CHAINATA GINSENG PRODUCTS LTD VANCOUVER BRITISH COLUMBIA GERRY
GILL CHIEF OPERATING OFFICER OF THIS PRODUCER AND MARKETER OF GINSENG
PRODUCTS WAS NAMED TO THE ADDITIONAL POSITIONS OF PRESIDENT AND CHIEF
EXECUTIVE OFFICER MR GILL 46 YEARS OLD SUCCEEDS JOHN LATTA WHO IS
RETIRING AS A COMPANY EXECUTIVE MR LATTA 55 YEARS OLD WILL SERVE AS A
CONSULTANT TO THE COMPANY AND WILL REMAIN ON THE BOARD 9305050170 930505
CARGILL'S FERTILIZER UNIT PURCHASES THE ASSETS OF TOSCO'S SEMINOLE

MINNEAPOLIS CARGILL INC'S FERTILIZER UNIT COMPLETED ITS PURCHASE OF THE
ASSETS OF TOSCO CORP'S SEMINOLE FERTILIZER UNIT

TOSCO STAMFORD CONN AGREED EARLIER THIS YEAR TO SELL ITS SEMINOLE'S
MINING WORKINGCAPITAL AND PHOSPHATE FERTILIZERPRODUCTION ASSETS TO
CLOSELY HELD CARGILL FOR 150 MILLION

THE SEMINOLE OPERATION HAS AN ANNUAL PRODUCTION CAPACITY OF 750000 TONS OF
PHOSPHORIC ACID A MATERIAL FROM WHICH A VARIETY OF PHOSPHATE FERTILIZERS
ARE PRODUCED

COUPLED WITH CARGILL FERTILIZER'S 830000TON ANNUAL CAPACITY CARGILL
BECOMES THE SECONDLARGEST PRODUCER OF PHOSPHATE FERTILIZER WITH ABOUT 14
OF TOTAL PRODUCTION CARGILL SAID

CARGILL WICHITA KANSAS IS A MARKETER AND PROCESSOR OF AGRICULTURAL AND
OTHER BULK COMMODITIES 9305050169 930505 TEA PARTIES ARE FINE FOR
BOSTON HERE COFFEE MILK REIGNS  THE SWEET RHODE ISLAND BREW VIES
TO BE OFFICIAL DRINK IRKING LEMONADE LOBBY  BY JOHN R WILKE 
STAFF REPORTER OF THE WALL STREET JOURNAL

CRANSTON RI AT THE WEINORAMA HOT DOG EMPORIUM ON ROUTE 5 WAITRESS
DIANA CULLER CAN OFTEN SPOT AN OUTOFTOWNER WITH ONE QUESTION SOMETHING
TO DRINK

ORDER A COKE AND SHE MAY SEND YOU BACK TO CONNECTICUT AROUND HERE THE
BEVERAGE OF CHOICE IS A CLOYINGLY SWEET CONCOCTION KNOWN AS COFFEE MILK

A BURLY MIDDLEAGED MAN SLUMPS ONTO A STOOL FOR A WEINORAMA CHEESEBURGER
AND COFFEE MILK NEARBY ALBERT WEST A LAWYER IN A BOW TIE AND STARCHED
SHIRT PROCLAIMS THE STUFF DELICIOUS MS CULLER FIGURES SHE SERVES COFFEE
MILK 20 TIMES IN A FOURHOUR SHIFT AND DRINKS IT HERSELF

YOU WON'T FIND THIS IN KANSAS SHE SAYS

THAT'S PROBABLY TRUE NOTHING LIKE THE PALLID COFFEE COOLERS NOW BEING
TESTMARKETED TO YUPPIE URBANITES THIS TAWNY BREW MADE WITH TWO
TABLESPOONS OF BOTTLED SYRUP IN A GLASS OF MILK TASTES SOMETHING LIKE A
COLD BLEND OF COFFEE EXTRACT AND SUGAR IT'S AUTHENTIC RHODE ISLAND WE
CAN'T EVEN GIVE IT AWAY ANYWHERE ELSE SAYS STEPHEN LINCOLN EXECUTIVE VICE
PRESIDENT AT GARELICK FARMS A BIG NEW ENGLAND DAIRY

NOW THERE IS A MOVE AFOOT IN THE RHODE ISLAND LEGISLATURE TO MAKE COFFEE
MILK THE OFFICIAL STATE DRINK TO THE GREAT IRRITATION OF THE STATE'S
VOCAL FROZENLEMONADE LOBBY WHICH WANTS THE POPULAR SLUSHLIKE SUMMER
COOLER CHOSEN INSTEAD

IF THE LEGISLATION PASSES COFFEE MILK WILL TAKE ITS RIGHTFUL PLACE
ALONGSIDE THE QUAHOG THE OFFICIAL STATE SHELLFISH SAYS STATE SEN JOHN W
LYLE A COFFEEMILK CONNOISSEUR RHODE ISLAND ALREADY HAS A CHICKEN FOR ITS
STATE BIRD AND WOULDN'T BE THE FIRST TO ANOINT A STATE DRINK IN
NEIGHBORING MASSACHUSETTS IT IS CRANBERRY JUICE MILK STRAIGHT UP IS
THE OFFICIAL DRINK IN AT LEAST HALF A DOZEN OTHER STATES THANKS TO
DAIRYINDUSTRY LOBBYING A FEW YEARS BACK

THIS GREAT STATE WAS FOUNDED ON THE PRINCIPLES OF RUGGED INDIVIDUALISM AND
WE'RE PROUD OF THE THINGS THAT MAKE US DIFFERENT FROM PEOPLE IN OTHER
PLACES SEN LYLE INTONED BEFORE A RAPT SENATE CHAMBER LAST WEEK COFFEE
MILK IS ONE OF THOSE THINGS

THE MEASURE PASSED THE SENATE 366 OVER THE OBJECTIONS OF ONE SENATOR WHO
WAS HOLDING OUT FOR NARRAGANSETT BEER AND ANOTHER WHO WAS APPARENTLY SORE
OVER HIS UNSUCCESSFUL AMENDMENT THAT WOULD HAVE MADE RICOTTA THE OFFICIAL
STATE CHEESE

BUT LEMONADE BACKERS HAVE MOUNTED A COUNTERATTACK IN THE HOUSE WHERE A VOTE
IS EXPECTED LATER THIS WEEK WITH THE HELP OF A WELLCONNECTED LOBBYIST AND
A RADIO TALKSHOW HOST WHO PLUGS THE DRINK ON THE AIR FROZEN LEMONADE IS AS
RHODE ISLAND AS COFFEE MILK SAYS REP BRUCE LONG THE HOUSE MINORITY WHIP
WHO ALSO HAPPENS TO RUN A LEMONADE FRANCHISE IN NEWPORT THE FROZENLEMONADE
FORCES TOUT THEIR PRODUCT AS A CAFFEINEFREE ALTERNATIVE SUGGESTING THAT
COFFEE MILK IS A CLOSET ADDICTION

THEY WENT AT IT LIKE THE HATFIELDS AND MCCOYS SAYS REP JOHN BARR WHO
SPONSORED THE HOUSE BILL UNDER THE MISTAKEN NOTION THAT IT WOULD BRING A
LITTLE LEVITY INTO A SESSION

WITH RHODE ISLAND FACING WIDENING DEFICITS AND BUDGET CUTS SOME RHODE
ISLANDERS OBJECT TO THE BEVERAGE BROUHAHA I'M APPALLED THAT THEY'RE
DEBATING THIS AT A TIME WHEN THE STATE IS REALLY GOING TO POT SAYS
JONATHAN ROY OF PAWTUCKET HIMSELF A LIFELONG COFFEEMILK DRINKER

LEMONADE LOYALISTS ARE OFFERING A COMPROMISE THAT COULD MAKE THEIR BEVERAGE
THE STATE'S SUMMER REFRESHMENT AND LET COFFEE MILK BE THE STATE DRINK A
SIMILAR MANEUVER SEVERAL YEARS AGO AVOIDED A DUSTUP BETWEEN STATE STONES
SOME YEARS BACK WHEN CUMBERLANDITE WAS DECLARED THE STATE ROCK AND BOWENITE
THE STATE MINERAL BUT REP BARR IS RESOLUTE THE PRESSURE HAS BEEN
INTENSE BUT I'M NOT GOING TO GIVE UP ANY GROUND ON THIS HE SAYS

SOME POLITICIANS PREDICTABLY ARE RELUCTANT TO TAKE A STAND US SEN
CLAIBORNE PELL'S PRESS SECRETARY DIPLOMATICALLY DECLARES COFFEE MILK ONE OF
THE GREAT STATE DRINKS THEN CONFIDES THAT WE WANT TO BE CAREFUL  
IT'S A DELICATE MATTER GOV BRUCE SUNDLUN IS ALSO STAYING NEUTRAL AN AIDE
SAYS

PUBLIC OPINION HOWEVER SEEMS SOLIDLY BEHIND THE COFFEEFLAVORED LIQUID
RHODE ISLAND'S ONE MILLION RESIDENTS CONSUMED ENOUGH OF THE BLACK
COFFEEMILK SYRUP LAST YEAR TO MAKE 40 MILLION GLASSES EVEN ELEMENTARY
SCHOOLS HERE SERVE IT THE TIMES A DAILY PAPER IN PAWTUCKET RECENTLY DID A
READER POLL THAT FOUND COFFEE MILK FAVORED FOURTOONE OVER LEMONADE ONE
READER SENT IN A POETIC ODE TO THE DRINK WHILE ANOTHER RECALLED GETTING IT
FROM MOM WHILE SERVING IN VIETNAM I FELT LIKE I WAS BACK HOME HE WROTE

EXRHODE ISLANDERS SAY THEY CAN'T SHAKE THE TASTE YEARS AFTER LEAVING THE
STATE YOU BETCHA SAYS HORACE MARSH 79 WHO LIVES IN TULSA OKLA
MYRTLE AND I MOVED OUT TO CALIFORNIA IN '59 AND WE COULDN'T FIND IT
ANYWHERE SO WE HAD IT SHIPPED HE SAYS MY GRANDSON JUST SENT US ANOTHER
CASE

MICHAELA MURPHY A TEENAGE RHODE ISLAND EXPATRIATE NOW LIVING IN CALIFORNIA
HAS COFFEE MILK SENT TO HER EVEN THOUGH HER CALIFORNIA FRIENDS FIND IT
REPULSIVE SAYS MS MURPHY I CAN GET FROZEN LEMONADE IN SANTA CRUZ BUT
COFFEE MILK IS UNIQUELY RHODE ISLAND

AUTOCRAT INC OF LINCOLN RI THE LARGEST MAKER OF COFFEE MILK HAS A
NATIONAL TOLLFREE NUMBER TO HANDLE ALL THE OUTOFSTATE ORDERS WHICH RUN
AROUND 50 CASES A WEEK BUT MOSTLY FROM EXRHODE ISLANDERS AUTOCRAT TRIED
ONCE TO REACH OTHER STATES IN THE MID1960S IT WAS A BIG EFFORT WITH
ADVERTISING AND THE WHOLE WORKS SAYS RICHARD FIELD A FOURTHGENERATION
COFFEEMILK MOGUL WHO RUNS THE COMPANY WITH HIS SISTER CYNTHIA IT
FLOPPED AND WE HAVEN'T TRIED SINCE

NO ONE IS EXACTLY SURE WHERE COFFEE MILK CAME FROM AT DELEKTA'S PHARMACY
WHICH HAS STOOD ON MAIN STREET IN WARREN RI SINCE 1858 COFFEE MILK HAS
BEEN SERVED FROM BEHIND THE NORMAN ROCKWELLSTYLE SODA FOUNTAIN FOR THREE
GENERATIONS THE SYRUP IS STILL MADE FRESH DAILY WITH MY
GREATGRANDFATHER'S SECRET RECIPE SAYS OWNER ERIC DELEKTA

BUT EXCEPT FOR SUCH HOMEBREWS THE VAST MAJORITY OF COFFEE MILK IS ONE OF
TWO BRANDS AUTOCRAT WHICH ONCE CLAIMED 80 OF THE MARKET AND ECLIPSE
WHICH SAID IT HAD 70 THIS WOULD APPEAR TO GIVE A REMARKABLE 150 MARKET
SHARE TO AUTOCRAT INC WHICH NOW OWNS BOTH

MR FIELD WHOSE MAIN BUSINESS IS BUYING AND ROASTING GOURMET COFFEE IS
SOMEWHAT MYSTIFIED BY THE COFFEEMILK PHENOMENON LAPSING INTO THE TRADE
LINGO HE SAYS HIS COFFEE SYRUP IS SMOOTH WITH GOOD BODY NOT BRIGHT OR
BRASSY WITH A BALANCED ACIDITY IT'S MADE FROM ROASTED BEANS BREWED AND
EXTRACTED IN STAINLESSSTEEL VATS THAT LOOK LIKE GIANT COFFEE POTS THEN
MIXED WITH PLENTY OF CORN SYRUP

GEORGE BOECKLIN PRESIDENT OF THE NATIONAL COFFEE ASSOCIATION IN NEW YORK
IS STUMPED BY RHODE ISLAND'S AFFINITY FOR COFFEE MILK BUT NOTES THAT THE
WHOLE REGION LIKES JAVA NEW ENGLANDERS LIKE THEIR COFFEE THEY'VE LIKED
IT EVER SINCE THE BOSTON TEA PARTY OTHERS SUGGEST THE STATE'S
CONCENTRATION OF ETHNIC ITALIANS AND PORTUGUESE WITH THEIR FONDNESS FOR
DARKROAST COFFEE MIGHT HAVE PLAYED A ROLE

SO STRONG IS RHODE ISLAND'S ATTACHMENT TO COFFEE MILK THAT THE PROVIDENCE
JOURNAL RECENTLY SUGGESTED THAT IT MAY EVEN HAVE HELPED THE CAUSE OF
JUSTICE WHEN JOSEPH MOLLICONE A BANK PRESIDENT BLAMED FOR TRIGGERING THE
STATE'S BANKING CRISIS TWO YEARS AGO UNEXPECTEDLY RETURNED TO FACE FELONY
CHARGES AFTER A YEAR ON THE LAM A JOURNAL HEADLINE ASKED WAS IT THE
COFFEE MILK JOE 9305050168 930505 SCANA PETROLEUM UNIT HAS PLANS TO
ACQUIRE SUBSIDIARY OF NICOR

COLUMBIA SC SCANA CORP WHICH SELLS ELECTRICITY AND NATURAL GAS SAID
ITS PETROLEUM UNIT SCANA PETROLEUM RESOURCES INC WILL BUY NICOR
EXPLORATION AND PRODUCTION CO A UNIT OF NICOR INC A NAPERVILLE ILL
HOLDING COMPANY WITH INTERESTS IN OIL AND GAS

TERMS OF THE DEAL EXPECTED TO CLOSE IN EARLY JUNE WEREN'T DISCLOSED THE
COMPANY SAID THE ACQUISITION WHICH ENCOMPASSES OIL AND GAS RESERVES IN
TEXAS LOUISIANA AND OKLAHOMA IS EXPECTED TO DOUBLE THE AMOUNT OF NATURAL
GAS RESERVES SCANA OWNS THE COMPANY SAID

IN LATE TRADING ON THE NEW YORK STOCK EXCHANGE SCANA SHARES WERE QUOTED AT
4675 UP 75 CENTS NICOR SHARES WERE QUOTED AT 2875 UP 75 CENTS

IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE SCANA SHARES CLOSED AT
4675 UP 75 CENTS AND NICOR CLOSED AT 2850 UP 50 CENTS 9305050167
930505 CLINTON NOMINEE FOR COMMERCE POST IS SAID TO BE SUBJECT OF SEC
INQUIRY  BY CHRISTI HARLAN AND KYLE POPE STAFF REPORTERS OF THE
WALL STREET JOURNAL

JOHN ROLLWAGEN PRESIDENT CLINTON'S NOMINEE FOR THE NO 2 POSITION AT THE
COMMERCE DEPARTMENT IS A SUBJECT OF A SECURITIES AND EXCHANGE COMMISSION
INVESTIGATION INTO INSIDER TRADING IN THE STOCK OF CRAY COMPUTER CORP
ACCORDING TO PEOPLE FAMILIAR WITH THE INVESTIGATION

THE INVESTIGATION RAISES SERIOUS DOUBTS ABOUT WHETHER MR ROLLWAGEN WILL GET
THE CONGRESSIONAL BLESSING HE NEEDS TO GET THE JOB HIS CONFIRMATION HEARING
HAS BEEN DELAYED PENDING RESOLUTION OF THE SEC INQUIRY HE IS EXPECTED TO
GIVE TESTIMONY AT THE SEC THIS WEEK

FAILURE OF MR ROLLWAGEN'S NOMINATION WOULD BE A SERIOUS BLOW TO EFFORTS BY
COMMERCE SECRETARY RONALD BROWN TO TURN THE COMMERCE DEPARTMENT INTO A
POWERHOUSE THAT PROMOTES NEW TECHNOLOGIES AND US BUSINESS THE
NOMINATION OF MR ROLLWAGEN WAS CONSIDERED A COUP FOR MR BROWN SINCE MR
ROLLWAGEN IS A RENOWNED CORPORATE CHIEFTAIN AND HITECH GURU

A SENIOR WHITE HOUSE OFFICIAL SAID THAT THE WHITE HOUSE WAS UNAWARE OF THE
INVESTIGATION BEFORE MR ROLLWAGEN WAS NOMINATED TO THE POST AND THAT
OFFICIALS ARE WATCHING THE SITUATION CLOSELY BUT IT IS TOO SOON TO
DETERMINE WHETHER HE SHOULD BE ASKED TO WITHDRAW

THE SEC INVESTIGATION INVOLVES THE RELATIONSHIP BETWEEN CRAY COMPUTER AND
CRAY RESEARCH INC WHERE MR ROLLWAGEN WAS CHAIRMAN AND CHIEF EXECUTIVE
OFFICER UNTIL HE RESIGNED TO ACCEPT THE COMMERCE DEPARTMENT NOMINATION CRAY
COMPUTER OF COLORADO SPRINGS COLO IS A SPINOFF OF CRAY RESEARCH BASED
IN EAGAN MINN

THE SEC IS SPECIFICALLY INTERESTED IN TRADING IN CRAY COMPUTER'S SHARES IN
LATE DECEMBER 1991 IMMEDIATELY BEFORE NEWS SURFACED THAT LAWRENCE LIVERMORE
NATIONAL LABORATORY CRAY COMPUTER'S ONLY CUSTOMER HAD CANCELED A 30
MILLION SUPERCOMPUTER CONTRACT WORD OF THE SHELVED DEAL WHICH LATER WENT
TO CRAY RESEARCH SENT CRAY COMPUTER'S STOCK TUMBLING MORE THAN 50

CRAY RESEARCH HAD BEEN SELLING CRAY COMPUTER STOCK IN THE WEEKS IMMEDIATELY
PRIOR TO LIVERMORE'S ANNOUNCEMENT

CRAY RESEARCH HAD RECEIVED ABOUT 15 MILLION SHARES OR ABOUT 10 OF CRAY
COMPUTER STOCK AS PART OF THE SPINOFF THE OTHER 90 OF CRAY COMPUTER SHARES
GENERATED BY THE DEAL WENT TO CRAY RESEARCH SHAREHOLDERS INCLUDING MR
ROLLWAGEN AND OTHER EXECUTIVES AT THE COMPANY

UNDER TERMS OF THE DEAL CRAY RESEARCH WAS REQUIRED TO HOLD ITS SHARES UNTIL
NOVEMBER 1991 WHEN IT COULD BEGIN SELLING THEM NO SUCH RESTRICTIONS WERE
PLACED ON THE 90 OF THE SHARES HELD BY CRAY RESEARCH SHAREHOLDERS

COMPANY OFFICIALS SAID CRAY RESEARCH BEGAN TO SELL ITS STOCK IN NOVEMBER
1991 AS THE AGREEMENT ALLOWED THEN STOPPED TRADING IN EARLY DECEMBER 1991
ONLY WEEKS BEFORE THE LIVERMORE ANNOUNCEMENT CRAY RESEARCH SOLD OFF ALL ITS
CRAY COMPUTER SHARES LAST YEAR

CRAY RESEARCH OFFICIALS HAVE DECLINED TO OUTLINE THE TRADING OF THE 90 OF
CRAY COMPUTER SHARES HELD BY SHAREHOLDERS OF CRAY RESEARCH

MR ROLLWAGEN'S LAWYER CHARLES DAVIDOW SAID THE NOMINEE DID NO TRADING IN
THE STOCK OF CRAY COMPUTER IN THE TIME PERIOD IN QUESTION ADDING HE DID
NOTHING WRONG HE IS FULLY COOPERATING WITH ANY REQUESTS FROM THE SEC AND
LOOKS FORWARD TO HIS CONFIRMATION

SEC ENFORCEMENT OFFICIALS IN WASHINGTON AND DENVER DECLINED TO COMMENT A
COMMERCE DEPARTMENT SPOKESMAN SAID IT'S INAPPROPRIATE TO COMMENT ON AN
ONGOING INVESTIGATION BUT THE SPOKESMAN ADDED WE'RE LOOKING AT AN EARLY
DISPOSITION OF THIS ISSUE SO HIS HEARING CAN BE RESCHEDULED AND
CONFIRMATION CAN GO FORWARD

CRAY COMPUTER OFFICIALS HAVE SAID THEY KNOW FEW DETAILS OF THE SEC INQUIRY
CALLING IT A NONPUBLIC CONFIDENTIAL INVESTIGATION FRANK PARISI A
SPOKESMAN FOR CRAY RESEARCH REPEATED AN EARLIER STATEMENT THAT THE COMPANY
DOESN'T BELIEVE IT'S A TARGET OF THE SEC INQUIRY WE FEEL CONFIDENT THAT WE
HAVEN'T DONE ANYTHING WRONG AND WE'RE NOT THE TARGET OF THIS INQUIRY MR
PARISI SAID

THE SEC'S INVESTIGATION OF THE CRAY COMPUTER TRADES HAS PRODUCED ONE CASE
AN INSIDERTRADING ALLEGATION AGAINST THE GENERAL COUNSEL OF THE LIVERMORE
LABORATORY THE ATTORNEY WILLIAM DEGARMO PAID THE SEC ABOUT 54000 TO
SETTLE ALLEGATIONS OF SHORTSELLING CRAY COMPUTER STOCK ON THE DAY THE
COMPANY DISCLOSED ITS LOSS OF THE LIVERMORE CONTRACT MR DEGARMO DIDN'T
ADMIT ANY WRONGDOING IN HIS SETTLEMENT AND ISN'T COOPERATING IN THE
CONTINUING INVESTIGATION ACCORDING TO HIS LAWYER

LAST MONTH CRAY COMPUTER AND THREE OF ITS OFFICERS SETTLED A LAWSUIT FILED
BY SHAREHOLDERS WHO ALLEGED THAT THE COMPANY FAILED TO DISCLOSE THE
IMPENDING BREACH OF THE LIVERMORE CONTRACT NEITHER THE COMPANY NOR THE
OFFICERS ADMITTED WRONGDOING BUT THEY DID AGREE TO PAY 4 MILLION TO THE
SHAREHOLDERS

CRAY COMPUTER CORP AND THREE OF ITS OFFICERS SETTLED A LAWSUIT BROUGHT BY
SHAREHOLDERS FOR 5 MILLION AN ARTICLE YESTERDAY INCORRECTLY REPORTED THE
SETTLEMENT AMOUNT AS 4 MILLION 9305050166 930505 SEC VOTES TO SEEK 
COMMENT ON RULES FOR DERIVATIVES  BY SANDRA BLOCK STAFF REPORTER
OF THE WALL STREET JOURNAL

WASHINGTON THE SECURITIES AND EXCHANGE COMMISSION VOTED TO SEEK PUBLIC
COMMENT ON WHETHER IT SHOULD BROADEN CAPITAL REQUIREMENTS FOR SECURITIES
FIRMS TO COVER THEIR EXPOSURE TO SOCALLED DERIVATIVE SECURITIES

THE SEC VOTED 40 TO REQUEST SUGGESTIONS ON WAYS IN WHICH THE AGENCY'S
CAPITAL RULES COULD BE CHANGED TO ACCOMMODATE THE BOOMING MARKET FOR
FORWARDS SWAPS AND OTHER DERIVATIVES DERIVATIVES ARE INSTRUMENTS THAT MOVE
WITH AN UNDERLYING STOCK BOND CURRENCY OR COMMODITY OR INDEX THEY ARE
AMONG THE FASTESTGROWING BUSINESSES ON WALL STREET

SEC OFFICIALS NOTED THAT THE AGENCY'S CURRENT CAPITAL REQUIREMENTS FOR
OVERTHECOUNTER SWAPS AND SIMILAR INSTRUMENTS ARE SO RESTRICTIVE THAT
BROKERAGE FIRMS CONDUCT ALL OF THEIR DERIVATIVES BUSINESS THROUGH SEPARATE
AFFILIATES UNTIL LAST SUMMER THE SEC HAD NO AUTHORITY TO REGULATE THOSE
AFFILIATES BUT IN THE WAKE OF THE COLLAPSE OF DREXEL BURNHAM LAMBERT INC
THE SEC WON THE POWER TO EXAMINE THE ACTIVITIES OF THE AFFILIATE FIRMS
INCLUDING THEIR DERIVATIVES BUSINESS

SEC CHAIRMAN RICHARD BREEDEN PRESIDING OVER HIS LAST MEETING AT THE AGENCY
CALLED THE PROPOSAL THE BEGINNING OF A DIFFICULT BUT IMPORTANT EFFORT TO
CREATE A BETTER SYSTEM FOR REGULATING DERIVATIVES WHILE NEWS OF THE SEC'S
PLAN TO STUDY DERIVATIVES RATTLED THE MARKET FOR THE INSTRUMENTS MR
BREEDEN ARGUED THAT THE REVIEW COULD RESULT IN LESSRESTRICTIVE CAPITAL
RULES FOR THE PRODUCTS

OTHER SEC MEMBERS ALSO EMPHASIZED THAT YESTERDAY'S ACTION DOESN'T SIGNAL AN
SEC MOVE TO CRACK DOWN ON DERIVATIVES NOTHING WE'RE DOING EVEN SUGGESTS WE
WILL BE CARVING NEW GROUND OTHER THAN ASKING QUESTIONS AND ENGAGING IN A
CONSTRUCTIVE DIALOGUE WITH THE MARKETPLACE COMMISSIONER CARTER BEESE SAID

COMMISSIONER RICHARD ROBERTS CONCURRED NOTING THAT WHILE SOME HAVE
EXPRESSED CONCERNS ABOUT THE RISKS POSED BY DERIVATIVES I SEE NO REASON
FOR PANIC TO DATE

THE SEC ACTION COMES AS BANKING REGULATORS ARE CONSIDERING RAISING CAPITAL
REQUIREMENTS FOR BANKS THAT PARTICIPATE IN THE DERIVATIVES MARKETS ON
MONDAY THE CENTRAL BANKS OF 10 MAJOR NATIONS PROPOSED RULES THAT WOULD
REQUIRE MORE CAPITAL FOR BANKS ACTIVE IN THE FINANCIAL MARKETS INCLUDING
THE DERIVATIVES BUSINESS

THE SEC WILL ACCEPT COMMENTS ON THE PROPOSAL UNTIL SEPT 10 HOWEVER SEC
OFFICIALS ACKNOWLEDGED THAT GIVEN THE COMPLEXITY OF THE TASK FINAL
APPROVAL OF NEW CAPITAL RULES PROBABLY WILL TAKE MONTHS AND PERHAPS YEARS

SEPARATELY THE SEC VOTED UNANIMOUSLY TO REQUIRE ALL BROKERAGE FIRMS TO
ENSURE THAT THEIR TRADING PERSONNEL ARE LICENSED WITH THE NEW YORK STOCK
EXCHANGE OR OTHER SELFREGULATING BODY

THE ACTION WAS PROMPTED BY THE AGENCY'S BROAD INVESTIGATION OF US UNITS OF
JAPANESE BROKERAGE FIRMS WHICH REVEALED THAT MANY TRADERS AND MANAGERS
HADN'T BEEN TESTED OR LICENSED BY THE BIG BOARD OR OTHER REGULATORY
ORGANIZATION THE US UNITS OF THREE JAPANESE BROKERAGE FIRMS SETTLED THE
RECORDKEEPING COMPLAINTS WITHOUT ADMITTING OR DENYING WRONGDOING
9305050165 930505 TIMBER STATES ARE UPHELD ON EXPORTING  RULING
IS BLOW TO GROUPS CONTENDING LOG SALES DESTROY JOBS FORESTS  BY
CHARLES MCCOY STAFF REPORTER OF THE WALL STREET JOURNAL

SAN FRANCISCO A FEDERAL APPEALS COURT HERE STRUCK DOWN A BAN ON EXPORTING
TIMBER FROM STATE LANDS DEALING A BLOW TO ENVIRONMENTALISTS' EFFORTS TO
HALT LOG EXPORTS THEY SAY ARE WIPING OUT JOBS AND FORESTS IN THE NORTHWEST

THE NINTH CIRCUIT COURT OF APPEALS HELD THAT A FEDERAL LAW PASSED IN 1990
BANNING THE EXPORT OF TIMBER FROM STATE LANDS IMPROPERLY INTERFERES WITH A
STATE'S RIGHT TO CONDUCT COMMERCE

THE RULING STEMS FROM A LAWSUIT BROUGHT BY SEVERAL WASHINGTON STATE AGENCIES
THAT CLAIMED THE EXPORT BAN WOULD COST THE STATE ABOUT 500 MILLION IN
TIMBER SALES THROUGH THE 1990S UNDER STATE LAW MONEY FROM SALES OF STATE
TIMBER GOES PRIMARILY FOR SCHOOL CONSTRUCTION AND MAINTAINANCE

CONGRESS PASSED THE EXPORT BAN AT A TIME WHEN LOGGING IN FEDERAL FORESTS HAD
BEEN SEVERELY RESTRICTED BY SPOTTED OWL PROTECTIONS THE LAW WAS MEANT TO
ASSURE THAT INSTEAD OF BEING EXPORTED LOGS FROM STATE LANDS WOULD BE
AVAILABLE TO KEEP SOME LOCAL MILLS OPERATING

HOWEVER LOGS COMMAND ABOUT 15 TO 25 HIGHER PRICES ON THE EXPORT MARKET
THE STATE ARGUED THAT FORGOING THE HIGHER PRICES WOULD CRIPPLE ITS ABILITY
TO ADEQUATELY FUND PUBLIC EDUCATION

THE RULING COMES AS ENVIRONMENTALISTS ARE PUSHING TO GET THE FEDERAL
GOVERNMENT TO BAN ALL LOG EXPORTS CURRENTLY EXPORTS OF FEDERAL LOGS ARE
BANNED PRIVATE TIMBER COMPANIES TYPICALLY EXPORT LARGE VOLUMES OF RAW LOGS

THE PROPOSED EXPORT BAN WAS A CENTERPIECE OF THE AGENDA PRESENTED BY
ENVIRONMENTALISTS AT PRESIDENT CLINTON'S RECENT TIMBER SUMMIT LOG EXPORTS
 ENVIRONMENTALISTS AND SOME ECONOMISTS ARGUE PROMOTE OVERCUTTING IN
THE FORESTS BECAUSE OF THE HEAVY DEMAND AND HIGH PRICES PAID BY FOREIGN
BUYERS PRIMARILY IN JAPAN

MOREOVER THEY ARGUE THAT THE EXPORTS ROB LOCAL MILLS OF LOGS AND COST
THOUSANDS OF JOBS WE'RE EXPORTING LOGS AND JOBS SAID ANDY KERR HEAD OF
THE OREGON NATURAL RESOURCES COUNCIL AN ENVIRONMENTAL GROUP BANNING LOG
EXPORTS WOULD ASSURE A CONSISTENT SUPPLY OF LOGS TO REMAINING MILLS EVEN IF
ENVIRONMENTALISTS SUCCEED IN GETTING LONGTERM LOGGING RESTRICTIONS IN
PUBLIC FORESTS MR KERR SAID

BEFORE THE BAN ABOUT 1 BILLION OF TIMBER WAS EXPORTED ANNUALLY FROM STATE
LANDS IN THE NORTHWEST THE RULING IS LIKELY TO PROMPT A STEADY CLIMB IN THE
LEVELS OF TIMBER EXPORTED FROM STATE LANDS IN THE NORTHWEST ALTHOUGH
BECAUSE TIMBER CONTRACTS USUALLY ARE AWARDED SEVERAL YEARS BEFORE THE TRACTS
ARE CUT IT WON'T MEAN A SUDDEN FLOOD OF EXPORTS

MOREOVER ATTORNEYS INVOLVED IN THE CASE SAID THE JUSTICE DEPARTMENT IS
LIKELY TO APPEAL THE RULING JUSTICE DEPARTMENT OFFICIALS COULDN'T BE
REACHED TO COMMENT 9305050164 930505 INDUSTRY FOCUS A BANK FAILURE
THAT OFFICIALS SAY DIDN'T HAVE TO BE  A NEW LAW IS SAID TO HAVE
HELPED ACCELERATE VERMONT BANK'S DECLINE  BY KENNETH H BACON 
STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON STORMTOSSED BANKS AND THEIR REGULATORS ARE LEARNING THAT WHEN
THE GOING GETS ROUGH A RECENTLY PASSED BANKING LAW MAKES IT HARD FOR THE
GOVERNMENT TO SEND OUT LIFEBOATS

THE FIRST NATIONAL BANK OF VERMONT FOUND OUT THE HARD WAY THE COMPTROLLER
OF THE CURRENCY CLOSED THE 169YEAROLD BANK ON JAN 29 A WEEK AFTER
DETERMINING THAT IT WAS CRITICALLY UNDERCAPITALIZED THE BANK'S DEMISE WAS
HASTENED BY THE FEDERAL RESERVE BOARD'S REFUSAL TO LEND THE BANK THE MONEY
IT NEEDED TO SURVIVE

BY ANY ASSESSMENT FIRST NATIONAL BANK OF VERMONT WAS ALREADY IN FRAIL
CONDITION BUT BANK OFFICIALS FEEL THAT GOVERNMENT ACTIONS FLOWING FROM A
1991 BANKING LAW MADE THINGS WORSE THE REGULATORY POSTURE SEEMED TO BE
TO TAKE ACTION THAT FURTHER WEAKENED AN ALREADY WEAK BANK RATHER THAN TO
SHORE IT UP AND HELP US GET THROUGH SAYS ERNEST BALIVET A DIRECTOR OF
INDEPENDENT BANKGROUP INC THE FAILED BANK'S HOLDING COMPANY

ONE FEDERAL REGULATOR CONCEDES THAT IT APPEARS THAT THE FIRST NATIONAL BANK
OF VERMONT WAS TRIED CONVICTED AND EXECUTED IN FIVE DAYS WITH NO REAL
CHANCE TO APPEAL FATAL REGULATORY JUDGMENTS

ELIZABETH COSTLE VERMONT'S BANKING COMMISSIONER SAYS THAT IF THE
GOVERNMENT HAD TAKEN MORE TIME TO DEAL WITH THE BANK THE CLOSED VERMONT
BANK MIGHT HAVE BEEN BOUGHT BY A HEALTHY BANK WHICH COULD HAVE MEANT FEWER
LOSSES FOR LARGE DEPOSITORS

BEHIND THE GOVERNMENT'S TENDENCY TO PULL THE PLUG ON WEAK BUT NOT YET
INSOLVENT BANKS IS THE FEDERAL DEPOSIT INSURANCE CORP IMPROVEMENT ACT OF
1991 THE LAW ESTABLISHES FIVE CAPITAL CATEGORIES RANGING FROM
WELLCAPITALIZED TO CRITICALLY UNDERCAPITALIZED AND REQUIRES SUPERVISORS
TO TIGHTEN REGULATION OF A BANK AS CAPITAL DECLINES RULES CARRYING OUT THE
LAW WHICH TOOK EFFECT LAST DECEMBER GENERALLY GIVE REGULATORS 90 DAYS TO
CLOSE DOWN OR FIND BUYERS FOR CRITICALLY UNDERCAPITALIZED BANKS DEFINED
AS BANKS WHOSE EQUITY CAPITAL IS BELOW 2 OF ITS TOTAL ASSETS BUT SECTIONS
OF THE LAW FORCE REGULATORS TO CLOSE BANKS ALMOST REFLEXIVELY SAYS ROSS
DELSTON A BANKING LAWYER WITH JONES DAY REAVIS & POGUE

FOR INSTANCE THE LAW LIMITS THE FED'S ABILITY TO EXTEND CREDIT TO TEETERING
BANKS STARTING IN 1994 THE FED WOULD BE BARRED FROM EXTENDING CREDIT MORE
THAN FIVE BUSINESS DAYS AFTER A BANK BECOMES CRITICALLY UNDERCAPITALIZED
BUT THE FED SURPRISED BANKS WHEN IT STARTED FOLLOWING THIS PROVISION LAST
YEAR LONG BEFORE IT HAD TO

THE FED USED TO HAVE THE CAPABILITY TO LOAN THROUGH A PROBLEM SAYS
STEPHEN STEINBRINK WHO WAS ACTING COMPTROLLER OF THE CURRENCY WHEN FIRST
NATIONAL BANK OF VERMONT FAILED AND IS CURRENTLY SENIOR DEPUTY COMPTROLLER
FOR SUPERVISION

THE LAW ADDS TO WEAK BANKS' PROBLEMS BY REDUCING THE SCOPE OF FEDERAL
DEPOSIT INSURANCE FOR THEM WEAKER BANKS CAN'T OFFER BROKERED DEPOSITS 
LARGE CERTIFICATES OF DEPOSITS SOLD THROUGH BROKERAGE FIRMS OR OFFER
INSURED ACCOUNTS FOR EMPLOYEE PENSION PLANS PLUS WITH THE FDIC NO LONGER
PROTECTING DEPOSITS ABOVE THE 100000 CEILING LARGE DEPOSITORS ARE QUICK
TO WITHDRAW FUNDS ONCE THEY GET A WHIFF OF TROUBLE UNDER THE NEW LAW THERE
ARE A WHOLE BUNCH OF THINGS THAT PREVENT A BANK FROM MAINTAINING LIQUIDITY
SAYS MARTIN LOWY A BANKING LAWYER WITH LOWY & TALLACKSON IN NEW YORK

THE LAW IS DESIGNED TO REDUCE THE COST OF BANK FAILURES BY FORCING BANKS AND
REGULATORS TO ADDRESS PROBLEMS QUICKLY REGULATORS DENY THAT THEY PUSHED THE
FIRST NATIONAL BANK OF VERMONT INTO FAILURE THEY SAY THEY WORKED CLOSELY
WITH A NEW MANAGEMENT TEAM THAT WAS STRUGGLING TO REPAIR THE DAMAGE OF AN
INSIDER LENDING SCANDAL THAT LED TO THE INDICTMENT OF PREVIOUS OFFICERS BUT
TIME RAN OUT AND REGULATORS ADMIT THAT THE NEW LAW IS PARTLY TO BLAME

DOCUMENTS PROVIDED BY LAWYERS FOR FIRST NATIONAL BANK OF VERMONT'S HOLDING
COMPANY ILLUSTRATE HOW THE NEW SYSTEM HELPED ACCELERATE THE BANK'S FAILURE

ON SEPT 30 1992 THE BANK'S CORE CAPITAL WAS 27 OF ASSETS A LEVEL THE
COMPTROLLER OF THE CURRENCY ON NOV 9 CATEGORIZED AS SIGNIFICANTLY
UNDERCAPITALIZED THE REGULATOR GAVE THE BANK UNTIL FEB 2 1993 TO
DEVELOP A CAPITAL RESTORATION PLAN LATER THAT MONTH THE COMPTROLLER BEGAN
ITS ANNUAL EXAMINATION OF THE BANK

ON DEC 16 EXAMINERS GAVE THE BANK'S BOARD A PRELIMINARY REPORT DESPITE
PROGRESS TOWARD RESOLVING PROBLEMS INHERITED FROM THE PREVIOUS MANAGEMENT
THE OVERALL CONDITION OF THE BANK WAS POOR THE OFFICIALS SAID BUT
ACCORDING TO OFFICIALS OF THE BANK AND THE OFFICE OF THE COMPTROLLER OF THE
CURRENCY AN EXAMINER TOLD THE BANK'S DIRECTORS THAT BASED ON FINDINGS THUS
FAR THERE SHOULD BE NO MATERIAL CHANGE IN THE BANK'S CAPITAL POSITION

THOUGH THE OCC WAS STILL REVIEWING SEVERAL MAJOR LOANS THE BANK'S DIRECTORS
WERE CHEERED BY THE INITIAL ASSESSMENT THAT THE BANK WASN'T LIKELY TO FALL
INTO THE CRITICALLY UNDERCAPITALIZED CATEGORY THAT WOULD TRIGGER CLOSURE
HIT BY WITHDRAWALS BUT WITHIN DAYS BECAUSE OF PUBLICITY ABOUT THE TOUGH NEW
RULES TAKING EFFECT DEC 19 THE BANK WAS HIT BY WAVES OF WITHDRAWALS ON
DEC 22 THE FDIC ASKED THE BANK'S BOARD TO PASS A RESOLUTION AUTHORIZING
THE AGENCY TO BEGIN DISCUSSIONS THAT COULD LEAD TO THE EVENTUAL SALE OF THE
BANK'S ASSETS AND DEPOSITS A CLEAR SIGN THAT THE FDIC WAS PREPARING FOR
POSSIBLE FAILURE

ON JAN 22 A TEAM FROM THE COMPTROLLER'S OFFICE AGAIN MET WITH BANK
OFFICIALS AND DELIVERED SOME BAD NEWS AFTER COMPLETING THE EXAMINATION THE
OFFICE OF THE COMPTROLLER OF THE CURRENCY HAD DETERMINED THAT THE BANK'S
CAPITAL WAS ONLY 103 OF ASSETS NOT THE 27 OF ASSETS THAT THE BANK
HOPED TO MAINTAIN BEHIND THE CHANGE WAS A REJECTION OF THE ACCOUNTING
METHODS THE BANK HAD BEEN USING FOR A YEAR TO CALCULATE LOANLOSS RESERVES
UNDER THE NEW APPROACH THE REGULATOR SAID THE BANK'S RESERVES WERE TOO LOW
AND MOVED 48 MILLION FROM THE BANK'S CAPITAL ACCOUNTS TO ITS LOANLOSS
RESERVE

AT THIS POINT THE VERMONT BANK SLID INTO THE CRITICALLY UNDERCAPITALIZED
CATEGORY IT HAD ONLY LIMITED TIME TO RAISE MORE CAPITAL THE EXAMINERS
WARNED THE BANK THAT THE FED WOULD CLOSE THE DISCOUNT WINDOW IN FIVE
BUSINESS DAYS

ON JAN 25 THE BANK FILED A LENGTHY APPEAL WITH THE COMPTROLLER
CHALLENGING THE NEED FOR MORE LOANLOSS RESERVES AND NOTING THAT THE BANK
WAS ON THE BRINK OF PRESENTING A PLAN FOR RAISING MORE CAPITAL BUT THE
GOVERNMENT NEVER RESPONDED TO THE APPEAL THE BANK'S MR BALIVET SAYS

ON THE MORNING OF JAN 29 THE BANK MADE ONE FINAL PITCH AT A MEETING WITH
CAROL CONNELLY OF THE COMPTROLLER'S OFFICE OF SPECIAL SUPERVISION THE
BANK'S OFFICERS TOLD HER OF AN INSURANCE PAYMENT TO SETTLE EARLIER FRAUD
CHARGES THAT WOULD BOOST THE BANK'S CAPITAL BY 2 MILLION THIS WASN'T
ENOUGH MS CONNELLY TOLD THEM THAT THE FED WAS CUTTING OFF CREDIT AND THAT
THE FDIC WOULD TAKE OVER THE BANK THAT EVENING 9305050163 930505 INLAND
STEELWORKERS SUSPEND FORMAL TALKS ON UNION CONTRACT

CHICAGO INLAND STEEL INDUSTRIES INC AND THE UNITED STEELWORKERS BROKE
OFF NEGOTIATIONS IN THE LAST OF THE FORMAL TALKS AIMED AT SETTLING THE STEEL
INDUSTRY'S LABOR ISSUES WELL IN ADVANCE OF THE JULY 31 EXPIRATION OF MAJOR
UNION CONTRACTS

IN A STATEMENT INLAND'S INLAND STEEL CO UNIT AND THE STEELWORKERS SAID
THEY HAD RECESSED FORMAL TALKS BUT THAT CHIEF NEGOTIATORS WILL CONTINUE
INFORMAL DISCUSSIONS ALTHOUGH THEY MISSED A SELFIMPOSED MAY 1 DEADLINE FOR
AN ACCORD THEY SAID THEY REMAIN COMMITTED TO ACHIEVING AN EARLY AND
COMPETITIVE SETTLEMENT AND WERE ENCOURAGED BY THE PROGRESS OVER EIGHT WEEKS
OF TALKS

RAYMOND MACDONALD THE UNION'S DIRECTOR OF PENSION INSURANCE AND RESEARCH
SAID THE WIDEST GAPS BETWEEN THE TWO SIDES WERE ON WAGES JOB SECURITY AND
HEALTHINSURANCE ISSUES PROGRESS BECAME DIFFICULT WITHOUT THE PRESSURE OF
A DEADLINE HE SAID

THE UNION'S EFFORTS HAVE FOCUSED ON INLAND SINCE THE END OF TALKS LATE LAST
MONTH WITH USX CORP WHOSE US STEEL GROUP HAS A LATER JAN 31 CONTRACT
EXPIRATION THE BREAK UNDERSCORES THE UNION'S TROUBLE IN SELLING A NEW
PROGRAM THAT OFFERS STEELMAKERS FLEXIBLE WORK RULES AND METHODS OF REDUCING
WORK FORCES IN RETURN FOR MORE JOB SECURITY

THE UNION IS WILLING TO GIVE ON SOME SIZABLE THINGS BUT IT HAS BEEN PRETTY
ADAMANT THAT IT WANTS ITS ENTIRE PROGRAM PASSED SAID CHRISTOPHER PLUMMER
DIRECTOR OF STEEL SERVICES AT RESOURCE STRATEGIES INC A CONSULTING FIRM
MR PLUMMER AND OTHER ANALYSTS ALSO SAY THE INDUSTRY'S RECENT STRONG ORDERS
AND PRICE HIKES HAS MADE FOR A DIFFICULT BARGAINING ENVIRONMENT FOR STEEL
PRODUCERS

INLAND AND THE UNION DIDN'T GIVE A DATE FOR RESUMING TALKS AND THE BREAK
LEAVES THE INDUSTRY WITHOUT FORMAL NEGOTIATIONS INVOLVING A MAJOR
STEELMAKER THE CONTRACTS EXPIRING JULY 31 COVER 44000 WORKERS AT FOUR
COMPANIES INCLUDING INLAND BETHLEHEM STEEL CORP ARMCO INC AND NATIONAL
STEEL CORP WHICH IS ABOUT 70 OWNED BY NKK CORP OF JAPAN 9305050162
930505 AVERAGE YIELDS ON CDS REMAIN ABOUT SAME IN THE LATEST WEEK

NEW YORK YIELDS ON CERTIFICATES OF DEPOSIT AT MAJOR BANKS AND BROKERAGE
FIRMS WERE LITTLE CHANGED IN THE WEEK ENDED YESTERDAY

THE AVERAGE YIELD ON SIXMONTH SMALLDENOMINATION SAVINGS CDS INCHED UP TO
267 FROM 266 ACCORDING TO AN 18BANK SURVEY BY BANXQUOTE MONEY MARKETS
THE AVERAGE YIELD ON FIVEYEAR SAVINGS CDS ROSE TO 479 FROM 477 THE
WILMINGTON DEL INFORMATION SERVICE SAID

THE AVERAGE YIELD ON SIXMONTH BROKERSOLD CDS DECLINED TO 307 FROM 318
ON FIVEYEAR BROKERSOLD CDS THE AVERAGE YIELD REMAINED AT 506 THE
SURVEY SAID

ON LARGE DENOMINATION JUMBO CDS WHICH TYPICALLY REQUIRE DEPOSITS OF
90000 OR MORE THE AVERAGE YIELD ON A SIXMONTH CERTIFICATE SLID TO 268
FROM 269 ON FIVEYEAR JUMBOS THE AVERAGE REMAINED AT 487 ACCORDING TO
BANXQUOTE 9305050161 930505 WHO'S NEWS EFI ELECTRONICS CORP

EFI ELECTRONICS CORP SALT LAKE CITY K BRADFORD ROMNEY JR 37 YEARS
OLD WAS ELECTED A DIRECTOR OF THIS ELECTRONICS CONCERN HIS ELECTION
RESTORES BOARD MEMBERSHIP TO FIVE FILLING A VACANCY CREATED LAST SEPTEMBER
WHEN MELVIN LAMPH RESIGNED TO PURSUE OTHER INTERESTS MR ROMNEY IS
PRESIDENT AND CHIEF EXECUTIVE OFFICER OF DAYNA COMMUNICATIONS INC A
COMPUTERNETWORKING COMPANY 9305050160 930505 INTERNATIONAL JAPANESE
DEATH IN CAMBODIA RENEWS DEBATE  BY JACOB M SCHLESINGER STAFF
REPORTER OF THE WALL STREET JOURNAL

TOKYO A JAPANESE MEMBER OF THE UNITED NATIONS PEACEKEEPING FORCE IN
CAMBODIA WAS KILLED IN AN AMBUSH REIGNITING THE WRENCHING JAPANESE NATIONAL
DEBATE OVER WHETHER THIS NATION WITH ITS MILITARISTIC PAST SHOULD HAVE
FORCES ABROAD AT ALL

THE CIVILIAN POLICEMAN WHO DIED HAD BEEN DISPATCHED TO CAMBODIA WITH THE
JAPANESE MILITARY THE FIRST JAPANESE GROUND TROOPS SENT ABROAD SINCE WORLD
WAR II FOUR OTHER JAPANESE POLICEMEN WERE INJURED TWO CRITICALLY

FIVE DUTCH MARINES ALSO WERE WOUNDED IN THE AMBUSH WHICH A UN SPOKESMAN
SAID WAS CARRIED OUT BY KHMER ROUGE GUERRILLAS IN NORTHWEST CAMBODIA THE
COMMUNIST KHMER ROUGE IS ATTEMPTING TO ABORT A NATIONAL ELECTION SCHEDULED
FOR MAY 2328 THE UN HAS A 22000MEMBER MULTINATIONAL PEACEKEEPING FORCE
IN CAMBODIA UNDER TERMS OF A UNBROKERED 1991 PEACE PACT MORE THAN A
DOZEN HAVE BEEN KILLED IN KHMER ROUGE ATTACKS IN THE PAST SIX WEEKS THOUGH
YESTERDAY'S INCIDENT WAS THE MOST SERIOUS

IN JAPAN WORD OF THE ATTACK GRIPPED THE COUNTRY AND DOMINATED LATE NIGHT
NEWSCASTS THE DEATH OF THE POLICEMAN MARKS A TURNING POINT IN JAPAN'S
ATTEMPTS TO FIND A DIPLOMATIC ROLE THAT MATCHES ITS INTERNATIONAL ECONOMIC
MIGHT JAPAN SENT FORCES TO JOIN THE PEACEKEEPING EFFORT IN CAMBODIA BUT
WITH CLEAR RESTRICTIONS MOST NOTABLY THAT THEY WOULDN'T BE PLACED IN COMBAT
SITUATIONS NOW TOKYO MUST DECIDE WHETHER TO KEEP ITS TROOPS IN THE UNSTABLE
NATION OR PULL THEM OUT

WESTERN NATIONS HAVE PRAISED JAPAN FOR SHAKING ITS POSTWAR PACIFISM AND
AGREEING TO RISK JAPANESE LIVES TO HELP MAINTAIN STABILITY IN TROUBLE SPOTS
AROUND THE WORLD A RETREAT FROM THE UN MISSION IN CAMBODIA WOULD ONCE
AGAIN TRIGGER CRITICISM THAT JAPAN RELIES ON CHECKBOOK DIPLOMACY
PROVIDING FINANCIAL SUPPORT FOR MULTILATERAL MISSIONS WHILE OTHER NATIONS
SPILL BLOOD

AT THE SAME TIME CRITICS AT HOME AND ACROSS ASIA REMEMBER WORLD WAR II AND
WORRY THAT JAPAN IS VIOLATING ITS OWN CONSTITUTIONAL RESTRICTIONS BY
DISPATCHING SOLDIERS TO CAMBODIA A DANGEROUS PRECEDENT IN THEIR MINDS WHEN
JAPAN'S PARLIAMENT LAST YEAR PASSED THE CONTROVERSIAL LAW PERMITTING TROOPS
TO GO ABROAD IT RESTRICTED THE MILITARY TO COUNTRIES WHERE A CEASEFIRE IS
IN EFFECT THAT'S A DUBIOUS NOTION IN CAMBODIA NOW THAT THE KHMER ROUGE IS
STEPPING UP ATTACKS TO SABOTAGE THIS MONTH'S ELECTIONS

THE JAPANESE GOVERNMENT IS RESPONSIBLE FOR THIS INCIDENT THE GOVERNMENT
SAID IT WAS A SAFE LOCATION NOT A DANGEROUS ONE AN OFFICIAL OF THE
SOCIALIST PARTY JAPAN'S LARGEST OPPOSITION PARTY SAID IN A TELEVISION
INTERVIEW LAST NIGHT THERE'S NO DOUBT THAT THE CEASEFIRE HAS COLLAPSED
WE'RE GOING TO DEMAND THE GOVERNMENT RETHINK ITS ACTIVITIES IN CAMBODIA

FOR NOW PRIME MINISTER KIICHI MIYAZAWA WHO CUT SHORT A VACATION TO MONITOR
THE MATTER SEEMS TO BE HOLDING FIRM WE CAN BUILD ON THE SACRIFICIAL ACT
OF THE DECEASED BY FORGING AHEAD CHIEF CABINET SECRETARY YOHEI KONO SAID
IN A LATENIGHT NEWS CONFERENCE WE ARE NOT CONTEMPLATING A WITHDRAWAL
MR KONO STRESSED THOUGH THAT THE GOVERNMENT WILL STUDY THE ISSUE FURTHER
HE ALSO SAID OFFICIALS WILL RECONSIDER PLANS TO SEND CIVILIAN ELECTION
MONITORS

LAST MONTH A JAPANESE CIVILIAN VOLUNTEERING AS A UN ELECTION MONITOR WAS
ALSO KILLED IN CAMBODIA HE WASN'T PART OF THE JAPANESE GOVERNMENT TEAM AND
WAS WORKING IN A TROUBLE SPOT FAR FROM WHERE JAPANESE SOLDIERS WERE
STATIONED 9305050159 930505 WHO'S NEWS PHILLIPSVAN HEUSEN CORP

PHILLIPSVAN HEUSEN CORP NEW YORK STEPHEN ROSS 41 YEARS OLD WAS
NAMED PRESIDENT OF VAN HEUSEN CO THE BRANDED SHIRT MANUFACTURING AND
DISTRIBUTING UNIT SUCCEEDING MARK WEBER 42 WHO CONTINUES AS PRESIDENT OF
PVH INTERNATIONAL THE COMPANY'S INTERNATIONAL SOURCING AND DESIGN UNIT FOR
RETAIL OPERATIONS MR ROSS MOST RECENTLY WAS THE NATIONAL MERCHANDISING
MANAGER OF MEN'S APPAREL FOR THE SEARS MERCHANDISE GROUP 9305050158
930505 WHO'S NEWS DANAHER CORP

DANAHER CORP WASHINGTON DC JOHN P WATSON 48 YEARS OLD WAS NAMED
GROUP EXECUTIVE A NEW POST IN CHARGE OF A NEW GROUP OF COMPANIES TO
INCLUDE DANAHER CONTROLS PARTLOW/ANDERSON AND FOUR BUSINESSES TO BE
ACQUIRED THROUGH A TRANSACTION WITH MARK IV INDUSTRIES INC AMHERST NY
MR WATSON PREVIOUSLY WAS EXECUTIVE VICE PRESIDENT OF DANAHER'S SIMSBURY
CONN TOOLS GROUP ADDITIONALLY H LAWRENCE CULP JR 30 WAS NAMED
PRESIDENT OF VEEDERROOT CO DANAHER'S SIMSBURYBASED UNIT THAT
MANUFACTURES INSTRUMENTATION USED PRIMARILY IN THE PETROLEUM INDUSTRY HE
SUCCEEDS RONALD B KALICH 45 WHO RESIGNED FOR PERSONAL REASONS THE
COMPANY SAID MR CULP WAS DANAHER'S VICE PRESIDENT SALES AND MARKETING
DANAHER MANUFACTURES TOOLS PROCESS/ENVIRONMENTAL CONTROLS AND
TRANSPORTATION PRODUCTS 9305050157 930505 UMW MEMBERS WORK WITHOUT A
CONTRACT AFTER TALKS FLOUNDER

WASHINGTON UNITED MINE WORKERS UNION MEMBERS REPORTED TO WORK WITHOUT A
LABOR CONTRACT YESTERDAY AFTER TALKS AIMED AT REACHING A NEW AGREEMENT
FLOUNDERED

NO NEW TALKS WERE SCHEDULED WITH THE BITUMINOUS COAL OPERATORS ASSOCIATION
SAID A SPOKESWOMAN FOR THE FEDERAL MEDIATION AND CONCILIATION SERVICE WHICH
IS WORKING WITH BOTH SIDES THE BCOA INCLUDES MOST MAJOR COAL PRODUCERS

THE ABSENCE OF NEGOTIATIONS MAKES A STRIKE LIKELY THOUGH INDUSTRY OBSERVERS
SAID THE UMW MAY WAIT SEVERAL DAYS BEFORE ACTING A UMW SPOKESMAN SAID THERE
WERE NO NEW DEVELOPMENTS YESTERDAY THE UMW COULD STRIKE SELECTED PRODUCERS
OR ALL BCOA MEMBERS

A 60DAY EXTENSION OF THE NATIONAL BITUMINOUS WAGE AGREEMENT EXPIRED AT
1159 PM EST MONDAY UMW AND BCOA NEGOTIATORS WORKED WITH THE FEDERAL
AGENCY FOR MUCH OF MONDAY IN AN EFFORT TO WORK OUT A SECOND CONTRACT
EXTENSION OR A NEW AGREEMENT

BUT THE TWO SIDES REMAIN FAR APART ON MAJOR ISSUES FOR INSTANCE THE UMW
WANTS ITS MEMBERS TO GET ALL JOBS IN NONUNION MINES WHICH MANY BCOA
PRODUCERS HAVE ESTABLISHED AND IT IS DEMANDING GUARANTEED EMPLOYMENT FOR
ITS MEMBERS FOR THE LIFE OF A NEW CONTRACT 9305050156 930505 WHO'S NEWS
 KERRMCGEE CORP

KERRMCGEE CORP OKLAHOMA CITY THIS ENERGY AND CHEMICAL CONCERN NAMED
TWO NEW DIRECTORS THEY ARE FARAH M WALTERS PRESIDENT AND CHIEF EXECUTIVE
OFFICER OF UNIVERSITY HOSPITALS OF CLEVELAND AND MARTIN C JISCHKE
PRESIDENT OF IOWA STATE UNIVERSITY THEY EXPAND THE BOARD TO 10 MEMBERS
9305050155 930505 NISSAN TO BE GIVEN A FOURTH CHANCE TO FIX MINIVANS 
 BY GREGORY N RACZ STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE GOVERNMENT DECIDED TO GIVE NISSAN MOTOR CO ONE MORE
CHANCE TO FIX CERTAIN OLDERMODEL MINIVANS THAT ARE PRONE TO ENGINE FIRES

THE NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION TURNED DOWN A PETITION
THAT IT REQUIRE NISSAN TO BUY BACK THE 19871990 G/XE MINIVANS INSTEAD IT
ALLOWED THE JAPANESE AUTO MAKER TO CONDUCT ITS FOURTH SAFETY RECALL TO
RESOLVE THE PROBLEM

BUT THE AGENCY WARNED NISSAN THAT THE RECALL MUST COMPLETELY ELIMINATE THE
FIRE PROBLEM IF THE RECALL FAILS NHTSA SAID IT WILL CONVENE A PUBLIC
HEARING TO CONSIDER OTHER ENFORCEMENT ACTIONS INCLUDING ORDERING NISSAN TO
BUY BACK THE ROUGHLY 30000 SUCH MINIVANS STILL ON THE ROAD

THE RECALL WILL INVOLVE REPAIRS DESIGNED TO PREVENT ENGINE OVERHEATING
WHICH LEADS TO FIRES IN THE VEHICLES THE REPAIRS WILL INCLUDE INSTALLATION
OF A NEW DRIVE MECHANISM FOR THE COOLING SYSTEM AN INDEPENDENT ELECTRIC
COOLING FAN AN IMPROVED RADIATOR AND AN ENHANCED WARNING SYSTEM TO ALERT
DRIVERS TO ENGINE OVERHEATING THE WORK WON'T START UNTIL AUGUST WHEN
DEALERS RECEIVE THE REPLACEMENTS PARTS

THE AGENCY SAID IT WILL MONITOR CLOSELY THE COMPANY'S EFFORTS TO FIX THE
PROBLEMS

OUR CONCERN ALL ALONG IS TO MAKE SURE OUR CUSTOMERS ARE SAFE AND SATISFIED
WITH THEIR VEHICLES SAID NISSAN SPOKESMAN TONY WELLS MR WELLS SAID
NISSAN IS READY TO MOVE FORWARD WITH THE RECALL AND WILL NOTIFY MINIVAN
OWNERS

ALTHOUGH THERE HAVE BEEN NO REPORTS OF DEATHS OR SERIOUS INJURIES LINKED TO
THE MINIVANS NHTSA HAS RECEIVED 156 COMPLAINTS AND CONDUCTED TWO
INVESTIGATIONS OF ENGINE FIRES DURING THE PAST SIX YEARS DURING THE SAME
PERIOD NISSAN VOLUNTARILY RECALLED THE MINIVANS THREE TIMES TO ADDRESS THE
ENGINE PROBLEM

SOME MINIVAN OWNERS AND MEMBERS OF CONGRESS ARGUE THAT NISSAN HAS HAD ITS
CHANCE NISSAN HAS BEEN ALLOWED TO DO THREE RECALLS AND EACH TIME THEY
CLAIMED THEY SOLVED THE PROBLEM SAID SEAN KANE SPOKESMAN FOR RALPH HOAR &
ASSOCIATES ARLINGTON VABASED AUTO INDUSTRY ANALYSTS WHO SOUGHT TO FORCE
A BUYBACK

REP HELEN BENTLEY R MD SAYS THE MINIVANS AREN'T SAFE AND SHOULD BE
TAKEN OFF THE ROAD AT THE CAR MAKER'S EXPENSE AT A HOUSE TRANSPORTATION
COMMITTEE HEARING LAST WEEK SHE ACCUSED NHTSA OF PLAYING SOFTBALL WITH
FOREIGN CAR MANUFACTURERS HAVE THEY EVER ALLOWED A FOURTH RECALL ON
AMERICAN CARS SHE ASKED

THE NISSAN RECALL IS LIMITED TO THE 19871990 G/XE MINIVANS WHICH THE
JAPANESE CAR COMPANY STOPPED MAKING IN 1990 IT DOESN'T INVOLVE THE
COMPANY'S NEW QUEST MINIVAN ASSEMBLED AT FORD MOTOR CO'S AVON LAKE OHIO
FACILITY WHICH HAS A DIFFERENT ENGINE DESIGN 9305050154 930505 WHO'S
NEWS ANOTHER EXOFFICER FROM SECURITY PACIFIC LEAVES BANKAMERICA

SAN FRANCISCO BANKAMERICA CORP SAID NICHOLAS BINKLEY RESIGNED AS VICE
CHAIRMAN THE THIRD HIGHLEVEL FORMER SECURITY PACIFIC CORP EXECUTIVE TO
LEAVE SINCE THE TWO BANKS MERGED A YEAR AGO

BEFORE THE MERGER MR BINKLEY WAS VICE CHAIRMAN OF SECURITY PACIFIC'S BOARD
AND CHAIRMAN AND CHIEF EXECUTIVE OF SECURITY PACIFIC FINANCIAL SERVICES
SYSTEM

THE LATEST DEPARTURE WAS NOT UNEXPECTED MR BINKLEY LOST HIS SEAT ON THE
BANK'S BOARD IN A RESHUFFLING TO BE APPROVED BY SHAREHOLDERS LATER THIS
MONTH

IN MARCH JERRY GRUNDHOFER SECURITY PACIFIC'S FORMER PRESIDENT LEFT
BANKAMERICA AND ROBERT SMITH FORMERLY CHAIRMAN DEPARTED LAST OCTOBER THE
TRIO PLAYED A CENTRAL ROLE IN ARRANGING THE MERGER AND CONSOLIDATING THE
OPERATIONS OF THE TWO BANKING COMPANIES

MR BINKLEY 47 YEARS OLD WAS UNAVAILABLE FOR COMMENT A BANK SPOKESMAN
SAID MR BINKLEY DID NOT SPECIFY HIS PLANS FOR THE FUTURE HIS DUTIES HAD
INCLUDED CONSUMER FINANCE ASSETBASED LENDING LEASING VENTURE CAPITAL AND
CORPORATE REAL ESTATE AND COMMUNICATIONS THE BANK SAID FOUR EXECUTIVES
WOULD ASSUME THOSE RESPONSIBILITIES ALONG WITH THEIR EXISTING TASKS

UNDER THE PROVISIONS OF THE MERGER PACT MR BINKLEY IS ELIGIBLE FOR A
SEVERANCE PAYMENT EQUAL TO THREE TIMES HIS ANNUAL SALARY AND BONUS IN 1991
THE LAST YEAR FOR WHICH FIGURES ARE AVAILABLE HIS COMPENSATION WAS
475000 9305050153 930505 BUSINESS BRIEF MARION MERRELL DOW SAYS
SALES PROFIT ARE BEHIND '92 LEVELS STAFF CUTS LIKELY

KANSAS CITY MO MARION MERRELL DOW INC CITING SOME VERY TOUGH
BUSINESS CONDITIONS SAID IT EXPECTS TO CUT ITS WORK FORCE AND MOVE TO
BRING CERTAIN PRODUCTS TO MARKET SOONER

THE PHARMACEUTICAL CONCERN SAID THAT SALES AND EARNINGS THIS YEAR ARE
RUNNING WELL BELOW 1992 LEVELS THE COMPANY EARLIER REPORTED THAT EARNINGS
DECLINED SUBSTANTIALLY IN THE FIRST QUARTER AS SALES FELL FOR ITS THREE
TOPSELLING DRUGS

ALONG WITH OTHER DRUG MAKERS MARION MERRELL ALSO IS FEELING THE PINCH OF
INCREASING PRESSURES TO RESTRAIN PHARMACEUTICAL PRICES

IN THE CURRENT ENVIRONMENT WE CANNOT TAKE A BUSINESS AS USUAL' APPROACH
SAID FRED W LYONS PRESIDENT AND CHIEF EXECUTIVE OFFICER

MARION MERRELL WHICH IS 71OWNED BY DOW CHEMICAL CO OF MIDLAND MICH
SAID IT WILL MOVE AGGRESSIVELY TO CUT OPERATING EXPENSES AS PART OF THAT
EFFORT THE COMPANY SAID IT WILL REALIGN ITS US WORK FORCE IT DIDN'T
IDENTIFY HOW MUCH OF A STAFF CUT THAT WILL ENTAIL OR WHAT SIZE CHARGE TO
EARNINGS PRESUMABLY WILL BE INVOLVED

THE REALITY IS THAT WE'LL BE A CONSIDERABLY SMALLER COMPANY IN SALES AND
EARNINGS FOR 1993 THAN WE WERE IN 1992 AND OUR BUSINESS CANNOT JUSTIFY
THE CURRENT US STAFFING LEVELS MR LYONS SAID

THE COMPANY WHICH HAS BEEN SEEKING TO BOOST ITS PIPELINE OF NEW DRUG
PRODUCTS THROUGH ACQUISITIONS AND OTHER LINKS SAID THAT IT WILL CONTINUE
ITS STRATEGY OF SEEKING ACQUISITIONS TO ENHANCE ITS COMPETITIVE POSITION

MARION MERRELL ALSO SAID IT WILL FOCUS ITS RESEARCH AND DEVELOPMENT
RESOURCES ON SHORTENING THE TIME IT TAKES TO DEVELOP KEY NEARTERM
PRODUCTS IT WANTS TO FILL A NEARTERM GAP IN ITS RESEARCH AND
DEVELOPMENT PIPELINE BY REFOCUSING ITS EFFORTS ON PRODUCTS FAR ENOUGH ALONG
IN THE DEVELOPMENT PROCESS TO COME TO MARKET IN THE NEXT TWO TO THREE YEARS
FOR THE SECOND HALF OF THE DECADE MARION MERRELL SAID ITS OWN DEVELOPMENT
EFFORT HOLDS A NUMBER OF PROMISING POTENTIAL PRODUCTS

THE COMPANY'S DISCLOSURE CAME AFTER THE CLOSE OF TRADING IN NEW YORK STOCK
EXCHANGE COMPOSITE TRADING YESTERDAY MARION MERRELL SHARES CLOSED AT
17625 DOWN 25 CENTS 9305050152 930505 LAW LEGAL BEAT NISSAN'S
CHALLENGE TO 25 TARIFF MAY HAVE EFFECT ON TRADE DEBATE  BY
JONATHAN M MOSES STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK A LAWSUIT THAT PITS JAPANESE AUTOMOTIVE COMPANY NISSAN MOTOR CO
AGAINST THE US GOVERNMENT MAY AFFECT THE OUTCOME OF THE TRADE DEBATE ON
WHETHER THE US SHOULD RAISE THE TARIFF ON MINIVANS AND SPORT UTILITY
VEHICLES

NISSAN THROUGH ITS US IMPORTER IS CHALLENGING A 1989 DECISION BY THE
TREASURY DEPARTMENT TO LEVY A 25 TARIFF ON TWODOOR UTILITY VEHICLES SUCH
AS NISSAN'S PATHFINDER

NISSAN CONTENDS THAT THE TREASURY WRONGLY CLASSIFIED THE TWODOOR PATHFINDER
AS PRIMARILY A CARGO VEHICLE WHICH IS TAXED AT THE 25 RATE INSTEAD THE
AUTO MAKER SAYS THE TWODOOR IS MORE LIKE A STATION WAGON AND ELIGIBLE TO
BE TAXED AT THE 25 DUTY ON PASSENGER CARS

CLOSING ARGUMENTS WILL BEGIN TODAY IN THE CASE WHICH IS PENDING HERE BEFORE
JUDGE JANE RESTANI OF THE COURT OF INTERNATIONAL TRADE

THE LAWSUIT CUTS TO THE HEART OF THE DEBATE CURRENTLY RAGING IN THE CLINTON
ADMINISTRATION OVER WHETHER TO IMPOSE A SIMILAR 25 DUTY ON MINIVANS AND
FOURDOOR UTILITY VEHICLES THAT ARE NOW TAXED AT 25 US AUTO MAKERS ARE
PRESSURING THE ADMINISTRATION TO RECLASSIFY THE MINIVANS AND FOURDOORS IN
THE SAME CARGO CATEGORY AS THE TWODOORS

THE MINIVANS FOURDOORS AND TWODOORS WERE ALL ORIGINALLY TAXED IN 1989 AT
25 BUT THE TREASURY DEPARTMENT REVERSED ITSELF AS TO THE MINIVANS AND
FOURDOORS LEAVING ONLY THE TWODOORS AT THE HIGHER RATE

THE NISSAN LAWSUIT IS A HIGHSTAKES TEST CASE FOR THE ENTIRE INDUSTRY EVEN
THOUGH NISSAN AND SUZUKI MOTOR CORP WERE THE ONLY MAJOR IMPORTERS OF
TWODOOR SPORT UTILITY VEHICLES THE TWO FIRMS STOPPED IMPORTING THE
VEHICLES AFTER THE 25 RATE WAS IMPOSED A SIMILAR RATE ON THE MINIVANS AND
FOURDOOR UTILITY VEHICLES COULD CLOSE OUT THAT HUGE AND GROWING MARKET TO
FOREIGN AUTO MAKERS ABOUT TWO MILLION UTILITY VEHICLES AND MINIVANS WERE
SOLD LAST YEAR WITH 10 OF THE MARKET GOING TO IMPORTS FROM BOTH JAPAN AND
EUROPE

IN SOME WAYS THE CASE WHICH IS BEING ARGUED BY JOSEPH LIEBMAN THE
ATTORNEYINCHARGE OF THE JUSTICE DEPARTMENT'S INTERNATIONAL TRADE FIELD
OFFICE IN NEW YORK ALREADY PITS US AUTO MAKERS AGAINST THEIR COUNTERPARTS
IN JAPAN ALL BUT ONE OF THE EXPERT WITNESSES SUPPORTING THE GOVERNMENT'S
CONTENTION THAT THE PATHFINDER IS MORE LIKE A PICKUP THAN A CAR WORK FOR
EITHER CHRYSLER CORP OR FORD MOTOR CO

AND DURING THE TRIAL JUDGE RESTANI GOT A CHANCE TO COMPARE A FORD AND A
NISSAN TAKING A TEST DRIVE THROUGH THE STREETS OF MANHATTAN IN BOTH A
TWODOOR NISSAN PATHFINDER AND A FORD PICKUP AMONG THE FACTORS JUDGE
RESTANI IS EXPECTED TO CONSIDER ARE HOW THE PATHFINDER'S PAYLOAD CAPABILITY
CARGO ROOM AND SHAPE COMPARE WITH PICKUP TRUCKS AND STATION WAGONS SHE ALSO
HEARD TESTIMONY FROM NISSAN ENGINEERS AND DESIGNERS WHO CONTENDED THAT THEIR
INTENT WAS ALWAYS TO DESIGN A PASSENGER VEHICLE

ANY RULING IN NISSAN'S LEGAL CHALLENGE WILL LIKELY AFFECT THE LARGER TRADE
DEBATE ALL DECISIONS BY THE GOVERNMENT TO IMPOSE DUTIES CAN BE APPEALED TO
THE COURT OF INTERNATIONAL TRADE JUDGE RESTANI'S OPINION WHILE IT CAN BE
APPEALED ITSELF TO THE COURT OF APPEALS FOR THE FEDERAL CIRCUIT WILL SET A
PRECEDENT ON HOW THE GOVERNMENT SHOULD DECIDE WHETHER A VEHICLE IS DESIGNED
MORE FOR CARRYING PASSENGERS OR FOR HAULING CARGO

JUDGE RESTANI WILL ALSO BE THE FIRST TO DECIDE THE LEGAL QUESTION OF WHETHER
A VEHICLE HAS TO BE SOLELY OR JUST PRIMARILY FOR PASSENGER USE TO QUALIFY
FOR THE LOWER TARIFF MARTIN EVELEV AN ASSOCIATE GENERAL COUNSEL AT FORD
SAID THAT IF THE GOVERNMENT PREVAILS US AUTO MAKERS COULD FILE A LAWSUIT
ATTEMPTING TO FORCE THE GOVERNMENT TO PLACE THE FOURDOORS AND THE MINIVANS
IN THE HIGHER TARIFF CATEGORY I WOULD THINK THAT IF WE WIN THIS ONE WE'D
SERIOUSLY THINK OF GOING FURTHER HE SAID

JOHN REHM AN ATTORNEY REPRESENTING THE ASSOCIATION OF INTERNATIONAL
AUTOMOTIVE MANUFACTURERS SAYS THE IMPORTER'S TRADE ASSOCIATION ASKED HIS
FIRM TO KEEP A CLOSE WATCH ON THE CASE THE COURT WILL ALMOST INEVITABLY
LAY DOWN BASIC CRITERIA FOR HOW ALL SO CALLED MULTIPURPOSE UTILITY VEHICLES
 FOURDOORS AND MINIVANS SHOULD BE CLASSIFIED MR REHM SAID

THE NATIONAL ASSOCIATION OF SECURITIES DEALERS' ARBITRATION CODE ALLOWS
REGISTERED DEALERS TO AVOID ARBITRATING EMPLOYMENT DISPUTES A FEDERAL
APPEALS COURT SAID

THE RULING THE FIRST AT THE FEDERAL APPELLATE LEVEL ON THE SUBJECT IS
SURPRISING BECAUSE STANDARD SECURITIESINDUSTRY FORMS REQUIRE ARBITRATION

THE APPEALS COURT IN CHICAGO SAID THAT THE EXTENT TO WHICH SUCH ARBITRATION
IS REQUIRED DEPENDS ON INTERNAL STOCK EXCHANGE RULES FOR INSTANCE THE US
SUPREME COURT SAID IN 1991 THAT NEW YORK STOCK EXCHANGE RULES REQUIRE
ARBITRATION OF AGEDISCRIMINATION COMPLAINTS

BUT NASD ARBITRATION RULES DON'T CLEARLY INCLUDE DEALEREMPLOYER DISPUTES
THE COURT SAID REVERSING A LOWER COURT THE RECENT SUPREME COURT DECISION
DID NOT ESTABLISH A GRAND PRESUMPTION IN FAVOR OF ARBITRATION A
THREEJUDGE PANEL RULED THE COURT DIDN'T SPECIFY THE DISPUTES IT BELIEVES
ARE COVERED BY NASD RULES THOUGH THE CODE DOES EXPLICITLY INCLUDE DISPUTES
INVOLVING CUSTOMERS

THE CASE AROSE FROM AN AGEDISCRIMINATION COMPLAINT BY A FORMER SALES
MANAGER FOR THE FINANCIALSERVICES UNIT OF LUTHERAN BROTHERHOOD A
MINNEAPOLIS CONCERN THAT PROVIDES INSURANCE TO CHURCH MEMBERS THE COURT'S
INTERPRETATION IS BINDING IN ILLINOIS INDIANA AND WISCONSIN THOUGH IT
COULD BE INFLUENTIAL ELSEWHERE AS WELL

RICHARD G KETCHUM EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER OF
THE NASD WAS UNAVAILABLE FOR COMMENT ON WHETHER THE ASSOCIATION WILL
REWRITE ITS ARBITRATION CODE THE NASD CAN'T APPEAL THE RULING BECAUSE IT
ISN'T A PARTY TO THE CASE

A WOMAN WHO ALLEGEDLY CAUGHT TUBERCULOSIS FROM HER HUSBAND CAN SUE THE
HUSBAND'S DOCTOR FOR FAILING TO DIAGNOSE THE DISEASE A NEW YORK STATE JUDGE
HAS RULED

ALTHOUGH THE WIFE WASN'T A PATIENT OF THE DOCTOR JUDGE JULES SPODEK SAID
THE PHYSICIAN MAY STILL BE LIABLE TO HER THE HUSBAND JOHN ELLIS BEGAN
SEEKING TREATMENT FROM THE DOCTOR IN EARLY 1990 BUT WASN'T DIAGNOSED WITH
TUBERCULOSIS UNTIL JULY 1991 ACCORDING TO MR ELLIS'S LAWYER ANDREA
BONINA THE WIFE JOAN ELLIS THEN DISCOVERED SHE ALSO HAD THE DISEASE
WHICH SHE HAD CAUGHT FROM HER HUSBAND MS BONINA SAID

IF THE ELLISES PROVE THE DOCTOR COMMITTED MALPRACTICE BY FAILING TO DIAGNOSE
MR ELLIS'S CONDITION IT FOLLOWS INEXORABLY THAT THE DOCTOR SHOULD HAVE
KNOWN OF THE EXISTENCE OF THE TUBERCULAR CONDITION OF THE PLAINTIFF AND
WITH THE ACQUISITION OF SUCH KNOWLEDGE COMES THE DUTY TO INFORM THE
PATIENT'S SPOUSE THE JUDGE WROTE IN AN OPINION

THE DECISION SEEMS TO RUN COUNTER TO AN EARLIER RULING BY ANOTHER STATE
JUDGE WHO SAID THAT A DOCTOR WHO WASN'T AWARE OF HIS PATIENT'S TUBERCULOSIS
WASN'T LIABLE TO THE PATIENT'S SON

IN THE CURRENT CASE JUDGE SPODEK SAID HIS OWN DECISION WAS LIMITED TO
CIRCUMSTANCES INVOLVING A PATIENT AND A SPOUSE AND THAT IT DIDN'T
NECESSARILY FOLLOW THAT A DOCTOR WOULD BE LIABLE TO A MEMBER OF THE GENERAL
PUBLIC WHO HAD CONTRACTED THE DISEASE FROM HIS PATIENT

NOTED THREE PARTNERS IN THE STRUCTUREDFINANCE GROUP OF THE NEW YORK LAW
FIRM MILBANK TWEED HADLEY & MCCLOY MOVED TO THE STRUCTUREDFINANCE GROUP
OF ORRICK HERRINGTON & SUTCLIFFE EDWARD M DESEAR AND JOSHUA E RAFF
JOINED AS PARTNERS IN THE NEW YORK OFFICE OF THE SAN FRANCISCOBASED LAW
FIRM AND CAMERON L COWAN WILL BE A PARTNER IN A NEW WASHINGTON OFFICE THAT
HE WILL ESTABLISH

JUNDA WOO CONTRIBUTED TO THIS ARTICLE 9305050151 930505 SOME HEAVY
HITTERS GO LIGHT ON BONDS  BY WARREN GETLER AND THOMAS T VOGEL JR
 STAFF REPORTERS OF THE WALL STREET JOURNAL

NEW YORK SOME OF THE WORLD'S BIGGEST MONEY MANAGERS HAVE GONE BEARISH ON
LONGTERM US TREASURY BONDS

AFTER WATCHING INTEREST RATES ON LONGTERM GOVERNMENT BONDS FALL MORE THAN A
FULL PERCENTAGE POINT SINCE PRESIDENT CLINTON WAS ELECTED IN NOVEMBER
BIGTIME INTERNATIONAL MONEY MANAGERS LIKE WILLIAM GROSS GEORGE SOROS PAUL
TUDOR JONES AND JOHN TEMPLETON ARE BETTING THAT THE BOND RALLY IS NEARING AN
END

BUT THESE BIG MONEY MANAGERS ALONG WITH A HOST OF OTHER SMALLER INVESTORS
FIGURE ANY SHOW OF STRENGTH COULD BE THE BOND MARKET'S LAST GASP

THE MARKET'S TONE IS MORE BEARISH THAN SEVERAL WEEKS AGO ARGUES MR
GROSS A MANAGING DIRECTOR OF PACIFIC INVESTMENT MANAGEMENT CO WHICH
MANAGES 45 BILLION IN US TREASURY BONDS OF VARIOUS MATURITIES

THAT BEARISH MOOD WAS TRIGGERED AT LEAST IN PART BY NEWS LATE LAST MONTH
THAT MR SOROS WAS ACTIVELY BETTING ON A DROP IN US BOND PRICES NOW OTHER
BIG INVESTORS WHO RUN MULTIBILLIONDOLLAR INVESTMENT FUNDS ARE EITHER
PURSUING OR RECOMMENDING A SIMILAR STRATEGY OF UNLOADING LONGTERM TREASURY
BONDS PRICES OF LONGTERM TREASURY BONDS TEND TO BE MUCH MORE VOLATILE THAN
SHORT AND INTERMEDIATETERM ISSUES AND THUS ARE MORE ATTRACTIVE TO
TRADERS TRYING TO PROFIT FROM BIG PRICE SWINGS

MR GROSS SAYS HIS FIRM SOLD A HALF A BILLION DOLLARS WORTH OF LONG BONDS
BETWEEN APRIL 23 AND APRIL 26 OR ROUGHLY 5 OF THE GROUP'S 10 BILLION
HOLDINGS OF LONGTERM TREASURY BONDS THE PROCEEDS MR GROSS SAID IN A
TELEPHONE INTERVIEW FROM HIS COMPANY'S NEWPORT BEACH CALIF HEADQUARTERS
ARE BEING HELD IN CASH

IT'S THE FIRST TIME IN SEVERAL YEARS THAT HIS FIRM HAD SOLD OFF ANYTHING
LIKE THAT AMOUNT IN US LONGEND GOVERNMENT SECURITIES HE SAID ADDING I
WISH WE HAD SOLD MORE IN FACT IF BOND PRICES CAN RALLY A BIT MORE AS
THEY HAVE IN THE PAST TWO DAYS MR GROSS SAYS HE WILL SELL A LITTLE MORE
OF HIS 30YEAR BOND HOLDINGS

BEHIND THE DISPIRITED OUTLOOK IS A GROWING PERCEPTION THAT PRESIDENT CLINTON
WILL HAVE TROUBLE PUSHING HIS DEFICITREDUCTION PROGRAM THROUGH CONGRESS
SAYS MR GROSS THE DEFEAT LAST MONTH OF THE PRESIDENT'S ECONOMICSTIMULUS
PACKAGE WAS THE FIRST HARBINGER OF TROUBLE HE SAYS

NOW HOPES FOR A SERIOUS DEFICIT REDUCTION HAVE BEEN FURTHER SHAKEN BY RECENT
EVENTS IN WASHINGTON WHEN BUDGET DIRECTOR LEON PANETTA TOLD REPORTERS LAST
WEEK THAT HE HAD GROWN MORE DISCOURAGED ABOUT PLANS TO CUT THE FEDERAL
DEFICIT BOND PRICES DROPPED NEARLY A POINT

THERE'S BEEN A SEA CHANGE IN TERMS OF SENTIMENT AND IN TERMS OF THE
CONFIDENCE PEOPLE HAVE IN PRESIDENT CLINTON AGREES DAVID ADER A
TREASURYMARKET ANALYST AT TECHNICAL DATA THERE HAS BEEN A LOSS OF FAITH
IN THE ADMINISTRATION

THAT ISN'T TO SAY THAT THERE'S A BIG RUSH TO DUMP TREASURY BONDS WE'RE NOT
IN AN ENVIRONMENT IN WHICH BOND INVESTORS HAVE TO PANIC SAYS MR GROSS
BECAUSE INFLATION THE CHIEF BUGABOO OF BOND INVESTORS SEEMS TO BE UNDER
CONTROL NEVERTHELESS HE SAYS IT ISN'T LIKELY THAT BOND PRICES ARE APT TO
RISE MUCH FURTHER IF AT ALL

AMONG OTHER INDICATORS THAT THE BOND MARKET HAS SEEN ITS BEST DAYS ARE THE
RISING PRICE OF GOLD WEAKNESS IN SOME FOREIGN BOND MARKETS AND CONCERNS
THAT NEXT WEEK'S BIG TREASURY AUCTION OF NEW BONDS MIGHTN'T GO WELL TAKEN
TOGETHER HE SAYS ALL THOSE FACTORS SAY LIGHTEN UP

OTHER BIG INTERNATIONAL INVESTORS BEGAN CUTTING DOWN THEIR TREASURYBOND
HOLDINGS EVEN EARLIER FOR MANY MONTHS WE HAVE NOT HELD AS MANY LONG BONDS
AS USUAL SAYS MR TEMPLETON WHO OVERSEES A WIDE VARIETY OF MUTUAL FUNDS
WITH SOME 23 BILLION UNDER MANAGEMENT IN GENERAL WE HAVE FELT THAT THIS
VERY LONG BULL MARKET IN BONDS MUST BE SOMEWHERE NEAR ITS END HE SAID IN A
TELEPHONE INTERVIEW FROM HIS HEADQUARTERS IN THE BAHAMAS

ONE OF THE CHIEF REASONS FOR HIS BEARISHNESS IS HIS BELIEF THAT THERE WILL
BE LITTLE IF ANY REDUCTION IN THE AMERICAN FEDERAL DEBT

MR TEMPLETON WHOSE INVESTMENTS ARE FOCUSED OVERWHELMINGLY IN GLOBAL STOCK
MARKETS SAYS HE HAS PUT THE PROCEEDS OF HIS RECENT SALES OF LONG BONDS INTO
EQUITIES AND BONDS OF SHORTER MATURITIES HIS FLAGSHIP FUND IS THE TEMPLETON
WORLD FUND

MR JONES ANOTHER MAJOR MONEY MANAGER RECENTLY CALLED THE TOP OF THE US
BOND RALLY A PREDICTION THAT HE HAS MADE BEFORE IN RECENT MONTHS AND HAS
BEEN PROVEN WRONG

POSITING THAT LONGTERM GLOBAL INTEREST RATES HAVE TOUCHED BOTTOM MR
JONES A RENOWNED FUTURES TRADER ADVISED CLIENTS IN AN APRIL 29 CIRCULAR
THAT THE US BOND MARKET AND JAPANESE YEN BONDS ARE MOST VULNERABLE WITH
THE POTENTIAL FOR AT LEAST A 30BASIS POINT MOVE TO THE UPSIDE IN YIELDS A
BASIS POINT IS ONEHUNDREDTH OF A PERCENTAGE POINT

THE TUDOR INVESTMENT CORP ADVISORY GOES ON TO SAY THAT US INTEREST RATES
HAVE PROBABLY MADE A 20YEAR SECULAR LOW

MR JONES WHO NUMBERS AMONG THE BESTPERFORMING FUTURES TRADERS IN RECENT
HISTORY DIDN'T RETURN PHONE CALLS TO HIS OFFICE IN NEW YORK BUT ACCORDING
TO MONEYMANAGEMENT ADVISERS THE NET ASSET VALUE OF HIS FLAGSHIP FUND
TUDOR FUTURES FUND IS DOWN MORE THAN 5 SO FAR THIS YEAR FROM A YEAR AGO
9305050150 930505 LAW COMPANIES DISCOVER THAT SOME FIRINGS BACKFIRE
INTO COSTLY DEFAMATION SUITS  BY GABRIELLA STERN STAFF REPORTER OF
THE WALL STREET JOURNAL

A COMPANY CAN'T BE TOO CAREFUL IN HOW IT FIRES AN EMPLOYEE

A 156 MILLION TEXAS JURY VERDICT AGAINST PROCTER & GAMBLE CO UNDERSCORES
THAT POINT THE MONEY WAS AWARDED APRIL 23 TO DON HAGLER A 41YEAR VETERAN
OF THE COMPANY WHO SAID P&G FIRED HIM AFTER PUBLICLY ACCUSING HIM OF
STEALING A 35 COMPANY TELEPHONE MR HAGLER SAID THAT THE PHONE WAS HIS
PROPERTY AND THAT P&G LIBELED HIM BY POSTING NOTICES ACCUSING HIM OF THEFT
ON COMPANY BULLETIN BOARDS THE STATECOURT JURY AWARDED MR HAGLER 16
MILLION IN ACTUAL DAMAGES AND 14 MILLION IN PUNITIVE DAMAGES

P&G SAYS IT IS REVIEWING THE VERDICT FOR A POSSIBLE APPEAL WE'RE
DISAPPOINTED IN THE VERDICT SAYS A SPOKESWOMAN FOR THE CINCINNATIBASED
COMPANY

I'M NOT SURPRISED THE JURY FOUND LIABILITY BUT THE AMOUNT OF THE AWARD IS
INCREDIBLE SAYS GREG RASIN AN EMPLOYMENT ATTORNEY WITH JACKSON LEWIS
SCHNITZLER & KRUPMAN IN NEW YORK

LAWYERS SAY MORE EXEMPLOYEES ARE USING DEFAMATION LAWSUITS TO FIGHT
FIRINGS WORKERS ARE BROADENING THEIR ALLEGATIONS TO INCLUDE THINGS LIKE
DEFAMATION RATHER THAN JUST CLAIMING UNLAWFUL TERMINATION SAYS JAY W
WAKS AN EMPLOYMENT ATTORNEY WITH KAYE SCHOLER FIERMAN HAYS & HANDLER IN
NEW YORK CITY IT REFLECTS A LACK OF CARE BY MANAGEMENT IN EXPRESSING THE
REASONS WHY THE PERSON'S BEEN TERMINATED

THIS WEEK THE NEW JERSEY SUPREME COURT HELD THAT A FORMER BELL LABORATORIES
MANAGER FIRED IN 1984 FOR ALLEGEDLY MISUSING 250000 IN COMPANY FUNDS CAN
SUE THE COMPANY FOR DEFAMATION THE FORMER EMPLOYEE BARBARA A WILLIAMS
WON A 670000 JURY AWARD AGAINST BELL LABS THE RESEARCH ARM OF AMERICAN
TELEPHONE & TELEGRAPH CO IN SUPERIOR COURT IN NEWARK IN 1989 BUT THE
VERDICT WAS OVERTURNED ON APPEAL THE SUPREME COURT REVERSED PART OF THE
APPEALSCOURT RULING AND SAID MS WILLIAMS MUST PROVE HER CASE AT ANOTHER
TRIAL

MS WILLIAMS HAD WORKED FOR BELL FOR 12 YEARS BECOMING MANAGER OF THE
COMPANY'S AID TO BLACK COLLEGES PROGRAM IN 1984 BELL RECEIVED AN ANONYMOUS
LETTER CLAIMING SHE HAD EMBEZZLED OR MISUSED COMPANY FUNDS AFTER AN
INTERNAL INVESTIGATION BELL FIRED MS WILLIAMS AND DISCLOSED THE RESULTS OF
THE PROBE TO THE ESSEX COUNTY NJ PROSECUTOR'S OFFICE HOWEVER THE
PROSECUTOR'S OFFICE LATER DROPPED ITS INVESTIGATION OF MS WILLIAMS

MS WILLIAMS SUED BELL IN 1986 ALLEGING AMONG OTHER THINGS THAT BELL
DEFAMED HER TO THE PROSECUTOR'S OFFICE AFTER AN 11DAY TRIAL DURING WHICH
BELL ARGUED IT HAD A RIGHT TO PRESENT THE RESULTS OF ITS INVESTIGATION TO
THE PROSECUTOR'S OFFICE A JURY RETURNED A VERDICT IN MS WILLIAMS'S FAVOR
ON THE DEFAMATION CHARGE THE VERDICT WAS REVERSED BY THE APPEALS COURT
WHICH CITED ISSUES RELATING TO JURY INSTRUCTIONS AND STATUTEOFLIMITATIONS
THIS PAST MONDAY HOWEVER THE STATE SUPREME COURT REVERSED THE
STATUTEOFLIMITATIONS PORTION OF THE APPEALS COURT'S RULING AND REMANDED
THE CASE FOR TRIAL

ANOTHER DEFAMATION CASE WAS FILED IN FEDERAL COURT IN BALTIMORE BY A FORMER
CONTEL CORP EXECUTIVE THOMAS HASSEY WHO CLAIMED CONTEL EXECUTIVES DEFAMED
HIM BY BLAMING HIM FOR MORALE AND TURNOVER PROBLEMS IN MEETINGS AND SPEECHES
BEFORE EMPLOYEES BOTH BEFORE AND AFTER HE WAS FIRED IN 1987 CONTEL HAS
SINCE BEEN ACQUIRED BY GTE CORP

IN 1990 MR HASSEY WAS AWARDED 35 MILLION BY A JURY IN A SECOND TRIAL
ORDERED BY THE JUDGE WHO RAISED THE ISSUE OF INADEQUATE JURY INSTRUCTIONS
MR HASSEY WAS AWARDED 71 MILLION BY A JURY ACCORDING TO HIS ATTORNEY
THAT JUDGE HOWEVER ORDERED A THIRD TRIAL AND BOTH SIDES HAVE APPEALED
ASPECTS OF THE ORDER TO THE US COURT OF APPEALS FOR THE FOURTH CIRCUIT

ALSO MOVING THROUGH THE COURTS IS THE CASE OF WILLARD A THOMPSON A FORMER
EMPLOYEE OF PUBLIC SERVICE CO OF COLORADO MR THOMPSON SUED THE UTILITY IN
STATE COURT IN COLORADO CLAIMING HE WAS DEFAMED BY DISCIPLINARY NOTICES
SENT TO HIS UNION AND SEVERAL BOSSES AFTER HE WAS SUSPENDED IN 1983 FOR
ALLEGEDLY BOTHERING A CUSTOMER'S FEMALE EMPLOYEES WITH PERSONAL QUESTIONS
ABOUT A YEAR AND A HALF AGO THE US SUPREME COURT REFUSED TO CONSIDER A
PUBLIC SERVICE CO APPEAL OF A COLORADO SUPREME COURT DECISION SETTING THE
CASE FOR TRIAL AND IT WAS RETURNED TO STATE COURT FOR TRIAL BUT A SERIES
OF SNAFUS INVOLVING MR THOMPSON'S ATTORNEYS HAVE DELAYED THE TRIAL'S
SCHEDULING

THE FIRING THAT LED TO THE P&G CASE TOOK PLACE ON MARCH 4 1991 SIX DAYS
AFTER SECURITY GUARDS AT THE FRONT GATE OF THE COMPANY'S DETERGENT PLANT IN
DALLAS STOPPED MR HAGLER AT THE END OF A SHIFT SEARCHED A BAG HE WAS
TOTING AND FOUND A TELEPHONE MR HAGLER TOLD SUPERIORS HE HAD PURCHASED THE
PHONE AFTER A FLOOD DAMAGED A PHONE ON HIS DESK IN THE PLANT HE SAID HE
HADN'T BEEN REIMBURSED BY P&G BECAUSE HE HAD LOST THE RECEIPT AND HIS BOSS
HAD TOLD HIM HE COULD KEEP THE PHONE

P&G FIRED HIM AFTER A SIXDAY INTERNAL INVESTIGATION AND POSTED NOTICES ON
11 BULLETIN BOARDS AND THE PLANT'S ELECTRONIC MAIL SYSTEM SAYING IN PART
IT HAS BEEN DETERMINED THAT THE TELEPHONE IN QUESTION IS PROCTER & GAMBLE'S
PROPERTY AND THAT DON HAD THEREFORE VIOLATED WORK RULE 12  CONCERNING
THEFT OF COMPANY PROPERTY

MR HAGLER FILED SUIT TWO MONTHS LATER IN 101ST DISTRICT COURT DALLAS
COUNTY TEXAS CHARGING THAT P&G HAD LIBELED HIM TWO YEARS LATER WITNESSES
AT THE TRIAL INCLUDED A COWORKER WHO HAD ACCOMPANIED MR HAGLER TO A MALL
WHERE HE BOUGHT THE PHONE WITH HIS OWN CASH MR HAGLER TESTIFIED P&G USED
HIM AS AN EXAMPLE TO STOP A RASH OF THEFTS AT THE PLANT HE SAID THAT SINCE
HIS FIRING HE HAS APPLIED FOR MORE THAN 100 NEW JOBS ONLY TO BE TURNED
DOWN WHEN PROSPECTIVE EMPLOYERS LEARNED WHY HE HAD BEEN FIRED BY P&G AFTER
A FIVEDAY TRIAL THE JURY TOOK FIVE HOURS TO DELIBERATE

EMPLOYMENT ATTORNEYS WHO REPRESENT CORPORATE CLIENTS SAY COMPANIES CAN TAKE
PRECAUTIONS TO AVOID BEING SUED WHEN FIRING WORKERS BRUCE SANFORD A LIBEL
LAWYER WITH BAKER & HOSTETLER SAYS AMONG OTHER CONSIDERATIONS YOU HAVE
TO BE CAREFUL ABOUT WHAT YOU WRITE IN PERSONNEL FILES WHEN AN EMPLOYEE IS
FIRED HE ADDS WRITE IT VERY FACTUALLY AND DON'T INCLUDE GRATUITOUS
OPINIONS

SAYS MR RASIN THE EMPLOYMENT ATTORNEY YOU'D BETTER BE RIGHT IF YOU'RE
PLANNING TO MAKE AN EXAMPLE OF SOMEONE THE ABSOLUTE DEFENSE TO ANY
DEFAMATION ACT IS THE TRUTH IN A THEFT SITUATION UNLESS AN EMPLOYEE ADMITS
TO IT I'D BE RELUCTANT TO PUBLISH IT BEYOND THOSE WHO NEED TO KNOW THIS IS
A SOCIETY WHERE PEOPLE SUE WHEN THEY THINK THEY'VE BEEN WRONGED

MR RASIN PRESENTS ANOTHER POINTER JURIES WILL SYMPATHIZE WITH WORKERS
THEY'RE THE LITTLE PERSON AGAINST THE BIG COMPANY

IN THE HAGLER CASE THE JURY FOREMAN TOLD THE DALLAS MORNING NEWS THAT
JURORS NEVER QUESTIONED WHETHER P&G WAS GUILTY AND IMMEDIATELY BEGAN
DISCUSSING HOW MUCH TO AWARD MR HAGLER THE AWARD FOR ACTUAL DAMAGES BROKE
DOWN INTO 13 MILLION FOR DAMAGE TO MR HAGLER'S CHARACTER OR REPUTATION
200000 FOR MENTAL ANGUISH AND 100000 FOR PHYSICAL INJURY MR HAGLER'S
ATTORNEY NEAL MANNE OF THE DALLAS FIRM OF SUSMAN GODFREY SAID HIS CLIENT
BECAME DEPRESSED AFTER THE FIRING AND WAS DIAGNOSED WITH DANGEROUSLY HIGH
BLOOD PRESSURE

MR HAGLER SAYS HE HAS STRONG FEELINGS ABOUT HIS FORMER EMPLOYER I'M NOT
PROUD OF THE FACT THAT I HAD TO SUE THE COMPANY I WAS DEDICATED TO FOR 41
YEARS HE SAYS I SUED BECAUSE THEY CALLED ME A THIEF AND PUT IT ON 11
BULLETIN BOARDS IN THE PLANT I THINK P&G'S A GOOD COMPANY BUT I THINK
THEY'VE CHANGED THEY'RE NOT AS NICE TO PEOPLE AS THEY USED TO BE

 BE CERTAIN OF THE FACTS WHEN FIRING SOMEONE CONDUCT A THOROUGH
INVESTIGATION AND BRING IN EXPERTS IN EMPLOYMENT LAW AND LABOR RELATIONS
EITHER FROM CORPORATE HEADQUARTERS OR FROM THE OUTSIDE

 BE FACTUAL AND AVOID INNUENDO WHEN DISCUSSING A FIRING WITH OTHER PEOPLE
OR WHEN RECORDING WHAT HAPPENED SUCH CAUTION SHOULD EXTEND TO PERSONAL
FILES AS WELL

 TELL ONLY THOSE WHO NEED TO KNOW THE DETAILS OF A WORKER'S FIRING
LIMITING THE NUMBER OF PEOPLE WHO KNOW GIVES THE FIRED EMPLOYEE LESS
AMMUNITION FOR SUING FOR DEFAMATION OF CHARACTER IT SHOWS PROFESSIONALISM
AND GOOD FAITH ON THE PART OF THE COMPANY

 AVOID MAKING EXAMPLES OF FIRED EMPLOYEES LET THE FIRED EMPLOYEE'S
BEHAVIOR AND THE FACTS SPEAK FOR THEMSELVES THE DETAILS OF A FIRING OFTEN
SEEP OUT IN A WORKPLACE AND INDIRECTLY SERVE AS A DETERRENT

 IF AN EXAMPLE MUST BE MADE OF SOMEONE TO PREVENT SIMILAR ACTIONS BE
EXTREMELY CAREFUL IN THE WORDING OF ANY ANNOUNCEMENT ACCUSE SOMEONE OF
SOMETHING AS SERIOUS AS THEFT OR SEXUAL HARASSMENT ONLY IF YOU'RE SURE OF
THE FACTS 9305050149 930505 LEISURE & ARTS THEATER REALITY AND
FANTASY IN PRISON  BY EDWIN WILSON

NEW YORK KISS OF THE SPIDER WOMAN THE NEW MUSICAL AT THE BROADHURST
THEATRE HAS BROUGHT TOGETHER A TEAM OF EXPERIENCED PROFESSIONALS DIRECTOR
HAROLD PRINCE SONGWRITERS JOHN KANDER AND FRED EBB AND PLAYWRIGHT TERRENCE
MCNALLY THESE OLD HANDS HAVE COLLABORATED BEFORE MESSRS KANDER AND EBB
WORKED WITH MR PRINCE ON THE MUSICAL CABARET AND WITH MR MCNALLY ON THE
RINK

SPIDER WOMAN IS BASED ON THE NOVEL BY MANUEL PUIG THAT WAS ALSO MADE INTO
A FILM IN 1985 THE SETTING IS A JAIL IN A REPRESSIVE LATIN AMERICAN
COUNTRY WHERE TWO UNLIKELY CELL MATES HAVE BEEN THROWN TOGETHER MOLINA
BRENT CARVER AN UNABASHED HOMOSEXUAL AND VALENTIN ANTHONY CRIVELLO A
POLITICAL REVOLUTIONARY IN ORDER TO SURVIVE MOLINA REMINISCES ABOUT FILMS
HE REMEMBERS PARTICULARLY THOSE IN WHICH THE HEROINE IS PLAYED BY HIS
FAVORITE ACTRESS AURORA CHITA RIVERA HE HAS LIKED HER IN EVERY MOVIE SHE
HAS MADE WITH ONE EXCEPTION KISS OF THE SPIDER WOMAN IN THIS FILM EACH
PERSON SHE KISSES DIES IMMEDIATELY

IN THE MUSICAL MR PRINCE AND HIS TEAM HAVE ACHIEVED A FRIGHTENING
JUXTAPOSITION OF THE BITTER REALITY OF LIFE IN AN EXCESSIVELY CRUEL PRISON
AND THE ESCAPISM OF FANTASY AND DREAMS PRISON LIFE IS MADE ALL TOO
PALPABLE SCENE DESIGNER JEROME SIRLIN HAS CREATED A SERIES OF METAL GRILLS
THAT CROSS THE ENTIRE STAGE VERTICALLY AND HORIZONTALLY WHEN INMATES ARE
LOCKED IN THEIR CELLS THE WALLS CLOSE IN WITH A LOUD CLANG A PRISONER
TRYING TO ESCAPE CLIMBS THE BARS ALMOST TO THE CEILING ONLY TO BE CAUGHT IN
THE GLARE OF A SPOTLIGHT AND SHOT DEAD PRISONERS ARE ALSO ROUTINELY
TORTURED A FACT UNCTUOUSLY DENIED BY THE WARDEN HERNDON LACKEY TO A
VISITOR FROM AMNESTY INTERNATIONAL THIS PART OF SPIDER WOMAN IS
UNCOMPROMISING AND UNREMITTING IT IS A SERIOUS MUSICAL WITH A CAPITAL S

BUT THE OTHER SIDE THE FANTASY SIDE IS EQUALLY EFFECTIVE THANKS NOT ONLY
TO MR PRINCE'S STAGING BUT TO THE INSPIRED PRESENCE OF MS RIVERA THIS
SPARKLING PERFORMER MADE HER DEBUT AT 17 IN CALL ME MADAM THAT WAS IN THE
EARLY 1950S SO BY ALMOST ANYONE'S RECKONING SHE IS IN THE NEIGHBORHOOD OF
60 NOT ONLY THAT A FEW YEARS AGO SHE SUSTAINED A LEG INJURY IN A CAR
ACCIDENT THAT MADE IT SEEM UNLIKELY SHE WOULD EVER DANCE AGAIN BUT HERE SHE
IS DANCING UP A STORM WHETHER PLAYING THE DYING HEROINE IN A RUSSIAN
MELODRAMA OR STRUTTING HER STUFF IN WHITE FELT HAT AND TAILS SHE IS A
WONDER TO BEHOLD IT IS NO SURPRISE THAT MOLINA HAS CHOSEN HER AS THE WOMAN
HE WANTS TO ESCAPE WITH IN HIS DREAMS

THE PRISON AUTHORITIES WHO KNOW THAT MOLINA IS DEEPLY CONCERNED ABOUT HIS
ILL MOTHER OFFER TO RELEASE HIM IF HE WILL OBTAIN THE NAMES OF VALENTIN'S
COLLABORATORS THESE TWO OPPOSITES HOWEVER HAVE COME TO DEPEND ON EACH
OTHER AND MOLINA IS THEREFORE RELUCTANT TO BETRAY HIS NEW FRIEND

ALONG WITH MANY POWERFUL SCENES IN SPIDER WOMAN ARE OTHERS THAT WORK LESS
WELL AN UNFORTUNATE ROUTINE CALLED MORPHINE TANGO FOR INSTANCE HAS
ORDERLIES RUNNING AROUND IN HOSPITAL GOWNS OF A PARTICULARLY UNATTRACTIVE
GREEN HUE ALSO MR EBB'S LYRICS WHICH SHOULD SOAR WITH THE PAIN OF PRISON
LIFE OR THE ECSTASY OF THE MEN'S DREAMS TOO OFTEN ARE EARTHBOUND

A FINAL NOTE ON THE PLUS SIDE IN THE ROLE OF MOLINA MR CARVER MAKING HIS
BROADWAY DEBUT PROVES TO BE A PERFORMER OF UNCOMMON TALENT HE NOT ONLY
CAPTURES THE FEY BEHAVIOR OF MOLINA BUT HAS A FINE SINGING VOICE AND
PROJECTS UNMISTAKABLE STAGE PRESENCE WHEN HE AND MS RIVERA DANCE TOGETHER
IN A FINAL FANTASY THEY CAPTURE THE MAGIC MUSICALS WERE MEANT FOR

TWO OTHER MUSICALS HAVE OPENED RECENTLY BLOOD BROTHERS AT THE MUSIC BOX
IS A BRITISH IMPORT WITH BOOK MUSIC AND LYRICS BY WILLY RUSSELL THE
PERFORMERS IN THIS PLAY ARE ADMIRABLE STEPHANIE LAWRENCE AS A WORKINGCLASS
MOTHER CON O'NEILL AND MARK MICHAEL HUTCHINSON AS HER TWIN SONS AND JAN
GRAVESON AS LINDA THE BEST FRIEND OF THE TWO BOYS THE TWINS ARE SEPARATED
AT BIRTH ONE IS RAISED BY A WELLTODO FAMILY AND THE OTHER STAYS WITH HIS
MOTHER IN HER LOWERCLASS WORLD IN A SERIES OF UNLIKELY COINCIDENCES THE
PATHS OF THE TWO BOYS CONTINUALLY CROSS

DESPITE THE TALENT OF THE CAST AND A PLEASANT SCORE BLOOD BROTHERS FACES
DIFFICULTIES WITH AN AMERICAN AUDIENCE CLASS DIVISIONS EXEMPLIFIED BY THE
CONTRAST BETWEEN THE TWO FAMILIES ARE MUCH MORE AN ISSUE IN BRITAIN THAN IN
THE US AND THE MELODRAMATIC STYLE OF THE MUSICAL WHICH HAS A NARRATOR
WARWICK EVANS MAKING PORTENTOUS STATEMENTS ABOUT FATE MOST OF THEM IN
RHYME WILL BE MET BY CONSIDERABLE SKEPTICISM HERE

A NEW AMERICAN MUSICAL AIN'T BROADWAY GRAND AT THE LUNTFONTANNE
THEATRE IS ABOUT MIKE TODD THE LEGENDARY IMPRESARIO AND HIS ATTEMPT TO
TRANSFORM HIMSELF FROM A PRODUCER OF GIRLIE SHOWS INTO A PRESENTER OF HIGH
ART THOUGH IT IS BILLED AS A BRANDNEW 1948 MUSICAL THE PHRASE IS A
MISNOMER BECAUSE AIN'T BROADWAY GRAND IS REMINISCENT NOT OF THE LATE '40S
BUT OF THE BURLESQUE REVUES OF THE '20S AND '30S

THE MISPLACEMENT IN TIME IS NOT THE ONLY PROBLEM HOWEVER THREE OF THE
PRINCIPALS MIKE BURSTYN AS TODD DEBBIE SHAPIRO GRAVITTE AS GYPSY ROSE LEE
AND MAUREEN MCNAMARA AS TODD'S WIFE JOAN BLONDELL HAVE STRONG VOICES AND
THE CHORUS GIRLS HAVE THE REQUISITE PULCHRITUDE BUT THE MUSIC OF MITCH
LEIGH THE BOOK OF THOMAS MEEHAN AND LEE ADAMS AND THE DIRECTION OF SCOTT
HARRIS ARE ALL PAINFULLY PREDICTABLE SOMETIMES EVEN EMBARRASSING

A RECENT NONMUSICAL SHAKESPEARE FOR MY FATHER THE ONEWOMAN SHOW AT THE
HELEN HAYES THEATRE STARRING LYNN REDGRAVE IS REALLY THREE SHOWS AN
EVENING WITH SHAKESPEARE A TRIBUTE TO MS REDGRAVE'S FATHER THE EMINENT
BRITISH ACTOR SIR MICHAEL REDGRAVE AND THE ACTRESS'S ATTEMPT TO COME TO
TERMS WITH BEING THE YOUNGEST DAUGHTER IN A FAMILY OF PERFORMERS THAT GOES
BACK SEVERAL GENERATIONS IN EACH ONE OF THESE ROLES MS REDGRAVE HAS
SPARKLING MOMENTS THE PROBLEM IS THAT SHE HAS NOT MERGED THE THREE INTO A
SINGLE DRAMATIC ENTITY THE MOMENTS WHEN SHE MIMICS ARTISTS SHE HAS WORKED
WITH NOEL COWARD EDITH EVANS MAGGIE SMITH ARE THE MOST ENTERTAINING
AND THE ONES WHEN SHE FACES HER PAST THE SPECTER OF HER UNLOVING
UNCARING FATHER ARE THE MOST MEANINGFUL 9305050148 930505 REVIEW &
OUTLOOK EDITORIAL THE PRESIDENT'S HYPERBOLE'

A JOKE FROM THE 1970S ASKED HOW MANY FEMINISTS DOES IT TAKE TO SCREW IN A
LIGHT BULB

THE PUNCH LINE THAT'S NOT FUNNY

MAYBE PRESIDENT CLINTON IS EMPLOYING SOME OF THOSE FEMINISTS TO WRITE HIS
ONELINERS BECAUSE HIS ATTEMPT LAST SATURDAY NIGHT TO SKEWER SOME OF HIS
CRITICS INCLUDING US HAS INSTEAD BECOME A JOKE ON HIS OWN OVERSERIOUSNESS
MAYBE IT'S TIME TO CALL UP THE GIPPER FOR ADVICE ON THE ART OF SELFMOCKERY

MR CLINTON MADE HIS COMIC DEBUT AT THE WHITE HOUSE CORRESPONDENTS' DINNER
AN ANNUAL BELTWAY EVENT WHERE THE PRESS GETS TO POKE FUN AT THE PRESIDENT
AND OTHER POTENTATES AND VICE VERSA MR CLINTON'S FIRST MISTAKE WAS TO
LAMBASTE RATHER THAN LAMPOON KANSAS REPUBLICAN BOB DOLE

SENATOR DOLE AND ALL THOSE REPUBLICANS SAID YOU JUST DON'T UNDERSTAND 
THIS THING IS FULL OF PORK IT'S A DADGUM SCANDAL' I WAS APPALLED AND THEN
I READ YESTERDAY IN THE WALL STREET JOURNAL ABOUT A SENATOR FROM KANSAS WHO
ASKED FOR 23 MILLION OF THAT MONEY TO CONVERT A SENIOR CITIZENS' CENTER TO
A BOATHOUSE IN KANSAS MR CLINTON SAID THEN CAME THE PUNCH LINE HE WAS
RIGHT AFTER ALL

IT TURNS OUT THAT THE WICHITA SENIOR CENTER WAS BUILT 13 YEARS AGO AT A COST
TO TAXPAYERS OF 500000 WHEN THE CENTER RELOCATED LAST YEAR MR DOLE
WROTE A LETTER ASKING THE FEDS TO WAIVE ITS INTEREST SO THE THENVACANT
BUILDING COULD BE GIVEN TO A NONPROFIT GROUP THAT WANTED TO USE PRIVATE
MONEY TO TURN IT INTO A BOATHOUSE AS A MATTER OF FACT THE WALL STREET
JOURNAL STORY ITSELF MADE NO MENTION OF A 23 MILLION FIGURE

MR DOLE WHO WASN'T AT THE DINNER FOUGHT BACK ON MONDAY DENOUNCING THE
WHITE HOUSE'S 23 MILLION LIE IN A PRESS RELEASE MR DOLE WASN'T
AMUSED BY MONDAY THE WHITE HOUSE'S MADCAP QUIPSTERS ISSUED WHAT MUST BE
HISTORY'S FIRST APOLOGY FOR A PRESIDENTIAL JOKE THE PRESIDENT REGRETS THE
MISUNDERSTANDING THAT MAY HAVE BEEN CAUSED BY ANY HYPERBOLE IN HIS JOKES
SAID A WHITE HOUSE STATEMENT AT LEAST MR CLINTON DIDN'T ASK JANET RENO TO
TAKE RESPONSIBILITY

OR DID HE ON SATURDAY THE PRESIDENT'S COMIC SUBTLETY WAS ALSO TURNED ON
RUSH LIMBAUGH THE RADIO PUNDIT WHO HAS BEEN KNOWN TO POKE FUN AT THE WHITE
HOUSE MR CLINTON NOTED THAT HE WAS SURPRISED TO HEAR THAT MR LIMBAUGH HAD
DEFENDED MS RENO AFTER SHE'D BEEN ATTACKED LAST WEEK BY REP JOHN CONYERS
THE MICHIGAN DEMOCRAT OVER HER WACO PERFORMANCE THE PRESIDENT SAID THAT
MR LIMBAUGH ONLY DID IT BECAUSE SHE WAS ATTACKED BY A BLACK GUY

EVEN THE ASSEMBLED LIBERAL PRESS GROANED AND OF COURSE RUSH LIMBAUGH GOT
THE CHANCE TO REPLY MONDAY I WOULD LIKE TO APOLOGIZE FOR DARING TO COME TO
THE DEFENSE OF A WHITE MEMBER OF YOUR CABINET KNOWING THE CULTURAL VIEWS OF
YOU AND PEOPLE IN YOUR ADMINISTRATION I SHOULD HAVE KNOWN THAT TO DEFEND A
WHITE PERSON IN A CONFRONTATION WITH A BLACK PERSON IS AUTOMATICALLY
RACIST

THEN THERE'S US MR CLINTON ALSO SAID SATURDAY THAT HE WAS BEING CRITICIZED
FOR PURSUING A FAILED ECONOMIC POLICY BY THE WALL STREET JOURNAL
EDITORIAL PAGE WHICH HE SAID WE'RE PARAPHRASING HELPED TO TURN A 1
TRILLION DEBT INTO A 4 TRILLION DEBT IN THE 1980S

WE APPRECIATE THE NOTICE BUT WE FEAR THE JOKE'S ONCE AGAIN ON THE
PRESIDENT WE ASSUME THAT MR CLINTON IS BLAMING US FOR THE REAGAN TAX CUTS
WHICH WE SUPPORTED WELL BEFORE MR REAGAN ADOPTED THEM FOR THE CURRENT
FEDERAL DEFICIT BUT AS OUR OLDRELIABLE CHART NEARBY SHOWS FEDERAL
REVENUES FROM TAXES AS A SHARE OF THE ECONOMY HAVEN'T CHANGED MUCH SINCE
1980 OR FOR THAT MATTER SINCE THE 1950S SEE ACCOMPANYING ILLUSTRATION 
WSJ MAY 5 1993 BUT NOTE HOW FEDERAL OUTLAYS BROKE OUT OF THEIR HISTORIC
PATTERN RISING STEADILY THROUGH THE 1970S AND 1980S

IT'S THE SPENDING MR PRESIDENT AND INCIDENTALLY WE'RE FIRST IN LINE
SUPPORTING A STRONG LINEITEM VETO WHICH WOULD HELP YOU DO SOMETHING ABOUT
THAT SPENDINGDRIVEN DEFICIT

THE FACT IS THE JOKE WILL BE ON THE PRESIDENT IF HE REALLY THINKS HE CAN
TAME THE DEFICIT THROUGH HIGHER TAXES THE REVENUES HE EXPECTS WON'T
MATERIALIZE AND SPENDING WILL GO ONWARD AND UPWARD AS WILL THE DEFICIT WE
AGREE WITH THE FEMINISTS THAT'S NOT FUNNY 9305050147 930505 COOPER TIRE
SHARE INCREASE

FINDLAY OHIO COOPER TIRE & RUBBER CO SAID SHAREHOLDERS APPROVED A
DOUBLING IN THE COMPANY'S AUTHORIZED COMMON SHARES TO 300 MILLION

A SPOKESMAN FOR THE TIRE MAKER SAID THE ADDITIONAL SHARES WOULD BE AVAILABLE
FOR GENERAL CORPORATE PURPOSES AT MARCH 6 COOPER TIRE HAD 835 MILLION
SHARES OUTSTANDING 9305050146 930505 RULE OF LAW THE NEW SOLICITOR
GENERAL AND THE POWER OF THE AMICUS  BY JOHN G ROBERTS JR

NOW THAT THE CLINTON ADMINISTRATION HAS SETTLED UPON A NOMINEE FOR SOLICITOR
GENERAL YALE LAW PROFESSOR DREW DAYS FORMER HEAD OF THE CIVIL RIGHTS
DIVISION UNDER PRESIDENT CARTER THERE IS SPECULATION ABOUT THE CHANGES HE
WILL BRING TO THE TASK OF REPRESENTING THE UNITED STATES BEFORE THE SUPREME
COURT THE ANSWER IS THAT IN MOST CASES THERE WILL BE NO CHANGE AT ALL THE
BULK OF WHAT THE GOVERNMENT'S CHIEF LITIGATOR DOES BEFORE THE COURT 
DEFENDING FEDERAL STATUTES PROGRAMS AND CONVICTIONS GENERALLY CONTINUES
UNCHANGED FROM ONE ADMINISTRATION TO THE NEXT

CHANGE WILL BE EVIDENT HOWEVER IN THE AREA OF AMICUS BRIEFS BRIEFS THE
SOLICITOR GENERAL FILES TO EXPRESS THE GOVERNMENT'S VIEWS IN CASES TO WHICH
THE GOVERNMENT IS NOT A PARTY THE SIGNIFICANCE OF THIS ACTIVITY IS NOT
WIDELY APPRECIATED WHILE THE UNITED STATES IS A PARTY IN ROUGHLY ONETHIRD
OF THE CASES HEARD ON THE MERITS BY THE SUPREME COURT IT PARTICIPATES AS
AMICUS IN HALF OF THE REMAINING TWOTHIRDS DURING THE LAST TERM OF THE
COURT THE SOLICITOR GENERAL FILED MORE OFTEN AS AN AMICUS THAN AS A PARTY

THE STATISTICS SUGGEST THESE AMICUS BRIEFS HAVE AN IMPACT WHILE THERE IS NO
WAY TO PROVE THAT THE SOLICITOR GENERAL'S POSITION HELPED LEAD TO THE
OUTCOME IN ANY PARTICULAR CASE STUDIES SHOW THAT THE SIDE THE GOVERNMENT
SUPPORTS AS AMICUS PREVAILS ABOUT 75 OF THE TIME MORE OFTEN THAN THE
GOVERNMENT PREVAILS IN ITS OWN CASES GOVERNMENT AMICUS SUPPORT CAN ALSO BE
CRITICAL IN CONVINCING THE SUPREME COURT TO HEAR A CASE IN THE FIRST PLACE
WHOM THE NEW SOLICITOR GENERAL DECIDES TO SUPPORT AND IN WHICH CASES 
CAN PLAY A SIGNIFICANT ROLE IN SHAPING THE IMPACT OF THE SUPREME COURT
DURING PRESIDENT CLINTON'S TERM

THE NEW ADMINISTRATION ALREADY HAS MADE SOME CHANGES WITHOUT WAITING FOR MR
DAYS'S CONFIRMATION LAST WEEK THE JUSTICE DEPARTMENT FILED AMICUS BRIEFS IN
TWO CASES PENDING BEFORE THE COURT ON WHETHER THE CIVIL RIGHTS ACT OF 1991
APPLIES RETROACTIVELY UNDER PRESIDENT BUSH THE JUSTICE DEPARTMENT HAD
ARGUED THAT THE LAW DID NOT APPLY RETROACTIVELY A POSITION THAT PREVAILED
IN MOST OF THE FEDERAL CIRCUIT COURTS TO ADDRESS THE QUESTION THE CLINTON
JUSTICE DEPARTMENT ARGUES THAT IT DOES

SOME FORTHCOMING CHANGES ARE OBVIOUS THE BUSH JUSTICE DEPARTMENT FILED
AMICUS BRIEFS IN SOME NOT ALL CASES IN WHICH STATES SOUGHT TO DEFEND THEIR
ABORTION REGULATIONS THE ONLY QUESTION HERE IS WHETHER THE NEW SOLICITOR
GENERAL WILL SIMPLY STAY OUT OF SUCH CASES OR ACTIVELY SUPPORT THOSE
CHALLENGING STATE LAWS

CHANGES IN OTHER AREAS ARE LESS CERTAIN BUT LIKELY FOR EXAMPLE THE BUSH
ADMINISTRATION ARGUED AS AMICUS AGAINST QUOTAS AND RACIAL SETASIDES DURING
HIS TIME IN THE CARTER ADMINISTRATION PROF DAYS SUPPORTED SUCH PROGRAMS
ONE OF HIS ORAL ARGUMENTS BEFORE THE SUPREME COURT WAS A SUCCESSFUL DEFENSE
OF A FEDERAL PROGRAM SETTING ASIDE 10 OF CERTAIN GOVERNMENT CONTRACTS FOR
MINORITY BUSINESS ENTERPRISES IT SEEMS PROBABLE THAT HE WILL TRY TO
REESTABLISH THE RACECONSCIOUS POLICIES OF THE CARTER ERA ABANDONING HIS
PREDECESSORS'S COLORBLIND APPROACH

BUT PERHAPS THE MOST SIGNIFICANT CHANGE IN THE WORK OF THE OFFICE OF THE
SOLICITOR GENERAL WILL COME NOT IN WHAT IT DOES BUT WHAT IT DOES NOT DO
UNDER BUSH SOLICITOR GENERAL KEN STARR THE OFFICE REGULARLY FILED AMICUS
BRIEFS SUPPORTING THE STATES IN SELECTED CRIMINAL CASES THE FEDERAL
GOVERNMENT ASSISTED THE STATES IN DEFENDING CHALLENGES TO THE IMPOSITION OF
THE DEATH PENALTY SEEKING TO LIMIT THE AVAILABILITY OF REPETITIVE HABEAS
CORPUS PETITIONS ARGUING IN FAVOR OF CONSTRAINING THE SCOPE OF THE
EXCLUSIONARY RULE AND DEFENDING THE RIGHT OF VICTIMS TO TESTIFY AT
SENTENCING THE SOLICITOR GENERAL SUPPORTED STATE EFFORTS TO SECURE THE
ADMISSION OF EVIDENCE IN CHILD ABUSE CASES TO ATTACK DRUNK DRIVING THROUGH
SOBRIETY CHECKPOINTS AND TO SAFEGUARD POLICE ON THE FRONT LINES BY
DEFENDING THE VALIDITY OF PROTECTIVE SWEEPS WHEN OFFICERS ENTER A DWELLING
TO MAKE A VALID ARREST

BY MY COUNT SUCH CRIMINALLAW AMICUS BRIEFS CONSTITUTED ONETHIRD OF THE
OFFICE'S AMICUS FILINGS IN THE PAST THREE TERMS OF THE COURT THE OFFICE
CERTAINLY DID NOT SUPPORT THE STATES REFLEXIVELY AND OFTEN REFUSED TO DO SO
WHEN THE LAW SIMPLY DID NOT JUSTIFY SUCH SUPPORT BUT WHEN IT DID THE
STATES COULD EXPECT THE FEDERAL GOVERNMENT TO LEND A HAND BY FILING AMICUS
BRIEFS SENDING ONE OF ITS LAWYERS TO PARTICIPATE IN ORAL ARGUMENT ON THE
STATE'S SIDE AND ASSISTING IN THE PREPARATION OF THE STATE'S OWN COUNSEL

SUCH AMICUS SUPPORT IS PARTICULARLY IMPORTANT BECAUSE THE STATES WHOSE
CRIMINAL JUSTICE SYSTEMS ARE TAXED TO THE BREAKING POINT AND BEYOND OFTEN
ARE UNABLE TO DEVOTE ADEQUATE RESOURCES TO LITIGATING BEFORE THE SUPREME
COURT AND TYPICALLY FIND EXPERIENCED ADVERSARIES LIKE THE ACLU ARRAYED
AGAINST THEM ALTHOUGH RESPONSIBILITY FOR STEMMING THE TIDE OF VIOLENT CRIME
RESTS LARGELY WITH THE STATES UNDER OUR FEDERAL SYSTEM THE FEDERAL
GOVERNMENT CAN AT LEAST HELP ENSURE THAT THE STATES ARE NOT HAMPERED IN
THEIR EFFORTS BY ERRONEOUS CONSTRUCTIONS OF THE CONSTITUTION

IT IS UNCLEAR WHETHER MR DAYS WILL CONTINUE TO LEND THE SUPPORT OF THE
FEDERAL GOVERNMENT TO THE STATES IN THIS AREA HE APPARENTLY HAS NO
OBJECTION TO AMICUS PARTICIPATION BY THE OFFICE AS A GENERAL MATTER
DESCRIBING SUCH ACTIVITY AS AN IMPORTANT AND INTEGRAL PART OF THE CIVIL
RIGHTS DIVISION ENFORCEMENT PROGRAM WHEN HE HEADED THAT DIVISION UNDER
PRESIDENT CARTER

THE LAST TIME THERE WAS A CHANGE FROM A CONSERVATIVE REPUBLICAN SOLICITOR
GENERAL TO A LIBERAL DEMOCRATIC ONE HOWEVER SUPPORT FOR THE STATES IN
CRIMINAL LAW CASES FELL OFF ACCORDING TO ONE 1983 STUDY CARTER SOLICITOR
GENERAL WADE MCCREE FILED MARKEDLY FEWER AMICUS BRIEFS SUPPORTING THE STATES
IN CRIMINAL CASES THAN HIS PREDECESSOR ROBERT BORK BOTH IN ABSOLUTE TERMS
AND AS A PERCENTAGE OF ALL AMICUS FILINGS

THE QUESTION IS ONE OF PRIORITIES AND HOW THE NEW SOLICITOR GENERAL INTENDS
TO ALLOCATE THE RESOURCES AT HIS DISPOSAL THE LEGAL POSITIONS ADVOCATED BY
THE STATES IN THEIR CRIMINAL CASES DO NOT ALWAYS WARRANT SUPPORT AND THE
FINAL WORD IN ANY EVENT RESTS WITH THE SUPREME COURT BUT WHETHER THE NEW
SOLICITOR GENERAL CONTINUES TO SUPPORT THE STATES AS HIS PREDECESSOR HAS OR
ALLOWS THAT SUPPORT TO DISSIPATE SHOULD PROVIDE SIGNIFICANT INSIGHT INTO
THE NEW ADMINISTRATION'S APPROACH TO CRIMINAL JUSTICE

MR ROBERTS A WASHINGTON ATTORNEY WAS PRINCIPAL DEPUTY SOLICITOR GENERAL
19891993 9305050145 930505 FIRST SECURITY CORP ACQUISITION

SALT LAKE CITY FIRST SECURITY CORP SAID IT AGREED TO ACQUIRE CONTINENTAL
BANCORP OF LAS VEGAS THE TERMS OF THE STOCK TRANSACTION WEREN'T DISCLOSED

FIRST SECURITY WILL ACQUIRE CONTINENTAL AND ITS TWO SUBSIDIARIES
CONTINENTAL NATIONAL BANK AND CONTINENTAL TRUST CO AT YEAREND 1992
CONTINENTAL HAD CONSOLIDATED ASSETS OF 1834 MILLION DEPOSITS OF 1725
MILLION AND LOANS OF 1094 MILLION THE BANK HOLDING COMPANY SAID IT
EXPECTS TO COMPLETE THE DEAL SUBJECT TO REGULATORY APPROVAL BY LATE 1993
9305050144 930505 TENNECO PLANS DEBT PAYMENT

HOUSTON TENNECO INC SAID IT WILL MAKE A 166 MILLION PRINCIPAL AMOUNT
MANDATORY SINKING FUND PAYMENT AND A 249 MILLION PRINCIPAL AMOUNT OPTIONAL
SINKING FUND PAYMENT ON JUNE 15

THE PAYMENTS WILL IN EFFECT REDEEM ALL OF THE OUTSTANDING TENNESSEE GAS
PIPELINE CO 95 DEBENTURES DUE 2004 AT A REDEMPTION PRICE OF 100 OF THE
PRINCIPAL AMOUNT OUTSTANDING INTEREST PAYABLE ON THE DEBENTURE JUNE 15 WILL
BE PAID TO DEBENTURE HOLDERS IN THE USUAL MANNER 9305050143 930505
PEPPERAND SALT

CONVERSATION WITH A STRANGER

HAVE BEEN HIT WITH A CURSE

THEY SAY THEY'VE HAD WORSE

MOTHER'S CLOUT RAISER'S EDGE 9305050142 930505 INTERNATIONAL LEVI
STRAUSS LEAVING CHINA PASSES CROWD OF FIRMS GOING THE OTHER WAY  
BY SALLY D GOLL AND LAURENCE ZUCKERMAN STAFF REPORTERS OF THE WALL STREET
JOURNAL

HONG KONG LEVI STRAUSS & CO'S DECISION TO BACK AWAY FROM BUSINESS IN
CHINA IS IN STARK CONTRAST TO OTHER US COMPANIES THAT ARE LOBBYING
WASHINGTON TO SEPARATE TRADE FROM CONCERNS OVER HUMAN RIGHTS

INDEED FEW BELIEVE LEVI'S ACTION WILL BE THE START OF A STAMPEDE OUT OF
CHINA IT IS AN ISOLATED INCIDENT AND WILL HAVE VIRTUALLY NO IMPACT
WHATSOEVER ON WHAT OTHER COMPANIES DO IN CHINA SAYS FRANK MARTIN
PRESIDENT OF THE AMERICAN CHAMBER OF COMMERCE IN HONG KONG

WITH SCORES OF INTERNATIONAL CONSUMER PRODUCTS COMPANIES RUSHING TO GAIN A
FOOTHOLD IN CHINA'S POTENTIALLY MASSIVE CONSUMER MARKET LEVI'S ANNOUNCEMENT
THAT IT WILL PHASE OUT ITS SUBCONTRACTED PRODUCTION IN CHINA PERPLEXED MANY
PEOPLE HERE IN HONG KONG

I CAN'T FIGURE IT OUT I REALLY HAVE NO IDEA WHAT LEVI IS DOING SAYS NEAL
LAURIDSEN VICE PRESIDENT ASIAPACIFIC FOR SPORT SHOE MAKER NIKE INC
EVERYBODY I TALK TO SEEMS TO BE GOING FORWARD

FOR EXAMPLE ON TUESDAY ANGLODUTCH CONSUMERPRODUCTS GIANT UNILEVER PLC
SAID IT WAS EXPANDING ITS INVESTMENT IN CHINA BY SETTING UP TWO NEW JOINT
VENTURES THE NEW VENTURES ONE FOR ICE CREAM AND ONE FOR DETERGENT WILL
HAVE A TOTAL INITIAL INVESTMENT OF 60 MILLION

MR MARTIN SAYS LEVI'S PLANS CAN'T BE COMPARED WITH CAMPAIGNS AGAINST DOING
BUSINESS IN SOUTH AFRICA IN THAT CASE YOU HAD A TREMENDOUS CONSUMER
BACKLASH HE SAID THAT IS SIMPLY NOT THE CASE WITH CHINA THERE IS STILL
VERY STRONG CONSUMER DEMAND FOR GOODS MADE IN CHINA

A LONE INCIDENT OR NOT LEVI'S TIMING HAS MAGNIFIED THE MOVE COMING AT THE
START OF THE ANNUAL DEBATE OVER WHETHER THE US SHOULD EXTEND CHINA'S
MOSTFAVOREDNATION TRADING STATUS DUE TO EXPIRE JUNE 3

MANY US BUSINESSES HAVE A TREMENDOUS INTEREST IN SEEING THAT CHINA KEEPS
ITS FAVORED TRADE STATUS WHICH ALLOWS FOR THE LOWEST POSSIBLE TARIFFS
BUSINESS LEADERS IN HONG KONG HAVE EVEN MADE SUGGESTIONS TO BEIJING ON WHAT
CHINA COULD DO TO IMPROVE CHANCES FOR RENEWAL SUCH AS LETTING THE
INTERNATIONAL RED CROSS VISIT CHINESE PRISONS AND STOPPING MASS ARRESTS

ALTHOUGH THE LEVI NEWS JOLTED CHINA WATCHERS IN HONG KONG MANY BUSINESS
PEOPLE QUESTIONED WHETHER LEVI IS REALLY EXITING FROM THE MARKET IN A
SIGNIFICANT WAY WHILE RULING OUT ANY DIRECT INVESTMENT IN CHINA SUBJECT TO
AN IMPROVEMENT IN ITS HUMAN RIGHTS RECORD LEVI APPEARS TO BE SACRIFICING
LITTLE IT HAS NO INVESTMENTS IN THE COUNTRY AT THE MOMENT AND ONLY A SMALL
PORTION OF ITS PRODUCTION IS CURRENTLY LOCATED THERE FURTHERMORE THE
COMPANY HAS ALSO SAID THAT IT WILL CONTINUE TO PURCHASE CHINESE FABRIC AND
WILL CONTINUE TO ALLOW DISTRIBUTOR JARDINE MARKETING SERVICES TO SELL ITS
CLOTHES

STILL MOST OF THE CONSTERNATION COMES FROM THE WAY LEVI IS BREAKING A BASIC
MARKETING CREDO THE EARLIER YOU ESTABLISH YOUR BRAND NAME IN AN EMERGING
MARKET THE GREATER YOUR MARKET SHARE WILL BE

BY LIMITING THE SUPPLY OF ITS PRODUCTS IN CHINA LEVI MAY INADVERTENTLY
ENCOURAGE THE GROWTH OF A PARALLEL MARKET IN SMUGGLED OR COUNTERFEIT GOODS
THE COMPANY HAS ALREADY BEEN HURT BY COUNTERFEITING IN CHINA AND OTHER
DEVELOPING MARKETS

THEY'RE GOING TO LOSE OPPORTUNITIES IN THE MARKET WHICH SOMEONE ELSE WILL
FILL SAYS PHILIP E DAY DIRECTOR OF PACRIM A HONG KONGBASED CONSULTING
FIRM THEY OBVIOUSLY HAVE THEIR OWN SOUND REASONS AND HAVE WEIGHED THE
ISSUES WHATEVER THEY PERCEIVE THEM TO BE SAYS MR DAY BUT THEY RUN THE
RISK OF BEING BEHIND OTHER PLAYERS IF AND WHEN THEY DECIDE TO REENTER THE
MARKET

SHOULD THAT DAY COME LEVI ALSO MAY FACE A HOSTILE RECEPTION FROM THE
CHINESE GOVERNMENT INDEED THERE IS A DANGER THAT LEVI MAY PERMANENTLY
TARNISH ITS NAME WITH CHINESE AUTHORITIES MAKING IT EXTREMELY DIFFICULT FOR
THE COMPANY TO OPEN PRODUCTION FACILITIES IN THE COUNTRY WITHOUT SUCH
FACILITIES EXECUTIVES SAY IT WILL BE DIFFICULT FOR LEVI TO MARKET ITS
PRODUCTS ON A LARGE SCALE IN CHINA WHICH IMPOSES STIFF TARIFFS ON IMPORTED
APPAREL

THEY HAVE ELEPHANTINE MEMORIES SAYS MR WRIGHT OF CHINESE OFFICIALS
THEY DON'T TEND TO FORGET THESE THINGS 9305050141 930505 LETTERS TO THE
EDITOR CANCER STUDIES 30 YEARS OF DEAD RATS

BILL MOYERS CLAIMS MY DEFENSE OF FARM CHEMICALS AND HIGHYIELD FARMING IS
TIRED IN HIS APRIL 13 LETTER TO THE EDITOR DISPUTING MY OBSERVATIONS IN
FRONTLINE' PERPETUATES PESTICIDE MYTHS EDITORIAL PAGE APRIL 1 HERE'S
SOME BRAND NEW INFORMATION FOR MR MOYERS

THE NATIONAL INSTITUTES OF HEALTH AT THIS MOMENT HAS AN EXPERT PANEL
EXAMINING THE ENTIRE 30YEAR HISTORY OF CANCER TESTING THE PANEL HAS
ALREADY AGREED THAT FEEDING RATS NEARTOXIC DOSES OF CHEMICALS DOES NOT
ACCURATELY MEASURE RISKS TO HUMANS STUDIES OF EXPOSED POPULATIONS AND THE
NEW DNA TESTS SIMPLY DO NOT BEAR OUT THE RESULTS OF THE RAT FEEDING THE
RADICAL SKEWING OF THE RATS' DIETS IN ITSELF HAS APPARENTLY CAUSED CELL
DIVISION AND TUMORS THE NIH PANEL IS DEBATING WHETHER ONETHIRD OF THE
ITEMS ON OUR CANCER LIST DON'T BELONG THERE OR WHETHER IT IS EVEN MORE
LIKE TWOTHIRDS

VIRTUALLY ALL OF THE CANCER HEADLINES MR MOYERS REMEMBERS SO FONDLY FROM
CRANBERRIES TO ALAR HAVE DERIVED FROM THESE NEARTOXIC RAT TESTS WHAT IF
WE HAD ESTIMATED THE EXPECTED HUMAN EXPOSURE TO THESE COMPOUNDS AND FED THE
RATS AT A REASONABLE SAFETY MULTIPLE 100 TIMES 500 TIMES WOULD ANY
PESTICIDES BE ON THE CANCER LIST DO ANY BELONG THERE

MR MOYERS IS PLAYING CHEMOPHOBE ACTIVIST RATHER THAN JOURNALIST EVEN IN
HIS LETTER HE FORGETS THAT THE WORLD FOOD SYSTEM HAS TO FEED A RISING
NUMBER OF PEOPLE DESPITE BUGS THAT ARE AS VORACIOUS AS EVER HE CITES THE
RISING TOLL OF CROPS LOST TO PESTS AS AN INDICTMENT OF PESTICIDES RATHER
IT IS AN EXAMPLE OF THE VORACITY AND ADAPTABILITY OF INSECTS

THE WORLD MUST TRIPLE THE OUTPUT OF LAND AND WATER IN WORLD AGRICULTURE OVER
THE NEXT 40 YEARS OTHERWISE WE WILL FACE FAMINE AND LOSE MILLIONS OF SQUARE
MILES OF WILDLIFE HABITAT THAT'S NOT A TIRED ARGUMENT IT'S REALITY

ORGANIC FARMING CAN'T DO THIS FARMING WITHOUT PESTICIDES CAN'T DO THIS AT
LEAST NOT WITH TODAY'S KNOWLEDGE EVEN AMERICA'S SURPLUS FARM OUTPUT WILL
BE NEEDED IN THIS EFFORT ANY FOOD WE SAVE FROM THE BUGS LETS US SAVE MORE
WILDLIFE HABITAT FROM THE PLOW

DOES MR MOYERS REALLY EXPECT THAT HIS NATIONWIDE INDICTMENT OF CHEMICALS
AND WEAK FEDERAL REGULATORS WILL ENCOURAGE RESEARCHERS TO DEVELOP NEW PEST
CONTROLS AND KEEP THE BUGS FROM WINNING THE ULTIMATE VICTORY OR WILL IT
PUSH AMERICA'S RESEARCHERS WHO LEAD THE INDUSTRY WORLDWIDE TOWARD MISSIONS
WITH HIGHER PUBLIC APPROVAL RATINGS AND MORE GOVERNMENT FUNDING

FROM THE PUBLIC HEALTH STANDPOINT SCIENCE HAS ESTABLISHED THAT 9999 OF
OUR LOW FOOD CANCER RISK IS IN THE FOODS THEMSELVES MOREOVER THE HEALTH
PROFESSION NOW BELIEVES THAT THE BEST WAY TO PROTECT OURSELVES FROM BOTH
CANCER AND HEART DISEASE IS TO EAT LOTS MORE FRUITS AND VEGETABLES EVEN
IF THEY HAVE PESTICIDE RESIDUES DOES MR MOYERS THINK A PESTICIDEDAMNING
PROGRAM IN OUR CHILDREN'S FOOD WILL STIMULATE MOTHERS TO BUY MORE FRUITS
AND VEGETABLES HIS ORGANIC FARMING SOLUTION CAN'T PRODUCE LOWCOST
ABUNDANT AND ATTRACTIVE PRODUCE

I STAND CORRECTED BY MR MOYERS AND THE NEW METAANALYSIS HE CITES ON
LEUKEMIA RATES IN FARMERS IT INDICATES THAT FARMERS DO HAVE A SOMEWHAT
HIGHER RISK OF LEUKEMIA AND SEVERAL OTHER CANCERS THAN NONFARMERS BUT THE
REPORT GOES ON TO SAY THE EXCESSES  WERE SMALL AND SOME INDIVIDUAL
STUDIES SHOWED DEFICITS IT REMAINS TRUE THAT FARMERS AND FARM WORKERS HAVE
ONLY 90 OF THE CANCER RISK OF THE GENERAL PUBLIC IF FRONTLINE HAD REPORTED
EVEN THIS STUDY OBJECTIVELY AND MR MOYERS MAKES IT THE PIVOTAL POINT OF
HIS DEFENSE THEY WOULD HAVE HAD NO PROGRAM WORTH THEIR NIELSEN RATINGS

I DO NOT BELIEVE THAT MR MOYERS ADEQUATELY INVESTIGATED REVIEWED OR
ACCURATELY REPORTED THE MCFARLAND CALIF CANCER CLUSTER IT WAS STUDIED BY
THE CALIFORNIA DEPARTMENT OF HEALTH SERVICES AND THE AGENCY'S CONCLUSION
WAS THAT NO CAUSAL RELATIONSHIP COULD BE DRAWN BETWEEN SYNTHETIC PESTICIDES
AND THE 13 CANCER CASES THAT OCCURRED OVER MORE THAN A DECADE

CALIFORNIA HAS A LAW REQUIRING PHYSICIANS TO REPORT ILLNESSES SUSPECTED TO
BE PESTICIDE RELATED MR MOYERS SHOULD ALSO LOOK AT THAT DATA AS IT SHOWS
THAT AGRICULTURAL WORKERS ARE REPORTING FEWER ILLNESSES IN THE PAST FEW
YEARS 9305050140 930505 RETAILING TANDY BUCKS RETAIL TREND THINKS
SMALL  BY LAURA JOHANNES STAFF REPORTER OF THE WALL STREET JOURNAL

FORT WORTH TEXAS TANDY CORP IN A CONTRARIAN GAMBIT PLANS TO OPEN A
NEW ARRAY OF SMALL ELECTRONICS AND COMPUTER STORES AT A TIME WHEN MOST
ELECTRONICS RETAILERS INCLUDING TANDY ITSELF ARE MOVING INCREASINGLY TO
BIGGER FORMATS

THE BIG RETAILER SAID IT WILL TARGET IMPULSE BUYERS AND CUSTOMERS IN MAJOR
METROPOLITAN AREAS WHO DON'T WANT TO TRAVEL TO LARGER STORES THE PLAN
INVOLVES OPENING SEVERAL DOZEN SMALLER VERSIONS OF ITS FLAGSHIP RADIO SHACK
STORES AS WELL AS SLIMMEDDOWN SATELLITE BRANCHES OF ITS COMPUTER CITY
SUPERSTORES WHICH CURRENTLY AVERAGE ABOUT 25000 SQUARE FEET

ALTHOUGH TANDY AND ITS CHAIRMAN JOHN ROACH SOMETIMES SEEM TO BE ENGAGED IN
A PERPETUAL EXPERIMENT ABOUT HOW BEST TO SERVE CONSUMERS THE MOVE THE
FIRST BIG INITIATIVE SINCE TANDY ANNOUNCED PLANS TO SPIN OFF ITS
MANUFACTURING OPERATIONS TOOK MANY ANALYSTS BY SURPRISE INDEED ONLY A
YEAR AGO TANDY SEEMED DETERMINED TO GO IN THE OTHER DIRECTION ANNOUNCING
PLANS TO OPEN A SERIES OF 160000SQUAREFOOT OUTLETS KNOWN AS INCREDIBLE
UNIVERSE

I MUST BE MISSING SOMETHING IT SEEMS SO OBVIOUS TO ME THAT EVERYONE IS
MOVING AWAY FROM SMALL STORES SAID LAURA CURRAN SENIOR ANALYST AT MERRIN
INFORMATION SYSTEMS

EVEN IF THE STORES OFFER COMPETITIVE PRICES AS TANDY SAYS THEY WILL MS
CURRAN ARGUES THAT THE PSYCHOLOGICAL FACTOR IS IMPORTANT BIG WAREHOUSES
MAKE PEOPLE FEEL LIKE THEY ARE GETTING GOOD BUYS

BUT OTHER ANALYSTS PREDICTED TANDY'S NEW CONCEPT WILL PROVE TO BE A GOOD
COMPLEMENT TO ITS LARGER FORMATS I GIVE THE COMPANY CREDIT FOR TRYING TO
REJUVENATE ITS RETAIL OPERATIONS SAID ROBERT ROTH A SECURITIES ANALYST
FOR MERRILL LYNCH & CO BESIDES HE SAID CONVENIENCE IS TANDY'S TRADITIONAL
STRENGTH THE PLAN HE SAID IS AN INTERESTING EXPERIMENT THAT ADDS TO THE
UPSIDE POTENTIAL OF THE STOCK

IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY TANDY SHARES
ROSE 375 CENTS TO CLOSE AT 30 A SHARE

THERE IS LITTLE ARGUMENT THAT TANDY NEEDS TO DO SOMETHING TO JUMPSTART
SLUGGISH SALES IN 1992 REVENUE ROSE JUST 6 TO 393 BILLION FROM 37
BILLION FOR THE COMPANY OVERALL WITH LACKLUSTER GROWTH FROM THE 7000STORE
RADIO SHACK CHAIN

DESPITE YESTERDAY'S ANNOUNCEMENT A TANDY SPOKESMAN SAID THE COMPANY ISN'T
BACKING AWAY FROM ITS STRATEGY OF ROLLING OUT LARGE NUMBERS OF GIANT RETAIL
OUTLETS IN THE NEAR FUTURE JUST LAST MONTH THE COMPANY REPORTED PLANS TO
OPEN 16 COMPUTER CITY STORES PER YEAR WITH SALES EXPECTED TO APPROACH 1
BILLION IN 1994 AT THE SAME TIME TANDY SAID IT WANTS TO EXPAND TO 17
INCREDIBLE UNIVERSE STORES BY THE END OF 1995 FROM TWO CURRENTLY SUCH
STORES OFFER A VAST SELECTION OF HOME APPLIANCES AND COMPUTER GOODS ALONG
WITH AMENITIES SUCH AS LARGESCREEN TV THEATERS AND RESTAURANTS

MR ROACH THE CHAIRMAN CALLED THE NEW SMALLER STORES AN EXPERIMENT AND
SAID IN A TELEPHONE INTERVIEW THAT THEY WILL SUPPLEMENT RATHER THAN REPLACE
BIGGERSTYLE STORES IN VERY SPECIALIZED SITUATIONS

ABOUT A DOZEN OF THE STORES TO BE DUBBED RADIO SHACK EXPRESS WILL BE
ROUGHLY HALF AS LARGE AS TRADITIONAL RADIO SHACK STORES AND OFFER ABOUT 75
OF THE SELECTION MR ROACH SAID THE IDEA WILL BE TO GET A FOOT IN DOWNTOWN
AREAS WHERE RENTS ARE HIGH AND LARGE RENTAL UNITS IN GOOD LOCATIONS MAY BE
TOUGH TO FIND

RADIO SHACK EXPRESS IS AN OPPORTUNITY TO GO INTO PLACES LIKE MANHATTAN AND
DOWNTOWN PHILADELPHIA WHERE LARGER SPACES ARE NOT AVAILABLE MR ROACH
SAID

THE INITIATIVE ALSO WILL INCLUDE TWO 10000SQUAREFOOT COMPUTER CITY
EXPRESS STORES A HANDFUL OF FAMOUS BRAND ELECTRONICS STORES OFFERING
CLEARANCE AND FACTORY OVERSTOCKED MERCHANDISE IN OUTLET SHOPPING MALLS AND
SEVERAL ENERGY EXPRESS PLUS KIOSKS TO BE LOCATED IN MALLS THAT ALREADY
HAVE FULLSIZED RADIO SHACK STORES

A COMPANY SPOKESWOMAN SAID THE KIOSKS WILL PROVIDE A BETTER WAY OF REACHING
WOMEN SHOPPERS WHO SHE SAID OFTEN DON'T LIKE TO BROWSE IN LARGE ELECTRONICS
STORES

BUT SOME COMPETITORS SCOFFED AT SUCH LOGIC WE HAVE NO INTENTION OF
OPENING SMALL STORES SAID NATHAN MORTON CHIEF EXECUTIVE OFFICER OF
DALLASBASED COMPUSA INC THE LARGEST CHAIN OF COMPUTER SUPERSTORES AND A
DIRECT COMPETITOR OF COMPUTER CITY MINISTORES ARE BY THEIR NATURE A
COMPROMISE 9305050139 930505 INSIDE TRACK FIVE TOP INSIDERS AT TOYS
R' US SOLD 151 MILLION OF CHAIN'S STOCK IN MARCH  BY WARREN
GETLER STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK FIVE TOP INSIDERS AT TOYS R US INC SOLD 151 MILLION OF
COMPANY STOCK IN MARCH AT AN AVERAGE PRICE OF 4150 OR 15 MORE THAN THE
STOCK FETCHES TODAY

FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION SHOW THAT THE SALE OF
363624 SHARES CAME IN A THREEWEEK WAVE WHEN TOYS R US STOCK REACHED
LEVELS ABOVE 40 A SHARE AFTER LANGUISHING IN THE MID TO HIGH 30S EARLIER
THIS YEAR

IN DECEMBER THE FIVE INSIDERS AT THE PARAMUS NJ COMPANY HAD EXERCISED
OPTIONS ON 12 MILLION SHARES A COMPANY OFFICIAL SAID THAT COMPANY RULES
PREVENTED SALES OF STOCK BY SENIOR EXECUTIVES IN DECEMBER AND FROM FEB 15
TO MARCH 10

WE'RE SELLING TO PAY TAXES FOR THE SHARES WE EXERCISED IN DECEMBER SAID
MICHAEL GOLDSTEIN COMPANY VICE CHAIRMAN HE SAID THE SALES BY THE FIVE
EXECUTIVES DID NOT SIGNAL ANY CONCERN ABOUT THE FUTURE PROSPECTS OF THE
COMPANY THE FOUR OTHER INSIDERS DECLINED TO COMMENT

SINCE THE SALES OCCURRED BETWEEN MARCH 11 AND MARCH 31 THE SHARES HAVE
SLUMPED ON THE NEW YORK STOCK EXCHANGE AMID THE PUMMELING THAT INVESTORS
GAVE TO MANY HIGHVISIBILITY RETAIL COMPANIES

YESTERDAY THE COMPANY'S SHARES CLOSED AT 36 OFF 125 CENTS LAST FRIDAY
KIDDER PEABODY & CO INITIATED COVERAGE OF THE COMPANY WITH A HOLD
RATING SAYING THAT THE CURRENT ENVIRONMENT DOES NOT INSTILL CONFIDENCE
ABOUT RETAILERS IN GENERAL

CHARLES LAZARUS CHAIRMAN AND CEO OF THE GIANT SPECIALTYTOY RETAILER PARED
HIS HOLDINGS BY 257000 SHARES OR 26 IN THREE SEPARATE SALES BETWEEN
MARCH 12 AND MARCH 31 ACCORDING TO THE SEC FILINGS

MR LAZARUS WHO PERIODICALLY HAS SOLD LARGE AMOUNTS OF SHARES IN THE
COMPANY STILL HAS 900000 OPTIONS IN TOYS R US THAT ARE CURRENTLY
EXERCISABLE ACCORDING TO THE COMPANY'S MOST RECENT PROXY STATEMENT

VICE CHAIRMAN ROBERT C NAKASONE TRIMMED HIS STAKE IN THE COMPANY BY 50000
SHARES OR 40 BUT STILL HAS 630102 OPTIONS THAT ARE CURRENTLY
EXERCISABLE MR GOLDSTEIN SLASHED HIS STAKE BY 41000 SHARES OR 24 BUT
RETAINS 562500 OPTIONS THAT ARE CURRENTLY EXERCISABLE CHIEF FINANCIAL
OFFICER LOUIS LIPSCHITZ SOLD 10624 SHARES OR 71 OF HIS STAKE BUT HOLDS
36255 CURRENTLY EXERCISABLE OPTIONS AND DIRECTOR HOWARD MOORE SOLD 5000
SHARES OR 10 BUT RETAINS 81939 CURRENTLY EXERCISABLE OPTIONS

MR GOLDSTEIN SAID THE DECISION TO EXERCISE A LARGE NUMBER OF STOCK OPTIONS
IN DECEMBER WAS TAKEN BECAUSE THE INSIDERS BELIEVED A MUCH HIGHER TAX BURDEN
WAS IMMINENT FOR UPPERINCOME INDIVIDUALS UNDER THE NEW BUDGET PROPOSALS BY
THE CLINTON ADMINISTRATION

ALL INFORMATION INDICATED THAT TAX RATES WERE GOING UP IN 1993 SAID MR
GOLDSTEIN SO I LIKE MANY OTHER CORPORATE EXECUTIVES DECIDED TO EXERCISE
OPTIONS TO TAKE ADVANTAGE OF THE CURRENT 1992 TAX RATES

WHILE THE FIVE EXECUTIVES COULD HAVE SOLD IN JANUARY OR EARLY FEBRUARY THEY
GENERALLY AGREED TO WAIT UNTIL AFTER THE ANNOUNCEMENT OF EARNINGS ON MARCH
10 MR GOLDSTEIN SAID IN A TELEPHONE INTERVIEW MR MOORE WAS THE ONE
EXCEPTION SELLING ROUGHLY 64000 SHARES ON JAN 6 AT ABOUT 39 A SHARE

EARNINGS FOR FISCAL 1993 ENDED IN JANUARY WERE 147 A SHARE COMPARED WITH
115 THE PREVIOUS YEAR AND ABOUT IN LINE WITH ANALYSTS' EXPECTATIONS

MICHAEL EPSTEIN THE KIDDER PEABODY ANALYST WHO PREPARED THE BROKERAGE'S
RATING REPORT ON TOYS R US SAYS THAT THE CURRENT PRICE IS TOO HIGH AND
SUGGESTED INVESTORS WAIT FOR THE STOCK TO FALL INTO THE LOW TO MID30S
BEFORE PURCHASING HE SAID HE EXPECTS FISCAL 1994 EARNINGS TO COME IN AROUND
175 ECHOING THE CONSENSUS VIEW AMONG OTHER WALL STREET ANALYSTS

KIMBERLY WALIN A RETAILSECTOR ANALYST WITH LEHMAN BROTHERS IS MAINTAINING
HER BUY RECOMMENDATION SHE HAS SOME CONCERNS HOWEVER SAYING THAT THE
COMPANY'S SHARES DID NOT TAKE OFF IN THE FIRST QUARTER DESPITE THE
RETAILER'S EXTREMELY STRONG CHRISTMAS SEASON THERE'S BEEN SOME
DISAPPOINTMENT ABOUT THAT SHE SAID

OBVIOUSLY THE RETAIL ENVIRONMENT HAS BEEN MORE DIFFICULT IN THE LAST THREE
MONTHS FROM WHERE WE WERE IN THE SECOND HALF LAST YEAR MS WALIN ADDED IN
MARCH AMERICAN CONSUMERS CUT THEIR SPENDING BY 04 THE BIGGEST DROP IN A
YEAR

WE STILL HAVE A BUY ON THE STOCK SHE SAID WITH THE STOCK SELLING AT
AROUND 20 TIMES THIS YEAR'S PROJECTED EARNINGS OF 182 A SHARE THAT'S
STILL ATTRACTIVE 9305050138 930505 WHO'S NEWS NORTHGATE COMPUTER 
SAYS GOETZ RESIGNS POSTS 1STPERIOD LOSS

EDEN PRAIRIE MINN NORTHGATE COMPUTER CORP SAID JAMES C GOETZ RESIGNED
AS PRESIDENT AND CHIEF EXECUTIVE OFFICER OF THE AILING PERSONALCOMPUTER
MAKER

IN CONJUNCTION WITH THE RESIGNATION THE COMPANY ANNOUNCED THAT IT POSTED A
LOSS OF 21 MILLION OR THREE CENTS A SHARE IN THE FISCAL FIRST QUARTER
ENDED APRIL 3 THAT COMPARED WITH A LOSS OF 15 MILLION OR TWO CENTS A
SHARE THE YEAR EARLIER FIRSTQUARTER REVENUE PLUMMETED TO 183 MILLION
FROM 343 MILLION A YEAR BEFORE

NORTHGATE SAID THAT KHALED IBRAHIM THE COMPANY'S CHIEF FINANCIAL OFFICER
WILL RUN THE COMPANY UNTIL THE BOARD NAMES A SUCCESSOR ALTHOUGH HE WON'T
ASSUME MR GOETZ'S TITLES MR IBRAHIM SAID THE BOARD WILL MEET NEXT WEEK TO
CONSIDER A SUCCESSOR TO MR GOETZ

MR GOETZ 46 YEARS OLD WAS NAMED PRESIDENT AND CHIEF EXECUTIVE OFFICER
LESS THAN A YEAR AGO AFTER MARJAC INVESTMENTS INC A REAL ESTATE AND
AGRICULTURAL INVESTMENT FIRM IN HERNDON VA BOUGHT A 51 STAKE IN THE
TROUBLED COMPANY FOR AN ESTIMATED 14 MILLION MARJAC PROMPTLY INSTALLED
MR GOETZ SUCCEEDING GARY S HELD THE FORMER SONINLAW OF COMPANY FOUNDER
ARTHUR B LAZERE AND PROMISED A SERIES OF TOUGH COSTCUTTING MOVES

THAT LED TO A FOURTHQUARTER PROFIT IN THE MIDST OF A PUNISHING
INDUSTRYWIDE PRICE WAR BUT POOR SALES IN JANUARY AND FEBRUARY LED TO
SEVERAL MEETINGS BETWEEN THE BOARD AND MR GOETZ MR IBRAHIM SAID ON APRIL
16 MR IBRAHIM SAID THE BOARD MET WITH JIM AND AGREED THAT IT WAS IN
THEIR MUTUAL BEST INTERESTS FOR HIM TO RESIGN HE SAID MR GOETZ SUBMITTED
HIS RESIGNATION ON APRIL 23 MR IBRAHIM INSISTED THAT MR GOETZ WASN'T
FORCED OUT

TELEPHONE CALLS TO MR GOETZ'S HOME IN WAYZATA MINN WEREN'T RETURNED

MR GOETZ'S RESIGNATION DIDN'T SURPRISE JOHN TUSCHNER AN ANALYST WITH
PROTECTIVE GROUP SECURITIES IN MINNEAPOLIS HE SAID MR GOETZ MAY HAVE GROWN
FRUSTRATED WITH NORTHGATE'S CONTINUING POOR PERFORMANCE UNLESS THERE'S
CASH IN THE BANK AND VERY GOOD MANAGEMENT THEY'RE IN TROUBLE MR TUSCHNER
SAID

IN A SEARCH FOR CASH TO STAY IN BUSINESS LAST YEAR MR LAZERE FIRST
ATTEMPTED TO SELL THE COMPANY TO EVEREX SYSTEMS INC ANOTHER STRUGGLING
COMPUTER MAKER BASED IN FREMONT CALIF WHEN THAT DEAL FELL THROUGH
NORTHGATE SOLD THE 51 STAKE TO MARJAC WHICH SAID IT PLANNED TO PROVIDE AN
ADDITIONAL 3 MILLION IN CAPITAL TO NORTHGATE IN MARCH MR LAZERE RESIGNED
AS CHAIRMAN AND AS A DIRECTOR 9305050137 930505 WHO'S NEWS TALISMAN
ENERGY INC

TALISMAN ENERGY INC CALGARY ALBERTA KEITH MCWALTER WAS NAMED CHAIRMAN
AND JAMES BUCKEE WAS NAMED PRESIDENT AND CHIEF EXECUTIVE OFFICER SUCCEEDING
DAVID CLAYDON 57 YEARS OLD WHO IS RETIRING AS CHAIRMAN AND CHIEF EXECUTIVE
OF THIS ENERGY CONCERN TALISMAN CHANGED ITS NAME FROM BP CANADA INC ON
JAN 1

MR MCWALTER 67 WHO JOINED THE TALISMAN BOARD IN DECEMBER PREVIOUSLY
SERVED AS CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF GULF CANADA RESOURCES LTD
UNTIL HE RETIRED FROM THAT COMPANY IN 1990 MR BUCKEE 47 WAS TALISMAN'S
PRESIDENT AND CHIEF OPERATING OFFICER THE COMPANY WILL ELIMINATE THE
POSITION OF CHIEF OPERATING OFFICER 9305050136 930505 FINANCING BUSINESS
 FEDERAL INDUSTRIES LTD

FEDERAL INDUSTRIES LTD WINNIPEG MANITOBA SAID IT EXPECTS TO RAISE GROSS
PROCEEDS OF US125 MILLION FROM THE SALE IN THE US OF FIXEDRATE SENIOR
NOTES DUE 2000 IT SAID THE SECURITIES WILL BE OFFERED THROUGH CITICORP
SECURITIES MARKETS INC THE NET PROCEEDS WILL BE USED MAINLY TO REPAY
OUTSTANDING BANK DEBT THE COMPANY SAID FEDERAL INDUSTRIES HAS INTERESTS IN
TRANSPORTATION METALS DISTRIBUTION AND CONSUMER RETAILING 9305050135
930505 GENZYME CLINICAL TRIAL RESULTS

CAMBRIDGE MASS GENZYME CORP SAID RESULTS OF AN IMPORTANT CLINICAL
TRIAL OF RECOMBINANT GLUCOCEREBROSIDASE OR RGCR MADE BY GENZYME FOR THE
TREATMENT OF PATIENTS WITH GAUCHER'S DISEASE SHOW THAT RGCR IS SAFE AND
EFFECTIVE

THE BIOTECHNOLOGY COMPANY SAID TESTS SHOWED PARALLEL AND EQUIVALENT
IMPROVEMENTS IN ALL DISEASE PARAMETERS COMPARED WITH CEREDASE OR
ALGLUCERASE INJECTION A NATURALLY DERIVED PROTEIN THAT IS THE ONLY APPROVED
THERAPY CURRENTLY AVAILABLE FOR GAUCHER'S DISEASE 9305050134 930505 US
COULD PUT TROOPS IN BOSNIA IN NEXT 10 DAYS  DEPLOYMENT OF UP TO
4000 DEPENDS ON SERB VOTE TO RATIFY PEACE ACCORD  BY THOMAS E
RICKS STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE US MILITARY PLANS TO PUT SEVERAL THOUSAND PEACEKEEPING
TROOPS ON THE GROUND IN BOSNIA BY THE END OF NEXT WEEK AN OFFICIAL ON THE
JOINT CHIEFS OF STAFF SAID

THE INITIAL DEPLOYMENT OF 3000 TO 4000 ARMY TROOPS DEPENDS ON THE BOSNIAN
SERB ASSEMBLY'S RATIFYING THE TENTATIVE PEACE TREATY SIGNED LAST WEEKEND HE
SAID AND HAVING THE PEACE STICK BUT HE INDICATED THAT THE DEPLOYMENT WILL
GO FORWARD EVEN IF AS EXPECTED THERE ARE POCKETS OF GUERRILLA RESISTANCE
IN EASTERN BOSNIA

IF THOSE FIRST TROOPS ARE ATTACKED BY BOSNIAN SERBS THE OFFICIAL SAID
THEIR RULES OF ENGAGEMENT WOULD PERMIT THEM TO RESPOND AGGRESSIVELY IN
ADDITION HE SAID US AIRCRAFT FLYING FROM THE USS THEODORE ROOSEVELT IN
THE ADRIATIC SEA AND FROM BASES IN ITALY WOULD PROVIDE HEAVY AIR COVER

IF AMERICAN LIVES ARE AT RISK WE'LL USE THE WEAPONS WE HAVE TO USE TO
PROTECT THEM HE SAID FOR EXAMPLE ARTILLERY ATTACKS ON US POSITIONS
PROBABLY WOULD RESULT IN AIR STRIKES USING HEAVILY DESTRUCTIVE BOMBS NOT
JUST SMALLER LASERGUIDED WEAPONS HE ADDED

THE INITIAL BRIGADESIZED DEPLOYMENT WOULD BE MORE SYMBOLIC THAN ANYTHING
ELSE THE OFFICIAL SAID THE TROOPS PROBABLY WILL BE SENT TO SARAJEVO BUT
A FINAL DECISION HASN'T BEEN MADE HE SAID

EUROPEAN OFFICIALS NERVOUS ABOUT A US PLAN FOR LIMITED MILITARY
INTERVENTION IN BOSNIA ARE HOPING THAT THE SERBS WILL RATIFY THE PEACE
AGREEMENT AND BRING AN END TO THE BLOODY CIVIL WAR AND A LOOMING DIPLOMATIC
CONFLICT WITH THE US BUT US SECRETARY OF STATE WARREN CHRISTOPHER WHO
IS TRAVELING IN EUROPE AND RUSSIA TO WIN ALLIED SUPPORT FOR MR CLINTON'S
PLAN IS MORE SKEPTICAL

HE CALLED REPORTS OF A NEW SERB OFFENSIVE YESTERDAY AGAINST ZEPA ONE OF THE
FEW REMAINING MUSLIM ENCLAVES IN EASTERN BOSNIA A SERIOUS SETBACK FOR THE
PEACE AGREEMENT THE SECRETARY SUGGESTED THAT FURTHER ACTS OF SERBIAN ILL
WILL WOULD LIKELY STIFFEN THE ALLIES' RESOLVE TO MOVE AGAINST THE SERBS AND
INCREASE SUPPORT FOR THE MILITARY OPTION THE ALLIES ARE HOLDING OUT
CONSIDERABLE HOPE AND IF THEIR HOPES ARE DASHED IT WILL HAVE A DRAMATIC
IMPACT MR CHRISTOPHER SAID

THE DURATION AND ULTIMATE SIZE OF THE US PRESENCE WILL DEPEND ON THE TROOP
CONTRIBUTIONS OF ALLIES IN THE NORTH ATLANTIC TREATY ORGANIZATION THE JOINT
CHIEFS OFFICIAL SAID IF THE EARLY DEPLOYMENT IS MATCHED BY OTHER NATIONS
THE US WILL CONTINUE TO MATCH THOSE PROPORTIONALLY EVENTUALLY REACHING
ABOUT 18000 US TROOPS BY D PLUS 21 OR SOMETIME IN EARLY JUNE

ASKED HOW LONG US TROOPS MIGHT REMAIN IN BOSNIA DEPUTY DEFENSE SECRETARY
WILLIAM PERRY SAID IN AN INTERVIEW THE SHORTER THE BETTER

BUT REFLECTING SOME OF THE OPTIMISM CURRENTLY FELT AT THE PENTAGON ABOUT A
BOSNIAN PEACEKEEPING MISSION MR PERRY ADDED THAT IF THE BELLIGERENTS MORE
OR LESS STICK WITH THE PEACEKEEPING PLAN THEY SIGNED UP TO AND WE'RE NOT
FIGHTING ARMIES WE'RE JUST DEALING WITH RENEGADE BANDS THEN IT'S SORT OF A
POLICING OPERATION

IN ADDITION TO ITS GROUND PRESENCE THE US IS PLANNING TO HAVE SEVERAL
THOUSAND MORE PERSONNEL JUST OFFSHORE OR FLYING OVERHEAD THE JOINT CHIEFS
OFFICIAL SAID IF EVERYTHING WORKS PERFECTLY IF THINGS STAY ON TRACK
AND THE SERBS ACCEPT IT AND THE SECURITY COUNCIL VOTES THEN WE'LL GET
THEM IN OVER A THREEWEEK PERIOD HE SAID

THE US CONTINGENT WOULD BE PART OF A NATO FORCE TOTALING ABOUT 65000
WHICH IN TURN WOULD FORM THE CORE OF A SOMEWHAT LARGER PEACEKEEPING FORCE
OPERATING UNDER A UNITED NATIONS MANDATE THERE ARE ALREADY ABOUT 5000
FRENCH TROOPS AND 2500 BRITISH TROOPS IN THE FORMER YUGOSLAVIA
REPRESENTING THE LARGEST CONTINGENTS IN THE THE CURRENT UNFORCE

THE JOINT CHIEFS HAD ALSO CONSIDERED A DEPLOYMENT PLAN THAT WOULD TAKE FIVE
DAYS AND ANOTHER THAT WOULD STRETCH OVER 45 DAYS THE OFFICIAL DECLINED TO
DISCUSS WHY THE MIDDLE OPTION WAS SELECTED BUT MR PERRY THE DEPUTY
DEFENSE SECRETARY SAID THERE ARE SOME GOOD TACTICAL ARGUMENTS FOR MOVING
FAST HE DECLINED TO ELABORATE

