively stable foreign currency dealings monday were viewed <unk> by market players traders said
 but institutional investors may wait a little longer to <unk> the direction of the u.s. monetary policy and the dollar traders said
 <unk> <unk> general manager of the stock department at <unk> securities said monday 's trading was <unk>
 he said investors were picking individual stocks based on specific incentives and the likelihood of a wider price increase over the short term
 the selective approach <unk> themes such as <unk> issues <unk> issues or high-technology shares which had been providing at least some trading direction over the past few weeks mr. <unk> said
 investors took profits on major construction shares which advanced last week shifting their attention to some <unk> companies such as <unk> corp. <unk> and <unk>
 <unk> gained N yen to N yen $ N
 some pharmaceutical shares were popular on rumors related to new products to be introduced at a cancer conference that opened in <unk>
 <unk> was up N at N and <unk> <unk> gained N to N
 <unk> advanced N to N
 fujisawa continued to attract investors because of strong earning prospects stemming from a new immune control agent
 fujisawa gained N to N
 <unk> was up N to N receiving investor interest for its land property holdings near tokyo a trader said
 london prices closed modestly higher in the year 's <unk> turnover a condition that underscored a lack of conviction ahead of a u.k. balance of payments report tuesday
 limited volume ahead of the september trade data showed the market is nervous but dealers added that the day 's modest gains also signaled some support for london equities
 they pegged the support largely to anticipation that britain 's current account <unk> ca n't be much worse than the near record deficits seen in july and august
 it 's a case of the market being too high to buy and too afraid to sell a senior dealer with kleinwort benson securities said
 it 's better to wait
 the financial times 100-share index finished N points higher at N
 the 30-share index closed N points higher at N
 volume was N million shares beneath the year 's previous low of N million shares sept. N the session before the august trade figures were released
 analysts ' expectations suggest a september current account deficit of # N billion $ N billion compared with august 's # N billion deficit
 dealers however said forecasts are broadly <unk> with estimates ranging between # N billion and # N billion
 the range of expectations is so broad a dealer at another major u.k. brokerage firm said the deficit may have to be <unk> or above # N billion for it to have any impact on the market
 <unk> industries a british automotive and aerospace concern rose N pence to N pence after it said its pretax profit for the year rose N N
 share prices on the frankfurt stock exchange closed narrowly mixed in quiet dealings after recovering most of their early losses
 the dax index eased N point to end at N after falling N points early in the session
 brokers said the declines early in the day were partly caused by losses of the ruling <unk> union in <unk> elections in the state of <unk>
 the start of a <unk> conference by the ig metall metal worker union in berlin is drawing attention to the impending wage negotiations which could boost companies ' personnel costs next year they said
 but there was little selling pressure and even small orders at the lower levels <unk> to bring the market back to friday 's opening levels
 traders said the thin trading volume points to continued uncertainty by most investors following last monday 's record N N loss
 the market is still N N short of its level before the plunge and analysts are n't sure how long it will take until the dax has closed that gap
 but <unk> <unk> chief trader at <unk> <unk> <unk> <unk> said he expects share prices to move upward in the coming weeks
 banking stocks were the major gainers monday amid hope that interest rates have peaked as deutsche bank and dresdner bank added N marks each to N marks $ N and N marks respectively
 commerzbank gained N to N
 auto shares were mixed as daimler-benz firmed N to N <unk> <unk> <unk> lost the same amount to N and <unk> inched down N to N
 elsewhere prices closed higher in amsterdam lower in zurich stockholm and milan mixed in brussels and unchanged in paris
 shares closed higher in hong kong singapore and manila and were lower in sydney seoul and taipei
 wellington was closed
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 enviropact inc. said it entered into an agreement in principle to sell its pump and tank division and drilling division to <unk> chemical services for $ N million
 the miami-based environmental engineering concern said <unk> chemical also will assume about $ N million in debt related to those divisions
 further <unk> will buy $ N million of enviropact common stock at $ N a share plus an option to acquire an additional $ N million of common at the same price the company said
 in american stock exchange composite trading yesterday enviropact closed at $ N a share up N cents
 enviropact said the two divisions account for about $ N million of the company 's $ N million in annual revenue
 the transaction is expected to close within about N days the company added
 enviropact said the proceeds will be used as working capital for expansion and to pay its existing tax liability of about $ N million that was due sept. N
 <unk> is a unit of <unk> transportation ltd. of burlington canada
 monday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 bankers trust new york corp. as expected reported a third-quarter loss of $ N billion or $ N a share following its $ N billion boost in reserves for losses on loans to less-developed countries
 the loss compares with net income of $ N million or $ N a share in the year-earlier period
 interest income rose N N to about $ N billion from $ N billion
 the new york bank holding company 's assets at sept. N climbed to $ N billion from $ N billion
 excluding the increase in loan-loss reserves bankers trust said third-quarter net income would have increased N N to $ N million
 a number of major banks have posted big losses after sharply increasing loan-loss reserves
 most of the loans in question are to third world countries in south america
 in new york stock exchange composite trading yesterday bankers trust fell N cents to $ N
 bristol-myers squibb co new york
 gerald c. <unk> N years old was named president of the <unk> division of this pharmaceuticals and health-care company
 he succeeds c. benjamin brooks jr. who will retire nov. N
 mr. brooks declined to give his age but he said his leaving is a normal retirement
 mr. <unk> had been executive vice president of the division since april
 <unk> which makes hair and skin products was a division of bristol-myers co. before that company 's merger with squibb corp
 annualized interest rates on certain investments as reported by the federal reserve board on a <unk> basis
 a discounted rate
 b week ended wednesday october N N and wednesday october N N
 c yields adjusted for constant maturity
 american telephone & telegraph co. said it will spend $ N million to build a factory in <unk> mexico to make telephone <unk> machines
 construction of the <unk> facility will begin next year with production expected to start in late N
 when fully operational the <unk> factory will employ about N workers and have annual operating expenses of $ N million to $ N million
 an at&t representative said that the <unk> factory will make a full line of <unk> machines
 at&t already has a factory in <unk> mexico to make electrical devices
 it also purchases data systems products from a manufacturer based in <unk>
 <unk> industries plc a british maker of industrial parts and systems reported a N N rise in pretax profit for the year to july N helped in particular by a N N jump in operating profit at its aerospace division
 pretax profit in the latest year climbed to # N million $ N million from # N million $ N million
 profit after taxes and minority interests but before extraordinary items climbed N N to # N million from # N million with earnings per share rising to N pence $ N from N pence $ N
 the results were at the upper end of market expectations which ranged from # N million to # N million
 tw services inc. posted a $ N million third-quarter net loss compared with a $ N million profit reflecting $ N million of expenses related to its <unk> proposed takeover by coniston partners
 the per-share loss for the <unk> n.j. <unk> concern totaled seven cents compared with earnings of N cents a share a year earlier
 revenue rose N N to $ N million from $ N million
 coniston a new york investment partnership <unk> a vote by tw 's shareholders scheduled for friday on coniston 's $ <unk> or $ N billion offer for tw
 nine-month net income dropped N N to $ N million or N cents a share from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 <unk> engine co. columbus ind. hurt by a drop in engine orders from <unk> makers reported a third-quarter loss of $ N million or $ N a share on essentially flat sales of $ N million
 in the year-earlier period the maker of diesel engines and parts had a narrower deficit of $ N million or $ N a share with sales of $ N million
 a spokeswoman said shipments of truck engines which provide a higher margin than most of the company 's other products declined N N from a year earlier
 although <unk> 's stock <unk> last month after the company projected a substantial <unk> loss the stock also fell $ N in composite new york stock exchange trading yesterday to $ N
 it traded as high as $ N a month ago before the loss projection
 for the nine months the latest loss trimmed net income to $ N million which after payment of preferred dividends represented a <unk> loss a common share
 the <unk> loss was $ N million or $ N a common share
 exxon corp. filed suit against the state of alaska charging state officials <unk> with the oil company 's initial efforts to treat last spring 's giant oil spill
 the action is a <unk> to a suit filed by alaska in august against exxon and six other oil companies
 the state 's suit alleges that exxon 's response to the spill failed to prevent <unk> of hundreds of miles of <unk> along prince william sound
 that suit and exxon 's <unk> were filed in a state court in <unk>
 neither suit lists specific dollar claims largely because damage assessment has n't yet been completed
 legal strategists say that damage claims against the oil giant and others could well exceed $ N billion
 litigation if not settled out of court could drag on for years
 exxon said in its suit that it will seek <unk> from the state for that part of the cleanup costs and damage claims it says resulted from the state 's conduct
 the oil company claims that alaskan officials prevented exxon from <unk> <unk> onto the almost N million gallons of oil dumped when one of its <unk> ran into an <unk> <unk>
 craig <unk> an alaska assistant attorney general said in an interview last night that exxon 's accusations are not new
 exxon has made them before at which point the state demonstrated they were <unk>
 the state will vigorously defend against any <unk>
 since the spill last march exxon and the state have been <unk> over whether <unk> <unk> on the oil in the first hours after the spill when the weather was clear and calm would have helped limit the environmental damage
 exxon claims that use of <unk> which break an oil <unk> into <unk> <unk> was a crucial part of its <unk> plan and that state officials banned their use during the two days of fair weather following the spill
 the oil company claims that it had permission from the u.s. environmental protection agency prior to the spill to use <unk> during such an incident at the discretion of the u.s. coast guard
 the state 's opposition to the use of <unk> exxon says caused the coast guard to delay granting permission
 alaskan and coast guard officials say exxon 's charges are n't relevant because tests conducted during the first two days following the spill showed that the <unk> was n't working anyway
 use of <unk> was approved when a test on the third day showed some positive results officials said
 <unk> investment ltd. a vancouver <unk> investment firm said it raised its stake in <unk> industries to N N of the common shares outstanding
 in a securities and exchange commission filing <unk> said it holds N <unk> common shares including net purchases of N shares bought from oct. N N to oct. N N for $ N to $ N each
 <unk> is the personal holding company of steven <unk> a vancouver securities dealer
 he said the transaction was made for investment purposes
 officials for sun valley calif.-based <unk> could n't be reached for comment
 in composite trading on the american stock exchange <unk> closed unchanged yesterday at $ N a share
 the house appropriations committee approved an estimated $ N billion in emergency funding to assist california 's recovery from last week 's earthquake and to extend further aid to east coast victims of hurricane hugo
 the package was termed excessive by the bush administration but it also provoked a struggle with influential california lawmakers who sought unsuccessfully to add nearly $ N billion more and waive current restrictions to <unk> the distribution of funds
 by a N margin the committee <unk> the more expensive alternative and the debate forced a <unk> confrontation between appropriations committee chairman jamie whitten d. miss and his party 's largest state delegation in the house
 i have no regrets about going forward said rep. <unk> fazio d. calif. who sought later to play down the sometimes hostile tone of the long evening meeting
 we are the golden state mr. fazio said and there is a certain amount of <unk>
 the $ N billion package <unk> $ N million for small-business loans $ N billion in highway construction funds and $ N billion divided between general emergency assistance and a reserve to be available to president bush to meet unanticipated costs from the two disasters
 the funding is attached to a <unk> bill to keep most of the government operating through nov. N
 the measure is expected to come before the house today and congress is under pressure to complete action before midnight edt tomorrow when the current continuing resolution expires
 given california 's size and political importance the white house is eager to appear generous
 but in private meetings yesterday budget director richard darman argued that only $ N billion in new federal appropriations are needed to supplement existing resources
 a white house budget office analysis estimates that $ N million or half the level in the committee bill is needed for highway assistance to meet california 's needs and the administration <unk> the notion that new appropriations are needed to finance disaster loans by the small business administration
 everybody <unk> that it is a national disaster and that we 've got to address it said mr. darman who came to the capitol to meet with mr. whitten and california lawmakers before the committee session
 i would hope very much that we would n't end up in a kind of situation where you have a bidding war and then a veto threat
 although this white house pressure was clearly a factor among committee republicans no single influence was greater than mr. whitten
 a master of pork-barrel politics he had <unk> the $ N billion package in vintage style and used the full force of his <unk> to keep the proposal intact and dismiss any alternative
 when mr. fazio offered the <unk> $ N billion plan mr. whitten insisted that the full N pages be read <unk> by the panel 's clerk to underscore the range of legislative changes also sought by the delegation
 on the chairman 's motion the california package was subsequently reduced to <unk> report language and even when this was accepted as such on a voice vote mr. whitten <unk> opposed it
 more important than money in many cases are <unk> california is seeking on current restrictions covering federal highway funds such as a $ N million cap on how much any single state can receive in emergency funds in a year
 mr. whitten 's package appears to accomplish this purpose but the state faces more resistance in its bid for an extended waiver on having to put up any matching funds on repairs completed in the next six months
 a member in the house leadership and skilled legislator mr. fazio nonetheless found himself <unk> not only by california 's needs but by hurricane hugo amendments he accepted in a <unk> effort to build support in the panel
 the california democrat appeared embarrassed by provisions inserted on behalf of owners of private <unk> in the virgin islands and lumber interests sought to add another $ N million in federal aid to plant <unk> on private land in north and south carolina
 california 's high-priced real estate puts it in an <unk> position too
 one provision last night would have raised the cap on disaster loans to $ N from $ N per household to accommodate san francisco losses
 <unk> music systems inc. said it retained kidder peabody & co. to study financial alternatives including the possible sale of the financially struggling company
 <unk> <unk> mass. makes digital electronic <unk> instruments used by professional recording musicians
 it recently introduced a line for the home market
 however raymond c. <unk> chairman and chief executive said the company continues to require additional funding to realize the potential of its technology
 in the year 's first six months <unk> had a loss of $ N million on sales of $ N million
 last month its president john s. <unk> resigned citing management differences with mr. <unk>
 <unk> systems inc. <unk> ariz. said its preliminary year-end results of operations indicate substantial improvement over the previous fiscal year
 <unk> which makes an automated process system that improves the yields of semiconductor manufacturers said profit for the year ended sept. N rose to more than $ N from $ N last year
 per-share earnings are estimated at more than N cents up from N cents for fiscal N
 total revenue is expected to double to more than $ N million from $ N million
 <unk> which also provides technical temporary employment services to aerospace defense computer and high-tech companies in the southwest and <unk> areas said its final <unk> results are due in late november
 the company attributed the improvement to strong demand in the semiconductor equipment segment as well as the acquisition of <unk> service co. and the <unk> of a full year 's results of operations for <unk> inc. compared with seven months ' results for the prior year
 <unk> corp. cleveland said it will offer $ N million in commercial paper backed by <unk> receivables
 the program matches funds raised from the sale of the commercial paper with small to medium-sized leases
 <unk> termed the paper <unk> financing meaning that investors would be repaid from the lease receivables rather than directly by <unk> corp
 <unk> leases and sells <unk> telecommunications and other high-tech equipment
 shevardnadze admitted that moscow violated the N abm treaty
 in a <unk> address before the soviet legislature the foreign minister conceded that the radar station in krasnoyarsk <unk> the <unk> <unk> missile treaty and said it would be <unk>
 shevardnadze said it took gorbachev 's government four years to determine that the station 's location in <unk> violated the accord as western arms-control officials have long contended
 he also denounced moscow 's <unk> involvement in the war in afghanistan saying it involved gross violations of civil <unk> and ethics
 secretary of state baker in his first major arms-control speech called for a new military relationship with moscow to reduce first strike nuclear arms
 bay area commuters battled earthquake-related transportation <unk>
 travelers crowded into <unk> sat in traffic <unk> on major freeways or waited for buses in the rain but the massive gridlock anticipated by officials in the san francisco bay area never materialized
 as the death toll from last week 's temblor climbed to N the condition of freeway <unk> buck helm who spent four days trapped under rubble improved hospital officials said
 rescue crews however gave up hope that others would be found alive under the collapsed roadway
 the house appropriations committee approved a $ N billion aid package for the quake region less than the $ N billion sought by california officials
 hungary declared itself a democracy and for the first time openly <unk> the anniversary of the N <unk> <unk> that was crushed by the soviet union
 a crowd estimated at N held a <unk> march through <unk> as acting president <unk> delivered a nationally televised address rejecting communist dominance
 about N east germans marched in leipzig and thousands more staged protests in three other cities in a fresh challenge to the communist leadership to introduce democratic freedoms
 in an east berlin suburb meanwhile employees at an electronics plant formed an independent trade union called reform a worker spokesman said
 the space shuttle atlantis landed at a desert air strip at edwards air force base calif. ending a <unk> mission that dispatched the <unk> galileo space probe
 the five <unk> returned to earth about three hours early because high <unk> had been predicted at the landing site
 <unk> <unk> the base before <unk>
 explosions shook a phillips petroleum co. plastics plant near pasadena texas <unk> debris and causing a fire visible from N miles away
 more than N people were injured and a number of workers were missing
 parts of the houston ship channel were closed
 the white house said bush is <unk> with leaders of the senate intelligence committee to ease differences over guidelines for cia agents
 the statement came after officials said bush complained at a private meeting last week that a strict interpretation of a policy requires the u.s. to notify foreign <unk> of certain coup <unk>
 lebanon 's gen. aoun placed christian military forces on alert in case of renewed fighting with <unk> <unk> after lebanon 's two main <unk> <unk> rejected an <unk> peace accord
 the plan approved by lawmakers and rejected sunday by aoun includes political changes aimed at ending the 14-year-old civil war
 nato defense ministers are expected to call for a reduction in nuclear forces in europe when the alliance 's nuclear planning group <unk> a two-day session today in portugal
 the ministers are to <unk> nato 's defenses in western europe amid <unk> changes in the soviet bloc
 iran 's president <unk> offered to help gain freedom for western <unk> in lebanon but said the assistance was contingent on u.s. aid in <unk> the cases of three <unk> <unk> in lebanon in N or the release of frozen iranian assets
 washington rejected the bid saying the <unk> were n't linked to other issues
 plo leader arafat asked egypt to seek <unk> from the u.s. on secretary of state baker 's plan for mideast peace talks an aide to egyptian president <unk> said
 the official stressed that the plo has n't rejected the <unk> formula
 commonwealth leaders turned to issues ranging from drugs to the world economy after <unk> 's president <unk> called thatcher 's views on south africa <unk>
 at a meeting in malaysia australia and canada also <unk> the british prime minister for <unk> the <unk> group 's call for pretoria to ease apartheid
 cms <unk> inc. said it estimates that sales and earnings for the fiscal first quarter ended sept. N fell somewhat from the year-earlier period
 jim <unk> chief executive officer of the <unk> calif. computer accessories supplier said he was comfortable with analysts ' expectations that cms would earn between six cents and eight cents a share on revenue of about $ N million
 a year earlier cms posted profit of $ N million or N cents a share on sales of $ N million
 this time there are N N more shares outstanding
 mr. <unk> attributed the decline to an industrywide softening of demand for computer <unk> products
 property capital trust said it dropped its plan to liquidate because it was n't able to realize the value it had expected
 it said it will buy back two million shares or N N of the total outstanding and continue operations buying and managing real estate
 property capital which is based in boston had told shareholders it expected to distribute at least $ N a share or $ N million in a liquidation based on an expected asset sale price of $ N million or more
 the company said it did n't receive an offer it wanted to accept
 as a result of dropping the liquidation plan shareholders will have to treat dividends received this year as ordinary income or capital gains rather than as tax free returns of capital the company said
 the share repurchase will be funded mostly from borrowings
 <unk> <unk> corp. said its net income was $ N million or N cents a share in the third quarter more than four times its profit of $ N or three cents a share last year
 included in the results was an adjustment to the dallas-based company 's tax rate that reduced net income by about N cents a share or approximately $ N million
 <unk> said it increased its effective tax rate to N N from N N to account for potential liabilities related to an internal revenue service investigation of its tax returns for the years N through N
 the newspaper and television owner said it expects the tax adjustment to reduce its net income for the full year by N cents or approximately $ N million based on its N million shares outstanding
 for the third quarter <unk> said its revenue increased N N to $ N million from $ N million last year
 for the nine months the company had net income of $ N million or N cents a share up N N from $ N million or N cents a share last year
 revenue grew almost N N to $ N million from $ N million last year
 a federal judge granted a temporary stay of the california student aid commission 's emergency action to stop <unk> loans for national technical schools a unit of united education & software inc
 the california student aid commission took the action oct. N after a government audit cited national technical schools for having courses too short to be eligible for the educational loan program and having a student <unk> rate far in excess of federal standards and it alleged other serious violations of law and regulations
 united education & software a los angeles education services company called the commission 's action <unk> and unwarranted
 the court set a hearing on the emergency action for oct. N
 united education & software posted a $ N bond against potential losses to the student aid commission and to taxpayers in <unk> any more loans for national technical schools students prior to the hearing
 a decline in allied-signal inc. 's automotive business contributed to flat sales and only slightly higher earnings in the third quarter
 allied-signal reported that net rose N N to $ N million or N cents a share from $ N million or N cents a share the year earlier
 sales slipped N N to $ N billion from $ N billion
 for the nine months the morris township <unk> company with businesses in aerospace automotive products and engineered materials earned $ N million or $ N cents a share up N N from $ N million or $ N a share
 sales eased N N to $ N billion from $ N billion
 chairman edward l. <unk> jr. said that a drop in sales of auto and truck parts contributed to lower earnings in the automotive unit
 he also cited unfavorable foreign-exchange rates and a lower tax rate
 earnings for the group declined to $ N million from $ N million last year
 earnings at allied-signal 's aerospace business rose to $ N million from $ N million a year ago primarily on higher sales and profit in its engines and <unk> power units
 in new york stock exchange composite trading yesterday allied-signal shares closed at $ N off N cents
 the national highway traffic safety administration said it will start <unk> <unk> regulations jan. N for so-called <unk> imports of vehicles
 the regulations required under legislation enacted by congress last year will apply to imports of vehicles that were n't built to meet u.s. government auto safety standards and were intended for use in europe or elsewhere abroad
 u.s. officials estimated that <unk> imports total about N units a year a small part of the more than three million vehicles exported to the u.s. each year
 according to the <unk> the new regulations will prohibit anyone other than an importer that has registered with the u.s. government or a person who has a contract with a registered importer from permanently importing a vehicle that does n't meet the u.s. auto safety standards
 the registered importer would be required to bring such vehicles into compliance with the u.s. safety standards compared with the current situation in which anyone can bring in such vehicles and modify them to meet the u.s. standards
 congress tightened auto safety standards for <unk> imports after u.s. auto dealers including <unk> <unk> dealers complained that they often were blamed when the second and third buyers of such vehicles found that the cars could n't meet u.s. auto safety standards
 legent corp. said it expects to report net income between $ N million and $ N million or between N cents and N cents a share for its fourth quarter ended sept. N
 in the year-ago quarter the software developer reported pro <unk> earnings of $ N million or N cents a share
 vienna <unk> legent said it expects to post revenue for the quarter of more than $ N million compared with pro <unk> revenue of $ N million in N
 for the fiscal year the company said it anticipates reporting earnings of $ N million or about $ N a share including a charge of about $ N million or N cents a share related to the merger that created legent out of <unk> systems inc. and <unk> inc. in march N
 revenue for fiscal N is expected to exceed $ N million
 pro <unk> earnings for fiscal N were $ N million or N cents a share on revenue of $ N million
 the company attributed much of the growth in earnings to increased demand for its systems productivity software
 <unk> corp. said it expects to report net income for its fiscal year ended sept. N of a record $ N million or $ N a share up N N from $ N million or N cents a share for the prior year
 the costa mesa calif. maker of computer tape drives also projected record revenue for the year of $ N million up from $ N million for the previous year
 <unk> attributed the gains to strong demand for its products continued growth of the <unk> market and the acquisition of maynard electronics in february which accounted for about N N of the company 's revenue
 detrex corp. said a reserve it is establishing to cover expected pollution cleanup costs at an ohio plant reduced its third-quarter net income by $ N million
 detrex which has annual sales of about $ N million declined to say if it would post a loss in the third quarter
 the <unk> <unk> company earned $ N in the quarter last year
 detrex is setting aside $ N million for the cleanup but said the reserve reduced its quarterly income by only $ N million because of tax considerations
 in addition the manufacturer said it signed a consent <unk> with ohio to build a $ N million <unk> facility at the <unk> chemical manufacturing plant by aug. N N
 detrex said it is one of at least N companies notified by the environmental protection agency that they may be potentially responsible for cleaning up the fields <unk> <unk> near detrex 's <unk> plant at a total cost the epa estimates at $ N million a figure detrex said the companies dispute
 first executive corp. said about N N of the rights to purchase its depositary shares and warrants have been exercised
 of the N million rights units issued just under N million were exercised before the oct. N expiration of the offering the insurance holding company said
 remaining units will be sold to the underwriters drexel burnham lambert inc. and kidder peabody & co. which will also purchase an <unk> of N million additional units
 first executive said the offering will raise about $ N million minus underwriting fees and other expenses that the company plans to use to write new life insurance and annuity business
 in addition analysts have viewed the rights offering as a takeover defense that <unk> <unk> the number of shares outstanding
 each of the units consists of two warrants each of which could be used to purchase a <unk> of common stock and one depositary preference share
 depositary shares are convertible into common stock on a <unk> basis
 currently the company has about N million common shares outstanding
 in over-the-counter trading monday the stock closed at $ N off N cents
 united air 's parent <unk> any prospects for an immediate revival of the labor-management buy-out saying ual should remain independent for now
 also ual chairman stephen wolf pulled out of the buy-out effort to focus on running the company
 the two developments leave the airline with several problems including an unsettled labor situation
 stock prices fell and bonds rose as worries mounted about the economy and the junk bond market
 the dow jones industrials sank N points to N
 the dollar also declined
 the turmoil in junk bonds may last for years investors and traders say
 even drexel is pulling back
 santa fe pacific plans to sell N N of its large real estate unit to a california pension fund for $ N million and spin the rest off to shareholders
 the proposal values the company 's real estate operation at $ N billion
 time warner reported a $ N million loss for the third quarter reflecting the cost of the recent merger and a method of accounting for the deal
 thrifts continued to shed assets in august mainly to comply with <unk> capital rules under the s&l bailout law
 also withdrawals exceeded deposits by $ N billion in the month
 exxon 's profit fell N N in the third quarter hurt by sagging results at two of its three main businesses
 phillips and arco posted declines
 ashland had a loss
 <unk> hess and occidental petroleum had gains
 ogilvy 's chairman kenneth roman is leaving to take a top post at american express
 his resignation follows a hostile takeover of the ad agency in may by wpp of britain
 the justice department took steps that could restrict the use by prosecutors of criminal racketeering charges against white-collar defendants
 shearson was sued by money manager george <unk> who claimed one of his funds was <unk> out of $ N million during stock-index futures trading just after the N crash
 drexel 's efforts to settle its legal troubles are being resisted by at least N states
 some may try to revoke the firm 's license to sell securities
 prime computer plans to dismiss N N of its work force to cut costs following its recent leveraged buy-out
 the action <unk> concern about <unk> in high-tech industries
 paribas plans a bid for another big french financial and industrial firm navigation mixte a sign europe 's takeover fever has n't cooled
 qintex australia unveiled plans to restructure and sell assets to try to ease its financial problems
 union carbide 's earnings plunged N N in the third quarter reflecting weakness in the company 's core chemicals and plastics businesses
 japan 's daiwa securities named <unk> dozen president
 the rapid advance of the <unk> executive surprised many at the company
 markets
 stocks volume N shares
 dow jones industrials N off N transportation N up N utilities N off N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N off N spot index N up N
 dollar N yen off N N marks off N
 the justice department has revised certain internal guidelines and <unk> others in a move that could restrict the use of criminal racketeering charges against white-collar defendants
 the most significant changes in department policy are new requirements that federal prosecutors avoid <unk> the normal business functions of companies charged under the racketeering law a senior department official said
 another important revision of department policy is a new guideline warning prosecutors not to take steps that would harm innocent third parties in a case brought under the racketeering law the official david runkel said
 the department distributed the revisions and <unk> to u.s. attorneys around the country this summer as part of a routine process of <unk> prosecutorial guidelines mr. runkel said
 the changes apply to prosecutions brought under the <unk> influenced and corrupt organizations law
 under that law defendants who allegedly commit a pattern of crimes by means of a criminal enterprise may be charged with racketeering and forced to <unk> the proceeds of the enterprise
 the rico law has come under criticism from some defendants and defense lawyers
 they argue that the rights of rico defendants and third parties not named in rico <unk> have been unfairly damaged
 the department 's most significant <unk> of existing rico policy is a <unk> to prosecutors that they should seek to seize assets from defendants in proportion to the nature of the alleged <unk> mr. runkel said
 that means that if the <unk> deals with one part of the business you do n't attempt to seize the whole business you attempt to seize assets related to the crime he explained
 in general the thrust of the department 's <unk> is to encourage prosecutors to limit pretrial asset seizures if there are less <unk> means of protecting assets the government may subsequently be able to seize after a conviction mr. runkel said
 it was the kind of <unk> rarely seen within the congress let alone within the same party
 sen. alan cranston <unk> over to the house side of capitol hill a few days ago and <unk> his testimony to fellow democrat rep. henry gonzalez
 it was offered as an expression of cooperation to mr. gonzalez who is investigating the $ N billion failure of lincoln savings & loan association
 but instead of thanks sen. cranston was treated with cool <unk>
 every witness receives a formal subpoena rep. gonzalez told him
 seldom have house hearings caused so much <unk> in the senate where california sen. cranston and four other senators were already <unk> in the glare of unfavorable publicity over the alleged <unk> of lincoln by their friend and political <unk> charles keating jr. principal <unk> of lincoln 's parent company american continental corp. of phoenix <unk>
 at the first day of the house banking committee 's hearings last week william seidman chairman of the resolution trust corp. the federal agency created to sell sick thrifts said the agency is investigating whether lincoln made illegal political contributions
 mr. keating arranged nearly $ N million in donations to sen. cranston and his various political causes and hundreds of thousands more to other lawmakers
 future witnesses include a former federal s&l regulator who has accused the five senators of attempting to <unk> the regulatory process by <unk> on behalf of mr. keating
 unlike many lawmakers chairman gonzalez says he considers <unk> with regulators to be improper
 when you reach a point where a <unk> body is trying to shape administrative decisions then that 's a <unk> in my book the texas <unk> says
 and he has attached himself to the lincoln story <unk>
 unless the questions are answered i will keep on going
 lawmakers often are reluctant to <unk> colleagues even those of opposing political parties
 in the recent housing and urban development department scandal for example rep. thomas <unk> the california democrat who led the hearings <unk> through embarrassing disclosures about hud grants secured by sen. <unk> <unk> a new york republican
 but chairman gonzalez is a genuine <unk>
 he comes from the same political line as wright <unk> a <unk> texas <unk> who <unk> the banking committee until N
 mr. gonzalez is also a <unk> for ethical standards who refuses to accept <unk> and who believes in conducting official business in the open
 early in his political career as a city <unk> in san antonio he walked out of a meeting when political supporters asked that the police chief be replaced <unk> the <unk> affair publicly as a <unk> meeting
 the immediate target of rep. gonzalez 's inquiry is danny wall chairman of the office of thrift supervision
 as the principal regulator of the thrift industry mr. wall delayed <unk> lincoln s&l for more than two years after his staff told him that the california thrift was insolvent and that potential losses to taxpayers were growing rapidly
 rep. gonzalez seems <unk> to <unk> out at mr. wall when hearings resume thursday with testimony by two federal regulators from san francisco william black and mike <unk>
 mr. wall relieved them of responsibility for <unk> lincoln in N
 mr. gonzalez expressed concern over a report that the two had been summoned to washington by mr. wall last week to discuss their testimony in advance
 i think he is trying to improperly influence a witness and by god i 'm not going to <unk> it he says
 mr. wall however is a <unk> child of the senate and former staff director of its banking committee
 an inquiry into his handling of lincoln s&l inevitably will drag in sen. cranston and the four others sens. dennis <unk> d. ariz. john <unk> r. ariz. john glenn d. ohio and donald <unk> d. mich
 they all attended a meeting in april N questioning why a federal audit of lincoln s&l had dragged on for two years
 i 'm certain that in the course of the hearings the names of the senators will be brought out mr. gonzalez says
 this is raising <unk>
 when i first got a <unk> at the witness list i could n't believe that they were going to go ahead and do this says michael <unk> director of congress watch a consumer group
 there are some witnesses who will be forced to testify about their meetings with senators
 and a democratic aide to a banking committee member remarks i too am <unk> by it because gonzalez has certainly placed a lot of democratic senators in a very bad position
 all the senators say they merely were trying to ensure fairness for a <unk>
 mr. keating lives in phoenix and the california thrift 's parent is an <unk> corporation with holdings in michigan
 chairman gonzalez <unk> <unk> for sen. <unk> his counterpart as chairman of the senate banking committee
 he 's <unk> he 's good and i know he 's an honest man the <unk> says
 but at the same time mr. gonzalez has n't forgotten a confrontation over mr. wall during house-senate negotiations over s&l bailout legislation during the summer
 the senate negotiators included sens. cranston and <unk> and mr. wall 's principal sponsor republican sen. <unk> <unk> of utah
 they were willing to trade important provisions in the bailout legislation to preserve mr. wall 's job and to avoid a <unk> hearing in which he would be called upon to testify about lincoln s&l
 most <unk> the senate traded away the bush administration 's controversial plan to finance the bailout which was partly <unk> later
 at the time mr. gonzalez said several senators told him that they could get some <unk> out of the way if there could be some understanding on <unk> 's insistence on wall
 now mr. gonzalez is holding the equivalent of <unk> hearings anyway under the <unk> of the lincoln investigation
 in a way that 's what this is mr. gonzalez concedes
 even some house banking committee members could suffer from the fallout
 mr. keating raised $ N for rep. doug <unk> 's N re-election campaign while the georgia democrat was taking his side against regulators who wanted to curb risky investments and wholesale deposit <unk>
 he recently voted present when the committee authorized a subpoena to <unk> mr. keating to testify then changed his vote to yes
 but the chairman 's supporters have the upper hand as federal regulators press a $ N billion fraud suit against mr. keating and others
 rep. jim <unk> r. iowa says the lincoln s&l affair is the biggest bank <unk> in history and adds the great question that remains to be resolved is whether we have a congressional <unk> in the making
 a witness set to testify on thursday was quoted in a news report over the weekend as saying lincoln <unk> campaign contributions illegally
 but the witness william <unk> california 's chief state thrift regulator denies saying that
 i do n't know whether it was done properly or not because i 'm not a lawyer he said in a telephone interview yesterday
 but he said he is prepared to testify that executives of lincoln and its parent corporation got unusually high salaries and frequent calls <unk> them to make specific contributions
 the committee also has summoned mr. wall 's predecessor edwin gray
 he has characterized the five senators ' roles as <unk> to an attempt to <unk> the regulatory process and he is n't expected to back down even though the five senators have disputed his account of a N meeting
 so the senators must <unk> themselves
 sen. cranston as he returned to the capital last week from a one-day trip to <unk> earthquake damage in san francisco <unk> to an aide well back to <unk>
 when anne volokh and her family <unk> to the u.s. N years ago they started life in los angeles with only $ N
 they 'd actually left the soviet union with $ N but during a stop in italy ms. volokh dropped $ N on a black <unk> suit
 not surprisingly she quickly adapted to the american way
 three months after she arrived in l.a. she spent $ N she did n't have for a hat
 a <unk> she <unk> though it was n't the time for that N years ago
 but i loved <unk>
 since then she has become wealthy
 her husband and older son a computer <unk> <unk> in the wall street journal in N when he was N run a software company with expected sales this year of $ N million
 most recently she has become the publisher of <unk> a four-year-old los angeles magazine that began national distribution last month with an initial press run of N copies
 distributed by the hearst corp. 's eastern news the glossy publication <unk> <unk> fair 's <unk> <unk> and premiere 's <unk> <unk> into <unk> <unk> with a special emphasis on <unk> as fashion <unk>
 it 's being sold through <unk> <unk> and some video stores
 though ms. volokh is a small woman she has an <unk> <unk> and dramatic <unk> that seem perfectly <unk> to capitalism as it is practiced in hollywood
 certainly life for her has changed considerably since the days in <unk> when she lived with her parents her husband and her two sons in a N <unk> apartment in what she calls silent internal <unk> <unk> of escape
 now for example she owns N hats
 however she <unk> the lean years and recalls with <unk> wearing her first major american purchase that <unk> N years later and having a los angeles <unk> owner ask her if it was a <unk>
 with obvious satisfaction she says she told him no <unk> i just give it a <unk> look
 she keeps track of the rest of her hats by <unk> polaroid <unk> to the outside of each <unk>
 are the hats merely part of her new l.a. <unk> along with the many <unk> <unk> cigarettes she <unk> the parties she throws for N people the <unk> <unk> she offers guests at her weekend place in santa barbara
 no <unk> she said recently in her <unk> slightly affected english during a trip east to promote <unk> 's national expansion
 you have to be born with it
 i used to wear hats in russia but i had to make them and my <unk>
 on the hat side i was n't getting what i wanted
 now N years old ms. volokh has <unk> ideas about what she wants
 at <unk> she wants specific <unk> specific tone a specific attitude bright and bold and <unk>
 in restaurants in this case the russian <unk> a new york restaurant operated by and for soviet <unk> she did n't want the <unk> <unk> music <unk> through the room
 you people here think this is russian music she said with <unk> and called over to the <unk> could you turn it off
 that done ms. volokh spoke with rampant <unk> about the many attributes she feels she was born with an understanding of food business russian culture human nature and parties
 parties are rather a state of mind she said <unk> only to taste and pass judgment on the <unk> <unk> a little well done but very good
 if you are born to give parties you give parties
 even in russia we managed to give parties
 in los angeles in our lean years we gave parties
 as publisher of a magazine devoted to movies as <unk> for fashion and other <unk> ms. volokh sees her <unk> as an important part of business
 she has thrown <unk> <unk> for <unk> of people but prefers more intimate <unk>
 at american <unk> parties everyone 's always looking over your shoulder to see who they can talk to next
 i like rather tea because it is at the end of the day
 she serves high russian tea at N p.m
 it 's supposed to be later but i just moved it
 in los angeles it 's important to catch people just after work
 she also frequently invites directors producers actors writers and other show business people for coffee and <unk> in the pleasure <unk>
 guests bring movies on tape and show their favorite <unk> minute segments on the screen that <unk> from the ceiling of the <unk> ' <unk> library the pleasure <unk>
 they eat <unk> and <unk> things and explain their <unk>
 it 's very <unk> and soul baring said ms. volokh
 the idea for <unk> actually was <unk> up by an old friend of the <unk> <unk> <unk> who has the title of <unk> and <unk> <unk> smith now the magazine 's <unk>
 mr. <unk> approached ms. volokh five years ago about backing the publication which started out as a listing guide
 she was interested only if she could guide it <unk> as well
 anne does n't believe in <unk> said ms. smith
 she wants things to be exciting
 and she has this <unk> energy
 she 'll think of an idea the editorial people think is impossible then she 'll have us make it work
 in fact ms. volokh was n't just a rich lady who needed a <unk>
 back in the soviet union she was a respected journalist writing a weekly column about the national <unk> for sunday <unk>
 those columns vivid discussions of the cultural and literary <unk> of food as well as practical advice on how to <unk> <unk> <unk> meals became the basis for her <unk> and entertaining <unk> the art of russian <unk> brought out in N by macmillan publishing co
 i do n't trust people who do n't eat said ms. volokh though she herself stopped eating lunch a few years ago to drop N pounds
 look at <unk> and <unk>
 no one ever <unk> in their books and look at them
 <unk> 's characters eat <unk> 's <unk> 's
 in her <unk> which macmillan is bringing out in soft cover this month with the <unk> <unk> revised so it works she <unk> each chapter with appropriate quotations from russian literature <unk> on <unk> <unk> on <unk>
 in life she offers practical <unk> advice divide your meals into important and <unk>
 in a great restaurant do n't <unk> yourself
 the other meals do n't matter
 amusing as she is and <unk> as she can seem this is a serious person with some difficult memories
 she was the child of relative privilege
 her mother was a <unk> her father was the <unk> vice director
 i <unk> to wear better hats do better parties she said with a <unk>
 but we should n't leave out political reasons number one
 you try to maintain your dignity under difficult circumstances
 one can not imagine how you live when you live those double and triple lives
 by N after their second child was born it had become clear to ms. volokh and her husband <unk> a computer scientist that they wanted to leave the <unk>
 ms. volokh quit her job to remove herself from the public eye
 the wait was <unk>
 before granting ms. volokh 's parents a visa the government required her mother to obtain permission from her first husband whom she had <unk> N years earlier
 mr. volokh was fired from his job and had to endure hours of organized <unk> abuse from his <unk> accusations of sabotage and <unk> activities
 the <unk> were afraid that they 'd end up like a friend of theirs who 'd applied for a visa and waited for N years having been <unk> from his profession of theoretical <unk> to shipping clerk
 they did n't
 their visa came in relatively short order and they moved to los angeles
 mr. volokh soon found work in his field but ms. volokh refused the obvious and available <unk> as <unk> for a russian who spoke <unk> english
 that 's always looking back she said
 i wanted to be in business
 on the way to that goal she received her first u.s. <unk> for <unk> a book of polish <unk> attended <unk> school then went to work for a fund-raising organization
 soon she was running the office
 when her husband and son founded their computer company <unk> she worked as business manager <unk> and <unk>
 now <unk> is located in the same building as <unk>
 things work out unexpectedly in life said ms. volokh
 you never know if you 'll be chosen to be the <unk> or the lucky one
 we were lucky
 william d. <unk> president of the <unk> trade and economic council has a warning for u.s. companies trying to do business in the soviet union
 it 's an extremely complex market and you have to be prepared to make a big commitment mr. <unk> says
 we are not trying to encourage everyone
 <unk> by such words of caution corporate america is <unk> to moscow <unk> by a huge <unk> market and mikhail gorbachev 's attempt to overhaul the soviet economy
 doing business with the russians once the pursuit of a handful of <unk> veterans has become the goal of such major companies as general motors corp. federal express corp. and procter & gamble co. as well as a <unk> of smaller firms
 reflecting the <unk> interest more than N u.s. companies are taking part in a moscow exhibition organized by mr. <unk> 's trade group
 but while u.s. interest may be big and growing the difficulties that have <unk> deals in the past show no sign of <unk>
 alongside the old problems of a <unk> currency and an <unk> bureaucracy western business executives must now <unk> with new <unk> linked to perestroika the restructuring of the soviet economy
 executives say mr. gorbachev 's moves to break up the government 's foreign trade monopoly have created uncertainties as well as opportunities
 changing legislation has opened the field to thousands of <unk> soviet players many who promise more than they can deliver
 and some foreign firms are finding that even when they manage to overcome such hurdles their ventures now have to be endorsed by such <unk> bodies as the soviet parliament and the governments of the nation 's republics
 you have to go out to all your constituents says james h. <unk> who is <unk> the most ambitious attempt by u.s. firms to break into the soviet market involving investment of more than $ N billion in some two dozen joint ventures
 as part of that attempt by the american trade consortium mr. <unk> says he spends a lot of time lobbying
 growing public fears about the soviet environment is one new factor affecting some joint-venture plans
 over the past two years soviet ministries have been talking to international firms including occidental petroleum co. and combustion engineering inc. of the u.s. montedison <unk> of italy and several japanese groups about jointly building and operating several big petrochemical plants
 the plans have come under fire from soviet environmentalists and officials say many are likely to be scaled back or dropped
 whatever the difficulties mr. gorbachev remains committed to increasing foreign trade
 for political as well as economic reasons u.s. companies are at the top of his priorities a point he underscored by spending two hours walking around the u.s. trade show last week
 talking to a small group of u.s. executives <unk> mr. gorbachev appeared <unk> for a big expansion in u.s.-soviet trade which now amounts to a <unk> $ N billion annually
 the u.s. ranks fourth of countries that have concluded joint ventures behind west germany finland and italy
 according to several people present at the meeting mr. gorbachev also supported the idea of concluding several commercial accords with the u.s. possibly at his next summit meeting with president bush
 judging by the crush at the exhibition deprived soviet consumers are more than ready for u.s. products
 hundreds of people lined up every day at the colgate-palmolive co. stand to receive a free tube of <unk> a commodity in <unk> short supply here
 and <unk> <unk> at rjr nabisco inc. 's <unk> almost knocked over a glass <unk> in the rush to get a free <unk> cigarette <unk>
 some u.s. products are <unk> into the soviet market under an emergency import program
 both colgate and procter & gamble have received big orders for <unk> soap and <unk>
 the american trade consortium says it is planning to ship some $ N million of consumer goods financed by bank credits in the first few months of next year
 but the current soviet purchasing spree may be a one-time affair
 the goal of most u.s. firms joint ventures remains <unk>
 because the soviet ruble is n't convertible into dollars marks and other western currencies companies that hope to set up production facilities here must either export some of the goods to earn hard currency or find soviet goods they can take in a <unk> transaction
 international competition for the few soviet goods that can be sold on world markets is heating up however
 <unk> m. <unk> an entrepreneur from new jersey who buys soviet <unk> and <unk> <unk> <unk> for export to the u.s. says west german companies already have snapped up much of the production of these items
 seeking to overcome the currency problems mr. <unk> 's american trade consortium which <unk> chevron corp. rjr johnson & johnson eastman kodak co. and <unk> co. has <unk> an elaborate scheme to share out dollar earnings largely from the revenues of a planned chevron oil project
 several medical concerns including pfizer inc. hewlett-packard co. colgate and <unk> laboratories intend to pursue a similar consortium approach
 it 's hard to invest capital here on the same basis as investing in other countries says dennis a. <unk> president of medical service partners inc. who is putting the medical consortium together
 some u.s. entrepreneurs operate on a smaller scale
 one group seeks to publish a u.s.-soviet medical journal in <unk> with the u.s.s.r. ministry of health
 according to richard p. mills a <unk> official of the u.s. partner N copies of the quarterly will be printed in russian from next year
 it will be financed by advertisements from u.s. companies and by simultaneous publication of an <unk> journal containing details of soviet medical <unk>
 we found a market niche mr. mills boasts
 it 's truly entrepreneurial
 general electric co. was given an $ N million navy contract for nuclear <unk> parts
 westinghouse electric corp. also won a $ N million navy contract for nuclear <unk> parts
 federal data corp. was issued a $ N million navy contract for computer systems
 american telephone & telegraph co. was awarded an $ N million navy contract for <unk> services
 cray research inc. said it sold one of its newest and largest computer systems the cray <unk> to the united kingdom <unk> office
 the system is the first to be sold through the joint marketing agreement between cray and control data corp
 the supercomputer which lists for $ N million will be installed in the first quarter of N in the <unk> office 's headquarters in <unk> england
 shareholders of nuovo banco ambrosiano <unk> voted to accept a bid of N lire $ N a share by france 's credit agricole for N N of the bank rejecting an earlier equal offer by italy 's <unk> <unk> <unk>
 the move will give nuovo banco a badly needed foreign presence and make credit agricole the bank 's largest shareholder
 it also opens a <unk> in the bank 's shareholders ' syndicate that could lead to a battle for control of the concern
 nuovo banco will become italy 's biggest private-sector bank when it <unk> its scheduled merger with <unk> <unk> del <unk> by year end
 credit agricole asked a milan court to sequester the nuovo banco shares the italian news agency <unk> reported
 the <unk> is scheduled to rule on the request friday
 no reason for the request was given
 credit agricole officials could n't be immediately reached for comment
 the decision to accept credit agricole 's bid valued at N billion lire $ N million came after a <unk> weekend meeting
 nuovo banco 's second largest shareholder the fiat <unk> investment concern <unk> <unk> fought to have <unk> 's offer approved
 <unk> which owns N N of nuovo banco <unk> in the final vote on credit agricole which was nonetheless approved by a majority of shareholders
 the <unk> with credit agricole will give nuovo banco its first foreign presence since it was formed from the <unk> of the old banco ambrosiano which collapsed amid scandal after the death of chairman <unk> <unk> in N
 since then the bank has strengthened its italian network and has posted strong results
 the shareholders felt we needed a foreign presence more than we needed links with an insurance company an ambrosiano spokeswoman said
 <unk> said in a statement that it reserves the right to take any action to protect its rights as a member of the syndicate
 a company spokeswoman said the company had n't decided what measures to take but did n't rule out legal action
 <unk> italy 's biggest insurer last month offered N lire a share for the nuovo banco stake held by banco <unk> di <unk> the bank 's largest shareholder which announced plans to sell the holdings earlier this year
 a <unk> spokesman declined to comment on nuovo banco 's rejection of the insurer 's offer
 on the milan stock exchange nuovo banco 's shares jumped to N lire each from N lire friday
 qintex australia ltd. a media and resorts concern controlled by australian entrepreneur christopher skase announced a plan to restructure and sell assets to try to ease its financial problems
 mr. skase a <unk> former newspaper reporter who chairs the company said in a statement that qintex will sell its N N stake in its upscale mirage resorts in australia and hawaii as well as three australian television stations
 the sales are expected to raise more than N million australian dollars us$ N million mr. skase said
 qintex australia has n't disclosed its borrowings but analysts estimate the company 's debt at a$ N billion
 mr. skase also said the restructuring plan calls for the merger of qintex australia with qintex ltd. which owns N N of qintex australia
 he said the move will significantly reduce administrative and operating costs but he did n't provide details of the merger
 company officials said over the weekend that qintex australia 's bank creditors have become concerned about a <unk> of bad news at the company including a failed us$ N billion plan to buy mgm\/ua communications co. a beverly hills calif. movie and television production concern
 friday qintex entertainment inc. a <unk> u.s. affiliate filed for protection from creditor lawsuits under chapter N of the u.s. bankruptcy code
 analysts predicted that the move would further shake creditor confidence in qintex australia and force it to sell assets
 the company 's latest moves were disclosed after the australian stock exchange suspended trading in shares of qintex australia and qintex ltd. because the companies had n't answered an exchange inquiry about the extent of their loans investments and deposits at qintex entertainment
 mr. skase 's statement was addressed to the stock exchange and appeared to be a response to the inquiry
 it said qintex entertainment owes qintex australia us$ N million in loans not secured by specific assets
 qintex australia also said it has an investment of a$ N million in qintex entertainment shares
 in the statement mr. skase said that on the basis of current interest rates in australia the company 's asset sales would reduce interest expense by about a$ N million a year in addition to eliminating certain liabilities
 in march qintex sold N N of the three mirage resorts to japan 's nippon <unk> co. and mitsui & co. for a$ N million
 yesterday 's statement did n't say whether the japanese companies will acquire qintex 's remaining stake in the resorts
 before its shares were suspended from trading qintex australia plunged to N australian cents N u.s. cents a share yesterday from N australian cents friday
 the shares traded at about a$ N in march when the plan to acquire mgm\/ua was announced
 qintex ltd. shares sank to a$ N yesterday from a$ N friday
 mr. skase 's statement cited four recent problems that he said had cut group cash flow by more than a$ N million
 they were what he called an unlawful termination by mgm\/ua of the acquisition agreement with qintex high australian interest rates a pilots ' strike at australian domestic airlines that cut revenue at the company 's australian resorts and delays in completing a sale of two regional tv stations in <unk> state
 mgm\/ua has sued qintex australia for breach of contract and fraud over the collapsed acquisition agreement and qintex australia has threatened a <unk>
 qintex australia has n't yet reported results for the fiscal year ended july N
 in his statement mr. skase said preliminary accounts showed that group profit before interest tax and depreciation will exceed a$ N million
 he gave no further details
 shareholders ' funds as of july N were estimated at more than a$ N billion mr. skase said compared with a$ N million a year earlier
 the company will make adequate provisions to cover costs of the dispute with mgm\/ua and any loss from the investment in qintex entertainment he said
 mr. skase also disclosed a disagreement among directors of qintex australia over certain fees claimed by qintex group management services <unk> a <unk> concern in which qintex australia executives have an interest
 qintex australia paid the management company a$ N million in the latest fiscal year
 mr. skase said most of the money went to other parties for expenses such as rent and travel but a smaller portion is owed to senior executives and others for management services
 <unk> directors of qintex australia who must approve payments to the senior executives balked at the amount
 two of the directors resigned mr. skase said so the payments have n't yet been approved
 chip 's memory is here today here tomorrow
 two companies plan to market a new chip with ceramic circuits that store data even when the power is off
 today 's most widely used <unk> chips have volatile memories their data disappear if they are n't fed a steady diet of electricity so they need external power supplies
 national semiconductor corp. and a start-up named <unk> corp. plan to start shipping so-called <unk> memories which can remember data for at least N years without any current flowing to them
 the chips use materials such as lead <unk> <unk> to form <unk> switches that retain their data without electricity
 developers caution that broad applications are several years away because the technology is n't fully refined
 but <unk> of colorado springs colo. plans to start shipping commercial quantities of simple <unk> chips in december
 the company expects the chips eventually to be used in devices that mimic a whole range of computer memory equipment including <unk> and hard-disk drives
 national semiconductor is getting <unk> technology from <unk> corp. in <unk> <unk>
 national says it agreed to acquire <unk> 's assets and will start shipping commercial quantities of its first chips including a <unk> memory next year
 once production hurdles are overcome the chips could take over a significant part of the market
 in addition to not <unk> an outside power source they are potentially cheaper to make because they require fewer manufacturing steps than conventional chips
 military buyers have shown interest national says because <unk> chips resist <unk> radiation
 and while today 's <unk> chips such as electronically <unk> <unk> <unk> memory chips ca n't be used in a computer 's central memory because they learn data slowly <unk> chips accept data at very high speeds
 showing up in court without being there
 an austin texas company plans to make it easy for you show up in court a thousand miles away without leaving town
 witnesses often must travel long <unk> to give face-to-face <unk> before lawyers and court reporters
 that means huge travel bills
 and telephone or <unk> <unk> just do n't match physical <unk>
 that could change thanks to lower long-distance rates and cheaper electronics
 video <unk> corp. which markets <unk> systems is working with court reporters to wire a nationwide network to allow <unk> by live television
 the company installed a prototype system that <unk> dallas with miami over digital phone lines
 and it is preparing to set up shop in chicago new york and N other cities where <unk> agencies can tie conference rooms into the network
 while lawyers arranged individual <unk> before the formal network of court reporters should make things easier and cheaper
 an attorney will be able to use the network for an hourly fee of between $ N and $ N depending on the quality of the picture to take <unk> from witnesses in any of the connected cities
 japanese reverse <unk> on patent protection
 japan 's <unk> of u.s. patents has been a <unk> point for american chip makers
 now at least one japanese company is turning the courtroom tables
 until now most japanese charges have been responses to suits against them
 but last year hitachi ltd. surprised japan 's electronics industry when it accused korea 's <unk> electronics co. of using hitachi technology to make dynamic <unk> memory chips
 a settlement was reached but was n't made public
 and hitachi went on the offensive against the u.s. 's motorola inc. earlier this month with a suit charging that motorola 's new <unk> chip <unk> on a hitachi patent
 another recent hitachi suit <unk> motorola of reverse engineering a hitachi technology a <unk> from a nation of champion reverse engineers
 the moves illustrate the more aggressive attitude toward patent protection that patent experts say japan is starting to take
 hitachi made the <unk> charges in an amendment to a <unk> filed in a federal district court in texas after motorola sued hitachi for patent violation
 hitachi charges motorola has engaged in fraudulent and <unk> conduct in the procurement of certain motorola patents used in motorola 's <unk> microprocessor chip
 translation motorola appears to have taken a hitachi technology that is <unk> in the u.s. hitachi says and tried to make it look like a new technology
 motorola either denied or would n't comment on the various charges
 odds and ends
 computer chips that <unk> human vision have been developed by japan 's sharp corp
 they mimic the brain by looking at an image <unk> the fundamentals <unk> corners and lines and <unk> them into computer data
 sharp says the set of chips could improve fax machines graphics computers or <unk> systems that recognize <unk> features
 an n.v <unk> unit has created a computer system that processes video images N times faster than conventional systems
 using reduced <unk> computing or risc chips made by <unk> of <unk> ala. the system <unk> the image it sees into N digital <unk> each processed by one chip
 tandy corp. citing sluggish sales of <unk> goods said net income dropped N N for the first quarter ended sept. N
 the results which represented the fifth consecutive quarter of <unk> earnings for the big electronics retailer disappointed analysts and traders
 tandy 's stock fell $ N a share to close at $ N in new york stock exchange composite trading
 net for the quarter was $ N million or N cents a share down from $ N million or N cents a share a year earlier
 the company said earnings would have increased if it had n't been actively <unk> its shares thus increasing its interest expense and reducing its interest income
 tandy had N million shares outstanding at sept. N down from N million a year earlier
 revenue rose N N to $ N million from $ N million
 tandy said consumer electronics sales at its radio shack stores have been slow partly because of a lack of hot new products
 radio shack continues to be lackluster said dennis <unk> analyst with <unk> <unk> & turner in dallas
 he said tandy has done a decent job increasing sales by manufacturing computers for others and expanding sales of its grid systems corp. subsidiary which sells computers to bigger businesses but it 's not enough to offset the problems at radio shack
 sales at radio shack stores open more than a year grew only N N in the quarter from a year earlier he said
 as a result mr. <unk> said he cut his fiscal N per-share earnings estimate for tandy to $ N from $ N
 tandy earned $ N million or $ N a share in the year ended june N
 barry bryant an analyst with drexel burnham lambert inc. said tandy also has suffered from <unk> sales of its computers aimed at the home and <unk> market which are <unk> and cheaper than computers aimed at the corporate market
 tandy has added several new products to that line including a laptop computer priced around $ N and is focusing its advertising on the <unk> software that is packaged with its machines
 mr. bryant and other analysts hope all those moves will combine to help tandy 's results improve in the important christmas quarter
 they 've been promising N N to N N growth based on the strategic moves they 've made he said
 if the earnings acceleration is to take place that should be the quarter
 at a private dinner thursday drexel burnham lambert inc. chief executive frederick joseph delivered a <unk> message about the junk bond market to officials of prudential insurance co. of america
 mr. joseph conceded the junk market was in disarray according to people familiar with the discussion
 he said drexel the leading underwriter of high-risk junk bonds could no longer afford to sell any junk offerings if they might later become troubled because drexel <unk> losing its highly lucrative junk franchise
 the dinner was a stark confirmation that N is the worst year ever for the $ N billion junk market
 and investors and traders alike say the current turmoil could take years to resolve
 amid the market <unk> even drexel which has the <unk> and most loyal following of junk bond investors is pulling in its <unk>
 although the big investment bank still dominates the junk market drexel has been unable to stem the fallout from growing junk bond defaults withdrawn new offerings redemptions by shareholders in junk bond mutual funds and an exodus of <unk> investors
 for many money managers the past four months have been <unk>
 this is the worst <unk> ever in the junk market and it could take years before it 's over says mark <unk> a senior vice president at standard & poor 's corp. a credit rating company
 in the third quarter for example junk bonds those with less than an investment-grade rating showed negative returns the only major sector of the bond market to do so
 since the end of last year junk bonds have been outperformed by all categories of investment-grade bonds including <unk> treasury securities
 the junk market which <unk> to $ N billion from less than $ N billion at the start of the decade has been declining for months as issuers have <unk> under the weight of hefty interest payments
 the fragile market received its biggest jolt last month from campeau corp. which created its u.s. retailing empire with more than $ N billion in junk financing
 campeau developed a cash squeeze that caused it to be <unk> on some interest payments and to put its prestigious bloomingdale 's department store chain up for sale
 at that point the junk market went into a tailspin as buyers disappeared and investors tried to sell
 in an interview mr. joseph says his dinner discussion with the prudential executives acknowledged problems for junk
 what i thought i was saying is that the market is troubled but still viable and <unk> enough quite <unk> which is not at all bad he says
 nobody 's been perfect in their credit judgments the past couple years and we 're going to make sure our default rates are going to be in the acceptable <unk> of the market
 what has jolted many junk buyers is the sudden <unk> that junk bonds can not necessarily be bought and sold with the ease of common stocks and many investment-grade bonds
 unlike the new york stock exchange where buyers and sellers are quickly matched the junk market where risky corporate loans are traded is sometimes closed for repairs
 at closely held <unk> securities corp. junk bond money managers <unk> k. <unk> and <unk> h. <unk> say the problems of the junk market go deeper than a temporary <unk>
 in recent months they say there has been heavy selling of junk bonds by some of the market 's traditional investors while new buyers have n't materialized to replace them
 wall street securities firms the primary source of liquidity for the high yield market have been net sellers of junk bonds because of trading losses <unk> said in a recent grim report to customers
 mutual funds have also been net sellers of junk bonds as junk 's relatively poor performance and negative press coverage have produced <unk> redemptions by shareholders <unk> said
 investors trying to raise cash have sold large liquid issues such as rjr holdings corp. and <unk> co. declines in these benchmark issues have contributed to the market 's <unk>
 and <unk> said buying has been severely reduced because savings and loans have been restricted in their junk purchases by recently passed congressional legislation
 in fact savings and loans were sellers of high yield holdings throughout the quarter <unk> said
 ms. <unk> and ms. <unk> say they are managing their junk portfolios <unk> building cash and <unk> upgrading the overall quality
 meanwhile prudential the nation 's largest insurer and the biggest investor in junk bonds has seen the value of its junk bond portfolio drop to $ N billion from $ N billion since august because of falling junk prices
 we certainly do have a lack of liquidity here and it 's something to be concerned about says james a. <unk> a managing director
 i have no reason to think things will get worse but this market has a <unk> for surprising us
 this market teaches us to be <unk>
 the junk market 's yield <unk> are learning a real painful lesson he says
 although the majority of junk bonds outstanding show no signs of default the market has downgraded many junk issues as if they were in trouble says stuart <unk> manager of aetna life & casualty insurance co. 's $ N billion investment-grade public bond portfolio
 but we think the risks are there for things getting a lot worse
 and the risks are n't appropriate for us he says
 the big insurer unlike prudential owns only about $ N million of publicly sold junk bonds
 the string of big junk bond defaults which have been a major cause of the market 's problems this year probably will <unk> some analysts say
 if anything we 're going to see defaults increase because credit ratings have declined says paul <unk> associate professor at the massachusetts institute of technology 's sloan school of management
 mr. <unk> whose study on junk bond defaults caused a furor on wall street when it was disclosed last april says this year 's junk bond defaults already show a high <unk> with his own findings
 his study showed that junk bonds over time had a cumulative default rate of N N
 one indication of a growing number of junk defaults mr. <unk> says is that about half of the $ N billion of corporate bonds outstanding that have been lowered to a default rating by s&p this year are junk bonds sold during the market 's big issue years of N through N
 these bonds now rated <unk> include junk offerings by <unk> industries columbia savings colorado first texas savings association <unk> financial corp. integrated resources inc. metropolitan broadcasting corp. resorts international inc. southmark corp. and <unk> inc
 obviously we got a lot more smoke than fire from the people who told us the market was n't so risky says bradford cornell professor of finance at university of california 's anderson graduate school of management in los angeles
 mr. cornell has just completed a study that finds that the risks and returns of junk bonds are less than on common stocks but more than on investment-grade bonds
 mr. cornell says the junk market is no <unk> as drexel claimed but it also is n't a disaster as the <unk> say
 despite the junk market 's problems drexel continues to enjoy a loyalty among junk bond investors that its wall street rivals have n't found
 during the past three weeks for example drexel has sold $ N billion of new junk bonds for turner broadcasting co. uniroyal chemical continental air and duff & phelps
 still the list of troubled drexel bond offerings <unk> that of any firm on wall street as does its successful offerings
 troubled <unk> issues include resorts international <unk> integrated resources sci tv gillette holdings western electric and southmark
 quality junk bonds will continue to trade well says michael <unk> chairman of salomon brothers asset management inc
 but the deals that never should have been brought have now become nuclear waste
 as <unk> <unk> who owns an art <unk> company <unk> her <unk> <unk> she <unk> off the names of a few <unk> prince charles <unk> <unk> <unk> ferguson john <unk> milton petrie
 then <unk> a diamond ring as big as the <unk> my day diamond <unk> she told her two <unk> that she is on the board of the vatican museum in rome
 as it turns out the board has a lot of important members including <unk> <unk> former <unk> general of the u.s. mrs. henry <unk> widow of the inventor of <unk> <unk> and vincent murphy an investment banker at merrill lynch & co
 but mrs. <unk> did n't mention any of them
 <unk> <unk> has a way with names says james <unk> a <unk> columnist for <unk> and son of joseph <unk> a founder of <unk>
 like which are <unk> and which are not
 with the fall social season well under way <unk> are out in force trying to <unk> their <unk> and sometimes put down their <unk>
 but the truth is that almost everyone from real-estate agents to city <unk> <unk> and a surprising number of people have an ancient uncle who claims he lived next door to the <unk> who did the <unk> kids
 in case you have forgotten his name was rudolph <unk>
 name-dropping is pervasive and getting more so as society becomes more complex and <unk> says herbert <unk> a new york <unk> with a <unk> <unk>
 it can be an avenue of <unk> to a certain sector of society
 it provides some people a needed sense of <unk> and can help open up a conversation with someone you do n't know
 like the long island <unk> in the theater district the other day who <unk> to a <unk> that she once met <unk> <unk>
 i was having a drink in <unk> 's when all of a sudden i saw a woman 's <unk> coming up the steps on the second floor and she was wearing <unk> <unk>
 i knew it was someone important so i followed her into the <unk> room and sure enough it was <unk>
 so i said <unk>
 and she said <unk>
 can you imagine
 <unk> said <unk> to me
 some people must drop names call it an <unk> <unk>
 they ca n't help talking about the big important people they know even if they do n't really know them says dr. <unk>
 <unk> <unk> a new york writer who changed his name from william stretch in N is an <unk> <unk>
 i do it <unk> and <unk> and while it may occasionally get me into trouble it 's also gotten me access to parties and society he says
 name-dropping recently helped mr. <unk> crash a party fame magazine threw for N of the N people mentioned in the <unk> of the late andy <unk>
 i guess i might have asked <unk> to leave but he drops so many good names we decided to let him stay says steven greenberg publisher of fame
 after all <unk> was the ultimate <unk> dropping five a day in his <unk>
 and <unk> was mentioned twice although very briefly and in passing
 mr. <unk> says that at the party he <unk> to malcolm <unk> publisher of <unk> magazine <unk> been in the columns together mary boone a new york art dealer i think she knows me but i 'm not sure and <unk> <unk> the actress she knows me but we 're not really the best of friends
 mr. <unk> the <unk> columnist says there are people who actually plan whose names they are going to drop before attending a party
 these <unk> do n't <unk> only their <unk> with the <unk> <unk> <unk> or <unk> mosbacher
 they even drop <unk> names like <unk> <unk> whom everybody these days apparently has heard of but no one really knows says mr. <unk>
 it 's the <unk> of name-dropping that counts
 but name-dropping has other benefits often civic
 in the name of civic pride and from the desire to <unk> a negative image some city <unk> seek to link their <unk> with the most <unk> names the city has to offer
 take cleveland
 it has gotten a bad rep because its once heavily <unk> <unk> river caught fire because former mayor ralph <unk> set his hair on fire with an <unk> <unk> and because its proposed rock <unk> roll hall of fame was recently refused an <unk> grant
 some people call it the mistake on the lake lake <unk> that is
 it helps to point out how many important people came through cleveland on their way to the top says george miller executive director of the new cleveland campaign a nonprofit organization devoted to citing the city 's strengths
 mr. miller notes that actor paul <unk> 's family owned a <unk> store in cleveland that the late actress margaret hamilton who played the bad <unk> in the <unk> of <unk> once ran a <unk> school in cleveland and that <unk> bob hope 's father a <unk> once worked on a church next to <unk> hall cleveland 's main concert hall
 power names like that do n't hurt the city 's reputation mr. miller says
 in hollywood an average family can gain <unk> from moving into a home vacated by the famous or near famous
 why we even just sold a <unk> house in van <unk> and were able to keep the price firm in a weak real-estate market by noting that the original lone <unk> lived there says david <unk> a sales associate with jon douglas co. a los angeles real-estate agency
 most people ca n't even remember his name
 it is john hart
 mr. <unk> says that a <unk> property <unk> the san fernando valley is priced at $ N million because the late actor <unk> <unk> once lived there
 if <unk> had n't lived there the property might have been priced $ N million lower says mr. <unk> noting that <unk> 's house has been <unk> and only the <unk> pool remains
 press agents and public-relations practitioners are notorious <unk>
 and some even do it with <unk> <unk>
 <unk> <unk> a financial <unk> in new york sometimes uses it to get the attention of journalists who try to avoid him
 he says that when dan dorfman a financial columnist with usa today has n't returned his phone calls he leaves messages with mr. dorfman 's office saying that he has an important story on donald trump <unk> <unk> or marvin davis
 he admits he has no story on any of them on these occasions
 but it does get him to return my calls and it makes me feel better for the times he 's given me the <unk> mr. <unk> says
 there are of course obvious dangers to <unk> <unk> name-dropping
 <unk> <unk> a publicity agent for the <unk> office in los angeles warns that dropping the wrong name labels the <unk> as a fake and a fraud
 get caught and you 're dead in the water says mr. <unk>
 mr. <unk> says that elizabeth taylor a client <unk> being called <unk>
 if directors or producers phone me and say they know <unk> i know they 've never met her
 she prefers elizabeth
 in new york society pat <unk> the very social wife of author william <unk> has the <unk> mrs. <unk> and <unk>
 and her husband sometimes calls her <unk>
 but call her <unk> and it 's a sure <unk> you 're not in her circle because she does n't use that name says joan <unk> <unk> of avenue magazine a monthly publication sent to all the right names
 john spencer <unk> a <unk> of the late sir <unk> <unk> former prime minister of great britain is n't that impressed with most <unk> he meets
 that 's because they only drop mere names says mr. <unk>
 currently writing his <unk> mr. <unk> an artist tells how <unk> such as the late jean paul <unk> the oil <unk> were in fact known only by one initial their last
 when you 're at the club you ask whether they 've spoken to <unk>
 now they know who you mean and you know who you mean
 but no one else does
 now that 's name-dropping if you know what i mean
 part of a series
 <unk> ga.
 the <unk> strip in this booming suburb runs nearly five miles along <unk> parkway stretching from the <unk> highway that circles atlanta to the big chicken a <unk> fast-food restaurant and local landmark
 <unk> years ago in the <unk> of suburban <unk> just a handful of dealerships were here
 now there are N
 alongside such <unk> names as chevrolet ford and dodge are <unk> that did n't exist until three years ago <unk> sterling hyundai
 under construction is the strip 's <unk> showroom the future home of lexus a luxury <unk> launched by toyota motor corp. just two months ago
 the 1980s have spawned an explosion of consumer choice in america in everything from phone companies to <unk>
 and especially as the <unk> parkway strip <unk> in cars
 americans now can choose among N different models of cars vans and trucks up from just N when the decade began according to automotive news a trade publication
 for car marketers it has become a much tougher battle to keep loyal customers from <unk> to one of the new makes on the block
 for american car buyers the proliferation of choice is both <unk> and confusing
 malcolm <unk> vice chairman of the jordan <unk> case & taylor advertising agency in new york calls the proliferation <unk> mania
 he says the number of automobile choices is causing stress among consumers today and that people will simply ignore new models that lack a <unk> image
 the winners he predicts will be brands from car makers that have traditionally been associated with quality and value
 he says it 's important for a new make to be as distinctive as possible while still retaining links to the parent company 's quality image
 he <unk> toyota and nissan motor co. for creating separate divisions for their new luxury models rather than simply adding more <unk> to their standard car lines
 some auto executives believe the benefits of more choice outweigh the <unk>
 there 's more noise out there and the consumer may have to work harder to cut through it says vincent p. <unk> executive director of market research and planning at general motors corp
 but the reward is that there 's less need to make <unk> in choosing one 's wheels
 <unk> page of north salt lake city utah likes the broader selection
 she wants something big and already has looked at the chrysler new yorker and lincoln town car
 now the <unk> car <unk> is <unk> in on a <unk> van figuring that it 's just the thing to haul nine <unk> and pull a boat at the same time
 that seems to be what all my friends are using to take the <unk> to the lake she says
 market <unk> in cars is n't new but it 's far more extensive than when alfred p. sloan jr. <unk> the idea N years ago
 the legendary gm chairman declared that his company would make a car for every <unk> and purpose
 now there are many cars for every <unk> and purpose
 just four years ago gm planners divided the combined car and truck market into seven segments
 today they identify N distinct segments for cars and another N for trucks and vans
 the number of makes has <unk> because the u.s. is the world 's biggest and <unk> market for automobiles virtually every auto maker wants to sell here
 for every brand like renault or fiat that has been squeezed out others such as <unk> <unk> and mitsubishi have come in
 detroit tries to counter the foreign <unk> with new brands of its own
 gm launched the <unk> <unk> this year to sell cars made in partnership with foreign auto makers and next year gm 's long-awaited <unk> cars will make their debut
 ford motor co. created the merkur <unk> in N to sell its <unk> <unk> <unk> in the u.s.
 but slow sales forced ford to kill the brand just last week
 when consumers have so many choices brand loyalty is much harder to maintain
 the wall street journal 's american way of buying survey found that N N of today 's car buyers tend to switch brands
 for the survey peter d. hart research associates and the roper organization each asked about N u.s. consumers about their buying habits
 which cars do americans favor most these days
 it 's hard to <unk> but age seems to be the best <unk>
 adults under age N like sports cars luxury cars <unk> and imports far more than their elders do
 three of every N buyers under N would prefer to buy a sports car compared with just N N of adults N and over according to the journal survey
 young consumers prefer luxury cars by a N N to N N margin even though older buyers because of their incomes are more likely to actually purchase a luxury car
 perhaps most striking N N of households headed by people aged N to N have at least one foreign car
 that 's true of only N N of households headed by someone N or older
 generally imports appeal most to americans who live in the west and are <unk> affluent and especially young
 for many baby boomers buying a domestic car is a totally foreign experience says christopher <unk> <unk> analyst with <unk> power & co. of <unk> hills calif
 such preferences <unk> even though many americans believe differences between imported and domestic cars are <unk>
 only N N of americans now believe that foreign cars get better gas <unk> than domestic models the journal survey found down from N N in N
 some N N give foreign cars higher quality ratings down from N N two years ago
 on the other hand only N N say foreign cars are less comfortable than u.s. models down from N N in N
 people in the automotive business disagree over how susceptible younger americans are to brand switching
 once buying habits are formed they 're very hard to break declares thomas <unk> executive vice president for nissan 's u.s. sales operations
 but out on <unk> parkway ted <unk> sees it differently
 the competition is so intense that an owner 's loyalty to a dealership or a car is virtually <unk> says mr. <unk> vice president of ed <unk> <unk> one of the first dealerships to <unk> on the strip
 thus the very <unk> of baby boomers may make it possible to win them back just as it was possible to lose them
 the battle for customer loyalty is evident along the <unk> parkway strip
 ed <unk> <unk> recently established a special section in the service department for owners whose cars are less than a year old so they get <unk> service
 just down the street chris <unk> invites serious shoppers to <unk> a new <unk> to any other dealership along the strip and compare the cars <unk>
 manufacturers too are stretching further to lure buyers
 gm 's cadillac division ignoring detroit 's <unk> <unk> that safety does n't sell is airing television commercials touting its cars ' safety features
 cadillac may be on to something
 some N N of the survey respondents said they would buy <unk> <unk> even if they carry a medium or high price tag
 more than N N felt the same way about air bags
 both features appealed most to buyers under N
 in contrast <unk> computers power seats and <unk> engines had little appeal
 but even a little appeal has a lot of attraction these days
 gm 's <unk> division is offering a <unk> <unk> engine on its grand <unk> model even though it expects to sell only about N cars equipped with that option
 the reason items with narrow appeal can be important in a market as <unk> as today 's
 americans spent more than $ N billion on new cars and trucks last year and just N N of that market exceeded polaroid co. 's sales of $ N billion
 even if it 's only N N says gm 's mr. <unk> would you throw away sales the size of polaroid
 american telephone & telegraph co. said it will lay off N to N technicians here effective nov. N
 the workers install maintain and repair its private branch exchanges which are large <unk> telephone networks
 it 's a california crime <unk> worthy of an <unk> stanley <unk> title the case of the <unk> palm trees
 edward <unk> <unk> one morning last month to find eight <unk> in his front yard where his <unk> <unk> <unk> called <unk> once stood
 days later the thieves returned and <unk> out more this time adding <unk> to injury
 the second time he says they left the <unk>
 no <unk> crime <unk> <unk> is <unk> up all over southern california bringing big <unk> to <unk> who know their <unk>
 <unk> the most popular of which is the <unk> palm are <unk> versions of california 's famous <unk> <unk> with <unk> <unk> and <unk> <unk>
 because the <unk> is relatively rare and grows only a couple of inches a year it 's a <unk> lawn <unk> a <unk> tall <unk> can retail for $ N and <unk> ones often fetch $ N or more
 <unk> somebody has realized it 's easy money to steal these things says <unk> <unk> a research associate specializing in <unk> at the los angeles state and county <unk>
 just last week would-be thieves damaged three <unk> at mr. <unk> 's home in the eagle rock section before something frightened them off <unk>
 it 's hard to think someone is <unk> your garden he says
 police suspect that the criminals who dig up the plants in the dead of night are selling them to <unk> or <unk>
 the <unk> has become a popular <unk> in tony new housing <unk> apparently giving the <unk> a ready market for their <unk> <unk>
 thieves are going to find anybody who has enough <unk> to plant these things in their front yard says william <unk> an investigator with the police department in garden <unk> calif. where five such <unk> have been reported in the past several weeks
 the department is advising residents to plant <unk> if they must in the back yard and telling <unk> to be on the <unk> for anyone trying to palm one off
 but for those californians who want exotic gardens out front where neighbors can appreciate them there 's always harold smith 's approach
 after three <unk> were stolen from his home in garden <unk> i put a big iron stake in the ground and tied the tree to the stake with a chain he says <unk>
 and you ca n't cut this chain with <unk> <unk>
 program trading on the new york stock exchange in september rose to its highest recorded level as a percentage of total monthly trading volume
 september program trading amounted to N N of average daily new york stock exchange volume of N million shares the largest percentage since the exchange began making such figures public in july N
 a daily average of N million shares traded in program strategies in september the <unk> level ever
 the highest level was in june N when a daily average of N million shares traded in program strategies
 average daily trading volume in june of N million shares was considerably higher than in september
 program trading amounted to N N of average daily volume in june
 the big board says program trading describes a variety of strategies involving the purchase or sale of a basket of N or more stocks
 the most controversial of these is stock-index arbitrage in which traders buy or sell baskets of stocks and offset the position with an opposite trade in stock-index futures to lock in profits
 it 's the most controversial form of program trading because it can create abrupt price swings in the stock market
 salomon brothers inc. was the top program trader in september but most of the firm 's activity involved portfolio trading strategies other than stock-index arbitrage
 overall salomon reported program trading volume of N million shares
 the top stock-index arbitrage firm last month was morgan stanley & co
 of morgan stanley 's N million shares in program trades for the month N million were in stock-index arbitrage trades
 behind <unk> morgan stanley were kidder peabody & co. goldman sachs & co. and cs first boston inc. 's first boston corp. unit
 a group of shareholders filed suit against imperial corp. of america drexel burnham lambert inc. first executive corp. and others charging them with artificially <unk> imperial 's stock price to protect certain major investors
 the complaint filed in federal district court <unk> imperial and other defendants of issuing false and misleading financial data
 it also charges that imperial the holding company for imperial savings & loan experienced major losses and <unk> because of improper assessment of the risks of junk-bond investments and wholesale consumer loan packages
 the suit seeks unspecified damages
 imperial is in the midst of reducing its junk-bond holdings and getting out of the investment banking business in order to return to traditional thrift activities
 the derivative suit is similar to a class-action complaint filed earlier this year
 imperial said in a statement it expects other complaints to be filed in the wake of the original suit and a recent article in barron 's magazine that focused on the company 's problems
 although an imperial spokesman said the company had n't yet been served with the derivative suit he reiterated the company 's statement that it would vigorously defend itself against the class-action suit
 spokesmen at drexel and first executive said the companies had n't yet been served with the suit
 in a separate complaint also filed in federal court here shareholder max <unk> of new york charged imperial its top executives and directors with breach of fiduciary duty and <unk> the company 's assets
 imperial said it had n't been served with this suit either
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 rhone-poulenc s.a. paris said it completed the purchase of the specialty chemicals operation of <unk> corp. a british mining and industrial group
 rhone-poulenc a chemical and pharmaceutical company said <unk> chemicals has annual sales of about $ N million
 it did n't release terms of the transaction
 consumer spending in britain rose N N in the third quarter from the second quarter and was up N N from a year ago the central statistical office estimated friday
 a group including gene e. phillips former chairman of southmark corp. and william s. <unk> former vice chairman of southmark lowered its stake in the dallas real estate concern to N N according to a filing with the securities and exchange commission
 the group said it sold N southmark common shares from sept. N to oct. N for N cents to N cents a share
 the filing said the group continues to hold N remaining shares
 eastman kodak co. seeking to position itself in the potentially huge high-definition television market unveiled a <unk> that can transform conventional <unk> film into high-definition video
 the move also helps the rochester n.y. photographic giant ensure that its <unk> film business for which it holds a <unk> monopoly supplying every hollywood movie company is n't made <unk> by the <unk> hdtv business
 while the prototype <unk> is costly it 's being <unk> by the <unk> hdtv industry as a way of increasing the number of high-quality shows that can be seen on the new medium
 the industry has been waiting with <unk> breath for the machines to come along says david <unk> president of <unk> <unk> five productions inc. a new york pioneer in high-definition programming
 he notes that industry executives have until now worried that they would face a severe shortage of programs once consumers begin replacing their tv sets with <unk>
 japanese electronic giants such as sony corp. and hitachi ltd. have focused almost entirely on hdtv hardware and virtually ignored software or programs shot in high-definition
 and only a handful of small u.s. companies are engaged in high-definition software development
 it 's estimated that just about N hours of <unk> programming is currently available for airing
 kodak says its new <unk> hdtv <unk> will help alleviate the problem by allowing programmers and broadcasters to convert movies and television programs shot in <unk> <unk> film into high-definition video
 consumers will be able to switch on their hdtv sets and get all the <unk> benefits the high-tech medium offers
 otherwise they 'd be watching programs that are no different in quality from what they currently view on color tvs
 it would be like watching a black and white movie on a color tv set says malcolm g. <unk> chairman of the film and video department at the rochester institute of technology
 the new <unk> are a critical link between film and the television <unk> says <unk> d. <unk> vice president and general manager of kodak 's motion picture and <unk> products division
 kodak wo n't disclose the cost or when its <unk> will be on the market but it 's estimated the machine may be available within two years
 a similar machine already on the market made by rank <unk> ltd. a unit of rank <unk> costs about $ N
 and the potential market is tremendous industry experts say
 if hdtv takes off in the u.s. there will be demand for some N to N hdtv <unk> known in the industry as <unk>
 demand will come first from programming production companies and then from television stations
 the <unk> is head and <unk> above anything else i 've seen says richard j. <unk> vice president engineering and development at mca inc. 's universal city studios
 and mr. <unk> the program producer contends that kodak 's move is a sound marketing decision
 they ca n't afford to stay out of hdtv
 indeed the stakes are high
 the u.s. electronics industry estimates that the hdtv market will total about $ N billion over the next two decades with an additional $ N billion expected to go for related products
 <unk> break down images into more than N lines compared with N for today 's <unk> providing considerably sharper detail
 and the sets are wider <unk> the <unk> of a movie screen
 but the financial rewards are n't expected soon nor are they guaranteed
 experts estimate the first sets of <unk> wo n't be available for another five to N years and will probably retail for more than $ N each in today 's dollars
 some critics say they wo n't be quickly embraced by consumers because of the high price
 nevertheless kodak could n't risk letting hdtv turn its <unk> film business into a <unk>
 kodak understands hdtv is where everybody is going says <unk> 's mr. <unk>
 yet another political scandal is <unk> japan
 but this time it 's hurting opposition as well as <unk> members
 and as it <unk> it 's <unk> some of the more <unk> and <unk> aspects of japanese society
 already ruling liberal democratic party demands that opposition members testify under <unk> in parliament have stalled one budget committee session and forced the committee to plan a special two-day investigation at the end of the month
 but the scandal itself is so <unk> that <unk> members are divided between those who want to pursue the matter in hope of <unk> the opposition and those who favor leaving well enough alone
 the opposition can be the most hurt because everyone already figures the ldp is that kind of <unk> says <unk> <unk> former aide to ldp <unk> <unk> <unk> and now an independent analyst
 but he adds we ca n't tell where it will go at all because we 're still in the middle of it
 this time the scandal centers on donations made by the <unk> pachinko <unk> industry
 pachinko a kind of <unk> is japan 's favorite form of legal gambling
 the donations so far appear to be small especially compared with the huge sums that changed hands in the recruit co <unk> scandal that plagued the ruling party last year
 but the implications could be great
 pachinko is slightly on the <unk> side often linked to the lower ranks of japan 's <unk> and regularly at the top of annual lists of tax <unk>
 recently the industry has faced the threat of new restrictions and political donations may have been made with the intent to bribe
 also about N N of pachinko <unk> owners are korean many of whom maintain close ties with north or south korean residents ' organizations and donations by such foreign groups are illegal in japan
 to many japanese pachinko is benign or <unk> <unk>
 <unk> <unk> pachinko <unk> <unk> from the main streets and narrow <unk> of cities and towns across the country
 <unk> pass hours watching the lights <unk> and listening to the metal balls <unk> as much to gamble as to get a little time to be <unk> alone with their thoughts
 at N yen $ N for a handful of balls pachinko is a common <unk> and has been since it took root as cheap entertainment in the years after world war ii
 but the total of all those <unk> balls has created an industry with a reported annual income of N trillion yen almost $ N billion or nearly the size of japan 's <unk> automobile industry
 and because the pachinko industry is regularly at the top of annual lists for tax evasion some observers estimate the real income could be as much as N trillion yen
 if that money were being taxed it could bring the government a badly needed several trillion yen
 in N an attempt was made to crack down on the industry with tougher restrictions
 then in N a proposal to keep better track of income by selling prepaid cards for pachinko was <unk> in parliament
 the proposal split the industry in two along the lines of national <unk> north koreans oppose the plan while south koreans japanese and taiwanese accept it or are neutral
 in august a conservative weekly magazine reported that a pachinko industry organization donated money to japan socialist party members
 the magazine alleged that in making the donations the pachinko industry may have been offering <unk> to win support in the battle against prepaid cards or it may have been laundering money back and forth between the <unk> and the north korean residents ' organization the chosen <unk>
 the chosen <unk> and the <unk> immediately denied the report
 and at first neither the opposition nor the ldp wanted to pursue the issue
 but the press kept it alive as with the recruit scandal lists began circulating with names of people who had received money
 within a matter of weeks <unk> magazines reported that members of the ruling ldp had received much larger donations from pachinko organizations
 so far though there have been no allegations that the contributions the ldp members received amounted to <unk>
 then the two camps <unk> the <unk> reports that chosen <unk> had donated directly to <unk> members were rapidly <unk> by statements that the south korean residents ' organization had long been donating directly to ldp members
 the <unk> admitted oct. N that its members received about eight million yen from the pachinko organization and charged ldp members with receiving N million yen $ N and other opposition parties with taking about N million yen
 on friday the chief cabinet secretary announced that eight cabinet ministers had received five million yen from the industry including N yen $ N by prime minister <unk> <unk>
 no one has alleged that the donations were by themselves illegal
 direct donations from either of the residents ' organizations would be illegal because the groups are defined as foreign but both groups deny making direct donations
 they say it s possible some of their members may be donating privately
 the issue is further complicated because although the organizations represent korean residents those residents were largely born and raised in japan and many speak only japanese
 that they retain korean <unk> and ties is a reflection of history their parents were shipped in as <unk> during the decades when japan occupied korea before world war ii and the discrimination that still faces koreans in japanese society
 many japanese think it only natural that the organizations or their members would <unk> to politicians the way many japanese do to win favor or support
 both residents ' organizations admit to receiving some funding from abroad
 but ldp members and supporters of the prepaid card idea tend to speak in <unk> about the <unk> 's alleged donations <unk> that north korean money would be more suspect than south korean because north korea is communist and south korea is an ally
 when robert mcduffie was N he got a chance to play in the starting lineup for his high school basketball team in <unk> <unk>
 unfortunately his mother had tickets for a recital by <unk> perlman the same night and she was <unk> about his attending
 i threw such a fit says mr. mcduffie who had begun violin studies at the age of six
 but once perlman started playing i did n't give a damn about basketball
 <unk> i went home and practiced for three hours
 today it 's obvious that the <unk> <unk> <unk> <unk> made the right choice
 at N mr. mcduffie has a rich <unk> tone an <unk> <unk> precision and an increasingly busy schedule
 he 's currently in the midst of a <unk> u.s. tour with <unk> <unk> and the warsaw <unk> with stops including charleston s.c oct. N <unk> fla oct. N tampa fla oct. N and miami oct. N
 later this season he gives a recital at washington 's kennedy center and appears as <unk> with several major <unk>
 yet mr. mcduffie 's career has developed at a slower pace than those of some of his better known <unk>
 during the late 1970s he was part of a musical <unk> pack a group of <unk> <unk> who studied at the <unk> school with the noted <unk> <unk> delay
 his violin <unk> included <unk> <unk> a <unk> of <unk> stern who performed with major <unk> while still a student <unk> lin who joined the <unk> of <unk> artists inc. at the age of N and <unk> <unk> who launched her career by winning the N <unk> competition
 i thought i was over the hill at N recalls mr. mcduffie an <unk> man with pale blue eyes and a light southern <unk>
 but i was n't ready for a career at that time
 young mcduffie 's first violin teacher was <unk> <unk> a <unk> <unk> who taught in the <unk> public school system
 he taught me how to play like a <unk> jokes the <unk>
 i did n't learn to count until i got to <unk>
 after studies at that <unk> 's <unk> division with an assistant to the legendary <unk> ivan <unk> he switched at the college level to miss delay mr. <unk> 's longtime assistant and ultimately his rival
 i think i had to prove myself to her says mr. mcduffie
 but she was always encouraging
 she only put her foot down twice he continues
 in my freshman year my <unk> was known as a party animal
 she thought i was n't getting my practicing done
 as the <unk> tells it his <unk> looking teacher put her hands on her <unk> <unk> her foot and said you 've just got to get the <unk> <unk> out of there
 the second incident took place after mr. mcduffie gave an ambitious student recital and was feeling rather pleased with himself
 miss delay requested that he come to her studio with a tape of the recital
 we <unk> to the <unk> <unk> he recalls and she said you hear the first note that <unk>
 that 's the only note that 's truly in tune
 that 's the most important experience i 've had with any teacher he says because she taught me how to listen
 now when i play with <unk> the musicians often <unk> me on my <unk>
 it was also at <unk> that mr. mcduffie discovered his <unk> for conservative <unk> american <unk> such as david diamond and samuel barber
 after winning a school competition with a performance of the latter 's violin <unk> mr. mcduffie was invited to play the work for the <unk> who was dying of cancer
 barber was <unk> by the <unk> looking very pale recalls the <unk> who performed the work with a piano <unk> at the <unk> 's apartment
 he did n't say much but what he said was important because it 's not in the score
 there 's a beautiful <unk> <unk> he 'd kill me if he heard me say that throughout the first movement
 the only time the violin has it is right at the end
 it 's written <unk> in the score and i played it that way kind of <unk>
 and he <unk> out <unk> <unk> sweet sweet
 so we did it over he adds
 i played very <unk> with the tip of the <unk>
 if a <unk> is sensitive enough to bring down the <unk> volume at that point it makes the piece <unk>
 i do n't know why barber never told anybody else
 on <unk> stern 's recording it 's very <unk>
 since leaving <unk> mr. mcduffie has made some smart moves and some controversial ones
 his guest appearance on the nbc soap opera another world <unk> musical <unk>
 by contrast he 's won <unk> for his <unk> of william <unk> 's violin <unk> which he recently recorded for <unk> along with leonard bernstein 's engaging <unk> for violin solo <unk> and <unk>
 mr. mcduffie 's sweet tone <unk> <unk> and <unk> <unk> make him an ideal <unk> of both works
 aided by the <unk> playing of the st. louis <unk> under leonard <unk> 's direction this <unk> really swings
 mr. <unk> 's violin <unk> which sounds more like a mildly <unk> <unk> for solo violin with <unk> <unk> <unk> until the <unk> <unk> <unk>
 but there are ample rewards in its <unk> slow sections and <unk> <unk> for <unk> <unk> and <unk>
 at avery fisher hall here mr. mcduffie was heard recently with mr. <unk> and the warsaw <unk> in more conventional fare <unk> 's <unk> violin <unk> in <unk> minor
 his performance was so <unk> and driven that the <unk> rarely <unk>
 the <unk> <unk> played <unk> with a big <unk> sound that <unk> its size
 whatever he plays mr. mcduffie finds satisfaction in the music itself something greater out there than me as he puts it during an interview at the manhattan apartment he shares with wife <unk> a literary <unk>
 a normal person did not write the <unk> violin <unk> he declares
 even when i hear it played badly i 'm still <unk> by the piece
 if i could ever feel i 've contributed to it in some way then all the hard work has been worth it
 ms. <unk> is a free-lance music writer in new york
 are consumers too deep in <unk>
 a lot of observers think so and if they 're right the whole economy as well as the <unk> among us could be hurt
 a sudden forced <unk> by consumers who normally account for about two-thirds of economic activity would damp the economy at a time when <unk> spending is slowing and <unk> governments ca n't readily take up the slack
 and another wave of bad loans would further <unk> many <unk> lending institutions
 the <unk> cite some worrisome trends
 during the almost <unk> economic expansion inflation-adjusted gross national product disposable personal income and personal consumption expenditures have risen N N but inflation-adjusted consumer installment credit has surged N N
 and the ratio of installment debt to disposable personal income personal income after taxes has hit a high of about N N N
 however these figures do n't seem to worry thomas a. durkin an economist at the federal reserve board
 in a paper presented at the recent annual meeting of the national association of business economists in san francisco mr. durkin comments that installment credit always grows rapidly in cyclical advances and growth in this cycle is very typical of earlier <unk>
 he adds we are now <unk> a slowdown which if history is a guide could <unk> for a while
 but what about the debt burden
 mr. durkin doubts that there is some magic level at which the ratio of installment debt to disposable income indicates economic problems
 and more <unk> he says the debt burden measured other ways is not really in <unk> waters
 the chart below shows why see accompanying illustration wsj oct. N N
 the ratio of consumer installment credit to disposable income though up a bit has n't climbed <unk> and such debt as a percent of household assets is little changed
 moreover the burden of consumer credit payments relative to disposable income may be lower in this cycle than earlier mr. durkin says
 he notes that some revolving credit-card credit is actually convenience credit being used simply as a handy way of paying bills rather than a handy way of borrowing
 in addition he says longer maturities on automobile and other forms of installment credit boost the stock of debt faster than the flow of <unk> and the accompanying payment burden
 and if you consider the changing distribution of credit mr. durkin says much of the increase in debt in recent years is due to increasing credit use by <unk> families that is those probably best able to handle it
 citing figures on home-equity loans he notes that N N of homeowners had home-equity credit accounts but the proportion rises to N N of homeowners in the $ <unk> income range and N N of homeowners with income above $ N
 and much home-equity credit is used <unk>
 the most frequent use is home improvement which presumably improves the value of the property mr. durkin says
 so it is n't surprising that <unk> <unk> at banks remain as the chart shows <unk> below some earlier highs see accompanying illustration wsj oct. N N
 a severe recession could of course raise <unk> rates but so far the current levels of consumer debt do n't seem to <unk> as a major threat
 in fact the current weakness in auto buying and department-store sales and the gradual <unk> in the household saving rate suggest that consumers conservative as ever are already <unk> their <unk> a bit more tightly
 in july consumer installment credit outstanding fell for the first time since january N
 consumers appear unwilling to add to their leverage to support their spending bruce steinberg a merrill lynch economist says
 as a result household debt appears to be stabilizing at around N N of gnp
 consumers credit cards in hand are n't running <unk> through the shopping <unk> or putting the economy at any great risk
 maidenform inc. <unk> to be intimate with its customers but not with the rest of the public
 the <unk> maker of <unk> <unk> and <unk> enjoys one of the best-known brand images but its financial profile is closely <unk> by members of the founding family
 there are very few companies that can <unk> of such a <unk> group says robert a. brawer N years old recently named president succeeding beatrice coleman his <unk> who remains chairman
 we are a <unk> breed he <unk>
 mrs. coleman N who declined to be interviewed is the maidenform strategist
 sales have tripled during her <unk> tenure to about $ N million in N
 maidenform says it is very profitable but declines to provide <unk>
 the company sells image
 its current ad campaign on which maidenform has spent more than $ N million since fall N does n't even show its underwear products but rather men like christopher <unk> star of the <unk> movies talking about their <unk> <unk>
 the maidenform name is part of american pop culture says joan <unk> account supervisor of the campaign by levine <unk> <unk> & <unk> a new york ad firm
 maidenform generated such <unk> campaigns as i <unk> i in my maidenform <unk> and the maidenform woman
 you never know where she 'll turn up
 <unk> on the brand is key says mr. brawer whose immediate plans include further international expansion and getting better control of distribution outside the u.s.
 the intimate apparel industry is perceived to be a growth industry and clearly maidenform is a force to be <unk> with says david s. <unk> a special situations analyst at american securities corp. in new york
 although working women are forced to wear the uniform of the day to retain their <unk> they are buying better quality more upscale intimate apparel he said
 although mr. brawer 's appointment as president was long expected the move on sept. N <unk> the resignation of alan lesk as senior vice president of sales and merchandising
 three days later mr. lesk was named president and chief executive officer of <unk> co. a competing intimate apparel division of <unk> inc
 <unk> also owns <unk> another major intimate apparel maker
 mr. lesk could n't be reached to comment
 but maidenform officials say that after spending N years at maidenform mr. lesk N made it clear he wanted the top job
 if you want the presidency of the company this is n't the firm to work for says james <unk> N who was named senior vice president of sales assuming some of the responsibilities of mr. lesk
 the company <unk> the loss of mr. lesk and split his merchandising responsibilities among a committee of four people
 my style is less informal mr. brawer says
 top officers insist maidenform 's greatest strength is its family ownership
 you ca n't go anywhere in this company and find an <unk> chart one <unk>
 it is fun competing as a private company mr. brawer says
 you can think long range
 other major players in intimate apparel apparently feel the same way
 <unk> was taken private by spectrum group in N for about $ N million
 and last year <unk> holdings inc. went private for about $ N million
 it was then split into <unk> apparel inc. the intimate apparel division and <unk> family products corp. which makes <unk> <unk> items and other products
 publicly traded <unk> corp. which owns <unk> fair and <unk> lee corp. which owns <unk> co. are also strong forces in intimate apparel
 buy-out offers for maidenform are n't <unk> says executive vice president david c. <unk> but they are n't taken very seriously
 when he gets calls i do n't even have to <unk> with mrs. coleman mr. <unk> says
 the company could command a good price in the market
 over the past three and a half years apparel companies many of whom have strong brand names have been bought at about N N of sales says <unk> <unk> prudential-bache securities inc. apparel analyst
 mr. brawer along with mrs. coleman and her daughter elizabeth an attorney who is vice chairman are the family members involved in the operations of maidenform which employs about N
 mr. brawer 's wife <unk> and robert <unk> elizabeth 's husband round out the <unk> board
 each has an equal vote at the monthly meetings
 we are all very <unk> mr. brawer says
 executives say mrs. coleman is very involved in the day-to-day operations especially product development
 in the late 1960s she designed a <unk> stretch <unk> that boosted sales
 her father william rosenthal designed the <unk> making company 's first <unk> in the 1920s which he said gave women a <unk> form compared with the <unk> form they got from the flat <unk> used for support at the time
 while mr. rosenthal introduced new <unk> designs his wife <unk> concentrated on sales and other financial matters
 the name maidenform was <unk> by a third business partner <unk> <unk>
 the company has N plants and distribution facilities in the u.s. puerto rico other parts of the caribbean and ireland
 maidenform products are mainly sold at department stores but the company has quietly opened a retail store of its own in omaha neb. and has N factory outlets with plans to add more
 before joining maidenform in N mr. brawer who holds a <unk> degree in english from the university of chicago taught at the university of wisconsin
 as a senior vice president he has headed the company 's designer <unk> division <unk> de la <unk> since its inception in N
 to maintain exclusivity of that designer line it is n't labeled with the maidenform name
 while the company has always been <unk> mr. brawer is n't the first person to <unk> into the family and subsequently head maidenform
 mrs. coleman 's husband joseph a physician succeeded mrs. rosenthal as president and served in that post until his death in N
 china could <unk> its foreign-exchange reserves as early as next year a western government report says unless imports are cut drastically to help narrow the <unk> deficit
 according to the report completed last month if china 's trade gap continues to widen at the pace seen in the first seven months of this year the reserves would be wiped out either in N or N
 a country is considered financially healthy if its reserves cover three months of its imports
 the $ N billion of reserves china had in june would cover just that much
 the report by the western government which declines to be identified concludes that a near-term foreign-exchange payment problem can be avoided only if import growth drops to below N N per <unk>
 according to chinese customs figures import growth has slowed in recent months dropping to N N in july and N N in august from the year-earlier periods compared with an average growth rate of N N in the first half
 but before import growth slowed china 's buying spree in the first half already had taken its toll on foreign-exchange reserves
 the $ N billion level in june marked a drop from $ N billion at the end of april
 china 's last big import binge sent reserves tumbling to $ N billion in june N from $ N billion the previous september
 china might <unk> off a crisis if it acts as <unk> as it did to arrest the N decline when beijing <unk> the <unk> on foreign-exchange spending and <unk> the currency
 but this time china faces a more difficult battle because of economic forces that have come into play since the <unk> square killings june N
 for example china 's <unk> income is expected to suffer from the big drop in tourist <unk> since june N
 revenue from tourism this year is projected to total $ N billion down from $ N billion last year
 because of this and the huge trade gap the deficit in china 's current account which measures trade in goods and services plus certain <unk> transfers of funds is expected to widen sharply from the $ N billion deficit last year
 the western government report suggests a number of scenarios for china 's <unk> balance two of which are considered most likely
 in one imports and exports continue to grow at the respective average rates of N N and N N recorded during the first seven months and the <unk> deficit widens to $ N billion
 in N china had a record deficit of $ N billion
 the other scenario assumes that beijing takes effective actions to curb imports in the coming months
 in this case china would still finish the year with a <unk> deficit of $ N billion based on projections that imports for all of this year grow N N and exports N N
 if china were still on good terms with foreign lenders it might be able to stem the drain on its foreign-exchange reserves by using some loan funds to offset the <unk> deficit
 but since june foreign bankers led by international financial institutions have virtually suspended their new loans to china
 even if borrowing <unk> commercial bankers are n't expected to lend as much as before
 in addition economists are forecasting a slowdown in foreign direct investments as businessmen become increasingly wary of china 's deteriorating political and economic environment
 on top of all this <unk> <unk> are expected to peak in N to N
 with less capital coming in china 's balance of payments would suffer
 the western government report 's first scenario assumes a N N reduction in foreign borrowing and a N N <unk> in foreign direct investment
 in the second foreign borrowing is projected to grow N N and investment to drop N N
 but in either case the report says china 's balance of payments would rapidly dry up foreign reserves which are used to finance the <unk>
 in the first scenario the reserves would be exhausted next year and in the second they would be wiped out in N
 <unk> holding ag parent of the swiss chemical and pharmaceutical group said its group sales rose N N in the first nine months of the year to N billion francs $ N billion
 the company reported good gains in all of its divisions
 <unk> also said it expects a considerable rise in N group profit from the N <unk> $ N million net in N
 new <unk> investments inc. said it closed the acquisition of <unk> glass co. from <unk> co. a <unk> ill. maker of <unk> home products
 terms were n't disclosed
 <unk> a maker of glass bottles for the cosmetics and <unk> industries had sales last year of about $ N million
 new <unk> investments is a closely held investment partnership with interests primarily in the packaging industry
 ralph brown was N feet over minnesota when both jets on his falcon N <unk> out
 at N feet he says he and his <unk> were looking for an interstate or a <unk> to land
 at N feet the engines <unk>
 but knowing that <unk> would probably ground him for repairs mr. brown <unk> his stop in nearby chicago and set course to get his load a few hundred <unk> to the memphis <unk> hub on time
 had he been a little less <unk> i 'd have gotten the thing on the ground and headed for the <unk> bar mr. brown says
 but he flies for federal express corp. perhaps the <unk> thing in corporate america to the green <unk>
 federal 's employees work long hours and seem to <unk> on the stress of racing the <unk>
 like mr. brown they sometimes go to surprising <unk> to meet that <unk> corporate goal delivering the goods on time
 they are a <unk> to federal 's management which since the company 's founding N years ago has had its way with its work force an unusual feat in the contentious transportation industry
 that may soon change
 this month federal 's N pilots including some N acquired along with tiger international inc. in february will decide whether to <unk> the powerful air line pilots association as their bargaining agent
 the election which would bring the first major union to federal 's u.s. operations has <unk> new <unk> against devoted veterans such as mr. brown
 it has also rattled federal 's strongly <unk> management which is already <unk> with <unk> <unk> operations and with falling profits
 a union sooner or later has to have an adversary and it has to have a victory frederick w. smith federal 's chairman and chief executive says with <unk>
 in our formula we do n't have any losers except the competition
 what managers really fear is that the <unk> movement could spread beyond the pilots
 under federal transportation law a government mediator is attempting to <unk> the <unk> of tiger 's job <unk> into federal 's
 depending on the outcome the merged company may face union elections this fall among <unk> <unk> <unk> workers stock <unk> and flight <unk>
 these groups constitute up to N N of its work force
 unions would have a <unk> effect on the whole culture of the company says bernard la <unk> a professor at ohio state university at columbus and a federal consultant
 that culture carefully <unk> by mr. smith leaves little if any room for unions
 since founding the company the <unk> vietnam <unk> who is still only N years old has <unk> an <unk> of combat
 flights are <unk>
 mr. smith 's managers have at times been called <unk> <unk> <unk> 's guerrillas
 the <unk> <unk> award the navy <unk> for a job well done is <unk> on federal 's workers who <unk> the call of duty
 competitors are known as the enemy
 to reinforce employees ' <unk> mr. smith pays well
 he also lets workers <unk> steam through an elaborate <unk> procedure and as a <unk> fly free in empty <unk> seats
 he gives <unk> talks in periodic family <unk> <unk> internationally on <unk> the company 's own television network
 and with many of his N workers mr. smith 's <unk> attitude has caught on
 james cleveland a <unk> who earned a <unk> <unk> for figuring out how to get a major customer 's <unk> load to its <unk> by N a.m. considers himself far more than a <unk>
 we do n't just hand the customer the package
 that 's just the beginning he says
 in <unk> we run the show
 david <unk> a longtime pilot <unk> at the mere suggestion that a union might <unk> with his flight schedule
 this is america he says
 nobody has the right to tell me how much i can work
 such attitudes have given federal flexibility not only to rapidly implement new technology but to keep its work force extraordinarily lean
 the company deliberately <unk> stretching employees ' schedules to the limit
 but though <unk> work as many as N hours a week during the autumn rush they leave early during slack times while still being assured of a minimum <unk>
 pilots as well routinely fly overtime to ensure that none are <unk> during seasonal lows
 the operational freedom has also given federal a leg up on archrival united parcel service inc. the nation 's largest employer of united <unk> of <unk> members
 ups wo n't discuss its labor practices but according to mr. cleveland a former ups employee and others union work rules prohibit ups drivers from doing more than carrying packages between customers and their vans
 because ups drivers are n't permitted to load their own vehicles at the <unk> say these <unk> packages often get buried in the load and are delivered late
 labor problems are the last thing mr. smith needs right now
 although the tiger acquisition has brought federal a long way toward becoming the global player it wants to be it also has brought problems
 it more than doubled federal 's long-term debt to $ N billion thrust the company into unknown territory heavy cargo and suddenly expanded its landing rights to N countries from four
 federal on its own had n't been doing very well overseas
 it had <unk> in its attempt to get into asia where treaty restrictions forced it to fly some planes <unk> on certain routes
 on routes to south america the company had no backup jets to ensure delivery when planes were <unk>
 in europe business suffered as federal bought several local companies only to have the managers quit
 these and other problems squeezed federal 's profit margins last year to N N down from more than N N annually in the first half of the decade
 earnings have plummeted too in each of the past three quarters
 in the fiscal first period ended aug. N profit fell N N to $ N million or N cents a share mostly because of the tiger merger federal says
 federal 's stock price however has held up well driven in part by the general <unk> of airline stocks analysts say
 since trading as low as $ N a share in may federal 's shares have rallied as high as $ N in new york stock exchange composite trading
 they closed friday at $ N down N cents on the day
 there 's a certain irony in the fact that federal express faces its first union problems as a result of its tiger purchase
 tiger itself was founded by a band of <unk> <unk> who had <unk> supplies over the <unk> from india to china during world war ii
 in the early 1970s mr. smith <unk> his fledgling company on tiger 's innovation of <unk> and <unk> operations
 but from early on tiger 's workers <unk> while federal 's never have
 federal express officials acknowledge mistakes in their drive overseas but say it will pay off eventually
 analysts expect federal 's earnings to improve again in its fiscal third quarter ending feb. N when the company should begin benefiting from tiger 's extra flights <unk> planes and landing rights
 until then they expect the cost of <unk> the two carriers to continue <unk> profits
 for now the union issue is the most <unk> of federal 's tiger problems management believes
 although encouraging dialogue between managers and workers mr. smith does n't <unk> what he considers <unk>
 when a large group of pilots once signed <unk> opposing <unk> and compensation changes he called a meeting in a company <unk> and dressed them down for challenging his authority
 he then made most of the changes pilots say
 that sort of approach however has n't worked since the addition of tiger
 its N workers who had battled tiger 's management for years over <unk> were union members until the day of the merger when most of their unions were automatically <unk>
 soon after the merger moreover federal 's management asked tiger 's pilots to sign an agreement <unk> that they could be fired any time without cause or notice
 when the pilots refused the company <unk> it
 mr. smith angered federal 's pilots too
 in his <unk> to seal the deal with tiger chairman saul steinberg last august mr. smith ignored a promise that he had made to his own pilots three years ago that any <unk> acquired in future mergers would be <unk> put at the bottom of the pilot seniority list that <unk> work schedules pay and career options
 the tiger merger agreement <unk> that the lists be combined on the basis of tenure
 mr. smith is trying hard to <unk> the anger
 and even some <unk> pilots say his <unk> and popularity among the many former military <unk> could be tough to beat
 a lot of people are identifying a vote for representation as a vote against fred smith says <unk> <unk> a <unk> pilot and union activist
 mr. smith and other top federal executives have met with tiger workers in los angeles ohio new york alaska asia and europe
 recently they have appeared every few weeks in <unk> type <unk> <unk> <unk> arguments
 in one video mr. smith defended his agreement to merge the <unk> lists
 he said mr. steinberg had insisted that the merger talks move quickly
 regulators as well might have <unk> the deal if tiger 's pilots had n't been protected he said
 furthermore mr. smith added our contract with our pilots says that we will manage our fleet operations with their advice
 it does n't give any particular group the ability to veto change
 already the fight has been costly
 the <unk> controversy along with the <unk> dispute has been turned over to the mediator
 meanwhile the company is operating with two separate pilot groups and seniority lists and that is costing federal a big number says james <unk> executive vice president and chief operating officer
 the issue has also cost federal management a lot of good will among its old pilots
 they were willing to <unk> us because we had n't shown any <unk> any resistance says william <unk> a <unk> pilot and <unk> federal veteran
 adds john <unk> a N <unk> and past chairman of the <unk> flight advisory board they 've made all these <unk> gestures to the flying tiger pilots and for us nothing
 such <unk> could prove <unk> in the union vote
 a large majority of the N former tiger <unk> support the union according to a union study
 but though most of the N federal pilots are believed opposed it is unclear just how much their loyalty to mr. smith has been eroded
 the fight has turned <unk> and among pilots at least has shattered the <unk> de corps that mr. smith worked so hard to build
 <unk> pilots have held <unk> parties
 some younger pilots say they have had to endure <unk> <unk> by senior pilots while flying across the country
 and for now at least the competition is n't the only enemy
 barney <unk> a N <unk> and leader of the <unk> forces said he has received two <unk> death threats and been challenged to a fight with tire <unk> by a <unk>
 the pilots are either for us or extremely against us he says with a sigh
 <unk> corp. said it obtained a $ N million export order for <unk> recovery vehicles and related support equipment
 <unk> declined to say what country placed the order
 the company said it received an order for N of the vehicles which retrieve tanks and other <unk> vehicles when they break down or are damaged and an option for N more
 delivery is to begin in early N
 <unk> produces products for defense industrial commercial and construction markets
 the senate convicted u.s. district judge <unk> hastings of florida of eight impeachment articles removing the <unk> judge from his $ <unk> lifetime job
 mr. hastings 's case was particularly <unk> because it marked the first time a federal official was <unk> and removed from office on charges of which a jury had acquitted him
 in N mr. hastings was found not guilty of accepting a $ N bribe in a case before him the central charge on which the senate convicted him
 he was only the sixth federal judge ever ousted from office after an impeachment trial
 with no floor debate the senate on friday voted N to <unk> mr. hastings of perjury and conspiring to accept a bribe five votes more than needed
 conviction on any single impeachment article was enough to remove judge hastings from office
 he was found not guilty of three charges involving accusations that he had improperly disclosed information about a sensitive government investigation
 the senate did n't vote on six lesser charges
 although mr. hastings had been acquitted by a jury lawmakers handling the prosecution in congress had argued that the purpose of impeachment is n't to punish an individual
 instead they argued that impeachment aims to protect public institutions from people who have abused their positions of trust <unk> of the outcome of prior criminal or civil cases
 mr. hastings faced the senators and sat <unk> during the first two <unk> votes then quickly left the chamber
 in an <unk> news conference on the capitol steps he denounced the senators ' action
 their opinion is <unk> of the wisdom of the <unk> ' teaching regarding impeachment mr. hastings said
 for the future he said he would run for governor of florida
 mr. hastings was appointed to the federal bench by president carter in N and was one of the few black federal judges in the country
 while he packed the senate gallery with his supporters during some of the impeachment trial most civil rights groups kept their distance from his case
 following the impeachment conviction dr. benjamin <unk> executive director of the national association for the <unk> of <unk> people issued a <unk> statement warning that the hastings case could set a dangerous precedent but adding we must respect the considered judgment of the senate
 when last we left him fbi agent <unk> mancuso had solved a murder mystery unraveled a washington political scandal and racked up some pretty good ratings numbers in the <unk> favorite son
 what next for the <unk> fbi agent with the heart of gold
 a spinoff series of course
 there are plenty of worse <unk> for shows and most of them had already made the fall lineup
 a <unk> raising some <unk> <unk>
 a <unk> mother raising some <unk> <unk> models
 a bunch of <unk> and <unk> suits <unk> as <unk> <unk>
 in that context robert <unk> 's <unk> performance as the <unk> even <unk> veteran agent seems a better franchise for a series than most
 week by week on mancuso fbi nbc <unk> N p.m <unk> he <unk> around the crime styles of the rich famous and powerful of the washington scene a loose <unk> on deck at the fbi
 over the first few weeks mancuso fbi has <unk> straight from the <unk> which is either a <unk> <unk> at <unk> or a lack of <unk> or both
 the opening show featured a secretary of defense <unk> accused of <unk> a la john tower
 when his secretary is found floating dead in the <unk> 's pool mancuso is called in to investigate
 last week a young black girl claimed she had been <unk> by a white police officer a la <unk> <unk>
 in this week 's show there 's an <unk> nuclear <unk> facility a la rocky <unk>
 along the way we 're introduced to the supporting cast a <unk> <unk> secretary <unk> <unk> her real name honest a <unk> young boss <unk> <unk> another <unk> <unk> who 's also an <unk> lawyer <unk> <unk> and a <unk> expert charles <unk>
 if all of this seems a little <unk> it 's redeemed in part by some tricky plot <unk>
 the usual suspects are found to be guilty then not guilty then guilty but of a different crime
 in last week 's rape case for example the girl turns out to have been a victim of incest and the biggest <unk> are the politicians who exploit the case
 most of all though the show is redeemed by the character of mancuso
 what makes the veteran fbi man so <unk> is his <unk> <unk> earned we discover when he was assigned to the civil rights movement back in the 1960s
 he was n't protecting the freedom <unk> he was <unk> them as <unk>
 this is not the mississippi burning scenario that <unk> his young colleagues kid you 've been reading classic <unk> too long mancuso says
 back in N the fbi had five black agents
 three were <unk> for j. edgar <unk> and two <unk> his house
 at the core of mr. <unk> 's mancuso is his <unk> <unk>
 he describes a reporter as miss first amendment
 he describes a <unk> <unk> as <unk> williams
 and when he 's told try a little <unk> he <unk> back i 'm going home to try a little <unk>
 yet for all his <unk> he 's at heart a <unk> <unk> a <unk> with a secret crush on truth justice and the american way
 he 's the kind of guy who <unk> <unk> flags
 if mancuso fbi has an intriguing central character it also has a major flaw
 it 's wildly <unk>
 executive producers steve sohmer and jeff <unk> and <unk> ken <unk> and steve <unk> have <unk> this show up to the breaking point
 to start there 's always a crisis and someone always worries what if the press gets a hold of this
 at least once an episode we see <unk> <unk> around <unk> <unk>
 at least once mancuso 's boss <unk> in here now and proceeds to dress his investigator down
 you are a <unk> a <unk> in a $ N suit
 one more word and you are out on a park bench <unk>
 finally of course the boss gives in but he 's still <unk> i find myself explaining anything to teddy kennedy you 'll be chasing stolen cars in <unk>
 in fact throughout mancuso fbi we do n't get words or lines we get <unk>
 witnesses <unk> <unk> <unk> a dream that the planet could be saved from itself and from the <unk> <unk> creatures who try to <unk> down every decent man who raises his voice
 and mancuso himself is investigating at the top of his <unk> how the hell can you live with yourself he <unk> at a politician
 you twist people 's trust
 you built your career on <unk> and hate
 the <unk> will be here years after the polls close
 in each show mancuso gets to <unk> similar <unk>
 where the hell are they <unk> <unk> live when people like you turn the world into a big toxic waste dump
 you 're the real criminal here and what you did was n't just a murder it was a crime against <unk>
 and at least once a show someone <unk> the line get off that <unk>
 now that 's advice the writers should take to heart
 they have a series with a good character some interesting even occasionally surprising plot lines and they 're <unk> it
 why when a key witness disappears does mancuso trash her apartment <unk> down <unk> <unk> walls
 it 's a bizarre and totally inappropriate reaction all to add more <unk> to a script that 's already <unk> on <unk>
 that 's not plot
 that 's not character
 that 's <unk>
 there is a scene at the end of the first week 's show where mancuso <unk> the <unk> of the <unk> to his dead partner david
 asked to say a few words he pulls out his <unk> piece of paper and tries to talk but he 's too <unk> up to get the words out
 he <unk> on the piece of paper in frustration then turns and walks away
 it was a <unk> moving moment for series television and robert <unk> 's acting <unk> in the <unk>
 there 's a pretty good program inside all the noise of mancuso fbi
 if the show 's <unk> could just let themselves be quiet for a little they might just hear it
 with a twist of the <unk> boys with tops and <unk> <unk> and <unk> types with <unk> in their <unk> have a goal in common all of them try to put the right spin on it
 george o. <unk>
 net gain
 investment letters now <unk> i really like to read them if i <unk> enough i 've found i 've no time left to <unk> them
 <unk> <unk>
 daffynition
 tv <unk> <unk>
 <unk> <unk> may
 texaco inc. has purchased an <unk> company in texas for $ N million its first major acquisition since its legal <unk> with pennzoil co. began more than four years ago
 the white plains n.y. oil company said friday that it had acquired <unk> production corp. a subsidiary of <unk> energy holdings inc. for $ N million in cash with the rest to be paid in shares of a new <unk> issue of preferred stock
 <unk> which holds properties in N oil and gas fields in south texas will provide texaco with mostly gas reserves
 the fields contain <unk> reserves of N billion cubic feet of natural gas and four million barrels of oil
 this acquisition is another indication of texaco 's commitment to increase the company 's reserve base said chief executive officer james w. <unk>
 texaco has also been attempting to sell oil properties
 at least two years ago the company put N million barrels of oil reserves on the block
 they were either too small or <unk> to maintain the company said
 not all of those <unk> have yet been sold
 texaco acquired <unk> before it completed those sales because <unk> 's properties are high quality and near other fields texaco already owns a company spokeswoman said
 texaco like many other oil companies has been struggling to replace its falling oil and gas reserves
 texaco 's situation had become particularly complex because much of its effort had for years been focused on its <unk> with pennzoil and then on new york investor carl c. icahn 's attempt to take over the company
 pennzoil had sued texaco for improperly <unk> with its acquisition of a portion of <unk> oil co
 eventually texaco which was forced into bankruptcy proceedings by that litigation settled its fight with pennzoil for $ N billion in N
 mr. icahn who played a key role in the settlement and attempted subsequently to take control of the company sold his stake in texaco just last summer
 completion of texaco 's acquisition of <unk> is subject to government approval under the hart-scott-rodino antitrust improvements act
 <unk> inc. said it reduced the estimated cash distribution for its capital housing and mortgage partners inc. trust to between N cents and N cents a share from between N cents and N cents for the year ending june N N
 the change in expected cash distributions from the <unk> real estate investment trust stems from a revised estimate of administrative costs said jay r. cohen <unk> executive vice president
 <unk> which sponsors <unk> is a world-wide real estate investment firm
 h&r block inc. had net income of $ N million or $ N a share in the fiscal year ended april N
 the figure was incorrectly shown as a net loss in a chart accompanying friday 's heard on the street column
 your oct. N article on daniel <unk> cited the quote a good name is better than great <unk> as being from <unk> ' don <unk>
 actually <unk> borrowed that quote from a writer of some N centuries earlier israel 's king <unk> wrote those words in the book of <unk> N
 michael e. hill
 japan had an <unk> trade surplus of $ N billion for the first N days of october down from $ N billion a year earlier the finance ministry said
 the latest drop shows the narrowing in the nation 's trade gap reflected in <unk> full monthly reports is continuing
 the report follows <unk> declines in full monthly figures
 imports rose sharply in the period to $ N billion from $ N billion a year earlier a change of N N
 exports during the period were $ N billion N N below $ N billion a year ago
 <unk> ag 's chairman said the belgian insurer is prepared to give up some of its independence to a white knight if necessary to <unk> a raider
 amid heavy buying of shares in belgium 's largest insurer maurice <unk> also warned in an interview that a white knight in buying out a raider could leave speculators with big losses on their ag stock
 since the beginning of the year the stock has nearly doubled giving ag a market value of about N billion belgian francs $ N billion
 the most likely white knight would be societe generale de <unk> s.a. which already owns N N of ag and which itself is controlled by cie financiere de suez the <unk> french financial conglomerate
 but mr. <unk> said a rescue also could involve <unk> mutual life insurance co. which owns N N of ag
 ag is hardly alone in its anxiety
 a <unk> <unk> is quickly <unk> europe 's <unk> insurance business
 worried by european community <unk> that will remove many of the barriers to cross-border insurance services starting in <unk> insurers are rushing to find partners and preparing for price wars
 in west germany and the netherlands insurers are <unk> with banks
 in france suez and <unk> assurances s.a. both have been on the <unk> for giant acquisitions suez last month acquired control of <unk> <unk> the <unk> european insurance company after a takeover battle with cie <unk>
 mr. <unk> said the volume of shares changing hands has grown significantly since <unk>
 but he estimated that a raider would have been able to <unk> no more than N N of the shares in recent months
 aside from exploring plans for joint ventures or acquisitions mr. <unk> has called top managers of companies rumored as potential raiders among them <unk> union des assurances de paris and suez all based in france
 they have all very clearly stated that they have not acquired and are not acquiring shares of ag he said
 any raider would find it hard to crack ag 's <unk>
 a syndicate of shareholders holds just under N N of ag mr. <unk> said and members have agreed to give one another the right of first refusal should they sell any ag shares
 aside from generale de <unk> and <unk> the syndicate includes <unk> <unk> a belgian savings bank and various family interests
 a generale spokesman confirmed that the giant belgian holding company would be willing to raise its stake in ag should a raider seek control
 <unk> officials could n't be reached for comment
 even without bid talk this year 's surge in prices for brussels real estate has excited interest in ag
 the company says those holdings constitute the <unk> real-estate portfolio in belgium
 with the dust settling from the failed coup attempt in panama one of the many <unk> questions the bush administration will <unk> is this is the national security council staff big enough and does it have enough clout to do its job of <unk> foreign policy
 president bush 's national security adviser <unk> gen. <unk> scowcroft came into office in january intent on making the nsc staff <unk> and more disciplined than it had been during the reagan administration
 gen. scowcroft was a member of the tower commission which investigated the iran-contra affair
 he was all too aware of how a large <unk> <unk> nsc staff had spun out of control and nearly <unk> president reagan 's second term
 so following both the style he pursued as president ford 's national security adviser and the recommendations of the tower commission gen. scowcroft has <unk> the nsc staff and tried to ensure that it <unk> to its assigned tasks namely gathering the views of the state department pentagon and intelligence community serving as an honest broker in <unk> that information for the president and then making sure presidential decisions are carried out
 the tower commission specifically said that the nsc staff should be small and warned against letting energetic <unk> like <unk> col. oliver north strike out on their own rather than leaving the day-to-day execution of policies to the state department pentagon or central intelligence agency
 however the panama episode has raised questions about whether the nsc staff is sufficiently big diverse and powerful to coordinate u.s. policy on tough issues
 during the coup attempt and its aftermath nsc staffers were stretched very thin says one senior administration official
 it 's a very small shop
 gen. scowcroft does n't plan to increase the staff right now but is weighing that possibility the official adds
 the nsc staff does n't have the <unk> that i believe is required to have an effective <unk> process says frank <unk> a former pentagon aide who now runs the center for security policy a conservative washington <unk>
 the problem with this administration i think is that by design it has greatly diminished both in a physical sense and in a procedural sense the role of the nsc
 the national security council itself was established in N because policy makers <unk> a need in an increasingly complex world for a formal system within the white house to make sure that communications <unk> smoothly between the president and the state department pentagon and intelligence agencies
 by law the council includes the president vice president and secretaries of state and defense
 in practice the director of central intelligence and chairman of the joint chiefs of staff also serve as <unk> members
 but the size shape and role of the nsc staff have been left for each president and his national security adviser to decide
 that task is one of washington 's <unk> problems
 in the bush white house the size of the nsc 's staff of professional officers is down to about N from about N in N administration officials say
 administration officials insist that the size of the staff was n't a problem during the panama crisis
 but one clear problem during the coup attempt was that the nsc <unk> most experienced in latin america <unk> briggs was gone
 he had just resigned at least in part because of a <unk> with assistant secretary of state bernard <unk> over the administration 's policy on panama and support for nicaragua 's contra rebels
 the absence of mr. briggs underscored the possible <unk> of the current nsc staff
 both gen. scowcroft and his deputy robert gates are experts in u.s.-soviet affairs
 gen. scowcroft is particularly <unk> in arms control and mr. gates has spent years studying soviet politics and society
 both have become <unk> of president bush
 but neither has an extensive background in latin america the middle east or asia
 in those areas the role of nsc staffers under them therefore have become more important
 gen. scowcroft knows as well as anyone that one of the biggest dangers he faces is that nsc staffers working in relative <unk> will take over <unk> and operational tasks that are best left to bigger and more experienced state department and pentagon bureaus
 but just as every previous nsc adviser has gen. scowcroft now will have to <unk> at what point the nsc staff becomes too lean and too <unk>
 japan 's wholesale prices in the first N days of october fell N N from the previous N days but rose N N from a year ago the bank of japan said
 the wholesale price index stood at N N <unk> N
 a former sperry corp. marketing executive admitting his role in the pentagon procurement scandal pleaded guilty to bribery and conspiracy charges for helping <unk> $ N to a <unk> navy acquisition official during the early 1980s
 frank lavelle who at the time was the marketing director for sperry in <unk> fla. admitted participating in a scheme to bribe <unk> <unk> the navy official
 mr. <unk> who left the navy in N pleaded guilty earlier this year to related conspiracy bribery and <unk> charges
 the bribery scheme took place between N and N according to documents filed by prosecutors in connection with mr. lavelle 's guilty plea in federal district court in <unk> va
 sperry merged with <unk> corp. to become unisys corp. in late N
 court documents filed by prosecutors indicate mr. <unk> tried to steer to sperry a <unk> dollar contract to <unk> maintenance of certain navy electronics <unk>
 mr. <unk> among other things illegally provided mr. lavelle with inside information and documents intended to give sperry an unfair advantage in the competition the documents said
 sperry ultimately was eliminated from the competition without receiving the work
 documents filed by prosecutors also indicate that mr. lavelle and his fellow <unk> requested and obtained approval of the scheme from <unk> sperry officials because the payment which <unk> <unk> requested was so large
 charles <unk> a former unisys vice president and james neal a former company consultant have admitted participating in this and other bribery schemes
 unisys has said that all of the company officials who participated in improper activities have left the company
 mr. lavelle faces a maximum of N years in jail and a $ N fine
 the new york stock exchange said a seat was sold for $ N unchanged from the sale thursday
 seats are quoted at $ N bid and $ N asked
 bureaucrats may deserve their bad reputation after all
 <unk> lesko something of a professional <unk> of government thought he had a <unk> winner last summer when he offered $ N for the best <unk> story of N words or less about how a government bureaucrat helped you
 he sent out thousands of news releases from his <unk> md. office
 he <unk> the contest on larry king 's radio show on pat <unk> 's television show and on the <unk> cable television network
 he talked about it in every speech he made as he <unk> the country promoting his books which <unk> handy <unk> advice on using government information for fun and profit
 mr. lesko figured he would be flooded with <unk> by now
 after all he says we 've got like N million bureaucrats
 and in addition to the $ N he has promised the winner a my favorite bureaucrat <unk> and offered each of two <unk> $ N
 so far though mr. lesko has received only one entry
 to make matters worse the lone nomination came from another bureaucrat a woman from the new york state department of taxation and finance who <unk> her boss
 mr. lesko who is making the rules as he goes has determined that bureaucrats are eligible for nomination by other bureaucrats
 but he says he would prefer to get <unk> from <unk> folks
 he admits that he has n't had much luck generating free publicity for his contest
 newspapers including this one have generally ignored his news releases
 talk show hosts quickly change the topic
 but mr. lesko 's staff is beginning to wonder whether there is n't some larger phenomenon <unk> the contest
 is the government not helping anybody asks <unk> murray an assistant to mr. lesko
 mr. lesko himself is n't yet prepared to accept that explanation
 people hate to write he says
 maybe people do n't believe i want to give this money away
 maybe americans are just so <unk> with government that they are n't interested in admitting that bureaucrats come in handy once in a while
 if he sponsored a contest on how a bureaucrat <unk> something mr. lesko admits i 'd get N <unk>
 now there 's an idea
 ford motor co. and saab-scania ab of sweden broke off talks about a possible alliance after ford officials concluded that the cost to modernize saab 's car operations would outweigh the likely return
 with the collapse of the talks friday european analysts expect ford to intensify its pursuit of british luxury car maker jaguar plc which is scrambling to fend off a hostile ford bid by negotiating a friendly alliance with ford 's archrival general motors corp
 saab meanwhile is left to continue its search for an ally to shore up its sagging car business
 saab said last week it has had and will continue to have contacts with other manufacturers
 among the possible suitors is italy 's fiat s.p a analysts said last week
 ford and saab officials declined to elaborate publicly on the announcement friday that their negotiations failed to yield an agreement that could make long-term business sense to both parties
 individuals close to the ford side of the negotiations said late last week that the no. N u.s. auto maker lost interest as it became clear that the swedish auto maker 's automotive operations had little to offer in the way of image or technology
 ford originally had seen a saab alliance as a way to expand its presence in the european and u.s. luxury car markets
 in addition ford and saab had discussed a possible link between their heavy truck operations
 but the talks on a heavy truck alliance apparently did n't go far
 some european analysts speculated that officials of saab 's highly profitable <unk> truck operation balked at <unk> any of their <unk>
 meanwhile ford officials became convinced they could n't expect to recover the investment it would require to make saab 's cars competitive in the increasingly crowded luxury market
 saab 's problems were underscored friday when the company announced that its car division had a N billion kronor $ N million loss during the first eight months of this year slightly worse than saab-scania had forecast in its first-half report last month
 overall saab-scania 's pretax profit during the first eight months of the year plunged N N to N billion swedish kronor $ N million from N billion kronor $ N million a year earlier
 industry analysts in europe said the most likely suitor for saab now is fiat
 saab and fiat have worked together in the past in one case developing jointly a new auto <unk> that became the foundation of saab 's N model fiat 's <unk> and <unk> 's <unk>
 last month saab-scania chief executive <unk> <unk> said his company has had talks with fiat about a broader alliance
 but the talks yielded nothing so advanced that we needed to make a public announcement about it he said
 as for ford analysts expect the end of the saab play will allow the u.s. auto maker to focus its resources on the <unk> struggle with gm for a stake in jaguar
 the failure of the saab talks makes it even more crucial for ford to be <unk> in the jaguar contest said stephen reitman european auto industry analyst at <unk> & drew in london
 ford faces an <unk> fight for jaguar however
 jaguar executives said last week they expect to have a friendly alliance with gm <unk> up by the end of the month
 gm meanwhile is <unk> a delegation of members of the british parliament who are <unk> the auto maker 's <unk> operations in detroit
 a gm spokesman said the visit is n't connected to the jaguar situation
 but ford clearly views jaguar as a prize worth fighting for since the company 's <unk> brand image would give ford a badly needed leg up in the high end of the luxury markets in both europe and the u.s.
 last week ford encountered a setback in its effort to broaden its u.s. luxury offerings when it was forced to abandon a four-year-old effort to market its <unk> scorpio sedan in the u.s. as a luxury import under the merkur brand name
 so despite the <unk> <unk> analysts say ford by last friday had boosted its jaguar holding to about N N of the luxury auto maker 's shares outstanding from N N early last week
 about N million jaguar shares changed hands in active trading on london 's stock exchange friday and jaguar shares moved up N pence to N pence $ N
 on the u.s. over-the-counter market jaguar 's american depositary receipts rose N cents to $ N
 <unk> s. <unk> contributed to this article
 the dallas cowboys are looking at a <unk> situation struggling to pull ahead of the atlanta <unk>
 up in his stadium box their new and controversial owner <unk> jerry jones watches <unk> as the team <unk> up to the <unk> line
 mr. jones takes heart
 there in the center of the pack is <unk> <unk> <unk> the key to the cowboys ' comeback strategy
 so key in fact that mr. jones signed him in april for $ N million over the next six years a record for a <unk>
 he 's a genuine <unk> <unk> <unk> mr. jones
 with three minutes left on the <unk> mr. <unk> takes the <unk> steps back and fires a <unk> pass straight into the hands of an atlanta defensive back
 the crowd <unk> mr. jones <unk> his head the cowboys lose the game
 a few days after that sept. N game mr. <unk> broke a finger <unk> him for weeks
 <unk> the <unk> of professional sports
 for mr. jones losing his <unk> temporarily was just the latest in a string of setbacks that has <unk> the dallas cowboys and this year much of the national football league
 once fat and happy the cowboys now are losing games fans and money
 last year the team ended up $ N million in the red on $ N million in revenue
 it has some of the highest costs in the league
 its attendance is off N N from six years ago
 at the very least mr. jones who <unk> the society circuit as <unk> as his bench can take comfort in one fact these days he is n't alone
 nearly half the owners of the N national football league teams are losing money the result of flat attendance aging stadiums and more than anything <unk> salaries for star players like mr. <unk>
 last year the top N players on each nfl team took home an average $ N a figure comparable to baseball and higher than in basketball
 <unk> draft picks have done even better average salaries and bonuses for them rose to $ N this year up N N from N
 it 's a vicious circle says art <unk> owner of the cleveland <unk>
 one team pays so much and the other pays more
 we just do n't have that kind of income stream
 all this is causing <unk> in professional football
 owners largely <unk> in the past are now almost desperately looking for ways to lower costs and raise revenue <unk> some revolutionary ideas in the process
 though not intentionally the cowboys ' mr. jones has come to represent this new breed of owner
 shortly after buying N N of the team from <unk> <unk> bright for $ N million and <unk> of the cowboys ' <unk> bottom line the <unk> mr. jones set about his own round of team cuts
 first he <unk> <unk> tom <unk> the legendary coach who took the cowboys to five <unk> <unk> and N consecutive winning seasons
 in dallas mr. <unk> has a standing just shy of <unk>
 <unk> sentiment flooded the local press a crude <unk> <unk> said one writer a real <unk> said another who in the hell does he think he is wrote a third
 for mr. jones it was just the beginning
 he quickly cut the team 's bloated administrative staff by half shut down a <unk> dance academy and in july announced plans to sell valley ranch the team 's <unk> practice camp and the most <unk> training facility in the nfl
 mr. jones calls the ranch the pentagon of <unk>
 it is a <unk> of halls that <unk> film rooms elaborate <unk> and <unk> centers that testify to a richer more <unk> era
 he likes to tell the <unk> of how he got lost on the <unk> ranch during an early visit took refuge in an office and called the front desk for help
 i said somebody come get me
 i 'm at extension N
 with a new day <unk> on the sport mr. jones does n't see a place for this sort of luxury
 it 's just not cost efficient he says
 the place costs nearly $ N million a year to maintain
 when he sells it he says the cowboys will move to a more practical read affordable <unk> practice field near texas stadium
 and as for tom <unk> well in mr. jones 's mind he had played out his winning years
 after posting losing seasons in each of the last three years the cowboys needed a change he says
 football has long been mr. jones 's passion both on and off the field
 an arkansas native he started at guard on the <unk> N university of arkansas team that won a national championship
 after college he worked at his father 's insurance company in little rock and in N led an aborted attempt to buy the san diego <unk>
 years later with cash from the sale of the insurance company he founded <unk> production corp. an oil and gas exploration company based in little rock
 so it was n't surprising that mr. jones returned to his arkansas roots when he went looking for a replacement for mr. <unk>
 he tapped <unk> johnson a <unk> on the N university of arkansas <unk> and the head coach at the university of miami where he led the <unk> to five winning seasons and a national championship in N
 whatever mr. johnson 's <unk> in the hearts and minds of many dallas fans he is no tom <unk>
 seven games and after a loss to the kansas city chiefs yesterday seven losses into the season the new cowboys are n't doing any better than the old
 in fact the last time they played this badly was in N their opening season
 average attendance at their games about N last year continues flat
 mr. jones is attacking the problem on several fronts
 he continues to <unk> the team trading <unk> running back <unk> walker to the minnesota <unk> this month for a slew of players and future draft picks
 to try to draw more fans he has dropped <unk> ticket prices from $ N to $ N
 but the general trend given rising costs in the league has been to raise prices and mr. jones is expected to eventually follow suit
 it 's simple says <unk> hunt who owns the kansas city chiefs and last year raised ticket prices by $ N to an average $ N
 if we did n't increase prices we 'd be in the red
 mr. jones has also <unk> up his marketing staff to sell the N luxury suites <unk> texas stadium his deal with <unk> bright included operating rights for the stadium
 the suites are <unk> have <unk> bars and <unk> <unk> and offer a clear view of the field all for a sale price of $ N to $ N million depending on their size and location
 mr. jones has been taking prospective <unk> owners onto the field during practice to let them <unk> <unk> with players and promises those who actually buy one of the rooms an insider 's look at the team 's strategy before game time
 the sales job seems to be paying off when he bought the team only six of the suites had been sold
 today N have
 gate receipts are only the cowboys ' second largest source of cash
 the biggest is the nfl 's contract with national television for broadcast of the league 's games
 last year the cowboys ' share of that pie came to $ N million
 the team additionally earns between $ N million and $ N million for local radio and television broadcast rights
 mr. jones is currently trying to jack up the price for those local rights
 he is also trying to get more stations in mexico where the cowboys have a following to pick up the games
 mr. jones whose <unk> voice and <unk> ways <unk> an intense businessman who works <unk> days is resigned to the hefty salaries he pays his players these days
 he calls the contracts critical to winning in the nfl and has played his part in the bidding wars
 besides signing mr. <unk> to a sizable contract mr. jones has agreed to pay <unk> <unk> steve <unk> $ N million over the next four years
 this wage inflation is bleeding the nfl dry the owners contend
 soon only large corporations will be able to afford to buy and run football teams predicts john j. <unk> jr. an investment banker with salomon brothers who handled the cowboys sale
 to tackle the problem nfl owners have proposed setting a <unk> wage scale to try to rein in salaries
 details of the plan which would go into effect in N are <unk> but each player would apparently be paid a base salary <unk> to his position and ability
 bonuses would be paid based on playing time and performance
 the nfl players association meanwhile contends that athletes are paid a wage <unk> with their ability to draw fans and that some owners are in financial trouble because of poor business management not players ' salaries
 the owners are trying to boost profit in other ways too
 many have launched promotions to attract new fans and are <unk> dated stadium contracts
 most of the owners must pay up to N N of gross ticket sales for leases on stadiums they say are either too small or too old
 in chicago for example size is the issue
 we have the worst lease in the nfl contends michael b. <unk> the president of the chicago bears and a <unk> of george <unk> who founded the nfl 's predecessor organization
 we 're in a <unk> area with millions of bear fans and only a small number can be <unk>
 when the lease expires in N he says it 's got to be changed
 this year the nfl also imposed an <unk> limit on teams going into training camp down from N in a move meant to trim payroll costs
 and the league is trying to get more for its three-year national network contract which expires after this season
 the current contract pays the nfl $ N billion
 owners say they expect the league to demand a N N increase despite the fact that televised football games have had lackluster ratings
 an nfl spokesman also says the league will probably expand its offerings to cable tv companies like espn
 the changes have n't come easy
 like the game of professional football the nfl organization itself is in turmoil
 the new breed of team owner mr. jones included has been fighting the nfl bureaucracy for a greater say in league affairs and the battle has produced a form of <unk> gridlock
 in july N nfl owners almost all of them new blocked an effort to install jim <unk> as a replacement for retiring league commissioner pete <unk>
 mr. <unk> is perceived by some owners as a <unk> for the old guard
 earlier this month another effort to choose a commissioner failed
 the owners meet again tomorrow
 for his part jerry jones says he 's in the business for the long haul and his work style seems to support that
 he puts in busy <unk> weeks excluding game days and on one recent afternoon <unk> questions in the course of an hour from a tv producer his <unk> marketing manager a <unk> customer and a <unk> of arkansas reporters
 to keep his schedule on track he flies two personal secretaries in from little rock to <unk> his staff in dallas
 when i made this investment i made it on a lifetime basis he explains
 i 'm not here to make money by <unk> the team later on
 while the cowboys may not be the best investment now i do n't accept they ca n't be in the future
 besides to a large extent mr. jones may already be getting what he wants out of the team even though it keeps losing
 owning the cowboys has bought him <unk> to a <unk> life that drilling for oil in arkansas just did n't provide
 there is the new private jet the <unk> of <unk> <unk> to the best parties and television appearances on shows such as prime time live
 a few weeks ago mr. jones even <unk> elizabeth taylor in his private <unk> at texas stadium
 you 're in the <unk> seat every day in this job he says
 how <unk> <unk> of robert goldberg to use the form of <unk> <unk> journalism to explain his perception of days of rage in his television <unk> leisure & arts <unk> N
 he <unk> <unk> <unk> for her <unk> presentation of <unk> journalism judging her project as <unk> <unk>
 was not the title very clear
 one example he gives she did n't ask why the palestinian children are soldiers throwing stones
 really now did she have to ask
 were not the pictures and <unk> which have been continuing news <unk> answers enough
 mr. goldberg contends that even as propaganda the film fails because it presents only one view
 of course the <unk> complain about their treatment of course the <unk> feel put upon
 but his complaint that days of rage does n't contain balanced comments from <unk> about how badly the <unk> are <unk> is irrelevant
 it 's like doing a <unk> on apartheid and insisting that equal time be given to how <unk> white south <unk> are
 this film did <unk> how long the <unk> <unk> has existed by <unk> the conflict to the days of world war i when the british tried to guarantee both a jewish state and a palestinian state without <unk> how it was to be done
 well days of rage airing with <unk> packaging and after repeated delays was a beginning
 every issue is <unk>
 this film attempts to show a side rarely seen in our media
 now we must endure a rash of critics who apparently wish to know details of one side only
 <unk>
 <unk>
 charlotte carpenter <unk> island wash
 president bush wants the pentagon to get special treatment in coping with the across-the-board spending cuts that took effect last week
 mr. bush asked congress to raise to $ N billion from $ N billion the amount of money defense secretary dick cheney may shift among the pentagon 's individual programs projects and activities allowing him to ease the pain that the gramm-rudman budget law was intended to <unk>
 if the request is approved by both the house and senate mr. cheney would need only permission from the white house office of management and budget to move the money according to senate budget analysts
 that would give the pentagon flexibility that no other federal agency has
 it 's simply a way of making the cuts less onerous for defense than they are for domestic programs said chairman james <unk> d. <unk> of the senate budget committee who said he would oppose the request
 that is n't consistent with the kind of discipline that gramm-rudman is supposed to impose he said
 the president 's request did n't indicate how mr. cheney would shift the money
 a pentagon official said the request was made to give the department maximum flexibility to deal with the cuts
 last week budget director richard darman structured the $ N billion spending reduction half of which must come from defense to impose a little bit more discipline by applying cuts to each individual program project or activity in the budget
 that would give agencies less ability to <unk> over things he told reporters
 under the deficit-reduction law N N of the pentagon 's money and N N of other agencies ' money has been canceled
 lawmakers are expected to try to restore the funds once a pending <unk> measure has been signed into law
 rochester telephone corp. said it completed its purchase of urban telephone corp. of <unk> wis. the second-largest <unk> independent telephone company in that state
 rochester telephone said the acquisition was made in an exchange of its common shares for all the shares of urban telephone but a price was n't disclosed
 urban is the company 's first telephone subsidiary in wisconsin
 since june rochester telephone signed letters of intent to purchase three other wisconsin firms
 a bill that would permit the securities and exchange commission to monitor the financial condition of securities firms ' holding companies is facing tough opposition from some wall street firms which argue that the legislation is unnecessary
 the legislation and other issues related to the stock market will be the focus of hearings this week by the house telecommunications and finance subcommittee and the senate securities subcommittee
 richard breeden the new chairman of the sec has n't taken a formal position on the bill which would also require investors to disclose large trades and give the sec additional authority during market <unk>
 however he recently told the senate banking committee that he believes the agency should have explicit authority to monitor debt levels at holding companies and affiliates of <unk> which are frequently used to issue bridge loans
 the bridge loans are intended to provide temporary financing for acquisitions
 since such loans are often <unk> through the sale of high-risk high-yield junk bonds the recent woes of the junk-bond market have renewed concerns among regulators about the risks associated with wall street firms issuing bridge loans
 but some wall street executives argue that such fears are unwarranted
 in a july N letter to the senate securities subcommittee first boston corp. argued that the fact that no retail brokerage firm failed during the N market crash demonstrates that current rules are adequate
 first boston whose holding company cs first boston group is one of the larger issuers of bridge loans on wall street said it is also concerned that once the sec has the power to monitor holding companies it will try to regulate their activities
 the proposal while <unk> i think can be <unk> misleading because the likely consequence would be to weaken rather than strengthen the control the sec has exercised for N years over the financial <unk> and viability of <unk> michael <unk> managing director of first boston said in an interview
 the bill would <unk> scarce resources of the commission away from <unk> into areas which simply have no way of affecting <unk> mr. <unk> said
 sources in the industry and on capitol hill say a compromise that would <unk> the industry while addressing the sec 's concerns may be possible
 an aide to the senate securities subcommittee says some legislators support the concept of risk disclosure but adds nobody is <unk> to the language in the bill
 edward o'brien president of the securities industry association said that the <unk> trade group opposes the bill as it is written but that it is hopeful a compromise can be reached to achieve the sec 's goals
 mr. o'brien will elaborate on the <unk> 's position in testimony before the house telecommunications and finance subcommittee this week a spokesman said
 this letter was inspired by david <unk> 's sept. N editorial-page article about <unk> <unk> man in the middle of drug trafficking
 i 've organized a series of exchanges <unk> and other continuing projects between cuban and american artists
 in any matters between us and the cubans there can be no <unk> consequently i 've become familiar not only with cuban art and artists but also with cuban bureaucrats and their counterparts in our own government
 despite levels of <unk> <unk> and <unk> frustration of <unk> proportion these projects all remain in my mind valuable and well worth the effort
 there is a simple reason for this the cuban people
 let me immediately put limits to whatever <unk> <unk> that may intimate
 those people to whom i refer are not some <unk> <unk> quantity they are artists critics taxi drivers <unk> even some employees of the ministry of culture all of whom share a deep belief in the original principles of the cuban revolution <unk> out in terms such as <unk> among all members of the society <unk> for education and creative expression universal rights to health and <unk> housing etc
 in fact the generation of <unk> growing into maturity right now works with such <unk> held <unk> assumptions and such <unk> commitment to moral and ethical principles that it makes <unk> <unk> 's famous <unk> of art <unk> and revolution seem modest
 it is on behalf of these people and out of my real respect for them that i am responding to mr. <unk> 's opinions of their country
 the <unk> trial in july with its <unk> of deeply rooted and widespread corruption and the summary trial and execution was extremely disturbing to everyone who has ever considered himself a friend of cuba
 however <unk> though those <unk> may have been they still provide no excuse for wholesale departures from truth
 mr. <unk> should make <unk> among <unk> the army and the cuban people
 they are not <unk> since they are motivated to act based on their own circumstances
 it is <unk> to <unk> a government 's policies with the will of the people as we well know and it is even worse <unk> to merge the clearly <unk> <unk> of <unk> and the military and the state bureaucracy
 mr. <unk> is also <unk> that mr. <unk> has resisted collaboration with u.s. officials even though by his own account that collaboration has been devised essentially as a mechanism for acts directly hostile to the cuban regime such as <unk> <unk>
 i think it 's a little <unk> to be surprised that <unk> does n't <unk> the u.s. state department to violate the jurisdiction of the cuban government over its own territory
 we badly need to follow fact rather than the rhetoric of conventional wisdom
 without this basic level of attention to reality our policies on cuba will continue to be as <unk> as they have for N years
 from my own point of view given the <unk> of <unk> creativity and warm spirit in which the cuban people <unk> we deny ourselves access to things we hold <unk> and which seem to run in such short supply these days
 there is no rational <unk> for such behavior
 <unk> weiss <unk> mass
 <unk> inc. recently reported third-quarter earnings which were mistakenly shown in the quarterly earnings surprises table in last tuesday 's edition to be lower than the average of analysts ' estimates
 <unk> investment research did n't adjust one analyst 's estimate for a stock split which therefore was artificially high
 <unk> 's third-quarter net income of N cents a share actually was N N higher than the adjusted average of estimates
 investors <unk> out of new york city bonds in <unk> last week driving prices lower and boosting yields
 one bond trader estimated that more than $ N million of new york city general obligation bonds were put up for sale friday alone
 while that represents a small percentage of the city 's public debt outstanding friday 's selling followed a <unk> effort to unload the bonds by a broad spectrum of institutional and individual investors
 i 've never seen so many new york city <unk> 's up for sale said another trader
 every broker has blocks of every size and maturity
 municipal bond analysts said the sell-off was triggered by concerns about the city 's financial health rumors of a $ N million bond offering coming soon and political uncertainty
 a spokesman for the city would n't confirm the size of the bond issue but did say that a general obligation offering is in the works and should be priced sometime in the next two weeks before the november mayoral election
 general obligation bonds are backed by the city 's overall revenues and credit
 although many investors were aware that a bond offering was being scheduled many expected a much smaller amount of bonds to be sold
 the fact that the city will issue such a large amount of debt was interpreted as a sign that new york 's budgetary problems are more serious than had been expected
 new york one of the nation 's largest issuers of tax-exempt bonds sold $ N million of municipal bonds just a few weeks ago
 there have been reports for months that the city 's economy is weakening as the october N stock market crash continues to make itself felt
 the recent sharp stock market decline <unk> those concerns
 meanwhile tax revenues are falling while the city 's spending needs are expanding
 rumors <unk> last week that new york 's credit ratings single-a from moody 's investors service inc. and <unk> from standard & poor 's corp. are at risk
 the weakness in new york city bonds follows a warning from new york state comptroller edward <unk> that the N crash seriously weakened the city 's economy
 in a study the comptroller said the city 's glory days are over
 mr. <unk> warned mayoral candidates to be prepared for limited options and constraints on service increases to address the city 's problems in the next few years due to the <unk> weakening in the new york city economy
 new york city 's revised financial plan due out later this month is expected to include measures to balance the city 's $ N billion budget
 at present analysts project a budget gap on the order of $ N million to $ N million for the fiscal year ending june N N although the city 's own budget analysts project a narrower deficit
 mark page new york 's deputy director of finance said that investors ' concerns about the city 's financial health are unwarranted given our proven ability to manage ourselves
 he charges the city 's critics with spreading <unk> emotional rhetoric
 there are also questions about whether a new and <unk> mayor can manage the city through what could become a financial crisis
 the leading <unk> for the mayoral office democrat david dinkins has been criticized recently for the way he handled his personal financial affairs
 and the controversy has led to uncertainty about the outcome of the election
 until last week mr. dinkins was considered a <unk>
 the market can adjust to good news or bad news but uncertainty drives people wild said bernard b. <unk> chief executive of <unk> <unk> & co. a securities firm that specializes in the municipal market
 until last week everyone felt certain they knew the outcome of the election
 now there have been a number of questions raised
 last week yields on long-term new york city general obligation bonds jumped half a percentage point
 new york city 's N N bonds due N for example were quoted late friday at a price to yield N N compared with N N thursday
 as the yield on new york general obligation bonds rose the bond buyer <unk> general obligation index the mostly widely followed gauge of the tax-exempt market held steady at N N in the week ended oct. N
 qintex australia ltd. encountered another setback friday when its los angeles-based affiliate qintex entertainment inc. filed for protection under chapter N of the u.s. bankruptcy code
 qintex entertainment also said david evans its president and chief executive and roger <unk> a director both resigned
 neither could be reached for comment
 earlier this month qintex australia 's $ N billion agreement to acquire mgm\/ua communications co. collapsed because of a dispute over a $ N million letter of credit the australian operator of television stations and resorts was to have supplied as security in the transaction
 mr. evans had been the de <unk> head of mgm\/ua for months
 qintex entertainment a producer and distributor of television programs most noted for its <unk> of the hit <unk> <unk> <unk> said it filed for chapter N protection after qintex australia failed to provide it with $ N million owed to mca inc. in connection with the distribution of the new leave it to <unk> show
 qintex entertainment is N N owned by qintex australia and said it relies on the australian company for funding its working capital requirements
 after the announcement of the bankruptcy filing qintex entertainment stock sank $ N in over-the-counter trading to close at $ N on heavy volume of more than N million shares
 the stock traded as high as $ N this past summer
 jonathan lloyd executive vice president and chief financial officer of qintex entertainment said qintex entertainment was forced to file for protection to avoid going into default under its agreement with mca
 the $ N million payment was due oct. N and the deadline for default was oct. N
 mr. lloyd said if qintex had defaulted it could have been required to repay $ N million in debt under its loan agreements
 mca on friday said that as a result of qintex 's failure to make the required payment it was <unk> the distribution agreement on the new leave it to <unk> as well as other mca properties
 qintex australia was saying as recently as last weekend that they would take care of the situation
 they continued to represent that to the board said mr. lloyd
 we were <unk> they would stand behind the company
 mr. lloyd said both qintex entertainment and qintex australia had attempted to secure a loan that would allow the company to make the $ N million payment but the request was turned down by an unidentified lender on oct. N
 at that point he said qintex australia stated it would <unk> to arrange the financing
 however a qintex australia spokesman said his firm had never promised or guaranteed to make the payment
 in a prepared statement from australia the company also said that following the breakdown of the mgm talks it had been <unk> its position as a significant shareholder and a substantial creditor of qintex entertainment and had resolved to minimize the degree of further loans to qintex entertainment in excess of that previously made
 the qintex australia spokesman added that his company had opposed the chapter N filing
 he said the company believed qintex entertainment 's financial problems could have been resolved by other means
 the report of the bankruptcy filing stunned hollywood executives and investors
 it 's a <unk> said joseph di <unk> chairman of <unk> capital securities a brokerage firm that has an investment in qintex entertainment
 qintex australia was going to pay more than $ N billion for mgm\/ua and then they could n't come up with the far smaller sum of $ N million
 qintex said mr. evans the former president resigned for personal reasons and that mr. <unk> an attorney resigned because his participation in evaluating the company 's role in buying mgm\/ua was no longer necessary
 mr. <unk> was a director of the company and a predecessor firm since N
 the announcement seemed to further damp prospects that talks between qintex australia and mgm\/ua might be revived
 it 's understood that mgm\/ua recently contacted rupert murdoch 's news corp. which made two failed bids for the movie studio to see if the company was still interested
 however we are n't currently doing anything
 it is n't a current topic of conversation at the company said barry <unk> chairman and chief executive officer of the fox inc. unit of news corp
 financial printer <unk> & co. said it formed a business translation service which will provide legal financial and other services in most major <unk> including japanese chinese and russian
 japan 's finance ministry strongly denied playing any role in the new york <unk> free fall
 <unk> utsumi vice minister for international affairs said the ministry did n't in any way suggest to japanese banks that they stay out of the ual corp. leveraged buy-out
 the ministry has never even suggested that japanese banks be cautious about leveraged buy-outs in general mr. utsumi said
 there are no facts behind the <unk> that we sent any kind of signal he declared in an interview
 the comments were the ministry 's first detailed public statement on the subject and reflect the ministry 's concern that foreigners will think japan is using its tremendous financial power to control events in foreign markets
 a number of accounts of the events leading to the N point drop in new york stock prices on oct. N accused the ministry of pulling the plug on the ual deal for one reason or another
 mr. utsumi said the most the ministry had ever done was ask japanese banks about the status of their participation in one previous u.s. leveraged buy-out
 the ministry <unk> about that deal which mr. utsumi declined to identify because the large presence of japanese banks in the deal was being strongly criticized in the u.s. congress and it was necessary for us to grasp the situation
 he said the inquiry was n't made in a way that the banks could have interpreted as either encouraging or discouraging participation and he added that none of the japanese banks changed their posture on the deal as a result of the inquiry
 mr. utsumi also said some japanese banks were willing to participate in the ual financing up to the very end which would suggest at the very least that they were n't under orders to back out
 in general mr. utsumi said japanese banks are becoming more independent in their approach to overseas deals
 each japanese bank has its own judgment on the profits and risks in that ual deal he said
 they are becoming more independent
 it 's a sound phenomenon
 <unk> bank ltd. is one japanese bank that decided not to participate in the first ual proposal
 a <unk> bank spokesman denied that the finance ministry played any part in the bank 's decision
 we made our own decision he said
 still mr. utsumi may have a hard time convincing market analysts who have <unk> or <unk> believed that the ministry played a role in <unk> recent moves by japanese banks
 all week there has been much speculation in financial circles in tokyo and abroad about the ministry 's real position
 bank analysts say ministry officials have been growing increasingly concerned during the past few months about japanese banks getting in over their heads
 the ministry thinks the banks do n't know what they are doing that they have very little idea how to cope with risk said one foreign bank analyst who asked not to be identified
 the ministry wants to see the japanese banks pull in their <unk> on leveraged buy-outs he added
 although some of the japanese banks involved in the first proposed bid for ual bowed out because they found the terms <unk> observers here say they have a hard time <unk> that commercial considerations were the only reason
 japanese banks are under political pressure as well the analyst said
 moreover analysts point out that japanese banks have a reputation for doing deals that are n't extremely profitable if they offer the chance to build market share cement an important business relationship or curry favor with powerful bureaucrats
 clearly some financial authorities are concerned about the japanese banks role in leveraged buy-outs
 at a news conference this week bank of japan gov. <unk> <unk> cautioned banks to take a prudent stance regarding highly leveraged deals
 despite mr. <unk> 's statements it is the finance ministry not the central bank that makes policy decisions
 while recent events may cool some of the leveraged buy-out fever japanese banks are n't likely to walk away from the game
 despite the risks the deals can be an attractive way for japanese banks to increase their presence in the u.s. market bank analysts say
 flush with cash at home but with fewer customers to lend to leading banks are eager to expand overseas
 jumping in on big deals is a high profile way to <unk> the problem of not having a strong <unk> network
 france 's national tobacco company known for making <unk> cigarettes such as <unk> and <unk> is <unk> out
 concerned by <unk> demand for its traditional products it is moving not only into <unk> cigarettes but also into electronic <unk> payment cards to be sold in neighborhood tobacco stores
 brown tobacco in france is a more <unk> stronger grade than the lighter grade or <unk> tobacco used in so-called <unk> cigarettes
 we are n't philip morris cos. says <unk> de <unk> chairman of government-owned societe <unk> <unk> <unk> des <unk> & <unk> s.a. known as seita
 he says that because seita 's profits are limited by <unk> cigarette prices he does n't have the cash to diversify as heavily into food and drink as the u.s. concern has done
 last year for example seita 's net profit soared N N to N million french francs $ N million on sales of <unk> N billion a N N profit margin
 instead he said in an interview he is looking for ways to exploit france 's network of N tobacco agents most of them <unk>
 while seita does n't own the french <unk> its close alliance with them offers distribution possibilities
 one proposal is to introduce a new payment system for parking in paris
 instead of paying for parking by putting money in the existing machines which deliver little paper receipts drivers would be able to buy electronic cards in local tobacco shops
 once <unk> the card would sit in the car 's window showing traffic <unk> how much time the <unk> could remain
 when the <unk> returned to his car he could turn the card off and if it showed time remaining save it for later
 seita is a partner in the project which was developed by <unk> <unk> using japanese technology
 seita and <unk> currently are negotiating with city officials for the right to begin service
 and seita is considering further diversification
 it wanted to buy rjr nabisco inc. 's french <unk> subsidiary <unk> in hopes of selling its products in tobacco stores but lost the bidding to food group bsn <unk>
 it currently is considering bidding for swedish match co
 and it retains an interest in acquiring <unk> and other articles that might be sold in tobacco shops
 it also is trying to shore up its tobacco business
 <unk> cigarettes such as <unk> now make up just N N of the french tobacco market half the level of about two decades ago
 while seita retains a manufacturing monopoly in france it is being hurt by rising imports and from <unk> cigarette demand
 so seita has introduced <unk> cigarettes under the <unk> label and intends to <unk> the unsuccessful <unk> <unk> in new packaging similar to the <unk> used by <unk> <unk>
 the aim says mr. de <unk> is to win market share from imported cigarettes and to persuade smokers who are switching to <unk> cigarettes to keep buying french
 when the supreme court upheld missouri 's abortion restrictions last july the justices almost certainly did n't have drunk driving <unk> and false <unk> on their minds
 but the N ruling may have had as much immediate impact on those activities especially <unk> as on abortion rights
 the decision webster vs. reproductive health services illustrates how supreme court rulings often have a <unk> effect spreading into areas of law and policy that were n't part of the actual cases decided and that never were contemplated by the justices
 in the missouri case <unk> consequences may have <unk> because the high court <unk> the preamble of the state 's N abortion law
 the preamble says that human life begins at conception and that <unk> children have rights protected by the constitution
 last year a federal appeals court in st. louis said the preamble was unconstitutional citing an earlier supreme court ruling that states ca n't justify <unk> abortion curbs by changing the definition of when life begins
 but the supreme court concluded that it was <unk> to rule on the <unk> of the preamble because the definition of human life had n't yet been used to restrict abortion services
 the high court majority said it was up to the state courts for now to decide whether the definition has any bearing on other state laws
 already local missouri judges have relied on the restored preamble in two separate cases to throw out criminal trespass charges against anti-abortion demonstrators who blocked access to reproductive health services an abortion clinic in st. louis
 the protesters said their actions were justified by the desire to save the lives of <unk> children
 under a N missouri law persons accused of some crimes including <unk> may offer a defense that their actions were justified as an emergency measure to avoid an imminent public or private injury
 relying on the preamble 's statement that a <unk> is an <unk> child the two st. louis county circuit court judges in august accepted the <unk> that the abortion clinic protesters were trying to save lives
 in another case a <unk> ann o'brien was convicted of trespass before the supreme court 's webster ruling
 last week when her appeal was argued before the missouri court of appeals her lawyer also relied on the preamble
 the effect of the supreme court webster opinion is that it left room for <unk> to grow in the cracks of roe vs. wade and i think this is one of the cracks said mark <unk> a st. louis lawyer who represented ms. o'brien and the other st. louis protesters
 roe vs. wade was the supreme court 's N decision that recognized a woman 's right to abortion
 mario <unk> president of kansas city lawyers for life says that if abortion foes succeed in using the preamble to escape prosecution for trespass this will shut down abortion in missouri
 there 's no risk to the protesters and you ca n't keep an abortion clinic open if there are N people standing outside every day
 that would be an ironic result of a case in which the supreme court <unk> stopped short of <unk> roe vs. wade
 in two other cases the possible consequences of the supreme court ruling appear even more <unk>
 in one the lawyer for a <unk> resident of columbia mo. who was charged with drunk driving argued that his client should be treated as a <unk> adult because his actual age should be calculated from conception not from birth
 in missouri those caught drinking and driving between the ages of N and N may have their licenses <unk> for one year while those N or older suffer only a 30-day suspension
 a boone county judge rejected the motion but daniel <unk> a jefferson city lawyer says he has appealed
 and in a case filed in federal court in august a lawyer is arguing that missouri authorities are <unk> <unk> the <unk> of a pregnant woman who is in jail for theft and <unk>
 in terms of sheer <unk> the <unk> regime of <unk> barre may rank as no. N in the world
 the only reason that somalia remains in <unk> is numbers a <unk> <unk> <unk> of N million people spread out over an <unk> nearly the size of texas
 the barre <unk> simply is limited in the amount of people it can <unk> and kill
 <unk> small children <unk> elderly people to death <unk> and shooting women and <unk> people alive are just a few of the <unk> activities that the <unk> armed forces have been engaged in over the past two years
 up to N <unk> have escaped to the relative safety of marxist ethiopia because of the behavior of president barre 's troops
 in the port of <unk> for example hundreds of men of the rival <unk> <unk> were <unk> up in may N <unk> and then taken out at night in groups of five to N men to be executed without any judicial process <unk>
 guns were never used each man was <unk> to death with a large <unk>
 the <unk> details are only now emerging from a <unk> <unk> report based on hundreds of interviews with <unk> selected refugees
 the study was done by robert <unk> a consultant to the u.s. state department who has years of experience in investigating human-rights abuses on both sides of the <unk> ideological divide
 what gives these events particular significance however is the fact that they are part of a wider drama affecting the strategic positions of both the u.s. and the soviet union on the horn of africa
 not since the late 1970s has the horn been so up for <unk> as it has suddenly become in just the past few weeks
 mr. barre 's rule is crumbling fast
 <unk> <unk> his armed forces really just an armed gang which control less than half the country
 inflation is at record levels
 desperate he has called in the <unk> to help fight the rebels of the <unk> national movement in the north which is only one of several groups picking away at the regime in the capital of <unk>
 <unk> years old and a <unk> scientific socialist president barre has a power base composed only of his minority <unk> <unk> that according to observers is narrowing
 the u.s. 's interest in somalia consists of a single runway at the port of <unk> which u.s. military aircraft have the right to use for <unk> of the gulf of <unk> and the indian ocean
 that strip of concrete is backed up by a few <unk> <unk> <unk> where a handful of american <unk> <unk> by imported food cold soft drinks and back issues of sports illustrated maintain radio contact with the outside world
 in the past two years the desert behind them has become a land of mass executions and <unk> <unk> where due to mr. barre 's <unk> and <unk> nobody is any longer in control
 as long as the rival <unk> regime of mengistu <unk> <unk> held a total gridlock over neighboring ethiopia the u.s. was forced to accept that <unk> <unk> runway as a distant no. N to the soviets ' array of <unk> next door
 but due to dramatic events on the <unk> over the past few days and weeks those soviet bases may soon be as endangered and as <unk> as the american runway
 on sept. N i wrote on these pages about the killing and <unk> of N <unk> soldiers by <unk> and <unk> guerrillas
 recently in <unk> province in the center of ethiopia <unk> forces have killed <unk> and captured an additional N government troops
 think what these numbers mean considering the headline space devoted to hundreds of deaths in lebanon a small country of little strategic importance
 <unk> <unk> are now N miles north of <unk> <unk> threatening the town of <unk> which would cut off mr. mengistu 's capital from the port of <unk> through which all fuel and other supplies reach <unk> <unk>
 as a result mr. mengistu has been forced to transfer thousands of troops from <unk> just to hold the town thereby <unk> the loss of even more territory in <unk> only to keep the <unk> at bay
 mr. mengistu is in an increasingly weak position half his army is tied down defending the northern city of <unk> from the <unk>
 the weaker he gets the more he turns toward the u.s. for help
 while the <unk> are communists like the <unk> they are among the most <unk> guerrillas in the world having suffered more than a decade of <unk> <unk> by the <unk> mengistu air force
 what this all means in <unk> is that soviet dominance in ethiopia is <unk> as fast as president barre 's regime in somalia is
 the u.s. therefore has a historic opportunity both to strike a blow for human rights in somalia and to undo the <unk> <unk> of the late 1970s on the horn of africa
 back to somalia
 the state department to its credit has already begun <unk> itself from mr. barre <unk> by its decision to publish the <unk> report which the press has ignored
 what 's more the u.s. has suspended $ N million in military aid and $ N million in economic aid
 but this is not enough
 because the u.s. is still perceived to be tied to mr. barre when he goes the runway could go too
 considering how <unk> the security of that runway is anyway the better option both morally and <unk> would be for the bush administration to blast the regime publicly in terms clear enough for all influential <unk> to understand
 it is a <unk> that mr. barre 's days are numbered
 the u.s. should take care however that its own position in the country does not go down with him
 nobody is sure what will come next in somalia or whom the successor might be
 but as one expert tells me whoever it is will have to work pretty damn hard to be worse than barre
 while the state department positions itself for the <unk> period in somalia it should continue to back former president carter 's <unk> role as a mediator between mr. mengistu and the <unk> guerrillas in ethiopia while <unk> opening up channels of communications with the <unk> rebels through neighboring <unk>
 <unk> politics are the most sophisticated <unk> and <unk> in all of black africa
 remember that it took mr. mengistu many months in what became known as the creeping coup to topple <unk> <unk> <unk> in N and N
 there is simply no way to engineer a succession <unk> as is sometimes possible elsewhere on the continent
 but the u.s. has one great advantage the soviets are <unk> <unk> throughout ethiopia for what they did to the country this past decade <unk> and all
 it 's not just in eastern europe where the march of events is finally on the u.s. side but on the horn of africa as well
 the only u.s. liability in the region is what remains of the link to mr. barre and that should be cut fast
 mr. <unk> author of surrender or <unk> the wars behind the <unk> <unk> press N lives in <unk>
 <unk> inc. <unk> <unk> calif. got an $ N million navy contract for <unk> systems
 general electric co. received a $ N million air force contract for <unk> nose <unk>
 goodyear tire & rubber co. was awarded a $ N million army contract for <unk> parts
 <unk> sciences corp. was awarded a $ N million air force contract for technical support
 mccormick capital inc. said the final <unk> factor was N on its oversubscribed $ <unk> tender offer to buy back as many as N million of its common shares
 payment will begin as soon as oct. N the company said
 mccormick is a developer and manager of <unk> limited partnerships
 through a separate agreement between peter <unk> president and a group of selling shareholders the company said mr. <unk> will on oct. N buy N shares from the group boosting his stake to about N shares or N N of the total after the buy-back
 canada 's consumer price index rose a seasonally adjusted N N in september from august statistics canada a federal agency said
 the rise followed boosts of N N in august N N in july and N N in june
 opec 's ability to produce more petroleum than it can sell is beginning to cast a shadow over world oil markets
 output from the organization of petroleum exporting countries is already at a high for the year and most member nations are running flat out
 but industry and opec officials agree that a handful of members still have enough unused capacity to <unk> the market and cause an <unk> collapse a few months from now if opec does n't soon adopt a new quota system to <unk> its <unk> <unk>
 as a result the effort by some oil ministers to get opec to approve a new permanent <unk> agreement next month is taking on increasing urgency
 the organization is scheduled to meet in vienna beginning nov. N
 so far this year rising demand for opec oil and production restraint by some members have kept prices firm despite rampant cheating by others
 but that could change if demand for opec 's oil <unk> seasonally early next year as some think may happen
 opec is currently producing more than N million barrels a day sharply above its nominal <unk> fourth-quarter ceiling of N million according to opec and industry officials at an oil conference here sponsored by the oil daily and the international herald tribune
 at that rate a majority of opec 's N members have reached their output limits they said
 but it is estimated that at least three million barrels a day and possibly as much as seven million barrels a day of spare capacity still exists within opec
 most is concentrated in five persian gulf countries including his own <unk> <unk> <unk> 's oil minister told the conference friday
 he puts opec 's current capacity at N million to N million barrels a day
 that 's higher than some other estimates
 <unk> <unk> <unk> kuwait 's oil minister recently estimated opec capacity at N million barrels a day
 either way the <unk> is big enough to keep <unk> balanced oil markets on edge
 even modest amounts of additional output by those with the huge extra capacity and reserves such as saudi arabia and <unk> could upset the market
 the <unk> oil minister and saudi oil minister <unk> <unk> insisted in their comments to the conference that their countries would act <unk> to maintain a stable market
 however in interviews later both ministers stressed that they expect future opec quotas to be based mainly on the production capacity and reserves of each member
 under that approach countries with the most unused oil capacity would get bigger shares of any future increases in opec 's production ceiling than they would under the current system
 if you are already producing at N N or N N of your capacity what 's the good to be told you can produce at N N of capacity asked mr. <unk>
 at an <unk> geneva meeting late last month opec 's oil ministers <unk> approved another increase of one million barrels a day in their production ceiling
 they <unk> it out using the existing formula however which meant that even those countries that could n't produce more received higher official <unk>
 the main effect of the ceiling boost was to <unk> some of the <unk> already coming from the quota <unk>
 still there was a <unk> at geneva
 previously no opec member had been willing to accept a reduction in its percentage share of the group 's total output target or ceiling
 but the concept of disproportionate quotas for those with unused capacity advanced there in an iranian proposal was generally endorsed by the ministers
 in the end politics got in the way
 libya accepted iran 's proposal only so long as it was promised production parity with kuwait
 and the united arab <unk> a <unk> quota <unk> refused to give any guarantee it would change its ways
 but the oil ministers continue to study the plan and it will probably be the basis for discussion at next month 's meeting
 it 's understood several <unk> already have been worked into the plan
 the ceiling would be lifted to N million barrels to provide kuwait and the united arab <unk> much higher official quotas while reducing percentage shares of some others
 libya 's previous conditions are no longer considered a problem although the united arab <unk> is still an issue
 saudi arabia opec 's <unk> also has surfaced as a possible obstacle some opec sources said
 insisting on a N N share of any ceiling saudi officials have long pressed for the pro <unk> distribution of increases to all members
 in geneva however they supported iran 's proposal because it would have left the saudi percentage of the opec total intact and increased actual saudi volume to nearly N million barrels daily from five million
 some of the proposed modifications since however call on saudi arabia to give back to the <unk> pool a <unk> N barrels
 though tiny that 's a reduction in its share
 mr. <unk> the saudi oil minister reiterated here that the kingdom would insist on maintaining its percentage share of opec production under any quota revisions
 under any circumstances saudi arabia should get more rather than less mr. <unk> said
 in a blow to france 's rafale jet fighter the french navy for the first time publicly stated its desire to buy N mcdonnell douglas corp. <unk> <unk> to defend its aircraft carriers
 the statement is likely to <unk> the debate within france 's military establishment over the rafale which is made by <unk> <unk> <unk> aviation <unk>
 in an interview in the navy 's official weekly magazine <unk> <unk> the navy 's <unk> adm. <unk> goupil said the navy still intends to buy N <unk> as scheduled in the late 1990s and early <unk> century
 the air force is to take at least N more
 adm. goupil said the navy ca n't wait until N when the naval rafale becomes available to replace its <unk> fleet of <unk> crusaders used since the 1950s to protect carriers from attack
 rather than <unk> the crusaders which dassault is proposing to do for around N billion french francs $ N million adm. goupil said the navy wants to buy used <unk> from the u.s. navy
 officially the statement is n't an attack on the rafale
 adm. goupil said that when the <unk> wear out the navy is prepared to take <unk> to replace them
 but <unk> senior navy officials sharply <unk> the rafale as an air force plane <unk> to carrier use
 although they never said so publicly they have made no secret of their preference for the <unk> on operational grounds
 adm. goupil 's comments are likely to <unk> the broader dispute within the military establishment here over the role of dassault
 although <unk> dassault still is run by the founder 's son chairman <unk> dassault who has fiercely protected his company 's independence
 the rafale project is the result of france 's inability jointly to develop a plane with other countries and french officials question whether the state can continue paying for expensive independent programs
 so far mr. dassault has resisted pressure to change
 what brought the naval issue to a head is that the crusaders are literally falling apart without any immediate plan to replace them
 adm. goupil a former <unk> <unk> leader said that the last other country to use crusaders the philippines retired its last ones two years ago
 a french <unk> crash a few months ago heightened pressure for new planes here
 adm. goupil rejected dassault 's proposal to <unk> the crusaders saying the cost was impossible to estimate
 even <unk> he said the crusaders represent an <unk> and dangerous protection for the aircraft carriers france has sent to meet such crises as the wars in lebanon and the persian gulf
 defense minister <unk> <unk> told a meeting of the <unk> press association that the question of <unk> the crusaders or buying used <unk> is a political decision that he will make in due time
 the supreme court ruling <unk> missouri 's restrictive abortion law was webster vs. reproductive health services
 the <unk> was misstated in friday 's edition
 spending by average japanese households in august fell an adjusted N N from a year earlier the statistics bureau of the prime minister 's office said
 the bureau cited <unk> in the month that discouraged shopping and leisure opportunities
 spending by japanese households averaged N yen $ N in august
 in nominal terms it rose N N from a year earlier before adjustment
 august adjusted spending by <unk> families was down N N to N yen from a year earlier
 the real income of <unk> families in the month eased N N to N yen from the previous year
 for cathay pacific airways the smooth ride may be ending
 the first signs of trouble came last month when the hong kong carrier a subsidiary of <unk> pacific ltd. posted a N N drop in operating profit for the first six months and warned that margins will remain under pressure for the rest of the year
 securities analysts many of whom scrapped their buy recommendations after seeing cathay 's interim figures believe more <unk> lie ahead
 fuel and personnel costs are rising and tourism in and through hong kong remains <unk> by china 's turmoil since the june N killings in beijing
 in addition delivery delays for the first two of as many as N boeing <unk> that the carrier has ordered have raised costs because personnel had been hired to man the planes
 and tough competition in the air-freight market is cutting into an important sideline
 there also is concern that once hong kong <unk> to china 's sovereignty in N cathay will be forced to play second <unk> to china 's <unk> flag carrier civil aviation administration of china or <unk>
 the sense is we would never be in a position again where everything works for us the way it did before says rod eddington cathay 's commercial director
 <unk> hall an analyst at james capel far east ltd. says there is n't much cathay can do about rising costs for jet fuel hong kong 's tight labor market or the strengthening of the local currency which is pegged to the u.s. dollar
 these factors are further complicated by the airline 's push to transform itself from a regional carrier to an international one ms. hall says
 ms. hall expects cathay 's profit to grow around N N annually this year and next
 in N it earned $ N billion hong kong us$ N million on revenue of hk$ N billion
 cathay is taking several steps to bolster business
 one step is to beef up its fleet
 in addition to aircraft from boeing co. cathay announced earlier this year an order for as many as N airbus <unk>
 the expansion which could cost as much as us$ N billion over the next eight years will expand the fleet to about N planes by N up from N at the end of last year according to sun hung <unk> securities ltd
 the <unk> airbus planes will be used largely to replace cathay 's aging fleet of lockheed <unk> for regional flights while the boeing aircraft will be used on <unk> routes to europe and north america
 cathay also is moving some of its <unk> <unk> operations outside hong kong
 fierce bidding for young employees in hong kong is pushing up cathay 's labor costs by N N a year for <unk> staff while experienced skilled employees are leaving the colony as part of the brain drain
 some jobs already have been moved to australia and there are plans to place others in canada
 david bell a spokesman for the airline says the move is partly aimed at retaining existing staff who are leaving to secure foreign <unk> ahead of N
 cathay is working to promote hong kong as a <unk> worth visiting on its own merits rather than just a <unk>
 although the june N killings in beijing have hurt its china flights cathay 's other routes have retained high load factors
 mr. eddington <unk> promoting hong kong as an important part of attracting visitors from japan south korea and taiwan where the number of people looking to travel abroad has surged
 there also has been speculation that cathay will be among the major private-sector participants in the hong kong government 's plans to build a new airport with the carrier possibly investing in its own terminal
 cathay officials decline to comment on the speculation
 mr. eddington sees alliances with other carriers particularly cathay 's recent link with amr corp. 's american airlines as an important part of cathay 's strategy
 but he <unk> that cathay has n't any interest in <unk> equity stakes with the u.s. carrier or with lufthansa the west german airline with which it has <unk> for about a decade
 analysts believe cathay is approached for such swaps by other carriers on a regular basis particularly as the popularity of share exchanges has grown among european carriers
 we think alliances are very important mr. eddington says
 but we 'd rather put funds into our own business rather than someone else 's
 i 'm not sure <unk> would necessarily make things <unk>
 in a pattern it aims to copy in several key u.s. <unk> cathay recently announced plans to serve san francisco by flying into american airlines ' los angeles hub and <unk> continuing passengers onto a flight on the u.s. carrier
 we 'll never have a big operation in the u.s. and they 'll never have one as big as us in the pacific mr. eddington says
 but this way american will coordinate good <unk> to boston new york chicago and dallas
 we 'll coordinate on this end to places like <unk> singapore and manila
 asian traffic which currently accounts for N N of cathay 's business is expected to continue as the carrier 's mainstay
 cathay has long stated its desire to double its weekly flights into china to N and it is applying to <unk> <unk> flights into vietnam
 further expansion into southern europe is also possible says mr. bell the spokesman
 while a large number of hong kong companies have <unk> offshore ahead of N such a move is n't an option for cathay because it would jeopardize its landing rights in hong kong
 and mr. eddington <unk> rules out a move to london our <unk> is hong kong traffic rights
 he says the airline is putting its faith in the <unk> agreement on hong kong 's return to china
 a special section dealing with aviation rights states that landing rights for hong kong 's airlines which include the smaller hong kong <unk> airlines will continue to be negotiated by hong kong 's government
 but critics <unk> that <unk> officials ultimately will be responsible to beijing
 my feeling is cathay does n't have a hope in the long run says an analyst who declines to be identified
 cathay would love to keep going but the general sense is they 're going to have to do something
 mr. eddington acknowledges that the carrier will have to <unk> and <unk> to local changes but he feels that the <unk> agreement is firm ground to build on for the foreseeable future
 we 're confident that it protects our route structure he says and our ability to grow and <unk>
 falcon cable systems co. said it proposed an amendment that would allow it to increase its debt cap to N N of the company 's fair market value from the N N currently allowed
 falcon a limited partnership said it wanted the increase in order to continue its $ <unk> annual payment and for expansion and acquisitions
 a spokesman for the company said a meeting would be held for shareholders to vote on the amendment before year 's end
 friday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N <unk> N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 in the <unk> marina neighborhood life after the earthquake is often all too real but sometimes <unk>
 some scenes saturday morning a resident was given N minutes to <unk> into a sagging building and reclaim what she could of her life 's <unk>
 saturday night she <unk> in an emergency shelter on <unk> <unk> prepared by chefs from one of the city 's <unk> restaurants
 mayor art agnos stands in the glare of television lights trying to explain for the 20th time why the city is severely restricting access to badly damaged structures
 a couple in fashionable <unk> <unk> suits <unk> by <unk> <unk> in place <unk> their way along a street of <unk> and fallen houses
 at a nearby corner they <unk> <unk> close to a listing apartment house <unk> to any danger
 a <unk> <unk> his head in <unk> as he <unk> them away
 a young woman who has been out of town shows up at the marina middle school to learn that her apartment is on the <unk> list
 she is told she ca n't enter unless she is accompanied by an inspector
 she bursts into <unk> and walks away
 nearby five temporary residents of the school shelter sit on <unk> having their <unk> and backs <unk> by volunteer <unk>
 the marina rescue center offered a very san <unk> response to the disaster
 in addition to free massages there was free counseling phone calls and a free shuttle bus to a health club which offered up its <unk> <unk> and hot <unk>
 the cafeteria offered donated <unk> and <unk> for breakfast and for dinner pasta <unk> and <unk> <unk> <unk> along with the <unk>
 this has been a <unk> earthquake for me said resident joan <unk> who works in an <unk> 's office
 she and some friends are considering offering earthquake victims free <unk> classes and <unk> therapy massages with <unk> oils
 she finds the response of marina residents primarily <unk> and elderly people to the devastation of their homes incredible
 people have been very <unk> of each other
 i do n't know if this would have happened somewhere else
 out on the streets some residents of badly damaged buildings were allowed a <unk> <unk> hunt through their <unk>
 it 's so weird to have to decide what 's really important to you said barbara may
 she went first for personal <unk>
 in <unk> <unk> her building is a red
 after being <unk> buildings with substantial damage were <unk>
 green allowed residents to <unk> yellow allowed limited access red allowed residents one last entry to gather everything they could within N minutes
 <unk> and <unk> went about their business with a kind of measured <unk>
 some <unk> dumped <unk> into <unk> others threw goods out windows
 it did n't help that on saturday after three days of <unk> it <unk>
 the guys are going for their <unk> their <unk> their personal computers said frank <unk> who helped others empty their apartments
 the women wanted photo <unk> a certain <unk> kind of <unk> things
 he showed an <unk> <unk> <unk> watch that he <unk> for one woman
 it <unk> to her <unk>
 some residents <unk> orders and returned to red buildings to retrieve goods
 one building was upgraded to red status while people were taking things out and a resident who was n't allowed to go back inside called up the <unk> to his girlfriend telling her to keep sending things down to the lobby
 a <unk> had to be called in to make her leave the <unk> helped carry out one last load
 enforcement of <unk> rules was sporadic residents said
 one man trying to remove his car was told by officials to get out of his garage
 when he <unk> back later to try again a different <unk> offered to help him get the car out
 the marina also has become the <unk> point of city efforts to <unk> residents with any <unk> that may have fled or become lost during the earthquake
 on <unk> along <unk> street a major marina artery <unk> were offering a $ N reward for a cat lost during the quake
 the san francisco society for the prevention of <unk> to animals also has been providing medical care food water and foster homes for <unk> animals
 the <unk> says it has received more than N requests for foster homes on behalf of dogs and <unk> though some people have sought temporary homes for birds and fish
 for example one <unk> owner returning home found that her apartment like many others in the marina did n't have heat
 she can stay there with no heat but for a <unk> that can be deadly says <unk> <unk> <unk> services manager for the <unk>
 a warm foster home has been found
 the neighborhood around alexander <unk> co. 's vermont-slauson shopping center in the watts section of los angeles resembles the <unk> deteriorating sections of many inner cities and certainly is n't the sort of area one would choose to visit
 but turn into the shopping center 's parking lot and one could be in the safe busy mall of a <unk> suburb
 only it is safer and <unk>
 over the past year there have been only one <unk> three <unk> of or from autos no <unk> and one attempted <unk> in the mall which opened in late N
 a shopping center of similar size in an affluent los angeles suburb would per year be expected to have eight <unk> N <unk> of or from autos and four <unk>
 the watts mall has annual sales of more than $ N per <unk> square foot the figure for a comparable suburban shopping center would be $ N
 three other <unk> shopping centers in the watts area are doing almost as well
 a successful <unk> mall in a <unk> area violates the more typical inner-city pattern in which commercial areas are taken over by <unk> youth gangs and the criminal element with an erosion of the customer base development capital and <unk>
 major regional and national chain stores are replaced by <unk> operations offering <unk> merchandise at higher prices
 along with the exodus of shopping opportunities is an exodus of the jobs that the major chains used to provide to community residents
 thus there is even more to the vermont-slauson center than a good place to shop
 this <unk> commercial zone becomes for the residents a secure <unk> in a <unk> urban landscape evidence that community <unk> is not inevitable and that the gangs are not <unk>
 the center improves the community image to outsiders as well and may help to arrest or even reverse the exodus of capital and investment
 an additional benefit is the creation of jobs
 this starts in the construction phase through the use of minority contractors and local workers
 it continues through the life of the center the vermont-slauson center has created N permanent private-sector jobs at a one-time cost in public funds of only $ N per job
 as many of these jobs are filled by local residents who move from the welfare rolls to the tax rolls the $ <unk> public investment should repay itself in a few years
 and that is before consideration of increased state and local revenues from taxes and fees on sales real estate licenses and the like
 profits are also <unk> back into the community the <unk> vermont-slauson economic development corp. receives N N of the profits from the vermont-slauson center and uses the money to provide moderate and low-cost housing in the community now running into the hundreds of units as well as commercial and industrial development projects
 bradford <unk> director of the mayor 's city economic development office says there is no question that vermont-slauson had a <unk> effect on the surrounding neighborhood
 what had been a deteriorated area with nothing but <unk> shops and <unk> shops is now experiencing a major upgrading in the housing and commercial stock thanks to a <unk> <unk> source of <unk> capital that vermont-slauson yields
 another benefit is that substantial <unk> of the <unk> in these centers are minority businessmen and women
 in the grand <unk> plaza developed by <unk> realty group in chicago 's third ward opposite the robert taylor homes N N of the stores to date have been leased to blacks and N N to members of other minority groups
 children from the community will have <unk> role models than the drug <unk>
 so what 's the catch
 primarily that putting one of these inner-city deals together takes time patience <unk> of vision and negotiating skills that not all developers <unk>
 security costs are also quite high
 one of these centers can involve years of negotiating with numerous public agencies local political leaders and citizen groups and with prospective tenants and sources of financing
 suburban deals are not without their delays and <unk> inner-city deals just have more of them
 security at a typical <unk> inner-city center is impressive but <unk>
 the entire site is <unk> by a <unk> <unk> iron <unk> with a small number of <unk> gates
 <unk> and flowers give it a <unk> and <unk> appearance
 <unk> motion detectors and <unk> tv cameras monitor the entire center lighting levels are three to five times the industry standard
 the security command post <unk> as <unk> retail space has its own <unk> 's <unk> above the <unk> of the other buildings with a <unk> view of the entire center
 local law enforcement is present in a <unk> <unk> space donated by the center
 these features are also used in <unk> realty group 's grand <unk> plaza
 <unk> has its own large security force of <unk> and <unk> personnel on <unk> duty at each center
 security is N N to N N of the common area charges of these centers vs. an industry average of about N N
 these security costs are kept <unk> because the centers ' site acquisition construction and financing costs were reduced by such programs as urban development action grants economic development administration grants community development block grants tax-free industrial development bonds enterprise zone tax write-offs city infrastructure grants and tax <unk> financing
 many of these programs no longer exist or have been severely cut back
 however since these centers appear to pay for themselves there is nothing to prevent state and local governments from <unk> legislation with similar provisions
 many states already have enterprise zones and legislation that combines tax incentives loans and grants to encourage investment in depressed areas with requirements for the hiring of the <unk> and minorities
 these programs could be expanded to focus on funds for project planning identifying sources of funds and for acquiring a site and preparing it
 <unk> crime and the fear of it in inner-city commercial areas should give enterprise zones more success than most have enjoyed to date
 with many suburban areas basically overbuilt with shopping centers inner-city areas may represent a major new <unk> market for investment
 new approaches to mall design and operation make it possible to tap these markets
 if the risks and rewards are reasonable developers will respond
 government officials who wonder how important it is for them to encourage development in high-risk areas should visit vermont-slauson and grand <unk> plaza and decide for themselves
 the answer will be obvious
 mr. <unk> is a researcher at the justice department 's national institute of justice
 <unk> industries inc. said that on dec. N it will redeem $ N million face amount of its $ N million of N N subordinated notes outstanding due june N N
 for each $ N of notes the maker of specialty metals industrial fasteners and consumer products will pay $ N plus $ N of interest accrued from dec. N
 the company will notify holders of the notes to be redeemed
 manufacturers hanover trust co. is redemption agent
 one company recently was listed on the new york stock exchange and another will join the big board from the over-the-counter market this week
 <unk> investment grade municipal trust boston was listed with the symbol <unk>
 the new closed-end management investment company trades shares of beneficial interest
 it invests primarily in tax-exempt municipal securities
 <unk> corp. a new orleans bank holding company will join the big board thursday under <unk>
 three companies began trading over the counter
 <unk> corp. a <unk> colo. maker of <unk> tape <unk> systems used to back up computer disk drives started otc trading with the symbol <unk>
 rally 's inc. a louisville ky. restaurant <unk> started trading under <unk>
 sierra tucson cos. tucson ariz. started trading under <unk>
 it operates various types of <unk> facilities
 separately on the pacific stock exchange put and call options on the common stock of <unk> corp. started trading
 <unk> seattle makes computer software products
 options give a holder the right but not the obligation to buy or sell a security at a set price within a set period of time
 dow chemical co. said its <unk> energy inc. unit has agreed to buy pse inc. a houston energy company in a deal valued at about $ N million
 dow of midland mich. said its unit will begin by thursday a tender offer of $ N a share for all pse common shares outstanding
 among other conditions the offer depends on the dow unit acquiring at least N N N of the pse shares outstanding the companies said in a joint statement friday
 pse has about N million shares outstanding
 the company said the approximately $ N million acquisition price includes its total $ N million of long-term debt outstanding
 dow said it already has agreements with albert j. smith jr. chairman and chief executive officer of pse and certain other officers of the company under which dow may buy about N N of the pse common shares outstanding
 pse is a designer and operator of <unk> facilities and had N sales of $ N million
 the company is owner and operator or an equity partner in six <unk> facilities two in texas and four in california
 the company said recently it expects third-quarter earnings will be in range from $ N million to $ N million or N cents to N cents a share compared with $ N or four cents a share a year ago
 if growth <unk> its <unk> among investors a sluggish segment of the nasdaq over-the-counter market could show some <unk>
 some stock pickers already are targeting the otc market where they say await plenty of small and medium-sized growth stocks
 best of all they add these growth issues unlike their big blue-chip <unk> on the new york stock exchange are <unk> at depressed prices
 growth stocks will return to favor some analysts and money managers think because of the jitters caused by the market 's steep slide on oct. N and because of the current swell of disappointing earnings announcements
 against such a backdrop companies with proven track records of earnings gains of N N or so annually have extra appeal
 the market will have to look for a new theme now and that theme will be a return to growth declares mary farrell a painewebber analyst
 among her otc picks are <unk> <unk> and <unk> brands
 like many otc growth issues they have market values as measured by stock price times shares outstanding of roughly $ N million to $ N million
 some like to specialize in growth companies whose shares have n't traded publicly very long
 these are sometimes dubbed emerging growth companies though they also have <unk> track records
 while many growth stocks are small not all small stocks have <unk> momentum
 that 's an important <unk> because some analysts and brokers who <unk> predict that small stocks are about to outperform bigger issues may use any <unk> in growth issues to help them sell all small stocks
 you can find some good quality companies over the counter but investors should be selective says john <unk> chief portfolio manager at <unk> investors a newark n.j. money management company with about $ N million invested in growth stocks of <unk> <unk>
 mr. <unk> 's picks from the otc market include legent mail boxes etc. and <unk> american
 the main argument for growth stocks is their usually superior performance in a slowing economy
 if the market <unk> on earnings we should get better <unk> of growth stocks says l. keith mullins a <unk> analyst at morgan stanley
 eventually he believes investors will be willing to pay higher prices for companies with proven track records of earnings growth
 in anticipation of that shift he and other analysts are encouraging their clients to buy such issues now
 <unk> smaller growth stocks have n't been in favor recently
 the average issue on standard & poor 's 500-stock index gained N N last year ms. farrell of painewebber says
 <unk> earnings by comparison rose between N N and N N
 in addition earnings growth took a back seat to cash flow restructuring and takeover potential and breakup value as the preferred <unk> standards for much of the year
 also the smaller growth stocks are n't widely traded and so are harder to buy and sell quickly than blue chips
 as a result morgan stanley 's index of N emerging growth stocks most of which are in the otc market is up only N N for the year while the dow jones industrial average has leaped N N and the s&p N has grown N N
 the nasdaq composite has gained N N this year but that 's largely due to the N largest <unk> stocks which have soared N N
 some investors are skeptical of growth stocks because investing in them means ignoring that <unk> found in the fine print of some investment advertisements that past performance is n't <unk> of future results
 people are naturally <unk> of them says mr. mullins of morgan stanley
 among his <unk> in his firm 's index are legent silicon graphics and <unk>
 however more money managers are <unk> that profit is <unk> importance
 mark <unk> portfolio manager at <unk> <unk> capital management says that in reaction to nervousness about <unk> buy-out transactions analysts and investors now appear to be <unk> stock based on future earnings as opposed to the amount of debt the company can support
 barney <unk> managing director of research at hambrecht & quist also believes earnings growth is beginning to play a greater part in investors ' buying decisions
 on friday hambrecht & quist added st. <unk> medical to the list of N stocks it strongly recommends
 the opinion is largely based on the company 's earnings momentum mr. <unk> says
 st. <unk> 's market value on nasdaq exceeds $ N billion so it is n't a small stock
 the medical devices maker 's earnings rose nearly N N in N from N and N N in N
 kurt <unk> who follows the stock for hambrecht & quist anticipates that the company 's net income will grow N N to $ N a share this year
 st. <unk> finished up N to N N on friday
 friday 's market activity
 the nasdaq composite index eased N to N
 the composite finished up N N from last friday 's close
 it was a busy week for otc stocks
 friday 's volume totaled N million shares the daily average for the week was a <unk> N million
 valley national lost N N to N N on volume of N million shares
 the company reported a big third-quarter loss on thursday
 merchants bank of new york lost N to N after reporting that its third-quarter net income fell to $ N a share from last year 's $ N a share
 <unk> savings bank lost N to N N after reporting that it had a $ N million loss in the latest third quarter mostly because of loan-loss provisions
 in the N quarter the bank earned $ N million
 one bank stock was a winner
 banponce jumped N N to N N after agreeing to be acquired by banco popular de puerto rico for $ N a share
 banco popular meanwhile dropped N N to N N
 sierra tucson an initial public offering made the most active list
 the company 's shares began trading at N N up from its initial offering price of N and closed at N
 sierra tucson operates an <unk> treatment center
 among declining issues a weak earnings outlook drove <unk> technology down N N to N
 the company said results for its second quarter ended oct. N could drop as much as N N below the N cents a share reported in the year-earlier quarter
 <unk> international plummeted N N to N N
 a food and drug administration advisory panel has asked that <unk> perform more studies on its device to treat <unk>
 qintex entertainment dropped N N to N N after seeking protection from creditor lawsuits under chapter N of the federal bankruptcy code for itself and its two operating subsidiaries <unk> <unk> studios and qintex productions
 raymond corp. lost N to N after it said late thursday that it will take a $ N million charge in its third quarter for reserves to cover potential charges in connection with the closing and sale of a manufacturing plant
 as a result the company has suspended its quarterly dividend
 mccaw cellular communications and its target lin broadcasting were active
 lin added N to N N and mccaw lost N to N
 mccaw said it has secured commitments from three banks to help finance its $ <unk> bid for N million of lin 's shares
 mccaw has called for a fair auction of lin which earlier entered a <unk> merger pact with bellsouth
 following the release of the company 's fourth-quarter earnings apple computer dropped N to N on volume of more than N million shares
 apple earned $ N million or $ N a share in the quarter including $ N million from the sale of its adobe systems stock
 the following were among friday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 chicago & north western acquisition corp. $ N million of senior subordinated <unk> debentures due oct. N N priced at par to yield N N
 the coupon will be reset in one year at a rate that will give the issue a market value of N
 however the maximum coupon rate on the issue when it is reset can only be N N
 debenture holders will also receive the equivalent of N N of the common stock of cnw holdings
 the equity <unk> is not attached to the offering but underwriters said it will be offered after a filing for N common shares of cnw holdings is declared effective by the securities & exchange commission
 the issue is noncallable for five years and has a sinking fund starting in N to retire N N of the issue before maturity
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue will be sold through underwriters led by donaldson lufkin & jenrette securities corp
 <unk> soda co japan $ N million of eurobonds due nov. N N with equity-purchase warrants indicating a N N coupon at par via nomura international ltd
 each $ N bond carries one warrant exercisable from nov. N N through oct. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 for bankers and regulators arizona is looking more like texas every day
 on friday los angeles-based first interstate bancorp said it expects a net loss of $ N million for the third quarter of N because of hemorrhaging at its first interstate bank of arizona unit
 first interstate said the unit <unk> by arizona 's worsening real-estate woes will have a $ N million loss for the quarter
 first interstate took a huge $ N million provision for loan losses at the arizona bank
 it charged off an estimated $ N million of arizona loans leaving the unit with a reserve for future losses of $ N million about N N of its $ N million of troubled loans and <unk> real estate
 first interstate made the move under pressure from regulators
 the action capped a <unk> of grim arizona banking news for the third quarter and <unk> signaled that arizona is challenging texas 's long <unk> as banking 's busiest <unk>
 earlier last week valley national corp. the state 's largest locally owned banking company reported a $ N million loss and suspended its dividend
 pinnacle west capital corp. which has been <unk> with regulators for months over what to do about pinnacle 's <unk> merabank thrift unit suspended its dividend and reported a N N plunge in third-quarter net income
 security pacific corp. said third-quarter credit losses surged a third to $ N million mainly because of sour arizona real-estate loans
 new york-based chase manhattan corp. took an $ N million <unk> charge
 furthermore the regulatory <unk> behind first interstate 's loss suggests regulators have concluded that lenders ' reserves are far too low to absorb their future arizona losses and are forcing bankers to do something about it
 <unk> from the office of the comptroller of the currency had been <unk> through first interstate 's real-estate portfolio since last month they first recommended that first interstate take a provision that was less than the eventual $ N million third-quarter hit
 when first interstate balked arguing that the figure was too high regulators responded by raising their recommendation to $ N million
 at that point first interstate decided it was the better part of <unk> not to negotiate further said one industry official close to the talks
 thomas p. <unk> chief financial officer would n't comment about the details of the negotiations
 he said the provision was n't forced upon us but the regulators made it very clear what they thought was an appropriate number
 the tough regulatory stance <unk> large future losses especially at the state 's thrifts
 at least six of arizona 's N savings and loan institutions have either been taken over by the government 's conservatorship program or are essentially insolvent they are sitting on enormous <unk> losses
 for example western savings & loan association which is now in conservatorship had tangible <unk> minus liabilities of a negative $ N million at june N
 it had a $ N million loss in the second quarter
 yet it still held $ N million of <unk> real estate for which it maintains no reserves <unk>
 it also had $ N million of <unk> loans its level of reserves against those was n't immediately available though it is believed to be small
 the rapid deterioration of the arizona thrifts only adds to the <unk> cost of the government 's massive thrift bailout officially estimated at about $ N billion
 together the six <unk> or essentially insolvent arizona thrifts have tangible capital of a negative $ N billion foreclosed property of $ N billion and <unk> loans of $ N billion
 they have no reserves against the real estate and their reserves against the loans are <unk> compared with the levels of reserves banks are moving to set up
 the thrifts had a combined loss of $ N million in the second quarter
 other lenders have been recovering only N cents to N cents on the dollar on foreclosed arizona property if they can sell it at all
 all this havoc is the result of one of the worst <unk> in arizona 's <unk> history compounded by some of the usual suspects in 1980s banking <unk> greed fraud and plain bad banking
 in the late 1970s and early 1980s lenders and developers poured money into office buildings <unk> and massive <unk> of raw desert land confident that arizona 's population would grow at annual rates of N N to N N for years to come
 now annual population growth is running at about N N a year some desert <unk> bought three years ago for $ N an <unk> are being sold at $ N an <unk> and phoenix has a seven-year supply of <unk> office space
 it 's horrible to say but it 's unfortunate that earthquake was n't in phoenix it might have knocked out some of our empty buildings said <unk> jackson a prominent arizona businessman with interests in real estate banking and many other businesses
 many arizona real-estate experts think the worst may be yet to come
 ralph <unk> publisher of <unk> update newsletter said <unk> have climbed to about N a month just in <unk> county where phoenix is located
 that 's up from about N a month in N and it 's accelerating so far this month <unk> are averaging about N a day
 it 's <unk> mr. <unk> said
 moreover mr. <unk> and others said residential real estate which had remained fairly strong through most of the downturn is beginning to <unk> more and more of the <unk>
 and the generally <unk> condition of arizona 's lenders means there is little capital available in the state to shore up the economy and slow down the slide
 it 's reasonable to say there is not a <unk> s&l in the state and the amount of viable bank capital is very low said mr. jackson
 we 're going to see another big wave of failures and defaults between now and year-end
 the only thing a lot of these lenders can get out of their mouth now is pay me in N days
 first interstate had a $ N million loss in N 's third quarter mainly from <unk> and reserves connected with its texas operations
 for the six months ended june N it reported net income of $ N million or $ N a share including $ N million from tax credits and accounting changes
 the bank 's arizona unit holds about $ N billion of first interstate 's $ N billion of assets
 mr. <unk> said the bank expects arizona real-estate prices which plummeted N N over the last year to fall another N N before stabilizing
 some in arizona think that may be optimistic
 first interstate said its operations outside of arizona achieved results as expected for the quarter but did n't specify the results
 first interstate stock closed at $ N down N cents in composite trading friday on the new york stock exchange
 since its unsuccessful bid for bankamerica corp. in N the bank has undertaken a major restructuring in an effort to cut costs and boost performance but many industry officials believe it may be <unk> for a takeover bid especially with interstate banking set to begin in california in N
 mr. <unk> said the problems in arizona have only increased our resolve to continue to make our restructuring even more effective
 separately standard & poor 's corp. lowered its ratings on valley national corp. 's senior debt to <unk> from <unk> affecting about $ N million of long-term debt
 s&p also lowered ratings on unsecured deposits and issues backed by a letter of credit from the bank holding company 's principal unit valley national bank of arizona
 the ratings service said the <unk> reflect the continued slide in the company 's financial condition
 a spokesman for phoenix <unk> valley national said the concern will be able to withstand the current downturn in arizona real estate
 commercial paper holders have reinvested their funds he said and consumer deposits have been up in the last few days
 <unk> corp. said its scientists isolated a <unk> which may hold potential as a treatment for disruptions of the <unk> ranging from <unk> rejection to <unk> and <unk>
 the <unk> is the mouse version of a protein called the <unk> <unk>
 <unk> is a <unk> which directs the growth and function of white blood cells involved in the body 's immune response
 the <unk> <unk> on the surface of such cells receives the <unk> 's message to rally the body 's defense
 but in certain conditions such as <unk> diseases and <unk> and transplant rejection doctors would like to damp the immune response so such cells do n't touch off harmful <unk> reactions or cell destruction
 a <unk> form of the <unk> might turn off a specific part of the immune response without general immune <unk> the company said
 the <unk> <unk> is one of five such <unk> to be developed and tested by <unk> corp. a spinoff of <unk> through a proposed $ N million initial public offering
 <unk> will contract with the spinoff to provide the research development and initial testing of the new agents
 <unk> will have the option to buy back <unk> shares after five years
 the following issues were recently filed with the securities and exchange commission
 heller financial inc. an indirect subsidiary of fuji bank ltd. shelf offering of up to $ N billion debt securities and warrants
 <unk> overseas ltd. proposed offering of five million common shares via smith barney & co. and <unk> <unk> & co
 mci communications corp. shelf offering of up to $ N million of debt securities via merrill lynch capital markets drexel burnham lambert inc. goldman sachs & co. and salomon brothers inc
 <unk> inc. offering of $ N million subordinated <unk> debentures via bear stearns & co. inc
 union tank car co. offering of $ N million of equipment trust certificates via salomon brothers
 conner peripherals inc. which has a <unk> on a key part used in many portable computers is on target to <unk> compaq computer corp. as the fastest-growing start-up manufacturing firm in u.s. business history
 conner dominates the market for hard-disk drives used to store data in laptop computers
 it said yesterday that net income for its third quarter soared N N to $ N million or N cents a share from $ N million or N cents a share in the year-ago period
 its revenue totaled $ N million an increase of N N from $ N million a year ago
 for the nine months the san jose calif.-based company said net income jumped N N to $ N million or N cents a share from $ N million or N cents a share
 revenue nearly tripled to $ N million from $ N million
 analysts expect conner 's earnings to reach roughly $ N million or $ N to $ N a share on sales of $ N million for N the company 's third full year in business
 that 's a faster growth rate than reported by compaq which did n't post similar results until its fourth year in N
 but compaq had achieved that level of sales faster than any previous manufacturing start-up
 conner 's performance is closely tied to the <unk> demand for <unk> computers the computer industry 's fastest-growing segment
 since its inception conner has both benefited from and helped make possible the rapid spread of portable computers by selling storage devices that consume five to N times less electricity than drives used in desktop machines
 today conner controls an estimated N N of the hard-disk drive market for laptop computers
 the company supplies drives to compaq and zenith data systems the top two u.s. manufacturers of <unk> and to toshiba corp. nec corp. and sharp corp. the leading japanese laptop makers
 they 've had this field to themselves for over a year now and they 've been greatly <unk> said bob <unk> an analyst at <unk> inc. a market researcher in los <unk> calif
 in the coming months however this is likely to change
 next month seagate technology which is the dominant supplier of hard-disk drives for personal computers plans to introduce its first family of <unk> drives for <unk> computers
 and the japanese are likely to keep close on conner 's heels
 they are going to catch up said david <unk> an analyst with hambrecht & quist
 both toshiba and nec already produce hard-disk drives and sony also is studying the field mr. <unk> said
 but conner is n't standing still
 yesterday the company introduced four products three of which are aimed at a hot new class of computers called <unk>
 each of the three drives uses a mere N watts of power and one <unk> just N ounces
 most of our competitors are announcing products based on our older products said <unk> conner chief executive officer and founder of the firm that bears his name
 we continue to develop products faster than anyone else can
 these new products could account for as much as N N of the company 's business in N mr. conner estimated
 we 're not afraid of <unk> some of our old stuff to stay ahead of the competition he said
 conner already is shipping its new drives
 last week for instance compaq introduced its first notebook computer to <unk> reviews
 conner is supplying hard-disk drives for the machine which <unk> only six pounds and fits in a <unk>
 from its inception conner has targeted the market for <unk> machines building hard-disk drives that are smaller and use far less power than those offered by competitors such as seagate
 the availability of these drives in turn boosted demand for laptop computers whose <unk> had been limited because of lack of storage
 conner also makes hard-disk drives for desktop computers and is a major supplier to compaq which as of july owned N N of conner 's stock
 sales to compaq represented N N of conner 's business in its third quarter compared with N N in the year-ago period
 move over <unk> phone services a legal service with a N number has been launched in california
 a newport beach law firm started the <unk> legal service called <unk> using mci communication corp. 's <unk> service
 cane & associates <unk> its $ <unk> service as the cheapest legal hour you 'll ever find
 though the service is available only in california <unk> founder michael cane says he plans to franchise it in other states
 he says his aim is to reach people who are <unk> have no access to transportation ca n't find a lawyer to take their case or simply ca n't afford lawyers ' <unk> fees
 mr. cane <unk> that he is n't using the telephone to lure clients to his <unk>
 we will only deal with clients on the phone he says
 we have no <unk> business
 <unk> is apparently the only telephone service that offers the telephone equivalent of an office visit
 local bar associations in some states have numbers that provide free <unk> messages explaining certain areas of the law
 there also are N <unk> which refer people to lawyers usually personal-injury specialists for <unk> <unk>
 when a caller reaches <unk> by dialing <unk> a <unk> <unk> the call to one of six attorneys
 in an effort to determine whether a caller has reason to sue cane lawyers review documents and perform research if necessary with the help of three law <unk> and several support staffers
 there is no charge for research only for time on the phone
 if the matter requires further legal work or litigation mr. cane says his lawyers may refer the client to a law firm
 but he says cane & associates does n't receive <unk> fees
 so far says mr. cane most calls have involved <unk> problems tax problems <unk> and <unk> questions
 the firm is getting about N calls a day and the average call lasts about N minutes
 out of the $ N charge the law firm pockets about $ N
 jury <unk> congressman in connection with wedtech corp. scandal
 a federal court jury in new york found u.s. rep. robert garcia d. n.y and his wife <unk> lee garcia guilty of <unk> $ N from wedtech in return for official acts by the congressman
 the jury also convicted them of <unk> in obtaining a $ N <unk> loan from a wedtech officer
 the jury found them guilty of conspiracy in obtaining the payments some of which were <unk> as fees for consulting services from mrs. garcia
 wedtech which became <unk> in <unk> cases that eventually led to its demise formerly was a <unk> south bronx n.y. defense contractor
 edward <unk> little one of the assistant u.s. attorneys who prosecuted the case said the garcia trial is the last of the wedtech prosecutions
 mr. little said more than N people have been convicted in the wedtech cases including former u.s. rep. mario <unk> d. n.y
 lawyers for the <unk> said they plan to appeal
 mr. garcia who represents new york 's <unk> congressional district which includes the bronx said he has n't decided whether he will resign
 in the next few weeks i will be consulting with my political advisers and with the democratic leaders about the best way of preserving the interests of my constituents said mr. garcia N years old
 mrs. garcia N formerly was a member of mr. garcia 's congressional staff
 the <unk> were cleared of four other felony counts involving the <unk> of <unk> and <unk>
 u.s. judge leonard b. sand set the <unk> ' sentencing for jan. N
 five shea & gould partners are leaving to form a new firm
 the new firm hutton <unk> <unk> <unk> <unk> & <unk> will be based in new york
 the five partners who resigned from shea & gould late last week are tom hutton sam <unk> dean <unk> daniel <unk> and ernest <unk>
 they will be joined by larry <unk> who resigned from the firm of <unk> <unk> & block
 howard <unk> a new york <unk> who represents shea & gould said shea & gould understands they 're leaving because they wanted a different environment a smaller firm they would be principals of
 mr. <unk> said the five who were n't on shea & gould 's management committee are leaving on good terms
 he said shea & gould held a number of discussions with the five partners during the past few weeks to get them to stay but that the five were firmly committed to running their own firm
 hutton <unk> will have a general corporate securities real-estate and litigation practice and a substantial practice serving the <unk> community
 disciplinary proceedings against lawyers open to public in illinois
 while investigations into lawyer misconduct will remain secret the public will be notified once a formal complaint is filed against an attorney
 the actual disciplinary hearings will be public
 in addition illinois attorneys will lose the right to sue clients who file <unk> complaints against them
 <unk> will be added to the inquiry panels that look into allegations of misconduct
 illinois joins N other states that allow public participation in <unk> proceedings and N states that open disciplinary hearings to the public according to the american bar association
 one <unk> critic of the changes chicago lawyer warren <unk> says <unk> should n't be on the inquiry panels because they are unlikely to appreciate the <unk> of <unk> relationships
 in addition he says publishing the names of lawyers who are facing charges <unk> subjects them to public <unk>
 nevertheless mr. <unk> anticipates no legal action to reverse the illinois supreme court 's decision to institute the changes
 there 's no constitutional right involved in the rule change he says
 you do n't have a right to practice
 you only have a privilege to practice
 drexel burnham lambert inc. agreed to pay a $ N fine to delaware the <unk> state to settle with drexel in the wake of the firm 's guilty plea to federal insider-trading charges
 drexel does n't have a delaware office but the new york firm has been negotiating settlements that would allow it to operate freely nationwide despite its record as an admitted <unk>
 the firm has said it expects to pay $ N million overall to settle with states
 drexel pleaded guilty in september to six felony counts of securities and mail fraud it also made a $ N million civil settlement with the securities and exchange commission
 philip morris cos. whose benson & hedges cigarette brand has been losing market share has asked at least one other agency to try its hand at creative work for the big account which has been at wells rich greene inc. since N
 executives close to philip morris said that the tobacco and food giant has asked backer spielvogel bates worldwide inc. a unit of saatchi & saatchi co. and possibly others to work on creative ideas for the account
 several executives said another potential <unk> is wpp group 's ogilvy & mather agency which works on some other philip morris products
 both philip morris and backer spielvogel declined to comment
 a spokeswoman for ogilvy & mather said the agency does n't comment on idle speculation
 also mentioned as a <unk> was <unk> advertising but the company denied it was participating
 the loss of the cigarette account would be a severe blow to wells rich
 benson & hedges has been one of its most <unk> campaigns as well as one of its largest clients
 the account billed almost $ N million last year according to leading national advertisers
 but philip morris has scaled back ad spending on the brand over the past year industry executives said and it now bills about $ N million to $ N million
 industry executives said philip morris had asked the other agencies to create campaigns in a bid to stop the brand 's slipping market share
 according to john maxwell an analyst at wheat first securities richmond va. benson & hedges has slipped from N N of the cigarette market in N to just N N after the second quarter of this year
 the brand is no. N overall in the cigarette business mr. maxwell said
 the slip has come despite <unk> ads created by wells rich including one <unk> a young man <unk> only in <unk> <unk> <unk> a <unk> <unk>
 that ad generated so much publicity that a trade magazine launched a contest for its readers to guess who the guy was and what he was doing
 wells rich first <unk> the benson & hedges brand more than N years ago with ads portraying among other things an <unk> door closing on a passenger 's cigarette
 the brand early on achieved an upscale appeal a <unk> that some analysts believe is partly responsible for its <unk> performance
 philip morris trying to revive the benson & hedges franchise put the account up for review in N
 wells rich greene however in an effort directed by mary wells lawrence emerged the victor of the review and retained the business
 kenneth <unk> wells rich 's chairman did n't return phone calls seeking comment
 while wells rich recently picked up hertz corp. 's $ N million to $ N million account it has lost a number of big accounts this year including the $ N million to $ N million <unk> canada dry and <unk> accounts the $ N million procter & gamble co sure <unk> account and the $ N million <unk> <unk> business
 its victories include more than $ N million in sheraton corp. business and an <unk> from dun & bradstreet worth $ N million to $ N million
 this city is <unk> for gridlock today as hundreds of thousands of commuters avoid travel routes <unk> by last week 's earthquake
 estimates of damage in the <unk> san francisco bay area <unk> $ N billion excluding the cost of <unk> the region 's transportation system
 the bay bridge the main artery into san francisco from the east will be closed for at least several weeks
 part of the bridge collapsed in the quake which registered N on the richter scale
 the bridge normally carries N commuters a day
 also most of the <unk> connecting the city to its main link to the south the N freeway have been closed for repairs
 the bay area rapid transit system which runs subway trains beneath the bay is <unk> for a doubling of its daily regular <unk> to N
 bart has increased service to N hours a day in preparation for the <unk>
 most unusual will be <unk> commuters from the east bay towns of oakland and berkeley
 for the first time in N years ferry service has been restored between the east bay and san francisco
 the red and white fleet which operates regular <unk> ferry service to and from <unk> county and tourist tours of the bay is offering east bay commuters a chance to ride the waves for the price of $ N <unk>
 that tariff is too stiff for some financial district wage <unk>
 i 'll stay with bart said one secretary <unk> her fears about using the <unk> tube
 officials expect the golden gate bridge to be <unk> with an extra load of commuters including east bay residents making a long <unk>
 we 're anticipating quite a traffic crunch said one official
 about N people typically travel over the golden gate bridge during commute hours
 about N vehicles cross during a 24-hour period
 meetings canceled by apple computer inc. 's european sales force and by other groups raised the specter of empty hotel rooms and restaurants
 it also raised <unk> of the city 's tourism <unk>
 other cities are calling groups booked here for tours and conferences and not to be <unk> stealing our <unk> list said scott <unk> a spokesman for mayor art agnos
 city officials stuck by their estimate of $ N billion in damage to the <unk> city
 the other five bay area counties have increased their total damage estimates to $ N billion
 all estimates exclude highway repair which could exceed $ N billion
 among the expensive <unk> are <unk> of <unk> freeway in san francisco that were closed because of <unk> damage
 the most worrisome stretch is N miles of <unk> highway known as the <unk> freeway
 until it was closed tuesday it had provided the <unk> series of <unk> for commuters from the bay bridge heading into the financial district
 engineers say it will take at least eight months to repair the <unk> structure
 as part of the quake recovery effort the city building department has surveyed about N buildings including all of the financial district 's <unk>
 the preliminary conclusion from a survey of N downtown <unk> is that we were <unk> lucky said lawrence <unk> san francisco 's chief building inspector
 while many of these buildings sustained heavy damage little of that involved major structural damage
 city building codes require construction that can resist <unk>
 in england martin <unk> a spokesman for lloyd 's of london said the insurance market has n't yet been able to estimate the total potential claims from the disaster
 the extent of the claims wo n't be known for some time mr. <unk> said
 on friday during a visit to california to survey quake damage president bush promised to meet the federal government 's obligation to assist relief efforts
 california officials plan to ask congress for $ N billion or more of federal aid in the form of grants and <unk> loans
 the state has a $ N billion reserve and is expected to add $ N billion to that fund in the next year
 some of that money will be available for highway repair and special emergency aid but members of the legislature are also <unk> over a temporary state gasoline tax to raise money for earthquake relief
 however state initiatives restrict the ability of the legislature to raise such taxes unless the voters approve in a statewide <unk>
 g. christian hill and ken wells contributed to this article
 bond corp holdings ltd. posted a loss for fiscal N of N million australian dollars us$ N million the largest in australian corporate history
 that loss compared with a year-earlier profit of a$ N million
 in preliminary <unk> results reported friday bond corp. also posted an operating loss of a$ N million for the year ended june N compared with operating profit of a$ N million a year earlier
 operating revenue rose N N to a$ N billion from a$ N billion
 but the net interest bill jumped N N to a$ N million from a$ N million
 bond corp. has interests in brewing media and communications natural resources and property
 much of bond corp. 's losses stemmed from one-time write-downs of the value of some of bond corp. 's assets and those of its units
 the results included a a$ N million write-off of future income-tax benefits and a provision for a loss of a$ N million on the sale of a stake of about N N in <unk> plc
 however bond corp. said the tax benefits remain available and might be used later
 earnings before interest and tax from brewing <unk> N N to a$ N million from a$ N million
 the company said the general financial performance of its u.s. brewing operations g. <unk> brewing co. was disappointing and this has been reflected in the results
 bond corp. 's shares closed friday before news of the results at N australian cents a share up one australian cent
 the staggering losses cap a tumultuous year for alan bond and his flagship bond corp
 only a year ago the chairman of bond corp. who controls about N N of the company appeared to be building a war <unk> to attack some big companies
 now bond corp. has agreed to sell at least half its australian brewing assets
 it has sold billions of dollars of other assets and has more on the block
 but in a tv interview sunday mr. bond said we 've taken a big loss
 we 've taken it on the <unk>
 but we 're out there and we 're going to stay in business
 bond corp. signaled it will focus on building its domestic and international media and communications businesses
 it said it will look at opportunities in brewing property and energy resources to the extent consistent with the dominant objective of <unk> <unk> ratios
 the result will ultimately be a very different group in size and structure bond corp. directors said in a statement
 some analysts contend the total <unk> should have been much greater and bond corp. 's auditors cited a list of several assets and deals about which there is uncertainty regarding the current value and potential impact on the firm
 bond corp. said the acknowledged losses mean net asset backing is in the red to the tune of N australian cents a share vs. positive asset backing of a$ N a share a year ago
 still the directors said having fully considered all aspects of the company 's state of affairs and future cash flows the directors confirm absolutely that the company is <unk>
 indeed in a note to the results directors said if the true worth of some of the group 's assets were taken into account instead of using book values the negative net asset backing a share would turn into a substantial positive one
 the <unk> supermarket went out of business last may
 the reason was not high interest rates or labor costs
 nor was there a shortage of customers in the area the residential <unk> section of northern manhattan
 the business closed when the owner was murdered by <unk>
 the owner was israel ortiz a <unk> entrepreneur and father of two
 in his first year of operating the store he bought for $ N mr. ortiz was robbed at least twice at <unk>
 the first time he was shot in the hand as he <unk> the <unk> outside
 the second time he identified two <unk> who were arrested and charged
 two weeks later perhaps in <unk> mr. ortiz was shot three times in the back during what police classified as a third <unk> attempt
 that was his reward for working until N p.m. seven days a week to cover his $ N a month rent
 for providing what his customers described as very personal and helpful service
 for creating a focus for neighborhood life
 israel ortiz is only one of the thousands of entrepreneurs and their employees who will be injured or killed by crime this year
 the u.s. bureau of justice statistics reports that almost N N of all <unk> workers suffer injuries from crime each year almost twice the national average and about four times the rate for teachers truck drivers medical workers and <unk> salespeople
 only a few other <unk> have higher reported rates of criminal injury such as police <unk> and taxi drivers
 yet these figures show only the most visible part of the problem
 recent data from new york city provide more of the picture
 while by no means the highest crime community in the country new york is a prime example of a city where crime <unk> small-business development
 a survey of small businesses there was conducted this spring by <unk> a policy research organization
 it gave N businesses a <unk> and <unk> N responses
 the survey found that over a three-year period N N of the firms said employees or owners had been robbed on their way to or from work or while on the job
 <unk> percent reported their customers being robbed
 crime was the reason that N N reported difficulty recruiting personnel and that N N said they were considering moving
 more than one-third of the responding businesses said they suffer from drug dealing and <unk> near their premises
 in brooklyn and the bronx one out of four commercial firms is <unk> each year
 industrial neighborhoods fare even worse with <unk> rates twice the <unk> average
 crime is clearly more deadly to <unk> <unk> than to big businesses
 two decades ago the small business administration reported yale prof. albert <unk> 's landmark study of crime against N small businesses drawn from national irs records
 he found that monetary crime losses as a proportion of gross receipts were N times higher for small businesses than for large ones
 the new york study 's companies averaged N employees their annual crime losses averaged about $ N with an additional $ N annual cost in security enough money to hire at least one more worker
 the costs of crime may also be enough to destroy a struggling business
 whatever the monetary crime losses they may not be nearly as important to entrepreneurs as the risk of personal injury
 after repeated gun <unk> some entrepreneurs may give up a business out of fear for their lives
 one washington couple recently sold their liquor store after N years in business that included four <unk> deaths and N <unk> or <unk> on the premises
 these findings illustrate the vicious cycle that national institute of justice director james k. stewart calls crime causing poverty
 <unk> neighborhoods offer relatively few employment opportunities contributing to the poverty of local residents
 small neighborhood businesses could provide more jobs if crime were not so harmful to creating and maintaining those businesses
 this may help explain why small businesses create N N of all jobs nationally but only N N of jobs in a <unk> city like new york
 bigger business can often better afford to minimize the cost of crime
 the new york study found that the cost of security measures in firms with fewer than five employees was almost $ N per worker compared with one-third that amount for firms with more than N employees
 the shift of retailing to large shopping centers has created even greater economies of scale for providing <unk> business environments
 private security guards and <unk> police can <unk> the law of trespass to regulate access to these <unk> places
 since N in fact revenues of the N largest guard companies primarily serving such big businesses have increased by almost N N
 few small neighborhood businesses however can afford such protection even in collaboration with other local merchants
 in the neighborhoods with the highest crime rates small business generally relies on the public police force for protection
 this creates several problems
 one is that there are not enough police to satisfy small businesses
 the number one proposal for reducing crime in the new york survey was to put more police on foot or <unk> <unk> suggested by more than two-thirds of the respondents
 only N N supported private security <unk> funded by the merchants themselves
 a second problem is the persistent frustration of false <unk> which can make urban police less than enthusiastic about responding to calls from small businesses
 only half the new york small businesses surveyed for their part are satisfied with the police response they receive
 some cities including new york have <unk> with special tax districts for commercial areas that provide additional <unk> funded by local businesses
 but this raises added cost barriers to urban <unk>
 another solution cities might consider is giving special priority to police <unk> of small-business areas
 for cities losing business to suburban shopping centers it may be a <unk> business investment to help keep those jobs and sales taxes within city limits
 increased <unk> of business zones makes sense because urban crime is heavily concentrated in such hot spots of <unk> <unk>
 with national institute of justice support the minneapolis police and the crime control institute are currently testing the effects of such a strategy <unk> its <unk> value with traditional random <unk>
 small-business <unk> would be an especially helpful <unk> whenever a small-business person is scheduled to testify against a <unk> suspect
 while no guarantee an increased police presence might even deter further attacks
 it might even have saved the life and business of israel ortiz
 mr. sherman is a professor of <unk> at the university of maryland and president of the crime control institute in washington <unk>
 enfield corp. said in toronto that it hopes to raise N million canadian dollars us$ N million through a rights offering to shareholders
 under the offer shareholders can purchase one enfield share at c$ N for each five shares held
 in toronto stock exchange trading friday enfield closed at c$ N down N cents
 the holding company said the rights offering should reduce its c$ N million debt to more <unk> levels before dec. N and allow it to finance future investments with equity capital
 at last report enfield had about N million shares outstanding
 former u.n. ambassador <unk> <unk> in a <unk> capital gang discussion oct. N of house action on federal <unk> insurance
 i think this repeal was kind of a <unk> action as a matter of fact
 they will have to <unk> this issue and they 'll have to <unk> it before long
 diversification pays
 that 's a fundamental lesson for investors but its truth was demonstrated once again in the performance of mutual funds during and after the stock market 's friday-the-13th plunge
 stock funds like the market as a whole generally dropped more than N N in the week through last thursday according to figures compiled by lipper analytical services inc
 that reflects the huge drop a week ago friday last monday 's rebound and the <unk> and <unk> that followed
 but several other types of funds <unk> investors from the worst of the market 's slide
 funds that invest internationally were the <unk> stock and fixed-income funds
 more than ever people should realize they should have a diversified portfolio said <unk> <unk> a senior vice president of vanguard group
 that means stocks bonds money market instruments and real estate
 one week 's performance should n't be the basis for any investment decision
 but the latest mutual fund performance figures do show what can happen when the going gets rough
 you want to know how a fund did when the market got <unk> said kurt brouwer an investment adviser with brouwer & <unk> in san francisco
 it 's like <unk> the tires of a car
 what you want to know is when the road 's rough when there 's snow and ice how 's this car going to perform
 general equity funds fell an average of N N in the week ended thursday compared with a N N slide for the standard & poor 's 500-stock index
 but lipper analytical 's figures show that there were a number of ways investors could have <unk> themselves from the stock market 's gyrations
 <unk> funds for instance which invest in companies that mine and process the precious metal posted an average decline of N N
 flexible portfolio funds which <unk> investments among stocks bonds and money-market instruments and other investments declined at about half the rate of stock funds an average drop of N N according to lipper
 global allocation funds take the <unk> concept one step further by investing at least N N of their portfolios outside the u.s.