SEVERAL MAJOR DECISIONS REMAIN TO BE MADE THE JOINT CHIEFS OFFICIAL SAID
MOST NOTABLY HE SAID A DEBATE CONTINUES OVER WHETHER TO USE THE MARINES TO
TAKE CONTROL OF SPLIT AND SOME OTHER ADRIATIC PORTS THE MARINES ARE PRETTY
STRUNG OUT BECAUSE OF SOMALIA HE EXPLAINED

THE MILITARY OPTION WHICH THE JOINT CHIEFS ENDORSED ONLY RELUCTANTLY
INVOLVES LIFTING THE ARMS EMBARGO ON THE BOSNIAN MUSLIMS AND THEN DURING
THE INTERIM PERIOD OF ABOUT TWO MONTHS REQUIRED TO ARM AND TRAIN THEM
PROVIDING AIR COVER TO DETER ANY FURTHER SERB OFFENSIVES

IN PARIS YESTERDAY SECRETARY CHRISTOPHER DISCUSSED TIMING FORCE LEVELS
AND THE COMMANDANDCONTROL STRUCTURES FOR A MULTINATIONAL PEACEKEEPING
FORCE AND HE APPEARED TO OVERCOME EARLIER FRENCH OBJECTIONS TO THE IDEA
THAT NATO WOULD DIRECT THE EFFORT A SIGNIFICANT BREAKTHROUGH

MR CHRISTOPHER SEEMED TO HAVE LESS LUCK HOWEVER IN PERSUADING THE FRENCH
TO SIGN ON TO PRESIDENT CLINTON'S MILITARY OPTION FRENCH FOREIGN MINISTER
ALAIN JUPPE AGREED ONLY TO PURSUE THE MATTER FURTHER IF THE SERBS DON'T
RATIFY THE AGREEMENT MR JUPPE INDICATED HIS MIXED FEELINGS ABOUT THE
SITUATION BY FIRST CALLING THE PROSPECT OF PEACE THE MOST PROBABLE
SCENARIO THEN CORRECTING IT TO THE SCENARIO WE WANT TO BE THE MOST
PROBABLE

ALTHOUGH THE FRENCH WERE NONCOMMITTAL ON THE MILITARY OPTION MR
CHRISTOPHER SAID HE WAS FINDING SUBSTANTIAL AGREEMENT ON THE NEED TO TAKE
STRONGER ACTION AMONG THE ALLIES IF THE SERBS FAIL TO LIVE UP TO THEIR
PROMISES OF PEACE

IN HIS DISCUSSIONS TODAY WITH RUSSIAN PRESIDENT BORIS YELTSIN MR
CHRISTOPHER COULD FACE TOUGHER RESISTANCE TO THE IDEA OF MILITARY ACTION
AGAINST THE BOSNIAN SERBS MR YELTSIN'S HARDLINE OPPONENTS HAVE ATTACKED
HIM FOR SELLING OUT RUSSIA'S TRADITIONAL SERBIAN ALLIES TO THE WEST SINCE
WINNING A REFERENDUM ON HIS ROLE MR YELTSIN HAS SOMEWHAT MORE ROOM TO
MANEUVER AND HE WAS WARNED THE SERBS THAT THEY WILL RECEIVE NO SYMPATHY IN
MOSCOW IF THEY DON'T STOP THE KILLING

MR CHRISTOPHER SAID HE HAD THE FEELING THAT THE RUSSIANS ARE BEGINNING TO
LOSE PATIENCE WITH THE SERBS AND HE POINTED TO RUSSIA'S RECENT SUPPORT FOR
A UN RESOLUTION AUTHORIZING MILITARY ENFORCEMENT OF A NOFLY ZONE OVER
BOSNIA AND RUSSIA'S ABSTENTION ON A RESOLUTION IMPOSING HARSHER ECONOMIC
SANCTIONS ON SERBIA

CARLA ANNE ROBBINS IN MOSCOW CONTRIBUTED TO THIS ARTICLE 9305050133
930505 ILLEGAL PAYMENTS MAR THE MUNI MARKET  BY CONSTANCE MITCHELL
AND THOMAS T VOGEL JR STAFF REPORTERS OF THE WALL STREET JOURNAL

NEW YORK THE FEDERAL PROBE INTO POSSIBLE ILLEGAL PAYMENTS TO STATE
OFFICIALS IN NEW JERSEY BY WALL STREET BOND DEALERS IS THE LATEST IN A LONG
LIST OF SCANDALS THAT HAVE SHAKEN THE MUNICIPAL BOND MARKET OVER THE YEARS

THE 12 TRILLION MUNICIPALBOND MARKET WHICH LACKS THE FEDERAL OVERSIGHT
FOUND IN MANY OTHER SECURITIES MARKETS HAS A HISTORY OF BID RIGGING
BRIBERY INSIDER TRADING AND OTHER ILLEGAL ACTIVITIES HEAVY POLITICAL
CONTRIBUTIONS BY WALL STREET FIRMS WHICH ARE LEGAL IN MOST STATES ARE
CONSIDERED AN ORDINARY COST OF DOING BUSINESS FOR SECURITIES HOUSES

EVERYBODY DEPENDS ON CAMPAIGN CONTRIBUTIONS FROM WALL STREET SAYS A
SPOKESWOMAN FOR NEW YORK CITY COMPTROLLER ELIZABETH HOLTZMAN WHO RAISED
FUNDS ON WALL STREET LAST YEAR FOR AN UNSUCCESSFUL BID FOR THE US SENATE
AND IS ALSO PARTLY RESPONSIBLE FOR CHOOSING NEW YORK CITY'S BOND
UNDERWRITERS ANY CANDIDATE IN NEW YORK WHO IGNORES WALL STREET AS A SOURCE
OF MONEY ISN'T SERIOUS ABOUT THE CAMPAIGN

SELLING MUNICIPAL BONDS FOR STATES AND CITIES IS A PART OF THE INVESTMENT
BANKING BUSINESS WHERE PERSONAL RELATIONSHIPS AND CONTACTS OFTEN COUNT FOR
MORE THAN ABILITY AND WHERE BOND DEALERS ARE ALL TOO FAMILIAR WITH THE
PHRASE YOU HAVE TO PAY TO PLAY

BUT JUST ABOUT EVERYONE CONCEDES THAT BOTH LEGAL AND ILLEGAL PAYMENTS IN THE
MUNICIPALBOND BUSINESS ARE ON THE RISE

THERE HAS BEEN A SIGNIFICANT INCREASE OVER THE YEARS IN THE AMOUNT OF MONEY
THAT IS PUT INTO STATE AND LOCAL POLITICAL CAMPAIGNS BY WALL STREET SAID
J CHESTER JOHNSON CHAIRMAN OF GOVERNMENT FINANCE ASSOCIATES INC AND
FORMER MUNICIPALFINANCE ADVISER AT JP MORGAN & CO THIS IS A VERY
POLITICALLY SENSITIVE BUSINESS THERE IS NO QUESTION ABOUT IT

IN ADDITION TO THE PROBE OF MERRILL LYNCH & CO'S ACTIVITIES INVOLVING THE
SALE OF NEW JERSEY TURNPIKE AUTHORITY BONDS STATE AND FEDERAL OFFICIALS
AROUND THE COUNTRY ARE LOOKING AT OTHER POSSIBLE IRREGULARITIES

A STATE ATTORNEY IN FLORIDA IS INVESTIGATING WHETHER AN OFFICIAL IN
HILLSBOROUGH COUNTY FLA WAS PAID TO STEER MUNICIPAL UNDERWRITING BUSINESS
TO MORGAN STANLEY & CO MORGAN STANLEY SAYS THAT THE BIDDING WAS CONDUCTED
FAIRLY AND THAT THE FIRM HASN'T BEEN NOTIFIED OF ANY INVESTIGATION

IN JULY A FEDERAL GRAND JURY IN FRANKFORT KY INDICTED BILLY COLLINS THE
HUSBAND OF FORMER KENTUCKY GOV MARTHA LAYNE COLLINS FOR ALLEGEDLY
EXTORTING MONEY FROM TWO SECURITIES FIRMS MR COLLINS WAS ACCUSED OF
FORCING DONALDSON LUFKIN & JENRETTE INC AND CRANSTON SECURITIES CO TO
MAKE POLITICAL CONTRIBUTIONS GIFTS AND INVESTMENTS TO HELP WIN
BONDUNDERWRITING BUSINESS

IN JUNE THE SECURITIES AND EXCHANGE COMMISSION BROUGHT ITS FIRST INSIDER
TRADING CASE IN THE MUNI MARKET WHEN IT CHARGED A FORMER SECRETARY/TREASURER
OF THE KENTUCKY INFRASTRUCTURE AUTHORITY WITH FRAUD THE SEC SAID THE STATE
OFFICIAL PURCHASED BONDS OF THE KENTUCKY INFRASTRUCTURE AUTHORITY AFTER
LEARNING THROUGH INSIDE INFORMATION THAT THE BONDS WOULD BE REDEEMED FOR
MORE THAN THEY WERE TRADING AT THE TIME

THESE KIND OF SCANDALS CROP UP ALL THE TIME SAID RICHARD LEHMANN
PRESIDENT OF BOND INVESTORS ASSOCIATION OF MIAMI LAKES FLA THIS PROCESS
OF SELECTING MUNI UNDERWRITERS HAS ALWAYS BEEN A SORT OF GOODOLDBOY
NETWORK THAT'S BECAUSE MOST OF THESE MUNICIPAL AUTHORITIES ARE STAFFED BY
VOLUNTEERS AND PROMINENT INDIVIDUALS IN THAT LOCALITY AND THEY'RE USED TO
DOING IT THIS WAY HE SAID THEY SEE NOTHING WRONG WITH IT

WALL STREET UNDERWRITERS OFTEN COMPLAIN ABOUT THE SYSTEM IN PRIVATE BUT ARE
LOATH TO REPORT TO FEDERAL OFFICIALS THE PRESSURES FOR KICKBACKS IT'S A
WIDESPREAD BUT NOT A HIGHLY VISIBLE PROBLEM SAID MR LEHMANN BECAUSE THE
PEOPLE WHO ARE AWARE OF IT ARE THE UNDERWRITERS WHO LOSE OUT AND MOST OF
THEM WOULD RATHER WAIT THEIR TURN AND HAVE THEIR DAY THAN EXPOSE IT AND BE
BLACKLISTED BY ISSUERS

MEANWHILE THE SEC AND OTHER REGULATORY BODIES ARE LIMITED BY LAW IN THE
WAYS THEY CAN ATTACK PROBLEMS IN THE MUNICIPAL MARKET THAT'S DUE IN PART TO
THE TOWER AMENDMENT ENACTED BY CONGRESS IN 1975

THOMAS H BACH A PARTNER AT THE LAW FIRM OF SULLIVAN DONOVAN BOND &
BONNER WHICH SPECIALIZES IN PUBLIC FINANCE SAYS THE AMENDMENT EXPRESSLY
PROHIBITS BOTH THE SEC AND MUNICIPAL SECURITIES RULEMAKING BOARD FROM
REQUESTING MUNICIPAL ISSUERS TO DISCLOSE INFORMATION PRIOR TO A SALE OF
SECURITIES

WHILE THE TOWER AMENDMENT APPLIES MAINLY TO THE DISCLOSURE OF FINANCIAL
INFORMATION IT CAN ALSO BE USED TO PREVENT REGULATORY AUTHORITIES FROM
DELVING MORE INTO THE RELATIONSHIPS BOTH POLITICAL AND PERSONAL BETWEEN
UNDERWRITERS AND ISSUERS BUT ONE AREA THAT IT DOESN'T RESTRICT IS IN THE
CASE OF SOME SORT OF FRAUD SAID MR BACH THAT'S STILL ACTIONABLE UNDER
FEDERAL LAW

INVESTMENT BANKERS NOTE THAT THE SEC'S INVOLVEMENT IN THE MUNIBOND MARKET
HAS BECOME MORE ACTIVE DUE TO THE EFFORTS OF SEC COMMISSIONER RICHARD
ROBERTS SINCE BEING NAMED A COMMISSIONER IN OCTOBER 1990 MR ROBERTS HAS
BEEN OUTSPOKEN ON THE NEED FOR TOUGHER OVERSIGHT AND SELFREGULATORY EFFORTS
IN THE MARKET YESTERDAY MR ROBERTS SAID HE'S PUSHING THE SEC TO BE MORE
AGGRESSIVE AND TO BE MORE ALERT TO MORE ENFORCEMENT CASES IN THE MUNICIPAL
MARKET

THE STATE AND FEDERAL SCRUTINY OF THE MUNICIPALBOND MARKET COMES AT A TIME
WHEN THE SEC HAS SAID THAT IT IS INTERESTED IN WATCHING THE MARKET MUCH MORE
CLOSELY ALTHOUGH THE SEC IS LIMITED IN WHAT IT COULD DO TO RESOLVE SUCH
PROBLEMS IN THE MUNI MARKET SEC COMMISSIONER RICHARD ROBERTS SAID YESTERDAY
THAT HE HAS ENCOURAGED THE COMMISSION TO BE MORE AGGRESSIVE AND TO BE MORE
ALERT TO MORE ENFORCEMENT CASES IN THE MUNICIPAL MARKET SINCE BECOMING A
COMMISSIONER IN OCTOBER 1990 MR ROBERTS HAS BEEN OUTSPOKEN ON THE NEED FOR
TOUGHER OVERSIGHT AND SELFREGULATORY EFFORTS IN THE MARKET 9305050132
930505 WHO'S NEWS THAMES WATER CHAIRMAN IS FOUND DEAD IN LONDON

LONDON THAMES WATER PLC CHAIRMAN ROY WATTS WAS FOUND DEAD IN THE THAMES
RIVER IN LONDON YESTERDAY

MR WATTS 67 YEARS OLD DISAPPEARED LAST WEEK EARLIER HE WAS DIAGNOSED AS
HAVING PARKINSON'S DISEASE THE DEATH ISN'T BEING TREATED AS SUSPICIOUS
SCOTLAND YARD SAID

IN A STATEMENT THAMES WATER CHIEF EXECUTIVE MIKE HOFFMAN SAID MR WATTS'S
LEADERSHIP OF THAMES WATER BOTH BEFORE AND AFTER PRIVATIZATION IN 1989
HELPED TO CREATE THE BROAD PLAN ON WHICH THE WHOLE BRITISH WATER INDUSTRY
IS NOW BASED MR WATTS WAS APPOINTED CHAIRMAN OF WHAT WAS THEN THE THAMES
WATER AUTHORITY IN 1983

THAMES WATER DIDN'T IMMEDIATELY NAME A SUCCESSOR 9305050131 930505 BEYOND
WASHINGTON MIDDLE AMERICA IN CLINTON'S FIRST YEAR  HOPE OF THE
SUBURBS BEDROOM COMMUNITIES WANT CLINTON TO SOLVE THEIR PROBLEMS TOO
  CRIME DRUG SCHOOL WORRIES PROMPTED THE GOLFING SET NEAR
CHICAGO TO FIRE BUSH  GIVING THIS PRESIDENT A TRY  BY DENNIS
FARNEY STAFF REPORTER OF THE WALL STREET JOURNAL

ORLAND PARK ILL WHEN MR AND MRS SUBURBIA HAVE A PROBLEM THEY HIRE
SOMEONE TO FIX IT IT'S THE SUBURBAN WAY

IS THE LAWN BROWNING OUT CALL IN A LAWN SERVICE IS THE SINK STOPPED UP
BRING IN A PLUMBER THE PLUMBER'S PHILOSOPHY HIS DEFINITION OF THE GOOD
THE TRUE AND THE BEAUTIFUL IS IRRELEVANT ONLY ONE THING MATTERS CAN HE
FIX THE SINK

POLITICALLY SOMETHING LIKE THAT IS HAPPENING HERE IN CHICAGO'S COOK COUNTY
SUBURBS WHICH INCLUDE ORLAND PARK AND ITS SIGNATURE WATER TOWER PAINTED TO
RESEMBLE A GOLF BALL ON A TEE LAST NOVEMBER THESE SUBURBANITES FIRED GEORGE
BUSH AND HIRED BILL CLINTON WITH A HUGE ASSIST FROM ROSS PEROT MR CLINTON
CARRIED THE COOK COUNTY SUBURBS SOMETHING NOT EVEN LYNDON JOHNSON COULD
MANAGE IN THE DEMOCRATIC LANDSLIDE OF 1964

BUT CAN BILL CLINTON FIX THE SINK CAN HE CONVINCE SUBURBANITES UNEASY
ABOUT THE FUTURE OF THEIR FAMILIES AND THEIR COUNTRY THAT HE CAN MAKE
WASHINGTON WORK FOR THEM THAT'S WHAT IT COMES DOWN TO NOW AND IT'S A VERY
TALL ORDER VOTERS HEREABOUTS DISTRUST BOTH PARTIES AND ARE PROFOUNDLY
SKEPTICAL OF MADEINWASHINGTON SOLUTIONS YET AND THIS IS THE
PRESIDENT'S GREAT OPPORTUNITY THEY WANT HIM TO TRY PARTICULARLY ON
DEFICIT REDUCTION AND HEALTHCARE REFORM IT IS A TRIUMPH OF HOPE OVER
EXPERIENCE

PEOPLE WANTED TO BELIEVE AND HE WAS THERE SUMS UP SALLY MONNIER A
54YEAROLD SUPERMARKET CHECKER WHO VOTED FOR MR CLINTON

I JUST HOPE HE IS WHAT HE SAYS HE IS SHE CONTINUES I DON'T KNOW IF I
REALLY KNOW HIM I JUST WANTED SO BADLY TO BELIEVE THAT THINGS WILL CHANGE
HIS ACTIONS WILL PROVE WHETHER I KNOW HIM OR NOT

NATIONALLY MR CLINTON EDGED MR BUSH IN THE SUBURBS 41 TO 39 ACCORDING
TO THE TELEVISION NETWORKS' EXIT POLL THIS REPRESENTS AN OPENING 
POSSIBLY A FLEETING ONE FOR THE PRESIDENT AND HIS DEMOCRATS TO FORGE A
NEW KIND OF MAJORITY COALITION THAT ADDS MORE SUBURBANITES TO THE CORE
DEMOCRATIC CONSTITUENCIES OF THE POOR THE MINORITY AND THE URBAN

AMERICA HAS BECOME A SUBURBAN NATION GOVERNED BY A MIDDLECLASS ELECTORATE
A REPUBLIC OF PROPERTY OWNERS IN THE WORDS OF UNIVERSITY OF TEXAS
POLITICAL SCIENTIST WALTER DEAN BURNHAM LAST NOVEMBER SUBURBS CAST 41 OF
THE TOTAL PRESIDENTIAL VOTE ACCORDING TO THE EXIT POLL CITIES OF 50000 ON
UP CAST JUST 24 OF THE VOTE HERE IN THE CHICAGO AREA THE COOK COUNTY
SUBURBS CAST ALMOST AS MANY VOTES AS CHICAGO ITSELF WHEN FIVE FARTHEROUT
AND MORE REPUBLICAN COLLAR COUNTIES ARE ADDED SUBURBIA CAST ALMOST
TWICE AS MANY VOTES AS CHICAGO

THE SUBURBAN VOTE IS THE SWING VOTE THAT OVER THE LONG HAUL WILL DECIDE
THE FUTURE OF AMERICAN POLITICS SAYS AL FROM PRESIDENT OF THE
WASHINGTONBASED DEMOCRATIC LEADERSHIP COUNCIL AND A CLOSE ADVISER TO MR
CLINTON BUT IF MR CLINTON FAILS TO CONSOLIDATE HIS SUBURBAN GAINS HE
COULD JOIN JIMMY CARTER AS A FOOTNOTE TO POLITICAL HISTORY A MERE
INTERRUPTION OF WHAT SINCE 1968 HAS BEEN AN ERA OF REPUBLICAN PRESIDENTS

COOK COUNTY'S SOUTHWESTERN SUBURBS ARE A GAUGE OF HOW AMERICANS FEEL ABOUT
BILL CLINTON AND OF HOW THEY FEEL ABOUT THEMSELVES FROM THE OLDER ETHNIC
BUNGALOW BELT SUBURBS LIKE OAK LAWN WHERE LAYOFFS ARE A REALITY AND THE
AVERAGE HOME VALUE IS 114000 TO RAPIDLY GROWING PROSPEROUS ORLAND PARK
AVERAGE HOME VALUE 178000 THE COMMON THREAD IS ANXIETY AMID THE GOOD
LIFE RIGHT NOW A VISITOR ENCOUNTERS ONE OF THOSE TRANSITORY MOMENTS IN
POLITICS WHEN PUBLIC OPINION IS JUST BEGINNING TO CRYSTALLIZE

MR CLINTON HAS LOST SOME GROUND IN RECENT WEEKS A ROCKY PERIOD THAT SAW
SENATE REPUBLICANS SHRED HIS STIMULUS PACKAGE AND WACO'S BRANCH DAVIDIAN
STANDOFF END IN CONFLAGRATION AND SECONDGUESSING IN THE MIXED SIGNALS AND
MIXED RECORD OF HIS FIRST 100 DAYS HE HAS ALSO LOST A GOLDEN OPPORTUNITY TO
CLEARLY DEFINE HIMSELF TO THESE VOTERS

I'M STILL WAITING FOR HIM TO DO SOME KIND OF LANDMARK THING SAYS ANN
ZAJAC A CLINTON SUPPORTER DR ZAJAC A TINLEY PARK CHIROPRACTOR SAYS SHE
WOULD VOTE FOR HIM AGAIN BUT WORRIES THAT HE NEEDS TO GET SOMETHING
PASSED SOMETHING THAT HE CLEARLY PROMISED TO DO

YET VOTERS HERE REMAIN MORE FORGIVING AND LESS JUDGMENTAL THAN THE
PROFESSIONAL POLITICIANS AND THE TALKSHOW ANALYSTS OF INSTANTANALYSIS
WASHINGTON ALAN ANKER WEARING THE STRIPED REFEREE SHIRT THAT IS HIS
UNIFORM AS MANAGER OF AN OAK LAWN FOOT LOCKER STORE PUTS MR CLINTON'S
PERFORMANCE IN BASEBALL TERMS HE'S A 250 HITTER NOT A 300 HITTER BUT
THIS PEROT VOTER REMAINS PATIENT HE'S STILL WARMING UP  HE'S GOT A
REALISTIC VIEW ON HOW MESSED UP WE ARE

OF MR CLINTON THE MOST FREQUENT OBSERVATION IS THAT HE'S TRYING THESE
SUBURBANITES HAVE WIDELY DIFFERING VIEWS OF JUST WHAT IT IS THEY WANT THE
PRESIDENT TO TRY AND WHETHER HE WILL SUCCEED IF HE DOES WHAT STANDS OUT
ULTIMATELY IS A DISSATISFACTION WITH THE WAY THINGS ARE THEY WANT CHANGE
CHANGE THAT WORKS AND CHANGE THAT WORKS NOT JUST FOR MINORITIES AND CITIES
BUT FOR THEM

JAMES O'GRADY WHO OWNS A TRUCKING COMPANY HERE VOTED FOR GEORGE BUSH AND
WOULD DO SO AGAIN BUT PERSONALLY I LIKE THE GUY HE SAYS OF MR CLINTON
I'M A LITTLE SURPRISED I LIKE HIM SO WELL I JUST HOPE HE CAN GET THE JOB
DONE

CHARLES DUBNICK A 48YEAROLD RETIRED SERVICEMAN WHO LIVES IN NEARBY
CHICAGO RIDGE VOTED FOR MR PEROT BUT HAS BEEN MILDLY IMPRESSED BY MR
CLINTON'S PERFORMANCE SO FAR HE'S GIVING IT A SHOT HE SAYS

JUDITH CARROLL A BUSH SUPPORTER WHO OPERATES A CLOTHING STORE IN TINLEY
PARK ADMITS SHE IS STILL GROPING FOR A HANDLE ON MR CLINTON I GUESS I'D
SAY HE'S DIFFERENT SHE SAYS SOMETIMES YOU'D HAVE TO SAY HE'S A
REPUBLICRAT

THE PROVISIONAL QUALITY OF SUCH JUDGMENTS WHEN JUXTAPOSED AGAINST THE
REFLEXIVE PARTISANSHIP OF WASHINGTON SEEMS ALMOST EXOTIC AND THESE SUBURBS
THEMSELVES SEEM A KIND OF POLITICAL DARK CONTINENT THAT POLITICAL WASHINGTON
CLAIMS TO SPEAK FOR BUT WHOSE COMPLEXITY AND ESSENTIAL PRAGMATISM
WASHINGTON SELDOM REFLECTS TO JUDGE FROM RECENT HEADLINES FULL OF
REPUBLICAN FILIBUSTERING AND DEMOCRATIC POWER PLAYS ONE MIGHT CONCLUDE THAT
THE NATION REVOLVES AROUND IDEOLOGY BUT WHAT THESE PEOPLE REALLY WANT IS
SIMPLY A GOVERNMENT THAT SOLVES PROBLEMS IN A COMMONSENSE WAY FEW ARE
IDEOLOGUES MOST HAVE AN INSTINCTIVE DISTRUST OF PARTISANSHIP

THEY DON'T WANT TO REFORM THE PARTIES SAYS MIKE MCKEON A CHICAGOAREA
DEMOCRATIC POLLSTER WITH A SPECIAL AFFINITY FOR THESE SUBURBS THEY WANT TO
GET RID OF THEM THEY SEE THEM AS SPECIAL INTEREST GROUPS

THUS BETH MATTERA A 34YEAROLD ORLAND PARK HOMEMAKER HAS A HAIRRAISING
BY WASHINGTON STANDARDS PROPOSAL I'D LIKE TO MAKE CONGRESS MIDDLE
CLASS SHE SAYS CAN YOU WRITE THAT DOWN HER IDEA OF THE SALARY A MEMBER
OF CONGRESS DESERVES 40000 TO 60000 TOPS US REPRESENTATIVES AND
SENATORS NOW EARN 133600 ANNUALLY

AND ROBERT SHANNON A 74YEAROLD CLINTON VOTER WHO IS ALREADY SOURED ON MR
CLINTON HE'S NOT DOING ANYTHING ALSO IS ANGRY AT CONGRESSIONAL
REPUBLICANS HE SEES AS DETERMINED TO PREVENT THE PRESIDENT FROM DOING
ANYTHING THEY'RE GOING TO BLOCK HIM EVERY CHANCE THEY GET HE SAYS IT
WON'T BE BETTER FOR THE COUNTRY IT'LL JUST BE BETTER FOR THEM

PERVADING SUCH COMMENTS IS AN UNDERCURRENT OF UNEASE THE SOUTH SUBURBAN
YELLOW PAGES LIST SOME FIVE DOZEN BURGLAR ALARM SERVICES ABOUT FOUR TIMES
AS MANY AS LAWN MOWER DEALERS THERE ARE ALMOST AS MANY ALCOHOLISM
INFORMATION AND TREATMENT LISTINGS 30 AS THERE ARE ANTIQUES DEALERS
PEOPLE HERE WORRY ABOUT THEIR SCHOOLS WORRY ABOUT DRUGS WORRY ULTIMATELY
ABOUT THE FUTURE OF THEIR COUNTRY

IN A WAY I'M FORTUNATE I HAVE NO KIDS SO I DON'T HAVE TO WORRY ABOUT THE
LEGACY I LEAVE SAYS BUSH VOTER LAWRENCE A STICHWEH A LAND DEVELOPER
WHOSE OFFICE IS IN ORLAND PARK THE TAX DOLLARS THE GOVERNMENT IS TAKING
AREN'T CREATING A LEGACY WORTHY OF LEAVING TO CHILDREN

ON THE FACE OF IT SUCH ANXIETY SEEMS INCONGRUOUS A FRETTING IN THE MIDST
OF PLENTY MR STICHWEH FOR EXAMPLE IS ON HIS WAY INTO A SUPERMARKET THAT
BOASTS 40ODD KINDS OF BEER ALE AND STOUT TWO DOZEN KINDS OF CAR WAXES
FIVE KINDS OF CORKSCREWS AND A 30FOOTLONG DISPLAY OF DIAPERS AND YET AS
VARIOUS SOCIAL OBSERVERS HAVE POINTED OUT ANXIETY SEEMS WOVEN INTO THE VERY
FABRIC OF THE MIDDLE CLASS A CLASS THAT LIVES BY ITS WITS AND ITS SKILLS
AND ITS INNER DRIVE

IF THIS IS AN ELITE  IT IS AN INSECURE AND DEEPLY ANXIOUS ONE WRITES
BARBARA EHRENREICH IN HER BOOK FEAR OF FALLING IT IS AFRAID LIKE ANY
CLASS BELOW THE MOST SECURELY WEALTHY OF MISFORTUNES THAT MIGHT LEAD TO A
DOWNWARD SLIDE BUT IN THE MIDDLE CLASS THERE IS ANOTHER ANXIETY A FEAR OF
INNER WEAKNESS OF GROWING SOFT OF FAILING TO STRIVE OF LOSING DISCIPLINE
AND WILL  WHETHER THE MIDDLE CLASS LOOKS DOWN TOWARD THE REALM OF
LESS OR UP TOWARD THE REALM OF MORE THERE IS THE FEAR ALWAYS OF
FALLING

JOHN W OLMSTEAD III A BURLY MAN WHO LOOKS LIKE THE STANDOUT COLLEGE
DEFENSIVE TACKLE HE ONCE WAS PERFECTLY EXPRESSES THE MINGLED ASPIRATIONS
AND FEARS THAT DEFINE THE SUBURBAN PSYCHE WE LIVE ABOVE OUR MEANS HE
SAYS WITH A SWING OF HIS ARM THAT TAKES IN HIS ORLAND PARK NEIGHBORHOOD
WE'RE STRIVING FOR A BETTER WAY OF LIFE BEYOND OUR MEANS THAT'S JUST THE
AMERICAN WAY THEN AS A BUSH SUPPORTER WHO DREADS HIGHER TAXES HE ADDS
THAT THE MIDDLE CLASS IS GOING TO BE TAKEN ADVANTAGE OF UNTIL THERE ARE
ONLY TWO CLASSES LEFT THE POWERFUL AND THE POOR

ON ANOTHER LEVEL THE REALITY IS THAT SUBURBIA IS CHANGING IN FUNDAMENTAL
WAYS THE IDYLLIC OZZIE AND HARRIET WORLD IS FAST FADING SUBURBS NOW ARE
EXPERIENCING THE SAME PROBLEMS AND THE SAME WRENCHING SOCIAL ADJUSTMENTS
THAT HIT CITIES DECADES AGO

SIX MONTHS A NEIGHBORHOOD CAN CHANGE IN SIX MONTHS SAYS POLLSTER MIKE
MCKEON THIS SOMETIMES HAPPENS WHEN THE OWNER OF AN AGING SUBURBAN APARTMENT
COMPLEX HAVING ABOUT EXHAUSTED THE TAXDEPRECIATION BENEFITS SELLS TO A
NEW OWNER WHO IN TURN RENTS TO LOWERINCOME PEOPLE WITH THE INFLUX URBAN
TENSION GAINS HOLD IN THE SUBURBS

JOBS ARE NOW A SUBURBAN CONCERN TOO INITIALLY JOBS FOLLOWED PEOPLE TO THE
SUBURBS NOW LAYOFF NOTICES ARE FOLLOWING THE JOBS SPENDABLE INCOME HAS
GONE TO HELL SAYS MR MCKEON THERE JUST AREN'T MANY PLEASANT VALLEY
SUNDAYS ANY MORE

ALL THIS IS MAKING SUBURBIA ONCE A BASTION OF ANTIGOVERNMENT SENTIMENT
SOMEWHAT MORE RECEPTIVE TO HELP FROM WASHINGTON THERE IS A POLITICAL
OPENING HERE IF MR CLINTON CAN EXPLOIT IT TO MAKE WASHINGTON MORE OF A
POSITIVE FORCE IN SUBURBANITES' LIVES

YOU TRY TO HAVE FAITH THAT SOMEBODY IS GOING TO COME ALONG AND MAKE THINGS
BETTER SAYS NANCY JEFFERS 55 SITTING IN HER OAK LAWN LIVING ROOM
ALTHOUGH HER HUSBAND WILLIAM RETAINS HIS WAREHOUSE JOB SHE LOST HER OWN
JOB LAST FALL TWO OF THEIR ADULT SONS AGED 34 AND 21 STILL LIVE WITH THEM
DESPITE HOLDING JOBS WHAT THE SONS HAVE BEEN ABLE TO SAVE SHE EXPLAINS
WOULD LAST THEM ABOUT THREE DAYS HER PARENTS ARE IN A NURSING HOME AND
SHE HERSELF WORRIES ABOUT DYING DESTITUTE BECAUSE OF SOARING MEDICAL
COSTS SHE FERVENTLY HOPES THE CLINTON HEALTHCARE PROPOSAL WILL SUCCEED

OH I HOPE TO GOD SHE SAYS SOMETHING HAS GOT TO GIVE OR WE'RE NOT
GOING TO BE THE COUNTRY WE THINK WE OUGHT TO BE

CATHY ZARRING A 43YEAROLD RESIDENT OF SCHAUMBURG HAS A DEEPLY PERSONAL
INTEREST IN THE CLINTON HEALTHCARE PLAN FOR 15 YEARS SHE HAS BATTLED
MULTIPLE SCLEROSIS IT IS IN REMISSION NOW BUT THE LAST TIME SHE PICKED UP
HER DRUGS THE BILL WAS 300

MRS ZARRING WHO HAS WRITTEN THE WHITE HOUSE THREE TIMES ON HEALTH CARE
REPRESENTS BOTH MR CLINTON'S SUBURBAN POLITICAL OPPORTUNITY AND THE
DIFFICULTY HE WILL HAVE IN ACHIEVING IT SHE SAYS SHE RELUCTANTLY VOTED
FOR HIM PARTLY ON THE STRENGTH OF HIS HEALTHCARE PLEDGES BUT NOW SHE HAS
ABOUT CONCLUDED THAT HE MAKES GOOD SPEECHES ON VARIOUS OTHER ISSUES BUT
DOESN'T ALWAYS FOLLOW THROUGH

RESULTS NOT SPEECHES AND CERTAINLY NOT IDEOLOGY WILL DETERMINE MR
CLINTON'S POLITICAL FUTURE IN THE SUBURBS MOST VOTERS ARE STILL GIVING HIM
TIME BUT ALREADY ONE CAN WATCH SOME OF THEM COALESCING INTO PRO AND
ANTICLINTON CAMPS

ANITA O'CONNOR DONOVAN IS LOST TO MR CLINTON AN IRREPRESSIBLE 71YEAROLD
EMPLOYEE OF THE CITY OF ORLAND PARK SHE COMPARES THE PRESIDENT TO A GORILLA
 BECAUSE HE'S TOO GENTLE GORILLAS ACTUALLY ARE VERY GENTLE ANIMALS SHE
EXPLAINS WHEN A GORILLA WANTS SOMETHING HE JUMPS OUT A COUPLE OF STEPS
AND POUNDS HIS CHEST IF THAT DOESN'T INTIMIDATE HIS FELLOW GORILLAS HE
SLINKS BACK INTO THE FOREST SO DOES PRESIDENT CLINTON SHE THINKS WHEN HIS
PROPOSED POLICIES RUN INTO CONCERTED OPPOSITION

BUT LAURA MARTIN A 30YEAROLD PACKAGER IN A MANUFACTURING PLANT IS MOVING
THE OPPOSITE WAY SHE VOTED FOR GEORGE BUSH BUT WOULD NOW CONSIDER CHANGING
THAT VOTE TO MR CLINTON HE'S DOING OK HOLDING THE FORT IF HE CAN CUT
THIS DEFICIT THAT WOULD BE GREAT SHE SAYS AND THEN SHE ADDS BUT IF HE
BOTTOMS OUT FAILS TO DELIVER WE'LL FIND SOMEBODY ELSE BELIEVE ME
9305050130 930505 WHO'S NEWS PH GLATFELTER CO

PH GLATFELTER CO SPRING GROVE PA ROBERT P NEWCOMER 44 YEARS OLD
WAS NAMED VICE PRESIDENTTREASURER OF THIS PRINTING AND TOBACCO PAPER
MANUFACTURER NEWCOMER PREVIOUSLY ASSISTANT COMPTROLLER ASSUMES THE DUTIES
OF MA JOHNSON II 59 EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL
OFFICER WHO EXPECTS TO RETIRE AUG 1 GEORGE H GLATFELTER II 41 WAS
NAMED VICE PRESIDENT AND GENERAL MANAGER OF THE GLATFELTER PAPER DIVISIONS
WHERE HE HAD BEEN GENERAL MANAGER ROBERT S LAWRENCE 53 WAS NAMED VICE
PRESIDENT AND GENERAL MANAGER OF THE ECUSTA DIVISION IN NORTH CAROLINA
SUCCEEDING WILBUR F BOSWELL III 53 WHO RETIRED MR LAWRENCE WAS DIRECTOR
OF PLANNING ACQUISITION AND GOVERNMENT AFFAIRS 9305050129 930505
FINANCING BUSINESS MERCHANTS GROUP INC

MERCHANTS GROUP INC BUFFALO NY SAID IT FILED A REGISTRATION STATEMENT
WITH THE SECURITIES AND EXCHANGE COMMISSION FOR AN OFFERING OF 185 MILLION
COMMON SHARES THE PROPERTY AND CASUALTY INSURER SAID IT WOULD ISSUE 950000
NEW SHARES FOR THE OFFERING WHILE THE REMAINING 900000 SHARES WOULD BE
SOLD BY AN AFFILIATE AND HOLDER MERCHANTS MUTUAL INSURANCE CO THE SALE
WOULD RAISE MERCHANT GROUP'S SHARES OUTSTANDING TO 304 MILLION AND REDUCE
MERCHANTS MUTUAL'S HOLDINGS TO 84 OF OUTSTANDING SHARES FROM 552
MANAGING UNDERWRITERS ARE PRUDENTIAL SECURITIES INC AND CONNING & CO
SEPARATELY MERCHANTS GROUP SAID IT PREPAID THE OUTSTANDING BALANCE OF
1375 MILLION PLUS ACCRUED INTEREST ON A NOTE HELD BY THE FEDERAL DEPOSIT
INSURANCE CORP 9305050128 930505 EDUCATION WHITTLE SEEKS EDISON
FUNDING OF 750 MILLION  BY PATRICK M REILLY STAFF REPORTER OF
THE WALL STREET JOURNAL

NEW YORK WHITTLE COMMUNICATIONS LP SCRAMBLING FOR FUNDS TO HELP
FINANCE ITS AMBITIOUS EDISONPROJECT CHAIN OF FORPROFIT SCHOOLS IS SEEKING
INVESTMENTS TOTALING 750 MILLION FROM SOME OF THE NATION'S TOP MARKETING
AND CONSUMER COMPANIES INCLUDING APPLE COMPUTER INC PARAMOUNT
COMMUNICATIONS INC WALT DISNEY CO AND PEPSICO INC

PEOPLE FAMILIAR WITH THE TALKS SAY WHITTLE HOPES TO ANNOUNCE TRANSACTIONS
WITH ONE OR MORE COMPANIES WITHIN THE NEXT TWO MONTHS THAT COULD INCLUDE
EQUITY INVESTMENTS SUPPLIER/VENDOR ARRANGEMENTS OR BOTH BUT WHILE MOST
COMPANIES WHITTLE HAS APPROACHED DECLINE PUBLIC COMMENT EXECUTIVES AT
SEVERAL COMPANIES WHO HAVE HEARD THE WHITTLE PITCH SAY THEY REMAIN SKEPTICAL
AND HAVEN'T COME TO ANY DECISIONS YET AS TO WHETHER TO INVEST

BY BRINGING IN NEW INVESTORS WHITTLE ALSO COULD RESTRUCTURE ITS CURRENT
EQUITY BASE AND REDUCE THE HOLDINGS OF TIME WARNER INC WHICH HAS A 375
STAKE IN WHITTLE TIME WARNER HAS SAID IT WANTS TO MONETIZE
NONINCOMEPRODUCING ASSETS SUCH AS WHITTLE TIME WARNER OFFICIALS
ACKNOWLEDGE THAT THE COMPANY HAS INVESTED A RELATIVELY SMALL SUM IN
FIRSTYEAR RESEARCH FOR THE EDISON PROJECT BUT THERE IS NO INDICATION TIME
WARNER WILL MAKE ANY FURTHER INVESTMENT IN EDISON

WHITTLE'S OTHER PARTNERS ARE EXPECTED TO MAINTAIN THEIR STAKES FINANCIAL
PARTNERS WITH CURRENT STAKES IN THE KNOXVILLE TENN MEDIA COMPANY INCLUDE
DUTCH ELECTRONICS GIANT PHILIPS ELECTRONICS NV WITH 25 AND LONDONBASED
ASSOCIATED NEWSPAPERS HOLDINGS LTD

WHITTLE'S FOUNDER AND CHAIRMAN CHRISTOPHER WHITTLE AND BENNO SCHMIDT JR
THE FORMER YALE UNIVERSITY PRESIDENT WHO NOW IS CHIEF EXECUTIVE OF THE
EDISON PROJECT HAVE BEEN ON A RELENTLESS CAMPAIGN TO PITCH THE SCHOOL PLAN
TO POTENTIAL CORPORATE INVESTORS IN RECENT MONTHS BOTH EXECUTIVES DECLINED
TO COMMENT BUT THE COMPANY DENIED SPECULATION THAT WHITTLE IS IN A SEVERE
CASH BIND

WHITTLE'S TALKS WITH THE COMPANIES ARE THE LATEST TWIST IN MR WHITTLE'S
AMBITIOUS AND CONTROVERSIAL EDISON PROJECT WHICH ENVISIONS A CHAIN OF AS
MANY AS 1000 FORPROFIT SCHOOLS IN COMING YEARS INITIALLY THE PLANS CALL
FOR 65 SCHOOL CAMPUSES EACH WITH CLASSES AND SERVICES RANGING FROM
PRESCHOOL THROUGH HIGH SCHOOL ENROLLING AN ESTIMATED 65000 STUDENTS BY
1996 EDISON'S GOAL IS TO ENROLL ONE MILLION STUDENTS NATIONWIDE BY 2003

BUT THE PLAN HAS BEEN REVISED SIGNIFICANTLY SINCE MR WHITTLE FIRST
ANNOUNCED LAST MAY THAT HE WOULD SPEND 60 MILLION ON RESEARCHING THE IDEAL
SCHOOL SYSTEM WHITTLE HAS SO FAR SPENT ONLY 20 MILLION AND HAS ALSO
SIGNIFICANTLY REDUCED ESTIMATES OF THE COST OF LAUNCHING THE PROJECT TO
750 MILLION FROM 25 BILLION THE 750 MILLION FIGURE REPRESENTS THE
INVESTMENT NEEDED TO GET EDISON TO A CASHFLOW POSITIVE STATUS IN ABOUT
FOUR YEARS INSIDERS AT THE TALKS SAY WHITTLE IS EXPECTED TO SPEND OVER
TIME MORE THAN 2 BILLION ON THE PROJECT REINVESTING PROFITS FROM THE
FIRST SCHOOLS TO EXPAND THE PROJECT

INSIDERS FAMILIAR WITH THE TALKS SAY THE REASON FOR THE DRASTICALLY REDUCED
COST ESTIMATES IS THE PROSPECT OF TAKING OVER THE EXISTING MANAGEMENT OF
PUBLIC SCHOOLS INSTEAD OF BUILDING ONLY NEW COMPETING SCHOOLS AS ORIGINALLY
ENVISIONED WHILE MANY PUBLICSCHOOL OFFICIALS HAVE BEEN SHARPLY CRITICAL OF
MR WHITTLE WHOSE EDISON PROJECT THEY SEE AS AN INDICTMENT OF THE
PUBLICSCHOOL SYSTEM SOME PUBLIC OFFICIALS HAVE APPARENTLY APPROACHED
WHITTLE ABOUT MANAGING THEIR SCHOOLS

WHITTLE EXECUTIVES SAY OTHER COMPANIES IN DISCUSSIONS ABOUT POSSIBLE
INVESTMENTS INDIVIDUALLY OR AS A CONSORTIUMINCLUDE COX ENTERPRISES INC
A CABLETV OWNER AND NEWSPAPER PUBLISHER AND TRIBUNE CO PUBLISHER OF THE
CHICAGO TRIBUNE AND PRODUCER OF TV PROGRAMS IN SEEKING INVESTORS WHITTLE
TARGETED THE COMPANIES BASED ON CATEGORIES OF EXPERTISE WHICH INCLUDE
CONTENT/TEXT TRANSMISSION/TECHNOLOGY SITE EXPERTISE AND CABLE/MEDIA
ACCORDING TO ONE EXECUTIVE

DAVID EASTERLY PRESIDENT OF COX NEWSPAPERS A UNIT OF COX ENTERPRISES SAID
COX EXECUTIVES HAVE VISITED WHITTLE'S KNOXVILLE HEADQUARTERS EDISON IS
SOMETHING WE ARE LOOKING AT HE SAID BUT WOULDN'T COMMENT FURTHER

WE HAVE HAD A LOT OF INTEREST IN THIS SAYS NANCY PERETSMAN A MANAGING
DIRECTOR AT SALOMON BROS WHO IS ADVISING WHITTLE IN ITS TALKS WITH
POTENTIAL CORPORATE INVESTORS WE ARE ENORMOUSLY ENCOURAGED BY THE LEVEL OF
INTEREST THAT IS EVIDENCED TO DATE BY A MULTITUDE OF COMPANIES TO INVEST IN
THE EDISON PROJECT

THE EDISON SCHOOLS ARE EXPECTED TO INCLUDE INTERACTIVE MEDIA GADGETS
ELECTRONIC LIBRARIES AND PORTABLE COMPUTERS FOR STUDENTS' USE ALL OF WHICH
COULD BE SUPPLIED BY POTENTIAL INVESTORS COMPANIES SUCH AS DISNEY AND
PEPSI WITH THEIR THEME PARKS AND RESTAURANTS KNOW THE REALESTATE MARKET
UNDERSTAND QUALITY CONTROL AND RUN LARGESCALE EMPLOYEE OPERATIONS SAYS A
WHITTLE EXECUTIVE APPLE FOR EXAMPLE MIGHT PROVIDE THE COMPUTERS
SPECIALLY DESIGNED FOR STUDENTS FOR THE WHITTLE SCHOOLS

IF WHITTLE CAN PULL TOGETHER A GROUP OF POWERFUL INVESTORS IT WOULD BE A
CONSIDERABLE COUP FOR THE COMPANY WHICH HAS BEEN BUFFETED BY CONTROVERSY
AND SOME TROUBLES IN ITS BASIC BUSINESS OF ONSITE MEDIA AND SINGLESPONSOR
ADVERTISING VEHICLES IN 1991 LEVERAGEDBUYOUT COMPANY FORSTMANN LITTLE &
CO PULLED OUT OF A PLAN TO INVEST 350 MILLION IN WHITTLE AFTER
DISAGREEMENT WITH WHITTLE ON GROWTH ESTIMATES AND THE POTENTIAL SUCCESS OF
SEVERAL WHITTLE PROJECTS UNDER DEVELOPMENT

A HIGHRANKING WHITTLE EXECUTIVE SAID YESTERDAY THE COMPANY TODAY IS QUITE
CASHFLOW POSITIVE ADDING THAT ANY MONEY RAISED FOR EDISON WOULD BE ONLY
FOR THE PROJECT WHICH POSSIBLY WOULD BECOME A SEPARATE COMPANY FROM
WHITTLE HE SAID PROJECTS SUCH AS CHANNEL ONE A NEWS PROGRAM FOR SCHOOLS
AND THE MEDICAL NEWS NETWORK A TELEVISION SYSTEM FOR PHYSICIANS WERE DOING
WELL A TROUBLE SPOT THE SPECIAL REPORTS MAGAZINE AND TV PROGRAM FOR
DOCTOR'S WAITING ROOMS IS BETTER THAN IT WAS 9305050127 930505 WHAT'S
NEWS  WORLDWIDE

THE US PREPARED TO SEND 3000 TO 4000 SOLDIERS TO BOSNIA WITHIN 10 DAYS

THE PEACEKEEPING TROOPS COULD BE ON THE GROUND IN BOSNIA BY THE END OF NEXT
WEEK A JOINT CHIEFS OFFICIAL SAID THE INITIAL ARMY DEPLOYMENT DEPENDS ON
WHETHER THE BOSNIAN SERB ASSEMBLY RATIFIES A PEACE TREATY THE DEPLOYMENT
WOULD GO FORWARD EVEN IF THERE ARE POCKETS OF RESISTANCE IN EASTERN BOSNIA
ACCORDING TO THE JOINT CHIEFS OFFICIAL IF THE US TROOPS ARE ATTACKED
THEY WILL BE ALLOWED TO RESPOND AGGRESSIVELY HE SAID ADDING THAT US
PLANES WOULD PROVIDE AIR COVER

CHRISTOPHER WHO IS VISITING US ALLIES TO WIN SUPPORT FOR LIMITED MILITARY
STEPS CALLED REPORTS OF A SERB ASSAULT AGAINST THE TOWN OF ZEPA A SERIOUS
SETBACK FOR THE PEACE ACCORD THE SECRETARY OF STATE MEETS TODAY WITH
YELTSIN

A JAPANESE UN PEACEKEEPER WAS KILLED AND NINE OTHER PEOPLE WERE WOUNDED IN
AN AMBUSH IN NORTHWEST CAMBODIA A UN SPOKESMAN SAID THE ATTACK WAS
CARRIED OUT BY KHMER ROUGE GUERRILLAS WHO ARE ATTEMPTING TO UNDERMINE A MAY
2328 ELECTION ON MONDAY THE KHMER ROUGE ATTACKED A PROVINCIAL CAPITAL

THE WHITE HOUSE SIGNALED A WILLINGNESS TO PHASE IN BENEFITS UNDER ITS
PROPOSED HEALTHCARE PLAN WHILE PURSUING A TIMETABLE THAT WOULD EXTEND
COVERAGE TO ALL AMERICANS IN TWO TO THREE YEARS

THE SENATE VOTED 7915 TO ELEVATE THE ENVIRONMENTAL PROTECTION AGENCY TO
CABINET LEVEL AND GIVE IT A NEW NAME THE DEPARTMENT OF ENVIRONMENTAL
PROTECTION THAT WOULD BE ESTABLISHED UNDER THE BILL WOULD BE THE 15TH
CABINETLEVEL FEDERAL AGENCY THE MEASURE BACKED BY CLINTON MUST STILL BE
PASSED BY THE HOUSE

SIGNS OF A SPLIT EMERGED BETWEEN ISRAELI PRIME MINISTER RABIN AND HIS
FOREIGN MINISTER PERES OVER HOW FAR ISRAEL SHOULD GO IN GRANTING
PALESTINIANS SELFRULE IN THE OCCUPIED LANDS RESPONDING TO A SUGGESTION BY
PERES FOR A CONFEDERATION BETWEEN JORDAN AND THE PALESTINIANS RABIN SAID HE
OPPOSED MOVING TOO QUICKLY IN THE MIDEAST TALKS

ISRAELI TROOPS SHOT THREE PALESTINIANS TO DEATH AND WOUNDED AT LEAST 44 IN
THE OCCUPIED GAZA STRIP AS CLASHES ERUPTED THERE RESIDENTS SAID IN SOUTH
LEBANON ISRAELI HELICOPTERS AND TANKS ATTACKED BASES OF SUSPECTED
IRANIANBACKED GUERRILLAS KILLING TWO REBELS AND WOUNDING SEVEN OTHER
PEOPLE SECURITY SOURCES SAID

FRENCH PRESIDENT MITTERRAND DEFENDED THE INTEGRITY OF PIERRE BEREGOVOY AT
HIS FUNERAL THREE DAYS AFTER THE FORMER PREMIER'S SUICIDE AND DENOUNCED
THOSE WHO THREW HIM TO THE DOGS BEREGOVOY 67 HAD RESIGNED AFTER HIS
SOCIALIST PARTY'S ELECTION DEFEAT IN MARCH HE ALSO WAS TROUBLED BY CHARGES
OF PERSONAL IMPROPRIETY

EL SALVADOR'S PRESIDENT BACKED DOWN UNDER INTERNATIONAL PRESSURE AND BEGAN
REMOVING 15 TOP SALVADORAN MILITARY OFFICERS IN A UNBACKED PURGE OF
HUMANRIGHTS ABUSERS CRISTIANI WHO DEMOTED TWO OF THE COMMANDERS OVER THE
WEEKEND PREVIOUSLY HAD TOLD THE UN HE WAS UNABLE TO REMOVE ANY OF THEM
UNTIL 1994

GAY FORMER SOLDIERS URGED CONGRESS TO LET CLINTON PUT HOMOSEXUALS INTO THE
MILITARY SAYING FEW SOLDIERS WOULD ANNOUNCE THEY ARE HOMOSEXUALS MUCH LESS
PROPOSITION HETEROSEXUAL SOLDIERS THEY TESTIFIED AT A HOUSE HEARING ON THE
PRESIDENT'S PLAN TO LIFT THE HOMOSEXUAL BAN UNLESS CONGRESS OR THE MILITARY
CONVINCE HIM OTHERWISE

AN EXEAST GERMAN SPY CHIEF ACCUSED GERMANY OF PUTTING HIM ON TRIAL TO GET
EVEN WITH COLD WAR COMMUNIST FOES AT THE OPENING OF HIS TREASON AND
ESPIONAGE TRIAL MARKUS WOLF CLAIMED HE WAS BEING MADE A SCAPEGOAT HE SAID
PROSECUTORS HAD DELIBERATELY DRAWN A LINE BETWEEN BAD EASTERN SPIES AND
GOOD WESTERN AGENTS

THE WHITE HOUSE HAS DROPPED FROM ITS CAMPAIGN FINANCE PACKAGE A PROPOSAL TO
FUNNEL PUBLIC MONEY TO THE NATIONAL POLITICAL PARTIES ADMINISTRATION AND
CONGRESSIONAL AIDES SAID THE REFORM PACKAGE IS EXPECTED TO BE UNVEILED
TOMORROW THE WHITE HOUSE HAS DELAYED RELEASING IT IN A BID TO RESOLVE
LAWMAKERS' CRITICISMS OF THE PLAN

AN EXPLOSION AT A POWER PLANT CAUSED A TEMPORARY POWER OUTAGE THROUGHOUT THE
FORMER SOVIET REPUBLIC OF GEORGIA AND OFFICIALS IMMEDIATELY BLAMED REBELS
FOR THE BLAST THE EXPLOSION OCCURRED IN WESTERN GEORGIA WHERE OUSTED
PRESIDENT GAMSAKHURDIA'S BACKERS ARE WAGING A GUERRILLA WAR AGAINST THE
SHEVARDNADZE GOVERNMENT 9305050126 930505 AUTO WORKER GOALS IN CANADA
DIFFER FROM UAW'S LIST  BY MARK HEINZL STAFF REPORTER OF THE
WALL STREET JOURNAL

TORONTO CANADIAN AUTO WORKERS PRESIDENT BUZZ HARGROVE SAID WAGES
PENSIONS INCOME SECURITY AND SHORTER WORK TIME ARE THE LEADING ISSUES THE
UNION WILL NEGOTIATE WITH AUTO MAKERS THIS SUMMER

MR HARGROVE SPEAKING TO A CHARGED CROWD OF ABOUT 600 DELEGATES AT THE
UNION'S BARGAINING CONVENTION HERE UNVEILED A NEGOTIATING AGENDA THAT
DIFFERS SIGNIFICANTLY FROM THAT OF THE UNITED AUTO WORKERS THE UAW PUT
HEALTH CARE RETIREE BENEFITS AND INCOME SECURITY AT THE TOP OF THE
BARGAINING LIST AT ITS CONVENTION LAST WEEK JOB SECURITY A UAW CONCERN
WON'T FIGURE IN THE CAW NEGOTIATIONS MR HARGROVE SAID

YOU CAN'T BARGAIN JOB SECURITY IN A MARKET ECONOMY MR HARGROVE SAID IN
AN INTERVIEW

HEALTH CARE ISN'T A BIG CONCERN AMONG UNIONS IN CANADA SINCE THE COUNTRY HAS
SOCIALIZED MEDICINE RETIREES ARE REQUIRED TO PAY FOR SOME DRUGS HOWEVER
THE COSTS OF WHICH THE CAW WILL TRY TO PASS ON TO THE CORPORATIONS HE SAID

SHORTER WORK TIME IS NEEDED TO ALLOW MORE PEOPLE TO BENEFIT FROM AN ECONOMIC
RECOVERY THAT HAS SPAWNED FEW NEW JOBS HE SAID

THE CAW HAS ABOUT 170000 MEMBERS IN CANADA MORE THAN HALF OF WHOM WORK IN
THE AUTO OR AUTO PARTS INDUSTRY

THE CONVENTION WILL INCLUDE A SPEECH TOMORROW FROM UNITED AUTO WORKERS
PRESIDENT OWEN BIEBER HIS FIRST ADDRESS TO THE CAW SINCE IT MADE A BITTER
SPLIT FROM THE UAW IN 1985

THE SPLIT CAME AFTER CANADIAN UNION OFFICIALS LED BY BOB WHITE COMPLAINED
THAT THE US UNION GAVE UP TOO MUCH TO THE BIG THREE AUTO MAKERS IN
NEGOTIATIONS THE PREVIOUS YEAR THE SPLIT CAUSED TENSIONS BETWEEN THE UNIONS
THAT LINGER TODAY ANALYSTS SAY

MR HARGROVE WHO LAST JUNE TOOK OVER FROM MR WHITE AS CAW PRESIDENT SAID
THE TWO UNIONS PLAN TO WORK TOGETHER ON SOME ISSUES COMMON TO BOTH BUT HAVE
NO INTENTION OF ANY FORMAL LINK

MR BIEBER'S PRESENCE AT THE CAW CONVENTION MEANS THE TWO UNIONS ARE MORE
THAN JUST SHAKING HANDS BUT IT'S A FAR CRY FROM ANYTHING THAT WAS THERE IN
THE PAST MR HARGROVE SAID IN AN INTERVIEW

FOR EXAMPLE THE UNIONS WILL JOIN IN AN EFFORT TO STOP PASSAGE OF THE NORTH
AMERICAN FREE TRADE AGREEMENT CURRENTLY BEFORE THE US CONGRESS MR
HARGROVE SAID

BUT MR BIEBER MAY FACE CRITICISM FROM CANADIAN WORKERS WHO FEEL JILTED BY
THE UAW'S AGREEMENT WITH MACK TRUCKS INC SAID JOHN REDEKOP A POLITICAL
SCIENCE PROFESSOR AT WILFRID LAURIER UNIVERSITY IN WATERLOO ONTARIO

UAW WORKERS AT MACK TRUCKS BASED IN ALLENTOWN PA LAST MONTH ACCEPTED
CONCESSIONS IN RETURN FOR HIGHER PRODUCTION AT THE COMPANY'S TWO US
PLANTS CANADIAN UNION OFFICIALS SAID THEY EXPECT MACK TO ANNOUNCE THIS WEEK
THE CLOSURE OF ITS OAKVILLE ONTARIO PLANT THIS SUMMER THE OAKVILLE
CLOSURE IS EXPECTED TO PUT MORE THAN 200 EMPLOYEES MOSTLY UNIONIZED OUT OF
WORK MR HARGROVE BLAMED THE USCANADA FREETRADE AGREEMENT FOR THE
CLOSURE ADDING THAT THE CANADIAN PLANT WAS SINGLED OUT BECAUSE IT IS TOO
SMALL TO HANDLE THE INCREASED PRODUCTION

MR BIEBER WAS UNAVAILABLE FOR COMMENT 9305050125 930505 WHO'S NEWS 
BIDERMANN INDUSTRIES CORP

BIDERMANN INDUSTRIES CORP NEW YORK PHIL MOLINARI 45 YEARS OLD WAS
NAMED PRESIDENT OF THE CLUETT PEABODY & CO UNIT A MAKER OF SHIRTS UNDER
THE ARROW LABEL HE SUCCEEDS DAVID WATERS 54 WHO RESIGNED FOR PERSONAL
REASONS THE COMPANY SAID MR MOLINARI MOST RECENTLY WAS EXECUTIVE VICE
PRESIDENT OF SALES AT NEW YORKBASED BUGLE BOY INDUSTRIES ADDITIONALLY
BIDERMANN NAMED DAVID HALL 32 VICE PRESIDENT AND CONTROLLER OF CLUETT MR
HALL WHO HAD BEEN ASSISTANT CORPORATE CONTROLLER AND TREASURER FOR
BIDERMANN SUCCEEDS BRAD BATTEN 38 WHO RESIGNED TO JOIN ANOTHER COMPANY
9305050124 930505 LOS ANGELES WHERE POLITICS IS AN ALSORAN  BY
TIM W FERGUSON

IT WAS EASY TO DISREGARD THE LOS ANGELES MAYORAL ELECTION TWO WEEKS AGO AND
IN FACT MOST PEOPLE IN THE CITY DID THE TURNOUT WAS A THIRD OF AN
ELECTORATE THAT IS ITSELF BARELY A THIRD OF THE POPULATION

AT A TIME OF SUPPOSED DISGUST WITH THE STATUS QUO THE MAN CONVENTIONALLY
EXPECTED TO EMERGE FROM A JUNE 8 RUNOFF IS A MANHATTANLIKE LIBERAL WHO HAS
STITCHED TOGETHER MANY OF THE URBAN CONSTITUENCIES THAT HAVE KEPT TOM
BRADLEY IN THE MAYOR'S POST FOR 20 YEARS HOLLYWOOD COUNCILMAN MICHAEL WOO
IS STRESSING HIS PARTISAN TIES IN AN INCREASINGLY DEMOCRATIC CITY

LAWYER/INVESTOR/DOGOODER RICHARD RIORDAN THE OTHER FINALIST HAS SET
REPUBLICAN HEARTS AFLUTTER WITH THE PROSPECT HE MIGHT BRING MANAGERIAL
EFFICIENCY TO THE 4 BILLION SLUG THAT IS CITY GOVERNMENT YET HE WAS AN
INSIDER AT CITY HALL FOR MUCH OF THESE PAST TWO DECADES AND BANKROLLED MR
BRADLEY'S FAILED RUNS FOR GOVERNOR OF CALIFORNIA AGAINST THE MORE
CONSERVATIVE GEORGE DEUKMEJIAN THAT JUST SHOWS HE'S NO IDEOLOGUE MR
RIORDAN SAYS HE'S REPORTED TO HAVE 40000 BOOKS IN HIS HOME BUT SIMPLE
PRAGMATISM IS HIS TEXT

MR RIORDAN SAYS THAT IF ELECTED HE'D SCHMOOZE HIS WAY TO CONSENSUS AND
AVOID CONFRONTATION NOT LIKELY FOR HIM PRIVATIZATION ISN'T A RELIGIOUS
TENET BUT HIS STAFF AND NOT MR WOO'S HAS BEEN EXPLORING IDEAS WITH THE
MARKETLOVING REASON FOUNDATION

MAYBE MR RIORDAN IS JUST SOFTPEDALING THE STRINGENCY THAT LIES AHEAD IN A
CITY THAT IS COLLECTING LESS THAN 80 OF WHAT IT PLANS TO SPEND ON
OPERATIONS BUT HIS TRUE PHILOSOPHY IF ANY CAN BE CRUCIAL CAPABLE
BUSINESSMEN WHO ENTER PUBLIC OFFICE UNANCHORED BY CORE BELIEFS HAVE A
HISTORY OF SHOWING THEIR GENEROSITY WITH PUBLIC MONEY

AS TOUGH AS IT MAY BE FOR A GENUINE FREEMARKET MESSAGE TO CARRY THE DAY IN
A MAJOR CITY MR WOO WON'T HAVE THAT EASY A RIDE EITHER HE GOT 24 IN THE
PRIMARY NO LIBERAL THAT IS NO ONE OPPOSED BY THE SAN FERNANDO VALLEY
AND OTHER REMAINING STRONGHOLDS OF THE 1960S WHITE LA HAS COME FROM AS
FAR AS HE MUST MR WOO LIKE MR RIORDAN HAS HIGH NEGATIVES IN SURVEYS
AND THE THIRD AND FOURTHPLACE FINISHERS WERE FROM THE VALLEY

NOT MANY ANGELENOS CARE ABOUT SUCH ELECTORAL DETAILS BUT EVEN IF MOST
ATTENTION IS ELSEWHERE THE CITY DOES HAVE TO OPERATE A GOVERNMENT AND IT
IS HAVING TROUBLE DOING SO

LIKE MOST MAJOR US CITIES LOS ANGELES HAS CRIED POVERTY WHILE UNTIL
LATELY AMPLY ADDING TO SPENDING THE CITY BUDGET ABOUT DOUBLED EVERY TWO
TERMS OF MR BRADLEY'S MAYORALTY TRADITIONAL SERVICES SUCH AS THE LIBRARY
HAVE LAGGED THIS PACE WHILE SOCIAL PROGRAMS THAT REFLECT THE BENT OF THE
MAYOR AND MICHAEL WOO GREW SMARTLY THE BIGGEST SINGLE GROWTH FACTOR
RECENTLY HOWEVER IS ONE SHARED WITH MANY MUNICIPALITIES SEWAGE THANKS
GREATLY TO FEDERAL MANDATES WASTEWATER TREATMENT COSTS WILL RISE FROM 202
MILLION IN 1986 TO 838 MILLION THIS YEAR

MOST EVERYONE RUNNING FOR MAYOR THIS YEAR WANTED TO HIRE MORE POLICE THE
CHRISTOPHER COMMISSION WHICH EXAMINED LAST YEAR'S RIOT FOUND LA HAS THE
SECOND MOST EXPENSIVE OFFICERS IN THE NATION EACH 1500 NEW ONES WOULD ADD
90 MILLION TO THE 22 BILLION OPERATING BUDGET CITY COUNCIL FINANCE
CHAIRMAN ZEV YAROSLAVSKY SAYS PROBLEM IS REVENUE IS NOW SHRINKING

THE CITY'S ECONOMY CARRIES HEAVY WEIGHTS THE OFFICIAL PERMIT PROCESS IS
NOTORIOUSLY FRUSTRATING BETWEEN CITY COUNTY REGIONAL STATE AND FEDERAL
AGENCIES AS MANY AS 200 APPROVALS ARE NEEDED FOR LIGHT INDUSTRY COSTS OF
DOING BUSINESS INCLUDING CRIME IN A CONGESTED BUT UNTIL RECENTLY
HIGHLY DESIRABLE AREA LONG AGO GREW TOO HIGH FOR MANY OLDLINE
MANUFACTURERS THE MOST SIGNIFICANT CURRENT EXPENSE THE CORRUPT WORKERS'
COMPENSATION LIABILITY SYSTEM OF THE STATE CONTINUES TO HAUNT BUSINESS EVEN
AS LEGISLATORS AND INSURANCE COMPANIES BEGIN TO TURN UP THE HEAT ON
FRAUDULENT CLAIMS

PIONEER FRENCH BAKERY CO IN THE VENICE DISTRICT IS EMBLEMATIC THE
85YEAROLD FAMILY BUSINESS ACTUALLY THEY ARE BASQUE MAKES PREMIUM
SOURDOUGH BREAD GROWTH FLATTENED WITH THE CALIFORNIA RECESSION AND
RECENTLY THE COMPANY CUT BACK DELIVERIES SHARPLY WORKERS' COMP EXPENSES
NEARLY TRIPLED TO 120000 A MONTH OVER THE SAME THREE YEARS IN WHICH
SALES STAGNATED AS AT OTHER WORKPLACES EMPLOYEES WOULD PRESENT THEIR
PERSONAL MEDICAL PROBLEMS AS JOBRELATED INJURIES TO GET FIRSTDOLLAR
COVERAGE EVEN THOUGH THEY HAD UNION BENEFIT PLANS

MEANWHILE ACCORDING TO JOHN GARACOCHEA THE YOUNG VICE PRESIDENT WHO RUNS
PIONEER WITH TWO ELDERS THE LOCAL AIRQUALITY DISTRICT ASKS THAT AN
EMPLOYEE BE POSTED BY A HAM RADIO TO MONITOR ANY SEVERE SMOG ALERTS THAT
WOULD REQUIRE NOTIFICATION OF EMPLOYEES SUCH ALERTS NOW AREN'T EVEN ISSUED
ONCE A YEAR AT THAT PIONEER IS LUCKIER THAN A LOT OF BAKERIES BECAUSE THE
LOW YEAST CONTENT OF ITS PRODUCT SPARES IT MOST EMISSIONS RESTRICTIONS AND
THE FACT THAT MOST OF ITS WORKSHIFTS ARE GRAVEYARD MEANS IT NEEDN'T COME
UP WITH THE COMMUTER RIDESHARING PLAN DEMANDED OF MOST BIG EMPLOYERS

THE SMOG REGULATORS HAVE BEEN FORCED BY THE SEVERE SLUMP TO ABANDON SOME OF
THEIR AUTOCRATIC WAYS BUT AS THEY ADOPT A MORE ACCOMMODATING OR
MARKETFRIENDLY STANCE VARIOUS GREEN LOBBIES ARE QUICK TO DRAG THEM INTO
COURT FOR NOT BEING TOUGH ENOUGH AND THERE'S NOTHING THE MAYOR OF LOS
ANGELES CAN DO ABOUT IT NO MATTER HOW FOCUSED ON JOBS HE IS

HARD TIMES ARE A GOOD TIME FOR ENTREPRENEURSHIP SAYS JON GOODMAN WHO HEADS
A UNIVERSITY OF SOUTHERN CALIFORNIA PROGRAM THAT HAS ENROLLED NEARLY 200
CAPITALISTS FROM THE SOUTH CENTRAL AREA MANY ENTERPRISES IN THE INNER CITY
ARE INVISIBLE TO THE PASSING EYE SHE SAYS BECAUSE THEY HAVE AN INWARD
PROFILE NOT WISHING TO ADVERTISE THEIR EXISTENCE TO THE STREET YET THE
DREARY AND EVEN DECREPIT APPEARANCE OF MUCH OF THE PHYSICAL PLANT THERE
CONTRIBUTES TO THE FEAR AND REALITY OF CRIME DOING SOMETHING ABOUT THAT
TAKES MONEY AND CONFIDENCE BOTH IN SHORT SUPPLY

THE MOST SIGNIFICANT PUBLICWORKS PROJECT IN VIEW MORE THAN THE GRANDIOSE
TRANSIT LINES IS THE SOCALLED ALAMEDA CORRIDOR A 15 BILLION BELOWGRADE
RAIL/TRUCK LINE CONNECTING THE TWIN PORTS OF LONG BEACH AND LOS ANGELES AND
THE WAREHOUSERAILYARD DISTRICT EAST OF DOWNTOWN CONSIDERED VITAL TO
INCREASING THE USE OF THE HARBORS TO CONNECT WITH INTERIOR US MARKETS THE
PLAN'S FUNDING IS NO SURE THING NEITHER IS EXPANSION OF THE BUSTLING CARGO
OPERATION AT LA INTERNATIONAL AIRPORT THERE THE PROBLEM IS NOT MONEY BUT
NEIGHBORS WHO DON'T LIKE NOISE

PACIFIC RIM TRADE IS ONE STRONG ECONOMIC NOTE THAT HAS CONTINUED INTO THE
1990S THE INTERNATIONALIZATION OF PRODUCTION WITH PARTS SHIPPED TO THE FAR
EAST FOR ASSEMBLY AND THEN RETURNED TO THE US AS FINISHED GOODS HAS
MAGNIFIED THE TRAFFIC TO AND FROM ASIA BEING AT ITS HUB HAS HELPED LA
BECOME A DESIGN CENTER FOR SEVERAL INDUSTRIES THE MAYOR CAN BE A BOOSTER
AS TOM BRADLEY AND SAM YORTY BEFORE HIM WERE BUT THIS COMMERCE IS MORE A
FUNCTION OF INTERNATIONAL TRADE RELATIONS AND CORPORATE SOURCING DECISIONS

MANY BELIEVE THAT THE MODERN LA DREAM OF BEING A COSMOPOLITAN MECCA WAS
SHATTERED BY THE RIOT A YEAR AGO IT IS TRUE THAT THE KOREANAMERICAN
COMMUNITY ONCE THRIVING IN THE CENTRAL CITY HAS NOT REBOUNDED WELL FROM
THE DEVASTATION WREAKED ON IT BUT NOT ALL THE OUTSIDE ENERGY THAT POWERED
LOS ANGELES IN THE 1980S HAS BEEN LOST MAJOR JAPANESE INVESTORS HAVEN'T
ABANDONED THEIR INTERESTS SUMITOMO CORP FOR INSTANCE IS PUSHING AHEAD IN
RECYCLING AND OTHER ENVIRONMENTAL TECHNOLOGIES LOCALLY

EVEN MORE STRIKING RECENT FIGURES FOR THE FEDERAL RESERVE SYSTEM INDICATE A
MASSIVE INFUSION OF CASH INTO THE WESTERN REGION SPECULATION IS THAT IT'S
COMING FROM ASIA PROBABLY FOR ILLICIT ACTIVITIES IN PART BUT ALSO TO
FINANCE LEGAL INVESTMENTS BY CHINESE FROM THE MAINLAND HONG KONG AND
TAIWAN ANECDOTAL EVIDENCE SUGGESTS A MAJOR ENTRY INTO THE PROPERTY MARKET

THOUGH MR WOO IS ETHNIC CHINESE FOREIGN CAPITAL FLOWS AREN'T LIKELY TO
RIDE ON THE IDENTITY OF THE NEW MAYOR CEREMONIAL ENERGY AND RESTORED
HOPEFULNESS CAN BE EXPECTED FROM THE WINNER BUT BEYOND THAT THERE'S NO
COUNTING ON MUCH A YEAR AFTER THE RIOTS FEW WISH TO TAKE MUCH TIME AWAY
FROM GETTING BY OR GETTING RICH OR GETTING SUN TO GRAPPLE WITH GOVERNMENT
ANYWAY

MR WOO SAYS HE WILL RAISE TAXES BUT THE NEW MAYOR WILL NEED TO BALANCE THE
BUDGET WITHOUT FURTHER UNSETTLING PRODUCTIVE LA MR RIORDAN'S PITCH IS
LET ME TAKE CARE OF THINGS THAT HAS SOME APPEAL BASICALLY THE VOTING
MINORITY THAT DECIDES THINGS WILL BE LOOKING FOR SOMEONE WHO CAN KEEP CITY
HALL OFF THEIR MINDS FOR ANOTHER FOUR YEARS

MR FERGUSON IS A LOS ANGELESBASED MEMBER OF THE JOURNAL'S EDITORIAL BOARD
9305050123 930505 MARKETING & MEDIA SOUTHWESTERN BELL COX TO
ESTABLISH A PHONE CABLE VENTURE IN UK

SAN ANTONIO SOUTHWESTERN BELL CORP AND COX CABLE COMMUNICATIONS SIGNED
AN AGREEMENT ESTABLISHING A PARTNERSHIP IN BOTH THE CABLE TELEVISION AND
TELEPHONE BUSINESSES IN THE UK TERMS WEREN'T DISCLOSED

UNDER A PRELIMINARY AGREEMENT ANNOUNCED IN MARCH COX INITIALLY WILL HOLD A
25 INTEREST IN SOUTHWESTERN BELL'S CABLE AND TELEPHONE OPERATIONS AND HAS
AN OPTION TO INCREASE ITS STAKE OPERATIONS WILL BE MANAGED BY A COMMITTEE
OF SOUTHWESTERN BELL AND COX REPRESENTATIVES THE FRANCHISE AREA IS IN
CENTRAL AND NORTHWESTERN BRITAIN AND HAS MORE THAN ONE MILLION HOMES
CURRENTLY THE NETWORK MANAGED BY THE NEW PARTNERSHIP PASSES MORE THAN
250000 HOMES AND HAS A PENETRATION RATE EXCEEDING 20 FOR BOTH CABLE AND
TELEPHONE SERVICE

COX CABLE IS A UNIT OF CLOSELY HELD COX ENTERPRISES INC BASED IN ATLANTA
AND SOUTHWESTERN BELL IS A REGIONAL BELL TELEPHONE COMPANY 9305050122
930505 REVIEW & OUTLOOK EDITORIAL ASIDES WHY NOT A WOMAN

WE READ WHERE THE CLINTON WHITE HOUSE IS SEEKING A DEPUTY TO CHIEF OF STAFF
MACK MCLARTY TO IMPOSE SOME DISCIPLINED COHERENCE ON THE PLACE'S
RAMBUNCTIOUS YOUNG STAFF WHAT'S HER NAME QUITE SERIOUSLY THE NAMES
MENTIONED AS POSSIBILITIES WERE THREE MALE APPARATCHIKS FROM THE BELTWAY'S
DEMOCRATIC POLITICAL MACHINE ARE WE SUPPOSED TO CONCLUDE FROM THIS THAT
IT'S OK TO LET DIVERSITY PUT WOMEN IN HIGH VISIBILITY JOBS BUT THAT WHEN
THE ADMINISTRATION NEEDS TO ACTUALLY GET SOMETHING DONE AND CRACK HEADS THE
JOB HAS TO GO TO A MALE POL THE SYMBOLISM WOULD BE UNFORTUNATE
9305050120 930505 INSIDER TRADING SPOTLIGHT

NOTE SHOWS PURCHASES AND SALES BY MOST OFFICERS AND DIRECTORS WHICH MUST
BE REP ORTED TO THE SEC AND OTHER REGULATORS BY THE 10TH OF THE MONTH
FOLLOWING THE MONTH OF THE TRADE INCLUDES BOTH OPENMARKET AND PRIVATE
TRANSACTIONS INVOLVING DIRECT AND INDIRECT HOLDINGS EXCLUDES STOCKS VALUED
AT LESS THAN 2 A SHARE ACQUISITIONS THROUGH OPTIONS AND COMPANIES BEING
ACQUIRED

CBCHAIRMAN PPRESIDENT DDIRECTOR VPVICE PRESIDENT OOFFICER ZOTHER

RANKED BY THE NET CHANGE IN SHARES HELD BY THOSE INSIDERS WHO BOUGHT OR SOLD
DURI NG THE LAST 12 WEEKS EXPRESSED AS A PERCENTAGE CHANGE OF ONLY THEIR
HOLDINGS AT THE START OF THE PERIOD REFLECTS COMPANIES FOR WHICH FILINGS
MADE LAST WEEK SHOWED SOME INSIDER ACTIVITY DURING THE LATEST 12 WEEKS
EXCLUDED COMPANIES WITH TOTAL TRADES VALUED UNDER 75000 OPTIONRELATED
SALES COMPANIES WITH FEWER THAN THRE E BUYERS OR SELLERS OR FEWER BUYERS
OR SELLERS THAN THE HISTORICAL AVERAGE FOR THE PERIOD 9305050119 930505
TECHNOLOGY SUN DECIDES IT DOES WINDOWS AFTER ALL  MICROSOFT RIVAL
PLANS WAY FOR ITS MACHINES TO RUN OTHERS' SOFTWARE EASILY  BY
STEPHEN KREIDER YODER STAFF REPORTER OF THE WALL STREET JOURNAL

SUN MICROSYSTEMS INC WANTS TO SEIZE SOME TURF FROM MICROSOFT CORP AND
INTEL CORP

IN A MOVE THAT COULD FURTHER BLUR DISTINCTIONS AMONG DIFFERENT COMPANIES'
COMPUTERS AND THE SOFTWARE THEY RUN SUN PLANS TO INTRODUCE TODAY A
TECHNOLOGY THAT LETS SOFTWARE WRITTEN FOR MICROSOFT'S WINDOWS OPERATING
SYSTEM RUN ON SUN'S MACHINES SUN ALSO WILL LICENSE THE TECHNOLOGY TO SUCH
VENDORS AS UNIX SYSTEM LABORATORIES INC THAT SELL VERSIONS OF THE UNIX
OPERATING SYSTEM TO OTHER COMPUTER MAKERS

SUN SAYS ITS NEW TECHNOLOGY CALLED WABI WILL ALLOW USERS OF UNIXBASED
MACHINES TO USE WINDOWS APPLICATION SOFTWARE SUCH AS SPREADSHEETS AND WORD
PROCESSORS RIGHT OUT OF THE BOX AND IN A MOVE TO GAIN SOME SAY OVER THE
FUTURE OF THE WINDOWS OPERATING SYSTEM SUN ALSO PLANS TO PROPOSE THE
CREATION OF A PUBLICDOMAIN STANDARD THAT WOULD LET MEMBERS OF THE COMPUTER
INDUSTRY DICTATE THE EVOLUTION OF WINDOWS' MOST IMPORTANT CHARACTERISTIC
CALLED THE APPLICATIONPROGRAMMING INTERFACE OR API

WABI IS AN ATTEMPT TO WRESTLE CONTROL OF MICROSOFT'S APIS AWAY AND PLACE
THEM INTO THE PUBLIC DOMAIN SAID DAVID SMITH A ANALYST AT INTERNATIONAL
DATA CORP A MARKETRESEARCH FIRM

SUN'S MOVE IS A DIRECT ANSWER TO THE CHALLENGE BY MICROSOFT'S WINDOWS NT AN
OPERATING SYSTEM SCHEDULED TO COME OUT LATER THIS YEAR THAT SEEKS TO DO MANY
OF THE THINGS THAT MAKES UNIX POPULAR SUCH AS NETWORKING AND GRAPHICS
WHILE OFFERING THE ABILITY TO RUN WINDOWS SOFTWARE WE DON'T SEE ANY REASON
FOR NT TO EXIST AFTER THIS INITIATIVE BECAUSE THE ONLY ADVANTAGE NT WOULD
HAVE HAD WAS TO SEAMLESSLY RUN WINDOWS SAID ERIC SCHMIDT PRESIDENT OF THE
COMPANY'S SUN TECHNOLOGY ENTERPRISES UNIT

SUN'S MOVE IS ALSO PART OF A BROADER SHIFT IN THE INDUSTRY IN THE 1980S
INTEL AND MICROSOFT BUILT HUGE AND PROFITABLE EMPIRES AS THE
PERSONALCOMPUTER MARKET STANDARDIZED ON MICROSOFT'S OPERATING SYSTEM
RUNNING SOLELY ON INTEL'S CHIPS OTHER OPERATING SYSTEMS SUCH AS VARIOUS
VERSIONS OF UNIX WERE DESIGNED TO RUN ON PARTICULAR CHIPS

BUT SOFTWARE AND CHIP VENDORS HAVE BEGUN SEEKING BROADER MARKETS BREAKING
DOWN THOSE BARRIERS WINDOWS NT WILL RUN ON INTEL'S CHIPS AS WELL AS CHIPS
FROM SILICON GRAPHICS INC'S MIPS UNIT AND FROM DIGITAL EQUIPMENT CORP SUN
PLANS TO ADAPT ITS NEW SOLARIS OPERATING SYSTEM TO RUN ON INTEL'S CHIPS AND
THE POWERPC CHIP BEING DEVELOPED BY INTERNATIONAL BUSINESS MACHINES CORP
APPLE COMPUTER INC AND MOTOROLA INC INTEL'S CHIPS MEANWHILE NOW WILL RUN
MICROSOFT'S OPERATING SYSTEMS VERSIONS OF UNIX AND SOON A VERSION OF NEXT
INC'S OPERATING SYSTEM

SUN'S LATEST MOVE IS IN ESSENCE AN ADMISSION THAT IT CAN'T LIVE WITHOUT
WINDOWS WHAT WABI DOES IS ADMIT LOOK WINDOWS APPLICATIONS ARE WHAT
PEOPLE WANT USE YOUR WINDOWS APPLICATIONS AND RUN THEM ON OUR MACHINES 
YOU DON'T NEED MICROSOFT WINDOWS AND YOU DON'T NEED INTEL AND MORE
IMPORTANTLY YOU DON'T NEED WINDOWS NT' SAID MICHAEL GOULDE A CONSULTANT
WITH PATRICIA SEYBOLD GROUP A MARKETRESEARCH FIRM

PROGRAMS CALLED EMULATORS ALREADY EXIST THAT ALLOW NONINTEL MACHINES TO RUN
WINDOWS SOFTWARE BUT SUCH PROGRAMS WHICH MAKE A COMPUTER MIMIC THE
MICROSOFT AND INTEL SYSTEM SLOW DOWN THE PROGRAMS SIGNIFICANTLY WABI SUN
SAID WILL RUN WINDOWS PROGRAMS AS FAST OR FASTER THAN WHEN THOSE PROGRAMS
ARE RUNNING ON MICROSOFT'S OPERATING SYSTEMS

SELLERS OF UNIX OPERATING SYSTEMS INCLUDING UNIX SYSTEM AND SANTA CRUZ
OPERATION INC SAY THEIR WINDOWSCOMPATIBLE SYSTEMS USING WABI WILL BE OUT
THIS SUMMER

WILLIAM GATES MICROSOFT'S CHIEF EXECUTIVE OFFICER SAID HE DOUBTS SUN'S
SPEED CLAIMS AND POINTED OUT THAT THE CLONES OF PAST MICROSOFT OPERATING
SYSTEMS HAVE FAILED TO GAIN MUCH MARKET SHARE MOREOVER HE SAID WE'LL SEE
IF THEY TOOK SHORTCUTS IN TERMS OF MISUSING OUR INTELLECTUAL PROPERTY

SUN AND OTHER UNIX VENDORS WON'T BE ABLE TO COMPETE ON PRICE WITH MICROSOFT
HE SAID BECAUSE OF MICROSOFT'S HUGE ECONOMIES OF SCALE THEY DON'T HAVE
ANY VOLUMES TO DEFER FIXED COSTS 9305050118 930505 POLITICS & POLICY 
CAPITAL JOURNAL  BY GERALD F SEIB

BEFORE LONG PRESIDENT CLINTON WILL HAVE TO APPEAR ON TELEVISION TO SAY THE
FOLLOWING THE US DOES HAVE NATIONAL INTERESTS IN BOSNIA AMERICA'S GOAL
THERE IS TO STOP A SLAUGHTER NOT SOLVE ALL THE BALKANS' PROBLEMS AND IF IT
USES ITS HEAD THE WORLD COMMUNITY CAN ENFORCE A PLAN TO DO JUST THAT

THERE'S AN ARGUMENT TO BE MADE FOR THOSE PROPOSITIONS THE ARGUMENT SIMPLY
HASN'T BEEN MADE YET BY PRESIDENT CLINTON

YET THE CASE WILL HAVE TO BE MADE SOON FOR ONE WAY OR ANOTHER THE US IS
HEADING TOWARD MILITARY INVOLVEMENT IN BOSNIA THE OPTIMISTIC SCENARIO IS
THAT BOSNIA'S SERBS ACCEPT A PEACE PLAN TODAY IN WHICH CASE AMERICAN TROOPS
BECOME PART OF A UNITED NATIONS PEACEKEEPING FORCE THE GRIM SCENARIO IS
THAT THE SERBIANS REJECT OR DEFY THE PLAN IN WHICH CASE PRESIDENT CLINTON
IS MOVING TOWARD AIR STRIKES

EITHER WAY AMERICANS WILL EXPECT PRESIDENT CLINTON TO ADDRESS THREE BASIC
QUESTIONS HERE'S HOW HE MIGHT DO SO

THE FIRST REASON IS SIMPLE BOSNIA'S MUSLIMS ARE BEING UPROOTED OR
SLAUGHTERED BY SERBS THE KILLING WILL JUST GO ON UNLESS IT IS STOPPED OR
THE MUSLIMS ARE DRIVEN OUT THE WORLD HAS A DUTY TO STOP GENOCIDE

BUT IT'S A CRUEL WORLD AND FOR AMERICANS THAT ISN'T ENOUGH SO THERE'S
ANOTHER REASON IF THIS PROCESS OF ETHNIC CLEANSING ISN'T STOPPED IN BOSNIA
IT WILL BE REPEATED AGAIN AND AGAIN PUSHING CHAOS CLOSER AND CLOSER TO
PLACES WHERE THE US HAS UNAVOIDABLE INTERESTS IF SERBS VANQUISH BOSNIA'S
MUSLIMS THEY'D SOON LOCK HORNS WITH CROATIA THEN THEY MIGHT TURN TO
CLEANSING MUSLIMS FROM THE FORMER YUGOSLAV PROVINCE OF KOSOVO WHERE A
FIGHT COULD DRAW IN TURKEY AND GREECE FORMAL AMERICAN ALLIES AS WELL
AS ALBANIA

FROM THERE BROADEN THE FOCUS POSTSOVIET EUROPE IS A COLLECTION OF SIMILAR
MULTIETHNIC STATES WHERE RELIGIOUS AND ETHNIC SECTS COULD SOON TURN ON
EACH OTHER WITH A VENGEANCE IF THEY SEE THERE IS NO INTERNATIONAL BRAKE THE
FORMER SOVIET REPUBLICS IN CENTRAL ASIA ARE NATIONS RUN BY MUSLIMS RULING
OVER MINORITIES OF ETHNIC RUSSIANS IF MUSLIMS START PERSECUTING ETHNIC
RUSSIANS CAN IT BE LONG BEFORE THE RUSSIAN ARMY ROLLS OUT ACROSS ITS
BORDERS TO PROTECT ITS PEOPLE

THE REAL NIGHTMARE IS IF THIS PROCESS OF ETHNIC FEUDING LEADS TO A SPAT
BETWEEN RUSSIA AND UKRAINE NUCLEARARMED GIANTS IN THE MIDDLE OF EUROPE
BOSNIA RIGHTLY MAKES AMERICANS THINK OF VIETNAM AND LEBANON BUT IT SHOULD
ALSO MAKE THEM REMEMBER TWO WORLD WARS THAT STARTED IN EUROPE BECAUSE WE
DIDN'T MAKE IT CLEAR THAT ETHNIC AGGRESSION AND SLAUGHTER WOULDN'T BE THE
WEST'S ORDER OF THE DAY NOR IS IT JUST EUROPE WHERE THUGS ARE WATCHING THE
BUTCHERS OF CAMBODIA'S KHMER ROUGE ARE MOVING AGAIN AND CAPITULATION IN
BOSNIA WILL GIVE THEM LITTLE REASON TO THINK THE UNITED NATIONS WOULD STOP
RENEWED SAVAGERY IN CAMBODIA

THERE'S ANOTHER REASON TO ACT IN BOSNIA MUSLIMS ARE DYING AT THE HANDS OF
CHRISTIANS WHILE THE WEST DOES LITTLE ISLAMIC RADICALS AROUND THE GLOBE ARE
PLAYING THIS TO THEIR FULL ADVANTAGE ANYBODY WHO DOUBTS THAT SHOULD LISTEN
TO THE RHETORIC FROM IRAN IF THE WEST APPEARS UNCONCERNED ABOUT THE
PERSECUTION OF MUSLIMS NOW ISLAMIC FUNDAMENTALISTS WILL TRY TO MAKE THAT
IMAGE RETURN TO HAUNT IT LATER IN PLACES SUCH AS SAUDI ARABIA AND EGYPT
WHERE AMERICAN INTERESTS ARE CLEAR

AMERICANS SHOULDN'T KID THEMSELVES INTERVENTION IN BOSNIA WON'T STOP HATRED
AND KILLING BUT IT CAN PREVENT A NEW NATION BOSNIA FROM BEING SWALLOWED
UP IN A POOL OF BLOOD THERE IS A PEACE PLAN FOR BOSNIA NOBODY MUCH LIKES
IT BUT THE UN HELPED CREATE IT AND IT WILL STOP THE SLAUGHTER IF IT IS
PUT INTO EFFECT THE GOAL IS TO IMPLEMENT THE PEACE PLAN

THE US CAN'T AND WON'T DO IT ALONE ENFORCEMENT WILL HAPPEN ONLY THROUGH
AN INTERNATIONAL PEACEKEEPING FORCE MOST LIKELY RUN BY THE NORTH ATLANTIC
TREATY ORGANIZATION'S MILITARY HIERARCHY WITH THE FULL BACKING OF THE UN
MILITARY PRESSURE WILL BE BACKED BY ECONOMIC SANCTIONS ON YUGOSLAVIA WHICH
HAVE BEEN WORKING THE SERBS WHO RUN THE NATION OF YUGOSLAVIA HAVE BEEN
AIDING THE SERBS WHO HAVE BEEN FIGHTING NEXT DOOR IN BOSNIA BUT THE SERBS
WILL KEEP FEELING THE HEAT THERE'S NO GUARANTEE OF SUCCESS BUT IF LIMITED
INTERVENTION DOESN'T WORK NOW THE ANSWER ISN'T BIG AMERICAN INTERVENTION
LATER THE ANSWER IS TO PUT BOSNIA'S MUSLIMS BACK ON THEIR FEET SO THEY CAN
FEND FOR THEMSELVES LATER

THESE AREN'T PERFECT ANSWERS THERE AREN'T ANY ON A SCALE AS FINELY BALANCED
AS BOSNIA BUT IF MR CLINTON WANTS TO ACT HE NEEDS SIMPLY TO SHOW THAT
ACTING IS BETTER THAN WATCHING AND THAT HE UNDERSTANDS THERE ARE LIMITS TO
WHAT AMERICA CAN DO 9305050117 930505 USAIR RAISES 231 MILLION

ARLINGTON VA USAIR GROUP INC SAID IT RECEIVED 231 MILLION IN NET
PROCEEDS FROM ITS ANNOUNCED OFFERING OF 115 MILLION COMMON SHARES AT 2075
EACH

THE AIRLINE HOLDING COMPANY ALSO SAID IT WILL REALIZE 992 MILLION THROUGH
THE ANNOUNCED DECISION OF BRITISH AIRWAYS PLC TO BUY A NEW SERIES OF
PREFERRED STOCK THE SALE WILL ALLOW BRITISH AIRWAYS WHICH EARLIER THIS
YEAR INVESTED 300 MILLION IN USAIR'S CONVERTIBLE PREFERRED STOCK TO
MAINTAIN ITS 246 STAKE IN THE COMPANY 9305050115 930505 TUESDAY'S
MARKETS BONDS SOAR ON SLOWNESS IN ECONOMY  RUMORS ON REFUNDING
 BY US ALSO CITED SMALL STOCKS SURGE  BY STEVEN E LEVINGSTON
 STAFF REPORTER OF THE WALL STREET JOURNAL

BOND PRICES SURGED AGAIN ON SLUGGISH ECONOMIC NEWS AND HOPES OF A CUTBACK IN
BOND SALES AT NEXT WEEK'S TREASURY REFUNDING PRICES OF BIG STOCKS WERE
NEARLY MORIBUND BUT OVERTHECOUNTER STOCKS SOARED THE DOLLAR DECLINED

THE TREASURY'S BENCHMARK 30YEAR BOND GAINED 3/4 POINT OR 750 FOR EACH
1000 FACE AMOUNT THAT FOLLOWED MONDAY'S GAIN OF 7/8 POINT THE YIELD SANK
TO 679 FROM 685 MONDAY

ANALYSTS SAID THE BOND MARKET CONTINUES TO BENEFIT FROM SIGNS OF A SLOW
ECONOMY THE BOND RALLY STARTED WITH MONDAY'S WEAK REPORT ON THE
MANUFACTURING SECTOR YESTERDAY THE COMMERCE DEPARTMENT SAID ITS INDEX OF
LEADING INDICATORS PLUNGED 10 IN MARCH THE LARGEST DECLINE IN NEARLY 2
1/2 YEARS

THERE'S STILL A GREAT DEAL OF NERVOUSNESS ABOUT THE ECONOMY SAID JAMES
SOLLOWAY DIRECTOR OF RESEARCH AT ARGUS RESEARCH THE BOND MARKET IS SAYING
THE ECONOMIC SLUGGISHNESS IS ENOUGH TO KEEP INFLATIONARY PRESSURES
PRACTICALLY NONEXISTENT

BOND INVESTORS ALSO WERE ENCOURAGED BY EXPECTATIONS THE TREASURY WILL REDUCE
THE AMOUNT OF ITS FUTURE BORROWING THE TREASURY ANNOUNCES TODAY ITS PLANS
FOR NEXT WEEK'S REFUNDING

WAYNE F WONG A MANAGING DIRECTOR AND FIXED INCOME STRATEGIST AT MARINVEST
A SUBSIDIARY OF HONGKONG & SHANGHAI BANK SAID RUMORS OF A CUTBACK IN
30YEAR TREASURY PURCHASES SWEPT THROUGH THE MARKET LATE IN THE SESSION
DRIVING PRICES HIGHER THE MARKET HAD ALREADY PARTLY DISCOUNTED IT BUT
THIS AFTERNOON THERE WAS A FEEDING FRENZY AT THE LONG END

ANALYSTS SAID THE STOCK MARKET'S PERFORMANCE WAS BETTER THAN THE MEAGER
PRICE CHANGES OF MAJOR INDEXES SUGGESTED WALTER C REVIS MARKET ANALYST AT
HAMILTON INVESTMENTS IN CHICAGO SAID THE SHARP ADVANCE IN OTC STOCKS BODES
WELL FOR THE MARKET

NOW THE BROADER MARKET IS SHOWING STRENGTH TO MATCH WHAT THE DOW SHOWED A
FEW WEEKS AGO MR REVIS SAID IF THAT CONTINUES IT'LL BE A VERY GOOD
SIGN

WORLDWIDE STOCK PRICES ROSE IN DOLLAR TERMS THE DOW JONES WORLD STOCK
INDEX GAINED 036 TO 10625

IN MAJOR MARKET ACTION

STOCK PRICES WERE MIXED VOLUME TOTALED 264880000 SHARES ON THE NEW YORK
STOCK EXCHANGE WHERE 1267 ISSUES ROSE AND 702 FELL

BOND PRICES RALLIED THE TREASURY'S 10YEAR ISSUE GAINED MORE THAN 1/4
POINT OR MORE THAN 250 FOR EACH 1000 FACE AMOUNT TO YIELD 589

THE DOLLAR FELL IN LATE NEW YORK TRADING THE CURRENCY WAS QUOTED AT 15758
MARKS AND 11025 YEN COMPARED WITH 15793 MARKS AND 11073 YEN MONDAY
9305050114 930505 WHO'S NEWS DOVER NAMES REECE TO POST OF PRESIDENT 
AND OPERATING CHIEF

NEW YORK DOVER CORP SAID IT NAMED THOMAS L REECE 50 YEARS OLD
PRESIDENT AND CHIEF OPERATING OFFICER A NEW COMBINED POST

THE DIVERSIFIED MANUFACTURING COMPANY SAID GARY L ROUBOS 57 WHO HAD HELD
THE TITLE OF PRESIDENT SINCE 1977 CONTINUES AS CHAIRMAN AND CHIEF EXECUTIVE
OFFICER

MR REECE HAD BEEN PRESIDENT AND CHIEF EXECUTIVE OF DOVER RESOURCES ONE OF
DOVER'S FIVE INDEPENDENT OPERATING UNITS HE JOINED DOVER IN 1968 AFTER THE
COMPANY ACQUIRED THE RONNINGENPETTER CO OF WHICH HE WAS MARKETING
MANAGER RUDOLPH J HERRMANN 42 FORMERLY PRESIDENT OF DOVER'S MADISON
INDBASED ROTARY LIFT CO SUCCEEDS MR REECE AS DOVER RESOURCES' PRESIDENT
AND CHIEF EXECUTIVE

DOVER A MAKER OF PETROLEUM EQUIPMENT AND OTHER INDUSTRIAL PRODUCTS
INCLUDING ELEVATORS RECENTLY REPORTED FIRSTQUARTER EARNINGS OF 338
MILLION OR 59 CENTS A SHARE ON SALES OF 5668 MILLION 9305050113
930505 KARCHER STOCK BUYBACK CLEARED

ANAHEIM CALIF CARL KARCHER ENTERPRISES INC SAID ITS BOARD AUTHORIZED
THE REPURCHASE OF AS MUCH AS 10 MILLION OF THE COMPANY'S COMMON SHARES FROM
CHAIRMAN CARL N KARCHER THROUGH THE CARL N AND MARGARET M KARCHER TRUST
ON TERMS TO BE NEGOTIATED

THE KARCHER TRUST CURRENTLY OWNS 6160186 SHARES OR ABOUT 34 OF THE TOTAL
SHARES OUTSTANDING KARCHER SHARES CLOSED AT 8375 UP 25 CENTS IN
OVERTHECOUNTER TRADING YESTERDAY

DONALD E DOYLE PRESIDENT AND CHIEF EXECUTIVE OFFICER SAID IN A STATEMENT
THAT THE REPURCHASE WILL PERMIT MR KARCHER TO FULFILL CERTAIN OUTSTANDING
FINANCIAL OBLIGATIONS WITHOUT THE POTENTIAL OF DISRUPTION TO THE TRADING
MARKET FOR THE COMPANY'S SECURITIES COMPANY EXECUTIVES DECLINED TO
ELABORATE 9305050112 930505 WHO'S NEWS IBM PERSONNEL OFFICER 
BURDICK TO RETIRE SOON

ARMONK NY INTERNATIONAL BUSINESS MACHINES CORP SAID ITS SENIOR VICE
PRESIDENT FOR PERSONNEL WALTON E BURDICK WILL RETIRE MAY 31

IBM SAID MR BURDICK 60 YEARS OLD HAD LONG PLANNED TO RETIRE THIS YEAR
LATER THIS WEEK THE STRUGGLING COMPUTER COMPANY IS EXPECTED TO NAME AN
OUTSIDE EXECUTIVE TO SUCCEED MR BURDICK

IBM'S NEW CHAIRMAN LOUIS V GERSTNER JR HAS ALREADY TAPPED OUTSIDERS TO
BECOME CHIEF FINANCIAL OFFICER HEAD OF COMMUNICATIONS AND CHIEF OF A BIG
DISKDRIVE DIVISION 9305050111 930505 SURVEY FINDS DROP IN BUSINESS
FAILURES OF 102 FOR 1ST PERIOD

NEW YORK BUSINESS FAILURES IN THE US FELL 102 FOR THE FIRST QUARTER
DUN & BRADSTREET CORP SAID

D&B SAID THE DECLINE WAS A CLEAR SIGNAL THAT THE ECONOMIC RECOVERY IS FIRMLY
IN PLACE HOWEVER RECENT GOVERNMENT ECONOMIC DATA HAVE RAISED QUESTIONS
ABOUT THE STRENGTH OF THE RECOVERY YESTERDAY FOR INSTANCE THE COMMERCE
DEPARTMENT SAID ITS INDEX OF LEADING INDICATORS PLUNGED 1 IN MARCH THE
LARGEST DECLINE IN 2 1/2 YEARS

THE D&B REPORT SAID FAILURES DECLINED TO 23180 IN THE QUARTER COMPARED
WITH 25824 FOR THE YEAREARLIER QUARTER ALL MAJOR INDUSTRY GROUPS REPORTED
A DECLINE IN FAILURES THE LAST SIGNIFICANT DECLINE IN BUSINESS FAILURES WAS
IN THE 1989 THIRD QUARTER WHEN FAILURES FELL 178 SAID D&B A LEADING
PROVIDER OF BUSINESS INFORMATION SERVICES

THE QUARTERLY DECLINE COMES AFTER A YEAR IN WHICH BUSINESS FAILURES REACHED
A RECORD HIGH BUSINESS FAILURES IN THE US ROSE 99 TO A RECORD 96836 IN
1992 COMPARED WITH 88140 IN 1991

AFTER THREE YEARS OF INCREASES THE LEVEL OF BUSINESS FAILURES IS FINALLY
EDGING DOWNWARD SAID JOSEPH W DUNCAN VICE PRESIDENT AND CORPORATE
ECONOMIST FOR THE PROVIDER OF BUSINESS INFORMATION SERVICES

ACCOMPANYING THE DECLINE WAS A NEARLY 43 DROP IN LIABILITIES ASSOCIATED
WITH BANKRUPTCIES D&B SAID LIABILITIES FELL TO 129 BILLION FROM 225
BILLION FOR THE FIRST QUARTER OF 1992

THE SHARP DECLINE IN LIABILITIES IS ANOTHER INDICATOR THAT THE ECONOMY IS
GAINING MOMENTUM SAID JOSEPH DUNCAN A VICE PRESIDENT AND CORPORATE
ECONOMIST FOR D&B

THE SHARPEST DECLINE IN FAILURES WAS IN MINING WHICH REPORTED 77 FAILURES
DOWN 287 FROM 108 LAST YEAR RETAIL TRADE FAILURES DECLINED 179 TO 4298
FROM 5233 THE FINANCE INSURANCE AND REAL ESTATE SECTOR ALSO REPORTED
DECLINES

REGIONALLY FAILURES DECLINED EVERYWHERE EXCEPT THE PACIFIC BUSINESS
FAILURES IN THE PACIFIC ROSE SLIGHTLY TO 5926 FROM 5897 THE YEAR BEFORE
FAILURES IN CALIFORNIA ACCOUNTED FOR MOST OF THE ACTIVITY

REGIONS WITH THE BIGGEST DECLINES IN FAILURES WERE THE WEST NORTH CENTRAL
DOWN 257 TO 1253 AND THE EAST SOUTH CENTRAL DOWN 214 TO 884
9305050110 930505 BUSINESS BRIEFS

GENERAL DATACOMM INDUSTRIES SIGNED A THREEYEAR 12 MILLION AGREEMENT TO
SUPPLY NETWORKING AND TRANSMISSION EQUIPMENT TO THE POST AND TELECOM
AUTHORITY IN CHINA'S GUANGDONG PROVINCE

GENERAL ELECTRIC CO'S GE POWER GENERATION DIVISION AGREED TO SELL A
377MEGAWATT REHEAT STEAM TURBINEGENERATOR TO BECHTEL POWER CORP A UNIT
OF BECHTEL GROUP INC FOR 30 MILLION

CSS INDUSTRIES INC COMPLETED THE PURCHASE OF BERWICK INDUSTRIES INC FOR
32 MILLION

GEORGIAPACIFIC CORP A FOREST PRODUCTS CONCERN WILL BUILD AN 18 MILLION
SAW MILL AT COOS BAY ORE

ENCORE WIRE CORP PLANS TO BUILD A 15 MILLION PLANT TO MANUFACTURE A
GENERALPURPOSE COPPER ELECTRICAL WIRE A NEW PRODUCT FOR THE THREEYEAROLD
COMPANY

THOR INDUSTRIES INC'S PRELIMINARY SALES FOR ITS THIRD QUARTER ENDED APRIL
30 WERE 1174 MILLION UP 52 FROM 77 MILLION IN LAST YEAR'S THIRD
QUARTER

METRIC SYSTEMS AND SYNTRON INC SUBSIDIARIES OF TECHSYM CORP RECEIVED
TWO SEPARATE CONTRACTS TOTALING MORE THAN 12 MILLION

US TRUST CORP SAID IT AGREED TO ACQUIRE CAPITAL TRUST CO AN OREGON
INVESTMENT MANAGEMENT COMPANY WITH 22 BILLION IN TRUST CUSTODY ASSETS
9305050109 930505 BUSINESS BRIEF CYPRUS MINERALS CO TWO GOLD MINES
ARE SOLD AS PART OF MINING STRATEGY

CYPRUS MINERALS CO ENGLEWOOD COLO SAID IT SOLD TWO GOLD MINES AS PART
OF A STRATEGY TO MINE ONLY LARGER LOWERCOST GOLD DEPOSITS THE COMPANY
SAID

FULL TERMS OF THE SALES WEREN'T DISCLOSED BUT THE MINING AND MINERAL
RESOURCES EXPLORATION COMPANY SAID THE COMBINED EFFECT ON ITS EARNINGS IS
BREAKEVEN TOGETHER THE SALES GENERATE ABOUT 90 MILLION IN CASH FOR
CYPRUS AFTER TAXES

IN THE FIRST SALE CYPRUS SOLD ITS 80 INTEREST IN THE GOLDEN CROSS MINE IN
NEW ZEALAND TO COEUR D'ALENE MINES CORP IN THE SECOND SALE CYPRUS SOLD ITS
67 INTEREST IN THE SELWYN MINE IN AUSTRALIA TO AUSTRALIAN RESOURCES &
MINING CO 9305050108 930505 BUSINESS BRIEF FIRST CONTINENTAL REIT 
FIRM'S DEADLINE TO COMPLETE RESTRUCTURING IS EXTENDED

FIRST CONTINENTAL REAL ESTATE INVESTMENT TRUST SAID THAT THE DEADLINE TO
COMPLETE A 126 MILLION DEBT RESTRUCTURING HAS BEEN EXTENDED TO JUNE 3 FROM
MAY 5

THE REAL ESTATE INVESTMENT TRUST SAID THE PROPOSED RESTRUCTURING CALLS FOR
IT TO PAY 92 MILLION IN CASH OUT OF THE 126 MILLION DUE TO TEXAS
COMMERCE BANK NA AND THE FEDERAL DEPOSIT INSURANCE CORP

A SPOKESMAN SAID THE REAL ESTATE INVESTMENT TRUST IN HOUSTON HAS MADE
SUBSTANTIAL PROGRESS TOWARD RAISING THE 92 MILLION BY SELLING PROPERTIES
THE TRUST ALSO HAS AGREEMENTS TO BORROW FROM THREE BANKS AND TO RAISE
ADDITIONAL MONEY BY SELLING SHARES OF TREASURY STOCK THE SPOKESMAN SAID THE
COMPANY IS STILL NEGOTIATING THE REMAINING DETAILS OF THE RESTRUCTURING
9305050107 930505 GULF CANADA RESOURCES

CALGARY ALBERTA GULF CANADA RESOURCES LTD SAID IT AGREED TO SELL ITS
38 INTEREST IN THE NEVIS GAS PLANT AND ASSOCIATED NATURAL GAS GATHERING
COMPRESSION AND LOADING FACILITIES TO CANADIAN GAS GATHERING SYSTEMS INC
AN INVESTMENT CONCERN OWNED MAINLY BY A GROUP OF US PENSION FUNDS

GULF CANADA SAID FINAL TERMS STILL NEED TO BE NEGOTIATED THE TRANSACTION
EXPECTED TO CLOSE BY JUNE 30 WILL BE RETROACTIVE TO JAN 1 CANADIAN GAS
GATHERING IS MANAGED BY MORRISON PETROLEUMS LTD OF CALGARY

GULF CANADA A CALGARY ENERGY CONCERN SAID THE TRANSACTION IS PART OF THE
COMPANY'S PROGRAM TO REDUCE DEBT BY SELLING ASSETS 9305050106 930505
INTERNATIONAL GERMAN ECONOMIC GROUPS SEE A NEED TO CUT INTEREST RATES
TO AVERT RECESSION  BY TERENCE ROTH STAFF REPORTER OF THE WALL
STREET JOURNAL

FRANKFURT A REPORT BY LEADING GERMAN ECONOMIC INSTITUTES CRITICIZED
BONN'S TAX PLANS AND URGED THE CENTRAL BANK TO ACCELERATE INTERESTRATE
REDUCTIONS TO HEAD OFF A BROADENING RECESSION

COINCIDING WITH ESCALATING STRIKES IN EASTERN GERMANY AND A GOVERNMENT
ANNOUNCEMENT THAT WESTERN GERMAN OUTPUT FELL AGAIN IN MARCH THE INSTITUTES'
JOINT SPRING ANALYSIS ADDED TO THE COUNTRY'S DARKENING ECONOMIC OUTLOOK THE
INSTITUTES WARNED THAT DELAYS IN BRINGING DOWN GERMANY'S HIGH SHORTTERM
INTEREST RATES COULD PROLONG THE DECLINE IN ECONOMIC OUTPUT AND CAUSE MORE
UNEMPLOYMENT THE RESULT THEY SAID WOULD CONTINUE TO DISCOURAGE INDUSTRY
INVESTMENT JEOPARDIZING BOTH UNITED GERMANY'S INDUSTRIAL RESTRUCTURING AND
THE NATION'S APPEAL FOR FOREIGN INVESTORS

CONTESTING CONCERNS BY THE BUNDESBANK THE CENTRAL BANK THAT DEEP RATE CUTS
COULD WEAKEN THE GERMAN MARK THE SIX INSTITUTES ARGUED THAT OTHER COUNTRIES
IN EUROPE WOULD QUICKLY FOLLOW GERMAN INTERESTRATE REDUCTIONS THUS
NEUTRALIZING THE EFFECT ON THE MARK

THE ECONOMICS MINISTRY SAID WESTERN GERMAN INDUSTRIAL PRODUCTION FELL BY AN
INFLATION AND SEASONALLY ADJUSTED 06 IN MARCH FROM A REVISED FEBRUARY
FIGURE OUTPUT ALSO WAS OFF 105 FROM MARCH 1992 THE MONTHLY DECLINE IN
FEBRUARY ORIGINALLY PUT AT 1 WAS REVISED TO SHOW OUTPUT SHRINKING 13
FROM JANUARY IN A TWOMONTH COMPARISON WESTERN GERMAN PRODUCTION IN THE
FEBRUARYMARCH PERIOD WAS OFF 2 FROM DECEMBERJANUARY FALLING 107 FROM A
YEAR EARLIER

THE INSTITUTES PREDICTED A 2 DECLINE IN WESTERN GERMANY'S GROSS DOMESTIC
PRODUCT THIS YEAR AND A 15 DECLINE IN ALL OF GERMANY WHICH COULD SHOW AN
AVERAGE JOBLESS RATE OF 92 AFTER 75 IN 1992

THE INSTITUTES ALSO CRITICIZED THE BONN GOVERNMENT'S RECENT PLAN TO SHORE UP
PUBLIC DEFICITS AND HELP FINANCE GERMAN UNITY INSTEAD OF SPENDING CUTS THE
GOVERNMENT SET 60 BILLION MARKS 38 BILLION IN NEW TAXES BY 1995

EASTERN GERMANY'S ECONOMY WAS SEEN GROWING 55 BELOW BONN'S HOPE FOR A
FASTER RECOVERY THERE AS WESTERN GERMANY'S RECESSION DELAYS INVESTMENT IN
THE EAST THE EASTERN ECONOMY WHICH STILL ISN'T SELFSUSTAINING REMAINS IN
A CRITICAL STATE THE INSTITUTES SAID

ECONOMIC ANALYSTS BELIEVE THAT EVEN 55 GROWTH IN EASTERN GERMANY IS
DOUBTFUL AS THE IG METALL UNION BROADENS ITS STRIKES TO BACK DEMANDS FOR A
26 PAY INCREASE FOR 400000 MEMBERS IN THE ENGINEERING AND ELECTRICAL
INDUSTRIES ALTHOUGH WAGE NEGOTIATORS RESUMED MEETING IN DRESDEN YESTERDAY
THEY AREN'T EXPECTED TO FIND A QUICK SOLUTION THE UNION LAUNCHED FULLSCALE
WALKOUTS AT 26 FACTORIES IN THE STATE OF SAXONY ON MONDAY INCLUDING
VOLKSWAGEN AG'S MOSEL PLANT STRIKES HAVE SPREAD TO AN ADDITIONAL 24
FACTORIES IN THE NORTHERN STATE OF MECKLENBURGVORPOMMERN

THE INSTITUTES THAT PARTICIPATED IN THE REPORT ARE THE IFO INSTITUTE FOR
ECONOMIC RESEARCH IN MUNICH THE GERMAN INSTITUTE FOR ECONOMIC RESEARCH IN
BERLIN THE HWWA INSTITUTE FOR ECONOMIC RESEARCH IN HAMBURG THE WORLD
ECONOMIC INSTITUTE IN KIEL THE RHINELANDWESTPHALIA INSTITUTE FOR ECONOMIC
RESEARCH IN ESSEN AND THE INSTITUTE FOR ECONOMIC RESEARCH IN HALLE IN
EASTERN GERMANY 9305050105 930505 OTC FOCUS MARKET SURGES FOR SIXTH
SESSION IN ROW CABLE TECHNOLOGY STOCKS LED ADVANCE  BY SARA
CALIAN STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK BOOSTED BY SOARING CABLE AND TECHNOLOGY STOCKS THE
OVERTHECOUNTER MARKET SURGED HIGHER FOR THE SIXTH SESSION IN A ROW

THE NASDAQ COMPOSITE INDEX LEAPED 1145 OR 17 TO 67816 ADVANCING
ISSUES OUTNUMBERED DECLINERS 1606 TO 1053 ON TOTAL VOLUME OF 2688 MILLION
SHARES UP FROM MONDAY'S 2023 MILLION

THE DAY'S MOST ACTIVE STOCK TELECOMMUNICATIONS JUMPED 2 1/2 TO 21 1/2 ON
VOLUME OF 137 MILLION SHARES MORE THAN FOUR TIMES ITS NORMAL VOLUME THE
FEDERAL COMMUNICATIONS COMMISSION'S RELEASE ON MONDAY OF PRICING BENCHMARKS
FOR CABLETELEVISION RATES CALMED INVESTORS WHO HAD FEARED THE WORST
TRADERS SAID

SEVERAL INDUSTRY ANALYSTS SAID THE REGULATIONS WEREN'T AS SEVERE AS THEY HAD
EXPECTED THE FCC HAS ESTIMATED THAT 75 OF THE NATION'S 11000 CABLE
SYSTEMS WILL BE REQUIRED TO CUT RATES AND ROLLBACKS WILL TOTAL ABOUT 1
BILLION RATES FOR PAYPERVIEW AND PREMIUM CHANNELS AREN'T REGULATED

COMCAST ROSE 2 1/8 TO 20 5/8 ON THE AMERICAN STOCK EXCHANGE CABLEVISION
SYSTEMS SOARED 3 5/8 TO 33 1/4 AND ON THE NEW YORK STOCK EXCHANGE TIME
WARNER SPURTED 3 1/8 TO 36 1/8

THE NASDAQ UTILITY INDEX WHICH INCLUDES CABLE COMPANIES SKYROCKETED 2496
POINTS TO A HIGH OF 83065 BUT CABLE STOCKS WEREN'T THE ONLY ISSUES
PROPELLING THE NASDAQ MARKET UPWARD AS IT BOUNCES BACK FROM LAST MONTH'S
DECLINES OTC STOCKS WERE WILD SAID ROBERT ANTOLINI HEAD OF OTC TRADING
AT DONALDSON LUFKIN & JENRETTE BIG BUYERS FROM INSTITUTIONS CAME IN AND
BOUGHT ACROSS THE BOARD A LOT OF SHORT SELLERS THOSE BETTING ON LOWER STOCK
PRICES WERE SQUEEZED WHICH CHASED THE STOCKS HIGHER

TECHNOLOGY STOCKS POSTED LARGE GAINS LED BY SHARES OF INTEL JUMPING 4 3/8
TO 101 3/8 INTEL AND MICROSOFT UNVEILED WINDOWS TELEPHONY SOFTWARE A
STANDARD WAY TO INTEGRATE THE TELEPHONE WITH THE PERSONAL COMPUTER

MICROSOFT ROSE 1 7/8 TO 88 THE SOFTWARE COMPANY SAID A FEDERAL JUDGE HAS
GRANTED THE COMPANY'S MOTION FOR A PRELIMINARY INJUNCTION IN ITS SOFTWARE
PIRACY LAWSUIT AGAINST UTOP PRINTING

APPLE COMPUTER ROSE 1 1/2 TO 53 3/8 DELL COMPUTER GAINED 2 3/8 TO 31 3/4
ORACLE ADVANCED 1 1/8 TO 38 1/8 AND ADOBE SYSTEMS SPURTED 3 1/8 TO 62 3/8

THE NEWISSUES MARKET GAVE A ROUSING WELCOME TO 3DO CO A HOT NEW STOCK
THAT LEAPED TO 20 1/4 FROM ITS INITIAL OFFERING PRICE OF 15 THE SAN MATEO
CALIF COMPANY IS DEVELOPING TECHNOLOGY FOR A NEW HOME INTERACTIVE
MULTIMEDIA PLATFORM WHICH IT INTENDS TO BROADLY LICENSE TO HARDWARE SYSTEM
MANUFACTURERS SOFTWARE DEVELOPERS AND SOFTWARE PUBLISHERS

THE COMPANY OFFERED 29 MILLION SHARES THROUGH ITS LEADMANAGER MORGAN
STANLEY ORIGINALLY THE COMPANY HAD PLANNED TO SELL 21 MILLION SHARES
PRICED AT BETWEEN 10 AND 12

UNITED FEDERAL BANCORP SURGED 8 3/4 TO 31 IT AND PNC BANK CORP HAVE SIGNED
A DEFINITIVE AGREEMENT FOR PNC TO ACQUIRE THE STATE COLLEGE PA BANKING
CONCERN FOR ABOUT 166 MILLION

UNDER THE TERMS OF THE AGREEMENT EACH UNITED FEDERAL COMMON SHARE
OUTSTANDING WILL BE SWAPPED FOR ONE PNC COMMON SHARE OR 32 1/2 A SHARE IN
CASH THE ELECTION TO RECEIVE CASH OR STOCK IS TO BE MADE BY THE BOARD OF
UNITED FEDERAL PRIOR TO SUBMISSION OF THE TRANSACTION TO ITS SHAREHOLDERS

CENTRAL RESERVE LIFE SLIPPED 3/4 TO 6 1/2 THE STRONGSVILLE OHIO COMPANY
SAID IT EXPECTS TO POST A FIRSTQUARTER LOSS OF ABOUT 17 CENTS A SHARE THE
INSURANCE HOLDING COMPANY HAD EARNINGS OF 15 CENTS A SHARE A YEAR EARLIER
THE COMPANY BLAMED THE LOSS ON INCREASED RESERVE ACCRUALS FOR FUTURE CLAIMS
DUE TO HIGHER PREMIUM VOLUME AND LARGE CLAIMS

EL PASO ELECTRIC CLIMBED 5/8 TO 2 7/8 IT AND CENTRAL & SOUTH WEST HAVE
APPROVED A MERGER PLAN VALUED AT ABOUT 21 BILLION UNDER WHICH EL PASO
WOULD BECOME A SUBSIDIARY OF CENTRAL & SOUTH WEST ABOUT 730 MILLION WILL
BE PAID TO EL PASO'S CREDITORS AND SHAREHOLDERS IN THE FORM OF NEW COMMON
SHARES OF CENTRAL & SOUTH WEST THE REST WILL BE IN THE FORM OF NEW
SECURITIES ISSUED BY THE REORGANIZED EL PASO ELECTRIC

ARROW INTERNATIONAL JUMPED 2 1/2 TO 21 1/2 LATE MONDAY AFTERNOON THE
READING PA COMPANY SAID IT RECEIVED FOOD AND DRUG ADMINISTRATION APPROVAL
TO MARKET A NEW SUPER KINKRESISTANT VASCULAR ACCESS SHEATH ARROW SAID THE
NEW SHEATH PRODUCT IS DESIGNED TO FACILITATE VASCULAR INTERVENTION IN A
RANGE OF MEDICAL PROCEDURES INCLUDING THE INITIAL INSERTION AND EXCHANGE OF
CATHETERS

TRM COPY CENTERS SLID 1 TO 11 3/4 THE PORTLAND ORE COMPANY POSTED
EARNINGS OF 14 CENTS A SHARE FOR ITS FISCAL THIRD QUARTER ENDED MARCH 31
THE RESULTS ARE HIGHER THAN THE 12 CENTS A SHARE REPORTED A YEAR EARLIER
BUT FELL BELOW ANALYST'S ESTIMATES OF 15 CENTS A SHARE

OXFORD HEALTH PLANS SOARED 3 3/4 TO 52 3/4 THE DARIEN CONN HEALTHCARE
CONCERN POSTED FIRSTQUARTER EARNINGS OF 35 CENTS A SHARE COMPARED WITH
YEAREARLIER PROFIT OF 20 CENTS A SHARE BEFORE AN ACCOUNTING ADJUSTMENT
THE YEAREARLIER RESULTS REFLECTS A 46 CENTSASHARE ACCOUNTING ADJUSTMENT
ANALYSTS HAD EXPECTED OXFORD TO EARN JUST 29 CENTS A SHARE IN THE LATEST
QUARTER 9305050104 930505 TREASURY PLANS TO SELL 232 BILLION OF BILLS

WASHINGTON THE TREASURY PLANS TO PAY DOWN 225 MILLION ON THE PUBLIC DEBT
WITH THE SALE MONDAY OF ABOUT 232 BILLION IN SHORTTERM BILLS

MATURING BILLS OUTSTANDING TOTAL 2342 BILLION

THE OFFERING WILL BE DIVIDED EVENLY BETWEEN 13WEEK AND 26WEEK BILLS
MATURING ON AUG 12 1993 AND NOV 12 1993 RESPECTIVELY

THE CUSIP NUMBER FOR THE THREEMONTH BILLS IS 912794F33 THE CUSIP NUMBER
FOR THE SIXMONTH BILLS IS 912794G57

NONCOMPETITIVE TENDERS FOR THE BILLS AVAILABLE IN MINIMUM 10000
DENOMINATIONS MUST BE RECEIVED BY NOON EDT MONDAY AT THE TREASURY OR AT
FEDERAL RESERVE BANKS OR BRANCHES COMPETITIVE TENDERS FOR THE BILLS MUST BE
RECEIVED BY 1 PM EDT 9305050103 930505 INTERNATIONAL MATRA BRITISH
 AEROSPACE PLAN MISSILE VENTURE  MERGER SEEN AS STEP TOWARD 
CONSOLIDATION IN EUROPE OF THE DEFENSE INDUSTRY  BY MARTIN DU BOIS
 STAFF REPORTER OF THE WALL STREET JOURNAL

MATRAHACHETTE SA AND BRITISH AEROSPACE PLC SAID THEY ARE CLOSE TO MERGING
THEIR MISSILE BUSINESSES IN A MAJOR STEP TOWARD GREATER CONSOLIDATION OF
EUROPE'S TROUBLED DEFENSE INDUSTRY

THE COMBINED OPERATION WHICH WOULD HAVE ANNUAL SALES OF ABOUT 10 BILLION
FRENCH FRANCS 19 BILLION IS AIMED AT BECOMING A WORLDCLASS COMPETITOR
FOR US DEFENSE GIANTS SUCH AS LORAL CORP AND HUGHES AIRCRAFT CO
OFFICIALS AT THE TWO FRENCH AND BRITISH COMPANIES SAID THEIR PLANNED JOINT
VENTURE IS ALSO OPEN TO COOPERATION WITH OTHER EUROPEAN MISSILE MAKERS SUCH
AS AEROSPATIALE DEUTSCHE AEROSPACE AG OR THOMSON SA

IF THERE ARE OTHERS WHO WOULD WISH TO BECOME PART OF THIS EXTREMELY STRONG
JOINT VENTURE WITH MATRA THEY ARE WELCOME TO JOIN SAID A SPOKESMAN FOR
BRITISH AEROSPACE MATRA SAID THE PLANNED VENTURE FALLS IN THE CONTEXT OF
DEVELOPING COOPERATION AND INTEGRATION AMONG EUROPEAN MISSILE MAKERS

IN THE MEANTIME HOWEVER THE FIRST PRIORITY OF BRITISH AEROSPACE AND MATRA
IS TO REACH A FINAL 5050 JOINTVENTURE ACCORD IN A FEW MONTHS OFFICIALS
SAID

THE FRANCOBRITISH ALLIANCE IS LIKELY TO EMERGE AS THE KEY ARMAMENTS
SUPPLIER TO THE NEXT GENERATION OF EUROPEAN FIGHTER JETS THE RAFALE BUILT
BY FRANCE'S DASSAULT SA AND THE SOCALLED EUROFIGHTER MADE BY A CONSORTIUM
OF BRITISH AEROSPACE DEUTSCHE AEROSPACE A UNIT OF DAIMLERBENZ AG ALSO
KNOWN AS DASA AS WELL AS ALENIA SPA OF ITALY AND SPAIN'S CONSTRUCCIONES
AERONAUTICAS SA

AS EUROPEAN GOVERNMENTS STRUGGLE TO CUT COSTS WITH MORE JOINT DEFENSE
PROCUREMENT PROGRAMS EXPLORATORY TALKS HAVE BEGUN TO CONSIDER WIDER
EUROPEAN COOPERATION IN THE MISSILE FIELD BEYOND THE PLANNED MATRABRITISH
AEROSPACE VENTURE FRANCE'S STATEOWNED AEROSPATIALE SA AND GERMANY'S DASA
ALREADY WORK TOGETHER IN A CONSORTIUM CALLED EUROMISSILE BUT THE TWO
COMPANIES ARE KEEN ON A BROADER EUROPEAN ALLIANCE POSSIBLY WITH THE FUTURE
MATRABRITISH AEROSPACE VENTURE DEFENSE INDUSTRY OFFICIALS SAID

AEROSPATIALE MEANWHILE IS ALSO TALKING TO THOMSON SA THE FRENCH
STATEOWNED ELECTRONICS CONCERN THOMSON DOESN'T BUILD MISSILES BUT THE
COMPANY IS A MAJOR SUPPLIER OF GUIDANCE SYSTEMS FOR GROUNDTOAIR MISSILES
THOMSON'S SALES OF SUCH SYSTEMS TOTALED 72 BILLION FRENCH FRANCS IN 1992

FOLLOWING A FAILED BID LAST YEAR TO BUY LTV CORP'S MISSILEMAKING DIVISION
IN THE US THOMSON CHAIRMAN ALAIN GOMEZ SAID HIS COMPANY WOULD REDIRECT
ITS SEARCH FOR PARTNERS TO EUROPE THERE ARE MANY OF US IN THE MISSILE
BUSINESS IN FRANCE ONE DAY THERE'LL BE A NEED TO RATIONALIZE SAID A
SPOKESWOMAN FOR THE ELECTRONICS COMPANY YESTERDAY

A MAJOR ADVANTAGE IN THE PLANNED MATRABRITISH AEROSPACE VENTURE COMPANY
OFFICIALS SAID WILL BE A POOLING OF KNOWHOW AND SHARING OF THE RESEARCH
AND DEVELOPMENT COSTS IN ADDITION THE JOINT VENTURE WILL GAIN ACCESS TO
BOTH FRANCE'S AND BRITAIN'S TRADITIONAL EXPORT MARKETS IN THE MIDDLE EAST OR
ASIA

THERE'S A STRATEGIC POINT TO THE PLANNED JOINT VENTURE SAID THE BRITISH
AEROSPACE SPOKESMAN WE DO BELIEVE THE FUTURE IN THIS BUSINESS LIES IN THE
CONSOLIDATION OF THE STRONG PLAYERS 9305050102 930505 MGM GRAND BALLY'S
 PLAN A MONORAIL LINE CONNECTING 2 HOTELS

LAS VEGAS MGM GRAND INC AND THE BALLY'S LAS VEGAS HOTELCASINO SAID THEY
PLAN JOINTLY TO BUILD A 15 MILLION ONEMILE MONORAIL LINE BETWEEN TWO
HOTELCASINOS

THE ELEVATED LINE BETWEEN THE MGM GRAND HOTEL NOW UNDER CONSTRUCTION AND
BALLY'S LAS VEGAS WILL RUN ALONG A BACK STREET PARALLELING THE SOCALLED LAS
VEGAS STRIP THE PROJECT IS SUBJECT TO LOCAL APPROVAL OF A SINGLE
PUBLICSTREET CROSSING THE COMPANIES SAID ON A ROUTE OTHERWISE OWNED BY
THE HOTELS

ROBERT MAXEY PRESIDENT AND CHIEF EXECUTIVE OFFICER OF MGM GRAND SAID THE
COMPANIES HOPE TO TIE THEIR ONEMILE LINE INTO A FAR LONGER NORTHSOUTH
ROUTE UNDER CONSIDERATION BY MUNICIPAL PLANNERS BUSES NOW RUN THE ROUTE

THE MGM GRANDBALLY'S SYSTEM WOULD INVOLVE TWO ALTERNATING TRAINS EACH WITH
A CAPACITY OF 150 PASSENGERS NO FARE WOULD BE CHARGED THE LINE IS EXPECTED
TO BE COMPLETED ABOUT 15 MONTHS AFTER CITY APPROVAL FOR THE STREET CROSSING
IS OBTAINED INITIAL PLANNING HAS BEEN DONE USING A SYSTEM BY AEG VON ROLL
MONORAIL SYSTEMS A SWISS COMPANY

MGM GRAND CURRENTLY IS BUILDING THE 1 BILLION HOTEL CASINO AND THEME PARK
THAT WOULD BE THE SOUTHERN TERMINAL THE COMPANY BASED IN LAS VEGAS IS
CONTROLLED BY INVESTOR KIRK KERKORIAN WHO CONTROLS ABOUT 76 OF THE
COMPANY'S SHARES BALLY'S LAS VEGAS IS OPERATED BY BALLY MANUFACTURING
CORP CHICAGO 9305050101 930505 WHITE HOUSE SAYS CLINTON REGRETS'
COMMENT ON DOLE

WASHINGTON THE WHITE HOUSE ACKNOWLEDGES THAT PRESIDENT CLINTON MISSPOKE
WHEN HE JOKINGLY ACCUSED SENATE MINORITY LEADER ROBERT DOLE OF TRYING TO GET
23 MILLION OF FEDERAL FUNDS TO TURN A KANSAS SENIOR CITIZEN CENTER INTO A
BOATHOUSE

MR CLINTON TRYING TO MOCK MR DOLE FOR KILLING HIS 16 BILLION STIMULUS
BILL MADE THE REMARK AT THE WHITE HOUSE CORRESPONDENTS ASSOCIATION DINNER
SATURDAY NIGHT THE KANSAS SENATOR DIDN'T LAUGH HE FIRED BACK RELEASING A
STATEMENT ACCUSING THE PRESIDENT OF LYING

MR DOLE EXPLAINED THAT HE MERELY SOUGHT A WAIVER TO ALLOW THE CHANGE OF USE
FOR THE NOWVACANT BUILDING WITHOUT REQUIRING THE CITY OF WICHITA TO PAY THE
GOVERNMENT FEDERAL HOUSING OFFICIALS WERE DEMANDING THAT SOME OF THE
TAXPAYER MONEY USED TO CONSTRUCT THE BUILDING BE REPAYED SINCE USING IT AS A
BOATHOUSE DIDN'T MEET THE GOALS OF THE ORIGINAL FEDERAL GRANT GEORGE
STEPHANOPOULOS THE WHITE HOUSE COMMUNICATIONS DIRECTOR SAYS THE PRESIDENT
REGRETS THE MISUNDERSTANDING

CLINTON IS ALSO TAKING FLAK FROM RUSH LIMBAUGH THE CONSERVATIVE TALK SHOW
HOST MR LIMBAUGH ACCUSES THE PRESIDENT OF CALLING HIM A RACIST AT THE
SAME DINNER MR CLINTON NOTED THAT MR LIMBAUGH PRAISED ATTORNEY GENERAL
JANET RENO AFTER HER CONFRONTATION WITH MICHIGAN REP JOHN CONYERS DURING A
HEARING ON THE WACO ATTACK MR LIMBAUGH THE PRESIDENT SAID ONLY DID IT
BECAUSE SHE WAS ATTACKED BY A BLACK GUY 9305050099 930505 CREDIT
MARKETS BOND PRICES CLIMB AGAIN AS SPECULATION GROWS THAT TREASURY WILL
REDUCE 30YEAR ISSUANCE  BY TOM HERMAN AND THOMAS D LAURICELLA 
STAFF REPORTERS OF THE WALL STREET JOURNAL

NEW YORK BOND PRICES SURGED AGAIN AS SPECULATION GREW THAT THE TREASURY
TODAY WILL ANNOUNCE PLANS TO ISSUE FEWER NEW LONGTERM BONDS

THE TREASURY'S BENCHMARK 30YEAR BONDS JUMPED 3/4 POINT OR 750 FOR EACH
1000 FACE AMOUNT TO 104 5/32 THAT FOLLOWED MONDAY'S GAINS OF 7/8 POINT

AS OF LATE YESTERDAY THE YIELD ON THE TREASURY'S BENCHMARK 30YEAR BONDS
STOOD AT 679 DOWN FROM 685 MONDAY AND 692 ON FRIDAY YIELDS ALSO FELL
SLIGHTLY ON NUMEROUS INTERMEDIATETERM TREASURY ISSUES FOR EXAMPLE THE
YIELD ON SEVENYEAR TREASURY NOTES DECLINED TO 548 FROM 551 BUT MOST
SHORTTERM INTEREST RATES WERE LITTLE CHANGED YESTERDAY

STRONG GAINS IN THE TREASURY BOND MARKET SPILLED OVER INTO OTHER ARENAS
LIFTING PRICES OF MUNICIPAL AND CORPORATE BONDS MODERATELY MORTGAGEBACKED
BOND PRICES ALSO INCHED HIGHER

TRADERS BEGAN SNAPPING UP TREASURY BONDS EARLY YESTERDAY AFTER THE
GOVERNMENT REPORTED THAT ITS INDEX OF LEADING ECONOMIC INDICATORS TUMBLED 1
IN MARCH THE BIGGEST DECLINE IN 2 1/2 YEARS ANALYSTS INTERPRETED THAT NEWS
AS FURTHER EVIDENCE THAT THE ECONOMY IS WEAK AND THUS THAT INFLATION WILL
REMAIN SUBDUED

BUT TRADERS ATTRIBUTED MOST OF YESTERDAY'S RALLY IN LONGTERM BOND PRICES TO
INTENSE SPECULATION THAT TREASURY OFFICIALS TODAY WILL DISCLOSE PLANS TO CUT
BACK SIGNIFICANTLY ON THE GOVERNMENT'S ISSUANCE OF LONGTERM DEBT

THIS AFTERNOON TREASURY OFFICIALS WILL DISCLOSE DETAILS OF THE AGENCY'S
QUARTERLY BORROWING PROGRAM AND THEIR PLANS TO ALTER THE TREASURY'S
BORROWING MIX THE TREASURY ROUTINELY SELLS NEW THREEYEAR NOTES 10YEAR
NOTES AND 30YEAR BONDS EACH QUARTER BUT PRESIDENT CLINTON IN AN EFFORT TO
CUT THE GOVERNMENT'S BORROWING COSTS HAS PROPOSED CUTTING THE GOVERNMENT'S
RELIANCE ON LONGERTERM DEBT AND INCREASING ITS RELIANCE ON SHORTERTERM
DEBT

THE IDEA OF SELLING FEWER LONGTERM BONDS SOUNDS APPEALING TO SOME DEBT
SPECIALISTS BECAUSE SHORTTERM INTEREST RATES ARE SO MUCH LOWER THAN
LONGTERM RATES FOR EXAMPLE TWOYEAR TREASURY NOTES YIELD ONLY 373 OR
MORE THAN THREE PERCENTAGE POINTS LESS THAN 30YEAR BONDS A PHENOMENON
REFERRED TO BY BOND TRADERS AS A VERY STEEP YIELD CURVE

THE YIELD CURVE IS SO STEEP THAT SOME ANALYSTS THINK THE TREASURY MAY EVEN
DECIDE TO ELIMINATE THE SALE OF NEW 30YEAR BONDS AT NEXT WEEK'S AUCTION AND
POSSIBLY SELL THEM SEMIANNUALLY INSTEAD BUT OTHERS DISAGREE CITING
TREASURY SECRETARY BENTSEN'S PREVIOUS COMMENT THAT HE DOESN'T PLAN ANY
RADICAL CHANGES IN THE TREASURY'S BORROWING MIX

CLINTON ADMINISTRATION OFFICIALS HAVE SAID THEY EXPECT TO SAVE 164 BILLION
OVER THE NEXT FIVE YEARS BY SHORTENING THE MATURITY OF THE TREASURY'S DEBT
THEY ALSO HAVE SAID THOSE SAVINGS DO NOT DEPEND ON THE YIELD CURVE REMAINING
AS STEEP AS IT IS NOW THEY PREDICT THOSE SAVINGS WOULD OCCUR EVEN IF THE
YIELD CURVE MOVES CLOSER TO HISTORIC NORMS

TRADERS RUSHED TO BUY BONDS YESTERDAY AFTERNOON AFTER THE GOVERNMENT
ANNOUNCED PLANS TO INCREASE THE SIZE OF ITS REGULAR WEEKLY TREASURY BILL
AUCTION TO 232 BILLION FROM 212 BILLION THE NEXT REGULAR WEEKLY
AUCTION WHICH WILL CONSIST OF NEW 13WEEK AND 26WEEK BILLS IS SCHEDULED
FOR MONDAY

SOME TRADERS SEIZED ON THIS ANNOUNCEMENT AS AN OMEN THAT THE TREASURY TODAY
WILL DISCLOSE MAJOR CUTBACKS IN ITS LONGTERM BOND ISSUANCE OTHERS HOWEVER
SAID YESTERDAY'S ANNOUNCEMENT MIGHT ONLY PROVE THAT THE TREASURY NEEDS TO
BORROW MORE MONEY THAN IT EXPECTED BECAUSE A SLUGGISH ECONOMY MAY BE
DEPRESSING THE GOVERNMENT'S TAX RECEIPTS

LAST QUARTER THE TREASURY SOLD 925 BILLION IN 30YEAR BONDS 1075
BILLION IN 10YEAR NOTES AND 155 BILLION IN THREEYEAR NOTES MANY
ECONOMISTS BELIEVE THE TREASURY WILL REDUCE THE AMOUNT OF LONG BONDS BY 1
BILLION AND THE 10YEAR NOTES BY 250 MILLION THE THREEYEAR NOTE OFFERING
HOWEVER IS SEEN BY MOST AS BEING HELD STEADY OR RAISED SLIGHTLY

THE WHOLE DAY WAS PRETTY MUCH A MOVE TOWARD OPTIMISM AHEAD OF THE
TREASURY'S REFUNDING ANNOUNCEMENT SAID MATTHEW ALEXY A MARKET STRATEGIST
AT FIRST BOSTON CORP

IF TREASURY OFFICIALS TODAY DON'T ANNOUNCE SIZABLE REDUCTIONS IN LONGTERM
BORROWING THEY RUN THE RISK OF DISAPPOINTING THE BOND MARKET AND HAMMERING
BOND PRICES BACK DOWN SOME ANALYSTS SAY THEY'VE RAISED SPECULATION THAT
THEY ARE GOING TO DO SOMETHING SIGNIFICANT TO COME OUT WITH SOMETHING
MODEST WOULD CAUSE A SELLOFF SAID FRED LEVIN OF EASTBRIDGE SECURITIES

MOST ACTIVITY YESTERDAY WAS DOMINATED BY SHORTTERM TRADERS WITH
INSTITUTIONAL INVESTORS GENERALLY WAITING ON THE SIDELINES ANALYSTS SAID
MUCH OF THE BUYING YESTERDAY WAS BY PLAYERS CLOSING OUT SHORT POSITIONS
MEANING THEY WERE BUYING BACK SECURITIES THEY PREVIOUSLY HAD BORROWED AND
SOLD IN HOPES OF BUYING THEM BACK AT LOWER LEVELS FOR A PROFIT THERE WAS
PRETTY SOLID SHORTCOVERING GOING ON SAID MR ALEXY OF FIRST BOSTON

INVESTORS ARE CONTINUING TO BUY LARGE AMOUNTS OF NEW STATE AND LOCAL
GOVERNMENT BONDS

FEARS OF HIGHER TAXES HAVE DRIVEN MANY INVESTORS RECENTLY TO POUR MASSIVE
AMOUNTS OF MONEY INTO TAXFREE BONDS AS WELL AS MUNICIPAL BOND FUNDS
YESTERDAY SOME ACTIVE ISSUES ROSE ABOUT 3/8 POINT

THERE WAS PRETTY DECENT INTEREST IN THE MUNICIPAL MARKET WHICH MAY BE
FEEDING OFF THE FACT THAT TREASURYS ARE DOING WELL THE LAST FEW DAYS SAID
JAMES HIGGINS VICE PRESIDENT AT DILLON READ & CO

INVESTORS WERE OFFERED A TOTAL OF ABOUT 800 MILLION OF NEW ISSUES

BELLSOUTH TELECOMMUNICATIONS INC OFFERED A 450 MILLION INVESTMENTGRADE
BOND DEAL LIFTING CORPORATE DEBT ISSUANCE YESTERDAY TO ABOUT 725 MILLION

MEANWHILE ISSUES BY CABLE TELEVISION CONCERNS WHICH ARE MOSTLY BELOW
INVESTMENT GRADE IN RATINGS SURGED ONE TO TWO POINTS IN PRICE THE GAINS
REFLECT A MARKET VIEW THAT NEW CABLE INDUSTRY GUIDELINES SET BY THE FEDERAL
COMMUNICATIONS COMMISSION WILL BE MORE FAVORABLE TO THE INDUSTRY THAN
INITIALLY THOUGHT

ELSEWHERE TRADING IN INVESTMENTGRADE ISSUES WAS QUIET SHORT MATURITIES
ENDED FLAT TO MARGINALLY HIGHER BUT LONG MATURITIES GAINED AS MUCH AS 5/8
POINT

BELLSOUTH TELECOMMUNICATIONS' 450 MILLION OF 10YEAR NOTES WERE PRICED
THROUGH UNDERWRITERS LED BY MORGAN STANLEY & CO WITH A TRIPLEA RATING AND
A 040 PERCENTAGE POINT SPREAD OVER THE 10YEAR TREASURY NOTE THE ISSUE
FARED VERY WELL A SPOKESWOMAN FOR MORGAN STANLEY SAID THE ISSUER IS A
UNIT OF BELLSOUTH CORP

BY COMPARISON A 100 MILLION ISSUE OF OHIO BELL TELEPHONE CO SEVENYEAR
NOTES ALSO RATED TRIPLEA SOLD AT A HIGHER PRICE WHEN BROUGHT TO MARKET
LESS THAN TWO WEEKS AGO THE OHIO BELL ISSUE WAS PRICED 0265 PERCENTAGE
POINT ABOVE THE SEVENYEAR TREASURY NOTE OHIO BELL IS A UNIT OF AMERITECH
CORP

PRICES OF MORTGAGE SECURITIES REGISTERED SLIGHT PRICE GAINS DESPITE
CONTINUED INVESTOR CONCERN ABOUT FURTHER ACCELERATION OF PREPAYMENT SPEEDS

ADVANCES WERE MUTED AS 7 AGENCY COUPONS TRADED IN A NARROW RANGE MANY OF
THE BUYERS IN THE MARKET ARE STILL COLLECTING COLLATERAL FOR ANTICIPATED
ISSUANCE OF REAL ESTATE MORTGAGE INVESTMENT CONDUITS WHICH IS UNDERPINNING
PRICES OF THESE MORTGAGE SECURITIES IN THE FACE OF PREPAYMENT CONCERNS

IN SECONDARY TRADING GOVERNMENT NATIONAL MORTGAGE ASSOCIATION 7 COUPONS
FOR MAY DELIVERY ENDED 1/32 HIGHER AT 100 26/32 FEDERAL HOME LOAN MORTGAGE
CORP GOLD ISSUES ENDED 2/32 HIGHER AT 101 4/32 AND FEDERAL NATIONAL
MORTGAGE ASSOCIATION ISSUES ENDED 3/32 HIGHER AT 100 3/32

IN THE PRIMARY MARKET TWO NEW DEALS WERE RELEASED SALOMON BROTHERS INC
ANNOUNCED A 1 BILLION FANNIE MAE REMIC ISSUE SERIES 199393 BACKED BY
THAT AGENCY'S 15YEAR 7 SECURITIES

ALSO DAIWA SECURITIES AMERICA INC ANNOUNCED A 197 MILLION ISSUE SERIES
199390 BACKED BY SELECTED CLASSES OF FANNIE MAE REMIC 199170
9305050098 930505 NEW SECURITIES ISSUES

THE FOLLOWING WERE AMONG YESTERDAY'S OFFERINGS AND PRICINGS IN US AND
NONUS CAPITAL MARKETS WITH TERMS AND SYNDICATE MANAGER AS COMPILED BY
DOW JONES CAPITAL MARKETS REPORT

AMBAC INC 75 MILLION OF DEBENTURES DUE MAY 1 2023 PRICED AS 7 1/2 S
AT 99171 TO YIELD 757 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE
ISSUE WAS PRICED AT A SPREAD OF 078 PERCENTAGE POINT ABOVE THE TREASURY
30YEAR BOND RATED DOUBLEA2 BY MOODY'S INVESTORS SERVICE INC AND
DOUBLEAPLUS BY STANDARD & POOR'S CORP THE ISSUE WILL BE SOLD THROUGH
MORGAN STANLEY & CO

BELLSOUTH TELECOMMUNICATIONS INC 450 MILLION OF NOTES DUE MAY 15
2003 PRICED AS 6 1/4S AT 99557 TO YIELD 631 ACCORDING TO MCM
CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 04
PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE RATED TRIPLEA BY BOTH
MOODY'S AND S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY MORGAN
STANLEY & CO BELLSOUTH TELECOMMUNICATIONS IS A UNIT OF BELLSOUTH CORP

LOCKHEED CORP 200 MILLION OF MEDIUMTERM NOTES DUE MAY 11 1995
PRICED AT PAR TO FLOAT QUARTERLY AT A SPREAD OF 045 PERCENTAGE POINT ABOVE
THE THREEMONTH LONDON INTERBANK OFFERED RATE ACCORDING TO MCM
CORPORATEWATCH THREEMONTH LIBOR CURRENTLY IS 31875 THE NONCALLABLE ISSUE
BEGINS PAYING INTEREST QUARTERLY ON AUG 11 THE SIZE OF THE OFFERING WAS
RAISED FROM AN ORIGINALLY PLANNED 160 MILLION RATED BAA1 BY MOODY'S AND
SINGLEAMINUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY
MERRILL LYNCH & CO

BUENOS AIRES BOTTLING CO INITIAL OFFERING OF 15 MILLION AMERICAN
DEPOSITARY SHARES PRICED AT 2325 APIECE THROUGH UNDERWRITERS LED BY
OPPENHEIMER & CO AND MERRILL LYNCH & CO

GREYHOUND LINES INC 4054050 COMMON SHARES PRICED AT 21125 EACH
THROUGH UNDERWRITERS LED BY SMITH BARNEY HARRIS UPHAM & CO

REINSURANCE GROUP OF AMERICA INITIAL OFFERING OF 5775000 COMMON SHARES
PRICED AT 26 APIECE THROUGH UNDERWRITERS LED BY SALOMON BROTHERS
REINSURANCE GROUP IS A SUBSIDIARY OF GENERAL AMERICAN LIFE INSURANCE

BEVERLY HILLS CALIF PUBLIC FINANCING AUTHORITY 9315 MILLION LEASE
REVENUE 1993 REFUNDING BONDS SERIES A PRICED BY GOLDMAN SACHS & CO AND
ARTEMIS CAPITAL GROUP INC THE OFFERING INCLUDES 4555 MILLION FIXEDRATE
SERIAL BONDS DUE 1994 TO 2008 238 MILLION PERIODIC AUCTION RESET
SECURITIES DUE 2015 AND 238 MILLION INVERSE FLOATINGRATE SECURITIES DUE
2015 YIELDS RANGE FROM 265 IN 1994 TO AN INITIAL BOND EQUIVALENT YIELD OF
565 ON THE INVERSE FLOATINGRATE SECURITIES OF 2015 THE SERIAL BONDS DUE
19992008 ARE MBIAINSURED AS ARE THE PERIODICAUCTIONRESET AND
INVERSEFLOATINGRATE SECURITIES THOSE BONDS ARE RATED TRIPLEA BY BOTH
MOODY'S AND S&P THE NONINSURED SERIAL BONDS ARE RATED SINGLEA1 BY
MOODY'S AND DOUBLEAMINUS BY S&P

CHARLOTTE COUNTY FLA 1024 MILLION UTILITY SYSTEM REFUNDING REVENUE
BONDS SERIES 1993 PRICED BY A SMITH BARNEY HARRIS UPHAM & CO GROUP TO
YIELD FROM 22 IN 1993 TO 5678 IN 2017 THE BONDS ARE FGICINSURED AND
RATED TRIPLEA BY BOTH MOODY'S AND S&P

ERIE COUNTY NY 567 MILLION REFUNDING SERIAL BONDS 1993 SERIES A AND
B PRICED BY A DONALDSON LUFKIN & JENRETTE SECURITIES GROUP THE 3547
MILLION SERIES A BONDS WERE PRICED TO YIELD FROM 25 IN 1994 TO 505 IN
2003 THE 2119 MILLION SERIES B BONDS WERE PRICED TO YIELD FROM 235 IN
1994 TO 505 IN 2003 ALL OF THE BONDS ARE FGICINSURED AND RATED TRIPLEA
BY BOTH MOODY'S AND S&P

KANSAS DEPARTMENT OF TRANSPORTATION 250 MILLION OF HIGHWAY REVENUE
BONDS SERIES 1993 PRICED BY A LEHMAN BROTHERS GROUP TO YIELD FROM 445 IN
1999 TO 56 IN 2013 THE BONDS ARE RATED DOUBLEA BY BOTH MOODY'S AND S&P

NORTHERN CALIFORNIA POWER AGENCY 257 MILLION GEOTHERMAL PROJECT NUMBER 3
1993 REFUNDING SPECIAL REVENUE BONDS PRICED BY A SMITH BARNEY HARRIS UPHAM
& CO GROUP TO YIELD FROM 3 IN 1994 TO 585 IN 2010 THE BONDS ARE PRICED
AT PAR AND ARE RATED SINGLEA BY MOODY'S AND SINGLEAMINUS BY S&P

RECTOR AND VISITORS OF THE UNIVERSITY OF VIRGINIA 617 MILLION GENERAL
REVENUE PLEDGE BONDS SERIES 1993B PRICED BY A GOLDMAN SACHS GROUP TO
YIELD FROM 27 IN 1994 TO 57 IN 2020 THE BONDS ARE RATED DOUBLEA BY
MOODY'S AND DOUBLEAPLUS BY S&P

FEDERAL NATIONAL MORTGAGE ASSOCIATION 1 BILLION OF REAL ESTATE MORTGAGE
INVESTMENT CONDUIT SECURITIES OFFERED BY SALOMON BROTHERS INC THE OFFERING
SERIES 199393 IS BACKED BY THE AGENCY'S 15YEAR 7 MORTGAGE SECURITIES
THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF 7625 AND WEIGHTED
AVERAGE REMAINING TERM TO MATURITY OF 148 YEARS

FEDERAL NATIONAL MORTGAGE ASSOCIATION 197 MILLION OF REAL ESTATE
MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY DAIWA SECURITIES AMERICA
INC THE OFFERING SERIES 199390 IS BACKED BY CLASSES FROM THE AGENCY'S
REMIC 199170

FEDERAL NATIONAL MORTGAGE ASSOCIATION 11132 MILLION OF REAL ESTATE
MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY FIRST BOSTON CORP THE
OFFERING SERIES 199391 IS BACKED BY THE AGENCY'S REMIC 199269 CLASS H
AND REMIC 199279 CLASS G

AEROSPATIALE SNI FRANCE 100 MILLION SWISS FRANCS OF 4 3/4 PUBLIC BONDS
DUE JUNE 22 1998 AT ISSUE PRICE 101 7/8 VIA SWISS BANK CORP FEES 1625
POINT

BRADFORD & BINGLEY BUILDING SOCIETY UK 100 MILLION OF FLOATING RATE
EURONOTES DUE NOV 25 1996 REOFFERED AT 99475 VIA SG WARBURG & CO
INTEREST FLOATS AT 15 BASIS POINTS ABOVE LONDON INTERBANK OFFERED RATE FOR
STERLING FEES 0675 POINT

CSFB FINANCE NETHERLANDS BV SWITZERLAND PARENT 150 MILLION OF COLLARED
FLOATING RATE EURONOTES DUE MAY 26 2003 VIA CREDIT SUISSE FIRST BOSTON
LTD INTEREST FLOATS AT 0125 POINT BELOW LIBOR FOR US DOLLARS SUBJECT
MINIMUM 5 7/8 MAXIMUM 10 REOFFERED AT PAR GUARANTOR SUBORDINATED CS
FIRST BOSTON GROUP FEES 05 POINT

EUROPEAN INVESTMENT BANK SUPRANATIONAL 200 BILLION ITALIAN LIRE OF
FLOATINGRATE EURONOTES DUE MARCH 7 1996 AT ISSUE PRICE 10005 VIA
INSTITUTO BANCARIO SAN PAOLO DI TORINO BONDS WILL TRADE INTERCHANGEABLY
WITH 200 BILLION LIRE OF IDENTICAL OUTSTANDING EUROBONDS LAUNCHED IN
FEBRUARY INTEREST FLOATS AT 025 POINT BELOW THE THREEMONTH LIBOR FOR
LIRE FEES 015 POINT

GOLDMAN SACHS & CO US 100 MILLION OF COLLARED FLOATING RATE
EURONOTES DUE MAY 21 2003 VIA GOLDMAN SACHS INTERNATIONAL LTD INTEREST
FLOATS AT THE LIBOR FOR US DOLLARS SUBJECT MINIMUM 5 3/8 MAXIMUM 9
REOFFERED AT 99 1/4 FEES 05 POINT

KINGDOM OF SPAIN SOVEREIGN 6 BILLION FRENCH FRANCS OF 7 1/2 EUROBONDS
DUE MAY 24 2008 VIA CREDIT COMMERCIAL DE FRANCE REOFFERED AT 9706 TO
YIELD 784 SPREAD 44 BASIS POINTS ABOVE FRENCH TREASURY'S 8 1/2 BONDS DUE
OCTOBER 2008 FEES 0375 POINT 9305050097 930505 REYNOLDS & REYNOLDS
BUYBACK

DAYTON OHIO REYNOLDS & REYNOLDS CO SAID ITS BOARD AUTHORIZED THE
REPURCHASE OF 500000 ADDITIONAL SHARES OF ITS CLASS A COMMON STOCK

THE COMPUTER AND BUSINESS FORMS COMPANY ALSO SAID IT HAS NEARLY 300000
REMAINING SHARES TO BUY IN A 500000SHARE REPURCHASE APPROVED BY THE BOARD
IN FEBRUARY REYNOLDS & REYNOLDS SAID IT HAS BOUGHT BACK MORE THAN TWO
MILLION SHARES IN THE PAST YEAR AND THAT AT THE END OF APRIL IT HAD ABOUT
21 MILLION CLASS A SHARES OUTSTANDING

REYNOLDS CLASS A STOCK WAS QUOTED AT 36125 UP 1875 IN LATE NEW YORK
STOCK EXCHANGE TRADING YESTERDAY 9305050096 930505 CLINTON SAYS CHIEF OF
STAFF IS SEEKING TOUGH DEPUTY

WASHINGTON PRESIDENT CLINTON ACKNOWLEDGING THAT HIS OPERATION NEEDS MORE
FOCUS SAID THAT CHIEF OF STAFF THOMAS MACK MCLARTY IS LOOKING FOR A NEW
TOUGH DEPUTY

MR CLINTON SAID THAT HE HAS BEEN DISCUSSING STAFF CHANGES FOR ABOUT FIVE
WEEKS LOOKING AT WAYS TO BECOME MORE EFFECTIVE THE PRESIDENT INDICATED
THAT WASHINGTON HAS SOMETIMES BEFUDDLED HIM AFTER ALL I JUST GOT HERE
HE TOLD REPORTERS I'VE NEVER OPERATED HERE BEFORE AND THERE ARE SOME
THINGS THAT ARE VERY DIFFERENT ABOUT THE WAY WASHINGTON WORKS SOME GOOD
AND SOME NOT SO GOOD

THE PRESIDENT SAID THAT OTHER CHIEFS OF STAFF HAVE HAD MORE THAN ONE DEPUTY
SOMETIMES THREE AND THAT HE IS TRYING TO HIRE AT LEAST ONE MORE FOR MR
MCLARTY MARK GEARAN IS CURRENTLY THE SOLE DEPUTY CHIEF OF STAFF

WE THINK THAT THERE NEEDS TO BE A LITTLE TIGHTER COORDINATION HERE TO MAKE
SURE THAT WE'VE GOT OUR PRIORITIES STRAIGHT AND THAT THOSE PRIORITIES ARE
COMMUNICATED ALL THE WAY DOWN TO THE STAFF AND A LITTLE BETTER FOCUS
MR CLINTON SAID 9305050095 930505 MUTUAL FUNDS ABRACADABRA AND A
PUTNAM FUND DISAPPEARS  BY JONATHAN CLEMENTS STAFF REPORTER OF THE
WALL STREET JOURNAL

NEW YORK THE POORLY PERFORMING PUTNAM STRATEGIC INCOME TRUST IS ABOUT TO
PERFORM A DISAPPEARING TRICK THAT WOULD IMPRESS EVEN A MAGICIAN

THE FUND WHICH HAS 334 MILLION IN ASSETS IS GOING TO BE MERGED INTO THE
TINY PUTNAM EQUITY INCOME FUND THEREBY ELIMINATING THE BIGGER FUND'S
PERFORMANCE FROM THE RECORD BOOKS THE MERGER IS SUBJECT TO APPROVAL BY
PUTNAM STRATEGIC'S SHAREHOLDERS

JUST HOW SMALL IS PUTNAM EQUITY INCOME YOU WON'T FIND IT LISTED IN THIS
NEWSPAPER INDEED AS OF MARCH 31 THE FUND BOASTED ASSETS OF LESS THAN 1
MILLION ACCORDING TO LIPPER ANALYTICAL SERVICES A MUTUAL FUND RESEARCH
FIRM

THAT'S A CLASSIC CASE OF BURYING A BAD RECORD SAYS DON PHILLIPS
PUBLISHER OF MORNINGSTAR MUTUAL FUNDS A CHICAGO NEWSLETTER GETTING RID OF
THAT RECORD WON'T MAKE THE POOR RESULTS SUFFERED BY SHAREHOLDERS GO AWAY

THAT'S NOT THE WAY EXECUTIVES SEE IT AT MARSH & MCLENNAN COS'S PUTNAM
INVESTMENTS THE 50 BILLION BOSTON FUND GROUP THAT MANAGES THE TWO FUNDS

FOR A BUYER OF PUTNAM EQUITY INCOME FUND THE PAST PERFORMANCE OF PUTNAM
STRATEGIC INCOME TRUST IS NOT REALLY RELEVANT INFORMATION SAYS STEPHEN
GIBSON PUTNAM'S DIRECTOR OF RETAIL MARKETING HE'S BUYING AN EQUITY INCOME
FUND HE'S NOT BUYING WHAT THIS FUND USED TO BE

MOST MUTUAL FUND MERGERS ARE USED TO CUT COSTS THEY INVOLVE TAKING A SMALL
UNECONOMICAL FUND AND ROLLING IT INTO A LARGER FUND INVESTORS IN THE
SMALLER FUND ARE USUALLY BETTER OFF BECAUSE THEY END UP AS SHAREHOLDERS OF
A FUND THAT HAS FAR LOWER ANNUAL FUND EXPENSES PER SHARE

OCCASIONALLY HOWEVER FUND MERGERS GO THE OTHER WAY WITH TINY FUNDS
GOBBLING UP LARGER SIBLINGS WHEN THAT HAPPENS IT IS OFTEN A SIGN THAT THE
FUND COMPANY INVOLVED WANTS TO ERASE THE EMBARRASSING RECORD OF THE LARGER
FUND

PUTNAM STRATEGIC INVESTMENTS TRUST RETURNED JUST 1534 OVER THE 10 YEARS
ENDED MARCH 31 ACCORDING TO LIPPER ANALYTICAL THAT COMPARES WITH AN
AVERAGE 2302 FOR DIVERSIFIED US STOCK FUNDS AND 324 FOR THE STANDARD &
POOR'S 500 STOCK INDEX SINCE ITS 1977 LAUNCH THE FUND HAS LAGGED BEHIND
THE S&P 500 IN 12 CALENDAR YEARS AND BEATEN THE INDEX IN JUST THREE YEARS

WHY THIS POOR RECORD FROM ITS LAUNCH UNTIL 1991 THE PUTNAM FUND WAS A
SOCALLED OPTION INCOME FUND WHICH MEANT IT WROTE CALL OPTIONS AGAINST ITS
STOCK PORTFOLIO IN AN EFFORT TO BOOST THE INCOME IT PAID TO SHAREHOLDERS
THE TROUBLE WAS BY WRITING THE OPTIONS THE FUND GAVE UP THE CHANCE TO EARN
HEALTHY CAPITAL GAINS THE GOOD STOCKS GOT CALLED AWAY BY CALLOPTION
BUYERS WHO HAD PURCHASED THE RIGHT TO BUY THE STOCKS MEANWHILE THE ROTTEN
STOCKS WERE LEFT BEHIND

NONETHELESS THE PUTNAM FUND TOGETHER WITH OTHERS OFFERED BY FUND GROUPS
SUCH AS COLONIAL GROUP INC AND KEMPER CORP WERE AT FIRST HUGELY
POPULAR IN THE MID1980S THE PUTNAM FUND HAD OVER 1 BILLION IN ASSETS

THIS FUND AFFECTED A LOT OF PEOPLE SAYS MORNINGSTAR'S MR PHILLIPS A
LOT OF THOSE INVESTORS HAVE GOT OUT SINCE NOT ONLY HAS THE PERFORMANCE BEEN
WEAK IT'S BEEN WEAK DURING ONE OF THE GREATEST BULL MARKETS OF THE
CENTURY

PUTNAM EQUITY INCOME FUND HAS NO SUCH BLEMISHES IT WAS LAUNCHED LESS THAN
TWO YEARS AGO AND HAS DONE MODERATELY WELL SINCE THEN RETURNING 173 VS
197 FOR THE S&P 500 THE FUND BUYS STOCKS WITH HIGH DIVIDEND YIELDS
PUTNAM EQUITY INCOME FUND AND PUTNAM STRATEGIC INCOME TRUST HAVE BOTH BEEN
MANAGED BY EDWARD BOUSA SINCE LAST DECEMBER

A REGISTRATION STATEMENT RELATED TO THE MERGER WAS FILED WITH THE SECURITIES
AND EXCHANGE EARLY LAST MONTH THE PROPOSED MERGER WAS FIRST REPORTED BY
FUND DECODER A NEW YORK NEWSLETTER DEVOTED TO THE MUTUAL FUND INDUSTRY

PUTNAM'S MR GIBSON SAYS THE CONCERN HAS HAD SOME DISCUSSIONS WITH THE SEC
ABOUT THE PROPOSED MERGER HE SAYS SHAREHOLDERS OF PUTNAM STRATEGIC INCOME
WILL GET TO VOTE ON THE PROPOSED MERGER PROBABLY IN JULY WE'RE HOPING THE
FUNDS WILL BE MORE EQUAL IN SIZE BY THE TIME THE MERGER IS EFFECTED IN THE
FALL MR GIBSON ADDS

THOMAS HARMAN CHIEF COUNSEL IN THE SEC'S DIVISION OF INVESTMENT MANAGEMENT
DOESN'T RECALL THE PUTNAM MERGER BEING BROUGHT TO HIS ATTENTION BUT HE
SEEMS INTRIGUED THAT'S PRETTY AMAZING SAYS MR HARMAN THAT'S TRULY THE
CASE OF A MINNOW SWALLOWING A WHALE I'LL HAVE TO CHECK INTO THAT
9305050094 930505 NEW PLAN REALTY ACQUISITIONS

NEW YORK NEW PLAN REALTY TRUST SAID IT AGREED TO ACQUIRE TWO SHOPPING
CENTERS IN KENTUCKY AND INDIANA FOR ABOUT 18 MILLION

THE REAL ESTATE INVESTMENT TRUST WHICH HAS PURCHASED 23 SHOPPINGCENTER AND
GARDENAPARTMENT PROPERTIES IN 18 MONTHS SAID IT IS MOVING FROM SHORTTERM
LOWYIELDING INVESTMENTS INTO REAL ESTATE WITH HIGHER RETURNS IT HAS 91
HOLDINGS IN 17 STATES 9305050093 930505 BUSINESS BRIEF GITANO GROUP
INC DEBT FACILITIES ARE EXTENDED BY 24 MONTHS UNDER ACCORD

STRUGGLING GITANO GROUP INC SAID THAT IT REACHED A DEFINITIVE AGREEMENT
WITH ITS LENDERS TO PROVIDE A 24MONTH EXTENSION ON ALL OF ITS DEBT
FACILITIES TOTALING ABOUT 3338 MILLION

THE NEW YORKBASED MARKETER OF BUDGET APPAREL SOLD BY RETAILERS SUCH AS
WALMART STORES INC AND KMART CORP SAID THAT ITS DEBT COMPRISES 2457
MILLION OF BANKRELATED FINANCING AND 88 MILLION OF INSURANCE
COMPANYRELATED FINANCING ALL OF WHICH IS DUE TO EXPIRE ON FEB 28 1995

GITANO HAS BEEN GRAPPLING FOR THE PAST TWO YEARS TO REFOCUS ITS BUSINESS AND
RENEGOTIATE WITH ITS LENDERS IN 1992 GITANO POSTED NET LOSS OF 2379
MILLION ON SALES OF 8295 MILLION WHICH INCLUDED A 1005 MILLION
RESTRUCTURING CHARGE TO CLOSE DOWN ITS RETAILING AND MANUFACTURING OPERATONS
AND TO COVER NONCASH WRITEDOWNS LAST NOVEMBER MEMBERS OF GITANO'S
FOUNDING DABAH FAMILY FILED FOR PERSONAL CHAPTER 11 PROTECTION 9305050092
930505 LEISURE & ARTS ARCHITECTURE A PLACE TO REMEMBER  BY EVE
M KAHN

WASHINGTON DC JAMES FREED'S HOLOCAUST MEMORIAL MUSEUM HERE FOLLOWS THE
BEST PLAN WE HAVE YET DEVISED FOR EXPRESSING THROUGH ARCHITECTURE THE
BLACKEST EVIL BLUR IT AS IF WITH TEARS THE RESULT OVERPOWERS ANY
EXPECTATIONS MR FREED'S PAST MIGHT HAVE ENGENDERED THE JACOB K JAVITS
CONVENTION CENTER IN MANHATTAN IS HIS BESTKNOWN PREVIOUS ACCOMPLISHMENT
YOU MUST SEE THE PLACE AND SOON

THE BUILDING OCCUPIES A PROSAIC SLIM RECTANGLE ON 14TH STREET FLANKED BY
THE NEOCLASSICALLIMESTONE BUREAU OF ENGRAVING AND PRINTING AND THE
VICTORIAN REDBRICK AUDITOR'S BUILDING THE MUSEUM'S SHELL BRICK AND
LIMESTONE CAPPED WITH EIGHT LEAD PYRAMIDS INSPIRED BY NAZI GUARD TOWERS 
SERVES AS A QUASICONTEXTUAL BRIDGE BETWEEN NEIGHBORS NEOCLASSICISM JOINED
TO VICTORIANISM BY A GNASHING OF TEETH IS MR FREED'S APT DESCRIPTION

AT THE ENTRANCE A SEMICIRCULAR LIMESTONE GRID PROTRUDES A NONFUNCTIONAL
INSINCERE GESTURE OF RESPECT FOR WASHINGTON'S CIVICBUILDING STYLING BEHIND
IT BULGES A RIVETEDSTEEL DOOR CREEPILY RESEMBLING AN 1890S SUBWAY ENTRANCE
IN A PLEASANT MIDDLEINCOME NEIGHBORHOOD AND THROUGH IT LIES A FOYER WITH A
TOOCUTE BLUENEON RING OVERHEAD THE NUMEROUS ARRIVAL STAGES ARE MEANT TO
REMIND YOU HOW FAR YOU WILL SOON REMOVE YOURSELF FROM DECENCY THEN YOU
STEP ONTO A STEEL PLATFORM BORDERED BY LEANING COLUMNS AND RIVETED
CROSSBEAMS AND BEHOLD THE FOURSTORY HALL OF WITNESS WHICH LOOKS LIKE A
PSYCHOTIC RAIL TERMINAL OR MARRIOTT CORE

STEEL TRIANGLES THAT POINT DOWNWARD AND BITE INTO THE BRICK WALLS RECALL THE
IDENTIFICATION TRIANGLES ON PRISONER UNIFORMS AND THE METAL STRAPS WRAPPED
AROUND NAZI OVENS A FORCEDPERSPECTIVE STAIRCASE RUSHES UP THE FAR WALL
SEEMINGLY EAGER TO ESCAPE OVER YOUR HEAD SPECTRAL VISITORS MOVE IN
MILKYGLASS CROSSATRIUM BRIDGES SHALLOWLY ARCHED DOORS AND BOXY WINDOWS
INTERRUPT ALL WALLS AND ARE MODELED AFTER CONCENTRATIONCAMP DETAILS THE
GLASS CEILING'S RIDGE CROSSES THE ROOM AT A PECULIAR 992DEGREE ANGLE OFF
CENTER WHILE ITS SIDES WRITHE FROM STEEP TO SHALLOW