 this gives them the added benefits of international diversification including a foreign-exchange boost during periods like the past week when the dollar declines against other major currencies
 with all that going for them global flexible portfolio funds declined only N N in the week through last thursday
 but while the merits of diversification <unk> through when times are tough there 's also a price to pay a diversified portfolio always <unk> an <unk> portfolio during those times when the investment in the <unk> portfolio is truly hot
 and friday the 13th notwithstanding stocks have been this year 's hot investment
 thus even including the latest week the average general stock fund has soared more than N N so far this year the lipper analytical figures show
 by comparison global asset allocation funds have turned in an average total return of about N N while domestic flexible portfolios are up about N N
 fixed-income funds have returned N N while gold funds which tend to be volatile have risen just N N on average
 that 's the problem with trying to hedge too much said mr. brouwer
 you do n't make any real money
 over the last N years for example mr. brouwer says an investor putting $ N a year in the s&p N would have made nearly twice as much than if it were invested in treasury bills
 some equity funds did better than others in the week that began on friday the 13th
 the $ N million <unk> fund for instance was the seventh top performing fund for the week with a N N return
 its return so far this year has been a credible N N
 the fund 's strategy is to sell when a stock <unk> N N over its cost
 by the time the market plummeted N days ago <unk> was N N in cash said robert <unk> president and portfolio manager
 last monday he started buying the high-quality growth companies that people were throwing away at discount prices
 among mr. <unk> 's picks <unk> systems reebok international ltd. and digital microwave corp
 the fund 's cash position is now about N N which mr. <unk> calls still bearish
 among the big stock funds dreyfus fund with more than $ N billion in assets had a decline of just N N for the week and a return of N N for the year
 howard stein chairman of dreyfus corp. said the fund was about half invested in government bonds on oct. N and about N N in cash
 in a downward market bonds act better he said
 we still think there 's a lot of <unk> in this market
 we believe interest rates will continue to trend lower and the economy will slow around the world
 many of the funds that did best in the last week are heavily invested overseas giving them the benefit of foreign currency <unk> when the dollar is weak
 from its high point on thursday oct. N to where it traded late in new york a week later the dollar fell N N against the west german mark N N against the british pound and N N against the japanese yen
 three international cash portfolios funds which invest almost exclusively in bonds and money-market instruments overseas were among the four <unk> funds in the latest week
 because the funds ' investments are <unk> in foreign currencies their value expressed in dollars goes up when those currencies rise against the dollar
 but when the dollar rises against major foreign currencies as it did for much of this year the dollar value of these funds declines
 all three funds posted negative returns for the year to date
 of the funds that fared the worst in the <unk> N week two are heavily invested in airlines stocks which led the market slide following problems with financing for the ual corp buy-out plan
 reflecting airline takeover activity however both the fidelity select air transportation portfolio and the national aviation & technology fund posted <unk> returns for the the year to date N N for the fidelity air transportation fund and a <unk> N N for national aviation & technology
 the small drop in equity funds in general in the latest week may not necessarily be a good sign said a. michael lipper president of lipper analytical
 noting that equity funds are up nearly N N from their post-crash low on dec. N N he said that what happened last week may not be enough of an adjustment
 there 's either more to come or an extremely long period of <unk>
 but investors do n't seem to think so
 several big mutual fund groups said last week that cash flows into stock funds were heavier than usual after heavy outflows on the 13th
 vanguard group said it had a more than $ N million net <unk> into its stock funds last week
 there certainly has n't been a panic reaction said steven <unk> a vice president at t. rowe price associates
 people showed some staying power and in fact interest in buying equities
 source lipper analytical services inc
 \* not counting dividends
 \*\* with dividends reinvested
 sources lipper analytical services inc. standard & poor 's corp
 guardian royal exchange assurance plc a major british composite insurer said it is taking a stake in nationwide <unk> building society 's estate agency business as part of a plan to create a range of commercial <unk> in the u.k. and europe
 officials declined to disclose the value of the transaction or the exact stake that <unk> will hold in nationwide <unk> estate agents
 but the companies said that nationwide <unk> estate agents will market <unk> life insurance pension and investment products through its more than N retail outlets in the <unk>
 besides the marketing agreement <unk> said nationwide <unk> has agreed to develop life insurance products with the composite insurer
 sitting at the bar of the four seasons restaurant architect william mcdonough seems <unk> to the glamorous <unk> and the elegant setting
 he is <unk> the <unk> <unk> above the <unk> <unk>
 look how much air is moving around he says
 the <unk> here is great
 you may be hearing more about the <unk> mr. mcdonough and his <unk> with clean air
 after years of relative <unk> he is starting to attract notice for the ecological as well as the <unk> quality of his architecture
 mr. mcdonough believes that the <unk> of the planet depends on such <unk> as opening windows to cut <unk> air pollution <unk> down carpets instead of using toxic <unk> and avoiding <unk> which comes from endangered rain <unk>
 he has put some of his <unk> ideas into practice with his design of the <unk> <unk> <unk> restaurant <unk> <unk> <unk> architecture magazine called it and his remodeling of paul stuart the madison avenue clothing store
 he has designed furniture and homes as well as commercial and office space
 he is now designing a broadway stage set for a show by the band kid <unk> and the <unk>
 what really <unk> his <unk> though is <unk> architecture
 now the question is is poland ready for it
 mr. mcdonough is about to tackle his biggest clean-air challenge yet the proposed warsaw trade center in poland the first such center in eastern europe
 the project has already acquired a certain new york <unk>
 bloomingdale 's plans to sell a <unk> <unk> model of the center during the holidays
 some of the sales proceeds will go to the design industries foundation for aids
 a <unk> topped with a <unk> of the center will be auctioned at an aids benefit at sotheby 's in december
 if mr. mcdonough 's plans get executed as much of the polish center as possible will be made from aluminum steel and glass recycled from warsaw 's abundant rubble
 a <unk> <unk> <unk> will stand <unk> N stories of commercial space
 <unk> <unk> will make the <unk> <unk>
 the windows will open
 the carpets wo n't be <unk> down and walls will be coated with <unk> <unk>
 to the extent that the $ N million budget will allow it mr. mcdonough will rely on solid wood rather than <unk> or <unk> board to limit the <unk> of <unk>
 if mr. mcdonough has his way the poles will compensate for the trade center 's emissions of carbon dioxide a prime suspect in the global atmospheric warming many scientists fear
 the poles would plant a <unk> forest somewhere in the country at a cost of $ N with the center 's developer footing the bill
 the news has n't exactly moved others in mr. mcdonough 's profession to become architectural <unk> <unk>
 all architects want to be aware of the ecological consequences of their work says john <unk> whose new york firm is designing the redevelopment of times square but we ca n't all carry it to that extreme
 karen <unk> senior associate at michael <unk> 's architecture firm in princeton n.j. says we 're really at the <unk> of what the construction industry can and will do readily
 mr. mcdonough <unk> i 'm asking people to broaden their <unk>
 the son of a seagram 's executive who was <unk> in many countries around the world mr. mcdonough was born in tokyo and attended N schools in places ranging from hong kong to <unk> heights ohio before entering <unk> college
 he earned a master 's degree in architecture from yale
 his interest in the natural environment dates from his youth
 he and his father still spend time each summer <unk> for <unk> in <unk>
 living in hong kong he says made him sensitive to the limits on food power and water supplies
 at his first school in the u.s. he was thought a little strange for <unk> off open water <unk> and <unk> his <unk> to take only brief <unk>
 he and a <unk> <unk> established a company that restored three <unk> power plants in vermont
 at yale he designed one of the first <unk> houses to be built in ireland
 mr. mcdonough 's first professional project fully to reflect his environmental <unk> was his N design for the headquarters of the environmental defense fund in new york
 the offices took N square feet of a building with <unk> <unk> and big <unk> windows
 since the 1970s energy crisis some efforts to <unk> energy by <unk> buildings have had an <unk> side effect high <unk> pollution
 to reduce it at the fund 's building workers <unk> <unk> instead of <unk> on the floors in the executive director 's office
 <unk> rather than a synthetic material lies under the <unk> carpets and the desks are of wood and <unk> instead of plastic
 the budget was only $ N
 <unk> with <unk> means mr. mcdonough says
 the fund 's lawyers work in an <unk> <unk> of <unk> trees
 economists and administrators sit along a <unk> with street <unk> and <unk> trees
 in offices <unk> <unk> <unk> <unk>
 offices with outside windows have inside windows too to let in more real <unk>
 we proved a healthy office does n't cost more says <unk> <unk> executive director of the fund
 it really looks beautiful and is very light says ann <unk> a free-lance writer who has visited the office for lunch meetings
 but she says i guess i did n't really notice the trees
 maybe they were hidden by all the people
 neither the <unk> <unk> nor the paul stuart <unk> reflects much of mr. mcdonough 's environmental concern
 the restaurant was <unk> as a <unk> <unk> <unk>
 it makes extensive use of <unk> steel silver and aluminum that sets off black <unk> table tops and a gray <unk> with <unk> floors
 to more than replace the wood from two english <unk> used for <unk> at paul stuart however mr. mcdonough and friends planted N <unk> around the country
 the ambitious warsaw project still <unk> approval by city officials
 its developer is a polish american <unk> <unk>
 he had worked with mr. mcdonough on an earlier project and recruited him as architect for the trade center
 the center will provide space for computer hardware and facsimile and other telecommunications equipment not readily accessible in poland now for a growing number of <unk> doing business in eastern europe
 mr. mcdonough thinks of the center as the <unk> tower of warsaw and a symbol of the <unk> of poland
 if any nation can use environmentally benign architecture it is poland
 <unk> <unk> vice president of world resources institute in washington d.c. says that perhaps a quarter of poland 's soil is too <unk> for safe <unk> because of air pollution
 the pollution is also killing <unk> and destroying buildings that date back to the middle ages
 the future of the forest remains uncertain
 mr. <unk> 's company <unk> ltd. has agreed to set aside the money to plant and maintain it but discussions are still going on over where to place it and how to ensure that it will be maintained
 after all mr. <unk> says in poland there are n't too many people worried about the environment
 they 're more worried about bread on the table
 pittston co. 's third-quarter net income plunged N N reflecting the impact of a prolonged and bitter labor strike at its coal operations
 net sank to $ N million or eight cents a share including $ N or two cents a share reflecting a tax-loss carry-forward
 in the year-ago quarter net totaled $ N million or N cents a share including $ N million or N cents a share reflecting a tax-loss carry-forward
 revenue slipped N N to $ N million from $ N million
 pittston also owns brink 's inc. the security service and burlington air express the air-freight concern
 in addition to expected losses tied to the labor strike the coal group has spent almost $ N million since the strike began for security the company said
 as a result the group 's third-quarter loss widened to $ N million from the second quarter 's $ N million
 pittston continues to hire replacement workers the company said
 burlington 's operating profit grew to $ N million from $ N million a year earlier pittston said
 while the tone of domestic and international air-freight markets remains sound seasonal factors are likely to <unk> burlington air from matching third-quarter results in the fourth quarter pittston said
 brink 's operating profit was about flat with the year-earlier period reflecting continued pricing and cost pressures
 in new york stock exchange composite trading friday pittston closed at $ N a share down N cents
 does n't anybody here want to win this mayor 's race
 as they <unk> and <unk> toward election day two weeks from tomorrow both democrat david dinkins and republican rudolph giuliani are in trouble
 mr. dinkins the manhattan borough president can afford more <unk> and <unk> because he holds a comfortable <unk> lead in most of the <unk> polls
 but in the past N days he has taken a series of body <unk> to his pride and his reputation that could <unk> affect his ability to govern this tumultuous city should he become new york 's first black mayor
 ordinarily a <unk> opponent would find a way to capitalize on the other side 's <unk>
 but mr. giuliani a <unk> prosecutor has had difficulty switching from his <unk> <unk> mode to a political stance that suggests he might know something about running this big troubled city
 and now at the crucial moment he 's running out of money
 this is the nation 's biggest city and traditionally its mayor is the nation 's best-known urban politician
 democrats hoped that mr. dinkins could become a highly visible national leader
 republicans figured that in mr. giuliani the nation 's best-known prosecutor they had a chance for a huge upset in the heart of democratic territory and that they would pick up a new political star
 but it has n't worked out that way
 dinkins is a decent but sloppy guy says david <unk> veteran campaign consultant here who has always worked for mayor edward koch defeated by mr. dinkins in the sept. N democratic primary
 the alternative giuliani is <unk>
 i guess we 'll <unk> go ahead and do it vote for dinkins says richard wade a politically active professor who supported richard <unk> an <unk> in the democratic primary
 there 's nothing on the other side
 we 're picking up steam insists roger <unk> mr. giuliani 's media consultant whose last big campaign helped put george bush in the white house
 he adds it just has n't gotten down to the engine room yet
 but the steam may never reach the engine room
 for just as mr. giuliani <unk> on to an issue that has mr. dinkins reeling his campaign desperately needs cash to keep mr. <unk> 's commercials on the air beyond wednesday or thursday
 to help out this week the white house is <unk> chief of staff john <unk> and three cabinet members hud 's jack kemp transportation 's samuel skinner and treasury 's nicholas brady according to peter powers the giuliani campaign manager
 for republicans who began this campaign with such high hopes all of this is deeply frustrating
 historically new york is almost always in trouble
 but the trouble it faces now under democratic rule seems bigger and more <unk> than anything it has faced in the past
 this year the city faces a budget deficit that could become even bigger next year
 and hardly surprising many residents trying to cope with the city 's other problems are constantly on edge one ethnic group <unk> with another
 people were n't so happy in the 1930s says thomas <unk> another local professor and the <unk> of the legendary <unk> <unk> the city 's fusion mayor who built a coalition mr. giuliani hopes to <unk>
 but at least back then they did n't generally direct their anger at each other
 the <unk> mr. dinkins an <unk> has served as the city clerk and as manhattan borough president a job with limited executive responsibilities
 i <unk> you to come up with one major <unk> of david dinkins says mr. giuliani
 he defeated the contentious mr. koch in the democratic primary partly because he seemed to offer hope he could <unk> the city 's racial and ethnic <unk>
 his <unk> campaign is almost <unk> all <unk> pictures and <unk> words
 his theme is unity <unk> <unk> bringing new york together again
 both candidates are negotiating about holding debates but mr. dinkins is widely seen as the major obstacle for scheduling them
 the 45-year-old mr. giuliani has run a negative campaign to pick up votes <unk> to mr. dinkins
 he 's got to get dinkins 's <unk> up says lee <unk> director of the <unk> college institute of public opinion
 but our polls show voters do n't like the attack stuff
 why even N N of the republican vote is going to dinkins
 it 's <unk> politics says john <unk> mr. dinkins 's issues director insisting there is a strong <unk> <unk> to the giuliani effort
 for the giuliani forces it 's a <unk>
 on the one hand mr. giuliani wants to cut into mr. dinkins 's credibility
 on the other he seeks to convince voters he 's the new <unk> <unk> <unk> <unk> and ready to lead new york out of the mess it 's in
 it has n't helped that he 's <unk> on abortion and <unk> rights sought the support of both the liberal and conservative parties he won the liberal endorsement and that he turned to <unk> <unk> mason for help with jewish voters
 mr. mason left the campaign after telling reporters mr. dinkins is a <unk> with a <unk>
 <unk> is a <unk> <unk> word for a black person
 mr. dinkins concedes nothing in his ability to <unk> and <unk>
 he can match <unk> mason with his own robert <unk> carson an angry street <unk> who was convicted of <unk> in N
 the dinkins campaign paid mr. carson close to $ N to get out the vote on <unk> day
 paper work on how it was spent is incomplete
 mr. carson has been charged with being <unk>
 asked about that the other day he replied <unk>
 i 'm <unk>
 more troubling for mr. dinkins is his record in personal accounting
 it began in N when he was being considered for deputy mayor and a routine check <unk> the extraordinary fact that he had n't paid his income tax for the previous four years
 i was always going to do it tomorrow he explained at the time
 and now he 's <unk> trying to explain an arrangement in which he sold stock in inner city broadcasting co. headed by his old friend and <unk> <unk> sutton to his son david dinkins jr. for $ N
 he had valued the shares at more than $ N million two years earlier
 he says he sold the stock to avoid <unk> problems in his role as a voting member of the city 's board of estimate
 he says his son has n't paid for the shares
 it looks like serious tax evasion says mr. <unk> the giuliani media consultant
 it follows the same pattern as his tax returns
 he <unk> to talk about it until after he gets caught
 he simply has n't explained why something worth a million dollars ended up worth $ N two years later says mr. powers the giuliani campaign manager
 it 's <unk> for him to suggest it 's the difference between <unk> value of the shares and their market value
 so far though no one not even former u.s. attorney giuliani has been able to pinpoint just what law mr. dinkins has broken or just what tax he has <unk>
 the crime goes to character says ron <unk> a consultant to the giuliani campaign
 it 's serious stuff
 he <unk> and ducks
 he 's had a history of <unk> and this is the latest chapter
 it makes people think maybe this guy is n't so <unk> clean after all says mr. <unk> mayor koch 's media consultant
 the result may turn out to be a lot closer than people think
 the <unk> scandal surrounding the N collapse of banco ambrosiano was <unk> by the arrest last week of rome businessman <unk> <unk> on fraud charges
 rome <unk> accuse mr. <unk> and several other people of trying to <unk> N billion lire $ N from the vatican in return for documents contained in the <unk> of <unk> <unk> the ambrosiano chairman found <unk> under london 's <unk> 's bridge shortly before the bank 's collapse
 banco ambrosiano which was italy 's largest private-sector bank collapsed in N with $ N billion of debts
 most of the money was lent to a series of shell companies in panama and <unk> that were owned directly or indirectly by the vatican bank
 the vatican which denies any wrongdoing paid $ N million to the milan bank 's creditors as a goodwill <unk> in N
 italian news reports said mr. <unk> and a <unk> obtained N billion lire in checks from a vatican official <unk> <unk>
 italian papers speculated the <unk> contained papers either <unk> the vatican bank from blame in the scandal or showing that the bank known as the <unk> per <unk> <unk> di <unk> <unk> funds to east bloc groups such as solidarity in poland
 neither mr. <unk> mr. <unk> nor vatican officials could be reached for comment over the weekend
 this business trust company said its board elected <unk> e. burke a consultant to drexel burnham lambert group inc. as chief executive officer a new post and as president
 mr. burke succeeds richard d. <unk> who will remain as a consultant to the company
 both men were unavailable to comment
 the company also named michael e. <unk> a director and a major shareholder to fill the vacant seat of chairman
 britain 's serious fraud office said it will investigate the circumstances surrounding alleged <unk> contracts at ferranti international signal plc 's international signal & control unit
 the investigation which will be <unk> with one already under way in the u.s. follows the discovery of what ferranti has called a serious fraud involving its u.s. subsidiary
 international signal & control lancaster pa. a <unk> manufacturer was bought by ferranti in N for # N million $ N million
 ferranti has said that it would be forced to write off # N million against the <unk> contracts reducing its net asset value by more than half
 the serious fraud office a division of london 's metropolitan police responsible for investigating financial crimes said its work would take in allegations of fraud prior to surrounding and subsequent to the merger
 ferranti said that it <unk> the investigation and that it will cooperate fully
 <unk> <unk> ferranti 's chairman has said he hoped to pursue legal action against those responsible
 the british defense electronics group has said it will sell # N million in assets and may seek a merger to strengthen itself in the wake of its troubles
 chicago businessmen <unk> m. lee and peter <unk> signed a new agreement to purchase the denver <unk> basketball team but not as principal owners
 on saturday the partners said the team would be purchased for $ N million by a new group including comsat video enterprises inc. a unit of communications satellite corp. based here
 comsat video will pay $ N million for a N N interest with messrs. lee and <unk> putting up $ N million for a N N stake in the team
 under terms of the sale <unk> owner <unk> <unk> could receive up to $ N million in additional payments from the franchise 's future earnings
 messrs. lee and <unk> last july announced a deal that would have made them the first black principal owners of a major professional sports franchise
 but the deal fell apart last week for lack of financing
 comsat video is headed by robert <unk> who resigned his no. N executive post with turner broadcasting system inc. just two weeks ago to take the comsat position
 comsat video which distributes <unk> programs to hotel rooms plans to add <unk> games to their offerings as mr. turner did successfully with his atlanta <unk> and <unk> sports teams
 messrs. lee and <unk> will manage the <unk> ' <unk> affairs
 royal business group inc. said it filed suit in federal court here charging realist inc. and its directors with violating federal securities laws by engaging in a scheme to prevent royal from acquiring realist
 royal which makes and distributes business forms owns an N N stake in realist
 royal contends that realist failed to disclose material information including realist 's negotiations to acquire <unk> laser <unk> ag to stockholders prior to realist 's june N annual meeting
 royal 's suit contends that the <unk> acquisition was designed to <unk> management and thwart royal 's offer
 royal withdrew its offer to buy realist a maker of optical and electronic products based in <unk> falls wis. for $ N a share in july after realist disclosed the <unk> purchase
 the suit seeks in excess of $ N in damages
 a realist official said the company had n't yet received the full complaint and would n't have a response until it had an opportunity to review it
 winnebago industries inc. battered by a <unk> slowdown in recreational vehicle industry sales reported a widened fourth-quarter loss and slashed its dividend in half
 the forest city iowa maker of motor homes said it had a loss of $ N million or N cents a share in the quarter ended aug. N
 a year earlier the company had a deficit of $ N million or six cents a share
 the cut in the dividend to N cents a share <unk> from N cents would indicate to me they do n't see the problems being fixed real quick said frank <unk> an analyst at <unk> <unk> inc. in minneapolis
 indeed winnebago said it started several promotional programs to spur retail sales in the fall and winter
 the year was already shaping up as a difficult one for the recreational vehicle industry which makes products such as motor homes travel <unk> <unk> <unk> and van <unk>
 with the exception of van <unk> the industry has seen a decline from N 's robust sales
 but the rate of the decline <unk> in august with unit sales to dealers for the month down N N from a year earlier according to the recreation vehicle industry association
 at winnebago sales for the quarter fell N N to $ N million from $ N million a year earlier
 the company attributed the decline to consumers ' concern over interest rates and gas prices two key expenses for <unk> buyers
 it 's a <unk> discretionary purchase said robert <unk> who follows the industry for merrill lynch & co
 so when there 's talk and concern about the economy it 's not <unk> for a portion of the buying public to defer purchases
 mr. <unk> expects industry <unk> sales for all of N to fall about N N from N when sales of N units were the highest since N
 and he said the weakness could continue in the first half of next year
 but he said the industry has a good decade ahead particularly if aging baby boomers fulfill the industry 's dreams by buying <unk>
 winnebago was hit especially hard in the latest downturn because unit sales in its bread-and-butter motor home business tumbled N N industrywide in august and N N in the first eight months of the year
 the company said it also suffered in the quarter from incentive programs losses from <unk> a motor home line and costs of developing a new commercial vehicle among other things
 the news sent winnebago stock falling N cents to $ N in new york stock exchange composite trading a 52-week low
 the dividend cut will prove most costly for john k. hanson winnebago 's founder and chairman
 based on his control of about N N of winnebago 's N million shares his annual dividend income would be cut to about $ N million from $ N million
 for the year winnebago had a loss of $ N million or N cents a share following profit of $ N million or N cents a share a year earlier
 sales rose N N to $ N million from $ N million
 bullish bond market sentiment is on the rise again
 as the government prepares to release the next batch of economic reports the consensus among economists and money managers is that the news will be negative
 and that they say will be good for bonds
 recent data have indicated somewhat weaker economic activity said elliott <unk> director of economic research at donaldson lufkin & jenrette securities
 mr. <unk> is advising clients that the near-term direction of bond prices is likely to remain upward
 analysts insist that even without help from a shaky stock market which provided a temporary boost for bonds during the oct. N stock market plunge bond prices will start to climb on the prospects that the federal reserve will allow interest rates to move lower in the coming weeks
 that would be <unk> to fixed-income investors many of whom were badly burned in the third quarter by incorrectly assuming that the fed would ease
 investors rushed to buy bonds during the summer as prices soared on speculation that interest rates would continue to fall
 but when it became clear that rates had stabilized and that the fed 's <unk> policy was on hold bond yields jumped and prices tumbled
 long-term bonds have performed <unk> this year
 for example a group of long-term treasury bonds tracked by merrill lynch & co. produced a total return of N N in the first quarter N N in the second quarter and N N in the third quarter
 total return is price changes plus interest income
 now some investment analysts insist that the economic climate has turned cold and gloomy and they are urging clients to buy bonds before the rally begins
 among other things economists note that consumer spending is slowing corporate profit margins are being squeezed business confidence is slipping and construction and manufacturing industries are depressed
 at the same time last week 's consumer price index showed that inflation is <unk>
 add it all up and it means that the fed has a little <unk> to ease its credit policy stance without the risk of <unk> inflation said norman robertson chief economist at mellon bank corp. pittsburgh
 i think we will see a federal funds rate of close to N N N in the next two weeks and N N by year end
 the federal funds rate which banks charge each other on overnight loans is considered an early signal of changes in the fed 's credit policy
 economists generally agree that the rate was lowered by the fed from around N N where it had been since july to about N N N in early october on the heels of a weak employment report
 although the rate briefly drifted even lower following the stock market sell-off that occurred oct. N it ended friday at about N N N
 james <unk> chief fixed-income strategist at merrill lynch is touting <unk> securities which he says should benefit more quickly than longer-term bonds as interest rates fall
 given our forecast for lower rates purchases made now should prove quite rewarding before year end he said
 mr. <unk> also likes long-term investment-grade corporate bonds and long-term treasurys
 he says these bonds should appreciate in value as some investors reacting to the recent turmoil in the stock and high-yield junk bond markets seek safer securities
 if the tennessee valley authority sale is any guide there appears to be good demand for <unk> long-term paper from both domestic and overseas accounts he said
 tva in its first public debt offering in N years sold $ N billion of long-term and <unk> securities last week
 strong investor demand prompted the utility to boost the size of the issue from $ N billion
 tva which operates one of the nation 's largest electric power systems is a corporation owned by the federal government
 but <unk> investors to buy bonds may be especially tough this week when the u.s. government will auction more than $ N billion of new securities
 today the treasury department will sell $ N billion of three-month and six-month bills at the regular weekly auction
 tomorrow the treasury will sell $ N billion of two-year notes
 resolution funding corp. known as refcorp a division of a new government agency created to bail out the nation 's troubled savings and loan associations will hold its first bond auction wednesday when it will sell $ N billion of 30-year bonds
 all of this comes ahead of the government 's big quarterly refunding of the federal debt which takes place sometime in november
 so far investors have n't shown much appetite for refcorp 's initial bond offering
 roger early a portfolio manager at federated investors corp. said that yields on the so-called bailout bonds are n't high enough to attract his attention
 why should i bother with something that 's an unknown for a very small pickup in yield he said
 i 'm not going to jump on them the first day they come out
 he seems to be typical of many professional money managers
 when the size of the refcorp offering was announced last week and when-issued trading activity began the bailout bonds were yielding about N percentage point more than the treasury 's benchmark 30-year bond
 on friday the yield was quoted at about N percentage point higher than the benchmark bond an indication of weak demand
 some economists believe that yields on all treasury securities may rise this week as the market struggles to absorb the new supply
 but once the new securities are <unk> they expect investors to focus on the weak economic data
 the supply is not a <unk> to the market said samuel <unk> chief financial economist at kleinwort benson government securities inc
 if one thinks that rates are going down you do n't care how much supply is coming
 friday 's market activity
 most bond prices fell on concerns about this week 's new supply and disappointment that stock prices did n't stage a sharp decline
 junk bond prices moved higher however
 in early trading treasury bonds were higher on expectations that a surge in buying among japanese investors would continue
 also providing support to treasurys was hope that the stock market might see declines because of the expiration of some stock-index futures and options on indexes and individual stocks
 those hopes were dashed when the stock market put in a relatively quiet performance
 treasury bonds ended with losses of as much as N point or about $ N for each $ N face amount
 the benchmark 30-year bond which traded as high as N N during the day ended at N N
 the yield on the benchmark bond rose slightly to N N from N N
 in the corporate bond market traders said the new-issue market for junk bonds is likely to pick up following chicago & north western acquisition corp. 's $ N million junk bond offering friday
 today for example underwriters at morgan stanley & co. said they expect to price a $ N million 12-year senior subordinated debenture offering by imo industries inc
 traders expect the issue to be priced to yield N N
 shearson lehman hutton inc. said that a $ N million senior subordinated discount debenture issue by <unk> <unk> drugs is expected by the end of the month
 however despite the big new-issue calendar many junk bond investors and analysts are skeptical the deals will get done
 there are about a dozen more deals coming said michael <unk> director of fixed-income research at kemper financial services inc
 if they had this much trouble with chicago & north western they are going to have an awful time with the rest
 last week underwriters were forced to postpone three junk bond deals because of recent weakness in the market
 and pressure by big investors forced donaldson lufkin & jenrette securities corp. to <unk> chicago & north western 's $ N million junk bond offering
 after hours of negotiating that stretched late into thursday night underwriters priced the 12-year issue of <unk> senior subordinated debentures at par to yield N N higher than the N N that had been expected
 the coupon on the issue will be reset in one year at a rate that will give the issue a market value of N
 however the maximum coupon rate on the issue when it is reset is N N
 debenture holders also will receive the equivalent of N N of the common stock in chicago & north western 's parent company
 the coupon was raised to induce some of the big players on the <unk> to come in said a spokesman for donaldson
 we put a price on the deal that the market required to get it done
 the spokesman said the issue was sold out and met with strong interest abroad particularly from japanese investors
 in the secondary or resale market junk bonds closed N point higher while investment-grade corporate bonds fell N to N point
 sotheby 's inc. 's gamble in the <unk> business appears to have paid off
 the new york arm of the london-based auction house auctioned off the estate of john t. dorrance jr. the campbell 's soup co. heir for $ N million last week a record for a <unk> art collection
 that total was below the $ N million the auction house estimated the collection might sell for but was enough to ensure that an unprecedented financial arrangement sotheby 's had made with the dorrance family proved profitable to the auction house
 sotheby 's provided the dorrance family a guarantee of at least $ N million and as much as $ N million to obtain the collection people familiar with the transaction said thus taking a greater than usual financial interest in the property to be sold
 the dorrance estate auctioned off in a series of sales held over four days included <unk> furniture and paintings
 an <unk> <unk> auctioned last wednesday <unk> $ N million a world record for the artist
 in addition a handful of paintings from the dorrance collection remain to be sold at sotheby 's annual old masters paintings auction in january
 the better business bureau of san diego and the state attorney general 's office entered into a settlement stemming from an investigation of <unk> business <unk> published by an outside firm better book inc
 the settlement stems from charges that better book now <unk> made <unk> in selling advertising for the <unk> and <unk> in the bureau from N to N
 without admitting any <unk> the bureau agreed to several conditions if it again contracts with an outside firm to publish its <unk>
 the conditions include not <unk> how many <unk> will be distributed and agreeing to make refunds to <unk> advertisers if any <unk> are involved in the sale
 the attorney general 's investigation was sparked by lawsuits and charges by angry california <unk> that they were <unk> in a <unk> <unk> project contracted by better book
 the <unk> led to the closing of the los angeles better business bureau in late N
 mccaw cellular communications inc. said it obtained firm financing commitments from three major banks in regard to its offer for N N of lin broadcasting corp
 morgan guaranty trust <unk> bank and <unk> national bank an affiliate of <unk> financial corp. jointly committed $ N billion of financing subject to certain conditions mccaw said
 further mccaw said the banks expressed confidence that the balance of the $ N billion bank facility will be committed within the next several weeks by a syndicate of foreign and domestic banks
 morgan <unk> and <unk> are leading that syndicate
 mccaw is offering to buy N million shares of lin for $ N each in cash which would result in mccaw owning N N of the <unk> and broadcasting concern
 the offer is in limbo however because lin has agreed to merge its <unk> businesses with bellsouth corp
 in national over-the-counter trading friday lin shares rose N cents to close at $ N
 beijing lawmakers have called for <unk> to be built to house <unk> and for severe punishment including the death sentence for anyone who <unk> or <unk> women into <unk>
 the official <unk> news agency said the municipal government was discussing a draft bill to give the capital its first <unk> statutes
 it quoted <unk> <unk> deputy director of the beijing public security bureau as saying that there were many more people involved in <unk> now than in N when there were about N cases
 foreigners involved in <unk> will be <unk> according to the law and those with <unk> <unk> diseases will be expelled from the country according to the regulations
 the communists nearly succeeded in eliminating <unk> after taking over in N but the practice has returned in recent years with the country 's increased exposure to the outside world
 japan agreed to enforce a decision by an international wildlife conference to ban all trade in ivory a spokesman for the ministry of international trade and industry said
 earlier japan had said it might file a <unk> against the ivory ban decided by ballot at the <unk> united nations conference on international trade in endangered <unk> in switzerland last week
 the japanese use N N of the world 's ivory
 italy should close the <unk> tower of <unk> because it 's a danger to tourists <unk> experts said
 in some places the <unk> is so damaged it shows signs of breaking off scientists and technicians said in a report to public works minister giovanni <unk>
 each year nearly a million people pay about $ N to make the <unk> climb up N steps to the top of the <unk> marble tower
 east germany pledged to reduce alcohol consumption by boosting production of soft drinks and fruit <unk>
 trade and supply minister <unk> <unk> said in a letter published in the youth daily <unk> <unk> that the rise in alcohol consumption in east germany had been halted but to reduce it further he said production and supply of other <unk> including fruit <unk> should be stepped up
 he added that shops will have to continue reducing their stocks of liquor and avoid <unk> them too <unk> in the window
 hong kong has built a <unk> center for illegal <unk> from china because china has refused for the past two weeks to accept them back
 the center close to hong kong 's border with china will be ready today and will be able to house N <unk> police deputy director peter <unk> said
 the dispute started when china angry that hong kong had allowed dissident <unk> <unk> <unk> to <unk> to the u.s. halted the usual daily transfer of illegal <unk> caught in this british colony which <unk> to beijing 's control in N
 <unk> under the glare of newly installed television lights british members of parliament demanded a halt to the experimental <unk> of debates
 a group of senior conservative legislators complaining the house of commons was like a <unk> demanded that the experiment be stopped unless the intensity of the lights is reduced
 one conservative <unk> david <unk> said i should have a wonderful <unk> by christmas
 debates are due to be broadcast nationally starting nov. N in a six-month experiment
 a majority of japanese banks are said to be wary of making new loans to mexico under the brady plan because they 're uncertain the mexican economy will remain stable
 instead many small and medium-sized banks and some larger ones are likely to take one of the other two options open to them under the plan japanese banking officials said
 the plan proposed by u.s. secretary of state nicholas brady calls for banks either to make new loans or to reduce the principle on existing loans or to cut the interest rate on those existing loans
 the officials said that most japanese banks prefer the losses they 'd suffer in either of the latter options to the risk of new lending
 but an official at a long-term credit bank explained that since some larger banks have already taken loss provisions for loans to other third world nations further write-offs could be viewed as <unk>
 they ca n't take the hit to their earnings he said
 as a result the official said they may be forced into a <unk> situation in which they make risky loans that they could have to write off later
 a poll in <unk> south korea put margaret thatcher first on a list of <unk> foreign leaders
 the british prime minister was the only woman singled out by respondents who put soviet president mikhail gorbachev in second place
 the soviet newspaper <unk> reported that <unk> mouse will appear in a <unk> comic book to be issued four times a year by soviet publisher <unk> i sport and <unk> 's <unk> group
 the comic book will cost about $ N
 ekco group inc. nashua n.h. expects to report that net income in the third quarter ended oct. N fell N N to N N from $ N million or N cents a share a year earlier
 robert stein president and chief executive officer attributed the expected decline partly to the effects of a <unk> strike last month at the company 's <unk> ohio <unk> facility
 <unk> orders in early september also played a role he said in an interview
 but mr. stein said he is reasonably confident that earnings for the full year will exceed the $ N million or N cents a share in N
 that would require fourth-quarter net of more than about N cents to N cents a share assuming that mr. stein 's third-quarter estimate proves accurate
 in the year-earlier fourth quarter the company had profit of $ N million or N cents a share
 third-quarter revenue is expected to be $ N million to $ N million up from $ N million a year earlier according to neil gordon treasurer
 the year-earlier periods do n't reflect results of the company 's <unk> corp. unit acquired last january but include some canadian operations that were sold at the end of N
 august through october traditionally is the busiest season for the <unk> business as many retailers use the goods as autumn promotional items
 mr. stein said some retailers perhaps anxious about <unk> inventories appear to have held back on orders in september but have been ordering more heavily in october
 mr. stein said <unk> is marginally profitable but has n't performed as well as expected
 <unk> 's <unk> <unk> and other <unk> products are doing very well and its plastic <unk> products are poised for growth he said
 but the unit 's third segment wildlife <unk> is suffering from a depressed market and ekco is seeking to sell that segment he said
 mr. stein said he expects profit to be higher in N than in N reflecting a number of measures taken since the acquisition of ekco <unk> in late N
 prior to acquiring the <unk> business the company was known as <unk> corp. <unk> had been a maker of computer printers but mr. stein and other officers decided to sell that business after japanese competitors grabbed a dominant share of the market
 mr. stein said tighter operating controls have enabled ekco to reduce inventory levels N N to N N improve <unk> delivery of orders to about N N from around N N and to lower the number of labor hours required to produce a unit
 by moving the design of new products in-house instead of contracting out the work the company also has been able to come up with designs that can be manufactured more efficiently he said
 in addition to those measures the company spent heavily earlier this year to install displays at its customers ' retail outlets a strategy that mr. stein said has helped bolster awareness of the company 's brands
 ekco 's <unk> operation makes kitchen tools and <unk> as well as <unk> at factories in the u.s. and canada
 the main issue in the strike at the ohio facility was health-care benefits mr. stein said
 the strike ended <unk>
 ekco continues to seek further acquisitions in the consumer-products industry mr. stein said
 he indicated that ekco may be interested in acquiring another company with revenue in the range of $ N million to $ N million partly because mass <unk> increasingly want to rely on larger and fewer suppliers
 after several years of booming business with china foreign traders are bracing for the biggest slump in a decade
 the <unk> of <unk> measures starting last october already had begun to <unk> when the massacre in <unk> square on june N and subsequent events <unk> the belt far tighter
 foreign lending has been virtually suspended since then <unk> liquidity and <unk> many projects
 and beijing has pulled back on domestic loans and subsidies leaving many domestic buyers and <unk> plants strapped for cash
 <unk> far east ltd. a swiss concern that sells chemicals to <unk> and soap factories in china <unk> the problems
 last year 's <unk> <unk> up the working capital of chinese factories
 the company 's sales <unk> during N 's first half
 the june killings magnified the problems
 in canton <unk> 's representative office received no orders in june
 at first it attributed the slump to temporary business disruptions but when no orders were <unk> in august and september manager donald <unk> became convinced that business would be bad for many months
 things have grown worse since june N mr. <unk> says
 he predicts that sales will drop between N N and N N from last year 's $ N million
 the consumer-products and <unk> sectors are bearing the brunt of china 's <unk> measures and foreign companies such as <unk> that deal with those industries are being hit the hardest
 but in general all <unk> companies are feeling the <unk>
 the import pie will shrink says john <unk> first vice president of the american chamber of commerce in hong kong and a china trade specialist
 on the down side sales could fall as much as N N for some companies on the upper side sales will be flat
 china 's foreign trade has gone in cycles during the past decade
 the last time that traders experienced a trough was during N when beijing imposed tough measures to curb imports and <unk> foreign exchange
 the current trough is expected to be much deeper because beijing has cut off domestic funds from factories for the first time to slow inflation
 in addition the suspension of loans and export credits from foreign governments and institutions following the june killings have been a big setback
 the freeze on new lending is dealing the single biggest blow to trading says raymond <unk> china manager for <unk> ag a west german <unk> company
 import growth from the year-earlier months slowed to N N in july and N N in august compared with an average growth rate of N N in the first half
 in the first eight months of N imports grew N N to $ N billion down slightly from a growth rate of N N a year earlier
 the picture for china 's exports is just as bleak mainly because of the domestic credit squeeze
 exports in the first eight months grew only N N to $ N billion compared with a growth rate of N N a year earlier according to chinese customs figures
 the threat to china 's balance of payments is further <unk> by the plunge in its foreign-exchange reserves excluding gold holdings
 the reserves dropped for the first time in recent years to $ N billion in june from $ N billion in april
 the trend has prompted beijing to intensify efforts to curb imports
 in recent weeks china 's leaders have <unk> trading in <unk> and scores of chemical products and commodities
 the ministry of foreign economic relations and trade set up a special bureau last month to monitor the issue of import and export licenses
 beijing 's periodic <unk> on imports have taught many trading companies that the best way to get through the drought is by helping china export
 for example <unk> <unk> corp. one of the biggest japanese trading houses now buys almost twice as many goods from china as it sells to that country
 three years ago the ratio was reversed
 but the strategy is n't helping much this time
 both sectors of imports and exports look just as bad says <unk> <unk> general manager of <unk> <unk> 's canton office
 he expects the company 's trading business to drop as much as N N this year
 for a short time after june N it appeared that the trade picture would remain fairly bright
 many foreign trading offices in hong kong were <unk> with <unk> and telephone calls from chinese trade officials urging them not to <unk> ties
 even the bank of china which normally took weeks to process letters of credit was settling the letters at record speed to <unk> rumors about the bank 's financial health
 but when foreign traders tried to do business they discovered that the eagerness of chinese trade officials was just a <unk>
 the suspension of foreign loans has weakened the buying power of china 's national trading companies which are among the country 's biggest <unk>
 business is n't any better on the <unk> or municipal level foreign traders say
 shanghai investment & trust co. known as <unk> is the city 's main financier for trading business
 <unk> had <unk> tapped the japanese bond market for funds but it ca n't do that any longer
 foreign traders say the company is strapped for cash
 it has difficulties paying its foreign debts says a hong kong executive who is familiar with <unk> 's business
 how can it make available funds for purchases
 foreign traders also say many of china 's big <unk> projects have been canceled or postponed because of the squeeze on domestic and foreign credit
 albert lee a veteran trader who specializes in machinery sales estimates that as many as N N of projects that had obtained approval to proceed have been canceled in recent months
 there are virtually no new projects and that means no new business for us he says
 even when new lending <unk> foreign exchange would still be tight because beijing will likely try to rein in foreign borrowing which has grown between N N and N N in the past few years
 and foreign creditors are likely to be more cautious about extending new loans because china is <unk> a peak repayment period as many loans start falling due in the next two to five years
 another reason for the intensity of the trade problems is that beijing has extended the current <unk> on imports beyond the usual target of consumer products to include steel chemical <unk> and plastics
 these have been among the country 's leading imports particularly last year when there were shortages that led many traders to buy heavily and pay <unk>
 but the shortages also spawned rampant speculation and <unk> prices
 to stem speculation beijing imposed ceiling prices that went into effect earlier this year
 traders who had bought the goods at prices above the ceiling do n't want to take a loss on <unk> and are holding onto their stock
 the resulting <unk> has depressed the market
 but beijing ca n't cut back on such essential imports as raw materials for too long without <unk> the country 's export business
 mr. <unk> the china trade expert estimates that as much as N N of <unk> 's exports is made up of processed imported raw materials
 oil spill case shows liability fund flaws
 an <unk> <unk> dispute stemming from an alaskan oil spill has helped spur a drive for tougher federal laws to protect victims of such <unk>
 the class-action suit <unk> <unk> of the <unk> pipeline liability fund which gets its money from oil companies using the pipeline and <unk> those <unk> by oil <unk>
 on july N N the tanker <unk> <unk> bay struck a rock and <unk> almost N gallons of oil into the cook <unk>
 commercial <unk> and fish processors filed suit in federal court in a claim that has <unk> to more than $ N million
 defendants include british petroleum america <unk> corp. the <unk> and the pipeline liability fund
 the fund was created by the <unk> pipeline act which provides that the owner or operator of a vessel involved in an oil spill must pay the first $ N million in damages
 the fund is required to pay claims up to an additional $ N million
 the fund 's purpose is to provide quick and adequate relief
 but the <unk> bay case the fund 's first test shows how easily the fund can be undermined
 <unk> corp. is <unk> liability
 it claims the coast guard failed to chart the rock and refuses to pay damages
 that means the fund is n't obligated to pay anything at least so far
 the oil pollution act scheduled to come up for a vote in congress this fall would provide that if claimants are n't paid within N days of a spill the liability fund would compensate them and seek <unk> from the owner or operator of the vessel says a spokesman for rep. george miller d. calif. a sponsor of the bill
 the spokesman says the <unk> in the statute is the worst kind of <unk>
 many law school <unk> find classes never end
 recent law school graduates are starting jobs with law firms this fall and heading back to class
 bar associations and consultants are offering more programs to teach associates all they need to know about law but did n't learn in law school
 law school teaches wonderful theory but it does n't teach the <unk> and <unk> of practical <unk> says <unk> <unk> head of a new york county lawyers ' association committee that sponsors such a course
 in the past associates learned the <unk> from senior lawyers who acted as <unk>
 but these days large firms hire as many as N new associates a year and it 's impossible to personally train everyone says joel <unk> of <unk> inc. a consulting firm that runs training classes
 the <unk> course enables students to <unk> up on negotiation skills by role playing in <unk> deals
 students also are taught to return clients ' phone calls immediately and to treat the support staff with respect
 many law firms sponsor their own programs
 at the baltimore firm of <unk> & green new corporate and banking associates are required to <unk> in a <unk> course
 partners <unk> on how to form corporations draft agreements and defend clients against unwanted tender offers
 now clients know that new associates have had some practical training before working on their cases says james j. <unk> a partner at the firm
 los angeles creates a courthouse for kids
 the children of los angeles will soon have their own $ N million courthouse
 the building which will handle child abuse custody and foster care cases will be less formal less threatening and just basically less grim than most <unk> says <unk> edelman chairman of the los angeles county board of supervisors
 designs call for an <unk> structure with a <unk> in the center
 there will be recreation and movie rooms
 <unk> will be able to listen to music with <unk>
 study halls complete with reference materials will be available
 and there will be a <unk> 's station and rooms for children to meet with social workers
 the building 's N <unk> will be smaller says <unk> <unk> a court administrator
 the bench will be lower so the judge seems less <unk> and walls will be painted in bright colors and covered with <unk>
 cases in los angeles county involving dependent children are usually heard in the criminal courts building
 we need to get the kids away from the criminals into a less <unk> environment says mr. edelman
 about N children in los angeles county are under court supervision mr. edelman says and an average of N new children are added each month
 the courthouse to be built in <unk> park is expected to open in the spring of N
 law firm management can be quite rewarding
 it pays to follow a management career path even at law firms
 that 's the conclusion of a recent study of large law firms conducted by altman & weil inc. an <unk> pa. law firm consultant
 its survey of N firms each with N to N lawyers shows that managing partners earned an average of $ N in compensation and cash benefits in the firms ' N fiscal years
 managing partners who responded to the survey typically spend over half their time <unk> their firms ' day-to-day operations and just a little more than a third of their time practicing law
 partners in the survey who devote most of their time to practicing law earned an average of about $ N
 chairman jamie whitten d. miss of the house appropriations committee proposed a $ N billion emergency funding package to assist california 's recovery from last week 's earthquake and extend further aid to east coast victims of hurricane hugo
 the sweeping measure <unk> $ N million in small-business loans $ N billion in <unk> funds and $ N billion divided between general emergency assistance and a reserve to be available to president bush to meet unanticipated costs from the two disasters
 the funds would be attached to a <unk> spending bill required to keep most of the government operating past wednesday
 the measure is scheduled to be taken up by the appropriations committee today
 the panel is expected to add provisions <unk> restrictions on the use of federal highway funds and may also shift money within the package to bolster the share for the small business administration
 we will support it we will <unk> him and we will <unk> it where appropriate said rep. <unk> fazio d. calif
 dubbed the dire emergency supplemental to meet the needs of natural disasters of national significance the measure is vintage whitten in <unk> federal responsibility and in <unk> budget <unk>
 such other amounts will be made available subsequently as required the legislation reads and the new obligations shall not be a charge against the budget act <unk> or other <unk>
 moody 's investors service inc. said it lowered the ratings of some $ N million of pinnacle debt because of accelerating deficiency in liquidity which it said was <unk> by pinnacle 's elimination of dividend payments
 henry <unk> jr. pinnacle executive vice president said the action wo n't really have any effect on us
 we are n't selling bonds right now and i do n't think it will affect the value of our existing bonds
 the rating agency said it lowered the ratings on $ N million of the holding company 's convertible subordinated <unk> to <unk> from <unk>
 moody 's said it also lowered the ratings of $ N million of pinnacle 's merabank thrift unit long-term deposits to <unk> from b-2 and on its subordinated debt to ca from <unk>
 merabank 's rating for short-term deposits remains not prime
 securities of merabank were placed under review last may and will remain under review for downgrade the agency said
 first the somewhat affected <unk> of the 1960s
 then the <unk> <unk> of the 1970s and 1980s
 what now
 to judge from novels that mirror the contemporary scene we 're back in the age of anxiety
 where <unk> <unk> <unk> to <unk> middle-class life and ambitious <unk> hoped to leave it far behind as they scaled the upper reaches of success it now seems that so many people feel they 're slipping between the cracks that middle-class life is viewed with <unk> or outright <unk>
 <unk> <unk> 's third novel limited partnerships north point press N pages $ N is a <unk> funny and <unk> look at the way love relationships are affected by the pressures of money or more specifically the lack of it
 nora worth and malcolm <unk> N and N respectively live together in a <unk> in a <unk> philadelphia neighborhood
 malcolm a former <unk> turned architect has just seen his first big chance at a lucrative commission turn to dust with the arrest of his <unk> <unk> client a <unk> real estate developer
 nora who still has artistic aspirations knows she is lucky to be working as a food <unk> <unk> <unk> <unk> <unk> cold drinks and other <unk> to look as <unk> as possible in front of the camera
 after all she reasons there were <unk> with <unk> and degrees from cooking schools in france who would kill for her job
 but nora and malcolm feel trapped
 they seem to be having the worst of both <unk> artistic work with none of art 's integrity and no control over the finished product <unk> without fun or profit
 it 's a <unk> <unk> world in which bright still <unk> people are engaged in a glossy version of day labor doing free-lance <unk> work that brings little satisfaction or security but that they know they should be <unk> to do
 uncertainty dogs every aspect of their lives
 malcolm faces bankruptcy and an irs audit but nora finds an extra $ N in her bank account suddenly increasing her available funds some <unk>
 while she is wondering whether to live it up and do something even more dramatic say get married her life is further complicated by the <unk> of an old <unk> david a film critic and actor who always seems to be just on the brink of <unk>
 in novels of an earlier vintage david would have represented excitement and danger malcolm <unk> middle-class security
 the irony in this novel is that neither man represents a safe middle-class haven nora 's decision is between emotional excitement and emotional security with no firm economic base anywhere
 the characters <unk> a world in which it seems increasingly difficult to find a middle way between the <unk> of success and failure wealth and poverty
 in making malcolm and nora such <unk> representative <unk> of their class and generation ms. <unk> has somewhat neglected the task of making them <unk> individual characters
 the humor of the story owes much to the fact that no hearts even the characters ' own are likely to <unk> for the plight of <unk> <unk>
 but readers may well feel the <unk> of recognition
 in any case the <unk> middle classes are n't the only ones in trouble or whose troubles provide material for <unk>
 <unk> money contemporary books N pages $ N a novel by consultant and business analyst joseph r. <unk> tells the story of an innovative <unk> widely respected computer manufacturing company called <unk> as it faces a hostile takeover attempt by <unk> a much smaller corporation that is so <unk> managed as to constitute a standing joke in the business world
 <unk> dynamic scott thatcher founder and head of <unk> initially finds the takeover threat <unk>
 but as he and his skilled team soon discover they 're up against two factors they had n't counted on first a business climate in which a failing company with few assets and many debts can borrow against the assets of the successful company it hopes to acquire in order to finance the takeover second that standing behind <unk> is a <unk> consortium of much bigger <unk> and <unk> foreign interests <unk> providing the money and muscle for the deal
 mr. <unk> manages to invest this tale of financial wars with the <unk> characters and <unk> action of a <unk> novel
 and like a spy or mystery story this novel has strong elements of <unk> as the good and evil forces battle it out
 mr. <unk> <unk> these moral <unk> with the broad <unk> strokes of a <unk> that occasionally <unk> to the <unk> of <unk> <unk>
 <unk> <unk> of <unk> californians <unk> <unk> and <unk> union leaders undermine the force of the author 's perceptions
 yet the <unk> of the <unk> also can be effective in a book like this if the head of <unk> were not portrayed as an utterly <unk> <unk> <unk> we would not much care whether his schemes were defeated and would not be so diverted in the process
 ms. rubin is a free-lance writer based in los angeles
 high-definition television promises to be the tv of tomorrow so it is a natural multibillion-dollar market
 although major u.s. manufacturers have all but <unk> the main segment of that future business to japan not everyone here is ready to give up
 a handful of small u.s. companies are struggling to develop the technology to build the screens for the thin high-quality <unk> that are expected to hang on living room walls by the end of the 1990s
 with only small help from the government these start-up concerns are trying to compete with the <unk> of the japanese consumer electronics industry which enjoy considerable backing from the japanese government
 <unk> technology inc. of <unk> ohio aims to use a new form of <unk> technology to put <unk> images on a tv display that is N inches in <unk> but only a few inches thick
 <unk> systems inc. of <unk> ore. the largest of these firms with $ N million in annual revenue has similar plans
 it already has had success in <unk> another promising technology <unk> for high-definition television
 two other firms <unk> <unk> systems inc. of <unk> mich. and <unk> corp. of pittsburgh are developing a <unk> of the <unk> screens called <unk> liquid crystal displays
 the new technologies are intended to retire the <unk> tube which accounts for most of the bulk of the conventional tv set
 replacing the <unk> tube with a large thin screen is the key to the creation of a high-definition television or hdtv which is expected to become a $ N billion business world-wide within a decade
 large u.s. companies are interested in other segments of the hdtv business such as <unk> and broadcast equipment
 but except for zenith electronics corp. and international business machines corp. which is <unk> with toshiba on computer displays they are poorly positioned to exploit advances in large panels
 general electric co. recently sold off its interests in <unk> displays to <unk> of france
 we found the market not developing as we thought it would a ge spokesman says
 the small u.s. firms are <unk> because of their strong positions in patents and because the prize is still there to be seized
 no one yet has shown the ability to manufacture these panels at commercial costs says <unk> <unk> the president of <unk> <unk>
 he says he thinks his company is just a few years from doing that
 the bush administration hearing <unk> advice about what its role in hdtv should be is n't doing much for now
 the only material support it is extending to the struggling u.s. industry is $ N million in <unk> from the pentagon 's defense advanced research projects agency
 the <unk> funds are a <unk> compared with what japan and other prospective competitors are spending
 the commerce department estimates that japanese government and industry spending on hdtv research is already over $ N billion
 unless it gets more help the u.s. industry wo n't have a chance says peter <unk> <unk> 's executive vice president
 thus far almost all of the basic technology relating to high-definition television has come from u.s. laboratories
 but peter <unk> <unk> 's president says japanese companies are poised to <unk> the technology and put it to commercial use just as they did with earlier u.s. <unk> in color television and video recording
 in the 1970s mr. <unk> helped develop the first display panels based on <unk> liquid crystals at westinghouse electric corp. 's research labs in pittsburgh
 the panels are like <unk> semiconductors surfaced with a million or more picture elements each contributing to the color and tone of a tv image
 in N however westinghouse abandoned the project along with its stake in advanced television
 mr. <unk> left the company to find other backers
 he has a claim to the right to <unk> the westinghouse patents but he contends that those patents are being infringed by a number of japanese producers
 most american investors have just given up mr. <unk> says
 they are n't prepared to compete in an area where the japanese want to enter
 many critics question the industry 's need for federal support the pentagon justifies its help on <unk> grounds
 we do n't see a domestic source for some of our hdtv requirements and that 's a source of concern says michael kelly director of <unk> 's defense manufacturing office
 so <unk> is trying to keep the industry interested in developing large display panels by <unk> out research funds
 hdtv already has some military applications such as creating realistic flight <unk> and <unk> information to combat <unk>
 the navy is ordering displays for its <unk> <unk> and the army wants smaller versions for its abrams battle tanks
 the commerce department also is trying to encourage hdtv because of the benefits that could spin off to the semiconductor and computer industries
 it is n't just <unk> television argues jack clifford director of the department 's office of <unk> and instrumentation
 the industry will create industrial products such as displays for work stations and medical diagnostic equipment before it acquires a mass consumer market
 although some hdtv advocates are calling for other forms of aid such as antitrust relief for research <unk> the small firms simply would prefer more <unk> funds
 each claims to <unk> the right technology and wants just a bit more money to make it commercial
 they also want u.s. trade policy to reflect the pentagon and commerce department 's concern over their future
 they all are strongly opposed to a petition from several japanese tv manufacturers including <unk> hitachi and toshiba to exempt portable color tvs with <unk> displays from <unk> duties that the u.s. imposes on the larger japanese color tvs
 and they want the u.s. to help them sell overseas
 <unk> president james <unk> says he has to pay tariffs as high as N N to sell his display panels in japan and south korea while panels from those countries enter the u.s. duty-free
 this is n't a technology issue but an attitude issue he says
 we just have n't learned what it takes to compete
 burmah oil plc a british independent oil and <unk> marketing concern said shv holdings n.v. has built up a N N stake in the company
 the holding of N million shares is up from a N N stake that burmah announced shv held as of last monday
 shv of the netherlands which last year merged its north sea oil and gas operations with those of <unk> group plc and which owns N N of <unk> was identified as a possible suitor for burmah
 burmah said it had n't held any discussions with shv and that no deal of any nature is in <unk>
 the top state environmental official in massachusetts said clean harbors inc. 's <unk> statement for a proposed incinerator in <unk> was inadequate
 the official john <unk> asked clean harbors for more information before ruling on a permit for the site
 critics of the plan including the town of <unk> say the incinerator is a health hazard
 clean harbors based in <unk> said it will proceed <unk> to submit the data requested
 alan <unk> chief executive officer of clean harbors said he was very much encouraged by the official 's <unk> of clean harbors for the quality of some of the data in the report
 citizens & southern corp. said it signed a definitive agreement to acquire security pacific corp. 's new york-based <unk> unit
 terms of the bank holding companies ' agreement were n't disclosed
 <unk> involves the purchase and collection of another company 's receivables
 citizens based in atlanta said it has about $ N billion in <unk> sales annually the security pacific unit has about $ N billion annually
 security pacific 's <unk> business works with companies in the apparel textile and food industries among others
 the office of thrift supervision banned <unk> <unk> a former director of the failed vision banc savings association of <unk> texas from working in any financial institution insured by the government
 the office a treasury department unit that is the successor to the federal home loan bank board said this was the first announcement of an enforcement action since this year 's <unk> legislation ordered that all such actions by federal banking regulators be made public
 generally regulators have n't announced enforcement actions in the past
 indeed the <unk> said that before the law took effect aug. N it banned another key vision banc insider from insured financial institutions
 that individual was n't identified
 vision banc was placed in government conservatorship in march and it operates under the control of the resolution trust corp. the agency created to sell or liquidate insolvent thrifts
 the <unk> did n't say specifically why the action was taken against ms. <unk>
 however it said <unk> found a variety of insider dealings at the thrift including extraordinary loan commissions paid to a firm associated with vision banc officials and loans diverted through borrowers back to the thrift officials
 ms. <unk> could n't be reached for comment
 arizona instrument corp. said it expects to post a third-quarter net loss of about $ N or N cents to N cents a share compared with net income of $ N or N cents a share a year earlier
 the <unk> ariz. maker of underground <unk> systems said the most recent period was affected by customers ' problems <unk> with recent environmental protection agency regulations
 for the nine months the company expects to post a net loss of about $ N or N cents to N cents a share on revenue of $ N million
 a year earlier it had a loss of $ N or nine cents a share on revenue of $ N million
 growth is good
 at least that 's a theme emerging among many money managers who are anxious both to preserve the <unk> stock-market gains they have already achieved this year and to catch the next wave of <unk> performers
 they are starting to buy growth stocks
 remember them
 the upper <unk> of this group were shares of the <unk> N companies whose profits of the 1960s and early 1970s grew steadily if not <unk> through thick and thin
 that sort of <unk> performance sounds made to order for a time when corporate profits overall have been weakening from the brisk increases of recent years
 the current flood of third-quarter reports are producing many more negative surprises than positive ones
 those are unwelcome trends in a year that the dow jones industrial average has risen N N so far even with the 190.58-point plunge on oct. N broader market measures are in the same neighborhood
 the question for investors is how to protect these returns and yet reach a little for additional gains
 that 's the path of <unk> leading to growth stocks
 i think it is a good theme for what looks to be an uncertain market says steven einhorn partner at goldman sachs
 growth stocks may be as big as philip morris or medium-sized such as circuit city stores but their common characteristic is a history of increasing profits on the order of at least N N to N N a year money managers say
 the period when growth stocks should be performing well is when their earnings are growing at a superior rate to the general level of corporate profits says stephen boesel president of t. rowe price 's growth and income fund
 growth stocks also are attractive in periods of market volatility which many investors and analysts expect in the weeks ahead as everybody tries to <unk> where the economy is heading
 this kind of <unk> uncertainty <unk> john <unk> senior economist for american express bank of the N period when the industrial average rolled through huge ranges and investors <unk> to the shares of companies with proven earnings records which became known as the <unk> N
 and they will again say <unk> proponents of the <unk> theme
 <unk> smith president of a money management company bearing his name predicts that investment companies using computers to identify companies with earnings momentum will climb on the <unk> <unk> as the overall corporate earnings outlook <unk> further
 he also thinks foreign investors who are showing signs of more <unk> investing will join the pursuit and pump up prices
 we 're just seeing the beginning of a shift mr. smith says
 mr. smith recommends cypress semiconductor that is currently showing a robust N N earnings growth rate
 ronald sloan executive vice president of <unk> capital management likes <unk> inc. a company that <unk> plastic into synthetic fibers for carpeting
 mr. sloan <unk> the company as recession <unk> and notes that it has an annual earnings growth rate of N N a year over the past five years
 <unk> stock closed friday at N N up N mr. sloan thinks that in a year it could hit N
 others <unk> the <unk> of buying only blue-chip growth stocks
 <unk> <unk> chief market strategist for first boston who still says we expect the dow average to be at N by <unk> nonetheless <unk> a sluggish economy in the meantime
 he recommends such blue-chip growth <unk> as philip morris pepsico <unk> international reebok international and limited inc
 all have a <unk> earnings growth rate of more than N N a year
 some money managers are pursuing growth stocks at the expense of those that rise and fall along with the economic cycle
 one of the stories of the fourth quarter is that we will get an unusual number of earnings disappointments from companies sensitive to the economy says mr. boesel of t. rowe price
 james wright chief investment officer for banc one asset management says we 've been selling a disproportionate share of cyclical companies and buying a disproportionate share of high earnings stocks
 he recently trimmed his portfolio of international paper dow chemical quantum chemical international business machines and digital equipment
 he is putting money in dress <unk> circuit city stores bruno 's and rubbermaid
 big cyclical companies are using all the <unk> they can to stabilize earnings says mr. sloan
 he cites ibm which reported a N N earnings decline in the third quarter and which last week announced a $ N billion buy-back of its shares
 what they are telling you is that they do n't have the ability to generate higher returns <unk> says mr. sloan
 when they are buying back stock at N times earnings they are suggesting that the rate of return on competing internal projects is below returns on the stock
 ibm says it considers its shares a good investment
 but not all strategists or money managers are ready to throw in the towel completely on <unk>
 growth stocks may <unk> cyclical stocks next year if the federal reserve begins to let interest rates <unk> sufficiently lower to boost the economy
 goldman sachs 's mr. einhorn for one <unk> to that scenario
 he suggests investors think about buying cyclical shares in the weeks ahead as well as growth issues
 friday 's market activity
 stock prices finished about unchanged friday in quiet expiration trading
 traders anticipated a volatile session due to the october expiration of stock-index futures and options and options on individual stocks
 but there were fewer price swings than expected
 buy order imbalances on several big stocks were posted by the new york stock exchange
 but block trading desks and money managers made a <unk> effort to meet the imbalances with stock to sell one trader said
 as a result the dow jones industrial average drifted in narrow ranges in the final hour of trading and closed N higher to N
 new york stock exchange volume was N
 advancers on the big board lagged decliners N to N
 for the week the industrial average gained N points or N N the biggest weekly point advance ever and a better than N N rebound from the N point loss the industrial average <unk> oct. N
 broader market averages were little changed in the latest session
 standard & poor 's 500-stock index gained N to N the dow jones equity market index fell N to N and the new york stock exchange composite index fell N to N
 most of last week 's surge in the industrial average came on monday when the average rose N points as market players snapped up blue-chip issues and <unk> the broad market
 that contrast was reflected in the smaller weekly percentage gains recorded by the broader averages
 the s&p N rose N N the dow jones equity market index gained N N and the new york stock exchange composite index added N N
 the dow jones transportation average fell N to N amid renewed weakness in the airline sector
 ual skidded N N to N N on N million shares
 on the week ual was down nearly N N
 the latest drop followed a decision by british airways which had supported the $ 300-a-share buy-out offer for ual from a labor-management group not to participate in any revised bid
 british airways fell N to N N
 while most other airline issues took their <unk> from ual usair group rose N N to N N on N million shares amid speculation about a possible takeover proposal from investor marvin davis
 usa today reported that mr. davis who had pursued ual before dropping his bid wednesday has acquired a stake of about N N in usair
 unocal fell N N to N N and burlington resources declined N to N N
 at a meeting with analysts british petroleum officials <unk> speculation that the company may take over a u.s. oil company according to dow jones professional investor report
 both unocal and burlington had been seen as potential targets for a british petroleum bid
 paper and forest-products stocks declined after smith barney harris upham & co. lowered investment ratings on a number of issues in the two sectors based on a forecast that pulp prices will fall sharply
 international paper dropped N to N georgia-pacific fell N N to N N stone container tumbled N N to N N great northern nekoosa went down N to N N and weyerhaeuser lost N to N N
 dun & bradstreet dropped N to N N on N million shares on uncertainty about the company 's earnings prospects
 merrill lynch cut its rating and N earnings estimate thursday citing weakness in its <unk> business
 <unk> & sessions which posted sharply lower third-quarter earnings and forecast that results for the fourth quarter might be near break-even fell N to N N
 winnebago industries slid N to N N
 the company which reported that its loss for the fiscal quarter ended aug. N widened from a year earlier cut its semiannual dividend in half in response to the earnings weakness
 <unk> corporate investors fell N to N after declaring a quarterly dividend of N cents a share down from N cents a share
 <unk> resources inc. said it will begin an offering of rights equivalent to N million common shares and valued at $ N
 the <unk> hills <unk> real-estate holding company said it will offer the rights at $ N a share to shareholders of record on oct. N
 the offering is scheduled to expire on nov. N
 the company said it will use the proceeds of the offering for debt reduction and general corporate purposes including acquisitions
 stockholders may buy one share at the subscription price for every four shares of stock they own
 stockholders who exercise all their rights may buy additional shares the company said
 the company said it has an option to increase the offering by up to N shares
 the following u.s. treasury corporate and municipal offerings are tentatively scheduled for sale this week according to dow jones capital markets report $ N billion three-month and six-month bills
 $ N billion of two-year notes
 resolution funding corp. to sell $ N billion 30-year bonds
 aim prime rate plus fund inc. N million common shares via painewebber inc
 allied capital corp. ii N common shares via shearson lehman hutton inc
 american <unk> co. N common shares via merrill lynch capital markets
 associated natural gas corp. N common shares via dillon read & co
 b & <unk> crude carriers ltd. four million common shares via salomon brothers inc
 baldwin technology co. N class a shares via smith barney harris upham & co
 blockbuster entertainment corp. $ N million face amount liquid yield option notes via merrill lynch
 <unk> pharmaceuticals inc. N units via painewebber
 immune response corp. three million common shares via merrill lynch
 <unk> pharmaceuticals inc. N common shares via smith barney harris upham
 <unk> titanium co. N million common shares via salomon brothers inc
 <unk> inc. N common shares via salomon brothers inc
 massachusetts approximately $ N million of general bonds consolidated loan of N series d via competitive bid
 montgomery county maryland $ N million of general consolidated public improvement bonds of N series b via competitive bid
 trinity river authority texas $ N of regional wastewater system improvement revenue bonds series N via competitive bid
 city and county of <unk> hawaii $ N million of obligation bonds N series b due N via competitive bid
 beverly hills $ N million of civic center project certificates of participation series N via a goldman sachs & co. group
 <unk> county school district florida $ N million of school district general bonds via a first boston corp. group
 connecticut housing finance authority $ N of housing mortgage revenue <unk> and <unk> bonds via a painewebber group
 maryland stadium authority $ N of sports facilities lease revenue alternative minimum tax <unk> bonds series N d via a morgan stanley & co. group
 michigan $ N million of michigan first general bonds including $ N million of environmental protection project bonds and $ N million of recreation project bonds via a shearson lehman hutton group
 west virginia <unk> economic development and tourism authority $ N million of parkway revenue bonds series N via a painewebber group
 san antonio texas $ N million of gas and electric revenue refunding bonds via a first boston group
 mci communications corp. said it filed a shelf registration with the securities and exchange commission for issuance of as much as $ N million of debt securities
 the debt will include <unk> notes sold through merrill lynch capital markets drexel burnham lambert inc. goldman sachs & co. and salomon brothers inc
 the funds will be used for refinancing existing debt of the washington d.c. concern at lower interest rates and for other general purposes
 the effective date of the registration is to be determined by the sec
 a group including <unk> partners ltd. a fort worth texas investment partnership and richard e. <unk> a former adviser to the fort worth bass family said it reduced its stake in anacomp inc. to N N of the common shares outstanding
 in a filing with the securities and exchange commission the group said it sold N anacomp common shares from aug. N to last wednesday for $ N to $ N a share resulting in a drop in its holdings to N shares
 no reason was given in the filing for the sales
 an anacomp official said the indianapolis <unk> concern had no comment on the group 's share sales
 in march the group disclosed it held a N N stake in anacomp for investment purposes
 it said then it had had and would continue to have discussions with anacomp 's management concerning its investment
 home beneficial corp. richmond va. said it contracted to sell its N N interest in a <unk> shopping mall to a buyer that was n't identified
 the life-insurance holding company said the sale would result in an after-tax gain of about $ N million or $ N a share in the first quarter of
 the company also said it will adopt new accounting standards in the first quarter
 the change will result in a charge of about $ N million or N cents a share because of an increase in deferred income-tax liability
 in the first quarter of N the company earned $ N million or N cents a share
 following is a weekly listing of <unk> net asset values of publicly traded investment fund shares reported by the companies as of friday 's close
 also shown is the closing listed market price or a <unk> asked price of each fund 's shares with the percentage of difference
 closed end bond funds
 flexible portfolio funds
 specialized equity and convertible funds
 a ex-dividend
 b as of thursday 's close
 c translated at commercial rand exchange rate
 e in canadian dollars
 f as of wednesday 's close
 a shareholder filed suit seeking to block <unk> video inc. 's proposed plan to be acquired by a new affiliate of closely held <unk> capital corp. for $ N a share or $ N million
 the suit which seeks class-action status was filed in delaware chancery court
 the complaint alleges that the price is unfair and grossly inadequate and that the defendants are seeking to ensure a <unk> of the purchase of <unk> thereby discouraging other bids
 it seeks unspecified money damages
 the new york company called the lawsuit without merit
 shareholders are scheduled to vote on the transaction <unk>
 this toronto closed-end fund cut the annual dividend on its class a common shares to one canadian cent from N canadian cents
 the fund invests mainly in gold and silver bullion
 it said the reduced dividend reflects the low price for precious metals
 <unk> <unk> central fund 's vice president finance said losses for the fiscal year ending oct. N could be as high as one million canadian dollars us$ N
 the fund last had a profit in N
 the new dividend rate is payable nov. N to holders of record oct. N
 in american stock exchange composite trading friday central fund was unchanged at $ N a share
 comair holdings inc. said in cincinnati that it bought airline aviation academy a pilot training school based at sanford regional airport near <unk> fla
 comair said it paid cash but declined to disclose the price
 comair holdings is the parent of comair inc. a regional air carrier
 airline aviation which has annual revenue of $ N million to $ N million has great growth potential because of the large number of u.s. pilots <unk> retirement age comair said
 the unit will be renamed comair aviation academy and will continue to be headed by scott williams a son of its founder comair said
 the collapse of a $ N billion buy-out of united airlines parent ual corp. has handed wall street 's takeover stock speculators their worst loss ever on a single deal
 their $ N <unk> in estimated paper losses easily tops the $ N million in paper losses the takeover traders known as arbitragers suffered in N when gulf oil co. dropped a $ N billion offer for cities service co
 in the six trading days since the ual labor-management buy-out group failed to get bank financing <unk> friday with the withdrawal of its partner british airways plc ual stock has plummeted by N N to N N from N N
 the <unk> may recoup some of their paper losses if the ual deal gets <unk> up again as they did in N when occidental petroleum co. <unk> them with a $ N billion takeover of cities service
 in the meantime the question faced by investors is what is ual stock worth
 the short answer on a fundamental basis is that airline analysts say the stock is worth somewhere between $ N and $ N a share
 that 's based on a multiple of anywhere between N to N times ual earnings which are estimated to come in somewhere around $ N a share this year
 airline stocks typically sell at a discount of about one-third to the stock market 's price-earnings ratio which is currently about N times earnings
 that 's because airline earnings like those of auto makers have been subject to the cyclical <unk> of the economy
 that analysis matches up with stock traders ' reports that despite the huge drop in the stock ual has n't returned to the level at which it could attract buying by institutions solely on the basis of earnings
 so anyone buying the stock now is betting on some special transaction such as a recapitalization or takeover and must do so using some <unk> about the likelihood of such an event
 one analyst who asked not to be identified said he believes that the ual pilots and management can put together a bid in the $ N area but that it could take three to four months to close
 at that level and given the uncertainty he believes ual stock should trade closer to
 other observers note that ual 's board having accepted a bid of $ N a share might hold out for a new bid much closer to the original level even if it means that the management goes back to running the company for a while and lets things return to normal
 by that logic the closing of a deal could be much further away than three to four months even though the eventual price might be higher
 investment bankers following ual agree that the strongest impetus for an eventual deal is that the pilots have been attempting a buy-out for more than two years and are n't likely to stop having come so close to success
 the pilots have a strong financing tool in their willingness to cut their annual compensation by $ N million and to commit $ N million from their retirement funds
 on friday they also persuaded the ual flight attendants to join them
 however investment bankers say that banks are n't likely to lend the almost $ N billion that would be necessary for a takeover even at a lower price without someone putting up a hefty <unk> of cash probably even greater than the N N in cash put up by investors in the leveraged takeover of northwest airlines parent nwa corp. in july
 banks want to see someone putting up real cash at risk that is subordinate to the bank debt in any deal
 that way they figure someone else has an even stronger <unk> to make sure the deal is going to work because they would be losing their money before the banks lost theirs
 banks also want to be able to call someone on the telephone to fix a problem with a deal that goes bad <unk> someone other than a union leader
 that leaves the pilots still in need of cash totaling around $ N billion far more than either they or the flight attendants can lay their hands on from retirement funds alone
 one obstacle to the pilots ' finding such a huge amount of cash is their insistence on majority ownership
 investors such as marvin davis of los angeles who have sought airline ownership this year have insisted they not the pilots must have control
 one way out of that dilemma could be a partial recapitalization in which the pilots would wind up sharing the value of their concessions with public shareholders
 the pilots could borrow against the value of their concessions using the proceeds to buy back stock from the public and give themselves the majority control they have been seeking
 but it is n't clear that banks would lend sufficient money to deliver a big enough price to shareholders
 the lack of any new cash probably would still leave the banks <unk>
 in advising the ual board on the various bids for the airline starting with one for $ N a share from mr. davis the investment bank of first boston came up with a wide range of potential values for the company depending on <unk> methods and assumptions
 using the the nwa takeover as a benchmark first boston on sept. N estimated that ual was worth $ N to $ N a share based on ual 's results for the N months ending last june N but only $ N to $ N based on a management estimate of results for N
 first boston 's estimates had been higher before management supplied a N projection
 using estimates of the company 's future earnings under a variety of scenarios first boston estimated ual 's value at $ N to $ N a share if its future labor costs conform to wall street projections $ N to $ N if the company reaches a settlement with pilots similar to one at nwa $ N to $ N under an adverse labor settlement and $ N to $ N under a pilot contract imposed by the company following a strike
 and using liquidation value assuming the sale of all ual assets first boston estimated the airline is worth $ N to $ N a share
 unfortunately all those estimates came before airline industry fundamentals deteriorated during the past month
 american airlines parent amr and usair group both subject to takeover efforts themselves have each warned of declining results
 some analysts do n't expect a quick revival of any takeover by the pilots
 the deal has as one takeover expert puts it so many moving parts
 i do n't see anybody who 's sophisticated getting his name associated with this mess until the moving parts stop moving
 in addition to the need for another cash equity investor the other moving parts include the pilots themselves who can scuttle rival deals by threatening to strike the machinists union the pilots ' longtime rivals who helped scuttle the pilots ' deal and regulators in washington whose opposition to foreign airline investment helped throw the deal into doubt
 in the meantime the <unk> are bleeding
 wall street traders and analysts estimate that takeover stock traders own ual stock and options equal to as many as N million shares or about N N of the total outstanding
 frank <unk> an analyst with phoenix capital corp. in new york estimates that the <unk> paid an average of about $ N a share for their ual positions
 that would indicate that the <unk> have paper losses on ual alone <unk> $ N million
 ual corp nyse symbol ual
 business airline
 year ended dec. N N
 sales $ N billion
 net income \* $ N million or $ N a share
 second quarter june N N per-share earnings $ N vs. $ N
 average daily trading volume N shares
 common shares outstanding N million
 eastern enterprises bolstered by improved <unk> in its <unk> unit had a narrower third-quarter net loss of $ N million or five cents a share
 last year eastern had a quarter loss of $ N million or eight cents a share
 quarter revenue rose N N to $ N million from $ N million a year ago
 the <unk> mass. utilities and <unk> concern said results for the third quarter usually a money-losing one because of the <unk> of the gas business were also aided by higher gas sales and the may N acquisition of water products company
 for the nine months eastern had net income of $ N million or $ N a share up N N from $ N million or $ N a share a year ago
 revenue grew N N to $ N million from $ N million
 convex computer corp. continuing its rapid growth while other computer companies <unk> reported an N N increase in third-quarter net income from a year earlier and a N N increase in revenue
 net was $ N million or N cents a share up from $ N million or nine cents a share
 revenue was $ N million up from $ N million
 for the nine months net was $ N million or N cents a share up N N from $ N million or N cents a share a year earlier
 revenue was $ N million up N N from $ N million
 convex makes <unk> that sell for up to $ N million and has an installed base of more than N systems and N customers world-wide
 during the third quarter it said it won several significant contracts including a five-year contract with the national institutes of health valued at an estimated $ N million
 earlier this month convex made a bid to <unk> other supercomputer competitors like digital equipment corp. and international business machines corp. by adopting an open set of standards and introducing new hardware and software to link different systems
 the new products allow customers to add convex machines to established systems made by other manufacturers which opens up a <unk> market for us said robert j. <unk> convex 's chairman president and chief executive
 convex also recently agreed to use <unk> a standard for the computer language called unix
 <unk> is one of three or four versions of unix but it is increasingly required by the federal government as it tries to <unk> its computer systems
 most other supercomputer manufacturers have yet to adopt the <unk> standard mr. <unk> said adding that they prefer to maintain <unk> systems that lock in customers
 they want a <unk> trap once you get in you ca n't get out he said
 but the customer does n't want that
 convex closed in over-the-counter trading on friday at $ N a share down N cents
 troubled saatchi & saatchi co. has attracted offers for some of its advertising units with potential suitors including interpublic group but has rejected them people familiar with the company said
 industry executives said interpublic approached saatchi in august about buying its <unk> unit but was turned down by chairman maurice saatchi
 more recently interpublic <unk> about one of saatchi 's smaller communications companies identified as the <unk> public relations firm by several industry executives but again was rebuffed they said
 interpublic 's chairman and chief executive officer philip <unk> jr. made the pitches in visits to mr. saatchi in london the executives said
 a saatchi spokesman declined to comment about interpublic
 but the spokesman confirmed that saatchi has received several inquiries from companies interested in acquiring its <unk> and <unk> units
 he added we have no intention of selling either business
 interpublic declined comment
 the offers come as saatchi is struggling through the most troubled period in its <unk> history
 takeover speculation has been <unk> its consulting business is on the block and its largest shareholder <unk> asset management has said it 's been approached by third parties regarding a possible restructuring
 analysts have continually lowered their earnings estimates for the company and their outlook at least for the short term is bleak
 in the midst of the current turmoil saatchi is attempting to shore up its ad businesses
 it named a new chief executive officer former <unk> international head robert <unk>
 it rebuffed an offer by carl spielvogel head of saatchi 's backer spielvogel bates unit to lead a management buy-out of all or part of saatchi
 and last week people close to saatchi said maurice saatchi and his brother charles would lead a buy-out if a hostile bid emerged
 but saatchi 's troubles have only <unk> up interest among outsiders interested in picking off pieces of its ad businesses
 while saatchi 's major agency networks backer spielvogel and saatchi & saatchi advertising would be difficult for any ad firm to buy because of potential client conflicts its smaller businesses are quite attractive
 <unk> for example has had big problems at its new york office but offers strong offices in other areas of the country including minneapolis and chicago
 that would would make it appealing to a network such as interpublic that already has a healthy new york presence
 while there would be some client conflicts they would n't be nearly as onerous as with saatchi 's other agencies
 <unk> also would be a sizable addition to an agency network it has billings of about $ N million and blue-chip clients including general mills <unk> and dow brands
 <unk> meanwhile has expanded aggressively and now ranks as the <unk> u.s. public relations firm according to <unk> <unk> of public relations firms
 it would be attractive to an agency such as interpublic one of the few big agency groups without an affiliated public relations firm of its own
 other saatchi units include ad agency <unk> & mccall which has the mercedes account and which has been attempting to buy itself back and howard <unk> a sports and event marketing firm
 despite saatchi 's firm stand against selling its ad units u.s. analysts believe the company may ultimately sell some of the smaller units
 mr. <unk> in a recent interview said he might sell a marginal agency or office
 analysts believe he may ultimately <unk> of some of the <unk> businesses
 prudential 's final four
 prudential insurance co. of america said it selected four agencies to pitch its $ N million to $ N million account
 in addition to backer spielvogel bates a saatchi unit that has handled the account since N the other agencies include lowe <unk> a unit of the lowe group grey advertising and wpp group 's <unk> <unk> <unk> agency
 all agencies are new york-based
 a spokesman for the insurance and financial services firm based in newark n.j. said it hopes to make a decision within three to four months
 jamaica fires back
 the jamaica tourist board in the wake of young & rubicam 's indictment on charges that it <unk> <unk> officials to win the account in N released a <unk> memo blaming the agency for the embarrassing incident
 the memo attempts to remove the tourist board as far as possible from the agency which pleaded innocent to the charges
 among other things the memo contends that young & rubicam gave false assurances that the investigation would n't <unk> any information that would <unk> the government of jamaica or the jamaica tourist board
 it also contends that young & rubicam never told the tourist board about its relationship with ad ventures a <unk> firm hired by the agency
 the u.s. indictment charges ad ventures was a front used to <unk> <unk> to the <unk> of tourism
 the memo also <unk> the agency for the timing of its announcement thursday that it would no longer handle the $ N million to $ N million account
 the agency declined comment but said it will continue work until a new agency is chosen
 ad notes
 new account
 american <unk> motor corp. <unk> calif. awarded its estimated $ N million to $ N million account to <unk> los angeles
 also participating in the <unk> was los angeles agency <unk> advertising america
 american <unk> 's previous agency <unk> did n't participate
 <unk> talks
 <unk> <unk> <unk> 's president and chief executive officer jerry j. <unk> said the agency is holding conversations about acquiring <unk> collins <unk> & <unk> a midsized chicago agency but a deal is n't yet close to being completed
 who 's news
 john wells N former president and chief executive of <unk> <unk> <unk> 's chicago office was named management director and director of account services at wpp group 's j. walter thompson agency in chicago
 <unk> <unk> N was named president and chief operating officer of ogilvy & mather direct the direct mail division of wpp group 's ogilvy & mather agency
 grand metropolitan plc the united kingdom food and beverage group that owns <unk> inc. of the u.s. announced a <unk> of <unk> executive duties intended to fit the company 's recent expansion
 david <unk> formerly group finance director at <unk> <unk> plc will become grand met 's first group finance director in january
 in a statement grand met said its recent growth and wider geographic spread made it necessary to create the new position
 the company also <unk> several executive responsibilities
 david <unk> formerly in charge of gambling operations was appointed chief executive for retailing and property
 peter <unk> group strategy development director and bill <unk> group personnel director will become part of the board 's management committee
 david baltimore who has just been named president of rockefeller university already knows what it 's like to go through life with nobel <unk> <unk> to one 's name
 he is currently experiencing what it 's like to have the phrase under investigation for scientific fraud also attached to his name
 the nobel committee made the first addition john dingell 's congressional committee created the second
 both of dr. baltimore 's public faces have been on view the past few weeks while he was under consideration to succeed <unk> <unk> as head of the prestigious rockefeller research institution
 it came to light that a substantial number of rockefeller 's faculty were upset over or even opposed to dr. baltimore 's impending appointment
 they were <unk> at what they regarded as dr. baltimore 's <unk> attitude toward the dingell committee which held hearings on a dispute over the lab <unk> of a researcher who had <unk> a scientific paper with dr. baltimore
 readers of these columns the science police may N will recall that dr. baltimore was merely the most well-known part of the dingell committee 's larger investigation which touched mit <unk> duke the national institutes of health and elsewhere
 rep. dingell even managed to <unk> the services of the secret service in his investigation of the baltimore paper
 <unk> as mr. dingell has a special interest in nih and the institutions that receive its funding the rockefeller scientists were no doubt <unk> by dr. baltimore 's <unk> public opinion of this congressional <unk> whose behavior reminded dr. baltimore of the <unk> era
 this well may be the first time that the venerable rockefeller university has brushed up publicly against the <unk> now common in american science
 john dingell <unk> a david baltimore <unk> activists do $ N million of damage to labs at the <unk> <unk> <unk> <unk> the <unk> of chemistry on talk shows <unk> <unk> files lawsuits in federal court to thwart <unk> experiments and <unk> researcher gary <unk> 's own colleagues at <unk> state <unk> him for violating epa rules
 scientists are <unk> who still think that the <unk> movement in this country is n't their concern or that a david baltimore could have somehow <unk> a john dingell
 mr. dingell by the way has <unk> another nih investigation of the baltimore paper adding to several previous investigations
 something other than what most scientists would recognize as the truth is being sought here
 fortunately there are signs that increasing numbers of scientists understand the necessity of speaking out
 david <unk> a nobel <unk> at harvard has taken the lead in defending research with animals as has dr. michael <unk>
 nasa defended itself vigorously and successfully against a <unk> suit to block the galileo launch
 scientists need to understand that while they tend to believe their work is <unk> about establishing new knowledge or doing good today it is also about power
 in a <unk> world scientists may earn wide <unk> and even <unk> for their work but they also attract the attention of people who wish to gain control over the content funding and goals of that work
 when a david baltimore or the next target decides it is better to stand up to these forces his fellow scientists would do well to recognize what is fundamentally at stake and offer their public support
 wisconsin toy co. said it definitively agreed to acquire closely held everything 's a dollar inc. of virginia beach va. for stock currently valued at about $ N million
 the milwaukee toy retailer said the agreement calls for everything 's a dollar holders to receive for their holdings a total of N newly issued wisconsin toy shares
 wisconsin toy currently has about N million shares outstanding
 a company official said arthur <unk> until january chief operating officer of <unk> <unk> save inc. will buy a N N stake in the new wisconsin toy subsidiary and will act as head of everything 's a dollar
 wisconsin toy has N retail stores primarily in discount <unk>
 everything 's a dollar operates N <unk> stores
 while <unk> nicholas <unk> 's sept. N letter offering <unk> to your world-wide tax revolution table editorial page aug. N i am surprised that he neglected other errors that for some of us strike close to home
 as a channel <unk> i was <unk> to see my <unk> listed as one of N countries with an income tax
 despite a history of <unk> local debate on the topic my <unk> clearly reads british citizen
 whether mr. <unk> 's oversight is merely a sign of a <unk> 's benign <unk> is a question my fellow channel <unk> and friends on the <unk> of man will continue to <unk>
 patrick <unk>
 <unk> j. <unk> chairman of jet <unk> inc. was elected to the board of this cruise line
 the board <unk> to seven members
 ducks
 if the white house spots one it intends to fire a veto at it
 ducks are this season 's word for new taxes under <unk> director richard darman 's <unk> that if it looks like a duck walks like a duck and <unk> like a duck it 's a duck
 george bush is quite clear no new ducks
 but what about all those <unk> ducks <unk> over washington
 we see a whole <unk> of programs that will impose significant costs on the american economy in the form of <unk> regulation and higher liabilities
 federal child care quack
 the clean air bill quack
 the <unk> bill quack quack
 the bush white house is breeding <unk> ducks the same way the nixon white house did it <unk> on an issue that is <unk> cleaner air better treatment of the disabled better child care
 it comes up with a <unk> version of a democratic proposal
 the bill gets signed into law and then the administration watches <unk> wondering where all the unexpected costs came from
 consider for instance the very fat <unk> known as <unk> child care
 the president came up with a good bill but now may end up signing the awful bureaucratic <unk> <unk> on capitol hill
 it would create N local <unk> commissions <unk> to the department of health and human services
 they 'd determine where parents could store their kids during the day and they 'd regulate the storage facilities
 the initial costs are said to be in the $ N billion a year range but that 's only the beginning
 new <unk> tend to grow creating a rationale for new taxes
 quack
 the administration claims that its clean air bill will cost businesses between $ N billion and $ N billion annually but economist michael evans estimates that the costs for firms will actually be in the $ N billion a year range
 the house bill also <unk> economic efficiency in all sorts of <unk> ways
 for example the administration proposal imposes extremely tough emissions standards on new power plants
 so instead of building more efficient modern plants utilities stick <unk> on the old plants
 the money spent on <unk> is diverted from planned research on new cleaner technology
 the bill also imposes the california <unk> standards on all cars nationwide as if a car registered in big sky <unk> needed to be as clean as one driven in los angeles
 proponents of the nationwide standards say the cost for car buyers would be about $ N per car
 other analysts say that estimate is low
 quack
 nobody knows how many billions of dollars the americans with disabilities act will cost because nobody knows what the bill <unk>
 it is an intentionally vague document that will create a wave of litigation
 judges will write the real bill as suits roll through the courts
 lawyers will benefit
 private companies and ultimately their customers will end up footing the huge bill
 the effect of nixon era <unk> ducks was an economy <unk> up with regulations and <unk>
 all this was recognized and <unk> in the succeeding years by economists some of whom worked in the reagan administration to lift this burden from the american people states and local governments
 running for president in N and N george bush also <unk> <unk> the economic <unk> of the 1970s
 in fact during last year 's campaign the entire nation constantly heard mr. bush <unk> his <unk> as head of the task force on regulatory relief
 government continues to inhibit the productivity of our <unk> and the international competitiveness of american business the vice president declared when he was head of the task force
 but with the impending passage of these new programs mr. bush will surely be sending many people <unk> back into the regulatory <unk> that he had helped cut back
 by N the number of federal regulators was down to about N
 then it turned up and by one estimate the number will be up to about N regulators by next year
 holding the dam on taxes is the most important task of the bush presidency
 we would have thought by now though that there was a significant core of people involved in government life who understood that direct taxation is n't the only way to slow down an economy
 it is merely the most obvious
 what is even more ironic is that all over the world nations are learning that <unk> public programs often <unk>
 but while they are unloading these burdens the united states is close to creating three more big ones
 the bush administration ought to be setting aside some of its <unk> for the <unk> ducks
 confidence in the pound is widely expected to take another sharp dive if trade figures for september due for release tomorrow fail to show a substantial improvement from july and august 's <unk> deficits
 chancellor of the exchequer nigel lawson 's restated commitment to a firm monetary policy has helped to prevent a <unk> in sterling over the past week
 but analysts <unk> underlying support for sterling has been eroded by the chancellor 's failure to announce any new policy measures in his mansion house speech last thursday
 this has increased the risk of the government being forced to increase base rates to N N from their current N N level to defend the pound economists and foreign exchange market analysts say
 the risks for sterling of a bad trade figure are very heavily on the down side said chris <unk> senior u.k. economist at nomura research institute
 if there is another bad trade number there could be an awful lot of pressure noted simon <unk> u.k. economist for midland <unk> a unit of midland bank plc
 forecasts for the trade figures range widely but few economists expect the data to show a very marked improvement from the # N billion $ N billion deficit in the current account reported for august
 the august deficit and the # N billion gap registered in july are topped only by the # N billion deficit of october N
 <unk> <unk> european economist at baring brothers & co. said there is no sign that britain 's manufacturing industry is <unk> itself to boost exports
 at the same time he remains fairly pessimistic about the outlook for imports given continued high consumer and capital goods inflows
 he <unk> the current account deficit will narrow to only # N billion in september
 however mr. <unk> said he believes that a reduction in raw material <unk> by industry could lead to a sharp drop in imports
 combined with at least some rebound in exports after august 's unexpected decline the deficit could narrow to as little as # N billion
 mr. <unk> who also forecasts a # N billion current account gap warns that even if the trade figures are bullish for sterling the currency wo n't advance much because investors will want to see further evidence of the turnaround before adjusting positions
 nevertheless he noted no one will want to go into the trade figures without a flat position in the pound
 meanwhile overall evidence on the economy remains fairly <unk>
 in his mansion house speech mr. lawson warned that a further slowdown can be expected as the impact of the last rise in interest rates earlier this month takes effect
 u.k. base rates are at their highest level in eight years
 but consumer expenditure data released friday do n't suggest that the u.k. economy is slowing that quickly
 the figures show that spending rose N N in the third quarter from the second quarter and was up N N from a year ago
 this compares with a N N rise in the second from the first quarter and a N N increase from the second quarter of N
 mr. <unk> said the data show the economy is still quite strong but suggestions that much of the spending went on services rather than consumer goods should reduce fears of more import rises
 certainly the chancellor has made it clear that he is prepared to increase interest rates again if necessary to both ensure that a substantial slowdown does take place and that sterling does n't decline further
 thursday he reminded his audience that the government can not allow the necessary <unk> of monetary policy to be undermined by exchange rate weakness
 analysts agree there is little holding sterling firm at the moment other than mr. lawson 's promise that rates will be pushed higher if necessary
 and they warn any further drop in the government 's popularity could swiftly make this promise sound <unk>
 sterling was already showing some signs of a lack of confidence in mr. lawson 's promise friday
 in european trading it declined to $ N and N marks from $ N and N marks late thursday
 economists suggested that if the pound falls much below N marks the government will be forced to increase rates to N N both to halt any further decline and ensure that the balance of monetary policy remains unchanged
 friday 's market activity
 the dollar posted gains in quiet trading as concerns about equities <unk>
 foreign exchange dealers said that the currency market has begun to distance itself from the volatile stock exchange which has <unk> the market since oct. N when the dow jones industrial average plunged more than N points
 currency analysts predict that in the coming week the foreign exchange market will shift its focus back to economic fundamentals keeping a close eye out for any signs of monetary easing by u.s. federal reserve
 late in the new york trading day the dollar was quoted at N marks up from N marks late thursday in new york
 the u.s. currency was also changing hands at N yen up from N yen in new york late thursday
 in tokyo on monday the u.s. currency opened for trading at N yen up from friday 's tokyo close of N yen
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce up N cents
 estimated volume was a light N million ounces
 in early trading in hong kong monday gold was quoted at $ N an ounce
 east rock partners limited partnership said it proposed to acquire a.p. green industries inc. for $ N a share
 in an oct. N letter to a.p. green 's board east rock said the offer is subject to the signing of a merger agreement by no later than oct. N
 the letter attached to a filing with the securities and exchange commission said the approval is also contingent upon obtaining satisfactory financing
 an a.p. green official declined to comment on the filing
 the $ <unk> proposal values the company at about $ N million
 a.p. green currently has N shares outstanding
 its stock closed at $ N up $ N in national over-the-counter trading
 the company is a mexico mo. maker of <unk> products
 east rock also said in the filing that it boosted its stake in a.p. green to N N
 it now holds N a.p. green common shares including N shares bought last thursday for $ N to $ N a share
 new york-based john <unk> and robert macdonald control east rock partners inc. the sole general partner of east rock partners <unk>
 the sole limited partner of the partnership is <unk> brick <unk> inc. an indirect subsidiary of <unk> group inc
 both <unk> brick and <unk> group are based in boston
 freight rates declining for most of the decade because of competition spurred by deregulation are <unk> out turning upward and threatening to fuel inflation
 trucking shipping and air-freight companies have announced rate increases scheduled for this fall or early next year reflecting higher costs and tightened demand for freight transport
 major shippers say they expect freight rates to rise at least as fast as inflation and maybe faster in the next few years
 that 's a big change from recent years when freight <unk> was a bright spot for u.s. productivity helping to restrain inflation and make u.s. industry more competitive abroad
 demand has caught up with the supply of certain types of freight transportation and rates are starting to move up at a rate close to or slightly more than the inflation rate said clifford <unk> director of <unk> at du pont co
 shippers surveyed recently by ohio state university said they expect their <unk> storage and distribution costs to rise about N N this year
 only N N of the N shippers polled expected their <unk> costs to decrease compared with N N who had looked to freight transport to reduce costs in past years
 this is the first year since transportation deregulation in N that we have had such a dramatic and broad-based <unk> in perceived transportation rates said bernard <unk> a transportation <unk> professor at ohio state in columbus
 the deregulation of <unk> and trucking companies that began in N enabled shippers to bargain for transportation
 carriers could use their equipment more efficiently leading to overcapacity they were eager to fill
 shippers cut about $ N billion from their annual <unk> truck and rail costs to about $ N billion or about N N of gross national product down from N N of gnp in N
 but with much of the <unk> squeezed out of the <unk> system rising costs are likely to be reflected directly in higher freight rates
 shippers are saying the party 's over said mr. <unk>
 shippers wo n't be able to look for <unk> savings as they have for the last eight or nine years
 transport rates wo n't be an opportunity for offsetting cost increases in other segments of the economy
 robert <unk> a consultant at arthur d. little inc. cambridge mass. said we 've gotten all the benefits of deregulation in <unk> reductions
 now we are starting to see real <unk> increases as carriers replace equipment pay higher fuel costs and pay more for labor
 you 'll see carriers try to recoup some of the price cutting that occurred previously
 not everyone believes that the good times are over for shippers
 there 's still a lot of pressure on rates in both rail and truck said gerard <unk> <unk> in transportation at massachusetts institute of technology
 <unk> companies which carry the freight of several shippers in each truck <unk> discounted away a N N rate increase implemented last april
 the carriers were competing fiercely for market share
 <unk> increases are likely to be <unk> by weakening <unk> levels and keen competition for freight from trucks
 an official at consolidated <unk> inc. a menlo park calif. <unk> carrier said rate discounting in that industry has begun to stabilize
 consolidated <unk> plans to raise its rates N N late this year or early next year and at least two competitors have announced similar increases
 <unk> are trying to send signals that they need to stop the <unk> forget about market share and go for higher rates said michael lloyd an analyst at salomon <unk>
 and shippers are getting the feeling that they have played one <unk> off against another as much as they can he said
 air-freight carriers raised their rates for u.s. products going across the pacific to asia by about N N earlier this month
 and japan air lines said it plans to boost its rates a further N N over the next two years
 such rate increases will increase the total cost of u.s. products and slow down the rate of increase of u.s. exports said richard <unk> a senior vice president of <unk> air & sea service u.s.a. inc. the u.s. <unk> subsidiary of nippon <unk> <unk> of japan
 ship companies carrying bulk commodities such as oil grain coal and iron <unk> have been able to increase their rates in the last couple of years
 some bulk shipping rates have increased N N to N N in the past few months said salomon 's mr. lloyd
 and ship lines carrying containers are also trying to raise their rates
 carriers boosted rates more than N N in the north atlantic between the u.s. and europe last september hoping to partly restore rates to earlier levels
 ship lines operating in the pacific plan to raise rates on containers carrying u.s. exports to asia about N N effective next april
 mgm grand inc. said it filed a registration statement with the securities and exchange commission for a public offering of six million common shares
 the beverly hills calif.-based company said it would have N million common shares outstanding after the offering
 the hotel and <unk> company said merrill lynch capital markets will lead the underwriters
 proceeds from the sale will be used for remodeling and <unk> projects as well as for the planned mgm grand <unk> and theme park
 bob stone <unk> over a letter from his manager putting him on <unk> for <unk>
 mr. stone thought the discipline was unfair he believed that his manager wanted to get rid of him for personal reasons
 unable to persuade the manager to change his decision he went to a company court for a hearing
 at the scheduled time mr. stone entered a conference room in a building near where he worked
 after the three members of the court introduced themselves the chairman of the panel said go ahead and tell us what happened
 we may ask questions as you go along or we may wait until the end
 no lawyers or tape recorders were present
 the only extra people were a couple of personnel specialists one of whom knew mr. stone 's case <unk> and would help fill in any facts needed to give the court the full picture
 over a cup of coffee mr. stone told his story
 he talked about N minutes
 when he was through the court members asked many questions then the chairman said they would like to hear his manager 's side and talk to witnesses
 the chairman promised mr. stone a decision within two weeks
 bob stone is a <unk> name but the incident described is real
 it happened at northrop corp. in los angeles
 the court is called the management appeals committee or just mac and it is likely to hear a couple of dozen cases a year
 alter some details of this example and it could be taking place today at federal express in memphis the defense and <unk> systems divisions of honeywell in minneapolis a general electric plant in columbia md. or a number of other companies
 these firms are <unk> in a significant new trend in the corporate world the rise of what i call corporate due process
 although corporate due process is practiced today in few companies perhaps N to N it is one of the fastest developing trends in industry
 in the coming decade a majority of <unk> companies are likely to adopt it
 corporate due process appeals to management for a variety of reasons
 it reduces lawsuits from <unk> employees and <unk> with all that means for reduced legal costs and better public relations
 it helps to keep out unions
 it increases employee commitment to the company with all that means for efficiency and quality control
 what must your management team do to establish corporate due process
 here are four key steps
 N make sure you have a strong personnel department
 it must be able to handle most of the complaints that can not be solved in the <unk> by managers and their subordinates else the company court or <unk> will be <unk> with cases
 at polaroid the personnel policy planning committee may hear only about N cases a year the rest of the many hundreds of complaints are resolved at earlier stages
 at <unk> the system board of adjustment <unk> N to N cases a year only a fraction of the complaints brought to personnel specialists
 at citicorp the problem review board may hear only N or so cases because of personnel 's <unk> in <unk>
 in a typical year up to N N of the work force goes to personnel specialists with complaints of unfair treatment
 in a large company that means many hundreds of complaints for personnel to handle
 N formally or <unk> train all your managers and supervisors in the company 's <unk> approach
 see that they know company personnel policy <unk> and <unk> for it is the law governing company courts and <unk>
 coach them in handling complaints so that they can resolve problems immediately
 in case managers and personnel specialists are unsuccessful and subordinates take their complaints to a company court or <unk> teach managers to accept <unk> as a fact of business life for in a good <unk> system they are bound to happen
 in the N companies i studied reversal rates range on the average from N N to N N
 N decide whether you want a panel system or a single <unk>
 a panel system like that in the bob stone example enjoys such advantages as high credibility and for the <unk> mutual support
 an <unk> system that is an investigator who acts first as a <unk> and then switches hats and <unk> the facts has such advantages as speed flexibility and maximum privacy
 international business machines and bank of america are among the companies using the <unk> approach
 N make your <unk> system visible
 it wo n't do any good for anybody unless employees know about it
 most <unk> hesitate to go all out in advertising their <unk> systems for fear of encouraging <unk> and <unk> <unk> to file complaints
 on the other hand they make sure at a minimum that their systems are described in their employee <unk> and talked up by personnel specialists
 <unk> <unk> goes further and sometimes features its <unk> procedure in <unk> tv programs
 naturally one of the best ways to guarantee <unk> for your <unk> system is for top management to support it
 at ibm the company 's open door system is sometimes the subject of <unk> from the chief executive
 federal express goes further in this respect than any company i know of with both frederick smith and james <unk> chief executive and chief operating officer respectively sitting in on the appeals board almost every tuesday to decide cases
 mr. <unk> is a consultant based in <unk> mass. and author of justice on the job <unk> <unk> in the <unk> workplace harvard business school press N
 tokyo stocks closed higher in active trading friday marking the fourth consecutive daily gain since monday 's sharp fall
 london shares closed moderately lower in thin trading
 at tokyo the nikkei index of N selected issues was up N points to N
 the index advanced N points thursday
 in early trading in tokyo monday the nikkei index rose N points to N
 friday 's volume on the first section was estimated at one billion shares up from N million thursday
 winners <unk> losers N to N while N issues remained unchanged
 with investors relieved at the overnight gain in new york stocks <unk> buying orders <unk> into the market from early morning making traders believe the market was back to normal
 the nikkei which reached as high as N right after the opening surrendered part of its early advance toward the end of the day because of profit-taking
 investors especially dealers do n't want to hold a position over the weekend a trader at dai-ichi securities said adding though that the trading mood remained positive through the afternoon session
 the tokyo stock price index <unk> of all issues listed in the first section which gained N points thursday was up N points or N N at N
 the second section index which rose N points thursday was up N points or N N to close at N
 volume in the second section was estimated at N million shares up from N million thursday
 in turmoil caused by the previous friday 's plunge in new york stocks the nikkei marked a sharp <unk> fall monday
 but the nikkei fell an overall N N in value that day compared with wall street 's far sharper N N drop on oct. N
 the tokyo market 's <unk> helped participants to regain confidence gradually as they spent more time on analyzing factors that caused the friday plunge and realized these problems were unique to new york stocks and not directly related to tokyo
 the nikkei continued to gain for the rest of the week adding N points in four days more than <unk> monday 's losses
 but further major advances on the nikkei are n't <unk> this week by market observers
 investors are still waiting to see how the u.s. government will decide on interest rates and how the dollar will be stabilized
 some high-priced issues made a comeback friday
 pioneer surged N yen $ N to N yen $ N
 <unk> advanced N yen to N
 <unk> gained N to N
 <unk> attracted investors because of their land property holdings that could figure in development or other plans traders said
 <unk> gained N to N and <unk> added N to N
 <unk> <unk> and pharmaceuticals continued to be bought following thursday 's gains because of strong earnings <unk>
 daiwa house gained N to N
 <unk> homes was up N at N
 <unk> advanced N to N and ohbayashi added N to N
 fujisawa added N to N and <unk> advanced N to N
 london share prices were influenced largely by declines on wall street and weakness in the british pound
 the key financial times-stock exchange 100-share index ended N points lower at N above its intraday low of N but off the day 's high of N
 the index finished N N under its close of N the previous friday although it <unk> some of the sharp losses staged early last week on the back of wall street 's fall
 london was weak throughout friday 's trading however on what dealers attributed to generally thin interest ahead of the weekend and this week 's potentially important u.k. trade figures for september
 the ft-se N largely remained within an <unk> range <unk> within the first hour of trading before it eased to an intraday low late in the session when a flurry of program selling pushed wall street lower
 the <unk> 30-share index closed N points lower at N
 volume was extremely thin at N million shares the <unk> volume of the week and modestly under thursday 's N million shares
 dealers said the day 's action was <unk> outside some response to sterling 's early weakness against the mark and fears that wall street might open lower after its strong leap forward thursday
 they added that market-makers were largely <unk> after aggressively supporting the market thursday in their <unk> to cover internal shortages of ft-se N shares
 interest may remain limited into tomorrow 's u.k. trade figures which the market will be watching closely to see if there is any improvement after disappointing numbers in the previous two months
 the key corporate news of the day was that british airways decided to withdraw from a management-led bid for ual corp. the parent of united airlines
 british airways rose initially after announcing its withdrawal from the ual deal
 dealers said they viewed the initial # <unk> $ N million <unk> for a N N stake in the airline as a bit much
 its shares slid in late dealings to close a penny per share lower at N pence
 the airline was the most active ft-se N at N million shares traded
 the next most active <unk> stock was b.a.t industries the target of sir james goldsmith 's # N billion bid
 the company gained shareholder approval thursday to restructure in a bid to fend off the hostile takeover
 sir james said thursday night that his plans for the takeover had n't changed
 b.a.t ended the day at N down N on turnover of N million shares
 dealers said it was hit by some profit-taking after gains since <unk>
 in other active shares <unk> <unk> shed N to N on volume of N million shares after a barclays de zoete wedd downgrading while <unk> holdings a food products concern was boosted N to N after it disclosed it would seek shareholder approval to begin share <unk>
 elsewhere in europe share prices closed higher in stockholm brussels and milan
 prices were lower in frankfurt zurich paris and amsterdam
 south african gold stocks closed moderately lower
 share prices closed higher in sydney taipei wellington manila hong kong and singapore and were lower in seoul
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 the u.s. is required to notify foreign <unk> if it knows of coup plans likely to endanger their lives government officials said
 the notification policy was part of a set of guidelines on handling coups outlined in a secret N exchange of letters between the reagan administration and the senate intelligence committee
 the existence of the guidelines has become known since president bush disclosed them privately to seven republican senators at a white house meeting last monday
 officials familiar with the meeting said mr. bush cited the policy as an example of the sort of congressional requirements the administration contends contribute to the failure of such covert actions as this month 's <unk> effort to oust panamanian dictator manuel noriega
 according to the officials mr. bush even read to the senators <unk> from a highly classified letter from the committee to the white house discussing the guidelines
 they said the president conceded the notification requirement did n't affect his decision to lend only minor support to this month 's panama coup effort
 no notification was ever considered officials said apparently because the u.s. did n't think the coup <unk> intended to kill mr. noriega but merely sought to <unk> him
 what 's more both administration and congressional officials hint that the notification requirement is likely to be dropped from the guidelines on coup attempts that are being <unk> by the panel and the white house
 the <unk> was launched at a meeting between mr. bush and intelligence committee leaders oct. N a few days before the meeting at which the president complained about the rules
 however the disclosure of the guidelines first reported last night by nbc news is already being interpreted on capitol hill as an unfair effort to pressure congress
 it has reopened the bitter <unk> between the white house and congress over who is responsible for the failure to oust mr. noriega and more broadly for difficulties in carrying out covert activities abroad
 a statement issued by the office of the committee chairman sen. david boren d. okla. charged that the disclosure is part of a continuing effort to shift the criticism for the failure of the recent coup attempt in panama
 the statement added someone has <unk> chosen to <unk> <unk> portions of highly classified <unk> between the two branches of government
 not only does this come close to a violation of law it violates the trust we have all worked to develop
 sen. boren said it 's time to stop <unk> and work together to develop a clear and appropriate policy to help the country in the future
 i 've invited the president to send his suggestions to the committee
 republican sen. william cohen of maine the panel 's vice chairman said of the disclosure that a text torn out of context is a <unk> and it is unfair for those in the white house who are <unk> to present the evidence in a selective fashion
 sen. boren said the committee could n't defend itself by making the documents public because that would violate <unk> rules
 but the chairman and other committee members stressed that the notification guideline was n't imposed on the white house by a <unk> congress
 instead both congressional and administration officials agreed it grew out of talks about <unk> in panama that were initiated by the administration in july N and stretched into last october
 the guideline was n't a law but a joint interpretation of how the u.s. might operate during foreign coups in light of the longstanding presidential order banning a u.s. role in assassinations
 in fact yesterday the administration and congress were still <unk> on what had been agreed to
 one administration official said notification was required even if the u.s. gets wind of somebody else 's coup plans that seem likely to endanger a dictator 's life
 but a congressional source close to the panel said the rule only covered coup plans directly involving the u.s.
 although the notification guideline was n't carried out in this month 's coup attempt some administration officials argue that it may have led to <unk> and uncertainty on the part of u.s. intelligence and military <unk> in panama
 one senior administration official called the guideline <unk> and said it could make u.s. <unk> reluctant to even listen to coup plans for fear they may get into legal trouble
 the issue came to a head last year officials recalled partly because the reagan administration had sought unsuccessfully to win committee approval of funding for new panama coup efforts
 in addition both administration and congressional officials said the need for guidelines on coups and assassinations was partly spurred by a white house desire to avoid nasty overseas surprises during the election campaign
 though the assassination ban is a white house order that congress never voted on the intelligence committees can exercise influence over its interpretation
 last week central intelligence agency director william webster publicly called on congress to provide new <unk> of the assassination order that would permit the u.s. more freedom to act in coups
 the administration has reacted to criticism that it <unk> the latest coup attempt by seeking to blame congress for restrictions the white house said have hampered its freedom of action
 however last week mr. webster 's two top cia deputies said congressional curbs had n't hampered the spy agency 's role in the coup attempt in panama
 nevertheless the administration 's criticisms appeared to have made some <unk> with sens. boren and cohen after their oct. N meeting with the president
 the three men agreed to rewrite the guidelines without changing the basic assassination ban to clear up any <unk> that may have hampered u.s. encouragement of coups against <unk> leaders
 the new argument over the notification guideline however could sour any atmosphere of cooperation that existed
 gerald f. <unk> contributed to this article
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 mutual funds arrived in the u.s. during the <unk> <unk> they had been in britain for a century but they did n't boom until the money market fund was created in the 1970s
 by N there were more than N such funds
 besides creating a vehicle for investors money market funds also helped rewrite banking regulations
 the idea was to let small investors the <unk> of the fund business deal in the money market 's high short-term interest rates
 this had been the exclusive province of those rich enough to use <unk> sums to get income that was figured beyond the third or fourth <unk> place
 the <unk> price of $ N a share came about by accident
 an early fund had filed a registration with the securities and exchange commission that included a fixed $ N price
 it arrived just as the regulator handling such operations was retiring
 his successor approved the $ N price in the process of clearing the <unk> papers on his desk
 when dreyfus started the first <unk> retail fund in february N it was priced at $ N a share and reached $ N billion in assets in one year
 dreyfus moved to the $ N price after the sec set standards an average <unk> maturity of high-grade paper that are still the rule
 keeping the listed price at a dollar is primarily a convenience
 actually the funds do <unk> but beyond the third <unk> place
 <unk> keeps them at $ N
 eventually the money funds ' success forced <unk> of curbs on bank interest rates to allow banks to offer competing yields
 the new instrument also introduced many to the industry N N of fund owners there are more than N million accounts started with a money fund
 today more than N money market funds have total assets exceeding $ N billion
 the companion tax-exempt funds add $ N billion
 dreyfus alone has seen its money market funds grow from $ N billion in N to closes to $ N billion today
 procter & gamble co. and noxell corp. said they received early termination of the waiting period under the hart-scott-rodino act regarding the proposed $ N billion merger of noxell into p&g
 shareholders of noxell of hunt valley md. will vote on the merger at a special meeting on nov. N the companies said
 p&g cincinnati agreed to exchange N share of its common stock for each share of noxell common and class b stock a total of about N million p&g shares
 the transaction would mark the entry of p&g into cosmetics
 the company already markets a wide range of <unk> food household and health-care products
 shareholders of <unk> g.m.b h. postponed their formal endorsement of a merger with daimler-benz ag until another meeting on nov. N
 the owners of the defense and aerospace concern which include three regional states several industrial companies and banks met friday to discuss the final terms of the transaction in which daimler-benz will acquire N N of
 but agreement <unk> could n't be reached because of opposition from the states of <unk> and <unk> which are demanding more influence over the german airbus operations and a better guarantee against job losses in the troubled northern german region
 the two states and the state of <unk> still hold a majority in <unk> but their stake will fall to around N N after daimler-benz acquires its stake in the concern
 jeffrey e. <unk> was named vice president and chief economist of this commodity futures and options exchange
 he had been associate professor in the department of finance at <unk> hall university
 sierra tucson cos. said it completed its initial public offering of N million common shares which raised $ N million
 the tucson ariz. operator of <unk> centers said proceeds will be used for expansion to pay debt and for general corporate purposes
 oppenheimer & co. was the lead underwriter
 the government issues its first reading on third-quarter real gross national product this week in a report that is expected to disclose much <unk> inflation
 the consensus view on real gnp the total value of the nation 's output of goods and services adjusted for inflation calls for a N N gain down from the second quarter 's N N according to <unk> international a unit of mcgraw-hill inc. new york
 but inflation as measured by the gnp deflator in thursday 's report is expected to rise only N N down from N N in the second quarter
 inflation could be a real surprise said samuel d. <unk> chief financial economist at kleinwort benson government securities inc. in chicago
 if that gets people excited it could serve as an impetus to the fixed-income markets to lower their rates he added
 the week 's other notable indicators include mid-october auto sales september durable goods orders as well as september personal income personal consumption and the saving rate
 most are expected to fall below <unk> levels
 many economists see even slower gnp growth for the remainder of the year with some <unk> more strongly toward a possible recession
 in addition to softer production data weaker housing starts and lower corporate profits currently in evidence some analysts believe the two recent natural disasters hurricane hugo and the san francisco earthquake will carry economic <unk> in the fourth quarter
 the recent one-day 190-point drop in the dow jones industrial average seems to be significant to economists mainly for its <unk> comment on the poor quality of third-quarter profits now being reported
 the stock market is sick because profits are crumbling says michael k. evans president of evans economics inc. washington
 the economy he noted moves the market not vice <unk>
 on the other hand mr. evans expects the hurricane and the earthquake to take a <unk> out of fourth-quarter gnp
 his estimate of N N for third-quarter gnp is higher than the consensus largely because he believes current inventories are n't as low as official figures indicate
 demand he believes is being met from <unk> rather than new production
 by and large economists believe the two natural catastrophes will limit economic damage to their regions
 edward j. campbell economist at brown brothers <unk> & co. new york noted that large increases in construction activity along with government and private relief efforts could offset loss of production in those areas
 gary <unk> economist at <unk> financial group <unk> r.i. expects the deflator to rise N N well below the second quarter 's N N partly because of what he believes will be temporarily better price behavior
 he expects real gnp growth of only N N for the quarter noting a wider trade deficit slower capital and government spending and the lower inventory figures
 sung won <unk> chief economist at <unk> corp. minneapolis holds that the recent stock-market volatility increases the possibility of economic recession and <unk> the bad news from recent trade deficit employment and housing reports
 the consensus calls for a N N increase in september personal income and a N N gain in consumption
 in august personal income rose N N and personal consumption increased N N
 charles <unk> managing director of financial markets <unk> at manufacturers hanover securities corp. new york said <unk> hugo <unk> N N to N N from <unk> growth because of greatly diminished rental income from tourism
 durable goods orders for september due out tomorrow are expected to show a slip of N N compared with august 's N N increase
 as usual estimates on the <unk> report are wide running from a drop of N N to a gain of N N
 hastings manufacturing co. declared a regular quarterly dividend of N cents a share and an extra dividend of five cents a share on its common stock payable dec. N to shares of record nov. N
 this is the <unk> consecutive quarter in which the company has paid shareholders an extra dividend of five cents
 the hastings mich. concern makes <unk> <unk> filters and fuel <unk>
 vickers plc a united kingdom defense and engineering company said an investment unit controlled by new zealand financier ron <unk> raised its stake in the company friday to N N from about N N thursday and from N N the previous week
 <unk> securities ltd. a unit of mr. <unk> 's hong <unk> industrial equity pacific ltd. boosted its holdings in vickers to N million shares
 the latest purchase follows small increases in his holdings made over the past five months
 in may mr. <unk> 's stake shrank to N N after ranging between N N and N N for much of the previous year
 ron <unk> clearly views our company as a good investment a vickers spokesman said
 the spokesman refused to comment on speculation that industrial equity might use its interest as a platform to launch a hostile bid for the company
 vickers makes tanks for the u.k. army rolls <unk> cars and has marine and medical businesses
 when <unk> andersson set out to revive <unk> swedish conglomerate trelleborg ab in the early 1980s he <unk> the advice of trendy management consultants
 all these consultants kept coming around telling us we should concentrate on high technology electronics or biotechnology and get out of mature basic industries mr. andersson recalls
 yet under its 45-year-old president trelleborg moved aggressively into those <unk> base industries first strengthening its existing rubber and plastics division later adding mining as well as building and construction materials
 it was a <unk> move for a <unk> executive fired after only two months as president of his previous company
 but going against the grain has never bothered mr. andersson
 <unk> his trademark white <unk> during a recent interview the <unk> <unk> <unk> it turned out to be lucky for us
 if the whole market thinks what you 're doing is crazy you do n't have much competition
 mr. andersson is anxious to strengthen trelleborg 's balance sheet
 <unk> he did n't waste much time getting started
 on tuesday trelleborg 's directors announced plans to spin off two big divisions minerals processing and building and distribution as separately quoted companies on stockholm 's stock exchange
 at current market prices the <unk> public offerings to be completed next year would add an estimated N billion swedish kronor $ N million to trelleborg 's <unk> analysts say
 the board had also been expected to approve a <unk> billion international offering of new trelleborg shares
 but that share issue intended to make trelleborg better known among international investors was postponed until market conditions stabilize people familiar with the situation say
 trelleborg 's internationally traded <unk> series stock plunged <unk> $ N to <unk> $ N in volatile trading monday in stockholm
 tuesday the shares regained <unk> closing at <unk>
 mr. andersson says he is confident that taking parts of the company public will help <unk> the conglomerate <unk> that has held down trelleborg 's share price
 trelleborg plans to remain the dominant shareholder with stakes of slightly less than N N of both units
 the spinoff should solve a problem for the parent
 a family foundation set up by late founder henry <unk> controls N N of trelleborg 's voting shares outstanding
 but the foundation <unk> require the entire trelleborg stake to be sold in the open market if control drops below N N
 that possibility had <unk> closer as repeated new share offerings to finance trelleborg 's rapid growth steadily diluted the foundation 's holding
 that growth is the result of mr. andersson 's shopping spree during which he has bought and sold more than N companies during the past five years
 most of the new additions were barely profitable if not outright loss makers
 applying <unk> gained during earlier <unk> at <unk> maker ab <unk> mr. andersson and a handful of loyal <unk> aggressively stripped away dead wood and got quick results
 the treatment turned trelleborg into one of <unk> 's biggest and fastest-growing industrial concerns
 between N and N sales <unk> more than N times and pretax profit surged almost <unk>
 many analysts expect mr. andersson who owns N N of the company to be named trelleborg 's new chairman when ernst <unk> steps down next year
 but the promotion is n't likely to alter a management style mr. andersson describes as being the driving force leading the troops not managing by sitting back with a <unk> waiting for people to bring me ideas
 last month in his <unk> move yet mr. andersson and trelleborg joined forces with canada 's noranda inc. in a joint $ N billion hostile takeover of another big canadian mining concern falconbridge ltd
 industry analysts suggest that the <unk> of falconbridge could vault trelleborg from a regional <unk> success story to a <unk> mining concern
 trelleborg is n't in the same league yet as mining giants such as <unk> corp. or <unk> corp. says mike <unk> a mining analyst at james capel & co. london
 but we certainly like what we 've seen so far
 but trelleborg still must clear some tough hurdles
 mr. andersson acknowledges that the company 's mining division will be busy for a while <unk> its recent expansion
 booming metals prices have fueled trelleborg 's recent profit surge raising mining 's share of pretax profit to N N this year from a big loss two years earlier
 but analysts caution an expected fall in metal prices next year could slow profit growth
 mining is likely to remain trelleborg 's main business
 analysts say its chances of success will likely <unk> on how well trelleborg manages to cooperate with noranda in the falconbridge venture
 noranda and trelleborg each came close to winning falconbridge alone before the successful joint bid
 some analysts say noranda would prefer to break up falconbridge and that the <unk> relatively <unk> in international mining operations could have problems holding their own with a much bigger partner like noranda operating on its home turf
 mr. andersson insists that trelleborg and noranda have n't discussed a falconbridge <unk>
 falconbridge he says will continue operating in its current form
 we 'd be reluctant to accept N ownership in a manufacturing company
 but such partnerships are common in mining where there are n't problems or conflict of interest or risk of cheating by a partner trelleborg 's president says
 perhaps more important both companies share mr. andersson 's belief in the coming renaissance of base industries
 if the 1980s were a decade of consumption the <unk> will be the investment decade mr. andersson says
 the whole of europe and the industrialized world is suffering from a breakdown in infrastructure investment he says
 that 's beginning to change
 and investment is the key word for base metals and most other businesses trelleborg is in
 apple computer inc. posted improved fiscal fourth-quarter profit due largely to a $ N million gain on the sale of its stock in adobe systems inc
 excluding the gain the company registered a modest N N increase for the quarter ended sept. N to $ N million or N cents a share from the year-earlier $ N million or N cents a share
 proceeds of the adobe sale brought net income in the quarter to $ N million or $ N a share
 apple shares fell N cents in over-the-counter trading to close at $ N a share
 fiscal fourth-quarter sales grew about N N to $ N billion from $ N billion a year earlier
 without the adobe gain apple 's full-year operating profit edged up N N to $ N million or $ N a share from $ N million or $ N a share
 including the adobe gain full-year net was $ N million or $ N a share
 sales for the year rose nearly N N to $ N billion from $ N billion a year earlier
 john <unk> chairman and chief executive officer credited the <unk> <unk> and <unk> computers introduced in the winter for the <unk> sales performance
 mr. <unk> also indicated that sagging margins which dogged the company through most of N began to turn up in the fourth quarter as chip prices eased
 adverse pressure on gross margins has <unk> mr. <unk> said
 margins in the fiscal fourth quarter <unk> up rising to N N from N N a year earlier
 for all of fiscal N however the average gross margin was N N below the average N gross margin of N N
 lower component costs especially for <unk> or dynamic random access memory chips were cited for the easing of margin pressure on the company a spokeswoman said
 looking ahead to N mr. <unk> predicted another year of significant revenue growth along with improved profitability as the recovery in gross margins continues into N
 gary j. <unk> N years old was named president and chief operating officer
 <unk> makes <unk> materials that it describes as plastic wood
 the operating chief 's post is new
 martin <unk> N who had been president was named vice chairman
 he remains chief executive officer
 mr. <unk> was vice president and chief operating officer of the <unk> division of <unk> technology corp
 separately the board expanded to six members with the election of david l. <unk> a consultant
 the company also said it privately placed stock and warrants in exchange for $ N
 terry l. <unk> formerly general manager of canadian operations was elected to the new position of vice president north american sales of this plastics concern
 also larry a. <unk> executive vice president north american operations was named head of the company 's international automotive operations another new position
 he remains an executive vice president the company said and his new position reflects the growing importance of the world automotive market as a market for a. <unk> 's high performance plastic materials
 gordon <unk> will succeed mr. <unk> as manager of canadian operations and mr. <unk> 's former position is n't being filled at this time the company said
 general electric co. said it signed a contract with the developers of the ocean state power project for the second phase of an independent $ N million power plant which is being built in <unk> <unk>
 ge along with a division of <unk> a subsidiary of enserch corp. have been building the first <unk> phase of the project which they expect to complete in late N
 the second portion will be completed the following year
 ge 's power generation subsidiary will operate and maintain the plant upon its completion
 the environmental protection agency is getting a lot out of the superfund program
 of the $ N billion spent so far on the program N N is going for administrative costs management and research the office of technology assessment just reported
 only N of N priority cleanup sites have been <unk>
 over the next N years $ N billion is earmarked for the program
 at current <unk> that means epa will be spending $ N billion on itself
 it may not be toxic but we know where one waste dump is
 chambers development co. said its security bureau inc. unit purchased two security concerns in florida that will add $ N million of annual revenue
 purchase of the businesses serving miami fort <unk> and west palm beach fla. is part of a plan by chambers to expand in the growing security industry
 terms were n't disclosed
 <unk> ag said it moved its headquarters for latin america to mexico and the headquarters for the <unk> regional division to singapore effective <unk>
 the central offices for both regions were previously located in <unk> <unk> headquarters
 the west german chemical concern called the moves a further step in the <unk> of its business activities
 both regions are the fastest-growing areas for <unk> the company said
 david h. <unk> N years old was named president and chief operating officer of <unk> 's <unk> peoples drug stores inc. unit based in <unk> va
 mr. <unk> was senior executive vice president and chief operating officer
 <unk> is a tobacco retailing restaurant and financial services concern
 lotus development corp. is in talks to sell its signal <unk> service to <unk> inc. the new york parent of financial news network people familiar with the negotiations said
 they said the price would be around $ N million
 signal which has an estimated N subscribers and is profitable provides stock quotes over an fm radio band that can be received by specially equipped personal computers
 the computers will display stock prices selected by users
 lotus cambridge mass. has been rumored to have the sale of the four-year-old unit under consideration for a year
 the business is n't related to lotus 's main businesses of making computer software and publishing information on compact disks
 please submit your offers says <unk> <unk> jr
 he surveys the prospective investors gathered in the board room of the philippine government 's asset privatization trust for the sale of a N N interest in the country 's largest paper mill
 the agency expects the bids to be equivalent of more than $ N million
 not a <unk> is offered
 mr. <unk> the trust 's associate executive trustee declares the bidding a failure
 it 's getting harder to sell he <unk> as he leaves the room
 indeed recently the trust failed to auction off the paper mill a bank an office building and a small <unk> plant
 of the four only the bank and the plant drew bids one apiece
 in october N president <unk> aquino vowed that her government would get out of business by selling all or part of the state 's holdings in the many companies taken over by the government during the 20-year rule of ferdinand marcos
 two years later mrs. aquino 's promise remains largely <unk>
 october is a critical month for the privatization program
 manila is offering several major assets for the first time and is trying to conclude sales already arranged
 in addition the government is scheduled to unveil plans for <unk> philippine airlines the national carrier an effort that lawyer and business columnist <unk> <unk> calls the bellwether of privatization
 all told there are assets on the line valued at up to $ N billion
 the privatization program is designed to rid the government of hundreds of assets and to raise <unk> needed funds
 much of the money from the sales is earmarked for a multibillion-dollar <unk> program
 but efforts have been <unk> by official <unk> bureaucratic resistance a legal system that operates at a <unk> 's pace political opposition and government <unk>
 most recently a lack of buyers has been added to the list
 rather than gathering momentum the program is in danger of slowing even more as the government <unk> several big assets
 the <unk> appears to be that the more valuable the asset the harder the privatization process
 you just do n't see a whole lot happening says an international economist
 to be sure the program has n't completely stalled
 the asset privatization trust the agency <unk> responsible for selling <unk> properties has recorded sales of more than $ N million since it began <unk> in december N
 but its success has been largely in the sale of small nonperforming companies which are valued for their assets
 dealing with the sales this month could be particularly challenging because almost every problem that has <unk> the program in the past is <unk> up again
 <unk> garcia the asset trust 's executive trustee admits to what he calls temporary setbacks
 in light of the poor results recently he says the agency is adopting an attitude of flexibility
 october 's troubles began when the trust failed to sell a state-owned commercial bank associated bank for the minimum price of N million <unk> $ N million
 at the end of the month the agency again will offer the bank
 but instead of a minimum price only a target price will be established
 bankers say however that the government may have difficulty selling the institution even without a floor price
 the bank has a negative net worth they say
 in addition special bidding rules give the bank 's former owner <unk> <unk> the right to match the highest bid
 mr. <unk> lost control to the government in N when a government bank made emergency loans to the <unk> institution
 in N the loans were converted into equity giving manila N N of the bank but with the understanding that mr. <unk> had repurchase rights
 his ability to match any bid has scared off many potential buyers
 separately the government will try again within a month to sell the N N stake in paper industries corp. of the philippines or picop as the paper mill is known
 the price will depend on how much picop shares fetch on the local stock market
 but according to bankers and stock analysts who have studied the paper mill price is n't the only consideration
 as it stands now the government would continue to hold N N of picop after the N N stake is sold
 about N N of picop is publicly traded and other shareholders own the rest of the equity
 potential buyers mostly foreign companies are reluctant to take a <unk> stake in a company that by the government 's own <unk> needs some $ N million in new capital for rehabilitation
 the prospect of buying into a <unk> company without getting management control persuaded at least three foreign buyers including a member of the elders group of australia to pull out of the bidding the bankers and analysts say
 mr. garcia acknowledges the problem and says the asset trust will study why the bidding failed and what changes the agency may be able to offer
 under government regulations however foreign ownership of picop 's equity is limited to N N
 even though the government would retain the N N stake in picop critics have accused the trust of selling out to foreigners
 a series of newspaper articles accused the trust of <unk> the government over the picop sale
 mr. garcia says he has been notified of congressional hearings on the picop bidding and possible legislation covering the paper mill 's sale both prompted by the criticism of the agency
 the question of control could further <unk> <unk> plans for the government to <unk> itself of philippine airlines in which it has a N N stake
 the carrier has valuable <unk> and asian routes but it remains <unk> and poorly managed
 this maker of electronic measuring devices named two new directors increasing board membership to nine
 the new directors are gordon m. <unk> president and chief executive officer of <unk> inc. and peter s. <unk> chairman and chief executive officer of <unk> services inc
 gerard e. wood N years old was elected president chief executive officer and a director of this minerals and materials company
 he succeeds harry a. <unk> N who is retiring from active duty but remains a director and consultant
 mr. wood has been president and chief executive of steep rock resources inc
 eagle financial corp. and webster financial corp. two connecticut savings bank-holding companies agreed to merge in a tax-free stock transaction
 the new holding company <unk> bancorp inc. will have about $ N billion of assets and N banking offices in connecticut
 tangible capital will be about $ N million
 the merger is subject to regulatory clearance and a definitive agreement
 in the merger each share of webster based in <unk> will be converted into one share of the new company
 each share of eagle based in <unk> will become N share of <unk>
 in american stock exchange composite trading friday eagle shares rose N cents to $ N
 in national over-the-counter trading webster shares fell N cents to $ N
 webster has N million shares outstanding and eagle N million
 their indicated market values thus are about $ N million and $ N million respectively
 frank j. <unk> chairman of eagle will be chairman of the new firm and james c. smith president and chief executive officer of webster will take those posts at <unk>
 harold w. smith sr. chairman of webster will become chairman <unk> and a director of the new company
 ralph t. <unk> vice chairman of eagle will become vice chairman of <unk>
 the board will be made up of seven directors of each holding company
 in an interview james smith said the banks ' markets are <unk> and their business <unk> are similar and conservative
 nonperforming loans will make up only about N N of the combined banks ' total loans outstanding he said
 at june N webster which owns first federal savings & loan association of <unk> had assets of $ N million
 eagle which controls <unk> federal savings bank and first federal savings & loan association of <unk> had assets of $ N million on that date
 <unk> ortiz 's sept. N <unk> column mexico 's been <unk> by the privatization <unk> is a <unk> clear statement of his government 's commitment to privatization and must be welcomed as such by all americans who wish his country well
 the <unk> states institute is glad to see such a high official as mexico 's undersecretary of finance view his country 's reforms in the context of a larger world-wide process of <unk> change toward free-market economics especially in the <unk> countries
 having said that we must caution against an apparent tendency to <unk> the case
 it is not quite true for example that the mexican government has privatized <unk> de <unk> as mr. ortiz claims
 in the same sentence he <unk> himself when he reports that the government still retains N N of the total equity of the airline
 how can a company be considered privatized if the state is so heavily represented in it
 true the mexican government has granted control over the airline to a new private consortium but its <unk> to take back what it gives is too well known to permit one to be <unk>
 <unk> too mr. ortiz resorts to the familiar numbers game when he boasts that fewer than N state enterprises currently remain in the public sector down from the N public entities that existed in N
 but the enterprises still in state hands include the biggest and most economically powerful ones in mexico indeed they virtually constitute the economic infrastructure
 i refer essentially to petroleum electric power banking and newsprint
 those enterprises however are not going to be privatized
 they are officially considered strategic and their privatization is prohibited by the mexican constitution
 in language that <unk> the issue mr. ortiz writes the divestiture of <unk> and <unk> public enterprises is an essential element of president carlos salinas 's plan to modernize mexico 's economy
 yet clearly modernization must <unk> its key industries before it can be said to have caught the privatization <unk>
 the bottom line however is not economic but political reform
 a long succession of mexican presidents <unk> <unk> whatever industry they took a fancy to without having to answer to the public
 to guarantee that <unk> de <unk> and other companies will really be privatized mexico needs a <unk> political system that will ensure democracy and hence accountability
 daniel james president <unk> states institute
 the board of this <unk> puerto rico concern voted to suspend payment of its quarterly of N cents a share for the third quarter
 the third-largest thrift institution in puerto rico also said it expects a return to profitability in the third quarter when it reports operating results this week
 <unk> federal said the dividend was suspended in anticipation of more <unk> capital requirements under the financial institutions reform recovery and enforcement act of N
 a labor-management group is preparing a revised buy-out bid for united airlines parent ual corp. that would transfer majority ownership to employees while leaving some stock in public hands according to people familiar with the group
 the group has been discussing a proposal valued in a range of $ N to $ N a share or $ N billion to $ N billion
 but to avoid the risk of rejection the group does n't plan to submit the plan formally at a ual board meeting today
 instead the group is raising the proposal <unk> to try to test the board 's reaction
 people familiar with the company say the board is n't likely to give quick approval to any offer substantially below the $ 300-a-share $ N billion buy-out bid that collapsed last week after banks would n't raise needed loans and after a key partner british airways plc dropped out
 in composite trading friday on the new york stock exchange ual closed at $ N a share down $ N
 but the pilots union which has been pushing for a takeover since N appears to be pressing ahead with the revised bid to avoid further loss of momentum even though it has n't found a partner to replace british air
 although the bidding group has n't had time to develop its latest idea fully or to discuss it with banks it believes bank financing could be obtained
 after the collapse of the last effort the group does n't plan to make any formal proposal without <unk> commitments from banks covering the entire amount to be borrowed
 under the type of transaction being discussed the <unk> group would borrow several billion dollars from banks that could then be used to finance a cash payment to current holders
 those current holders would also receive minority interests in the new company
 for example the group could offer $ N a share in cash plus stock valued at $ N a share
 ual currently has N million shares fully diluted
 the new structure would be similar to a recapitalization in which holders get a special dividend yet retain a controlling ownership interest
 the difference is that current holders would n't retain majority ownership or control
 the failed takeover would have given ual employees N N voting control of the nation 's second-largest airline with management getting N N control and british air N N
 it was n't clear how the ownership would <unk> up under the new plan but employees would keep more than N N
 management 's total could be reduced and the public could get more than the N N control that had been earmarked for british air
 one option the board is likely to consider today is some sort of <unk> period
 although the pilots are expected to continue to pursue the bid ual chairman stephen wolf may be asked to withdraw from the buy-out effort at least temporarily and to return to running the company full time
 the board could eventually come under some pressure to sell the company because its members can be ousted by a majority shareholder vote particularly since one-third of ual stock is held by takeover stock speculators who favor a sale
 the labor-management buy-out group plans to keep its offer on the table in an apparent attempt to maintain its bargaining position with the board
 however the only outsider who has emerged to lead such a shareholder vote los angeles investor marvin davis who triggered the buy-out with a $ N billion bid in early august is hanging back apparently to avoid being blamed for contributing to the deal 's collapse
 three top advisers to mr. davis visited new york late last week at least in part to <unk> with executives at citicorp
 mr. davis had paid $ N million for citicorp 's backing of his last bid
 but citicorp has lost some credibility because it also led the unsuccessful effort to gain bank loans for the labor-management group
 on friday british air issued a statement saying it does not intend to participate in any new deal for the acquisition of ual in the foreseeable future
 however several people said that british air might yet <unk> the bidding group and that the carrier made the statement to answer questions from british regulators about how it plans to use proceeds of a securities offering previously earmarked for the ual buy-out
 also late last week ual flight attendants agreed to participate with the pilots in <unk> a revised offer
 but the machinists union whose opposition helped scuttle the first buy-out bid is likely to favor a recapitalization with a friendly <unk> investor
 one advantage the buy-out group intends to press with the board is that pilots have agreed to make $ N million in annual cost concessions to help finance a bid
 speculation has also <unk> that the ual executive most closely identified with the failure to gain bank financing chief financial officer john pope may come under pressure to resign
 however people familiar with the buy-out group said mr. pope 's departure would weaken the airline 's management at a critical time
 despite the buy-out group 's failure to obtain financing ual remains obligated to pay $ N million in investment banking and legal fees to the group 's advisers lazard <unk> & co. salomon brothers inc. and paul weiss <unk> <unk> & garrison
 whittle communications limited partnership <unk> tenn. will launch its first media property targeting hispanic women
 la <unk> de <unk> or today 's family will debut this spring and will combine a national <unk> magazine and tv programming
 the television element of la <unk> includes a series of <unk> <unk> features to air seven days a week on the <unk> <unk> network a unit of <unk> holdings inc. which is <unk> by <unk> cards inc
 the features will focus on <unk> family health and <unk> and financial management and will carry N seconds of advertising
 the magazines also <unk> will be distributed in more than N doctors ' offices <unk> and health centers in hispanic and largely hispanic communities
 weirton steel corp. said it completed a $ N million sale of 10-year notes the final step in the N buy-out of the company from national steel corp
 the N N N notes were priced at N N to yield N N in an offering managed by bear stearns & co. shearson lehman hutton inc. and lazard <unk> & co. the company said
 weirton of weirton w. va. said $ N million of the proceeds were used to <unk> the remaining amounts on the note outstanding to national intergroup inc. the parent of national steel
 remaining proceeds were used to pay other debt and to finance the company 's capital spending program
 <unk> group plc of britain which holds a N N stake in profit systems inc. said it is considering courses of action that could result in its having active control of the company
 in a filing with the securities and exchange commission <unk> group said a possible course of action may include acquiring some or all of the profit systems shares it does n't already own
 it noted however that it has n't determined any specific terms of a possible transaction
 <unk> group and affiliates currently control N profit systems common shares or N N the filing said
 profit systems valley stream n.y. is an air freight <unk> concern
 u.s. official reserve assets rose $ N billion in september to $ N billion the treasury department said
 the gain compared with a $ N billion decline in reserve assets in august to $ N billion the department said
 u.s. reserve assets consist of foreign currencies gold special drawing rights at the international monetary fund and the u.s. reserve position its ability to draw foreign currencies at the imf
 the nation 's holdings of foreign currencies increased $ N billion in september to $ N billion while its gold reserves were virtually unchanged at $ N billion
 u.s. holdings of imf special drawing rights last month rose $ N million to $ N billion and its reserve position at the imf increased $ N million to $ N billion
 <unk> of america inc. plans to sell its consolidated aluminum corp. subsidiary as part of its strategy to focus more on aluminum packaging in the u.s.
 <unk> of new york declined to say how much it expects to get for the unit the company has hired first boston corp. to help identify bidders
 <unk> is a subsidiary of swiss <unk> ltd. a zurich switzerland producer of aluminum chemicals and packaging products
 consolidated which had N revenue of $ N million makes aluminum sheet and <unk> products at its <unk> ohio and jackson tenn. rolling mills and <unk> aluminum at a plant in <unk> run <unk>
 manhattan national corp. said michael a. conway president and chief executive officer was elected chief executive of the holding company 's two principal insurance subsidiaries
 he succeeds paul p. <unk> jr. who resigned to pursue other business interests the company said
 mr. conway N years old was elected chairman president and chief executive of manhattan life insurance co. and president and chief executive of manhattan national life insurance co
 harry <unk> N chairman of the holding company also remains chairman of manhattan national life insurance co
 mr. conway was executive vice president and chief investment officer of union central life insurance co. of cincinnati in N when union central bought a N N interest in manhattan national corp
 he resigned as an officer of central life to accept the manhattan national presidency
 daniel j. <unk> a director of first illinois corp. said that in august he reduced his stake in first illinois to N N of the common shares outstanding
 in a filing with the securities and exchange commission mr. <unk> said he sold N first illinois common shares from aug. N to aug. N for $ N to $ N a share
 as a result of the sales he holds N shares
 mr. <unk> said in the filing that he sold the stock to decrease his position in the <unk> ill. banking concern
 he may sell more shares in the open market or in private transactions but would n't rule out changing his intentions and buying shares the filing said
 <unk> life systems inc. minneapolis said a federal appeals court vacated an earlier summary judgment in its favor
 a lower court in st. paul had ruled in september N that a heart <unk> <unk> manufactures does n't <unk> on a patent owned by advanced cardiovascular systems a unit of eli lilly & co
 <unk> said the appeals court <unk> the case back to the district court for further proceedings
 in national over-the-counter trading friday <unk> shares tumbled $ N to $ N
 <unk> said it remains committed both to the vigorous defense of its position that the <unk> does n't <unk> the lilly unit 's patent and to the pursuit of its own <unk> which <unk> lilly engaged in antitrust violations and other <unk> acts
 a revised bid for ual is being prepared by a labor-management group sources said
 the new proposal which would transfer majority ownership of united air 's parent to employees and leave some stock in public hands would be valued at $ N to $ N a share or as much as $ N billion
 but ual 's board is n't expected to give quick approval to any offer substantially below the $ 300-a-share bid that collapsed recently
 takeover stock speculators have incurred paper losses of over $ N million from the failed ual offer their worst loss ever on a single deal
 ford and saab ended talks about a possible alliance after ford concluded that the cost to modernize saab 's car operations would outweigh the likely return
 the collapse friday prompted speculation that ford would intensify its pursuit of jaguar which is negotiating a defensive alliance with gm
 stock prices edged up in quiet trading friday
 the dow jones industrials rose N to N making the gain for the week a record N points or N N
 most bond prices fell but junk bonds and the dollar rose
 new york city bonds were sold off by many investors last week amid political and economic uncertainty
 more banks are being hurt by arizona 's worsening real-estate slump
 first interstate bancorp of los angeles said friday it expects a $ N million quarterly loss citing <unk> losses at its arizona unit
 opec 's ability to produce more oil than it can sell is starting to cast a shadow over world oil markets
 opec officials worry that prices could collapse a few months from now if the group does n't adopt new quotas
 saatchi & saatchi has attracted offers for some of its advertising units but has rejected them sources said
 the proposals from suitors including interpublic group come as the london-based ad giant struggles through its most difficult period ever
 qintex australia suffered another setback friday when its los angeles-based affiliate filed for chapter N protection
 qintex 's $ N billion pact to buy mgm\/ua collapsed recently
 kodak entered the high-definition television market by <unk> a device that can convert conventional film into high-definition video
 a handful of small u.s. firms are refusing to <unk> the <unk> market to japanese manufacturers
 freight rates are <unk> out and starting to rebound
 trucking shipping and air-freight firms are all planning rate increases reflecting higher costs and tightened demand
 texaco has purchased an <unk> company in texas for $ N million
 it is texaco 's first major acquisition since the legal battle with pennzoil began over four years ago
 winnebago posted a widened quarterly loss and slashed its dividend in half reflecting the <unk> slowdown in recreational vehicle sales
 markets
 stocks
 volume N shares
 dow jones industrials N up N transportation N off N utilities N up N
 bonds
 shearson lehman hutton treasury index N off
 commodities
 dow jones futures index N off N spot index N up N
 dollar
 N yen up N N marks up N
 <unk> corp. a money-losing direct marketer of computer supplies and accessories said directors suspended payment of its semiannual dividend as too great a drain on funds
 the company paid five cents a share in april
 the directors ' action taken oct. N but announced friday had little or no effect on the company 's stock which <unk> at $ N in light over-the-counter trading
 <unk> recently disclosed a $ N million write-off related to a corporate restructuring that resulted in the company 's posting a $ N million net loss for the year ended july N compared with year-earlier profit of $ N million or $ N a share
 sales rose N N to $ N million from $ N million
 the board felt that the continued payment of our semiannual dividend was <unk> with recent operating results said kenneth a. <unk> president and chief executive officer
 all our efforts are now focused on improving earnings to the point where we can fund additional <unk> development continue to invest in the business and <unk> the dividend he added
 the company offers more than N parts and supplies directly to <unk> and <unk> users through catalog sales
 the food and drug administration said american home products corp. agreed to recall certain generic drugs that were produced by its quantum <unk> unit in <unk> n.y
 quantum stopped shipping the drugs last month following a federal investigation regarding information the company supplied to obtain three drug approvals
 the fda requested the recall of quantum 's <unk> <unk> <unk> <unk> <unk> and <unk> <unk> <unk> because it said the size of the production runs submitted for testing to gain fda approval was in each case <unk> as much larger than it actually was
 american home products based in new york agreed to recall four other products <unk> <unk> <unk> and <unk> because of concerns about data submitted in their original approval applications before the fda
 no safety problems with the products are known the fda said
 an fda <unk> said the drugs are still available under other brand names
 last month american home products said it was <unk> production and distribution of all N of quantum 's generic drug products pending the completion of an <unk> internal audit
 it also temporarily closed quantum because of the internal investigation as well as the fda 's ongoing inquiry
 in new york stock exchange composite trading american home products rose N cents to $ N on friday
 lyondell petrochemical co. said third-quarter net income fell N N to $ N million or N cents a share from $ N million a year earlier
 year-earlier per-share results are n't applicable because the company went public in january
 revenue rose N N to $ N billion from $ N billion
 the petrochemical maker said the biggest reason earnings declined was a loss of production time and the increased costs associated with a temporary maintenance closing and expansion of an <unk> plant
 like other refiners lyondell 's margins for chemicals and gasoline were narrower
 while the company said chemical margins continued to worsen this quarter costs will be lower because the maintenance and <unk> are complete
 in new york stock exchange composite trading friday lyondell was unchanged at $ N a share
 four former <unk> corp. officials were acquitted of federal charges related to the miami-based company 's sale of <unk> including conspiracy to hide <unk> defects
 jurors in u.s. district court in miami cleared harold <unk> a former executive vice president john <unk> a former vice president and stephen <unk> and dean <unk> who had been engineers with <unk>
 earlier this year <unk> a maker of medical devices agreed to plead guilty to felony and <unk> charges related to the <unk> and to pay the government about $ N million in fines and other costs
 <unk> sold its <unk> operations two years ago to <unk> holding ltd. of australia
 papers
 management and unions representing N employees at <unk> corp. 's toronto star reached a tentative contract agreement friday <unk> a strike by most employees of canada 's largest daily newspaper
 members of the largest union representing N workers voted in favor of the pact yesterday
 four other unions have yet to vote but their leadership also recommended approval
 the pact proposes a N 1\/2-year contract with a raise of N N in the first year N N in the second and N N for the final six months
 amgen inc. said its second-quarter earnings increased more than tenfold to $ N million or N cents a share due to increased sales of the company 's new <unk> drug for kidney patients
 the thousand <unk> calif.-based biotechnology company reported a N N increase in revenue to $ N million for the quarter ended sept. N
 in the year-ago period amgen reported net income of $ N or two cents a share on revenue of $ N million
 for the six months the company reported a more than <unk> increase in earnings to $ N million or N cents a share from $ N or four cents a share a year ago
 revenue rose N N to $ N million from last year 's $ N million
 <unk> lawmakers approved a peace plan but aoun rejected it
 lebanon 's parliament passed the <unk> accord to end the country 's 14-year-old conflict but the christian military leader <unk> the plan was full of <unk>
 the arab <unk> pact drafted during three weeks of talks at the saudi <unk> resort of <unk> includes syrian proposals for at least a partial troop pullout from lebanon and guarantees an equal number of seats for <unk> and <unk> in the parliament
 the rejection by aoun who has demanded a total and immediate <unk> of <unk> 's N troops puts the future of the agreement in doubt
 northern california <unk> for earthquake-related traffic <unk>
 as <unk> pressed their efforts after finding a <unk> in a collapsed freeway the san francisco bay area <unk> for hundreds of thousands of commuters seeking to avoid routes <unk> by last tuesday 's tremor
 in oakland officials said the <unk> <unk> who spent four days <unk> in rubble was in critical condition with slight improvement
 estimates of damage in the area visited friday by bush topped $ N billion
 the baseball commissioner announced that the third game of the world series between the giants and the athletics would n't resume until friday
 the u.s. is required to notify foreign <unk> of certain coup plans
 under guidelines included in an exchange of letters between the reagan administration and the senate intelligence panel last year the u.s. must inform foreign <unk> of plans likely to endanger their lives
 the existence of the policy became known after bush disclosed it to seven gop senators last week citing the plan as an example of congressional requirements the administration contends contribute to the failure of covert actions officials said
 bush conceded that the requirement did n't affect a decision to lend only minor support to this month 's failed effort to oust panama 's noriega aides said
 the shuttle atlantis 's crew prepared to return to earth today several hours earlier than planned to avoid high <unk> forecast at the landing site at edwards air force base calif
 the five <unk> who <unk> gear and tested the spacecraft 's steering said they were <unk> about the touchy weather expected in the <unk> desert
 commonwealth leaders issued a declaration giving south africa six months to deliver on <unk> to ease apartheid or face new <unk>
 the <unk> organization meeting in malaysia called for tighter financial pressure immediately
 britain 's prime minister thatcher alone <unk>
 east germany 's leadership vowed swift action to ease travel to the west
 despite the pledge by the communist <unk> tens of thousands of people across the country staged <unk> over the weekend to demand democratic freedoms
 in leipzig more than N people met with local party officials to discuss internal changes
 the senate convicted federal judge <unk> hastings of miami of eight impeachment articles removing him from the bench
 the chamber voted N friday to <unk> the judge of perjury and bribery conspiracy
 it marked the first time a u.s. official was <unk> on charges of which a jury had acquitted him
 rep. garcia and his wife were found guilty by a federal jury in new york of <unk> $ N from wedtech corp. in return for official acts by the new york democrat
 the jury also convicted them of <unk> in obtaining a $ N <unk> loan from an officer of the <unk> defense contractor
 authorities in honduras launched an investigation into the cause of saturday 's crash of a <unk> jetliner that killed N of the N people aboard
 the boeing N en route to honduras from costa rica via nicaragua <unk> into the hills outside <unk> as it approached the capital 's airport in high <unk> and low clouds
 the u.s. and israel have been holding what an aide to prime minister shamir called intense telephone negotiations in an effort to bridge differences over mideast peace moves
 the labor party meanwhile threatened to support a parliamentary motion to topple the coalition unless shamir showed flexibility on <unk> talks
 nicaragua 's defense ministry said a group of contra rebels <unk> two trucks carrying troops in northern nicaragua killing N of the soldiers
 the incident occurred saturday night
 the sandinista government and the <unk> <unk> agreed in march to suspend offensive operations but there has been sporadic fighting
 scientists have isolated a <unk> that may hold potential as a treatment for disruptions of the immune system ranging from <unk> rejection to <unk> and <unk> <unk> corp. said
 the <unk> is the mouse version of a protein called the <unk> <unk> which directs the growth and function of white blood cells
 died alfred <unk> N former president of the federal reserve bank of new york saturday in new <unk> conn
 contel corp. said third-quarter net income increased N N to $ N million or N cents a share from $ N million or N cents a share as a result of strong growth in <unk> lines and long-distance minutes of use
 the telecommunications company 's results included a one-time gain of $ N million or two cents a share from the sale of contel credit a leasing and financial-services subsidiary
 revenue rose N N to $ N million from $ N million
 <unk> quarterly profit increased N N to $ N million from $ N million while <unk> earnings declined N N to $ N million from $ N million
 information systems posted a loss of $ N million compared with a loss of $ N million a year earlier
 <unk> lines increased at an annualized rate of about N N and minutes of long-distance use rose about N N
 a N N gain in operating profit in the quarter was offset by a N N boost in interest expense reflecting higher consolidated borrowings and interest rates
 in new york stock exchange composite trading contel closed at $ N a share down N cents
 in east germany where humor has long been the only way to express political criticism they 're not laughing about their new leader egon krenz
 mr. krenz is such a <unk> figure that nobody has even come up with any good jokes about him
 you have to have clear feelings about someone before you can make jokes says an east german mother of two who <unk> <unk> political <unk> with her friends
 with krenz we just do n't know what to expect
 mr. krenz does n't seem to be the <unk> <unk> many initially thought he was when the <unk> politburo member was selected last week to succeed erich honecker
 but he does n't appear to be ready to make broad changes either
 according to east germany 's <unk> news agency mr. krenz spoke to soviet leader mikhail gorbachev by telephone over the weekend and acknowledged east germany could learn from moscow 's glasnost policies
 already last week mr. krenz started <unk> east germany 's heavily <unk> and <unk> boring news media
 on thursday a day after he took office east german television broke into regular programming to launch a talk show in which viewers call in questions for a panel of officials to answer
 the regular <unk> news program and daily newspapers are also getting a visible injection of <unk> glasnost
 it was quite a shock says a <unk> east german <unk>
 for the first time in my life i was n't sure whether i was listening to our news or west german television
 other changes including easing restrictions on travel for east germans are expected
 but whether such moves can win back the confidence of east germans who have taken to the streets by the thousands in recent weeks to demand democratic changes depends largely on whether they feel they can trust mr. krenz
 and that 's a problem
 mr. krenz is not only closely identified with his <unk> mr. honecker but also blamed for ordering violent police action against protesters this month and for <unk> china for sending tanks against student demonstrators
 i hope he grows with the job says <unk> <unk> a <unk> <unk> in east berlin
 the most important thing is that he have a chance
 although mr. krenz is dedicated to east germany 's conservative <unk> of communism there is much about his style that sets him apart from his party <unk>
 unlike mr. honecker who <unk> to <unk> people about socialist values mr. krenz enjoys asking questions
 indeed one of his first actions as leader was to visit a <unk> machine factory on the <unk> of berlin and <unk> among the workers a la gorbachev
 he was later shown on television <unk> questions
 at one point he asked a worker whether he thought east germans were <unk> the country because of restrictive travel policies
 the worker 's <unk> <unk> it 's more than just travel
 people have a sense the government is ignoring the real problems in our society
 the exchange was all the more remarkable in that authorities released television <unk> to western news agencies
 this same tendency toward openness impressed a group of visiting u.s. congressmen this spring
 rather than trying to <unk> us says one congressional aide who attended the <unk> meeting mr. krenz wanted to listen
 rep. <unk> <unk> d. ala. one of the members of the delegation says he was particularly impressed by mr. krenz 's ready admission that east germany needed to change
 he 's a very tough man but one who 's also open to arguments adds an aide to west german chancellor helmut kohl
 but there 's another side to mr. krenz
 born in a <unk> town in an area which is now part of poland he has dedicated his life to the party <unk>
 he moved quickly through the ranks with the help of his <unk> mr. honecker and emerged as the heir apparent
 barbara <unk> an expert on east germany at radio free europe in <unk> says mr. krenz may project a smooth image but she doubts he 's a true <unk>
 even if he is she adds he appears to have only limited room for maneuver within the communist party 's ruling politburo
 against this background the new east german leader must move quickly to shore up his government 's standing
 the sudden growth of the opposition movement together with the steady <unk> of citizens <unk> through poland and hungary has plunged the country into its <unk> political crisis since an <unk> workers ' <unk> in N
 he does n't have any <unk> period says a western diplomat based in east berlin
 but if he 's sharp and quick he has a chance
 the diplomat adds that mr. krenz has several things going for him
 the east german economy is strong compared with other east bloc nations
 and his relative youth could help him project a more <unk> image <unk> with the perception of mr. honecker as an <unk> old man
 for average east germans mr. krenz remains a <unk>
 either he was n't being real in the past or he is n't being real right now says a <unk> east german doctor
 either way i have a problem with how quickly he 's changed
 the doctor was among dozens of people <unk> through east berlin 's <unk> church saturday morning
 the walls of the church are covered with <unk> news <unk> and <unk> notes associated with the country 's political opposition
 i have to come here to read the walls says the doctor because it 's information i still ca n't get through the newspapers
 meanwhile east germany 's growing openness may even allow the state-controlled news media to display a <unk> sense of humor
 television last week carried a new report on east berlin 's main <unk> factory and the need to boost production
 east germans remember a comment a few years ago by kurt <unk> the government 's top <unk> that just because a neighbor hangs new <unk> there 's no reason to change your own
 his point was there is no reason for east germany to copy <unk> changes
 it 's hard to know whether it was intended to be funny says the east berlin <unk> but everyone i know <unk> about it
 the list of laboratories claiming to be producing <unk> amounts of heat from cold fusion experiments is slowly growing
 but the experiments continue to be plagued by lack of firm evidence that the extra heat is coming from the <unk> of <unk> atoms
 new experiments at some of the big national laboratories are still unable to find hints of nuclear fusion reactions leaving only the finding of tritium in a texas experiment to support university of utah <unk> ' claim of <unk> <unk> fusion at room temperatures
 the latest developments in cold fusion research were presented in N reports delivered at the fall meeting here of the <unk> society the first scientific meeting in five months to hear formal reports on cold fusion experiments
 the meeting offered stark evidence of a dramatic fall in scientific interest in cold fusion research
 of the N <unk> registered for the society 's <unk> meeting fewer than N sat through the day and a half of cold fusion <unk> at week 's end
 this was in contrast with the society 's meeting last may at the <unk> of the controversy when more than N scientists along with scores of reporters and tv crews crowded into a los angeles hotel <unk> for a tumultuous special night session on the subject
 neither of the two <unk> whose utah experiments triggered the cold fusion <unk> martin fleischmann and b. stanley pons were at the meeting
 but some members of an ad <unk> expert committee set up by the department of energy to evaluate the cold fusion research were in the audience
 the committee is to recommend at the end of the month whether <unk> should support cold fusion research
 most of the two dozen scientists taking the <unk> reported results with new more sophisticated variations of the seemingly simple <unk> experiments described last march by messrs. fleischmann and pons
 the experiments involve <unk> a thin rod of palladium metal with a wire of platinum and plunging the two <unk> into heavy water in which the <unk> atoms are a <unk> heavy form known as <unk>
 when an electric current is applied to the palladium and platinum <unk> the heavy water did begin to break up or <unk>
 ordinarily the <unk> or breakup of the water would consume almost all of the electrical energy
 but messrs. fleischmann and pons said their experiments also produced large amounts of heat
 the heat energy plus the energy consumed by the breakup of the water <unk> added to far more energy coming out of the <unk> than electrical energy going in they reported
 because they also detected tritium and indications of nuclear radiation they asserted that the excess heat energy must be coming from energy released by the nuclear fusion of <unk> atoms inside the palladium rod
 as of last weekend a dozen labs also have reported measuring excess heat from similar <unk> experiments although amounts of such heat vary widely
 one of the seven reports presented here of excess heat production was given by richard a. <unk> professor of chemical engineering at the university of minnesota
 mr. <unk> said his skepticism of the utah claims was initially confirmed when his first experiments last spring failed to produce results
 but he then borrowed a palladium rod from <unk> at texas <unk> who said they were getting excess heat
 the results were <unk> he said
 on the fourth run with the borrowed rod the experiment began producing excess heat
 the experiment was stopped briefly to change an instrument
 when it was <unk> heat output really took off and produced excess heat for several hours before dying down he said
 typical of other experiments mr. <unk> said his experiment was very <unk>
 it would go along doing nothing but <unk> the heavy water and then at totally <unk> times it would begin producing excess heat for as long as N or N hours before <unk> down
 the excess heat was N N to N N more than the energy involved in the <unk> of water
 mr. <unk> said the heat bursts were too large and too long to be explained by the sudden release of energy that might have slowly accumulated during the experiments ' <unk> times as some scientists have suggested
 there is a reality to the excess energy he said
 other scientists said they also were getting sporadic bursts of excess heat lasting several hours at a time
 the bursts often occur they said after they <unk> the experiments by raising or lowering the amount of electric current being applied or switching the current off and on
 one <unk> privately suggested this hinted that some <unk> chemical reactions might be producing the heat
 one reason questions <unk> the heat experiments is that they involve unusually <unk> measurements
 typically the input energy ranges from a third of a <unk> to one <unk> and the excess energy is measured in <unk> of a <unk>
 one exception is a continuing experiment at stanford university where as much as N watts of energy are being put into the <unk> cells
 a cell filled with heavy water is producing N to N watts more heat than an identical <unk> cell filled with ordinary water next to it reported <unk> m. <unk> an associate of materials scientist robert a. <unk> head of the stanford experimental team
 one of the few hints the excess heat might be produced by fusion came from brief remarks by <unk> john <unk> of texas <unk> university
 mr. <unk> previously reported getting bursts of excess heat and of <unk> increasing amounts of tritium forming in the heavy water
 he said that within the past few days he 's gotten evidence that there is a weak <unk> between the time the heat bursts occur and the production of tritium
 there is n't any way to <unk> measure the amount of tritium in the heavy water so it 's been difficult to tell whether the tritium formation is related to the heat bursts or some other phenomenon
 increasingly careful attempts to measure neutrons which would be strong evidence of fusion reactions continue to be negative
 messrs. fleischmann and pons initially reported indirect evidence of neutrons being produced in their experiment but later conceded the measurements were questionable
 researchers at <unk> national laboratories in <unk> n.m. reported they went so far as to take a cold fusion experiment and three <unk> detectors into a tunnel under N feet of <unk> to shield the detectors from <unk> <unk>
 a number of times they detected neutrons in one sometimes two of the three detectors but only once during N hours of the experiment did they detect a <unk> burst in all three detectors and they think that was a <unk> event
 <unk> <unk> of los <unk> national laboratory said researchers there detected a burst of neutrons from an early cold fusion experiment last april but decided not to announce it until they could confirm it
 in subsequent experiments one of two <unk> detectors occasionally indicated a burst of neutrons but <unk> bursts were never recorded in both detectors at the same time
 they concluded the indications of neutrons stemmed from <unk> in the detectors rather than from the cold fusion experiment
 at the lawrence berkeley laboratory in california new experiments indicated that the <unk> added to the heavy water so it will conduct a current can produce previously <unk> electrical effects on the surface of the palladium rod which messrs. fleischmann and pons might have <unk> reported philip ross from the california laboratory
 dow jones & co. announced wall street journal advertising rates for N
 the rates which take effect jan. N include a N N increase for national edition advertising
 the journal also will offer expanded volume and frequency discounts
 the increase for national edition advertising is less than the inflation rate and compares with a N N increase in N
 newsprint and <unk> prices this year have not gone up said peter r. <unk> president of dow jones
 we have invested in improved editorial quality and expanded our quality audience without substantially increasing our costs
 fundamental fairness and a sense of responsibility lead us to share operating <unk> with our customers
 advertising rates for the eastern midwest western and southwest editions will increase an average N N and rates for <unk> advertising editions will increase N N
 rates for the wall street journal reports will remain unchanged
 a one-time <unk> <unk> <unk> in the wall street journal national edition will cost $ N
 advertising rates for the wall street <unk> published in brussels and printed in the netherlands and switzerland will increase N N
 rates for the asian wall street journal published and printed in hong kong and also printed in singapore and tokyo will rise N N
 rates for the asian wall street journal weekly published in new york for north american readers will rise N N
 dow jones also publishes barron 's magazine other <unk> and community newspapers and operates electronic business information services
 it owns N N of telerate inc. a leading supplier of computerized financial information on global markets
 reflecting the impact of lower semiconductor prices and cuts in defense spending texas instruments inc. said third-quarter net income fell N N and sales dropped slightly from a year earlier
 net fell to $ N million or N cents a common share from $ N million or $ N a share a year ago
 sales fell N N to $ N billion from $ N billion
 for the nine months the electronics and defense concern had net of $ N million or $ N a share down N N from $ N million or $ N a share in the year-ago period
 sales were $ N billion up N N from $ N billion
 jerry <unk> chairman president and chief executive officer said sluggish <unk> sales reduced demand for semiconductors
 that coupled with lower semiconductor prices and higher <unk> expense contributed to the decline in sales and profit
 in addition cost increases related to fixed-price defense contracts and a $ N million charge to reduce the work force of texas instruments ' <unk> division also reduced net
 however the quarter results included $ N million in royalty income from patent licenses up from $ N million in the year-earlier period
 the nine months include $ N million of royalty income up from $ N million last year
 mr. <unk> was n't optimistic about the short-term outlook <unk> that further <unk> reductions may be needed
 we expect near-term <unk> in the electronics market he said and we will take ongoing <unk> actions as necessary to keep operations aligned with demand
 further he said an internal reorganization to combine several divisions into the information technology group is expected to affect fourth-quarter results by an undisclosed amount
 lynch corp. said its lynch telephone corp. subsidiary completed the acquisition of western new mexico telephone co. for $ N million plus assumption of $ N million of debt
 western new mexico telephone silver city had net income of $ N million on revenue of about $ N million last year
 it is an independent phone company with a service area of N square miles in southwest new mexico
 it is also a partner in the <unk> cellular franchise covering most of western new mexico
 the transaction represents lynch 's entry into the telephone business
 the company which has interests in television trucking services and <unk> and <unk> equipment said it plans to make other acquisitions in the telephone industry
 nelson <unk> hunt 's attempted corner on silver a decade ago is still <unk> the market in this metal
 silver now trading around $ N an ounce surged to an <unk> peak of $ N an ounce in january N from around $ N in <unk>
 mr. hunt 's attempt to squeeze the silver market N years ago is still indirectly to blame for today 's market depression says <unk> edgar managing director of <unk> <unk> ltd. london bullion brokers
 while some N million ounces of silver once held by mr. hunt and middle eastern associates are n't hanging over the market anymore the price surge of N <unk> an expansion of mine production and scrap recovery and encouraged silver consumers to <unk> on silver use mr. edgar says
 photographic developers for example bought equipment to recover silver from spent photographs <unk> and processing solutions
 meanwhile the photographic industry which accounts for N N of silver consumption continues to look for <unk>
 japanese and u.s. photographic firms are beginning to produce electronic cameras and <unk> that do n't require silver dealers say
 silver 's history of volatility is also discouraging investors dealers say
 even in the present uncertain investment climate investors are <unk> quality assets such as treasury bills and bonds to gold silver and platinum dealers say
 although prices rallied briefly following the tumble on world stock markets earlier this month and the related decline of the dollar precious metals are out of favor for the moment because of high interest rates and a determination by industrial nations to curb inflation dealers say
 silver however is in a deeper slump than are gold and platinum
 some analysts contend that silver is cheap now that prices are <unk> at levels last seen in the mid-1970s
 bargain <unk> believe that silver offers the best value <unk> precious metals says frederick r. demler analyst at drexel burnham lambert inc
 a further decline in prices will lead to mine production cuts in the u.s. he says
 scrap merchants are converting smaller quantities of metal into silver while low prices are discouraging exports from india and the soviet union
 silver prices could also be boosted by strikes in leading producing nations peru and mexico mr. demler says
 meanwhile total fabrication demand for silver has risen six years in a row he says
 japanese demand grew by N N in the first half of this year and the nation plans an issue of a silver <unk> coin that will require N million ounces
 compared with huge annual surpluses of more than N million ounces in the first half of the 1980s world silver supplies and consumption are now nearly in balance mr. demler says
 despite <unk> rallies in the past few years improvements in the <unk> balance have n't managed to push silver prices into a higher range
 there 's just too much silver around says tom butler an analyst at samuel <unk> & co. a london bullion house
 a huge silver <unk> at exchanges refiners <unk> industries and government warehouses of at least N million ounces is the market <unk> says shearson lehman hutton inc. in a report
 this year alone inventories at the commodity exchange of new york jumped by a staggering N million to N million ounces because of producer deliveries <unk> by <unk> and sales by <unk> investors says <unk> o'connell london-based precious metals analyst at shearson lehman hutton
 silver production is also in an <unk> upward trend ms. o'connell says
 moreover while asian and middle eastern investors <unk> gold and help <unk> its price silver does n't have the same <unk> dealers say
 investors have gotten burned on silver so often that they are far more partial to gold says <unk> <unk> senior vice president at union bank of switzerland
 yet if gold prices improve silver prices could rally sharply he says
 however dealers caution that any increase would be $ N to $ N at most
 looking ahead to other commodity markets this week
 livestock and <unk>
 analysts expect the prices of live cattle futures contracts to rise in trading today in the wake of a government quarterly census that found <unk> cattle on feedlots
 after the close of trading friday the agriculture department reported that feedlots in the N biggest ranch states held N million cattle on oct. N down N N from that date a year earlier
 most analysts had expected the government to report a N N decline
 feedlots <unk> young cattle for <unk> so a decline signals a tightening supply of beef
 the government reported that the number of young cattle placed on feedlots during the quarter dropped N N compared with the year-earlier quarter
 many industry analysts had been projecting a N N decline in <unk> for the quarter
 in the N quarter many farmers were forced to sell their cattle to <unk> operators because the drought <unk> out the <unk> on their <unk>
 the number of cattle moving onto feedlots in the recent quarter was also lower because <unk> cattle is less profitable
 a shortage of young cattle has made them more expensive for <unk> operators to buy
 the agriculture department also said that the number of <unk> cattle <unk> in the quarter dropped by N N from the N quarter which was in line with projections by analysts
 energy
 friday 's <unk> price drop to $ N in the <unk> november contract for west texas intermediate crude may well set the tone for trading this week in petroleum futures on the new york mercantile exchange
 most traders and analysts attributed the decline to technical factors associated with the contract 's going off the board
 others said that the drop continued the downward correction that 's been due in the petroleum pits and that such a trend could well continue in the next several trading sessions
 barring any <unk> news events trading in the days ahead should further test recent projections by oil economists and other market watchers that strong fourth-quarter demand will keep prices firm
 copper
 copper prices fell sharply friday afternoon
 for example copper for december delivery settled N cents lower at $ N a pound
 pressure came from several developments including the settlement of two long-term strikes
 on friday one analyst said <unk> workers ratified a new labor agreement ending a three-month strike at the highland valley mine in british columbia
 in mexico the analyst added employees at the cananea mine who have been out of work since late august when the mine was declared bankrupt by the government accepted a N N cut in the <unk> work force
 the mine is expected to return to production in about a week
 on friday selling dominated the afternoon curb session in london which takes place at noon edt
 the premium of cash copper to the three-month forward offerings narrowed indicating weaker demand for cash copper
 long-term support for the december contract was believed to be at $ N a pound
 a technical analyst said there were a number of stop-loss orders under that level that were touched off when the contract 's price fell below it
 that brought in considerable fund selling which continued until the close of trading
 in general it was a bearish close said ben <unk> a copper trader at rudolph <unk> & co. a major commodities trading and brokerage firm
 but whether this price break has implications for this week he said we will know more when the london metal exchange copper stock levels are released monday morning
 another analyst said he expected <unk> inventories to be down by about N tons when the weekly report is issued
 bernard savaiko senior commodities analyst at painewebber inc. said that when traders saw the market was n't reacting <unk> to the forecasts of lower <unk> stocks they perceived a bearish sign
 he also noted that the japanese who had been buying at prices just above the $ N level apparently pulled back from the market on friday
 mr. savaiko said he sees a possibility of the december contract dropping to $ N a pound
 hewlett-packard co. will announce today a software program that allows computers in a network to speed up computing tasks by sending the tasks to each other
 called task broker the program acts something like an <unk> among a group of computers <unk> together
 if a machine has a big computing task task broker asks other computers in the network for bids on the job
 it then <unk> which machine is free to do the task most quickly and sends the task to that machine
 hewlett-packard claims that the software allows a network to run three times as many tasks as conventional networks and will run each task twice as fast
 the new hewlett-packard program said analyst john <unk> at <unk> research inc. a <unk> research company is a key building block as people move to this new model of distributed processing
 in today 's computer networks some machines often sit idle while others are <unk>
 with the hewlett-packard program he said you get more bang for the buck you 've spent on computers
 the program which will be shipped in january N runs on the unix operating system
 hewlett-packard will charge $ N for a license covering N users
 the program now works on all hewlett-packard and <unk> workstations and on computers made by <unk> computer inc. of <unk> conn
 hewlett-packard said it will sell versions later next year that run on sun microsystems inc. and digital equipment corp. machines
 the task broker <unk> from other programs that spread computing tasks around a network
 a previously available program called network computing system developed by hewlett-packard 's <unk> division for instance takes a task and <unk> it up into parts <unk> up those parts to several computers in a network for simultaneous processing
 but programs in individual computers must be revised in order to work with that system
 applications wo n't have to be <unk> to work with task broker hewlett-packard said and the user of a computer wo n't be able to tell that another machine is doing the work
 the task broker turns that network into as far as the user is concerned one giant computer said bill <unk> general manager of hewlett-packard 's workstation group
 price wars between the fast-food giants are starting to <unk> the fast-food little guys the franchisees
 when <unk> start fighting <unk> get killed says murray <unk> <unk> of national restaurants a new york franchisee for pizza hut roy rogers and other chains
 as <unk> and pizza outlets <unk> one area after another franchisers are struggling desperately for market share slashing prices and stepping up costly promotions
 the fight is putting a tight squeeze on profits of many threatening to drive the smallest ones out of business and <unk> relations between the national fast-food chains and their franchisees
 the chains used to offer discounts during winter when business was slow but in the last year or so discounting has become a 12-month thing says donald <unk> president of <unk> group inc. a new york franchisee of grand metropolitan plc 's burger king chain
 though <unk> 's sales are up slightly this year mr. <unk> says profits will be flat or lower
 and bill <unk> a <unk> ariz. <unk> of mcdonald 's corp. who is chairman of the company 's national operators advisory board says some fast-food outlets could be in serious trouble based on the amount of discounting that seems to be going on
 until recently the huge fast-food industry with sales of about $ N billion last year kept <unk> to a minimum
 but early this year pepsico inc. 's <unk> bell unit and wendy 's international inc. slashed prices and stepped up promotions says john <unk> an analyst for wertheim schroder & co
 that brought a chain reaction in the industry
 the situation was further <unk> early this month when mcdonald 's set plans to heat up the discounting by offering coupons
 it also decided to go national with pizza which it has been <unk>
 now <unk> deals on pizza are common so are <unk> <unk> on <unk> normally priced twice as high
 the discounting say fast-food operators occurs on a scale and with a frequency they have n't seen before
 the result is that some franchisees are running hard just to stay even laying off middle managers and working harder to make less
 joe mack a district manager for <unk> enterprises inc. a burger king operator in omaha neb. says discounting is so <unk> that we have to serve N N to N N more customers to keep sales level
 it 's almost as if you 're doing extra work to give away the food he says
 alan <unk> president of <unk> 's inc. an operator of arby 's restaurants in omaha says all we 're doing is keeping the customers coming but we are n't increasing sales
 with fast-food outlets on every corner he like many does n't think he has a choice in the price war our customers say that they wo n't go into a fast-food store unless they get a coupon
 if the battle continues much longer many fast-food businesses will close or merge predicts vincent <unk> who owns a string of kentucky fried chicken stores in the midwest
 the industry is overbuilt he says
 fast-food franchisers have managed to squeeze in stores into every corner available
 the national restaurant association says <unk> restaurant units in the u.s. rose N N to N between N and N the last year for which figures are available
 with the market so crowded says a spokesman for wendy 's in columbus ohio if you 're doing well you 're doing well at someone else 's expense
 simply put there is n't enough business for every store to grow
 according to mr. <unk> inflation-adjusted <unk> sales at company-owned wendy 's units in the u.s. have trailed year-earlier levels throughout N except for august
 mcdonald 's has also been running negative all year the analyst says
 spokesmen for wendy 's and mcdonald 's criticized mr. <unk> 's calculations
 jack greenberg executive vice president and chief financial officer of mcdonald 's says the company does n't <unk> much less disclose inflation-adjusted <unk> sales
 he adds that short-term comparisons can be very misleading because of differences in timing of marketing programs from year to year
 profit margins at company-owned mcdonald 's outlets in the u.s. are holding up quite <unk> says mr. greenberg
 profits of franchisees have n't been higher since the mid-1970s he adds
 but mr. greenberg 's <unk> outlook is n't matched by many fast-food industry observers
 smaller chains and <unk> operators will be the first to fail many in the industry predict
 big franchise groups can ride out the storm a lot longer says mr. <unk> the burger king operator in new york
 the prolonged price pressures are driving a wedge between some franchisers and their franchisees
 mr. <unk> the kentucky fried chicken franchisee notes that most franchise owners must absorb increases in expenses without any cut in the royalties or portion of sales that they must pay franchisers
 franchisees ca n't be forced to go along with a <unk> 's discounting
 but once a franchisee agrees to a promotional program the <unk> can demand full participation to the very end says <unk> <unk> a principal of <unk> & <unk> a chicago law firm with franchise industry clients
 he says courts have held that antitrust considerations are <unk> in such cases by the need to protect consumers from deceptive marketing
 in any case many franchisees in order to stay on good terms with franchisers routinely go along with promotions
 says mr. <unk> of national restaurants if you resisted on prices maybe you would never get that telephone call about a new franchise
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 <unk> co. said it completed a $ N million sale of assets from its los angeles area real estate portfolio for net income of $ N million
 <unk> said the sale is part of its previously announced plan to sell much of its real estate holdings to focus on its core business of mining and producing <unk> concrete rock and sand
 and you thought the only reason to save your canceled checks was to prepare for an irs audit
 <unk> jackson the retired baseball star has found another use for them
 mr. jackson who won the <unk> mr. october for his world series <unk> is selling some of his canceled checks to <unk> collectors through a dealer for as much as $ N each
 dealers say the <unk> trade in mr. jackson 's canceled checks is unusual
 i do n't know of any living <unk> that 's ever done it says jack <unk> a dealer in <unk> iowa and a recognized expert in the field of baseball <unk>
 an initial batch of mr. jackson 's checks was on sale at a <unk> show held in san francisco over labor day weekend
 mr. jackson showed up at the affair to sign <unk> for a fee as well
 for someone who has everything else <unk> 's jersey cap and cards his checks might be a nice addition says william <unk> owner of bill 's sports <unk> in denver who examined the checks at the san francisco card show
 for years the canceled checks of a small number of well-known baseball players have been bought and sold
 but these players were dead
 maybe three years ago there were a lot of <unk> <unk> in the <unk> and <unk> back there were <unk> ruth checks says mr. <unk>
 however the thought of a living player selling his checks <unk> some people the wrong way
 maybe i 'm a little <unk> but i would n't sell them <unk> bob <unk> owner of <unk> 's sports cards in menlo park calif
 who knows how much they 'll be worth N years from now
 and mr. <unk> does n't believe they 're worth all that much now
 i do n't think the checks are worth $ N apiece he says
 why mr. jackson who could n't be reached for comment has made some of his checks available for sale is n't clear
 he probably has n't done it for the cash
 i would say he 's definitely not in need of money says <unk> <unk> an agent of mr. jackson 's based in new york
 he has good investments
 and mr. jackson probably has opened new checking accounts too
 or at least he should
 i assume those accounts are closed says mr. <unk> referring to the accounts of the canceled checks
 i do n't think he 'd want to give out his current account numbers
 usx corp. and its japanese partner kobe steel ltd. agreed to form a joint venture to build a new plant to produce hot-dipped galvanized sheet products mainly for the automotive market
 terms were n't disclosed for the plant which will have annual capacity of N tons
 the move by the nation 's largest steelmaker follows a string of earlier announcements by other major steel companies
 bethlehem steel corp. ltv corp. and armco inc. all have plans to build additional lines for such coated <unk> steel
 the surge in production analysts say raises questions about capacity <unk> demand
 they note that most of the new plants will come on line in N when the current import trade restraint program ends which could result in more imports
 there 's too much capacity contended charles bradford an analyst with merrill lynch capital markets
 i do n't think there 's anyone not building one
 he does add however that <unk> japanese car makers are boosting the levels of <unk> steel in their autos instead of relying heavily on imported steel
 that trend could increase demand for hot-dipped galvanized sheet
 the hot-dipped galvanized segment is one of the fastest-growing and most profitable segments of the steel market <unk> by all major integrated steelmakers wanting to maintain an edge over smaller minimills and <unk> mills those spun off to employees
 indeed usx said it expects the market for coated sheet steel to reach N million tons annually by N compared with N million tons shipped in N
 for the first eight months of N analysts say shipments of hot-dipped galvanized steel increased about N N from a year earlier while overall steel shipments were up only N N
 usx and kobe steel hope to reach a definitive agreement establishing the N partnership by the end of the year with construction tentatively slated for the spring of N and production by N
 usx already has six lines in existing plants producing hot-dipped galvanized steel but this marks the first so-called <unk> plant for such production
 moreover it will boost by N N usx 's current hot-dipped capacity of N tons
 the company said it does n't expect the new line 's capacity to <unk> affect the company 's existing hot-dipped <unk> lines
 steelmakers have also been adding capacity of so-called <unk> steel which is another way to make coated <unk> steel
 one of the advantages of the hot-dipped process is that it allows the steel to be covered with a <unk> <unk> of <unk> more quickly
 once you make up your mind about an investment the rest is easy right
 you just call your broker and say buy or sell
 dream on
 there are all sorts of ways to give buy and sell instructions to a broker and just as many ways to get burned if you do n't know what you 're doing
 so here 's a <unk> of the most common types of market orders permitted by the stock and commodity exchanges
 two things to keep in mind not all exchanges accept every type of order
 and even when a specific order is acceptable to an exchange a brokerage firm can refuse to enter it for a customer
 market order this is probably the most widely used order and the one most open to abuse by unscrupulous floor brokers since it imposes no price restrictions
 with a market order an investor tells a broker to buy or sell at the market
 it 's like saying get me in now or get me out now
 for example if wheat is being offered at $ N and bid at $ N a market order to buy would be filled at the higher price and a market order to sell at the lower price
 a recent indictment alleges that some floor brokers at the two largest chicago commodity exchanges used market orders to fill customers ' orders at unfavorable prices by arranging trades with fellow brokers
 profits realized from these trades would then be shared by the conspiring brokers
 limit order limit orders are used when investors want to restrict the amount they will receive or pay for an investment
 investors do this by <unk> a minimum price at which the investment may be sold or the maximum price that may be paid for it
 <unk> an investor wants to sell a stock but not for less than $ N
 a limit order to sell could be entered at that price
 one risk investors may regret the restriction if the stock reaches N and then falls
 unless the market goes at least one <unk> the smallest price <unk> permitted beyond the limit price investors are n't assured of having their orders filled because there may not be sufficient trading volume to permit filling it at the specified price
 stop order stop orders tell a floor broker to buy or sell an investment once the price reaches a certain level
 once the price reaches that level a stop order turns into a market order and the order is filled at whatever price the broker can get
 stop orders are sometimes called stop-loss orders because they are frequently used to protect profits or limit losses
 while stop orders sound similar to limit orders there is a difference sell stops must be entered at a price below the current market price and buy stops above
 in contrast sell limit orders must be placed above the market price and buy limit orders are placed below
 the crash in october N and last friday 's sell-off painfully taught some investors exactly what stop orders will and wo n't do
 an investor who may have placed a stop-loss order at $ N under a stock that was trading at $ N a share on the friday before the crash was stunned to discover that the order was filled at $ N when the stock opened at that price on monday
 <unk> order <unk> orders turn into limit orders when an investment trades at the price specified in the order
 unlike stop orders which are filled at the market price when the stop price is hit <unk> orders demand that the trades be made only at the specified price
 if it ca n't be made at that price it does n't get filled
 investors who wish to be out of a position without the risk of receiving a <unk> price from a market order may use this type of order to specify the price at which the order must be filled
 but if the market moves quickly enough it may be impossible for the broker to carry out the order because the investment has passed the specified price
 <unk> order <unk> orders are like stop orders in that they become market orders if a specified price is reached
 however unlike a <unk> order a buy <unk> order is entered at a price below the current price while a sell <unk> order is entered at a price above it
 as soon as the market trades at the specified price the floor broker will fill it at the best possible price
 <unk> order the <unk> order is one of several associated with the timing of trades
 it <unk> a broker to buy or sell an investment at the specified price or better
 but if the investment ca n't be bought or sold immediately the order is automatically canceled
 gregory <unk> who came in second in the stock division of the recently completed u.s. trading championship says he uses <unk> orders almost exclusively when trading options
 i like to use them to feel out the market he says
 if they do n't fill it immediately then i can start over at a new price or try again with the same price
 <unk> order this is another timing order
 it is a market order that allows floor brokers to take more time to buy or sell an investment if they think they can get a better price by waiting
 <unk> orders which are also known as <unk> the tape orders are always done at the customer 's risk
 <unk> order this is really two orders in one generally for the same security or commodity <unk> floor brokers to fill whichever order they can first and then cancel the other order
 in a <unk> market it prevents an investor from getting stuck with having made two trades on the same security
 <unk> order this type of order couples many of the orders described above with instructions that the order must be carried out at or by a certain time
 on the close can be added to many types of orders
 for example <unk> orders must be filled during the last few minutes of trading for the day at a price that is within the official closing range of prices as determined by the exchange
 <unk> orders are stop orders that only become active during the closing minutes of trading
 day orders expire at the end of the day on which they are entered <unk> orders have no expiration date
 most brokers assume that all orders are day orders unless specified otherwise
 on oct. N N some investors learned the consequences of entering <unk> limit orders and then <unk> about them
 they found they had bought stock from limit orders that they might have entered weeks or months earlier and had forgotten to cancel
 it is always the responsibility of investors to keep track of the orders they have placed
 investors who change their mind about buying or selling after an order has been filled are usually stuck with the consequences
 mr. <unk> writes on the options and commodities markets for the wall street journal
 in <unk> up the risks of stock-market investments there 's probably no starting place better than beta
 but investors better not ignore its limitations either
 beta is a handy gauge that measures the volatility of a stock or stock mutual fund
 for any given move in the overall market it suggests how <unk> that particular issue might rise or fall
 beta figures are widely available and easy to interpret
 the beta of the broad market typically defined as the standard & poor 's 500-stock index is always N
 so a stock with a beta of N is half as volatile one at N is N N more volatile and so on
 cautious investors should generally go with stocks that have low <unk>
 go with <unk> stocks to get the biggest <unk> from a bet on a bull market
 remember though that beta also has important limitations
 beta is only part of the risk in a stock says william f. <unk> the stanford university <unk> professor who developed the measure
 there is risk that is not associated with market moves and the beta does n't tell you the magnitude of that
 in particular beta does n't measure the company and <unk> risk associated with an individual stock
 that business risk is very significant for an investor with only a few stocks but it virtually disappears in a large and <unk> portfolio
 beta is also a poor indicator of the risk in stock groups that march to their own <unk>
 in particular the prices of gold and other <unk> stocks shoot up and down but the stocks tend to have low <unk> because their moves are not <unk>
 concern that investors could <unk> such <unk> led the american association of individual investors to eliminate beta figures for <unk> funds in the N edition of its mutual-fund guide
 our fear was people would look just at the beta of a gold fund and say here is an investment with very low risk says john <unk> director of research for the chicago-based group
 in reality it 's very volatile but the movements are not because of market movements
 ready to review the <unk> of your investment portfolio
 first a pop <unk>
 when you think of the words risk and investment what 's the specific <unk> that comes to mind
 pencils down
 if you 're like most people you said it 's a holding that goes completely sour maybe a bond that defaults or a stock whose value disappears in a bankruptcy proceeding
 people tend to see risk primarily on that one <unk> says timothy <unk> national director of personal financial planning for accountants deloitte haskins & sells
 but <unk> lies another aspect of investment risk the hazard of shaping your portfolio to avoid one or more types of risk and being <unk> by others
 this is clearly not good news to all you people who sleep like <unk> every night <unk> by <unk> of your money sitting <unk> in six-month cds
 risk wears many <unk> and investments that are low in one type of obvious risk can be <unk> high in other less obvious kinds
 u.s. treasury bonds for example are <unk> when it comes to returning money at maturity
 but their value as investments can be <unk> by inflation which <unk> the purchasing power of bonds ' <unk> interest payments
 risk is also a function of time
 when financial professionals measure risk <unk> they usually focus on the volatility of short-term returns
 stocks are much riskier than treasury bills for example because the range in performance from the best years to the worst is much wider
 that is usually measured by the standard deviation or divergence of annual results from the average return over time
 but investors who are <unk> with short-term fluctuations may be paying too little attention to another big risk not generating enough money to meet long-term financial and <unk> goals
 for instance some investors have sworn off stocks since the N market crash last friday 's debacle only reinforced those feelings
 but the stock market despite some <unk> declines has far outperformed other securities over extended periods
 by retreating to the apparent security of say money-market funds investors may not be earning enough investment return to pay for a comfortable retirement
 that 's the biggest risk of all the risk of not meeting your objectives says steven b. <unk> a new york financial planner with seidman financial services
 as a result financial advisers say they take several steps when evaluating the <unk> of clients ' portfolios
 they estimate the return a person 's current portfolio is likely to generate over time along with a standard deviation that suggests how much the return will vary year by year
 they try to figure out the long-term results the person needs to meet major goals
 and they <unk> types of risk that are not easily <unk>
 the portfolios of two hypothetical families one a couple at retirement age and another a <unk> couple at age N illustrate several types of risk that investors need to consider
 for instance the insured municipal bonds that dominate the older couple 's portfolio were probably selected in large part for their low repayment risk
 but they <unk> the holders to a lot of inflation risk and interest-rate risk
 the younger couple 's <unk> involve more risk than a diversified stock portfolio because the bulk of the money is in a single issue
 note that the younger couple 's portfolio has a higher expected annual return N N vs. N N as calculated by seidman financial services which is the <unk> affiliate of <unk> seidman
 that largely reflects the heavy <unk>
 but one price paid for the higher expected return is greater short-term volatility as reflected in the higher standard deviation that seidman estimates for the younger couple 's portfolio
 here 's how to interpret a standard deviation figure take the expected return and add one standard deviation to it
 then take the expected return and <unk> one standard deviation
 in two of three years the actual result should fall within that range if all the assumptions were accurate
 then add and <unk> two standard <unk> to get a wider range
 there 's a N N probability any year 's result will fall in the range
 of course the greater volatility of the younger couple 's portfolio does n't necessarily mean those investments are riskier in terms of meeting the holders ' long-term goals
 indeed the older couple 's portfolio could actually be riskier in that sense if the expected return wo n't generate enough dollars to meet their spending plans
 they may feel <unk> secure now because they are not heavily in the stock market says john h. <unk> a financial planner with <unk> armstrong <unk> inc. in washington
 but they may pay a price N or N years in the future
 ms. <unk> reports on personal finance from the wall street journal 's new york bureau
 when it comes to investing trying to weigh risk and reward can seem like throwing <unk> <unk> investors do n't know the actual returns that securities will deliver or the ups and <unk> that will occur along the way
 looking to the past can provide some clues
 over several decades for instance investors who put up with the stock market 's gyrations earned returns far in excess of those on bonds and cash investments like treasury bills
 but while history can suggest what is reasonable to expect there 's no guarantee that the past will repeat itself
 for instance some analysts believe bond returns and volatility have moved permanently closer to those of the stock market
 and returns on cash investments may continue to exceed inflation by a wider margin than they did over the long-term past
 portfolio a retired couple age N $ N portfolio
 portfolio b <unk> couple age N $ N portfolio
 a letter from senator john kerry <unk> us today for <unk> that he had <unk> on manuel noriega
 he <unk> says he has been down on noriega for some time hence his criticism of administration <unk> of the attempted coup
 our october N editorial should have been more precise
 it meant to convey our hope that the senator and other members of the congressional left are <unk> their dislike of noriega to include other notorious central american drug <unk>
 the sandinistas of nicaragua for example also are part of the <unk> <unk> <unk>
 in his letter and on the basis of his losing vote tuesday against u.s. aid for the nicaraguan opposition senator kerry makes clear he has not made that intellectual leap
 we were wrong
 throughout the 1980s investors have been looking for creative alternatives to traditional <unk> of financial planning
 capital has been <unk> and people want in
 too often however small investors are left with the same <unk> solutions that appealed to previous generations of fiduciary strategists
 now a startling new approach is available to building your financial portfolio without <unk> risk without extensive planning and without hurting your life style one bit
 this is particularly good news for those who hate risk who are <unk> of doing extensive amounts of planning and who refuse to see their life styles hurt in any way
 you know who you are
 my revolutionary system is also useful for those who have tried <unk> forms of growing their currency cushion
 like all americans seeking <unk> prosperity i do find it necessary to plunge certain funds into conservative monetary tools if only to <unk> my <unk> who believes in such things
 so throughout the decade i have maintained my share of individual retirement accounts and cds and <unk> with stocks bonds and mutual funds as well as preserving my necessary position in the residential real-estate market
 return on this fine portfolio has been modest when it has not been negative
 figure N demonstrates the performance of those businesses i 've invested in during this <unk> decade see accompanying illustration wsj oct. N N
 <unk> properties suffered a huge decline until i <unk> myself of all such stocks in N at which point the industry while not lighting up any christmas trees began a slow recovery
 likewise mutual funds remained relatively flat until i made what was for me a serious investment
 by N these properties were in a tailspin causing my broker at <unk> to remark that she 'd never seen anything like it
 concerned for her state of mind i dropped them and the market instantly began its steady climb back to health
 perhaps most dramatic was the performance of the metropolitan new york real-estate market which was booming until i entered it in late N at which time it posted the first negative compound annual growth rate in years
 <unk> i cast around for a different way to plan my asset distribution and with hardly any heavy breathing the answer struck me i was doing it already
 we 've all got money to spend some of it clearly disposable since we keep <unk> of it
 bank it
 not really
 <unk> it away in long-term instruments
 nonsense
 daily living is the best possible investment
 your priorities may be different but here in figure N is where i 've chosen to build for the future personal space automotive <unk> children 's toys <unk> equipment <unk> and <unk> and finally entertainment perhaps the best investment of all
 all have paid off for me in double-digit annual growth and continue to provide significant potential
 at least according to my calculations
 personal space figure N has grown N N annually over the course of the decade a performance that would compare <unk> with an investment in say <unk> products for the <unk> of <unk> vehicles which my <unk> got into and sort of regrets to this day
 the <unk> of expensive children 's toys that i have purchased <unk> at a host of <unk> brokerage firms figure N has increased <unk> in total asset value far beyond any personal investment except perhaps for my record collection whose worth i think it 's safe to say is <unk>
 continued investment in my N <unk> has been part of my strategy figure N with present annual contributions now equaling more than N N of the car 's original value
 according to my calculations these outlays should have brought the value of my sedan to more than $ N on the open market figure N where i plan to offer it shortly
 expansion of my living space has produced an obvious need for maintenance and construction of suitable <unk> <unk> and <unk> <unk> to its suburban <unk>
 i have thus committed sufficient personal <unk> to ensure that my grounds and <unk> will never be short of greens and flowers
 my initial stake in this <unk> enterprise has grown tenfold according to my conservative calculations
 at the same time my share in a wide variety of entertainment <unk> has given perhaps the most dramatic demonstration of the benefits of creative personal financial planning
 over the course of the decade for instance my return on investment in the area of <unk> alone figures <unk> and <unk> has been most impressive showing <unk> annual expansion with given the way my associates play no sign of <unk> into the 1990s and beyond
 with this personal strategy firmly in place i look forward to years of fine <unk> investments and increasing widespread leverage
 my kids ' college education looms as perhaps the greatest future opportunity for spending although i 'll probably have to cash in their toy portfolio to take advantage of it
 but with every step i take i 'm building wealth
 you can too if you like me refuse to <unk> the bullet
 so go out there and eat that debt
 you 're right there in the mainstream of american business building value on the back of <unk> expenditures
 henry kravis watch out
 mr. schwartz is a business executive and writer in new york
 when james schwartz was just a <unk> his father gave him a piece of career advice
 he told me to choose an area where just by being <unk> i could be great recalls mr. schwartz now N
 he tried management consulting traded in <unk> for a while and even managed professional <unk>
 now he has settled into a career that fits the bill financial planning
 it should be noted that mr. schwartz who operates out of <unk> colo. is a <unk> sort who likes to give his colleagues the <unk>
 but in this case the <unk> has a very sharp point
 though it 's probably safe to assume that the majority of financial planners are honest and even reasonably competent the fact remains that as one <unk> puts it anybody who can <unk> a mirror can call himself a financial planner
 planners now influence the investment of several hundred billion dollars but in effect they operate in the dark
 there is no effective regulation of planners no accepted standard for admission into their ranks a dog got into one trade group no way to assess their performance no way even to know how many of them there are estimates range from N to N
 all anyone need do is hang up a <unk> and start planning
 so it should come as no shock that the profession if that 's what it is has attracted a lot of people whose principal <unk> seem to be <unk> away or <unk> stealing their clients ' money
 alarmed state and federal authorities are trying to devise ways to <unk> and regulate planners
 industry groups and reputable planners who are members of them want comprehensive standards too they 're tired of seeing practitioners <unk> <unk> in the business press as <unk> than <unk> and <unk> than a <unk> of <unk>
 but reform has n't taken hold yet
 the industry is still pretty much in its wild west days says scott <unk> director of investor education for the north american securities administrators association
 an <unk> limited survey by <unk> whose members are state <unk> regulators found that between N and N fraud and abuse by financial planners cost N investors $ N million
 the <unk> ' gallery of planners involved includes some convicted <unk> a <unk> <unk> or two various businessmen who had planned their own previous ventures right into bankruptcy and one man who <unk> his wife 's <unk>
 what 's more the losses they and the others caused are just what we are <unk> over says mr. <unk> adding that the majority of <unk> probably go <unk>
 so do just about all the losses that could be attributed to the sheer <unk> of <unk> planners
 nobody can estimate the toll but john <unk> a tampa fla. planner and head of one trade group the international association of registered financial planners thinks the danger to investors from <unk> is <unk> far greater than that from <unk>
 his group like others wants minimum standards applied to all who call themselves financial planners
 <unk> all this some people now think the best planner might be no planner at all
 for most investors the benefits just are n't worth the risks says barbara roper who follows <unk> issues for the consumer federation of america a <unk> organization based in washington
 she concedes that such a position is unfair to the thousands of <unk> and qualified people <unk> the trade but as a consumer advocate she feels <unk> to take it
 she says her group used to give tips on <unk> planners check educational and experience credentials <unk> regulators and better business bureaus but found that even some people who took these steps were still getting <unk> off
 the bad news however has n't been bad enough to kill the growing demand for financial planning
 the tax reform act of N which eliminated many tax shelters <unk> by planners and the stock market crash the next year did cause a sharp slump in such demand and many planners had to make an <unk> exit from the business
 but membership in the international association of financial planners iafp the industry 's biggest trade group is still nearly triple what it was in N and it 's believed that the ranks of planners who do n't belong to any group have soared as well
 an estimated N million americans are now using financial planners and the pool of capital they influence is enormous
 a survey of N of them conducted by the iafp in april showed that these practitioners alone had controlled or <unk> the investment of $ N billion of their clients ' money in the previous N months
 the sheer number of planners makes the business extremely difficult if not impossible to regulate
 even the minority of them who must register with the securities and exchange commission as investment advisers people who are in the business of counseling others on the buying and selling of securities specifically have been enough to <unk> the agency 's capacity
 the sec has only about N staffers assigned to keep <unk> on investment advisers about the same as in N even though the number of advisers has tripled to about N over the past decade
 currently a registered investment adviser can expect an sec audit only once every N years
 a lot of bad things can happen in N years
 it does n't take a rocket scientist to figure out our problem says <unk> <unk> director of the sec 's division of investment management
 so the sec has proposed to congress that much of the job of oversight be turned over to an <unk> <unk> organization <unk> on the national association of securities dealers which operates in the brokerage business
 such an organization could among other things set minimum standards for <unk> ethics and finances and punish those investment advisers who broke the rules
 the proposal has set off a <unk> debate within an industry that was far from united to begin with
 mr. schwartz the <unk> planner from <unk> colo. says that allowing the business to police itself would be like putting <unk> in charge of the blood bank
 mr. <unk> the tampa planner who heads one trade group favors simply assessing the industry and giving the money to the sec to hire more staff
 mr. <unk> 's views are not greeted with wild enthusiasm over at the iafp the major industry organization
 when the iafp recently assembled other industry groups to discuss common standards that might be applied to planners mr. <unk> 's group was excluded
 that may be because mr. <unk> <unk> at what he considered <unk> on his membership standards made by the rival group <unk> his dog <unk> as a member of the iafp
 then he sent the <unk> 's picture with the certificate of membership it was made out to <unk> <unk> <unk> to every newspaper he could think of
 the states have their own ideas about regulation and <unk>
 <unk> the organization of state securities regulators is pushing for a model regulatory statute already adopted in eight states
 it requires financial planners to register with states pass <unk> tests and reveal to customers any conflicts of interest
 the most common conflict involves compensation
 <unk> estimates that nearly N N of planners receive some or all of their income from sales commissions on securities insurance and other financial products they recommend
 the issue is the planner putting his clients into the best investments or the ones that <unk> the biggest commissions
 in N the new york attorney general 's office got an order from a state court in albany <unk> down first meridian corp. an albany <unk> firm that had invested $ N million on behalf of nearly N investors
 in its notice of action the attorney general said the company had promised to put clients into balanced investment portfolios instead the attorney general alleged the company consistently <unk> <unk> customers into high-risk investments in paintings coins and florida <unk>
 those investments paid big commissions to first meridian payments investors were never told about the attorney general alleged
 investors were further assured that only those with a <unk> net worth would be accepted
 in practice the attorney general alleged in an affidavit if an investor had access to cash the chances of being turned down by first meridian were about as probable as being rejected by the <unk> club
 and the attorney general added first meridian 's president roger v. <unk> portrayed himself as a financial expert when his <unk> largely <unk> of a high-school <unk> work as a real-estate and insurance salesman and a <unk> as supervisor at a highway toll <unk>
 first meridian and its officials are currently under investigation for possible criminal wrongdoing according to a spokeswoman for the attorney general
 harry <unk> mr. <unk> 's attorney says his client denies any wrongdoing and adds that the attorney general 's <unk> about first meridian 's business practices are incorrect
 as for mr. <unk> 's <unk> the <unk> attorneys for the state of new york decided mr. <unk> was n't qualified because he did n't have a harvard degree says mr. <unk>
 civil suits against planners by clients seeking recovery of funds are increasingly common
 two such actions both filed earlier this year in georgia state court in atlanta could be particularly embarrassing to the industry both name j. chandler peterson an atlanta financial planner who is a founder and past chairman of the iafp as defendant
 one suit filed by more than three dozen investors charges that mr. peterson <unk> much of the $ N million put into a limited partnership that he operated and <unk> spending some of it to pay his own legal bills and to invest in other companies in which he had an interest
 those companies in turn paid mr. peterson commissions and fees the suit alleges
 the other suit was filed by two men in a dispute over $ N investments each says he made with mr. peterson as part of an effort to purchase the bank of <unk> in <unk> <unk>
 one plaintiff a doctor testified in an affidavit that he also gave mr. peterson $ N to join a sort of investment club which essentially gave the physician the privilege of making additional investments with mr. peterson
 in affidavits each plaintiff claims mr. peterson promised the bank purchase would be completed by the end of N or the money returned
 mr. peterson took the plaintiffs ' and other investors ' money to a meeting of the bank 's directors
 wearing a business suit and western-style hat and <unk> he opened up his <unk> and dumped $ N million in cash on a table in front of the directors says <unk> <unk> the bank 's president
 he said he wanted to show the color of his money recalls mr. <unk>
 bank officials however showed him the door and the sale never came off
 according to the suit mr. peterson has yet to return the plaintiffs ' investment
 they want it back
 mr. peterson declines to comment on specific allegations in the two suits saying he prefers to save such responses for court
 but he does say that all of his activities have been entirely proper
 on the suit by the limited partners he says he is considering a <unk> suit against the plaintiffs
 the suit he adds is almost in the nature of a <unk> by a handful of <unk> people
 <unk> the suit over the bank bid mr. peterson says it is filled with <unk> language and half <unk>
 he declines to go into <unk>
 mr. peterson says the suits against him are less a measure of his work than they are a sign of the times in which people generally are more prone to sue
 i do n't know anybody in the industry who has n't experienced litigation he says
 mr. peterson also says he does n't consider himself a financial planner anymore
 he now calls himself an investment banker
 in many scams or alleged scams involving planners it 's plain that only a <unk> of common sense on the part of the investors would have kept them out of harm 's way
 using it would n't a <unk> hesitate to pay tens of thousands of dollars just for a chance to invest <unk> planner
 other cases go to show that an old saw still applies if it sounds too good to be true it probably is
 certificates of deposit do n't pay N N a year for example but that did n't give <unk> to clients of one alabama planner
 now they 're losers and he 's in jail in mobile county
 cds yielding N N are even more <unk> especially when the issuing bank in the marshall islands is merely a mail drop watched over by a local <unk> operator but investors fell for that one too
 and the colorado planner who promised to make some of his clients <unk> on investments of as <unk> as $ N
 never mind
 you already know the answer
 mr. <unk> is a staff reporter in the wall street journal 's los angeles bureau
 at the <unk> fashion island shopping center the <unk> and elegant <unk> of this wealthy southern california beach community <unk> from their <unk> and <unk> for another day of exercising their credit cards
 they root among the designer offerings at <unk> and <unk> <unk>
 they <unk> through the <unk> <unk> of the <unk> court
 they <unk> at the farmers market a combination <unk> food court and grocery store while a <unk> <unk> the noon fashion show with a selection of <unk> <unk>
 the beautiful look of <unk> <unk> the show 's <unk> slightly <unk> in its influence
 meanwhile in the <unk> office buildings that ring fashion island the odds are good that someone is getting <unk>
 law-enforcement authorities say that at any given time a host of fraudulent <unk> operations <unk> with the many legitimate businesses here
 they seem to like these industrial parks says <unk> <unk> a postal inspector who specializes in mail fraud
 we call them fraud farms
 welcome to that <unk> of <unk> known as newport beach
 this city of more than N is known for <unk> <unk> and rich residents
 it is also known as the fraud capital of the u.s. dubbed by investigators and the media as the <unk> de fraud
 how does a community famous for its high living end up as a haven for <unk>
 clearly the existence of the former <unk> the latter
 the places <unk> for breeding <unk> like the miami neighborhood known as the <unk> mile and las vegas 's flashy strip of casinos invariably offer fast cars high <unk> glamorous women and lots of <unk>
 you do n't hear much about unusual <unk> of fraud in green bay or <unk>
 con men hate snow
 newport beach fits the <unk> artists ' specifications perfectly
 what more could a con man in search of the easy life ask for
 nothing seems hard here
 the <unk> are soft the waves <unk> gently and the palm trees <unk> <unk>
 <unk> is <unk>
 moreover <unk> is <unk>
 the median price of homes is $ N more than N vessels fill what the chamber of commerce calls the nation 's largest <unk> harbor
 <unk> cocaine and <unk> <unk> mr. <unk>
 that 's what they 're after
 the rich image of newport beach also helps lend the con artists ' operation an air of respectability
 one reason they use newport beach is that it sounds <unk> than most addresses says david katz a u.s. attorney who until recently headed a <unk> southern california fraud task force
 newport beach is known in <unk> island for having a lot of rich people
 no wonder all kinds of big-time scams have <unk> here from phony <unk> <unk> sales to <unk> car dealers to <unk> <unk> traders
 but above all this is the national headquarters for <unk> operators those <unk> <unk> salesmen who use the telephone to extract money from the <unk> and the greedy and then <unk>
 because only a fraction of them are ever prosecuted nobody really knows how much money <unk> <unk> operators really harvest
 i 've heard that there is $ N billion taken in nationwide by boiler rooms every year mr. <unk> says
 if that 's true orange county has to be at least N N of that
 and most of the truly big scams in orange county seem to <unk> in newport beach or one of the other <unk> communities that <unk> this <unk> city that <unk> around a point of land on the california coast south of los angeles
 in fact sophisticated <unk> <unk> scams are known <unk> among law-enforcement types as newport beach operations
 that contrasts with the <unk> sales of things such as <unk> sets and office supplies that are known as hollywood scams
 newport beach <unk> concentrate on precious metals and <unk> deals that typically cost thousands of dollars a shot
 the investors range from elderly <unk> to affluent professionals
 in one <unk> recent example of a newport beach boiler room prospective investors in capital trust inc. were allegedly told that their investment in precious metals was insured against losses caused by employees due to dishonesty destruction or disappearance according to an indictment handed up by a federal grand jury in los angeles last month
 thus <unk> <unk> investors sent $ N million to the newport beach company most of which was diverted to unauthorized uses the indictment charges
 douglas jones an attorney representing richard o. kelly sr. the chairman and president of capital trust says his client denies that there was any attempt to <unk> investors
 there were some business deals that went bad mr. jones says but no intent to <unk>
 newport beach operations differ from the hollywood boiler rooms in style as well as in dollars
 traditionally boiler rooms operate on the cheap since few if any customers ever visit their offices
 indeed the name <unk> from the tendency among <unk> <unk> to rent cheap <unk> space near the boiler room
 but says mr. katz the u.s. attorney the interesting thing about newport beach operations is that they give themselves the <unk> of beautiful offices with <unk> <unk>
 when we go there it 's quite different from these hollywood places where the <unk> are spread out on the table and the people are picking their <unk>
 the newport beach operators also tend to <unk> themselves privately
 investigators cite the case of <unk> <unk> who is currently serving a <unk> sentence at <unk> federal prison for his role in <unk> investment corp. which promised investors returns of as much as N N on precious metals
 mr. <unk> who pleaded guilty to five counts of fraud in federal court in los angeles drove a leased mercedes and lived in an expensive home on <unk> <unk> an island in newport 's harbor according to investigators
 with the $ N million received from investors he took frequent <unk> with friends to exotic <unk> and leased an expensive <unk> for his girlfriend whom he met at the shop where he got his <unk> suits
 it 's amazing the amount of money that goes up their nose out to the dog track or to the tables in las vegas mr. katz says
 all this talk of boiler rooms and fraud is <unk> to the city 's legitimate business element
 vincent <unk> <unk> regional manager of property management systems insists he does n't know of any <unk> <unk> operating in the N million square feet of office space around fashion island that his company leases for irvine co. the owner and developer of the project
 mr. <unk> has rejected a few prospective tenants who provided incomplete financial information and acknowledges that <unk> operators are not easily <unk>
 investigators stress that building owners are victims too since boiler rooms often leave without paying rent
 richard <unk> president of the newport harbor area chamber of commerce calls boiler rooms a negative we wish we could get rid of
 actually we do n't get much negative publicity about this he insists except for the press who write about it
 mr. lancaster is deputy chief of the wall street journal 's dallas bureau
 you went to college and thought you got an education
 now you discover that you never learned the most important lesson how to send your kids to college
 true when you went to college there was n't that much to learn
 stick some money in an <unk> account and watch it grow
 now investment salesmen say it 's time to take some risks if you want the kind of returns that will buy your <unk> a ticket to prestige <unk> in N years
 in short throw away the <unk> and go for the glory
 the reason is cost
 nothing in the <unk> of tuition <unk> parents for the 1980s
 <unk> at private colleges rose N N in the N years ended in june of this year that 's twice the N N increase in consumer prices for the same period
 a year at harvard now goes for $ N
 by N when this year 's <unk> hit campus a four-year ivy league <unk> will cost $ N give or take a few <unk> at <unk> time
 stanford mit and other <unk> will cost no less
 so what 's a parent to do
 some investment advisers are suggesting in effect a bet on a start-up investment pool maybe even on margin
 others prefer <unk> zero-coupon bonds
 still others say why not take a chance on a <unk> growth fund
 you 're not going to make it in a N N bank account says james <unk> director of mutual funds at t. rowe price
 to get the necessary growth adds murray <unk> a marketing official at the financial programs mutual-fund group you need to go to the stock market
 in other words a little volatility never hurt
 it never hurt anyone that is unless the growth funds do n't grow when you need them to
 or the zero-coupon bonds turn out not to have been discounted deeply enough to pay your kid 's tuition
 that 's the dilemma for today 's parent
 although many experts are advising risk no one has a good answer for you if the risk does n't pay off
 help may be on the way
 the antitrust division of the justice department is investigating the oddly similar tuition charges and increases among the top schools
 fear of the price police could help cool things off in the 1990s
 and then there 's always state u
 but parents ' <unk> for a <unk> education for their children is growing like their taste for fancy wheels and vintage wine
 <unk> aware of public concern lawmakers and financial middlemen are working overtime to create and sell college savings and investment schemes
 their message explicit or implicit is that a good college will cost so much by whenever you want it that the tried and true wo n't do anymore
 forget about treasury bills or a money-market fund
 the latest wave of marketing is <unk>
 several <unk> including the financial programs franklin and t. rowe price mutual-fund groups and the edward d. jones brokerage house are advertising college planner tables and charts that tell you how much you need to put aside regularly
 the calculations generally rely on an after-tax rate of return of N N annually a rate historically <unk> by the individual in only one place the stock market
 most of the <unk> are free but <unk> financial programs sells for $ N a version <unk> to the age of the child and the college of choice
 the figures are <unk>
 to build a <unk> egg that would pay for stanford when a current <unk> reaches college age parents would need to set aside $ N a month for N years
 they can cut this to $ N a month if the investing keeps up through college
 and they can further reduce the monthly amount if they start saving earlier when mother and child come home from the hospital
 <unk> a cheaper college into the <unk> still does n't generate an installment most people can live with
 using a recent average <unk> cost of about $ N a year t. rowe price 's planner <unk> $ N monthly if the plan begins when the child is six
 since the formula assumes an N N <unk> return in a mutual fund there would also be $ N in taxes to pay over the N years
 not everyone is so pessimistic
 people are basically peddling a lot of fear says arthur <unk> a consultant to the american council on education in washington
 he takes issue with projections that do n't factor in students ' own contribution which reduces most parents ' burden substantially
 still he says it 's no bad thing if all the marketing <unk> people into putting aside a little more
 the situation you want to avoid is having somebody not save anything and hope they 'll be able to do it out of current income he says
 that 's crazy
 his advice do n't panic
 parents he says should aim at whatever regular investment sum they can afford
 half the amount that the investment tables suggest might be a good goal he adds
 that way parents will reduce borrowings and outlays from current income when the time comes to pay tuition
 mr. <unk> <unk> that the best investment choice is mutual funds because they are managed and over time have nearly kept up with the broad stock averages
 he favors either an <unk> fund or a balanced fund that <unk> both stocks and bonds
 in their anxiety however parents and other student <unk> are <unk> to new schemes
 they have laid out about $ N billion for so-called <unk> zero-coupon municipal bonds so far offered by connecticut illinois virginia and eight other states
 and they have bought about $ N million in <unk> plans offered in michigan florida and wyoming
 the prepaid plans take payment today usually at current <unk> or at a slight discount for a promise that tuition will be covered tomorrow
 the <unk> bonds tax-free offered in small denominations and usually containing a provision that they wo n't be called before maturity seem to be <unk> for college <unk>
 like other <unk> they pay all their interest at maturity meaning that buyers can time things so that their bonds pay off just when junior graduates from high school
 their <unk> effect is also <unk>
 in june virginia sold bonds for $ N that will pay $ N in N
 but richard anderson head of the forum for college financing alternatives at columbia university a research group partly financed by the federal government says <unk> are particularly <unk>
 their price falls further than that of other bonds when inflation and interest rates kick up
 that wo n't matter if they are held to maturity but if for any reason the parents need to sell them before then there could be a severe loss of principal
 had <unk> been available in N and had parents bought a face amount equal to four years ' tuition at the time aiming for their children 's N <unk> they would have been left with only enough to pay for two years mr. anderson figures
 most other bonds however would probably not have fared much better
 the prepaid plans may be a good bet provided the guarantee of future tuition is secure
 issuing states generally limit the guarantees to <unk> institutions however and buyers get refunds without much interest if the children do n't attend the specified schools
 two private groups are seeking securities and exchange commission approval for plans that could be more broadly <unk>
 mr. anderson wants the prestige colleges to sponsor such a plan
 the issue here may be the <unk> of the guarantee
 prepayments much like mutual-fund purchases are <unk> for investment
 sponsors are naturally counting on their ability to keep ahead of tuition inflation with investment returns
 but buyers are essentially betting on a start-up investment fund with no track record and some have been encouraged to borrow to do so
 one problem is that the internal revenue service has decided that the investment earnings and gains of the sponsors ' funds are taxable
 the colleges as educational institutions had hoped that would n't be the case
 based on historical rates of return mr. anderson <unk> a N N stock portfolio <unk> to the market would have kept up with tuition and taxes in the 20th century
 but sponsors might not pick the stocks that will match the market
 and they 're <unk> more toward fixed income whose returns after tax have trailed tuition increases
 i 'm not sure they 're going to make it work says mr. anderson
 what happens if the sponsors do n't have the cash to pay the <unk>
 florida and wyoming have backed up their guarantees with the full faith and credit of the state governments meaning that taxpayers will pick up any slack
 not so michigan
 its plan is set up as an independent agency
 the state says there 's no worry investment returns combined with fees and the gains from unused plans will provide all the cash it needs
 mr. <unk> covers education from the wall street journal 's boston bureau
 if you start saving for your child 's <unk> on jan. N N here 's the monthly sum you will need to invest to pay for four years at yale <unk> <unk> and university of minnesota
 figures assume a N N annual rise in tuition fees room and board and an N N annual investment return
 note these figures are only for mandatory charges and do n't include books transportation etc
 \* for <unk> students
 source painewebber inc
 among the <unk> farmers in the <unk> delta land of <unk> county <unk> allen d. tharp of <unk> was one of the best known and most <unk>
 he sold <unk> <unk> to stock other farmers ' <unk> and he bought back <unk> <unk> that he <unk> to market along with his own <unk> crop
 and he nearly always bought and sold for cash
 along the way mr. tharp omitted a total of $ N million from his receipts reported on federal tax returns for three years
 the returns landed in the hands of an internal revenue service criminal investigator samuel james baker
 mr. baker interviewed or wrote to hundreds of <unk> farmers <unk> and processors throughout the south before coming up with detailed estimates of purchases and sales in pounds and dollars by mr. tharp and others
 unknown to mr. tharp he had <unk> his net on a special irs project to catch <unk> farmers and <unk> inclined to <unk> on their taxes
 confronted with the evidence mr. tharp pleaded guilty to one charge of filing a false return and was fined $ N and sentenced to N months in prison
 he also owes a lot of back taxes interest and civil fraud penalties
 a lot of taxpayers out there are n't as <unk> as one might think
 federal and state tax enforcers develop many group targets for investigation on the basis of <unk> high income type of income or some other characteristic that may signal an opportunity or tendency to hide income or <unk> deductions
 many <unk> long have seemed to be targets because of the exotic or <unk> efforts of some members to offset high income with fake losses from phony tax shelters <unk> who invested in <unk> dubbed foreign films or airline pilots who raised <unk> on their days off
 mail-order ministers have been <unk>
 now television and radio <unk> are under scrutiny
 the irs recently won part of its <unk> battle with the church of <unk> over <unk> when the u.s. supreme court held that members ' payments to the church were n't deductible because the members received services in return
 irs statistics show that the more persistent <unk> of income among sole <unk> of businesses include <unk> dealers entertainment producers <unk> <unk> and taxi owners
 small businesses in general account for almost N N of <unk> personal income the irs has said
 once such abuses become so pervasive the irs builds another factor into its secret computer formula for <unk> returns for audit and does n't need special projects for them
 san <unk> have a much higher <unk> of audits than average because more of them score high under that formula not because irs agents envy their life styles
 many <unk> for mass cheating such as questionable tax shelters and home offices have <unk> so broadly that congress has passed <unk> laws to close them
 deductions of charitable gifts of highly valued art now must be accompanied by <unk>
 and laws requiring the reporting of more <unk> of transactions have enabled the irs to rely on computers to <unk> out discrepancies with returns and to generate <unk> inquiries to taxpayers
 <unk> <unk> income can be spotted by computer because a <unk> of <unk> who gets a deduction must report the former spouse 's social security number
 <unk> applicants now must give social security numbers enabling the irs to see whether americans living abroad are filing required u.s. returns
 but while irs computers focus routinely on target groups like these the agency has assigned many agents to special projects that need more personal attention
 in most cases the irs says these projects are local or regional rather than national and arise because auditors in an area detect some pattern of abuse among say factory workers claiming that having a <unk> of dependents <unk> them from tax <unk> or <unk> owners <unk> losses from sideline charter businesses
 the national office currently has N <unk> audit projects according to marshall v. <unk> deputy assistant commissioner for examination
 auditors involved in <unk> projects ca n't send anyone to jail but they can make life <unk> in other ways for one by imposing some of the N different civil penalties for negligence failure to file a return and the like
 the targeted audit groups include direct sellers people who sell cosmetics <unk> and other items door to door or at home parties and employers who label workers as independent contractors instead of employees to avoid the employer share of payroll taxes
 other projects look for offenders among <unk> who get cash tips people who engage in large cash transactions and people whose returns show they sold a home for a profit without <unk> the capital gain in another home by the end of the same year the gain must be rolled over within two years to defer tax
 and now that returns must show dependents ' social security numbers the irs wants to see which dependents show up on more than one return and which dependents turn out to be <unk>
 impetus for the <unk> project came from a congressional hearing some years back
 it prompted an irs study that found many sellers were <unk> income and treating large amounts of <unk> travel and other personal expenses as business costs mr. <unk> says
 the study provided criteria for <unk> out returns of potentially <unk> taxpayers who report low income and large expenses from a <unk> business
 the tax court recently denied business deductions by mr. and mrs. peter s. rubin of cherry hill n.j. who both were <unk> distributors of <unk> products in addition to their regular jobs as sales people in other fields
 for N they reported gross income of $ N from <unk> sales offset by expenses totaling $ N including car costs of $ N and travel and entertainment costs of $ N
 the tax court did n't believe that the <unk> who earned $ N in their regular jobs treated the sideline as a real business and derived merely <unk> elements of recreation and other personal pleasure and benefits from it
 the direct selling association a trade group points out that its members which include <unk> corp. cooperate with the irs to distribute <unk> material to sales people and are helping to prepare a <unk> television program on the subject
 the <unk> project which began in N involves about N irs agents
 in the fiscal nine months ended june N reports raymond p. keenan assistant commissioner for collection they examined about N employers assessed more than $ N million in <unk> employment taxes and <unk> about N workers as employees instead of self-employed contractors
 the number of <unk> workers may be in the millions mostly paid by small firms
 many workers especially professionals want to remain independent to avoid tax <unk> and to continue to <unk> many expenses that employees ca n't
 but many others who want to qualify for employee benefits and unemployment compensation become <unk> for the irs says jerry <unk> who manages the irs project 's force of nine agents in north and central florida from <unk>
 firms that are paying employment taxes also provide leads to competitors that are n't he says
 in his area mr. <unk> continues the <unk> employers most commonly are in construction doing <unk> <unk> <unk> and similar work
 but a medical clinic with about N employees <unk> listed all of them including physicians and <unk> as independent contractors
 the irs assessed the clinic $ N in back payroll taxes
 it assessed nearly $ N against a <unk> company that carried about N <unk> <unk> <unk> <unk> and other employees as self-employed <unk>
 <unk> states also are becoming more aggressive <unk> of tax <unk> and perhaps none tracks them down with more <unk> than does new york since it acquired an $ N million computer system in N
 the state 's tax enforcers have <unk> data bases from other new york agencies that license or register professionals and businesses from exchange agreements with the irs N other states and two canadian provinces and even from <unk> yellow pages
 thus armed for massive matching of documents by computer they single out <unk> groups looking primarily for people who have n't filed new york income-tax returns
 the state has <unk> through records relating to architects stockbrokers lawyers in the new york city area construction workers from out of the state and homeowners who claim to be residents of other states especially florida which has no personal income tax
 soon to feel the glare of attention are lawyers elsewhere in the state doctors <unk> and accountants says frederick g. <unk> director of the <unk> division that develops the <unk> programs
 the department has collected over $ N million from brokers so far and recommended more than N of them for criminal prosecution
 in the early stage of checking people with incomes exceeding $ N who were filing <unk> returns it squeezed $ N million out of a man who was <unk> as a florida resident
 we think we can reclaim hundreds of millions of dollars just through the <unk> project mr. <unk> declares
 mr. <unk> is editor of the wall street journal 's tax report column
 in finding good news in berkeley 's new freshman <unk> plan the <unk> class editorial sept. N you 're reading the headline but not the story
 the plan indeed raises from N N to N N the number of <unk> applicants admitted strictly by academic criteria
 but that does n't mean half of the students attending berkeley will be admitted this way
 the plan is talking about applicants admitted not students who <unk>
 since the yield from this top <unk> of applicants is relatively low boosting admits from N N to N N will boost <unk> from about N N to N N of the class
 in addition perhaps N N of <unk> will come from a new category consisting of applicants whose academic credentials narrowly missed gaining them admission in the first category
 but against that combined increase of N N in students chosen by academic criteria the plan <unk> a large category in which <unk> now are based on grades test scores and supplemental points for factors such as high-school <unk> <unk> <unk> and an <unk>
 this category now accounts for about N N of admits and N N of <unk>
 the plan thus will decrease by N N for a net loss of N N the number of students admitted primarily by academic criteria
 who will take over these places
 the plan creates a new category of students from <unk> <unk> backgrounds a concept not yet defined and gives them about N N of the class
 one of the plan 's authors has defended the <unk> disadvantage category as perhaps making more sense than the current <unk> preferences based on race
 perhaps it does
 but the new category does not replace or reduce berkeley 's broad racial preferences
 nor will students from <unk> groups who are admitted through the new category be counted against the <unk> target for their group
 the plan thus places a large new <unk> program based on <unk> disadvantage on top of the existing program based on race
 the role of academic criteria in choosing berkeley 's <unk> can only decline as a result
 stephen r. barnett professor of law university of california berkeley calif
 for those who <unk> in the <unk> of others read on
 this is a story about <unk>
 most of us know a <unk>
 many of us are <unk>
 but what we may not know is just what makes somebody a <unk>
 what makes people <unk> out their credit-card numbers to a caller they 've never heard of
 do they really believe that the number is just for <unk> and is simply a <unk> on the road to being a <unk> winner
 what makes a person buy an oil well from some <unk> knocking on the screen door
 or an interest in a retirement community in nevada that will knock your <unk> off once it is built
 because in the end these people always wind up asking themselves the same question how could i be so stupid
 there are unfortunately plenty of answers to that question and <unk> artists know all of them
 these people are very skilled at finding out what makes a person <unk> says kent neal chief of the <unk> unit of the <unk> county state attorney 's office in fort <unk> fla. a major haven for boiler rooms
 once they size them up then they know what <unk> to push
 john <unk> agrees and he ought to know
 he used to be a <unk> salesman peddling investments in oil and gas wells and rare coins
 there 's a <unk> psychology of the sale and different <unk> you pitch different ways he says
 the most obvious pitch of course is the lure of big returns
 we 're all a little greedy
 everyone is vulnerable says charles harper associate regional administrator for the securities and exchange commission in miami
 these guys <unk> on human <unk>
 while the promises of big profits ought to set off warning bells they often do n't in part because <unk> <unk> have become <unk> in american <unk>
 the overnight success story is part of our culture and our society puts an emphasis on it with <unk> and ed <unk> making <unk> out of people says michael <unk> an associate professor of psychology at the university of kentucky in louisville
 other people are making it overnight and the rest who <unk> daily do n't want to miss that opportunity when it seems to come along
 adds spencer <unk> branch chief for enforcement at the sec in fort worth texas why do people play the <unk> when the odds are great against them
 people are shooting for a dream
 clearly though <unk> artists have to be a bit more <unk> than simply promising millions the psychology of <unk> is n't simply the psychology of the greedy
 there 's also for instance the need to be part of the <unk>
 so one popular <unk> is to make a prospective investor feel like an insider joining an exclusive group that is about to make a killing
 between N and N for instance <unk> oil in winter haven fla. sold interests in oil wells to a very select group of local residents while turning away numerous other eager investors
 the owner of the company stephen smith who has since pleaded guilty to state and federal fraud charges <unk> to investors that he had a secret agreement with amoco oil co. and said the location of his wells was confidential according to a civil suit filed in a florida state court by the florida comptroller 's office
 neither the amoco agreement nor the wells existed the suit alleged
 such schemes says tony <unk> chief of the <unk> unit of the federal bureau of investigation in washington d.c. appeal to investors ' desire to believe this is really true and that they are part of a chosen group being given this opportunity
 at times salesmen may <unk> the inside information with the notion that this is some slightly <unk> slightly illegal investment the person is being included in says mr. <unk>
 in appealing to those with a bit of <unk> in their hearts the fraud artist can insist that a person keep an investment secret <unk> himself from being discovered and keeping his victim from consulting with others
 it also adds to the mystery of the venture
 mr. <unk> the <unk> veteran believes that for many investors the <unk> scams carry a <unk> element of excitement
 once people got into it i was allowing them to live a dream he says
 he <unk> them with <unk> on the investment such as funny things that happened at the well that week he says
 you gave them some excitement that they did n't have in their lives
 mr. <unk> who was convicted in florida state court of selling <unk> securities and in california state court of unlawful use of the telephone to <unk> and <unk> is now on <unk>
 he says he has quit the business and is back in school <unk> in psychology with aspirations to go into industrial psychology
 for some investors it 's the appearances that leave them <unk>
 the <unk> of success go a long way wearing the right clothes doing the right things says paul <unk> an associate professor of psychology at harvard
 conservative appearances make people think it 's a conservative investment
 people <unk> lose money on risky investments that they did n't realize were a <unk> he says
 paul <unk> a phoenix ariz. attorney says a promise of <unk> returns would have made him leery
 but mr. <unk> who says he lost $ N in one <unk> deal and $ N in another says a salesman used a <unk> approach with him sending investment literature a contract limiting the firm 's liability and an insurance policy
 when he visited the company 's office he says it had all the <unk> of legitimacy
 still others are <unk> by a desire to do both well and good says douglas watson commanding officer of the los angeles police department 's <unk> division
 <unk> <unk> are the most visible targets of unscrupulous <unk> investment pitches
 but hardly the only ones the scams promise among other things to help save the environment feed <unk> families and prevent the disappearance of children
 <unk> say isolated people who do n't discuss their investments with others are particularly at risk for fraud
 <unk> artists seek out such people or try to make sure that their victims <unk> themselves
 for instance salesmen may counter a man 's <unk> that he wants to discuss an investment with his wife by asking who wears the <unk> in your family
 or an investor who wants his <unk> 's advice may be told you seem like a guy who can make up his own mind
 often con artists will try to <unk> their victims by <unk> <unk> between them
 william <unk> a retired engineer from lockheed corp. says he and his wife <unk> <unk> to the investment pitches of a <unk> <unk> from <unk> co. in atlanta after the broker told them he too had once worked with lockheed
 the <unk> of <unk> springs ga. have filed suit in georgia state court against stuart james alleging fraud
 they are awaiting an arbitration proceeding
 they say the broker took them out for lunch frequently
 he urged them to refer their friends who also lost money
 donald <unk> an attorney for the <unk> firm denies the fraud allegations and says the <unk> were fully <unk> that they were pursuing a high-risk investment
 it 's not uncommon for these guys to send pictures of themselves or their families to <unk> themselves to their clients says <unk> <unk> chief of the <unk> section of the u.s. attorney 's office in los angeles
 we 've seen cases where salesmen will affect the <unk> of the region of the country they are calling
 anything to make a sale
 experts say that whatever a person 's particular weak point timing is crucial
 people may be particularly vulnerable to <unk> pitches when they are in the midst of a major upheaval in their lives
 sometimes when people are making big changes retiring from their jobs moving to a new area they lose their bearings says <unk> <unk> a licensed <unk> who is now an investment adviser and principal in <unk> inc. a birmingham mich. <unk> firm
 they may be susceptible to some song and dance if it hits them at the right time
 they are obviously also more susceptible when they need money <unk> for instance trying to bolster their fixed income or parents <unk> over how to pay for a child 's college expenses
 these people are n't necessarily stupid or <unk>
 almost all of us in comparable circumstances might be <unk> in some way says <unk> <unk> a psychology professor at the university of southern california in los angeles
 <unk> <unk> thinks that 's what happened to him
 mr. <unk> a <unk> delta air lines engineer invested some $ N in penny stocks through a broker who promised quick returns
 we were saving up to buy a house and my wife was pregnant says mr. <unk>
 it was just before the christmas holidays and i figured we could use some extra cash
 the investment is worth about $ N today
 maybe it was just a vulnerable time says mr. <unk>
 maybe the next day or even an hour later i would n't have done it
 ms. <unk> is a staff reporter in the wall street journal 's atlanta bureau
 prices for seats on the new york stock exchange are recovering a bit after hitting a four-year low earlier this month
 two seats on the big board were sold yesterday for $ N and then $ N
 the previous sale was $ N on oct. N the last time prices were that low was november N when a seat sold for $ N
 prices peaked at $ N in september N
 seats are currently quoted at $ N bid and $ N asked
 fox hunting has been defined as the <unk> in pursuit of the <unk> but at least it 's exercise
 at least it has a little <unk>
 most of us have to spend our time on <unk> that afford neither <unk> duties rather than <unk>
 like trying to buy life insurance for instance an <unk> notably lacking in <unk>
 call it the <unk> <unk> after the <unk>
 but sooner or later most of us have to think about life insurance just as we often have to think about having <unk> work
 and my time has come
 i 'm N married no children and employed in writing stories like this one
 in times past life-insurance salesmen targeted heads of household meaning men but <unk> is a <unk> family and accustomed to it
 so if anything happened to me i 'd want to leave behind enough so that my <unk> husband would be able to pay off the mortgage and some other debts though not i admit enough to put any potential second wife in the <unk> of luxury
 figuring that maybe $ N to $ N would do but having no idea of what kind of policy i wanted i looked at the <unk> products of a dozen companies and plunged into a <unk> of <unk>
 over the past decade or two while i was thinking about fox hunting the insurance industry has spawned an incredible number of products variations on products and variations on the variations
 besides term life and whole life the old <unk> we now have universal life universal <unk> life flexible adjustable universal life policies with <unk> bonuses policies <unk> with exotic riders living benefit policies and on and on
 what to do
 first <unk>
 <unk> of all their riders special provisions and other bells and <unk> insurance policies can still be <unk> under two broad categories so-called pure insurance which <unk> no cash value in the policy and pays off only upon death and permanent insurance which provides not only a death benefit but also a cash value in the policy that can be used in various ways while the insured is still alive
 if all you want is <unk> coverage pure insurance a term policy gives you maximum bang for your buck within limits
 it 's much cheaper than permanent insurance bought at the same age
 but term means just that the policy is written for a specific time period only and must be renewed when it expires
 it may also <unk> that the insured must pass another medical <unk> before renewal if you <unk> which means you need insurance more than ever you may not be able to buy it
 even if you 're healthy and can renew your premium will go up sharply because you 're that much older
 so term insurance may not be as cheap as it looks
 there are all sorts of variations on term insurance policies structured to pay off your mortgage debt term riders tacked on to permanent insurance and many others
 one <unk> that appealed to me at first was the money smart term life policy offered by amex life insurance co. the american express unit to the parent company 's credit-card holders
 upon examination however i <unk> whether the plan made a lot of sense
 amex said it would charge me $ N a year for $ N of coverage and would pay me back all the premiums i put in if i canceled the policy after N years
 sounds great or does it
 first if i canceled i 'd have no more insurance a not <unk> consideration
 second the $ N i 'd get back would be much diminished in purchasing power by N years of inflation amex not i would get the benefit of the investment income on my money income that would have exceeded the inflation rate and thus given the company a real profit
 third and most important amex would charge me a far higher premium than other reputable companies would on a straight term policy for the same amount i 'd be paying so heavily just to have the option of getting my premiums back that i 'd almost have to cancel to make the whole thing <unk>
 that would be all right with amex which could then lock in its investment profit but it does n't add up to a smart money move for me
 which goes to show that the first law applies in insurance as in anything else there is no free lunch there is only marketing
 and the second law unique to insurance
 if i die early i win a <unk> victory since i ca n't enjoy it and if i live long the insurer wins
 always
 this is worth <unk> when insurers and their salesmen try to sell you permanent insurance the kind that <unk> cash value
 the word death can not be escaped entirely by the industry but salesmen dodge it wherever possible or <unk> it in <unk> <unk> to talk about savings and investment instead
 the implication is that your <unk> policy is really some kind of cd or mutual-fund account with an added feature
 that is <unk> the <unk>
 the fact is that as a savings or investment vehicle insurance generally runs a poor second to any direct investment you might make in the same things the insurance company is putting your money into
 that 's because you have to pay for the insurance portion of the policy and the effort required to sell and service the whole package
 again no free lunch
 this is reflected in a <unk> mortality cost in effect your share of the company 's estimated liability in paying off beneficiaries of people who had the <unk> to die while under its protection
 and in most cases a huge <unk> of your premium in the initial year or two of the the policy is in effect paying the salesman 's commission as well investment returns on most policies are actually negative for several years largely because of this
 so view permanent insurance for what it is a compromise between pure insurance and direct investment
 the <unk> most traditional form of permanent insurance is the straight whole life policy
 you pay a set premium for a set amount of coverage the company invests that premium in a portfolio of its choosing and your cash value and dividends grow over the years
 one newer <unk> so called <unk> life you pay for the whole policy at once has been <unk> popular in recent years for tax reasons the insured could extract cash value in the form of policy loans and none of the proceeds were taxable even though they included gains on investment
 congress closed this <unk> last year or thought it did
 however <unk> capital corp. of <unk> mass. has developed a combination plan of annuity and insurance coverage that it says does not violate the new regulations and that allows policy loans without tax consequences
 but the percentage of your cash reserve that you can borrow tax-free is very small
 i 'm not prepared in any case to put that much money into a policy immediately so i look into the broad category called universal life
 <unk> popular it is far more flexible than straight whole life
 i can adjust the amount of insurance i want against the amount going into investment i can pay more or less than the so-called target premium in a given year and i can even <unk> payments if my cash reserves are enough to cover the insurance portion of the policy
 in looking at these and other policies i learn to ask pointed questions about some of the assumptions built into policy <unk> the rows of numbers that show me the buildup of my cash values over the years
 they commonly give two scenarios one is based on interest rates that the company guarantees usually N N to N N and the other on the rate it is currently getting on investment often N N or more
 projecting the latter over several decades i find my cash buildup is impressive but can any high interest rate prevail for that long
 not likely i think
 also some policy <unk> assume that mortality costs will decline or that i will get some sort of dividend bonus after the <unk> year
 these are not certain either
 companies are n't comfortable playing these games but they realize they 're under pressure to make their policies look good says timothy <unk> an <unk> consultant at <unk> a unit of towers <unk> co. the big new york consulting firm
 another factor to consider some of the companies currently earning very high yields are doing so through substantial investment in junk bonds and you know how nervous the market has been about those lately
 there are seemingly endless <unk> to universal life and it pays to ask questions about all of them
 at a <unk> <unk> for example a friend boasts that she 'll only have to pay premiums on her john hancock policy for seven years and that her death benefits will then be guaranteed
 i call her agent david <unk>
 yes he says premiums on such <unk> coverage can be structured to <unk> after a certain period but usually only if interest rates stay high enough to generate sufficient cash to cover the annual cost of insurance protection
 if interest rates plunge the insurer may be knocking on my door asking for <unk> premium payments to maintain the same amount of protection
 i do n't like the sound of that
 some insurers have also started offering <unk> bonuses such as extra dividends or a marginally higher interest yield if the policy is maintained for N years
 but glenn daily a new york-based financial consultant warns that many of these bonuses are just <unk> because most are n't guaranteed by the companies
 and the feature is so new he adds that no insurer has yet established a track record for actually making such payments
 so-called <unk> provisions also merit a close inspection
 offered by insurers that include <unk> life insurance co. jackson national life insurance co. and national travelers life insurance co. these policy riders let me tap a portion of my death benefits while i 'm still alive
 some provisions would let me collect a percentage of the policy 's face value to pay for long-term care such as <unk> stays others would allow payments for catastrophic <unk> and conditions such as cancer heart <unk> <unk> failure and kidney transplants
 but the catastrophic events for which the <unk> can collect are narrowly defined vary from policy to policy and generally permit use of only a small fraction of the face amount of insurance
 also financial planners advising on insurance say that to their knowledge there has not yet been a tax ruling <unk> these advance payments from taxes
 and considering the extra cost of such provisions some figure that people interested in say paying for extended <unk> care would be better off just buying a separate policy that provides it
 i 'm more <unk> impressed by <unk> life even though it turns out to be <unk> life
 <unk> selling these policies market them directly to the public or otherwise do n't use commissioned salesmen there is still a load annual administrative fees and initial <unk> charges but i figure that the lack of commission and of surrender fees for dropping the policy early still <unk> me a lot
 i compared one universal policy for $ N face amount from such an insurer american life insurance corp. of lincoln neb. with a similar offering from equitable life assurance society of the u.s. which operates through N commissioned salesmen
 after one year i could walk away from the <unk> policy with $ N but <unk> get only $ N from the equitable
 the difference is magnified by time too
 at age N when i 'd stop paying premiums the <unk> offering would have a projected cash value $ N higher than the other even though the equitable 's policy illustration assumed a fractionally higher interest rate
 did i buy it
 well not yet
 i 'm thinking about using the $ N annual premium to finance a trip to paris first
 a person can do some heavy thinking about insurance there and shop for something more exciting while she 's doing it
 rorer group inc. will report that third-quarter profit rose more than N N from a year earlier though the gain is wholly due to asset sales robert <unk> chairman president and chief executive officer said
 his projection indicates profit in the latest quarter of more than $ N million or N cents a share compared with $ N million or N cents a share a year ago
 mr. <unk> said in an interview that sales will show an increase from a year ago of somewhat less than N N
 through the first six months of N sales had grown about N N from the year-earlier period
 growth of N N would make sales for the latest quarter $ N million compared with $ N million a year ago
 mr. <unk> said the profit growth in the latest quarter was due to the sale of two rorer drugs
 <unk> an <unk> was sold to <unk> plc london
 <unk> a drug used to <unk> bleeding was sold to jones medical industries inc. st. louis
 he said rorer sold the drugs for nice prices and will record a combined pretax gain on the sales of $ N million
 as the gain from the sales indicates operating profit was significantly below the year-earlier level mr. <unk> said
 rorer in july had projected lower third-quarter operating profit but higher profit for all of N
 he said the company is still looking for a strong fourth quarter in all areas sales operating income and net income
 mr. <unk> attributed the decline in third-quarter operating profit to the stronger dollar which reduces the value of overseas profit when it is translated into dollars to accelerated buying of rorer products in the second quarter because of a <unk> july N price increase and to higher marketing expenses for rorer 's <unk> <unk> whose sales and market share in the u.s. had slipped in the first half of N
 he said rorer opted to sell <unk> and <unk> to raise revenue that would kick start its increased marketing efforts behind <unk> still its <unk> product with about $ N million in world-wide sales in N
 we had <unk> <unk> for a year he said because the company was concentrating on research and development and promoting other drugs
 he said rorer will spend $ N million to $ N million more on <unk> advertising and promotion in the second half of N than in the year-earlier period
 a big chunk of that additional spending came in the third quarter he said
 hoechst ag said it will stop producing fertilizer in N because of continued losses and a bleak outlook
 the west german chemical concern said it will close the last remaining fertilizer plant in <unk> in the fall of next year
 hoechst said the fertilizer market faces overcapacity in western europe rising imports from east bloc countries and overseas and declining demand
 homefed corp. said its main subsidiary home federal savings & loan converted from a federal savings and loan to a federal savings bank and changed its name to homefed bank
 the federal office of thrift supervision approved the conversion last friday homefed said
 the change in charter does n't alter the federal insurance of deposits federal regulatory powers or company operations a spokesman said
 it was the second anniversary of the N crash but this time it was different
 stocks rallied on good earnings reports and on data that showed less inflation than expected
 blue chips led the march up in heavy trading
 the dow jones industrial average rose N points to N
 the N industrials led the market higher from the opening bell as foreign buyers stepped in
 by afternoon the broader market joined the advance in full strength
 standard & poor 's 500-stock index rose N to N and the nasdaq composite index jumped N to N
 new york stock exchange volume swelled to N shares
 the industrials were up about N points in the afternoon but cautious investors took profits before the close
 traders said a variety of factors triggered the rally
 the consumer price index rose N N in september while many economists were looking for a N N increase
 stock-index arbitrage buy programs in which traders buy stock against offsetting positions in futures to lock in price differences helped the rally 's momentum
 the euphoria was such that investors responded to good earnings reports of companies such as american express while ignoring the disappointing profits of companies such as caterpillar analysts said
 stock-index arbitrage trading was a minor influence in yesterday 's rally traders said
 institutional buyers were the main force pushing blue chips higher
 to the <unk> of some traders takeover stocks were climbing again
 hilton rose N N to N for example
 last friday takeover traders <unk> out of hilton knocking the stock down N N to N
 among other stocks involved in restructurings or rumored to be so holiday corp. gained N N to N and honeywell rose N N to N N
 one floor trader noted in <unk> that nobody seemed to mind the news that british airways is n't making a special effort to revive the ual buy-out
 the announcement of the buy-out 's troubles triggered the market 's nose dive a week ago
 takeover enthusiasm may have been renewed when an investor group disclosed yesterday that it had obtained all the financing required to complete its $ N billion leveraged buy-out of american medical international
 that 's put some <unk> back into this market said peter <unk> a vice president of equity trading at shearson lehman hutton
 but some traders thought there was less to the rally than met the eye
 there is no strength behind this rally asserted chung <unk> head trader at kleinwort benson north america
 it 's traders <unk> positions
 it 's not good the market is setting up for another fall
 indeed many traders said that uncertainty about today 's monthly expiration of <unk> futures and options and options on individual stocks prompted a lot of buying by speculative traders who were <unk> positions that were bets on declining stock prices
 the number of outstanding contracts in the october major market index jumped from N on friday to N on monday
 the mmi is a <unk> index that <unk> the dow jones industrial average
 outstanding contracts are those that remain to be liquidated
 by wednesday the outstanding october contracts amounted to N representing about $ N billion in stock noted donald <unk> head of stock-index futures research at prudential-bache securities who expects a volatile expiration today
 there has been a tremendous increase in mmi positions mr. <unk> said
 consumer stocks once again set the pace for blue-chip issues
 philip morris added N N to N N in big board composite trading of N million shares coca-cola co. gained N N to N N merck gained N N to N N and american telephone & telegraph advanced N to N N on N million shares
 american medical jumped N N to N N
 ima acquisition an investor group that includes first boston and the <unk> family of chicago said chemical bank had made arrangements for N other banks to provide $ N million in bank financing for the buy-out offer
 chemical and six other banks along with first boston are providing the rest of the $ N billion
 elsewhere on the takeover front time warner advanced N N to N N and warner communications tacked on N to N N
 the delaware supreme court <unk> a ruling that barred <unk> industries from voting its warner preferred stock as a separate class in deciding on the companies ' proposed merger
 paramount communications climbed N N to N N and mca rose N N to N both media companies have long been mentioned as potential acquisition candidates
 among other actual and rumored targets woolworth rose N N to N N upjohn went up N N to N N armstrong world industries gained N to N N and <unk> rose N to N N
 in addition soo line jumped N N to N N above the $ N a share that canadian pacific offered for the company in a takeover proposal
 xtra gained N N to N N
 investor robert m. gintel who owns a N N stake in the company said he plans a proxy fight for control of its board
 golden nugget rose N to N N
 its board approved the repurchase of as many as three million common shares or about N N of its shares outstanding
 buying interest also <unk> in the technology sector including international business machines whose board approved a $ N billion increase in its stock buy-back program
 ibm rose N N to N N as N million shares changed hands
 compaq computer soared N N to N N on N million shares in response to the company 's announcement of plans to introduce several products next month
 digital equipment gained N N to N N despite reporting earnings for the september quarter that were on the low end of expectations
 among other technology issues cray research rose N N to N hewlett-packard added N N to N N tandem computers rallied N N to N N data general rose N to N N and motorola gained N N to N N
 on the other hand symbol technologies dropped N N to N N after shearson lehman hutton lowered its short-term investment rating on the stock and its N earnings estimate and commodore international fell N to N after the company said it expects to post a loss for the september quarter
 insurance stocks continued to climb on expectations that premium rates will rise in the aftermath of the earthquake in the san francisco area
 american international group climbed N to N N general <unk> rose N N to N N kemper added N N to N <unk> went up N N to N and <unk> rose N N to N N
 stocks of major toy makers rallied in the wake of strong third-quarter earnings reports
 mattel added N N to N N <unk> firmed N to N N and lewis <unk> toys rose N to N N on the big board while hasbro gained N to N N on the american stock exchange
 capital <unk> surged N N to N
 kidder peabody raised its investment rating on the stock and its earnings estimates for N and N based on optimism that the company 's abc television network will continue to fare well in the ratings
 dun & bradstreet lost N N to N N on N million shares
 merrill lynch lowered its short-term rating on the stock and its estimate of N earnings citing a sales slowdown in the company 's <unk> business
 pinnacle west capital which suspended its <unk> dividend indefinitely and reported a N N decline in third-quarter earnings fell N to N N
 the amex market value index recorded its sharpest gain of the year by climbing N to N
 volume totaled N shares
 b.a.t industries the most active amex issue rose N to N N
 the company received shareholder approval for its restructuring plan designed to fend off a hostile takeover bid from a group headed by financier sir james goldsmith
 chambers development class a jumped N N to N N and class b rose N N to N N
 the company said six officers are buying a total of $ N million of its stock
 <unk> cos. the target of an investigation by the u.s. inspector general dropped N to N N
 the probe involves testing procedures used on certain government contracts by the company 's <unk> unit
 avondale industries inc. new orleans received a $ N million contract from the navy to <unk> by N N the capacity of an <unk> <unk>
 the award results from the navy 's exercising of an option in an earlier contract it awarded avondale
 richard j. <unk> was elected to the board of this personnel consulting concern increasing its size to nine members
 mr. <unk> is president and chief operating officer of penn mutual life insurance co
 the senate rejected a constitutional amendment that president bush sought to protect the u.s. flag from <unk>
 the N roll call fell well short of the two-thirds majority needed to approve changes to the constitution
 the vote in which N gop lawmakers voted against mr. bush 's position was a victory for democratic leaders who opposed the amendment as an <unk> on the bill of rights
 we can support the american flag without changing the american constitution said senate majority leader george mitchell of maine
 in order to <unk> pressure for an amendment mr. mitchell and house speaker thomas foley d. wash had arranged for lawmakers to pass a statute barring flag <unk> before voting on the constitutional change
 mr. bush said he would allow the bill to become law without his signature because he said only a constitutional amendment can protect the flag adequately
 in june the supreme court threw out the conviction of a texas man who set a flag <unk> during a N demonstration saying he was engaging in political expression that is protected by the first amendment
 if you think you have stress-related problems on the job there 's good news and bad news
 you 're probably right and you are n't alone
 a new <unk> poll study commissioned by the new york business group on health found that a full N N of the work force at companies may suffer from anxiety disorders or a stress-related illness with about N N suffering from depression
 the study surveyed a national group of medical directors personnel managers and employee assistance program directors about their perceptions of these problems in their companies
 it is one of a series of studies on health commissioned by the new york business group a <unk> organization with about N members
 the stress study was undertaken because problems related to stress are much more <unk> than they seem said leon j. <unk> executive director of the business group
 in <unk> the study late last week dr. <unk> estimated the cost of these types of disorders to business is substantial
 <unk> <unk> related to anxiety depression and stress costs about $ N a case in terms of worker 's compensation
 in terms of days lost on the job the study estimated that each affected employee loses about N work days a year because of stress anxiety or depression
 he added that the cost for stress-related compensation claims is about twice the average for all injury claims
 we hope to <unk> employers to recognize the problems so they can do something about them dr. <unk> said
 early intervention into these types of problems can apparently save businesses long-term expense associated with <unk> which sometimes results when these problems go <unk> for too long
 even the courts are beginning to recognize the link between jobs and stress-related disorders in compensation cases according to a survey by the national council on compensation insurance
 but although N N of the respondents in the study indicated that <unk> problems were fairly pervasive in the workplace there is still a social <unk> associated with people seeking help
 the disorders which N years ago struck <unk> and older people now strike people at the <unk> of productivity says robert <unk> <unk> of the national institute of mental health who spoke at the presentation of the study 's findings
 the poll showed that company size had a bearing on a manager 's view of the problem with N N of those in companies of more than N employees saying stress-related problems were fairly pervasive and N N of those in companies with fewer than N employees agreeing
 the poll also noted fear of a takeover as a <unk> event in larger companies
 more than eight in N respondents reported such a <unk> situation in their company
 <unk> companies were most affected by talk of layoffs or plant closings
 the study which received funding from upjohn co. which makes several drugs to treat stress-related <unk> also found N N of the managers said stress anxiety and depression contribute to decreased production
 alcohol and substance abuse as a result of stress-related problems was cited by N N of those polled
 although dr. <unk> points out that stress and anxiety have their positive uses stress perceived to be threatening implies a component of fear and anxiety that may contribute to <unk>
 he also noted that various work environments such as night work have their own <unk>
 we all like stress but there 's a limit says paul d'arcy of <unk> <unk> & <unk> a corporate psychology and management consulting firm
 the problem says mr. d'arcy a <unk> is that it 's very hard to get any hard measures on how stress affects job performance
 for cheap air fares spend christmas <unk>
 it is n't true that a <unk> old <unk> on a mission of <unk> to a disaster area on christmas day can fly free
 but his circumstances are among the few that can qualify for the handful of really cheap airline tickets remaining in america
 in recent years carriers have become much more <unk> about who can fly on the cheap
 but there still are a few ways today 's <unk> can qualify under the airline 's many restrictions
 one of the best deals though may mean <unk> christmas dinner with the <unk>
 this week many carriers are announcing <unk> fares designed to get people to fly on some of the most <unk> and <unk> days of the year including christmas
 in recent years the airlines had waited until the last moment to court christmas season <unk> with bargain fares
 that approach <unk> last christmas day a usair group inc. <unk> jetliner flew about seven passengers from chicago to pittsburgh
 so this year the airlines are getting a jump on holiday discounts
 they are cutting ticket prices by as much as N N from normal levels for travel to most u.s. locations on dec. N N N N and N and jan. N N and N
 the promotions dubbed everything from <unk> is the season to be <unk> to <unk> fares put <unk> fares at $ N $ N and $ N
 they 're trying to keep planes flying on days they 'd normally park them says roger <unk> president of mr. mitchell travel service in <unk> n.c
 expect of course <unk> prices on other dates near the holidays when the airlines know <unk> are eager to travel
 consider adopting your spouse 's name
 if continental airlines has its way couples like <unk> thomas and phil <unk> may find it a <unk> to qualify for some new discounts
 continental a texas air corp. unit recently unveiled a marketing program offering free companion tickets to <unk> and <unk> passengers on international flights
 the continental catch only immediate family members are allowed and they must have the same last name as the buyer of the ticket or legal proof they 're related
 that <unk> many women who have n't taken their <unk> ' last name
 what a bunch of nonsense says <unk> <unk> president of the new york chapter of the national association of women business owners
 this sets things way back
 continental 's logic it does n't want business <unk> <unk> the promotion by <unk> claiming to be related
 we accommodate their choice of names by allowing them to demonstrate family <unk> with legal documents says jim <unk> a senior vice president
 but <unk> rights advocates are angry too
 the <unk> legal defense and education fund of new york city has received complaints from homosexual couples whom the airline does n't recognize as family
 it 's certainly discrimination says attorney <unk> <unk> whose group forced trans world airlines this year to change a rule that allowed travelers to transfer frequent <unk> <unk> only to family members
 take your vacation in a hurricane area
 when hurricane hugo <unk> through the caribbean and the atlantic coast states it <unk> electric and telephone lines shot <unk> through <unk> <unk> shattered windows and <unk> thousands of lives
 it also lowered some air fares
 since the hurricane <unk> airlines inc. and american airlines a unit of amr corp. trimmed their <unk> fares to the virgin islands to $ N from prices that were at times double that before the storm
 the fares are <unk> hugo <unk> and virgin islands aid
 airlines are n't lowering fares to northern california following this week 's earthquake but <unk> agents can waive <unk> restrictions on discount fares for emergency trips
 some hotels in the <unk> caribbean promise <unk> guarantees
 in <unk> beach s.c. the damaged <unk> resort offers daily rates as low as $ N or as much as N N below regular prices
 says <unk> hoffman a clerk in the resort 's front office we do n't have the <unk> pool the pool table <unk> <unk> table <unk> bar or <unk> but we still have the <unk> pool and <unk>
 just wait until you 're a bit older
 senior citizens have long received cheap air fares
 this year the older someone is the bigger the discount
 a senior citizen between N and N <unk> N N off regular coach fare
 travelers up to age N get a percentage discount matching their age
 and <unk> fly free in first class
 next month northwest airlines says a <unk> <unk> mich. woman is taking it up on the offer to fly with her <unk> son to tampa fla
 last year when northwest first offered the promotion only six <unk> flew free
 if all else fails
 the <unk> carriers also provide discounts to red cross workers retired military personnel and medical students
 there 's even a special fare for <unk> that does n't require the usual stay over saturday night
 that way they can be home in time for work sunday
 the british petroleum co. plc said its <unk> exploration unit has produced the first oil from its don <unk> in the north sea
 in an official release <unk> said initial production from the field was N barrels a day and that it expects peak output from the field of N barrels a day to be reached in N
 as the sponsor of the older americans freedom to work act which would repeal the social security earnings limit for people aged N and older i <unk> your strong endorsement to repeal this <unk> fossil
 for every dollar earned over $ N social security recipients lose N cents of their social security benefits it 's like a N N marginal tax
 but the compounded effects of seniors only taxes result in truly catastrophic marginal tax rates
 imagine a widow who wants to maintain her standard of living at the same level she had before she had to pay the catastrophic <unk>
 although this widow earns only twice the minimum wage largely due to the earnings limit she would have to earn an additional $ N to offset her catastrophic <unk> of $ N
 eliminating the earnings limit would greatly help seniors and reduce the deficit
 repeal would generate more in new taxes than the government would lose in increased social security benefit payments
 we now need support from the democrats on the rules committee in order to include <unk> reform in the reconciliation bill
 since all four republicans on the committee are <unk> of my bill it is the democrats who will be held fully <unk> if an earnings test amendment is not allowed from the floor
 the time is now to lift the <unk> social security earnings limit from the backs of our nation 's seniors
 rep. j. dennis <unk> r. ill
 when his seventh avenue fur business here was flying high N years ago jack <unk> had N workers and a large factory
 now his <unk> employees work in an <unk> shop that he says is smaller than his old storage room
 he also says he is losing money now
 he blames imports
 but just down seventh avenue where about N N of u.s. fur <unk> are made larry rosen has acquired two retail outlets <unk> his <unk> line and expanded into leather
 he credits imports
 the difference lies in how the two entrepreneurial furriers reacted to the foreign competition and <unk> of their industry over the past N years
 one stuck to <unk> business <unk> while the other embraced the change
 the small good fur salon is not what it used to be says mr. <unk> N years old
 we make the <unk> product in the world and the americans are being kicked around
 mr. rosen though believes imports have <unk> the industry in which he has worked for most of his N years
 you 've got some minds here that wo n't think <unk> he says
 import competition for u.s. furs has risen sharply since furriers started aggressively marketing <unk> mink and similar <unk> imported furs in recent years
 merchants discovered a consumer largely ignored by <unk> furriers the younger woman even in her late <unk> who never thought she could buy a mink
 the new market helped boost u.s. fur sales to about $ N billion a year now triple the level in the late 1970s
 it also opened the door to furs made in south korea china hong kong and other countries
 <unk> furs a large south korean maker says it operates N retail outlets in the u.s. and plans to open N more by the end of next year
 mr. <unk> and other <unk> furriers call many of the the imports <unk> and poorly made
 high-end u.s. furriers say these imports have n't squeezed them
 but <unk> and <unk> furriers like mr. <unk> who once <unk> the <unk> seventh avenue fur district say imports have cut their sales
 a woman who once would have saved for two or three seasons to buy a <unk> mink can now get an imported mink right away for less than $ N
 yet mr. rosen has turned the import phenomenon to his advantage
 early in the decade he saw that fur workers in many foreign countries were willing to work longer hours at lower wages than their american counterparts and were more open to innovation
 in N he started a factory in greece
 two years later he opened one in west germany
 he also noticed that foreign makers were introducing many variations on the traditional fur and he decided to follow suit
 by combining his strengths in innovation and quality control with the lower costs of production abroad he says he has been able to produce high-quality goods at low cost
 to maintain control over production and avoid <unk> on foreign sources he says he still makes most of his furs in the u.s.
 but six years ago he also began importing from the far east
 inspired by imports mr. rosen now makes fur <unk> hats and <unk>
 this year he produced a men 's line and offers <unk> furs in red cherry red <unk> royal blue and forest green
 he has leather jackets from turkey that are lined with <unk> skin and topped off with <unk> <unk>
 from asia he has mink jackets with <unk> patterns made by using different <unk> furs
 next he will be testing <unk> <unk> called <unk> made in the far east
 he plans to <unk> the <unk> to the backs of mink coats and jackets
 besides adding to sales <unk> also attract retailers who may buy furs later he adds
 other furriers have also benefited from <unk>
 seymour <unk> the <unk> owner of <unk> <unk> furs inc. <unk> the reverse side of a persian <unk> to produce a <unk> <unk> <unk>
 he says it accounts for N N of total sales
 mr. rosen is also pushing retail sales
 this year he bought two stores one in brooklyn and one in <unk>
 other furriers have also placed more weight on retailing
 golden <unk> furs inc. began retailing aggressively eight years ago and now retail sales account for about N N of gross income
 in other moves mr. rosen says he bought a truck three years ago to reach more retailers
 since then he has expanded his fleet and can now bring his furs to the front door of retailers as far away as the midwest
 small retailers who ca n't afford to travel to his new york showroom have become fair game
 such moves have helped mr. rosen weather the industry slump of recent years
 the industry enjoyed six <unk> years beginning in N but since N sales have <unk> at their $ N billion peak
 large furriers such as <unk> inc. fur vault inc. and evans inc. all reported losses in their latest fiscal years
 <unk> of the N stock market crash head the list of reasons
 in addition competition has <unk> the market with both <unk> and coats driving prices down
 the <unk> movement has n't helped sales
 warm <unk> over the past two years have trimmed demand too furriers complain
 and those who did n't move some production overseas suffer labor shortages
 the intensive labor needed to manufacture furs in the u.s. is not as available as it was says mr. <unk> who is starting overseas production
 but even those who have found a way to cope with the imports and the slump fear that furs are losing part of their <unk>
 people are promoting furs in various ways and taking the <unk> out of the fur business says stephen <unk> <unk> merchandise manager for marshall field 's department store in chicago
 you ca n't make a commodity out of a luxury insists mr. <unk> the new york <unk>
 he contends that chasing consumers with <unk> imports will harm the industry in the long run by reducing the prestige of furs
 but mr. rosen <unk> whatever people want to buy i 'll sell
 the name of the game is to move goods
 four workers at gte corp. 's headquarters have been <unk> as having hepatitis and city health officials are investigating whether a cafeteria worker may have exposed hundreds of other gte employees to the <unk> infection company and city officials said
 the four cases were all reported to gte 's medical director and state and local health authorities
 gte shut down its cafeteria tuesday afternoon after testing determined that at least one cafeteria worker employed by gte 's private food <unk> contractor <unk> services inc. was suffering from a strain of the virus officials said
 more than N people work in the gte building
 the cafeteria remains closed
 dr. andrew <unk> city health director said his staff suspects the hepatitis which can be highly <unk> was spread by the cafeteria worker with the virus
 the exact strain of hepatitis that the cafeteria worker contracted has n't been determined but should be known by the end of the week dr. <unk> said
 hepatitis a considered the least dangerous strain of the virus has been confirmed in at least one gte employee company and city officials said
 from a public health point of view we 're relieved because hepatitis a is rarely <unk> said dr. frank <unk> gte 's medical director
 it 's a <unk> <unk> though because it is also the most <unk> kind of hepatitis
 gte officials began posting warning <unk> about the potential threat to exposure wednesday morning at various places at the company said gte spokesman thomas <unk>
 the company has begun offering shots of <unk> <unk> which will <unk> the <unk> symptoms of hepatitis a in anyone who has contracted the disease mr. <unk> said
 we 're strongly recommending that anyone who has <unk> in the cafeteria this month have the shot mr. <unk> added and that means virtually everyone who works here
 i was <unk> to read the <unk> of facts in your oct. N editorial colombia 's <unk> publisher
 it is the <unk> guerrillas who are aligned with the drug traffickers not the left <unk>
 this information was <unk> from your own news stories on the region
 past colombian government <unk> of the <unk> was due to the drug <unk> ' history of <unk> out <unk> in the <unk>
 mary <unk> palo alto calif.
 i suggest that the wall street journal as well as other u.s. news publications of like mind should put its money where its mouth is lend computer equipment to replace that damaged at el espectador buy ad space publish stories under the <unk> of el espectador journalists
 perhaps an arrangement could be worked out to sponsor el espectador journalists and staff by paying for added security in exchange for exclusive stories
 reward el espectador 's <unk> with real support
 douglas b. evans
 coca-cola co atlanta
 <unk> <unk> and george <unk> were elected vice presidents of this soft-drink company
 mr. <unk> N years old is the company 's director of quality assurance most recently he served as vice president operations for coca-cola enterprises
 mr. <unk> N is manager for corporate manufacturing operations he was assistant vice president at the company
 in the wake of a slide in sterling a tailspin in the stock market and a string of <unk> economic indicators british chancellor of the exchequer nigel lawson promised gradual improvement in the u.k. economy
 in a speech prepared for delivery to london 's financial community mr. lawson <unk> up current economic policy as a battle to <unk> inflation out of the british economy using high interest rates as the essential instrument to carry out the campaign
 two weeks after boosting base rates to N N he pledged that rates will have to remain high for some time to come
 mr. lawson also made it clear that he would be watching exchange rates carefully
 a sinking pound makes imports more expensive and increases businesses ' expectations of future inflation he argued
 in an apparent warning to currency traders who have lately been selling the british currency he stated that the exchange rates will have a major role in the assessment of monetary conditions
 in <unk> the current monetary policy of using high interest rates to fight inflation and shore up the pound mr. lawson dismissed other approaches to managing the economy
 he said he monitors the <unk> figures but does n't give them paramount importance as some private and government economists have suggested
 mr. lawson also dismissed the possibility of imposing direct credit controls on britain 's financial system
 mr. lawson 's speech delivered at the lord mayor of london 's annual dinner at mansion house came on the heels of a <unk> period for the u.k. economy
 two weeks ago in a campaign to blunt inflation at home and arrest a world-wide plunge in the pound he raised base rates a full percentage point to N N
 despite the increase the british currency slid below a perceived <unk> of three marks early last week
 it was quoted at N marks in late new york trading wednesday
 leading up to the speech was a <unk> of economic statistics suggesting that the british war on inflation will be more <unk> than previously assumed
 unemployment in september dropped to N the lowest level since N
 while lower <unk> is generally good news the hefty drop last month indicates that the economy is n't slowing down as much as hoped despite a doubling of interest rates over the last N months
 meanwhile average earnings in britain were up N N in august over the previous year
 another <unk> sign came in a surge in <unk> lending to a record # N billion $ N billion last month a much higher level than economists had predicted
 in a separate speech prepared for delivery at the dinner robin <unk> bank of england governor conceded that demand pressures were even more <unk> than had been <unk> when the british economy was heating up last year
 he added that there 's no <unk> solution to the economic woes and said tight monetary policy is the right approach
 discussing the recent slide in stock prices the central bank governor stated that the markets now appear to have <unk> after the nasty jolt of the 190.58-point plunge in the dow jones industrial average a week ago
 although the new york market plunge prompted a <unk> drop in the london financial times-stock exchange N share index mr. <unk> declared that the experience owed nothing to the particular problems of the british economy
 specifically he pointed out that compared with the u.s. market the u.k. has far fewer highly leveraged junk-bond financings
 discussing future monetary arrangements mr. lawson repeated the thatcher government 's commitment to join the exchange rate mechanism of the european monetary system but he did n't indicate when
 <unk>
 c. olivetti & co. claiming it has won the race in europe to introduce computers based on a powerful new microprocessor chip unveiled its <unk> computer yesterday
 the product is the first from a european company based on intel corp. 's new <unk> <unk> microprocessor which works several times faster than previously available chips
 hewlett-packard co. became the first company world-wide to announce a product based on the chip earlier this month but it wo n't start shipping the computers until early next year
 an olivetti spokesman said the company 's factories are already beginning to produce the machine and that it should be available in europe by december
 what this means is that europeans will have these machines in their offices before americans do the spokesman said
 the new chip is a very big step in computing and it is important that olivetti be one of the first out on the market with this product said <unk> <unk> davis an analyst at james capel & co. in london
 executives at olivetti whose earnings have been steadily sliding over the past couple of years have acknowledged that in the past they have lagged at getting new technology to market
 ms. davis said the new machines could steal some sales away from olivetti 's own minicomputers but would bring new sales among professionals such as engineers stockbrokers and medical doctors
 although olivetti 's profits tumbled N N in the first half of this year she believes olivetti 's restructuring last fall and its introduction of new products will begin to bear fruit with an earnings rebound next year especially if it can fulfill its promise to deliver the new machines by december
 we think the worst is over in the european <unk> market she said
 depending on the type of software and peripherals used the machines can serve either as the main computer in a network of many terminals a role usually filled by a <unk> as a technical workstation or as a very fast personal computer
 it 's the missing link in olivetti 's product line between small personal computers and <unk> minicomputers the olivetti spokesman said
 he added that olivetti will continue making its <unk> <unk> line
 the machines will cost around $ N on average in europe
 the intel N chip can process N million instructions per second or mips while intel 's previous N chip could handle only N to N mips
 olivetti also plans to sell the <unk> computer in the u.s. starting next year through olivetti usa and through its <unk> <unk> unit which specializes in <unk> <unk> networks
 <unk> inc. said it received approval from the french government for its proposed $ N million acquisition of <unk> s.a
 the approval <unk> the remaining conditions of the purchase which is expected to close within two weeks
 <unk> the second-largest maker of food cans in france had N sales of $ N million
 <unk> has N workers at four <unk> manufacturing plants and one plastic container facility
 <unk> makes flexible packaging films and machinery and materials for the food and pharmaceutical industries
 social security benefits will rise N N next year to keep pace with inflation boosting the average monthly benefit to $ N from $ N the department of health and human services announced
 the higher payments will start with social security checks received on jan. N N
 supplemental security income payments to the disabled also will rise N N starting with checks received on dec. N N increasing the maximum <unk> payment to $ N from $ N a month
 the inflation adjustment also means that the maximum annual level of earnings subject to the wage tax that generates revenue for the social security trust fund will rise to $ N in N from $ N this year
 as mandated by law the tax rate will rise to N N in N from N N and wo n't rise any further in the future
 this means that the maximum yearly social security tax paid by workers and employers each will rise $ N next year to $ N
 beneficiaries aged N through N will be able to earn $ N without losing any social security benefits in N up from $ N this year
 the exempt amount for beneficiaries under N will rise to $ N from $ N
 the adjustments reflect the increase in the consumer price index for urban wage <unk> and <unk> workers from the third quarter of last year to the third quarter of this year
 health-care companies should get <unk> in the third quarter
 <unk> houses are expected to report earnings increases of about N N on average for the third quarter despite sales increases of less than N N analysts say
 to offset sluggish sales growth companies have been cutting staff mostly through <unk> and slowing the growth in research and development spending
 sales growth in the quarter was slowed by mounting pressure from groups of buyers such as hospitals to hold down prices
 suppliers were also hurt by the stronger u.s. dollar which makes sales abroad more difficult
 in some cases competition has squeezed margins
 <unk> <unk> & co. for example faces stiff competition from a japanese supplier in the important <unk> market
 the franklin <unk> n.j. company is expected to report sales growth of only N N to N N but should still maintain earnings growth of N N says jerry e. <unk> an analyst with duff & phelps inc
 among the first of the group to post results <unk> laboratories said third-quarter net income jumped N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales for the company based in <unk> park ill. rose N N to $ N billion from $ N billion
 <unk> international inc. yesterday reported net climbed N N in the third period to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales for the <unk> ill. company rose N N to $ N billion from $ N billion
 but not every company expects to report increased earnings
 <unk> <unk> inc. yesterday said third-quarter net plunged N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales fell N N to $ N million from $ N million
 the murray hill n.j. company said full-year earnings may be off N cents a share because the company removed a <unk> from the market
 in N the company earned $ N a share
 the food and drug administration had raised questions about the device 's design
 some analysts add that <unk> pressures to reduce health costs will continue to <unk> companies ' bottom lines
 takeover speculation which has been <unk> stocks of supply houses may also ease says peter <unk> an analyst with drexel burnham lambert inc
 as that <unk> you 're going to see the stocks probably <unk> as well he says
 hospitals companies meanwhile are reporting improved earnings
 bolstered by strong performances by its psychiatric hospitals national medical enterprises inc. los angeles reported net income of $ N million or N cents a share for the first quarter ended aug. N up from $ N million or N cents a share a year earlier
 humana inc. louisville ky. also reported favorable results with net income of $ N million or N cents in the fourth quarter ended aug. N up from $ N million or N cents a year earlier
 analysts say the handful of hospital companies that are still publicly traded are benefiting from several trends
 most important hospital admission rates are stabilizing after several years of decline
 moreover companies have sold off many of their smaller <unk> hospitals and have completed painful restructurings
 humana 's revenues for example are being boosted by large increases in <unk> in the company 's health maintenance organizations
 says <unk> richter an analyst with dean witter reynolds the <unk> in the publicly traded companies is over
 initial claims for regular state unemployment benefits rose to a seasonally adjusted N during the week ended oct. N from N the previous week the labor department said
 the number of people receiving regular state benefits in the week ended sept. N decreased to a seasonally adjusted N or N N of those covered by unemployment insurance from N the previous week when the insured unemployment rate also was N N
 counting all state and federal benefit programs the number of people receiving unemployment benefits in the week ended sept. N fell to N from N a week earlier
 these figures are n't seasonally adjusted
 a labor department spokesman said the unusually high number of initial claims for state unemployment benefits reflects the impact of hurricane hugo on southern states particularly north carolina and south carolina
 the figure also may reflect initial claims filed by striking nynex corp. workers who have become eligible for unemployment benefits the official said
 digital equipment corp. reported a N N decline in net income on a modest revenue gain in its fiscal first quarter causing some analysts to predict weaker results ahead than they had expected
 although the second-largest computer maker had prepared wall street for a poor quarter analysts said they were troubled by signs of flat u.s. orders and a slowdown in the rate of gain in foreign orders
 the maynard mass. company is in a transition in which it is trying to reduce its reliance on <unk> machines and establish a presence in workstations and mainframes
 net for the quarter ended sept. N fell to $ N million or $ N a share from $ N million or $ N a share a year ago
 revenue rose N N to $ N billion from $ N billion
 digital said a shift in its product mix toward <unk> products and strong growth in workstation sales yielded lower gross margins
 a spokesman also said margins for the company 's service business narrowed somewhat because of heavy investments made in that sector
 the lack of a strong product at the high end of digital 's line was a significant drag on sales
 digital hopes to address that with the debut of its first <unk> computers next tuesday
 the new line is aimed directly at international business machines corp
 until the new mainframe products kick in there wo n't be a lot of revenue contribution at the high end and that 's hurt us said mark <unk> digital 's director of investor relations
 he said unfavorable currency <unk> were also a factor in the quarter
 dec shares rose $ N to $ N apiece in consolidated new york stock exchange trading yesterday
 but analysts said that against the backdrop of a nearly <unk> rise in the dow jones industrial average that should n't necessarily be taken as a sign of great strength
 some cut their earnings estimates for the stock this year and predicted more efforts to control costs ahead
 i think the next few quarters will be difficult said steven <unk> of first boston
 margins will remain under pressure and when the new mainframe does ship i 'm not sure it will be a big winner
 mr. <unk> said he was <unk> his estimate for dec 's current year from $ N a share to well below $ N although he has n't settled on a final number
 one troubling aspect of dec 's results analysts said was its performance in europe
 dec said its overseas business which now accounts for more than half of sales improved in the quarter
 it even took the unusually frank step of telling analysts in a morning conference call that orders in europe were up in double <unk> in foreign-currency terms
 that gain probably translated into about N N to N N in dollar terms well below recent quarters ' gains of above N N <unk> jay stevens of dean witter reynolds
 that was a disappointment and a sign of overall <unk> softness in europe mr. stevens said
 marc <unk> with <unk> securities in new york dropped his estimate of dec 's full-year net to $ N a share from $ N
 although overall revenues were stronger mr. <unk> said dec drew down its european backlog and had flat world-wide orders overall
 the bottom line is that it 's more hand to mouth than it has been before he said
 mr. <unk> said he believes that the <unk> of dec 's new mainframe will occur somewhat more <unk> than many of his investment colleagues expect
 he said current expectations are for an entry level machine to be shipped in december with all of the more sophisticated versions out by june
 for reasons he would n't elaborate on he said he 's sure that schedule wo n't be met meaning less profit impact from the product for dec in the next few quarters
 john r. <unk> contributed to this article
 colgate <unk> co. reported third-quarter net income rose N N bolstered by strong sales in its latin american business and surprisingly healthy profits from u.s. operations
 colgate said net income for the quarter rose to $ N million or $ N a share on sales that increased N N to $ N billion
 in the year-earlier period colgate posted net income of $ N million or N cents a share
 last year 's results included earnings from discontinued operations of $ N million or N cents a share
 <unk> mark chairman and chief executive officer of colgate said earnings growth was fueled by strong sales in latin america the far east and europe
 results were also bolstered by a very meaningful increase in operating profit at colgate 's u.s. business he said
 operating profit at colgate 's u.s. household products and personal care businesses which include such well-known brands as colgate <unk> and <unk> <unk> detergent jumped more than N N the company said
 mr. mark attributed the improvement to cost savings achieved by consolidating manufacturing operations <unk> together two sales organizations and more carefully focusing the company 's promotional activities
 we 've done a lot to improve u.s. results and a lot more will be done mr. mark said
 improving profitability of u.s. operations is an extremely high priority in the company
 colgate 's results were at the high end of the range of analysts ' forecasts
 the scope of the improvement in the u.s. business caught some analysts by surprise
 the company 's domestic business especially its household products division has performed poorly for years
 analysts say the earnings improvement came from cutting costs rather than increasing sales
 for the nine months net increased N N to $ N million or $ N a share
 sales rose N N to $ N billion
 the company earned $ N million or $ N a share in the year-earlier period
 colgate 's N net income included $ N million or N cents a share from discontinued operations
 colgate sold its hospital supply and home health care business last year
 separately colgate wednesday <unk> an agreement with <unk> corp. a tiny <unk> products and pharmaceutical concern based in <unk> mass. to market in the u.s. four of <unk> 's <unk> <unk> products
 the products <unk> and <unk> materials used by <unk> all contain <unk> that is released over time
 the move is part of a drive to increase colgate 's business with <unk> a company spokeswoman said
 terms of the agreement were n't given
 <unk> limited partnership said it completed the sale of its <unk> restaurant franchise system to a subsidiary of metromedia co. for $ N million in cash
 <unk> which is nearly <unk> by sam and charles <unk> of dallas said it will distribute proceeds from the sale to unit holders as a <unk> dividend as soon as possible
 the <unk> franchise system which generates about $ N million in sales annually represented substantially all of the partnership 's assets
 the sale of the system has been challenged in a class-action suit on behalf of unit holders filed last week in a delaware court <unk> said
 the company said it believes the suit is without merit
 american telephone & telegraph co. unveiled a sweetened pension and <unk> program for management that it hopes will enable it to save $ N million in the next year
 at&t also said net income rose N N in the third quarter
 at&t said its amended pension program will nearly double to N the number of managers eligible to retire with immediate pension payments
 at&t said that based on studies of other companies that have offered retirement plans it expects about one-third of its eligible managers to retire under the new program
 at&t said third-quarter net income grew despite stiff competition in all of the company 's markets
 net income rose to $ N million or N cents a share from the year-earlier $ N million or N cents a share
 revenue edged up to $ N billion from $ N billion
 the latest period 's net was reduced $ N million or nine cents a share for a change in depreciation method and <unk> changes in estimates of <unk> lives and net salvage for certain telecommunications equipment
 the results roughly matched estimates of securities analysts who were encouraged by at&t increasing its operating margin to N N from N N a year ago because of continued cost-cutting efforts
 sales of long-distance services an extremely competitive market rose N N
 but the growth was partly offset by lower equipment sales and <unk> and price cuts on some products
 under the amended pension program at&t managers who have at least five years of service will have five years added to their age and length of service for pension purposes
 managers who retire dec. N will have an additional N N added to their monthly pension for as long as five years or age N whichever comes earlier
 an at&t spokeswoman said the company would likely replace about one-third of its managers who choose to retire with new employees
 analysts hailed the sweetened pension package which they said had been the subject of rumors for several months
 this tells you at&t is serious about continuing to manage their cost structure and is committed to <unk> earnings growth said jack <unk> an analyst with painewebber inc
 but other analysts expressed disappointment that the cost-cutting move wo n't result in even greater earnings growth
 this is a good move but it only gets you to where people 's expectations already are in terms of earnings growth said joel d. gross an analyst with donaldson lufkin & jenrette
 mr. gross said he had hoped that a cost savings of $ N million would result in even greater growth than the N N annual earnings increase at&t has told analysts it expects in the future
 at&t said the special retirement option will increase fourth-quarter expenses
 but the company said the amount ca n't be determined until it knows how many managers <unk> to retire
 at&t said the expense increase will be largely offset by a gain from its previously announced plan to swap its holdings in <unk> c. olivetti & co. for shares in cie <unk> <unk> an italian holding company
 for the nine months at&t said net income was $ N billion or $ N a share up N N from $ N billion or $ N a share
 revenue gained N N to $ N billion from $ N billion
 in composite trading yesterday on the new york stock exchange at&t shares closed at $ N up N cents
 when it comes to buying and selling shares westridge capital management inc. takes a back seat to no one
 every dollar 's worth of stock in the los angeles money manager 's portfolio is traded seven or eight times a year the firm estimates
 that makes it the most active trader among all the nation 's investment advisers according to securities and exchange commission filings
 but wait a second
 westridge capital is an index fund the type of <unk> long-term investor whose goal is to be nothing more than average
 westridge capital 's <unk> trading reflects the changes sweeping through the previously <unk> world of indexing
 indexing for the most part has involved simply buying and then holding stocks in the correct mix to mirror a stock market barometer such as standard & poor 's 500-stock index and match its performance
 institutional investors have poured $ N billion into stock and bond indexing as a cheap and easy form of investment management that promises to post average market returns
 these big investors have <unk> to indexing because relatively few active stock pickers have been able to consistently match the returns of the s&p N or other <unk> much less beat it
 and the fees investors pay for indexing run a few pennies for each $ N of assets a fraction of the cost of active managers
 that 's because computers do most of the work and low trading activity keeps a lid on commission costs
 but today indexing is moving from a passive investment strategy to an increasingly active one
 because <unk> managers are no longer satisfied with merely being average they have developed enhanced indexing strategies that are intended to outperform the market as much as three percentage points
 indexing has been the most single successful investment concept in the last decade but the index money has been just sort of sitting there says <unk> m. lynn president of <unk> core investors inc. an <unk> based in <unk> n.y
 now the interest is in what else can i do with that money
 among the <unk> indexing strategies <unk> portfolios can be built around thousands of stocks or just a few dozen rather than being restricted to the s&p N companies
 they can ignore the s&p N stocks altogether and focus on particular types of stocks such as smaller companies those paying high dividends or companies in a particular industry state or country
 with today 's computer-driven program trading techniques index funds can trade back and forth between stock-index futures and the actual stocks making up indexes such as the s&p N
 futures and options also make it possible to build synthetic index funds that do n't actually own a single share of stock but can produce returns that match or exceed the broad stock market
 one reason for these <unk> is that indexing 's rapid growth is slowing particularly for those plain <unk> funds that mirror the s&p N
 there is n't a <unk> of big investors out there still waiting to get into indexing says p. james <unk> vice president of <unk> investment management co. chicago which offers both indexing and active management services
 after <unk> in size in the past five years index funds now hold about N N of the stock owned by pension funds
 a further problem is <unk> profits
 <unk> funds have become so <unk> that fees they can charge have plunged to almost nothing and in some cases are just that
 to land customers for their <unk> stock <unk> business big banks sometimes will throw in basic indexing services for free
 it 's like getting a free <unk> when you open an account says <unk> core 's mr. lynn
 as a result <unk> have been looking for ways to give investors something more than the average for their money
 and many have been successful as in the case of the index fund operated by <unk> westridge capital
 westridge capital has used enhanced indexing techniques to beat the s&p N 's returns by N to N percentage points over the past four years with the same risk level as holding the s&p N stocks according to james <unk> the firm 's president
 strategies vary for westridge capital which has $ N million under management
 the firm sometimes buys s&p N futures when they are selling at a discount to the actual stocks and will switch back and forth between stocks and stock-index futures to take advantages of any <unk> price <unk>
 mr. <unk> also goes through periods when he buys stocks in <unk> with options to boost returns and protect against declines
 and in some months he buys stock-index futures and not stocks at all
 by their nature our trades are very short-term and are going to create high turnover mr. <unk> adds
 the more turnover the better for our clients
 big <unk> bankers trust co. also uses futures in a strategy that on average has added one percentage point to its enhanced fund 's returns
 j. thomas allen president of <unk> advanced investment management inc. agrees it 's a good idea to jump between the s&p N stocks and futures
 you 're buying the s&p and you always want to hold the cheapest form of it he says
 but some <unk> make little or no use of futures saying that these instruments present added risks for investors
 if the futures markets have a problem then those products could have a problem says john <unk> managing director of prudential insurance co. of america 's investment index technologies inc. unit
 prudential currently is seeking approval to offer a new fund offering a return equal to the s&p N index plus N of a percentage point
 an added feature is that the <unk> improved return would be guaranteed by prudential
 there are many other strategies to bolster the returns of index funds
 they include
 limited risk funds
 these guarantee protection against stock market declines while still passing along most gains
 here a fund may promise to pay back say $ N of every $ N invested for a year even if the market goes much lower
 the fund could invest $ N for one year in treasury bills yielding N N to return the guaranteed $ N
 that leaves $ N which could be used to buy s&p N options that will nearly match any gain in the s&p index
 manager <unk> funds
 say a big investor is interested in growth stocks
 instead of hiring one of the many active managers specializing in growth stocks <unk> can design a portfolio around the same stocks the portfolio will be maintained by computer reducing both fees and in theory risk because of the large number of stocks
 we see a lot of interest in those kind of things says frank <unk> a vice president of bankers trust
 people comfortable with the passive approach are using them for other strategies
 tilt funds
 this is an index fund with a bet
 instead of <unk> the s&p N or some other index exactly some stocks are <unk> or <unk> in the portfolio
 one simple approach is to exclude s&p N companies considered bankruptcy candidates this can avoid weak <unk> but also can hurt when a company like chrysler corp. <unk>
 another approach an investor with $ N million might use $ N million to buy the s&p N index and spend the other $ N million on a favorite group of stocks
 specialized funds
 indexes can be constructed to serve social goals such as eliminating the stocks of companies doing business in south africa
 other funds have been designed to concentrate on stocks in a geographic area in order to encourage local investment
 pennsylvania state employees retirement system for example has about $ N million invested in a fund of N companies that are either <unk> or have N N of their work forces in the state
 short interest on the new york stock exchange declined for the second consecutive month this time N N while the american stock exchange reported its third consecutive record month of short interest
 the big board reported that short interest dropped to N shares as of oct. N from N shares in <unk>
 amex short interest climbed N N to N shares from N shares
 for the year-earlier month the big board reported N shares indicating a N N year-to-year rise while the amex reported N shares a N N leap
 amex short interest has been heading upward since <unk> with increases in each month since then except at <unk>
 traders who sell short borrow stock and sell it betting that the stock 's price will decline and that they can buy the shares back later at a lower price for return to the lender
 short interest is the number of shares that have n't yet been purchased for return to lenders
 although a substantial short position reflects heavy speculation that a stock 's price will decline some investors consider an increase in short interest bullish because the borrowed shares eventually must be bought back
 <unk> in short interest of certain stocks also may be caused partly by <unk>
 the figures occasionally include incomplete transactions in restricted stock
 the level of negative sentiment measured by the big board short interest ratio slipped to N from last month 's N
 the ratio is the number of trading days at the exchange 's average trading volume that would be required to convert the total short interest position
 some analysts suggest however that the ratio has weakened in value as an indicator because options and other products can be used to hedge short positions
 <unk> corp. led the big board list of largest short volumes with N shares
 <unk> has proposed to acquire <unk> corp. consisting of the auto parts division and some debt of <unk> corp. for $ N million of cash and securities
 chemical waste management posted the biggest increase in short volume on the new york exchange up N shares to N
 bristol-myers squibb co. the entity formed from the recent acquisition of squibb corp. by bristol-myers co. <unk> the largest volume decline N shares to N
 short interest in international business machines corp. plunged to N shares from N shares a month earlier
 also closely watched is exxon corp. where short interest slid to N shares from N
 on a percentage basis germany fund inc. led the gainers leaping to N shares from three shares
 transcanada pipelines ltd. led the percentage decliners dropping to N shares from N
 the amex short interest volume leader again was texas air corp. rising to N shares from N
 <unk> pharmaceutical co. posted the largest volume increase N shares to N
 the company is under an investigation concerning procedures to gain food and drug administration approval of generic drugs
 <unk> has denied any wrongdoing
 the largest volume drop down N shares to N came in shares represented by b.a.t industries plc 's american depositary receipts
 the company is facing a takeover proposal from the financier sir james goldsmith
 first <unk> fund led the percentage increases rising to N shares from N
 nelson holdings international ltd. dropped the most on a percentage basis to N shares from N
 the adjacent tables show the big board and amex issues in which a short interest position of at least N shares existed as of mid-october or in which there was a short position change of at least N shares since <unk>
 your oct. N editorial <unk> <unk> presidency <unk> states that i was critical of the bush administration 's failure to have any plan in place to respond in a timely fashion to the opportunities to oust manuel noriega presented by the attempted military coup on oct. N
 you are absolutely wrong however in <unk> that this position is some kind of <unk> something newly arrived at as a result of reading the opinion polls
 my position is one founded on both the facts and the law
 although you may have forgotten public opinion about gen. noriega is where it is in large measure because of my investigation of his years of involvement in narcotics <unk> and simultaneous work as a u.s. <unk>
 the public made up its mind about gen. noriega largely as a result of the hearings i <unk> in the subcommittee on terrorism and narcotics of the foreign relations committee on feb. N N N and N N and again on april N N
 it was during those hearings that the nation first learned the <unk> and <unk> of gen. noriega 's <unk> and of his <unk> relationships with a variety of u.s. government agencies
 those hearings also <unk> how gen. noriega was able to use his relationships with these agencies to delay u.s. action against him and to exploit the administration 's <unk> with <unk> the sandinistas to protect his own <unk>
 as former ambassador to costa rica francis j. <unk> testified before the subcommittee the reagan administration knew that gen. noriega was involved with narcotics but made a decision in the summer of N to put gen. noriega on the shelf until nicaragua was settled
 as the report issued by the subcommittee concluded our government did nothing regarding gen. noriega 's drug business and substantial criminal involvement because the first priority was the contra war
 this decision resulted in at least some drugs entering the united states as a hidden cost of the war
 unfortunately this problem continued even after gen. noriega 's indictment
 throughout N and this year i and others in congress have pressed the u.s. to develop a plan for pushing this <unk> out of panama
 <unk> two <unk> in a row have been unwilling and unable to develop any plan military or economic for supporting the panamanian people in their attempts to restore democracy
 sen. john kerry d. mass
 for vietnamese these are tricky often <unk> times
 after years of <unk> economic and political reform was embraced at the end of N but ringing <unk> have yet to be translated into much action
 vietnam is finding that turning a <unk> socialist order into a dynamic free market does n't come easy
 here is how three vietnamese are coping with change
 the tire king
 nguyen van chan is living proof that old ways die hard
 mr. chan used to be an <unk> in <unk> a private entrepreneur
 his business success made him an official target in <unk> days
 mr. chan now N years old invented a <unk> <unk> he and his family produced from plastic waste
 later he marketed <unk>
 both products were <unk> popular
 for his troubles mr. chan was jailed three times between N and N
 though his operation was registered and used only scrap he was accused of conducting illegal business and <unk> illegal materials
 once he was held for three months without being charged
 things were supposed to change when vietnam 's economic reforms gathered pace and for <unk> they did
 after years of <unk> mr. chan produced a <unk> bicycle tire that <unk> its <unk> rival
 by N he was selling thousands of tires
 newspapers published articles about him and he was hailed as the tire king
 his efforts earned a gold <unk> at a national exhibition and attracted renewed attention from local authorities
 district police in N <unk> on his suburban home which he and his large family used as both residence and factory and demanded proof the house and equipment were his
 he produced it
 that was the first time they lost and i won he says
 he was further questioned to determine if he was a real working man or an <unk>
 says mr. chan when i showed it was from my own brain they lost for the second time
 but a few days later the police accused him of stealing electricity acquiring rubber without permission and buying stolen property
 warned he was to be jailed again he fled to the <unk>
 his family was given three hours to leave before the house and <unk> were confiscated
 with only the clothes they were wearing family members moved to a home owned by one of mr. chan 's sons
 after six months on the run mr. chan learned the order for his arrest had been canceled
 he <unk> his family in january N and began the long struggle for justice pressing everyone from <unk> municipal officials to national assembly deputies for restoration of his rights
 he and his family kept afloat by <unk> <unk> selling fruit and doing odd jobs
 mr. chan achieved a <unk> in N and became a minor celebrity again when his story was published in a weekly newspaper
 in N N months after the sixth congress formally endorsed <unk> private enterprise district authorities allowed mr. chan to resume work
 by late last year he was invited back as the tire king to display his products at a national exhibition
 national leaders stopped by his stand to <unk> his <unk>
 mr. chan now produces N bicycle and <unk> tires a month and N <unk> of <unk> <unk> in the son 's small house
 <unk> people pack the house 's two rooms the <unk> four of their N children with spouses and eight of N <unk>
 most sleep on the floor
 come <unk> eight family members and two other workers <unk> a sheet of raw rubber that covers the floor of the house and <unk> out onto the street
 the <unk> operations also burst out the back door into a small <unk> where an ancient press <unk> rubber solution into a flat strip and newly made tires are cooled in a <unk> filled with water
 mr. chan talks <unk> of expanding maybe even moving into the <unk> field
 first however he has <unk> business
 when district authorities allowed him to resume manufacturing they released only one of his machines
 they did n't return the rubber stocks that represent his capital
 nor did they return his house and <unk> which he values at about $ N
 he wants to recover more than just his property though
 i want my dignity back he says
 the editor
 nguyen <unk> seemed an obvious choice when the vietnamese writers association was looking for a new editor to reform its weekly newspaper van <unk>
 after the sixth congress journalists seized the opportunity provided by the <unk> to probe previously <unk> subjects
 mr. <unk> N years old had solid <unk> credentials he had lost his official position in the association in he early 1980s because he questioned the <unk> of politics into literature
 appointed editor in chief in july N mr. <unk> rapidly turned the <unk> van <unk> into vietnam 's hottest paper
 circulation soared as the weekly went way beyond standard literary themes to cover vietnamese society and its <unk>
 readers were <unk> by the paper 's <unk> and <unk> by the dark side of life it uncovered
 one article <unk> a <unk> struggle by a <unk> <unk> to prove officially he was alive
 another described how <unk> officials in <unk> <unk> province one night <unk> through homes and confiscated rice from <unk> <unk>
 the newspaper also ran a series of controversial short stories by nguyen <unk> <unk> a former history teacher who <unk> debate over his interpretation of vietnamese culture and took a <unk> <unk> <unk> at writers who had blocked his entry into their official association
 van <unk> quickly made influential enemies
 those who manage <unk> and a large number of writers reacted badly to the <unk> paper says <unk> nguyen an a literary critic
 after months of internal <unk> mr. <unk> was fired last december
 his dismissal triggered a furor among intellectuals that continues today
 under mr. <unk> van <unk> protected the people instead of the government says nguyen <unk> a <unk> who is the paper 's bureau chief for southern vietnam
 the paper reflected the truth
 for the leadership that was too painful to bear
 the billionaire
 nguyen thi thi is vietnam 's entrepreneur of the 1980s
 her challenge is to keep her fledgling empire on top in the 1990s
 mrs. thi did n't wait for the reforms to get her start
 she charged ahead of the government and the law to establish <unk> city food co. as the biggest rice dealer in the country
 her success which included <unk> an urban food shortage in the early 1980s helped persuade <unk> to take the reform path
 her story is becoming part of local <unk>
 a <unk> revolutionary with little education who fought both the french and the <unk> <unk> regime she switched <unk> to commerce after the war
 her <unk> were <unk> despite her background
 as she rode over regulations only her friendship with party leaders including nguyen van <unk> then <unk> <unk> <unk> city party secretary kept her out of jail
 following mr. <unk> 's appointment as <unk> of the party at the sixth congress mrs. thi has become the <unk> of <unk> <unk> the vietnamese version of perestroika
 the authorities have <unk> foreign reporters to her office to see an example of the new way of thinking
 foreign publications have responded with articles declaring her vietnam 's <unk> woman
 some people call me the communist billionaire she has told visitors
 actually <unk> mrs. thi is about as poor as almost everyone else in this <unk> land
 she has indeed turned <unk> city food into a <unk> conglomerate but the company itself remains state-owned
 she manages it with the title of <unk>
 the heart of the business is the purchase of rice and other commodities such as corn and coffee from farmers in the south paying with fertilizer farm tools and other items
 last year <unk> city food says it bought two million metric tons of <unk> rice more than N N of the country 's output
 the company operates a fleet of trucks and <unk> to transport the commodities to its warehouses
 a subsidiary company processes commodities into foods such as instant <unk> that are sold with the rice through a vast retail network
 in recent years mrs. thi has started to diversify the company taking a N N stake in newly established partly private industrial and commercial bank and setting up <unk> <unk> which owns and operates vietnam 's first oil refinery
 mrs. thi says <unk> city food last year increased pretax profit N N to the equivalent of about $ N million on sales of $ N million
 she expects both revenue and profit to gain this year
 she is almost <unk> about the possibility vietnam 's reforms will create rivals on her home turf
 i do n't mind the competition inside the country she says
 i am only afraid that with vietnam 's <unk> products we ca n't compete with neighboring countries
 the earthquake that hit the san francisco bay area is n't likely to result in wholesale downgrading of bond ratings officials at the two major rating agencies said
 standard & poor 's corp. is reviewing debt issued by N california counties and there are potential isolated problems said hyman <unk> a managing director
 the agency is preparing a report to be issued today on the earthquake 's impact on the <unk> and <unk> industry
 the only securities so far to be singled out are those issued by bay view federal savings & loan
 moody 's investors service inc. said it is reviewing with an eye toward a possible downgrade the ratings on bay view federal bonds long-term deposits and the <unk> rating of its parent company bay view capital corp
 as for property and casualty insurers moody 's said preliminary estimates suggest that losses should not have a significant impact on most insurers ' financial condition but it raises concerns about potentially substantial risks longer-term
 losses from the earthquake are expected to be of similar magnitude to those of hurricane hugo according to moody 's
 your oct. N editorial a democratic tax cut contained an error
 in the third <unk> it referred to the senators seeking <unk> suggestions from lobbyists for various sectors of the economy
 among them <unk> farmers
 the only significant commercial <unk> farmers in the u.s. are in hawaii
 the hawaii <unk> industry association to which nearly all of them belong has no lobbyist
 thomas v. <unk> <unk> <unk> <unk> co
 western digital corp. reported a net loss of $ N million or nine cents a share for its first quarter ended sept. N citing factors as <unk> as hurricane damage an advance in graphics technology and the strengthening dollar
 in the year-ago period the company earned $ N million or N cents a share on sales of $ N million
 sales for the <unk> period fell to about $ N million the maker of computer parts said
 nonetheless chairman roger w. johnson said he expects the company to be profitable in the current quarter
 we are positioned to come through he said noting that the company 's backlog was up from the previous quarter
 in its second quarter last year western digital earned $ N million or N cents a share on sales of $ N million
 mr. johnson said western digital 's plant in puerto rico was affected by hurricane hugo losing three days ' production because of the storm which <unk> much of the caribbean island 's infrastructure
 although the plant itself was n't damaged mr. johnson said millions of dollars in first-quarter revenue were lost
 the revenue will be regained in the current period he added
 there are no plans to <unk> a common stock dividend mr. johnson said explaining that the board continues to believe shareholders are best served by <unk> excess cash
 mr. johnson said the first-quarter loss also heavily reflected a rapid change in graphics technology that left <unk> channels with too many of the old computer graphics boards and too few new monitors compatible with the new graphics boards
 western digital does n't make the monitors
 an accelerating move by personal computer manufacturers ' to include advanced graphics <unk> as standard equipment further <unk> <unk> purchases of western digital 's equipment
 the other areas of the business storage and <unk> were very good mr. johnson said
 he said western digital has reacted swiftly to the movement to video graphics array <unk> graphics technology from the old enhanced graphics <unk> <unk> which has a lower resolution standard technology and now is one of the leading producers of these newer units
 other makers of video <unk> equipment also were caught in the <unk> shift he said but we were able to respond much more quickly
 still mr. johnson said our stock is grossly undervalued
 he said the company has cut operating expenses by about N N over the last few quarters while maintaining research and development at about N N to N N of sales
 as part of its reorganization this week western digital has divided its business into two segments storage products including controllers and disk drives and <unk> products which include graphics communications and peripheral control chips
 graphics communications and peripheral control chips were combined because increasingly multiple functions are being <unk> by a single chip
 storage which includes computer controllers and <unk> disk drives represents nearly two-thirds of the company 's business
 disk drives which allow a computer to access its memory generated N N more revenue in the most recent period compared with the fiscal first quarter a year earlier
 computer parts are getting ever smaller mr. johnson said a shrinking that has propelled <unk> into position as the fastest-growing segment of the computer business
 as smaller and more powerful computers continue to be the focus of the industry he said western digital is strengthening development of laptop parts
 next year western digital plans to consolidate its operations from N buildings in irvine into two buildings in the same city a new headquarters and a block away a modern $ N million silicon <unk> fabrication plant
 the plan will help the company in its existing joint manufacturing agreement with at&t
 about half of western digital 's business is overseas and mr. johnson expects that proportion to continue
 plans to <unk> many of the trade barriers within europe in N creates significant opportunities for the company he said particularly since western digital already manufactures there
 <unk> on that presence western digital is launching a major effort to develop the <unk> <unk> market in europe
 directors of state-owned <unk> <unk> del <unk> approved a <unk> <unk> transaction and a change in the bank 's rules that will help it operate more like a private-sector institution
 until now bnl 's top managers and its directors have been appointed by a treasury <unk>
 but under the bank 's proposed statutes an assembly of shareholders must approve board members
 the bank 's chairman and director general who also sit on the board still would be appointed by the treasury
 bnl which is controlled by the italian treasury was rocked by the disclosure last month that its atlanta branch extended more than $ N billion in unauthorized credits to <unk>
 the <unk> scandal in which the bank 's management resigned has helped renew calls for privatization or at least an overhaul of italy 's banking system which is about N N state-controlled
 in a related move the bank also proposed that board representation be linked more closely to the bank 's new <unk> structure
 bnl called a shareholders ' assembly meeting in december to vote on the proposals
 bnl has about N <unk> shares that are listed on the milan stock exchange
 the shares were suspended from trading following disclosure of the atlanta scandal <unk> the stock exchange regulatory body reportedly will decide soon whether to end the trading suspension
 switzerland 's wholesale price index increased N N in september from august and was up N N from a year ago marking the first time this year that the index has fallen below N N on a year-to-year basis the government reported
 the government attributed the N N <unk> rise in the index largely to higher energy prices
 in august the index was up N N from the previous month and was up N N on a year-to-year basis
 the wholesale price index based on N as N was N in september
 american express co. posted a N N increase in third quarter net income despite a sharp rise in reserves for third world loans at its banking unit
 aided by a sharp gain in its travel business american express said net rose to $ N million or N cents a share from $ N million or N cents a share
 the year-earlier figures included $ N million or three cents a share in income from discontinued operations
 income from continuing operations was up N N
 revenue rose N N to $ N billion from $ N billion
 the travel investment services insurance and banking concern added $ N million to reserves for credit losses at its american express bank unit boosting the reserve to $ N million as of sept. N
 the bank 's third world debt portfolio totals $ N million down from $ N billion at the end of N
 the bank charged off $ N million in loans during the quarter
 at the american express travel related services co. unit net rose N N to a record $ N million on a N N revenue increase
 the figures exclude businesses now organized as american express information services co
 american express card charge volume rose N N
 travel sales rose N N led by gains in the u.s.