BUT NOT ALL IS TWISTED HERE THE ATRIUM'S HEIGHT AND AIRINESS OFFER SOME
SPATIAL RELIEF CONCENTRATION CAMPS AFTER ALL RARELY SURPASSED TWO
INHUMANELY OVERPOPULATED STORIES AND THE WINDOW RAILINGS HORIZONTAL
IBEAMS THAT DO NOT MEET THE WINDOW EDGES SUGGEST ESCAPE ROUTES AND A
GLASSBLOCK STRIP CROSSES THE FLOOR AT THE SAME ANGLE AS THE CEILING RIDGE
AND LETS LIGHT RISE AS IF HOPE OR PERHAPS MERELY HELL GLOWS BENEATH
YOU

FROM THE ATRIUM VISITORS TAKE BLACKENEDSTEEL ELEVATORS TO THE FOURTH
FLOOR WHERE THE HEARTBREAKING EXHIBITS BY RALPH APPELBAUM ASSOCIATES
BEGIN BY EXPLAINING THE NAZI RISE TO POWER DARKWALLED AND STONEFLOORED
PASSAGEWAYS EITHER CURL INTO KNOTS OR SHOOT STRAIGHT BRINGING YOU PAST
VIDEO MONITORS DEPICTING SYNAGOGUES BURNING TROOPS GOOSESTEPPING MEDIEVAL
ENGRAVINGS OF JEWS DRAINING BLOOD FROM CHRISTIAN INFANTS SOMETIMES THE
HALLS GET SO NARROW YOU BUMP INTO YOUR FELLOW VISITOR AND YOU BOTH WHISPER
APOLOGIES NOBODY SAYS MUCH ELSE HERE THIS WOULD BE THE WORLD'S MOST
PASSIONATELY SILENT MUSEUM IF NOT FOR HYPERSENSITIVE ALARMS THAT BREAK INTO
WAILS WHENEVER HAPLESS VISITORS FEEL SO MOVED BY A GLASSLESS DISPLAY THAT
THEY LEAN TOO CLOSE

THE FOURTHFLOOR EXHIBIT TRAIL THEN LEADS YOU ACROSS ONE OF THOSE WALKWAYS
YOU SAW FROM BELOW AND THROUGH ITS WALLS ETCHED WITH NAMES OF DECIMATED
JEWISH COMMUNITIES YOU CAN CLOSELY EXAMINE THE TORTURED ATRIUM CEILING FROM
THERE YOU PASS INTO THE TOWER OF FACES A THREESTORY TAPERED FLUME WHERE I
FOR ONE COMMENCED A DAY'S WEEPING ON ITS WALLS HANG 1032 PHOTOGRAPHS OF
JEWISH RESIDENTS OF A LITHUANIAN SHTETL ALL KILLED IN A TWODAY NAZI
SPREE IN 1941

THE EXHIBITS ONLY GET MORE GRUELING ON THE SECOND AND THIRD FLOORS CASES OF
PITIFUL WEAPONS USED IN GHETTO REVOLTS WALLS OF YELLOWCLOTH STARS NEAT
NAZI CHARTS OF NUMBERS OF MURDERED CHILDREN A ROOM OF 4000 SHOES REEKING
OF 50 YEARS OF LONELINESS ESPECIALLY HARROWING FOOTAGE MEDICAL
EXPERIMENTS MASS KILLINGS COMES FROM SCREENS SET ON THE FLOOR AND
SHIELDED FROM CHILDREN BY BLACK FOURFOOTHIGH WALLS SO MESMERIZED CROWDS
OF ADULTS GATHER AROUND THESE ABYSSES BANALLY EVIL GRAYBLUE GLOWS
FLICKERING ON THEIR FACES

MR FREED'S ARCHITECTURE NEVER DETRACTS FROM THE LOWERFLOOR EXHIBITS YOU
ONLY NOTICE IT AGAIN ON THE THIRDSTORY WALKWAY ETCHED WITH VICTIMS' NAMES
IN THE STAIRWELLS ETCHED WITH GRIDS LIKE THE ONE AT THE MUSEUM'S ENTRANCE
AN UNFORTUNATE LAPSE INTO CORPORATE LOGOITIS AND AT THE EXHIBITS'
SOMEWHAT GENTLE END A SMALL AUDITORIUM WHERE SURVIVORS REMINISCE ONSCREEN
AND THE ROUGH TAN STONE WALLS SEEM CLAWED AND PUMMELED

AND FINALLY YOU SPILL INTO THE HALL OF REMEMBRANCE MR FREED'S MASTERPIECE
A SIXSIDED EMPTY SANCTUARY ONE SIDE FOR EACH OF THE SIX MILLION DEAD WITH
TRIANGULAR WINDOWS POINTED HOPEFULLY UPWARD OVERHEAD A TRANSLUCENT
SKYLIGHT TURNS CLEAR AT ITS PEAK READY TO REVEAL SOME SIGN OF HEAVENLY
MERCY OR JUSTICE OR ANY OPINION FROM ON HIGH AT ALL 9305050091 930505
WHO'S NEWS ADVANCED MEDICAL INC

SAN DIEGO ADVANCED MEDICAL INC SAID JEFFRY M PICOWER WAS NAMED
CHAIRMAN HE HAD PREVIOUSLY SHARED THE TOP POST WITH RICHARD D PROPPER WHO
RESIGNED AS COCHAIRMAN DIRECTOR AND CHIEF EXECUTIVE OFFICER THE COMPANY
SAID

MR PICOWER 50 YEARS OLD HAD BEEN COCHAIRMAN SINCE MARCH THE COMPANY
DIDN'T NAME A NEW CHIEF EXECUTIVE

STANLEY S ANDERS III PRESIDENT AND CHIEF FINANCIAL OFFICER SAID MR
PROPPER 46 LEFT TO PURSUE OTHER OPPORTUNITIES A SECRETARY AT MONTGOMERY
MEDICAL VENTURES A SAN FRANCISCO COMPANY IN WHICH MR PROPPER IS A PARTNER
SAID MR PROPPER WAS TRAVELING YESTERDAY HE DIDN'T RETURN A PHONE CALL
SEEKING COMMENT 9305050090 930505 NYNEX UNIT'S UK PURCHASE

WHITE PLAINS NY NYNEX CORP SAID ITS CABLECOMMS UNIT BOUGHT TWO UK
CABLE TELEVISION FRANCHISES AND ASSUMED FULL OWNERSHIP OF TWO OTHERS

CABLECOMMS ACQUIRED THE TWO FRANCHISES WHICH COVER AREAS AROUND THE TOWNS
OF STOCKPORT AND MACCLESFIELD FROM TELECABLE CORP IT ALSO ACQUIRED THE 51
OF THE BURY & ROCHDALE AND OLDHAM & TAMESIDE FRANCHISES THAT IT DIDN'T
ALREADY OWN FROM US CABLE OF LANCASHIRE INC A UNIT OF US CABLE CORP AND
FROM MORGAN CABLE LTD 9305050089 930505 INLAND TO RAISE PRICES OF STEEL
PLATE PRODUCTS AFTER MOVES BY RIVALS

EAST CHICAGO IND INLAND STEEL INDUSTRIES INC'S INDUSTRIAL PRODUCTS
DIVISION SAID IT WILL RAISE THE PRICE OF STEEL PLATE PRODUCTS FOLLOWING
SIMILAR MOVES LAST WEEK BY A NUMBER OF STEELMAKERS

INLAND SAID THAT EFFECTIVE JULY 4 IT WILL RAISE THE BASE PRICE OF ITS
CARBON AND HIGHSTRENGTH LOWALLOY PLATE PRODUCTS BY 10 A TON WITH A
20ATON INCREASE IN THE BASE PRICE OF ITS STRIP MILL PLATE PRODUCTS OTHER
PRODUCERS RAISING PLATE PRICES RECENTLY INCLUDE LUKENS INC OF COATESVILLE
PA BETHLEHEM STEEL CORP AND USX CORP'S US STEEL GROUP

INLAND WOULDN'T DISCLOSE ITS NEW BASE PRICES BUT OTHER PRODUCERS' PRICES
FOR SUCH PLATE PRODUCTS START AT 500 TO 520 A TON 9305050088 930505
FOREIGN EXCHANGE DOLLAR IS MOSTLY LOWER AS MARCH DATA REINFORCE FEARS
ABOUT US RECOVERY  BY RICHARD SCHUMACHER STAFF REPORTER OF THE
WALL STREET JOURNAL

NEW YORK THE DOLLAR FINISHED MOSTLY LOWER IN SUBDUED TRADING TUESDAY AS
US LEADING INDICATORS DATA THAT WERE WEAK BUT GENERALLY ANTICIPATED BY
FOREIGNEXCHANGE TRADERS REINFORCED CONCERNS ABOUT THE HEALTH OF THE US
RECOVERY

LATE IN NEW YORK THE DOLLAR WAS QUOTED AT 15758 MARKS DOWN FROM 15793
MARKS LATE MONDAY IN NEW YORK THE US CURRENCY ALSO WAS CHANGING HANDS AT
11025 YEN DOWN FROM 11073 YEN STERLING WAS TRADING AT 15665 UP FROM
15660

TRADERS SAID A PAUCITY OF SIGNIFICANT FRESH NEWS COUPLED WITH THE ABSENCE OF
JAPANESE TRADERS FOR HOLIDAYS UNTIL THURSDAY KEPT ACTIVITY THIN DURING THE
DAY

BUT THEY NOTED THE US CURRENCY SEEMS INCLINED TO SLIDE IN AN ABSENCE OF
OTHER FACTORS FOR THE MOMENT THE DOLLAR'S TREND IS LOWER SAID SIMON
FISCHER A VICE PRESIDENT AT SWISS BANK CORP

THE INDEX OF LEADING INDICATORS FELL 1 IN MARCH THE COMMERCE DEPARTMENT
SAID IT WAS THE LARGEST DROP SINCE A 11 DECLINE IN NOVEMBER 1990 THE
DEPARTMENT SAID A SURVEY OF ECONOMISTS BY DOW JONES CAPITAL MARKETS REPORT
HAD PROJECTED A 08 DROP IN THE MONTH

PLAYERS SAID THE RELEASE OF US MARCH LEADING INDICATORS WAS TUESDAY'S MOST
NOTABLE DEVELOPMENT THE INDEX'S DECLINE THOUGH EXPECTED BY MARKET PLAYERS
DISAPPOINTED ECONOMISTS AND THE CLINTON ADMINISTRATION

THE DATA WERE PRETTY MUCH AS EXPECTED BUT THEY STILL WEREN'T VERY
IMPRESSIVE SAID PETER IVERSEN A TRADER AT SHAWMUT BANK OF BOSTON THEY
FOLLOW THE STREAM OF WEAK NUMBERS WE'VE BEEN SEEING FOR AWHILE

THE INDICATORS THUS WEIGHED ON THE DOLLAR BUT DIDN'T CAUSE IT TO BREAK
SHARPLY LOWER DEALERS SAID

THEY NOTED THE INDICATORS WERE FOR MARCH A MONTH WHEN SEVERAL REGIONS OF
THE US EXPERIENCED SEVERE WEATHER AND SAID THIS MITIGATED THEIR IMPACT

BUT MR IVERSEN SAID THAT NONETHELESS THEY RAISED QUESTIONS ABOUT THE PACE
OF THE US ECONOMIC RECOVERY WE'VE BEEN WAITING FOR THIS RECOVERY TO
HAPPEN BUT IT STILL HASN'T ARRIVED

THE RECENT SERIES OF WEAKERTHANEXPECTED US DATA SUGGESTS THE RECOVERY
MAY NEED A BOOST FROM THE US GOVERNMENT IF IT IS TO TAKE HOLD MR IVERSEN
SAID BUT HE NOTED THAT PRESIDENT CLINTON HAS RUN INTO LEGISLATIVE HURDLES
IN SEEKING PASSAGE OF HIS ECONOMICSTIMULUS PACKAGE

THE MARKET'S GETTING MORE PESSIMISTIC ABOUT WHETHER ANYTHING'S GOING TO GET
DONE MR IVERSEN SAID

THE MARKET LARGELY IGNORED WESTERN GERMANY'S MARCH INDUSTRIAL OUTPUT DATA
THAT POINTED TO CONTINUING SOFTNESS N THE GERMAN ECONOMY TRADERS SAID

THE OUTPUT INDEX FELL A PRICEANDSEASONALLY ADJUSTED 06 IN MARCH FROM A
REVISED FEBRUARY FIGURE AND PLUNGED 105 FROM THE YEAREARLIER MONTH THE
ECONOMICS MINISTRY SAID THE MARKET GENERALLY HAD EXPECTED A 07 MONTHLY
DECLINE AND 101 DROP FROM MARCH 1992

THE DATA WERE BAD BUT THEY WERE EXPECTED TO BE BAD MR IVERSEN SAID

COMMENTS BY TWO SENIOR GERMAN FINANCE OFFICIALS ABOUT THE PACE AT WHICH
GERMAN INTEREST RATES ARE LIKELY TO FALL OFFSET EACH OTHER THUS HAVING
LITTLE INFLUENCE ON DOLLAR OR MARK TRADING PLAYERS SAID

AGAINST THE YEN THE DOLLAR DRIFTED GRADUALLY LOWER THROUGHOUT THE GLOBAL
TRADING DAY IN A MOVE THAT PROBABLY WAS EXAGGERATED BY THE THINNESS OF THE
MARKET SAID RICH SHIMOKAWA FOREIGN EXCHANGE MANAGER AT SUMITOMO BANK LTD
9305050087 930505 CREDIT RATINGS

AIRBUS INDUSTRIE NEW YORK MOODY'S INVESTORS SERVICES INC LOWERED ITS
RATING ON AIRBUS INDUSTRIE'S 120 MILLION OF LONGTERM DEBT CITING A
WEAKENING OUTLOOK FOR THE COMMERCIAL AIRCRAFT MARKET AND GROWING DEMAND FOR
FINANCING FOR AILING AIRLINE CUSTOMERS IN LOWERING AIRBUS'S RATING TO
DOUBLEA3 FROM DOUBLEA2 MOODY'S SAID THE AIRCRAFT MAKER'S COMMERCIAL
MARKET IS IN A DOWNCYCLE THAT IS EXPECTED TO INTENSIFY BECAUSE OF ADDITIONAL
CANCELLATIONS AND ORDER STRETCHOUTS LOW PRODUCTION RATES WILL ALSO CUT INTO
PROFITABILITY AND CASH FLOWS THE AGENCY SAID DESPITE THE DOWGRADE AIRBUS
NOTED THAT IT REMAINS DOUBLEA AND DESCRIBED THE DOWNGRADING AS JUST A
FRACTIONAL ADJUSTMENT DAVID VENZ A VICE PRESIDENT FOR AIRBUS INDUSTRIE OF
NORTH AMERICA THE NORTH AMERICAN SALES AND MARKETING HEADQUARTERS FOR THE
BLAGNAC FRANCE CONCERN SAID WHAT IS IMPORTANT IS THAT WE HAVE MADE THE
NECESSARY ADJUSTMENTS IN OUR PRODUCTION RATES AND BUSINESS PLAN TO POSITION
US TO KEEP IN TUNE WITH THE MARKET AIRBUS'S DEBTS ARE THE INDIVIDUAL AND
COLLECTIVE LIABILITIES OF ITS PARTNERS AEROSPATIALE SNI BRITISH AEROSPACE
PLC DEUTSCHE AIRBUS AND CONSTRUCTIONES AERONAUTICAS SA 9305050086 930505
INTERNATIONAL WORLD WIRE  COMPILED BY RICHARD L HOLMAN

THE ASIAN DEVELOPMENT BANK RECEIVED CHINA'S BACKING TO INCREASE ACTIVITIES
IN THE COUNTRY'S RELATIVELY UNDERDEVELOPED AND POORER INTERIOR WHERE
FOREIGN INVESTMENT TRAILS POWERHOUSE COASTAL PROVINCES

CHINA WELCOMED THE INITIATIVE REQUIRING CHANGES IN THE TRADITIONAL
BORROWING EMPHASIS ON PROJECTS THAT GENERATE OR SAVE HARD CURRENCY WHICH
MADE IT DIFFICULT TO FUND EXPENSIVE LOWRETURN INTERIOR GROWTH THE BANK
WILL CONCENTRATE ON INLAND INFRASTRUCTURE NEEDS

THE ADB LAST YEAR APPROVED LOANS TOTALING 903 MILLION FOR CHINA UP 82
FROM 1991 AN OFFICIAL OF THE BANK SAID AT ITS ANNUAL MEETING THAT CHINA
COULD BORROW 1 BILLION THIS YEAR 13 BILLION NEXT YEAR AND 15 BILLION
IN 1995 PUSHING THE COUNTRY PAST THE LEADERS INDIA WITH 982 MILLION LAST
YEAR AND INDONESIA WITH 121 BILLION

THE ADB IS CONCENTRATING ON CHINA NOT ONLY BECAUSE OF ITS VAST SIZE DYNAMIC
GROWTH AND POTENTIAL BUT BECAUSE ADB PROJECTS THERE HAVE BEEN FINISHED ON
TIME AND GENERATED INTENDED RETURNS

BRITISH NEWSPAPER PUBLISHERS AGREED ON TIGHTER VOLUNTARY CONTROLS ON
JOURNALISTIC CONDUCT THE CURBS STEMMED FROM GOVERNMENT AND PUBLIC
COMPLAINTS FOLLOWING DAMAGING REPORTS ON THE BRITISH ROYAL FAMILY AND
INTRUSIONS INTO PRIVATE LIVES CHANGES IN THE INDUSTRY'S CODE OF CONDUCT
INCLUDE RESTRICTIONS ON PHOTOGRAPHING PEOPLE ON PRIVATE PROPERTY
JOURNALISTS MUST IDENTIFY THEMSELVES AS SUCH AND THE PRESS COMPLAINTS
COMMISSION WILL BE DOMINATED BY NONMEDIA FIGURES THE GOVERNMENT SAID PRESS
SELFREGULATION HAD FAILED BUT SEEKING TO AVOID CENSORSHIP RESISTED
CREATING A TRIBUNAL WITH ENFORCEMENT POWERS

JAPANESE CHILDREN YOUNGER THAN 15 ACCOUNT FOR A RECORD LOW 169 OF THE
COUNTRY'S POPULATION THE GOVERNMENT SAID THE DOWNWARD TREND IS LIKELY TO
CONTINUE UNTIL THE END OF THE CENTURY PROMPTING FEARS THAT TOO FEW WORKERS
WILL EVENTUALLY HAVE TO SUPPORT TOO MANY RETIREES THE NUMBER OF CHILDREN AS
OF APRIL 1 FELL 530000 OR 05 TO 211 MILLION FROM A YEAR EARLIER THE
DECLINE IN JAPAN'S BIRTH RATE WHICH BEGAN IN 1975 AFTER A BABY BOOM IN THE
EARLY 1970S HAS BEEN ATTRIBUTED VARIOUSLY TO CRAMPED HOUSING HIGH LAND
PRICES MARRIAGES LATER IN LIFE AND HIGH COSTS OF EDUCATION

TAIWAN WILL END A 22YEAR BAN ON NEW TELEVISION STATIONS TO ALLOW THE
COUNTRY'S FIRST PRIVATELY OWNED STATION TAIWAN'S THREE TV STATIONS ARE
CONTROLLED BY THE GOVERNING NATIONALIST PARTY THE GOVERNMENT OR THE
MILITARY THE NEW TV STATION WILL BE MADE POSSIBLE IN SIX MONTHS WHEN THE
DEFENSE MINISTRY RELEASES ONE OF ITS CHANNELS

FOREIGN INVESTMENT PROPOSALS APPROVED BY AUSTRALIA IN THE PAST FISCAL YEAR
INCREASED 18 TO 2981 FROM A YEAR EARLIER BUT THEIR VALUE DROPPED 17 TO
167 BILLION AUSTRALIAN DOLLARS US118 BILLION SOME SPENDING THOUGH
CLEARED IN THE YEAR ENDED JUNE 30 WILL BE SPREAD OVER OTHER YEARS OF THE
TOTAL APPROVED VALUE THREEFOURTHS WAS ACQUISITIONS AND ONEFOURTH
DEVELOPMENT SPENDING SECTORS ATTRACTING THE MOST FUNDING WERE REAL ESTATE
MINING MANUFACTURING SERVICES AND TOURISM

THE OUTLOOK FOR THE DIAMOND INDUSTRY IN BOTSWANA IS GLOOMY THE CENTRAL
BANK SAID AS IT CRITICIZED THE GOVERNMENT FOR INSUFFICIENTLY DIVERSIFYING
THE ECONOMY THE BANK SAID THE NEED FOR RESTRUCTURING THE SECTOR WAS
APPARENT EVEN BEFORE RECENT REDUCTIONS OF SUPPLIERS' QUOTAS BY DE BEERS
CONSOLIDATED MINES LTD'S CENTRAL SELLING ORGANIZATION DIAMONDS MINED BY
THE DEBSWANA VENTURE BETWEEN BOTSWANA AND SOUTH AFRICA'S DE BEERS CONTRIBUTE
60 OF BOTSWANA'S REVENUE DEBSWANA OWNS THE WORLD'S THREE RICHEST DIAMOND
MINES ITS 1992 OUTPUT FELL 3 TO 16 MILLION CARATS

EC REACTION TO ITALY'S PLAN TO RESTRUCTURE ITS UNPROFITABLE ILVA STEELMAKER
INDICATE THE TRADE BLOC FACES A BATTLE OVER SUBSIDIES THAT COULD UNDERMINE A
RESCUE PACKAGE FOR THE EUROPEAN STEEL INDUSTRY

THE EC COMPETITION COMMISSIONER KAREL VAN MIERT ALL BUT REJECTED ITALY'S
RESTRUCTURING PLAN FOR ILVA SPA SAYING IT MUST SLASH ANNUAL CAPACITY IN
EXCHANGE FOR EC APPROVAL OF STATE SUBSIDIES THE ILVA PLAN DIDN'T SPECIFY
PRODUCTION CUTS

MR VAN MIERT ALSO CHALLENGED ITALY'S CONTENTION THAT THE RESTRUCTURING
WOULDN'T INVOLVE STATE AID AS THE STATE HOLDING COMPANY ISTITUTO PER LA
RICOSTRUZIONE INDUSTRIALE WHICH OWNS ILVA NO LONGER GETS GOVERNMENT FUNDS
HE ESTIMATED THE LEVEL OF SUBSIDIES AT FOUR BILLION EUROPEAN CURRENCY UNITS
494 BILLION

HE EMPHASIZED THE NEED TO CLAMP DOWN ON STATE SUBSIDIES IN THE STEEL SECTOR
IF THE EC IS TO AGREE ON THE RESCUE PACKAGE BY OCTOBER TO LET THE INDUSTRY
TO CUT UNNEEDED CAPACITY AND JOBS EC INDUSTRY MINISTERS WILL MEET IN JULY
TO DISCUSS ILVA AS WELL AS SUBSIDY PROPOSALS BY SPAIN AND GERMANY THAT FACE
EC COMMISSION OPPOSITION

LAOS INTRODUCED A 1000KIP 139 BANKNOTE TWICE THE VALUE OF THE LARGEST
NOTE PREVIOUSLY IN CIRCULATION TO EASE CURRENCY TRANSACTIONS AMID GROWING
ECONOMIC ACTIVITY  CHINA RENOVATED AND OPENED TO TOURISTS THE FORMER
VILLA OF THE NATIONALIST LEADER CHIANG KAISHEK IN A GOODWILL GESTURE TO
TAIWAN THE LUXURIOUS COMPOUND IN CHONGQING CHIANG'S LAST CAPITAL BEFORE
THE COMMUNISTS DROVE HIM AND HIS ARMIES INTO EXILE IN TAIWAN IN 1949 IS ONE
OF THE PERIOD'S BESTPRESERVED SITES 9305050085 930505 MCI IS AWARDED 
80 MILLION JOB BY JP MORGAN  CONTRACT MARKS A VICTORY OVER
RIVALS AT&T BT IN GLOBAL SERVICE ARENA  BY JOHN J KELLER STAFF
REPORTER OF THE WALL STREET JOURNAL

NEW YORK MCI COMMUNICATIONS CORP WON AN 80 MILLION GLOBAL SERVICES
CONTRACT FROM JP MORGAN & CO BEATING AMERICAN TELEPHONE & TELEGRAPH CO
AND BRITISH TELECOMMUNICATIONS PLC

THE FIVEYEAR PACT WHICH THE WASHINGTONBASED MCI AND MORGAN ARE EXPECTED
TO ANNOUNCE TODAY IS THE CULMINATION OF A YEARLONG FIGHT BY THE THREE BIG
COMMUNICATIONS CARRIERS TO PROVIDE INTRACOMPANY TRANSMISSION LINES AND
ASSUME MANAGEMENT OF THE NEW YORK BANKING COMPANY'S GLOBAL PRIVATE NETWORK
 A SERVICE THE INDUSTRY CALLS OUTSOURCING

THE 2BILLIONPLUS OUTSOURCING INDUSTRY IS GROWING MORE THAN 20 A YEAR
ACCORDING TO YANKEE GROUP A BOSTON RESEARCH FIRM AND THE MAJOR CARRIERS
ARE FIGHTING FEROCIOUSLY FOR A PIECE OF THE GLOBAL PIE NOW MCI CAN USE
MORGAN AN ABSOLUTE LEADINGEDGE USER OF COMPUTER AND COMMUNICATIONS
TECHNOLOGY AS A REFERENCE WITH POTENTIAL CUSTOMERS SAID YANKEE'S LONDON
ANALYST SEAN PHELAN AT&T DECLINED TO COMMENT BT OFFICIALS COULDN'T BE
REACHED

AT&T AND BRITISH TELECOM WILL CONTINUE TO RUN TWO OF MORGAN'S THREE BIG
INTERNATIONAL DATA NETWORKS BUT THESE SYSTEMS ARE WORMS COMPARED WITH THE
OCTOPUS THAT MCI WILL SERVICE

MORGAN SECURITIES TRADERS IN 20 LOCATIONS IN NORTH AMERICA EUROPE ASIA AND
LATIN AMERICA WILL TALK OVER A PRIVATE NETWORK PROVIDED BY MCI VIA ITS
GLOBAL COMMUNICATIONS SERVICES MCI WILL ALSO PROVIDE DATA AND VIDEO
TRANSMISSION SERVICES TO MORGAN AND ITS SUBSIDIARIES

THINGS ARE FAST AND FURIOUS IN THE CORPORATE ACCOUNTS MARKET SAID
JONATHAN CRANE MCI'S NATIONAL ACCOUNTS PRESIDENT IT'S AN INTENSE BATTLE
RIGHT NOW MCI HAS MADE BIG INROADS IN THE FINANCIAL INDUSTRY SIGNING
CLIENTS SUCH AS CITICORP BANKAMERICA CORPAND MERRILL LYNCH & CO EACH HAS
CHOSEN MCI AS THEIR PRIMARY COMMUNICATIONS CARRIER BAXTER INTERNATIONAL
INC AND VISA INTERNATIONAL ALSO LET MCI RUN THEIR NETWORKS

WE FELT MCI PROVIDED THE MOST COSTEFFECTIVE GLOBAL SERVICE SAID THOMAS
HYND VICE PRESIDENT OF GLOBAL NETWORK SERVICES AT MORGAN

MCI'S WIN DOESN'T HURT AT&T TOO MUCH ALTHOUGH AT&T HAS BEEN TRYING TO HOLD
ON TO BIG CLIENTS LIKE MORGAN AT&T STILL TRANSPORTS A BIG SHARE OF MORGAN'S
EXTERNAL LONGDISTANCE VOICE AND INTERNAL DATA TRAFFIC AND SUPPLIES MOST OF
MORGAN'S NETWORK EQUIPMENT

BUT MCI'S VICTORY WOULD SEEM A BIG SETBACK FOR BRITISH TELECOM WHICH WANTS
TO BE MORE THAN A LONDONBASED RELAY STATION FOR PHONE CALLS TO EUROPE BT
FAILED TO GAIN A BIGGER FOOTHOLD IN OUTSOURCING WHEN ITS TALKS BROKE OFF TO
ACQUIRE A STAKE IN GENERAL MOTORS CORP'S ELECTRONIC DATA SYSTEMS A BIG
COMPUTER SERVICES COMPANY GENERAL MOTORS' CLASS E SHARES TOOK A POUNDING
YESTERDAY ON THE NEW YORK STOCK EXCHANGE FOLLOWING A REPORT IN TUESDAY'S
WALL STREET JOURNAL THAT THE TALKS WERE OFF GM CLASS E SHARES FELL 1625
TO 30375 IN HEAVY TRADING WHICH AT ONE POINT CAUSED A TRADING HALT
BECAUSE OF AN ORDER IMBALANCE THE SHARES REPRESENT A CLAIM IN EDS PROFIT
NOT AN OWNERSHIP STAKE

MR HYND CONFIRMED THAT MANAGEMENT OF THE MCIRUN NETWORK WILL BE HANDLED BY
MCI'S 25OWNED AFFILIATE INFONET SERVICES CORP WHOSE OTHER OWNERS INCLUDE
THE DEUTSCHE BUNDESPOST FRANCE TELECOM AND SINGAPORE TELECOM 9305050084
930503 CHOICES AT A MOTHER'S DAY FEAST RYE OR WHITE MAYO OR MUSTARD 
 BY SUEIN L HWANG STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK ANY RESTAURANT CAN PUT ON A MOTHER'S DAY FEAST MANHATTAN'S CAFE
NICOLE HOPES TO GO THEM ONE BETTER WITH FOOD INSPIRED BY WHAT FIRST MOTHER
VIRGINIA KELLEY FED TO THE YOUNG BILL CLINTON

GOURMETS MIGHT WANT TO STOP READING HERE

WHILE OTHER CITY RESTAURANTS ARE LAYING ON A HOST OF MULTICOURSE
EXTRAVAGANZAS CAFE NICOLE IN THE NOVOTEL NEW YORK HOTEL IS OFFERING THE
VIRGINIA KELLEY SAMPLER OF THE PRESIDENT'S FAVORITE BOYHOOD DISHES IT IS
A MENU REPLETE WITH FRENCH FRIES GREEN BEANS POUND CAKE AND PEANUT BUTTER
AND BANANA SANDWICHES

HE ATE EVERYTHING EXCEPT CHOCOLATE SAYS MRS KELLEY OF HER SON THE
PRESIDENT IN A QUOTE PRINTED ON THE MENU TO THIS DAY HE DOESN'T EAT
CHOCOLATE AND HE DOESN'T HAVE A SINGLE CAVITY

FLORENCE QUINN A NOVOTEL SPOKES WOMAN SAYS THE CELEBRATION FITS NEATLY
INTO NOVOTEL'S MARKETING STRATEGY WE AREN'T APOLOGIZING FOR BEING A
MIDPRICED HOTEL SHE SAYS WE ARE WHO WE ARE WE APPEAL TO WORKING PEOPLE
AND VIRGINIA KELLEY REPRESENTS WORKING PEOPLE

BUT RECREATING PRESIDENT CLINTON'S CHILDHOOD FAVORITES WAS A CHALLENGE MRS
KELLEY GOT A LITTLE NERVOUS WHEN WE ASKED FOR RECIPES EXPLAINS MS QUINN
SHE SAID SHE FOCUSED MORE ON HER NURSING CAREER THAN COOKING AND MOST OF
THE COOKING CAME OUT OF HER HEAD

THAT LEFT IT UP TO THE RESTAURANT'S CHEFS TO TRANSLATE MRS KELLEY'S
RECOLLECTIONS INTO REAL RESTAURANT FARE WE ATE A LOT OF BEEF IN THOSE
DAYS FOR EXAMPLE INSPIRED PRIME RIB AU JUS OTHER SELECTIONS 
CHEESEBURGERS WITH MUSTARD AND MAYONNAISE AND TUNASALAD SANDWICHES WERE
MORE STRAIGHTFORWARD

CHEESEBURGERS AND TUNA SALAD PROBABLY AREN'T WHAT BRIAN CHALFEN HAD IN MIND
WHEN HE STARTED AS HEAD CHEF OF CAFE NICOLE THREE MONTHS AGO THE CAFE'S
MOTHER'S DAY MENU IS VERY BASIC THE KIND OF FOOD THAT'S ON EVERY DINNER
PLATE IN EVERYONE'S HOME SAYS MR CHALFEN WHOSE 14YEAR CAREER INCLUDES A
STINT AT THE WALDORFASTORIA HOTEL

THE CHEF HOPES TO DRESS UP THE UNFANCY FARE BY SEASONING THE FRENCH FRIES
AND PERHAPS CREATING PEANUT BUTTER ROSETTES FOR THE PEANUT BUTTER AND BANANA
SANDWICHES BUT MR CHALFEN SAYS THERE IS NOT MUCH MORE HE CAN DO THE
PRESIDENT LIKES EVERYTHING VERY SIMPLE MCDONALD'S IS A THRILL TO HIM
9305050083 930505 MICROSOFT TO START SHIPPING BUNDLED DATABASE PROGRAM

REDMOND WASH MICROSOFT CORP STEPPING UP THE BATTLE AMONG SOFTWARE
MAKERS TO WOO USERS WITH PRODUCTS THAT BUNDLE THE MOST OFTENUSED
PROGRAMS SAID IT WILL BEGIN SHIPPING A NEW VERSION OF ITS MICROSOFT OFFICE
PRODUCT THAT INCLUDES ITS NEW DATABASE PROGRAM

MICROSOFT'S EXISTING OFFICE PRODUCT COMBINES THE COMPANY'S WORD PROCESSING
AND SPREADSHEET PROGRAMS WITH ITS PRESENTATIONGRAPHICS AND MAIL PROGRAMS
THE NEW VERSION WILL ALSO INCLUDE MICROSOFT'S ACCESS DATABASE

THE MOVE FURTHERS AN INDUSTRY MOVE TO SELL BUNDLED PROGRAMS AT A DISCOUNT
LOTUS DEVELOPMENT CORP HAS ITS OWN BUNDLEDSOFTWARE PRODUCT BORLAND
INTERNATIONAL INC AND WORDPERFECT CORP RECENTLY PLANNED TO COMBINE
WORDPERFECT'S WORD PROCESSOR AND BORLAND'S SPREADSHEET AND DATABASE
PROGRAMS

THE BUNDLING TREND HAS HELPED LOWER PERSONALCOMPUTER SOFTWARE PRICES AND
THUS PROFIT MARGINS FOR SOME COMPANIES PRICES ARE COMING DOWN AND CREATING
A LOT OF UNCERTAINTY IN THE BUSINESS SAID WILLIAM GATES MICROSOFT'S CHIEF
EXECUTIVE IN AN INTERVIEW BUT AN INCREASING NUMBER OF MICROSOFT'S SALES
ARE OF BUNDLED VERSIONS OF ITS SOFTWARE MR GATES SAID AND CUSTOMERS 
PARTICULARLY LARGE BUSINESS WANTED A DATABASE ADDED 9305050081 930505
BUSINESS BRIEF IMMUNEX CORP PLAN TO MERGE WITH UNIT OF CYANAMID
ADVANCES

IMMUNEX CORP SEATTLE SAID IT RECEIVED THE NECESSARY FEDERAL REGULATORY
APPROVAL COVERING ITS PLANNED MERGER WITH LEDERLE ONCOLOGY CORP A UNIT OF
AMERICAN CYANAMID CO WAYNE NJ

AT A SPECIAL SHAREHOLDER MEETING TO BE HELD JUNE 1 THE COMPANY SAID IT
WILL ASK STOCKHOLDERS TO APPROVE AND ADOPT THE PLAN OF MERGER A CYANAMID
SHAREHOLDER VOTE ISN'T REQUIRED

UNDER THE AGREEMENT CYANAMID WILL ACQUIRE A 535 STAKE IN IMMUNEX AND
IMMUNEX WILL ACQUIRE AMERICAN CYANAMID'S NORTH AMERICAN CANCER DRUG
BUSINESS

IMMUNEX SAID CYANAMID WILL PROVIDE A 350 MILLION CASH INFUSION TO THE
MERGED COMPANIES WHICH WILL RETAIN THE NAME IMMUNEX CORP IN RETURN FOR
214 MILLION SHARES THAT WILL BE NEWLY ISSUED UPON COMPLETION OF THE MERGER
CURRENT IMMUNEX HOLDERS WILL GET ONE SHARE OF NEW IMMUNEX STOCK FOR EACH
SHARE HELD IMMUNEX WILL HAVE ABOUT 40 MILLION SHARES OUTSTANDING AFTER THE
TRANSACTION 9305050080 930505 BUSINESS BRIEF MARTIN MARIETTA CORP 
COMPANY FILES COUNTERCLAIM AGAINST SBS ENGINEERING

MARTIN MARIETTA CORP SAID IT FILED A COUNTERCLAIM AGAINST SBS ENGINEERING
INC SEEKING 3250000 IN CONNECTION WITH COST OVERRUNS AND DELAYS IN
DEVELOPING A HELICOPTER FLIGHTTRAINING SIMULATOR

THE MOVE WAS A RESPONSE TO A LAWSUIT FILED BY SBS IN A FEDERAL COURT IN
MARCH IN ALBUQUERQUE NM WHERE SBS IS BASED THE SBS COMPLAINT WAS FILED
AGAINST GENERAL ELECTRIC CO'S AEROSPACE BUSINESS WHICH MARTIN MARIETTA
PURCHASED IN APRIL SBS ALLEGED IN THE COMPLAINT THAT IT HAD RELIED ON
CERTAIN REPRESENTATIONS BY GE CONCERNING THE WORK SBS UNDERTOOK FOR THE
AEROSPACE DIVISION AND SEEKS TO HOLD GE RESPONSIBLE FOR COST OVERRUNS THE
SUIT ASKS 18 MILLION IN DAMAGES

MARTIN MARIETTA BASED IN BETHESDA MD ALLEGED IN ITS COUNTERCLAIM THAT
SBS FAILED TO MEET DELIVERY SCHEDULES FOR THE WORK THE EQUIPMENT WAS
ORDERED FOR THE US ARMY MARTIN MARIETTA SAID 9305050079 930505
BUSINESS BRIEF EMONS HOLDINGS INC INTERMODAL SHIPPING SERVICE PLAN
TO LINK MAINE CHICAGO

EMONS HOLDINGS INC SAID IT IS DISCUSSING THE POSSIBLE ESTABLISHMENT OF
INTERMODAL SHIPPING SERVICE TO AND FROM MAINE THAT WOULD HELP BUSINESSES IN
THE STATE REMAIN COMPETITIVE

EMONS SAID ITS SUBSIDIARY THE ST LAWRENCE & ATLANTIC RAILROAD CO REACHED
THE AGREEMENT WITH CANADA'S CN NORTH AMERICA TO PROVIDE RAIL SERVICE BETWEEN
MAINE AND THE TRANSPORTATION HUB OF CHICAGO VIA CANADA ALSO EMONS IS
WORKING WITH THE CITY OF AUBURN MAINE AND STATE OFFICIALS FOR CONSTRUCTION
OF AN INTERMODAL TERMINAL IN AUBURN THE INTERMODAL SERVICE WOULD HELP MAINE
BUSINESSES BY COMBINING THE COST EFFICIENCY OF LONGHAUL RAIL SHIPPING WITH
THE FLEXIBILITY OF LOCAL TRUCK DELIVERY FROM RAIL DEPOTS

EMONS A YORK PA OPERATOR OF SHORTLINE RAILROADS AND PROVIDER OF
RAILTRUCK SHIPPING FACILITIES WOULD OPERATE THE TERMINAL AND MAINECHICAGO
RAIL LINE 9305050078 930505 LEISURE & ARTS BOOKSHELF ORDINARY
LIVES EXTRAORDINARY HAPPENINGS  BY LAURIE MUCHNICK

ELEPHANTS NEVER FORGET AS THE SAYING GOES BUT WHAT HAPPENS WHEN AN
ELEPHANT DISAPPEARS IN HIS ENCHANTING NEW SHORTSTORY COLLECTION THE
ELEPHANT VANISHES TRANSLATED BY ALFRED BIRNBAUM AND JAY RUBIN KNOPF 327
PAGES 21 HARUKI MURAKAMI CREATES A WORLD IN WHICH MEMORY IS UNRELIABLE
MEMORY IS LIKE FICTION OR ELSE IT'S FICTION THAT'S LIKE MEMORY  
EITHER WAY NO MATTER HOW HARD YOU TRY TO PUT EVERYTHING NEATLY INTO SHAPE
THE CONTEXT WANDERS THIS WAY AND THAT UNTIL FINALLY THE CONTEXT ISN'T EVEN
THERE ANYMORE AND IT ISN'T ONLY MEMORY THAT'S SUSPECT IDENTITY FREE
WILL CAUSE AND EFFECT AND MEANING ITSELF ARE ALL IN FLUX LEAVING MR
MURAKAMI'S CHARACTERS ADRIFT IN A WORLD OF BOREDOM PUNCTUATED BY
UNPREDICTABLE EPISODES OF STRANGENESS

THESE CHARACTERS DON'T FIT AMERICAN STEREOTYPES OF THE JAPANESE IN THAT THEY
DON'T CARE ABOUT THEIR CAREERS THEY HAVE NO REAL DIRECTION AND THEY SEEM TO
HAVE A LOT OF TIME ON THEIR HANDS NOT PARTICULARLY SKILLED IN ELECTRONICS
EVEN WHEN THEY WORK FOR ELECTRONICS COMPANIES THEY LISTEN TO RECORDS RATHER
THAN CDS AND ARE AT A LOSS WHEN THE SOUND STOPS COMING OUT OF THEIR STEREOS
THEY'RE MARGINAL PEOPLE WORKING IN PLACES LIKE THE PRODUCTCONTROL SECTION
OF A DEPARTMENT STORE IE ANSWERING CUSTOMERS' COMPLAINTS THEIR JOBS ARE
SO UNIMPORTANT THAT MR MURAKAMI CAN'T BE BOTHERED TO THINK OF DIFFERENT
ONES FOR EACH CHARACTER THE NARRATORS OF THREE DIFFERENT STORIES ARE ALL PR
PEOPLE FOR APPLIANCE MANUFACTURERS

I DON'T THINK THESE THREE NARRATORS ARE MEANT TO BE THE SAME PERSON BUT
IT'S HARD TO TELL BECAUSE NONE OF THEM HAVE NAMES EVERYONE IS IDENTIFIED BY
LABEL MY WIFE MY GIRLFRIEND MY CHINESE CLASSMATE ONLY THREE CHARACTERS
HAVE NAMES ONE OF THEM IS A CAT AND THEY ALL HAVE THE SAME NAME
NOBURU WATANABE WHICH IS APPARENTLY A COMMON JAPANESE NAME SO IT'S SORT OF
LIKE NAMING TWO PEOPLE AND A CAT JOHN SMITH

THESE ARE ORDINARY PEOPLE REGULAR GUYS WHO GO TO THE OFFICE COME HOME
DRINK QUITE A LOT OF BEER AND SCOTCH AND WONDER WHAT IT ALL MEANS AND THEN
SOMETHING HAPPENS A WOMAN DECIDES TO LEAVE HER HUSBAND WHILE BUYING HIM
LEDERHOSEN ON A TRIP TO GERMANY AN ELEPHANT VANISHES FROM A SMALL TOWN'S
ZOO SEEMINGLY WITHOUT A TRACE ONE NARRATOR BECOMES INTRIGUED BY A MAN WHO
CLAIMS TO BURN BARNS TO THE GROUND SOMETIMES THE EVENT WHILE BIZARRE IS
EASILY EXPLAINED THERE'S NOTHING MYSTERIOUS ABOUT A PRODUCTCONTROL CLERK
WRITING A LETTER TO A CUSTOMER EVEN WHEN IT TURNS INTO A TAPERECORDED
OUTPOURING OF PERSONAL THOUGHTS ON SUBJECTS RANGING FROM THE LIVES OF
KANGAROOS TO HIS INEXPLICABLE LUST FOR THE CUSTOMER IT MAY BE WEIRD IT MAY
BE A BREAK IN THE ROUTINE BUT IT DOESN'T HAVE THE SCIENCEFICTION FEELING
OF MR MURAKAMI'S SPECTACULARLY ENTERTAINING NOVEL HARDBOILED WONDERLAND
AND THE END OF THE WORLD WHICH ADDRESSES INFO WARS AND SPLITBRAINED
DATA SHUFFLING IN A MANIC COMBINATION OF INDIANA JONES WILLIAM S
BURROUGHS AND FRANZ KAFKA

BUT THE STORIES IN THE ELEPHANT VANISHES ARE NO LESS INTRIGUING FOR BEING
GROUNDED IN MORE FAMILIAR REALITY IN SLEEP A HOUSEWIFE AND MOTHER WAKES
UP AFTER A BAD DREAM AND DOESN'T FALL ASLEEP AGAIN FOR 17 DAYS SHE TAKES UP
READING DEVOURING ANNA KARENINA NOT ONLY DURING HER SECRET NIGHTTIME
HOURS BUT ALSO DURING THE DAY NEGLECTING HER CHORES AND BECOMING
INCREASINGLY DISTANT FROM HER HUSBAND SHE FINDS HER LIFE MORE VIVID BUT
DOES IT HAVE ANY MORE MEANING THAN IT EVER DID

THE NARRATOR OF THE BAKERY ATTACK ALSO WAKES UP IN THE MIDDLE OF THE
NIGHT STRUCK BY INSATIABLE HUNGER PANGS AFTER SEARCHING THE EMPTY KITCHEN
CABINETS HE TELLS HIS WIFE THE STORY OF HOW HE AND A FRIEND HELD UP A
BAKERY YEARS BEFORE WANTING ONLY TO STEAL BREAD TO ASSUAGE THEIR HUNGER
SOMETHING INEXPLICABLE HAPPENED DURING THE BAKERY ATTACK THE BAKER
OFFERED TO GIVE THE BREAD TO HIS ATTACKERS IF ONLY THEY WOULD LISTEN TO AN
ALBUM OF WAGNER OVERTURES THEY ACCEPTED HIS OFFER BUT ALWAYS FELT UNEASY
ABOUT IT AS IF THEY HAD MADE SOME KIND OF TERRIBLE MISTAKE IN NOT ACTUALLY
STEALING THE BREAD

WHEN THE MAN TELLS THE STORY TO HIS WIFE ANOTHER INEXPLICABLE THING
HAPPENS THE WIFE DECIDES THAT HIS CURRENT HUNGER MUST BE A CURSE AND THAT
THE ONLY WAY TO BREAK IT WOULD BE TO SUCCESSFULLY COMPLETE ANOTHER BAKERY
ATTACK BUT THE REALLY STRANGE THING AS FAR AS THE NARRATOR IS CONCERNED
IS HOW PROFESSIONAL HIS DEMURE WIFE TURNS OUT TO BE AS A ROBBER HOW DID SHE
KNOW TO BRING PACKING TAPE ALONG TO COVER THEIR LICENSE PLATE WHERE DID SHE
GET A RIFLE AND TWO SKI MASKS

THERE ARE A FEW MORE OVERTLY FANTASTIC STORIES SUCH AS THE DANCING DWARF
IN WHICH THE NARRATOR WORKS IN AN ELEPHANT FACTORY MANUFACTURING NEW
ELEPHANTS AND THE LITTLE GREEN MONSTER IN WHICH A WOMAN TELEPATHICALLY
DESTROYS A SCALY BEAST THAT HAS EMERGED FROM THE EARTH OF HER BACKYARD AND
DECLARED HIS LOVE FOR HER BUT NO MATTER THE SETTING ALL OF THESE TALES
HAVE A WONDERFULLY SURREAL QUALITY AND A HIP WITTY TONE MR MURAKAMI HAS
PULLED OFF A TRICKY FEAT WRITING STORIES ABOUT PEOPLE WHO ARE BORED BUT
NEVER BORING HE LEFT ME LYING AWAKE AT NIGHT HUNGRY FOR MORE

MS MUCHNICK IS A WRITER IN NEW YORK 9305050077 930505 LETTERS TO THE
EDITOR JUST BEING ALIVE IS VERY HAZARDOUS

YOUR MARCH 22 ARTICLE POINTS OUT YET ANOTHER OF THE MANY ENVIRONMENTAL
STUPIDITIES THAT SURROUND US

A FEW YEARS BACK 1983 EDITH EFRON WROTE A BOOK ENTITLED THE
APOCALYPTICS SIMON & SCHUSTER WHICH AT THAT TIME WAS A VOICE IN THE
WILDERNESS HER MAIN POINT THROUGHOUT THE BOOK WAS THAT ENVIRONMENTAL
SCIENCE IS BAD SCIENCE SHE STARTS OFF DEBUNKING RACHAEL CARSON AUTHOR OF
THE SILENT SPRING

INTERESTINGLY ENOUGH CARSON HAS A CHAPTER ON NATURAL CARCINOGENS SUBTITLED
BENEVOLENT NATURE THAT LISTS SILICATES AS CARCINOGENIC BUT AS MS EFRON
POINTS OUT OTHER NATURAL CARCINOGENS INCLUDE OXYGEN ALMOST ALL OF THE
ELEMENTS IN THE PERIODIC TABLE WATER FUNGI PLANTS AND TREES CAFFEINE
ORANGE JUICE SPICES VITAMINS MOTHER'S MILK AND MANY MANY OTHERS

WE ARE SURROUNDED BY HUNDREDS OF CARCINOGENS FROM BEFORE WE ARE BORN TO THE
DAY WE DIE WHAT'S ONE MORE THE THING THAT BOTHERS ME MOST IS THE
STAGGERING WASTE OF MONEY AND TIME THE ABSENCE OF REASON AND THE PRESENCE
OF EMOTIONALISM

IS ANYONE STUDYING THE MIND OF THE BUREAUCRAT OR REGULATOR AS WE STUDY OTHER
PERSONALITIES WHAT HAPPENS WHEN A MISANTHROPE BECOMES A BUREAUCRAT OR
REGULATOR 9305050075 930505 SEC BARS OSTRANDER FROM SECURITIES FIELD 
FOR DEAL WITH MILKEN

WASHINGTON A FORMER PORTFOLIO MANAGER FOR FIDELITY INVESTMENTS WHO WAS
CONVICTED OF ACCEPTING A BRIBE FROM MICHAEL MILKEN AGREED TO BE PERMANENTLY
BARRED FROM THE SECURITIES INDUSTRY

PATRICIA OSTRANDER WHO MANAGED A MUTUAL FUND AND PENSION FUND AT FIDELITY
BEFORE HER RESIGNATION IN 1987 WAS SENTENCED LAST NOVEMBER TO TWO MONTHS IN
PRISON AND FINED 100000 FOR HER DEALINGS WITH MR MILKEN

MS OSTRANDER'S CONVICTION ON CRIMINAL CHARGES LAST JULY FOLLOWED A FEDERAL
TRIAL THAT FEATURED MR MILKEN AS A DEFENSE WITNESS MR MILKEN FORMER HEAD
OF DREXEL BURNHAM LAMBERT INC'S JUNK BOND DEPARTMENT HAD TIPPED MS
OSTRANDER TO INVESTMENT OPPORTUNITIES IN EXCHANGE FOR HER STEERING FIDELITY
BUSINESS TO DREXEL

THE SECURITIES AND EXCHANGE COMMISSION CITED IN ITS ADMINISTRATIVE ACTION
MS OSTRANDER'S CONVICTION AND SENTENCE FOR ITS DECISION TO BAR HER FROM THE
SECURITIES INDUSTRY

THOMAS GUINEY A BOSTON LAWYER WHO REPRESENTS MS OSTRANDER SAID HER
SETTLEMENT WITH THE SEC COULD BE MODIFIED IF HER CRIMINAL CONVICTION IS
OVERTURNED ON APPEAL MR GUINEY SAID HE RECENTLY ARGUED THE APPEAL TO THE
SECOND US CIRCUIT COURT OF APPEALS IN NEW YORK 9305050074 930505
LETTERS TO THE EDITOR FOOD ONCE WASTED NOW FEEDS THOUSANDS

I ADMIRE YOUR EFFORTS TO POINT OUT THAT EVEN THE BEST INTENTIONS CAN BRING
ON UNEXPECTED DIFFICULTIES NEW YORK RESTAURATEUR FEELS STING AFTER ADS FOR
AMERICAN EXPRESS CARD SOME EDITIONS MARCH 22 BUT IN THE CASE OF THE
AMERICAN EXPRESS COMMERCIAL IN WHICH A NEW YORK RESTAURATEUR TALKS ABOUT HIS
AND HIS COLLEAGUES' EFFORTS TO FIGHT HUNGER THROUGH SHARE OUR STRENGTH YOU
STOPPED SHORT OF RECOGNIZING THE ADVERTISEMENT'S REAL IMPACT

THE AD HAS CAUSED AN AWAKENING AMONG THE AMERICAN PUBLIC THAT THERE IS
SOMETHING WE CAN ALL DO TO HELP ALLEVIATE HUNGER IMMEDIATELY FOR MANY
VIEWERS THIS COMMERCIAL WAS THE FIRST THEY HAD LEARNED THAT PROGRAMS
CURRENTLY EXIST SOLELY TO SALVAGE EDIBLE FOOD FROM RESTAURANTS AND
DISTRIBUTE IT RIGHT AWAY TO HOMELESS SHELTERS SOUP KITCHENS AND OTHER
EMERGENCY FEEDING AGENCIES THESE PROGRAMS CALLED PREPARED AND PERISHABLE
FOOD PROGRAMS REROUTE FRESH PERISHABLE FOODS FROM RESTAURANTS CATERED
EVENTS AND CAFETERIAS TO NEARBY EMERGENCY FEEDING PROGRAMS

WITH MORE THAN 30 MILLION AMERICANS CURRENTLY SUFFERING FROM HUNGER IT IS
CRITICAL THAT SUCH EFFICIENT AND SENSIBLE MEASURES ARE TAKEN TO REDISTRIBUTE
SOME OF THE INEVITABLE WASTE

THERE WERE MORE THAN 5000 RESPONSES TO THE AD A TYPICAL ONE RESULTED IN
10000 STEAK DINNERS AT WASHINGTON DC'S LARGEST HOMELESS SHELTER WHEN A
FASTFOOD CHAIN EXECUTIVE SAW THE AD AS HE WAS ABOUT TO DISCARD THE FROZEN
STEAKS HE'D ALREADY PURCHASED FOR A PRODUCT THAT WAS DISCONTINUED
9305050073 930505 MARKETING BRIEF NOTED

WHO'S NEWS WILLA PERLMAN WAS NAMED PRESIDENT AND PUBLISHER OF SIMON &
SCHUSTER CHILDREN'S BOOKS A SUBSIDIARY OF PARAMOUNT COMMUNICATIONS INC SHE
WAS EDITORIAL DIRECTOR OF WILLA PERLMAN BOOKS A UNIT OF NEWS CORP'S
HARPERCOLLINS PUBLISHING COMPANY SHE SUCCEEDS JOHN SARGENT 35 WHO HAS
BECOME THE NEW CHIEF EXECUTIVE OF DORLING KINDERSLEY PUBLISHING INC MR
SARGENT WILL BE RESPONSIBLE FOR ADULT AND CHILDREN'S BOOKS FOR THE NEW YORK
UNIT OF LONDONBASED DORLING KINDERSLEY HOLDINGS PLC  NEWS CORP NAMED
JOSEPH W CECE TO OVERSEE A VENTURE TO LAUNCH AN ELECTRONIC TV GUIDE AND TO
STUDY OTHER NEW MEDIA PROPERTIES HE WAS PRESIDENT AND PUBLISHER OF TV GUIDE
MAGAZINE HE BECOMES AN EXECUTIVE VICE PRESIDENT OF NEWS AMERICA PUBLISHING
NEWS CORP'S US PUBLISHING ARM TV GUIDE ON SCREEN IS A JOINT VENTURE WITH
LIBERTY MEDIA CORP 9305050072 930505 WHO'S NEWS SHELL OIL TO PROMOTE 
PHILIP CARROLL TO POSTS OF PRESIDENT AND CEO

HOUSTON SHELL OIL CO SAID IT WILL NOMINATE PHILIP J CARROLL A 32YEAR
VETERAN OF THE COMPANY'S EXPLORATION OPERATIONS AND OTHER DEPARTMENTS TO
THE JOBS OF PRESIDENT AND CHIEF EXECUTIVE OFFICER

MR CARROLL CURRENTLY EXECUTIVE VICE PRESIDENT OF ADMINISTRATION ALSO
SPENT A YEAR IN LONDON WORKING FOR ANOTHER UNIT OF THE PARENT COMPANY
SHELL ONE OF THE NATION'S BIGGEST DOMESTIC OIL COMPANIES IS THE LARGEST
SUBSIDIARY OF ROYAL DUTCH/SHELL GROUP WHICH HAS DUAL HEADQUARTERS IN LONDON
AND THE HAGUE

MR CARROLL 55 YEARS OLD WILL TAKE OVER A COMPANY ON THE MEND IN RECENT
YEARS SHELL HAS RESTRUCTURED SHARPLY REDUCED ITS WORK FORCE AND SOLD SOME
BIG ASSETS IN AN EFFORT TO SURVIVE IN AN ERA OF WEAKER ENERGY MARKETS MR
CARROLL'S PROMOTION WAS EXPECTED

MR CARROLL WILL SUCCEED FRANK H RICHARDSON 60 WHO REACHED THE COMPANY'S
CUSTOMARY RETIREMENT AGE EARLIER THIS YEAR AFTER HEADING SHELL SINCE JULY
1988 BOARD APPROVAL IS EXPECTED TO BE A FORMALITY AND THE CHANGES ARE
EFFECTIVE JULY 1

THE CHANGES ALSO WILL INCLUDE AN ORGANIZATIONAL REALIGNMENT IN WHICH THOSE
WHO CURRENTLY REPORT TO MR CARROLL WILL CONTINUE TO REPORT TO HIM AS THE
PRESIDENT AND CHIEF EXECUTIVE IN ADDITION MICHAEL H GRASLEY 56 VICE
PRESIDENT OF CHEMICAL PRODUCTS WILL BECOME PRESIDENT OF SHELL CHEMICAL CO
AND JAMES M MORGAN 45 VICE PRESIDENT OF OIL PRODUCTS WILL BECOME
PRESIDENT OF SHELL OIL PRODUCTS BOTH OF THOSE ARE NEW POSTS 9305050071
930505 BUSINESS BRIEF ICN PHARMACEUTICALS INC ANNUAL MEETING IS
DELAYED DISSIDENT EFFORT IS BACKDROP

ICN PHARMACEUTICALS INC SAID IT IS DELAYING ITS ANNUAL SHAREHOLDER MEETING
AND HASN'T SET A NEW DATE THE COSTA MESA CALIF DRUG COMPANY GAVE NO
OFFICIAL REASON FOR THE POSTPONEMENT OF THE MEETING WHICH HAD BEEN SET FOR
MAY 12

A DISSIDENT SHAREHOLDER RECENTLY LAUNCHED AN EFFORT TO OUST THE COMPANY'S
CHAIRMAN MILAN PANIC AND THE OTHER DIRECTORS A FEDERAL COURT JUDGE IN NEW
YORK THEN ISSUED AN ORDER TEMPORARILY BLOCKING THE SHAREHOLDER FROM
SOLICITING WRITTEN CONSENTS FROM OTHER SHAREHOLDERS

THE JUDGE HASN'T YET RULED ON AN ICN REQUEST FOR A PRELIMINARY INJUNCTION
IT ISN'T CLEAR IF THE JUDGE'S TEMPORARY ORDER COVERS A POSSIBLE PROXY FIGHT
AT THE ANNUAL MEETING

UNDER A CONSENT SOLICITATION REMOVAL OF THE BOARD WOULD REQUIRE A MAJORITY
OF THE OUTSTANDING SHARES WHILE A MAJORITY OF THE VOTES CAST AT A
SHAREHOLDER MEETING IS REQUIRED TO WIN A PROXY FIGHT ICN SAID LAST MONTH
THAT IT HAD 203 MILLION SHARES OUTSTANDING 9305050070 930505
INTERNATIONAL BRIEF ACER INC TAIWAN PC MANUFACTURER SWINGS TO
PROFIT FOR 1992

ACER INC TAIWAN'S LARGEST PERSONAL COMPUTER MAKER SAID ITS 1992 PRETAX
PROFIT WAS 56 MILLION NEW TAIWAN DOLLARS US22 MILLION SWINGING FROM A
LOSS OF NT607 MILLION A YEAR EARLIER

STAN SHIH ACER'S CHAIRMAN AND CHIEF EXECUTIVE ATTRIBUTED ACER'S PROFIT
GROWTH TO THE IMPROVED PERFORMANCE OF ITS US SUBSIDIARIES HE SAID THE
US UNITS NARROWED THEIR LOSSES TO ABOUT NT500 MILLION IN 1992 FROM ABOUT
NT900 MILLION IN 1991

SALES EDGED UP 09 TO NT122 BILLION

IN THE PAST 2 1/2 YEARS ACER AND TEXAS INSTRUMENTS INC HAVE INVESTED
NT31 BILLION WITH ACER HOLDING A 58 STAKE TO SET UP A JOINTVENTURE
TIACER INC TO PRODUCE DRAM CHIPS THE INVESTMENT IN THE PROJECT WAS ONE
OF THE MAIN REASONS FOR ACER'S HAVING POSTED LOSSES THE PREVIOUS YEAR
TIACER'S PLANT WAS COMPLETED AND STARTED TEST PRODUCTION IN FEBRUARY 1992
9305050069 930505 BUSINESS BRIEF SYMANTEC CORP FIRM TO BUY SOFTWARE
MAKER FOR 45 MILLION IN NEW STOCK

SYMANTEC CORP SAID IT AGREED TO ACQUIRE CLOSELY HELD CONTACT SOFTWARE
INTERNATIONAL INC FOR STOCK VALUED AT ABOUT 45 MILLION

CONTACT BASED IN CARROLLTON TEXAS PRODUCES SOCALLED CONTACTMANAGEMENT
SOFTWARE PROGRAMS OFTEN USED BY EXECUTIVES SALESPEOPLE AND SERVICE
PROFESSIONALS TO KEEP TRACK OF A LARGE NUMBER OF CONTACTS PATRICK M
SULLIVAN PRESIDENT AND CHIEF EXECUTIVE OFFICER OF CONTACT WILL BECOME A
VICE PRESIDENT IN CHARGE OF THE BUSINESS WITHIN SYMANTEC WHICH IS BASED IN
CUPERTINO CALIF

SYMANTEC WILL ACQUIRE ALL CONTACT'S SHARES IN EXCHANGE FOR ABOUT THREE
MILLION NEWLY ISSUED SHARES OF SYMANTEC STOCK BRINGING SYMANTEC STOCK
OUTSTANDING TO ABOUT 27 MILLION SHARES SYMANTEC'S STOCK WAS QUOTED AT 15 A
SHARE UP 125 IN NATIONAL OVERTHECOUNTER TRADING 9305050068 930505
ECONOMY LEADING INDEX FOR ECONOMY FELL 1 IN MARCH  LARGEST
DROP IN 2 1/2 YEARS STIRS FEAR OF SLOWDOWN STIMULUS PLAN PUSHED 
 BY LUCINDA HARPER STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE GOVERNMENT'S CHIEF GUAGE OF FUTURE ECONOMIC HEALTH TOOK
ITS BIGGEST DROP SINCE THE RECESSION ADDING TO GROWING WORRIES ABOUT THE
STRENGTH OF THE RECOVERY

THE COMMERCE DEPARTMENT SAID ITS INDEX OF LEADING INDICATORS PLUNGED 1 IN
MARCH THE LARGEST DECLINE IN 2 1/2 YEARS ANALYSTS SAID THE SETBACK MAY
CONFIRM OTHER INDICATORS SUGGESTING A FUNDAMENTAL SLOWDOWN IN THE ECONOMY

THE CLINTON ADMINISTRATION SAID THE DISAPPOINTING FIGURES CONFIRM THE NEED
FOR ITS ECONOMICSTIMULUS AND DEFICITREDUCING AGENDA PRESIDENTIAL PRESS
SECRETARY DEE DEE MYERS SAID THE DECLINE IN THE INDEX SHOWS THE ECONOMY IS
NOT SOLID ARGUING THAT THE ECONOMY HAS A TREMENDOUS LONGTERM PROBLEM
THAT CANNOT BE FIXED OVERNIGHT SHE SAID THE NUMBERS SHOW THAT MR
CLINTON'S STIMULUS PLAN SHOULDN'T HAVE BEEN BLOCKED IN THE SENATE

ONLY TWO OF THE 11 INDICATORS THAT MAKE UP THE LEADING INDEX CHANGED
FAVORABLY IN MARCH THEY WERE STOCK PRICES AND SENSITIVE MATERIAL PRICES

THE NINE INDICATORS THAT HURT THE INDEX WERE BUILDING PERMITS AVERAGE
WEEKLY CLAIMS FOR STATE UNEMPLOYMENT INSURANCE THE LENGTH OF THE AVERAGE
WORKWEEK CONSUMER EXPECTATIONS CONTRACTS AND ORDERS FOR PLANT AND
EQUIPMENT MANUFACTURERS' NEW ORDERS FOR CONSUMER GOODS AND MATERIALS MONEY
SUPPLY VENDOR PERFORMANCE AND MANUFACTURERS' UNFILLED ORDERS

ANALYSTS SAID SOME OF THE SLOWDOWN COULD HAVE BEEN CAUSED BY BAD WEATHER
WHICH SEEMED TO HAVE A CHILLING EFFECT ON MUCH OF THE ECONOMY DURING MARCH
INDUSTRIAL PRODUCTION WAS STAGNANT AND RETAIL SALES AND FACTORY ORDERS
DECLINED DURING THE MONTH BUT ANALYSTS ALSO CONCEDE THAT MORE MAY BE AT
WORK THAN BAD WEATHER A RECENT REPORT ON MANUFACTURING SUGGESTED THAT THE
INDUSTRIAL SECTOR WAS QUITE WEAK IN APRIL AS WELL

THE RECENT BAD NEWS DOESN'T NECESSARILY MEAN THE ECONOMY IS SLIPPING BACK
INTO RECESSION THOUGH A SEMIANNUAL FORECAST RELEASED BY THE NATIONAL
ASSOCIATION OF PURCHASING MANAGEMENT YESTERDAY FOUND THAT MOST PURCHASING
EXECUTIVES BELIEVE THE ECONOMY WILL CONTINUE GROWING IN 1993

ALL FIGURES HAVE BEEN ADJUSTED FOR NORMAL SEASONAL VARIATIONS

HERE ARE THE NET CONTRIBUTIONS OF THE COMPONENTS OF THE COMMERCE
DEPARTMENT'S INDEX OF LEADING INDICATORS AFTER VARIOUS ADJUSTMENTS THEY
PRODUCED A 10 DECLINE IN THE INDEX FOR MARCH AND A 05 INCREASE FOR
FEBRUARY

THE SEASONALLY ADJUSTED INDEX NUMBERS 1982=100 FOR MARCH AND THE CHANGE
FROM FEBRUARY ARE

THE RATIO OF COINCIDENT TO LAGGING INDICATORS WAS 122 UP FROM 121 IN THE
PREVIOUS MONTH 9305050066 930505 LETTERS TO THE EDITOR WHAT VAT DOES 
AND DOESN'T DO

IN NOT VAT AGAIN EDITORIAL PAGE APRIL 16 BRUCE BARTLETT ARGUES THAT A
REVENUENEUTRAL SUBSTITUTION OF A VALUEADDED TAX FOR INCOME TAXES WOULD BE
DESIRABLE BUT THAT SUCH A REFORM IS NOT REALISTIC FOR POLITICAL REASONS IN
REALITY HE SUGGESTS THAT IN OTHER COUNTRIES VAT CAUSED TAXES AND SPENDING
TO RISE AND THERE IS STRONG EVIDENCE TO SUPPORT THIS VIEW AS EVIDENCE
MR BARTLETT CITES A PAPER THAT I WROTE SOME YEARS AGO I WOULD LIKE TO
CLARIFY THE INTERPRETATION OF MY RESEARCH CONTAINED IN MR BARTLETT'S
ARTICLE

MY RESEARCH BASED ON THE EXPERIENCE OF THE 11 EUROPEAN COUNTRIES THAT
INTRODUCED VAT BETWEEN 1967 AND 1973 DID CONCLUDE THAT THE TAXTOGDP RATIO
INCREASED WHEN VAT WAS INTRODUCED IN THESE EUROPEAN COUNTRIES THERE WAS
ALSO SOME EVIDENCE THAT THE GROWTH RATE OF THE TAXTOGDP RATIO INCREASED
FOLLOWING THE INTRODUCTION OF VAT

BUT MY RESEARCH DOES NOT PERMIT THE CONCLUSION THAT INTRODUCTION OF VAT
CAUSED GOVERNMENT SPENDING TO RISE GOVERNMENT DEFICITS MAY HAVE DECLINED
FURTHERMORE CONTRARY TO THE IMPLICATION OF THE ARTICLE I MADE NO
SUGGESTION THAT THE REASON FOR THE INCREASE IN THE TAX RATIO WAS THAT THE
INTRODUCTION OF VAT BUILDS GOVERNMENT BUREAUCRACY AND ENCOURAGES
GOVERNMENT SPENDING 9305050065 930505 INTERNATIONAL MEXICO REOPENS
IBM PROBE OVER BRIBERY ALLEGATIONS

MEXICO CITY THE GOVERNMENT REOPENED ITS INVESTIGATION INTO A 1 MILLION
BRIBE ALLEGATION MADE BY A FORMER AGENT OF INTERNATIONAL BUSINESS MACHINES
CORP

MEXICO'S NEW ATTORNEY GENERAL JORGE CARPIZO MACGREGOR SAID HIS OFFICE
WOULD INVESTIGATE ALLEGATIONS MADE BY KAVEH MOUSSAVI A FORMER IBM CONTRACT
EMPLOYEE WHO CONTENDS THAT THREE UNIDENTIFIED MEXICAN OFFICIALS ASKED HIM
FOR A 1 MILLION BRIBE TO SECURE A GOVERNMENT CONTRACT FOR IBM IN FEBRUARY
MEXICO'S COMPTROLLER GENERAL HAD CLOSED THE CASE SAYING MR MOUSSAVI HADN'T
SUBSTANTIATED HIS CHARGES

SEVERAL MULTINATIONALS ALSO FILED COMPLAINTS ABOUT ALLEGED IRREGULARITIES IN
THE AWARDING OF THE SAME AIRPORT CONTRACT THOSE SEPARATE COMPLAINTS WERE
FOUND WITHOUT MERIT BY A THIRD PARTY HIRED BY THE COMPTROLLER GENERAL

THE LATEST MOVE BY THE ATTORNEY GENERAL FOLLOWS A SLANDER AND LIBEL SUIT
FILED APRIL 30 IN LONDON HIGH COURT BY MR MOUSSAVI AGAINST MEXICO'S FORMER
SECRETARY OF COMMUNICATIONS AND TRANSPORTATION WHO HAD DENOUNCED MR
MOUSSAVI IN THE MEXICAN PRESS THE MINISTER WAS LATER ASKED TO LEAVE HIS
POST TO BECOME AMBASSADOR TO THE UNITED KINGDOM

ON MONDAY THE FORMER MINISTER ANDRES CASO LOMBARDO SAID HE HAD TURNED
DOWN THE AMBASSADORSHIP SO HE COULD CONTEST THE LONDON DEFAMATION SUIT
9305050064 930505 ENTERPRISE FRANCHISEES TRY TO FORCE DIET FIRM INTO
BANKRUPTCY

NEW YORK WORRIED FRANCHISEES ARE TRYING TO FORCE NUTRI/SYSTEM INC INTO
BANKRUPTCYLAW PROCEEDINGS

HOPING TO ENSURE SUPPLIES OF DIET FOODS TO THEIR BELEAGUERED WEIGHTLOSS
CENTERS FRANCHISEES YESTERDAY ASKED A FEDERAL COURT IN PHILADELPHIA TO
INITIATE AN INVOLUNTARY BANKRUPTCY PROCEEDING AGAINST THE BLUE BELL PA
FRANCHISER COMPANY OFFICIALS COULDN'T BE REACHED FOR COMMENT YESTERDAY

JOHN FRANCIS GOUGH AN ATTORNEY FOR THE FRANCHISEES SAYS THEY HOPE THAT THE
COURT WILL APPOINT A SOCALLED INTERIM TRUSTEE TO TAKE OVER THE FRANCHISER
THE COMPANY RAN OUT OF MONEY LAST WEEK WHEN BANKS SEIZED ITS FUNDS

THE FUTURE OF THE FRANCHISEE NETWORK WHICH EMPLOYS OVER 8000 PEOPLE IS
VERY MUCH AT STAKE MR GOUGH SAYS

THE FRANCHISER HAS CLOSED ITS COMPANYOWNED STORES AND ALMOST TOTALLY
STOPPED FUNCTIONING MORE THAN 850 FRANCHISED UNITS REMAIN OPEN BUT
SUPPLIES OF THE PROPRIETARY DIET FOODS THEY SELL ARE RUNNING OUT FAST THEY
HAVE VERY VERY FEW DAYS OF SUPPLY LEFT MR GOUGH ADDS

RIVAL CHAINS HAVE ADVERTISED HEAVILY THIS WEEK IN HOPES OF WINNING CUSTOMERS
FROM NUTRI/SYSTEM

MEANWHILE THE FRANCHISER AND ITS BANKS ARE HOLDING TALKS WITH BIDDERS THAT
WANT TO TAKE OVER NUTRI/SYSTEM ACCORDING TO FRANCHISEES

SOME FRANCHISEES SAY TWO BIDDING GROUPS HAVE JOINED FORCES TO MAKE A SINGLE
BID FOR NUTRI/SYSTEM 9305050063 930505 PUBLISHING CROWN TRIES HAND
SELL' FOR A HARD SELL  BY MEG COX STAFF REPORTER OF THE WALL
STREET JOURNAL

NEW YORK A ROCK AND A HARD PLACE IS THE TITLE OF A NEW BOOK FROM CROWN
PUBLISHERS INC IT ALSO PERFECTLY DESCRIBES THE PUBLISHER'S PREDICAMENT

THE BOOK'S AUTHOR ANTHONY GODBY JOHNSON IS A CUTE ARTICULATE 15YEAROLD
BOY BUT THE BOOK PRESENTS ENORMOUS CHALLENGES WHEN IT COMES TO MARKETING
THE STORY HE HAS TO TELL IS HARROWING YEARS OF SEXUAL AND PHYSICAL ABUSE BY
HIS NATURAL PARENTS AND HIS LATER DIAGNOSIS OF AIDS APPARENTLY CONTRACTED
FROM A FAMILY FRIEND WHO RAPED HIM IN ADDITION TONY IS CONFINED TO BED
TOO ILL FOR THE USUAL AUTHOR'S PILGRIMAGE TO BOOKSTORES AND TALK SHOWS
WHICH WOULD PERSONALIZE HIS STORY

A THOUGHTFUL ADVERTISING CAMPAIGN WOULD HELP BUT IT ISN'T JUSTIFIED BY THE
TINY FIRST PRINTING OF 10000 COPIES AND THE MODEST ADVANCE PAID FOR THE
BOOK SO CROWN HAS TURNED TO A MARKETING STRATEGY INCREASINGLY COMMON IN
PUBLISHING KNOWN AS HAND SELLING IT INVOLVES PERSONAL PITCHES TO
BOOKSTORES ESPECIALLY ESTABLISHED INDEPENDENTS TO GET THEM TO ACTIVELY
RECOMMEND A BOOK TO THEIR CUSTOMERS GOOD BOOKSELLERS HAVE ALWAYS DONE THIS
BUT IN TODAY'S COMPETITIVE TIMES WITH HUNDREDS OF BOOKS COMPETING FOR
NOTICE MONTHLY PUBLISHERS ARE TRYING HARDER TO SECURE THAT SPECIAL
ATTENTION KNOWING WHAT AN ENORMOUS DIFFERENCE IT CAN MAKE

IN THE CASE OF A ROCK AND A HARD PLACE THE STRATEGY IS STARTING TO WORK
CROWN HAS COMPLETED A SECOND PRINTING RAISING THE TOTAL COPIES TO 17500
AND ORDERS AT ONE MAJOR BOOK WHOLESALER INGRAM INDUSTRIES INC IN
NASHVILLE TENN HAVE ROUGHLY DOUBLED EVERY WEEK SAYS A CROWN SPOKESMAN
THE FILM RIGHTS WERE SOLD TO A TIME WARNER INC TELEVISION PRODUCTION UNIT
WHICH PLANS A MOVIE FOR THE COMPANY'S HOME BOX OFFICE NETWORK

THE BEST RECENT EXAMPLE OF SUCCESSFUL HAND SELLING IS THE BRIDGES OF
MADISON COUNTY A NOVEL THAT WAS NO 1 ON THE NEW YORK TIMES BESTSELLER
LIST LAST WEEK THE BOOK HAS BEEN ON THE LIST FOR 38 WEEKS SELLING 13
MILLION HARDCOVER COPIES AFTER A MODEST START AND FEW REVIEWS WE SENT OUT
5000 COPIES WITH PERSONAL NOTES TO BOOKSELLERS BUT THE RALLY REALLY
STARTED BECAUSE OF THE HUGE COMMITMENT OF THREE OR FOUR BOOKSTORES SAYS
LAURENCE KIRSHBAUM PRESIDENT OF TIME WARNER'S WARNER BOOKS

PUBLISHERS CAN POINT TO A LONG LIST OF BOOKS RANGING FROM THE HIGHLY
LITERARY TO THE STRICTLY SAPPY WHOSE FORTUNES WERE MADE BY THE FOCUSED
FERVOR OF BOOKSELLERS SOMETIMES BOOKSELLERS ADOPT ON THEIR OWN BOOKS THEY
FEAR WILL BE UNFAIRLY NEGLECTED SUCH AS WEST WITH THE NIGHT A MEMOIR BY
AVIATOR BERYL MARKHAM AT OTHER TIMES THE SPECIAL PLEADINGS OF A PUBLISHER
THEY RESPECT GET THEM INTERESTED IN LATE 1990 SONNY MEHTA PUBLISHER OF
RANDOM HOUSE'S KNOPF IMPRINT WROTE A LETTER TO BOOKSELLERS THAT WAS BOUND
INTO SPECIAL PRESENTATION COPIES OF THE NOVEL DAMAGE HIS NOTE CALLED THE
BOOK THE MOST SHOCKING HAUNTING AND EROTIC NOVEL HE AND HIS COLLEAGUES
HAD EVER READ IT WAS LATER A BESTSELLER

WHEN BOOKSELLERS LOVE A BOOK THEY TAKE ON A CRUSADE AND PUBLISHERS CAN'T
DICTATE THAT AT WILL SAYS MARGARET MAUPAN A CHIEF BUYER AT DENVER'S
TATTERED COVER BOOKSTORE ANYBODY CAN SELL TOM CLANCY OR STEPHEN KING BUT
IT'S A CHALLENGE AND FUN TO SELL A CUSTOMER A BOOK YOU LOVE ONEONONE

LARGELY TO COURT BOOKSELLERS SEVERAL MAJOR PUBLISHERS INCLUDING RANDOM
HOUSE AND BERTELSMANN AG'S DOUBLEDAY HAVE STARTED NEWSLETTERS RECENTLY
FEATURING ARTICLES ON COMING BOOKS THE QUOTES IN THESE NEWSLETTERS COME
MORE FROM BOOKSELLERS THAN FROM CRITICS

FOR A ROCK AND A HARD PLACE CROWN'S MARKETING DIRECTOR JOAN DEMAYO SENT
1400 ADVANCE COPIES TO CROWN'S A LIST OF BIG WHOLESALERS AND BOOKSELLERS
WITH A NOTE ABOUT HOW SPECIAL THE BOOK IS AND AN AUDIO TAPE OF TONY
READING FROM IT THAT'S A BIG EXPENSE FOR A BOOK WITH SUCH A SMALL FIRST
PRINTING BUT IT HAS BECOME SOMETHING OF A SPECIAL MISSION FOR MOST OF THE
CROWN STAFF

THERE ARE OTHER BOOKS I'VE HAND SOLD MOSTLY NOVELS BUT I NEVER FELT LIKE
THIS ABOUT A BOOK SAYS MS DEMAYO I FEEL THAT FOR ALL THE STRUGGLE HE
WENT THROUGH WE CAN GIVE HIM BACK SOMETHING BY GETTING HIS STORY OUT ONE
OF THESE DAYS I'M GOING TO HAVE TO TELL ALL THE REPS THAT THIS LITTLE BOY
DIED I KEEP THINKING SELL ONE MORE BOOK TELL ONE MORE PERSON

YOU COULD PUT THIS KID ON OPRAH' AND THE BOOK WOULD BE A BESTSELLER
OVERNIGHT BUT HE CAN'T DO IT SAYS ELAINE RATHGEBAR A FLORIDABASED SALES
REPRESENTATIVE FOR THE IMPRINTS OF ADVANCE PUBLICATIONS INC'S RANDOM HOUSE
UNIT INCLUDING CROWN THE BOOK'S TOPIC HASN'T BEEN AN EASY SELL WITH HER
BOOKSTORE ACCOUNTS SHE SAYS BUYERS KEEP TELLING HER SORRY THIS IS TOO
GRIM

MS RATHGEBAR HAS REFUSED TO TAKE NO FOR AN ANSWER FROM BOOKSELLERS THIS
ISN'T A DEPRESSING BOOK AT ALL SHE TELLS THEM TONY WAS ADOPTED BY TWO
SOCIAL WORKERS WHO ANSWERED HIS CALL TO A SUICIDE HOTLINE AND LATER MARRIED
EACH OTHER AND IS A HAPPY KID NOW MS RATHGEBAR SAYS HE WANTS OTHER
KIDS TO KNOW THERE IS A WAY OUT OF A BAD ABUSIVE LIFE AND I THINK THE
WORLD NEEDS THIS BOOK BOOKSTORE BY BOOKSTORE HER PITCH HAS TEASED OUT
ORDERS MONA IVES OWNER OF IVES BOOKSHOP IN FORT MYERS FLA INITIALLY
WANTED TO ORDER TWO COPIES BUT EVENTUALLY TOOK 10

THE BOOK IS BEGINNING TO MOVE ELSEWHERE GEORGE STEPHAN OWNER OF THE
BOOKWORM IN MEDFORD ORE RAVED ABOUT THE BOOK IN THE STORE'S NEWSLETTER
HE ALSO MAILED IT FREE TO FOUR CUSTOMERS WHO ARE INFLUENTIAL LOCALLY WITH A
LETTER ASKING THEM TO TELL YOUR FRIENDS IF YOU AGREE WITH ME THAT IT'S
PROFOUNDLY POWERFUL THE HARVARD COOP IN CAMBRIDGE MASS DEVOTED AN ENTIRE
WINDOW TO THE BOOK

IN SEATTLE THE UNIVERSITY BOOKSTORE SET UP A TAPE RECORDER ON A TABLE IN
ITS IMMENSE STORE WITH A BIG SIGN ENCOURAGING BROWSERS TO STOP AND LISTEN
TO THE TAPE OF TONY JOHNSON READING I CAN'T EVER REMEMBER US DOING THIS
MUCH FOR A BOOK SAYS ASSISTANT MANAGER MARK MOUSER WE SOLD 15 COPIES IN
A WEEK WHICH IS VERY UNUSUAL FOR A COMPLETELY UNKNOWN BOOK

AS FOR TONY HIS FAMILY AND FRIENDS SAY HE ISN'T PARTICULARLY CONCERNED
ABOUT REACHING BESTSELLERDOM JACK GODBY AN HIV COUNSELOR WHO BECAME SO
CLOSE TO TONY THAT THE TEENAGER TOOK HIS NAME AS A MIDDLE NAME AND CALLS HIM
DAD SAYS WE ENCOURAGED HIM TO WRITE THE BOOK BECAUSE HE HAD THESE
WONDERFUL STORIES ABOUT HIS LIFE IT WAS BASICALLY FOR RECREATION AND
SOMETHING FOR US TO TALK ABOUT ANYTHING ELSE IS PURE GRAVY

THE BOOK GOT PUBLISHED BECAUSE TONY HAD BEGUN A CORRESPONDENCE WITH WRITER
AND FELLOW AIDS PATIENT PAUL MONETTE WHO TOOK THE MANUSCRIPT TO HIS AGENT
AND TO HIS EDITOR AT CROWN DAVID GROFF

TONY WHO HAS AIDSRELATED PNEUMONIA AND TUBERCULOSIS SAYS IN A PHONE
INTERVIEW THAT HE WOULDN'T WANT TO GO OUT PROMOTING HIS BOOK EVEN IF HE
COULD IF I WENT ON TALK SHOWS I WOULD BECOME LIKE THIS LITTLE BLEEDING
HEART HE SAYS PEOPLE WOULD SEE MY LEG WHICH IS AMPUTATED AT THE KNEE
AFTER AN EARLIER STROKE AND SEE MY CRUTCHES AND THE EMPHASIS WOULD GO OFF
WHAT I HAVE TO SAY I WANT PEOPLE TO PAY ATTENTION TO AIDS AND TO HOW
CHILDREN ARE TREATED AT HOME AND AT SCHOOL HE SAYS HE HAS STARTED WRITING
A NOVEL 9305050062 930505 INTERNATIONAL RUSSIAN REGION VOTES IN A
MILLIONAIRE HOPING HE CAN TURN GLOOM TO BOOM  BY NEELA BANERJEE 
STAFF REPORTER OF THE WALL STREET JOURNAL

ELISTA RUSSIA KIRSAN NIKOLAYEVICH ILYUMZHINOV A MULTIMILLIONAIRE
BUSINESSMAN CAMPAIGNED FOR PRESIDENT OF THE TINY RUSSIAN REPUBLIC OF
KALMYKIA IN A 30FOOT LINCOLN LIMOUSINE

HIS ASSISTANTS FEARED THAT THE DISPLAY OF WEALTH WOULD TURN OFF LOCAL
CITIZENS MANY OF WHOM ARE POOR SHEPHERDS BUT IGNORING THEIR OBJECTIONS
THE 31YEAROLD MR ILYUMZHINOV SET OUT ALONG KALMYKIA'S FEW PAVED ROADS TO
WIN THE VOTES OF COLLECTIVE FARMERS AND FACTORY WORKERS WHO WATCHED
DUMBFOUNDED AS THE STRETCH LIMO PULLED INTO THEIR MUDDY YARDS

THEY'D SEEN LIMOS ONLY IN AMERICAN MOVIES MR ILYUMZHINOV SAYS I WANT
TO SHOW KIDS ESPECIALLY THAT THEY DON'T HAVE TO DREAM ABOUT RIDING A LIMO
IN NEW YORK THEY CAN HAVE ONE HERE

THE CAR DREW THE KIDS AND MR ILYUMZHINOV GOT THEIR PARENTS' VOTES

A DESCENDANT OF A BOLSHEVIK COMMISSAR AND A FORMER COMMUNIST PARTY MEMBER
HIMSELF MR ILYUMZHINOV HAS A TASTE FOR GRAND GESTURES HE SPORTS ELEGANT
WESTERN SUITS HOBNOBS WITH EUROPEAN MAGNATES AND BUYS DIAMONDSTUDDED
CROWNS THAT HE RELEGATES TO A SAFE IN SWITZERLAND

FOLLOWING HIS LANDSLIDE VICTORY MR ILYUMZHINOV IS NOW REMAKING DOWNTRODDEN
KALMYKIA IN HIS OWN IMAGE ONLY DAYS INTO HIS TERM HE HAS MOVED TO
ESTABLISH A CAPITALIST ECONOMIC DICTATORSHIP THAT INCLUDES ABOLISHING THE
PESKY LOCAL LEGISLATURE AND MOST TAXES

WE DON'T HAVE THE REPUBLIC OF KALMYKIA ANY MORE MR ILYUMZHINOV SAYS
NOW THERE WILL BE THE CORPORATION OF KALMYKIA

THE POWER STRUGGLE IN MOSCOW BETWEEN PRESIDENT BORIS YELTSIN AND THE
CONSERVATIVE RUSSIAN PARLIAMENT HAS HAD ODD REPERCUSSIONS IN THE PROVINCES
DISILLUSIONED WITH POLITICS AS USUAL CITIZENS IN REMOTE REGIONS ARE TURNING
TO POLITICIANS WHO STAND FOR CHANGE THAT INCLUDES ANYONE FROM UNREPENTANT
COMMUNISTS TO IN KALMYKIA AN UNABASHED CAPITALIST

THE YOUNG TYCOON HAS A MURKY FINANCIAL PAST AND SOME WILD IDEAS BUT KALMYKS
FIGURE ONLY TIME WILL TELL IF HE IS A VISIONARY OR A CON MAN ROLLING THE
DICE THE PEOPLE ARE ALWAYS READY TO BELIEVE IN SOMEONE SAYS ALEXANDER
TEPIKIN HEAD OF THE LOCAL TELEVISION STATION THEY FIGURE IF HE'S LYING
THEY CAN ALWAYS BEAT HIM UP AND IF NOT THEY MIGHT ACTUALLY GET SOMETHING
OUT OF IT

IF THEY DO IT WOULD BE A BRIGHT SPOT IN THE KALMYKS' GLOOMY HISTORY
DESCENDANTS OF TRIBES DRIVEN FROM WESTERN MONGOLIA BY THE CHINESE THE
KALMYKS SETTLED ON THE STEPPE NORTH OF THE CAUCASUS MOUNTAINS 400 YEARS AGO
VALUED FOR THEIR SOLDIERY DURING THE RUSSIAN EMPIRE THE KALMYKS WERE
DECIMATED UNDER STALIN WHO EXILED THE WHOLE POPULATION TO SIBERIA DURING
WORLD WAR II THERE THEY DIED BY THE THOUSANDS

THE KALMYKS RETURNED IN 1958 TO THEIR UNFORGIVING LAND WHERE SANDSTORMS
BATTER THE TREELESS PRAIRIE FROM APRIL TO OCTOBER LITTLE GROWS IN THE SALTY
SOIL KALMYKIA REMAINS PART OF RUSSIA BUT MOSCOW ALL BUT IGNORES THE
REPUBLIC'S INDUSTRY

I'M TOTALLY FOR KIRSAN NIKOLAYEVICH HE'S THE 100TO1 SHOT WE HAVE OF
SAVING OURSELVES SAYS VIKTOR MANZHAYEV A SHEPHERD BRINGING IN HIS HERD
FROM THE STEPPE AT DAY'S END

AS A CANDIDATE MR ILYUMZHINOV TOLD HIS 350000 FELLOW CITIZENS THAT RICH
IS GOOD HE PEPPERED HIS CAMPAIGN WITH SPECTACLE AND LAVISH PROMISES HE
BROUGHT RUSSIAN ROCK STARS TO THIS OUTPOST 1000 MILES FROM MOSCOW WHICH
WAS MORE ACCUSTOMED TO SHOW BUSINESS HASBEENS AND HE PROMISED APPEARANCES
BY MADONNA AND MICHAEL JACKSON UPON ELECTION SO FAR NO SHOW HE RECENTLY
BOUGHT A DIAMONDENCRUSTED CROWN FROM WORLD CHESS CHAMPION GARY KASPAROV
WHO IS USING THE PROCEEDS TO HELP ARMENIAN REFUGEES

A BUDDHIST LIKE MOST KALMYKS MR ILYUMZHINOV HAS PLEDGED TO GIVE THE DALAI
LAMA ASYLUM AND LAND WHERE HE CAN BUILD A BUDDHIST CENTER ALONG THE LINES
OF VATICAN CITY HE SAYS THE DALAI LAMA HAS BEEN TO KALMYKIA TWICE BUT
HASN'T TAKEN UP MR ILYUMZHINOV'S OFFER

IN MARCH MR ILYUMZHINOV SUBSIDIZED THE REPUBLIC'S MILK AND BREAD PRICES
HE ALSO PROMISED 100 FOR EVERY FAMILY AND A NEW MERCEDES TO EVERY FOURTH
FAMILY

I THINK HE MEANT THE MERCEDES PART METAPHORICALLY SAYS MR TEPIKIN THE
TV STATION CHIEF AND HE HAS SAID THAT THE 100 WON'T COME IMMEDIATELY BUT
THROUGH INVESTMENT ALWAYS ON THE MOVE THE HYPERACTIVE MR ILYUMZHINOV WHO
SAYS HE SLEEPS ONLY THREE HOURS A NIGHT CRISSCROSSED THE REPUBLIC MEETING
VOTERS A PRACTICE UNHEARD OF IN RUSSIA HE BLITZED KALMYKIA WITH SLICK
BROCHURES AND FULLCOLOR POSTERS THAT SAY KIRSAN ILYUMZHINOV 
INCORRUPTIBLE AUTHORITY

ONCE ELECTED MR ILYUMZHINOV THANKED VOTERS BY DISTRIBUTING FREE CALENDARS
 OF HIMSELF

MR ILYUMZHINOV WAS ELECTED TO THE RUSSIAN CONGRESS OF PEOPLE'S DEPUTIES IN
1990 HE QUICKLY GREW DISILLUSIONED WITH IT AND FORMED HIS OWN COMPANY SAN
THREE YEARS LATER MR ILYUMZHINOV OWNS A CONGLOMERATE OF MORE THAN 50
COMPANIES I HAVE SO MANY I LOSE TRACK HE SAYS HE HAS TRAVELED THE GLOBE
AND HOLDS US AND SWISS BANK ACCOUNTS

MR ILYUMZHINOV WON'T SAY HOW HE MADE HIS FIRST MILLION HIS COMPANIES
RANGING FROM TEXTILES TO CARTOON PRODUCTION HAVE BEEN INVESTIGATED 34 TIMES
BY THE KGB THE TAX INSPECTORATE AND OTHER MINISTRIES NONE OF WHOM
UNCOVERED ANYTHING HE SAYS LET EVERYONE ELSE WORK 20 HOURS A DAY FOR
THREE YEARS STRAIGHT AND THEY'D HAVE A LOT OF MONEY TOO HE SAYS

TO JUMPSTART THE KALMYK ECONOMY R ILYUMZHINOV PLANS TO GET RID OF MOST
BUREAUCRACIES INCLUDING THE SECURITY MINISTRY LOCAL GOVERNING COUNCILS AND
THE LEGISLATURE HE PLANS TO IMPOSE A CORPORATE STATE ADMINISTRATION HE'S
NEGOTIATING WITH MOSCOW TO HAVE KALMYKIA DECLARED AN OFFSHORE ZONE WITH
ONLY A 3 TAX ON PROFITS AS OPPOSED TO THE COUNTRYWIDE 70 CUMULATIVE TAX
RATE IN RETURN KALMYKIA WILL REPAY BUDGET ALLOCATIONS FROM MOSCOW WITH
INTEREST

KALMYKIA SHOULDN'T WAIT WITH ITS HAND OUTSTRETCHED FOR HELP FROM MOSCOW
MR ILYUMZHINOV SAYS NO ONE CAN HELP KALMYKIA BUT KALMYKS THEMSELVES AND
THE PRESIDENT'S RESPONSIBILITY IS TO ESTABLISH THE CONDITIONS TO DO THIS

BUT EVEN A MAN WHO CLAIMS NEVER TO HAVE FAILED UNDERSTANDS THE DANGERS OF
HIS NEW JOB THE OLD POWER STRUCTURE WILL FIGHT HIM WE'RE ONLY A SMALL
CELL OF THE BIG SICK ORGANISM THAT IS RUSSIA HE SAYS

FOR NOW MOST KALMYKS AREN'T THINKING OF FAILURE THEY'RE NAMING THEIR SONS
KIRSAN THEY'RE OPENING CASINOS THEY'RE WAITING FOR AN ANSWER FROM THE
DALAI LAMA AND GENERALLY STAYING IN A GOOD MOOD A RARE THING THESE DAYS IN
RUSSIA 9305050061 930505 WORLD MARKETS STOCK PRICES WEAKEN IN LONDON
AND FRANKFURT AS GAINS DON'T STICK IN CONTINUED THIN DEALINGS  A
WALL STREET JOURNAL NEWS ROUNDUP

STOCK PRICES WEAKENED TUESDAY IN LONDON AND FRANKFURT AS EARLY GAINS ON
EACH MARKET DISSIPATED IN LIGHT TRADING

THE TOKYO MARKET WAS CLOSED TUESDAY FOR A JAPANESE HOLIDAY AND REMAINED
CLOSED WEDNESDAY TRADING IS TO RESUME THURSDAY

WORLDWIDE STOCK PRICES ROSE IN DOLLAR TERMS THE DOW JONES WORLD STOCK
INDEX WAS AT 10625 UP 036 REFLECTING INCREASES MOST MARKETS

ENTERTAINMENT STOCKS WERE THE TOP GAINERS IN THE DOW JONES WORLD INDUSTRY
GROUPS CLOSING AT 13839 UP 662 OR 5 WITH TIME WARNER OF THE US
POSTING A 10 GAIN IN ITS LOCAL CURRENCY FORESTPRODUCT STOCKS TRAILED AT
14436 DOWN 248 OR 17 WITH POTLATCH OF THE US SLIDING 61 IN LOCAL
CURRENCY

IN LONDON AFTER A BANK HOLIDAY CLOSURE MONDAY THE FINANCIAL TIMESSTOCK
EXCHANGE 100SHARE INDEX EDGED DOWN 05 POINT TO 28126 THE FT 30STOCK
INDEX DECLINED 33 POINTS TO 22181 VOLUME WAS 4227 MILLION SHARES
COMPARED WITH 5261 MILLION SHARES IN THE PREVIOUS SESSION

PRICES OPENED ON STEADY FOOTING AND THE 100STOCK BAROMETER QUICKLY GAINED
ALMOST 10 POINTS BY MIDMORNING BUT LOW TRADING VOLUME BEGAN TO NAG AT THE
MARKET AND SENTIMENT TURNED BEARISH ISSUES WITH THE GREATEST PRICE MOVES
WERE THOSE THAT ARE TO REPORT EARNINGS SOON

IN FRANKFURT THE DAX 30STOCK INDEX SLIPPED 179 POINTS TO 162737 AFTER
REACHING AN INTRADAY PEAK OF 163683 IN EARLY TRADING OF THE STOCKS IN THE
INDEX 15 FELL AND 13 ROSE

THE EARLY GAINS STEMMED FROM A CONTINUATION OF THE PREVIOUS SESSION'S
SHORTCOVERING SELLING STOCKS THAT HAD BEEN BOUGHT ON BETS PRICES WOULD
DECLINE AND FROM BIDDING PRICES UP AHEAD OF TOMORROW'S GERMAN BUNDESBANK
MEETING AMID SPECULATION ABOUT ANOTHER INTERESTRATE CUT BY THE CENTRAL
BANK BUT STOCK PRICES WEAKENED AS THE US DOLLAR FELL IN CURRENCY MARKETS
EXCHANGE RATES EXERT A STRONG INFLUENCE ON GERMAN STOCKS BECAUSE EARNINGS
BY EXPORTORIENTED COMPANIES RISE AND FALL ON CURRENCYCONVERSION LOSSES OR
GAINS ALSO WEIGHING ON SHARE PRICES WAS A REPORT THAT WESTERN GERMAN
INDUSTRIAL OUTPUT FELL IN MARCH

PARIS SHARES HURT LATELY BY BAD ECONOMIC NEWS FOR FRANCE REMAINED UNDER
PRESSURE FOLLOWING BEARISH US ECONOMIC INDICATORS AND PRICES DROPPED
DESPITE A SLOW RECOVERY IN THE LAST HOUR OF TRADING THE PARIS MARKET DIDN'T
GET MUCH MILEAGE FROM THE FRENCH FRANC'S CONTINUED GAINS WHICH BODE WELL
FOR THE INTERESTRATE OUTLOOK IN AMSTERDAM PRICES ENDED MIXED ON VARIED
FACTORS INCLUDING A WEAK DOLLAR AND MODERATELY HIGHER PRICES IN LONDON AND
NEW YORK GAINS AND LOSSES WERE SCATTERED WITH THE CHEMICAL AND PETROLEUM
SECTOR LEADING THE DECLINERS

MILAN STOCKS ROSE IN ACTIVE TRADING ON CAUTIOUS OPTIMISM THAT ITALY'S
BESIEGED NEW GOVERNMENT WILL SURVIVE A VOTE OF CONFIDENCE AND EMERGE WITH A
WORKABLE ECONOMIC REFORM PROGRAM IN MADRID PRICES DECLINED IN THIN
DEALINGS THAT WEREN'T AFFECTED BY THE SPANISH CENTRAL BANK'S EXPECTED
DECISION TO LEAVE ITS BENCHMARK INTEREST RATE UNCHANGED AT 13 STOCKHOLM
SHARE PRICES ADVANCED IN HEAVY TRADING SPURRED BY POSITIVE SWEDISH
CORPORATE NEWS ZURICH STOCKS ROSE SLIGHTLY ON SELECTIVE BUYING INTEREST AND
SOME SHORTCOVERING THOUGH GAINS WERE PRESSURED BY A WEAK DOLLAR

IN SYDNEY STOCKS WEAKENED ON A WIDERTHANEXPECTED CURRENTACCOUNT DEFICIT
FOR AUSTRALIA BUT LATER RALLIED TO END THE DAY LITTLE CHANGED HONG KONG
SHARES RECOUPED EARLY LOSSES AND ENDED SOLIDLY HIGHER WITH PROPERTY STOCKS
TURNING IN THE BIGGEST GAINS FOLLOWED BY BANKS AND COMMERCIAL AND
INDUSTRIAL ISSUES SINGAPORE PRICES FELL ON PROFITTAKING WHICH HAD BEEN
ADVISED BY SEVERAL BROKERAGE FIRMS THAT HAVE TURNED CAUTIOUS ABOUT THE
MARKET

IN A CONTINUING RALLY MANILA EQUITIES CLIMBED TO A RECORD STILL DRIVEN BY
EXCESS LIQUIDITY IN THE BANKING SYSTEM WHICH HAS BROUGHT INTEREST RATES
DOWN CHANNELING FUNDS FROM FIXEDINCOME SECURITIES TO THE STOCK MARKET
TAIPEI SHARE PRICES DROPPED AS SELLING PRESSURE EMERGED LATE IN THE SESSION
TO ERODE EARLY GAINS WELLINGTON SHARES FELL SHARPLY IN EXTREMELY HEAVY
TRADING WEAKENING MAINLY ON DROPS IN FORESTRYRELATED BLUE CHIPS

MEANWHILE CHINA ISSUED ITS FIRST NATIONAL REGULATIONS ON STOCK ISSUES AND
TRADING UNIFYING OPERATIONS IN THE COUNTRY'S TWO FLEDGLING STOCK MARKETS IN
SHANGHAI AND SHENZHEN WHICH HAD WRITTEN DIFFERING LOCAL RULES THE CHINA
SECURITIES REGULATORY COMMISSION SAID THE REGULATIONS WILL FORM THE BASIS
FOR A SECURITIES LAW THAT IS BEING WRITTEN THE NEW RULES INCLUDE PROCEDURES
FOR A COMPANY TO BE LISTED TAKEOVERS COMPLIANCE AND DISCLOSURE OF
INFORMATION THAT COULD AFFECT SHARE PRICES AS WELL AS VIOLATIONS AND FINES
FOR INSIDER TRADING OF ABOUT 5000 SHAREHOLDING COMPANIES IN CHINA ABOUT
75 ARE LISTED ON THE TWO EXCHANGES

AMONG CORPORATE DEVELOPMENTS IN LONDON BASS LOST NINE PENCE OR 17 TO
534 PENCE 836 THE BREWER DECLINED TO COMMENT ON A BRITISH NEWS REPORT
THAT IT IS NEGOTIATING TO BUY A MAJORITY STAKE IN PRAGUE BREWERY THE CZECH
MARKET LEADER FOR LESS THAN 100 MILLION BASS LAST DECEMBER SAID THAT IT
WAS STUDYING WAYS TO EXPAND ITS BUSINESS ABROAD AND THAT THIS WOULD ALMOST
CERTAINLY INVOLVE ACQUISITIONS

IN FRANKFURT KLOECKNERWERKE DIVED 81 MARKS OR 15 TO 47 MARKS 3117
THE STEEL AND ENGINEERING CONCERN'S STOCK PLUNGED AFTER THE EUROPEAN
COMMUNITY COMMISSION SAID A DAY EARLIER THAT IT MIGHT DEMAND FULL REPAYMENT
OF ITS 175 MILLIONMARK 1107 MILLION LOAN TO KLOECKNER WHICH FILED FOR
PROTECTION FROM CREDITORS LAST DECEMBER REPAYMENT COULD PUSH THE COMPANY
INTO BANKRUPTCY THE EC WAS TO DISCUSS THE ISSUE FURTHER TODAY

IN PARIS EUROTUNNEL ENDED AT 352 FRENCH FRANCS 661 OFF 035 FRANC
THE OPERATOR THAT IS BUILDING A TUNNEL UNDER THE ENGLISH CHANNEL WILL ASK
SHAREHOLDERS AT A JUNE 10 MEETING FOR PERMISSION TO ISSUE FREE WARRANTS TO
HOLDERS AND A MAXIMUM 565 MILLION NEW SHARES TO BACK THE WARRANTS
EUROTUNNEL RECENTLY SAID IT PLANNED TO ISSUE THE WARRANTS TO COMPENSATE
HOLDERS FOR THEIR DISAPPOINTMENT LAST NOVEMBER WHEN THE SHARE PRICE WAS TOO
LOW TO EXERCISE WARRANTS ISSUED IN 1987 IT ALSO SAID THE NEW ISSUE SHOULD
REASSURE BANKERS THAT NEW CAPITAL WILL BE INVESTED IN THE PROJECT

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 CALCULATED IN LOCAL CURRENCIES IS BASED ON
THE CLOSE OF 1969 EQUALING 100 THE PERCENTAGE CHANGE IS SINCE YEAREND
9305050060 930505 BUSINESS BRIEF AMERICAN TELEPHONE & TELEGRAPH 
INFORMATION CONCERN SAYS BLUE CROSS OVERCHARGED IT

AMERICAN TELEPHONE & TELEGRAPH CO ACCUSED BLUE CROSS ORGANIZATIONS IN SIX
STATES WITH OVERCHARGING IT ON EMPLOYEE MEDICAL BILLS DATING TO 1984

IN A COMPLAINT FILED MARCH 19 IN FEDERAL COURT IN NEWARK NJ AT&T SAID IT
WANTED TO LOOK AT THE BOOKS OF THE ORGANIZATION AND CONDUCT AN AUDIT TO
VERIFY THE CHARGES THE AMOUNT OF WHICH WASN'T DISCLOSED WE HAVE A RIGHT
TO VERIFY THOSE CHARGES GOING BACK ALMOST TO 1984 SAID AN AT&T SPOKESMAN

SO FAR HE SAID AT&T HAS MADE PROGRESS WITH BLUE CROSS ORGANIZATIONS IN
ILLINOIS MICHIGAN ARIZONA AND NEW YORK BUT PROGRESS WITH THREE OTHERS IS
STILL HELD UP INCLUDING TWO ORGANIZATIONS IN OHIO EMPIRE OF NEW YORK
HANDLED BILLINGS FOR THESE ORGANIZATIONS

BLUE CROSS HAS COME UNDER INCREASING SCRUTINY LATELY AS COMPANIES SEEK TO
LIMIT THEIR HEALTH EXPENSES AND THE CLINTON ADMINISTRATION ATTEMPTS TO
DEVISE A NATIONAL HEALTHCARE PLAN 9305050059 930505 KODAK'S STEFFEN 
WILL NOT SEEK A BOARD SEAT  BY JOAN E RIGDON STAFF REPORTER OF
THE WALL STREET JOURNAL

EASTMAN KODAK CO'S FORMER CHIEF FINANCIAL OFFICER CHRISTOPHER J STEFFEN
HAS WITHDRAWN AS A CANDIDATE FOR THE BOARD THE ROCHESTER NY PHOTOGRAPHY
COMPANY SAID

IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE KODAK SHARES CLOSED AT
50 UP 375 CENTS

THE NEWS ENDED SPECULATION THAT MR STEFFEN WHO QUIT LAST WEEK AFTER A
CLASH WITH CHAIRMAN KAY R WHITMORE MIGHT TRY TO SERVE AS A DISSENTING
DIRECTOR FOLLOWING BOARD ELECTIONS AT THE MAY 12 ANNUAL MEETING MR STEFFEN
COULDN'T BE REACHED TO COMMENT

MR STEFFEN'S NAME REMAINS ON THE BALLOT AS PART OF THE MANAGEMENT SLATE OF
DIRECTORS BUT SINCE QUITTING HE HAS TOLD KODAK ORALLY AND IN WRITING
THAT HE DOESN'T WANT TO SERVE ON THE BOARD A COMPANY SPOKESMAN SAID KODAK
DECLINED TO PROVIDE A COPY OF THE WRITTEN NOTICE

SINCE IT'S TOO LATE TO TAKE MR STEFFEN'S NAME OFF THE BALLOT KODAK'S BOARD
WILL SIMPLY ASK SHAREHOLDERS NOT TO VOTE ON THE SEAT THAT HAD BEEN SLATED
FOR HIM THE BOARD WON'T IMMEDIATELY NOMINATE A NEW CANDIDATE TO REPLACE MR
STEFFEN AND EFFECTIVELY WOULD SHRINK TO 13 MEMBERS FROM 14 CURRENTLY

RALPH WHITWORTH PRESIDENT OF THE UNITED SHAREHOLDERS ASSOCIATION IN
WASHINGTON SAID MEMBERS OF HIS ACTIVIST SHAREHOLDER GROUP WILL PRESSURE THE
BOARD'S NOMINATING COMMITTEE TO FILL MR STEFFEN'S SEAT THIS YEAR WITH
SOMEONE CRITICAL OF KODAK'S MANAGEMENT IF THE COMMITTEE SIMPLY SHRINKS THE
BOARD THAT WILL REALLY OUTRAGE SHAREHOLDERS HE SAID 9305050058 930505
ABREAST OF THE MARKET STOCKS END MIXED ON WEAK DATA ON ECONOMY BUOYANT
AUTO SALES  BY ANITA RAGHAVAN STAFF REPORTER OF THE WALL STREET
JOURNAL

NEW YORK STOCK INVESTORS SHRUGGED OFF THE SECOND DAY OF A POWERFUL BOND
MARKET RALLY TO LEAVE PRICES MIXED WITH ONLY SLIGHT CHANGES

THE DOW JONES INDUSTRIAL AVERAGE SLIPPED 027 POINT TO 344619 IN HEAVY
TRADING WHILE THE STANDARD & POOR'S 500STOCK INDEX ADVANCED 159 TO 44405
AND THE NEW YORK STOCK EXCHANGE COMPOSITE INDEX INCHED UP 069 TO 24523

THE SLIM GAINS IN THE BROADER AVERAGES CAME AMID SOME DISAPPOINTING ECONOMIC
NEWS THAT WEIGHED ON STOCK PRICES EARLY IN THE DAY

THE COMMERCE DEPARTMENT REPORTED IN THE MORNING THAT ITS INDEX OF LEADING
INDICATORS TUMBLED 1 IN MARCH THE LARGEST DECLINE IN NEARLY 2 1/2 YEARS
BUT REPORTS IN THE AFTERNOON THAT LATE APRIL AUTO SALES WERE MORE BUOYANT
THAN MANY EXPECTED HELPED THE MARKET FIRM

MARY FARRELL STOCK ANALYST AT PAINEWEBBER SAID THERE IS GROWING
NERVOUSNESS AMONG INVESTORS ABOUT PRESIDENT CLINTON'S ECONOMIC AND
HEALTHCARE PLANS INSTEAD OF FOCUSING ON MACROECONOMIC FORCES MANY
INVESTORS ARE LOOKING AT INDIVIDUAL COMPANIES TRYING TO HUNT FOR THOSE THAT
WILL DAZZLE THE MARKET WITH BETTER THAN EXPECTED EARNINGS

THE MARKET IS SUFFICIENTLY EDGY THAT ANY DISAPPOINTMENT IS GOING TO RESULT
IN A QUICK PENALTY IN STOCK PRICES SAID MS FARRELL INVESTORS ARE AWARE
THAT THERE ARE STILL LANDMINES OUT THERE EVEN FROM UNEXPECTED SOURCES SUCH
AS READER'S DIGEST ASSOCIATION

YESTERDAY INVESTORS BATTERED READER'S DIGEST STOCK DRIVING ITS CLASS A
SHARES SIX POINTS LOWER TO 40 1/2 EVEN THOUGH THE COMPANY'S THIRDQUARTER
PROFIT GREW TO 80 CENTS A SHARE FROM 75 CENTS IN THE YEAREARLIER PERIOD
INVESTORS WERE DISTURBED BY NEWS THAT US SALES FELL 6

THE DROP IN SALES WAS PARTICULARLY SURPRISING ANALYSTS SAID BECAUSE
READER'S DIGEST IN RECENT YEARS HAS PERFORMED EXTREMELY WELL IN SPITE OF
THE RECESSION

ON THE BIG BOARD ADVANCING ISSUES OUTNUMBERED DECLINERS 1267 TO 702
VOLUME TOTALED 264880000 SHARES COMPARED WITH 220800000 MONDAY

GENERAL MOTORS' CLASS E SHARES SLUMPED 1 5/8 TO 30 3/8 THE AUTO MAKER'S
ELECTRONIC DATA SYSTEMS UNIT AND BRITISH TELECOMMUNICATIONS PLC HAVE BACKED
AWAY FROM A PROPOSED ALLIANCE THAT WOULD HAVE INVOLVED THE SALE OF GM CLASS
E SHARES TO THE BRITISH COMPANY

CABLE STOCKS RALLIED NEW INDUSTRY REGULATIONS UNVEILED BY THE FEDERAL
COMMUNICATIONS COMMISSION LATE MONDAY TURNED OUT TO BE LESS ONEROUS THAN
THE INDUSTRY EXPECTED

CABLEVISION SYSTEMS CLASS A SHARES SURGED 3 5/8 TO 33 1/4 AND TIME WARNER
JUMPED 3 1/8 TO 36 1/8 SOME TRADERS ATTRIBUTED THE RISE IN TIME WARNER
STOCK TO RUMORS THAT AN INVESTOR POSSIBLY WARREN BUFFETT MAY HAVE ACQUIRED
A 5 STAKE IN THE MEDIA CONGLOMERATE A SPOKESWOMAN FOR MR BUFFETT DECLINED
TO COMMENT AS A MATTER OF POLICY TIME WARNER ALSO HAD NO COMMENT

INTERPOOL CHALKED UP 1 5/8 TO 15 5/8 THE COMPANY WHICH LEASES CARGO
CONTAINERS TO THE SHIPPING INDUSTRY OFFERED 45 MILLION COMMON SHARES AT
14 EACH TO INVESTORS IN AN INITIAL PUBLIC OFFERING PRICED LATE MONDAY

XTRA CORP FELL 6 5/8 TO 92 1/4 EVEN THOUGH IT POSTED AN 18 GAIN IN
SECONDQUARTER EARNINGS THE HIGHER PROFIT APPARENTLY FELL SHORT OF SOME
INVESTORS' EXPECTATIONS FIRST ALBANY ANALYST ANDREW FEINMAN HAD PROJECTED
SPLITADJUSTED EARNINGS OF 40 CENTS A SHARE WHICH THE COMPANY JUST MISSED

USXUS STEEL DROPPED 3/4 TO 43 3/4 KIDDER PEABODY ANALYST ROBERT HAGEMAN
LOWERED HIS INVESTMENT RATING ON THE COMPANY TO UNDERPERFORM FROM HOLD

NUEVO ENERGY SOARED 2 1/8 TO 21 3/4 THE COMPANY EARNED 20 CENTS A SHARE IN
THE FIRST QUARTER AFTER LOSING THREE CENTS A SHARE A YEAR EARLIER

CBI INDUSTRIES PLUNGED 3 7/8 TO 24 3/8 THE COMPANY WHICH MAKES STEEL PLATE
STRUCTURES AND TANKS EARNED 11 CENTS A SHARE IN THE FIRST QUARTER COMPARED
WITH 14 CENTS A YEAR EARLIER LAST YEAR'S PROFIT WAS DEPRESSED BY A
20CENTASHARE ACCOUNTING CHARGE 9305050057 930505 TAX REPORT A
SPECIAL SUMMARY AND FORECAST OF FEDERAL AND STATE TAX DEVELOPMENTS 
 BY SCOTT R SCHMEDEL

CAPITALIZE DON'T DEDUCT COSTS OF CLEANING UP POLLUTED LAND THE IRS SAYS

A NEW RULING EXPANDS ON A 1992 HOLDING THAT JOLTED BUSINESSES COPING WITH
ENVIRONMENTAL LAW FIRST PRIVATE RULING 9240004 TOLD AN UNIDENTIFIED
COMPANY THAT REMOVING ASBESTOS INSULATION FROM MACHINERY ISN'T A CURRENTLY
DEDUCTIBLE REPAIR BY REDUCING HEALTH RISKS THE SPENDING RAISES ASSET
VALUES AND MUST BE DEDUCTED OVER TIME AS A CAPITAL COST BUSINESSES CRY THAT
THIS IS BAD TAX POLICY THAT INCREASES THEIR FINANCIAL BURDEN AND UNDERMINES
GOOD HEALTH POLICY

NOW PRIVATE RULING 9315004 TELLS ANOTHER COMPANY TO CAPITALIZE CLEANUPS OF
PCBPOLLUTED LAND SOME RELATED COSTS ARE DEDUCTIBLE CURRENTLY SOIL TESTS
OF LAND THAT NEEDN'T BE CLEANED UP AND LEGAL FEES TO DEFEND A BUSINESS
AGAINST ENVIRONMENTAL CHARGES OR PRESS CLAIMS AGAINST INSURERS JERRY
WILLIFORD OF GRANT THORNTON CPAS ALSO FINDS THIS GOOD NEWS THE CLEANUP
COSTS MAY BE DEDUCTED OVER THE REMAINING LIFE OF THE RELATED FACILITIES IF
CAPITALIZED AS INVESTMENTS IN LAND THE COSTS COULDN'T BE DEPRECIATED AT
ALL

THE IRS SAID IT LACKED ENOUGH INFORMATION TO DECIDE WHETHER TO CAPITALIZE
RESEARCH AND ENVIRONMENTALAUDIT COSTS

YA GOTTA BELIEVE TO AGREE THAT DOING YOUR RETURN ISN'T TAKING LONGER

THE LATEST IRS STUDY OF INDIVIDUAL FILING BURDENS FINDS THEY STAYED ABOUT
THE SAME IN 198891 INDICATING THAT EFFORTS TO SIMPLIFY FORMS AND
INSTRUCTIONS WERE WORKING BUT OVER THAT PERIOD THE ESTIMATED TIME NEEDED
TO DO A FORM 1040EZ ROSE TO TWO HOURS FROM 15 AND TO DO A 1040A REMAINED
UNDER SEVEN HOURS THE AVERAGE RETURN INCLUDING 1040S WITH SCHEDULES
CONTINUED TO TAKE JUST OVER 12 HOURS DESPITE FILERS' PERCEPTION THAT
TAXLAW CHANGES HAVE INCREASED THE LOAD

THE ESTIMATES ARE MADE BY A COMPUTER MODEL THAT INCLUDES RECORDKEEPING AND
LEARNING TIME IRS RESEARCHERS SAY DOING A BASIC 1040 TOOK A HALFHOUR MORE
IN 1991 THAN IN 1988 BUT SCHEDULE C FOR BUSINESS OWNERS NEEDED AN HOUR
LESS THE SCHEDULES FOR ITEMIZED DEDUCTIONS INTEREST AND DIVIDEND INCOME
CAPITAL GAINS AND SUPPLEMENTAL INCOME TOOK ROUGHLY THE SAME TIME TO DO

PARTNERS WHO PLAN MAY DEDUCT PERSONALLY SOME PARTNERSHIP COSTS IN FULL

MANY PARTNERS WHO INCUR UNREIMBURSED BUSINESS COSTS SUCH AS TRAVEL DON'T
BOTHER TO LIST THEM AS MISCELLANEOUS DEDUCTIONS ON PERSONAL RETURNS BECAUSE
ONLY ITEMS EXCEEDING 2 OF ADJUSTED GROSS INCOME WOULD BE DEDUCTIBLE BUT
IRS PRIVATE RULING 9316003 SHOWS THAT PARTNERS IN FACT MAY DEDUCT IN FULL
ANY EXPENSES THAT A PARTNERSHIP AGREEMENT REQUIRES THEM TO PAY PERSONALLY
TAKE A LAWYER WE WILL CALL GREG WHO HAD TRAVEL AND MEAL EXPENSES THAT
COULDN'T BE BILLED TO ANY CLIENT

UNDER HIS PARTNERSHIP PACT GREG MUST BEAR THESE COSTS HIS FIRM PAYS ONLY
COSTS THAT IT CAN CHARGE TO CLIENTS GREG DEDUCTED HIS PAYMENTS IN FULL
EXCEPT FOR THE 80 LIMIT ON MEALS FROM PARTNERSHIP INCOME ON HIS SCHEDULE
E AN IRS AUDITOR QUESTIONED THAT GENERALLY PARTNERS CAN'T DEDUCT
PARTNERSHIP EXPENSES ON PERSONAL RETURNS BUT NOTES THE IRS NATIONAL
OFFICE COURTS HAVE ALLOWED FULL DEDUCTIONS BY PARTNERS IN CIRCUMSTANCES
LIKE GREG'S

THIS RULE APPLIES TO ANY PARTNERSHIP THAT DRAFTS ITS POLICY CORRECTLY SAYS
DONALD ALEXANDER OF AKIN GUMP STRAUSS HAUER & FELD WASHINGTON

A SMALL BUSINESS COULD CLAIM A 7 INVESTMENT CREDIT ON AS MUCH AS 270000
OF SPENDING THIS YEAR UNDER PRESIDENT CLINTON'S TAXBILL LANGUAGE THAT
WOULD LIMIT THE 1993 CREDIT TO 18900 THE ADMINISTRATION HADN'T PREVIOUSLY
SPECIFIED A CAP ON ITS PROPOSAL WHICH IS UNDER SHARP ATTACK

WORKERS WHO PAID TAX ON EDUCATIONAL AID FROM EMPLOYERS IN 1992 COULD REDUCE
1993 TAXES INSTEAD OF AMENDING 1992 RETURNS TO SEEK REFUNDS UNDER A CLINTON
PROPOSAL IT WOULD RENEW THE EXPIRED EXEMPTION FOR SUCH BENEFITS
RETROACTIVELY TO JULY 1

VOTERS IN MONTANA ONE OF ONLY FIVE STATES WITHOUT A SALES TAX WILL DECIDE
JUNE 8 WHETHER TO ADOPT A 4 LEVY URGED BY GOV RACICOT MANY BUSINESSES
SUPPORT IT THE OPPONENTS INCLUDE THE STATE AFLCIO AND THE STATE DEMOCRATIC
PARTY

A BIRD IN THE BUSH CAN'T BE FATTENED FOR THE ESTATE TAX A JUDGE SAYS

ETHLYN DAVIS OF HURON SD DIED IN 1986 BEFORE ANY TRIAL OF HER SUIT
ACCUSING MERRILL LYNCH OF FRAUD IN THE CHURNING OF HER SECURITIES ACCOUNT
BEFORE HER DEATH THE FIRM OFFERED HER 50000 BUT THE CASE WAS TRIED TWICE
BEFORE THE FIRM SETTLED FOR 2 MILLION THE ESTATE NETTED 1065555 AFTER
LEGAL FEES AND EXPENSES BUT FOR ESTATE TAX THE IRS PUT THE TAXABLE VALUE
OF DAVIS'S CLAIM AGAINST MERRILL LYNCH ON THE DATE OF HER DEATH AT 21
MILLION THE SUM AWARDED BY A JURY AFTER THE SECOND TRIAL

THE ESTATE ARGUED IN THE TAX COURT FOR A VALUE OF 62255 VALUING A LAWSUIT
IS AN ABSTRACT ENDEAVOR JUDGE GERBER SAID HE FOUND NO BASIS FOR THE IRS
FIGURE TAKING DAVIS'S CLAIM FOR ACTUAL DAMAGES OF 107853 THE JUDGE
REDUCED IT FOR COSTS DELAY IN RECOVERY AND A SMALL RISK OF LOSING AND
VALUED IT AT 46176 BUT HE GAVE NO METHOD FOR VALUING POTENTIAL PUNITIVE
DAMAGES

IN LIGHT OF ALL THE EVIDENCE THE JUDGE VALUED THAT EXPECTATION AT
277056 SIX TIMES THE OTHER AMOUNT FOR A DATEOFDEATH TOTAL OF 323232

BRIEFS AN UNIDENTIFIED POLITICAL GROUP IS INELIGIBLE TO GET TAXDEDUCTIBLE
GIFTS NOW IRS PRIVATE RULING 9315001 SAYS IT MUST PAY A 10000 PENALTY FOR
FAILING TO SAY SO IN TELEPHONE SOLICITATIONS  SUPPLEMENTAL
APPROPRIATIONS ENACTED LAST WEEK OMIT 148 MILLION FOR IRS COMPUTERS THAT
THE HOUSE BILL ORIGINALLY INCLUDED 9305050056 930505 ENVIROTEST SYSTEMS 
SUES SNAPON TOOLS

TUCSON ARIZ ENVIROTEST SYSTEMS CORP SAID IT SUED SNAPON TOOLS INC
FOR ALLEGED UNFAIR COMPETITION AND FRAUD IN A DISPUTE OVER AUTOMOBILE
EMISSIONS TESTING EQUIPMENT

THE SUIT FILED YESTERDAY IN US DISTRICT COURT IN NEW YORK ALLEGES THAT
SNAPON TOOLS AND TWO OF ITS UNITS SUN ELECTRIC CORP AND SYSTEMS CONTROL
INC IN EFFECT MISAPPROPRIATED THE HISTORY AND BACKGROUND OF A COMPANY THAT
SUN ELECTRIC HAD SOLD TO ENVIROTEST SYSTEMS FOR 835 MILLION IN APRIL 1992

WITH THE SALE THE OPERATION KNOWN AS SYSTEMS CONTROL INC WAS TRANSFERRED
TO ENVIROTEST SYSTEMS WHERE IT HAS OPERATED UNDER THE NAME ENVIROTEST
TECHNOLOGIES INC

THROUGH A RELATED 7 MILLION TRANSACTION SUN ELECTRIC RETAINED THE NAME
SYSTEMS CONTROL AND SINCE THE SALE OF OPERATIONS TO ENVIROTEST ALLEGEDLY
HAS RESUMED BUSINESS UNDER THAT NAME SNAPON TOOLS ACQUIRED SUN ELECTRIC IN
OCTOBER 1992

ACCORDING TO ENVIROTEST ALLEGATIONS SYSTEMS CONTROL HAS REPRESENTED ITSELF
TO A NUMBER OF STATE GOVERNMENTS AS HAVING ESSENTIALLY THE BACKGROUND OF THE
BUSINESS SOLD TO ENVIROTEST

ENVIROTEST ALLEGED THAT A CORPORATE BROCHURE DISTRIBUTED TO VARIOUS STATE
AGENCIES BY SYSTEMS CONTROL ASSERTS THAT CURRENT SYSTEMS CONTROL HAS MORE
THAN 20 YEARS EXPERIENCE IN AUTOMOTIVE TESTING AND VEHICLE INSPECTION AND
THAT IT IS THE DESIGNER AND DEVELOPER OF SOME OF THE LARGEST CENTRALIZED
MOTOR VEHICLE INSPECTION PROGRAMS IN THE COUNTRY

OFFICIALS AT SNAPON TOOLS IN KENOSHA WIS COULDN'T BE REACHED FOR
COMMENT 9305050055 930505 REAL ESTATE  BY MITCHELL PACELLE

INVESTORS IN REALESTATE INVESTMENT TRUSTS WILL SOON HAVE A NEW SHOPPING
OPTION OUTLET CENTERS

TWO DEVELOPERS OF FACTORYOUTLET CENTERS ARE IN THE PROCESS OF TAKING THEIR
COMPANIES PUBLIC AND SEVERAL OTHERS PLAN TO DO SO

TANGER FACTORY OUTLET CENTERS GREENSBORO NC ONE OF THE FIRST DEVELOPERS
OF OUTLET CENTERS HAS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION TO
RAISE AS MUCH AS 104 MILLION IN AN INITIAL PUBLIC OFFERING NORTHSOUTH
GROUP SMITHFIELD NC HAS FORMED A COMPANY FACTORY STORES OF AMERICA
AND HAS FILED WITH THE SEC TO RAISE AS MUCH AS 122 MILLION BY TAKING IT
PUBLIC IT WOULD THEN USE THE MONEY TO ACQUIRE 21 OUTLET CENTERS FROM VF
CORP A CLOTHING MAKER AND RETAILER THAT HAS AGREED TO SELL THE CENTERS

THESE FACTORYOUTLET REITS ARE PART OF A DELUGE OF REALESTATE OFFERINGS AS
DEVELOPERS RUSH TO TAP ONE OF THE FEW REMAINING SOURCES OF CAPITAL FOR THE
INDUSTRY INVESTORS ATTRACTED BY DIVIDEND YIELDS OF MORE THAN 7 HAVE
BOUGHT 839 MILLION IN NEW REIT OFFERINGS THIS YEAR

RETAILING AND REALESTATE ANALYSTS ARE BULLISH ON FACTORYOUTLET CENTERS
BUT CAUTION THAT SUCH PROPERTIES ARE RISKIER THAN TRADITIONAL MALLS AND
STRIP CENTERS AND SO SELL FOR A SMALLER MULTIPLE OF CASH FLOW LEASES
GENERALLY ARE SHORTER AT OUTLET CENTERS SAYS TERRY DUNHAM PUBLISHER OF
VALUE RETAIL NEWS A CLEARWATER FLA NEWSLETTER THAT TRACKS THE INDUSTRY
MOREOVER HE SAYS OUTLET CENTERS AREN'T ANCHORED BY DOMINANT STORES AND
ARE TYPICALLY LOCATED SOME DISTANCE FROM MAJOR URBAN AREAS SO SUPPLIERS
DON'T ALIENATE THEIR MAINSTREAM RETAILERS

IT'S IMPORTANT THAT PEOPLE REALIZE IT'S A DIFFERENT BUSINESS THAN MALLS
SAYS CATHY CRESWELL AN ANALYST WITH ALEX BROWN & SONS BALTIMORE THERE
ARE A LOT MORE UNKNOWNS WITH THIS PRODUCT

CASHSTRAPPED CHURCHES ARE TURNING TO THEIR REAL ESTATE AS A PROFANE SAVING
GRACE

WHEN MANHATTAN'S 100MEMBER UNIVERSALIST CHURCH HOUSED IN A 97YEAROLD
STONE CATHEDRAL ON CENTRAL PARK WEST FOUND ITSELF IN THE RED IT HIRED A
MARKETING DIRECTOR TO RAISE THE BUILDING'S RENTAL INCOME

CALLING ITSELF THE LANDMARK ON THE PARK THE CHURCH HAS ATTRACTED USERS
RANGING FROM ALCOHOLICS ANONYMOUS TO CHASE MANHATTAN BANK RENTAL INCOME
MADE UP 86 OF ITS REVENUE LAST YEAR

OUR SURVIVAL DEPENDS ON THIS SAYS FRED SEIDLER THE MARKETING DIRECTOR
WE WERE RUNNING SUCH A LARGE DEFICIT THAT THERE WAS TALK OF HAVING TO SELL
THE BUILDING

MANY OLD CHURCHES FACE SIMILAR PREDICAMENTS A LOT OF CHURCHES IN URBAN
AREAS ARE CLOSING BECAUSE OF DWINDLING CONGREGATIONS AND LARGE AGING
BUILDINGS THAT THEY HAVE TO CARE FOR SAYS LINDA YOUNG OF INSPIRED
PARTNERSHIP A CHICAGOBASED GROUP THAT HELPS CHURCHES MAINTAIN SUCH
BUILDINGS THEY HAVE MORE BUILDING THAN THEY DO DOLLARS

HISTORICALLY RELIGIOUS BUILDINGS HAVE OFTEN BEEN USED BY THE COMMUNITY AT
LARGE SAYS EDWARD MOHYLOWSKI DIRECTOR OF THE SACRED SITES PROGRAM OF THE
NEW YORK LANDMARKS CONSERVANCY A NONPROFIT PRESERVATION GROUP
CONGREGATIONS ARE JUST BECOMING A BIT MORE ASSIDUOUS IN FINDING PEOPLE TO
USE THEM

DURING DAYTIME AND EVENING HOURS AT PHILADELPHIA'S 100MEMBER TRINITY
MEMORIAL EPISCOPAL CHURCH VIRTUALLY EVERY ROOM HAS SOMETHING GOING ON IN
IT SAYS RICHARD IHRIG THE CHURCH'S ADMINISTRATIVE ASSISTANT THE CHURCH
IS SO DEPENDENT ON THE RENTAL INCOME HE SAYS THAT WHEN TENANTS FALL BEHIND
ON THE RENT WE SEND OUT THE COLLECTION POSSE HE SAYS WE NEED THE
MONEY

THE NORTHEAST'S HOUSING MARKET IS WIDELY THOUGHT TO HAVE BOTTOMED OUT BUT
HOMEOWNERS WITHIN 75 MILES OF NEW YORK CITY LEAD THE NATION IN SERIOUSLY
DELINQUENT MORTGAGES

AT THE END OF LAST YEAR NINE OF THE 10 MARKETS NATIONWIDE WITH THE HIGHEST
PERCENTAGES OF MORTGAGES MORE THAN 90 DAYS DELINQUENT OR IN FORECLOSURE WERE
IN THE NEW YORK AREA INCLUDING PARTS OF CONNECTICUT AND NEW JERSEY
MONMOUTH/OCEAN COUNTIES ON THE NEW JERSEY SHORE LED THE NATION WITH 38
OF ALL MORTGAGES SERIOUSLY DELINQUENT ACCORDING TO AN ANALYSIS BY MORTGAGE
INFORMATION CORP SAN FRANCISCO NEW YORK CITY RANKED SECOND AT 32
FOLLOWED BY NEWARK NJ 29 AND NEW HAVEN CONN AND BERGEN/PASSAIC
COUNTIES NJ 28

THESE AREAS INCLUDE SEVERAL THAT HAD SOME OF THE GREATEST HOUSING BOOMS IN
THE NATION SAYS JAMES HUGHES ASSOCIATE DEAN OF RUTGERS UNIVERSITY'S SCHOOL
OF PLANNING AND PUBLIC POLICY MONMOUTH COUNTY FOR EXAMPLE HAD AN
UNSUSTAINABLE BOOM IN SHORELINE CONDOS IN MANY PLACES THE PRICES HAVE GONE
DOWN 50 SINCE THE LATE '80S

DELINQUENCY RATES REFLECT UNEMPLOYMENT SO THEY GENERALLY DON'T FALL UNTIL
AFTER THE ECONOMY BEGINS TO RECOVER DELINQUENCIES ARE CLEARLY A LAGGING
INDICATOR SAYS DAVID BERSON CHIEF ECONOMIST FOR THE FEDERAL NATIONAL
MORTGAGE ASSOCIATION IN WASHINGTON

NEW YORK NEW JERSEY AND CONNECTICUT WERE THREE OF THE FIVE WORST PERFORMERS
IN LABOR EMPLOYMENT GROWTH OVER THE PAST TWO YEARS MR HUGHES SAYS A
FOURTH STATE IN THAT GROUP CALIFORNIA HAS A GRIM JOB OUTLOOK AND ANALYSTS
PREDICT DELINQUENCIES THERE WILL RISE HOUSING PRICES IN SOUTHERN CALIFORNIA
HELD UP LONGER THAN IN THE NORTHEAST BUT HAVE PLUNGED IN THE PAST TWO
YEARS CREATING AN ENVIRONMENT FOR INCREASING FORECLOSURES IF OWNERS RUN
INTO FINANCIAL DIFFICULTY

THE RATE OF HOMEOWNERSHIP FOR HOUSEHOLDS HEADED BY PEOPLE 25 TO 34 YEARS OLD
FELL 63 PERCENTAGE POINTS IN THE '80S TO 453 WHILE THE RATE FOR
HOUSEHOLDS HEADED BY THOSE 65 AND OLDER ROSE 51 POINTS TO 752 ACCORDING
TO THE JOURNAL HOUSING POLICY DEBATE  A LUXURY TWOBEDROOM APARTMENT
IN A TOP NEIGHBORHOOD WOULD SELL FOR 13 MILLION IN TOKYO COMPARED WITH
545000 IN PARIS AND 480000 IN NEW YORK ACCORDING TO HALSTEAD PROPERTY
A NEW YORK REALESTATE BROKER 9305050054 930505 BUSINESS BRIEF 
PRUDENTIAL SECURITIES INC GBK ACQUISITIONS EXTENDS TENDER OFFER FOR
PARTNERSHIPS

OILMAN GEORGE B KAISER EXTENDED TO MAY 14 HIS TENDER OFFER FOR MOST OF A
SERIES OF PRUDENTIAL SECURITIES INC ENERGY PARTNERSHIPS AND WAIVED HIS
CONDITION THAT MORE THAN 50 OF EACH PARTNERSHIP'S UNITS BE TENDERED

MR KAISER'S GBK ACQUISITION CORP THE TULSA OKLA CONCERN FORMED TO
PURSUE THE PARTNERSHIPS OFFERED 283 MILLION LESS SOME DISTRIBUTIONS FOR
30 OF 35 PRUDENTIALBACHE ENERGY INCOME PARTNERSHIPS PRUDENTIAL HAS URGED
HOLDERS TO SPURN THE OFFER SAYING IT CAN GET MORE THROUGH NEGOTIATED BIDS
IT ALSO ADOPTED A POISON PILL LAST WEEK TO MAKE THE PARTNERSHIP UNITS MORE
EXPENSIVE FOR MR KAISER TO ACQUIRE

A SPOKESMAN FOR PRUDENTIAL NOTED THAT FEWER THAN 1 OF UNIT HOLDERS HAVE
TENDERED TO KAISER

PRUDENTIAL HAS BEEN TRYING TO RID ITSELF OF THE PARTNERSHIPS AND CONTINUES
TO SEEK A SETTLEMENT WITH THOUSANDS OF INVESTORS THAT WOULD GIVE THEM A
SMALL FRACTION OF THEIR INVESTMENT IN CASH 9305050053 930505 BUSINESS
BRIEF PENN CENTRAL CORP INSURANCE CONCERN WILL SELL STAKE IN
PIPELINE PARTNERSHIP

PENN CENTRAL CORP CINCINNATI SAID IT PLANS TO SELL ITS 19 STAKE IN
BUCKEYE PARTNERS LP WHICH OWNS OILPRODUCT PIPELINES IN THE NORTHEAST
AND IT FILED A REGISTRATION STATEMENT WITH THE SECURITIES AND EXCHANGE
COMMISSION COVERING THE SALE

THE BUCKEYE UNITS WERE QUOTED YESTERDAY ON THE NEW YORK STOCK EXCHANGE AT
3425 EACH GIVING PENN CENTRAL'S 231 MILLION UNITS A VALUE OF ABOUT 79
MILLION THAT IS ABOUT 26 MILLION MORE THAN THEIR VALUE ON PENN CENTRAL'S
BALANCE SHEET WHICH THE COMPANY PUT AT 527 MILLION

PENN CENTRAL WHICH IS 51OWNED BY FINANCIER CARL H LINDNER'S CLOSELY HELD
AMERICAN FINANCIAL CORP SAID THE SALE FITS ITS RECENT STRATEGY OF SELLING
UNITS THAT DON'T FIT WITH ITS PROPERTY AND CASUALTY INSURANCE FOCUS

PENN CENTRAL SAID IT PLANS TO RETAIN A UNIT THAT SERVES AS BUCKEYE'S GENERAL
PARTNER AND HAS A 1 INTEREST LEHMAN BROTHERS IS TO MANAGE THE OFFERING
BUCKEYE IS BASED IN EMMAUS PA 9305050052 930505 WHO'S NEWS BRINKER'S
CHAIRMAN REASSUMES HIS POSTS FOLLOWING RECOVERY

DALLAS COMPLETING A RECOVERY FROM AN ACCIDENT NORMAN BRINKER WAS
REINSTATED AS CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF BRINKER INTERNATIONAL
INC THE RESTAURANT COMPANY HE FOUNDED

MR BRINKER 62 YEARS OLD REGAINS THE POSITIONS HE HELD UNTIL JANUARY WHEN
HIS HORSE FELL ON HIM DURING A POLO GAME AT THE PALM BEACH POLO CLUB IN
FLORIDA THE SPILL CAUSED A HEAD INJURY THAT LEFT HIM UNCONSCIOUS IN A
FLORIDA HOSPITAL FOR SEVERAL WEEKS

HE SUCCEEDS RON MCDOUGALL 50 WHO WILL RESUME HIS FORMER POSITIONS OF
PRESIDENT AND CHIEF OPERATING OFFICER

AT A NEWS CONFERENCE MR BRINKER SAID HE EXPECTS TO PARTICIPATE FULLY IN
THE MANAGEMENT OF THE COMPANY BUT WILL CONTINUE REHABILITATION THERAPY

MR BRINKER SAID THE COMPANY WHICH INCLUDES THE CHILI'S RESTAURANT CHAIN
AMONG ITS 359 OUTLETS EXPECTS TO ADD ANOTHER 70 RESTAURANTS THIS YEAR
INCLUDING 11 THAT ARE SCHEDULED TO OPEN BY JUNE

BRINKER INTERNATIONAL ALSO SAID THAT FORMER DALLAS COWBOYS QUARTERBACK ROGER
STAUBACH 51 WAS NAMED A DIRECTOR MR STAUBACH WHO HEADS A CLOSELY HELD
REAL ESTATE SERVICES FIRM IN DALLAS FILLS A VACANCY ON THE 11MEMBER BOARD

IN COMPOSITE TRADING YESTERDAY ON THE NEW YORK STOCK EXCHANGE BRINKER
CLOSED AT 45875 UP 1125 9305050051 930505 INTERNATIONAL TAIWAN
TRADE SURPLUS SHRINKS

TAIPEI TAIWAN'S MERCHANDISE TRADE SURPLUS FELL 65 TO 430 MILLION IN
APRIL FROM 124 BILLION A YEAR EARLIER THE MINISTRY OF FINANCE REPORTED

THE APRIL SURPLUS WAS ALSO DOWN FROM 880 MILLION IN MARCH

THE MINISTRY ATTRIBUTED THE APRIL DROP TO A 13 RISE IN IMPORTS AND A 1
DECLINE IN EXPORTS FROM A YEAR EARLIER 9305050050 930505 BUSINESS BRIEF
 CENTRAL RESERVE LIFE CORP FIRSTPERIOD LOSS ESTIMATED ON HIGHER
CLAIMS RESERVES

CENTRAL RESERVE LIFE CORP CITING HIGHER CLAIMS AND RESERVES SAID IT
EXPECTS TO REPORT A FIRSTQUARTER LOSS OF ABOUT 700000 OR 17 CENTS A
SHARE COMPARED WITH RESTATED NET INCOME OF 620560 OR 15 CENTS A SHARE A
YEAR EARLIER

THE STRONGVILLE OHIO GROUP ACCIDENT AND HEALTH INSURER SAID HIGHER
RESERVES FOR FUTURE CLAIMS RESULTED FROM LARGE CLAIMS AND HIGH FIRSTQUARTER
PREMIUM VOLUME WHICH ROSE 25 FROM THE YEAR EARLIER MOREOVER PLANS SOLD
TO LABOR UNIONS SAW CLAIMS IN EXCESS OF PREMIUMS DURING MARCH THE COMPANY
ALSO SAID RATE INCREASES ON RENEWALS DURING THE 1992 SECOND HALF WERE NOT
SUFFICIENT TO COVER CLAIMS INCREASES PARTICULARLY FOR ITS GEMINI LINE OF
PARTLY SELFFUNDED PROGRAMS

CENTRAL RESERVE SAID IT IS RESPONDING TO THE LOSSES WITH EXPENSE REDUCTIONS
AND MORE AGGRESSIVE RATE INCREASES

YEAREARLIER PROFIT WAS RESTATED TO REFLECT ADOPTION OF AN ACCOUNTING RULE
REQUIRING ACCRUAL OF INCOME TAXES 9305050049 930505 WHO'S NEWS DELL
CORP'S HARRIS RESIGNS POSITION KOCHER IS SUCCESSOR  BY KYLE
POPE STAFF REPORTER OF THE WALL STREET JOURNAL

DELL COMPUTER CORP SAID THAT ANDREW R HARRIS PRESIDENT OF THE COMPUTER
MAKER'S INTERNATIONAL BUSINESS RESIGNED FOLLOWING A SHAKEUP OF THE
COMPANY'S EXECUTIVE RANKS

THE AUSTIN TEXAS MAILORDER COMPUTER COMPANY SAID MR HARRIS'S DUTIES WILL
BE ASSUMED BY JOEL J KOCHER 36 YEARS OLD PRESIDENT OF DELL'S DOMESTIC
OPERATIONS UNDER HIS NEW ASSIGNMENT MR KOCHER WILL BE RESPONSIBLE FOR
DELL'S SALES AND MARKETING WORLDWIDE AND WILL REPORT DIRECTLY TO MICHAEL S
DELL THE COMPANY'S FOUNDER AND CHAIRMAN

MR KOCHER PREVIOUSLY HAD SHARED THE COMPANY'S TOP OPERATIONAL POST WITH MR
HARRIS WHO HANDLED INTERNATIONAL BUSINESS WHILE MR KOCHER WATCHED THE
DOMESTIC SIDE BUT IN RECENT MONTHS AS DELL'S INTERNATIONAL BUSINESS
CONTINUED TO GROW IN IMPORTANCE MR DELL DECIDED TO CONSOLIDATE THE TWO
JOBS ULTIMATELY PICKING MR KOCHER FOR THE POSITION OVER MR HARRIS

IT BECAME CLEAR TO MR DELL THAT HE HAD TO HAVE ONE GUY AS THE DECISION
MAKER SAID JAMES POYNER AN ANALYST AT RAUSCHER PIERCE REFSNES IN DALLAS
IT'S VERY DIFFICULT TO HAVE TWO COOS

THOUGH MR KOCHER IS RESPECTED AMONG ANALYSTS WHO FOLLOW DELL THE CHOICE
WAS NEVERTHELESS VIEWED AS SOMEWHAT ODD CONSIDERING MR HARRIS'S
INTERNATIONAL EXPERIENCE AS RECENTLY AS TWO WEEKS AGO FOR INSTANCE MR
HARRIS HELPED LEAD A DELL MEETING WITH FINANCIAL ANALYSTS A MEETING THAT
FOCUSED IN PART ON MR HARRIS'S PLANS FOR THE COMPANY'S OVERSEAS BUSINESS A
NATIVE OF BRITAIN MR HARRIS 37 JOINED DELL IN 1987 TO RUN THE COMPANY'S
UNITED KINGDOM SUBSIDIARY IN 1989 HE MOVED TO AUSTIN TO OVERSEE THE
COMPANY'S INTERNATIONAL BUSINESS WHICH NOW INCLUDES OFFICES IN JAPAN
EUROPE AND AUSTRALIA AND CURRENTLY ACCOUNTS FOR ABOUT 36 OF DELL'S 2
BILLION IN SALES

A WOMAN ANSWERING THE PHONE AT MR HARRIS'S HOME SAID HE WAS GOLFING AND
COULDN'T BE REACHED FOR COMMENT

MR KOCHER ALSO JOINED DELL IN 1987 AS GENERAL MANAGER OF THE COMPANY'S
FIELD SALES OPERATION HE LATER HELPED SET UP DELL'S DOMESTIC SALES AND
MARKETING ORGANIZATIONS INCLUDING A LARGEACCOUNT OPERATION THAT NOW
ACCOUNTS FOR ABOUT HALF OF DELL'S REVENUE BEFORE JOINING DELL MR KOCHER
WORKED FOR TANDY CORP'S RADIO SHACK DIVISION 9305050048 930505
COMMODITIES WHEAT OTHER GRAINS FALL ON DISAPPOINTMENT OVER ALLOCATIONS
TO RUSSIA WEATHER FORECASTS  BY JEFFREY TAYLOR STAFF REPORTER OF
THE WALL STREET JOURNAL

CHICAGO GRAIN FUTURES PRICES FELL AMID DISAPPOINTMENT ABOUT ALLOCATIONS
OF US WHEAT TO RUSSIA AND FORECASTS OF DRIER WEATHER NEXT WEEK

THE US AGRICULTURE DEPARTMENT UNVEILED ITS ALLOCATIONS OF GRAIN TO RUSSIA
UNDER THE CLINTON ADMINISTRATION'S FOOD FOR PROGRESS PROGRAM THEY INCLUDED
2275 MILLION FOR CORN 105 MILLION FOR SOYBEAN MEAL 56 MILLION FOR
WHEAT AND 40 MILLION IN OTHER FOOD PRODUCTS INCLUDING VEGETABLE OIL

WHEAT FUTURES TRADERS AT THE CHICAGO BOARD OF TRADE WERE DISAPPOINTED BY THE
WHEAT ALLOCATION WHICH ANALYSTS ESTIMATED WOULD ALLOW RUSSIA TO BUY ONLY
ABOUT 550000 METRIC TONS OF WHEAT RUSSIA TRADITIONALLY HAS BEEN ONE OF THE
BIGGEST BUYERS OF US WHEAT AND 550000 TONS IS LESS THAN THEIR NORMAL
ANNUAL PURCHASE

UNLESS THEY BECOME CREDITWORTHY BY MAKING EXPORT CREDIT DEBT PAYMENTS OR
FIND SOMETHING TO BARTER WITH RUSSIA IS NOW OUT OF THE US WHEAT MARKET
SAID DANIEL W BASSE MARKET RESEARCH DIRECTOR FOR AGRESOURCE CO CHICAGO

MOREOVER THE PROSPECTS FOR WHEAT PRODUCTION BY US FARMERS THIS YEAR ARE
QUITE GOOD ABUNDANT RAINFALL AND MILD TEMPERATURES THROUGHOUT THE MIDWEST
HAVE HELPED TO NURTURE THE GROWING WINTER WHEAT CROP AND THE SPRING WHEAT
CROP IS ABOUT 40 PLANTED SOME ANALYSTS ARE PROJECTING THAT THIS YEAR'S
WHEAT CROP COULD ECLIPSE THE YIELD RECORD OF 395 BUSHELS AN ACRE SET IN
THE 199091 CROP YEAR

AT THE CBOT THE PRICE OF THE WHEAT FUTURES CONTRACT FOR JULY DELIVERY
PLUNGED 5 1/2 CENTS TO 29125 A BUSHEL A NEW CONTRACT LOW

IN CORN AND SOYBEAN FUTURES TRADING PRICES ALSO FELL TWO WIDELY WATCHED
PRIVATE WEATHER COMPANIES PREDICTED AN EBB NEXT WEEK IN THE PERSISTENT RAIN
THAT HAS FALLEN LATELY IN MIDWESTERN AND PLAINS STATES DRY WEATHER WOULD
ALLOW FARMERS TO PROCEED WITH PLANTING OF THEIR CORN AND SOYBEAN CROPS CORN
FOR JULY DELIVERY WAS DOWN 2 1/4 CENTS TO 231 A BUSHEL WHILE JULY
SOYBEANS FELL 2 3/4 CENTS TO 59125 A BUSHEL

IN OTHER COMMODITY MARKETS

ENERGY A WAVE OF SELLING PUSHED ALONG BY TECHNICAL FACTORS OVERTOOK AN
EARLY PRODUCTLED RALLY OF PETROLEUM FUTURES PRICES YESTERDAY ON THE NEW
YORK MERCANTILE EXCHANGE PRICES HAD OPENED HIGHER ON THE STRENGTH OF GAS
OIL DEMAND IN EUROPE AND THE US GULF COAST SPOT MARKET FOR GASOLINE BUT
FELL ON SELLING LED BY PRODUCERS AND REFINERS THEN LATE IN THE SESSION A
SECOND SELLING SPREE PUSHED ENERGY PRICES EVEN LOWER FOR THE DAY EXCEPT FOR
NATURAL GAS VOLUME WAS MODERATE AS JUNE CRUDE OIL LOST 18 CENTS A BARREL
TO FINISH AT 2039 ENERGYRELATED NEWS LENT LITTLE DIRECTION TO THE
MARKET EVEN REPORTS THAT SAUDI ARABIA HAS TOLD SOME OF ITS CUSTOMERS TO
EXPECT A JUNE PRICE CUT GENERALLY HAD NO IMMEDIATE IMPACT JUNE GASOLINE
FELL TO 6159 CENTS A GALLON DOWN 022 CENT HEATING OIL WAS OFF 03 CENT A
GALLON TO 5558 CENTS MEANWHILE NATURAL GAS FOR JUNE DELIVERY BENEFITED
FROM A LATE TURNAROUND AND ADDED 28 CENTS TO CLOSE AT 2317 PER MILLION
BRITISH THERMAL UNITS

LUMBER LUMBER FUTURES PRICES SANK SHARPLY AS LUMBERYARDS AND WHOLESALERS
CONTINUED TO SELL OFF EXCESS INVENTORIES OF WOOD ANALYSTS SAID MANY LUMBER
SUPPLIERS BUILT UP LARGE INVENTORIES DURING THE UNPRECEDENTED BULL MARKET
THAT TOOK PLACE EARLIER THIS YEAR SAID WILLIAM O'NEILL CHIEF FUTURES
STRATEGIST FOR MERRILL LYNCH NOW THE SUPPLIERS ARE SELLING THEIR LUMBER
PUSHING DOWN PRICES ON THE CASH MARKET WHICH IN TURN PRESSURES FUTURES
PRICES LOWER EVEN REASONABLY STRONG DEMAND FOR LUMBER ISN'T HELPING TO HOLD
PRICES AT CURRENT LEVELS WE SHOULD SEE SOME IMPROVEMENT OF PRICES WITHIN A
FEW WEEKS BUT WE'RE LIKELY TO GO A LITTLE BIT LOWER FIRST MR O'NEILL
SAID AT THE CHICAGO MERCANTILE EXCHANGE LUMBER FOR MAY DELIVERY SANK
1590 TO 310 A THOUSAND BOARD FEET 9305050047 930505 BUSINESS BRIEF 
PACIFICORP BETTER WEATHER CONTRIBUTES TO 1STPERIOD RETURN TO NET

PACIFICORP BOLSTERED BY A RETURN TO NEARLY NORMAL WEATHER IN THE PACIFIC
NORTHWEST REPORTED FIRSTQUARTER PROFIT OF 1165 MILLION OR 39 CENTS A
SHARE

IN THE YEAREARLIER QUARTER THE PORTLAND ORE COMPANY HAD A LOSS OF
1795 MILLION OR 71 CENTS A SHARE AFTER 277 MILLION OF CHARGES STEMMING
MAINLY FROM WRITEDOWNS OF VARIOUS OIL GAS AND FINANCIAL SERVICES ASSETS

WE'VE HAD ABOUT FOUR YEARS OF SIGNIFICANT NEGATIVE WEATHER IMPACTS SAID
AM GLEASON PRESIDENT AND CHIEF EXECUTIVE OFFICER COOLER DRIER WEATHER
AND GOOD EXPENSE CONTROLS MAINLY ACCOUNTED FOR THE MARKED IMPROVEMENT IN
THE LATEST QUARTER HE SAID

EARNINGS INCLUDED A 4 MILLION BENEFIT EQUAL TO ONE CENT A SHARE FOR THE
CUMULATIVE EFFECT OF A CHANGE IN ACCOUNTING FOR INCOME TAXES REVENUE ROSE
11 TO 8623 MILLION PACIFICORP IS A DIVERSIFIED UTILITY COMPANY WITH
OPERATIONS IN TELECOMMUNICATIONS AND FINANCIAL SERVICES 9305050046 930505
MCALEER RESIGNS POSTS AT VENTURA COUNTY NATIONAL BANCORP UNIT

OXNARD CALIF WILLIAM E MCALEER RESIGNED AS PRESIDENT CHIEF EXECUTIVE
OFFICER AND A DIRECTOR OF BOTH VENTURA COUNTY NATIONAL BANCORP AND ITS
VENTURA COUNTY NATIONAL BANK UNIT

MR MCALEER 54 YEARS OLD SAID HE RESIGNED AFTER CLASHING WITH THE BOARD
OVER THE COMPANY'S DIRECTION THE REGULATORY PRESSURES DUE TO THE
CALIFORNIA ECONOMY HAVE TENDED TO STRAIN THE MANAGEMENTBOARD RELATIONSHIP
HE SAID

JAMES HUSSEY CHAIRMAN SAID THE BOARD WILL CONDUCT A SEARCH FOR A NEW CHIEF
EXECUTIVE THE BOARDS OF THE PARENT COMPANY AND THE BANK WILL MANAGE THE
COMPANY'S OPERATIONS IN THE INTERIM

ON MONDAY THE COMPANY REVISED ITS FIRSTQUARTER EARNINGS SAYING IT HAD A
LOSS OF 16 MILLION OR 28 CENTS A SHARE IT PREVIOUSLY REPORTED NET INCOME
OF 518000 OR 9 CENTS A SHARE VENTURA SAID IT PLANS A REVIEW OF THE
CIRCUMSTANCES WHICH HAVE RESULTED IN ITS MOVE TO ADD 33 MILLION TO ITS
LOANLOSS RESERVES MR MCALEER SAID THE ANNOUNCEMENT WAS UNRELATED TO HIS
DECISION TO STEP DOWN 9305050045 930505 BUSINESS BRIEF MBIA INC 
FIRSTQUARTER NET ROSE 68 FOR MUNICIPALBOND INSURER

MBIA INC POSTED RECORD FIRSTQUARTER EARNINGS UP 68 FROM A YEAR AGO AS
THE VOLUME OF INSURED NEWISSUE AND REFINANCED MUNICIPAL BONDS CONTINUED TO
CLIMB

MBIA'S SHARES SURGED YESTERDAY AFTER THE EARNINGS ANNOUNCEMENT CLOSING UP
1875 TO 6325 IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING

THE ARMONK NY INSURER OF MUNICIPAL BONDS AND ASSETBACKED SECURITIES
EARNED 727 MILLION OR 171 A SHARE COMPARED WITH 432 MILLION OR
109 A SHARE A YEAR EARLIER THE RECENT QUARTER INCLUDED A NET GAIN OF
129 MILLION FOR THE CUMULATIVE EFFECT OF ACCOUNTING CHANGES FOR RETIREE
HEALTH BENEFITS AND INCOME TAXES EXCLUDING THE GAIN EARNINGS ROSE 38 TO
597 MILLION OR 141 A SHARE

DAVID H ELLIOTT PRESIDENT AND CHIEF EXECUTIVE OFFICER SAID THE RESULTS
WERE BOOSTED BY INCREASED REFUNDINGS OF EXISTING DEBT BY MUNICIPAL ISSUERS
CORE OPERATING PROFIT FROM NEW UNDERWRITING ACTIVITY ROSE 20 HE SAID

NEWISSUE VOLUME OF MUNICIPAL BONDS IN THE US ROSE TO A FIRSTQUARTER
RECORD OF 649 BILLION A 30 INCREASE OVER THE YEARAGO QUARTER INSURED
ISSUES REPRESENTED 37 OF THE TOTAL UP FROM 29 MBIA IS THE LEADING
MUNICIPALBOND INSURER ACCOUNTING FOR ABOUT 40 OF THE TOTAL OF INSURED
ISSUES ACCORDING TO THE BOND BUYER A TRADE PUBLICATION 9305050044
930505 BUSINESS BRIEF MCCAW CELLULAR COMMUNICATIONS WAY CLEARED FOR
TRIAL OF SUIT ALLEGING BREACH OF CONTRACT

A FEDERAL JUDGE CLEARED THE WAY FOR FORMER SHAREHOLDERS OF CHARISMA
COMMUNICATIONS CORP TO PROCEED TO TRIAL WITH A BREACHOFCONTRACT LAWSUIT
AGAINST MCCAW CELLULAR COMMUNICATIONS INC KIRKLAND WASH

THE CLASSACTION SUIT FILED IN 1990 IN A FEDERAL COURT IN WASHINGTON DC
SEEKS MORE THAN 200 MILLION IN POTENTIAL RECOVERIES STEMMING FROM MCCAW'S
SALE OF CELLULARTELEPHONE INTERESTS TO CONTEL CELLULAR INC A UNIT OF GTE
CORP STAMFORD CONN MCCAW HAD PURCHASED THE INTERESTS FROM CHARISMA AND
ANOTHER COMPANY

CHARISMA HAD ABOUT 120 SHAREHOLDERS WHEN IT DISSOLVED IN 1986 FOLLOWING ITS
ASSET SALE TO MCCAW IN DENYING MCCAW'S MOTION FOR SUMMARY JUDGEMENT JUDGE
HAROLD GREENE RENOWNED FOR BREAKING UP AMERICAN TELEPHONE & TELEGRAPH CO
PERMITTED PLAINTIFFS TO PLEAD THEIR CASE BEFORE A JURY

A MCCAW SPOKESMAN SAID WE WILL DEFEND OURSELVES AGGRESSIVELY
9305050043 930505 BUSINESS BRIEF ABN AMRO BANK NV EUROPEAN
AMERICAN BANK POSTS 1STPERIOD PROFIT RISE

EUROPEAN AMERICAN BANK A UNIT OF ABN AMRO BANK NV OF THE NETHERLANDS
REPORTED A 19 INCREASE IN FIRSTQUARTER EARNINGS

THE UNIONDALE NY BANK WHICH SERVES THE NEW YORK AND LONG ISLAND AREA
REPORTED A PROFIT OF 111 MILLION COMPARED WITH 94 MILLION A YEAR AGO
THE BETTER EARNINGS WERE PRIMARILY DUE TO INCREASED NET INTEREST INCOME AND
A LOWER LOANLOSS PROVISION AT THE SAME TIME THE IMPROVEMENT CAME DESPITE
A SUBSTANTIAL CHARGE WHICH THE BANK DIDN'T SPECIFY THAT IT TOOK AGAINST
OBLIGATIONS OF SUBSIDIARIES OF TOWERS FINANCIAL CORP THE TROUBLED
DEBTCOLLECTION CONCERN

EDWARD TRAVAGLIANTI EUROPEAN AMERICAN PRESIDENT AND CHIEF EXECUTIVE SAID
THE EARNINGS IMPROVEMENT WAS DUE TO THE SOUNDNESS OF OUR STRATEGY IN
CONCENTRATING ON SMALL AND MIDDLE MARKET BUSINESS AND CONSUMERS THE
STRATEGY HAS WORKED DESPITE THE CONTINUING SOMEWHAT SLUGGISH LOCAL
ECONOMY

TOTAL ASSETS STOOD AT 562 BILLION AT MARCH 31 COMPARED WITH 475 BILLION
A YEAR AGO NONPERFORMING ASSETS FELL TO 506 MILLION FROM 544 MILLION
9305050042 930505 MARKETING & MEDIA ADVERTISING LOTUS TAKES SOME
DIRECT SWIPES AT GIANT MICROSOFT IN BLUNT ADS  BY KEVIN GOLDMAN

WHEN IT COMES TO DOMINATING A MARKET FEW COMPANIES ARE MORE POWERFUL IN
THEIR OWN REALM THAN MICROSOFT MOST RIVALS ARE WISELY WARY OF MESSING WITH
THE COMPANY GIVEN THE TIGHT GRIP IT HOLDS ON KEY PARTS OF THE COMPUTER
SOFTWARE MARKET

MICROSOFT IS MORE THAN THREE TIMES THE SIZE OF ITS ONETIME ARCHRIVAL LOTUS
DEVELOPMENT YET LOTUS HAS BEEN WAGING AN AD CAMPAIGN THAT RUDELY AND
MOCKINGLY CHALLENGES THE BEHEMOTH FOUNDED BY WUNDERKIND BILL GATES THAT HAS
LED MICROSOFT TO CALL OUT THE LAWYERS MUCH TO THE DELIGHT OF LOTUS WHICH
IS CONTINUING THE BLUNT ATTACK

LAST MONTH LOTUS'S AD AGENCY HILL HOLLIDAY CONNORS COSMOPULOS PLACED
FULLPAGE ADS IN THE WALL STREET JOURNAL AND COMPUTER TRADE PUBLICATIONS
THAT ESSENTIALLY LIKENED MICROSOFT AND CHAIRMAN GATES TO THE TALE OF THE
EMPEROR'S NEW CLOTHES

WE'VE HEARD THAT SOMEONE ACTUALLY PAID FOR MICROSOFT EMAIL IT WASN'T YOU
WAS IT THE LOTUS HEADLINE ASKS IN A REFERENCE TO MICROSOFT'S SALES PITCH
GIVING AWAY OR DISCOUNTING ITS ELECTRONICMAIL SOFTWARE THE BROADSIDE GOES
ON TO ARGUE THAT THE SUPPORT COSTS OF USING THE MICROSOFT PRODUCT ARE HIGH
AND INVITES READERS TO AHEM FEAR FOR THEIR OWN BEHINDS CONSIDER YOUR
FREE' EMAIL'S BACK END A SUBHEADLINE WARNS THEN CONSIDER YOURS

THE AD IS ILLUSTRATED WITH AN EMPEROR PARADING IN FRONT OF HIS SUBJECTS SANS
CLOTHES BUT HE DOESN'T HAVE ANYTHING ON CRIES ONE SHOCKED YOUNGSTER WE
WANTED TO INTRODUCE ADS THAT WOULD CHALLENGE MICROSOFT SAYS FRANK INGARI
LOTUS'S VICE PRESIDENT OF MARKETING WE WERE LETTING A LOT OF THINGS GO
UNCHALLENGED

LAST YEAR LIKEWISE MICROSOFT ITSELF TOOK OUT RATHER POINTED ADS TAKING AIM
AT LOTUS 123 THE LONGTIME INDUSTRYSTANDARD SPREADSHEET PROGRAM THAT HAS
ALWAYS BEEN LOTUS'S MAINSTAY PUSHING MICROSOFT'S RIVAL EXCEL PROGRAM THE
AD USED THE HEADLINE SAYING BON VOYAGE TO YOUR OLD SPREADSHEET IS EASIER
THAN YOU THINK

LOTUS LET THAT ONE PASS BUT MICROSOFT SEEN BY SOME IN THE INDUSTRY AS
STRIKINGLY THINSKINNED FOR SUCH A MARKET POWERHOUSE DIDN'T FIND THE LATEST
LOTUS ADS AT ALL AMUSING ITS LAWYERS FIRED OFF A LETTER DEMANDING THE ADS
BE STOPPED

THE RESPONSE FROM LOTUS A NEW ROUND OF ADS WILL APPEAR PERHAPS AS EARLY AS
THIS WEEK

A MICROSOFT SPOKESWOMAN SAYS THE REDMOND WASH COMPANY VIEWS THE LOTUS AD
AS INACCURATE AND MISLEADING IT'S AN INTERESTING TACTIC FROM A COMPANY
THAT WANTS TO POSITION ITSELF AS A LEADER SHE SAYS THEN TAKES A SWIPE
IT ISN'T A LEADERSHIP AD

LOTUS'S LAWYERS SENT A RESPONSE TO THE FOLKS AT MICROSOFT SAYING THE ADS
WOULD CONTINUE BECAUSE THE COMPANY DOESN'T BELIEVE THE CONTENTS ARE AT ALL
MISLEADING UNTRUE AND UNSUBSTANTIATED THE ADS ARE A CAREFULLY CRAFTED
CHALLENGE TO MICROSOFT SAYS A SENIOR EXECUTIVE AT HILL HOLLIDAY THEY
AREN'T EXPENSIVE MAILGRAMS TO BILL GATES HE STRESSES THEY ARE A WAY OF
BRINGING INFORMATION TO THE CONSUMER AND ALLOWING CUSTOMERS TO MAKE THE
FINAL DECISION WHEN MAKING A PURCHASE

ALL OF WHICH MAKES FOR A RATHER SHARP SPAT BETWEEN TWO MISMATCHED OPPONENTS
LOTUS'S SALES LAST YEAR BARELY TOPPED 900 MILLION WHILE MICROSOFT'S
REVENUES ARE APPROACHING THE 3 BILLIONAYEAR MARK IN THE EARLY 1980S A
LONGAGO ERA BY HIGHTECH STANDARDS LOTUS WAS THE LEADER OF THE NASCENT
INDUSTRY FOR PERSONALCOMPUTER SOFTWARE BUT MICROSOFT EXPLODED A FEW YEARS
LATER AND NOW FAR ECLIPSES LOTUS IN SIZE INFLUENCE AND MARKET VALUE

COMPUTER ADS CAN TEND TO GET EVEN MORE COMBATIVE THAN SPOTS PROMOTING
DIAPERS OR SODA BECAUSE CONSUMERS IN THIS MARKET ARE SO EDUCATED AND HAVE
SO MUCH INFORMATION AT THEIR FINGERTIPS SAYS DAN MCCARTHY EDITOR OF THE
BIWEEKLY COMPUTER PUBLISHING & ADVERTISING REPORT IN WILTON CONN
ADVERTISERS HAVE TO BE BRUTALLY HONEST ABOUT WHO THEY ARE AND WHO THEY
COMPETE WITH HE SAYS

MICROSOFT AND LOTUS AREN'T ALONE IN THE RING DELL COMPUTER A
PERSONALCOMPUTER MAKER RECENTLY PLACED ADS IN NEWSPAPERS PUSHING ITS
HARDWARE ONE AD NOTES THE PC GEAR SELLS FOR 999 NO IT'S NOT A TYPO
SORRY COMPAQ A LIGHTHANDED SLAM TO ONE OF ITS RIVALS

STILL LOTUS SEEMS TO BE SETTING A NEW TONE IN THE PC AD MARKET THE
CAMBRIDGE MASS COMPANY BEGAN A SERIES OF SOCALLED HYPE/FACT ADS LAST
YEAR IN INFOWORLD PC WEEK AND OTHER COMPUTER TRADES ONE TWOPAGE
EXECUTION PUSHED ITS GRAPHIC CAPABILITY YOU WON'T FIND AN EASIER WAY TO
CREATE A PRESENTATION IT SAID ON THE LEFTHAND PAGE THEN ADDED ON THE
OPPOSITE SIDE OR BETTER EVIDENCE TO PROVE IT CITING A LITANY OF FEATURES
IT HAS AND THE MICROSOFT PRODUCT LACKS

EVEN LOTUS OFFICIALS ADMIT THEY MUST BE CAREFUL TO AVOID GETTING TOO NASTY
THERE IS SUCH A POINT CONCEDES LOTUS'S MR INGARI BUT THESE ADS ARE
FOCUSED TO OUR CUSTOMERS AND THEIR NEEDS

THE LOTUS ADS AREN'T MEAN SPIRITED SAYS JEFF BILLIG A HILL HOLLIDAY
SENIOR VICE PRESIDENT IN FACT WE'RE GETTING A LOT OF NODS FROM CONSUMERS
WHO UNDERSTAND WHAT WE'RE TRYING TO DO MR BILLIG IS GIVEN THE CREDIT FOR
WRITING THE BULK OF THE COPY IN MOCKING MICROSOFT BUT MICROSOFT INSIDERS
BELIEVE THE ATTACKS WERE REALLY PENNED BY LOTUS CHIEF EXECUTIVE OFFICER JIM
MANZI NEITHER MR MANZI NOR A LOTUS SPOKESMAN COULD BE REACHED FOR COMMENT
ON THAT NOTION

THERE WAS A THOUGHT THAT A CEASEFIRE MIGHT BE CALLED WHEN EARLIER THIS
WEEK MICROSOFT SAID IT WOULD ADJUST SOME OF ITS PROGRAMS TO MAKE THEM WORK
BETTER WITH A NEW VERSION OF A LOTUS PROGRAM CALLED NOTES BUT ANY NOTION OF
A TRUCE CAN BE THROWN WELL OUT THE WINDOW SAY LOTUS EXECUTIVES

PROMISES LOTUS'S MR INGARI WE'RE GOING TO CONTINUE TO BE CHALLENGING AND
COMBATIVE

MILLER BREWING A UNIT OF PHILIP MORRIS COS SAID IT IS TESTING TWO NEW
COMMERCIALS FOR MILLER LITE THAT COMPLETELY IGNORE THE C'MON LET ME SHOW
YOU WHERE IT'S AT JINGLE AND THE IT'S IT AND THAT'S THAT CAMPAIGN THAT
HAS BEEN EVOLVING FOR ALMOST TWO YEARS

THE TWO NEW SPOTS FROM AGENCY LEO BURNETT CO CHICAGO ARE A RETURN TO
HUMOR FOR THE BRAND IN ONE A HUSBAND AND WIFE IN THEIR LIVINGROOM CAN'T
DECIDE WHETHER TO WATCH A DOG SHOW HER CHOICE OR A DRAG RACE HIS THE
HUSBAND BANGS THE TELEVISION WITH A BOTTLE OF MILLER LITE JARRING IT INTO A
BROADCAST OF THE WEINER DOG WINTER NATIONALS A DRAG RACE OF DACHSHUNDS
THAT MAKES BOTH COUCH POTATOES HAPPY THEN COMES THE NEW TAGLINE CAN YOUR
BEER DO THIS