 at <unk> financial services the financial planning and mutual fund unit net rose N N to a record $ N million on a N N revenue gain
 assets owned or managed rose N N to $ N billion and mutual fund sales rose N N in the quarter to $ N million
 american express bank earnings fell N N to $ N million from $ N million despite a N N revenue gain
 the results include $ N million of tax benefits associated with previous years ' third world loan activity compared with $ N million a year earlier
 profit rose N N at american express information services to $ N million
 shearson lehman hutton holdings inc. as previously reported had net of $ N million <unk> a $ N million loss a year earlier its latest results include a $ N million gain from the sale of an institutional money management business
 american express 's share of shearson 's earnings was $ N million after preferred stock dividends it owns about N N of shearson 's common
 for the nine months american express said net rose N N to $ N million or $ N a share from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 <unk> inc. hampered by a slowdown in its defense sales reported an N N decline in per-share earnings on nearly flat revenue for its third quarter
 the aerospace and financial services concern said net income fell N N to $ N million from $ N million
 revenue of $ N billion was almost unchanged from last year 's $ N billion
 per-share net of N cents down from N cents fell by more than overall net because of more shares outstanding
 the company said that improved results in its financial-services sector were <unk> by increased costs in its government contract business lower operating earnings in its <unk> sector and soft automotive markets
 net was aided by a lower income tax rate
 profit before taxes fell N N to $ N million from $ N million
 for the nine months <unk> reported net of $ N million or $ N a share on revenue of $ N billion
 a year ago net was $ N million or $ N a share on revenue of $ N billion
 the nine-month results included a $ N million special charge in N for an arbitration settlement related to past export sales and $ N million in extraordinary charges in N related to a former line of business and early redemption of debt
 <unk> said that <unk> ' results do n't include earnings of <unk> plc a british maker of industrial fasteners but do include interest costs of $ N million on borrowings related to the proposed purchase of <unk>
 a federal judge has issued a preliminary injunction against the purchase because of federal trade commission concerns that the transaction would reduce competition in the production of two kinds of <unk>
 for the quarter <unk> said aerospace revenue including bell helicopter and <unk> manufacture declined N N to $ N million from $ N million an indication of slowing government defense work
 as the hunt brothers ' personal bankruptcy cases <unk> into their second year minpeco s.a. has proposed a deal to settle its huge claim against the troubled texas oil men
 but the plan only threatens to <unk> the tension and confusion already surrounding the cases that were filed in september N
 the <unk> mineral concern 's $ N million claim stems from N jury award in a case stemming from the brothers ' alleged attempts to corner the N silver market
 minpeco now says it is willing to settle for up to $ N million from each brother although the actual amount would probably be much less
 although the proposal must be approved by federal judge harold c. abramson w. herbert hunt has agreed to the <unk> mineral concern 's proposal
 nelson <unk> hunt is considering it although his attorney says he wo n't do it if the proposal <unk> a tentative settlement he has reached with the internal revenue service which claims the brothers owe $ N billion in back taxes and is by far the biggest creditor in both cases
 the tentative agreement between the irs and nelson <unk> hunt is awaiting u.s. justice department approval
 under it the former billionaire 's assets would be liquidated with the irs getting N N of the proceeds and the rest being divided among other creditors including minpeco and manufacturers hanover trust co. which is seeking repayment of a $ N million loan
 a <unk> proposal has been made in the w. herbert hunt case although he and the irs are at odds over the size of the <unk> debt he would have to pay to the government from future earnings
 in both cases minpeco and manufacturers hanover have been fighting <unk> over their shares of the pie
 with support from the irs manufacturers hanover has filed suit asking judge abramson to subordinate minpeco 's claim to those of manufacturer hanover and the irs
 minpeco has threatened a <unk> of litigation if the manufacturers hanover corp. unit attempts to force such a plan through the court
 minpeco said it would n't pursue such litigation if its settlement plan in the w. herbert hunt case is approved by judge abramson who will consider the proposal at a hearing next week
 minpeco attorney thomas <unk> <unk> the plan as one step toward an overall settlement of the w. herbert hunt case but <unk> ray attorney for manufacturers hanover called it silly and said he would fight it in court
 the thing is so <unk> right now that there 's really no way to say what will happen says justice department attorney <unk> <unk> iii who represents the irs in the case
 developments like this are hard to predict
 banc one corp. said it agreed in principle to buy five branch offices from trustcorp inc. toledo ohio following the planned merger of trustcorp into society corp. cleveland
 the five offices in <unk> and <unk> counties in northern ohio have total assets of about $ N million banc one said
 the purchase price will be established after banc one has an opportunity to study the quality of the assets banc one said
 society corp. already has branches in the area and selling the trustcorp offices could avoid a problem with regulators over excessive concentration of banking in the two counties after the merger of trustcorp into society according to industry sources
 the merger is scheduled to take place in the N first quarter
 stock-market fears and relatively more attractive interest rates pushed money-market mutual fund assets up $ N billion in the latest week the sharpest increase in almost two years
 the N funds tracked by the investment company institute a washington-based trade group rose to $ N billion a record
 the $ N billion increase was the strongest weekly <unk> since january N
 the increase was spread fairly evenly among all three types of funds
 individual investors represented in the <unk> and broker-dealer fund categories pulled money from the stock market after its big drop last friday and put the money into funds said jacob <unk> vice president and chief economist of the institute
 <unk> investors on the other hand reacted to the steep decline in yields on direct money-market instruments following the stock-market decline last friday mr. <unk> said
 yields on money funds dropped in the week ended tuesday according to donoghue 's money fund report a <unk> mass. newsletter
 the average seven-day compounded yield fell to N N from N N the week earlier donoghue 's said
 at the auction of six-month u.s. treasury bills on monday the average yield fell to N N from N N
 likewise certificates of deposit on average posted lower yields in the week ended tuesday
 the N <unk> money funds rose $ N billion to $ N billion
 the N <unk> funds increased $ N billion to $ N billion while N broker-dealer funds increased $ N billion to $ N billion
 domestic lending for real estate and property development was the source of bank bumiputra malaysia <unk> 's most recent spate of financial troubles the institution 's executive chairman <unk> basir <unk> said
 speaking to reporters this week after bank bumiputra 's shareholders approved a rescue plan <unk> sri basir said heavy lending to the property sector rocked the bank when property prices in malaysia plummeted in N
 he said the bank could n't wait any longer for prices to recover and for borrowers to service their loans
 so the bank 's board decided to make N billion <unk> dollars us$ N million in provisions for interest payments from loans previously recorded as revenue but never actually received by the bank and to submit a bailout package to <unk> the bank 's <unk> capital
 the <unk> he added was similar to the hong kong N <unk> collapse which exposed the involvement of bank bumiputra 's former subsidiary in the colony in the largest banking scandal in malaysia 's history
 the subsidiary bumiputra malaysia finance ltd. was left with m$ N billion in bad loans made to hong kong property speculators
 both episodes wiped out bank bumiputra 's shareholders ' funds
 each time the bank 's N N shareholder <unk> <unk> <unk> or <unk> the national oil company has been called upon to rescue the institution
 in five years <unk> which became the dominant shareholder in a N rescue exercise has spent about m$ N billion to <unk> up the troubled bank
 <unk> sri basir said the capital restructuring plan has been approved by malaysia 's capital issues committee and central bank
 malaysia 's high court is expected to approve the plan
 once the plan is approved <unk> sri basir said most of bank bumiputra 's nonperforming loans will have been fully provided for and the bank will be on track to report a pretax profit of between m$ N million and m$ N million for the fiscal year ending march N
 for the previous financial year the bank would have reported a pretax profit of m$ N million if it had n't made provisions for the nonperforming loans he said
 malaysia 's banking <unk> act prohibited the bank from identifying <unk> borrowers said <unk> sri basir
 but public documents indicate N N or more of the bank 's provisions were made for <unk> interest on a m$ N million loan to malaysia 's dominant political party the united <unk> national organization to build its convention and headquarters complex in kuala lumpur
 the loan to <unk> was made in september N
 we lent a lot of money all over the place said <unk> sri basir who refused to discuss the bank 's outstanding loans to
 as well as the m$ N billion in provisions announced on oct. N the restructuring package covers an additional m$ N million in provisions made in earlier years but never reflected in a reduction of the bank 's <unk> capital
 at the end of the exercise the cash injection from <unk> will increase the bank 's <unk> capital to m$ N billion after virtually being wiped out by the new provisions
 <unk> <unk> might have stepped from a recruiting <unk> for young republicans
 white N years old a singer in her church <unk> she <unk> a generation that gave its heart and its vote to ronald reagan
 i felt kind of safe she says
 no longer
 when the supreme court opened the door this year to new restrictions on abortion ms. <unk> opened her mind to democratic politics
 then a political <unk> she stepped into a <unk> of pro-choice <unk> house parties and <unk>
 now she leads a <unk> abortion-rights campaign in <unk> county for pro-choice democratic gubernatorial candidate james florio
 this is one where i cross party lines she says rejecting the anti-abortion stance of rep. florio 's opponent <unk> rep. james courter
 people my age thought it was n't going to be an issue
 now it has especially for people my age
 polls bear out this warning but after a decade of increased republican influence here the new politics of abortion have contributed to a world turned upside down for mr. courter
 unless he closes the gap republicans risk losing not only the <unk> but also the assembly next month
 going into the 1990s the gop is paying a price for the same conservative social agenda that it used to <unk> democrats in the past
 this change comes less from a shift in public opinion which has n't changed much on abortion over the past decade than in the <unk> of the debate
 new jersey 's own highest court remains a liberal <unk> against major restrictions on abortion but the u.s. supreme court ruling webster vs. missouri has engaged voters across the nation who had been <unk> from the issue
 before july pro-choice voters could <unk> make political decisions without focusing narrowly on abortion
 now the threat of further restrictions adds a new <unk> bringing an <unk> in political activity by abortion-rights forces
 a recent pro-choice rally in <unk> drew thousands and in a major reversal congress is <unk> a presidential veto and demanding that medicaid abortions be permitted in cases of rape and incest
 if webster had n't happened you would n't be here linda <unk> tells a reporter in the <unk> office of the national organization for women
 we could have shouted from the <unk> about courter and no one would have heard us
 new jersey is a proving ground for this aggressive <unk> movement this year
 the <unk> of activists can bring a clash of <unk>
 in cherry hill the national abortion rights action league whose goal is to sign up N pro-choice voters targets a union breakfast to build labor support for its cause
 the league <unk> seem more a fit with a convention next door of young <unk> <unk> in <unk> than the <unk> union leaders i wish i could go work out says a slim activist
 a labor chief speaks <unk> of having to man and woman election day phones
 no age group is more sensitive than younger voters like ms. <unk>
 a year ago this fall new jersey voters under N favored george bush by N N to N N over michael <unk> according to a survey then by <unk> university 's <unk> institute
 a matching <unk> star <unk> poll last month showed a complete reversal
 voters in the same age group backed democrat florio N N to N N over republican courter
 abortion alone ca n't explain this shift but new jersey is a model of how so personal an issue can become a baseline of sorts in judging a candidate
 by a <unk> ratio voters appear more at ease with mr. florio 's stance on abortion and polls indicate his lead widens when the candidates are specifically linked to the issue
 the times are my times says mr. florio
 the <unk> county congressman still carries himself with a trademark <unk> intensity but at a <unk> in newark 's columbus day parade recently he was <unk> with his wife in the middle of the avenue in the city 's old <unk> ward
 after losing by fewer than N votes in the N governor 's race he has prepared himself <unk> for this moment including deciding in recent years he could no longer support curbs on federal funding for medicaid abortions
 if you 're going to be consistent and say it is a <unk> protected right he asks how are you going to say an upscale woman who can drive to the hospital or clinic in a nice car has a constitutional right and someone who is not in great shape financially does not
 mr. courter by comparison seems a shadow of the confident <unk> who defended oliver north before national cameras at iran-contra hearings two years ago
 looking back he says he <unk> by <unk> his personal opposition to abortion instead of <unk> voters that he would n't impose his views on policy as governor
 it is a <unk> that <unk> neither side in the debate
 he does n't know himself <unk> <unk> of the abortion rights league says of mr. courter 's position
 even abortion opponents however angry with mr. florio ca n't hide their frustration with the republican 's <unk>
 he does n't want to lead the people says richard <unk> president of new jersey right to life
 moreover by stepping outside the state 's pro-choice tradition mr. courter <unk> fears that he is too conservative as well on more pressing concerns such as auto insurance rates and the environment
 he hurt himself further this summer by bringing homosexual issues into the debate and by <unk> on this issue and abortion he has weakened his credibility in what is already a <unk> campaign on both sides
 elected to congress in N the <unk> mr. courter is part of a generation of young conservatives who were once very much in the lead of the <unk> shift under mr. reagan
 like many of his colleagues he did n't serve in vietnam in the 1960s yet embraced a <unk> defense and foreign policy even voting against a N resolution critical of the u.s. mining of nicaraguan harbors
 jack kemp and the writers irving <unk> and george <unk> were influences and mr. courter 's own conservative credentials proved useful to the current new jersey gop governor thomas kean in the N republican primary here
 the same partnership is now crucial to mr. courter 's fortunes but the abortion issue is only a reminder of the gap between his record and that of the more moderate pro-choice gov. kean
 while the warren county congressman pursued an <unk> <unk> agenda in washington gov. kean was <unk> increased income and sales taxes at home and overseeing a near doubling in the size of new jersey 's budget in his eight years in office
 kean forces play down any differences with mr. courter but this history makes it harder for the conservative to run against government
 mr. courter 's free-market plan to bring down auto insurance rates met criticism from gov. kean 's own insurance commissioner
 mr. courter is further <unk> by a record of votes opposed to government regulation on behalf of consumers
 <unk> in spanish from his days in the peace corps mr. courter actively courts minority voters but seems oddly over his head
 he is warm and <unk> before a puerto rican congress in <unk> park
 yet minutes after promising to <unk> hispanics to high posts in state government he is unable to say whether he has ever employed any in his congressional office
 i do n't think we do now he says
 i think we did
 asked the same question after his appearance democrat florio <unk> a staff member by name and explains her <unk> today
 when he is presented with a <unk> celebrating the organization 's 20th anniversary he recognizes a photograph of one of the <unk> and recalls time spent together in <unk>
 details and <unk> are essential florio
 elected to congress as a <unk> baby in N he ran for governor three years later
 in the opinion of many he has n't stopped running since even though he declined a <unk> with gov. kean in N
 his base in south jersey and on the house energy and commerce committee helped him sustain a network of <unk> committees to preserve his edge
 with limited budgets for television in a high-priced market mr. florio 's higher recognition than his rival is a major advantage
 more than ever his <unk> and <unk> record is in <unk> with the state
 auto insurance rates are soaring
 a <unk> fire destroyed part of an interstate highway this summer
 in <unk> an important swing area republican <unk> now run on a <unk> promising to keep the county clean and green
 mr. florio <unk> this <unk> but at age N the congressman is also a product of his times and losses
 he speaks for the death penalty as if reading from exodus N to increase state revenue he focuses not on taxes but on audits to cut waste
 <unk> consultants match ads with mr. courter 's team and mr. florio <unk> himself as the lean mean democratic fighting machine of the 1990s
 appealing to a young audience he <unk> an old reference to <unk> and <unk> and instead quotes the <unk> dead
 the <unk> chosen long strange night may be an apt <unk> to television spots by both candidates intended to <unk> each other as a <unk>
 the democratic <unk> fits a pattern of younger reformers arising out of old machines but his ties to <unk> remain a <unk> point because of the county 's past corruption
 his campaign <unk> is chosen from elsewhere in the state and faced with criticism of a <unk> bank investment he has so far <unk> the issue by donating the bulk of his profits to his <unk> <unk> <unk> state college
 mr. florio 's <unk> on the abortion issue after the webster ruling <unk> some of his old constituency
 <unk> <unk> an unlikely but enthusiastic pipe major in an <unk> county irish <unk> band speaks <unk> of mr. florio
 i am a <unk> catholic says mr. <unk> a 40-year-old health officer
 i ca n't support him because of abortion
 bill <unk> sr. N is catholic too but <unk> by mr. florio 's stand on abortion
 a security guard at a cargo terminal he wears a sons of italy <unk> and cap celebrating the us N band
 i still think the woman has the right to do with her body as she <unk> he says
 if you want more opinions ask my wife
 she has lots of opinions
 consumer prices rose a surprisingly moderate N N in september pushed up mostly by a jump in clothing costs the labor department reported
 energy costs which drove wholesale prices up sharply during the month continued to decline at the retail level pulling down transportation and helping to ease housing costs
 the report was the <unk> news the financial markets had seen since before the stock market plunged more than N points last friday
 the dow jones industrial average rallied on the news closing N points higher at N
 bond prices also jumped as traders appeared to read the data as a sign that interest rates may fall
 but many economists were not nearly as <unk>
 the climb in wholesale energy prices is certain to push up retail energy prices in the next few months they warned
 they also said the dollar is <unk> off after a rise this summer that helped to reduce the prices of imported goods
 i think inflation is going to pick up through the fall said joel <unk> a specialist on inflation who runs an economic consulting firm here
 it has been in what i would describe as a <unk> for the past several months
 we 've had <unk> declines in consumer energy prices in each of the past three months and at the wholesale level those are fully behind us now said jay <unk> chief domestic economist at bankers trust co. in new york
 because wholesale energy prices shot up by a steep N N last month many analysts expected energy prices to rise at the consumer level too
 as a result many economists were expecting the consumer price index to increase significantly more than it did
 but retail energy prices declined N N in september
 though analysts say competition will probably hold down increases in retail energy prices many expect some of the wholesale rise to be passed along to the consumer before the end of the year
 still some analysts insisted that the worst of the inflation is behind
 it increasingly appears that N was a temporary inflation <unk> and not the beginning of a cyclical inflation problem argued edward <unk> chief economist at prudential-bache securities inc. in new york
 in both N and N consumer prices rose N N
 a <unk> in world oil prices last winter sent consumer prices soaring at a N N annual rate in the first five months of this year but the subsequent decline in energy prices has pulled the annual rate back down to N N
 mr. <unk> predicted that world business competition will continue to restrain prices
 the bottom line is it seems to me that the economic environment has become very very <unk> for a lot of businesses he said
 back in N business was operating at fairly tight capacity so businesses felt they could raise prices
 now he said a slowdown in economic activity has <unk> demand
 the mild inflation figures renewed investors ' hopes that the federal reserve will ease its interest-rate stance
 the steep climb in producer prices reported last friday <unk> <unk> about lower interest rates and contributed to the stock market 's N N plunge that day
 in the past several days however the u.s. 's central bank has allowed a key interest rate to fall slightly to try to stabilize the markets
 analysts say fed policy makers have been wary of <unk> credit too much because they were still uncertain about the level of inflation in the economy
 excluding the volatile categories of energy and food leaving what some economists call the core inflation rate consumer prices still rose only N N in september
 transportation costs actually fell N N and housing costs gained only N N
 apparel prices <unk> up N N but that was after three months of declines
 medical costs continued their steep <unk> rising N N after four consecutive months of N N increases
 car prices another area that contributed to the steep rise in the wholesale index last month still showed declines at the consumer level
 they dropped N N as dealers continued to offer rebates to attract customers
 food prices rose N N for the second month in a row far slower than the monthly rises earlier in the year
 separately the labor department reported that average weekly earnings rose N N in september after adjusting for inflation following a N N decline in august
 all the numbers are adjusted for seasonal fluctuations
 here are the seasonally adjusted changes in the components of the labor department 's consumer price index for september
 after watching interest in the sport plummet for years the ski industry is trying to give itself a lift
 across the country resorts are using everything from <unk> to <unk> <unk> to attract new customers
 some have built health <unk> business centers and shopping <unk> so visitors have more to do than ski
 and this week the industry 's efforts will go national for the first time when it <unk> a $ N million advertising campaign
 such efforts <unk> of only a few years ago are the latest attempts to revive the sagging $ N billion u.s. ski industry
 since the start of the decade <unk> sales have grown only N N a year on average compared with N N annual growth rates in the <unk> and <unk>
 last season <unk> sales fell for the first time in seven years
 by some estimates nearly a fourth of all u.s. ski areas have been forced to shut down since the early '80s
 competition and mounting insurance and equipment costs have been the <unk> of many resorts
 but another big problem has been the aging of baby boomers
 skiing after all has mainly been for the young and <unk> and many baby boomers have <unk> skiing or have too many family responsibilities to stick with the sport
 in its new ad campaign created by d'arcy <unk> benton & <unk> inc. chicago the ski industry is trying to change its image as a sport primarily for young white people
 one <unk> tv spot features a diverse group of skiers <unk> <unk> down <unk> <unk> senior citizens minorities families with children even a blind <unk>
 ski school is great <unk> out a <unk> <unk> in a <unk> as he <unk> down a bunny <unk>
 you 'll never know <unk> you try says a black <unk>
 we used to show some <unk> <unk> in his <unk> or <unk> going over the edge of a <unk> says <unk> <unk> a spokeswoman for the united ski industries association the trade group <unk> the campaign
 ski promotions have traditionally avoided the touchy issue of safety
 but the new commercials deal with it indirectly by showing a woman smiling as she tries to get up from a fall
 we wanted to show it 's <unk> if you fall says ms. <unk>
 most people think if you slip you 'll wind up in a body cast
 the ad campaign represents an unusual spirit of cooperation among resorts and ski equipment makers normally they only run ads <unk> their own products and facilities
 but in these crunch times for the ski industry some resorts such as the <unk> fire red river and <unk> ski areas in new mexico have even started <unk> skiers to each other 's <unk> and next year plan to sell tickets good for all local <unk>
 many resorts also are focusing more on the service side of their business
 since N N of skiers are parents many <unk> are building <unk> expanding ski schools and adding entertainment for kids
 <unk> colo. now has a <unk> that looks like an old mining town kids can ski through and pan for fool 's gold
 for $ N they can enjoy their own <unk> entertainment with dinner without mom and <unk>
 a few years ago parents usually had to hire a <unk> or take turns skiing while one spouse stayed with the children
 most parents who had to go through that never came back says michael shannon president of <unk> associates inc. which owns and operates the <unk> and nearby <unk> creek resorts
 to make skiing more convenient for <unk> visitors several resorts are buying or starting their own travel agencies
 in one phone call ski <unk> can make hotel and restaurant reservations buy lift tickets rent ski equipment and sign up for <unk>
 and resorts are adding other <unk> such as <unk> restaurants health <unk> and vacation packages with a twist
 during winter carnival week for example visitors at sunday river in maine can take a <unk> balloon ride
 people these days want something else to do besides ski and sit in the bar says don <unk> executive director of <unk> fire n.m. 's chamber of commerce
 the ski industry hopes to increase the number of skiers by N million to about N million in the next five years with its latest ads and promotions
 but some think that 's being overly optimistic
 for one thing it may be tough to attract people because skiing is still expensive a lift ticket can cost up to $ N a day and equipment prices are rising
 and most <unk> still prefer a warm climate for their winter <unk>
 an american express co. survey of its travel agents revealed that only N N believe their clients will pick a trip this winter based on the availability of winter sports as opposed to N N who think that <unk> sports will be the deciding factor
 even if they could bring in that many new skiers i do n't know if the industry could handle that kind of an increase says i. william berry editor and publisher of the ski industry letter in <unk> n.y
 most people will come on the weekend the <unk> will be <unk> and then these new skiers wo n't come back
 they did n't play the third game of the world series on tuesday night as scheduled and they did n't play it on wednesday or thursday either
 but you knew that did n't you
 they are supposed to play the game next tuesday in candlestick park here
 the theory is that the stadium damaged by tuesday 's earthquake will be repaired by then and that people will be able to get there
 like just about everything else that remains to be seen
 aftershocks could intervene
 but at least the law of averages should have swung to the favorable side
 it may seem <unk> to worry about the world series amid the destruction to the bay area <unk> by tuesday 's quake but the name of this column is on sports so i feel obliged to do so
 you might be interested to know that baseball not survival appeared to be the first thought of most of the crowd of <unk> that had gathered at candlestick at N p.m. tuesday a half-hour before game time when the quake struck
 as soon as the tremor passed many people <unk> arose and cheered as though it had been a novel kind of <unk> show
 one fan <unk> several rows in front of the open <unk> <unk> press section where i was <unk> faced the assembled <unk> and <unk> shouted we arranged that just for you guys
 i thought and i 'm sure others did you should n't have bothered
 i 'd <unk> through my only previous <unk> with natural disaster a <unk> N or so <unk> ago near <unk> city mich. so i was <unk> for one reaction to such things the urge to talk about them
 perhaps <unk> by the daily diet of radio and tv reporters <unk> <unk> into people 's faces and asking how they feel about one <unk> or another fellow reporters and <unk> who <unk> my press <unk> were eager to <unk>
 it felt like i was on a station platform and a train went by said one man describing my own reaction
 a women said she saw the park 's light standards <unk>
 a man said he saw the upper <unk> <unk>
 i saw neither
 <unk> of good sense to the contrary not <unk> the general <unk> was to believe that the <unk> would be brief and that ball would be played
 i was near the top of the stadium and saw a steel <unk> <unk> six feet from where i sat but i stayed put for N or N minutes confessed a friend
 i guess i thought this is the world series and i 'm not <unk> <unk> <unk> out
 here in the global village though folks do not stay <unk> for long
 electrical power was out in <unk> candlestick park but <unk> <unk> and television sets were <unk>
 within a few minutes the true extent of the catastrophe was becoming clear
 its richter scale measurement was reported as N then N then N
 a section of the bay bridge had collapsed as had a part of interstate highway N in oakland
 people had died
 at N p.m. scheduled game time having passed some fans <unk> let 's play ball
 no longer innocent they qualified as <unk>
 the stadium was ordered <unk> soon afterward the announcement made over police <unk> cited the power <unk> but it later was revealed that there also had been damage of the sort reported by my friend
 outside i spotted two young men <unk> blocks of concrete
 pieces of candlestick they said
 the crowd remained good <unk> even <unk>
 tv reporters interviewed fans in the parking lots while a few feet away others watched the interviews on their portable tvs
 the only frenzy i saw was commercial <unk> selling world series <unk> <unk> and dated <unk> were besieged by fledgling speculators who saw future profit in the items
 the traffic <unk> out of the park was <unk>
 it took me a half-hour to move N feet from my parking spot in an outer lot to an <unk> and an additional hour to reach an inner roadway a <unk> away
 the <unk> trip to my airport hotel that had taken N minutes earlier in the day took more than three hours
 at my hotel the <unk> power was out some interior <unk> had broken loose and there had been water damage but little else
 with <unk> <unk> a hotel across the street the <unk> had been hit harder a large sheet of its concrete <unk> and several window <unk> were torn away
 the <unk> staff had <unk> set out <unk> <unk> in the <unk> prepared a <unk> buffet and passed around <unk> and <unk>
 i fell <unk> on the lobby floor next to a man wearing a chicago cubs <unk>
 i expected him to say i told you so but he already was <unk>
 the <unk> consensus was that the earthquake made the world series seem <unk>
 my response was that sports rarely are important only <unk> and the quake merely <unk> that fact
 should the rest of the series be played at all
 sure
 the quake and baseball were n't related unlike the massacre of athletes that attended the N olympics
 that heavily <unk> event learned nothing from the <unk> experience and seems doomed to repeat it
 two <unk> <unk>
 this has been widely dubbed the bart series after the local subway line and the bay bridge series
 flags fly at <unk> for the death of bart <unk> the late baseball commissioner and now the bay bridge lies in <unk>
 a series that was shaping up as the <unk> since the <unk> <unk> diego go of N has become <unk> in the least <unk> way
 still its edge is lost
 it now will be played mostly for the record and should be <unk> up as quickly as possible without off days
 and i will never again complain about a <unk>
 the disarray in the junk-bond market that began last month with a credit crunch at campeau corp. has offered commercial banks a golden opportunity to play a greater role in financing billion-dollar takeovers
 but two big new york banks seem to have kicked those chances away for the moment with the embarrassing failure of citicorp and chase manhattan corp. to deliver $ N billion in bank financing for a leveraged buy-out of united airlines parent ual corp
 for more than a decade banks have been pressing congress and banking regulators for expanded powers to act like securities firms in playing wall street 's lucrative takeover game from giving mergers advice all the way to selling and trading high-yield junk bonds
 those expanded powers reached their zenith in july when bankers trust new york corp. provided mergers advice an equity investment and bank loans for the $ N billion leveraged buy-out of northwest airlines parent nwa inc
 one of the major selling points used by los angeles financier alfred <unk> in getting the takeover approved was that the deal did n't include any junk bonds
 that was seen as an advantage in lobbying airline employees and washington regulators for approval of the contested takeover
 all $ N billion in debt for the deal was supplied by banks
 charles nathan <unk> of mergers and acquisitions at salomon brothers inc. says it is natural for banks to try to expand beyond their bread-and-butter business of providing senior debt for buy-outs
 but the ual collapse he says may tell you it 's not going to work that easily
 david <unk> a mergers adviser in la jolla calif. who aided los angeles investor marvin davis on the bids which put both ual and nwa in play as takeover candidates this year says that banks have been preparing to play a larger and larger role in acquisition financing
 mr. <unk> says that in the past banks would normally have <unk> N N of a total buy-out price with the loans secured by the target company 's assets
 another N N of the borrowed funds would come from the sale to investors of junk bonds which offer less security and typically carry higher yields than bank loans
 mr. <unk> 's purchase of nwa mr. <unk> notes was probably the most aggressive to date with bank debt at N N of the purchase price
 but mr. <unk> says that citicorp 's failure to deliver on its promise to raise the ual bank debt for a labor-management buy-out group is very <unk> to potential users of a <unk> letter from commercial banks
 his client mr. davis used just such a letter from citicorp in pursuing ual citicorp later agreed to work with a competing ual buy-out group
 executives of citicorp and chase manhattan declined to comment on either the ual situation or on the changing nature of banks ' role in financing takeovers
 in the wake of campeau 's problems prices of junk bonds tumbled throwing into doubt the ability of corporate <unk> to finance large takeovers with the help of junk bond sales
 mark <unk> senior managing director at manufacturers hanover trust co. says the <unk> in junk bonds may yet open new business opportunities to banks in <unk> takeovers
 but he warns that banks will have to have enough discipline not to make loans that are too risky
 in fact manufacturers hanover said in its third-quarter earnings report that fees from <unk> loans to other banks dropped N N to $ N million
 we did n't take part in a lot of deals because their credit quality was poor says a bank spokesman
 james b. lee head of <unk> and private <unk> at chemical banking corp. said he believes banks can still make a credible offer of <unk> shopping for takeover finance
 as evidence he cites yesterday 's arrangement for the final financing of a $ N billion bid for american medical international inc. in which chemical served as both the lead bank and an equity investor
 beyond the current weakness in the junk bond market banks have another advantage over investment banks in financing contested takeovers
 arthur <unk> jr. a takeover lawyer at fried frank harris <unk> & jacobson notes that a political and emotional bias has developed against junk bonds
 one hostile bidder who deliberately avoided using junk bonds was paramount communications inc. in its initial offer to acquire time inc. for $ N billion or $ N a share
 a paramount spokesman says that decision was based on the financial not political <unk> of junk bonds
 but some observers believe paramount chairman martin davis wanted to avoid the possible <unk> of being perceived as a corporate raider in his controversial bid for time
 in the end mr. davis used junk bonds so that he could raise paramount 's bid to $ N a share
 some <unk> <unk> said the initial lower bid without junk bonds was a factor in his losing the company
 time <unk> paramount by acquiring warner communications inc
 the success of the nwa financing and the failure of the ual deal also seem to highlight the important new role in takeover financing being played by japanese banks
 japanese banks accounted for N N of the nwa bank debt according to a report by transportation secretary samuel skinner
 but it was <unk> rejection by japanese banks that helped seal the fate of the attempt to buy ual
 citicorp and chase are attempting to put together a new lower bid
 <unk> <unk> chief economist of the institute for financial affairs inc. a tokyo research center on finance and economics says the junk bond market became very jittery and there 's a fear of a coming recession and the possible bankruptcy of lbo companies
 <unk> inc. filed suit in federal court here alleging that a group that holds N N of its stock made false deceptive and misleading statements in recent regulatory filings and public announcements
 <unk> 's complaint claims that the group led by investor malcolm i. glazer violated securities laws by failing to disclose plans to purchase N N of the company 's shares outstanding and that when the required hart-scott-rodino filing eventually was made it did n't disclose the group 's alleged earlier violation of the so-called <unk> requirements of the law
 mr. glazer could n't immediately be reached to comment
 but when <unk> last week publicly questioned the <unk> of the group 's filing procedures the rochester n.y. investor said we <unk> with every law and he denied any wrongdoing
 the glazer group said in a securities and exchange commission filing in early october that it may seek a controlling interest in <unk> or seek representation on the company 's board
 <unk> has said it does n't intend to be acquired by the glazer group or any other party
 inland steel industries inc. battered by lower volume and higher costs posted a N N drop in third-quarter earnings
 the nation 's <unk> steelmaker earned $ N million or N cents a share compared with $ N million or $ N a share a year earlier when the industry was enjoying peak demand and strong pricing
 sales fell to $ N million from $ N billion
 the earnings also mark a significant drop from the second quarter 's $ N million or $ N a share
 moreover the earnings were well below analysts ' expectations of about $ N a share
 in composite trading on the new york stock exchange inland closed yesterday at $ N a share down $ N
 the company attributed the earnings drop to lower volume related to seasonal demand and the soft consumer durable market especially in the automotive sector
 however the company also lost orders because of prolonged labor talks in the second quarter
 third-quarter shipments slipped N N from the year-ago period and N N from this year 's second quarter
 profit of steel shipped for the company 's steel segment slid to $ N a ton from $ N a ton a year earlier and $ N a ton a quarter earlier
 analysts noted that the disappointing results do n't reflect lower prices for steel products
 charles bradford an analyst with merrill lynch capital markets said higher prices for galvanized and <unk> products offset lower prices for bar <unk> and structural steel
 structural steel which primarily serves the construction market was especially hurt by a N N price drop mr. bradford said
 the company said its integrated steel sector was also hurt by higher raw material repair and maintenance and labor costs
 the increased labor costs became effective aug. N under terms of the four-year labor agreement with the united steelworkers union
 meanwhile the company 's service center segment which saw operating profit drop to $ N million from $ N million a year ago experienced much of the same demand and cost problems as well as start-up costs associated with a <unk> processing facility in chicago and an upgraded computer information system
 inland chairman frank w. <unk> said the company 's short-term outlook is <unk> by uncertainties in the economy and financial markets
 however he noted that steel mill bookings are up from early summer levels and that he expects the company to improve its cost performance in the fourth quarter
 in the first nine months profit was $ N million or $ N a share on sales of $ N billion compared with $ N million or $ N a share on sales of $ N billion a year earlier
 the seismic activity of a financial market bears a <unk> to the seismic activity of the earth
 when things are quiet low volatility the structures on which markets stand can be relatively inefficient and still perform their functions adequately
 however when powerful forces start shaking the market 's structure the more <unk> it is the better its chance for survival
 america 's financial markets do not yet have all the required modern features required to make them fully <unk>
 investors lack equal access to the markets ' trading arena and its information
 that structural lack is crucial because investors are the only source of market liquidity
 and liquidity is what markets need to damp <unk> and aftershocks
 in today 's markets specialists on the new york stock exchange and <unk> market makers in the over-the-counter market are the only market participants allowed to play a direct role in the <unk> process
 when they halt trading all market liquidity is gone
 and when any component of the market cash futures or options loses liquidity the price discovery system the way prices are determined becomes flawed or is lost entirely for a time
 last friday the 13th as well as two years ago this week the markets became <unk>
 when that happened seismic tremors of fear much like the shock waves created by an earthquake <unk> through the market and increased the market 's volatility
 lack of important needed information can cause fear
 fear is the father of panic
 panic frequently results in <unk> behavior
 and in financial markets <unk> behavior is sometimes translated into catastrophe
 when market tremors start it is crucial that as much information about transaction prices and the <unk> curve buy and sell orders at various prices be made available to all not just to market makers
 because of a lack of information and access many investors including the very ones whose buying power could restore stability and damp volatility are forced to stand on the sidelines when they are most needed because of their ignorance of important market information
 to add <unk> power to america 's markets a modern electronic trading system should be implemented that permits equal access to the trading arena and the information that would automatically <unk> such access by investors particularly institutional investors
 contrary to some opinions the trading activities of specialists and other market makers do not provide liquidity to the market as a whole
 what market makers provide is <unk> a very valuable service
 liquidity is not a service
 it is a market attribute the ability to absorb selling orders without causing significant price changes in the absence of news
 market makers buy what investors wish to sell their business is <unk> these unwanted positions as quickly as possible to other investors and at a profit
 as a result while any one customer may purchase <unk> by selling to a market maker which is <unk> for the investor the market as a whole remains in the same circumstances it was before the transaction the unwanted position is still an unwanted position only the identity of the seller has changed
 in fact it can be argued that increasing capital commitments by market makers a result of some <unk> crash studies also increases market volatility since the more securities are held by market makers at any given time the more selling pressure is <unk> the market
 in an open electronic system any investor <unk> to pay for <unk> access to the trading arena through a registered broker-dealer would be able to see the entire <unk> curve buy and sell orders at each price entered by dealers and investors alike and to enter and execute orders
 current quotations would reflect the combined financial judgment of all market participants not just those of <unk> who become extremely <unk> during times of crisis
 investors and professionals alike would compete on the level playing field congress sought and called a national market system not yet achieved almost N years ago when it passed the securities reform act of N
 last friday 's market gyrations did not result in severe aftershocks
 were we smart or just lucky
 i 'm not certain
 but i am sure we need to maximize our earthquake protection by making certain that our market structures let investors add their mighty <unk> power to our nation 's markets
 mr. <unk> is chairman of his own consulting company in <unk> n.j
 now you see it now you do n't
 the recession that is
 the economy 's <unk> steps leave investors wondering whether things are slowing down or speeding up
 so often are government statistics revised that they seem to resemble a <unk> weather <unk>
 for the past seven years investors have had the wind at their backs in the form of a generally growing economy
 some may have forgotten and some younger ones may never have experienced what it 's like to invest during a recession
 different tactics are called for as losing money becomes easier and making money becomes tougher
 for those investors who believe or fear that N will be a recession year many economists and money managers agree on steps that can be taken to lower the risks in a portfolio
 in a <unk> pros advise investors who expect a slowdown to hold fewer stocks than usual and to favor shares of big companies in defensive industries
 a heavy <unk> of cash is prescribed along with a <unk> <unk> to bonds <unk> government bonds
 it 's <unk> to think these defensive steps can be delayed until a recession is clearly at hand
 but that may not be possible because recessions often take investors by surprise
 they always seem to come a bit later than you expect
 when they do hit they hit fast says david a. wyss chief financial economist at the data resources division of mcgraw-hill inc
 though he himself does n't expect a recession soon mr. wyss advises people who do that the best thing to be in is long that is 20-year to 30-year treasury bonds
 the reason is simple mr. wyss says interest rates almost always decline during recession
 as surely as a <unk> <unk> falling interest rates force up the price of previously issued bonds
 they are worth more because they pay higher interest than newly issued bonds do
 that effect holds true for both short-term and long-term bonds
 but short-term bonds ca n't rise too much because everyone knows they will be redeemed at a <unk> price fairly soon
 long-term bonds with many years left before maturity swing more widely in price
 but not just any bonds will do
 corporate bonds are usually not a good bet in a recession mr. wyss says
 as times get tougher investors <unk> about whether companies will have enough money to pay their debts
 this <unk> the price of corporate bonds
 also he notes most corporate bonds are callable
 that means that a corporation after a specified amount of time has passed can buy back its bonds by paying investors the face value plus in some cases a <unk>
 when interest rates have dropped it makes sense for corporations to do just that they then save on interest costs
 but the investors are left <unk> with money to reinvest at a time when interest rates are <unk>
 if corporate bonds are bad in recessions junk bonds are likely to be the worst of all
 it 's an <unk> necessity to get out of junk bonds when a recession is in the <unk> says <unk> <unk> professor of finance at cornell university
 such bonds are very sensitive to the downside and this could be a disaster
 municipal bonds are generally a bit safer than corporate bonds in a recession but not as safe as bonds issued by the federal government
 during an economic slump local tax revenues often go down raising the risks associated with at least some municipals
 and like <unk> many municipal bonds are callable
 but a few experts going against the consensus do n't think bonds would help investors even if a recession is in the <unk>
 one of these is jeffrey l. beach director of research for <unk> <unk> & co. a brokerage house in houston who thinks that we 're either in a recession or about to go into one
 what 's more he thinks this could be a <unk> recession than usual once the downturn comes it 's going to be very hard to reverse
 investors he advises should be cautious holding fewer stocks than usual and also <unk> bonds
 because he sees a N N to N N base rate of inflation in the economy he doubts that interest rates will fall much any time soon
 instead mr. beach says investors probably should be carrying a very high level of cash by which he means such so-called cash equivalents as money-market funds and treasury bills
 <unk> <unk> president of <unk> financial inc. in <unk> pa. also recommends that investors go heavily for cash
 he is n't sure a recession is coming but says the other likely alternative <unk> inflation is just as bad
 this late in an expansion the economy tends to <unk> off either into damaging inflation or into a recession mr. <unk> says
 the federal reserve board 's plan for a soft landing he says requires the fed to <unk> an <unk> <unk>
 a soft landing is n't something that can be achieved once and for all mr. <unk> adds
 it has to be engineered over and over again month after month
 he believes that the task facing fed chairman alan greenspan is so difficult that it resembles <unk> a <unk> <unk> and a <unk> saw
 and in a sense that 's the kind of task individuals face in deciding what to do about stocks the mainstay of most serious investors ' portfolios
 it comes down to a question of whether to try to time the market
 for people who can ride out market waves through good times and bad stocks have been rewarding long-term investments
 most studies show that <unk> investors historically have earned an annual return from stocks of N N to N N including both dividends and price appreciation
 that 's well above what bonds or bank certificates have paid
 moreover because no one knows for sure just when a recession is coming some analysts think investors should n't even worry too much about timing
 trying to time the economy is a mistake says david katz chief investment officer of value <unk> management inc. in new york
 mr. katz notes that some economists have been predicting a recession for at least two years
 investors who <unk> and <unk> up on stocks have just hurt themselves he says
 mr. katz adds that people who jump in and out of the stock market need to be right about N N of the time to beat a <unk> strategy
 frequent trading runs up high commission costs
 and the <unk> might miss the sudden <unk> that account for much of the stock market 's gains over time
 still few investors are able to sit tight when they are convinced a recession is coming
 after all in all five recessions since N stocks declined
 according to <unk> davis president of <unk> davis research inc. in <unk> fla. the average drop in the dow jones industrial average was about N N and the decrease began an average of six months before a recession officially started
 by the time a recession is official two consecutive quarters of declining gross national product much of the damage to stocks has already been done and in the typical case the recession is already half over
 about six months before a recession ends stocks typically begin to rise again as investors anticipate a recovery
 the average recession lasts about a year
 unfortunately though recessions vary enough in length so that the average ca n't <unk> be used to guide investors in timing stock sales or purchases
 but whatever their advice about timing none of these experts recommend <unk> stocks entirely during a recession
 for the portion of an investor 's portfolio that stays in stocks professionals have a number of suggestions
 mr. katz advocates issues with low price-earnings ratios that is low prices in <unk> to the company 's earnings per share
 low <unk> stocks he says <unk> outperform others during a recession or bear market
 in good times he says they lag a bit but overall they provide superior performance
 prof. <unk> urges investors to <unk> stocks in small companies
 <unk> shares typically fall more than <unk> stocks in a recession he says
 and in any case he argues stocks of small companies are almost as <unk> as they were sept. N N just before the crash
 for example mr. <unk> says stocks of small companies are selling for about N times cash flow
 cash flow basically earnings plus depreciation is one common gauge of a company 's financial health
 that ratio is <unk> close to the ratio of N that prevailed before the N stock-market crash mr. <unk> says
 and it 's way above the ratio N times cash flow that bigger companies are selling for
 another major <unk> in making a portfolio <unk> is choosing stocks in defensive industries
 food tobacco drugs and utilities are the classic examples
 recession or not people still eat smoke and take medicine when they 're sick
 george <unk> iii editor of turnaround letter in boston offers one final tip for <unk> investors
 keep some money available for opportunities he says
 if the recession does hit there will be some great investment opportunities just when things seem the <unk>
 mr. dorfman covers investing issues from the wall street journal 's new york bureau
 some industry groups consistently weather the storm better than others
 the following shows the number of times these industries outperformed the standard & poor 's 500-stock index during the first six months of the past seven recessions
 bond prices posted strong gains as investors went on a bargain hunt
 but while the overall market improved the new-issue junk-bond market continued to count <unk> even as junk-bond prices rose
 yesterday prudential-bache securities inc. said it postponed a $ N million senior subordinated debenture offering by york international corp
 and donaldson lufkin & jenrette securities corp. scrambled to restructure and improve the potential returns on a $ N million debenture offering by chicago & north western acquisition corp. that was still being negotiated late last night
 the issue by chicago & north western is one of the so-called good junk-bond offerings on the new-issue calendar
 some analysts said the restructuring of the railroad concern 's issue shows how tough it is for underwriters to sell even the junk bonds of a company considered to be a relatively good credit risk
 since last week 's junk-bond market debacle many new issues of high-yield high-risk corporate bonds have either been scaled back delayed or dropped
 on wednesday drexel burnham lambert inc. had to slash the size of continental airlines ' junk-bond offering to $ N million from $ N million
 salomon brothers inc. has delayed grand union co. 's $ N billion junk-bond offering while it <unk> the transaction
 last week the grand union offering was sweetened to include warrants that allow bondholders to acquire common stock
 prudential-bache said the york issue was delayed because of market conditions
 everything is going through <unk> right now and chicago & north western is no exception said <unk> <unk> vice president high-yield research at citicorp
 portfolio managers say <unk> like equity <unk> and <unk> <unk> <unk> may increasingly be required to sell junk-bond deals
 dan baldwin managing director of high-yield investments at chancellor capital management said the chicago & north western offering was restructured in part because several large insurance buyers right now are demanding equity as part of the package
 if you 're going to take the risk in this market you want something extra
 mr. baldwin likes the offering
 but several mutual-fund managers nervous about the deteriorating quality of their junk-bond portfolios and shy about buying new issues said they 're staying away from any junk security that is n't considered first rate for its class
 while they consider the chicago & north western issue to be good they do n't view it as the best
 to lure buyers to the chicago & north western bonds portfolio managers said donaldson lufkin sweetened the transaction by offering the bonds with a <unk> interest rate and a N N equity <unk>
 the bonds are expected to have a N N N coupon rate
 the equity arrangement apparently would allow bondholders to buy a total of N N of the stock of cnw corp. chicago & north western 's parent company
 donaldson lufkin declined to comment on the restructuring
 according to some analysts familiar with the negotiations the N N of equity would come directly from donaldson lufkin and a fund affiliated with the investment bank blackstone group which would reduce their cnw equity holdings by N N each
 that would leave the blackstone fund with a N N stake and donaldson lufkin with N N
 despite the problems with new issues high-yield bonds showed gains in the secondary or <unk> market
 junk bonds ended about one-half point higher with so-called high-quality issues from rjr capital holdings corp. and <unk> gas service limited partnership rising one point
 in the treasury market the benchmark 30-year bond rose <unk> point or $ N for each $ N face amount
 the gain reflects fresh economic evidence that inflation is <unk> while the economy <unk>
 that raised hopes that interest rates will continue to move lower
 the labor department reported that consumer prices rose just N N last month slightly lower than some economists had expected
 but there were also rumors yesterday that several japanese institutional investors were shifting their portfolios and buying long-term bonds while selling <unk> treasurys
 short-term treasury securities ended narrowly mixed with two-year notes posting slight declines while three-year notes were slightly higher
 yesterday the fed executed four-day matched sales a technical trading operation designed to drain reserves from the banking system
 the move was interpreted by some economists as a sign that the fed does n't want the federal funds rate to move any lower than the N N N at which it has been <unk> around during the past week
 the closely watched funds rate is what banks charge each other on overnight loans
 it is considered an early signal of fed credit policy changes
 the fact that they did four-day matched sales means they are not in a mood to ease aggressively
 they are telling us that N N N is as low as they want to see the fed funds rate said robert <unk> at <unk> bank plc
 treasury securities
 the benchmark 30-year bond was quoted late at a price of N N to yield N N compared with N N to yield N N wednesday
 the latest 10-year notes were quoted late at N N to yield N N compared with N N to yield N N
 short-term rates rose yesterday
 the discount rate on three-month treasury bills rose to N N from N N wednesday while the rate on six-month bills rose to N N from N N
 meanwhile the treasury sold $ N billion of 52-week bills yesterday
 the average yield on the bills was N N down from N N at the previous 52-week bill auction sept. N
 yesterday 's yield was the lowest since N N on july N
 here are details of the auction
 rates are determined by the difference between the purchase price and face value
 thus higher bidding narrows the investor 's return while lower bidding widens it
 the percentage rates are calculated on a <unk> year while the <unk> yield is based on a <unk> year
 corporate issues
 junk bond price climbed yesterday despite <unk> in the new-issue market for high-yield securities
 dealers said junk bond issues on average were up by N to N point with so-called quality issues from rjr capital holdings corp. and <unk> gas service limited partnership posting <unk> gains
 <unk> gas service 's N N N debentures traded at N after trading around par earlier this week and rjr 's N N N subordinated debentures of N were at N N after trading at below par earlier this week
 investment-grade bonds were unchanged
 municipals
 activity was brisk in the high-grade general obligation market as a series of sell lists hit the street and capped upward price movement in the sector
 traders estimated that more than $ N million of high-grade bonds was put up for sale via <unk> lists circulated by a handful of major brokers
 there was speculation that the supply was coming from a commercial bank 's portfolios
 according to market participants the bonds were met with decent bids but the volume of paper left high grades in the 10-year and under maturity range unchanged to N percentage point higher in yield
 away from the general obligation sector activity was modest
 long dollar bonds were flat to up N point
 new jersey turnpike authority 's N N issue of N was up N at N N bid to yield about N N down N percentage point
 the debt of some california issuers pulled off lows reached after tuesday 's massive earthquake although traders said market participants remained cautious
 california expects to rely on federal emergency funds and its $ N billion in general fund reserves to meet the estimated $ N million to $ N billion in damages resulting from the quake according to a state official
 it 's also unclear precisely how the state will rebuild its reserve said <unk> katz assistant director of california 's department of finance although she noted that a bond offering for that purpose is n't anticipated
 meanwhile new issuance was slow
 the largest sale in the competitive arena was a $ N million issue of school financing bonds from the virginia public school authority
 a balance of $ N million remained in late <unk> according to the lead manager
 mortgage-backed securities
 mortgage securities generally ended N to N point higher but lagged gains in the treasury market because of a shift in the shape of the treasury yield curve and rumored mortgage sales by thrifts
 premium government national mortgage association securities with coupon rates of N N and higher actually declined amid concerns about increased prepayments because of a plan being considered by congress to speed the refinancing of <unk> mortgages
 ginnie mae N N securities were down about N at N N
 if the refinancing plan clears congress there could be fairly heavy prepayments on the premium securities hurting any investor paying much above par for them
 in the <unk> sector a shift in the treasury yield curve resulting from the better performance of <unk> issues over <unk> securities hurt major coupons because it will become more difficult to structure new derivative securities offerings
 ginnie mae N N securities ended at N N up N and federal home loan mortgage corp. N N securities were at N N up N
 the ginnie mae N N issue was yielding N N to a 12-year average life assumption as the spread above the treasury 10-year note widened N percentage point to N
 while remic issuance may slow in the coming days because of the shift in the treasury yield curve underwriters continued to <unk> out new real estate mortgage investment <unk> structured when the yield curve was more favorable
 two new remics totaling $ N million were announced by freddie mac yesterday
 foreign bonds
 british government bonds ended little changed as investors <unk> an economic policy address last night by chancellor of the exchequer nigel lawson
 the treasury N N N bond due N was down N at N N to yield N N while the N N N notes due N were unchanged at N N to yield N N
 in japan the bellwether no. N N N bond of N ended off N at N to yield N N and in west germany the N N benchmark issue due october N ended N point lower at N to yield N N
 the <unk> approaches makes his pitch
 it may be <unk> he wants money for food or <unk> <unk> his sister is at this very moment near death in <unk> he has lost his <unk> and has only $ N in change to put toward a bus ticket costing $ N and wo n't you give him the difference
 no
 well how about a loan he 'll take your name and address
 figuring that their money would more likely go toward a bottle of night train express most people have little trouble saying no to <unk> like this
 but healthy skepticism <unk> when they are <unk> by an organized charity to help fight cancer <unk> child abuse or what have you
 most see little reason to doubt that their cash will go toward these noble goals
 but will it
 in a <unk> number of cases no
 in fact the <unk> sometimes might be better off giving the money to the <unk> at least he has no overhead and he might even be telling the truth
 last year more than $ N billion was donated to the nation 's N charities
 while the vast bulk of it was indeed spent by reputable organizations on the good works it was raised for it 's equally true that a sizable <unk> was consumed in expenses claimed by other operators including fraudulent expenses
 in many cases the costs claimed were so high that only a <unk> of cash was left for the <unk> beneficiaries
 it 's impossible to say exactly how much of the total charity <unk> is <unk> by <unk> fund-raising costs <unk> operators and downright fraud
 but the problem clearly is widespread and persistent
 state law enforcers can barely keep up with charity scams and reports from <unk> groups such as the council of better business bureaus are not encouraging
 the <unk> advisory service of the <unk> reviews hundreds of new charities every year measuring them against minimum standards for accountability for <unk> and honesty in solicitation and for percentage of funds actually going to work for which the charity was supposedly established
 the service figures at least half of the money taken in should be spent on program
 roughly a third of the charities reviewed <unk> the test
 which it should be added does n't prevent the charities from <unk> in a lot of money anyway
 without a <unk> and a subpoena it 's often hard to sort out <unk> causes from <unk> if all you 've got to go on is the solicitation itself
 on this basis there 's no way the average person can know a good charity from a bad one says david <unk> an assistant attorney general in connecticut
 a lot of <unk> just get taken
 including those he contends who put about $ N million into the <unk> for the connecticut association of concerned veterans and the vietnam veterans service center
 the state has sued these charities in state court complaining that much of the money was grossly <unk> N N says mr. <unk> went to fund <unk> and most of the rest to the people who ran the charities and to their <unk> for fur coats trips to florida <unk> restaurant <unk>
 the telephone number for the charity in <unk> conn. has been <unk> and the former officials could n't be located
 running a charity does cost money but reputable organizations manage to get the lion 's share of donations out to where they are really needed
 the <unk> foundation the american cancer society and the united way of america all say that they spend roughly N N of their income on programs not overhead
 with some other charities however it s the other way around
 the fledgling national children 's cancer society for example took in $ N million last year to finance <unk> transplants for children
 by the time it paid its expenses it only had $ N left not enough to treat even one child
 the state of illinois is suing the charity for fraud in chicago along with <unk> marketing inc. its <unk> fund <unk>
 both deny wrongdoing
 the charity admits spending a lot on fund raising but says that was necessary to establish a <unk> base it can tap at much lower cost in years to come
 michael burns president of <unk> says his concern has only benefited from the publicity surrounding the case noting that three other charities have signed on as clients because they were impressed with the amount he raised for national children 's
 meanwhile a state court judge has allowed the charity to go on soliciting funds
 enforcers ca n't put charities out of business simply because they spend the lion 's share of their income on fund raising
 state laws previously used as a <unk> minimum <unk> of income usually half that had to be spent on the program rather than overhead but these have been <unk> by the u.s. supreme court
 it has ruled that such laws might work to <unk> fund raising which would amount to limiting the charities ' <unk> right to freedom of expression
 this puts upon enforcers the burden of proving outright fraud or <unk> and such actions have been brought against hundreds of charities recently
 the attorney general 's office in connecticut alone has put seven of them out of business over the past couple of years and the enforcement drive is continuing there and elsewhere
 in making cases the authorities frequently zero in on alleged <unk> made by the charities ' fund <unk>
 illinois for instance currently has under investigation N of the N companies <unk> up funds for charities soliciting there
 enforcers pay special attention to operators using <unk> prizes as an additional <unk> to give
 attorneys general in several states including illinois are already suing watson & <unk> co. an <unk> <unk> outfit that they say has used deceptive <unk> ads to <unk> donations for the american heart disease foundation and the cancer fund of america
 according to the illinois attorney general 's suit watson & <unk> sent <unk> indicating that recipients were guaranteed cash prizes and could win up to an additional $ N on top of them if they contributed as little as $ N
 but the total value of the prizes was only $ N and most winners will receive just N cents according to the attorney general 's office
 the suit is still pending in illinois state court
 watson & <unk> has denied the allegations in court officials decline to comment further
 while they can target some of the most obvious <unk> enforcers concede that they are only <unk> the surface
 there are so many <unk> <unk> used by so many dubious operators they say that it is probably impossible to stop them all
 one maneuver the public education <unk>
 the solicitation material indicates that donations will go toward a campaign <unk> and <unk> the public about some health or other issue
 what it does n't say is that the entire campaign may be the fund-raising letter itself
 all too often this will merely be a statement on the solicitation such as do n't smoke or wear <unk> <unk> says william webster attorney general of missouri
 by putting these <unk> statements on the <unk> hundreds of thousands of dollars are claimed to have been spent on education to consumers when in fact this represents the costs of sending the newsletters
 mr. webster cites a <unk> mailing from the united cancer council that offers a chance to win $ N in gold bullion to those giving as little as $ N to cancer education
 a few <unk> warnings about cancer appear but that 's only two inches in all four pages
 i think some people may believe they 're helping fund a massive tv and print campaign but we could n't find that the charity does anything except write these letters he says
 officials at the washington <unk> charity did n't return repeated phone calls
 many <unk> charities ride the <unk> of the biggest best-known and most reputable ones by adopting names similar to theirs
 the established charities are bothered by this but say they can do little about it
 we ca n't police the many organizations that have <unk> up in the last few years using part of our name
 most of them do n't last for long but in the meantime all we can do is tell people they are n't connected with us says a spokeswoman for the american heart association
 and sometimes a reputable charity with a household name gets used and does n't even know it
 a couple in <unk> ill. raised $ N earlier this year using the name and <unk> of mothers against drunk driving without permission from the group
 <unk> did n't learn of the fund raising until the couple sent it a check for $ N along with a letter saying that was the charity 's share
 the illinois attorney general won a court order to prevent the couple from raising further funds without <unk> 's permission
 the couple could n't be reached for comment and apparently have left <unk> law enforcement officials report
 <unk> mcdonald a spokeswoman for <unk> says it 's scary because anybody could do this
 mr. johnson is a staff reporter in the wall street journal 's chicago bureau
 overhead costs at some of the largest charities in millions of dollars
 british airways plc a crucial participant in the proposed buy-out of ual corp. <unk> its hands of the current efforts to revive a bid for the parent of united airlines
 specifically the british carrier said it currently has no plans to participate in any new offer for ual
 in addition british air officially withdrew its support for the previous $ 300-a-share bid in a <unk> statement that said the original deal is closed
 company officials said later that british airways believes its involvement in the ual buy-out ended last friday when the buy-out group which also includes ual 's management and pilot union failed to obtain financing for the $ N billion transaction
 the carrier stopped short of saying it would n't at some point reconsider participating in any new bid for ual
 however company officials said they plan to take no initiatives to <unk> the transaction and are n't aware of any restructured bid in the making
 <unk> the statements raised questions about whether a new bid for ual will ever get off the ground
 the transaction has had a series of setbacks since the financing problems became known last friday with no signs or statements from the buy-out group to indicate that any progress has taken place
 however in response to the british air decision united 's pilot union vowed to continue efforts to revive the buy-out
 pilot union chairman frederick c. <unk> said advisers to ual management and the union will begin meeting in new york today and will work through the weekend to devise a new proposal to present to ual 's board at the earliest time possible
 pilot union advisers appeared confident that a new bid could go forward even without british air 's participation
 ual declined to comment on british air 's statement
 ual chairman stephen m. wolf who is leading the management end of the buy-out has n't provided investors with any assurances about the prospect of a new deal
 in another setback yesterday united 's <unk> union asked the treasury department to investigate whether certain aspects of the original buy-out proposal violated tax laws
 in an effort to <unk> the buy-out the union has already called for investigations by the securities and exchange commission transportation department and labor department
 but there was one bright spot yesterday
 the united <unk> union agreed to negotiations that could lead to the flight attendants contributing concessions to a revived bid in exchange for an ownership stake
 the pilot union the only one to support the buy-out thus far said the flight attendants ' decision <unk> our belief that an <unk> owned airline is practical and <unk>
 still without the assurance of british airways ' financial backing it will be tougher for the buy-out group to convince <unk> banks to make loan commitments for a revised bid especially since british air 's original investment represented N N of the cash equity contribution for the bid
 under the previous plan british air would have received a N N stake in ual in exchange for a $ N million equity investment with a N N stake going to ual employees and N N to ual management
 british air officials said the airline 's chairman lord king was concerned about news reports indicating that british air might be willing to participate in a bid that included a lower purchase price and better investment terms for the british carrier
 the previous reports were based on remarks by british air 's chief financial officer <unk> stevens who said any revised bid would have to include a lower purchase price to reflect the sharp drop in ual 's stock in the past week
 ual stock dropped $ N yesterday to $ N on volume of N shares in composite trading on the new york stock exchange
 ual declined to comment on british air 's statement
 in an interview wednesday with dow jones professional investor report mr. stevens said we 're in no way committed to a deal going through at all
 we 're not rushing into anything
 we do n't want to be party to a second rejection
 indeed british air seemed to be <unk> itself from the troubled transaction early in an effort to avoid any further embarrassment
 the original transaction fell through on the same day british air shareholders approved the plan at a special meeting after the british succeeded in arranging the financing for its equity contribution
 the carrier also seemed eager to place blame on its american counterparts
 the buy-out consortium <unk> to exist because our american partners were not capable of organizing the financing a british air spokesman said
 british airways may have begun to have second thoughts about the transaction after the transportation department forced northwest 's airlines ' new owners to restructure the equity contribution of <unk> royal dutch airlines in that carrier
 most of the department 's statements since the northwest transaction indicated it planned to curtail foreign ownership stakes in u.s. carriers
 even before british air 's announcement pilot union leaders had been meeting in chicago yesterday to consider their options
 the leaders expressed support for trying to revive the bid following a briefing wednesday by the union 's advisers lazard <unk> & co. and paul weiss <unk> <unk> & garrison
 they also unanimously <unk> mr. <unk> the union chairman who has led the pilots ' N 1\/2-year fight to take control of the airline
 ual 's advisers have indicated previously that it may take a while to come forward with a revised plan since they want to have firm bank commitments before launching a new bid
 they have maintained that banks remain interested in financing the transaction
 the buy-out fell through after citicorp and chase manhattan corp. the lead banks in the transaction failed to obtain $ N billion in financing needed for the plan
 italy 's industrial wholesale sales index rose N N in june from a year earlier the state statistical institute istat said
 the june increase compared with a rise of N N in may from a year earlier
 domestic wholesale sales rose N N from a year earlier while foreign sales jumped N N istat said
 for the first six months wholesale sales rose N N from the year before reflecting to a N N jump in domestic sales and a N N boost in foreign sales
 sales of capital goods to foreign and domestic <unk> increased N N in the <unk> period from a year earlier
 sales of consumer goods rose N N in the same period while sales of intermediate goods were up N N from a year ago
 senate democrats <unk> a cut in the capital-gains tax have decided under pressure from their leaders not to offer their own proposal placing another obstacle in the path of president bush 's legislative priority
 a core group of six or so democratic senators has been working behind the scenes to develop a proposal to reduce the tax on the gain from the sale of assets
 the plan was complete except for finishing <unk> and there was talk that it would be unveiled as early as yesterday
 but senate majority leader george mitchell d. maine a vigorous opponent of the capital-gains tax cut called the group to meet with him wednesday night and again yesterday
 sen. mitchell urged them to <unk>
 afterward leaders of the dissident democrats <unk> and said they would n't offer their own proposal as they had planned
 the decision is a setback for president bush who needs the support of democrats to pass the tax cut through the <unk> senate
 having a proposal sponsored by democrats would have given the president an advantage
 having only a republican measure makes the task harder
 still sen. bob packwood r. ore. the lead sponsor of the republican capital-gains amendment predicted that the tax cut would be enacted this year
 he said a clear majority of senators back the tax reduction and that ultimately there would be enough senators to overcome any procedural hurdle the democratic leadership might <unk>
 but sen. mitchell buoyed by his victory among fellow democrats strongly disagreed
 mr. mitchell has been predicting that the president 's initiative would fail this year
 yesterday in an interview he added that the democrats ' decision increases the likelihood that a capital-gains tax cut will not pass this year
 mr. mitchell 's first victory came last week when the senate passed a deficit-reduction bill that did n't contain a capital-gains provision
 that vote made it unlikely that a capital-gains tax cut would be included in the final bill now being drafted by house and senate negotiators
 the house version of the bill does include the tax cut
 now republican leaders are concentrating on <unk> a capital-gains amendment to some other bill perhaps a measure raising the federal borrowing limit or a second tax bill that would follow on the heels of the deficit-reduction legislation
 to help lay the <unk> for that fight president bush plans early next week to meet at the white house with some N democratic senators who favor cutting the capital-gains tax or are <unk> on the issue
 the president apparently will have only one bill to push sen. packwood 's and at least some of the dissident democrats plan to support it
 i may want to offer additional amendments to improve it when the bill comes to the floor said sen. david boren d. okla. a leader of those democrats
 the packwood plan as expected would allow individuals to exclude from income N N of the gain from the sale of a capital asset held for more than one year
 the exclusion would rise five percentage points for each year the asset was held until it reached a maximum of N N after seven years
 the exclusion would apply to assets sold after oct. N
 as an alternative taxpayers could chose to reduce their gains by an inflation index
 for corporations the top tax rate on the sale of assets held for more than three years would be cut to N N from the current top rate of N N
 that rate would gradually decline to as little as N N for corporate assets held for N years
 the packwood plan also would include a proposal designed by sen. william roth r. del. that would create new tax benefits for individual retirement accounts
 the roth plan would create a new <unk> ira from which money could be withdrawn tax-free not only for retirement but also for the purchase of a first home education expenses and medical expenses
 current iras could be rolled over into the new iras but would be subject to tax though no penalty
 westmoreland coal co. <unk> benefits of a sustained effort to cut costs and boost productivity reported sharply improved third-quarter results
 the producer and marketer of <unk> coal said net income for the quarter was $ N million or N cents a share on revenue of $ N million
 for the year-earlier period the company reported a loss of $ N or six cents a share
 in the latest nine months the company earned $ N million or $ N a share
 last year 's net loss of $ N included a benefit of $ N from an accounting change
 revenue for the nine months rose to $ N million from $ N million
 in an interview <unk> hutchinson president and chief executive cited several reasons for the improvement higher employee productivity and good natural conditions in the mines as well as lower costs for materials administrative overhead and debt interest
 in the latest nine months mr. hutchinson said total coal sales rose to about N million tons from about N million tons a year earlier
 in addition long-term debt has been trimmed to about $ N million from $ N million since jan. N
 he predicted the debt ratio will improve further in coming quarters
 westmoreland 's strategy is to retain and expand its core business of mining and selling <unk> coal in the <unk> region
 the operating territory includes coal terminals on the ohio river and in newport news va
 westmoreland exports about a fourth of its coal <unk> including a significant amount of <unk> coal produced by others that is used by steelmakers overseas
 for the past couple of years westmoreland has undertaken an aggressive streamlining of all aspects of its business
 marginal operations and assets have been sold
 the size of the company 's board has been reduced to eight directors from N
 about N <unk> management jobs and hundreds of hourly wage positions have been eliminated
 even <unk> have been reduced
 for example the chief executive himself now pays N N of the cost of his health benefits the company used to pay N N
 i think the ship is now <unk> the <unk> are pumped and we are on course mr. hutchinson said of the restructuring program
 much of what we set out to do is completed
 but he cautioned that westmoreland 's third quarter is typically better than the fourth so investors should n't just <unk> the third quarter by four and assume the same rate of improvement can be sustained
 one difference he said is that the fourth quarter has significantly fewer <unk> because of holidays and the hunting season
 i do n't want to give the impression that everybody can relax now he said
 we have to keep working at improving our core business to stay efficient
 it 's a process that never really ends
 nevertheless mr. hutchinson predicted that N would be <unk> profitable for westmoreland and that N would bring more of the same
 for all of N the company reported an after-tax operating loss of $ N on revenue of $ N million
 an accounting adjustment made net income $ N million or N cents a share
 in a move that <unk> the company 's basic strategy its westmoreland energy inc. unit is developing four <unk> <unk> plants with a partner in virginia
 some of the coal the plants buy will come from westmoreland mines
 mr. hutchinson predicted that the unit 's contribution to company results in the 1990s will be exciting
 he said westmoreland is looking at investment stakes in other <unk> plants east of the mississippi river
 westmoreland expects energy demand to grow annually in the N N range in the early 1990s
 we see coal 's piece of the action growing mr. hutchinson said
 coal prices while not <unk> will grow modestly in real terms we think
 chase manhattan corp. after trying unsuccessfully to sell its interest in its lower manhattan operations building has exercised its option to purchase the <unk> office tower
 chase had purchased an option to buy the building at one new york plaza for an undisclosed sum from the late <unk> atlas as part of its original lease in N
 the current transaction cost the bank approximately $ N million
 of that amount $ N million was payment for the land <unk> the building and the rest was for the building itself
 the building houses about N chase workers most of whom will be moved to downtown brooklyn after the bank 's new back office center is completed in N
 the move is part of chase 's strategy to consolidate its back offices under one <unk>
 the headquarters is located a few blocks away at N chase manhattan plaza
 as part of its decision to leave the building chase tried to sell its interest along with the atlas estate 's interest shortly after the october N stock market crash
 chase senior vice president george <unk> said the bank decided to exercise its option after bids fell short of expectations
 he said chase and the atlas estate were looking to sell the entire building for $ N million to $ N million but did n't get an offer for more than $ N million
 as the building 's new owner chase will have its work cut out for it
 chase is <unk> N million square feet of space and salomon brothers inc. whose headquarters is in the building also plans to move shortly
 in addition another major building <unk> thomson <unk> inc. 's thomson <unk> securities likely will <unk> the premises as part of its liquidation
 new york real estate brokerage edward s. gordon co. will have the difficult task of finding new tenants
 even with its striking views of the new york harbor the building is considered <unk> by modern office standards
 and chase will have to spend approximately $ N million to remove asbestos from the premises
 wall street shake hands with george <unk>
 the author of the <unk> novel N invented a language called <unk> that made it impossible to fully develop a <unk> thought that is anything negative about the policies and practices of the state
 wall street has n't gotten that far yet but it has made a promising start
 its language call it <unk> is increasingly <unk> reassuring and designed to make financial products and <unk> appear better safer or cheaper than they really are
 when something <unk> nasty happens a few <unk> are deployed to simply make it disappear much as a fresh grave may be covered by a blanket of flowers
 for example we 'll bet you thought that the stock market <unk> two years ago
 wrong
 according to some of the grand <unk> of the market it never happened
 in their <unk> the <unk> collapse in the dow jones industrial average on oct. N N was just a big <unk>
 <unk> out a <unk> <unk> term new york stock exchange chairman john phelan recently declared that history would record the event as only a major technical correction
 another <unk> saying however this one in plain english holds that if something walks like a duck and <unk> like a duck it is a duck
 on oct. N N a date <unk> <unk> insist on <unk> with the <unk> <unk> the <unk> industrials fell N N
 in the technical correction of two years ago they lost a <unk> N N
 customers hear a lot of this stuff from people who try to sell them stock
 these people used to be called brokers but apparently this word either is not <unk> enough or carries too many negative <unk> from the <unk> technical correction when <unk> customers could n't raise brokers on the phone
 either way the word broker is clearly out of favor
 of the major new york-based securities firms only morgan stanley & co. still calls its salespeople brokers
 at merrill lynch & co. and shearson lehman hutton inc. they are financial consultants
 at drexel burnham lambert inc. prudential <unk> securities and dean witter reynolds inc. they are account executives
 at painewebber inc. they are investment executives
 such titles are designed to convey a sense of <unk> <unk> <unk> and expertise in selling today 's <unk> financial products
 it is a <unk> and expertise that some brokers themselves <unk> by all the new things being <unk> up for them to <unk> do n't feel
 it s almost product de <unk> <unk> one account executive at dean witter
 the <unk> brokers never let the <unk> cross their <unk> instead stressing such terms as safe insured and guaranteed even though these terms may be severely limited in their application to a particular new financial product
 the names of some of these products do n't suggest the risk involved in buying them either
 a case in point <unk> bond funds
 what could <unk> more safety than investing in government bonds
 what could be better than getting a <unk> more income from them the plus than other people
 indeed conservative investors many of them elderly have poured more than $ N billion into such funds which promise <unk> yields than ordinary treasury bonds only to learn later that these funds use part of their money to <unk> in high-risk bond options a <unk> 's game
 when a certain class of investment <unk> so poorly that its reputation is <unk> look for wall street to give it a new <unk>
 this seems to be happening now to limited partnerships many of which either have gone into the tank in recent years or have otherwise been <unk> disappointments
 they are still being sold but more and more often as direct investments with all the same risks they had under the old label
 in such cases the game has n't changed only the name
 in others a familiar old name still <unk> but the underlying game has changed
 for example no load mutual funds remain a favorite with investors because they do n't carry a <unk> sales commission
 getting out of them however may be a different story now
 traditional <unk> made their money by charging an annual management fee usually a modest one they imposed no other fees and many still do n't
 in recent years though a <unk> of others flying the <unk> flag have been imposing hefty charges all the way up to N N when an investor sells his shares
 should n't they properly be called <unk> funds
 the mutual-fund industry is <unk> the question but do n't expect a new name while the old one is working so well
 and do n't expect anyone to change the term blue chip either even though some of the companies that still enjoy the title may be riskier investments than they were
 american telephone & telegraph co. for one is still a favorite of <unk> <unk> and trust departments but <unk> of its regional telephone units and exposed to competition on every side it is a far different investment prospect than it was before divestiture
 also blue chips in general have suffered much more short-term price volatility in recent years
 larry <unk> a money manager in san mateo calif. blames that on the advent of program trading in which computers used by big institutional investors are <unk> to buy and sell big blocks when certain market conditions prevail
 blue chips he says are now being referred to as <unk> chips
 finally even the <unk> strategy called value investing no longer means what it once did
 before the takeover mania of the '80s it referred to <unk> out through analysis undervalued stocks especially those with <unk> management sound fundamentals and decent prospects
 now says mr. <unk> value investing often means looking for <unk> companies with terrible management that are in real trouble
 to institutional investors or brokers he adds a company with value is a company at risk of being <unk> up
 ms. <unk> covers personal finance from the wall street journal 's los angeles bureau
 i was <unk> to read your recent news stories on the banking industry 's reserve additions and <unk> threats to cease making new loans to less-developed countries
 if the whole story were told it would read something like this
 during the 1970s the commercial banks <unk> the country loan business away from the bond markets where the discipline of a prospectus and use of proceeds confirmation allowed lenders to audit expenditures of old loans before new loans were made
 the reward for that reckless lending was high reported earnings and management bonuses the price a sea of bad loans
 for the past several years the banks lacking a private navy to enforce their interests have been <unk> the u.s. treasury to underwrite their bad <unk> credits
 the treasury <unk> has refused but has concluded that indirect credit support through various multinational agencies should be made available for a price either debt reduction or <unk> reduction or new loans the brady plan
 the banks will threaten not to make further loans but in truth lacking the capital to write off their mistakes or to build a navy they have no alternative but to go along
 george a. <unk>
 gillette co. elected warren e. buffett chairman of <unk> <unk> inc. to its board increasing the number of directors to N from N
 <unk> <unk> earlier this year bought $ N million of preferred stock in gillette that is convertible into an N N stake and gillette said at the time that mr. buffett would be added to the board
 separately gillette said its third-quarter earnings rose N N to $ N million or N cents a share from $ N million or N cents a share in the year-earlier period per-share earnings remained flat despite an increase in net income in part because the company paid a $ N million dividend on the new preferred stock in the period
 sales rose N N to $ N million from $ N million with sales of the company 's <unk> operations well above the year <unk>
 for the nine months gillette 's net income declined N N to $ N million or $ N a share from $ N million or $ N a share in the N period
 sales rose N N to $ N billion from $ N billion
 in composite trading on the new york stock exchange the company closed yesterday at $ N a share up N cents
 when walter yetnikoff the president of sony corp. 's cbs records last month told producer peter guber that sony was about to make a $ N billion bid for columbia pictures and needed someone to run the studio mr. guber jumped at the chance
 within two days he was on his way to new york and tokyo to meet with top <unk> at sony
 and before the week was out sony had offered mr. guber and his partner jon peters the most lucrative employment contracts in the history of the movie business
 not only that sony also agreed to give them a stake in columbia 's future profits and buy their company guber peters entertainment co. for $ N million almost N N more than the market value of the company
 there was just one sticking point the two had a prior commitment
 just seven months earlier they had signed a five-year exclusive contract to make movies for warner bros. for which they had just produced the <unk> hit batman
 but mr. guber figured that warner communications inc. chairman steven ross would <unk> and let the producers go knowing the sony offer was the culmination of a life 's work
 he figured wrong
 last week following <unk> settlement talks warner now <unk> with time inc. filed a $ N billion breach of contract suit in los angeles superior court against both sony and guber peters
 sony promptly <unk> charging warner with trying to sabotage its acquisitions and hurt its efforts to enter the u.s. movie business
 the accusations of lying and <unk> are flying thick and fast on both sides as one sony executive puts it it 's world war iii
 that two successful producers who are n't all that well known outside hollywood could occasion such a clash of corporate <unk> suggests how desperate the <unk> for proven talent is in the movie business
 and they are a very odd team in any case
 mr. guber was raised in boston and educated in new york
 he is a lawyer with a string of academic degrees
 mr. peters is a high-school <unk> who came to fame as <unk> <unk> 's <unk>
 yet they are far and away the most <unk> producers in hollywood
 and despite their share of <unk> they make movies that make money
 that is a <unk> sony badly needs and warner is loath to lose
 although columbia had a good summer with <unk> ii and when harry met <unk> rivals such as warner paramount pictures walt disney co. and universal studios have been <unk> columbia at the box office
 after five years of management turmoil with four different studio heads columbia <unk> needs a stable <unk> team to restore its credibility and get it back in the business of making hits
 mr. guber and mr. peters are n't <unk> loved in hollywood but they are well connected
 their stock in trade as executive producers is <unk> out hot properties <unk> them up and then getting big studios to <unk> and distribute them
 sometimes mr. guber and mr. peters do little more than grab the first draft of a <unk> for a <unk> or buy rights to a best seller such as the color <unk>
 it falls to others to do the writing <unk> and producing
 with mgm\/ua 's <unk> for instance messrs. guber and peters had virtually nothing to do with day-to-day production but their names still appear in big letters on the credits and they are inevitably associated with its success
 sometimes as with batman the pair really do make the film
 in that case guber peters acquired the rights in N <unk> the movie through a dozen scripts and were on the set in london for N months <unk> over the most minute changes in casting and production
 they 're the best production talent around says brian de <unk> <unk> to guber peters for hiring him to direct the warner movie of tom <unk> 's novel <unk> of the <unk>
 on that film which is to start shooting in a few months they 've been very much involved hiring talent and discussing the development of the script
 and when you 're making a movie this big you need all the help you can get mr. de <unk> adds
 i wish they were around N hours a day
 and some movies seem to have been hurt by their <unk>
 warner executives blame mr. guber 's and mr. peters 's lack of involvement in <unk> ii for casting and production problems and the film 's ultimate dismal failure
 we 've had a few <unk> admits mr. peters
 but by and large this company has only been profitable
 he says his company 's <unk> at packaging and marketing is why we 'll be good at columbia
 we practically ran our own studio
 longtime hollywood associates describe mr. guber as the intellectual powerhouse of the two a man with a <unk> for <unk> and marketing
 peter is a major piece of hollywood manpower who has really earned his success says robert <unk> an agent at creative artists agency
 mark johnson the producer of <unk> <unk> in he has a great ability to hire <unk> people and delegate authority
 it 's no accident that they 've been able to develop such successful material
 mr. peters on the other hand has fewer fans in hollywood and his <unk> like to <unk> him as something of a <unk> <unk>
 he gets better reviews as a creative <unk> an <unk> an idea man
 he also had to fight harder for credibility than his partner did
 <unk> <unk> made him famous
 he cut her hair
 he lived with her
 he came to produce her records and her movies a star is born and the main event
 <unk> married but now single mr. peters got plenty of ink last summer for an <unk> <unk> with actress kim <unk> during the making of batman
 mr. guber by contrast has been married to one woman for more than N years
 but for all their intellectual and <unk> differences they make the perfect good <unk> bad <unk> team hollywood associates say
 peter is the bright sympathetic guy when you 're doing a deal says one agent
 if there 's a problem peter disappears and all of a sudden jon shows up
 mr. guber and mr. peters <unk> many people in hollywood the wrong way
 producers don simpson and jerry <unk> who <unk> <unk> through several scripts and ultimately produced the movie <unk> when messrs. guber and peters take credit for the film
 says mr. simpson the script was <unk>
 we <unk> it
 we are the producers of that movie
 they got a small piece of the net profits and a screen credit as executive producers
 when roger <unk> an executive who worked for guber peters in the early 1980s left to take a job as head of production at the united artists studio they made him <unk> all credits and financial interest in the films he had helped develop including <unk> and batman
 mr. peters acknowledges that and says it 's not unlike the situation he and mr. guber are in with warner
 i was upset with roger i <unk> and <unk> says mr. peters
 but he wanted to pursue his own dream and he went
 still mr. <unk> says his relationship with guber peters was one of the most successful i 've had in hollywood
 the two have a wonderful chemistry jon is very <unk> and peter is very <unk> adds mr. <unk> who is now head of production at news corp. 's 20th century fox film co
 jon peters will come <unk> into a room say he 's got a great idea and be gone
 peter will take the <unk> of that idea and make it grow into something specific
 mr. <unk> recalls that mr. guber and mr. peters shifted into high gear a few years back upon learning that they had competition for the story of the murdered <unk> <unk> <unk> which became <unk> in the <unk>
 he says within a few weeks we made deals with the government of <unk> and everyone who had ever met or talked to <unk> <unk>
 i think peter even made some deals with the <unk>
 universal studios was working on a competing film but the studio and its producers ultimately agreed to <unk> the film with guber peters and warner
 more recently guber peters beat out a dozen other producers reportedly including robert redford and ted turner for rights to the life story of <unk> <unk> the murdered brazilian union leader who fought developers in the <unk> rain forest
 messrs. guber and peters <unk> <unk> the man 's widow for months showing her a tape of <unk> in the <unk> to <unk> her with the quality of their work
 money helped too
 ultimately they paid more than $ N million for the rights
 the sale caused a <unk> between the widow and some of her husband 's <unk>
 some of the money will go to the <unk> <unk> foundation but it is n't earmarked for groups trying to save the rain forest
 it 's hardly <unk> given the men 's track record that sony wants mr. guber and mr. peters
 but it is <unk> to some hollywood executives that sony rushed to hire them without clearing up the warner situation first
 some note that sony might have saved itself some trouble by just hiring mr. guber and letting mr. peters stay on to fulfill the warner contract
 but though people in town may ask why guber needs peters it 's good to have a partner and obviously the chemistry works says steven tisch a producer who once worked for mr. guber
 this business is n't about <unk> at the end of the day it s about whether the ink is red or black
 in the case of peter and jon the ink has been very very black
 mr. guber got his start in the movie business at columbia two decades ago
 recruited from new york university 's <unk> program he rose within two years to head of production overseeing such films as the way we were taxi driver <unk> and <unk>
 in N he <unk> up with record producer neil bogart in <unk> records and <unk> later called <unk> pictures where they produced such hits as as the deep and midnight express
 in N mr. guber got together with mr. peters by then a successful producer in his own right after the death of mr. bogart
 while guber peters produced a number of hits for warner and others their record was n't always so impressive
 among their <unk> were the <unk> of <unk> jean <unk> clue and <unk> of the <unk> bear
 and the failures make it possible for warner in its current lawsuit to <unk> the producers as <unk>
 the studio says it stuck with them even in the early years when the creative partnership was not particularly profitable for warner
 mr. guber replies that this is a <unk> this time warner trying to <unk> up two <unk> who have done only well for them for a long period of time
 mr. guber and mr. peters maintain that executives at warner have always known of their ambitions to run a major entertainment powerhouse but that warner never felt threatened until they linked up with sony
 from the beginning they knew we had a goal and a dream says mr. guber
 on a number of occasions he adds he tried to get warner to buy guber peters outright
 they always <unk> but they never acted mr. guber says
 in N mr. guber and mr. peters contributed their company 's assets in exchange for a N N stake in <unk> entertainment a <unk> tv production company controlled by giant industries inc. chairman burt sugarman
 in july a year later warner agreed to release the producers from their old contract when messrs. guber peters and sugarman made a $ N million offer to buy N N of mgm\/ua
 mr. guber and mr. peters planned to run the nearly <unk> mgm studio and the two even tried to interest warner <unk> president terry semel in becoming a partner after he advised them on the deal
 but the mgm plan collapsed just two weeks later
 mr. guber and mr. peters say they got a look at the books and balked at the price
 their relationship with mr. sugarman <unk> shortly thereafter
 last may he sold his N N stake in <unk> to a passive australian investor and <unk> was renamed guber peters entertainment co
 meanwhile mr. guber and mr. peters had agreed to extend their warner agreement with the new five-year exclusive contract
 the new deal was considered the most generous of its kind both financially and in terms of creative freedom
 but it <unk> by comparison to what sony was to offer last month the chance at last to run a major studio about $ N million in deferred compensation up to N N of columbia 's future cash flow N N of the future appreciation of columbia 's market value and annual salaries of $ N million for each
 the producers ' N N share of publicly held guber peters would net them an additional $ N million
 sony also agreed to <unk> the producers against any liability to warner
 sony is paying a hefty price for a company that had revenue of only $ N million last year
 and earnings have been <unk>
 in the the latest quarter thanks in part to batman guber peters earned $ N million or N cents a share compared to a loss of $ N million or N cents a share in last year 's quarter
 guber peters stock which traded as low as $ N a share last year closed yesterday at $ N
 the two sides now are <unk> each other of lying
 mr. guber and mr. peters claim they have an oral agreement with warner executives that allows them to terminate their contract should the opportunity to run a major studio arise
 but in affidavits filed yesterday in the los angeles court mr. ross warner bros. chairman robert daly and president semel deny that such an oral agreement was ever made
 warner in its court filings calls it a piece of <unk> created for this litigation
 mr. daly in his affidavit acknowledges that warner agreed to release the producers last year to take over mgm but says that situation was altogether different
 for one thing according to mr. daly the producers requested a release in advance
 moreover the old contract was about to expire and the lineup of guber peters pictures for warner was n't as strong as it is now
 warner itself was in negotiations with mgm over certain movie and other rights and it was in warner 's interest to accommodate mgm\/ua guber and peters by permitting them to become mgm executives mr. daly said in his affidavit
 warner obviously does n't think that it is in its own interests to let mr. guber and mr. peters go off to columbia
 at the very least mr. ross clearly sees an opportunity to use the two men to get a pound of <unk> from sony
 during settlement talks for example warner demanded such things as cable tv rights to columbia movies and columbia 's interest in the studio it jointly owns with warner according to executives involved in the talks
 in any settlement warner is almost certain to demand rights to most of the N or so projects mr. guber and mr. peters have locked up for the next few years notably <unk> to batman
 mr. guber and mr. peters refuse to concede that they may have made a tactical error in accepting the sony offer before taking it up with warner
 and they say there are plenty of <unk> in hollywood for letting people out of contracts
 the last time columbia pictures was looking for a studio chief they note warner released producer david <unk> from his contract then took him back after he was subsequently fired by his bosses at columbia
 in his affidavit filed yesterday warner 's mr. ross indicated he is n't buying any such argument if sony succeeds here no written contract in hollywood will be worth the paper it 's written on
 the sales pitch could n't sound better
 first there 's the name asset-backed securities
 better than all those offers you get to buy securities backed by nothing
 and there 's more
 the assets backing the securities come from some of the country 's biggest and most secure institutions
 most earn high ratings from credit agencies
 their yields are higher than those of u.s. treasury issues
 and the booming market has already attracted many of the nation 's biggest institutional investors
 ready to jump
 well think twice
 the concept may be simple take a bunch of loans tie them up in one neat package and sell pieces of the package to investors
 but the <unk> may be misleading
 skeptics say the slightly higher returns are n't enough to compensate for the extra risk
 they warn that asset-backed securities are only as good as the assets and credit backing that support them and those are hard to evaluate
 moreover the securities were introduced only about N N years ago the biggest unknown is how they will fare in a recession
 a lot of this stuff really is in <unk> waters says owen <unk> director of the investment securities division of the u.s. comptroller of the currency
 we do n't know how this whole market will work in a serious economic downturn
 such concerns however have n't stopped asset-backed securities from becoming one of wall street 's hottest new products
 since the spring of N financial <unk> have transformed a wide variety of debt into these new securities
 they have sold issues backed by car loans boat loans and <unk> loans
 they have offered <unk> of <unk> loans as well as packages of loans used to buy vacation <unk>
 last year there was an issue of <unk> bonds securities backed by loans to life-insurance policyholders
 some predict there will be third world bonds backed by loans to brazil argentina and other <unk> nations
 and the biggest volume this year has been on securities backed by credit-card receivables sometimes known as plastic bonds
 this is the <unk> of debt says james grant editor of grant 's interest rate <unk> a newsletter
 before the sun sets on the '80s it seems nothing will be left <unk>
 the result is a $ N billion market according to securities data co
 that includes more than $ N billion issued through august of this year up sharply from $ N billion in the comparable N period and more than in all of N
 most issues have been sold to professional money managers pension funds bank trust departments and other institutions
 but wealthy individuals also have been jumping in and lately brokers have been pushing smaller investors into the asset-backed market
 the entry fee is affordable issues typically are sold in minimum denominations of $ N
 we expect additional offerings of asset-backed securities targeted toward individual investors says bill <unk> a senior vice president at shearson lehman hutton inc
 the process typically begins when an institution such as citibank or sears roebuck & co. takes a pool of credit-card or other receivables and sells them to a specially created trust
 the trust then issues securities generally due in five years or less that are underwritten by wall street brokerage firms and offered to investors
 issues typically come with credit <unk> such as a bank letter of credit and thus have received high credit ratings
 enthusiasts say the booming market has opened up a valuable new source of funds to issuers while providing a valuable new investment for individuals and institutions
 asset-backed securities are an attractive investment compared to bank certificates of deposit or other corporate bonds says craig j. goldberg managing director and head of the asset-backed securities group at merrill lynch capital markets
 but skeptics question whether asset-backed bonds offer sufficient rewards to compensate for the extra risks
 consider a $ N million offering of N N securities issued last spring and backed by citibank credit-card receivables
 the <unk> issue offered a yield of only about N percentage point above four-year treasury issues
 on a $ N investment that 's a difference of only $ N a year
 that kind of spread can be critical for money managers who buy bonds in large quantities and whose <unk> depends on <unk> the money manager across the street
 but for individuals who buy much smaller amounts and care less about relative performance than in preserving what they have that margin is <unk>
 if you 're in the bond business playing the <unk> <unk> then even an extra N basis points N percentage point becomes an important consideration on a career basis says mr. grant
 but if you 're an individual investing money and trying to get it back again then that is n't of overwhelming importance
 moreover the interest on asset-backed securities is fully taxable while interest on treasury issues is tax-free at the state and local level
 that 's why some investment managers such as alex powers a vice president of chase manhattan bank 's private banking division do n't recommend most asset-backed issues for individuals in <unk> states such as new york or california
 but mr. powers has purchased asset-backed issues for individuals with <unk> accounts such as retirement plans
 he points out that institutions buying asset-backed issues in large quantities can earn higher spreads over treasurys than individuals buying smaller amounts
 another concern is liquidity or how easily a security can be converted into cash
 the secondary or resale market for asset-backed securities is relatively new and much less active than for treasury issues
 that could make it tricky for investors who need to sell their holdings quickly before the securities mature
 that 's particularly true analysts say for certain of the securities such as those backed by <unk> loans
 you could see massive gyrations here because it 's such a <unk> traded market says jonathan s. paris a vice president of european investors inc. a new york <unk> firm
 in addition an investor who wants to know the daily value of treasury bonds or corporate bonds traded on the new york stock exchange can simply check newspaper listings
 there are n't any such listings for asset-backed securities
 evaluating asset-backed securities <unk> another problem
 investors for instance may mistakenly assume that the bank or company that originally held the assets is <unk> the securities
 it is n't
 the front cover of the prospectus for the citibank credit-card receivables offering points out in bold capital letters that the certificates represent an interest only in the specially created trust and do not represent interests in or obligations of the banks citibank <unk> citicorp or any affiliate <unk>
 in other words if there 's a problem do n't expect citibank to come to the rescue
 the prospectus also notes that the securities are not guaranteed by any government agency
 that means investors have to focus on the quality of the debt that lies beneath the securities as well as on the credit <unk> for the issue and the credit ratings the issue has received
 that also is n't easy
 take the credit <unk> which typically include a bank letter of credit or insurance from a <unk> company
 the letter of credit typically is not offered by the bank selling the assets to back the securities
 nor does it cover the entire portfolio
 details of credit <unk> vary widely from issue to issue
 still they play a crucial role in winning top ratings for most asset-backed issues which in turn is why the yield above treasurys is so slim
 but skeptics ask why you should bother buying this stuff when you can get only slightly lower yields on <unk> paper
 when you buy an asset-backed issue you take the risk that a bank or an insurer could run into unexpected difficulties
 if a bank 's credit rating was lowered because of say its loans to third world nations that could also affect the ratings liquidity and prices of the asset-backed issues that the bank supports
 underwriters insist these issues are constructed to withstand extremely tough economic conditions
 but despite the credit <unk> despite the high ratings some money managers still worry that a recession could <unk> havoc on the underlying assets
 at a time when americans are leveraged to their <unk> asset-backed investors may be taking a <unk> gamble that consumers will be able to repay loans in hard times
 at the very least a recession would prompt investors to buy the <unk> bonds they can find that is treasurys
 that could widen the yield spread between treasurys and asset-backed securities as well as make it tougher to unload the latter
 but it could be much worse
 some analysts are especially wary of credit-card issues
 for one thing credit-card loans are unsecured
 in addition they fear that banks have been <unk> to issue cards to the public giving cards to too many big <unk> who will default during a recession
 a day of <unk> is coming where we think the market will place a high premium on the <unk> debt issues and therefore we think the best debt investment is u.s. government bonds says craig <unk> of <unk> futures inc. an investment advisory firm
 what about <unk> asset-backed issues
 <unk> we still say to stick with treasurys mr. <unk> replies
 ratings he notes are subject to change
 all this makes asset-backed securities seem too risky for many people
 and it <unk> raymond f. devoe jr. a market strategist at legg mason wood walker inc. of what he calls devoe 's <unk> but highly probable theory no. N
 more money has been lost reaching for yield than in all the stock <unk> scams and <unk> of all time
 mr. <unk> is a staff reporter in the wall street journal 's new york bureau
 volume of asset-backed securities issued annually
 \* principal amount
 \*\* as of august N
 \* principal amount
 source securities data co
 if you force financial planners to sum up their most important advice in a single sentence it would probably be a <unk> sentence diversify
 judging by a poll of wall street journal readers conducted this summer by <unk> & morgan inc. serious investors have taken that advice to heart
 nearly N investors responded to the journal 's poll providing an <unk> look at their portfolios
 those portfolios are <unk> diversified
 by spreading their wealth among several investment alternatives the respondents have protected themselves against <unk> in any one area be it stocks bonds or real estate
 for example about N N of journal readers owned stock down slightly from N N in a similar poll last year
 but only N N said they had more than half their money in the stock market
 similarly N N of respondents own shares in a money-market mutual fund and N N own municipal bonds
 but only N N to N N of the investors were committing more than half their funds to either of those alternatives
 the poll conducted aug. N also provides a <unk> into the thinking of serious investors on a variety of other topics
 it found them in a cautious but not <unk> mood
 of N people sent a <unk> N replied
 the response rate more than N N allows the results to be interpreted with a high degree of confidence
 the results ca n't be <unk> to all investors though
 journal readers are relatively affluent with a median household income of between $ N and $ N
 nearly half of the respondents N N said their investment portfolio was worth $ N or more and N N said it was worth $ N million or more
 the respondents were mildly optimistic about the economy and investment markets but their collective judgments were a <unk> more <unk> than they were a year ago
 for example N N of this year 's respondents said they expect a recession within N months
 last year only N N were expecting a recession
 an additional N N of this year 's respondents expect the economy to slow down during the next N months
 only N N of last year 's respondents anticipated slowing growth
 apparently the respondents do n't think that an economic slowdown would harm the major investment markets very much
 a slim majority N N think stock prices will be higher in august N than they were in august N
 their verdict on real estate is almost the same
 some N N expect real estate in their local area to increase in value over the next N months
 by contrast only N N expect an increase in the price of gold
 since gold tends to soar when inflation is high that finding suggests that people believe inflation remains under control
 even though only N N actually predicted a recession many respondents were taking a <unk> sorry investment stance
 nearly a third said they have made some portfolio changes to anticipate a possible recession
 for the most part the changes were slight
 the two-thirds who have n't tried to make their portfolios more <unk> were split about evenly between investors who do n't believe in trying to predict the markets about N N and investors who do n't expect a recession about N N or are <unk> if and when a recession might come about N N
 a <unk> approach to stocks continues to be the rule among respondents
 most own two to N stocks and buy or sell no more than three times a year
 some N N had bought some stock in the past year only N N had sold any
 but the <unk> shadow of N 's stock-market crash still seems dark
 about N N considered another crash likely while about N N said one is unlikely
 those <unk> hardly changed from the previous year 's poll
 and the respondents ' commitment to the stock market remains somewhat lighter than usual
 about N N of them said they would ordinarily have at least N N of their money in stocks
 but as of august only N N actually had stock-market investments of that size
 most stock-market indexes were hitting <unk> highs at around the time of the poll
 but it appears that many journal readers were taking that news as a sign to be cautious rather than a signal to jump on the <unk>
 mr. dorfman covers investing issues from the wall street journal 's new york bureau
 canadian steel <unk> production totaled N metric tons in the week ended oct. N down N N from the preceding week 's total of N tons statistics canada a federal agency said
 the week 's total was down N N from N tons a year earlier
 a metric ton is equal to N pounds
 the cumulative total in N was N tons up N N from N tons a year earlier
 health care property investors inc. said it acquired three long-term care facilities and one <unk> facility in a <unk> transaction valued at $ N million
 the real estate investment trust said that it leased the three florida facilities to national health care affiliates inc. of <unk> n.y
 health care property holds an interest in N facilities in N states
 moody 's investors service said it lowered its rating on about $ N million of this <unk> calif. concern 's convertible subordinated debentures due N to <unk> from <unk>
 it said the reduction reflects <unk> business prospects and reduced financial flexibility caused by continuing losses at the maker of <unk> disk drives
 valley national corp.
 moody 's investors service inc. said it lowered its rating on about $ N million of this bank holding company 's senior debt to <unk> from <unk>
 moody 's said it expects valley national of phoenix ariz. to make substantial further provisions against its real-estate portfolio and that it continues to suffer from the high cost of carrying nonperforming assets and from high loan-loss provisions
 electronic theft by foreign and industrial <unk> and <unk> employees is costing u.s. companies billions and eroding their international competitive advantage
 that was the message delivered by government and private security experts at an <unk> conference on corporate electronic <unk>
 hostile and even friendly nations routinely steal information from u.s. companies and share it with their own companies said <unk> d. <unk> a former <unk> at the federal national security agency and now president of information security inc. silver spring md
 it may well be that theft of business data is as serious a strategic threat to national security as it is a threat to the survival of <unk> u.s. firms said <unk> van <unk> the white house 's assistant director for national security affairs
 the conference was jointly sponsored by the new york institute of technology school of management and the armed forces communications and electronics association a joint <unk> trade group
 any secret can be <unk> the experts said if it is <unk> over the air
 even rank <unk> can do it if they spend a few thousand dollars for a <unk> available microwave receiver with <unk> and a <unk> recorder
 they need only position themselves near a company 's satellite <unk> and wait
 you can have a dozen competitors stealing your secrets at the same time mr. <unk> said adding it 's a pretty good bet they wo n't get caught
 the only way to catch an electronic thief he said is to set him up with <unk> information
 even though electronic <unk> may cost u.s. firms billions of dollars a year most are n't yet taking <unk> the experts said
 by contrast european firms will spend $ N million this year on electronic security and are expected to spend $ N billion by N
 already many foreign firms especially banks have their own <unk> conference <unk> reported
 still <unk> corporate communications is only a partial remedy
 one expert whose job is so politically sensitive that he spoke on condition that he would n't be named or quoted said the expected influx of east european refugees over the next few years will greatly increase the chances of <unk> workers for example doubling as foreign <unk>
 moreover he said technology now exists for stealing corporate secrets after they 've been erased from a computer 's memory
 he said that oliver north of iran-contra <unk> thought he had erased his computer but that the information was later <unk> for congressional committees to read
 no personal computer not even the one on a chief executive 's desk is safe this speaker noted
 w. mark <unk> president of <unk> inc. a <unk> texas firm that makes <unk> products provided a new definition for mikhail gorbachev 's campaign for greater openness known commonly as glasnost
 under mr. gorbachev mr. <unk> said the soviets are openly stealing western corporate communications
 he cited the case of a swiss oil trader who recently put out bids via <unk> for an oil tanker to pick up a cargo of crude in the middle east
 among the responses the swiss trader got was one from the soviet national shipping company which had n't been invited to submit a bid
 the soviets ' <unk> paid off however because they got the contract
 the university of toronto stepped deeper into the contest for connaught <unk> inc. by reaching an unusual agreement with ciba-geigy ltd. and chiron corp
 the university said the two companies agreed to spend N million canadian dollars $ N million over N years on research at canadian universities if they are successful in acquiring the vaccine maker
 it said $ N million would go to the university of toronto
 ciba-geigy and chiron have made a joint bid of c$ N million for connaught and <unk> merieux s.a. of france has made a rival bid of c$ N million
 the university is seeking an injunction against the merieux bid arguing that connaught 's predecessor company agreed in N that connaught 's ownership would n't be transferred to foreigners
 the university implied that it would drop its opposition to foreign ownership if ciba-geigy and chiron are successful with their lower bid
 it said the new agreement would replace the old one that forms the basis of its suit against the merieux takeover
 notwithstanding foreign ownership of connaught this accord would enhance research and development in canada said james <unk> the university 's vice president of research
 ciba-geigy is a swiss pharmaceutical company and chiron is based in <unk> calif
 in a statement <unk> martin director general of merieux said the french company is still determined to acquire connaught
 while he did n't comment directly on the pact between ciba-geigy and the university he said merieux can transfer new products and technologies to connaught more rapidly than other companies not currently producing and marketing <unk> who can only promise this for some years in the future
 in national over-the-counter trading yesterday connaught closed at $ N up $ N
 microsoft and other software stocks surged leading the nasdaq composite index of over-the-counter stocks to its biggest advance of the year on <unk> volume
 leading the pack microsoft soared N N or N N to a record price of N N on N million shares
 on the other hand valley national tumbled N N after reporting a sizable third-quarter loss
 the nasdaq composite leaped N points or N N to N
 its largest previous rise this year came aug. N when it gained N
 the otc market 's largest stocks soared as well as the nasdaq N index jumped N or N N to N
 the nasdaq financial index rose N or N N to N
 by comparison the dow jones industrials and the new york stock exchange composite each rose N N
 volume totaled N million shares N N above this year 's average daily turnover on nasdaq
 among broader nasdaq industry groups the utility index gained N to N
 the transportation and insurance sectors each posted gains of N with the <unk> finishing at N and the insurers at N
 the nasdaq industrial index climbed N to N and the other finance index made up of commercial banks and real estate and brokerage firms rose N to N
 the index of smaller banks improved N
 of the N issues that changed hands N rose and N fell
 <unk> mullins head of otc trading at dean witter reynolds said both institutional and retail investors were buying
 but there was a <unk> of sellers traders said so buyers had to bid prices up to <unk> them
 there 's no pressure on otc stocks at this point said mr. mullins who said some buyers are beginning to shop among smaller otc issues
 microsoft 's surge followed a report this week of substantially improved earnings for its first quarter ended sept. N
 the stock was trading at N just two weeks ago
 rick <unk> a goldman sachs analyst has raised his earnings estimates for the company twice in the past two weeks citing improved margins
 after the earnings were announced he raised his fiscal N estimate to between $ N and $ N a share
 microsoft earned $ N a share in fiscal N
 among other software issues <unk> jumped N N to N lotus development was unchanged at N N <unk> jumped N to N N <unk> gained N to N N and <unk> systems rose N to N N
 <unk> a new software issue surged from its offering price of N to close at N N
 the company also makes optical character recognition equipment
 <unk> was underwritten by alex brown & sons
 another recently offered alex brown issue rally 's surged N N to N
 the operator of fast-food restaurants whose shares began trading last friday climbed N N to N on N shares
 its N <unk> offering was priced at N
 valley national 's slide of N N points to N N on N million shares followed its report late wednesday of a $ N million third-quarter loss
 in the N quarter the phoenix ariz. commercial banking concern earned $ N million
 valley national said its $ N million provision for credit losses and $ N million provision for other real estate owned is related to weakness in the arizona real estate market
 additionally moody 's investors service said it downgraded valley national 's senior debt and confirmed the company 's commercial paper rating of not prime
 a new issue <unk> surged N N from its initial offering price to close at N N
 the offering was for about N million shares of the data storage equipment maker more than N million shares changed hands after trading began
 dell computer dropped N to N
 the company said earnings for the year ending jan. N N are expected to be N to N cents a share compared with a previous estimate of N to N cents a share
 <unk> industries lost N N to N
 raymond james & associates in st. <unk> fla. lowered its third-quarter earnings estimate for the company according to dow jones professional investor report
 a.p. green industries advanced N N to N N
 east rock partners which has indicated it might make a bid for the company said a.p. green a <unk> products maker told the partnership it is n't for sale
 row N of section N of the upper reserved at candlestick park is a <unk> <unk> only a few steps from the very top of the stands
 from my orange seat i looked over the <unk> line and the <unk> ball field in the warm sun of the last few minutes before what was to have been the third game of the world series
 it was five in the afternoon but that was pacific time
 back in new york the work day was already over so i did n't have to feel guilty
 even still i did feel <unk> and i could n't help <unk> my father 's <unk> for a rich medical <unk> who would go to watch the <unk> on summer <unk>
 this <unk> the stick was not a classic baseball stadium too <unk> too much <unk> concrete
 and it did n't have the crowded wild <unk> of yankee stadium
 but i liked the easy <unk> of the people around me liked it that they 'd brought their children found it <unk> that true citizens of the state of the future they had brought so many tvs and <unk> to stay in touch with <unk> at a live event
 maybe it was their <unk> sense of history
 the broadcasters were after all <unk> the game <unk> its <unk> for millions outside the stick
 why not watch or hear your experience <unk> while you were living it
 the day was <unk> with the weight of its own impending history
 long lines of people waited to buy special <unk> world series <unk> with official <unk>
 thousands of us had paid $ N for the official <unk> book with its historical <unk> on series <unk> its historical photographs of great moments in series past and its instructions in english and spanish for filling in the <unk>
 <unk> <unk> <unk>
 <unk> <unk> <unk>
 players ran out on the field way below and the stands began to <unk>
 it must be a local custom i thought <unk> feet to welcome the team
 but then the noise turned into a <unk>
 and no one was shouting
 no one around me was saying anything
 because we all were busy riding a wave
 <unk> thousand <unk> <unk> a concrete wall waiting for the <unk>
 only at the moment of maximum roll did i grasp what was going on
 then i remembered the quake of <unk> which i experienced in santa barbara in a <unk> motel room
 when the <unk> of the building <unk> me up i <unk> that a i was in southern california b the bed was moving c it must be a magic fingers bed that had <unk>
 then i noticed the overhead light was <unk> on its <unk> and realized what had happened
 what should i do
 get out of the possibly <unk> building to the parking lot
 but the lot might split into <unk> so i had better stand on my car which probably was wider than the average <unk>
 fortunately the quake was over before i managed to run out and stand naked on the <unk>
 at the stick while the world shook i thought of that morning and then it struck me that this time was different
 if i survived i would have achieved every journalist 's highest wish
 i was an <unk> of the most <unk> event on the planet at that moment
 what was my <unk>
 how would i file
 all these thoughts <unk> through my head in the N seconds of the earthquake 's actual <unk>
 the rest is of course history
 the stick did n't fall
 the real <unk> occurred elsewhere as we soon found out
 but for a few minutes there relief <unk>
 a young mother found her boy who had been out buying a <unk>
 the wall behind me was slightly <unk> but the center had held
 and most of us waited for a while for the game to start
 then we began to file out to wait <unk> on <unk> <unk> for the opening pitch
 it was during the quiet exodus down the <unk> concrete <unk> of the stick that i really understood the point of all those <unk> and <unk>
 the crowd moved in <unk> <unk> <unk> around an electronic <unk>
 in this way while the stick itself was <unk> out we kept up to date on events
 within N minutes of the quake itself i was able to see pictures of the collapsed section of the bay bridge
 increasingly accurate estimates of the <unk> of the quake became available before i got to my car
 and by then expensive automobile sound systems were keeping the <unk> parking lot by the bay informed about the fire causing the big black <unk> of smoke we saw on the northern horizon
 <unk> fell
 but the <unk> continued through the <unk> night with pictures of the <unk> highway <unk> in oakland and <unk> in the marina district
 by then our little sand village of cars had been linked with a global village of <unk> and viewers
 everyone at the stick that day had started out as a <unk> and ended up as a participant
 in fact the entire population of the bay area had ended up with this dual role of actor and audience
 the reporters were victims and some of the victims turned into <unk> reporters
 the outstanding example of this was the <unk> on the bay bridge who had the presence of mind to take out a video camera at the absolutely crucial moment and record the car in front as it fell into the gap in the roadway
 the tape was on tv before the night was out
 marshall <unk> you should have been there at that hour
 investors who received shearson lehman hutton inc. 's latest stock commentary may be left with blank <unk>
 the first N pages of the <unk> weekly portfolio perspective are completely blank except for the page numbers
 rather than printing <unk> shearson puts all the blame on the <unk> stock market
 the plunge made shearson 's market commentary instantly out of date
 in fact last friday 's 190.58-point tumble in the stock market caught many people and businesses by surprise not the least of them brokerage firms such as shearson that print their weekly market <unk> on <unk> for <unk> the following week
 shearson a <unk> unit of american express co. did n't have enough time to update its market commentary so we decided to kill our strategy pieces says jack <unk> the head of shearson 's research department
 the first thought some investors had was that a <unk> shearson must have been wildly bullish on stocks in its original commentary and that 's why it <unk> its pages
 investors recalled that shearson last week had been advising that the market is still <unk> all the signs of a further advance
 many other brokerage firms had similarly bullish views
 but mr. <unk> insists that the N pages were n't pulled because they were too bullish
 instead he says they were cautious and that was n't the message we wanted to deliver on monday
 as mr. <unk> explains it we were raising some caution flags about rate rises in europe and concerns about the lbo market
 and by late friday afternoon actually after the close we decided that was the wrong tone to take
 with the market down we wanted to tell people to put their orders in on the opening
 both before and after the friday plunge shearson has maintained a recommended portfolio <unk> of N N stocks N N bonds and N N cash
 <unk> b. <unk> chairman of <unk> & co. and john l. murray chairman of universal foods corp. were elected to the board of this engine maker
 they succeed robert w. <unk> and john r. parker who reached the mandatory retirement age
 china 's slide toward recession is beginning to look like a free fall
 in a report on china 's <unk> economy the official state statistical bureau disclosed that industrial output last month rose N N from a year earlier the lowest growth rate in a decade for september
 retail sales are <unk> while consumer prices still are rising
 chinese and foreign economists now predict prolonged <unk> low growth and high inflation
 the economy is <unk> hard says an asian economist in beijing
 the slowdown is taking hold a lot more quickly and <unk> than anyone had expected
 a lengthy recession if it <unk> would drain state <unk> and create severe <unk> for urban workers
 experts predict the coming year will be characterized by flat or negative industrial growth rising unemployment and a widening budget deficit
 unless the government suddenly <unk> course wages for most workers wo n't keep pace with inflation creating a potential source of urban unrest
 the economy 's slowdown is due only partly to the <unk> program launched in september N to cool an <unk> economy and <unk> inflation
 industrial output surged N N in N while inflation peaked last february at nearly N N
 the slowdown also results from <unk> energy and <unk> shortages that force many factories to restrict operations to two or three days a week
 in western <unk> countries recessions often have a bright side <unk> the economy to greater efficiency
 in china however there is n't likely to be any silver <unk> because the economy remains <unk> primarily by the state
 instead china is likely to shell out <unk> subsidies to its <unk> <unk> enterprises which <unk> up $ N billion in <unk> last year
 nor are any of these inefficient <unk> likely to be allowed to go bankrupt
 rather the brunt of the slowdown will be felt in the fast-growing private and <unk> township enterprises which have fallen into <unk> as china 's leaders <unk> an orthodox marxist preference for public ownership
 when the going gets rough china <unk> the efficient and rewards the incompetent says a western economist
 reports of an economy near recession come as officials prepare a major communist party <unk> for sometime in the next few weeks
 the meeting is expected to call for heightened <unk> for two years
 but with industrial growth <unk> and inflation showing signs of easing some voices may call for measures to pump new life into the economy
 some analysts believe china soon will begin <unk> economic controls particularly by <unk> credit
 that would benefit chinese enterprises as well as <unk> joint ventures both of which have been plagued by shortages of working capital
 a dangerous buildup this year of billions of dollars in <unk> debts threatens if <unk> to bring the economy to a collapse
 one sign of a possible easing of credit policy was the decision this week of people 's bank of china the central bank to <unk> $ N billion in short-term loans to pay farmers for the autumn harvest the official china daily reported
 but while pumping more money into the economy would bring relief to many industries it also runs the risk of triggering another period of runaway growth and steep inflation
 the cycle has been repeated several times since china began <unk> its planned economy in N
 and because china 's leaders have abandoned plans to drastically reform the economy it is likely to continue analysts say
 the statistical bureau 's report cited in china daily notes that industrial output in september totaled $ N billion a rise of just N N from a year earlier
 output declined in several provinces including <unk> and <unk> two key coastal areas and <unk> the nation 's agricultural <unk>
 production in shanghai china 's industrial powerhouse and the largest source of tax revenue for the central government fell N N for the month
 nationwide output of light industrial products declined N N the first decline in N years a bureau spokesman told china daily
 in an unusually direct statement the bureau spokesman recommended that state banks extend more credit to <unk> so that they can purchase manufacturers ' goods
 this will prevent a slide in industrial production which will otherwise cause new panic <unk> the spokesman said
 the N tax overhaul the biggest achievement of president reagan 's second term is beginning to fall apart and interest groups are <unk> up for tax <unk> all over capitol hill
 real-estate executives are lobbying to ease <unk> rules
 charitable groups are trying to <unk> the write-off for contributions made by individuals who do n't <unk> their deductions
 big auction houses want to make <unk> eligible for lower capital-gains taxes
 and <unk> lobbyists are quietly discussing the possibility of <unk> the investment tax credit
 everything is up for <unk> says <unk> <unk> a lobbyist for mutual life-insurance companies
 adds robert <unk> the head lobbyist for a variety of interests that want to protect the tax deduction for travel and entertainment expenses it appears as though the whole thing is wide open again
 the catalyst has been the congressional move to restore <unk> tax treatment for capital gains an effort that is likely to succeed in this congress
 other fundamental reforms of the N act have been threatened as well
 the house seriously considered raising the top tax rate paid by individuals with the highest incomes
 the senate finance committee voted to expand the deduction for individual retirement accounts and also to bring back income averaging for farmers a tax preference that allows income to be spread out over several years
 as part of the same bill the finance panel also voted in favor of billions of dollars in narrow tax breaks for individuals and corporations in what committee member sen. david <unk> d. ark calls a feeding frenzy of special-interest <unk>
 the beneficiaries would range from <unk> growers to rich <unk> to <unk> shops
 to be sure the full senate facing a <unk> budget deadline last friday stripped away all of the tax breaks that were contained in the finance committee bill
 but lawmakers of both parties agree that the streamlining was temporary
 other bills will be moving soon that are expected to carry many of the tax cuts including both the capital-gains and ira provisions
 there is n't any doubt that the <unk> of the <unk> code has been given a mighty <unk> says rep. thomas downey d. n.y
 you 'll see the annual <unk> of it
 it 's back to <unk> time for the select few says rep. william gray of pennsylvania the <unk> democrat in the house
 referring to the chairmen of the senate and house <unk> committees he adds next year every special-interest group is going to be there knocking on lloyd <unk> 's door on danny <unk> 's door
 many groups are n't waiting that long
 just last week a house ways and means subcommittee held a lengthy meeting to hear the <unk> of individual cities companies and interest groups who want to open their own special <unk>
 it 's a <unk> factory and the <unk> <unk> pretty good <unk> one veteran lobbyist who was watching the proceedings
 even lobbyists for heavy industry one of the interests hit hardest in the N bill are encouraged
 the return of <unk> tax breaks such as those for capital gains and iras creates more of a mood or a <unk> that is helpful for getting better depreciation write-offs or investment credits says paul <unk> a vice president for the national association of manufacturers
 corporate lobbyist <unk> walker is planning a spring conference to discuss what tax changes to make to improve competitiveness
 in reaction to proposed capital-gains legislation groups are lobbying to make sure they are n't left off the <unk> train
 real-estate interests for example are <unk> an <unk> in president bush 's capital-gains proposal it does n't include real-estate gains
 if there is going to be a tax scheme that <unk> lower treatment of capital gains they certainly want to be part of it says real-estate lobbyist wayne <unk> of concord associates
 in the house-passed tax bill mr. <unk> got his wish real-estate assets are included in the capital-gains provision
 but sotheby 's christie 's and the national association of <unk> dealers are still trying to get theirs
 they have sent a letter to congressional <unk> asking that gains from the sale of <unk> also be given <unk> treatment
 <unk> should continue to be recognized as capital assets the letter states
 all of this talk is <unk> to the tax reform act of N
 in exchange for dramatically lower tax rates the <unk> of that legislation sought to eliminate most of the <unk> deductions and credits that gave some taxpayers an advantage over others
 the goal was to tax people with roughly equivalent incomes equally and to eliminate the many shelters that allowed the wealthy to escape taxes
 two of the major ways that <unk> managed to <unk> these ends were to scrap the <unk> treatment of capital gains and to curtail the use of paper losses also known as passive losses that made many tax shelters possible
 many other tax benefits also were <unk> away
 this year congress with <unk> from president bush has been busy trying to put many of these same tax preferences back into the code
 it appears likely that this year or next some form of capital-gains preference and <unk> restoration will be enacted
 other tax benefits probably will be restored and created
 the main obstacle is finding a way to pay for them
 the <unk> act was a <unk>
 they wanted reform and they got a revolution says overhaul advocate rep. <unk> <unk> r. ohio
 so is the tax code now open game again
 mr. <unk> thinks so
 one recent saturday morning he stayed inside the capitol monitoring <unk> talks instead of flying to san francisco for a <unk> and then to his <unk> of chicago for the <unk> <unk> of st. <unk> high school
 i 'm too old to waste a weekend but that 's what i did the <unk> mr. <unk> <unk>
 these days anything can happen
 lufthansa ag said passenger volume climbed N N for the first nine months of N to N million passengers from N million passengers in the year-earlier period
 the west german national air carrier said cargo volume jumped N N to N metric tons from N tons a year ago
 load factor or percentage of seats filled climbed to N N from N N even though the number of flights rose N N to N in the <unk> quarters
 from january through september the distance <unk> by lufthansa airplanes rose N N to N million <unk> from a year earlier the company added
 raymond chandler in a N letter defending a weak <unk> book <unk> a champion writer to a baseball <unk>
 when the <unk> has lost his stuff the great mystery novelist wrote when he can no longer throw the high hard one he throws his heart instead
 he throws something
 he does n't just walk off the <unk> and <unk>
 chandler might have been predicting the course of his own career
 his last published novel featuring private <unk> philip marlowe the <unk> <unk> N at times read almost like a <unk> of his previous work
 when he died in N chandler left behind four <unk> of yet another marlowe book the <unk> springs story which seemed to go beyond <unk> into something like <unk>
 <unk> chandler 's last pitch apparently was a <unk>
 now robert parker author of several best sellers featuring <unk> a contemporary private eye in the marlowe <unk> has with the <unk> of the chandler estate been hired to complete the <unk> springs story
 the result <unk> springs <unk> 's N pages $ N is an entertaining easy to read and fairly <unk> extension of the marlowe <unk> full of <unk> <unk> and california color
 if it does not quite have chandler 's special magic well at the end neither did chandler
 as the book begins a newly <unk> marlowe <unk> into the desert resort of <unk> <unk> palm springs at the <unk> of a cadillac <unk>
 his <unk> is the rich and beautiful linda <unk> a character who also appeared in chandler 's the long <unk> and <unk>
 philip and linda move into her mansion and ca n't keep their hands off each other even in front of the <unk> <unk>
 but the <unk> have a conflict
 he wants to continue being a <unk> private eye and she wants him to live off the million dollars she 's settled on him
 that 's chandler 's <unk>
 mr. parker <unk> it into a pretty satisfying tale involving <unk> springs high life hollywood low life and various folk who hang their hats in both <unk>
 the supporting lineup is solid the <unk> is amusing and there 's even a <unk> by <unk> <unk> the good <unk> of previous chandler books who still does n't hesitate to have marlowe jailed when it suits his purposes
 the style throughout bears a strong <unk> to chandler 's <unk> at its most <unk> down
 all told mr. parker does a better job of making a novel out of this abandoned <unk> than anyone might have had a right to expect
 but there are grounds for complaint
 at one point the reader is two steps ahead of marlowe in catching on to a double identity <unk> and marlowe is supposed to be the pro
 more <unk> there are several apparent <unk>
 contact lenses tank tops <unk> openly working the streets of hollywood and the <unk> <unk> <unk> all seem out of place in the 1950s
 a little more care in <unk> marlowe 's universe would have made the book that much more <unk>
 mr. <unk> is a contributing editor at los angeles magazine
 <unk> <unk> spent eight years as the editor in chief of the japanese edition of reader 's digest
 japan has been a major importer of foreign information and news says mr. <unk>
 but one gets fed up with importing information and news
 mr. <unk> has turned the tables
 today he is publisher of business tokyo magazine the first <unk> business magazine devoted to coverage of japanese business
 after a <unk> <unk> the <unk> magazine has been <unk> this month by its parent company <unk> corp. the tokyo-based company with interests that include financial services book publishing and a tourist agency
 printed in the u.s. and carrying the line the insider 's japan business tokyo 's october cover story was the world 's no. N customer japanese women
 <unk> is one of a small but growing band of japanese companies taking their first steps into american publishing after making major investments in entertainment real estate and banking companies here
 japanese concerns have retained a number of publishing consultants and media brokers to study the u.s. market including the new york-based investment banker <unk> <unk> & associates
 and they are quietly linking up with u.s. publishing trade groups
 japanese publishers want to be introduced to the publishing and information industries said john <unk> chairman of <unk> <unk>
 while there are n't any major deals in the works currently on the scale of sony corp. 's recent $ N billion agreement to buy columbia pictures entertainment inc. observers do n't rule out a transaction of that size
 the japanese take the long view said mr. <unk>
 it may not be weeks or months but they are also <unk> and if they feel comfortable they will move on a deal he said
 in recent months three big tokyo-based publishing concerns including nikkei business publications nikkei home no <unk> and magazine house applied for membership in magazine publishers of america which represents almost all u.s. consumer magazines
 japanese involvement in american publishing has been so small to date that magazines such as business tokyo are considered <unk>
 when <unk> launched business tokyo in N it appealed to a more multinational audience
 the magazine was <unk> with the aid of american magazine design <unk> milton <unk> and walter bernard and targets <unk> u.s. executives with japanese and american advertisers
 american publishers appear more than ready to do some selling
 <unk> <unk> president of <unk> <unk> <unk> america inc. publisher of the japan economic journal said he receives telephone calls weekly from media bankers on whether his parent company is interested in buying a u.s. consumer or business magazine
 the japanese are in the early stage right now said thomas <unk> a <unk> media adviser for first boston corp. who was recently appointed president of reader 's digest association 's new magazine publishing group
 before they were interested in hard assets and they saw magazines as soft
 now they realize magazines are as much a franchise as nabisco is a franchise
 bell atlantic corp. and southern new england telecommunications posted strong profit gains for the third quarter while nynex corp. pacific telesis group and u s west inc. reported earnings declines for the period
 rate settlements in minnesota and colorado depressed u s west 's third-quarter profit
 <unk> u s west said net income dropped N N noting that the year-ago quarter included the sale of a building by its <unk> properties unit
 revenue dropped N N to $ N billion from $ N billion reflecting declines in its <unk> sector long-distance carrier business and diversified division
 revenue from <unk> operations grew N N to $ N million from $ N million a year ago
 new telephone lines posted healthy growth
 overall they increased N N to N million putting u s west over the N million mark for the first time
 business lines increased N N to N million
 on a truly comparable basis we 've seen modest earnings growth this year from the operations of our company said jack <unk> chairman and chief executive officer
 the major negative factor was the cumulative impact of regulatory activity over the past two years
 he said the company expects to be on target with analysts ' projections by year end but conceded that the fourth quarter represents a significant challenge
 expenses in the quarter dropped N N to $ N million from $ N million a year ago
 yesterday u s west shares rose N cents to close at $ N in new york stock exchange composite trading
 <unk> bell atlantic said net rose N N aided by strong growth in the <unk> business and an increase in the number of new telephone lines
 revenue jumped N N to $ N billion from $ N billion in the year-ago quarter
 revenue from financial and real-estate services jumped N N to $ N million from $ N million a year ago
 <unk> revenue from long-distance telephone companies increased N N to $ N million
 bell atlantic added N new telephone lines in the quarter for a total of N million
 the company said per-share earnings were slightly reduced by the sale of N million shares of treasury stock to the company 's newly formed employee stock ownership plans
 in composite trading on the big board bell atlantic closed at $ N up $ N a share
 at nynex net slumped N N primarily because of a continuing strike by N employees lower-than-expected profit at its new york telephone unit and significantly higher taxes and costs
 state and local taxes increased to $ N million from $ N million a year ago
 nynex said expenses rose N N to $ N billion from $ N billion a $ N million increase
 most of the higher costs were associated with acquisitions and growth in <unk> business units it added
 our net income is n't where we would want it to be at this point said william c. ferguson chairman and chief executive officer
 this deviation from our past growth patterns is caused largely by lower earnings at new york telephone
 mr. ferguson said a continued softness in new york city area 's economy and increased competition particularly in the <unk> market took a heavy toll on earnings
 the <unk> strike at nynex seriously hurt the installation of new telephone lines in the quarter
 nynex said access lines in service at the end of the quarter were off N from the previous quarter which reported an increase of N new access lines
 revenue rose to $ N billion from $ N billion mostly from acquisition of <unk> computers and robust <unk> businesses
 in big board composite trading yesterday nynex common closed at $ N up $ N
 southern new england telecommunications which bolstered its marketing efforts for telephone and <unk> subsidiaries reported that net increased N N
 walter h. <unk> jr. <unk> chairman and chief executive officer said innovative marketing of our products and services contributed to increase revenue
 revenue and sales increased N N to $ N million from $ N million a year earlier
 yellow pages advertising sales rose N N to $ N million
 cost and expenses for the quarter excluding interest increased N N to $ N million from $ N million the year before
 <unk> common rose $ N to $ N a share yesterday in composite trading on the big board
 san <unk> pacific telesis said net declined N N primarily because of regulatory action
 revenue was about flat at $ N billion
 revenue was reduced $ N million by three extraordinary items a california public utilities commission refund for an american telephone & telegraph co. billing adjustment a provision for productivity sharing to be paid to customers in N and a one-time <unk> for a toll settlement with long-distance telephone companies
 excluding the one-time charges the company would have posted earnings of $ N million or N cents a share
 the company also was hurt by a $ N million rate reduction that went into effect in N
 this is a good quarter for us in terms of our business fundamentals said sam <unk> chairman and chief executive officer
 pacific telesis said new telephone lines increased N N for a total of about $ N million for the quarter toll calls increased N N to N million and minutes of telephone usage increased to N billion
 in big board composite trading yesterday pacific telesis common closed at $ N up N cents
 a includes a one-time gain of $ N million from a <unk> sale by u s west 's u s west new <unk> group
 b includes a $ N million gain on the sale of <unk>
 amoco corp. said third-quarter net income plunged N N to $ N million or N cents a share as gasoline refining and marketing profits lagged substantially behind last year 's record level
 a charge of $ N million related to projected environmental costs in its refining and marketing operations further depressed results
 a spokesman said amoco completed an environmental analysis last quarter but that no single <unk> project was responsible
 in the N third quarter the chicago-based oil company earned $ N million or $ N a share
 revenue in the latest quarter rose N N to $ N billion from $ N billion
 aside from the special charge amoco 's results were in line with wall street estimates
 the company 's stock ended at $ N up N cents in new york stock exchange composite trading
 amoco is the first major oil company to report third-quarter results
 analysts expect others to show a similar pattern
 generally in the quarter <unk> of gasoline and higher crude oil prices pressured profitability
 the industry 's chemical profits also declined because excess capacity has depressed prices
 gasoline margins may rebound this quarter some industry officials say but they believe chemical margins could worsen
 american <unk> inc. a dallas-based integrated oil company yesterday said its third-quarter earnings declined by more than half
 <unk> blamed lower chemical prices reduced gasoline margins and refinery maintenance <unk>
 it said net income dropped to $ N million or N cents a share from $ N million or $ N a share
 sales rose N N to $ N million from $ N million
 amoco 's refining and marketing profit in the quarter fell to $ N million from $ N million
 chemical earnings declined by one-third to $ N million last year 's robust levels
 amoco 's domestic oil and natural gas operations recorded a profit of $ N million in the quarter compared with a loss of $ N million primarily on the strength of higher crude oil prices said chairman richard m. <unk>
 amoco also sharply boosted natural-gas output part of it from properties acquired from tenneco inc. last year
 but foreign exploration and production earnings fell sharply to $ N million from $ N million
 higher oil prices were n't enough to offset a roughly $ N million charge related to a N N reduction in amoco 's canadian work force as well as increased exploration expenses
 for the nine months amoco said that net income fell to $ N billion from $ N billion but if unusual items are excluded operations produced essentially flat results
 revenue rose N N to $ N billion from $ N billion
 james f. <unk> former chairman and chief executive officer of <unk> inc. and richard j. <unk> iii a dallas investment banker were elected directors of this <unk> concern boosting the board to seven members
 for retailers christmas not halloween promises to be this year 's <unk> season
 many retailers fear a price war will <unk> if <unk> companies such as campeau corp. slash <unk> to spur sales
 concerns about the stock market doubts about the economy in general and rising competition from catalog companies also <unk> store operators
 profits at christmas could be under attack for every retailer asserts norman abramson president and chief operating officer of <unk> inc. an <unk> chain
 even if there is n't any widespread discounting the outlook for industry profits is n't good
 management <unk> forecasts a N N profit decline for <unk> retailers this year after annual drops that averaged N N in N and N
 for the last two and a half years retailing has been in a mild recession says carl <unk> chief economist at the columbus ohio consulting firm
 this year many stores are entering the christmas season in turmoil <unk> teller and b. altman parent l.j. hooker corp. is operating under chapter N of the federal bankruptcy code b.a.t industries plc 's healthy saks fifth avenue and marshall field 's chains are on the auction block campeau 's bloomingdale 's is also on the block
 industry observers expect a wide divergence in performance
 stores in a state of confusion are likely to fare poorly and to lose customers to stable chains such as limited inc. may department stores co. and <unk> department stores inc. which should do well
 there are going to be very clear winners and very clear losers says cynthia <unk> a <unk> ross & co. retail consultant
 says mr. <unk> i 'm looking for a <unk> christmas
 economists expect general merchandise sales in the fourth quarter to rise N N to N N from year-ago figures
 but mr. <unk> predicts that healthy stores <unk> mostly apparel could ring up gains of as much as N N to N N
 troubled chains could see their sales drop as much as N N he believes as managers <unk> by fears about the future allow their stores to get sloppy
 thin merchandise <unk> at the most troubled chains are also expected to hurt sales
 catalog companies are likely to pose a bigger threat to all stores this year particularly in december
 more than N catalog <unk> are promoting a low-cost federal express service that guarantees <unk> delivery of orders made by a certain date
 traditionally consumers were concerned about ordering after the first of december because they did n't believe they would get it by christmas says <unk> <unk> chairman of the wine <unk> inc. which sells wine <unk> and accessories through the mail
 using federal express delivery last year mr. <unk> says december was our biggest month
 even sears roebuck & co. is getting into the act offering for the first time to have federal express deliver toys ordered by dec. N from its wish book catalog
 k mart corp. chairman joseph e. <unk> <unk> up his outlook for the christmas season as not troublesome
 he 's not predicting a blockbuster but he is more optimistic than three months ago because employment remains strong and inflation low
 other retailers are also preparing for a <unk> holiday
 philip m. <unk> chairman of carter <unk> <unk> stores inc. expects sales at department stores open at least a year to rise a modest N N to N N over last year 's totals both for his company and the industry in general
 i 'm not looking for a runaway christmas at all he says
 it is n't a real boom holiday season in our eyes says woolworth corp. chairman harold e. sells but it is n't going to be a <unk> either
 mr. sells expects fourth-quarter sales at his company which besides woolworth stores includes <unk> and foot <unk> <unk> stores and other specialty chains to rise pretty much in line with its <unk> increases of between N N and N N
 the estimate includes the results of new stores
 a consumer poll conducted in early september by leo j. shapiro & associates a market researcher based in chicago also suggests a modest holiday
 of the N survey respondents N N said they expect to spend less buying christmas gifts this year than last year while N N said they expect to spend more and N N said their gift budget would stay the same
 the results are almost identical to shapiro 's september N numbers
 retailers could get a boost this year from the calendar
 christmas falls on a monday creating a big last-minute weekend opportunity for stores
 most will stay open late saturday night and open their doors again sunday
 but many consumers probably will use the extra time to put off some purchasing until the last minute
 what you 'll hear as we get into december is that sales are sluggish predicts woolworth 's mr. sells
 the week ending the <unk> is going to save the entire month for everyone
 the spanish author <unk> jose cela won the nobel prize for literature yesterday a surprising choice but given the swedish academy 's past <unk> hardly the most <unk> and ridiculous <unk> handed out by the <unk> committee
 in spain anyway the <unk> mr. cela enjoys some <unk> for the novels and travel books he wrote during the <unk> franco years the everyday poverty and <unk> atmosphere of which he described in <unk> direct vivid <unk> beginning with the family of <unk> <unk> N
 unlike other writers who either battled the <unk> during the civil war or left spain when franco <unk> mr. cela fought briefly on the general 's side no doubt earning with his war wound some <unk> when he went on to <unk> a country with a high population of <unk> <unk> and rural <unk> <unk> <unk> through a <unk> land
 still it was in <unk> editions that his <unk> first read his story of <unk> <unk> a field worker who <unk> his mother to death and has no regrets as he <unk> his end in a prison cell fate directs some men down the <unk> path and others down the road <unk> with <unk> and <unk> <unk>
 the lucky ones <unk> out at life with <unk> eyes and <unk> with a face of <unk> at their <unk> <unk>
 the others endure the hot sun of the plains and <unk> like <unk> wild <unk>
 mr. cela himself was one of the lucky ones his fortunes steadily increasing over the decades he spent putting out some N <unk> novels short story <unk> and <unk>
 these days he is as known for his flamboyant <unk> and the <unk> <unk> who shares his life as he is for his books
 the man who wore out his shoes <unk> around <unk> in N describing in his travel book <unk> a la <unk> how he <unk> for food and stayed in <unk> <unk> now tours spain in a <unk>
 of his N novels the <unk> N full of sharp <unk> of madrid life and centered on a <unk> run by <unk> <unk> a <unk> broad-based woman with <unk> little teeth <unk> in <unk> used to be available in english translated by <unk> cohen and published by <unk> press which now no doubt regrets <unk> its copyright
 here is an <unk>
 the <unk> woman walks on in the direction of the plaza de <unk> <unk>
 two men have a conversation behind one of the windows of the <unk> on the corner of the <unk>
 both are young one <unk> odd the other <unk> odd
 the older one looks like a member of the jury for a literary award the younger one looks like a novelist
 it is evident that their conversation runs more or less on the following lines i 've submitted the <unk> of my novel under the title <unk> de <unk> and in it i 've treated a few neglected aspects of that <unk> problem which
 oh yes
 will you pour me a drop of water if you do n't mind
 with pleasure
 i 've revised it several times and i think i may say with pride that there is not a single <unk> word in the whole text
 how interesting
 i think so
 i do n't know the quality of the works my colleagues have sent in but in any case i feel confident that good sense and honest judgment
 rest assured we proceed with <unk> fairness
 i do n't doubt it for a moment
 it does not matter if one is defeated provided the work that gets the award has <unk> <unk>
 what 's so discouraging is
 in passing the window <unk> <unk> gives them a <unk> simply out of habit
 ashland oil inc. said it will take after-tax charges of $ N million or $ N a share in its fiscal fourth quarter ended sept. N
 because of the charge ashland expects to report a loss for the fourth quarter and significantly lower results for fiscal N
 the oil <unk> said it will report fiscal fourth quarter and N results next week
 the company earned $ N million or $ N a share on revenue of $ N billion in the year-ago fourth quarter
 for fiscal N ashland had net of $ N million or $ N a share on revenue of $ N billion
 both revenue figures exclude <unk> taxes
 the charges consist of a $ N million after-tax charge to cover cost overruns in ashland 's <unk> consolidated subsidiary a previously announced $ N million after-tax charge resulting from a $ N million settlement with national iranian oil co. and a $ N million after-tax charge from the previously announced sale of its ashland technology corp. subsidiary
 ashland expects that sale to be complete next year
 the charge for the <unk> subsidiary is for expected costs to correct problems with certain bed <unk> built for utilities
 the charge will be added to $ N million in reserves established a year ago to cover the cost overruns
 when president bush <unk> here next week for a <unk> summit organized to <unk> a century of costa rican democracy will he be able to deliver a credible message in the wake of the panamanian <unk>
 undoubtedly mr. bush will be praised by some latin leaders prone to pay <unk> service to <unk> while they privately encourage more <unk> u.s. action to remove gen. manuel noriega and <unk> their countries from a sandinista <unk>
 the panamanian affair is only the tip of a more <unk> <unk>
 it <unk> in a bush administration decision not to <unk> the u.s. congress and avoid at all costs being accused of <unk> in the region
 the result has been a dangerous vacuum of u.s. leadership which leaves central america open to soviet <unk>
 the influence of the u.s. is not being felt in central america washington 's decisions do not respond to a policy and are <unk> from reality says fernando <unk> a costa rican congressman and former foreign minister
 the disarray of the bush administration 's latin <unk> was evident in the failure of the organization of american states to condemn <unk> gen. noriega
 faced with this embarrassment u.s. diplomats expressed confidence that the influential <unk> group of south american nations which gathered last week in peru would take a stronger posture toward the panamanian dictator
 but other than a few <unk> on the <unk> gen. noriega went <unk> by that body too he was not even singled out in the closing statement
 now mr. bush will come to costa rica and <unk> nicaraguan <unk> daniel ortega eager for photo opportunities with the u.s. president
 the host costa rican president <unk> arias did not <unk> chile cuba panama or <unk> to the summit which was to be restricted to <unk>
 however mr. ortega was included
 formally upgrading the sandinistas to a democratic status was an initiative <unk> criticized in the costa rican press
 even carlos manuel <unk> the presidential candidate for mr. arias 's national liberation party made public his opposition to the presence of nicaragua in a democratic <unk>
 nevertheless the bush administration agreed to the dubious arrangement in july a few weeks before the central american presidents met in <unk> honduras to discuss a timetable for <unk> the <unk> rebels
 according to officials in washington the state department hoped that by <unk> president arias it would gain his support to postpone any decision on the contras until after mr. ortega 's promises of democratic elections were tested next february
 however relying on an <unk> critic of the reagan administration and the contra movement for help in delaying the <unk> of the contras was risky business
 and even some last-minute phone calls that mr. bush made at the <unk> of some conservative u.s. senators to <unk> backing for the u.s. position failed to stop the march of mr. arias 's agenda
 prior to this episode sen. christopher dodd d. conn. <unk> an open field <unk> a personal diplomatic mission through central america to promote an early <unk> of the rebels
 visiting nicaragua he praised the sandinistas for their electoral system and <unk> the bush administration for not rewarding the sandinistas
 in honduras where the contras are a hot political issue he promised to help <unk> some $ N million in assistance withheld due to the failure of local agencies to comply with conditions agreed upon with washington
 aid was also the <unk> of the talks sen. dodd had with <unk> president <unk> <unk> mr. <unk> 's government is very much at the <unk> of u.s. <unk> and is forced to listen very carefully to sen. dodd 's likes and <unk>
 it was therefore not surprising that close allies of the u.s. virtually neglected by the bush administration ordered the nicaraguan <unk> <unk> by december long before the elections
 <unk> the <unk> accords were <unk> by <unk> the dodd plan
 the individual foreign policy carried out by u.s. legislators adds to a confusing u.s. performance that has <unk> soviet initiatives in central america
 on oct. N following conversations with secretary of state james baker soviet foreign minister eduard shevardnadze arrived in managua to <unk> nicaragua 's great peace efforts
 there mr. shevardnadze felt <unk> to unveil his own peace plan the u.s.s.r. would <unk> a suspension of arms shipments to nicaragua after the february election if the u.s. did likewise with its allies in central america
 he also called on nicaragua 's neighbors to accept a military <unk> guaranteed by both <unk>
 the pentagon claims that in spite of moscow 's words east bloc weapons continue to flow into nicaragua through cuba at <unk> levels
 since mr. shevardnadze 's proposals followed discussions with mr. baker <unk> arose that the bush administration was seeking an <unk> with the soviets in central america
 this scheme would fit the arias plan which declared a false <unk> between soviet military aid to the sandinista <unk> and that provided by washington to freely elected governments
 furthermore it is also likely to encourage those on capitol hill asking for cuts in the assistance to el salvador if president <unk> does not <unk> to demands of the marxist guerrillas
 the sad condition of u.s. policy in central america is best <unk> by the recent end to u.s. <unk> of radio costa rica
 in N the costa rican government requested help to establish a radio station in the northern part of the country flooded by <unk> of sandinista propaganda
 recovering <unk> sovereignty was the purpose of radio costa rica funded by the u.s. and affiliated with the voice of america <unk>
 a few months ago the bush administration decided to stop this cooperation leaving radio costa rica operating on a <unk>
 according to news reports the abrupt termination was due to fears that <unk> <unk> could interfere with the peace process
 in the meantime russia gave nicaragua another powerful radio <unk> which has been installed in the city of <unk>
 it is capable of reaching the entire caribbean area and deep into north america
 perhaps its loud signal may generate some awareness of the soviet <unk> being created in the <unk> thanks to u.s. default
 the soviet <unk> in nicaragua is <unk> for costa rica a peaceful democracy without an army
 questioned in washington about what would happen if his <unk> peace plan would fail president arias voiced expectations of direct u.s. action
 a poll conducted in july by a <unk> affiliate showed that N N of costa <unk> believe that if their country is <unk> attacked by either nicaragua or panama the u.s. will come to its defense
 but in the light of events in panama where the u.s. has such clear strategic interests waiting for the delta force may prove to be a dangerous <unk>
 mr. <unk> is a lawyer and a columnist for la <unk> newspaper
 holiday corp. said net income jumped N N partly on the strength of record operating income in its <unk> division
 separately the hotel and gambling giant said it was proceeding with plans to make a tender offer and <unk> <unk> with respect to approximately $ N billion of its publicly traded debt
 that debt is part of the $ N billion of holiday debt that bass plc of britain said it would retire or assume when it agreed to buy the holiday <unk> business in august
 holiday said third-quarter earnings rose to $ N million or $ N a share from $ N million or N cents a share a year earlier
 results for the quarter included $ N million in pretax gains from property transactions including the sale of one embassy suites hotel and $ N million of nonrecurring costs associated with the acquisition of the holiday <unk> business by bass
 holiday said operating income related to <unk> increased N N to a record $ N million from $ N million a year earlier
 the jump reflected record results in las vegas nev. and atlantic city n.j. as well as a full quarter 's results from <unk> 's del <unk> in <unk> <unk>
 third-quarter revenue rose N N to $ N million from $ N million
 for the nine months earnings fell N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 revenue dropped N N to $ N billion from $ N billion
 the tender offer and consent solicitation will be made to <unk> in december
 in effect holiday is asking holders for permission for bass to buy their debt
 holiday said salomon brothers inc. has been retained to act as the <unk> and financial adviser in connection with the offer and solicitation
 the debt issues involved and the proposed consent fees and cash tender offer prices expressed per $ N of principal amount are as follows N N N senior notes due N at N N N N subordinated debt due N at N N N N N notes due N at N N and N N N notes due N at N N
 holiday said its N N notes due N also will be included in the tender offer and consent solicitation at a price to be determined by holiday prior to the <unk> of the offer
 the television units of paramount communications inc. and mca inc. are exploring the possibility of offering prime-time programming to independent stations two nights a week industry executives say
 although such a venture would n't match the fourth network created by news corp. 's fox broadcasting co. mca and paramount may have similar ambitions
 fox which also owns six tv stations provides programs three nights a week to those and other affiliates
 paramount domestic tv and mca tv formed a joint venture last month named premier advertiser sales to sell advertising in programs syndicated by both companies such as star <unk> the next generation charles in charge and friday the 13th the series
 a spokeswoman for paramount said the company does n't comment on speculation
 calls to <unk> schwab president of mca tv were n't returned
 the two companies like fox already have their own tv stations
 mca owns <unk> in new york and paramount last month agreed to purchase a N N stake in the <unk> broadcast group from salomon inc. in a deal valued at $ N million
 <unk> owns five stations including <unk> a fox affiliate in philadelphia
 one broadcasting executive familiar with the project said the <unk> would target stations affiliated with fox because fox has the desirable independent stations in most of the key cities
 currently fox supplies programs on <unk> <unk> and <unk> although the company plans to expand to other <unk>
 jamie <unk> president of fox broadcasting said we believe the partnership of fox its affiliates and advertisers is succeeding and will continue to grow
 another fox official who declined to be identified said fox was n't pleased by the possible <unk> venture into prime-time programming
 to make the venture work they would need fox affiliates he said
 we spent a lot of time and money in building our group of stations he said adding that fox does n't appreciate another company attempting to <unk> its station lineup
 fox said it plans to offer its stations movies theatrical and <unk> ventures probably on <unk> sometime next year
 it is also planning another night of original series
 paramount and mca according to the broadcasting executive plan to offer theatrical movies produced separately by paramount and mca for <unk> and perhaps a block of original shows <unk>
 the executive said paramount and mca have also held discussions with <unk> industries ' broadcasting unit which owns five independent stations in cities such as los angeles san francisco and <unk> <unk>
 a <unk> station manager said there have been no formal talks
 i think it 's to fox 's advantage to be associated with the <unk> venture said michael conway station manager of <unk> the <unk> station that is a fox affiliate
 mr. conway said the fox shows appearing on nights when <unk> shows would n't be offered could be <unk> on the programs produced by <unk>
 michael fisher general manager of <unk> a fox affiliate in sacramento calif. said the real question is whether the <unk> offering is practical
 it is n't
 why would i consider giving up fox a proven commodity for an unknown venture
 fox attracts a young audience with shows such as married with children its most successful series
 banco popular de puerto rico and banponce corp. agreed to merge in a transaction valued at $ N million
 under the agreement banponce stockholders will be able to exchange each of their shares for either shares in the new entity or cash
 in each case the exchange is valued at $ N a share
 the two companies both based in san <unk> will form a bank holding company with assets of just over $ N billion
 the holding company will be called banponce corp
 the primary subsidiary will be the combined banking operations of the two companies and will be known as banco popular de puerto rico
 <unk> <unk> jr. chairman of banco popular will be the chairman of the holding company
 <unk> m. <unk> currently chairman of banponce will serve as president of the bank holding company and chairman of the subsidiary
 banco popular originally proposed the merger in july in a cash and stock transaction valued at $ N a share or about $ N million
 banponce reacted <unk> at first but appeared to be won over analysts said by banco popular 's assurances that it wanted only a friendly transaction
 banco popular just kept waiting said edward thompson a vice president and analyst at thomson <unk> inc. in new york
 they got a transaction that 's good for both companies
 the two banks appear to be a good fit
 banponce <unk> to a more affluent customer while banco popular has always had a large presence among <unk> and <unk> markets
 the merger should also allow the companies to reduce costs by combining operations in many locations in puerto rico
 they 're often right across the street from one another mr. thompson said
 richard <unk> who is currently president and chief executive officer of banco popular said the merger will result in a larger and stronger locally based bank
 mr. <unk> who will now serve as president and chief executive officer of the subsidiary bank added we 'll be able to better compete with large foreign banks
 it makes sense from a strategic standpoint
 the newly merged company will have N branches in puerto rico and N branches outside of the island
 the banks said they do n't expect the merger to face any regulatory hurdles
 mr. <unk> said the merger should be completed in six to nine months
 hit by higher costs and lower sales caterpillar inc. said third-quarter earnings tumbled N N and full-year earnings will trail last year 's results
 the construction equipment maker said third-quarter profit fell to $ N million or $ N a share from $ N million or $ N a share a year earlier
 sales dropped N N to $ N billion from $ N billion reflecting eight fewer business days in the latest quarter
 the company which is in a costly modernization program said earnings were hurt by higher start-up and new program costs increased costs of materials higher wages and an $ N million provision for bad debts in latin america
 in announcing a N capital spending plan of $ N million early this year caterpillar said full-year earnings would be flat compared with last year 's $ N million or $ N a share
 but yesterday the company said this year 's profit will be lower
 it did n't say by how much
 suffering from a downturn in heavy truck production that cut orders for its engines caterpillar also said it will indefinitely lay off about N workers in the <unk> area and temporarily shut its plant in york pa. for two weeks in both november and december
 for the first nine months of the year caterpillar said earnings fell N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 sales rose to $ N billion from $ N billion
 <unk> inc. said it is one of two companies to receive a license to introduce and operate a cellular mobile telephone system in pakistan
 the market during the start-up is estimated at N subscribers
 a spokeswoman for <unk> a telecommunications company said she did n't know the value of the contract
 cable & <unk> plc of britain won the other license
 <unk> said it would build and operate the system in pakistan with <unk> international ab part of the <unk> group of sweden and <unk> international pakistan
 b.a.t industries plc won overwhelming shareholder approval for a defensive restructuring to fend off a # N billion $ N billion takeover bid from sir james goldsmith
 at a shareholders ' meeting in london the tobacco financial-services and retailing giant said it received N N approval from voting holders for plans to spin off about $ N billion in assets
 b.a.t aims to sell such u.s. retailing units as marshall field and saks fifth avenue and float its big paper and british retailing businesses via share issues to existing holders
 proceeds will help pay for a planned buy-back of N N or about N million of its shares and a N N dividend increase
 b.a.t yesterday started its share buy-back
 the company said it acquired N million shares for N pence $ N each or a total of # N million $ N million from its broker barclays de zoete wedd
 the share buy-back plan is likely to <unk> b.a.t 's share price
 b.a.t said it may make more equity purchases until the close of business today depending on market conditions but will cease further purchases until nov. N when it releases third-quarter results
 b.a.t shares rose N pence to N pence on london 's stock exchange yesterday
 shareholder approval sets the stage for a lengthy process of restructuring that might not be completed until next year 's second half
 before the recent <unk> in global financial markets b.a.t officials holders and analysts had expected a substantial part of the restructuring to be complete by the end of the first half
 we are not in any hurry to sell saks marshall field or b.a.t 's other u.s. retail properties said chairman patrick <unk>
 this is n't a <unk> sale
 we are determined to get good prices
 company officials say the <unk> of the paper and british retailing businesses are likely only after the <unk> of the u.s. retailing assets
 meanwhile sir james still is pursuing efforts to gain u.s. insurance regulators ' approval for a change in control of b.a.t 's farmers group inc. unit
 the <unk> financier has indicated he intends to bid again for b.a.t if he receives approval
 hasbro inc. the nation 's largest toy maker reported third-quarter earnings increased N N from a year earlier on a N N sales gain reflecting improved margins
 hasbro said it had net income of $ N million or N cents a share up from $ N million or N cents a share a year earlier when it took a pretax charge of $ N million after dropping development of an interactive video entertainment system
 revenue rose to $ N million from $ N million
 the company cited sales gains at its milton bradley and <unk> units and in its international business for the increase in revenue
 alan g. <unk> chairman and chief executive added that hasbro 's new line of <unk> racing cars called record breakers and its acquisition of <unk> patch kids <unk> and other lines from <unk> industries inc. puts the company in a good position as we enter the christmas buying season
 for the first nine months of the year hasbro 's net income rose N N to $ N million or $ N a share from $ N million or N cents a share on a N N increase in revenue to $ N million from $ N million a year earlier
 reebok international ltd. posted a N N increase in third-quarter net income despite a slight decline in sales
 the athletic <unk> maker said net rose to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales declined N N to $ N million from $ N million
 paul fireman reebok chairman and chief executive officer said our gains in earnings provide further evidence that the controls we have put in place and our sales mix are continuing to improve the company 's overall profit performance
 the company said it expects sales to improve due to a number of new products including a pump basketball <unk> that can be inflated to better fit the foot
 in the first nine months net was $ N million or $ N a share on sales of $ N billion
 separately reebok completed the acquisition of <unk> group inc. 's boston <unk> unit a <unk> of power <unk>
 <unk> <unk> mass. had agreed to sell the unit to reebok for about $ N million
 the agreement also called for reebok to receive warrants to purchase N shares of <unk> common at $ N a share exercisable at any time before july N
 an outside spokesman for <unk> said the terms were changed to a minor extent but would n't disclose what those changes were
 pitney bowes inc. directors authorized the company to seek buyers for its <unk> group inc. subsidiary a direct mail marketer of office supplies
 pitney bowes said the decision was based on a long-term analysis of the <unk> of <unk> group 's marketing business with other pitney bowes operations
 pitney bowes acquired the core of what <unk> into <unk> group in N by buying dictaphone corp
 a spokeswoman would n't comment on whether the company had talked with any potential buyers for the new hartford conn. unit which had N sales of about $ N million
 she said <unk> group was profitable but would n't give figures
 the spokeswoman said the company does n't have a timetable for the sale adding that the board 's decision just starts the search for a buyer
 separately pitney bowes said third-quarter net income gained N N to $ N million or N cents a share from $ N million or N cents a share a year ago
 revenue grew N N to $ N million from $ N million
 the company said the growth was led by its major operations particularly mailing shipping <unk> and facsimile businesses
 steel jackets of a type that may have prevented collapse of the columns of a <unk> stretch of the nimitz freeway had been installed on at least a small test section of the <unk> highway last year by california 's department of transportation employees familiar with the project say
 the test project which reportedly survived tuesday 's earthquake was a prelude to a state plan to <unk> that critical section of the freeway with the steel <unk>
 state engineers have made a preliminary finding that it was failure of the concrete columns <unk> and <unk> from the <unk> <unk> that was responsible for the collapse
 the failure in oakland of the freeway segment known as the cypress structure was the <unk> aspect of the quake although officials were hopeful yesterday that the death toll there might be significantly lower than the N initially feared
 <unk> out the <unk> is expected to take several days
 red <unk> <unk> picked at the rubble while <unk> tried to break up some of the massive <unk> of concrete
 giant yellow <unk> were <unk> up alongside the collapsed segment preparing to lift off chunks of the debris
 in sacramento a transportation department spokesman said he could n't immediately confirm or deny existence of the test work
 however he asserted that the department had n't <unk> the technology needed to <unk> the entire cypress structure
 moreover other officials noted <unk> in transportation funding that the state has experienced over the years may have restricted the availability of funds for such a <unk> even if it were <unk> <unk>
 knowledgeable employees said the <unk> which had n't yet been <unk> was part of a planned <unk> reinforcement of the cypress structure begun by the california transportation department several years ago
 the cypress reinforcement project itself was part of an annual effort to shore up structures believed vulnerable to earthquakes
 the state began such work after a N <unk> in southern california when numerous bridges collapsed
 we had just finished phase two of the cypress project that involved <unk> a series of retaining <unk> designed to prevent sections of the roadway from <unk> as a result of seismic shock a state <unk> engineer said
 after completing installation of the jackets on one frame of the freeway last year the state <unk> had sent the project over to its sacramento engineers to draw up a final design
 knowledgeable employees said the project had been <unk> somewhat by the difficulty of designing the jackets
 the procedure involves <unk> the concrete columns with steel then connecting them more <unk> to the <unk> <unk>
 the employees also said the project may have been <unk> by budgetary concerns
 one preliminary estimate put the <unk> cost at as much as $ N million
 the collapse of the span has provoked surprise and anger among state officials
 gov. george deukmejian who said he had been assured by state transportation officials that the structure could withstand an even larger quake called for an immediate investigation
 i want to know who made the decision that it was safe for N people to use every day said richard katz a state legislator who is chairman of the california assembly 's transportation committee
 he said he would <unk> hearings within two weeks
 the cypress structure opened in june N and as such like many buildings in the san francisco bay area does not meet current building codes requiring considerably more steel support
 the northern <unk> of the span lie in <unk> deposits that were of a type to have <unk> easily during the N quake
 transportation department officials however said they were as surprised as anyone by the cypress destruction
 they said previous earthquakes suggested that <unk> <unk> would stand up well although they were working on ways to bolster them
 unfortunately there is only one laboratory for developing techniques to withstand earthquakes and that is an earthquake said <unk> <unk> san francisco district director for the transportation department
 he said we know of no technology that exists anywhere in the world that would allow us to reinforce the columns
 financial corp. of santa barbara said it <unk> to nov. N a special shareholder meeting to vote on a $ N million <unk> exchange
 the meeting had been scheduled for nov. N but the company delayed the meeting to allow time for the securities and exchange commission to review the proposal
 as part of a restructuring announced earlier this year the company proposed in august to exchange N newly issued common shares for each $ N face value of debt
 however that figure could be revised financial corp. said
 currently the company has about six million common shares outstanding
 if all the debt was converted about N million new shares would be issued
 in composite trading wednesday on the new york stock exchange financial corp. closed at $ N unchanged
 the debt consists of $ N million of N N N subordinated notes due N and $ N million of N N convertible subordinated debentures due N
 financial corp. also is proposing to exchange each of its N outstanding shares of cumulative convertible preferred series a stock for two shares of common
 after years of <unk> over bonn 's <unk> west germany and the u.s. appear to have shifted onto a united course in eastern europe
 bonn and washington have taken a leading role in aid for the <unk> countries <unk> billions of dollars in fresh credit and <unk> old debt while urging other industrial nations to follow suit
 both hope to encourage pressure for change in east bloc countries still ruled by <unk> <unk> by arranging liberal financial aid and trade benefits for poland hungary and to a lesser extent the soviet union
 west german officials also have the special goal of holding out hope for east germany 's fledgling reform movement
 the change taking place in the soviet union poland and hungary has aroused new hope in both german states that reforms will be undertaken in east germany and that relations between the two german states too will get better said foreign minister <unk> <unk>
 addressing a conference of the new york-based institute for <unk> security studies in frankfurt yesterday mr. <unk> said history will judge us by whether we have taken the opportunities that emerge from these reforms
 the ultimate aim of western support for east bloc reforms he said is to create an equitable and stable peaceful order in europe from the atlantic to the <unk>
 mr. <unk> and u.s. secretary of commerce robert a. mosbacher in separate <unk> at the conference appealed for more western contributions to economic reforms and business development in hungary and poland
 bonn and washington are leading supporters of poland 's request for a $ N billion <unk> credit from the international monetary fund
 we want the bold programs of market development and political freedom in hungary and in poland to succeed
 we are prepared to support those changes said mr. mosbacher
 u.s. curbs on the exports of sensitive technology to east bloc countries will remain in place however
 meanwhile the u.s. house of representatives yesterday approved an $ N million aid package for poland and hungary that more than <unk> the amount president bush had requested
 the package was brought to the house just N days after it was introduced indicating congress 's eagerness to reward poland and hungary for their moves toward democracy and <unk> economic reforms
 the legislation approved N and sent to the senate <unk> two enterprise funds to be <unk> by independent nonprofit boards which will make loans and investments in new business ventures in hungary and poland
 the polish fund would be <unk> with $ N million the <unk> fund with $ N million
 in addition a group of N industrialized countries including the u.s. and japan and <unk> by the european community commission has promised poland and hungary trade advice and a line of credit equivalent to $ N billion through the european investment bank while the ec plans $ N million in direct aid
 when chancellor helmut kohl <unk> to poland nov. N he is expected to take with him a promise of three billion west german marks $ N billion in new credit guarantees for industrial projects
 last week bonn agreed to <unk> N billion marks in polish debt that came due last year
 in addition a one billion mark credit dating from N is to be written off
 poland 's plan to switch to a free-market economy by N is hampered by a foreign debt load of $ N billion
 west germany also has increased its credit guarantees to hungary by N million marks to N billion marks as the emerging democratic state <unk> through its own economic reforms including a broad privatization of state-owned industry and tax incentives for industrial investment
 an additional N million marks in <unk> was promised by the west german state governments of <unk> and <unk>
 deutsche bank ag which last year arranged a three billion mark credit for the soviet union is now moving to become the first west german bank to set up independent business offices in hungary and poland as they shift to free-market economies
 a <unk> of frankfurt banking holds that wherever deutsche bank goes other west german banks follow
 indeed at least four other west german banks are believed to be making inquiries
 mattel inc. said third-quarter net income rose N N to $ N million or N cents a share from $ N million or N cents a share a year ago
 revenue rose N N to $ N million from $ N million a year earlier
 mattel 's world-wide volume has grown N N in a climate of relatively flat industry sales said john w. <unk> chairman
 he said the toy company 's prospects for a strong fourth quarter are also good
 mattel attributed the jump in quarter net to strong world-wide sales of its <unk> <unk> hot wheels cars disney toys and other well-known toy lines
 the company also cited retail trade and consumer demand for new products introduced this year such as cherry <unk> <unk> and <unk> <unk>
 for the nine months mattel net more than doubled to $ N million or $ N a share from $ N million or N cents a share a year ago
 revenue rose N N to $ N million from $ N million
 mattel said the company 's sale of rights to land and buildings at its <unk> calif. headquarters resulted in a $ N million charge to third-quarter operating profit
 the charge did n't affect net for the quarter as it was offset by tax benefits
 mattel has purchased a new headquarters building in el <unk> calif. which it will <unk> by the end of next year
 democracy can be <unk> to politicians sometimes it forces them to make choices
 now that the supreme court opened the door on the subject of abortion politicians are <unk> under the glare of democratic choice
 their <unk> is a healthy sign for the rest of us
 republicans are <unk> most painfully at least at first which is only fair because they 've been <unk> the most
 so long as abortion was a question for litigation not legislation republicans could find political security in <unk>
 they could attract <unk> voters by adopting the <unk> movement 's strongest position even as pro-choice republicans knew this <unk> little on an issue <unk> by the court
 now it matters
 much of washington thought it detected george bush in a characteristic <unk> on abortion the past week
 only a month ago he 'd warned congress not to pass legislation to pay for abortions in cases of rape or incest
 last friday after congress passed it anyway he hinted he was looking for compromise
 was the man who once was pro-choice but later pro-life converting again
 in fact mr. bush 's dance was more <unk> than <unk>
 pro-life advocates say the white house never <unk> over the veto
 christopher smith r. n.j. a pro-life leader in the house suggested a compromise that would have adapted restrictive language from rape and incest exceptions in the states
 the white house never eager for a fight was happy to try which is why george bush said he was looking for flexibility last week
 when democrats refused to <unk> pro-life republicans met at the white house with chief of staff john <unk> on monday and mr. bush quickly signaled a veto
 amid charges of <unk> on panama and elsewhere the president was n't about to <unk> his most energetic constituency
 the gop <unk> were in congress
 in last week 's house vote N republicans <unk>
 after the vote connecticut rep. nancy johnson <unk> up nearly as many <unk> on a letter to mr. bush urging him not to veto
 even such a pro-life <unk> as sen. <unk> hatch r. utah had <unk> some kind of compromise
 the senate passed the same bill yesterday with a <unk> majority of N
 the <unk> illustrates an emerging republican <unk> <unk> since the early 1980s
 at the N gop convention abortion was barely discussed at all though delegates were evenly divided on the question of an anti-abortion constitutional amendment
 ms. johnson made a <unk> statement to the platform committee but she was talking to herself
 now many republicans are listening
 they 're frightened by what they see in new jersey and especially virginia where pro-life gop candidates for governor are being <unk> on abortion
 eddie <unk> a republican consultant says the two gop candidates could have avoided trouble if they had <unk> the issue first
 in virginia marshall coleman and his running <unk> <unk> <unk> are both on the defensive for opposing abortions even in cases of rape or incest
 but mr. <unk> adds the net loser in the next few years is the <unk> side
 <unk> st. martin of the national right to life committee says exit polls from the N election had <unk> pro-life voters giving mr. bush about five more percentage points of support than pro-choice voters gave michael <unk>
 but the supreme court 's opening of debate may have changed even that
 gop <unk> neil newhouse of the <unk> group says polls this summer showed that the <unk> voters had about <unk> out
 polls are no substitute for principle but they 'll do for some politicians
 the republican danger is that abortion could become for them what it 's long been for democrats a divisive <unk> test
 it 's already that in the bush administration at least for any job in which abortion is even <unk> an issue
 oklahoma official robert fulton lost a chance for a senior job in the department of health and human services after <unk> activists opposed him
 <unk> butler a conservative former congressman was barred from a legal services post after he gave wrong answers on abortion
 even the president 's doctor burton lee has said on the record that he 'd love to be surgeon general but could n't pass the pro-life test
 in the case of hhs secretary louis sullivan the <unk> test could yet damage issues important to other parts of the republican coalition
 after mr. sullivan <unk> on abortion last year the white house <unk> <unk> by surrounding him with pro-life deputies
 their views on health care and welfare did n't much matter though hhs spends billions a year on both
 it makes only a handful of <unk> decisions
 though democrats can <unk> at all this for now they may want to contain their <unk>
 on abortion their own day will come
 eventually even republicans will find a way to frame the issue in ways that <unk> pro-choice <unk>
 does the candidate favor parental consent for <unk> abortions
 the pro-choice lobby does n't
 what about banning abortions in the second and third <unk>
 the lobby says no again
 democracy is forcing the abortion debate toward healthy compromise toward the <unk> middle
 roe v. wade <unk> political debate so the <unk> <unk>
 now the <unk> middle a moral majority of sorts is <unk> itself
 within a few years the outcome in most states is likely to be that abortion will be more restricted but not completely banned
 this is where the voters are which is where politicians usually end up
 union pacific corp third-quarter net income fell N N
 excluding earnings from discontinued operations a year earlier net fell only N N
 the energy natural resources and railroad concern had net of $ N million or $ N a share down from $ N million or $ N a share a year earlier
 in the N third quarter profit from continuing operations totaled $ N million
 a year earlier the company had profit from discontinued operations of $ N million from sale of a pipeline a refinery and an interest in a second refinery
 revenue rose N N to $ N billion from $ N billion
 in composite trading on the new york stock exchange union pacific jumped $ N to $ N a share
 the company said its union pacific railroad had a N N profit increase despite a N N rise in fuel costs and a N N drop in car <unk>
 most of the commodity traffic was off the company said
 earnings from continuing operations of the union pacific resources unit almost doubled the company said
 it added that higher revenue strong crude oil prices and higher natural gas prices offset declines in production of oil gas and plant <unk>
 in addition the company cited <unk> moves and interest income
 earnings from union pacific realty dropped N N to $ N million
 before good will <unk> transportation earnings fell N N to $ N million union pacific said
 in the nine months net fell N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 profit from continuing operations in the year-earlier period was $ N million
 revenue was $ N billion up N N from $ N billion
 the federal trade commission ruled that five major <unk> companies illegally fixed prices for title <unk> services by participating in joint rating bureaus in six states
 the ftc ordered the companies not to use rating bureaus in those six states
 the commission order named the following companies <unk> title insurance co. of california a unit of los angeles-based <unk> chicago title insurance co. and <unk> title insurance co. units of chicago title & trust co. lawyers title insurance corp. a unit of richmond <unk> universal corp. and stewart title guaranty co. a unit of <unk> stewart information services corp
 chicago title & trust acquired <unk> in N and changed the unit 's name to security union title insurance co
 the ftc ruled that the companies violated federal antitrust law by <unk> rates in the following states new jersey pennsylvania connecticut wisconsin arizona and <unk>
 the ftc first issued an administrative complaint in the case in N
 john christie a lawyer here for the two chicago title & trust units accused the ftc of <unk> <unk> regulations with which he said his clients had <unk>
 i expect all the companies to appeal he added
 a lawyer for lawyers title said that because the named companies no longer use the type of cooperative rating bureaus attacked by the ftc the commission 's order wo n't have much practical impact
 officials for the other named companies did n't return telephone calls seeking comment
 mark resources inc. calgary alberta said it agreed to sell N million canadian dollars us$ N million of N N convertible debentures to a group of securities dealers
 mark an oil and gas concern said the <unk> debentures are convertible before maturity at c$ N for each mark common share and can be redeemed at the company 's option under certain conditions after nov. N N
 the government will try to sell all the real estate managed by the federal asset <unk> association in one fell <unk> said william seidman chairman of the federal deposit insurance corp
 the <unk> real-estate package with an asking price of $ N million is <unk> of N properties in texas california colorado arizona and florida
 it includes apartments shopping centers office buildings and undeveloped land
 mr. seidman is chairman of the resolution trust corp. established to sell or merge the nation 's hundreds of insolvent savings-and-loan associations
 the rtc created by this year 's s&l bailout legislation is trying to sell <unk> 's network of offices separately
 <unk> which holds problem assets of thrifts that were closed before the bailout legislation was enacted is being liquidated
 the properties held by <unk> wo n't be sold <unk> mr. seidman said in a speech before southern <unk> university business school in dallas
 you need to buy the entire lot mr. seidman said so get out your <unk>
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 <unk> corp. $ N million of N N N notes due oct. N N priced at N to yield N N
 the noncallable issue was priced at a spread of N basis points above the treasury 's 10-year note
 rated <unk> by moody 's investors service inc. and <unk> by standard & poor 's corp. the issue will be sold through underwriters led by merrill lynch capital markets
 virginia public school authority $ N million of school financing bonds N series b N resolution due N N and N through a <unk> securities corp. group
 the bonds rated double-a by moody 's and s&p were priced to yield from N N in N to N N in N
 serial bonds were priced to yield to N N in N
 bonds due N carry N N coupons and bonds due N carry N N N coupons
 term bonds due N are n't being formally reoffered
 they carry a N N coupon
 term bonds due N are N N securities priced at par
 st. johns river water management district fla. $ N of land acquisition revenue bonds series N due N N N and N tentatively priced by a smith barney harris upham & co. group to yield from N N in N to about N N in N
 there are $ N million of N N term bonds due N priced at N N to yield about N N
 the $ N of term bonds due N and the $ N of term bonds due N are n't being formally reoffered
 serial bonds were priced at par to yield to N N in N
 the bonds are insured and rated triple-a by moody 's and s&p
 federal home loan mortgage corp. $ N million of remic mortgage securities being offered in N classes by salomon brothers inc
 the offering series N is backed by freddie mac N N N securities
 separately $ N million of freddie mac remic mortgage securities is being offered in N classes by kidder peabody & co
 the offering series N is backed by freddie mac N N N securities
 according to available details yields range from N N a spread of N basis points over three-year treasury securities to N N a spread of N basis points over 20-year treasurys
 the offerings bring freddie mac 's N remic issuance to $ N billion and its total volume to $ N billion since the program began in february N
 european investment bank agency N billion lire of N N bonds due nov. N N priced at N N to yield N N less full fees via lead manager banco commercial <unk>
 fees N N
 ibm international finance u.s. parent N million european currency units of N N N bonds due nov. N N priced at N N to yield N N at the recommended reoffered price of par via banque paribas capital markets
 societe generale australia ltd french parent N million australian dollars of N N bonds due nov. N N priced at N to yield N less fees via <unk> banking corp
 guaranteed by societe generale
 fees N N
 mitsubishi trust & banking corp japan N million swiss francs of privately placed convertible notes due march N N with a fixed N N coupon at par via union bank of switzerland
 put option on march N N at a fixed N N to yield N N
 callable from march N N at N N declining two points <unk> to par
 each N swiss franc note is convertible from <unk> N N to march N N at a premium over the closing share price oct. N when terms are scheduled to be fixed
 also the company issued N million marks of convertible bonds with an indicated N N N coupon due march N N at par via <unk> <unk> <unk> bank
 put on march N N at an indicated N to yield N N
 call option beginning march N N if the price of the stock rises more than N N within N trading days as well as a call option for tax reasons
 each N mark and N mark bond is convertible from nov. N N to march N N at a price to be determined when terms are fixed oct. N
 <unk> airlines system sweden N million swiss francs of N N N bonds due nov. N N priced at N N to yield N N via union bank of switzerland
 call from nov. N N at N N declining N point a year
 federal home loan mortgage corp. $ N million of 10-year debentures with a coupon rate of N N priced at par
 the debentures callable at par in five years were priced at a yield spread of about N basis points above the treasury 10-year note
 the issue is being sold through freddie mac 's <unk> securities selling group
 the debentures mature oct. N N
 the debentures will be available in <unk> form only in a minimum amount of $ N and additional <unk> of $ N
 interest will be paid <unk>
 first they get us to buy computers so we can get more information
 then the computers give us more information than we can ever read
 now they plan to sell us products that <unk> through all the information to give us what we really want to know
 the products range from <unk> personal newsletters to systems that sit inside a personal computer and pick stories on selected topics off news wires
 <unk> news is what people want says <unk> <unk> editor of release N an industry newsletter that spots new developments
 most people read N times more than necessary in order to find out what they really need
 <unk> <unk> who dropped out of high school back in the 1970s to manage a computer network at a california research firm says old network hands have started to turn off the network because they do n't have time to wade through the <unk>
 mr. <unk> has started a menlo park calif. company called <unk> technology that provides human editors for public electronic networks
 i see it as a <unk> treatment plant he says
 a new product <unk> carries five business news wires simultaneously into a user 's computer and <unk> and <unk> whenever an article appears that is of interest to the user
 the product developed by desktop data corp. a new company based in <unk> mass. <unk> the wires looking for articles that contain key words specified by the user
 one early user david <unk> a chicago venture capitalist and investor in desktop data says he uses it to track takeover developments
 he says he told <unk> to look for stories containing such words as takeover acquisition acquire lbo tender merger junk and halted
 i 'm pretty confident i 'm catching everything he says
 <unk> is <unk> $ N a year for a limited version $ N a year if the cost of all the news wires is included
 and it works best in <unk> personal computers
 but some investors and consultants who have tried it are enthusiastic
 jeffrey <unk> editor of <unk> a <unk> mass. industry newsletter says i 've seen a lot of people <unk> around on the <unk> of <unk> information
 this is the first time i 've seen something i could imagine a lot of people using
 <unk> uses an fm radio band to carry news wires provided by reuters mcgraw-hill and dow jones & co. as well as <unk> <unk> which carries corporate press releases
 an fm receiver attached to a user 's personal computer receives the information
 some organizations have devised their own systems to sort through news wire items as they come in
 george <unk> an account manager at royal bank of canada adapted a lotus development corp. program called agenda to sort through international news wires
 it automatically <unk> stories from particular countries for reading by the international bankers responsible for lending in those areas
 for those who do n't need their <unk> information moment by moment some services are offering overnight newsletters
 individual inc. a new company in <unk> mass. uses <unk> technology developed by cornell university computer scientist gerard <unk> to automatically produce <unk> newsletters it sends electronically to subscribers by N a.m. the next day
 we are operating an information refinery that takes a broad stream of raw data and turns it into <unk> knowledge says <unk> <unk> founder and president
 the daily newsletter which is n't widely available yet will have a base cost of $ N a year and provides full text of relevant articles under license agreements with reuters <unk> hill united press international two press release news wires and japan 's <unk> news service
 one early user is nec corp. 's u.s. printer marketing arm
 they want the full press releases on printer announcements by their competition mr. <unk> says
 it also tracks personnel and financial announcements by nec 's distributors and customers
 individual inc. 's technology goes beyond word searches by using a computerized <unk>
 if a customer asks for stories about ibm the computer will also supply stories that mention <unk> international business machines or big blue mr. <unk> says
 moreover individual inc. 's computers can weigh the value of an article based on how closely the story matches the subscriber 's interest area
 it compares the position of key words in the story words in the headline or first <unk> get a higher value
 and it <unk> how often the words appear in the story compared with how often they appear in the entire data base
 the higher the ratio of hits to total words the higher the presumed value to the reader
 pinpoint information corp. <unk> va. a producer of $ <unk> <unk> newsletters about the computer industry that started full operation last month relies on N human readers to code news releases by topic in order to select items for each subscriber
 the computers find all the key words they can but the editors confirm every one
 computer picking is n't perfect says <unk> <unk> president and founder of pinpoint
 the humans also write <unk> of articles from some N computer industry publications
 once all the articles are <unk> and put in a data base pinpoint 's computers pick the most relevant for each subscriber and lay them out in a <unk> newsletter format each newsletter is sent directly from the computer to the subscriber 's fax machine
 mr. <unk> says each of his computers can produce and send about N unique newsletters a night
 many computer network users who never see news wires would like to sort through their electronic mail automatically
 so-called <unk> is the collection of <unk> <unk> <unk> technical data schedules and <unk> distributed over local and national computer networks
 all these <unk> computers make it difficult to sort out what 's junk and what 's important says chuck <unk> a former lotus development executive who has started a new company to cope with the problem
 mr. <unk> says his firm beyond inc. has licensed technology known as information lens from massachusetts institute of technology and plans to develop it for commercial use
 the mit project devised ways for <unk> to be automatically <unk> as top priority if it comes from certain designated <unk> or requires action in the next couple of days
 mr. <unk> says that beyond will <unk> the product so the message will be smart enough to know to come back and bother you again next week
 and if a user is busy he can set it for crisis mode do n't bother me with reports until monday
 a program called notes which is under development by lotus also is designed to sort <unk> sent within work groups
 one thing that makes <unk> difficult to <unk> through is that each item looks the same
 notes which is designed for advanced computers that display graphics allows mail <unk> to put different <unk> on their mail
 a daily news briefing from the company <unk> for example would have a distinctive format on the screen just as a paper version would have
 with <unk> you do n't have the <unk> clues of paper says mr. <unk> the editor of <unk>
 with notes they 're <unk> distinct
 dean witter reynolds inc. lost its second recent arbitration case involving a former <unk> executive
 a new york stock exchange arbitration panel ordered dean witter to pay $ N in back bonuses to william kelly the company 's former head of high-yield high-risk junk-bond trading and sales
 it also awarded $ N in back bonuses to former trader michael <unk> and $ N in fees to the two men 's attorneys
 the sums awarded to messrs. kelly and <unk> represent bonuses the two men said they <unk> from the first half of N but which were n't paid because of a dispute over an incentive contract
 jeffrey l. <unk> the two men 's attorney at <unk> <unk> finkelstein & robinson said mr. kelly began working at dean witter in N
 mr. kelly built the company 's high-yield bond group which has been a minor player in the junk-bond arena
 dean witter lost a separate case involving a former bond executive earlier this year in august it paid $ N in back pay and a bonus to a former <unk> trading chief harold <unk>
 that award ended a dispute between dean witter and mr. <unk> over who was responsible for certain <unk> losses around the time of the N stock-market crash
 a spokesman for dean witter a unit of sears roebuck & co. declined to comment
 <unk> department stores inc. said it offered $ N million of N N N debentures due N at par
 the little rock <unk> department-store retailer said proceeds will be used to reduce short-term debt
 goldman sachs & co. was the underwriter
 american brands inc. said third-quarter net income rose N N reflecting strong gains in its tobacco and <unk> spirits businesses
 the company which also has businesses in life insurance office products and hardware and <unk> products said net income rose to $ N million or $ N a share from $ N million or $ N a share a year earlier
 year-earlier results for the quarter and the nine months were restated to reflect a change in accounting standards
 revenue declined N N to $ N billion from $ N billion because of the sale of <unk> life in march and the impact of the stronger u.s. dollar on overseas results
 operating profit for world-wide tobacco products rose N N to $ N million
 for <unk> spirits operating profit rose N N to $ N million
 in the first nine months net rose N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 the year-earlier period included $ N million or N cents a share from discontinued operations
 revenue rose to $ N billion from $ N billion
 the average number of shares outstanding rose N N in the third quarter but was down N N for the nine months
 in composite trading on the new york stock exchange american brands shares rose $ N to $ N
 santa fe pacific pipeline partners limited partnership of los angeles increased its quarterly cash dividend to N cents a unit from N cents payable nov. N to units of record oct. N
 the company is an independent <unk> pipeline serving six western states
 washington lies low after the stock market 's roller-coaster ride
 lawmakers <unk> by charges that some of their comments contributed to the N crash generally shy away from calls for sweeping new legislation
 but a house energy and commerce subcommittee will <unk> sec chairman breeden wednesday and treasury secretary brady will go before the senate banking panel thursday
 the market 's wild week may speed along the <unk> legislation that has been pending for months in the aftermath of the N crash
 it may also <unk> the sec 's modest pending changes in junk-bond disclosure rules and intensify the treasury 's look at plans for giving new tax breaks on dividends and raising taxes on short-term trades by pension funds
 brady and breeden work well together on the plunge despite the fact that the treasury secretary opposed breeden 's nomination to the sec post
 baker <unk> in the mideast amid israeli <unk> and palestinian politics
 despite seeing his plan for <unk> elections <unk> the cautious secretary of state is so far unwilling to cut u.s. economic or military aid to force israeli cooperation
 baker nonetheless remains <unk> both at shamir for backing down on the elections and at shamir 's rival <unk> for political <unk> in forcing a <unk> cabinet vote on baker 's plan
 meanwhile some u.s. officials fear plo chief arafat is getting cold feet and may back off from his recent <unk> and <unk> of terrorism
 he is under intense fire from other palestinian groups <unk> is pushing <unk> <unk> whose terrorist band is blamed for the pan am N <unk> as an alternative to arafat
 <unk> <unk> on the budget and capital gains hurt him in congress
 republicans as well as democrats were angered by the budget director 's rejection of speaker foley 's effort to <unk> a <unk> measure by <unk> it of the capital-gains tax cut as well as pet democratic projects
 darman now blames the clash on <unk> but house gop leader <unk> who carried the offer to him observes i was speaking english at the time and quite loud so i could be understood
 senate gop leader dole <unk> the budget chief on the senate floor
 democratic counterpart mitchell asked to interpret darman 's threat to make permanent the across-the-board gramm-rudman cuts that took effect this week says i do n't even bother to interpret them
 but darman suggests such <unk> will <unk> quickly
 if i can show signs of maturity almost anybody can he jokes
 hhs officials expect secretary sullivan to continue a ban on research using <unk> tissue
 before he was confirmed sullivan said he had reservations about any blanket <unk> on medical research
 but now an official says he is surrounded by <unk> who contend that any <unk> in fetal-tissue research could increase the demand for abortions
 cooperation <unk> on weapons development between the u.s. and europe
 britain france and italy pull out of a proposal to build new nato <unk> the u.s. and west germany have each withdrawn from missile projects
 defense experts say joint projects are increasingly squeezed by budget pressures and the desire to save domestic jobs some also fear rising <unk> as european unity <unk>
 both sides now
 virginia gop <unk> governor candidate <unk> <unk> tries to have it both ways on the abortion issue
 though she opposes abortion in almost all cases she <unk> a tv commercial using pro-choice <unk>
 a woman ought to have a choice in cases where her life or health are in danger and in cases of rape or incest she <unk>
 hot topic
 interest in the abortion issue is so great that the <unk> a daily <unk> political newsletter comes up with a spinoff product called the abortion report dealing solely with its political implications
 conservatives expect bush to <unk> their majority on a key court
 bush has three <unk> to fill on the prestigious d.c. circuit court which handles many important regulatory issues and is often considered a <unk> for future supreme court <unk>
 conservatives now hold only a N edge
 one <unk> is expected to go to <unk> chairman <unk> thomas a black conservative after <unk> a fight liberals now probably wo n't put up a major struggle against him
 other conservatives thought to be on the administration 's short list include washington lawyer michael <unk> who was passed over for the no. N job at the justice department and marshall <unk> chairman of a u.s. agency on administration
 the bush administration would also like to <unk> a woman one possibility is former justice department official <unk> <unk>
 minor <unk>
 in the wake of the failed panama coup a <unk> <unk> appears <unk> would have got him
 rep. garcia on trial for bribery and <unk> puts statements in the congressional record <unk> missed votes to scheduling conflicts
 a gop senate fund-raising letter from sen. burns of <unk> is made to appear personally written and its opening line is please excuse my <unk>
 but burns <unk> in an interview that 's not my <unk>
 <unk> shipping inc. new york declared an initial quarterly of N cents a share payable nov. N to shares of record oct. N
 the announcement boosted the <unk> company 's shares which closed at $ N up $ N a share in composite trading on the american stock exchange
 the company which went public in may intends to pay dividends from available cash flow the amount may vary from quarter to quarter
 ever since the <unk> contested america 's cup race last year the famous <unk> match has run into more rough sailing out of the water than in it
 now that a key member of the san diego <unk> club team is splitting off to form his own team even more competition lies ahead
 peter isler the winning <unk> in the past two america 's cup challenges has split from the team led by dennis conner skipper of the <unk> stars & <unk> to form his own team for the next contest in N
 and in addition to a crack team of <unk> mr. isler has lined up some real <unk> to help him finance the syndicate
 isler sailing international 's advisory board includes ted turner turner broadcasting chairman and a former cup victor peter g. <unk> head of <unk> communications and joseph b. <unk> chairman and chief executive of <unk> inc
 his steering committee includes other notable businessmen including the california investor and old salt roy e. disney
 we have the structure people and plan mr. isler said in a statement
 now the first order of business is raising enough money to keep his team afloat a new <unk> will cost about $ N million alone and sailing syndicate budgets can easily run to $ N million for a cup challenge
 the split comes in the midst of a court battle over whether the san diego <unk> club should be allowed to keep the international <unk> for sailing a <unk> against the new zealand <unk> ' <unk> <unk>
 in september a new york appellate court <unk> a state judge 's ruling that awarded the cup to the new zealand team
 pending an appeal by the new zealand team led by michael <unk> the <unk> for the next cup challenge are scheduled to be held in <unk> in san diego
 but because of the uncertainty of the outcome of the suit mr. conner 's team has done little to begin <unk> up to defend its title
 if you do n't know what the rules of the game are it 's hard to start your fund-raising or design said <unk> smith an official with team dennis conner
 the conner team wo n't be able to negotiate with corporate sponsors until the suit is resolved and the race site is determined mr. smith said and the syndicate 's budget could easily reach $ N million
 but spokesmen for both mr. isler and mr. conner say the formation of the new syndicate has to do with mr. isler 's desire to skipper his own team and begin planning now rather than any falling out between the two <unk>
 mr. smith and a spokesman for the america 's cup organizing committee insist that the added competition for the <unk> 's spot will only improve the race
 missouri farmer <unk> <unk> writing in the fall issue of the heritage foundation 's policy review about the proposed location of a <unk> incinerator in his county
 of course i 'd rather have a computer software firm in my <unk> than a hazardous waste incinerator
 but i 'd also rather live next door to an incinerator than to some of the <unk> farms i 've seen and <unk> in these parts
 an incinerator is also probably better than having nobody next door on our farm there are four <unk> houses
 on my <unk> drive to farm headquarters each morning i drive by another four empty houses
 a community of abandoned <unk> failing businesses and crumbling roads and bridges is hardly a desirable one
 the loss of N jobs by a depressed county in rural missouri is hardly of national importance except for this if the most environmentally safe way of dealing with a national problem can not be built in <unk> county what hope have we for dealing with the <unk> our economy produces
 after all farmers here work with hazardous chemicals every day many of them the same chemicals that would have been destroyed in the incinerator
 we know they are dangerous but if handled with care their benefits far outweigh any risk to the environment
 just because stamford conn. high school did nothing when its valuable 1930s mural was thrown in the trash does n't mean the city no longer owns the work of art a federal judge ruled
 the mural now valued at $ N million according to <unk> was <unk> in a trash <unk> in N by workers who were <unk> the building
 the <unk> mural painted by james <unk> in N was commissioned by the federal works project administration
 after the discarded mural was found outside the school by a concerned stamford graduate it eventually was turned over to <unk> hoelzer a professional art <unk>
 throughout the 1970s stamford school and city officials made no effort to <unk> the mural
 apparently the officials did n't even know the mural was missing until N when a researcher found that the painting was in mr. hoelzer 's studio and questioned school officials about it
 in N stamford officials <unk> mr. hoelzer for taking care of the mural and demanded he return it as soon as possible
 mr. hoelzer however sued stamford claiming that the city had abandoned the <unk> and that it had waited too long to reclaim it
 but judge louis l. <unk> of federal court in manhattan ruled that the city could n't be <unk> for waiting too long because it did n't realize until N that its ownership of the painting was in dispute
 the judge also ruled that the painting was n't abandoned because officials did n't intend for it to be thrown away and were <unk> that the <unk> had discarded it
 mr. hoelzer did n't return phone calls seeking comment on the judge 's decision
 the judge ordered that a hearing be held nov. N to determine how much the city should pay mr. hoelzer for his services
 mary e. <unk> corporate counsel for stamford said the city has discussed several possible plans for <unk> the mural which <unk> various scenes from the great depression
 she said the mural <unk> an era in stamford and in our country when this type of work was being done
 the prices of corn futures contracts jumped amid rumors that the soviet union is keeping up its dizzying october buying binge of u.s. corn
 those rumors were confirmed after the end of trading yesterday when the u.s. agriculture department announced that the soviets had bought N million metric tons of u.s. corn bringing their u.s. corn purchases confirmed so far this month to about five million metric tons
 in trading at the chicago board of trade the corn contract for december delivery jumped N cents a bushel to settle at $ N a bushel
 the soviet purchases are close to exceeding what some analysts had expected the soviet union to buy this fall the season in which it usually buys much of the corn it imports from the u.s.
 that pace is causing some analysts to speculate that the soviet union might soon purchase as much as another two million metric tons
 one sign that more soviet purchases are possible is that u.s. grain companies yesterday bought an unusually large amount of corn futures contracts
 that sometimes signals that they are laying plans to export corn
 by some estimates several grain companies combined bought contracts for the <unk> of roughly one million metric tons of corn
 by buying futures contracts these companies attempt to protect themselves from swings in the price of the corn that they are obligated to deliver
 rumors of soviet interest also pushed up the prices of soybean futures contracts
 among other things the agriculture department is widely thought to be <unk> whether to subsidize the sale of soybean oil to the soviet union
 on top of all this corn and soybean prices rose on reports that the midwest harvest was disrupted by a <unk> early snow storm that dumped several inches in parts of indiana and ohio
 the harvest delays however are expected to be temporary
 <unk> temperatures are forecast for next week said robert <unk> an analyst at farmers grain & livestock corp. chicago
 many farmers used the jump in prices to sell their recently <unk> crop to grain <unk> companies
 the heavy selling by farmers helped to damp the price rally
 wheat futures prices rose slightly
 in other commodity markets yesterday
 precious metals
 futures prices declined
 a number of developments were <unk> interpreted by traders
 december delivery gold fell $ N an ounce to $ N
 december silver eased N cents an ounce to $ N
 january platinum was down $ N an ounce at $ N
 one <unk> development was the lower-than-expected increase of only N N in the consumer price index for september an analyst said
 he noted that the core inflation rate which <unk> food and energy was also low at N N
 other news that weighed on the market initial unemployment claims rose by N last week american telephone & telegraph co. will reduce its <unk> staff by N through <unk> the oil market turned weaker there was n't any investor demand for bullion and the dollar strengthened during the day putting pressure on gold
 also the analyst said economic circumstances are such that both south africa and the soviet union the principal gold and platinum producers are being forced to continue selling the metals
 both are in great need of foreign exchange and south africa is also under pressure to meet foreign loan commitments he said
 putting it all together we have a negative scenario that does n't look like it will improve overnight he said
 copper
 futures prices recovered in quiet trading
 the december contract rose N cents a pound to $ N
 that contract fell a total of N cents during the first three days of this week mostly in reaction to last friday 's stock market plunge which prompted concern that it might signal a similar sharp slowing of the u.s. economy and thus reduced demand for copper a leading industrial metal
 in recent days however there has been increased purchasing of copper in london an analyst said
 some of this buying was by japan which has had its supplies sharply reduced by long production <unk> at the bougainville mine in <unk> new guinea highland valley mine in british columbia and the cananea mine in mexico which are major shippers to japan
 the increasing likelihood that cananea and highland valley will soon return to production may have cut some of that purchasing but even if any of these mines begin operating soon their output wo n't be significant until at least the end of the year analysts note
 so one analyst said even though the long-term production problems may be easing there will still be a significant need for copper over the next three months when inventories will remain relatively low
 energy
 crude oil prices ended mixed
 west texas intermediate for november delivery fell N cents a barrel to $ N
 but so-called outer month contracts finished higher
 for instance december contracts for <unk> rose N cents to $ N
 most energy futures opened lower following wednesday 's market downturn
 but a flurry of late trading yesterday <unk> up prices
 heating oil and gasoline futures ended higher as well
 <unk> belli 's san francisco law offices may have been the epicenter of legal activity after tuesday 's earthquake
 in the first N minutes after his office 's telephone service was restored yesterday morning N potential clients had called seeking the services of the <unk> king of <unk>
 mr. belli like many other personal-injury lawyers suspects that the earthquake which measured N on the richter scale will generate enough lawsuits to keep this city 's personal-injury and construction lawyers busy for quite some time
 suits are likely to be filed against engineering firms contractors and developers as well as against <unk> agencies
 but lawyers looking to cash in on the quake may have a tough time once their cases reach a judge
 experts on california <unk> law say <unk> <unk> government agencies in such cases are pretty <unk>
 even claims against individuals and companies face significant <unk>
 the major legal barrier is the principle that no one can be held liable for an act of god
 for now says laurence <unk> <unk> of the <unk> california trial lawyers association the last thing we really need to worry about is whether anybody is going to get sued or whether they have liability or not
 we still have people <unk> around in a <unk> in san francisco worrying about whether it 's going to rain tonight
 but that wo n't stop plaintiffs ' lawyers from seeking a little room for <unk>
 in san francisco they argue an earthquake was a near <unk>
 therefore engineering firms construction contractors and developers can be sued for not keeping structures up to standard and government agencies can be held <unk> for failing to properly protect citizens from such a foreseeable disaster if negligence can be proven
 my prediction is there will be mass litigation over errors and <unk> in engineering and contracting says stanley <unk> a well-known cincinnati plaintiffs lawyer
 from what he saw on television mr. <unk> points out that interstate N which collapsed and killed more than N commuters suffered serious damage while surrounding buildings appeared to sustain no damage <unk>
 he adds that they were aware of the <unk> for earthquakes and the san andreas fault
 the flamboyant and <unk> mr. belli says he already has investigators looking into who could be held liable for the damage on the bay bridge and the interstate approaching it
 we wo n't know until the smoke clears but yes we 're looking into it he says
 mr. belli says he wants to know whether state or federal engineers or private companies could have prevented the damage
 mr. belli who was at candlestick park for the world series tuesday night says he has hired civil engineers to check out his own mildly damaged building and to investigate the bridge collapse
 defense lawyers perhaps <unk> say that plaintiffs ' lawyers taking such an approach will have little success in pursuing their claims though they add that the facts of each case must be looked at <unk>
 a lot of this is going to be <unk> says <unk> j. <unk> a construction law specialist at <unk> <unk> & <unk> a san francisco law firm
 plaintiffs he says will argue that damaged structures were n't built to proper design standards
 but if defendants can prove that they met san francisco 's <unk> building codes that 's probably going to protect them mr. <unk> says
 government entities continues mr. <unk> could be protected by the california government <unk> liability act
 under the statute agencies are provided defenses that normally are n't available in the private sector mr. <unk> says
 the legislature does not want to inhibit the unique government activities by <unk> public entities to liability
 built into the statute are so-called design <unk> which are likely to protect government agencies according to mr. <unk> and richard covert a lawyer with the california department of transportation which oversees the damaged bay bridge
 the state is protected when plans and designs for public structures were approved ahead of time or when structures met previously approved standards says mr. covert
 he believes those defenses might well apply to the bay bridge collapse
 nevertheless he adds i would n't get totally shocked if we get lawsuits out of the bay bridge
 if there 's going to be a race to the courthouse it has n't started yet
 mr. covert had to search through law books scattered on the floor of his office yesterday and mr. belli 's <unk> was <unk> with bricks
 wednesday mr. belli 's staff was n't permitted into his office by city officials worried about their safety
 he said he set up shop on the sidewalk in front of his <unk> office and helped victims apply for federal aid free of charge
 in a news release issued by mr. <unk> the trial lawyers association also promised free assistance to victims
 the association said it would monitor the conduct of lawyers and warned that solicitation of business is <unk>
 what 's in a name
 apparently a lot according to the british firm of deloitte haskins & sells
 the british firm has begun court proceedings in london to prevent the use of the name deloitte by deloitte haskins & sells and <unk> ross & co. in england and the rest of the world
 the british deloitte firm recently withdrew from the merger of deloitte and <unk> world-wide and joined coopers & <unk>
 john bullock senior partner of deloitte in the u.k. said the decision to start these proceedings has n't been taken <unk>
 mr. bullock said the british firm has used the name deloitte since N
 in the u.s. deloitte haskins & sells was known as haskins & sells until N when it added the deloitte name of its british affiliate
 john c. burton an accounting professor at columbia university 's graduate school of business said there 's a lot of <unk> involved in the name of an accounting firm with a long history and with roots in england where accounting <unk> the u.s.
 although accountants are n't noted as being deeply emotional they really hold it all in said mr. burton former chief <unk> of the securities and exchange commission
 j. michael cook chairman of deloitte haskins & sells international said he believes the legal action by the british firm to be without merit
 mr. cook said that last june the international executive <unk> of deloitte and <unk> agreed to a world-wide merger
 the merger is proceeding according to plan except as to the withdrawal of the deloitte u.k. firm he said
 partners at other accounting firms say that the deloitte firm in the u.k. is filing the suit to get even with the merged <unk> firm for keeping major <unk> work in england
 general motors corp. a deloitte audit client for example has agreed to keep its annual $ N million world-wide audit and associated tax work with the merged <unk> firm to be known as deloitte & <unk> in the u.s.
 in england this would mean that the british deloitte would lose revenue for its audit of gm 's <unk> unit
 the <unk> of deloitte 's affiliates in britain and the netherlands to coopers & <unk> will make coopers one of the biggest accounting firms in europe <unk> <unk> peat <unk> there
 although coopers has n't been <unk> by other major accounting firms for a merger it is benefiting greatly from fallout from the <unk> merger
 in new york harris <unk> general counsel of coopers said coopers was aware of the litigation but he declined further comment
 he also declined to comment on the name that coopers would use in england if deloitte <unk> won its litigation to keep its name
 coopers uses the coopers & <unk> name world-wide
 william bennett the white house <unk> director accused local officials in the washington area of blocking construction of prison facilities to house convicted drug dealers
 politics has essentially put up a <unk> to finding sites for new federal prisons mr. bennett said at a news conference called to report on his emergency assistance program for the capital
 without more space to <unk> convicted criminals he added we will not win the war on drugs
 mr. bennett declared in april that he would make washington a test case for how the bush administration would aid cities <unk> by heavy drug trafficking and violence
 the drug <unk> claimed that enforcement efforts are working here <unk> at a slower and more <unk> pace than we would like
 he acknowledged however that washington 's drug-related murder rate is <unk> high
 the prisons are too crowded
 drugs continue to be sold openly around schools parks and housing projects
 mr. bennett declined to name the area officials who he believes have <unk> plans for building more federal prisons to ease washington 's problem
 but other bush administration officials have criticized maryland gov. william <unk> for blocking the use of possible sites in that state
 administration officials also have said that washington mayor <unk> barry has delayed consideration of sites in the city
 in a letter to mr. bennett 's office released yesterday washington 's city administrator carol thompson complained that the drug <unk> had <unk> the amount of federal drug-related assistance provided to the capital
 referring to mr. bennett 's claim that the federal government would provide $ N million in emergency federal support ms. thompson wrote our analysis was unable to even come close to <unk> that figure
 of his successes in washington mr. bennett stressed that existing federal prisons have taken custody of N local <unk>
 he also noted that the federal drug enforcement administration has established a <unk> task force responsible since april for N <unk> and more than $ N million in seizures of drug dealers ' assets
 the defense department has lent the washington u.s. attorney N prosecutors and the federal bureau of investigation has provided crime laboratory facilities and training he added
 what if it happened to us
 in the wake of the earthquake in california and the devastation of hurricane hugo many companies in <unk> areas are <unk> the question of <unk>
 some particularly in west coast earthquake zones are <unk> off their evacuation plans checking food stocks and <unk> employees of what to do if emergency strikes
 others say they feel confident that steps they 've already taken would see them through a disaster
 <unk> involves more than <unk> and fire <unk> these days
 some big companies have teams of in-house experts focusing on safety and business <unk>
 many companies in the path of potential disaster have set up <unk> offices in safe regions hoping they can transport employees there and resume operations quickly
 that means making sure that copies of vital computer software and company records are out of harm 's way
 some businesses like <unk> claim that even if they became isolated in a crisis they would be able to feed and care for their people for as long as five days
 <unk> has to be the <unk> of your plan says <unk> <unk> manager of corporate emergency planning at atlantic richfield co. in los angeles
 if you do n't save your critical people you wo n't be able to bring up your vital business functions
 although arco 's head office more than N miles from the epicenter was n't affected by this week 's tremors ms. <unk> used the occasion to distribute a <unk> memo of earthquake tips to N arco employees
 you need to capitalize on these moments when you have everyone 's attention she says
 it was a good reminder that we all need to prepare prior to an event
 the arco memo urges employees to keep certain supplies at work such as solid shoes and heavy <unk> to clear debris
 it also recommends that employees be aware of everyday office items that could be used for emergency care or shelter
 among the suggestions <unk> and men 's ties could be used for <unk> while <unk> wooden shelves might aid in breaking through office walls
 arco maintains an office in dallas that would take over if payroll operations in pasadena were disrupted
 two months ago the company set up a <unk> number based outside california to handle <unk> from employees about when they should report back to work after an earthquake or other disaster
 the arco plan takes into account such details as which aspects of business are <unk> at certain times of the year
 this way depending on when a quake might strike priorities can be assigned to departments that should be brought back on line first
 at hewlett-packard co. the earthquake came just as the company was reviewing its own emergency procedures
 we were talking about scheduling a practice drill for november says joan tharp a spokeswoman
 then we had a real one in the afternoon
 the palo alto calif. computer maker scrambled to set up a special phone line to tell manufacturing and support staff to stay home wednesday
 sales and service employees were asked to report to work to help bay area clients who called with computer problems
 hewlett-packard also called in its systems experts to restore its own computer operations
 that means we can accept orders and begin getting back to normal says ms. tharp
 prompted by an earlier california earthquake as well as a fire in a los angeles office tower great western bank in the past year hired three emergency planners and spent $ N <unk> a <unk> with communications gear to serve as an emergency headquarters
 although officials of the savings and loan a unit of great western financial corp. used some of their new plans and equipment during this week 's quake they still lost touch for more than N hours with N branches in the affected areas not knowing if employees were injured or <unk> were broken open
 some people flat out did n't know what to do says robert g. lee vice president for emergency planning and corporate security at great western
 as it turned out bank employees were n't hurt and the <unk> <unk> the <unk>
 still says mr. lee we need to educate people that they need to get to a phone somehow some way to let someone know what their status is
 some companies are confident that they 're prepared
 occidental petroleum corp. holds regular evacuation <unk> and stocks food <unk> and <unk> drugs at <unk> in its <unk> headquarters
 the company also maintains <unk> <unk> in offices and changes its <unk> supply of drinking water every three months
 we feel we are doing everything we can an occidental spokesman says
 walt disney co. 's <unk> in <unk> calif. stocks rescue equipment medical supplies and enough food and water to feed at least N visitors for as long as five days in the event that a <unk> <unk> the theme park
 the park also has emergency centers where specially trained employees would go to coordinate evacuation and rescue plans using <unk> cellular phones and a <unk> system
 the centers are complete with <unk> detailing utility lines beneath <unk> and safe <unk> where people can be assembled away from major structures
 vista chemical co. with three chemical plants in and near lake charles <unk> prepares for every hurricane that enters the gulf of mexico says keith l. <unk> a company safety director
 hurricane hugo an atlantic storm did n't affect vista
 but two other major <unk> have threatened operations so far this year most recently hurricane jerry this week
 because <unk> can change course rapidly the company sends employees home and <unk> down operations in stages the closer a storm gets the more complete the shutdown
 the company does n't wait until the final hours to get ready for <unk>
 there are just tons of things that have to be considered mr. <unk> says
 empty tank cars will float away on you if you get a big <unk> surge
 still vista officials realize they 're relatively <unk>
 with a hurricane you know it 's coming
 you have time to put <unk> <unk> in place notes a vista spokeswoman
 a situation like san francisco is so <unk> because there 's no warning
 former democratic <unk> thomas m. gaubert whose savings and loan was <unk> from his control by federal thrift regulators has been granted court permission to sue the regulators
 in a ruling by the fifth u.s. circuit court of appeals in new orleans mr. gaubert received the <unk> to pursue a claim against the federal home loan bank board and the federal home loan bank of dallas for losses he suffered when the bank board closed the independent american savings association of irving texas
 mr. gaubert who was chairman and the majority <unk> of independent american had <unk> his control in exchange for federal regulators ' agreement to drop their inquiry into his activities at another savings and loan
 as part of the agreement mr. gaubert contributed real estate valued at $ N million to the assets of independent american
 while under the control of federal regulators independent american 's net worth dropped from $ N million to a negative $ N million <unk> out the value of mr. gaubert 's real estate contribution and his stock in the institution
 mr. gaubert 's suit to recover his damages was dismissed last year by u.s. district judge robert <unk> of dallas under the federal <unk> claims act which offers broad protection for actions by federal agencies and employees
 earlier this week a fifth circuit appellate panel upheld judge <unk> 's dismissal of mr. gaubert 's claim as a shareholder but said the judge should reconsider mr. gaubert 's claim for the loss of his property
 it may depend on whether there was an express or implied promise that the federal officials would not <unk> cause the deterioration of independent american the court wrote
 mr. gaubert 's lawyer <unk> david <unk> of washington d.c. says the impact of the ruling on other cases involving thrift takeovers will depend on the degree of similarity in the facts
 i do n't know if this will affect one institution or a hundred mr. <unk> says
 it does establish a very clear precedent for suing the <unk> where there was none before
 <unk> claims in suit that restaurant fired her because she was pregnant
 in a suit filed in state court in manhattan the american civil <unk> union is representing the former <unk> 'd of the <unk> odeon restaurant
 the suit which seeks <unk> and punitive damages of $ N million alleges that the <unk> of <unk> trees levine violated new york state 's human-rights law
 among other things the law prohibits discrimination on the basis of sex and pregnancy
 the suit alleges that ms. levine was fired after she refused to accept a lower paying less visible job upon reaching her sixth month of pregnancy
 ms. levine told her employer that she was pregnant in february a month later the suit says the restaurant manager told ms. levine that she would be <unk> to his assistant because he felt customers would be uncomfortable with a pregnant <unk> 'd
 <unk> moss an attorney with the <unk> 's women 's rights project said they wanted a <unk> woman and a pregnant woman is not <unk>
 they told her we do n't hire fat people and we do n't hire <unk>
 and pregnant women are fat
 ms. moss said ms. levine <unk> taped many conversations with her bosses at the odeon in which they told her she was being fired as <unk> 'd because she was pregnant
 paul h. <unk> an attorney for odeon owner keith <unk> denied the allegations
 he said ms. levine had never been fired although she had stopped working at the restaurant
 the odeon made a written offer to <unk> levine on july N to return to work as the <unk> 'd at the same pay same hours and with back pay accrued he said
 mr. <unk> said the odeon has no policy against hiring pregnant people
 lawyers in texas 's biggest <unk> case want out in face of <unk>
 lawyers representing five of the seven defendants in the case say their clients can no longer afford their services
 the trial of the case lasted seven months and ended in september with a hung jury
 the defendants were indicted two years ago on charges that they conspired to <unk> five thrifts of more than $ N million through a complicated scheme to <unk> the price of land and <unk> construction along interstate N east of dallas
 the defense lawyers three of whom are solo practitioners say they ca n't afford to put their law practices on hold for another <unk> trial
 some of the lawyers say they would continue to represent their clients if the government pays their <unk> as court-appointed lawyers
 assistant u.s. attorney terry hart of dallas says the government will oppose any efforts to bring in a new defense team because it would delay a <unk>
 federal judge <unk> hastings of florida facing impeachment received an unanticipated boost yesterday
 sen. <unk> specter r. pa urged <unk> of the judge in a brief circulated to his senate colleagues during <unk> deliberations
 among other things the brief cited insufficient evidence
 sen. specter was vice chairman of the impeachment trial committee that heard evidence in the hastings case last summer
 a former prosecutor and member of the senate judiciary committee sen. specter is expected to exercise influence when the senate votes on the impeachment today
 richmond resignations
 six partners in the richmond va. firm of <unk> russell morris & butcher announced they are resigning
 five of the partners james w. morris philip b. morris robert m. white ann adams webster and <unk> g. <unk> are opening a <unk> in richmond to concentrate on corporate defense litigation particularly in product liability cases
 the sixth partner john h. <unk> jr. is joining <unk> & owen a smaller firm outside richmond
 law firm notes
 nixon <unk> <unk> & doyle based in rochester n.y. has opened an office in <unk> n.y
 mayer brown & <unk> chicago added two partners to its houston office <unk> j. roger jr. and jeff c. dodd
 copyright specialist neil <unk> who writes the monthly copyright law journal newsletter is joining <unk> doyle brown & <unk>
 new york times co. 's third-quarter earnings report is reinforcing analysts ' belief that newspaper publishers will be facing continued poor earnings comparisons through N
 the publisher was able to register soaring quarter net income because of a <unk> gain on the sale of its cable-tv system
 however operating profit fell N N to $ N million
 the decline reflected the expense of buying three magazines lower earnings from the forest-products group and what is proving to be a nagging major problem continued declines in advertising <unk> at the new york times the company 's flagship daily newspaper
 in composite trading on the american stock exchange new york times closed at $ N a share down N cents
 analysts said the company 's troubles mirror those of the industry
 retail advertising which often represents half of the advertising volume at most daily newspapers largely is n't rebounding in the second half from extended doldrums as expected
 at the same time newspapers are <unk> by lagging national advertising especially in its financial component
 dow jones & co. recently reported net fell N N a reflection in part of continued softness in financial advertising at the wall street journal and barron 's magazine
 we expect next year to be a fairly soft year in <unk> advertising said john <unk> an analyst for lynch jones & <unk>
 next year earnings will hold steady but we just do n't see a big turnaround in the trend in advertising
 john s. <unk> an analyst for drexel burnham lambert inc. said the times faces the same problem of other publishers <unk> is down
 it will be hard to do <unk> until real <unk> starts heading back up
 in the quarterly report arthur <unk> <unk> new york times co. chairman and chief executive officer said negative factors affecting third-quarter earnings will continue
 analysts agreed with company expectations that operating profit will be down this year and in N
 mr. <unk> said the scheduled opening of a new <unk> plant in edison n.j. in N would involve heavy <unk> and depreciation costs
 with the edison plant coming on line next summer the times is facing some tough earnings comparison in the future said peter <unk> an analyst with <unk> lawrence morgan grenfell
 but many newspapers are facing similar comparisons
 the sale of the company 's cable franchise brought an after-tax gain of $ N million part of which will be used to reduce debt
 the company also has a <unk> plan
 analysts said they were impressed by the performance of the company 's newspaper group which consists of the times N regional newspapers and a one-third interest in the international herald tribune group operating profit for the quarter increased slightly to $ N million from $ N million on flat revenue
 drexel burnham 's mr. <unk> pointed out that profits held up in a tough revenue environment
 that 's a good sign when profits are stable during a time revenue is in the trough
 investors <unk> the second anniversary of black monday with a buying spree in both stocks and bonds
 but the dollar was mixed
 stock and bond investors were cheered by last month 's <unk> low inflation rate
 this news raised hopes for further interest-rate cuts
 <unk> prices immediately rallied setting the stock market rolling from the opening bell
 the dow jones industrial average up about N points in <unk> finished with a gain of N points to N
 that brought the average 's cumulative gain this week to about N points
 since the N crash the industrials have soared more than N N and the widely watched market barometer is about N N below its record high set earlier this month
 the stock-market rally was led by blue-chip issues but unlike monday 's rebound was broadly based
 indeed over-the-counter stocks led by technology issues <unk> the industrial average
 the nasdaq composite index soared N or N N to N its highest one-day jump in points this year
 many <unk> stocks rose after news that a group obtained financing commitments for the proposed buy-out of american medical international inc
 among the biggest winners were <unk> stocks responding to heavy trading volume
 the government said consumer prices rose only N N last month
 economists expected twice as large an increase
 that news plus recent signs of economic <unk> greatly increases pressure on the federal reserve to ease credit further which in turn would be good news for stocks investment managers say
 i see a lot of evidence indicating a slower economy and that means my interest-rate outlook has a downward tilt said <unk> l. keith jr. vice chairman of prudential insurance co. of america one of the nation 's largest institutional investors
 fed officials probably wo n't drive down rates immediately mr. keith said
 despite the inflation news several fed officials still fear <unk> pressures will intensify because they insist the economy is stronger than generally believed
 but wall street analysts expect further signs of economic weakness in government reports during the next few weeks
 if so that will <unk> the case for another shot of <unk> within a month or so
 that in turn is expected to persuade banks to cut their prime lending rate a benchmark rate on many corporate and consumer loans by half a percentage point to N N
 we 're not out of the woods yet by any means said george r. <unk> president and chief executive of <unk> capital management co. cleveland
 but the economy is slowing enough to give the federal reserve <unk> to reduce interest rates
 but many individual investors are leery about stocks because of fresh signs of <unk> in the huge junk-bond market
 investors also are anxious about today 's <unk> hour the monthly expiration of stock-index futures and options and options on individual stocks
 this phenomenon often makes stock prices swing wildly at the end of the trading session
 in major market activity stock prices surged in heavy trading
 volume on the new york stock exchange rose to N million shares from N million wednesday
 gaining big board issues outnumbered decliners by N to N
 the dollar was mixed
 in new york late yesterday it was at N yen up from N yen late wednesday
 but it fell to N marks from N
 tuesday 's rout of a gop congressional hopeful in a mississippi district that has n't backed a democratic presidential candidate since <unk> stevenson is another reminder that at least at the federal level political ticket splitting has been on the rise over the past half century
 in only one presidential election year prior to N did more than N N of the nation 's congressional districts choose a different party 's candidate for the white house than for the house of representatives
 now that percentage routinely <unk> a third and twice has been above N N
 as we know voters tend to favor republicans more in races for president than in those for congress
 in every presidential election over the past half century except for the <unk> presidential <unk> the gop has captured a greater percentage of the <unk> popular vote for president than it has of congressional seats or the popular vote for congress
 prior to N the pattern was nearly the opposite
 what accounts for the results of recent decades
 a simple economic theory may provide at least a partial explanation for the split <unk> displayed by americans in the voting <unk>
 the theory relies on three assumptions
 N voters can buy one of two brands when they select their political agents a republican brand that believes in the <unk> state and in the <unk> of private markets over the <unk> of public action and a democratic brand that believes in big government and in public intervention to remedy the excesses <unk> to the pursuit of private interest
 N congressional representatives have two basic responsibilities while voting in office dealing with national issues <unk> actions such as casting roll call votes on legislation that imposes costs <unk> <unk> benefits on the population at large and attending to local issues constituency service and pork barrel
 N republican congressional representatives because of their belief in a <unk> state are less willing to engage in local benefit-seeking than are democratic members of congress
 if these assumptions hold voters in races for congress face what in economic theory is called a prisoner 's dilemma and have an incentive at the margin to lean democratic
 if they put a republican into office not only will they acquire less in terms of local benefits but their selected legislator will be relatively <unk> to prevent other legislators from bringing home the <unk> to their respective <unk>
 each legislator after all is only one out of N when it comes to national policy making
 in races for the white house a voter 's incentive at the margin is to lean republican
 although a gop president may limit local benefits to the voter 's particular <unk> such a president is also likely to be more effective at preventing other <unk> and their legislators from bringing home the local benefits
 the individual voter 's standing consequently will be enhanced through lower taxes
 while this theory is <unk> simple it appears to explain several things
 first why ticket splitting has increased and taken the <unk> pattern that it has over the past half century prior to the election of franklin <unk> as president and the advent of the new deal government occupied a much smaller role in society and the prisoner 's dilemma problem <unk> voters in races for congress was considerably less severe
 second it explains why voters hold congress in <unk> but generally love their own congressional representatives any individual legislator 's constituents appreciate the specific benefits that the legislator wins for them but not the overall cost associated with every other legislator doing likewise for his own constituency
 third the theory suggests why legislators who pay too much attention to national policy making relative to local benefit-seeking have lower security in office
 for example <unk> members of the house once the most vulnerable of <unk> have become virtually immune to defeat
 the one exception to this recent trend was the defeat of N of the N freshman republicans brought into office in N by the reagan revolution and running for re-election in N
 because these <unk> placed far more emphasis on their <unk> role spreading the reagan revolution in national policy making they were more vulnerable to defeat
 fourth the theory indicates why the republican party may have a difficult time attracting viable candidates for congressional office
 potential candidates may be discouraged from running less by the congressional salary than by the prospect of defeat at the hands of a democratic opponent
 to the extent that potential republican candidates and their financial backers realize that the congressional prisoner 's dilemma game works to their disadvantage the republican party will be <unk> in its attempts to field a competitive slate of congressional candidates
 fifth the theory may provide at least a partial reason for why ticket splitting has been particularly <unk> in the south
 to the extent that democratic legislators from the south have held a disproportionate share of power in congress since N and have been able to translate such clout into relatively more local benefits for their respective <unk> voters in the south have had an especially strong incentive to keep such democrats in office
 finally the theory suggests why republicans generally have fared better in senate races than in campaigns for the house
 since local benefit-seeking matters more and national policy making matters less in the lower chamber of congress this is precisely the pattern one would expect if republicans are less willing to engage in local benefit-seeking than their democratic counterparts
 is there any <unk> support for this theory
 three pieces of evidence <unk> the key assumption that democratic legislators are more willing to engage in local benefit-seeking than their republican colleagues
 first economists james bennett and thomas <unk> find that gop senators turn back roughly N N more of their allocated personal staff budgets than democrats do
 to the extent that the primary duty of personal staff involves local benefit-seeking this indicates that political philosophy leads congressional republicans to pay less attention to narrow <unk> concerns
 second if the key assumption is valid democrats should have lower attendance rates on <unk> votes than republicans do to the extent that such votes reflect national policy making and that participating in such votes takes away from the time a legislator could otherwise devote to local benefit-seeking
 this is indeed what the data indicate particularly in the case of the house
 the democratic house attendance rate has not exceeded the republican house attendance rate since N
 finally as shown in the table democrats <unk> a higher proportion of their personal staffs to district offices where local benefit-seeking duties matter more and national policy making activities matter less relative to washington offices
 an examination of changes in personal <unk> decisions in the senate between N and N when control of that body changed party hands moreover reveals that the personal <unk> differences noted in the table can not be attributed to the disproportionate control democrats exercise due to their <unk> status over other resources such as committee staff
 an additional piece of evidence from the senate holding other factors constant such as <unk> advantages and regional factors the difference between popular votes for republican presidential and <unk> candidates in states conducting a senate election turns out to be a positive function of how onerous the federal government 's tax burden is per state a <unk> tax rate hits <unk> states harder
 put more simply gop candidates for president are looked on more <unk> by voters than republican candidates for the senate when the prisoner 's dilemma is more severe
 moreover ticket splitting appears to take the same <unk> pattern at the state government level as it does at the federal level
 state government is more typically split along <unk> lines than the reverse
 a <unk> <unk> investigation furthermore reveals that holding other factors constant the difference between a state 's <unk> vote going to the republican gubernatorial candidate and the republican share of the lower state house is a positive function of the state tax rate
 in sum at both the federal and state government levels at least part of the seemingly <unk> behavior voters display in the voting <unk> may have an <unk> rational explanation
 mr. <unk> teaches at the university of southern california 's business school
 a house-senate conference approved a nearly $ N billion state justice and commerce department bill that makes federal <unk> for <unk> held in world war ii <unk> camps a legal <unk> after next oct. N
 the measure provides no money for the promised payments until then but beginning in fiscal N the government would be committed to meeting annual payments of as much as $ N million until the total liability of approximately $ N billion is paid
 the action <unk> earlier efforts to find offsetting cuts to fund the payments but is widely seen as a more realistic means of <unk> <unk> first authorized in N
 the action came as congress sent to president bush a fiscal N bill providing an estimated $ N billion for the departments of labor education health and human services
 final approval was on a N roll call in the senate which sets the stage for a veto confrontation with mr. bush over the issue of publicly financed abortions for poor women
 <unk> an <unk> federal policy the measure supports medicaid abortions in cases of rape and incest but mr. bush has so far refused to support any specific exemption beyond <unk> in which the mother 's life is in danger
 mr. bush 's veto power puts him a commanding position in the narrowly divided house but a vote to override his position could well pick up new support because of the wealth of health and education programs financed in the underlying bill
 the measure before the conference yesterday funds the departments of state justice and commerce through fiscal N
 an estimated $ N billion is provided for next year 's census and negotiators stripped a <unk> rider seeking to block the counting of illegal aliens
 elsewhere in the commerce department nearly $ N million is <unk> for assistance programs under the economic development administration
 and in a <unk> to the fall of house speaker james wright this year the conference voted to <unk> $ N million in <unk> <unk> funds for a fort worth texas <unk> project that figured in ethics charges against the former democratic leader
 fiscal pressures also forced the adoption of new fees charged by federal agencies and an N N increase in the securities and exchange commission 's budget would be financed entirely by an added $ N million in filing fees
 in an unprecedented step the measure anticipates another $ N million in receipts by having the federal bureau of investigation charge for <unk> services in civil cases a change that is almost certain to increase pentagon costs in processing personnel and security <unk>
 the bill does n't include an estimated $ N billion in supplemental anti-drug funds for justice department and law-enforcement accounts that are still in conference with the house
 but yesterday 's agreement would make it easier for state governments to handle the promised aid by deferring for one year a scheduled N N increase in the required state matching funds for law-enforcement grants
 similarly the measure <unk> the current funding formula to promise smaller states such as new hampshire and delaware a minimum allocation of $ N million each in drug grants or three times the current minimum
 the odd mix of departments in the bill makes it one of the more <unk> of the annual appropriations measures and the <unk> provisions attached by lawmakers run from $ N million for a fish farm in arkansas to a music festival in moscow under the united states information agency
 lawmakers scrapped all of a $ N million state department request for the N <unk> in <unk> spain but agreed elsewhere to $ N for an oil portrait of former chief justice warren burger
 senate commerce committee chairman ernest <unk> d. s.c. who also chairs the senate appropriations subcommittee for the department attached $ N million for an advanced technology initiative including work on high-definition television
 his republican counterpart sen. warren <unk> r. n.h. has used his position to wage a legislative war with the conservative board of the legal services corp
 an estimated $ N million is provided to maintain the program but mr. <unk> also succeeded in <unk> language seeking to curb the authority of the current board until new members are confirmed
 the effective date of any new regulations by the current board would be delayed until oct. N next year and the bill seeks to reverse efforts by the corporation to cut off funds to service organizations such as the food research and action center
 the bill also provides $ N million to meet u.s. contributions to international organizations and $ N million for <unk> activities
 both accounts reflect significant increases from fiscal N although the amount for <unk> shows a N N cut from the administration 's request
 mercury savings & loan association said it retained merrill lynch capital markets as its lead investment banker to advise it regarding a possible sale or other combination of the <unk> beach calif. thrift
 mercury which has assets of more than $ N billion and N branches in california said the action to improve its regulatory capital position is related directly to new capital requirements mandated by recently adopted federal legislation
 mercury also said it extended its two-year advisory relationship with montgomery securities of san francisco
 mercury 's stock closed yesterday at $ N unchanged in composite trading on the new york stock exchange
 watching congress sweat and <unk> through its annual budget <unk> fighting the urge to spend more we 're reminded of those <unk> movies in which the <unk> serial killer turns himself in to police and says stop me before i kill again
 the members know they 're doing wrong but they need help to restrain their <unk> <unk>
 arkansas democrat david <unk> <unk> his <unk> on the senate floor the other day after he 'd joined the finance committee 's <unk> pork-barrel <unk> i must tell you
 i come to the floor tonight as one who ended up with a <unk> of <unk> matter
 it was nothing more or nothing less than a feeding frenzy
 he was turning himself in
 frankly as i was walking back to get in my car i heard many many people opening champagne bottles and celebrating individual victories that some of us had accomplished in getting our little deal in the tax bill and <unk> at this person for slipping this in he said
 as i was driving home i did not feel very good about myself
 we can <unk> mr. <unk> 's moment of <unk> even as we understand that he and his <unk> need restraint <unk> they kill again
 a good place to start the rehabilitation is a legislative line-item veto bill now being offered by indiana senator dan coats
 the coats bill which already has N senate <unk> is n't a pure line-item veto because it would apply only to spending bills
 instead it 's a form of enhanced <unk> giving a president a chance to <unk> or strike specific spending items that just go too far
 under the proposal a president would have a chance twice each year to return a package of <unk> to the hill once when he proposes his budget and again after congress <unk>
 congress would have N days to reject the package with a N N majority but then a president could veto that rejection
 congress would then need the usual two-thirds majority to override any veto
 the proposal would restore some discipline erased from the budget process by the N budget reform act
 before N a president could <unk> or refuse to spend funds appropriated by congress
 presidents kennedy and johnson were both big users of the <unk> power but congress saw its chance against a weakened president nixon and stripped it away
 today a president can still send up spending <unk> but they 're <unk> unless congress has a guilty <unk> and changes its mind
 this is like asking <unk> to feel <unk> about <unk> and naturally <unk> are almost never approved
 in N president reagan sent N <unk> back to the hill but only N N of the spending total was approved by congress
 senator coats 's proposal would let the proposed spending cuts take place automatically unless congress acts
 the members could still try to serve their constituents with special-interest <unk> but the police in the form of a president would be there with a <unk> if they really get crazy as they do now
 mr. coats plans to offer his proposal as an amendment to a bill to raise the federal debt limit before the end of the month
 president bush has endorsed the idea and at least N sitting senators have voted to support enhanced <unk> authority in the past
 we 're told senator <unk> is n't yet a <unk> but if he and his colleagues are serious about <unk> their <unk> they 'll sign up
 business and civic operations <unk> back toward <unk> here as congressional officials estimated that the price tag for emergency assistance to <unk> california would total at least $ N billion
 that is a minimum figure and i underscore minimum said house speaker thomas foley d. wash after <unk> with california lawmakers
 it 's impossible to put an exact figure on it at this time
 the office of management and budget has begun looking into legislation to provide more funds for earthquake repairs
 and california 's <unk> delegation in the house is expected to propose that emergency funds be added to a <unk> spending bill that the house appropriations committee is to consider monday
 for the most part major corporations ' headquarters and plants were <unk> or only slightly damaged by tuesday 's earthquake which registered N on the richter scale
 one of the last big employers in the silicon valley to report in seagate technology said it expects to be back at full strength monday
 the day before the quake seagate completed three days of emergency training and <unk>
 <unk> the response of almost all big corporations in the bay area don <unk> seagate 's chief financial officer said i would n't expect this to have any significant financial impact
 the city 's recovery from the earthquake was <unk>
 banks indicated they were operating at greater than N N of their usual capacity but a <unk> hill hotel said tourists had fled leaving the previously full hotel with an N N vacancy rate
 city crews <unk> the <unk> to buildings but lacked a clear sense of how <unk> transportation arteries were disabled
 among the city 's banks bank of america said all but eight of its N branches were open
 the closed branches in san francisco <unk> santa clara and santa cruz sustained structural damage
 power failures kept just seven of its N <unk> machines <unk>
 <unk> operations were moved to bank of america 's concord office and foreign-exchange trading operations were shifted to los angeles the bank said
 wells fargo & co. said its emergency operations committee which met all night tuesday moved its <unk> transfer system to el monte calif. N miles to the south
 only five of N branches statewide remain closed while N of N <unk> machines remained out of order
 the most extensive damage was in small towns near the quake 's epicenter N miles south of san francisco
 santa cruz county estimates total damage at nearly $ N million
 santa clara county has a running total so far of $ N million excluding the <unk> city of los <unk>
 oakland officials were still uncertain about the magnitude of structural damage late yesterday a section of <unk> a <unk> highway collapsed in oakland causing a majority of the deaths resulting from the quake
 san francisco mayor art agnos estimated that damages to the city total $ N billion
 that includes <unk> in the <unk> marina district that must be <unk> <unk> business <unk> south of market street and houses in the city 's outer richmond district that were <unk> off their foundations
 many streets and <unk> <unk> and <unk> water <unk> and service connections <unk>
 the federal funds would go to a range of programs including the federal emergency management agency highway construction accounts and the small business administration according to rep. <unk> fazio d. calif
 fema which <unk> federal disaster relief is already strapped by the costs of cleaning up after hurricane hugo which hit the carolinas last month
 it is likely to get as much as $ N million initially in additional funds and eventually could get more than $ N billion according to mr. fazio a member of the house appropriations committee
 white house spokesman marlin fitzwater said there is enough money on hand to deal with immediate requirements
 the bush administration has at its disposal $ N million in funds remaining from the $ N billion congress released for the cleanup after hurricane hugo
 we feel we have the money necessary to handle the immediate short-term requirements mr. fitzwater said
 he added that the office of management and budget the transportation department and other agencies are developing longer-term legislation that should be ready soon
 much of the cost of cleaning up after the earthquake will involve <unk> highways and bridges
 california lawmakers are seeking changes in rules governing the federal highway relief program so more money can be made available for the state
 some things ca n't be repaired
 the asian art museum in golden gate park reports $ N million to $ N million in damage including shattered <unk> and stone figures
 its neighbor the de young museum totaled $ N million to $ N million in structural damage and shattered <unk>
 the city 's main library is closed because of <unk> that opened in its walls and marble <unk> and <unk> <unk> at the <unk> arts city hall broke off in the temblor
 the ground along the <unk> the street that <unk> the city 's eastern <unk> and <unk> dropped six inches after the quake <unk> major damage to at least one of the <unk>
 at san francisco international airport shock waves <unk> the control tower knocking down computers and <unk> glass
 offices of the city 's rent board were destroyed
 mayor agnos 's $ N billion estimate does n't include damage to freeway arteries leading into the city some of which remained closed
 a major chunk of the $ N billion is expected to be <unk> up by overtime for city workers deployed in the emergency said a spokesman for mr. agnos
 all of the city 's $ N million emergency reserve was spent in the first N hours on overtime salaries he said
 insurers struggled to to get a firm grasp on the volume of claims pouring into their offices
 at fireman 's fund corp. a spokesman said N claims were received in the first N hours after the quake and the company is <unk> for as many as N claims from its N residential and N business policyholders in the affected area
 claims range from a <unk> <unk> and there were an awful lot of cars damaged in this to a major processing plant a spokesman said
 we 're delivering a check for $ N to an automotive business in berkeley that burned on tuesday
 fireman 's is part of a $ N million syndicate that supplies business <unk> insurance to the city on the bay bridge which must pay employees during the three weeks or more it is expected to be out of service and deprived of toll income
 california lawmakers want to eliminate temporarily a $ N million cap on the amount of federal highway relief for each state for each disaster as well as a prohibition on using the emergency highway aid to repair toll roads
 in addition under the <unk> program the federal government provides N N of emergency highway aid for only the first N days of a repair effort
 after that the federal share <unk>
 for interstate highways the federal share normally would drop to N N of the cost of repairs and the state would have to pick up the remainder of the cost
 but lawmakers want to extend the period for N N federal funding for several months
 those changes also would apply to two areas hit hard by hurricane hugo south carolina and the u.s. virgin islands according to an aide to rep. fazio
 meanwhile the fema announced a <unk> telephone number N to <unk> service to victims of the earthquake
 lines will be available N hours a day to take applications for such disaster relief as temporary housing and emergency home repairs by phone
 transportation officials are expecting <unk> traffic <unk> beginning monday and growing worse over the next several weeks
 some N cars normally cross the closed bay bridge between oakland and san francisco daily
 officials say it is clear that <unk> routes ca n't handle the <unk>
 the state is calling in a <unk> of navy landing vessels and other <unk> to expand ferry service across the bay and hopes to add numerous new bus routes and train departures to help alleviate the traffic problem
 moreover state officials are urging freight <unk> to <unk> many of the area 's main highways and to travel late at night or during <unk> hours
 even so we 're looking for chaos said george gray a deputy district director at the california department of transportation
 if there 's any way you can do it you ought to go to idaho and go fishing for a while
 most of san francisco 's tourists and business travelers already have left despite hotel 's offers of rate cuts
 everyone left said peter lang reservations manager of the mark hopkins hotel
 the <unk> st. francis hotel which survived the N earthquake and fire currently is less than N N occupied
 we still have our <unk> baseball fans a spokesman said
 one lady from new york said she 's not going home until the world series is over
 gerald f. <unk> and joe <unk> in washington contributed to this article
 is an american secretary of state seriously suggesting that the khmer rouge should help govern cambodia
 apparently so
 there are no easy choices in cambodia but we ca n't imagine that it benefits the u.s. to become the catalyst for an <unk> process that could end in another round of <unk> in cambodia
 now that vietnam appears to have pulled out its <unk> army the state department is talking again about accepting an interim coalition government in the <unk> capital of <unk> <unk>
 the coalition would include the current <unk> <unk> sen regime the two <unk> resistance groups led by son <unk> and prince <unk> and the khmer rouge
 the aim would be to end the guerrilla war for control of cambodia by allowing the khmer rouge a small share of power
 the state department says that any khmer rouge participation would have to be minimal
 the usual problem with including communists in interim coalition governments is that their <unk> and methods require they squeeze out everyone else
 recall that nicaragua 's sandinistas came into managua as partners in a coalition government with <unk> <unk>
 within two years the <unk> were <unk> or in prison nicaragua had gone communist and the sandinistas were building one of the biggest <unk> in latin america and threatening their neighbors
 in <unk> when the western powers bowed to pressure for such a coalition it turned out they were opening the door to communist domination
 even <unk> <unk> 's china began in N with a partnership between the communists and a number of smaller <unk> parties
 what <unk> the scene in cambodia is that the current regime is already communist as are its vietnamese <unk> back in <unk> as are the khmer rouge who are the strongest of the three guerrilla groups
 it 's not clear which crew of communists might prevail in a coalition government but the one good bet is that the <unk> would disappear
 that would leave <unk> sen and the khmer rouge
 the <unk> sen regime has sent thousands of <unk> <unk> to die of <unk> and <unk> while building cambodia 's equivalent of the berlin wall near the <unk> border
 the khmer rouge however carry an <unk> record for <unk> <unk>
 these <unk> caused the deaths by <unk> disease or execution of well over one million <unk>
 the <unk> <unk> was so bad that the vietnamese <unk> in N was a <unk> form of relief
 the world might want to believe that the khmer rouge ca n't still be such bad guys just as in the late 1970s it was reluctant to credit the reports of <unk> then taking place
 but there is no solid evidence that the khmer rouge have changed
 some of our sources in thailand say the notorious old khmer rouge leader <unk> pot has been <unk> up this summer in khmer rouge camps near the <unk> border
 so it 's difficult to <unk> the notion that mr. baker is willing to accept conditions that would help the khmer rouge set up shop again in <unk> <unk>
 true prince <unk> backs the idea of such a coalition at least for this week
 but prince <unk> has backed all sorts of ideas over the years and done rather better by himself than by cambodia
 nor should the u.s. worry much about <unk> china which still aids the khmer rouge
 it 's time the state department recognized that china does not play by <unk> 's rules
 for the u.s. to lend even the <unk> support to the most <unk> <unk> on <unk> 's bleak scene could only <unk> america 's allies elsewhere
 it would be entirely rational for communist <unk> in countries such as the philippines or peru to conclude the following fight <unk> enough and the u.s. under the <unk> of <unk> might eventually help negotiate your way to victory
 u.s. <unk> has done it before and it will likely do it again
 the administration and congress have lately <unk> around the idea of sending military aid to cambodia 's <unk>
 but now the possibility of diplomatic movement vietnam 's withdrawal the baker initiative has put that plan on hold with the <unk> that if the going got rough the u.s. would then <unk> the opposition
 why the <unk>
 at the very least the odds are heavily weighted against the prospects of preventing the khmer rouge and cambodia 's communists from ultimately moving against their opponents
 when that day comes it would be particularly awful to know that the united states sat on military aid and deprived these people of the means to settle their fate with at least a little honor
 michael f. harris N was named executive vice president north america for the financial times the business newspaper published by this company that also has interests in book publishing fine china oil services and investment banking
 mr. harris had been vice president for the newspaper 's advertising in new york
 he takes additional responsibility for newspaper sales and distribution of the financial times in north america
 <unk> v. allen N who had been director for north america resigned to pursue other business interests and do some consulting
 <unk> data products inc. posted a net loss of $ N million or N cents a share for its fiscal first quarter compared with net income of $ N million or N cents a share a year ago
 revenue for the quarter ended sept. N fell N N to $ N million from $ N million in the year-earlier period
 <unk> data a san diego maker of magnetic tape peripherals and optical <unk> drives said the loss included reserves of $ N million related to a corporate restructuring
 the restructuring calls for a N N reduction in its work force over the next two months affecting about N jobs <unk> data said
 it is eliminating the positions of president and chief operating officer formerly held by edward l. <unk>
 <unk> data said mr. <unk> consequently has resigned from those posts and from the company 's board
 mr. <unk> could n't immediately be reached for comment
 <unk> corp. costa mesa calif. said it expects to report a third-quarter loss of about $ N million or N cents a share because of a $ N million reserve to be taken against potential losses on a contract with the state of california
 revenue is estimated at $ N million
 the maker of document image processing equipment said the state procurement division had declared <unk> in default on its contract with the secretary of state uniform commercial code division
 <unk> said it does n't believe the state has a valid basis of default and is reviewing its legal rights under the contract but said it ca n't predict the outcome of the dispute
 the disagreement centers on testing deadlines and other issues involving a <unk> system installed earlier this year
 state officials could n't be reached for comment late yesterday
 <unk> noted that it had cash and <unk> securities totaling $ N million on sept. N and stockholders ' equity is $ N million
 the company made the announcement after the close of the markets where its stock finished at $ N up N cents in over-the-counter trading
 clinton gas systems inc. said it received a contract from <unk> co. canton ohio to manage the natural gas purchasing scheduling and transportation activities for <unk> 's seven ohio and two pennsylvania plants
 clinton and <unk> agreed not to disclose the value of the contract
 <unk> a producer of bearings and specialty steel already buys gas from clinton
 clinton said in columbus ohio that its clinton gas marketing unit wants to line up a number of such gas management contracts
 manufacturers frequently do n't have anyone who is a specialist in natural gas clinton said and a specialist such as clinton can save them substantial amounts of money
 the scene opens with <unk> executives <unk> obviously <unk> to cellular phones and <unk> it out of town in <unk> <unk>
 the <unk> <unk> the <unk> with a texas <unk> have packed their bags and went
 but he continues they 're <unk> we 're all texans
 the lone star is on the rise again
 as the music <unk> viewers discover they 're watching a commercial for lone star beer the pride of texas a product of g. <unk> brewing co. a la <unk> wis. unit of bond corp
 as the ad 's tone implies the texas spirit is pretty <unk> these days and lone star is n't alone in trying to take advantage of that
 from chevy trucks to lipton <unk> tea to a host of <unk> banks the state has been <unk> with broadcast commercials and print advertising campaigns celebrating texans and <unk> outsiders
 while advertisers have long appealed to texans ' state pride and <unk> the latest trend has been sparked in part by the state 's recent hard economic times
 that has taken some of the <unk> out of <unk> who like to <unk> that texas is the only state that was once a nation but it has increased their legendary <unk> of outsiders
 in the past writes houston <unk> columnist jim <unk> <unk> were accepted only after passing a series of tests to prove they had the right texas attitudes and of course they had to be dipped for <unk>
 there is no small irony in the fact that some of the <unk> advertising comes <unk> of you <unk> it outsiders
 lone star 's bond corp. parent for instance <unk> from <unk> australia
 north <unk> new <unk> californians <unk> and <unk> own texas banks
 all kinds of landmark texas real estate has been snapped up by <unk>
 even the <unk> dallas cowboys were bought by an arkansas oil man
 texas has lost its <unk> leaving texans with a <unk> to feel proud about themselves says stephen <unk> a <unk> professor at rice university houston
 this plays right into the hands of the advertising agencies
 for example the <unk> radio campaign for thomas j. lipton co. an <unk> <unk> n.j. unit of <unk> unilever group <unk> <unk> real texans do not wear <unk> ever
 real texans do n't play <unk> at least i hope not
 this is football country
 and another thing real texans drink lipton <unk> tea
 in developing that theme at interpublic group of <unk> <unk> new york unit account supervisor <unk> <unk> says she made a couple of phone calls to dallas ad friends and reported her findings to a team of writers
 her findings
 you know she says <unk> stuff like <unk> cowboys and football
 not exactly sophisticated market research but who <unk> as long as the campaigns work
 and ad agencies insist that they do
 <unk> <unk> of <unk> group inc. dallas tells of the <unk> who saw the agency 's <unk> commercial for first <unk> bank <unk> complete with the state 's <unk> and promptly invested $ N in the thrift 's cds
 never mind that first <unk> is one of the failed texas thrifts taken over by outsiders in this case an investor group headed by new york financier ronald <unk>
 the north texas chevy dealers recently had a record sales month after the debut of ad campaign that <unk> its nose at elite <unk>
 and deposits at ncnb texas national bank a unit of ncnb corp. charlotte n.c. have increased $ N billion since last year after heavy advertising stressing commitment to texas
 obviously pride sells in texas says a spokeswoman for bozell inc. omaha neb. which represents
 the ad campaigns usually follow one of three tracks stressing the company 's <unk> pointing out the competition 's lack <unk> or trying to be more <unk> than texans
 ford trucks may <unk> chevy trucks in places like connecticut and long island <unk> a commercial for chevrolet a division of general motors corp
 the commercial created by <unk> <unk> & <unk> inc. of dallas adds <unk> i bet it takes a real tough truck to haul your ivy league <unk> to the <unk> club
 because they want a truck that is texas tough the commercial concludes texans drive chevy
 j.c. penney co. which <unk> from new york to suburban dallas two years ago gently <unk> itself in texas pride through a <unk> magazine ad taking the <unk> view to <unk> what is of value to future generations is part of the lone star <unk> the ad reads
 it 's part of our style too
 according to several <unk> sources newcomers to the texas banking market are spending a combined $ N million this year to woo texans
 meanwhile surviving texas banking institutions are <unk> pitching themselves as the only lenders who truly care about the state
 the <unk> <unk> sentiment among bankers comes from the independent bankers association of texas although it 's hard to tell from <unk> of the $ N million the i 's of texas tv campaign
 commercials will highlight <unk> scenes of texas and <unk> <unk> music
 supporting banks will sign a texas declaration of <unk>
 but in <unk> material for the campaign the trade group urges members to arm for a revolution against big <unk> bank-holding companies
 a video sent to association members featuring shots of the <unk> cowboys <unk> and a <unk> of sam houston does n't <unk> words
 texans can <unk> a phony a mile away the <unk> warns outsiders
 so do n't come and try to con us with a <unk> <unk> or a <unk> hat
 young & rubicam 's pact
 young & rubicam fighting charges that it <unk> <unk> officials to win the jamaica tourist board ad account in N said it will no longer create the tourist board 's advertising
 in a statement alex <unk> young & rubicam 's chairman said under the present circumstances we have agreed that it is prudent to <unk> that contract
 young & rubicam has pleaded innocent to the charges
 the board would n't comment on its impending search for a new ad agency to handle its estimated $ N million to $ N million account
 ad notes
 new account
 <unk> biscuits inc. <unk> n.j. awarded its estimated $ N million account to <unk> & <unk> new york
 the account had been at della femina mcnamee wcrs new york
 media policy
 <unk> <unk> & klein a small new york shop is asking magazine ad representatives to tell it when major advertising <unk> will run in their publications
 it says it may pull its clients ' ads from those magazines
 coke ads
 coca-cola co. said it produced a new version of its N i 'd like to teach the world to <unk> commercial
 the ad is part of classic coke 's N ad campaign with the tag line ca n't beat the real thing
 basketball star michael jordan and singer <unk> <unk> have also agreed to appear in ads
 dell computer corp. squeezed by price pressure from its larger competitors and delays in its new product line said its per-share earnings for fiscal N will be half its previous forecasts
 although the personal computer maker said it expects revenue to meet or exceed previous projections of $ N million for the year ending jan. N N earnings are expected to be N cents to N cents a share down from previous estimates of N cents to N cents
 earnings for fiscal N were $ N million or N cents a share on sales of $ N million
 results for the third quarter ending oct. N are expected to be released the third week of november according to michael dell chairman and chief executive officer
 mr. dell said he does n't expect a loss in either the third or fourth quarter but said third-quarter earnings could be as low as four cents a share
 in the third quarter last year dell had net income of $ N million or N cents a share on sales of $ N million
 mr. dell attributed the earnings slide to new product delays such as a laptop scheduled for september that wo n't be introduced until early november
 some delays have been caused by a shortage of <unk> notably intel corp. 's newest chip the N but others apparently have been caused by dell 's explosive growth and <unk> stretched resources
 they 've got a lot of different balls in the air at the same time observes jim <unk> a computer securities analyst with dallas-based william k. <unk> & co
 mr. dell meanwhile concedes the company was definitely too optimistic in its expectations
 product delays however have left dell <unk> by <unk> competition in its bread-and-butter line of desktop computers as powerhouse competitors compaq computer corp. and international business machines corp. price their pcs more aggressively
 the result has been <unk> margins which have been further eroded by an ambitious research and development effort and rapid overseas expansion
 analyst james weil of the <unk> financial group believes dell 's response has been to place increased emphasis on product quality in an effort to rise above some of that price pressure
 but that has been the key to compaq 's success he adds <unk> dell <unk> out its market niche as a direct seller of low-cost but <unk> computers and it might be too late in the game for a shift in strategy
 in national over-the-counter trading dell closed yesterday at $ N a share down N cents
 transatlantic holdings plc a <unk> south <unk> financial services investment group and france 's societe <unk> union des assurances de paris reached an accord effectively reducing chances of an unfriendly takeover for sun life assurance society plc
 in a joint statement the two companies whose combined holdings equal N N of sun life 's ordinary shares said their agreement is aimed at reducing the uncertainty and <unk> for sun life that has resulted from two major shareholders owning a controlling interest in the company
 transatlantic whose <unk> investments ltd. unit owns the largest minority stake in sun life has agreed not to make a takeover bid for the british life insurer without the prior consent of the french company known as <unk>
 in return the agreement would force <unk> to buy transatlantic 's N N holding in sun life or sell its N N stake to transatlantic at a price set by transatlantic
 pride petroleum services inc. said it agreed to buy <unk> assets of two companies and expects to report higher third-quarter revenue and earnings
 in the year-earlier quarter the <unk> contractor had net income of $ N or N cents a share on revenue of about $ N million
 results for the earlier quarter included a $ N restructuring charge
 separately the houston concern said it signed letters of intent for the cash and stock purchases of a total of N <unk> <unk> from two concerns located in new mexico and california
 it did n't disclose <unk> but said it expects to complete the purchases by nov. N
 <unk> ltd. new york reported third-quarter net income edged up as growth in its <unk> services sector offset a decline in interest income
 the lower interest income occurred because <unk> spent $ N billion buying back its stock last year
 net for the <unk> services and electronic measurements and systems concern rose to $ N million or N cents a share from $ N million or N cents a share a year earlier
 per-share earnings advanced N N because of the buy-back
 revenue declined N N to $ N billion from $ N billion
 but excluding businesses acquired or sold revenue was flat at about $ N billion
 nine-month net fell N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 revenue dropped N N to $ N billion from $ N billion
 this year 's nine-month results include gains of $ N million or five cents a share from the sale of <unk> 's defense systems business and $ N million or nine cents a share from an award by the <unk> claims <unk>
 the year-earlier nine months include a gain of $ N million or N cents a share from sale of the company 's electricity control & <unk> division
 new england critical care inc. offered $ N million in convertible subordinated debentures through morgan stanley & co. and prudential-bache capital funding
 the debentures due in N have a coupon of N N N payable <unk>
 the debentures may be converted into common stock of the <unk> mass. home health care concern at $ N a share
 proceeds will be used for working capital and general corporate purposes including expansion of the company 's operations
 the french building group <unk> s.a. said profit jumped N N in the first half of N partly on the strength of nonrecurring gains from a share issue by its canadian unit
 <unk> said group profit after payments to minority interests rose to N million francs $ N million from N million a year earlier
 revenue rose N N to N billion francs from N billion
 the group noted that N million francs of the advance reflected a one-time gain from the june offering by its united <unk> unit in canada
 it did n't say if its year-earlier results were influenced significantly by nonrecurring elements
 for all of N <unk> had group profit of N million francs after payment to minority interests
 revenue was N billion francs
 the group has n't forecast full-year earnings for N although it said that its first-half results are n't a good indication because of one-time elements and the seasonal nature of its operations
 tuesday 's earthquake will depress local real-estate values in the short term and force companies to reconsider expanding in or <unk> to the bay area and california real-estate and relocation specialists said
 few specialists said they expect the quake to have much of an effect on most california property values
 but real-estate experts and brokers said the quake undoubtedly will drag down prices in neighborhoods built on less stable ground especially in the bay area
 california prices were already coming down
 this is n't going to help said kenneth t. rosen chairman of the center for real estate and urban economics at the university of california at berkeley
 state housing prices at a median $ N have declined in recent months because of potential buyers ' inability to afford homes
 mr. rosen among others suggested that the quake the strongest since the N temblor that struck san francisco will in the short term create a two-tier price system for <unk> communities with <unk> built on <unk> ground likely to demand higher prices
 one san francisco neighborhood likely to test mr. rosen 's theory soon is the city 's fashionable marina district which boasts some of the highest home prices in the state
 the district built on landfill suffered heavy quake damage including collapsed buildings
 yesterday the city <unk> two <unk> in the district because of severe structural damage and said as many as N of the district 's N <unk> might have to be <unk>
 brokers agreed with the two-tier price theory
 my gut feeling is that the marina properties will be affected said grace <unk> senior vice president at <unk> & ellis residential brokerage inc
 neither she nor other real-estate executives and brokers could project how much less marina properties might bring but she said the two-tier price structure would affect prices for a while
 mr. rosen said the quake will revive consumer interest in a <unk> N state law that requires brokers to disclose to potential buyers how close a property sits to a fault line
 because of the size of the california market few relocation specialists expect a widespread corporate flight in the quake 's aftermath
 but they said the quake will force some companies to <unk> or expand part or all of their operations outside the state
 what you 're going to get is we do n't want to put all of our eggs in one basket theory said james h. <unk> president of location management services inc. a palo alto calif. relocation concern
 mr. <unk> among others said the quake will <unk> companies in certain industries like semiconductors computers and aerospace to consider moving operations that involve particularly sensitive machinery to locations outside california
 because of the quake threat some firms have <unk> what the cost is to shore up their buildings and compared it with the cost of building it <unk> he said
 one southern california aerospace firm for example two months ago asked location management to compare the costs of reinforcing its current building against earthquakes with the cost of building a new structure elsewhere
 a new <unk> would cost $ N million location management found compared with $ N million to make the present building <unk>
 the company mr. <unk> said has n't yet determined what to do
 nationwide health properties pasadena calif. said it would n't pay its fourth-quarter dividend despite a N N increase in third-quarter earnings to $ N million or N cents a share
 net income included a gain of $ N on asset sales the real estate investment trust said
 a year earlier nationwide health earned $ N million or N cents a share
 revenue rose N N to $ N million from $ N million
 nationwide health said that although it has the cash to cover the <unk> dividend its banks have denied the company 's request to pay it because the trust has n't met certain terms
 nationwide health said it has numerous financing activities under way to remedy the problem and will make up the dividend payment later if possible
 <unk> rey s.a. a french paper producer said it concluded an agreement with japan 's fuji photo film co. that will allow <unk> rey to manufacture and sell <unk> paper using fuji technology
 <unk> rey is a leading french maker of copying and electronic printing paper
 <unk> paper is used in facsimile machines
 terms of the agreement were n't disclosed
 <unk> rey 's move follows similar <unk> agreements between japanese producers of <unk> paper and european paper groups
 <unk> grace & co. new york said its earnings for the third quarter nearly doubled as a result of a $ N million <unk> gain from restructuring its energy operations and other adjustments
 net income rose to $ N million or $ N a share from $ N million or N cents a share a year earlier
 sales increased N N to $ N billion from $ N billion
 the gain resulted from the sale of grace equipment co. the initial public offering of a <unk> interest in grace energy corp. and an adjustment in the carrying value of certain natural resource assets not part of grace energy
 the international specialty chemical company 's earnings were hurt by an <unk> for <unk> rights that reflected a N N increase in the stock price and higher interest expenses
 <unk> american corp. of south africa ltd. said the third-quarter combined profit of its six gold mines dropped N N from the previous quarter
 total net income fell to N million rand $ N million from N million rand in the june quarter
 total gold production by all six mines rose N N to N <unk> from N <unk> in the previous quarter
 doman industries ltd. said it increased its stake in western forest products ltd. to N N from N N through a <unk> transaction valued at N million canadian dollars $ <unk> million
 doman is based in <unk> british columbia
 the company founded and controlled by <unk> doman its chairman and president said the purchase would make it canada 's <unk> largest forest products company
 under terms of the transaction which was proposed in june doman said it acquired international forest products ltd. 's N N stake in western forest and western forest in a related transaction bought back a N N interest in the company from fletcher challenge canada ltd
 the fletcher challenge canada stake was then canceled doman said raising doman 's interest in western forest to N N
 doman said it was also granted an option to acquire the remaining N N interest in western forest which is currently held by two canadian banks
 international forest western forest and fletcher challenge canada are <unk> forest products concerns
 the canadian government introduced in the house of commons legislation to extend federal regulatory authority over <unk> government-owned telephone utilities in alberta <unk> and manitoba
 the legislation would open the way for more telephone services and more competition in the telephone business in the three provinces federal officials said
 the federal government initiative follows a recent canadian supreme court decision that held that the major telephone companies in alberta <unk> and manitoba and in the atlantic coast provinces were <unk> <unk> and subject to federal legislative authority
 prior to the ruling the federal government had regulated only the telephone companies in quebec ontario british columbia and the northwest <unk>
 the governments of alberta <unk> and manitoba have strongly opposed federal regulation of their telephone companies
 the extension of federal regulatory authority over telephone utilities in the atlantic provinces has n't required special legislation because they are <unk>
 amdura corp. said its bank group led by chicago-based continental bank agreed to extend its $ N million bridge loan until march N N and gave it a new $ N million credit line
 under terms of the loan agreement amdura said it will <unk> the next quarterly dividends on its series a b c and d preferred shares which are due nov. N
 since the preferred stock is cumulative amdura said it will pay all omitted dividends which range from $ N to $ N a share when <unk> requirements have been met
 amdura 's bridge loan part of the financing for amdura 's acquisition of <unk> in december N was to come due next friday
 the company 's new management which took control of amdura 's board after a consent solicitation last month wanted to extend the loan while it tries to sell two units
 proceeds from those sales will be used to reduce debt
 amdura a denver hardware and automotive distributor said the new credit agreement will provide the working capital needed to meet ongoing requirements
 three savings-and-loan institutions in kansas and texas were added to the resolution trust corp. 's conservatorship program after federal regulators declared the thrifts insolvent and named the rtc their receiver
 the deposits assets and certain liabilities of the three thrifts were transferred to newly chartered federal mutual institutions
 the three institutions are <unk> kansas federal savings & loan association wichita which had $ N million in assets valley federal savings & loan association of <unk> <unk> texas with $ N million in assets and <unk> savings association el paso with $ N million in assets
 the three insolvent thrifts will maintain normal business hours and operations under <unk> managing agents while the rtc tries to negotiate permanent resolutions
 separately century bank phoenix ariz. was closed by arizona banking officials
 the federal deposit insurance corp. approved the assumption of century 's deposits and fully secured liabilities by a newly chartered subsidiary of valley capital corp. las vegas
 the new institution is also called century bank and the failed bank 's five offices will reopen today
 the failed bank had assets of about $ N million
 the newly chartered bank will assume about $ N million in N deposit accounts and pay the fdic a purchase premium of $ N million
 it also will buy about $ N million of assets and the fdic will advance $ N million to the assuming bank
 <unk> plc of britain is to come to the rescue of the french distribution group societe commerciale de <unk> <unk> in an operation that has been engineered with the paribas financial group societe commerciale 's main shareholder
 the announcement came as societe commerciale a trading company with activities in more than N countries reported a loss of N million francs $ N million for the first six months of this year partly because of provisions on future losses
 the rescue operation will consist of a capital boost for societe commerciale of one billion francs through issues of new shares and convertible bonds
 cie financiere de paribas said it intends to transfer its N N <unk> in societe commerciale to a new company which will be jointly owned with <unk>
 this will give paribas and <unk> joint control of societe commerciale
 paribas said <unk> will participate in the <unk> capital boost for societe commerciale
 international business machines corp. and mca inc. said they agreed to sell their discovision associates joint venture to u.s. units of pioneer electronic corp. for $ N million
 the joint venture licenses a portfolio of about N patents and patent applications relating to <unk> recording technology
 ibm and mca formed discovision in N to make <unk> optical products
 but the partners did n't believe the market for the systems was developing as rapidly as they had hoped
 after reportedly investing $ N million in the business discovision <unk> manufacturing operations in N and sold many of its assets to tokyo-based pioneer among others
 discovision now has world-wide license agreements with major manufacturers covering cd audio disks audio disk players <unk> and <unk> players
 it also licenses <unk> based data storage and <unk> devices
 james n. <unk> president of discovision and a vice president of mca said that ibm and mca had n't planned to sell the joint venture which is now profitable but that pioneer approached discovision earlier this year
 he said it is n't certain whether discovision 's current management will remain when pioneer buys the company
 the agreement is contingent on certain government approvals and should be completed later this year
 tokyo stocks closed higher in moderately active but <unk> trading as the recent anxiety in world stock markets continued to <unk>
 london shares also closed firmer in thin trading driven largely by technical factors and support from a new wall street rally
 prices also rose on almost every other major exchange in europe asia and the pacific
 tokyo 's nikkei index of N issues which gained N points wednesday climbed N or N N to N
 volume on the first section was estimated at N million shares compared with N million wednesday
 winners outnumbered losers N with N issues unchanged
 in early trading in tokyo friday the nikkei index rose N points to N
 on thursday the tokyo stock price index of all issues listed in the first section which gained N point wednesday was up N or N N at N
 the morning session was dominated by individuals and dealers but some institutions participated in the afternoon encouraged by the market 's <unk> traders said
 sentiment was helped by the small gain made by new york stocks wednesday despite anxiety over possible effects of the major earthquake that struck northern california tuesday
 having survived both last friday 's N N wall street plunge and the immediate aftermath of the san francisco bay area earthquake tokyo market participants expressed relief that trading had returned to normal
 <unk> <unk> general manager of the stock trading division at nikko securities said that after looking at the reasons for friday 's wall street plunge participants realized that the tokyo and new york markets have different economic fundamentals
 this conclusion he said restored the credibility of tokyo stocks
 <unk> <unk> head of the investment information department at daiwa investment trust & management said that if new york stocks just <unk> in or near their current range the tokyo market will remain firm with a moderately upward trend for the rest of the year
 but traders said the market lacks a base on which to set long-term buying strategy as the future direction of u.s. interest rates remains unclear
 investor interest switches back and forth <unk> as they are unable to shift their weight to one side for sure mr. <unk> of daiwa investment trust said
 many of wednesday 's winners were losers yesterday as investors quickly took profits and <unk> their buying to other issues traders said
 pharmaceuticals made across-the-board advances
 fujisawa pharmaceutical gained N to N yen $ N a share <unk> pharmaceutical was up N at N and <unk> advanced N to N
 housing issues were boosted by a report that daiwa house expects to post N N higher earnings for its latest fiscal year traders said
 daiwa house advanced N to N <unk> homes was up N at N and <unk> house gained N to N
 leading construction companies also attracted interest for their strong earnings <unk> traders said
 they and many other major japanese corporations will issue results soon for the fiscal first half ended sept. N
 ohbayashi was up N to close at N <unk> gained N to N and <unk> advanced N to N
 other winners included real estate issues mitsubishi estate which closed at N up N and mitsui real estate development which gained N to N
 steel shares fell back after advancing for three days
 <unk> steel was down N at N kobe steel lost N to N and nippon steel slipped N to N
 mitsubishi <unk> a leading <unk> wednesday fell N to N as investors grabbed profits
 london 's financial times-stock exchange 100-share index finished N points higher at N
 the financial times 30-share index ended N higher at N
 volume continued to ease from the active dealings at the start of the week
 turnover was N million shares compared with N million wednesday
 dealers said the market was <unk> by a squeeze in ft-se N stocks particularly among market-makers seeking shares that had been hit hard in recent weeks such as retailers and <unk> concerns
 but despite the flurry of interest in those shares dealers said the market remains nervous about wall street 's volatility and high u.k. interest rates
 u.k. money supply figures for september released yesterday showed continued growth in corporate and personal lending which will keep pressure on the government to maintain tight credit
 among the stocks featured in the market-makers ' squeeze was sears which closed at N pence $ N a share up N
 general universal stores another <unk> stock hit recently by concerns over retail demand in the face of high interest rates gained N to # N
 <unk> gained N to
 another active ft-se N stock was clothing and furniture retailer burton which gained N to N
 insurers recovered ground again on <unk> demand and speculative buying linked to talk of mergers in the industry before the european community 's planned market unification in
 royal insurance was the sector 's hottest issue ending N higher at N
 sun alliance fell N to close at N and general accident jumped N to # N
 b.a.t industries surged in afternoon dealings after its shareholders approved a plan to <unk> of its u.s. and u.k. retailing operations to fend off <unk> investment 's # N billion $ N billion hostile bid
 with the company also exercising a plan to buy back as many as N N of its shares outstanding b.a.t closed at N up N
 turnover was N million shares including about four million shares traded in the afternoon after the shareholders ' meeting
 b.a.t said it purchased N million shares at N
 in other european markets shares closed sharply higher in stockholm frankfurt zurich and paris and higher in milan amsterdam and brussels
 south african gold stocks closed firmer
 prices also closed higher in singapore sydney taipei wellington hong kong and manila but were lower in seoul
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 the federal response to california 's earthquake crisis was <unk> by <unk> <unk> between the white house and san francisco 's mayor art agnos
 mr. agnos complained that he was <unk> off that vice president dan quayle who <unk> the earthquake site wednesday did n't schedule a private meeting with him
 the mayor said the quayle visit was a publicity <unk>
 the white house said mr. quayle 's staff had invited the mayor to two meetings of the vice president and groups of local officials and had offered to <unk> a helicopter to pick him up
 mr. agnos declined the <unk> the white house said
 marlin fitzwater white house press secretary also asserted that mr. agnos had failed to return telephone calls from john <unk> white house chief of staff
 we regret very much that the mayor of san francisco has decided not to cooperate with us on this matter in making sure that there is adequate federal support for the disaster in his city mr. fitzwater said
 by late yesterday both sides appeared prepared to <unk> the <unk>
 the white house announced that mr. agnos along with the <unk> of oakland and <unk> are to <unk> president bush on a tour of the earthquake area today
 and one white house official reported that mr. agnos had been very helpful in making arrangements for mr. bush 's hastily scheduled trip to california
 gold and silver broker <unk> semel asked a federal court to halt the commodity exchange from imposing a record $ N fine on his firm
 the suit filed in federal court in manhattan also asks that the comex 's nine-month suspension of mr. semel be lifted pending the broker 's appeal of the disciplinary measures
 the fine and suspension announced in august are the <unk> sanctions the comex has ever ordered against one of its members
 the comex accused the <unk> mr. semel of fraudulent conduct and improper trading
 the disciplinary proceedings stem from trading in april N
 mr. semel and his firm semel & co. have appealed the comex decision and the sanctions to the commodity futures trading commission
 the commission denied mr. semel 's request that the fine and suspension be delayed pending the appeal
 the lawsuit states that unless the sanctions are halted pending an appeal the broker and his firm will be <unk> injured and their business will be totally and permanently destroyed
 already the firm has paid $ N of the fine the suit said and it will have to liquidate additional assets in order to pay the rest
 a spokesman for the comex could n't be reached to comment
 the federal national mortgage association said N lenders across the u.s. have agreed to offer home loans under fannie mae 's pilot program for elderly people
 fannie mae a federally chartered and <unk> company said the lenders include prudential home mortgage co. a unit of prudential insurance co. of america that operates in every state
 prudential insurance is based in newark n.j
 fannie mae has agreed to buy as much as $ N million of loans under its seniors ' housing opportunities pilot program which offers four types of loans to people N years of age or older to help them maintain their home or obtain housing
 the loans can be for <unk> apartments for <unk> built in a relative 's yard for <unk> or for <unk> transactions
 fannie mae makes a secondary market in home loans
 it buys loans from lenders packages some into securities for sale to investors and holds the remainder in a portfolio
 robert m. gintel senior partner of a greenwich conn. investment firm said he plans to launch a proxy fight against the board of <unk> xtra corp
 mr. gintel head of gintel & co. said he plans to conduct a proxy contest to <unk> a majority of xtra 's board at the next annual stockholders meeting
 xtra a transportation leasing company said in a statement it would have no comment on mr. gintel 's plans until further information has been disclosed by him
 the company also said its N annual meeting has not been scheduled
 mr. gintel owns N of the company 's N million common shares outstanding
 xtra said it recently bought back approximately N of its shares <unk> to its existing authorization to acquire as many as N shares
 mr. gintel has filed suit in delaware chancery court seeking to block xtra 's anti-takeover <unk>
 in a filing with the securities and exchange commission mr. gintel said xtra has pursued business strategies that are n't in the best interest of stockholders
 stocks and bonds surged on the second anniversary of black monday as a favorable inflation report prompted speculation of lower interest rates
 the dow jones industrials closed up N at N after rising over N points in <unk>
 the rally brought the gain so far this week to about N points
 the dollar finished mixed while gold declined
 consumer prices climbed a moderate N N in september mostly due to higher clothing costs
 energy prices continued to fall at the retail level but economists worried about a big rise in wholesale energy costs
 british airways dropped out of the current bidding for united air 's parent leaving a ual <unk> group without a key partner
 british air 's move raised new questions about the buy-out group 's efforts to revive a stalled bid for ual
 a capital-gains <unk> plan was dropped by senate democrats under pressure from their leadership
 the move is a setback for bush who needs democratic support to pass a capital-gains cut in the senate
 other tax breaks also are likely to be restored or created in the coming months as special interest groups try to undo the N tax overhaul
 many retailers are worried that a price war could <unk> this christmas if <unk> firms such as campeau slash prices to spur sales
 at&t unveiled a sweetened early retirement plan for management that the company hopes will save it $ N million in the next year
 also profit rose N N in the third quarter
 chrysler will idle a toledo assembly plant temporarily due to slowing sales of its profitable jeep cherokee and <unk> sport utility vehicles
 digital equipment 's profit fell N N in the latest quarter prompting forecasts of weaker results ahead
 analysts were troubled by signs of flat u.s. orders at the computer maker
 ibm plans to unveil over N software products on tuesday to try to end some of the problems in <unk> manufacturing operations
 the tv units of paramount and mca are exploring offering prime-time programming to independent stations two nights a week
 bankamerica 's profit jumped N N in the third quarter
 the rapid recovery continued to be fueled by growth in consumer loans higher interest margins and only minor loan losses
 big board short interest fell N N for the month ended oct. N the second decline in a row
 borrowed shares on the amex rose to another record
 bell atlantic posted a strong earnings gain for the third quarter as did southern new england telecommunications
 but nynex pacific telesis and u s west had lower profits
 b.a.t industries won shareholder approval for a defensive restructuring to fend off sir james goldsmith
 american express 's profit climbed N N in the quarter aided by a surge in its travel business and despite a big rise in third world loan reserves
 markets
 stocks volume N shares
 dow jones industrials N up N transportation N up N utilities N up N
 bonds shearson lehman hutton treasury index N up
 commodities dow jones futures index N up N spot index N up N
 dollar N yen up N N marks off N
 computer sciences corp. el <unk> calif. said the national aeronautics and space administration will negotiate details of a contract valued at about $ N million to provide software for the <unk> research center
 included in the three-year contract are options for two one-year <unk>
 nasa awarded the contract to <unk> in november but an appeal by sterling software inc. of dallas sent the contract to the general services administration board of contract appeals and the board required nasa to <unk> bidders ' proposals
 sterling had completed a five-year contract for nasa but lost its bid for renewal
 as directed by the board nasa completed the evaluation and again chose <unk>
 for its fiscal year ended march N <unk> had revenue of $ N billion
 aftershocks rattled northern california amid an earthquake cleanup
 as power and commuters returned to much of downtown san francisco for the first time since tuesday 's temblor in the bay area three strong aftershocks one measuring N on the richter scale jolted the region
 serious injuries or damages were n't reported
 californians meanwhile tried to cope with <unk> services blocked roadways and water shortages in the aftermath of the tremor that left scores dead and injured
 thousands remained homeless
 bush is to visit the area today and officials in washington estimated that emergency assistance would total at least $ N billion
 a series of earthquakes struck northern china killing at least N people <unk> hundreds and <unk> about N homes the <unk> news agency said
 the senate rejected a constitutional amendment sought by bush to prohibit <unk> of the u.s. flag
 while the proposal won a slight majority the N vote was well short of the two-thirds needed to approve changes in the constitution
 it was considered a victory for democratic leaders who favor a law barring flag burning
 the house approved an $ N million aid package for poland and hungary nearly double what bush had requested
 the vote of N sent the measure to the senate
 britain 's chief justice <unk> the murder convictions of four people for irish republican army <unk> that killed seven people in N
 the reversal came after the government conceded that investigators may have <unk> evidence
 the <unk> four three <unk> and an <unk> have been <unk> since N
 the nobel prize in literature was won by <unk> jose cela a spanish writer
 his N novel the family of <unk> <unk> is considered the most popular work of <unk> in spanish since <unk> 's don <unk> was published N years ago
 the swedish academy in stockholm cited the <unk> cela for rich and intensive <unk>
 the editor of pravda was dismissed and succeeded by a <unk> of soviet leader gorbachev
 the action at the communist party daily viewed as the soviet union 's most <unk> newspaper was considered the most significant development in a week of kremlin <unk> over the press including sharp criticism from gorbachev
 east germany 's new leader met with <unk> church officials to discuss a growing opposition movement demanding democratic freedoms
 as they <unk> near east berlin a pro-democracy protest erupted in the <unk> city of <unk> and activists threatened further rallies against leader krenz 's expected hard-line policies
 police in <unk> <unk> an international meeting on human rights <unk> czechoslovakia 's former foreign minister <unk> <unk> and N other activists
 a leading u.s. human-rights monitor also was briefly held
 dissident playwright <unk> <unk> reportedly escaped the crackdown the fourth against activists in recent days
 bush met in washington with spain 's prime minister gonzalez and discussed what the president called the unique role that madrid can play in <unk> democracy in eastern europe and latin america
 gonzalez who pledged to help monitor voting in nicaragua was said to be carrying proposals for free elections in panama
 the galileo spacecraft <unk> <unk> toward the planet jupiter while five <unk> aboard the space shuttle atlantis measured the earth 's ozone layer
 the robot probe was dispatched wednesday by the shuttle crew which is to conduct a series of medical and other experiments before their scheduled landing monday in california
 argentina and britain agreed to resume diplomatic and economic relations seven years after the two nations battled over the <unk> islands
 the announcement in which they said <unk> had <unk> followed a two-day meeting in madrid
 rebel <unk> <unk> the capital of afghanistan killing at least N people as the soviet union was reported to be <unk> arms and food to kabul 's forces
 fighting also was reported around the strategic town of <unk> near the <unk> border
 saudi arabia 's foreign minister met in <unk> with president <unk> to develop a plan for the withdrawal of <unk> 's N troops from lebanon as part of a settlement of that nation 's 14-year-old civil war
 the talks came as <unk> negotiations on political changes appeared <unk>
 gop sen. specter of pennsylvania said he would vote to <unk> federal judge <unk> hastings in his impeachment trial on charges of perjury and bribery conspiracy
 specter the vice chairman of the senate 's evidence panel said there was insufficient evidence to <unk> the miami <unk>
 after slipping on news of a <unk> u.s. inflation figure the dollar rebounded later in the trading day
 the u.s. unit dipped to a session low against the mark just after the release of the u.s. consumer price index
 the report showed that september consumer prices rose just N N a smaller increase than expected
 the market had anticipated a N N rise in the price index
 the september index fueled speculation damaging to the dollar that the federal reserve soon will ease monetary policy further
 but foreign-exchange dealers said the dollar staged a quick comeback prompted by a round of short covering and some fresh buying interest later in the trading day
 traders said that a nearly <unk> gain in the dow jones industrial average fueled in part by news of a lower-than-expected price index had little influence on the dollar 's moves
 the market is beginning to <unk> itself from wall street said one new york trader
 in late new york trading yesterday the dollar was quoted at N marks down from N marks late wednesday and at N yen up from N yen late wednesday
 sterling was quoted at $ N up from $ N late wednesday
 in tokyo friday the u.s. currency opened for trading at N yen up from thursday 's tokyo close of N yen
 some analysts said the consumer price index reflects a more significant slowdown in the u.s. economy than earlier indicated
 they point out that september 's <unk> index showed a N N increase
 they noted that because the consumer price index known as the <unk> is a more comprehensive measure of inflation and is rising less rapidly than the <unk> index or <unk> it could signal further easing by fed
 others suggested however that the fed will hold any changes in monetary policy in check leaving fed funds at around N N N down from the N N level that prevailed from july through september
 kevin <unk> chief economist with the swiss bank corp. said that both <unk> and <unk> climbed around N N N year-to-year in september
 he argued that both <unk> and <unk> have in fact <unk> since spring
 the fed wo n't be <unk> into easing mr. <unk> said predicting that for now interest rates will stay where they are
 a four-day matched <unk> agreement a move to drain liquidity from the system was viewed as a technical move rather than an indication of tightening credit
 market participants note that the mark continues to post <unk> gains against its u.s. counterpart than any other major currency particularly the yen
 there 's a <unk> pit of dollar demand by japanese investors said graham <unk> managing director of foreign exchange at <unk> & shanghai banking corp. in new york adding that <unk> speculative demand would n't hold the dollar at its recent levels against the japanese currency
 mr. <unk> <unk> that the mark remains well bid against other currencies as well
 robert white manager of corporate trading at first interstate of california called the market <unk> <unk> noting that the u.s. remains a <unk> grab bag for japanese investors which accounts for the <unk> demand for u.s. dollars
 on the commodity exchange in new york gold dropped $ N to $ N an ounce in moderate trading
 estimated volume was three million ounces
 in early trading in hong kong friday gold was at about $ N an ounce
 hotel investors trust and its affiliate hotel investors corp. said the companies plan to sell all of the hotels the companies own and operate except for two <unk> in las vegas <unk>
 the hotels and management interests will be sold at an auction said john <unk> president and chief executive officer of the trust and a director of the corporation
 value of the properties and management interests was n't disclosed
 in all the los angeles-based trust plans to sell its interests in N hotels while the corporation will sell its management interests in N of those properties
 excluded from the sale are the interests of the trust and the corporation in two las vegas <unk>
 after completing the sale and paying debts the trust and corporation will consider a number of options including a stock repurchase payment of special dividend or investment in more <unk> properties
 the companies will retain their current regular quarterly dividend of N cents during the sale process mr. <unk> said
 for the first six months the trust and corporation had a net loss of $ N
 <unk> international inc. citing cost-cutting moves and increased sales of its <unk> products and dialysis <unk> posted a N N rise in third-quarter net income on a N N sales boost
 the <unk> ill. medical products and services company posted net of $ N million or N cents a share compared with $ N million or N cents a share a year ago
 sales totaled $ N billion up from $ N billion the previous year
 for the nine-month period <unk> said net rose N N to $ N million or $ N a share from $ N million or N cents a share during the year-ago period
 sales for the nine months were up N N to $ N billion from $ N billion in the same period in N
 in new york stock exchange composite trading <unk> closed at $ N a share down N cents
 a group bidding for american medical international inc. new york said it formally received the final financing needed for a $ N billion bid for about N N of the hospital operator 's stock
 the offer from ima acquisition corp. for as many as N million shares is set to expire wednesday
 earlier this month ima said it had received about $ N billion of senior debt financing from chemical bank and six other banks chemical bank said it was highly confident it could arrange the balance of about $ N million
 in addition the $ N billion bid includes $ N billion of debt that will be assumed by ima $ N million of high-yield junk bonds that will be sold by first boston corp. and $ N million of equity
 in new york stock exchange composite trading yesterday american medical closed at $ N up $ N
 american medical has agreed to the offer but earlier this month said it had received new <unk> of interest from two previous bidders
 american medical said it would pursue the inquiries from the companies but would n't identify them unless they make firm offers
 h&r block is one of the great success stories of u.s. business
 oddly enough this presents a problem for the stock
 some money managers are <unk> with h&r block because they suspect the company 's glory days are past or at least passing
 block 's <unk> business is mature they say and some of its <unk> are facing tough competition
 it 's no secret that block dominates the mass-market <unk> business
 the street knows all about the <unk> of its earnings which are headed for a ninth consecutive yearly increase
 the company has consistently earned more than a N N annual return on its net worth while many companies would be happy with N N
 but the <unk> business simply has no more room to grow says mark <unk> director of research for capital supervisors inc. a chicago firm that manages $ N billion
 you go to any medium-sized town in the u.s. and you 're going to see h&r block tax services
 mr. <unk> 's firm once held about N N of h&r block
 that was before the N tax reform made taxes more complex than ever
 one thing you can bet on he says is that congress will do stupid things with the tax code
 but capital supervisors sold the last of its h&r block holdings earlier this year
 they 're <unk> around for diversification he says
 i think a lot of their businesses are just <unk>
 last week the stock hit an <unk> high of N N before getting <unk> up in the friday-the-13th <unk>
 it closed yesterday at N N
 to be sure the stock still has a lot of fans
 if you invested $ N in the initial public offering in N it would be worth well over $ N million today says <unk> e. russell a <unk> okla. money manager
 i do n't know what the risk is of holding the stock
 taxes are not going out of business
 many of his <unk> feel the same way
 the number of big institutions that own h&r block shares is N and growing according to a midyear tally by <unk> investment technologies
 brokerage houses are sweet on h&r block too
 <unk> investment research counts five brokerage houses that consider the stock a buy and four that call it a hold
 none <unk> say to sell it
 but some money managers are doing just that
 eugene sit president of sit investment associates in minneapolis says when we bought it we thought the growth rate was going to accelerate because of computerized tax filing and instant refunds the customer gets a refund immediately but pays extra to the tax <unk> which <unk> for uncle sam 's check
 but neither of those developments did much to <unk> up growth mr. sit says
 he figures block earnings are now growing at about a N N annual rate down from about N N the past five years and will grow at an N N rate in the future
 that 's not bad mr. sit says but it sure does n't justify block shares being priced at N to N times estimated earnings for fiscal N
 he wants stocks whose <unk> ratio is less than their growth rate as he figures it h&r block does n't even come close
 two other money managers in explaining why they have sold large amounts of h&r block stock this year spoke on the condition they not be named
 the stock was going no place and the earnings were <unk> said one
 in the past two years the stock almost stalled out
 it was above N adjusted for a subsequent split in N and has n't gotten much higher since
 there 's no more growth in the tax business except for increasing prices the money manager added
 the <unk> subsidiary which provides information to <unk> users is where the growth is he said but its format is still too complicated
 <unk> provides about N N of both sales and earnings
 the tax business still provides about N N of earnings on about N N of sales
 personnel pool temporary workers mostly in the health-care area chips in close to N N of sales but only about N N of earnings
 the shortage of nurses is <unk> profit at personnel pool said the second money manager
 he concedes h&r block is <unk> and a great company but says it does n't grow fast enough for us
 we 're looking for something that grows faster and sells at a comparable price-earnings multiple
 thomas m. <unk> president and chief operating officer says i would disagree that the tax business is mature
 for example he says the company is planning to go nationwide with a new service tested in parts of the country aimed at taxpayers who want refunds in a hurry
 mr. <unk> concedes that a recent diversification attempt fell through
 we 're still interested in diversifying he says but we 'd rather be prudent than make a mistake
 he also says <unk> 's earnings continue to grow N N to N N a year in spite of tough competition from giants like sears and ibm
 and he says block 's other businesses are growing although less consistently
 h&r block nyse <unk>
 business tax preparation
 year ended april N N
 revenue $ N million
 net loss $ N million $ N a share
 first quarter july N N
 per-share earnings loss of N cents vs. loss of N cents
 average daily trading volume N shares
 <unk> industries inc. said its board authorized the redemption dec. N of the company 's $ N cumulative convertible special preferred stock at $ N a share not including a N cent dividend for the current quarter and the $ N cumulative convertible preferred stock at $ N plus a N cent dividend for the current quarter
 the dayton ohio maker of parts for the building and transportation industries said holders of the two issues can convert their stock into common shares through the close of business dec. N
 each $ N cumulative share can be converted into N common shares the ratio on the $ N cumulative is eight common shares for each $ N cumulative preferred
 <unk> did n't indicate how many shares outstanding it has of either issue
 company officials could n't be reached
 earlier this month the company said its board approved a proposed management-led leveraged buy-out at $ N a share or $ N million
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 puts and calls stock market <unk> for options to sell or buy a company 's shares were long an <unk> wall street art best left to the experts who used them either as a hedge or for pure speculation
 options lost some of their mystery in N when the chicago board of trade set up a special exchange to deal in them
 until then options had been traded only in the over-the-counter market mostly in new york and in an almost <unk> secondary market operating <unk> by telephone
 the chicago board of trade the no. N u.s. grain market had long <unk> under the attention won by its innovative archrival the <unk> mercantile exchange
 so the men who ran the grain pits <unk> when joseph sullivan a <unk> former wall street journal <unk> offered them the idea of <unk> trading
 after four year of <unk> and $ N million in seed money the board set up the new marketplace titled it the chicago board options exchange and named sullivan its first president
 the <unk> were modest
 the cboe opened for business on april N N in what had been a board of trade <unk>
 it listed just N options to buy a pilot list of stocks on the new york stock exchange
 puts or sell options would not be added until N
 the N members had paid $ N apiece for seats
 the N price $ N
 the first day 's business was N contracts each for N shares of one of the listed stocks
 by the end of N the number of underlying big board stocks had been increased to N and the options exchange had run up volume of N million contracts
 a year later it was N million
 last year more than N traders on the cboe bought and sold N million contracts on N listed stocks N N of all u.s. listed options trading
 the new exchange drew instant recognition from an unwelcome quarter
 the government <unk> against fixed brokerage commissions promptly sued the cboe over its <unk> system
 the nuclear regulatory commission ruled unanimously that the financial troubles facing the seabrook n.h. <unk> plant have no impact on whether the plant receives a <unk> license
 massachusetts attorney general james shannon opposing the license said he will appeal the ruling in federal court
 seabrook officials said the plant could receive a <unk> license by the end of the year
 the <unk> rejected mr. shannon 's argument that public service co. of new hampshire which owns the largest share of seabrook and N other owners are financially unable to guarantee the plant 's safe operation
 mr. shannon was seeking a waiver of <unk> policy that <unk> financial considerations in making licensing decisions
 in its ruling the <unk> said that because seabrook will be allowed to charge rates sufficient to run the plant and make payments on past construction costs consideration of the owners ' financial condition is <unk>
 the commissioners found the circumstances of the case did n't undercut the assurance from government rate <unk> of available funds adequate for safe operation said a commission spokesman
 in january N the utility filed for protection under chapter N of the federal bankruptcy code allowing it to continue to operate while protected from creditors ' lawsuits
 bristol-myers squibb co. new york the newly merged drug and <unk> company reported record third-quarter earnings for both companies in the merger
 bristol-myers co. and squibb corp. princeton n.j. merged oct. N but the new company reported <unk> earnings for both companies
 for the fourth quarter bristol-myers squibb will report one set of earnings
 bristol-myers said net income rose N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 sales gained N N to $ N billion from $ N billion
 squibb corp. said net rose N N to $ N million or $ N a share from $ N million or $ N a share
 sales were $ N million up N N from $ N million
 in new york stock exchange composite trading bristol-myers squibb rose $ N to $ N
 <unk> industries inc. hurt by softness in the u.s. automotive and construction industries said third-quarter net income fell N N to $ N million or N cents a share from $ N million or $ N a share a year ago
 sales were nearly identical to the year-earlier $ N billion
 the drop in earnings did n't surprise analysts who said the pittsburgh glass coatings and chemical concern had been predicting a slow quarter because of the sluggish construction industry a major market for the company 's flat glass
 glass sales to canadian and european auto makers and sales of replacement auto glass in all markets increased
 the <unk> segment also posted higher sales particularly in north america and europe
 but sale increases were offset by <unk> sales in flat glass and <unk> <unk> the company said
 also chemicals sales were slightly down because of lower prices for <unk> <unk> <unk> and other <unk> <unk>
 in new york stock exchange composite trading <unk> closed at $ N a share down N cents
 jefferies group inc. said third-quarter net income fell N N to $ N million or N cents a share from $ N million or N cents a share on more shares a year earlier
 revenue rose N N to $ N million from $ N million
 jefferies a los angeles holding company primarily engaged in securities trading also said stock market declines since the quarter ended sept. N created an <unk> pretax loss of about $ N million in its risk arbitrage account
 for the nine months jefferies said net fell N N to $ N million or $ N a share from $ N million or $ N a share
 revenue fell N N to $ N million from $ N million
 sony corp. new york said its bids for columbia pictures entertainment inc. and guber-peters entertainment co. have been cleared by federal antitrust regulators
 the japanese company said the waiting period under the hart-scott-rodino antitrust act for the $ N billion bid for columbia and the $ N million offer for guber-peters expired monday
 sony has agreed to buy both companies but is in a legal battle with warner communications inc. over the services of producers peter guber and jon peters
 in a filing with the securities and exchange commission sony also said two more suits have been filed opposing the company 's agreement to buy columbia
 sony added that a hearing has been set for thursday in the delaware chancery court in one of the suits
 thursday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 china said the question of taiwan 's membership in the general agreement on tariffs and trade should be considered only after china 's own membership in the <unk> organization is restored
 both china and taiwan are seeking seats in gatt which sponsors <unk> agreements and sets <unk> rules
 as one of china 's provinces taiwan has no right to join gatt on its own foreign ministry spokesman <unk> <unk> said
 china under the <unk> government of <unk> <unk> was a founding member of gatt in N
 the <unk> withdrew in N after their flight to taiwan and the communist government in beijing applied for restoration of china 's membership in july N
 the u.s. has voiced opposition to china 's bid for gatt membership saying china has yet to <unk> needed economic reforms
 japan 's biggest women 's underwear maker <unk> corp. said that it developed a sports car that it plans to market in two years
 the <unk> <unk> can run at over N miles an hour a company spokesman said
 the base price of the car is estimated at N million yen about $ N
 <unk> said it intends to produce the cars through a car manufacturer
 along with the car <unk> plans to launch a series of <unk> men 's underwear
 our image is a company that makes women 's products said a <unk> spokesman
 now we 're going to sell to men
 the british <unk> magazine private eye won an appeal against the size of a $ N libel award to <unk> <unk> the <unk> wife of the <unk> <unk> mass <unk>
 an <unk> panel slashed all but $ N from the award the largest ever set by a british jury pending a <unk> of the damages
 but the panel dismissed the magazine 's <unk> that it had n't <unk> mrs. <unk> when it accused her of trying to sell her story to capitalize on the <unk> of her husband
 private eye had been threatened with <unk> because it could n't afford the libel payment
 <unk> co. a travel agent based in osaka japan announced that it and <unk> <unk> corp. a major japanese trading house will jointly build a <unk> <unk> in <unk> australia
 <unk> said the partners plan to rent to tourists but will also sell to interested parties
 <unk> has a N N stake in the venture and <unk> <unk> has the rest
 construction of the <unk> building will begin next may and should be completed in april N
 units will cost from N to N million australian dollars about us$ N to us$ N million
 the soviet union has halted construction of two <unk> nuclear <unk> and is <unk> the future of N other existing <unk>
 <unk> <unk> vice chairman of the state committee on nuclear safety said the two <unk> were at <unk> and <unk>
 news of the halt comes amid growing anger in the <unk> and <unk> over continuing high levels of radiation from <unk>
 a former vice president of the singapore branch of drexel burnham lambert group inc. was charged in court yesterday on N counts of cheating
 francis <unk> N is alleged to have been involved in cheating drexel burnham lambert of up to N million singapore dollars us$ N million by carrying out unauthorized transactions on the london commodities exchange and the international petroleum exchange
 mr. <unk> is alleged to have used the account of singapore hotel and property <unk> <unk> <unk> seng to effect the transactions
 japan says its economic growth will fall sharply if it cuts back on the use of oil coal and gas to cap emissions of carbon dioxide
 a ministry of international trade and industry official said that a study found that japan 's annual economic growth rate would eventually be only N N if <unk> emissions remained at this year 's level of N million tons
 the study will support arguments against <unk> <unk> emissions that japan will make at a <unk> conference on atmospheric pollution next month
 the study said japan 's <unk> emissions would slightly more than double by N unless the nation reduced its <unk> on fossil fuels
 it said that expanding <unk> capability is the <unk> way to <unk> that <unk>
 but increased reliance on nuclear power would meet stiff opposition from environmentalists a second ministry official said
 just in time for halloween britain 's <unk> university press is publishing a <unk> of <unk>
 the books N <unk> include stepping on cracks and knocking on wood
 in new zealand 's tiny township of <unk> which has had direct dialing for less than a year about N angry <unk> customers questioned the size of their bills
 it turned out their children had been dialing a sex fantasy service in the u.s.
 slowing sales of its profitable jeep cherokee and <unk> sport utility vehicles are forcing chrysler corp. to temporarily idle its toledo ohio assembly plant for the first time since april N
 about N hourly workers will be laid off for a week beginning oct. N and overtime has been eliminated at the plant for the fourth quarter a chrysler spokesman said
 that 's a significant change from earlier this year when the plant worked substantial overtime only to have sales fall short of the company 's bullish expectations
 sales of cherokee the <unk> jeep and the <unk> <unk> were actually up about N N through the end of last month
 but that 's less than chrysler officials had hoped when they set ambitious production schedules for the toledo plant earlier this year
 even when it became clear this spring that demand was n't coming up to expectations chrysler officials resisted cutting output because cherokee and <unk> are very profitable vehicles the spokesman said
 instead chrysler officials in late may <unk> $ N cash rebates on the vehicles including the first such incentives on the popular <unk> cherokee since chrysler bought jeep in N
 the incentives boosted sales for a while but the pace had cooled by last month
 the result chrysler dealers had a bloated <unk> supply of the cherokee as of the end of last month and a <unk> supply of the <unk> pickup which toledo also builds
 a <unk> to <unk> supply is considered normal
 at <unk> <unk> one of the largest jeep dealerships in the country inventories have continued to swell
 steve lowe general manager of <unk> ga. dealership said new rebates of $ N to $ N on the models have <unk> sales but not enough to significantly cut dealer stocks
 if people are n't buying you have to close plants he said
 separately chrysler said it will idle for four weeks the st. louis assembly plant that builds the chrysler <unk> and dodge <unk> models
 chrysler officials said the plant is scheduled to resume production on nov. N and N hourly workers will be affected
 general motors corp. meanwhile said it will idle for yet another week its <unk> n.j. assembly plant bringing to three weeks the total time that plant will be <unk> during october
 gm said the assembly plant which builds the chevrolet corsica and beretta compact cars originally was scheduled to reopen monday but now will not resume production until oct. N
 the shutdown affects N workers and will cut output by about N cars
 sluggish sales of the beretta and corsica spurred gm to offer $ N rebates on those cars
 the corsica and beretta make up the <unk> car line at chevrolet but sales of the cars are off N N for the year and fell a steep N N early this month
 gm has scheduled overtime at its <unk> ohio and <unk> wis. assembly plants which build the chevrolet <unk>
 ford motor co. said it will shut down for one week its kentucky truck plant because of a shortage of dealer orders
 the shutdown will idle N hourly employees and eliminate production of about N medium and heavy duty trucks
 the assembly plant is scheduled to resume production on oct. N
 meanwhile the nine major u.s. auto makers plan to build N cars this week down N N from N a year ago and flat with last week 's N car output
 f includes chevrolet <unk> and toyota <unk>
 r revised
 x <unk> N figure includes <unk> <unk> through july
 lotus development corp. 's net income rose N N in the third quarter from the year-earlier period
 yesterday 's edition misstated the percentage increase
 first fidelity <unk> <unk> n.j. reported a N N drop in third-quarter profit because of a decline in earning assets lower loan volume and tighter interest margins
 the bank holding company posted net income of $ N million or N cents a share including $ N million or three cents a share in one-time tax benefits
 a year earlier net was $ N million or $ N a share
 first fidelity said <unk> assets increased to $ N million sept. N from $ N million june N
 the rise resulted from the transfer to <unk> status of $ N million owed by two national borrowers and one local commercial real-estate customer first fidelity said
 it said it does n't anticipate any loss of principal on two of the loans <unk> $ N million of these credits
 first fidelity said it boosted its loan-loss provision to $ N million from $ N million a year ago primarily because of a weaker real-estate sector in the region
 viacom inc. 's loss narrowed to $ N million in the third quarter from $ N million a year ago
 thursday 's edition misstated the narrowing
 coastal corp. said it signed a definitive agreement with <unk> to <unk> a <unk> oil refinery
 coastal would n't disclose the terms
 coastal a houston oil and gas company said it expects to begin operations in october N
 the company said it may install additional processing units at the refinery to produce higher <unk> <unk> and other products
 the company said it was leasing the site of the refinery from <unk>
 exxon corp. built the plant but closed it in N and sold off much of the equipment to <unk> contractors from whom coastal bought back much of the equipment
 a coastal spokesman said the biggest expense will be to <unk> the refinery but would n't say how much that would be
 the prime minister of <unk> has said it could cost around $ N million
 coastal said the refinery 's expected daily production will include N barrels of jet fuel N barrels of <unk> diesel fuel N barrels of <unk> N barrels of <unk> fuel oil N barrels of <unk> and N barrels of <unk> <unk> <unk> <unk>
 loral corp. said fiscal second-quarter net income was $ N million or N cents a share compared with year-earlier earnings from continuing operations of $ N million or N cents a share
 year-earlier net of $ N million or N cents a share included the results of loral 's former aircraft <unk> systems and engineered <unk> divisions which were sold april N to the company 's chairman bernard l. schwartz
 the defense electronics concern attributed the operating improvement to higher profit margins and lower net interest expense
 loral also reported that its bookings more than doubled to $ N million in the quarter ended sept. N from $ N million in the <unk> period
 the increase was due mainly to a $ N million order from turkey to <unk> its fleet of <unk> <unk> with loral 's <unk> <unk> iii electronic <unk> system
 the order is the biggest in the company 's history
 sales in the latest period edged up to $ N million from $ N million
 mr. schwartz said the recent increase in orders puts us well on the way to our goal of $ N billion in bookings for the year
 he added i expect to see the earnings momentum we experienced this quarter continue for the rest of the year
 loral said it expects sales to accelerate in both the third and fourth quarters of this fiscal year
 loral 's profit from continuing operations for the first six months of fiscal N was $ N million or $ N a share up N N from $ N million or $ N a share a year earlier
 net income fell N N to $ N million or $ N a share from $ N million or $ N a share
 fiscal first-half sales slipped N N to $ N million from $ N million
 bookings for the first half totaled $ N million compared with the $ N million recorded last year
 in new york stock exchange composite trading loral closed at $ N down N cents
 healthvest said two of its lenders have given it <unk> of default on bank loans and said they may take actions to recover their loans
 healthvest an austin texas real estate investment trust said that chemical bank the lead bank under its domestic bank agreement told it that if $ N million owed to the bank group is n't paid by today the group will call the $ N million that healthvest has outstanding under the credit line
 the bank group also said that it wo n't make additional advances under the $ N million credit line
 healthvest missed a payment to the group that was due in late september
 in addition healthvest said bank of tokyo trust co. also has notified it of a default and said it might take action to cure the default
 healthvest missed an interest payment to bank of tokyo on oct. N
 however healthvest said the tokyo bank indicated that it wo n't accelerate healthvest 's $ N million loan
 healthvest is in a severe liquidity <unk> because its affiliate healthcare international inc. has failed to make about $ N million in principal and interest payments owed since august
 healthcare operates many of the health-care properties that healthvest owns
 empire pencil later called <unk> developed the plastic pencil in N
 yesterday 's centennial journal misstated the company 's name
 storage technology corp. had net income of $ N million or N cents a share for its <unk> quarter ended sept. N almost N times the $ N or two cents a share it posted for the year-ago period
 storage louisville colo. which makes <unk> devices for mainframe computers said the huge increase in net reflects strong sales of its tape products particularly the N automated <unk> system which holds a library of tape <unk>
 the company said it recently sold its <unk> <unk> system which cost $ N to $ N each
 quarter revenue was $ N million up N N from $ N million last year
 the stock market reacted strongly to the news
 storage rose $ N a share to close at $ N in new york stock exchange composite trading
 for the nine months storage had net of $ N million or N cents a share including an $ N million extraordinary gain for the anticipated proceeds from <unk> an irish unit
 net was up N N from $ N million or N cents a share last year
 revenue for the latest period was up N N to $ N million from $ N million
 a canadian government agency <unk> approved proposed exports to the u.s. of natural gas from big <unk> fields in the mackenzie river delta area of the western canadian arctic
 three companies esso resources canada ltd. shell canada ltd. and gulf canada resources ltd. applied to the canadian national energy board to export N trillion cubic feet of mackenzie delta natural gas over N years starting in N
 to be economically <unk> the N billion canadian dollar us$ N billion project requires almost a doubling of natural gas export prices
 it also faces numerous other hurdles including an agreement on a pipeline route for the gas
 the board said the export licenses would be issued on the condition that canadian interests would also be allowed to bid for the mackenzie delta gas on terms similar to those offered to u.s. customers
 u.s. buyers have already been lined up
 they include enron corp. texas eastern corp. pacific interstate transmission co. and tennessee gas pipeline co
 the project could result in the u.s. taking more than N N of its natural gas supplies from canada up from about N N currently
 it would bring N gas fields into production at a combined rate of about N billion cubic feet a day
 the board estimated that the cost of building a pipeline from the mackenzie delta to alberta would be about c$ N million
 it also said projections of surging u.s. demand for natural gas and price forecasts of c$ N per thousand cubic feet by N would make the project economically viable
 esso a unit of imperial oil ltd. which is <unk> by exxon corp. will be allowed to export N trillion cubic feet to the u.s. in the 20-year period
 shell a subsidiary of royal <unk> group will be allowed to export N trillion cubic feet and gulf a unit of olympia & york developments ltd. will be allowed to export N trillion cubic feet
 combustion engineering inc. stamford conn. said it sold and agreed to sell several investments and <unk> businesses for about $ N million which will be used for reducing debt and general purposes
 the transactions are unrelated
 the company agreed to sell its minority investments in makers of <unk> and related equipment stein <unk> and <unk> & <unk> to the major shareholder in the companies <unk> <unk> <unk> n.v
 combustion engineering which provides engineered products systems and services for power generation also sold illinois minerals co. based in cairo ill
 that unit of its georgia <unk> co. subsidiary was sold to a unit of <unk> corp
 assets of construction equipment international houston were sold to <unk> crane inc. and the assets of <unk> electronics <unk> pa. were sold to closely held charter technologies inc
 where do americans put their money
 it depends on when you look
 in N for instance less than N N of assets went into bank deposits
 that rose to nearly N N during the depression and has n't changed much since
 pension reserves on the other hand made up a relatively small part of household assets until the last decade when they skyrocketed
 and there has been a drastic decline in the importance of <unk> business assets thanks to industry consolidation and a decline in family farms
 that 's some of what emerges from the following charts which show how americans have changed their investment patterns over the past N years
 some results are <unk>
 but other figures are surprising
 housing for instance has remained a fairly steady component of household assets over the past decade although common wisdom would have expected an increase
 there is a lot of attention paid to housing as a form of household wealth says edward n. <unk> professor of economics at new york university
 but it has n't increased much relative to other assets
 it suggests that households <unk> wealth across a broad spectrum of assets
 and housing though it appears in the popular mind as being the major growing household asset is n't
 in addition investors ' desire to hold stocks directly and through mutual funds has held surprisingly steady stocks ' importance among assets largely reflects the ups and <unk> of the stock market and not a shift in <unk> preferences
 stocks have not spread to the general public despite the fact that the environment is much different concludes robert avery an economist at cornell university
 to me it says that despite all the views that we spend too much of our wealth on paper assets we have ways of holding wealth similar to N years ago
 the charts show how <unk> assets have been distributed over time
 the main components of the various <unk> categories housing primary home but not the land it 's on
 land and other real estate land on which primary home is built investment property
 consumer <unk> automobiles appliances furniture
 bank deposits currency <unk> deposits small savings and time deposits certificates of deposits money-market fund shares
 bonds <unk> bond funds
 <unk> funds stocks and mutual funds other than money-market funds
 <unk> business partnerships and sole <unk> professional corporations
 pension reserves holdings by pension funds
 mccaw cellular communications inc. said it sent a letter to lin broadcasting corp. <unk> its revised tender offer for lin and asking lin to conduct a fair auction
 the letter apparently came in response to a request for <unk> by lin earlier this week
 lin which has agreed with bellsouth corp. to merge their <unk> businesses said then that it would n't take a position on mccaw 's revised tender offer
 earlier this month mccaw revised its offer to $ N a share for N million lin shares
 mccaw is seeking N N of the cellular and broadcasting concern the revised offer includes a feature requiring mccaw to begin an auction process in july N that would buy out remaining holders at a per-share price roughly equivalent to what a third party might then have to pay for all of lin
 the letter <unk> broad powers for an independent group of directors provided for in the revised offer
 in a statement craig o. mccaw chairman and chief executive officer of mccaw said we trust lin will take no further actions that favor bellsouth
 mccaw said the three independent directors provided for in the offer would be designated by the current board
 the <unk> would be <unk> by the independent directors
 lin would have a priority right to pursue all opportunities to acquire u.s. cellular interests in markets other than those in which mccaw holds an interest or which are <unk> to those markets unless lin has an interest there or <unk> to it
 independent directors would have veto rights to any acquisition if they unanimously decide it is n't in lin 's best interest
 independent directors would be able to block transactions they unanimously <unk> would be likely to depress the private market value of lin at the time it is to be sold in five years
 if lin is put up for sale rather than purchased by mccaw in five years mccaw wo n't submit a bid unless the independent directors request it and the independent directors will run the bidding
 the directors would be able to sell particular assets to enable such buyers as the regional bell operating companies to purchase the company 's interests
 mca inc. said third-quarter net fell N N to $ N million or N cents a share from $ N million or N cents a share a year earlier
 mca said revenue rose N N to $ N million from $ N million
 the entertainment concern said the success of several movies released during the quarter including <unk> and uncle buck contributed to record revenue for its film unit
 both mca 's <unk> and <unk> units also posted record revenue and operating profit
 the parent company 's net included a loss which it did n't specify that was related to the company 's N N stake in cineplex odeon corp
 cineplex a toronto theater chain had a second-quarter net loss of $ N million
 mca said net also included certain reserves related to the restructuring of its <unk> toys ' international operations
 these items were partly offset mca said by an unspecified gain on the sale of its miller international unit a maker and distributor of <unk> audio <unk>
 in new york stock exchange composite trading mca rose $ N to $ N
 in the nine months net rose N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 revenue increased N N to $ N billion from $ N billion
 past due <unk>
 i never pay my bills till the very last day i lose far less interest by proceeding that way
 but it all <unk> out it 's so easy to see not till the last moment am i paid what 's due me
 arnold j. <unk>
 <unk> <unk>
 the <unk> <unk> <unk> had strict <unk> views on sex and that is why you only see him <unk> in the museum
 laurence w. thomas
 helmsley enterprises inc. plans to close its company-owned insurance business and is seeking other brokers to take over its policies according to individuals familiar with the new york firm
 helmsley enterprises is the <unk> organization for companies controlled by harry b. helmsley
 these include office and residential real estate giant <unk> inc. and helmsley hotels
 the insurance brokerage agency just a <unk> of helmsley 's vast empire would be the first piece of the company to be stripped away since last summer when mr. helmsley 's wife <unk> helmsley was found guilty of tax evasion
 industry sources estimate the agency brokers property and casualty premiums worth about $ N million annually and has revenue based on a standard N N commission rate of about $ N million
 the insurance firm acts as a broker on policies covering buildings managed by <unk> and others
 many of the properties are owned through limited partnerships controlled by mr. helmsley
 new york state law prohibits insurance <unk> from <unk> more than N N of revenue from <unk> affiliated companies
 helmsley 's insurance division had slightly exceeded that percentage sources say but the division was n't considered significant enough to the company to be restructured particularly at a difficult time for the firm
 adverse publicity from the scandal surrounding its founder 's wife and related management <unk> have put pressure on the entire helmsley organization
 however individuals close to the company insist <unk> the insurance division a sideline from the company 's core property management business is n't the beginning of a sale of assets
 helmsley 's insurance premiums are expected to be transferred to several different insurance brokerage companies
 frank b. hall inc. of <unk> <unk> n.y. is reportedly working out an agreement with helmsley
 officials there declined to comment as did helmsley management
 outside the <unk> headquarters of the <unk> society of orange workers all seems normal in south africa 's <unk> society
 a pickup truck driven by a white farmer <unk> past with a load of black workers <unk> in the back
 over at <unk> the general store a black stock boy <unk> to help an elderly white woman with her packages
 down the street a car pulls into the shell station and is surrounded by black attendants
 but inside the white walls of the orange workers ' office just about the largest building in town save for the dutch <unk> church and the school south africa 's neat racial order is <unk>
 a dozen white office workers <unk> newsletters and stuff them into <unk>
 white women serve tea and coffee and then wash the <unk> and <unk> <unk>
 white children empty the <unk> baskets and <unk> the windows
 there is n't a black worker in sight
 not in the kitchen or the <unk> or the book shop
 if we want to have our own nation then we must be willing to do all the work ourselves says <unk> verwoerd jr. son of the former prime minister and the leader of the orange workers founded in N
 they do indeed want their own nation
 the <unk> of apartheid may be <unk> in the rest of south africa with <unk> opening its public facilities to all races blacks <unk> the <unk> <unk> of the <unk> and the government <unk> seven leaders of the banned african national congress
 but here in morgenzon a <unk> town amid the corn fields of the eastern <unk> the orange workers are holding the <unk> steady
 the orange workers who take their name from william of orange of the netherlands a hero of the <unk> <unk> believe that the solution to south africa 's racial problems is n't the <unk> of apartheid it 's the <unk> of apartheid complete and total separation of the races
 here then is where the orange workers have come to make apartheid 's last stand
 their idea is to create a city first and then an entire nation without blacks
 this may seem to be a <unk> and utterly <unk> effort in africa
 and the fact that there are only N <unk> orange workers may put them on the <unk> <unk>
 but their ideal of an <unk> <unk> an <unk> reserve to be <unk> out of <unk> south africa is a mainstream desire of the <unk> which <unk> about one-third of the country 's five million whites
 <unk> <unk> and <unk> have long <unk> on the need for a white <unk>
 the orange workers are just putting this <unk> into practice
 thus farmer <unk> <unk> his <unk> and jeans covered in <unk> <unk> around under his <unk> tightening <unk> and <unk> <unk>
 on almost every other farm in south africa black workers do the repairs
 but not here
 mr. <unk> <unk> his own fields <unk> his own corn and <unk> and feeds his own sheep
 over at the <unk> factory four white workers <unk> water tanks on their own and in their spare time they build <unk> across the road
 on main street <unk> verwoerd and her daughters look after the clothes and fabric shop then hurry home to fix lunch for the rest of the family
 down by the stream a group of orange workers puts the finishing <unk> on a golf course
 if whites want to play there by themselves says consulting engineer <unk> van <unk> whites should also build it by themselves
 if we want to survive as a people he says we have to change our way of life
 the <unk> must end his reliance on others
 in their <unk> to perfect apartheid the orange workers have discovered a truth that most of <unk> white south africa tries <unk> to deny the master ca n't become dependent on the <unk> and expect to remain master forever
 if apartheid means you want cheap black labor and all the <unk> that go with it but you also want to exclude the blacks from social and political integration then these are two <unk> that ca n't go on forever says mr. verwoerd
 he is sitting in his living room beneath a huge portrait of his late father <unk> f. verwoerd apartheid 's architect and south african prime minister from N to N
 somewhere the son <unk> things went <unk> wrong with apartheid today whites even rely on blacks to police their separation
 people took separate development as an opportunity to use black labor without ever getting rid of it
 but my father meant it to mean real separation says the son
 the orange workers speak <unk>
 we agree with world opinion that the status <unk> in south africa is morally wrong says <unk> <unk> the orange workers ' chief <unk> and <unk>
 we must either integrate <unk> or <unk> <unk>
 morgenzon has long been a special <unk> of <unk>
 according to mr. verwoerd the early <unk> <unk> were the first people to settle in the eastern <unk> even before the blacks
 then when morgenzon was incorporated in N the farmer who owned the land <unk> that only whites could <unk> in town blacks could work there but they had to leave at night
 today morgenzon is a town of N whites and two <unk> roads
 <unk> push up through the cracks in the <unk> and many houses and <unk> are empty
 there are few factories and no mines
 it was an ideal place for the orange workers to start their new nation <unk> by the <unk> that have undermined apartheid elsewhere in south africa
 so far about N orange workers have moved here spending nearly $ N million buying up property over the past three years
 still complete and total <unk> remains <unk>
 just beyond the city limits is a <unk> of N blacks who are employed throughout the area
 despite the orange workers ' intention to put them all out of work they are in no hurry to leave
 a young man called july that 's when he was born who works at the railroad station just up the street from the orange workers office points at the <unk> building and says <unk> we 're not allowed in there that 's all i know
 the <unk> local whites who are n't orange workers are more troubled
 try as they might they just ca n't <unk> of life without black workers
 impossible impossible say the <unk> an elderly couple who have run the general store for decades
 we ca n't do without their help says mrs. <unk>
 oh no
 we need them and i <unk> god for them
 over at the shell station owner <unk> van <unk> who <unk> as morgenzon 's mayor worries that the orange workers have made his town the <unk> of the nation
 what they want us to do just is n't practical he says noting that he employs N blacks
 i could n't afford to hire N whites
 the only <unk> who would be willing to work for this salary would n't know how to handle money
 back at the verwoerd house <unk> sr. <unk> down over the shoulder of <unk> jr
 the son believes that when the <unk> finally realize there is no turning back the integration of south african society and politics morgenzon will boom
 we urge our people not to wait until they have to fight for their own nation says mr. verwoerd
 by <unk> a place now we make ourselves a power any new government will have to take into account
 <unk> he compares the orange workers to the anc which his father outlawed in N
 the anc wo n't be stopped until there is a provision for black aspirations says mr. verwoerd
 likewise no government will stop this idea of the <unk>
 he <unk> for <unk> <unk>
 look he says if the rest of south africa wants to have an integrated <unk> pot that 's their choice
 we 'll leave them alone
 we just want to have our own cup of tea
 and they will even serve it themselves
 <unk> now you can pick up that phone
 but do n't do anything rash
 after last friday 's stock-market plunge investment professionals cautioned people to resist the urge to call their brokers and sell stocks
 not selling into a panic turned out to be very good advice despite the market 's volatility the dow jones industrial average has surged N points in the past four days
 now with a <unk> of <unk> returning some advisers say it 's time for investors to take a hard cold look at the stocks they own and consider some careful <unk>
 the market is sending nervous signals says peter j. <unk> chief market strategist for bear stearns & co. and it 's <unk> to be <unk> to stocks
 alan <unk> president of <unk> capital management a los angeles <unk> firm adds that in periods of uncertainty like today it 's a good time to cut out the dead branches of your portfolio
 not everybody agrees that it 's time to trim
 we are n't inclined to <unk> stock portfolios now says steven g. einhorn chairman of the investment policy committee of goldman sachs & co
 investors should stay with their stocks
 we expect a <unk> and sloppy market for a short period but we do n't think it will be <unk>
 the downside is limited
 and even those who say some selective selling may be in order stress that individuals need to be in the stock market to achieve their long-term investment objectives and to help balance their other assets
 any selling they say should be well <unk> and executed gradually during market rallies
 they offer these suggestions
 get rid of the dogs
 sell stocks that are n't doing well now and that do n't have good earnings prospects says alfred goldman technical analyst at st. <unk> a.g. edwards & sons
 most people do just the opposite they sell their winners and keep their losers
 which types of stocks are most likely to qualify
 technology stocks says mr. goldman
 watch for earnings disappointments
 a company does n't have to post a loss to be a candidate for sale says charles i. <unk> jr. chief market strategist at merrill lynch & co
 if earnings do n't live up to analysts ' expectations he says that 's enough to dump the stock
 john <unk> director of research for the american association of individual investors raises a <unk> note
 <unk> a rule of <unk> for your own judgment can be a mistake he says
 an earnings disappointment may reflect a situation that 's short-term
 but mr. <unk> says the risk is that earnings disappointments will continue
 the economy is <unk> after six good years and right now it 's better to shoot first and ask questions later
 which types of stocks currently have the greatest earnings risks
 computer companies commodity cyclical stocks like autos and retailing stocks he says
 <unk> of heavy debt
 the companies apt to run into earnings problems <unk> are the ones with heavy debt <unk> says larry <unk> partner in the san mateo calif. <unk> firm of <unk> <unk> & kaiser
 mr. <unk> of bear stearns agrees if we do have an economic slowdown he says companies with high debt ratios will be dumped en <unk>
 the best course for individual investors is to sell these stocks now the two advisers say
 sell <unk> stocks
 ual corp. 's difficulty in obtaining bank financing for its leveraged buy-out and its resulting price plunge is a <unk> to what 's going to happen to takeover stocks says mr. <unk>
 takeover activity will slow down as more and more banks tighten their lending requirements he says
 there 'll be fewer and fewer deals
 moreover many financial advisers say individuals should be in the stock market as long-term investors not as traders trying to catch the next hot stock
 in general they say avoid takeover stocks
 compare <unk> ratios with prospects
 mr. <unk> suggests that investors compare <unk> ratios the price of a share of stock divided by a company 's per-share earnings for a 12-month period with projected growth rates
 if you think earnings will grow at N N a year it 's all right to pay N times earnings he says
 but do n't pay N times earnings for a company that 's expected to grow at N N a year
 mr. <unk> thinks the market will probably go higher but will be <unk> with stocks if the earnings are n't there
 mr. <unk> <unk> that investors should n't <unk> follow any specific <unk> sell trigger
 if you say sell anytime a company 's <unk> ratio exceeds N that <unk> out all your growth stocks he says
 you eliminate companies with substantial prospects that are moving up in price
 examine what has changed
 tom <unk> market analyst at a.g. edwards & sons inc. says investors should consider selling if there has been a fundamental change in a company since they bought its stock
 say you purchased a stock because of a new product that was in the works
 now because of various difficulties the product has been scrapped
 time to sell says mr. <unk>
 similarly he says <unk> you were attracted to a company because of expectations that sales would hit $ N million by N
 if things have n't worked out that well and sales wo n't hit $ N million until N it 's time to consider selling he says
 usx corp. declined a united steelworkers request for a <unk> of its four-year labor contract that is due to expire jan. N N
 the union on oct. N requested that the contract be reopened to restore all pay and benefits that the union gave up in the N and N <unk> of bargaining
 a united steelworkers <unk> said lynn williams the union 's president was out of town
 the union wo n't respond to the usx statement until mr. williams has studied it the spokesman said
 robert a. <unk> chief financial officer and a director of this natural-gas pipeline company was elected to the additional position of executive vice president
 in addition michael w. <unk> executive vice president of a columbia unit was named assistant chief financial officer and a senior vice president of the parent company
 the appointments take effect nov. N
 both men are N years old
 this magazine and book publisher said three men were elected directors increasing the board to N
 they are james r. <unk> N years old and chairman and chief executive officer of <unk> international inc. robert g. schwartz N chairman president and chief executive officer of metropolitan life insurance co. and walter v. <unk> N chairman and chief executive officer of chemical banking corp
 bankamerica corp. reported a N N jump in third-quarter earnings as its <unk> recovery from nearly <unk> losses several years ago continued to be fueled by growth in consumer loans higher interest margins and negligible loan losses
 for the quarter bankamerica said it earned $ N million or $ N a share compared with $ N million or N cents a share a year earlier
 bankamerica spokesmen said preliminary reports indicate the company was n't <unk> affected by the tuesday earthquake
 all but eight of the N branches which had some structural damage reopened yesterday for business
 automated teller machine operations also were up and operating yesterday a bank spokesman said
 for the first time in nearly two years bankamerica results failed to improve in consecutive quarters but the decline from the second quarter was attributable to special factors
 third-quarter profit was N N below the $ N million or $ N a share earned in the N second quarter
 the company cited higher tax credits in the second quarter totaling $ N million compared with $ N million in the third quarter
 excluding tax credits profit was N N below the second quarter
 but that drop was caused entirely by a decline in brazilian interest paid to $ N million from $ N million the second quarter
 moreover bankamerica continued to build its reserve against troubled foreign loans by boosting its loan-loss provision to $ N million about the same as the previous quarter but well above the $ N million in the year-earlier quarter
 the provision rate was far above bankamerica 's actual net credit losses of $ N million in the third quarter compared with $ N million in the second period and $ N million a year earlier
 as a result bankamerica said its reserve against troubled <unk> loans once below N N now amounts to N N of the $ N billion of <unk> debt it <unk> it is owed by those nations
 that level is about the same as some other big banks but far below the N N and N N reserves of bankers trust new york corp. and j.p. morgan & co. respectively
 by any measure third-quarter earnings were still robust equivalent to a N N return on assets even excluding tax credits
 by that key measure of operating efficiency bankamerica turned in a better performance than its <unk> los angeles-based competitor security pacific corp. which posted a N N return in the third quarter
 but it continued to badly trail its san francisco neighbor wells fargo & co. which reported an extraordinary N N return on assets
 both returns do n't include any tax credits
 they bankamerica continue to show good performance said donald k. <unk> an analyst with <unk> <unk> & woods inc. san francisco
 in composite trading yesterday on the new york stock exchange bankamerica common stock edged up N cents to close at $ N a share
 shareholder equity improved to N N from N N in the previous quarter
 the N N net interest margin or the difference between the yield on a bank 's investments and the rate it pays for deposits and other borrowings was still <unk> higher than the N N ratio a year earlier and is among the best in the industry analysts said
 the high margin partly stems from continued strong growth in <unk> consumer loans which jumped N N to $ N billion from a year earlier and residential mortgages which rose N N to $ N billion
 bankamerica 's total loans rose N N to $ N billion
 for the nine months bankamerica profit soared N N to $ N million or $ N a share from $ N million or $ N a share
 international business machines corp. will announce on tuesday a slew of software products aimed at eliminating some of the major problems involved in <unk> manufacturing operations industry executives said
 many plant floors currently resemble a tower of <unk> with computers robots and machine tools that generally speak their own language and have trouble talking to each other
 as a result if a problem develops on a production line it is unlikely some supervisor sitting in front of a personal computer or workstation will know about it or be able to correct it
 so ibm will be announcing more than N products that will be aimed at letting even the <unk> machine tool talk to the <unk> mainframe or anything in between
 in an unusual display of openness ibm also will be helping customers tie together operations that include lots of equipment made by ibm 's competitors
 in addition the executives said ibm will be offering programming tools designed to let anyone working on a factory floor write <unk> software for instance to do statistical analysis that would pinpoint a problem on a manufacturing line
 in armonk n.y. an ibm spokeswoman confirmed that ibm executives will be announcing some <unk> plans next week but declined to elaborate
 the industry executives said that as usual with such broad announcements from ibm this one will be part reality and part strategy
 so it will take many quarters for ibm to roll out all the products that customers need and it will take years for customers to integrate the products into their operations
 also as usual the products will appeal mostly to heavy users of ibm equipment at least initially
 still consultants and industry executives said the products could help make manufacturing operations more efficient and provide a boost to the <unk> market a market that yankee group a research firm has said may double to $ N billion by N
 this is a step in the right direction said martin <unk> a yankee group analyst
 he added though that a lot of this is intentions
 we 'll have to wait and see how the plan develops
 the announcements also should help ibm go on the offensive against digital equipment corp. on the plant floor
 while ibm has traditionally dominated the market for computers on the business side of manufacturing operations and has done well in the market for design tools digital has dominated computerized manufacturing
 hewlett-packard co. also has begun to gain share in the whole <unk> arena
 ibm will face an <unk> climb against digital given digital 's reputation for being better than ibm at <unk> together different manufacturers ' computers
 in addition hewlett-packard while a much smaller player has made a big commitment to the sorts of industry standards that facilitate those <unk> and could give ibm some problems
 both can be expected to go after the market aggressively gartner group inc. a research firm estimated the digital gets N N of its revenue from the manufacturing market and hewlett-packard gets N N
 ibm which gartner group said generates N N of its revenue in this market should be able to take advantage of its loyal following among buyers of equipment
 that is because many companies will <unk> on certain types of equipment as the various parts of the manufacturing market merge and ibm is the biggest player
 but much will depend on how quickly ibm can move
 the whole idea of <unk> manufacturing <unk> seems to be making a comeback after losing a little <unk> over the past couple of years when it became apparent that it was n't a <unk> that would make u.s. plants more efficient and <unk> foreign competition
 <unk> <unk> a gartner group analyst said <unk> changes may still be required to really take advantage of <unk> 's <unk> someone on the shop floor may not like having someone in an office using a personal computer to look over his shoulder for instance and may be able to prevent that from happening
 but he said a system such as ibm 's should help significantly
 in making polyethylene sheets out of plastic chips for instance a chip sometimes does n't <unk> gets caught in the machinery and creates a run in the sheets
 that can be expensive because the problem may not be noticed for a while and the sheets are typically thrown away
 but mr. <unk> said that if computers can be integrated into the process they could alert an operator as soon as the problem occurred
 they could also check through the orders on file to find a customer that was willing to accept a lower grade of polyethylene
 the computer would let the machine run just until that order was filled eliminating waste
 this sort of improved link figures to eventually become a significant weapon for some companies
 companies might be able to tell salespeople daily for instance about idle equipment so they could offer discounts on whatever that equipment produces
 salespeople also could get a precise reading on when products could be delivered in much the same way that federal express has marketed its ability to tell exactly where a package is in the delivery system
 ford motor co. 's merkur the company 's first new car franchise in the u.s. since the <unk> was unveiled in N now will share <unk> 's fate
 ford said yesterday it will halt imports of the merkur scorpio a $ N luxury sedan built by ford of europe in west germany
 the cars are sold under a separate franchise with its own sign in front of <unk> dealers as opposed to new models such as <unk> or <unk> which are sold under existing ford divisions
 the move to halt imports announced N years and N months to the day after henry ford ii declared that the <unk> division and its <unk> car would be scrapped <unk> the four-year-old merkur brand in the u.s. market
 it will continue to be sold in the european market
 merkur 's death is n't nearly as costly to ford as was the <unk> debacle because merkur was a relatively <unk> project with limited sales goals
 still merkur 's demise is a setback for ford at a time when the company 's image as the u.s. auto maker with the golden touch is showing signs of strain
 the no. N auto maker 's new <unk> and mercury <unk> models have n't met sales expectations in the year since they were introduced and ford 's trucks are losing ground to their gm rivals
 this fall ford introduced only one new product a <unk> version of its <unk> lincoln town car luxury model
 the demise of merkur <unk> <unk> comes after a september in which N merkur dealers managed to sell only N <unk>
 total merkur sales for the first nine months dropped N N from a year ago to just N cars
 merkur is n't the only european luxury brand having problems in the u.s.
 the japanese assault on the luxury market is rapidly <unk> such european makes as <unk> and saab which at least have clear brand images
 merkur as an import on domestic car lots suffered from the same sort of image confusion that is <unk> sales of imports at general motors corp. and chrysler corp
 merkur was originally aimed at <unk> into <unk> dealerships the kind of young affluent buyers who would n't be caught dead in a town car a vehicle so <unk> that ford is staging a press event next month linking the town car 's launch to the <unk> of a new aircraft carrier in norfolk va
 but the brand had trouble from the start
 the first merkur the <unk> went on sale in early N
 the <unk> <unk> <unk> in part because american buyers did n't go for the car 's unusual <unk> rear <unk>
 in may N ford began importing the scorpio sedan from west germany to sell next to a <unk> <unk> in <unk>
 ford officials said they expected the two <unk> would sell about N cars a year and in N they reached that goal as sales hit N cars
 it was <unk> from there however
 one major factor was the decline of the dollar against the mark which began less than a year after merkur 's N launch
 as the west german currency rose so did merkur prices
 the merkur cars also suffered from <unk> quality some dealers say
 it was like a comedy of errors says martin j. <unk> <unk> a big dealer whose star <unk> operation in <unk> mich. sold more <unk> 's than any other dealership
 but by the third quarter of N <unk> had a high satisfaction rating in internal ford studies a spokesman said
 apparently however the improvement came too late
 last fall ford announced it would <unk> the <unk> in the u.s. at the end of the N model year
 ford said then it would keep the scorpio
 this year scorpio sales plummeted and at the current sales pace it would take ford N days to sell off the current scorpio inventory of about N cars
 canadian pacific ltd. said it proposed acquiring the N N of soo line corp. it does n't already own for $ N a share or about $ N million after failing to find a buyer for its majority stake earlier this year
 soo line said its board appointed a special committee of independent directors to study the proposal
 the troubled <unk> railroad concern said the committee has the authority to hire financial and legal advisers to assist it
 the proposed acquisition will be subject to approval by the interstate commerce commission soo line said
 in new york stock exchange composite trading yesterday soo line shares jumped well above the proposed price closing at $ N up $ N
 canadian pacific put its N N stake in soo line up for sale last year but could n't find any <unk>
 canadian pacific which has interests in transportation telecommunications forest products energy and real estate finally took its majority block off the market this spring
 it turned out we could n't sell it a canadian pacific official said adding that acquiring the remainder of soo line is now the best way to <unk> operations
 canadian pacific is soo line 's biggest customer and has owned a majority stake in the u.s. railroad since N
 canadian pacific and soo line tracks <unk> at two points in the west on the <unk> border and the two companies operate a very successful <unk> rail service
 separately for the first nine months soo line reported a loss of $ N or four cents a share compared with net income of $ N million or $ N a share a year earlier
 revenue fell N N to $ N million from $ N million
 the company had a loss from operations of $ N million
 golden nugget inc. reported a third-quarter net loss of $ N million or N cents a share based on N million common shares and <unk> equivalents outstanding
 the results compare with a year-earlier net loss of $ N million or seven cents a share based on N million common and <unk> equivalents outstanding
 operating revenue rose N N to $ N million from $ N million a year ago
 results for the latest quarter include <unk> items of $ N million <unk> $ N million a year earlier
 most of the expenses stem from the company 's huge mirage <unk> scheduled to open next month along the strip and an april N financing by units operating the downtown golden nugget property
 for the nine months golden nugget reported a net loss of $ N million or N cents a share based on N million common and <unk> equivalents outstanding
 the year earlier the company had a net loss of $ N million or N cents a share based on N million common shares and <unk> equivalents outstanding
 the N results include a $ N million charge stemming from a litigation judgment
 separately the casino operator said its board approved a plan to buy-back as many as three million common shares from time to time either in the open market or through private transactions
 an additional N shares are authorized for repurchase under an earlier stock buy-back program
 john <unk> an analyst with raymond james & associates said the results were n't surprising and attributed the buy-back to management 's confidence in the mirage 's ability to generate strong cash flow in N
 yesterday in new york stock exchange composite trading golden nugget common closed at $ N up $ N
 capital holding corp. said it requested and received the resignation of john a. franco its vice chairman as an officer and a director of the life insurance holding company
 the company said mr. franco developed a plan to establish a business that might be competitive with capital holding corp. 's accumulation and investment group which mr. franco headed
 the group temporarily will report to irving w. <unk> ii chairman president and chief executive officer of capital holding
 mr. franco N years old said in a telephone interview that he has been considering and discussing a number of possible business ventures but that nothing is at a mature stage
 he said he did n't argue with the company 's decision to seek his resignation because contemplating outside business ventures can <unk> an executive from performing his best at the job he is paid to do
 martin h. <unk> a managing director of capital holding 's accumulation and investment group also resigned to pursue other business interests capital holding said
 mr. <unk> N said that he had an amicable <unk> with capital holding and that he has a number of ventures in the financial-services area under consideration
 he said that his resignation was a mutual decision with capital holding management but that he was n't actually asked to resign
 the accumulation and investment group is responsible for the investment operations of all capital holding 's insurance businesses and markets guaranteed investment contracts to bank trust departments and other institutions
 it also sells <unk> annuities to individuals
 mr. <unk> said he expects to name a new group president to head that operation following the nov. N board meeting
 <unk>
 money market deposits a N N
 a average rate paid yesterday by N large banks and thrifts in the N largest metropolitan areas as compiled by bank rate monitor
 b current annual yield
 guaranteed minimum N N
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 plastic pencils <unk> <unk> made their <unk> debut in children 's pencil boxes at <unk> stores in N
 but few knew it then and most still think all pencils are wooden
 eagle pencil of <unk> tenn. pencil city u.s.a. had made its earliest pilot plastic pencils in N
 but it was n't until after it hired arthur d. little a cambridge mass. research concern that its new product was refined for commercial sale in N
 three <unk> <unk> applied april N N for the patent which was assigned and awarded in N to hasbro industries then eagle 's parent
 pencil <unk> <unk> and put the plastic models behind their <unk> just like traditional pencils made of <unk> strips of california <unk> <unk> filled with ceramic lead
 it takes five steps to make standard pencils just one for the plastic type
 automated machines <unk> long plastic <unk> with <unk> <unk> that are printed cut painted and <unk>
 after more than N years something new has happened to pencils said arthur d. little in a N report that publicly described the previously secret item
 eagle 's plastic type <unk> and looks like a wooden pencil
 a major difference is that a snapped wooden pencil will have a <unk> break while a plastic model will break <unk>
 the softness of the core <unk> the plastic models to no. N no. N or no. <unk> pencils which account for the bulk of the market
 artists and <unk> need harder leads
 eagle now called <unk> remains a leading company among the N in the u.s. that produced about N billion pencils last year according to the pencil makers association
 it 's a trade secret how many were plastic and most writers still do n't know what they 're using
 h.f. ahmanson & co. the nation 's largest thrift holding company posted a N N earnings decline for the third quarter while another large california savings and loan great western financial corp. reported a slight earnings gain
 h.f. ahmanson parent of home savings of america reported third-quarter net of $ N million or N cents a share down from $ N million or N cents a share in the year-earlier period
 most of the earnings decline reflected an increase in the company 's effective tax rate to N N from N N in the year-ago third quarter when nonrecurring tax credits were recorded the company said
 pretax earnings declined N N
 for the nine months los angeles-based h.f. ahmanson had profit of $ N million or $ N a share a N N decline from earnings of $ N million in the year-ago nine months
 the company said the decline was attributable to a N N reduction in net gains on loan sales this year
 third-quarter spreads widened to the highest level in two years as loan portfolio yields rose and money costs declined the company said
 great western financial said third-quarter profit rose slightly to $ N million or N cents a share from $ N million or N cents a share from a year ago
 great western based in beverly hills calif. is a financial services firm and parent to great western bank an s&l
 great western said it had a sharp increase in margins in the recent third quarter
 margins are the difference between the yield on the company 's earning assets and its own cost of funds
 but a reduction in one-time gains on the sale of various assets and an increase in the company 's provision for loan losses held down the earnings gain the company said
 great western 's provision for loan losses was increased to $ N million for the recent quarter compared with $ N million a year ago primarily as a result of continued weakness in various commercial and <unk> real estate markets outside california
 for the nine months great western posted net of $ N million or $ N a share a N N decline from $ N million or $ N a share in the year-ago period
 dun & bradstreet corp. posted a N N rise in third-quarter earnings
 but revenue declined more than N N reflecting in part a continuing drop in sales of credit services in the wake of controversy over the company 's sales practices
 the information company also cited the stronger dollar the sale last year of its former official airline <unk> unit and other factors
 net income rose to a record $ N million or N cents a share from $ N million or N cents a share
 revenue fell to $ N billion from $ N billion
 in composite trading on the new york stock exchange dun & bradstreet closed yesterday at $ N down N cents a share
 analysts said the results were as expected but several added that the earnings <unk> underlying weaknesses in several businesses
 the quality of earnings was n't as high as i expected said eric <unk> an analyst for goldman sachs & co
 for example he noted operating profit was weaker than he had anticipated but <unk> earnings of $ N million and a lower tax rate helped boost net income
 dun & bradstreet said operating earnings rose N N excluding the sale of official airline <unk>
 third-quarter sales of u.s. credit services were <unk> below sales of a year earlier dun & bradstreet said
 as previously reported those sales have been declining this year in the wake of allegations that the company engaged in unfair sales practices that encouraged customers to <unk> services
 the company has denied the allegations but has negotiated a proposed $ N million settlement of related lawsuits
 analysts predict the sales impact will <unk>
 there is n't much question there will continue to be a <unk> effect said john <unk> an analyst with drexel burnham lambert inc
 dun & bradstreet noted that price competition in its nielsen marketing research nielsen clearing house and <unk> marketing businesses also <unk> revenue growth
 it cited cyclical conditions in its moody 's investors service inc. and <unk> plan services units
 for the nine months net income rose N N to $ N million or $ N a share from $ N million or $ N a share a year earlier
 year-earlier earnings reflected costs of $ N million related to the acquisition of <unk> international
 revenue rose slightly to $ N billion from $ N billion
 control data corp. said it licensed its airline <unk> software to the international air transport association
 terms include a royalty arrangement but details were n't disclosed
 the computer equipment and financial services company said <unk> a trade group will sell access to the package to its N airline members world-wide
 control data will receive revenue linked to the number of passengers served by the software <unk> said
 the package helps carriers solve pricing problems such as how to react to discounts offered by competitors or what would be the <unk> number of seats to offer at a given price
 <unk> steel corp. said it decided to proceed with installation of automatic gauge and shape controls at its <unk> tandem cold rolling mill in <unk> pa
 the new equipment which will produce steel sheet with more uniform <unk> and <unk> is likely to cost more than $ N million the company said
 when the company last considered adding the equipment two years ago it estimated the cost at $ N million to $ N million but a task force will have to prepare a detailed plan before the company can predict the current cost
 the time schedule for <unk> the equipment also will be developed by the task force the company said
 sir richard butler <unk> chairman of <unk> <unk> ltd. was named chairman of county natwest investment management ltd. the investment management subsidiary of county natwest ltd. the investment banking arm of this british bank
 sir richard succeeds john <unk> who resigned in july
 sir richard is also a <unk> director at national <unk> bank and natwest investment bank ltd
 in the long <unk> night after tuesday 's devastating earthquake bay area residents searched for comfort and <unk> wherever they could
 some found it on the screen of a personal computer
 hundreds of californians made their way to their computers after the quake and <unk> in with each other on electronic <unk> boards which link computers <unk> via phone lines
 some of the most vivid <unk> came over the well a <unk> calif. board that is one of the <unk> <unk> of the electronic underground
 about two-thirds of the well 's N subscribers live in the bay area
 the quake knocked the well out for six hours but when it came back up it <unk> with emotional <unk> reports
 following are <unk> from the electronic traffic that night
 the time is pacific <unk> time and the <unk> or <unk> are those subscribers use to identify themselves
 N p.m
 <unk>
 <unk>
 i was in the <unk> on the third floor of an old building and except for my heart beat beat i 'm ok
 got back to <unk> and everything had fallen broken <unk> <unk> with glass on the floor file <unk> open or dumped onto the floor
 N p.m
 <unk>
 i was in my favorite <unk> hole waiting for the game to start
 i felt the temblor begin and <unk> at the table next to mine <unk> that guilty <unk> and we both <unk> the words <unk> together
 that 's usually how long it takes for the <unk> to pass
 this time it just got stronger and then the building started shaking <unk> up and down as though it were a child 's toy block that was being <unk>
 N a.m
 <unk>
 i was in the berkeley main library when it hit
 endless seconds wondering if those huge windows would buckle and <unk> us with glass
 only a few books fell in the reading room
 then the auto <unk> shop fire sent an <unk> cloud of black smoke into the air
 N a.m
 <unk>
 my younger daughter and i are fine
 this building shook like hell and it kept getting stronger
 except for the gas tank at <unk> 's <unk> service <unk> and burning in downtown berkeley things here are quite peaceful
 a lot of car <unk> went off
 the <unk> are fine although nervous
 N a.m
 <unk>
 huge fire from broken gas main in the marina in <unk>
 areas that are made of fill <unk>
 a woman in a <unk> apartment was able to walk out the window of the third floor onto street level after the quake
 the house just settled right down into the ground
 N a.m
 <unk>
 i was driving my truck stopped at a red light at the corner of <unk> and <unk> at the <unk> border when it hit
 worst part was watching power lines <unk> above my head and no way to drive away
 N a.m
 <unk>
 was N <unk> out on a <unk> in san <unk>
 it <unk> all around real dramatic
 many <unk> cracks in the concrete <unk> <unk>
 <unk> the damn fishing
 N a.m
 <unk>
 i rode it out on the second floor of leo 's at <unk> and telegraph in oakland
 i heard parts of the building above my head <unk>
 i actually thought that i might die
 i could n't decide if i should come home to <unk> because my house is on <unk>
 i decided to <unk> the storm
 there was a horrible <unk> of gas as i passed the chevron refinery before crossing the <unk> <unk> bridge
 i could also see the clouds across the bay from the horrible fire in the marina district of san francisco
 i have felt many aftershocks
 my back is still in <unk> and my hands are still shaking
 i think a few of the aftershocks might just be my body shaking
 N a.m.
 <unk>
 i could see the <unk> from san francisco from my house across the bay
 it 's hard to believe this really is happening
 N a.m
 <unk>
 building on the corner severely damaged so an old lady and her very old mother are in the guest room
 books and software everywhere
 this being <unk> in a standing position
 N a.m
 <unk>
 <unk> <unk> the san andreas fault
 did n't feel a thing but noticed some strange <unk> behavior
 duck <unk>
 N a.m
 <unk>
 i just felt another <unk> a few seconds ago
 i 'm just <unk>
 N a.m
 <unk>
 downtown <unk> seems to be the part of town that 's worst off
 no power minimal phones and a mess of <unk> wine and everything else all over the floors of the big old general store and the people 's <unk>
 the <unk> move through my house every few minutes at <unk> <unk> and the mouse that 's been living in my kitchen has taken refuge under my desk
 it runs out <unk> now and then and is clearly pretty <unk>
 i was in <unk> beach when the quake rolled through town
 at first we were <unk>
 then as things got <unk> we ran for the door and spent the next few minutes outside watching the brick sidewalk under our feet <unk> up and down and the flowers <unk> in an <unk> <unk>
 amazing what it does to one 's heart rate and one 's short-term memory
 everyone looked calm but there was this <unk> low level of confusion as the aftershocks continued
 N a.m
 <unk>
 power is back on and <unk> medical center seems to have <unk> down for the night they were doing <unk> out in the parking lot from the sound and lights of it
 a friend of mine was in an underground computer center in downtown <unk> when the quake hit
 he said that one of the computers took a <unk> trip sliding across the floor
 today should be interesting as people realize how hard life is going to be here for a while
 N a.m
 kim
 i got home let the dogs into the house and noticed some sounds above my head as if someone were walking on the <unk> or <unk>
 then i noticed the car was <unk> up and down as if someone were jumping on it
 i realized what was happening and <unk> into the house for the dogs
 <unk> doors were flying the trash can in the kitchen walked a few feet the dogs came running and i <unk> them into the dog run and stood in the <unk> myself watching the outside trash cans dance across the concrete
 when i realized it was over i went and stood out in front of the house waiting and <unk> for merrill to come home <unk> as if it were N below zero until he got there
 never in my life have i been so frightened
 when i saw the pictures of N and the bay bridge i began to cry
 N a.m
 <unk>
 the <unk> district was more or less like a <unk> party all evening lots of people & dogs walking around drinking beer
 N a.m
 <unk>
 i was just sitting down to meet with some new therapy clients a couple and the building started shaking like crazy
 it 's a <unk> structure built up on supports and it was really <unk> around
 the three of us stopped breathing for a moment and then when it kept on coming we <unk> for the <unk>
 <unk> to say it was an interesting first session
 N a.m
 <unk>
 albany escaped <unk> <unk>
 biggest trouble was scared family who could n't get a phone line through and spent a really horrible hour not knowing
 N a.m
 <unk>
 <unk> and i were in our back yard when the lawn started rolling like ocean waves
 we ran into the house to get <unk> but the next tremor threw me in the air and bounced me as i tried to get to my feet
 we are all fine here although <unk> was extremely <unk>
 kitchen full of broken crystal
 books and tapes all over my room
 not one thing in the house is where it is supposed to be but the structure is fine
 while i was standing on the lawn with <unk> waiting for another tremor i noticed that all the <unk> were emerging from the ground and <unk> across the lawn
 N a.m.
 <unk>
 it 's amazing how one second can so completely change your life
 N a.m
 <unk>
 i guess we 're all living very tentatively here waiting for the expected but <unk> <unk>
 it 's hard to accept that it 's over and only took N seconds
 i wonder when we 'll be able to relax
 N a.m
 <unk>
 <unk> goes to total alert for flight or fight
 <unk> seems a <unk> <unk>
 berkeley very quiet right now
 i walked along <unk> between delaware and <unk> at a few minutes before eight this morning
 next to <unk> <unk> a homeless couple <unk> into a blue sleeping bag sat up said good morning and then the woman <unk> said is n't it great just to be alive
 i agreed
 it is
 great
 georgia-pacific corp. exceeding some analysts ' expectations said third-quarter earnings rose N N to $ N million or $ N a share from $ N million or $ N a share in the year-earlier period
 sales increased N N to $ N billion from $ N billion
 per-share earnings were enhanced by the company 's share buy-back program which reduced the average shares outstanding to N million in the quarter from N million in the same quarter of N
 with strong prices in the company 's two major areas building products as well as pulp and paper analysts had expected a <unk> quarter
 but the performance exceeded some estimates of around $ N a share
 fueling the growth among other things were <unk> prices for certain building products
 one reason efforts to protect the spotted <unk> led to restrictions on <unk> in the pacific northwest <unk> supply and forcing prices up
 another reason strikes both at georgia-pacific and other lumber companies also cut supplies and raised prices analysts said
 for the nine months georgia-pacific 's earnings increased N N to $ N million or $ N a share from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 in composite new york stock exchange trading georgia-pacific stock rose $ N a share yesterday to close at $ N
 the house public works and transportation committee approved a bill that would give the transportation department power to block airline leveraged buy-outs despite a clear veto threat from the bush administration
 the N vote clears the way for consideration on the house floor next week or the week after
 transportation secretary samuel skinner in a letter to the committee warned that he would urge president bush to veto the legislation if it passed congress
 the senate commerce committee already has approved similar legislation
 on monday a letter from mr. skinner 's deputy <unk> <unk> said the administration opposed the legislation in its present form
 some of the bill 's supporters had taken heart from the fact that the letter was n't signed by mr. skinner and that it did n't contain a veto threat
 the <unk> administration warnings <unk> some lawmakers especially senior republicans who supported the bill because they thought the transportation department favored it
 we backed this bill because we thought it would help skinner one republican said and now we 're out there <unk> in the wind
 a few weeks ago mr. skinner testified before congress that it would be cleaner more efficient if he had authority to block buy-outs in advance
 but he never took an official position on the bill and has <unk> maintained that he already has enough authority to deal with buy-outs
 under the committee bill the transportation secretary would have N days and an additional N days if needed to review any proposed purchase of N N or more of a major u.s. airline 's voting stock
 the secretary would be required to block an acquisition if he concluded that it would so weaken an airline financially that it would hurt safety or reduce the carrier 's ability to compete or if it gave control to a foreign interest
 although the legislation would apply to any acquisition of a major airline it is aimed at transactions financed by large amounts of debt
 supporters of the bill are concerned an airline might sacrifice costly safety measures in order to repay debt
 the panel 's action occurs in a politically charged atmosphere surrounding recent buy-out proposals their apparent collapse and the volatile conditions in the stock market
 it became apparent in hearings that there ought to be regulation of leveraged buy-outs of some sort rep. james <unk> d. minn. chairman of the house aviation subcommittee said during the panel 's deliberations
 i do n't believe in the airline business you can be totally <unk> because of the high degree of public interest at stake
 but mr. skinner disagreed calling the legislation a retreat from the policy of <unk> of the airline industry
 in his letter to committee chairman glenn anderson d. calif. the secretary also said the bill would be at odds with the administration 's policies <unk> open foreign investment and market allocation of resources
 currently the transportation department does n't have the authority to block a takeover in advance
 however if the secretary concludes that a transaction has made a carrier <unk> to operate the department may revoke its certificate <unk> the airline
 such authority is more than adequate say opponents of the legislation
 but supporters argue that <unk> an airline is so drastic that the department would hesitate doing it
 the panel rejected a proposal pushed by amr corp. the parent of american airlines to allow the transportation secretary to block corporate raiders from <unk> proxy fights to oust boards that oppose a leveraged buy-out
 it also voted down proposals to give the secretary much more discretion on whether to block a buy-out and to require the department to consider the impact of a buy-out on workers
 london shares rallied to post strong gains after initial fears <unk> that the california earthquake would depress wall street prices
 tokyo stocks which rebounded strongly tuesday extended their gains yesterday but most other asian and pacific markets closed sharply lower
 in london the financial times-stock exchange 100-share index jumped N points to close at its intraday high of N
 the index was under pressure for most of the morning over concerns that the effects of tuesday night 's major earthquake in the san francisco area would undermine the u.s. market
 the mood changed after dealers <unk> the direct impact of the disaster on shares and wall street rebounded from early losses
 the financial times 30-share index settled N points higher at N
 volume was N million shares the <unk> of a hectic week compared with N million tuesday
 u.k. composite or <unk> insurers which some equity analysts said might be heavily hit by the earthquake disaster helped support the london market by showing only narrow losses in early trading
 the insurers ' relative resilience gave the market time to <unk> the impact of the california disaster on u.k. equities dealers said
 dealers said the market still has n't shaken off its nervousness after its <unk> ride of the past several sessions caused by interest-rate increases last week and wall street 's N N plunge friday
 but technical factors including modest gains in the value of the pound helped draw buying back into the market and reverse losses posted a day earlier
 among composite insurers general accident rose N pence to # N $ N a share guardian royal climbed N to N pence sun alliance rose N to N and royal insurance jumped N to N
 life insurers fared similarly with legal & general advancing N to N although prudential fell N to N N
 <unk> group rose N to N and sun life finished unchanged at # N
 most banking issues retreated after a sector downgrade by warburg securities although national <unk> showed strength on positive comments from brokerage firms about its long-term prospects
 natwest the most actively traded of the banks finished at N up N
 b.a.t industries fell in early dealings but recovered to finish at N up N
 dealers said the market was nervous ahead of a special b.a.t holders ' meeting today
 the session is to consider a defensive plan to spin off assets to fend off sir james goldsmith 's # N billion bid for b.a.t
 the recent stock market drop has shaken confidence in the plan but dealers said the shares fell initially on questions about whether mr. goldsmith 's highly leveraged bid will come to <unk>
 trading was suspended in wcrs group a u.k. advertising concern pending an announcement that it is buying the remaining N N of france 's carat holding for N billion french francs $ N million and expanding commercial and equity ties with advertising group eurocom
 merchant banker morgan grenfell climbed N to N on renewed takeover speculation
 <unk> warburg also mentioned in the rumor mill jumped N at to N
 jaguar advanced N to N as traders contemplated a potential battle between general motors and ford motor for control of the u.k. luxury auto maker
 tokyo 's nikkei index of N issues rose N points or N N to N
 the index gained N tuesday
 volume was estimated at N million shares compared with N million tuesday
 declining issues outnumbered advancers N with N unchanged
 the tokyo stock price index of all issues listed in the first section which gained N tuesday was up N points or N N at N
 in early trading in tokyo thursday the nikkei index rose N points to N
 on wednesday shares were pushed up by <unk> buying on the part of investment trusts as well as small orders from individuals and corporations traders said
 institutions meanwhile stepped back to the sidelines as the direction of u.s. interest rates remained unclear
 the uncertainty was <unk> by the persistent strength of the dollar traders said and by the u.s. trade deficit which widened by N N in august from the previous month
 traders and analysts said they did n't see any effect on tokyo stocks from the california earthquake
 the impact on japanese insurers and property owners with interests in the san francisco area is still being assessed they said
 buying was scattered across a wide range of issues making the session fairly <unk> traders said
 with uncertainty still hanging over interest rates and the dollar the market failed to find a focus that might lead to further investor commitments they said
 some traders said the popularity of issues that gained yesterday wo n't last long as investors will <unk> their buying choices over the short term
 interest <unk> shares such as steel construction and electric utility companies which rose early in the week saw their advance weaken yesterday
 traders said these issues need <unk> buying to push up their prices so substantial gains are n't likely unless institutional investors participate
 an outstanding issue in yesterday 's session was mitsubishi <unk> which surged N to N yen $ N a share
 its popularity was due to speculation about the strong earnings potential of a new type of plastic wrap for household use a trader at county natwest securities japan said
 some <unk> food issues attracted <unk> traders said
 <unk> brewery was up N at N and <unk> gained N to N
 pharmaceuticals were mostly higher with <unk> pharmaceutical gaining N to N
 shares closed lower in other major asian and pacific markets including sydney hong kong singapore taipei wellington seoul and manila
 most of those markets had rebounded the day before from monday 's slide
 but unlike the tokyo exchange they failed to extend the rise to a second session
 elsewhere prices surged for a second day in frankfurt closed higher in zurich stockholm and amsterdam and were broadly lower in milan paris and brussels
 south african gold stocks ended marginally firmer
 in brussels it was the first trading day for most major shares since stocks tumbled on wall street friday
 trading had been <unk> by a major computer failure that took place before the start of monday 's session
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 housing construction sank in september to its lowest level since the last recession the commerce department reported
 work began on homes and apartments at an annual rate of N units last month down N N from august the department said
 the september decline followed an even <unk> drop of N N in august and left housing starts at their weakest since october N when the country was <unk> the end of a recession
 originally the department had reported the august decline as N N
 the numbers suggest that the housing industry is still suffering the effects of the federal reserve 's battle against inflation
 the industry had shown signs of recovery this summer after the central bank began to relax its <unk> on credit allowing interest rates to drop a bit after pushing them up for a year
 sales of new homes rose and inventories of houses which had been climbing dropped
 but last month new construction in all types of homes <unk> from single-family houses to large apartment <unk>
 it 's pretty much weak across the board said martin <unk> chief economist of the national council of savings institutions
 mr. <unk> said the industry may be reluctant to step up building at the moment for fear the inventories of <unk> homes will increase again
 another reason for the weakness he said may be that mortgage rates have hit a <unk> since they began <unk> down after a peak in march
 in august rates on 30-year fixed-rate mortgages started creeping up a bit but they inched down again through september
 rates have n't really <unk> off that much mr. <unk> said
 we 've kind of settled now into an interest-rate environment that 's fairly high
 work was begun on single family homes the core of the housing market at an annual rate of N in september a drop of N N from the previous month
 that followed a N N decline in august
 construction of apartments and other <unk> <unk> slipped N N to an annual rate of N following a N N decline in august
 the number of building permits issued for future construction dropped N N to a N annual rate after rising N N in august
 all the numbers were adjusted for normal seasonal variations in building activity
 the housing starts numbers however are one of the least precise of the government 's economic indicators and are often revised significantly as more information is collected
 shearson lehman hutton holdings inc. posted a sharp third-quarter turnaround from a year earlier but net income would have dropped from the second quarter without a $ N million after-tax gain
 the securities firm posted third-quarter net of $ N million or N cents a share compared with a restated year-earlier loss of $ N million or N cents a share
 revenue climbed N N to $ N billion from $ N billion
 the latest period included the gain which was $ N million before tax from the previously announced sale of the institutional money management business of lehman management co
 the N period was restated from net income of $ N million to correct an <unk> in the company 's boston co. subsidiary
 in the N second quarter shearson had net income of $ N million or N cents a share
 an average N million common shares were outstanding in the latest quarter up from N million
 in new york stock exchange composite trading yesterday shearson shares lost N cents to $ N
 the company said the improved performance from a year ago reflects higher commissions and revenue from <unk> and trading for its own account
 commission revenue was $ N million up N N
 but industrywide trading activity slowed in september as institutional investors turned cautious and individuals continued to shy away from the market
 investment banking revenue fell N N to $ N million in part reflecting the continued slowdown of the underwriting business
 in the nine months net fell N N to $ N million or N cents a share from $ N million or $ N a share
 revenue advanced N N to $ N billion from $ N billion
 two major drug companies posted strong third-quarter earnings in line with profits already reported by industry leaders and analysts ' expectations
 but pfizer inc. based in new york reported flat earnings
 schering-plough corp. based in madison n.j. reported a N N rise in earnings as american home products corp. of new york posted an N N increase in net
 american home products
 american home products said sales and earnings for the third quarter and nine months were at record levels
 sales for the third quarter increased N N to $ N billion from $ N billion
 sales of health-care products increased N N in the third quarter based in part on strong sales of prescription drugs such as <unk> an <unk> drug and sales of the company 's <unk> formula
 american home products said net income benefited from a lower effective tax rate reflecting a reduction of foreign tax rates and additional operations in puerto rico
 net also was aided by a gain on the sale of the company 's equity interests in south africa effective sept. N
 in new york stock exchange composite trading yesterday american home products closed at $ N a share down N cents
 pfizer
 pfizer said third-quarter sales increased N N to $ N billion from $ N billion
 the company said net income was flat because of investment in research and development and costs related to <unk> of several products
 the company said the dollar 's continued strengthening reduced world-wide sales growth by three percentage points
 pfizer posted its largest gains in healthcare sales up N N and consumer products up N N
 sales by the specialty chemicals and materials science segments were flat and sales by the agriculture segment declined N N
 in the health-care segment pharmaceutical sales increased N N and sales of hospital products increased N N
 during the quarter pfizer received federal approval of <unk> <unk> a <unk> channel <unk> approved for both <unk> and <unk> and <unk> <unk> used to open <unk> <unk> arteries
 in new york stock exchange composite trading yesterday pfizer closed at $ N a share up N cents
 schering-plough
 schering-plough said sales gained N N to $ N million from $ N million
 in the period the company completed the sale of its european cosmetics businesses sold a majority interest in its brazilian affiliate and announced the reorganization of its over-the-counter drug businesses into a new unit schering-plough health care products
 these actions did n't affect results because the gain on the sale of the european cosmetics businesses was offset by provisions relating to the brazil divestiture and drug restructuring
 u.s. pharmaceutical sales rose N N led by <unk> <unk> and cold products <unk> products <unk> and <unk> products and cardiovascular products
 world-wide consumer product sales declined N N primarily because of the european cosmetics sale
 significantly lower sales of stay trim diet aids also were a factor in the drop
 the <unk> beauty product line had higher sales following a sluggish first half
 in big board composite trading schering-plough shares fell N cents to close at $ N
 swedish auto and aerospace concern saab-scania ab said it received a N million <unk> $ N million order from swiss <unk> one of europe 's leading regional air companies for five saab <unk> <unk> <unk> aircraft
 it is quite unfortunate that you failed so <unk> in reporting the hurricane hugo disaster
 your sept. N page-one article charleston lost quite a lot to hugo especially <unk> leaves the impression that the storm was little more than an <unk>
 the damage reported focused on a select few who owned <unk> historic homes on the battery
 not mentioned were the N people <unk> homeless and the more than N out of work for an <unk> period the $ N <unk> in losses to homes and personal property on the barrier islands the near and long-term impact on the state 's largest industry tourism not to mention the human suffering
 in <unk> on the disruption of a few proud local customs such as the historic homes tour and the damage to the <unk> your reporter served to only <unk> an <unk> and <unk> <unk> view of this otherwise thriving port city
 the damage will undoubtedly prove to be one of the <unk> human and economic disasters of the decade in this country
 david m. <unk>
 columbia s.c
 your story was <unk> and <unk>
 <unk> the people of a <unk> city reeling from a disaster of unprecedented <unk> was at the very best <unk> under the circumstances
 your narrow focus appears to be a <unk> attempt to show the people of that historic city to be <unk> <unk>
 you had to have been blind not to see the scenario there for what it was and is and will continue to be for months and even years a part of south carolina that has sustained a blow that the red cross expects will cost that organization alone some $ N million
 william c. <unk> jr
 columbia s.c
 charleston is historic and <unk> as your reporter said but not <unk> as he suggested
 <unk> are instead <unk> and have contributed <unk> to the culture and history of our country for more than N years
 i suggest your reporter see charleston next spring in its full glory
 william c. stuart iii
 silver spring md
 affiliated <unk> of colorado inc. said it agreed to sell its N N interest in rocky mountain <unk> systems for $ N million to colorado national bank of denver and central bank of denver
 colorado national is a unit of colorado national <unk> inc. and central is a unit of first bank system of minneapolis
 affiliated said it expects to record a pretax gain of about $ N million from the sale of the credit-card business which should more than offset any reduction in the carrying value of real estate and real-estate loans on its books
 the u.s. <unk> bank tentatively decided to guarantee commercial bank financing for the purchase of two boeing co. N <unk> by <unk> colombia 's international airline at a cost of about $ N million
 the loan guarantee would amount to about $ N million or N N of the cost of the aircraft
 because of the size of the proposed loan guarantee the <unk> bank 's preliminary commitment is subject to review by the house and senate banking committees
 <unk> bank officials said this review process currently is under way
 <unk> guzman cabrera took over the oil workers union mexico 's most powerful labor organization only last january
 but even in that short time mr. guzman cabrera has become as controversial in his own way as his <unk> predecessor <unk> <unk> <unk> known as la quina
 president carlos salinas de <unk> used the army to oust la quina who <unk> for N years over a <unk> empire that made <unk> <unk> <unk> or pemex one of the world 's most inefficient oil companies
 now mr. guzman cabrera is facing accusations that he 's as much a company man as la quina was a <unk>
 in recent contract negotiations with pemex management mr. guzman cabrera accepted major concessions that greatly curtail the union 's role in <unk> long a source of millions of dollars in <unk> earnings
 and with the quiet <unk> of mr. guzman cabrera replacing the <unk> <unk> of la quina government <unk> have been given a free hand to open the petrochemical sector to wider private and foreign investment
 mr. guzman cabrera 's new order has n't arrived without resistance
 <unk> between union <unk> still <unk> at pemex installations
 leftist leader <unk> <unk> publicly questioned mr. guzman cabrera 's moral quality suggesting he is part of a conspiracy to turn over the country 's oil a symbol of mexican <unk> to foreigners
 the <unk> mr. guzman cabrera takes such criticisms in <unk>
 this is n't a new kind of union leadership it 's a new mexico
 we 're no longer afraid of <unk> with private or foreign capital he says
 pemex which produces N N of government revenue desperately needs new investment
 since world oil prices collapsed in N the government has <unk> pemex 's <unk> to make payments on mexico 's $ N billion foreign debt
 little money has been returned to upgrade pemex 's aging facilities
 while the government <unk> pemex from above the union has <unk> it from below
 a bloated payroll and pervasive <unk> caused pemex 's operating costs to balloon to N cents of each $ N in sales far above the industry <unk>
 the declines in investment and efficiency explain in part why mexico has been importing gasoline this year
 some projections show mexico importing crude by the end of the century barring an overhaul of operations
 whatever you tried to change whether it was cutting costs or attracting new partners the big obstacle was the old union leadership says oil consultant george baker
 enter mr. guzman cabrera who has a clear understanding of where union leaders fit in the <unk> regime of president salinas
 i 'm the <unk> if there is one he says <unk> a <unk> to his office
 beginning as a <unk> in a refinery mr. guzman cabrera put in more than N years at pemex before being pushed into retirement by la quina after a dispute two years ago
 though he also long benefited from the system built by la quina mr. guzman cabrera says union <unk> had simply gotten out of hand
 they are at the base of all of the problems of corruption he says
 thus in recent contract negotiations mr. guzman cabrera gave up the union 's right to <unk> N N of all of pemex 's outside contracts an enormous source of <unk>
 the union also <unk> the N N commission it had received on all pemex maintenance contracts
 the union will keep a N N commission on construction projects
 the new contract also <unk> the $ N monthly coupon good only at <unk> grocery stores that was part of the salary of every worker from <unk> to chief executive
 about N technical workers notably <unk> and lawyers were switched to <unk> status
 also because of its reduced capital budget pemex has phased out about N <unk> construction workers reducing the work force to about N the union leader says
 mr. guzman cabrera says the union 's <unk> will be offset by a wage and benefit package that amounts to a N N increase in compensation
 but pemex managers are the ones most <unk> by the contract
 we are <unk> the instruments of administration says <unk> <unk> a pemex <unk>
 pemex officials would n't say how much money the new contract would save the company but one previous government estimate pegged savings at around $ N million a year
 pemex 's customers also are pleased with the company 's new spirit
 <unk> <unk> a big conglomerate has long depended on pemex petrochemicals to produce plastic <unk> material
 but when the pemex plant shut down for an annual overhaul it would never give notice to its customers
 the <unk> would completely disrupt our operations says <unk> <unk> <unk> <unk> 's finance director
 this year for the first time <unk> and other customers were <unk> well in advance of the pemex plant 's shutdown to ensure minimal <unk>
 <unk> the union <unk> previous moves by the government to attract private investment in petrochemicals which mexico has been forced to import in large quantities in recent years
 in may the government unveiled new foreign investment regulations that create special trusts allowing foreigners long limited to a N N stake in secondary petrochemical companies to own up to N N
 later the government <unk> several basic petrochemicals as secondary products
 but pemex 's <unk> with private companies and especially foreign ones is controversial in a country where oil has been a symbol of national sovereignty since foreign oil holdings were <unk> in N
 they are preparing the workers for what 's coming foreign control wrote <unk> <unk> a leftist leader
 mr. guzman cabrera and government officials insist that foreigners will be limited to investing in secondary petroleum products
 but the new union leader makes no <unk> for pemex 's more <unk> attitude
 if we do not integrate into this new world of <unk> sooner or later we 're going to become victims of our own <unk> he says
 couple counseling grows to <unk> stress
 more executives and their spouses are seeking counseling as work and family pressures mount
 some employers <unk> <unk> especially if work problems threaten a top manager 's job
 many couples are like ships passing in the night a communications gulf that <unk> problems on the job and at home says <unk> harry <unk>
 his <unk> institute in <unk> mass. has seen in recent years a doubling in the number of executives and spouses at its <unk> counseling program
 employers foot the bill he says figuring what 's good for the couple is good for the company
 one east coast manufacturing executive faced with a job transfer his wife <unk> found that counseling helped them both come to <unk> with the move
 and the vice president of a large midwestern company realized that an <unk> <unk> threatened his career when his wife <unk> that similar behavior at home <unk> their marriage
 more <unk> couples also are getting help with men increasingly bringing their working wives for joint counseling
 the level of stress for a woman is often so high it 's the husband who says i 'm worried about her says <unk> <unk> <unk> <unk>
 her institute for family and work relationships in la jolla calif. has noted a doubling in the number of couples seeking help the past two years
 no matter how competent and smart you both are the relationship almost certainly will erode if you do n't have time to talk to have fun and to be sexual says ms. <unk>
 she urges client couples to begin a <unk> period <unk> social and other <unk> activities and setting time apart for themselves
 putting those times on the calendar she says is as important as <unk> business appointments
 power of suggestion stronger in japan
 here 's one more explanation for why japan is a tough industrial competitor two of three japanese employees submit suggestions to save money increase efficiency and boost morale while only N N of american workers do
 and the japanese make far more suggestions N per N eligible employees vs. only N per N employees in the
 data for N from the national association of suggestion systems and the japan human relations association also indicate that japanese employers adopt four of five suggestions while their u.s. counterparts accept just one in four
 in japan small suggestions are encouraged
 each new employee is expected to submit four daily in the first few months on the job
 u.s. companies tend to favor suggestions that go for the home runs says gary <unk> vice president of corporate quality at control data corp
 that helps explain why american employers grant an average award of $ N per suggestion while japan 's payment is $ N
 still suggestions ' net savings per N employees is $ N in japan vs. $ N in the u.s.
 u.s. companies developing management teams are <unk> with how to handle individual suggestion systems
 control data for one plays down its employee suggestion program because it favors the <unk> focus
 merger fallout <unk> employee dishonesty
 corporate security directors increasingly worry that merger mania <unk> a rise in employee dishonesty
 a security magazine survey places the effect of takeovers and buy-outs among the industry 's N biggest challenges
 if it causes management to take their eye off the ball inventory <unk> is going to be affected says lewis <unk> vice president for loss prevention at marshall field 's the department store chain
 a separate study of the extent of employee misconduct linked general job satisfaction to property loss
 co-author richard <unk> cites what happened at one <unk> company absorbed by a foreign giant
 <unk> climbed dramatically as many angry employees felt abandoned by the former owners says the university of florida sociologist
 but top management should watch for other <unk> signs of employee <unk> like <unk> <unk> and phone <unk>
 security consultant dennis <unk> of <unk> calif. thinks mergers often trigger longer lunch hours and increased <unk> conduct which can <unk> the bottom line more than <unk>
 new management can take several steps to reduce dishonesty
 most important experts say is to show that a company 's ethical tone is set at the top
 mr. <unk> also recommends that the chief executive establish a rumor control center and move swiftly to bolster morale
 consultant john <unk> of <unk> texas urges that top management adopt a tough <unk> approach with very tight controls and monitoring
 and security authority robert l. <unk> favors <unk> all employees who <unk>
 firms walk fine line in distributing profits
 are corporate profits distributed fairly
 a survey by <unk> <unk> & <unk> a new york consulting firm <unk> the difficulty for top management in satisfying employees and investors on that score
 nearly seven of N investors think companies reinvest too little of their profits in the business
 and half the employees surveyed think companies dole out too little to them
 but both see a common enemy about N N of employees and N N of investors think senior managers get too big a <unk> of the profit pie
 bank of new york co. said it agreed in principle to acquire the credit-card business of <unk> first city <unk> of texas for between $ N million and $ N million
 the move subject to a definitive agreement is part of a trend by <unk> banks that have been buying up credit-card portfolios to expand their business
 just last month a bank of new york subsidiary agreed to buy the credit-card operation of dreyfus corp. 's dreyfus consumer bank for $ N million a transaction that is expected to be completed by the end of the year
 first city 's portfolio includes approximately N accounts with about $ N million in loans outstanding
 first city which issues both <unk> and visa cards has agreed to act as an agent bank
 at the end of the third quarter bank of new york 's credit-card business <unk> of N million accounts with $ N billion in loans outstanding
 bank of new york is currently the <unk> issuer of credit cards in the
 first city said that because of increased competition in the credit-card business it had decided it either had to expand its own holdings substantially or sell them
 we think there 's a good prospect that competition is going to get pretty fierce in this market said james e. day a first city vice president
 we see it becoming a <unk> kind of business
 the company estimated that the transaction would enhance its book value which stood at $ N a share on sept. N by more than $ N million or about $ N a share
 the company also said the transaction would bolster after-tax earnings by $ N a share when completed and boost its primary capital ratio to N N from N N
 first city which recently purchased three small texas banking concerns said it would use the proceeds to pursue additional expansion opportunities in the southwest and elsewhere
 with that possibility in mind analysts said the transaction was a positive move for first city
 i think they 'll be able to move faster to make acquisitions in texas said <unk> <unk> an analyst with donaldson lufkin & jenrette
 that 's something they can do very well
 british airways plc said it is seeking improved terms and a sharply lower price in any revised bid for united airlines parent ual corp. following the collapse of a $ N billion $ 300-a-share buy-out bid
 <unk> stevens british air 's chief financial officer told dow jones professional investor report a price of $ N a share is certainly not too low and indicated his company would like to reduce the size of its $ N million cash investment
 he added the airline is n't committed to going forward with any new bid and has n't participated in bankers ' efforts to revive the transaction that collapsed
 we 're in no way committed to a deal going through at all
 we 're not rushing into anything
 we do n't want to be party to a second rejection he said adding that coming up with a revised offer could easily take several weeks
 mr. stevens 's remarks confirming a report in the wall street journal that british air wants to start from <unk> in any new bid for the nation 's second-largest airline helped push ual stock lower for the fourth straight day
 ual fell $ N a share to $ N on volume of N million shares in composite trading on the new york stock exchange as concern <unk> among takeover stock traders about the length of time it will take to revive the purchase
 under the original buy-out approved by the ual board sept. N ual 's pilots planned to put up $ N million in cash and make $ N million in annual cost concessions for a N N stake
 ual management was to pay $ N million for N N and british air was to receive a N N stake
 the buy-out fell through when citicorp and chase manhattan corp. unexpectedly failed to obtain bank financing
 since then ual stock has fallen N N in what may rank as the largest collapse of a takeover stock ever
 the <unk> of mr. stevens 's remarks seemed to indicate that british air will take a more active <unk> role in pursuing any new bid
 he said he believes ual management was badly advised on the funding of its original transaction
 mr. stevens said british air has n't received any new buy-out proposals from the labor-management group led by ual chairman stephen wolf and has n't received any indication of when one might be <unk>
 as far as we 're concerned we 're waiting for the dust to settle he said
 although british air is waiting to see what the buy-out group comes up with mr. stevens said a revised transaction with less debt leverage is likely to be more attractive to banks
 he said the original proposal is dead and all aspects of a revised version are up for change in light of the changes in ual 's market price the amount of debt banks are willing to fund and the price british air would be willing to pay
 mr. stevens said he expects the new price will be considerably lower but declined to specify a figure
 asked whether a $ <unk> figure circulating in the market yesterday is too low he said it 's certainly not too low
 he added the original offer was a pretty full price and that british air 's contribution was quite a large chunk for us
 british air was originally attracted to the chance of obtaining a N N stake in the company but was n't particularly happy with paying $ N million
 if the new deal had us putting up less money but still having N N that would be a point in our favor he said
 in any new proposal british air would expect a greater rate of return than the <unk> in the original proposal
 in the event that the buy-out group <unk> in <unk> its bid the ual board could remain under some pressure to seek another transaction even without any legal obligation to do so
 roughly one-third of its stock is believed held by takeover stock traders who could vote to oust the board if they become <unk>
 meanwhile the buy-out group 's task of holding its fragile coalition together in the face of the bid 's collapse and internal opposition from two other employee groups has been further complicated by an apparent <unk> in the ranks of the pilot union itself
 a pilot representing a group of N pilots hired during united 's N strike filed suit friday in chicago federal court to block the takeover
 the dissident pilots oppose the plan because it would cause them to lose their seniority
 ual 's management agreed to reduce the seniority of those pilots in exchange for the support of the united pilot union for the buy-out proposal
 the N pilots involved in the suit are n't members of the union
 the airline had allowed them to move ahead of some union members in seniority following the N strike a move the union had contested in a previous lawsuit
 <unk> <unk> contributed to this article
 corporate efforts to control health-care costs by requiring <unk> prior to planned <unk> and surgery have n't been sweeping enough to reduce the long-term rate of cost increases according to a study by the institute of medicine
 in the last decade many corporations have embraced the utilization management cost <unk> strategy as a way to control health-care costs for employees
 these programs vary widely but often require second opinions on proposed surgery <unk> reviews of <unk> <unk> and reviews of treatment during <unk> or recovery periods
 between N N and N N of today 's workers are covered by such plans up from N N five years ago
 although it probably has reduced the level of expenditures for some purchasers utilization management like most other cost <unk> strategies does n't appear to have altered the long-term rate of increase in health-care costs the institute of medicine an affiliate of the national academy of sciences concluded after a two-year study
 employers who saw a short-term <unk> in benefit expenditures are seeing a return to previous trends
 while utilization management frequently reduces <unk> costs these savings are often offset by increases in <unk> services and higher administrative costs according to the report by a panel of health-care experts
 the report suggested that current review programs are too narrow
 the unnecessary and inappropriate use of the hospital and not the actual need for a particular procedure has been the main focus the panel said
 as a general rule <unk> programs have not made <unk> <unk> of the <unk> costs of alternative <unk> or sites of care
 the report said that utilization management should have more of an impact as federal research on the effectiveness of medical <unk> helps lead to medical practice guidelines
 howard <unk> a panel member and a vice president of aetna life & casualty said that utilization management will also do a better job of containing costs as it spreads to cover medical services delivered outside of hospitals
 there 's pretty good evidence that utilization management has reduced inappropriate <unk> he said
 but at the same time spending on physician services and <unk> care have <unk>
 it 's like <unk> a balloon dr. <unk> said
 david <unk> of a. foster <unk> & co. said that clients of his consulting firm report that utilization management reduces their hospital care bills by about N N but he agreed that for the health-care system as whole some of these savings are offset by administrative and <unk> care costs
 jerome <unk> chairman of the panel agrees that administrative costs of utilization management programs can be high
 you have a whole staff standing ready to evaluate the <unk> of recommended treatment he said
 dr. <unk> who also is president of new england medical center hospitals in boston noted that the hospitals he runs deal with more than N utilization management firms and that many of them have different procedures and requirements
 the panel urged greater efforts to reduce the <unk> <unk> and cost of utilization review
 utilization management needs to better demonstrate that it reduces the <unk> use of resources improves the <unk> of patient care and imposes only reasonable burdens on patients and <unk> the panel concluded
 renault and daf trucks <unk> announced a preliminary agreement to jointly manufacture a line of trucks in britain and france
 <unk> <unk> a renault managing director said the new line will cover trucks of between N tons and N tons and will be built at renault 's <unk> plant in france and at daf 's british plant
 the french state-controlled auto group and the dutch truck maker plan to <unk> the new trucks into their product lines when they begin production toward the middle of the 1990s
 mr. <unk> said he expects a definitive agreement between the two companies to be completed in the next few months
 the venture is the latest example of the trend toward cooperative projects in europe ahead of the N deadline for eliminating trade barriers within the european community
 renault and daf are expected to invest a total of about three billion french francs $ N million in the venture including <unk> N billion for design and development costs
 in addition the companies will each spend about <unk> N billion on <unk> up their plants
 mr. <unk> said the joint venture represents considerable savings for both renault and daf since both companies would in any case have had to renew their existing ranges of light goods vehicles
 by <unk> their resources the two groups have effectively <unk> the design and development costs that would otherwise have been <unk> he said
 renault officials said the potential european market for light trucks in the <unk> to <unk> range is between N and N vehicles annually and renault and daf are aiming for a combined market share of about N N
 both renault and daf will have world-wide marketing rights for the new range of vans and light trucks
 under a separate arrangement british aerospace plc 's <unk> group plc subsidiary will also be able to offer the vehicles through its dealers in the u.k. and renault 's <unk> subsidiary renault vehicles <unk> will have similar rights in france
 daf is <unk> by british aerospace with a further N N held by the dutch state-owned chemical group <unk> <unk>
 the van <unk> family of the netherlands holds an additional N N of daf 's capital
 the federal reserve system is the standard object of suggestions for <unk> and institutional changes for two reasons
 first its position in the government is <unk>
 it has an unusual kind of independence from elected officials and still has authority over one of the most powerful of government 's instruments the control of the money supply
 thus we have a condition that is easily described as <unk>
 second the responsibilities of the federal reserve as guardian of the currency which means as guardian of the stability of the price level sometimes lead it to take measures that are unpopular
 as former fed chairman william <unk> martin used to say they would have to take the <unk> bowl away just as the party is getting interesting
 so the federal reserve is an attractive target for complaint by politicians
 the fed is easily assigned the blame for <unk> like high interest rates or slow economic growth while the politicians can escape responsibility by pointing to the fed 's independence
 this leads to proposals for reform of the fed which have the common feature of making the fed more responsive to the administration to the congress and to public opinion without however any assumption of additional responsibility by the politicians
 these proposals include changing the term of the chairman <unk> the terms of the members eliminating the presidents of the federal reserve banks from the <unk> process putting the secretary of the treasury on the federal reserve board having the fed <unk> by an arm of congress the general accounting office putting the fed 's expenditures in the budget and requiring prompt publication of the fed 's minutes
 some of these ideas are again under consideration in congress
 but these proposals do not rest on a view of what the fed 's problem is or if they do they rest on an incorrect view
 they would not solve the problem they would make it worse
 the problem is not that the fed is too <unk> to the public interest
 on the contrary it is too responsive to an incorrect view of the public interest
 the price level in the u.s. is now about N N times as high as it was N years ago
 on average something that cost $ N N years ago now costs $ N
 or a wage that was $ N N years ago would buy only $ N worth of stuff today
 on two occasions the inflation rate rose to more than N N a year
 in each case the ending of this <unk> inflation caused a severe recession the two worst of the postwar period
 the enormous inflation over the past N years was largely due to monetary policy
 at least it would not have happened without the support of monetary policy that provided for a <unk> increase in the money supply during the same period
 and that increase in the money supply would not have happened without the consent of the federal reserve
 the basic problem of monetary policy to which reform of the fed should be addressed is to prevent a <unk> of this experience
 there were two general reasons for the <unk> monetary policy of the past N years
 N to some extent the federal reserve shared the popular but incorrect view that <unk> monetary policy could yield a net improvement in employment and output
 N even where the fed did not share this view it felt the need to accommodate to it
 despite all the formal provisions for its independence the fed seems constantly to feel that if it uses its independence too freely it will lose it
 the common proposals for <unk> the fed would only make the situation worse if they had any effect at all
 putting the secretary of the treasury on the board of governors one of the leading proposals today is an example
 the secretary is the world 's biggest <unk> of money
 he has a <unk> constant <unk> for lower interest rates
 moreover he is a political agent of a political president who naturally gives extraordinary weight to the way the economy will perform before the next election and less to its <unk> health
 these days the secretary <unk> the further <unk> that he is a member of a club of seven finance ministers who meet occasionally to decide what exchange rates should be which is a diversion from the real business of the federal reserve to stabilize the price level
 how should a reasonable member of the federal reserve board interpret a congressional decision to put the secretary on the board
 could he <unk> interpret it as encouragement for the fed to give primary emphasis to stabilizing the price level
 or would he interpret it as instruction to give more weight to these other objectives that the secretary represents low interest rates <unk> economic expansion and <unk> of exchange rates at internationally managed levels
 the answer seems perfectly clear
 true a succession of fed chairmen has given color to the notion that the secretary of the treasury belongs on the fed
 by their constant <unk> to advise all and <unk> about federal budgetary matters the chairmen have encouraged the belief that fiscal policy and monetary policy are <unk> of a common <unk> in which case it is natural that the fed and the treasury and probably also the congress should be jointly engaged in <unk> the pot
 the fed 's case for its own independence would be a little stronger if it were more <unk> of the independence of the rest of the government
 the fed 's problem is not that it is too independent or too <unk>
 the fed is responsive to and can not help being responsive to the more <unk> political part of the government
 the fed exercises a power given to it by congress and the president
 but congress and the president accept no responsibility for the exercise of the power they have given the fed
 critics of the present arrangement are correct to say that it is <unk>
 what is <unk> is the <unk> of the more political parts of the government to take the responsibility for deciding the basic question of monetary policy which is what priority should be given to stabilizing the price level
 to leave this decision to an independent agency is not only <unk>
 it also prevents the conduct of a policy that has a long-term rationale because it leaves the fed <unk> about what are the expectations of its masters the politicians who have never had to consider the long-term consequences of monetary policy
 the greatest contribution congress could make at this time would be to declare that stabilizing the price level is the primary responsibility of the federal reserve system
 legislation to this effect has been introduced in congress in this session by rep. stephen neal d. n.c
 it is not the kind of thing that is likely to be enacted however
 congress would be required to make a hard decision and congress would much prefer to leave the hard decision to the fed and retain its rights of complaint after the fact
 people will say that the nation and the government have other objectives in addition to stabilizing the price level which is true
 but that is not the same as saying that the federal reserve has other objectives
 the government has other agencies and instruments for pursuing these other objectives
 but it has only the fed to pursue <unk> stability
 and the fed has at most very limited ability to contribute to the achievement of other objectives by means other than by stabilizing the price level
 the two objectives most commonly thought to be legitimate competitors for the attention of the fed are high employment and rapid real growth
 but the main lesson of economic policy in the past N years is that if the fed <unk> with the <unk> objective in the pursuit of these other goals the result is not high employment and rapid growth but is inflation
 a former chairman of the president 's council of economic advisers mr. stein is an american enterprise institute fellow
 republic new york corp. joined the list of banks boosting reserves for losses on loans to less-developed countries setting out a $ N million provision and posting a $ N million third-quarter net loss as a result
 the per-share loss was $ N
 in the year earlier period the new york parent of republic national bank had net income of $ N million or $ N a share
 excluding the provision republic earned $ N million up N N from a year ago
 the bank 's <unk> and long-term loans to less-developed countries total $ N million of which $ N million are n't <unk> interest the bank said
 republic 's total of nonperforming assets was $ N million at sept. N with its reserve for loan losses now standing at $ N million
 abortion-rights advocates won last week 's <unk> but the war over the nation 's <unk> social question is about to pick up again on turf that favors those seeking to restrict abortions
 strict new regulations seem certain to pass the state house in pennsylvania next week with easy approval by the senate and by democratic gov. bob <unk> expected shortly thereafter
 legislation to require the consent of parents before their daughters under the age of N can have abortions will probably pass both houses of the michigan legislature and set up a <unk> battle to override the expected veto of democratic gov. james <unk>
 the short-term shift in the political climate surrounding abortion reflects two factors that are likely to govern the debate in the next several months the <unk> of the abortion-rights movement as a potent force after years of <unk> and the ability of each side to counter the other 's advance in one arena with a victory of its own elsewhere
 the action in pennsylvania for example will follow last week 's collapse of a special session of the florida legislature to enact restrictions on abortions in that state and the vote here in washington by the house to permit federally paid abortions for poor women who are victims of rape or incest
 but president bush is expected to veto the congressional legislation and that along with the easy approval of the pennsylvania measure is likely to <unk> the abortion-rights activists ' claims of momentum and <unk> the challenges faced by this <unk> movement
 it 's great to feel good for once in N years says harrison <unk> a consultant to abortion-rights advocates reflecting the relief of his <unk> after last week 's victories the first major events since the supreme court in its july N webster decision permitted the states to enact restrictions on abortions
 but how many more times we 're going to feel good in the next N is another question
 indeed abortion-rights activists still face their greatest tests
 the pro-choice movement has shown finally that it can <unk> says <unk> <unk> a <unk> university political scientist who specializes in how state legislators handle the abortion question
 but it still has n't shown that it can win in a state like pennsylvania or missouri where abortion has been clearly an electoral issue and where it 's been an emotional issue for a long time
 the foes of abortion hold the strong whip hand in pennsylvania where abortion-rights activists are so much on the defensive that their strategy is less to fight the proposed legislation than it is to stress how the state legislature does n't reflect the <unk> of the state 's citizens
 as a result gop state rep. stephen <unk> of delaware county the legislature 's leading <unk> of abortion has been given all but free rein to press a strict <unk> plan to restrict abortion and he hopes to force the supreme court directly to <unk> its N roe v. wade decision that established the right of abortion in the first place
 the <unk> legislation the state 's house judiciary committee approved it in <unk> this week and the full pennsylvania house is expected to take up the bill next tuesday includes a provision to ban abortions after N weeks of pregnancy except to <unk> the death of the mother
 mr. <unk> <unk> that the provision which attacks the <unk> standards that roe established will make it necessary for the supreme court to review roe and perhaps to <unk> it
 but the pennsylvania measure also includes an informed consent provision that may become widely <unk> by abortion foes who want to make women contemplating abortion as uncomfortable as possible with the procedure and with themselves
 under this legislation a woman must be informed N hours before the operation of the details of the procedure and its risks
 regardless of whether one supports or opposes the right to an abortion mr. <unk> argues it is virtually impossible for any rational human being to disagree with the concept that a woman has the right to have all of the appropriate materials and advice made available to her before she makes a decision which one way or the other might remain with her for the rest of her life
 in michigan where the state senate is expected to approve <unk> legislation by the end of next week gov. <unk> is the principal obstacle for anti-abortionists
 susan <unk> a consultant to abortion-rights activists in the state takes comfort from the fact that the state 's house abortion opponents have n't been able to <unk> the votes to <unk> a veto on abortion in N years
 but proponents believe they may be able to shake enough votes loose to override the veto if they are successful in portraying the legislation as a matter of parents ' rights
 in illinois lawmakers will vote before next spring on legislation requiring physicians to perform tests on <unk> at N weeks to determine their <unk> age weight and lung maturity along with a provision requiring that if <unk> survive an abortion a second doctor must be on hand to help it survive
 the legislation failed by one vote to clear the house rules committee tuesday but anti-abortionists still may succeed in bringing the measure to the floor this fall
 <unk> <unk> executive director of the illinois planned <unk> council says she and her allies are cautiously optimistic they can defeat it if it comes to a floor vote
 abortion foes in wisconsin meanwhile expect a <unk> bill to be sent to the state assembly floor by early november and are hopeful of prevailing in both houses by next march
 in texas abortion opponents want to pass <unk> legislation along with a statewide ban on the use of public funds personnel and facilities for abortion and viability tests for <unk> N weeks and older
 the anti-abortionists are urging gop gov. bill <unk> to press the issues in a special session scheduled to run nov. N to dec. N
 the <unk> is only fair says <unk> roberts administrative director of the texas right to life committee
 next year is an election year and the legislators just do n't want to do anything about this now
 this legislative activity comes as both sides are undertaking new <unk> efforts plunging into gubernatorial races in virginia and new jersey and <unk> for next autumn 's state elections
 at the same time abortion foes have developed a national legislative strategy deciding to move on what <unk> <unk> the national right to life committee 's director of state <unk> development calls reasonable measures that an overwhelming mainstream majority of americans support
 these include bans on the use of abortion for birth control and sex selection and the public funding of alternatives for abortion
 those who are on the other side can hardly oppose alternative funding if they continue to insist on calling themselves pro-choice rather than <unk> says mary <unk> the group 's associate state legislative coordinator
 over the weekend the national abortion rights action league singled out eight politicians including pennsylvania 's mr. <unk> as N targets and held a washington <unk> designed to train its leaders in political techniques including how to put the anti-abortionists on the defensive in state legislatures
 we now see pro-choice legislators going on the offensive for the first time says kate <unk> executive director of the group
 wall street
 when i was just a child and confronted by my fears the things that i thought would get me had <unk> and pointed <unk>
 nothing much has changed my periodic <unk> are still from hostile animals only now they 're bulls and bears
 pat <unk>
 daffynition
 trained <unk> <unk>
 <unk> j. <unk>
 this maker and marketer of <unk> tape systems said it completed the sale of N million shares of common priced at $ N a share in an initial public offering
 the company said that it is selling two million shares and that the rest are being sold by certain stockholders
 proceeds will be used for capital expenditures and working capital
 goldman sachs & co. and montgomery securities inc. are <unk> the offering
 congress sent president bush an $ N billion fiscal N treasury and postal service bill providing $ N billion for the internal revenue service and increasing the customs service 's <unk> program nearly a third
 final approval came on a simple voice vote in the senate and the swift passage <unk> with months of negotiations over the underlying bill which is <unk> with special-interest provisions for both members and the executive branch
 an estimated $ N million was added for university and science grants including $ N million for smith college
 and southwest lawmakers were a driving force behind $ N million for <unk> border facilities or more than double the administration 's request
 more than $ N million is allocated for <unk> and expenses for former presidents and the budget for the official residence of vice president quayle is more than doubled with $ N designated for improvements to the property
 even the office of management and budget is remembered with an extra $ N million to help offset pay costs that other government departments are being asked to absorb
 within the irs nearly $ N billion is provided for processing tax returns a N N increase over fiscal N and double what the government was spending five years ago
 investigation and taxpayer service accounts would grow to $ N billion and congress specifically added $ N million for stepped up criminal investigations of money laundering related to drug traffic
 the large increase in customs service <unk> funds is also intended to counter <unk> and the annual appropriations level has more than <unk> in five years
 the $ N million provided for fiscal N anticipates the purchase of a lockheed <unk> <unk> aircraft and five <unk> <unk> ii jets
 despite administration reservations the plan has had the quiet backing of customs officials as well as influential lawmakers from <unk> 's home state kansas
 among legislative provisions attached to the bill is a ban on any treasury department expenditure for enforcement of a N tax provision intended to counter discrimination in <unk> plans
 small-business interests have lobbied against the so-called section N tax rules
 repeal is considered likely now but the treasury department bill has been used as a vehicle to raise the profile of the issue and block any action in the interim
 less noticed is a bit of legislative <unk> by houston republicans on behalf of <unk> corp. of texas to <unk> move a missouri hospital from one county to the next to justify higher medicare <unk>
 the provision seeks to wipe out an estimated $ N million in claims made by the health care finance administration against <unk> which owned the hospital in sullivan mo. during most of the four-year period N covered in the amendment
 in a separate development a private meeting is scheduled this morning between house appropriations committee chairman jamie whitten d. miss and sen. dale <unk> d. ark in an effort to end a dispute which for two weeks has delayed action on an estimated $ N billion agriculture bill
 a house-senate conference reached agreement oct. N on virtually all major provisions of the bill but final settlement has been stalled because of differences between the two men over the fate of a modest <unk> program to provide technical information to farmers seeking to reduce their <unk> on chemical <unk> and pesticides
 the program 's nonprofit sponsors received $ N in fiscal N through an extension service grant but mr. whitten has been <unk> in insisting that the program be cut in N
 the <unk> <unk> takes a more orthodox entrenched view of agriculture policy than those in the movement to reduce chemical use but as a master of pork-barrel politics he is believed to be <unk> as well that the project moved to arkansas from a tennessee center near memphis and the northern mississippi border
 michael f. <unk> director of corporate public relations at data general corp. was named to the new position of vice president corporate communications of this maker of data storage equipment
 b.a.t industries plc may delay aspects of its defensive restructuring plan including the sale of its saks fifth avenue and marshall field units in the wake of the current upheaval in financial markets company officials said
 the british conglomerate planning its own defensive restructuring to fight off a # N billion $ N billion takeover bid by <unk> financier sir james goldsmith intends to press ahead with an extraordinary shareholder vote today to clear the way for its <unk> measures
 if anything the gyrations in world stock markets and in b.a.t 's share price since last friday 's sharp wall street sell-off have increased the likelihood of shareholder approval for the restructuring analysts and several big institutional holders said
 <unk> god we have some deal on the table said stewart <unk> a director at scottish amicable investment managers which intends to vote its roughly N N stake in favor of the restructuring
 investors in b.a.t have been on a roller <unk>
 b.a.t has been london 's <unk> blue chip over the past six months up N N against a N N rise in the financial times 100-share index
 but this week b.a.t has been hit harder than other big u.k. stocks first by the market gyrations then by tuesday 's san francisco earthquake which could leave b.a.t 's farmers group inc. insurance unit facing big claims
 b.a.t rose five pence eight cents to N pence $ N in london yesterday as a late market rally erased a <unk> fall earlier in the day
 to fight off <unk> b.a.t plans to spin off about $ N billion in assets largely by selling such u.s. retailing units as marshall field and saks and by floating its big paper and u.k. retailing business via share issues to existing holders
 proceeds will help pay for a planned buy-back of N N of its shares and a N N dividend increase
 i think the restructuring will get the required support said michael <unk> an analyst at london <unk> <unk> phillips & drew
 the shareholders effectively will support the share price by clearing the share buy-back
 but b.a.t 's restructuring which was never going to happen quickly now will take longer because of the market upheaval
 company officials holders and analysts who previously expected the <unk> to be substantially complete by the end of next year 's first half now say the market gyrations could delay the actions well into the second half
 we are n't forced sellers
 we do n't have an <unk> deadline and if market conditions are truly awful we might decide it is not the right time to take particular steps said michael <unk> a b.a.t spokesman
 even if b.a.t receives approval for the restructuring the company will remain in play say shareholders and analysts though the situation may <unk> over the next N months rather than six
 the new b.a.t will be a smaller tobacco and financial-services hybrid whose price-earnings ratio may more closely reflect the <unk> tobacco business than the <unk> financial-services business these holders believe
 thus b.a.t 's restructuring may only make the company a more <unk> target for other corporate <unk> possibly such <unk> bidders as hanson plc
 the last few days will surely slow down the pace of events says scottish amicable 's mr. <unk>
 but i would n't write off sir james or other potential bidders
 among possible delays the sales of saks and marshall field which were expected to be on the block soon after the crucial christmas season may slide into the second quarter or second half
 analysts estimate that sales of the two businesses could raise roughly $ N billion
 b.a.t is n't predicting a <unk> because the units are quality businesses and we are encouraged by the <unk> of inquiries said mr. <unk>
 but the delay could happen if b.a.t does n't get adequate bids he said
 people familiar with b.a.t say possible <unk> for the units include managers from both retailing chains and general <unk> corp. which is interested in bidding for saks
 other potential bidders for parts of b.a.t 's u.s. retail unit include <unk> department stores inc. may department stores co. and limited inc
 b.a.t has declined to identify the potential bidders
 though sir james has said he intends to mount a new bid for b.a.t once approval from u.s. insurance regulators is received jitters over prospects for junk-bond financing and u.s. leverage buy-outs are making investors more skeptical about sir james 's prospects
 his initial offer indicated he needed to raise as much as N N of the takeover financing through the debt markets
 market uncertainty also clouds the outlook for b.a.t 's attracting a premium price for its u.s. retailing properties
 finally tuesday 's california earthquake initially knocked N N off b.a.t 's share price in london yesterday because of fears of the potential claims to los angeles-based farmers which has a substantial portion of its property and casualty exposure in california
 on farmers mr. <unk> said it is too early to <unk> the level of potential claims
 he added b.a.t has no expectation of a material impact on farmers
 bridge and highway <unk> will disrupt truck and auto transportation in the san francisco bay area for months to come
 but rail air and <unk> links to the area escaped tuesday 's earthquake with only minor damage and many are expected to be operating normally today government and corporate transport officials said
 air traffic at san francisco international airport was running about N N of normal yesterday afternoon but airport <unk> said they expect a return to full operations by saturday
 the major <unk> to asia and one of the nation 's N busiest airports was closed to all but emergency traffic from the time the quake hit tuesday afternoon until N a.m. <unk> yesterday when controllers returned to the tower
 getting to and from the airport in coming weeks may be the problem however
 people 's ability to drive throughout the bay area is greatly restricted said a spokesman for the american automobile association
 tom <unk> executive vice president and general manager of the california trucking association in <unk> said his organization urged trucking firms to halt all deliveries into the bay area yesterday except for <unk> supplies
 some <unk> shipments will probably resume thursday he said
 right now most of the roads into the bay area are closed but the list of closings changes about every N minutes
 this wednesday morning the san mateo bridge was open and now we are informed that it is closed mr. <unk> said
 united parcel service greenwich conn. said its operations in the san francisco area have been reduced to N N of normal
 a ups spokesman said that although none of the company 's terminals trucks or airplanes were damaged in the quake road <unk> and power failures have <unk> its pickup and delivery of packages
 the spokesman noted <unk> to <unk> traffic delays on the san mateo bridge for example
 in addition power failures prevented its <unk> facilities from operating causing delays
 but freight <unk> reported that damage to their facilities was relatively minor with santa fe pacific corp. 's rail unit the least affected by the quake
 santa fe stopped freight trains tuesday night while its officials <unk> track but resumed service at N p.m. when they found no damage
 union pacific corp. 's rail unit said that except for damage to shipping containers in its oakland yard its track bridges and structures were <unk>
 that railroad is operating trains but with delays caused by employees unable to get to work
 southern pacific transportation co. the hardest hit of the three <unk> in the bay area said service on its <unk> <unk> which is used by an <unk> train between los angeles and seattle was suspended temporarily because of <unk> <unk> near the epicenter of the quake
 but service on the line is expected to resume by noon today
 we had no serious damage on the railroad said a southern pacific spokesman
 we have no problem to our freight service at all expect for the fact businesses are shut down
 <unk> said it suspended train service into its oakland station which sustained heavy structural damage during the quake
 the passenger railroad said it terminated some runs in sacramento relying on buses to ferry passengers to the bay area
 <unk> said it planned to resume some train operations to oakland late yesterday
 <unk> operations suffered little damage according to albert engelken deputy executive director of the american public transit association in washington
 the bay area rapid transit <unk> the earthquake perfectly said mr. engelken adding that the rail system was running a full fleet of N trains during the day to provide an alternative for highway travelers
 the highway system is <unk> up by the earthquake mr. engelken said
 the transit system is how people are going to be getting around
 he added that san francisco 's <unk> cars and <unk> buses were also running at full service levels
 although <unk> delays in san francisco were significant yesterday they did n't appear to spread to other airports
 the earthquake shattered windows at san francisco international 's <unk> control tower and <unk> pieces of the ceiling down on controllers three of whom suffered minor injuries
 terminals at san francisco international also were damaged but the tower itself was intact
 tuesday night thousands were diverted to other airports and had to wait a day to resume travel
 <unk> at san francisco were n't damaged but traffic was being limited yesterday to N <unk> and N departures an hour down from N to N an hour normally mainly because the noise level in the control tower was overwhelming without the windows an faa spokeswoman said
 while the airport was closed flights were diverted to airports in sacramento and <unk> calif. <unk> and las vegas nev. and los angeles
 united airlines the largest carrier at san francisco was operating only N N of its scheduled service in and out of the area because of damage to its terminal which in turn was causing delays for travelers headed to the bay area
 a united spokesman said N of its N gates were <unk> mainly because of water damage caused when a <unk> system was triggered by the tremors
 the united spokesman said none of its people were injured at the airport in fact as the airport was being <unk> tuesday night two <unk> were born
 yesterday the united ticket counter was active with people trying to get flights out but the airline said demand for seats into the city also was active with people trying to get there to help family and friends
 the airports in san jose and oakland were both fully operational by noon yesterday the federal aviation administration said
 in terms of <unk> denver 's <unk> international may have experienced the most <unk> a united flight from japan was <unk> there
 i think that 's the first <unk> commercial passenger flight from japan to land here an airport spokesman said
 a japan air lines spokesman said its flights into and out of san francisco were n't affected but getting information about its operations was difficult
 its telecommunications headquarters in <unk> calif. had been knocked out since the quake
 we 're in the dark he said
 whitbread & co. put its spirits division up for sale triggering a scramble among global groups for the british company 's brands
 whitbread already has been approached by about half a dozen companies interested in buying all or part of the spirits business a spokesman said
 analysts expect the spirits operations and some california <unk> that also are being sold to fetch about # N million $ N million
 among the brands for sale are beefeater gin the no. N imported gin in the u.s. and <unk> <unk> whiskey
 also for sale are <unk> <unk> co. which distributes <unk> <unk> <unk> whiskey in the u.s. and whitbread 's atlas peak <unk> in california 's <unk> valley
 beefeater alone is worth as much as # N million analysts said
 whitbread bought the beefeater <unk> two years ago for # N million
 that purchase represented an attempt by whitbread a venerable british brewer to become a major player in the global liquor business
 but whitbread has been squeezed by giant rivals amid widespread consolidation in the industry
 now it wants to concentrate on beer and its newer hotel and restaurant operations
 for rival liquor companies the whitbread auction is a rare opportunity to acquire valuable brands
 it 's not very often something like this comes up said ron <unk> a liquor company analyst at nomura research institute in london
 the division will be sold off quite rapidly predicted <unk> <unk> an analyst at london brokers county natwest <unk>
 among possible buyers grand metropolitan plc might find beefeater a useful addition to its portfolio
 grand met owns <unk> gin the no. N imported gin in the u.s. rival guinness plc has the no. N imported brand <unk>
 the whitbread spirits auction is an extremely interesting development and naturally we 'll be considering it carefully a grand met spokesman said
 guinness which owns several leading whiskey brands plus gordon 's gin the world 's no. N gin is considered less likely to bid for the whitbread spirits
 a guinness spokesman declined to comment
 two other global liquor giants canada 's seagram co. and britain 's <unk> plc also are possible buyers
 seagram 's gin is the world 's no. N gin brand but the company does n't own any of the major gin brands imported in the u.s.