THE SPOTS BEGAN AIRING MONDAY NIGHT IN CORPUS CHRISTI TEXAS MILWAUKEE
WISC AND DENVER

A SPOKESMAN SAID THE SPOTS ARE A HUMOROUS WAY TO ASK CONSUMERS WHETHER THEIR
CURRENT BEER COMBINES THE TASTES GREAT AND LESS FILLING ATTRIBUTES THAT
MILLER LITE CONSIDERS TO BE KEY TO ITS BEST BEER STRATEGY MILLER LITE
HAMMERED AWAY AT THAT MESSAGE FOR YEARS WITH ADS STARRING FADED JOCKS IN A
LONGLIVED CAMPAIGN UNDER THE PREVIOUS MILLER LITE AGENCY SAATCHI & SAATCHI
CO'S BACKER SPIELVOGEL BATES

TWENTIETH CENTURY FOX FILM A UNIT OF NEWS CORP IS EXPECTED TO NAME THE
LOS ANGELES OFFICE OF OMNICOM GROUP'S BBDO TO HANDLE MUCH OF ITS
MEDIABUYING DUTIES AN ASSIGNMENT WITH ESTIMATED BILLINGS OF 50 MILLION
INDUSTRY EXECUTIVES SAID A FOX SPOKESWOMAN DECLINED TO COMMENT

BBDO'S WIN INCLUDES THE SPOT TV PORTION OF THE ACCOUNT PREVIOUSLY AT YOUNG
& RUBICAM NEW YORK THE STUDIO IS EXPECTED TO CONTINUE HANDLING THE NETWORK
TV PORTION OF ITS MEDIA IN HOUSE BBDO BESTED A FIELD OF AGENCY COMPETITORS
THAT EXECUTIVES BELIEVE HAD INCLUDED WELLS RICH GREENE BDDP NEW YORK RUBIN
POSTAER & ASSOCIATES SANTA MONICA CALIF AND CHIAT/DAY VENICE CALIF AS
WELL AS SEVERAL MEDIA SERVICES

SAATCHI & SAATCHI CO THE LONDON AGENCY HOLDING COMPANY SAID IT IS SELLING
THREE MERCHANDISEDISPLAY COMPANIES KNOWN AS THE HOWARD MARLBORO GROUP TO
MARKITSTAR INC NEW YORK IN A DEAL VALUED AT ABOUT 17 MILLION

IN EXCHANGE FOR MARLBORO MARKETING INC NEW YORK CREATIVE DISPLAYS INC
CHICAGO AND HMG EUROPE BV OF THE NETHERLANDS SAATCHI WILL RECEIVE 33
MILLION IN CASH AND 115 MILLION IN THE FORM OF AN INTERESTBEARING NOTE
IN ADDITION SAATCHI RECEIVES 490000 SHARES IN MARKITSTAR OR 111 OF THE
COMPANY MARKITSTAR SHARES CLOSED UNCHANGED YESTERDAY IN OVERTHECOUNTER
TRADING AT 4375 THE DEAL IS EXPECTED TO BE FINALIZED IN AUGUST

SAATCHI ACQUIRED THE HOWARD MARLBORO GROUP IN 1985 IT REPORTED THAT THE
UNITS HAD 1992 REVENUE OF 371 MILLION 581 MILLION WITH PRETAX PROFITS
OF 500000 782275

MICHAEL WAHL CHIEF EXECUTIVE OF THE HOWARD MARLBORO GROUP WILL BE CHAIRMAN
OF THE COMPANIES UNDER THEIR NEW CORPORATE PARENT SAID ANDREW WAHL WHO IS
CHAIRMAN AND CHIEF EXECUTIVE OF MARKITSTAR AND ALSO THE SON OF MICHAEL WAHL
THE TWO MESSRS WAHL TOGETHER OWN ABOUT 30 OF MARKITSTAR ANDREW WAHL SAID

HOMESHOPPING MOVIES WARNER BROS SAID HOMESHOPPING CABLE CHANNEL QVC
NETWORK INC WILL SHOW SCENES FROM ITS JULY FAMILY MOVIE FREE WILLY AND
SELL FREE WILLY TSHIRTS POSTERS AND SOUNDTRACKS ONAIR THE TIME WARNER
INC UNIT IS THE LATEST STUDIO TO TARGET THE HOMESHOPPING AUDIENCE TO
PROMOTE MOVIES SONY CORP'S COLUMBIA PICTURES LAST YEAR STRUCK A SIMILAR
PROMOTION WITH QVC FOR ITS COMEDY MOVIE A LEAGUE OF THEIR OWN
9305050041 930505 BUSINESS BRIEF PNC BANK CORP BANK HOLDING FIRM TO
BUY UNITED FEDERAL BANCORP INC

PNC BANK CORP SAID IT SIGNED A DEFINITIVE AGREEMENT TO PURCHASE UNITED
FEDERAL BANCORP INC OF STATE COLLEGE PA FOR ABOUT 166 MILLION

PNC BANK SAID TERMS CALL FOR IT TO PAY 3250 IN CASH OR ONE SHARE OF PNC
BANK COMMON FOR EACH OF THE APPROXIMATELY 47 MILLION UNITED FEDERAL SHARES
OUTSTANDING UNITED FEDERAL ALSO HAS ABOUT 400000 OPTIONS OUTSTANDING
BRINGING THE TOTAL NUMBER OF SHARES TO 51 MILLION

THE PITTSBURGH BANK HOLDING COMPANY SAID UNITED FEDERAL'S BOARD WILL DECIDE
WHETHER TO RECEIVE PAYMENT OF STOCK OR CASH BEFORE THEY SUBMIT THE PACT FOR
SHAREHOLDER APPROVAL

PNC ALSO SAID UNITED FEDERAL GRANTED IT AN OPTION TO ACQUIRE AS MUCH AS
1999 OF UNITED FEDERAL'S COMMON STOCK A PNC SPOKESMAN DECLINED TO SAY
UNDER WHAT CONDITIONS THE OPTION COULD BE EXERCISED BUT HE SAID IT WAS
INTENDED AS A DISINCENTIVE TO OTHER POTENTIAL BIDDERS

UNITED FEDERAL WITH TOTAL ASSETS OF ABOUT 900 MILLION HAS 18 BRANCHES IN
CENTRAL PENNSYLVANIA PNC HAS ABOUT 51 BILLION IN ASSETS 9305050040
930505 MONEY RATES

THE KEY US AND FOREIGN ANNUAL INTEREST RATES BELOW ARE A GUIDE TO GENERAL
LEVELS BUT DON'T ALWAYS REPRESENT ACTUAL TRANSACTIONS

PRIME RATE 6 THE BASE RATE ON CORPORATE LOANS POSTED BY AT LEAST 75 OF
THE NATION'S 30 LARGEST BANKS

FEDERAL FUNDS 3 HIGH 2 7/8 LOW 2 7/8 NEAR CLOSING BID 2 15/16
OFFERED RESERVES TRADED AMONG COMMERCIAL BANKS FOR OVERNIGHT USE IN AMOUNTS
OF 1 MILLION OR MORE SOURCE PREBON YAMANE USA INC

DISCOUNT RATE 3 THE CHARGE ON LOANS TO DEPOSITORY INSTITUTIONS BY THE
FEDERAL RESERVE BANKS

CALL MONEY 5 THE CHARGE ON LOANS TO BROKERS ON STOCK EXCHANGE COLLATERAL
SOURCE TELERATE SYSTEMS INC

COMMERCIAL PAPER PLACED DIRECTLY BY GENERAL ELECTRIC CAPITAL CORP 303 30
TO 89 DAYS 304 90 TO 119 DAYS 306 120 TO 149 DAYS 307 150 TO 179
DAYS 308 180 TO 244 DAYS 315 245 TO 270 DAYS

COMMERCIAL PAPER HIGHGRADE UNSECURED NOTES SOLD THROUGH DEALERS BY MAJOR
CORPORATIONS 308 30 DAYS 310 60 DAYS 310 90 DAYS

CERTIFICATES OF DEPOSIT 259 ONE MONTH 263 TWO MONTHS 265 THREE
MONTHS 271 SIX MONTHS 293 ONE YEAR AVERAGE OF TOP RATES PAID BY MAJOR
NEW YORK BANKS ON PRIMARY NEW ISSUES OF NEGOTIABLE CDS USUALLY ON AMOUNTS
OF 1 MILLION AND MORE THE MINIMUM UNIT IS 100000 TYPICAL RATES IN THE
SECONDARY MARKET 301 ONE MONTH 303 THREE MONTHS 310 SIX MONTHS

BANKERS ACCEPTANCES 298 30 DAYS 298 60 DAYS 298 90 DAYS 299 120
DAYS 301 150 DAYS 303 180 DAYS NEGOTIABLE BANKBACKED BUSINESS
CREDIT INSTRUMENTS TYPICALLY FINANCING AN IMPORT ORDER

LONDON LATE EURODOLLARS 3 1/8 3 ONE MONTH 3 3/16 3 1/16 TWO
MONTHS 3 3/16 3 1/16 THREE MONTHS 3 1/4 3 1/8 FOUR MONTHS 3 1/4
 3 1/8 FIVE MONTHS 3 5/16 3 3/16 SIX MONTHS

LONDON INTERBANK OFFERED RATES LIBOR 3 1/8 ONE MONTH 3 3/16 THREE
MONTHS 3 5/16 SIX MONTHS 3 1/2 ONE YEAR THE AVERAGE OF INTERBANK
OFFERED RATES FOR DOLLAR DEPOSITS IN THE LONDON MARKET BASED ON QUOTATIONS
AT FIVE MAJOR BANKS EFFECTIVE RATE FOR CONTRACTS ENTERED INTO TWO DAYS FROM
DATE APPEARING AT TOP OF THIS COLUMN

FOREIGN PRIME RATES CANADA 6 GERMANY 850 JAPAN 4 SWITZERLAND 750
BRITAIN 6 THESE RATE INDICATIONS AREN'T DIRECTLY COMPARABLE LENDING
PRACTICES VARY WIDELY BY LOCATION

TREASURY BILLS RESULTS OF THE MONDAY MAY 3 1993 AUCTION OF SHORTTERM
US GOVERNMENT BILLS SOLD AT A DISCOUNT FROM FACE VALUE IN UNITS OF
10000 TO 1 MILLION 288 13 WEEKS 298 26 WEEKS

FEDERAL HOME LOAN MORTGAGE CORP FREDDIE MAC POSTED YIELDS ON 30YEAR
MORTGAGE COMMITMENTS DELIVERY WITHIN 30 DAYS 717 60 DAYS 729 STANDARD
CONVENTIONAL FIXEDRATE MORTGAGES 4125 2 RATE CAPPED ONEYEAR
ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC

FEDERAL NATIONAL MORTGAGE ASSOCIATION FANNIE MAE POSTED YIELDS ON 30YEAR
MORTGAGE COMMITMENTS PRICED AT PAR FOR DELIVERY WITHIN 30 DAYS 716 60
DAYS 726 STANDARD CONVENTIONAL FIXEDRATE MORTGAGES 495 6/2 RATE
CAPPED ONEYEAR ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC

MERRILL LYNCH READY ASSETS TRUST 269 ANNUALIZED AVERAGE RATE OF RETURN
AFTER EXPENSES FOR THE PAST 30 DAYS NOT A FORECAST OF FUTURE RETURNS
9305050037 930504 QUARTERLY EARNINGS SURPRISES

COMPANIES LISTED BELOW REPORTED QUARTERLY PROFIT SUBSTANTIALLY DIFFERENT
FROM THE AVERAGE OF ANALYSTS' ESTIMATES THE COMPANIES ARE FOLLOWED BY AT
LEAST THREE ANALYSTS RESULTS IN PARENTHESES ARE LOSSES

THE PERCENT DIFFERENCE COMPARES ACTUAL PROFIT WITH THE 30DAY ESTIMATE WHERE
AT LEAST THREE ANALYSTS HAVE ISSUES FORECASTS IN THE PAST 30 DAYS
OTHERWISE ACTUAL PROFIT IS COMPARED WITH THE 120DAY ESTIMATE 9305050036
930505 ARTHUR ANDERSEN AGREES TO SETTLEMENT INVOLVING CONNECTICUT REAL
ESTATE FIRM

HARTFORD CONN ARTHUR ANDERSEN & CO AGREED TO PAY 35 MILLION TO
SETTLE CHARGES BY THE STATE OF CONNECTICUT THAT IT MISLED INVESTORS IN
COLONIAL REALTY CO AND HAD IMPROPER TIES WITH THE COLLAPSED REAL ESTATE
COMPANY

THE ACCOUNTING FIRM ALSO AGREED TO A TWOYEAR BAN ON CONSULTING FOR
REALESTATE SYNDICATION WORK IN THE STATE AND TO A ONEYEAR BAN ON ANY NEW
ACCOUNTING CONTRACTS WITH THE STATE OR ITS AGENCIES

CONNECTICUT ATTORNEY GENERAL RICHARD BLUMENTHAL CHARGED AMONG OTHER THINGS
THAT THE ACCOUNTING FIRM'S CONNECTICUT OFFICES CERTIFIED AS REASONABLE
FINANCIAL PROJECTIONS THAT WERE UNSUPPORTED FOR A HARTFORD OFFICE COMPLEX
DEVELOPED BY COLONIAL THE STATE CHARGED THE ANDERSEN PARTNERS KNEW OF THE
SHORTFALLS MONTHS BEFORE A 1990 OFFERING MEMORANDUM SELLING PARTNERSHIPS IN
THE PROJECT WAS MADE PUBLIC IT ALSO CHARGED CONNECTICUT PARTNERS OF THE
ACCOUNTING FIRM WITH UNUSUALLY COZY TIES TO THE REALTY COMPANY AND WITH
ACCEPTING GIFTS FROM COLONIAL WHICH WAS FORCED TO SEEK BANKRUPTCYLAW
PROTECTION IN 1990

ANDERSEN IN AGREEING TO THE SETTLEMENT DENIED ALL OF THE ALLEGATIONS
SAYING IT WAS DISAPPOINTED WITH THE FINDINGS OF A REPORT SUMMARIZING AN
INVESTIGATION INTO TIES BETWEEN THE FIRM'S CONNECTICUT OPERATIONS AND
COLONIAL ANDERSEN ALSO AGREED TO A NUMBER OF REMEDIAL MEASURES

THE PAYMENT INCLUDES 25 MILLION THAT ANDERSEN AGREED TO PAY THE STATE
WHICH IN TURN WILL BE PAID TO THOUSANDS OF COLONIAL INVESTORS THE AMOUNT
REPRESENTS THE FEES AND INTEREST THE ACCOUNTING FIRM EARNED FOR WORK ON 18
COLONIAL REALTY LIMITED PARTNERSHIPS DURING THE PAST SEVEN YEARS

ANDERSEN ALSO WILL PAY TO CONNECTICUT A 100000 CIVIL PENALTY AND 900000
TO COVER THE COSTS OF THE SETTLEMENT AND OF THE INVESTIGATION INTO
ANDERSEN'S RELATIONSHIP WITH COLONIAL

COLONIAL WAS THE LARGEST REAL ESTATE COMPANY IN CONNECTICUT BEFORE ITS
COLLAPSE ITS CHIEF FINANCIAL OFFICER FRANK SHUCH WAS INDICTED BY A
FEDERAL GRAND JURY ON FRAUD AND EMBEZZLEMENT CHARGES BUT LATER COMMITTED
SUICIDE THE FIRM'S COFOUNDERS JONATHAN GOOGEL AND BENJAMIN SISTI ARE THE
SUBJECTS OF A CRIMINAL INVESTIGATION BY FEDERAL AUTHORITIES AND A NUMBER OF
FEDERAL AGENCIES STATE OFFICIALS CONFIRMED ARTHUR ANDERSEN STILL FACES
LAWSUITS BY A NUMBER OF INVESTORS AND THE BANKRUPTCY TRUSTEE FOR COLONIAL
9305050035 930505 WHO'S NEWS AMERICAN TELEPHONE & TELEGRAPH CO

AMERICAN TELEPHONE & TELEGRAPH CO NEW YORK PAUL S GASS RESIGNED AS
PRESIDENT AND CHIEF OPERATING OFFICER OF THE AT&T CAPITAL CORP UNIT'S
LEASING SERVICES BUSINESS EFFECTIVE JUNE 1 MR GASS 55 YEARS OLD SAID HE
RESIGNED TO DEVOTE MORE TIME TO OTHER INTERESTS HE AGREED TO CONTINUE AS AN
ADVISER TO AT&T CAPITAL A SUCCESSOR HAS NOT BEEN NAMED THE LEASING
SERVICES BUSINESS IS BASED IN FRAMINGHAM MASS MR GASS FOUNDED EATON
FINANCIAL CORP AN OFFICE EQUIPMENT LEASING COMPANY THAT WAS ACQUIRED BY
AT&T IN 1989 9305050034 930505 TECHNOLOGY GLAXO LAWSUIT SEEKS TO
KEEP DRUG ON LIST FOR CALIFORNIA ACCESS

RESEARCH TRIANGLE PARK NC GLAXO INC ASKED A CALIFORNIA COURT TO
OVERRULE STATE MEDICAL OFFICIALS AND ALLOW MEDICAID PATIENTS TO CONTINUE
RECEIVING UNRESTRICTED ACCESS TO ITS ULCER DRUG ZANTAC

GLAXO IS THE US SUBSIDIARY OF BRITAIN'S GLAXO HOLDINGS PLC

IN JANUARY CALIFORNIA'S MEDICAID PROGRAM MEDICAL NOTIFIED GLAXO THAT
ZANTAC WOULD BE REMOVED FROM ITS LIST OF CONTRACT DRUGS WHEN THE CURRENT
CONTRACT EXPIRES JUNE 30 GLAXO WANTS THE COURT TO PROVIDE ACCESS WHILE IT
TRIES TO OPEN NEGOTIATIONS ON WHETHER THE MEDICINE WILL REMAIN ON THE
STATE'S LIST OF DRUGS THAT QUALIFY FOR COST REIMBURSEMENT TO PATIENTS

THE SUIT FILED IN CALIFORNIA SUPERIOR COURT IN SACRAMENTO CONTENDS THAT
STATE OFFICIALS FAILED TO NEGOTIATE WITH GLAXO AS REQUIRED BY STATE LAW AND
THAT THEY IMPROPERLY USED CERTAIN REGULATIONS IN DECIDING TO DELETE ZANTAC
FROM THE LIST OF QUALIFYING DRUGS 9305050033 930505 WHY GOVERNMENTS MAKE
BAD VENTURE CAPITALISTS  BY ALLAN H MELTZER

IT IS BY NOW FAIRLY OBVIOUS THAT THE CLINTON ADMINISTRATION AND SOME MEMBERS
OF CONGRESS WANT TO BE VENTURE CAPITALISTS THIS YEARNING SHOWS UP AS AN
INTEREST IN PROVIDING SEED MONEY FOR STARTUP COMPANIES AND IN AN
INDUSTRIAL POLICY THAT WILL SUPPOSEDLY DEVELOP NEW TECHNOLOGIES A CLINTON
TECHNOLOGY INITIATIVE FOR EXAMPLE CALLS FOR BILLIONS OF DOLLARS OF
GOVERNMENT MONEY TO BE GIVEN OVER TO DEVELOPING HIGHSPEED COMPUTER NETWORKS
AND NEXTGENERATION AUTOMOBILES

THIS STRANGE YEARNING FOR GOVERNMENT INVESTMENT SHOWS NO SIGNS OF LETTING
UP DESPITE THE DEFEAT OF THE PRESIDENT'S STIMULUS PACKAGE BUT BEFORE THE
CLINTONITES CHARGE AHEAD WITH THEIR INVESTMENT SCHEMES THEY SHOULD NOTE
THAT THE VENTURECAPITAL BUSINESS HAS NOT BEEN A ONEWAY STREET TO WEALTH

MANY STARTUPS ARE FAILURES RISKS ARE HIGH AND OUTSTANDING SUCCESSES ARE
RARE ON AVERAGE INVESTORS HAVE EARNED ABOUT 15 A YEAR FOR THE PAST 20
YEARS NOT MUCH BETTER THAN THE RETURNS ON TRADABLE COMMON STOCKS VENTURE
CAPITALISTS WITH YEARS OF EXPERIENCE CAN TALK FOR HOURS ABOUT COMPANIES THAT
LOOKED LIKE SURE WINNERS BUT FAILED OR COMPANIES THAT LOOKED LIKE MODEST
BETS BUT BECAME GREAT THOSE WHO TALK ABOUT THE GOVERNMENT PICKING WINNERS
SEEM OBLIVIOUS TO RISK AND UNAWARE OF WHAT VENTURECAPITAL INVESTING IN
FACT ANY INVESTING REQUIRES TO BE SUCCESSFUL

A SUCCESSFUL VENTURECAPITAL FIRM DOESN'T JUST PICK WINNERS AND WAIT TO
HARVEST THE RETURNS THIS IS A RECIPE FOR FAILURE A VENTURE CAPITALIST
MANAGES A PORTFOLIO OF COMPANIES CRITICAL FOR SUCCESS ARE DECISIONS ABOUT
WHERE TO PUT MONEY WHICH FIRMS TO CLOSE AND WHICH TO FOSTER

HERE GOVERNMENTS ARE AT A DISTINCT DISADVANTAGE GOVERNMENTS ESPECIALLY
OURS CONFUSE JOB CREATION WITH WEALTH CREATION IT IS HARD FOR THEM TO
CLOSE DOWN FIRMS THAT ARE NOT DOING WELL SUCH MONEYLOSING TENDENCIES ARE
REINFORCED BY CONGRESSIONAL REPRESENTATIVES MAYORS AND LOCAL CONSTITUENCIES
THAT LOBBY TO KEEP LOSERS OPEN HOPING FOR A BETTER FUTURE THE
THRIFTINDUSTRY DEBACLE SHOWS WHAT CAN HAPPEN UNDER SUCH PRESSURES

THE US COULD LEARN FROM THE EXPERIENCE OF OTHER COUNTRIES IN KOREA AND
MUCH OF LATIN AMERICA GOVERNMENTS HAVE ACTED AS VENTURE CAPITALISTS OFTEN
SUBSIDIZING LOANS TO FAVORED FIRMS AND BURYING THEIR LOSSES IN THE BANKING
SYSTEM PROF ALWYN YOUNG HAS COMPARED THE SINGAPORE GOVERNMENT'S POLICY OF
MANAGING INVESTMENT WITH THE FREEMARKET POLICY OF HONG KONG HIS ANALYSIS
SHOWS THAT GOVERNMENT DIRECTION IS INEFFICIENT SINGAPORE INVESTS MUCH MORE
BUT DOES NOT GET MORE GROWTH

WHY IN GENERAL IS GOVERNMENT LESS EFFICIENT ONE BIG REASON IS THAT
PRODUCTS AND COMPANIES DO NOT LEAP FROM THE DRAWING BOARD WITH WINNER OR
LOSER STAMPED ON THEIR BLUEPRINTS SOMEONE HAS TO DECIDE TO MAKE
ADDITIONAL INVESTMENTS IN COMPANIES THAT APPEAR TO HAVE GOOD PROSPECTS
THEREBY PUTTING MORE MONEY AT RISK OR TO SHUT DOWN COMPANIES THAT NO LONGER
APPEAR PROMISING GOVERNMENT IS MORE LIKELY TO DELAY CLOSING THE FAILURES
AND MORE LIKELY TO PUMP IN ADDITIONAL MONEY TO TRY TO COVER MISTAKES OR
MISJUDGMENTS THIS STRATEGY WILL PRODUCE LOWER AVERAGE RISKADJUSTED
RETURNS AND WILL PRODUCE SOME SPECTACULAR LOSSES

INDUSTRY ESTIMATES SUGGEST THAT INVESTMENT IN NEW FIRMS THAT SUCCEED IS
TYPICALLY FIVE TIMES LARGER THAN IN FIRMS THAT FAIL THIS RESULTS FROM
DECISIONS TO FEED THE SUCCESSES AND STARVE THE FAILURES BECAUSE OF THE HIGH
DEGREE OF UNCERTAINTY THERE WILL ALWAYS BE MISTAKES SOME OF THE FAILURES
MIGHT HAVE SUCCEEDED WITH MORE CAPITAL BUT OTHERS WOULD HAVE BEEN LARGER
FAILURES THE THRIFT INDUSTRY SUFFERED THE LATTER FATE WHERE POSTPONING
CLOSURES PROBABLY SAVED SOME VIABLE FIRMS BUT COST THE TAXPAYERS BILLIONS OF
DOLLARS

ONE OF THE DURABLE MYTHS IS THAT GOVERNMENT SUPPORT IS NEEDED BECAUSE THERE
IS NOT MUCH MONEY AVAILABLE FOR VENTURE CAPITAL THE OPPOSITE WAS MORE
NEARLY TRUE IN THE MIDDLE 1980S TOTAL VENTURE CAPITAL UNDER MANAGEMENT ROSE
FROM LESS THAN 6 BILLION IN 1981 TO 24 BILLION IN 1986 AND 36 BILLION IN
1990 THE SURGE IN VENTURECAPITAL INVESTMENT CAME FROM MANY SOURCES
INCLUDING PENSION FUNDS ENDOWMENTS CORPORATIONS AND INDIVIDUALS TOO MUCH
MONEY CHASED TOO FEW OPPORTUNITIES AND NEW INVESTORS EARNED MEAGER RETURNS

BY 1991 THE 17 VENTURECAPITAL FIRMS THAT BEGAN IN 1980 HAD EARNED AN
AVERAGE ANNUAL RETURN OF 16 WHILE THE 38 FIRMS THAT BEGAN IN 1986 EARNED
ONLY 22 FOR THE FIVE YEARS ENDING IN 1991 RETURNS TO ALL VENTURECAPITAL
FUNDS AVERAGED 77 FOR THE SAME PERIOD THE STANDARD & POOR'S 500 EARNED
11 INVESTORS SOLD OFF MANY OF THE COMPANIES NURTURED IN THE 1980S AND
WITHDREW PART OF THEIR MONEY TOTAL INVESTMENT IN THE INDUSTRY FELL TO 33
BILLION

ALTHOUGH THE LOW RETURNS OF RECENT YEARS ARE NOT DUE TO A SINGLE CAUSE THEY
DISCOURAGED INVESTMENT IN VENTURECAPITAL FUNDS THERE WERE BETTER
OPPORTUNITIES IN THE MORE LIQUID PUBLIC MARKETS THE ABSENCE OF
VENTURECAPITAL FUNDS DID NOT PREVENT INNOVATION HOWEVER NEW PRODUCTS OF
MANY KINDS CAME FROM LARGE AND SMALL COMPANIES INCLUDING MERCK SMITHKLINE
MICROSOFT AND INTEL

AS THESE NAMES SUGGEST IT IS A MISTAKE TO BELIEVE THAT INNOVATION IS DONE
EXCLUSIVELY BY SMALL UNKNOWN COMPANIES IT IS NO LESS A MISTAKE TO ACCEPT
THE MARXIST FALLACY ON WHICH MUCH OF THE CASE FOR SUBSIDIES TO NEW
TECHNOLOGIES RESTS THAT ECONOMIC PROGRESS DEPENDS ON THE LEADING SECTOR
OR THAT INVESTMENT IN NEW TECHNOLOGIES IS ESSENTIAL FOR HIGHER LIVING
STANDARDS INNOVATION IN PRODUCT DESIGN AND IN PROCESSES OCCURS IN OLD AND
NEW INDUSTRIES AS JAPANESE IMPROVEMENTS IN AUTOMOBILE PRODUCTION AND DESIGN
ATTEST

INVESTMENT DECISIONS ARE TOO RISKY AND TOO IMPORTANT TO BE MANAGED OR
MISALLOCATED BY GOVERNMENT THE GOVERNMENT SHOULD LEAVE VENTURE CAPITAL TO
THE VENTURE CAPITALISTS

MR MELTZER IS A PROFESSOR AT CARNEGIE MELLON UNIVERSITY AND A VISITING
SCHOLAR AT THE AMERICAN ENTERPRISE INSTITUTE 9305050032 930505 BUSINESS
BRIEF ENRON CORP HOUSTON COMPANY EXPECTS RISE OF 20 IN 1993
EARNINGS

ENRON CORP SAID IT EXPECTS ITS 1993 EARNINGS TO INCREASE ABOUT 20 FROM ITS
1992 EARNINGS TO APPROXIMATELY 310 A SHARE FROM 258 A YEAR AGO

BASED IN HOUSTON ENRON IS A NATURAL GAS COMPANY WITH 11 BILLION IN ASSETS

CHAIRMAN AND CHIEF EXECUTIVE KENNETH L LAY TOLD STOCKHOLDERS THAT IT IS
CURRENTLY REASONABLE TO EXPECT BETTER EARNINGS BECAUSE CURRENT AND FUTURE
NATURAL GAS PRICES ARE HIGHER THAN THE AMOUNT FORECAST IN ENRON'S OPERATING
PLAN

AS A RESULT OF THE POTENTIALLY BETTER SHARE PRICE MR LAY SAID ENRON IS
CONSIDERING A 2FOR1 STOCK SPLIT LATER THIS YEAR THE COMPANY SAID
SHAREHOLDERS APPROVED AN INCREASE IN THE NUMBER OF AUTHORIZED SHARES BUT
THE BOOST IS CONTINGENT ON THE STOCK'S SPLITTING BEFORE 1995

SHAREHOLDERS APPROVED AN INCREASE TO 600 MILLION SHARES FROM THE CURRENT 300
MILLION IF ENRON DECLARES A 2FOR1 STOCK SPLIT BEFORE 1995 OR 500 MILLION
IF A 3FOR2 SPLIT IS DECLARED 9305050031 930505 HEILIGMEYERS APRIL
SALES ROSE

RICHMOND VA HOME FURNISHINGS RETAILER HEILIGMEYERS CO SAID NET SALES
FOR APRIL INCREASED 31 TO 562 MILLION SAMESTORE SALES ROSE 15

NET SALES FOR THE TWO MONTHS ENDING APRIL 30 INCREASED 27 TO 1088
MILLION WHILE SAMESTORE SALES ROSE 12

HEILIGMEYERS OPERATES 434 STORES IN 16 STATES 9305050030 930505 WHO'S
NEWS ANNE KLEIN TRYING TO REVIVE ITS IMAGE REPLACES DESIGNER 
 APPAREL CONCERN PICKS TYLER POPULAR LOS ANGELES TALENT TO HELP
ATTRACT NEW BUYERS  BY TERI AGINS STAFF REPORTER OF THE WALL
STREET JOURNAL

NEW YORK ANNE KLEIN & CO REPLACED ITS DESIGNER OF 18 YEARS LOUIS
DELL'OLIO WITH POPULAR LOS ANGELESBASED DESIGNER RICHARD TYLER AIMING TO
REVIVE A FLAGGING IMAGE AT A TIME OF INTENSE COMPETITION IN THE SHRINKING
MARKET FOR EXPENSIVE APPAREL

TAKIHYO LTD A JAPANESEBASED INVESTMENT COMPANY THAT HAS CONTROLLED THE
VENERABLE SEVENTH AVENUE FASHION HOUSE SINCE 1973 CHARACTERIZED THE CHANGE
AS A MUTUAL DECISION MR DELL'OLIO SAID HE RECENTLY HAD INDICATED THAT HE
WAS READY TO PURSUE DESIGNING AND LICENSING VENTURES UNDER HIS OWN LABEL
BUT RETAILERS AND INDUSTRY SOURCES READ MORE INTRIGUE INTO THE MOVE

MR TYLER 44 YEARS OLD IS AN AUSTRALIANBORN DESIGNER WHOSE RECENT
COLLECTIONS HAVE GENERATED A BUZZ AMONG RETAILERS AND THE FASHION PRESS AT
ANNE KLEIN WHICH CLAIMS ITS WOMENSWEAR AND 15 LICENSED PRODUCTS GENERATE
ABOUT 400 MILLION IN WHOLESALE REVENUE ANNUALLY THE 44YEAR OLD MR
DELL'OLIO DESIGNED THE COMPANY'S TOPTIER ANNE KLEIN COLLECTION WHICH HAS
BEEN LOSING GROUND THE COLLECTION SERVES AS THE UMBRELLA IMAGE FOR LOWER
PRICED LABELS WHICH INCLUDE ANNE KLEIN II AND A LINE

IN RECENT YEARS MORE RETAILERS HAVE BEEN PARING THEIR SELECTION OF
EXPENSIVE DESIGNER COLLECTIONS GIVING THE MOST SPACE TO
PUBLICITYGENERATING TOPSELLERS SUCH AS ESCADA GIORGIO ARMANI DONNA
KARAN AND CALVIN KLEIN

THE DEDICATED ANNE KLEIN CUSTOMER IS GETTING OLDER AND SHE ISN'T BEING
REPLACED OBSERVES ALAN MILLSTEIN A RETAIL INDUSTRY CONSULTANT WITH
TYLER THEY HOPE THAT THE HYPE AND FRESH DESIGN TALENT WILL GIVE THEM
ANOTHER SHOT AT THE RING

THE HIRING OF MR TYLER IS A BOLD GUTSY MOVE AND A POSITIVE DECISION FOR
ANNE KLEIN OBSERVED RON FRASCH SENIOR VICE PRESIDENT OF NEIMAN MARCUS A
RETAILER BASED IN DALLAS

MR TYLER SAID HE WILL CONTINUE TO RUN HIS OWN FIVEYEAROLD DESIGN
BUSINESS TYLERTRAFFICANTE INC WHICH HAS A FOLLOWING AMONG HOLLYWOOD
ACTRESSES WHO INCLUDE JULIA ROBERTS AND ANGELICA HOUSTON TAKIHYO WHICH
SPUN OFF ANNE KLEIN'S OTHER DESIGNER DONNA KARAN INTO HER OWN BUSINESS IN
1984 SAID IT WILL CONSIDER INVESTING IN MR DELL'OLIO'S FUTURE VENTURES
9305050029 930505 BUSINESS BRIEF ESTERLINE TECHNOLOGIES CORP FIRM
TO POST BIG DECLINE IN ITS 2NDQUARTER RESULTS

ESTERLINE TECHNOLOGIES CORP SAID IT EXPECTS TO REPORT SIGNIFICANTLY LOWER
FISCAL SECONDQUARTER RESULTS THAN A YEAR AGO

THE BELLEVUE WASH MAKER OF AUTOMATION EQUIPMENT FOR THE AEROSPACE
INDUSTRY DID NOT RELEASE SPECIFICS FOR THE PERIOD ENDED APRIL 30 BUT ZACKS
INVESTMENT RESEARCH INC HAD FORECAST MEAN EARNINGS OF 17 CENTS A SHARE

WENDELL P HURLBUT ESTERLINE CHIEF EXECUTIVE OFFICER SAID THE AEROSPACE
AND DEFENSE SEGMENTS OF ITS BUSINESS HAD DECLINED MORE RAPIDLY THAN EXPECTED
AND THAT SALES AND EARNINGS WERE CONSIDERABLY BELOW OUR OUTLOOK

IN THE PERIOD A YEAR EARLIER ESTERLINE EARNED 1 MILLION OR 15 CENTS A
SHARE ON SALES OF 77 MILLION

ESTERLINE STOCK WAS QUOTED AT 8875 A SHARE DOWN 1 IN LATE TRADING ON
THE NEW YORK STOCK EXCHANGE 9305050028 930505 WHO'S NEWS SHELBY
WILLIAMS INDUSTRIES INC

SHELBY WILLIAMS INDUSTRIES INC CHICAGO TRISHA WILSON PRESIDENT OF
TRISHA WILSON & ASSOCIATES INC WAS NAMED A DIRECTOR OF THIS MAKER OF
CONTRACT SEATING FOR THE RESTAURANT LODGING HEALTH CARE UNIVERSITY AND
HOTEL MARKETS INCREASING BOARD MEMBERSHIP TO EIGHT 9305050027 930505
BUSINESS BRIEF FDIC PLANS EASIER BANKAUDIT RULES

WASHINGTON THE FEDERAL DEPOSIT INSURANCE CORP BACKED AWAY FROM PROPOSING
NEW AUDIT REGULATIONS FOR BANKS IN FAVOR OF MORE FLEXIBLE GUIDELINES THAT
SHOULD REDUCE POTENTIAL LEGAL LIABILITY OF BANKS AND THEIR ACCOUNTANTS

UNDER THE 1991 BANKING LAW THE FDIC STILL MUST ISSUE MINIMAL RULES THAT
REQUIRE AUDITORS FOR BANKS AND THRIFTS WITH ASSETS ABOVE A CERTAIN AMOUNT 
PROBABLY 500 MILLION TO ATTEST TO THE EFFECTIVENESS OF THE BANK'S
INTERNAL CONTROLS AND COMPLIANCE WITH BANKING LAWS IN ADDITION LARGER
BANKS AND THRIFTS PROBABLY THOSE WITH ASSETS OF 3 BILLION OR MORE 
WILL FACE NEW REQUIREMENTS GOVERNING THE COMPOSITION OF OUTSIDE AUDIT
COMMITTEES

BUT MANY OF THE DEFINITIONS INSTRUCTIONS AND EXPLANATIONS WILL BE STATED AS
GUIDELINES RATHER THAN FORMAL RULES THE GUIDELINES WILL GIVE BANKS MORE
LATITUDE AND WILL MAKE IT EASIER FOR THE AGENCY TO MODIFY ITS GUIDANCE AS
CIRCUMSTANCES CHANGE THE AGENCY HOPES TO ADOPT THE GUIDELINES NEXT WEEK

SEPARATELY THE FDIC ANNOUNCED THAT THE FINANCIAL CONDITION OF THE BANK
INSURANCE FUND IMPROVED SHARPLY LAST YEAR THE FUND'S DEFICIT SHRANK TO 101
MILLION AT THE END OF 1992 FROM 7 BILLION AT THE END OF 1991 THE FUND
WHICH INSURES BANK DEPOSITS OF UP TO 100000 HAS A POSITIVE CASH BALANCE
BUT THE FDIC ESTIMATES THE COST OF EXPECTED BANK FAILURES WITHIN THE NEXT 18
MONTHS AND SUBTRACTS THESE CONTINGENT LIABILITIES

BERT ELY A CONSULTANT FOR LARGE BANKS CALLED THE FUND BALANCE A TOTALLY
BOGUS NUMBER THAT SHARPLY OVERSTATES THE PROBLEMS FACING THE BANKING
INDUSTRY HE SAID THE RESERVES THE FDIC IS HOLDING AGAINST FUTURE FAILURES
ARE FAR TOO LARGE IN THE LIGHT OF IMPROVED HEALTH OF THE BANKING INDUSTRY
9305050026 930505 PROTECTIVE LIFE ACQUISITION

BIRMINGHAM ALA PROTECTIVE LIFE CORP SAID IT AGREED TO ACQUIRE
WISCONSIN NATIONAL LIFE INSURANCE CO OF OSHKOSH WIS FROM INTERNATIONALE
NEDERLANDEN GROUP AN AMSTERDAMBASED INSURANCE PROVIDER TERMS WERE NOT
DISCLOSED

PROTECTIVE LIFE A HOLDING COMPANY WITH ASSETS OF MORE THAN 4 BILLION SAID
IT EXPECTS TO CLOSE THE AGREEMENT IN JULY 9305050025 930505 CENTRAL &
SOUTH WEST EL PASO AGREE ON MERGER PLAN VALUED AT 21 BILLION  
BY BRIDGET O'BRIAN STAFF REPORTER OF THE WALL STREET JOURNAL

CENTRAL & SOUTH WEST CORP AND EL PASO ELECTRIC CO SAID THEY APPROVED A
MERGER PLAN THAT CALLS FOR EL PASO TO BECOME A UNIT OF CENTRAL & SOUTHWEST
IN A TRANSACTION VALUED AT 21 BILLION IN NEW STOCK AND SECURITIES TO BE
ISSUED BY THE TWO COMPANIES

BUT A BID MAY BE FORTHCOMING FROM YET A THIRD UTILITY SOUTHWESTERN PUBLIC
SERVICE CO OF AMARILLO TEXAS IT HAS EXPRESSED INTEREST IN EL PASO
ELECTRIC WHICH IS OPERATING UNDER CHAPTER 11 OF THE US BANKRUPTCY CODE
SOUTHWESTERN PUBLIC NOW PLANS TO FILE ITS OWN REORGANIZATION PLAN FOR EL
PASO ELECTRIC WHICH IS BASED IN EL PASO TEXAS

SUCH A MOVE COULD PROMPT A BIDDING WAR SOUTHWESTERN PUBLIC SERVICE DIDN'T
REVEAL HOW MUCH IT MIGHT OFFER FOR EL PASO SAYING ONLY THAT SUCH A
COMBINATION WOULD BE IN THE BEST INTERESTS OF ALL OF EL PASO'S
CONSTITUENTS ACCORDING TO SOUTHWESTERN CHAIRMAN BILL D HELTON

A RESOLUTION OF THE PURSUIT OF EL PASO IS A LONG WAY OFF WHICHEVER COMPANY
PREVAILS CENTRAL & SOUTH WEST BASED IN DALLAS APPEARS TO HAVE THE EDGE
THAT'S BECAUSE EL PASO'S BOARD OF DIRECTORS HAS ENDORSED THE MERGER PLAN
HOWEVER EVEN THAT PROPOSAL REQUIRES A HOST OF APPROVALS FROM STATE AND
FEDERAL REGULATORY AGENCIES CREDITORS AND INVESTORS

THE BANKRUPTCY COURT THAT HAS BEEN OVERSEEING EL PASO'S CASE SINCE JANUARY
1992 ALSO MUST APPROVE ANY PLAN YESTERDAY CENTRAL & SOUTH WEST SAID IT
EXPECTED THE TRANSACTION TO TAKE 18 MONTHS TO COMPLETE

AS FOR SOUTHWESTERN PUBLIC SERVICE MR HELTON SAID THE COMPANY REMAINS IN
SERIOUS NEGOTIATIONS WITH EL PASO CREDITORS AND OTHER CONSTITUENTS AND
REMAINS CONFIDENT THAT IT CAN ULTIMATELY PREVAIL

UNDER A BANKRUPTCY REORGANIZATION PLAN TO BE FILED BY EL PASO AND BACKED BY
CENTRAL & SOUTH WEST THE 21 BILLION MERGER PROPOSAL WOULD PAY EL PASO'S
SHAREHOLDERS AND CREDITORS ABOUT 730 MILLION IN NEW SHARES OF CENTRAL'S
COMMON STOCK THE REMAINING 137 BILLION WOULD BE IN THE FORM OF NEW
SECURITIES TO BE ISSUED BY THE REORGANIZED EL PASO ELECTRIC

THE TERMS ALSO PROVIDE THAT SECURED CREDITORS RECEIVE 100 OF THEIR CLAIMS
UNSECURED CREDITORS SECURED LEASE OBLIGATION BONDHOLDERS AND LEASE
OBLIGATION BONDHOLDERS WOULD RECEIVE ABOUT 90 OF THEIR CLAIMS PREFERRED
SHAREHOLDERS WILL GET ABOUT THREEFOURTHS OF A SHARE OF NEW PREFERRED STOCK
TO BE ISSUED BY THE REORGANIZED EL PASO

EL PASO COMMON SHAREHOLDERS WILL GET CENTRAL & SOUTH WEST'S COMMON STOCK
BASED ON A FORMULA THAT VALUES EACH EL PASO ELECTRIC COMMON SHARE AT 3 AND
ADDITIONAL CONSIDERATION IN STOCK OR CASH OF AS MUCH AS 150 FOR EACH EL
PASO ELECTRIC SHARE DEPENDING UPON THE FAVORABLE RESOLUTION OF SEVERAL
CONTINGENCIES AND DISPUTED CLAIMS SAID CENTRAL & SOUTH WEST IN A NEWS
RELEASE

THIS IS VERY GENEROUS SAID ALFRED MAZZORANA A UTILITY ANALYST WITH
FURMANSELZ INC WHO SAID HIS OWN ESTIMATE FOR SUCH A TRANSACTION RANGED
FROM 13 BILLION TO 18 BILLION THIS IS WAY OVERBOARD  IF CENTRAL
& SOUTH WEST WENT MUCH HIGHER THAN THAT I THINK THEY'D SERIOUSLY JEOPARDIZE
THEIR OWN CREDIT RATING

BUT EVEN THIS BID COULD LEAVE MANEUVERING ROOM AMONG CREDITOR GROUPS FOR
CENTRAL & SOUTH WEST ACCORDING TO PAUL PARSHLEY UTILITY ANALYST FOR LEHMAN
BROTHERS MR PARSHLEY NOTED THAT TWO CREDITOR GROUPS UNSECURED CREDITORS
AND LEASE OBLIGATION BONDHOLDERS ARE SET TO GET A HAIRCUT WHILE GROUPS
WHO TYPICALLY GET LESS IN BANKRUPTCIES WILL SEE SOME REPAYMENT IT'S
CONCEIVABLE THIS IS A STRATEGIC MOVE BY CENTRAL TO SEE IF THERE ARE
LEGITIMATE OTHER SUITORS OUT THERE HE SAID THEY COULD SWEETEN THEIR OWN
BID TO DIFFERENT GROUPS AND IT GETS THE PROCESS MOVING ALONG

IN COMPOSITE TRADING YESTERDAY ON THE NEW YORK STOCK EXCHANGE CENTRAL &
SOUTH WEST CLOSED AT 3250 UNCHANGED

IN NATIONAL OVERTHECOUNTER TRADING YESTERDAY EL PASO CLOSED AT 2875 UP
625 CENTS 9305050024 930505 BILL TO ELEVATE EPA TO A CABINET AGENCY 
IS APPROVED BY SENATE

WASHINGTON A BILL TO ELEVATE THE ENVIRONMENTAL PROTECTION AGENCY TO
CABINET STATUS CLEARED THE SENATE ON A 7915 VOTE

THE MEASURE FOLLOWS THROUGH ON PLEDGES BY BOTH PRESIDENT CLINTON AND
PRESIDENT BUSH TO INCREASE THE EPA'S STATURE BY FORMALLY MAKING IT A CABINET
AGENCY AN EARLIER VERSION OF THE BILL CLEARED THE SENATE LAST YEAR BUT
BECAME EMBROILED IN PARTISAN BICKERING IN THE HOUSE OVER THE BUSH
ADMINISTRATION'S PERFORMANCE AT THE EARTH SUMMIT IN RIO DE JANEIRO AND
NEVER REACHED A VOTE

REP JOHN CONYERS IS EXPECTED TO INTRODUCE A BILL ON THE HOUSE SIDE
POSSIBLY AS EARLY AS NEXT WEEK AN AIDE TO THE MICHIGAN DEMOCRAT SAID THE
LAWMAKER EXPECTED THE BILL TO CLEAR BOTH HOUSES OF CONGRESS THIS TIME AND BE
SIGNED INTO LAW BECAUSE THE CLIMATE IS DIFFERENT

THE IMMEDIATE SIGNIFICANCE OF ELEVATING THE EPA TO A CABINET AGENCY ISN'T
GREAT EPA ADMINISTRATOR CAROL BROWNER ALREADY ATTENDS CABINET MEETINGS AND
HAS RESPONSIBILITY FOR A WIDE RANGE OF REGULATORY MATTERS AFFECTING THE
ENVIRONMENT BUT SUPPORTERS OF THE BILL HOPE TO FORMALIZE THE EPA'S ROLE IN
FUTURE ADMINISTRATIONS AND TO RAISE ITS STANDING AMONG COMPARABLE AGENCIES
IN OTHER COUNTRIES

BESIDES MAKING THE EPA A CABINET AGENCY THE SENATE BILL SPONSORED BY SEN
JOHN GLENN D OHIO WOULD CREATE A BUREAU OF ENVIRONMENTAL STATISTICS TO
COMPILE SCIENTIFIC INFORMATION ON THE EFFECTS OF VARIOUS POLLUTANTS AND TO
PUBLISH COSTBENEFIT ANALYSES FOR NEW REGULATIONS IT WOULD ALSO FORMALLY
ABOLISH THE COUNCIL ON ENVIRONMENTAL QUALITY AND TRANSFER MOST OF ITS
FUNCTIONS TO THE EPA WHICH WOULD BE RENAMED THE DEPARTMENT OF ENVIRONMENTAL
PROTECTION 9305050023 930505 BUSINESS BRIEF NORTHEAST UTILITIES IS
FINED BY THE NRC IN HARASSMENT CASE

WASHINGTON THE NUCLEAR REGULATORY COMMISSION SAID IT FINED NORTHEAST
UTILITIES 100000 FOR HARASSING A FORMER EMPLOYEE WHO RAISED QUESTIONS
ABOUT THE SAFETY OF CERTAIN NUCLEAR POWER PLANT INSTRUMENTS

THE EMPLOYEE PAUL BLANCH FORMERLY NORTHEAST'S SUPERVISOR OF
INSTRUMENTATION AND CONTROL ENGINEERING RESIGNED IN FEBRUARY AFTER REACHING
A SETTLEMENT WITH THE COMPANY MR BLANCH HAD FILED A COMPLAINT WITH THE
LABOR DEPARTMENT BUT DROPPED THE CHARGES AS PART OF THE SETTLEMENT

IN A STATEMENT THE NRC SAID MR BLANCH WAS SUBJECTED TO HARASSMENT AND
ATTEMPTS AT INTIMIDATION BY NORTHEAST'S MANAGEMENT AFTER HE RAISED SAFETY
QUESTIONS IN 1988 AND 1989 THE STATEMENT ADDED THAT NORTHEAST'S TOP
MANAGEMENT INCLUDING CHAIRMAN WILLIAM ELLIS KNEW OF MR BLANCH'S ILL
TREATMENT BUT FAILED TO ACT IN AN EFFECTIVE MANNER TO CORRECT THE
SITUATION THE AGENCY ALSO CITED NORTHEAST FOR NOT REPORTING THE CONCERNS
RAISED BY MR BLANCH IN A TIMELY MANNER

NORTHEAST BASED IN HARTFORD CONN SAID IT DISAGREES WITH THE NRC'S
FINDING IT SAID IT IS EVALUATING THE MATTER AND WILL FILE A RESPONSE WITH
THE AGENCY WITHIN 30 DAYS

IN AN INTERVIEW MR BLANCH SAID HE FELT VINDICATED BY THE NRC ACTION BUT
LYNNE BERNABEI A WASHINGTON LAWYER WHO REPRESENTS NUCLEAR INDUSTRY
WHISTLEBLOWERS CALLED THE 100000 FINE JUST A SLAP ON THE HAND FOR THE
UTILITY

AFTER MR BLANCH RAISED QUESTIONS CONCERNING THE RELIABILITY OF CERTAIN
SENSORS THE NRC LAST YEAR ASKED AN INDUSTRY GROUP TO STUDY WHETHER THEY
POSE SIGNIFICANT RISK AN NRC SPOKESWOMAN SAID THE INDUSTRY GROUP IS
EXPECTED TO SUBMIT A REPORT ON THE ISSUE TO THE AGENCY THIS SUMMER
9305050022 930505 CHRISTIE'S AUCTION OF CONTEMPORARY ART LIFTS SPIRITS
OF MARKET EVER SO SLIGHTLY  BY ALEXANDRA PEERS STAFF REPORTER OF
THE WALL STREET JOURNAL

NEW YORK CRISP BIDDING FOR A HANDFUL OF PRIME CONTEMPORARY ARTWORKS
LIFTED A DISPIRITED ART WORLD OUT OF THE DOLDRUMS AT A CHRISTIE'S
INTERNATIONAL PLC SALE

RESULTS FOR CHRISTIE'S MAJOR SPRING AUCTION OF CONTEMPORARY ART THOUGH
CERTAINLY FAR FROM STELLAR WERE ENOUGH OF AN IMPROVEMENT OVER THE CREAKING
AND DISASTROUS SALE AT ARCHRIVAL SOTHEBY'S HOLDINGS INC MONDAY THAT ART
DEALERS AND COLLECTORS SPILLING OUT OF CHRISTIE'S PARK AVENUE SALESROOM WERE
ALMOST GIDDY

OF THE 60 ARTWORKS ON THE AUCTION BLOCK LAST EVENING AT CHRISTIE'S 22 OR
37 FAILED TO SELL

IN CONTRAST AT THE SOTHEBY'S SALE ROUGHLY HALF OF THE 77 ARTWORKS PUT ON
THE AUCTION BLOCK DIDN'T SELL

THE TOTAL FOR THE SALE INCLUDING THE COMMISSION PAID TO CHRISTIE'S WAS
106 MILLION THE SALE WAS EXPECTED TO RAISE ABOUT 134 MILLION TO 18
MILLION

HOWEVER ABOUT ANOTHER 16 PAINTINGS SOLD FOR LESS THAN THEIR LOWEST
ESTIMATES FURTHER INDICATING THAT THE WORLD MARKET FOR THESE PRICEY OBJECTS
HAS UNDERGONE AN UNMISTAKABLE CORRECTION DOWNWARD

THE ACHILLES HEEL OF THESE CONTEMPORARY ART SALES DEALERS AND COLLECTORS
AGREED WAS THAT TOO MANY OF THE WORKS HAD BEEN SHOPPED AROUND PRIVATELY BY
DEALERS BEFORE HITTING THE AUCTION BLOCK DRAINING ANY SENSE OF IMMEDIACY
FROM THE SALES STILL A HANDFUL OF ARTISTS WERE ABLE TO GET GOOD PRICES
DESPITE A WEAK MARKET

THE SALESROOM BUZZED WITH ANTICIPATION AS ROY LICHTENSTEIN'S POP ART WHITE
BRUSHSTROKE I CAME UP FOR SALE A BIG BROAD ALMOST THREEDIMENSIONAL
ZIGZAG OF WHITE AGAINST BLUE POLKA DOTS THE PIECE IS PRIZED BY COLLECTORS
AS A KIND OF ARTWORLD INJOKE A PARODY OF THE ABSTRACT EXPRESSIONIST
PAINTERS THAT MR LICHTENSTEIN FOLLOWED IN ART HISTORY IT SOLD TO AN
UNIDENTIFIED TELEPHONE BIDDER FOR 728500 AGAINST A PRESALE PRICE ESTIMATE
OF 750000 TO 950000 THE UNDERBIDDER WAS MAGAZINE PUBLISHER FRANCES
LEAR

ALL PRICES INCLUDE CHRISTIE'S BUYERS' COMMISSION THE AUCTION HOUSE CHARGES
BUYERS 15 ON THE FIRST 50000 OF THE PURCHASE PRICE AND 10 THEREAFTER

THE ARTWORK CARRYING THE HIGHEST EXPECTATIONS WAS JACKSON POLLOCK'S
SPLATTERY NUMBER 19 1948 A SPIDER'S WEB OF GRAY BLACK AND PEACH ENAMEL
AGAINST A WHITE BACKGROUND IT SOLD FOR 24 MILLION AGAINST A PRESALE
ESTIMATE OF 15 MILLION TO 2 MILLION THE POLLOCK'S IRRESISTIBLE LURE IT
HAD BEEN OFF THE MARKET ALMOST SINCE THE ARTIST PAINTED IT

HOWEVER CHRISTIE'S ANNOUNCED JUST BEFORE THE SALE BEGAN THAT NEW YORK STATE
SURROGATE'S COURT WOULD BE RULING ON WHETHER THE ESTATE THAT CONSIGNED THE
PAINTING HAS THE RIGHT TO SELL IT CHRISTIE'S SAID IT WILL RETAIN CUSTODY OF
THE PAINTING UNTIL THE COURT RULES

FRANCIS BACON'S STUDY FOR A PORTRAIT ON A REVOLVING CHAIR ESTIMATED AT
12 MILLION TO 18 MILLION FETCHED 12 MILLION SELLING TO ART DEALER
JOHN POST LEE

THE FEW ANDY WARHOL PAINTINGS THAT CHRISTIE'S HAD TO OFFER MET WITH ALMOST
DEAD SILENCE ALL FOUR FAILED TO SELL

THE CHRISTIE'S SALE OFFERED A HEFTY QUOTA OF WORKS BY GERMAN ARTISTS
DEALERS AND COLLECTORS WERE WATCHING TO SEE IF GERMANY ONCE LAUDED AS THE
NEXT CAPITAL OF THE ART WORLD AND A PRIME SUPPORTER OF THE MARKET FOR
CONTEMPORARY ART WOULD TURN OUT TO BE A PLAYER IN THESE SALES DESPITE THE
RECENT WEAKENING OF ITS ECONOMY THE RESULTS WERE LACKLUSTER WORKS BY
JOSEPH BEUYS GEORGE BASELITZ SIGMAR POLKE AND ANSELM KIEFER SOLD BELOW
EXPECTATIONS OR NOT AT ALL ALTHOUGH ONE TOPQUALITY BASELITZ PAINTING SOLD
WELL

THE MIXED SALES RESULTS AT SOTHEBY'S AND CHRISTIE'S WERE A BIT DISQUIETING
FOR THE RECESSIONWRACKED ART BUSINESS IN THE CONTEMPORARY ART MARKET
PRICES HAVE SLID A HEFTY 50 TO 60 FROM THE BOOM DAYS OF THE LATE 1980'S
DOZENS OF ART GALLERIES HAVE CLOSED WORLDWIDE IN ROUGHLY THE PAST THREE
YEARS AND SOME LONGTIME ONCEBURNED TWICESHY COLLECTORS HAVE LEFT THE
MARKET

THIS WEEK OF AUCTIONS DEALERS HOPED WOULD GIVE EVIDENCE THAT WITH THE
US ECONOMY RECOVERING THE PRICE SLIDE WAS OVER BUT THEY WERE ONLY HALF
RIGHT PRICE DEFLATION STOPPED SHORT ONLY FOR BETTERQUALITY WORKS

CHRISTOPHER BURGE PRESIDENT OF CHRISTIE'S USA THE AMERICAN WING OF THE
COMPANY SAID THE OFFERINGS WERE UNEVEN AND THAT AFFECTED THE RESULTS
BUT GIVEN THE MATERIAL HE SAID THE RESULTS WERE VERY GOOD

TODAY THE SALES CONTINUE AT CHRISTIE'S WHICH PUTS LESS EXPENSIVE
CONTEMPORARY ARTWORKS ON THE BLOCK NEXT TUESDAY THE PRICIEST SALE OF THE
SPRING ART SEASON IS HELD AT SOTHEBY'S IT WILL PUT ART VALUED AT MORE THAN
70 MILLION UP FOR SALE

CHRISTIE'S INTERNATIONAL PLC GUARANTEES THE AUTHENTICITY OF WORKS IT SELLS
FOR FIVE YEARS AS LONG AS THEY WERE PRODUCED AFTER 1870 AN ARTICLE
YESTERDAY INCORRECTLY SAID THE GUARANTEE APPLIED TO WORKS PRODUCED BEFORE
1870 ALSO MAGAZINE PUBLISHER FRANCES LEAR WAS A LOSING BIDDER FOR A
PAINTING BY JACKSON POLLOCK AT A RECENT CHRISTIE'S SALE AN ARTICLE
WEDNESDAY INCORRECTLY SAID MS LEAR WAS A LOSING BIDDER FOR A ROY
LICHTENSTEIN PAINTING 9305050021 930505 BUSINESS BRIEF ENCOR INC 
DISSENTING HOLDERS SAY BID BY TALISMAN IS UNACCEPTABLE

STOCK BROKERAGE CONCERN ALLENVEST GROUP LTD SAID SEVERAL OF ITS CLIENTS AND
OTHERS WHO HOLD A COMBINED 375 OF ENCOR INC'S COMMON STOCK BELIEVE THE
PROPOSED PURCHASE OF THE DEBTPLAGUED COMPANY BY TALISMAN ENERGY INC IS
UNFAIR AND UNACCEPTABLE

THE ENCOR BOARD HAS RECOMMENDED SHAREHOLDERS APPROVE THE BID TALISMAN HAS
OFFERED TO EXCHANGE ONE OF ITS SHARES FOR EVERY 45 ENCOR SHARES CURRENTLY
HELD TALISMAN WHICH RECENTLY CHANGED ITS NAME FROM BP CANADA INC ALSO
WOULD SWAP ITS SHARES FOR ENCOR PREFERRED SHARES HELD BY BCE INC OF
MONTREAL

TALISMAN WOULD ISSUE A TOTAL OF 146 MILLION NEW SHARES GIVING THE
TRANSACTION AN INDICATED VALUE OF 3694 MILLION CANADIAN DOLLARS US2914
MILLION TALISMAN AND ENCOR ARE ENERGY CONCERNS BASED IN CALGARY ALBERTA

ALLENVEST SAID THE DISSENTING ENCOR HOLDERS CONCLUDED THAT THE TALISMAN
OFFER IS UNFAIR TO THE COMMON HOLDERS BECAUSE APPROXIMATELY 75 OF THE
PRICE TO BE PAID FOR ENCOR WILL GO TO BCE TO PURCHASE THE CONVERTIBLE
PREFERRED SHARES 9305050020 930505 ECONOMY AUTO SALES ROSE SHARPLY IN
LATE APRIL RAISING HOPES FOR SUSTAINED REBOUND  BY KRYSTAL MILLER
 STAFF REPORTER OF THE WALL STREET JOURNAL

DETROIT SALES OF DOMESTICALLY BUILT CARS AND TRUCKS GREW STRONGLY IN LATE
APRIL RAISING HOPES THAT A SUSTAINED REBOUND WON'T CONTINUE TO ELUDE THE
AUTO INDUSTRY

ALTOGETHER DOMESTICALLY PRODUCED VEHICLES SOLD AT A SEASONALLY ADJUSTED
ANNUAL RATE OF 122 MILLION IN THE LAST TEN DAYS OF APRIL THAT'S BETTER
THAN THE 114 MILLIONVEHICLE ANNUAL PACE DURING THE PREVIOUS 30 DAYS AND
MUCH IMPROVED FROM THE WEAK 107 MILLIONVEHICLE RATE A YEAR EARLIER

WARM WEATHER AND SOME HEAVILY PROMOTED PRICING DEALS HELPED LURE CONSUMERS
BACK INTO DEALER SHOWROOMS ANALYSTS SAID

A LOT OF CONSUMERS HAVE OLD CARS SAID CHRISTOPHER CEDERGREN AN AUTO
ANALYST WITH AUTOPACIFIC GROUP INC THEY NOW HAVE ENOUGH CONFIDENCE TO
PURCHASE A NEW CAR IF THEY CAN GET A GOOD VALUE

FOR THE ENTIRE MONTH SALES OF USMADE CARS CLIMBED 75 FROM A YEAR
EARLIER TO 768778 VEHICLES SALES OF LIGHT TRUCKS ALSO GREW AMERICANS
BOUGHT 480194 MINIVANS PICKUPS AND SPORT UTILITY VEHICLES IN APRIL UP
176 FROM A YEAR EARLIER

OVERALL DEALERS SAID APRIL WAS A SOLID MONTH HOWEVER MANY COMPLAINED THAT
CONCERNS ABOUT PRESIDENT CLINTON'S ECONOMIC PACKAGE BAD WEATHER AND THE
APRIL 15 TAX DEADLINE DAMPED SOME CONSUMERS' ENTHUSIASM

APRIL WAS A STRUGGLE BUT IT ENDED UP BEING A DECENT MONTH SAID JAMES R
SINCLAIR GENERAL MANAGER OF DAVE SINCLAIR INC A FORD DEALERSHIP IN ST
LOUIS THE DEALERSHIP SOLD 400 NEW CARS AND TRUCKS LAST MONTH SLIGHTLY MORE
THAN IT SOLD A YEAR EARLIER

GENERAL MOTORS CORP LOST CAR MARKET SHARE LAST MONTH ITS SHARE SLIPPED TO
364 IN APRIL FROM 366 A YEAR EARLIER OVERALL GM SOLD 439918 CARS AND
TRUCKS LAST MONTH AN 11 INCREASE FROM APRIL 1992 THAT ALLOWED GM TO HOLD
ITS SHARE OF THE TOTAL US CAR AND TRUCK MARKET AT 352

FORD MOTOR CO'S SLICE OF THE US CAR MARKET CLIMBED TO 214 FROM 205 A
YEAR EARLIER FORD'S SHARE OF THE US CAR AND TRUCK MARKET INCREASED TO
248 FROM 242 IN APRIL 1992

BUT ALL IS NOT WELL AT FORD SALES OF THE REDESIGNED LINCOLN MARK VIII HAVE
FALLEN SHORT OF EXPECTATIONS SINCE IT WAS INTRODUCED IN DECEMBER AT MARCH
31 FORD HAD A 108 DAYSUPPLY OF UNSOLD MARK VIIIS NEARLY TWICE THE LEVEL
CONSIDERED IDEAL IN THE AUTO INDUSTRY TO LIVEN SALES OF THE LUXURY COUPE
FORD RECENTLY ANNOUNCED A TWOYEAR LEASE DEAL THAT ALLOWS BUYERS MONTHLY
PAYMENTS OF 539 WITH A 1500 DOWN PAYMENT WE'RE TRYING TO BE COMPETITIVE
WITH EVERYONE ELSE A FORD SPOKESWOMAN SAID

CHRYSLER CORP REPORTED APRIL SALES OF 192057 A 28 INCREASE FROM 150227
A YEAR EARLIER CHRYSLER'S PERFORMANCE WAS BOLSTERED LARGELY BY ROBUST SALES
OF ITS NEW LINE OF LH MIDSIZE SEDANS AS WELL AS STRONG MINIVAN SALES
CHRYSLER CAPTURED 99 OF THE CAR MARKET UP FROM 77 A YEAR EARLIER
CHRYSLER'S SHARE OF THE TOTAL CAR AND TRUCK MARKET ROSE TO 154 FROM 134
IN THE YEAR EARLIER MONTH

THE PORTION OF THE US CAR MARKET CLAIMED BY THE JAPANESE FELL IN APRIL TO
28 FROM 30 A YEAR EARLIER MAZDA MOTOR CORP CONTRIBUTED SIGNIFICANTLY TO
THE DECLINE MAZDA SOLD 31004 VEHICLES LAST MONTH DOWN 21 FROM A YEAR
EARLIER ITS SHARE OF THE US CAR MARKET FELL TO 31 FROM 44

HONDA MOTOR CO ALSO HELPED DRAG DOWN THE JAPANESE MARKET SHARE HONDA'S
SHARE OF THE US CAR MARKET SLIPPED TO 78 LAST MONTH FROM 88 SALES OF
THE ACCORD CONTINUED TO STUMBLE HONDA SOLD 20159 ACCORDS DURING APRIL
DOWN 284 FROM A YEAR AGO TOYOTA MOTOR CORP MEANWHILE TOOK 85 OF THE
US CAR MARKET DOWN SLIGHTLY FROM 87 A YEAR EARLIER

LED BY ROBUST SALES OF ITS ALTIMA SEDAN NISSAN MOTOR CO GRABBED 54 OF
THE US CAR MARKET UP FROM 47 A YEAR EARLIER OVERALL NISSAN SAW SALES
CLIMB 20 TO 58336 VEHICLES

EUROPEAN AUTO MAKERS POSTED MIXED RESULTS LAST MONTH DAIMLERBENZ AG'S
MERCEDESBENZ AG SAW ITS SALES SLIDE 8 IN APRIL TO 5727 VEHICLES
SAABSCANIA AB 50OWNED BY GM REPORTED APRIL SALES OF 1319 DOWN 49
FROM A YEAR EARLIER HOWEVER BAYERISCHE MOTOREN WERKE AG LED BY STRONG
SALES OF ITS ENTRYLEVEL LINE OF CARS SAW SALES RISE 23 TO 7064 CARS
OVERALL THE EUROPEANS' SHARE OF THE US CAR MARKET FELL ONE PERCENTAGE
POINT TO 3

NOTE THERE WERE 26 SELLING DAYS IN THE MOST RECENT MONTH AND 26 A YEAR
EARLIER PERCENTAGE DIFFERENCES BASED ON DAILY SALES RATE RATHER THAN SALES
VOLUME

AUTO MAKERS SOLD 605907 USBUILT CARS IN APRIL IN AN ARTICLE YESTERDAY
THE FIGURE WAS MISSTATED AS 768778 CARS HONDA MOTOR CO SOLD 25654
ACCORDS IN THE US LAST MONTH THE ARTICLE MISSTATED THE AMOUNT AS 20159
ACCORDS 9305050019 930505 TECHNOLOGY DRUG CONCERN HOPES ITS AZT
FORMULA ENDS SINGLE BRAND FOR AIDS TREATMENT  BY MICHAEL WALDHOLZ
 STAFF REPORTER OF THE WALL STREET JOURNAL

AN OBSCURE DRUG COMPANY IN COLORADO SAID IT HAS DEVELOPED A LONGACTING
FORMULATION OF THE AIDS DRUG AZT THAT MAY BE MORE EFFECTIVE THAN THE ONLY
BRAND OF THE DRUG NOW AVAILABLE

VEREX SAID THAT IF ITS BRAND CALLED AZTEC IS APPROVED BY THE FOOD AND DRUG
ADMINISTRATION FOR SALE IT HOPED TO SELL IT FOR LESS THAN RETROVIR WHICH
COSTS PATIENTS ABOUT 2500 TO 3000 A YEAR

VEREX WHICH IS LISTED ON THE THINLY TRADED OVERTHECOUNTER BULLETIN BOARD
IS ONE OF SEVERAL SMALL COMPANIES ATTEMPTING TO BREAK THE EXCLUSIVE LOCK ON
MARKETING RIGHTS OF AZT HELD BY BURROUGHS WELLCOME RESEARCH TRIANGLE PARK
NC TWO GENERIC DRUG COMPANIES BARR LABORATORIES INC POMONA NY AND
NOVOPHARM INC SCHAUMBURG ILL HAVE BEEN SUED IN FEDERAL COURT BY
BURROUGHS WELLCOME FOR INFRINGING ON BURROUGHS WELLCOME'S AZT PATENT BOTH
COMPANIES HAVE SAID THEY WILL SELL AZT AT PRICES SHARPLY LOWER THAN RETROVIR
IF THE COURT INVALIDATES BURROUGHS WELLCOME'S PATENT NOVOPHARM IS A UNIT OF
NOVOPHARM LTD OF SCARBOROUGH ONTARIO

AZT WAS APPROVED BY THE FDA IN 1987 AS THE FIRST DRUG TREATMENT AGAINST HIV
THE VIRUS THAT CAUSES AIDS SINCE THEN TWO OTHER SIMILARACTING DRUGS HAVE
BEEN APPROVED FOR SALE BUT RETROVIR HAS BY FAR THE LARGEST MARKET SHARE
WITH SALES EXPECTED TO TOP 400 MILLION THIS YEAR

RETROVIR HOWEVER CAN CAUSE SEVERE ANEMIA AND OTHER PROBLEMS FOR MANY
PATIENTS WHO EITHER MUST REDUCE THE DRUG'S DOSAGE OR STOP TAKING THE
MEDICINE ALTOGETHER ALSO THE DRUG HAS ONLY LIMITED USE AS HIV OFTEN
DEVELOPS RESISTANCE TO AZT AFTER A YEAR OR SO OF TREATMENT JAMES M DUNN
THE FOUNDER CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF VEREX SAID HIS
COMPANY'S VERSION OF AZT MAY NOT PRODUCE SIMILAR SIDE EFFECTS BECAUSE IT MAY
BE EFFECTIVE AT LOWER DOSES

FORMULATION DR DUNN SAID HE PRODUCED THE CONTROLLED RELEASE FORMULATION
OF AZT LAST YEAR USING A TECHNOLOGY HE DEVELOPED AT VEREX BASED IN
ENGLEWOOD COLO INITIAL TESTS OF PATIENTS AT THE UNIVERSITY OF COLORADO'S
HEALTH SCIENCE CENTER IN DENVER SHOWED THAT 100 MILLIGRAMS OF VEREX'S DRUG
PROVIDED THE SAME AMOUNT OF AZT IN THE BLOODSTREAM AS 300 MILLIGRAMS OF THE
BURROUGHS WELLCOME DRUG DR DUNN SAID

ALAN HOISTER WHO HELPED TEST THE VEREX DRUG SAID IN ONE STUDY THE
RESEARCHERS FOUND THAT AT LOWER DOSES MORE OF THE VEREX VERSION OF AZT
ENTERED INFECTED CELLS AS COMPARED WITH HIGHER DOSES OF RETROVIR

DR DUNN SAID THE FDA HAS TOLD VEREX THAT IT MUST NOW UNDERTAKE A STUDY
COMPARING HOW PATIENTS FARE GIVEN BOTH VERSIONS OF THE DRUG HOWEVER EVEN
IF APPROVED BY THE FDA IT ISN'T CLEAR VEREX COULD SELL ITS VERSION WITHOUT
INFRINGING ON BURROUGHS WELLCOME'S PATENT VEREX THEREFORE IS KEEPING A
CLOSE WATCH ON A CHALLENGE TO THE BURROUGHS WELLCOME PATENT THAT IS
SCHEDULED FOR ARGUMENTS IN FEDERAL COURT IN NORTH CAROLINA AT THE END OF
JUNE

IN THAT LAWSUIT BARR LABORATORIES IS EXPECTED TO ARGUE THAT THE BURROUGHS
WELLCOME PATENT SHOULD INCLUDE THE NAME OF US GOVERNMENT SCIENTISTS THE
US NATIONAL INSTITUTES OF HEALTH HAS ASSIGNED ITS PATENT RIGHTS TO BARR
LABORATORIES BUT BARR CAN'T SELL THE DRUG UNLESS THE COURT AGREES THAT THE
GOVERNMENT IN FACT HAS A RIGHT TO SHARE THE PATENT A BURROUGHS WELLCOME
OFFICIAL SAID THE COMPANY IS CONFIDENT OF ITS PATENT POSITION

BURROUGHS WELLCOME HAS BEEN SHARPLY CRITICIZED OVER THE YEARS FOR THE HIGH
PRICE OF AZT AND AIDS ACTIVISTS HAVE PRESSED THE FEDERAL GOVERNMENT TO
ALLOW OTHER COMPANIES TO SELL CHEAPER VERSIONS OF THE DRUG VEREX APPEARS TO
BE THE FIRST COMPANY HOWEVER ACTIVELY SEEKING TO SELL A NEW FORMULATION OF
AZT 9305050017 930505 WHAT'S NEWS  BUSINESS AND FINANCE

THE INDEX OF LEADING INDICATORS PLUNGED 1 IN MARCH THE BIGGEST DROP IN 2
1/2 YEARS ADDING TO SIGNS OF A WEAKENING ECONOMIC RECOVERY BAD WEATHER MAY
HAVE BEEN PARTLY RESPONSIBLE BUT ANALYSTS SAID OTHER FACTORS WERE PROBABLY
AT WORK THE CLINTON ADMINISTRATION SAID THE FIGURES CONFIRM THE NEED FOR
ITS ECONOMICSTIMULUS AND DEFICITREDUCING PROPOSALS

BOND PRICES SURGED AGAIN ON WEAK ECONOMIC DATA AND ON HOPES OF A CUTBACK IN
TREASURY BOND SALES PRICES OF BIG STOCKS WERE FLAT BUT NASDAQ SHARES
SOARED THE DOLLAR DECLINED THE 30YEAR TREASURY BOND'S PRICE JUMPED 3/4
POINT LOWERING ITS YIELD TO 679

SOME BIG MONEY MANAGERS ARE PREDICTING THAT THE RALLY IN LONGTERM US
TREASURY BONDS IS CLOSE TO AN END

SALES OF USBUILT CARS CLIMBED SHARPLY IN LATE APRIL RAISING HOPES OF A
SUSTAINED AUTO INDUSTRY REBOUND ANALYSTS CREDITED WARM WEATHER AND
PROMOTIONS BY DEALERS FOR THE UPTURN

FORMER CRAY RESEARCH CHAIRMAN JOHN ROLLWAGEN NOMINATED TO A COMMERCE
DEPARTMENT POST IS A SUBJECT OF AN SEC INSIDERTRADING INQUIRY PEOPLE
CLOSE TO THE PROBE SAID ROLLWAGEN DID NOTHING WRONG HIS LAWYER SAID

THE SEC JOINED US PROSECUTORS IN INVESTIGATING WHETHER MERRILL LYNCH AND
OTHER INVESTMENT BANKS VIOLATED LAWS IN THE SALE OF NEW JERSEY BONDS PEOPLE
CLOSE TO THE INQUIRY SAID

WHITTLE IS SEEKING 750 MILLION IN INVESTMENTS FROM MAJOR MARKETING AND
CONSUMER COMPANIES TO FINANCE ITS PLANNED CHAIN OF SCHOOLS POSSIBLE
INVESTORS INCLUDE APPLE PARAMOUNT COMMUNICATIONS DISNEY AND PEPSI

MCI WON A GLOBAL COMMUNICATION SERVICES CONTRACT FROM JP MORGAN BEATING
OUT AT&T AND BRITISH TELECOM AFTER A YEARLONG COMPETITION THE CONTRACT
COULD HELP MCI WIN OTHER BUSINESS IN THE FASTGROWING MARKET FOR MANAGING
CORPORATE NETWORKS

BRITISH AEROSPACE AND FRANCE'S MATRAHACHETTE SAID THEY ARE CLOSE TO MERGING
THEIR MISSILE BUSINESSES THE COMPANIES INVITED OTHER EUROPEAN MISSILE
MAKERS TO JOIN THE VENTURE

TANDY INTENDS TO OPEN A NUMBER OF SMALL ELECTRONICS AND COMPUTER STORES AT A
TIME WHEN MOST ELECTRONICS RETAILERS INCLUDING TANDY ITSELF ARE OPENING
EXTREMELY LARGE OUTLETS

SUN MICROSYSTEMS PLANS TO INTRODUCE TODAY A TECHNOLOGY THAT LETS SOFTWARE
WRITTEN FOR MICROSOFT'S WINDOWS RUN ON SUN'S DESKTOP COMPUTERS

THE CLINTON ADMINISTRATION PROPOSED TAX INCENTIVES TO ENCOURAGE JOB GROWTH
IN 10 POOR COMMUNITIES

GRAIN FUTURES PRICES FELL ON DISAPPOINTMENT ABOUT THE SIZE OF US
ALLOCATIONS OF WHEAT TO RUSSIA AND ON FORECASTS OF DRIER WEATHER NEXT WEEK

BONDS LEHMAN BROTHERS TREASURY INDEX 513048 UP 3740

COMMODITIES OIL 2039 A BARREL OFF 18 CENTS DOW JONES FUTURES INDEX
12284 OFF 196 SPOT INDEX 11983 OFF 090

DOLLAR 11025 YEN OFF 048 15758 MARKS OFF 00035 9305050016 930505
ENTERPRISE CLINTON SEEKS INCENTIVES TO COMPANIES FOR HIRING IN SOME
POOR COMMUNITIES  BY LAURIE MCGINLEY STAFF REPORTER OF THE WALL
STREET JOURNAL

WASHINGTON THE CLINTON ADMINISTRATION PROPOSED CREATING 10 EMPOWERMENT
ZONES TO SPUR JOB GROWTH IN POOR COMMUNITIES THROUGH AN ARRAY OF
INCENTIVES INCLUDING WAGE CREDITS OF AS MUCH AS 5000 PER EMPLOYEE FOR
BUSINESSES THAT HIRE LOCAL WORKERS

THE PROPOSAL ALSO WOULD DESIGNATE ANOTHER 100 AREAS AS ENTERPRISE
COMMUNITIES WHICH WOULDN'T RECEIVE THE WAGE CREDITS BUT WOULD BENEFIT FROM
FEDERAL GRANTS AND OTHER SPENDING IN SUCH AREAS AS EDUCATION AND LAW
ENFORCEMENT AND ALL 110 AREAS WOULD BE ELIGIBLE FOR BROAD WAIVERS IN
FEDERAL REGULATIONS SO THAT FUNDS THEY RECEIVE COULD BE SPENT MORE QUICKLY
AND EFFECTIVELY ADMINISTRATION OFFICIALS SAID

THE PROPOSAL WHICH PRESIDENT CLINTON DISCUSSED IN A TELEPHONE CONFERENCE
YESTERDAY WITH SEVERAL MAYORS AND COMMUNITY ACTIVISTS IS THE LATEST
INCARNATION OF THE ENTERPRISEZONE PLAN PUSHED SO VIGOROUSLY BY JACK KEMP
PRESIDENT BUSH'S SECRETARY OF HOUSING AND URBAN DEVELOPMENT BUT THE NEW
PLAN DIFFERS MARKEDLY FROM WHAT THE BUSH ADMINISTRATION PROPOSED WHILE MR
CLINTON WOULD PROVIDE TAX INCENTIVES FOR HIRING MR BUSH CONCENTRATED ON
CUTTING CORPORATE TAX BILLS FOR COMPANIES THAT LOCATED IN THE ZONES AS WELL
AS FOR PEOPLE WHO INVESTED IN SUCH COMPANIES THE BUSH PLAN DID INCLUDE A 5
WAGE CREDIT OF AS MUCH AS 525 A WORKER

UNDER PRESIDENT CLINTON'S PLAN 41 BILLION IN NEW MONEY WOULD BE SPENT IN
TAX INCENTIVES OVER THE NEXT FIVE YEARS LARGELY IN WAGE CREDITS FOR THE
10 EMPOWERMENT ZONES IN ADDITION THE ADMINISTRATION WANTS TO SPEND 500
MILLION ALREADY APPROPRIATED BY CONGRESS AND ANOTHER 500 MILLION INCLUDED
IN THE FISCAL 1994 BUDGET THEY ALSO WANT TO DIVERT EXISTING FUNDING
TOTALING 3 BILLION TO THE DISTRESSED AREAS OVER THE NEXT SEVERAL YEARS

REACTION YESTERDAY TO MR CLINTON'S PLAN WAS MIXED REP CHARLES RANGEL SAID
HE WAS DISAPPOINTED BY THE SMALL NUMBER OF ZONES THAT WOULD BE ELIGIBLE FOR
MAXIMUM BENEFITS I REALLY HAD EXPECTED WE'D BE PRESENTED WITH MORE
OPPORTUNITIES THE NEW YORK REPUBLICAN SAID ON THE OTHER HAND HE ADDED
THIS IS THE FIRST TIME THIS THING IS GOING TO PASS AND I BELIEVE IT WILL
HIT THE AREAS THAT HAVE THE WORST PROBLEMS OF CRIME AND DRUG ABUSE

FRANK SHAFROTH DIRECTOR OF FEDERAL RELATIONS FOR THE NATIONAL LEAGUE OF
CITIES WARNED THAT THE SMALL NUMBER OF EMPOWERMENT ZONES COULD CREATE
POLITICAL PROBLEMS IN SELLING THE PLAN TO CAPITOL HILL HE SAID THE BIG
QUESTION IS WHO GETS TO SHARE IN THIS

BUT HE SAID THAT FROM A POLICY STANDPOINT THE ADMINISTRATION PROBABLY WAS
RIGHT TO LIMIT THE HEAVIEST INCENTIVES TO A SMALL NUMBER OF COMMUNITIES TO
SEE HOW WELL THE PROGRAM WORKS YOU DON'T WANT TO DO A
LITTLEDABWILLDOYOU FOR HUNDREDS OF CITIES BECAUSE THAT WON'T WORK MR
SHAFROTH SAID

IT'S CLEAR THE ADMINISTRATION HAS BEEN WRESTLING WITH SUCH ISSUES IN RECENT
MONTHS IN FEBRUARY THE TREASURY DEPARTMENT SAID THERE WOULD BE 50
ENTERPRISE ZONES THE SAME NUMBER INCLUDED IN LEGISLATION PASSED LAST YEAR
BY THE CONGRESS BUT VETOED BY PRESIDENT BUSH YESTERDAY HOWEVER
ADMINISTRATION OFFICIALS SAID THAT BECAUSE ONLY LIMITED FUNDS WERE AVAILABLE
FOR THE INITIATIVE THEY DECIDED TO GIVE MAXIMUM BENEFITS TO ONLY 10
COMMUNITIES

THE ADMINISTRATION'S PROPOSAL CALLS FOR ESTABLISHING SIX EMPOWERMENT ZONES
IN URBAN AREAS THREE IN RURAL AREAS AND ONE ON AN INDIAN RESERVATION A
SIMILAR BREAKDOWN WOULD BE USED FOR THE 100 SECONDTIER COMMUNITIES
COMMUNITIES TO BE ELIGIBLE MUST HAVE HIGHERTHANAVERAGE POVERTY RATES
AND THEY MUST SUBMIT COMPREHENSIVE PLANS ON HOW THEY WOULD USE THE INCREASED
FEDERAL HELP THE 110 COMMUNITIES WOULD BE SELECTED BY AN INTERAGENCY BOARD
MADE UP OF THE HEADS OF THE CABINET AGENCIES INVOLVED

OF THE 41 BILLION THAT WOULD BE USED FOR TAX BREAKS AS MUCH AS 80 WOULD
GO TOWARD TWO TYPES OF WAGE CREDITS THAT WOULD BE AVAILABLE TO THE 10 AREAS
SELECTED AS EMPOWERMENT COMMUNITIES ONE CREDIT WOULD BE WORTH AS MUCH AS
5000 PER WORKER AND GO TO BUSINESSES THAT HIRE LOCAL WORKERS THE OTHER
WOULD PROVIDE CREDITS OF AS MUCH AS 2400 PER WORKER FOR BUSINESSES THAT
ARE LOCATED OUTSIDE THE ZONE BUT HIRE RESIDENTS OF THE ZONE THE LATTER
WOULD BE ACCOMPLISHED THROUGH AN EXPANSION OF THE TARGETED JOBS TAX CREDIT
WHICH EXPIRED IN JUNE 1992 BUT WOULD BE EXTENDED UNDER THE ADMINISTRATION'S
PROPOSAL

BUSINESSES IN THE 10 SUPER ZONES ALSO WOULD BE ALLOWED TO WRITE OFF IN THE
FIRST YEAR AS MUCH AS 75000 IN EQUIPMENT PURCHASES THE CURRENT CAP IS
10000 PURCHASES OF MORE THAN 300000 ANNUALLY WOULDN'T BE ELIGIBLE FOR
THE SPECIAL TREATMENT ADMINISTRATION OFFICIALS SAID THIS PROVISION WOULD
LIKELY BE ESPECIALLY APPEALING TO SMALL AND MEDIUMSIZED BUSINESSES

ALL 110 ZONES WOULD BE ELIGIBLE FOR A PROPOSED RESIDENT EMPOWERMENT SAVINGS
ACCOUNT UNDER WHICH EMPLOYERS WOULD RECEIVE A TAX CREDIT OF 2 FOR THE
FIRST 30000 IN EMPLOYEE WAGES THAT THEY INVEST IN A CONTRIBUTION FUND THE
EMPLOYEES WOULD BE ALLOWED TO WITHDRAW THE FUNDS WITHOUT TAX PENALTIES SO
LONG AS THE FUNDS WERE USED FOR EDUCATION RETIREMENT TO START A BUSINESS
OR BUY A FIRST HOME

ADMINISTRATION OFFICIALS STRESSED THAT THE PLAN TO STREAMLINE GOVERNMENT
PROGRAMS WAS JUST AS IMPORTANT IF NOT MORE SO THAN THE PLANNED FINANCIAL
INCENTIVES THE ADMINISTRATION INTENDS TO SET UP A SINGLE POINTOFCONTACT
SYSTEM FOR DISBURSING FEDERAL FUNDS TO THE AFFECTED COMMUNITIES RATHER THAN
RELYING ON THE CURRENT SYSTEM OF USING MULTIPLE AGENCIES TO HAND OUT AID FOR
SUCH PROGRAMS AS HOUSING AND JOB TRAINING AND OFFICIALS CONTEND THAT BY
LIFTING REGULATIONS THEY WILL BE ABLE TO RESPOND TO COMPLAINTS FROM MAYORS
THAT CURRENT FEDERAL FUNDING IS TOO RESTRICTED

DAVID WESSEL CONTRIBUTED TO THIS ARTICLE

REP CHARLES RANGEL IS A DEMOCRAT FROM NEW YORK AN ARTICLE WEDNESDAY
INCORRECTLY REPORTED HIS PARTY AFFILIATION 9305050015 930505 PEOPLE WHO
LIVE IN THIS SUBURB CAN END UP BEING CARTED AWAY  BY ALECIA SWASY
 STAFF REPORTER OF THE WALL STREET JOURNAL

JIM MURRAY WANTS TO RID SUBURBIA OF A NASTY SCOURGE RECKLESS GOLFCART
DRIVERS

THE PEACHTREE CITY GA POLICE CHIEF WANTS THE CITY COUNCIL TO IMPOSE
STIFFER PENALTIES TO CURB MISHAPS ON THE TOWN'S 60 MILES OF GOLFCART PATHS
IT USED TO BE NICE HERE WHEN WE HAD JUST 500 CARTS LAMENTS MR MURRAY A
FORMER HOMICIDE DETECTIVE NOW WE'VE GOT ABOUT 4000 OF THEM CART LAWS
ARE A BIG DEAL IN THIS GOLFCOURSE COMMUNITY MANY RESIDENTS ALSO USE THE
VEHICLE AS A TOWN CAR

THE DEPARTMENT ISSUES ABOUT A DOZEN CITATIONS A MONTH TO GOLFCART DRIVERS
THE BIGGEST PROBLEM IS UNDERAGE DRIVERS BY LAW A 12YEAROLD CAN OPERATE A
GOLF CART IF AN ADULT IS RIDING ALONG BUT TYKES ARE TAKING THE WHEEL THE
POLICEMAN RECALLS NABBING A FIVEYEAROLD WHOSE PARENTS WERE ALONG FOR THE
RIDE

KIDS HOWEVER DON'T CAUSE ALL THE PROBLEMS THE POLICE HAVE ISSUED
DRUNKDRIVING VIOLATIONS TO THEIR PARENTS WE'VE NEVER HAD AN UNDERAGE
DRUNK DRIVER THEY'RE USUALLY IN THEIR 50S MR MURRAY SAYS ONE MAN WAS SO
TIPSY THE POLICE CHIEF SUGGESTED THAT HIS PASSENGER A LARGE DOG COULD'VE
DRIVEN THE CART BETTER

MOST OF THE ACCIDENTS INVOLVE GOLF CARTS RAMMING CARS OR PARENTS BACKING
OVER JUNIOR AFTER HE FALLS OUT OF THE CART THE POLICE DEPARTMENT DOESN'T
USUALLY HEAR ABOUT THOSE INCIDENTS THE DRIVERS ARE USUALLY TOO EMBARRASSED
TO REPORT THEM

GOLFCART TRAFFIC IS GOING TO GET WORSE CITY OFFICIALS EXPECT THE TOWN'S
POPULATION TO DOUBLE IN THE NEXT FEW YEARS THE POLICE ESTIMATE THAT TRAFFIC
WILL SWELL TO 10000 CARTS BY 1999

A NEW LAW IF PASSED THIS WEEK BY THE COUNCIL WOULD RAISE THE DRIVER'S AGE
LIMIT TO 15 AND IMPOSE FINES OF AS MUCH AS 500 RATHER THAN 55 HABITUAL
TROUBLEMAKERS COULD LOSE THEIR CARTS

OLDER PEOPLE WHO USE THEIR CARTS TO GET TO STORES APPLAUD THE CRACKDOWN
LIANE JUSTICE A RETIRED VETERANS ADMINISTRATION COUNSELOR COMPLAINS THAT
SPEEDING TEENAGERS OFTEN FORCE HER OFF THE PATH WHEN SHE'S EN ROUTE TO HER
GARDENCLUB MEETINGS I MOVE OVER IF THEY DRIVE TOO FAST SAYS THE
72YEAROLD MRS JUSTICE IF THEY'RE BIGGER THAN ME THEY HAVE THE RIGHT OF
WAY

FINES SHOULD HELP SLOW THE SPEEDERS BUT SHE'S STILL WAITING FOR A SOLUTION
TO ANOTHER PROBLEM THE GOLFER GROWNUPS WITH GOLF BAGS ON THEIR CARTS
ARE PRETTY RUDE TOO SHE SAYS THEY SEEM TO FEEL IT'S THEIR PATH
9305050013 930505 WHO'S NEWS TIMES MIRROR CO

TIMES MIRROR CO LOS ANGELES DUANE STORHAUG CONTROLLER WAS ELECTED
VICE PRESIDENT AND ALSO WILL SERVE AS CHIEF ACCOUNTING OFFICER OF THIS MEDIA
AND INFORMATION CONCERN MR STORHAUG 55 YEARS OLD SUCCEEDS DONALD S
MAXWELL 62 WHO WILL ASSUME RESPONSIBILITY FOR AUDIT AND CORPORATE
PROJECTS THE COMPANY SAID JOAN A PAYDEN WAS ELECTED A DIRECTOR SHE FILLS
ONE OF THREE VACANCIES CREATED BY THE RETIREMENTS OF PETER S BING WALTER
B GERKEN AND PHILLIP L WILLIAMS MS PAYDEN 61 IS PRESIDENT AND CHIEF
EXECUTIVE OFFICER OF PAYDEN & RYGEL AN INVESTMENT MANAGEMENT FIRM BASED IN
LOS ANGELES 9305050012 930505 INTERNATIONAL HYUNDAI TO HALT OUTPUT 4
DAYS

SEOUL SOUTH KOREA HYUNDAI MOTOR CO SOUTH KOREA'S LARGEST AUTO MAKER
SAID IT IS SUSPENDING PRODUCTION AT ALL PLANTS FOR FOUR DAYS BECAUSE OF A
DISRUPTION IN THE SUPPLY OF PARTS CAUSED BY A LABOR DISPUTE AT A SUPPLIER

ACCORDING TO HYUNDAI OFFICIALS A LABOR DISPUTE AT APOLLO INDUSTRIAL CO
HALTED THE SUPPLY OF BUMPERS FORCING HYUNDAI TO SHUT DOWN THREE CAR
ASSEMBLY LINES AND PLANTS FOR VANS AND TRUCKS APOLLO SUPPLIES ABOUT 90 OF
THE BUMPERS HYUNDAI NEEDS TO MAKE ITS PASSENGER CARS

THE SHUTDOWN WILL COST HYUNDAI 4000 VEHICLES OR 30 BILLION WON 377
MILLION A DAY THE OFFICIALS SAID 9305050011 930505 TECHNOLOGY 
MULTIMEDIA STARTUP 3DO GETS A VOTE OF CONFIDENCE FROM INVESTORS IN IPO 
 BY CHARLES MCCOY STAFF REPORTER OF THE WALL STREET JOURNAL

SOME COMPUTER EXECUTIVES THINK BOTH MULTIMEDIA IN GENERAL AND 3DO IN
PARTICULAR MAY HAVE BEEN HYPED AND QUESTION WHETHER THE VAST MARKETS THAT
MULTIMEDIA BACKERS PREDICT WILL EVER MATERIALIZE THUS 3DO'S OFFERING WAS
CLOSELY WATCHED AS A BAROMETER OF INVESTOR ENTHUSIASM FOR 3DO AND MULTIMEDIA
IN GENERAL THE MARKET'S VERDICT A RESOUNDING THUMBS UP

ANALYSTS SAID THE OFFERING'S SUCCESS SHOWS THAT INVESTORS BELIEVE IN THE
COMPANY'S CONCEPT AND THINK 3DO HAS A CHANCE TO BECOME A STANDARD BEARER
EVERYBODY IS LOOKING FOR ANOTHER MICROSOFT SAID TIM BAJARIN A COMPUTER
CONSULTANT IN SAN FRANCISCO 3DO IS VAPORWARE' RIGHT NOW THEY DON'T
HAVE ANY REAL PRODUCTS NO REVENUES NO PROFITS BUT PEOPLE WHO MISSED OUT
ON MICROSOFT THE FIRST TIME AROUND THINK THAT WITH ALL THE RISKS THIS MIGHT
BE ANOTHER MICROSOFT IN THE MAKING MICROSOFT CORP OF COURSE WENT FROM
SOFTWARE UPSTART TO A DOMINANT INDUSTRY JUGGERNAUT WITHIN A FEW SHORT YEARS
MAKING FORTUNES FOR INVESTORS WHO BOUGHT IN EARLY

THE TRICK NOW FOR 3DO WILL BE TO WIN OVER CONSUMERS AND FIGHT OFF A HORDE
OF HUNGRY POWERHOUSE COMPETITORS WHICH INCLUDE THE LIKES OF NINTENDO LTD
SEGA ENTERPRISES LTD APPLE COMPUTER INC AND MICROSOFT ITSELF AMONG
OTHERS ALL ARE SCRAMBLING TO COME UP WITH THE SAME KIND OF TECHNOLOGY 3DO
IS DEVELOPING THE GOAL IS TO CREATE A SINGLE MACHINE THAT ALLOWS USERS TO
PLAY GAMES WATCH MOVIES LISTEN TO MUSIC SHOP ELECTRONICALLY EDIT FAMILY
VIDEOTAPES AND DO COUNTLESS OTHER THINGS IN THE COMFORT OF THEIR LIVING
ROOMS

SOME ANALYSTS BELIEVE 3DO'S MACHINES HAVE PROMISE AND AN EDGE PARTLY
BECAUSE 3DO ALREADY HAS ALLIANCES WITH POWERFUL PARTNERS SUCH AS TIME WARNER
INC AND JAPAN'S MATSUSHITA ELECTRIC INDUSTRIAL CO BUT A CRUCIAL TEST FOR
THE COMPANY WILL COME THIS SUMMER WHEN IT WILL BEGIN TO SHIP MACHINES
THEN CONSUMERS WILL GET A HANDLE ON JUST HOW VERSATILE 3DO'S SOFTWARE AND
OPERATING SYSTEMS ARE AND WHETHER THEY CAN BECOME STANDARDS FOR THE
MULTIMEDIA INDUSTRY MR HAWKINS IS EXPECTED TO DISCLOSE DETAILS ABOUT THE
PRODUCTS IN JUNE AT THE CONSUMER ELECTRONICS SHOW IN CHICAGO WHERE HE'S
SCHEDULED TO BE THE KEYNOTE SPEAKER

UNTIL THEN 3DO'S FUTURE REMAINS HARD TO GAUGE THIS COULD BE A GOLD MINE
BUT THERE'S CERTAINLY A LOT OF RISK THAT IT WON'T PAN OUT SAID RICHARD
SHAFFER A COMPUTER CONSULTANT MR SHAFFER WORRIES THAT 3DO MAY WIND UP
FLOUNDERING LIKE NEXT INC COMPUTER LEGEND STEVE JOBS'S ATTEMPT TO RECREATE
THE SUCCESS HE HAD IN COFOUNDING APPLE 9305050010 930505 SEC LAUNCHES
NEW JERSEY BOND INVESTIGATION  BY LAURIE P COHEN AND MICHAEL
SICONOLFI STAFF REPORTERS OF THE WALL STREET JOURNAL

NEW YORK A FEDERAL INVESTIGATION INTO THE SALE OF 29 BILLION OF NEW
JERSEY TURNPIKE BONDS HAS BROADENED TO INCLUDE AN INQUIRY BY THE SECURITIES
AND EXCHANGE COMMISSION

THE NEW YORK OFFICE OF THE SEC IS LOOKING AT WHETHER MERRILL LYNCH & CO AND
OTHER WALL STREET INVESTMENT BANKS INVOLVED IN THE SALE OF NEW JERSEY
TURNPIKE AUTHORITY BONDS VIOLATED SECURITIES LAWS IN CONNECTION WITH THE
SALE OF THOSE BONDS PEOPLE WITH KNOWLEDGE OF THE INVESTIGATION SAID

THE US ATTORNEY'S OFFICE IN MANHATTAN HAD EARLIER BEGUN AN INVESTIGATION
INTO WHETHER MERRILL MADE ILLEGAL PAYMENTS TO A FIRM WITH POLITICAL AND
FINANCIAL CONNECTIONS TO A TOP AIDE TO NEW JERSEY GOV JIM FLORIO TO RECEIVE
PART OF THE TURNPIKE BOND BUSINESS ACCORDING TO PEOPLE FAMILIAR WITH THE
MATTER

HOWEVER INDIVIDUALS WITH KNOWLEDGE OF THE INVESTIGATIONS SAY THE PROBES
PROBABLY WILL SPREAD BEYOND MERRILL TO OTHER UNDERWRITERS BEFORE THEY END
INVESTIGATORS THEY SAY SUSPECT ILLEGAL PAYMENTS OFTEN ARE MADE BY
INVESTMENT BANKS LAW FIRMS AND OTHERS WHO STAND TO PROFIT FROM BOND
UNDERWRITINGS MERRILL LYNCH HAS SAID IT IS COOPERATING FULLY WITH THE
INVESTIGATION AND LAWYERS FOR THE THREE SENIOR MERRILL MUNICIPALBOND
EXECUTIVES WHO WERE PLACED ON ADMINISTRATIVE LEAVE MONDAY SAID THEIR CLIENTS
ARE ALSO COOPERATING WITH INVESTIGATORS

MEANWHILE NEW JERSEY SAID IT IS CHANGING THE WAY IT SELLS BONDS IN THE WAKE
OF THE INVESTIGATIONS IN AN EXECUTIVE ORDER ISSUED BY GOV FLORIO
YESTERDAY ALL NEW JERSEY STATE DEPARTMENTS AND AGENCIES WILL NOW OPEN UP
THE SALE OF BOND ISSUES TO COMPETITIVE BIDDING PREVIOUSLY THE STATE
NEGOTIATED THE BIDS WITH UNDERWRITERS

RICHARD WALKER THE REGIONAL ADMINISTRATOR OF THE NEW YORK OFFICE OF THE
SEC WOULDN'T CONFIRM OR DENY THE EXISTENCE OF AN INVESTIGATION WHILE THE
SEC DOESN'T HAVE BROAD AUTHORITY OVER MUNICIPAL BOND ISSUERS IT DOES HAVE
JURISDICTION OVER WALL STREET INVESTMENT BANKS AND OVER MATTERS RELATING TO
SECURITIES FRAUD

MERRILL THE NATION'S BIGGEST BROKERAGE FIRM WAS THE LEAD MANAGER ON A 16
BILLION NEW JERSEY TURNPIKE AUTHORITY BOND ISSUE IN 1991 MERRILL HAS SAID
THAT IT RECENTLY LEARNED THAT A NEW JERSEY STATE OFFICIAL HAD A BLIND TRUST
THAT INCLUDED AN OWNERSHIP INTEREST IN ARMACON SECURITIES INC A SMALL
CLEMENTON NJ BOND DEALER

WHILE MERRILL DIDN'T IDENTIFY THE NEW JERSEY STATE OFFICIAL PEOPLE FAMILIAR
WITH THE MATTER SAID HE IS JOSEPH C SALEMA A LONGTIME PERSONAL FRIEND AND
CHIEF OF STAFF TO NEW JERSEY GOV FLORIO

THE INVESTIGATION APPEARS TO BE LOOKING INTO AMONG OTHER THINGS WHETHER
MERRILL MADE ILLEGAL PAYMENTS TO ARMACON AS A WAY OF GETTING THE
LEADMANAGER MANDATE ON THE NEW JERSEY TURNPIKE ISSUE THE PEOPLE FAMILIAR
WITH THE MATTER SAID SECURING A LEADMANAGER ROLE IS LUCRATIVE FOR WALL
STREET INVESTMENT BANKS LEAD UNDERWRITERS TYPICALLY KEEP ABOUT 50 OF
UNDERWRITING FEES WITH THE COMANAGERS SHARING THE REST

ACCORDING TO DOCUMENTS FILED WITH THE SEC THE OTHER OWNER OF THE FIRM IS
NICHOLAS A RUDI A LONGTIME BUSINESS PARTNER OF MR SALEMA AND AN ALLY OF
GOV FLORIO THE SEC DOCUMENTS ALSO SHOW THAT ARMACON'S CASH HOLDINGS
ASSETS AND NET CAPITAL ALL HAVE SOARED IN THE PAST TWO YEARS THAT COINCIDES
WITH THE PERIOD FOR WHICH MERRILL SAYS IT UNCOVERED APPARENT
IRREGULARITIES IN RELATION TO ARMACON

ARMACON'S CASH HOLDINGS SURGED TO 412001 AS OF DECEMBER 1992 FROM JUST
4600 IN FEBRUARY 1990 THE SEC DOCUMENTS SHOW ARMACON'S TOTAL ASSETS
SURGED TO 665577 IN DECEMBER 1992 FROM 10100 IN FEBRUARY 1990 THE SEC
DOCUMENTS SHOW AND ITS NET CAPITAL SWELLED TO 395710 FROM JUST 8100

ATTORNEYS FOR MESSRS RUDI AND SALEMA SAID YESTERDAY THEY WERE ADVISED BY
THE JUSTICE DEPARTMENT THAT THEIR CLIENTS WEREN'T TARGETS OF THIS
INVESTIGATION HOWEVER A SENIOR GOVERNMENT OFFICIAL SAID IT WAS STILL TOO
EARLY TO KNOW WHO THE ACTUAL TARGETS MIGHT BE AS A MATTER OF POLICY HE
SAID THE JUSTICE DEPARTMENT WOULD TELL INDIVIDUALS THEY WEREN'T TARGETS
UNTIL MORE DETAILS COULD BE LEARNED

ARTHUR BURNS MR SALEMA'S LAWYER SAID YESTERDAY MR SALEMA HAD NO
INVOLVEMENT IN THE SELECTION OF ANY UNDERWRITERS LAWYERS OR OTHER PERSONNEL
WHO WORKED ON THIS BOND ISSUE HE SAID THE BOND ISSUE WAS HANDLED BY THE
NEW JERSEY TURNPIKE AUTHORITY

AMONG OTHER FIRMS THAT DID A SIGNIFICANT AMOUNT OF BUSINESS THROUGH ARMACON
IS PHILDELPHIA'S BUTCHER & SINGER INC A UNIT OF WHEAT FIRST SECURITIES
INC PEOPLE FAMILIAR WITH THE MATTER SAID BUTCHER & SINGER ALSO WAS AMONG
THE UNDERWRITERS OF THE 16 BILLION NEW JERSEY TURNPIKE BOND ISSUE IN 1991
A WHEAT FIRST SPOKESWOMAN SAID BUTCHER & SINGER HAD NOT RECEIVED A SUBPOENA
ADDING BECAUSE IT APPEARS TO BE A SITUATION THAT'S UNDER INVESTIGATION
COMPANY POLICY IS NOT TO COMMENT

MEANWHILE THE MANHATTAN US ATTORNEY'S OFFICE ALSO IS LOOKING INTO
MERRILL'S DEALINGS WITH CONSOLIDATED FINANCIAL MANAGEMENT ANOTHER SMALL
BOND DEALER PEOPLE FAMILIAR WITH THE MATTER SAID MR SALEMA FORMERLY WAS A
PARTNER AT THAT FIRM BUT APPARENTLY SOLD HIS INTEREST IN THE FIRM TO MR
RUDI BEFORE BECOMING MR FLORIO'S CHIEF OF STAFF THE PEOPLE SAID

MERRILL DECLINED TO COMMENT ON ITS INVOLVEMENT WITH CONSOLIDATED FINANCIAL
MANAGEMENT AND PEOPLE FAMILIAR WITH THE MATTER SAY MERRILL HAS NOT BEEN
ASKED FOR RECORDS OF ITS DEALINGS WITH CONSOLIDATED FINANCIAL BUT MERRILL
HAS BEEN AN UNDERWRITER IN NO FEWER THAN 10 NEW JERSEY BOND ISSUES IN WHICH
CONSOLIDATED FINANCIAL MANAGEMENT ACTED AS ADVISER ACCORDING TO INFORMATION
PROVIDED BY SECURITIES DATA CO A NEWARK NJ RESEARCH FIRM AT LEAST TWO
OF THE BOND ISSUERS UNION COUNTY AND PENNSAUKEN TOWNSHIP BOARD OF
EDUCATION CHOSE MERRILL AS THE LEAD UNDERWRITER SECURITIES DATA SAYS

MERRILL SUSPENDED THREE SENIOR MUNICIPALBOND EXECUTIVES PENDING COMPLETION
OF THE FEDERAL INVESTIGATION MERRILL HAS BEEN SUBPOENAED IN THE CASE BUT
HAS SAID IT IS NOT THE TARGET OF THE INVESTIGATION MERRILL SAID IT HAS
FOUND NO EVIDENCE OF CRIMINAL CONDUCT BY THE THREE EXECUTIVES WHO WERE
PLACED ON ADMINISTRATIVE LEAVE WITH PAY MERRILL SAID ITS PUBLICFINANCE
GROUP WILL NOW REPORT TO EDWARD SHERIDEN A MANAGING DIRECTOR IN CHARGE OF
MUNICIPAL MARKETS AND ITS MUNICIPAL SYNDICATE DESK WILL REPORT TO THEODORE
LISEC HEAD OF MUNICIPAL BOND TRADING

MEANWHILE CS HOLDING AG'S FIRST BOSTON CORP UNIT ANOTHER UNDERWRITER IN
THE NEW JERSEY TURNPIKE BOND ISSUE SAID IT HAD RECEIVED FEDERAL GRANDJURY
SUBPOENAS OTHER COUNDERWRITERS IN THE BIG TURNPIKE ISSUE INCLUDING
SHEARSON LEHMAN BROTHERS INC AND GOLDMAN SACHS & CO TWO MAJOR
MUNICIPALBOND DEALERS SAID THEY HADN'T RECEIVED SUBPOENAS

MERRILL LYNCH HAS SAID IT DISCOVERED APPARENT IRREGULARITIES RELATED TO
TRANSACTIONS CONDUCTED WITH ARMACON IN 1991 AND THAT IT DISCLOSED THIS
INFORMATION TO THE US ATTORNEY'S OFFICE LAST MONTH PROSECUTORS
SUBPOENAED RECORDS FROM THE OFFICES OF GOV FLORIO THE STATE TREASURER AND
THE TURNPIKE AUTHORITY INVOLVING THE UNDERWRITING OF THE TURNPIKE BONDS MR
SALEMA WAS ALSO SUBPOENAED MERRILL ACTED AS THE SENIOR UNDERWRITER FOR THE
BOND ISSUE WITH SOME 48 OTHER FIRMS INVOLVED

INDIVIDUALS WITH KNOWLEDGE OF THE INVESTIGATION SAID THAT DAVID GOLDBERG
THE CHAIRMAN OF THE TURNPIKE AUTHORITY WAS EXTENSIVELY INTERVIEWED BY
GOVERNMENT INVESTIGATORS THESE INDIVIDUALS SAID MR GOLDBERG MAINTAINED
THAT HE CHOSE MERRILL LYNCH AS SENIOR UNDERWRITER BECAUSE LAZARD FRERES &
CO WHICH SERVED AS FINANCIAL ADVISER ON SIX SEPARATE TURNPIKE BOND ISSUES
HAD RECOMMENDED THAT MERRILL TAKE THE LEAD NEITHER MR GOLDBERG NOR HIS
ATTORNEY RETURNED REPEATED PHONE CALLS YESTERDAY

LAZARD EARNED 225 MILLION FOR ITS ADVISORY WORK INVESTIGATORS ARE
UNDERSTOOD TO HAVE QUESTIONED COOPERATING MERRILL OFFICIALS ABOUT THEIR
RELATIONSHIPS WITH LAZARD

A PERSON CLOSE TO LAZARD SAID NEITHER THE FIRM NOR ANY EMPLOYEE HAS YET TO
RECEIVE A SUBPOENA IN THE CASE OR ANY OTHER REQUEST FOR DOCUMENTS THE
PERSON SAID LAZARD RECOMMENDED MERRILL AS LEAD UNDERWRITER FOR THE BIG NEW
JERSEY TURNPIKE BOND ISSUE AFTER CONDUCTING EXTENSIVE INTERVIEWS LAZARD
ALSO RECOMMENDED THAT THE TURNPIKE AUTHORITY HIRE OTHER INVESTMENT BANKS TO
BE LEAD MANAGERS ON SEVERAL OTHER SMALLER TURNPIKE BOND ISSUES THE PERSON
SAID 9305050009 930505 BUSINESS BRIEF FIRST FIDELITY BANCORP FIRM
COMPLETES ACQUISITION OF NORTHEAST BANCORP INC

FIRST FIDELITY BANCORP SAID IT COMPLETED THE ACQUISITION OF NORTHEAST
BANCORP INC A BANKING COMPANY BASED IN STAMFORD CONN

NORTHEAST BANCORP'S PRINCIPAL SUBSIDIARY UNION TRUST CO OPERATES 41 OF
ITS 68 BRANCHES IN FAIRFIELD COUNTY

AS PREVIOUSLY INDICATED NORTHEAST SHAREHOLDERS WILL RECEIVE 008408 SHARE
OF FIRST FIDELITY COMMON FOR EACH OF 726 MILLION NORTHEAST VOTING AND
NONVOTING SHARES BASED ON YESTERDAY'S NEW YORK STOCK EXCHANGE CLOSING PRICE
OF 44875 THE ACQUISITION IS WORTH ABOUT 274 MILLION IN FIRST FIDELITY
SHARES

FIRST FIDELITY LAWRENCEVILLE NJ HAS 305 BILLION IN ASSETS IT
OPERATES MORE THAN 500 OFFICES IN NEW JERSEY PENNSYLVANIA AND NEW YORK AND
HAS BEEN EXPANDING IN THE NEW YORK AND CONNECTICUT SUBURBS 9305050008
930505 POLITICS & POLICY REICH IVY LEAGUE THINKER TRIES TO SELL IDEAS 
ON LABOR TO WASHINGTON RELUCTANT BELIEVER  BY KEVIN G SALWEN 
STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON ROBERT REICH'S EDUCATION IN THE FEDERAL BUREAUCRACY CAME IN A
CAFETERIA LINE

JUST DAYS AFTER HE HAD CLOSED THE LABOR DEPARTMENT'S EXECUTIVE DINING ROOM
TO SAVE MONEY AND TO FORCE AGENCY EXECUTIVES TO MEET WITH REAL WORKERS
THE LABOR CHIEF WAS CHATTING WITH THE WOMAN BEHIND HIM IN THE LUNCH LINE
SHE HAD WORKED AT THE DEPARTMENT FOR 38 YEARS SHE SAID AND ASKED WHERE DO
YOU WORK

MR REICH UPSTAIRS I'M THE SECRETARY

REAL WORKER WHOSE SECRETARY

BOB REICH THINKER HAS COME TO WASHINGTON FOR DECADES EVEN BEFORE HE MET
BILL CLINTON ON A FATEFUL 1968 BOAT TRIP TO OXFORD FOR THEIR RHODES
SCHOLARSHIPS MR REICH HAS BEEN THINKING ABOUT WAYS TO IMPROVE THE US
ECONOMY AND WORK FORCE AND MANAGEMENT AND JUST ABOUT ANYTHING ELSE THAT
COMES HIS WAY NOW IT'S HIS TURN TO TRY TO MAKE IT HAPPEN

IF ONLY WASHINGTON WOULD COOPERATE HIS PLAN TO EXPAND THE YOUTH SUMMER JOBS
PROGRAM IS MIRED IN THE ILLFATED STIMULUS PACKAGE HIS CONCEPT TO MERGE ALL
JOBTRAINING PROGRAMS INTO ONESTOP SHOPPING DRAWS BEHINDTHESCENES
SNICKERS FROM OFFICIALS AT AGENCIES THAT WOULD HAVE TO HAND OVER THEIR
CURRENT SYSTEMS AND FUNDS HIS COMMISSION TO REVIEW LABORMANAGEMENT
COOPERATION BRINGS SCOFFS FROM BUSINESS GROUPS A YEAR BEFORE ANY
RECOMMENDATIONS WILL COME OUT AND LEGISLATION HE SUPPORTS BUT DIDN'T
INVENT TO BAN PERMANENT REPLACEMENT OF STRIKING WORKERS FACES A BLOODY
BATTLE IN THE SENATE

IN SOME WAYS MR REICH'S IDEAS AND DIFFICULTIES ARE EMBLEMATIC OF THE
CLINTON ADMINISTRATION'S STRUGGLE TO WIN ACCEPTANCE FOR GOVERNMENTEXPANSION
CONCEPTS THAT ARE DISARMING IN A CITY WHERE DISMANTLERS HAVE RULED FOR A
DOZEN YEARS MR REICH'S STYLE IS DISARMING TOO HE IS THE FIRST CABINET
SECRETARY TO HAVE A BEARD SINCE SECRETARY OF STATE CHARLES EVANS HUGHES IN
THE HARDING ADMINISTRATION OF THE EARLY 1920S SAYS DONALD RITCHIE OF THE
SENATE HISTORICAL OFFICE

AT A RECENT HEARING ON REFORMS TO THE OCCUPATIONAL SAFETY AND HEALTH ACT
MR REICH STRAPPED A MICROPHONE AROUND HIS NECK STOOD IN FRONT OF A SERIES
OF COLOR CHARTS PROPPED ON AN EASEL AND FOR 15 MINUTES WITHOUT NOTES
LECTURED A DOZEN MEMBERS OF THE HOUSE EDUCATION AND LABOR COMMITTEE ON
WORKERINJURY RATES

FOR THE FORMER HARVARD UNIVERSITY LECTURER IT WAS JUST ANOTHER PERFORMANCE
FOR POLITICIANS OF BOTH PARTIES IT WAS REMARKABLE IN MY 13 YEARS IN
CONGRESS YOUR PERFORMANCE TODAY IS TRULY THE MOST IMPRESSIVE BY A CABINET
SECRETARY MARVELED REPUBLICAN STEVE GUNDERSON OF MINNESOTA

THE 46YEAROLD MR REICH IS JUST BEGINNING BACK IN HIS OFFICE TWO EASELS
DISPLAY IDEAS ON ONE THE PAPER SHEET HAS BEEN EXTENDED TO ACCOMMODATE MORE
THOUGHTS FOUR COLUMNS WRITTEN IN BLUE AND RED MARKER DIVIDE THE PAGES
FIRST JOBS NEW JOBS BETTER JOBS AND OTHER

THE PROBLEM AS MR REICH SEES IT IS TWOFOLD FIRST IS WHAT HE CALLS THE
DEMAND SIDE THAT IS BUSINESS'S DEMAND FOR WORKERS MANY US COMPANIES
STILL TRY TO COMPETE ON LOW PRICES THAT COME OUT OF PALTRY WAGES OR CHEAP
MANUFACTURING METHODS AT A TIME WHEN THE GLOBAL ECONOMY ALWAYS OFFERS A
CHEAPER PRODUCER WITH EVEN LOWER WAGES THAT STRATEGY IS A DISASTER MR
REICH CONTENDS SURVIVAL OF THE FITTEST WILL DISPOSE OF THESE COMPANIES
EVENTUALLY HE SAYS

THEN THERE IS THE WORKFORCE SUPPLY SIDE AMERICANS TEND TO THINK OF THE
LEARNING PROCESS AS ONE THAT ENDS WITH GRADUATION FROM HIGH SCHOOL OR
COLLEGE BUT WHEN PEOPLE CHANGE JOBS SIX OR MORE TIMES IN THEIR WORKING
LIVES THAT EDUCATION SIMPLY ISN'T ENOUGH MR REICH ARGUES

THE REICH SOLUTION IS BASED ON THE THEORY THAT US COMPANIES NEED TO
JETTISON THEIR DECADESOLD MANAGEMENT STRUCTURE AND REINVENT THEMSELVES AS
HIGHPERFORMANCE WORKPLACES

I AM REPEATEDLY STRUCK BY THE NUMBER OF PEOPLE IN AMERICA WHO VIEW THEIR
JOBS AS ABSOLUTE DRUDGERY THEN POUR ALL OF THEIR CREATIVE JUICES INTO THEIR
HOBBIES CLUBS OR RELIGIOUS ORGANIZATIONS HE ARGUES THESE ARE PEOPLE
WITH ENORMOUS CREATIVITY AND POTENTIAL THERE IS NO REASON WHY THEIR WORK
HAS TO BE STRUCTURED AS DRUDGERY

IN A HIGHPERFORMANCE WORK ENVIRONMENT WORKERS BECOME DECISIONMAKERS
ASSEMBLED INTO HORIZONTAL TEAMS FROM PRODUCTION TO SALES TO HELP CREATE
PRODUCTIVE INVOLVED WORKERS AND PROFITABLE ORGANIZATIONS MANAGEMENT GURUS
HAVE BEEN PREACHING THAT FOR A WHILE BUT FOR MR REICH AND HIS TEAM THE
CHALLENGE IS BRINGING GOVERNMENT INTO THE PROCESS HIS SOLUTION COMBINES A
MIX OF MUNDANE TAX INCENTIVES FOR STARTUP COMPANIES WITH A PROGRAM OF
BOOSTERISM AND ACADEMIA

FOR ONE THING MR REICH CONTENDS THAT US COMPANIES THAT HAVE SUCCESSFULLY
SET UP HIGHPERFORMANCE WORKPLACES SHOULD BE SHOWCASED SO THAT OTHER
CORPORATE MANAGERS CAN LEARN FROM THEM IN SPEECHES HE REPEATEDLY MENTIONS
HOW XEROX FORD ALLEGHENYLUDLUM AND OTHERS HAVE TURNED THEIR OPERATIONS
AROUND THROUGH LABORMANAGEMENT COOPERATION BUT HE WANTS THEM TO BE
RECOGNIZED ON WALL STREET TOO SO HIS STAFF IS PUTTING TOGETHER AN
ECONOMIC STUDY TO SHOW THAT THESE COMPANIES PERFORM BETTER IN THE LONG RUN
THOSE RESULTS WOULD BE USED TO TRY TO PERSUADE WALL STREET TO FOCUS ON THE
SOFTER SIDE OF BUSINESS RATHER THAN JUST THE SHORTTERM FINANCIAL ASPECTS

MR REICH ALSO HAS BEEN KICKING AROUND THE IDEA OF AN INSTITUTE FUNDED
PARTLY BY GOVERNMENT AT WHICH MIDDLE MANAGERS AND EMPLOYERS WOULD TEACH
MODERN CORPORATE STRUCTURE TO THOSE WHO HAVEN'T YET SEEN THE LIGHT MANY OF
THESE EXECUTIVES ARE BORN AGAIN MR REICH SAYS THEY WANT TO PREACH THE
GOSPEL

BUT MR REICH'S MORE INTRIGUING VISIONS ARE ON THE WORKERS SIDE THAT IS
BECAUSE OVERHAULING THE WORK FORCE MEANS FIGURING OUT HOW TO TRAIN PEOPLE
FOR THE MORE COMPLEX WORKPLACE HE FORESEES A PROGRAM OF LIFELONG LEARNING
IN WHICH WORKERS WOULD BE TRAINED BOTH BY THE COMPANIES AND THE GOVERNMENT
SEVERAL TIMES AFTER SCHOOL

HE MUSES ABOUT CREATING A SYSTEM OF REEMPLOYMENT INSURANCE THAT WOULD BE
A SOCIAL SECURITYTYPE TRAINING ACCOUNT MONEY MIGHT BE PUT IN TAXFREE BY
THE WORKER AND EMPLOYER AND THEN EVERY DECADE OR SO AN EMPLOYEE COULD BAIL
OUT OF THE LABOR FORCE AND BE RETRAINED FOR SIX MONTHS

AT THE SAME TIME MR REICH WANTS A NEW SYSTEM OF TRAINING FOR DISPLACED
WORKERS IN PAST RECESSIONS HE ARGUES 44 OF WORKERS GOT THEIR OLD JOBS
BACK AFTER THE DIP ENDED NOW ONLY ABOUT 14 ARE REGAINING THEIR OLD POSTS
BUT MANY STATES WON'T ALLOW WORKERS TO COLLECT UNEMPLOYMENT INSURANCE UNLESS
THEY ARE ACTIVELY LOOKING FOR A JOB MR REICH WANTS THOSE WORKERS TO BE
TRAINING FOR NEW JOBS NOT HUNTING FOR WORK IN THE OLD MENIAL TASKS HE
WANTS A PROGRAM THAT WOULD LET WORKERS COLLECT MONEY AND RETRAIN AT THE SAME
TIME

NOW MR REICH NEEDS TO SELL HIS IDEAS AND THAT WON'T BE EASY MANY BUSINESS
GROUPS THINK HE IS TOO EASILY SWAYED BY UNION PEOPLE UNIONISTS COUNTER THAT
HE IS TOO EAGER TO SET UP LABORMANAGEMENT TEAMS THAT COULD BYPASS A NEED
FOR ORGANIZED LABOR AND MANY UNION PEOPLE ARE ANGRY WITH HIS SUPPORT OF THE
NORTH AMERICAN FREE TRADE AGREEMENT

OTHER CRITICS ARGUE THAT MR REICH IS A THEORIST WHO NEEDS A STRONG DOSE OF
PRACTICALITY I THINK HE TRULY BELIEVES THERE'S A MAJOR ROLE FOR THE
FEDERAL GOVERNMENT IN EVERYTHING SAYS PENNSYLVANIA REP WILLIAM GOODLING
THE RANKING REPUBLICAN ON THE HOUSE EDUCATION AND LABOR COMMITTEE FROM
WHAT I'VE SEEN IN THE PAST WE'VE DONE MORE DAMAGE THAN GOOD WITH THE HEAVY
HAND OF THE FEDERAL GOVERNMENT

ASKED ABOUT SUCH COMPLAINTS MR REICH SITS BACK ON HIS OFFICE COUCH AND
SIGHS IT'S VERY HARD TO GET ANYTHING DONE THAT CHALLENGES THE STATUS QUO
PARTICULARLY IN TIMES OF ECONOMIC STRESS HE SAYS BUT IT HAS TO HAPPEN

REP STEVE GUNDERSON IS A WISCONSIN REPUBLICAN YESTERDAY'S ARTICLE ON LABOR
SECRETARY ROBERT REICH INCORRECTLY SAID MR GUNDERSON WAS FROM MINNESOTA
9305050007 930505 HEARD ON THE STREET ONCEHOT TELMEX SKIDS AS
INVESTORS BAIL OUT IN WAKE OF PHONE MONOPOLY'S WEAK RESULTS  BY
MATT MOFFETT STAFF REPORTER OF THE WALL STREET JOURNAL

MEXICO CITY IN MEXICO ALONE AMONG LATIN AMERICAN COUNTRIES THE STANDARD
SALUTATION WHEN ANSWERING A TELEPHONE IS BUENO OR GOOD THIS LINGUISTIC
QUIRK EVOLVED BECAUSE MEXICANS CAN NEVER BE SURE OF GETTING A GOOD
CONNECTION FROM THE HAPLESS PHONE MONOPOLY TELEFONOS DE MEXICO SA

BUT LAST WEEK INVESTORS LOOKING AT TELMEX'S FIRST QUARTER EARNINGS MIGHT
HAVE BEEN TEMPTED TO SHOUT MALO OR BAD

IN THE WAKE OF LAST WEEK'S EARNINGS REPORT TELMEX'S AMERICAN DEPOSITARY
RECEIPTS TUMBLED MORE THAN 10 BEFORE RECOVERING SOME GROUND AFTER THE
COMPANY SAID IT HAD AUTHORIZED A MODEST STOCK BUYBACK PROGRAM THE ADRS
CLOSED YESTERDAY AT 47 3/4 DOWN 8 SINCE THE EARNINGS ANNOUNCEMENT

AFTER THE POUNDING THE STOCK TOOK LAST WEEK IT LOOKS WAY OVERSOLD TO MANY
ANALYSTS THE TELMEX SELLOFF IS THE WORST EXAMPLE OF THE WALL STREET HERD
MENTALITY SAYS PAINEWEBBER INC ANALYST JACK GRUBMAN

TELMEX WHICH HAS BECOME ONE OF THE WORLD'S HOTTEST GROWTH STOCKS POSTED A
43 DECLINE IN NET INCOME TO 6526 MILLION OR 123 PER ADR THE DROP WAS
PARTLY DUE TO NONCASH FOREIGN EXCHANGE LOSSES STILL THE FIRST QUARTER'S 6
GROWTH IN REVENUE AND 7 GROWTH IN OPERATING EARNINGS WERE ABOUT HALF OF
WHAT WALL STREET HAD PROJECTED

SOME ONETIME FACTORS CONTRIBUTED TO THE LACKLUSTER QUARTER BUT THERE ARE
ALSO SIGNS OF AN IMPORTANT SWITCH IN MANAGEMENT STRATEGY TELMEX IS
BEGINNING TO FOCUS MORE ON PROVIDING BETTER SERVICE FOR CUSTOMERS PERHAPS
AT THE EXPENSE OF HIGHER GROWTH FOR INVESTORS THAT'S EVIDENT IN TELMEX'S
NEW EMPHASIS ON THE LESS IMMEDIATELY REMUNERATIVE AREA OF REPLACEMENT LINES

SHOULD THIS SERVICE STRATEGY WORRY INVESTORS IN THE SHORT TERM IT COULD
RAISE COSTS AND LOWER EARNINGS SAY ANALYSTS BUT IN THE LONG RUN THE NEW
FOCUS SHOULD IMPROVE PRODUCTIVITY AND EASE THE POLITICAL PRESSURE ON TELMEX
TO SERVE MEXICANS BETTER

FOR HIS PART TELMEX CHIEF EXECUTIVE OFFICER JUAN ANTONIO PEREZ SIMON
RESPONDS EMPHATICALLY TO A SUGGESTION THAT TELMEX GROWTH MIGHT BE SLOWING
NO NO NO NO HE SAYS MR PEREZ SIMON SAYS THE COMPANY'S FIRSTQUARTER
PERFORMANCE LOOKED WORSE THAN IT ACTUALLY WAS BECAUSE OF A NONCASH FOREIGN
EXCHANGE LOSS ON TELMEX'S YENDENOMINATED DEBT A RATE INCREASE THAT WASN'T
IMPLEMENTED UNTIL LATE IN THE QUARTER AND ANEMIC ECONOMIC GROWTH

HE DOESN'T DENY HOWEVER THAT TELMEX IS PUTTING RENEWED EMPHASIS ON
SERVICE OUR FIRST PRIORITY IS DIMINISHING THE IRRITATION OF THE CLIENT
MR PEREZ SIMON SAYS AS MANDATED IN ITS GOVERNMENT CONCESSION TELMEX IS
ADDING 823000 NEW LINES THIS YEAR BUT IT SHOULD REPLACE AN ADDITIONAL
600000 THAT'S TWICE AS MANY REPLACEMENT LINES AS LAST YEAR

TELMEX'S REPLACEMENT STRATEGY MAY ALSO BE LINKED TO NEXT YEAR'S MEXICAN
PRESIDENTIAL ELECTIONS PRESIDENT CARLOS SALINAS DE GORTARI IS PROHIBITED BY
LAW FROM SEEKING REELECTION AND IT'S UNCLEAR WHETHER HIS SUCCESSOR WILL BE
AS TOLERANT OF TELMEX'S SORRY SERVICE RECORD SAYS TIMOTHY DAVIS AN ANALYST
AT LAZARD FRERES & CO

ANOTHER CAUSE OF THE FIRSTQUARTER WEAKNESS SOME ANALYSTS ASSERT WERE
SLOWDOWN TACTICS BY THE POWERFUL TELEPHONE WORKERS UNION TO GAIN LEVERAGE
DURING CONTRACT NEGOTIATIONS THE NEW CONTRACT WAS SIGNED IN APRIL AND
MAKES REAL SALARY INCREASES CONTINGENT UPON PRODUCTIVITY INCREASES

THE PRODUCTIVITY CLAUSES ARE SO TOUGH THAT PAINEWEBBER'S MR GRUBMAN IS
STICKING WITH HIS ORIGINAL 6 PER ADR EARNINGS ESTIMATE FOR 1993 EVEN AFTER
THE ROUGH FIRST QUARTER THAT'S A 25 INCREASE OVER TELMEX'S 1992 EARNINGS
OF 481

OTHER ANALYSTS ARE LESS OPTIMISTIC SALOMON BROTHERS FOR INSTANCE RECENTLY
LOWERED ITS 1993 EARNINGS ESTIMATE TO 535 PER ADR FROM 575 BUT EVEN
WITHOUT RAPID EARNINGS GROWTH TELMEX LOOKS CHEAP THE STOCK IS TRADING AT
UNDER 10 TIMES TRAILING 12 MONTHS EARNINGS WHILE THE PRICE/EARNINGS RATIO
OF THE MEXICAN MARKET IS ABOUT 12 AND THAT OF MOST INTERNATIONAL PHONE
COMPANIES IS 17

INVESTORS WHO BUY TODAY MAY BE GETTING A BARGAIN BUT THAT'S NO GUARANTEE
THAT THE COMPANY'S SHARES WON'T SLIP FURTHER TELMEX WHICH ACCOUNTS FOR
30 OF THE MEXICAN MARKET'S TRADING VOLUME TENDS TO GET HIT ANYTIME
THERE'S WEAKNESS IN THE BROADER MEXICAN MARKET THE MARKET WILL BE
ESPECIALLY FROTHY IN THE COMING MONTHS AS THE US DEBATES THE PROPOSED
NORTH AMERICAN FREE TRADE AGREEMENT

DESPITE THE PROSPECT OF SOME GUTWRENCHING SHARE PRICE GYRATIONS TELMEX
STILL LOOKS ATTRACTIVE TO SOME INVESTORS YOU NOT ONLY HAVE GROWTH BUT NOW
YOU HAVE VALUE TOO SAYS LAIDLAW HOLDINGS INC CHAIRMAN GOTTFRIED VON
MEYERNHOHENBERG

YEAR ENDED DEC 31 1992

FIRST QUARTER MARCH 31 1993 9305050006 930505 WHO'S NEWS KLEINWORT
BENSON SAYS AGNEW TO QUIT AS CHIEF  SPECIAL TO THE WALL STREET
JOURNAL

LONDON BRITISH INVESTMENT BANK KLEINWORT BENSON GROUP PLC SAID THAT CHIEF
EXECUTIVE OFFICER JONATHAN AGNEW PLANS TO RESIGN IN AUGUST

KLEINWORT ADDED IN A NEWS RELEASE THAT IT WILL SEEK A SUCCESSOR FROM OUTSIDE
THE GROUP IT DIDN'T ELABORATE ON THE REASON FOR THE MOVE AND AN OFFICIAL
SAID SHE COULDN'T IMMEDIATELY GIVE FURTHER DETAILS

MR AGNEW STARTED WITH KLEINWORT BENSON AS HEAD OF ITS SECURITIES DIVISION
IN 1987 AND WENT ON TO BECOME GROUP CHIEF EXECUTIVE IN 1989 LONDON
NEWSPAPERS HAD WIDELY SPECULATED THAT HE WOULD STEP DOWN SOON AS PART OF THE
GROUP'S SEARCH FOR A NEW STRATEGY

KLEINWORT RECORDED A 66 JUMP IN PRETAX PROFIT FOR 1992 TO 463 MILLION
725 MILLION HELPED LARGELY BY A DECLINE IN NET CHARGES FOR BAD DEBTS
9305050005 930505 MARKETING & MEDIA READER'S DIGEST NET ROSE REVENUE
DROP SENDS STOCK DOWN  BY NEELA BANERJEE STAFF REPORTER OF THE
WALL STREET JOURNAL

READER'S DIGEST ASSOCIATION INC REPORTED A 5 GAIN IN THIRDQUARTER NET
INCOME BUT A DECLINE IN THE COMPANY'S US REVENUE CAUSED ITS STOCK PRICE
TO TUMBLE 13

THE 6 FALL IN US REVENUE WAS CAUSED BY SALES DECLINES IN THE COMPANY'S
BIG BOOKS AND HOME ENTERTAINMENT DIVISION THE SUGGESTION OF SLUGGISH GROWTH
PUSHED DOWN READER'S DIGEST STOCK 6 YESTERDAY TO 4050 ON THE NEW YORK
STOCK EXCHANGE ON VOLUME OF MORE THAN THREE MILLION SHARES

NET INCOME FOR THE FISCAL THIRD QUARTER WHICH ENDED MARCH 31 ROSE 5 TO
955 MILLION OR 80 CENTS A SHARE FROM 906 MILLION OR 75 CENTS A SHARE
A YEAR EARLIER OVERALL REVENUE ROSE 3 TO 7376 MILLION FROM 7186
MILLION BUT US REVENUE FELL TO 3076 MILLION

WHILE TWO ANALYSTS LOWERED THEIR EARNINGS PROJECTIONS FOR THE PLEASANTVILLE
NY COMPANY ONE OF THEM ALAN GOTTESMAN OF PAINEWEBBER INC CALLED THE
STOCK DECLINE AN OVERREACTION PEOPLE ARE UPSET OVER THE BOOK AND HOME
ENTERTAINMENT UNIT HE SAID

THE US BOOKS AND ENTERTAINMENT DIVISION POSTED LOWERTHANEXPECTED SALES
IN THE LAST TWO QUARTERS AND PROFIT FOR THE UNIT DECLINED SLIGHTLY FOR THE
QUARTER THE COMPANY ATTRIBUTED THE TREND TO A HIGH NUMBER OF NEW PRODUCT
OFFERINGS WHICH COULD HAVE BEEN BETTER IMPLEMENTED

OUR EXPERIENCE IN OTHER MARKETS TELLS US IT COULD TAKE UP TO 12 TO 24
MONTHS FOR THE US UNIT TO RETURN TO HISTORIC GROWTH PATTERNS SAID
CHAIRMAN AND CHIEF EXECUTIVE GEORGE V GRUNE HE ADDED THAT THE COMPANY'S
COSTCONTROL MEASURES WOULD HOLD EXPENSES OF THE NEW OFFERINGS AT CURRENT
LEVELS AND EVEN REDUCE SOME

WE BELIEVE OUR COST CONTROLS WILL GIVE US THE LEVERAGE TO MAINTAIN OUR
COMPANY'S EARNINGS GROWTH WHILE WE GET THE US BOOKS AND ENTERTAINMENT
DIVISION BACK ON TRACK MR GRUNE SAID THIS INTERRUPTION IN THE
DIVISION'S GROWTH SHOULD NOT PREVENT US FROM REPORTING ANOTHER GOOD YEAR IN
FISCAL 1994

THE DOLLAR'S REBOUND ABROAD HAS CUT INTO READER'S DIGEST'S STRONG
INTERNATIONAL SALES READER'S DIGEST DOES ABOUT 60 OF ITS BUSINESS OUTSIDE
THE US THE COMPANY SAID TOTAL REVENUE FOR THE QUARTER WOULD HAVE RISEN 8
NOT 3 WITHOUT THE IMPACT OF CHANGES IN CURRENCY EXCHANGE RATES
INTERNATIONAL REVENUE ROSE 10 FOR THE QUARTER IT WOULD HAVE RISEN 19 IF
NOT FOR THE CURRENCY SHIFTS

GOLDMAN SACHS & CO ANALYST ERIC PHILO SAID THE FALL IN THE COMPANY'S STOCK
PRICE REFLECTS CONCERN ABOUT THE SLOWDOWN IN US SALES UNTIL THE COMPANY
CAN PROVE THEIR US BUSINESS IS REPAIRED PEOPLE WILL STAY AWAY FROM THE
STOCK

AFTER LAUNCHING MANY NEW PRODUCTS IN THE BOOKS AND ENTERTAINMENT DIVISION
OVER THE LAST SEVERAL YEARS THE COMPANY STEADILY INCREASED ITS PROMOTIONS
TO MAILINGLIST CUSTOMERS UNTIL THEY WERE SATURATED SAID MR PHILO
THERE'S GOING TO BE A PERIOD OF ADJUSTMENT WHEN THEY WON'T BE PROMOTING SO
HEAVILY HE SAID THAT WAY THEY CAN BUILD UP READERS' APPETITE ONCE
MORE

MR GRUNE NOTED CONTINUED STRONG ADVERTISING SALES FOR READER'S DIGEST
MAGAZINE AND THE SPECIALINTEREST MAGAZINE GROUP WE ARE SEEING A REBOUND
IN ADVERTISING MR GRUNE SAID AND OUR SPECIALINTEREST MAGAZINES ARE
HEADING TOWARD PROFITABILITY RIGHT ON PLAN

THE COMPANY ALSO SAID IT PLANS TO REPURCHASE UP TO THREE MILLION SHARES OF
CLASS A NONVOTING COMMON STOCK FROM TIME TO TIME THIS IS THE SECOND BUYBACK
SINCE READERS DIGEST BECAME PUBLIC MORE THAN THREE YEARS AGO THE COMPANY
HAS ABOUT 97 MILLION CLASS A SHARES OUTSTANDING

FOR THE NINE MONTHS NET INCOME ROSE 13 TO 2355 MILLION OR 197 A
SHARE FROM 2082 MILLION OR 173 A SHARE REVENUE ROSE 11 TO 222
BILLION 9305050004 930505 CLINTON SIGNALS BENEFIT PHASEIN FOR HEALTH
PLAN  GOAL IS TO HOLD BACK COSTS TO US EMPLOYERS FIRST HELP
FOR CHILDREN  BY DAVID ROGERS STAFF REPORTER OF THE WALL STREET
JOURNAL

WASHINGTON THE CLINTON ADMINISTRATION SIGNALED A WILLINGNESS TO PHASE IN
BENEFITS UNDER ITS PROPOSED HEALTHCARE PLAN WHILE PURSUING AN AMBITIOUS
TIMETABLE THAT WOULD EXTEND COVERAGE TO ALL AMERICANS IN TWO TO THREE YEARS

BY MOVING RAPIDLY TO IMPLEMENT ITS PLAN THE WHITE HOUSE HOPES TO ALLEVIATE
THE COSTCONTAINMENT PROBLEMS IT WILL FACE DURING THE TRANSITION PERIOD AND
BY PHASING IN THE MORE EXPENSIVE BENEFITS THE ADMINISTRATION'S GOAL IS TO
REDUCE THE IMMEDIATE COSTS FOR BOTH GOVERNMENT AND EMPLOYERS WORRIED ABOUT
THE IMPACT OF THE PROPOSED PLAN

ALTHOUGH NO COMMITMENTS HAVE BEEN MADE CHILDREN FROM UNINSURED FAMILIES
MIGHT BE AMONG THOSE FIRST COVERED AS THE SYSTEM IS PUT INTO PLACE AND
WHILE THE ADMINISTRATION HAS SIGNALED NO RETREAT FROM ITS BASIC PACKAGE OF
PRIMARY AND PREVENTIVE HEALTHCARE MEASURES SUCH COSTLY BENEFITS AS
LONGTERM CARE COULD BE PHASED IN OVER A LONGER PERIOD

MEANWHILE REP HENRY WAXMAN A CALIFORNIA DEMOCRAT AND CHAIRMAN OF THE
HEALTH SUBCOMMITTEE OF THE HOUSE ENERGY AND COMMERCE COMMITTEE CONFIRMED
LAST NIGHT THAT A COMPROMISE HAD BEEN REACHED WHEREBY THE CLINTON
ADMINISTRATION WOULD ABANDON THE IDEA OF GOVERNMENT BEING THE SOLE PROVIDER
OF CHILDREN'S VACCINES INSTEAD THE GOVERNMENT WOULD PROVIDE VACCINES FOR
CHILDREN NOT COVERED BY HEALTH INSURANCE THE ADMINISTRATION'S GOAL IS A
GOOD ONE SAID REP WAXMAN WE HAVE A WOEFULLY LOW RECORD ON VACCINES AND
THE IDEA IS TO ENSURE UNIVERSAL COVERAGE

MEETING PRIVATELY YESTERDAY WITH THE SENATE LABOR COMMITTEE HILLARY RODHAM
CLINTON HEAD OF THE PRESIDENT'S HEALTH TASK FORCE DISCUSSED SUCH A
PHASEDIN APPROACH SHE APPEARS INTENT ON TRYING TO STRIKE A BALANCE BETWEEN
COSTS AND THE POLITICS OF THE HEALTH ISSUE

AN AGGRESSIVE MOVE TOWARD SOME FORM OF UNIVERSAL COVERAGE WOULD APPEAL TO
LIBERAL DEMOCRATS WHO ARE WARY OF THE LARGER HYBRID MANAGEDCOMPETITION
APPROACH ADVOCATED BY PRESIDENT CLINTON MODERATE REPUBLICANS WHOSE SUPPORT
WILL BE NEEDED IN THE SENATE ARE LOOKING FOR SOME SENSITIVITY TO BUSINESS
COSTS IF THEY ARE TO EMBRACE THE PROPOSAL

BY NECESSITY ANY VENTURE AS LARGE AS A HEALTHCARE OVERHAUL WILL REQUIRE A
TRANSITION PERIOD AND THE MODELS DISCUSSED HAVE RUN AS LONG AS THREE TO
SEVEN YEARS A TWO TO THREEYEAR PHASEIN IS THEN VERY AMBITIOUS AND MRS
CLINTON'S REMARKS WERE WELCOMED BY DEMOCRATS WHO PRESSED HER TO CONSIDER
GIVING CHILDREN A PRIORITY IN THE TRANSITION

NEARLY HALF THE ESTIMATED 35 MILLION PEOPLE WITHOUT COVERAGE ARE CHILDREN
ACCORDING TO SEN CHRISTOPHER DODD D CONN THOUGH THERE ARE TECHNICAL
DIFFICULTIES IN FOCUSING ON DEPENDENTS VS THEIR UNINSURED PARENTS HE
DESCRIBED MRS CLINTON AS SYMPATHETIC TO THAT IDEA

AFTER THE RECENT PARTISAN DIVISIONS IN THE SENATE REPUBLICANS WERE
CAUTIOUS BUT FAVORABLY IMPRESSED BY THE FLEXIBILITY SHOWN BY MRS CLINTON
IT GETS BETTER WITH EACH OF THESE ROUNDS SAID SEN DAVID DURENBERGER R
MINN WHO SITS ON THE LABOR PANEL AND THE FINANCE COMMITTEE WHICH WILL
HAVE A CENTRAL ROLE ON THE HEALTH PROPOSAL THERE WAS MUCH MORE TALK ABOUT
PHASINGIN THE NEWS IS THE CONCEPT OF PHASINGIN BENEFITS AS SUCH

JAMES JEFFORDS OF VERMONT AMONG THE SENATE'S MOST LIBERAL REPUBLICANS
DESCRIBED HIMSELF AS ENTHUSIASTIC ABOUT THE DIRECTION TAKEN BY MRS
CLINTON HIS MUCH MORE CONSERVATIVE NEW ENGLAND NEIGHBOR SEN JUDD GREGG
ALSO WAS PLEASED WITH THE EXCHANGES I MUST SAY I'M IMPRESSED WITH THE
SUBSTANCE THE NEW HAMPSHIRE REPUBLICAN SAID OF MRS CLINTON'S PERFORMANCE
9305050003 930505 ECONOMY WRITEOFFS RELATED TO TAKEOVERS GET ANOTHER
CHANCE IN PROPOSED TAX BILL  BY JACKIE CALMES STAFF REPORTER OF
THE WALL STREET JOURNAL

WASHINGTON AS CONGRESS BEGINS WORK ON A TAX BILL SOME BUSINESS INTERESTS
HAVE REVIVED HOPES OF WINNING NEW WRITEOFFS FOR ASSETS PURCHASED IN
TAKEOVERS

THE PROPOSAL WHICH WAS PART OF A TAX BILL THAT PRESIDENT BUSH VETOED LAST
YEAR DRAWS NEW LIFE FROM A RECENT SUPREME COURT DECISION EXPANDING THE
RIGHT OF BUSINESS TO AMORTIZE INTANGIBLE ASSETS TO SIMPLIFY A CHAOTIC AREA
OF TAX LAW THE MEASURE WOULD CREATE A UNIFORM 14YEAR PERIOD FOR WRITING
OFF INTANGIBLE ASSETS SUCH AS THE CUSTOMER LISTS OF BANKS NEWSPAPERS AND
INSURANCE AGENTS AND FOR THE FIRST TIME ALLOW A WRITEOFF FOR THE VALUE
OF GOODWILL THAT IS REPRESENTED BY A COMPANY'S REPUTATION OR BRAND NAMES

THE MEASURE HAS A FORMIDABLE SPONSOR IN REP DAN ROSTENKOWSKI CHAIRMAN OF
THE HOUSE WAYS AND MEANS COMMITTEE WHICH BEGAN CONSIDERING PRESIDENT
CLINTON'S TAX PLAN IT WON'T BE CLEAR UNTIL NEXT WEEK WHEN THE PANEL VOTES
WHETHER MR ROSTENKOWSKI WILL ATTACH THE PROPOSAL TO THE COMMITTEE'S BILL

I WOULD LOVE TO PUT IT IN BUT I'M NOT GOING TO DO IT IF IT'S DETRIMENTAL
THE ILLINOIS DEMOCRAT SAID

HIS CAUTION REFLECTS BOTH THE CONTROVERSY THAT SHADOWED THE ISSUE IN LAST
YEAR'S TAX DEBATES AND THE POLITICAL FRAGILITY OF MR CLINTON'S TAX PLAN
WHICH IS AIMED AT SPARKING THE ECONOMY AND CUTTING THE DEFICIT IF YOU GET
INTO COMPLICATED ISSUES THAT CAN'T BE DONE EXPEDITIOUSLY YOU THREATEN THE
PRESIDENT'S WHOLE BILL SAID REP BARBARA KENNELLY D CONN A COMMITTEE
MEMBER WHO SUPPORTS THE WRITEOFF

SEPARATELY WHITE HOUSE BUDGET DIRECTOR LEON PANETTA ACKNOWLEDGED THE PANEL
IS LIKELY TO KILL THE PRESIDENT'S PROPOSED INVESTMENT TAX CREDIT AND
SUBSTITUTE OTHER INCENTIVES AS LAWMAKERS HAVE SUGGESTED BUT HE INDICATED
MR CLINTON STILL WANTS THEM TO RAISE THE CORPORATE TAX RATE TO 36 FROM
34 SOME MEMBERS WANT TO RAISE IT ONLY TO 35

WE THINK THE OVERALL EMPHASIS HERE HAS BEEN TO TRY TO MAKE VERY CLEAR THAT
IF WE'RE GOING TO ASK OUR FARMERS TO SACRIFICE THE VETERANS DOCTORS AND
HOSPITALS AND WORKING FAMILIES THE WEALTHIEST IN THIS COUNTRY OUGHT TO
PARTICIPATE AND CORPORATIONS OUGHT TO PARTICIPATE AS WELL MR PANETTA
SAID THE PRESIDENT DOESN'T WANT TO BACK OFF FROM THAT ISSUE

THE ADMINISTRATION HASN'T ADDRESSED THE QUESTION OF A WRITEOFF FOR
INTANGIBLE ASSETS IN LAST YEAR'S DEBATE THE IDEA DREW FIRE BOTH FROM SOME
CONSERVATIVE DEMOCRATS AND FROM THE UNITED FOOD AND COMMERCIAL WORKERS
INTERNATIONAL UNION THEY COMPLAINED THAT THE DEDUCTIONS WOULD ADD TO THE
DEFICIT IN THE LONG RUN ENCOURAGE MORE MERGERS AND ACQUISITIONS AND THUS
COST JOBS BOTH THE LAWMAKERS AND THE LABOR GROUP HAVE RESTATED THEIR
OPPOSITION IN RECENT WEEKS

ESPECIALLY CONTROVERSIAL WAS A PROVISION ULTIMATELY DROPPED TO GRANT THE
WRITEOFF FOR GOODWILL RETROACTIVELY CRITICS INCLUDING TREASURY
SECRETARY LLOYD BENTSEN THEN SENATE FINANCE COMMITTEE CHAIRMAN SAID THAT
WOULD MEAN A WINDFALL FOR SOME LARGE CORPORATIONS MOST ACTIVE IN THE
LEVERAGED BUYOUTS OF PAST YEARS

WHEN THE POSSIBILITY OF WRITING OFF GOODWILL RETROACTIVELY FIRST SURFACED
IT WAS LIKE A NEWLY DEAD FISH IT SMELLED A LITTLE BUT IT HAD THE POTENTIAL
TO STINK A LOT AS PEOPLE CAME TO APPRECIATE THE WINDFALL ELEMENT RECALLED
KENNETH KIES A LOBBYIST WHO HAS LED THE PUSH FOR LEGISLATION ON BEHALF OF
INSURANCE COMPANIES

THIS YEAR THEN MR KIES AND OTHER BACKERS ARE LARGELY AVOIDING THE
QUESTION OF RETROACTIVE DEDUCTIONS AND ARGUING OF THE BENEFITS OF A
PROSPECTIVE WRITEOFF FOR SMALL BUSINESS THE LEGISLATIVE CHALLENGE IS TO
SAY WE'RE NOT CARRYING WATER FOR CORPORATE AMERICA SAID PAUL EQUALE OF THE
INDEPENDENT INSURANCE AGENTS OF AMERICA REPRESENTING ABOUT 280000 AGENTS

THEY WERE BUOYED BY THE SUPREME COURT'S DECISION LAST MONTH SIDING WITH THE
NEWARK MORNING LEDGER CO IN ITS DISPUTE WITH THE INTERNAL REVENUE SERVICE
OVER WRITING OFF A SUBSCRIBER LIST BUT BECAUSE THE COURT LEFT SUCH DISPUTES
TO BE SETTLED CASE BY CASE A LAW CREATING A UNIFORM WRITEOFF IS STILL
NEEDED TO SIMPLIFY TAXES AND CURB THE COSTLY LITIGATION OVER THE VALUE AND
USEFUL LIFE OF THE ASSETS PROPONENTS SAY

THE PROPOSAL'S PROSPECTS ARE CLOSELY LINKED TO COMPLEX FORECASTS OF ITS
IMPACT ON GOVERNMENT REVENUES LOBBYISTS AND REP ROSTENKOWSKI STRESS THAT
THE PROPOSAL WOULD RAISE REVENUES IN THE SHORT TERM THE FIVE YEARS
COVERED BY BUDGET ANALYSES LARGELY BECAUSE 14 YEARS IS A LONGER WRITEOFF
PERIOD THAN SOME BUSINESSES CLAIM NOW FOR INTANGIBLE ASSETS THAT WOULD BE
ATTRACTIVE TO LAWMAKERS ANXIOUS TO OFFSET THE COSTS OF OTHER REVENUELOSING
PROVISIONS THEY MIGHT SEEK BUT AFTER FIVE YEARS CRITICS COUNTER THE
CHANGE WOULD ADD RED INK

REP MICHAEL KOPETSKI D ORE ANOTHER COMMITTEE MEMBER WHO FAVORS THE
WRITEOFF SUGGESTED IT COULD BE APPROVED LATER EVEN IF THE PANEL DECIDES
AGAINST ADDING THE PROVISION TO THE PRESIDENT'S PACKAGE THERE'S A
FAVORABLE ATMOSPHERE FOR DOING IT HE SAID 9305050002 930505 CORRECTIONS
& AMPLIFICATIONS

AN ARTICLE ABOUT RACIAL UNREST IN BENTON HARBOR MICH ON PAGE ONE FEB 26
INCORRECTLY STATED THAT FIVE YOUTHS ANGRY OVER THE DEATH OF A TEENAGER HAD
DISRUPTED A SOFTBALL PRACTICE AT LAKE MICHIGAN COLLEGE THE INCIDENT
OCCURRED AT A LOCAL HIGH SCHOOL

AT LEXINGTON CORPORATE LEADERS FUND TAXES WOULD HAVE CONSUMED 167 OF THE
RETURNS TO HIGHINCOME INVESTORS OVER THE PAST 10 YEARS A TABLE
ACCOMPANYING FRIDAY'S ARTICLE ON THE AFTERTAX RETURNS GENERATED BY MUTUAL
FUNDS INCORRECTLY STATED THE TAX BITE AS 346 A STUDY BY THE CENTER FOR
ECONOMIC POLICY RESEARCH STANFORD UNIVERSITY FAILED TO RECOGNIZE THAT SOME
OF THE DISTRIBUTIONS BY THIS STOCK FUND ARE A TAXFREE RETURN OF CAPITAL

RUSSIA AND THE US SETTLED DIFFERENCES OVER THE COSTS OF SHIPPING 700
MILLION IN AGRICULTURE AID THAT WILL INCLUDE 105 MILLION OF SOYBEAN MEAL
AND 545 MILLION OF DONATED BUTTER IN AN ARTICLE YESTERDAY THE SOYBEAN
MEAL WAS INCORRECTLY LISTED AS SOYBEAN OIL AND BECAUSE OF AN ERROR BY THE
AGRICULTURE DEPARTMENT THE BUTTER'S VALUE WAS INCORRECTLY STATED AS 554
MILLIONSTAR

THEODORE COOPER UPJOHN CO'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER DIED
APRIL 22 AT THE UNIVERSITY OF VIRGINIA MEDICAL CENTER IN CHARLOTTESVILLE
VA IN AN ARTICLE APRIL 23 THE LOCATION OF THE MEDICAL CENTER WAS
INCORRECTLY STATED AS RICHMOND VA 9305050001 930505 SOUTH KOREA AUTO
EXPORTS RISE

SEOUL SOUTH KOREA AUTO EXPORTS ROSE 28 IN APRIL TO 54522 VEHICLES FROM
42639 UNITS A YEAR EARLIER THE KOREA AUTOMOBILE MANUFACTURERS ASSOCIATION
SAID

DURING THE JANUARYAPRIL PERIOD SOUTH KOREA'S AUTO EXPORTS TOTALED 191008
UNITS A HEFTY 72 RISE FROM 111087 IN THE PRIOR YEAR PERIOD

THE ASSOCIATION ATTRIBUTED THE MARKED RISE IN THE AUTO SHIPMENTS TO
COMPANIES' EFFORTS TO DIVERSIFY THEIR EXPORT MARKET AND A RECOVERY OF PRICE
COMPETITIVENESS WITH JAPAN BECAUSE OF THE STRONG YEN 9305050121 930416
NOT VAT AGAIN  BY BRUCE BARTLETT

IT'S NO REAL SURPRISE THAT THE CLINTON ADMINISTRATION HAS SUGGESTED IT WILL
CONSIDER A VALUEADDED TAX TO FUND OUR NATION'S HEALTHCARE REFORM THE VAT
IS ONE OF THOSE IDEAS THAT POPS UP EVERY FEW YEARS AS THE CURE FOR
EVERYTHING FROM THE LOW RATE OF PERSONAL SAVING TO THE TRADE DEFICIT IN
YEARS PAST IT HAS NOT GOTTEN VERY FAR BECAUSE THERE WAS NOT YET A CRITICAL
MASS OF SUPPORT FOR IT THE NEW MOOD OF NATIONAL SACRIFICE MEANS HOWEVER
THAT THIS CRITICAL MASS MAY HAVE BEEN ACHIEVED AND THAT THE LIKELIHOOD OF A
VAT IN OUR FUTURE HAS BECOME ALMOST OVERWHELMING

WHAT WOULD PROMPT AMERICAN CONSUMERS TO BACK WHAT FOR THEIR POCKETBOOKS IS
THE EQUIVALENT OF A NATIONAL SALES TAX ONE ANSWER IS THE DESIRE TO PROMOTE
SAVING NOW THERE SEEMS TO BE A GROWING CONSENSUS AMONG ACADEMIC ECONOMISTS
AND WITHIN THE BUSINESS COMMUNITY THAT THE US OUGHT TO SHIFT ITS TAX
SYSTEM MORE TOWARD A CONSUMPTIONBASED TAX SYSTEM AND AWAY FROM THE INCOME
TAX THIS IS BECAUSE A TAX ON INCOME PENALIZES SAVING AND INVESTMENT IN A
WAY THAT CONSUMPTION TAXES DO NOT

A BIPARTISAN COMMISSION REPRESENTING BOTH LABOR AND BUSINESS CHAIRED BY
SENS SAM NUNN D GA AND PETE DOMENICI R NM LAST FALL RECOMMENDED
THAT THE WHOLE FEDERAL TAX SYSTEM BE SCRAPPED IN FAVOR OF ONE THAT TAXES
ONLY CONSUMPTION EXEMPTING ALL SAVING AND INVESTMENT SENS DAVID BOREN
D OKLA AND JOHN DANFORTH R MO ARE REPORTEDLY WORKING ON SUCH A
PLAN

BEFORE WE BUY THE IDEA OF A CLINTON VAT THOUGH WE SHOULD REMEMBER THAT
VIRTUALLY EVERY STUDY THAT HAS EVER FOUND SIGNIFICANT ECONOMIC BENEFITS FROM
ADOPTION OF A VAT HAS ASSUMED THAT IT WOULD REPLACE SOME EXISTING TAX FOR
EXAMPLE THE CORPORATE TAX STUDIES ALSO FREQUENTLY LOOK AT THE VAT AS A NEW
REVENUE SOURCE IN COMPARISON TO INCREASES IN INCOME TAX RATES SINCE HIGHER
MARGINAL TAX RATES ARE THE WORST POSSIBLE WAY TO RAISE ADDITIONAL REVENUE
BECAUSE THEY PENALIZE ECONOMIC SUCCESS A VAT NATURALLY LOOKS BETTER BY
COMPARISON

WHILE IT IS CERTAINLY TRUE THAT A WHOLESALE REPLACEMENT OF THE EXISTING
INCOME TAX SYSTEM WITH A CONSUMPTIONBASED TAX WOULD IMPROVE OUR ECONOMIC
PERFORMANCE THIS IS NOT REALLY THE OPTION THE CLINTON ADMINISTRATION IS
CONSIDERING IN FACT THE ADMINISTRATION'S OWN IDEOLOGY WOULD PREVENT THAT
HERE'S WHY THE ACADEMICS' FAVORITE SCHEMES SUCH AS REWRITING THE TAX
CODE TO REPLACE OUR CURRENT PROGRESSIVE INCOMETAX SCALE WITH A PURE
CONSUMPTION TAX WOULD RESULT IN MASSIVE TAX CUTS FOR THE RICH AND MASSIVE
TAX INCREASES FOR THE POOR EVERYONE NEEDS TO SPEND ON NECESSITIES BUT
SUCH SPENDING REPRESENTS A GREATER SHARE OF THE POOR'S INCOME

EVEN EXEMPTING NECESSITIES SUCH AS FOOD FROM THE TAX AND INSTITUTING HIGHER
RATES ON LUXURY ITEMS CANNOT FULLY OFFSET THE REGRESSIVITY THAT WOULD
CERTAINLY NOT FIT IN WITH THE ADMINISTRATION'S TAX THE RICH AND MAKE THEM
PAY FOR THE 1980S PHILOSOPHY CONSEQUENTLY THE ONLY WAY A VAT COULD EVER
COME ABOUT IS AS AN ADDITIONAL REVENUE SOURCE AND THAT IS THE PATH THE
ADMINISTRATION HAS CHOSEN IT WANTS NOT ONLY HIGHER INCOME TAXES BUT ALSO A
VAT TO PAY FOR WIDENING THE STATE'S ROLE IN HEALTH CARE

SHOULD SUPPORT FOR A VAT STRENGTHEN IN COMING WEEKS VAT ADVOCATES WILL
PROBABLY CITE THE EXPERIENCE OF EUROPE TO BUTTRESS THEIR ARGUMENT IN
PARTICULAR IT IS FREQUENTLY ARGUED THAT A VAT WILL IMPROVE THE TRADE
BALANCE THE REASON FOR THIS IS BECAUSE THE TAX WOULD APPLY TO IMPORTS AT
THE BORDER BUT BE REBATED ON EXPORTS THUS IT APPEARS AT FIRST GLANCE THAT A
VAT PENALIZES IMPORTS WHILE PROVIDING A DE FACTO SUBSIDY ON EXPORTS

IN FACT A VAT DOES NOTHING EITHER TO PENALIZE IMPORTS OR SUBSIDIZE EXPORTS
SINCE ALL DOMESTICALLY PRODUCED GOODS INCLUDE THE VAT IMPOSITION OF THE TAX
ON IMPORTS ONLY PUTS IMPORTS AND EXPORTS ON THE SAME FOOTING BOTH ARE TAXED
EQUALLY SIMILARLY WHILE THE VAT IS REBATED ON EXPORTS ONCE THEY ENTER
ANOTHER COUNTRY WITH A VAT THE TAX WOULD AGAIN APPLY EXPORTS TO COUNTRIES
WITHOUT A VAT WOULD BE TREATED THE SAME AS THEY ARE NOW ONCE AGAIN IMPORTS
AND DOMESTICALLY PRODUCED GOODS WOULD BE ON THE SAME FOOTING

TO BE SURE IT IS CERTAINLY PREFERABLE FROM A TRADE STANDPOINT TO HAVE A VAT
INSTEAD OF SOME OTHER TAX THAT IS NOT REBATABLE SOME PORTION OF CORPORATE
TAXES PROPERTY TAXES AND OTHER TAXES PAID BY AMERICAN BUSINESSES ARE
OBVIOUSLY INCLUDED IN THE PRICES OF THEIR GOODS AND SERVICES INSOFAR AS
COMPANIES IN OTHER COUNTRIES DO NOT PAY SUCH TAXES OR PAY THEM AT LOWER
RATES THEY WOULD HAVE A COMPETITIVE ADVANTAGE OVER AMERICAN FIRMS HOWEVER
EVERY COUNTRY WITH A VAT ALSO HAS THESE TAXES AS WELL OFTEN AT MUCH HIGHER
RATES THAN AMERICAN FIRMS PAY

THUS IT IS NOT SURPRISING THAT ADOPTION OF THE VAT BY EUROPEAN COUNTRIES
FAILED TO IMPROVE THEIR TRADE BALANCES AS HENRY AARON OF THE BROOKINGS
INSTITUTION NOTES IN A STUDY OF THE VAT IN EUROPE THOUGH MUCH HAS BEEN
MADE OF THE POSSIBLE SALUTARY EFFECTS ON THE BALANCE OF PAYMENTS FROM
ADOPTING THE VALUEADDED TAX THERE IS  NO EVIDENCE THAT IT HAD ANY
MATERIAL IMPACT ON THE BALANCE OF TRADE

EQUALLY MISLEADING IS THE ARGUMENT THAT IS THE DRIVING FORCE IN THE PUSH FOR
A VAT THAT A VAT WILL IMPROVE THE RATE OF SAVING WHILE THERE MAY BE SOME
SMALL IMPACT ON SAVING FROM RAISING THE COST OF CONSUMPTION RELATIVE TO
SAVING THE REAL IMPACT ON SAVING WOULD COME FROM USING REVENUE FROM A VAT
EITHER TO REDUCE THE FEDERAL BUDGET DEFICIT OR TO LOWER TAXES ON CAPITAL
HOWEVER A HILLARY VAT A VAT DEDICATED TO PAYING THE HEALTHCARE COSTS
OF AMERICA'S UNINSURED CITIZENS WILL DO NEITHER IN FACT WIDENING THE
STATE'S ROLE AS A HEALTHCARE PROVIDER STANDS LITTLE CHANCE OF NARROWING THE
BUDGET DEFICIT MEDICARE AND MEDICAID OUR TWO MAJOR EXISTING STATE
PROGRAMS HAVE HELPED BRING THE DEFICIT TO ITS CURRENT LEVEL

DESPITE THIS THE CLINTON ADMINISTRATION WILL UNDOUBTEDLY SEEK TO WIDEN
SUPPORT FOR ITS VAT BY CLAIMING THAT VAT REVENUES WILL SERVE TWO PURPOSES 
TO PAY FOR HEALTH CARE AND TO REDUCE THE DEFICIT HISTORY UNFORTUNATELY
SUGGESTS THAT HIGHER TAXES SELDOM IF EVER LEAD TO PERMANENTLY LOWER
DEFICITS HIGHER REVENUES SIMPLY FINANCE HIGHER SPENDING THIS WAS CERTAINLY
THE CASE IN EUROPE

AS THE FIGURE ILLUSTRATES TOTAL TAXES AS A SHARE OF GROSS DOMESTIC PRODUCT
IN THE EUROPEAN ECONOMIC COMMUNITY WERE ONLY A LITTLE HIGHER THAN IN THE
US IN THE MID1960S HOWEVER IN THE LATE 1960S VIRTUALLY EVERY COUNTRY IN
EUROPE ADOPTED A VAT THE RESULT WAS THAT THE SHARE OF TAXES IN NATIONAL
INCOME IN EUROPE ROSE STEADILY YEAR AFTER YEAR WHILE REMAINING RELATIVELY
CONSTANT IN THE US TAXES IN EUROPE ARE NOW FAR HIGHER THAN IN THE US
AND MOST EUROPEAN COUNTRIES CONTINUE TO RUN BUDGET DEFICITS OF SIMILAR
MAGNITUDE TO THOSE IN THE US AS WELL

WHILE IT IS DIFFICULT TO PROVE THAT THE VAT CAUSED TAXES AND SPENDING TO
RISE THERE IS STRONG EVIDENCE TO SUPPORT THIS VIEW FOR EXAMPLE A RECENT
STUDY FOR THE INTERNATIONAL MONETARY FUND BY DAVID MELLOR CONCLUDED THAT
INTRODUCTION OF A VAT DOES INCREASE THE SHARE OF TAXES IN NATIONAL INCOME
THE REASON IS THAT THE INTRODUCTION OF A VAT WHICH REQUIRES COLLECTION OF A
TAX AT EVERY STAGE IN THE MANUFACTURE OF A PRODUCT BUILDS TAX BUREAUCRACY
SUBSTANTIALLY THE REVENUES FROM A CASH COW LIKE THE VAT IN TURN BUILD
GOVERNMENT AND ENCOURAGE GOVERNMENT SPENDING C NORTHCOTE PARKINSON'S
SECOND LAW EXPENDITURE RISES TO MEET INCOME

EVEN VAT SUPPORTERS SUCH AS CHARLES MCLURE OF THE HOOVER INSTITUTION
CONCEDE THE POINT IF FOREIGN EXPERIENCE IS ANY GUIDE INTRODUCTION OF A
VAT WOULD FACILITATE GROWTH IN THE RELATIVE SIZE OF THE FEDERAL GOVERNMENT
WHETHER THE VAT WAS INITIALLY INTRODUCED TO RAISE ADDITIONAL REVENUE OR ONLY
AS A SUBSTITUTE FOR EXISTING TAXES

IT'S NOT HARD TO SEE WHY THE CLINTON ADMINISTRATION IS TEMPTED THE ALLURE
OF THE VAT IS THAT IT IS THE MOST EFFICIENT TAX EVER DEVISED IT REDUCES
OUTPUT LESS PER DOLLAR RAISED THAN ANY OTHER TAX KNOWN A VAT THAT RAISES
THE SAME REVENUE AS OUR EXISTING TAX SYSTEM WOULD CERTAINLY LEAD TO
INCREASED GROWTH HOWEVER ITS ACHILLES' HEEL IS THAT IT INVARIABLY LEADS TO
SIGNIFICANTLY HIGHER TAX LEVELS FOR EVERYONE OVER TIME PRESIDENT REAGAN
SAID A VAT GIVES THE GOVERNMENT A CHANCE TO BLINDFOLD THE PEOPLE AND GROW
IN STATURE AND SIZE THE HIGHER TAX BURDEN PROBABLY NEGATES MOST OF THE
BENEFICIAL EFFECTS OF THE VAT BEFORE THE US CONSIDERS A VAT FOR HEALTH
CARE DEFICIT REDUCTION OR ANY OTHER PURPOSE THERE MUST FIRST BE SOME
GUARANTEE THAT IT WILL NOT BECOME A PURE MONEY MACHINE FOR A STILLWASTEFUL
GOVERNMENT

MR BARTLETT VISITING FELLOW AT THE CATO INSTITUTE IS CURRENTLY WORKING ON
A STUDY OF THE VAT FOR THE ALEXIS DE TOCQUEVILLE INSTITUTION SEE RELATED
LETTER LETTERS TO THE EDITOR WHAT VAT DOES AND DOESN'T DO WSJ MAY 5
1993 9304160107 YY93 MM05 9305050082 930401 FRONTLINE' PERPETUATES
PESTICIDE MYTHS  BY DENNIS T AVERY

FRONTLINE THE PUBLIC BROADCASTING SYSTEM'S INVESTIGATIVE JOURNALISM SHOW
IS FAMOUS FOR ITS CONTROVERSIAL POINTS OF VIEW BUT IT'S NOW OUTDONE ITSELF
IN AN EPISODE TITLED IN OUR CHILDREN'S FOOD WHICH AIRED IN MOST MARKETS
EARLIER THIS WEEK A WELLMEANING BILL MOYERS AND HIS PBS COLLEAGUES MADE
RECOMMENDATIONS THAT WOULD INCREASE OUR CANCER AND HEART DISEASE RATES
INCREASE THE RISK OF WORLD HUNGER AND PLOW DOWN MILLIONS OF SQUARE MILES OF
WILDLIFE HABITAT APPARENTLY THE FRONTLINE STAFF DIDN'T REALIZE THAT THOSE
CALAMITIES WOULD BE THE RESULT OF GIVING UP THE FARM CHEMICALS IT WARNED US
AGAINST

THE SHOW WAS PREPARED TO CELEBRATE THE 30TH ANNIVERSARY OF RACHEL CARSON'S
BOOK SILENT SPRING MISS CARSON BLAMED FARM CHEMICALS FOR WILDLIFE LOSSES
THAT WE NOW KNOW WERE DUE TO LOST HABITAT AND TO INDUSTRIAL POLLUTANTS LIKE
MERCURY AND PCBS IN HER IGNORANCE SHE ALSO FEARED THAT PESTICIDES CAUSED
HUMAN CANCER