 <unk> while powerful in whiskey does n't own any major <unk> brands
 we will certainly have to take a look at the whitbread spirits business an <unk> spokesman said
 we would certainly like to have a major <unk> brand in our portfolio
 a seagram spokesman in new york would n't comment
 smaller liquor companies such as brown-forman corp. and american brands inc. of the u.s. also are likely to be interested
 such companies are increasingly being left behind in the global liquor business says nomura 's mr. <unk>
 in new york a spokesman for american brands would n't comment
 brown-forman a louisville ky. <unk> also declined to comment
 whitbread 's wine spirits and soft-drink operations had trading profit of # N million on sales of # N million in the year ended feb. N
 the company which is retaining most of its wine and all of its soft-drink interests did n't break out results for the businesses it plans to sell
 but analysts estimate their trading profit at # N million
 whitbread had total pretax profit in the year ended feb. N of # N million on sales of # N billion
 whitbread 's spirits auction occurs amid a parallel <unk> in the british beer industry
 earlier this year the government announced plans to foster increased competition in the industry
 british <unk> currently own thousands of <unk> which in turn sell only the <unk> ' beer and soft drinks
 under new rules many of the country 's <unk> would become free houses selling beers of their choice
 whitbread now intends to bolster its brewing interests in an effort to grab a share of sales to free houses
 the company which last month paid # N million for regional british brewer <unk> group plc has about N N of the british beer market
 whitbread also owns the license to <unk> and distribute <unk> and <unk> <unk> beers in britain
 in addition whitbread intends to focus on its newer hotel liquor store and restaurant businesses in europe and north america
 in britain those interests include the beefeater <unk> chain and joint ownership with pepsico inc. of the country 's pizza hut chain
 in canada and the u.s. whitbread owns the <unk> chain of <unk> and <unk> restaurants
 focusing on beer restaurants and hotels means we can concentrate our skills and resources more effectively peter <unk> whitbread 's managing director said in a statement
 the spirits business would require substantial additional investment to enable it to compete effectively in the first division of global players
 whitbread also announced that mr. <unk> who is N will become the company 's chief executive march N
 at that time sam whitbread the company 's chairman and a <unk> of its <unk> founder will retire from executive duties
 he will retain the <unk> title of <unk> chairman
 the treasury plans to raise $ N million in new cash with the sale tuesday of about $ N billion in two-year notes to redeem $ N billion in maturing notes
 the offering will be dated oct. N and mature oct. N
 tenders for the notes available in minimum $ N denominations must be received by N p.m. edt tuesday at the treasury or at federal reserve banks or branches
 <unk> land & <unk> co. <unk> calif. announced a 2-for-1 split in the real estate limited partnership 's units and increased its regular quarterly cash distribution N N to N cents a unit
 the real estate limited partnership also said it will pay a special year-end cash distribution of N cents a unit
 both distributions are payable dec. N to limited partners of record nov. N
 mellon bank corp. said directors authorized the buy-back of as many as N common shares
 the bank holding company said stock <unk> will be used to meet requirements for the company 's benefit plans
 mellon has N million shares outstanding
 champion international corp. 's third-quarter profit dropped N N reflecting price declines for certain paper products operating problems at certain mills and other factors
 the paper producer reported that net income fell to $ N million or $ N a share from $ N million or $ N a share in the year-earlier period
 sales rose N N to $ N billion from $ N billion
 in new york stock exchange composite trading champion 's shares rose N cents to $ N
 digital equipment corp. is planning a big <unk> party on tuesday for its first line of mainframe computers
 but an <unk> guest is expected to try to crash the party
 on the morning of the <unk> announcement international business machines corp. is to introduce its own new mainframe
 their attitude is you want to talk mainframes we 'll talk mainframes says one computer industry executive
 they 're deliberately trying to steal our <unk> a digital executive complains
 maybe we should take it as a <unk>
 digital 's target is the $ N billion market for mainframe computers the <unk> <unk> that nearly every big company needs to run its business
 ibm based in armonk n.y. has dominated the market for decades
 that does n't scare digital which has grown to be the world 's second-largest computer maker by <unk> customers of ibm 's <unk> machines
 digital based in maynard mass. hopes to stage a repeat performance in mainframes and it has spent almost $ N billion developing the new technology
 a <unk> <unk> tandem computers inc. in cupertino calif. jumped into the fray earlier this week with an aggressively priced entry
 ibm appears more worried about digital which has a broad base of customers waiting for the new line dubbed the vax N
 it 's going to be nuclear war says thomas <unk> a consultant with <unk> group inc
 the surge in competition is expected to stir new life into the huge mainframe market where growth has slowed to single <unk> in recent years
 ibm 's traditional mainframe rivals including unisys corp. control data corp. and ncr corp. have struggled recently
 digital is promising a new approach
 robert m. <unk> digital 's vice president for high performance systems says digital 's mainframe is designed not as a central computer around which everything <unk> but as part of a <unk> network <unk> together hundreds of workstations personal computers printers and other devices
 and unlike ibm 's <unk> mainframes it does n't need any plumbing
 the <unk> will have a big price advantage
 digital is expected to tag its new line from about $ N million to $ N million and up depending on <unk>
 that 's about half the price of <unk> equipped ibm mainframes
 tandem 's pricing is just as aggressive
 the heightened competition will hit ibm at a difficult time
 the computer giant 's current mainframe line which has sold well and has huge profit margins is starting to show its age
 the new <unk> due next week will boost performance by only about N N to N N
 and ibm is n't expected to deliver a new generation of mainframes until N
 still no one expects ibm 's rivals to deliver a <unk>
 ibm has a <unk> on mainframes with an estimated N N share of the market
 ibm is five times the size of digital and N times the size of tandem and <unk> enormous market power
 it counts among its customers a majority of the world 's largest corporations which <unk> their most critical business information to ibm computers
 we 're not going to walk in and replace a company 's corporate accounting system if it 's already running on an ibm mainframe concedes kenneth h. <unk> digital 's president
 he says digital will target <unk> market segments such as <unk> transaction processing which includes <unk> tracking airline reservations and <unk> networks
 tandem which already specializes in <unk> transaction processing is a potent competitor in that market
 a key marketing target for digital will be the large number of big customers who already own both digital and ibm systems
 one such company is bankers trust co
 stanley rose a vice president technological and strategic planning at bankers trust says that despite digital 's low prices we are n't about to <unk> our ibm mainframes for a dec machine
 the software conversion costs would <unk> any savings
 but mr. rose is still looking seriously at the N
 bankers trust uses digital 's vax to run its huge <unk> and capital markets accounts <unk> hundreds of billions of dollars each day he says
 as that system grows larger computers may be needed
 in the past customers had to go to ibm when they <unk> the vax
 now they do n't have to he says
 that 's going to cost ibm revenue
 analysts say digital can expect this <unk> demand for the new vax to fuel strong sales next year
 barry f. <unk> an analyst at sanford c. bernstein & co. estimates the N could boost sales by more than $ N billion in the fiscal year beginning in july
 he bases the estimate on a survey of hundreds of digital 's largest customers
 although digital will announce a full family of mainframes next week it is n't expected to begin shipping in volume until next year
 the first model available will be the N which is likely to appeal to many technical and scientific buyers interested in the <unk> <unk> or <unk> <unk> says terry shannon of international data corp. a market research concern
 four more models aimed <unk> at ibm 's commercial customers are expected to begin shipping in late june
 most analysts do n't expect the new mainframes to begin contributing significantly to revenue before the fiscal first quarter which begins next july N
 digital 's new line has been a long time coming
 the company has long struggled to deliver a strong <unk> product and made a costly decision in N to halt development of an interim product meant to stem the revenue losses at the high end
 digital 's failure to deliver a true <unk> machine before now may have cost the company as much as $ N billion in revenue in fiscal N mr. <unk> says
 ibm will face still more competition in coming months
 <unk> corp. backed by japan 's fujitsu ltd. has a growing share of the market with its <unk> <unk> machines
 and national advanced systems a joint venture of japan 's hitachi ltd. and general motors corp. 's electronic data systems is expected to unveil a line of powerful <unk> mainframes later this year
 note
 <unk> is national advanced systems <unk> control data corp. bull <unk> information systems inc
 source international data corp
 compiled by publishers weekly from data from <unk> <unk> <unk> chains and local <unk> lists across the u.s.
 copyright N by reed publishing usa
 the <unk> stock and bond markets cooled off but the dollar slumped
 stocks rose slightly as trading activity slowed from the <unk> pace earlier this week
 prices of long-term treasury bonds <unk> in a narrow band most of the day finishing little changed despite the dollar 's weakness and fears about a wave of government borrowing coming soon
 helped by futures-related program buying the dow jones industrial average gained N points to close at N
 but the dow jones transportation average fell for the <unk> session as more investors dumped ual shares
 bond prices rallied early yesterday morning as traders scrambled to buy treasury issues on fears that the northern california earthquake might lead to a stock-market debacle
 but when stocks held steady treasury bonds later retreated
 speculation that the federal reserve will lower interest rates in coming weeks helped push the dollar down while boosting stocks traders said
 but many investors remain wary about stocks partly because they expect continued turbulence in the junk-bond market that would make it more difficult to finance corporate takeovers
 i 'm surprised we did n't see more volatility in stocks said raymond f. devoe jr. market strategist at legg mason wood walker
 i think the problems in the junk-bond area are just beginning and this will be very <unk> for companies that have issued junk bonds
 in a bull market credit does not matter mr. devoe added
 but when it does matter then it 's the only thing that matters
 however many institutional investors are reacting to the stock market 's plunge as a great buying opportunity said charles i. <unk> chief investment strategist at merrill lynch capital markets
 things are beginning to settle down
 the markets are returning to <unk>
 oil prices initially rose on fears that the massive earthquake in northern california would disrupt production
 but prices later reversed course finishing slightly lower as investors concluded that any cuts would n't be large and that foreign oil producers would quickly pick up the slack
 in major market activity
 stock prices rose
 new york stock exchange volume shrank to N million shares from N million tuesday
 advancers on the big board <unk> decliners by N to N
 bond prices were little changed in sluggish activity
 the yield on the treasury 's 30-year issue fell slightly to N N
 the dollar dropped
 in new york late yesterday the currency was at N yen and N marks down from N yen and N marks late tuesday
 james l. <unk> N years old was named a vice president and assistant general manager of this producer of copper and other minerals
 he will succeed arthur e. <unk> as general manager feb. N when mr. <unk> <unk>
 amr corp. posted an N N drop in third-quarter net income and said the fourth quarter will be disappointing as well primarily because of <unk> profit margins and increased fuel costs
 amr 's earnings decline comes a year after the parent company of american airlines and the rest of the airline industry set profit records
 some analysts say the latest results only seem pale by comparison with a spectacular second half of N
 still amr 's <unk> does n't <unk> well for the rest of the industry
 the fort worth texas company is generally regarded as one of the <unk> in the business and its difficulties are likely to be reflected industrywide as other major carriers report third-quarter results over the next several days
 meanwhile the company 's board which had said nothing publicly about investor donald trump 's recently withdrawn $ N billion offer for amr issued a statement <unk> <unk> and reckless bids and saying it was pleased that mr. trump had backed out
 in the third quarter amr said net fell to $ N million or $ N a share from $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion a year earlier
 amr 's chairman robert l. crandall said the results were due to an N N year-to-year increase in fuel prices and a slight decrease in yield an industry measure <unk> to profit margin on each seat sold
 we think these trends will continue and will produce a very disappointing fourth quarter as well he said
 tim <unk> an analyst with merrill lynch & co. said the business turned faster than expected
 costs are giving them a little bit of trouble and the whole industry is having a pricing problem
 for the nine months amr 's net rose N N to $ N million or $ N a share from $ N million or $ N a share
 revenue jumped N N to $ N billion from $ N billion
 amr 's board in a statement after a regular meeting yesterday said <unk> and reckless acquisition proposals <unk> affect employee financial and business relationships and are contrary to the best interests of amr shareholders
 amr has not been and is not for sale
 mr. crandall said the company 's current decline in earnings is exactly the kind of situation that an <unk> leveraged company <unk> with debt from a takeover would find difficult to weather
 our very disappointing third-quarter results and the discouraging outlook for the fourth quarter underscore the importance of an adequate capital base he said
 christopher whittington <unk> deputy chairman of this british investment-banking group and chairman of morgan grenfell & co. the group 's main banking unit has retired from his executive duties
 succeeding mr. whittington as deputy chairman of the group is anthony <unk> N currently a main board member
 succeeding mr. whittington at morgan grenfell & co. is richard <unk> N currently deputy chairman
 mr. whittington will remain on the main group board as a nonexecutive director
 without federal subsidies to developers of beach houses the economic and structural damage by hurricane hugo in south carolina would have been much less as <unk> by your oct. N editorial subsidizing disaster
 congress should stop throwing tax dollars out to sea by subsidizing the development of beach communities on <unk> fragile coastal barrier islands such as the <unk> <unk> of <unk> near charleston
 as you mentioned subsidies for development on a number of barrier islands were curtailed in N by the coastal barrier resource system
 the national taxpayers union would like congress to add N acres to the N of <unk> in the system by <unk> the coastal barrier improvement act of N
 this bill simply says that if you want to develop property on a barrier island you have to do so without taxpayer support
 <unk> rights would be upheld because the legislation would not ban coastal development
 however home builders would have to bear the full costs of such <unk> construction
 a taxpayers union study concluded the bill would save taxpayers up to $ N billion in <unk> subsidies over N years
 already the N legislation has saved an estimated $ N million
 marshall <unk> taylor
 communications director
 national taxpayers union
 the government said N N of americans or N million people were living in poverty in N
 while last year 's figure was down from N N in N and marked the fifth consecutive annual decline in the poverty rate the census bureau said the N drop was n't <unk> significant
 the bureau 's report also showed that while some measures of the nation 's economic <unk> improved modestly in N the <unk> of prosperity were shared less <unk> than the year before
 <unk> data derived from a march N survey of N households william <unk> associate director of the census bureau said that most groups either stayed the same or improved
 but he added since the late 1960s the distribution of income has been slowly getting less equal
 there was no reversal of that trend between N and N
 per capita income a widely used measure of a nation 's economic health hit a record in N rising N N after inflation adjustment to $ N
 but the median income of american families fell N N the first time it has failed to rise since N
 mr. <unk> said the divergence in the two measures reflects changes in family size and structure including the rising number of <unk> families and a sharp increase in income reported by americans who are n't living in families
 as a result of last year 's decline the government 's estimate for the number of people living below the poverty line declined by about N
 the poverty <unk> defined as three times food expenses as calculated by the agricultural department last year was $ N for a family of four
 the census bureau counts all cash income in determining whether families are below the line but it does n't consider other government benefits such as medicare
 thanks largely to the continued growth of the u.s. economy the poverty rate is now substantially lower than the N peak of N N but the improvements have been modest in the past couple of years
 poverty remains far more widespread among blacks than other americans
 in N N N of blacks lived in poverty compared with N N for whites and N N for hispanics
 but two-thirds of all poor americans were white
 more than half of poor families were headed by women living without men the bureau said
 more than <unk> of poor black families were headed by women
 the poverty rate of children under N years old dropped last year to N N from N N in N but remained far higher than a decade ago
 the rate among the elderly N N in N was n't significantly lower than the year before
 if it were n't for social security payments more than three times as many elderly would be below the poverty line mr. <unk> said
 the census bureau also said
 some N N of all money income received by families in N went to the <unk> N N of all families up from N N in N
 that is the greatest share reported for any year since N although changing <unk> over the years <unk> the comparison
 the top fifth of all families got N N of the income up from N N a decade earlier
 the bottom fifth of all families got N N of the income down from N N a decade earlier
 confirming other government data showing that wages are n't keeping pace with inflation earnings of <unk> full-time male workers fell N N in N after adjusting for higher prices the first such drop since N
 earnings of female workers were unchanged
 women working full-time earned N cents for every dollar earned by men a penny more than in N and seven cents more than in N
 median household income which includes both those living in families and those who are n't rose N N last year to $ N after inflation
 it rose sharply in the northeast and midwest and fell slightly in the south and west
 median family income was $ N down N N
 per capita income of blacks though still only N N that of whites rose N N in N while per capita income of whites rose only N N
 among married couples the gap between blacks and whites narrowed sharply as income of black families shot up N N while income of whites did n't <unk>
 fueling a controversy that has been <unk> for years the census bureau also said its figures would look far <unk> if it <unk> the poverty <unk> using an improved <unk> measure adopted in N
 the bureau said some N million fewer people would have fallen below the poverty line in N and the poverty rate would have been N N instead of N N under the alternative <unk>
 critics on the left and right have been calling for all sorts of revisions to the measure for years
 a report by the staff of the joint economic committee of congress released yesterday concluded it is misleading to make this change without adjusting for other changes
 the official poverty <unk> is set by the office of management and budget
 john e. <unk> jr. was elected chairman president and chief executive officer succeeding david s. black who retired
 mr. <unk> N years old left southwestern bell telephone co. in january where he had been chairman president and chief executive to join <unk> capital partners a st. louis company with interests in solid waste and recycling telecommunications and international venture capital
 he has resigned his posts at <unk> to take the kansas power positions
 kansas power said mr. black N chose early retirement
 the space shuttle atlantis boosted the galileo spacecraft on its way to jupiter giving a big lift as well to an ambitious u.s. program of space exploration
 seven years late in the launching $ N billion over budget and a target of anti-nuclear <unk> galileo has long been a symbol of trouble for the national aeronautics and space administration
 but yesterday as atlantis <unk> into a patch of clear sky above florida with storm clouds closing in on it nasa sought to turn galileo into a symbol of <unk>
 nasa did it right that 's the message said <unk> thompson the agency 's deputy administrator
 the $ N billion robot spacecraft faces a <unk> <unk> to explore jupiter and its N known <unk>
 if all goes well it will <unk> a probe into the <unk> <unk> atmosphere in july N to pick up detailed data about <unk> that may be similar to the material from which the solar system was formed N billion years ago
 jupiter is so enormous its mass is N times that of earth that its <unk> may have trapped these <unk> <unk> and never let them escape
 investigating jupiter in detail may provide clues to what <unk> <unk> owen calls the <unk> <unk> of life jupiter and other bodies in the outer solar system are rich in elements such as <unk> that are essential for life on earth but these <unk> are <unk> earth on the other hand has a diminished store of such material but is rich in life
 some scientists have suggested that <unk> and <unk> may have brought enough of this kind of material from the outer solar system to earth to <unk> life
 beginning in december N galileo will begin a two-year tour of the <unk> <unk>
 in N two <unk> spacecraft sent back stunning photos of <unk> <unk> <unk> and <unk> that showed them to be among the most intriguing bodies in the solar system
 the photos showed active <unk> on <unk> <unk> <unk> material N miles into its atmosphere and indicated that <unk> may have an ocean hidden under a thick sheet of ice
 galileo 's photos of <unk> will be more than N times as sharp as <unk> 's according to <unk> johnson galileo 's project scientist and may show whether it actually has the only known ocean other than those on earth
 atlantis lifted galileo from the launch <unk> at N p.m. edt and released the craft from its cargo bay about six hours later
 galileo is on its way to another world in the hands of the best flight controllers in this world atlantis <unk> donald williams said
 fly <unk>
 the <unk> atlantis crew will conduct several experiments including growing plants and processing <unk> materials in space before their scheduled landing at edwards air force base calif. monday
 the galileo project started in N and a number of project veterans were on hand to watch the launch
 an <unk> mr. johnson wearing a nasa baseball cap and carrying a camera and <unk> called the launch <unk>
 <unk> <unk> manager of the galileo probe compared it to watching a child leave home
 i 'm happy and sad he said
 anti-nuclear activists took a less positive view
 having argued that galileo 's <unk> power source could have released <unk> <unk> of radiation if the shuttle exploded yesterday they were n't <unk> by yesterday 's successful launch
 galileo will <unk> past earth in N and N collecting energy from the planet 's <unk> field to gain momentum for its trip to jupiter
 the protesters point out that galileo also could crash to earth then
 they said they dropped plans to <unk> the kennedy space center after nasa <unk> up its security
 one protest did get past nasa 's guard though a computer virus caused <unk> messages to <unk> onto some computer screens at nasa centers
 the successful launch continues a remarkable recovery in the u.s. <unk> program
 an <unk> spacecraft <unk> already is heading to <unk> and is due to begin <unk> the planet next august
 <unk> N sent back spectacular photos of <unk> and its moon <unk> this summer
 next month nasa plans to launch a satellite to study <unk> <unk> dating from the birth of the universe
 in december the shuttle columbia will try to retrieve a satellite that 's been in <unk> for nearly five years measuring the <unk> effects of space on materials and instruments
 next march the shuttle discovery will launch the <unk> space <unk> a $ N billion instrument designed to see the <unk> <unk> in the universe
 not all of nasa 's <unk> work will be so <unk> though
 around <unk> the solar max satellite which nasa repaired in <unk> in N will tumble back into the earth 's atmosphere
 nasa wo n't attempt a rescue instead it will try to predict whether any of the rubble will <unk> to the ground and where
 the associated press 's earthquake coverage drew attention to a phenomenon that deserves some thought by public officials and other policy makers
 private relief agencies such as the <unk> army and red cross <unk> almost instantly to help people while the washington bureaucracy took hours getting into gear
 one news show we saw yesterday even displayed N federal officials meeting around a table
 we recall that the mayor of charleston complained bitterly about the federal bureaucracy 's response to hurricane hugo
 the sense grows that modern public <unk> simply do n't perform their assigned functions well
 bally manufacturing corp. and new york developer donald trump have agreed in principle to a $ N million settlement of shareholder litigation stemming from bally 's alleged <unk> payment to mr. trump
 according to lawyers familiar with the settlement talks the <unk> agreement to end a lawsuit filed more than two years ago was reached last week and will soon be submitted to a federal judge in <unk> n.j
 in february N bally <unk> a possible hostile takeover bid from mr. trump by agreeing to buy N million of mr. trump 's N million bally shares for $ N million more than $ N million above market price
 the term <unk> <unk> to a situation where a company pays a premium over market value to repurchase a stake held by a potential acquirer
 lawyers for shareholders bally and mr. trump all declined to talk publicly about the proposed settlement citing a request by a federal court <unk> not to reveal details of the agreement until it is completed
 but some attorneys who are familiar with the matter said the $ N million payment will be shared by bally and mr. trump with the casino and hotel concern probably paying the bulk of the money
 the amount bally and mr. trump will pay to settle the class-action suit <unk> in comparison to the $ N million walt disney co. and saul steinberg 's reliance group holdings inc. agreed to pay to settle a similar suit in july
 that settlement represented the first time shareholders were granted a major payment in a <unk> case
 mr. steinberg made a $ N million profit on the sale to disney of his investment in the company in N
 but lawyers said mr. steinberg probably faced much more potential liability because when he sued disney during his takeover battle he filed on behalf of all shareholders
 when disney offered to pay mr. steinberg a premium for his shares the new york investor did n't demand the company also pay a premium to other shareholders
 when mr. trump sued bally he sued only on behalf of himself
 mr. trump and bally also appeared to have some leverage in the case because in the state of delaware where bally is incorporated courts have held that <unk> is often protected by the <unk> rule
 that rule gives boards of directors wide <unk> in deciding how to deal with dissident shareholders
 senate <unk> final arguments in impeachment trial of federal judge
 yesterday u.s. judge <unk> hastings faced his jury the full u.s. senate and said i am not guilty of having committed any crime
 <unk> articles of impeachment against the florida judge one of the few blacks on the u.s. bench were approved by the house in august N
 the central charge against judge hastings is that he conspired with a washington lawyer to obtain a $ N bribe from defendants in a criminal case before the judge in return for <unk>
 he is also accused of lying under <unk> and of <unk> information obtained from a <unk> he <unk>
 the senate 's public gallery was packed with judge hastings ' supporters who erupted into applause after he finished his argument
 judge hastings who was acquitted of similar charges by a federal jury in N claims he is being <unk> and that the impeachment proceedings against him constitute double jeopardy
 but rep. john bryant d. texas the lead counsel for the house managers who conducted a lengthy inquiry into judge hastings ' activities said a mountain of evidence points to his certain <unk>
 the senate will <unk> behind closed doors today and is scheduled to vote on the impeachment tomorrow
 if the judge is <unk> as is thought likely he will be removed from office immediately
 however judge hastings has said he will continue to fight and is contemplating an appeal of any impeachment to the u.s. supreme court
 companies seeking to make insurers pay for pollution cleanup win court victory
 in a case involving avondale industries inc. and its insurer travelers cos. the second u.s. circuit court of appeals in new york ruled in favor of the company on two issues that lawyers say are central to dozens of pollution cases around the country
 travelers and other insurers have maintained that cleanup costs are n't damages and thus are n't covered under commercial policies
 they also have argued that government proceedings <unk> a company of potential responsibility do n't fit the legal definition of a lawsuit thus such <unk> proceedings are n't covered by the policies the insurers say
 the appeals court disagreed on both counts
 avondale was notified by louisiana officials in N that it was potentially responsible for a cleanup at an <unk> plant
 avondale asked travelers to defend it in the state proceeding but the insurer did n't respond
 the appeals court upheld a district judge 's ruling that the insurer had to defend the company in such proceedings
 the appeals court also said we think an ordinary businessman reading this policy would have believed himself covered for the demands and potential damage claims stemming from any cleanup
 this decision will have a very considerable impact said kenneth <unk> professor of environmental law and insurance law at the university of virginia because many commercial insurance policies are issued by companies based in new york
 william <unk> an attorney for the chemical manufacturers association said that while other appeals courts have ruled differently on whether cleanup costs are damages the influence of the appeals court in new york will make insurers sit up and listen
 he said the decision was the first in which a federal appeals court has ruled whether administrative government proceedings qualify as litigation
 barry r. <unk> an attorney for travelers said there are procedural bases on which this case will be appealed further
 new york 's poor face nearly three million legal problems a year without legal help
 that is the conclusion of a report released by the new york state bar association
 the report was based on a telephone survey of N low-income households across the state a mail survey of major <unk> programs and on-site interviews with individuals in the field
 the report provides detailed <unk> of the extent and nature of the problem and indicates how we may want to shape solutions said joseph <unk> chairman of the committee that <unk> the survey and a partner at the law firm of <unk> <unk> <unk> & <unk>
 according to the study slightly more than N N of those surveyed reported having at least one housing problem every year for which they had no legal help
 nearly N N ranked housing problems as their most serious <unk> legal need
 other areas targeted by the survey 's respondents included difficulty obtaining or maintaining public benefits N N consumer fraud N N and health-care issues N N
 during the <unk> survey N N of all <unk> programs said that at some period they were unable to accept new clients unless they had an emergency
 mr. <unk> said the committee may meet to propose solutions to the problems identified in the study
 prosecutor to join <unk> dunn
 assistant u.s. attorney <unk> <unk> who headed the government 's racketeering case against the international <unk> of <unk> will join <unk> dunn & <unk> in its new york office
 mr. <unk> has been with the new york u.s. attorney 's office for nearly five years
 in N he became deputy chief of the civil division
 mr. <unk> will do civil litigation and white-collar defense work for <unk> dunn which is based in los angeles
 former apple computer inc. general counsel john p. <unk> has joined the phoenix ariz. law firm of brown & <unk>
 mr. <unk> N will specialize in corporate law and international law at the <unk> firm
 before joining apple in N mr. <unk> served as general counsel at sperry corp
 after failing to find a buyer for the sears tower in chicago sears roebuck & co. is negotiating with boston pension fund adviser <unk> eastman & <unk> inc. to <unk> the property for close to $ N million according to people close to the negotiations
 under the proposed agreement involving the world 's <unk> building chicago-based sears would receive about half the money through conventional mortgage financing and the other half as a convertible mortgage
 at the end of the term of the convertible loan sears could still own half the building and <unk> could own the other half
 neither side would comment
 the parties are currently negotiating over who would manage the building which will be <unk> of N employees from sears ' merchandise group which is moving elsewhere
 the new manager will face the <unk> task of leasing N million square feet in a relatively soft chicago real estate market
 also it has not yet been decided exactly how much of the mortgage <unk> will be able to convert into equity
 convertible mortgages have become an increasingly popular way to finance prestigious buildings of late
 in a convertible mortgage the investor <unk> the building owner a certain amount in return for the option to convert its interest into equity usually less than N N at the end of the loan term
 during the term the lender can either receive a percentage of cash flow a percentage of the building 's appreciation or a fixed return
 the main advantage of a convertible mortgage is that it is not a sale and therefore does not trigger costly transfer taxes and <unk>
 sears said it would put the <unk> tower on the block almost a year ago as part of its anti-takeover restructuring
 but japanese institutions <unk> away from bidding on the <unk> tower out of fear their purchase of the property would trigger <unk> sentiment
 last summer sears appeared to have a deal with canadian developer olympia & york developments ltd
 but that deal fell through in september after it became clear that the sale would lead to a major real estate tax <unk> raising property taxes and making it difficult to lease the building at competitive prices
 real estate industry executives said sears ' investment banker goldman sachs & co. sought financing in japan
 however japanese authorities apparently were concerned that a refinancing also would attract too much publicity
 sears then went back to <unk> the boston pension adviser that had proposed a convertible debt deal during the first round of bids last spring
 <unk> has $ N billion of real estate investments nationwide according to a spokesman
 tandy corp. said it signed a definitive agreement to acquire two units of <unk> ab of stockholm for cash
 the amount was n't disclosed
 the electronics maker and retailer previously estimated the sale price at between $ N million and $ N million for <unk> 's victor <unk> and <unk> hand-held computer subsidiaries
 in addition tandy will acquire rights to the victor and <unk> names for computers
 during N the <unk> subsidiaries had combined sales in excess of $ N million
 the transaction will give tandy a well-known european computer brand that includes N dealers and distributors marketing to medium-sized business and educational institutions
 closing of the transaction is subject to certain conditions and regulatory approvals the company said
 two rules in pending congressional legislation threaten to <unk> leveraged buy-outs by raising the price <unk> of such deals by as much as N N
 wall street is <unk> over the rules which would curtail the tax <unk> of debt used in most lbos
 the provisions in deficit-reduction bills recently passed by the house and senate could further cool the takeover boom that has been the driving force behind the bull market in stocks for much of the 1980s some tax experts and investment bankers argue
 indeed some investment bankers have already started restructuring deals to cope with the expected rules
 wall street has all but conceded on the issue and is now lobbying for the less onerous senate version of one of the provisions
 at issue is the <unk> of certain junk bonds that are used in most lbos
 such high-yield debt is similar to a zero-coupon bond in that it is sold at a discount to face value with interest <unk> instead of being paid to the holder
 under current rules that accrued interest is deductible by the company issuing the debt
 the house version of the legislation would kill that deduction and label any such debt as equity which is n't deductible
 the <unk> senate version would defer the <unk> for roughly five years
 you see these in just about every lbo said robert <unk> senior vice president in charge of tax issues at shearson lehman hutton inc. in new york
 it becomes a source of cash for the company making the lbo because it gets a deduction and does n't have to repay the debt for several years
 typically mr. <unk> estimates this type of debt makes up N N to N N of the financing for lbos
 these types of bonds have been used in buy-outs of companies such as rjr nabisco inc. storer communications inc. and <unk> co
 a second provision passed by the senate and house would eliminate a rule allowing companies that post losses resulting from lbo debt to receive refunds of taxes paid over the previous three years
 for example if a company posted a loss of $ N million from buy-out interest payments the existing rule would allow the concern to be able to receive a refund from the tax it paid from N through N when it may have been a profitable public company
 but that rule is being virtually <unk> by wall street which is concentrating on coping with the deduction issue
 prices for lbos have to come down if you do n't have that feature argued lawrence <unk> managing director for merchant banking at donaldson lufkin & jenrette securities corp. in new york
 several wall street officials say the proposed legislation already is having an impact
 an investment group led by chicago 's <unk> family recently lowered a $ N billion bid for american medical international beverly hills calif. because of the threat of the legislation
 moreover one investment banker who requested <unk> said his firm did n't raise the <unk> for a target company earlier this month after a stronger bid emerged from a public company that was n't concerned about the financing provision
 we would have paid more if we thought that law was n't going to pass he said
 one possible solution for wall street is to increase the equity part of the transaction that is give lenders a bigger stake in the surviving company rather than just interest payments
 that would force the buy-out firm and the target company 's management to reduce their level of ownership
 the pigs in the trough may have to give a little bit of the <unk> back and then the deal can go through said peter c. <unk> tax partner at <unk> lipton rosen & katz
 another solution said a tax lawyer who requested <unk> is for firms to use convertible bonds that sell at a discount
 since they have a lower interest rate they would n't fall under the junk-bond category that would lose its <unk>
 the house version of the bill would make debt <unk> if it pays five percentage points above treasury notes has at least a five-year maturity and does n't pay interest for at least one year out of the first five
 the bill would then declare that the debt is equity and therefore is n't deductible
 the senate bill would only deny the deduction until interest is actually paid
 currently even though the issuer does n't pay tax the debt holder is taxed on the accrued interest
 but those holders are often foreign investors and tax-exempt pension funds that do n't pay taxes on their holdings
 the senate estimates that its version of the provision would yield $ N million the first year and a total of $ N million over five years
 the house version would raise slightly more
 even if wall street finds ways around the new rules a senate aide contends lbos will become somewhat more difficult
 there 's no question it will make lbos more expensive he said
 the interest deduction was the engine that made these things more productive
 the average publicly offered commodity fund fell N N in september largely because of the volatile markets in foreign currencies according to norwood securities
 the firm said that losers outnumbered gainers by more than three to one among the N funds it tracks
 for the first nine months of the year norwood said the average fund has lost N N
 the government moved aggressively to open the <unk> of federal aid for victims of the california earthquake but its <unk> of emergency funds must be <unk> soon if the aid is to continue
 president bush signed a disaster declaration covering seven northern california counties
 the declaration immediately made the counties eligible for temporary housing grants and low-cost loans to cover uninsured property losses
 in addition an unusually wide array of federal agencies moved to provide specialized assistance
 the department of housing and urban development prepared to make as many as N vacant houses available for those left homeless the agriculture department was set to <unk> food from the <unk> program to earthquake victims and the pentagon was providing everything from radio communications to blood <unk> to military police for <unk> traffic
 but the pool of federal <unk> funds already is running low because of the heavy costs of cleaning up hurricane hugo and congress will be under pressure to <unk> more money quickly
 in hugo 's wake congress allocated $ N billion in relief funds and white house spokesman marlin fitzwater said $ N million of that money remains and could be diverted for quick expenditures related to the earthquake
 now though enormous costs for earthquake relief will pile on top of outstanding costs for hurricane relief
 that obviously means that we wo n't have enough for all of the <unk> that are now facing us and we will have to consider appropriate requests for <unk> funding mr. fitzwater said
 the federal government is n't even attempting yet to estimate how much the earthquake will cost it
 but mr. fitzwater said there will be i think quite obviously a very large amount of money required from all levels of government
 in congress lawmakers already are looking for ways to add relief funds
 money could be added to a pending spending bill covering the federal emergency management agency which <unk> federal disaster relief
 more likely relief funds could be added to an omnibus spending bill that congress is to begin considering next week
 but it is n't just washington 's relief dollars that are spread thin its relief manpower also is stretched
 fema still has special disaster centers open to handle the aftermath of hugo and spokesman russell <unk> acknowledged that we 're pretty thin
 mr. <unk> says fema now possibly may have the heaviest <unk> in its history
 to further complicate relief efforts the privately funded american red cross also finds itself strapped for funds after its big hugo operation
 it 's been a bad month <unk> and every other way said <unk> stewart a spokeswoman for the red cross
 it just makes it a little rough when you have to worry about the budget
 the red cross has opened N shelters in the bay area serving N people
 <unk> trucks capable of cooking food were dispatched from other states
 all the precise types of federal aid that will be sent to california wo n't be determined until state officials make specific requests to fema agency officials said
 and in the confusion after the earthquake the information flow is a little slow coming in from the affected area said carl <unk> a fema spokesman
 still some aid is moving <unk> from washington almost immediately
 hud officials said they will make available as many as N bay area houses that are under hud loans but now are vacant after the houses have been <unk> to ensure they are sound
 additional housing <unk> and certificates will be made available officials said and some housing and <unk> funds may be shifted from other programs or made available for emergency use
 another federal agency not normally associated with disaster relief the internal revenue service moved quickly as well
 the irs said it will waive certain tax penalties for earthquake victims unable to meet return deadlines or make payments because of the quake 's devastation
 the agency plans to announce specific relief procedures in the coming days
 and the treasury said residents of the san francisco area will be able to cash in savings bonds even if they have n't held them for the minimum six-month period
 one advantage that federal officials have in handling earthquake relief is the large number of military facilities in the san francisco bay area facilities that provide a ready base of supplies and workers
 even before the full extent of the devastation was known defense secretary dick cheney ordered the military services to set up an emergency command center in the pentagon and prepare to respond to various fema requests for assistance
 by yesterday afternoon air force transport planes began moving additional rescue and medical supplies physicians communications equipment and fema personnel to california
 a military jet flew a congressional delegation and senior bush administration officials to survey the damage
 and the pentagon said dozens of additional crews and transport aircraft were on alert awaiting orders to move emergency supplies
 two air force facilities near sacramento and <unk> air force base N miles northeast of san francisco were designated to serve as <unk> centers
 some victims also were treated at the <unk> army medical center in san francisco and at the naval hospital in oakland
 in addition N military police from the <unk> a military base in san francisco are <unk> with traffic control and a navy ship was moved from a naval station at <unk> island near the bay bridge to san francisco to help fight fires
 to help residents in northern california rebuild fema intends to set up N disaster assistance offices in the earthquake area in the next several days and to staff them with N to N workers from various agencies said robert <unk> chief of the agency 's individual assistance division
 at these offices earthquake victims will be helped in filling out a <unk> form that they will need to qualify for such federal assistance as <unk> loans and to repair houses
 and federal officials are promising to move rapidly with federal highway aid to rebuild the area 's severely damaged road system
 the federal highway administration has an emergency relief program to help states and local governments repair federally funded highways and bridges seriously damaged by natural disasters
 the account currently has $ N million
 and though federal law <unk> that only $ N million can be <unk> from that fund in any one state per disaster administration officials expect congress to move in to <unk> spending more now in california
 to get that money states must go through an elaborate approval process but officials expect red tape to be cut this time
 keith <unk> special assistant to federal highway administrator thomas <unk> also said that after the N san fernando earthquake in southern california the state set tougher standards for bridges and with federal aid began a program to <unk> highways and bridges for earthquake hazards
 the first phase of the program has been completed but two other <unk> are continuing
 the two major structures that failed tuesday night he said were both built well before the N earthquake the san francisco bay bridge completed in the 1930s and the section of <unk> built in the 1950s
 the <unk> section had completed the first phase of the <unk>
 <unk> <unk> contributed to this article
 farmers reap abundant crops
 but how much will shoppers benefit
 the harvest <unk> in plenty after last year 's <unk> effort the government estimates corn output at N billion <unk> up N N from last fall
 soybean production <unk> N N
 as a result prices paid to farmers for the commodities which are used in products as diverse as <unk> gum and chicken feed plummet N N to N N
 but do n't expect too much in the way of price breaks soon at the supermarket
 economists expect consumer food prices to jump N N this year to the highest level since N and up from last year 's N N rise
 next year may see a drop of one percentage point
 beef prices <unk> near records since the drought could drop in <unk> this winter if <unk> expand <unk>
 lower feed prices may help animals eat more <unk> but humans have to factor in an expensive <unk> the <unk>
 food companies probably wo n't cut their prices much blaming other costs
 labor takes the biggest single chunk out of the food dollar says frank <unk> of the food institute
 <unk> says stores revive <unk> like three cans of <unk> for N cents
 two cans cost N cents during the drought
 if in vitro <unk> works it usually does so after only a few tries
 costly <unk> problems and procedures <unk> as aging baby boomers and others decide to have children now
 it 's estimated that one in six couples <unk> <unk> and in N americans spent about $ N billion to fight the problem
 only about five states now offer some form of insurance coverage but more are expected
 a letter in the new england journal of medicine notes that while technology offers almost endless hope when to stop has become a difficult question
 the authors from boston 's beth israel hospital say that N N of the N <unk> they followed occurred after only two in vitro cycles
 it adds that <unk> were extremely unlikely after the fourth cycle and concludes couples who do n't achieve a pregnancy after four to six procedures should be advised that success is unlikely
 some couples continue to try
 such determination may translate into extreme physical emotional and financial costs the letter warns
 market moves these managers do n't
 only three of the N corporate pension fund managers attending a <unk> consulting group client conference say they plan to change the asset allocation mix in their portfolios because of the market drop
 world <unk> come alive in a <unk> version of the guinness book of records
 the $ N <unk> disk it can only be played on an apple <unk> computer at the moment combines <unk> music and sound
 among the guinness disk 's <unk> the world 's <unk> recorded <unk>
 <unk> fax from david <unk> begins a <unk> exhibit today at new york 's <unk> <unk> gallery
 one of the artist 's earliest fax works was little stanley sleeping a portrait of his dog
 <unk> give and receive in a <unk> <unk> with employees ' favored charities
 the federal election commission clears corporate plans to <unk> to an employee 's chosen charity in exchange for the worker 's gift to the company political action committee
 latest approvals bell atlantic 's new jersey bell and general dynamics
 companies get more political clout plus a possible <unk> charitable <unk> so far no word from the irs on <unk>
 detroit edison the plan pioneer generated $ N in matching funds this year up from $ N in N
 but the utility may not continue next year
 we 're on a tight budget says detroit edison 's carol <unk>
 two election commission members opposed the matching plans
 scott e. thomas says the plans give employees a bonus in the form of charitable donations made from an employer 's treasury in exchange for the political <unk>
 the u.s. government could be in effect subsidizing political contributions to corporate <unk> he says
 new jersey bell <unk> state clearance
 despite federal approval general dynamics says it decided it wo n't go ahead with the matching program
 christmas shoppers find a helping hand from some catalog companies
 blunt ellis & <unk> estimates direct mail catalog sales rose to $ N billion last year
 and while it 's too soon to tell how sales will fare in the important N christmas season some companies take steps to ease the usual <unk> crush
 spiegel promises a guaranteed christmas with a pledge to deliver goods before christmas if ordered by dec. N
 and for an extra $ N land 's end will deliver orders within two days customers can <unk> the day
 spiegel which also owns eddie <unk> and <unk> says that since N sales have doubled during the week before christmas
 an <unk> <unk> spokeswoman notes people are just used to living in a last-minute society
 blunt ellis a milwaukee brokerage firm says part of the reason catalog sales grow in popularity is because consumers have more money but less time to spend it
 <unk> <unk> <unk> about N workers for the season rush about N more than last year land 's end <unk> N
 briefs
 <unk> <unk> a brazilian soft drink is brought to the u.s. by <unk> chevy chase md
 new product news says the beverage looks like <unk> <unk> <unk> a little like <unk> and <unk> like <unk> gum
 <unk> planned for chicago 's new <unk> tower apartments include an on-site investment <unk>
 four years ago pittsburgh was designated the <unk> u.s. city by rand <unk> 's places rated <unk> and the honor did <unk> to improve pittsburgh 's <unk> image
 people asked is it really true says <unk> <unk> vice president marketing services for <unk> products usa a maker of health and <unk> products that used the ranking in its recruiting <unk>
 <unk> city calif. meanwhile ranked dead last among N <unk> areas
 <unk> residents burned rand <unk> books and wore <unk> that said <unk> my atlas
 the <unk> will be making new friends and enemies on oct. N when an <unk> version will be released
 pittsburgh figures it will be <unk> but plans to accept its <unk> <unk>
 the city 's office of promotion plans media events to welcome its successor
 we 're encouraging a <unk> transition says mary <unk> <unk> the organization 's president
 our attitude is that the ranking is like miss america
 once you 're miss america you 're always miss america
 tell that to atlanta which pittsburgh replaced as the <unk> city in N
 many <unk> thought pittsburgh was an <unk> heir
 a columnist in the atlanta journal and constitution wrote who did the research for this report
 two guys from gary ind.
 not so
 <unk> david <unk> and richard boyer live in <unk> mass. and <unk> n.c. respectively
 atlanta mr. <unk> <unk> has <unk> <unk> to <unk> status
 the new edition lists the top N metropolitan areas as <unk> ana calif. boston louisville ky. <unk> n.y. new york pittsburgh san diego san francisco seattle and washington
 mr. <unk> says earthquake or not san francisco makes the list
 but attention also <unk> on who <unk> last and <unk> <unk> <unk> which finished third to last in N and second to last in N is certainly in the running
 i hate to <unk> the publication by commenting on the <unk> rating mayor <unk> robinson says adding that cities have no way to <unk> the book
 it 's like fighting your way out of a <unk>
 you do n't know which way to <unk>
 northrop corp. 's third-quarter net income fell N N to $ N million or N cents a share while general dynamics corp. reported nearly flat earnings of $ N million or $ N a share
 los angeles-based northrop recorded an N N decline in sales as b-2 <unk> bomber <unk> revenue continued to <unk> and high costs on some other programs cut into profit
 the aerospace concern earned $ N million or N cents a share a year earlier
 sales in the latest period were $ N billion down from $ N billion in the N quarter
 at st. <unk> general dynamics sales rose N N to $ N billion from $ N billion
 it earned $ N million or $ N a share in the N quarter
 general dynamics credited significant earnings gains in its general aviation and material service segments an earnings recovery in <unk> operations and higher military aircraft sales
 northrop said sales fell because of the decline in b-2 development dollars from the government as the plane continues its initial production stage and because fewer <unk> fighter sections are being produced in its <unk> work with prime contractor mcdonnell douglas corp
 in composite trading on the new york stock exchange northrop shares closed at $ N off N cents
 general dynamics closed at $ N up N cents
 northrop which since early N has declined to accept fixed-price contracts for research and development said earnings were hurt by excessive costs on a number of such contracts won years ago
 among them were the <unk> electronic <unk> system for the <unk> fighter
 northrop 's interest expense also soared to $ N million from $ N million a year ago
 it said debt remained at the $ N billion that has prevailed since early N although that compared with $ N million at sept. N N
 the backlog of <unk> orders at northrop on sept. N was $ N billion down from $ N billion a year earlier
 for the nine months northrop reported a net loss of $ N million or $ N a share compared with profit of $ N million or $ N a share in N
 sales dipped N N to $ N billion from $ N billion
 at general dynamics factors reducing earnings in the military aircraft segment included higher levels of cost-sharing in development of the advanced tactical fighter and the high cost of an advanced version of the <unk> fighter
 <unk> deliveries also have fallen slightly behind schedule although a return to the previous schedule is expected in N the company said
 backlog at general dynamics rose to $ N billion from $ N billion
 its interest expense surged to $ N million from $ N million
 for the nine months general dynamics earned $ N million or $ N a share up marginally from $ N million or $ N a share on a N N rise in sales to $ N billion from $ N billion
 lotus development corp. reported a surprisingly strong N N increase in third-quarter net income on a N N sales gain buoyed by strong demand for a new version of its N computer <unk>
 the results topped analysts ' expectations and the earnings growth of competitors prompting traders to all but forget the <unk> delays that <unk> down the company for much of the past two years
 yesterday in heavy national over-the-counter trading lotus shares rose to $ N up $ N apiece <unk> a <unk> <unk> of more than N N
 lotus said net rose to $ N million or N cents a share on sales of $ N million
 a year ago net was $ N million or N cents a share on sales of $ N million
 for the nine months net of $ N million or N cents a share trailed the year earlier 's $ N million or $ N a share
 sales rose to $ N million from $ N million the year earlier
 in the first half lotus struggled to keep market share with costly promotions while customers <unk> the launch of N release N the upgraded <unk> software
 lotus 's results were about N N higher than analysts ' average expectations and compared <unk> with the N N earnings rise reported a day earlier by rival microsoft corp. of redmond wash
 the company said results were bolstered by <unk> to release N by previous customers and improved profit margins the result of <unk> controls
 rick <unk> a goldman sachs analyst said lotus had upgrade revenue of about $ N million in the quarter twice what he had expected
 also he estimated unit shipments of N in all its forms were about N up N N from N 's quarterly average
 demand for the new version was enabling lotus to raise prices with distributors and to hold market share against microsoft and other competitors that tried to exploit the earlier delays in release N 's launch mr. <unk> added
 he estimated that N <unk> microsoft 's <unk> <unk> by <unk> in the quarter and held a N N or better share of the <unk> market
 silicon valley <unk> a sigh of relief yesterday
 though details were <unk> in the aftermath of the violent earthquake that shook the high-tech <unk> along with the rest of the san francisco bay area a spot check of computer makers turned up little if any potentially <unk> damage to facilities or fabrication equipment
 analysts and corporate officials said they expected practically no long-term disruption in shipments from the valley of either hardware or software goods
 intel corp. advanced micro devices inc. and national semiconductor corp. were all up and running yesterday though many workers were forced to stay home because of damaged roadways others elected to take the day off
 these systems are more <unk> than many people would believe said thomas <unk> who tracks the computer industry for merrill lynch research
 it 's not the end of the world if you shake them up a little bit
 other companies including international business machines corp. and hewlett-packard co. completely <unk> their operations because of tuesday evening 's temblor which registered N on the richter scale
 personnel spent the morning <unk> buildings for structural weaknesses <unk> up water from broken pipes and clearing ceiling <unk> and other debris from factory floors
 still many were confident that in a day or two everything should be back to normal according to a spokeswoman for the semiconductor industry association based in cupertino
 ibm for instance said it anticipates returning to a normal work schedule by the weekend at its san jose plant which puts out disk drives for the N family of mainframes
 a hewlett-packard spokeswoman said that while things are a big mess some N valley employees have been called back to work today
 apple computer added that it was being cautiously optimistic despite not yet closely <unk> all of its N buildings in the region
 even the carefully <unk> machinery in its giant <unk> plant to the north of the valley was believed to be <unk>
 sun microsystems inc. and tandem computers inc. also signaled that they should recover quickly
 digital equipment corp. with major facilities in santa clara cupertino palo alto and mountain view said that all of its engineering and manufacturing sites had reported to corporate headquarters in maynard mass. tuesday night
 none sustained significant damage a spokesman said adding that the delicate manufacturing process machines were <unk> and were all found to be operating normally
 for many companies of course there is still a slew of nagging problems to <unk> with some of which have the potential to become quite serious
 for example a spokesman for advanced micro devices said the sunnyvale chip maker is worried about <unk>
 a sudden surge or drop in electric power could <unk> integrated circuits being built
 but given what might have happened to the fragile parts that are at the heart of the <unk> business the bulk of valley companies seemed to be just about shouting <unk>
 several factors apparently <unk> the valley a <unk> suburban stretch from san jose to palo alto from the kind of impact felt in san francisco an hour 's drive north
 for one thing buildings there tend to be newer and thus in step with the latest safety codes
 also the soil in the valley is solid unlike the landfill of san francisco 's downtown marina district which was hit with fires and vast destruction
 in addition some <unk> companies said they were prepared for <unk> conditions like tuesday 's
 their machine tools are even <unk> to the shop floor
 intel said that over the past decade it has installed computer <unk> and <unk> <unk> sensitive to the shake of an earthquake in the pipes that <unk> through its plants
 like other large valley companies intel also noted that it has factories in several parts of the nation so that a breakdown at one location should n't leave customers in a total <unk>
 that 's certainly good news for such companies as compaq computer corp. houston which has only a four-day supply of microprocessors from the valley on hand because of a <unk> manufacturing approach that limits the buildup of inventory
 compaq said it <unk> no difficulties in obtaining parts in the immediate future
 computer makers were scrambling to help customers recover from the disaster
 digital equipment has set up <unk> response centers in dallas atlanta and colorado springs <unk>
 these units were handling calls both from people in the san francisco area and from computers themselves which are set to dial digital automatically when trouble <unk>
 they then run <unk> controlled <unk> programs
 digital also said it has dispatched teams of technicians to california
 meanwhile several other major installations around the valley america 's center of high-tech said they too fared as well as could be expected
 lawrence <unk> national laboratory where the energy department tests and <unk> research on nuclear weapons had only <unk> damage a spokesman said
 at lockheed corp. 's missiles and space systems group in sunnyvale about N miles south of san francisco workers were asked to head to work yesterday after it was realized that there were no <unk> in the <unk> buildings on its <unk> campus
 several engineering and research offices needed closer scrutiny to make sure they were n't in danger of crumbling but the bulk of the place is in pretty good shape an official said
 one of lockheed 's most lucrative sectors accounting for more than half the aerospace company 's $ N billion in sales in N the missiles and space group is the prime pentagon contractor on the <unk> ii <unk> missile
 it also generates pieces of the missile shield called the strategic defense initiative
 fortunately the <unk> space <unk> set to be launched on the shuttle next year in a search for distant solar systems and light <unk> N billion years ago from the <unk> reaches of the universe was moved from sunnyvale to the kennedy space center in florida at the beginning of october
 john r. <unk> <unk> to this article
 michael maynard offered the world a faster way to break eggs
 as thanks the egg industry tried to break him
 and the egg producers have done a pretty good job
 they tried to put mr. maynard out of business by an act of congress
 <unk> lobbying helped persuade six states to ban mr. maynard 's automatic <unk> machine because of fears over salmonella
 his company <unk> manufacturing inc. was forced to seek protection from creditors under federal bankruptcy law in N and has since been liquidated
 monthly sales of his egg king machine which he now is marketing through a new company have <unk> to about half a dozen from a peak of N says the <unk> businessman
 mr. maynard is n't the first entrepreneur to <unk> up against entrenched interests
 but his case is notable both for the scale of the fight it is n't often that a congressional hearing is held to determine whether one small businessman is a threat to the republic and for what it tells about the <unk> of marketing a new product
 now one might ask why people who sell eggs would fight someone who is trying to make it easier to crack them
 part of the answer lies in the nature of the industry
 many larger egg producers are also egg processors who crack <unk> and <unk> billions of eggs turning them into <unk> <unk> or frozen egg products
 however dozens of <unk> restaurant chefs and other food <unk> who <unk> to mr. maynard 's defense say that products ranging from egg bread to <unk> lose some zip when the eggs come in <unk> cans instead of <unk>
 but for companies that use hundreds of eggs a day breaking them by hand can get well out of hand
 the idea behind the egg king is pretty simple put the eggs into a <unk> that contains <unk> baskets spin them at a high speed to break the <unk> and strain the <unk> part through the baskets
 one egg king which at just under four feet tall and two feet wide has been <unk> to the robot <unk> can crack about N eggs an hour
 because fresh eggs are less expensive than processed ones a big egg user can recover the egg king 's $ N cost in a few months says mr. maynard
 such <unk> egg breakers have been around since the <unk>
 but when mr. maynard came forward with his machine in the early 1970s nobody else was offering them in the u.s.
 the main reason salmonella
 <unk> carry this bacteria which can cause upset <unk> and in rare cases death among people
 <unk> sometimes pass salmonella to the eggs and it can also be found on <unk> <unk>
 thus any machine that breaks large amounts of eggs at once has the potential to spread salmonella if a bad egg gets in with the good ones
 mr. maynard claims this is a <unk> problem
 the egg king carries written instructions to break only high-grade eggs that have been properly <unk> and as an added <unk> to use the eggs only in products that will be <unk> enough to kill bacteria
 with nearly N machines in use there have been no salmonella problems as long as instructions were followed mr. maynard boasts
 he says the handful of salmonella cases involving products that may have used eggs broken by an egg king stemmed from a failure to adequately cook the products
 but he says that 's no more a reason for banning egg <unk> than bad drivers are a reason for banning cars
 opponents do n't buy such arguments
 human nature being what it is people do n't always follow instructions says jack <unk> chief of food protection for the new york state health department
 leading the assault against the egg king has been united egg producers
 the <unk> ga. trade group has issued a briefing book that claims the machine is a health hazard and that mr. maynard is trying to make a fast buck at the expense of the nation 's egg producers
 the <unk> declines to comment but the group 's attorney alfred <unk> says the group 's actions are motivated solely by health concerns
 an early <unk> was the u.s. department of agriculture
 mr. maynard initially won approval for his machine to be used at <unk> facilities regulated by the <unk> 's food safety inspection service
 unfortunately for mr. maynard another branch of the <unk> the agricultural marketing service was in charge of eggs
 after receiving complaints from egg producers this branch got the other branch to <unk> its approval thus limiting the machine 's potential market to <unk> and restaurants and other <unk> that are n't regulated by the <unk>
 the egg producers also lobbied the food and drug administration
 but the fda in a N letter to the united egg producers said that there was little likelihood of a health problem as long as instructions were followed
 so the producers went to capitol hill where a congressman from georgia introduced a measure to ban <unk> <unk> machines
 mr. maynard whose company at the time was based in santa ana calif. <unk> his local congressman and the battle was joined
 mr. maynard 's forces finally defeated the measure though it took a vote on the floor of the house of representatives to do it
 even then opponents managed to get a congressional hearing to examine what one congressman called an unscrupulous method for breaking eggs
 <unk> in their effort to get a national ban the egg producers turned their attention to the states
 so far new york new jersey nebraska georgia michigan and minnesota have outlawed mr. maynard 's device citing health concerns
 an antitrust suit that mr. maynard 's company filed in los angeles federal court against the united egg producers and others only added to the entrepreneur 's woes
 the judge dismissed the suit and ordered mr. maynard 's company to pay over $ N in legal fees to the defendants ' lawyers
 mr. maynard says the ruling pushed his company into bankruptcy court
 now he has moved to oklahoma where costs are lower and started a new company <unk> inc. to market his machine
 but so far the change of <unk> has n't ended his string of bad breaks
 mr. maynard recently fell from a horse and <unk> his arm
 <unk> pfeiffer ca n't <unk> gum and <unk> at the same time
 but on the evidence of the <unk> baker boys that may be the only thing she ca n't do at least when she 's acting in movies
 as the tough <unk> <unk> <unk> in the <unk> baker boys ms. pfeiffer <unk> for herself and more than <unk> well
 her <unk> diamond handles a song the way the <unk> do like she 's hearing the way it should sound inside her head and she 's concentrating on matching that internal tone
 yet her intensity stops and starts with the music
 when she is n't performing for an audience she prepares for a song by removing the <unk> of gum from her mouth and indicates that she 's finished by sticking the gum back in
 like almost everything in this <unk> romantic and <unk> movie ms. pfeiffer 's <unk> seems like someone you 've seen before in numerous <unk> stories even her name <unk> diamond sounds like a character <unk> <unk> must have played
 yet nothing about baker boys and certainly nothing about ms. pfeiffer really is like something from the video vault
 steve <unk> the young writer and director he is n't yet N has only one produced picture to his credit he wrote the <unk> for racing with the moon a lovely <unk> picture set in the <unk>
 both movies are <unk> with the <unk> <unk> of someone much older someone who does n't dismiss dreams but who also has enough experience to see his limits
 however mr. <unk> directs his own material without <unk> and at its own <unk> pace baker boys is both <unk> and funny
 he 's put a fresh spin on material that could come off <unk> <unk> for example the way <unk> <unk> an audience the first time she <unk> with the baker boys
 of course it does n't hurt that mr. <unk> has made up for his lack of experience behind the camera with technicians who know exactly what they 're doing
 much of the picture 's <unk> emerges from <unk> michael <unk> 's <unk> <unk> lens work
 after working for years with werner <unk> <unk> the late german director and more recently with martin <unk> after hours the color of money the last temptation of <unk> mr. <unk> has developed a <unk> <unk> style
 and dave <unk> 's <unk> score <unk> the <unk> requirements of <unk> <unk> feelings is a must without <unk>
 though ms. pfeiffer has the flashy part she gets the best comic <unk> and to wear glamorous <unk> and <unk> heels the boys are pretty great too
 what seemed like a good idea to cast the bridges brothers jeff and <unk> as the baker brothers actually turned out to be a good idea
 anyone who 's tried to appear natural in front of a camera knows that it 's much more natural to end up looking like a stiff
 so it 's quite possible that the <unk> play between the brothers is n't natural at all that jeff and <unk> had to work like crazy to make their <unk> love and <unk> and frustration and rage seem so very real
 when the movie opens the baker brothers are doing what they 've done for N years <unk> and twice as long as that for themselves they 're playing <unk> piano face-to-face on <unk> <unk>
 they 're small time in the small <unk> not the best ones and restaurants in seattle
 yet they do n't <unk> their audiences by <unk> their act
 they wear <unk> most nights unless circumstances a regular <unk> at a <unk> <unk> for example require them to wear special <unk> like <unk> shirts
 <unk> <unk> looking eager to please with his <unk> <unk> and round face plays the older brother frank
 frank plans the program takes care of business and approaches the work like any other job
 he 's even able to think of a job that takes him out of the house N nights a week as an ordinary job
 he 's got a wife and two kids and a house in the <unk> the audience sees only the house and only near the end of the movie
 frank <unk> a little for the <unk> probably no more or less than he would have to if he worked for a big corporation
 on his <unk> he wears <unk> <unk>
 jeff bridges is the younger brother jack who <unk> himself the <unk> artist he lives in a <unk> with his sick dog and the <unk> visit from the little girl <unk> who <unk> down the fire escape
 yet jack 's the one who can remember every dive they ever played and when and he <unk> shows up for work night after night he <unk> himself with <unk> and by showing up at the last minute
 looking <unk> than he has in a while the younger mr. bridges 's jack is <unk> and <unk> and a far <unk> case than frank who 's managed to <unk> his dreams to fit reality without feeling too <unk>
 he can live with little <unk>
 mr. <unk> has put together some <unk> moments
 these include <unk> <unk> 's <unk> to be the baker boys ' girl singer
 ms. <unk> of the <unk> voice showed great comic promise during her <unk> as the <unk> 's girlfriend on the television show hill street blues
 here she <unk> especially during her <unk> awful <unk> of the candy man which she <unk> while <unk> around in a little cotton candy <unk> <unk> <unk> that could n't be more perfect
 it matches her voice
 and ms. pfeiffer 's particular version of making <unk> and the way mr. <unk> photographs her from the tips of her red high heels right up her <unk> red <unk> dress might make you think of <unk> <unk> if ms. pfeiffer had n't gone and become a star in her own right
 video tip
 if you 'd like to see the first time <unk> pfeiffer sang on screen and you have a lot of patience take a look at <unk> N
 you 'll find her there
 better yet check out the emergence of her comic <unk> in married to the <unk> jonathan <unk> 's <unk> mafia comedy
 international proteins corp. definitively agreed to pay $ N million and N of its shares for hanson plc 's ground round restaurant subsidiary
 shareholders of international proteins a food and <unk> company will vote on the transaction at a meeting late next month
 hanson is a london producer of consumer and other goods
 international proteins shares did n't trade yesterday on the american stock exchange
 they closed tuesday in composite trading at $ N down N cents giving the stock portion of the transaction an indicated value of $ N million
 control data corp. agreed to sell its idle supercomputer manufacturing plant here to minnesota mining & manufacturing co. for $ N million
 the tentative agreement calls for <unk> to use the <unk> plant and N acres of land for research laboratories
 control data has been seeking a buyer for the facility since it <unk> its <unk> systems inc. supercomputer unit this past april
 general dynamics corp. was awarded contracts totaling $ N million for one navy <unk> <unk> and for air force research on the national aerospace plane
 grumman corp. won a $ N million navy contract for N f-14 aircraft
 <unk> co. was issued a $ N million air force contract for support of the <unk> communications satellite
 mcdonnell douglas corp. got a $ N million air force contract for support work on the national aerospace plane
 <unk> c. smith was named to the new post of vice president of world-wide advanced materials operations for this chemicals concern
 mr. smith N years old was formerly responsible for advanced materials which include plastic <unk> and <unk> in north america only
 <unk> is <unk> by montedison s.p a. of milan italy
 <unk> co. said it will redeem all N shares of its privately held N N convertible series c preferred stock nov. N
 holders can either convert each share into N shares of the company 's common stock or surrender their shares at the per-share price of $ N plus accumulated dividends of $ N a share
 <unk> makes and markets products for the construction mining and energy industries
 bank building & equipment corp. of america which previously said accounting discrepancies its auditors uncovered would hurt earnings and require <unk> of earlier results increased its projections of the negative fiscal impact and said it was exploring the company 's sale
 bank building which builds and <unk> banks had announced it would <unk> the <unk> quarters of this fiscal year which ends oct. N
 on oct. N the company estimated after-tax effects on the year 's earnings would be at least $ N million
 yesterday the company said the negative after-tax effect on earnings for the year will be about $ N million
 for the nine months ended july N bank building had a net loss of $ N million on revenue of $ N million
 bank building which expects to report a fourth-quarter loss said it engaged advisers to explore financial alternatives for the company including the possible sale of the company or one or more of its units
 company auditors are continuing their review and final restated figures are n't yet available
 bank building earlier said the <unk> is <unk> by certain errors in recording receivables and <unk> at its <unk> cabinet division
 that division 's manager has been fired
 in american stock exchange composite trading bank building closed at $ N a share down N cents
 gen. paul <unk> <unk> retired <unk> of the u.s. marine corps was elected a director of this plastics specialty materials and aerospace concern succeeding <unk> <unk> who resigned to accept a government position
 rep. mary rose <unk> d. ohio at last week 's hearings on <unk> in programs at the department of housing and urban development
 i do n't want to feel guilty representing my constituents
 and if i think that some people on hud secretary jack kemp 's staff are off base in terms in which they 're evaluating certain things affecting my <unk> i have to tell you something i 'm not going to take it
 i think that i 'm elected to represent the people that sent me here
 and one of our charges is to be an <unk> for our area
 and if we 're not <unk> for our area we ought to be thrown out of office
 on the other hand if we 're asking for something <unk> or <unk> and so on then that 's a whole different story
 but if i feel that there are situations where i 'm trying to get housing for our area whatever it happens to be and i have to feel that i ca n't even ask a question i 've got to tell you i think that 's <unk>
 i think these regulations that would prohibit <unk> programs in areas across this country would be wrong to change
 i do n't want to see some guidelines change that 's going to inhibit my city 's opportunity to use its money
 the chicago mercantile exchange said it fined capcom futures inc. $ N and accepted its withdrawal from membership as part of a settlement of disciplinary actions against the firm
 capcom futures is a chicago subsidiary of capcom financial services ltd. a london financial firm that was <unk> last year in a scheme to <unk> drug money
 the case is pending
 the firm was indicted in tampa fla. on <unk> charges
 in june the chicago board of trade said it suspended capcom financial
 the capcom futures unit withdrew from board of trade membership voluntarily in august a board of trade spokesman said
 capcom futures while neither admitting nor denying the merc charges said in a statement that the merc charges were technical in nature and that no customers were hurt as a result of the violations cited by the merc
 the merc alleged that among other things from april N through october N capcom futures failed to document trades between capcom futures and people or entities directly or indirectly controlled by capcom futures shareholders
 frederick w. lang N years old the founder of this software services concern was elected to the new post of chairman
 formerly president and treasurer mr. lang remains chief executive officer
 victor c. <unk> N formerly executive vice president succeeds mr. lang as president and becomes chief operating officer a new post
 maurice warren <unk> group managing director was named chief executive officer of this food and agriculture group
 the post of chief executive has been vacant since july when terry <unk> N left the company
 money-market mutual fund assets grew at nearly three times their usual rate in the latest week as investors opted for safety instead of the stock market
 money-fund assets soared $ N billion in the week ended tuesday to a record $ N billion according to <unk> 's money fund report a <unk> <unk> newsletter
 we were expecting it following the fall of the dow friday said <unk> <unk> <unk> editor of money fund report
 it 's the <unk> flight to safety
 despite recent declines in interest rates money funds continue to offer better yields than other comparable investments
 the average seven-day compound yield on the N taxable funds tracked by <unk> 's was N N in the latest week down from N N
 compound yields assume reinvestment of dividends and that current yields continue for a year
 most short-term certificates of deposit are yielding about N N or less at major banks and the yields on treasury bills sold at monday 's auction fell to N N for three months and N N for six months
 money-fund assets have been rising at an average rate of $ N billion a week in recent months ms. <unk> said reflecting the relatively high yields
 in the latest week funds open to institutions alone grew by $ N billion
 some fund managers say inflows could increase in coming days as a result of stock selling in the wake of friday 's N point drop in the dow jones industrial average
 if you 're selling equities you do n't start getting proceeds for five to seven days said frank <unk> who manages the kemper money market fund
 neal <unk> marketing vice president for fidelity investments said inflows friday into fidelity 's <unk> and cash reserves money-market funds were about twice normal levels with about half coming from equity and junk-bond funds
 monday and tuesday were lackluster in comparison he said
 people are n't necessarily running scared mr. <unk> said
 they 're maintaining their attitude toward investing which has <unk> toward the conservative recently
 money-fund yields tend to lag <unk> trends as portfolio managers adjust the maturities of their investments short-term treasury securities commercial paper and the like to capture the highest yields
 maturities usually are shorter when rates are rising and longer when they are falling
 the average maturity of the funds tracked by <unk> 's remained at N days for the third consecutive week
 it was as short as N days at the start of this year when rates were <unk> steadily upward and hit N days in august
 the average seven-day simple yield of the funds fell to N N this week from N N
 the average 30-day simple yield was N N compared with N N the week before and the 30-day compound yield slid to N N from N N
 some funds are posting yields far higher than the average
 the highest yielding taxable fund this week was harbor money market fund with a seven-day compound yield of N N
 that included capital gains that were passed along to customers
 among the other <unk> funds fidelity 's <unk> fund had a seven-day compound yield of N N in the latest week
 the seven-day compound yield of the dreyfus worldwide dollar fund was N N
 whose della femina mcnamee wcrs agency created <unk> joe <unk> among others announced a massive restructuring that largely <unk> it from the advertising business and includes selling the majority of its advertising unit to <unk> eurocom
 the complex restructuring which was long expected <unk> london-based wcrs from primarily a <unk> of advertising into one of europe 's largest buyers of advertising time and space
 it also creates a newly merged world-wide ad agency controlled by eurocom and headed jointly by new york ad man jerry della femina and two top wcrs executives
 the merged agency 's <unk> ambitious goal to become one of the world 's N largest agencies while attracting more multinational clients than the agencies were able to attract alone
 wcrs 's restructuring reflects the growing importance of media buying in europe where the only way to get a good price on advertising time and space is to buy it in bulk
 for eurocom meanwhile the move gives it a strong u.s. <unk> in della femina and more than <unk> the size of its ad agency business world-wide
 it also gives the outspoken mr. della femina who often generates as much publicity for himself as for his clients an international platform that he most certainly wo n't be loath to use
 according to terms wcrs will pay N billion french francs $ N million for the N N it does n't already own of carat holding s.a. one of europe 's largest media buyers
 meanwhile eurocom which had held N N of wcrs 's ad unit will pay # N million $ N million to raise its stake to N N
 that price also covers eurocom raising to N N its N N stake in europe 's <unk> group a joint venture ad agency network it owns with wcrs
 eurocom will also have the right to buy the remaining N N of the merged ad agency group in six years
 the transaction places the three executives <unk> at the helm of a major agency with the rather <unk> name of eurocom wcrs della femina ball ltd. or <unk>
 the merged agency will include della femina mcnamee based in new york eurocom 's various agencies in france the <unk> group in europe and wcrs 's other advertising and direct marketing operations
 mr. della femina will be joint chairman with former wcrs executive robin <unk>
 both will report to tim <unk> a former wcrs executive who will be chief executive officer at the new agency
 in an interview in new york mr. <unk> fresh from a <unk> flight from paris where executives had worked through most of the night outlined big plans for the new agency
 our goal is to develop quite rapidly to a <unk> position by the end of three years from now
 it implies very dramatic growth he said
 he added that eurocom and wcrs had agreed to provide a development fund of # N million for acquisitions
 the new agency group is already in discussions about a possible purchase in spain while mr. <unk> said it also plans to make acquisitions in <unk> germany and elsewhere
 <unk> the top N within three years will be difficult at best
 della femina had billings of just $ N million last year and ranked as the u.s. 's <unk> ad agency
 the merged company that it now becomes part of will have billings of just more than $ N billion most of that in europe bringing it to about <unk> world-wide
 to make it to <unk> status it would have to <unk> over such <unk> forces as grey advertising d'arcy <unk> benton & <unk> and <unk> 's ddb needham
 the merged agency 's game plan to attract multinational packaged-goods advertisers may prove equally difficult
 when wcrs created della femina mcnamee out of the merger of three smaller agency units in N it said it did so in order to attract larger clients especially packaged-goods companies
 since then della femina won pan am as an international client and also does work for a few packaged-goods clients including dow chemical co. 's <unk> wrap
 but major packaged-goods players of the world such as procter & gamble colgate-palmolive and unilever have <unk> <unk> the agency
 three of our favorite names mr. della femina calls that <unk> adding hopefully we 're a much more attractive agency to large <unk> today than we were yesterday
 still the restructuring could create one of the most powerful alliances between advertising and <unk> firms that europe has seen
 as part of the restructuring wcrs and eurocom said they will look for ways to combine their media buying across europe
 what 's more both eurocom and brothers francis and <unk> gross who founded carat will acquire N N stakes in wcrs group creating a powerful link between eurocom and carat
 carat will receive its wcrs stake as part of payment for the N N carat stake that wcrs is buying while eurocom said it expects to pay about # N million for its wcrs stake
 mr. della femina says he plans to remain heavily involved in the creative product at the world-wide agency serving as a sort of creative <unk>
 <unk> mcnamee della femina 's president will continue running the u.s. agency day-to-day
 they and other top executives signed long-term employment contracts and mr. della femina will receive an additional multimillion-dollar sum which some industry executives pegged at about $ N million
 wcrs group for its part will now be able to follow its longstanding plan of becoming a holding company for a series of <unk> businesses said peter scott the firm 's chief executive
 in addition to carat wcrs will hold onto its public relations tv programming and other businesses
 wcrs says its debt will be cut to # N million from # N million as a result of the transaction
 for carat meanwhile the alliance with eurocom and wcrs is intended to strengthen its own push outside france
 carat 's gross brothers invented the idea of large-scale buying of media space
 by buying the space in bulk they obtain discounts as high as N N which they can pass on to customers
 they thus have won the french <unk> business of such advertising giants as coca-cola co. fiat s.p a. gillette and kodak
 but now other agencies are getting into the business with their own competing <unk> groups and carat wants to expand to the rest of europe
 to help finance the carat purchase wcrs said it plans an issue of <unk> preferred shares once the market <unk> down
 but wcrs added that in the light of the current uncertainty in the equity markets it has arranged <unk> debt financing which would be underwritten by samuel <unk> & co. ltd
 earthquake 's damage
 tuesday 's earthquake brought the san francisco ad scene to a <unk> halt yesterday with only a few staffers showing up at their offices mainly to survey the damage or to <unk> their hands about imminent <unk> <unk>
 while no agencies reported injuries to employees the quake damaged the offices of j. walter thompson <unk> and ddb needham among others spokesmen for those agencies said
 staffers at thompson whose offices are in the <unk> <unk> center watched pictures drop from the walls and then felt the <unk> <unk> seven to eight feet according to a spokeswoman
 <unk> fell and windows were broken at <unk> a spokesman for that agency said
 late yesterday afternoon ddb needham executives were scrambling to figure out what to do about a new business presentation that had been scheduled for today a spokesman said
 ddb needham 's office building may have sustained structural damage the spokesman added
 all operations have stopped he said
 a number of agencies including thompson and <unk> <unk> & <unk> said some employees who live outside of san francisco fearful that they would n't be able to get home spent the night at the agency
 ad notes
 new account
 <unk> 's inc. greenwich conn. awarded its faberge hair care accounts to j. walter thompson new york
 thompson a unit of wpp group will handle faberge organic <unk> and <unk> and <unk> net <unk>
 the accounts which billed about $ N million last year according to leading national advertisers were previously handled at bozell new york
 who 's news
 william <unk> N was named executive vice president world-wide director of <unk> direct the direct marketing unit of interpublic group 's <unk> agency
 he had been president and chief operating officer of ogilvy & mather direct
 bozell
 los angeles will be the site of a new entertainment division for the ad agency
 the division will be headed by dick porter who returns to bozell after being vice president of media at mgm
 <unk> advertising
 the agency 's three california offices previously called <unk> advertising will now be called <unk> advertising to match the name of its new york office
 <unk> advertising is a unit of saatchi & saatchi co
 new beer
 <unk> products inc. greenwich conn. awarded its <unk> <unk> light beer account to <unk> & associates new york
 budget is set at $ N million
 the new beer introduced this week at a liquor industry convention is imported from switzerland 's <unk> brewery
 <unk> 's first ads for the brand which <unk> says will compete with imported light beer leader <unk> light feature the line the best <unk> light beer you 've ever seen
 <unk> motors corp. a joint venture of chrysler corp. and mitsubishi motors corp. said it will begin shipping mitsubishi <unk> cars to japan next week <unk> other japanese auto ventures shipping <unk> vehicles back to japan
 <unk> said it will export about N <unk> cars to japan by year 's end
 honda motor co. the first japanese auto maker to ship cars to japan from the u.s. is now exporting more than N accord <unk> a year from its <unk> ohio factory
 one of the most remarkable features of the forced <unk> of the ethnic <unk> out of <unk> over the past five months has been the lack of international attention
 the <unk> of more than N men women and children by the <unk> regime adds up to one of the largest <unk> seen in the postwar years
 yet some people are advancing a <unk> <unk> that what we are seeing is somehow the <unk> result of the historical <unk> committed by the <unk> in the <unk> century
 today 's <unk> in <unk> in other words deserve what is coming to them four centuries later
 as if this were n't enough the senate judiciary committee is getting into the act
 on tuesday it approved senator bob dole 's proposed <unk> resolution <unk> april N N as the national day of <unk> of the <unk> anniversary of the <unk> <unk> of N suffered at the hands of the <unk> <unk> empire
 there can be no <unk> that the <unk> <unk> terrible suffering but one has to wonder what possible good such a resolution will achieve
 it puts great strain on a longstanding u.s. friendship with turkey a country that has been one of america 's strongest allies in nato
 the resolution also comes at a time when turkey has been seeking help from the united states in <unk> its <unk> emigration controversy and pursuing democratic reforms that may lead to membership in the european community
 turkey has been fighting its past for years and thus far has been only partially successful
 must it now accept that one of its strongest allies blames it for the <unk> of another people
 such sentiment only encourages the adverse feelings toward turkey that surfaced when turkey asked for assistance in dealing with its <unk> emigration crisis
 mr. dole 's odd effort notwithstanding most of turkey 's political problems lie with the europeans
 part of the problem some europeans have with turkey seems to stem from its location turkey is n't really part of europe
 why they wonder should it belong to the ec
 another <unk> hook is the <unk> faith of the majority of the <unk> people turkey we are told is not a christian nation its people simply wo n't fit in with the western european <unk> tradition
 it 's when these <unk> fall on <unk> <unk> that the old <unk> of <unk> for treatment at the hands of the <unk> empire comes to the <unk>
 no one has to accept the <unk> of the <unk> empire to reject that argument
 turkey in any event is long past it
 the country has in recent years accepted more than N refugees from at least four <unk> nations
 <unk> suffering what many people consider to be a current <unk> campaign at the hands of <unk> iran and <unk> have <unk> eastern turkey
 now it is their fellow <unk> <unk> as refugees from <unk>
 the <unk> <unk> tragedy and the ongoing crisis can not be ignored and <unk> off to that notorious <unk> of history that has become so convenient recently
 surely the past suffering of any people at any time can not be simply filed away and forgotten
 but what the senate judiciary committee has done in supporting the strongly <unk> <unk> resolution <unk> no useful end it merely produces more controversy and <unk> memories
 congress has enough difficulty dealing with the realities of the world as it currently exists
 <unk> 's government has been <unk> beyond the pale for months and the u.s. does its values no credit by ignoring that while casting its votes into the past
 many in washington say president bush will have to raise taxes to pay for his war on drugs
 we have a better idea <unk> hud to pay for the war on drugs
 housing and urban development 's budget is $ N billion
 from what we and the nation have been reading the money is n't being spent very well
 the single most important contribution the government could make now to help the poor is to get the specter of drugs out of their neighborhoods
 if that takes money take it away from this <unk> federal department
 but of course the democrats <unk> hud in hearings and in the press have no such solution in mind
 instead they 're scrambling to protect the very programs at the heart of the hud scandal
 this month hud secretary jack kemp unveiled a series of proposed reforms to improve management at hud
 no doubt many of his ideas are worthy but ultimately he is proposing to make fundamentally flawed programs work slightly more fairly and efficiently
 congress is unlikely to go even that far
 last week secretary kemp ran into a <unk> of criticism from house banking committee members
 they were <unk> for instance that he wanted to target more of the $ N billion community development block grant <unk> program to low-income projects and zero out the notorious discretionary funds that have allowed hud officials to steer contracts to political <unk>
 these development grants mainly <unk> developers who want to put up shopping centers and parking <unk>
 they also give those in congress political credit for bringing home the pork and so they are popular with such members as mary rose <unk>
 rep. <unk> a democrat from cleveland wants a $ N million grant so cleveland can build an <unk> rock and roll hall of fame
 she says it 'd create N jobs and bring cleveland tourist revenue
 hud says the project does n't qualify and mr. kemp says that rock <unk> roll musicians and the music industry ought to put up the money
 at the hearing rep. <unk> started <unk> about <unk> <unk> regulations that would stand between her and housing for downtown cleveland
 rep. <unk> <unk> an ohio republican rallied to the cause i think the <unk> is making an important statement
 the implication that if a congressman calls about a project in his district there 's something wrong i think is most unfortunate
 we 're sure some <unk> can explain the difference between what the republican consultants have been doing with hud and what these <unk> and <unk> want to do with hud
 our view is that given congress 's attitude toward hud the place probably is beyond reform
 for more than N years the federal government has tried various ways to provide housing for the poor and revive cities
 in the process hud has wasted <unk> billions created <unk> and invited corruption
 much of hud 's spending actually is <unk> welfare for developers or the middle class
 that includes the <unk> funds and the federal housing administration which loans out money for private home mortgages and has just been discovered to be $ N billion in the hole
 selling the fha 's loan portfolio to the highest bidder would save the taxpayers <unk> billions in future losses
 some hud money actually does <unk> down to the poor and <unk> out housing middlemen would free up more money for public housing tenants to manage and even own their units
 the rest ought to be used to clean out drugs from the <unk>
 rival gangs have turned cities into combat zones
 even suburban prince george 's county md. reported last week there have been a record N killings there this year most of them drug-related
 innocent <unk> often are the victims
 a man in a <unk> was <unk> down in the <unk> of a miami drug battle
 a <unk> brooklyn boy was used as a shield by a drug dealer
 decent life in the inner cities wo n't be restored unless the government <unk> the streets from the drug gangs
 until then the billions hud spends on inner-city housing simply is wasted
 it 's still unclear whether secretary kemp wants to completely overhaul the engine room at hud or just tighten a few <unk> here and there
 no doubt he believes the place can be <unk>
 having seen the <unk> with which congress has addressed the hud scandals we disagree
 it 's time to scrap the politically <unk> spending machine hud has become and channel the resources into the drug war
 <unk> <unk> was named chairman and chief executive officer of this grocery chain
 mr. <unk> N years old succeeds <unk> <unk> jr. who died in a plane crash on sunday at the age of N
 <unk> <unk> retains his position as president
 natural <unk> and most particularly earthquakes are not only horrible realities in and of themselves but also <unk> through which the state of a society can be <unk>
 the rubble after the <unk> earthquake a year ago disclosed quite literally a city whose larger structures had been built with sand
 the extent of the disaster stemmed from years of <unk> and bureaucratic <unk>
 the larger parallel after the earthquake centered south of san francisco is surely with the state of the u.s. economy
 did the stock-market tremors of friday oct. N <unk> larger <unk> far greater <unk>
 are the engineering and architecture of the economy as vulnerable as the <unk> of the bay bridge
 the <unk> <unk> of the <unk> era has produced <unk> <unk> about the present <unk> of u.s. economic and social arrangements
 a licensed government intellectual francis <unk> recently announced in the national interest that history is so to speak at an end since the course of human progress has now <unk> in the <unk> full stop of american <unk>
 his <unk> were taken seriously
 but we are in reality <unk> the continuing decline of the political economy of capitalism not so much the end of history but the history of the end
 the financial equivalent of the sand used by those <unk> contractors is junk bonds and the leveraged buy-outs associated with them
 builders get away with using sand and financiers junk when society decides it 's <unk> necessary even to look the other way
 and by the early 1980s u.s. capitalists had ample reason to welcome junk bonds to look the other way
 by that time they found extremely low profit rates from <unk> corporate investment
 government statistics in fact show that the profit rate net pretax profits divided by capital stock peaked in N at N N
 that same <unk> saw profit rates fall to N N in the recession year N and the supposed <unk> that followed has seen the profit rate rise only to N N in N and N N in N
 corresponding to the fall in profit rates was in the early 1980s the drop in the number arrived at if you divide the market value of firms by the replacement costs of their assets the famous <unk> ratio associated with prof. james <unk>
 in theory the value attached to a firm by the market and the cost of replacing its assets should be the same
 but of course the market could decide that the firm 's capital stock its assets means nothing if the firm is not producing profits
 this is indeed what the market decided
 by N the ratio was N N meaning that the market was <unk> every dollar 's worth of the average firm 's assets at N cents
 from the history of capitalism we can take it as a sound bet that if it takes only N cents to buy a dollar 's worth of a firm 's capital stock an alert entrepreneur wo n't look the other way
 his assumption is that the underlying profitability rate will go up and the capital assets he bought on the cheap will soon be producing profits thus restoring the market 's faith in them
 hence the lbo craze
 but here is where the entrepreneur made a very risky bet and where society was maybe <unk> to look the other way
 the profit rate is still low and the <unk> ratio was only N N in N and N N in N
 result a landscape <unk> with <unk> huge debt burdens <unk> down upon the <unk> and <unk> of corporate america
 the mounting risks did not go <unk> even in the mid-1980s
 but there were enough <unk> announcing the end of history in this case suspension of normal laws of economic <unk> for society to continue <unk> its eyes
 mainstream economists and <unk> <unk> their <unk> up at the great <unk> of junk financing <unk> their heads to watch the <unk> of leveraged buy-outs claimed the end result would be a <unk> <unk> corporate america with soaring productivity and profits and the weaker gone to the wall
 but this is not where the rewards of junk financing were found
 the beneficiaries were those financiers whose <unk> was the topic figure of '80s capitalism michael <unk> 's $ N million salary in one year
 <unk> economists i associate with <unk> in the union of radical political economists most particularly robert <unk> of the economics faculty at the university of california at <unk> were not <unk> in the manner of their <unk> colleagues
 all along they have been noting the tremors and pointing out the underlying realities
 profit rates after the great merger wave are no higher and now we have an extremely high-interest burden relative to cash flow
 the consequences of building <unk> with sand are showing up
 in contrast to previous estimates <unk> the default rate on junk bonds at N N or N N a harvard study published in april of this year and discussed in a lead story in the wall street journal for sept. N found the default rate on these junk bonds is N N
 what is the consequence of a high-interest burden high default rates and continued low profitability
 corporations need liquidity in the form of borrowed funds
 without liquidity from the junk-bond market or cash flow from profits they look to the government which <unk> <unk> the natural <unk> of the capitalist economy with charity in the form of cuts in the capital-gains tax rate or <unk>
 the consequence can be inflation brought on as the effect of a desperate bid to avoid the <unk> shock of a sudden crash
 attacks on inflation come with another strategy of capital of a very traditional sort an assault on wages
 mr. <unk> <unk> through <unk> at the end of history said in his <unk> that the class issue has actually been successfully resolved in the west
 the <unk> of modern america represents the essential achievement of the <unk> society <unk> by <unk>
 mr. <unk> might want to <unk> some american workers on the subject of class and <unk>
 from its peak in N of $ N the average american weekly wage had fallen to $ N in N both figures being expressed in N dollars
 in other words after the glory boom of the reagan years wages had <unk> from the post world war ii peak by N N as capitalists helped by the government turned down the <unk> or went offshore
 but there are signs now the strikes by miners boeing workers telephone workers etc. that this attack on wages is being more fiercely resisted
 these are long-term richter <unk> on american capitalism
 the whole structure is extremely shaky
 governments have become sophisticated in handling moments of panic a word the london times <unk> my father to use when he was reporting the wall street crash in N
 but <unk> has its limits
 the s&l bailout could cost $ N billion computing interest on the government 's loans
 these are real costs
 under what <unk> will the federal deposit insurance corporation <unk>
 capitalism may now be engineered to withstand sudden shocks but there are fault lines the crisis in profits the assault on wages the structural <unk> of the system that make <unk> of those who claim that the future is here and that history is over
 mr. <unk> is a columnist for the nation and la weekly
 japan air lines lufthansa german airlines and air france reportedly plan to form an international air-freight company this year a move that could further consolidate the industry
 japanese newspaper <unk> <unk> <unk> reported that the three giants plan to integrate their cargo computers and <unk> and <unk> systems
 they reportedly will invest a total of N billion yen $ N million in the venture whose headquarters would be in france or west germany
 the action follows federal express corp. 's acquisition of flying tiger line inc. in august
 after that it would make sense for airlines to talk about doing things jointly said cotton daly director of cargo services for new york consulting firm <unk> <unk> & <unk> inc
 mr. daly said such discussions are motivated by the competitive threat posed by federal express united parcel service of america inc. and other fast-growing air-freight companies
 many airlines are talking about cargo ventures and there have been rumors about such a tie between jal and european airlines
 in tokyo a jal spokesman said he could n't confirm or deny the latest japanese report
 but he said jal is talking to lufthansa and air france about some sort of cargo venture
 it is just one of a number of strategies jal has <unk> upon to come to terms with the situation in europe after N the deadline for ending trade barriers in the ec he said
 in frankfurt a lufthansa spokesman confirmed talks are under way but declined to comment
 a lufthansa spokeswoman in tokyo said the head of lufthansa 's cargo operations had been in <unk> last week for talks with jal
 in paris air france declined to comment
 nothing is defined or signed at this point mr. daly said of the talks
 whatever accord the three carriers reach he said he is skeptical it would create a separate airline
 if the three companies pool their air-freight businesses their clout would be considerable
 according to figures from the international air transport association they carried a combined N million tons of freight last year
 federal express and flying tiger as separate companies carried a combined N million tons
 air france and lufthansa last month concluded a far-reaching cooperation accord that includes air-freight activities
 they plan to increase cooperation in freight <unk> and create a world-wide computer system to process cargo
 other airlines would have access to the system they said and negotiations with partners were already under way
 both european airlines operate extensive fleets of boeing N <unk> and N <unk> aircraft that carry both freight and passengers on the main deck
 they currently have large orders for cargo planes
 several airlines including lufthansa jal and cathay pacific airways are working on a so-called global cargo system and are trying to attract other carriers to join mr. daly said
 jal also has signaled it is looking for <unk> in europe before the end of N
 last month the carrier said it wanted to lease crews and planes from british airways so it could <unk> its passengers from london to other european <unk>
 british airways said it has n't received a proposal from jal
 but last week there were <unk> negotiations between the u.k. and japan a likely first step to any commercial agreement between jal and british airways or another u.k. carrier
 federal paper board co. said it completed the previously announced purchase of imperial cup corp. a closely held maker of paper <unk> based in <unk> ohio
 terms were n't disclosed
 imperial cup has annual sales of approximately $ N million
 federal paper board sells paper and wood products
 in a move to prevent any <unk> in the financial markets from the california earthquake the securities and exchange commission said it temporarily <unk> options listed on the pacific stock exchange to the american new york and philadelphia stock exchanges and to the chicago board options exchange
 the decision which affects millions of dollars of trading positions was made late yesterday because the pacific exchange 's options floor was shut down as a result of tuesday 's earthquake
 the sec faced with a major squeeze on options positions said it was necessary to ensure that options listed on the exchange could be traded today and tomorrow
 sec chairman richard breeden said the cooperation by the exchanges would enable investors to buy and sell options listed solely on the pacific exchange <unk> the liquidity of the market
 officials at the four exchanges said well over N traders from the pacific exchange were taking flights from san francisco late yesterday to the american new york and philadelphia exchanges and to the cboe where they would continue making markets in the <unk> options
 the big board said <unk> quickly <unk> a new options floor to <unk> N traders from the pacific exchange
 in addition specialists on the exchanges agreed to provide backup capital for <unk> in pacific exchange options traded on the exchanges
 trading was light on the pacific stock exchange yesterday with workers at the exchange 's main floor in san francisco struggling to execute orders by <unk> as a result of a continuing power <unk>
 the most pressing problem was the suspension of options trading
 the pacific exchange has options for N underlying stock issues including highly active hilton hotels corp. which is listed on the big board
 investors were concerned that they might be unable to exercise options that expire tomorrow
 but professionals said throughout the day that the shutdown would n't be a cause for alarm even if it were to <unk> for several days
 i 've told my staff and clients that they still have the ability to exercise their options because they are guaranteed by the options clearing corp. said michael schwartz a senior registered options strategist at oppenheimer & co
 the sec <unk> trading in the options however to allow investors to do more than simply exercise the options
 while the exchange 's equities floor in san francisco remained open on a limited basis orders were being <unk> and executed in los angeles
 workers could dial out but they could n't receive telephone calls
 it 's a very uncertain situation right now said <unk> <unk> administrative assistant of trading floor operations of the exchange which has daily volume of about N million shares
 because the exchange 's computer was <unk> orders to the exchange 's trading operations in los angeles business is as usual mr. <unk> said
 if one city is down the other can take over
 meanwhile the brokerage firms in san francisco were trying to cope
 charles <unk> chairman and chief executive officer of <unk> & co. said traders came to work at N a.m. <unk> many on foot because of uncertain road and traffic conditions but learned that they would have to await a required inspection by the city in order to turn the power back on at the company 's two main facilities there
 that should happen by today he said
 traders worked with the help of <unk> <unk> through windows despite large cracks in the walls and a lack of <unk> phone calls
 also most of the telecommunications equipment was out
 the traders were executing municipal bond mutual fund and other orders through a sister firm tucker anthony inc. which is also owned by john hancock freedom securities but is based in new york
 we are having a regular day
 volume is down out of san francisco but not out of the N <unk> offices mr. <unk> added
 <unk> 's oakland office executed orders through the sacramento office which was n't affected by the quake
 others like prudential-bache securities inc. which has eight offices in the san francisco area set up an N number yesterday morning for customers to obtain market commentary and other help
 at kidder peabody & co. 's sacramento branch manager <unk> white received calls yesterday morning from workers in san francisco who offered to work in sacramento
 then she discovered that quotron systems inc. 's sacramento lines were down because they are normally tied in through a system that goes through san francisco
 so the kidder brokers had to call other company offices to get quotes on stocks
 at quotron the company 's national <unk> center which swung into action for the first time last month for hurricane hugo assembled a tactical team at N a.m. yesterday to begin <unk> lines and restore service to brokers and traders
 the company dispatched as many as N people in the san francisco area to do the work though most of the <unk> was done by computer
 service appeared to be down throughout the financial district in downtown san francisco while just parts of oakland and san jose were knocked out
 but dale irvine director of the emergency center said service was being restored to <unk> san francisco areas
 in chicago yesterday options clearing confirmed that it guarantees the pacific exchange options
 the firm also will permit its members and the public to exercise their put and call options contracts traded on the pacific exchange even if the exchange is closed said wayne <unk> chairman of options clearing
 put options give holders the right but not the obligation to sell a financial instrument at a specified price while call options give holders the right but not the obligation to buy a financial instrument at a specified price
 investors and traders in pacific exchange options are protected to the extent that they can convert their put and call options into the underlying instrument mr. <unk> said
 we are seeing such exercises today in fact
 international business machines corp. said its board approved the purchase of $ N billion of its common shares a move that should help support its battered stock
 even as the stock market has generally done well this year ibm 's shares have slipped steadily from its 52-week high of $ N
 yesterday 's closing price of $ N down N cents in composite trading on the new york stock exchange puts the stock at about N N times book value which is as low as it has <unk> over the past decade
 the announcement came after the market 's close
 the move by ibm was n't exactly a surprise
 the company has spent some $ N billion over the past N N years to buy back N million common shares or roughly N N of those outstanding
 in addition despite ibm 's <unk> recent problems the computer giant still generates enormous amounts of cash
 as of the end of the second quarter it had $ N billion of cash and <unk> securities on hand
 as a result some securities analysts had predicted in recent days that ibm would <unk> additional purchases
 in armonk n.y. a spokesman said that although ibm did n't view its spending as necessarily a way to support the stock it thought the purchases were a good way to improve such financial measurements as per-share earnings and return on equity
 we view it as a good long-term investment the spokesman said
 in the short term the move is likely to have little effect
 at yesterday 's closing price $ N billion would buy back about N million shares or less than N N of the roughly N million outstanding
 in addition as of sept. N the company still had authorization to buy $ N million of stock under a prior repurchase program
 over the long term however ibm 's stock <unk> along with its hefty $ <unk> annual dividend and generally loyal following among large institutional investors are providing a floor for the stock price
 although ibm last year produced its first strong results in four years and was expected to continue to roll this year it began <unk> as early as january
 first it had trouble manufacturing a chip for its mainframes ibm 's bread-and-butter business
 then it had a series of smaller <unk> including problems manufacturing certain personal computers and the delay in the announcement of some important workstations
 finally ibm had to delay the introduction of some high-end disk drives which account for N N of its $ N billion of annual revenue
 none of the problems is necessarily fatal and they are n't all necessarily even related
 there are also other factors at work that are outside ibm 's control such as currency exchange rates
 the strong dollar which reduces the value of overseas earnings and revenue when they are translated into dollars is expected to knock N to N cents off ibm 's per-share earnings for the full year
 without that problem ibm might have matched last year 's earnings of $ N billion or $ N a share
 still investors will take some convincing before they get back into ibm 's stock in a big way
 steve <unk> a securities analyst at first boston said that while investors were looking for an excuse to buy ibm shares a year ago even the big institutional investors are looking for a reason to avoid the stock these days
 on wall street yesterday northern california 's killer earthquake was just another chance to make a buck
 at the opening bell investors quickly began <unk> out shares of companies expected to profit or suffer in some way from the california disaster including insurers <unk> companies refiners and housing lenders
 brokerage houses jumped in touting <unk> demand stocks and kidder peabody & co. set up a <unk> hot line for san <unk> who might need emergency investment advice and help in <unk> funds
 wall street thinks of everything in terms of money says tom <unk> a senior oppenheimer & co. trader
 however he added such <unk> trading moves typically last only a few hours and are often made without full information
 the most popular plays of the day were insurance companies such as general <unk> corp. which rose $ N to $ N <unk> <unk> corp. up $ N to $ N american international group inc. up $ N to $ N and cigna corp. up N cents to $ N
 yesterday the brokerage firm <unk> & co. said insurers will use the earthquake as an excuse to raise insurance rates ending their long price wars
 before this bullish theory surfaced some insurance stocks initially fell indicating that investors thought the quake might cost insurers a lot of money
 in fact fireman 's fund corp. which ended the day off N cents to $ N said earthquake damage would slightly hurt fourth-quarter profit
 on the prospect for rebuilding northern california investors bid up <unk> <unk> co. up $ N to $ N and lone star industries inc. up $ N to $ N
 bridge and road builders had a field day including <unk> corp. up $ N to $ N guy f. <unk> co. up N to $ N and morrison <unk> corp. which reported higher third-quarter earnings yesterday up $ N to $ N
 fluor corp. a construction engineering firm gained N cents to $ N
 but <unk> stocks were a mixed bag
 <unk> stocks got a big boost
 georgia pacific corp. up $ N to $ N and <unk> inc. up $ N to $ N both reported strong profits
 merrill lynch & co. touted georgia-pacific louisiana pacific corp. and <unk> industries inc. as the best <unk> <unk> plays
 other gainers were companies with one or more <unk> california refineries
 <unk> corp. jumped $ N to $ N and chevron corp. despite a temporary pipeline shutdown rose $ N to $ N
 meanwhile shares of some big housing lenders got hit on the likelihood that the lenders ' collateral people 's homes suffered physical damage and perhaps a loss in value
 wells fargo & co. fell N cents to $ N and bankamerica corp. fell N cents to $ N
 some california thrift stocks also fell including golden west financial corp. and h.f. ahmanson & co. which reported lower earnings yesterday
 property values did n't go up in california yesterday says one money manager
 pacific gas & electric co. fell N cents to $ N
 one of its power <unk> was damaged though the company said there wo n't be any financial impact
 pacific telesis group lost N cents to $ N
 a computer failure delayed its earnings announcement and some investors think it might have extra costs to repair damaged telephone lines
 heavy construction <unk> insurance and forest products were among the best performing industry groups in the dow jones equity market index yesterday
 friday 's stock market plunge claimed its second victim among the scores of futures and options trading firms here
 petco options an options trading firm owned by the family of the <unk> former chicago board of trade chairman ralph peters is getting out of the trade clearing or processing and <unk> business after <unk> a <unk> dollar loss friday options industry officials said
 nearly N options traders on the chicago board options exchange who cleared trades through petco including a handful of traders who lost between $ N to $ N million themselves as a result of friday 's debacle are trying to transfer their business to other clearing firms cboe members said
 timothy vincent petco chief executive officer confirmed that petco was <unk> from the clearing business
 the owners of the company got a look at the potential risks in this business and after monday they felt they did n't want to be exposed any more he said
 he added that petco remained in compliance with all industry capital requirements during the market 's rapid plunge friday and monday 's rebound
 a cboe spokeswoman declined comment on petco
 over the weekend fossett corp. another options trading firm transferred the clearing accounts of about N traders to first options of chicago a unit of continental bank corp. because it could n't meet regulatory capital requirements after friday 's market slide
 the unprecedented transfer of accounts underscored the options industry 's desire not to have its credibility <unk> by potentially widespread trading defaults on monday
 the cboe american stock exchange options clearing corp. and stephen fossett owner of fossett joined in putting up $ N million to guarantee the accounts at first options
 the head of another small options clearing firm who asked not to be identified said that the heightened volatility in the financial markets in recent years makes it increasingly difficult for any but the largest financial trading firms to shoulder the risk inherent in the highly leveraged options and futures business
 prior to the introduction of financial futures in the late 1970s most trading firms <unk> around the <unk> street financial district here were family operations handed down from one generation to the next
 most also were relatively <unk> compared with the size of most wall street securities firms
 mr. peters a <unk> street <unk> among the <unk> war ii generation of commodity traders was rumored to have <unk> a multimillion-dollar fortune from commodity trading and other activities by the time he died in may
 part of a series
 <unk> <unk> is a <unk> <unk> and <unk> in rural <unk> county n.j
 but put her behind a shopping <unk> and she turns <unk>
 if colgate <unk> offers a <unk> <unk> coupon she 'll cross crest off her shopping list without a second thought
 never mind that her husband prefers crest
 some weeks when her supermarket runs a <unk> promotion she boasts that she <unk> $ N off her bill
 money is n't the only thing that makes her dump once favorite brands
 after she heard about the <unk> hazards of <unk> oils in many <unk> she dropped <unk> farm and started buying brands free of such oils
 i always thought <unk> farm was <unk> and high quality mrs. <unk> says
 but i do n't want any of that oil for my <unk>
 <unk> farm says it ca n't tell exactly how many customers it has lost but it hopes to remove the <unk> <unk> oil from all its products by year end
 clearly people like mrs. <unk> are giving marketers fits
 she represents a new breed of <unk> consumer who puts bargain prices nutritional and environmental concerns and other priorities ahead of old-fashioned brand loyalty
 while brand loyalty is far from dead marketing experts say it has eroded during the 1980s
 marketers themselves are partly to blame they 've increased spending for coupons and other short-term promotions at the expense of <unk> advertising
 what 's more a flood of new products has given consumers a dizzying choice of brands many of which are virtually carbon copies of one other
 marketers have brought this on themselves with their heavy use of promotions contends joe <unk> an executive vice president at the d'arcy <unk> benton & <unk> ad agency
 without some real product improvements it 's going to be difficult to win that loyalty back
 the wall street journal 's american way of buying survey this year found that most consumers switch brands for many of the products they use
 for the survey peter d. hart research associates asked some N consumers including mrs. <unk> whether they usually buy one brand of a certain type of product or have no brand loyalty
 more than half the users of N of the N products included in the survey said they 're brand <unk>
 overall N N of consumers are n't brand loyal for any of the N product categories
 about N N are loyal for one to five of the products
 only N N are brand loyal in N to N of the categories and no one is loyal for more than N types of products
 for such products as <unk> <unk> and athletic shoes <unk> to a single brand was quite low with fewer than N N saying they usually buy the same brand
 only for cigarettes <unk> and <unk> did more than N N of users say they typically stick with the same brand
 people tend to be most loyal to brands that have distinctive <unk> such as cigarettes and <unk>
 <unk> <unk> a <unk> in the journal survey from <unk> wash. says her husband is <unk> about eating only hunt 's <unk>
 he simply ca n't <unk> the taste of <unk> she says
 the <unk> <unk> adds the only other thing i 'm really loyal to is my virginia <unk> cigarettes
 coke and pepsi are all the same to me and i usually buy whichever brand of coffee happens to be on sale
 brand <unk> plays a significant role in loyalty to such products as cigarettes <unk> and beer
 people often stay with a particular brand because they want to be associated with the image its advertising <unk> whether that 's <unk> <unk> cigarettes or <unk> 's <unk> <unk>
 loyalty <unk> most for <unk> products like trash bags and <unk>
 only N N of <unk> users in the journal survey usually buy the same brand and just N N of battery buyers stick to one brand
 underwear scored a <unk> N N in brand loyalty but consumer researchers say that 's actually quite high for such a mundane product
 in the past you just wore fruit of the <unk> and did n't care says peter kim u.s. director of consumer behavior research for the j. walter thompson ad agency
 the high score reflects the attempts to make underwear more of a fashion image business for both men and women
 he believes there 's opportunity for a smart gasoline marketer to create a strong brand image and more consumer loyalty
 what loyalty there is to gas brands he believes is a matter of <unk> at the most <unk> located service stations
 brand loyalty was stronger among older consumers in the journal survey
 nearly <unk> of participants age N and older claim brand loyalty for more than N of the N products in the survey only N N of those age N to N have such strong <unk>
 <unk> people also tend to be more brand loyal these days the journal survey and other research studies indicate
 marketers speculate that more affluent people tend to lead more pressured lives and do n't have time to research the products they buy for the highest quality and most reasonable price
 an established brand name is insurance that at least the product will be of acceptable quality if not always the best value for the money
 it 's sort of loyalty by default
 meanwhile the bottom end of the market is becoming less loyal says laurel cutler vice chairman of the ad agency <unk> katz partners
 they 're buying whatever 's cheaper
 the biggest wild card in the brand loyalty game how those <unk> pursued but highly <unk> baby boomers will <unk> as they move into middle age
 they grew up with more brand choices than any generation and have shown less <unk> so far
 but now that they 're settling down and raising families might they also show more stability in their brand choices
 mr. kim of j. walter thompson does n't think so
 he believes baby boomers will continue to be selective in their brand <unk>
 earlier generations were brand loyal across categories he says but boomers tend to be brand loyal in categories like running shoes and bottled water but less so in others like toilet paper and appliances
 while not as brand loyal as in the past consumers today do n't buy products <unk> either
 rather they tend to have a set of two or three <unk>
 sometimes they 'll choose <unk> <unk> <unk> other times it will be <unk>
 advertisers attribute this shared loyalty to the striking similarity among brands
 if a more <unk> <unk> hits the market you can be sure a new and improved <unk> wo n't be far behind
 the <unk> worldwide ad agency studied brand parity and found that consumers believe all brands are about the same in a number of categories particularly credit cards paper <unk> dry <unk> and <unk> chips
 when there 's a clutter of brands consumers <unk> the <unk> by telling themselves all brands are the same so what difference does it make which i buy says karen <unk> a senior vice president at <unk>
 too often advertising <unk> has n't done a good job of <unk> a special emotional bond between a brand and the consumer
 but given such strong brand <unk> some marketers are putting renewed emphasis on image advertising
 a small but growing number of companies are also trying to <unk> more <unk> brand loyalty through such <unk> <unk> <unk> as <unk> magazines and membership clubs for brand users
 while discount promotions are essential for most brands some companies concede they went <unk> in shifting money from advertising to coupons refunds and other sales incentives
 some people argue that strong brands can afford to stop advertising for a time because of the <unk> impact of hundreds of millions of dollars spent on advertising through the years
 but most companies are too afraid to take that chance
 and perhaps with good reason
 says <unk> <unk> president of the d'arcy <unk> ad agency 's u.s. division every time N hours pass without any advertising reinforcement brand loyalty will <unk> ever so slightly even for a powerful brand like <unk>
 consider for example what happened to maxwell house coffee
 the kraft general foods brand stopped advertising for about a year in N and gave up several market share points and its leadership position in the coffee business
 but since returning to advertising maxwell house has regained the lost share and is running neck and neck with archrival <unk>
 now philip morris kraft general foods ' parent company is committed to the coffee business and to increased advertising for maxwell house says dick mayer president of the general foods usa division
 even though brand loyalty is rather strong for coffee we need advertising to maintain and strengthen it
 campbell soup co. for one has concluded that it makes good sense to focus more on its most loyal customers than on people who buy competitive brands
 the probability of converting a <unk> to your brand is about three in N says tony adams the company 's vice president for marketing research
 the best odds are with your core franchise
 our heavy users consume two to three cans of soup a week and we 'd like to increase that
 so campbell is talking to its brand enthusiasts probing their psychological <unk> to its soup
 in one consumer focus group a fan declared that campbell 's soup is like getting a <unk> from a friend
 that helped persuade the company to introduce a new advertising <unk> a warm <unk> from campbell 's
 insurers face the prospect of paying out billions of dollars for damages caused by this week 's california earthquake
 getting a grip on the extent of the damages is proving a far more difficult task than what insurers faced after hurricane hugo <unk> through the caribbean and the carolinas last month
 the earthquake 's toll including possible deep structural damage goes far beyond the more easily observed damage from a hurricane says george <unk> a vice president in aetna life & casualty insurance co. 's claims division
 but investors are betting that the financial and psychological impact of the earthquake coming so soon after the hurricane will help stem more than two years of intense <unk> wars among business insurers
 reflecting that logic <unk> stocks posted strong gains
 aetna and other insurers are hiring engineers and architects to help them assess structural damage
 most insurers already have <unk> their catastrophe teams to begin processing claims from their policyholders in northern california
 since commercial air travel is interrupted aetna based in hartford conn. chartered three planes to fly claims adjusters into sacramento and then planned for them to drive to the bay area
 about N adjusters were dispatched yesterday afternoon along with laptop computers cellular phones and blank checks
 some adjusters already in other parts of california drove to the disaster area with recreational vehicles and mobile homes that could be used as <unk> <unk> centers
 insurers will be advertising N numbers probably on the radio that policyholders can call to get assistance on how to submit claims
 state farm mutual automobile insurance co. the largest home and auto insurer in california believes the losses from the earthquake could be somewhat less than the $ N million in damages it expects to pay out for claims resulting from hurricane hugo
 state farm based in <unk> ind. is also the largest writer of <unk> earthquake insurance in california
 earthquake insurance is sold as a separate policy or a specific endorsement rider on a <unk> 's policy in california because of the area 's <unk> to earthquakes
 state farm said about N N of its policyholders in california have also purchased earthquake insurance
 <unk> insurance co. a unit of sears roebuck & co. said about N N of its personal property policyholders about N N in the san <unk> area also have earthquake coverage
 the association of california insurance companies estimated damage to residential property could total $ N million but only $ N million to $ N million is insured it said
 officials from the american insurance association 's <unk> service division which <unk> the efforts of the claims adjusters in an area after a natural disaster will be flying to san francisco today
 they expect to have a preliminary estimate of the damages in a day or two
 roads and bridges in the bay area appear to have suffered some of the most costly damage
 highways such as the section of interstate N that collapsed in oakland generally do n't have insurance coverage
 industry officials say the bay bridge unlike some bridges has no earthquake coverage either so the cost of <unk> it probably would have to be paid out of state general operating funds
 however the bridge which charges a $ N toll each way does have loss of income insurance to replace lost revenue if the operation of the bridge is interrupted for more than seven days
 that coverage is provided by a syndicate of insurance companies including fireman 's fund corp. based in <unk> calif. and cigna corp. based in philadelphia
 earthquake-related claims are n't expected to cause significant financial problems for the insurance industry as a whole
 instead even with the liabilities of two natural disasters in recent weeks analysts said the total capital of the industry is likely to be higher at year end than it was at midyear
 indeed the earthquake could contribute to a turnaround in the insurance cycle in a couple of ways
 for example insurers may seek to limit their future exposure to catastrophes by increasing the amount of reinsurance they buy
 such increased demand for reinsurance along with the losses the <unk> will bear from these two disasters are likely to spur increases in reinsurance prices that will later be translated into an overall price rise
 reinsurance is protection taken out by the insurance firms themselves
 we are saying this is the breaking point this is the event that will change the psychology of the marketplace said william <unk> an analyst with <unk> & co. a hartford firm that specializes in the insurance industry
 his firm along with some others issued new buy recommendations on insurer stocks yesterday
 among the insurance stocks big gainers included american international group up $ N to $ N general <unk> corp. up $ N to $ N aetna up $ N to $ N and marsh & mclennan inc. up $ N to $ N
 still a few individual companies most likely smaller ones could be <unk>
 i think there is a <unk> good chance someone is going to hit the <unk> on this said oppenheimer & co. analyst <unk> <unk>
 he suspects some insurers who had purchased reinsurance to limit their exposure to catastrophes will discover that reinsurance was used up by hurricane hugo
 british west german <unk> and other overseas insurers are bracing for big claims from the san francisco earthquake disaster
 although it 's unclear how much exposure the london market will face u.k. traditionally have a large reinsurance exposure to u.s. catastrophe coverage
 jack <unk> chairman of fireman 's fund said this disaster will test the catastrophe reinsurance market causing these rates to soar
 the catastrophe losses sustained by insurers this year will probably be the worst on an inflation-adjusted basis since N when another earthquake sparked the great san francisco fire
 <unk> <unk> an insurance consultant in new york estimates that the N san francisco destruction on an inflation-adjusted basis included insured losses of $ N billion
 he is estimating this week 's disaster will generate insured losses of $ N billion to $ N billion following about $ N billion in costs to insurers from hurricane hugo
 silicon graphics inc. 's first-quarter profit rose sharply to $ N million or N cents a share from $ N million or six cents a share a year ago
 the maker of computer workstations said a surge of government orders contributed to the increase
 revenue rose N N to $ N million from $ N million the year earlier
 in national over-the-counter trading the company closed yesterday at $ N a share down N cents
 hunter environmental services inc. said it reached a preliminary accord on the sale of its environmental consulting and services business for about $ N million and assumption of related debt
 the buyer was n't identified
 the company said it also is making progress in negotiating the buy-out of its design division by management
 in addition hunter said it will use proceeds from a private placement of $ N million of preferred shares to purchase an interest in a start-up company to underwrite environmental <unk> insurance
 hunter wants to concentrate its resources on the insurance business and on a project to store hazardous <unk> in salt <unk>
 jaguar plc 's chairman said he hopes to reach a friendly pact with general motors corp. within a month that may involve the british luxury-car maker 's producing a cheaper executive model
 sir john <unk> told reporters at london 's <unk> yesterday he would be disappointed if we could n't do the deal within a month
 he said the <unk> would mean jaguar could develop cars down range in price from where we are by offering access to gm 's <unk> parts production
 besides creating joint manufacturing ventures the accord is expected to give gm about a N N stake that eventually would rise to about N N
 jaguar figures a friendly alliance with gm will fend off unwelcome advances from ford motor co
 but ford jaguar 's biggest shareholder since lifting its stake to N N this week is pressing harder for talks with sir john
 we 're getting to the point where we are going to have to meet with him one ford official said yesterday
 ford probably will renew its request for such a meeting soon he added
 sir john has <unk> ford 's advances since the u.s. auto giant launched a surprise bid for as much as N N of jaguar last month
 ford has signaled it might acquire a majority interest later
 i 'm not obligated to sit down and talk to anybody the jaguar chairman asserted yesterday
 he did n't rule out negotiations with ford however
 the fiercely proud but financially strapped british company prefers to remain independent and publicly held despite ford 's promise of access to cash and technological know-how
 sir john noted that gm a longtime jaguar supplier agrees we should remain an independent company
 he said jaguar started negotiating with gm and several other car makers over a year ago but the rest dropped by the <unk> ever since the share price went above # N $ N a share
 jaguar shares stood at N pence before ford 's initial announcement but the subsequent takeover frenzy has driven them up
 the stock traded late yesterday on london 's stock exchange at N pence up N pence
 developing an <unk> range would mark a major departure for britain 's leading luxury-car maker
 a typical british executive car is mass produced and smaller than a luxury car
 it generally <unk> no more than # N $ N roughly # N less than the <unk> <unk> which are all known for their <unk> leather work
 we have designs for such executive cars but have never been able to develop them sir john said
 gm 's help would make it possible for jaguar to build a wider range of cars
 an executive model would significantly boost jaguar 's yearly output of N cars
 you are talking about a couple hundred thousand a year said bob barber an <unk> analyst at u.k. brokerage james capel & co
 a pact with gm may emerge in as little as two weeks according to sources close to the talks
 the deal would require approval by a majority of jaguar shareholders
 we have to make it attractive enough that holders would accept it sir john said
 that may be difficult the jaguar chairman acknowledged when you have somebody else breathing down your neck
 ford probably would try to kill the proposal by <unk> support from u.s. takeover-stock speculators and holding out the <unk> of a larger bid later said stephen reitman european auto analyst at london brokers <unk> phillips & drew
 ford ca n't make a <unk> bid for jaguar until u.k. government restrictions expire
 the anti-takeover measure prevents any outside investor from buying more than N N of jaguar shares without permission until dec. N N
 but with its N N stake ford can <unk> a special jaguar shareholders ' meeting and urge them to drop the restrictions <unk>
 it 's a very valuable weapon in their <unk> which could enable ford to bid sooner for jaguar observed mr. barber of james capel
 otherwise jaguar may have to <unk> the two u.s. auto giants each owning a N N stake for more than a year
 it would be difficult to see how a car company can be owned by a collective sir john said
 it has never been done before but there 's always a first
 although two baby bells showed strong growth in access lines usage and <unk> business revenue one reported a modest gain in third-quarter net while the other posted a small drop
 <unk> corp. 's earnings increased N N after strong revenue gains were offset somewhat by refunds and rate reductions imposed by regulators in its midwest territory
 bellsouth corp. 's third-quarter earnings dropped N N as a result of debt refinancing the recent acquisition of a cellular and <unk> property and rate reductions in its southeast territory
 bellsouth
 at bellsouth based in atlanta customer access lines grew by N or N N during the 12-month period ended <unk>
 for the third quarter total operating revenue grew N N to $ N billion from $ N billion
 total operating expenses increased N N to $ N billion from $ N billion
 overall access minutes of use increased N N and toll messages jumped N N
 bellsouth chairman and chief executive officer john l. <unk> said three factors accounted for the drop in third-quarter earnings
 the refinancing of $ N million in long-term debt reduced net income by $ N million or five cents a share but in the long run will save more than $ N million in interest costs
 the company previously said that the recent acquisition of mobile communications corp. of america would <unk> N earnings by about N N
 in addition earnings were reduced by rate reductions in florida kentucky alabama tennessee and louisiana
 <unk>
 at <unk> based in chicago customer access lines increased by N or N N and cellular mobile lines increased by N or N N for the 12-month period ended sept. N
 for the third quarter revenue increased N N to $ N billion from $ N billion
 operating expenses increased N N to $ N billion including one-time pretax charges of $ N million for labor contract signing bonuses
 local service revenue increased N N and <unk> and <unk> business revenue jumped N N
 but network access revenue dropped N N and toll revenue dropped N N
 a reflects 2-for-1 stock split effective dec. N N
 b reflects extraordinary loss of five cents a share for early debt retirement
 c reflects extraordinary loss of five cents a share and extraordinary gain of N cents a share from cumulative effect of accounting change
 the wall street journal american way of buying survey consists of two separate <unk> nationwide polls conducted for the journal by peter d. hart research associates and the roper organization
 the two surveys which asked different questions were conducted using national random probability samples
 the poll conducted by peter d. hart research associates interviewed N adults age N and older from june N to june N N
 the poll conducted by the roper organization interviewed N adults age N and older from july N to july N N
 responses were weighted on the basis of age and <unk> to conform with u.s. census data
 for each poll the odds are N out of N that if <unk> had sought to survey every household in the u.s. using the same <unk> the findings would differ from these poll results by no more than N N percentage points in either direction
 the margin of error for <unk> for example married women with children at home would be larger
 in addition in any survey there is always the chance that other factors such as question <unk> could introduce errors into the findings
 program traders were buying and selling at full steam monday the first trading session after the stock market 's 190.58-point plunge friday
 they accounted for a hefty N N of new york stock exchange volume monday the fourth busiest session ever
 on friday N N of volume was in computer-guided program trades
 in august by contrast program trading averaged N N of daily big board turnover
 program traders were publicly <unk> following the <unk> crash oct. N N and a number of brokerage firms pulled back from using this strategy for a while
 but as the outcry faded by the spring of N they resumed
 some observers thought that after friday 's sharp drop the firms would rein in their program traders to avoid <unk> more controversy
 but the statistics released yesterday show the firms did nothing of the sort
 one reason they said was that the official reports on the N crash <unk> program trading as a cause
 stock-index arbitrage is the most controversial form of program trading because it <unk> market moves if not actually causing them
 in it traders buy or sell stocks and offset those positions in stock-index futures contracts to profit from fleeting price discrepancies
 under the exchange 's <unk> program trading also describes a number of other strategies that in the opinion of some traders do n't cause big swings in the market
 the big board 's disclosure of program trading activity on these two days was unusual
 though it <unk> such data daily its monthly reports on program trading usually come out about three weeks after each month ends
 the september figures are due to be released this week
 the big board declined to name the wall street firms involved in the activity friday and monday or the type of strategies used
 but traders on the exchange floor who can <unk> the computer-guided trading activity on monitor screens said most of the top program-trading firms were active both days
 through august the top five program trading firms in volume were morgan stanley & co. kidder peabody & co. merrill lynch & co. painewebber group inc. and salomon brothers inc
 though brokerage officials defended their use of program trading one sign of what an issue it remains was that few executives would comment on the record
 besides <unk> the <unk> for program trading contained in the brady commission report they said stock-index arbitrage was actually needed monday to restore the markets ' <unk>
 on friday the stock-index futures market was <unk> from the stock market when the chicago mercantile exchange halted trading in standard & poor 's N futures contract a circuit breaker procedure instituted after the N crash and implemented for the first time
 futures trading resumed a half-hour later but the session ended shortly thereafter leaving the stock market set up for more sell programs traders said
 by monday morning they said stock-index arbitrage sell programs helped <unk> the link between stocks and futures
 but stunning volatility was produced in the process
 the dow jones industrial average plunged a <unk> N points in the first N minutes of trading monday as stock-index arbitrage sell programs kicked in
 at about N a.m. edt the market abruptly turned upward on stock-index arbitrage buy programs
 by day 's end the dow industrials had rebounded N points or nearly half of friday 's drop
 frederick 's of hollywood inc. los angeles said its board voted a N N increase in the specialty <unk> operator 's semiannual dividend to five cents a common share
 the dividend is payable dec. N to stock of record nov. N
 valley national corp. reported a third-quarter net loss of $ N million or $ N a share and suspended its quarterly dividend because of potential losses on its arizona real estate holdings
 the <unk> holding company for arizona 's largest bank said it added $ N million to its allowance for losses on loans and for real estate owned
 the company earned $ N million or N cents a share a year earlier
 for the nine months valley national posted a net loss of $ N million or $ N a share
 it had profit of $ N million or $ N a share in the N period
 valley national had been paying a quarterly dividend of N cents a share
 the arizona real estate market continues to be depressed and there is still uncertainty as to when values will recover james p. simmons chairman said
 the decision to increase the loan-loss reserve and suspend the dividend is both prudent and in the best long-term interest of the shareholders he said
 valley national said it made the decision on the basis of an overall assessment of the marketplace and the condition of its loan portfolio and after reviewing it with federal regulators
 the addition to reserves comes on top of a provision of $ N million that was announced in june
 in july moody 's downgraded $ N million of the company 's debt saying the bank holding company had n't taken adequate write-offs against potential losses on real estate loans despite its second-quarter write-down
 richard m. <unk> valley national 's executive vice president said then that the company believed the write-downs were adequate and did n't plan to increase its reserves again
 bruce <unk> a banking analyst with <unk> & co. a denver brokerage firm said valley national is n't out of the woods yet
 the key will be whether arizona real estate turns around or at least <unk> he said
 they 've stepped up to the plate to take the write-downs but when markets head down a company is always exposed to further negative surprises mr. <unk> said
 valley national closed yesterday at $ N a share down $ N in national over-the-counter trading
 two years of <unk> down the drain
 that 's the way a lot of brokers feel today on the second anniversary of the N stock-market crash
 ever since that fearful black monday they 've been <unk> wooing wary individual investors trying to convince them that oct. N N was a <unk> and that the stock market really is a safe place for average americans to put their <unk> dollars
 and until last friday it seemed those efforts were starting to pay off
 some of those folks were coming back says leslie quick jr. chairman of discount brokers quick & <unk> group inc
 we had heard from people who had n't been active for a long time
 then came the <unk> 190-point plunge in the dow jones industrial average and a new wave of stock-market volatility
 all of a sudden it was back to square one
 it 's going to set things back for a period because it <unk> the concern of volatility says jeffrey b. lane president of shearson lehman hutton inc
 i think it will shake confidence one more time and a lot of this business is based on client confidence
 brokers around the country say the reaction from individual investors this week has been almost <unk>
 customers and potential customers are suddenly complaining about the stock market in the exact way they did in post-crash N
 the kinds of questions you had before have <unk> says raymond a. chip mason chairman of regional brokerage firm legg mason inc. baltimore
 i can just tell the questions are right back where they were what 's going on ca n't anything be done about program trading does n't the exchange understand where is the sec on this
 mr. mason says he 's convinced the public still wants to invest in common stocks even though they believe the deck is <unk> against them
 but these wide swings scare them to death
 all of this is bad news for the big brokerage firms such as shearson and merrill lynch & co. that have big retail or <unk> businesses
 after expanding rapidly during the <unk> years up to the N crash retail brokerage operations these days are getting barely enough business to pay the overhead
 true the amount of money investors are willing to <unk> to their brokers has been growing lately
 but those dollars have been going into such safe products as money market funds which do n't generate much in the way of commissions for the brokerage firms
 at discount brokerage charles schwab & co. such <unk> investments recently accounted for a record $ N billion of the firm 's $ N billion of client 's assets
 the brokers ' hope has been that they could soon <unk> investors into shifting some of their <unk> into the stock market
 and before last friday they were actually making modest progress
 a slightly higher percentage of new york stock exchange volume has been attributed to retail investors in recent months compared with post-crash N according to securities industry association data
 in N an average N N of big board volume was retail business with the monthly level never more than N N
 the retail participation dropped to an average N N in N and <unk> to barely N N some months during the year
 yet in N retail participation has been more than N N in every month and was N N in august the latest month for which figures are available
 jeffrey <unk> the <unk> 's research director says that all of his group 's <unk> statistics could be <unk> by as much as five percentage points because corporate <unk> are sometimes <unk> included in big board data
 but there did seem to be a retail activity pickup
 but friday did n't help things says mr. <unk>
 with the gyrations of recent days says hugo <unk> senior vice president at charles schwab many small investors are absolutely convinced that they should n't play in the stock market
 joseph <unk> president of retail sales and marketing at painewebber group inc. still thinks that individual investors will eventually go back into the stock market
 investors will develop <unk> <unk> and their confidence will return he says
 friday 's plunge he is telling painewebber brokers was nothing more than a tremendous reaction to leveraged buy-out stocks
 meanwhile painewebber remains among the leaders in efforts to simply persuade investors to keep giving wall street their money
 it 's more of an important issue to keep control of those assets rather than push the investor to move into specific products such as equities mr. <unk> says
 the equity decision will come when the client is ready and when there 's a <unk> of confidence
 it could be a long wait say some industry observers
 some investors will <unk> back in says richard ross a market research director for <unk> & <unk> in chicago
 then there 'll be another swing
 given enough of these this will drive everyone out except the most <unk> he adds
 mr. ross who has been studying retail investors ' perception of risks in the brokerage industry said a market plunge like friday 's <unk> investors ' confidence in their ability to make any judgments on the market
 the long-term outlook for the retail brokerage business is <unk> mr. ross declares
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 washington d.c.
 $ N million of general obligation tax revenue anticipation notes series N due sept. N N
 about $ N million were offered through shearson lehman hutton inc
 shearson is offering the notes as N N N securities priced to yield N N
 j.p. morgan securities inc. is offering the remaining $ N million of notes
 the notes are rated <unk> by moody 's investors service inc
 standard & poor 's corp. has them under review
 federal national mortgage association
 $ N million of remic mortgage securities being offered in N classes by bear stearns & co
 the offering series N is backed by fannie mae N N securities
 the offering used <unk> pricing
 separately fannie mae issued $ N million of remic mortgage securities in N classes through first boston corp
 the offering series N is backed by fannie mae N N securities
 pricing details were n't available
 the two offerings bring fannie mae 's N remic issuance to $ N billion and its total volume to $ N billion since the program began in april N
 <unk> per <unk> <unk> <unk> <unk> italy
 $ N million of N N depository receipts due nov. N N priced at N to yield N N less fees via bankers trust international ltd
 fees N N
 mitsubishi corp finance japanese parent
 $ N million of N N N bonds due nov. N N priced at N N to yield N N annually less full fees via yamaichi international europe ltd
 fees N N
 indian oil corp india
 $ N million of floating-rate notes due november N paying six-month london interbank offered rate plus N point and priced at par via credit suisse first boston ltd
 guaranteed by india
 fees N
 notes offered at a fixed level of N
 national <unk> bank plc u.k.