WE NOW KNOW THAT FARM PESTICIDE RESIDUES CONTAIN LESS CANCER RISK THAN
MUSTARD AND PICKLES OR EVEN THAN THE ENVIRONMENTALISTS' BELOVED MUSHROOMS
WE NOW KNOW THAT 999 OF THE CANCER RISKS IN OUR FOOD SUPPLY COME IN THE
FOODS THEMSELVES SO MUCH FOR THE CANCER RISKS IN PESTICIDES

BUT THE INDICTMENT AGAINST FRONTLINE IS WORSE THAN AN OMISSION OF THESE
FACTS MEDICAL PRACTITIONERS ACROSS THE COUNTRY TELL US TODAY THAT THE BEST
WAY TO REDUCE BOTH CANCER AND HEART DISEASE IS TO EAT TWICE AS MANY FRUITS
AND VEGETABLES FRUITS AND VEGETABLES CONTAIN POWERFUL CHEMICALS THAT
INHIBIT CANCER THEY ARE LOW IN FAT AND HIGH IN FIBER THEIR CONSUMPTION
WORKS AGAINST HEART DISEASE

BUT ORGANIC FARMING FARMING WITHOUT CHEMICALS CAN'T PRODUCE LOWCOST
ATTRACTIVE FRUITS AND VEGETABLES ORGANIC FARMING PRODUCES EXPENSIVE FRUITS
AND VEGETABLES BECAUSE THE INSECTS AND DISEASES EAT MOST OF THEM BEFORE THEY
CAN BE HARVESTED THE FEW THAT SURVIVE LOOK SHABBY AND IT'S HARD TO GET
KIDS TO EAT SHABBYLOOKING PRODUCE ON THAT BASIS ORGANIC FARMING WOULD
PRODUCE MORE CANCER NOT LESS

BIOTECHNOLOGY MAY EVENTUALLY HELP US ENGINEER THE PEST PROTECTION INTO
PLANTS AND CREATURES SO WE WON'T HAVE TO SPRAY ANYTHING ANYMORE BUT MOST OF
THE ARDENT ENVIRONMENTALISTS SAY THEY ARE AGAINST BIOTECHNOLOGY TOO

THE WORST INDICTMENT OF AN ORGANIC FARMING SYSTEM IS THAT IT COULD NOT
PROVIDE ENOUGH FOOD TO SUPPLY EVEN THE CURRENT HUMAN POPULATION OF THE
WORLD BY 2050 THERE WOULD BE BILLIONS OF ORGANICALLY INDUCED STARVATION
DEATHS THE US IS ONE OF THE FEW COUNTRIES THAT COULD SURVIVE ORGANIC
FARMING WITHOUT RISKING STARVATION BUT WE HAVE MORE FARMLAND THAN ALMOST
ANYBODY ELSE

YES THE WORLD COULD PLOW MORE LAND TO MAKE UP FOR THE LOW YIELDS ON ORGANIC
FARMS BUT ALREADY THE WORLD IS CULTIVATING ABOUT 58 MILLION SQUARE MILES
THE LAND AREA OF SOUTH AMERICA FOR FOOD WITH ORGANIC FARMING BY 2050 WE
WOULD PLOW DOWN AND CULTIVATE 30 MILLION TO 40 MILLION SQUARE MILES OF LAND
THAT'S THE COMBINED AREA OF SOUTH AMERICA NORTH AMERICA EUROPE AND MOST OF
ASIA

EVEN RACHEL CARSON MIGHT HAVE THOUGHT THAT A STRANGE WAY TO PRESERVE
WILDLIFE

AS EVIDENCE OF FARM CHEMICAL DANGERS FRONTLINE OFFERS ONE FARMING TOWN IN
CALIFORNIA THAT FOR YEARS HAS HAD AN UNEXPLAINED HIGH RATE OF CANCERS BUT
THIS TOWN IS FAMOUS IN MEDICAL CIRCLES BECAUSE ITS CANCER PATTERN IS UNLIKE
ANY OTHER TOWN'S MEDICAL STUDIES HAVE TRIED TO TIE THE FAMOUS MCFARLAND
CANCER CLUSTER TO PESTICIDES ALL HAVE FAILED

NEXT MR MOYERS CUTS TO A GUILTRIDDEN CALIFORNIA FARMER WHOSE SON CAME
DOWN WITH LEUKEMIA 10 YEARS AGO THE FARMER IS AFRAID THAT HIS USE OF
PESTICIDES MIGHT HAVE CAUSED THE LEUKEMIA BUT FARMERS AND FARM KIDS HAVE
LOWER RATES OF LEUKEMIA AND CANCER THAN NONFARM KIDS WHERE IS THE MEDICAL
EVIDENCE TO TIE THE CALIFORNIA FARM BOY'S DISEASE TO FARM CHEMICALS THE
FRONTLINE HOSTS DON'T TELL US ANYTHING EXCEPT HOW WORRIED THEY ARE

THE PROGRAM ALSO RIDICULES A PUBLIC HEALTH SERVICE TOXICOLOGY STUDY THAT
REPORTED THERE IS NO EVIDENCE THAT THE SMALL DOSES OF PESTICIDES THAT WE
DO GET ARE CAUSING ANY HARM THE ONLY EFFECT THAT CAN BE MEASURED  IS
THE STORAGE OF ONE OF THEM DDT IN THE TISSUES OF MOST PEOPLE THIS
STORAGE HAS NOT CAUSED ANY INJURY WHICH WE CAN DETECT

THEN MR MOYERS CROWS DDT WOULD BE BANNED 10 YEARS LATER JUST AS RACHEL
CARSON HAD PREDICTED THIS WAS IN THE EARLY 1970S

BUT MR MOYERS FAILS TO TELL US THAT DDT WAS BANNED AGAINST THE
RECOMMENDATION OF SCIENTISTS AND THE ENVIRONMENTAL PROTECTION AGENCY'S OWN
HEARING EXAMINER THE DOZENS OF EXPERTS WHO TESTIFIED AT THE EPA HEARING
OVERWHELMINGLY SAID DDT SHOULD KEEP ITS EPA APPROVAL BECAUSE IT WASN'T
DANGEROUS TO PEOPLE OR BIRDS THE POLITICAL APPOINTEE WHO HEADED EPA FEARED
A PUBLIC OUTCRY IF HE CONCURRED WITH THE HEARING EXAMINER BECAUSE SO MANY
PEOPLE HAD READ MISS CARSON'S BOOK

IS THE REST OF PBS'S WIDELY NOTED ENVIRONMENTAL REPORTING BASED ON EVIDENCE
THIS SHAKY

MR AVERY IS A FELLOW AT THE HUDSON INSTITUTE HE IS DIRECTOR OF HUDSON'S
CENTER FOR GLOBAL FOOD ISSUES SEE RELATED LETTERS LETTERS TO THE EDITOR
PESTICIDES AND CANCER WSJ APRIL 13 1993 SEE RELATED LETTERS LETTERS
TO THE EDITOR CANCER STUDIES 30 YEARS OF DEAD RATS WSJ MAY 5 1993
9304010039 9304140109 YY93 MM05 9305050038 930423 WHO'S NEWS UPJOHN
CO'S CHIEF DIES SUCCESSOR YET TO BE NAMED

KALAMAZOO MICH UPJOHN CO SAID THEODORE COOPER CHAIRMAN AND CHIEF
EXECUTIVE OFFICER DIED YESTERDAY AFTERNOON OF COMPLICATIONS FROM CANCER AT
THE UNIVERSITY OF VIRGINIA MEDICAL CENTER RICHMOND VA

DR COOPER 64 YEARS OLD WAS DIAGNOSED IN JANUARY WITH A BONEMARROW TUMOR
AT THAT TIME HE DIDN'T RELINQUISH HIS DUTIES BUT LAST WEEK WHEN DR
COOPER'S HEALTH SUDDENLY DETERIORATED THE COMPANY GAVE UPJOHN EXECUTIVE LEY
S SMITH THE RESPONSIBILITIES OF CHIEF EXECUTIVE HE WILL CONTINUE IN THAT
ROLE

DR COOPER'S SUCCESSOR HASN'T BEEN NAMED THE BOARD SAID IT WOULD START TO
LOOK FOR A NEW CHIEF EXECUTIVE AND APPOINTED WILLIAM LAMOTHE TO HEAD THE
SEARCH COMMITTEE

UPJOHN SAID LAST WEEK THAT MR SMITH'S ASSUMPTION OF THE CHIEF EXECUTIVE
OFFICER'S DUTIES DOESN'T SIGNAL ANYTHING ABOUT MANAGEMENT SUCCESSION

DR COOPER WAS THE FIRST CHAIRMAN WHO WASN'T A MEMBER OF THE FOUNDING UPJOHN
FAMILY HE JOINED UPJOHN'S BOARD IN 1978 AND WAS NAMED EXECUTIVE VICE
CHAIRMAN FOUR YEARS LATER HE WAS NAMED VICE CHAIRMAN AND IN 1987 HE WAS
ELECTED CHAIRMAN AND CHIEF EXECUTIVE OFFICER

THEODORE COOPER UPJOHN CO'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER DIED
APRIL 22 AT THE UNIVERSITY OF VIRGINIA MEDICAL CENTER IN CHARLOTTESVILLE
VA IN AN ARTICLE APRIL 23 THE LOCATION OF THE MEDICAL CENTER WAS
INCORRECTLY STATED AS RICHMOND VA 9305050100 930322 NEW YORK
RESTAURATEUR FEELS STING AFTER ADS FOR AMERICAN EXPRESS CARD  BY
PAMELA SEBASTIAN STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK AS EVIDENCE THAT NO GOOD DEED GOES UNPUNISHED A WELLKNOWN
RESTAURATEUR HERE IS TAKING SOME HEAT AFTER COMBINING AN AMERICAN EXPRESS
CARD ENDORSEMENT WITH AN ANTIHUNGER COMMERCIAL THE TELEVISION AD IS PART
OF A NATIONAL CAMPAIGN PRODUCED BY OGILVY & MATHER A UNIT OF OGILVY GROUP
INC FOR AMERICAN EXPRESS TRAVEL RELATED SERVICES CO TO PROMOTE
ESTABLISHMENTS THAT ACCEPT ITS CARD UNSCRIPTED COMMERCIALS STAR
RESTAURATEURS OR MERCHANTS WHO WAX ON ABOUT THEIR BUSINESS THEIR CUSTOMERS
AND THEIR HIGH OPINIONS OF THE AMERICAN EXPRESS CARD

BUT DANNY MEYER PROPRIETOR OF THE UNION SQUARE CAFE AND ANTIHUNGER
ADVOCATE DOESN'T JUST TOUT HIS CAFE INSTEAD HE TALKS ABOUT HOW
RESTAURANTS SUCH AS HIS DONATE EXCESS FOOD TO THE HUNGRY BY SUPPPORTING CITY
HARVEST INC A NEW YORK DELIVERY GROUP AND SHARE OUR STRENGTH A NATIONAL
ORGANIZATION THAT AWARDS GRANTS TO HUNGERRELIEF AGENCIES INCLUDING CITY
HARVEST

PUBLIC RESPONSE TO THE AD WHICH IS STILL RUNNING HAS BEEN SO STRONG THAT
CITY HARVEST SAYS IT CAN'T MEET DEMAND FOR ITS SERVICES THE AGENCY WHICH
RESCUES SURPLUS FOOD AND DELIVERS IT TO SHELTERS AND OTHER FEEDING CENTERS
NORMALLY ADDS DRIVERS AND ROUTES DURING ITS BUSY NOVEMBERTOJANUARY SEASON
BUT CITY HARVEST ISN'T BUDGETED TO MAINTAIN PEAK SERVICE BEYOND THAT SEASON
IT SAYS

THE DELIVERY GROUP ALSO LAMENTS THAT THE COMMERCIAL HAS CAUSED SOME
CONFUSION BECAUSE IT FEATURES AN 800 NUMBER ONLY FOR SHARE OUR STRENGTH
WE'RE PLEASED BUT IT'S SUCCESS WE CAN'T HANDLE RIGHT NOW SAYS BRET
SUVAL EXECUTIVE DIRECTOR OF CITY HARVEST

WHAT'S MORE THE COMMERCIAL IS DRAWING MANY NEW DINERS TO THE 39TABLE UNION
SQUARE CAFE REQUIRING RESERVATIONS SIX WEEKS IN ADVANCE FOR A SATURDAY
SEATING THUS IRRITATING LONGTIME PATRONS

PEOPLE ARE FURIOUS THEY CAN'T GET A TABLE HERE SAYS MR MEYER THESE
PROBLEMS OF SUCCESS CAN BE DEALT WITH HE SAYS THE AD RAISED PUBLIC
AWARENESS OF HUNGER BUT NOW WE ALL HAVE OUR WORK CUT OUT AND HAVE TO
RAISE MONEY HE ADDS

MEANWHILE A GAYRIGHTS GROUP TARGETED THE NEWLY VISIBLE UNION SQUARE CAFE
OVER MR MEYER'S PLANNED ATTENDANCE AT AN AMERICAN EXPRESSRELATED EVENT IN
COLORADO A STATE THAT IS THE SUBJECT OF A BOYCOTT FOR ITS CONSTITUTIONAL
AMENDMENT EXCLUDING HOMOSEXUALS FROM HUMAN RIGHTS LAWS

MR MEYER IS TROUBLED BY RECENT CRITICISM AND PICKETING OF HIS RESTAURANT BY
NY/BOYCOTT COLORADO INC AT ISSUE WAS THE RESTAURATEUR'S PLAN TO ATTEND AN
ANNUAL CONFERENCE IN ASPEN COLO SPONSORED BY FOOD AND WINE MAGAZINE
WHICH IS OWNED BY AMERICAN EXPRESS AFTER HOURS OF SOULSEARCHING MR MEYER
DECIDED TO ATTEND THE EVENT ONLY TO DO A FLIPFLOP FRIDAY

ALL ALONG MR MEYER HAS SUPPORTED RESCINDING COLORADO'S AMENDMENT IN FACT
HE HAD HOPED TO RAISE FUNDS TO FIGHT THE MEASURE WHILE IN ASPEN WHAT
CHANGED ME ABOUT GOING TO ASPEN WAS TALKS WITH PEOPLE IN THE GAY
COMMUNITY INCLUDING SOME OF HIS EMPLOYEES HE SAYS I CAME TO SEE THE
UNION SQUARE CAFE WAS BECOMING A LIGHTNING ROD FOR ALL THIS JUSTIFIABLE
ANGER

MR MEYER BELIEVES THE BOYCOTT GROUP TARGETED HIM BECAUSE THEY THINK I'M A
PAWN FOR AMERICAN EXPRESS ACTUALLY HE ALMOST TURNED DOWN THE OPPORTUNITY
TO STAR IN THE COMMERCIAL BECAUSE HE DOESN'T THINK THERE'S MUCH DIFFERENCE
IN SPENDING HABITS OF HIS GUESTS NO MATTER WHICH CREDIT CARD THEY USE BUT
MR MEYER AGREED TO PARTICIPATE IF HE COULD TALK ABOUT THE HUNGER PROBLEM
AND AMERICAN EXPRESS'S SPONSORSHIP OF SHARE OUR STRENGTH

WHAT'S ALL THIS GOT TO DO WITH COLORADO

OUR POSITION IS THAT IF YOU TAKE MONEY FROM GAYS AND LESBIANS THEN YOU ARE
RESPONSIVE TO THEIR POLITICAL NEEDS SAYS LAURENCE BACHMANN AN ORGANIZER
OF NY/BOYCOTT COLORADO THE FACT THAT MR MEYER IS DOING AMERICAN EXPRESS
COMMERCIALS CERTAINLY MAKES IT EASIER FOR US TO EXPLAIN WHO HE IS ADDS MR
BACHMANN BY AVOIDING ASPEN MR MEYER HAS BECOME RESPONSIVE WHICH WE ARE
GRATEFUL FOR MR BACHMANN SAYS

FOR ITS PART AMERICAN EXPRESS SAYS AS A TRAVEL COMPANY WE CANNOT BOYCOTT
ANY DESTINATION BESIDES A SPOKESMAN ADDS OUR PLACE TO EFFECT CHANGE IS
WITHIN OUR EMPLOYEES AND OUR COMPANY OUR COMPANY HAS BEEN VERY CLEAR ABOUT
PROHIBITING ANY TYPE OF DISCRIMINATION INCLUDING SEXUAL ORIENTATION THE
COMPANY SAYS MR MEYER'S DECISION WON'T AFFECT THE COLORADO EVENT OR THE
COMMERCIAL

MEANWHILE THE OGILVY & MATHER CAMPAIGN CONTINUES THE SIX SEGMENTS THUS FAR
FEATURE MONOLOGS BY OWNERS TED BALESTRERI OF THE SARDINE FACTORY IN
MONTEREY CALIF HARRY CIPRIANI OF HARRY'S BAR IN VENICE AND OTHER
RESTAURANTS ELLA BRENNAN OF COMMANDER'S PALACE IN NEW ORLEANS AND CHARLES
LAZARUS CHAIRMAN OF TOYS R US INC

MOST RECENTLY ANITA RODDICK FOUNDER OF THE BODY SHOP JOINED THE ENSEMBLE
WITH A DISCOURSE ON USING THE PROFITS OF HER BUSINESS TO PROMOTE TRADE NOT
AID WITH UNDERVELOPED COUNTRIES SEE RELATED LETTER LETTERS TO THE
EDITOR FOOD ONCE WASTED NOW FEEDS THOUSANDS WSJ MAY 5 1993
9303220117 YY93 MM05 9305050018 930322 CANCER SCARE HOW SAND ON A
BEACH CAME TO BE DEFINED AS HUMAN CARCINOGEN  TESTS USING COMMON
SILICA SPARK A SCIENTIFIC CLASH OVER SAFETY PROCEDURES  SOUNDING
GRASSROOTS ALARM  BY DAVID STIPP STAFF REPORTER OF THE WALL
STREET JOURNAL

AFTER JIM SWIDE RECENTLY EMPTIED A BAG OF SAND INTO HIS TWOYEAROLD
DAUGHTER'S SANDBOX SOME WORDS CAUGHT HIS EYE MAY CONTAIN  
CRYSTALLINE SILICA  KNOWN TO THE STATE OF CALIFORNIA TO CAUSE CANCER

HORRIFIED THE RESIDENT OF UKIAH IN NORTHERN CALIFORNIA SNATCHED HIS
DAUGHTER OUT OF THE PLAY AREA I THOUGHT WHY AM I LETTING MY DAUGHTER
PLAY IN SOMETHING THAT SAYS RIGHT ON THE LABEL IT CAUSES CANCER' HE SAYS
IT WAS QUITE A SHOCK MR SWIDE SCOOPED UP THE SAND RETURNED IT TO THE
STORE AND GOT HIS MONEY BACK

RICHARD SHOEMAKER THE STORE'S OWNER HADN'T NOTICED THE WARNING BUT NOW
POSTS IT PROMINENTLY AFTER ALL HE NOTES IT LOOKS LIKE THE STUFF ON A
CALIFORNIA BEACH

IN FACT IT IS

CRYSTALLINE SILICA THE PRIMARY INGREDIENT OF SAND AND ROCKS LOOMS AS
PERHAPS THE SCARIEST CANCER DEMON EVER IT IS IN COUNTLESS PRODUCTS
PHARMACEUTICALS BRICKS PAPER JEWELRY PUTTY PAINT PLASTICS HOUSEHOLD
CLEANSERS NOT TO MENTION BAGS OF SAND FOR TODDLERS' BACKYARD BOXES

SOIL IS LACED WITH THE STUFF SO IS DUST IN THE AIR MOST WATER SUPPLIES ARE
FILTERED THROUGH SAND SO IT IS IN DRINKING WATER TRACES OF IT CLING TO
ROOT VEGETABLES AND OTHER FOODS SILICA FORMED WHEN SILICON AND OXYGEN
CHEMICALLY COMBINE MAKES UP ABOUT A QUARTER OF THE EARTH'S CRUST SOME
SILICA IS IN A NONCRYSTALLINE AMORPHOUS FORM THAT ISN'T LINKED WITH
CANCER

THE IDEA THAT MUCH OF THE PLANET'S SURFACE IS A DEADLY CHEMICAL MAY SOUND
LIKE THE STUFF OF SCIENCE FICTION BUT IT IS TRUE FOR SEVERAL YEARS
CRYSTALLINE SILICA HAS BEEN CLASSIFIED AS CARCINOGENIC BY VARIOUS REGULATORY
AGENCIES INCLUDING THE FEDERAL OCCUPATIONAL SAFETY AND HEALTH
ADMINISTRATION

THE OFFICIAL LUMPING OF BEACH SAND IN THE SAME CATEGORY AS CARCINOGENS SUCH
AS DIOXIN CRITICS CONTEND SUGGESTS AS NOTHING BEFORE THAT THE REGULATORY
SYSTEM TENDS TO CRY WOLF WHEN IT COMES TO CANCER IT UNDERSCORES BROADER
CONCERNS AMONG SCIENTISTS THAT THE TRADITIONAL METHOD OF MASSIVELY DOSING
RATS TO ASSESS CANCER RISKCOUPLED WITH REGULATORY TRIPWIRES SET TO GO OFF
AT THE SLIGHTEST HINT OF CARCINOGENIC POTENTIAL IS FUNDAMENTALLY FLAWED

INDEED MOST RESEARCHERS AGREE THERE IS NO CLEARCUT EVIDENCE THAT SILICA IS
CARCINOGENIC IN HUMANS EVEN AT HIGH DOSES OVER MANY YEARS MUCH LESS AT
LEVELS MOST PEOPLE ARE EXPOSED TO EMPHASIZING THE LACK OF COMPELLING DATA
FORMER GOVERNMENT RESEARCHERS IN AN EXTRAORDINARY DISPUTE MAINTAIN THAT A
FEDERAL REPORT LINKING SILICA TO CANCER WAS PUBLISHED AFTER EARLIER VERSIONS
OF THE SAME REPORT WHICH SHOWED LITTLE EVIDENCE OF THE LINK WERE
DISCARDED FOR NO GOOD SCIENTIFIC REASON

SILICA IS NOT SOMETHING MR AND MRS AMERICA SHOULD BE WORRYING ABOUT
SAYS JOSEPH MCLAUGHLIN A NATIONAL CANCER INSTITUTE RESEARCHER AND COAUTHOR
OF A COMPREHENSIVE STUDY ON THE ISSUE

THE GOVERNMENT'S LABELING OF SILICA AS CARCINOGENIC HAS OPENED UP HUGE
LEGAL IMPLICATIONS ADDS MALCOLM ROSS A SCIENTIST WITH THE US GEOLOGICAL
SURVEY PRODUCTS ARE LIABLE TO BE DROPPED OR PEOPLE WILL BE SCARED TO USE
THEM

CRYSTALLINE SILICA IS AS DANGEROUS OR MORE DANGEROUS THAN ASBESTOS
DECLARES ALMA SCHREIBER A FELTON CALIF RESIDENT SEEKING LIMITS ON DUST
EMISSIONS BY A LOCAL QUARRY SHE ADDS THAT SHE FIRST HEARD THE SUBSTANCE IS
CARCINOGENIC FROM PACIFIC GAS & ELECTRIC CO WHICH IN COMPLIANCE WITH
CALIFORNIA'S RIGHTTOKNOW LAW ON HAZARDOUS SUBSTANCES WARNED ITS
CUSTOMERS THAT IT SOMETIMES CONDUCTS SANDBLASTING WHICH EMITS CRYSTALLINE
SILICA THE UTILITY SAYS CALIFORNIA KNOWS THE CHEMICAL CAUSES CANCER

HOW DID CALIFORNIA COME TO KNOW MORE THAN SCIENTISTS ON THIS ISSUE

CRYSTALLINE SILICA'S REPUTATION BEGAN WITH THE DISCOVERY IN THE 1500S THAT
HEAVY DUST EXPOSURE AMONG MINERS CAN CAUSE LUNG DISEASE RESEARCHERS NOW
CALL IT SILICOSIS A NONCANCEROUS FIBROUS SCARRING OF THE LUNGS FOLLOWING
PROLONGED HEAVY EXPOSURE TO SILICALADEN DUST

THE DISEASE NOW RARELY OCCURS BECAUSE OF REGULATIONS LIMITING DUST EXPOSURE
IN THE WORKPLACE BUT DOCTORS HAVE SEEN THOUSANDS OF CASES OF SILICOSIS
THROUGH THE YEARS YET THEY HAVEN'T NOTICED ABNORMALLY HIGH CANCER RATES
AMONG PATIENTS EXPOSED TO SILICA DUST IN 1982 ONE RESEARCHER WROTE THAT
THE INCIDENCE OF LUNG CANCER IN MINERS WITH SILICOSIS IS SIGNIFICANTLY
LOWER THAN IN NONSILICOTIC MALES

BUT THAT YEAR A GRADUATE STUDENT AT THE UNIVERSITY OF NORTH CAROLINA DAVID
GOLDSMITH MADE A SPLASH BY PROPOSING THAT SILICA CAN CAUSE CANCER SEVERAL
CLUES SUGGESTED THAT CONCLUSION SAYS DR GOLDSMITH NOW AT THE WESTERN
CONSORTIUM FOR PUBLIC HEALTH BERKELEY CALIF IN PARTICULAR LAURENCE
HOLLAND A RESEARCHER AT LOS ALAMOS NATIONAL LABORATORY IN NEW MEXICO HAD
JUST REPORTED THAT WHEN HIGH DOSES OF SILICA IN WATER WERE REPEATEDLY
INJECTED INTO THE LUNGS OF 36 RATS SIX DEVELOPED TUMORS THAT STRUCK ME AS
QUITE POWERFUL SAYS DR GOLDSMITH

DR GOLDSMITH THE MOST ARDENT ADVOCATE OF THE VIEW THAT SILICA POSES A
CANCER RISK IN 1984 ORGANIZED A CONFERENCE SILICA SILICOSIS AND CANCER
SOON AFTER AN ARM OF THE WORLD HEALTH ORGANIZATION THE INTERNATIONAL
AGENCY FOR RESEARCH ON CANCER FORMED A WORKING GROUP OF SCIENTISTS TO
LOOK AT THE ISSUE

AFTER EXAMINING PAST STUDIES THE GROUP FOUND SUFFICIENT EVIDENCE THAT
SILICA IS CARCINOGENIC IN ANIMALS BUT ONLY LIMITED EVIDENCE THAT IT IS IN
HUMANS STILL IN 1987 THE AGENCY LISTED SILICA AS A PROBABLE HUMAN
CARCINOGEN A LABEL IT AFFIXES WHEN AT LEAST TWO ANIMAL STUDIES INDICATE A
SUBSTANCE CAUSES CANCER

ACCORDING TO A POLICY STATEMENT THIS AUTOMATIC LEAP FROM LIMITED ANIMAL
DATA TO A DECLARATION OF HUMAN RISK IS PLAUSIBLE AND PRUDENT TO FLAG
CANCER RISKS EARLY BUT MANY SCIENTISTS FIND IT TROUBLING

AMONG OTHER THINGS THE POLICY GIVES LITTLE OR NO WEIGHT TO STUDIES
INDICATING THAT SUBSTANCES DON'T CAUSE CANCER THE LISTING OF SILICA AS A
PROBABLE HUMAN CARCINOGEN WAS BASED CHIEFLY ON FIVE RAT EXPERIMENTS BUT AT
LEAST FIVE SIMILAR STUDIES IN HAMSTERS AND MICE ALL REPORTED BY 1986 FOUND
NO EVIDENCE OF CANCER

MOREOVER EVEN THE RAT STUDIES WEREN'T VERY COMPELLING ACCORDING TO
SCIENTISTS WHO CONDUCTED THEM MOST OF THESE RESEARCHERS BLASTED THE RATS
WITH SILICA DOSES 100 OR MORE TIMES THE AMOUNT HUMANS ARE EXPOSED TO EVEN
IN THE DUSTIEST WORKPLACES MOST TUMORS THAT DEVELOPED WERE DIFFERENT FROM
THOSE THAT TYPICALLY OCCUR IN CASES OF HUMAN LUNG CANCER NOTES LOS ALAMOS
LABORATORY'S DR HOLLAND

DESPITE CONDUCTING THE PIVOTAL RAT STUDY THAT DR GOLDSMITH CITES AS
POWERFUL DR HOLLAND CONCLUDED IN A 1990 REVIEW OF CANCERSILICA STUDIES
THAT THERE IS A GREAT DEAL OF UNCERTAINTY ABOUT SILICA'S LINK WITH CANCER
AND DECRIED REPEATED OVERREACTION TO EVERY POSITIVE EXPERIMENTAL
OBSERVATION

ADDS CORBETT MCDONALD A PROFESSOR AT MONTREAL'S MCGILL UNIVERSITY AND
CHAIRMAN OF THE INTERNATIONAL WORKING GROUP ON SILICA THERE WAS SUFFICIENT
EVIDENCE IN ANIMALS AND LIMITED EVIDENCE IN MAN' OF CARCINOGENICITY BUT
THE AGENCY HAS THIS CUSTOM OF SAYING PROBABLE' IT DOESN'T MEAN THAT IT
IS PROBABLE AND THEN THE US AGENCIES TEND TO TAKE THE NEXT AUTOMATIC STEP
OF TREATING IT AS A CARCINOGENIC SUBSTANCE THAT'S THE TROUBLE

INDEED OSHA'S CANCER ALARM GOES OFF MORE READILY THAN THE INTERNATIONAL
AGENCY'S THE LABOR DEPARTMENT AGENCY REQUIRES JUST ONE STUDY INDICATING A
SUBSTANCE IS CARCINOGENIC TO TRIGGER ITS CANCERWARNING RULES THUS THE
INTERNATIONAL BODY'S CLASSIFICATION OF SILICA AS A PROBABLE CARCINOGEN
AUTOMATICALLY ACTIVATED OSHA'S HAZARD COMMUNICATION STANDARD REQUIRING
COMPANIES TO ISSUE WARNINGS TO EMPLOYEES ABOUT WORKPLACE MATERIALS
CONTAINING MORE THAN 01 OF CRYSTALLINE SILICA

DESPITE THE SKEPTICISM AMONG MANY SCIENTISTS OSHA SAYS IT DID THE RIGHT
THING ITS RULES ON TOXIC SUBSTANCES ARE INTENTIONALLY BROAD TO ENSURE THAT
EMPLOYEES KNOW ABOUT DANGEROUS SUBSTANCES

BUT CONSIDER WHAT HAPPENED ON THANKSGIVING DAY 1990 WHEN FIREFIGHTERS
ARRIVED AT A BLAZE AT A POTTERY PLANT IN ROSEVILLE OHIO

THE FIRE STARTED AS WORKERS BURNED EMPTY BAGS OF SAND USED FOR GLAZES THE
BAGS HAD BEEN TAGGED AS CONTAINING CARCINOGENIC CRYSTALLINE SILICA

THE FIREFIGHTERS PULLED BACK CORDONED OFF A HAZARDOUS MATERIALS HOT ZONE
AND CALLED FOR HELP SAYS MR SAMSON SOON A SMALL ARMY OF FIREFIGHTERS
FROM FOUR TOWNS BROUGHT IN NINE TRUCKS AND ASSORTED EQUIPMENT INCLUDING A
DELUGE GUN FOR SPEWING WATER FROM A DISTANCE AT HAZARDOUS MATERIALS
EMERGENCY WORKERS RUSHED HOUSETOHOUSE TO WARN RESIDENTS TO STAY INSIDE
WITH DOORS AND WINDOWS CLOSED LEST THEY BREATHE TOXIC FUMES

WHEN THE BLAZE WAS FINALLY EXTINGUISHED MR SAMSON AND HIS FIREFIGHTERS
CHECKED INTO A HOSPITAL WE GOT CHEST XRAYS AND THE WHOLE NINE YARDS HE
SAYS IT WAS JUST A PRECAUTIONARY MEASURE BUT I'VE HAD A COUPLE OF CLOSE
BRUSHES WITH DEATH AND IT MAKES YOU THINK WHAT COULD HAPPEN TO YOU

AS SILICA SCARES MULTIPLY A CRISIS ATMOSPHERE IS MOUNTING IN INDUSTRY
CIRCLES OFFICIALS WITH THE CHEMICAL MANUFACTURERS ASSOCIATION THE NATIONAL
INDUSTRIAL SAND ASSOCIATION AND OTHER GROUPS SAY THEIR MAIN CONCERN IS
LIABILITY LAWSUITS

SUPPOSE A CONSUMER SEES A CANCER WARNING ON A BAG OF CRUSHED LIMESTONE HE'S
PUT ON HIS DRIVEWAY LATER DEVELOPS LUNG CANCER AND THEN SUES THE LIMESTONE
PRODUCER FRETS FREDERICK RENNINGER A SPOKESMAN FOR THE NATIONAL STONE
ASSOCIATION A TRADE GROUP IN WASHINGTON DC HE ADDS THAT THE FINE POINTS
OF THE SCIENTIFIC DEBATE ARE LIKELY TO GET LOST IN SUCH EMOTIONALLY CHARGED
CASES JUST AS THEY DID IN THE SCARE ABOUT ALAR THE APPLE GROWTH
REGULATOR THAT WAS BANNED BY THE ENVIRONMENTAL PROTECTION AGENCY EVEN THOUGH
LIMITED RAT DATA INDICATED THE CHEMICAL POSED LITTLE IF ANY RISK

BUT DR GOLDSMITH STILL CONTENDS LOW EXPOSURE TO SILICA OUTSIDE DUSTY
WORKPLACES MAY INCREASE A PERSON'S RISK FOR LUNG CANCER THE EVIDENCE IS
THAT SILICA IS A PROBABLE CARCINOGEN HE ASSERTS THAT DOESN'T MEAN
AMBIENT EXPOSURE WILL RESULT IN LUNG CANCER BUT AT THE SAME TIME IT
DOESN'T MEAN YOU'RE SAFE

FEW SILICA EXPERTS AGREE WITH DR GOLDSMITH'S OPINION THAT AMBIENT SILICA 
MEANING LEVELS OUTSIDE MINES OR OTHER DUSTY WORKPLACES IS WORTH WORRYING
ABOUT BUT DR GOLDSMITH'S VIEW MAY CARRY THE DAY THE EPA AS A PRELUDE TO
POSSIBLE ACTION AIMED AT LIMITING PUBLIC EXPOSURE TO SILICA IS RELYING ON
HIM AS ITS MAIN CONSULTANT ON SILICAANDCANCER DATA

DR GOLDSMITH SAYS HE RECENTLY SCANNED HUMAN STUDIES ON THE ISSUE AND FOUND
THAT 24 OF 26 STUDIES SHOWED A STATISTICALLY SIGNIFICANT INCREASED RISK OF
LUNG CANCER AMONG WORKERS EXPOSED TO SILICA BUT AT LEAST SIX PRIOR REVIEWS
BY OTHER RESEARCHERS CONCLUDED THAT THE JURY IS STILL OUT

MANY STUDIES DR GOLDSMITH HAS CITED AS SUGGESTING AN INCREASED RISK DON'T
ACCOUNT FOR SMOKING AMONG THE WORKERS BLUECOLLAR WORKERS HAVE A HIGHER
SMOKING RATE THAN THE GENERAL POPULATION WHICH MAY EXPLAIN HIGHER
LUNGCANCER RISKS IN MINERS AND QUARRY WORKERS

INDEED IN ONE STUDY ON SILICA EXPOSURES AMONG VERMONT GRANITEQUARRY
WORKERS WHO HAD AN ELEVATED LUNGCANCER RATE RESEARCHERS OBTAINED SMOKING
HISTORIES ON 84 OF THE WORKERS WHO DIED OF THE DISEASE ALL 84 WERE SMOKERS

MOREOVER MANY OF THE STUDIES WERE BASED ON COMPANY RECORDS OF WORKERS WHO
RECEIVED DISABILITY COMPENSATION FOR LUNG DISEASE PAST STUDIES SHOW SUCH
EMPLOYEES TEND TO MINIMIZE HOW MUCH THEY SMOKE THAT CAN PRODUCE WHAT SEEMS
TO BE A HIGH LUNGCANCER RATE AMONG THOSE EXPOSED TO SILICA DUST EVEN WHEN
SMOKING RECORDS ARE FACTORED IN

SKEPTICS ALSO NOTE THAT FEW STUDIES LINKING SILICA WITH LUNG CANCER HAVE
ACCOUNTED FOR OTHER WELLESTABLISHED CARCINOGENS INCLUDING ARSENIC DUST
AND RADON FOUND IN MINES

TO BE SURE THERE ARE A FEW STUDIES THAT AFTER ACCOUNTING FOR SMOKING AND
OTHER FACTORS SUGGEST SILICA EXPOSURE RAISES THE RISK OF LUNG CANCER BUT
OTHER EQUALLY RIGOROUS STUDIES HAVE FOUND NO SIGNS OF CANCER RISK FROM
SILICA

IN ONE OF THE MOST THOROUGH STUDIES REPORTED LAST YEAR IN THE BRITISH
JOURNAL OF INDUSTRIAL MEDICINE A TEAM LED BY DR MCLAUGHLIN OF THE CANCER
INSTITUTE CAREFULLY SORTED OUT POSSIBLE CAUSES OF 316 CASES OF LUNG CANCER
AMONG 1668 MINERS AND OTHER DUSTY TRADES WORKERS IN CHINA TUNGSTEN
MINERS WITH HEAVY SILICA EXPOSURES THEY FOUND ACTUALLY HAD ABOUT HALF THE
RISK OF LUNG CANCER AS THE GENERAL POPULATION IN CONTRAST SILICAEXPOSED
TIN MINERS HAD ELEVATED LUNG CANCER RATES BUT THEY ALSO WERE EXPOSED TO
SIGNIFICANT AMOUNTS OF ARSENIC DUST THE STUDY DOESN'T REALLY PROVIDE
SUPPORT FOR A CAUSAL RELATIONSHIP BETWEEN SILICA AND LUNG CANCER CONCLUDES
DR MCLAUGHLIN

AGAINST THIS BACKDROP OF UNCERTAINTY A CONTROVERSY RECENTLY ERUPTED OVER A
REPORT BY THE NATIONAL INSTITUTE FOR OCCUPATIONAL SAFETY AND HEALTH ON THE
SILICA QUESTION AFTER MORE THAN A DECADE OF ANALYSIS OF HEALTH RECORDS ON
3246 QUARRY AND MINE WORKERS NIOSH LAST JULY REPORTED THAT THE DATA
INDICATE EXPOSURE TO SILICA IS ASSOCIATED WITH LUNG CANCER

INDUSTRY OFFICIALS THAT SUPPLIED THE WORKER RECORDS FOR THE STUDY SAY THE
INSTITUTE WHICH CONDUCTS RESEARCH ON OSHA ISSUES MOLDED THE REPORT TO
REACH A POLITICALLY CORRECT PREORDAINED CONCLUSION THEY NOTE THAT IN FOUR
EARLIER DRAFTS OF THE REPORT NO SIGNIFICANT SILICACANCER LINK WAS FOUND

FORMER NIOSH EMPLOYEES WHO HELPED SHAPE THE EARLIER VERSIONS ARE CRITICAL
ONE OF THEM ROBERT REGER NOW A PROFESSOR AT WEST VIRGINIA UNIVERSITY AND A
CONSULTANT TO THE NATIONAL STONE ASSOCIATION CALLS THE FINAL REPORT A
DISASTER HE FAULTS ITS AUTHORS FOR CONCLUDING SILICA WAS ASSOCIATED WITH
INCREASED LUNGCANCER RISK IN GRANITE WORKERS EVEN THOUGH DATA ON THEIR
SMOKING RATE WASN'T AVAILABLE

GREGORY WAGNER A NIOSH MANAGER WHO OVERSAW THE FINAL REPORT COUNTERS THAT
THE PREVIOUS ANALYSES THAT DIDN'T FIND A SIGNIFICANT CANCER LINK WERE
CONFUSING AND LACKED CLARITY ULTIMATELY I SAID TO THE NIOSH RESEARCHERS
INVOLVED GO BACK TO THE BEGINNING AND TINKER WITH IT' THE FINAL REPORT
HE INSISTS WAS CLEAR ACCURATE AND SCIENTIFICALLY CREDIBLE AND CONTAINS
APPROPRIATE CAVEATS

DR WAGNER ADDS THAT THE GRANITE WORKERS WITH A HIGH RATE OF LUNG CANCER
PROBABLY SMOKED AT ABOUT THE SAME RATE AS THE GENERAL POPULATION BECAUSE
THEIR RATE OF OTHER SMOKINGRELATED DISEASES SUCH AS HEART DISEASE WASN'T
ELEVATED THUS SMOKING PROBABLY DIDN'T ACCOUNT FOR THEIR HIGH CANCER RATE

BUT OTHER RESEARCHERS SAY MANUAL WORKERS WHO SMOKE OFTEN HAVE RELATIVELY LOW
HEARTDISEASE RATESCONSTANT EXERCISE OFFSETS THEIR SMOKINGRELATED HEART
RISK MOREOVER IN ONE EARLY VERSION OF THE NIOSH REPORT RESEARCHERS NOTED
THAT WHEN THEY OBTAINED SMOKING HISTORIES FOR 30 WORKERS WHO DIED OF LUNG
CANCER 58 OF THE TOTAL WHO DIED OF THE DISEASE THEY FOUND 93 HAD
BEEN SMOKERS THAT INFORMATION WAS DROPPED FROM THE FINAL REPORT ALONG WITH
THE EARLIER CONCLUSION THAT THE EXCESS LUNG CANCER CASES IN THE WORKERS CAN
BE LARGELY ATTRIBUTED TO CIGARETTE SMOKING

WHILE CONTROVERSIAL THE STUDY IS LIKELY TO CARRY MUCH WEIGHT IN THE SILICA
DEBATE THINGS THAT GET DISSEMINATED BY THE US GOVERNMENT SOMETIMES HAVE
A WAY OF BECOMING SACROSANCT SAYS DR REGER

INDEED UKIAH'S MR SWIDE IS STILL WORRIED AFTER LEARNING THAT THE
GOVERNMENTDESIGNATED CARCINOGEN HE EXPOSED HIS DAUGHTER TO WAS ORDINARY
SAND FROM CALIFORNIA'S MONTEREY BEACH IT WAS JUST AN UNNECESSARY RISK TO
HAVE THAT STUFF AROUND HE SAYS SEE RELATED LETTER LETTERS TO THE
EDITOR JUST BEING ALIVE IS VERY HAZARDOUS WSJ MAY 5 1993 9303220033
YY93 MM05 9305050039 930226 ACROSS THE RIVER DEATH OF A TEENAGER 
WIDENS A RACIAL RIFT BETWEEN TWO TOWNS  AUTHORITIES AND WHITES SAY
 ERIC MCGINNIS DROWNED BUT BLACKS CALL IT MURDER  ONE COP'S
SEARCH FOR ANSWERS  BY ALEX KOTLOWITZ STAFF REPORTER OF THE WALL
STREET JOURNAL

THE MICHIGAN TOWNS OF ST JOSEPH AND BENTON HARBOR HAVE LITTLE IN COMMON
OTHER THAN THE RIVER THAT FLOWS BETWEEN THEM AND A MYSTERY THAT BEGAN ON ITS
BANKS ON MAY 17 1991

THAT FRIDAY EVENING A FEW BLOCKS FROM THE RIVER IN DOWNTOWN ST JOSEPH
DEPUTY SHERIFF STEPHEN MARSCHKE SPOTTED SOMETHING UNUSUAL FOR THE QUAINT
TOWN OF 9200 PEOPLE A MIDDLEAGED WHITE MAN CHASING A BLACK TEENAGER HE
JUST BROKE INTO MY CAR THE MAN SHOUTED

THE 36YEAROLD OFFDUTY OFFICER DASHED TO A RESTAURANT PAY PHONE SOON
THREE ST JOSEPH PATROL CARS THE TOWN'S ENTIRE FORCE WERE OUT LOOKING
FOR THE BLACK YOUTH THEIR SEARCHLIGHTS SCANNING ALLEYWAYS PARKS AND FRONT
YARDS

NO ONE SEEMS QUITE SURE WHAT HAPPENED NEXT BUT FIVE DAYS LATER THE BODY OF
A BLACK YOUTH WAS DISCOVERED FLOATING IN THE ST JOSEPH RIVER THE DEATH OF
ERIC MCGINNIS A 16YEAROLD WHO LIVED WITH HIS DIVORCED MOTHER IN BENTON
HARBOR UNLEASHED A STORM OF SUSPICION AND HOSTILITY BETWEEN THE TOWNS

INDEED YEARS OF MISTRUST MISUNDERSTANDING AND FEAR EVEN OF THE TRUTH 
SURFACED IN ST JOSEPH WHICH IS 95 WHITE PEOPLE WERE QUICK TO BELIEVE
ERIC HAD ACCIDENTALLY DROWNED BUT IN BENTON HARBOR WHICH IS 92 BLACK
RESIDENTS WERE CERTAIN HE HAD BEEN MURDERED

HIS DEATH SENT SHOCK WAVES THROUGH THE BLACK COMMUNITY AND BENTON HARBOR
GREW EVEN FIRMER IN ITS CONVICTIONS AS DETAILS OF THE MYSTERY BEGAN TO
UNFOLD ERIC WAS KNOWN TO HAVE BEEN A GOOD SWIMMER AND THE CURRENT IN THE
RIVER ISN'T PARTICULARLY SWIFT

HE DIDN'T JUST FALL INTO THAT RIVER DECLARES DON MITCHELL A RETIRED
POSTAL WORKER WHO ECHOES THE THOUGHTS OF HIS NEIGHBORS SOMEBODY KNOWS WHAT
HAPPENED

ACCUSATIONS OF A COVERUP AND CONJECTURE THAT ERIC WAS THE VICTIM OF A
MODERNDAY LYNCHING PERSIST TO THIS DAY THE LOCAL CHAPTER OF THE NATIONAL
ASSOCIATION FOR THE ADVANCEMENT OF COLORED PEOPLE HAS DEMANDED A GRANDJURY
INVESTIGATION OF THE CASE THE CONTROVERSY HAS UNDERCUT THE REPUTATION OF
LOCAL PUBLIC OFFICIALS LAWENFORCEMENT OFFICERS AND THE MEDIA

ERIC'S DEATH HAS BECOME A SYMBOL FOR THE DEEP RIFT BETWEEN THE TWO TOWNS 
AND IN A LARGER SENSE A SYMBOL FOR THE WIDE GULF BETWEEN BLACKS AND WHITES
NATIONWIDE WHILE THE ISSUE OF RACE HAUNTS THE NATION QUIETLY IT
OCCASIONALLY ERUPTS WITH JARRING URGENCY AS IN THE AFTERMATH TO ERIC'S
DEATH

AT SUCH MOMENTS IT BECOMES CLEAR THAT INDIVIDUALS RESPOND TO A RACIALLY
CHARGED INCIDENT NOT AS OBJECTIVE ONLOOKERS BUT OUT OF THEIR OWN PERSONAL
AND COLLECTIVE EXPERIENCES IN THE JAPANESE FILM RASHOMON EYEWITNESSES TO
A RAPE ALL RECOUNT THE CRIME DIFFERENTLY ERIC'S PUZZLING DEATH HAS BECOME A
KIND OF RASHOMON OF THE RACES WITH RELATIONS BETWEEN THE TWO COMMUNITIES
DISTORTING AND COLORING THE PERCEPTIONS OF WHAT APPENED ON THE NIGHT HE
DISAPPEARED

THERE ARE SO MANY MISCONCEPTIONS IN BOTH COMMUNITIES SAYS KEN OVERLEY AN
ASSISTANT PRINCIPAL AT BENTON HARBOR HIGH SCHOOL IN BENTON HARBOR THE
MISCONCEPTIONS ARE GROUNDED IN AN ANGER IN ST JOSEPH THEY'RE GROUNDED IN A
FEAR ANYTIME YOU HAVE GLASSES THAT SHADE WHAT YOU'RE SEEING YOU WON'T GET A
TRUE PICTURE

LIKE A SWOLLEN SNAKE THE ST JOSEPH RIVER LAZILY WINDS ITS WAY NORTH FROM
INDIANA THROUGH THE FLAT CROPLAND OF SOUTHWESTERN MICHIGAN WHERE IT ROLLS
INTO THE DEEP WATERS OF LAKE MICHIGAN IT IS HERE THAT THE RIVER IS AT ITS
WIDEST 170 FEET IT IS ALSO HERE THAT THIS OTHERWISE UNDRAMATIC CHUTE OF
WATER BECOMES FORMIDABLE NOT BECAUSE OF ITS CURRENTS WHICH ARE STEADY AND
SLOW BUT BECAUSE OF WHAT IT SEPARATES BENTON HARBOR AND ST JOSEPH THE
ONLY CONNECTIONS BETWEEN THE TOWNS ARE TWO BRIDGES AND AN UNDERTOW OF
CONTRASTS

WHERE IN ST JOSEPH THE AVERAGE FAMILY INCOME IS 38504 IN BENTON HARBOR
THE TYPICAL FAMILY EARNS 10447 WHERE ST JOSEPH'S DOWNTOWN MALL IS A
MIXTURE OF ANTIQUE STORES ART GALLERIES AND CLOTHING BOUTIQUES BENTON
HARBOR'S DOWNTOWN STRIP IS POCKMARKED BY TWO ABANDONED MOVIE THEATERS AND
ROWS OF VACANT STORES

EARLIER IN THE CENTURY BENTON HARBOR'S MAJESTIC HOMES AND BUSTLING DOWNTOWN
OVERSHADOWED THE MORE WORKINGCLASS CROWD OF ST JOSEPH AS INDUSTRY SETTLED
IN THE AREA AND NEARBY FARMS YIELDED PRODIGIOUS FRUIT CROPS SOUTHERN
BLACKS MIGRATED TO BENTON HARBOR FOR WORK BY THE LATE1960S THEY ACCOUNTED
FOR 59 OF THE TOWN'S POPULATION WHITES AS THEY DID ELSEWHERE FLED MANY
SETTLED ACROSS THE RIVER IN ST JOSEPH IN THE YEARS FOLLOWING INDUSTRY
MOVED OR SIMPLY CLOSED DOWN LEAVING BEHIND IN BENTON HARBOR A CHRONICALLY
DOUBLEDIGIT JOBLESS RATE

MOST PEOPLE IN THE TWO TOWNS CALLED WITH UNINTENTIONAL IRONY THE TWIN
CITIES RARELY CROSS THE TWO BRIDGES WHEN BENTON HARBOR'S MERCY HOSPITAL
PROPOSED OPENING A BUSINESS OFFICE IN ST JOSEPH LAST YEAR SOME RESIDENTS
OBJECTED ON GROUNDS THAT IT WOULD ATTRACT BLACKS TO THEIR TOWN

IF YOU WALK INTO A STORE IN ST JOSEPH THEY'RE GOING TO THINK YOU'RE
STEALING SO YOU TELL YOUR CHILDREN I DON'T WANT YOU OVER THERE' SAYS
JAMES RUTTER WHO UNTIL RECENTLY WAS THE SUPERINTENDENT OF THE BENTON HARBOR
SCHOOL SYSTEM

EXCELL MCGINNIS ERIC'S FATHER SAYS HE FELT NERVOUS ON THE FATEFUL NIGHT
WHEN ERIC HAD ASKED TO BE DRIVEN ACROSS THE BRIDGE TO ST JOSEPH I KNOW
ST JOSEPH HE SAYS IF YOU'RE OVER THERE AFTER DARK THEY WANT TO KNOW
WHAT YOU'RE DOING

IT IS NOT AN UNCOMPLICATED RELATIONSHIP THOUGH JUST LAST YEAR ST JOSEPH
MAYOR WILLIAM GILLESPIE WHILE RIDING IN A PARADE IN BENTON HARBOR WAS
TAUNTED BY A SPECTATOR HONKY GO BACK EVEN SO THE MAYOR INSISTS
RELATIONS ARE VERY GOOD BETWEEN THE TWO TOWNS

THERE HAS BEEN SOME PROGRESS IN THE PAST FEW YEARS A GROUP OF BUSINESS
LEADERS LED BY WHIRLPOOL CORP WHOSE CORPORATE HEADQUARTERS ARE IN THE
AREA HAS TRIED TO SPUR ECONOMIC DEVELOPMENT IN BENTON HARBOR A TOWN OF
12800 PEOPLE WHIRLPOOL HAS ALSO CONTRIBUTED MONEY TO THE BELEAGUERED
BENTON HARBOR SCHOOL SYSTEM NONETHELESS THE GAP IS STILL WIDE WHILE ST
JOSEPH DEBATES WHAT COLOR TO PAINT THE TIN ROOFS OF THE BATHROOMS BY THE
LAKE BENTON HARBOR WRESTLES WITH ONE OF THE HIGHEST MURDER RATES IN THE
STATE

DESPITE THE DIVISIONS BETWEEN THE TOWNS ERIC WHO HAD SKIRTED THE DARK
CANYON OF DRUGS AND GANGS HAD BEEN MAKING TRIPS ACROSS THE RIVER FAIRLY
OFTEN ALTERNATELY DESCRIBED AS SHY AND OUTGOING HE JOINED A GYMNASTICS
CLUB ON THE ST JOSEPH SIDE OF THE WATER WHERE HE QUICKLY WON THE
FRIENDSHIP OF STUDENTS THERE HE BRIGHTENED THE GYM UP SAYS LEIGH ANN
BENDER A FELLOW GYMNAST I LOOKED FORWARD TO COMING TO THE GYM WHEN HE WAS
THERE

HE ALSO MET MANY WHITE TEENAGERS AT A PLACE CALLED THE CLUB A ST JOSEPH
NIGHTSPOT FOR KIDS 18 YEARS OLD AND YOUNGER WHO LIKED TO DANCE AND HANG OUT
WITH FRIENDS THE TEENAGERS COULD BUY JUICE AND SODA POP PLAY VIDEO GAMES
AND SCRAWL MESSAGES ON A WALL DESIGNATED FOR GRAFFITI WITH THE EXCEPTION OF
A FEW MINOR SCUFFLES THE CLUB HAD A GOOD REPUTATION THE NIGHTSPOT WAS
UNUSUAL WHILE MOST OF THE KIDS CAME FROM ST JOSEPH IT ALSO ATTRACTED A
HANDFUL FROM THE OTHER SIDE OF THE RIVER

THE CLUB WAS ERIC'S DESTINATION ON THE NIGHT HE DISAPPEARED BUT FEW PEOPLE
WERE THERE SO ERIC DECIDED TO JOIN FOUR FRIENDS FROM ST JOSEPH IN THE
YOUNG WOMEN'S CHRISTIAN ASSOCIATION PARKING LOT ACROSS THE STREET

A BIT LATER TED WARMBEIN THE 41YEAROLD OWNER OF AN OFFICESUPPLY STORE
WAS LEAVING THE NEARBY SILVER DOLLAR CAFE WITH HIS DATE WHEN HE SAW A BLACK
YOUTH RIFLING THROUGH HIS CAR MR WARMBEIN RAN TOWARD HIM AND THE TEEN
FLED

MR WARMBEIN A STOCKY MAN COULDN'T KEEP PACE WITH THE FLEET YOUTH AS THEY
RAN DOWN THE TOWN'S MAIN STREET MR WARMBEIN ALMOST KNOCKED OVER MR
MARSCHKE THE DEPUTY SHERIFF WENT INTO THE SILVER DOLLAR TO PHONE THE ST
JOSEPH POLICE AND THEN WALKED BACK OUTSIDE WHEN HE SAW A SQUAD CAR TURN THE
CORNER HE SAYS HE RETURNED TO THE RESTAURANT RATHER THAN HELP DIRECT THE
POLICE

MR WARMBEIN MEANWHILE SAYS AN UNIDENTIFIED MAN WHO HAD WITNESSED THE
CHASE OFFERED TO DRIVE HIM AROUND TO SEE IF THEY COULD FIND THE YOUTH THEY
COULDN'T THOUGH MR WARMBEIN DID FIND HIS CHECKBOOK FORTYFOUR DOLLARS IN
CASH WAS MISSING SO WAS ERIC

THE ST JOSEPH POLICE DEPARTMENT WHICH HAS HANDLED A TOTAL OF THREE MURDERS
IN THE PAST HALF CENTURY ASSIGNED ALL THREE PATROL CARS TO SEARCH FOR THE
SUSPECT ACCORDING TO POLICE RECORDS THEY FOUND NO TRACE OF HIM MR
WARMBEIN FILED A POLICE REPORT AND THEN WENT HOME TO SLEEP

WHEN ERIC DIDN'T RETURN TO HIS FATHER'S HOUSE MR MCGINNIS ASSUMED HE HAD
GONE TO HIS MOTHER'S INSTEAD THE NEXT MORNING MR MCGINNIS CALLED HIS
EXWIFE ERIC WASN'T THERE RUTH MCGINNIS FILED A MISSING PERSON'S REPORT
WITH THE POLICE THAT AFTERNOON MR MCGINNIS FEARED THE WORST I WENT OVER
TO ST JOSEPH  I DID IT THREE OR FOUR TIMES I JUST HAD A FEELING HE
MIGHT HAVE BEEN IN THE RIVER OR LAYING ON THE SIDE OF THE ROAD HE SAYS

FOUR DAYS PASSED AND THEN SAUL BRIGNONI A COAST GUARD SEAMAN RECEIVED A
RADIO CALL FROM THE CREW OF A NEARBY DREDGING BOAT WE GOT SOMETHING OUT
HERE YOU MIGHT WANT TO TAKE A LOOK AT HE WAS TOLD AS HE AND HIS
COLLEAGUES PUSHED OFF IN THEIR SMALL BOAT THEY SPOTTED THE BLOATED BODY OF
A FULLY CLOTHED BLACK TEEN YOU DON'T FORGET YOUR FIRST BODY SAYS MR
BRIGNONI WHO REMEMBERS EVEN THE BRAND NAMES OF THE CLOTHES ERIC WAS
WEARING HE ALSO RECALLS THAT ERIC'S BELT WAS UNBUCKLED HIS PANTS WERE OPEN
AND HIS SHOES WERE UNTIED ALL OF WHICH WOULD ADD TO THE QUESTIONS
SURROUNDING HIS DEATH

AN AUTOPSY RULED IT A DROWNING CONCLUDING THAT THERE WERE NO PHYSICAL MARKS
ON ERIC'S BODY TO INDICATE HE'D BEEN HIT OR HAD BEEN IN A FIGHT LIKEWISE
THERE WEREN'T ANY DRUGS IN HIS SYSTEM HIS ALCOHOL LEVEL WAS AT 004 THE
EQUIVALENT OF ABOUT TWO BEERS

POLICE INVESTIGATORS CONCLUDED THAT THIS WAS THE TEEN THEY HAD BEEN
SEARCHING FOR THREE OF ERIC'S FRIENDS TOLD POLICE THEY HAD SEEN HIM BREAK
INTO THE CAR AND IN HIS POCKETS THE POLICE FOUND A SET OF HOUSE KEYS AND
49 THE 5 HIS MOTHER HAD GIVEN HIM AND PRESUMABLY THE 44 TAKEN FROM MR
WARMBEIN'S CAR THE POLICE ALSO NOTED THAT HIS LONG HEAVY TASK FORCEBRAND
COAT WAS MISSING

BENTON HARBOR NEARLY EXPLODED AFTER ERIC'S BODY WAS FOUND JUSTICE FOR
BLACKS MANY FELT HAD LONG BEEN ELUSIVE IN PREDOMINATELY WHITE AND
CONSERVATIVE BERRIEN COUNTY JAMES TURNER A BENTON HARBOR CITY
COMMISSIONER STILL SEETHES WHEN RECALLING THE TIME HIS TWO SONS WERE PULLED
OVER BY POLICE AFTER DRIVING THROUGH A ST JOSEPH RESIDENTIAL NEIGHBORHOOD

ERIC MCGINNIS'S DEATH FANNED THE RESENTMENT A RESIDUE OF SMALL AND LARGE
SLIGHTS THAT PRICKED AND STUNG EVEN THE PROUDEST AND STRONGEST OF PEOPLE
BENTON HARBOR HIGH SCHOOL VIRTUALLY EMPTIED OUT FOR THE FUNERAL WHICH WAS
ATTENDED BY ABOUT 1200 PEOPLE ERIC HAD MANY FRIENDS HE BELONGED TO THE
NAACP HIS CHURCH CHOIR AND HIS SCHOOL'S JUNIOR ROTC

IN THE WEEK AFTER ERIC'S BURIAL BLACK BENTON HARBOR HIGH SCHOOL STUDENTS
ATTACKED TWO WHITE STUDENTS A GANG THREATENED TO CROSS THE BRIDGE AND WREAK
HAVOC ON ST JOSEPH ERIC'S FRIENDS GATHERED IN FRONT OF HIS HOUSE WAITING
FOR ME TO SAY GO GET THEM' RECALLS MS MCGINNIS SHE URGED THEM NOT TO
CHRIS ADAMS OWNER OF THE CLUB RECEIVED DEATH THREATS FIVE BLACKS ONE OF
WHOM WAS BELIEVED TO BE CARRYING A GUN THREATENED TO DISRUPT A WOMEN'S
SOFTBALL PRACTICE AT LAKE MICHIGAN COLLEGE AND A WHITE COUPLE NECKING IN A
LAKESIDE PARK WERE BEATEN BY A GROUP OF BLACKS AN ANONYMOUS CALLER WARNED
A ST JOSEPH POLICE DISPATCHER NEXT TIME SOMEONE WILL GET HURT
SERIOUSLY

PEOPLE IN ST JOSEPH HEARD ABOUT THESE INCIDENTS FEARFUL PARENTS KEPT THEIR
CHILDREN HOME FROM SCHOOL ONE MOTHER PREVENTED HER SON FROM LEAVING THE
HOUSE ALL SUMMER WORRIED THAT HE MIGHT BE THE TARGET OF AN ATTACK BECAUSE
HE KNEW ERIC THE POLICE WERE PUT ON ALERT AFTER THEY HEARD RUMORS THAT
THERE MIGHT BE A DRIVEBY SHOOTING OF THE CLUB KIDS STOPPED FREQUENTING THE
NIGHTSPOT IT CLOSED THREE WEEKS LATER FOR LACK OF BUSINESS

THREE OR FOUR TIMES A WEEK MS MCGINNIS A QUALITYCONTROL SUPERVISOR FOR A
LOCAL PLASTICS MAKER WOULD DRIVE TO DOWNTOWN ST JOSEPH AFTER WORK SHE
WOULD STAND BY THE BUILDING THAT ONCE HOUSED THE CLUB AND TRY TO IMAGINE THE
EVENTS OF THE NIGHT HER SON DISAPPEARED I JUST WANT TO KNOW WHAT HAPPENED
SO THAT I CAN REST SHE SAYS I'M NOT BITTER I'M HURT I MISS MY SON

PEOPLE WANTED ANSWERS THE NAACP OFFERED A REWARD FOR ANY INFORMATION THAT
MIGHT HELP RESOLVE THE QUESTIONS ABOUT ERIC'S DEATH MS MCGINNIS AND HER
BROTHER BENNIE BOWERS A STATE TROOPER WHO HAD BEEN CLOSE TO ERIC BEGAN
QUESTIONING PEOPLE THEMSELVES AND THE ST JOSEPH POLICE WHO RECOGNIZED HOW
VOLATILE A CASE THEY HAD INTERVIEWED 91 PEOPLE AND EVENTUALLY CALLED IN THE
FEDERAL BUREAU OF INVESTIGATION AND THE MICHIGAN STATE POLICE TO GET THEIR
EXPERT OPINIONS AS WELL

THIS WAS A TIME BOMB READY TO GO OFF SAYS JAMES REEVES JR A DETECTIVE
WITH THE ST JOSEPH POLICE

WHEN ERIC'S BODY WAS FOUND IT WAS CLEAR TO CIVIC LEADERS AND
LAWENFORCEMENT OFFICIALS THAT THE DEATH COULD CAUSE UNREST SO THEY
ASSEMBLED A TASK FORCE THAT INCLUDED POLICE FROM THE SURROUNDING
COMMUNITIES INCLUDING BENTON HARBOR MR REEVES A 22YEAR VETERAN OF THE
ST JOSEPH POLICE DEPARTMENT HEADED THE INVESTIGATION AN EARNEST AFFABLE
44YEAROLD MR REEVES WHO IS WHITE GREW UP IN BENTON HARBOR UNLIKE
OTHERS HE STAYED UNTIL LAST YEAR WHEN HIS DAUGHTER WAS READY TO ENTER
SCHOOL HE MOVED TO ST JOSEPH INTO A LARGER HOME AND INTO A
BETTERFINANCED SCHOOL DISTRICT

DENNIS WILEY THE COUNTY PROSECUTOR WOULD DEAL WITH THE PRESS EARLY IN THE
INVESTIGATION MR WILEY MADE A DECISION THAT EVENTUALLY LED TO ACCUSATIONS
OF INCOMPETENCE AND COVERUP HE CHOSE NOT TO MAKE PUBLIC THE SUSPICION THAT
ERIC HAD BROKEN INTO A CAR WORRIED THAT SUCH A DISCLOSURE WOULD INFLAME
RACIAL TENSIONS MR WILEY TOLD THE EDITORS OF THE LOCAL NEWSPAPER THE
HERALDPALLADIUM WHO AGREED TO KEEP IT OFF THE RECORD AND NOT TO PRINT IT
BOB DEWITT NEWS DIRECTOR AT WSJM RADIO HAD UNCOVERED THE INFORMATION IN
HIS REPORTING BUT CHOSE NOT TO BROADCAST IT BECAUSE WE DIDN'T WANT TO FAN
THE FLAMES

EVERYBODY'S GOTTEN SO PARANOID ABOUT ONE ANOTHER SIGHS ONE
LAWENFORCEMENT OFFICIAL WHO FAVORED RELEASING THE INFORMATION THEY'RE
WORRIED EVEN ABOUT TELLING SOMEONE THE TRUTH IT'S JUST CRAZY IT WASN'T
MALICIOUS IT WAS JUST LIKE OH MY GOD IF WE SAY THIS THEY WON'T BELIEVE
US' PEOPLE AROUND HERE ARE THEIR OWN WORST ENEMY

MS MCGINNIS IN A MEETING WITH MR WILEY ALSO AGREED TO LEAVE THE MATTER
PRIVATE NOW THOUGH SHE REGRETS HER ACQUIESCENCE I DON'T KNOW WHETHER
THEY DIDN'T PRINT THAT AS A FAVOR TO ME OR AS A FAVOR TO THEM SHE SAYS

THAT DECISION WOULD IN PARTICULAR HURT MR REEVES IT LATER LED PEOPLE TO
RAISE QUESTIONS ABOUT HIS INVESTIGATION MR REEVES SAYS HE PURSUED EVERY
LEAD SIX PEOPLE TOOK LIEDETECTOR TESTS INCLUDING FIVE OF ERIC'S BUDDIES
WHO WERE QUESTIONED ABOUT THE GOINGSON THE NIGHT ERIC DISAPPEARED ALL WERE
FOUND TO BE TELLING THE TRUTH MR WARMBEIN WHO FOR A WHILE WAS THE CHIEF
SUSPECT TOOK A POLYGRAPH AND PASSED THE POLICE CHECKED OUT HIS ALIBI THAT
HE HAD GONE DIRECTLY HOME AFTER GIVING CHASE HIS COUSIN AND NIECE BOTH OF
WHOM LIVED WITH HIM CONFIRMED IT THE POLICE TALKED TO A ST JOSEPH GIRL
ERIC HAD DATED HER FATHER WAS RUMORED TO HATE BLACKS SHE WAS ABLE TO PROVE
THAT SHE WASN'T AT OR NEAR THE CLUB THE NIGHT ERIC DISAPPEARED AND HER
FATHER HAD BEEN OUT OF TOWN

IT LEFT MR REEVES WITH ONLY ONE CONCLUSION ERIC HAD SOMEHOW ENDED UP IN
THE RIVER EITHER HE FELL IN OR TRIED TO SWIM IT AND THEN DROWNED MR
REEVES DEVISED A NUMBER OF SCENARIOS IN AN EFFORT TO GET BACK HOME AFTER
HAVING BROKEN INTO THE CAR HE SPECULATED ERIC MIGHT HAVE ATTEMPTED TO
CROSS THE RAILROAD TRESTLE AND FAILED IN HIS EFFORT OR IN AN ATTEMPT TO
AVOID THE POLICE SEARCHLIGHTS MAYBE HE HUNG OVER THE EDGE OF A RETAINING
WALL AND SLIPPED OR PERHAPS HE SUGGESTED ERIC TRIED TO SWIM ACROSS THE
RIVER AND DROWNED IN THE CHILLY 48DEGREE WATER

EVEN THOUGH THE FBI AND STATE POLICE SUPPORTED MR REEVES'S CONCLUSION NONE
OF THIS MADE SENSE TO THE PEOPLE OF BENTON HARBOR WHY AFTER ALL WOULD
ERIC TRY TO SWIM THE RIVER WHY WOULDN'T HE SIMPLY WALK OVER THE BRIDGE OR
CALL HIS PARENTS AND HAVE ONE OF THEM PICK HIM UP BESIDES EVERYONE
INSISTED ERIC WAS A GOOD SWIMMER AND BECAUSE OF DREDGING THE CURRENTS
WEREN'T STRONG

THERE WERE OTHER QUESTIONS AS WELL WHY WAS HIS BELT UNBUCKLED AND PANTS
OPEN WHEN HE WAS FOUND WHERE WAS HIS COAT ANOTHER PERSISTENT QUESTION WHY
DIDN'T MR MARSCHKE THE DEPUTY SHERIFF WHO WENT ON TO BE APPOINTED SHERIFF
GIVE CHASE TO ERIC

IN BENTON HARBOR MR MARSCHKE HAD A REPUTATION FOR BEING AN ARROGANT
OFFICER IN A REELECTION BID THIS PAST SUMMER HE RAN NEWSPAPER
ADVERTISEMENTS SHOWING HIM ARRESTING A YOUNG BLACK MAN THE HEADLINE ASKED
RHETORICALLY IN THE WAR ON DRUGS WHO KNOWS THE ENEMY BEST EVEN AFTER THE
BLACK COMMUNITY EXPRESSED ALARM OVER THE AD MR MARSCHKE PERSISTED IN
RUNNING IT WHEN PEOPLE LEARNED THAT HE SAID HE HADN'T GIVEN CHASE IT
AROUSED SUSPICION

I CAN'T IMAGINE HIM NOT GOING AFTER THAT GUY SAYS MR TURNER THE CITY
COMMISSIONER

WHEN ST JOSEPH POLICE OFFICER DALE EASTON ARRIVED IN RESPONSE TO MR
MARSCHKE'S PHONE CALL THE DEPUTY SHERIFF WAS NOWHERE TO BE SEEN IT KIND
OF SURPRISED ME MR EASTON RECALLS IF HE WITNESSED SOMETHING I FIGURED
HE'D STAY AROUND TO TELL WHAT HE SAW

THE DEPUTY SHERIFF MET A FRIEND FOR DINNER THAT NIGHT MR MARSCHKE
EXPLAINS I SAW THE GUY RUNNING AND THAT WAS THE EXTENT OF MY
INVOLVEMENT HE SAYS THERE WAS NOTHING TO WAIT FOR THE POLICE HAD THE
DESCRIPTION OF WHAT I GAVE THEM

MS MCGINNIS AND HER BROTHER MR BOWERS VISITED WITH MR MARSCHKE LAST
SPRING DIDN'T HE THINK IT ODD THAT A BLACK YOUTH WAS RUNNING IN DOWNTOWN
ST JOSEPH IT WAS A LITTLE UNUSUAL BUT I DIDN'T THINK MUCH OF IT HE
SAYS PEOPLE WANT TO MAKE IT A RACIAL SITUATION WHY WOULD I THINK THAT WAS
UNUSUAL THAT A BLACK MAN WAS RUNNING DOWN THE STREET

MR REEVES SAYS HE HAS NEVER CONSIDERED MR MARSCHKE A SUSPECT HE DIDN'T
REVIEW THE POLICE TAPE OF THE EMERGENCY CALL MR MARSCHKE MADE IT HAS SINCE
BEEN ERASED THE DETECTIVE CONCEDES IT WAS AN OVERSIGHT ON MY PART BUT
MR MARSCHKE'S DECISION NOT TO JOIN IN THE PURSUIT DOESN'T APPEAR OUT OF
CHARACTER SAY FRIENDS AND FORMER COLLEAGUES MR MARSCHKE THEY SAY HAS
ALWAYS BEEN A POLITICALLY AMBITIOUS MAN WITH HIS SIGHTS SET ON BECOMING
SHERIFF A POSITION HE OBTAINED TEMPORARILY WHEN THE REIGNING SHERIFF
RETIRED IN THE FALL OF 1991 MR MARSCHKE FAILED IN AN ELECTION BID

ERIC'S DEATH HOVERED LIKE A NOXIOUS CLOUD OVER THE TWO TOWNS WAITING FOR
ANSWERS BLACKS DIDN'T BRING IT UP WITH WHITES NOR WHITES WITH BLACKS

THEN THE INEVITABLE HAPPENED AT A FORUM LAST JULY MR MARSCHKE WHO WAS
RUNNING TO RETAIN HIS POSITION AS SHERIFF WAS ASKED BY A BENTON HARBOR
RESIDENT WHAT HAD HAPPENED THE NIGHT ERIC DISAPPEARED MR MARSCHKE RAN
THROUGH THE STORY THIS TIME THOUGH HE DETONATED AN EMOTIONAL BOMB WHILE
RETELLING THE TALE HE LET SLIP THAT ERIC HAD BROKEN INTO A CAR ALL OF
BENTON HARBOR WANTED TO KNOW WHY THIS FACT HAD BEEN CONCEALED IT LEADS YOU
TO WONDER WHAT ELSE WAS WITHHELD AND WHY IT WAS WITHHELD SAYS MICHAEL
GREEN THE COMMUNITY PROJECT OFFICER FOR PEOPLES STATE BANK AND A BENTON
HARBOR RESIDENT

THERE'S EITHER BEEN A COVERUP OR IT'S THE WORST INVESTIGATION I'VE EVER
OBSERVED INSISTS MR TURNER

WITHIN THE NEXT TWO WEEKS THE NAACP MADE ITS REQUEST TO THE STATE'S
ATTORNEY GENERAL TO CONVENE A GRANDJURY INQUIRY THE BENTON HARBOR CITY
COUNCIL PASSED A RESOLUTION SUPPORTING THE REQUEST PROTESTERS THEN MARCHED
TO THE COUNTY BUILDING DECRYING THE POLICE INVESTIGATION

IN HIS OFFICE WHERE AN AERIAL PHOTOGRAPH OF THE RIVER HANGS ON ONE WALL
MR REEVES PATIENTLY ANSWERS A BARRAGE OF QUESTIONS BY A REPORTER FROM A
STATEWIDE BLACK NEWSPAPER A CAUTIOUS AND RETICENT MAN BY NATURE HE HAS
FELT COMPELLED TO RESPOND TO ALL QUERIES AND TO MAKE PUBLIC THE
TWOINCHTHICK FILE ON THE CASE SO THAT EVERYTHING WOULD BE OUT IN THE OPEN

AFTER THE DISCLOSURE THAT ERIC ALLEGEDLY HAD COMMITTED A CRIME MR REEVES
AND HIS DEPARTMENT CAME UNDER INTENSE CRITICISM SOME OF WHICH MR REEVES
TOOK PERSONALLY HE SAYS THAT HE PERIODICALLY REREADS THE NOWBULGING POLICE
REPORT TO SEE IF THERE IS ANYTHING HE MISSED HE FREQUENTLY REVIEWS THE
POLAROID PHOTOGRAPHS OF ERIC'S MUDSPLATTERED BODY

I GUESS I'M FRUSTRATED WITH NOT BEING ABLE TO GIVE THE FAMILY AN ABSOLUTE
DEFINITIVE REPLAY OF WHAT HAPPENED HE SAYS NOT FAR INTO THE PROBE MR
REEVES LEARNED THAT HE AND MS MCGINNIS HAD GRADUATED TOGETHER FROM BENTON
HARBOR HIGH SCHOOL IT WAS COMMON GROUND HE SAYS BUT AT THEIR 25THYEAR
REUNION THAT SAME SUMMER MR REEVES SAYS IT WAS HARD TO LOOK AT RUTHIE
AND SAY I JUST DON'T KNOW' EXACTLY WHAT HAPPENED TO ERIC SINCE HE HAS
NOTHING NEW TO DISCLOSE HE HAS BEEN RELUCTANT TO CALL MS MCGINNIS FOR HER
PART MS MCGINNIS HAS COMPLAINED OF NOT BEING KEPT ABREAST OF THE POLICE
INQUIRY I'M NOT POINTING FINGERS SHE SAYS ALL I WANT ARE ANSWERS

WHENEVER LEADS COME UP MR REEVES PURSUES THEM STILL HE CONSIDERS THE
CASE SOLVED RULING IT AN ACCIDENTAL DROWNING

BUT HE DOESN'T KNOW AND SAYS HE MAY NEVER KNOW HOW ERIC ENDED UP IN
THE RIVER WHETHER HE FELL IN OR TRIED TO SWIM I HAVE ABOUT 105 DIFFERENT
POSSIBILITIES HE SAYS HE IS CONVINCED HOWEVER THAT NO FOUL PLAY WAS
INVOLVED

HOW ABOUT THE MISSING COAT MAYBE SUGGESTS MR REEVES THE COAT IS AT THE
BOTTOM OF THE RIVER HOW ABOUT THE UNBUCKLED BELT MR REEVES SAYS THAT IT
WAS CHIC FOR SOME TEENAGE BOYS TO WEAR THEIR BELTS OPEN LIKE THAT HE ALSO
POINTS OUT THAT ERIC'S BODY WAS LIFTED OUT OF THE WATER BY A ROPE ATTACHED
TO HIS BELT ANOTHER LAWENFORCEMENT OFFICIAL SUGGESTS THAT ERIC WAS
FRANTICALLY TRYING TO DISROBE WHILE IN THE WATER THOUGH THAT DOESN'T
EXPLAIN WHY HIS UNTIED SHOES WOULD STILL BE ON

THE ATTORNEY GENERAL'S OFFICE HAS REFERRED THE NAACP'S GRANDJURY REQUEST TO
MR WILEY THE LOCAL PROSECUTOR THE GROUP IS PLANNING ANOTHER COURTHOUSE
RALLY SOMETIME NEXT MONTH URGING A FURTHER INVESTIGATION INTO ERIC'S DEATH

THE LACK OF CONCRETE ANSWERS LEAVES THOSE IN BENTON HARBOR UNSATISFIED MR
GREEN THE BANK OFFICER WROTE AN OPED PIECE FOR THE LOCAL NEWSPAPER THAT
BEGAN AND ENDED WITH THE SAME ASSERTION SOMEONE KNOWS WHAT HAPPENED TO
ERIC MCGINNIS HE DIDN'T JUST JUMP INTO THE ST JOSEPH RIVER AND DROWN

SAYS AN EXASPERATED MR REEVES I GUESS PEOPLE ARE GOING TO BELIEVE WHAT
THEY WANT TO BELIEVE

IT'S CLASSIFIED AS AN ACCIDENTAL DROWNING HE SAYS ALMOST APOLOGETICALLY
BUT I DON'T THINK WE'RE EVER GOING TO CONVINCE EVERYBODY

NEARLY TWO YEARS HAVE PASSED SINCE ERIC'S BODY WAS FOUND IN THE ST JOSEPH
RIVER IN THAT TIME 15 PEOPLE HAVE BEEN MURDERED IN BENTON HARBOR INCLUDING
TWO CHILDREN THE ONLY DEATHS IN ST JOSEPH HAVE BEEN THOSE OF NATURAL
CAUSES AND THREE BY DROWNING IN LAKE MICHIGAN

THE TWIN CITIES ALSO REMAIN WORLDS APART IN THEIR CONJECTURE AS TO WHAT
HAPPENED THE NIGHT OF MAY 17 MOST IN ST JOSEPH BELIEVE ERIC MCGINNIS
ACCIDENTALLY DROWNED THOSE IN BENTON HARBOR EVEN THE MOST CONSERVATIVE AND
CONCILIATORY NOT ONLY BELIEVE THEY SAY THEY KNOW FOR CERTAIN THAT ERIC
MCGINNIS WAS MURDERED WHAT ELSE WOULD ACCOUNT FOR THE DEATH OF A BLACK
YOUTH IN ALLWHITE ST JOSEPH

THIS DEBATE INVOLVES MORE THAN JUST DIFFERENCES BETWEEN BENTON HARBOR AND
ST JOSEPH IT EMBODIES THE FAULT LINE SEPARATING THE RACES EMOTIONAL
QUAKES LIKE ERIC'S DEATH ONLY PUSH THE TWO SIDES EVEN FURTHER APART THE
TRUTH OF WHAT HAPPENED THAT NIGHT MAY HAVE BEEN BURIED WITH ERIC WHOSE BODY
LIES AT THE FAR END OF THE CRYSTAL SPRINGS CEMETERY UNDER A SIMPLE TOMBSTONE
THAT READS MY BELOVED SON SEE RELATED LETTER LETTERS TO THE EDITOR
FEAR AND ANGER BORN OF IGNORANCE WSJ MARCH 25 1993 CORRECTIONS &
AMPLIFICATIONS AN ARTICLE ABOUT RACIAL UNREST IN BENTON HARBOR MICH ON
PAGE ONE FEB 26 INCORRECTLY STATED THAT FIVE YOUTHS ANGRY OVER THE DEATH
OF A TEENAGER HAD DISRUPTED A SOFTBALL PRACTICE AT LAKE MICHIGAN COLLEGE
THE INCIDENT OCCURRED AT A LOCAL HIGH SCHOOL WSJ MAY 5 1993 9302260046
YY93 MM05 9305040161 930504 WHO'S NEWS GIBRALTAR PACKAGING GROUP INC

GIBRALTAR PACKAGING GROUP INC HASTINGS NEB RALPH PERULLO 52 YEARS
OLD FORMERLY PRESIDENT AND CHIEF EXECUTIVE OFFICER OF NIEMAND INDUSTRIES
WAS NAMED TO THE VACANT POST OF PRESIDENT AND CHIEF OPERATING OFFICER OF
THIS MAKER OF PAPER PACKAGING PRODUCTS HE WAS ALSO ELECTED A DIRECTOR OF
THE COMPANY INCREASING BOARD MEMBERSHIP TO 10 9305040160 930504 WHO'S
NEWS UAL CORP

UAL CORP CHICAGO FRANCESCA MARCINIAK MAHAR WAS NAMED VICE
PRESIDENTLAW AND CORPORATE SECRETARY AT UNITED AIRLINES MS MAHAR 35
YEARS OLD HAD BEEN A PARTNER AT THE CHICAGO LAW FIRM MAYER BROWN & PLATT
SHE SUCCEEDS JOSEPH T KANE 59 WHO IS RETIRING 9305040159 930504 WHO'S
NEWS WAREHOUSE CLUB INC

WAREHOUSE CLUB INC CHICAGO STEVEN J ZABEL 31 YEARS OLD WAS NAMED TO
THE VACANT POST OF VICE PRESIDENT AND CHIEF FINANCIAL OFFICER AT THIS
OPERATOR OF MEMBERONLY WAREHOUSE STORES MR ZABEL HAD BEEN DIRECTOR OF
ACCOUNTING SERVICES CONTROLLER CHIEF ACCOUNTING OFFICER AND TREASURER
9305040158 930504 WHO'S NEWS S&T BANCORP

S&T BANCORP INDIANA PA ROBERT ROUT 41 YEARS OLD WAS NAMED SENIOR
VICE PRESIDENT AND CHIEF FINANCIAL OFFICER OF THIS BANK HOLDING COMPANY AND
OF ITS S&T BANK UNIT MR ROUT WHO WAS FORMERLY VICE PRESIDENT AND
CONTROLLER OF THE UNIT SUCCEEDS JOHN CONNELL 53 WHO BECAME SENIOR VICE
PRESIDENT AND GENERAL AUDITOR OF THE PARENT 9305040157 930504 WHO'S NEWS
 AMGEN INC

AMGEN INC THOUSAND OAKS CALIF PETER B TEELEY WAS APPOINTED TO THE
NEWLY CREATED POSITION OF VICE PRESIDENT GOVERNMENT AND PUBLICATIONS WITH
THE BIOTECHNOLOGY CONCERN MR TEELEY 53 YEARS OLD WAS US AMBASSADOR TO
CANADA DURING THE BUSH ADMINISTRATION PRIOR TO THAT APPOINTMENT HE WAS A
CONSULTANT TO AMGEN FOR THREE YEARS 9305040156 930504 WHO'S NEWS 
AMERICA WEST AIRLINES

AMERICA WEST AIRLINES PHOENIX JAMES M KING WAS NAMED TO THE BOARD OF
THIS AIRLINE SUCCEEDING CRAIG COLEMAN WHO DIED IN NOVEMBER MR COLEMAN
WAS A DIRECTOR AT GPA GROUP PLC AN IRISH LEASING FIRM THAT HOLDS SOME OF
AMERICA WEST'S DEBT AND LEASES AIRCRAFT TO THE AIRLINE MR KING IS
CURRENTLY A GPA VICE CHAIRMAN 9305040155 930504 WHO'S NEWS STERLING
CHEMICALS INC

STERLING CHEMICALS INC HOUSTON ROBERT W ROTEN WAS NAMED TO THE NEW
POSITIONS OF EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER AT THIS
PETROCHEMICAL MANUFACTURER MR ROTEN 58 YEARS OLD HAD BEEN VICE
PRESIDENT CORPORATE DEVELOPMENT 9305040154 930504 WHO'S NEWS ALLIED
CAPITAL'S PRESIDENT RESIGNS

WASHINGTON ALLIED CAPITAL ADVISERS INC SAID ITS PRESIDENT AND CHIEF
OPERATING OFFICER BROOKS H BROWNE IS RESIGNING TO BECOME THE PRESIDENT OF
A CHARITABLE VENTURECAPITAL FUND INVESTING IN THIRD WORLD ENVIRONMENTAL
BUSINESSES

CHAIRMAN AND CHIEF EXECUTIVE OFFICER DAVID GLADSTONE SAID HE WILL TAKE OVER
MR BROWNE'S DUTIES UNTIL A SUCCESSOR IS NAMED MR BROWNE 43 YEARS OLD
WILL REMAIN A DIRECTOR OF ALLIED CAPITAL ADVISERS THE COMPANY SAID MR
BROWNE EXPECTS TO LEAVE IN EARLY JUNE TO BECOME THE PRESIDENT OF
ENVIRONMENTAL ENTERPRISES ASSISTANCE FUND INC WHICH INVESTS IN THIRD WORLD
ALTERNATIVE ENERGY AND ENVIRONMENTAL BUSINESSES 9305040153 930504 DUPONT
CO'S RATINGS ON LONGTERM DEBT CONFIRMED BY MOODY'S

NEW YORK MOODY'S INVESTORS SERVICE INC SAID IT CONFIRMED ITS RATINGS ON
DUPONT CO'S 86 BILLION OF LONGTERM DEBT

THE RATINGS AGENCY SAID IT NOW BELIEVES DUPONT'S EFFORT TO CUT COSTS AND
CHANGE ITS CORPORATE CULTURE WILL RESULT IN HIGHER CASH FLOW WHICH MOODY'S
BELIEVES THE CHEMICAL MAKER WILL USE TO REDUCE ITS DEBT

MOODY'S CONFIRMED ITS DOUBLEA2 RATING ON DUPONT'S SENIOR NOTES
DEBENTURES EUROBONDS AND NUMEROUS TAXEXEMPT ISSUES AND ITS PDOUBLEA2
RATING ON A SHELF REGISTRATION OF DEBT SECURITIES

MOODY'S PLACED DUPONT'S LONGTERM DEBT UNDER REVIEW IN LATE FEBRUARY BECAUSE
OF THE COMPANY'S GROWING DEBT AND REDUCED CASH FLOW

DUPONT'S PRIME1 RATING FOR COMMERCIAL PAPER WASN'T UNDER REVIEW
9305040152 930504 RAWSTEEL PRODUCTION FELL 14 LAST WEEK

WASHINGTON RAWSTEEL PRODUCTION BY THE NATION'S MILLS DECREASED 14 LAST
WEEK TO 1824000 TONS FROM 1849000 TONS THE PREVIOUS WEEK THE AMERICAN
IRON AND STEEL INSTITUTE SAID

LAST WEEK'S OUTPUT ROSE 12 FROM THE 1802000 TONS PRODUCED A YEAR
EARLIER

THE INDUSTRY USED 862 OF ITS CAPABILITY LAST WEEK COMPARED WITH 874 THE
PREVIOUS WEEK AND 836 A YEAR EARLIER

THE AMERICAN IRON AND STEEL INSTITUTE REPORTED

THE CAPABILITY UTILIZATION RATE IS A CALCULATION DESIGNED TO INDICATE AT
WHAT PERCENT OF ITS PRODUCTION CAPABILITY THE INDUSTRY IS OPERATING IN A
GIVEN WEEK 9305040150 930504 CORRECTIONS & AMPLIFICATIONS

TRANSCO ENERGY CO'S FIRSTQUARTER LOSS FOR 1992 WAS MISSTATED AS NET INCOME
IN YESTERDAY'S REPORT ON CORPORATE PERFORMANCE RESULTING IN INCORRECT
PROFIT TOTALS FOR THE PIPELINE CATEGORY THE ENERGY CATEGORY AND THE 578
COMPANIES SURVEYED TRANSCO EARNED 23120000 IN THE LATEST QUARTER
COMPARED WITH A LOSS OF 38842000 A YEAR EARLIER TOTAL NET FOR THE
PIPELINES GROUP ROSE 89 TO 523564000 FROM 277073000 A YEAR EARLIER
THE ENERGY GROUP HAD A PROFIT OF 3932043000 COMPARED WITH A LOSS OF
684728000 A YEAR EARLIER WHILE NET INCOME FOR ALL 578 COMPANIES WAS
21988243000 COMPARED WITH A YEAREARLIER LOSS OF 35033545000

ARIZONA GOV FIFE SYMINGTON IS A DEFENDANT IN A SUIT FILED BY THE RESOLUTION
TRUST CO UNDER FEDERAL SAVINGS AND LOAN CLEANUP LAW AS WELL AS COMMON LAW
BASED ON INFORMATION FROM THE RTC YESTERDAY'S LEGAL BEAT COLUMN INCORRECTLY
SAID THE SUIT WAS FILED UNDER THE STATE'S ANTIRACKETEERING LAW GOV
SYMINGTON WAS NAMED IN THE SUIT AS A FORMER DIRECTOR OF THE FAILED SOUTHWEST
SAVINGS & LOAN ASSOCIATION

HONDA MOTOR CO HAS SOLD 140190 CARS IN THE US THROUGH MARCH 31 DOWN
182 FROM A YEAR EARLIER AN ARTICLE YESTERDAY INCORRECTLY STATED THAT
HONDA'S SALES FELL 45 TO 17576 VEHICLES

SUBARU OF AMERICA INC SAID IT IS RECALLING 3400 OF ITS 1993 MODEL
ALLWHEEL DRIVE IMPREZA SPORT WAGONS BECAUSE OF A FAULTY FUEL AIRVENT PIPE
AN ARTICLE YESTERDAY DIDN'T SPECIFY THAT THE RECALL COVERS ONLY WAGONS
EQUIPPED WITH ALLWHEEL DRIVE 9305040149 930504 COMMODITIES HOG AND
PORKBELLY FUTURES REVERSE DECLINES AS SEASONAL GAIN IN MEAT PRICES IS
EXPECTED  BY JEFFREY TAYLOR STAFF REPORTER OF THE WALL STREET
JOURNAL

CHICAGO HOG AND PORKBELLY FUTURES PRICES SOARED ON EXPECTATIONS OF A
SEASONAL UPTURN IN MEAT PRICES AND THE PERCEPTION THAT PORK FUTURES ARE
OVERSOLD ANALYSTS SAID

IN THE PAST THREE WEEKS THE PRICE OF THE PORKBELLY FUTURES CONTRACT FOR
MAY DELIVERY HAS PLUNGED ABOUT 21 HOG FUTURES PRICES ALSO HAVE EBBED MANY
TRADERS NOW THINK THE LIVESTOCK MARKET IS OVERSOLD AS A RESULT PRICES
REACTED SHARPLY YESTERDAY TO MILDLY BULLISH NEWS

HEAVY RAINS OVER THE WEEKEND IN THE MIDWEST KEPT FARMERS FROM PLANTING GRAIN
CROPSAND PROMPTED MANY OF THEM TO TURN THEIR ATTENTION TO THEIR LIVESTOCK
OPERATIONS THE RAIN GAVE THEM PLENTY OF TIME TO GET ORGANIZED TO SORT
HOGS AND PUT TOGETHER SHIPMENTS FOR SLAUGHTER SAID CHARLES LEVITT
LIVESTOCK ANALYST FOR SHEARSON LEHMAN BROTHERS IN CHICAGO WHEN MEATPACKERS
CAME IN THIS MORNING AND TRIED TO BID PRICES LOWER PRODUCERS DECIDED THEY
WEREN'T GOING TO LET THEIR HOGS GO FOR A CHEAPER PRICE

RESISTANCE ON THE CASH MARKET FOR HOGS TO THE LOWER BIDS WAS INTERPRETED BY
FUTURES TRADERS AT THE CHICAGO MERCANTILE EXCHANGE AS A BULLISH SIGNAL AN
INFLUX OF ORDERS TO PURCHASE FUTURES CONTRACTS WEREN'T BALANCED BY ORDERS TO
SELL SO PRICES ROSE MR LEVITT SAID

DAN VAUGHT LIVESTOCK ANALYST FOR AG EDWARDS & SONS ST LOUIS SAID THE
RALLY WAS AIDED BY ANTICIPATION OF THE SEASONAL INCREASE IN HOG PRICES THAT
TYPICALLY BEGINS IN SPRING THE SEASONAL INCREASE IS MORE PRONOUNCED IN
HOGS THAN IN PORK BELLIES HE SAID GENERALLY YOU HAVE SLOWING HOG
SLAUGHTER AND STRONG DEMAND FOR RED MEAT AT THIS TIME

HOGS FOR JUNE DELIVERY ROSE 125 CENTS AT THE CHICAGO MERC TO SETTLE AT 526
CENTS A POUND

IN PORKBELLY FUTURES TRADING A MODEST NET DECLINE LAST WEEK IN STORAGE OF
BELLIES AT CHICAGO MERCAPPROVED WAREHOUSES TRIGGERED YESTERDAY'S RALLY
LAST WEEK 140000 POUNDS OF BELLIES MOVED OUT OF COLD STORAGE IN THE
WAREHOUSES

WITH THE MODEST OUTWARD MOVEMENT SOME TRADERS SPECULATED THAT TODAY'S KEY
OUTOFTOWN COLDSTORAGE REPORT MIGHT SHOW LOWERTHANEXPECTED NET INWARD
MOVEMENT MOST ANALYSTS ARE EXPECTING THE REPORT TO SHOW NET INWARD MOVEMENT
OF TWO TO THREE MILLION POUNDS OF PORK BELLIES WHICH ARE UNCURED BACON

PORK BELLIES FOR MAY DELIVERY CLIMBED 167 CENTS TO 441 CENTS A POUND

IN OTHER COMMODITY MARKETS

PRECIOUS METALS FUTURES PRICES SETTLED LOWER ACROSS THE BOARD AMID A ROUND
OF PROFITTAKING FOLLOWING LAST WEEK'S STRONG RALLY TRADERS SAID GOLD FOR
JUNE DELIVERY CLOSED 190 LOWER AT 35530 AN OUNCE ON NEW YORK'S COMMODITY
EXCHANGE WHILE SILVER FOR JULY DELIVERY DROPPED 10 CENTS AN OUNCE TO
4317 MARKETS IN GOLD AND SILVER OPENED VERY HIGH BUT RAN INTO SOME
PRETTY FORMIDABLE RESISTANCE BY LATE MORNING SAID BERNARD SAVAIKO A
SENIOR ANALYST WITH PAINEWEBBER HE PREDICTED THAT JUNE GOLD WILL CONTINUE
TO MEET RESISTANCE AT LEVELS BETWEEN 360 AND 362 IT'S NOT CLEAR WHETHER
THE SETBACKS IN ALL THE PRECIOUS METALS TODAY WERE MERELY PULLBACKS OR MAJOR
TOPS OF THE RECENT RALLY MR SAVAIKO SAID HE SAID THE DIRECTION OF GOLD
AND THE OTHER PRECIOUS METALS WILL DEPEND LARGELY ON HOW COMPETING FINANCIAL
ASSETS SUCH AS STOCKS AND BONDS PERFORM OVER THE NEXT SEVERAL WEEKS ON
THE NEW YORK MERCANTILE EXCHANGE PLATINUM FOR JULY DELIVERY SKIDDED 330
TO 38660 AN OUNCE WHILE PALLADIUM FOR JUNE DELIVERY ENDED 210 LOWER AT
11645 AN OUNCE

ENERGY PETROLEUM FUTURES PRICES SETTLED SLIGHTLY HIGHER IN NEW YORK
MERCANTILE EXCHANGE TRADING VOLUME WAS LIGHT IN PART BECAUSE THE
INTERNATIONAL PETROLEUM EXCHANGE IN LONDON WAS CLOSED IN OBSERVANCE OF MAY
DAY THE MARKET OVERCAME A WEAK START THAT REFLECTED ESTIMATES THAT APRIL
OUTPUT BY THE ORGANIZATION OF PETROLEUM EXPORTING COUNTRIES WHILE DOWN A
BIT WAS STILL ABOVE THE GROUP'S CEILING OF 236 MILLION BARRELS A DAY JUNE
CRUDE OIL GAINED FOUR CENTS A BARREL TO CLOSE AT 2057 GASOLINE FOR JUNE
DELIVERY ROSE 032 CENT A GALLON TO 6181 CENTS WHILE JUNE HEATING OIL WAS
SLIGHTLY HIGHER UP 004 CENT TO 5588 CENTS A GALLON NATURALGAS FUTURES
PRICES TOOK A TUMBLE FOLLOWING CASH PRICES LOWER JUNE NATURAL GAS FELL 76
CENTS PER MILLION BRITISH THERMAL UNITS TO 2289 A MILLION BTUS IS ROUGHLY
EQUIVALENT TO ONE THOUSAND CUBIC FEET OF NATURAL GAS 9305040148 930504
INTERNATIONAL SERBS IN BOSNIA CLAIM PEACE POSES MORE RISKS THAN
CONTINUED WAR  BY ROGER THUROW STAFF REPORTER OF THE WALL STREET
JOURNAL

BRATUNAC BOSNIAHERZEGOVINA A SERB ARTILLERYMAN TAKING PART IN THE SIEGE
OF NEARBY SREBRENICA ACKNOWLEDGES HE WOULD RATHER BE WITH HIS FAMILY AT
THEIR TEMPORARY HOUSE IN THE HILLS NEAR SARAJEVO CELEBRATING HIS DAUGHTER'S
THIRD BIRTHDAY

MY DAUGHTER IS CRYING ALL THE TIME I'M GOING AWAY TO THE FRONT LINE AND
SHE'S CRYING SAYS LAZAR COKORILO ALL THE TIME

STILL HIS RIFLE SLUNG OVER HIS SHOULDER BACK TO THE FRONT HE GOES CURSING
THE MUSLIMS WHO BURNED DOWN HIS HOUSE IN GORAZDE WHERE I USED TO LIVE ALL
MY NEIGHBORS WERE MUSLIMS HE SAYS IF I EVER SEE THEM AGAIN I WOULDN'T
SHOOT BUT THEY HATE US SO MUCH I'M 100 SURE THEY WOULD SHOOT AT ME I
HAVE TO BE HONEST MUSLIM IS THE RELIGION OF THE DEVIL

THESE ARE THE EMOTIONS THAT THREATEN THE UNITED NATIONS PEACE PLAN SIGNED BY
THE LEADER OF THE BOSNIAN SERBS SUNDAY FOR MANY SERBS IN BOSNIA
PARTICULARLY THOSE WHOSE HOMES WOULD FALL UNDER MUSLIM CONTROL ACCORDING TO
THE MAP DRAWN BY THE PLAN THE PROSPECT OF PEACE IS MORE FRIGHTENING THAN
CONTINUING WAR

WHEN THE SELFSTYLED BOSNIAN SERB PARLIAMENT CONSIDERED THE PLAN LAST WEEK
MANY SERBS KEPT ALLNIGHT VIGILS WHEN WORD OF THE UNANIMOUS REJECTION
REACHED THEM THEY CELEBRATED WE WERE AFRAID THEY WOULD SIGN THOSE
PAPERS SAYS BANKO GRUJIC THE MAYOR OF ZVORNIK AN EASTERN BOSNIA TOWN
CONTROLLED BY THE SERBS THAT WOULD REVERT TO MUSLIM RULE UNDER THE PLAN

ANOTHER REJECTION BY PARLIAMENT WHEN IT MEETS THIS WEEK TO RATIFY THE
BOSNIAN SERB LEADER'S SIGNATURE COULD BRING WESTERN AIR STRIKES TO ZVORNIK
BUT THE MAYOR SAYS IT WOULD BE PREFERABLE TO LIVING WITH THE MUSLIMS AGAIN
I'M MORE AFRAID IF WE SIGN THAN IF WE DON'T HE SAYS

AFTER EARLIER COMPLAINING THAT THE UN PLAN WAS A DEATH SENTENCE FOR HIS
PEOPLE RADOVAN KARADZIC THE BOSNIAN SERB LEADER ACCEPTED THE PACT ON
SUNDAY UNDER INTENSE PRESSURE FROM HIS PATRONS IN THE REPUBLIC OF SERBIA
WHO ARE LABORING UNDER RUINOUS ECONOMIC SANCTIONS THE PLAN DIVIDES BOSNIA
ALONG ETHNIC LINES INTO 10 REGIONS THE SERBS WHO HAVE CONQUERED ABOUT 70
OF BOSNIA WOULD CONTROL LESS THAN 45 IN ADDITION THE PLAN DOESN'T GIVE
THE SERBS CONTROL OVER A NORTHERN CORRIDOR TO CONNECT THE SERB REPUBLIC WITH
CONQUESTS IN BOSNIA AND CROATIA WITHOUT THIS CORRIDOR SOME MEMBERS OF THE
BOSNIAN SERB PARLIAMENT SAY THE PLAN IS UNACCEPTABLE

WHILE MEMBERS OF THE BOSNIAN SERB PARLIAMENT MIGHT SUCCUMB TO THE SAME
PRESSURE THAT FORCED THEIR LEADER TO SIGN IT IS UNLIKELY THEY OR MR
KARADZIC WILL EMBRACE THE UN PLAN AS BEING IN THEIR BEST INTERESTS HOURS
AFTER SIGNING THE PLAN MR KARADZIC SAID THE DREAM OF GREATER SERBIA A
LAND THAT WOULD INCLUDE SERBIA AND SERBMAJORITY TERRITORIES IN CROATIA AND
BOSNIA WASN'T DEAD HE INDICATED SERBS WOULD SEEK TO REVISE THE PLAN'S
BORDERS TO INCLUDE ALL OF THEIR CONQUESTS

SUCH SMOLDERING ASPIRATIONS WOULD KEEP ALIVE THE EMOTIONS AND HATREDS OF A
WAR THAT HAS LEFT NEARLY 150000 PEOPLE DEAD OR MISSING AND THAT MEANS THE
US AND EUROPEAN COUNTRIES PLEDGING TO SEND GROUND TROOPS TO SEPARATE THE
COMBATANTS AND ENFORCE THE PEACE PLAN COULD THEN FIND THEMSELVES IN THE
BALKAN QUAGMIRE THEY HAVE BEEN TRYING TO AVOID

LORD CARRINGTON THE BRITISH DIPLOMAT WHO STRUGGLED FOR A YEAR TO BRING
PEACE TO CROATIA AND BOSNIA WARNS OF THE DANGERS OF IMPOSING PEACE ON
UNWILLING PARTNERS YOU'RE GOING TO BE THERE FOR A VERY LONG TIME WITH A
VERY GREAT NUMBER OF TROOPS HE SAID IN AN INTERVIEW BEFORE MR KARADZIC'S
RELUCTANT ACCEPTANCE AND ARE YOU IN THE END GOING TO BE SUCCESSFUL

IN NEIGHBORING CROATIA SERBS AND CROATS SIGNED A UNSPONSORED PEACE
AGREEMENT 14 MONTHS AGO DESPITE THOUSANDS OF UN PEACEKEEPING TROOPS
SKIRMISHES REGULARLY BREAK OUT IN THE 30 OF CROATIA OCCUPIED BY THE SERBS
THE UN SOLDIERS OFTEN ARE CAUGHT IN CROSSFIRE AND EVEN HAVE BEEN TARGETED

THE CROATIAN WAR IN WHICH 10000 HAVE DIED HAS SLACKENED BUT THE ETHNIC
PASSIONS ARE AS RAW AS EVER THE UN STILL HASN'T ACCOMPLISHED ITS GOALS OF
DISARMING LOCAL MILITIAS RETURNING REFUGEES AND REESTABLISHING CIVIL
AUTHORITY

IN ADDITION CROATIA ILLUSTRATES THAT THE EMOTIONS AND HATREDS OF WAR CAN'T
BE RESOLVED BY SIGNING DOCUMENTS AND MAKING PROCLAMATIONS IN BOSNIA THOSE
PASSIONS HAVE BEEN EVEN MORE DEADLY

IN THE ZVORNIK CITY HALL FILLED WITH THE STENCH OF CLOGGED SEWERS MAYOR
GRUJIC RIFLES THROUGH A STACK OF GRUESOME PHOTOS HE SAYS WERE TAKEN AFTER A
MUSLIM RAMPAGE THROUGH THE SERBIAN VILLAGE OF KAMENICA IN NOVEMBER MORE
THAN 50 SERBS WERE MURDERED HE CLAIMS AND ABOUT 20 ARE STILL MISSING

THIS MAN IS CUT IN PIECES HE SAYS STARING AT ONE PHOTO HERE THE HEAD
IS BLOWN OFF HE SAYS WAVING ANOTHER

LIKE ZVORNIK KAMENICA ALSO WOULD REVERT TO MUSLIM CONTROL UNDER THE UN
PLAN MR GRUJIC SCOFFS AT THE IDEA

ALL THESE PEOPLE IN THE PICTURES WERE SOMEONE'S SONS AND FATHERS HE SAYS
HOW CAN YOU TELL RELATIVES TO LIVE WITH THE PEOPLE WHO DID THIS
9305040147 930504 TRAVEL NEWS OF MURDERS MAY BE HURTING FLORIDA
TOURISM  BY HELENE COOPER STAFF REPORTER OF THE WALL STREET
JOURNAL

AFTER A SLEW OF HIGHLY PUBLICIZED CRIMES AGAINST TOURISTS THE 30
BILLIONAYEAR FLORIDA TOURISM INDUSTRY MAY BE STARTING TO FEEL A BACKLASH

STATE TOURISM OFFICIALS WHO HAVE MOUNTED A HUGE PUBLICRELATIONS CAMPAIGN
TO CONVINCE TOURISTS THAT THE SUNSHINE STATE IS SAFE MAINTAIN THAT IT'S TOO
SOON TO TELL IF FLORIDA'S LARGEST INDUSTRY HAS BEEN AFFECTED BUT SOME
TRAVEL AGENTS AND TOURISM OFFICIALS REPORT ANECDOTAL INFORMATION THAT MAY
SIGNAL OMINOUS TIMES AHEAD

MIAMI TOURISM OFFICIALS SAY TWO LARGE GROUPS OF GERMAN TRAVELERS 
NUMBERING ABOUT 200 EACH CANCELED THEIR TRIPS TO FLORIDA AFTER THE
KILLING OF BARBARA MELLERJENSEN A GERMAN TOURIST IN EARLY APRIL MRS
MELLERJENSEN WAS ROBBED BEATEN AND RUN OVER AS HER MOTHER AND TWO YOUNG
CHILDREN WATCHED HER SLAYING WAS THE SEVENTH OF AN INTERNATIONAL TOURIST IN
FLORIDA SINCE NOVEMBER AND IT GENERATED WIDESPREAD COVERAGE IN THE FOREIGN
PRESS

MIAMI EXPERIENCED THE GREATEST NUMBER OF CANCELLATIONS SAYS GARY STOGNER
A SPOKESMAN FOR THE STATE DIVISION OF TOURISM THE KEYS HAD A COUPLE OF
CANCELLATIONS OF SMALL GROUPS AS WELL BUT THAT'S BECAUSE MIAMI IS THE ENTRY
POINT TO GET TO THE KEYS

BRITISH AIRWAYS HOLIDAYS ONE OF THE LARGEST BRITISH TOUR PACKAGE ORGANIZERS
IN LONDON REPORTS THAT WHILE THERE HAVEN'T BEEN ANY MASS CANCELLATIONS
TOURISTS NOW SEEM MORE UNSURE OF FLORIDA AND ARE ASKING MORE QUESTIONS

ONCE PEOPLE PERCEIVE THERE'S A PROBLEM WITH THEIR SAFETY YOU'RE DONE
SAYS BARRY WHITE A MIAMI TRAVEL AGENT WHO ADDS THAT A GERMAN FRIEND WHO
HAS VISITED THE CITY EVERY YEAR FOR THE PAST SEVERAL YEARS DECIDED TO LEAVE
MIAMI OUT OF HIS ITINERARY THIS YEAR MR WHITE SAYS THE RECENT CRIMES ARE
PART OF THE REASON

STATE OFFICIALS HAVE ALSO LEARNED THAT ANOTHER TOURISM INDICATOR THE
NUMBER OF CARS STOPPING AT STATE REST STOPS AND VISITOR CENTERS DROPPED
13 IN MARCH AFTER FALLING 8 IN FEBRUARY BUT MR STOGNER IS QUICK TO POINT
OUT THAT THOSE FIGURES MAY BE MISLEADING AS THEY DON'T ACCOUNT FOR AIR
TRAFFIC OR CARS THAT DON'T STOP AT REST AREAS

THAT'S ONLY ONE BAROMETER MR STOGNER SAYS WE DON'T PUT TOO MUCH
EMPHASIS ON THAT HE SAYS OTHER INDICATORS LIKE AIR TRAFFIC AND HOTEL
RESERVATIONS HAVE REMAINED STEADY ALTHOUGH THE STATE HASN'T RECEIVED
AIRTRAFFIC FIGURES FOR MARCH OR APRIL

STILL THE STATE IS CLEARLY WORRIED AND GOING ALL OUT TO PROTECT ITS CASH
CROP LAST WEEK THE STATE SECRETARY OF COMMERCE GREG FARMER HELD A NEWS
CONFERENCE IN MUNICH TO TALK ABOUT CRIME IN FLORIDA AND TO REASSURE GERMANS
 WHO MADE UP CLOSE TO 12 OF AN ESTIMATED 40 MILLION VISITORS TO THE STATE
LAST YEAR THAT THEIR CHANCES OF BEING SHOT MUGGED OR BEATEN IN SUNNY
FLORIDA ARE SLIM

THE CITY OF MIAMI AFTER MORE THAN A YEAR OF DITHERING RUSHED TO PUT UP
TOURISTFRIENDLY HIGHWAY INFORMATION SIGNS AFTER THE LATEST SLAYING GOV
LAWTON CHILES APPOINTED A TASK FORCE TO FIGURE OUT WAYS TO PROTECT TOURISTS
AND IN JULY THE STATE WILL BEGIN SETTING UP TOURIST INFORMATION CENTERS IN
FASTFOOD RESTAURANTS GAS STATIONS ANYWHERE TOURISTS MIGHT END UP THE
CENTERS WILL BE STAFFED WITH TRAINED WORKERS WHO WILL GIVE DIRECTIONS AND
MAKE SUGGESTIONS

BUT SOME SAY THE DAMAGE MAY ALREADY HAVE BEEN DONE AS USUAL THE REMEDIES
ARE LAGGING BEHIND THE HYPE SAYS LONDON TRAVEL AGENT ANDREW BLAIR

WHILE THERE MAY NOT HAVE BEEN A WHOLESALE EXODUS OF TOURISTS FROM FLORIDA
THE INCIDENTS COULD HAVE AN EFFECT ON THE PSYCHE OF TRAVELERS WHO ARE STILL
PLANNING THEIR TRIPS THE RESULT THE WORST MAY BE YET TO COME

IN TERMS OF EUROPEAN TOURISM THE IMPACT WILL PROBABLY BE SEEN NEXT YEAR
AND IT WILL BE NEGATIVE SAYS JAMES V CAMMISA JR PUBLISHER OF TRAVEL
INDUSTRY INDICATORS A TRADE PUBLICATION IN MIAMI THE KIND OF
INTERNATIONAL PRESS THAT THIS HAS GOT WILL HURT IF CONSUMERS HAD NO
ALTERNATIVES IT WOULD BE ONE THING BUT THIS WILL PLAY IN THE PSYCHE IT
WILL MOVE THE DESTINATION DOWN IN PEOPLE'S MINDS

THE FATES SUFFERED BY OTHER TOURIST DESTINATIONS HIT BY BAD PUBLICITY BEAR
THIS OUT RIOTING IN LOS ANGELES LAST SPRING COST THE CITY AN ESTIMATED 600
MILLION IN TOURISM AND CONVENTION BUSINESS IN 1992 INDUSTRY EXPERTS SAY
MANY TOURISTS HAVE ALSO SHIED AWAY FROM RIO DE JANEIRO AND MADRID AFTER
REPORTS OF CRIME IN THOSE CITIES 9305040146 930504 MARKETING BRIEF 
NOTED

CABLE MTV MUSIC TELEVISION A UNIT OF CABLE CONCERN VIACOM INC PLANS TO
LAUNCH A NEW PRODUCTION ARM MTV PRODUCTIONS FOCUSING ON TELEVISION AND
FILM PROJECTS IT WILL PRODUCE NETWORK AND FIRSTRUN PROJECTS INCLUDING
SERIALS FILMS MUSIC SPECIALS AND COMMERCIALS AND WILL PRODUCE MOVIES FOR
THEATRICAL RELEASE THAT WILL BE FINANCED AND DISTRIBUTED BY MOTIONPICTURE
COMPANIES DOUG HERZOG 33 SENIOR VICE PRESIDENT OF PROGRAMMING AT MTV
MUSIC TELEVISION WILL BE PRESIDENT HE SAID THE VENTURE WILL AID IN THE
RETENTION AND DEVELOPMENT OF TALENTED YOUNG STAFF AND IN MTV'S GROWTH
9305040145 930504 WHO'S NEWS NIAGARA MOHAWK POWER CORP

NIAGARA MOHAWK POWER CORP SYRACUSE NY WILLIAM E DAVIS 51 YEARS
OLD WAS NAMED CHAIRMAN AND CHIEF EXECUTIVE OF THIS INVESTOROWNED ELECTRIC
AND NATURAL GAS UTILITY SUCCEEDING WILLIAM J DONLON 63 WHO RETIRED MR
DAVIS WHO JOINED NIAGARA MOHAWK IN 1990 WAS NAMED SENIOR VICE PRESIDENT IN
APRIL 1992 AND VICE CHAIRMAN IN NOVEMBER MR DONLON WILL REMAIN WITH THE
COMPANY AS A DIRECTOR 9305040144 930504 FINANCING BUSINESS GIBSON
GREETING INC

GIBSON GREETINGS INC CINCINNATI SAID IT OBTAINED A THREEYEAR 210
MILLION REVOLVING CREDIT FACILITY FROM A GROUP OF 11 BANKS LED BY BANKERS
TRUST CO GIBSON CURRENTLY HAS NO BORROWINGS UNDER THE FACILITY WHICH
REPLACES A SIMILAR CREDIT LINE 9305040143 930504 GAMBLING AS INDIAN
CASINOS SPREAD POLITICIANS AND RIVALS MANEUVER TO FIGHT THE TREND 
 BY PAULINE YOSHIHASHI STAFF REPORTER OF THE WALL STREET JOURNAL

REGIONAL FIGHTS OVER INDIAN CASINOS ONE OF THE FASTESTGROWING SECTORS OF
LEGAL GAMBLING HAVE ESCALATED INTO ALLOUT POLITICAL WAR

AS SCORES OF TRIBES ACROSS THE COUNTRY STRIKE AGREEMENTS TO RUN GAMBLING
HALLS POLITICIANS AND COMPETING GAMBLING INTERESTS ARE MANEUVERING TO SLOW
THE SPREAD OF TRIBAL CASINOS OR TO GRAB A PIECE OF THE ACTION THE FIGHT
HAS SPREAD TO WASHINGTON WHERE INTERIOR SECRETARY BRUCE BABBITT CONGRESS
AND PERHAPS EVEN THE SUPREME COURT MAY MAKE THE ULTIMATE DECISIONS

ON FRIDAY REAL ESTATE DEVELOPER AND CASINO INVESTOR DONALD TRUMP SUED
SECRETARY BABBITT AND THE CHAIRMAN OF THE FEDERAL NATIONAL INDIAN GAMING
COMMISSION ALLEGING THAT NATIVE AMERICANS ARE GIVEN PREFERENTIAL TREATMENT
IN OBTAINING CASINO LICENSES THE SUIT FILED IN FEDERAL COURT IN NEW
JERSEY ALSO CLAIMS THAT PARTS OF THE FEDERAL INDIAN GAMING REGULATORY ACT
ARE UNCONSTITUTIONAL

FOR BOTH PROPONENTS AND OPPONENTS OF TRIBAL CASINOS THE STAKES ARE HUGE
TRIBAL CASINOS NATIONWIDE HAVE GROWN INTO A 6 BILLIONAYEAR BUSINESS
ACCORDING TO THE NATIONAL INDIAN GAMING ASSOCIATION WHICH REPRESENTS TRIBES
IN 22 STATES AND INDIAN CASINOS ARE SEEN AS OPENING THE DOOR TO GENERAL
CASINOSTYLE GAMBLING A PRIZE SOUGHT BY CASINO OPERATORS HUNGRY FOR
EXPANSION

OF THE NEWER FORMS OF LEGAL GAMING INDIAN GAMING IS THE MOST WIDESPREAD
GEOGRAPHICALLY THE LARGEST IN REVENUES AND HAS THE MOST POTENTIAL TO HURT
THE CONVENTIONAL GAMBLING INDUSTRY SAYS JOHN J ROHS AN ANALYST AT
WERTHEIM SCHRODER & CO

IN THIS CLASH OF LAW POLITICS AND MONEY A FEW POINTS ARE CLEAR THE 1988
INDIAN GAMING REGULATORY ACT GRANTED TRIBES THE RIGHT TO OFFER FOR PROFIT
ANY GAMES ALLOWED BY STATES INCLUDING LAS VEGAS NIGHT GAMES OFFERED BY
CHARITIES FOR FUNDRAISING ALTHOUGH THE TRIBES MUST SIGN AGREEMENTS CALLED
COMPACTS WITH THE STATES THE STATES HAVE RELATIVELY LITTLE CONTROL OVER THE
OPERATIONS AND WITH RARE EXCEPTIONS RECEIVE NO DIRECT TAX BENEFITS

BEYOND THAT NEARLY EVERYTHING IS DISPUTED TRIBAL LEADERS SAY THAT THEY'RE
FIGHTING TO PRESERVE THEIR SOVEREIGNNATION RIGHTS AND THAT GAMBLING FUNDS
PROVIDE ACCESS TO BADLY NEEDED SOCIAL SERVICES HOUSING AND BUSINESS
VENTURES OUR OPPONENTS ARE MAKING THIS A BATTLE OVER SOVEREIGNTY
SELFSUFFICIENCY AND SURVIVAL SAYS CHARLES KEECHI OUTGOING CHAIRMAN OF
THE NATIONAL INDIAN GAMING ASSOCIATION AND CHIEF OF THE DELAWARE NATION OF
OKLAHOMA

BUT TO MANY POLITICIANS THE ONLY THING WORSE THAN A CASINO IN THEIR STATE
IS ONE THAT DOESN'T PRODUCE ANY DOLLARS FOR THE PUBLIC COFFERS

MANY STATE GOVERNORS ALSO ARGUE THAT INDIAN GAMBLING IS FORCING THEM INTO
THE BUSINESS OF PLUGGING HOLES IN THE FEDERAL LAW THE STATES ARE CRYING
OUT FOR INTERPRETATIONS THAT ARE CONSISTENT SAYS NEVADA'S GOV BOB MILLER
WHO ALSO HEADS THE NATIONAL GOVERNORS ASSOCIATION'S LEGAL AFFAIRS COMMITTEE
HE MAINTAINS THAT MANY TRIBES ARE SEEKING A COMPETITIVE ADVANTAGE BY
OFFERING GAMES PROHIBITED TO OTHERS WHICH HE CONTENDS WAS NOT THE INTENT OF
THE FEDERAL LAW SOME POLITICIANS ARE EVEN PUSHING CONGRESS TO DECLARE A
MORATORIUM ON THE SPREAD OF INDIAN GAMBLING WHILE THE ISSUES ARE SORTED OUT

THE GAMBLING INDUSTRY HAS BEEN SPLINTERED BY THE INDIAN GAMBLING ISSUE THE
NEVADA RESORT ASSOCIATION HAS QUIETLY DROPPED ITS LONGTIME OPPOSITION TO
INDIANRUN CASINOS BECAUSE SOME OF ITS MOST POWERFUL MEMBERS WANT TO DO
BUSINESS WITH THE TRIBES BUT MANY HORSERACING AND PARIMUTUEL BETTING
INTERESTS ACROSS THE COUNTRY ARE OPPOSED TO TRIBAL CASINOS AND HAVE LOBBIED
HARD TO RESTRICT THEM

ONE OF THE BIGGEST FIGHTS IS OVER THE USE OF SLOT MACHINES AND OTHER
SOCALLED CLASS III GAMES THE BIGGEST MONEYMAKERS IN TRADITIONAL CASINOS
CLASS III GAMBLING INCLUDES LOTTERIES BANKING CARD GAMES LIKE BLACKJACK
AND BACCARAT ALONG WITH SLOT MACHINES AND ELECTRONIC GAMES LIKE VIDEO POKER
BINGO AND SIMILAR GAMES ARE CONSIDERED CLASS II GAMES AND ARE ALLOWED IN
MANY STATES FOR CHARITABLE PURPOSES

THE BATTLE IS HOTTEST IN THE WEST WHERE TRIBES ARE WAGING PIVOTAL LEGAL
BATTLES AGAINST THE STATES ARIZONA WHICH HAD SIGNED COMPACTS WITH FOUR
TRIBES ALLOWING LIMITED CASINO OPERATIONS WITH A MAXIMUM OF 250 SLOT
MACHINES WAS STUNNED BY A FEDERAL MEDIATOR'S RULING LAST YEAR ALLOWING
TRIBES TO OFFER 2600 SLOT MACHINES

THE RULING SPARKED BY A LAWSUIT FILED BY THREE OF ARIZONA'S 21 TRIBES
COULD PROPEL THE INDIAN CASINOS INTO THE SAME LEAGUE AS SOME OF THE BIGGEST
CASINOS IN LAS VEGAS AND ATLANTIC CITY GOV FIFE SYMINGTON AND A
REPUBLICANDOMINATED LEGISLATURE HAVE FOUGHT BACK BY PASSING A LAW OUTLAWING
ALL FORMS OF GAMBLING EXCEPT THE STATE LOTTERY AND RACETRACK BETTING
EFFECTIVELY BANNING INDIAN CASINOS

GOV SYMINGTON SAYS HE'S STILL INTERESTED IN NEGOTIATING WITH THE TRIBES
AND CONCEDES THAT THE LAW WAS MORE A NEGOTIATING TACTIC TO STRENGTHEN THE
STATE'S LEGAL POSITION THAN A MOVE TO SHUT DOWN TRIBAL CASINOS EVEN SO
WE'RE NOT GOING TO ACCEPT FULLBLOWN CASINO GAMBLING GOV SYMINGTON SAYS
A FEDERAL MEDIATOR VIA THIS DECISION COULD FOREVER CHANGE THE STATE OF
ARIZONA WITHOUT A VOTE OF THE PEOPLE OR THEIR ELECTED OFFICIALS THE TRIBES
AND THE STATE ARE IN NEGOTIATIONS

IN CALIFORNIA A FEDERAL JUDGE HAS INDICATED THAT HE MAY SIDE WITH 17 TRIBES
SEEKING TO OPERATE GAMES SIMILAR TO THOSE OFFERED BY THE STATE LOTTERY SUCH
AS VIDEO KENO VIDEO POKER AND BANKING CARD GAMES ALTHOUGH THE STATE
ATTORNEY GENERAL'S OFFICE HAS SAID IT WILL APPEAL JUDGE GARLAND BURRELL'S
RULING IF IT FAVORS THE TRIBES THE CASE COULD BE A SIGNIFICANT VICTORY FOR
NATIVE AMERICANS AND A WORRISOME DEVELOPMENT FOR NEVADA CASINO OPERATORS
WHO GET A GOOD PORTION OF THEIR BUSINESS FROM CALIFORNIA

STATES ARE USING A VARIETY OF TACTICS SOME INCLUDING WISCONSIN FLORIDA
AND ALABAMA ARE USING THE 10TH AND 11TH AMENDMENTS TO FIGHT TRIBAL GAMBLING
EFFORTS ARGUING FOR EXAMPLE THAT THE 11TH AMENDMENT RAISES QUESTIONS AS
TO WHETHER CONGRESS CAN AUTHORIZE A SUIT AGAINST A STATE WHEN TRIBES SUE FOR
FAILING TO NEGOTIATE IN GOOD FAITH THESE ISSUES ARE IMPORTANT BECAUSE THEY
PROVIDE THE STATES WITH AN OPPORTUNITY TO SLOW THE TRIBES DOWN SAYS GLENN
FELDMAN AN ATTORNEY FOR THE CABAZON TRIBE OF CALIFORNIA THE KICKAPOO
NATION OF KANSAS AND THE COCOPAH TRIBE IN ARIZONA

MR TRUMP'S SUIT ALSO CLAIMS THAT THE FEDERAL INDIAN GAMBLING LAW VIOLATES
THE 10TH AMENDMENT A DEPARTMENT OF INTERIOR SPOKESMAN SAYS THE AGENCY
HASN'T SEEN THE COMPLAINT YET

A LAWYER FOR MR TRUMP SAYS THAT MR KEECHI FORMER HEAD OF THE NATIONAL
INDIAN GAMING ASSOCIATION WAS MISTAKENLY NAMED AS A DEFENDANT IN THE SUIT

REID WALKER A SPOKESMAN FOR THE NATIONAL INDIAN GAMING ASSOCIATION A
LOBBYING GROUP SAYS MR TRUMP'S CLAIM THAT INDIANS ARE RECEIVING UNFAIR
PREFERENTIAL TREATMENT IS UTTERLY RIDICULOUS IF ANYONE NEEDS A LEVEL
PLAYING FIELD IT'S THE INDIAN TRIBES OF THIS COUNTRY NOT DONALD TRUMP
MR WALKER SAYS

CONNECTICUT GOV LOWELL WEICKER WHO LOST A BATTLE TO BAR THE MASHANTUCKET
PEQUOT TRIBE FROM LAUNCHING THE HIGHLY SUCCESSFUL FOXWOODS CASINO IN
LEDYARD TOOK A DIFFERENT TACK EARLIER THIS YEAR THE PEQUOTS AGREED TO PAY
A MINIMUM OF 100 MILLION A YEAR TO THE STATE IN EXCHANGE FOR THE EXCLUSIVE
RIGHT TO OPERATE SLOT MACHINES THE MANEUVER AIDS THE STATE'S AILING BUDGET
AND HELPS FEND OFF EFFORTS BY CASINO COMPANIES TO BUILD GAMBLING COMPLEXES
IN HARTFORD AND BRIDGEPORT

G MICHAEL BROWN FOXWOODS' PRESIDENT AND CHIEF EXECUTIVE SAYS FOXWOODS'
SUCCESS UNDERSCORES THE UNSATISFIED DEMAND FOR GAMBLING AND SHOWS THAT
TRIBES CAN RUN LEGITIMATE GAMES BUT CASINO OPERATORS ARE PUSHING ON
ARGUING THAT THEIR PLANS INCLUDE JOB CREATION AND OTHER PUBLIC BENEFITS
THE INDIANS WON'T HAVE THE LAST FORM OF GAMING IN CONNECTICUT PREDICTS
STEPHEN A WYNN CHAIRMAN AND CHIEF EXECUTIVE OF MIRAGE RESORTS INC

OTHER QUESTIONS APPEAR DESTINED FOR THE COURTS SOME TRIBES WHOSE
RESERVATIONS ARE LOCATED IN SPARSELY POPULATED AREAS WANT TO PUT CASINOS ON
TRACTS OF URBAN LAND THAT WOULD BE HELD IN TRUST FOR THEM NEARLY ALL
CONTINUE TO GRAPPLE WITH LAW ENFORCEMENT CASINO SECURITY AND OTHER MAJOR
REGULATORY ISSUES

THE ULTIMATE QUESTION IS WHETHER THE FEDERAL INDIAN GAMBLING LAW WILL BE
SENT BACK TO CONGRESS TO CLARIFY THE INTENT OF THE LAW A MOVE THAT
SUPPORTERS AND OPPONENTS SAY IS INCREASINGLY LIKELY 9305040142 930504
WHO'S NEWS FIRST BOSTON APPOINTS FOUR NEW EXECUTIVES FOLLOWING
DEFECTIONS

NEW YORK FIRST BOSTON CORP NAMED THREE COHEADS OF MERGERS AND
ACQUISITIONS AND A NEW HEAD OF INTERNATIONAL MERGERS FOLLOWING A STRING OF
DEFECTIONS BY TOP INVESTMENT BANKERS

THE NEW MERGER CHIEFS ARE BRIAN FINN 32 YEARS OLD STEVEN KOCH 37 AND
GORDON RICH 35 THEY SUCCEED MICHAEL KOENEKE WHO LEFT LAST WEEK TO BECOME
COHEAD OF MERGERS AT MERRILL LYNCH & CO ALSO SCOTT LINDSAY 41 IS
BECOMING HEAD OF INTERNATIONAL MERGERS A NEW TITLE

NAMING FOUR NEW MERGER CHIEFS APPEARS TO BE PART OF AN EFFORT BY FIRST
BOSTON TO KEEP AS MANY PEOPLE HAPPY AS POSSIBLE IN HOPES OF STABILIZING
MANAGEMENT OF THE MERGER GROUP AS REPORTED FIRST BOSTON HAS BEEN BESET BY
AN EXODUS BY SCORES OF PROFESSIONALS ANGERED OVER PAY THEY SAY IS SHARPLY
BELOW THAT OF SOME COMPETITORS

MR KOCH WILL CONTINUE TO WORK IN THE FIRM'S CHICAGO OFFICE MESSRS FINN
RICH AND LINDSAY ALL WORK IN NEW YORK FIRST BOSTON IS THE US UNIT OF CS
FIRST BOSTON GROUP INC A UNIT OF SWISSBASED CS HOLDING 9305040141
930504 ENTERPRISE CLINTON'S PICK TO HEAD SBA IS A CHAMPION IN THE FIELD 
 BOWLES BUILT SUCCESSFUL BANK BY BOOSTING FORTUNES OF SMALL
BUSINESSES  BY UDAYAN GUPTA STAFF REPORTER OF THE WALL STREET
JOURNAL

CHARLOTTE NC PRESIDENT CLINTON'S PICK TO RUN THE SMALL BUSINESS
ADMINISTRATION ALREADY HAS PROFITED HANDSOMELY FROM A KEY TRUTH ABOUT HIS
FIELD SOME OF THE BEST OPPORTUNITIES LIE IN MUNDANE AREAS THAT GLITZY FOLK
NEGLECT

THIS WEEK ERSKINE BOWLES WILL FACE CONGRESSIONAL CONFIRMATION HEARINGS IN
WASHINGTON DC FOR THE POST OF SBA ADMINISTRATOR PREVIOUSLY HE HELPED
BUILD BOWLES HOLLOWELL CONNER & CO INTO A SUCCESSFUL INVESTMENT BANK IN THE
BURGEONING SOUTHEAST BY SERVING AN UNGLAMOROUS SIDE OF AMERICAN BUSINESS
SMALLER LOWTECHNOLOGY FIRMS WITH EXTENSIVE BUT OFTEN OVERLOOKED NEEDS

HAVING EXTENSIVE EXPERIENCE WORKING WITH SMALL BUSINESS SETS MR BOWLES
APART FROM RECENT SBA ADMINISTRATORS WHOSE PRIOR EXPERIENCE HAS MAINLY BEEN
POLITICAL THE BANKER'S SUPPORTERS BELIEVE THIS EXPERIENCE COULD GIVE MR
BOWLES A SIGNIFICANT ADVANTAGE IN HANDLING THE PROBLEMS OF SMALLBUSINESS
OWNERS

IF CONFIRMED THE 47YEAROLD BANKER WILL SELL HIS MAJOR STAKE IN THE
INVESTMENT FIRM TO HIS FOUR PARTNERS THE 60EMPLOYEE FIRM PROBABLY WILL
REMAIN THE REGION'S PREEMINENT INVESTMENTBANKING SPECIALIST FOR SMALL AND
MEDIUMSIZED ENTERPRISES THE FIRM DERIVES MUCH OF ITS IDENTITY FROM MR
BOWLES WHO LEFT MORGAN STANLEY & CO IN 1973 TO COFOUND IT AND LATER
PERSUADED SEVERAL OTHER NEW YORK BANKERS TO JOIN HIM IN CHARLOTTE

BOWLES HOLLOWELL SAYS IT HANDLED A RECORD 37 TRANSACTIONS IN 1992 UP FROM
19 IN 1991 WHEN THE GULF WAR AND THE CREDIT CRUNCH HURT BUSINESS INDUSTRY
WATCHERS ESTIMATE ITS REVENUE TOTALED JUST UNDER 20 MILLION LAST YEAR
ALMOST TWICE THE YEAREARLIER LEVEL THE FIRM DECLINES TO CONFIRM THE
FIGURES

BOWLES HOLLOWELL'S SUCCESS SEEMS LARGELY DUE TO ITS WILLINGNESS TO CHAMPION
SMALL COMPANIES WITH ANNUAL SALES RANGING BETWEEN 25 MILLION AND 250
MILLION THOUGH ITS CLIENT BASE NOW EXTENDS GLOBALLY ITS BEST CUSTOMERS
STILL ARE SMALL BUSINESSES IN ITS OWN BACKYARD IN INDUSTRIES SUCH AS
TEXTILE AND LOWTECH MANUFACTURING WE'VE BEEN FILLING A GIANT VOID
EXPLAINS STEPHEN CUMMINGS A MANAGING DIRECTOR

BUT BOWLES HOLLOWELL IS HARDLY UNIQUE INDEED IT COMPETES WITH MAJOR WALL
STREET FIRMS AND LOCAL BOUTIQUES ON EVERY DEAL WHAT THEY'VE DONE WELL IS
TO TAKE NEW YORK INVESTMENT BANKING DOWN TO NORTH CAROLINA AND CARVE OUT A
WHOLE MARKET SEGMENT FOR THEMSELVES SAYS INVESTOR TED STOLBERG OF STOLBERG
PARTNERS A NEW YORK INVESTMENT FIRM

THAT STRATEGY ISN'T ALWAYS EASY HOWEVER MANY SMALLER BUSINESSES LACK
SOPHISTICATED FINANCIAL CONTROLS OR WIDESPREAD CONTACTS WITH INSTITUTIONAL
INVESTORS AND BIG CORPORATIONS WE HAVE TO BE THEIR CHAMPIONS MR
CUMMINGS SAYS

THAT'S EXACTLY WHAT BOWLES HOLLOWELL WAS FOR STEEL HEDDLE MANUFACTURING CO
A GREENVILLE SC PRODUCER OF TEXTILELOOM ACCESSORIES BY 1987 STEEL
HEDDLE HAD ABOUT 300 SHAREHOLDERS AND HAD ACHIEVED A MARKET VALUE AS HIGH AS
25 MILLION IN LIMITED TRADING ON THE SOCALLED PINK SHEETS SO SOME
SHAREHOLDERS JUMPED FOR JOY WHEN AN OMAHA INVESTOR OFFERED TO PAY 35
MILLION FOR THE MANUFACTURER FIVE YEARS AGO AND STEEL HEDDLE RETAINED
BOWLES HOLLOWELL FOR A SECOND OPINION

WHAT WE FOUND WAS THAT THE COMPANY WAS WORTH FAR MORE SAYS MR CUMMINGS
NOT ONLY DID STEEL HEDDLE DOMINATE ITS MARKET BUT ITS PRODUCTS WERE
CRITICAL TO THE TEXTILE INDUSTRY FURTHER ENHANCING ITS VALUE STEEL HEDDLE
HAD 15 MILLION IN UNTAPPED WORKING CAPITAL BOWLES HOLLOWELL SAYS IT
SHOPPED THE COMPANY TO A HOST OF POTENTIAL BUYERS BEFORE ARRANGING ITS SALE
FOR 82 MILLION IN LATE 1988 TO BUTLER CAPITAL CORP A NEW YORK INVESTMENT
FIRM

THEY BOWLES HOLLOWELL BROUGHT IN A LEVEL OF FINANCIAL EXPERTISE THAT
STEEL HEDDLE NEVER HAD THE NEED FOR BEFORE IT WAS A NEW EXPERIENCE FOR US
SAYS JERRY MILLER STEEL HEDDLE'S CHIEF FINANCIAL OFFICER

ON OTHER OCCASIONS BOWLES HOLLOWELL HAS HAD TO RESTRUCTURE A SMALL
COMPANY'S FINANCES TO MAKE ADDITIONAL FINANCING POSSIBLE TAKE THE CASE OF
SPARTAN RADIOCASTING CO A CLOSELY HELD BROADCASTER IN SPARTANBURG SC
WITH REVENUE OF ABOUT 45 MILLION IN 1992 THE INVESTMENTBANKING FIRM
INITIALLY AGREED TO RAISE 25 MILLION SO SPARTAN COULD ACQUIRE AN AUGUSTA
GA TELEVISION STATION LAST YEAR

BOWLES DID THE FINANCING AND MORE SAYS NICK EVANS PRESIDENT OF SPARTAN
IN ARRANGING THE FINANCING THE INVESTMENTBANKING FIRM DEVELOPED A
STRATEGIC PLAN THAT POSITIONED SPARTAN FOR FURTHER GROWTH THE RESULT A 45
MILLION FINANCING PACKAGE THAT ACTUALLY FREED UP MORE CAPITAL FOR EXPANSION
WE GOT THE LENDERS TO RECOGNIZE THEM AS A BROADCASTING COMPANY INSTEAD OF
JUST ANOTHER CORPORATE BORROWER SAYS MARK MEALY A MANAGING DIRECTOR IN
CHARGE OF FINANCING BY REPOSITIONING SPARTAN MR EVANS SAYS BOWLES
HOLLOWELL GAVE US A DIFFERENT PERSPECTIVE ON WHO WE ARE

BOWLES HOLLOWELL HAS APPLIED ITS EXPERTISE IN FINDING CAPITAL TO A VARIETY
OF OTHER SMALL BUSINESSES INCLUDING MATHIS BROS FURNITURE CO AN OKLAHOMA
CITY FURNITURE RETAILER AND AMTROL INC A STORAGECONTAINER MAKER IN WEST
WARWICK RI THE FIRM ALSO HAS HELPED A NUMBER OF MAJOR LEVERAGEDBUYOUT
FIRMS SUCH AS FORSTMANN LITTLE & CO AND WESRAY CAPITAL CORP IN
RECAPITALIZING AND REFINANCING SOME SMALLER DEALS

THEY HAVE A KNOWLEDGE OF BUYERS IN THAT SMALLER MARKET THAT MOST NEW YORK
FIRMS DON'T HAVE SAYS BRIAN LITTLE A FORSTMANN LITTLE PARTNER THAT
KNOWLEDGE HAS COME FROM SPECIALIZATION HE ADDS

SMALL TRANSACTIONS AND EVENSMALLER FEES AREN'T BIG ENOUGH TO ATTRACT
ESTABLISHED WALL STREETERS MR CUMMINGS SAYS UNLIKE BOWLES HOLLOWELL HE
ADDS THE FIRMS DOING THESE SOCALLED DINKY DEALS WON'T DEVOTE THEIR TOP
GUNS

BOWLES HOLLOWELL OFFICIALS SAY THEIR BIGGEST OPPORTUNITIES NOW MAY BE IN
MERGERS AND CORPORATE DIVESTITURES WITH NUMEROUS MAJOR CORPORATIONS SUCH AS
LEAR SIEGLER INC AND TEXTRON INC SHEDDING SMALLER UNITS THE FIRM
FREQUENTLY PLAYS MIDDLEMAN BY FINDING SUITABLE PARTNERS AND BUYERS

TO BE SURE THE COMPANY ISN'T IMMUNE TO SETBACKS IN 1991 THE NUMBER OF ITS
TRANSACTIONS DROPPED TO 19 FROM AN ESTIMATED 25 THE PREVIOUS YEAR THE
FIRST DECLINE EVER THE FIRM REDUCED ITS STAFF BY 10 AND SKIPPED PARTNERS'
BONUSES

COMPETITION IS STIFFENING TOO IN A MARKET THAT'S OFTEN HIGHLY CYCLICAL
WITH THE FINANCING NEEDS OF SMALL AND MEDIUMSIZED BUSINESSES ONCE AGAIN
ESCALATING MORE STARTUP FIRMS ARE STUDYING THE FIELD BUT IN THE
MERGERSANDACQUISITIONS PORTION OF THAT MARKET BOWLES HOLLOWELL'S 25 DEALS
REPRESENTED FEWER THAN 1 OF LAST YEAR'S 2606 TRANSACTIONS VALUED AT
BETWEEN 10 MILLION AND 150 MILLION SAYS MR CUMMINGS THERE'S PLENTY OF
ROOM FOR EVERYONE 9305040140 930504 GM'S EDS UNIT AND BRITISH TELECOM 
BACK AWAY FROM A PROPOSED ALLIANCE  BY JOSEPH B WHITE AND JOHN J
KELLER STAFF REPORTERS OF THE WALL STREET JOURNAL

DETROIT GENERAL MOTORS CORP'S ELECTRONIC DATA SYSTEMS CORP UNIT AND
BRITISH TELECOMMUNICATIONS PLC HAVE BACKED AWAY FROM A PROPOSED ALLIANCE
THAT WOULD HAVE INVOLVED THE SALE OF GM CLASS E SHARES TO THE BRITISH
COMPANY PEOPLE FAMILIAR WITH THE SITUATION SAID

THE DISCUSSIONS AMONG EDS GM AND BRITISH TELECOM WHICH SURFACED IN
JANUARY HAVE COOLED AND THE PARTIES HAVE DROPPED FOR NOW A PLAN UNDER
WHICH BRITISH TELECOM WOULD HAVE BOUGHT FROM GM AS MUCH AS 25 OF ALL GM
CLASS E SHARES THE PEOPLE SAID GM CURRENTLY HOLDS ABOUT 40 OF THE SHARES
THE CLASS E SHARES REPRESENT A CLAIM ON EDS PROFITS BUT NOT AN OWNERSHIP
STAKE IN EDS

A PERSON CLOSE TO BRITISH TELECOM IN LONDON CONFIRMED THAT TALKS BETWEEN THE
BRITISH TELECOMMUNICATIONS CONCERN AND EDS HAVE COOLED OFF HE SAID THE
TWO DISAGREED OVER THE FINANCIAL ARRANGEMENTS OF A POTENTIAL DEAL AND WHO'S
GOING TO RUN THINGS BRITISH TELECOM CHAIRMAN IAIN VALLANCE HAS SAID THE
COMPANY DOESN'T PLAN TO BUY INTO VENTURES IT CAN'T CONTROL EDS AND GM
APPARENTLY BALKED AT THE IDEA OF GIVING UP SIGNIFICANT CONTROL AT EDS

SPOKESMEN FOR EDS GM AND BRITISH TELECOM DECLINED TO COMMENT ON THE STATUS
OF THE TALKS

IF BRITISH TELECOM HAD PURCHASED A 25 STAKE IN GM CLASS E SHARES THE
INDICATED VALUE TO GM WOULD HAVE BEEN CLOSE TO 4 BILLION BASED ON THE CLASS
E SHARE PRICE OF 32 UP 25 CENTS IN LATE NEW YORK STOCK EXCHANGE TRADING
YESTERDAY THE MONEY WOULD HAVE HELPED THE AUTO MAKER FUND FUTURE PRODUCT
PROGRAMS OR PAY DOWN A 14 BILLION UNFUNDED PENSION LIABILITY

FOR EDS AN ALLIANCE WITH BRITISH TELECOM WOULD REPRESENT A CHANCE FOR THE
BIG COMPUTERSYSTEMSINTEGRATION AND DATAPROCESSING CONCERN TO GET BROADER
ENTRY INTO THE FASTGROWING TELECOMMUNICATIONS MARKET AND ALSO INTO THE
EUROPEAN MARKET BRITISH TELECOM IN TURN COULD USE A TIE WITH DALLASBASED
EDS TO EXPAND ITS PRESENCE IN THE US

EDS EXECUTIVES HAVE ACKNOWLEDGED THAT THEY NEED A STRONG TELECOMMUNICATIONS
PARTNER TO CAPITALIZE ON THE OPPORTUNITIES ARISING AS COMPUTERS AND
TELEPHONES RAPIDLY BECOME PART OF THE SAME INFORMATION WEB BUT WITH BRITISH
TELECOM APPARENTLY DRIFTING OUT OF THE PICTURE IT'S NOT CLEAR THAT EDS HAS
ANOTHER TELECOMMUNICATIONS ALLY WAITING IN THE WINGS

GM AND EDS EXECUTIVES HAVE TRIED AND FAILED BEFORE TO SECURE A MAJOR
TELECOMMUNICATIONS ALLIANCE FOR EDS IN 1986 GM EDS AND AMERICAN TELEPHONE
& TELEGRAPH CO HELD WIDERANGING TALKS THAT ULTIMATELY LED TO A PROPOSAL
THAT AT&T BUY ALL OR PART OF EDS BUT THOSE TALKS COLLAPSED IN LATE 1986 AND
WERE SOON OVERSHADOWED BY THE CONTROVERSY OVER EDS FOUNDER H ROSS PEROT'S
MESSY DIVORCE FROM GM

SINCE THEN GM'S SENIOR EXECUTIVES HAVE BEEN RELUCTANT TO CONSIDER PARTING
WITH OWNERSHIP OF EDS THE SUBSIDIARY IS STRONGLY PROFITABLE AND GROWING
UNLIKE THE CAR MAKER'S CORE NORTH AMERICAN AUTO OPERATIONS IN ADDITION GM
WOULD LIKELY FACE A HUGE TAX BILL IF IT SOLD AN OWNERSHIP STAKE IN EDS
REFLECTING THE GROWTH OF EDS'S VALUE SINCE GM BOUGHT IT FOR 25 BILLION IN
1984

CASHRICH BRITISH TELECOM HAS BEEN BURNED BEFORE WHEN IT TRIED TO EXTEND ITS
REACH TO NORTH AMERICA SOME INVESTMENTS WERE ILLTIMED SUCH AS ITS
DISASTROUS 1986 PURCHASE OF CANADIAN OFFICE PHONE SWITCH MAKER MITEL INC AT
A POINT WHEN THE PRODUCTS BECAME COMMODITIES RULED BY AT&T AND NORTHERN
TELECOM LTD IN ANOTHER INSTANCE US REGULATIONS STYMIED BRITISH TELECOM
FROM GAINING CONTROL OF A US COMMUNICATIONS CARRIER WHEN IT TRIED TO
EXPAND ITS STAKE IN MCCAW CELLULAR COMMUNICATIONS INC THE NATION'S LARGEST
CELLULAR PHONE COMPANY BRITISH TELECOM WAS BLOCKED BY US RESTRICTIONS ON
FOREIGN OWNERSHIP OF CARRIERS WITH RADIO LICENSES A RULE THAT BRITISH
TELECOM HAS PETITIONED THE FEDERAL COMMUNICATION COMMISSION TO RELAX

THE BRITISH TELECOM INSIDER SAID WE WILL KEEP TRYING TO FIND INVESTMENTS
IN THE UNITED STATES OR WE WON'T EVER MEET OUR GOALS TO EXPAND GLOBALLY
BUT HE SAID WE DON'T WANT TO GET INTO ANYTHING WE CAN'T CONTROL
9305040139 930504 LAW SUPREME COURT RULING AIDS COMPANIES THAT
CONTEST CERTAIN ANTITRUST CHARGES  BY PAUL M BARRETT STAFF
REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE SUPREME COURT MADE IT EASIER FOR COMPANIES TO DEFEND
THEMSELVES AGAINST ANTITRUST CHARGES OF USING SPURIOUS LAWSUITS TO HURT
COMPETITORS

THE UNANIMOUS RULING WAS A VICTORY FOR EIGHT MAJOR MOVIE STUDIOS THAT HAD
BEEN ACCUSED OF VIOLATING FEDERAL ANTITRUST LAW BY FILING A BASELESS
COPYRIGHT SUIT BEYOND HELPING THE FILM INDUSTRY THE DECISION COULD BENEFIT
LITIGANTS IN A WIDE RANGE OF FIELDS WHO USE COURTS OR REGULATORY AGENCIES TO
ASSERT THAT COMPETITORS HAVE BROKEN THE LAW

THE HIGH COURT RULING CONCERNED SUITS IN WHICH PLAINTIFFS MAY BE MORE
INTERESTED IN BOGGING DOWN RIVALS IN EXPENSIVE PROCEEDINGS THAN IN ACTUALLY
WINNING THE JUSTICES SAID THAT EVEN WHEN DRIVEN BY SUCH MOTIVES LEGAL
MANEUVERING CAN'T BE ATTACKED AS AN ANTITRUST VIOLATION AS LONG AS THERE IS
ANY CHANCE OF SUCCESS ON THE MERITS THE DECISION REBUFFED SOME LOWER COURTS
THAT HAD IMPOSED TOUGHER STANDARDS

THE CASE INVOLVED A LONGRUNNING LEGAL BATTLE BETWEEN THE MOVIE STUDIOS AND
THE OPERATOR OF A PALM SPRINGS CALIF RESORT LA MANCHA PRIVATE CLUB AND
VILLAS IN 1983 THE STUDIOS SUED THE RESORT OPERATOR PROFESSIONAL REAL
ESTATE INVESTORS INC ACCUSING IT OF VIOLATING COPYRIGHT LAW BY RENTING
VIDEODISCS OF POPULAR FILMS FOR ITS GUESTS TO VIEW IN THEIR ROOMS THE
STUDIOS CHARGED THAT THE RENTALS CONSTITUTED UNLAWFUL PUBLIC PERFORMANCES
OF THE STUDIOS' COPYRIGHTED MOVIES SINCE THE EARLY 1980S VIDEODISCS HAVE
BEEN ECLIPSED BY CABLE AND SATELLITE TRANSMISSION SERVICES IN THE INROOM
HOTEL ENTERTAINMENT MARKET

THE STUDIOS THAT FILED THE COPYRIGHT LAWSUIT WERE SONY CORP'S COLUMBIA
PICTURES INDUSTRIES UNIT EMBASSY PICTURES A PARTNERSHIP SINCE DISSOLVED
PARAMOUNT COMMUNICATIONS INC'S PARAMOUNT PICTURES UNIT NEWS CORP'S
TWENTIETH CENTURY FOX FILM UNIT MATSUSHITA ELECTRIC INDUSTRIAL CO'S
UNIVERSAL CITY STUDIOS UNIT WALT DISNEY CO TIME WARNER INC'S WARNER
BROS UNIT AND CBS INC

DENYING ANY WRONGDOING PROFESSIONAL REAL ESTATE INVESTORS FILED A
COUNTERCLAIM CHARGING THAT THE STUDIOS HAD COLLUDED IN VIOLATION OF FEDERAL
ANTITRUST LAW TO UNDERMINE THE RESORT'S MOVIE SERVICE

IN 1986 A FEDERAL JUDGE IN LOS ANGELES THREW OUT THE STUDIOS' COPYRIGHT
SUIT AS UNSUBSTANTIATED THAT DECISION WAS AFFIRMED BY THE FEDERAL APPEALS
COURT IN SAN FRANCISCO

THE TRIAL JUDGE ALSO REJECTED THE ANTITRUST COUNTERCLAIM AGAINST THE
STUDIOS THE JUDGE RULED THAT UNDER SUPREME COURT PRECEDENT THE STUDIOS
WERE IMMUNE FROM SUCH ANTITRUST ACTIONS

THE HIGH COURT HAS SAID THAT LITIGATION OR ATTEMPTS TO PROMPT GOVERNMENT
REGULATORY ACTION EVEN IF DESIGNED TO HARM COMPETITORS ARE GENERALLY
SHIELDED FROM SUITS UNDER THE ANTITRUST LAWS THIS IMMUNITY IS AIMED AT
PROTECTING THE FIRST AMENDMENT RIGHT TO PETITION THE GOVERNMENT FOR A
REDRESS OF GRIEVANCES THE ONLY EXCEPTION TO THIS SORT OF ANTITRUST
IMMUNITY IS WHERE THE LAWSUIT AT ISSUE IS DETERMINED TO BE A SHAM

THE TRIAL JUDGE CONCLUDED THAT THE STUDIOS' SUIT WASN'T A SHAM EMPHASIZING
THAT THERE WAS PROBABLY CAUSE FOR BRINGING THE SUIT AGAINST THE RESORT
OPERATOR THE SAN FRANCISCO FEDERAL APPEALS COURT AFFIRMED THAT THE
ANTITRUST IMMUNITY APPLIED

THE SUPREME COURT AGREED WITH THE LOWER COURTS IN THE HIGH COURT'S MAIN
OPINION JUSTICE CLARENCE THOMAS WROTE THAT A LITIGANT SHOULD BE VULNERABLE
TO AN ANTITRUST ATTACK ONLY WHEN ITS SUIT IS OBJECTIVELY BASELESS HE
DEFINED SUCH A SUIT AS ONE IN WHICH NO REASONABLE LITIGANT COULD
REALISTICALLY EXPECT SUCCESS ON THE MERITS

THE TRIAL COURT'S FINDING THAT THE STUDIOS HAD PROBABLE CAUSE TO FILE
THEIR COPYRIGHT SUIT PROTECTED THE STUDIOS FROM ANTITRUST LIABILITY JUSTICE
THOMAS CONCLUDED HE ADDED THAT GIVEN THE AMBIGUITY IN THE EARLY 1980S OF
COPYRIGHT LAW CONCERNING VIDEODISCS THE STUDIOS HAD REASON TO BELIEVE THEY
WOULD WIN THEIR SUIT

JUSTICE JOHN PAUL STEVENS CONCURRED IN THE RESULT BUT REJECTED JUSTICE
THOMAS'S REASONING AS UNNECESSARILY SWEEPING HE WARNED THAT THE MAJORITY
OPINION WOULD SHIELD LITIGANTS WHO HAVE A TINY CHANCE OF SUCCEEDING ON THE
MERITS BUT WHO ACT UNREASONABLY JUSTICE STEVENS POINTED OUT THAT THE
HIGH COURT PREVIOUSLY HAD EMPLOYED A MORE FLEXIBLE APPROACH FOCUSING ON
WHETHER A LITIGANT HAD USED THE GOVERNMENTAL PROCESS AS OPPOSED TO THE
OUTCOME OF THAT PROCESS AS AN ANTICOMPETITIVE WEAPON JUSTICE SANDRA DAY
O'CONNOR JOINED THE STEVENS OPINION PROFESSIONAL REAL ESTATE INVESTORS
INC VS COLUMBIA PICTURES INDUSTRIES INC

SEPARATELY THE JUSTICES UPHELD FEDERAL EFFORTS TO LIMIT INCREASES IN RENT
SUBSIDIES PAID TO DEVELOPERS OF LOWINCOME HOUSING THE UNANIMOUS RULING
COULD SAVE THE FEDERAL GOVERNMENT AS MUCH AS 1 BILLION ACCORDING TO THE
JUSTICE DEPARTMENT

THE DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT SIGNS STANDARD CONTRACTS
WITH DEVELOPERS THAT COMMIT THE GOVERNMENT TO MAKE UP THE DIFFERENCE BETWEEN
WHAT POOR TENANTS CAN PAY AND THE MARKET RATE FOR HOUSING 9305040138
930504 BUSINESS BRIEFS

DEVELOPERS DIVERSIFIED REALTY CORP COMPLETED THE PREVIOUSLY ANNOUNCED
PURCHASE OF TWO SHOPPING CENTERS FROM WD DEVELOPMENT OF AIKEN SC FOR
155 MILLION

METPRO CORP IS NEGOTIATING TO BUY A MAKER OF HIGHPERFORMANCE FILTERS FROM
AN UNIDENTIFIED PRIVATELY HELD COMPANY FOR ABOUT 6 MILLION METPRO MAKES
FILTRATION AND POLLUTION CONTROL SYSTEMS

MIDAMERICAN WASTE SYSTEMS INC SAID ITS PROPOSED LANDFILL IN SAN DIEGO
COUNTY CALIF WAS APPROVED BY TWO STATE BOARDS

TEXTRON INC COMPLETED ITS PREVIOUSLY ANNOUNCED ACQUISITION OF THE PLASTICS
OPERATIONS OF CHRYSLER CORP'S ACUSTAR DIVISION FOR 138 MILLION

WATTS INDUSTRIES INC AGREED TO ACQUIRE EDWARD BARBER LTD AND EDWARD BARBER
& CO A SUBSIDIARY TERMS WEREN'T DISCLOSED

BANISTER INC SAID ITS PIPELINE DIVISION RECEIVED A CONTRACT VALUED AT ABOUT
64 MILLION CANADIAN DOLLARS US504 MILLION FROM TRANSCANADA PIPELINES
LTD 9305040137 930504 INTERNATIONAL GERMAN STRIKE SHARPENS PAIN OF
UNIFICATION  EASTERN WORKERS DEMAND EMPLOYERS HONOR PACT FOR
PARITY WITH WEST  BY DANIEL BENJAMIN STAFF REPORTER OF THE WALL
STREET JOURNAL

BERLIN MORE THAN 15000 EASTERN GERMAN STEEL METAL AND ELECTRICAL
WORKERS WALKED OFF THE JOB IN THE REGION'S FIRST FULLBLOWN STRIKE SINCE
UNIFICATION

THE CONFLICT OVER THE CANCELLATION OF WAGEINCREASE AGREEMENTS THAT WERE TO
BOOST PAY AS MUCH AS 26 HAS CAST A NEW SHADOW OVER THE ECONOMIC INTEGRATION
OF THE FORMERLY COMMUNIST REGION THE RAISES WERE PART OF A 1991 PACT
DESIGNED TO BRING EASTERN WORKERS TO PARITY WITH WESTERNERS IN THE SAME
INDUSTRY BY 1994

THE CONFLICT HAS INCREASINGLY BEEN COLORED BY EASTERN ANTIPATHY FOR THE
PREDOMINANTLY WESTERN EMPLOYERS LEADERS OF THE STRIKING UNION IG METALL
GERMANY'S LARGEST HAVE RALLIED THE RANK AND FILE BEHIND RESENTMENT AT BEING
TREATED LIKE SECONDCLASS WORKERS

SPEAKING IN DRESDEN IG METALL CHIEF FRANZ STEINKUEHLER DECLARED THAT THE
STRIKE SIGNALED THAT EASTERNERS ARE NOT GOING TO BE AGAIN LEFT TO COWER
IMPLYING THAT RULE BY THE EMPLOYERS HAS SIMILARITIES TO RULE BY THE
COMMUNISTS THE STRIKE HE ALSO REMARKED IS ABOUT SAFEGUARDING COLLECTIVE
BARGAINING IN ALL OF GERMANY

IN ALL 26 PLANTS WERE STRUCK IN THE STATES OF BRANDENBURG AND SAXONY THE
UNION VOWED TO HIT 24 MORE FACTORIES TODAY

ALTHOUGH REPRESENTATIVES FROM BOTH SIDES MET LAST NIGHT IN DRESDEN AND
AGREED TO RESTART TALKS TODAY UNION LEADERS HAVE THREATENED AN ESCALATION
THAT COULD PUT 300000 WORKERS ON THE PICKET LINE IN THE COMING WEEKS IG
METALL HAS INSISTED THAT GESAMTMETALL THE EMPLOYERS GROUP ACKNOWLEDGE THAT
THE CONTRACT'S TERMS ARE LEGALLY BINDING BEFORE AGREEING ON ANY COMPROMISES

THE EMPLOYERS HOWEVER HAVE REFUSED ARGUING THAT LOW PRODUCTIVITY AND THE
DISAPPEARANCE OF TRADITIONAL MARKETS IN EASTERN EUROPE HAVE LEFT THEM UNABLE
TO FULFILL THE TERMS OF THE AGREEMENT THEY INSTEAD INSTITUTED A 9 RAISE
WHICH ROUGHLY EQUALS THE INFLATION RATE IN THE AREA GESAMTMETALL HAS
CLAIMED THAT IF IT IMPLEMENTED THE LARGER RAISES RESULTING FIRM CLOSURES
AND CUTBACKS WOULD FORCE THE LOSS OF AS MANY AS 70000 JOBS

THE UNION'S TOUGH TALK ABOUT EASTWEST DIFFERENCES SOME ECONOMISTS FEAR IS
GOING TO MAKE THE INEVITABLE MORE DIFFICULT THE LONGER THE HARD TONE
PREVAILS IN THE PUBLIC DISCUSSION THE HARDER IT WILL BE TO SELL A
COMPROMISE TO THE UNION MEMBERSHIP SAYS FRANZ JOSEF LINK OF THE GERMAN
ECONOMIC INSTITUTE IN COLOGNE

THE INDUSTRY HE ADDS WILL HAVE A HARD TIME ENDURING A PROTRACTED STRUGGLE
PRODUCTIVITY IN THE EAST IS SO LOW THAT LABOR COSTS IN THE AFFECTED
INDUSTRIES ARE ROUGHLY 40 HIGHER THAN IN WESTERN GERMANY THAT MARGIN HAS
ONLY BEEN ACHIEVED BY SHRINKING EMPLOYMENT FROM 15 MILLION TO 400000 THE
PRINCIPLE THAT CONTRACTS ARE TO BE OBSERVED SIMPLY CAN'T BE IN FORCE IN THIS
EMERGENCY SITUATION MR LINK ADDS

SYMPATHY FOR THE UNION HAS BEEN STRONG IN THE EAST AND ONLY LIMITED IN THE
WEST BUT THE POLITICAL IMPLICATIONS OF THE BATTLE ARE GROWING MORE
PRONOUNCED

IN A NEWSPAPER COLUMN FOREIGN MINISTER HANSDIETRICH GENSCHER WHO IS STILL
ONE OF GERMANY'S MOST POPULAR POLITICIANS EXPRESSED SYMPATHY FOR THE
EASTERNERS AND OBSERVED THIS IS NOT A LABOR CONFLICT LIKE EVERY OTHER THE
INTERNAL UNIFICATION IS ALSO AT STAKE 9305040136 930504 MONEY RATES

THE KEY US AND FOREIGN ANNUAL INTEREST RATES BELOW ARE A GUIDE TO GENERAL
LEVELS BUT DON'T ALWAYS REPRESENT ACTUAL TRANSACTIONS

PRIME RATE 6 THE BASE RATE ON CORPORATE LOANS POSTED BY AT LEAST 75 OF
THE NATION'S 30 LARGEST BANKS

FEDERAL FUNDS 3 1/16 HIGH 2 15/16 LOW 2 15/16 NEAR CLOSING BID 3
OFFERED RESERVES TRADED AMONG COMMERCIAL BANKS FOR OVERNIGHT USE IN AMOUNTS
OF 1 MILLION OR MORE SOURCE PREBON YAMANE USA INC

DISCOUNT RATE 3 THE CHARGE ON LOANS TO DEPOSITORY INSTITUTIONS BY THE
FEDERAL RESERVE BANKS

CALL MONEY 5 THE CHARGE ON LOANS TO BROKERS ON STOCK EXCHANGE COLLATERAL
SOURCE TELERATE SYSTEMS INC

COMMERCIAL PAPER PLACED DIRECTLY BY GENERAL ELECTRIC CAPITAL CORP304 30
TO 89 DAYS 306 90 TO 119 DAYS 308 120 TO 179 DAYS 310 180 TO 244
DAYS 315 245 TO 270 DAYS

COMMERCIAL PAPER HIGHGRADE UNSECURED NOTES SOLD THROUGH DEALERS BY MAJOR
CORPORATIONS 309 30 DAYS 309 60 DAYS 311 90 DAYS

CERTIFICATES OF DEPOSIT 259 ONE MONTH 263 TWO MONTHS 267 THREE
MONTHS 276 SIX MONTHS 293 ONE YEAR AVERAGE OF TOP RATES PAID BY MAJOR
NEW YORK BANKS ON PRIMARY NEW ISSUES OF NEGOTIABLE CDS USUALLY ON AMOUNTS
OF 1 MILLION AND MORE THE MINIMUM UNIT IS 100000 TYPICAL RATES IN THE
SECONDARY MARKET 302 ONE MONTH 304 THREE MONTHS 3125 SIX MONTHS

BANKERS ACCEPTANCES 3 30 DAYS 3 60 DAYS 301 90 DAYS 303 120 DAYS
304 150 DAYS 306 180 DAYS NEGOTIABLE BANKBACKED BUSINESS CREDIT
INSTRUMENTS TYPICALLY FINANCING AN IMPORT ORDER

FOREIGN PRIME RATES CANADA 6 GERMANY 850 JAPAN 4 SWITZERLAND 750
BRITAIN 6 THESE RATE INDICATIONS AREN'T DIRECTLY COMPARABLE LENDING
PRACTICES VARY WIDELY BY LOCATION

TREASURY BILLS RESULTS OF THE MONDAY MAY 3 1993 AUCTION OF SHORTTERM
US GOVERNMENT BILLS SOLD AT A DISCOUNT FROM FACE VALUE IN UNITS OF
10000 TO 1 MILLION 288 13 WEEKS 298 26 WEEKS

FEDERAL HOME LOAN MORTGAGE CORP FREDDIE MAC POSTED YIELDS ON 30YEAR
MORTGAGE COMMITMENTS DELIVERY WITHIN 30 DAYS 721 60 DAYS 732 STANDARD
CONVENTIONAL FIXEDRATE MORTGAGES 4125 2 RATE CAPPED ONEYEAR
ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC

FEDERAL NATIONAL MORTGAGE ASSOCIATION FANNIE MAE POSTED YIELDS ON 30YEAR
MORTGAGE COMMITMENTS PRICED AT PAR FOR DELIVERY WITHIN 30 DAYS 721 60
DAYS 731 STANDARD CONVENTIONAL FIXEDRATE MORTGAGES 5 6/2 RATE CAPPED
ONEYEAR ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC

MERRILL LYNCH READY ASSETS TRUST 269 ANNUALIZED AVERAGE RATE OF RETURN
AFTER EXPENSES FOR THE PAST 30 DAYS NOT A FORECAST OF FUTURE RETURNS
9305040135 930504 ECONOMY CLINTON PLAN WOULD MAKE IT HARDER FOR
WEALTHY TO AVOID TAX INCREASES  BY DAVID WESSEL AND JACKIE CALMES 
STAFF REPORTERS OF THE WALL STREET JOURNAL

WASHINGTON PRESIDENT CLINTON TRYING TO STOP THE RICH FROM USING TAX
SHELTERS TO AVOID HIS TAXINCREASE PROPOSALS OFFERED MEASURES TO STOP THEM
FROM USING SOPHISTICATED INVESTMENT STRATEGIES TO TURN ORDINARY INCOME INTO
CAPITAL GAINS

ACCORDING TO THE DETAILED TEXT OF THE PRESIDENT'S TAX BILL THE PROPOSAL
TARGETS INVESTMENTS MARKETED OR SOLD AS PRODUCING CAPITAL GAINS

THE PRESIDENT WANTS TO RAISE THE TOP MARGINAL INCOME TAX RATE NOW 31 
TO 396 FOR THE RICHEST AMERICANS BUT THE TAX ON PROFITS FROM THE SALE OF
ASSETS WOULD REMAIN AT 28 PROVIDING AN INCENTIVE TO TURN ORDINARY INCOME
INTO CAPITAL GAINS

INFLUENTIAL DEMOCRATS ON CAPITOL HILL INCLUDING HOUSE WAYS AND MEANS
COMMITTEE CHAIRMAN DAN ROSTENKOWSKI D ILL AND SEN BILL BRADLEY D
NJ HAVE WARNED THAT SUCH A LARGE GAP COULD REVIVE THE TAXSHELTER
BUSINESS THAT HAS BEEN QUIESCENT SINCE TAX RATES WERE LOWERED IN 1986 THE
TREASURY PROPOSAL IS DESIGNED TO LESSEN THE CHANCES OF THAT HAPPENING

THIS IS MEANT TO ADDRESS THE POLITICAL PROBLEM SAID THOMAS OCHSENSCHLAGER
OF THE WASHINGTON OFFICE OF GRANT THORNTON AN ACCOUNTING FIRM BUT HE SAID
THE PROPOSAL IS WAY TOO BROAD AND IT SURE AS HECK ISN'T GOING TO BE
SIMPLE

THE PROPOSAL WOULD APPLY TO INVESTMENTS DESIGNED SO THAT INCOME THAT MIGHT
OTHERWISE BE CONSIDERED INTEREST WHICH IS TAXED AT HIGHER ORDINARY
INCOME TAX RATES IS INSTEAD PAID OUT IN THE FORM OF CAPITAL GAINS AMONG
THESE INVESTMENTS ARE CERTAIN STRADDLES AND OTHER SOPHISTICATED FINANCIAL
INSTRUMENTS SOME OF WHICH ARE DESIGNED TO APPEAL TO TAXPAYERS LOOKING FOR
RELATIVELY LOWRISK INVESTMENTS THAT PROVIDE CAPITAL GAINS SO THAT FOR TAX
PURPOSES THE INVESTORS CAN TAKE ADVANTAGE OF CAPITAL LOSSES FROM YEARS
PAST

IT'S TOO EARLY TO SAY EXACTLY HOW WALL STREET'S GOING TO REACT SAID BRETT
YACKER A PARTNER WITH PRICE WATERHOUSE & CO IN NEW YORK OBVIOUSLY IT'S
NOT GOING TO BE FAVORABLE

THE PROPOSAL ALSO WOULD AFFECT THOSE WHO PURCHASE WHAT IS KNOWN AS STRIPPED
PREFERRED STOCK THAT IS PREFERRED SHARES FROM WHICH A BROKERAGE FIRM HAS
SEPARATED THE STREAM OF DIVIDENDS AND SOLD IT SEPARATELY THE INVESTMENT IN
THE REMAINING SECURITY WHICH RESEMBLES A BOND WOULD BE TAXED MUCH LIKE
ZEROCOUPON BONDS ARE TAXED TODAY THE INVESTOR WOULD HAVE TO PAY TAX AT
ORDINARY INCOME RATES AS IF HE WERE RECEIVING INTEREST PAYMENTS CURRENTLY
ALL THE PROFIT FROM HOLDING SUCH SECURITIES IS TREATED AS A CAPITAL GAIN

THE PROVISIONS IF ADOPTED BY CONGRESS WOULD APPLY TO INVESTMENTS MADE
AFTER APRIL 30 1993 9305040133 930504 INTERNATIONAL ITALY WAGES EDGED
UP IN MARCH

ROME ITALY'S AVERAGE HOURLY WAGES IN MARCH WERE UP 01 FROM FEBRUARY AND
UP 29 FROM A YEAR EARLIER THE STATE STATISTICS BUREAU ISTAT SAID

THE YEARONYEAR INCREASE IN WAGES IN MARCH COMPARED WITH AN INFLATION RATE
OF 42

ISTAT SAID THE BIGGEST YEARONYEAR WAGE INCREASES OCCURRED IN THE
AGRICULTURAL AND PRIVATESERVICES SECTORS AND IN THE COMMERCE
PUBLICSERVICE AND HOTEL SECTORS 9305040132 930504 FINANCING BUSINESS 
FIDELITY NEW YORK

FIDELITY NEW YORK GARDEN CITY NY SAID IT COMPLETED A STOCK OFFERING AS
PART OF ITS PLAN TO CONVERT TO A FEDERAL STOCK SAVINGS BANK FROM A FEDERAL
MUTUAL SAVINGS BANK THE BANK SAID IT RAISED ABOUT 60 MILLION BY SELLING
52 MILLION SHARES AT 1150 A SHARE TO ELIGIBLE DEPOSITORS AND CERTAIN
BORROWERS THE SHARES BEGAN TRADING YESTERDAY ON THE NASDAQ NATIONAL MARKET
SYSTEM UNDER THE SYMBOL FDNY FIDELITY NEW YORK HAD TOTAL ASSETS OF 186
BILLION AND DEPOSITS OF 131 BILLION AS OF DEC 31 1992 9305040131
930504 FINANCING BUSINESS CRI INSURED MORTGAGE ASSOCIATION INC