 # N million of <unk> <unk> notes priced at par via <unk> lynch international ltd
 initial interest rate set at N point over three-month libor
 subsequent margins set by agreement between natwest and merrill
 if no margin agreed there is a <unk> rate of libor plus N point in years one to N and libor plus N point thereafter
 <unk> electric express railway co japan
 $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N coupon at par via yamaichi international europe ltd
 each $ N bond carries one warrant exercisable from dec. N N through nov. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 <unk> co japan
 N million swiss francs of privately placed convertible notes due march N N with an indicated N N coupon at par via bank <unk> ltd
 put option on march N N at an indicated N to yield N N
 callable on march N N at N also beginning sept. N N from N N and declining half a point <unk> to par
 each N swiss franc note is convertible from nov. N N to march N N at an indicated N N premium over the closing share price oct. N when terms are scheduled to be fixed
 n. nomura & co japan
 N million swiss francs of privately placed convertible notes due march N N with an indicated N N coupon at par via bank <unk> <unk>
 put option on march N N at an indicated N N to yield N N
 each N swiss franc note is convertible from nov. N N to march N N at a N N premium over the closing share price oct. N when terms are scheduled to be fixed
 <unk> n.v netherlands
 N million dutch guilders of N N N bonds due nov. N N priced at N N to yield N N at issue price and N N less full fees via <unk> bank
 fees N
 continental airlines
 a <unk> $ N million issue of secured equipment certificates priced through drexel burnham lambert inc
 the size of the issue was decreased from an originally planned $ N million
 in addition a planned two-part offering of $ N million in unsecured notes was n't offered
 the first part consisting of $ N million of N N N secured equipment certificates due june N N was priced at N with a yield to maturity of N N
 the second part consisting of $ N million of N N N secured equipment certificates due june N N was priced at N with a yield to maturity of N N
 the third part consisting of $ N million of N N N secured equipment certificates due april N N was priced at N with a yield to maturity of N N
 the fourth part consisting of $ N million of N N N secured equipment certificates due april N N was priced at N with a yield to maturity of N N
 the issue was rated <unk> by moody 's and <unk> by s&p
 all parts of the issue are callable at any time at par
 continental airlines is a unit of texas air corp
 john v. holmes an <unk> publisher and three venture-capital firms he organized were <unk> from violating the registration provisions of the securities laws governing investment companies
 as part of an agreement that settled charges brought by the securities and exchange commission a receiver was also appointed for the three venture-capital firms
 mr. holmes was the subject of a page one profile in the wall street journal in N after the sec questioned him about ties between him and companies he touted in a newsletter
 in N in another consent agreement with the sec mr. holmes was <unk> from violating the <unk> and <unk> provisions of the securities laws
 without any admission or <unk> of <unk> by mr. holmes that agreement settled sec charges that mr. holmes sold <unk> securities and <unk> investors
 in charges filed last week in federal district court in charlotte n.c. the sec alleged that venture capitalists inc. venture finance corp. and new ventures fund inc. all of charlotte failed repeatedly to file proper documents
 the sec also charged that mr. holmes acted as an officer or director of new ventures in violation of his previous consent agreement
 some companies were <unk> in filings and other actions all of which cost money mr. holmes said
 two of mr. holmes 's business associates who worked for venture capitalists <unk> ann smith and frederick <unk> also consented to being <unk> from violations of registration provisions of the securities laws
 ms. smith also agreed to a permanent injunction barring her from acting as an officer director or investment adviser of any mutual fund unit investment trust or <unk> certificate company
 mr. <unk> and ms. smith could n't be reached for comment
 in <unk> to the <unk> none of the individuals or companies admitted or denied the allegations
 senate republicans have settled on a proposal that would cut the capital-gains tax for individuals and corporations
 at the same time a small group of senate democrats are working on a similar plan and may introduce it soon
 sen. bob packwood r. ore. the lead sponsor of the gop proposal said he intends to unveil the plan today and to offer it as an amendment to whatever legislation comes along particularly this month 's bill to raise the federal borrowing limit
 he gave <unk> odds that a capital-gains tax cut of some sort would be approved this year though it probably wo n't be included in the pending deficit-reduction bill
 he added that he expects to talk to the democrats who also wanted to cut the gains tax about <unk> a joint proposal
 for individuals the packwood plan would exclude from income N N of the gain from the sale of a capital asset held for more than one year
 the exclusion would rise five percentage points for each year the asset was held until it reached a maximum of N N
 the exclusion would apply to assets sold after oct. N N
 as an alternative he said taxpayers could chose to reduce their gains by an inflation index
 for corporations the top tax rate on the sale of assets held for more than three years would be cut to N N from the current top rate of N N
 that rate would gradually decline to as little as N N for corporate assets held for N years
 the packwood plan would also include a proposal designed by sen. william roth r. del. that would expand and alter the deduction for individual retirement accounts
 the roth plan would create a new <unk> ira from which money could be withdrawn tax-free not only for retirement but also for the purchase of a first home and to pay education and medical expenses
 current iras could be rolled over into the new iras but would be subject to tax
 for their part the group of democrats are working on a plan that like the packwood proposal would grant larger <unk> to assets the longer they were held by individuals and companies
 newly acquired assets would get a bigger break than those currently held
 an extra exclusion would be given to <unk> stock in small and <unk> corporations just starting up
 no one in the senate is considering the capital-gains plan passed by the house
 that plan would provide a N N exclusion to assets sold over a N 1\/2-year period ending dec. N N
 after then the house measure would boost the tax rate to N N and exclude from tax the gain attributable to inflation
 senators are focusing on making a capital-gains <unk> permanent
 separately chairman dan <unk> d. ill of the house ways and means committee said he did n't want the capital-gains tax cut or any other amendments attached to the pending bill raising the federal borrowing limit
 the current debt limit expires oct. N
 he also urged house and senate negotiators to rid the deficit-reduction bill of all provisions that increase the budget deficit including the house-passed capital-gains provision
 from a helicopter a thousand feet above oakland after the <unk> earthquake in u.s. history a scene of devastation emerges a freeway <unk> into a concrete <unk> <unk> pumping water into <unk> apartments abandoned autos
 but this quake was n't the big one the <unk> of N that has been feared for so many years
 despite the <unk> loss of more than N lives and damage estimated in the billions most businesses and their plants and offices in the bay area were n't greatly affected
 the economic life of the region is expected to revive in a day or two although some transportation problems may last weeks or months
 a main factor <unk> more widespread damage was the location of the quake 's epicenter N miles from the heart of the silicon valley and more than N miles from downtown san francisco and oakland
 also the region 's insistence on strict building codes helped prevent wider damage
 the tremendous energy of the quake was <unk> by the distance so that most parts of the valley and the major cities suffered largely cosmetic damage broken windows falling brick and <unk> <unk> <unk> or <unk>
 of course the quake was the worst since the emergence of the computer era turned silicon valley into the nation 's capital of high technology
 like other major american cities the san francisco oakland area owes its current prosperity more to its infrastructure of <unk> <unk> linking thousands of computer terminals and telephones than to its location <unk> one of the world 's great natural harbors
 when the tremors struck the region 's largely <unk> high-tech fabric held up surprisingly well despite the devastation visible from the air
 michael l. <unk> vice president for network technology at pacific bell telephone co. says nearly all the network 's computer switches which move thousands of calls a minute from one location to another changed to battery power when the city lost power
 the battery <unk> have enough power for only three hours but that gave emergency crews time to turn on an emergency system that runs primarily on diesel fuel
 of some N switches in pacific bell 's network only four went down
 one of those was in <unk> calif. near the earthquake 's epicenter
 few telephone lines snapped
 that 's because the widely used <unk> cable has been installed underground with N extra feet of cable between <unk> points
 the slack <unk> the pulling strain generated by an earthquake
 nevertheless phone service was sporadic many computer terminals remained dark and by late yesterday a third of san francisco remained without power
 business in the nation 's <unk> metropolitan region was nearly <unk> an estimated one million members of the work force stayed at home
 the economic <unk> was as abrupt as the earthquake itself as virtually all businesses shut down
 the $ <unk> bay area economy represents <unk> of the economy of the nation 's most <unk> state and accounts for N N to N N of the nation 's total output of goods and services according to the center for continuing study of the california economy in palo alto
 in high-tech the bay area accounts for N N to N N of the u.s. <unk> industry
 this has been a major disruption for the bay area economy says <unk> <unk> the chief economist at the california department of finance
 obviously things are going to have to go on hold for many companies
 the damage to the bay area 's roadways could cause significant economic <unk>
 a quarter of a million people cross the bay bridge every day far more than the N that use the bay area rapid transit system bart which was working but was n't <unk> in the city 's financial district yesterday afternoon because electricity was shut off and the area was being <unk> for gas leaks
 california state transportation officials interviewed by telephone say they nevertheless do n't expect serious problems for commerce in and out of the bay area
 all major roadways except interstate N known as the nimitz freeway and the bay bridge were open by N p.m. yesterday
 officials expect difficulty <unk> traffic through downtown san francisco
 the earthquake caused many streets to buckle and crack making them <unk>
 other roads were <unk> by collapsed buildings and damaged water and power lines an emergency relief spokesman says
 san francisco mayor art agnos estimated the damage to his city alone at $ N billion
 but many predicted that the commercial disruption would be short-lived
 of the scores of companies contacted by this newspaper few reported any damage that they did n't expect to have <unk> within a day or two
 it is possible of course that some of the most seriously damaged companies could n't be reached particularly in areas <unk> the epicenter
 typical perhaps was the situation at new united motor manufacturing inc. the general motors <unk> joint-venture auto plant in <unk> about N miles south of oakland
 ten of the plant 's workers were injured when the quake hit about a half-hour into the afternoon shift seven were <unk>
 metal <unk> on the plant floor fell over and water <unk> <unk> a spokeswoman says
 the plant was <unk> and workers sent home
 but the plant was able to resume limited production of its toyota <unk> and <unk> <unk> by N a.m. yesterday and <unk> was only N N of the work force about twice normal
 computer maker hewlett-packard co. based in palo alto says one of its buildings sustained severe damage when it was knocked off its foundation
 other buildings had broken glass <unk> light <unk> and broken pipes a <unk> says estimating the cost of <unk> in the millions
 most banks were closed but were expected to reopen today with few problems anticipated
 at the federal reserve bank of san francisco vice president robert <unk> says operations were <unk> along as usual yesterday afternoon
 when the quake hit we turned on our emergency <unk> and brought our computers up he says
 the fed serves as a <unk> for banks taking checks from one bank and sending them to another an operation that it handled smoothly tuesday night after the quake
 the volume we received from the banks was a lot lower than usual he says
 a <unk> plan in which the los angeles fed would come to san francisco 's aid was n't needed he adds
 most of the telephone problems in the immediate aftermath stemmed from <unk>
 the telephone network simply could n't handle the large number of people seeking to make a call at the same time
 the volume resulted in <unk> delays that were as short as N seconds and as long as five minutes
 mr. <unk> puts traffic volume at N to N times normal
 american telephone & telegraph co. mci communications inc. and united telecommunications ' u s <unk> unit were blocking phone calls into the bay area to alleviate <unk>
 the companies block traffic much as highway <unk> are blocked when traffic backs up
 william e. <unk> pacific bell 's vice president of customer services for the bay area says most long-distance companies were blocking about N N of all calls
 pacific telesis says its pacific bell unit also was blocking about N N of its calls locally
 ironically the long-term effect of the earthquake may be to bolster the bay area 's economic fortunes and indeed the nation 's gross national product
 it may also lead to new <unk> in major construction projects such as <unk> highways
 it would in the near-term give a boost to the san francisco economy because there will be an influx of people to help says beth burnham <unk> a regional economist at <unk> hill a lexington mass. forecasting firm
 the construction industry is sure to feel increased demand
 there will be a big influx of federal dollars and gains in state federal and local employment ms. <unk> says
 adds <unk> <unk> an economist at georgia state university there 's nothing positive about an earthquake but it will probably generate more construction activity
 wall street reacted swiftly yesterday to the disaster by bidding up stocks of construction and related companies
 shares of lone star industries inc. a cement maker rose sharply in anticipation of <unk> demand
 in greenwich conn. lone star spokesman michael london says obviously with an earthquake of this size there are likely to be construction projects that would n't otherwise have been anticipated
 but any increase is n't likely to be any kind of a surge
 it 's something likely to be spread out over a long period of time
 there will be a lot of repair work that wo n't require the quantities of cement or concrete that new <unk> would
 lone star 's san francisco facilities were n't damaged in the quake
 the earthquake is likely to reduce gnp <unk> in the near term and then could raise it a bit as rebuilding begins
 the first effects are of course negative as work is disrupted and people lose income and cut spending
 corporate profits may also dip initially
 many of the lost tourism dollars wo n't be recovered many trips delayed never take place
 subsequently however the ill effects are likely to be offset at least in economic terms as construction activity begins
 because of the way the government keeps its books the damage to the bay bridge however costly wo n't be counted as a minus
 the money spent on repairs will be counted as a plus
 it 's very difficult to model the long-term impact of this says andrew goldberg who studies the <unk> and <unk> aspects of earthquakes at the center for strategic international studies in washington <unk>
 you certainly can say it 's going to be extremely severe
 we really are talking about <unk> down a major american city for a number of days maybe for a few weeks
 mr. goldberg says the cost of the earthquake will definitely top $ N billion and could reach $ N billion
 he <unk> that early damage estimates are often low the damage totals in hurricane hugo increased tenfold as more information was received
 the earthquake damage of course would have been far greater if the epicenter had been in downtown san francisco
 a direct hit on a major city mr. goldberg figures would cause $ N billion to $ N billion of damage
 experts caution that it is far too soon for <unk> estimates of the quake 's total damage but it 's clear that insurers are likely to pay out enormous sums
 jack <unk> the chairman of fireman 's fund corp. which is based in <unk> calif. estimates insured losses resulting the earthquake could total $ N billion
 the impact on the insurance industry will be big and harsh but less than hurricane hugo says mr. <unk> who <unk> the bay area by car yesterday afternoon to get a sense of the company 's exposure to the earthquake
 mr. <unk> says fireman 's fund will probably pay hundreds of millions in primary claims but after taxes and use of its reinsurance lines the company 's <unk> charge against earnings should n't top $ N million
 the company was able to assess its damage liability quickly because it has computerized <unk> of northern california showing the exact locations of all the property it <unk>
 fireman 's fund had claims adjusters on the streets of san francisco right after <unk> yesterday and was paying as many claims as it could right on the spot
 fireman 's fund <unk> N homes and autos and N businesses in the bay area
 in addition to paying for earthquake and fire damage the insurer must cover <unk> claims and also losses due to businesses being shut down by lack of power or phone service
 but many californians may not have adequate insurance coverage to pay for damages to their property
 the independent insurance agents of america says fewer than one of every five california homeowners has earthquake insurance
 a somewhat higher percentage of people living in the bay area have bought the additional insurance protection but the great majority are n't covered
 earthquake insurance typically runs $ N or more a year for a small house
 whatever the long-term economic effect the scene from the helicopter above oakland is one of tragedy
 <unk> sections of a <unk> freeway have been <unk> about like plastic building blocks
 <unk> them sit cars and trucks abandoned in a <unk> scramble to safety the day before
 in areas where the freeway made giant concrete <unk> of itself lie cars that police say have been <unk> into <unk> <unk>
 on the <unk> rescue workers seem from the air to move in slow motion
 they peck away at the N <unk> section of rubble searching for more of the N people thought to have died here
 about N other deaths were also attributed to the earthquake
 the heart of the earthquake N on the richter scale was N miles to the south near santa cruz but its terrible <unk> struck here on the nimitz freeway a major artery serving the bay bridge between oakland and san francisco
 along the way the quake <unk> a mall in santa cruz knocked down buildings in san francisco 's fashionable marina district and sent a wall of bricks <unk> on <unk> in the city 's financial district
 just a short span across the bay to the west the quake also showed its <unk> a <unk> area of the marina district lies <unk> under a steady stream of <unk> being pumped onto rubble to prevent it from <unk> <unk>
 many of the buildings mostly <unk> and apartments were <unk> almost instantly as the underlying soil much of it landfill was literally turned to <unk> by the quake 's intensive shaking <unk> gas lines
 <unk> say three persons died when one of the buildings exploded into a <unk> shortly after the quake struck
 efforts to fight the <unk> were hampered because water <unk> were <unk> as well
 from the air <unk> of yellow fire <unk> carry water from the bay to <unk> <unk> trained on the site
 as <unk> stand behind <unk> <unk> <unk> and building inspectors survey rows of nearby buildings that were <unk> from their foundations and seem on the verge of collapse
 in the marina district residents spent yesterday assessing damage cleaning up and trying to find friends and neighbors
 <unk> <unk> N years old has lived in the district most of her life
 her parents lost everything in the N earthquake
 now we realize what our mothers must have gone through she says
 we always heard about the earthquake but as children we did n't always listen
 prince <unk> is the crown prince and <unk> grand duke of <unk>
 an article in the world business report of sept. N editions incorrectly referred to his father grand duke jean as the crown prince
 resolution funding corp. plans to sell $ N billion of 30-year bonds wednesday in the agency 's first sale of securities
 the new bonds will be dated oct. N and mature oct. N N
 tenders for the bonds available in minimum denominations of $ N must be received by N p.m. edt wednesday at federal reserve banks
 refcorp created by the <unk> law enacted in august will use the proceeds to merge or sell off ailing savings-and-loan institutions
 congress authorized $ N billion to be borrowed to pay for the thrift bailout
 of that amount $ N billion has already been borrowed by the treasury department
 unless otherwise specified in a particular offer the bonds wo n't be subject to redemption prior to maturity
 interest payments on the bonds will be payable <unk>
 the bonds are subject to federal taxation in the u.s. including income taxes
 at the state and local level the bonds are subject to <unk> and estate <unk> and gift taxes but exempt from taxation as to principal and interest
 <unk> searle & co. a monsanto co. unit is launching a program to give consumers more information about its drugs when doctors <unk> them
 called patients in the know the program features fact sheets designed to be easy to understand
 the sheets tell how the medicine works describe how to use it and list its possible side effects
 they are designed to be given to patients by their doctors when the <unk> are prescribed and include space for the doctor to write special instructions
 in addition searle will give <unk> <unk> on the use of prescription drugs for distribution in their stores
 consumer groups have long <unk> that drug companies and doctors make more information available to patients
 we believe that every drug that 's marketed to a consumer should have a consumer label said douglas <unk> of the public citizen health research group a ralph <unk> affiliate
 dr. <unk> said searle is the only company i know that voluntarily will make consumer information available
 according to federal officials and <unk> studies nearly half of the N billion <unk> filled each year are n't used properly meaning that money is wasted on some <unk> and patients are deprived of the benefits of medication
 we think it 's very important to provide as much information as possible on the drugs consumers take said searle chairman <unk> <unk>
 bond prices <unk> yesterday as investors kept close watch on the stock market and worried about a wave of new supply
 early yesterday bonds rose as investors rushed to buy treasury securities on the prospect that stocks would plummet in the aftermath of the massive california earthquake
 for example some securities analysts warned that stocks of certain insurance companies which face massive damage claims would get hit hard
 but when the dow jones industrial average rose instead bonds drifted lower
 with stocks not a major focus we 're waiting for the next <unk> light said brian j. <unk> chief economist at midland <unk> securities inc
 if the stock market tremors are behind us then the bond market will go back to looking at the next batch of economic numbers to determine where interest rates are heading
 the treasury 's benchmark 30-year bond which jumped N point or about $ N for each $ N face amount during the first hour of trading ended little changed
 interest rates barely <unk> from tuesday 's levels
 most junk bonds which have been battered in recent weeks continued a slow <unk> and ended unchanged to slightly higher
 but some so-called high-quality junk issues fell as some mutual funds sold their most liquid issues to raise cash
 rjr holdings capital corp. 's N N bonds due N fell one point
 other rjr issues fell between N point and N N point
 in the latest sign of how difficult it is to place certain junk bonds continental airlines said it was forced to scale back the size of its latest offering
 continental a unit of texas air corp. slashed the size of its note offering from $ N million to $ N million
 the move had been widely expected
 in the <unk> offering the company sold a portion of secured notes but <unk> all the unsecured notes
 a continental spokeswoman said the notes may be offered at a later date
 this was not a <unk> deal she said
 i think this is a market that required some level of security
 it did not make sense to offer unsecured paper in an <unk> market
 investors have been <unk> for weeks about the market 's ability to place the $ N billion to $ N billion of new junk bonds scheduled to be sold by year end
 supply troubles were also on the minds of treasury investors yesterday who worried about the flood of new government securities coming next week
 we 're being <unk> by new treasury and agency debt offerings said william sullivan jr. director of money-market research at dean witter reynolds inc
 the market is concerned about its ability to underwrite all this debt at current levels
 in addition to the $ N billion of treasury bills to be sold at next week 's regular monday auction the government will sell $ N billion of new two-year treasury notes
 and resolution funding corp. said late yesterday that it will sell $ N billion of 30-year bonds wednesday
 refcorp is the financing unit of resolution trust corp. a new government agency created to rescue the nation 's troubled thrifts
 its securities have been dubbed bailout bonds by traders
 in when-issued trading the two-year treasurys had a yield of about N N
 in the municipal market all eyes were on california debt as investors tried to gauge the financial <unk> of tuesday 's earthquake
 but traders said the quake had only a minor impact on the trading of california state and local municipal debt
 there are certain bonds traders refer to as earthquake bonds because the issuers are on top of the san andreas fault said <unk> <unk> editor of the california municipal bond <unk> a newsletter for investors
 since those bonds already pay a slightly higher yield an extra premium for the earthquake risk they were n't <unk> affected
 but some bond market analysts said that could quickly change if property casualty insurance companies scramble to sell portions of their municipal portfolios to raise cash to pay damage claims
 insurance companies will foot a substantial amount of the bill to <unk> san francisco said charles <unk> chief economist at manufacturers hanover securities corp
 he also expects the performance of municipals to lag treasurys as california is forced to issue new debt over time to repair public facilities
 a report issued late yesterday by standard & poor 's corp. concluded the quake wo n't cause <unk> credit deterioration for issuers and debt issues in the <unk> area of northern california affected by the quake
 treasury securities
 treasury bonds ended narrowly mixed in quiet trading
 the benchmark 30-year bond ended at a price of N N to yield N N compared with N N to yield N N tuesday
 the latest 10-year notes were quoted late at a price of N N to yield N N compared with N N to yield N N
 short-term rates were little changed
 corporate issues
 investment-grade corporate bonds ended N point lower
 the continental junk bond offering underwritten by drexel burnham lambert inc. was the only new issue priced yesterday
 in the <unk> offering the $ N million of secured equipment certificates was priced to yield N N to N N
 municipals
 municipal bonds ended about N to N point lower hurt by the circulation of two <unk> lists totaling $ N million
 chemical securities inc. is acting as agent for the seller
 meanwhile some california issues were down a touch more than the broad market but traders said there had n't been much investor selling because of the quake
 but new york city general obligation bonds came under selling pressure
 traders said a steady stream of bonds was put up for sale yesterday pushing yields for longer maturities up N percentage point
 traders said investors were reacting to recent negative news on the city 's finances and are nervous ahead of the nov. N election
 washington d.c. topped the competitive slate yesterday with a sale of $ N million of general obligation tax revenue anticipation notes
 in late trading new jersey turnpike authority 's N N issue of N was off N point at N bid
 the yield was N N up N percentage point
 mortgage-backed securities
 mortgage securities ended little changed after light dealings
 there was no <unk> market impact from the california earthquake
 dealers said there was some concern that insurance companies might be forced to sell mortgage securities to help pay earthquake-related claims but no selling materialized
 the federal home loan mortgage corp. and federal national mortgage association two dominant issuers of mortgage securities have a sizable amount of california home loans in their <unk> pools
 but their potential quake exposure is seen as small given that they require a financial cushion on all the loans they purchase
 and because northern california home prices are so high loans from the region often are too large to be included in freddie mac and fannie mae pools
 meanwhile government national mortgage association N N securities for november delivery ended at N N unchanged
 freddie mac N N securities were at N N down N
 in derivative markets fannie mae issued two $ N million real estate mortgage investment <unk> backed by its N N securities
 foreign bonds
 british government bonds or <unk> ended moderately lower as equities there recovered from tuesday 's drop
 the treasury 's N N N bond due N fell N to N N to yield N N while the N N notes due N were down N to N N to yield N N
 traders said today may be an anxious day for the market
 several key economic figures are due out and chancellor of the exchequer nigel lawson is scheduled to give the annual mansion house address to the financial community
 the chancellor sometimes has used the occasion to announce major economic policy changes
 economists do n't expect any such changes in this year 's address given mr. lawson 's apparent reluctance to adjust policy currently
 meanwhile japanese government bonds retreated in quiet trading <unk> by the dollar 's <unk>
 japan 's bellwether N N bond due N ended on brokers ' screens at N to yield N N
 in west germany investors stayed on the sidelines as the bond market searched for direction
 the government 's N N issue due october N fell N point to N to yield N N
 the berlin wall still stands
 but the man who built it has fallen
 east germany yesterday removed erich honecker one of the <unk> <unk> against the reform <unk> through the communist world in an effort to win back the confidence of its increasingly <unk> citizens
 but while it was a move that stunned the east bloc it hardly <unk> in an era of reform at least anytime soon
 for the politburo replaced mr. honecker who had led east germany for N years and before that headed its security <unk> with a man cut of the same <unk> egon krenz the most recent <unk> chief and a longtime honecker <unk>
 east germany it is clear is no poland where the communist party now shares power with the <unk> elected solidarity union
 nor is it a hungary where yesterday the parliament approved constitutional changes meant to help turn the communist nation into a <unk> democracy
 still any change in east germany has enormous implications for both east and west
 it raises the <unk> hopes of many germans for reunification a prospect that almost equally <unk> political leaders in moscow washington and western europe
 mr. krenz N was named the new party chief just minutes after the party 's <unk> central committee <unk> in east berlin
 although the east german news agency <unk> claimed mr. honecker had asked to be relieved of his duties for health reasons west german government sources said the <unk> politburo had asked for his resignation at a separate meeting late tuesday
 mr. honecker was twice <unk> this summer for a <unk> <unk> <unk> and his physical condition has been the subject of intense speculation in the western media
 <unk> said mr. honecker a hard-line <unk> who in N <unk> the construction of the berlin wall also was relieved of his title as head of state and his position as chief of the military
 mr. krenz is expected to be formally named to all three positions once the nation 's parliament <unk> later this week
 mr. honecker 's <unk> fall <unk> nearly two decades of <unk> leadership during which mr. honecker now N years old built east germany into the most economically advanced nation in the soviet bloc
 his grip on power unraveled this summer as thousands of his <unk> <unk> by the <unk> of his rule fled to the west
 thousands more have taken to the streets in the last month in east germany 's largest wave of domestic unrest since a workers ' <unk> in N
 in washington the bush administration took a <unk> cautious and skeptical view of the leadership change
 the official line was to offer <unk> ties to mr. krenz provided he is willing to institute reforms
 but u.s. officials have strong doubts that he is a <unk>
 president bush told reporters whether that the leadership change reflects a change in <unk> relations i do n't think so
 because mr. krenz has been very much in accord with the policies of honecker
 one top u.s. expert on east germany added there is no <unk> champion of reform that we know of in the east german leadership
 indeed mr. krenz said on east german television last night that there will be no sharing of power with pro-democracy groups
 he said while dialogue is important enough <unk> already exist in which different interests can express themselves
 the removal of mr. honecker was apparently the result of bitter <unk> within the top ranks of the communist party
 according to west german government sources mr. honecker and several senior politburo members fought over the last week to delay any decisions about a leadership change
 but with public demonstrations in the country growing in size and intensity mr. honecker and several key allies lost out in this battle officials say
 those allies included politburo members <unk> <unk> who has long headed economic affairs and <unk> <unk> chief of information policy
 both men were also relieved of their duties yesterday
 although other resignations may follow it 's still not clear to what extent the change in party personnel will alter the government 's resistance to fundamental change
 clearly the central figure in this process is egon krenz
 born in N in a <unk> sea town now part of poland he was eight years old when world war ii ended
 like west german chancellor helmut kohl he represents the postwar generation that has grown up during germany 's division
 since joining the politburo in N as its youngest member mr. krenz had acquired the <unk> crown prince a reference to the widely held view that he was the <unk> successor to mr. honecker
 in fact the two men have had <unk> similar career <unk> both having served as chief of internal security before their rise to the top party position
 moreover both men have <unk> to a similar hard-line philosophy
 notably one of mr. krenz 's few official visits overseas came a few months ago when he visited china after the massacre in beijing
 he later defended the chinese government 's response during a separate visit to west germany
 east german <unk> in particular fears mr. krenz in part because of an incident in january N when he was believed to have ordered the arrest of hundreds of <unk> who had sought refuge in the church
 however mr. krenz also has a reputation for being politically <unk>
 his <unk> ability to read the shifting popular mood in east germany is best illustrated by his apparent break with his old <unk> mr. honecker
 indeed according to west german government sources he was one of the leaders in the power struggle that <unk> mr. honecker
 in recent days mr. krenz has sought to project a <unk> image
 according to a report widely circulating in east berlin it was mr. krenz who ordered police to stop using excessive force against demonstrators in leipzig
 he does n't want to have the image of the gun man says fred <unk> an expert at the <unk> institute of east european and international studies in <unk>
 he 's not a <unk> he wants to have the image of a <unk>
 as part of his image <unk> mr. krenz is expected to take modest steps toward reform to rebuild confidence among the people and <unk> the party 's authority
 besides <unk> other senior politburo officials who allied themselves with mr. honecker mr. krenz could loosen controls on the news media free up travel restrictions and establish a dialogue with various dissident groups
 but will it be enough
 west german government officials and western analysts are doubtful
 he does n't <unk> what people want so the unrest will go on mr. <unk> predicts
 at the same time the expectations of the east german people are great and will continue to grow
 says one west german official what 's necessary now is the process of <unk>
 not just that people are being heard but that their interests are being taken seriously
 chancellor kohl meanwhile has invited mr. krenz to open discussions with bonn on a wide range of subjects
 reports in the west german press citing sources in east germany suggest mr. krenz may serve only as a bridge between mr. honecker and a genuine reform leader
 adding to that speculation is mr. krenz 's reputation as a heavy <unk> who is said to also suffer from <unk>
 this is a dynamic process and we 're experiencing the first step the bonn official adds
 the selection of mr. krenz may also <unk> moscow
 soviet leader mikhail gorbachev has pressed hard for a change in east germany 's rigid stance
 two <unk> party leaders favored by moscow as possible <unk> to mr. honecker <unk> party secretary <unk> <unk> and politburo member <unk> <unk> were passed over
 if mr. krenz <unk> to rigid policies the pressure from the soviet union could intensify
 in moscow mr. gorbachev sent mr. krenz a <unk> <unk> that appeared to urge the new leadership to <unk> growing calls for change
 according to the soviet news agency tass gorbachev expressed the conviction that the leadership of the socialist unity party of east germany being sensitive to the demands of the time will find solutions to complicated problems the <unk> german democratic republic encountered
 a force of younger <unk> members in the east german bureaucracy has for some time been pushing for <unk> within their country
 the older generation has been torn between a fear of <unk> with the status <unk> and a fear of what might happen if they did n't
 from the perspective of east germany 's old guard reforms that <unk> of capitalism and western-style democracy could eliminate their country 's reason for being
 unlike the other nations of the bloc east germany is a <unk> of the cold war
 <unk> the differences still <unk> europe and the vast international <unk> that implies wo n't endanger the <unk> of a poland or a hungary
 but it could ultimately lead to german reunification and the disappearance of east germany from the <unk>
 which is what the old guard fears
 i 'm sure they 'll <unk> a reform that will be a <unk> for the <unk> 's future as a separately <unk> state says michael simmons a british journalist whose book on east germany entitled the <unk> country was published this month
 up to now that <unk> has <unk> of a dogged effort by former leader walter <unk> to establish the country 's international legitimacy followed by mr. honecker 's campaign to build the east bloc 's only successful <unk> economy into a consumer <unk>
 neither man achieved <unk>
 early in N mr. honecker and his team stopped paying thin <unk> to mr. gorbachev and joined with <unk> in rejecting any necessity for adjustments in their systems
 the <unk> <unk> and <unk> in contrast declared their intentions to reform while doing nothing concrete about it
 the east german media soon began <unk> mr. gorbachev 's <unk> only as <unk> <unk> and giving space to his opponents
 by late N they were banning soviet publications
 the country abandoned its former <unk> to socialist unity and took to insisting instead that each country in the bloc ought to travel its own road
 mr. honecker spoke of generally valid objective laws of socialism and left no room for debate
 with this year 's <unk> in china and the soviet union and the drive to democracy in poland and hungary the east german leadership grew still more defensive
 politburo member <unk> <unk> confessed to a grave concern over <unk> democracy
 under the <unk> that <unk> the renewal of socialism he said forces are at work that are <unk> to eliminate socialism
 some loyal voices in and out of the east german communist party saw the nation 's unrest coming
 the first signs were economic
 despite heavily subsidized consumer industries east germans have for years watched the west pull <unk> out ahead
 in N for the first time economic growth came to a dead stop
 <unk> some economists began to blame central planning
 some writers in theoretical <unk> even raised the notion of introducing democracy at least in the workplace
 by summer an independent reform movement was saying out loud what it had only <unk> before
 but they are <unk> <unk>
 their proclaimed purpose is to <unk> east germany of its <unk> <unk> not to merge with the west
 one of their <unk> has <unk> a new <unk> of creative socialism
 meanwhile the man mr. krenz <unk> has left an <unk> mark on east german society
 <unk> by the <unk> during world war ii for his political <unk> mr. honecker <unk> the postwar generation of committed communist leaders in eastern europe who took their <unk> from moscow
 he was a socialist <unk> who felt <unk> by west germany 's enormous postwar prosperity and the bonn government 's <unk> refusal to recognize the legitimacy of his state
 finally during his first and only state visit to bonn two years ago he won some measure of the recognition he had long sought
 but ultimately he was <unk> by forces <unk> by his own <unk> mr. gorbachev
 mr. honecker 's removal was bound to happen says one aide to chancellor kohl
 it was only a matter of time
 the european community commission increased its forecast for economic growth in the ec in N to N N slightly higher than its june projection of N N
 in its annual economic report for N the commission also projected N gross domestic product growth for the N ec members at N N
 ec inflation was seen at N N in N higher than N 's N N price rise
 however inflation for N was seen slowing to N N
 leading ec growth forecasts in N was ireland seen growing N N at constant prices
 slower growth countries included greece at N N the u.k. at N N and <unk> at N N
 inflation is expected to be highest in greece where it is projected at N N and portugal at N N
 at the other end of the spectrum west german inflation was forecast at N N in N and N N in N
 nestle korea ltd. opened a coffee and <unk> plant in <unk> south korea
 an official at nestle korea a N joint venture between nestle s.a. and the <unk> group said the new facility will manufacture all types of <unk> <unk> and ground coffee coffee mix and <unk> coffee <unk>
 the south korean coffee market consisting mostly of instant coffee was estimated at about N billion won $ N million last year
 brands made by the kraft general foods unit of philip morris cos. had about N N of the market share
 nestle currently has only about a N N share with its <unk> 's choice coffee
 poland plans to start negotiations soon on purchasing natural gas from iran the official <unk> republic news agency reported
 the agency said polish prime minister <unk> <unk> told iranian deputy foreign minister <unk> <unk> of poland 's <unk> to purchase the gas during mr. <unk> 's current visit to warsaw
 the agency did n't mention possible quantities and did n't say how the gas would be delivered
 a chinese official <unk> criticized plans to close a british naval base in downtown hong kong
 hong kong officials announced last week that the base will be <unk> to a small island to allow downtown redevelopment
 but beijing wants to use the base for the people 's liberation army after N when the territory returns to chinese sovereignty
 <unk> <unk> head of china 's delegation to a <unk> <unk> committee on hong kong accused britain of trying to impose a <unk> <unk> and said this is something we can not accept
 the israeli and soviet national airlines have reached preliminary agreement for launching the first direct flights between <unk> <unk> and moscow a spokesman for the israeli airline el al said
 el al director <unk> <unk> and top officials of the soviet union 's aeroflot negotiated a preliminary pact in moscow this week the spokesman said
 he added that concluding the deal requires approval by the governments of both countries which have never had direct air links
 the chairman and a director of one of the republic of singapore 's leading property companies city development ltd. or <unk> were charged yesterday with criminal breach of trust of some N singapore dollars about us$ N
 <unk> hong <unk> chairman of <unk> and director <unk> <unk> <unk> were arrested by the republic 's corrupt practices investigation bureau tuesday night
 in addition to <unk> in the alleged criminal breach of trust <unk> hong <unk> was also charged with <unk> receiving <unk> N that had been stolen
 both men were charged in a subordinate court and released on bail of <unk> N million
 the charges are the culmination of weeks of rumors concerning <unk> that have depressed the company 's share price and to a lesser extent the shares of all companies owned by <unk> 's controlling <unk> family brokers in singapore say
 the <unk> control the hong <unk> group which has widespread interests in manufacturing property and finance in both malaysia and singapore
 news of the arrest and charging of the two men helped to push prices on the singapore stock market sharply lower in early trading yesterday but brokers said that the market and <unk> shares recovered once it became apparent the charges were limited to the two men personally
 one of the two british companies still making hard toilet paper stopped production of it
 british <unk> decided to do away with its hard paper after a major customer british rail switched to softer <unk> for train <unk>
 peasants in inner <unk> have partly <unk> a <unk> section of china 's <unk> great wall the official people 's daily said
 the paper said the bricks were used to build homes and <unk> and as a result the wall is in terrible shape
 wednesday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac
 posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae
 posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 a grand jury here indicted norton co. 's former director of <unk> research charging him with interstate transportation of stolen property
 norton and general electric co. last month filed a lawsuit against the former research manager <unk> sung charging him with stealing trade secrets
 mr. sung formerly worked at general electric in research on synthetic diamonds
 the criminal charges brought against him involved ge technology according the court documents
 if convicted he could be <unk> for up to N years and fined $ N
 mr. sung could n't be reached for comment
 he earlier denied the allegations against him in the lawsuit by norton and ge
 norton makes <unk> and other <unk> diamond tools specialty plastics and <unk>
 as the citizens of san francisco and surrounding communities began assessing the damage from tuesday 's devastating earthquake nbc news began assessing the damage from what some said was a failure to provide comprehensive coverage in the earthquake 's initial moments
 in terms of coverage it was a disaster equal to the earthquakes said eric <unk> president for broadcasting of king broadcasting co. which owns the nbc affiliate in seattle wash
 while rival abc news <unk> the competition in live coverage of the event by sheer luck the network was broadcasting the world series from candlestick park when the quake struck nbc news was unable to get its signal out of san francisco for the first hour after the quake
 i have to attribute the lackluster performance to a natural disaster said mr. <unk>
 so before i start to be really critical of nbc i would like to know more about what happened
 there were no complaints from affiliates of cbs inc. and cable news network a unit of turner broadcasting system inc
 but that was not the case at nbc news which has been dogged with the image of not being aggressive on major breaking stories
 last summer the affiliates bitterly complained to network executives about the poor coverage of the student <unk> in china
 i was not pleased with the slow start and neither was nbc news said guy <unk> general manager of nbc affiliate wave in louisville <unk>
 a spokesman for national broadcasting co. a unit of general electric co. said the network was looking into what happened
 the stations said they were pleased with the extended coverage yesterday including a special <unk> edition of today
 don <unk> director of news at nbc news said in an interview that we could n't get a signal out of san francisco
 we were out of the box
 it was horrible
 the comment we 're hearing is that we were slow out of the box but beat everyone else in the stretch
 nbc broadcast throughout the entire night and did not go off the air until noon yesterday
 the quake postponed the third and fourth games of the world series
 in place of the games abc said it planned to broadcast next week 's episodes of its prime-time wednesday and thursday <unk> except for a one-hour special on the earthquake at N p.m. last night
 the series is scheduled to resume tuesday evening in san francisco
 there are no commercials to make up for since we 're going to eventually broadcast the world series said a network spokesman
 pinnacle west capital corp. said it suspended indefinitely its common stock dividend and reported a N N plunge in third-quarter net income
 the announcement made after the close of trading caught analysts by surprise
 the company closed at $ N a share down N cents in composite trading on the new york stock exchange
 pinnacle west slashed its quarterly dividend to N cents per share from N cents in december saying at the time that it believed the new lower dividend was <unk>
 a company spokesman said the decision to eliminate the dividend resulted from a quarterly <unk> and that circumstances had changed since the december announcement
 he declined to elaborate
 edward j. <unk> jr. an analyst at shearson lehman hutton inc. speculated that the sudden dividend elimination <unk> an expensive agreement with thrift regulators over the company 's insolvent merabank savings and loan unit
 analysts have estimated that pinnacle west may have to <unk> between $ N million and $ N million into the merabank unit before turning the thrift over to federal regulators
 the latest financial results at the troubled utility and thrift holding company based in phoenix ariz. reflect continuing problems at merabank and losses in real-estate venture-capital and <unk> operations
 third-quarter net income slid to $ N million or six cents a share from $ N million or N cents a year earlier
 utility operations the only company unit operating in the black in the latest period had a N N drop in profit to $ N million largely as a result of <unk> at the company 's huge palo <unk> nuclear facility and the cost of purchased replacement power
 in other operations losses at merabank totaled $ N million in the latest quarter compared with a $ N million profit a year earlier
 the latest quarter includes a $ N million addition to loan-loss reserves
 as recently as august the company said it did n't <unk> a need for substantial additions to reserves
 pinnacle 's <unk> development co real-estate unit 's loss narrowed to $ N million from $ N million
 the latest period included a $ N million write-down on undeveloped land while the year-earlier period included a $ N million reserve for real-estate losses
 losses at its <unk> resources co <unk> unit narrowed to $ N million from $ N million a year ago which included a $ N million write-down of utility inventories
 losses at el <unk> investment co. the venture-capital operation widened to $ N million from $ N a year earlier
 the latest quarter included a $ N million write-down of investments
 equitec financial group said it will ask as many as N investors in N of its public real-estate limited partnerships to give approval to rolling them up into a new master limited partnership
 under the proposal by equitec a financially troubled real-estate <unk> new york-based <unk> group inc. would replace equitec as the newly formed master limited partnership 's general partner and manager
 shares of the new partnership would trade on an exchange like a stock
 <unk> is a merchant bank whose activities include the ownership management and financial restructuring of shopping centers office buildings apartments and other real estate
 in a statement equitec chairman richard l. <unk> said the transfer will benefit both the company and investors in the N limited partnerships included in the proposed <unk>
 while he did n't describe the partnerships ' financial condition he said their operations continue to drain the resources of equitec
 equitec posted a $ N million net loss in the second quarter on $ N million of revenue compared with a net loss of $ N million in the year-earlier period on revenue of $ N million
 in new york stock exchange composite trading equitec closed at $ N a share unchanged
 because of tuesday 's earthquake in northern california company officials could n't immediately be reached for additional comment
 a spokesman for <unk> said the N limited partnerships which were marketed by brokerage firms and financial planners between N and N raised several hundred million dollars from investors
 with airline deals in a tailspin legendary wall street trader michael steinhardt could have trouble <unk> out of usair group traders say
 only a week ago when airline buy-out fever was already <unk> down mr. steinhardt was engaged in a <unk> with usair
 he was threatening to take over the carrier after spending an estimated $ N million to build an N N usair stake for his investment clients
 the would-be raider even hired an investment banker to give teeth to his takeover threat which was widely interpreted as an effort to flush out an acquirer for usair or for his own stake
 in fighting usair mr. steinhardt was <unk> against another investor <unk> warren buffett who bought into usair to help fend off mr. steinhardt
 mr. buffett 's firm <unk> <unk> holds a much bigger stake in the carrier than mr. steinhardt 's firm steinhardt partners
 now in the wake of ual 's troubles in financing its buy-out the airline <unk> game has been <unk>
 instead of hoping to sell his usair stake at analysts ' estimated buy-out price of $ N a share mr. steinhardt is stuck with roughly N million usair shares that cost him $ N on average but yesterday closed at N N up N in new york stock exchange composite trading
 it does n't make sense to <unk> out at this price mr. steinhardt says though he has stopped his takeover talk and now <unk> usair managers ' operating skills
 at the current price the usair holding represents N N of all the assets that mr. steinhardt manages
 a week ago usair stock briefly soared above N after a report in usa today that mr. steinhardt might launch a hostile bid for the carrier though takeover speculators say they were skeptical
 if usair is worth N as a takeover and the stock went to N the market was saying steinhardt 's presence was n't worth anything in terms of getting a deal done says a veteran takeover <unk>
 traders say this all goes to show that even the <unk> money manager can get infected with crowd <unk>
 in trying to <unk> usair mr. steinhardt abandoned his usual role as a passive investor and ran into <unk>
 moreover unlike mr. buffett who often holds big stakes in companies for years mr. steinhardt has n't in the past done much long-term investing
 mr. steinhardt who runs about $ N billion for steinhardt partners made his name as a <unk> trader moving in and out of stocks with <unk> <unk> himself and his investment clients
 meanwhile his big losses for instance in N 's crash generally have been trading losses
 so some see a special irony in the fact that mr. steinhardt the trader now is <unk> with a massive <unk> airline holding
 analysts say usair stock might lose four or five points if the steinhardt stake was dumped all at once
 as a result mr. steinhardt must <unk> himself to selling usair at a loss or to holding the shares as an old-fashioned investment
 long-term investing that 's not steinhardt 's style <unk> an investor who once worked at steinhardt partners
 he does n't usually risk that much unless he thinks he has an <unk> in the hole adds another steinhardt partners <unk>
 in recent days traders say usair has been buying its own shares as part of a program to retire about eight million usair shares though the carrier wo n't discuss its buy-back program
 if usair stepped up its share purchases that might be a way for mr. steinhardt to get out says timothy <unk> a merrill lynch analyst
 but usair might not want to help mr. steinhardt he adds
 in N usair chairman edwin <unk> <unk> when trans world airlines chairman carl icahn threatened to take over the carrier
 mr. icahn a much more practiced raider than mr. steinhardt eventually sold a big usair stake at a tiny profit through bear stearns
 mr. steinhardt also could take that route
 he <unk> big trading commissions on wall street firms
 however with airline stocks <unk> he might not get a very good price for his shares traders say
 especially <unk> for mr. steinhardt say people close to him is that usair 's mr. <unk> wo n't even take his telephone calls
 while usair is n't considered absolutely <unk> its defenses including the sale in august of a N N stake in the company to mr. buffett 's <unk> <unk> are pretty strong
 usair 's deal with mr. buffett was n't exactly a <unk> example of shareholder democracy mr. steinhardt says
 since last april the investor has made seven so-called <unk> filings in usair as he bought and sold the company 's stock
 such disclosures of big holdings often are used by raiders to try to scare a company 's managers and to stir interest in the stock
 but of course it would be highly unusual for an investment fund such as steinhardt partners to take over a company
 usair and mr. buffett wo n't talk about mr. steinhardt at all
 analysts say usair has great promise
 by the second half of N usair stock could hit N says <unk> <unk> of shearson lehman hutton
 she thinks traders should buy the stock if it <unk> to N
 but meanwhile usair is expected to show losses or lackluster profit for several quarters as it tries to digest <unk> airlines which it acquired
 moreover some investors think a recession or renewed <unk> wars will <unk> airline stocks in coming months
 however mr. steinhardt says he 's comfortable holding usair as an investment
 while he has bought and sold some usair shares in recent days he says that contrary to rumors he has n't tried to unload his holding
 mr. steinhardt adds that he bought usair stock earlier this year as part of a fundamental investment in the airline group
 in N mr. steinhardt says he made money trading in texas air amr and ual
 overall his investments so far this year are showing gains of about N N he adds
 does mr. steinhardt regret his <unk> into the <unk> game
 people close to the investor say that was an experiment he is unlikely to repeat
 i do n't think you 'll find i 'm making a radical change in my traditional investment style mr. steinhardt says
 <unk> resources inc. said it called for redemption on nov. N its $ N million outstanding of N N convertible subordinated debentures due N
 the debentures were issued in the face amount of $ N million on july N N the ashland ky. coal mining water transportation and construction company said
 the company said the redemption is permitted because the price of <unk> 's stock has <unk> or exceeded $ N for N consecutive trading days a condition set in the terms of the debentures
 debenture holders are expected to convert most of the debentures into common because the value of the stock received in a conversion would exceed the $ N redemption price
 commodore international ltd. said it will report a loss for the first quarter ended sept. N because sales of personal computers for the home market remained weak in some major countries
 that will mark the second consecutive quarterly loss for commodore and will raise additional questions about whether it can sustain the turnaround it had seemed to be engineering
 commodore west <unk> pa. had said in august that it was consolidating manufacturing to cut costs and expected to be profitable in the fiscal first quarter
 commodore said that its announcement is based on preliminary information and that the situation could look different by the time final results are announced early next month
 in fact commodore 's fiscal fourth-quarter loss was $ N million narrower than commodore had expected a few weeks after the quarter closed
 still even results approaching break-even would mark a sharp weakening compared with fiscal N first-quarter earnings of $ N million or N cents a share on sales of $ N million
 reflecting concerns about commodore 's outlook its stock has plunged more than N N since may closing yesterday unchanged at $ N a share in composite trading on the new york stock exchange
 the price can be expected to erode further because the loss estimate came after the market closed
 commodore has seemed to be setting the stage recently for progress in the u.s. where its personal-computer sales have been so dismal for years that commodore is close to dropping off research firms ' market-share charts
 commodore has assembled an experienced management team it has persuaded many more dealers to carry its products and it has <unk> a <unk> advertising campaign
 but those represent long-term strategies that probably wo n't succeed quickly even if they turn out to be the right ones
 in the meantime the strategies will increase expenses
 commodore had been counting on its consumer business to stay sufficiently healthy to support its efforts in other areas mainly in getting schools and businesses to use its <unk> which has <unk> graphics yet has been slow to catch on because it is n't compatible with apple computer inc. or international business machines corp. hardware
 but sales to consumers have become difficult during the past several months even in west germany which has been by far commodore 's strongest market
 the commodore N and N mainly used for children 's educational software and games had surprised market researchers by continuing to produce strong sales even though other <unk> personal computers now operate several times as fast and have much more memory
 commodore has said it expects sales to rebound but market researchers have said that sales of the <unk> products may finally be <unk> off
 stock prices closed slightly higher in the first routine trading day since friday 's big plunge
 some issues were affected by tuesday 's devastating earthquake in the san francisco area
 activity continued to slow from the hectic pace set during the market 's plunge late friday and its rebound monday as players began to set their sights on events coming later this week
 the dow jones industrial average drifted through the session within a trading range of about N points before closing with a gain of N at N
 broader averages also posted modest gains
 standard & poor 's 500-stock index rose N to N the dow jones equity market index rose N to N and the new york stock exchange composite index gained N to N
 some N new york stock exchange issues advanced in price while N declined
 but the dow jones transportation average went down for the seventh consecutive session due largely to further selling in ual
 the average dropped N to N and has now lost N N of its value since the losing streak began oct. N
 big board volume dropped to N shares in line with the level of trading over the past few weeks from N million tuesday
 traders cited anticipation of the consumer price report for september due today and tomorrow 's expiration of october stock-index futures and options as major factors in the slowdown
 in addition activity at a number of san <unk> brokerage houses was curtailed as a result of the earthquake which knocked out power lines and telephone service throughout the bay area
 stocks retreated to session lows just after the opening amid worries about the market impact of the quake but quickly snapped back to higher levels with the help of futures-related program buying
 the early move essentially established the day 's trading range and traders said they saw little of the program activity that has battered the market recently
 i did n't expect it to be this quiet
 i expected to see more volatility as some of the institutions who were spooked last friday did some selling said raymond f. devoe a market strategist at legg mason wood walker baltimore
 mr. devoe said he expects prices to show some renewed <unk> over the next few sessions as institutions <unk> their stance toward the market in light of its decline
 i would suspect that a lot of investment committees are looking into whether they want to be in stocks at all he said
 insurance stocks were sold at the opening amid concerns about the level of damage claims the companies would receive as a result of the earthquake
 but those issues recovered quickly and turned higher because of expectations that the quake and the recent hurricane hugo would set the stage for an increase in premium rates
 issues of insurance brokers were especially strong
 marsh & mclennan advanced N N to N N alexander & alexander services climbed N to N and <unk> & black firmed N N to N N
 elsewhere in the group general <unk> rose N N to N N american international group gained N N to N N aetna life & casualty added N N to N N and cigna advanced N to N N
 <unk> the parent of <unk> financial rose N N to N N
 companies in the construction engineering and <unk> sectors were among other beneficiaries of earthquake-related buying
 the <unk> sector was the session 's best performer among dow jones industry groups fluor rose N to N N morrison <unk> gained N N to N N foster <unk> added N to N N and <unk> climbed N N to N N
 among engineering firms <unk> <unk> rose N to N N on the big board and four others rallied on the american stock exchange jacobs engineering group which gained N N to N N <unk> engineering which rose N N to N N michael baker which added N N to N N and american science & engineering up N to N N
 within the <unk> group georgia-pacific climbed N N to N and <unk> added N to N N after merrill lynch recommended the forest-products issues
 <unk> advanced N N to N N lone star industries gained N N to N N <unk> rose N to N N <unk> added N to N N and <unk> industries rose N N to N N
 pacific gas & electric fell N to N N in big board composite trading of N million shares and pacific telesis group slipped N to N N as the companies worked to restore service to areas affected by the quake
 chevron added N to N
 the company based in san francisco said it had to shut down a <unk> pipeline in the bay area to check for leaks but added that its refinery in nearby richmond calif. was <unk>
 other companies based in the area include hewlett-packard which rose N to N national semiconductor which went up N to N N and genentech which eased N to N N
 none of the firms reported any major damage to facilities as a result of the quake
 bankamerica eased N to N N and wells fargo lost N to N N the two bank holding companies based in san francisco were forced to curtail some operations due to the temblor
 among california savings-and-loan stocks h.f. ahmanson eased N to N N <unk> slid N to N N great western financial dropped N to N N and golden west financial fell N to N N
 ual the parent company of united airlines swung within a <unk> range during the course of the session before closing at N N down N N on N million shares
 british airways a member of the group that had offered $ N a share for ual in a leveraged buy-out said it had yet to receive a revised proposal and it was in no way committed to the completion of a bid
 separately investor marvin davis withdrew his backup $ 300-a-share takeover offer
 while ual faltered amr the parent of american airlines pulled out of its recent <unk> by rising N to N
 the stock had been on the decline since the financing for the ual buy-out fell through on friday and developer donald trump subsequently withdrew a takeover offer of $ N a share for amr
 also amr was the most active big board issue N million shares changed hands
 gte added N N to N N
 painewebber repeated a buy recommendation on the stock and raised its N earnings estimate by N cents a share to $ N
 colgate-palmolive advanced N N to N after saying it was comfortable with analysts ' projections that third-quarter net income from continuing operations would be between N cents and $ N a share up from N cents a year ago
 springs industries dropped N N to N
 analysts at several brokerage firms lowered their N and N earnings estimates on the company after its third-quarter results proved disappointing
 trinova third-quarter loss after a charge for a planned restructuring which will include the closing or <unk> of about N N of its plants and a work force cut of about N over three years
 the amex market value index snapped a <unk> losing streak by rising N to N
 volume totaled N shares
 carnival cruise lines class a rose N N to N N
 the company citing market conditions postponed a $ N million debt offer
 philip morris cos. posted a N N jump in third-quarter profit on a N N revenue increase reflecting strength in the company 's cigarette food and brewing businesses
 net income rose to $ N million or N cents a share from the year-earlier $ N million or N cents a share
 per-share figures have been adjusted for a <unk> stock split paid earlier this month
 the new york-based tobacco food and beer concern said revenue increased to $ N billion from $ N billion
 in composite trading on the new york stock exchange philip morris closed at $ N up N cents
 philip morris disclosed little detailed information about performance by major business lines except to say that most including philip morris u.s.a. kraft general foods and miller brewing co. posted increased revenues
 for the nine months net increased N N to $ N billion or $ N a share from $ N billion which included $ N million reflecting the effect of an accounting change
 <unk> inc. citing depressed gold prices said it plans to suspend operations for an <unk> period at its <unk> gold mine in manitoba
 <unk> said in vancouver british columbia that the production halt will be phased in over a <unk> period
 <unk> currently produces gold at a cash operating cost of $ N an ounce which is high by industry standards and $ N or so above the current spot price
 <unk> said it also plans in the third quarter to write down the carrying value of the <unk> mine by N million canadian dollars us$ N million and to write off most of the c$ N million carrying value of its <unk> gold property in british columbia
 <unk> did n't say what impact the moves would have on total gold output or earnings and company officials were n't available
 computer associates international inc. garden city n.y. and digital equipment corp. said they agreed to jointly develop software to help manage digital 's vax computers
 computer associates has <unk> out a huge business selling such software for use in managing networks of international business machines corp. computers but needs to find new markets if it is to maintain its growth rate of N N and more each year
 the market for <unk> software for digital 's hardware is <unk> enough that a giant such as computer associates should do well there
 at the same time the market is smaller than the market for <unk> software
 for one thing digital maynard mass. has sold fewer machines
 in addition its machines are typically easier to operate so customers require less assistance from software
 wang laboratories inc. <unk> mass. <unk> by declining demand for its computers reported a $ N million <unk> loss in its first quarter ended sept. N
 revenue fell N N to $ N million from $ N million although some of the decline was caused by discontinued operations
 wang had previously forecast a loss
 the company reiterated that it expects another loss in the second quarter and for the full year although it expects a profitable fourth quarter
 a year ago wang had earnings of $ N million or eight cents a share in its first quarter including a $ N million loss from discontinued operations
 the latest period loss included a $ N pretax charge for severance payments
 dayton hudson corp. said it accepted for purchase seven million common shares at $ N each under the terms of a dutch auction <unk> offer
 the offer expired at N a.m. yesterday
 in a dutch auction the buyer sets a price range and holders give a price in that range at which they 're willing to sell their shares
 the buyer then picks a price and buys shares at that price from holders who offered to sell at that price or lower
 dayton hudson 's repurchase offer representing about N N of its common shares outstanding had established a range of between $ N and $ N for the buy-back
 dayton hudson said it accepted all <unk> shares tendered at or below the final $ N price the preliminary <unk> factor for other shares tendered at or below the final price is N N
 the <unk> retailer said it expects to pay for the seven million shares next thursday
 tendered shares not purchased will be returned to holders
 in new york stock exchange composite trading dayton rose $ N to $ N
 continental bank corp. 's third-quarter net income slipped N N despite a big gain from the sale of the company 's london headquarters building
 the $ N million gain on the sale was offset by lower interest income poorer results from foreign-exchange trading and a $ N million loss on the sale of a unit securities settlement corp
 chicago-based continental earned $ N million or $ N a share compared with $ N million or $ N a share a year earlier
 the N quarter also included one-time gains totaling about $ N million
 the bank which has loss reserves equal to about half its long-term and <unk> loans to less-developed nations said it does n't think additional reserves are required
 enron corp. said a subsidiary and two united kingdom firms are studying the <unk> of <unk> a N <unk> <unk> power plant in northern england as an <unk> of the government 's privatization program
 enron power corp. a unit of the houston natural gas pipeline company would design construct and run the plant
 gas to fuel it would be <unk> from the north sea
 a subsidiary of britain 's imperial chemical industries would buy electricity and steam from the proposed station
 surplus power would be sold on the open market enron said
 also participating in the study enron said is the national power division of britain 's central electricity generating board
 upon privatization national power will be responsible for N N of the country 's power generating business
 viacom inc. new york reported that its third-quarter loss widened to $ N million or N cents a share primarily because of interest expense of $ N million
 a year ago viacom had a net loss of $ N million or $ N a share
 interest expense in the N third quarter was $ N million
 in the year-ago quarter viacom also paid preferred stock dividends of $ N million viacom exchanged its preferred stock for debt in march
 the communications and entertainment company said revenue rose to $ N million from $ N million
 viacom attributed the improvement to higher earnings from operations in its networks segment which includes the <unk> and showtime networks
 viacom said it also restructured bank debt under a $ N billion unsecured bank agreement that offers significant interest rate savings
 <unk> m. <unk> viacom 's chairman said viacom emerged from our leveraged buy-out structure and gained substantial operating and financial flexibility through the bank pact
 trinova corp. <unk> ohio said it is launching an extensive restructuring of its core business and took a charge that resulted in a loss of $ N million or N cents a share for the third quarter
 trinova said it will close move or overhaul N of its N manufacturing facilities and over the next three years cut N jobs from its current world-wide payroll of N employees
 most of the factory closings and job cutbacks will affect trinova 's <unk> operations which manufacture automotive plastics <unk> and other industrial and automotive parts
 <unk> and plastics together account for about N N of trinova 's total annual sales
 in a separate announcement trinova said the <unk> group has agreed to sell its <unk> <unk> and related businesses to midland <unk> inc. of <unk> conn
 terms were n't disclosed
 to provide for the restructuring 's costs trinova said it took an after-tax charge of $ N million or $ N a share in the third quarter
 the $ N million net loss compares with net income of $ N million or N cents a share a year earlier
 sales rose N N to $ N million from $ N million
 trinova closed at $ N down $ N in new york stock exchange composite trading
 a group of investors including <unk> <unk> 's <unk> communications corp. and <unk> holding s.a. have agreed to buy N N of odeon <unk> a financially troubled italian tv station
 florio <unk> managing director of <unk> <unk> said the investors would pay only a <unk> one <unk> for the station but we have agreed to raise the capital that will enable the company to continue operating
 it 's sort of a chapter N situation he added referring to the u.s. bankruptcy law that protects companies from creditors while they restructure
 <unk> odeon which draws about N N of italian tv viewers has debt of N billion lire $ N million mr. <unk> said
 he added that details of the recapitalization still have to be worked out but that <unk> will take N N of odeon rome film producer bruno <unk> will take N N and the remaining N N currently owned by <unk> will eventually be sold to other investors
 <unk> <unk> odeon 's owner will retain his N N stake
 italy 's supreme court this year ordered parliament to write a law that will regulate media ownership
 we think that it 's going to be far more favorable to own a station before the law is passed than to try to buy one afterward mr. <unk> said
 san francisco area officials gave the media high marks for helping people find shelter and obtain emergency information after tuesday 's catastrophic earthquake
 the press has been doing an excellent job
 they are telling people what roads are closed and just keeping the public informed has helped to keep the panic down said james ball a station supervisor at daly city police department
 mr. ball noted that television stations featured people holding up phone books explaining where to call for help
 radio stations provided an emergency number for people who <unk> gas but did n't know how to turn off their gas supply
 kim schwartz a <unk> for the american red cross in los angeles said television and radio stations in san francisco played a very positive role by providing the address of N shelters of the red cross and by giving out the red cross number for contributions to help earthquake victims N
 the san francisco examiner issued a special edition around noon yesterday that was filled entirely with earthquake news and information
 the examiner and the san francisco <unk> were able to publish despite tuesday 's quake which occurred close to deadline for many newspapers
 sterling software inc. said it lost its bid to supply software services to the national aeronautics and space administration 's <unk> research center at <unk> field calif
 sterling which estimated the value of the contract at $ N million said nasa selected another bidder for final negotiations
 in N dallas-based sterling <unk> a similar decision by nasa involving the same contract claiming it had submitted the lowest bid
 as a result last march the general services administration board of contract appeals directed nasa to reopen negotiations on the contract
 sterling said it had requested a briefing by nasa but had not decided whether to protest the agency 's latest decision
 consolidated rail corp. new york reported that third-quarter net income climbed N N to $ N million or $ N a share exceeding analysts ' expectations
 in the year-earlier quarter the freight railroad earned $ N million or $ N a share
 james a. <unk> chairman and chief executive officer noted that earnings advanced in the face of a drop in business brought on by the general economic slowdown
 revenue slipped N N to $ N million from $ N million
 for the rest of N mr. <unk> said <unk> 's traffic and revenue will reflect the sluggish economy but <unk> will continue to take steps to control and reduce costs
 for the nine months <unk> earnings grew N N to $ N million or $ N a share from $ N million or $ N a share
 revenue was flat at $ N billion
 georgia gulf corp. hurt by declining sales and falling chemical prices said third-quarter earnings fell N N to $ N million from $ N million in the year-earlier period
 sales declined N N to $ N million from $ N million
 the atlanta-based chemical manufacturer said lower prices hurt margins for most products
 we did see some relief in raw material costs but it was n't sufficient to offset the drop in sales prices james r. <unk> the company 's chairman and chief executive officer said in a statement
 on a per-share basis quarterly earnings remained at $ N the same as last year because of the company 's share buy-back program
 georgia gulf had N million shares outstanding on average in the quarter compared with N million in the third quarter of N adjusted for a stock split paid in january N
 in composite new york stock exchange trading stock in georgia gulf which has been mentioned as a takeover candidate rose $ N a share to close at $ N
 this <unk> city dispatched inspectors <unk> and other <unk> personnel to aid san francisco
 but a secondary agenda among officials in the city of angels was to learn about the <unk> plans that work and those that do n't
 los angeles mayor tom bradley used the opportunity to push the city council harder to pass a measure establishing a <unk> reserve of $ N million
 the amount would help los angeles cope in the first few weeks after its own anticipated quake while waiting for federal assistance to arrive
 after san francisco mayor art agnos spoke on television of the need for building inspectors to check the <unk> of buildings los angeles dispatched N inspectors to help
 and the county of los angeles placed its <unk> and <unk> on alert ready to send in <unk> and <unk> san francisco that the city has N hospital <unk> at its disposal
 two los angeles radio stations initiated red cross <unk> campaigns and one los angeles bank manager <unk> over $ N of his own money for relief purposes the red cross said
 the los angeles red cross sent N <unk> N <unk> and N <unk> of <unk> blood
 it is also pulling N people out of puerto rico who were helping <unk> hugo victims and sending them to san francisco instead
 the arizona corporations commission authorized an N N rate increase at tucson electric power co. substantially lower than recommended last month by a commission hearing officer and barely half the rise sought by the utility
 the ruling follows a host of problems at tucson electric including major write-downs a N N slash in the common stock dividend and the departure of former chairman <unk> <unk> during a company investigation of his stock sales
 the arizona regulatory ruling calls for $ N million in added revenue yearly compared with a $ N million boost proposed by the commission hearing officer
 the company had sought increases totaling $ N million or N N
 the decision was announced after trading ended
 tucson electric closed at $ N a share down N cents in new york stock exchange composite trading
 a tucson electric spokesman said the utility was disappointed by the commission 's decision and concerned about the financial integrity of the company
 south korean president roh <unk> woo <unk> aside suggestions that the won be <unk> again said the currency 's current level against the dollar is appropriate
 his comments made in response to reporters ' questions at the national press club here signaled that seoul is <unk> u.s. pressure for a further rise in the currency 's value
 the u.s. wants a higher won to make south korea 's exports more expensive and help trim seoul 's trade surplus
 many south korean business people want a devaluation instead arguing that the won 's recent gains already have weakened the country 's export performance
 mr. roh also said south korea is taking steps that would free the won to respond to market forces
 seoul has pointed to its lack of a foreign exchange market as one reason the won 's value remains heavily controlled
 mr. roh said a u.s. demand for the removal of south korean import quotas on beef will be resolved <unk> but gave no hint when that will happen
 speaking to a joint meeting of congress earlier he said south korea ca n't move quickly on such agricultural trade issues without causing political and social <unk>
 great american bank said its board approved the formation of a holding company enabling the savings bank to pursue <unk> banking activities under a new federal law
 the proposed holding company 's primary purpose would be to allow great american to continue engaging in real estate development activities it said
 those activities generated $ N million in operating profit last year
 but according to great american such profits do n't count toward meeting the san diego savings bank 's new capitalization requirements under N federal law
 the new real estate unit would have a separate capital structure to comply with the law
 the proposed holding company would also consolidate great american bank in san diego and its tucson ariz. savings bank into a single federally chartered institution in san diego
 the consolidation is expected to save $ N million a year in administrative costs a great american spokesman said
 dale lang who this week completed the acquisition of the publisher of ms. and sassy is <unk> about the challenge he is taking on
 mr. lang admits that ms. is in dire <unk> and that sassy needs big promotional dollars to keep it alive
 but the <unk> publisher has moved quickly and <unk> to deal with the magazines ' problems
 last friday he told the staff of ms. that the magazine in january would begin publishing without advertising
 mr. lang will do away with expensive circulation drives not to mention sales staff and attempt to publish the <unk> magazine supported by circulation revenue alone
 any fool can publish a money-losing magazine
 i want to publish one that succeeds said mr. lang
 for ms. it 's time to publish for the reader not the advertiser
 as for sassy which competes directly with news corp. 's <unk> magazine mr. lang says that in the next two years he will spend $ N million promoting and improving the magazine
 though sassy has grown quickly since its debut in march N it has been the target of conservative lobbyists and <unk> advertisers who <unk> at its frank editorial matter on <unk> problems
 mr. lang said the former australian owners of sassy were <unk> by the moral majority
 their reaction was to do nothing and ride it out
 he said sassy will keep its <unk> tone but added we will keep a close watch on the editorial content of the magazine
 sassy already has recovered circulation has quickly passed the N mark and advertising pages have stabilized this year at more than N
 what 's more mr. lang says he has what all publishers wish for a <unk> <unk> niche
 <unk> is written more for mothers not their daughters said mr. lang
 but sassy has a different spirit
 it gets more mail in a month than mccall 's got in a year and it 's not from mothers
 i feel about sassy like i did about working woman N years ago
 mr. lang took on ms. and sassy with the acquisition of <unk> publications inc. by his newly formed lang communications
 lang owns N N of <unk> while citicorp owns the rest through its citicorp venture capital partners
 two weeks ago citicorp and mr. lang pumped $ N into <unk> just to keep the doors open
 industry observers have <unk> mr. lang on what some call his <unk> handling of ms. but his track record in magazine publishing in general has gotten mixed reviews
 besides ms. and sassy closely held lang communications includes success a magazine for entrepreneurs and small businesses and working woman and working mother two monthly magazines
 working woman with circulation near one million and working mother with N circulation are legitimate magazine success stories
 the magazine success however was for years lackluster and <unk>
 only recently has it been <unk> <unk> and its editorial product improved
 success is expected to gain at least because of the recent <unk> of rival venture another magazine for growing companies
 working woman and working mother have operated as part of working <unk> 's group a <unk> joint venture between mr. lang and time warner inc
 the joint venture is being <unk> with mccall 's magazine being sold last summer to the new york times co. 's magazine group for about $ N million and time warner agreeing to sell back its N N interest in working woman and working mother to mr. lang
 executives at time inc magazine co. a subsidiary of time warner have said the joint venture with mr. lang was n't a good one
 the venture formed in N was supposed to be time 's low-cost safe entry into women 's magazines
 mr. lang surprised time soon after joining forces when he said he would negotiate rates <unk> with advertisers a practice common in broadcasting but considered <unk> by magazine publishers
 in addition mccall 's put in a less than <unk> performance
 until a recent comeback it saw steep losses in ad pages and circulation
 time executives complained about the <unk> editorial quality and in the end one time executive who asked not to be identified said frankly mccall 's and the joint venture were an embarrassment
 mr. lang feels that time 's priorities changed
 their management changed right after the venture was formed and i do n't think they were comfortable getting into the competitive wars of women 's service magazines
 today mr. lang believes his magazines will offer what many women 's magazines do n't
 we write straight for women on their level he said
 we do n't have passive readers
 mr. lang points out that even success in part fits the company 's image since about N N of its <unk> is female
 mr. lang has named carol <unk> N as group publisher of new york-based lang communications
 she will oversee working woman working mother and success magazines and retain her post as publisher of working woman
 the sale price of mccall 's twice what mr. lang originally paid for it will finance lang communications ' buy-back of time warner 's N N interest in working woman and working mother
 mr. lang says he is n't <unk> new acquisitions at least for now
 we would have to go outside to banks to get the money and i am not ready to do that he said
 besides we have enough on our plate
 there is plenty of work to be done on what we have
 britain 's monopolies and mergers commission wednesday cleared rhone-poulenc s.a. 's purchase of a specialty <unk> unit from monsanto co. saying the purchase was unlikely to have any lasting impact on u.k. industrial consumers
 the commission which was asked to study the deal by the department of trade and industry after its announcement in february said the diversity of global supply of chemicals used in making <unk> drugs was great enough to offset the dominant u.k. market share rhone-poulenc would gain through the acquisition
 the french chemical giant would hold an N N share of the u.k. market for <unk> acid <unk> <unk> and bulk <unk>
 the commission found that if the british government attempted to block the merger rhone-poulenc would likely respond by closing the <unk> plant monsanto operates in <unk> removing the matter from u.k. jurisdiction
 morrison <unk> corp. posted third-quarter net income of $ N million or N cents a share continuing a rebound from steep year-ago losses
 in the third quarter a year-earlier the construction and engineering concern posted a loss of $ N million or $ N a share
 revenue in the latest quarter rose N N to $ N million from $ N million
 in composite trading on the new york stock exchange morrison gained $ N to $ N
 morrison said the engineering and construction segment performed well with the mining and <unk> operations making important contributions
 <unk> <unk> morrison had losses totaling $ N million over the two years ended in december but it has surged back to profitability as a result of cost-cutting and shedding of unprofitable operations
 in the nine months the company 's net income was $ N million or $ N a share compared with a year-earlier loss of $ N million or $ N a share
 revenue rose N N to $ N billion from $ N billion
 the house ethics committee officially cited rep. jim bates d. calif for <unk> <unk> two female employees but did n't recommend formal disciplinary action
 rep. bates said he accepted the finding but one of the victims <unk> <unk> denounced the ethics panel 's action as absurd
 acting more than a year after ms. <unk> filed a complaint the panel issued a letter of <unk> saying rep. bates had admitted conduct that violated a house rule <unk> discrimination against employees on account of their sex
 it ordered rep. bates to write letters of <unk> to ms. <unk> and to a second <unk> karen <unk>
 rep. bates said he would write the letters as ordered
 i accept the resolution of the matter by the ethics committee he said
 the panel also warned rep. bates that any further violations may result in a recommendation that disciplinary action be considered
 but ms. <unk> asked who in their right mind is going to file another complaint with the ethics committee
 rep. bates has publicly <unk> for <unk> from voters and was <unk> with N N of the vote last november
 mesa airlines said the takeover offer it received earlier this week from stateswest airlines is for a combination of cash and securities valued by stateswest at $ N a mesa share
 both companies are regional carriers in the southwest
 when it made the offer stateswest declined to disclose details and asked mesa to do the same
 but <unk> <unk> mesa said the offer was for $ N in cash and unspecified stateswest securities valued at $ N a share
 based on the number of mesa shares outstanding not already owned by stateswest the proposed takeover would have a value of about $ N million
 stateswest owns N N of mesa
 last week mesa rejected a general proposal from stateswest that the two carriers combine
 in response to the specific offer gary <unk> mesa vice president said management will ask directors to employ a financial consultant to advise them
 <unk> <unk> group plc a u.k. engineering company reported a N N jump in pretax profit for the six-month period ending june N
 pretax profit rose to # N million $ N million from # N million $ N million matching analysts ' expectations which ranged from # N million to # N million
 profit after taxes and minority interests increased N N to # N million from # N million in the year-earlier period while earnings per share rose N N to N pence N cents from N pence N cents
 <unk> <unk> said its core electrical products division enjoyed strong growth with a N N rise in operating profit during the period
 <unk> financial group reported a N N increase in net income in the third quarter led by a N N gain in its financial services group
 fleet 's net was $ N million or N cents a primary share compared with $ N million or N cents a share a year earlier
 the <unk> r.i. financial services group which includes <unk> leasing and <unk> operations contributed $ N million to net up from last year 's $ N million
 fleet also noted that unlike other banking companies in the northeast it has been only marginally hurt by nonperforming loans that have resulted from the <unk> regional real estate market
 fleet reported nine-month net of $ N million or $ N a primary share up from $ N million or $ N a share a year earlier
 <unk> franklin federal savings & loan association said it expects to post a third-quarter net loss of about $ N million or $ N a share as a result of adding $ N million in loan-loss reserves
 the <unk> ore. thrift which has $ N billion of assets had net income in last year 's third quarter of $ N million or N cents a share
 franklin said it expects to report earnings for the latest quarter next week
 the additional reserves <unk> to possible write-downs of certain assets held by franklin and its subsidiaries and the default of a bond in its investment portfolio the thrift said
 according to a spokeswoman they also <unk> to changes franklin will have to make in its accounting procedures to comply with new federal capitalization requirements for thrifts
 the company 's shares closed yesterday at $ N off N cents in national over-the-counter trading
 arkla inc. said that as part of a program to improve profitability it will take a total of $ N million in after-tax charges by year end
 it also announced an initial public offering of N N of its gas exploration and production subsidiary
 the <unk> <unk> natural gas company said the charges though partially offset by a one-time gain from the offering will result in a full-year after-tax loss
 last year the company had net income of $ N million or $ N a share
 arkla said it will report $ N <unk> in one-time charges against continuing operations for the third quarter reflecting settlement of certain natural gas contracts
 it said it will take a $ N million fourth-quarter charge against discontinued operations reflecting certain write-downs and the planned sale of a unit
 arkla said its initial offering of N N of arkla exploration co. is expected to result in a net gain of about $ N million which will be used to pay down arkla debt
 arkla exploration owns sizable gas and <unk> reserves in the south and southwest
 south africa negotiated a new debt agreement with its major foreign creditors for about $ N billion of its foreign debt outstanding said chris <unk> governor of the reserve bank and the country 's chief debt negotiator
 the new agreement will last for N N years starting july N N when the current agreement expires
 the announcement <unk> with the start of the commonwealth ministers conference in kuala lumpur where proposals for renewed sanctions against south africa including moves to block settling of a new debt agreement were scheduled to be discussed
 as with the previous pact the new agreement covers the country 's debt inside the net which applies mainly to <unk> due to overseas creditor banks by the private sector
 the agreement calls for south african <unk> to make <unk> in eight <unk> starting in december of next year
 the redemption then would be at N N of the total debt increasing to N N in february N and to N N at six-month <unk> thereafter
 a revised provision would be included for the conversion of short-term claims inside the net to long-term loans outside the net
 these claims would be <unk> over a 10-year period
 foreign debt falling outside the net of affected <unk> which mr. <unk> estimated at $ N billion would remain not subject to the debt arrangements
 new york times co. said net income rose in the third quarter because of a one-time gain on the sale of the company 's cable-tv system
 net surged to $ N million or $ N a share from $ N million or N cents a share a year earlier
 the latest quarter included a gain of $ N million or $ N a share from the sale of new york times cable completed in august
 exclusive of the gain operating profit declined N N to $ N million or N cents a share from $ N million or N cents a share
 the decline primarily reflected the <unk> from acquiring mccall 's golf world u.s. and sailing world magazines lower equity earnings from the forest-products group because of price discounting and an unfavorable exchange rate and an N N decline in advertising <unk> at the new york times the company 's flagship newspaper
 advertising volume at the company 's N regional newspapers decreased N N
 the company said the negative factors are expected to continue into next year
 revenue rose N N to $ N million from $ N million
 democrat gene taylor won a special election to fill the congressional seat vacated by the death of republican <unk> smith taking back the gop 's lone <unk> in mississippi 's house delegation
 mr. taylor 's overwhelming victory against republican tom anderson <unk> a seat the republicans had held for N years and gives the democrats their fifth victory in the seven special house elections held this year
 mr. taylor a <unk> state senator from bay st. louis won N N of the vote in a district that has voted republican in the past five presidential elections and that was once represented by republican u.s. sen. <unk> <unk>
 mr. taylor 's victory was an embarrassment for both state and national republicans
 mr. anderson a former <unk> aide received campaign assistance from the senator and from president bush who visited the district last week
 even so mr. taylor carried all but one of the district 's dozen counties
 rep. smith died in a plane crash on aug. N
 wall street journal reporters called companies with headquarters or facilities in the bay area in a bid to assess the damage to their operations caused by tuesday 's earthquake
 the calls reached many but certainly not all of the publicly held companies with operations in the area
 in most cases damage to company facilities and operations was minimal
 <unk> services inc. menlo park temporary personnel agency annual sales of $ N million otc said all N offices in bay area were working but in various states of disarray
 business was slow because many companies were closed yesterday
 advanced micro devices inc. sunnyvale integrated circuit maker annual sales of $ N billion nyse had only minor structural damage
 most of its N workers were at work yesterday and no production slowdown was anticipated as long as electricity remains available
 <unk> corp. sunnyvale computer maker annual sales of $ N billion amex was closed yesterday and no damage estimates were available
 american building maintenance industries inc. san francisco provider of maintenance services annual revenue of $ N million nyse had some damage to headquarters and lost phone service but operations were moved to a branch office and are running smoothly thanks to a <unk> computer system the company had developed before the quake
 american president cos. oakland shipping concern annual sales of $ N billion nyse had little damage to the <unk> <unk> or rail track at its <unk> facility near the collapsed route N <unk>
 the company expects to work a ship due in today with minimal delays despite sporadic power
 anacomp inc. indianapolis nyse said its <unk> corp. unit a sunnyvale maker of computer disks and <unk> with annual sales of $ N million had only minor damage and is fully operational
 <unk> electronics inc. san jose distributor of electronic parts annual sales of about $ N million nyse sustained very little damage anticipated being in N N operating condition by midday
 apple computer co. cupertino computer maker annual sales of $ N billion otc sustained some structural damage
 offices were closed yesterday
 applied materials inc. santa clara maker of <unk> machine systems annual sales of $ N million otc had slight damage to headquarters no damage to manufacturing plants
 company with N workers in area is fully <unk>
 <unk> corp. sunnyvale maker of personal computers and software annual sales of $ N million amex had minor damage and expects to be fully operational by tomorrow
 bankamerica corp. san francisco bank holding company annual revenue of $ N billion nyse yesterday had no power at its headquarters N of its N northern california branches were closed and N of N automatic teller machines were closed in the area
 securities trading was conducted in a backup facility in concord
 <unk> corp. san francisco engineering and construction concern annual sales of $ N billion had only minor structural damage at its three buildings in the city but its computers were knocked out
 backup computer tapes were <unk> to an ibm office in philadelphia and the company expects its mainframe to be up in a few days
 workers except for senior management were asked not to report for work yesterday
 <unk> laboratories inc. <unk> biological research and <unk> leader $ N million in annual sales amex said its richmond warehouse north of san francisco was closed because of debris and fallen shelves
 it expects to be fully operational by next week
 <unk> international <unk> valley personal computer and software designer annual sales of $ N million had heavy damage to its headquarters and was conducting business from its parking lot
 the company does n't expect any shipping delays
 businessland inc. san jose computer retail company annual sales of $ N billion nyse said all N corporate office and stores in the area were open with the exception of a retail center in san francisco 's business district
 that facility should reopen today
 carter <unk> <unk> stores inc. los angeles retailer annual sales of $ N billion nyse said nine of its N <unk> stores in the area were closed because of water damage broken windows and fallen displays
 a spokesman said sales are expected to be hurt but the losses are covered by insurance
 chevron corp. san francisco oil company annual sales of $ N billion nyse had minor damage to downtown headquarters but structural damage closed two of its seven buildings in san <unk> industrial park
 company expects to be fully operational by next week
 <unk> co. oakland consumer products annual sales of $ N billion nyse was closed yesterday but plans to reopen today or tomorrow
 meanwhile orders are being <unk> through <unk> products unit in louisville ky. but computer problems mean they must be processed <unk>
 expects to be fully operational early next week
 <unk> inc. palo alto laser maker annual sales of $ N million was closed yesterday but expects to reopen today
 consolidated <unk> inc. menlo park trucking company $ N billion in annual sales nyse had structural damage to <unk> motor freight subsidiary 's office in palo alto no damage in menlo park
 <unk> companies inc. palo alto medical products maker annual sales of $ N million nyse had little damage and was in full operation yesterday
 dayton hudson corp. minneapolis retailer annual sales of $ N billion nyse closed seven of its N bay-area target discount stores and nine of its N <unk> 's department stores because of pending reviews by structural engineers or requests from authorities who were trying to keep shoppers off the freeways
 the company expects to reopen three target stores and all but two <unk> 's today or tomorrow
 <unk> inc. south san francisco maker of magnetic <unk> <unk> equipment annual sales of $ N million amex had minor damage mostly in a <unk>
 the company plans to be fully operational today
 digital equipment corp. maynard mass. computer maker annual sales of $ N billion nyse had structural damage at its san francisco sales office but no <unk> damage elsewhere in the area including its cupertino plant
 <unk> grand ice <unk> inc. oakland ice <unk> maker annual sales of $ N million otc said it is delivering ice <unk> wherever roads are <unk>
 <unk> systems inc. <unk> maker of personal computers and peripherals annual sales of $ N million otc had minor damage and was almost fully operational yesterday
 exxon corp. new york oil company nyse said its refinery northeast of san francisco was operating at a slightly reduced rate as a <unk> in case of aftershocks
 ford motor co. dearborn mich. auto maker annual sales of $ N billion nyse said its three ford aerospace unit facilities in the bay area including a <unk> operation in palo alto had no major damage
 gap inc. san bruno clothing retailer annual sales of $ N billion nyse expects most of its stores to return to full operation and all N of its bay-area workers to be back at work by today
 genentech inc. south san francisco biotechnology company annual sales of $ N million nyse sustained no major damage and expects to be fully operational today
 general electric co. fairfield conn. consumer industrial products and broadcasting concern annual sales of $ N billion nyse said its ge nuclear energy unit with N bay-area employees had only minor damage at its san jose headquarters
 business was n't disrupted
 general motors corp. detroit auto maker annual sales of $ N billion nyse sustained about N injuries to workers and some <unk> water <unk> at its new united motor manufacturing inc. facility in <unk> a joint venture with toyota motor corp
 there was limited production of some models yesterday but it was n't clear when the normal <unk> pace will resume
 plant officials are still assessing damage to parts suppliers and port of oakland facilities that handle shipments to the plant
 golden west financial corp. oakland savings and loan annual revenue of $ N billion nyse had only minor damage to a few branches and no injured employees
 hewlett-packard co. palo alto personal computer and electronic equipment maker annual sales of $ N billion nyse said there will be a minimal suspension of manufacturing for an <unk> period
 the computer system was operating so orders could be taken
 the company has N employees and more than N buildings in the bay area
 one building in palo alto may be damaged beyond repair
 others had lesser damage and there were no injuries among workers
 damage will be easily in the millions the company said
 <unk> corp. <unk> manufacturer of engineered parts annual sales of $ N million nyse had little damage beyond some phone trouble
 <unk> mining co. san francisco gold and general <unk> annual sales of $ N million nyse said its headquarters was closed yesterday because of power failures and lack of water but that it may reopen today
 it expects any impact on its business to be slight
 <unk> financial corp. <unk> financial services concern annual revenue of $ N million otc said three of its N bay-area branches were closed yesterday
 the company expects all branches to reopen today
 <unk> corp. santa clara maker of computer accessories annual sales of $ N million otc said telephones were out at its headquarters but service should be restored by today
 the company said it was doing a brisk business in computer <unk> <unk> <unk> and <unk> power sources
 intel corp. santa clara semiconductor maker annual sales of $ N billion otc had some damage and few people were at work yesterday
 international business machines corp armonk n.y. maker of business machines nyse said flooding caused by broken water pipes closed its san jose plant which makes high-end <unk> devices
 the plant and its N employees gradually will resume operations over the next several days the company said
 also closed yesterday were the company 's santa <unk> <unk> lab and the <unk> research center
 the concern 's national service division opened a center for emergency service in <unk> creek as part of its <unk> plan
 kaiser aluminum & chemical oakland metal and chemical maker annual sales of $ N billion had slight structural damage to its <unk> headquarters building and employees stayed home yesterday to allow crews to clean up
 lockheed corp. <unk> aerospace and defense concern annual sales of $ N billion nyse said its lockheed missiles & space division closed its santa cruz test facility because of power <unk> and <unk>
 the closing affecting N employees will continue at least until roads are cleared
 it was n't known to what extent if any the facility was damaged
 it also was n't known what the impact will be on the division 's work which includes the navy 's <unk> <unk> missile program and the air force 's strategic defense initiative
 the division had only minor damage at its sunnyvale headquarters and plant in palo <unk> and no delays in deliveries are expected
 <unk> drug stores inc. <unk> creek <unk> chain annual sales of $ N billion nyse had only minor damage and only four of its N bay-area stores all in the santa cruz area were closed
 all are expected to reopen soon
 lsi logic corp. <unk> maker of <unk> integrated circuits annual sales of $ N million nyse has halted manufacturing at its three plants in the area while they are <unk> for structural damage
 the company expects to resume full operations by today
 r.h. macy & co. new york retailer annual sales of $ N billion said there was minor damage to its N macy stores and nine i. <unk> stores in the bay area
 <unk> corp. cupertino maker of computer integrated manufacturing processes annual sales of $ N million nyse had only minor damage but workers spent most of yesterday cleaning up
 national semiconductor corp. santa clara semiconductor maker annual sales of $ N billion nyse said it had no major structural damage at its N bay-area buildings but two workers were injured
 production resumed yesterday
 <unk> in a <unk> plant needed immediate repairs
 <unk> inc. seattle retailer annual sales $ N billion otc five of this <unk> chain 's nine stores in the bay area were closed yesterday damage appears primarily cosmetic hopes to reopen four of the stores by today and the fifth by saturday
 <unk> systems corp. <unk> provider of computer programming and software services annual sales $ N million four of N offices and buildings in the <unk> and san mateo areas were closed N N of computer and telephone systems are operating expects to be back to full operation by the end of the week
 pacific gas & electric co. san francisco electric gas and water supplier annual sales $ N billion some minor damage to headquarters <unk> damage to four nearby <unk> severe structural damage to a major power plant at moss landing extensive damage to gas lines and electric lines N <unk> without electricity and N without gas can not <unk> electricity until it is certain there are no gas leaks no predictions on when this will happen
 pacific telesis group san francisco telecommunications holding company annual sales of $ N billion no damage to headquarters but no power the power failure has caused a delay in the release of the company 's earnings report major concern is subsidiaries pacific bell and pacific telesis cellular both of which sustained damage to buildings structural damage to several cellular sites in santa cruz volume of calls on cellular phones N times the usual causing a big slowdown
 procter & gamble co. <unk> company 's <unk> coffee plant in south san francisco was closed following the earthquake no injuries or major damage other plants around country can make up for any lost production
 quantum corp. <unk> manufactures rigid <unk> drives for small business computers word processors annual sales $ N million otc open for business minor structural damage
 <unk> corp. menlo park plastics manufacturer annual sales $ N billion no major damage and no production slowdown is anticipated
 ross stores inc. newark discount apparel chain annual sales $ N million two of N stores in bay area closed both could open as early as today
 <unk> stores inc. oakland retail food chain annual sales of $ N billion some structural damage to headquarters and no power major problems <unk> products to those stores that remained open no numbers on how many stores closed
 charles schwab & co. san francisco discount brokerage firm annual sales of $ N million had only minor damage to headquarters building and was up and running for yesterday 's market open
 firm will not however resume 24-hour service until power in city is restored
 office closed yesterday at N p.m. edt
 seagate technology <unk> valley maker of hard disk drives for computers annual sales of $ N billion otc closed to assess what appeared to be minor damage to some of its N buildings
 southern pacific transportation co. san francisco railroad annual sales of $ N billion had only minor damage to headquarters and tracks and expects to be fully operational tomorrow
 st. louis southwestern railway co. unit halted all service tuesday night but has since restored some freight lines and limited <unk> service between san francisco and san jose
 sun microsystems inc. mountain view maker of desktop computers annual sales $ N billion otc no injured employees and very little damage to buildings
 closed yesterday due to power difficulties
 tandem computers inc. cupertino computer maker annual sales of $ N billion nyse said it had no significant damage and should be fully operational within a week
 many employees stayed home yesterday but customer service was being maintained
 <unk> corp. san francisco financial services and insurance company annual sales of $ N billion nyse said its headquarters the well-known downtown <unk> building was intact but closed yesterday
 <unk> associates inc. palo alto instrumentation and semiconductor equipment company annual sales of $ N billion had only minor damage and no <unk> were anticipated
 <unk> technology inc. san jose maker of semiconductor products annual sales $ N million otc minimal damage to facilities no injuries expected operations to return to normal late yesterday
 <unk> co. <unk> electronics manufacturer annual sales $ N million nyse minor damage to headquarters and plant in palo alto no damage to san jose plant still assessing damage at <unk> valley plant where main product is <unk> for semiconductor production
 wells fargo & co. san francisco bank holding company annual revenue $ N billion nyse minor damage at headquarters N branches out of N in northern california sustained structural damage that will preclude them from opening in the near future N locations with at least one automatic teller machine <unk> central computer systems are operating no injuries
 <unk> technology inc. san jose maker of video display terminals and workstations and <unk> compatible computers annual sales of $ N million slight structural damage at headquarters no injuries expects to be back to full operation today
 <unk> corp. santa clara maker of computer communications systems annual sales of $ N million otc slight structural damage to headquarters communications systems already fully operational
 could the collapse of <unk> have been prevented
 that was the question structural engineers and california transportation officials were asking themselves yesterday as rescue workers began the <unk> task of trying to extract as many as N victims from beneath the concrete <unk> of the <unk> nimitz freeway in oakland that <unk> in during tuesday 's temblor
 after <unk> the area california gov. george deukmejian late yesterday called for an inquiry into the freeway 's collapse blaming the disaster on <unk> construction the associated press reported
 the impact of the destruction of this <unk> stretch of highway was <unk> measured in lost lives
 but there are other long-term effects that raise serious questions about the ability of california 's infrastructure to withstand a major temblor
 it could easily be two years before the <unk> artery that helps <unk> oakland with san francisco is reopened and the cost to build a new stretch of highway could soar to more than $ N million said charles j. o'connell deputy district director in los angeles of the california department of transportation <unk> caltrans
 caltrans in sacramento said total damage from the collapsed highway is estimated at around $ N million
 the aftershocks of the highway tragedy are <unk> in los angeles as well as local politicians spoke yesterday against plans to bring <unk> to los angeles freeways by N
 caltrans plans to add a second deck for buses and car pools above the median of a <unk> stretch of the harbor freeway just south of los angeles near the <unk> <unk>
 los angeles county supervisor kenneth hahn yesterday vowed to fight the introduction of <unk> in the area
 caltrans abandoned <unk> in the early 1970s following the N <unk> earthquake that destroyed freeway sections just north of los angeles mr. o'connell explained
 that temblor measured N on the richter scale tuesday 's was
 so why even consider <unk> freeways now
 we 've run out of places to build freeways in l.a. and the only place to go is up mr. o'connell said although he acknowledges there are many obstacles including cost
 but as for safety he says <unk> freeways built today with the heavily reinforced concrete and <unk> columns required after the <unk> quake should withstand a <unk> temblor of N to N on the richter scale
 reasons for the collapse of the nimitz freeway were <unk> yesterday
 but most structural engineers attributed the destruction to improper reinforcement of the columns that supported the <unk> and the fact that the ground beneath the highway is largely landfill and can become unstable or <unk> in a major quake
 the <unk> roadway designed in the <unk> and completed in N was supported by columns that apparently lacked the kind of steel reinforcement used in highways today
 while the <unk> did have long metal bars running <unk> through them for reinforcement they apparently lacked an adequate number of metal ties that run <unk> through the column said leo parker a structural engineer in los angeles
 caltrans today uses a <unk> of the design mr. parker describes with <unk> steel <unk> inside
 but in the case of the nimitz freeway the lack of such support caused the core of the columns to <unk> and buckle under the weight of the second deck <unk> <unk> who were lined up in <unk> <unk> traffic on the lower deck nearly N feet below
 officials of the state agency did n't have any immediate explanation why the reinforcement did n't hold up
 caltrans reinforced the highway in N as part of a $ N million statewide project using steel <unk> to tie the <unk> of the freeway to the columns and prevent the structure from <unk> in a quake
 caltrans spokesman jim <unk> in sacramento declined to identify the engineering firm that did the reinforcement work
 liability in the bridge and road <unk> will <unk> around whether government took reasonable care to build and maintain the structures says john <unk> a <unk> wash. personal-injury attorney who specializes in highway design and maintenance cases
 the firm brought in to strengthen the structure could be liable as well
 the results of the quake certainly raise questions about whether reasonable care was taken mr. <unk> says
 given the seismic history of the bay area it seems to me that a N earthquake is a foreseeable event
 caltrans ' mr. <unk> defended the agency 's work on the nimitz freeway
 the work was done properly he said
 basically we had a severe earthquake of significant <unk> and it was just something the structure could n't withstand
 ironically caltrans this year began working on a second round of seismic <unk> of freeways around the state this time <unk> freeway columns in steel <unk> to reinforce them
 but only bridges supported with single rows of columns were top priority and the nimitz freeway supported by double rows was left out mr. <unk> explained
 the reason is that the technology is such that we 're not able to <unk> <unk> structures he said
 charles <unk> in san francisco and john r. <unk> in los angeles contributed to this article
 lionel corp. 's board unanimously rejected a tender offer of $ N a share or $ N million for as much as N N of lionel by a group with a N N stake in the toy retailer
 lionel also urged holders of its stock and debt not to tender their securities saying it wants to remain independent to pursue its business strategy
 lionel also said the offer by robert i. <unk> limited partnership is inadequate and full of conditions that leave it subject to substantial uncertainty
 in addition lionel began a lawsuit in federal district court in new york seeking to <unk> the offer alleging among other things violations of federal securities law and fraudulent manipulation of the market for lionel 's securities
 robert i. <unk> general partner of the investment group said the lionel response reflected management 's entrenched position saying officials had failed to come up with a better alternative to his group 's offer
 mr. <unk> said he would respond to lionel 's suit after his lawyers review it
 efforts by a federal mediator to <unk> talks between boeing co. and the machinists union apparently failed and no further meetings are scheduled
 company officials and union representatives did n't meet face to face but the mediator <unk> between the two groups
 in a statement issued after the meeting the aerospace giant said it wo n't increase its offer although adjustments within the proposed <unk> mix are possible
 machinists already have rejected a proposal that called for a N N pay increase and N N bonus in the first year
 in the second year workers would receive a N N wage boost and a N N bonus followed by a N N increase without a bonus in the third year
 the company will not <unk> on anything said a spokesman for the union
 as the strike enters its <unk> day today some members are getting nervous the spokesman conceded but the majority of the N machinists are prepared to wait it out as long as it takes
 united merchants & manufacturers inc. said its president <unk> <unk> withdrew his proposal to acquire control of the new york textile and clothing company
 last month mr. <unk> proposed among other things to buy N million shares or N N for $ N apiece
 coupled with his current N million shares and N N held by an associate the stake would have given him control of N N of the concern
 in a securities and exchange commission filing mr. <unk> had said that holders of the other N N of united merchants would receive one-half share of a new preferred stock for each of their shares
 a special committee of united merchants directors said that in view of uncertainties regarding various legal and financial considerations it could n't recommend the plan to the full board
 the company is exploring with a major financial institution the development of a plan to boost the value of the company for its holders mr. <unk> said
 in a separate sec filing albert safer who holds N N of united merchants said he retained investment bank lazard <unk> & co. for advice as he <unk> the possibility of making a bid for the textile maker
 on friday mr. safer a newark n.j. textile businessman signed a <unk> agreement under which united merchants would provide him with <unk> information
 the white house is making sure nobody will accuse it of taking this crisis <unk>
 in the aftermath of the california earthquake president bush and his aides flew into a <unk> of earthquake-related activity yesterday morning
 some of it was necessary to get federal help flowing to victims but some seemed designed mostly to project an image of a white house in action
 mr. bush and his aides were accused of responding too slowly after the exxon <unk> oil tanker split open in alaskan waters and hurricane hugo struck the carolina coast and they clearly do n't want a repeat of those charges now
 so the white house announced that mr. bush got his first earthquake briefing of the day at N a.m. from chief of staff john <unk>
 by noon mr. bush had taken two phone calls from vice president dan quayle who was in california made a televised statement of concern signed a disaster <unk> received a written report from the federal emergency management agency and visited fema headquarters
 mr. bush himself essentially acknowledged that he and his aides were trying to head off criticism
 on his fema visit mr. bush said that he hoped there would be less <unk> about the emergency office 's performance this time adding that the agency took a hit for its reaction to hurricane hugo
 the white house already is talking of mr. bush visiting the california earthquake site this weekend
 he visited the hugo devastation but not until after local leaders urged him to do so
 <unk> plc a major british building materials and construction concern reported a N N jump in pretax profit for its latest financial year helped largely by contributions from its u.s. unit <unk> co
 pretax profit for the year to june N rose to # N million $ N million from # N million $ N million broadly matching analysts ' expectations
 profit after taxes and minority interests but before extraordinary items increased N N to # N million from # N million a year earlier while fully diluted earnings per share rose to N pence N cents from N pence N cents
 the <unk> <unk> that <unk> the san francisco bay area rated a N on the richter scale did n't match the great earthquake of N rated at N
 the difference of just N points on the scale designed by charles richter of <unk> in the 1930s means the older quake was N to N times stronger says lane johnson director of the university of california berkeley <unk> station
 the ground <unk> along a <unk> stretch of the san andreas fault on tuesday mr. johnson added
 in N the <unk> was N miles long and a couple feet wide
 though the epicenter of tuesday 's temblor was located N miles north of the town of santa cruz and N miles south of san francisco its havoc <unk> up the coast in seemingly random fashion
 but the greatest damage was visited on buildings and roadways <unk> upon landfill as were the marina district of san francisco and the bay bridge two areas of maximum devastation
 landfill loose and unconsolidated earth may feel like rock but it <unk> like liquid when you shake it said douglas <unk> professor of <unk> at san francisco state university in a televised interview
 it <unk> in a <unk> <unk> pattern
 our quake behaved much like the mexico city earthquake where great damage was miles from the epicenter
 mr. johnson of the berkeley <unk> station said landfill can be done if it 's properly <unk>
 you can drive <unk> on it and build on it
 he cited the example of san francisco 's financial district where many new glass towers survived almost <unk>
 but the public policy issues raised by earthquake damage will be difficult to address mr. johnson predicted
 the attention span of the public is short he said
 we 've known for years and years we 've got lots of old <unk> <unk> brick and <unk> buildings
 one old building the golden state bank building on front street had its yellow brick <unk> <unk> off by the shock of the quake leaving a wedge of its third floor open to the air while <unk> of dusty bricks tumbled to the street below narrowly missing <unk> <unk> and cars
 reinforcing such old building stock mr. johnson said comes down to money
 it 's a danger
 we know it 's there
 and sooner or later we have to do something about it
 the urgency is heightened because this week 's earthquake while major and followed by hundreds of aftershocks did n't release enough <unk> energy tension along the <unk> to preclude more and bigger <unk> soon
 the big one is still due mr. johnson predicted in an interview
 the bay area has three very dangerous <unk> the san andreas the <unk> fault and the <unk> fault
 it tuesday 's quake has n't solved our problem
 in california this is the reality
 coca-cola co. may be about to intensify the <unk> wars
 coke said it will test market a caffeine-free version of its flagship brand coca-cola classic beginning next week in charlotte n.c
 other as yet <unk> cities will follow
 if all goes well the product will be rolled out for national sales sometime next year a coke spokesman said
 after the confusion surrounding the change of the coke formula in N coca-cola was reluctant to clutter the classic name with a brand extension
 but now the soft-drink giant appears willing to take the risk
 the name classic coke has tremendous value and they have n't <unk> that name before says <unk> <unk> publisher of the trade journal beverage digest
 the coke spokesman said a caffeine-free classic should help increase volume of the original brand
 indeed analysts have said that the absence of new products among other factors has limited sales growth throughout the industry
 coke now leads pepsi in market share in caffeine-free diet <unk> but trails pepsi in sales of caffeine-free <unk> <unk> according to beverage digest
 coke introduced a caffeine-free <unk> <unk> based on its original formula in N
 it switched to a caffeine-free formula using its new coke in N
 coke has been studying the possibility of introducing a caffeine-free classic for a year a company spokesman said
 he said large increases in sales of other <unk> soft drinks make the timing right now
 california struggled with the aftermath of a bay area earthquake
 as aftershocks shook the san francisco bay area <unk> searched through rubble for <unk> of tuesday 's temblor and residents picked their way through <unk> streets
 in oakland hopes faded for finding any more <unk> within the concrete and steel from the collapse of an interstate highway
 at least N people were reported killed and N injured in the <unk> tremor that caused billions of dollars of damage along N miles of the san andreas fault
 bush declared the region a major disaster area and the military was <unk> to prevent <unk>
 the baseball commissioner said the third game of the world series between the giants and the athletics would be played tuesday in candlestick park
 honecker was ousted as leader of east germany amid growing unrest
 the <unk> official who <unk> the building of the berlin wall was removed during a meeting of the <unk> communist party central committee in east berlin
 honecker who was reported ill following <unk> surgery in august said he was resigning for health reasons
 he was succeeded by <unk> chief egon krenz N a <unk> who quickly ruled out any sharing of power with pro-democracy groups
 honecker 's departure came after weeks of street protests and an exodus to the west of east germans who had become <unk> with his rule
 hungary adopted constitutional changes to form a democratic system
 at a nationally televised legislative session in <unk> the parliament <unk> approved changes formally ending <unk> domination in the country <unk> free elections by next summer and establishing the office of state president to replace a <unk> council
 the country was renamed the republic of hungary
 like other soviet bloc nations it had been known as a people 's republic since
 the voting for new laws followed <unk> of hungary 's communist party this month and its replacement by a western-style socialist party
 the space shuttle atlantis <unk> into <unk> from <unk> <unk> fla. and its crew of five <unk> launched the <unk> galileo space probe on a flight to the planet jupiter
 the $ N billion robot spacecraft 's <unk> mission is to take six years
 the shuttle is slated to return monday to california
 south korea 's president roh addressed a joint house-senate meeting and urged patience over u.s. demands for the opening of seoul 's markets to more american goods saying trade issues would be resolved to mutual satisfaction
 he also said <unk> results could follow any hint of weakening of the u.s. defense commitment to seoul
 the census bureau reported that N N of the u.s. population or N million people were living in poverty in N
 last year 's figure was down from N N in N and marked the fifth consecutive annual decline in the poverty rate
 per capita income rose N N to $ N but median family income fell N N
 the bush administration accused israeli prime minister shamir of <unk> peace efforts in the mideast with <unk> and disappointing statements
 shamir said tuesday that he was prepared to risk a policy conflict with the u.s. over an egyptian plan to hold direct <unk> talks which the premier 's <unk> bloc opposes
 cuba was elected to the u.n. security council for the first time since its <unk> revolution N years ago
 the election was by secret ballot in the general assembly
 the u.s. did n't openly oppose cuba 's <unk> as the latin american council delegate
 britain 's prime minister thatcher told a commonwealth summit in kuala lumpur malaysia that sanctions against south africa were utterly irresponsible officials said
 but other nations at the opening of the <unk> meeting of britain and its former <unk> pressed for continued or stronger <unk> in an effort to end apartheid
 arab officials in saudi arabia said <unk> talks by <unk> lawmakers aimed at ending lebanon 's civil war appeared about to collapse
 christian legislators are insisting on a syrian troop pullout from lebanon before agreeing to political changes giving the nation 's <unk> a greater role in <unk> 's government
 colombia 's judges launched a <unk> strike to press security demands following tuesday 's murder of a high court justice in <unk>
 the country 's narcotics traffickers claimed responsibility for the <unk>
 most of the country 's N judges and judicial employees joined the work <unk>
 charles s. mitchell a vice president with <unk> development co. the real estate development subsidiary of sears roebuck & co. was named president of <unk> properties a real estate development unit
 he succeeds william <unk> who resigned earlier this year
 also richard a. <unk> a former marketing executive with <unk> corp. was appointed president of continental container systems a producer of can closing machinery that <unk> acquired late last year
 <unk> is a fire protection electronics and industrial products concern
 dow chemical co. said third-quarter net income slipped N N from a record year-ago quarter
 the decline broke a streak of N quarters in which dow posted earnings increases
 dow 's third-quarter net fell to $ N million or $ N a share from $ N million or $ N a share a year ago
 sales in the latest quarter rose N N to $ N billion from $ N billion a year earlier
 dow closed at $ N a share up N cents in new york stock exchange composite trading
 a spokeswoman said dow is comfortable with wall street expectations that full-year earnings will total about $ N a share compared with last year 's record net of $ N billion or $ N a share
 but that signal on full-year profit <unk> doubt on whether dow will improve on its year-ago fourth-quarter net of $ N a share or $ N million
 dow would earn $ N a share for the year if it <unk> that year-ago fourth-quarter performance
 dow officials were <unk> that the company would earn less than $ N a share this year even before they announced in july a plan to acquire N N of <unk> laboratories inc
 that acquisition could further <unk> earnings per share this year the company spokeswoman said
 dow has n't said exactly what impact the <unk> acquisition will have on N earnings
 dow blamed the third-quarter earnings drop on several factors including softer prices for polyethylene and other basic chemicals a slower u.s. economy and a stronger dollar which made dow 's exports from the u.s. more expensive to overseas customers
 another problem was a N N increase in operating costs at a time when revenue was rising by only N N
 for the first nine months of the year dow earned $ N billion or $ N a share up N N from $ N billion or $ N a share a year ago
 sales for the latest nine months rose N N to $ N billion from $ N billion in the year-ago period
 whether or not great cases make <unk> as justice holmes asserted who can doubt that when great confirmation hearings turn on the <unk> 's response to these great cases they make bad judicial history
 <unk> bronner 's battle for justice how the bork nomination shook america norton N pages $ N is a <unk> <unk> of the <unk> of these hearings done with <unk> <unk> but with a flawed legal philosophy
 while the book <unk> justifies its <unk> the title itself is dubious
 what shook america was not a battle for justice but for naked power in which an army of judicial activists rolled over a judge they had <unk>
 in its basic structure and style the book is <unk> with <unk> character portrayal <unk> action and <unk> <unk> of the sort more likely to be encountered in a washington <unk> than in a constitutional history
 mr. bronner seems to believe that the hearings could have gone either way
 i doubt that
 given democratic frustration with the reagan victories and court appointments the <unk> plans in place and mr. bork 's paper trail of vulnerable <unk> it was pretty clear that judge bork never stood much chance of being confirmed
 as mr. bronner himself says the <unk> of raw meat was in the air
 perhaps because they won mr. bork 's <unk> come through more <unk> than his defenders
 ralph <unk> was the organizing <unk> <unk> a conglomerate of pressure groups into an <unk> attacking force
 harvard 's laurence tribe was the constitutional heavy laying out legal strategies for the senators and witnesses to follow
 but it was ted kennedy who scored most effectively with his <unk> portrayal of robert bork 's america the parade of <unk> <unk> that would follow <unk> he claimed from the positions mr. bork had taken over the space of two decades
 sen. kennedy never mind his dubious credentials for the moral high ground <unk> <unk>
 i add two others
 republican sen. <unk> specter of pennsylvania engaged the <unk> in a <unk> contest aimed at showing that mr. bork was willing to stretch the constitution in one area free speech while remaining rigid in all the others
 it achieved a good media play and enabled sen. specter and others to vote against mr. bork out of <unk>
 further <unk> came from left legal <unk> ronald <unk> who in the new york review of books painted a picture of a constitutional <unk> <unk> reading his personal <unk> into the constitution particularly in the area of original intent
 the charge of being outside the mainstream of legal thought <unk> undercut mr. bork 's <unk> standing leaving him bleeding on the platform
 the nomination still might have been <unk> if a number of democratic <unk> in the south and southwest had broken party lines
 but democratic sen. bennett johnson of louisiana reminded the little band that <unk> blacks and women could <unk> the margin to punish them in their next senate elections
 <unk> <unk> with mainstream and <unk> to seal robert bork 's fate
 the <unk>
 mr. bork 's opponents chose the <unk> held it and kept it
 yet with the smooth confirmation of anthony kennedy an N <unk> only slightly less supportive of judicial restraint than mr. bork the democrats may have won the battle but lost the war
 another <unk> however was the <unk> message the bork hearings sent into the judicial culture from which the supreme court draws its talent
 the word went forth to every law school that those with federal court ambitions must travel a safe constitutional <unk> with no paper trail and no <unk> to their <unk> or <unk>
 unfortunately the author simply does n't supply the <unk> frame to sustain his <unk> <unk>
 he has too readily <unk> the case for the activist law school culture
 probing more deeply into the doctrine of judicial restraint he would have found a long history going back to the great decisions of justice holmes
 he would discover it also in alexander <unk> a <unk> constitutional scholar mr. bork 's <unk> friend at yale whose influence on the judge goes well beyond mr. bronner 's reporting
 still the long view of robert bork as constitutional <unk> must be a <unk> one
 his strength lies in his <unk> doctrine which keeps the court clear of <unk> group pressures and leaves most decisions in a democracy to elected legislatures and executives
 unfortunately mr. bork failed to <unk> between such pressures and the emergence of great issues critical to a society that must be settled <unk> if it is to <unk>
 the question of <unk> schools in brown vs. board of education was such an issue
 in our time abortion has become another best left to a line of supreme court decisions rather than to the chaos of N state legislatures
 a <unk> and growing consensus of americans clearly wishes to apply the right to privacy in contraceptive matters decided in the <unk> case to abortion as well
 one can understand mr. bork 's fear that the new right to privacy will become <unk> stretched though a supreme court composed of men and women with <unk> <unk> and a sense of limits should be able to manage it
 what is certain is that if americans allow another happening like the <unk> bork confirmation circus it will be at their <unk>
 mr. <unk> is a writer and <unk> living in new york
 sotheby 's inc. the world 's biggest auction house is taking a huge wall <unk> risk on the outcome of the sale of art from the estate of john t. dorrance jr. the campbell soup co. heir
 the financial services division has guaranteed the dorrance family that it will receive a minimum of $ N million for the collection regardless of what the bids for the art works total people close to the transaction say
 the collection which includes two early <unk> a van <unk> a <unk> other paintings furniture and <unk> went on sale last night in the first of six auctions
 what sotheby 's is doing closely resembles an underwriting by an investment bank
 a corporation that wants to sell stock or bonds goes to a wall street firm which purchases the securities outright accepting the financial risk of finding buyers
 if the investment bank can sell the securities at a higher price than it paid the issuer it makes a profit
 at the initial sale last night for example the sale featuring the <unk> masters bids totaled $ N million
 that was slightly above sotheby 's <unk> estimate of $ N million
 normally sotheby 's would have earned N N of the total in commissions
 instead people familiar with the transaction said the auction house opted to <unk> that percentage in order to obtain the collection and in exchange for taking a bigger chunk of proceeds exceeding $ N million
 art dealers say that while auction houses occasionally guarantee the seller of a highly desirable work of art a minimum price a financial commitment of this size is unprecedented
 <unk> d. brooks president of sotheby 's north america division <unk> denies it offered the dorrance <unk> a <unk> guarantee calling such reports inaccurate
 buried in the glossy <unk> catalog for the sale however appears the statement sotheby 's has an interest in the property in this catalog
 explains a sotheby 's spokeswoman the statement means exactly what it says
 we have some level of financial interest in the collection
 we do n't disclose <unk>
 frank <unk> a lawyer for the dorrance estate with the philadelphia law firm of morgan lewis & <unk> declines to comment on the financial arrangements
 sotheby 's made the $ N million guarantee to keep the dorrance collection away from its archrival auction house christie 's international plc christie 's has handled smaller sales for the dorrance family over the years
 when christie 's officials asked why the firm was n't picked to sell the dorrance collection representatives of the dorrance family told us it was a question of financial considerations said michael <unk> christie 's head of <unk> and modern paintings
 collectors who have made their money on wall street have become an increasingly important part of the art business and their money has helped fuel the art boom but recently it appears sotheby 's has been returning the <unk>
 in november N sotheby 's essentially offered a wall <unk> bridge loan of about $ N million to australian businessman alan bond to enable him to purchase vincent van <unk> 's <unk> for $ N million
 it was the highest bid in history for a work of art
 but two weeks ago sotheby 's said that it has the painting under lock and key because the loan had not been fully repaid
 sotheby 's is offering such deals because it 's an art sellers ' market at least where the best works are concerned says ralph <unk> an attorney and author of the book art law
 there seems to be a lot of art for sale but there 's more competition
 the competition gives the seller the ability to cut a better deal he says
 the dorrance family will still receive a substantial portion of the auction proceeds above $ N million people familiar with the transaction said
 but it 's likely that sotheby 's will take a higher than usual commission called an override on the amount exceeding the guarantee
 sotheby 's has been aggressively promoting the dorrance sale
 at a news conference last may announcing plans for the auction sotheby 's estimated its value in excess of $ N million
 more recently sotheby 's has predicted the collection will fetch $ N million
 that 's the highest estimate for a single collection in auction history
 the decision to put the entire collection on the block stunned many since mr. dorrance had served as chairman of the philadelphia museum of art and it had been assumed many of the works would be donated to the institution
 at last night 's sale N of N works that sold were purchased by <unk> international gallery the <unk> unit of aichi financial a japanese conglomerate that owns N N of christie 's
 meanwhile sotheby 's guarantee is raising <unk> in the art world
 the consumer has to throw out the idea that the auction house is a <unk> <unk> says new york art dealer david <unk>
 while he adds that he has no problem with auction houses who sell works in which they have a financial interest it ought not to be hidden in some small print
 in such situations he says the house is going to put the best light on things
 for example an auction house 's comments on the condition of a work of art that is up for sale should be looked at with very open eyes he says
 there 's more and more of this <unk> going on at every level says bruce miller president of art funding corp. an art lender
 dealers and auction houses know if they do n't lay out a half a million for this another one will it 's that competitive
 in january two small new york <unk> the <unk> <unk> gallery and <unk> fine arts <unk> a major art collection owned by the <unk> family away from rival <unk> bidders with an <unk> payment of about $ N million
 a christie 's spokeswoman said that while the auction house sometimes <unk> its seller 's commission to attract art works it still gets a commission from the buyer christie 's wo n't offer financial guarantees because christie 's believes its primary role is as an auction house and therefore as an agent for buyer and seller not as a bank
 egon krenz the man tapped yesterday to become east germany 's new leader faces the same task that has fallen to neighboring socialist colleagues <unk> a country in crisis
 but unlike the other new leaders in the east bloc mr. krenz will face an immediate threat to his nation 's very existence german reunification
 mr. krenz age N is known as an <unk> <unk> one likely to continue the method of running a country that the berlin wall made famous
 even if he were to change his <unk> and become another milton <unk> however he would still stand a good chance of losing a country
 mr. krenz almost certainly will be a younger version of erich honecker his rigid predecessor as dictator
 mr. krenz has followed much the same career path as mr. honecker both spent years overseeing the <unk> deutsche <unk> the youth group that is the communist regime 's principal tool for <unk> young germans into socialist citizens
 more recently mr. krenz has been in charge of east german security and is the youngest member of the ruling politburo
 faced with another mr. honecker so many <unk> east germans are likely to <unk> that the two german peoples will get their reunification de <unk> on west german ground
 but if east germany 's <unk> politburo does loosen up enough to permit mr. krenz to make serious efforts at reform he will face a challenge just as fundamental
 abandoning socialism means abandoning the east german state 's reason for existence and with it the <unk> for its <unk> and its wall
 in this scenario it 's hard to imagine that a pale <unk> of the federal republic could avoid being pulled into some kind of tie economic federal or stronger with west germany
 mr. krenz may need a bit of time to consolidate his empire which would do a lot to promote reunification scenario one
 <unk> in west germany have already <unk> the exodus by <unk> an <unk> placed by mr. honecker wanted one people
 the west german <unk> in <unk> <unk> and warsaw are continuing to find refugees at their gates
 of course east germany true to its tradition could tighten its borders yet further
 two of the last gestures of the honecker regime were to close the border to czechoslovakia and install <unk> lights in some spots along the <unk>
 but with world-wide opinion even apparently in moscow against east germany the country would have to turn itself into an <unk> to <unk> down further on refugees
 there have been some reports that mr. krenz is moving to soften his reputation notably rumors that it was he who kept east germany 's state police off protesters ' backs at the country 's dismal <unk> anniversary <unk> earlier this month
 but even if he effects a <unk> <unk> he will face a serious ideological crisis and reunification scenario two
 the problem is one that east germany shares with other <unk> such as north korea but one it must shoulder alone in the east bloc
 when poland moves to reform it can at least lean on its past however flawed and short-lived joseph <unk> 's <unk> republic it was a <unk> democracy
 <unk> reformers can recall the <unk> <unk> of the same period in their country
 even the soviet union has peter the great to <unk> should it choose to
 but east germany is merely the land of truly existing socialism
 beyond that it has to compete with west germany for a claim to the german identity
 up to now the main weapon of the worker and peasant state has been the <unk> of socialism
 with talk today of a second economic <unk> in west germany east germany no longer can content itself with being the economic star in a loser league
 without moscow 's military and party behind it east germany runs the risk of <unk>
 if it goes capitalist and increases trade with west germany it will convert itself <unk> into an economic <unk> of the federal republic
 there 's a certain <unk> logic at work here it 's particularly appropriate and <unk> that the land that produced <unk> <unk> should prove socialism 's failure in an experiment that uses its own people as controls
 there may be forces that would delay this scenario
 <unk> are the last to surrender and germans are an ideological people
 the protesters who greeted mikhail gorbachev at east berlin 's airport earlier this month were n't shouting go u.s.a they were <unk> <unk> help us
 <unk> on the other side of the border can also slow the process
 helmut kohl 's governing conservative coalition is proving <unk> true to the west german constitution by making more than N people of german <unk> automatic citizens this year alone
 but within the government and in the think tanks outside it many west germans maintain that they do n't want immediate reunification
 politically this currently is wisdom particularly given a nervous neighboring france
 but it would be ironic if germany 's reunification just like its division eventually were the result of actions in centers of power other than bonn and berlin
 in a statement that was as close as east germany gets to practicing glasnost <unk> <unk> an east german party <unk> actually acknowledged the reunification dilemma
 the main problem mr. <unk> said in an east german radio interview monitored by radio free europe in <unk> stems from the fact that the <unk> is different from other east european states
 what kind of right to exist he asked would a capitalist german democratic republic have alongside a capitalist federal republic
 that 's a question east germany ca n't answer easily no matter what its new leader does
 miss <unk> is editorial features editor of the wall street <unk>
 insurers are facing billions of dollars in damage claims from the california quake
 but most businesses in the bay area including silicon valley were n't greatly affected
 computer and software companies in the region are expecting virtually no long-term disruption in shipments
 also investors quickly singled out stocks of companies expected to profit or suffer from the disaster
 leveraged buy-outs may be <unk> by two rules in pending congressional legislation
 the provisions in deficit-reduction bills recently passed by the house and senate could raise the price <unk> of such deals by up to N N and cool the takeover boom
 a bill giving the transportation department the power to block airline leveraged buy-outs cleared a house panel
 but secretary skinner said he would urge bush to veto the bill
 housing starts sank N N in september to a seven-year low
 the drop following a N N decline in august indicates the industry is still being hurt by the fed 's <unk> battle
 ibm plans to buy back $ N billion of its common shares a move likely to help the computer giant 's battered stock
 the buy-back which was n't a complete surprise was announced after the stock market had closed
 a capital-gains tax cut plan has been worked out by senate republicans
 a similar proposal may be introduced soon by senate democrats
 british airways said it is seeking improved terms and a sharply lower price in any revised bid for united air 's parent
 the british carrier also confirmed it is n't committed to going forward with any new bid
 ual 's stock fell $ N to $ N
 stock prices rose slightly as trading slowed while bonds ended little changed despite a <unk> dollar
 the dow jones industrials gained N to N
 but investors remain wary about stocks partly because of turmoil in the junk-bond market
 b.a.t industries may delay part of its defensive restructuring plan including the sale of its saks fifth avenue and marshall field units
 the british conglomerate cited the recent turmoil in financial markets
 wcrs group announced a major restructuring that largely <unk> it from the advertising business
 the london-based concern will sell most of its ad unit to france 's eurocom
 commodore international expects to post its second consecutive quarterly loss because of weak personal computer sales in some markets
 jaguar hopes to reach a friendly accord with general motors within a month that may involve producing a cheaper executive model
 sears is negotiating to <unk> its sears tower for close to $ N million sources said
 the retailer was unable to find a buyer for the building
 whitbread of britain put its spirits division up for sale setting off a scramble among <unk>
 the business includes beefeater gin
 markets
 stocks volume N shares
 dow jones industrials N up N transportation N off N utilities N off N
 bonds shearson lehman hutton treasury index N off
 commodities dow jones futures index N up N spot index N up N
 dollar N yen off N N marks off N
 the dollar finished softer yesterday <unk> lower by continued concern about the stock market
 we 're trading with a very wary eye on wall street said <unk> <unk> chief corporate trader at harris trust & savings bank in new york
 no one is willing to place a firm bet that the stock market wo n't take another tumultuous ride
 news of the major earthquake in california tuesday triggered a round of dollar sales in early asian trade but most foreign-exchange dealers said they expect the impact of the quake on financial markets to be short-lived
 despite the dollar 's lackluster performance some foreign-exchange traders maintain that the u.s. unit remains relatively well bid
 harris trust 's mr. <unk> noted that the unit continues to show resilience in the face of a <unk> of headline <unk> in recent weeks including rate increases in europe and japan aggressive central bank intervention a 190-point plunge in new york stock prices an unexpectedly poor u.s. trade report and action by the federal reserve to <unk> u.s. rates lower
 while mr. <unk> does n't predict a significant climb for the u.s. unit in light of recent moves in interest rates around the world he noted that its downside potential is surprisingly and for dollar bulls <unk> limited
 in late new york trading yesterday the dollar was quoted at N marks down from N marks late tuesday and at N yen down from N yen late tuesday
 sterling was quoted at $ N up from $ N late tuesday
 in tokyo thursday the u.s. currency opened for trading at N yen down from wednesday 's tokyo close of N yen
 since friday 's dive in stock market prices the fed has <unk> reserves into the banking system in an effort to calm the markets and <unk> a repeat of N 's stock market debacle
 some analysts note that after last week 's stock market tailspin and tuesday 's california earthquake it 's hard to gauge where the central bank wants the key federal funds rate
 they say that the earthquake by preventing many banks from operating at full capacity has given the fed an additional reason to keep liquidity at a high level
 the fed did in fact execute $ N billion of <unk> customer repurchase agreements the third set of repurchase orders in three days
 analysts said the additional liquidity should tend to reduce the federal funds rate
 for now traders say the foreign exchange market is <unk> both federal funds and events on wall street
 they note that the dollar remains extremely vulnerable to the <unk> bad news from the stock exchange
 indeed the u.s. unit edged lower as the dow jones industrial average dropped about N points in early trading
 a slight recovery in the stock market gave currency traders confidence to push the dollar higher before the unit dropped back by day 's end
 some dealers noted that nervousness over the recent sharp dive in stock prices could intensify following suggestions by bank of japan governor <unk> <unk> that appeared to advise japanese investors to be very careful in investing in u.s. leveraged buy-outs
 dealers suggest that the only positive news on the horizon that could <unk> attention from equities transactions is september 's u.s. consumer price data
 the figures due for release friday are expected to show an uptick in inflation to N N from N N in august
 if the figures show a hefty rise in inflation they could <unk> against easing by the fed
 on the commodity exchange in new york gold for current delivery rose $ N to $ N an ounce in moderate trading
 estimated volume was three million ounces
 in early trading in hong kong thursday gold was at $ N an ounce
 crude prices <unk> upward in brisk trading on the assumption that heavy earthquake damage occurred to san francisco area refinery <unk> but the rise quickly <unk> when it became apparent that oil operations were n't severely curtailed
 trading on little specific information market players overnight in tokyo began bidding up oil prices
 the rally spread into european markets where traders were still betting that the earthquake disrupted the san francisco area 's large oil refining plants
 by yesterday morning much of the world was still unable to reach san francisco by telephone
 west texas intermediate was bid up more than N cents a barrel in many overseas markets
 at the opening of the new york mercantile exchange west texas intermediate for november delivery shot up N cents a barrel to $ N still on the belief that the refineries were damaged
 in the san francisco area roughly N barrels a day of crude about a third of all the refining capacity in california is processed daily according to industry data
 for more than the past year even the rumor of a major west coast refinery shutdown has been enough to spark a futures rally because the gasoline market is so tight
 but yesterday as the morning wore on some major west coast refinery operators including chevron corp. exxon corp. and the shell oil co. unit of royal <unk> group said their refineries were n't damaged and were continuing to operate normally
 most said they shut down their petroleum pipeline operations as a <unk> but did n't see any immediate damage
 gasoline terminals were also largely <unk> they said
 it 's hard to imagine how the markets were <unk> given that nobody could get through to san francisco said one <unk> oil company executive
 as the news spread that the refineries were intact crude prices plunged ending the day at $ N a barrel down N cents
 gasoline for november delivery was off N cents a <unk> to N cents
 heating oil finished at N cents down N cent
 the market was basically acting on two <unk> forces said <unk> <unk> of shearson lehman hutton inc
 one is the panic the earthquake in san francisco which is positive
 but once that factor was eliminated traders took profits and focused on crude oil inventories mr. <unk> said
 after the market closed tuesday the american petroleum institute had reported that crude stocks increased by N million barrels in the week ended friday which traders viewed as bearish
 but some market players still think earthquake speculation could have more impact on the oil markets
 the problem is that while on the surface everything is all right the question is said mr. <unk> was there any structural damage to the pipelines or anything else
 in other commodity markets yesterday
 copper
 futures prices eased on indications of improvement in the industry 's labor situation
 the december contract declined N cents a pound to $ N
 according to one analyst workers at the cananea copper mine in mexico which has n't been operating since it was declared bankrupt by the mexican government in late august are set to return to work
 the analyst said it will take about two to three months before the mine begins to produce copper in significant quantities
 he added that while there has n't been any official announcement as yet the highland valley mine strike in british columbia which has lasted more than three months is regarded as settled
 another analyst said the cananea return to operation may not be as near as some expect
 there are still negotiations taking place on whether there will be a loss of jobs which has been a critical issue all along he said
 nevertheless the increasing likelihood that these two major supply disruptions will be resolved weighed on the market the analysts agreed
 both of these mines are normally major suppliers of copper to japan which has been buying copper on the world market
 the first analyst said that the japanese as well as the chinese bought copper earlier in the week in london but that this purchasing has since <unk> as the supply situation at least over the long term appears to have improved
 the focus for some time has been on the copper supply and good demand has been taken for granted he said
 now that the supply situation seems to be improving it would be best for traders to switch their concentration to the demand side
 he noted the commerce department report yesterday that housing starts in september dropped N N from august to N million units on an annualized basis the lowest level in seven years
 along with these factors other economic reports suggest a slowing of the economy which could mean reduced copper usage he said
 sugar
 futures prices extended tuesday 's gains
 the march delivery ended with an advance of N cent a pound to N cents for a two-day gain of N cent
 according to one dealer japan said it has only N tons of sugar remaining to be shipped to it this year by cuba under current commitments
 the announcement was made because of reports tuesday that cuba would delay shipments to japan scheduled for later this year into early next year
 the dealer said the quantity mentioned in the japanese announcement is so small that it 's <unk>
 one analyst said he thought the market continued to be supported to some degree by a delay in the cuban sugar harvest caused by adverse weather
 the dealer said india might be the real factor that is keeping futures prices firm
 that country recently bought N tons of sugar and had been expected to seek a like quantity last week but did n't
 it 's known they need the sugar and the expectation that they will come in is apparently giving the market its principal support the dealer said
 livestock and <unk>
 the agriculture department is expected to announce tomorrow that the number of cattle in the N major ranch states slipped N N to N million on oct. N compared with the level a year earlier said tom morgan president of sterling research corp. <unk> heights ill
 cattle prices have risen in recent weeks on speculation that the government 's quarterly report will signal tighter supplies of beef
 among other things the government is expected to report that the number of young cattle placed on feedlots during the quarter slipped N N
 feedlots <unk> cattle for <unk> so a drop indicates that the production of beef will dip this winter
 indeed some analysts expect the government to report that the movement of young cattle onto feedlots in the month of september in seven big ranch states dropped N N compared with the level for september N
 the following issues were recently filed with the securities and exchange commission
 health care property investors inc. offering of N shares of common stock via merrill lynch capital markets alex brown & sons inc. and dean witter reynolds inc
 union pacific corp. shelf offering of up to $ N million debt securities and warrants
 united technologies corp. shelf offering of up to $ N million <unk> <unk> unsecured debt securities
 a new drug to prevent the rejection of <unk> <unk> has been successfully used on more than N patients at the university of pittsburgh according to researchers
 the drug which is still in the experimental phase has n't been approved yet by the food and drug <unk> and its long-term effects are unknown
 but researchers say the drug called fk-506 could <unk> the <unk> field by reducing harmful side effects and by lowering rejection rates
 rejection has been the major obstacle in the approximately N <unk> transplants performed world-wide each year
 researchers began using the drug in february on patients who had received kidney <unk> heart and <unk> transplants
 only two of N transplants have been rejected
 the drug discovered in N is <unk> from soil <unk> found in japan
 the pittsburgh patients are the first humans to be given the drug which is made by fujisawa pharmaceutical co
 we 're shocked by it because it 's worked so fast said dr. thomas e. <unk> director of the university of pittsburgh <unk> program at a news conference here yesterday
 we consider it a <unk> drug like one for aids said dr. john <unk> an <unk> at the university of pittsburgh
 researchers say they believe fk-506 is N times more effective than the traditional <unk> drug <unk> made by swiss pharmaceutical giant <unk> ltd
 they are also encouraged by the relatively mild side effects of fk-506 compared with <unk> which can cause <unk> failure <unk> <unk> and other problems
 the side effects of <unk> have made the penalty for its success rather high dr. <unk> said
 dr. <unk> said that fk-506 would not be available in the market for at least a year and that the fda approval process usually takes three years to five years
 there are no firm plans to expand the experimental program beyond the university of pittsburgh whose hospital <unk> the most transplants in the world
 researchers could n't estimate the cost of the drug when it reaches the market but they said fk-506 will enable patients to cut hospital stays by N N and reduce the number of blood tests used to monitor the <unk> of <unk> and other drugs among transplant recipients
 dr. <unk> said the research has been largely financed by the national institute of health and by university funds and that fujisawa did n't give the hospital any grants
 he said that the research team had no financial stake in the drug
 we 've known for six months the effect of this drug and our advice to our people has been not to buy the company 's stock dr. <unk> said adding that <unk> from fk-506 would n't be ethical
 economist david n. laband 's sept. N editorial-page article in hugo 's path a <unk> disaster <unk> the control of price <unk> swiftly ordered by south carolina 's governor after hurricane hugo
 according to mr. laband <unk> for price controls occurs when income <unk> threatens to hit home
 to be sure the threat has hit home down here
 yet in mr. laband 's <unk> of free-market logic human greed and <unk> are the only permissible psychological reactions
 allowing <unk> prices for <unk> would indeed <unk> the lines at stores as he contends
 but not because resources are going to their most efficient use leaving scarce goods allocated to those buyers who place the highest value on them
 rather lines would <unk> because at higher prices many victims could not afford <unk> such as food and medical supplies
 it is <unk> to <unk> that a poor <unk> woman can not receive immediate relief for her family at fair prices because she does not have as much to protect as a rich family
 moreover essential relief supplies such as ice must be distributed throughout the population because of potential health problems from <unk> food and possible <unk> of disease
 such <unk> effects give the state a right to intervene in the marketplace and temporarily coordinate allocation of resources
 fortunately <unk> and charities are not motivated by <unk> but by <unk>
 why should they have to <unk> with <unk> rushing in to turn a quick profit
 these <unk> <unk> would be <unk> to take advantage of the situation if they ever expect to face the people of south carolina again
 the government is actually protecting <unk> <unk> and other <unk> who can not see beyond their own short-term gain
 south carolina deserves an a for its quick and timely relief efforts
 mr. laband meanwhile gets an a for his <unk> recital of <unk> arguments
 give him an f for his failure to understand the ethics of economic equity
 signed by N students
 of douglas <unk> 's <unk> economics class
 university of south carolina
 columbia s.c
 mr. laband gives us an idea why economists ' predictions are usually wrong
 they set up absurd situations <unk> from reality and then try to reason from them
 i 'm surprised he did n't advocate letting people <unk> since that behavior can also be <unk> in a disaster and every individual has an incentive to alter the distribution of income in his favor
 price controls were so <unk> embraced by charleston because price <unk> in this situation is equivalent to <unk>
 <unk> foster
 <unk> va
 mr. laband described one of the more <unk> threats we face when dealing with disasters such as hugo <unk> <unk> such as that by the charleston city council as it <unk> about trying to do something
 since he concentrated on the economic <unk> of such <unk> he did n't mention certain other of their effects
 they <unk> law-enforcement resources at a time they are most needed for protecting lives and property
 also rather than increase supplies they reduce them and encourage <unk>
 and they or even the prospect of them discourage disaster <unk> in the form of speculative advance <unk> of supplies by merchants
 n. joseph <unk>
 miami <unk> fla
 would mr. laband also suggest that the red cross <unk> army military units police fire departments rescue units and individual citizens cease their efforts to assist hugo 's victims because they interfere with his concept of the free market
 what about those <unk> people all over the country who are donating food water and other <unk> of life to these people who could be any of us
 should they too stop <unk> with his free market
 maybe he thinks they should also sell to the highest bidder
 and what about insurance firms
 should they be required to pay claims based on <unk> costs for labor and materials
 mr. laband should <unk> since he lives in south carolina
 in a free market his insurance rates can be raised to recover <unk> losses
 john w. rush
 <unk> <unk>
 having been through several <unk> and <unk> i have a different perspective
 mine comes from seeing thriving communities <unk> but only temporarily
 their recovery came surprisingly fast and always with the help of neighbors
 the shock of seeing homes destroyed and city services disrupted may cause some to <unk> priorities such as the true economic value of a <unk> full of meat
 in texas after hurricane <unk> major grocery chains used their truck fleets to ship essential goods to houston no <unk> just good will
 tom <unk>
 <unk> texas
 we here in the affected areas were <unk> by mr. laband 's analysis of time values and his comparisons of effectiveness concerning research and development
 his theoretical approach and its publication in this venerable paper are no doubt a <unk> <unk> for him
 too bad theory fails in practice
 we consumers tend to have long memories
 the businesses <unk> to mr. laband 's effective price system will be remembered when <unk> returns
 perhaps considering the value of our time we will be unable to <unk> their <unk> in the <unk> era
 i have a question for mr. laband how do i explain to the single mother of three standing in line next to me for the past three hours that the two bags of ice she needs to keep her children 's food <unk> will take her last $ N
 i 'm sure she 'll appreciate what an efficient reaction to her problems the price system has created
 chris edgar
 <unk> beach s.c
 this seems to be the season for <unk> in chicago
 though the cubs ' championship season ended with the national league playoffs a revival of the organic theater 's production of <unk> <unk> a play in nine <unk> set in the <unk> field <unk> continues within <unk> distance of the <unk>
 <unk> of a different sort also are being offered by our two major theater <unk> the goodman and steppenwolf
 each is more <unk> than an unexpected <unk> baseball championship but both help explain why chicago remains a vital center of this country 's regional theater movement
 the goodman is offering a <unk> version of <unk> 's the <unk> through nov. N
 the original is a comedy about <unk> a man who sees <unk> and <unk> in everyone except himself
 he is the <unk> friend of <unk> and the <unk> <unk> of <unk>
 the play is filled with <unk> dishonesty and <unk>
 <unk> years ago the <unk> richard wilbur <unk> this <unk> comedy merely by avoiding the <unk> sort of thing as he wrote in his introduction
 otherwise the scene remained <unk> 's house in N
 assuming modern audiences readily understand that <unk> 's social indictment covers their world as well as <unk> paris mr. wilbur concentrated his <unk> <unk> on <unk> the <unk> french <unk> into <unk> and theatrical english <unk> <unk>
 the wilbur translation is remarkable well worth a read and even better seen in the theater if you ever have the opportunity
 but if you happen to be coming to chicago in the next few weeks do n't fail to have a look at robert falls 's the <unk> at the goodman
 if mr. wilbur 's translation is a <unk> ground lens through which we see the <unk> and corruption of <unk> paris mr. falls 's production is a mirror in which we see ourselves
 mr. falls the goodman 's artistic director took a recent <unk> by neil bartlett and significantly adapted it
 mr. bartlett had <unk> <unk> 's cast of characters to six and set them in the london media world of <unk> britain
 mr. falls transfers the setting to hollywood and <unk> the characters into what passes for <unk> there agents producers actors writers and <unk>
 it works
 mr. bartlett managed to more or less maintain <unk> 's <unk> <unk> form N <unk> lines in <unk> <unk>
 mr. falls kept the form but <unk> it with mr. bartlett 's further help
 with a <unk> cast led by david <unk> as <unk> <unk> <unk> as <unk> and especially william brown as a <unk> who plays the hollywood game but harbors <unk> values and feelings the goodman production barrels through an <unk> hollywood party with <unk> and <unk>
 if this version with its <unk> to steven <unk> <unk> and <unk> attracts younger audiences who might stay away from the classical version then messrs. bartlett and falls are justified in abandoning mr. wilbur
 a <unk> play may be easier to revive than one merely N
 the steppenwolf theatre company back from a critical and box office success in london with its <unk> of <unk> 's the <unk> of <unk> opened the new season with harold <unk> 's the <unk> first produced by the royal shakespeare company in N
 back then mr. <unk> was not only the angry young british playwright but also the first to use <unk> and sentence <unk> and <unk> <unk> almost to the exclusion of what we previously understood to be theatrical dialogue
 when the <unk> was first produced on this side of the atlantic actors and directors were <unk>
 <unk> were lengthy nobody moved or <unk>
 nobody <unk> <unk> and nobody in the audience was encouraged to <unk>
 this kind of theater was new to us
 also it was not a funny time over here what with the vietnam war the <unk> democratic convention assassinations and <unk>
 but under jerry <unk> 's direction the current steppenwolf production scheduled to play through nov. N breaks through the flat and boring <unk> that the <unk> had become
 led by a <unk> performance by alan wilder as max the father the play is at once an <unk> and <unk> <unk> of a family 's rage <unk> fear and <unk>
 encouraged by mr. wilder 's <unk> <unk> embarrassed <unk> and <unk> <unk> the audience gets the joke and begins to <unk> before the end of the first act
 three of the family members max and his two sons <unk> and <unk> live off the <unk> max is a retired butcher <unk> a <unk> and <unk> an <unk> <unk>
 sam max 's brother has escaped the <unk> by working as a <unk> <unk> and never seeking a wife
 teddy the <unk> of max 's sons has made the most dramatic escape by becoming a professor of philosophy at an american university
 though it 's clearly max 's wife who held <unk> here until her death now none of the other male residents of this <unk> household can challenge max
 the play concerns teddy 's <unk> with his wife of six years ruth
 <unk> <unk> <unk> as teddy seems the only cast member unable to get beyond the <unk> approach to a <unk> character
 as ruth <unk> harris a large and beautiful woman who may be our next <unk> <unk> begins almost immediately to <unk> each of the men
 in the end teddy returns alone to america leaving ruth in max 's chair
 we have seen her develop within a few hours from a shy and unknown <unk> to a <unk> of the <unk> who will replace the dead mother and then some
 while steppenwolf was in london with the <unk> of <unk> bruce sagan the president of its board of directors quietly returned to chicago to buy a piece of real estate in the city 's rapidly <unk> north <unk> street restaurant and theater district
 within a year he hopes steppenwolf will move into a new <unk> theater on that site
 the <unk> currently <unk> in a converted dairy that seats N and provides little capacity for staging anything beyond a simple <unk> production
 if we wanted to stage death of a salesman mr. sagan says <unk> <unk> would have to live in a ranch house because of the low ceiling
 steppenwolf needs the extra seats even more than the fly space
 it 's currently forced to turn away many potential subscribers beyond the N who can be <unk> in its present digs
 for all the attention that chicago theater has received during the past decade not one new building has been devoted to it
 mr. sagan a former publisher and real estate developer has put together an $ N million financial package that includes approximately $ N million of tax exempt bonds issued by the state of illinois the first time that a state has used its educational facilities authority to support construction of a theater and approximately $ N million in grants from the national <unk> for the arts the <unk> foundation and a few other deep pockets
 the rest he is confident can be raised
 his board members alone have pledged $ N and he is just beginning to massage local foundations and corporations
 mr. sagan compares the importance of steppenwolf with <unk> <unk> 's mercury theater in the <unk>
 but <unk> 's theater company turned out to have a brief one might say a <unk> existence
 what will mr. sagan do with his new theater building if the <unk> of hollywood and broadway proves too much for such steppenwolf <unk> as john <unk> dangerous <unk> joan allen the <unk> <unk> and <unk> <unk> <unk> <unk> and the company <unk>
 that 's ok mr. sagan replies
 let this building be steppenwolf 's <unk> to chicago theater
 mr. <unk> is a chicago-based law firm management consultant and a writer
 after <unk> three days of heavy selling the beleaguered nasdaq over-the-counter market finally rebounded rising sharply in <unk> trading
 the nasdaq composite index jumped N N or N to N
 it rose more than the new york stock exchange composite which improved N N
 among bigger stocks the nasdaq N index rose N N or N to N while the dow jones industrial average was up N N
 richard bruno head of otc trading at painewebber said the otc market has a habit of lagging big moves on the new york stock exchange
 while the industrial average rallied on monday following last friday 's collapse the otc market which did n't suffer too badly during the correction tumbled
 our market got hit a lot harder on monday than the listed market mr. bruno said
 we 're just recovering and getting back to business as usual
 i 'm encouraged by the action
 the trading pace was busy with N issues and N million shares changing hands
 advancing issues beat declining ones N to N
 much of the <unk> by otc traders and investors centered on shares of companies that might be financially affected by damage from the devastating earthquake in northern california
 as investors speculated about the long and short-term implications shares of a number of companies that might either profit or face problems because of the disaster were actively traded
 heading the list insurance construction and technology companies located in the san francisco bay area
 <unk> stocks were mixed as investors tried to figure out how to assess the impact of the property damage and deaths on those concerns
 traders said <unk> companies with the heaviest exposure in the san francisco area include the otc 's <unk> and ohio casualty
 frank <unk> a trader who follows insurance stocks for <unk> <unk> said his strategy was to sell early
 then if the stocks fell sharply he planned to begin buying them aggressively on the theory that the companies that insure against property damage and <unk> will have to raise rates eventually to compensate for the claims they will pay to earthquake victims and victims of last month 's hurricane hugo
 as well <unk> and insurance brokerage companies will have improved profits
 many investors expected damage from the hurricane to be the catalyst for higher rates in the industry which has been depressed because of low rates arising from intense competition
 but mr. <unk> said the hurricane damage was n't extensive enough to prompt premium boosts
 the companies just gave back what they had reserved for he said
 now they 'll have to increase their <unk> to protect for the future and that means rate increases
 overall otc insurance issues were mixed
 <unk> fell N to N N on N shares
 ohio casualty rose N to N N on N shares
 st. paul cos. jumped N to N N on N shares
 academy insurance fell N to N N but volume totaled N million shares
 the nasdaq insurance index jumped N to N on the day while the barometer of big insurance and banking issues climbed N to N
 investors expect <unk> data systems a company that provides disaster recovery services for <unk> businesses to profit from the earthquake
 <unk> 's stock rose N N to N N on N shares
 shares of <unk> a california road and bridge <unk> were heavily traded jumping N N to N N on N million shares
 guy f. <unk> added N to N N on N shares
 the company based in san francisco provides industrial infrastructure engineering and construction services
 traders were initially nervous about shares of companies including many leading otc computer companies such as apple computer with offices in the <unk> of the area damaged by the quake
 but most of those stocks fared well
 apple computer gained N to N N <unk> rose N to N N
 intel also added N to N N
 but sun microsystems slipped N to N N
 shares of biotechnology companies in the area were also higher
 chiron was up N to N and <unk> gained N to N N
 the stocks of <unk> companies located outside california improved too
 microsoft advanced N N to N N and lotus development added N N to N N
 in other earthquake-related news hambrecht & quist 's otc market makers were <unk> from trading yesterday and its positions were frozen for the day by the national association of securities dealers
 power could n't be restored at the company 's san francisco headquarters to allow trading yesterday morning
 in new york roger <unk> a hambrecht executive vice president said he expects otc trading at the company to resume this morning either in new york or in san francisco
 in other trading <unk> <unk> services gained N to N on N million shares after reporting a loss for the first quarter which ended sept. N
 the company earned $ N million in the year-earlier quarter
 jaguar 's american depositary receipts added N to N N on volume of N million
 analysts in london believe investors despite their <unk> to dump takeover stocks should hold on tight to their jaguar shares this newspaper 's heard on the street column said yesterday
 amgen rose N N to N N in heavy trading
 analysts figure amgen could benefit as a result of troubles facing its competitor genetics institute over the <unk> drug epo
 genetics institute disclosed recently that it is <unk> in a dispute with <unk> <unk> which distributes the drug regarding the <unk> of some <unk>
 ciba-geigy ltd. and chiron corp. said they extended their offer for connaught <unk> inc. valued at N million canadian dollars us$ N million to oct. N
 the companies earlier said they did n't want to raise their offer to match a rival bid by <unk> merieux s.a. of c$ N a share or c$ N million
 but they said the c$ <unk> bid which was due to expire monday may still be extended or <unk>
 merieux a vaccine manufacturer based in <unk> france is <unk> by french state-owned rhone-poulenc s.a
 ciba-geigy is a major pharmaceutical concern based in <unk> switzerland
 chiron another pharmaceutical concern is based in <unk> calif
 connaught is a biotechnology research and vaccine manufacturing concern
 <unk> merieux 's bid for toronto-based connaught has run into problems with the canadian government which told merieux last week that it was n't convinced that the proposed acquisition would be of net benefit to canada
 merieux officials are expected to meet with federal officials in <unk> today to discuss the decision
 within minutes after the stock market closed friday i called sen. bill bradley of new jersey advised him that the dow jones industrial average had declined by N points late that afternoon and <unk> informed him that he and his fellow democrats were to blame
 they had dealt a major setback that afternoon to president bush 's capital-gains tax cut proposal which had seemed in the bag after it passed the house <unk> earlier in the month
 sen. bradley has it in his mind that such a tax cut would <unk> the tax reform he helped engineer in N
 but he knows that as many as N of his fellow democrats are <unk> to vote for the cut popular among their constituents
 as a result he took the lead in arguing that the cut should be blocked on procedural grounds
 he helped persuade N of these senators to support him and majority leader george mitchell on these grounds
 the budget reconciliation had to be dealt with by the oct. N deadline and these senate democrats refused to agree to allow a vote to <unk> capital gains to the budget bill knowing it would pass
 denied a vote on substance the gop leadership in the senate on friday morning was confronted with a hard choice
 it could throw in the towel and hope to win on capital gains late this month or it could follow the white house strategy to veto reconciliation unless capital gains was <unk>
 the u.s. chamber of commerce has been in the <unk> in supporting the bush proposal
 it endorsed the white house strategy <unk> it to be the <unk> way to victory
 at noon friday a senior white house official advised richard <unk> the chamber 's chief economist that the white house would not agree to a budget reconciliation bill unless it had firm assurances that a vote on substance would be permitted in the senate
 two hours later the first word emerged on capitol hill that the administration had agreed to reconciliation with no such assurances from senate democrats
 mr. <unk> was shocked <unk> the office of richard darman director of the office of management and budget and the administration 's chief strategist on this issue
 he left a message <unk> mr. darman of selling out
 it was the senate republicans though who had edged away from the veto strategy
 the stock market reacted as mr. <unk> did crumbling as it absorbed the news that mr. darman 's strategy had been abandoned
 the stock market after all represents the collective expectations about the value of the future income stream of the nation 's capital stock discounted to present value
 why should it be so surprising that a N N cut in the capital-gains tax would have such an enormous impact on the value of the nation 's capital stock
 the total value of privately held assets is easily more than $ N trillion
 the value traded on the exchanges is close to $ N trillion
 if the tax on any gain to those assets was doubled would n't the value fall to the owners of the assets
 is n't it reasonable to assume that the asset you own would be worth more if the government suddenly announced that if you sold it you would be able to keep N N more of its gain than you previously believed
 indeed the stock market 's steady advance this year tracked with president bush 's success in advancing his capital-gains proposal
 a N N cut in this year 's capital gains alone amounts to roughly $ N billion
 we 're talking real money
 when richard <unk> advised the financial press that the market crash was caused by the setback to capital gains he was generally ignored and mildly <unk>
 instead the press corps readily accepted the notion that a <unk> in the takeover financing of united airlines instantly knocked N N off the value of the nation 's capital stock and caused <unk> around the world
 mr. <unk> was pointing out an elephant <unk> through wall street while conventional wisdom had <unk> on the ual <unk>
 why is this happening
 for one thing quite a number of the leading spokesmen on wall street are not portfolio managers who understand that the value of assets is greatly affected by how government taxes those assets
 they are economists and financial reporters who <unk> with the view that a capital-gains tax cut benefits the rich
 yet they somehow think that wall street is <unk> to losing the tax cut that seemed so close friday morning and is now <unk>
 the market rebound monday followed weekend assurances from mr. darman that the administration has other plans to win the cut which is alive and well
 sen. bradley 's argument is that a capital-gains tax cut would be bad for the economy in the longer run
 it would inevitably lead to an increase in marginal income-tax rates in N he thinks when the white house is forced to ask for higher taxes to meet budget targets
 that is with capital gains cut the <unk> of the N accord will be gone and political realities will push up income-tax rates
 the <unk> which he has heard is that if he and his fellow democrats are successful in killing the president 's proposal the revenue gap will open up <unk> in N because of the weakened economy
 in this atmosphere there would be no serious consideration of tax increases
 if sen. bradley would permit a vote on capital gains though it would pass christmas retail sales would be strong instead of <unk> by a falling stock market the N economy would be robust and the revenue gains at every level of government including new jersey 's would be surprisingly high
 no tax increases would be necessary
 the struggle over capital gains is the most important game in town
 in washington and on wall street
 mr. <unk> is president of <unk> inc. of morristown n.j
 federal prosecutors said they have obtained a guilty plea from another person in the government 's ongoing probe of illegal payments in the record industry
 william craig an independent record <unk> pleaded guilty to <unk> and criminal tax charges according to a statement issued by gary <unk> the u.s. attorney here
 <unk> is the practice of making illegal undisclosed payments to radio station personnel in return for getting the stations to play certain <unk> over the air
 as part of his plea agreement with the government the <unk> mr. craig faces a maximum of three years in prison
 in return mr. craig agreed to cooperate in the government 's continuing <unk> probe says a spokeswoman for the u.s. attorney 's office
 mr. craig and three others were indicted last year as part of that <unk> probe
 two other defendants previously pleaded guilty and charges against the third were dropped
 companies listed below reported quarterly profit substantially different from the average of analysts ' estimates
 the companies are followed by at least three analysts and had a minimum five-cent change in actual earnings per share
 estimated and actual results involving losses are omitted
 the percent difference compares actual profit with the 30-day estimate where at least three analysts have issues forecasts in the past N days
 otherwise actual profit is compared with the 300-day estimate
 grumman corp. was awarded a $ N million navy contract for advanced acquisition of six <unk> tactical control aircraft
 ltv corp. won a $ N million army contract for missile test equipment
 unisys corp. received a $ N million air force contract for computer programming
 ford aerospace & communications corp. a unit of ford motor co. was awarded a $ N million air force contract for computer improvements
 rockwell international corp. was issued a $ N million air force contract for changes in the national aerospace plane
 the tennessee valley authority issued $ N billion in bonds in the federal utility 's first public debt offering in N years
 proceeds from the bonds with coupon rates in the N N range will be used to replace bonds with an average interest rate of N N
 the tva said the refinancing should save $ N million a year in interest payments
 the refinancing is part of the tva 's strategy of dealing with what has been an <unk> problem its staggering $ N billion debt most of which is owed to the treasury department 's federal financing bank
 the tva currently plans to issue a total of $ N billion in bonds to <unk> its high-interest debt
 the $ N billion bond issue also will help the tva meet its goal of not raising rates for another year said william f. <unk> the agency 's chief financial officer
 the bond issue is tva 's first public offering since the financing bank was created in N primarily to finance the tva
 but the offering almost did n't happen
 the tva in fact decided to proceed with the bond offering following an agreement last week with the financing bank which allows tva to keep borrowing short term from the bank for two years after it goes to the public market
 the treasury contended that tva could n't borrow from both it and the public debt market
 the $ N billion in bonds break down as follows $ N billion in five-year bonds with a coupon rate of N N and a yield to maturity of N N $ N billion in 10-year bonds with a coupon rate of N N and a yield to maturity of N N $ N billion in 30-year bonds with five-year call protection a coupon rate of N N and a yield to maturity of N N
 managing the bond issue is a group of investment banks headed by first boston corp. and <unk> by goldman sachs & co. merrill lynch capital markets morgan stanley & co. and salomon brothers inc
 mutual-fund <unk> john m. templeton has put his money where his <unk> is pouring $ N million into one of his own funds the templeton value fund
 mr. templeton owns shares in several of the N funds that his firm manages but only in three of the N available to u.s. investors according to filings with the securities and exchange commission
 those are templeton global income templeton emerging markets and now the value fund
 why did he add the value fund to the list
 because he 's very bullish on the emerging growth stocks that make up the fund 's portfolio mr. templeton said from his <unk> <unk>
 emerging growth stocks have n't been popular in america for years they 've been neglected he said and their prices often trail the market as a whole
 mr. templeton 's <unk> purchase in the closed-end fund came before the u.s. stock market 's plunge last friday but still proved slightly profitable
 mr. templeton bought his shares in several separate purchases between aug. N and sept. N according to reports with the sec
 he bought at share prices ranging from $ N to $ N
 the fund closed yesterday in new york stock exchange composite trading at $ N up N cents
 in addition mr. templeton received a dividend of N cents a share oct. N
 river run
 a senior vice president and a vice president at james river corp. sold the majority of their shares in the richmond va. <unk> concern in late august and early september reports filed with the sec show
 the executives who got $ N a share for the stock showed good timing
 in big board trading yesterday james river shares closed at $ N down N cents
 on sept. N robert joseph <unk> the firm 's senior vice president of employee and public relations sold N shares leaving himself with N shares of james river
 including a sale of stock last february mr. <unk> has sold N N of his stake in the company this year according to sec filings
 mr. <unk> declined to comment when asked about the sales
 james a. <unk> a vice president sold N shares aug. N
 he still has N shares according to sec files
 mr. <unk> also declined to comment
 interest-rate player
 cincinnati gas & electric co. tops the companies portion of the accompanying insider trading table this week
 three of the utility 's directors have at least doubled their holdings in the company since july
 the largest purchase was by <unk> <unk> who bought N shares for $ N
 mr. <unk> who is also president of <unk> broadcasting co. said he bought the shares because he keeps a utility account at the brokerage firm of salomon brothers inc. which had recommended the stock as a good buy
 salomon brothers confirmed that it has had a buy recommendation on the stock for about two years
 cincinnati gas & electric is in good shape mr. <unk> said and utilities are a good investment because interest rates are going down
 mr. <unk> paid an average of $ N for each share
 the stock closed yesterday on the big board at $ N down N cents
 the two other directors bought N and N shares respectively at prices between $ N a share and $ N a share filings with the sec show
 the two could n't be reached for comment
 a company spokesman said he could n't explain their sudden <unk>
 i do n't know of any news or anything unusual happening here said bruce <unk> director of media services
 peter <unk> in pittsburgh contributed to this article
 t. rowe price associates inc. said directors recommended stockholders approve a 2-for-1 stock split and an increase in authorized shares to N million from N million
 stockholders will vote on the proposal at a meeting dec. N
 t. rowe price is an investment adviser to mutual funds institutions and individuals
 in one of the first <unk> <unk> cases to go to trial a <unk> jury decided in favor of the defendant burlington industries inc
 the verdict reached late last week in cincinnati may end an <unk> legal battle for the <unk> n.c. carpet maker
 glenn and sharon <unk> of cincinnati had sued the <unk> <unk> in N after <unk> burlington carpets in their office
 the beebes alleged that toxic <unk> from the carpets made them sick
 as a result of their illness the beebes said they lost $ N million in wages and earnings
 in addition they said that months of exposure to the chemicals has left them sensitive to a wide range of commonly used <unk>
 the case had been closely watched because attorneys anticipate increasing litigation nationally over the so-called <unk> syndrome
 plaintiffs ' lawyers say that buildings become sick when inadequate fresh air and poor <unk> systems lead <unk> to build up inside
 anthony j. <unk> a lawyer for burlington said the company believes the beebes ' symptoms were not related to the carpeting
 he said that ill effects from new carpets <unk> themselves immediately but that the beebes ' symptoms appeared months later
 <unk> adams the beebes ' lawyer said the verdict would not discourage other plaintiffs from filing such suits
 scientists are only beginning to understand what causes <unk> syndrome and much of that research was unavailable when the beebes filed the case she said
 the beebes now believe that a prime <unk> for their injuries was <unk> from an <unk> used in the carpeting
 but the beebes did n't come to that conclusion until time limits had <unk> for adding the <unk> maker as a defendant in the case ms. adams said
 the beebes have not yet decided whether to appeal
 times square development opponents are dealt setback
 the appellate division of new york state supreme court dismissed six lawsuits attempting to block a $ N billion project planned for <unk> street in manhattan
 opponents of the project had claimed that the city and the state of new york which are <unk> the project had failed to <unk> to environmental guidelines
 all but two of the N or so lawsuits that have been filed since the project 's N approval have been dismissed before the trial stage
 the two that remain have n't yet reached the pre-trial <unk> stage
 state officials said the court 's ruling clears the way for proceedings to condemn buildings in the area
 this project is ready to move said state urban development corp. chairman vincent <unk>
 but developers of four planned office towers cautioned that obstacles still remain
 as part of the agreement with the state the developers a partnership of park tower realty and prudential insurance co. of america said they would not proceed with <unk> proceedings while there was significant litigation pending
 park tower general counsel <unk> mayer said the development team will have to review two additional lawsuits before putting up a $ N million letter of credit to cover <unk> costs
 also he said the partnership is waiting to see whether the appellate division 's ruling will be appealed
 the plan which has been plagued with delays and <unk> setbacks seeks to transform the area from a <unk> <unk> to a more <unk> office and theater district
 state and city officials are still negotiating with developers to <unk> historic theaters and build and operate a merchandise mart and hotel
 federal judge <unk> role of u.s. courts in <unk> decisions
 u.s. district judge jack b. <unk> of brooklyn n.y. ruled that a man <unk> in an attack on an israeli passenger bus in N can be <unk> to israel for trial
 a <unk> had initially refused the request ruling that the attack had been a political act for which the man <unk> <unk> <unk> would be exempt from <unk>
 however judge <unk> wrote in his opinion late last month that terrorism and acts of war against <unk> can not be defined as political acts
 judge <unk> also ruled that judges must consider prior to <unk> whether the defendant will be treated fairly in a foreign court
 to do so the judge said the u.s. courts must review the judicial process in the foreign country <unk> of the state department 's assessment
 he said that in this case he <unk> with the state department 's decision that mr. <unk> should be <unk>
 mr. <unk> 's lawyer said he would appeal
 lawyers close to the case said they believed the ruling was unprecedented
 up until now the courts have said it is not their role to <unk> the foreign country 's courts said <unk> <unk> the assistant u.s. attorney on the case
 former canadian ambassador to the u.s. <unk> e. <unk> has joined the philadelphia law firm of <unk> hamilton & <unk> as a consultant
 mr. <unk> who serves as a consultant to <unk> elliott one of canada 's biggest law firms is advising <unk> hamilton 's washington office on legal matters related to <unk> investment corporate finance and international transactions
 <unk>
 in a speech prepared for delivery in new york yesterday retired justice lewis <unk> contested the notion that the last supreme court term marked a turn toward <unk> <unk> who agreed on little else unanimously proclaimed a shift in direction on the court
 i take these <unk> like many that have <unk> them in past years with a grain of salt
 in an era of sound <unk> ' and instant opinion polls it is dangerous to apply broad labels to a single term
 during its centennial year the wall street journal will report events of the past century that stand as milestones of american business history
 the <unk> <unk> war when egypt <unk> into israel on oct. N N the <unk> day in the jewish calendar lasted barely a month
 but one <unk> effect is still with us
 the arab states always bitterly <unk> of u.s. support toward israel realized they held an <unk> weapon oil
 early in october six arab nations in the persian gulf <unk> up prices sharply
 on oct. N led by saudi arabia the world 's largest exporter they <unk> oil shipments to the u.s. and to the netherlands israel 's <unk> european ally
 the timing was perfect
 the arabs had tried <unk> before
 in N when britain france and israel <unk> egypt to seize the suez <unk> arab producers cut off supplies to europe
 texas simply pumped harder
 u.s. oil supplies however had peaked in N and N and by N were declining
 imports then six million barrels a day came primarily from venezuela and canada
 but middle east supplies were growing in importance
 by N the u.s. was bringing in two million barrels of arab oil a day more than N N of the N million barrels consumed daily
 politics and economics conspired
 japan and europe far more dependent on mideast oil than the u.s. would n't <unk> the arabs or trade off their precious supplies
 the u.s. did manage to supply the dutch with oil by <unk> supplies once oil is shipped no one can tell its source
 but <unk> americans <unk> and so did the u.s. and other <unk> governments
 shortage and crisis became <unk> words although neither really applied
 the spot <unk> that showed up were largely the result of confusion much of it in washington though that was cold comfort for drivers waiting in <unk> lines at the gas <unk>
 the <unk> lasted only six months but the price <unk> became a fact of life
 what the arabs started inflation finished
 once and for all $ <unk> crude oil and <unk> gasoline were history
 times may be tough on wall street for some but a few bosses are making as much as ever or more
 at bear stearns cos. for example the N executive officers led by chairman alan <unk> greenberg got a pay increase to $ N million for the <unk> period ended june N from $ N million for the N months ended april N N
 the figures do n't include substantial dividends on holdings of bear stearns stock
 mr. greenberg himself was paid $ N million before an estimated $ N million in dividends up from $ N million the year before
 the increase is noted in the brokerage firm 's latest proxy statement filed with the securities and exchange commission
 because it operates on a fiscal year bear stearns 's yearly filings are available much earlier than those of other firms
 the latest period includes N months instead of N because bear stearns changed to a fiscal year ending in june instead of april
 meanwhile bear stearns 's N stock and bond salesmen saw <unk> <unk> over the past year which the company says reflected lower commission revenue caused by a decline in investor activity in the markets
 however bear stearns on monday reported improved earnings for its first quarter ended sept. N partly because of a N N increase in commissions during the quarter
 william j. <unk> chief financial officer defended the <unk> salaries at bear stearns
 all of us are on a base salary of $ N if the firm makes nothing and that 's pretty low as far as wall street goes mr. <unk> said
 however bear stearns has never had an unprofitable year since its founding N years ago
 four bear stearns executives besides the <unk> mr. greenberg were paid $ N million or more before dividends for the N months ended in june
 according to the proxy statement james e. <unk> N bear stearns 's president made $ N million an executive vice president michael l. <unk> N made nearly $ N million and two executive vice presidents vincent j. <unk> N and william j. <unk> N made about $ N million each
 mr. <unk> said the firm has a straight <unk> formula for determining compensation based on the firm 's earnings
 just because a particular element of the firm is down such as <unk> does n't mean the executive committee should be paid less he said
 morgan grenfell group plc said john craven group chief executive officer is taking over the <unk> of the merchant banking group from sir peter <unk> who is retiring
 mr. <unk> will remain a member of the merchant bank 's board
 mr. craven is widely credited with <unk> morgan grenfell 's <unk> on its core corporate finance fund management and banking activities over the past year
 last year morgan grenfell shut down its ailing u.k. securities operations
 mr. craven said his move to the <unk> means he will take a less active role in the day-to-day management of the group but he added that the merchant bank 's strategic focus remains unchanged
 mr. craven joined morgan grenfell as group chief executive in may N a few months after the resignations of former chief executive christopher <unk> and other top officials because of the merchant bank 's role in guinness plc 's controversial takeover of <unk> 's co. in N
 morgan grenfell had advised guinness on the bid which was surrounded by allegations that guinness used <unk> means to support the bid 's value
 morgan grenfell said michael <unk> currently group deputy chief executive will assume the chief executive position
 the merchant bank also announced that finance director david <unk> is taking early retirement for personal reasons
 his duties will be taken over by anthony <unk> who has been elected deputy chairman
 news of mr. <unk> 's retirement comes one day after morgan said that christopher whittington resigned as chairman of morgan 's banking subsidiary to join a financial services firm
 mr. craven said both messrs. <unk> and whittington had planned to leave the bank earlier but mr. craven had persuaded them to remain until the bank was in a healthy position
 if there 's any <unk> about the departures it 's that they are leaving at a time when the business is in reasonably good shape and going forward very well
 last month morgan grenfell announced its pretax profit rose N N to # N million in the first half boosted by a healthy growth in its domestic and international corporate finance business
 the following were among yesterday 's offerings and pricings in the u.s. and non-u.s. capital markets with terms and syndicate manager as compiled by dow jones capital markets report
 lockheed corp. $ N million of N N N notes due oct. N N priced at N to yield N N
 the issue was priced at a spread of N basis points above the treasury 's 10-year note
 rated single-a-3 by moody 's investors service inc. and single-a by standard & poor 's corp. the issue will be sold through underwriters led by goldman sachs & co
 california health facilities financing authority $ N million of revenue bonds for kaiser <unk> due N N N N and N tentatively priced by a painewebber inc. group to yield from N N in N to N N in N
 serial bonds were priced to yield to N N in N
 there are about $ N million of N N bonds priced at N N to yield N N in N about $ N million of N N bonds priced at N N to yield N N in N about $ N million of N N bonds priced at N N to yield N N in N and about $ N million of N N N bonds priced to yield N N in N
 the bonds are rated <unk> by moody 's and double-a by s&p according to the lead underwriter
 pennsylvania higher education facilities authority approximately $ N million of revenue bonds for <unk> university series N due N N and N priced late monday by a merrill lynch capital markets group to yield from N N in N to N N in N
 serial bonds were priced to yield from N N in N to N N in N
 there are about $ N million of N N term bonds due N priced to yield N N and about $ N million of N N term bonds due N priced at N to yield N N
 the bonds are insured and rated triple-a by moody 's and s&p
 connecticut $ N million of general obligation capital appreciation bonds college savings plan N series b priced by a prudential-bache capital funding group
 the zero-coupon bonds were priced to yield to maturity from N N in N to N N in N N and N
 the bonds have received a rating of <unk> from moody 's and a <unk> rating is expected from s&p the underwriter said
 oregon $ N million of general obligation veterans ' tax notes series N dated nov. N N and due nov. N N through a chemical securities inc. group
 the group is offering the notes priced as N N N securities to yield N N
 the notes are rated <unk> by moody 's and <unk> by s&p
 university of medicine and <unk> of new jersey $ N million of series c bonds priced by a prudential-bache capital funding group
 the bonds rated single-a by moody 's and double-a by s&p were priced to yield from N N in N to N N in N
 all serial bonds are being offered at par except those due N
 federal home loan mortgage corp. $ N million of remic mortgage securities being offered in eight classes by salomon brothers inc
 the offering series N is backed by freddie mac N N securities
 the issue used <unk> pricing
 federal national mortgage association $ N million of remic mortgage securities being offered in N classes by greenwich capital markets
 the offering series N is backed by fannie mae N N N securities and used <unk> pricing
 the issue brings fannie mae 's N remic issuance to $ N billion and its total volume to $ N billion since the program began in april N
 <unk> electric railway co japan $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N coupon at par via nomura international ltd
 each $ N bond carries one warrant exercisable from nov. N N through oct. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 <unk> co japan $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N coupon at par via daiwa europe ltd
 each $ N bond carries one warrant exercisable from nov. N N to oct. N N to buy company shares at an expected premium of N N N to the closing share price when terms are fixed oct. N
 <unk> steel co korea $ N million of bonds due nov. N N with equity-purchase warrants indicating a N N N to N N N coupon at par via merrill lynch international ltd. and <unk> <unk> securities co
 each $ N bond carries one warrant exercisable from may N N through oct. N N to buy company shares at an expected premium of N N to N N to the closing share price when terms are fixed oct. N
 <unk> international funding plc u.k. parent N million australian dollars of N N N bonds due nov. N N priced at N N to yield N N less full fees via <unk> morgan securities ltd
 guaranteed by <unk> plc
 fees N
 tennessee valley authority a $ N billion <unk> offering of power bonds priced through an underwriting group led by first boston corp
 the size of the issue was increased from an originally planned $ N billion
 the first part consisting of $ N billion of bonds due oct. N N with a five-year <unk> provision was priced as N N N securities at N to yield N N
 the 30-year issue was priced at a spread of N basis points above the treasury 's 30-year bellwether bond
 the second part consisting of $ N billion of noncallable bonds due oct. N N was priced as N N N securities at N to yield N N
 the 10-year issue was priced at a spread of N basis points above the treasury 's 10-year note
 the third part consisting of $ N billion of noncallable bonds due oct. N N was priced as N N N securities at N to yield N N
 the five-year issue was priced at a spread of N basis points above the treasury 's comparable note
 the issue is rated triple-a by moody 's and triple-a by s&p
 par pharmaceutical inc. said it named its interim president and chief executive officer kenneth i. <unk> to those posts permanently and elected him to the board
 par also said it was advised by the u.s. attorney for maryland that it is one of a number of companies being investigated by a federal grand jury for alleged violations of the federal food drug and cosmetic act
 par a <unk> maker that has been plagued by management problems was already the subject of a federal criminal inquiry into the <unk> process and a food and drug administration investigation
 a par spokesman said he understood the criminal investigation in maryland <unk> to matters par disclosed in july when par said it filed false drug information with the fda
 at the time the company said it was <unk> one of its drugs and had stopped selling two others
 the spokesman said he also understood that the inquiry related to the existence of an <unk> production book
 the book noted changes made at the manufacturing level that were n't disclosed to the fda
 par said it is <unk> in the investigation
 also yesterday <unk> patel a former par official who pleaded guilty to providing an fda employee an illegal <unk> of $ N was sentenced by a federal judge in baltimore to one year of community service and a $ N fine
 mr. patel also was placed on three years ' <unk>
 mr. patel resigned as senior vice president of par in april
 in july par and a <unk> unit agreed to plead guilty in that inquiry as did another former par official
 mr. <unk> began running the company on an interim basis in late september
 par said it selected him for the posts of president and chief executive on a permanent basis because of his experience in the industry and his performance at par
 <unk> levine chairman said mr. <unk> had taken significant steps to restore the company 's credibility and sense of <unk> and integrity
 just after midnight monday federal spending started to drop by $ N billion
 what do you say we all close down the <unk> game go home and bank the $ N billion
 that 's essentially what budget director richard darman is suggesting and we think he deserves as much support as he can get
 if human beings ca n't cut federal spending <unk> and they ca n't let the computers do it
 congress with a measure of white house <unk> has been <unk> the spending accounts for years under the cover of omnibus appropriations bills
 indeed without earlier <unk> the current sequester of $ N billion would have been even larger
 we suspect voters are fed up with the <unk>
 consider for instance that even yesterday 's widely publicized sequester is likely to be <unk> if business as usual is allowed to prevail
 under the law gramm-rudman 's <unk> in federal programs are supposed to be permanent
 social security and spending for poor people are <unk>
 however the associated press 's account of the monday sequester order signed by president bush neatly captured the <unk> congress shows toward the notion of a legally <unk> commitment
 lawmakers have been saying for weeks that they plan to roll back the cuts as soon as they agree to a compromise on a <unk> bill
 mr. darman 's <unk> to save the sequester was backed up yesterday by white house press secretary marlin fitzwater
 there is some feeling here that the cuts are the way to go
 it will reduce spending in a very effective fashion
 this attitude is being <unk> away by <unk> around washington as little more than tough talk
 it looks to us like a golden opportunity for george bush to <unk> off at the <unk> all this talk about a <unk> <unk> presidency
 mr. bush would be acting in the public interest if he let the washington <unk> who manipulate these budgets the bureaucrats the lobbyists the congressional staffers live for just one year on a restricted diet
 ask <unk> <unk> thin is in
 senator phil <unk> pointed out monday that in the N years before gramm-rudman was enacted in N federal spending grew by about N N a year since the law it 's grown at under N N annually
 another major factor in this positive trend was ronald reagan 's decision early in his presidency to fight the budget war on the expenditure side rather than raising taxes
 george bush 's continued support of the tax dam <unk> this strategy of <unk> congress to make choices among competing priorities rather than just saying yes to all the <unk> special-interest <unk> that fill the <unk> trough
 if washington 's <unk> ever succeed in <unk> the tax dam americans will be <unk> in a red sea of new spending programs such as <unk> child care
 child care was one of the many <unk> bills pulled out of the senate 's reconciliation bill last friday
 others were the capital-gains cut section N repeal the disabled workers bill and the unprecedented <unk> of the catastrophic health act
 all this stuff still is in the house 's <unk> reconciliation bill and many members say they 're reluctant to pull out <unk> bills just to see them die
 republicans especially want a guarantee from the house leadership that they 'll get an <unk> vote on the bills
 house speaker foley ought to deliver that promise
 this is the way government is supposed to work with politicians taking responsibility for votes that their constituents can identify instead of <unk> them in the great reconciliation garbage truck
 we have as much <unk> as anyone for those <unk> <unk> days in washington when <unk> men and women <unk> over budgets and even <unk> a bit to see that the bridges got build roads <unk> soldiers paid or that the desperately poor were <unk> for
 those days are gone
 nor do we see any reason to believe that a metropolitan washington that has gotten fat and rich and <unk> in the shadow of the federal <unk> will change much on its own initiative
 save the sequester and let washington <unk>
 the new york stock exchange said a seat sold for $ N down $ N from the previous sale oct. N
 seats are currently quoted at $ N bid and $ N offered
 the $ N sale price earlier this month was the lowest in nearly three years
 exchange seats hit a peak of $ N in september N
 the canadian government auctioned N million canadian dollars us$ N million of N N bonds due dec. N N
 the average accepted yield bid was N N for a price equivalent of N
 proceeds of the sale will be used to redeem c$ N million of government bonds maturing nov. N and for general government purposes
 northern trust corp. said its board adopted a shareholder rights plan aimed at <unk> unwanted takeover bids but said it 's not aware of any plan to acquire the banking concern
 under northern trust 's plan shareholders were issued rights that in the event of certain attempted takeovers allow holders to buy shares in the company at half price
 national patent development corp. said it plans to purchase as many as N common shares of its <unk> <unk> sciences inc. unit in periodic <unk> purchases
 the N shares are about N N of <unk> 's common shares outstanding excluding national patent 's stake
 noting the recent food and drug administration approval of <unk> 's <unk> <unk> treatment national patent said it believes <unk> 's stock is undervalued
 japanese investors <unk> by monday 's strong rally on wall street erased most of that day 's losses on the tokyo stock exchange
 but analysts said the rebound did n't remove the cautious mood from the market
 in london stocks closed lower in volatile trading as an opening rally was <unk> by <unk> u.s. trade figures
 paris shares had a similar reaction but most other european <unk> posted gains as did all major asian and pacific stock markets
 tokyo 's nikkei index of N stocks jumped N points to close at N
 the rise came a day after the year 's biggest drop on monday when the nikkei fell N or N N in response to friday 's N N plunge on wall street
 in early trading wednesday in tokyo the nikkei index rose N points to N
 on tuesday the <unk> tokyo stock price index of issues listed in the first section which fell N monday rose N or N N to N
 trading was relatively thin at an estimated N million shares though <unk> than monday 's N million
 advancing issues outnumbered decliners N with N unchanged
 we 're back to square one said simon <unk> an analyst in japan for kleinwort benson international inc
 japanese domestic institutions including trust banks and investment management firms that had been on the sidelines during monday 's fall were back in the market analysts said
 foreign investors reportedly started off selling but later joined in the buying
 the tokyo rally seemed to confirm the view frequently expressed in japan in the past few days that the drop in new york was a local problem related to merger and acquisition activity in the u.s.
 this time we do n't really have to worry about tokyo said an official at daiwa securities co
 nothing has changed fundamentally in the tokyo market
 but even though tokyo appears <unk> by recent market volatility analysts and traders say there are still a few concerns on the horizon
 in particular japanese investors will be keeping a wary eye on wall street to see whether monday 's <unk> rally holds up as fresh u.s. economic data are released
 people are placing small bets
 there 's no huge buying said stephen hill head of equity sales at <unk> fleming securities ltd. in tokyo
 really <unk> views right now would be <unk>
 yesterday 's buyers favored real estate construction and other <unk> issues reflecting the fact that many tokyo investors now feel safer with domestically <unk> stocks analysts said
 they also are concerned about the persistent strength of the dollar against the yen as a weaker yen leads to higher import prices in japan and adds to domestic <unk> pressures
 currency concerns also weigh heavily on interest <unk> stocks such as banking and other financial issues because of fears that japanese interest rates might have to rise to keep the dollar in check
 among steel shares <unk> rose N to N yen $ N a share and nippon steel gained N to N
 construction shares that gained included <unk> which rose N to N
 in the real estate sector mitsui real estate development was up N at N and mitsubishi estate gained N to N
 london 's financial times-stock exchange 100-share index fell N points to N
 it was down more than N points a half-hour before the close marking a <unk> turnaround from its high reached in the first N minutes of trading
 the narrower financial times 30-share index fell N to N
 volume was an active N million shares about double the recent levels but down from N million the previous day which u.k. traders have dubbed manic monday
 prices opened strongly on the basis of monday 's wall street rally and yesterday 's gains in tokyo
 but the advance faltered as <unk> traders and investors jittery about the u.k. economic outlook took over
 the unexpectedly wide u.s. august trade deficit of $ N billion hit an already jittery u.k. market in <unk>
 michael <unk> who manages sales and trading for brokerage concern societe generale <unk> <unk> said it 's a nervous market
 it was all over the place
 if you bought you wish you had n't and if you sold you wish you had n't
 he said the current market is all about sentiment and the sentiment in london is N N anxiety and worry
 britain 's economic fundamentals he said do n't look very bright
 dealers said london showed signs of <unk> in <unk> after wall street avoided sharp losses despite the trade report but a wave of futures-related selling later in the session sent buyers back to the sidelines
 still some sectors found buying interest after being actively sold in recent weeks
 merchant banks were stronger across the board
 morgan grenfell which has been mentioned in takeover rumors rose N to N pence $ N a share
 <unk> warburg a rumored target of some european banking concerns finished N higher at N
 <unk> rose N to N and <unk> rose N to # N
 on the corporate front ford motor announced that it raised its stake in u.k. luxury car maker jaguar to N N from N N
 jaguar shares jumped N before easing to close at N up N
 <unk> a british computer hardware and communications equipment maker eased N to N
 it announced a N N plunge in pretax profit for the latest year
 brewery stocks were firm to higher on talk of early bargain-hunting but most ended below their <unk>
 bass ended up N higher at N guinness closed at N down N and scottish & <unk> dropped N to N but whitbread class a shares rose N to N
 dealers said there was late talk of a whitbread sale of brewing operations to scottish & <unk>
 the most active shares were major <unk> particularly oils and utilities such as british gas and british telecommunications
 traders attributed the action in them largely to defensive <unk> in a volatile market
 british gas finished at N down N on N million shares british petroleum fell N to N on N million shares and british <unk> was N lower at N on turnover of N million shares
 cable & <unk> fell N to N
 also in active trading british steel fell N to N as N million shares changed hands
 <unk> electric which traded N million shares declined N to N
 in other european markets share prices closed sharply higher in frankfurt and zurich and posted moderate rises in stockholm amsterdam and milan
 paris closed lower and most brussels shares were unable to trade for a second consecutive day because of technical problems
 south african gold stocks closed higher
 elsewhere share prices rebounded in hong kong sydney singapore wellington taipei manila and seoul
 in hong kong sydney and singapore the largest of those exchanges stocks recovered one-third to one-half of the ground they lost in monday 's plunge with major market indexes posting gains of N N to N N
 here are price trends on the world 's major stock markets as calculated by morgan stanley capital international perspective geneva
 to make them directly comparable each index is based on the close of N equaling N
 the percentage change is since year-end
 <unk> industries inc. said it received approval to proceed on four separate projects with a total contract value of $ N million
 the projects include construction of a N <unk> <unk> plant for <unk> <unk> l.p. <unk> mich. a steam generating plant at ontario calif. that <unk> will own and operate and two <unk> control projects in orange county calif
 <unk> corp. and <unk> corp. said they completed the previously reported sale of <unk> 's san <unk> passive components division to <unk>
 <unk> a new york-based maker of passive electronic products paid $ N million in cash to <unk> a <unk> maker of semiconductor products
 passive components makes <unk> and filters used to protect electronics
 consolidated papers inc. said it plans to spend $ N million on new <unk> equipment and facilities
 the producer of paper used in magazines and by commercial printers said spending on the expansion is planned to begin in the first quarter of N
 the expansion is subject to approval by federal and wisconsin environmental regulators
 the stock of applied power inc. which split 2-for-1 in may has risen since august N
 in yesterday 's edition it was incorrectly stated that the company 's share price has <unk> since august N
 the stock market 's dizzying gyrations during the past few days have made a lot of individual investors wish they could buy some sort of insurance
 after all they wo n't soon forget the stock bargains that became available after the october N crash
 but while they want to be on the alert for similar buying opportunities now they 're afraid of being <unk> by another <unk> plunge
 the solution at least for some investors may be a hedging technique that 's well known to players in the <unk> market
 called a married put the technique is carried out by purchasing a stock and simultaneously buying a put option on that stock
 it 's like fire insurance says harrison roth the senior options strategist at <unk> & co
 because a put option gives its owner the right but not the obligation to sell a fixed number of shares of the stock at a stated price on or before the option 's expiration date the investor is protected against a sudden drop in the stock 's price
 but most investment advisers do n't recommend using married puts all the time
 that 's because the cost of buying put options <unk> into an investor 's profit when stock prices rise
 this is the type of fire insurance you only buy when the nearby woods are on fire says mr. roth
 you always want your house insured but you do n't always feel the need for your investments to be insured
 in addition to hedging new stock purchases the <unk> technique can be used to protect stocks that an investor already owns
 in either case the investor faces three possible <unk>
 if the stock goes up in price between now and the put 's expiration date the put will probably expire <unk>
 the investor will be out the cost of the put which is called the premium and this loss will reduce the stock-market profit
 if the stock stays at the same price between now and the put 's expiration date the investor 's loss will be limited to the cost of the put less any amount realized from a closing sale of the put
 the <unk> scenario would be if the put expires <unk>
 if the price of the stock declines the put will increase in value
 once the stock price is less than the exercise price or strike price of the put the gain will match the loss on the stock dollar for dollar
 the put <unk> a minimum selling price for the stock during its life
 when a stock falls below the put 's strike price the investor simply sells the stock at a loss and simultaneously sells the put at a profit
 or the investor can exercise the put by <unk> the stock to his or her broker in return for payment from another investor who has sold a put on the same stock
 brokers handle such transactions through the options clearing corp. which guarantees all option trades
 the accompanying table shows how this strategy would work for three stocks
 though not reflected in the table an investor should know that the cost of the option insurance can be partially offset by any dividends that the stock pays
 for example tenneco inc. pays a quarterly dividend of N cents which would be received before the february option expires and thus reduce the cost of using the technique by that amount
 in this case the investor 's risk would n't exceed N N of the total investment
 to <unk> the calculations commissions on the option and underlying stock are n't included in the table
 there are more than N stocks on which options may be bought and sold including some over-the-counter stocks
 but some investors might prefer a simpler strategy then hedging their individual holdings
 they can do this by purchasing index puts which are simply put options on indexes that match broad baskets of stocks
 for instance the most popular index option is the s&p N option commonly called the <unk>
 it is based on the stocks that make up standard & poor 's <unk> index
 unlike options on individual issues index options are settled only in cash and no stock is ever tendered
 but while index options are convenient they have several <unk>
 for one thing an investor 's portfolio might not closely match the s&p N
 as a result the <unk> insurance may or may not fully protect an investor 's holdings in the event of a market decline
 in addition <unk> options were suspended from trading last friday afternoon after the stock-market sell-off got under way and trading in the <unk> futures contract was halted
 so an investor who wanted to realize a profit on <unk> puts after the trading suspension would have been out of luck
 on the other hand only a handful of individual issues were suspended from trading on friday
 normally once the underlying investment is suspended from trading the options on those investments also do n't trade
 ultimately whether the insurance provided by purchasing puts is <unk> depends on the cost of the options
 that cost rises in times of high market volatility
 but it still might be cheaper than taking a major hit
 the protection from using married puts is clearly superior to that <unk> by another options strategy some investors consider using during troubled times selling call options on stocks the investor owns
 a call option is similar to a put except that it gives its owner the right to buy shares at a stated price until expiration
 selling a call option gives an investor a small buffer against a stock-market decline
 that 's because it reduces the cost of the stock by the amount of premium received from the sale of the call
 but if the price of the stock rises above the strike price of the option the stock is almost certain to be called away
 and in that case the investor misses out on any major upside gain
 these calculations exclude the effect of commissions paid and dividends received from the stock
 all prices are as of monday 's close
 hopes for quick enactment of pending deficit-reduction legislation faded as efforts to streamline the house version in advance of a house-senate conference broke down
 house leaders had hoped to follow the senate 's lead by getting an agreement from house committee chairmen under which they would drop items that would n't reduce the fiscal N budget deficit from the house-passed bill before the negotiations with the senate began
 but the effort became <unk> on the question of what would become of other issues ranging from cutting the capital-gains tax to child care to repeal of <unk> insurance
 many members feel there are important features of the house bill that should be enacted speaker thomas foley d. wash said
 if there is any support for reducing the bill it is <unk> on their desire to see them passed in another form
 now those items will be discussed in a house-senate conference which could begin as soon as today with the expectation that they could either be resolved there or placed into other legislation
 you 've got to give these chairmen the opportunity to see if they can work things out said house budget committee chairman leon <unk> d. calif
 this is a democratic process you ca n't <unk> anything around here
 white house budget director richard darman has said he would continue to press to keep the capital-gains provision in the final version of the bill unless the house drops many of its costly provisions
 senate leaders had hoped to be able to send a compromise version of the measure to president bush by the end of the week but speaker foley said that was n't likely
 failure to pass the bill meant that $ N billion in across-the-board spending cuts took effect monday under the gramm-rudman budget law
 the bill must be enacted before the cuts can be restored
 trading volume in standard & poor 's N stock-index futures contracts on the chicago mercantile exchange monday totaled N contracts
 yesterday 's edition incorrectly reported monday 's trading volume as a record for the s&p N contract
 ncnb corp. raised $ N billion in new capital during the third quarter
 in yesterday 's edition the amount of new capital was misstated
 mccormick capital inc. said its tender offer to buy back as many as N million or N N of its common shares at $ N apiece which expired friday evening was oversubscribed
 the developer and manager of <unk> limited partnerships said preliminary results indicate that about N shares had been tendered giving a preliminary <unk> factor of N
 the final <unk> factor will be announced monday
 <unk> exploration ltd. said it is proposing to <unk> four of its associated companies
 under a proposed <unk> <unk> involving share swaps abm gold corp. a gold exploration and management company will merge with <unk> resources corp. united gold corp. and <unk> resources inc
 abm will also increase its stake in <unk> gold corp. to N N from N N
 <unk> said it will own about N N of the equity and N N of the votes of abm after the <unk>
 the <unk> are subject to regulatory approval and require approval by shareholders of abm <unk> united and <unk> at special meetings on nov. N
 steven c. walker senior vice president of this bank holding company was named president chief executive officer and a director of both commercial national and commercial national bank
 he succeeds james e. burt iii who resigned from all three posts to pursue other interests
 cincinnati microwave inc. said it introduced two radar detectors
 one unit called the <unk> uses a new digital <unk> technology to detect radar signals much sooner than was previously possible the company said
 the other called the solo is battery operated and is the first <unk> radar <unk> that does n't need a power <unk> the company said
 a surprising surge in the u.s. trade deficit raised fears that the nation 's export drive has stalled and caused new turmoil in financial markets
 the merchandise trade deficit widened in august to $ N billion the commerce department reported a sharp deterioration from july 's $ N billion and the largest deficit of any month this year
 exports fell for the second month in a row while imports rose to a record
 this is one of the worst trade releases we 've had since the dollar <unk> out in N said <unk> dennis chief international economist at james capel inc
 like most analysts mr. dennis was <unk> to read too much into one month 's numbers but he said it indicates perhaps that the balance in the u.s. economy is not as good as we 've been led to believe
 the number had a troubling effect on wall street suggesting that more fundamental economic problems may <unk> last friday 's stock market slide
 the dow jones industrial average tumbled more than N points after the report 's release before recovering to close N points lower at N
 this bad trade number raises some deeper issues about the market decline said norman robertson chief economist for mellon bank
 it raises questions about more <unk> problems the budget deficit and the trade deficit and the <unk> lack of ability to come to <unk> with them
 the trade report drew yet another <unk> parallel to october N
 on oct. N of that year the announcement of an unusually large august trade deficit helped trigger a steep market decline
 the slide continued until the record <unk> market drop on oct. N
 in N however the news was the latest in a string of disappointments on trade while the current report comes after a period of improvement
 the bleak trade report was played down by the bush administration
 commerce secretary robert mosbacher called the worsening trade figures disappointing after two very good months
 and white house spokesman marlin fitzwater said the deficit was an unwelcome increase adding that we 're hopeful that it simply is a <unk> situation and will turn around
 but the figures reinforced the view of many private analysts that the improvement in the u.s. trade deficit has run out of steam
 the figures today add further evidence to support the view that the improvement in the u.s. trade deficit has essentially stalled out at a level of about a $ N billion annual rate said jeffrey scott a research fellow at the institute for international economics here
 that 's still an improvement over last year but it leads one to conclude that basically we 've gotten all the <unk> we can out of past dollar depreciation and past marginal cuts in the federal budget deficit
 exports declined for the second consecutive month in august slipping N N to $ N billion the commerce department reported
 imports on the other hand leaped N N to a record $ N billion
 not only was august 's deficit far worse than july 's but the government revised the july figure substantially from the $ N billion deficit it had initially reported last month
 many economists contend that deep cuts in the u.s. budget deficit are needed before further trade improvement can occur
 that 's because the budget deficit feeds an enormous appetite in this country for both foreign goods and foreign capital overwhelming the nation 's capacity to export
 people are sick and tired of hearing about these deficits but the imbalances are still there and they are still a problem said mr. robertson
 in addition the rise in the value of the dollar against foreign currencies over the past several months has increased the price of u.s. products in overseas markets and hurt the country 's competitiveness
 since march exports have been virtually flat
 at the same time william t. <unk> international vice president at the u.s. chamber of commerce notes clearly the stronger dollar has made imports more attractive by causing their prices to decline
 most economists expect the slowing u.s. economy to curb demand for imports
 but they <unk> little substantial progress in exports unless the dollar and the federal budget deficit come down
 the best result we could get from these numbers would be to see the administration and congress get serious about putting the u.s. on an internationally competitive economic footing said howard lewis vice president of international economic affairs at the national association of manufacturers
 that must start with cutting the federal budget deficit
 august 's decline in exports reflected <unk> in sales of industrial supplies capital goods and food abroad and increases in sales of motor vehicles parts and engines
 the jump in imports stemmed from across-the-board increases in purchases of foreign goods
 the numbers were adjusted for usual seasonal fluctuations
 alan murray contributed to this article
 in billions of u.s. dollars not seasonally adjusted
 \* newly industrialized countries singapore hong kong taiwan south korea
 steve jobs took a step back from the <unk> of personal-computer technology in an effort to spur sales of next inc. 's new machine
 mr. jobs moved to remedy a couple of his computer 's <unk> yesterday by lowering the <unk> price for a next machine by $ N or N N if the buyer chooses a hard-disk drive as an alternative to next 's <unk> device
 the hard drive which is the storage device of choice for virtually every desktop computer user also now will supplement next 's <unk> optical device if buyers pay full price
 mr. jobs <unk> of apple computer inc. founded next four years ago in the hopes of <unk> a revolution in the way desktop computers are designed and used
 his next computer introduced about a year ago and aimed primarily at university computer users sports <unk> graphics digital sound <unk> <unk> and a <unk> black design
 but the computer was proving a hard sell because of its high price a lack of software and an optical <unk> device that was too slow
 the machine began shipping at the end of last year
 the closely held company has n't disclosed sales
 however most universities that have bought the machines say they are buying small numbers for evaluation purposes
 universities can now buy a next computer without an optical storage device for $ N
 a computer with the optical device will still cost $ N but from now on next will outfit every computer with a hard drive and supply one at no cost to those who have already bought next machines
 commercial customers can purchase the same system through businessland inc. a computer retailer based in san jose calif. for roughly $ N more
 mr. jobs said the changes were prompted by requests from customers who are frustrated with the performance of the optical device which is n't offered as standard equipment by any rivals
 another factor was that customers were asking why do n't you give us a cheaper system mr. jobs said at a conference on university computing here
 <unk> devices can handle very large amounts of data and make it far easier to <unk> film <unk> or audio <unk> with a computer
 but the technology while <unk> is far slower than the widely used hard drives
 to get around the delays caused by the optical device businessland which is next 's exclusive dealer to corporations has for months been advising customers to purchase hard drives with the machines
 next 's decision to rely on the <unk> hard drive in every next computer does n't signal a retreat from optical storage said mr. jobs who for years has said this technology will play a crucial role in the next decade
 we 're extremely committed to optical storage technology he said
 we think everything will go this way in a few years
 he said that the next generation of optical drives will be as fast as hard drives but he depends on outside suppliers for the devices
 but university computer specialists who welcomed the move called it a necessary retreat from the cutting edge of technology and one that 's likely to increase next 's sales on <unk>
 from the standpoint of being on the <unk> of technology this is a step <unk> said jerry w. <unk> a senior computing manager for the california state university system
 but it will definitely boost next 's sales
 universities however say next 's prices must go even lower before large numbers of students purchase the machine
 we 'd still like to see a student model priced at about $ N said ronald johnson director of academic computing at minnesota 's <unk> <unk> college which has bought eight next machines
 broad acceptance of next 's computer also is <unk> by difficulty in distributing software for it
 most software is distributed on cheap <unk> disks but the next computer does n't come with a device that reads them
 next 's computer also needs more software applications but mr. jobs said he expects more soon
 he said he expects lotus development corp. to introduce a next version of its popular N <unk> program in N
 educators added that next needs to soon offer a color version of its computer
 every major maker offers computers with color displays
 next wo n't comment on when it will do the same but is believed to have a color model under development
 donald j. <unk> N years old was named president and chief operating officer of this owner and operator of hospitals nursing centers and retirement hotels
 he succeeds as president don <unk> who remains chairman and chief executive officer
 the position of chief operating officer is new
 <unk> corp. reported a net loss of $ N million or N cents a share for the third quarter which was <unk> by severance costs and the expense of upgrading its <unk> software inventories
 the software company said revenue slid N N to $ N million
 this contrasts with the year-ago quarter when the company had net income of $ N million or N cents a share on revenue of $ N million
 for the nine months <unk> had a loss of $ N million or $ N a share
 in the year-ago period the company had profit of $ N million or $ N a share
 revenue in the period slid almost N N to $ N million from about $ N million last year
 edward m. <unk> chairman president and chief executive officer attributed the decline to reduced domestic revenue because of $ N million spent to upgrade existing software inventories to the new <unk> <unk> version N and $ N million spent on the recent reduction in work force
 he said the company was encouraged by <unk> it received from selected customers now testing version N
 the red ink came as no surprise to wall street but analysts said they saw <unk> hints of a further delay in volume shipments of version N a <unk> of continued losses in the fourth quarter
 the loss is in line with our expectations said john c. maxwell iii an analyst with dillon read & co. in new york
 he added gross margins and operating profit eroded quite dramatically from the prior quarter along with sales of existing software product lines like <unk> and <unk>
 the success of a new product in the <unk> line is needed
 and while the company has n't made a <unk> statement it now looks like that 's not going to be anytime soon mr. maxwell said
 the company said in a statement that it expects to ship new products during the next two quarters
 it now looks like <unk> <unk> version N is n't going to be widely available until the first quarter of N said david <unk> an analyst with montgomery securities in san francisco
 this is the second delay now in getting the product out the door
 it does <unk> the pain somewhat
 mr. maxwell said unless the company can start shipments of the new product sometime this quarter the fourth-quarter loss is likely to be comparable to the third quarter 's
 if the company can start to ship during this quarter it could stem some if not all of the red ink he said
 in national over-the-counter trading <unk> closed yesterday at $ N a share up N cents
 tuesday october N N
 the key u.s. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions
 prime rate N N N
 the base rate on corporate loans at large u.s. money center commercial banks
 federal funds N N N high N N N low N N N near closing bid N N N offered
 reserves traded among commercial banks for overnight use in amounts of $ N million or more
 source fulton prebon u.s.a inc
 discount rate N N
 the charge on loans to depository institutions by the new york federal reserve bank
 call money N N N to N N
 the charge on loans to brokers on stock exchange collateral
 commercial paper placed directly by general motors acceptance corp. N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days N N N to N days
 commercial paper high-grade unsecured notes sold through dealers by major corporations in multiples of $ N N N N days N N N days N N N days
 certificates of deposit N N one month N N two months N N three months N N six months N N one year
 average of top rates paid by major new york banks on primary new issues of negotiable c.d.s usually on amounts of $ N million and more
 the minimum unit is $ N
 typical rates in the secondary market N N one month N N three months N N six months
 bankers acceptances N N N days N N N days N N N days N N N days N N N days N N N days
 negotiable bank-backed business credit instruments typically financing an import order
 london late eurodollars N N N to N N N one month N N N to N N N two months N N N to N N N three months N N N to N N N four months N N N to N N N five months N N N to N N N six months
 london interbank offered rates libor N N N one month N N N three months N N N six months N N N one year
 the average of interbank offered rates for dollar deposits in the london market based on quotations at five major banks
 foreign prime rates canada N N germany N N japan N N switzerland N N britain N N
 these rate indications are n't directly comparable lending practices vary widely by location
 treasury bills results of the monday october N N auction of short-term u.s. government bills sold at a discount from face value in units of $ N to $ N million N N N weeks N N N weeks
 federal home loan mortgage corp freddie mac posted yields on 30-year mortgage commitments for delivery within N days
 N N standard conventional fixed-rate mortgages N N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 federal national mortgage association fannie mae posted yields on N year mortgage commitments for delivery within N days priced at par N N standard conventional fixed-rate mortgages N N N rate capped one-year adjustable rate mortgages
 source telerate systems inc
 merrill lynch ready assets trust N N
 annualized average rate of return after expenses for the past N days not a forecast of future returns
 <unk> corp. reported that third-quarter net income fell N N from a year-earlier quarter helped by a gain from discontinued operations
 profit from continuing operations rose N N
 the chemicals and insurance company said net in the latest quarter was $ N million or N cents a share
 in the year-earlier quarter net was $ N million or N cents a share
 the <unk> quarter included $ N million from businesses spun off as <unk> industries inc
 revenue was $ N million up N N from $ N million a year ago
 <unk> said pretax profit from its insurance segment excluding investment gains rose N N in the latest quarter to $ N million from $ N million
 in the chemicals segment pretax profit rose N N to $ N million from $ N million
 the company 's chemicals interests include among other things petroleum <unk> pharmaceuticals <unk> and <unk> used by the semiconductor industry
 for the nine months <unk> said net fell N N to $ N million or $ N a share from $ N million $ N a share a year ago
 net in the latest period included $ N million from discontinued operations and a charge of $ N million from a plant closing
 in the year-ago period net included $ N million from discontinued operations
 revenue was $ N billion up N N from $ N billion a year earlier
 in new york stock exchange composite trading <unk> closed at $ N a share up N cents
 tribune co. helped by a hefty boost in performance at its broadcasting and entertainment operations said net income jumped N N in its third quarter ended sept. N on a N N increase in revenue
 the broadcasting and newspaper concern based in chicago said net was $ N million or N cents a primary share up from $ N million or N cents a share
 per-share figures this year reflect $ N million in <unk> dividends the N quarter did n't have such a payout
 revenue rose to $ N million from $ N million
 nine-month net climbed N N to $ N million or $ N a primary share from $ N million or $ N a share
 nine-month per-share figures for N reflect $ N million in preferred dividends that had no counterpart in the year-earlier quarter
 revenue rose N N to $ N billion
 in new york stock exchange composite trading friday tribune closed at $ N down $ N
 enserch corp. said about N million or N N of the publicly traded units of its limited partnership enserch exploration partners ltd. were tendered in response to an offer that expired monday
 enserch said the tendered units will raise its ownership of the partnership to more than N N from N N
 about N units will continue to be publicly traded on the new york stock exchange enserch said
 enserch had offered one-half a share of its common and $ N in cash for each unit
 the public sector borrowing requirement the most widely used measure of britain 's government deficit or surplus showed a deficit of # N million in september compared with a deficit of # N million in august and a deficit of # N billion in september N the treasury said
 in the six months since the current fiscal year began april N the surplus totaled # N million compared with a surplus of # N billion in the year-earlier period
 the government is projecting a # N billion surplus for the fiscal year
 the reported figures for the public sector borrowing requirement include receipts from the sale of state-owned industries
 excluding those receipts the government deficit would have totaled about # N billion in the first six months compared with # N billion a year earlier the treasury said
 french <unk> production in september was N metric tons unchanged from a year earlier according to the national steel manufacturers ' association
 the association said the september total brought french output for the first nine months this year to N tons up N N from a year earlier
 prospect group inc. whose recent hostile tender offer for recognition equipment inc. failed for lack of financing apparently has gained a measure of control over the troubled company anyway
 as part of what a recognition spokeswoman termed an <unk> agreement prospect group will wind up with control of top management posts and an increased stake in the maker of data management equipment
 in a management restructuring thomas l. ringer resigned as chairman chief executive and a director while israel <unk> resigned as a director
 mr. <unk> remains as executive vice president
 thomas m. <unk> and robert a. <unk> who had been designated to take over recognition 's top spots had prospect 's tender offer succeeded were named co-chief executives and directors
 mr. <unk> was formerly a vice president and general manager of an avery international division mr. <unk> was a former group vice president of pitney bowes inc
 in addition the agreement calls for <unk> h. <unk> chairman of prospect group 's executive committee to be named chairman of a restructured board that will include four new independent directors
 also named to the revised board was thomas a. loose recognition 's senior vice president and general counsel
 prospect a new york-based leveraged buy-out firm also agreed to invest $ N million in recognition which in turn agreed to repurchase as much as $ N million of its stock
 that would increase prospect 's ownership of the company 's <unk> shares outstanding to N N from N N
 under the agreement prospect is permitted to increase its stake in recognition to N N
 beyond that prospect said it would n't offer to acquire additional shares for less than $ N a share during the next year or less than $ N a share during the subsequent two years
 recognition also said it obtained a commitment from chemical bank and bank of boston to convert an estimated $ N million in bank debt to a new <unk> secured term loan to be repaid through the sale of certain assets
 in august recognition said it was in violation of certain terms of its debt agreements with bank lenders because of a $ N million loss for the third quarter ended july N
 the company attributed the loss to declining revenue and litigation costs relating to criminal charges against the company and two former executives william g. moore jr. and robert w. <unk>
 the former executives were indicted last october on charges of fraud theft and conspiracy related to efforts by the company to win $ N million in postal service contracts
 recognition equipment said it expected to put the agreement with prospect to a vote of its stockholders at a special meeting in january
 in new york stock exchange composite trading recognition rose N cents to $ N
 prospect slipped N cents to $ N in national over-the-counter trading
 general motors corp. 's chevrolet division reacting to slow sales said it will offer $ N rebates on its N beretta the <unk> version of its core <unk> line
 sluggish sales of the beretta and its <unk> sister car the corsica prompted gm to idle the two plants that build the automobiles for a total of three weeks this month
 the corsica and beretta make up the <unk> car line at chevrolet but sales of the vehicles are off N N for the year and fell a steep N N during early october
 chevrolet already is offering an $ N <unk> on the <unk> corsica
 the latest <unk> is good for all beretta models
 chevrolet buyers can take the <unk> or get discount financing at rates ranging from N N on <unk> loans to N N on <unk> loans
 stateswest airlines said it submitted an offer to the directors of mesa airlines to acquire the <unk> n.m. carrier
 except to <unk> its offer as fair and generous and in the best interests of mesa shareholders stateswest declined to discuss details of its proposal
 it also asked mesa to keep the proposal confidential
 a mesa official confirmed <unk> of the offer and said directors would meet to consider it
 last week mesa rejected a proposal by stateswest to acquire it or merge
 stateswest has a N N stake in mesa which operates N <unk> and two <unk> <unk> among N cities in new mexico arizona wyoming colorado and texas
 stateswest operates four <unk> <unk> aircraft connecting N cities in california arizona and nevada
 the carrier has n't yet turned a profit
 the former president of firstsouth <unk> a <unk> arkansas thrift pleaded guilty to conspiring to <unk> the institution 's earnings by <unk> <unk> loan guarantees
 roderick d. reed iii who was also chief operating officer of firstsouth could receive a maximum sentence of five years in federal prison and a $ N fine
 a sentencing date has n't been set
 mr. reed admitted he conspired to <unk> an agreement not to enforce loan guarantees executed by dallas real-estate developers a. <unk> taylor iii and george s. watson both of whom were firstsouth stockholders
 neither mr. taylor nor mr. watson have been charged with criminal wrongdoing
 by <unk> the <unk> agreement certain transactions with messrs. taylor and watson were entered on firstsouth 's books as loans allowing the thrift to report fees and interest as current income according to the u.s. attorney 's office in little rock ark
 the conspiracy was part of an effort by mr. reed to hide firstsouth 's shaky financial condition from federal regulators according to federal prosecutors and regulators
 the $ N billion thrift was declared insolvent and closed in december N
 firstsouth 's former chairman and chief executive officer howard <unk> is also charged with conspiring to <unk> the agreements with messrs. watson and taylor
 mr. <unk> is scheduled for trial jan. N before federal judge stephen <unk> of little rock
 i approached <unk> larry gelbart 's new comedy at the <unk> center with considerable <unk>
 nothing i assumed would be more <unk> dated than a political <unk> on the iran-contra affair
 i had underestimated however both mr. gelbart 's <unk> and the <unk> of scandal in washington
 though the play clearly is <unk> around the events of iran-contra it takes in the wide sweep of scandals over the past N years
 in fact at one point <unk> chase <unk> mullins a cool carefully <unk> television announcer <unk> a list of a dozen or more scandals of recent years concluding with those affecting the department of housing and urban development and the savings and loan industry
 <unk> a congressional hearing is in progress complete with elegant crystal <unk> overhead and a <unk> <unk> of the signing of the constitution in the background
 the witness table is center stage and below it the <unk> for the <unk> media in this case <unk> the total news network
 not only are there camera operators on all sides but the proceedings are shown on monitors throughout the theater
 the <unk> of theater is not entirely <unk>
 mr. gelbart clearly feels that all the participants in a congressional hearing the witnesses the lawyers the <unk> and the news media are performers
 as the story of <unk> <unk> we learn that the internal revenue service confiscated one of the properties of a foreign financier who owes the government millions in taxes
 the man it seems has a <unk> corporation licensed in libya and <unk> in the <unk>
 he himself lives in a consecutive series of <unk> houses in a town in switzerland
 the property seized by the irs is a hollywood film studio master pictures incorporated <unk>
 supposedly the irs will sell off the assets of <unk> but before it can a <unk> irs agent is called into the hospital room of <unk> <unk> the dying head of the central intelligence agency
 the <unk> agent <unk> <unk> who as you might guess is being led to the <unk> is ordered to take over the studio
 soon the studio is producing a $ N million picture called <unk> the motion picture to <unk> it from <unk> the offensive as well as <unk> the book and <unk> the <unk>
 the picture to be made in the central american country of san <unk> is a cover for sending $ N million of arms to los <unk> the rebel group attempting to regain neighboring <unk> which has been taken over by the leftist dictator dr. <unk> a former <unk> who leads a revolutionary band of foot soldiers
 the man handling all this for the <unk> <unk> is major <unk> battle mr. gelbart 's stand in for col. oliver north
 director michael <unk> has assembled a <unk> cast to carry out the <unk> of well-known political figures and to play the stock characters who invariably show up at congressional hearings
 daniel von <unk> is <unk> but totally assured as major battle <unk> just the right brand of <unk> and <unk> jeff weiss is fire <unk> and <unk> <unk> as the <unk> senator who serves as a friendly <unk> of major battle <unk> <unk> is <unk> <unk> playing a succession of lawyers joseph daly has the perfect <unk> <unk> <unk> of george bush in his portrayal of the vice president and ann mcdonough is <unk> as a succession of witnesses ' wives
 with one she is pregnant with major battle she is <unk> an american flag and as the vice president 's wife she <unk> in with white hair wearing a tailored suit and <unk> <unk> barbara bush 's gestures down to the last detail
 though it 's clear that mr. gelbart 's <unk> do not lie with the far right it 's also true that he is <unk> in <unk> his <unk> <unk> taking sharp aim at senators and congressmen of all <unk> and particularly at the media
 mr. gelbart also has fun with language
 <unk> is <unk> a play on words and mr. gelbart plays that game as well as anyone
 he describes a <unk> <unk> as one who experienced a <unk> disappearance and found himself handling blanket appeals at the bureau of indian affairs
 this interest in words goes beyond <unk> and <unk> however
 mr. gelbart <unk> the <unk> the <unk> and the <unk> of language he sees on all sides
 as the hearings begin the <unk> sen. <unk> jerome <unk> <unk> let me <unk> one thing at the outset we are not looking for <unk> to skin nor <unk> to <unk>
 major battle himself speaks in pure <unk> without further <unk> aid scores of <unk> freedom <unk> who had gone way out on their life and <unk> for us were literally cut off at the <unk> without a <unk>
 at another point he <unk> publicity is a small price to pay for <unk>
 the evening is short N minutes without an <unk> but even so as the play <unk> the thrust of mr. gelbart 's <unk> loses its <unk> as his targets pop up ever more predictably
 most of the evening though is filled with rare and welcome <unk>
 in <unk> mr. gelbart has provided us not just one but two commodities that have all but disappeared from the broadway theater sharp political <unk> and an even sharper appreciation of the value of language
 the federal national mortgage association set up a <unk> office of the chairman and elected james a. johnson as vice chairman effective jan. N
 mr. johnson has been a managing director at shearson lehman hutton since N and before that was president of public strategies a washington consulting firm
 he is well-known in democratic circles having been executive assistant to vice president walter <unk> and chairman of mr. <unk> 's N presidential campaign
 at fannie mae he will take responsibility for the corporation 's financial and legal areas and will work with david maxwell chairman and chief executive officer and roger <unk> president and chief operating officer on strategic planning
 mr. johnson N years old has been a consultant on strategy to fannie mae for the past N N years
 in an interview he said fannie mae faces a number of challenges with the restructuring of the thrift industry and the push to broaden its activities overseas
 there 's no shortage of major things to do he said
 fannie mae also said james a. <unk> chairman of first federal of michigan and a director since N moved up the date of his retirement from the board to accommodate mr. johnson 's election as a director
 the board has N members elected by holders and five presidential <unk>
 fannie mae a federally chartered <unk> corporation operates a secondary market for mortgage loans buying loans from lenders packaging some into securities for sale to investors and keeping the rest in its portfolio
 the new crowd by <unk> <unk> ehrlich and barry j. <unk> little brown N pages $ N describes the <unk> of the old our crowd jewish wall street banking <unk> by such new business <unk> as saul steinberg carl icahn sanford <unk> and bruce <unk>
 its many <unk> stories include the <unk> holiday <unk> <unk>
 these two new crowd families lived in the same apartment building with the <unk> <unk> <unk> on top of the gutfreund <unk>
 the <unk> <unk> started up from the gutfreund landing and susan gutfreund used to turn off its light to give the impression that there was no higher floor
 eventually mr. <unk> broke his <unk> in the dark
 then the <unk> determined to put up a <unk> christmas tree weighing a quarter of a ton to <unk> their holiday guests
 for this a crane needed to be mounted on the <unk> ' <unk>
 the <unk> did not give permission
 but the gutfreund workers went ahead anyway only to be captured in <unk> by joan <unk> who called the police
 before the <unk> finally left this unfriendly environment for a <unk> <unk> on fifth avenue and an <unk> mansion with a specially <unk> $ N million garage in paris the <unk> had obtained an injunction to prevent any future <unk> of trees and in a <unk> spirit hit both the <unk> and the building with a $ N million lawsuit
 nothing less it seemed could <unk> them for their <unk>
 where had all the money come from
 the young john gutfreund had been discovered by <unk> salomon of salomon bros. when he was still a <unk> liberal and put to work as a trader and then as a <unk> <unk>
 get off your he would <unk> say the authors
 rising in the firm he became powerful and <unk> though his new wife susan made him <unk> in the <unk> columns with her <unk> spending habits and flamboyant <unk>
 after he had been head of the company for N N years he and his partners sold it to <unk> a powerful commodity trading outfit for $ N million in <unk> stock
 limited partner <unk> salomon whose family name had been on the firm 's door for N years and who had hoped it would be there forever was not <unk>
 mr. gutfreund collected $ N million while <unk> salomon got $ N million much less than if he had conducted the sale
 i felt <unk> he later said
 worse salomon 's timing had been off
 its profits unlike <unk> 's soared over the next two years and had it held out salomon could have gotten an even bigger <unk>
 the book also <unk> the not <unk> <unk> surrounding the changing of the guard at lehman bros. and other grand old firms
 often the <unk> conservative <unk> investment bankers were <unk> by crude traders when angered he <unk> so <unk> that his face <unk> and his <unk> eyes narrowed into tiny <unk> the authors say of lehman 's lewis <unk>
 the earlier generation of our crowd bankers <unk> <unk> <unk> <unk> and <unk> had stressed above all <unk> tradition <unk> and reputation
 they were old-fashioned elegant <unk> who happened to be of german jewish <unk>
 but in the harsh world of today 's wall street they have lost out to more aggressive and sometimes less <unk> <unk>
 the <unk> prefers the <unk> of other birds and <unk> out their eggs
 but the old guard hired the new crowd people it brought in its own <unk>
 so as the old crowd <unk> from the branch it should n't have been too surprised
 the old guard had every right however to <unk> the newcomers ' new ways of making money such as <unk>
 a fortune article on saul steinberg was entitled fear and <unk> in the corporate <unk>
 their other <unk> has been corporate takeovers often hostile and financed by junk bonds
 hostile takeovers are quite a new phenomenon
 sometimes they are <unk> but often not
 first by making management focus on short-term results they inhibit building for the future just the opposite of japan
 second a long-term shareholder of a good company need n't worry too much when the stock price drops temporarily it will bounce back
 but if a raider takes over when the stock is weak the shareholder never gets his recovery
 the raiders meanwhile have <unk> their own pattern for spending their new millions
 as described in the new crowd they take on ambitious new wives move to greenwich conn. or <unk> n.y. buy ok pictures and let their wives share the wealth with <unk>
 having donated heavily to <unk> they demand a place on their boards
 the book is <unk> about this <unk> <unk> struggle for respectability which has its <unk> aspects
 however on balance the charity game helps america
 if those who have the money do n't get involved with the <unk> and the charities then city hall will do it badly
 it has been <unk> observed that the main thing wrong with tainted money is <unk> ai <unk> enough of it
 a handful of the new crowd operators have crossed the line from the <unk> to the illegal and have ended up in the <unk> or paying huge fines
 ivan boesky dennis levine martin <unk> victor and steven posner and now michael <unk> and perhaps <unk> helmsley
 the <unk> office that ivan boesky vacated for a prison cell had previously contained commodity operators marc rich and <unk> green today <unk> from a potential century apiece of jail sentences
 the old crowd is deeply concerned by the backlash from all this
 however the phenomenon is not specifically jewish
 it has always been true that those outside the club want to climb in and that a few will cut corners in the process
 some pretty <unk> stuff built the <unk> families ' fifth avenue and newport <unk> and <unk> their daughters ' <unk> to foreign <unk>
 mr. boesky was a <unk> compared to jay gould and jim <unk> and commodore <unk> thought nothing of <unk> judges and legislators
 so who knows
 in a generation or two some of the new crowd may <unk> true respectability perhaps to be <unk> in turn by a later <unk> of unscrupulous <unk>
 or perhaps wall street when it has suffered enough will realize that finance is a service industry and change its <unk>
 mr. train is president of train smith investment counsel new york
 dallas investor harold c. simmons said he raised his stake in lockheed corp. to N N from N N of the aerospace and electronics concern 's common shares
 in a securities and exchange commission filing mr. simmons said he and companies he controls nl industries inc. and nl chemicals inc. hold N shares of lockheed of <unk> calif
 they include N shares bought friday for between $ N and $ N each
 in composite trading on the new york stock exchange lockheed closed at $ N a share down N cents
 earlier this week mr. simmons <unk> to published reports <unk> him as saying he planned to sell his lockheed stake because the defense industry seems to be getting more uncertain
 valhi inc. another of mr. simmons ' companies responded to an article monday in the wall street journal which credited a story in the sunday los angeles daily news
 valhi said the articles did n't accurately reflect valhi and its affiliates ' intentions toward lockheed
 instead valhi said they may increase decrease or retain their lockheed holdings depending on a number of conditions
 canada which is preparing to speed up tariff cuts with the u.s. recorded a N N narrowing in its trade surplus with the u.s. in august statistics canada a federal agency reported
 u.s. exports to canada jumped N N in august from july while u.s. imports from canada rose only N N
 as a result canada 's trade surplus with the u.s. narrowed to c$ N million us$ N million in august from c$ N billion us$ N billion in july
 u.s. exports benefited in august from heavy canadian spending on new plant and equipment and a pickup in canadian auto demand canadian officials said
 the u.s. and canada which do more trade than any other pair of nations are to meet next month to arrange an acceleration of planned tariff cuts under the <unk> free trade agreement
 industries in both countries have requested a <unk> of tariff cuts on hundreds of products
 some tariffs were eliminated when the trade pact took effect jan. N
 the remainder were to be phased out in five or N annual <unk> with all tariffs eliminated by january N
 the two countries aim to reach an agreement by early december on a package of accelerated tariff cuts that would take effect early next year
 canadian officials said the trade pact has <unk> an export interest among many small canadian companies that previously had little or no foreign sales
 for such businessmen the canadian government is organizing N <unk> this year to u.s. states <unk> on canada
 the businessmen are introduced to potential agents and distributors and instructed in trade procedures
 the u.s. commerce department is planning to try out similar trips on u.s. businessmen in coming months under its canada first <unk> program
 participants in the u.s. <unk> to canada are to be <unk> by members of the service corps of retired executives a volunteer group in dealing with their export challenges
 the canadian government also has recently opened new trade offices in san diego san <unk> puerto rico miami princeton n.j. and denver bringing the total number of such canadian offices in the u.s. to N
 the u.s. has six trade promotion offices in canada
 canada 's export effort has been <unk> by robust home market demand and by an N N appreciation of the canadian dollar against its u.s. counterpart in the past three years that has made canadian goods more costly in the u.s.