CRI INSURED MORTGAGE ASSOCIATION INC ROCKVILLE MD SAID IT HAS SECURED A
300 MILLION CREDIT FACILITY THAT IT WILL USE PRIMARILY TO PURCHASE
FEDERALLY INSURED OR GUARANTEED MULTIFAMILY MORTGAGES THE THREEYEAR
FACILITY WILL ALLOW THE REAL ESTATE INVESTMENT TRUST TO SUBSTANTIALLY
INCREASE ITS ASSETS THE FACILITY IS BEING PROVIDED BY NOMURA ASSET CAPITAL
CORP AND NOMURA SECURITIES INTERNATIONAL INC BOTH UNITS OF NOMURA HOLDING
AMERICA INC A UNIT OF NOMURA SECURITIES CO 9305040130 930504 CREATIVE
TECHNOLOGY ACQUISITION

MILPITAS CALIF CREATIVE TECHNOLOGY LTD SAID IT AGREED TO ACQUIRE
PRIVATELY HELD SHAREVISION TECHNOLOGY INC FOR 11 MILLION

CREATIVE A MAKER OF SOUND AND VIDEO PRODUCTS FOR PERSONAL COMPUTERS SAID
THAT IT SIGNED A LETTER OF INTENT TO ACQUIRE SHAREVISION AND THAT IT EXPECTS
TO COMPLETE THE DEAL IN JUNE SHAREVISION SAN JOSE CALIF MAKES A
VIDEOCONFERENCING PRODUCT FOR APPLE COMPUTER INC'S MACINTOSH COMPUTERS
CREATIVE SAID IT PLANS TO ADAPT THE PRODUCT FOR PCS THAT ARE COMPATIBLE WITH
PCS MADE BY INTERNATIONAL BUSINESS MACHINES CORP 9305040129 930504 DUN &
BRADSTREET TO SELL UNIT

NEW YORK DUN & BRADSTREET CORP AGREED TO SELL DONNELLEY MARKETING
INFORMATION SERVICES A SUPPLIER OF DEMOGRAPHIC DATA TO PRIVATELY HELD
STRATEGIC MAPPING INC SANTA CLARA CALIF

THE PRICE WASN'T DISCLOSED D&B WILL RETAIN A SIGNIFICANT MINORITY INTEREST
IN STRATEGIC MAPPING

STRATEGIC MAPPING A PRODUCER OF SOFTWARE THAT LINKS COMPUTERIZED MAPS WITH
DEMOGRAPHIC AND GEOGRAPHIC DATA SAID THE COMBINED COMPANIES WOULD HAVE
ANNUAL REVENUE IN EXCESS OF 40 MILLION DONNELLEY MARKETING HAD BEEN PART
OF D&B'S AC NIELSEN CO UNIT 9305040128 930504 GRAHAM COS TO BUY BSN
UNIT

YORK PA PACKAGING MANUFACTURER GRAHAM COS SAID IT HAS ENTERED INTO AN
AGREEMENT TO PURCHASE SEPROSY A FRENCH PRODUCER OF PLASTIC BLOWMOLDED
CONTAINERS

GRAHAM A PRIVATELY HELD COMPANY SAID THE ACQUISITION IS PART OF ITS GLOBAL
EXPANSION STRATEGY THE TERMS OF THE AGREEMENT WEREN'T DISCLOSED SEPROSY A
UNIT OF THE FRENCH FOOD PROCESSING GROUP BSN HAD SALES OF 70 MILLION LAST
YEAR 9305040127 930504 LAWYER ENTERS PLEA IN DIME CASE

BOSTON SCOTT JAMIESON OF NATICK MASS A FORMER ATTORNEY WITH THE
BOSTON FIRM OF WARNER & STACKPOLE PLEADED GUILTY IN US DISTRICT COURT IN
BOSTON TO FIVE COUNTS OF MAKING FALSE STATEMENTS IN CONNECTION WITH
DEFRAUDING DIME SAVINGS BANK OF NEW YORK MR JAMIESON 31 YEARS OLD FACES
A MAXIUMUM 10 YEARS IN PRISON AND AS MUCH AS 1 MILLION IN FINES SENTENCING
WAS SCHEDULED FOR JULY 26 9305040126 930504 WHO'S NEWS B DALTON
PRESIDENT RICHARD FONTAINE RESIGNS FROM POST

NEW YORK RICHARD FONTAINE PRESIDENT OF MALL BOOKSTORE CHAIN B DALTON
BOOKSELLER HAS RESIGNED ACCORDING TO PARENT COMPANY BARNES & NOBLE INC NO
SUCCESSOR HAS BEEN NAMED

B DALTON SECOND ONLY TO KMART CORP'S WALDENBOOKS CHAIN IN SIZE HAS BEEN
HURT IN THE POOR BUSINESS CLIMATE AFFECTING MALL RETAILERS GENERALLY AND HAS
REPORTED FALLING REVENUE IN RECENT YEARS AS STORES WERE CLOSED BUT A BARNES
& NOBLE SPOKESWOMAN SAID THAT MR FONTAINE WASN'T ASKED TO LEAVE

THE 50YEAROLD EXECUTIVE WANTS TO TAKE A BREATHER A SELFIMPOSED
SABBATICAL SAID IRENE MILLER BARNES & NOBLE'S EXECUTIVE VICE PRESIDENT
CORPORATE FINANCE

SHE SAID MR FONTAINE WILL REMAIN IN HIS JOB UNTIL THE END OF JUNE AND WILL
CONTINUE AS A DIRECTOR OF SOFTWARE ETC STORES INC A RETAIL CHAIN WHOSE
MAJORITY OWNERS LEONARD RIGGIO AND VENDEX INTERNATIONAL BV ARE ALSO THE
PRINCIPAL OWNERS OF BARNES & NOBLE MR FONTAINE WHO WASN'T AVAILABLE FOR
COMMENT HAS BEEN PRESIDENT OF B DALTON SINCE FEBRUARY 1991

IN A RECENT FILING WITH THE SECURITIES AND EXCHANGE COMMISSION BARNES &
NOBLE SAID B DALTON'S REVENUE FOR FISCAL 1993 ENDED JAN 30 DECLINED BY
ABOUT 16 TO 707 MILLION DURING THAT YEAR 39 STORES WERE CLOSED AND 15
WERE OPENED LEAVING 781 STORES

HOWEVER B DALTON REGISTERED A 25 GAIN IN COMPARABLESTORE SALES
FOLLOWING A DROP IN COMPARABLESTORE SALES OF 14 FROM FISCAL 1991 TO
FISCAL 1992

THE NUMBERS SHOW A TURNAROUND AT B DALTON AND ITS 25 GAIN IN
COMPARABLESTORE SALES IS BETTER THAN THE 14 GAIN AT COMPETITOR
WALDENBOOKS BUT INDUSTRY ANALYSTS SAY B DALTON'S AVERAGE GROWTH RATE OVER
THE PAST SEVERAL YEARS LAGS BEHIND THAT OF WALDENBOOKS WHOSE 14 GAIN IN
COMPARABLESTORE SALES FOLLOWED A HEFTY 65 GAIN THE YEAR BEFORE
9305040124 930504 INTERNATIONAL EUROPEAN STATEFUNDED HEALTH SYSTEMS 
COME UNDER FIRE FOR SKYROCKETING COSTS  BY STEPHEN D MOORE 
SPECIAL TO THE WALL STREET JOURNAL

STOCKHOLM AFTER COMING TO BE TAKEN FOR GRANTED THE GENEROUS SYSTEMS OF
STATEFUNDED HEALTH CARE THAT HAVE SPREAD ACROSS EUROPE ARE COMING UNDER
ATTACK

SKYROCKETING OUTLAYS FOR MEDICINES HAVE BECOME THE FIRST TARGET AND GERMANY
IS THE FLASHPOINT THE GERMAN GOVERNMENT IS MOUNTING AN AGGRESSIVE CAMPAIGN
TO SLASH 11 BILLION MARKS 693 BILLION OR 6 FROM HEALTHCARE SPENDING
THIS YEAR OF THOSE SAVINGS 24 BILLION MARKS 151 BILLION ARE TO COME
BY SLIMMING THE NATIONAL DRUG BUDGET TO 1991 LEVELS

EFFECTIVE LAST JAN 1 THE BONN GOVERNMENT ORDERED A TWOYEAR 5 PRICE
REDUCTION FOR ALL PRESCRIPTION MEDICINES NOT ALREADY UNDER SOME FORM OF
CONTROL THE GOVERNMENT ALSO IS THREATENING TO DOCK THE PAY OF DOCTORS IN
THE STATE HEALTHCARE SYSTEM WHO PRESCRIBE TOO MUCH MEDICINE IT IS NO IDLE
THREAT AS MORE THAN 90 OF GERMAN PHYSICIANS ARE AFFILIATED WITH THE
KRANKENKASSEN OR STATEADMINISTERED SICK FUNDS WHICH PAY FOR ALL THOSE
DRUGS

THE GOVERNMENT'S PRESCRIPTION HAD AN IMMEDIATE EFFECT THE TOTAL VALUE OF
PRESCRIPTION DRUGS SOLD IN JANUARY PLUNGED 25 FROM A YEAR EARLIER IN
FEBRUARY THE FIGURE WAS DOWN 30 AND PRELIMINARY DATA FROM THE GERMAN
PHARMACEUTICAL INDUSTRY ASSOCIATION INDICATES THAT MARCH SALES WERE EQUALLY
DEPRESSED

ASSAD NAUROZ A GENERAL PRACTITIONER IN FRANKFURT SAYS THAT IN JANUARY HE
ISSUED 20 FEWER PRESCRIPTIONS A CUTBACK OF ABOUT 5000 MARKS 3153 IN
FEES THAT WOULD HAVE BEEN BILLED TO THE KRANKENKASSEN SOME PATIENTS
COMPLAINED AND WENT ELSEWHERE HE SAYS ONLY TO RETURN AFTER ENCOUNTERING
EVEN STINGIER DOCTORS

SOME PHYSICIANS CHARGE THAT OTHER COST CONTAINMENT MEASURES SUCH AS HIGHER
PRESCRIPTION FEES THAT SHIFT MORE HEALTHCARE COSTS TO CONSUMERS JEOPARDIZE
GERMANY'S TRADITION OF STATESUPPLIED FREE MEDICINE IT'S TERRIBLE AND
A FIRST STEP TOWARD THE AWFUL SYSTEM THEY HAVE IN AMERICA FUMES URSULA
MIRALI A FRANKFURT NEUROLOGIST THOSE WHO HAVE MONEY WILL BE WELL
CAREDFOR WHILE THE LESS WELLHEELED WON'T

SIMILAR SKIRMISHES ARE FLARING UP ACROSS EUROPE AS MOUNTING OUTLAYS FOR
STATE HEALTH CARE SWELL ALREADY GAPING GOVERNMENT BUDGET DEFICITS THE
CLINTON ADMINISTRATION'S CRUSADE TO REFORM HEALTH CARE IN THE US IS
WELLKNOWN IRONICALLY AS AMERICANS ADMIRINGLY LOOK TO ELEMENTS OF SOME
EUROPEAN SYSTEMS FOR MODELS A NUMBER OF EUROPEAN GOVERNMENTS ARE SEARCHING
FOR REFORMS OF THEIR OWN

EUROPEAN GOVERNMENTS HAVE LONG KEPT HEALTHCARE OUTLAYS LOWER THAN IN THE
US AS A PERCENTAGE OF GROSS NATIONAL PRODUCT OR A COUNTRY'S TOTAL OUTPUT
OF GOODS AND SERVICES THE US SPENT ABOUT 14 ON HEALTH CARE IN 1991 UP
FROM 12 IN 1990 IN 1991 FRANCE SPENT 88 GERMANY 81 AND BRITAIN
62

YET EUROPE'S HEALTHCARE OUTLAYS HAVE CLIMBED STEADILY ACCORDING TO THE
ORGANIZATION FOR ECONOMIC COOPERATION AND DEVELOPMENT TOTAL HEALTHCARE
EXPENDITURES BETWEEN 1988 AND 1990 JUMPED 18 IN FRANCE 14 IN THE UK AND
65 IN GERMANY THE US FIGURE WAS 22

AND SPENDING FOR PHARMACEUTICALS WHILE ON AVERAGE ACCOUNTING FOR JUST 14
OF EUROPE'S TOTAL HEALTHCARE OUTLAYS HAS BECOME A POLITICALLY IRRESISTIBLE
TARGET AS DRUG COMPANIES' PROFITS HAVE SOARED IN 1991 THE LATEST YEAR FOR
WHICH FIGURES ARE AVAILABLE FRANCE'S BILL FOR PRESCRIPTION MEDICINES ROSE
91 DOUBLE THE PREVIOUS YEAR'S RATE OF INCREASE GERMANY'S 123 AND
BRITAIN'S 115 MORE THAN TWICE THE RATE OF INFLATION

THE EUROPEANS ARE RESORTING TO SOLUTIONS THAT MANY FEEL FEW US REFORMERS
WOULD DARE RECOMMEND SOME GOVERNMENTS HAVE DECREED ACROSSTHEBOARD PRICE
CUTS FOR EXPENSIVE PRESCRIPTION MEDICINES FAVORITES ARE SCHEMES THAT PARE
PRICES BY SPURRING SUBSTITUTION OF CHEAPER GENERIC COPIES FOR BRANDNAME
DRUGS

GOVERNMENTS FROM SWEDEN TO SPAIN ARE AGGRESSIVELY PURGING LISTS OF MEDICINES
ELIGIBLE FOR REIMBURSEMENT UNDER NATIONAL HEALTHSERVICE BUDGETS FORCING
CONSUMERS TO PICK UP A BIGGER SHARE OF THE TAB PATIENTS ACROSS EUROPE ALSO
ARE PAYING HIGHER PRESCRIPTION FEES SEVERAL COUNTRIES HAVE BOOSTED THE
MINIMUM ANNUAL THRESHOLDS BEYOND WHICH STATE SYSTEMS KICK IN AND PAY
REMAINING HEALTHCARE BILLS

AND LED BY GERMANY EUROPEAN NATIONS ARE SUBJECTING PHYSICIANS' PRESCRIBING
PRACTICES TO TOUGHER SCRUTINY TO FOSTER COSTCONSCIOUSNESS AMONG
PHYSICIANS GOVERNMENTS ARE ISSUING PRESCRIBING GUIDELINES AND
INCREASINGLY COMPARING DOCTORS' PRESCRIBING RECORDS WITH THE PERFORMANCE OF
THEIR PEERS

EXACT FIGURES AREN'T YET AVAILABLE BUT INDUSTRY ANALYSTS ESTIMATE THAT
HOLDING KRANKENKASSEN DRUG OUTLAYS TO THE 1991 WESTERN GERMAN LEVEL OF 241
BILLION MARKS 1519 BILLION WILL MEAN SLASHING AS MUCH AS 10 FROM THE
ANNUAL DRUG BILL SHOULD THE COST OF DRUGS EXCEED THIS YEAR'S SPENDING
LIMIT THE GOVERNMENT WILL DOCK THE PAY OF SICKFUND AFFILIATED PHYSICIANS
AS A GROUP BY AS MUCH AS 280 MILLION MARKS 17657 MILLION TO COVER BUDGET
OVERRUNS AND IF THAT DOESN'T SUFFICE DRUG COMPANIES OPERATING IN GERMANY
WILL BE HELD FINANCIALLY RESPONSIBLE FOR A FURTHER 280 MILLION MARKS OF
EXCESS OUTLAYS

FRANCESCA COHN THE OWNER OF A FRANKFURT PHARMACY SAYS THE DRUG REFORMS
COST HER ABOUT 25000 MARKS 15765 IN LOST SALES DURING JANUARY AND
FEBRUARY AS DOCTORS BEGAN RADICALLY CUTTING BACK ON PRESCRIPTIONS HER
PHARMACY HAS BEEN FORCED TO REDUCE STOCKS AND SOME OF HER SALES STAFF WILL
BE PUT ON SHORT SHIFTS

DRUG COMPANIES ALREADY WERE REELING FROM GERMANY'S GENERIC SUBSTITUTION
SYSTEM WHICH HAS REDUCED PRICES OF NEARLY HALF THE DRUGS REIMBURSABLE BY
STATE SICK FUNDS BY AN AVERAGE OF 20 OVER THE PAST THREE YEARS
PHARMACEUTICAL EXECUTIVES CONTEND THAT THE LATEST ROUND OF REFORMS COULD
CHOKE THE USE OF COSTEFFECTIVE INNOVATIVE DRUGS A SIDEEFFECT THAT
POLITICIANS DIDN'T FORESEE

DOCTORS HAVE SIMPLY STOPPED PRESCRIBING WHICH MEANS THERE ARE MANY
PATIENTS AT THE MOMENT WHO AREN'T GETTING THEIR MEDICATION SAYS DIRK
DETERT GENERAL MANAGER OF WELLCOME PLC'S GERMAN UNIT WELLCOME'S FLAGSHIP
ANTIVIRAL DRUG ZOVIRAX LOST ABOUT 20 OF ITS GERMAN REVENUE DURING THE
YEAR'S FIRST TWO MONTHS ALTHOUGH THE LAUNCH OF A NEW NONPRESCRIPTION CREAM
VERSION OF ZOVIRAX HELPED OFFSET SOME OF THE DECLINE

GERMAN DRUG TITANS WITH GREATER EXPOSURE TO THEIR HOME MARKET HAVE BEEN
HIT EVEN HARDER BAYER AG NOW EXPECTS THE PLUNGE IN GERMAN PRESCRIPTIONS TO
TRIM ITS 1993 DRUG SALES BY MORE THAN 50 MILLION MARKS 3153 MILLION
HOECHST AG SAID SALES VOLUME IN GERMANY DROPPED 17 DURING JANUARY AND
FEBRUARY IT CAUTIONS THAT SALES THIS YEAR IN ITS HOME MARKET COULD NOSEDIVE
BY MORE THAN 100 MILLION MARKS

LAST MONTH BAYER CHAIRMAN MANFRED SCHNEIDER WARNED PUBLICLY THAT IF GERMANY
BECOMES A COUNTRY OF COPYCAT GENERIC DRUGS AND CHEAP MEDICINE THE
RESEARCHBASED PHARMACEUTICAL INDUSTRY NO LONGER HAS MUCH OF A FUTURE HERE
9305040123 930504 KODAK OUTSIDE DIRECTORS VOICE SUPPORT FOR CHAIRMAN
BUT PRESS FOR RESULTS  BY JOAN E RIGDON STAFF REPORTER OF THE
WALL STREET JOURNAL

EASTMAN KODAK CO'S NINE OUTSIDE DIRECTORS SAID THEY FULLY SUPPORT
CHAIRMAN KAY R WHITMORE'S EFFORTS TO DEVELOP A TURNAROUND PLAN FOR THE
COMPANY BUT WARNED THAT KODAK'S PERFORMANCE MUST BE IMPROVED
SIGNIFICANTLY

THE STATEMENT EASED SPECULATION THAT THE 14MEMBER BOARD HAD LOST CONFIDENCE
IN MR WHITMORE BUT IT ALSO PUBLICLY PRESSURED HIM TO DELIVER ON HIS
PROMISES TO CUT COSTS AND DEBT

THE STATEMENT WAS THE FIRST COMMENT ANY BOARD MEMBERS HAVE MADE SINCE LAST
WEEK'S ABRUPT RESIGNATION OF KODAK'S NEW CHIEF FINANCIAL OFFICER
CHRISTOPHER J STEFFEN MR STEFFEN AN ACCLAIMED TURNAROUND EXECUTIVE FROM
HONEYWELL INC HAD CLASHED WITH MR WHITMORE OVER THE TIMING AND METHOD OF
COSTCUTTING MEASURES AT THE ROCHESTER NY PHOTOGRAPHY COMPANY SOME
INVESTORS HAD INTERPRETED THE BOARD'S INITIAL SILENCE ON THE MATTER AS SIGN
OF NO CONFIDENCE IN MR WHITMORE'S LEADERSHIP

KODAK'S STOCK TANKED WEDNESDAY WHEN THE COMPANY ANNOUNCED MR STEFFEN'S
DEPARTURE BUT IT SINCE HAS RECOVERED SOMEWHAT IN COMPOSITE TRADING ON THE
NEW YORK STOCK EXCHANGE YESTERDAY KODAK'S STOCK CLOSED AT 49625 UP 875
CENTS

RICHARD KOPPES GENERAL COUNSEL FOR THE CALIFORNIA PUBLIC EMPLOYEES
RETIREMENT SYSTEM SAID CALPERS IS PLEASED TO SEE THAT THE BOARD IS
ACTIVELY INVOLVED BUT HE SAID CALPERS A MAJOR SHAREHOLDER IS STILL
ANXIOUS TO MEET WITH THE BOARD BECAUSE THEY'RE THE ONES WE ELECT CALPERS
WILL MEET WITH KODAK'S SENIOR MANAGEMENT TOMORROW AFTERNOON 

THE UNITED SHAREHOLDERS ASSOCIATION ALSO IS PUTTING PRESSURE ON KODAK'S
BOARD THE ACTIVIST SHAREHOLDER GROUP BASED IN WASHINGTON DC SAID IT IS
SOLICITING PROXIES FOR A SHAREHOLDER RESOLUTION CALLING FOR KODAK'S ENTIRE
BOARD TO BE UP FOR ELECTION EVERY YEAR INSTEAD OF THE CURRENT STAGGERED
SYSTEM THE PROPOSAL WHICH IS ALREADY ON KODAK'S PROXY FOR THE MAY 12
ANNUAL MEETING WOULD SEND A MESSAGE THAT SHAREHOLDERS WANT BOARD MEMBERS
TO BE MORE ACCOUNTABLE FOR KODAK'S PERFORMANCE SAID RALPH WHITWORTH
PRESIDENT OF THE ASSOCIATION

IN ANOTHER MATTER KODAK'S EXECUTIVE SEARCH FIRM RUSSELL REYNOLDS
ASSOCIATES SAID IT IS NOT INCONCEIVABLE THAT KODAK WILL NAME A NEW CHIEF
FINANCIAL OFFICER BY THE END OF THIS MONTH MR WHITMORE HAS ALREADY
INTERVIEWED ONE CANDIDATE WHO WAS NOT LEFT OVER FROM MR STEFFEN'S SEARCH
SAID ANDREW HART A MANAGING DIRECTOR OF THE SEARCH FIRM

MR WHITMORE WORKING CLOSELY WITH THE BOARD FINANCE CONSULTANTS AND
MANAGEMENT CONSULTANTS IS EXPECTED TO DELIVER A PROGRESS REPORT ON HIS
TURNAROUND PLAN THIS MONTH OR NEXT ASKED ABOUT THE TIME FRAME BOARD MEMBER
MARTHA LAYNE COLLINS PRESIDENT OF ST CATHARINE COLLEGE ST CATHARINE
KY SAID WE'RE GOING TO TAKE ONE STEP AT A TIME STARTING WITH THE
ANNUAL MEETING SHE DECLINED TO ELABORATE OTHER BOARD MEMBERS DIDN'T RETURN
PHONE CALLS

THE OUTSIDE DIRECTORS HAD REVISED THEIR STATEMENT AT LEAST THREE TIMES OVER
THE WEEKEND TO MAKE CLEAR THEY WON'T RUBBERSTAMP ANY TURNAROUND PLAN SAID
ONE PERSON CLOSE TO KODAK THE FINAL STATEMENT CALLS FOR MR WHITMORE TO
DELIVER A COMPREHENSIVE PLAN THAT SETS GOALS FOR EXPENSE AND DEBT
REDUCTION AND CORPORATE STRATEGIC FOCUS

KODAK WHICH SUFFERS FROM BLOATED COSTS FOR ADVERTISING AND RESEARCH AND
DEVELOPMENT HAS BEEN WIDELY CRITICIZED FOR HAVING AN IDENTITY CRISIS 
UNSURE OF WHETHER ITS FUTURE LIES IN PHOTOGRAPHIC FILM ELECTRONIC IMAGING
OR MORE RECENTLY HOSPITAL PRODUCTS AND PRESCRIPTION DRUGS LAST WEEK MR
WHITMORE SAID HIS TURNAROUND PLAN WILL CALL FOR THE SALE OF A MAJOR ASSET

MR STEFFEN'S WHEREABOUTS REMAIN UNCLEAR AND HE COULDN'T BE REACHED FOR
COMMENT ALTHOUGH HE WAS STILL LISTED AS A GUEST AT THE STRATH ALLAN HOTEL
IN ROCHESTER NO ONE ANSWERED THE PHONE OR DOOR TO HIS ROOM

SOME KODAK WATCHERS HAD EXPECTED MR STEFFEN TO SURFACE AS THE CHIEF
FINANCIAL OFFICER OF INTERNATIONAL BUSINESS MACHINES CORP BUT IBM NAMED A
CHRYSLER CORP EXECUTIVE TO THAT POSITION YESTERDAY

KODAK NAMED C MICHAEL HAMILTON 48 YEARS OLD PREVIOUSLY DIRECTOR OF
FINANCE FOR KODAK'S CORE IMAGING UNIT'S OPERATIONS IN EUROPE AFRICA AND THE
MIDDLE EAST ITS ACTING CHIEF FINANCIAL OFFICER MR HAMILTON FORMERLY A
TREASURER FOR THE COMPANY ISN'T EXPECTED TO HAVE A SIGNIFICANT ROLE IN
PENNING THE TURNAROUND PLAN ON SEPT 1 MR HAMILTON WILL BE NAMED GENERAL
COMPTROLLER SUCCEEDING JULIAN M GORDON 62 WHO IS RETIRING 9305040122
930504 KIRBY TO REDEEM 7 1/4 DEBT

HOUSTON KIRBY CORP SAID IT PLANS TO REDEEM ALL 50 MILLION OF ITS 7 1/4
CONVERTIBLE SUBORDINATED DEBENTURES DUE 2014

KIRBY WILL REDEEM THE DEBENTURES ON JUNE 4 1993 AT 105075 OF THE
PRINCIPAL AMOUNT PLUS ACCRUED INTEREST THE DEBENTURES MAY BE CONVERTED TO
KIRBY COMMON STOCK AT 11125 A SHARE BEFORE THE FIFTH BUSINESS DAY PRIOR TO
REDEMPTION

KIRBY A MARINE TRANSPORTATION CONCERN EXPECTS ALL DEBENTURES TO BE
CONVERTED TO COMMON STOCK BECAUSE THE CURRENT STOCK PRICE IS HIGHER THAN
11125 KIRBY WAS QUOTED AT 16125 A SHARE DOWN 25 CENTS ON THE AMERICAN
STOCK EXCHANGE LATE YESTERDAY

THE CONVERSION WOULD GIVE KIRBY AN ADDITIONAL 45 MILLION COMMON SHARES
OUTSTANDING CURRENTLY KIRBY HAS ABOUT 226 MILLION COMMON SHARES
OUTSTANDING 9305040121 930504 MARKETSCAN WIPES MAKERS FIGHT TO KEEP
BABIES FRESH  BY KATHLEEN DEVENY

SOME POWERFUL MARKETERS ARE GETTING TOUGH WITH EACH OTHER OVER AMERICA'S
MOST TENDER CONSUMERS

SCOTT PAPER CO HAS LONG DOMINATED THE LUCRATIVE 378 MILLION MARKET FOR
BABY WASHCLOTHS WITH ITS BABY FRESH AND ITS WASH ABYE BABY BRANDS BUT
FORMIDABLE NEW COMPETITION JUST MOVED INTO THE NURSERY WITH THE NATIONAL
ROLLOUT OF KIMBERLYCLARK CORP'S HUGGIES BABY WIPES

THE MOVE MARKS KIMBERLYCLARK'S LATEST EFFORT TO EXPAND ITS WELLKNOWN
HUGGIES DIAPER BRAND THE COMPANY HAS ALREADY HAD CONSIDERABLE SUCCESS WITH
HUGGIES PULLUPS DISPOSABLE TRAINING PANTS CREATED FOUR YEARS AGO ALREADY
HUGGIES BABY WIPES HAVE GRABBED NEARLY 20 OF THE BABY CLOTHS BUSINESS

HUGGIES ALSO REPRESENTS THE MOST AGGRESSIVE CHALLENGE TO SCOTT'S MONOPOLY OF
AMERICA'S CHANGING TABLES IN PRINT ADS KIMBERLYCLARK COMPARES A HUGGIES
WIPE CRISPLY DECORATED WITH TINY TEDDY BEARS WITH A BABY FRESH SHEET
ADORNED WITH ANIMAL FIGURES THAT ARE DIFFICULT TO DECIPHER THE INTENDED
MESSAGE HUGGIES WIPES ARE STRONGER AND THICKER AND CUTER THAN RIVAL
BABY FRESH

MEANWHILE SCOTT JUST LAUNCHED BABY FRESH WITH ULTRA GUARD A WIPE DESIGNED
TO HELP PREVENT DIAPER RASH SCOTT'S CLAIM MICROSCOPIC SPONGES RELEASE A
WATERREPELLENT SUBSTANCE ON BABY'S SKIN ELIMINATING THE NEED FOR
PREVENTIVE OINTMENTS OR POWDERS

THE BITTER BATTLE OVER CLEANING UP BABY COMES AT A TIME OF STRONG GROWTH IN
THE BABYWIPES BUSINESS SALES OF THE MOIST DISPOSABLE CLOTHS IN
SUPERMARKETS DRUGSTORES AND MASSMERCHANDISE OUTLETS GREW 10 DURING THE 52
WEEKS ENDED FEB 28 ACCORDING TO INFORMATION RESOURCES INC'S INFOSCAN
SERVICE THE RATE IS ESPECIALLY NOTABLE GIVEN THE RELATIVELY FLAT US
BIRTHRATE AND THE FACT THAT MORE THAN 90 OF PARENTS WITH CHILDREN IN
DIAPERS ALREADY BUY BABY WIPES

MARKETERS SAY THE HEALTHY DEMAND IS DUE PARTLY TO THE FACT THAT PARENTS ARE
PUTTING THE WIPES TO NEW USES SUCH AS CLEANING TODDLERS' STICKY HANDS AND
FACES BUT THE PRODUCTS ARE ALSO BENEFITING FROM THE FACT THAT CHILDREN NOW
WEAR DIAPERS UNTIL THEY ARE 36 TO 42 MONTHS OLD SOME SIX MONTHS LONGER THAN
WHEN BABY FRESH WAS INTRODUCED 16 YEARS AGO ACCORDING TO MARIA SMITH
BUSINESS MANAGER FOR BABY FRESH USA THAT REFLECTS A CHANGE IN PARENTING
PHILOSOPHY SHE SAYS AS WELL AS THE FACT THAT WORKING PARENTS HAVE LESS
TIME TO SPEND ON TOILET TRAINING

SO FAR SCOTT HAS MANAGED TO DEFEND BABY FRESH THROUGH NEWPRODUCT
DEVELOPMENT AND A HEFTY INCREASE IN MARKETING EXPENSES SALES OF THE LEADING
BRAND GREW 7 TO 1094 MILLION BUT SALES OF HUGGIES BABY WIPES WHICH WERE
IN TEST MARKET SINCE 1990 MORE THAN DOUBLED TO 636 MILLION DURING THE
SAME PERIOD AND NEARLY EVERY OTHER BRAND HAS LANGUISHED AS THE RIVALRY
BETWEEN THE TWO BIG PLAYERS HAS ESCALATED SALES OF SCOTT'S BUDGETPRICED
WASH ABYE BABY AND JOHNSON & JOHNSON'S BABY WASH CLOTHS FELL 22 AND 14
RESPECTIVELY SALES OF CHUBS MADE BY THE L&F PRODUCTS UNIT OF EASTMAN KODAK
CO ALSO DROPPED

TO TRY TO HALT THE SLIDE JOHNSON & JOHNSON RELAUNCHED ITS LINE WITH LARGER
CLOTHS AS WELL AS A VERSION LACED WITH BABY LOTION L&F PRODUCTS IS COUNTING
ON A NEW CHUBS STACKABLES PRODUCT PACKED IN REUSABLE PLASTIC TUBS TO
REVIVE ITS SALES THE NEW PRODUCT IS DUE OUT THIS YEAR

BUT WHILE HUGGIES BABY WIPES APPEARS TO BE OFF TO A PROMISING START
LONGTERM SUCCESS ISN'T GUARANTEED LIKE DIAPERS BABY WIPES FACE A HOST OF
SPECIAL MARKETING CHALLENGES A MERE 6 OF THE POPULATION BUYS THE PRODUCTS
AT ANY TIME AND BRANDS AIMED AT BABIES TYPICALLY SUFFER A 40 TURNOVER EACH
YEAR SOME PAST CHALLENGERS TO SCOTT HAVE BEEN UNSUCCESSFUL JAMES RIVER
CORP FOR EXAMPLE DISCONTINUED ITS NATURAL TOUCH WIPES SEVERAL YEARS AGO
AFTER PROBLEMS WITH KEEPING THE ALLNATURAL PRODUCT FRESH

EVEN PROCTER & GAMBLE CO WHICH LEADS THE DIAPER MARKET WITH ITS PAMPERS
AND LUVS BRANDS HAS STUDIOUSLY AVOIDED THE BABYWIPES MARKET PROCTER WON'T
COMMENT ON WHY IT DOESN'T COMPETE IN THE CATEGORY SOME ANALYSTS SPECULATE
THAT IT IS BECAUSE THE MARKETING GIANT DOESN'T MAKE THE TYPE OF SYNTHETIC
NONWOVEN MATERIAL USED TO MAKE THE WIPE OTHERS SAY P&G SIMPLY MISSED THE
OPPORTUNITY

AND MANY OF TODAY'S CONSUMERS CARE MORE ABOUT PRICE THAN THE NAME ON THE
BOX SALES OF PRIVATELABEL BABY WIPES WHICH OFTEN COST 1 LESS THAN A BOX
OF BRANDNAME RIVALS INCREASED 10 DURING THE RECENT 52WEEK PERIOD AND
ACCOUNT FOR 28 OF THE CATEGORY WHEN DIANA EISNER STROUD WHO WORKS ON WALL
STREET WAS PREPARING FOR THE BABY SHE EXPECTS THIS MONTH SHE STOCKED UP ON
STOREBRAND WIPES IT ISN'T AS IF THE BABY IS GOING TO NOTICE THE
DIFFERENCE SHE SAYS

NONETHELESS HUGGIES BABY WIPES IS OFF TO A STRONG START WITH PARENTS WHO
VALUE A TRUSTED BRAND NAME ANALYSTS ALSO CITE KIMBERLYCLARK'S
WELLREGARDED SALES FORCE AND STRONG RELATIONSHIPS WITH RETAILERS AS AN
ADVANTAGE TO GRAB SHOPPERS' ATTENTION THE COMPANY POURED 36 MILLION INTO
CONSUMER ADVERTISING LAST YEAR ACCORDING TO LEADING NATIONAL ADVERTISERS
INC WHICH TRACKS ADVERTISING SPENDING

IT'S AN EXAMPLE OF A BRAND CAPITALIZING ON ITS EQUITY SAYS STEVE ROTH A
DIRECTOR OF RESEARCH INTERNATIONAL CONSULTING IN NEW YORK IT WORKS BECAUSE
YOU'RE PITCHING THE NEW PRODUCT AT THE SAME TARGET GROUP OF CONSUMERS WHO
USE THE OLD PRODUCT

THE COMPANY IS BETTING PARENTS WHO SAMPLE HUGGIES WIPES WILL THINK THEY FEEL
MORE LIKE CLOTH THAN PAPER THE COMPANY CLAIMS IT USES PROPRIETARY
TECHNOLOGY DEVELOPED IN ITS KLEENEX TISSUE BUSINESS TO PRODUCE A STRONGER
NONWOVEN FABRIC MADE FROM A BLEND OF NATURAL AND SYNTHETIC FIBERS WHAT'S
MORE THE PRODUCT'S TEDDYBEAR MOTIF IS MEANT TO CONJURE UP IMAGES OF
SOFTNESS AND THICKNESS WITH CONSUMERS THE PITCH HUGGIES WIPES ARE NOT ONLY
BETTER FOR BABY'S SKIN BUT ALSO MORE CONVENIENT FOR PARENTS A CONSUMER
CONCERN MARKETERS DELICATELY CALL THE HANDPROTECTION FACTOR

SCOTT PAPER NOT SURPRISINGLY DOESN'T BUY HUGGIES' CLAIMS TO THE BEST OF
MY KNOWLEDGE THEIR SHEET IS NOT ACTUALLY THICKER THAN OURS SAYS MS SMITH
AN OPINION KIMBERLYCLARK DOESN'T DISPUTE THE DIFFERENCES SHE MAINTAINS
ARE COSMETIC AND WILL BE QUICKLY DISCOUNTED BY CONSUMERS WHAT'S MORE SCOTT
HAS A LONG HERITAGE OF PROVIDING FREE SAMPLES AT HOSPITALS AND THROUGH SOME
CHILDBIRTH CLASSES A TACTIC THAT COULD HELP INSPIRE LOYALTY AMONG PARENTS
WHO ARE HAVING SECOND OR THIRD CHILDREN

SCOTT HAS BEEN HEAVILY PROMOTING BABY FRESH WITH ULTRA GUARD THE COMPANY
LAST YEAR SPENT 32 MILLION TO PROMOTE ALL OF ITS BABYWIPES BRANDS A 56
INCREASE FROM THE PREVIOUS YEAR PREVENTING DIAPER RASH THE COMPANY SAYS
IS AMONG NEW PARENTS' TOP CONCERNS

THE CLAIM WAS ENOUGH TO CATCH THE ATTENTION OF NEFERTITI GREENE OF WHITE
PLAINS NY AT LEAST TEMPORARILY MS GREENE SAYS SHE HAS TRIED BOTH
HUGGIES AND BABY FRESH FOR HER THREEMONTHOLD SON AND BELIEVES THEY BOTH
WORK PRETTY WELL EVEN THOUGH I HAVEN'T HAD ANY PROBLEMS YET I FOUND THE
DIAPERRASH PROTECTION APPEALING SHE SAYS BUT RIGHT NOW I'M USING
HUGGIES BECAUSE THEY WERE ON SALE 9305040120 930504 REDEMPTION NOTICES

THE FOLLOWING IS A LISTING OF SECURITIES CALLED FOR PARTIAL OR COMPLETE
REDEMPTION DURING THE WEEK ENDED APRIL 30 1993 THE NOTICES ARE TAKEN FROM
ADVERTISEMENTS APPEARING IN EDITIONS OF THE WALL STREET JOURNAL AND ARE NOT
MEANT TO BE DEFINITIVE INQUIRIES REGARDING SPECIFIC ISSUES SHOULD BE
DIRECTED TO THE PAYING AGENT OR IF NONE IS LISTED THE ISSUER

ARLINGTON TEXAS WILL REDEEM EARLY ON JUNE 1 1993 4400000 PRINCIPAL
AMOUNT OF THE FOLLOWING WATERWORKS AND SEWER SYSTEM REVENUE BONDS SERIES
1983 DUE JUNE 1 OF THE INDICATED YEARS 86 DUE 1994 88 DUE 1995 9
DUE 1996 92 DUE 1997 94 DUE 1998 95 DUE 1999 AND 8 DUE 20002004
TEXAS COMMERCE BANK HOUSTON IS PAYING AGENT

AURORA COLO WILL REDEEM ON JUNE 1 1993 2210000 PRINCIPAL AMOUNT OF
ITS SINGLE FAMILY MORTGAGE REVENUE BONDS DUE JUNE 1 19941999 AND 2010
FIRST INTERSTATE BANK OF DENVER IS TRUSTEE

CONNECTICUT WILL REDEEM ON MAY 31 1993 THE FOLLOWING GENERAL OBLIGATION
BONDS 6 HIGHWAY SYSTEM BONDS SERIES KK DUE MARCH 1 1994 AND 1995 6
SCHOOL CONSTRUCTION BONDS SERIES L DUE MARCH 1 1994 AND 1995 6 GENERAL
STATE PURPOSE BONDS SERIES A DUE MARCH 1 1994 AND 1995 6 HOUSING FOR
ELDERLY BONDS SERIES E DUE MARCH 1 1994 AND 1995 53 SCHOOL
CONSTRUCTION BONDS SERIS N DUE OCT 15 19931996 53 GENERAL STATE
PURPOSE BONDS SERIES H DUE OCT 15 19931996 53 HIGHWAY SYSTEM BONDS
SERIES MM DUE OCT 15 19931996 53 MASS TRANSPORTATION BONDS SERIES B
DUE OCT 15 19931996 AND 53 MUNICIPAL REDEVELOPMENT BONDS SERIES I
DUE OCT 15 19931996 SHAWMUT BANK CONNECTICUT HARTFORD CONN IS PAYING
AGENT

CONNECTICUT DEVELOPMENT AUTHORITY WILL REDEEM ON JUNE 1 1993 380000
PRINCIPAL AMOUNT OF ITS 65 POLLUTION CONTROL BONDS 1977 SERIES DUE JUNE
1 2007 SHAWMUT BANK CONNECTICUT HARTFORD CONN IS TRUSTEE

DANVILLE ILL WILL REDEEM ON JUNE 1 1993 520000 PRINCIPAL AMOUNT OF
ITS 1978 SERIES A SINGLE FAMILY MORTGAGE REVENUE BONDS DUE DEC 1
19931998 AND 2010 CONTINENTAL BANK CHICAGO IS CUSTODIAN

HILLSBOROUGH WILL REDEEM ON JUNE 1 1993 420000 PRINCIPAL AMOUNT OF ITS
62 FLORIDA REFUNDING UTILITY REVENUE BONDS SERIES 1978 DUE DEC 1 2008
WACHOVIA BANK OF NORTH CAROLINA WINSTONSALEM NC IS PAYING AGENT

HINESVILLE GA HOUSING DEVELOPMENT CORP WILL REDEEM ON JUNE 1 1993 ITS
1335 SECTION EIGHT HOUSING REVENUE BONDS SERIES 1982 DUE DEC 1 2013
FIRST UNION NATIONAL BANK OF GEORGIA IS TRUSTEE

ILLINOIS EDUCATIONAL FACILITIES AUTHORITY WILL REDEEM ON JUNE 1 1993
120000 PRINCIPAL AMOUNT OF ITS 78 FIRST MORTGAGE REVENUE BONDS SERIES
A DUE JUNE 1 2003 AMALGAMATED BANK OF CHICAGO IS TRUSTEE

ILLINOIS INDUSTRIAL POLLUTION CONTROL FINANCING AUTHORITY WILL REDEEM ON
JUNE 1 1993 1300000 PRINCIPAL AMOUNT OF ITS SOLIDWASTE DISPOSAL
REVENUE BONDS 1978 SERIES A CONTINENTAL BANK CHICAGO IS TRUSTEE

LAKE CHARLES LA HARBOR & TERMINAL DISTRICT WILL REDEEM ON JUNE 1 1993
ITS 7375 PORT FACILITIES REVENUE BONDS SERIES 1982A BANKERS TRUST CO
NEW YORK IS TRUSTEE

LEON COUNTY FLA HOUSING FINANCE AUTHORITY WILL REDEEM ON JUNE 1 1993
THE FOLLOWING SINGLE FAMILY HOUSING REVENUE BONDS SERIES 1980 108 DUE
DEC 1 1993 AND 11 DUE DEC 1 1994 FIRST UNION NATIONAL BANK OF FLORIDA
IS TRUSTEE

MINNEAPOLIS MINN HOUSING & REDEVELOPMENT AUTHORITY WILL REDEEM ON JUNE
1 1993 715000 PRINCIPAL AMOUNT OF THE FOLLOWING BONDS DUE DEC 1 OF THE
INDICATED YEARS 64 DUE 1993 65 DUE 1994 66 DUE 1995 67 DUE 1996
675 DUE 19971998 AND 71 DUE 2010 NORWEST BANK MINNESOTA MINNEAPOLIS
IS TRUSTEE

MISSOURI HOUSING DEVELOPMENT COMMISSION WILL REDEEM ON JUNE 1 1993 ITS
MORTGAGE REVENUE BONDS SERIES 1982 DUE 19942024 MERCANTILE BANK OF ST
LOUIS IS TRUSTEE

MOLINE ILL WILL REDEEM ON MAY 6 1993 THE FOLLOWING RESIDENTIAL
MORTGAGE REVENUE BONDS SERIES 1979 63 DUE 1993 64 DUE 1994 65 DUE
1995 66 DUE 1996 67 DUE 1997 68 DUE 1998 69 DUE 1999 AND 7125
DUE 2009 CONTINENTAL BANK CHICAGO IS CUSTODIAN

MUSKOGEE OKLA COUNTY HOME FINANCE AUTHORITY WILL REDEEM ON JUNE 1 1993
THE FOLLOWING MORTGAGE REVENUE BONDS 1979 SERIES A DUE DEC 1 OF THE
INDICATED YEARS 76 DUE 1993 78 DUE 1994 8 DUE 1995 81 DUE 1996
82 DUE 1997 AND 83 DUE 1998 BANK OF OKLAHOMA MUSKOGEE IS TRUSTEE

NEW HAMPSHIRE INDUSTRIAL DEVELOPMENT AUTHORITY WILL REDEEM ON MAY 1 1993
35000 PRINCIPAL AMOUNT OF ITS 7 INDUSTRIAL FACILITY REVENUE BONDS DUE
MAY 1 1997 FLEET BANKNH NASHUA NH IS TRUSTEE

THE AUTHORITY WILL ALSO REDEEM ON JULY 1 1993 ITS FLOATING RATE MONTHLY
DEMAND INDUSTRIAL FACILITY REVENUE BONDS SHAWMUT BANK IS TRUSTEE

NEW MADRID MO WILL REDEEM ON JUNE 1 1993 950000 PRINCIPAL AMOUNT OF
ITS POWER PLANT REVENUE BONDS SERIES 1971 DUE JUNE 1 2003 MERCANTILE
BANK OF ST LOUIS IS TRUSTEE

NIAGARA COUNTY INDUSTRIAL DEVELOPMENT AGENCY WILL REDEEM ON JUNE 1 1993
ITS 775 INDUSTRIAL DEVELOPMENT REVENUE BONDS DUE DEC 1 1995 CORESTATES
BANK PHILADELPHIA IS TRUSTEE

OKLAHOMA INDUSTRIES AUTHORITY WILL REDEEM ON JUNE 1 1993 1090000
PRINCIPAL AMOUNT OF ITS 6125 FIRST MORTGAGE HOSPITAL GROSS REVENUE BONDS
SERIES 1973 DUE JUNE 1 2003 LIBERTY BANK & TRUST CO OF OKLAHOMA CITY IS
TRUSTEE

OMAHA PUBLIC POWER DISTRICT WILL REDEEM ON JUNE 1 1993 ITS ELECTRIC
SYSTEM REVENUE BONDS 1977 SERIES A THE FIRST NATIONAL BANK OF CHICAGO IS
TRUSTEE

ONTARIO WILL REDEEM ON JUNE 1 1993 ITS 9375 DEBENTURES SERIES FK DUE
JUNE 1 2008 UNITED MISSOURI TRUST CO OF NEW YORK IS FISCAL AGENT

PLATTE RIVER POWER AUTHORITY WILL REDEEM ON JUNE 1 1993 THE FOLLOWING
ELECTRIC REVENUE BONDS SERIES H DUE JUNE 1 19941997 2003 2013 AND
2018 AND SERIES D DUE JUNE 1 19941996 2002 AND 2011 MORGAN GUARANTY
TRUST CO NEW YORK IS TRUSTEE

PUERTO RICO HOUSING FINANCE CORP WILL REDEEM ON JUNE 1 1993 ITS MORTGAGE
REVENUE BONDS DUE JUNE 1 2003 AND 2024 BANCO POPULAR DE PUERTO RICO IS
TRUSTEE

SALEM OHIO WILL REDEEM ON JUNE 1 1993 3130000 PRINCIPAL AMOUNT OF
ITS 8 FIRST MORTGAGE HOSPITAL REVENUE BONDS DUE DEC 1 2006 NATIONAL
CITY BANK COLUMBUS OHIO IS TRUSTEE

SCOTLAND COUNTY NC WILL REDEEM ON JUNE 1 1993 THE FOLLOWING SCHOOL
BONDS SERIES B DUE JUNE 1 OF THE INDICATED YEARS 9 DUE 199496 AND 91
DUE 19972002 SOUTHERN NATIONAL BANK OF NORTH CAROLINA LAURINBURG NC
IS PAYING AGENT

SPEARFISH SD WILL REDEEM ON JUNE 1 1993 ITS 95 HOSPITAL FACILITY
REVENUE BONDS SERIES 1983 DUE DEC 1 2012 FIRST NATIONAL BANK OF CHICAGO
IS TRUSTEE

SPRING LAKE FLA IMPROVEMENT DISTRICT WILL REDEEM ON JUNE 1 1993
165000 PRINCIPLE AMOUNT OF ITS 64 IMPROVEMENT BONDS DUE JUNE 1 2003
BARNETT BANKS TRUST CO NEW YORK IS TRUSTEE

UNIVERSITY OF PUERTO RICO WILL REDEEM ON JUNE 1 1993 THE FOLLOWING
UNIVERSITY SYSTEM REVENUE BONDS 525000 PRINCIPAL AMOUNT OF ITS 55
SERIES F BONDS DUE JUNE 1 2012 AND 550000 PRINCIPAL AMOUNT OF ITS 7
SERIES E BONDS DUE JUNE 1 2011 CITIBANK NEW YORK IS TRUSTEE

WICHITA KAN WILL REDEEM ON JUNE 1 1993 955000 PRINCIPAL AMOUNT OF
ITS SINGLE FAMILY MORTGAGE REVENUE BONDS 1979 SERIES A KANSAS STATE BANK &
TRUST CO OF WICHITA KAN IS FISCAL AGENT

WINCHESTER TENN HEALTH & EDUCATIONAL FACILITIES BOARD WILL REDEEM ON
JUNE 1 1993 ITS HEALTH FACILITIES REVENUE BONDS SERIES 1979 CITY BANK &
TRUST CO MCMINNVILLE TENN IS TRUSTEE

BANK OF NEW YORK CO WILL REDEEM ON JUNE 1 1993 ALL 750000 OUTSTANDING
SHARES OF ITS NONCUMULATIVE PREFERRED STOCK BANK OF NEW YORK IS REDEMPTION
AGENT

DETROIT EDISON CO WILL REDEEM ON MAY 28 1993 ITS 932 SERIES PREFERRED
STOCK DETROIT EDISON CO IS TRANSFER AGENT

KANSAS CITY POWER & LIGHT CO WILL REDEEM ON MAY 28 1993 ITS 475 FIRST
MORTGAGE BONDS DUE OCT 1 1995 CONTINENTAL BANK CHICAGO IS TRUSTEE
9305040119 930504 INTERNATIONAL SOUTH KOREAN EXPORTS IMPROVED

SEOUL SOUTH KOREA'S TRADE INDUSTRY AND ENERGY MINISTRY SAID THE STEADY
RECOVERY OF THE NATION'S EXPORTS IN THE FIRST QUARTER OF THIS YEAR CONTINUED
IN APRIL

ACCORDING TO THE MINISTRY'S PRELIMINARY REPORT ON TRADE PERFORMANCE IN
APRIL SOUTH KOREA'S TRADE DEFICIT SHARPLY NARROWED TO 94 MILLION IN THE
MONTH FROM A SHORTFALL OF 470 MILLION A YEAR AGO

THE ECONOMICBOOSTING MEASURES IN MARCH COUPLED WITH ONGOING APPRECIATION
OF THE JAPANESE YEN HAVE GIVEN SHARP MOMENTUM TO THE EFFORTS FOR ECONOMIC
RECOVERY SAID YOON SANGJICK A DEPUTY DIRECTOR IN THE EXPORT MANAGEMENT
DIVISION OF THE MINISTRY

IN APRIL SOUTH KOREA'S CUSTOMSCLEARED EXPORTS POSTED A HEALTHY RISE OF
63 TO 676 BILLION FROM A YEAR AGO ON CONTINUED BRISK SHIPMENTS OF
AUTOMOBILES STEEL PRODUCTS AND ELECTRONICS PRODUCTS FOR HOME AND INDUSTRIAL
PURPOSES

IMPORTS MEANWHILE CONTINUED TO BE STABILIZED WITH A RISE OF 03 TO 685
BILLION FROM THE PREVIOUS YEAR THE REPORT SAID 9305040118 930504
TECHNOLOGY & ENVIRONMENT TOSHIBA REDUCES PRICES ON ITS PORTABLE
COMPUTERS

TOKYO TOSHIBA CORP STRIVING TO MAINTAIN MARKET SHARE IN THE
PORTABLECOMPUTER FIELD AMID STIFFENING COMPETITION SAID IT CUT PRICES ON
ITS PORTABLE PERSONAL COMPUTERS BY AS MUCH AS 17

THE TYPICAL STREET PRICE FOR ITS LOWESTPRICED T1850 NOTEBOOK FOR WHICH
TOSHIBA DOESN'T PUBLISH A SUGGESTED LIST PRICE WILL FALL TO ABOUT 1300
FROM ABOUT 1500 THE COMPANY'S US COMPUTER UNIT SAID

TOSHIBA CUT THE LIST PRICE OF ITS HIGHEND T6400 MODEL TO 7999 FROM
9599 OR 17 THE COMPANY ALSO CUT LIST PRICES ON OTHER MACHINES FROM 4
TO 14

TOSHIBA WITH ITS PORTABLE COMPUTERS IS ONE OF THE FEW JAPANESE PC
MANUFACTURERS TO CARVE A SIGNIFICANT MARKET SHARE IN THE US MARKET BUT
THE COMPANY'S PRODUCTS HAVE COME UNDER FIRE FROM LOWPRICED NOTEBOOK AND
LAPTOP PCS FROM US MAKERS 9305040117 930504 WHO'S NEWS AMETEK INC

AMETEK INC PAOLI PA VITO J PARATO 46 YEARS OLD WAS NAMED VICE
PRESIDENT AND GENERAL MANAGER RESPONSIBLE FOR THE US GAUGE DIVISION A
MAJOR PRODUCER OF INSTRUMENTS FOR INDUSTRIAL AND LABORATORY APPLICATIONS HE
FILLS A VACANCY MR PARATO MOST RECENTLY WAS VICE PRESIDENT AND GENERAL
MANAGER OF THE SUBSYSTEMS DIVISION OF M/ACOM INC A LOWELL MASS
MANUFACTURER OF RADIO FREQUENCY AND MICROWAVE COMPONENTS AMETEK
MANUFACTURES PRECISION INSTRUMENTS AND ENGINEERED MATERIALS 9305040116
930504 US BIOSCIENCE BUYS PLANT

WEST CONSHOHOCKEN PA US BIOSCIENCE INC SAID IT ACQUIRED FROM A UNIT
OF MONTEDISON SPA A PLANT IN NIJMEGEN THE NETHERLANDS FOR PRODUCTION OF
CANCER AND AIDS DRUGS FOR THE EUROPEAN COMMUNITY AND OTHER INTERNATIONAL
MARKETS

US BIOSCIENCE DEVELOPS CANCER DRUGS MONTEDISON IS A PHARMACEUTICAL
COMPANY IN MILAN ITALY 9305040115 930504 WHO'S NEWS WARD HOWELL
INTERNATIONAL

WARD HOWELL INTERNATIONAL NEW YORK JOHN F RAYNOLDS III 63 YEARS OLD
WAS NAMED CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF THE COMPANY'S WARD HOWELL
INTERNATIONAL INC US UNIT HE SUCCEEDS JOHN H CALLEN JR 60 WHO IS NOW
PRESIDENT OF WARD HOWELL TECHNOLOGIES INC ANOTHER UNIT MR RAYNOLDS MOST
RECENTLY WAS A PARTNER IN WARD HOWELL'S STAMFORD CONN OFFICE PRIOR TO
THAT HE WAS PRESIDENT OF STAMFORDBASED RAYNOLDS GROUP CONSULTANTS TO
NOTFORPROFIT GROUPS WARD HOWELL IS AN EXECUTIVE SEARCH FIRM 9305040114
930504 NORTHWEST AIR WINS LABOR CONCESSIONS OFFERS BOARD SEATS AND EQUITY
IN RETURN  BY ROBERT L ROSE STAFF REPORTER OF THE WALL STREET
JOURNAL

NORTHWEST AIRLINES REACHED CONCESSIONARY AGREEMENTS WITH THE MACHINISTS AND
TEAMSTERS UNIONS SWAPPING AN EQUITY STAKE AND BOARD SEATS IN RETURN FOR
LOWER WAGES AND OTHER SAVINGS OVER THREE YEARS

NEITHER THE AIRLINE NOR THE TWO UNIONS WOULD COMMENT ON DETAILS UNTIL UNION
MEMBERS VOTE ON THE PACTS BUT IT WAS UNDERSTOOD THAT NORTHWEST RECEIVED
SLIGHTLY LESS COSTSAVINGS THAN IT SOUGHT

IN SETTLING FOR SOMETHING LESS THE ST PAUL MINN CARRIER APPEARS TO BE
PAYING A PRICE TO GET TWO KEY UNIONS ABOARD A PERSON CLOSE TO THE
NEGOTIATIONS SAID THE AIRLINE ALSO AGREED THAT ALL OF NORTHWEST'S UNIONS
WOULD GET A COMBINED 30 EQUITY STAKE AND THREE SEATS ON THE COMPANY'S
BOARD

THAT LEAVES UNANSWERED THE QUESTION OF WHEN AND WHETHER THE AIR LINE PILOTS
ASSOCIATION THE RICHEST AND MOST POWERFUL OF NORTHWEST'S UNIONS WILL GO
ALONG

THE AGREEMENTS REACHED IN SOME 100 HOURS OF TALKS IN WASHINGTON OVER THE
LAST FEW WEEKS BROUGHT TOGETHER NORTHWEST PRESIDENT JOHN DASBURG
PARTOWNERS ALFRED CHECCHI AND GARY WILSON MACHINISTS' NEGOTIATOR JOHN
PETERPAUL AND RON CAREY PRESIDENT OF THE TEAMSTERS UNION

IN A PROPOSAL TO ALL ITS UNIONS TWO MONTHS AGO NORTHWEST A UNIT OF CLOSELY
HELD WINGS HOLDINGS INC ASKED FOR 883 MILLION IN UNION CONCESSIONS OVER
THREE YEARS THAT INCLUDED 397 MILLION FROM THE INTERNATIONAL ASSOCIATION
OF MACHINISTS WHICH REPRESENTS 26000 NORTHWEST EMPLOYEES AND 97 MILLION
FROM THE TEAMSTERS WHICH REPRESENTS THE AIRLINE'S 8900 FLIGHT ATTENDANTS

EACH UNION CAN DECIDE HOW TO ACHIEVE WAGE SAVINGS AMONG ITS MEMBERS THE
WAGE CUTS RANGE FROM ABOUT 8 TO 16 OVER THREE YEARS ACCORDING TO THE
PERSON CLOSE TO THE TALKS

WHILE THE AGREEMENTS WITH THE MACHINISTS AND FLIGHT ATTENDANTS COULD PUT
PRESSURE ON THE PILOTS TO SETTLE THEY ALSO COULD COMPLICATE THE ISSUES
NORTHWEST AND THE PILOTS' ASSOCIATION WHICH REPRESENTS 5400 PILOTS SAID
YESTERDAY THAT THEY WERE MAKING PROGRESS IN THEIR TALKS

BUT BY AGREEING TO AN EQUITY STAKE AND THREE BOARD SEATS FOR ALL THE UNIONS
THE COMPANY AND THE TWO UNIONS THAT SETTLED DON'T APPEAR TO BE LEAVING MUCH
ROOM FOR THE PILOTS TO NEGOTIATE ON THOSE MATTERS THE AGREEMENT WAS
UNDERSTOOD TO CALL FOR THE PILOTS MACHINISTS AND FLIGHT ATTENDANTS TO EACH
PICK ONE BOARD MEMBER

MORE IMPORTANTLY THE PILOTS ARE BALKING AT A SETTLEMENT THAT CALLS FOR
THEIR MEMBERS TO BEAR A LARGER PERCENTAGE OF THE WAGE CUTS THAN LOWERPAID
WORKERS AT THE OTHER UNIONS WHILE NORTHWEST HAS ASKED THE PILOTS FOR 379
MILLION IN CONCESSIONS OVER THREE YEARS THE PILOTS INSIST THAT THEIR FAIR
SHARE WOULD BE ABOUT 300 MILLION

THE PILOTS HAVE ALSO INSISTED THAT NORTHWEST'S BANKS AND EQUITY OWNERS MAKE
CONCESSIONS AT THE SAME TIME THAT LABOR MAKES ITS CONCESSIONS THE COMPANY
HAS INSISTED THAT IS UNWORKABLE AND THE MACHINISTS AND TEAMSTERS HAVE
AGREED TO ALLOW THOSE STEPS TO COME LATER

BUT THE PERSON CLOSE TO THE NEGOTIATIONS SAID THERE ARE STRONG INCENTIVES
FOR THE BANKS AND OWNERS TO PARTICIPATE IF THEY DON'T EITHER THE
CONCESSIONS STOP OR THE EQUITY OWNERSHIP BY THE UNIONS INCREASES HE SAID
9305040113 930504 BENTSEN APPOINTS THREE TO OVERSEE ATF PROBE

WASHINGTON TREASURY SECRETARY LLOYD BENTSEN NAMED A JOURNALISM PROFESSOR
A WATERGATE PROSECUTOR AND A POLICE CHIEF TO OVERSEE THE INVESTIGATION OF
THE BUREAU OF ALCOHOL TOBACCO AND FIREARMS' INITIAL ASSAULT ON THE BRANCH
DAVIDIANS' COMPLEX OUTSIDE WACO TEXAS

MR BENTSEN SAID THE TRIO IS TO GUIDE THE TREASURY'S INVESTIGATION INTO THE
EVENTS LEADING UP TO THE ATF'S MOVE ON FEB 28 REVIEW THE FINDINGS AND
PROVIDE AN ASSESSMENT OF THE FINAL REPORT

THE THREE ARE EDWIN GUTHMAN A JOURNALISM PROFESSOR AT THE UNIVERSITY OF
SOUTHERN CALIFORNIA AND FORMER EDITOR OF THE PHILADELPHIA INQUIRER HENRY
RUTH FORMER CHIEF WATERGATE PROSECUTOR WHO HELPED INVESTIGATE A FATAL
STANDOFF WITH THE MOVE CULT IN PHILADELPHIA AND WILLIE WILLIAMS LOS
ANGELES POLICE CHIEF

GEOFFREY MOULTON A FORMER ASSISTANT US ATTORNEY WILL DIRECT THE
INVESTIGATION HE IS LEAVING PRIVATE LAW PRACTICE TO UNDERTAKE THE JOB WHEN
THE INVESTIGATION IS COMPLETED HE WILL BECOME A LAW PROFESSOR AT THE
WIDENER UNIVERSITY SCHOOL OF LAW IN DELAWARE

THE INVESTIGATION IS TO EXAMINE POLICIES AND PROCEDURES OF THE ATF AND
WHETHER THEY WERE FOLLOWED IT IS TO BE COMPLETED WITHIN 120 DAYS THE
TREASURY SAID 9305040112 930504 GENERAL SIGNAL TO SELL UNIT

STAMFORD CONN GENERAL SIGNAL CORP AS PART OF A PREVIOUSLY ANNOUNCED
DIVESTITURE PLAN SAID IT SIGNED A LETTER OF INTENT TO SELL ITS ASSEMBLY
TECHNOLOGIES UNIT

THE UNIT MAKES CUTTING EQUIPMENT FOR SEMICONDUCTOR MANUFACTURERS

NEITHER THE IDENTITY OF THE BUYER NOR THE PRICE WERE DISCLOSED

GENERAL SIGNAL IS A MAKER OF EQUIPMENT AND INSTRUMENTS FOR VARIOUS
INDUSTRIES 9305040111 930504 MINE UNION BCOA TALKS BREAK DOWN AS
PACT NEARS END  BY ERLE NORTON STAFF REPORTER OF THE WALL STREET
JOURNAL

TALKS BROKE DOWN BETWEEN THE UNITED MINE WORKERS UNION AND THE BITUMINOUS
COAL OPERATORS ASSOCIATION AS A CONTRACT EXTENSION WAS SET TO EXPIRE LAST
NIGHT PROMPTING A FEDERAL MEDIATOR TO INTERVENE AND TRY TO AVERT A STRIKE

THE UMW CONTINUED PUSHING FOR PROMISES THAT ITS WORKERS WILL RECEIVE ALL
JOBS AT NONUNION MINES THE BCOA WHICH REPRESENTS COAL PRODUCING
SUBSIDIARIES OF 12 COMPANIES HAS OFFERED TO GIVE UMW MEMBERS ACCESS TO SOME
JOBS AT THOSE MINES BUT BALKED AT DEMANDS FOR AUTOMATIC REPRESENTATION AT
NONUNION MINES SAID ONE PERSON CLOSE TO THE TALKS

THE FEDERAL MEDIATION AND CONCILIATION SERVICE WHICH PLAYED A PIVOTAL ROLE
IN GETTING THE TWO SIDES TO AGREE TO THE CONTRACT EXTENSION MARCH 2 WAS
WORKING WITH BOTH SIDES YESTERDAY BUT ANOTHER PERSON FAMILIAR WITH THE
TALKS SAID THE TWO SIDES HAD MADE LITTLE PROGRESS SINCE THE CONTRACT
EXTENSION AGREEMENT AND REMAINED VERY FAR APART ON MAJOR ISSUES

WITH THE EXPIRATION OF THE CONTRACT EXTENSION THE UMW COULD CALL A
SELECTIVE OR FULLSCALE STRIKE OR CONTINUE TO WORK WITHOUT A CONTRACT WHEN
THE LABOR PACT ORIGINALLY EXPIRED FEB 1 THE UMW STRUCK THE NATION'S
BIGGEST COAL PRODUCER PEABODY HOLDING CO IN ST LOUIS A UNIT OF BRITAIN'S
HANSON PLC BUT EXPANDED THE STRIKE ON MARCH 1 TO FIVE OTHER PRODUCERS

RALPH BARBARO A CONSULTANT WITH ENERGY VENTURES ANALYSIS INC IN ARLINGTON
VA SAID HE SUSPECTS THE UMW WILL TARGET ALL BCOA MEMBERS FOR A STRIKE HE
NOTES THAT A BCOA AGREEMENT CALLS FOR ALL MEMBERS TO PAY INTO A FUND TO HELP
OFFSET STRIKERELATED COSTS OF THOSE STRUCK THUS DILUTING THE IMPACT OF A
SELECTIVE STRIKE WITH THAT AGREEMENT THE UMW PROBABLY WASN'T INFLICTING
THAT MUCH PAIN SAID MR BARBARO

THE KEY ISSUE IN THE TALKS HAS INVOLVED JOB SECURITY FOR THE UMW'S 60000
MEMBERS SEVERAL COAL PRODUCERS INCLUDING CONSOL ENERGY INC IN PITTSBURGH
OWNED BY DUPONT CO AND GERMANY'S RHEINBRAUN AG HAVE SET UP COMPANIES WITH
NONUNION MINES THE UNION WANTS AUTOMATIC REPRESENTATION IN NONUNION MINES
AND JOB GUARANTEES FOR ITS WORKERS FOR THE LIFE OF THE CONTRACT ACCORDING
TO THE PERSON CLOSE TO THE TALKS

BCOA MEMBERS CONTEND AUTOMATIC REPRESENTATION TAKES AWAY WORKERS' RIGHT TO
VOTE ON WHETHER THEY WANT TO BE UNION MEMBERS AND SINCE ENVIRONMENTAL
LEGISLATION MAY LEAD TO MANY HIGHSULFUR COAL MINES CLOSING BCOA MEMBERS
CONSIDER JOB GUARANTEES ALMOST IMPOSSIBLE THE PERSON SAID 9305040110
930504 LETTERS TO THE EDITOR WE'VE SCANT SYMPATHY FOR PLAINTIFF'S
LAWYERS

FORGIVE ME AND MANY IN OTHER PROFESSIONS IF WE HAVE LITTLE SYMPATHY FOR
PLAINTIFFS' LAWYERS COMPLAINTS CITED IN YOUR ARTICLE ARCHITECTS ERECT
LEGAL DEFENSES AGAINST SUITS

THE ISSUE IS NOT THAT THERE ARE SANCTIONS AVAILABLE FOR FILING FRIVOLOUS
LAWSUITS THE ISSUE IS THE COST AND TIME AND EXTORTED SETTLEMENTS TO
AVOID LITIGATION FEES IN OTHERWISE WINNABLE CASES INVOLVED IN FIGHTING
QUESTIONABLE SUITS AN ATTORNEY CAN NO MORE MAKE HIS OWN JUDGMENT ON AN
ARCHITECT'S OR ENGINEER'S STANDARD OF PRACTICE THAN I CAN REGARDING LEGAL
STANDARDS IF AN ATTORNEY FEELS THERE IS CAUSE FOR A SUIT AND A CERTIFICATE
OF MERIT IS ISSUED BY ALL MEANS FILE THE SUIT BUT THE BURDEN OF PROVING
THE CAUSE FOR AN ACTION SHOULD REST WITH THE ATTORNEY AND HIS CLIENT NOT
WITH THE PROFESSIONAL PROVING THAT HE OR SHE IS INNOCENT 9305040108
930503 CLOSED END FUNDS

UNAUDITED NET ASSET VALUES NAV OF CLOSED END FUNDS REPORTED BY THE
COMPANIES AS OF FRIDAY'S CLOSE EACH QUOTE INCLUDES THE CLOSING STOCK
EXCHANGE PRICE OR DEALERTODEALER ASKED PRICE OF EACH FUND'S SHARES WITH
THE PERCENTAGE OF DIFFERENCE FOR EQUITY FUNDS THE FINAL COLUMN SHOWS
DIVIDENDS PAID FROM INCOME IN THE LAST 12 MONTHS AS OF THE PRIOR MONTHEND
AS A PERCENTAGE OF THE STOCK MARKET PRICE THE FIGURE DOESN'T INCLUDE
CAPITAL GAINS DISTRIBUTIONS NNEW YORK STOCK EXCHANGE OOVERTHECOUNTER
AAMERICAN MMIDWEST WEDNESDAY'S CLOSEENAV FOR 4/16 WAS 1042 N/ANOT
AVAILABLE OR NOT APPLICABLE VCONVERTED AT COMMERCIAL RAND RATE ZNOT
TRADING ON ANY EXCHANGE 9305040107 930504 TREASURY LIFTS ESTIMATE FOR
BORROWING NEEDS

WASHINGTON THE TREASURY DEPARTMENT SAID ITS NET BORROWING NEEDS IN THE
SECOND QUARTER ARE EXPECTED TO BE 37 BILLION WITH A 35 BILLION CASH
BALANCE ON JUNE 30

THE TREASURY HAD ESTIMATED EARLIER THAT ITS NEED FOR THE SECOND QUARTER
WOULD BE 25 BILLION TO 30 BILLION THE INCREASE IN THE GOVERNMENT'S
EXPECTED BORROWING NEEDS RESULTS FROM A LOWER ESTIMATE OF INDIVIDUAL INCOME
TAX RECEIPTS IN THE SECOND QUARTER

THE TREASURY ALSO SAID ITS ESTIMATED NET BORROWING NEEDS FOR THE THIRD
QUARTER ARE IN THE RANGE OF 90 BILLION TO 95 BILLION WITH A 40 BILLION
CASH BALANCE THAT BORROWING ESTIMATE REFLECTS SIGNIFICANT OUTLAYS FOR THE
RESOLUTION TRUST CORP WHOSE MISSION IS TO CLEAN UP THE SAVINGSANDLOAN
INDUSTRY

ACTUAL BORROWING NEEDS FOR THE FIRST QUARTER OF THIS YEAR WERE 53 BILLION
WITH AN ENDOFQUARTER CASH BALANCE OF 216 BILLION 9305040106 930504
LEISURE & ARTS REBEL WITH A CAUSE SNOTTY BRAZEN' THEATER  BY
DEBRA JO IMMERGUT

BERLIN EVEN THE MOST FREEWHEELING OF THE EXPERIMENTAL THEATER MAVENS AT
THE VOLKSBUHNE ON ROSA LUXEMBURG PLATZ MUST HAVE FELT UNEASY AT THE SIGHT IN
THE LOBBY A GROUP OF ABOUT 15 SKINHEADS MILLED AROUND DRESSED IN WHITE
LONG UNDERWEAR WITH BOWLERS PERCHED ON THEIR CLOSESHAVEN HEADS THEY HAD
TURNED UP FOR THE SECOND PERFORMANCE OF CLOCKWORK ORANGE DRESSED AS THEIR
HERO ALEX THE BRUTAL YOUNG PROTAGONIST OF THE PLAY ADAPTED FROM ANTHONY
BURGESS'S NOVEL A TALE OF A TEENAGE BOY WHO RAPES BEATS AND FINALLY
MURDERS FOR KICKS BEFORE BEING BRAINWASHED INTO SUBMISSION CLOCKWORK
ORANGE WAS POPULARIZED IN THE 1970S BY STANLEY KUBRICK'S LEGENDARY FILM
VERSION WHICH BECAME A CULT FAVORITE OF DISAFFECTED YOUTH EVERYWHERE
INCLUDING GERMANY'S SKINHEADS A LOOSE SUBCULTURE OF YOUNG RIGHTISTS
RADICALS AND APOLITICAL RABBLEROUSERS

SHORTLY AFTER THE PERFORMANCE BEGAN THE SKINHEADS STARTED TO HECKLE THE
ACTORS SHOUTING THEIR DEMANDS FOR LESS TALK AND MORE BEATING AFTER NEARLY
AN HOUR OF INSULTS AND GOADING THE ACTORS' PATIENCE WORE OUT THEY CHARGED
OFF THE STAGE AND WITH HELP FROM AUDIENCE MEMBERS EJECTED THE YOUTHS FROM
THE AUDITORIUM THE MELEE CONTINUED IN THE LOBBY WITH MUCH SHOUTING AND
SHOVING

THE INCIDENT ILLUSTRATES THE DANGERS OF DANGEROUS THEATER WHICH IS WHAT
THE VOLKSBUHNE HAS TRIED TO DELIVER SINCE THE FIREBRAND DIRECTOR FRANK
CASTORF TOOK THE HELM OF THE HISTORIC VENUE LAST FALL MR CASTORF A
42YEAROLD NATIVE OF EASTERN GERMANY HAS SAID HE WANTS TO PRODUCE SNOTTY
BRAZEN THEATER WITH HIS ECLECTIC CHOICE OF MATERIAL AND HIS WILDLY MESSY
PRODUCTIONS FEATURING ACTORS SPITTING WATER AND REGURGITATING FRUIT SOILING
THEMSELVES AND THE AUDIENCE WITH UNIDENTIFIED DRECK SCREAMING STUTTERING
AND BREAKING INTO ODD RIFFS OF RUSSIAN HE HAS AT THE VERY LEAST SUCCEEDED
IN MAKING THE VOLKSBUHNE BERLIN'S MOST TALKED ABOUT STAGE

MR CASTORF IS A VETERAN OF THE EAST GERMAN THEATER SCENE WITH THE COLLAPSE
OF THE SOCIALIST STATE HE WAS INVITED TO THE WEST TO WORK IN HAMBURG AND
MUNICH THEN TOOK OVER DIRECTION AT THE DEUTSCHES THEATER IN EASTERN BERLIN
HE MOVED TO THE VOLKSBUHNE IN SEPTEMBER CHARGED WITH THE MISSION OF
REVIVING THE MORIBUND HOUSE WHICH HAD SUNKEN INTO A COLORLESS CONSERVATISM
UNDER THE EAST GERMAN REGIME WITH BERLIN'S ARTS BUDGET OVEREXTENDED AND
SUBSIDIES FALLING FAST HE WAS GIVEN AN ULTIMATUM REVIVE THE THEATER'S
REPUTATION OR WATCH IT DIE TO ME IT IS PLEASANT TO HAVE TO FIGHT FOR MY
LIFE SAYS MR CASTORF ONE MUST HAVE SOMETHING TO SAY IN ORDER TO
SURVIVE

THE VENUE'S MASSIVE COLUMNED FACADE AND ITS PROLETARIAN STREAMLINED
INTERIORS DATE FROM 1914 WHEN IT WAS BUILT AS A PERMANENT HOME FOR AN AD
HOC POLITICALLY CHARGED TROUPE THAT PROVIDED LOWCOST DRAMAS FOR THE
WORKING CLASS ITS NAME MEANS THE PEOPLE'S STAGE IN GERMAN MR CASTORF'S
NEW PRICING POLICY HAS PICKED UP ON THIS TRADITION STUDENTS SENIORS AND
THE UNEMPLOYED CAN BUY ADVANCESALE TICKETS FOR ABOUT 3

A MOSTLY UNDER35 CROWD ATTENDS THE SHOWS WHICH ARE PERFORMED IN REPERTORY
UP FROM A LOW OF 15 SHORTLY AFTER GERMAN UNIFICATION THE THEATER NOW
BOASTS AN ATTENDANCE RATE OF 60 MORE THAN RESPECTABLE FOR THIS
THEATERGLUTTED CITY

AS THEY SECURE THEIR PLACES IN THE 600SEAT HALL TICKET HOLDERS WHO END UP
IN THE FIRST FEW ROWS RISK INCURRING PRICEY DRYCLEANING BILLS DURING THEIR
CUTRATE EVENING AT THE THEATER IN CLOCKWORK ORANGE THE ACTORS SPEW MILK
THROW PAINTFILLED BALLOONS GET DOUSED WITH FAKE BLOOD AND GASOLINE AND
BOMBARDED WITH ORANGES WITH BULGINGVEINED INTENSITY THEY SPIT AND
SPLUTTER AS THEY DELIVER THEIR LINES SENDING A FINE MIST RAINING DOWN UPON
THE ONLOOKERS NUDITY AND BODILY FUNCTIONS ALSO COME INTO VIGOROUS PLAY AT
EACH SHOW ONE CAN'T HELP SENSING A DELIGHT IN BOTH THE AUDIENCE AND THE
ACTORS AT THE EXTENT OF THE MESS COVERING THE STAGE BY NIGHT'S END ONE OF
THE GREAT GERMAN TABOOS UNTIDINESS HAS BEEN BROKEN

INTERSPERSED WITH THE MESSMAKING IS A GREAT DEAL OF DISCOURSE ON THE STATE
OF GERMANY TODAY FROM A DISTINCTLY EASTERN GERMAN POINT OF VIEW THE
SCRIPTS ARE FULL OF REFERENCES TO LIFE UNDER THE FORMER REGIME CLOCKWORK
ORANGE QUOTES FROM STALINIST SHOW TRIALS WHILE MR CASTORF'S VERSION OF
ARNOLT BRONNEN'S 1925 REFLECTION ON GERMAN NATIONALISM RHEINISCHE
REBELLEN RHINE REBELS ENDS WITH A LIFESIZE EFFIGY OF ERICH HONECKER
DESCENDING FROM THE HEAVENS ON A FLOWERED SOFA A GRAYSUITED BLANKFACED
DEUS EX MACHINA

THE ADDITION OF SUCH TOPICAL ELEMENTS TAKES THE PLAYS FAR FROM THEIR
AUTHORS' VISIONS OF COURSE BUT THAT IS ANOTHER WAY IN WHICH MR CASTORF
TRIES TO SHAKE THINGS UP TO HIM THE TEXT IS FAR FROM SACRED CARL GEORG
HEGEMANN A DRAMATURGIST AT THE THEATER EXPLAINS THAT ONE WORKS WITH A
TEXT NOT TO RESCUE A HISTORICAL PIECE BUT TO FIND EVIDENCE THAT IT HAS
SOMETHING TO SAY ABOUT WHAT'S IMPORTANT TO US TODAY

A VERTICAL RED BANNER HANGS DOWN THE IMPOSING FACE OF THE THEATER THESE
DAYS AN UNMISTAKABLE ECHO OF THE DECORATIONS LOVED BY THE NAZIS IN BOLD
LETTERS IT BEARS THE VOLKSBUHNE'S THEME FOR THE SECOND HALF OF THE SEASON
GEBT MIR EIN LEITBILD OR GIVE ME A ROLE MODEL IT IS MEANT IRONICALLY
ONE OF THE THEATER'S MANIFESTOES DECLARES THAT TO THE GERMANS WHO HAVE
TURNED TO HITLER HONECKER AND KOHL AS FATHER FIGURES FULL OF ANSWERS THE
VOLKSBUHNE MUST PRESENT ONLY QUESTIONS AND IF AFTER A SHOW HALF OF THE
AUDIENCE MEMBERS APPLAUD WHILE THE OTHER HALF SIT SIMPLY CLUELESS AS ONE
STAFFER LAUGHINGLY DESCRIBED THEM SO MUCH THE BETTER

MS IMMERGUT IS A WRITER IN BERLIN 9305040105 930504 WHO'S NEWS 
CALLAWAY GOLF NAMES DONALD DYE PRESIDENT CITING SUCCESSION PLANS

CARLSBAD CALIF CALLAWAY GOLF CO NAMED DONALD H DYE PRESIDENT
SUCCEEDING RICHARD C HELMSTETTER WHO WAS NAMED SENIOR EXECUTIVE VICE
PRESIDENT

MR HELMSTETTER WHO PREVIOUSLY REPORTED SOLELY TO ELY CALLAWAY CHAIRMAN
AND CHIEF EXECUTIVE OFFICER WILL NOW REPORT IN PART TO MR DYE WHO WILL
CONTINUE AS CHIEF OPERATING OFFICER

MR HELMSTETTER 51 YEARS OLD DIDN'T RETURN A CALL SEEKING COMMENT

MR CALLAWAY SAID MR DYE'S APPOINTMENT STRENGTHENS SUCCESSION PLANS PUT IN
PLACE MORE THAN A YEAR AGO MR DYE HAS BEEN VICE CHAIRMAN AND CHIEF
OPERATING OFFICER FOR ABOUT A YEAR  THAT'S WHEN WE SORT OF LINED UP
THAT SIGNAL MR CALLAWAY SAID THIS IS FURTHER CONFIRMATION OF THAT MR
DYE IS 51

MR CALLAWAY WHO WILL BE 74 NEXT MONTH RECENTLY TOLD SHAREHOLDERS THAT HE
IS CONSIDERING EXTENDING HIS ACTIVE MANAGEMENT ROLE THROUGH THE END OF
NEXT YEAR 9305040104 930504 US INDICTS TWO MEN CONCERN FOR IMPORTING
 FAKE KEDS SNEAKERS

CONCORD NH A FEDERAL GRAND JURY INDICTED TWO MEN AND A MANCHESTER
NH CONCERN IN CONNECTION WITH THE IMPORT OF 100000 COUNTERFEIT KEDS
SNEAKERS FROM CHINA

THE FIVECOUNT INDICTMENT NAMED JAMES L BRYANT BEDFORD NH HERBERT
CHIHLUN WANG OF TAIWAN AND BOHAI TRADING CO MANCHESTER AND CHINA
FORMERLY BRAYCO INTERNATIONAL

THE US ATTORNEY'S OFFICE CHARGED AMONG OTHER THINGS THAT THE MEN WERE
TRAFFICKING IN COUNTERFEIT SNEAKERS BEARING THE BLUE HEEL PATCHES WITH THE
NAME KEDS ON THEM WITHOUT THE KNOWLEDGE OF THE TRADEMARK HOLDER STRIDE
RITE CORP CAMBRIDGE MASS A STRIDE RITE SPOKESMAN SAID HE WASN'T AWARE OF
THE LATEST INDICTMENT BUT THAT IT HADN'T BEEN THEIR FIRST CASE OF
COUNTERFEITING WE DON'T WANT INFERIOR PRODUCT WITH OUR NAME ON IT OUT IN
THE MARKET HE SAID

A PERSON ANSWERING THE PHONE LISTED IN MR BRYANT'S NAME SAID HE WAS
TRAVELING AND COULDN'T BE REACHED FOR COMMENT MR WANG ALSO COULD NOT BE
REACHED 9305040103 930504 LETTERS TO THE EDITOR IF FREE LOVE'S OK 
WHAT ABOUT BABY

IN RESPONSE TO YOUR APRIL 2 ARTICLE NEW GRADESCHOOL SEXUALITY CLASSES GO
BEYOND BIRDS AND BEES TO EXPLICIT BASICS WHAT AN INCREDIBLE DICHOTOMY THE
KINDERGARTEN BOYS AND GIRLS IN IRVINGTON NJ ARE NOW BEING TAUGHT THAT IT
IS OK FOR A MAN AND WOMAN WHO LOVE EACH OTHER TO GO TO BED WITH
EXPLICIT DETAILS AND WITH NO MENTION OF THE VALUE OF ABSTINENCE OR SAVING
SEX FOR THE SANCTITY OF MARRIAGE

HOWEVER THE SAME CURRICULUM STATES IF ONE TINY SPERM MEETS A TINY EGG
INSIDE THE WOMAN'S BODY A BABY IS STARTED  SINCE THEIR OWN
CURRICULUM ACKNOWLEDGES THAT THE BABY IS CREATED AT CONCEPTION ARE THEY
ALSO WILLING TO TEACH THAT THE BABY'S LIFE INSIDE THE MOTHER IS PRECIOUS
AND THAT ANY ATTEMPT TO END THE BABY'S LIFE IS TANTAMOUNT TO MURDER
9305040102 930504 CALIFORNIA ENERGY SCECORP SETTLE SUITS ONE MORE IS
PENDING

ROSEMEAD CALIF SCECORP AND CALIFORNIA ENERGY CO SETTLED TWO OF THE
THREE LEGAL DISPUTES BETWEEN THE COMPANIES INCLUDING A 780 MILLION
ANTITRUST LAWSUIT BROUGHT BY CALIFORNIA ENERGY IN 1991

CALIFORNIA ENERGY'S ANTITRUST SUIT CHARGED THAT SCECORP ITS BIGGEST
CUSTOMER TRIED TO DRIVE IT OUT OF BUSINESS THE SUIT NAMED SCECORP THREE
OF ITS SUBSIDIARIES AND TOP EXECUTIVES FROM EACH FIRM

ALSO SETTLED WERE LEGAL DISPUTES RELATED TO POWERTRANSMISSION LINES BUILT
BY SCECORP SUBSIDIARY SOUTHERN CALIFORNIA EDISON THAT SERVE THE NINEUNIT
COSO GEOTHERMAL PROJECT MANAGED AND 50OWNED BY CALIFORNIA ENERGY

THE PARTIES SAID IN A JOINT STATEMENT THAT THEY EXPECT AN AUGUST JURY TRIAL
TO SETTLE A STILLOUTSTANDING 79 MILLION BREACHOFCONTRACT SUIT BROUGHT IN
1990 BY AN SCECORP SUBSIDIARY IN A CALIFORNIA STATE COURT CALIFORNIA ENERGY
IS A GEOTHERMALENERGY CONCERN BASED IN OMAHA NEB SCECORP IS A UTILITY
HOLDING COMPANY

AS A RESULT OF THE SETTLEMENT SOUTHERN CALIFORNIA EDISON HAS PAID
CALIFORNIA ENERGY 155 MILLION FROM FUNDS HELD IN ESCROW SCECORP SAID THE
PAYMENT WILL HAVE NO EFFECT ON EARNINGS BECAUSE THE DISPUTED FUNDS WERE
NEVER REFLECTED IN REVENUE 9305040100 930504 ECONOMY MANUFACTURING 
SHOWS A DECLINE IN NEW SURVEY  PURCHASING EXECUTIVES SAY APRIL
FACTORY INDEX FELL FIRST SLIDE IN 7 MONTHS  BY LUCINDA HARPER 
STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE MANUFACTURING SECTOR CONTRACTED IN APRIL ITS FIRST
SETBACK IN SEVEN MONTHS ACCORDING TO A CLOSELY WATCHED SURVEY OF PURCHASING
EXECUTIVES

THE NATIONAL ASSOCIATION OF PURCHASING MANAGEMENT SAID ITS INDEX SLIPPED TO
497 LAST MONTH FROM 534 IN MARCH THE REPORT RAISED MORE RED FLAGS ABOUT
THE HEALTH OF THE INDUSTRIAL ECONOMY IN THE INDEX A READING ABOVE 50
GENERALLY MEANS THAT BUSINESS AT THE NATION'S FACTORIES IS GROWING WHILE A
READING BELOW 50 MEANS IT IS SHRINKING

THE INDEX IS TROUBLESOME PRIMARILY BECAUSE OF THE BREADTH OF THE
DETERIORATION ORDERS FOR FACTORY GOODS GREW AT THEIR SLOWEST PACE SINCE
SEPTEMBER PRODUCTION GREW AT ITS SLOWEST RATE IN MORE THAN A YEAR AND THE
EMPLOYMENT PICTURE WAS BLEAK MANY ECONOMISTS HAD SAID THE ECONOMY WOULD
BOUNCE BACK IN APRIL AFTER HORRIBLE WEATHER PLAYED A ROLE IN SLOWING
ECONOMIC ACTIVITY IN THE FIRST QUARTER

PRICES ALSO INCREASED FOR THE THIRD STRAIGHT MONTH ANALYSTS SAID THE RISE
DIDN'T MEAN INFLATION IS HEADED OUT OF CONTROL INSTEAD THEY SUGGESTED THAT
SOME BUSINESSES WERE TRYING TO RAISE THEIR PRICES TO MAKE UP FOR SALES LOST
DURING THE WINTER MONTHS EDWARD YARDENI CHIEF ECONOMIST AT CJ LAWRENCE
INC SAID HE DOUBTS THE PRICE INCREASES WILL STICK BECAUSE OF WEAK DEMAND

THERE IS A DEFINITE SLOWING GOING ON SAID SURVEY CHIEF ROBERT J BRETZ
WHO IS ALSO DIRECTOR OF CORPORATE PURCHASING FOR PITNEY BOWES INC AND I
DON'T SEE ANY PROSPECTS OF IMPROVED EMPLOYMENT IN MANUFACTURING DURING
1993

BUT TREASURY SECRETARY LLOYD BENTSEN IN A SPEECH YESTERDAY AT WASHINGTON'S
WATERGATE HOTEL SAID HE STILL BELIEVED MUCH OF THE SLUGGISHNESS IN THE
ECONOMY WAS DUE TO MOTHER NATURE THIS IS A WEATHER POTHOLE ON OUR WAY TO
RECOVERY MR BENTSEN SAID BUT THE SECRETARY ADDED THAT THE POOR ECONOMIC
NUMBERS IN THE PAST FEW MONTHS REINFORCE THE ADMINISTRATION'S POSITION IN
TAKING STEPS TO REDUCE THE DEFICIT

MR BRETZ SUGGESTED THAT MUCH OF THE DECLINE IN THE MANUFACTURING SECTOR
LAST MONTH WAS DUE TO UNCERTAINTY ABOUT PRESIDENT CLINTON'S PROPOSED FISCAL
POLICIES AND TAXES PEOPLE ARE SAYING LET'S HOLD OFF FROM DOING CERTAIN
THINGS' AND THAT AFFECTS THE ECONOMY MR BRETZ SAID

THERE WAS ALSO A HUGE BUILDUP OF INVENTORIES DURING THE FIRST QUARTER AND
IT IS LIKELY THAT MANUFACTURERS ARE SLOWING THEIR PRODUCTION SCHEDULES AND
RETAILERS ARE HOLDING BACK FROM PLACING NEW ORDERS UNTIL THE EXCESS
STOCKPILES ARE A BIT LOWER

SEPARATELY THE COMMERCE DEPARTMENT REPORTED THAT NEW CONSTRUCTION SPENDING
DECLINED 17 IN MARCH AFTER A REVISED 07 INCREASE IN FEBRUARY THE MARCH
SPENDING LEVEL WAS 03 HIGHER THAN THE TOTAL FOR MARCH 1992

SPENDING FOR NEW SINGLEFAMILY HOMES DECLINED FOR THE SECOND MONTH IN A ROW
DROPPING 07 IN MARCH BUT APARTMENT CONSTRUCTION WHICH HAD BEEN WEAK FOR
SOME TIME ROSE 11 FOR ITS SECOND RISE IN A ROW DECLINES ALSO OCCURRED
IN CONSTRUCTION OF INDUSTRIAL OFFICE AND OTHER COMMERCIAL BUILDINGS AND IN
HOSPITALS AND OTHER INSTITUTIONS PUBLIC CONSTRUCTION SPENDING DROPPED 11
DECLINES IN BUILDING OF PUBLIC HOUSING AND WATER AND SEWER SYSTEMS OFFSET
GAINS IN CONSTRUCTION OF HIGHWAYS HOSPITALS SCHOOLS AND CONSERVATION
FACILITIES

ALL FIGURES WERE ADJUSTED FOR INFLATION AND NORMAL SEASONAL VARIATIONS
BEFORE ADJUSTMENT FOR INFLATION CONSTRUCTION SPENDING IN MARCH FELL 08 TO
A 4427 MILLION ANNUAL RATE

ALBERT R KARR CONTRIBUTED TO THIS ARTICLE

HERE ARE THE COMMERCE DEPARTMENT'S FIGURES FOR CONSTRUCTION SPENDING IN
BILLIONS OF 1987 DOLLARS AT SEASONALLY ADJUSTED ANNUAL RATES 9305040099
930504 BUSINESS WORLD MAY DAY UPRISING OF A SULLIED S&L SCORE  BY
TIM W FERGUSON

ST LOUIS THEY SPOKE OF THEMSELVES AS BEING HISTORY A POLITICAL
EMBARRASSMENT AND MOCKING THE ACCUSATION A BUNCH OF CROOKS BUT THESE
20 INDIVIDUAL AND FAMILY OWNERS FROM AMERICA'S SEIZED SAVINGS AND LOANS
HAVEN'T GIVEN UP THEY MET AT AN AIRPORT HOTEL HERE THIS PAST WEEKEND TO
SEEK A VOICE

THEY PERSONIFY REPRESENT THE TIP OF AN ICEBERG OF FROZEN CAPITAL THE
THRIFTS AND BANKS TAKEN OVER BY US AUTHORITIES AND THE NEARLY 1000 OF
THEIR OFFICERS AND DIRECTORS BEING PURSUED FOR BILLIONS IN RESTITUTION THE
GROUP AT THE MAY DAY CONFERENCE SWAPPED REGULATORY HORROR STORIES BUT
ADMITTED THEY WEREN'T THE WORST OFF OF THEIR ILK MANY OTHERS ARE TOO OLD
TOO SICK OR TOO BROKE TO MAKE SUCH A MEETING

THE ST LOUIS MEETING WAS THE IDEA OF EDWARD MORRIS WHO WAS CEO OF THE
LOCAL GERMANIA BANK UNTIL IT WAS CONSUMED BY THE RESOLUTION TRUST CORP THE
THRIFT CLEANUP AGENCY HIS PERSONAL ASSETS WERE FROZEN BECAUSE OF UNDUE
ENRICHMENT A SALARY SURVEY FOUND HE'D BEEN PAID 15000 TOO MUCH BY
GERMANIA AFTER MR MORRIS ATTACKED THE RTC IN NEWSPAPER OPEDS HE WAS
FLOODED WITH CALLS HE FORMED REGULATORY WATCHDOG A FIRM TO PUBLISH A
NEWSLETTER ABOUT ABUSIVE PRACTICES AND INVITED KINDRED SOULS TO GATHER

THE ORGANIZATION LIKELY TO RESULT WILL SEEK OUT RECEPTIVE MEMBERS OF
CONGRESS TO AMEND THE THRIFT LEGISLATION THAT CREATED THE RTC TO ENSURE A
RIGHT TO CHALLENGE AN AGENCY'S VERSION OF THE FACTS WHEN APPEALING ITS
ACTIONS TO THE COURTS AS OF NOW JUDGES MAY ONLY CONSIDER THE OFFICIAL
FILEIN OTHER WORDS THE REGULATORS' ALLEGATIONS EVEN TAXPAYERS CONTESTING
THE IRS GET A FAIRER BREAK THAN THAT

ALSO TO TRY TO ATTRACT POPULAR SUPPORT THE GROUP PLANS TO SPOTLIGHT THE
ESCALATING COST TO TAXPAYERS FROM THE WITCH HUNT OF THOSE CONNECTED WITH
BUSTED BANKS AND S&LS IN ADDITION TO THEIR INHOUSE STAFFING THE RTC AND
ITS BANKING COUNTERPART THE FEDERAL DEPOSIT INSURANCE CORP HAVE SHELLED
OUT BILLIONS FOR OUTSIDE LAWYERS AND OTHER PROFESSIONAL HELP MUCH OF IT ON
LIABILITY CASES SUCH AS WERE THE FOCUS IN ST LOUIS

MOST OF THE MAY DAY CAUCUS PRIDE THEMSELVES ON HAVING HAD SOLVENT
INSTITUTIONS UNTIL IN THEIR VIEW REGULATORS FORCED AN IMPLOSION OF
REALESTATE AND OTHER MARKETS AT THE CLOSE OF THE DECADE BUT THEY SAY
THEY'RE BEING PERSECUTED AS IF THEY WERE CHEATING SPENDTHRIFTS LIKE CHARLES
KEATING DAVID PAUL OR DON DIXON

MOST OF THOSE PRESENT SHIED FROM INDIVIDUAL PUBLICITY BECAUSE THE FEDS ARE
ON THE VERGE OF EITHER SETTLING WITH THEM OR FILING CHARGES FOR MOST A
SETTLEMENT TYPICALLY 10 OF THEIR NET WORTH IS THE SENSIBLE OPTION
GIVEN THE EXTRAORDINARY COSTS A MERE PROSPECT OF LITIGATION CAN EXACT

SOME DIDN'T SHRINK FROM THE LIMELIGHT BESIDES MR MORRIS THEY INCLUDED
ERNEST FLEISCHER AND JOHN SCOWCROFT WHOSE FRANKLIN SAVINGS OF KANSAS WAS
SHUT DOWN BY REGULATORS WHO DIDN'T APPROVE OF OR DIDN'T UNDERSTAND THEIR
NOVEL USE OF MORTGAGE SECURITIES TO HEDGE INTERESTRATE AND PREPAYMENT
RISKS UNLIKE MOST TAINTED THRIFT EXECUTIVES MR FLEISCHER HAS BEEN
SOLICITOUS OF PRESS INQUIRIES HE SAYS IT'S BECAUSE HE'S OBLIGED IN AN
INDUSTRY THAT IS PROVIDED TAXPAYER GUARANTEES TO ADDRESS PUBLIC CONCERNS

ANOTHER VOCAL PARTICIPANT WAS LAWRENCE SEIDMAN FORMER CHAIRMAN OF CRESTMONT
SAVINGS IN EDISON NJ HE WAS BANNED FROM BANKING AND FINED NEARLY 1
MILLION LATE LAST YEAR BY THE OFFICE OF THRIFT SUPERVISION WHICH ACCUSED
HIM OF DISHONESTY AND SELFDEALING MR SEIDMAN HAS ARGUED ALL ALONG THAT
ACTING AS A SIGNIFICANT INVESTOR HE RESCUED CRESTMONT BUT THAT REGULATORS
SOUGHT TO PREVENT THE VERY STEPS THAT DID SO

THE CONSENSUS WAS THAT TORQUEMADALIKE TALES OF PAST INTIMIDATION COULD BE A
LEVER TO REGAIN DUEPROCESS PROTECTIONS IN LAW SUCH CHANGES IF THEY CAME
SOON PERHAPS SLIPPED INTO BANKING LEGISLATION THIS YEAR MIGHT HELP THE
LEGAL POSITIONS OF SOME IN ST LOUIS BUT MORE IMPORTANT THEY COULD RELIEVE
SOME QUALMS OF THOSE RESISTING DIRECTORSHIP BIDS TODAY

AT THE SAME TIME MAKING HAY OF THE ENFORCEMENT EXPENSES COULD LEAD
OFFICIALS ONCE MORE TO CONSIDER THE SAVINGS FROM MERGING SUSPECT
INSTITUTIONS RATHER THAN CRIMINALIZING THEM THE STAGGERING COST INCLUDING
THE EFFECT ON LOCAL ECONOMIES FROM THE MISMANAGEMENT AND SUBSEQUENT
FIRESALE OF ACQUIRED ASSETS COULD HAVE BEEN MITIGATED IN A MORE RATIONAL
ENVIRONMENT EVEN BANKRUPTCY PROCEEDINGS WOULD HAVE BEEN BETTER

FINALLY A RETURN TO APPROPRIATE CONGRESSIONAL AND EXECUTIVE OVERSIGHT OF
AGENCIES SUCH AS THE RTC WAS PART OF THE MAY DAY CRY THAT MEANS LISTENING
TO CONSTITUENTS IN THE INDUSTRY WHO ARE BROWBEATEN WHILE TOLERATING THE
JUDGMENT OF REGULATORS WHO SEEK A WORKOUT INSTEAD OF A LAWSUIT RIGHT NOW
ONLY A FEW CONGRESSMEN JIM LEACH R IOWA WAS MENTIONED AS ONE HAVE
STUCK THEIR HEADS OUT OF THE BUNKER ON THIS ISSUE THERE WAS HOPE THAT THE
CLINTON ADMINISTRATION WOULD ACT TO RELAX THE REIGN OF TERROR BUT THOSE
ARE FADING

THE GRAND DESIGN IN THIS NASCENT CAMPAIGN THE INTRODUCTION OF INNOCENT
VICTIMS THE ACCOUNTING OF WASTEFUL LITIGATION THE LINKAGE TO A SLUGGISH
ECONOMY IS TO GIVE ELECTED OFFICIALS COVER TO APPROACH FINANCIAL
INSTITUTIONS WITH TEMPERANCE AGAIN INSTEAD OF USING THE REGULATORY CLUB AS
A DISTRACTION FROM THEIR OWN PAST OVERSIGHT SINS

BANKS AND THRIFTS ALWAYS DESERVED SCRUTINY THEY'VE ENJOYED TAXPAYERBACKED
INSURANCE WITH UNDULY LOW PREMIUMS AND OTHER POLITICAL DISPENSATIONS AND
THEY ASKED FOR TROUBLE NO EFFECTIVE INDUSTRY EFFORT WAS MADE ONCE
ROTTENNESS WAS EVIDENT IN THE '80S TO DISTINGUISH BETWEEN THE DECENT AND
DECADENT ESPECIALLY AMONG THE THRIFTS IT'S A LITTLE LATE TO GET UNTARRED

BUT EVEN IF MANY WERE TOO FAST AND LOOSE WITH REALESTATE LOANS AND
PURCHASES AND EVEN IF THOSE NOW UNDER THE GUN MADE A HANDSOME SUM WHILE
TIMES WERE GOOD THAT DOESN'T JUSTIFY THE SUSPENSION OF BASIC RIGHTS
INCLUDING EFFECTIVELY THAT OF FREE SPEECH IN THE AFTERMATH AT MR
MORRIS'S MAY DAY PARADE THEY CALLED IT MCCARTHYISM

THAT MEANS NOT JUST BEING HOUNDED OUT OF THRIFT MANAGEMENT BUT BLACKBALLED
BY THE GOVERNMENT WHEN YOU QUALIFIED FOR SUBSEQUENT FINANCIAL POSTS IT
MEANS BEING SHADOWED BY NEWLY DEPUTIZED REGULATORS YOU HAD PREVIOUSLY FIRED
OR BATTLED IN THE PRIVATE SECTOR IT MEANS BEING ASKED TO SIGN WAIVERS OF
STATUTES OF LIMITATIONS UNDER THREAT OF IMMEDIATE SUIT PLIED FOR PERSONAL
FINANCIAL DATA THAT WOULD THEN BE USED TO SEEK MORE DAMAGES FROM YOU AND
TARNISHED IN PROSECUTORIAL PRESS RELEASES WHILE BEING TOLD TO HUSH YOUR OWN
PRONOUNCEMENTS IN SELF DEFENSE

OVER THESE PAST FEW YEARS THE SUBJECTS OF THE INQUISITION HAVE HAD FEW
PLACES TO TURN FOR THE MOST PART FORMAL DEFENDERS OF INDIVIDUAL RIGHTS
INCLUDING THE PRESS HAVE TURNED A DEAF EAR TO PEOPLE THEY PRESUMED TO BE
GREEDY SCUM THE SPIRIT OF ST LOUIS WAS TO BE UNHEARD NO LONGER
9305040098 930504 SPORT SUPPLY GROUP EXPECTS RECORD SALES EARNINGS
AGAIN IN 1993

DALLAS SPORT SUPPLY GROUP INC EXPECTS RECORD REVENUE AND EARNINGS IN
1993 MICHAEL J BLUMENFELD CHAIRMAN SAID AT A MEETING OF THE NEW YORK
SOCIETY OF SECURITY ANALYSTS

IN 1992 SPORT SUPPLY A DIRECT MARKETER OF SPORTS EQUIPMENT REPORTED
EARNINGS OF 31 MILLION OR 80 CENTS A SHARE ON REVENUE OF 574 MILLION
EARNINGS AND REVENUE FIGURES WERE RECORDS MR BLUMENFELD DIDN'T SUPPLY MORE
SPECIFIC PROJECTIONS BUT ANALYSTS HAVE ESTIMATED THAT 1993 NET COULD TOTAL
FROM 105 TO 120 A SHARE

MR BLUMENFELD SAID THAT BOTH OF THE COMPANY'S PRIMARY BUSINESSES CONTINUE
TO EXPAND AND COMFORTABLY MEET PROJECTIONS THE COMPANY'S INSTITUTIONAL
SPORTS EQUIPMENT SEGMENT IS ENJOYING ITS HIGHEST GROWTH RATE IN FIVE YEARS
HE NOTED WHILE SALES IN THE COMPANY'S RETAIL AND MASS MERCHANT SEGMENT ARE
GROWING IN EXCESS OF 40 THE RETAIL SEGMENT RECENTLY ADDED SEARS ROEBUCK &
CO AND JC PENNEY CO TO ITS ACCOUNTS MR BLUMENFELD SAID

THE COMPANY ALSO RECENTLY ACQUIRED THE EXCLUSIVE INSTITUTIONAL NORTH
AMERICAN RIGHTS FOR THE MACGREGOR TRADEMARKS AND A LICENSE TO MANUFACTURE
AND DISTRIBUTE ARNOLD PALMER GOLF ACCESSORY LINES LAST WEEK THE COMPANY
HIRED A BUSINESS BROKER TO ASSIST IT IN MAKING ACQUISITIONS THE COMPANY HAS
SAID ITS GOAL IS TO ADD AS MUCH AS 20 MILLION IN REVENUE THROUGH
ACQUISITIONS THIS YEAR

SPORT SUPPLY ALSO SAID IT HAS APPLIED TO LIST ITS SHARES ON THE NEW YORK
STOCK EXCHANGE THE COMPANY'S STOCK CURRENTLY TRADES ON THE AMERICAN STOCK
EXCHANGE AND CLOSED IN COMPOSITE TRADING YESTERDAY AT 14 A SHARE
UNCHANGED 9305040097 930504 LETTERS TO THE EDITOR A GRASSROOTS
PARENTS' REVOLT

ARTHUR KROPP IS RIGHT IN HIS APRIL 29 COUNTERPOINT THE RELIGIOUS RIGHT'S
STEALTH CAMPAIGN WHEN HE NOTES THAT SO LONG AS PEOPLE TURN THEIR BACKS ON
THE PUBLIC SCHOOL SYSTEM THEY WILL BE BITTERLY REWARDED SO LONG AS VOTERS
DON'T VOTE PARENTS DON'T GO TO SCHOOL BOARD MEETINGS AND CITIZENS DON'T
STAND UP  THINGS WILL ONLY GET WORSE THAT DESCRIBES PERFECTLY THE
SITUATION THAT HAS EXISTED FOR A LONG TIME IN NEW YORK CITY'S PUBLIC
SCHOOLS AND TODAY'S ELECTION MARKS THE FIRST TIME IN A LONG TIME THAT
ORDINARY PARENTS NOT SOME CARICATURE OF POOR UNEDUCATED EASILY LED
RELIGIOUS FANATICS HAVE TAKEN A REAL INTEREST IN THE EDUCATION OF THEIR
CHILDREN

OF COURSE THERE ARE SOME RELIGIOUS EXTREMISTS THE PROBLEM IS THAT THERE ARE
ALSO SECULAR EXTREMISTS EXECUTING THEIR OWN STEALTH CAMPAIGNS WITH THEIR
OWN HIDDEN AGENDAS WHETHER IT'S APPROVING OF WAVING DENTAL DAMS AROUND IN
FIRST GRADE CLASSROOMS OR CONFUSING TOLERANCE WITH INDIFFERENCE AND EVEN
APPROBATION BY INCLUDING EXAMPLES OF ALTERNATE LIFESTYLES IN EVERY SUBJECT
THROUGHOUT THE SCHOOL DAY AS RECOMMENDED BY THE CHILDREN OF THE RAINBOW
CURRICULUM

JUST WHAT ARE THE BIGOTED BOOKBANNING CHILDSTARVING CREATIONIST
QUESTIONS ASKED BY THE RELIGIOUS ZEALOTS OF THE CHRISTIAN COALITION IN THEIR
VOTER GUIDE FOR THE SCHOOL BOARD ELECTIONS IN NEW YORK FOR SURELY READING
MR KROPP'S ARTICLE THEY ARE MONSTROUS QUESTIONS WE WOULD NEVER FIND PEOPLE
FOR THE AMERICAN WAY ASKING JUST FOR THE RECORD HOWEVER THESE ARE THE
QUESTIONS IN THE CHRISTIAN COALITION'S VOTER GUIDE

WHAT IS SO TERRIFYING TO MR KROPP TRUTH BE TOLD IS THAT WHAT WE ARE
WATCHING IS A TRUE GRASSROOTS PARENTS' REVOLT AGAINST AN ELITIST
BUREAUCRACY INTENT ON ROBBING THEM OF THEIR PARENTAL RIGHTS THE MEDIA OF
COURSE HAS DONE ITS BEST TO PRESENT THIS AS A CONCERTED CONSPIRACY OF THE
SOCALLED RELIGIOUS RIGHT READ DISPARAGINGLY WHITE LOWER MIDDLECLASS
BIGOTED RELIGIOUS FANATICS WHICH IS WHY MORE THAN 3000 BLACK AND HISPANIC
PARENTS ANGRY AND DISGUSTED RALLYING IN FRONT OF CITY HALL FOR AN ENTIRE
DAY SOMEHOW DIDN'T RATE IN ANY MAJOR NEW YORK NEWSPAPER AS NEWS THAT'S FIT
TO PRINT NOR DID THE VEHEMENT REJECTION OF THE RAINBOW CURRICULUM BY
DISTRICT 29 WHICH IS PREDOMINANTLY BLACK AND NO ATTENTION WHATSOEVER HAS
BEEN PAID TO THE THREE BOMBINGS OF THE CARS OF SCHOOL BOARD MEMBERS IN
DISTRICT 24 WHICH OPPOSED THE RAINBOW CURRICULM OR THE EXTREME HARASSMENT
OF DISTRICT 24 PRESIDENT MARY CUMMINGS BY THE LESBIAN AVENGERS WHO HAVE
CAMPED OUT ON HER LAWN AND FRONT PORCH

THE RELIGIOUS RIGHT MAY SHARE AN INTEREST IN PARENTS WANTING TO RECLAIM
THEIR RIGHTS AND PROTECT THEIR CHILDREN'S WELLBEING BUT THIS IS NO
CONSPIRACY THESE ARE ORDINARY AMERICANS OF ALL ETHNIC AND RELIGIOUS
BACKGROUNDS PARENTS OF EVERY STRIPE EXERTING THEIR RIGHTS IN THE AMERICAN
WAY 9305040096 930504 TECHNOLOGY & ENVIRONMENT ENVIRONMENTAL GROUPS
WILL BACK NAFTA IF ARBITRATION OF DISPUTES IS PERMITTED  BY BOB
DAVIS STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON AT LEAST SEVEN MAJOR ENVIRONMENTAL GROUPS PLAN TO ENDORSE THE
NORTH AMERICAN FREE TRADE AGREEMENT TODAY SO LONG AS THE ADMINISTRATION
NEGOTIATES SIDE DEALS THAT RELY ON PERSUASION AND ARBITRATION TO SETTLE
ENVIRONMENTAL DISPUTES

THE ENDORSEMENT REPRESENTS A SWITCH FOR SOME GROUPS AND WILL BOOST NAFTA
WHICH HAS BEEN UNDER ATTACK FROM A BROAD COALITION OF ENVIRONMENTAL AND
LABOR ACTIVISTS AND FACES A TOUGH FIGHT IN CONGRESS THE CLINTON
ADMINISTRATION HASN'T SAID IT WILL ACCEPT THE ENVIRONMENTALISTS' TERMS BUT
THEY ARE MILDER THAN THOSE SET BY PRESIDENT CLINTON DURING HIS CAMPAIGN AND
ARE ALONG THE LINES OF DEALS SOUGHT BY HIS TRADE NEGOTIATORS SINCE

ENVIRONMENTAL GROUPS PLAY AN IMPORTANT ROLE IN THE DEBATE BECAUSE THEY ARE
SEEN AS SUPPORTERS OF THE PUBLIC INTEREST ENVIRONMENTALISTS CAN PROVIDE
COVER FOR LAWMAKERS WHO WANT TO SUPPORT THE PACT BUT FEAR CRITICISM FROM
CONSTITUENTS THAT IT WILL UNDERMINE US POLLUTION LAWS

OUR HOPE IS TO REMOVE THE ENVIRONMENT AS AN ISSUE THAT COULD BLOCK
RATIFICATION SAID KEN BERLIN AN ATTORNEY AT WINTHROP STIMSON PUTNAM &
ROBERTS WHO IS DRAFTING THE ENDORSEMENT LETTER

THE GROUPS SIGNING ON TO THE LETTER ARE THE NATIONAL WILDLIFE FEDERATION
THE WORLD WILDLIFE FUND THE NATURE CONSERVANCY THE AUDUBON SOCIETY THE
ENVIRONMENTAL DEFENSE FUND THE NATURAL RESOURCES DEFENSE COUNCIL AND
DEFENDERS OF WILDLIFE THE SEVEN HAVE VARIED ENORMOUSLY IN THEIR ASSESSMENT
OF NAFTA'S ENVIRONMENTAL IMPACT WITH NRDC AT ONE POINT SHARPLY CRITICIZING
THE PACT WHILE THE NATIONAL WILDLIFE FEDERATION ENDORSED IT DEFENDERS OF
WILDLIFE HAS BEEN PART OF THE ANTINAFTA COALITION

BUT THE GROUPS WORKED ON A POSITION THAT REFLECTED THEIR CONCERNS IF THE
ADMINISTRATION PLAYS THE SUPPLEMENTAL AGREEMENTS RIGHT YOU COULD HAVE AN
ENVIRONMENTAL CONSTITUENCY IN FAVOR OF TRADE SAID STEWART HUDSON A TRADE
ANALYST AT THE NATIONAL WILDLIFE FEDERATION

ACCORDING TO THE JOINT POSITION THE ADMINISTRATION SHOULD NEGOTIATE A NORTH
AMERICAN COMMISSION ON THE ENVIRONMENT THAT COULD INVESTIGATE COMPLAINTS
THAT INDUSTRIES INVOLVED IN EXPORTS AREN'T MEETING ENVIRONMENTAL STANDARDS
THE COMMISSION COULD HAVE PUBLIC HEARINGS VISIT PLANTS AND MAKE
RECOMMENDATIONS FOR REMEDIATION

FOR INSTANCE IF MEXICO PERSISTENTLY IGNORED THE COMMISSION'S
RECOMMENDATIONS OR REQUESTS FOR INFORMATION THE US OR CANADA COULD
COMPLAIN TO A NAFTA DISPUTERESOLUTION PANEL WHICH WOULD ARBITRATE THE
COMPLAINT AS SANCTIONS THE PANEL GENERALLY WOULD REIMPOSE TARIFFS ON
SELECTED GOODS THAT EXISTED BEFORE THE TRADE PACT

JUSTIN WARD A TRADE ANALYST AT NRDC SAID IF THE JOINT POSITION WAS
ADOPTED NAFTA WOULD BECOME THE FIRST TRADE PACT WHERE LAX POLLUTION
STANDARDS COULD HAVE A SIGNIFICANT IMPACT ON TRADE AND ECONOMIC
COMPETITIVENESS

BUT THE PROPOSAL WAS AS SIGNIFICANT FOR WHAT IT DIDN'T DEMAND THE
COMMISSION FOR INSTANCE WOULDN'T HAVE THE AUTHORITY TO ISSUE SUBPOENAES
NOR WOULD IT HAVE THE ABILITY TO LEVY SANCTIONS AS SOME ENVIRONMENTALISTS
HAVE SOUGHT JOHN AUDLEY A TRADE ANALYST FOR THE SIERRA CLUB SAID HIS
GROUP DIDN'T BACK THE PLAN BECAUSE IT FALLS SHORT IN A NUMBER OF AREAS

DURING THE PRESIDENTIAL CAMPAIGN MR CLINTON ALSO SAID HE WOULD DEMAND A
COMMISSION WITH THE POWER TO PROVIDE REMEDIES INCLUDING MONEY DAMAGES AND
THE LEGAL POWER TO STOP POLLUTION BUT SINCE MR CLINTON TOOK OFFICE HIS
ADMINISTRATION HAS BEEN PUSHING A MUCH SOFTER POSITION BECAUSE OF FEARS THAT
TOUGHER ENFORCEMENT WOULD INFRINGE ON THE SOVEREIGNTY OF BOTH MEXICO AND THE
US

DURING A RECENT NEWS CONFERENCE MR CLINTON SAID WE'RE TRYING TO AGREE ON
AN APPROACH WHICH WOULD SAY THAT IF THERE IS A PATTERN OF VIOLATION THERE'S
GOING BE SOME ENFORCEMENT HE SAID THE US IS WORKING OUT THE DETAILS OF
THE PROPOSAL BUT THAT HE HASN'T MADE ANY FINAL DECISIONS 9305040095
930504 COMPUTERS INTEL MICROSOFT PHONE STANDARD FOR PCS IS SET 
 BY STEPHEN KREIDER YODER STAFF REPORTER OF THE WALL STREET JOURNAL

INTEL CORP AND MICROSOFT CORP WANT TO SET YET ANOTHER STANDARD FOR
PERSONAL COMPUTERS THIS TIME TO HELP PCS BECOME MORE TELEPHONE FRIENDLY

THE TWO COMPANIES PLAN TO ANNOUNCE TODAY A STANDARD CALLED WINDOWS TELEPHONY
THAT AIMS TO MAKE IT EASIER FOR SOFTWARE DEVELOPERS TO WRITE PC PROGRAMS
THAT CAN TAP INTO A WIDE RANGE OF TELEPHONE EQUIPMENT FROM LOCAL
BRANCHEXCHANGE GEAR TO CELLULARPHONE EXCHANGES

THE NEW STANDARD IS THE LATEST EXAMPLE OF HOW INTEL AND MICROSOFT ARE
INCREASINGLY USING THEIR DOMINANT MARKET POSITIONS TO AFFECT THE WAY THE
COMPUTER INDUSTRY OPERATES THE COMPANIES HAVE RECENTLY TEAMED UP TO
INTRODUCE STANDARDS FOR HOW PCS HANDLE VIDEO DATA AND TO CREATE A SYSTEM
THAT USES THEIR TECHNOLOGIES IN CABLECONVERTER BOXES FOR TELEVISION

CLEARLY IF WE WANT TO KEEP MOVING THE PC INDUSTRY FORWARD WE HAVE TO BE
PLAYING THAT STANDARDSETTING ROLE SAID PATRICK GELSINGER GENERAL MANAGER
OF INTEL'S BUSINESSCOMMUNICATIONS DIVISION INTEL AND MICROSOFT CAN
CHAMPION NEW STANDARDS BETTER THAN OTHER PLAYERS SAYS LEHMAN BROS ANALYST
DAVID READERMAN BECAUSE THEY ARE THE POWER BROKERS FOR DESKTOP COMPUTING

THE NEW TELEPHONY STANDARD WAS BORN TWO YEARS AGO IN INTEL'S SOFTWARE
LABORATORIES IN OREGON MICROSOFT JOINED IN THE DEVELOPMENT LAST YEAR AT
ITS FORMAL ANNOUNCEMENT TODAY 40 OTHER COMPUTER AND TELECOMMUNICATIONS
COMPANIES WILL ANNOUNCE THEIR SUPPORT FOR THE STANDARD

AMONG THEM LOTUS DEVELOPMENT CORP COMPAQ COMPUTER CORP DIGITAL
EQUIPMENT CORP U S WEST INC'S U S WEST COMMUNICATIONS UNIT NORTHERN
TELECOM LTD AND SIEMENS AG

THE TELEPHONY STANDARD SEEKS TO CURE A TOUGH HURDLE FOR SOFTWARE DEVELOPERS
WITH NO SINGLE STANDARD IN EXISTENCE THE WRITER OF A PIECE OF SOFTWARE THAT
NEEDS TO DIAL UP AND USE A TELEPHONE LINE MUST EITHER BE SATISFIED TO ADAPT
IT TO A SINGLE PHONE SYSTEM OR WRITE DOZENS OF SEPARATE INTERFACES IN THE
SOFTWARE SO IT CAN TAP INTO MANY DISPARATE SYSTEMS

IT'S A BIG LIMITING FACTOR NOT TO HAVE A STANDARD SAID KAREN HARGROVE
GENERAL MANAGER OF DIGITALOFFICE SYSTEMS AT MICROSOFT NOT HAVING A
STANDARD INTEL AND MICROSOFT SAY WOULD SLOW THE PACE AT WHICH PC USERS
BEGIN TO MOVE TOWARD NEW APPLICATIONS THAT HEAVILY USE THE TELEPHONE SYSTEM
TO EXCHANGE DATA

SOFTWARE DEVELOPERS WRITING TO THE WINDOWS TELEPHONY STANDARD WOULD WRITE TO
A SINGLE INTERFACE THAT RUNS ON MICROSOFT'S POPULAR WINDOWS OPERATING
SYSTEM LIKEWISE MAKERS OF BRANCHEXCHANGE EQUIPMENT CELLULARSWITCHING
EQUIPMENT DIGITAL TELEPHONE SWITCHES AND THE LIKE WOULD INCLUDE SOFTWARE
WITH THEIR EQUIPMENT AND SERVICES THAT WOULD CONFORM TO THE WINDOWS
TELEPHONY STANDARD

THUS ANY SOFTWARE WRITTEN TO THE TELEPHONY STANDARD WOULD BE ABLE TO USE
ANY TELECOMMUNICATIONS SERVICE COMPLYING WITH THE STANDARD THE COMPANIES
EXPECT THE STANDARD TO ALLOW PCS TO MORE EASILY OFFER USERS SERVICES SUCH AS
TELECONFERENCING TO MORE EASILY EXCHANGE DATA SUCH AS VIDEO SIGNALS AND TO
BEGIN DOING MANY OF THE FUNCTIONS A TELEPHONE USER NOW DOES MANUALLYSETTING
UP CONFERENCE CALLS OR DIALING TELEPHONE NUMBERS FROM A DATABASE FOR
EXAMPLE

THERE ARE ENOUGH PHONES CONNECTED TO PCS TODAY AND ENOUGH APPLICATIONS THAT
WOULD BENEFIT AND ENOUGH TELEPHONE SERVICES THIS PROVIDES THE MISSING
LINK SAID INTEL'S MR GELSINGER WITHOUT THIS THE MARKET FOR TELEPHONY
CAPABILITIES WOULD STAGNATE WHILE THE MARKET SLOWLY SET A DE FACTO
STANDARD

MICROSOFT'S MS HARGROVE SAID PRODUCTS COMPLYING WITH THE STANDARD ARE
EXPECTED TO BE AVAILABLE STARTING THIS FALL INTEL'S MR GELSINGER SAID
INTEL WILL BEGIN SELLING PC PRODUCTS USING THE STANDARD SUCH AS ADDIN
BOARDS THAT ALLOW PC USERS TO HOLD CONFERENCES EXCHANGING AUDIO VIDEO AND
COMPUTER DATA LOTUS SAID IN A RELEASE THAT IT PLANS TO USE THE STANDARD IN
CERTAIN SOFTWARE APPLICATIONS WHILE NORTHERN TELECOM SAID IT WOULD SUPPORT
THE STANDARD IN CERTAIN TELECOMMUNICATIONS PRODUCTS

SEPARATELY MICROSOFT IS EXPECTED TO ANNOUNCE TODAY THAT IT WILL OFFER
SOFTWARE TECHNOLOGIES THAT MAKE IT POSSIBLE FOR WINDOWS APPLICATIONS TO RUN
ON OTHER OPERATING SYSTEMS SUCH AS UNIX AND APPLE COMPUTER INC'S MACINTOSH
OPERATING SYSTEM

UNDER THE PROGRAM MICROSOFT WILL PROVIDE SOFTWARE THAT LETS MAKERS OF UNIX
OPERATING SYSTEMS BUILD INTO THEIR UNIX VERSIONS THE CAPABILITY OF RUNNING
STANDARD WINDOWS PROGRAMS MICROSOFT ALSO WILL PERMIT CERTAIN DEVELOPERS TO
USE ITS SOCALLED APPLICATIONSPROGRAMMING INTERFACES WHICH WILL MAKE IT
EASIER FOR THEM TO WRITE PROGRAMS THAT RUN ON WINDOWS AND THE MACINTOSH
9305040094 930504 MARKETING & MEDIA CHALLENGES TO CABLE RATES CAN BE
FILED IN 2 MONTHS

WASHINGTON CONSUMERS AND LOCAL REGULATORS CAN START FILING COMPLAINTS
ABOUT CABLE TELEVISION RATES IN ABOUT TWO MONTHS AND RATE ROLLBACKS COULD
BEGIN SHOWING UP IN CABLE BILLS THIS FALL UNDER LONGAWAITED FEDERAL
COMMUNICATIONS COMMISSION RULES

DEADLINES AND PROCEDURES FOR ESTABLISHING CABLE RATES AND FILING COMPLAINTS
WERE DETAILED IN A 500PAGE 1450FOOTNOTE DOCUMENT BUT THE COMMISSION
YESTERDAY PUBLICLY RELEASED ONLY A 30PAGE EXECUTIVE SUMMARY ALONG WITH
INSTRUCTIONS AND WORKSHEETS THAT CABLE COMPANIES CAN USE TO FIGURE OUT THEIR
MAXIMUM RATES

TABLES ACCOMPANYING THE WORKSHEETS INDICATE A WIDE RANGE OF ALLOWABLE RATES
FOR SYSTEMS WITH 10000 SUBSCRIBERS OR MORE THE BENCHMARK PRICE PER CHANNEL
VARIES FROM 2516 FOR SYSTEMS WITH ONLY FIVE REGULATED SATELLITE CHANNELS
TO 176 CENTS FOR THOSE WITH 100 BROADCAST CHANNELS RATES FOR PAYPERVIEW
AND PREMIUM CHANNELS AREN'T REGULATED

THE COMMISSION FIGURES THAT ITS NEW RULES ADOPTED APRIL 1 WILL LEAD TO A
10 CUT IN CABLE RATES NATIONWIDE THE FCC HAS ESTIMATED THAT 75 OF THE
NATION'S 11000 CABLE SYSTEMS WILL BE REQUIRED TO CUT RATES AND ROLLBACKS
WILL TOTAL ABOUT 1 BILLION 9305040093 930504 PRICING HEALTH CARE CURE
FOR SMALL BUSINESS'S HEALTHCARE ILLS  BY MONICA LANGLEY

ONE OF THE LATEST LEAKS ABOUT THE CLINTON HEALTHCARE PLAN IS THAT IT WILL
LET THE NATION'S BIG COMPANIES SERVE AS THEIR OWN INSURERS AND STAY OUTSIDE
THE CLINTONS' MANAGEDCARE INSURANCE POOLS THAT'S WELCOME NEWS BECAUSE IT
ALLOWS THOSE COMPANIES TO DIRECT THEIR OWN BUDGETS INSTEAD OF FORCING THEM
INTO A GOVERNMENT PROGRAM BUT SMALL AND MEDIUMSIZED BUSINESSES APPEAR TO
REMAIN INSIDE THE SCOPE OF THE CLINTONS' PLANS THESE BUSINESSES FEAR THE
CLINTONS WILL BACK A LAW REQUIRING THEM TO COVER EVERY ONE OF THEIR
EMPLOYEES AND PAY FOR IT FOR SUCH BUSINESSES THE CLINTONS COULD DO A
SECOND FAVOR GIVE THEM A TAX CREDIT FOR INSURING THEIR EMPLOYEES

THE ISSUE OF HEALTH INSURANCE AT SMALL AND MEDIUMSIZED BUSINESSES IS AT THE
CORE OF OUR NATIONAL HEALTHINSURANCE PROBLEM THESE BUSINESSES OFTEN HAVE
DIFFICULTY PURCHASING HEALTH INSURANCE OR PAY UP TO 20 MORE FOR IT THAN
BIG BUSINESS RATHER THAN BEAR THOSE PROHIBITIVE COSTS MANY COMPANIES
CHOOSE TO INSURE ONLY PARTIALLY OR NOT AT ALL AN ESTIMATED TWOTHIRDS OF
THE 37 MILLION UNINSURED IN THE US WORK FOR OR ARE DEPENDENTS OF PEOPLE
WHO WORK FOR SMALL BUSINESSES AN INDICATION THAT AFFORDABLE INSURANCE
DECREASES ALONG WITH BUSINESS SIZE IS THAT IN 1990 ONLY 27 OF FIRMS WITH
FEWER THAN 10 EMPLOYEES OFFERED HEALTH BENEFITS WHILE 98 OF FIRMS WITH
MORE THAN 100 WORKERS PROVIDED SUCH INSURANCE

FOR MANY SMALL AND MEDIUMSIZED COMPANIES THE COST OF HEALTH COVERAGE FOR
THEIR EMPLOYEES IS A LARGE PART OF OVERHEAD AND IS OFTEN LARGER THAN THEIR
OPERATING PROFITS

SOME EXAMPLES FROM MY EXPERIENCE ONE COMPANY I REPRESENT AS AN ATTORNEY HAS
21 FULLTIME EMPLOYEES AND PAYS ABOUT 58000 IN HEALTH INSURANCE PREMIUMS
EACH YEAR THIS ADDS 13 TO ITS PAYROLL COSTS ANOTHER CLIENT BUSINESS PAYS
MORE THAN 56000 IN INSURANCE PREMIUMS FOR 18 EMPLOYEES AT A COST OF
3135 PER EMPLOYEE FOR LOWERSALARIED EMPLOYEES THIS COMPANY SPENDS AN
AMOUNT EQUAL TO 24 OF THEIR SALARIES TO PROVIDE HEALTH INSURANCE

BUSINESSES SUCH AS THESE WANT TO DO THE RIGHT THING BUT THEY FREQUENTLY
COME TO ME ABOUT THEIR OBLIGATIONS TO CONTINUE COVERAGE AS INSURANCE COSTS
ESCALATE IN OUR SOCIETY WHAT WE CALL INSURANCE IS NO LONGER INSURANCE
THE HEALTH OF A SINGLE EMPLOYEE CAN DRAMATICALLY AFFECT THE RATES A COMPANY
PAYS THE BUSINESSES KNOW THEY MAY HAVE INSURANCE NOW BUT THEIR PREMIUMS
FOR NEXT YEAR CAN DOUBLE IF ONE EMPLOYEE GETS VERY SICK ONE SMALL BUSINESS
I REPRESENT EMPLOYS A WOMAN WHO HAD A SPINA BIFIDA BABY NEEDLESS TO SAY
THE BUSINESS'S INSURANCE PREMIUMS SKYROCKETED

IF HEALTH INSURANCE IS MANDATED SOME OF MY CLIENTS AND OTHERS LIKE THEM
WILL HAVE TO LAY OFF EMPLOYEES OR CLOSE IN PARTICULAR THE RELATIVELY HIGH
COST OF INSURANCE FOR LOWERSALARIED EMPLOYEES IS A SUBSTANTIAL DISINCENTIVE
TO HIRING LESSSKILLED WORKERS ON A FULLTIME BASIS ALREADY BUSINESSES HAVE
TURNED TO HIRING CONTRACT OR TEMPORARY WORKERS FOR WHOM THEY DON'T HAVE TO
PROVIDE BENEFITS TO CUT COSTS SUCH A RESULT CLEARLY RUNS COUNTER TO THE
PRESIDENT'S MUCHTOUTED PLANS TO CREATE JOBS

FOR MY CLIENTS THE BEST SOLUTION WOULD BE A TAX CREDIT THEY WOULD RECEIVE
WHENEVER THEY PROVIDE THEIR EMPLOYEES WITH HEALTH INSURANCE THIS CREDIT
WOULD REPLACE THE CURRENT BUSINESS DEDUCTION FOR INSURANCE PREMIUMS IT
WOULD WIDEN THE TAX BREAK ENOUGH TO MAKE IT WORTH IT FOR BUSINESSES TO COVER
EMPLOYEES BESIDES HANDING MORE MONEY BACK TO BUSINESSES THE TAX CREDIT HAS
A SECOND ADVANTAGE OVER THE DEDUCTION IT IS NOT REGRESSIVE DEDUCTIONS ARE
 THEY PROVIDE GREATER COMPENSATION TO BUSINESSES IN HIGHER BRACKETS AND
SO HELP BIGGER COMPANIES MORE

HERE'S HOW A HEALTHCARE TAX CREDIT WOULD WORK COMPANIES COULD SUBTRACT A
CERTAIN SHARE SAY 50 OF HEALTHINSURANCE COSTS FROM THEIR FEDERAL TAX
BILL TAKE A BUSINESS WITH A 15 MILLION PAYROLL THAT PAYS AN ANNUAL
INSURANCE PREMIUM OF 135000 OR 9 OF PAYROLL A TAX CREDIT FOR 50 OF THE
INSURANCE COST WOULD PRODUCE A TAX SAVINGS OF 67500 MINUS THE
BUSINESSEXPENSE DEDUCTION COMPANIES NOW TAKE SUCH A SAVINGS MIGHT PERMIT
A BUSINESS TO HIRE AN ADDITIONAL EMPLOYEE

THE HEALTHINSURANCE TAX CREDIT WOULD NOT HAVE TO BE PERMANENT IT COULD RUN
FOR A FEW YEARS WHILE THE FEDERAL GOVERNMENT ATTEMPTS TO LOWER MEDICAL
COSTS AND INSTITUTE SOME TYPE OF NATIONAL HEALTHCARE POLICY ASSUMING THE
CLINTONS' NATIONAL POLICY IS SUCCESSFUL EMPLOYEE HEALTH INSURANCE WOULD BE
MORE AFFORDABLE FOR ALL BUSINESSES IT WOULD COST THE GOVERNMENT LESS IN
LOST REVENUES AND BE MORE POLITICALLY PALATABLE IF IT IS LIMITED TO
SMALL AND MEDIUMSIZED BUSINESSES THE CLINTON ADMINISTRATION HAS BACKED
OTHER FORMS OF TAX CREDIT THE INVESTMENT TAX CREDIT FOR EXAMPLE IF IT
TRIES THIS ONE IT MAY ACHIEVE ITS MOST TOUTED GOAL CREATING JOBS

MS LANGLEY A FORMER JOURNAL REPORTER IS AN ATTORNEY IN KNOXVILLE TENN
9305040092 930504 LETTERS TO THE EDITOR A RISK TO CHALLENGING 
POWERFUL SCIENTISTS

IN REGARD TO DR BD DAVIS'S APRIL 26 EDITORIAL PAGE ARTICLE THE NEW
INQUISITORS WHILE I AM NOT A PROFESSOR EMERITUS YET I HAVE BEEN ENGAGED
IN SCIENCE LONG ENOUGH SOME 30 YEARS TO REALIZE THAT HIS ARTICLE
UNFORTUNATELY DOES NOT REFLECT THE REALITY BUT DESCRIBES A UTOPIAN
IDEALIZED IMAGE OF THE SCIENTIFIC COMMUNITY CONCERNING HIS EXAMPLE OF DR
DAVID BALTIMORE VS LAB SCIENTIST MARGOT O'TOOLE I DO NOT WISH TO EXPRESS
AN OPINION ABOUT WHO IS RIGHT BECAUSE I DO NOT PRESUME TO KNOW ALL THE
DETAILS OF THE CASE HOWEVER I DO KNOW ONE THING MARGOT O'TOOLE WAS NOT
GIVEN THE OPPORTUNITY TO WORK FOR SETTLING ARGUMENTS BY FURTHER EVIDENCE
RATHER THAN BY RECRIMINATIONS AND POLITICAL INQUISITIONS AS HE SUGGESTS IS
PROPER MS O'TOOLE AFTER RAISING THE ISSUE LOST HER JOB AND TOOK A JOB AS
A TELEPHONE SWITCHBOARD OPERATOR HER ACADEMIC CAREER WAS IMMEDIATELY AND
FOREVER RUINED AFTER SEVERAL YEARS SHE DID GET A JOB IN A BIOTECHNOLOGY
FIRM

HER CASE IS NOT UNIQUE THE PRICE OF ANY CONFRONTATION WITH POWERFUL
ESTABLISHED FIGURES IN SCIENCE IS SO HIGH THAT IT STIFLES THE SCIENTIFIC
COMMUNITY IT ACTUALLY IN SOME CASES HINDERS PROGRESS PERPETUATES
MISCONCEPTIONS AND FREEZES THE WAYS OF THINKING AROUND OLD IDEAS THAT
SCIENTISTS PERCEIVE AS TOO RISKY TO CHALLENGE CHALLENGING THE POWERFUL
TAKES COURAGE DETERMINATION AND DEDICATION MARGOT O'TOOLE HAD THESE
QUALITIES THESE ARE QUALITIES WHICH UNFORTUNATELY ONE DOES NOT ENCOUNTER
OFTEN IN THE SCIENTIFIC COMMUNITY 9305040090 930504 TECHNOLOGY &
ENVIRONMENT MICROSOFT COFOUNDER ALLEN MAY TRY TO BUY AMERICA ONLINE
SEC DATA SHOW  BY STEPHEN KREIDER YODER STAFF REPORTER OF THE WALL
STREET JOURNAL

PAUL G ALLEN THE SECRETIVE BILLIONAIRE COFOUNDER OF MICROSOFT CORP HAS
LAUNCHED A SURPRISE OFFENSIVE AGAINST AMERICA ONLINE INC BY FILING
DOCUMENTS WITH FEDERAL REGULATORS SAYING HE MAY SEEK TO ACQUIRE THE FIRM

MR ALLEN IS THE LARGEST SHAREHOLDER OF THE VIENNA VA COMPANY A PROVIDER
OF TELECOMMUNICATIONS SERVICES FOR PERSONAL COMPUTERS HIS FILING APPEARS TO
REVERSE HIS RECENT PUBLIC STANCE TOWARD AMERICA ONLINE IN AN INTERVIEW WITH
THE WALL STREET JOURNAL LAST WEEK MR ALLEN'S FINANCIAL ADVISER WILLIAM
SAVOY SAID MR ALLEN DIDN'T PLAN TO ASK FOR A BOARD SEAT OR INCREASE HIS
INFLUENCE IN ANY OTHER WAY

BUT IN A NEW FILING WITH THE SECURITIES AND EXCHANGE COMMISSION MR ALLEN
SAID HE MAY SEEK TO ACQUIRE AMERICA ONLINE IN A TENDER OFFER ASSET
ACQUISITION MERGER OR OTHER BUSINESS COMBINATION THE FILING ALSO SAID MR
ALLEN WHO NOW OWNS JUST UNDER 25 OF THE FIRM'S STOCK MAY ALSO SEEK A
BOARD SEAT

IN OVERTHECOUNTER TRADING YESTERDAY AMERICA ONLINE CLOSED AT 3050 UP
425

MR ALLEN'S SUDDEN TURNABOUT IS APPARENTLY RELATED TO HIS CONCERNS OVER
AMERICA ONLINE'S ADOPTION LAST MONTH OF A SHAREHOLDERRIGHTS PLAN THAT WOULD
BE TRIGGERED SHOULD AN INVESTOR EXCEED A 25 STAKE CERTAIN RECENT EVENTS
DISCUSSED BELOW IN PARTICULAR THE ADOPTION BY THE ISSUE OF A
SHAREHOLDERRIGHTS PLAN HAVE CAUSED ALLEN TO RECONSIDER HIS INTENT TO
CONTINUE TO BE SOLELY A PASSIVE INVESTOR THE SEC FILING SAID MR ALLEN
SAID IN THE FILING THAT AMERICA ONLINE WON'T GIVE HIM A COPY OF THE
SHAREHOLDER RIGHTS PLAN

MR ALLEN'S MOTIVES AREN'T CLEAR HOSTILE TAKEOVERS OF HIGHGROWTH
TECHNOLOGY COMPANIES ARE VERY RARE AND AMERICA ONLINE HAS SOME POWERFUL
SHAREHOLDERS WHO MIGHT RESIST INCLUDING TRIBUNE CO AND EQUITABLE COS

IT'S ALSO UNCLEAR HOW AMERICA ONLINE WOULD FIT INTO MR ALLEN'S HOLDINGS
WHICH INCLUDE ASYMETRIX CORP A BELLEVUE WASH MAKER OF PROGRAMS USED FOR
DEVELOPING MULTIMEDIA AND OTHER SOFTWARE INTERVAL RESEARCH A PALO ALTO
CALIF RESEARCH LAB AND STAKES IN SEVERAL OTHER SMALL TECHNOLOGY VENTURES
THE 40YEAROLD MR ALLEN WHO LEFT MICROSOFT IN 1983 STILL HOLDS 3
BILLION IN MICROSOFT STOCK HE ALSO OWNS THE PORTLAND TRAILBLAZERS
BASKETBALL TEAM AND HE IS ESTABLISHING A JIMI HENDRIX MUSEUM IN SEATTLE

MR ALLEN FAMOUS FOR AVOIDING CONTACT WITH THE PRESS DIDN'T RESPOND TO
REQUESTS FOR INTERVIEWS CALLS WERE REFERRED TO MR SAVOY WHOSE ASSISTANT
SAID MR SAVOY WON'T BE ABLE TO COMMENT TODAY

STEPHEN CASE AMERICA ONLINE'S PRESIDENT DECLINED TO SPECULATE ON THE
MOTIVES BEHIND MR ALLEN'S LATEST SEC FILING ALTHOUGH THERE HAVE BEEN
INTERMITTENT DISCUSSIONS BETWEEN MR ALLEN AND AMERICA ONLINE ABOUT
POSSIBLE COLLABORATION AMERICA ONLINE CONSIDERS MR ALLEN JUST AN
INVESTOR SAID MR CASE

MR CASE SAID THE COMPANY'S SHAREHOLDERRIGHTS PLAN HAD BEEN UNDER
DISCUSSION FOR SOME TIME AND WASN'T RELATED TO MR ALLEN'S GROWING STAKE IN
THE COMPANY WE'VE BUILT THIS COMPANY BY ESTABLISHING STRATEGIC ALLIANCES
WITH A WIDE RANGE OF COMPANIES AND WE BELIEVE IT'S THE BEST STRATEGY FOR
THE COMPANY TO REMAIN INDEPENDENT SAID MR CASE

MR ALLEN HAD MADE AN EARLIER FILING WITH THE SEC LAST WEEK SAYING HE HELD
A 252 STAKE IN AMERICA ONLINE THAT FIGURE PROVED INCORRECT HIS STAKE IS
JUST UNDER 25 ACCORDING TO AMERICA ONLINE IN THE LATEST FILING MR ALLEN
SAID HE HAS BEEN IN DISCUSSIONS WITH AMERICA ONLINE CONCERNING HIS
INVESTMENT IN THE COMPANY BUT AMERICA ONLINE'S MR CASE WOULDN'T SAY
WHETHER SUCH DISCUSSIONS OCCURRED 9305040089 930504 STEEL GROUPS IN
CANADA US TO MERGE OPERATIONS

BOSTON AMID RISING TRADE TENSION BETWEEN THE US AND CANADIAN STEEL
INDUSTRIES THE TWO NATIONS' ASSOCIATIONS OF STEEL SERVICE CENTERS HAVE
AGREED TO BURY THE HATCHET AND MERGE MOST OF THEIR FUNCTIONS

HERE AT THE ANNUAL MEETING OF THE STEEL SERVICE CENTER INSTITUTE A US
GROUP WITH ABOUT 380 MEMBERS THE BOARDS OF THE TWO ORGANIZATIONS AGREED TO
MERGE THE 40MEMBER CANADIAN STEEL SERVICE CENTER INSTITUTE THIS JULY INTO
ITS LARGER COUSIN TO THE SOUTH US AND CANADIAN STEEL PRODUCERS HAVE LONG
MET TOGETHER AT THE AMERICAN IRON & STEEL INSTITUTE AND OFFICIALS OF THE
SERVICE CENTER GROUPS SAY MEMBERS WILL BENEFIT FROM ECONOMIES OF SCALE IN
TRAINING AND ADMINISTRATIVE FUNCTIONS

THOSE BENEFITS AREN'T SO CLEAR WHEN IT COMES TO LOBBYING ON TRADE POLICY
MATTERS HOWEVER SO THE CANADIAN ASSOCIATION WILL RETAIN ITS OWN OFFICE TO
DEAL WITH TRADE AND OTHER GOVERNMENT ISSUES STEEL PRODUCERS IN THE TWO
COUNTRIES HAVE BEEN ACCUSING EACH OTHER OF DUMPING AND WHILE THE TRADE
DEBATE HASN'T BEEN SO HEATED AMONG STEEL SERVICE CENTERS WE AGREED THAT IT
MADE SENSE TO RUN THE GOVERNMENT SIDE AS A SEPARATE ENTITY SAID ANDREW
SHARKEY PRESIDENT OF THE US GROUP 9305040088 930504 CLINTON IS SEEKING
 EXPERIENCED AIDE TO DISCIPLINE STAFF  BY MICHAEL K FRISBY 
STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON PRESIDENT CLINTON IS PLOTTING HIS FIRST INTERNAL SHAKEUP AND
IS QUIETLY SEARCHING FOR A TOUGHMINDED AIDE WHO CAN ADD DISCIPLINE TO HIS
YOUNG AND INEXPERIENCED WHITE HOUSE STAFF

ADMINISTRATION OFFICIALS SAID CHIEF OF STAFF THOMAS MACK MCLARTY SOON IS
LIKELY TO HIRE A DEPUTY WHO WOULD HAVE BROAD AUTHORITY AND ADD MORE SAVVY
TO THE OUTFIT IN THE WAKE OF THE FAILED STIMULUS PACKAGE DEMOCRATS ON
CAPITOL HILL PRIVATELY HAVE BEGUN CALLING THE PRESIDENT'S STAFF THE
CHILDREN AND URGED THAT MORE HEAVIES BE ADDED TO THE TEAM

THE LACK OF DISCIPLINE BY THE PRESIDENT AND HIS STAFF HAS CONTRIBUTED TO
MANY OF THEIR PROBLEMS IN THE FIRST 100 DAYS AND THE PRESIDENT HAS BEEN
URGED TO STRENGTHEN HIS STAFF BEFORE HE TACKLES COMING BATTLES OVER
HEALTHCARE REFORM HIS BUDGET AND CAMPAIGN FINANCE REFORM BUDGET DIRECTOR
LEON PANETTA'S CRITICAL OUTBURST LAST WEEK URGING THE PRESIDENT TO FOCUS ON
HIS PRIORITIES ONLY REINFORCED THE NEED FOR DISCIPLINE

MOREOVER THOSE ANALYZING THE PRESIDENT'S FIRST 100 DAYS HAVE NOTED THAT HE
HAS MISSED THE GRIT OF HAROLD ICKES A NEW YORK ATTORNEY AND FORMER CLINTON
CAMPAIGN AIDE WHO DIDN'T JOIN THE ADMINISTRATION AFTER SOME NEWS REPORTS
ALLEGED THAT HE HAD TIES TO A UNION LINKED TO ORGANIZED CRIME

THE DREAM LIST OF POTENTIAL CANDIDATES IS SAID TO INCLUDE A NUMBER OF
EXPERIENCED WASHINGTON HANDS AMONG THEM ARE KIRK O'DONNELL WHO WAS THE TOP
AIDE TO FORMER HOUSE SPEAKER THOMAS P O'NEILL WALLY CHALMERS A FORMER
CHIEF OF STAFF AT THE DEMOCRATIC NATIONAL COMMITTEE AND DONALD SWEITZER A
DEMOCRATIC STRATEGIST WITH STRONG LABOR TIES SEVERAL PEOPLE WITHIN THE
ADMINISTRATION ARE ALSO SAID TO BE UNDER CONSIDERATION BUT IT IS UNCLEAR
WHETHER THE WHITE HOUSE HAS BEGUN THE INTERVIEW PROCESS OR IS STILL DEFINING
THE NEW JOB

MR CLINTON ALREADY HAS MADE SOME CHANGES FOR MORE THAN A WEEK THE
PRESIDENT HAS HELD DAILY POLITICAL MEETINGS WITH RAHM EMANUEL HIS POLITICAL
DIRECTOR AND A HOST OF OUTSIDE CONSULTANTS INCLUDING MANDY GRUNWALD STAN
GREENBERG AND JAMES CARVILLE AS WELL AS AL FROM THE PRESIDENT OF THE
DEMOCRATIC LEADERSHIP COUNCIL

IN ADDITION WHITE HOUSE HANDS EXPECT THAT COMMUNICATIONS DIRECTOR GEORGE
STEPHANOPOULOS WILL SOON UNLOAD SOME OF HIS MEDIARELATED DUTIES TO DEE DEE
MYERS THE PRESS SECRETARY AND CONCENTRATE MORE ON STRATEGIC PLANNING

AND HARRY THOMASSON THE TELEVISION PRODUCER AND FRIEND TO THE FIRST FAMILY
WAS IN THE WHITE HOUSE LAST WEEK TALKING TO THE COMMUNICATIONS AND
POLITICAL TEAMS ABOUT HOW TO IMPROVE THE PRESIDENT'S IMAGE AND CONTRIVE A
MESSAGE FOR THE ADMINISTRATION THAT WILL DISPEL COMPLAINTS THAT IT HAS BEEN
RUDDERLESS

IT IS EXPECTED HOWEVER THAT WHEN MR CLINTON MAKES MORE CHANGES IT WILL
BE DONE QUIETLY WITH SOME PEOPLE RETAINING THEIR TITLES BUT FINDING THEIR
RESPONSIBILITIES GIVEN TO OTHERS 9305040087 930504 LABOR LETTER A
SPECIAL NEWS REPORT ON PEOPLE AND THEIR JOBS IN OFFICES FIELDS AND
FACTORIES  BY CHRISTOPHER CONTE

JAPAN'S JOBLESSNESS IS HIGHER THAN IT SEEMS A LABOR DEPARTMENT STUDY FINDS

IN 1989 THE US UNEMPLOYMENT RATE WAS 53 COMPARED WITH 22 FOR JAPAN
BUT COUNTING WORKERS WHO CAN FIND ONLY PARTTIME JOBS AND DISCOURAGED
PEOPLE WHO HAVE GIVEN UP LOOKING FOR WORK THE US FIGURE WAS 79 JAPAN'S
72 ECONOMIST CONSTANCE SORRENTINO SAYS JAPANESE WOMEN ARE MUCH MORE
LIKELY THAN AMERICAN WOMEN TO DROP OUT OF THE LABOR FORCE AND THUS NOT BE
COUNTED BY THE STANDARD UNEMPLOYMENT MEASURE IN HARD TIMES

THE ANALYSIS IN THE MONTHLY LABOR REVIEW SAYS THE US CONSISTENTLY RANKS
BELOW SWEDEN AND JAPAN BY VARIOUS UNEMPLOYMENT MEASURES BUT GENERALLY
OUTPERFORMS OTHER EUROPEAN COUNTRIES AND CANADA MORE EXPERIENCED WORKERS
ARE JOBLESS IN THE US THAN IN EUROPE OR JAPAN BUT LONGTERM UNEMPLOYMENT
IS HIGHER IN EUROPEAN COMMUNITY COUNTRIES

SWEDEN'S 14 UNEMPLOYMENT RATE JUMPS TO 73 WHEN PARTTIMERS DISCOURAGED
WORKERS AND JOBLESS PEOPLE ENROLLED IN TRAINING PROGRAMS ARE COUNTED

PAY BONUS SMALL FIRMS ACTUALLY IMPROVE THE US WAGE PICTURE

A COGNETICS INC STUDY DEBUNKS FEARS THAT THE US IS BECOMING A NATION OF
HAMBURGER FLIPPERS BETWEEN 1987 AND 1992 THE CAMBRIDGE MASS ECONOMIC
RESEARCH FIRM SAYS FIRMS WITH FEWER THAN 100 EMPLOYEES ADDED A NET
5864000 JOBS OF WHICH 85 PAID AVERAGE OR BETTER WAGES DURING THE SAME
PERIOD LARGE FIRMS LOST A NET 2320000 JOBS AND 96 OF THEM WERE
HIGHPAYING

THE STRONGER JOBCREATING PERFORMANCE OF SMALL COMPANIES WHICH ISN'T
UNUSUAL FOR A SLACK PERIOD WAS LARGELY CONCENTRATED IN JUST 5 TO 10 OF
ALL BUSINESSES SOME 4 ACCOUNTED FOR 70 OF ALL JOB GROWTH DURING THE
PERIOD THE HIGHLY SUCCESSFUL COMPANIES WERE FOUND IN ALL SECTORS NOT
JUST HOT AREAS LIKE HIGH TECH WHICH REPRESENTED ONLY 25 OF THE TOP
PERFORMERS

FIGHTING TECHNOSTRESS EXERCISE AND VARIETY EASE COMPUTERRELATED TENSION

TEXAS SOFTWAREMAKER MICROGRAFX ALLOWS EMPLOYEES TO WORK FLEXIBLE HOURS
DRESS HOW THEY WANT AND USE A COMPANY HEALTH CLUB DURING THE WORK DAY BLUE
CROSS AND BLUE SHIELD OF TEXAS REQUIRES EMPLOYEES PERIODICALLY TO STOP WORK
AND DO EXERCISES AT NEWSDAY ON NEW YORK'S LONG ISLAND COMPUTERS FLASH A
MESSAGE HOURLY TELLING STAFFERS TO TAKE A BREAK

TELEMARKETERS AT AT&T'S AMERICAN TRANSTECH CENTER IN FLORIDA CAN PASS CALLS
BACK AND FORTH WITH PARTNERS TO REDUCE MONOTONY AMERICAN EXPRESS TRAINS
COMPUTER WORKERS AT ITS SAN FRANCISCO TRAVEL RESERVATION CENTER TO DO
BACKOFFICE JOBS SO THEY DON'T HAVE TO SPEND ALL DAY TAKING CALLS AND
PUNCHING UP PRICE QUOTES DESKS AT A NEW LEVI STRAUSS & CO FACILITY IN SAN
FRANCISCO ALLOW WORKERS TO SIT OR STAND WHILE USING COMPUTERS

A NATIONAL SEMICONDUCTOR CORP SPOKESWOMAN SEES NO PSYCHOLOGICAL STRESS FROM
COMPUTERS IN SILICON VALLEY SHE SAYS WE LOVE COMPUTERS

EQUAL OPPORTUNITY PAYS SAYS CHICAGOBASED COVENANT INVESTMENT MANAGEMENT
THE 20 OF COMPANIES RATED HIGHEST FOR HIRING WOMEN AND MINORITIES
OUTPERFORMED THE STOCK MARKET BY 24 PERCENTAGE POINTS FROM 1988 THROUGH
1992 WHILE THE WORST 20 TRAILED BY EIGHT POINTS COMPANIES WITH POOR
EMPLOYMENT RECORDS FACE STRICTER REGULATION LOWER PRODUCTIVITY AND MORE
LITIGATION THEORIZES COVENANT PRESIDENT ANTHONY CARFANG

HURRY UP HILLARY CORPORATE MEDICALPLAN COSTS ARE PROJECTED TO INCREASE AN
AVERAGE 205 THIS YEAR ACCORDING TO A SURVEY OF HEALTH INSURERS BY BENEFIT
CONSULTING FIRM NOBLE LOWNDES THAT COMPARES WITH A 22 RISE IN 1992 THE
COST OF MANAGEDCARE PLANS WILL RISE ONLY 14 COMPARED WITH A 205 JUMP IN
1992

RETIREES PAY MORE OUTOFPOCKET CONTRIBUTIONS BY RETIREES WHO HELP PAY FOR
EMPLOYERSPONSORED HEALTH INSURANCE ROSE AN AVERAGE OF 21 LAST YEAR SAYS
CONSULTING FIRM WYATT CO A RETIRED WORKER AND SPOUSE UNDER AGE 65 PAID AN
AVERAGE OF 1932 OF THEIR TOTAL 4596 COST RETIREES OVER 65 WHO QUALIFY
FOR MEDICARE PAID AN AVERAGE OF 864 OF THEIR 2424 BILL

FOOD FOR THOUGHT MORE COMPANIES PROMOTE GOOD NUTRITION

BROWN & ROOT INC GIVES WORKERS EIGHTSESSION BROWNBAG CLASSES ON EXERCISE
AND NUTRITIOUS EATING THE COMPANYSUBSIDIZED CAFETERIA AT COLGATEPALMOLIVE
CO OFFERS A SPECIAL LOW CALORIE LOW CHOLESTEROL MENU CONSISTING OF SUCH
ITEMS AS ORGANICALLY GROWN STEAMED VEGETABLES A DIET TUNA PLATE AND BAKED
SKINLESS CHICKEN

HELPING WORKERS LOSE WEIGHT ISN'T THE ONLY CONCERN AT CONOCO INC A COURSE
CALLED BEYOND DIETING ENCOURAGES EMPLOYEES TO LOOK AT HOW UNDERLYING
STRESSES CAN LEAD TO OVEREATING AND COMPULSIVE DIETING WE TEACH HOW TO BE
IN TOUCH WITH PHYSIOLOGICAL HUNGER AS OPPOSED TO PSYCHOLOGICAL HUNGER SAYS
BOB EALING MANAGER OF THE WELLNESS PROGRAMS

THE NONPROFIT WELLNESS COUNCILS OF AMERICA WHICH PROMOTES HEALTHIER
LIFESTYLES SAYS 37 OF US WORK SITES OFFER NUTRITION OR WEIGHT CONTROL
ACTIVITIES

THE CHECKOFF TRAINING MAGAZINE SUGGESTS THE POLITICALLY CORRECT TERM FOR
PEOPLE WITHOUT DISABILITIES MAY BE THE TEMPORARILY NONDISABLED  OSHA
ISSUES AN INTERIM FINAL STANDARD ON CONSTRUCTION WORKERS' EXPOSURE TO
LEAD  BET HE WON'T GET ANY PARKING TICKETS REP JAMES TRAFICANT D
OHIO PROPOSES A COMMITTEE TO FORMULATE A LABOR RELATIONS POLICY FOR CAPITOL
POLICE 9305040086 930504 BUSINESS BRIEF VENTURA COUNTY NATIONAL
BANCORP LOSS FOR 1ST PERIOD IS POSTED AFTER A PROFIT WAS REPORTED

VENTURA COUNTY NATIONAL BANCORP REVISED DOWNWARD ITS FIRSTQUARTER EARNINGS
SAYING IT HAD A FIRSTQUARTER LOSS OF 16 MILLION OR 28 CENTS A SHARE

THE OXNARD CALIF BANK HOLDING COMPANY PREVIOUSLY SAID IT HAD
FIRSTQUARTER NET INCOME OF 518000 OR NINE CENTS A SHARE ABOUT EVEN WITH
NET INCOME OF 520000 OR NINE CENTS A SHARE IN 1992'S FIRST PERIOD BUT
AFTER AN ADDITIONAL REVIEW OF ITS LOAN PORTFOLIO BY THE OFFICE OF THE
COMPTROLLER OF THE CURRENCY AND BY THE COMPANY IT HAS ADDED 33 MILLION TO
ITS LOANLOSS RESERVES

THE COMPANY SAID IT PLANS ANOTHER INDEPENDENT REVIEW OF THE CIRCUMSTANCES
WHICH HAVE RESULTED IN THE COMPANY'S MOVE TO TAKE ADDITIONAL LOANLOSS
RESERVES BECAUSE OF THAT REVIEW THE COMPANY'S ANNUAL MEETING SET FOR
TOMORROW WILL BE ADJOURNED TO A FUTURE DATE 9305040085 930504 BUSINESS
BRIEF CIRCUS CIRCUS ENTERPRISES INC CONCERN JOINS WITH TRILLIUM IN
RIVERBOAT GAMBLING PLAN

CIRCUS CIRCUS ENTERPRISES INC LAS VEGAS SAID IT HAS JOINED WITH CLOSELY
HELD TRILLIUM CORP OF BELLINGHAM WASH TO MANAGE A RIVERBOAT GAMBLING
FACILITY IN RIVERSIDE MO IN THE KANSAS CITY METROPOLITAN AREA

TRILLIUM OWNS AN 800ACRE SITE THAT IS ONE OF THREE SITES APPROVED BY THE
CITY FOR AN EXCLUSIVE RIVERBOAT GAMBLING FACILITY CLYDE TURNER CIRCUS'
PRESIDENT SAID THE COMPANY ALSO HAS AN OPTION TO BUY AN INTEREST IN THE
COMPLEX AND SAID THE PARTNERS EXPECT THE CITY TO AWARD THE LICENSE IN THE
NEXT SEVERAL WEEKS

CIRCUS HAS MOVED MORE SLOWLY THAN OTHER MAJOR CASINO COMPANIES IN
DIVERSIFYING OUTSIDE OF THE STATE RAISING SOME CONCERN ON WALL STREET ABOUT
THE COMPANY'S FUTURE GROWTH ITS STOCK ROSE 175 ON THE NEWS TO CLOSE AT
4750 IN COMPOSITE NEW YORK STOCK EXCHANGE TRADING 9305040084 930504
WHO'S NEWS HEALTH IMAGES' CARL RESIGNS FROM POSTS OF CEO AND
PRESIDENT

ATLANTA HEALTH IMAGES INC SAID ITS CHAIRMAN ROBERT D CARL III 39
YEARS OLD RESIGNED HIS POSITIONS AS CHIEF EXECUTIVE OFFICER AND PRESIDENT

THE COMPANY WHICH OPERATES DIAGNOSTIC IMAGING CENTERS NAMED ITS CHIEF
OPERATING OFFICER WA WILSON 53 INTERIM PRESIDENT AND CHIEF EXECUTIVE

MR CARL IS GIVING UP THE TWO POSTS WHERE HE HAD TO SPEND MUCH TIME ON
OPERATIONAL DETAILS SO THAT HE CAN FOCUS MORE ON PLOTTING THE STRATEGIC
COURSE OF THE COMPANY MR WILSON SAID MR CARL WAS UNAVAILABLE FOR
COMMENT

THE BOARD WILL SEARCH FOR A PERMANENT REPLACEMENT FOR MR CARL WHO FOUNDED
THE COMPANY IN 1983

HEALTH IMAGES HAS REPORTED EARNINGS GAINS OF LATE NET INCOME FOR THE YEAR
ROSE 97 TO 65 MILLION OR 53 CENTS A SHARE ON REVENUE OF 70 MILLION
BUT THE COMPANY'S STOCK TOOK A DIVE EARLIER THIS YEAR WHEN MR CARL SAID
1993 EARNINGS WOULD BE SIMILAR TO THOSE RECORDED IN 1992 ANALYSTS HAD
PREVIOUSLY PROJECTED 1993 EARNINGS OF 70 CENTS A SHARE

ANALYSTS NOTED THAT THE COMPANY ALONG WITH MANY HEALTHCARE PROVIDERS IS
FACING DECLINING REIMBURSEMENTS FROM EMPLOYERS AND INSURERS WHICH ARE
TRYING TO LIMIT THE GROWTH OF MEDICAL EXPENDITURES HEALTH IMAGES ALSO FACES
COMPETITION FROM PHYSICIANS WHO HAVE AN OWNERSHIP STAKE IN DIAGNOSTIC
CENTERS AND WHO REFER PATIENTS TO THOSE CENTERS 9305040083 930504 IBP IS
ORDERED TO PAY OVERTIME TO WORKERS AMOUNT IS UNDECIDED

WASHINGTON A FEDERAL COURT RULED THAT IBP INC MUST MAKE RETROACTIVE
OVERTIME PAYMENTS TO NEARLY 24000 WORKERS AT 11 OF ITS FACTORIES IN SIX
STATES THE US DEPARTMENT OF LABOR SAID

BUT THE GOVERNMENT WHICH PROSECUTED THE CASE AGAINST THE DAKOTA CITY NEB
MEATPACKER AND THE COMPANY EACH CAST THE RULING AS A VICTORY FOR ITS SIDE
THE CONTESTANTS ALSO DISAGREED OVER THE AMOUNT THAT IBP ULTIMATELY WILL HAVE
TO PAY THE WORKERS

THE GOVERNMENT SAID THE EVIDENCE WILL PROBABLY SUPPORT A FINDING WELL IN
EXCESS OF 10 MILLION BUT AN IBP SPOKESMAN SAID THE COMPANY MIGHT NEVER
HAVE TO PAY THE WORKERS ANY MORE MONEY JUST HOW MUCH THE COMPANY WILL HAVE
TO PAY WILL BE DETERMINED IN THE SECOND PHASE OF THE TRIAL

THE RULING ISSUED LAST THURSDAY BY JUDGE EARL E O'CONNOR IN US DISTRICT
COURT IN KANSAS CITY MO STEMS FROM A SUIT BROUGHT BY THE GOVERNMENT IN
1988 CALLING FOR IBP TO PAY WORKERS FOR TASKS THEY PERFORMED PRIOR TO AND
IMMEDIATELY AFTER LEAVING THEIR WORK STATIONS ALL THE WORK COVERED BY THE
SUIT WAS PERFORMED BY IBP WORKERS BETWEEN APRIL 1986 AND AUGUST 1988

ACCORDING TO THE LABOR DEPARTMENT THE RULING REQUIRES IBP TO PAY WORKERS
FOR THE TIME THEY SPENT GETTING THEIR KNIVES CLEANED CHANGING INTO SPECIAL
PROTECTIVE GEAR AND CLEANING THAT GEAR AT THEIR WORK STATIONS BUT THE COURT
ALSO RULED THAT IBP DOESN'T HAVE TO PAY WORKERS FOR TIME SPENT CHANGING INTO
ORDINARY WORK CLOTHING

THE TIME NECESSARY TO PERFORM THOSE TASKS COVERED BY THE COURT'S RULING IS
SO SHORT THAT THE COURT MAY RULE WE DON'T HAVE TO PAY ANYTHING AN IBP
SPOKESMAN SAID 9305040082 930504 INTERNATIONAL BRIEF CERUS SA PLAN
FOR EQUITY WRITEDOWN SPARKS PLUNGE IN STOCK PRICE

CERUS SA A FRENCH HOLDING COMPANY RUN BY ITALIAN BUSINESSMAN CARLO DE
BENEDETTI SAID IT WILL ASK SHAREHOLDERS TO APPROVE HALVING THE NOMINAL
VALUE OF ITS SHARES TO 100 FRANCS EACH

THE MEASURE WOULD BE EQUIVALENT TO A CAPITAL WRITEDOWN OF THE COMPANY'S
EQUITY TO 2573 BILLION FRANCS 4813 MILLION FROM 5146 BILLION FRANCS

NEWS OF THE MEASURE SPARKED A SELLOFF OF CERUS STOCK WHICH PLUNGED 10 OR
81 FRANCS TO 733 FRANCS 1371 ON THE PARIS BOURSE

CERUS COMPANY OFFICIALS WEREN'T AVAILABLE FOR COMMENT ABOUT THE
ANNOUNCEMENT

THE PARISBASED COMPANY WHICH HAS 257 MILLION SHARES OUTSTANDING SAID IT
EXPECTED SHAREHOLDERS TO APPROVE THE MEASURE BUT IT COULDN'T SAY EXACTLY
WHEN THE NOMINAL VALUE REDUCTION WOULD OCCUR

CERUS POSTED A 1992 NET LOSS OF 154 BILLION FRANCS WIDENING FROM 13
BILLION FRANCS IN 1991 9305040081 930504 BUSINESS BRIEF INTELLIGENT
ELECTRONICS INC PROCEEDS FROM SALE TO GO TO PAYOUT AND BUYBACK

INTELLIGENT ELECTRONICS INC SAID IT PLANS TO USE PROCEEDS FROM THE RECENT
SALE OF ITS BIZMART UNIT TO PAY A 2ASHARE DIVIDEND AND TO BUY BACK AS
MANY AS SEVEN MILLION COMMON SHARES

THE EXTON PA COMPUTER RESELLER WHICH SOLD THE LOSSRIDDEN CHAIN OF
OFFICE SUPPLY WAREHOUSE STORES TO KMART CORP'S OFFICEMAX UNIT IN MARCH
SAID IT WILL SPEND AN ESTIMATED 71 MILLION TO PAY A ONETIME SPECIAL
DIVIDEND ON JUNE 1 TO STOCK OF RECORD MAY 17

THE SPOKESWOMAN SAID THE BIZMART SALE RESULTED IN A PROFIT FOR INTELLIGENT
OF ABOUT 270 MILLION THE BALANCE OF THE NET PROCEEDS WILL BE USED FOR
GENERAL CORPORATE PURPOSES SHE SAID

INTELLIGENT'S STOCK ROSE 1 TO CLOSE AT 1450 YESTERDAY IN NATIONAL
OVERTHECOUNTER TRADING 9305040080 930504 PEPPERAND SALT

TO TEACH ARE OFT ILLFATED

BUT NOT THE END RESULT

WHILE THOSE WHO CAN'T CONSULT

THAN THE PEN 9305040079 930504 INTERNATIONAL TWO GOVERNORS BATTLE FOR
CHELYABINSK IN A REFLECTION OF RUSSIAN TURMOIL  BY ADI IGNATIUS 
STAFF REPORTER OF THE WALL STREET JOURNAL

CHELYABINSK RUSSIA WHILE RUSSIANS WERE CASTING BALLOTS FOR AND AGAINST
BORIS YELTSIN IN THE APRIL 25 REFERENDUM VOTERS IN THIS INDUSTRIAL REGION
WERE ALSO SELECTING AS GOVERNOR A MAN VEHEMENTLY OPPOSED TO MR YELTSIN'S
POLICIES

PROBLEM IS THE CHELYABINSK REGION ALREADY HAS A GOVERNOR WHO IS STRONGLY
PROYELTSIN HE DOESN'T PLAN TO GIVE UP HIS POST AND IT ISN'T CLEAR THAT HE
HAS TO THAT LEAVES TWO GOVERNORS ONE TOO MANY

PEOPLE SOMETIMES CALL THIS COUNTRY A LAND OF FOOLS SAYS ANDREI KOSILOV A
SENIOR AIDE TO THE NEWLY ELECTED GOVERNOR PYOTR SUMIN AT TIMES LIKE
THESE IT SEEMS THEY'RE RIGHT

THE TRIALS OF CHELYABINSK A NUCLEARWEAPONS RESEARCH CENTER IN THE URALS
THAT WAS OFFLIMITS TO FOREIGNERS UNTIL LAST YEAR MIRROR THE POLITICAL
TURMOIL IN MOSCOW 900 MILES AWAY THE STRUGGLE HERE PITS MR YELTSIN'S
HANDPICKED REPRESENTATIVES AGAINST A HOSTILE BODY OF FORMER COMMUNIST PARTY
LEADERS WHO DOMINATE THE LOCAL SOVIET OR LEGISLATURE THE DECISION ON WHOSE
MAN GETS TO RULE COULD DETERMINE WHETHER OR NOT THE REGION PURSUES MR
YELTSIN'S FASTTRACK ECONOMIC REFORMS

SIMILAR STRUGGLES ARE PLAYING OUT IN LOCAL GOVERNMENTS ACROSS THE COUNTRY
IN THE CITY OF VORONEZH THE LEGISLATURE STRIPPED MR YELTSIN'S CHIEF
REPRESENTATIVE OF HIS POWER IN THE RUSSIAN REPUBLIC OF MORDOVIA THE
LEGISLATURE OUSTED THE ELECTED LOCAL PRESIDENT A MOVE BACKED BY THE
SUPREME SOVIET THE RUSSIAN PARLIAMENT IN MOSCOW

THE APRIL 25 NATIONWIDE REFERENDUM GAVE MR YELTSIN A HUGE BOOST AS NEARLY
60 OF VOTERS SUPPORTED HIM MR YELTSIN NOW IS TRYING TO TRANSLATE THE
POPULAR MANDATE INTO POLITICAL CAPITAL TO PUSH HIS AGENDA FOR REFORM A KEY
INITIAL TEST OF HIS STRENGTH IS UNDER WAY IN CHELYABINSK