 canada 's trade surplus with all countries narrowed to c$ N million in august from c$ N million in july statistics canada said
 loral corp. said it received a $ N million order from turkey 's ministry of defense the largest contract the company ever has received
 loral will provide to turkey an electronic <unk> system for its fleet of <unk> aircraft
 the system provides <unk> warning and electronic <unk> <unk>
 the defense electronics maker said delivery will begin in october N and run through <unk>
 loral said the contract with turkey will provide opportunities for loral to supply that country with other defense systems
 crown resources corp. said it reached a definitive agreement to acquire the gold texas resources ltd. shares it does n't already own
 under the proposed agreement gold texas holders will receive N crown shares for each of the N million gold texas shares not owned by crown which already owns N N
 the arrangement is subject to approval by the supreme court of british columbia province crown said
 gold texas is based in vancouver british columbia and crown resources is based in denver
 both are mining concerns
 apogee <unk> inc. said its board extended until feb. N the exercise period of apogee 's existing stock purchase warrants outstanding
 the expiration date had been nov. N
 each of the N warrants <unk> the holders to purchase one share of apogee common stock for $ N
 apogee was quoted in the over-the-counter market yesterday at $ N bid
 bank of new england corp. seeking to streamline its business after a year of weak earnings and mounting loan problems said it will sell some operations and lay off N N of its work force
 the bank holding company also reported that third-quarter profit dropped N N to $ N million or N cents a share from the year-earlier $ N million or $ N a share
 among its restructuring measures the company said it plans to sell N of its N branch offices and to lay off N employees
 altogether employment is expected to decline to less than N from the current level of about N
 walter connolly chairman said in an interview that the company expects to record pretax gains of $ N million to $ N million from the sale of its leasing operations and of certain financial processing services
 in a prepared statement the company said it expects to realize those gains before year end
 nonperforming assets continued to pile up in the latest quarter rising to $ N million or N N of loans and leases from $ N million or N N at the end of the second quarter
 some $ N million of the $ N million increase in nonperforming loans was related to real estate and roughly <unk> of that was in the troubled new england market according to richard <unk> vice chairman
 mr. <unk> said that despite continued weakness in the region 's real estate market bank of new england expects the rate of increase in nonperforming assets to slow in coming quarters
 mr. connolly noted that net third-quarter <unk> at $ N million improved slightly from the $ N million in the second quarter
 and he indicated that more substantial improvement is expected in the next couple of quarters
 the company increased its loan loss reserve to $ N million from $ N million at the end of the second quarter
 total assets slipped to $ N billion from $ N billion as of june N
 among other restructuring measures the bank said it will close its loan production offices in chicago new york and philadelphia
 the chicago office figured <unk> in the bank 's problems earlier this year when $ N million in loans to chicago businessman william <unk> went sour
 in an internal memorandum to employees messrs. connolly and <unk> described the restructuring as an effort to continue <unk> operations assembled during a series of mergers over the past five years
 italy 's wholesale price index rose N N in august from july and was up N N from a year earlier the state statistical institute reported
 the index registered N in august compared with N in july and with N in august N
 the <unk> rise in august was slightly down from the N N rate in july
 the index has a base of N set in N and is n't seasonally adjusted
 u.s. steel imports in august fell N N from a year earlier to N tons according to the american iron and steel institute
 the trade group 's <unk> of commerce department data showed that august imports the second largest monthly total of the year were up N N from july 's N tons but below last year 's high of N tons in june N
 august imports claimed N N of the u.s. market compared with N N in july and N N in august N
 the latest month 's figures show that imports of steel from european community nations fell to N tons from N a month earlier while imports from japan rose to N tons from N in july
 imports from canada rose to N tons in august from N in july
 the american institute for imported steel said imports for the first eight months of N were below the level allowed by the voluntary restraint agreement program
 the institute said that excluding <unk> steel products <unk> imports represented N N of consumption compared with a permitted maximum of N N
 japanese machinery makers received orders totaling N trillion yen $ N billion in august up N N from a year earlier the economic planning agency said
 equipment orders on the domestic side were particularly strong in shipping and power utilities said an agency official
 the latest report compares with a modest N N increase in july machinery orders from a year earlier
 in august soon after wang laboratories inc. reported a staggering $ N million loss and replaced its president two boston sales representatives sent customers a letter saying we fully expect that you will soon be reading stories in the press reporting the amazing comeback at wang
 how soon wang will stage a comeback or if it will at all are still matters of debate
 but wang salespeople are trying to cope with the biggest challenge any marketer can face selling the products of a company that is on the ropes
 if your prospect is feeling risk the whole time and you 're not feeling as if you 're backed up by a stable company you 've lost it before you 've begun says mary ann <unk> a <unk> mass. sales <unk> and consultant who works with high technology companies
 it can happen in any industry
 consider the difficulties faced by <unk> salespeople when the car was tainted by false charges of sudden acceleration or exxon dealers ' problems in the wake of the <unk> oil spill
 like thousands of salespeople before them wang 's are finding ways to combat the bad news
 it 's very important that we <unk> confidence even though within the family we know there 's a lot of hard work ahead said richard miller the <unk> mass. computer concern 's new president in a video message to salespeople a month after he took over
 wang got into financial trouble because of bloated overhead and overly optimistic sales forecasts
 its <unk> minicomputers and word processors have lost ground to cheaper personal computers
 last year it funded its high employment by heavy borrowing and it suffered huge losses when sales turned down instead of rising
 after the company reported red ink for the fiscal third quarter wang 's marketing department provided the sales force answers to questions such as how could you not have known you were going to lose $ N million and is wang still a viable company
 salespeople try to push their products and avoid discussions of finances
 responding to such questions is defensive says kenneth <unk> wang 's vice president marketing
 that 's <unk> to the art of selling
 moreover he notes that analyzing financial results <unk> a problem for a salesman who is n't particularly familiar with a balance sheet
 at one sales strategy meeting an executive suggested ordering salespeople to become experts on the annual report
 mr. miller vetoed that even i ca n't understand all the <unk> he says
 instead he says if the salespeople can get the customers to consider wang 's products on their merits he or a top financial officer will try to <unk> the fears about finances
 mike <unk> a salesman in wang 's austin texas office has a <unk> method we tell them $ N billion companies do n't go out of business
 we tell them all the major companies are having financial difficulties
 numerous computer companies are having sales <unk> and earnings declines but very few have had losses comparable to wang 's or are carrying such a large debt load
 mr. miller says that after a sharp sales slump in july and august sales stabilized in september
 although wang will report a loss for the first quarter ended sept. N and the full fiscal year mr. miller says he expects the company will return to profitability by the fourth quarter
 experts on sales technique say anyone representing a troubled company must walk a fine line
 if a salesman <unk> his credibility in this time of trouble it will be a problem for the long run says george <unk> a <unk> nev. sales consultant and author of the marketing edge
 still says john sullivan a management <unk> with daniel roberts inc. of boston who has held senior sales positions at polaroid and <unk> the customer will react to strength
 ignore the present condition
 show it 's business as usual
 that is n't easy
 wang 's customers are data processing managers who want to be sure that their suppliers are stable <unk> companies that will be around to fix bugs and upgrade computers for years to come
 for buyers these are <unk> decisions says jean <unk> who <unk> a network of wang computers in the <unk> department at boston university
 the university is considering <unk> a $ N system to store applications electronically
 before the really bad news we were looking at wang fairly seriously she says
 but their present financial condition means i 'd have a hard time convincing the vice president in charge of purchasing
 ms. <unk> adds at some point we 'd have to ask how do we know that in three years you wo n't be in chapter N
 during the past year wang has developed new products and a new strategy and hired a new president
 wang 's overall product line is still not as good as other vendors but they 've come a long way says steven <unk> a consultant with market researcher gartner group stamford conn
 they were on the road to recovery in terms of customer attitudes until this bad quarter happened
 the first priority for wang 's sales force is to make sure it holds on to existing customers
 wang 's installed base is one of its greatest assets and many of those customers remain extremely loyal
 but even before wang 's latest financial troubles surfaced some customers were trying to wall off their wang installations so other departments would n't add wang says chris <unk> a former wang marketer who is now a market analyst with <unk> group a market research firm in stamford conn
 one wang salesman who left the company in july recalls that when he tried to sell products to eastman kodak he worked to <unk> support from internal allies but those allies became skeptical as they saw the <unk>
 the more recent losses were really devastating
 new customers the source of higher commissions for salespeople and the key to wang 's long-term viability are even tougher
 rick lynch a former top salesman in wang 's boston office referring to wang 's mainstay computer line says you ca n't sell a <unk> to a new customer
 mr. lynch left wang this summer for <unk> systems inc. a software vendor
 the financial problems are particularly frustrating for salespeople pushing wang 's image systems which convert paper forms to electronic documents
 consultants say that wang 's technology is among the best available in the image market
 but salespeople often found that news of wang 's problems <unk> their sales efforts
 william <unk> a former sales manager in indianapolis says that his office had all but sold a $ N million image system to pharmaceutical maker eli lilly & co
 when they were making the decision all hell broke loose with the finances
 he says the lilly executives told him they could n't take the risk with wang
 mr. <unk> say he does n't blame lilly
 buyers have to rely on a supplier continually upgrading and replacing the product he says
 when a company <unk> that it 's hard to go with wang
 for mr. <unk> who says he used to earn as much as $ N a year at wang it was one more reason to quit
 he is now president of <unk> homes inc. an indianapolis contractor
 it can be hard for a <unk> to fight off feelings of <unk>
 brian <unk> a former wang salesman in <unk> new york says you have pride in your job
 you think you can go out and turn things around
 it 's a tough thing when you ca n't
 the reason does n't <unk> to your selling skills
 <unk> feeds on itself
 the problem is if people get down in the <unk> they stop selling says mike <unk> a <unk> sales manager in wang 's austin office
 one key for salespeople is to boost their own morale
 paul <unk> a <unk> mass. sales and management consultant and author of ready aim you 're hired says the bad news is you 'll be rejected more
 the good news is it 's not your fault
 so he advises make goals <unk>
 for instance he suggests that salespeople making telephone calls should say to themselves all i want to do today is get N <unk>
 but mr. miller wang 's new president recently warned his salespeople about <unk>
 our customers watch us for the hidden message he said
 look a customer right in the eye and say i 'm glad to be at wang
 <unk> international enterprises inc. the parent of beleaguered <unk> <unk> robinson & co. said its shareholders approved a previously announced name change to <unk> enterprises inc
 the parent company is diversifying into other industries around the world said president <unk> <unk> in explaining the name change
 <unk> we talked about <unk> international people thought it was the brokerage house
 mr. <unk> said the change was n't related to the brokerage 's recent troubles which have included sharp declines in earnings <unk> with the securities regulators and lawsuits by former customers
 the company said it expects the name change to take effect within a week
 <unk> corp. said third-quarter net income rose N N on the strength of its chemical business
 net was $ N million or $ N a share up from $ N million or N cents a share a year earlier
 sales rose N N to $ N million from $ N million
 <unk> said its chemical segment had profit of $ N million up from $ N million a year ago largely because of gains in <unk> such as <unk> soda
 the company said the gains were tied to volume increases and higher prices
 the market for <unk> include the paper <unk> and textile industries
 the chemical segment had a $ N million gain on the sale of <unk> and <unk> businesses which was offset by a $ N million charge for future environmental expenditures
 profit in <unk> 's defense and <unk> segment rose to $ N million from $ N million
 the metals segment hurt by a strike had break-even results against $ N million a year ago
 in the first nine months net rose N N to $ N million or $ N a share from $ N million or $ N a share a year ago
 sales rose N N to $ N billion from $ N billion
 in new york stock exchange composite trading <unk> closed at $ N a share down N cents
 gte corp. and mci communications corp. reported strong earnings gains to record levels for the third quarter
 southwestern bell corp. and cincinnati bell posted slight declines
 gte corp
 gte said net income rose N N aided by higher long-distance calling volumes and an increase in telephone lines in service
 pretax operating profit from telephone operations rose N N but profits from telecommunications products and electrical products were flat
 revenues rose N N to $ N billion from $ N billion
 the company said the quarter included a N N increase in <unk> usage for long-distance calling and a N N increase in the number of access lines in service
 earlier rate reductions in texas and california reduced the quarter 's revenue and operating profit $ N million a year earlier operating profit in telephone operations was reduced by a similar amount as a result of a provision for a reorganization
 revenue in the telecommunications products and services unit rose N N to $ N million but operating profit was unchanged at $ N million partly because of start-up expenses
 electrical products ' sales fell to $ N million from $ N million with higher world-wide lighting volume offset by lower domestic prices and the impact of weaker currencies in europe and south america
 operating profit of $ N million was unchanged
 in composite trading on the new york stock exchange gte rose $ N to $ N
 mci communications corp
 mci which stepped up efforts to sell long-distance telephone service to residential customers reported a N N jump in earnings
 revenue rose N N to $ N billion from $ N billion
 operating profit grew N N to $ N million from $ N million while operating margins rose to N N from N N the previous quarter and N N a year ago
 daniel <unk> mci chief financial officer said the company sees further improvements in operating margins
 we think we can take it to the N N range over next N to N months he said
 in national over-the-counter trading mci fell $ N to $ N
 charles <unk> an analyst with smith barney harris upham & co. said some investors apparently expected slightly better revenue growth
 the company said that residential traffic grew faster than business traffic and attributed that to its new <unk> calling plan that competes with american telephone & telegraph 's reach out america plan
 mci claims about N N of the overall long-distance telephone market but just under N N of the $ N billion residential market
 it has been trying to improve its share of the residential market
 the company wants its business mix to more closely match that of at&t a step it says will help prevent cross <unk>
 mr. <unk> said mci recorded another solid cash positive quarter its fourth in a row but declined to comment on whether the company is considering a dividend or is planning any acquisition
 the current quarter he said looks fine
 we think revenue will continue to grow and that we can control costs and thus improve profitability
 southwestern bell corp
 southwestern bell corp. said net dropped N N mainly the result of four extraordinary items a franchise tax refund that its southwestern bell telephone co. unit received last year a production shift of several yellow pages <unk> to the fourth quarter from the third a rate refund in missouri and a one-time adjustment to phone company revenues
 revenue slipped N N to $ N billion from $ N billion
 the earnings drop had been expected
 chairman <unk> e. <unk> said southwestern bell 's businesses are healthy and are continuing to grow
 the company reported a N N increase in the number of access lines in service and also said its southwestern bell mobile systems unit added N new customers with a current total of about N
 southwestern shares fell N cents to $ N in composite trading on the new york stock exchange
 cincinnati bell inc
 cincinnati bell inc. said net declined N N
 the company noted that the year-ago period was particularly strong with an increase of nearly N N
 revenue jumped nearly N N to $ N million from $ N million
 in composite trading on the new york stock exchange cincinnati bell fell N cents to $ N
 the company said that the number of access lines dropped slightly in the quarter a decline attributed to seasonal fluctuations
 for the year however access lines in service have increased N N
 chairman <unk> <unk> said the company has set a new five year goal of doubling revenues to about $ N billion while steadily increasing net
 rockwell international corp. 's <unk> unit said it signed a tentative agreement extending its contract with boeing co. to provide structural parts for boeing 's N <unk>
 rockwell said the agreement calls for it to supply N additional so-called <unk> for the planes
 these include among other parts each jetliner 's two major <unk> a pressure floor <unk> box fixed leading <unk> for the wings and an <unk> <unk> beam
 under the existing contract rockwell said it has already delivered N of the <unk> to boeing
 rockwell based in el <unk> calif. is an aerospace electronics automotive and graphics concern
 frank <unk> iii was named to this telecommunications company 's board filling the vacancy created by the death of william <unk> last may
 mr. <unk> N years old served as defense secretary in the reagan administration
 in january he accepted the position of vice chairman of <unk> group a merchant banking concern
 shearson lehman hutton inc
 thomas e. <unk> N years old was named president and chief operating officer of <unk> co. a <unk> ill. subsidiary of this new york investment banking firm
 <unk> which has interests in real estate said the position is newly created
 mr. <unk> had been executive vice president of <unk>
 in addition to his previous real-estate investment and <unk> duties mr. <unk> takes responsibility for development and property management
 those duties had been held by van <unk> N who resigned as an executive vice president
 shearson is about <unk> by american express co
 great american bank citing depressed arizona real estate prices posted a third-quarter loss of $ N million or $ N a share
 a year earlier the savings bank had earnings of $ N million or N cents a share
 for the nine months it had a loss of $ N million or $ N a share after earnings of $ N million or $ N a share in the N period
 great american said it increased its loan-loss reserves by $ N million after reviewing its loan portfolio raising its total loan and real estate reserves to $ N million
 before the loan-loss addition it said it had operating profit of $ N million for the quarter
 the move followed a round of similar increases by other lenders against arizona real estate loans reflecting a continuing decline in that market
 in addition to the increased reserve the savings bank took a special charge of $ N million representing general and administrative expenses from staff reductions and other matters and it posted a $ N million reduction in expected mortgage <unk> fees reflecting the fact that more borrowers are <unk> their mortgages
 arbitragers were n't the only big losers in the collapse of ual corp. stock
 look at what happened to ual 's chairman stephen m. wolf and its chief financial officer john c. pope
 on a day some united airlines employees wanted mr. wolf fired and takeover stock speculators wanted his <unk> messrs. wolf and pope saw their prospective personal fortunes continue to plummet as shares of ual united 's parent company <unk> $ N on the big board to close at $ N
 including monday 's plunge that has given the two executives paper losses of $ N million based on what they would have realized had the pilots and management-led buy-out of ual gone through at $ N a share
 when bank financing for the buy-out collapsed last week so did ual 's stock
 even if the banks <unk> a financing package at $ N a share the two executives would still get about $ N million less than they stood to gain in the initial transaction
 mr. wolf owns N ual shares and has options to buy another N at $ N each
 in the $ 300-a-share <unk> that totaled about $ N million
 by yesterday 's close of trading it was good for a <unk> $ N million
 of course mr. wolf N years old has some savings
 he left his last two jobs at republic airlines and flying tiger with combined <unk> gains of about $ N million and ual gave him a $ N million bonus when it hired him
 his N salary was $ N with a $ N bonus
 the <unk> old mr. pope has n't changed jobs enough at least the right ones to <unk> away that kind of money
 united paid him a $ N bonus to lure him away from american airlines and he was paid a salary of $ N last year with a $ N bonus
 mr. pope owns N ual shares and has options to buy another N at $ N each
 that came to a combined $ N million under the $ 300-a-share buy-out but just $ N million at yesterday 's close
 of the combined $ N million the two men were scheduled to reap under the buy-out they agreed to invest in the buy-out just $ N million <unk> many of the thousands of workers asked to make pay concessions so the buy-out would be a success
 united 's directors voted themselves and their spouses lifetime access to the friendly <unk> free <unk> travel and $ N a year for life as well
 <unk> in a <unk> buy-out they could be <unk> back to coach seats for life
 thomas h. johnson president of the <unk> division of mead corp. was named president of manville forest products corp. a manville unit and senior vice president of manville corp
 mr. johnson succeeds harry w. sherman who resigned to pursue other interests in both positions
 manville is a building and forest products concern
 us facilities corp. said robert j. <unk> agreed to step down as vice chairman of the insurance holding company
 there was a difference of opinion as to the future direction of the company a spokeswoman said
 mr. <unk> declined to comment
 in a statement us facilities said mr. <unk> 's employment contract calls for him to act as a consultant to the company for two years
 he will also remain a director us facilities said but wo n't serve on any board committees
 mr. <unk> will be succeeded on an interim basis by george <unk> us facilities chairman and president
 in the same statement us facilities also said it had bought back N of its common shares in a private transaction
 terms were n't disclosed
 the buy-back represents about N N of the company 's shares based on the N million shares outstanding as of sept. N
 in national over-the-counter trading yesterday us facilities closed at $ N unchanged
 three leading drug companies reported robust third-quarter earnings bolstered by strong sales of newer <unk> <unk> drugs that provide hefty profit margins
 merck & co. reported a N N increase in earnings warner-lambert co. 's profit rose N N and eli lilly & co. 's net income rose N N
 the results were in line with analysts ' expectations
 merck & co
 merck <unk> n.j. continued to lead the industry with a strong sales performance in the human and animal <unk> segment
 a stronger u.s. dollar reduced third-quarter and <unk> sales growth N N and N N respectively
 international sales accounted for N N of total company sales for the nine months compared with N N a year earlier
 sales for the quarter rose to $ N billion from $ N billion
 <unk> merck 's new <unk> drug had higher sales than any other prescription medicine has ever achieved in the u.s. in the year following introduction the company said
 the drug was introduced in west germany this year
 intense competition however led to unit sales declines for a group of merck 's established human and <unk> products including <unk> and <unk>
 in new york stock exchange composite trading yesterday merck shares closed at $ N up N cents
 warner-lambert co
 warner-lambert morris plains n.j. reported sales that were a record for any quarter and the eighth quarter in a row of N N or more per-share earnings growth
 spurred by growth in world-wide sales of the company 's prescription drugs warner-lambert said N will be the best year in its history with per-share earnings expected to increase more than N N to about $ N
 sales for the quarter rose to $ N billion from $ N billion
 <unk> world-wide sales rose N N in the quarter to $ N million u.s. sales rose N N
 the segment 's growth was led by sales of the cardiovascular drugs <unk> a <unk> regulator and <unk> a <unk> channel <unk>
 world-wide sales of warner-lambert 's <unk> health-care products such as halls cough <unk> <unk> <unk> and <unk> skin <unk> increased N N to $ N million in the third quarter u.s. sales rose N N
 <unk> products sales also had strong growth in the quarter
 world-wide sales of <unk> gum <unk> breath <unk> and <unk> gum and breath <unk> increased N N to $ N million
 warner-lambert shares closed at $ N a share up $ N in big board composite trading yesterday
 eli lilly & co
 lilly attributed record third-quarter and nine-month results to world-wide gains for pharmaceuticals medical instruments and <unk> products despite poor exchange rates for the dollar that slowed sales abroad
 earnings continued to pace sales because of a lower tax rate profit from the <unk> of the debt instrument received from faberge inc. in connection with lilly 's sale of elizabeth <unk> inc. in N and net proceeds from the settlement of patent litigation at lilly 's <unk> inc. unit
 third-quarter sales of the indianapolis ind. company rose N N to $ N billion from $ N million
 nine-month sales grew N N to $ N billion from $ N billion a year earlier
 sales of <unk> an <unk> led <unk> increases
 higher sales of pesticides and other <unk> products more than offset a slight decline in the sales of <unk> products to fuel the increase in world-wide agricultural product sales lilly said
 advanced cardiovascular systems inc. and <unk> <unk> inc. units led growth in the <unk> systems division
 lilly shares closed yesterday in composite trading on the big board at $ N down N cents
 <unk> mark chairman of colgate-palmolive co. said he is comfortable with analysts ' estimates that third-quarter earnings rose to between N cents and $ N a share
 that compares with per-share earnings from continuing operations of N cents the year earlier including discontinued operations per-share was N cents a year ago
 the per-share estimates mean the consumer-products company 's net income increased to between $ N million and $ N million from $ N million the <unk> period
 analysts estimate colgate 's world-wide third-quarter sales rose about N N to $ N billion
 mr. mark attributed the earnings growth to strong sales in latin america asia and europe
 results were also bolstered by a very meaningful increase in operating profit by colgate 's u.s. business mr. mark said
 operating profit at colgate 's u.s. household products and <unk> businesses jumped N N in the quarter mr. mark added
 he said the improvement was a result of cost savings achieved by consolidating manufacturing operations <unk> two sales organizations and focusing more carefully the company 's promotional activities
 the estimated improvement in colgate 's u.s. operations took some analysts by surprise
 colgate 's household products business which includes such brands as <unk> <unk> detergent and <unk> <unk> has been a weak performer
 analysts estimate colgate 's sales of household products in the u.s. were flat for the quarter and they estimated operating margins at only N N to N N
 if you could say their business in the u.s. was <unk> but great everywhere else that would be fine says <unk> austin an analyst with wertheim schroder & co
 but it 's not <unk> it 's a real problem
 mr. mark conceded that colgate 's domestic business apart from its highly profitable hill 's pet products unit has lagged
 we 've done a lot to improve u.s. results and a lot more will be done mr. mark said
 improving profitability of u.s. operations is an extremely high priority in the company
 to focus on its global consumer-products business colgate sold its <unk> health-care business in N
 h. anthony <unk> was elected a director of this company which primarily has interests in radio and television stations increasing the number of seats to five
 <unk> also operates <unk> <unk> entertainment properties and small <unk> systems
 mr. <unk> is executive special projects at <unk> group holdings inc. which is controlled by manufacturers hanover corp
 the boston globe says its newly <unk> pages have a <unk> look with revamped <unk> aimed at making the paper more consistent and easier to read
 maybe so if you can find where your favorite writer went
 <unk> <unk> who spare no <unk> when taking on local <unk> such as michael <unk> <unk> <unk> or new england <unk> coach raymond rev. ray berry yesterday poured <unk> on new drawings of globe <unk> that replaced old photos in the revamped pages this week
 by late last night globe managing editor thomas <unk> <unk> to the will of his troops scrapped the new drawings
 for a few days at least he says no pictures or drawings of any kind will <unk> the columns
 trouble was nobody thought they looked right
 globe columnist mike <unk> in the second attack on his employer in as many weeks <unk> that his <unk> <unk> was so bad it looked like a face you 'd find on a bottle of <unk> <unk> that promises to do away with <unk> in our lifetime
 mr. <unk> reminded readers that he still has n't <unk> globe management for questioning a $ N expense <unk> he submitted for parking his car while chasing a story
 i thought the drawing a cross between someone you 'd spot <unk> open his <unk> <unk> or a guy who <unk> he 'd been charles <unk> 's <unk> for the last N years he said
 mr. <unk> was hardly <unk> to the <unk> of colleagues michael <unk> appears to be a <unk> will mcdonough looks as if he drove for <unk> lincoln or <unk> english whose little girl now <unk> <unk> every time she sees a newspaper
 lynn <unk> the globe 's assistant managing editor for design acknowledges that the <unk> were on the low end of the <unk> spectrum
 rival boston herald columnist <unk> carr who usually <unk> at <unk> <unk> and <unk> argued that the new drawings were designed to hide mr. <unk> 's rapidly growing <unk> and the <unk> defects of <unk> dan <unk> a globe sports columnist
 but think of the money you the reader will save on halloween said mr. <unk>
 instead of buying <unk> for your kids just cut out the <unk> ' pictures
 deeply <unk> in both the book review <unk> nature <unk> by stephen macdonald leisure & arts sept. N and the books reviewed is the assumption that global warming is entirely a result of human activity
 is such a view justified
 in the absence of humans would the earth enjoy a constant climate over the long term
 clearly not
 about N years ago the last ice age ended
 enormous ice sheets retreated from the face of north america northern europe and asia
 this global warming must have been entirely natural nobody would blame it on a few hundred thousand <unk> hunting <unk> and <unk> around in <unk>
 furthermore no bell has yet <unk> to announce the end of this <unk> episode of natural global warming
 it is probably continuing and may well account for most of or all of <unk> global warming
 i <unk> to no one in my regard for our <unk> heritage but if we are serious about global warming we must look at the big picture and not allow the dominant culture to lock us into the <unk> warming scenario as the sole model for discussion
 <unk> <unk> <unk> department university of
 the internal revenue service plans to restructure itself more like a private corporation
 in addition the <unk> agency says that it will take the unusual step of looking to the private sector to fill two new <unk> positions to guide the <unk> agency a comptroller to oversee daily finances and a chief information officer to update the information system which includes probably the largest computer data base in the world
 the irs also said that it would create the position of chief financial officer who will be hired from within the agency
 irs commissioner fred t. goldberg said the changes are intended to bring accountability to the agency which has an annual budget of more than $ N billion and <unk> about $ N trillion a year
 my assessment and everyone 's assessment is that we do not have the kinds of information that let us <unk> and effectively <unk> and execute our budget mr. goldberg said
 and we do n't have internal controls and discipline that we need to have to spend $ N billion properly
 mr. goldberg who took over as head of the irs in july has been <unk> by what he considers the <unk> waste and lack of coordination among the branches of the vast federal agency
 the irs operates on a computer system designed in N which it has been trying to modernize for years
 and the agency which operated throughout fiscal N with a $ N million budget <unk> has been under a hiring freeze since last fall
 the new commissioner says that closer scrutiny of how the agency uses its resources will go a long way toward <unk> its ability to collect more tax revenue
 i think that you will see a significant improvement in the budget <unk> and execution process which in turn i believe will result in a significant increase in revenue he said
 the irs hopes to fill the new positions soon
 <unk> it would <unk> career civil <unk> from within the agency but mr. goldberg said he plans to <unk> the world for the chief information officer and the comptroller
 although the jobs will probably pay between $ N and $ N a year irs officials are confident that they can attract <unk> candidates from the private sector
 you 're telling someone they can spend the next three or four or five or six years of their life bringing about the most difficult and costly modernization of an information system on the civil side ever mr. goldberg said
 on the comptroller side you 're developing and making work financial controls governing a $ N billion budget
 when <unk> <unk> <unk> the leader of the <unk> coup in panama was buried his body <unk> several <unk> <unk> a <unk> <unk> and broken <unk> and <unk>
 they were the signature of his adversary panamanian leader manuel antonio noriega
 the rebel officer 's slow and painful death at the headquarters of panama 's <unk> <unk> was personally <unk> by gen. noriega says a u.s. official with access to intelligence reports
 leaping into <unk> sinking into <unk> of <unk> and <unk> mr. noriega has put to death some N of his troops involved in the coup according to u.s. officials monitoring <unk> and <unk> <unk> in panama city
 he is now changing the place he <unk> every night sometimes more than once a night
 his meals are most often prepared by women he trusts his full-time <unk> <unk> <unk> and her mother <unk>
 and he is collecting the names of those who <unk> the <unk> to <unk> them during their brief time in control of his headquarters
 more enemies to be dealt with
 in the two weeks since the <unk> which the u.s. <unk> backed mr. noriega has been at his most <unk> and efficient in maintaining power
 yet while the failed coup is a major u.s. foreign policy embarrassment it is merely the latest chapter in a <unk> relationship between mr. noriega and washington that <unk> back three decades
 america 's war on the dictator over the past two years following his indictment on drug charges in february N is the <unk> of that relationship
 before american foreign policy set out to destroy noriega it helped create him out of the <unk> of panama 's long history of <unk> and <unk>
 for most of the past N years the marriage was one of convenience
 in N for example when mr. noriega was both a <unk> at an elite military academy in peru and a <unk> for the u.s. defense intelligence agency he was <unk> by <unk> authorities for allegedly <unk> and <unk> beating a <unk> according to a u.s. embassy cable from that period
 the woman had nearly died
 but u.s. intelligence rather than rein in or cut loose its new spy merely filed the report away
 mr. noriega 's tips on emerging <unk> at his school were deemed more important to u.s. interests
 from that point on the u.s. would make a practice of <unk> the panamanian 's <unk>
 the u.s. has <unk> and later turned against many <unk> but none quite so <unk>
 the <unk> mr. noriega is n't as smooth as the shah of iran as <unk> as nicaragua 's <unk> <unk> as imperial as ferdinand marcos of the philippines or as bloody as <unk> 's baby <unk> <unk>
 yet he has proved more <unk> than any of them
 and out of necessity the u.s. can make mistakes and still hope to remove him from power but a single error on his part could cost him his life
 the u.s. underestimated noriega all along says <unk> moss a former ambassador to panama
 he has <unk> the art of survival
 in keeping with america 's long history of <unk> up mr. noriega recent u.s. actions have extended rather than <unk> his survival
 mr. noriega might have fallen of his own weight in N because of panama 's dire economic situation says mr. moss but increasing external pressure has only given him additional <unk> for repression and a <unk> for his own <unk>
 if the u.s. had sat back and done nothing he might not have made it through N mr. moss contends
 perhaps most important mr. noriega 's allies have intervened to encourage in some cases to demand that the dictator maintain his grip of the <unk>
 one colombian drug boss upon hearing in N that gen. noriega was negotiating with the u.s. to abandon his command for a comfortable <unk> sent him a <unk> <unk> <unk> <unk> with his name
 he is <unk> says the rev. fernando <unk> who has led catholic church opposition against noriega
 the americans have left him without a way out
 it is easy to fight when you do n't have any other option
 his chief advantage in the fight his intimate knowledge of american ways and weaknesses
 mr. noriega often tells friends that patience is the best weapon against the <unk> who have a short attention span and little <unk> for lasting confrontation
 the u.s. discovered the young tony noriega in late N when he was in his second year at the <unk> military academy in <unk> according to former u.s. intelligence officials
 the contact occurred through mr. noriega 's <unk> a panamanian diplomat based in peru named luis carlos noriega <unk>
 luis carlos knowing that helping the americans could advance the career of any panamanian officer <unk> tony 's reports on the leftist <unk> he observed among his fellow students and more important among his officers and <unk>
 a spy was born
 it was a <unk> experience for the <unk> and slightly built mr. noriega who was known to his friends as cara la <unk> <unk> face
 born the <unk> son of his father 's <unk> he was raised on the mean streets of the central market district of panama city
 tony was four years older than most of his fellow <unk> and gained admission to the academy because his brother had <unk> his birth certificate
 he considered himself <unk> superior to his <unk> <unk> many of whom were <unk> sons sent by their <unk> families to the highly disciplined <unk> academy as a sort of reform school
 in his peaked military cap and neatly pressed <unk> uniform noriega felt more respected and powerful than ever in his <unk> life friends from the period say
 he had an elegant uniform with gold <unk> in a country where there was a <unk> of <unk> where officers were the elite with special privileges recalls <unk> <unk> a fellow student in peru and a <unk> friend
 mr. noriega 's relationship to american intelligence agencies became <unk> in either N or N intelligence officials say
 his commanding officer at the <unk> province garrison major <unk> torrijos gave him an intriguing <unk> mr. noriega would <unk> the province 's first intelligence service
 the spy network would serve two clients the panamanian government by monitoring political opponents in the region and the u.s. by tracking the growing communist influence in the unions organized at united fruit co. 's <unk> <unk> in <unk> del <unk> and puerto <unk>
 united fruit was one of the two largest <unk> to panama 's national income
 satisfying its interests was a priority for any panamanian leader
 mr. noriega 's initial <unk> was only $ N to $ N a month plus <unk> gifts of liquor or <unk> from the american <unk> a former intelligence official says
 it was modest pay by american standards but a healthy boost to his small military salary which fellow officers remember as having been $ N to $ N monthly
 he did it very well recalls <unk> <unk> a former panamanian <unk> who managed mr. noriega and his operation
 he started building the files that helped him gain power
 a national guard job assumed by <unk> noriega in N as chief of the transit police in david city capital of the <unk> province was <unk> for an <unk> <unk>
 by <unk> taxi and bus drivers who needed licenses he gained a ready <unk> of information
 he knew which local <unk> had been caught driving drunk which had been found with their <unk>
 this proved particularly valuable to the panamanian government in N when union leaders were planning a may day march that the government feared could turn violent
 mr. noriega had learned that a local union leader was sleeping with the wife of his deputy
 so he <unk> the information on <unk> that he distributed throughout the <unk> city of puerto <unk> which was ruled by united fruit co
 the campaign so divided union leaders that the government found them far easier to control
 it was like a play on broadway recalls mr. <unk>
 noriega managed the whole thing
 he was <unk>
 noriega was an expert at <unk> and <unk> people
 during his years in <unk> however mr. noriega also revealed himself as an officer as <unk> as he was <unk>
 <unk> <unk> a local lawyer and human-rights monitor recalls an <unk> noriega visiting <unk> in their cells at the <unk> zone garrison headquarters in david where he had his offices
 mr. noriega would order them all to take off their clothes and run around the <unk> naked laughing at them and then retreating to his office
 people started wondering if something was wrong with him mr. <unk> recalls
 but through this period so far as the u.s. military was concerned mr. noriega was a model recruit
 he signed up for intelligence and <unk> training under american officers at fort <unk> in panama in july N according to a copy of a N resume with details mr. noriega has since classified as secret
 he flew to fort <unk> n.c. in september of that year for a course in psychological operations returning to the school of the <unk> in panama for a <unk> course called military intelligence for officers
 some american officers interpreted his eagerness and <unk> as a sign of loyalty but they did so <unk>
 he rose to chief of intelligence in panama 's <unk> <unk> in N after providing <unk> dictator torrijos the critical support to defeat a coup attempt against him a year earlier
 he became gen. torrijos 's <unk> shadow and the holder of all panama 's secrets
 mr. noriega by now a <unk> <unk> expanded his contacts to include the cubans not to mention the <unk> the taiwanese and any other intelligence service that came knocking
 when u.s. diplomats complained to the cia of col. noriega 's <unk> intelligence experts always insisted that his <unk> was first to the americans
 early on in the state department we took to calling him the <unk> in <unk> to his ability to simultaneously milk the <unk> intelligence services of cuba and the united states recalls francis j. <unk> who as deputy assistant secretary of state for <unk> affairs first ran across reports about mr. noriega in N
 some of us <unk> how our intelligence people could put so much stock in his information when he was just as close to the cubans
 even at this early stage drugs caused additional concerns
 during the nixon administration the drug enforcement administration became <unk> at the extent of the <unk> 's connections to arrested drug traffickers
 one <unk> agent drew up a list of five options for dealing with col. noriega one of which was assassination
 the head of the <unk> at the time john ingersoll <unk> the assassination plan
 but he did fly to panama to <unk> dictator torrijos on the drug ties of panamanian officials including mr. noriega
 mr. ingersoll later recalled that gen. torrijos seemed afraid to act on the concerns of the u.s.
 everybody was afraid of him mr. ingersoll says
 mr. noriega became an even greater threat in N when u.s. intelligence services discovered that he had been buying <unk> of electronically monitored conversations from three <unk> working for the u.s. army 's <unk> military intelligence group
 the tapes included <unk> of gen. torrijos 's own phone according to american intelligence officials
 we caught him with his hands on our <unk> <unk> says former cia director <unk> turner
 for the first time the u.s. considered cutting mr. noriega from its intelligence payroll and the deliberations were intense mr. turner says
 in the world of intelligence if you want to get information you get it from <unk> characters
 the question is how much you get tied in with <unk> characters so they can <unk> you
 intelligence officials to this day worry whether mr. noriega sold sensitive information on the <unk> to the cubans or others
 mr. turner was troubled enough to cancel the u.s. contract with the <unk> at the beginning of the carter administration
 the u.s. soon found new cause for concern <unk>
 prosecutors in southern florida indicted five <unk> on charges of illegally running arms to sandinista rebels trying to <unk> the nicaraguan government of mr. <unk>
 they included one of mr. noriega 's <unk> friends and business partners carlos <unk>
 and the investigators were quickly closing in on mr. noriega himself
 at the time though in N the u.s. was once again <unk> with its longtime latin american spy
 mr. noriega made plans to fly to washington for a meeting with his counterpart at the pentagon
 <unk> county and federal authorities learning that he intended to fly through miami made plans to arrest him on the <unk> charges as soon as he hit u.s. soil
 it was a friday in june
 the pentagon <unk> the plan
 according to military officers at the time word was passed to mr. noriega by his american hosts that the police would be waiting
 on monday u.s. officials received a routine <unk> message from the military group <unk> in panama
 due to health reasons <unk> col. noriega has elected to postpone his visit to washington it read
 prosecutors in miami received yet another setback
 their original indictment against mr. <unk> the friend of mr. noriega and the other four was dismissed on a <unk>
 but now along with <unk> mr. noriega 's <unk> they intended to charge mr. noriega himself on allegations that he was involved in the illegal trading of some $ N million in arms
 in january N jerome sanford as assistant u.s. attorney was summoned to a meeting with a federal bureau of investigation agent assigned to the bureau of alcohol tobacco and <unk> in miami
 panamanian dictator torrijos he was told had granted the shah of iran <unk> in panama as a favor to washington
 mr. sanford was told mr. noriega 's friend mr. <unk> would be handling the shah 's security
 it would n't be a good idea to <unk> him much less mr. noriega the prosecutor was told
 after <unk> from mr. sanford u.s. attorney jack <unk> pleaded with justice department officials in washington to let the indictment proceed
 unfortunately mr. <unk> wrote in a letter those of us in law enforcement in miami find ourselves frequently attempting to enforce the laws of the united states but simultaneously being caught between foreign policy considerations over which we have no control
 the letter along with a detailed prosecution memo sat on the desks of justice officials for months before the case died a quiet death
 i think if we had been allowed to go ahead then we would n't have the problems we have now mr. sanford says
 if he had been found guilty we could have stopped him
 in august N mr. noriega took over as general and <unk> dictator of panama having <unk> his way to the top only two years after the <unk> death in a plane crash of his old boss <unk> torrijos
 soon the military became a <unk> mafia controlling legal and illegal businesses
 the reagan administration also put mr. noriega 's <unk> back on the u.s. payroll
 payments averaged nearly $ N a year from the u.s. defense intelligence agency and the cia
 although working for u.s. intelligence mr. noriega was hardly helping the u.s. exclusively
 during the reagan years he expanded his business and intelligence contacts with the cubans and the sandinistas
 he allegedly entered into panama 's first formal business arrangement with colombian drug bosses according to <unk> <unk> a pilot who once worked for mr. noriega and who testified before the u.s. grand jury in miami that would ultimately <unk> the panamanian on drug charges
 but mr. noriega was convinced the reagan white house would n't act against him recalls his close ally jose <unk> because he had an insurance policy his involvement with the contra rebels in nicaragua
 mr. <unk> says the general allowed the contras to set up a secret training center in panama
 mr. noriega also <unk> intelligence from his spy operation inside the nicaraguan capital of managua
 and on at least one occasion in the spring of N he helped arrange a sabotage attack on a sandinista <unk> in nicaragua
 although his help for the contra cause was limited it was enough to win him important <unk> in the reagan administration says sen. patrick <unk> a vermont democrat who then served on the senate intelligence committee
 noriega played u.s. intelligence agencies and the u.s. government like a violin he says
 an incident in N suggested one additional means by which mr. noriega might have maintained such influence with washington by <unk> u.s. officials
 <unk> windsor then the ambassador to costa rica recalls being invited to panama by mr. noriega 's brother luis carlos for a weekend of deep sea fishing and quiet serious conversation on the <unk> peninsula
 mr. windsor notified <unk> e. briggs the u.s. ambassador to panama of the invitation
 briggs <unk> mr. windsor recalls
 he says mr. briggs told him he was being set up for a <unk> trap in which mr. noriega would try to involve him in an <unk> and then record the event with sound and video
 mr. briggs on vacation after resigning his position at the national security council could n't be reached for comment
 as mr. noriega 's political troubles grew so did his offers of assistance to the contras an apparent attempt to curry more favor in washington
 for instance he helped steal the may N panamanian elections for the ruling party
 but just one month later he also contributed $ N to a contra leader according to documents released for oliver north 's criminal trial in washington <unk>
 yet his political setbacks mounted
 mr. noriega was accused of ordering in N the <unk> of hugo <unk> his most outspoken political opponent and the first man to publicly finger mr. noriega on drug trafficking charges
 he then ousted president nicholas <unk> <unk> a former world bank official with close ties to the u.s. after mr. <unk> tried to create a commission to investigate the murder
 and all the while panama 's debt problems continued to grow
 mr. noriega was growing desperate
 in late N he made an offer he thought the u.s. could n't refuse
 as <unk> in a <unk> that <unk> government documents released for the north trial mr. noriega offered to <unk> the sandinista leadership in exchange for a promise to help clean up noriega 's image and a commitment to lift the u.s. ban on military sales to the panamanian defense forces
 north the document went on referring to oliver north has told noriega 's representative that u.s. law <unk> such actions
 the representative responded that noriega had numerous assets in place in nicaragua and could accomplish many essential things just as noriega had helped the u.s. the previous year in <unk> up a sandinista <unk>
 col. north <unk> the request to his <unk> and to assistant secretary of state <unk> abrams who <unk> it to secretary of state george <unk>
 mr. noriega 's proposal was turned down
 and mr. <unk> <unk> told mr. abrams that the general should be told that only he could repair his <unk> image
 the end of the marriage was at hand
 within weeks the <unk> iran-contra scandal took away mr. noriega 's insurance policy
 the death of cia director william <unk> and resignation of oliver north allowed <unk> political forces to gain influence
 public protests against him were triggered in june N due to charges by <unk> <unk> his former chief of staff that mr. noriega had stolen the N election and had ordered the killing of messrs. <unk> and torrijos
 few american officials were willing any longer to defend him
 lawyers in miami this time working virtually without <unk> prepared to have him indicted on drug charges in february N
 during negotiations with american officials in may N over proposals to drop the u.s. <unk> in exchange for his resignation mr. noriega often asked almost <unk> how the americans whom he had helped for so many years could turn against him
 now neither side the u.s. nor mr. noriega has an easy out
 president bush has sworn to bring him to justice
 mr. noriega believes he has n't any alternative but to continue <unk> to power
 it is a <unk> battle perhaps to the death
 in the end is mr. noriega the political equivalent of <unk> 's monster created by a <unk> but <unk> foreign power
 not quite sen. <unk> contends
 for short-term gains people were willing to put up with him
 that allowed him to get stronger and stronger he says
 i do n't think we created him as much as we fed him <unk> him and let him grow up to be big and strong
 upjohn co. reported that third-quarter net income rose to $ N million or N cents a share from $ N million or N cents a share a year earlier
 yesterday 's edition provided analysts ' estimates for the company when actual earnings were available
 industrial production declined N N in september reinforcing other signs that the manufacturing sector continues its slowing trend
 the federal reserve board said output of the nation 's factories mines and utilities expanded at an annual rate of N N in the third quarter substantially slower than the N N annual rate in the second quarter
 capital spending and exports which have been the driving force in this expansion are showing clear signs of having the steam taken out of them said robert <unk> economist for northern trust co. in chicago
 the new reports of <unk> which were <unk> by an earlier labor department report that manufacturing <unk> dropped by N in september give the fed another reason to further ease its grip on credit and lower interest rates
 they need to do something about this said <unk> harris economist at painewebber group inc
 the fed also said u.s. industry operated at N N of capacity last month down from N N in august
 measures of manufacturing activity fell more than the overall measures
 factory output dropped N N its first decline since february after having been unchanged in october
 factories operated at N N of capacity the lowest rate in more than a year and down from N N in september
 the declines mainly reflected widespread weakness in durable goods those intended to last more than three years
 the biggest drop was recorded by primary metals producers a category that includes the steel industry
 output of business equipment was unchanged in september
 production of factory equipment one indication of the strength of manufacturers ' investment spending fell N N
 some economists expect further declines in investment spending
 whenever corporate profits are weak that means capital spending is going to soften subsequently mr. harris said
 you have n't seen the full effect of that yet
 a decline in truck production more than offset a sharp rise in auto <unk> the fed noted
 analysts do n't expect the september surge in auto production to be repeated in the coming months
 here is a summary of the federal reserve board 's report on industrial production in september
 the figures are seasonally adjusted
 N N of the N average
 robin <unk> president and chief executive officer of this bank holding company was elected to the additional posts of chairman president and chief executive of the company 's new england savings bank subsidiary
 william r. <unk> resigned those posts as well as a seat on <unk> 's board
 <unk> is also the parent of <unk>
 lung-cancer mortality rates for people under N years of age have begun to decline federal researchers report
 the drop is particularly large for white males although black males and white and black women also show lower mortality rates
 a report in this week 's issue of the journal of the national cancer institute also projects that overall u.s. mortality rates from lung cancer the leading cause of cancer death should begin to drop in several years if cigarette smoking continues to <unk>
 the report which comes N years after the u.s. surgeon general issued a report warning against the dangers of smoking is the strongest indication to date that the reduction in smoking is leading to lower death rates from lung cancer
 what this is saying is that the surgeon general 's message is having an impact said <unk> <unk> an <unk> at the johns hopkins school of <unk> and public health in baltimore
 the national cancer institute report compares mortality rates of two groups of people between the ages of N and N a decade apart
 the death rate from lung cancer of white males aged N to N in the mid-1970s was N per N but the mortality rate of the same age group in the mid-1980s was N a decline of N N
 measured the same way the decline for black males was N N
 the drop in mortality rates for women was less steep N N for blacks and N N for whites
 the study by susan <unk> william <unk> and joseph <unk> of the institute 's staff also shows that the <unk> of lung cancer as well as the death rate declined over the decade for all groups in the N age <unk> except black men
 although lung-cancer mortality rates are increasing for the nation as a whole the report projects that death rates will begin to decline in the 1990s for men and after the year N for women
 lung-cancer mortality rates increase with age and are continuing to rise for all age groups over N with sharp increases for everybody but white men
 but dr. <unk> one of the authors of the report said the declining rates we 're seeing for younger people we believe may be a <unk> of declining mortality in the future
 however he stressed that the improvement depends on a continued reduction in smoking
 even though these favorable trends in lung-cancer mortality affect all sex and race groups they ca n't be taken for granted the report says
 smoking prevention programs should reach larger segments of the population especially children <unk> and minorities
 an editorial in the <unk> journal says the report of declining lung-cancer mortality among young men and women in the u.s. indicates that we finally may be winning the battle this even in a country where the tobacco industry spends over $ N billion a year for promotion of the <unk> habit of smoking
 but the editorial by jan <unk> of the world health organization notes that tobacco consumption and lung-cancer mortality rates are rising in developing countries
 <unk> should be established as the <unk> of social behavior around the world the editorial says through the enactment of laws that limit advertising boost tobacco prices and promote <unk> education
 asked for comment walker <unk> a vice president of the tobacco institute said new efforts to restrict tobacco advertising in the u.s. could violate the first amendment protection of free speech
 according to the american cancer society smoking is responsible for N N of the lung-cancer cases among men and N N among women
 the <unk> report attributes the differences in mortality rates by race to different smoking patterns
 a higher proportion of black men smoke than white men
 while nearly equal <unk> of black and white women currently smoke in both <unk> more whites have given up smoking than blacks
 in <unk> changes in mortality rates over the past decade the <unk> study looked only at blacks and whites
 <unk> and native americans were n't studied hispanics were included with whites
 recent changes in average annual <unk> lung-cancer rates per N population by race and sex
 white males
 white <unk>
 black males
 black <unk>
 directors elected r. marvin <unk> currently vice <unk> supply purchasing to head the company 's washington d.c. office
 as vice <unk> relations mr. <unk> will work with p&g 's top management and with the company 's <unk> staff to represent p&g 's interests at the federal level said john g. <unk> chairman and chief executive officer
 mr. <unk> said the appointment recognizes the growing influence of government on our business
 mr. <unk> N years old has been with the big producer of household products food and pharmaceuticals for N years
 traders trying to profit from the recent volatility in financial markets <unk> the nasdaq over-the-counter market prompting even more swings in stock prices
 after gaining strength during a brief <unk> when trading began the nasdaq composite index weakened under selling pressure
 the forces at work included computer-guided trading as well as <unk> market makers and institutional investors who had bought stock on the cheap during the recent correction
 during the last two hours of trading the composite almost drew even on the day before slipping again
 the nasdaq composite closed down N or N N to N
 the action was confined to nasdaq 's biggest and most liquid stocks traders said
 the nasdaq N index began the day at N lost N N at one point and was up N N at another
 the barometer of the biggest <unk> stocks settled at N off N
 its counterpart the nasdaq financial index was weak for most of the day sliding N to N by the end of trading
 the volatility was dizzying for traders
 the market must have turned up and down N different times <unk> <unk> <unk> head of otc trading at kidder peabody
 every time you thought it was going into a rally it gave up and every time you thought it would rally it came down
 this is a tough market
 mr. <unk> said the market is still settling down after the recent correction
 most of trading action now is from professional traders who are trying to take advantage of the price swings to turn a quick profit he and other traders said
 everybody 's confused and no one has an opinion that lasts longer than N seconds said mr. <unk>
 a lot of the professional traders are just going back and forth
 they 're just as confused
 william <unk> head of otc trading at alex brown & sons in baltimore said program trading is keeping the markets unsettled
 he believes that the volatile conditions created by program trading has <unk> confused investors about where the market is headed
 program trading is benefiting a few to the <unk> of many and i wish someone would do something about it he complained
 trading activity cooled off from monday 's <unk> pace
 share turnover <unk> to N million
 advancing and declining issues finished about even
 of the N stocks that changed hands N declined and N advanced
 one big technology issue <unk> rode the roller <unk>
 the stock which finished monday at N N traded as high as N N and as low as N N before closing at N N down N
 it was a <unk> day for investors in genetics institute
 the stock tumbled N N on news that it might have to take a charge against earnings if it ca n't successfully resolve a dispute with its european <unk> <unk> <unk> over its <unk> drug epo
 the stock recovered somewhat to finish N N lower at N N
 in a statement genetics institute said the dispute with <unk> centers on questions of the <unk> of certain <unk> of epo material valued at $ N million
 earlier this week genetics institute reported wider losses in its fiscal third quarter ended aug. N
 price co. jumped N N to N on N million shares
 the <unk> of cash and carry merchandise reported fiscal <unk> earnings that were better than analysts had expected
 the company also pleased analysts by announcing four new store <unk> planned for fiscal N ending next august
 that will bring the total for the year to N from five during fiscal N
 every year we 've been waiting for <unk> expansion from the company
 the news could n't have been better said linda <unk> a dean witter reynolds analyst in an interview
 <unk> a maker of optical <unk> devices also reported higher third-quarter earnings
 its shares added N to N N
 but favorable earnings was n't a guarantee that a stock 's price would improve yesterday
 mci communications tumbled N N to N N on N million shares even though the telecommunications giant reported a N N increase in third-quarter profit
 <unk> financial slipped N to N N in active trading after reporting that third-quarter earnings improved to $ N a share from $ N a share a year earlier
 however the bank holding company 's loan-loss reserves rose to $ N million from $ N million a year earlier
 <unk> brands lost N to N
 but its <unk> earnings rose to N cents a share from N cents a share last year
 capital associates dropped N to N N
 the company which leases technology equipment reported substantially lower net income for its fiscal first quarter which ended aug. N
 robert m. <unk> N was named president and chief operating officer of this closely held publisher
 the post had been vacant for more than a year
 mr. <unk> had been executive vice president for operations
 in addition ralph ingersoll ii N chairman and chief executive said he would take on additional responsibilities as editor in chief of the company
 john <unk> resigned as editor in chief
 mr. ingersoll remains editor in chief of the company 's recently launched daily the st. louis sun
 also jean b. <unk> N was named executive vice president treasurer and chief financial officer
 michael <unk> resigned after less than a year in the posts
 ms. <unk> had been executive financial assistant to the chairman
 certainly conservative environmentalists can defend their limited government position by <unk> between old environmentalism and new environmentalism journalists and others for saving the planet by david brooks editorial page oct. N
 old environmentalism involved <unk> <unk> and <unk>
 it started with improvements in <unk> made possible by affordable soap and <unk> underwear during the industrial revolution
 then <unk> <unk> pipe and the flush toilet were followed by <unk> and <unk> plants toward the end of the 19th century
 medicine in the 19th century was dedicated mostly to <unk> <unk> and diagnostic analysis
 then the 20th century saw the evolution of private-sector wonder drugs which <unk> medical therapy
 the process dramatically increased our average life <unk> eliminated much pain and constantly improved health and <unk>
 most <unk> measures were handled at the local level
 new environmentalism probably started in N with the publication of <unk> carson 's book silent spring
 shortly thereafter <unk> articles began to appear predicting that advanced industrial <unk> would produce a <unk> <unk> planet possibly by the turn of the century
 these <unk> predictions were advanced by such <unk> as paul ehrlich barry <unk> <unk> <unk> and george <unk>
 writing in the 1960s ms. carson suggested that the human race could be eliminated in N years and mr. <unk> suggested that life on earth might end by N
 mr. ehrlich predicted unprecedented <unk> by N
 there were many more
 thousands of chemical products were <unk> as <unk> with recommendations that they be banned from industrial use because they produced malignant <unk> in <unk> <unk>
 unknown before N were the <unk> effects of acid rain greenhouse warming and ozone depletion all of which required <unk> political power and <unk> expense
 meanwhile the new environmentalists <unk> opposed the methods of the old environmentalists
 local pollution problems require cheap energy and capital for their solution
 but the new environmentalists oppose private wealth creation which they claim <unk> natural resources and nuclear power even though it would <unk> the greenhouse effect
 they are in the <unk> of opposing the search for new <unk> and methods of <unk> and even oppose new methods of research such as genetic engineering
 new environmentalism is an emotional attack on proven methods of improving our quality of life and a bid for political power
 let 's <unk> our priorities by solving pollution problems at the local level as <unk>
 harry lee smith <unk> <unk>
 your story missed some essential points of the conference on the global environment are we <unk>
 first and <unk> the <unk> presented by the various scientists represent a general consensus among specialists working in the respective aspects of the global environment
 consider for example the greenhouse effect and climate change numerous <unk> scientific committees including one from the national academy of science judge there is a greater than N N probability of a grave problem in the <unk>
 the point was to answer the question in the conference title not to try to create news stories for the event itself
 nor was it intended to <unk> a set of <unk> solutions although various points were raised
 each speaker was asked to address a specific topic not deliver a point of view
 each scientist <unk> concluded society and government are <unk> when it comes to <unk> policy change
 this leads to a very special sense of urgency
 if the media decide to work harder at <unk> the public about these complex and technical issues that hardly can be termed <unk> journalism
 the environment can no longer be a normal issue to be dealt with on a <unk> basis with comfortable <unk> of change
 we have literally altered the chemistry and physics of our planet 's atmosphere
 this <unk> consequences from what we have already done that will be very <unk> to social and economic systems
 the problems of the environment are so <unk> so <unk> <unk> with our current way of life and so large that it is unlikely we will be able to address them effectively unless major changes are made in less than N years
 the consensus from the scientific community is that there is sufficient evidence to advise major policy changes
 no we are not <unk>
 thomas e. <unk> assistant secretary for external affairs <unk> institution
 coca-cola enterprises inc. <unk> its dismal earnings forecast for N said its third-quarter net income fell N N on flat revenue
 <unk> by higher marketing costs and slowing volume growth the giant coke bottling operation said net fell to $ N million or six cents a share from $ N million or N cents a share the year earlier
 the results met estimates of analysts who had already slashed their projections after the company said in late august that its N earnings could tumble as much as N N
 a company spokesman said yesterday that coca-cola enterprises <unk> by its N forecast
 third-quarter revenue was flat at $ N billion
 the year-ago results however included the operations of a bottling business which was sold last december
 excluding that bottling business coca-cola enterprises ' volume measured by cases of soda rose only N N
 the volume is well below the industry 's N N to N N growth rate of recent years but in line with other soft-drink companies for the third quarter
 the latest third-quarter volume also compares with a very strong N N growth in the year-ago quarter
 coca-cola enterprises blamed the lower volume on its soft-drink prices which were about N N higher in the third quarter
 consumers have been accustomed to buying <unk> at discounted prices for several years
 coca-cola enterprises said it had to boost spending for trade and dealer incentives to try to keep volumes from slipping
 the company said it expects consumers will adjust to <unk> soft drinks
 a spokesman attributed the bulk of a N N increase in selling administrative and general expenses to $ N million to marketing costs
 they 're out there promoting like crazy trying to get prices up by promotion said roy <unk> an analyst with kidder peabody & co
 for the nine months coca-cola enterprises ' net fell N N to $ N million or N cents a share from $ N million or N cents a share
 revenue was flat at about $ N billion
 coca-cola enterprises which is <unk> by coca-cola co. also said it <unk> about N million of its common shares during the third quarter
 the buy-back is part of a <unk> repurchase plan under which coca-cola enterprises so far has acquired a total of N million shares
 separately purchase <unk> pepsico inc. as expected said fiscal third-quarter net rose N N to $ N million or $ N a share from $ N million or N cents a share
 sales rose N N to $ N billion from $ N billion
 the year-ago quarter 's results include an after-tax charge of $ N million from the sale of a <unk> in spain
 in composite trading on the new york stock exchange coca-cola enterprises closed at $ N a share down N cents
 pepsico closed at $ N a share up $ N
 l.j. hooker corp. is expected to reach an agreement in principle this week to sell merksamer jewelers inc. to management say executives familiar with the talks
 l.j. hooker based in atlanta filed for chapter N bankruptcy protection earlier this year
 currently its parent company hooker corp. of sydney australia is being managed by a court-appointed <unk>
 it is expected that ge capital corp. a financial-services subsidiary of general electric co. will provide much of the funding for the proposed leveraged buy-out of merksamer based in sacramento calif
 a spokesman for ge capital declined to comment
 ge capital has a working relationship with l.j. hooker
 it is providing $ N million in emergency financing to the company and has agreed to buy as much as $ N million in receivables from b. altman & co. and <unk> teller l.j. hooker 's two fully owned department-store chains
 sam merksamer chief executive officer of the nationwide jewelry chain and sanford <unk> chief executive of l.j. hooker corp. both declined to comment
 currently mr. merksamer owns N N of the company l.j. hooker acquired its N N interest in the firm in may N
 at the time the merksamer chain had N stores in operation
 today there are N units all located in shopping <unk>
 in recent weeks mr. merksamer has approached a number of his suppliers and asked them to provide letters of intent saying they will continue shipping merchandise to the chain following the buy-out say those familiar with the situation
 this year a number of retail leveraged <unk> have failed causing jitters among suppliers and mr. merksamer apparently wanted assurances that he wo n't have delivery problems
 for the year ended june N N merksamer jewelers had $ N million of revenue and operating profit of $ N million
 the <unk> chain was put up for sale in june
 according to those familiar with the situation other bidders included ratners group plc of london and <unk> jewelers inc
 first boston corp. is advising l.j. hooker on the sale of the merksamer business
 merksamer was the first in a series of retail acquisitions made by l.j. hooker
 the company was founded in sacramento in N by two brothers ralph and walter merksamer who operated as <unk> 's jewelers
 in N the pair split the company in half with walter and his son sam agreeing to operate under the merksamer <unk> name
 the sale of merksamer jewelers is subject to approval by judge <unk> <unk> of u.s. bankruptcy court
 as earlier reported l.j. hooker this week received a $ N million bid for its three shopping <unk> plus other properties from a consortium led by <unk> real-estate investor jay <unk> and a. boyd simpson an atlanta developer and former l.j. hooker senior executive
 the offer which did n't include the merksamer chain is being reviewed by mr. <unk>
 robert j. <unk> was named president and chief executive officer of this company 's <unk> corp. unit
 mr. <unk> had been president and chief executive of <unk> industries inc
 robert h. <unk> previous president and chief executive of <unk> will assume the title of chairman of the unit a <unk> maker
 the days may be numbered for <unk> shows featuring <unk> the <unk> kid and the <unk>
 nbc a leader in morning prime-time and late night programs but an <unk> on saturday <unk> when children rule the tv set is contemplating getting out of the <unk> business
 instead network officials say it may <unk> with shows for an audience that is virtually ignored in that time period adults
 there is talk of some revamping and we 're certainly heading in the direction of less and less <unk> said joseph s. <unk> vice president of finance and administration for national broadcasting co. a unit of general electric co
 mr. <unk> said that nbc entertainment president <unk> <unk> who declined to be interviewed is looking at options now and may put some things into the schedule by <unk>
 he declined to elaborate
 nbc 's options could range from <unk> programming to sports shows although the network declined to comment
 one major nbc affiliate <unk> in sacramento plans to cancel the nbc saturday morning <unk> as of january and replace it with a local <unk>
 the one-hour program will be repeated with <unk> throughout saturday <unk>
 we feel there is an opportunity for an audience that is not being served by any network so we want to take the lead says <unk> 's general manager john <unk>
 we do n't need <unk> anymore
 they only accounted for N N at best of the station 's total revenues
 an nbc spokesman says the network will closely monitor the sacramento situation and says it is the only station to <unk>
 spokesmen for the television networks of cbs inc. and capital cities\/abc inc. say there are no plans to alter the children 's <unk> on saturday <unk>
 the <unk> audience for saturday programming is no longer dependent on the networks
 there has been a surge in syndicated children 's shows to independent stations as well as competition from <unk> for kids and from cable outlets such as <unk> and the disney channel
 at the same time there appears to be a market for <unk> programming turner broadcasting system inc. 's cable news network has its highest ratings outside of prime time on saturday <unk>
 nbc has on previous occasions considered replacing <unk> with a saturday version of today which is produced by nbc news
 the network 's own production company nbc productions supplies a half-hour <unk> show titled saved by the bell
 nbc productions or nbc news could supply the network with other saturday morning shows a move that would control costs
 <unk> shows which are made by outside production companies cost the network about $ N per episode
 <unk> & haas co. said third-quarter net income skidded N N to $ N million or N cents a share
 in the year-earlier quarter the chemicals company had net of $ N million or N cents a share
 sales were $ N million up N N from $ N million a year ago
 <unk> & haas which plans to start operating seven new production units this year attributed the profit slide partly to higher start-up expense
 the company also cited the stronger dollar which cuts the value of overseas profit when it is translated into dollars
 in addition the company said it was hurt by higher than <unk> costs for raw materials though those costs have declined since the second quarter
 <unk> higher production of those chemicals which remain in heavy demand also has forced up costs such as overtime pay
 for the nine months <unk> & haas net totaled $ N million or $ N a share down N N from $ N million or $ N a share a year ago
 sales rose N N to $ N billion from $ N billion the previous year
 in new york stock exchange composite trading <unk> & haas closed at $ N a share down $ N
 michael a. <unk> N years old was named president and chief executive officer of this manufacturer of industrial robots succeeding walter k. <unk>
 mr. <unk> N resigned as president and chief executive and will work on special projects said john j. <unk> chairman
 mr. <unk> formerly was president and chief executive of taylor & <unk> inc. and was a director of <unk> robots since N
 stephen n. <unk> was named managing director and group head of investment banking in asia based in tokyo
 mr. <unk> N years old had been a first vice president in the industrial group in investment banking
 he succeeds <unk> <unk> who resigned in may
 this is written to correct a <unk> in your oct. N article deaths from advanced colon cancer can be reduced by using two drugs
 in this article i was alleged to have said any patient with high-risk colon cancer is really getting short <unk> if he 's not getting this therapy
 i did n't say this and i 'm totally opposed to the philosophy expressed by the quote
 i have not offered and will not offer routine therapy with the two drugs <unk> and <unk> to any of my <unk> patients
 with this treatment we have reduced deaths in high-risk colon cancer by one-third but this leaves the two-thirds who are dying of cancer
 this is not nearly good enough
 i believe any physician who truly <unk> about cancer patients both today and tomorrow should offer the hope of something better than that
 my statement read <unk> from a printed text available to all reporters attending the national cancer institute news conference was the following new clinical trials are already in operation seeking to improve these results
 these research <unk> offer to the patient not only the very best therapy which we have established today but also the hope of something still better
 i feel any patient with high-risk cancer is getting short <unk> if he is not offered this opportunity
 we have very exciting prospects for far more impressive advances in the treatment of colon cancer during the years immediately ahead
 this hope however will never be realized if we use <unk> and <unk> as a <unk> point
 charles g. <unk> <unk> <unk> clinic rochester <unk>
 the oil and auto industries united in their dislike of president bush 's proposal for cars that run on alternative fuels announced a joint research program that could turn up a <unk> gasoline
 officials of the big three auto makers and N petroleum companies said they are setting out to find the most <unk> fuel for reducing cities ' <unk> problems with no bias toward any fuel in particular
 however their search notably wo n't include natural gas or pure <unk> the two <unk> alternative fuels in tests to be completed by next summer
 instead the tests will focus heavily on new <unk> of gasoline which are still undeveloped but which the petroleum industry has been touting as a solution for automobile pollution that is <unk> urban areas
 environmentalists criticized the program as merely a public-relations attempt to head off a white house proposal to require a million cars a year that run on <unk> fuels by N
 while major oil companies have been <unk> with <unk> gasoline <unk> for years only atlantic richfield co. is now marketing a <unk> gasoline for older cars currently running on <unk> fuel
 the initial $ N million research program will conduct the most extensive testing to date of <unk> <unk> said joe <unk> head of fuels and lubricants at general motors corp. research laboratories
 it will compare N different <unk> of <unk> with three <unk> of up to N N <unk>
 a second phase of research which is still being planned will test <unk> <unk> on newer engine technologies now being developed for use in N or N cars
 there was no cost estimate for the second phase
 the whole idea here is the automobile and oil companies have joint customers said keith <unk> a senior vice president of technology at amoco corp
 and we are looking for the most <unk> way to clean up the air
 but david <unk> an environmental lawyer with the natural resources defense council said the research appears merely to be a way to promote <unk> gasoline
 oil and auto companies supported a move on capitol hill last week to gut mr. bush 's plans to require auto makers to begin selling <unk> cars by N
 instead a house subcommittee adopted a <unk> program that specifically <unk> <unk> gasoline as an alternative
 the bush administration has said it will try to <unk> its plan when the house energy and commerce committee takes up a comprehensive clean-air bill
 william seidman chairman of the federal deposit insurance corp. said lincoln savings & loan association should have been seized by the government in N to contain losses that he estimated will cost taxpayers as much as $ N billion
 mr. seidman who has been the nation 's top bank regulator inherited the problems of lincoln based in irvine calif. after his regulatory role was expanded by the new savings-and-loan bailout law
 he made his comments before house banking committee hearings to investigate what appears to be the biggest thrift disaster in a <unk> industry
 the inquiry also will cover the actions of charles keating jr. who is chairman of american continental corp. lincoln 's parent and who contributed heavily to several u.s. senators
 mr. seidman told the committee that the resolution trust corp. the agency created to sell sick thrifts has studied lincoln 's examination reports by former regulators dating back to N
 my staff indicated that had we made such findings in one of our own institutions we would have sought an immediate <unk> order to stop the hazardous operations mr. seidman said
 when lincoln was seized by the government for example N N of its loans or $ N million were to borrowers who were buying real estate from one of american continental 's N other subsidiaries according to mr. seidman
 but the government did n't step in until six months ago when thrift officials put lincoln into conservatorship the day after american continental filed for chapter N bankruptcy protection from creditors
 the bankruptcy filing the government has charged in a $ N billion civil lawsuit was part of a pattern to shift insured deposits to the parent company which used the deposits as a <unk> for real-estate deals
 the deposits that have been transferred to other subsidiaries are now under the jurisdiction of the bankruptcy court
 i think it 's fairly clear mr. keating knew that regulators were set to seize lincoln mr. seidman said
 further investigation he said may result in further actions against lincoln 's executives said mr. seidman including fraud actions
 mr. keating for his part has filed suit alleging that regulators <unk> seized the thrift
 leonard <unk> an attorney in washington for mr. keating declined to comment on the hearings except to say we will be responding <unk> in several <unk> to each of these allegations at the appropriate time
 lincoln 's treatment by former thrift regulators in an agency <unk> by the new law has proved embarrassing for five senators who received thousands of dollars in campaign contributions from mr. keating
 mr. seidman said yesterday for example that sen. dennis <unk> d. ariz. who received $ N in contributions from mr. keating <unk> mr. seidman to request that he push for a sale of lincoln before it would be seized
 after the government lawsuit was filed against lincoln sen. <unk> returned the campaign contributions
 the senator 's spokesman said yesterday that he pushed for the sale of lincoln because hundreds of arizona jobs at lincoln were on the line
 senate banking committee chairman donald <unk> d. mich has also returned contributions he received from mr. keating a year ago
 sens. john glenn d. ohio john <unk> r. ariz. and alan cranston d. calif. also received substantial contributions from mr. keating and sought to intervene on behalf of lincoln
 house banking committee chairman henry gonzalez d. texas said sen. cranston <unk> to appear before the house committee if necessary
 but a committee staff member said the panel is unlikely to pursue closely the role of the senators
 at the hearing mr. seidman said the rtc has already pumped $ N million into lincoln for liquidity
 he also held out little hope of <unk> for purchasers of $ N million in american continental subordinated debt
 some of those <unk> have filed a suit saying they believed they were buying <unk> certificates of deposit
 we have no plans at this time to pay off those notes he said
 eastern airlines ' creditors committee unhappy with the carrier 's plans for emerging from bankruptcy-law proceedings asked its own experts to devise <unk> approaches to a reorganization
 representatives of the accounting firm of ernst & young and the securities firm of goldman sachs & co. hired by creditors to <unk> on eastern 's financial plans told the committee in a private meeting yesterday that eastern 's latest plan to emerge from bankruptcy-law protection is far riskier than an earlier one which won the creditors ' approval
 according to one person present at the meeting eastern 's new plan is financially overly optimistic
 asked about the consultants ' reports an eastern spokeswoman said we totally disagree
 she said they have <unk> and made some <unk> assumptions that make their analysis completely <unk>
 at a later news conference here frank lorenzo chairman of eastern 's parent texas air corp. said eastern was exceeding its goals for getting back into operation and predicted it would emerge from chapter N protection from creditors early next year operating with more service than it originally had scheduled
 he insisted as he has before that creditors would be paid in full under the plan
 mr. lorenzo made no mention of creditors ' negative response to his plan
 we 're in the process of discussing an amended plan with the creditors and anticipate filing that amended plan shortly mr. lorenzo told reporters
 we 're meeting and <unk> our goals he added
 in july eastern and its creditors agreed on a reorganization plan that called for eastern to sell $ N billion in assets and to emerge from bankruptcy-law protection at two-thirds its former size
 but after selling off pieces such as its east coast shuttle its philadelphia hub and various planes eastern hit a <unk> block
 it could n't sell its south american routes one of the major assets marked for disposal
 those routes valued by the creditors ' professionals at about $ N million were to be sold to amr corp. 's american airlines
 a last-minute <unk> in negotiations with amr over an unrelated lawsuit between american and another texas air unit caused the deal to collapse
 eastern ultimately decided it would have to keep and operate the routes itself which would leave it with less cash for its reorganization
 it also would leave eastern a bigger carrier than the <unk> one proposed under the initial plan
 those changes in its condition meant the reorganization plan previously presented to creditors would have to be revamped
 since then eastern has been negotiating with creditors over revisions but the creditors committee has been having problems with the revisions
 the committee has two groups of experts it calls on to analyze eastern 's plans
 both said the new plan would n't work
 ernst & young said eastern 's plans will miss its projections of earnings before interest tax and depreciation by $ N million and that eastern 's plan presented no comfort level according to a source present at yesterday 's session
 experts from goldman sachs estimated eastern would miss the same mark by $ N million to $ N million the source said
 the experts said they expected eastern would have to issue new debt to cover its costs and that it would generate far less cash than anticipated
 other costs also would increase including maintenance because eastern has an older fleet
 at the news conference mr. lorenzo and eastern president phil <unk> presented a far <unk> assessment
 <unk> by flight attendants pilots and gate agents dressed in <unk> new blue <unk> they said eastern has exceeded its operational goals and is filling its seats
 starting next month eastern will begin flying N flights daily instead of the previously announced N they said
 mr. <unk> declined to give out eastern 's daily losses but said he did n't expect eastern would have to dip into the cash from asset sales currently held in escrow
 these accounts hold several hundred million dollars primarily from asset sales
 the plan eastern hopes to pursue he said calls for eastern to have $ N million in cash by year 's end
 both he and mr. lorenzo predicted that plan might be confirmed in january
 as to negotiations with creditors mr. lorenzo said in remarks after the conference we 'll have to see how they talks come along
 however he added it 's not a requirement that the plan be accepted by creditors
 it must be accepted by the court
 under bankruptcy law eastern has exclusive rights for a certain period to develop its own reorganization plan
 that deadline has been extended once and could be extended again
 if eastern can get creditor support court confirmation of its plan could be relatively swift
 but creditors are free to press for court approval of their own plan or the court could ignore both sides and draw its own
 in any event some people familiar with the case question whether the court will act by january as forecast by mr. lorenzo and mr. <unk>
 eastern sought bankruptcy-law protection a few days after a <unk> strike began march N
 mr. lorenzo told reporters the reorganization eastern is pursuing would create a carrier N N to N N of the size of the <unk> eastern
 he projected it would be operating about N flights a day by late spring only slightly fewer than the carrier 's old volume of N a day
 hopes of <unk> the corporate minimum tax before N are weakening
 the method of <unk> the N N tax paid if it exceeds tax figured the regular way is due for a change in N thanks to N 's tax act
 but most experts agree that the concept that is to be introduced <unk> in great <unk> they have been trying to head it off this year
 ways and means chairman <unk> backed a <unk> plan in the pending house tax bill but the plan turns out to be a big revenue loser
 now the senate 's <unk> bill <unk> any proposal to deal with the corporate tax
 proponents of <unk> fear that the chances of getting it into the final bill are <unk>
 we hear it has low priority on the house side says samuel <unk> of coopers & <unk> <unk>
 if the law is n't changed he says we are left <unk> at rules that are almost impossible to implement because there are so many complex depreciation calculations to do
 but congress still could resolve the issue with other legislation this year or next <unk> adds
 hugo 's <unk> may be offset by immediate claims for tax refunds
 this law aids <unk> <unk> named by the president as disaster areas as well as regions so designated after other N disasters
 it lets victims <unk> to <unk> casualty losses on either N or amended N returns whichever offers the larger tax benefit they have until april N to choose
 <unk> a N return to claim a refund brings cash faster but for personal losses there are other factors to consider notes publisher prentice hall
 a loss after insurance <unk> is deductible only to the extent that it exceeds $ N and that the year 's total losses exceed N N of adjusted gross income victims may pick the year when income is lower and deductions higher
 in filing an original not amended return a couple should consider whether damaged property is owned jointly or separately and whether one spouse has larger income that may determine whether they should file jointly or separately
 the irs delays several deadlines for hugo 's victims
 returns for N from people with six-month filing <unk> were due monday but the irs says people in the disaster areas wo n't be <unk> for late filing if their returns are marked hugo and <unk> by jan. N
 interest will be imposed on unpaid taxes but <unk> penalties on the returns will be <unk> if the balance due and paid is N N or less of the liability
 irs notice N describes this and other deadline relief for hugo 's victims
 among the provisions <unk> taxpayers with returns due last monday wo n't be <unk> if they file or request an extension and pay tax due by nov. N
 <unk> returns due by oct. N or nov. N may be delayed to jan. N
 <unk> ca n't be granted for filing <unk> returns due oct. N or for <unk> withheld taxes but late penalties will be <unk> for deposits made by nov. N
 the notice also grants relief for certain <unk> returns
 one-day <unk> in a chartered boat were <unk> for permanent staffers of american business service corp. a costa mesa calif. supplier of temporary workers
 the irs denied cost deductions because few of the <unk> got to go aboard
 but the tax court said the limitations were reasonable and realistic and allowed the deductions
 <unk> buyers who try to avoid sales tax by <unk> prices paid in private deals are the targets of a new york drive
 estimating that the state may lose $ N million a year officials announced the filing of N criminal actions and hundreds of civil penalties
 when an ira owner dies the trustee of the individual retirement account must file forms N reporting market values relating to the <unk> and each <unk> with copies to the <unk> and beneficiaries
 irs revenue procedure N describes the reporting requirements
 bigger than a <unk> was this cash <unk> 's reputation for honesty
 people often cite <unk> and <unk> of banks to justify cash <unk> to the irs
 gregory <unk> brown of <unk> calif. a <unk> <unk> young <unk> told that story to the tax court
 but judges usually find the real aim is to escape tax on hidden income and the irs said brown must have had such income although it uncovered no source because he <unk> $ N in a bank account in N while reporting income of only $ N
 brown 's story
 the deposits came from savings kept in a <unk> <unk> he saved $ N in N by living with family members and <unk> pennies and $ N of secret gifts from his <unk> father who had abandoned the family in N
 brown had no proof but testimony of his mother and <unk> about his father and of an <unk> about his honesty and habits satisfied a judge that brown was <unk> and his tale of gifts was possible
 the irs offered no evidence of hidden sources of taxable income so judge <unk> rejected its claims
 briefs
 asked how he made charitable gifts of $ N out of reported two-year income of $ N thomas h. <unk> of <unk> texas told the tax court he had <unk> his income
 the court rejected his incredible claims denied his deductions and imposed a negligence penalty
 rep. <unk> r. colo. entered a bill to exempt from tax rewards for tips leading to the arrest of violent criminals
 <unk> peterson <unk> her bicycle and <unk> up yet another steep rocky path seemingly suitable only for mountain <unk>
 after a <unk> climb she is <unk> by a <unk> vista a <unk> of golden <unk> under an <unk> <unk> sky
 this place is N miles into the back country a <unk> <unk> for a <unk> but reached by ms. peterson and six others in a mere two hours of <unk> <unk> mountain bikes
 this says ms. peterson is what it 's all about
 twelve hundred miles away <unk> at a <unk> county calif. state park are among the many who do n't quite share the enthusiasm
 this summer speeding bikers were blamed for an accident in the <unk> county park in which a horse spooked on a trail that was closed to bikers broke its leg
 the animal had to be destroyed the bikers fled and were never found
 in numerous parks near san francisco <unk> have been forced to close trails set up speed <unk> and use radar guns to curb fast and reckless riding
 they have even sent <unk> in pursuit of bikers after <unk> and <unk> complained they were being driven from trails
 we were being <unk> says steve <unk> trails coordinator of the east bay regional park district
 two years ago the district decided to limit the bikes to fire roads in its N <unk> acres
 from about N six years ago the number of mountain bikes in the u.s. is expected to grow to N million in N
 at least half that growth will have come in the past three years alone
 the controversy kicked up by the proliferation of these <unk> <unk> is one of the most divisive <unk> to blow through the national conservation movement in recent memory
 bikers many of them <unk> environmentalists <unk> their sport an efficient safe <unk> way to get back to nature while <unk> a right as taxpayers to <unk> on public <unk>
 but the bikes ' <unk> numbers safety concerns and fear that they damage fragile <unk> have prompted <unk> from the <unk> to the eastern <unk> to ban them from the back country
 key to the issue is that the bikes in <unk> hands can go virtually anywhere and in reckless hands can become vehicles of <unk>
 an <unk> <unk> can leap from a dead stop to the top of a <unk> table without losing balance
 such skills allow riders to fly down <unk> mountain grades at speeds of up to N miles an hour a <unk> for the <unk> but a nightmare for <unk> <unk> or <unk>
 for <unk> <unk> managers across the nation the response is increasingly to shut the gates
 the state of california following the lead of some regional parks recently adopted regulations that closed nearly all <unk> <unk> in state parks to mountain <unk>
 the move largely <unk> them to roads used by <unk> vehicles
 most other states have enacted similar bans
 the bikes are unwelcome on trails in national parks
 even the u.s. forest service whose <unk> <unk> philosophy permits <unk> vehicles on thousands of miles of its trails across the u.s. has begun to close some <unk> to the bikes including major portions of the popular pacific crest trail which <unk> from california to canada
 often these closings come after vigorous <unk> lobbying by conservation organizations the politically potent sierra club among them
 sierra has been instrumental in <unk> a number of the california bans
 it has been <unk> an <unk> campaign to beat back a proposal pushed by utah bike groups to allow the cycles in federally designated <unk> areas where they are now prohibited
 yet sierra 's hard-line stance has created something of a <unk> in the organization which estimates that N N of its N members own mountain bikes
 pressure from these members prompted the club recently to soften its <unk> rhetoric it no longer for example <unk> the bikes into the same category as <unk> and other <unk> <unk> vehicles
 but the club still insists that public <unk> ought to be closed to the bikes unless studies indicate the bikes wo n't <unk> the environment or other users
 i have a mountain bike yet as a <unk> i 've been run off the road by kids <unk> down a fire trail on them says gene <unk> an official at sierra 's headquarters in san francisco <unk> the concerns of many members
 people who feel that <unk> should be banned from an area are n't looking at the whole picture complains mark <unk> associate editor of mountain and city <unk> magazine in <unk> park calif
 mr. <unk> is among the <unk> of bikers who got their first taste of <unk> as <unk> or <unk>
 he says fellow bikers show the same concern for the land that they demonstrated as <unk> many are <unk> that the conservation community would suddenly consider them the enemy
 to fight back activists such as mr. <unk> are forming groups to lobby land managers over access issues and <unk> education programs to show that the bikes can <unk> share trails
 mr. <unk> 's group concerned <unk> <unk> association mounted petition drives to help keep open certain santa <unk> mountain trails designated for closing
 <unk> groups in <unk> idaho michigan and massachusetts have won similar concessions says tim <unk> mountain bike editor of <unk> magazine
 these groups have been trying to improve the mountain <unk> 's image in the san <unk> park district where a <unk> was clobbered by a <unk> this summer bikers have formed a volunteer <unk> to help <unk> enforce regulations and to school riders in proper trail <unk>
 even <unk> <unk> sierra members concede that N N of all riders cause most of the problems
 while some are <unk> riders who simply <unk> regulations much bad riding simply reflects ignorance that can be corrected through education and <unk> pressure says jim <unk> a director of the international mountain <unk> association
 i think we 're making progress
 few would have <unk> such a furor when a decade ago some <unk> county bicycle enthusiasts created a hybrid bike using fat tires <unk> <unk> and <unk> technology
 they wanted a machine that would allow them to <unk> into <unk> <unk> then <unk> to cycles
 they got a machine more responsive more stable and in many ways easier to ride than the <unk> racing bikes that then were the rage
 when the bikes first entered mass production in N they were dismissed as a fad
 last year N N of the N million <unk> sold in the u.s. were mountain bikes
 in california a bellwether market they accounted for more than N N of all bike sales
 the majority of the bikes never even make it into the high country
 city <unk> love them because they shift smoothly in traffic bounce easily over curbs and roll through road glass with far fewer flat tires than racing bikes
 <unk> <unk> population N is a <unk> of the sport
 by one estimate everyone here under N owns at least one bike
 the town is home to the mountain bike hall of fame and it hosts the annual fat tire bike week
 this summer the <unk> attracted more visitors than the busiest week of the town 's winter ski season
 david <unk> chairman of the fat tire bike celebration <unk> that the bike 's popularity may be a combination of technology and <unk>
 the mountain bike feels as comfortable as the <unk> bike you had as a kid but it can do so much more he says
 the following issues were recently filed with the securities and exchange commission
 canada 's province of <unk> <unk> shelf offering of up to $ N million of debentures
 <unk> gas holding co. a subsidiary of <unk> shipping corp. offering of $ N million first preferred ship mortgage notes via merrill lynch capital markets
 h.f. ahmanson & co. offering of four million shares of <unk> convertible preferred stock series b. via goldman sachs & co first boston corp. and merrill lynch
 shared technologies inc. offering of N million common shares via <unk> van horn & <unk> inc. and oakes <unk> & co
 stock-market tremors again shook bond prices while the dollar turned in a mixed performance
 early yesterday investors scrambled to buy treasury bonds for safety as stock prices plummeted and fears mounted of a <unk> of friday
 but stocks later recovered <unk> most of their early declines
 that cut short the rally in treasury bonds and depressed prices moderately below late monday 's levels
 the dow jones industrial average down more than N points early in the day finished N points lower at N
 long-term treasury issues declined about half a point or $ N for each $ N face amount
 the stock market clearly is leading the bond markets said jack <unk> an executive vice president at nikko securities
 people are breathing a major sigh of relief that the world did n't end monday morning or yesterday
 gold a closely watched barometer of investor anxiety was little changed
 the dollar initially fell against other major currencies on news that the u.s. trade deficit surged in august to $ N billion
 but the dollar later rebounded finishing slightly higher against the yen although slightly lower against the mark
 federal reserve officials sent another signal of their determination to shore up investor confidence
 in an apparent attempt to keep a lid on short-term interest rates the fed once again pumped money into the banking system
 but the fed move was a small <unk> traders said
 fed officials appear reluctant to ease their credit grip any further because a bold move does n't appear necessary several investment managers said
 the fed has allowed a key short-term interest rate to decline about <unk> percentage point
 the federal funds rate on overnight loans between banks has been <unk> around N N N down from N N previously
 although stocks have led bonds this week some traders predict that relationship will reverse during the next few weeks
 nikko 's mr. <unk> fears a huge wave of treasury borrowing early next month will drive down treasury bond prices
 that coupled with poor third-quarter <unk> comparisons will make trouble for the equity market for the next two to three months he says
 but several other traders contend investors have <unk> to junk-bond jitters and that stock prices will continue to recover
 they shot the whole <unk> just because the piano player hit a bad note said <unk> <unk> president of <unk> associates inc. referring to the stock market 's plunge friday on news of trouble in financing the ual corp buy-out
 in major market activity treasury bond prices fell
 the yield on 30-year treasury bonds climbed back above N N ending the day at N N
 the dollar was mixed
 late yesterday in new york the dollar rose to N yen from N yen monday but fell to N marks from N marks
 the consumer news and business channel cable network and u.s. news & world report have formed a joint venture to produce cable program versions of special issues of the magazine
 the programs will run on the cable network the sunday evening immediately prior to the release of the special issue of u.s. news & world report
 cnbc is a joint venture of the national broadcasting co. a unit of general electric co. and <unk> system corp
 advertisers will be offered an advertising package which for a single price will include time on the cnbc program and ad pages in the special <unk>
 cnbc will produce six one-hour programs beginning in april N
 the first program scheduled in the joint venture is the N <unk> 's guide
 other programs and special issues will be based on themes of health jobs personal finance the best colleges and investments
 the programs will be written and produced by cnbc with background and research provided by staff from u.s. news & world report
 <unk> <unk>
 i 've learned the hard way that too much <unk> takes <unk> the next day about nine no wonder i say i drink to your health it certainly is n't to mine
 george o. <unk>
 <unk> out
 those supermarket <unk> make me feel slow because i still have n't seen
 bruce <unk>
 daffynition
 repression <unk> control
 <unk> brown
 weyerhaeuser co. reported a one-time gain and strong <unk> sales that offset weakness in pulp and paper to fuel a N N jump in third-quarter net income to $ N million or N cents a share
 in the N third quarter the forest-products company reported profit of $ N million or N cents a share
 sales rose N N to $ N billion from $ N billion
 for the nine months the company posted a N N rise in profit to $ N million or $ N a share from $ N million or $ N a share
 sales rose N N to $ N billion from $ N billion
 results for the N third quarter and nine months include a pretax loss of $ N million from the company 's business improvement and <unk> program and a gain of $ N million on the sale of a subsidiary 's common stock
 forest-products operations strengthened in the third quarter while paper operations were dogged by higher costs soft newsprint exports and a strong japanese yen
 some competing forest-products firms have recently reported improved results due to strong pulp and paper business
 weyerhaeuser 's pulp and paper operations were up for the nine months but full-year performance depends on the balance of operating and maintenance costs plus pricing of certain products the company said
 looking ahead to the fourth quarter the company said export <unk> and lumber markets will be weak while panel and <unk> markets will be stronger
 pulp and paper performance depends on cost and price <unk> the company said
 bankers trust new york corp. became the latest major u.s. bank to increase reserves for its loans to less-developed countries making a $ N billion third-quarter addition to its provision
 the bank also said it expects to report a $ N billion loss for the third quarter and a loss for the full year
 the new reserves bring the company 's provision for loans to third world countries to $ N billion or N N of bankers trust 's medium and long-term loans to these countries
 step up to the plate and take the big swing
 get the problem behind you and do n't look back said james j. <unk> analyst at <unk> <unk> & woods in <unk> of the move
 bankers trust has had the capacity to do this for some time the analyst said
 he expects citicorp to take a similar step this year
 citicorp yesterday reported a N N third-quarter earnings drop which analysts called a bit disappointing while manufacturers hanover corp. posted a $ N million loss for the quarter after adding $ N million to its reserve for loans to less-developed countries
 three other major u.s. banks posted earnings increases
 wells fargo & co. of san francisco posted a N N jump
 <unk> financial corp. the parent of pittsburgh national bank reported net income climbed N N while net for banc one corp. of columbus ohio grew N N
 citicorp
 analysts were only slightly disappointed by citicorp 's numbers
 there 's nothing in here that 's horrible and nothing to make you think they 're setting the world on fire said <unk> <unk> analyst for <unk> lawrence morgan grenfell inc
 earnings from the bank 's global consumer business grew N N
 the consumer business continues to drive the earnings stream said mr. <unk> of <unk> <unk> & woods
 corporate finance and trading results in member countries of the organization for economic cooperation and development were relatively flat sometimes <unk> the bank said and profit for the area sank N N
 the cross-border loan portfolio reflected adjustment problems and <unk> payment patterns the bank said no interest payments from argentina in the nine months and none from brazil in the third quarter while venezuela brought itself substantially current
 overall the portfolio narrowed its quarterly loss to $ N million from $ N million a year earlier
 people were waiting to see if we would take an additional provision for <unk> and long-term loans to less-developed countries a citicorp spokesman said
 but he reiterated the bank 's position that it is comfortable with the current level of $ N billion covering about N N of the $ N billion of such loans outstanding
 ronald i. <unk> analyst at sanford c. bernstein & co. called citicorp 's venture-capital gains of $ N million before taxes strong
 a concerning item the analyst cited was the N N jump in expenses which the bank attributes to costs of expanding both its consumer credit-card operations and its overseas branch business
 citicorp 's spokesman said however that the bank is maintaining those expenses in proportion to revenue growth
 wells fargo
 wells fargo continued to generate one of the highest profit margins among major banks <unk> a drop in net interest margin with N N third-quarter growth in <unk> business loans and similar growth in mortgages
 its margin fell only seven basis points or <unk> of a percentage point from a year ago compared with a <unk> drop at security pacific corp. and much larger declines among banks in other parts of the country
 as a result wells fargo 's net interest income rose $ N million or N N to $ N million for the quarter
 non-interest income fell slightly to $ N million from $ N million while wells fargo continued to <unk> control non-interest expense which was almost flat at $ N million
 the combination of solid loan growth with tight expense control gave wells fargo a N N return on average assets for the quarter about N N higher than security pacific 's and a profit ratio matched by only two or three other major banks in the u.s.
 wells fargo 's return on equity increased to N N from N N
 wells fargo has sold all of its <unk> loans made to less-developed countries and managed to partly reverse the sharp rise in domestic <unk> loans which fell N N from the previous quarter to $ N million from $ N million
 but the amount was still N N higher than the year-ago level and N N higher as a percentage of total loans
 that trend and wells fargo 's heavy exposure to leveraged buy-outs are about the only worries analysts have about wells fargo 's financial picture
 wells fargo is rebuilding its loan-loss reserve which increased to $ N million at sept. N from $ N million the previous quarter but was down from $ N million a year ago when the bank still had some shaky foreign loans
 manufacturers hanover
 manufacturers hanover said that excluding the addition to its reserves certain tax benefits and a one-time $ N million gain on the sale of an interest in a foreign leasing company third-quarter earnings were $ N million
 the comparable year-earlier number was $ N million a spokesman said
 the bank 's additional provisions brought reserves for loans to less-developed countries to $ N billion covering N N of its medium and long-term loans outstanding to these nations
 the net interest margin the difference between the bank 's cost of funds and what it receives as interest payments improved in the quarter as did certain areas of wholesale banking
 fees from <unk> loans dropped N N to $ N million
 we did n't take part in a lot of deals in the quarter because their credit quality was poor the spokesman said
 expenses unrelated to interest rose N N to $ N million
 <unk> financial
 <unk> financial cited higher income from sources unrelated to interest and said it continues to cut costs
 net interest income in the third quarter edged up N N to $ N million
 trust income grew N N to $ N million while service charges fees and commissions increased N N to $ N million
 the bank 's total allowance for credit losses was $ N million or N N of total loans
 prime minister <unk> gandhi set a date next month for general elections that some analysts say could cost him and his ruling congress i party control of the government
 other analysts say the indian leader could retain control with a slim majority or be forced to rule as the dominant partner in a coalition with other parties
 elections in this large diverse and <unk> nation are always hard to predict
 much depends on the opposition a loose group of regional and ideological parties led by former gandhi cabinet minister <unk> <unk> <unk>
 the biggest <unk> is that the elections will be a vote for or against mr. gandhi and his five years in power five years of ups and <unk> promises and disappointments and wide fluctuations in popularity
 yesterday four days after an unusual parliamentary defeat for the ruling party mr. gandhi called elections for the lower house of parliament on nov. N and N
 the elections will be held in different states on one of the two days
 the lower house 's five-year term expires in january the parliament 's upper house is appointed
 the elections will be a <unk> test for the 45-year-old prime minister and congress i which in various forms has ruled for N of india 's N years of independence
 after a <unk> win in N in polls held after the assassination of his mother <unk> gandhi mr. gandhi saw his popularity begin a roller <unk> ride
 his early promises to make india a modern nation remain <unk> down in bloated bureaucracy
 his pledge to clean up local administration and indian politics including his own party went <unk>
 his mr. clean image was <unk> by an <unk> scandal which will be a major campaign issue
 some analysts predict that disappointment in mr. gandhi 's spent pledge to reduce corruption and <unk> local government will crest at the polls
 there 's a wide feeling of <unk> across the country says <unk> sen <unk> of the center for policy research in new <unk>
 i think the people will be judging the regime by a <unk> <unk> by a corrupt revenue <unk>
 this could be a big protest against an administrative failure
 even if the congress i retains control of the government mr. gandhi 's ability to push through major initiatives might be <unk> by a <unk> majority
 economic analysts call his <unk> <unk> of the indian economy incomplete and many are hoping for major new <unk> if he is returned firmly to power
 the <unk> <unk> or lower house of parliament has N elected and two appointed seats
 in N the congress i captured N seats the largest victory in the history of indian democracy
 the <unk> was fueled by panic that prevailed in india at the time
 mrs. gandhi had been <unk> by <unk> <unk> and many indians feared their country might split apart
 in the previous three general elections similar national issues <unk> the vote
 in N the congress party won after india 's victory in the <unk> war
 in N mrs. gandhi was thrown out of office after her <unk> emergency rule and in N after her <unk> made a mess of their three years in power she was restored to office
 most political analysts say that if mr. gandhi 's opposition <unk> to field single candidates in most <unk> the congress i will lose big
 but if the opposition remains <unk> the congress i could win a small majority or lead a coalition government
 <unk> mehta a <unk> and former gandhi ally predicts congress i will win only N seats a quarter of the house if the opposition fields single candidates in N N of the races
 analysts say the opposition will struggle this week to <unk> and its success will be clear only when it <unk> its final list of parliamentary candidates
 the <unk> scandal is likely to be one of the big talking points in the campaign but it 's unclear how it is viewed by average indian voters
 in N india signed a $ N billion contract with ab bofors a unit of nobel industries sweden ab to purchase N <unk> pieces
 the contract was negotiated by the countries ' two prime ministers and was supposed to be free of commissions or agents ' costs
 in april N evidence surfaced that commissions were paid
 the opposition charged that the money was used to bribe indian government officials an <unk> denied by mr. gandhi 's administration
 but many of his statements on the issue in parliament subsequently were proven wrong by <unk> evidence
 the scandal has faded and <unk> but recent disclosures propelled it back onto the front pages and that has helped <unk> the opposition which last week blocked passage of two constitutional amendment bills
 it was the first time in N years that such government bills were defeated
 in a country where a bribe is needed to get a phone a job and even into a school the name bofors has become a potent <unk> cry against the government
 that illustrates the kind of disappointment many indians feel toward mr. gandhi whom they <unk> elected and <unk> supported in his first two years in power
 his term has produced no spectacular failures in politics in the economy or on the military front and has <unk> up some successes
 but the average indian had tremendous hope in the <unk> leader and his promise to make both government and the ruling party more effective and less corrupt
 his failures in those two areas deeply and sometimes bitterly disappointed many indians
 we do n't like the congress i says <unk> <unk> a farmer in the western state of <unk>
 the congress government is taking the farmers ' bread and not giving us any support
 when there are well problems light problems road problems the government tells us to forget it
 the greatest thing going for mr. gandhi and the congress i party is the poor reputation of the opposition
 even if it <unk> for the elections its <unk> is likely to be temporary
 when the congress i lost the N election following mrs. gandhi 's <unk> emergency rule a similar coalition took power and then <unk>
 many indians fear a repeat of that experience
 march N N
 ab bofors a unit of nobel industries sweden ab enters into a $ N billion contract with india 's defense ministry to supply N bofors <unk> <unk> field <unk> guns
 in N prime minister <unk> gandhi in his talks with then swedish prime minister <unk> <unk> imposed the condition that the contract have no middlemen
 april N N
 swedish national radio reports that about $ N million nearly N N of the total contract was paid by bofors as commissions to middlemen
 june N N
 sweden 's national audit bureau releases its report confirming payment of about $ N million to unidentified indians
 the report says that investigations were severely hampered by lack of cooperation from bofors
 bofors says it ca n't disclose the names of the middlemen because it would jeopardize industrial <unk>
 a portion of the report containing names of the middlemen is withheld by officials citing bank <unk> requirements
 aug. N N
 prime minister gandhi tells the indian parliament neither i nor any member of my family has received any consideration in these transactions
 that is the truth
 aug. N N
 bofors admits payments of $ N million to middlemen
 april N N
 the <unk> newspaper publishes <unk> of bank documents for foreign-exchange <unk> and letters between bofors and certain private companies related to the sale of the guns to india
 april N N
 a parliamentary <unk> committee dominated by the congress i party concludes that there were no middlemen in the deal and no payment to any indian individual or company
 july N N
 the comptroller and <unk> of india reports serious <unk> in the government 's technical and financial evaluation of the bofors deal
 sept. N N
 retired army chief of staff <unk> <unk> <unk> in an interview that he suggested in may N that the government cancel the bofors contract
 according to gen. <unk> that would have forced bofors to disclose the names of the middlemen who received <unk> from the company
 his recommendation was rejected by the government
 oct. N N
 the <unk> newspaper publishes the withheld portion of the swedish national audit bureau 's report
 the disclosures state that commissions were paid by bofors to an indian agent of the arms company
 parsow partnership ltd. and <unk> partners l.p. said they may seek proposals from third parties relating to a sale or restructuring of caci international inc
 in a filing with the securities and exchange commission parsow and <unk> which together hold N N of caci 's common shares said they think it is in the best interest of caci stockholders that the company be sold
 caci based in <unk> va. said it had n't seen the filing by parsow and <unk> and therefore had no comment
 the partnerships said they may seek board representation and they may seek the support of caci 's board and other major shareholders in connection with their plans
 according to the filing parsow and <unk> are based in <unk> neb. and are controlled by the same general partner alan s. parsow
 their combined stake consists of N caci common shares including N shares bought in the past N days at $ N to $ N a share
 additional shares may be bought or sold in the open market in private transactions or otherwise depending on market conditions and other factors
 the <unk> trading relationship between bonds and stocks was interrupted yesterday as bonds fell despite a modest decline in stock prices
 but bond investors continue to keep a close watch on the jittery stock market
 in early trading investors were bidding bond prices higher as stocks tumbled and fears mounted that friday 's stock market debacle would be repeated
 but a partial recovery in the dow jones industrial average which had been down more than N points in midmorning dashed those expectations
 treasury bonds also were hurt late in the day by a $ N billion offering by the tennessee valley authority and the prospect of a huge amount of new agency debt
 bond investors were hoping that stock prices would continue to fall said roger early a vice president at federated investors inc. pittsburgh
 when stocks stabilized that was a disappointment
 meanwhile for the second straight day the bond market paid little attention to the federal reserve 's open market operations
 fed officials <unk> more cash into the banking system by arranging $ N billion of repurchase agreements during the usual <unk> intervention period
 the move was meant to keep a lid on interest rates and to boost investor confidence
 the intervention has been friendly meaning that they really did n't have to do it said maria <unk> ramirez money-market economist at drexel burnham lambert inc
 she said a more aggressive move was n't needed
 the fed also appears reluctant to ease credit conditions further
 it already has allowed the closely watched federal funds rate to decline N percentage point to about N N N from its previous target level of about N N
 the rate which banks charge each other on overnight loans is considered an early signal of changes in fed policy
 it ended at about N N N yesterday but was as low as N N N monday
 the treasury 's benchmark 30-year bond fell more than N point or over $ N for each $ N face amount while the yield moved above N N for the first time since thursday
 investment-grade corporate municipal and mortgage-backed securities also fell
 but most junk bonds closed unchanged after opening slightly higher on bargain-hunting by institutional investors
 some so-called high-quality junk issues such as r.h. macy & co. 's N N N subordinated debentures rose
 the macy 's issue closed up about one point at a bid price of N
 the tva 's public debt offering was its first in N years
 strong investor demand prompted it to boost the size of the issue from $ N billion
 traders said hedging related to the tva pricing also pressured treasury bonds
 underwriters of the tva bonds reduced their market risk by selling treasurys to cover at least part of their tva holdings said james r. <unk> a senior vice president at shearson lehman government securities inc
 the tva bonds also served to <unk> the market that there will be even more new supply said lawrence n. <unk> a managing director at <unk> warburg securities & co
 today the treasury will announce the size of its next two-year note sale and resolution funding corp. will announce details of its first bond offering
 some traders estimate $ N billion of new two-year treasurys will be sold next week and they expect refcorp to offer $ N billion to $ N billion of long-term bailout bonds
 refcorp was created to help fund the thrift bailout
 another agency issue came to market yesterday
 the office of finance of the federal home loan banks said it priced a <unk> $ N billion bond offering for the banks to yield from N N to N N
 the release of several economic reports had little impact on the market including a report that the u.s. trade deficit expanded to a surprisingly wide $ N billion in august up from a revised $ N billion in july
 the august gap was expected to have expanded to $ N billion
 treasury securities
 treasury securities were essentially flat to about N point lower
 the benchmark 30-year bond was quoted late at N N to yield N N compared with N N to yield N N monday
 the latest 10-year notes were quoted late at N N to yield N N compared with N N to yield N N
 short-term rates increased
 the discount rate on three-month bills rose to N N for a bond-equivalent yield of N N
 the rate on six-month bills rose to N N for a bond-equivalent yield of N N
 corporate other issues
 investment-grade corporate bonds ended N to N point lower while most junk bonds ended unchanged
 the tva 's huge $ N billion offering dominated attention in the new-issue market
 tva offered $ N billion of 30-year bonds priced to yield N N $ N billion in 10-year notes priced to yield N N and $ N billion in five-year notes priced to yield N N
 the tva which operates one of the nation 's largest electric power systems is a corporation wholly owned by the u.s. government
 yesterday 's bond sale was part of a $ N billion refinancing plan to pay off high-interest debt the tva owes the federal financing bank an arm of the treasury
 meanwhile lockheed corp. priced a $ N million note offering to yield N N
 mortgage-backed securities
 the derivative mortgage-backed market revived after a brief <unk> as two new remics totaling $ N million were offered and talk circulated about two more issues that could be priced today
 the revival of the real estate mortgage investment <unk> market reflected the relative calm in the mortgage market after two days of volatile trading
 dealers noted that it 's difficult to structure new remics when prices are moving widely
 the two remics priced were a $ N million federal home loan mortgage corp. issue underwritten by salomon brothers inc. and a $ N million federal national mortgage association deal underwritten by greenwich capital markets
 the remic issuance supported prices of freddie mac and fannie mae securities which held up better than government national mortgage association securities during an afternoon sell-off
 ginnie mae N N securities for november delivery ended at N N down N N N N securities at N N down N and N N securities at N N down N
 freddie mac N N securities were at N N down N
 the ginnie mae N N issue was yielding N N to a 12-year average life assumption as the spread above the treasury 10-year note held at N percentage points
 municipals
 confusion over the near-term trend for rates dominated the municipal arena as gyrations in the stock market continued to buffet bonds
 long tax-exempt dollar bonds were mostly flat to N point lower after a <unk> session of moving <unk> to stocks in modest <unk> trading
 prices of <unk> municipal bonds were capped by news that chemical securities inc. as agent for a customer will accept bids today for two large lists of bonds that include many such issues
 the lists total $ N million
 <unk> bonds are called at their earliest call date with the <unk> proceeds of another bond issue
 meanwhile several new issues were priced
 underwriters led by painewebber inc. set preliminary pricing for $ N million of california health facilities financing authority revenue bonds for kaiser <unk>
 tentative <unk> yields were set from N N in N to N N in N
 as part of its college savings plan connecticut offered $ N million of general obligation capital appreciation bonds priced to yield to maturity from N N in N to N N in N N and N
 a chemical securities group won a $ N million oregon general obligation veterans ' tax note issue due nov. N N
 the N N N notes yield N N
 foreign bonds
 west german government bond prices took a wild roller-coaster ride pulled down by monday 's u.s. stock market gains then up by a <unk> u.s. trade deficit and falling u.s. stock prices
 west germany 's N N bond due october N was at N late yesterday off N point from monday to yield N N
 the N N N notes due april N were up N point to N to yield N N
 british government bonds surged on renewed volatility in the stock market
 the treasury N N N bond due N rose N to N N to yield N N
 but japanese bonds ended weaker
 the benchmark no. N N N bond due N ended on brokers ' screens at a price of N off N point to yield N N
 a house-senate conference approved an estimated $ N billion fiscal N spending bill that provides a N N increase for space research and development and <unk> far-reaching provisions affecting the federal mortgage market
 the current ceiling on home loans insured by the federal housing administration would be increased to $ N
 separately the bill gives authority to the bush administration to facilitate the refinancing of federally subsidized loans for low-income and <unk> homeowners
 the second provision affecting so-called N mortgages has met strong opposition from investment bankers represented by the public securities association
 and a <unk> of influential former senate aides employed by the wall street firm salomon brothers came to the capitol in a <unk> attempt to strip the provision
 by an N margin senate negotiators voted to preserve the N mortgage refinancing plan and despite powerful allies the opposition found itself undercut by an unusual alliance of liberals and conservatives
 the government currently is subsidizing an estimated N loans above N N under the N program and however <unk> to private investors the refinancing is expected to yield at least $ N million in savings in fiscal N
 this sum has been <unk> <unk> by <unk> anxious to offset spending elsewhere and conservative sen. phil <unk> cast the fight as a <unk> stand against <unk> interests
 we are <unk> here not of the mortgage companies but the taxpayers said the texas republican
 the action came as the administration won final congressional approval of $ N million in assistance for elections scheduled in nicaragua in february
 the bulk of the money would be <unk> through the national <unk> for democracy but the legislation is so <unk> written that it has been dogged by questions regarding the money 's true purpose and its ultimate <unk>
 the senate had refused late friday to <unk> <unk> and limit debate but behind the bipartisan leadership a solid majority took shape yesterday and brushed aside amendments seeking to cut the total package or steer it away from direct aid to political parties
 final approval on a N roll call was never in doubt but the opposition drew an unusual mix of senators including republicans <unk> <unk> and warren <unk> and democrats bill bradley and john glenn
 the money will be applied for voter registration and election monitoring but more than half is likely to go to the union <unk> <unk> party
 critics warned such cash contributions may only undercut the opposition party 's standing and one irony is that under nicaraguan law a major portion of the opposition party 's funds must be shared with the government 's supreme electoral council
 within the appropriations conference yesterday the $ N billion measure is the second largest of the annual domestic spending bills and covers a <unk> collection of accounts for science housing veterans and the environment
 the decision to raise the ceiling on fha home loans still faces strong opposition in the house
 but it is driven by the same fiscal pressures that have forced lawmakers to resort to various <unk> devices to <unk> as much as $ N billion in spending that would otherwise put the bill over budget
 these costs will complicate the budget picture in fiscal N and the measure further <unk> congress to a set of costly projects including the first construction funds for the space station
 the station is promised $ N billion within the $ N billion provided for research and development in the national aeronautics and space administration and the nation 's <unk> aerospace plane cut by the senate could receive as much as $ N million in new funds or transfers
 similarly the house agreed to add back $ N million to continue work on the advanced communications technology satellite being developed by general electric co
 and while setting a statutory limit of $ N billion on the automated space probe the conference appropriated $ N million for the start-up of the <unk> mission a successor to the <unk> space probe
 among major domestic agencies the environmental protection agency stands to receive increases significantly beyond those sought by the administration with pollution <unk> and control accounts growing by N N to about $ N million
 an estimated $ N billion is separately allocated for the national science foundation and within the housing and urban development department more than $ N billion is provided for federally <unk> housing including an expanded effort to modernize public housing units that serve the poorest families
 to an unusual degree the massive bill has become a vehicle for lawmakers to <unk> funds for projects in home states
 while the practice was discouraged in the past the conference agreement is <unk> with veterans ' hospitals environmental projects and urban grants designated for specific communities
 the most striking example yesterday may have been in community development funds where the two houses had separately approved a total of N projects valued at $ N million and the conference added N more valued at $ N million to <unk> preserve balance between the house and senate
 yesterday 's conference agreement is the second major bill to emerge from negotiations this week as <unk> approved a fiscal N transportation bill late monday that includes a sweeping ban on smoking on most domestic airline flights
 an exemption will remain for flights longer than six hours to hawaii and alaska but estimates by the tobacco industry yesterday indicate all but about N flights would be covered
 separately a third conference report covering an $ N billion treasury and postal service bill was sent to the senate after passing the house on a N roll call yesterday
 and after weeks of delay the appropriations process is beginning to take some final shape
 defense and foreign aid are the two most critical areas remaining from the administration 's standpoint
 and among domestic programs the most serious threat is white house opposition to abortion riders attached to separate bills funding the district of columbia and department of health and human services
 the same issue threatens to spill over to the foreign aid debate and mr. bush also is threatening to veto any agreement that <unk> <unk> provisions renewing u.s. support for the united nations fund for population activities
 in a sharply written letter rep. david <unk> chairman of the house appropriations subcommittee for foreign operations warned mr. bush that the result of his <unk> could weaken efforts to accommodate the administration elsewhere
 as a result of your <unk> writes the wisconsin democrat i guess there is no longer any point in taking administration views into account on other items in conference <unk> regardless of their resolution you apparently intend to veto this bill
 markets usually get noticed because they soar or plunge
 gold which has n't risen or fallen significantly in quite some time yesterday achieved what may be a new level of <unk> the most actively traded futures contracts closed unchanged despite nervous fluctuations in both the dollar and the stock market
 the settlement prices of the december february and april gold contracts were even with monday 's final prices
 the december N contract which has the greatest trading volume ended at $ N an ounce
 the other months posted advances of N cents to N cents an ounce
 according to one analyst bernard savaiko of painewebber new york the stock market 's ability on monday to rally from last friday 's decline which seemed to indicate that the economy was n't going to fall either took the <unk> out of precious metals prices and out of gold 's in particular
 yesterday gold traded within a narrow range
 gold tried to rally on monday but ran into the same situation that has subdued gold prices for more than a year selling by gold producers who want to fix the highest possible price for their gold
 december delivery gold is trading in a range of $ N to $ N an ounce and is having difficulty breaking out above that mr. savaiko said
 producers at the moment regard that area a good one in which to sell gold
 also mr. savaiko noted stock market investors seeking greater safety are <unk> toward buying bonds rather than precious metals because we are <unk> more toward a <unk> economy that does n't make gold and precious metals attractive
 jeffrey <unk> president of <unk> canada toronto precious metals advisers said there is little to <unk> gold traders to buy the metal
 investors in the u.s. and europe are comfortable with the actions of the federal reserve in its willingness to supply liquidity to financial system which helped the stock market rebound on monday he said
 there is n't any rush on the part of investors in the west to buy gold he said
 they still bear the memory of october N when they bought gold after the stock market <unk> and ended up losing money because gold prices subsequently fell mr. <unk> said
 it 's an experience they do n't want to repeat
 at the moment gold traders are n't concerned about inflation he said and as for the dollar gold 's association with the currency has been <unk> recently so drops in the currency are n't having much impact on gold
 <unk> mehta chief bullion trader for chase manhattan bank said there is little incentive on the part of traders to sell gold because the stock market may go lower and gold may retain some of its flight to safety quality
 there is little incentive to buy gold because if the stock market goes higher it may be just a false alarm
 this is keeping the gold traders <unk>
 the most remarkable feature about yesterday 's action was that the price of roughly $ N an ounce was regarded as attractive enough by gold producers around the world to aggressively sell gold mr. mehta said
 i do n't know what it means over the long run but for the short term it appears that gold producers are <unk> for the $ N or so that gold has risen over the past week or so he said
 previously he noted gold producers <unk> to back off from a rising gold market letting prices rise as much as possible before selling
 mr. mehta observed that the u.s. merchandise trade deficit which rose sharply in august according to yesterday 's report has been having less and less impact on the gold market
 the dollar has n't reacted much to it so gold has n't either he said
 in other commodity markets yesterday
 energy
 crude oil prices rose slightly in lackluster activity as traders in the pits tried to assess action in the stock market
 since stock market indexes plummeted last friday participants in all markets have been wary
 when traders become confident that the stock market has stabilized oil prices are expected to rise as supply and demand fundamentals once again become the major consideration
 crude oil for november delivery edged up by N cents a barrel to $ N a barrel
 heating oil prices also rose
 november gasoline slipped slightly
 sugar
 futures prices rose on a report that cuba may seek to postpone some sugar shipments
 the march contract advanced N cent a pound to N cents
 according to an analyst cuba ca n't meet all its shipment commitments and has asked japan to accept a delay of shipments scheduled for later this year into early next year
 japan is perceived as a wealthy nation that can turn elsewhere in the world market and buy the sugar the analyst said
 it was the possibility of this demand that helped firm prices the analyst said
 another analyst noted that cuba has been deferring shipments in recent years
 to the professionals in the trade it did n't cause much surprise
 the march futures contract traded as high as N cents but could n't sustain the advance he said
 livestock and <unk>
 the prices of cattle <unk> and pork <unk> futures contracts rebounded as livestock traders shook off fears that the friday stock market plunge would <unk> consumer spending which in turn would hurt retail sales of beef and pork
 the prices of most livestock futures contracts had dropped sharply monday
 cattle futures prices were also supported yesterday by signs that supermarket chains are making plans to increase their promotions concerning beef
 grains and soybeans
 the prices of most soybean and <unk> futures contracts rose amid rumors that the soviet union is interested in buying from the u.s. or south america about N metric tons of soybeans and as many as N metric tons of soybean <unk>
 traders are especially sensitive to reports of possible u.s. soybean sales because u.s. exports are lagging
 since sept. N about N million fewer <unk> of u.s. soybeans have been sold overseas than for the same period last year
 corn futures prices rose slightly while wheat prices settled mixed
 moody 's investors service inc. <unk> about increasing competitive pressure on ryder placed about $ N billion in company securities under review for possible downgrade
 ratings under review are ryder 's <unk> collateral trust debentures <unk> senior notes and bonds <unk> preferred stock and the company 's <unk> rating for commercial paper
 moody 's said it is assessing the strategies ryder 's management may follow in addressing significant challenges in some major markets
 the rating agency said it is focusing especially on the transportation service company 's efforts to control costs improve margins and enhance its competitive position in its primary business vehicle leasing and rental
 the nations of southern africa know a lot about managing <unk> their <unk> are thriving
 but the nations of europe and north america have decided they know better
 at this week 's u.n. conference in <unk> they imposed a global ivory ban that seeks to <unk> local policies
 a <unk> delegate argued that the ban would guarantee the <unk> of the elephant
 legitimate <unk> who have an interest in preserving the <unk> would go out of business
 <unk> would control the underground trade
 many delegates were willing to craft a compromise but u.s. delegate <unk> <unk> and others <unk> that down
 the greens from the first world wanted a <unk> play not a negotiation
 fortunately the nations of southern africa have n't totally surrendered their sovereignty
 five countries announced they would not honor what one <unk> delegate <unk> called the made in switzerland solution
 in fact they seemed a <unk> <unk>
 the director of <unk> 's wildlife department described american <unk> as fat little <unk> from urban environments who do n't know a thing about africa
 that 's not fair they 're not all fat
 <unk> blast generates <unk> for aid from south carolina small businesses
 the small business administration has received more than N formal requests for disaster loans because of the hurricane
 about N N of requests for <unk> relief loans which also are available to homeowners come from small businesses compared with a N N business share after most disasters
 the <unk> expects to make about $ N billion in hurricane hugo loans
 the disaster fund is <unk> by loan <unk>
 hardest hit by hugo in south carolina were small retailers tied to the tourist industry and businesses in agriculture and <unk> <unk>
 the state development board set up a hugo <unk> to accept <unk> help
 after nbc weather man <unk> scott broadcast the <unk> number it was flooded with N calls
 last week the u.s. chamber of commerce began using its national tv show to seek help such as equipment for business owners
 local bankers and accountants help applicants fill out forms
 it helps us and people feel better talking to someone who 's gone through the same thing an <unk> official says
 health benefits remain a central lobbying effort even as section N <unk>
 the senate after <unk> section N repeal from its deficit-reduction bill still is expected to join the house in voting to kill the law which forces companies to provide comparable benefits to <unk> and executives alike
 in lobbying on other <unk> topics the national federation of independent business will press for legislation that would give self-employed people a N N tax deduction for their own health plans up from N N currently
 and the group will urge that the federal government <unk> state rules on what must be covered by employers ' health insurance
 small-business groups also will fight the <unk> provision of legislation that would expand parental leaves
 and they still oppose as too costly an <unk> health insurance bill sponsored by sen. edward kennedy d. mass despite his proposal to phase in small business only gradually
 there is also worry that the <unk> commission studying long-term health care will again push lawmakers toward <unk> solutions
 the section N victory could have a downside by making it harder to oppose lawmakers on other health proposals
 with the repeal of section N we can no longer say they 're discouraging businesses from offering health plans says <unk> russell the chamber of commerce 's small-business advocate
 jumping the gun
 sen. lloyd <unk> d. texas was <unk> after a private word to john <unk> lobbyist for the national federation of independent business resulted in a news release saying that the senate finance committee chairman would recommend repeal of section N
 even though the announcement was true in the end it was issued without the senator 's permission
 i <unk> it mr. <unk> says <unk>
 it was a timing mistake
 <unk> blues
 sen. <unk> thurmond r. s.c protests pending legislation to end the preference that the federal prison system gets in selling <unk> furniture and other goods to government agencies
 small-business suppliers want prisons to stop getting high priority especially as prison production grows with swelling <unk> <unk>
 last year the prisons ' sales to the pentagon totaled $ N million
 repair shops scrap for more access to work on <unk> systems
 groups representing some independent <unk> shops join a compromise on the clean air legislation worked out between environmentalists and rep. henry waxman d. calif
 the plan would increase the warranty on <unk> systems to eight years or N miles from five years or N for major parts
 but the warranty on simpler parts would be lowered to two years or N miles
 the garage owners say they would benefit because car owners would be less likely to go back to dealers for the simpler repairs after two years
 the repair shops are n't united however
 shops represented by the automotive service industry association and the motor equipment manufacturers association oppose any increase in warranty length
 they say the longer the warranty the longer customers will automatically return to <unk> dealers which then find <unk> work that might otherwise go to repair shops
 the house energy committee will debate the issue later this month
 <unk> <unk> an atlanta garage owner who opposes a longer warranty estimates that the current plan costs him as much as $ N a year in lost business
 small talk
 some N N of graduates who recently earned an <unk> degree say they 'd prefer to work in or own a small company yet most take jobs with large concerns says a survey by the foster <unk> group a new york recruiting firm
 <unk> scientific inc. of <unk> md. seeks a small business innovation research grant to produce a <unk> assembly for an army mass <unk> outfit
 banc one corp. said frank e. <unk> plans to retire as the bank holding company 's president effective jan. N
 banc one said it is contemplated that john b. <unk> chairman and chief executive officer will assume the additional position of president upon mr. <unk> 's retirement
 mr. <unk> N years old was chairman and chief executive of american fletcher corp. indianapolis when that bank holding company merged into banc one in january N
 the company said mr. <unk> plans to retire because the process of <unk> american fletcher into banc one is considered completed
 mr. <unk> will continue as chairman of the board and chairman of the executive committee of banc one indiana corp. the successor company to american fletcher corp. but will no longer be active in day-to-day management
 he will remain on the banc one board
 the treasury plans to raise $ N billion in new cash with the sale monday of about $ N billion in short-term bills to redeem $ N billion in maturing bills
 the offering will be divided evenly between 13-week and 26-week bills maturing on jan. N N and april N N respectively
 tenders for the bills available in minimum $ N denominations must be received by N p.m. edt monday at the treasury or at federal reserve banks or branches
 moody 's investors service inc. said it lowered ratings on about $ N million of beatrice co. debt citing the closely held chicago food concern 's proposed recapitalization
 the ratings concern said it downgraded beatrice notes <unk> and certain industrial revenue bonds to <unk> from <unk> and the company 's subordinated debentures to <unk> from <unk>
 moody 's said the proposed <unk> may limit the company 's ability to realize its profit potential and that paying dividends from a new series of preferred could squeeze basic business operations
 a beatrice spokesman did n't return calls seeking comment
 beatrice which went private in an $ N billion leveraged buy-out in N said last month that it might borrow again to help pay investors as much as $ N million in preferred stock and debt securities
 when the soviets announced their last <unk> had left afghanistan in february the voices of skepticism were all but <unk> out by an international chorus of euphoria
 it was the soviets ' vietnam
 the kabul regime would fall
 millions of refugees would rush home
 a resistance government would walk into kabul
 those who bought that illusion are now <unk>
 eight months after gen. <unk> <unk> walked across the bridge into the u.s.s.r. a <unk> regime remains in kabul the refugees sit in their camps and the restoration of afghan freedom seems as far off as ever
 but there never was a chance that the afghan resistance would <unk> the kabul regime quickly and easily
 soviet leaders said they would support their kabul clients by all means necessary and did
 the u.s. said it would fully support the resistance and did n't
 with the february N u.n. accords relating to afghanistan the soviet union got everything it needed to consolidate permanent control
 the terms of the geneva accords leave moscow free to provide its clients in kabul with assistance of any kind including the return of soviet ground forces while requiring the u.s. and pakistan to cut off aid
 the only fly in the soviet <unk> was the last-minute addition of a <unk> american <unk> that u.s. aid to the resistance would continue as long as soviet aid to kabul did
 but as soon as the accords were signed american officials sharply reduced aid
 in february N when the soviets said they had completed their pullout the u.s. cut it further
 not so the soviets
 gen. <unk> himself said soviet troops expected to leave behind more than $ N billion of military equipment and installations for the kabul regime
 since the troop withdrawal moscow has poured in an additional $ N to $ N million worth per month nearly $ N billion since february equivalent to the total u.s. aid to the resistance in nine years
 this includes what deputy foreign minister <unk> <unk> <unk> called new peaceful <unk> weapons including more than N <unk> missiles
 by early may moscow had delivered for example N trucks about N tanks <unk> and hundreds of other combat vehicles
 later that month it added an entire tank <unk> including N <unk> tanks and more than N <unk> <unk> <unk> fighting vehicles
 by september a new reinforced <unk> <unk> <unk> with an additional N combat vehicles N more trucks and N <unk> afghan troops had arrived in <unk>
 in the last few weeks moscow has added <unk> missiles the bomber version of the <unk> <unk> <unk> aircraft <unk> which can <unk> pakistan 's <unk> <unk> and <unk> <unk> <unk> which can <unk> the <unk>
 moscow claims this is all needed to protect the kabul regime against the guerrilla resistance
 it is well-known that the regular afghan <unk> is filled with reluctant <unk>
 but this is not the entire afghan army and it is no longer kabul 's only military force
 complete units have been trained and <unk> in the u.s.s.r. and other east bloc nations N to N of these troops have returned
 in addition the regime has established <unk> <unk> forces totaling more than N including N <unk> troops of the interior ministry <unk> which still is directed by N soviet kgb officers
 even if not all these forces are committed to the regime they are now dependent on it
 and thousands of afghan children have been taken to the soviet union where they are <unk> for the behavior of their families
 since N indian military advisers have been <unk> the kabul regime
 in preparation for the withdrawal moscow kabul and new <unk> signed two agreements for several hundred newly civilian indian experts to replace some of the more visible soviet military personnel
 cuban military personnel also have been active in afghanistan since N
 the soviets cut a deal with iran a future iranian role in afghanistan in exchange for iranian support of soviet policy
 the deal was <unk> by the restoration of the <unk> <unk> <unk> <unk> to the afghan prime ministry
 moreover serious questions have been raised about the claimed withdrawal of soviet forces
 before his assassination in N president <unk> of pakistan repeatedly stated that fresh soviet troops were being inserted into afghanistan even as others were <unk> withdrawn
 rep. bill <unk> r. fla. reports that these included N to N soviet central asian kgb border guards <unk> <unk> from <unk> and wearing <unk> <unk>
 meanwhile the kabul regime is increasingly successful at portraying the resistance as <unk> <unk>
 in this they are aided by years of american european <unk> and saudi support for the most extreme <unk> radical <unk> <unk> with leaders whose policies are <unk> to the afghan public
 this heavy outside support for the worst has undermined better moderate leaders
 in autumn last year for example the regime garrison at <unk> was prepared to surrender the city to resistance <unk>
 at the last minute however <unk> officials sent in <unk> <unk> perhaps the most <unk> and feared of the <unk> with a demand that the surrender be made to his forces
 the deal fell through and <unk> remains a major regime base
 the resistance lacks not only air power <unk> and expertise but often such <unk> as <unk> mine detectors or even winter <unk>
 experienced resistance <unk> wanted to use guerrilla action and <unk> tactics to wear down the regime
 instead they were pressured by pakistan 's isi the channel for their support into attacking <unk>
 they took more than N N <unk> journalists report that they faced <unk> without mine detectors
 the wonder is not that the resistance has failed to topple the kabul regime but that it continues to exist and fight at all
 last summer in response to congressional criticism the state department and the cia said they had resumed military aid to the resistance months after it was cut off but it is not clear how much is being sent or when it will arrive
 for months the resistance has been <unk> against air attack
 thus far there is no indication that they have been <unk> with <unk> or other <unk> weapons
 indeed u.s. officials have indicated to the press that the <unk> of aid depends on what success the weakened resistance <unk> by the end of this year
 moscow and kabul must have found that information useful
 for a decade u.s. policy has been <unk> based on <unk> and the defense of bureaucratic and political turf
 no settlement negotiated by others can force the afghan people to give up their struggle
 a <unk> of u.s. military aid would merely abandon them to die in <unk>
 creation of a new realistic u.s. policy is long overdue
 ms. <unk> editor and co-author of afghanistan the great game <unk> freedom house directs the freedom house program on <unk> asia
 nothing <unk> the soul of ronald reagan and his <unk> as much as the crusade to aid nicaragua 's contra rebels or the dream of building a <unk> defense shield to knock out soviet nuclear missiles
 yet under mr. reagan 's preferred successor president bush those two <unk> <unk> causes are <unk> on the <unk>
 and surprisingly little more than a <unk> of protest is being heard even though <unk> once <unk> fire supporting the contras and the strategic defense initiative
 the programs have <unk> says rep. henry <unk> a conservative republican from illinois
 yet he asserts you look around and you say who are the leaders
 who is going to carry the water
 it is n't surprising that president bush has n't led a crusade to pump up the contras or sdi
 though he <unk> supports both programs mr. bush has n't been a <unk> champion of either cause as mr. reagan was
 what 's surprising is that there is n't more of a conservative outcry as the bush administration lets the programs slip down the <unk> list
 a combination of factors a <unk> among some conservatives a decline in the perception of a soviet threat and a <unk> with other issues seem to explain the strange <unk>
 above all though conservative republicans who have <unk> both the contras and sdi are reluctant to attack a republican president for failing to do more though that reluctance may be <unk>
 we want to complain we want to say something about it and we 're going to as it gets worse says rep. dan burton an indiana republican who has been a <unk> contra backer
 but it 's like <unk> your father in the <unk>
 you hate to do it because he 's your father
 mr. burton says conservatives ' <unk> with mr. bush 's cautious handling of the recent unsuccessful coup in panama will make them more willing to speak out
 of course neither president bush nor the congress has actually abandoned the contras or sdi
 mr. bush has struck a deal with congressional leaders to provide <unk> aid to the contras until nicaragua holds national elections next february
 but the administration has dropped any effort to win military aid for the rebels
 and the administration 's deal with congress gives several congressional committees the right to cut off even humanitarian aid next month though the committees are likely to let aid continue until february
 most analysts think there 's little prospect the contras can be a significant fighting force without u.s. arms and after the february election their future in any form will be <unk> at best
 instead of focusing on the contras mr. bush has switched to urging members of congress most recently in a white house meeting yesterday to approve financing for the election campaign of political opponents of nicaragua 's sandinista government
 the administration continues to support sdi or star wars and it recently lobbied to persuade the senate to restore some of the funds it planned to cut from the program
 and just last week defense secretary dick cheney gave a strong speech listing compelling reasons to push ahead with sdi and saying he 'd urge president bush to veto a defense bill with inadequate funding for the program
 but the strong pitch by mr. cheney may be too little too late to prevent damage to sdi
 the house has already voted for a deep cut in funding and in the end the program 's backers will be hard pressed to head off some reduction in spending next year
 and while the defense secretary is speaking out president bush himself has n't launched any <unk> campaign to drum up support as president reagan did
 the administration also acknowledges that it is n't pursuing mr. reagan 's original vision of an <unk> shield protecting the whole u.s. but rather a more modest version
 more <unk> to sdi supporters the bush administration appears to have <unk> accepted a new arms-control proposal from the soviet union that <unk> long-term trouble for star wars
 the soviets have agreed to complete a treaty cutting strategic weapons without including restrictions on <unk> defenses
 but the soviets also are insisting that they will reserve the right to withdraw from the completed <unk> treaty later on if the u.s. does sdi testing or <unk> that the soviets think violates the existing <unk> treaty
 it will be hard down the road to persuade congress to approve money for sdi plans if lawmakers fear those plans could scuttle a completed treaty
 as a result frank <unk> a former reagan pentagon aide who now heads the center for security policy charges that the administration 's <unk> of continued commitment to development and <unk> of the sdi program strain <unk>
 still proponents may be <unk> away from more <unk> because they sense political <unk> have turned against <unk> the nicaraguan rebels or boosting spending on sdi particularly when the public <unk> the soviet threat is declining under mikhail gorbachev
 in fact because communism seems to be beating a global retreat some conservatives may simply be so pleased that their <unk> philosophy is prevailing that they do n't have the fire at the moment to push controversial programs
 the short of it is that the most <unk> among us can not get into too sour a mood with communism <unk> says mitchell <unk> a former reagan white house aide who now is president of the hudson institute
 some activists are <unk> to raise the profile of the two causes
 but they say they ca n't make much <unk> because of a lack of willing leaders in a position to turn the tide
 one longtime champion of these programs in congress republican whip <unk> <unk> of georgia is <unk> by questions about his ethics conservatives note
 other conservative <unk> like wyoming republican sen. malcolm <unk> a longtime sdi advocate do n't have the clout with the bush white house that they enjoyed with president reagan
 above all though proponents say neither the contra nor the sdi cause can be pushed much further without more presidential support
 for there to be wind in the <unk> of any program the chief executive has to be <unk> in the <unk> says rep. burton
 all this causes rep. <unk> to <unk> about an <unk> way to drum up more enthusiasm
 what i 'd like to see if he is up to it is for reagan to take to the <unk> to <unk> enthusiasm for sdi the congressman says
 we 're sorry to report that on monday president bush accepted the resignation of william allen as chairman of the u.s. civil rights commission
 mr. allen appointed by president reagan grew <unk> tired of dealing with the guerrilla tactics of his enemies
 his recent speech <unk> titled blacks animals <unk> what is a minority caused an <unk> when its title <unk> out
 mr. allen 's commissioners voted to call his <unk> speech <unk> <unk> and <unk> <unk>
 commissioner mary francis berry said it was another sad episode in the <unk> of the <unk> missile who is chairman
 rep. don edwards the california democrat warned mr. allen that the speech would be outside the scope of the commission 's jurisdiction
 thomas <unk> head of the <unk> legal defense fund called the prospect of the speech frankly <unk>
 we 've actually read the speech
 mr. allen began it with a warning to his hosts a california church group that opposes rights for <unk>
 he said that other participants in the conference do not believe that the rights of americans should be guaranteed to citizens who are homosexual but that i mean to persuade you to the opposite view
 he recalled to the audience a strange <unk> <unk> he once heard arguing now that we have finally recognized that american blacks have rights we need to do the same for animals
 mr. allen <unk> to this <unk> because it seems to <unk> the status of blacks to that of animals as a mere project of charity of <unk>
 rights on such a basis whether for blacks or <unk> are mere <unk> he said subject to being taken back
 he says the title of his speech was to make his point that americans have rights as individuals not as members of certain select groups
 his speech criticized the <unk> of <unk> of protected groups in society as opposed to individual <unk> or as he put it in a common <unk> as americans
 instead of lobbying for special treatment mr. allen said that <unk> and others should try to ensure equal treatment under the law and not aim for special privileges that would risk <unk> <unk> with government <unk>
 this hardly sounds like an <unk> <unk>
 what 's really going on here
 the three most important things to understand about mr. allen is that he is a black conservative intellectual a triple threat to the liberal establishment
 mr. allen who teaches government at prestigious <unk> <unk> college in california and will remain a member of the commission has spent years arguing that civil rights are individuals ' rights
 he last made waves when he <unk> to defend an indian girl who had been adopted by <unk> parents off her <unk>
 mr. allen quickly ran up against the liberal establishment again which somehow <unk> the vague concept of indian rights above the rights of individual indians
 there is a huge divide between mr. allen 's <unk> view and the divisive litigation approach of the civil rights groups
 indeed the gap is so large that mr. allen 's critics refuse to engage the debate
 their <unk> of him is no substitute for argument
 their effort to run him out of washington is an embarrassment to the original purpose of their own movement
 we hope the next head of the civil rights commission will be as <unk> as mr. allen in making the case for <unk> of civil rights
 bearings inc. said its chairman john r. <unk> will retire as an officer of the company on jan. N
 george l. <unk> president and chief executive officer will become chairman and chief executive upon mr. <unk> 's retirement
 john c. <unk> executive vice president and chief operating officer will become president and chief operating officer
 mr. <unk> N years old was chief executive of the distributor of bearings and <unk> products from N to N
 he will continue as a director
 mr. <unk> N a <unk> veteran at bearings has been president since N
 mr. <unk> N joined bearings in august N from leaseway transportation corp. where he was president and chief operating officer
 he has been a bearings director since N
 the appointments are part of a planned succession at the company
 soviet leader mikhail gorbachev opened a major u.s. trade exhibition in moscow and spent two hours <unk> some of the N <unk> representing such blue-chip companies as general motors corp. international business machines corp. and johnson & johnson
 at the <unk> co. stand mrs. nelson rockefeller a board member offered him a <unk> burger
 he did n't <unk>
 the exhibition by the <unk> trade and economic council <unk> the growing u.s. interest in that nation 's market though trade between the two countries is a <unk> $ N billion
 the soviet president and his prime minister <unk> <unk> spent the longest time about N minutes at the ibm stand where they got <unk> <unk> key <unk>
 at the gm <unk> they barely looked at a <unk> cadillac <unk> to talk about cooperation possibilities
 in beijing meantime china opened an international aviation show but the west 's <unk> on military deals and uncertainty about the nation 's stability kept many foreign <unk> away
 officials said N companies from N countries including the u.s. had displays down from about N firms from more than N countries at the last show in
 japanese <unk> maker daikin industries ltd. was fined two million yen $ N for exporting to the soviet union a chemical solution that could be used in <unk> systems
 a daikin executive in charge of exports when the <unk> <unk> <unk> was sold to the soviets in N received a suspended <unk> jail sentence
 judge <unk> <unk> told the osaka district court daikin 's responsibility is heavy because illegal exports lowered international trust in japan
 sale of the solution in concentrated form to communist countries is prohibited by japanese law and by international agreement
 a soviet legislative panel rejected as not radical enough a government proposal on <unk> economic control
 the newspaper <unk> <unk> said the committee decided the plan to parcel out economic powers previously exercised by moscow to the country 's N republics does n't reflect the radical changes in the soviet federation
 the committee gave the government until nov. N to revise the proposal
 the move reflected the growing confidence of the revamped supreme soviet
 scott paper co. said it is abandoning a proposed $ N million <unk> project in indonesia because it no longer expects to use as much <unk> pulp as previously anticipated
 the <unk> <unk> and pulp mill which would have covered about N acres in the <unk> <unk> region had been approved by indonesia 's investment board
 but it was opposed by some environmentalists as a threat to <unk> <unk> 's <unk> and a potential source of social unrest for the <unk> <unk> who <unk> them
 <unk> <unk> co. of japan is moving its <unk> headquarters and holding company to hong kong to gain from the british colony 's economic advantages and tax structure
 with funds of N billion hong kong dollars us$ N million the new company <unk> international co. plans to acquire N of hong kong 's top restaurants
 it also intends to set up an international wholesale market with the singapore government next may and to open a department store in <unk> and shopping centers in malaysia taiwan canada chicago and seattle by december N
 the chain currently has N retail outlets in japan seven in the u.s. three in hong kong and a dozen more scattered around the globe
 major european auction houses are turning increasingly to specialized sales
 christie 's will soon have a sale of <unk> and <unk> art while sotheby 's is <unk> collectors with sales of swiss german spanish australian and canadian paintings
 in brussels hotel de <unk> <unk> auctioned <unk> and <unk> along with paintings and <unk>
 berlin 's <unk> <unk> will auction art works with <unk> estimates of less than $ N on nov. N
 the auction house known for its sales of <unk> 19th and 20th century works is providing a service to clients who do n't want to sell just their <unk> oil paintings says <unk> <unk> 's <unk> reuter
 <unk> <unk> <unk> is less concerned with market <unk> than with belgium 's <unk> tax and <unk> burden
 everything has to be the same between countries says <unk> 's <unk> <unk> who is asking clients to sign protest <unk>
 then there 'll be fair competition
 ending tax-free shopping in the european community after N could threaten more than N jobs the international duty free confederation said
 instead of banning such shopping the confederation proposed <unk> controls to be sure the privilege is n't abused
 british and <unk> diplomats opened talks in madrid aimed at restoring ties <unk> because of their N war over the <unk> islands
 britain 's u.n. representative and delegation head <unk> <unk> called the first meeting good interesting and <unk>
 polaroid corp. benefiting from <unk> savings reported a strong gain in third-quarter operating results and net income of $ N million or N cents a share after <unk> requirements
 analysts said the numbers were better than expectations partly because of strong profit margins and a positive foreign-currency translation
 however they said the company 's flat revenue was a disappointment and an indication that sales of polaroid 's new conventional film in the u.s. have been sluggish
 revenue in the third quarter was $ N million almost unchanged from $ N million a year earlier
 polaroid reported operating profit before taxes and interest costs of $ N million for the third quarter more than double the <unk> $ N million
 charges for staff cuts and other restructuring produced a net loss of $ N million or N cents a share in N 's third quarter
 i 'm somewhat skeptical about the underlying demand for polaroid products said michael <unk> an analyst with wertheim schroder & co
 if you believe that a good performance next year is contingent on an acceleration of revenue there is n't a lot here to base optimism on
 alex henderson an analyst with prudential-bache says polaroid officials told him yesterday that u.s. sales of the company 's new conventional film product introduced in the second quarter have been disappointing after a promising start
 sam <unk> a polaroid spokesman said i do n't know about disappointing but added that the company has n't been able to get the product on the shelves of some <unk> discount retailers that it had hoped would be carrying the product already
 mr. <unk> said the film one film is currently carried at about N retail outlets including <unk> and supermarkets
 for the nine months polaroid reported earnings of $ N million or $ N a share
 last year the company had a nine-month loss of $ N million or N cents a share
 in new york stock exchange composite trading polaroid closed at $ N up $ N
 why is the stock market suddenly so volatile
 yesterday the dow jones industrial average did a now familiar dance it plunged N points before lunch with most of the drop <unk> in N minutes
 then it rebounded to finish down only N points
 and those swings <unk> <unk> friday 's 190.58-point plunge and monday 's <unk> recovery
 it 's <unk> that in an hour you can <unk> off so much value says stanford <unk> chairman of trinity investment management corp. boston
 and apparently it is here to stay
 richard bernstein senior <unk> analyst at merrill lynch & co says my gut feel is that we 'll live with those swings for a while
 there are many reasons for the market 's <unk> new trading vehicles such as stock-index futures and options computer-driven strategies like program trading and crowd psychology
 but most are linked by a single theme liquidity the ability to get in and out of the market quickly
 prices are moving up and down so fast because investors are <unk> ways to turn over shares at <unk> rates and increasingly acting in concert
 institutions are <unk> animals says peter anderson who heads the <unk> management arm of <unk> financial services inc
 we watch the same indicators and listen to the same <unk>
 like <unk> we tend to move in the same direction at same time
 and that naturally <unk> price movements
 institutions who now account for most trading count on being able to buy and sell big blocks of stock at an <unk>
 but when they discover that markets are n't always as liquid as they supposed markets jump
 on monday for instance howard ward a principal at <unk> stevens & clark found that you could n't buy <unk> at quoted prices without paying up
 and when many firms had to pay up monday 's sudden rally was sparked
 trading in futures and options some people believe can add to volatility
 investors believe they can can rely on such derivative securities to get in and out of the stock market without actually selling any stocks that is a way of staying liquid even when they own stocks
 these and other modern trading methods tend to promote dramatic shifts in assets says george douglas first vice president at drexel burnham lambert inc
 it 's the idea that what goes in easy can come out easy so that <unk> of higher volatility get built into the stock market
 one new investment style called asset allocation shifts portfolio <unk> between stocks bonds and cash when computer models say one is more attractive
 for instance first <unk> corp. an asset <unk> based in morristown n.j. said it quickly boosted stock positions in its aggressive accounts to N N from N N to take advantage of plunging prices friday
 it added another N N monday before stocks rallied
 when they did the firm reduced those stock holdings to about N N
 a classic example of institutions ' <unk> for liquidity is portfolio insurance now widely <unk>
 before the N crash an estimated $ N billion in institutional money was managed under this hedging technique
 the idea was to insure the value of a portfolio by selling futures when stock prices dropped eliminating the need to sell the stocks themselves
 but in october N when portfolio insurers rushed to sell at the same time they <unk> both the stock and futures markets
 yet even today institutions are quietly practicing forms of portfolio insurance by nervously rushing to and <unk> in the markets
 others are doing index arbitrage a strategy of taking advantage of price discrepancies between stocks and futures
 unlike traditional <unk> strategies all of the above require that market makers be on hand to provide liquidity by buying and selling stocks in a crunch
 but institutions say wall street brokerage firms are less willing to make markets
 brokers do n't deny that
 wall street traders say that with institutional brokerage commissions far lower than in the 1970s securities firms ca n't afford to take the risk of buying too much stock
 i think everyone 's a little more leery says jack baker head of equity trading at <unk> lehman hutton inc
 the institutions have driven commission rates down to the point where it makes no sense to commit capital says tom <unk> senior executive vice president in charge of institutional trading at oppenheimer & co
 why should i risk money for a guy for who 's paying me five cents a dance
 all you get is risk
 lack of liquidity can also result from exchange reforms
 many traders say that circuit breakers put in place to damp volatility after the N crash actually added to volatility when the stock market plunged friday
 the circuit breakers caused a <unk> shutdown in trading in standard & poor 's 500-stock index futures contract as the markets were falling
 with the <unk> halt you could only sell stocks to cut exposure to the market says a money manager
 it was scary to people thinking that they could n't get their trades off
 it was like they put you in a room with a <unk> and told you there were three doors to exit said one chicago-based futures trader
 then they said by the way two of the doors are locked
 the takeover mania also adds to volatility
 ual corp. is a good example
 valued as a buy-out target the airline stock was trading at nearly $ N a share
 when the deal ran into trouble the stock tumbled it closed at $ N yesterday
 presumably ual is now trading closer to its value based on earnings
 by contrast traditional <unk> investors are unlikely to generate sudden price moves
 scott black a <unk> money manager who heads <unk> management inc. points out that for those who invest on fundamentals the value of a stock from day to day does n't change all that much
 some experts say markets are n't as volatile as widely assumed
 <unk> stoll finance professor at <unk> university says the current volatility in u.s. markets <unk> in comparison to the 1930s decades before derivative instruments such as options and futures were introduced
 i just ca n't believe that the <unk> in the financial market are causing any of this volatility he says
 and robert d. <unk> president of asset <unk> first <unk> notes that before friday 's tailspin daily volatility on the new york stock exchange in recent weeks had reached historically low levels
 some people tend to ignore that a <unk> move is less in percentage terms than it was when the stock market was lower
 john j. phelan jr. chairman of the big board asserts that N and N have been two of the least volatile years in the last N or N years
 but the low average volatility mr. phelan is talking about is n't any comfort in a period of rapid stock-market moves like the past week
 in addition sanford <unk> a <unk> school finance professor says volatile <unk> in stock prices will continue as long as liquidity falls short of the <unk> demands of institutions who can go out and say i have a billion dollars of stocks to sell
 some people think the search for liquidity is <unk>
 in N john maynard <unk> wrote that of the <unk> of orthodox finance none surely is more <unk> than the <unk> of liquidity
 it leads investors to focus on short-term price movements a game of musical chairs he called it rather than on long-term fundamental valuation
 james a. white contributed to this article
 the national aeronautics and space administration said a computer virus has infected one of its networks and is spreading anti-nuclear messages related to its galileo space probe which is to be launched today
 charles redmond a nasa spokesman said the agency discovered the virus on monday on the collection of computer networks <unk> called <unk> and expected N university centers to be infected by today
 although the network is n't connected to the computer systems that operate either galileo or the shuttle part of the network will carry <unk> of galileo data once the craft gets <unk>
 mr. redmond said the <unk> had n't yet done any harm but the agency feared garbage data could be <unk> for real data
 he estimated it could take a day for a computer security manager to <unk> the virus from a computer system
 the <unk> among the <unk> yet to hit a research network appeared to affect only digital equipment corp. hardware that uses digital 's <unk> operating system
 it is unrelated to the <unk> virus that last year infected <unk> a much larger network used by researchers at universities laboratories and government agencies around the world
 in the <unk> of computer security the nasa <unk> is technically a computer worm mr. redmond said
 a worm <unk> in the operating system of a computer and spreads by boring into other computers contacted through networks
 the galileo worm apparently was <unk> on a computer in france <unk> up to nasa 's space physics analysis network mr. redmond said
 nasa said the galileo worm had n't affected its computers or the computers of other government agencies because they had modified their systems to reject <unk>
 but mr. redmond said the worm hit universities that had n't elected to make the changes
 michael alexander a senior editor at <unk> a trade publication said he was told that the worm gets into a computer center by looking for obvious <unk> such as ones that are the same as the user 's name
 if it finds one and gets into the system it will display a screen when a user <unk> on that says <unk> against nuclear <unk>
 you talk of times of peace for all and then prepare for war
 in addition mr. alexander said the worm sends strange messages to other machines at the center such as george <unk> was an <unk> or do n't feed the <unk> tonight
 the worm also looks for <unk> <unk> that <unk> more privileges on the user
 the <unk> are included in the system software when it is installed but are supposed to be replaced as soon as the system is up and running
 if it finds one of those <unk> mr. alexander said the worm will do such things as change users ' <unk> to a series of random numbers preventing them from signing on to the network
 nasa estimated that on monday about four computer centers were affected
 yesterday the number grew to N today the number is expected to grow to N
 nasa said it will take about a week before it knows exactly how many centers of the N connected to <unk> were affected and the extent of the damage if any
 anti-nuclear activists have <unk> the launch of the galileo space probe to jupiter because it uses <unk> to generate the electricity needed to run the craft
 activists fear that if the shuttle carrying galileo into <unk> should <unk> or if galileo itself crashes into the earth during the two times it flies close to the planet fatal levels of <unk> would be released into the atmosphere
 so far galileo has been delayed twice once because of a computer <unk> connected with a <unk> engine and yesterday because of the weather
 nasa said the galileo worm had nothing to do with either delay
 mr. alexander of <unk> said <unk> have gone after span before
 he said the chaos computer club of west germany once managed to <unk> span and do such things as change the value of <unk> <unk> up some calculations
 it is now a <unk> that prosecutors are bringing criminal <unk> in cases where until a few years ago only a civil action at most would have been brought
 yet it is also <unk> that the power to create new crimes belongs only to the legislature and not to courts
 beginning in the early 19th century with u.s. v. hudson and <unk> the supreme court has repeatedly held that a judicial power to declare conduct to be against the public interest and hence criminal while well established in british law would <unk> legislative authority under the doctrine of separation of powers
 that 's the conventional theory anyway
 in practice however the line between interpretation and <unk> of the criminal law long ago began to <unk>
 in particular a common law of white-collar crime has developed with surprising <unk> over the past decade
 for example although insider trading has long been criminal it has never been <unk> defined
 in N the supreme court tried to supply a <unk> definition in the <unk> v. sec decision which found that liability depended on whether the <unk> had <unk> his fiduciary duty to the corporation in order to obtain some personal gain and whether the <unk> knew or <unk> <unk> this fact
 gradually however lower courts and prosecutors have pushed this definition to its breaking point
 consider the facts underlying the N conviction of robert chestman
 prior to a tender offer by <unk> for <unk> inc. in N the founder of the <unk> 's supermarket chain called an elderly relative to tell her to <unk> her stock certificates for delivery
 she called her daughter to take her to the bank who in turn persuaded her husband a mr. <unk> to run this <unk>
 hearing of this information the husband discussed it with his broker mr. chestman and mr. chestman then bought for his own account and other clients
 basically mr. chestman was a <unk> <unk>
 did mr. <unk> his <unk> breach a fiduciary duty and if so to whom
 did mr. <unk> seek personal gain and if so how
 or did mr. chestman only hear a market rumor which one may <unk> trade upon
 the line seems <unk> thin for <unk> purposes
 a second illustration is supplied by the recent guilty plea entered by robert freeman formerly head of arbitrage at goldman sachs & co
 essentially mr. freeman had invested heavily in the beatrice leveraged buy-out when he was told by another prominent trader bernard bunny <unk> that the deal was in trouble
 after placing orders to sell mr. freeman called martin <unk> an investment banker at kidder peabody & co. who was advising on the deal to confirm these rumors
 mr. <unk> asked mr. freeman who his source was and on hearing that it was bunny <unk> responded well your bunny has a good nose
 the illegal tip of the bunny 's good nose was then largely a confirmation of rumors already known to many in the market
 had the case gone to trial the same issues would have surfaced
 was there a fiduciary breach in order to obtain personal gain
 did mr. freeman have notice of this
 finally was the information material
 yet all these issues are subsidiary to a more central issue who is and who should be making the criminal law here
 it is not my <unk> that either mr. chestman or mr. freeman was an innocent victim of prosecutorial <unk>
 <unk> both were on notice that their behavior was at least risky
 but even if they behaved <unk> reasons still exist to fear and resist this steady process of <unk> judicial extension of the law of insider trading
 courts and legislatures make decisions in very different ways and are each susceptible to very different kinds of errors
 <unk> judicial examination of an actor 's conduct has always been the common law 's method
 when only civil liability is involved this method has the <unk> strengths of <unk> <unk> and <unk> of <unk>
 still <unk> <unk> decision making of this sort is vulnerable to the tunnel vision caused by a <unk> on ad <unk> and usually <unk> examples
 when a court decides that a particular actor 's conduct was <unk> and so <unk> the definition of insider trading to reach this conduct it does not see the potentially enormous number of other cases that will be covered by the expanded rule
 thus a court is poorly positioned to make judgments about the social utility of the expanded rule
 for example in focusing on mr. freeman 's attempt to gain <unk> information about a deal 's collapse one does not naturally think about the reverse side of the coin what if the rumor had been false
 can a security analyst call an investment banker to make certain that a seemingly <unk> rumor is in fact false
 in the past not only would reputable professionals have rushed to check out such rumors with the company but companies listed on the major stock exchanges were encouraged by the exchanges to respond openly to such inquiries from securities analysts
 today after mr. freeman 's plea there is an uncertainty that is both unfair and inefficient
 in this light the <unk> advantages of legislative <unk> become clear N before it acts the legislature typically will hear the views of representatives of all those affected by its decision not just the immediate parties before the court and N the legislature can frame bright line standards that create less uncertainty than the <unk> decisions of courts
 although legislative lines can result in <unk> which explains why the sec has long resisted a legislative definition of insider trading judicial <unk> inevitably creates uncertainty because of the <unk> outer <unk> and implications of most judicial decisions
 at least when the stakes are high uncertainty in turn results in <unk> as individuals do not <unk> to approach an uncertain line closely
 the federal mail and wire fraud statutes provide even better <unk> of the rapid evolution of a federal common law of white-collar crime
 in N the supreme court attempted in <unk> v. u.s. to halt the <unk> expansion of these statutes by adopting a rule of strict construction for <unk> criminal <unk>
 yet late last year congress effectively reversed this decision by <unk> a <unk> statute that defined fraud to include any scheme to <unk> another of the <unk> right of honest services
 at a <unk> this may <unk> all fiduciary <unk> and possibly all <unk> by an agent or employee
 such a statute illustrates the fundamental problem congress finds it is easier to pass <unk> <unk> <unk> which the courts must thereafter interpret than to engage in the difficult <unk> <unk> that are <unk> its responsibility
 we are confronted less with a judicial power grab than with a legislative <unk>
 predictably when confronted with morally dubious behavior prosecutors will exploit the <unk> such <unk> statutes give them
 over the long run however <unk> cases will make bad law
 mr. coffee is a professor at columbia law school
 corning inc. posted a N N decline in third-quarter net income to $ N million or N cents a share from $ N million or $ N a share a year earlier
 the year-earlier figure included a one-time gain of $ N million from the sale of corning 's stakes in japanese businesses
 without the gain operating profit was $ N million or N cents a share
 the telecommunications specialty glass ceramic products and <unk> concern said the latest quarter included a tax-loss carry-forward of $ N
 a year earlier net included a $ N <unk> carry-forward
 sales rose N N to $ N million from $ N million
 corning 's chairman and chief executive officer james r. <unk> said operating performance continued to be strong in the telecommunications and health and science segments
 but the <unk> segment slowed somewhat and consumer products continued below expectations
 as for joint ventures mr. <unk> said profit was essentially flat due primarily to a slow recovery at <unk> co. in korea following a strike at a major customer and the disruption of shipments to china
 also profit was hurt by the strength of the dollar overseas which <unk> affected the company 's <unk> rate
 in new york stock exchange composite trading corning closed at $ N down N cents
 ual the <unk> stock that exploded friday 's market <unk> briefly <unk> traders again yesterday
 within N minutes after an N a.m. trading halt in ual parent of united airlines the dow jones industrial average plunged nearly N points to a <unk> deficit
 computer-guided buying then kicked in and the industrials regained N points in five minutes
 the <unk> moves show that the stock market remains fragile and volatile ready to jump at the <unk> rumor a few days after its <unk> 190.58-point plunge
 nervous investors continued to limit their buying to blue-chip stocks while <unk> <unk> issues
 the industrial average closed down N to N
 new york stock exchange volume was a heavy N shares
 decliners on the big board outnumbered advancers N to N
 ual was watched closely and traded heavily
 the stock tumbled N N to N on volume of N million shares
 the market is still very touchy about rumors and news on pending takeovers
 ual which is trying to <unk> a buy-out bid that banks would n't finance represents the future of one of the most powerful <unk> in the bull market corporate restructuring
 an important element of this phenomenon the <unk> market for junk bonds used often to finance restructurings and takeovers continued to cast a pall over stocks
 it was a very nervous day said john <unk> partner of the big board specialist firm <unk> <unk>
 the volatility wo n't end soon
 this friday brings the double <unk> hour wall street 's <unk> for the monthly simultaneous expiration of a variety of stock index futures index options and options on individual stocks
 traders are already <unk> their seat belts
 previous monthly <unk> of the major market index futures and standard & poor 's <unk> index options have produced spectacular volatility
 we are in one of those <unk> where you are going to get a lot of volatile expiration action said donald <unk> head of stock-index research at prudential-bache securities
 investors were buying yesterday but they were running scared to premier blue chips such as procter & gamble which jumped N N to N
 investors are buying stocks that have predictable earnings said edward j. <unk> head of block trading at kidder peabody
 along the way investors dumped takeover stocks and shares of banks that have <unk> debt and risky real estate loans on their books
 these loans are more of a focus than <unk> debt now said william <unk> senior block trader at prudential-bache securities
 chase manhattan which sold N million additional shares at N N monday through an underwriting group led by goldman sachs closed down N to N
 citicorp fell N to N and manufacturers hanover slipped N to N N
 chase and citicorp 's citibank are involved in the ual buy-out financing
 both citicorp and manufacturers hanover reported earnings yesterday
 in the first hour of trading about one million shares a minute changed hands on the big board as big stock-index arbitrage sell programs pushed prices lower
 in stock-index arbitrage traders buy or sell big baskets of stocks against offsetting positions in futures
 traders said many of the sell programs are positions being established ahead of this friday 's expiration
 aside from computer-guided selling airline stocks took a beating as well
 the dow jones transportation average fell N to close at N
 amr the parent of american airlines continued to retreat in the wake of new york developer donald trump 's decision to withdraw his $ <unk> takeover bid
 the stock fell N N to N N on N million shares
 delta air lines fell N N to N N usair group dropped N to N N southwest airlines dipped N to N and alaska air group slid N to N N
 but texas air the owner of continental and eastern airlines <unk> the group 's decline by rising N to N N in american stock exchange trading
 eastern said it is ahead of schedule in <unk> its operations after filing earlier this year for chapter N bankruptcy protection from which it expects to emerge early next year
 philip morris the most active big board issue for the second consecutive session was unchanged at N N on N million shares
 other blue-chip consumer issues also fared relatively well pepsico rose N N to N N coca-cola co. was unchanged at N N mcdonald 's also closed unchanged at N N and merck rose N to N N
 broader averages also fell
 standard & poor 's 500-stock index fell N to N and the new york stock exchange composite index fell N to N
 among the <unk> stocks that sold off yesterday were disney which closed down N N to N N
 <unk> industries tumbled N to N N hilton hotels fell N N to N and holiday corp. fell N N to N N
 among other blue chips exxon gained N to N N
 international paper fell N N to N N union carbide eased N to N chevron gained N to N and eastman kodak closed down N to N N
 the only industry group to show a gain from the industrial average 's record high on oct. N is restaurants
 among the three <unk> groups with declines of N N to N N are airlines casinos and securities brokers
 trading also was heavy in the over-the-counter market
 the nasdaq composite index closed down N to N on volume of N million shares
 the environment is a lot more <unk> said gary <unk> manager of equity trading at the otc stock firm needham & co. in new york
 because there is a lot more volatility now if guys see that they can make a quick N N or N N profit they 'll take it
 compaq computer gained N N to N N on two million shares reflecting market optimism about the prospects for its newly introduced <unk> computer
 <unk> <unk> dropped N N to N N
 the company 's third-quarter earnings were below both analysts ' forecasts and the year-earlier level
 blue arrow added N to N N
 the british company plans to change its name to manpower the name of its u.s. unit and write off part of nearly $ N billion in good will as a possible prelude to <unk> in the u.s.
 <unk> rose N to N N
 shearson lehman hutton began its coverage of the company with favorable ratings
 <unk> jumped N N to N N
 the company reported that earnings from operations for the september quarter were up about N N from a year earlier
 bay financial which said it may be forced to file under chapter N if it ca n't reach an agreement with its lenders to relieve its debt burden plunged N N to N N
 the amex market value index fell N to N
 volume totaled N shares
 among active amex issues the american depositary receipts of b.a.t industries fell N to N N on turnover of N
 investment bankers and retailers said the turmoil on wall street may benefit managers who plan to bid for u.s. retailing units of the british firm because takeover prices may not be as high as before the recent correction
 fruit of the <unk> slipped N to N N on N shares
 <unk> corp. jumped N N to N on N shares
 carnival cruise lines class a dropped N to N N on N shares
 amex issues with big percentage price gains included two eastern air lines preferred stocks reacting to the news about improved recovery in flight schedules after the company filed for bankruptcy protection
 eastern 's class f preferred rose N N or N N to N N the class e preferred gained N N or N to N N
 the biggest percentage <unk> on the amex was enviropact which jumped N N or N to N N on volume of N shares
 on monday the company a provider of environmental consulting services reported a wider fiscal fourth-quarter loss and predicted a loss for its fiscal N first quarter but said a profit is expected for all of fiscal N
 but its <unk> ernst & young said enviropact 's financial situation raises substantial doubt about its ability to continue as a going concern
 mission resource partners advanced N N or N N to N N
 <unk> <unk> and david wilson contributed to this article
 one liberty properties inc. declared a dividend of N cents a share on its $ N cumulative convertible preferred stock payable jan. N to stock of record dec. N
 but directors of the great neck n.y. real estate investment trust did n't act on the common stock dividend
 and they wo n't consider such a dividend the trust added before results are available for the first quarter of N
 in part the trust cited the need to retain cash for possible acquisitions
 according to a spokesman one liberty will have paid out as dividends the required amount of its taxable income to maintain its legal status as a real estate investment trust
 banks are continuing to go after individual investors despite falling interest rates
 yields on <unk> certificates of deposit fell at about half the rate of so-called jumbo cds this week according to banxquote money markets an information service based here
 investors can get slightly higher yields on deposits below $ N than they can on deposits of $ N and up
 banks want to remain competitive said <unk> mehl chairman of banxquote
 october is a big <unk> month and perhaps they anticipate greater demand among people leaving the stock market
 some bankers are reporting more inquiries than usual about cds since friday
 reports from branches are that there has been greater interest in the last day or so said steven <unk> a vice president at chemical bank in new york
 chemical said deposits monday were about $ N million higher than usual and it expects more activity as investors receive the proceeds from sales of stock
 this is no time to be playing in the street
 the dow has more ups and <unk> than an <unk> proclaimed an <unk> monday in new york newspapers touting lincoln savings bank 's one-year cd
 harold jones lincoln 's chief retail banking officer said there has n't yet been a <unk> response although the ad included a coupon that could arrive later in the week
 friday 's market rout came <unk> in the middle of the heaviest month for cd <unk> when a number of banks and thrifts already have promotions under way
 first national bank of boston for example is offering certain new <unk> an extra quarter of a percentage point on six-month and 12-month cds
 some banks actually boosted yields on the <unk> term cds in the latest week
 new york 's citibank for instance increased the yield on <unk> three-month cds to N N from N N
 on average however three-month cds at major banks are yielding a <unk> of a percentage point less than they were a week ago
 average yields on cds aimed at individual investors fell less than half as much as yields on treasury bills sold at monday 's auction
 six-month cds of $ N and less yielded an average N N in the week ended tuesday down from N N according to banxquote
 the yield on six-month <unk> fell to N N on monday from N N the week before
 meanwhile the average yield on six-month cds of more than $ N fell to N N in the latest week according to banxquote from N N the week before
 mr. mehl noted that actual rates are almost identical on small and <unk> cds but yields on cds aimed at the individual investor are boosted by more frequent <unk>
 cds sold by major brokerage houses which like jumbo cds tend to closely follow interest rate trends also posted larger drops in yields
 a six-month <unk> cd for example was yielding an average N N in the latest week a fifth of a percentage point lower than the week before
 in late april when interest rates were at their recent highs short-term cds sold by brokers were offering yields half a percentage point or more higher than banks
 cd yields are generally expected to fall further in coming weeks
 what happened in the stock market and the bigger trade deficit reported yesterday make it unlikely that short-term interest rates will rise any time soon said mr. mehl of banxquote
 even before the market drop rates were down about half a percentage point said robert j. hutchinson senior vice president for retail marketing at manufacturers hanover trust co. in new york
 that puts pressure on cd rates
 conservatives have an important decision to make this fall
 at the recent meetings of the world bank and international monetary fund the bush administration announced its intention to decide by <unk> the size of the next increase in the imf 's capital base
 while the u.s. share of the increase probably will not reach the $ N billion or more implicit in the imf 's request for a doubling of its $ N billion capital the administration probably will agree to a multibillion-dollar increase
 this would be consistent with its <unk> support for the brady plan and <unk> exchange-rate intervention and with its financial commitment to mexico poland and others
 the imf has several reasons for <unk> the increase
 its role in the economies of developing countries has grown steadily since the 1970s
 the size and pace of <unk> will accelerate further under the brady plan which promises larger and earlier <unk> to approved countries
 at least three other factors have encouraged the imf to insist on increased capital
 first it argues that its capital base must be increased in order to maintain its size relative to world financial markets for which it feels some responsibility
 second the world bank 's recent $ N billion capital increase $ N billion from the u.s. has left the imf feeling less than first <unk> among international financial institutions
 third the imf would like to meet japan 's request for increased ownership currently N N
 japan has supported a larger role for the imf in developing-country debt issues and is an important financial resource for <unk> programs in developing countries
 while international politics may argue for the capital increase there is a clear economic case against it
 opponents of the increase argue that the imf practices central planning while supporting <unk> governments
 they question whether the imf has any role in developing countries given its original mandate to assist industrial countries in <unk> <unk>
 opponents show that there are already more funds available than <unk> reform efforts
 they worry that new imf funding of developing countries will simply end up <unk> imf debt for <unk> commercial bank debt a bad trade all around
 they believe <unk> which addresses the problems of markets investment climate and management practices is the key to developing-country growth not the imf 's <unk> focus on trade deficits quarterly targets and government debt
 they point at the numerous developing-country governments that have inflated taxed and regulated themselves into <unk> under <unk> imf programs
 decisions on increases in the imf 's capital base traditionally are made by the administration with subsequent authorization by congress
 the last u.s. congressional authorization in N was a political <unk> and carried a $ N billion housing program along with it to secure adequate votes
 the politics of the N congressional authorization are likely to be similar to those of previous <unk>
 liberals may support the stabilizing <unk> role of the imf on two conditions that the administration give assurances that liberal democrats ' support will not be used against them in congressional re-election campaigns and that the legislation address with dollars social and environmental concerns
 conservative republicans will be given the choice of supporting or fighting their party 's popular president in an election year
 a u.s. decision to refuse the imf its capital increase or limit it to N N would bring a major change in international economic policy and could not be taken <unk>
 <unk> would <unk> over the implications for the <unk> coordination process and the stability of world financial markets
 because commercial banks and the developing-country governments believe they will get a piece of any capital increase a <unk> imf mission would leave both feeling <unk>
 furthermore a u.s. rejection of the capital increase and transfer of shares to japan would give japan an argument against future calls for economic <unk>
 on the other hand a decision to increase the imf 's capital would reinforce the central economic role of <unk> institutions in developing countries
 with the increase even more developing-country energy and talent would be diverted from creating profitable economic systems to setting up economic planning ministries that generate <unk> economic plans
 <unk> the <unk> could slow economic development even further as countries delay <unk> steps in anticipation of richer <unk> support
 conservatives should take a position prior to the administration 's year-end deadline
 the issues are too important to be left to the financial and budget ministries fighting over the size of the capital increase rather than its purpose
 if conservatives do n't support an increase in the imf 's capital then it is incumbent on them to speak up now and explain the alternative
 mr. <unk> directs the republican staff of the joint economic committee of congress
 the chicago mercantile exchange fined and suspended two commodities traders accused of making <unk> trades with each other that allegedly <unk> a customer
 merc officials said gary n. roberts was disciplined following the exchange 's investigation of his trading in several commodities pits from july to november N
 the merc said mr. roberts withheld from the market certain orders in cooperation with another trader david stein
 the merc fined mr. roberts $ N and suspended his trading membership for three years
 also he and mr. stein were ordered to make <unk> of $ N to a customer
 mr. stein was fined $ N and suspended for three years
 messrs. roberts and stein could n't be reached for comment
 the merc said that as part of the disciplinary settlement neither man admitted nor denied the alleged violations
 neither was among the N traders indicted last august in a federal investigation of traders at both the merc and the chicago board of trade
 in a move that could pose a new competitive challenge to time warner inc. 's powerful home box office cable giant tele-communications inc. agreed to buy half of showtime networks inc. from viacom inc. for $ N million
 the purchase comes after nearly three years of <unk> <unk> talks between tci and viacom which has also discussed the sale of an interest in showtime with other cable operators
 showtime is a distant no. N to home box office and in may filed a $ N billion antitrust suit against time warner charging the company and its hbo and american television cable units with conspiring to <unk> the pay tv business
 hbo has close to N million subscribers to its hbo and <unk> networks while showtime and its sister service the movie channel have only about N million according to paul <unk> associates a <unk> calif. research firm
 for tci the investment in showtime puts it in an unusual position as the largest cable operator with control of close to N million of the nation 's N million cable subscribers tci is hbo 's largest customer
 but tci president john <unk> has long been concerned about hbo 's dominance of the pay tv business and has been eager to keep showtime as a healthy competitor
 it is important to the cable industry that we have a <unk> and competitive <unk> marketplace mr. <unk> said in a statement
 in a telephone interview robert thomson tci senior vice president said showtime 's suit against hbo does n't involve us and nothing we 're doing here bears any relationship to that
 he added we do n't intend to be drawn into it noting that tci wo n't play any active role in the management of showtime
 linking up showtime with the largest cable operator in the u.s. could sharply boost its subscribers
 tci said it may bring in other cable operators as investors a practice it has employed in the past with investments in other cable networks such as the discovery channel
 additional cable partners could boost subscribers even further
 time warner declined comment
 in addition to owning hbo time warner owns american television & communications inc. the nation 's second largest cable operator after tci
 viacom also owns cable systems but it is the <unk> largest operator of such systems with less than one million subscribers
 the tci investment is a big victory for viacom 's chief executive officer frank <unk> and <unk> h. cox president of the showtime unit
 this takes any question of showtime 's viability and puts it away once and for all mr. <unk> said in a telephone interview
 the fight between hbo and showtime is particularly <unk> because mr. <unk> is the former chief executive of hbo and mr. cox served as chief of marketing for the service
 they were both hired by <unk> <unk> the boston billionaire who took control of viacom three years ago in a leveraged buy-out
 time warner has vigorously denied all of viacom 's allegations
 boeing co. already struck by its machinists union briefly called off contract talks with its engineers and labeled their demands grossly excessive
 later however the company agreed to meet on monday with the seattle professional engineering employees association after a federal mediator intervened according to the union
 a spokesman for the engineers said the company asked the union to reduce its demands which included a N N pay <unk> in the first year and N N in the second and third years
 the union represents about N engineers and technical workers
 its contract expires dec. N
 meanwhile a federal mediator is scheduled to meet today with boeing officials and representatives of N striking machinists
 it will take several meetings to resolve this said a spokesman for the machinists union
 we do n't want to bring back something the members will reject
 machinists already have rejected a package that would have provided a N N pay raise plus bonuses over the three-year life of the contract
 it also would have reduced mandatory overtime
 investor <unk> edelman increased his stake in intelogic <unk> inc. and cleared the way for additional purchases
 it was n't clear however whether the actions were related to a battle between the corporate raider and new york attorney martin ackerman for control of datapoint corp. a san antonio <unk> <unk> systems maker
 intelogic <unk> a computer services company was spun off to datapoint holders in N after mr. edelman gained control
 after mr. ackerman announced he was soliciting <unk> from shareholders in order to <unk> control of datapoint from mr. edelman the corporate raider purchased N N of datapoint 's shares
 in a securities and exchange commission filing mr. edelman said from sept. N to oct. N he acquired N shares of intelogic common shares for $ N to $ N each
 the purchases increased his stake to N N of the shares outstanding
 the filing also said certain provisions which apply to persons acquiring N N or more of intelogic common stock were <unk> by intelogic for mr. edelman who is chairman of the company
 mr. edelman could n't be reached for comment
 the federal government should make free voluntary testing for the aids virus the <unk> of an expanded campaign to stop the spread of acquired immune deficiency syndrome the hudson institute recommended
 by encouraging massive routine voluntary testing we can enable society to voluntarily <unk> itself <unk> into two groups those who carry the virus and those who do not the indianapolis research organization said in a new report
 the report takes a more alarmed view of aids and recommends a more sweeping response than many other <unk>
 it warns that the aids <unk> may reduce the rate of growth of the work force curb productivity gains and slow economic growth
 it contends that current government policy is failing to stem the aids <unk> because it suggests the use of <unk> can make sex safe
 but the report says the only safe sex is sex between <unk> partners and testing is the only way to learn of infection
 hudson 's researchers estimated that it would cost less than $ N million a year to test the entire population between the ages of N and N years old
 in addition the report recommends that federal and state governments provide free treatment to all who test positive
 an unexpectedly sharp widening in the u.s. trade gap for august dragged the dollar lower tuesday but profit-taking on short positions helped the currency rebound to close mixed against major counterparts
 while the market kept careful <unk> on wall street 's gyrations it <unk> off a modest downturn in equities to bid the dollar well above the day 's lows
 soon after the release of the u.s. trade figures the dollar plunged to an intraday low of N yen
 it also declined against the mark but did n't reach its intraday low of N marks until two hours later
 the unit stabilized about midday new york time at around N marks and N yen prompting <unk> rumors that the u.s. federal reserve had intervened to blunt the unit 's tumble
 the dollar finished at its intraday highs
 dealers noted that the foreign exchange market 's initial bearish reaction to the u.s. trade figures was <unk> later by a <unk> <unk> of the data
 the u.s. commerce department reported a $ N billion deficit in august compared with a revised july deficit of $ N billion
 economists had expected a $ N billion gap
 the august figure reflected a N N rise in imports and a N N drop in exports
 marc m. <unk> an economist with manufacturers hanover trust in new york said that while the figures appear to indicate a <unk> deteriorating u.s. trade performance there 's still enough positive news in the data to justify buying dollars
 he said that while the u.s. trade gap with canada has widened significantly the trade deficit with western europe and japan continues to narrow
 and he added that manufactured goods exports are still rising
 the dollar 's near-term path remains <unk> according to <unk> analysts who <unk> the market as <unk>
 in late new york trading yesterday the dollar was quoted at N marks down from N marks late monday and at N yen up from N yen late monday
 sterling was unchanged at $ N
 in tokyo wednesday the u.s. currency opened for trading at N yen unchanged from tuesday 's tokyo close
 later the u.s. currency fell to about N yen on news reports of the san francisco earthquake
 some analysts remain bullish and point out that the dollar continues to be well bid despite key rate increases in europe and japan several weeks of aggressive dollar sales by the world central banks some traders estimate that the <unk> of sales topped $ N billion and a 190-point plunge on the new york stock exchange
 they note that the u.s. unit is trading at the upper end of the presumed target zones established by the group of seven trading partners
 the <unk> <unk> west germany the u.s. france the u.k. italy canada and japan
 the so-called <unk> accord was seen to have set ranges of N marks to N marks and N yen to N yen
 they say that the recent injection of liquidity into the u.s. banking system has been modest and they do n't anticipate significant easing by the u.s. federal reserve
 the fed arranged $ N billion of customer repurchase agreements tuesday the second repurchase agreement in two days
 the move which <unk> capital into the system is seen as an effort to <unk> the <unk> markets that the u.s. central bank is ready to provide the ample liquidity
 but other analysts contend that while the fed 's move to loosen credit has n't been aggressive it nevertheless sends a clear signal that at least for now the fed has <unk> its grip on credit
 they add that the fed has allowed the key federal funds interest rate to dip to about N N N from its levels of just below N N last week
 the federal funds rate is the overnight lending rate that banks charge each other
 market participants said that the mark continues to post the most significant gains against the dollar
 on the commodity exchange in new york gold for current delivery settled at $ N an ounce up N cents
 estimated volume was a moderate N million ounces
 in early trading in hong kong wednesday gold was at $ N an ounce
 national semiconductor corp. said it settled a four-year-old patent infringement case against linear technology corp. by accepting a $ N million payment from linear in exchange for granting linear <unk> licenses for all products involved
 the two companies also agreed to settle any future property rights issues over the next N years through <unk> arbitration both companies said
 the products are so-called <unk> integrated circuits that have applications in the consumer electronics automobile and electronic instrumentation markets
 linear technology <unk> calif. called the settlement positive since products covered by the disputed patents account for about N N of its annual sales
 the electronics concern said it already has paid $ N million of the settlement to national semiconductor santa clara calif. and will pay the remaining $ N million in equal <unk> over the next eight quarters
 the payments are n't expected to have an impact on coming operating results linear added
 nbc 's winning streak has been canceled
 the national broadcasting co. a unit of general electric co. had its <unk> <unk> <unk> as the prime-time ratings leader snapped yesterday by <unk> a subsidiary of capital cities\/abc inc
 in the ratings compiled by the a.c. nielsen co. abc which broadcast the world series topped the competition with a N rating and N share
 nbc was second with a N rating and N share followed by cbs inc. 's television network with a N rating and N share
 a ratings point represents N television households shares indicate the percentage of sets in use
 the first two games of the world series between the oakland athletics and san francisco giants did n't finish in the top N instead they landed in <unk> and <unk> place
 the <unk> show continues to be abc 's <unk>
 nbc had five of the top N shows abc had four and cbs had one
 cbs held the previous record for consecutive no. N victories N weeks during the N season
 procter & gamble co. cincinnati expanding its presence in the food service market said it acquired maryland club foods a coffee supplier from an investor group led by f. philip handy of winter park fla
 terms were n't disclosed
 <unk> maryland club foods which had sales of about $ N million last year sells coffee under the maryland club and <unk> brands to restaurants hotels offices and airlines
 the acquisition gives us additional production capacity for the food service coffee business and a stronger distribution network a p&g spokesman said
 p&g already sells its <unk> ground <unk> coffee to food service concerns but not to as many markets as maryland club
 for example p&g up until now has n't sold coffee to airlines and does only limited business with hotels and large restaurant chains
 maryland club also distributes tea which fits well with p&g 's tender <unk> brand and hot cocoa products
 the company said the acquisition has been completed and reviewed by the federal trade commission
 the purchase includes a <unk> plant in omaha neb. and a leased facility in houston
 macmillan <unk> ltd. said it borrowed N million dutch guilders us$ N million from a group of dutch institutional investors
 macmillan <unk> a vancouver british columbia forest products concern said the N N loan is due oct. N N
 funds will be used to repay existing short-term debt and to finance capital spending it said
 president bush will veto a bill funding the departments of labor education and health and human services because it would allow federal funding of abortions for victims of rape and incest the white house said
 mr. bush had threatened a veto previously
 but he put off a firm decision while his aides and legislators searched for a compromise that would tighten requirements for such abortions in a way acceptable to the president
 white house press secretary marlin fitzwater said negotiations between bush aides and lawmakers ended monday without success
 most lawmakers think it will be extremely difficult for mr. bush 's opponents on the abortion issue to round up the votes needed to override the veto
 but there still may be prolonged debate and political <unk> that holds up the $ N billion funding bill for the fiscal year that began oct. N
 mr. bush has said he personally approves of abortions in the cases of rape incest and danger to the life of the mother
 but he has opposed medicaid funding of abortions for poor women who say they are victims of rape and incest arguing that those exceptions are <unk> so <unk> that they open the way for abortions for other women
 newspapers
 media general inc. intends to sell two of its west coast weekly newspaper chains golden west publishing inc. and <unk> publications which together <unk> N papers
 media general said it has had inquiries from potential buyers and expects to complete a sale in N
 it would n't discuss a price
 lee <unk> & associates is to sell the chains
 j.p. morgan & co. new york will help the statutory managers of <unk> new zealand ltd. to evaluate the failed investment bank 's condition
 earlier this month the reserve bank of new zealand the country 's central bank appointed the managers to run the investment bank and pay creditors
 <unk> asked the central bank to <unk> managers after it revised loan-loss provisions to around the same level of shareholders ' funds of N million new zealand dollars us$ N million
 <unk> is held N N by national <unk> fund new zealand 's largest pension fund and N N by salomon brothers inc. the <unk> and <unk> subsidiary of salomon inc. in new york
 a spokeswoman for j.p. morgan parent of the bank morgan guaranty trust co. confirmed its appointment to assist the managers but declined to elaborate
 the managers said in a brief statement yesterday that morgan will help evaluate <unk> 's position and help determine alternatives
 the managers do n't expect to complete the evaluation until nov. N
 an experimental vaccine can alter the immune response of people infected with the aids virus a prominent u.s. scientist said
 however that does n't mean they can benefit from the vaccine
 its effectiveness ca n't be determined until a large clinical trial is undertaken by the army in january according to robert <unk> chief of acquired immune deficiency syndrome research at walter reed army institute of research
 dr. <unk> 's report on early experiments using an aids vaccine made by <unk> inc. of west haven conn. came at a meeting of aids vaccine researchers in florida late monday
 the vaccine <unk> <unk> has been <unk> given to N people some of whom are experiencing substantial increases in certain <unk>
 the conventional wisdom used to be that you could n't modify the immune response of an infected individual by <unk> them with synthetic <unk> proteins dr. <unk> said
 we 've demonstrated that you can
 he said certain <unk> developed kinds of <unk> associated with early aids
 other <unk> sparked by the preparation are of a sort rarely present in large quantities in infected or ill individuals he added
 one of the <unk> of aids remains why infected people produce large quantities of <unk> but <unk> nonetheless
 cross & trecker corp. said it reached an agreement to sell its <unk> division to recently created murata <unk> inc. a u.s. affiliate of murata machinery ltd. of <unk> japan
 the agreement also includes the purchase of cross & trecker 's warner & <unk> switzerland ag unit by a european affiliate of murata machinery
 cross & trecker is also selling its equity interest in a japanese joint venture murata warner <unk> to murata machinery
 cross & trecker a <unk> hills mich. <unk> maker said the net sales price of the total transaction is $ N million
 the <unk> division was one of three businesses put up for sale in cross & trecker 's restructuring program announced in july
 cross & trecker said negotiations are under way for the sale of another company <unk>
 the average interest rate fell to N N at citicorp 's $ N million weekly auction of <unk> commercial paper or corporate <unk> from N N at last week 's sale
 bids totaling $ N million were submitted and accepted bids were at N N
 citicorp also said that the average rate fell to N N at its $ N million auction of <unk> commercial paper from N N at last week 's sale
 bids totaling $ N million were submitted and accepted bids were at N N
 the bank holding company will auction another $ N million of commercial paper in each maturity next tuesday
 <unk> s.a. reported its N first-half profit soared N N and indicated that its previous estimate of a N N rise in earnings for all of N will be exceeded by a wide margin
 the french electronics and defense group said attributable consolidated net profit for the first six months of N totaled N million francs $ N million compared with N million francs $ N million in the corresponding period of
 operating profit climbed N N to N million francs from N million in the first half of N
 <unk> said the sharp improvement in net profit partly reflected a decline of N million francs in the group 's net loss from nonrecurring items in the first half of this year to N million francs from N million a year earlier
 there was also a decline in the group 's net financial costs to N million francs from N million a year before
 these movements were offset however by a steep rise in corporate income tax payments to N million francs from N million in the first six months of N
 <unk> said the sharp rise in its first-half earnings was based on a N N gain in consolidated revenue to N billion francs from N billion a year earlier
 rep. lee hamilton d. <unk> said he and rep. <unk> <unk> d. <unk> are backing away from their proposal to make the treasury secretary a voting member of the federal reserve panel that sets monetary policy
 rep. hamilton said the bill will be modified substantially to call for two meetings each year between the fed 's open market committee and the treasury secretary the chairman of the council of economic advisers and the director of the office of management and budget
 the original bill was strongly opposed by the fed and publicly criticized by friends of the fed as an attempt to undermine the central bank 's independence
 fed critics however hailed it as a long overdue attempt to bring a measure of openness and democracy to the setting of monetary policy
 rep. hamilton said the purpose of the meetings would be to improve communications and perhaps coordination between the executive branch and the fed
 fed chairman alan greenspan meets regularly for lunch with treasury secretary nicholas brady and talks frequently with budget director richard darman and michael <unk> chairman of the council of economic advisers
 the administration officials do n't ordinarily meet with the entire membership of the open market committee
 <unk> <unk> co. said third-quarter profits dropped N N because of lower prices for <unk> <unk> materials the company 's largest product group
 net fell to $ N million or $ N a share from $ N million or $ N a share a year earlier
 sales for the quarter slipped N N to $ N million from $ N million
 <unk> <unk> capacity has <unk> demand and we are experiencing reduced profit margins as a result said john d. <unk> chairman and chief executive
 prices for <unk> <unk> <unk> have dropped more than N N since last december he said
 the plastic <unk> is used in a wide range of products including <unk> pipe and electrical wire <unk>
 <unk> 's <unk> segment reported operating profit for the quarter of $ N million less than half the $ N million of the year-earlier quarter
 third-quarter operating profit of the <unk> group declined slightly to $ N million from $ N million
 but operating profit from aerospace products rose nearly N N to $ N million from $ N million
 in new york stock exchange composite trading shares of the <unk> <unk> company fell $ N to $ N
 fiat s.p a. italy 's leading industrial group is conducting concrete talks with west germany 's daimler-benz ag on a series of projects in the aerospace sector fiat officials said
 however the officials said it was too early to disclose the nature of the proposed projects or indicate when the talks might be concluded
 daimler-benz chairman <unk> reuter told milan 's financial daily <unk> sole N <unk> that talks are taking place between both companies ' aerospace units
 while mr. reuter 's comments please us very much there currently are no talks in progress regarding the automotive industry a fiat spokeswoman said
 in the interview mr. reuter said he is thinking <unk> of cooperation in the truck sector but in the long run i do n't want to rule out that we can also come a bit closer in personal cars
 <unk> <unk> italy analyst for county natwest securities in london said that right now the market is n't being influenced by that kind of news referring to the conditional nature of the talks mentioned by mr. reuter and by the uncertainty surrounding world stock exchanges this week
 paul <unk> was named president chief executive officer and chairman of this oil and natural gas company
 he succeeds john a. <unk> who resigned for personal reasons
 mr. <unk> had been president of penn pacific 's national southwest capital group subsidiary
 mr. <unk> will remain with penn pacific as a director and a member of the executive committee
 he has also agreed to become president of a new subsidiary to be formed to make future acquisitions the company said
 spooked investors despite their <unk> to dump takeover stocks should hold on tight to their jaguar shares
 that 's the view of some analysts here who argue that britain 's leading maker of luxury cars still may have two u.s. auto giants <unk> for it
 yesterday ford motor disclosed that it has raised its holding in jaguar to N N from N N
 both ford and its rival general motors recently set their sights on <unk> significant minority stakes in the british company
 ford 's latest move increases the pressure on gm to complete its current talks with jaguar quickly
 gm is likely to reach the cooperative operating pact it has been seeking in about two weeks knowledgeable individuals say
 at that point investors may face a long <unk> ride
 a victor in the fight for jaguar may not emerge until after the expiration late next year of british government takeover restrictions
 the curbs prevent a buyer from purchasing more than N N of jaguar shares without permission
 this is an exceptionally odd takeover battle says london analyst christopher will of shearson lehman hutton
 jaguar 's american depositary receipts were up N yesterday in a down market closing at N N
 jaguar 's adrs make the company one of the most widely held united kingdom stocks in the u.s. with more than <unk> of its shares owned there
 jaguar topped the <unk> list for the u.s. over-the-counter market monday
 and on london 's stock exchange monday N million shares were traded far above the usual volume
 ford 's share purchases undoubtedly accounted for much of monday 's heavy trading
 last week many jaguar shareholders took their money and ran
 fears that ford 's <unk> might be cooling put jaguar shares into reverse after gm confirmed its friendly negotiations with jaguar
 but yesterday 's announcement indicates that ford has n't lost interest
 both shearson 's <unk> will and stephen reitman european auto analyst at the london brokerage firm <unk> & drew recently switched their jaguar recommendations to hold from buy
 sit tight through the coming volatility mr. reitman suggests though he concedes that many small investors will find jaguar 's <unk> too hard to <unk>
 but a crucial point is how ford <unk> when gm the world 's largest auto maker firms up its proposed deal with jaguar
 at the moment ford executives will say little beyond <unk> their desire to raise ford 's jaguar stake to about N N
 gm is expected to <unk> roughly # N million $ N million by acquiring some jaguar shares and then win jaguar management 's promise of an eventual N N stake
 analysts believe the car makers also will create joint ventures to develop new executive models doubling jaguar 's yearly output of N cars
 jaguar shareholders would have to <unk> such a far-reaching accord
 ford might challenge the proposal by offering a full bid if holders and the u.k. government agreed to drop the anti-takeover barrier early
 i think ford is going to come out with full guns <unk> mr. reitman says
 ford wants jaguar very much
 u.s. takeover-stock speculators who may own between N N and N N of jaguar could give ford enough votes to block the gm deal
 gm might <unk>
 then <unk> will says you get a bidding war between two very rich very determined international companies
 he believes jaguar 's share price could <unk> to between # N and # N $ N to $ N
 there 's quite a bit of value left in the jaguar shares here even though they have run up lately says doug johnson a fund manager for <unk> <unk> asset management
 at the moment he intends to keep the firm 's N jaguar shares
 the risk is that jaguar 's share price could slump if gm 's agreement with jaguar effectively <unk> out its u.s. rival
 ford 's appetite to attack jaguar could gradually <unk> over time particularly if saab is a reasonably attractive proposition says john lawson an auto analyst at london 's nomura research institute
 he thinks saab-scania ab on friday will announce the sale of N N of its car division to ford the companies have been discussing closer cooperation for months
 clifford <unk> president and chief investment officer of <unk> capital <unk> inc. two weeks ago sold his cincinnati firm 's N jaguar adrs at about N each making a <unk> profit on a holding purchased at N N in early may
 i thought the <unk> of a bidding war happening were less he says
 of course that was before ford 's latest move
 jaguar otc symbol <unk>
 business luxury cars
 year ended dec. N N
 revenue $ N billion
 net income $ N million or N cents a share
 first half ended june N N
 net loss $ N million vs. net income $ N million or N cents a share
 <unk> daily trading volume ordinary shares outstanding N million
 note all figures are translated into u.s. dollars based on current exchange rates
 <unk> sloan N years old announced that he will retire next april as chairman and chief executive officer of this <unk> food and <unk> products maker
 no replacement was immediately named
 mr. sloan plans to remain on the board until his current term expires in april N a <unk> spokesman said
 newport electronics inc. of santa ana calif. said milton b. hollander who holds a N N stake requested a special shareholders ' meeting next wednesday to remove four current directors and <unk> an alternative slate
 mr. hollander 's high technology holding co. of stamford conn. acquired most of its stake last august in an $ <unk> tender offer for newport a maker of <unk> devices
 newport said mr. hollander is asking shareholders to retain only one director james r. <unk> a newport vice president
 the board is n't proposing a slate of its own and the other four current directors do n't want to serve beyond the special meeting date newport said
 mr. hollander is the new owner and wants to exercise control said <unk> b. weekes newport 's chairman
 <unk> ag a major swiss chemical and pharmaceutical group said that its group sales rose N N to N billion francs $ N billion in the first nine months of this year with strong gains in all divisions
 a year earlier sales totaled N billion francs
 positive currency rates and strong sales growth led to a substantial rise in consolidated profit in the period although the company did n't provide figures as is <unk> with swiss companies
 <unk> said it expects a substantial increase in consolidated profit for the full year barring major currency rate changes
 <unk> plc a british maker of computer hardware and communications equipment posted a N N plunge in pretax profit for the latest year
 the # N million $ N million in pretax profit for the N months to june N was down from # N million $ N million a year earlier and below market expectations of # N million and # N million
 the slump in profit which came despite steady sales was attributed to increased costs for parts and problems with model <unk>
 <unk> 's profit after taxes fell a similarly steep N N to # N million from # N million a year earlier
 sales edged up fractionally to # N million from # N million a year earlier
 microsoft corp. 's earnings growth continued to <unk> that of most of its competitors and customers in the personal-computer industry as it reported a N N jump in fiscal first-quarter earnings on a N N revenue gain
 the redmond wash. company a bellwether provider of operating systems and software for personal-computer makers and users reported net income for the quarter ended sept. N of $ N million or N cents a share up from $ N million or N cents a share in the year-ago period
 revenue rose to $ N million from $ N million
 microsoft previously indicated it would have a strong quarter by forecasting its revenue gain on oct. N causing a $ N a share jump in its stock
 but its stock jumped again yesterday as it disclosed surprisingly strong margins on those sales
 microsoft 's stock rose $ N a share in national over-the-counter trading to $ N
 the stock had hit a high of $ N a share early last week but collapsed to $ N in the friday stock plunge
 the company had been experiencing softening margins because of increased sales of software applications which have lower margins than do operating systems
 but the company said that trend was offset in the first quarter by better economies of scale and <unk> in manufacturing
 as a result microsoft 's cost of goods as a percentage of sales fell N N from the year-ago quarter and N N from the previous period
 the trend drove up the <unk> margin net income as a percentage of revenues to N N in the quarter compared with N N a year earlier
 microsoft officials said the strong results also reflected continuing high demand for its software applications and operating systems
 while it has predicted that overall growth in unit sales of personal computers is slowing to about a N N yearly rate its own products are selling at a much faster rate because many are geared to the <unk> end of the market
 that segment continues to post strong <unk> gains while the <unk> or commodity segment of the industry is experiencing sluggish growth or even sales declines
 compared with its previous quarter the final period of its N fiscal year net rose N N and sales rose N N
 control data corp. minneapolis signed a joint development agreement with mips computer systems inc. to <unk> an emerging computing architecture in future machines
 mips is a leader in what is known as <unk> set computing or risc a technology combining microprocessors and sophisticated software
 in joining mips control data follows several competitors in <unk> risc as a new design approach
 digital equipment corp. tandem computers inc. nec corp. and group bull among others have similar arrangements with mips based in sunnyvale calif
 control data said it expects its first <unk> mainframe machine to be introduced next year
 the accord with mips calls for control data to share its expertise in data storage the companies said
 control data also said it is developing what it called a <unk> computer the <unk> N intended for scientists engineers and other users of <unk> <unk> computers
 <unk> stock skidded an additional $ N to $ N as british airways indicated it may <unk> at any hastily revised version of the aborted $ N billion buy-out of united air 's parent
 ual has fallen $ N or N N in the three trading days since disclosure of the buy-out 's collapse jolted the stock market
 meanwhile investor marvin davis said he remains interested in ual but he dropped his earlier $ 300-a-share <unk> bid
 stock prices fell broadly in heavy trading dominated by futures-related program selling and further declines by ual and other airline stocks
 the dow jones industrials closed off N points at N after plunging over N points in the morning
 bond prices ended lower after an early rally while the dollar was mixed
 the u.s. trade deficit swelled to $ N billion in august prompting worries that the nation 's export drive had stalled
 exports declined for the second month in a row while imports rose to a record
 an analyst called it one of the worst trade reports since the dollar <unk> out in
 industrial output fell N N in september the latest sign manufacturing is slowing
 an analyst cited weaker capital spending and exports
 bankers trust added $ N billion to reserves for third world loans the latest big bank to take such a step
 it expects a $ N billion quarterly loss
 citicorp posted a N N drop in quarterly profit
 manufacturers hanover had a loss due to a big reserve addition
 bank of new england plans to sell some operations and lay off N N of its work force after a year of weak earnings and mounting loan problems
 eastern airlines ' creditors have begun exploring alternative approaches to a chapter N reorganization because they are unhappy with the carrier 's latest proposal
 tele-communications agreed to buy half of showtime networks from viacom for $ N million
 the move could pose a new challenge to time warner 's home box office
 the cftc plans to curb dual trading on commodities markets in which traders buy and sell both for their own account and for clients
 the move is likely to anger traders
 fdic chairman seidman said that lincoln savings & loan of california should have been seized in N to contain losses he estimated will cost taxpayers as much as $ N billion
 a $ N billion spending bill was approved by house-senate conferees that includes major provisions affecting the federal mortgage market
 hooker 's u.s. unit is expected to agree in principle this week to sell its merksamer jewelers chain to management according to executives
 the deficit-reduction bill became <unk> over efforts to streamline the house version of the legislation in advance of a house-senate conference
 integrated resources said talks have ended with another potential buyer of its core businesses
 three big drug makers posted robust third-quarter earnings
 merck 's profit climbed N N warner-lambert 's N N and eli lilly 's N N
 markets
 stocks volume N shares
 dow jones industrials N off N transportation N off N utilities N off N
 bonds shearson lehman hutton treasury index N off
 commodities dow jones futures index N unchanged spot index N off N
 dollar N yen up N N marks off N
 paul <unk> general partner of <unk> partners a venture-capital firm based in menlo park calif. was named a director of this computer company
 mr. <unk> N years old temporarily increases the board to seven members
 however director thomas <unk> has said he wo n't seek re-election at the company 's annual meeting next month
 <unk> associates inc. the los angeles investment partnership whose $ <unk> bid for <unk> manufacturing co. was topped recently by a competing offer from a swedish concern disclosed that it sold its entire N N <unk> stake
 <unk> a <unk> ind. <unk> manufacturer had rebuffed <unk> 's proposal
 it has since asked holders not to immediately tender their shares under a recent $ <unk> or $ N million bid from ab skf of sweden until <unk> directors have completed their evaluation
 in a securities and exchange commission filing <unk> said it sold the N <unk> shares for $ N million in a private transaction on oct. N
 <unk> did n't identify the buyer of the shares but the date of the <unk> followed by one day the swedish concern 's tender offer and the indicated price of the shares sold <unk> skf 's $ <unk> tender offer price
 a <unk> spokeswoman said the company sold the stock in the open market and thus could n't identify the buyer or buyers
 luis <unk> N years old has been elected to the board of this brewer
 mr. <unk> former president of united press international and the <unk> <unk> network most recently <unk> <unk> <unk> partners a <unk> media acquisition firm
 mr. <unk> the first hispanic person to serve as a coors director is an addition to the board increasing its membership to nine
 <unk> s.a. a european media and publishing group reported a small rise in its attributable first-half group profit excluding <unk> items to N million francs $ N million from N million francs a year earlier
 the <unk> group said its earlier projection that group profit for all of N would be close to the N million francs posted for N remains valid
 taking into account nonrecurring gains and losses <unk> 's group net income for the first six months of this year totaled N million francs practically double the year-earlier figure of N million francs
 analysts said <unk> 's earnings in the second half might be boosted by a capital gain from the sale of the paris headquarters of a <unk> company that is N N owned by <unk>
 <unk> inc. <unk> md. said it received approval from the u.s. food and drug administration to market a genetic test that will assist in <unk> and treatment of <unk> and <unk> cancer
 the <unk> gene <unk> test is more accurate than existing tests for <unk> the type of cancer whether it has spread or whether there is a <unk> following treatment said <unk> president stephen turner
 mr. turner said the test initially will be used in <unk> with <unk> and other tests but eventually might become the benchmark for tumor analysis
 mr. turner said the test will be shipped in N days to hospitals and clinical laboratories
 dr. <unk> wilson a cancer treatment specialist at the national cancer institute said the test is widely used in research centers but is n't having a major impact because it is only occasionally useful in choosing the most effective treatment
 but the test may prove to be more sensitive in determining whether a tumor has spread or returned following treatment dr. wilson said
 we do n't know yet how useful it 's going to be he said
 <unk> a <unk> developer of genetic medical tests projects that the cancer test will help it to post its <unk> profit during the first quarter of N mr. turner said
 the company will charge $ N for a test and projects about $ N million in revenue from the test during the first N months of marketing he said
 unilab corp. <unk> ga. said it acquired the clinical laboratories of closely held central diagnostic laboratory inc. in a cash and securities transaction valued at $ N million
 unilab said its wholly owned <unk> inc. unit paid $ N million in cash provided $ N million in notes and $ N million in preferred stock to acquire central 's labs in the western u.s.
 unilab which provides clinical laboratory services <unk> with central based in <unk> calif. in a number of areas
 beyond removing a competitor the combination should provide <unk> said fred <unk> unilab 's chief financial officer
 it also will hand unilab new markets
 in los angeles for example central has had a strong market position while unilab 's presence has been less prominent according to mr. <unk>