THIS IS A STRUGGLE BETWEEN TWO OPPOSITE IDEOLOGIES SAYS VADIM SOLOVYOV
MR YELTSIN'S CHOSEN AND EMBATTLED GOVERNOR ONE IS FOR MARKET REFORM
THE OTHER IS AFRAID OF IT

HIS RIVAL MR SUMIN WIELDS POWER AND COMMANDS RESPECT AS CHAIRMAN OF THE
LOCAL SUPREME SOVIET AREA RADIO AND TELEVISION DUTIFULLY BROADCAST HIS
PRONOUNCEMENTS HE SITS IN A VAST WOODPANELED OFFICE IN CHELYABINSK'S
FORMER COMMUNIST PARTY HEADQUARTERS A PHALANX OF TELEPHONE LINES AT HIS
SIDE

AN INTENSE MAN WITH WAVY GRAYSTREAKED HAIR AND PROMINENT FRONT TEETH MR
SUMIN DECIDED IN MARCH TO VIOLATE MR YELTSIN'S WISHES AND MAKE A RUN FOR
THE REGION'S TOP JOB OF GOVERNOR

THE LOCAL SOVIET HE CONTROLS TWOTHIRDS OF WHOSE MEMBERS REGULARLY OPPOSE
MR YELTSIN BACKED HIM AND CALLED NEW ELECTIONS THE DEPUTIES GAMBLED THAT
WITH MR YELTSIN UNDER FIRE IN MOSCOW AND REFORMERS EVERYWHERE IN RETREAT
THEY COULD DEFEAT THE PRESIDENT'S LOCAL MAN

THE REGION'S HIGH COURT RULED THAT THE PLANNED GUBERNATORIAL ELECTION WAS
ILLEGAL FOR TECHNICAL REASONS IN MOSCOW MR YELTSIN ISSUED A DECREE
SAYING THE ELECTION WAS INVALID AND SHOULDN'T BE HELD

BUT THE LEGISLATURE IGNORED THE RULINGS THE ELECTION COMMISSION WHICH IS
SYMPATHETIC TO THE SOVIET PRINTED BALLOTS MR SOLOVYOV REFUSED TO
PARTICIPATE THE VOTE TOOK PLACE AND AFTER A RUNOFF APRIL 25 MR SUMIN
EMERGED THE WINNER

THE PEOPLE'S WILL IS CLEAR SAYS MR SUMIN AS HE LIGHTS UP A CIGARETTE
I WILL BE THE GOVERNOR

BUT IN AN EQUALLY VAST OFFICE TWO BLOCKS AWAY MR SOLOVYOV INSISTS HE WON'T
GIVE UP THE GOVERNORSHIP

THE TWO MEN BOTH 46 YEARS OLD WERE ONCE SENIOR LOCAL COMMUNIST PARTY
LEADERS BUT THEY CHOSE SEPARATE IRRECONCILABLE PATHS DURING THE AUGUST
1991 COUP ATTEMPT IN MOSCOW AGAINST SOVIET LEADER MIKHAIL GORBACHEV WHEN
THE PUTSCH BEGAN MR SUMIN THEN THE REGION'S CHIEF EXECUTIVE PLAYED
WAITANDSEE HE SENT A TELEGRAM TO THE COUP LEADERS THAT TO HIS CRITICS
SEEMED TO ENDORSE THEIR ACTIONS MR SOLOVYOV THEN MAYOR OF CHELYABINSK
OPPOSED THE REBELLION AND LED THE CITY'S PROTESTS ON THE SQUARE SOON AFTER
MR YELTSIN HELPED PUT DOWN THE COUP ATTEMPT THE RUSSIAN PRESIDENT PICKED
MR SOLOVYOV AS HIS GOVERNOR IN CHELYABINSK

THE APPOINTMENT CREATED AN INTENSE RIVALRY BETWEEN THE TWO LOCAL
POLITICIANS THOUGH FAR MORE THAN EGO IS AT STAKE FOR A YEAR AND A HALF
MR SOLOVYOV COMPLAINS EFFORTS TO IMPLEMENT MR YELTSIN'S REFORMS LOCALLY
HAVE BEEN BLOCKED BY THE SOVIET OVER WHICH MR SUMIN PRESIDES

LAST MONTH THE LEGISLATURE VOTED TO SUSPEND THE PUBLIC SALE OF SHARES IN
CHELYABINSK'S STATEOWNED ENTERPRISES PEOPLE HAD BEEN BUYING THE SHARES
WITH PRIVATIZATION VOUCHERS WHICH MR YELTSIN GAVE RUSSIANS TO ALLOW
CITIZENS TO BUY A SLICE OF THE FORMER SOVIET PIE

THE LEGISLATURE SAID THE SUSPENSION WAS AIMED AT PROTECTING LOCAL VOUCHER
HOLDERS FROM BUYING BY OUTSIDERS BUT MR SOLOVYOV BELIEVES THE MOVE SIMPLY
WAS MEANT TO BLOCK A KEY ELEMENT OF RUSSIA'S ECONOMIC REFORMS IN THE END
RUSSIA'S DEPUTY PRIME MINISTER IN CHARGE OF PRIVATIZATION ANATOLI CHUBAIS
CAME TO CHELYABINSK AND PERSUADED THE SOVIET TO OVERTURN ITS SUSPENSION

THESE GUYS KNOW THAT IF YOU REALLY SLOW THINGS DOWN MARKET REFORMS WON'T
SUCCEED MR SOLOVYOV SAYS SUMIN WANTS TO GO BACK TO COMMUNISM

MR SUMIN RESPONDS THAT HE IS FOR REFORM BUT NOT OF THE VARIETY THAT MR
YELTSIN PREACHES I'M AGAINST A CHAOTICALLY ACCELERATED TRANSITION TO THE
MARKET HE SAYS HIS TOP AIDE MR KOSILOV OUTLINES AN ALTERNATIVE
PEOPLEORIENTED REFORMS INCLUDING GUARANTEED JOBS FOR ALL HIGH SALARIES
PLENTIFUL CREDITS TO NEEDY FACTORIES HELP TO THE ELDERLY

AS HE AWAITS WHAT HE EXPECTS TO BE A FAVORABLE RULING FROM RUSSIA'S
CONSTITUTIONAL COURT MR SUMIN IS DRAWING UP PLANS FOR HIS FIRST 100 DAYS
AS GOVERNOR BUT HIS CRITICS CONTEND THAT THE ELECTION DOESN'T FALL WITHIN
THE COURT'S PURVIEW

THE RESULTS OF THE REFERENDUM WERE A COLD SHOWER FOR THESE GUYS SAYS MR
SOLOVYOV WHO PLANS TO IGNORE HIS RIVAL THE DOGS ARE BARKING BUT THE
CARAVAN GOES ON 9305040078 930504 INTERNATIONAL BRIEF CONTINENTAL AG
 GERMAN CONCERN POSTS PROFIT FOR YEAR AFTER LOSS IN 1991

GERMAN TIRE MAKER CONTINENTAL AG SAID IT SWUNG TO A NET PROFIT OF 133
MILLION MARKS 839 MILLION FOR 1992 FROM A YEAREARLIER LOSS OF 128
MILLION MARKS BUT SAID IT WAS TOO EARLY TO RESUME PAYING A DIVIDEND

GROUP SALES ROSE 33 TO 969 BILLION MARKS FROM 938 BILLION MARKS

CONTINENTAL LAST PAID A DIVIDEND OF FOUR MARKS A SHARE ON ITS 1990 EARNINGS
THE COMPANY SAID THAT IN VIEW OF THE DIFFICULT ECONOMIC SITUATION IT WOULD
BE PREMATURE TO RESUME DIVIDEND PAYOUTS AT THIS TIME CONTINENTAL SAID IT
HAD ACHIEVED A TURNAROUND LAST YEAR BUT GAVE NO DETAILS OTHER THAN THE
EARNINGS AND SALES FIGURES

CONTINENTAL ALSO SAID THAT GUENTER SIEBER MANAGEMENT BOARD MEMBER
RESPONSIBLE FOR THE AUTOMOBILE TIRE DIVISION STEPPED DOWN EFFECTIVE
IMMEDIATELY THE COMPANY SAID THE REASON FOR MR SIEBER'S DEPARTURE WAS
VARYING ASSESSMENTS OF THE POLICIES OF THE DIVISION FOR WHICH MR SIEBER
WAS RESPONSIBLE

MR SIEBER WILL BE SUCCEEDED BY WILHELM SCHAEFER PREVIOUSLY CHAIRMAN OF
CONTINENTAL'S AUSTRIAN UNIT SEMPERIT REIFEN AG 9305040077 930504 LEISURE
& ARTS NEW MOVIES WORTH SEEING  BY JULIE SALAMON

SOME PEOPLE MAY BE PUT OFF BY THE VERY IDEA OF IT THE STORY OF TWO ODD
DUCKS WHO MEET AND FIND REAL COMPANIONSHIP FOR THE FIRST TIME SHE'S A
MENTALLY ILL AMATEUR PAINTER HE'S A MOVIE FANATIC DEVOTED TO PERFECTING A
PHYSICAL COMEDY MODELED ON THAT OF BUSTER KEATON THEY'RE SAM AND JOON
BENNY IS JOON'S BROTHER AND CARETAKER IT IS BENNY'S PERSPECTIVE AND MR
QUINN'S PERFORMANCE THAT GIVE THE PICTURE SURPRISING WEIGHT AND DIMENSION
IT BECOMES CLEAR THAT GUILT ALONE ISN'T THE MOTIVATING FORCE BEHIND BENNY'S
DEVOTION TO JOON THEY ARE TIED BY SOME DEEPER UNDERSTANDING FORGED BY
HISTORY AND SADNESS

THOUGH IT ISN'T NECESSARY TO KNOW ANYTHING AT ALL ABOUT HOW FILMS ARE MADE
TO ENJOY THEM THE TECHNICAL SIDE OF MOVIES CAN HAVE MAGIC TOO THAT'S MADE
VERY CLEAR IN THIS FASCINATING AND ENJOYABLE DOCUMENTARY ABOUT THE WORK
CINEMATOGRAPHERS DO AFTER LISTENING TO THE MOST TALENTED CRAFTSMEN IN THE
BUSINESS TALK ABOUT WHAT THEY DO AND SEEING SNIPPETS OF WHAT THEY'RE
TALKING ABOUT YOU'LL LOOK AT MOVIES YOU'VE KNOWN FOREVER AS IF THEY WERE
SOMETHING NEW

MR RODRIGUEZ WHO MADE THIS PICTURE ON A SHOESTRING CLEARLY HAS WATCHED
AND ABSORBED THE TECHNIQUE OF MANY MANY ACTION PICTURES JUDGING FROM HIS
SHREWDLY MANAGED CHASE SCENES AND SHOOTOUTS BUT THERE'S A LIGHT TOUCH TOO
A POETIC LIFT THAT MAKES YOU HAPPY TO INDULGE THE PICTURE'S PULPINESS WHILE
ENJOYING ITS CHARM EL MARIACHI IS A SHREWD COMBINATION OF ACTION AND
WISTFULLY COMIC ROMANCE

IN THIS LYRICAL RENDITION OF LAURA ESQUIVEL'S NOVEL SET ON A BORDER RANCH
IN 1910 DURING THE MEXICAN REVOLUTION EVERYTHING BEGINS AND ENDS IN THE
KITCHEN POLITICS AND ROMANCE PASS BY LIKE DREAMS TRUTH EMERGES IN COOKING
HERE REPRESSION AND REVENGE ARE ACTED OUT VIVIDLY OFTEN AT THE TABLE MEAN
SISTERS ARE PUNISHED WITH FOODS CAUSING FLATULENCE SECRET LOVERS MEET VIA
THEIR TASTE BUDS

THERE'S A MYTHIC INTENSITY TO THIS WIDERANGING STORY OF DOOMED ROMANCE
BETWEEN LOVERS WHO ARE BOTH OF MIXED ETHNICITY SET IN A DISTANT TIME AND
PLACE IT LEAVES YOU FEELING DRAINED THE WAY SOME DREAMS DO THE PICTURE IS
SHOT WITH A PERVASIVE YET UNOBVIOUS SENSE OF GHOSTLINESS THAT LETS YOU WATCH
THE CHARACTERS YET ALSO FEEL WHAT IT'S LIKE TO BE THEM THIS IS ALSO THAT
RARE FILM IN WHICH CHARACTERS APPEAR AS CHILDREN AND ADULTS AND ARE
CONVINCING AS BOTH THE ACTING IS JUST SUPERB

THIS PICTURE ABOUT A WOMAN'S JOURNEY THROUGH THE CHINESE BUREAUCRACY IS
CONSTRUCTED LIKE AN EXQUISITE SHORT STORY IT'S A FABLE THAT MANAGES TO
ADDRESS THE BIGGEST QUESTIONS ABOUT JUSTICE AND HUMANITY AND TO ANSWER
THEM WITHIN THE CONFINES OF A VERY SMALL TALE OF REVENGE IT'S WISE AND
ALSO FUNNY MR ZHANG'S SIGNATURE IS EASY TO SEE THE SEDUCTIVE STYLE THAT
CONTEMPLATES AND HEIGHTENS THE PAGEANTRY OF EVERYDAY LIFE ONE SEES CHINA AS
HE DOES AS CONFORMITY INTERRUPTED BY HOT FLASHES OF PASSION 9305040076
930504 BUSINESS BRIEF ANGELES CORP REAL ESTATE CONCERN FILES FOR
CHAPTER 11 PROTECTION

ANGELES CORP A VICTIM OF THE TROUBLED REAL ESTATE LIMITEDPARTNERSHIP
BUSINESS FILED FOR PROTECTION FROM ITS CREDITORS UNDER CHAPTER 11 OF THE
US BANKRUPTCY CODE

ANGELES SAID IT MADE THE FILING AFTER DEFAULTING ON INTEREST PAYMENTS ON
DEBENTURES AND CERTAIN OTHER OBLIGAIONS IT ALSO CITED CASHFLOW PROBLEMS

THE FILING INDICATED THE REAL ESTATE CONCERN HAS TOTAL ASSETS OF 354
MILLION AND LIABILITIES OF 564 MILLION

ANGELES SAID IT NO LONGER MEETS THE FINANCIAL REQUIREMENTS FOR CONTINUED
LISTING ON THE AMERICAN STOCK EXCHANGE TAMARA EDWARDS CORPORATE COUNSEL
SAID ANGELES'S SECURITIES WOULD BE TRADED ON THE OVERTHECOUNTER MARKET IF
THE AMERICAN STOCK EXCHANGE DELISTS THE COMPANY 9305040075 930504
BUSINESS BRIEF CURRAGH INC TALKS WITH ASIAN INVESTORS MAY LEAD TO
SALE OF STAKE

CURRAGH INC WHICH IS NEGOTIATING TO RESTRUCTURE ITS DEBT UNDER CANADIAN
BANKRUPTCY COURT PROTECTION SAID IT IS DISCUSSING WITH A NUMBER OF ASIAN
INVESTORS THE SALE OF AN EQUITY INTEREST IN THE COMPANY FOR AN ESTIMATED 50
MILLION CANADIAN DOLLARS US393 MILLION

CURRAGH A TORONTO ZINC PRODUCER THAT HAS BEEN HURT BY WEAK METAL MARKETS
AND THE EFFECTS OF A 1992 MINE DISASTER SAID THAT ITS INVESTMENT ADVISER
KOLOSHUK FARRUGIA CORP OF TORONTO IS CONFIDENT THAT A STRATEGIC
INVESTMENT WILL BE MADE IN CURRAGH BY ONE OF THE PARTIES ALREADY CONTACTED
THE COMPANY DECLINED TO IDENTIFY THE PARTIES

CURRAGH LAST MONTH FILED FOR COURT PROTECTION UNDER THE COMPANIES' CREDITORS
ARRANGEMENT ACT WHICH IS SIMILAR TO CHAPTER 11 OF THE US BANKRUPTCY CODE
THE COURT PROTECTION IS DUE TO EXPIRE ON JUNE 30 9305040074 930504
FOREIGN EXCHANGE PURCHASINGMANAGER DATA CAUSE DOLLAR TO FALL AGAINST
MOST MAJOR CURRENCIES  BY RICHARD SCHUMACHER SPECIAL TO THE WALL
STREET JOURNAL

NEW YORK A NEW INDICATION THAT THE PACE OF THE US ECONOMIC RECOVERY IS
SLACKENING A WEAKERTHANEXPECTED REPORT FROM THE NATIONAL ASSOCIATION OF
PURCHASING MANAGERS CAUSED THE DOLLAR TO END LOWER AGAINST MOST MAJOR
CURRENCIES

LATE YESTERDAY IN NEW YORK THE DOLLAR WAS QUOTED AT 15793 MARKS DOWN FROM
15850 MARKS LATE FRIDAY IN NEW YORK THE US CURRENCY ALSO WAS CHANGING
HANDS AT 11073 YEN DOWN FROM 11115 YEN STERLING WAS TRADING AT 15660
DOWN FROM 15733

BECAUSE OF HOLIDAYS IN BRITAIN AND JAPAN TWO OF THE WORLD'S THREE FOREIGN
EXCHANGE HUBS CURRENCY TRADING WAS PARTICULARLY SLUGGISH YESTERDAY DEALERS
SAID

TRADERS SAID THE PURCHASING MANAGERS' DATA PROMPTED MONDAY'S ONE BURST OF
ACTIVITY THE GROUP REPORTED ITS INDEX FELL TO 497 IN APRIL FROM 534 IN
MARCH A READING ABOVE 50 INDICATES THE US MANUFACTURING ECONOMY IS
GENERALLY EXPANDING A LEVEL BELOW 50 INDICATES IT IS GENERALLY
CONTRACTING

THE DROP UNDER THE 50 LEVEL WAS THE MOST SIGNIFICANT ASPECT OF THE REPORT
SAID DAVE GLOWACKI SENIOR TRADER AT THE NATIONAL BANK OF DETROIT THAT'S
THE THRESHOLD OF BEARISHNESS THAT SURPRISED A LOT OF PEOPLE HE ADDED

MARKET PARTICIPANTS HAVE SAID REPEATEDLY IN RECENT MONTHS THAT IF THE DOLLAR
IS TO EXPERIENCE A SUSTAINED RISE THE US RECOVERY WILL HAVE TO PROGRESS
AT A SUSTAINED SOLID PACE

OTHER THAN THE PURCHASING MANAGERS' REPORT THERE WERE NO MAJOR CATALYSTS TO
PROMPT DOLLAR TRADING SAID BENOIT JADOUL A VICE PRESIDENT AT CHASE
MANHATTAN BANK WITH THIS SORT OF MARKET THERE IS NO APPETITE TO DO
ANYTHING AGGRESSIVE HE SAID AS A RESULT THE DOLLAR TENDED TO MEANDER IN
NARROW RANGES FOR MOST OF THE DAY HE ADDED

IN CROSS OR NONDOLLAR TRADING STERLING LOST GROUND AGAINST THE MARK BUT
PLAYERS ASCRIBED THE MOVE TO A FEW LARGE SALES OF THE POUND THAT WENT
THROUGH EARLY IN NEW YORK ACTIVITY RATHER THAN TO FRESH FUNDAMENTAL
DEVELOPMENTS THE IMPACT OF THE ORDERS WAS EXAGGERATED BY THE THINNESS OF
THE MARKET SAID LISA FINSTROM A CURRENCY ANALYST AT SHEARSON LEHMAN
BROTHERS

MS FINSTROM ADDED THOUGH THAT AFTER ITS RUNUP IN THE LAST WEEKS ON SIGNS
OF IMPROVEMENT IN THE UK ECONOMY STERLING HAD BEEN DUE FOR A REALITY
CHECK CONCERNS ABOUT THE ABILITY OF THE UK TO SUSTAIN ITS RECOVERY HAVE
BEEN GROWING SHE SAID

MEANWHILE GERMANY COULD SEE ITS KEY OFFICIAL RATES FALL AGAIN AS SOON AS
THURSDAY TRADERS NOTED THE BUNDESBANK'S POLICYSETTING CENTRAL BANK
COUNCIL WILL HOLD A REGULAR BIWEEKLY MEETING THEN

PEOPLE SEE FURTHER DECLINES IN THE NEXT FEW WEEKS MR JADOUL SAID BUT
THEY AREN'T SURE WHETHER THEY WILL COME ON THURSDAY

GERMAN APRIL UNEMPLOYMENT AND MARCH INDUSTRIAL PRODUCTION DATA ARE EXPECTED
TO BE RELEASED DURING THE WEEK AND UNLESS THEY POINT TO
GREATERTHANEXPECTED SOFTNESS IN THE ECONOMY RATE CUTS AREN'T LIKELY MR
JADOUL SAID THE MOST RECENT CUTS ARE STILL VERY FRESH HE ADDED

THE BUNDESBANK TRIMMED BOTH ITS OFFICIAL DISCOUNT RATE AND LOMBARD RATE WHEN
IT MET APRIL 22 WHICH ESTABLISHED THE FLOOR AND CEILING ON MONEYMARKET
RATES A NEW CUT IN GERMAN INTEREST RATES PROBABLY WOULD CAUSE THE MARK TO
SLIDE TRADERS SAID LOWER INTEREST RATES TEND TO MAKE A CURRENCY LESS
ATTRACTIVE TO INVESTORS THEY NOTED

DESPITE THE SIGNIFICANCE OF THE BUNDESBANK MEETING MR GLOWACKI SAID HE
HASN'T YET DETECTED MAJOR POSITIONING AHEAD OF THE GATHERING

US APRIL JOBS DATA DUE FRIDAY PROBABLY WILL HAVE GREATER BEARING FOR THE
DOLLAR THAN THE BUNDESBANK MEETING PARTICIPANTS SAID A SURVEY OF
ECONOMISTS BY APDOW JONES ESTIMATES NONFARM PAYROLLS GREW BY 150000 IN
APRIL SWINGING FROM A DECLINE OF 22000 IN MARCH

THE STATISTICS WILL BE THE FIRST IN ABOUT A MONTH THAT WON'T HAVE BEEN
AFFECTED BY SEVERE US MARCH WEATHER MR GLOWACKI SAID THUS THEY ARE
LIKELY TO GIVE A MORE ACCURATE PICTURE OF THE US RECOVERY THAN RECENT DATA
HAVE MONEY FOR A RECOVERY MOREOVER MS FINSTROM SAID UNLESS WE GET
IMPROVEMENT IN JOBS PEOPLE AREN'T GOING TO HAVE MONEY TO SPEND TO HAVE A
RECOVERY

US MARCH LEADING INDICATORS DUE TODAY AREN'T LIKELY TO HAVE MUCH IMPACT
ON THE DOLLAR MR GLOWACKI SAID BECAUSE IT'S FROM MARCH IT'S HISTORY
HE SAID ACCORDING TO A SURVEY OF ECONOMISTS BY APDOW JONES THE INDEX OF
LEADING INDICATORS IS EXPECTED TO HAVE FALLEN 08 IN MARCH FROM FEBRUARY

AGAINST THE YEN THE DOLLAR IS LIKELY TO TEST THE LOW END OF ITS RECENT
RANGE AROUND 11000 YEN IN THE NEXT FEW DAYS MR GLOWACKI AND MS FINSTROM
BOTH SAID

IN THEIR COMMUNIQUE THURSDAY FINANCE MINISTERS AND CENTRAL BANK CHIEFS OF
THE GROUP OF SEVEN LEADING INDUSTRIALIZED NATIONS OPPOSED EXCESSIVE
VOLATILITY IN FOREIGN EXCHANGE RATES MS FINSTROM OBSERVEDNOW THE MARKET
WANTS TO TEST THE G7'S RESOLVE THEY WANT TO SEE EXACTLY WHAT THEY MEANT

BUT THE MARKET MIGHT NOT HAVE ENOUGH MOMENTUM TO TEST THE AREA BELOW 11000
YEN TO THE DOLLAR UNTIL AFTER JAPAN RETURNS FROM HOLIDAYS TOMORROW MR
GLOWACKI SAID 9305040073 930504 BUSINESS BRIEF FUQUA INDUSTRIES INC
 DIVERSIFIED PRODUCTS CORP TO BE BOUGHT FOR 24 MILLION

FUQUA INDUSTRIES INC ATLANTA SAID IT SIGNED A DEFINITIVE AGREEMENT TO
ACQUIRE DIVERSIFIED PRODUCTS CORP FOR 24 MILLION IN CASH AND STOCK AND
THE ASSUMPTION OF CERTAIN LIABILITIES

FUQUA SAID THE NET PURCHASE PRICE CONSISTS OF A CASH PAYMENT OF 12 MILLION
THE ISSUANCE OF FUQUA COMMON STOCK EQUAL TO 12 MILLION AT CURRENT MARKET
PRICES AND THE ASSUMPTION OR PAYMENT OF CERTAIN SPECIFIC LIABILITIES WHICH
INCLUDE TRADE PAYABLES AND A WORKING CAPITAL CREDIT LINE FUQUA SAID IT HAS
ALSO AGREED TO GUARANTEE THE 12 MILLION MARKET VALUE OF THE COMMON STOCK
FOR A SPECIFIED PERIOD OF TIME FUQUA STOCK FINISHED AT 1250 A SHARE
YESTERDAY UP 125 CENTS IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING

DIVERSIFIED PRODUCTS BASED IN OPELIKA ALA IS A FITNESS AND RECREATION
EQUIPMENT MARKETER THAT HAD FISCAL 1992 SALES OF ABOUT 190 MILLION FUQUA
HAS INTERESTS IN LAWN AND SPORTS EQUIPMENT AND PHOTOFINISHING

FUQUA SAID IT EXPECTS TO CLOSE THE TRANSACTION IN 30 DAYS 9305040072
930504 LAW LEGAL BEAT WHEN COPYRIGHT LAW DISAPPOINTS SOFTWARE FIRMS
FIND ALTERNATIVES  BY JONATHAN M MOSES STAFF REPORTER OF THE WALL
STREET JOURNAL

COMPUTER COMPANIES REBUFFED IN A SPATE OF RECENT COPYRIGHT CASES ARE
DISCOVERING THAT THERE IS MORE THAN ONE WAY TO PROTECT THEIR SOFTWARE

MANY COMPANIES FROM INTERNATIONAL BUSINESS MACHINES CO TO STAC ELECTRONICS
INC HAVE BEEN ABLE TO USE CONTRACT TRADESECRET AND PATENT LAW TO
COMPENSATE FOR RECENT DECISIONS DENYING THEM AS MUCH COPYRIGHT PROTECTION AS
THE COMPANIES HAD SOUGHT

COPYRIGHT LAW IS TURNING OUT TO BE A THIN BLANKET FOR PROTECTING SOME
SOFTWARE SO COMPANIES ARE HAVING TO COME UP WITH GAPFILLERS FOR
COPYRIGHT EXPLAINS PAMELA SAMUELSON A PROFESSOR AT THE UNIVERSITY OF
PITTSBURGH LAW SCHOOL

IN AN IMPORTANT RULING LAST MONTH THE FEDERAL APPEALS COURT IN MINNEAPOLIS
SAID THAT A BREACHOFCONTRACT CLAIM FILED BY COMPUTER ASSOCIATES
INTERNATIONAL INC AGAINST NATIONAL CAR RENTAL SYSTEMS INC WASN'T
PREEMPTED BY THE COPYRIGHT LAW THAT MEANS THAT EVEN IF THE COPYRIGHT LAW
ALLOWS BROAD USE OF A SOFTWARE PROGRAM A CONTRACT CAN BE WRITTEN TO
RESTRICT SUCH USE

COMPANIES DON'T EVEN NEED A CONTRACT TO MAKE A TRADESECRECY CLAIM THIS IS
ESSENTIALLY AN ALLEGATION THAT A COMPANY HAS STOLEN AN IDEA OFTEN BY HIRING
AWAY AN EMPLOYEE OR SECRETLY BUYING A COMPUTER PROGRAM TO STUDY HOW IT WORKS
RATHER THAN TO USE IT FOR ITS INTENDED PURPOSE HAROLD J MCELHINNY A
PARTNER IN THE LAW FIRM MORRISON & FOERSTER RECENTLY REPRESENTED A
CALIFORNIA COMPANY THAT SOUGHT TO STOP A JAPANESE CONCERN FROM MARKETING AN
ULTRASONIC DIAGNOSTIC MACHINE THAT USED CONTESTED SOFTWARE MR MCELHINNY
SAYS THE FACT THAT THE JAPANESE COMPANY BOUGHT HIS CLIENT'S MACHINE AND
SOFTWARE UNDER FALSE PRETENSES HELPED HIS CASE WHICH SETTLED BEFORE TRIAL

MORE COMPUTER COMPANIES ARE ALSO GETTING PATENTS FOR SOFTWARE A PATENT IS A
POWERFUL IF BLUNT TOOL LAWYERS SAY IT CAN PROVIDE A COMPANY WITH
EXCLUSIVE USE OF ITS PATENTED PROGRAMS FOR A CERTAIN NUMBER OF YEARS EVEN
IF ANOTHER COMPANY DEVELOPS THE IDEA INDEPENDENTLY IN COMPARISON COPYRIGHT
DOESN'T PROTECT IDEAS ONLY THE WAY THEY ARE EXPRESSED AND IT DOESN'T
PROVIDE FOR EXCLUSIVE USE IF SOMEONE ELSE DEVELOPS THE SAME SOFTWARE
INDEPENDENTLY HOWEVER COPYRIGHT PROTECTION WHICH ATTACHES AUTOMATICALLY
TO AN ORIGINAL EXPRESSION OF AN IDEA HAS THE VIRTUE OF SIDESTEPPING THE
COMPLICATED AND EXPENSIVE PROCESS OF OBTAINING A PATENT

IBM HAS BEEN ESPECIALLY AGGRESSIVE ABOUT GETTING PATENTS AS WELL AS ABOUT
FIGHTING GENERALLY TO PROTECT ITS SOFTWARE SAYS ANTHONY CLAPES AN IBM
ASSISTANT GENERAL COUNSEL STEPHEN KAHN AN ATTORNEY AT WEIL GOTSHAL &
MANGES WHO HAS REPRESENTED BOTH COMPUTER ASSOCIATES AND WORDPERFECT CORP
SAYS THERE'S TREMENDOUS PRESSURE NOW FOR OTHER FIRMS TO GET PATENTS AS WELL
WORDPERFECT IS GETTING PATENTS DESPITE THE INSTITUTIONAL BELIEF THAT
PATENTS ARE WRONG FOR SOFTWARE THEY BELIEVE IF SOMEONE ELSE HAS PATENTS THE
BEST DEFENSE IS A PATENT OF THEIR OWN MR KAHN EXPLAINS

IN CURRENT PATENTRELATED LITIGATION STAC ELECTRONICS CARLSBAD CALIF IS
SUING MICROSOFT CORP IN LOS ANGELES FOR ALLEGEDLY INFRINGING A STAC PATENT
FOR POPULAR SOFTWARE THAT IS USED TO COMPRESS DATA SO THAT MORE OF IT CAN
FIT ON DISKS MEANWHILE LOTUS DEVELOPMENT CORP IN FEDERAL COURT IN NEW
YORK IS DEFENDING ITS SPREADSHEET PROGRAM AGAINST A GROUP OF INVENTORS WHO
CLAIM TO HAVE A PATENT ON A KEY ALGORITHM IN THE SOFTWARE SUCH CLAIMS BY
INVENTORS ARE A NATURAL OUTGROWTH OF INCREASED RECOGNITION OF PATENT RIGHTS
FOR SOFTWARE

COMPANIES ARE PURSUING THESE CASES AND OTHERS LIKE THEM IN THE WAKE OF
THREE PROMINENT LEGAL RULINGS LAST YEAR THAT APPEARED TO UNDERMINE
PROTECTION FOR SOFTWARE APPLE COMPUTER INC WAS ALMOST ENTIRELY REBUFFED IN
ITS EFFORT TO PROVE THAT MICROSOFT AND HEWLETTPACKARD CO ILLEGALLY COPIED
THE LOOK AND FEEL OF ITS POPULAR MACINTOSH PROGRAMS COMPUTER ASSOCIATES
INTERNATIONAL LOST A COPYRIGHT CLAIM AGAINST ALTAI INC THAT GENERATED A
DECISION BY THE PROMINENT US SECOND CIRCUIT APPEALS COURT NEW YORK
SHARPLY LIMITING THE MATERIAL IN A PROGRAM WHICH CAN BE COPYRIGHTED

AND VIDEOGAME MAKER ACCOLADE INC WON A STUNNING VICTORY OVER SEGA
ENTERPRISES LTD IN THE US NINTH CIRCUIT COURT OF APPEALS SAN FRANCISCO
THAT COURT RULED THAT REVERSE ENGINEERING THE PROCESS OF COPYING A
COMPETITOR'S COMPUTER PROGRAM IN ORDER TO BREAK IT DOWN AND SEE HOW IT
WORKS IS A LEGAL FAIR USE UNDER THE COPYRIGHT LAW

THESE CASES WERE VICTORIES FOR LEGAL SCHOLARS AND SCIENTISTS WHO CONTEND
THAT SOME COMPANIES HAVE BEEN UNFAIRLY TRYING TO RESTRICT ACCESS TO THE
LATEST SOFTWARE DEVELOPMENTS BUT COPYRIGHT LITIGATION ISN'T DEAD YET
EITHER IBM FOR EXAMPLE RECENTLY FILED A LAWSUIT IN TOKYO AGAINST KYOCERA
CORP ALLEGING THAT IT VIOLATED A COPYRIGHT FOR A MICROCODE IN A CHIP THAT
CONTROLS DATA TRAFFIC IN PERSONAL COMPUTERS AND LAST WEEK INTEL CORP
HAVING SEEN ITS STOCK PLUMMET AFTER LOSING ONE CASE TO KEEP ADVANCED MIRCRO
DEVICES INC FROM USING CERTAIN KINDS OF SOFTWARE IMBEDDED IN COMPUTER CHIPS
KNOWN AS MICROCODES FILED ANOTHER SUIT ALLEGING COPYRIGHT INFRINGEMENT BY
ADVANCED MICRO DEVICES

MEANWHILE A RECENT CASE MAI SYSTEMS CORP VS PEAK COMPUTER INC OFFERED
SOME HOPE TO THOSE WHO STILL SEEK TO USE COPYRIGHT LAW TO PROTECT THEIR
SOFTWARE THE FEDERAL APPEALS COURT IN SAN FRANCISCO SAID IN THE MAI CASE
THAT COPYING A PROGRAM EVEN TEMPORARILY IN A COMPUTER'S MEMORY CAN BE A
COPYRIGHT VIOLATION

SEVERAL LOS ANGELES RIOT VICTIMS ARE SUING THE CITY UNDER THE SAME FEDERAL
LAW THAT WAS USED LAST MONTH TO CONVICT THE POLICE OFFICERS WHO BEAT RODNEY
KING

FOUR 1992 RIOT VICTIMS INCLUDING TRUCKER REGINALD DENNY AND TWO OTHER
MOTORISTS ATTACKED AT THE SAME STREET CORNER ALLEGE THAT POLICE GAVE POOR
NEIGHBORHOODS LESS PROTECTION DURING THE RIOT THE VICTIMS SAY SUCH POLICE
DISCRIMINATION VIOLATED THEIR CIVIL RIGHTS AND THEY EACH SEEK 40 MILLION
IN DAMAGES

THE VICTIMS ALSO COULD SUE THEIR ASSAILANTS DIRECTLY BUT WOULDN'T BE LIKELY
TO COLLECT MUCH MONEY THE FEDERAL CIVILRIGHTS ACT IS PERHAPS THE ONLY WAY
THE VICTIMS COULD SUCCESSFULLY SUE THE CITY ATTORNEYS SAID BECAUSE THE
LOCAL GOVERNMENT GENERALLY HAS IMMUNITY WHEN IT FAILS TO PROVIDE POLICE
PROTECTION

CIVILRIGHTS SPECIALISTS SAID THE SUITS WILL BE HARD TO WIN THE VICTIMS
WILL HAVE TO SHOW AN INTENTIONAL VIOLATION OF CIVIL RIGHTS SUCH AS A CITY
POLICY TO WITHHOLD POLICE SERVICES FROM SOUTH CENTRAL LOS ANGELES SAID
KEVIN REED WESTERN REGIONAL COUNSEL IN LOS ANGELES FOR THE NAACP LEGAL
DEFENSE AND EDUCATIONAL FUND

NEW YORK UNIVERSITY VISITING LAW PROFESSOR DERRICK BELL WHO HAS WRITTEN
ABOUT CONSTITUTIONAL LAW AND MINORITY ISSUES AGREED BUT NOTED THAT WHEN THE
CITY GEARED UP FOR THE RECENT FEDERAL VERDICT IN THE POLICEOFFICER TRIAL
CRIME DROPPED DRAMATICALLY IN POOR NEIGHBORHOODS IF WE'RE ABLE TO PROTECT
THE MIDDLECLASS PEOPLE WHO FLY IN HERE FOR THE OLYMPICS WHY AREN'T WE ABLE
TO PROTECT POORER PEOPLE AS WELL HE ASKED

THOMAS HOKINSON SENIOR ASSISTANT CITY ATTORNEY WAS NOT AVAILABLE FOR
COMMENT NEITHER WAS LOS ANGELES ATTORNEY JOHNNIE L COCHRAN JR WHO FILED
THE SUITS

JUDGES AND LAW PROFESSORS HAVE ENJOYED HEFTIER SALARY INCREASES OVER THE
PAST FIVE YEARS THAN MANY OF THEIR PRIVATEFIRM COUNTERPARTS ACCORDING TO
THE NATIONAL LAW JOURNAL'S ANNUAL SURVEY OF LAWYER COMPENSATION

SALARIES FOR FEDERAL JUDGES HAVE RISEN ABOUT 50 SINCE THE SPRING OF 1989
AND MANY LAW PROFESSORS ARE MAKING 25 TO 30 MORE THAN THEY WERE IN 1988
THE SURVEY FOUND THEIR COMPENSATION REMAINS HOWEVER FAR LOWER THAN THAT
OF LAWYERS IN PRIVATE PRACTICE

MEANTIME AT THE NATION'S LARGEST LAW FIRMS ASSOCIATE SALARIES HAVE
REMAINED FLAT AND AVERAGE PROFIT PER PARTNER HAS DECLINED FROM 360000 IN
1988 TO 319000 IN 1992 THE SURVEY FOUND ONLY TWO FIRMS ON THIS YEAR'S
SURVEY EARNED MORE THAN 500000 IN PROFIT PER PARTNER COMPARED TO SEVEN
SUCH FIRMS IN 1989

ELDER LAW THE EXPANDING FIELD OF LAW AFFECTING THE ELDERLY GETS ITS OWN LAW
REVIEW IN JUNE THE ELDER LAW JOURNAL EDITED BY STUDENTS AT THE UNIVERSITY
OF ILLINOIS COLLEGE OF LAW IN URBANA WILL BE PUBLISHED TWICE A YEAR AND MIX
SCHOLARLY WRITINGS WITH ARTICLES AIMED AT PRACTICING ATTORNEYS THE FIRST
VOLUME INCLUDES ARTICLES ON GOVERNMENT REGULATION OF CONTINUINGCARE
RETIREMENT COMMUNITIES WAYS FOR THE ELDERLY TO TURN HOME EQUITY INTO
MONTHLY INCOME AND ISSUES SURROUNDING OUTPATIENT CARE OF PATIENTS WITH
ALZHEIMER'S DISEASE

LOWER PAY THE LONDONBASED INTERNATIONAL LAW FIRM CLIFFORD CHANCE IS
REDUCING STARTING SALARIES FOR NEWLY QUALIFIED LAWYERS THE REDUCTION
THOUGH SMALL FROM 27000 TO 26000 FROM 42457 TO 40885 
REFLECTS NOT ONLY AN INCREASE IN THE NUMBER OF NEW LAWYERS ON THE MARKET
BUT ALSO THE SLUMP IN LEGAL BUSINESS DUE TO BRITAIN'S RECESSION WE FEEL THE
NEW SALARIES MORE ACCURATELY REFLECT MARKET CONDITIONS SAID CLIFFORD
CHANCE PARTNER CHRIS PERRIN WHO IS IN CHARGE OF RECRUITING NEW LAW SCHOOL
GRADUATES WE THINK OTHER FIRMS WILL FOLLOW OUR LEAD

JUNDA WOO CONTRIBUTED TO THIS ARTICLE 9305040071 930504 BUSINESS BRIEF 
MINNESOTA MINING & MANUFACTURING COMPANY SAYS PROFIT ROSE TO 330
MILLION IN 1ST PERIOD

MINNESOTA MINING & MANUFACTURING CO ST PAUL MINN SAID STRONG
PERFORMANCE IN ITS US INDUSTRIAL AND CONSUMER SECTOR HELPED RAISE
FIRSTQUARTER NET INCOME TO 330 MILLION OR 151 A SHARE COMPARED WITH
303 MILLION OR 138 A SHARE IN 1992

SALES IN THAT SECTOR ROSE NEARLY 10 THE COMPANY SAID ITS OTHER TWO
DIVISIONS LIFE SCIENCES AND ELECTRONICS ALSO SHOWED GOOD SALES
GAINS

OVERALL 3M'S REVENUE GREW BY 23 IN THE QUARTER TO 352 BILLION FROM
344 BILLION A YEAR EARLIER A STRONGER US DOLLAR HAD THE NEGATIVE EFFECT
OF REDUCING SALES IN THE QUARTER BY 2 AND NET INCOME BY 11 MILLION OR
FIVE CENTS A SHARE

THE COMPANY'S 1992 FIRSTQUARTER EARNINGS WERE REDUCED BY 3 MILLION OR TWO
CENTS A SHARE BY AN ACCOUNTING CHANGE

LOOKING FORWARD CHAIRMAN LD DESIMONE SAID HE EXPECTS A GOOD INCREASE IN
1993 EARNINGS IF THE ECONOMY DOESN'T CHANGE WE EXPECT OUR 1993 RESULTS TO
BENEFIT FROM A STRONG EMPHASIS ON NEW PRODUCTS INCREASED PENETRATION OF
INTERNATIONAL MARKETS CUSTOMER SATISFACTION AND PRODUCTIVITY IMPROVEMENT
HE SAID 9305040070 930504 BUSINESS BRIEF ADOLPH COORS CO FIRM
FORMS JOINT VENTURE WITH NEW ZEALAND BREWER

ADOLPH COORS CO FORMED A JOINT VENTURE WITH A NEW ZEALAND BREWER IN AN
EFFORT TO EXPAND THE COMPANY'S IMPORT AND SPECIALTY BEER PORTFOLIO

THE COMPANY SAID ITS COORS BREWING CO UNIT AND NEW ZEALAND'S LION NATHAN
WILL EACH OWN 50 OF A NEWLYFORMED UNIT TO BE CALLED UNIBEV LTD WHICH
WILL PURSUE MARKET SHARE IN THE IMPORT AND SPECIALTY BEER MARKETS THE JOINT
VENTURE PARTNERS WILL SHARE EQUALLY THE UNIT'S OPERATING COSTS REVENUE AND
MANAGEMENT DUTIES

UNIBEV'S FIRST EFFORT WILL BE THE AMERICAN LAUNCH OF LION NATHAN'S
CASTLEMAINE XXXX A BRAND THAT COORS IN GOLDEN COLO SAID HAS A 65 MARKET
SHARE IN THE AUSTRALIAN STATE OF QUEENSLAND WHERE IT IS BREWED THE
PRODUCT'S US DEBUT IS SCHEDULED FOR SEPTEMBER COORS SAID

AFTER THE ANNOUNCEMENT OF THE NEW VENTURE YESTERDAY COORS STOCK ROSE 50
CENTS CLOSING AT 17875 A SHARE IN COMPOSITE TRADING ON THE
OVERTHECOUNTER MARKET 9305040069 930504 HEARING TO CONFIRM ROLLWAGEN
DELAYED BY TRADING PROBE  BY BOB DAVIS AND KYLE POPE STAFF
REPORTERS OF THE WALL STREET JOURNAL

THE COMMERCE DEPARTMENT SAID SENATE HEARINGS TO CONFIRM JOHN A ROLLWAGEN AS
THE AGENCY'S NO 2 OFFICIAL HAVE BEEN POSTPONED AS A RESULT OF A FEDERAL
INSIDER TRADING PROBE

A COMMERCE DEPARTMENT SPOKESMAN SAID THE SECURITIES AND EXCHANGE COMMISSION
HAD REQUESTED MR ROLLWAGEN TO PARTICIPATE IN AN INVESTIGATION INTO THE
TRADING OF SHARES OF CRAY COMPUTER CORP A SPINOFF OF CRAY RESEARCH INC
MR ROLLWAGEN WAS CHIEF EXECUTIVE OFFICER OF CRAY RESEARCH BASED IN EAGAN
MINN BEFORE HE WAS NOMINATED FOR THE COMMERCE DEPARTMENT JOB THIS YEAR

MR ROLLWAGEN DIDN'T RETURN A PHONE CALL SEEKING COMMENT AND THE SEC SAID
IT COULDN'T CONFIRM OR DENY ANY INVESTIGATION THE DELAY IN THE HEARINGS WAS
FIRST REPORTED IN THE WASHINGTON POST

STEVE CONWAY A CRAY RESEARCH SPOKESMAN SAID NEITHER THE COMPANY NOR MR
ROLLWAGEN IS BELIEVED TO BE A TARGET OF THE SEC PROBE RATHER MR CONWAY
SAID INVESTIGATORS ARE LOOKING INTO TRADING IN CRAY COMPUTER BASED IN
COLORADO SPRINGS COLO WE'VE NEVER BEEN TOLD THAT WE ARE A TARGET OF ANY
INVESTIGATION MR CONWAY SAID WE'VE JUST BEEN ASKED FOR INFORMATION

WILLIAM SKOLOUT CRAY COMPUTER'S CHIEF FINANCIAL OFFICER SAID HIS COMPANY
HAS RECEIVED FEW DETAILS ABOUT THE SEC INQUIRY WE'RE AWARE OF A NONPUBLIC
CONFIDENTIAL INVESTIGATION AND WE'RE COOPERATING MR SKOLOUT SAID

MR CONWAY THOUGH SAID THE PROBE CENTERS AROUND THE CANCELLATION OF A CRAY
COMPUTER CONTRACT WITH LAWRENCE LIVERMORE NATIONAL LABORATORY AN ATTORNEY
AT THE LAB WILLIAM DEGARMO PAID THE SEC 54000 EARLIER THIS YEAR TO
SETTLE CHARGES THAT HE MADE 27332 IN PROFITS BY SHORTSELLING CRAY COMPUTER
STOCK BEFORE THE COMPANY DISCLOSED THAT IT HAD LOST THE SUPERCOMPUTER
CONTRACT

NEWS OF THE CANCELLATION OF THE CONTRACT WHICH WAS VALUED AT ABOUT 30
MILLION SENT CRAY COMPUTER'S STOCK TUMBLING MORE THAN 50 THE LIVERMORE
WORK LATER WAS AWARDED TO CRAY RESEARCH

IN A LAWSUIT FILED IN DENVER FEDERAL COURT LAST YEAR FOUR SHAREHOLDERS
ACCUSED CRAY COMPUTER EXECUTIVES OF SELLING THEIR SHARES IN THE COMPANY IN
THE FINAL MONTHS OF 1991 BECAUSE THEY KNEW THAT THE COMPANY'S CONTRACT WITH
LIVERMORECRAY COMPUTER'S ONLY CUSTOMER WAS TENUOUS THE SHAREHOLDERS
ALSO ALLEGED THAT CRAY COMPUTER OFFICIALS KNEW WORK ON THE COMPANY'S NEW
CRAY3 SUPERCOMPUTER WAS BEHIND SCHEDULE EVEN AS THEY MADE PREPARATIONS FOR
A 65 MILLION OFFERING OF STOCK THE SUIT WAS SETTLED LAST MONTH

MEANWHILE THE POSTPONEMENT OF MR ROLLWAGEN'S CONFIRMATION ALSO DELAYS
CONFIRMATION HEARINGS OF A NUMBER OF OTHER TECHNOLOGY OFFICIALS AT THE
COMMERCE DEPARTMENT ALTHOUGH MR ROLLWAGEN HASN'T BEEN CONFIRMED HE HAS
WORKED ON A NUMBER OF TECHNOLOGY AND TRADE INITIATIVES AS A CONSULTANT TO
THE DEPARTMENT 9305040067 930504 BUSINESS BRIEF ANADARKO PETROLEUM
CORP CAPITAL EXPENDITURES TO RISE BY 14 IN '93 FOR EXPLORATION

ANADARKO PETROLEUM CORP SAID IT WILL BOOST ITS 1993 CAPITAL EXPENDITURE
BUDGET BY 14 TO 290 MILLION FROM 255 MILLION ORIGINALLY BUDGETED FOR
THIS YEAR

BASED IN HOUSTON ANADARKO IS AN INDEPENDENT NATURAL GAS AND CRUDE OIL
EXPLORATION AND PRODUCTION COMPANY

THE INCREASE WILL BE USED PRIMARILY FOR DOMESTIC EXPLORATION AND DEVELOPMENT
ACTIVITY IN THE MIDCONTINENT AND GULF COAST REGIONS AS WELL AS THE GULF OF
MEXICO EVEN WITH THE INCREASE HOWEVER ANADARKO'S CAPITAL SPENDING WILL BE
BELOW THAT OF LAST YEAR IN 1992 THE COMPANY SPENT 360 MILLION INCLUDING
206 MILLION FOR PRODUCINGPROPERTY ACQUISITIONS

IN A STATEMENT CHAIRMAN ROBERT J ALLISON JR SAID ANADARKO'S RECENT
SUCCESS IN SEVERAL EXPLORATION TRENDS WARRANTS INCREASED SPENDING FOR
FURTHER EXPLORATION AND DEVELOPMENT DRILLING 9305040066 930504 BUSINESS
BRIEF MORNINGSTAR GROUP INC REDUCED DEBT INCREASES NET NEARLY
TENFOLD FOR 1ST PERIOD

MORNINGSTAR GROUP INC ENJOYING THE BENEFITS OF AN INITIAL PUBLIC OFFERING
LAST YEAR THAT REDUCED DEBT SAID FIRSTQUARTER NET INCOME ROSE NEARLY
TENFOLD TO 19 MILLION FROM 200000 IN THE FIRST QUARTER OF LAST YEAR

IT MARKS THE DALLAS DAIRY'S THIRDCONSECUTIVE PROFITABLE QUARTER SINCE IT
WAS TAKEN PUBLIC IN APRIL 1992 BY HICKS MUSE & CO LEVERAGEDTAKEOVER
SPECIALISTS MORNINGSTAR'S FIRSTQUARTER EARNINGS PER COMMON SHARE WERE 13
CENTS COMPARED WITH A LOSS OF SEVEN CENTS A SHARE FOR THE YEAREARLIER
FIRST QUARTER AFTER PAYMENT OF PREFERRED STOCK DIVIDENDS

REDUCED INTEREST PAYMENTS FOLLOWING THE PUBLIC OFFERING WERE THE MAIN REASON
FOR THE PROFIT WHICH CAME DESPITE INCREASED PROMOTIONAL EXPENSES FOR THE
COMPANY'S NATURALLY YOURS LOWFAT SOUR CREAM AND A NEW FATFREE VERSION OF
ITS SECOND NATURE EGG PRODUCT SAID TRACY L NOLL MORNINGSTAR'S CHIEF
FINANCIAL OFFICER

THOSE PROMOTIONAL EXPENSES DROVE FIRSTQUARTER OPERATING PROFIT 44
MILLION FROM 47 MILLION IN THE FIRST QUARTER OF 1992 MR NOLL SAID
TOTAL SALES FELL 19 TO 883 MILLION FROM 1094 MILLION IN THE FIRST
QUARTER OF 1992 REFLECTING THE SALE OF A DAIRY AND ICE CREAM MANUFACTURER
THE COMPANY SAID

IN NATIONAL OVERTHECOUNTER TRADING YESTERDAY MORNINGSTAR WAS QUOTED AT
10125 UP 375 CENTS 9305040065 930504 NEW SECURITIES ISSUES

THE FOLLOWING WERE AMONG YESTERDAY'S OFFERINGS AND PRICINGS IN US AND
NONUS CAPITAL MARKETS WITH TERMS AND SYNDICATE MANAGER AS COMPILED BY
DOW JONES CAPITAL MARKETS REPORT

WORLD COLOR PRESS INC 150 MILLION OF SENIOR NOTES DUE MARCH 15 2003
PRICED AT PAR TO YIELD 9125 ACCORDING TO MCM CORPORATEWATCH NONCALLABLE
FOR FIVE YEARS THE ISSUE IS RATED SINGLEB1 BY MOODY'S INVESTORS SERVICE
INC AND DOUBLEBMINUS BY STANDARD & POOR'S CORP THE ISSUE WILL BE SOLD
THROUGH UNDERWRITERS LED BY DONALDSON LUFKIN & JENRETTE SECURITIES CORP

DUARTE CALIF 150 MILLION OF CERTIFICATES OF PARTICIPATION TENTATIVELY
PRICED BY A PAINEWEBBER GROUP TO YIELD FROM 325 IN 1994 TO 64 IN 2023
THE BONDS ARE RATED BAA1 BY MOODY'S AND NOT RATED BY S&P FUNDS ARE TO BE
USED BY THE CITY OF HOPE NATIONAL MEDICAL CENTER

FEDERAL HOME LOAN MORTGAGE CORP 730 MILLION OF REAL ESTATE MORTGAGE
INVESTMENT CONDUIT SECURITIES OFFERED BY KIDDER PEABODY & CO THE OFFERING
SERIES GOLD 1534 IS BACKED BY FREDDIE MAC GOLD 7 1/2 MORTGAGE SECURITIES
THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF 81 AND WEIGHTED
AVERAGE REMAINING TERM TO MATURITY OF 2958 YEARS

FEDERAL NATIONAL MORTGAGE ASSOCIATION 175 MILLION OF REAL ESTATE
MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY PRUDENTIAL SECURITIES INC
THE OFFERING SERIES 199392 IS BACKED BY 75 MILLION OF THE PRINCIPALONLY
CLASS OF STRIPS TRUST 221 AND 100 MILLION OF THE SYNTHETIC 10 CLASS OF
STRIPS TRUST 221 STRIPS TRUST 221 IS IN TURN BACKED BY FANNIE MAE'S 7 1/2
MORTGAGE SECURITIES THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF
805 AND WEIGHTED AVERAGE REMAINING TERM TO MATURITY OF 295 YEARS
9305040064 930504 BUSINESS BRIEF CMS ENERGY CORP UNIT THREE OTHER
CONCERNS BUY STAKE IN ARGENTINA PLANT

CMS ENERGY CORP DEARBORN MICH SAID ITS INDEPENDENT POWER SUBSIDIARY
CMS GENERATION CO ACQUIRED WITH THREE OTHER COMPANIES AN 88 INTEREST IN A
675MEGAWATT POWER PLANT IN ARGENTINA

OTHER MEMBERS OF THE CONSORTIUM ARE AES CORP OF ARLINGTON VA COMMUNITY
ENERGY ALTERNATIVES A SUBSIDIARY OF PUBLIC SERVICE ENTERPRISE GROUP INC OF
NEWARK NJ AND ORMAS A LEADING ARGENTINE CONSTRUCTION FIRM

CMS GENERATION ACQUIRED 21 OF THE INTEREST PURCHASED BY THE US COMPANIES
THE ARGENTINE GOVERNMENT WILL HOLD THE REMAINING 12 OWNERSHIP OF THE PLANT
ON BEHALF OF THE EMPLOYEES THE PURCHASE WAS MADE UNDER THE GOVERNMENT'S
PROGRAM TO PRIVATIZE ARGENTINA'S STATEOWNED UTILITY SYSTEM IT LOOKED LIKE
A GOOD INVESTMENT SAID A CMS SPOKESMAN 9305040063 930504 BUSINESS BRIEF
 TEJAS GAS CORP COMPANY AGREES TO BUY EXXON PIPELINE SYSTEMS

TEJAS GAS CORP SAID IT AGREED TO BUY EXXON CORP'S TEXAS AND LOUISIANA
PIPELINE SYSTEMS TERMS WERE NOT DISCLOSED

THE ACQUISITION OF 2200 MILES OF PIPELINE WILL INCREASE THE SIZE OF THE
TEJAS PIPELINE SYSTEM 68 TEJAS HOUSTON HAS ABOUT 3200 MILES OF PIPELINE
IN TEXAS AND LOUISIANA THE PURCHASE IS CONDITIONED ON DUE DILIGENCE AS WELL
AS BOARD AND REGULATORY APPROVALS

INCLUDED IN THE PURCHASE IS EXXON'S 600MILE SYSTEM IN LOUISIANA AND 1600
MILE SYSTEM IN TEXAS THE TEXAS SYSTEM ACCESSES NATURAL GAS RESERVES IN
SOUTH TEXAS EAST TEXAS TEXAS GULF COAST AND OFFSHORE TEXAS

A TEJAS SPOKESMAN SAID IT WOULD USE BANK BORROWING TO FINANCE THE
ACQUISITIO BUT WOULD NOT SAY HOW MUCH TEJAS INTENDS TO BORROW

CONSTRUCTION OF NEW NATURAL GAS PIPELINE COSTS IN THE RANGE OF 200000 TO
1 MILLION A MILE SAY INDUSTRY SOURCES 9305040062 930504 RAGING BULL
ELAINE GARZARELLI IS BETTING BIG ON STOCKS  BY ANITA RAGHAVAN 
STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK ELAINE GARZARELLI CAN'T OWN ENOUGH STOCKS

MS GARZARELLI IS THE SHEARSON LEHMAN BROTHERS ANALYST WHO CATAPULTED TO
STARDOM IN 1987 BY PREDICTING A MARKET DOWNTURN JUST WEEKS BEFORE STOCKS
CAME CRASHING DOWN NOW SHE IS SO CONVINCED THAT STOCK PRICES ARE HEADED
HIGHER THAT ALL HER PERSONAL MONEY IS INVESTED IN STOCKS AND IF PRICES FALL
SHARPLY SHE SAYS SHE WILL BORROW MONEY TO BUY MORE STOCKS

MS GARZARELLI IS A RAGING BULL AT A TIME WHEN MANY TRADERS AND MONEY
MANAGERS ON WALL STREET ARE EXTREMELY SKITTISH ABOUT THE MARKET BEHIND HER
UNABASHEDLY OPTIMISTIC OUTLOOK IS A DEEP FAITH THAT PRESIDENT CLINTON'S
POLICIES WILL BE GOOD FOR THE ECONOMY AND THE STOCK MARKET

UNLIKE MANY OF HER COLLEAGUES WHO ARE WORRIED THAT THE CLINTON
ADMINISTRATION'S PLAN FOR HIGHER TAXES IS GOING TO SINK THE ECONOMY AND
DROWN STOCKS MS GARZARELLI IS ONE OF WALL STREET'S BIGGEST FANS OF MR
CLINTON EVEN THOUGH SHE DIDN'T VOTE FOR HIM AND HAS YET TO MEET HIM

I THINK THE MARKET IS GOING TO BE LIKE A ROCKET SHIP WHEN EVERYBODY
REALIZES THAT MR CLINTON'S PLANS ARE GOOD FOR THE ECONOMY SAYS THE
40YEAROLD QUANTITATIVE ANALYST SHE IS ESPECIALLY ATTRACTED TO SUCH
ECONOMICALLY SENSITIVE OR CYCLICAL STOCKS AS AIRLINES AUTOS AND MAJOR
BANKS ALTHOUGH HER LIST OF ATTRACTIVE INDUSTRY GROWS FAR LONGER THAN THOSE
ON WHICH SHE IS NEUTRAL OR FINDS UNATTRACTIVE

FOR THE PAST NINE YEARS A POLL BY INSTITUTIONAL INVESTOR HAS RANKED MS
GARZARELLI NO 1 AMONG QUANTITATIVE ANALYSTS WHO TRY TO OUTGUESS THE
MARKET BY USING A BATTERY OF TECHNICAL INDICATORS MS GARZARELLI'S STOCK
MARKET MODEL IS DOMINATED BY MONETARY STATISTICS

RIGHT NOW NINE OF HER 14 STOCK MARKET INDICATORS WHICH TRACK EVERYTHING
FROM INTEREST RATES TO EARNINGS TRENDS ARE BULLISH FOUR ARE BEARISH AND
ONE IS NEUTRAL GIVING HER A READING OF 6725 ON THE STOCK MARKET THE
INDICATORS FLASH SELL IF THEY DROP BELOW 30 AND SCREAM BUY IF THEY
CLIMB ABOVE 65

WHILE HER MOST RECENT READING ON THE MARKET ISN'T QUITE AS BULLISH AS THE
PREVIOUS ONE MS GARZARELLI SAYS THERE IS NO WAY ANYONE CAN BE BEARISH ON
STOCKS UNLESS INTEREST RATES RISE

YET RIGHT NOW BEARS ABOUND ON WALL STREET ACCORDING TO INVESTORS
INTELLIGENCE A NEWSLETTER THAT TRACKS MARKET SENTIMENT AMONG 130 INVESTMENT
ADVISERS 418 OF ADVISERS WERE BULLISH ON STOCKS AND 30 WERE BEARISH AS
OF LAST WEEK ANOTHER 282 WERE BULLISH ON THE STOCK MARKET LONGTERM BUT
ARE EXPECTING A CORRECTION IN THE NEXT FEW MONTHS THAT IS UP FROM 261 THE
PREVIOUS WEEK

MS GARZARELLI SAYS SO MANY WALL STREET PROFESSIONALS EXPECT TO BE STUNG BY
PRESIDENT CLINTON'S PLAN FOR HIGHER TAXES THAT THEIR VIEWS ON THE STOCK
MARKET ARE INCREASINGLY BEING COLORED BY THEIR PERSONAL OUTLOOK

THEY SEE THEMSELVES HIT WITH HIGHER TAXES AND THEY GET DEPRESSED AND
EXTRAPOLATE THAT TO THE STOCK MARKET MS GARZARELLI SAYS BUT EVERYBODY
IS SO NEGATIVE BECAUSE OF THE TAX INCREASES THAT THERE IS NO DIRECTION TO GO
BUT SIDEWAYS TO UP

OVER THE NEXT 12 TO 18 MONTHS SHE THINKS THE STANDARD & POOR'S 500STOCK
INDEX CAN SOAR 13 TO 500 AND THE DOW JONES INDUSTRIAL AVERAGE CAN SHOOT UP
103 TO 3800

MS GARZARELLI CONCEDES THAT PRESIDENT CLINTON'S PLANS TO HEAP MORE TAXES ON
INDIVIDUALS AND CORPORATIONS ARE LIKELY TO SLOW THE ECONOMY AND DEPRESS
CORPORATE PROFITS BUT SHE NOTES THAT MR CLINTON IS THE FIRST PRESIDENT IN
A LONG TIME WHO HAS SUCCEEDED IN CONVINCING THE BOND MARKET THAT HE IS
SERIOUS ABOUT REDUCING THE BUDGET DEFICIT

AND EVEN THOUGH MANY WALL STREET STRATEGISTS ARE GROWING MORE SKEPTICAL
ABOUT MR CLINTON'S ABILITY TO PULL OFF DEFICIT REDUCTION ESPECIALLY AFTER
THE DEFEAT OF HIS ECONOMIC STIMULUS BILL MS GARZARELLI ISN'T READY TO
DOUBT HIS CLOUT

IF THE REPUBLICANS DON'T PASS DEFICIT REDUCTION THEY ARE GOING TO LOOK
TERRIBLE SHE SAYS

THOUGH MOST ANALYSTS THINK STOCKS LOOK PRICEY MS GARZARELLI SAYS THAT BY
HER INDICATORS THEY ARE STILL CHEAP SHE SAYS THAT WHILE MOST ANALYSTS TEND
TO FOCUS ON REPORTED EARNINGS SHE VALUES STOCKS ON THE BASIS OF EARNINGS
THAT ARE ADJUSTED FOR WRITEOFFS AND ACCOUNTING FOR WRITEOFFS CAN OFTEN
MAKE A HUGE DIFFERENCE FOR INSTANCE LAST YEAR WRITEOFFS LOWERED EARNINGS
BY 20 AND THE PREVIOUS YEAR BY 30

SO FOCUSED IS SHE ON HER ANALYSIS THAT IT EVEN PERVADES HER DREAMS I
DREAMED THAT THE STOCK MARKET CRASHED AND THE REASON WAS INVESTORS WERE
LOOKING AT REPORTED EARNINGS INSTEAD OF ADJUSTED EARNINGS SHE SAYS

FURTHERMORE WHILE MOST QUANTITATIVE ANALYSTS ARE FIXATED ON THE DIVIDEND
YIELD OF THE S&P 500 WHICH HAS SLUMPED TO 282 SLIGHTLY BELOW THE
DANGER ZONE OF 3 MS GARZARELLI ONLY EXAMINES IT IN THE CONTEXT OF
INTEREST RATES RIGHT NOW SHORTTERM INTEREST RATES ARE LOW ENOUGH TO
JUSTIFY THE MARKET'S SKIMPY DIVIDEND YIELD SHE SAYS

WHAT MIGHT PROMPT HER TO CHANGE HER OUTLOOK

RISING INTEREST RATES OR WILDLY BULLISH SENTIMENT AMONG STOCK INVESTORS
SAYS MS GARZARELLI IF THE YIELD ON TREASURY BILLS RISES TO 385 FROM
THEIR CURRENT LEVEL OF 292 SHE WOULD BE BEARISH ON STOCKS EXPECTING A
10 TO 15 DROP

BUT THAT'S NOT THE ENVIRONMENT THAT STOCK INVESTORS FACE NOW

IT IS THE PERFECT TIME FOR THE MARKET TO GO UP MS GARZARELLI SAYS
EVERYBODY IS NEGATIVE AND IF I DIDN'T HAVE THE EXPERIENCE I'D BE NERVOUS
BUT I'VE BEEN ALONE BEFORE

STILL MS GARZARELLI CONCEDES THAT ALL THE BEARISH SENTIMENT SURROUNDING
THE MARKET THESE DAYS SOMETIMES LEADS HER TO DOUBT HERSELF BUT EVEN THAT'S
A BULLISH SIGN FOR HER I ALWAYS KNOW WE ARE VERY CLOSE TO A RALLY WHEN I
START TO QUESTION MY OWN WORK SHE SAYS

UNFORTUNATELY MS GARZARELLI'S BULLISHNESS HASN'T HELPED HER CLIENTS THIS
YEAR HER 624 MILLION SHEARSON LEHMAN BROTHERS SECTOR ANALYSIS FUND IS UP
3 IN 1993 COMPARED WITH 43 FOR THE S&P 500 MOSTLY BECAUSE SHE WAS
BEARISH ON UTILITY AND GOLD STOCKS WHICH TOOK OFF THIS YEAR SINCE ITS
INCEPTION IN 1987 HER FUND HAS MANAGED TO BEST THE S&P SLIGHTLY CHALKING
UP A RETURN OF 661 COMPARED WITH 651 FOR THE S&P 9305040061 930504
BUSINESS BRIEF OHM CORP CLEANUP SERVICES COMPANY POSTS
FIRSTQUARTER PROFIT

OHM CORP REPORTED FIRSTQUARTER NET INCOME OF 331000 OR THREE CENTS A
SHARE COMPARED WITH A LOSS OF 759000 OR SIX CENTS A SHARE

MEANWHILE A SPOKESWOMAN SAID THE FINDLAY OHIO ENVIRONMENTAL CLEANUP
SERVICES COMPANY IS COMFORTABLE WITH ANALYSTS' ESTIMATES THAT IT WILL EARN
40 CENTS TO 60 CENTS A SHARE IN 1993 LAST YEAR THE COMPANY HAD A LOSS OF
43 MILLION OR 35 CENTS A SHARE INCLUDING CHARGES FOR ACCOUNTING
ADJUSTMENTS IN THE 1992 FIRST QUARTER OF 857000 OR SEVEN CENTS A SHARE

JAMES L KIRK CHAIRMAN AND CHIEF EXECUTIVE OFFICER ATTRIBUTED THE IMPROVED
OUTLOOK TO COST CONTROLS HIGHER MARGINS AND INCREASED CLEANUP SPENDING AS
HAZARDOUS WASTE CLEANUP PROJECTS MOVE OFF THE DRAWING BOARD HE SAID OHM'S
BACKLOG WAS 168 MILLION AT MARCH 31 UP 37 FROM A YEAR EARLIER AND THAT
HE EXPECTS REVENUE TO GROW BETWEEN 20 AND 25 A YEAR FOR THE NEXT SEVERAL
YEARS REVENUE FOR THE FIRST QUARTER WAS 44 MILLION DOWN FROM 477
MILLION A YEAR AGO WHICH THE COMPANY ATTRIBUTED TO POOR WEATHER AND REDUCED
DEMAND IN THE PRIVATE SECTOR 9305040060 930504 CREDIT MARKETS BOND
PRICES RALLY ON SIGN THAT MANUFACTURING IS SLOWING AND ON OUTLOOK FOR US
REFUNDING  BY THOMAS T VOGEL JR AND THOMAS D LAURICELLA STAFF
REPORTERS OF THE WALL STREET JOURNAL

NEW YORK BOND PRICES SURGED IN REACTION TO A REPORT SUGGESTING THAT
MANUFACTURING ACTIVITY MAY BE SLOWING AND AMID SPECULATION ABOUT NEXT WEEK'S
MASSIVE QUARTERLY REFUNDING AUCTIONS BY THE TREASURY

HOWEVER A NUMBER OF MARKET ANALYSTS BELIEVE YESTERDAY'S EUPHORIA MAY BE
SHORTLIVED AND THE BOND MARKET'S LONG RALLY MAY BE IN DANGER OF FIZZLING
OUT

BY DAY'S END THE 30YEAR TREASURY BOND HAD RISEN MORE THAN 7/8 POINT OR
MORE THAN 875 FOR A BOND WITH A 1000 FACE VALUE TO 103 13/32 ITS
YIELD WHICH MOVES IN THE OPPOSITE DIRECTION OF THE PRICE FELL TO 685
FROM 692 ON FRIDAY THE 10YEAR NOTE ROSE MORE THAN 1/2 POINT TO 102 9/32
TO YIELD 593 DOWN FROM 601

BOND PRICES SURGED IN RESPONSE TO A REPORT FROM THE NATIONAL ASSOCIATION OF
PURCHASING MANAGEMENT WHICH SHOWED A SLIGHT PULLBACK IN THE MANUFACTURING
SECTOR DURING APRIL THE NAPM SAID ITS INDEX OF BUSINESS ACTIVITY FELL TO
497 FROM 534 IN MARCH ITS FIRST DROP BELOW 50 SINCE LAST SEPTEMBER A
READING BELOW 50 IN THE NAPM INDEX INDICATES THE MANUFACTURING SECTOR IS
GENERALLY CONTRACTING AND A FIGURE ABOVE 50 REFLECTS EXPANSION

CERTAINLY THE DOMINANT INFLUENCE IN THE MARKET IS THE RESPONSE TO THIS
LATEST EVIDENCE THAT THE ECONOMY FALTERED IN THE FIRST QUARTER AND THAT THE
WEAKNESS CARRIED OVER AT LEAST INTO THE FIRST PART OF THE SECOND QUARTER
SAID DAVID JONES CHIEF ECONOMIST AT AUBREY G LANSTON & CO

THE UNEXPECTEDLY WEAK READING ON THE ECONOMY SURPRISED MANY PLAYERS IN THE
MARKET

PEOPLE WERE EXPECTING IT TO BE A LITTLE LOWER BUT NOT THAT MUCH AND THAT
CERTAINLY MOTIVATED A LOT OF BUYING SAID DANA JOHNSON HEAD OF MARKET
ANALYSIS AT FIRST CHICAGO CAPITAL MARKETS IN CHICAGO

HELPING THE RALLY ALONG WAS A DECLINE IN THE NAPM'S READING ON APRIL LABOR
MARKET CONDITIONS WITH THE EMPLOYMENT INDEX SLIPPING TO 444 FROM 469 IN
MARCH THE DROP IN THE EMPLOYMENT FIGURE SERVED TO EASE FEARS IN THE MARKET
THAT THE GOVERNMENT'S APRIL EMPLOYMENT REPORT TO BE RELEASED FRIDAY WILL
SHOW A HEALTHY INCREASE IN NONFARM PAYROLL EMPLOYMENT

IT IS SUGGESTING THAT AT LEAST THE MANUFACTURING COMPONENT OF PAYROLLS IS
NOT GOING TO BE STRONG SAID MR JOHNSON OF FIRST CHICAGO

ANOTHER FACTOR THAT HELPED BOOST THE MARKET WAS SPECULATION ABOUT THE
TREASURY'S PLANS FOR NEXT WEEK'S HUGE QUARTERLY REFUNDING AUCTIONS OF
THREEYEAR NOTES 10YEAR NOTES AND 30YEAR BONDS SINCE FEBRUARY WHEN
PRESIDENT CLINTON PROPOSED THAT THE GOVERNMENT COULD SAVE 16 BILLION IN
INTEREST COSTS BY REDUCING LONGTERM BORROWING AND INCREASING SHORTTERM
BORROWING INVESTORS HAVE SPECULATED ABOUT POSSIBLE REDUCTIONS IN THE AMOUNT
OF ISSUANCE OF 30YEAR TREASURY BONDS AND 10YEAR NOTES IN FAVOR OF MORE
THREEMONTH BILLS REDUCTION OF 30YEAR BOND AND 10YEAR NOTE ISSUANCE COULD
INCREASE THE VALUE OF BONDS OUTSTANDING

ACCORDING TO LOUIS CRANDALL CHIEF ECONOMIST AT RH WRIGHTSON THE TREASURY
IS LIKELY TO INCREASE THE SIZE OF THE THREEYEAR NOTE AUCTION BY AS MUCH AS
500 MILLION TO 16 BILLION THANKS TO GREATERTHANEXPECTED BORROWING
NEEDS IN THE SECOND QUARTER BUT HE BELIEVES THAT THE SIZE OF THE 10YEAR
NOTE AND 30YEAR BOND AUCTIONS COULD BE CUT SIGNIFICANTLY HE SAYS THAT THE
10YEAR NOTE AUCTION IS LIKELY TO BE CUT BY 750 MILLION TO 10 BILLION
WHILE THE 30YEAR BOND IS LIKELY TO BE CUT AS MUCH AS 125 BILLION TO 8
BILLION

ROBERT GIORDANO CHIEF ECONOMIST AT GOLDMAN SACHS & CO HAS SAID HE
BELIEVES THE TREASURY MIGHT ELIMINATE THE 30YEAR BOND AT NEXT WEEK'S
AUCTION AND THEN BEGIN SELLING THEM SEMIANNUALLY RATHER THAN QUARTERLY

THE MARKET HELD ITS GAINS DESPITE AN ANNOUNCEMENT FROM THE TREASURY THAT IT
WOULD NEED TO RAISE 37 BILLION IN NEW CASH THIS QUARTER UP FROM ITS
ORIGINAL ESTIMATE OF 25 BILLION TO 30 BILLION AN INCREASE IN GOVERNMENT
BORROWING WOULD MEAN GREATER ISSUANCE OF TREASURY SECURITIES THUS REDUCING
THE VALUE OF THOSE OUTSTANDING BUT THE MARKET BRUSHED OFF THOSE CONCERNS
YESTERDAY

THE TREASURY SAID THE HIGHER BORROWING ESTIMATE REFLECTED A SLOWER PACE OF
INDIVIDUAL INCOMETAX PAYMENTS FLOWING INTO THE GOVERNMENT'S COFFERS THE
TREASURY ALSO SAID ITS ESTIMATED NET MARKET BORROWING NEEDS FOR THE THIRD
QUARTER ARE EXPECTED TO BE IN A RANGE OF 90 BILLION TO 95 BILLION

BUT A NUMBER OF ANALYSTS SAID THAT THE BOND MARKET RALLY COULD BE REACHING
ITS END AS THE ECONOMY GAINS STEAM THOUGH RECENT DATA SEEM TO INDICATE
ECONOMIC WEAKNESS IN THE FIRST QUARTER MORE DATA ARE NEEDED TO SEE IF THIS
WEAKNESS CAME FROM BAD WEATHER OR OTHER TEMPORARY FACTORS SAID MR JONES
OF AUBREY G LANSTON THE FOUNDATION FOR ECONOMIC EXPANSION IS ALREADY IN
PLACE HE SAID AND I DON'T SHARE THE VIEW THAT WE'RE HEADING BACK INTO A
'TRIPLE DIP' RECESSION AN ACCELERATING ECONOMY WOULD TEND TO BOOST BOND
YIELDS AS INFLATIONARY PRESSURES INCREASE

BUSINESSES MAY BE HOLDING OFF ON HIRING UNTIL THEY SEE MORE DETAILS OF MR
CLINTON'S ECONOMIC PACKAGE SAID MR JONES THERE IS GREAT UNCERTAINTY OVER
HOW MANY DIFFERENT TAXES WILL BE NEEDED TO FUND THE AS YET UNRELEASED
HEALTH CARE REFORM PLAN HE SAID

ACCORDING TO MR CRANDALL OF RH WRIGHTSON OPTIMISM ABOUT MR CLINTON'S
PROPOSALS TO REDUCE THE FEDERAL DEFICIT HAS DIMMED SOMEWHAT  BECAUSE
THERE IS SO MUCH UNCERTAINTY ABOUT WHAT THE FINAL PACKAGE WILL LOOK LIKE
OUR OWN FEELING IS THAT DEFICIT REDUCTION IS A SECONDARY GOAL OF THE
ADMINISTRATION HE SAID SO LONG AS IT IS NOT THE TOP PRIORITY OF THE
WHITE HOUSE IT IS NOT GOING TO HAPPEN HE SAID

THE STREET IS NOT PREPARED FOR A BULLISH RUN HERE SAID DAVID ADER A
TREASURY MARKET ANALYST AT TECHNICAL DATA A UNIT OF THOMSON FINANCIAL
SERVICES ACCORDING TO MR ADER BOND INVESTORS ARE BEGINNING TO LOSE
CONFIDENCE IN MR CLINTON'S PROMISES TO CUT THE FEDERAL DEFICIT AND MAYBE
LOOKING FOR THE RIGHT MOMENT TO TAKE THEIR PROFITS IF BOND TRADERS GOT A
CHANCE TO SELL AT THE OLD HIGHS REACHED IN MIDAPRIL HE SAID THEY'D SEE
THAT AS THE SALE OF THE CENTURY

HERE ARE THE DETAILS OF YESTERDAY'S AUCTION BY THE TREASURY OF 13WEEK AND
26WEEK BILLS

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 360DAY YEAR
WHILE THE COUPONEQUIVALENT YIELD IS BASED ON A 365DAY YEAR

BOTH ISSUES ARE DATED MAY 6 THE 13WEEK BILLS MATURE AUG 5 1993 AND THE
26WEEK BILLS MATURE NOV 4 1993

AMONG YESTERDAY'S SPARSE LIST OF NEW OFFERINGS WAS A 150 MILLION 10YEAR
SENIOR NOTE ISSUE BY WORLD COLOR PRESS INC THE HIGHYIELD DEAL WAS PRICED
SLIGHTLY TIGHTER THAN EXPECTED COMING IN AT PAR TO YIELD 9125 EARLIER
TRADERS HAD MENTIONED 925 AS A LIKELY YIELD

INVESTMENTGRADE BOND ISSUES ROSE 1/8 POINT TO 5/8 POINT DURING THE SESSION

MOST JUNK BONDS REMAINED UNCHANGED DURING THE DAY

NEWISSUE PRICINGS ARE EXPECTED TO BE LIGHT THIS WEEK WITH FEW INDUSTRIALS
MENTIONED

AMONG THE LARGEST DEALS ON DECK IS A 450 MILLION COMPETITIVE OFFERING
TOMORROW OF FIRST AND REFUNDING MORTGAGE BONDS BY UTILITY PHILADELPHIA
ELECTRIC CO THE DEAL IS SLATED TO INCLUDE 200 MILLION OF 10YEAR BONDS AND
250 MILLION OF 30YEAR BONDS BANKERS SAID THE 10YEAR ISSUE WILL BE
NONCALLABLE WHILE THE 30YEAR ISSUE WILL BE NONCALLABLE FOR FIVE YEARS THEY
SAID A STRUCTURE NOT AS COMMON AS THE STANDARD 10YEAR CALL OPTION
PREFERRED BY MANY UTILITIES

BOTH OFFERINGS ARE RATED BAA1 BY MOODY'S INVESTORS SERVICE INC AND
TRIPLEBPLUS BY STANDARD & POOR'S CORP

CONCERNS ABOUT FORTHCOMING SUPPLY LEFT MUNICIPAL BOND PRICES MIXED

ALTHOUGH A MODEST PRIMARY CALENDAR OF MORE THAN 2 BILLION OF MUNICIPAL DEBT
SECURITIES IS EXPECTED THIS WEEK THE EXTENT TO WHICH DEALS ARE PRICED ON
SHORT NOTICE WILL CONTINUE TO BE A BIG FACTOR IN DETERMINING PRICE
DIRECTION

IN SECONDARY ACTIVITY THE MASSACHUSETTS WATER RESOURCE AUTHORITY'S 525
REFUNDING BONDS OF 2013 CLOSED NEARLY ONE POINT HIGHER AT 92 7/8 TO YIELD
586 HOWEVER DENVER'S 675 AIRPORT REVENUE BONDS OF 2022 FINISHED 1/2
POINT LOWER AT 98 3/4 TO YIELD 685 THE DENVER BONDS ARE SUBJECT TO THE
FEDERAL ALTERNATIVE MINIMUM TAX

THE ONLY MAJOR OFFERING WAS A 150 MILLION ISSUE OF DUARTE CALIF
CERTIFICATES OF PARTICIPATION WHICH WERE PRICED BY A PAINEWEBBER INC GROUP
TO YIELD FROM 325 IN 1994 TO 640 IN 2023

AS IT STANDS NOW NO LARGE COMPETITIVE OFFERINGS ARE SLATED BEFORE
THURSDAY'S SALE OF 211 MILLION OF CHICAGO SCHOOL FINANCE AUTHORITY
REFUNDING BONDS

THE BIGGEST DEALS ON THE NEGOTIATED SIDE OF THE CALENDAR AT THIS JUNCTURE
ARE A 2866 MILLION VIRGINIA PUBLIC SCHOOL AUTHORITY 1993 REFUNDING SCHOOL
FINANCING BOND ISSUE AND A 275 MILLION LOWER COLORADO RIVER AUTHORITY
TEXAS JUNIORLIEN REFUNDING REVENUE BOND OFFERING

SECURITIES PRICES OF MORTGAGE SECURITIES ENDED HIGHER ALTHOUGH PREPAYMENT
DATA RELEASED YESTERDAY MODERATED THE GAINS

FEDERAL HOME LOAN MORTGAGE CORP SAID PREPAYMENTS INCREASED SHARPLY FROM
MIDMARCH TO MIDAPRIL IN ITS COUPONS RANGING FROM 7 TO 105

OF THE 7 AGENCY COUPONS FOR MAY DELIVERY GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION ISSUES FINISHED 8/32 HIGHER AT 100 22/32 FREDDIE MAC GOLD
ISSUES FINISHED 11/32 HIGHER AT 101 AND FEDERAL NATIONAL MORTGAGE
ASSOCIATION ISSUES ROSE 11/32 TO 100 26/32

SEVENPERCENT AGENCY COUPONS SHOWED GAINS YESTERDAY TRADERS SAID DUE TO AN
UNDERLYING BID FOR COLLATERAL TO BACK REAL ESTATE MORTGAGE INVESTMENT
CONDUITS

THE PRIMARY MARKET YIELDED ONE NEW ISSUE A 730 MILLION FREDDIE MAC ISSUE
BACKED BY THAT AGENCY'S 30YEAR 75 SECURITIES

IN THE FREDDIE MAC PREPAYMENT DATA MOST COUPONS FROM 75 THROUGH 9 SAW
SPEEDS NEARLY DOUBLED

PREPAYMENTS RETIRE MORTGAGE SECURITIES EARLIER THAN EXPECTED RETURNING
PRINCIPAL TO THE INVESTOR WELL BEFORE THE ISSUE'S AVERAGE LIFE EXPIRES

MORTGAGE SECURITIES TRADERS AND PLAYERS WILL NOW WAIT UNTIL FRIDAY WHEN
FANNIE MAE WILL RELEASE ITS PREPAYMENT REPORT WHICH WILL COVER THE ENTIRE
MONTH OF APRIL 9305040059 930504 BUSINESS BRIEF GENRAD INC NET
INCOME OF 13 MILLION IS POSTED FOR FIRST QUARTER

GENRAD INC REPORTED ITS SECOND CONSECUTIVE PROFITABLE QUARTER AFTER A
STRING OF LOSSES AS FIRSTQUARTER REVENUE ROSE SHARPLY DUE TO STRONG DEMAND
FOR NEW PRODUCTS AND A LARGE ORDER BACKLOG

THE CONCORD MASS MAKER OF AUTOMATED TEST EQUIPMENT ALSO SAID IT EXPECTS
THE POTENTIAL FOR STEADY QUARTERLY RESULTS IMPROVEMENT FOR THE REST OF THE
YEAR

NET INCOME FOR THE PERIOD ENDED APRIL 3 WAS 13 MILLION OR SEVEN CENTS A
SHARE ON REVENUE OF 427 MILLION IN THE YEARAGO FIRST QUARTER GENRAD
HAD A LOSS OF 32 MILLION OR 18 CENTS A SHARE ON REVENUE OF 308
MILLION

THE COMPANY SAID NEW PRODUCTS SOLD WELL IN THE QUARTER AND CITED SHIPMENTS
UNDER TWO MAJOR CONTRACTS INCLUDING A 20 MILLION ORDER FROM FORD MOTOR
CO'S EUROPEAN UNIT FOR AUTOMOTIVE ELECTRONICS TEST SYSTEMS AND A 142
MILLION MARINE CORPS ORDER FOR TEST AND MEASUREMENT SYSTEMS GENRAD ALSO
SAID ITS CORE BUSINESS FOR PRINTEDCIRCUIT BOARD TEST SYSTEMS CONTINUES TO
EXPERIENCE SOLID DEMAND 9305040058 930504 WHAT'S NEWS  WORLDWIDE

WESTERN ALLIES PRESSED THE US TO COMMIT PEACEKEEPING FORCES IN BOSNIA

EUROPEANS WITHHELD APPROVAL OF CLINTON'S STRATEGY TO USE FORCE PUSHING IN
THE MEANTIME FOR US TROOPS TO HELP OVERSEE A PEACE ACCORD SECRETARY OF
STATE CHRISTOPHER IN EUROPE TO RALLY SUPPORT FOR THE US STRATEGY LEFT
BRITAIN WITHOUT ANY ENDORSEMENT AND ARRIVED IN FRANCE AMID QUESTIONS OVER
THE FAIRNESS OF HAVING EUROPE'S TROOPS EXPOSED ON THE GROUND WHILE THE US
WEIGHS AN AIR ROLE CLINTON REITERATED THAT THE US WOULD JOIN A
PEACEKEEPING EFFORT ONCE A SOLID TRUCE ACCORD IS REACHED

ANOTHER WAVE OF MUSLIMS WAS EXPELLED FROM NORTHWEST BOSNIA FOR SOME OF THE
230 REFUGEES IT WAS THE SECOND EXPULSION BY SERBS IN A YEAR

OVER 15000 GERMAN WORKERS WALKED OFF THE JOB AT STEEL METAL AND ELECTRICAL
FIRMS IN EASTERN GERMANY THE STRIKERS ARE DEMANDING WAGE BOOSTS PROMISED
FOLLOWING GERMAN UNIFICATION SEPARATELY OPPOSITION LEADER ENGHOLM QUIT
POLITICS AFTER ADMITTING HE GAVE FALSE TESTIMONY DURING A 1987 ELECTION
SCANDAL

ISRAELI FOREIGN MINISTER PERES SAID ISRAEL WANTS TO GIVE UP THE GAZA STRIP
AND IS SEEKING A CONFEDERATION BETWEEN JORDAN AND THE PALESTINIANS LIVING IN
THE ISRAELIOCCUPIED TERRITORIES HIS REMARKS ON ISRAELI TV WERE SAID TO BE
THE FIRST TIME AN ISRAELI MINISTER MENTIONED SUCH A CONFEDERATION AS A GOAL
FOR THE MIDEAST PEACE TALKS

THE PENTAGON SUPPORTS THE RESUMPTION OF NUCLEAR WEAPONS TESTING AT THE
EARLIEST POSSIBLE TIME UNDER CURRENT LAW A SENIOR DEFENSE DEPARTMENT
OFFICIAL SAID FACED WITH A JULY 1 DEADLINE THE CLINTON ADMINISTRATION MUST
DECIDE WHETHER TO RESUME TESTING AFTER A NINEMONTH BREAK

CLINTON MET WITH HONG KONG'S GOVERNOR AND DISCUSSED CHINA'S FAVORABLE TRADE
TERMS WITH THE US PATTEN TOLD THE PRESIDENT THAT HONG KONG WOULD BE HURT
ECONOMICALLY IF THE US WITHDREW CHINA'S MOSTFAVOREDNATION STATUS
CLINTON HAS TO DECIDE NEXT MONTH WHETHER TO RENEW THE FAVORABLE STATUS

RUSSIA'S YELTSIN DEFENDED MOSCOW POLICE OVER MAY DAY CLASHES WITH
PROCOMMUNISTS SAYING THE OFFICERS ACTED ACCORDING TO INSTRUCTIONS AND THE
LAW BUT A HARDLINER BLAMED THE GOVERNMENT FOR THE VIOLENCE SATURDAY THAT
LEFT 200 POLICE AND SOME 70 PROTESTERS INJURED AND HE SAID DEMONSTRATORS
WOULD MARCH AGAIN THIS SUNDAY

A FORMER ITALIAN PREMIER URGED ITALY'S SENATE TO LIFT HIS LEGISLATIVE
IMMUNITY AND ALLOW PROSECUTORS TO PROBE HIS ALLEGED TIES TO THE MAFIA
ANDREOTTI PREDICTED HIS NAME WOULD BE CLEARED QUICKLY MEANWHILE MORE THAN
30 BUSINESSMEN AND POLITICIANS WENT ON TRIAL IN THE FIRST MAJOR PROSECUTION
IN A NATIONWIDE CORRUPTION SCANDAL

A SECOND TRIAL BEGAN FOR FOUR FORMER FRENCH OFFICIALS ACCUSED OF ALLOWING
HEMOPHILIACS TO RECEIVE AIDSTAINTED BLOOD IN 1985 RESULTING IN INFECTIONS
FOR 1200 PEOPLE THREE OF THE FOUR DEFENDANTS WERE CONVICTED IN OCTOBER
BUT ONE OF THEM WAS GRANTED AN APPEAL AND PROSECUTORS THEN ARGUED THAT THE
FOUR MUST BE TRIED AGAIN

THE SUPREME COURT UNANIMOUSLY RULED THAT A CRIMINAL SUSPECT'S PRIVACYRIGHT
PROTECTIONS DON'T AUTOMATICALLY EXTEND TO EVIDENCE POLICE OFFICERS SEIZE
UNLAWFULLY FROM ALLEGED CRIME PARTNERS

AT LEAST 25 PEOPLE WERE KILLED AND MORE THAN 100 INJURED IN WIDESPREAD
HINDUMUSLIM RIOTING IN INDIA'S NORTHEASTERN STATE OF MANIPUR POLICE SAID
ADDING THAT MOST OF THE VICTIMS WERE MUSLIMS

A US SAILOR IN TOKYO ADMITTED KILLING A GAY SHIPMATE IN OCTOBER BUT
DENIED THE ATTACK WAS PREMEDITATED AND OFFERED TO PLEAD GUILTY TO A LESSER
CHARGE AT A PRETRIAL HEARING TERRY HELVEY SAID HE BEAT ALLEN SCHINDLER
EVEN AFTER HE WAS UNCONSCIOUS SCHINDLER HAD TOLD THE NAVY OF HIS
HOMOSEXUALITY AND WAS AWAITING DISCHARGE

KHMER ROUGE GUERRILLAS RAMPAGED THROUGH A CAMBODIAN PROVINCIAL CAPITAL THREE
MILES FROM THE ANGKOR WAT TEMPLE COMPLEX SEIZING AN AIRPORT AND FORCING
UN PEACEKEEPERS TO RETREAT TO BUNKERS THIRTEEN ATTACKERS AND TWO
CIVILIANS WERE REPORTED KILLED IN THE ASSAULT IN SIEM REAP

RUSSIA AND LIBYA SUGGESTED THAT AN INTERNATIONAL TRIBUNAL UNDER UN
AUSPICES TRY TWO LIBYANS ACCUSED IN THE BOMBING OF A PAN AM JET ARAB
DIPLOMATS SAID THE SUGGESTION WAS AIMED AT ENDING A DISPUTE WITH THE WEST
OVER THE VENUE FOR A TRIAL 9305040057 930504 SERIES EE SAVINGS BONDS' 
MARKETBASED RATE IS CUT

WASHINGTON THE TREASURY LOWERED THE MARKETBASED RATE FOR SERIES EE
SAVINGS BONDS TO 478 FROM 504 EFFECTIVE FROM MAY 1 THROUGH OCT 31

THE MARKETBASED RATE IS ADJUSTED TWICE A YEAR

ON SAVINGS BONDS HELD FIVE YEARS OR LONGER THE TREASURY PAYS EITHER THE
MARKETBASED RATE OR A GUARANTEED MINIMUM RATE WHICHEVER IS HIGHER THE
GUARANTEED MINIMUM RATE CURRENTLY IS 4 IT WAS LOWERED FROM 6 ON MARCH 1
9305040056 930504 WHAT'S NEWS  BUSINESS & FINANCE

THE FACTORY SECTOR SHRANK IN APRIL ITS FIRST CONTRACTION IN SEVEN MONTHS A
SURVEY OF PURCHASING MANAGERS INDICATED ADDING TO WORRIES ABOUT THE
INDUSTRIAL ECONOMY BOND PRICES SURGED ON THE REPORT LIFTING STOCKS THE
DOW JONES INDUSTRIALS ROSE 1891 TO 344646 THE BENCHMARK 30YEAR TREASURY
BOND'S PRICE CLIMBED MORE THAN 7/8 POINT THE DOLLAR FELL

IBM HIRED JEROME YORK AN ARCHITECT OF CHRYSLER'S TURNAROUND TO BE CHIEF
FINANCIAL OFFICER THE CHOICE INDICATES IBM INTENDS TO FOLLOW CHRYSLER'S
EXAMPLE BY SLASHING COSTS AND SELLING BILLIONS OF DOLLARS IN ASSETS

KODAK'S OUTSIDE DIRECTORS SAID THEY FULLY SUPPORT CHAIRMAN KAY WHITMORE'S
EFFORTS TO DEVELOP A TURNAROUND PLAN FOR THE PHOTO GIANT BUT WARNED THAT
THE COMPANY'S PERFORMANCE MUST BE IMPROVED SIGNIFICANTLY

CLINTON HEALTH ADVISERS ARE CONSIDERING A SURCHARGE ON LARGE COMPANIES THAT
CHOOSE NOT TO PARTICIPATE IN REGIONAL INSURANCEPURCHASING POOLS

THE PRESIDENT PROPOSED TO MAKE IT HARDER FOR THE RICH TO AVOID HIS PLANNED
TAX INCREASES THE PROPOSAL WOULD TARGET INVESTMENTS DESIGNED TO CONVERT
INTEREST INCOME INTO CAPITAL GAINS WHICH ARE TAXED AT A LOWER RATE

LEVI STRAUSS SAID IT IS ENDING MOST OF ITS RELATIONSHIPS WITH CONTRACTORS IN
CHINA CITING THE COUNTRY'S PERVASIVE VIOLATION OF HUMAN RIGHTS THE
APPAREL CONCERN'S MOVE COULD ADD TO US DEBATE OVER CHINA'S TRADE STATUS

GM'S ELECTRONIC DATA SYSTEMS UNIT AND BRITISH TELECOM DROPPED PLANS FOR AN
ALLIANCE UNDER WHICH BT COULD HAVE BOUGHT NEARLY 4 BILLION OF A GM STOCK
PEOPLE FAMILIAR WITH THE TALKS SAID

NORTHWEST AIRLINES AGREED TO GIVE ITS MACHINISTS AND TEAMSTERS AN EQUITY
STAKE AND BOARD SEATS IN RETURN FOR PAY CUTS AND OTHER SAVINGS

US INVESTORS BOUGHT A NET 515 BILLION OF FOREIGN SECURITIES IN 1992 A
RECORD UP 10 FROM A YEAR EARLIER

THE NORTH AMERICAN TRADE PACT IS EXPECTED TO BE BACKED TODAY BY AT LEAST
SEVEN ENVIRONMENTAL GROUPS CONDITIONED ON THE NEGOTIATION OF PROVISIONS FOR
SETTLING ENVIRONMENTAL DISPUTES

INTEL AND MICROSOFT PLAN TO UNVEIL TODAY A SOFTWARE STANDARD TO MAKE IT
EASIER FOR PERSONAL COMPUTERS TO TAP INTO A WIDE RANGE OF PHONE GEAR

MERRILL LYNCH PUT THREE MUNICIPALBOND EMPLOYEES ON LEAVE IN THE WAKE OF A
FEDERAL PROBE INTO WHETHER INVESTMENT BANKS MADE ILLEGAL PAYMENTS TO OBTAIN
NEW JERSEY BOND BUSINESS

THE SUPREME COURT MADE IT EASIER FOR COMPANIES TO FIGHT CHARGES THAT THEY
VIOLATED ANTITRUST LAW BY FILING SUITS SOLELY TO HURT COMPETITORS

MICROSOFT COFOUNDER PAUL ALLEN SAID HE MAY SEEK TO ACQUIRE AMERICA ONLINE
WHICH SELLS COMMUNICATIONS SERVICES FOR PERSONAL COMPUTERS ITS STOCK SOARED
425 OR 16 TO 3050

LTV POSTED A WIDER FIRSTQUARTER NET LOSS BUT THE COMPANY'S LOSS FROM
CONTINUING OPERATIONS NARROWED AS ITS STEEL UNIT INCREASED SALES AND ITS
ENERGY PRODUCTS SUBSIDIARY REBOUNDED

BONDS LEHMAN BROTHERS TREASURY INDEX 509308 UP 3822

COMMODITIES OIL 2057 A BARREL UP FOUR CENTS DOW JONES FUTURES INDEX
12480 OFF 048 SPOT INDEX 12073 OFF 026

DOLLAR 11073 YEN OFF 042 15793 MARKS OFF 00057 9305040055 930504
FINANCING BUSINESS ROGERS COMMUNICATIONS INC

ROGERS COMMUNICATIONS INC TORONTO SAID IT EXPECTS TO RAISE GROSS PROCEEDS
OF ABOUT 100 MILLION FROM THE SALE OF ZEROCOUPON SECURITIES THAT WILL BE
CONVERTIBLE INTO CLASS B SHARES OF THE COMPANY ROGERS SAID THE SECURITIES
WHICH IT CALLS LIQUID YIELD OPTION NOTES WILL MATURE IN 2013 AND WILL HAVE
A YIELD TO MATURITY OF BETWEEN 55 AND 575 DEPENDING ON THE PRICING THE
COMPANY WHICH HAS INTERESTS IN TELECOMMUNICATIONS AND CABLE TELEVISION
SAID THE PROCEEDS WILL BE USED FOR GENERAL CORPORATE PURPOSES INCLUDING
DEBT SERVICE CAPITAL SPENDING FOR PLANT AND EQUIPMENT AND THE POSSIBLE
REDEMPTION OF PREFERRED SHARES 9305040054 930504 HF AHMANSON UNIT

IRWINDALE CALIF HOME SAVINGS OF AMERICA THE PRINCIPAL SUBSIDIARY OF
HF AHMANSON & CO SAID IT AGREED TO ACQUIRE 10 BRANCHES OF LONG ISLAND
SAVINGS BANK MELVILLE NY TERMS WEREN'T DISCLOSED 9305040053 930504
BUSINESS BRIEF LTV REPORTS WIDER FIRSTPERIOD LOSS WHEELINGPITTSBURGH
ALSO POSTS A LOSS

LTV CORP REPORTED A WIDER NET LOSS BUT A NARROWER LOSS FROM CONTINUING
OPERATIONS FOR THE FIRST QUARTER AS ITS STEEL UNIT INCREASED SALES AND ITS
ENERGY PRODUCTS SUBSIDIARY POSTED AN OPERATING PROFIT COMPARED WITH A
YEAREARLIER OPERATING LOSS

SEPARATELY WHEELINGPITTSBURGH CORP REPORTED A FIRSTQUARTER NET LOSS OF
28 MILLION OR 15 CENTS A SHARE COMPARED WITH NET INCOME OF 42000 OR
LESS THAN ONE CENT PER SHARE FOR THE YEAREARLIER QUARTER BUT THE
WHEELING WVA STEELMAKER SAID IT EXPECTS SECONDQUARTER EARNINGS TO BEAT
THE FIRSTQUARTER FIGURES AND ANALYSTS WERE CHEERED BY A 13 MILLION
PROFIT BEFORE INTEREST AND TAXES THE COMPANY'S FIRST OPERATING PROFIT IN
SEVERAL QUARTERS

CLEVELANDBASED LTV WHICH IS OPERATING UNDER CHAPTER 11 OF THE FEDERAL
BANKRUPTCY CODE POSTED A NET LOSS OF 477 MILLION OR 43 CENTS A SHARE
COMPARED WITH A NET LOSS OF 433 MILLION OR 41 CENTS A SHARE FOR 1992'S
FIRST QUARTER BUT LAST YEAR'S PERIOD INCLUDED A GAIN OF 94 MILLION OR 8
CENTS A SHARE FROM DISCONTINUED OPERATIONS SALES CLIMBED 62 TO 9888
FROM 9312 MILLION

STRONGER SALES OF HIGHERMARGIN PRODUCTS AIDED THE STEEL GROUP ALTHOUGH
STEEL PRICES WERE BELOW YEAREARLIER LEVELS THE COMPANY SAID LTV STEEL
THE NATION'S THIRDBIGGEST STEELMAKER POSTED A FIRSTQUARTER OPERATING LOSS
OF 468 MILLION COMPARED WITH OPERATING LOSSES OF 526 MILLION A YEAR
EARLIER AND 491 MILLION FOR LAST YEAR'S FOURTH QUARTER SALES ROSE 58 TO
9204 MILLION FROM 8696 MILLION IN THE YEAREARLIER QUARTER

LTV ENERGY PRODUCTS CITING HIGHER SALES AND LOWER COSTS HAD OPERATING
INCOME OF 500000 COMPARED WITH A LOSS OF 19 MILLION LAST YEAR SALES
CLIMBED 11 TO 69 MILLION FROM 62 MILLION

WHEELINGPITTSBURGH SAID ITS IMPROVED OUTLOOK FOR THE SECOND QUARTER STEMS
FROM HIGHER VOLUME AND PRICES AND REDUCED INTEREST EXPENSE THE
FIRSTQUARTER LOSS NARROWED FROM LAST YEAR'S FOURTH QUARTER WHEN THE
COMPANY REPORTED A LOSS OF 336 MILLION OR 185 PER SHARE INCLUDING
RESTRUCTURING CHARGES OF 71 MILLION OR 39 CENTS PER SHARE

WHEELINGPITTSBURGH'S SALES FELL 25 TO 236 MILLION FROM 242 MILLION IN
THE YEAREARLIER QUARTER THE LOWER SALES RESULTED FROM AN AVERAGE 77
PRICE REDUCTION OFFSET BY 56 HIGHER VOLUME

IN LATE TRADING YESTERDAY ON THE NEW YORK STOCK EXCHANGE LTV WAS QUOTED AT
375 CENTS UNCHANGED WHEELINGPITTSBURGH WAS QUOTED AT 1150 UP 625
CENTS 9305040052 930504 TIES WITH CHINA WILL BE CURBED BY LEVI
STRAUSS  HUMANRIGHTS VIOLATIONS DRIVE APPAREL CONCERN TO
WITHDRAW CONTRACTS  BY JIM CARLTON STAFF REPORTER OF THE WALL
STREET JOURNAL

SAN FRANCISCO LEVI STRAUSS & CO SAID IT IS ENDING MOST OF ITS
RELATIONSHIPS WITH CONTRACTORS IN CHINA BECAUSE OF WHAT IT CALLED THAT
COUNTRY'S PERVASIVE VIOLATION OF HUMAN RIGHTS

THE DECISION COULD HURT LEVI'S FUTURE SALES IN CHINA ALTHOUGH THE US
APPAREL COMPANY SAID ITS CURRENT SALES ARE MINUSCULE BECAUSE ITS CLOTHING
ISN'T BEING MASSMARKETED THE MOVE WON'T HURT CHINA MUCH ECONOMICALLY
BECAUSE LEVI HADN'T YET MADE ANY DIRECT INVESTMENT THERE LEVI INTENDS TO
PHASE OUT ITS RELATIVELY SMALL PURCHASES OF ABOUT 50 MILLION ANNUALLY IN
TROUSERS AND SHIRTS FROM ITS CHINESE SEWING AND LAUNDRY CONTRACTORS

STILL THE PULLOUT OF A HIGHLY VISIBLE US COMPANY WHOSE TRADEMARK JEANS
ARE SYNONYMOUS WITH WESTERN CAPITALISM IS LIKELY TO ADD TO THE DEBATE IN
WASHINGTON OVER WHETHER TO CONTINUE CHINA'S TRADE STATUS AS A MOSTFAVORED
NATION FOR ANOTHER YEAR CHINA'S MFN STATUS WHICH QUALIFIES ITS IMPORTS FOR
THE LOWEST US TARIFFS EXPIRES JUNE 3 CHINA HAS BEEN ACCORDED THE FAVORED
STATUS SINCE THE CARTER YEARS

PRESIDENT CLINTON ALREADY IS ON RECORD AS SUGGESTING THAT CHINA SHOULD
ADHERE TO INTERNATIONAL HUMANRIGHTS STANDARDS AS WELL AS STANDARDS ON
WEAPONS PROLIFERATION AND TRADE DEBATE ON CAPITAL HILL IS LIKELY TO BE
CONTENTIOUS AS CONGRESS WRESTLES WITH THE ISSUE THE ADMINISTRATION IS
THOUGHT TO BE LIKELY TO EXTEND MFN STATUS WITH CONDITIONS ATTACHED GIVEN
CONCILIATORY SIGNALS FROM BEIJING WE NOTE THAT CHINA HAS ALREADY MADE SOME
POSITIVE GESTURES BUT MUCH MORE REMAINS TO BE DONE ACCORDING TO A STATE
DEPARTMENT STATEMENT ON THE ISSUE

OFFICIALS AT THE CHINESE EMBASSY IN WASHINGTON HAD NO IMMEDIATE COMMENT ON
THE LEVI DECISION SAYING THEY HADN'T YET LEARNED THE FULL DETAILS

THE LEVI DECISION WAS MADE BY ROBERT HAAS CHAIRMAN AND CHIEF EXECUTIVE OF
THE CLOSELY HELD APPAREL CONCERN AFTER WHAT HIS STAFF DESCRIBED AS A REVIEW
OF SUCH ISSUES AS HUMAN RIGHTS AND WORKER HEALTH AND SAFETY IN THE MORE THAN
40 COUNTRIES WORLDWIDE WHERE THE COMPANY HAS CONTRACTS FOR SOME OF ITS
PRODUCTION

IN RECENTLY ENACTED COMPANY GUIDELINES FOR DOING BUSINESS IN OTHER
COUNTRIES LEVI STIPULATES IN PART WE SHOULD NOT INITIATE OR RENEW
CONTRACTUAL RELATIONSHIPS IN COUNTRIES WHERE THERE ARE PERVASIVE VIOLATIONS
OF BASIC HUMAN RIGHTS

AFTER DISPATCHING TEAMS OF INVESTIGATORS AROUND THE WORLD LEVI DETERMINED
THAT ONLY IN BURMA AND CHINA WERE HUMANRIGHTS VIOLATIONS SO TROUBLESOME AS
TO WARRANT A WITHDRAWAL OF BUSINESS THE COMPANY DIDN'T CITE SPECIFIC
VIOLATIONS LEVI PULLED OUT OF BURMA LAST YEAR CANCELING CONTRACT PURCHASES
OF ABOUT 200000 TROUSERS AND SHIRTS A YEAR

LAST WEEK AFTER HEARING DIVIDED OPINIONS FROM HIS SUBORDINATES MR HAAS
ORDERED A GRADUAL WITHDRAWAL OF THE CHINESE PRODUCTION CONTRACTS AND
POSTPONEMENT OF ANY DIRECT INVESTMENT IN THE WORLD'S MOST POPULOUS COUNTRY
SAID ROBERT H DUNN LEVI VICE PRESIDENT FOR CORPORATE AFFAIRS LEVI FIRST
BEGAN BUSINESS IN CHINA ABOUT SEVEN YEARS AGO

THE DECISION AFFECTS ABOUT 30 CHINESE CONTRACTORS WHO HAVE BEEN PRODUCING
ABOUT FIVE MILLION CLOTHING ITEMS A YEAR FOR LEVI AND MR DUNN SAID THE
WITHDRAWAL COULD TAKE YEARS TO COMPLETE WHILE THERE HAD BEEN NO SPECIFIC
PLANS FOR IMMEDIATE DIRECT INVESTMENT MR DUNN ADDED THAT LEVI HAD
CONSIDERED EVENTUAL MASS PRODUCTION IN CHINA FOR THAT COUNTRY'S MARKET

OUR HOPE IS THAT CONDITIONS WILL CHANGE AND IMPROVE AND THAT WE CAN REVISIT
OUR DECISIONS AT SOME TIME IN THE NEAR FUTURE MR DUNN SAID

LEVI SAID IT PLANS TO CONTINUE TO PURCHASE FABRIC FROM CHINESE MANUFACTURERS
THAT DON'T FALL UNDER COMPANY GUIDELINES WHICH FOR NOW FOCUS ONLY ON
CONTRACTORS WHO DO SEWING AND THOSE WHO DO FINISHING WORK SUCH AS
WHITEWASHING BUT MR DUNN SAID GUIDELINES ARE BEING DRAWN UP TO DEAL WITH
THOSE KIND OF BUSINESSES AS WELL AND THEY WOULD AT SOME POINT BE SIMILARLY
REVIEWED

LAST YEAR LEVI REVOKED NONPROFIT CONTRIBUTIONS TO THE BOY SCOUTS OF AMERICA
BECAUSE IT SAID THAT ORGANIZATION DISCRIMINATED BY NOT ALLOWING
HOMOSEXUALS AND ATHEISTS TO BELONG THE BOY SCOUTS HAD RECEIVED BETWEEN
40000 AND 80000 A YEAR FROM THE LEVI STRAUSS FOUNDATION 9305040051
930504 WHO'S NEWS DUN & BRADSTREET CORP

DUN & BRADSTREET CORP NEW YORK CLIFFORD L BATEMAN 48 YEARS OLD WAS
NAMED TO THE NEWLY CREATED POST OF VICE PRESIDENT TECHNOLOGY STRATEGY MR
BATEMAN HAD BEEN CHAIRMAN OF NEW YORKBASED ERISCO A D&B UNIT THAT PROVIDES
SOFTWARE AND SERVICES FOR EMPLOYEEBENEFITS ADMINISTRATION D&B IS A LEADING
PROVIDER OF BUSINESS INFORMATION AND RELATED SERVICES 9305040050 930504
US TO HELP RUSSIA PAY SHIPPING COSTS IN FOOD AID PLAN  BY ROSE
GUTFELD STAFF REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE US AND RUSSIA HAVE SETTLED DIFFERENCES OVER SHIPPING
COSTS THAT HAD THREATENED TO SCUTTLE THE 700 MILLION FOOD AID PACKAGE
UNVEILED AT THE VANCOUVER SUMMIT LAST MONTH

UNDER AN AGREEMENT ANNOUNCED LATE YESTERDAY THE US WILL PAY THE
DIFFERENCE IN COST BETWEEN SHIPPING COMMODITIES ON USFLAG SHIPS AND
NONUS VESSELS THE FOOD FOR PROGRESS PROGRAM UNDER WHICH THE US IS
PROVIDING THE LOWCOST LOANS REQUIRES THAT AT LEAST 75 OF THE COMMODITIES
MOVE ON US SHIPS RATES ON THOSE SHIPS ARE TWO TO THREE TIMES ABOVE
NONUS RATES AND HAVE BEEN CLIMBING IN THE PAST FEW WEEKS

TRANSPORTATION COSTS WILL TOTAL 200 MILLION FOR THE CREDIT PORTION OF THE
PACKAGE

RUSSIA HAD OBJECTED TO THE US VESSEL REQUIREMENT KNOWN AS CARGO
PREFERENCE AND US AND RUSSIAN NEGOTIATORS WERE WORKING TO FIND SOME WAY
AROUND IT IN YESTERDAY'S ANNOUNCEMENT AGRICULTURE SECRETARY MIKE ESPY SAID
HE IS USING HIS AUTHORITY TO DECLARE AN EXTRAORDINARY EMERGENCY WHICH
ALLOWS HIM TO TRANSFER FUNDS FROM OTHER AGRICULTURE PROGRAMS TO PAY FOR THE
US SHARE OF THE COSTS

HE SAID THE AID WILL BENEFIT NOT ONLY RUSSIAN CONSUMERS DURING THEIR
DIFFICULT TIME OF ECONOMIC RESTRUCTURING BUT ALSO US FARMERS AND
AGRIBUSINESSES BY HELPING MAINTAIN THE US POSITION IN THIS HIGHLY
IMPORTANT FOREIGN MARKET

THE 500 MILLION COMMODITY PORTION OF THE PACKAGE INCLUDES 4335 MILLION IN
AGRICULTURE DEPARTMENT CREDITS AND 665 MILLION IN DONATIONS THE AGENCY
SAID COMMODITIES WILL CONSIST OF 2275 MILLION FOR CORN 105 MILLION FOR
SOYBEAN OIL 665 MILLION FOR BUTTER 56 MILLION FOR WHEAT 40 MILLION
FOR HIGHVALUE PRODUCTS SUCH AS VEGETABLE OIL PEANUTS POULTRY AND RICE
AND 5 MILLION FOR SUGAR ABOUT 554 MILLION OF THE BUTTER AND 12 MILLION
OF THE WHEAT WILL CONSIST OF DONATIONS

ANNOUNCEMENT OF THE AGREEMENT SHOULD BUOY COMMODITY MARKETS WHERE FEARS
THAT THE PACKAGE MIGHT COME APART OVER THE TRANSPORTATION ISSUE CAUSED
PRICES TO FALL LAST WEEK IT ALSO SHOULD HELP TO QUIET THE MOUNTING CALLS BY
LAWMAKERS IN BOTH PARTIES FOR CHANGES IN THE CARGO PREFERENCE REQUIREMENTS

AT THE SAME TIME THE USE OF FUNDS FROM OTHER PROGRAMS MAY LEAD TO FEARS
THAT THERE WILL BE A SHORTAGE OF FUNDS FOR SALES TO OTHER BORROWERS LATER IN
THE YEAR THERE ALSO WILL BE COMPLAINTS ABOUT THE HIGH COST THE US IS
SHOULDERING TO MAKE THESE LOANS GO THROUGH

MR ESPY SAID THE TRANSFER OF FUNDS TAKES PLACE 10 DAYS AFTER EMERGENCY
NOTIFICATION LETTERS ARE SENT TO THE APPROPRIATE LAWMAKERS THOSE LETTERS
WERE SENT YESTERDAY

FORMAL FOODAID AGREEMENTS SHOULD BE SIGNED SOON THE AGRICULTURE DEPARTMENT
SAID SALES UNDER THE CREDITS WILL CARRY A TERM OF 15 YEARS INCLUDING A
SEVENYEAR GRACE PERIOD THE INTEREST RATE WILL BE 3 DURING THE GRACE
PERIOD AND 4 THEREAFTER SHIPMENT OF THE COMMODITIES IS EXPECTED TO BEGIN
IN JUNE

RUSSIA AND THE US SETTLED DIFFERENCES OVER THE COSTS OF SHIPPING 700
MILLION IN AGRICULTURE AID THAT WILL INCLUDE 105 MILLION OF SOYBEAN MEAL
AND 545 MILLION OF DONATED BUTTER IN AN ARTICLE YESTERDAY THE SOYBEAN
MEAL WAS INCORRECTLY LISTED AS SOYBEAN OIL AND BECAUSE OF AN ERROR BY THE
AGRICULTURE DEPARTMENT THE BUTTER'S VALUE WAS INCORRECTLY STATED AS 554
MILLIONSTAR 9305040049 930504 TECHNOLOGY & ENVIRONMENT IN THE LAB 
BEYOND GRAY SEEKING WAYS TO GAUGES AGE  BY DAVID STIPP STAFF
REPORTER OF THE WALL STREET JOURNAL

BOSTON TWO MICE PASS THE TIME IN RODERICK BRONSON'S LABORATORY ONE LOOKS
OLD A PUDGY SCRUFFY TORPID LUMP THE OTHER IS TRIM SLEEK AND HOPPING
LIKE AN EXCITED CHEERLEADER BUT IT'S MORE THAN TWICE AS OLD AS THE COUCH
POTATO ABOUT 75 IN HUMAN YEARS

THE SECOND MOUSE'S ANTIAGING SECRET IS A LOWCALORIE DIET ITS EFFECTS ON
LONGEVITY KNOWN FOR DECADES IN RESEARCH ANIMALS ARE NOW EXCITING
RESEARCHERS AND DRAWING PUBLICITY AS PEOPLE WONDER IF SUCH DIETS CAN HELP
LENGTHEN THEIR LIVES

BUT BEFORE ANSWERING THAT QUESTION SCIENTISTS MUST FIRST SOLVE A
SURPRISINGLY TRICKY PROBLEM HOW TO TELL WHEN AN ANIMAL IS AGING THE
ANSWER LOOK FOR BIOMARKERS

DR BRONSON'S LAB AT THE AGRICULTURE DEPARTMENT'S HUMAN NUTRITION RESEARCH
CENTER ON AGING HERE IS ONE OF 14 NATIONWIDE TAKING PART IN A 10YEAR STUDY
ON MARKERS OF AGING SPONSORED BY THE NATIONAL INSTITUTE ON AGING THE
HALFCOMPLETED PROJECT IS AIMED AT IDENTIFYING QUANTIFIABLE CHANGES AS THE
BODY DECLINES

THE SCIENTISTS ARE MONITORING EVERYTHING FROM MEMORY ABILITIES TO TUMOR
INCIDENCE IN MICE AND RATS FED LIFEEXTENDING DIETS WHICH HAVE 40 FEWER
CALORIES THAN THE LABORATORY ANIMALS USUALLY GET AMONG OTHER THINGS THE
WORK PROMISES TO HELP SCIENTISTS FIND WAYS TO SLOW AGING IN HUMANS

WRINKLES ARTHRITIC JOINTS AND GRAY HAIR MAY SEEM SUFFICIENT BIOMARKERS OF
HUMAN AGING BUT THE VERY APPEARANCE OF DR BRONSON A VETERINARY
PATHOLOGIST SHOWS WHY SUCH MARKERS WON'T DO IN SCIENCE RESEMBLING ACTOR
STEVE MARTIN HE MIGHT BE 43 BUT HIS HAIR IS WHITE SUGGESTING HE'S AROUND
60 ACTUALLY HE'S 52

WE'D LIKE TO FIND OBJECTIVE MEASURES OF AGING HE SAYS THAT MIGHT REVEAL
PHYSIOLOGICAL AGE INDICATING WITH FAR MORE ACCURACY THAN HAIR COLOR OR
WRINKLES HOW LONG A PERSON IS LIKELY TO LIVE

SOME RESEARCHERS DOUBT BIOMARKERS EVER WILL BE ABLE TO PREDICT THE GRIM
REAPER'S ARRIVAL TIME WHAT USUALLY KILLS IN OLD AGE IS THE HARDTOPREDICT
FAILURE OF A SINGLE ORGAN RATHER THAN THE GENERAL DECLINE BIOMARKERS
MEASURE SAYS DAVID HARRISON AN EXPERT ON AGING AT JACKSON LABORATORY IN
BAR HARBOR MAINE STILL THE BIOMARKERS PROJECT PROMISES TO IMPROVE THE
TESTING OF THERAPIES DESIGNED TO SLOW AGING DR HARRISON SAYS

I EXERCISE TAKE VITAMINS AND DO ALL THE RIGHT THINGS HE ADDS BUT IT'S
VERY FRUSTRATING BECAUSE THERE ARE NO OBJECTIVE TESTS TO TELL WHETHER ANY
OF THIS IS DOING ANY GOOD WE JUST HAVE TO GUESS

THE GUESSING IS COMPLICATED BECAUSE THINGS THAT BENEFIT ONE PERSON MAY NOT
HELP SOMEONE ELSE INDEED DR HARRISON HAS FOUND THAT LOWCALORIE DIETS
MYSTERIOUSLY SHORTEN THE LIVES OF CERTAIN MICE THE MALES OF ONE BREED

BUT BY TRACKING PATIENTS' BIOMARKERS DOCTORS SOMEDAY MAY BE ABLE TO TELL
THEM IN EARLY MIDDLE AGE WHICH OF THEIR INTERNAL SYSTEMS IS AGING FASTEST
THAT WOULD INDICATE MEASURES TO BEST SLOW THEIR INDIVIDUAL PATTERNS OF
DETERIORATION THE MARKERS ALSO MIGHT HELP PHARMACEUTICAL COMPANIES FIND
DRUGS TO RETARD AGING PERHAPS BY REPLICATING THE EFFECTS OF CALORIE
RESTRICTION

SCIENTISTS PREVIOUSLY HAVE DEVISED OBJECTIVE MEASURES OF AGING FOR STUDIES
ON CALORIERESTRICTED RODENTS SUCH AS HOW LONG THE ANIMALS CAN CLING TO A
SUSPENDED WIRE BEFORE FALLING OFF AGED MICE FALL SOONER SHOWING
NEUROMUSCULAR DECLINE BUT SUCH STUDIES DIDN'T COVER THE WATERFRONT ON AGING
CHANGES AS THE ONGOING NATIONAL ONE DOES

EACH OF ITS RESEARCHERS STUDIES A DIFFERENT SET OF POTENTIAL BIOMARKERS 
DR BRONSON'S SPECIALTY IS LESIONS OR TISSUE CHANGES ASSOCIATED WITH
AGING IN HIS OFFICE WHICH IS DOMINATED BY A LARGE MICROSCOPE METAL
CABINETS ARE GRADUALLY FILLING UP WITH SLIDES OF PAPERTHIN TISSUE SLICES
FROM RODENTS IN THE STUDY HIS TEAM EXPECTS TO COLLECT SOME 200000 TISSUE
SAMPLES DURING THE 10YEAR PROJECT

DR BRONSON RECORDS IN A COMPUTER DATABASE THE MICROSCOPIC LESIONS HE FINDS
ON THE SLIDES SOME 250 KINDS OF LESIONS ARE RECOGNIZED IN RATS AND MICE
FROM DEGENERATION OF THE THYROID GLAND TO LUNG TUMORS SO FAR HE HAS FOUND
THAT CALORIE RESTRICTION DELAYS THE ONSET OF A REMARKABLY BROAD RANGE OF
LESIONS INCLUDING GENETICALLY CAUSED DISEASES THAT USUALLY AFFLICT CERTAIN
STRAINS OF MICE EARLY IN LIFE

CALORIC RESTRICTION IS SORT OF MIRACULOUS SAYS DR BRONSON IT SEEMS TO
BE GOOD FOR WHATEVER AILS YOU DELAYED CANCER IS THE MAIN THING THAT SEEMS
TO ACCOUNT FOR THE DIETRESTRICTED ANIMALS' LONGEVITY HE ADDS IN THE FIRST
REPORT ON THEIR BIOMARKERS FINDINGS HE AND A COLLEAGUE NOTED THAT AT 24
MONTHS OF AGE ABOUT HALF OF FEMALE MICE ON UNRESTRICTED DIETS HAD TUMORS
WHILE ONLY 13 OF THEIR LOWCALORIE LITTERMATES DID

IF APPLIED TO HUMANS IT'S EASY TO PREDICT THAT CALORIE RESTRICTION WOULD
STOP CANCER COLD SAYS DR BRONSON THERE'S NO QUESTION IT WOULD STOP
HEART DISEASE BUT WOULD IT STOP ALZHEIMER'S DISEASE I'M MUCH LESS HOPEFUL
THAT IT WOULD CONSIDER THE CASE OF FREDDY'S BRAIN

FREDDY A CALORIERESTRICTED MOUSE IN DR HARRISON'S LAB IN MAINE HOLDS THE
WORLD RECORD FOR LONGEVITY IN HIS SPECIES HE DIED A FEW YEARS AGO AT 57
MONTHS COMPARED WITH A LIFESPAN OF ABOUT 25 MONTHS FOR A TYPICAL LAB MOUSE

IN HIS DOTAGE FREDDY WAS A SKINNY CROTCHETY MOUSE BUT HE LOOKED PRETTY
GOOD SAYS DR BRONSON WHO COLLABORATED WITH DR HARRISON ON A POSTMORTEM
STUDY OF THE MOUSE METHUSELAH HOWEVER WHEN DR BRONSON PUT FREDDY'S BRAIN
UNDER THE MICROSCOPE HE FOUND WIDESPREAD DEGENERATIVE CHANGES WHILE UNLIKE
THE BRAIN DECAY OF ALZHEIMER'S DISEASE THE SIGNS OF NEURONAL DEATH IN
FREDDY LATER SEEN IN OTHER LONGLIVED MICE SUGGEST CALORIE RESTRICTION
DOESN'T DO MUCH TO SLOW TIME'S RAVAGING OF THE BRAIN

STILL THERE'S GROWING EVIDENCE THAT CALORIE RESTRICTION HELPS BLOCK BRAIN
DAMAGE FROM FREE RADICALS HIGHLY REACTIVE CHEMICALS SUSPECTED TO CAUSE
MANY AGING CHANGES SAYS HARBANS LAL A RESEARCHER AT THE TEXAS COLLEGE OF
OSTEOPATHIC MEDICINE IN FORT WORTH TEXAS A LOWCALORIE DIET ALSO HELPS
PRESERVE CERTAIN MEMORY FUNCTIONS THAT NORMALLY DECLINE WITH AGE IN RODENTS
SUCH AS THE ABILITY TO RECALL WHICH SIDE OF A MAZE SHOCKS THE PAWS HE ADDS

BUT DOES LESS FOOD MEAN MORE LIFE

SAYS DR BRONSON CALORIE RESTRICTION EXTENDS LIFE IN EVERY SPECIES WE'VE
TRIED BUT THEY'VE MOSTLY BEEN LITTLE CREEPYCRAWLIES IT MAY BE THAT
LONGLIVED SPECIES LIKE US ALREADY HAVE EVOLVED WHATEVER BENEFITS CALORIC
RESTRICTION CONFERS ON LOWER ANIMALS SO WE JUST DON'T KNOW WHAT IT WOULD BE
LIKE IN PEOPLE 9305040048 930504 POLITICS & POLICY WASHINGTON'S
RELATIONS WITH LOCAL GOVERNMENTS IMPROVE AS CLINTON PUTS EMPHASIS ON
FLEXIBILITY  BY KENNETH H BACON STAFF REPORTER OF THE WALL STREET
JOURNAL

WASHINGTON PEOPLE FROM CITY AND STATE GOVERNMENTS ARE FINDING THAT
THEY'RE GETTING MORE RESPECT IN WASHINGTON THAN THEY'VE GOTTEN FOR YEARS

AFTER A DECADE OF BEING SADDLED WITH DETAILED RESPONSIBILITIES BUT NOT
ENOUGH MONEY TO CARRY THEM OUT LOCAL GOVERNMENTS ARE PICKING UP A NEW
SPIRIT OF COOPERATION

LABOR SECRETARY ROBERT REICH RECENTLY INVITED OFFICERS OF THE NATIONAL
LEAGUE OF CITIES TO TALK ABOUT SMOOTHING OUT DIFFERENCES IN THE APPLICATION
OF SAFETY STANDARDS FOR PUBLIC WORKERS HE RECOGNIZED THAT THIS WAS A
PROBLEM FOR US AND ASKED US TO COME IN AND DISCUSS ALTERNATIVES SAYS FRANK
SHAFROTH THE GROUP'S DIRECTOR OF FEDERAL RELATIONS WE DIDN'T HAVE THAT
DURING THE BUSH ADMINISTRATION

THE NEW ATTITUDE IS COMING FROM THE TOP SAYS WILLIAM ALTHAUS THE
REPUBLICAN MAYOR OF YORK PA AND THE PRESIDENT OF THE US CONFERENCE OF
MAYORS MR CLINTON IS TRYING TO GIVE US AN OPPORTUNITY TO RUN OUR PROGRAMS
BETTER

AS THE GOVERNOR OF ARKANSAS BILL CLINTON OFTEN BLASTED THE RIGID AND COSTLY
HEALTH WELFARE ENVIRONMENTAL AND OTHER REQUIREMENTS THAT ARE WRITTEN IN
WASHINGTON AND CARRIED OUT LOCALLY AS PRESIDENT HE'S TRYING TO GIVE STATES
AND CITIES MORE FLEXIBILITY TO ADAPT FEDERAL PROGRAMS TO THEIR OWN NEEDS

MY VIEW IS THAT WE OUGHT TO GIVE YOU MORE ELBOW ROOM TO EXPERIMENT MR
CLINTON TOLD THE WINTER MEETING OF THE NATIONAL GOVERNORS ASSOCIATION A
GROUP HE ONCE HEADED THE TWO FORMER GOVERNORS AND TWO FORMER MAYORS IN HIS
CABINET SHARE HIS EXPERIENCE AND HIS APPROACH

JERRY ABRAMSON THE MAYOR OF LOUISVILLE KY FINDS THE ADMINISTRATION IS
MOVING AWAY FROM ONESIZEFITSALL REGULATION AT A RECENT MEETING
HOUSING AND URBAN DEVELOPMENT SECRETARY HENRY CISNEROS TOLD MR ABRAMSON
THAT THE ADMINISTRATION WILL CONSIDER A BATCH OF REGULATORY CHANGES TO CUT
THE COST AND HASSLE OF BUILDING AND MAINTAINING LOWINCOME HOUSING AND MR
REICH SAID HE WOULD GRANT LOUISVILLE RELIEF FROM NEW JOBTRAINING RULES THAT
WOULD HAVE FORCED THE CITY TO CUT BACK A SUCCESSFUL SCHOOL DROPOUT
PREVENTION PROGRAM

RAYMOND SCHEPPACH EXECUTIVE DIRECTOR OF THE NATIONAL GOVERNORS ASSOCIATION
SAYS THAT SINCE THE CLINTON TEAM MOVED IN WASHINGTON BUREAUCRATS HAVE MOVED
AWAY FROM THEIR IGOTCHA MENTALITY

THERE WILL OF COURSE CONTINUE TO BE DISPUTES AND COURT FIGHTS
PARTICULARLY OVER COSTLY ENVIRONMENTAL REGULATIONS IN MIDAPRIL CAROL
BROWNER ADMINISTRATOR OF THE ENVIRONMENTAL PROTECTION AGENCY AND SECRETARY
OF TRANSPORTATION FEDERICO PENA SENT A STERN LETTER TO CALIFORNIA GOV PETE
WILSON WARNING OF THE IMPOSITION OF SANCTIONS THAT WOULD BE COSTLY TO
INDUSTRY JOBS AND THE ECONOMIC GROWTH OF YOUR STATE IF RECESSIONWRACKED
CALIFORNIA FAILS TO ADOPT A NEW VEHICLE EMISSIONS INSPECTION AND MAINTENANCE
PROGRAM REQUIRED BY THE CLEAN AIR ACT WE WANT YOU TO HAVE ADEQUATE NOTICE
OF EPA'S INTENTION TO ENFORCE THE LAW THE LETTER SAYS GOV WILSON
HOWEVER COMPLAINS THAT THE FEDERAL RULES ARE RIGID AND THAT THEY FALL
FAR SHORT OF CALIFORNIA'S REQUIRMENT IN FORMULATING A NEW PROGRAM

ON THE OTHER HAND INTERIOR SECRETARY BRUCE BABBITT HAS SHOWN FLEXIBILITY IN
RESOLVING DISPUTES UNDER THE ENDANGERED SPECIES ACT CURRENTLY HE IS TRYING
TO HEAD OFF A POTENTIAL COLLISION BETWEEN ENVIRONMENTALISTS AND BUSINESS
INTERESTS OVER THE PROTECTION OF THE EDWARDS AQUIFER WHICH SUPPLIES WATER
TO SAN ANTONIO AND SIX SURROUNDING COUNTIES

THE CLEAREST SIGN OF FLEXIBILITY INVOLVES MEDICAID THE FEDERALSTATE
PROGRAM THAT PROVIDES HEALTH CARE TO LOWINCOME FAMILIES AND THE ELDERLY
THE ADMINISTRATION ALLOWED OREGON TO ADOPT A NEW WAY TO RATION SCARCE
HEALTHCARE DOLLARS THE BUSH ADMINISTRATION HAD DENIED OREGON'S REQUEST
MEANWHILE OTHER STATES ARE GETTING WAIVERS TO SET UP MANAGEDCARE PLANS TO
REDUCE DELAYS THE FEDS HAVE SAID THAT A WAIVER GRANTED IN ONE STATE WOULD
APPLY TO ALL OTHERS

SUCH FLEXIBILITY WILL BE CRITICAL AFTER THE ADMINISTRATION UNVEILS ITS
HEALTHCARE PLAN A NUMBER OF STATES INCLUDING OREGON WASHINGTON AND
FLORIDA HAVE ENACTED HEALTHCARE REFORM PACKAGES OF THEIR OWN AND COULD
ENCOUNTER PROBLEMS IF THE FEDERAL PROGRAM DOESN'T LEAVE ROOM FOR VARIATIONS

MR CLINTON INSISTS THAT THE FEDS WON'T TRAMPLE STATE INITIATIVES IN EITHER
HEALTHCARE OR WELFARE REFORMS ON WELFARE REFORM AS ON HEALTHCARE REFORM
THERE ARE NO TOPDOWN MADEINWASHINGTON SOLUTIONS THAT WILL WORK FOR
EVERYONE MR CLINTON SAYS THE PROBLEMS AND THE PROGRESS ARE TO BE FOUND
IN THE COMMUNITIES OF THIS COUNTRY

THE ADMINISTRATION ALSO IS WORKING ON A PACKAGE OF INITIATIVES TO PROMOTE
INVESTMENT AND DEVELOPMENT IN POOR CITY AND RURAL AREAS OUR GOAL IS TO
EMPOWER COMMUNITIES TO DEVELOP THEIR OWN RECOVERY PLANS SAYS BRUCE REED A
CLINTON DOMESTIC POLICY ADVISER CHANGE IS EASIER AND MORE SUSTAINABLE AT
THE COMMUNITY LEVEL

MR CLINTON'S ECONOMIC STIMULUS PACKAGE WHICH WAS BLOCKED BY THE SENATE
GAVE MAYORS UNUSUAL LEEWAY TO DETERMINE HOW MONEY WOULD BE SPENT

FOR NEARLY THREE DECADES FOLLOWING THE KOREAN WAR FEDERAL AID TO STATE AND
LOCAL GOVERNMENTS GREW STEADILY BUT IN 1982 THE TIDE CHANGED FEDERAL AID
TO STATE AND LOCAL GOVERNMENT BEGAN TO DECLINE AS A SHARE OF FEDERAL
SPENDING YET WASHINGTON CONTINUED TO HEAP RESPONSIBILITIES ON STATES AND
TOWNS WHAT'S MORE OVER THE PAST DECADE SPENDING ON TWO PROGRAMS FOR THE
POOR MEDICAID AND AID TO FAMILIES WITH DEPENDENT CHILDREN ROSE TO
NEARLY 50 OF FEDERAL GRANTS TO STATE AND LOCAL GOVERNMENTS FROM 25

JOHN SHANNON OF THE URBAN INSTITUTE CALLS THE 1980S A PERIOD OF
FENDFORYOURSELF FEDERALISM NOW HE SAYS THE NATIONAL GOVERNMENT ISN'T
IN A POSITION TO RELIEVE STATE AND LOCAL GOVERNMENTS OF THEIR PRETTY HEAVY
BURDENS BUT WASHINGTON IS TRYING TO MAKE UP FOR IT WITH AS MUCH FLEXIBILITY
AS POSSIBLE AND WITH HANDHOLDING

PRESIDENTS REAGAN AND BUSH RESISTED REGULATIONS BUT THEY WEREN'T AS
INTERESTED IN MAKING EXISTING REGULATIONS WORK AND AS A RESULT GOVERNMENT
RED TAPE OFTEN BECAME MORE OF A BURDEN BASICALLY THE REPUBLICANS LOOKED
ON ACTIVIST NATIONAL GOVERNMENT AS A PROBLEM NOT A SOLUTION WHEREAS
CLINTON LOOKS ON ACTIVIST GOVERNMENT AS A SOLUTION MR SHANNON SAYS

THE NEW EFFORT TO COOPERATE WITH STATE AND LOCAL GOVERNMENTS IS PART OF AN
AMBITIOUS CLINTON PLAN TO REINVENT GOVERNMENT TO THIS END HE HAS PLACED
VICE PRESIDENT AL GORE IN CHARGE OF A CRASH NATIONAL PERFORMANCE REVIEW OF
THE FEDERAL GOVERNMENT THE EFFORT IS BASED ON A SIMILAR EFFORT IN TEXAS
THAT PRODUCED ORGANIZATIONAL CHANGES STAFF CUTS AND OTHER EFFICIENCIES THAT
ARE SAVING THE STATE 24 BILLION A YEAR JOHN SHARP THE TEXAS STATE
COMPTROLLER WHO ORCHESTRATED THE REVIEW IS CURRENTLY WORKING WITH MR GORE

THE GOAL OF THE GORE PROJECT IS TO HELP GOVERNMENT GET THE JOB DONE
QUICKER BETTER AND WITH A BIG SMILE ON YOUR FACE ALL FOR LESS MONEY
SAYS JIM MARTIN DIRECTOR OF STATEFEDERAL RELATIONS AT THE NATIONAL
GOVERNORS ASSOCIATION

MEDICAID AND WELFARE ARE CONSUMING A GREATER SHARE OF FEDERAL AID TO STATE
AND LOCAL GOVERNMENTS 9305040047 930504 FIRST ART AUCTION OF THE SEASON
FIZZLES AS WARHOL WORKS ARE WIDELY SNUBBED  BY ALEXANDRA PEERS 
STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK ANDY WHO

A DOZEN PAINTINGS BY POPART MASTER ANDY WARHOL WENT ON THE AUCTION BLOCK
LAST NIGHT AND WERE SNUBBED BY A BEVY OF COLLECTORS AND DEALERS

THE HUGE SALE OF 77 CONTEMPORARY PAINTINGS AND SCULPTURES THE FIRST OF
THE CRUCIAL SEMIANNUAL TWOWEEK ART SALES SEASON DIED UNDER ITS OWN
WEIGHT THERE WERE SIMPLY TOO MANY WARHOLS DEALERS AND COLLECTORS SAID AND
TOO FEW TOPQUALITY WORKS BY OTHER ARTISTS IN THIS SALE

THE SALE REGISTERED A STEEP FAILURE RATE OF 48 WITH 37 OF THE ARTWORKS
FAILING TO SELL

THE CENTERPIECE OF THE SALE BY SOTHEBY'S HOLDINGS INC WAS THE COLLECTION OF
FREDERICK HUGHES MR WARHOL'S LONGTIME FRIEND MANAGER AND EXECUTOR OF HIS
ESTATE MR HUGHES OFFERED 10 WORKS MOSTLY FROM EARLY IN THE ARTIST'S
CAREER THEY WERE THE FIRST CLUSTER OF WHAT EVENTUALLY WILL BE ABOUT 30
WARHOL WORKS OFFERED FOR SALE THIS WEEK AT AUCTION

MR WARHOL WAS WELLKNOWN TALENTED AND PROLIFIC ENOUGH SO THAT HIS VIVID
POPART PAINTINGS HAVE BECOME AN ESTABLISHED CURRENCY OF THE BILLIONDOLLAR
INTERNATIONAL ART MARKET AND A CURRENCY THAT HAS BEEN DEVALUED IN RECENT
YEARS BECAUSE OF CONCERNS ABOUT FAKES AND THE FLOOD OF HIS WORKS ALL UP FOR
SALE AT ONCE THE 4 MILLION RECORD FOR A WARHOL SET IN 1989 FOR SHOT RED
MARILYN STILL HOLDS

ALTOGETHER MR HUGHES'S WARHOLS WERE ESTIMATED TO BRING 37 MILLION TO 5
MILLION ONLY TWO SOLD FOR A TOTAL OF 610000

DOUBLE ELVIS TWIN LARGERTHANLIFE IMAGES OF THE SINGER DRESSED AS A
GUNTOTING COWBOY FAILED TO SELL SOTHEBY'S HAD EXPECTED 700000 TO
900000 BIDDING STOPPED AT 475000

THE TOTAL FOR THE SOTHEBY'S SALE INCLUDING THE COMMISSION PAID TO
SOTHEBY'S WAS A PALTRY 9 MILLION SOTHEBY'S HAD EXPECTED THE SALE TO RAISE
ABOUT 184 MILLION TO 247 MILLION

ALL PRICES INCLUDE SOTHEBY'S COMMISSION THE AUCTION HOUSE CHARGES BUYERS
15 ON THE FIRST 50000 OF THE PURCHASE PRICE AND 10 THEREAFTER

NONETHELESS THERE WERE A FEW BRIGHT SPOTS AND GENUINE BIDDING WARS FOR
ARTWORKS CONSIDERED SEMINAL IN ARTISTS' CAREERS

A VIGOROUS BIDDING WAR BROKE OUT FOR WILLEM DE KOONING'S ENERGETIC SCRIBBLES
OF BLACK ENAMEL BLACK AND WHITE ABSTRACTION ESTIMATED TO SELL FOR
500000 TO 600000 IT BROUGHT 965000 INCLUDING THE SOTHEBY'S
COMMISSION

STRONG PRICES ALSO WERE ACHIEVED FOR HISTORICALLY IMPORTANT OR PRIZED WORKS
BY MINIMALIST ARTIST DONALD JUDD BY '80S ARTIST DAVID SALLE AND BY ABSTRACT
EXPRESSIONIST MARK ROTHKO

SOTHEBY'S SAID MOST OF THE BUYING WAS DONE BY AMERICAN PRIVATE COLLECTORS

FRANZ KLINE'S SABRO ANGRY POWERFUL SWEEPS OF BLACK PAINT AGAINST A WHITE
CANVAS CARRIED THE AUCTION'S TOP ESTIMATE OF 15 MILLION TO 2 MILLION IT
DIDN'T SELL

THEA WESTREICH ONE OF THE FEW DEALERS WHO DID BUY AT THE SALE SAID WHEN
THERE WAS GOOD MATERIAL PROFESSIONAL PEOPLE PAID THE CORRECT PRICE
HOWEVER MOST OF THE ART UP FOR SALE AT SOTHEBY'S WAS WEAK SHE SAID MS
WESTREICH PURCHASED A DAVID SMITH SCULPTURE ON BEHALF OF CLIENTS AND WAS THE
UNDERBIDDER ON THE TOPSELLING DE KOONING

IT WAS STANDING ROOM ONLY AT THE TONY NEW YORK AUCTION HOUSE BUT MOSTLY
BECAUSE ANXIOUS TO BOOST THE ENERGY OF THE SALESROOM AND STRESS ITS
EXCLUSIVITY SOTHEBY'S HAD REMOVED ABOUT 250 SEATS FROM THE SALESROOM

THE AUCTIONS CONTINUE TODAY SOTHEBY'S WILL SELL ITS LESS COSTLY WORKS
MOSTLY 50000 AND UNDER AT DAYTIME AUCTIONS THIS EVENING CHRISTIE'S
INTERNATIONAL PLC HOLDS ITS SALE OF CONTEMPORARY ART FEATURING
MILLIONDOLLAR WORKS BY JACKSON POLLOCK AND ROY LICHTENSTEIN 9305040046
930504 CORPORATE FOCUS HEALTH MANAGEMENT ASSOCIATES THRIVES AS OTHERS
FALTER  HOSPITAL CHAIN POSTS 33RD STRAIGHT INCREASE IN QUARTERLY
OPERATING PROFIT  BY HELENE COOPER STAFF REPORTER OF THE WALL
STREET JOURNAL

NAPLES FLA ABOUT HALF THE HOSPITALS IN THE COUNTRY ARE SCARED THE
OTHER HALF ARE BROKE

THEN THERE IS HEALTH MANAGEMENT ASSOCIATES INC WHILE MANY HOSPITAL
COMPANIES HAVE SEEN EARNINGS SLIDE THE 16HOSPITAL CHAIN REPORTED LAST WEEK
A 35 JUMP IN FISCAL SECONDQUARTER NET INCOME AND ITS 33RD CONSECUTIVE
INCREASE IN QUARTERLY OPERATING PROFIT WHILE OTHER COMPANIES HAVE BEEN
BATTERED BY CHARGES AND PRESS ACCOUNTS OF OVERBILLING FRAUD AND INSURANCE
SCAMS HEALTH MANAGEMENT IS GETTING ACCOLADES FROM INVESTORS AND LOCAL
COMMUNITIES

ITS STRATEGY IS TWOPRONGED IT COMBINES A HIGHLY CENTRALIZED AND EFFICIENT
MANAGEMENT WITH A PROVEN SMALLNICHE PHILOSOPHY OPERATING PRIMARILY IN
RURAL AREAS AS THE SOLE PROVIDER THE RESULTS OPERATING PROFIT HAS JUMPED
MORE THAN 23 A YEAR SINCE 1988 AND NET HIT 226 MILLION LAST YEAR UP
NEARLY 90 FROM 1991 LAST WEEK THE COMPANY REPORTED THAT FISCAL
SECONDQUARTER EARNINGS CLIMBED TO 93 MILLION OR 48 CENTS A SHARE FROM
69 MILLION OR 36 CENTS A SHARE A YEAR EARLIER

HEALTH MANAGEMENT HAS A TIGHTSHIP MENTALITY SAYS ANALYST SANDRA M
BARKER OF INTERSTATE/JOHNSON LANE IN ATLANTA THEY'RE NOT ONLY EFFICIENT ON
THE COST SIDE BUT THEY'RE PROVIDING SOMETHING FOR THEIR COMMUNITIES

BUT SOME INDUSTRY OBSERVERS SAY THE SHIP MAY BE TOO TIGHTLY CONTROLLED ONLY
32 PEOPLE WORK AT CORPORATE HEADQUARTERS WILLIAM SCHOEN THE 57YEAROLD
CHAIRMAN PRESIDENT AND CHIEF EXECUTIVE OFTEN BADGERS HIS HOSPITALS WITH
SUGGESTIONS OR QUESTIONS THE ONLY LAYER OF BUREAUCRACY BETWEEN MR SCHOEN
AND THE FRONT LINES IS TWO EXECUTIVE VICE PRESIDENTS

IF THERE'S A DOWNSIDE HERE SAYS ONE ANALYST IT WOULD BE THAT THE
COMPANY IS SOMETHING OF A ONEMAN SHOW AND I'M NOT SURE HOW HEALTHY THAT
IS

MR SCHOEN POINTS TO HIS BALANCE SHEET WHICH HE SAYS IS QUITE HEALTHY I
HAVE A SMALL TEAM HERE BECAUSE THAT'S WHAT WORKS HE SAYS SIMPLY

THE 250 BILLION HOSPITAL INDUSTRY ISN'T KNOWN FOR TIGHT MANAGEMENT
NONPROFIT HOSPITALS MANY RUN BY CAREER PHYSICIANS AND NOT MBAS ACCOUNT
FOR 62 OF THE INDUSTRY THE LACK OF BUSINESS EXPERTISE IN THE TOP RANKS OF
MANY HOSPITALS ACCORDING TO SOME ANALYSTS EXPLAINS WHY SO MANY ARE EITHER
IN FINANCIAL TROUBLE OR CLOSING

EVEN MANY FORPROFIT HOSPITALS AND CHAINS ARE ON THE ROCKS AVERAGE ANNUAL
REVENUE GROWTH LAST YEAR DROPPED TO 14 FROM 47 THE YEAR BEFORE
ACCORDING TO THE AMERICAN HOSPITAL ASSOCIATION IN 1992 FOR THE FIRST TIME
MORE SURGERY WAS PERFORMED ON AN OUTPATIENT AND THEREFORE CHEAPER 
BASIS THAN INSIDE HOSPITALS THE AHA REPORTS THE SPECTER OF HEALTHCARE
REFORM HAS MANY HOSPITALS AND CHAINS WONDERING WHETHER AN EVEN BIGGER SLICE
IS ABOUT TO BE TAKEN FROM THEIR REVENUES

BUT REFORM AND PARTICULARLY THE WIDELY TOUTED IDEA OF MANAGED COMPETITION
 WHICH CALLS FOR BLENDING EMPLOYERS INTO GIANT PURCHASING NETWORKS TO SHOP
FOR HEALTH COVERAGE THEREBY SPURRING COMPETITION DOESN'T CONCERN MR
SCHOEN FOR ONE THING WITH MOST OF HEALTH MANAGEMENT'S HOSPITALS IN RURAL
AREAS THERE'S NOT MUCH COMPETITION TO BEGIN WITH AND MR SCHOEN SAYS THE
COMPANY CAN'T HELP BUT BENEFIT FROM UNIVERSAL COVERAGE IT WRITES OFF 24
MILLION ANNUALLY IN UNPAID BILLS THEORETICALLY UNDER A UNIVERSAL
HEALTHCARE PLAN THOSE BILLS WOULD BE PAID

HEALTH MANAGEMENT WASN'T ALWAYS SO HEALTHY FOUNDED IN 1979 AS A HOSPITAL
MANAGEMENT CONCERN IT RAN OUT OF MONEY AFTER FOUR YEARS IN 1983 PROFIT
HAD SLID TO 251000 DOWN 50 FROM THE YEAR BEFORE

ENTER WILLIAM SCHOEN MR SCHOEN WHO HAD ENGINEERED THE SALE OF F&M
SCHAEFER CORP TO STROH COS FOR 120 MILLION WAS DISCOVERING THAT HIS
RETIREMENT TO THE SLEEPY COMMUNITY OF NAPLES HAD BEEN A BIT PREMATURE SO
THE FORMER TURNAROUND SPECIALIST JOINED HEALTH MANAGEMENT AS A CONSULTANT
IN TWO YEARS HE PRODUCED 7 MILLION FROM INVESTORS AND SAYS HE WAS ASKED TO
TAKE THE COMPANY'S REINS

MR SCHOEN FIRST DUMPED HEALTH MANAGEMENT'S LOSSRIDDEN FACILITIES IN URBAN
AREAS WHERE HOSPITALS HAD ALREADY BEGUN SCRAMBLING FOR PATIENTS AND BEGAN
SHOPPING FOR SMALL NONPROFIT RURAL HOSPITALS HIS TIMING WAS PERFECT THE
FEDERAL GOVERNMENT IN 1983 HAD TIGHTENED ITS CONTROLS ON HOSPITAL
REIMBURSEMENT WHICH SENT MANY RURAL FACILITIES TO THE AUCTION BLOCK BEFORE
1983 ACCORDING TO JOEL RAY AN ANALYST WITH KIDDER PEABODY & CO HOSPITAL
COMPANIES PAID 200000 TO 250000 A BED FOR ACQUISITIONS AFTER 1983 THE
AMOUNT PLUNGED TO 150000

LAST MONTH HEALTH MANAGEMENT SIGNED A LETTER OF INTENT TO ACQUIRE FOUR
HOSPITALS IN ALABAMA FLORIDA AND MISSISSIPPI FROM GALEN HEALTH CARE INC IN
LOUISVILLE KY THE COMPANY DECLINED TO DISCUSS THE PURCHASE

NEXT MR SCHOEN TOOK AN AX TO CORPORATE HEADQUARTERS IN NAPLES DISMISSING
50 OF THE 82 MANAGERS AND EXECUTIVES

FINALLY THE COMPANY SET ABOUT TO STREAMLINE ITS HOSPITALS MR SCHOEN
DISMISSED MOST TOP EXECUTIVES AT THE ACQUIRED HOSPITALS AND BROUGHT IN
LARGELY YOUNGER MANAGEMENT HE THEN SET UP COMPETITIVE PERFORMANCE GOALS
EACH HOSPITAL WAS GIVEN A PROFIT PLAN FOR THE YEAR EACH HOSPITAL WAS
EVALUATED EVERY SIX MONTHS ON NUMEROUS ASPECTS AND EACH HOSPITAL'S RANKING
IN THE EVALUATION WAS DISTRIBUTED COMPANYWIDE

THE COMPANY SURVEYED AND LISTENED TO PATIENTS WHEN PEOPLE COMPLAINED
THAT THEY WERE SPENDING TOO MUCH TIME WAITING IN THE EMERGENCY ROOM BEFORE
SEEING A DOCTOR HEALTH MANAGEMENT STARTED A PROGRAM THROUGH WHICH PATIENTS
SEE A NURSE AS SOON AS THEY WALK IN PATIENT SATISFACTION WITH
EMERGENCYROOM SERVICE JUMPED TO 96 IN SEPTEMBER 1992 FROM 82 IN JUNE
BEFORE THE PROGRAM BEGAN THE COMPANY SAYS

THEN THERE'S HEALTH MANAGEMENT'S WIDEREACHING PUBLICRELATIONS CAMPAIGN BY
ACQUIRING A DYING HOSPITAL THE COMPANY IMMEDIATELY SETS ITSELF UP IN A
COMMUNITY AS A SAVIOR IT THEN PROCEEDS TO BECOME ONE OF THE MOST IMPORTANT
PEOPLE IN TOWN BY SPONSORING EVENTS AND MAKING A BIG SHOW OF PAYING ITS
TAXES SAYS EARL HOLLAND EXECUTIVE VICE PRESIDENT

IN ADDITION HEALTH MANAGEMENT CATERS TO THE ALLIMPORTANT SENIORCITIZEN
MARKET BY OFFERING DISCOUNTS FOR SENIORS NOT JUST PATIENTS TO EAT IN
HOSPITAL CAFETERIAS THE AMERICAN ASSOCIATION OF RETIRED PERSONS IS THE
MOST IMPORTANT LOBBY IN TOWN MR HOLLAND SAYS WE PLAY TO THAT

FINALLY INSTEAD OF SPENDING MONEY ON NEW COMPUTER SYSTEMS HEALTH
MANAGEMENT BOUGHT USED EQUIPMENT TWEAKING IT TO GET MORE WORK FOR THE
DOLLAR SAYS KELLY CURRY CHIEF FINANCIAL OFFICER HE ESTIMATES THE COMPANY
HAS SAVED MORE THAN 1 MILLION AND ANALYSTS SAY ITS INFORMATION SYSTEM IS
FIRSTRATE

ITS EFFICIENCY IS EVIDENT IN THE TIME IN WHICH HEALTH MANAGEMENT RECEIVES
PAYMENT FOR A BILL 49 DAYS COMPARED WITH THE INDUSTRY AVERAGE OF 75 DAYS

THE COMPANY'S TIGHTSHIP PHILOSOPHY IS A SIGN OF THINGS TO COME ANALYSTS
SAY HOSPITALS NEED TO WORK MORE LIKE BUSINESSES SAYS JD KLEINKE AN
ANALYST WITH HCIA A HEALTHCARE INFORMATION FIRM IN BALTIMORE THEY CAN'T
HEAL ANYBODY IF THEY'RE UNDER WATER

OPERATES 16 ACUTE CARE AND PSYCHIATRIC HOSPITALS PRIMARILY IN THE SOUTH AND
SOUTHWEST

PRIMARILY NEARBY URBAN HOSPITALS 9305040045 930504 UNITED WASTE
TERMINATES PACT

GREENWICH CONN UNITED WASTE SYSTEMS INC SAID IT TERMINATED A
DEFINITIVE AGREEMENT TO PURCHASE A SLUDGE DISPOSAL OPERATION IN ARIZONA

THE OWNER OF LANDFILLS AND HAULING OPERATIONS SAID TERMS COULDN'T BE REACHED
WITHIN A DESIGNATED TIME IT NOTED THAT IT HAS EIGHT LETTERS OF INTENT TO
PURCHASE OTHER VARIOUS WASTERELATED OPERATIONS IN ITS THREE MAJOR MARKETS
 MASSACHUSETTS MICHIGAN AND PENNSYLVANIA 9305040044 930504 MAXUS TO
SELL A CONTRACT

DALLAS MAXUS ENERGY CORP SAID IT IS PLACING ITS NORTHWEST JAVA
PRODUCTION SHARING CONTRACT WHICH REPRESENTS ABOUT 30 OF ITS AVERAGE CRUDE
OIL SALES A DAY UP FOR SALE

MAXUS HOLDS A 24 INTEREST IN THE 57 MILLION ACRE AREA OPERATED BY ATLANTIC
RICHFIELD CO MAXUS CURRENT SALES FROM THE CONTRACT AREA AVERAGED ABOUT
21000 BARRELS OF OIL A DAY DURING THE FIRST QUARTER OF 1993 TOTAL AVERAGE
SALES FOR THE COMPANY WERE ABOUT 68400 BARRELS OF CRUDE OIL A DAY FOR THE
SAME QUARTER SAID A SPOKESWOMAN

THE OIL AND GAS EXPLORATION AND PRODUCTION COMPANY SAID IT WOULD USE
PROCEEDS TO PAY DOWN DEBT 9305040043 930504 REVIEW & OUTLOOK EDITORIAL
 WHAT'S A DEMOCRATIC MODERATE'

SAVVY DEMOCRATS MUST BE WONDERING WHAT POLITICAL FUTURE BILL CLINTON IS
LEADING THEM INTO THEY ARE SHAKING THEIR HEADS IN DISMAY AT THE RESULTS OF
THE FIRST ROUND OF SATURDAY'S US SENATE ELECTION IN TEXAS AGGREGATING THE
VOTES AMONG THE CONTENDERS THE REPUBLICANS WALLOPED THE DEMOCRATIC
CANDIDATES BY 57 TO 40 ONE OF THE BIG MESSAGES WE SEE IN THIS RESULT IS
THAT THE NEW AND MODERATE DEMOCRATIC IMAGE THAT BILL CLINTON FOSTERED LAST
FALL HAS A BIG CREDIBILITY PROBLEM

APPOINTED INCUMBENT BOB KRUEGER WAS THE ONLY FORMIDABLE DEMOCRAT IN THE
RACE AND HE ATTEMPTED TO DEPICT HIMSELF AS THE SOUL OF MODERATION ONE
MANIFESTATION OF THAT MODERATION HE SAID WAS TO VOTE AGAINST THE CLINTON
BUDGET BECAUSE IT INCLUDED TAX INCREASES BUT VOTERS HAD HEARD THAT ONE
BEFORE FROM CANDIDATE CLINTON IN JANUARY I'VE OFFERED A COMPREHENSIVE
PLAN TO GET OUR ECONOMY MOVING AGAIN IT STARTS WITH A TAX CUT FOR THE
MIDDLE CLASS INDEED BY THE TIME TEXANS WERE READY TO VOTE SENATOR
KRUEGER WAS SAYING I'VE ALWAYS BEEN AN INDEPENDENT DEMOCRAT

TRYING TO HIDE FROM THE FIRST 100 DAYS OF THE CLINTON PRESIDENCY DIDN'T
WORK MR KRUEGER FINISHED SECOND TO STATE TREASURER KAY BAILEY HUTCHISON
WHO DIVIDED THE GOP VOTE WITH TWO OTHER REPUBLICANS SHE IS NOW IN A GOOD
POSITION TO WIN THE JUNE RUNOFF MS HUTCHISON RAN AS A STRONG CONSERVATIVE
SHE OPPOSED ALL TAX INCREASES AND SUPPORTED ENTITLEMENT REFORM SCHOOL
CHOICE THAT INCLUDES PRIVATE SCHOOLS AND TERM LIMITS SHE IS A MODERATE ON
SOCIAL ISSUES

PUT IT THIS WAY IF BILL CLINTON AS PRESIDENT WAS GOVERNING AS THE MODERATE
DEMOCRATIC LEADERSHIP COUNCIL REINVENTING GOVERNMENT TYPE HE CLAIMED TO BE
IN THE FALL BOB KRUEGER WOULD PROBABLY BE WALTZING INTO A FULL TERM
INSTEAD THE FIRST THING THE NEW PRESIDENT DID WAS ANNOUNCE THE SUSPENSION
OF CONTROLS ON FEDERALLY FUNDED ABORTIONS RAISE GAYS IN THE MILITARY TO
NATIONAL PROMINENCE PUT THE PRESTIGE OF HIS OFFICE BEHIND A PUBLICWORKS
BILL AND TALK A LOT ABOUT NEW TAXES AND SACRIFICE

ADD IN THE NATIONAL HEALTHCARE PROPOSAL AND YOU CLEARLY HAVE A COMMAND
DECISION BY THE CLINTON BRAIN TRUST TO SPEND ITS EARLY POLITICAL CAPITAL ON
TRYING TO RUN A LONGDORMANT LIBERAL AGENDA THROUGH THE SYSTEM IT IS
FALTERING AND IT LOOKS TO US AS IF A MAJOR CASUALTY OF THIS FLAWED DECISION
IS THE NOTION THAT THERE IS SUCH A THING AS A MODERATE NATIONAL DEMOCRAT
WE ARE LEARNING THAT THE LIBERAL CONSTITUENCY GROUPS ARE SIMPLY TOO NUMEROUS
AND POWERFUL TO BUCK

THE CLINTON WHITE HOUSE COULD GET SOME MORE BAD NEWS TODAY WHEN VOTERS IN
WISCONSIN ELECT SOMEONE TO FILL LES ASPIN'S VACANT HOUSE SEAT JEFF
NEUBAUER MR CLINTON'S STATE CAMPAIGN MANAGER WRAPPED HIMSELF AROUND THE
PRESIDENT'S ECONOMIC PROGRAM IN THE DEMOCRATIC PRIMARY HE LOST BADLY TO
PETER BARCA WHO HAS BEEN RUNNING FROM THE CLINTON TAX INCREASES EVEN SO
MR BARCA COULD STILL LOSE TO REPUBLICAN BUSINESSMAN MARK NEUMANN THERE'S
ALSO A GOOD CHANCE THAT A REPUBLICAN SOON MAY WIN THE MAYORALTY OF LOS
ANGELES

IT WOULD BE REASSURING TO THINK SOME OF THIS WOULD MARK A REALITY CHECK FOR
THE WHITE HOUSE BUT WE DON'T SEE IT NOT WHEN THE POWERS IN CHARGE ARE
STILL WAVING THROUGH A LANI GUINIER TO RUN THE JUSTICE DEPARTMENT'S CIVIL
RIGHTS OFFICE IN THE WEEK THAT TEXAS VOTERS ARE GOING TO THE POLLS THE
CLINTON WHITE HOUSE STILL SEEMS TO THINK THAT ITS VICTORY WAS A MANDATE FOR
UPDATING A 196566 LEGISLATIVE AGENDA FOR AN MTV ELECTORATE THIS IS NO
ONE'S IDEA OF A DEMOCRATIC MODERATE ASK BOB KRUEGER 9305040042 930504
BUSINESS BRIEF CAMPBELL SOUP CO IS EXPECTED TO UNVEIL 
EXECUTIVESTOCK PLAN

CAMDEN NJ CAMPBELL SOUP CO IS EXPECTED TO ANNOUNCE TODAY A
STOCKOWNERSHIP PLAN THAT REQUIRES ITS PRESIDENT AND CHIEF EXECUTIVE
OFFICER DAVID W JOHNSON TO BUY AT LEAST 22 MILLION OF THE COMPANY'S
BATTERED STOCK

THE INVESTMENT BY MR JOHNSON REPRESENTING THREE TIMES HIS 757500 BASE
SALARY LAST YEAR IS PART OF A NEW STOCK PLAN THAT REQUIRES THE SOUP AND
PACKAGEDFOODS COMPANY'S 70 TOP EXECUTIVES TO BUY AND HOLD AT LEAST 1000
SHARES APIECE OF THE COMPANY'S STOCK

TYPICALLY IN SUCH PROGRAMS CHIEF EXECUTIVES ARE REQUIRED TO INVEST BETWEEN
ONE AND 10 TIMES THEIR ANNUAL SALARIES MR JOHNSON HAS UNTIL THE END OF
1994 TO PURCHASE THE STOCK

CAMPBELL STOCK HAS BEEN HIT HARD THIS YEAR AS HAVE OTHER STOCKS IN THE
PACKAGEDGOODS INDUSTRY CAMPBELL IS DOWN ALMOST 10 SINCE DEC 31 IN LATE
TRADING YESTERDAY ON THE NEW YORK STOCK EXCHANGE IT WAS QUOTED AT 37875
DOWN 75 CENTS

CAMPBELL IS JOINING A GROWING NUMBER OF CORPORATIONS INCLUDING XEROX CORP
AMERICAN STORES CO CSX CORP GERBER PRODUCTS CO UNION CARBIDE CORP AND
HERSHEY FOODS CORP THAT HAVE RECENTLY SET UP MANDATORY OR VOLUNTARY
GUIDELINES FOR EXECUTIVE STOCK OWNERSHIP

THE PLANS HAVE GAINED IN POPULARITY AS CORPORATE MANAGEMENT COMES UNDER
INCREASING PRESSURE FROM BIG INVESTORS TO LINK COMPENSATION TO SHAREHOLDER
RETURNS 9305040041 930504 YOUR MONEY MATTERS CPA'S VALUE CAN GO WELL
BEYOND TAXES  BY EARL C GOTTSCHALK JR STAFF REPORTER OF THE WALL
STREET JOURNAL

IF YOU'VE BEEN THINKING ABOUT HIRING A PROFESSIONAL TO HELP GET YOUR
FINANCIAL LIFE IN ORDER THE ACCOUNTANT WHO PREPARED THAT COMPLICATED TAX
RETURN FOR YOU THIS YEAR MAY BE WORTH CONSIDERING

AFTER ALL YOUR ACCOUNTANT ALREADY KNOWS A LOT ABOUT YOUR FINANCES AND
CERTIFIED PUBLIC ACCOUNTANTS WHO OFFER FINANCIALPLANNING SERVICES TYPICALLY
WON'T TRY TO SELL YOU STOCKS BONDS MUTUAL FUNDS OR INSURANCE POLICIES
THEY CHARGE BY THE HOUR AND THEY'RE BEHOLDEN TO THEIR CLIENTS

IN MOST CASES YOU DON'T HAVE TO BE CONCERNED ABOUT THEIR OBJECTIVITY
SAYS KURT BROUWER PARTNER IN BROUWER & JANACHOWSKI A SAN FRANCISCO
INVESTMENT ADVISORY FIRM SOME FINANCIAL PLANNERS WHO PRESENT THEMSELVES AS
OBJECTIVE AND INFORMED FINANCIAL COUNSELORS ARE MERELY INSURANCE SALESMEN
STOCKBROKERS OR MUTUALFUND SALESMEN IN A DIFFERENT COSTUME MR BROUWER
SAYS

BUT THIS DOESN'T MEAN YOU SHOULD RUSH TO HIRE JUST ANY ACCOUNTANT TO HELP
CHART THE PATH TO YOUR FINANCIAL GOALS OR TO PICK INVESTMENTS FOR YOU IT'S
IMPORTANT TO TAKE A HARD LOOK AT YOUR CPA'S SPECIFIC BACKGROUND AND
EXPERTISE IN INVESTING AND FINANCIAL PLANNING NOT ALL CPAS ARE QUALIFIED TO
GUIDE YOU THROUGH THE THICKETS OF INVESTING INSURANCE AND ESTATE PLANNING

OF THE COUNTRY'S APPROXIMATELY 400000 CPAS SOME 4000 HAVE COMPLETED
FINANCIALPLANNING COURSES SPONSORED BY THE AMERICAN INSTITUTE OF CERTIFIED
PUBLIC ACCOUNTANTS AN EVEN SMALLER MINORITY 783 CPAS HAVE SPENT AT
LEAST 250 HOURS A YEAR COUNSELING CLIENTS IN FINANCIAL PLANNING FOR THE PAST
THREE YEARS AND HAVE PASSED A ONEDAY TEST THEY HOLD A SPECIAL DESIGNATION
PERSONAL FINANCIAL SPECIALIST OR PFS

KEEP IN MIND THAT DESPITE THE INSECURITY MANY PEOPLE FEEL ABOUT DEALING WITH
THEIR MONEY THERE IS A LOT YOU CAN DO FOR YOURSELF IF YOU TAKE SOME TIME
TO LEARN THE BASICS OF PERSONAL FINANCE AND INVESTING AND THINK ABOUT YOUR
OWN GOALS AND RESOURCES

STILL MEETING WITH AN ACCOUNTANT CAN BE USEFUL IF ONLY AS A STARTING POINT
TO GET YOU MOVING IN THE RIGHT DIRECTION WHETHER IT'S DEVELOPING A BUDGET
AND CASHFLOW PLAN SAVING MORE MONEY FOR RETIREMENT OR FUNDING A CHILD'S
EDUCATION

WE CAN FUNCTION AS A SOUNDING BOARD TO SEE IF THE CLIENT IS ON THE RIGHT
TRACK SAYS LYLE BENSON FINANCIALPLANNING PARTNER AT BALTIMORE ACCOUNTING
FIRM COYNE & MCCLEAN MORE PEOPLE ARE BECOMING EDUCATED ON THEIR OWN AND
COME IN WITH A LIMITED SPECIFIC PROBLEM LIKE HOW TO SAVE FOR RETIREMENT
HE SAYS I WIND UP MEETING WITH A LOT OF CLIENTS FOR AN HOUR OR TWO AND
TELLING THEM WHAT THEY'RE DOING RIGHT AND WHAT THEY'RE DOING WRONG

AN ACCOUNTANT WHO IS EXPERIENCED IN WORKING WITH OTHER PROFESSIONALS CAN
ALSO HELP SET YOU UP WITH REPUTABLE ESTATEPLANNING ATTORNEYS TO DRAFT WILLS
AND TRUSTS AND WITH KNOWLEDGEABLE INSURANCE AGENTS TO HELP YOU FIGURE OUT
HOW MUCH INSURANCE YOU NEED

HOWARD SAFER PRESIDENT OF BRADFORD TRUST CO NASHVILLE TENN WHO
FORMERLY PRACTICED AS A CPA/FINANCIAL PLANNER SAYS A LOT OF HIS TIME WAS
SPENT IN GIVING SECOND OPINIONS AN ACCOUNTANT EXPERIENCED IN PERSONAL
FINANCE CAN HELP YOU ASK THE RIGHT QUESTIONS HE SAYS

BUT IT'S NOT A GOOD IDEA MOST PROS SAY TO HAVE YOUR ACCOUNTANT PICK
INVESTMENTS AND INSURANCE POLICIES FOR YOU UNLESS THE ACCOUNTANT HAS SPECIAL
TRAINING IN THESE FIELDS MOST ACCOUNTANTS' INITIAL ACADEMIC STUDY IS TOO
NARROW FOR THIS TASK SAYS JOHN MARKESE PRESIDENT OF THE AMERICAN
ASSOCIATION OF INDIVIDUAL INVESTORS

INDEED ONLY SEVEN STATES MARYLAND OKLAHOMA SOUTH DAKOTA TEXAS UTAH
VERMONT AND WISCONSIN ALLOW CPAS TO SELL FINANCIAL PRODUCTS AND TAKE
COMMISSIONS FOR DOING IT MOST STATE BOARDS OF ACCOUNTANCY OPPOSE THE
PRACTICE ON THE GROUND THAT IT MAKES THE CPA LESS OBJECTIVE

IN ANY CASE MOST ACCOUNTANTS HESITATE TO PICK SPECIFIC INVESTMENTS THOUGH
THEY WILL HELP CLIENTS DECIDE HOW TO ALLOCATE THEIR ASSETS AMONG STOCKS
BONDS AND OTHER TYPES OF INVESTMENTS

IF YOU HAVE A LARGE ENOUGH INCOME AND CAN PAY HOURLY FEES OF 100 OR MORE
YOU CAN USE AN ACCOUNTANT AS A BUFFER BETWEEN YOU AND OTHER FINANCIAL PROS
WHO ARE PITCHING THEIR SERVICES

SOME CPAS LIKE DIRK L EDWARDS PARTNER IN EDWARDS & MEYERS PORTLAND
ORE PROVIDE COMPREHENSIVE FINANCIAL PLANNING AND ACT AS A MANAGER OF
MANAGERS MR EDWARDS HELPS CLIENTS SELECT MONEY MANAGERS INSURANCE AGENTS
AND ESTATEPLANNING ATTORNEYS THEN HE MONITORS THEIR PERFORMANCE AND MAKES
SURE IT TRACKS WITH HIS CLIENTS' GOALS

ROBERT LUDEMAN A RETIRED APPARELCOMPANY EXECUTIVE WHO LIVES IN VANCOUVER
WASH LIKES THIS APPROACH WHEN HE CHOSE MONEY MANAGERS FOR HIS
INVESTMENTS MR EDWARDS SAT WITH HIM HEARD THE PRESENTATIONS AND OFFERED
HIS OPINIONS BUT MR LUDEMAN MADE THE FINAL DECISION HE SAYS

PERSONAL CHEMISTRY IS ALSO IMPORTANT MR LUDEMAN SAYS THAT BEFORE HIRING
MR EDWARDS HE USED ANOTHER CPA TO PREPARE HIS TAXES AND TO ADVISE HIM ON
INVESTMENTS WHEN IT CAME TO INVESTING HE WAS A RISK TAKER AND I AM NOT

SOME QUESTIONS TO ASK BEFORE HIRING YOUR ACCOUNTANT TO HELP STRAIGHTEN OUT
YOUR FINANCES WITH AND CAN HE GIVE YOU REFERENCES CREDENTIALS BEYOND THE
CPA TO FIND AN ACCOUNTANT WHO HAS THE AMERICAN INSTITUTE OF CERTIFIED
PUBLIC ACCOUNTANTS' PERSONAL FINANCIAL SPECIALIST DESIGNATION CALL
18008624272 CPAS CHARGE BY THE HOUR WITH FEES STARTING AT 100 AN HOUR
9305040040 930504 HEARD ON THE STREET WESTCOTT HAS THE LOOK OF A GROWTH
STOCK BUT SHORTSELLERS SEE UNDERLYING WEAKNESSES  BY JOHN R
DORFMAN STAFF REPORTER OF THE WALL STREET JOURNAL

NEW YORK SHORT SELLERS INVESTORS WHO PROFIT WHEN A STOCK GOES DOWN 
ARE DRAWING A BEAD ON WESTCOTT COMMUNICATIONS

INTERNAL GROWTH IS LACKLUSTER THE SHORTS SAY SALES AND EARNINGS GROWTH
COME LARGELY FROM ACQUISITIONS AND AGGRESSIVE ACCOUNTING AND THE SHORTS
HASTEN TO ADD WESTCOTT'S STOCK IS ANYTHING BUT CHEAP

THE COMPANY BASED IN CARROLLTON TEXAS OPERATES FOUR PRIVATE SATELLITE
TELEVISION NETWORKS THAT PROVIDE TRAINING AND SPECIALINTEREST PROGRAMMING
FOR POLICE OFFICERS FIREFIGHTERS AUTO DEALERSHIP EMPLOYEES AND HEALTH CARE
WORKERS IT ALSO SELLS INSTRUCTIONAL VIDEOTAPES

AS OF YESTERDAY AFTERNOON WITH THE STOCK AT 31 3/4 THE MARKET VALUED
WESTCOTT AT ABOUT 273 MILLION WHICH IS SIX TIMES REVENUE AND 47 TIMES THE
PAST FOUR QUARTERS' EARNINGS SUCH LOFTY MULTIPLES ARE USUALLY PASTED ON
REDHOT GROWTH COMPANIES YET THE BULK OF WESTCOTT'S GROWTH IS COMING FROM
ACQUISITIONS RATHER THAN FROM ITS EXISTING BUSINESSES

INDEED MOST OF THE COMPANY'S SATELLITE BROADCASTING NETWORKS HAVE FEWER
SUBSCRIBERS NOW THAN THEY DID A YEAR OR TWO AGO AT THE SAME TIME THE
AVERAGE SUBSCRIBER FEE AT MOST OF THE NETWORKS HAS DECLINED

TAKE THE LAW ENFORCEMENT TELEVISION NETWORK ONE OF WESTCOTT'S BIGGEST UNITS
WITH ESTIMATED REVENUE OF 104 MILLION AS OF DEC 31 IT HAD 2475
SUBSCRIBERS DOWN FROM 2550 A YEAR EARLIER THE AVERAGE PRICE SUBSCRIBERS
PAY WAS 350 A MONTH DOWN FROM 388

GROWTH HAS ALSO STALLED AT AUTOMOBILE SATELLITE TELEVISION NETWORK WITH
ESTIMATED REVENUE OF ABOUT 92 MILLION IT HAD 3080 SUBSCRIBERS AT
YEAREND UP SLIGHTLY FROM 1991 BUT DOWN FROM 3900 TWO YEARS AGO THE AUTO
NETWORK'S SUBSCRIBERS PAY AN AVERAGE OF 249 A MONTH FOR THE SERVICE DOWN
FROM 294 TWO YEARS AGO

A LOT OF AUTO DEALERS WENT BROKE IN THE PAST COUPLE OF YEARS SAYS CARL
WESTCOTT THE COMPANY'S CHAIRMAN HE ADDS THAT THE UNIT'S TROUBLES ARE
LARGELY BEHIND IT AND BUSINESS HAS TURNED UP MODERATELY

MEANWHILE HE SAYS NEWER AND SMALLER PARTS OF WESTCOTT'S BUSINESS MIX 
SUCH AS TRAINING VIDEOTAPES ARE GROWING VERY NICELY FURTHERMORE SAYS
PRESIDENT JACK T SMITH THE POTENTIAL MARKET IS HUGE AND THE COST OF
SATELLITE TECHNOLOGY IS COMING DOWN STEADILY

THE SHORTS TAKE A MORE CYNICAL VIEW CENTERING ON HOW WESTCOTT ACCOUNTED FOR
ITS 1992 ACQUISITION OF HEALTH & SCIENCES NETWORK WESTCOTT PAID ABOUT 6
MILLION FOR HSN THEN WROTE DOWN THE VALUE OF THE PROGRAM INVENTORIES TO
ZERO FIRED MOST OF THE NETWORK'S EMPLOYEES AND BOOKED THE ENTIRE PURCHASE
PRICE AS GOODWILL

GOODWILL IS THE AMOUNT PAID TO BUY A COMPANY IN EXCESS OF THE ACQUIRER'S
ESTIMATE OF THE COMPANY'S NET WORTH IN LAYMAN'S TERMS IT IS THE VALUE OF
AN ACQUIRED COMPANY'S REPUTATION AND CUSTOMER RELATIONSHIPS THE SHORTS SAY
THAT WESTCOTT IN EFFECT TOOK IN HSN'S REVENUE BUT GOT RID OF ITS COSTS BY
HIDING THEM UNDER THE RUBRIC OF GOODWILL THIS GAVE AN ARTIFICIAL BOOST TO
1992 EARNINGS THEY SAY

THE COMPANY DENIES THAT ITS ACCOUNTING TREATMENT OF THE HSN ACQUISITION HAD
A BIG EFFECT ON 1992 EARNINGS BESIDES WESTCOTT OFFICIALS SAY THEY NEVER
ACQUIRED PERMANENT RIGHTS TO USE HSN'S PROGRAMMING SO THEY HAD LITTLE
CHOICE BUT TO WRITE DOWN THE VALUE OF HSN'S PROGRAM INVENTORY TO ZERO

SHORTSELLERS WHO HAVE BEEN CONDUCTING A WHISPERING CAMPAIGN ABOUT THE
STOCK DECLINED TO BE QUOTED BUT THEY ARE INCREASING THEIR NEGATIVE BET AS
OF MIDAPRIL 632713 SHARES HAD BEEN SOLD SHORT UP 15 FROM MIDMARCH

SHORTSELLERS BORROW STOCK AND IMMEDIATELY SELL IT POCKETING THE PROCEEDS
EVENTUALLY THEY MUST BUY BACK SHARES TO REPLACE THE BORROWED ONES IF THE
STOCK FALLS IN THE MEANTIME THEY PROFIT

THE VOCAL IF ANONYMOUS CRITICISM BY THE SHORTS SHOWS THAT THEY ARE
GETTING NERVOUS SAYS MR WESTCOTT

HE SAYS CRITICS DON'T UNDERSTAND HIS GAME PLAN HE AND MR SMITH POINT TO
HEALTH & SCIENCES NETWORK AS A MODEL FOR HOW THEY WILL HANDLE FUTURE
ACQUISITIONS ABOUT SIX WESTCOTT EMPLOYEES NOW PRODUCE MOST OF THE HEALTH
NETWORK'S PROGRAMMING THE HEALTH NETWORK SAVES MONEY BECAUSE IT NO LONGER
PAYS FOR ITS OWN ADMINISTRATION ACCOUNTING COMPUTER SERVICES OR SATELLITE
BROADCASTING FACILITIES

WESTCOTT'S STOCK HAS A SMALL BUT FRIENDLY FOLLOWING ON WALL STREET BARRY
KING OF LADENBURG THALMANN LIKES THE WHOLE THRUST OF WHAT THEY'RE DOING
AND SAYS WESTCOTT HAS A PROMISING NICHE ALMOST TO ITSELF

CATO CARPENTER OF ALEX BROWN & SONS THINKS WESTCOTT COULD GROW TO 280
MILLION IN SALES AND THEODOR J KUNDTZ OF BEAR STEARNS IS HEARTENED BY
WESTCOTT'S RECENT ACQUISITION OF DISTRIBUTION RIGHTS FOR THE AMERICAN
HOSPITAL ASSOCIATION TELECONFERENCE SERIES ALL THREE RATE THE STOCK A
BUY BEAR STEARNS AND ALEX BROWN HAVE AN UNDERWRITING RELATIONSHIP WITH
THE COMPANY

THE ANALYSTS LOOK FOR WESTCOTT TO EARN ABOUT 98 CENTS A SHARE THIS YEAR AND
139 A SHARE IN 1994 EVEN IF THEY'RE RIGHT THE STOCK WOULD STILL BE
EXPENSIVE AT 32 TIMES THIS YEAR'S EARNINGS AND 23 TIMES NEXT YEAR'S
EARNINGS THAT'S A LOT TO PAY FOR A STOCK THAT SEEMS TO NEED A YEARLY FIX OF
ACQUISITIONS TO LOOK LIKE A GROWTH STOCK

YEAR ENDED DEC 31 1992

FIRST QUARTER MARCH 31 1993 9305040039 930503 QUARTERLY EARNINGS
SURPRISES

COMPANIES LISTED BELOW REPORTED QUARTERLY PROFIT SUBSTANTIALLY DIFFERENT
FROM THE AVERAGE OF ANALYSTS' ESTIMATES THE COMPANIES ARE FOLLOWED BY AT
LEAST THREE ANALYSTS RESULTS IN PARENTHESES ARE LOSSES

THE PERCENT DIFFERENCE COMPARES ACTUAL PROFIT WITH THE 30DAY ESTIMATE WHERE
AT LEAST THREE ANALYSTS HAVE ISSUES FORECASTS IN THE PAST 30 DAYS
OTHERWISE ACTUAL PROFIT IS COMPARED WITH THE 120DAY ESTIMATE 9305040038
930504 ECONOMY HEALTH PLAN MIGHT INCLUDE SURCHARGE FOR FIRMS THAT AVOID
INSURANCE POOLS  BY HILARY STOUT AND RICK WARTZMAN STAFF REPORTERS
OF THE WALL STREET JOURNAL

WASHINGTON ADMINISTRATION OFFICIALS ARE CONSIDERING A SURCHARGE ON LARGE
COMPANIES THAT CHOOSE NOT TO PARTICIPATE IN REGIONAL INSURANCEPURCHASING
POOLS THAT THE CLINTON HEALTH PLAN WOULD ESTABLISH

THE AIM WOULD BE TO MAKE THESE LARGE COMPANIES PAY FOR PART OF THE COST OF
PROVIDING HEALTH COVERAGE TO POOR AND UNEMPLOYED PEOPLE

UNDER THE STILLEVOLVING CLINTON HEALTH PLAN MOST PEOPLE WOULD OBTAIN
INSURANCE THROUGH THE POOLS EITHER BY CONTRIBUTING INDIVIDUALLY OR THROUGH
THEIR EMPLOYERS BUT ADMINISTRATION OFFICIALS ARE CONSIDERING ALLOWING LARGE
EMPLOYERS TO OPT OUT OF THE PURCHASING POOLS MANY BIG COMPANIES ARGUE THAT
THEY HAVE BECOME QUITE ADEPT AT BARGAINING FOR HIGHQUALITY LOWCOST HEALTH
COVERAGE AND THEY WANT TO BE ABLE TO CONTINUE TO DO SO ON THEIR OWN

THE IDEA OF IMPOSING A SURCHARGE ON COMPANIES THAT OPT OUT WHICH HAS BEEN
DISCUSSED IN RECENT MEETINGS BETWEEN SENIOR WHITE HOUSE ADVISER IRA
MAGAZINER AND REPRESENTATIVES OF LARGE COMPANIES HAS DRAWN A SHARP RESPONSE
FROM SOME BUSINESS GROUPS

EVEN IF EMPLOYERS ARE PERMITTED TO CONTINUE TO OPERATE OUTSIDE THE
INSURANCE PURCHASING POOLS IT IS NOT AT ALL CLEAR THAT THE RULES  
WOULD MAKE THAT AN ATTRACTIVE OPTION JIM KLEIN EXECUTIVE DIRECTOR OF THE
ASSOCIATION OF PRIVATE PENSION AND WELFARE PLANS SAID IN A MEMORANDUM LAST
WEEK

HEALTH EXPERTS INSIDE AND OUTSIDE THE ADMINISTRATION FEAR THAT ALLOWING
LARGE COMPANIES TO BYPASS THE POOLS WOULD CREATE A TWOTIER SYSTEM IN WHICH
THE SMALLEST COMPANIES WOULD BE LEFT TO ASSUME A DISPROPORTIONATE SHARE OF
THE COST OF COVERING THE POOR AND UNEMPLOYED LOWERINCOME PEOPLE GENERALLY
ARE CONSIDERED HIGHER HEALTH RISKS THAN WELLOFF PEOPLE

ALTERNATIVELY THE ADMINISTRATION MAY REQUIRE EVERY EMPLOYER NO MATTER HOW
LARGE TO PARTICIPATE IN THE PURCHASING POOLS TO MAKE MANDATORY
PARTICIPATION MORE PALATABLE TO LARGE EMPLOYERS ADMINISTRATION OFFICIALS
SAID ALL EMPLOYERS MIGHT BE GUARANTEED THAT THEIR PREMIUMS WOULD NEVER
EXCEED A CERTAIN PREDETERMINED LEVEL IF THE COSTS OF COVERING EVERYONE IN
THE POOL EXECEEDED THAT AMOUNT THE DIFFERENCE WOULD HAVE TO BE MADE UP
THROUGH ANOTHER REVENUE SOURCE POSSIBLY THE GOVERNMENT

ANOTHER OPTION UNDER REVIEW WOULD BE TO LET COMPANIES OPERATE OUTSIDE THE
PURCHASING POOLS BUT REQUIRE THEM TO PAY THE SAME COMMUNITY RATE FOR
INSURANCE AS THOSE INSIDE THE POOLS BUT IT'S UNCLEAR WHETHER MANY COMPANIES
WOULD OPT OUT UNDER THESE CONDITIONS IT IS SAFE TO CONCLUDE THAT MANY
EMPLOYERS WOULD NO LONGER SEE THE ADVANTAGE OF CONTINUING TO OPERATE THEIR
OWN PLANS IF THEY COULDN'T ENJOY ANY OF THE FINANCIAL BENEFITS OF DOING SO
MORE EFFICIENTLY THAN THE POOLS MR KLEIN WROTE IN HIS MEMO

ALTHOUGH SOME BUSINESSES ARE GRUMBLING ABOUT THE PROSPECT OF HELPING TO FOOT
THE BILL FOR THE POOR AND UNEMPLOYED ADMINISTRATION OFFICIALS STRESS THAT
COMPANIES ALREADY ARE PAYING SUCH PEOPLE'S MEDICAL COSTS INDIRECTLY THAT'S
BECAUSE DOCTORS AND HOSPITALS BOOST FEES FOR PRIVATELY INSURED PATIENTS TO
MAKE UP FOR THOSE WHO CAN'T AFFORD TO PAY

ANOTHER NETTLESOME ISSUE FACING THE ADMINISTRATION IS WHAT TO DO ABOUT LARGE
EMPLOYERS WHO HAVE DISPROPORTIONATE NUMBERS OF OLDER WORKERS THESE
EMPLOYERS CAN'T WAIT TO JOIN THE POOLS OLDER EMPLOYEES TEND TO NEED MORE
MEDICAL CARE SO IT WOULD BE TO THEIR EMPLOYERS' ADVANTAGE TO SPREAD THIS
RISK ACROSS THE POOLS RAISING COSTS FOR EVERYONE ELSE SEVERAL
ADMINISTRATION OFFICIALS CITED THE BIG THREE AUTO MAKERS AS FALLING INTO
THIS CATEGORY

TO DEAL WITH THIS PROBLEM THE ADMINISTRATION IS CONTEMPLATING MAKING
COMPANIES WITH OLDER EMPLOYEES PAY A SURCHARGE TO BE INCLUDED IN THE POOLS
SOME IN THE ADMINISTRATION ARE EVEN ADVOCATING LOCKING THESE COMPANIES OUT
OF THE POOLS ALTOGETHER BUT ADVISERS TO THE WHITE HOUSE HEALTHCARE TASK
FORCE SAID THAT ISN'T LIKELY

THE ISSUE OF HOW TO DEAL WITH LARGE COMPANIES MAY WELL BUBBLE UP LATER THIS
WEEK WHEN HILLARY RODHAM CLINTON IS SCHEDULED TO ADDRESS THE BUSINESS
COUNCIL A GROUP OF CHIEF EXECUTIVES OF THE NATION'S LARGEST CORPORATIONS
AT A MEETING IN VIRGINIA

MEANWHILE SOME LAWMAKERS WERE ABUZZ YESTERDAY ABOUT NUMBERS THE
ADMINISTRATION HAS GENERATED TO ESTIMATE THE COST OF THE CLINTON HEALTH
PACKAGE THE NEW YORK TIMES REPORTED THAT THE PACKAGE MAY REQUIRE BETWEEN
100 BILLION AND 150 BILLION A YEAR IN NEW PUBLIC AND PRIVATE SPENDING
OVER THE PAST FEW WEEKS MRS CLINTON HAS USED SIMILAR FIGURES IN
DISCUSSIONS WITH LAWMAKERS CONGRESS WILL NOT ENACT SOMETHING THAT CALLS
FOR ANOTHER 100 BILLION SEN BOB KERREY D NEB TOLD REPORTERS AT A
LUNCHEON YESTERDAY

TOP ADMINISTRATION OFFICIALS HAVE EMPHASIZED HOWEVER THAT THIS NUMBER
DOESN'T TAKE INTO ACCOUNT ANY SAVINGS THE CLINTON PROPOSAL WOULD BRING TO
THE NATION'S 800 BILLION HEALTH SYSTEM THE FIGURE ALSO DOESN'T SHOW HOW
ANY NEW COSTS WOULD BE DIVIDED AMONG BUSINESS THE GOVERNMENT AND INDIVIDUAL
CONSUMERS 9305040037 930504 BUSINESS BRIEF CIGNA CORP 
FIRSTQUARTER NET FELL 43 EXPLOSION BLIZZARD BLAMED

CIGNA CORP STUNG BY LOSSES FROM THE WORLD TRADE CENTER EXPLOSION AND THE
MARCH BLIZZARD ON THE EAST COAST REPORTED A 43 DECLINE IN FIRSTQUARTER
NET INCOME

CIGNA'S EARNINGS OF 46 MILLION OR 64 CENTS A SHARE WERE IN LINE WITH
ANALYST EXPECTATIONS

THE INSURER SUFFERED A PRETAX LOSS OF 83 MILLION ON CATASTROPHES INCLUDING
A 43 MILLION LOSSES ON THE TRADECENTER EXPLOSION AND A 31 MILLION LOSS ON
THE BLIZZARD

OPERATING PROFIT WHICH EXCLUDES CAPITAL GAINS AND LOSSES FELL 75 TO 16
MILLION OR 22 CENTS A SHARE REVENUE FELL 43 TO 44 BILLION

CIGNA ANNOUNCED RESULTS AFTER THE MARKET'S CLOSE YESTERDAY IN COMPOSITE NEW
YORK STOCK EXCHANGE TRADING ITS STOCK CLOSED AT 62125 UP 125
9305040036 930504 INTERNATIONAL ALLIES PRESS US TO DEFINE ITS ROLE
 IN BOSNIA MISSION  BY CARLA ANNE ROBBINS STAFF REPORTER OF THE
WALL STREET JOURNAL

PARIS AMERICA'S CLOSEST EUROPEAN ALLIES ARE PRESSING THE CLINTON
ADMINISTRATION TO EXPLAIN WHAT ROLE THE US WILL PLAY IN A PEACEKEEPING
FORCE FOR BOSNIA

PRESIDENT CLINTON SAID YESTERDAY THAT THE US WOULD PARTICIPATE IN A
PEACEKEEPING EFFORT ONCE A SOLID AGREEMENT IS REACHED BUT HE EXPRESSED
SOME SKEPTICISM THAT THE MOMENT IS AT HAND BEFORE I AGREE TO PUT ONE
AMERICAN SOLDIER THERE WE'RE GOING TO WATCH EVENTS AND I WILL OBVIOUSLY
SPEAK  DIRECTLY TO THE AMERICAN PEOPLE ABOUT IT HE SAID

SECRETARY OF STATE WARREN CHRISTOPHER IS IN EUROPE TO RALLY SUPPORT FOR MR
CLINTON'S PROPOSAL TO USE LIMITED MILITARY ACTION TO CONTAIN SERBIAN
AGGRESSION BUT THE DECISION SUNDAY BY THE LEADER OF BOSNIA'S SERBS TO
INITIAL A PEACE ACCORD HAS ADDED A NEW DIMENSION TO THE DISCUSSIONS

THE BOSNIAN SERBS' SELFSTYLED PARLIAMENT WILL DECIDE TOMORROW WHETHER TO
RATIFY THE AGREEMENT

US OFFICIALS HAVEN'T SAID HOW MANY TROOPS THEY WOULD COMMIT TO A
PEACEKEEPING FORCE NOR HAVE THEY DEFINED THE PRECISE CONDITIONS OR THE
LEVEL OF SECURITY REQUIRED BEFORE US TROOPS WILL BE SENT US OFFICIALS
TRAVELING WITH MR CHRISTOPHER AGAIN DECLINED TO ANSWER THOSE QUESTIONS

EVEN WITH A FORMAL PEACE AGREEMENT SOME FIGHTING WILL MOST LIKELY CONTINUE
BETWEEN THE THREE BITTERLY OPPOSED ETHNIC FACTIONS SERBS CROATS AND
MUSLIMS AND THE MISSION COULD BE A DANGEROUS ONE

WHILE US PILOTS FLY RELIEF MISSIONS INTO SARAJEVO AND AIRDROP SUPPLIES
INTO BOSNIA THERE ARE NO US TROOPS ON THE GROUND BY CONTRAST FRANCE HAS
5000 TROOPS IN THE FORMER YUGOSLAVIA WHILE BRITAIN HAS ABOUT 2500

EVEN BEFORE MR CHRISTOPHER ARRIVED IN PARIS FRENCH FOREIGN MINISTER ALAIN
JUPPE THREW DOWN THE GAUNTLET ON THE QUESTION OF US TROOPS HE SAID HE
FOUND UNACCEPTABLE A DIVISION OF LABOR THAT HAD SOME COUNTRIES FLYING IN
PLANES AND DROPPING BOMBS AND OTHERS THE EUROPEANS ESPECIALLY THE FRENCH
 ON THE GROUND BRITISH OFFICIALS RAISED SIMILAR QUESTIONS ALBEIT MORE
DELICATELY IN A SUNDAY MEETING BETWEEN MR CHRISTOPHER AND PRIME MINISTER
JOHN MAJOR

ESTIMATES OF HOW MANY TROOPS WOULD BE NEEDED TO SEPARATE THE WARRING SIDES
AND MAINTAIN THE PEACE EXCEED 65000 WITH SOME ANALYSTS PREDICTING THAT THE
US WILL PROVIDE 20000 TO 25000 TROOPS

US SPECIAL FORCES RECONNAISSANCE AND TARGETING TEAMS ALREADY ARE ON THE
GROUND IN THE FORMER YUGOSLAVIA NBC NEWS REPORTED THE TEAMS WHICH ARE
BELIEVED TO HAVE BEGUN THEIR WORK MONTHS AGO AREN'T ESSENTIAL TO AIR
STRIKES BUT THEIR USE CAN GREATLY INCREASE THE PRECISION OF AERIAL BOMBING
AND MINIMIZE CIVILIAN CASUALTIES 9305040035 930504 LEISURE & ARTS IN
CONCERT A NEW VISION OF SCHUBERT FOR THE '90S  BY MARK SWED

NEW YORK IN AN IDYLLIC BIEDERMEIER SALON A CHERUBIC FRANZ SCHUBERT SITS
AT THE KEYBOARD SURROUNDED BY ROSYCHEEKED MAIDENS SWOONING TO HIS SUBLIME
MELODIES THAT IS THE IDEALIZED PICTURE OF SCHUBERT THAT EVERY MUSIC LOVER
ONCE BELIEVED IN YET ANYONE WHO HAS READ EVEN THE MOST RUDIMENTARY FACTS OF
SCHUBERT'S LIFE OR HEARD SOME OF HIS DARKER SONGS KNOWS WHAT A
ROMANTICIZATION SUCH IMAGES SURELY ARE

SCHUBERT WAS A TOADY WHO COMPLAINED ABOUT HIS STUBBY HANDS DESPITE CREATING
GOBS OF ETHEREAL MUSIC AT A PHENOMENAL RATE HE COULD WRITE EIGHT
MEMORABLE SONGS IN A SINGLE DAY HE MUST HAVE SUFFERED GREATLY HE DIED AT
AGE 31 POSSIBLY OF SYPHILIS IMPOVERISHED AND OBSCURE MOST OF HIS FINEST
PIECES WERE UNPERFORMED IN PUBLIC AND UNPUBLISHED IN HIS LIFETIME HE NEVER
HEARD HIS INCREDIBLE CMAJOR SYMPHONY

SO THE PEOPLE BEHIND THE ANNUAL SCHUBERTIADE PRESENTED HERE BY THE 92ND
STREET Y TOOK IT UPON THEMSELVES TO GIVE US A MORE COMPLEX VERSION OF
SCHUBERT DURING A CONTROVERSIAL SYMPOSIUM AT LAST YEAR'S EVENT EVIDENCE
FAR FROM CONCLUSIVE WAS BROUGHT FORWARD TO SUGGEST THAT SCHUBERT BELONGED
TO A CLANDESTINE HOMOSEXUAL SOCIETY IN CONJUNCTION WITH THIS YEAR'S
SCHUBERTIADE THE FILM SOCIETY OF LINCOLN CENTER SCREENED A PARTICULARLY
GRIM FOURHOUR SCHUBERT DOCUDRAMA THAT PORTRAYS SCHUBERT AS HETEROSEXUAL BUT
JUST AS MUCH AN OUTSIDER AS IF HE HADN'T BEEN IN FILTHY MORBID AND
MEANSPIRITED EARLY 19THCENTURY VIENNA

ORIGINALLY MADE FOR AUSTRIAN TELEVISION IN 1986 FRITZ LEHNER'S NOTTURNO
DEPICTS AN ANGSTRIDDEN SYPHILITIC COMPOSER WHOSE LAST TWO YEARS OF LIFE ARE
NOTHING BUT A SERIES OF PATHETIC HUMILIATIONS EACH WORSE THAN THE LAST
SICK SWEATY DELUSIONAL SCHUBERT SOMEHOW PENS WITH THE SCRATCHES OF THE
NIB AGAINST SOILED PAPER GROTESQUELY MAGNIFIED AND LOUDLY AMPLIFIED
OTHERWORLDLY MASTERPIECES HE IS TORMENTED BY AND MAKES LOVE TO HIS
YOUNGER SISTER IN VOYEURISTIC TRANCES HE STARES OUT THE WINDOW AT A
NEIGHBOR WOMAN AND THEN MAKES FURTIVE LUSTFUL DRAWINGS OF HER MOSTLY
THOUGH THIS SCHUBERT STARES INTO SPACE HELPLESS AND OVERWHELMED BY THE
AWFULNESS OF HIS LIFE AND THE LIFE AROUND HIM

WHETHER HE WAS STRAIGHT OR GAY THE FASHIONABLE CONTEMPORARY RENDERING OF
SCHUBERT IS AS A VICTIM AND IN KEEPING WITH THIS THEME THE RECENTLY
CONCLUDED EDITION OF THE SCHUBERTIADE SOUGHT TO REMEDY THE SUPPOSED NEGLECT
OF SCHUBERT'S PIANO SONATAS WHICH WERE PLAYED IN A SIXCYCLE SERIES BY
THE HUNGARIAN PIANIST ANDRAS SCHIFF THE SONATAS WERE CONSIDERED NEGLECTED
FOR VARIOUS REASONS BECAUSE THEY WERE LITTLE PLAYED OR APPRECIATED UNTIL
THE GREAT AUSTRIAN PIANIST ARTUR SCHNABEL MADE A CASE FOR THEM EARLY IN THE
CENTURY BECAUSE THEY HAD NEVER BEFORE BEEN GIVEN AS A CYCLE IN THIS
COUNTRY BECAUSE THEY AREN'T AS OVERRECORDED AS BEETHOVEN'S SONATAS
ALTHOUGH THERE ARE NEARLY 30 CURRENT CD VERSIONS OF SCHUBERT'S LAST SONATA
AND HARDLY MORE FOR BEETHOVEN'S AND BECAUSE THE MUSICAPPRECIATION RACKET
HASN'T OBSESSED ABOUT SCHUBERT'S PECULIAR HARMONIC STRUCTURES TO THE EXTREME
IT HAS ABOUT BEETHOVEN'S

THE RESULT OF ALL THIS NONSENSE IS THE ADOPTION OF A NEW SCHUBERT MYTHOLOGY
SUITABLE FOR THE POLITICALLY CORRECT '90S BUT JUST AS FANCIFUL AS THE
DOUGHBOY MELODIST ICON OF THE PAST NOW WE'RE SHOWN A SCHUBERT OPPRESSED IN
LIFE AND HIS MUSIC THEREAFTER BY ALLPOWERFUL BEETHOVENIAN FORCES NOW WE
HAVE A SCHUBERT WHO IS THE NEW DARLING OF THE GENDERSTUDIES SET BECAUSE HIS
MUSIC IS NOT GOALDIRECTED TOWARD A SINGLE CLIMAX AND WE HAVE A COMPOSER
ONCE ACCUSED OF SLEEPWALKING THROUGH ETERNAL DEVELOPMENT SECTIONS
REFASHIONED AS A REVOLUTIONARY WHO EXPLOITED RADICAL NEW WAYS TO EXPRESS
PAIN AND INNER TORMENT

I FOR ONE LIKE THE OLD DIVINELY INSPIRED SCHUBERT FIGURE BETTER THAN THE
NEW ONE WHO'S SUPPOSED TO BE AS MESSED UP AS THE REST OF US THE MUSIC
REALLY WAS REMARKABLE FOR ITS TIME AND AT LEAST THE OLD SCHUBERT WAS NO
ORDINARY MAN TO THE CREDIT OF THE 92ND STREET Y THAT DOES COME OUT AT THE
SCHUBERTIADES THIS YEAR THERE WAS A SYMPOSIUM ON THE PIANO MUSIC THAT
INCLUDED AN ILLUMINATING AND HUGELY ENTERTAINING LECTURE ON THE DMAJOR
SONATA BY ROBERT WINTER A UCLA PROFESSOR WHO IS PROBABLY THE BEST PUBLIC
EXPLICATOR OF MUSIC SINCE LEONARD BERNSTEIN JOSEPH HOROWITZ THE Y'S
PROGRAM EDITOR PUT TOGETHER A WORTHWHILE AND PROVOCATIVE PROGRAM BOOK FROM
WHICH YOU REALLY COULD LEARN SOMETHING AND A LARGE PUBLIC RIGHTFULLY
LOVED IT BY THE TIME OF MR SCHIFF'S FINAL RECITAL TICKET DEMAND WAS SO
GREAT THAT THERE WEREN'T EVEN SEATS FOR THE HALL'S STAFF AND BY THE END OF
THAT PROGRAM MUCH OF THE AUDIENCE RELUCTANT FOR THE CYCLE TO BE OVER
REMAINED IN THE HALL TO ASK MR SCHIFF QUESTIONS WHICH HE TOOK FROM THE
STAGE

FOR HIS PART MR SCHIFF IN THE PROGRAM I HEARD PLAYED THE SONATAS
CAREFULLY CLEARLY FORCEFULLY AND INTELLIGENTLY BUT WITH MORE DRAMA THAN
CHARACTER IT'S ONE WAY TO LOOK AT SCHUBERT AND FINE FOR WHAT IT IS BUT
I'VE HEARD MORE RADICAL AND MORE COMPELLING SCHUBERT IN NEW YORK LATELY FROM
THE PIANISTS MAURIZIO POLLINI AND RICHARD GOODE AND THE VIOLINIST GIDON
KREMER ALL OF WHOM HAVE ALSO RECORDED SCHUBERT

MOREOVER THERE HAVE BEEN PLENTY OF RECORDINGS THAT DEMONSTRATE SCHUBERT'S
RADICAL NATURE SOME TWO DECADES AGO PIANIST CHRISTOPH ESCHENBACH ON A
RIVETING DEUTSCHE GRAMMOPHON DISK OF THE AMAJOR SONATA STILL AWAITING
REISSUE ON CD MADE PASSAGES SOUND ALMOST LIKE STOCKHAUSEN JUST OUT THIS
WEEK IS A SCHUBERT DISK ON ALBANY RECORDS IN WHICH RUSSELL SHERMAN MAKES
SCHUBERT'S D SONATA AND DFLAT SONATA SOUND MORE PECULIAR AND MYSTERIOUS
THAN MAYBE THEY EVER HAVE

THIS SHOULDN'T REALLY SURPRISE ANYONE SINCE SCHUBERT'S INNOVATIONS ARE IN
FACT OLD NEWS JUST ASK OTHER COMPOSERS THEY HAVE ALWAYS BEEN UNDER
SCHUBERT'S SPELL AND HIS INFLUENCE ON ALL MUSIC SINCE HAS BEEN INCALCULABLY
GREAT SCHUMANN AND LISZT WERE DEFENDERS MR WINTER POINTED OUT THAT THE
UNUSUAL STRUCTURE OF THE DMAJOR SONATA WHERE IT PROGRESSES FROM THE HEROIC
TO THE PERSONAL WAS ABSORBED BY MAHLER IN ONE OF HIS MOST POPULAR
SYMPHONIES THE FOURTH AND RECENTLY THE BROOKLYN PHILHARMONIC PERFORMED
LUCIANO BERIO'S RENDERING IN WHICH THE AVANTGARDE ITALIAN COMPOSER
STRINGS THE SKETCHES FOR SCHUBERT'S UNCOMPLETED TENTH SYMPHONY TOGETHER WITH
HIS OWN MURMURING MUSIC LIKE A CEMENT FILLING THE GAPS BETWEEN ANCIENT
TILES OF A MOSAIC THE RESULT IS A POSTMODERN MASTERPIECE IN WHICH SCHUBERT
SOUNDS PERFECTLY AT HOME IN OUR LATE 20THCENTURY MUSICAL CULTURE
9305040034 930504 BUSINESS BRIEF MOBLEY ENVIRONMENTAL SERVICES INC 
COMPANY REPORTS A NET LOSS OF 884000 FOR 1ST QUARTER

MOBLEY ENVIRONMENTAL SERVICES INC REPORTED A FIRSTQUARTER NET LOSS OF
884000 OR 11 CENTS A SHARE BUT SAID WE ARE NOW MOVING TOWARD A
BREAKEVEN SITUATION IN THE SECOND QUARTER AND FURTHER GAINS IN EACH
SUCCEEDING QUARTER

A YEAR EARLIER THE WASTE MANAGEMENT COMPANY IN AUSTIN TEXAS POSTED NET
INCOME OF 853000 OR 11 CENTS A SHARE REVENUE FELL 11 TO 93 MILLION
FROM 105 MILLION IN THE YEARAGO QUARTER AS AN INCREASE IN OIL FIELD
SERVICE REVENUE FAILED TO OFFSET A 16 DECLINE IN WASTE MANAGEMENT SERVICES
REVENUE

THE QUARTERLY LOSS WHICH WAS EXPECTED STEMMED PARTLY FROM REORGANIZATION
COSTS SUCH AS EMPLOYEE SEVERANCE AND COSTS INCURRED WHEN THE COMPANY
ABANDONED PLANS TO EXPAND ITS WINONA TEXA HAZARDOUS WASTE PLANT

MOBEY ALSO SAID A PRODUCTION BOTTLENECK CAUSED BY A SURGE OF
DIFFICULTTOHANDLE PRODUCTS REDUCED PLANT CAPACITY BUT IT EXPECTS TO
RESOLVE THE PROBLEM BY ADJUSTING ITS PRICING SCHEDULE 9305040033 930504
BUSINESS BRIEF PHARMACEUTICAL RESOURCES INC COMPANY GENERICS GROUP 
REACH AGREEMENT ON DRUGS

PHARMACEUTICAL RESOURCES INC SAID IT EXPECTS TO BECOME A DISTRIBUTOR OF
ADDITIONAL GENERIC DRUGS AS A RESULT OF AN AGREEMENT IN PRINCIPLE WITH
GENERICS GROUP BV

UNDER THE AGREEMENT A SUBSIDIARY OF PHARMACEUTICAL RESOURCES WOULD BE NAMED
EXCLUSIVE US DISTRIBUTOR OF AT LEAST FIVE GENERIC DRUGS TO BE MANUFACTURED
BY GENERICS GROUP AFFILIATES GENERICS GROUP BASED IN THE VIRGIN ISLANDS
IS A HOLDING COMPANY FOR SEVERAL DRUG MANUFACTURING OPERATIONS A
PHARMACEUTICAL RESOURCES SPOKESWOMAN SAID SHE SAID THAT TWO OF THE FIVE
DRUGS WILL BE MADE IN CANADA AND THE OTHER THREE IN AUSTRALIA

PHARMACEUTICAL RESOURCES BASED IN SPRING VALLEY NY MAKES GENERIC
EQUIVALENTS OF BRANDNAME PRESCRIPTION AND OVERTHECOUNTER DRUGS

APPLICATIONS FOR APPROVAL BY THE FOOD AND DRUG ADMINISTRATION OF THE INITIAL
FIVE DRUGS ARE CURRENTLY PENDING THE COMPANY SAID THE COMPANY SAID THE
DRUGS WON'T BE IDENTIFIED UNTIL FDA APPROVAL IS SECURED 9305040032 930504
INTERNATIONAL BRIEF FAG KUGELFISCHER KGAA BALLBEARING FIRM MAY SELL 
OR SHUT HALF OF ITS PLANTS

BALLBEARING MANUFACTURER FAG KUGELFISCHER KGAA ANNOUNCED THAT IT MAY SELL
OR SHUT HALF OF ITS FACTORIES BY THE END OF NEXT YEAR

EXPANDING A PREVIOUSLY ANNOUNCED STREAMLINING THE COMPANY IN SCHWEINFURT
GERMANY SAID IT PLANS TO SELL OPERATIONS WITH 800 MILLION MARKS 5045
MILLION IN SALES AND 7550 WORKERS BY NEXT YEAR ALTHOUGH IT MIGHT
ACCOMPLISH MUCH OF THAT STREAMLINING THIS YEAR

IN 1992 GROUP SALES FELL TO 36 BILLION MARKS FROM 39 BILLION MARKS THE
PREVIOUS YEAR THE GROUP'S LOSS WIDENED TO 330 MILLION MARKS FOUR TIMES
DEEPER THAN THE 81 MILLION MARK LOSS OF 1991

THE NUMBER OF DIVISIONS TO BE CUT FROM THE GROUP IS MORE AMBITIOUS THAN
PREVIOUSLY ANNOUNCED EARLIER PROPOSALS CALLED FOR THE ELIMINATION OF 6500
JOBS THE DIFFERENCE CAN BE ATTRIBUTED TO THE GREATER PRECISION IN THE
RESTRUCTURING PLAN THE COMPANY SAID 9305040031 930504 WHY ARE YOUR KIDS
 BEGINNING TO LOOK LIKE YOUR PLUMBER  DOWDY DICKIES WORK CLOTHES
 JOIN HIGHFASHION REALM RALPH KRAMDEN'S REVENGE  BY ROBERT
TOMSHO STAFF REPORTER OF THE WALL STREET JOURNAL

FORT WORTH TEXAS FOR SEVEN DECADES WILLIAMSONDICKIE MANUFACTURING CO
HAS BEEN CLOTHIER TO JANITORS CARPENTERS AND MILL HANDS EVERYWHERE ITS
FASHION STATEMENTS INCLUDE EASYALTER WAISTS FOR EXPANDING GUTS AND
EXTRALONG SHIRTTAILS TO COVER THE BEHINDS OF STOOPING WORKMEN

SO IMAGINE THE SURPRISE AT THIS COWTOWN APPAREL MAKER THESE DAYS AS ITS
DOWDY WORK WEAR MOVES FROM THE BACK RACKS AT SEARS TO THE WARDROBES OF
HIPHOP STARS KRISS KROSS AND BOBBY BROWN

SUDDENLY THE DICKIES STYLE IS ALL THE RAGE AMONG TRENDY TEENS AND FASHION
DESIGNERS DICKIES ARE THE DUDS OF CHOICE FOR FUTURE EPISODES OF
TELEVISION'S SEINFELD AND THEY BECAME SO POPULAR WITH CALIFORNIA GANGS
THAT SOME SCHOOLS BANNED THE CLOTHES

FRANKLY WE DON'T UNDERSTAND IT SAYS JAMES KINDLEY VICE PRESIDENT FOR
MARKETING HOW CAN WE SELL THE SAME GARMENT TO AN 18YEAROLD AS WE CAN TO
A GUY WHO HAS BEEN BUYING IT FOR 20 YEARS TO PLOW THE FIELD

APPARENTLY PRETTY EASILY

DEMAND FOR THESE PERMANENTPRESS WONDERS HAS SPAWNED WAITING LISTS AT SOME
RETAILERS AND FORCED THE COMPANY'S FACTORIES TO WORK OVERTIME TO OVERCOME
SHORTAGES

CLOSELYHELD WILLIAMSONDICKIE WHICH DOMINATES THE 16 BILLION WORKWEAR
INDUSTRY WITH REVENUE OF ABOUT 400 MILLION SAYS SALES OF ITS PRODUCTS AT
CERTAIN LARGE RETAILERS ARE UP BY AS MUCH AS 25 IT EXPECTS THIS YEAR TO
MOVE UPWARD OF 100000 DENIM CHORECOATS 2849 AND FITS LIKE A TENT
COMPARED WITH ABOUT 30000 IN 1992

THAT IS A LOT OF CHORECOATS PARTICULARLY FOR A COMPANY IT WOULD SEEM ONLY
THE HONEYMOONERS' RALPH KRAMDEN COULD LOVE HIDDEN AWAY IN A SCRUBBY
INDUSTRIAL ZONE HERE THE WILLIAMSONDICKIE OUTLET STORE HAS A SHOOTING
RANGE FOR A NEIGHBOR AND A SNARL OF RAILROAD TRACKS FOR A FRONT YARD
INSIDE SALESPEOPLE WEAR UNTUCKED TSHIRTS MANNEQUINS GO HEADLESS AND RACKS
BULGE WITH BLINDING ORANGE JUMPSUITS AND STIFF WELDERS' JACKETS

HERE SHOPPERS CAN FIND THE TRADITIONAL WORK PANTS FOR 1199 THEY
REGULARLY GO FOR 1799 AND 2449 FOR WAIST SIZES OVER 46 INCHES THE
PANTS WHICH HIPSTERS WEAR FIVE OR SIX SIZES TOO BIG AND BACKWARD COME WITH
A PERMANENT CREASE AND AN EXPANDABLE SEAM THAT PROMISES TWO SIZES IN
ONE COLORS INCLUDE LINCOLN GREEN AND AIR FORCE BLUE THE PANTS GO WELL
WITH A WORK SHIRT THAT IS CUT FOR COMFORT NOT SURPRISING WITH SIZES UP
TO XXXXL

BUT IT IS NOT A PROFESSIONAL NEED FOR NOCATCH HEMS PENCIL POCKETS AND
HAMMER LOOPS THAT CAUSES CUSTOMERS TO LINE UP SIX DEEP AT THE STORE'S CASH
REGISTERS ON A RECENT AFTERNOON OTHERS CIRCLE THE BLOCK IN SEARCH OF A
PARKING PLACE MELODY WATSON SIGHS AS HER TWO TEENAGE SONS TRY ON THE SAME
PANTS THEIR FATHER WEARS TO WORK AT A UTILITY COMPANY THEY HAVE SOME BUT
THEY WANT MORE SHE SAYS

SPORTING A GOLD HOOP EARRING FRANK MALONE SCOOPS UP AN ARMLOAD OF 699
COLORED TSHIRTS TO ADD TO THE 30 HE ALREADY HAS AT HOME A LOT OF IT HAS
TO DO WITH THIS LITTLE THING RIGHT HERE THE LANKY 19YEAROLD SAYS
TURNING UP HIS SHIRTTAIL TO REVEAL THE DICKIES HORSESHOE LABEL

SOME TRACE THIS UNLIKELY CONVERGENCE OF TASTES BETWEEN REBELLIOUS TEENS AND
THEIR BLUECOLLAR PARENTS TO THE EMERGENCE OF GRITTY RAP MUSIC AND GRUNGE
ROCK AND IN THIS STRUGGLING ECONOMY DICKIES OFFER A STYLISH BUT CHEAP
ALTERNATIVE TO CLOTHES WITH ALLIGATORS OR POLO PLAYERS

THE DICKIES MOVEMENT IS VERY ANTIFASHION SAYS JULIA CHANCE FASHION
EDITOR OF THE SOURCE A NEW YORK RAP MAGAZINE YOUNG DICKIES DEVOTEES DON'T
WANT TO CONFORM IF THE FASHION GURUS ARE DICTATING A CERTAIN LOOK

BUT TO THE DISMAY OF SOME OF THESE YOUNG DEVOTEES THE FASHION GURUS ARE
STARTING TO CATCH ON THE HARDFINISH UNWASHED STIFFENED LOOK HAS
DEFINITELY COME ON SAYS TOM JULIAN FASHION DIRECTOR OF THE NEW YORKBASED
MEN'S FASHION ASSOCIATION ADAM SILVERMAN COOWNER OF LOS ANGELESBASED
XLARGE INC AN ALTERNATIVE CLOTHING MANUFACTURER SAYS DICKIES HAS BEEN
AN INSPIRATION

SO HOT IS THE HEAVILY LINED DICKIES DENIM CHORECOAT THAT IT SELLS EVEN IN
LOS ANGELES'S WARM CLIME WE'RE BUYING A TON OF THEM SO THAT WE CAN SELL
THEM ALL YEAR 'ROUND SAYS PAUL KAUFMAN COOWNER OF NA NA A LOS
ANGELESBASED RETAILER

FAMILYOWNED WILLIAMSONDICKIE IS SO PRIVATE THAT IT DOESN'T HANG A SIGN
OUTSIDE THE REFURBISHED FORT WORTH SCHOOLHOUSE THAT SERVES AS CORPORATE
HEADQUARTERS IT IS TRYING TO RIDE THE FASHION WAVE WITHOUT ALIENATING
TRADITIONAL CUSTOMERS WHO STILL ACCOUNT FOR SOME 95 OF SALES

SO FAR THE REGULARS DON'T SEEM TO MIND THE INTRUSION I DON'T PAY NO
ATTENTION TO THEM RAP SINGERS SAYS CHUCK COPELAND A WEATHERFORD TEXAS
WRECKER DRIVER WHO FAVORS DICKIES COVERALLS

AFTER MUCH DEBATE THE COMPANY DID DISTRIBUTE SOME PUBLICITY PHOTOS OF YOUNG
DICKIESCLAD URBAN HIPSTERS BUT IT CONTINUES TO RELY ON GOLFER WALT
ZEMBRISKI AN EXSTEELWORKER AS A SPOKESMAN IT USES REALLIFE LINEMEN AND
HOG FARMERS AS MODELS A NEW LINE OF STRETCH JEANS WILL BE PROMOTED BY BURLY
COUNTRY STAR CHARLIE DANIELS

THE COMPANY FROWNS ON GETTING FANCY WE TRIED TO BE HIP YEARS AGO AND FELL
ON OUR FACE TRYING SAYS MR KINDLEY THE VICE PRESIDENT ON THE BRINK OF
THE BEATLES INVASION THE COMPANY CHOSE PAT BOONE TO INTRODUCE A NEW LINE OF
SPORTSWEAR IT BOMBED AND COLOR EXPERIMENTATION IN THE LATE1970S LEFT
COMPANY WAREHOUSES PACKED WITH UNSOLD BIB OVERALLS IN PINK AND CHARTREUSE

WITH FEW CHANGES THE COMPANY STILL SELLS THE SORT OF ZIPPERED JUMPSUITS AND
HICKORYSTRIPE OVERALLS THAT WERE ITS BREAD AND BUTTER DECADES AGO STILL
AROUND ARE THE WEAR N'FORCED AND SAFETY STITCHED PANTS THE COMPANY
OFFERED IN A 1952 MAGAZINE AD HEADLINED MEN OF PRODUCTION

THIS ISN'T SURPRISING FOR A COMPANY WHOSE MARKET RESEARCH HAS FREQUENTLY
CONSISTED OF BUYING BACK THE OLD PANTS OF RANCHERS AND ROUGHNECKS TO SEE HOW
AND WHERE THEY ARE WORN WE DON'T OPERATE IN THE WAY FASHION COMPANIES
OPERATE SAYS ANN RICHARDSON THE COMPANY'S MARKETING MANAGER AND CLOSEST
THING TO A FASHION DESIGNER

WILLIAMSONDICKIE IS EXPERIMENTING WITH NEW WAYS TO STITCH UP THE BACK
POCKETS OF DICKIES'S WORK PANTS BUT THIS WON'T BE VISIBLE ON THE OUTSIDE
IT ALSO CONSIDERED CHANGING THE SNAP ON THE SHOULDER STRAPS OF THE COMPANY'S
BIB OVERALLS BUT ULTIMATELY EVEN THAT STEP WAS DEEMED TOO RADICAL

I TALKED TO THE ENGINEERS MS RICHARDSON SAYS WE DECIDED TO STAY WITH
WHAT WE'VE GOT 9305040030 930504 FORM + FUNCTION  BY JOHN
PIERSON

NOW THE ALLTERRAIN BABY

STROLLER MAKERS ARE BRINGING OUT THREEWHEELED MACHINES THAT PARENTS CAN USE
TO TAKE A CHILD HIKING IN THE MOUNTAINS AND CRUISING IN THE MALLS UNTIL
NOW STROLLERS WERE SUITED TO ONE OR THE OTHER BUT NOT BOTH

WEEBOK'S NEW MULTISTROLLER HAS THREE 12INCH WHEELS BIG ENOUGH FOR ROUGH
GROUND SMALL ENOUGH TO LET A FOLDED STROLLER FIT IN A CAR TRUNK WITHOUT
DISASSEMBLY THE MULTI PRICED AT 289 COMES WITH CANOPY TRAVEL BAG WRIST
TETHER AND MOTHER'S POSTNATAL FITNESS GUIDE OPTIONS INCLUDE A
BACKPACKDIAPER BAG INFANT AND ADULT WATER BOTTLES SUNSCREEN AND
SPEEDOMETER

WEEBOK'S PARENT REEBOK INTERNATIONAL HAS LICENSED MUCH OF THE MULTI'S
TECHNOLOGY FROM RACING STROLLERS YAKIMA WASH WHOSE BABY JOGGER WITH
20INCH WHEELS WAS AMONG THE FIRST STROLLERS FOR SERIOUS RUNNERS AND HIKERS
BUT DOESN'T FIT EASILY IN CAR TRUNKS RACING STROLLERS IS ALREADY DELIVERING
ITS OWN ALLPURPOSE MODEL THE ZIPPER WHICH COMES WITH NINEINCH OR 12INCH
WHEELS PLAINER THAN THE MULTISTROLLER THE ZIPPER COSTS ABOUT 125

GERRY BABY PRODUCTS DENVER SELLS ROLLERBABY AN ALLPURPOSE STROLLER THAT
FOLDS TO FIT IN A TRUNK DESPITE 16INCH WHEELS PRICED AT ABOUT 150
ROLLERBABY WAS DESIGNED BY TRI INDUSTRIES EDINA MINN TRI ALSO SELLS
BIGWHEELED STROLLERS UNDER ITS OWN NAME FOR PEOPLE WHO RUN ON SAND GRAVEL
MUD OR SNOW

PARENTS SHOULD BE CAUTIOUS IN USING MULTIPURPOSE STROLLERS AS WELL AS
JOGGING MODELS SAYS PAUL KAHMANN ONE OF TRI'S OWNERS BIGGER WHEELS ROLL
SO EASILY HE SAYS YOU HAVE TO BE CAREFUL THEY DON'T ROLL AWAY FROM YOU

PARKS ARE GETTING ROCKIER

INDIANAPOLIS'S RIVER PROMENADE IS A HALFMILELONG CANYON OF HUGE LIMESTONE
BLOCKS 30 FEET ABOVE THE WHITE RIVER BETWEEN FLOODCONTROL LEVEES AND THE
BACK OF THE CITY ZOO THE PARK PROVIDES A LITTLE PEACE AMID THE HUBBUB OF A
METROPOLIS OF 12 MILLION

THE PARK'S DESIGNER LANDSCAPE ARCHITECT ANGELA DANADJIEVA HAS TAKEN
ADVANTAGE OF LOCAL HISTORY THE PROMENADE IS A MONUMENT TO INDIANA'S
LIMESTONE INDUSTRY WHICH DONATED 1200 MASSIVE BLOCKS IN VARIOUS SHAPES
WEIGHING AS MUCH AS 16 TONS THE BLOCKS ARE STACKED 15 FEET HIGH IN TWO
ROWS 15 FEET APART

SOME OF THE BLOCKS BEAR BASRELIEFS OF FAMOUS STRUCTURES BUILT MAINLY OF
INDIANA LIMESTONE THE EMPIRE STATE BUILDING THE NATIONAL CATHEDRAL IN
WASHINGTON THE INDIANA STATE CAPITOL HERE AND THERE AMONG THE LIMESTONE
ARE DOGWOOD FIR AND REDBUD TREES

LIKE MS DANADJIEVA MORE LANDSCAPE ARCHITECTS ARE TAKING ADVANTAGE OF THE
ROUGHHEWN BEAUTY OF LARGE ROCKS LAWRENCE HALPRIN'S DESIGN FOR THE PLANNED
FRANKLIN D ROOSEVELT PARK IN WASHINGTON HAS WALLS AND FOUNTAINS OF HUGE
GRANITE BLOCKS STEVE MARTINO AND ARTIST JODY PINTO USED GRANITE STONES TOO
HARD TO GRIND FOR GRAVEL IN BUILDING A 650FOOT LONG STONEANDEARTH
ENTRANCE TO PAPAGO PARK IN PHOENIX GARRETT ECKBO USED GIANT LIMESTONE
CHUNKS TO MAKE A FOUNTAIN AT THE UNIVERSITY OF NEW MEXICO ALBUQUERQUE

INDIANAPOLIS'S 13 MILLION RIVER PROMENADE WON AN AWARD LAST YEAR FROM THE
AMERICAN SOCIETY OF LANDSCAPE ARCHITECTS BUT STEVEN MANNHEIMER VISUAL ARTS
WRITER FOR THE INDIANAPOLIS STAR FRETS THAT WHILE PEOPLE LOVE THE
PROMENADE IT'S TOO FAR FROM THE DOWNTOWN BUSINESS DISTRICT TO GET MUCH
USE

MS DANADJIEVA AGREES BUT SAYS HER PROPOSED 6 MILLION DESIGN FOR
INDIANAPOLIS INCLUDES LOOPING THE PROMENADE ACROSS TWO EXISTING BRIDGES TO
THE OTHER BANK OF THE WHITE RIVER WHICH IS CLOSER TO DOWNTOWN

TIME PAST OR PASSING OR TO COME A PORTLAND ORE INVENTOR SAYS HIS WATCH
TELLS THEM ALL

NOAM STAMPFER'S REAL TIME WATCH COMBINES THE PRECISION OF A DIGITAL DISPLAY
WITH THE LOOK OF TRADITIONAL HANDS WATCHMAKERS SAY PEOPLE LIKE HANDS
BECAUSE THEY GRAPHICALLY SHOW HOW LONG IT HAS BEEN SINCE SOMETHING HAPPENED
AND HOW LONG IT WILL BE BEFORE SOMETHING ELSE IS GOING TO HAPPEN BUT PEOPLE
CONSIDER DIGITAL WATCHES MORE ACCURATE

WATCHMAKERS SUCH AS TIMEX AND CASIO ALREADY SELL COMBO TIMEPIECES WHICH
HAVE DIGITAL READOUTS THAT DON'T MOVE IN ADDITION TO HANDS REAL TIME'S BIG
AND LITTLE HANDS GO ROUND AS USUAL BUT THE DIGITAL READOUT MOVES WITH THEM
AT 337 FOR EXAMPLE THE NUMBERS 3 AND 37 ARE ILLUMINATED AT THE PERIPHERY
OF THE WATCH OFF THE ENDS OF THE HOUR AND MINUTE HANDS

MR STAMPFER OPERATIONS MANAGER FOR PORTLAND'S SEWERAGE SYSTEM HASN'T
FOUND A MAKER FOR REAL TIME BUT HE SEES A BRISK MARKET FOR HIS WATCH AMONG
RUNNERS AND TIMESENSITIVE TECHNICAL AND MEDICAL PEOPLE AMONG OTHERS

KEVIN CLARKE PRESIDENT OF OREGON SCIENTIFIC TUALTIN ORE A HONG KONG
COMPANY'S US ARM SAYS REAL TIME WOULD MAKE A REAL SPLASH AS AN
EXECUTIVE GIFT BUT HARRY HENSHEL CHAIRMAN OF BULOVA WOODSIDE NY WROTE
MR STAMPFER THAT HIS WATCH WOULD FIND A LIMITED MARKET

NOT NECESSARILY SAYS LOUIS GALIE VICE PRESIDENT FOR RESEARCH AND
DEVELOPMENT AT TIMEX LITTLE ROCK ARK THERE'S A GOOD SEGMENT OF THE
MARKET FOR A TRUE COMBO WATCH SAYS MR GALIE WHO HASN'T SEEN MR
STAMPFER'S DESIGN BUT SO FAR ALL ATTEMPTS TO PRODUCE IT HAVE FAILED
9305040028 930504 OTC FOCUS COMPOSITE INDEX ADVANCES 529 POINTS 
TECHNOLOGY BIOTECH ISSUES LEAD RALLY  BY SARA CALIAN STAFF
REPORTER OF THE WALL STREET JOURNAL

NEW YORK TECHNOLOGY AND BIOTECHNOLOGY STOCKS LED A REBOUND IN THE
OVERTHECOUNTER MARKET

THE NASDAQ COMPOSITE INDEX ROSE 529 OR 080 TO 66671 ADVANCING ISSUES
OUTNUMBERED DECLINERS 1369 TO 1231 ON TOTAL VOLUME OF 2023 MILLION
SHARES DOWN FROM FRIDAY'S 227 MILLION SHARES

A RALLY IN BOND PRICES HELPED SPARK THE RISE IN THE NASDAQ MARKET TRADERS
SAID THE BOUNCE IN STOCK PRICES CAUGHT MANY BY SURPRISE

A LOT OF INVESTORS THOUGHT THE MARKET WAS GOING LOWER AND WHEN IT DIDN'T
THEY JUMPED IN SO THEY WOULDN'T MISS SOME BUYING OPPORTUNITIES SAID PETER
COOLIDGE A SENIOR EQUITY TRADER AT KIDDER PEABODY & CO WE SAW SOME
INTEREST WE HAVEN'T SEEN IN THE LAST COUPLE OF WEEKS

PETER DAPUZZO HEAD OF OTC TRADING AT CANTOR FITZGERALD SAID BARGAIN
HUNTERS STARTED TO PAY HIGHER PRICES FOR THE STOCKS THAT MAY ALREADY HAVE
HIT BOTTOM THE MORNING STARTED OFF SOLID AND THE AFTERNOON FINISHED WITH
SOME GOOD BUYING IN THE BEATEN GLAMOUR STOCKS SUCH AS BIOTECHNOLOGY AND
TECHNOLOGY ISSUES HE SAID

SEVERAL LARGE TECHNOLOGY STOCKS POSTED GAINS INTEL JUMPED 1 7/8 TO 97
CISCO SYSTEMS CLIMBED 2 TO 43 1/4 APPLE COMPUTER ROSE 5/8 TO 51 7/8 AND
MICROSOFT ADVANCED 5/8 TO 86 1/8

AMERICA ONLINE SURGED AMERICA ONLINE SURGED 4 1/4 TO 30 1/2 IN A SECURITIES
AND EXCHANGE COMMISSION FILING PAUL ALLEN MICROSOFT'S COFOUNDER SAID
THAT WHILE HE HASN'T ANY CURRENT PLANS HE MAY SEEK TO ACQUIRE THE VIENNA
VA PROVIDER OF COMPUTERINFORMATION SERVICES

MR ALLEN WHO IS PRESIDENT OF CLOSELY HELD SOFTWARE CONCERN ASYMETRIX
CORP OF BELLEVUE WASH SAID HE ALSO IS CONSIDERING ACQUIRING AN
ADDITIONAL STAKE IN AMERICA ONLINE AND MAY SEEK BOARD REPRESENTATION AT THE
COMPANY CURRENTLY MR ALLEN HOLDS ABOUT 14 MILLION SHARES ACCORDING TO
THE FILING EQUAL TO ABOUT 25 OF THE SHARES OUTSTANDING

INTELLIGENT ELECTRONICS A RETAILER OF MICROCOMPUTER TECHNOLOGIES AND OFFICE
PRODUCTS ROSE 1 TO 14 1/2 THE EXTON PA COMPANY SAID ITS BOARD APPROVED
EXPANDING ITS BUYBACK PROGRAM TO SEVEN MILLION SHARES

THE COMPANY SAID THE BOARD ALSO APPROVED A ONETIME SPECIAL DIVIDEND OF 2 A
SHARE PAYABLE JUNE 1 TO STOCK OF RECORD MAY 17 MERRILL LYNCH RAISED ITS
LONGTERM INVESTMENT RATING TO BUY FROM ABOVE AVERAGE AND MAINTAINS ITS
INTERMEDIATETERM RATING AT ABOVE AVERAGE

THERE WAS A BROAD UPSWING IN BIOTECHNOLOGY STOCKS AMGEN EDGED UP 3/4 TO 40
3/4 BIOGEN JUMPED 2 1/8 TO 35 1/4 AND SYNERGEN ROSE 5/8 TO 10 5/8

CHIRON ALSO SURGED CLIMBING 3 3/4 TO 58 A PHASE II STUDY CONDUCTED AND
PRESENTED BY THE NATIONAL INSTITUTES OF ALLERGY AND INFECTIOUS DISEASES SAID
THAT A VACCINE MADE BY BIOCINE CO A JOINT VENTURE OF CHIRON AND
CIBAGEIGY CAN SIGNIFICANTLY REDUCE THE FREQUENCY OF HERPES OUTBREAKS

CELTRIX PHARMACEUTICALS CLIMBED 1 1/2 TO 9 1/2 THE STOCK ROSE AS INVESTORS
ANTICIPATED THIS MORNING'S PRESENTATION OF DATA FROM THE PHASE II CLINICAL
TRIAL OF THE COMPANY'S DRUG BETAKINE OPPENHEIMER & CO ANALYST JEFFREY
CASDIN SAID THE STUDY HAS YIELDED INCREDIBLY STRONG DATA ON THE POTENTIAL
ADVANTAGES OF BETAKINE IN TREATING MACULAR HOLES WHICH ARE RUPTURES IN THE
CENTER OF THE RETINA OF THE EYE

VENTRITEX SURGED 4 1/4 TO 27 3/4 THE COMPANY SAID IT RECEIVED FOOD AND DRUG
ADMINISTRATION APPROVAL TO MARKET ITS CADENCE IMPLANTABLE DEFIBRILLATOR THE
DEVICE THE SUNNYVALE CALIF COMPANY'S FIRST COMMERCIALLY AVAILABLE
PRODUCT TREATS ABNORMALLY FAST HEART RATES WITH A SERIES OF GRADUATED
ELECTRICAL IMPULSES RAYMOND JAMES & ASSOCIATES RAISED ITS INVESTMENT RATING
TO BUY FROM HOLD AND VECTOR SECURITIES INITIATED COVERAGE WITH A BUY
RATING

FIDELITY NEW YORK FSB JUMPED TO 13 1/2 FROM AN OFFERING PRICE OF 11 1/2
FIDELITY NEW YORK OFFERED 5170839 COMMON SHARES IN CONNECTION WITH ITS
CONVERSION TO A FEDERALLY CHARTERED STOCK SAVINGS BANK FROM A FEDERALLY
CHARTERED MUTUAL SAVINGS BANK

FRONTIER ADJUSTERS OF AMERICA ROSE 3/8 TO 3 1/8 THE PHOENIX ARIZCOMPANY
REPORTED EARNINGS OF FIVE CENTS A SHARE FOR ITS FISCAL THIRD QUARTER ENDED
MARCH 31 UP FROM FOUR CENTS A SHARE THE YEAR EARLIER THE COMPANY LICENSES
AND FRANCHISES INSURANCECLAIMS ADJUSTERS

DOLCO PACKAGING JUMPED 3 1/2 TO 12 1/4 THE SHERMAN OAKS CALIF COMPANY
POSTED FIRSTQUARTER EARNINGS OF 92 CENTS A SHARE ALMOST TRIPLING ITS
YEAREARLIER EARNINGS OF 33 CENTS A SHARE DOLCO MAKES STYROFOAM PACKAGING
MATERIALS SUCH AS EGG CARTONS

HYDE ATHLETIC INDUSTRIES SHARES ROSE IN ACTIVE TRADING TO CLOSE AT 27 1/4
UP 3 1/4 AFTER THE CLOSE THE FOOTWEAR MAKER REPORTED SHARPLY HIGHER NET
INCOME OF 14 MILLION OR 51 CENTS A SHARE ON A 64 JUMP IN SALES TO
312 MILLION IT CITED STRONG SALES OF ITS SAUCONY FOOTWEAR BRAND AND ITS
BROOKFIELD TRADITIONAL AND INLINE ROLLER SKATES 9305040026 930504
MERRILL SUSPENDS EMPLOYEES IN INQUIRY INTO NEW JERSEY BOND IRREGULARITIES
  BY MICHAEL SICONOLFI AND MILO GEYELIN STAFF REPORTERS OF THE WALL
STREET JOURNAL

NEW YORK MERRILL LYNCH & CO SAID IT PLACED THREE SENIOR MUNICIPALBOND
EMPLOYEES ON ADMINISTRATIVE LEAVE PENDING THE COMPLETION OF A FEDERAL
INVESTIGATION INTO THE SALE OF 29 BILLION OF NEW JERSEY TURNPIKE AUTHORITY
BONDS

THE US ATTORNEY'S OFFICE IN MANHATTAN IS INVESTIGATING WHETHER INVESTMENT
BANKS MADE ILLEGAL PAYMENTS TO A FIRM WITH POLITICAL AND FINANCIAL
CONNECTIONS TO A TOP AIDE TO NEW JERSEY GOV JIM FLORIO TO RECEIVE PART OF
29 BILLION IN TURNPIKE BOND BUSINESS PEOPLE FAMILIAR WITH THE MATTER
SAID

MERRILL THE NATION'S LARGEST BROKERAGE FIRM WAS THE LEAD MANAGER ON A 16
BILLION NEW JERSEY TURNPIKE AUTHORITY BOND ISSUE IN 1991 ACCORDING TO
SECURITIES DATA CO IN A STATEMENT MERRILL SAID THAT IT RECENTLY LEARNED
FOR THE FIRST TIME THAT A NEW JERSEY STATE OFFICIAL HAD A BLIND TRUST WHICH
INCLUDED AN OWNERSHIP INTEREST IN ARMACON SECURITIES INC A SMALL
CLEMENTON NJ BOND DEALER

MERRILL SAID IT HAD DISCOVERED APPARENT IRREGULARITIES RELATED TO
TRANSACTIONS MERRILL CONDUCTED WITH ARMACON IN 1991 MERRILL HAD
ESTABLISHED A JOINT ACCOUNT WITH ARMACON PEOPLE FAMILIAR WITH THE MATTER
SAID THEY ADDED THAT SUCH ACCOUNTS WITH SMALL LOCAL BOND DEALERS ARE NOT
UNUSUAL IN THE MUNICIPALBOND BUSINESS MERRILL SAID IT THEN DISCLOSED THE
ALLEGED IRREGULARITIES TO THE MANHATTAN US ATTORNEY'S OFFICE WHICH BEGAN
AN INQUIRY

THE INVESTIGATION APPEARS TO BE LOOKING INTO AMONG OTHER THINGS WHETHER
MERRILL DID BUSINESS WITH ARMACON AS A WAY OF GETTING THE LEADMANAGER
MANDATE ON THE NEW JERSEY TURNPIKE ISSUE THE PEOPLE FAMILIAR WITH THE
MATTER SAID

ARMACON COULDN'T BE REACHED FOR COMMENT MERRILL DIDN'T IDENTIFY THE NEW
JERSEY STATE OFFICIAL IT SAID HAD AN OWNERSHIP INTEREST IN ARMACON BUT
PEOPLE FAMILIAR WITH THE MATTER SAID THE OFFICIAL IS JOSEPH SALEMA A
LONGTIME PERSONAL FRIEND AND CHIEF OF STAFF TO NEW JERSEY GOV JIM FLORIO
MR SALEMA COULDN'T BE REACHED

AMONG THOSE ISSUED GRANDJURY SUBPOENAS IN THE CASE ARE MERRILL MR SALEMA
AND THE TURNPIKE AUTHORITY ITSELF A SUBPOENA IS A REQUEST FOR INFORMATION
AND DOESN'T IMPLY WRONGDOING A SPOKESMAN FOR GOV FLORIO SAID THE
GOVERNOR'S OFFICE HAS BEEN ASSURED BY FEDERAL INVESTIGATORS THAT NEITHER MR
SALEMA NOR ANYONE ELSE IN THE OFFICE IS A TARGET OF THE GRAND JURY
INVESTIGATION

MERRILL CONFIRMED THAT IT HAD BEEN SUBPOENAED IN THE CASE BUT ALSO SAID IT
WAS NOT A TARGET OF THE INVESTIGATION

THE TURNPIKE AUTHORITY'S DIRECTOR OF LAW HERBERT OLARSCH SAID THAT WHILE
HIS OFFICE RECEIVED A SUBPOENA FOR RECORDS AND DOCUMENTS ON APRIL 14 NO ONE
AT THE AUTHORITY OR ANY OF ITS PERSONNEL ARE TARGETS THE AUTHORITY HAS NOT
BEEN TOLD THE NATURE OF THE INQUIRY MR OLARSCH SAID

THE INVESTIGATION CENTERS ON 29 BILLION OF TURNPIKE AUTHORITY BONDS SOLD
IN SIX SEPARATE ISSUES FROM SEPT 5 1991 TO APRIL 15 1992 MERRILL WAS
AMONG 49 INVESTMENT FIRMS THAT EARNED A TOTAL OF 201 MILLION IN FEES FOR
UNDERWRITING THE BONDS

PEOPLE FAMILIAR WITH THE MATTER SAID THE THREE MERRILL EMPLOYEES PLACED ON
ADMINISTRATIVE LEAVE ARE DENNIS BOYLE HEAD OF MERRILL'S MUNICIPALBOND
SYNDICATE DESK MARSHA EISENBERG HEAD OF MERRILL'S PUBLIC FINANCE GROUP
AND MICHAEL BAUMRIN AN INVESTMENT BANKER COVERING MERRILL'S MUNICIPAL
BUSINESS IN THE NORTHEAST ALL THREE HANDLED THE FIRM'S RELATIONSHIP WITH
ARMACON THE PEOPLE SAID

MR BOYLE'S ATTORNEY LEE RICHARDS DECLINED TO COMMENT BENITO ROMANO A
LAWYER REPRESENTING MR BAUMRIN SAID HIS CLIENT HAS COOPERATED FULLY WITH
THE COMPANY'S REVIEW OF ITS RELATIONSHIP WITH ARMACON AND DECLINED TO
COMMENT FURTHER IRA SORKIN THE ATTORNEY REPRESENTING MS EISENBERG DIDN'T
RETURN A CALL FOR COMMENT

ALTHOUGH OUR INTERNAL INQUIRY TO DATE HAS UNCOVERED NO EVIDENCE OF CRIMINAL
CONDUCT BY ANY MERRILL LYNCH EMPLOYEE THE GOVERNMENT'S REVIEW OF THIS
MATTER IS CONTINUING MERRILL SAID YESTERDAY THE FIRM SAID IT IS
COOPERATING FULLY WITH THE INVESTIGATION 9305040025 930504 AMERICAN
PRESIDENT TO ADD SHIPS

OAKLAND CALIF AMERICAN PRESIDENT COS SAID IT IS NEGOTIATING WITH
SHIPYARDS TO HAVE SIX NEW CONTAINERSHIPS BUILT AS PART OF A FLEET
MODERNIZATION PROGRAM

THE TRANSPORTATION AND CONTAINER CONCERN SAID IT ANTICIPATES SPENDING ABOUT
500 MILLION OVER THE NEXT THREE YEARS FOR THE SHIPBUILDING WHICH IS
CONTINGENT UPON FINAL CONTRACTS AND ARRANGEMENT OF FINANCING THE COMPANY IS
NEGOTIATING WITH TWO SHIPYARDS FOR THE CONSTRUCTION HOWALDTSWERKEDEUTSCHE
WERFT AG OF GERMANY AND DAEWOO SHIPBUILDING & HEAVY MACHINERY LTD OF KOREA
9305040024 930504 TECHNOLOGY DEPRENYL PLANS TO SUE OVER A DRUG TO
FIGHT PARKINSON'S DISEASE

TORONTO DEPRENYL RESEARCH LTD SAID APOTEX INC A GENERIC DRUG CONCERN
HAS APPLIED TO THE CANADIAN GOVERNMENT TO MAKE A GENERIC VERSION OF
DEPRENYL'S TREATMENT FOR PARKINSON'S DISEASE

DEPRENYL A PHARMACEUTICAL CONCERN SAID IT PLANS TO FILE A LAWSUIT IN A
CANADIAN COURT TO BLOCK THE APOTEX MOVE DEPRENYL SAYS ITS DRUG CALLED
ELDEPRYL IS PROTECTED BY A PATENT ON THE MANUFACTURING PROCESS THAT RUNS
UNTIL 2003

BERNARD SHERMAN CHAIRMAN OF APOTEX WOULDN'T DISCUSS HIS COMPANY'S PRODUCT
PLANS BUT HE SAID I PRESUME WE WILL BE SUED AND I PRESUME WE WILL DEFEND
OURSELVES

MARTIN BARKIN DEPRENYL'S PRESIDENT AND CHIEF EXECUTIVE OFFICER SAID THAT
NEW PATENT REGULATIONS IN CANADA WILL PUT THE ONUS ON APOTEX TO PROVE IT
ISN'T VIOLATING DEPRENYL'S PATENT IN DEVELOPING A GENERIC DRUG BOTH
COMPANIES ARE BASED IN TORONTO

THIS MARKS THE SECOND SUCH CHALLENGE FROM A GENERIC DRUG PRODUCER TO
DEPRENYL'S EXCLUSIVE RIGHTS ON ELDEPRYL LAST YEAR DEPRENYL SUED CANGUARD
HEALTH TECHNOLOGIES LTD OF VANCOUVER BRITISH COLUMBIA OVER ITS ATTEMPT
TO MARKET A PARKINSON'S DISEASE DRUG THAT CASE IS STILL BEFORE THE COURTS
DR BARKIN SAID 9305040023 930504 IBM APPOINTS CHRYSLER'S YORK AS
FINANCE CHIEF  COMPUTER MAKER'S MOVE SIGNALS STRATEGY OF CUTS IN
ITS COSTS ASSET SALES  BY MICHAEL W MILLER AND DOUGLAS LAVIN 
STAFF REPORTERS OF THE WALL STREET JOURNAL

INTERNATIONAL BUSINESS MACHINES CORP CONTINUED ITS EXECUTIVE MAKEOVER BY
HIRING JEROME B YORK AN ARCHITECT OF THE TURNAROUND AT CHRYSLER CORP TO
BECOME CHIEF FINANCIAL OFFICER

MR YORK 54 YEARS OLD IS A WEST POINT GRADUATE WHO HELPED TRANSFORM
CHRYSLER BY SLASHING COSTS AND SELLING BILLIONS OF DOLLARS IN ASSETS HIS
APPOINTMENT IS A STRONG SIGN THAT IBM'S NEW CHAIRMAN LOUIS V GERSTNER JR
PLANS A SIMILAR STRATEGY AT THE WOUNDED COMPUTER GIANT

MR GERSTNER RACED TO HIRE MR YORK AFTER MEETING HIM FOR THE FIRST TIME
JUST THREE WEEKS AGO IN IBM'S MANHATTAN OFFICES IN HIS FIRST MONTH MR
GERSTNER HAS ALSO BROUGHT IN OUTSIDERS TO RUN IBM'S COMMUNICATIONS AND
DISKDRIVE BUSINESS AND IS SEARCHING FOR A NEW HEAD OF PERSONNEL

MR YORK WAS EXECUTIVE VICE PRESIDENT FOR FINANCE AND A BOARD MEMBER AT
CHRYSLER WHERE HE SPENT 12 YEARS IN FINANCIAL POSTS AND RUNNING SEVERAL CAR
AND TRUCK DIVISIONS CHRYSLER DIDN'T NAME A SUCCESSOR YESTERDAY WHILE IT
MAY LOOK OUTSIDE THE COMPANY IT HAS SEVERAL INSIDE CANDIDATES

A LEAN INTENSE MAN WITH A PIERCING STARE MR YORK WAS KNOWN AT CHRYSLER
FOR HIS OBSESSIVE WORK HOURS ESPECIALLY DURING THE AUTO MAKER'S
NEARCOLLAPSE IN THE LATE 1970S

AT ONE MEETING IN 1979 I TURNED TO HIM TO MAKE A PRESENTATION AND HE SAID
STEVE YOU BETTER HANDLE THIS I DON'T FEEL SO GOOD' THEN HE PASSED OUT
AND SECURITY GUYS HAD TO COME TAKE HIM AWAY ON A STRETCHER RECALLED FORMER
CHRYSLER VICE CHAIRMAN ROBERT S STEVE MILLER IT WAS JUST EXHAUSTION
FROM TOO MANY ALLNIGHTERS TOO MUCH COFFEE AND CIGARETTES INSTEAD OF THE
OLD SUSTENANCE

IBM'S SELECTION OF MR YORK WAS FIRST REPORTED BY USA TODAY

AT IBM MR YORK WILL FACE WHAT HE YESTERDAY CALLED THE MOST CHALLENGING
SITUATION OF THIS ERA IBM HAD LOSSES OF NEARLY 5 BILLION LAST YEAR AND
SAW ITS STOCK PRICE CUT IN HALF AMID THE NOSE DIVE OF ITS MAINFRAME COMPUTER
BUSINESS

WHILE IBM'S BALANCE SHEET AND CORE FINANCES HAVE REMAINED STABLE IT HAS
LOST MUCH CREDIBILITY ON WALL STREET AND HAS BEEN STRIPPED OF ITS PRIZED
TRIPLEA CREDIT RATING ITS LONGTIME CHIEF FINANCIAL OFFICER FRANK METZ
TOOK EARLY RETIREMENT IN THE JANUARY EXECUTIVE SHAKEUP THAT ALSO PUSHED
ASIDE EXCHAIRMAN JOHN AKERS

MR YORK WILL ALSO BE ARRIVING AT IBM AMID CHARGES BY SOME FINANCIAL EXPERTS
THAT THE COMPANY IS TOO AGGRESSIVE ABOUT REPORTING REVENUE THAT IT MAY NEVER
ACTUALLY GET THROUGH COMPLEX SALES GIMMICKS AND A RARE LEASING MANEUVER IN
AN APRIL 7 WALL STREET JOURNAL ARTICLE SEVERAL EXPERTS SUGGESTED THAT IBM'S
ACCOUNTING GREW MUCH MORE LIBERAL SINCE THE MID1980S AS ITS BUSINESS TURNED
SOUR IBM ADAMANTLY DISPUTES THESE CHARGES

IN AN INTERVIEW YESTERDAY MR YORK WOULDN'T YET COMMIT HIMSELF TO
COSTCUTTING OR ANY OTHER SPECIFIC STRATEGY

READING THE PUBLISHED FINANCIAL DATA IBM'S COSTS DON'T APPEAR TO ME TO BE
OUT OF CONTROL HE SAID BUT ON THE OTHER HAND IF THE REVENUE SIDE OF THE
EQUATION DOES NOT COME BACK TO FORMER LEVELS THEN PROBABLY THERE'S GOING TO
HAVE TO BE SOME REDUCTIONS ON THE COST SIDE

MR YORK LED THE EFFORT TO CONTROL COSTS AT CHRYSLER IN THE LATE 1980S
WHEN FOR THE SECOND TIME IN A DECADE THE CAR GIANT FACED A FINANCIAL
CRISIS WITH OUTDATED PRODUCTS AND BLOATED OVERHEAD CHRYSLER'S EARNINGS
PLUNGED FROM AN OPERATING PROFIT OF MORE THAN 1 BILLION IN 1988 TO AN
OPERATING LOSS OF 538 MILLION IN 1991

THE COMPANY'S UNFUNDED PENSION LIABILITY SOARED AND ITS CREDIT RATING
DROPPED BELOW JUNK LEVELS SOME ANALYSTS WERE PREDICTING CHRYSLER'S DEMISE
AS AN INDEPENDENT AUTO MAKER

IN RESPONSE CHRYSLER CUT IN HALF THE TIME AND MONEY INVESTED IN NEW CAR
LINES AND WRUNG SAVINGS FROM COOPERATING MORE WITH SUPPLIERS IT ALSO PUMPED
MONEY INTO NEW PRODUCTS INCLUDING THE HIGHPROFILE NEON A SMALL CAR IT
SAYS IT SPENT ONLY 13 BILLION TO DEVELOP

THE RESULT WAS THAT LAST YEAR CHRYSLER REPORTED NET OF 723 MILLION THE
ONLY BIG THREE AUTO MAKER TO TURN A PROFIT ITS STOCK HAS ALSO SOARED FROM
AROUND 10 A SHARE JUST TWO YEARS AGO IN NEW YORK STOCK EXCHANGE COMPOSITE
TRADING YESTERDAY IT WAS QUOTED AT 42125 UP 875 CENTS A SHARE

EARLY THIS YEAR MR YORK LED CHRYSLER THROUGH ONE OF THE LARGEST STOCK SALES
EVER FOR A US INDUSTRIAL COMPANY RAISING 178 BILLION CHRYSLER IS USING
MOST OF THE PROCEEDS TO REDUCE ITS 44 BILLION UNFUNDED PENSION LIABILITY

IBM AND MR YORK WOULDN'T DISCUSS HIS COMPENSATION PACKAGE WHICH COULD
EASILY REACH INTO SEVEN FIGURES THE SUBJECT IS SENSITIVE AT A TIME WHEN IBM
IS RUNNING BIG LOSSES AND LAYING OFF THOUSANDS OF EMPLOYEES AT LAST WEEK'S
ANNUAL MEETING MR GERSTNER FACED ANGRY QUESTIONS ABOUT HIS 35 MILLION
ANNUAL SALARY AND BONUS

CHRYSLER LAST YEAR PAID MR YORK 414167 IN SALARY A 300000 BONUS AND
327621 IN LONGTERM COMPENSATION BASED ON QUALITY IMPROVEMENTS IN THE
COMPANY'S PRODUCTS BY CONTRAST IBM PAID MR METZ ITS FORMER CHIEF
FINANCIAL OFFICER A TOTAL OF 725000 LAST YEAR

MR YORK ALSO HAD STOCK OPTIONS THAT CHRYSLER VALUED AT 29 MILLION AT THE
END OF 1992 NORMALLY IBM WOULD BE EXPECTED TO GIVE MR YORK A ONETIME
PAYMENT TO COVER THE OPTIONS HE LEAVES BEHIND

IBM LAUNCHED ITS SEARCH FOR A FINANCIAL OFFICER IN JANUARY TWO MONTHS
BEFORE MR GERSTNER ARRIVED WITH MR AKERS A LAME DUCK VICE CHAIRMAN AND
ACTING CFO PAUL RIZZO RAN THE SEARCH

AFTER MR GERSTNER TOOK OVER APRIL 1 MR RIZZO AND RUSSELL REYNOLDS
ASSOCIATES SEARCH CONSULTANT ANDREW HART PRESENTED THE NEW CHAIRMAN WITH
FIVE FINALISTS MR GERSTNER CHOSE TO INTERVIEW ONLY TWO MR YORK AND
ANOTHER EXECUTIVE WHO WASN'T IDENTIFIED

IN BIG BOARD TRADING IBM SHARES WERE QUOTED AT 4925 UP 625 CENTS BUT
ANALYSTS SAID THE RISE WASN'T CONNECTED TO THE HIRING OF MR YORK

AT CHRYSLER MR YORK HAD BEEN A DARKHORSE CANDIDATE TO SUCCEED DEPARTING
CHAIRMAN LEE A IACOCCA CHRYSLER ULTIMATELY CHOSE FORMER GENERAL MOTORS
CORP EXECUTIVE ROBERT EATON THE SUCCESSION STRUGGLE LEFT RELATIONS
SOMEWHAT STRAINED BETWEEN MR YORK AND CHRYSLER PRESIDENT ROBERT LUTZ WHO
HAD BEEN ANOTHER CONTENDER FOR THE TOP JOB

CHRYSLER SAID MR YORK'S SUBORDINATES WOULD REPORT TEMPORARILY TO MR EATON
CANDIDATES FROM WITHIN CHRYSLER TO SUCCEED MR YORK INCLUDE GARY C VALADE
HUMAN RESOURCES CHIEF THOMAS P CAPO TREASURER AND THOMAS W SIDLIK VICE
PRESIDENT FOR CUSTOMER SATISFACTION AND QUALITY

AFTER GRADUATING FROM WEST POINT MR YORK GOT A MASTERS IN STRUCTURAL
ENGINEERING FROM THE MASSACHUSETTS INSTITUTE OF TECHNOLOGY AND AN MBA AT
THE UNIVERSITY OF MICHIGAN A NATIVE OF MEMPHIS TENN HE SAID HE SPENDS
HIS SPARE TIME WORKING AS A GENTLEMAN FARMER AND HUNTING DEER ELK AND
ANTELOPE 9305040022 930504 BUSINESS BRIEF MTC ELECTRONIC TECHNOLOGIES
 TELECOMMUNICATIONS FIRM SWAPS JOINT VENTURE STAKES

MTC ELECTRONIC TECHNOLOGIES CO SAID IT AGREED TO SWAP ITS INTEREST IN ONE
PLANNED JOINT VENTURE IN CHINA FOR AN INTEREST IN ANOTHER

MTC ELECTRONIC SAID IT WOULD EXCHANGE ITS 28 INTEREST IN A PROPOSED
CELLULAR TELEPHONE PROJECT IN SHANGHAI FOR A 50 INTEREST IN A SIMILAR
VENTURE IN DONGGUAN NEAR CANTON

MTC ELECTRONIC WHICH HAS INTERESTS IN TELECOMMUNICATIONS CONCERNS SAID IT
WOULD INVEST 25 MILLION IN PAGING AND CELLULAR EQUIPMENT THE RICHMOND
BRITISH COLUMBIA COMPANY SAID ITS PARTNER IS DONGGUAN SECURITY SERVICES
CORP AN AFFILIATE OF THE GUANGDONG PROVINCE PUBLIC SECURITY BUREAU
9305040021 930504 POLITICS & POLICY SENATE TO TAKE UP LOBBYING MEASURE
 BUT SOME SAY BILL ISN'T STRONG ENOUGH  BY JOHN HARWOOD STAFF
REPORTER OF THE WALL STREET JOURNAL

WASHINGTON THE SENATE RESPONDING TO PUBLIC HOSTILITY TOWARD INFLUENCE
PEDDLING PLANS TO TAKE UP A LOBBYING DISCLOSURE BILL THIS WEEK THAT ISN'T
LIKELY TO MUFFLE THE CONTROVERSY

THE PROPOSED LEGISLATION SPONSORED BY SEN CARL LEVIN D MICH WOULD
STRENGTHEN THE LOOPHOLERIDDEN LAWS GOVERNING WHO MUST REGISTER AS A
LOBBYIST IN WASHINGTON BUT PUBLIC INTEREST GROUPS COMPLAIN THAT IT WOULD
STILL PERMIT LOBBYISTS TO SKIRT DISCLOSURE BY NOT REQUIRING THEM TO LIST
FINANCIAL BENEFITS PROVIDED TO INDIVIDUAL MEMBERS OF CONGRESS

THE SUNSHINE OF DISCLOSURE IS A NECESSITY PAMELA GILBERT OF CONGRESS
WATCH WROTE IN A LETTER TO SENATORS RECENTLY ALONG WITH COMMON CAUSE
CONGRESS WATCH IS URGING THE SENATE TO AMEND THE BILL TO REQUIRE ITEMIZED
DISCLOSURE OF LOBBYISTS' FAVORS

THE SPECTER OF SPECIALINTEREST LOBBYISTS HAS FED AN ANTIINCUMBENT MOOD IN
RECENT CONGRESSIONAL ELECTIONS AND BOTH PRESIDENT CLINTON AND ROSS PEROT
SCORED POINTS ATTACKING INFLUENCE PEDDLING IN THEIR 1992 CAMPAIGNS IN THE
MOST RECENT WALL STREET JOURNAL/NBC NEWS POLL 26 OF THOSE SURVEYED SAID
REDUCING THE INFLUENCE OF LOBBYISTS AND CAMPAIGN CONTRIBUTORS SHOULD BE ONE
OF THE FEDERAL GOVERNMENT'S TOP PRIORITIES

ADDING FUEL TO THE ARGUMENT WAS A BROADCAST LAST WEEK ON ABCTV'S PRIME
TIME LIVE DEPICTING LAWMAKERS ON FLORIDA'S CAPTIVA ISLAND AT A GETAWAY PAID
FOR BY LOBBYISTS FOR THE ELECTRONICS INDUSTRY UNDER MR LEVIN'S BILL THE
LOBBYISTS WOULDN'T BE REQUIRED TO LIST THE MEMBERS THEY TOOK ON THE TRIP

LAWMAKERS THEMSELVES ARE REQUIRED TO LIST SUCH TRIPS ON THEIR ANNUAL
FINANCIAL DISCLOSURE FORMS BUT TRACKING A LOBBYING INTEREST'S ACTIVITIES
REQUIRES CHECKING ALL 535 MEMBERS' REPORTS COMMON CAUSE PRESIDENT FRED
WERTHEIMER ARGUES THAT PUBLICINTEREST WATCHDOGS CAN GET A CLEAR TIMELY
PICTURE ONLY IF LOBBYISTS LIST GIFTS TO INDIVIDUALS ON THEIR OWN DISCLOSURE
STATEMENTS LOBBYIST STATEMENTS CURRENTLY ARE FILED QUARTERLY THOUGH MR
LEVIN'S BILL WOULD PERMIT LOBBYISTS TO FILE SEMIANNUALLY

PUBLIC INTEREST GROUPS AGREE WITH MR LEVIN'S ASSESSMENT THAT THE CURRENT
DISCLOSURE LAW IS USELESS AND TOOTHLESS PASSED NEARLY A HALFCENTURY AGO
THE LAW REQUIRES REGISTRATION ONLY BY PAID LOBBYISTS WHOSE PRINCIPAL
PURPOSE IS TO INFLUENCE THE COURSE OF LEGISLATION IN CONGRESS IT DOESN'T
COVER EXECUTIVE BRANCH LOBBYING AND COURTS HAVE INTERPRETED IT TO APPLY
ONLY TO LOBBYING OF LAWMAKERS THEMSELVES NOT CONGRESSIONAL STAFFERS

AS A RESULT A GENERAL ACCOUNTING OFFICE STUDY FOUND THAT NEARLY 10000 OF
13500 INDIVIDUALS AND ORGANIZATIONS LISTED IN ONE DIRECTORY OF WASHINGTON
LOBBYISTS HADN'T REGISTERED MR LEVIN'S BILL WHICH HAS BIPARTISAN SUPPORT
WOULD PLUG THOSE LOOPHOLES BY REQUIRING ALL LOBBYISTS TO REGISTER REGARDLESS
OF WHOM THEY LOBBY IN THE LEGISLATIVE OR EXECUTIVE BRANCHES

STILL FLOOR CONSIDERATION OF THE BILL PROMISES TO SET ERSTWHILE ALLIES 
MR LEVIN AND THE PUBLIC INTEREST GROUPS AT ODDS THE MICHIGAN DEMOCRAT
IS OPPOSING A COMMON CAUSEBACKED AMENDMENT BY SEN PAUL WELLSTONE D
MINN THAT WOULD REQUIRE ITEMIZED DISCLOSURE OF FINANCIAL GIFTS TO MEMBERS
WHILE PRAISING MR LEVIN'S BILL FOR MAKING SIGNIFICANT IMPROVEMENTS IN
LOBBY REGISTRATION MR WELLSTONE SAID IT DOESN'T ACHIEVE CREDIBLE AND
COMPLETE LOBBY DISCLOSURE

THE AMENDMENT COULD COMPLICATE PROSPECTS FOR PASSAGE IN THE HOUSE AND MR
LEVIN CONTENDS IT IS SUPERFLUOUS BECAUSE HE AND FOUR OTHER SENATORS 
INCLUDING MR WELLSTONE ARE SEEKING SEPARATE LEGISLATION TO BAN
ALTOGETHER MOST JUNKETS SUCH AS THE CAPTIVA ISLAND TRIP AS WELL AS GIFTS
FROM LOBBYISTS THAT ARE VALUED AT MORE THAN 20 COMMON CAUSE SUPPORTS A BAN
AS WELL BUT MEANWHILE URGES DEFEAT OF MR LEVIN'S BILL UNLESS THE GIFT
DISCLOSURE PROVISIONS ARE STRENGTHENED 9305040020 930504 REVIEW & OUTLOOK
EDITORIAL ASIDES A HEAVY LOAD

HOW MUCH WEIGHT CAN LLOYD BENTSEN CARRY THE TREASURY SECRETARY SPENDS LARGE
AMOUNTS OF TIME PICKING UP AFTER HIS COLLEAGUES YESTERDAY HE DELIVERED
ANOTHER STRONG SPEECH IN SUPPORT OF NAFTA CALLING IT IMPORTANT TO EVERY
NATION IN THE HEMISPHERE BECAUSE OF THE GROWTH IT CAN GENERATE THIS COMES
RIGHT AFTER MICKEY KANTOR'S RANT ABOUT USING A SLEDGEHAMMER TO CRUSH TRADE
BARRIERS 9305040019 930504 MARKETING & MEDIA ADVERTISING GIZMOS GET
FANCIER AS TRADE SHOW FOR KNICKKNACK BUSINESS OPENS  BY KEVIN
GOLDMAN

FRANK KARLIK BELIEVES HE HOLDS THE FUTURE OF ADVERTISING IN THE PALM OF HIS
HAND FORGET SLICKLY PRODUCED HALFMINUTE TELEVISION SPOTS AND HUMOROUS
RADIO ADS AND ARTSY MAGAZINE PHOTO SPREADS FOR MR KARLIK THE FUTURE IS
THE SQUISH BALL AND OTHER DOODADS LIKE IT

IN THE PAST FOUR YEARS MR KARLIK SALES DIRECTOR OF CAP INC OF BEDFORD
HEIGHTS OHIO HAS SOLD MORE THAN 14 MILLION HANDSIZE BALLS THAT PEOPLE
CAN WELL SQUISH AND SQUEEZE TO RELIEVE NERVOUSNESS HE PLACES A COMPANY'S
LOGO ON THE BALL BUT DON'T LAUGH CORPORATIONS SUCH AS AMERICAN TELEPHONE &
TELEGRAPH APPLE COMPUTER AND KRAFT GENERAL FOODS HAVE PAID MONEY TO HAVE
THEIR PRODUCT LOGOS ADORN THE ADULTORIENTED TOY

THE SQUISH BALL ISN'T A CHEAP TACKY LEAVEBEHIND SOMETHING THAT A
SALESMAN LITERALLY ABANDONS AT EACH STOP MIND YOU RATHER IT IS A PREMIUM
INCENTIVE A MARVELOUS MARKETING INSTRUMENT THAT A COMPANY CAN GIVE AWAY OR
AWARD TO CONSUMERS OR EMPLOYEES TO FURTHER PROMOTE A BRAND NAME AND HEAVEN
KNOWS BRANDS NEED ALL THE PROMOTION THEY CAN MUSTER IN THESE DAYS OF
MARLBORO RIDING LOW IN THE SADDLE

CAP INC AND SOME 1100 OTHER COMPANIES THAT CHURN OUT THE KNICKKNACKS AND
GIZMOS THAT DEFINE THE PREMIUMINCENTIVE BUSINESS ARE GATHERING AT THE
CAVERNOUS JACOB K JAVITS CENTER IN NEW YORK STARTING TODAY FOR THE 55TH
ANNUAL PREMIUM INCENTIVE SHOW

TALK ABOUT CLUTTER A WALK THROUGH THE CONVENTION CENTER SHOWS AISLE AFTER
AISLE OF KNICKKNACKS THAT DOUBLE AS MINIATURE BILLBOARDS THE MAIN PURPOSE
OF THIS BUSINESS IT SEEMS IS TO PUSH ADVERTISING BEYOND THE USUAL MEDIA
AND THRUST IT INTO THE HANDS AND FACES OF CONSUMERS IN MORE SUBTLE AND
SOMETIMES MORE ANNOYING WAYS

EVERYONE KNOWS ABOUT THOSE UBIQUITOUS KEY CHAINS WITH A COMPANY'S LOGO BUT
WHAT ABOUT LITTLE DUSTY FROM POINTS OF LIGHT IN FAIRFIELD NJ IT'S A TINY
DUST BRUSH TO CLEAN YOUR COMPUTER KEYBOARD AND WHILE YOU'RE DUSTING YOU
JUST MIGHT NOTICE A PARTICULAR MARKETER'S LOGO PRINTED ON THE HANDLE TIME
WARNER'S CINEMAX LIKED THEM AND ORDERED 30000 INTEL CORP REALLY LOVED
THEM AND ORDERED 100000

FOR THOSE WHO DON'T DUST THERE ARE LOGOS ON WATCHES COFFEE POTS THE
BACKBOARD OF A BASKETBALL HOOP UMBRELLAS SOCKS POCKETKNIVES BRACELETS
AND OTHER ITEMS AD INFINITUM PREMIUM INCENTIVES MAKE UP A BUSINESS OF MORE
THAN 17 BILLION A YEAR SAYS BRUCE BOLGER THE SHOW'S DIRECTOR AND THE
FORMER EDITOR OF THE TRADE PUBLICATION INCENTIVE MR BOLGER 39 YEARS OLD
IS DEAD SERIOUS ABOUT THE MEDIUM THE ITEMS GIVEN AWAY HE SAYS ARE A PART
OF AMERICANA

OF COURSE THE CONVENTION DOES HAVE ITS HIGHTICKET FREEBIES FROM SUCH
COMPANIES AS SONY CORP OF AMERICA WITH WALKMANS AND TELEPHONES MARK
CROSS WITH WATCHES AND COLEMAN CORP WITH COOLERS JUGS AND LANTERNS
BUT WANDER PAST THE SPLASHY BOOTHS NEAR THE ENTRANCE AND A VISITOR FINDS THE
REALLY FUN STUFF THE EVERYDAY OBJECTS THAT COMPRISE THE MAINSTAY OF A
BOOMING BUSINESS

SOME OF THE COMPANIES ON THE OUTSKIRTS OF THE MAIN EXHIBIT FLOOR ARE ALL
TRYING TO FIND THE NEXT PET ROCK A SHOW SPOKESMAN SAYS IN OTHER WORDS AN
ITEM THAT IS USUALLY WORTHLESS BUT WHICH NO ONE CAN DO WITHOUT

CHECK OUT PACIFIC HANDY CUTTER'S PUSH KNIFE IT MEASURES A HALFINCH BY AN
INCHANDTHREEQUARTERS IN THE SHAPE OF A KEY AND YOU CAN BARELY FILE YOUR
NAILS WITH IT THE EXAMPLE HANDED OUT HAS HOLIDAY INN'S LOGO ON IT ORDER
250 OF THESE ITEMS AND THEY WILL COST 81 CENTS APIECE SPRING FOR 5000 AND
THEY GO FOR 71 CENTS EACH

WHAT ABOUT BAGS OF PEPPERMINT BARK WITH YOUR COMPANY LOGO PROUDLY PLACED ON
EACH OR THIS MARK SATCHELL OF EXPRESSIVE DESIGNS IS HERE WITH THERMAL
INSULATED GLASSES THAT HE SAYS ARE JUST PERFECT FOR IMPRINTING LOGOS BUT
WAIT HE HAS SOMETHING ELSE IT'S CALLED TAKE A NUMBER AND FEATURES A
PLASTIC HAND GRENADE AFFIXED TO A PLASTIC SIGN THAT READS WANT A RAISE
TAKE A NUMBER WITH A NO 1 ATTACHED TO THE GRENADE'S RING

THIS MAY NOT SOUND LIKE ALL THAT GREAT AN INCENTIVE FOR THE RANK AND FILE
BUT MR SATCHELL PROUDLY NOTES THAT ONE SUCH PROP IS FEATURED IN THE LATEST
MICHAEL DOUGLAS MOVIE FALLING DOWN HE HOPES TO SNARE SOME COMPANIES AT
THE SHOW

MR BOLGER THE SHOW'S DIRECTOR SAYS IT ISN'T ENOUGH TO SIMPLY ORDER THESE
INCENTIVE PRODUCTS IN FACT MR BOLGER IS IMPORTING A SPEAKER SCOTT WARD
PROFESSOR OF MARKETING AT THE UNIVERSITY OF PENNSYLVANIA'S WHARTON SCHOOL OF
BUSINESS WHO WILL LECTURE CONVENTION GOERS TODAY TO STAMP OUT STUPID
INCENTIVE PROGRAMS

WE WANT TO TELL COMPANIES TO WAKE UP SAYS MR BOLGER THEY'RE SPENDING
ALL THIS MONEY AND THEY DON'T UNDERSTAND HOW TO PROPERLY USE INCENTIVES IT
ISN'T ENOUGH TO SHOVE PREMIUMS IN PEOPLE'S HANDS ALL TOO OFTEN THEY ARE
USED FOR SHORTTERM OBJECTIVES TO FINETUNE SALES FIGURES AND NOT KEEP THE
CUSTOMERS HAPPY

THE GOAL HE SAYS SHOULD BE TO KEEP THE CUSTOMERS HAPPY

IN THE ADVERTISING SPECIALTY TRADE THE GUIDING GOAL IS THE CHEAPER THE
BETTER WHICH MAY BE WHY AFICA LTD WHICH HAS COME HERE ALL THE WAY FROM
KIBBUTZ AFIKIM ISRAEL MAY HAVE TROUBLE PUSHING THE CAN COOLER THE
DUALPURPOSE CAR ACCESSORY CAN COOL OR HEAT LIQUIDS IN ALUMINUM CANS BUT IT
COSTS 95 FOR EACH

NOT TO BE CONFUSED WITH THE CAN COOLER IS THE BUNSAVER THE SELFINFLATING
CUSHION SPORTS LOGOS FOR THE LIKES OF 7UP TIDE DETERGENT COKE AND
BUDWEISER NEVERMIND THE DUBIOUS EXPOSURE THAT THEY GET THE COMPANY'S BOOTH
PROUDLY DISPLAYS ITS CORPORATE MOTTO JUST SIT ON IT

PRUDENTIAL STARTS REVIEW PRUDENTIAL SECURITIES SAID IT IS REVIEWING ITS
ESTIMATED 10 MILLION TO 15 MILLION ADVERTISING ACCOUNT CURRENTLY AT
INTERPUBLIC GROUP'S LOWE & PARTNERS

LOWE HAS ACCEPTED AN INVITATION TO PARTICIPATE WE INTEND TO BE IN THE
REVIEW RIGHT THROUGH THE FINALS SAID JOHN HAYES PRESIDENT OF THE LOWE
AGENCY LOWE'S WORK ON PRUDENTIAL'S ESTIMATED 50 MILLION INSURANCE ACCOUNT
WON'T BE AFFECTED BOTH CLIENT AND AGENCY SAID

PRUDENTIAL SECURITIES A UNIT OF PRUDENTIAL INSURANCE CO OF AMERICA SPENT
LESS THAN 5 MILLION ON TELEVISION AND PRINT ADVERTISING LAST YEAR
ACCORDING TO LEADING NATIONAL ADVERTISERS BUT PROJECTED BILLINGS COULD BE
THREE TIMES THAT ACCORDING TO PEOPLE CLOSE TO THE CLIENT A DECISION IS
EXPECTED IN AUGUST

AUDI SEVEN AD AGENCIES HAVE MADE THE FIRST CUT IN THE PITCH FOR AUDI OF
AMERICA'S 25 MILLION TO 30 MILLION AD ACCOUNT PREVIOUSLY AT OMNICOM
GROUP'S DDB NEEDHAM NEW YORK THEY ARE CARMICHAEL LYNCH MINNEAPOLIS
HILL HOLLIDAY CONNORS COSMOPULOS BOSTON MCKINNEY & SILVER RALEIGH
NC AND NEW YORK AGENCIES AMMIRATI & PURIS SAATCHI & SAATCHI CO'S CLIFF
FREEMAN & PARTNERS JORDAN MCGRATH CASE & TAYLOR AND KIRSHENBAUM & BOND
AUDI OF AMERICA IS A UNIT OF VOLKSWAGEN AG OF GERMANY

WOOL ACCOUNT MERKLEY NEWMAN HARTY NEW YORK THE NEW OMNICOM GROUP AGENCY
WON ITS FIRST ACCOUNT AN ESTIMATED 15 MILLION EFFORT FOR THE WOOL BUREAU
THE NEW YORK TRADE GROUP THAT PROMOTES USE OF THE FIBER AS PART OF A GLOBAL
EFFORT FROM THE INTERNATIONAL WOOL SECRETARIAT OF LONDON THE NEW ACCOUNT
WAS ASSIGNED WITHOUT A REVIEW ANOTHER OMNICOM UNIT BBDO HANDLES THE WOOL
BUSINESS IN EUROPE AND JAPAN BUT WAS BLOCKED FROM THE NEW US ASSIGNMENT
BECAUSE OF ITS BIG CLIENT DUPONT CO

WHO'S NEWS ANTHONY J HOPP EXECUTIVE VICE PRESIDENT AT INTERPUBLIC GROUP'S
LINTAS CAMPBELLEWALD WAS NAMED PRESIDENT OF THE WARREN MICH AGENCY
MR HOPP 48 YEARS OLD SUCCEEDS PETER A DOW 59 WHO WAS NAMED VICE
CHAIRMAN AND REMAINS CHIEF OPERATING OFFICER MICHAEL J RYAN 38YEAROLD
SENIOR VICE PRESIDENT WAS NAMED EXECUTIVE VICE PRESIDENT SUCCEEDING MR
HOPP ON THE BIG CHEVROLET ACCOUNT RICHARD D O'CONNOR THE AGENCY'S
61YEAROLD CHAIRMAN AND CHIEF EXECUTIVE SAID THE MOVES DESIGNATE MESSRS
HOPP AND RYAN AS THE FUTURE NEW MANAGEMENT TEAM OF THE AGENCY

BELL ATLANTIC BELL ATLANTIC CORP ENDED ITS MEDIA REVIEW BY MOVING A CHUNK
OF ITS 50 MILLION BUSINESS TO FCB/LEBER KATZ PARTNERS FCB PICKED UP ALL
PLANNING DUTIES FOR BELL ATLANTIC'S BROADCAST AND PRINT ADVERTISING AND THE
BUYING DUTIES FOR ITS YELLOW PAGES PAYPHONE AND OPERATOR SERVICES
ADVERTISING IN PRINT WPP GROUP'S J WALTER THOMPSON SUCCESSFULLY DEFENDED
THE BROADCAST BUYING PORTION AGAINST SIX OTHER CONTENDERS

REVIEW CAMPBELL SOUP CO IS REVIEWING ITS ESTIMATED 6 MILLION VLASIC
PICKLE ACCOUNT INDUSTRY EXECUTIVES SAID CONFIRMING A REPORT IN ADWEEK
INCUMBENT WB DONER BALTIMORE IS DEFENDING THE BUSINESS AGAINST TWO OTHER
CAMPBELL AGENCIES OMNICOM GROUP'S BBDO AND FCB/LEBER KATZ THE NEW YORK
OFFICE OF FOOTE CONE & BELDING COMMUNICATIONS CAMPBELL SOUP DECLINED TO
COMMENT 9305040018 930504 DQE UNIT TO REDEEM BONDS

PITTSBURGH DUQUESNE LIGHT CO A UNIT OF DQE INC SAID IT PLANS TO
REDEEM ALL ITS 3465 MILLION OUTSTANDING OF 7875 FIRSTMORTGAGE BONDS DUE
MARCH 1 2001

DUQUESNE SAID IT WILL REDEEM THE BONDS AT 10203 OF THE PRINCIPAL AMOUNT ON
JUNE 7 1993 9305040017 930504 WORLD MARKETS FRANKFURT STOCK PRICES
FIRM AS GLOBAL TURNOVER IS SUBDUED BY HOLIDAY CLOSINGS OF MAJOR BOURSES 
 A WALL STREET JOURNAL NEWS ROUNDUP

FRANKFURT STOCK PRICES FIRMED MONDAY AFTER RECOVERING FROM A DEFICIT AT THE
OPENING PARTLY FROM FURTHER ECONOMIC WORRIES AS STRIKES SWEPT ACROSS
EASTERN GERMANY

STOCK MARKETS IN TOKYO AND LONDON WERE CLOSED FOR HOLIDAYS

IN FRANKFURT THE DAX 30STOCK INDEX ROSE 197 POINTS TO 162916 REBOUNDING
FROM AN INTRADAY LOW OF 161740 OF THE DAX ISSUES 19 ADVANCED AND 11
RETREATED

WITH LONDON BANKS CLOSED FOR A HOLIDAY THE FRANKFURT MARKET LOST A MAJOR
SOURCE OF VOLUME MOST OF THE EARLY LOSSES CAME IN PREMARKET
OVERTHECOUNTER TRADING CAUSING THE DAX TO OPEN AROUND ITS LOWS

SELLING RESULTED FROM STRIKES IN EASTERN GERMANY THAT BEGAN YESTERDAY AND
THAT ARE EXPECTED TO HURT FURTHER THE REGION'S ECONOMY AND INVESTMENT ALSO
WEIGHING ON THE MARKET WAS THE POSSIBILITY THAT THE LEADER OF GERMANY'S
OPPOSITION SOCIAL DEMOCRATS MIGHT RESIGN LEAVING THE PARTY WITHOUT A
STANDARDBEARER GOING INTO NEXT YEAR'S ELECTION THE LEADER DID STEP DOWN
LATER

IN PARIS SHARE PRICES ATTEMPTED TO BREAK OUT OF THE RED IN THE LAST
HALFHOUR OF TRADING BUT LOST STEAM AND ENDED MARGINALLY LOWER VOLUME WAS
EXTREMELY THIN REFLECTING THE LONDON EXCHANGE'S HOLIDAY CLOSURE AND A
SUBDUED FRENCH MOOD FOLLOWING THE WEEKEND SUICIDE OF FORMER PRIME MINISTER
PIERRE BEREGOVOY AS A RESULT OF MR BEREGOVOY'S DEATH THE FRENCH
GOVERNMENT CANCELED SOME REPORTS THAT HAD BEEN SCHEDULED FOR THIS WEEK
LEAVING INVESTORS SOMEWHAT ADRIFT A MAJOR ECONOMIC POLICY ADDRESS HAD BEEN
EXPECTED TOMORROW BUT THAT WAS POSTPONED UNTIL THE MIDDLE OF NEXT WEEK

IN AMSTERDAM FOLLOWING A THREEDAY WEEKEND THAT SHUT THE DUTCH MARKET
FRIDAY STOCKS ENDED MIXED AMID A GLOOMY UNDERTONE CAUSED BY A WEAK US
DOLLAR AND INVESTORS' UNCERTAINTY ABOUT THE PERMANENCE OF A US ECONOMIC
RECOVERY

IN MILAN SHARE PRICES ROSE SHARPLY AND BROADLY IN SLOW TRADING AS THE
MARKET TOOK A SOMEWHAT BRIGHTER VIEW OF TUMULTUOUS ITALIAN POLITICAL
DEVELOPMENTS MANY INVESTORS HAD STUCK TO THE SIDELINES WAITING TO SEE HOW
PRIME MINISTER CARLO A CIAMPI WOULD DEAL WITH THE RESIGNATION LAST WEEK OF
FOUR MINISTERS FROM HIS NEWLY FORMED CABINET IN REACTION TO THE GOVERNMENT'S
HANDLING OF PART OF A CORRUPTION INVESTIGATION BUT THE FOUR MINISTERS WERE
REPORTEDLY RECONSIDERING THEIR RESIGNATIONS

MADRID SHARES FINISHED LITTLE CHANGED AS A DEARTH OF SPANISH ECONOMIC NEWS
AND THE HOLIDAY IN LONDON DAMPED INTEREST IN THE MARKET STOCKHOLM EQUITIES
ALSO WERE FLAT AS THE LONDON BOURSE'S CLOSING KEPT THE SWEDISH SESSION
DULL IN ZURICH PRICES CLIMBED AS THE US DOLLAR FIRMED FOR MUCH OF THE
SESSION HELPING CHEMICAL AND CYCLICAL ISSUES BRUSSELS PRICES ENDED MOSTLY
LOWER IN LIGHT TRADING MARKED BY THE ABSENCE OF LONDONBASED INVESTORS

IN SYDNEY SHARE PRICES FELL DRAGGING THE MARKET'S MAIN INDEX DOWN TO ITS
LOWEST LEVEL IN ALMOST A MONTH AMID A LACK OF BUYING INTEREST BY AUSTRALIAN
AND FOREIGN INVESTORS

HONG KONG STOCKS ENDED SOLIDLY LOWER IN SUBDUED TRADING THOUGH BARGAIN
HUNTERS HELPED THE MARKET RECOUP ABOUT HALF ITS LOSSES RECORDED EARLIER IN
THE SESSION THE HONG KONG DECLINE ENDED A STRONG RUN THAT HAD LASTED
SEVERAL WEEKS INVESTORS WERE CONCERNED ABOUT HONG KONG GOV CHRIS PATTEN'S
VISIT TO THE US FRIDAY MR PATTEN WHO HAS BEEN AT ODDS WITH BEIJING OVER
HIS POLITICAL REFORM PROPOSALS FOR THE BRITISH COLONY WILL URGE AN
UNCONDITIONAL RENEWAL OF CHINA'S MOST FAVORED NATION STATUS HONG KONG AND
CHINA HAVE HUGE TRADE LINKS BUT SOME CHINESE OFFICIALS EARLIER WERE SAID TO
REJECT MR PATTEN'S ATTEMPTS TO INTERNATIONALIZE THE HONG KONG ISSUE

MANILA SHARES NUDGED HIGHER TO A THIRD CONSECUTIVE RECORD THE INCREASES
WERE ATTRIBUTED TO MORE LIQUIDITY FROM THE PHILIPPINES' REDUCTION FRIDAY OF
BANKS' RESERVE REQUIREMENTS

AMONG CORPORATE DEVELOPMENTS IN FRANKFURT CONTINENTAL RALLIED 220 MARKS
OR 11 TO 19450 MARKS 6430 ON A FINANCIAL TURNAROUND THE TIREMAKER
POSTED 1992 GROUP PROFIT OF 133 MILLION MARKS 838 MILLION COMPARED WITH
A YEAREARLIER LOSS OF 128 MILLION MARKS BUT CONTINENTAL CITING A
DIFFICULT ECONOMIC SITUATION SAID IT WAS PREMATURE TO RESUME PAYING A
DIVIDEND THE LAST PAYOUT WAS 4 MARKS A SHARE ON 1990 EARNINGS

KUGELFISCHER EASED 20 PFENNIGS TO 10630 MARKS THE FINANCIALLY AILING
BALLBEARING MAKER ACCELERATING A RESTRUCTURING SAID IT MIGHT SELL OR SHUT
HALF OF ITS FACTORIES BY THE END OF NEXT YEAR WITH MUCH OF THE STREAMLINING
POSSIBLE THIS YEAR THESE OPERATIONS HAVE 800 MILLION MARKS IN ANNUAL SALES
AND 7500 EMPLOYEES EARLIER PROPOSALS CALLED FOR ELIMINATING 6500 JOBS
KUGELFISCHER'S LOSS WIDENED TO 330 MILLION MARKS IN 1992 FROM 81 MILLION
MARKS IN 1991 ON GROUP SALES THAT DROPPED TO 36 BILLION MARKS FROM 39
BILLION MARKS

IN PARIS CERUS PLUNGED 81 FRENCH FRANCS OR 10 TO 733 FRANCS 1371
THE HOLDING COMPANY WHICH IS RUN BY CARLO DE BENEDETTI OF ITALY SAID IT
WOULD ASK SHAREHOLDERS TO APPROVE HALVING TO 100 FRANCS THE NOMINAL VALUE OF
ITS SHARES THE MEASURE WOULD BE THE EQUIVALENT OF A CAPITAL WRITEDOWN OF
CERUS'S EQUITY TO 257 BILLION FRANCS 4811 MILLION FROM 515 BILLION
FRANCS CERUS HAS 25729680 SHARES OUTSTANDING

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 CALCULATED IN LOCAL CURRENCIES IS BASED ON
THE CLOSE OF 1969 EQUALING 100 THE PERCENTAGE CHANGE IS SINCE YEAREND
9305040016 930504 RECENT SEC FILINGS

WASHINGTON THE FOLLOWING ISSUES WERE RECENTLY FILED WITH THE SECURITIES
AND EXCHANGE COMMISSION

ASTEC INDUSTRIES INC AN OFFERING OF 12 MILLION COMMON SHARES VIA RAYMOND
JAMES & ASSOCIATES INC

FILA HOLDING SPA AN INITIAL OFFERING OF 75 MILLION AMERICAN DEPOSITARY
SHARES REPRESENTING 375 MILLION ORDINARY SHARES VIA SALOMON BROTHERS INC
AND GOLDMAN SACHS & CO

INDIANA ENERGY INC AN OFFERING OF ONE MILLION COMMON SHARES VIA GOLDMAN
SACHS AG EDWARDS & SONS INC AND DEAN WITTER REYNOLDS INC

INFINITE MACHINES CORP AN INITIAL OFFERING OF ONE MILLION UNITS INCLUDING
TWO MILLION COMMON SHARES AND ONE MILLION REDEEMABLE COMMON SHARE PURCHASE
WARRANTS VIA THOMAS JAMES ASSOCIATES INC 9305040015 930504 ABREAST OF
THE MARKET INDUSTRIALS END HIGHER AS INVESTORS IGNORE WEAK
MANUFACTURING DATA  BY DAVE PETTIT STAFF REPORTER OF THE WALL
STREET JOURNAL

NEW YORK INVESTORS IGNORED A POOR READING ON THE ECONOMY AND INSTEAD
FOLLOWED THE BOND MARKET HIGHER

LOWER INTEREST RATES HAVE BEEN AN IMPORTANT CATALYST FOR STOCK MARKET GAINS
FOR MONTHS AND YESTERDAY WAS NO DIFFERENT ANALYSTS SAID

THE WIDELY HELD VIEW THAT STOCK PRICES HAD BEEN PUSHED TO TECHNICALLY
OVERSOLD LEVELS OVER THE PAST TWO WEEKS ALLOWED THE BUYING MOMENTUM TO
MOUNT ANALYSTS SAID AFTER A SERIES OF LOSING SESSIONS RECENTLY ANALYSTS
HAVE PREDICTED A BOUNCE BACK IN STOCK PRICES

THE DOW JONES INDUSTRIAL AVERAGE JUMPED 1891 TO 344646 BROADER MARKET
INDEXES ALSO CLIMBED ADVANCING BIG BOARD ISSUES OUTPACED DECLINERS 1099 TO
805

STOCKS HAD HEADED LOWER EARLY IN THE DAY AFTER THE NATIONAL ASSOCIATION OF
PURCHASING MANAGEMENT RELEASED A WEAKER THAN EXPECTED REPORT ON APRIL
BUSINESS ACTIVITY ITS INDEX SLID TO 497 FROM 534 IN MARCH AND BELOW
THE IMPORTANT 50 MARK FOR THE FIRST TIME SINCE SEPTEMBER 1992 A READING
BELOW 50 INDICATES CONTRACTION IN THE MANUFACTURING ECONOMY

BUT THE LOSSES WERE SHORTLIVED AND STOCKS TREADED WATER FOR MOST OF THE
DAY BEFORE SHOOTING HIGHER IN THE FINAL HOUR OF TRADING THE BUYING
INTENSIFIED AFTER BOND PRICES SPURTED TO THEIR HIGHS OF THE SESSION

THE STANDARD & POOR'S 500 STOCK INDEX JUMPED 227 OR 052 TO 44246 THE
NEW YORK STOCK EXCHANGE COMPOSITE INDEX ROSE 108 OR 044 TO 24454 AND
THE DOW JONES EQUITY MARKET INDEX ADDED 209 OR 050 TO 41966

DRUG STOCKS ROSE ON NEWS OVER THE WEEKEND THAT THE CLINTON ADMINISTRATION
PROBABLY WILL INCLUDE VOLUNTARY COST CONTROLS IN ITS HEALTHCARE REFORM
PACKAGE HILLARY RODHAM CLINTON APPARENTLY TOLD MEMBERS OF CONGRESS LATE
LAST WEEK THAT THE ADMINISTRATION IS CONSIDERING MANDATORY PRICE CONTROLS
ONLY IF HEALTHCARE PROVIDERS FAIL TO RESTRAIN PRICES ON THEIR OWN

MERCK JUMPED 1 1/4 TO 38 1/4 PFIZER GAINED 1 1/2 TO 69 3/4 SCHERINGPLOUGH
ROSE 2 1/8 TO 67 1/4 AND BRISTOLMYERS SQUIBB ADVANCED 1 7/8 TO 62 SHARES
OF GENENTECH A BIOTECHNOLOGY CONCERN ROSE 3/4 TO 38 1/4 AFTER SURGING 4
3/4 FRIDAY ON ENCOURAGING RESEARCH DATA THE STOCK OF US SURGICAL A
MEDICAL DEVICE MAKER ADDED 2 TO 33

RICHARD HOFFMAN CHIEF INVESTMENT STRATEGIST AT COWEN & CO SAID CLINTON'S
EXPECTED DIFFICULTIES IN CONGRESS OVER HEALTH CARE WERE AMONG THE REASONS
THAT COWEN ANALYSTS GAVE IN RECOMMENDING THAT INVESTORS INCREASE THEIR
HOLDINGS OF PHARMACEUTICAL AND BIOTECHNOLOGY STOCKS YESTERDAY

IN ADDITION MR HOFFMAN SAID THE BATTERING DRUG STOCKS SUSTAINED IN THE
FIRST QUARTER PUSHED THEM TO LEVELS THAT ARE ATTRACTIVE BASED ON COWEN'S
EXPECTATION THAT INDUSTRY PROFITS WILL GROW ABOUT 8 A YEAR IN THE
NEARTERM

MINNESOTA MINING & MANUFACTURING ALSO BUOYED THE MARKET THE STOCK CLIMBED 2
1/4 TO 113 1/2 THE ST PAUL MINN COMPANY POSTED FIRSTQUARTER EARNINGS
OF 151 A SHARE COMPARED WITH INCOME FROM OPERATIONS OF 140 LAST YEAR
AND ABOVE THE 146 MEAN ESTIMATE OF ANALYSTS SURVEYED BY INSTITUTIONAL
BROKERS ESTIMATE SYSTEM

PHIL RETTEW A MARKET SPECIALIST AT MERRILL LYNCH SAID TECHNICAL
CONSIDERATIONS MIGHT CONTINUE TO LIFT THE MARKET PERHAPS PUSHING THE DOW
JONES INDUSTRIAL AVERAGE THROUGH THE RECORD 347861 THAT IT SET TWO WEEKS
AGO BUT HE SAID THAT RALLY MIGHT NOT HOLD FOR LONG

THE LAY OF THE LAND IS THAT WE ARE LATE IN THE GAME AND WE HAVE BEEN LATE
IN THE GAME FOR A WHILE THE QUESTION IS HOW MANY EXTRA INNINGS CAN WE
PLAY MR RETTEW SAID

SULCUS COMPUTER JUMPED 1/2 TO 7 1/2 THE GREENSBURG PA MICROCOMPUTER
SYSTEMS COMPANY POSTED FIRSTQUARTER NET INCOME OF 11 CENTS A SHARE
COMPARED WITH INCOME FROM OPERATIONS OF SIX CENTS A YEAR EARLIER

LIBERTY CORP CLIMBED 1 1/4 TO 33 3/8 AFTER THE GREENVILLE SC INSURER
REPORTED EARNINGS FROM OPERATIONS OF 48 CENTS A SHARE UP FROM 42 CENTS FROM
OPERATIONS A YEAR EARLIER

SHARES OF TEJAS GAS BASED IN HOUSTON SURGED 4 3/8 TO 36 1/8 AFTER THE
COMPANY AGREED TO BUY MUCH OF EXXON'S NATURAL GAS PIPELINE SYSTEMS WITHIN
TEXAS AND LOUISIANA TERMS WEREN'T DISCLOSED EXXON ADDED 1/4 TO 66 1/4

PENN CENTRAL JUMPED 1 1/8 TO 27 1/2 IT REPORTED FIRSTQUARTER INCOME FROM
CONTINUING OPERATIONS OF 67 CENTS A SHARE COMPARED WITH EARNINGS FROM
CONTINUING OPERATIONS OF 22 CENTS LAST YEAR S&P REVISED ITS RATINGS OUTLOOK
ON THE CINCINNATI INSURANCE COMPANY TO STABLE FROM NEGATIVE

ROHM & HAAS TUMBLED 5 TO 55 1/4 AT ITS ANNUAL MEETING JOHN P MULRONEY
PRESIDENT OF THE PHILADELPHIA CHEMICAL COMPANY SAID THAT IF CURRENT
CONDITIONS PREVAIL 1993 EARNINGS EXCLUDING ONETIME ITEMS WILL NOT BE
MUCH DIFFERENT FROM THE 211 MILLION OR 3 A SHARE REPORTED BEFORE ITEMS
LAST YEAR

PRECIOUS METALS STOCKS WERE LOWER AS SPOT GOLD FELL IN NEW YORK HECLA
MINING FELL 1 3/8 TO 12 5/8 PEGASUS GOLD LOST 7/8 TO 17 7/8 NEWMONT MINING
FELL 1 5/8 TO 47 1/8 AND HOMESTAKE MINING SLIPPED 3/4 TO 15 3/8

NATIONALSTANDARD INCREASED 1 TO 7 AFTER IT REPORTED NET OF 11 CENTS A SHARE
FOR THE SECOND QUARTER ENDED MARCH 31 A YEAR EARLIER THE NILES MICH
WIRE MANUFACTURER HAD A LOSS OF 33 CENTS A SHARE

AIRLINES STOCKS CLIMBED AMR THE PARENT OF AMERICAN AIRLINES INCREASED 1
5/8 TO 68 3/4 DELTA AIR LINES ADDED 1 3/4 TO 59 7/8 AND UAL PARENT OF
UNITED AIRLINES JUMPED 1 1/4 TO 138 3/8

GENRAD ADDED 3/8 TO 4 1/2 THE CONCORD MASS ELECTRONIC SYSTEMS MAKER
RECORDED FIRSTQUARTER NET OF SEVEN CENTS A SHARE REVERSING A YEAREARLIER
LOSS OF 18 CENTS 9305040014 930504 BUSINESS BRIEF METALLGESELLSCHAFT
AG ACQUISITION BY TORONTO UNIT VOTED BY MINNOVA'S HOLDERS

MINNOVA INC SHAREHOLDERS APPROVED METALL MINING CORP'S PROPOSAL TO ACQUIRE
ALL THE MINNOVA SHARES IT DOESN'T ALREADY OWN IN A TRANSACTION VALUED AT
ABOUT 120 MILLION CANADIAN DOLLARS US94 MILLION

LAST YEAR METALL BOUGHT 504 OF MINNOVA FROM KERR ADDISON MINES LTD FOR
C1366 MILLION MINNOVA OF TORONTO IS A BASE AND PRECIOUSMETALS
PRODUCER METALL A TORONTO BASEMETALS CONCERN IS 686OWNED BY
METALLGESELLSCHAFT AG OF FRANKFURT

MORE THAN 99 OF THE MINORITY SHAREHOLDERS REPRESENTED AT MINNOVA'S ANNUAL
MEETING IN MONTREAL VOTED IN FAVOR OF THE TRANSACTION IN WHICH MINNOVA WILL
MERGE WITH A METALL SUBSIDIARY EFFECTIVE TOMORROW MINNOVA SHAREHOLDERS
WILL RECEIVE FOR EACH COMMON SHARE THEIR CHOICE OF 143 METALL COMMON
SHARES OR ONE METALL COMMON SHARE C4 CASH AND 05 WARRANT TO BUY METALL
COMMON SHARES 9305040013 930504 KEY INTEREST RATES

ANNUALIZED INTEREST RATES ON CERTAIN INVESTMENTS AS REPORTED BY THE FEDERAL
RESERVE BOARD ON A WEEKLYAVERAGE BASIS WEDNESDAY APRIL 23 1993 CYIELDS
ADJUSTED FOR CONSTANT MATURITY 9305040012 930504 INTERNATIONAL WORLD
WIRE  COMPILED BY RICHARD L HOLMAN

THE EUROPEAN COMMUNITY COMMISSION BACKED TRADE CONCESSIONS TO EASTERN EUROPE
TO HELP PREPARE FORMER COMMUNIST COUNTRIES FOR EVENTUAL EC MEMBERSHIP

IN A REPORT URGING CLOSER ECONOMIC AND POLITICAL TIES WITH FORMER EASTBLOC
STATES THE COMMISSION CALLED ON NEXT MONTH'S EC SUMMIT TO CONFIRM A
COMMITMENT TO THOSE COUNTRIES IF THEY MEET CONDITIONS ON DEMOCRACY AND
ECONOMIC REFORM

THE PROPOSALS WOULD HALVE TO 2 THE AVERAGE TARIFFS ON IMPORTS FROM
BULGARIA THE CZECH REPUBLIC HUNGARY POLAND ROMANIA AND SLOVAKIA OVER TWO
YEARS THE PLAN FACES OPPOSITION FROM SOME EC COUNTRIES THAT FEAR DAMAGE TO
THEIR OWN HARDPRESSED INDUSTRIES

AS THE ASIAN DEVELOPMENT BANK PREPARED FOR ITS ANNUAL MEETING TODAY IN
MANILA THE US WAS FAULTED FOR DELAYING CONSIDERATION OF AN ADB CAPITAL
BOOST BY REVIEWING MULTILATERAL AID POLICY THE INCREASE IN CAPITAL IS
BACKED BY JAPAN BRITAIN AND GERMANY AMONG THE 52 SHAREHOLDER GOVERNMENTS
AND IT ALARMED DELEGATES FROM ASIA BECAUSE THE US WITH ITS OWN BUDGET
PROBLEMS AND GLOBAL DEMANDS CAN'T EASILY JUSTIFY AID TO THE POLITICALLY
STABLE AND RAPIDLY GROWING REGION THE ADB WANTS TO DOUBLE AUTHORIZED SHARE
CAPITAL TO 46 BILLION OVER FOUR YEARS

KYRGYZSTAN'S PARLIAMENT VOTED TO ISSUE A NATIONAL CURRENCY THE SOM TO
REPLACE THE RUSSIAN RUBLE THE CENTRAL ASIAN REPUBLIC INTENDS TO BACK THE
SOM WITH HARDCURRENCY RESERVES THAT NOW TOTAL ABOUT 90 MILLION PART OF A
400 MILLION AID PACKAGE PROMISED BY WESTERN DONORS

PERU'S FIRSTQUARTER GROSS NATIONAL PRODUCT GREW 23 FROM A YEAR AGO LED
BY A 52 JUMP IN FISHING OUTPUT MINING ROSE 74 AND MANUFACTURING 43
BUT ANNUAL INFLATION WAS 175 PERU WANTS TO PERK UP THE ECONOMY FURTHER BY
SELLING 30 COMPANIES THIS YEAR IN A PLAN TO PRIVATIZE PERU'S 200
ENTERPRISES ALL CONSIDERED UNPROFITABLE AND OVERSTAFFED

BUCHAREST SUBWAY WORKERS STRUCK 12 HOURS FOR IMPROVED PAY AND WORKING
CONDITIONS HALTING SERVICE FOR A MILLION COMMUTERS IN ROMANIA'S CAPITAL 
 TOURISTS IN SPAIN IN THE FIRST QUARTER INCREASED 42 TO 84 MILLION
FROM A YEAR EARLIER 9305040011 930504 WESTINGHOUSE CONSOLIDATION

PITTSBURGH WESTINGHOUSE ELECTRIC CORP SAID IT COMPLETED THE MERGER OF
ITS WESTINGHOUSE FINANCIAL SERVICES INC UNIT INCLUDING WESTINGHOUSE CREDIT
CORP INTO THE PARENT COMPANY

THE UNIT WHICH IS BEING LIQUIDATED HAS BEEN THE SOURCE OF MORE THAN 5
BILLION IN CREDIT LOSSES OVER THE PAST TWO YEARS IT HAD OPERATED WITH
SEPARATE DEBT FINANCING GUARANTEED BY THE PARENT COMPANY 9305040010
930504 CRAMMING FOR THESE FINAL EXAMS COULD MAKE STUDENTS A BIT GIDDY 
 BY LAURA JERESKI STAFF REPORTER OF THE WALL STREET JOURNAL

TALK ABOUT SERIOUS DRINKING

AT 10 O'CLOCK THIS MORNING 20 NERVOUS PEOPLE WILL BE KICKING OFF A FOURDAY
WINEDRINKING BINGE THAT FEW OF THEM EXPECT TO ENJOY

THE GATHERING IN THE DRAKE HOTEL ON NEW YORK'S UPPER EAST SIDE BRINGS
TOGETHER AMERICAN CANDIDATES FOR THE MASTER'S DEGREE IN WINES OR MW
AWARDED BY THE INSTITUTE OF MASTERS OF WINE THE EXAM IS ALSO BEING GIVEN IN
LONDON HOME OF THE INSTITUTE AND IN SYDNEY AUSTRALIA HOPEFULS HAVE
ALREADY SPENT TWO YEARS STUDYING AND PUTTING TOGETHER A 5000WORD THESIS
NOW ALL THAT REMAINS ARE FIVE PAPERS AND THREE GRUELING TWOHOUR WINE
TASTINGS THE LATTER REQUIRE CANDIDATES TO IDENTIFY AND ANALYZE A VARIETY OF
WINES MOST OF WHICH COST 15 TO 20 A BOTTLE

THOSE BLIND TASTINGS TEND TO BE THE WATERLOO SAID ROGER BOHMRICH VICE
PRESIDENT AND DIRECTOR OF FINE WINES WITH WINE IMPORTERS FREDERICK WILDMAN &
SONS WHO WILL BE TRYING FOR THE SECOND TIME TO PASS THE TEST

SOME CANDIDATES CRAM FOR THE EXAM WITH DAILY BLIND TASTE TESTS MR BOHMRICH
RECKONED HE RECENTLY WENT THROUGH 12 BOTTLES A DAY MOST OF WHICH HE GAVE
AWAY OR POURED DOWN THE DRAIN AFTER A TASTE I WAS OVERFLOWING WITH WINE
HE SAYS

ONLY 174 PEOPLE WORLDWIDE HOLD THE MW DEGREE WHICH THE INSTITUTE
INAUGURATED 40 YEARS AGO UNTIL RECENTLY HOLDERS OF THE DEGREE HAVE BEEN
MOSTLY BRITISH ENGLAND HAS ALWAYS BEEN THE MOST BROADMINDED COUNTRY WHEN
IT COMES TO WINE DRINKING SAYS DAVID STEVENS CLASS OF 1961 THE DIRECTOR
OF THE INSTITUTE

THE FRENCH MIGHT DEMUR HOWEVER A LITTLE OF THE INSTITUTE'S ANGLOPHILIA IS
PERHAPS BECAUSE ITS SPONSORS INCLUDE BRITISH DISTILLERS ALLIEDLYONS PLC AND
INTERNATIONAL DISTILLERS & VINTNERS LTD AND AUSTRALIAN VINTNERS ROSEMOUNT
ESTATES PTY LTD WINES FROM ENGLISHSPEAKING COUNTRIES THE US NEW
ZEALAND AND AUSTRALIA ALSO TEND TO BE SLIGHTLY FAVORED OVER THE CLASSICS
IN THE TASTINGS

PRESTIGIOUS THOUGH IT IS THE COVETED DEGREE COMES AT A COST A 750 FEE FOR
THE PRELIMINARY QUALIFYING TEST AND THREEDAY TRIAL PLUS ANNUAL DUES OF
240 MATTHEW HANSEN A FORMER HEADHUNTER FOR LAWYERS AND NOW IN HIS SECOND
YEAR OF LAW SCHOOL WONDERS WHY ANYONE WOULD WANT THE DEGREE IT'S
EXPENSIVE ENOUGH TO GO OUT DRINKING HE SAYS WHY PAY ANYONE TO LEARN
HOW 9305040009 930504 FOREIGN STOCK AND BOND MARKETS LURED RECORD
LEVELS OF US INVESTMENT IN '92  BY MICHAEL R SESIT STAFF
REPORTER OF THE WALL STREET JOURNAL

LONDON AMERICAN INVESTORS' VORACIOUS APPETITE FOR OVERSEAS STOCKS AND
BONDS GREW TO RECORD LEVELS LAST YEAR AND MONEY MANAGERS PREDICT THE LOVE
AFFAIR WITH FOREIGN SECURITIES WILL CONTINUE

YOU ARE SEEING THE FIRST STEPS BY MANY AMERICAN INVESTORS WHO WERE
ESSENTIALLY COMING FROM HAVING LITTLE OR NO EXPOSURE IN FOREIGN STOCK AND
BOND MARKETS SAID GARY P BRINSON PRESIDENT AND MANAGING PARTNER OF
BRINSON PARTNERS INC A MONEYMANAGEMENT FIRM IN CHICAGO AND BECAUSE MANY
LARGE US PENSION AND OTHER FUNDS HAVE YET TO ALLOCATE MONEY TO FOREIGN
MARKETS HE PREDICTED THAT THERE'S CERTAINLY MORE OVERSEAS INVESTMENT TO
COME OVER THE NEXT COUPLE OF YEARS

IN 1992 US INVESTORS PURCHASED A NET 515 BILLION OF FOREIGN SECURITIES
UP 10 FROM A YEAR EARLIER ACCORDING TO THE SECURITIES INDUSTRY
ASSOCIATION OF THAT TOTAL 323 BILLION REPRESENTED STOCKS AND 192
BILLION BONDS

THE US INVESTMENT ABROAD REFLECTED THE CONTINUED DIVERSIFICATION OF US
PORTFOLIOS INTO FOREIGN STOCKS AND BONDS AT A TIME THE US STOCK MARKET
OFFERED RELATIVELY LOW RETURNS SAID DAVID STRONGIN THE SIA'S DIRECTOR OF
INTERNATIONAL FINANCE THAT OCCURRED EVEN THOUGH WHEN MEASURED IN DOLLARS
MAJOR FOREIGN STOCK MARKETS IN AGGREGATE UNDERPERFORMED THE US STOCK
MARKET LAST YEAR

ANOTHER EMERGING PATTERN OF US OVERSEAS INVESTMENT IS THE GROWING
PREFERENCE FOR STOCKS AMERICANS BOUGHT MORE BONDS THAN STOCKS IN NINE OF
THE 10 YEARS TO 1991 BUT AS THEIR ACQUISITIONS OF OVERSEAS SECURITIES
INCREASED OVER THE PAST TWO YEARS THEY HAVE CHOSEN STOCKS BY A WIDE MARGIN

THE BULK OF US OVERSEAS STOCK INVESTMENT IN 1992 NEARLY 18 BILLION 
WENT TO EUROPE THE BRITISH STOCK MARKET RECEIVED 113 BILLION OF THAT
MOST OF WHICH CAME AFTER BRITAIN PULLED THE POUND OUT OF EUROPE'S SEMIFIXED
EXCHANGERATE SYSTEM AND STARTED LOWERING DOMESTIC INTEREST RATES JAPAN WAS
US INVESTORS' SECOND FAVORITE FOREIGN MARKET FOLLOWED BY HONG KONG
MEXICO SWITZERLAND AND BRAZIL

THE INVESTMENTS IN THE HONG KONG MEXICAN AND BRAZILIAN STOCK MARKETS
REFLECT US INVESTORS' SEARCH FOR HIGHER RETURNS NOT AVAILABLE IN MORE
DEVELOPED MARKETS HONG KONG WHILE AN ESTABLISHED STOCK MARKET IS VIEWED
AS A PLAY ON CHINA'S BURGEONING ECONOMY MEXICO'S APPEAL IS THE PENDING
NORTH AMERICA FREE TRADE AGREEMENT AND BRAZIL HAS MADE IT EASIER FOR
FOREIGNERS TO INVEST

THE ONLY MAJOR STOCK MARKET IN THE WORLD IN WHICH AMERICANS WERE SELLERS WAS
CANADA

AT YEAREND US HOLDINGS OF FOREIGN STOCKS HAD RISEN TO 1971 BILLION
THAT MEANS THAT FROM 1979 THROUGH 1992 AMERICAN OWNERSHIP OF STOCK IN
OVERSEAS COMPANIES GREW AT A 21 COMPOUND ANNUAL GROWTH RATE DOUBLE THE
GROWTH OF THE ENTIRE US STOCK MARKET SAID MR STRONGIN

I WOULDN'T BE SURPRISED TO SEE US HOLDINGS OF FOREIGN SECURITIES GROW BY
ANOTHER 20 THIS YEAR SAID HAROLD SHARON A PORTFOLIO MANAGER AT WARBURG
PINCUS COUNSELLORS INC IN NEW YORK ONE REASON HE SAID IS THAT MORGAN
STANLEY CAPITAL INTERNATIONAL'S EUROPE AUSTRALASIA FAR EAST INDEX OF MAJOR
FOREIGN STOCK MARKETS HAS UNDERPERFORMED THE US STOCK MARKET FOR THE LAST
FOUR YEARS AND IS DUE TO CATCH UP

ANOTHER IS VALUE I CAN STILL FIND FOREIGN COMPANIES THAT YIELD IN EXCESS
OF 5 AND IN SOME CASES 10 AND SELL BELOW 10 TIMES EARNINGS HE
SAID WE'VE BEGUN TO RECOMMEND THAT SOME CLIENTS PUT UP TO 35 OF THEIR
EQUITY PORTFOLIO INTO FOREIGN STOCKS

MANY MONEY MANAGERS BELIEVE THAT CONTINENTAL EUROPEAN STOCK AND BOND MARKETS
SHOULD GET A LIFT FROM DECLINING INTEREST RATES THERE IN JAPAN LARGE
GOVERNMENT SPENDING PROGRAMS HAVE HELPED JAPANESE SHARES WHICH AT ONE
POINT LAST YEAR WERE OFF NEARLY 60 FROM THEIR 1989 RECORD HIGHS REGAIN
FAVOR AND SOME EMERGING STOCK MARKETS SHOULD CONTINUE TO BENEFIT FROM FAST
ECONOMIC GROWTH

JUST AS THE LURE OF FOREIGN STOCK AND BOND MARKETS IS DRAWING US
INVESTMENTS ABROAD IT'S ALSO KEEPING FOREIGN INVESTMENTS AWAY FROM THE US
OVERALL FOREIGN INVESTORS HAVE A SKEPTICAL VIEW OF US SECURITIES

THE US STOCK MARKET SEEMS TO BE QUITE EXPENSIVE SAID BERNARD DUFFY A
PORTFOLIO MANAGER AT COUNTY NATWEST INVESTMENT MANAGEMENT LTD IN LONDON
OTHER CONCERNS ARE THAT EARNINGS ESTIMATES FOR 1993 ARE COMING DOWN AND
THERE ARE SOME DISCONCERTING CHANGES AT THE SECTOR LEVEL SUCH AS A SLOWDOWN
IN THE GROWTH RATE OF CONSUMER STAPLES AND HEALTH CARE CONVINCED THAT US
INTEREST RATES HAVE BOTTOMED FOREIGN MONEY MANAGERS AREN'T OVERLY ATTRACTED
TO US BONDS EITHER

STILL A STRENGTHENING DOLLAR COULD EASILY PROVIDE A CATALYST FOR FOREIGNERS
TO GO INTO THE US THIS YEAR SAID MICHAEL PEARSON AN INVESTMENT DIRECTOR
AT SCOTTISH WIDOWS INVESTMENT MANAGEMENT LTD IN EDINBURGH WE EXPECT THE
DOLLAR TO APPRECIATE AGAINST EUROPEAN CURRENCIES AND THE POUND HE SAID A
STRONGER DOLLAR INCREASES THE VALUE OF EUROPEANS' US INVESTMENTS

NONETHELESS SCOTTISH WIDOWS' GLOBAL PORTFOLIOS ARE UNDERINVESTED IN US
STOCKS RELATIVE TO MAJOR INTERNATIONAL EQUITY INDEXES THERE ARE GENUINE
ANXIETIES SAID MR PEARSON CLINTON ISN'T BEING AS EFFECTIVE AS FIRST
THOUGHT IT'S POSSIBLE THE DEFICIT REDUCTION PACKAGE MIGHT FALL APART AND
THE HEALTH CARE REFORM PACKAGE COULD BE QUITE EXPENSIVE

LAST YEAR FOREIGNERS BOUGHT A NET 784 BILLION OF US CORPORATE AGENCY
AND TREASURY BONDS WHILE UNLOADING A NET 52 BILLION OF US STOCKS
COMPARED WITH EARLIER YEARS THEIR APPETITE FOR US SECURITIES WAS TEPID
UNTIL THE SEPTEMBER EUROPEAN CURRENCY CRISIS SENT THEM FLEEING TO US
STOCKS BONDS AND THE DOLLAR AS A HAVEN IN THE FIRST THREE QUARTERS THEY
PURCHASED A NET 386 BILLION WELL BELOW THE PACE OF THE MID TO LATE
1980S

BUT IN THE FOURTH QUARTER THEY INCREASED THEIR US STOCK AND BOND
PORTFOLIOS BY AN ADDITIONAL 346 BILLION PROMPTING THOSE PURCHASES WERE
PLUNGING WORLD STOCK MARKETS VOLATILE AND PLUMMETING EUROPEAN CURRENCIES
PLUS THE ELECTION OF A NEW US ADMINISTRATION EXPRESSING A STRONG DESIRE
FOR DEFICIT REDUCTION SAID MR STRONGIN OF THE SECURITIES INDUSTRY
ASSOCIATION

BY YEAR END PRIVATE INVESTORS ABROAD HAD ACQUIRED A RECORD 32 BILLION OF
US GOVERNMENT SECURITIES 183 BILLION IN NOVEMBER ALONE 9305040008
930504 DIVIDEND NEWS SYNOPTICS COMMUNICATIONS INC

SYNOPTICS COMMUNICATIONS INC SANTA CLARA CALIF DECLARED A 3FOR1 STOCK
SPLIT PAYABLE IN THE FORM OF A STOCK DIVIDEND SHAREHOLDERS OF RECORD ON
MAY 14 WILL RECEIVE TWO ADDITIONAL SHARES FOR EVERY SHARE HELD AFTER THE
SPLIT THE COMPANY WILL HAVE ABOUT 60 MILLION SHARES OUTSTANDING
9305040007 930504 COEUR D'ALENE AND CYPRUS DEAL

COEUR D'ALENE IDAHO COEUR D'ALENE MINES CORP SAID IT ACQUIRED FROM
CYPRUS MINERALS CO OF ENGLEWOOD COLO ALL THE STOCK OF CYPRUS' CYPRUS
GOLD NEW ZEALAND LTD UNIT WHOSE PRINCIPAL ASSET IS AN 80 INTEREST IN A
NEW ZEALAND MINE

THE MINING CONCERN DECLINED TO SAY HOW MUCH IT PAID IN THE CASH DEAL
9305040006 930504 UNION CAMP TO CLOSE DIVISION

WAYNE NJ UNION CAMP CORP SAID IT WILL DISCONTINUE OPERATIONS OF ITS
SCHOOL SUPPLIES AND STATIONERY DIVISION AND SELL THE EQUIPMENT AND INVENTORY
TO MEAD CORP THE PRICE WASN'T DISCLOSED

THE DECISION WHICH INVOLVES THE IMMEDIATE CLOSING OF THE DIVISION'S
MANUFACTURING FACILITIES IN BIRMINGHAM ALA FRANKLIN OHIO AND HOUSTON
WILL AFFECT ABOUT 280 EMPLOYEES

UNION CAMP MAKES LINERBOARD AND CORRUGATED CONTAINERS AS WELL AS UNCOATED
BUSINESS PAPERS CHEMICALS AND WOOD PRODUCTS MEAD BASED IN DAYTON OHIO
ALSO IS A PAPER PRODUCTS COMPANY AND HAS A DATA SERVICES SUBSIDIARY
9305040005 930504 BUSINESS BRIEF NORTH SIDE SAVINGS BANK FIRM HAS
NET LOSS CHANGES DIVIDEND FOR ITS 2ND QUARTER

NORTH SIDE SAVINGS BANK REPORTING A NET LOSS FOR ITS FISCAL SECOND QUARTER
SAID IT WILL SELL SOME REAL ESTATE AND REDUCE THE CARRYING VALUE OF ITS WEAK
REAL ESTATE LOANS

IT ALSO ANNOUNCED THAT IN LIEU OF A CASH DIVIDEND IT WOULD PAY A 5 STOCK
DIVIDEND TO SHAREHOLDERS PAYABLE JUNE 4 TO SHARES OF RECORD MAY 21 THE
QUARTERLY DIVIDEND HAD BEEN 10 CENTS A SHARE

THE NEWS OF THE LOSS AND CHANGED DIVIDEND SENT THE COMPANY'S SHARES DOWN 1
YESTERDAY TO 1550 A SHARE IN LATE TRADING ON THE NATIONAL
OVERTHECOUNTER MARKET

THE BANK IN FLORAL PARK NY SAID IT HAD A NET LOSS OF 235 MILLION OR
552 A SHARE IN THE QUARTER ENDED MARCH 31 COMPARED WITH A PROFIT OF 13
MILLION OR 30 CENTS A SHARE IN THE YEAREARLIER PERIOD

NONETHELESS THE BANK SAID ITS CAPITAL RATIOS EXCEED CURRENT REGULATORY
REQUIREMENTS AND IT CONTINUES TO MEET THE HIGHEST WELL CAPITALIZED
REGULATORY DEFINITION 9305040004 930504 TEXAS INSTRUMENTS WINS JOB

DALLAS TEXAS INSTRUMENTS INC SAID ITS DEFENSE GROUP RECEIVED A 44
MILLION CONTRACT TO DEVELOP A NEW TARGETING SYSTEM FOR THE US ARMY'S
TUBELAUNCHED OPTICALLY TRACKED WIREGUIDED MISSILE

UNDER A 40MONTH CONTRACT WITH THE US ARMY MISSILE COMMAND IN REDSTONE
ARSENAL ALA TEXAS INSTRUMENTS' DEFENSE SYSTEM AND ELECTRONICS GROUP IS
CHARGED WITH DEVELOPING AND TESTING A NEW TARGETING SYSTEM FOR THE ANTITANK
TOW MISSILE THE RESULT WILL BE A PROTOTYPE FOR EVENTUAL PRODUCTION THE NEW
SYSTEM WILL GUIDE THE INFANTRY MISSILES MORE EFFECTIVELY AT LONGER RANGE A
SPOKESMAN FOR THE DEFENSE AND ELECTRONICS CONCERN SAID 9305040003 930504
MONDAY'S MARKETS BONDS SURGE AS STOCKS ALSO GAIN  SIGNS OF
WEAKNESS IN ECONOMY PROPEL CREDIT MARKET RALLY  BY STEVEN E
LEVINGSTON STAFF REPORTER OF THE WALL STREET JOURNAL

SIGNS OF A WEAKENING ECONOMY SPARKED A SHARP JUMP IN BOND PRICES STOCK
INVESTORS MANAGED TO OVERCOME WORRIES ABOUT THE ECONOMY TO PUSH STOCK PRICES
HIGHER IN A LATE RALLY THE DOLLAR SLIPPED

THE TREASURY'S BENCHMARK 30YEAR ISSUE JUMPED MORE THAN 7/8 OF A POINT OR
MORE THAN 875 FOR EACH 1000 FACE AMOUNT THE YIELD TUMBLED TO 685 FROM
692 FRIDAY

THE DOW JONES INDUSTRIAL AVERAGE CLIMBED 1891 POINTS TO 344646 STANDARD &
POOR'S 500STOCK INDEX ROSE 227 TO 44246 AND THE NASDAQ COMPOSITE INDEX
GAINED 529 TO 66671

BOND PRICES SURGED IN EARLY TRADING AFTER THE NATIONAL ASSOCIATION OF
PURCHASING MANAGERS REPORTED THAT ITS INDEX SLIPPED BELOW 50 IN APRIL FOR
THE FIRST TIME SINCE SEPTEMBER 1992 THE INDEX WHICH MEASURES MANUFACTURING
ACTIVITY SUGGESTS THE ECONOMY IS SLOWING ANALYSTS SAID

THE BOND RALLY IN TURN TRIGGERED A SPURT OF COMPUTERDRIVEN STOCK
PURCHASES LATE IN THE DAY TRADERS BUYING SHARES TO COVER PREVIOUS BETS THAT
PRICES WOULD FALL ADDED TO THE UPWARD MOMENTUM IN STOCK PRICES

DESPITE THE STOCK MARKET'S LATE RALLY ANALYSTS REMAINED SKEPTICAL ABOUT
FURTHER GAINS IN STOCK PRICES I'M NOT OVERLY OPTIMISTIC ABOUT THIS MOVE
TODAY MONDAY SAID JACK BAKER MANAGING DIRECTOR FOR STOCK TRADING AT
FURMAN SELZ

ANALYSTS SAID THEY WERE CONCERNED ABOUT THE POSSIBILITY OF A FURTHER
SLOWDOWN IN THE ECONOMY JOSEPH BATTIPAGLIA SENIOR INVESTMENT STRATEGIST AT
GRUNTAL & CO SAID HE DOESN'T EXPECT THE ECONOMY TO RETREAT INTO RECESSION
BUT HE ADDED THAT MORE VIBRANT GROWTH IS NEEDED AT THIS STAGE OF THE
RECOVERY

THE PURCHASING MANAGERS' REPORT CALLS INTO QUESTION HOW ROBUST THE
EXPANSION WILL BE IN THE MONTHS AHEAD MR BATTIPAGLIA SAID

WORLDWIDE STOCK PRICES ROSE IN DOLLAR TERMS THE DOW JONES WORLD STOCK
INDEX GAINED 032 TO 10589

IN MAJOR MARKET ACTION

STOCK PRICES ROSE VOLUME TOTALED 2208 MILLION SHARES ON THE NEW YORK STOCK
EXCHANGE WHERE 1099 ISSUES ROSE AND 790 FELL

BOND PRICES SURGED SHORTERTERM BONDS RALLIED WITH THE TREASURY'S 10YEAR
ISSUE GAINING MORE THAN HALF A POINT OR MORE THAN 5 FOR EACH 1000 FACE
AMOUNT TO YIELD 593

THE DOLLAR FELL IN LATE NEW YORK TRADING THE CURRENCY WAS QUOTED AT 15793
MARKS AND 11073 YEN COMPARED WITH 15850 MARKS AND 11115 YEN FRIDAY
9305040002 930504 REVIEW & OUTLOOK EDITORIAL INDUSTRIAL POLICY TAKES
OFF

THE CLINTON PEOPLE MAY NOT KNOW WHERE THEY'RE GOING BUT THEY SURE KNOW HOW
TO GET THERE JUST STICK AS MANY LOBBYISTS IN A ROOM AS YOU CAN FIT AND LET
THEM HAMMER IT OUT THIS SEEMS TO BE THE FORMULA BEHIND THE NEW COMMISSION
THAT'S SUPPOSED TO FIX WHATEVER AILS THE AIRLINES AND NOW WE HEAR IT WILL
BE APPLIED TO THE AUTO INDUSTRY NEXT IF THIS IS A TEST DRIVE OF THE
CLINTONITE APPROACH TO INDUSTRIAL POLICY THE AUGURIES AREN'T GOOD

CONGRESS ACTUALLY AUTHORIZED THE AIRLINE COMMISSION LAST YEAR BUT AT THE
WHITE HOUSE'S SUGGESTION IT PASSED A BILL IN APRIL EXPANDING THE MEMBERSHIP
FROM 7 TO 26 15 VOTING 11 NONVOTING THIS IS SUPPOSED TO SPARK MORE
CREATIVE IDEAS ACCORDING TO TRANSPORTATION SECRETARY FEDERICO PENA

WHAT IT REALLY SET OFF WAS A FRENZY ON CAPITOL HILL AS EVERYBODY AND HIS
MOTHER TRIED TO GET HIS MAN IN PLACE AFTER RUNNING THE GANTLET OF THE WHITE
HOUSE'S DIVERSITY POLICE THE COMMISSION WAS FINALLY NAMED LAST WEEK IT'S
GOT SOMETHING FOR ALMOST EVERYBODY

RANDY BABBITT OF THE PILOTS' UNION AND JOHN PETERPAUL OF THE MACHINISTS WERE
PIPED ABOARD TO PLEASE THE UNIONS AND THE HOUSE LEADERSHIP THEY'LL TAKE
TURNS BEATING THE DRUMS FOR RESURRECTING THE CAB AND CLOSING THE US MARKET
TO FOREIGN CARRIERS AN AIRPORT LOBBYIST WAS APPOINTED TO FIGHT ANY URGE TO
ROLL BACK THE AIRPORT HEAD TAX RUSSELL MEYER OF CESSNA WILL SPEAK UP FOR
LITTLE AIRPLANES SENATOR JAMES EXON OF NEBRASKA WILL COMPLAIN ABOUT THE WAY
AIRLINES FLY PAST RURAL STATES

TO LOOK OUT FOR THE BIG PLANE MAKERS A VIRTUAL MOB HAS BEEN ORGANIZED
INDEED CYNICS IN THE AIRLINE CAMP MOAN THAT NOBODY WAS EVEN TAKING THEIR
PLIGHT SERIOUSLY UNTIL BOEING STARTED LAYING PEOPLE OFF

OF THE 10 CONGRESSIONAL TYPES WHO WILL BE HANGING AROUND EX OFFICIO FIVE
HAIL FROM MISSOURI OR WASHINGTON HOME STATES OF MCDONNELL DOUGLAS AND
BOEING RESPECTIVELY THIS CREW INCLUDES HOUSE MAJORITY LEADER DICK GEPHARDT
AND A PASSEL OF SENATORS WHITE HOUSE ECONOMIC ADVISER LAURA TYSON ANOTHER
NONVOTING MEMBER HAS WRITTEN A BOOK PREACHING THE STRATEGIC NATURE OF THE
AIRPLANE BUSINESS AND CALLING FOR SUBSIDIES AND ROBERT DANIELL OF UNITED
TECHNOLOGIES A VOTING MEMBER MAKES HIS LIVING BUILDING JET ENGINES FOR THE
BIG TWO

SOMEWHERE BURIED IN THE COMMISSION'S TITLE IS THE IDEA OF A STRONG
COMPETITIVE AIRLINE INDUSTRY AFTER MUCH HARRUMPHING ABOUT THE DANGER OF
THE WHOLE THING DEGENERATING INTO A SPECIAL INTEREST FIASCO THE WHITE HOUSE
DECIDED TO THROW CAUTION TO THE WINDS AND ACTUALLY INCLUDE SOMEBODY WHO RUNS
AN AIRLINE THE CHOICE WAS HERB KELLEHER OF SOUTHWEST AIRLINES

THE CARRIERS AS USUAL ARE DIVIDED THOUGH ONLY OVER WHAT FORM THEIR
WISHEDFOR TAXPAYER SUBSIDIES SHOULD TAKE NORTHWEST'S JOHN DASBURG HAS
PERSONALLY PITCHED BILL CLINTON ON THE IDEA OF USING MONEY FROM UNCLE SAM'S
AVIATION TRUST FUND TO MAKE UP THE INDUSTRY'S OPERATING LOSSES BUT WE'D PUT
OUR CHIPS ON THE ALTERNATIVE PUSHED BY CONTINENTAL AND AMERICAN AIRLINES
BOTH BASED IN TEXAS A STATE CONSIDERED TO HAVE SOME BEARING ON MR
CLINTON'S REELECTION PROSPECTS

THE IDEA ALREADY EMBODIED IN BILLS FLOATING AROUND CONGRESS IS
CHRYSLERSTYLE LOAN GUARANTEES THESE WOULD BE USED TO BUY NEW AIRPLANES
THUS PLEASING THE AIRCRAFT MAKERS OF COURSE IT'LL SOUND FUNNY COMING FROM
AN ADMINISTRATION THAT'S JUST BEEN BEATING UP THE EUROPEANS OVER AIRCRAFT
SUBSIDIES ON TOP OF THIS RECIPIENTS WOULD BE OBLIGED TO RETIRE SOME OF
THEIR NOISY OLD PLANES THAT THE NEIGHBORS AND ENVIRONMENTALISTS DON'T LIKE

ALL THIS MAKES A TEXTBOOK EXAMPLE OF INDUSTRIAL POLICY SINCE IT PUSHES A
LOT OF POLITICAL BUTTONS BUT WOULDN'T SOLVE ANY OF THE INDUSTRY'S REAL
PROBLEMS

WITH SOME OF THE BESTCONNECTED CARRIERS ABLE TO SEEK THE PROTECTION OF
BANKRUPTCY JUDGES YOU CAN'T EXPECT ANY SERIOUS ATTACK ON THE EXCESSES OF A
BANKRUPTCY SYSTEM THAT FLOODS THE SKIES WITH ARTIFICIALLY CHEAPENED SEATS
AND WITH BIG GOVERNMENT BACK IN FASHION THE AIRLINES HAVE GIVEN UP ANY HOPE
OF SPRINGING THE AIR TRAFFIC CONTROL SYSTEM FROM THE FIVETHUMBED MITTS OF
THE FAA DELAYS COST THE CARRIERS A FORTUNE IN WASTED TIME AND FUEL YET THE
FAA'S COMPUTER UPGRADE IS HOPELESSLY BOGGED DOWN IN THE BUREAUCRACY

WASHINGTON HAS PILED PLENTY OF OTHER BURDENS ON THE AIRLINES IN 1990 IT
JACKED UP THE TICKET AND CARGO TAXES BY 25 TAKING 1 BILLION A YEAR OUT OF
THE INDUSTRY'S POCKETS CARRIERS PUT UP WITH AN ENDLESS STREAM OF SAFETY
RULES WHOSE BENEFITS ARE NEVER WEIGHED AGAINST THE COST SOON THEY MAY HAVE
TO RETROFIT THEIR PLANES WITH MISTING SYSTEMS THAT WOULD BUY AT MOST A FEW
EXTRA SECONDS IN A FIRE PROJECTED COST 11 BILLION NOT COUNTING THE TON
AND HALF OF PASSENGERS OR CARGO THAT WOULD BE DISPLACED FROM SAY A TYPICAL
747 ANYBODY THINK THE CLINTONITES WILL STAND UP TO OPPOSE THIS KIND OF
REGULATORY UTOPIANISM

SINCE TIME IMMEMORIAL THE PROBLEM WITH INDUSTRIAL POLICY HAS BEEN THAT
POLITICS TAKES OVER AND ECONOMICS GOES OUT THE WINDOW THEIR HUNDRED DAYS
ARE BARELY UP AND THE CLINTON FOLKS ARE ALREADY PROVING THIS ALL OVER AGAIN
WITH THE AIRLINE COMMISSION 9305040001 930504 LEISURE & ARTS 
BOOKSHELF IMAGES OF EAST GERMANY  BY LEE LESCAZE

ONE OF CHRISTA WOLF'S CHARACTERS A WRITER NOTICES THAT THREE SECURITY MEN
ARE PARKED OUTSIDE HER APARTMENT BUILDING CLEARLY KEEPING HER UNDER
SURVEILLANCE HER FIRST IMPULSE IS TO TAKE THESE OBVIOUS STASI AGENTS SOME
TEA SHE LATER GENTLY CRITICIZES HERSELF FOR NOT MAKING THAT WELCOMING
SOCIAL GESTURE

IN THIS TANGLE OF EMOTIONS IS A SCALE MODEL OF THE LIFE MS WOLF LED IN EAST
GERMANY SHE WAS WIDELY THOUGHT OF IN THE WEST AS A DISSIDENT BUT SHE WAS A
COMMUNIST PARTY MEMBER ACTIVE IN THE WRITERS' UNION AND GIVEN CONSIDERABLE
PRIVILEGES BY THE STATE

AFTER 1969 THE STASI SHADOWED HER AND IN THE LATE '70S SHE CONSIDERED
GOING INTO EXILE BUT MS WOLF LIKED EVEN LOVED EAST GERMANY NEITHER THE
STASI NOR THE OTHER HEAVYHANDED ACTIVITIES OF A REGIME THAT CARED NOTHING
FOR TRUTH OR LITERATURE EVER COMPLETELY ERADICATED HER YOUTHFUL BELIEF THAT
COMMUNISM WAS A NECESSARY SYSTEM TO PURGE ALL TRACES OF THE NAZIS FROM
GERMAN SOCIETY

THERE WAS ALSO AS SHE REVEALED IN JANUARY THE FACT THAT FROM 1959 TO 1962
MS WOLF HAD HERSELF BEEN AN INFORMAL COLLABORATOR FOR THE STASI

THAT DISCLOSURE SET OFF A HURRICANE OF CRITICISM THAT PRETTY WELL LEVELED
MS WOLF'S REPUTATION IN GERMANY A REPUTATION THAT HAD ALREADY BEEN DAMAGED
BY REALIZATIONS THAT SHE HAD BEEN LESS DISSIDENT THAN MANY ADMIRERS HAD
BELIEVED

FARRAR STRAUS & GIROUX NOW MAKES IT EASY FOR AMERICAN READERS TO EXAMINE
SELECTIONS FROM MS WOLF'S FICTION AND ESSAYS AGAINST OUR NEW KNOWLEDGE OF
HER LIFE WHAT REMAINS AND OTHER STORIES 295 PAGES 25 AND THE
AUTHOR'S DIMENSION 336 PAGES 2750 BOTH CONTAIN WORKS WRITTEN AS EARLY
AS THE '60S AND AS LATE AS THE '90S

ALREADY THERE IS A MUSTY QUALITY TO MUCH OF THIS WORK MS WOLF IN BOTH HER
ESSAYS AND SHORT FICTION CHOSE HER WORDS AND SCENES WITH A CAREFUL EYE
CONTROL NOT PASSION DOMINATES THESE TEXTS SUCH CONTROL HINTING THAT A
CAREFUL READER WILL SEE BETWEEN THE LINES DEEPER SIGNIFICANCES THAN FLOAT ON
THE SURFACE IS NOT A FRIEND OF GOOD WRITING

NOR OF CLEAR THINKING

THE FINAL ESSAY IN THE AUTHOR'S DIMENSION WAS WRITTEN FOLLOWING THE FALL
OF THE BERLIN WALL AND THE REUNIFICATION OF GERMANY MS WOLF TOGETHER WITH
HER COMMUNIST PARTY COLLEAGUES OPPOSED REUNIFICATION UP TO THE LAST MINUTE
THEY READILY DENOUNCED THE HARSHEST ASPECTS OF THE DISGRACED EAST GERMAN
STATE UNDER ERICH HONECKER BUT ARGUED THAT IT WAS IMPORTANT TO PRESERVE A
SEPARATE EAST GERMANY THAT WOULD HENCEFORTH BE RULED BY A MORE HUMANE
SOCIALISM

I CONSIDER THAT DANGEROUS NONSENSE MS WOLF SAID OF REUNIFICATION IN AN
OCTOBER 1989 INTERVIEW REPRINTED IN THIS COLLECTION AN AFTERWORD CALLS MOST
OF THE TEXTS GATHERED IN THE AUTHOR'S DIMENSION ALREADY OBSOLETE THIS
DOESN'T APPLY TO HER LITERARY ESSAYS ON INGEBORG BACHMANN THOMAS MANN MAX
FRISCH AND OTHERS BUT THE GREATER PART OF THE COLLECTION IS ABOUT A PLACE
AND MANNER OF THINKING THAT HAS DISAPPEARED HISTORIANS CERTAINLY WILL FIND
MS WOLF'S ARTICLES OF INTEREST I DOUBT THEY WILL BE MUCH READ BY OTHERS

ON THE OTHER HAND IT WAS HER FICTION PARTICULARLY HER NOVELS THE QUEST
FOR CHRISTA T AND ACCIDENT WHICH MADE MS WOLF'S SIZABLE
INTERNATIONAL REPUTATION BUT WHAT REMAINS AND OTHER STORIES IS
DISAPPOINTING BY COMPARISON WITH HER BEST WORK THESE STORIES HAVE LOST
THEIR CONTEXT WITH THE DISAPPEARANCE OF EAST GERMANY THEY ARE MOSTLY
SELFABSORBED PORTRAYALS OF THE DAILINESS OF LIFE MS WOLF SETS BEFORE US A
GENERALLY DRAB QUIET SERIES OF SCENES DREAMS ARE MORE ACTIVE THAN REALITY
OF COURSE IT GOES WITHOUT SAYING THAT DREAM THOUGHTS ARE SAFER THAN REAL
THOUGHTS IN A TOTALITARIAN STATE

THE MOST INTERESTING STORIES ARE THE FIRST EXCHANGING GLANCES AND THE
LAST WHAT REMAINS

EXCHANGING GLANCES DESCRIBES THE WAY WORLD WAR II ENDED FOR A YOUNG GIRL
ABOUT THE AGE OF MS WOLF WHO WAS BORN IN 1929 A CARAVAN OF REFUGEES ARE
FLEEING THE FIGHTING UNDER MISERABLE CONDITIONS THE DESPERATION AND
SUFFERING OF THE REFUGEES IS QUIETLY AND SKILLFULLY DRAWN FINALLY THEY
STUMBLE INTO AMERICAN TROOPS AND ARE LIBERATED FROM THEIR WOEFUL TRAVELS
THE YOUNG GIRL'S HATRED FOR THE NAZIS REGISTERS CLEARLY BUT THE LIBERATORS
LEAVE SOMETHING TO BE DESIRED THEMSELVES AS THE STORY ENDS A US SERGEANT
IS HEADING FOR A FARMHOUSE WITH A SQUEALING GERMAN WOMAN HANGING ON EACH
ARM

WHAT REMAINS WAS CONTROVERSIAL WHEN MS WOLF PUBLISHED IT IN 1990 IT WAS
WRITTEN IN 1979 AND MS WOLF SAYS REVISED ONLY SLIGHTLY IN THE INTERVENING
YEARS WHY DID SHE WAIT WHAT REMAINS PAINTS THE STATE AS THE ENEMY OF THE
ARTIST STASI INTERFERENCE IS EVERYWHERE FROM THE MEN WATCHING THE WRITER'S
APARTMENT TO THE THEATER WHERE SHE READS FROM HER WORK

THE STORY COMING FROM A WRITER OF MS WOLF'S STATURE CERTAINLY WOULD HAVE
INJURED THE STATE'S REPUTATION HAD IT BEEN PUBLISHED WHEN IT WAS WRITTEN IT
PORTRAYS A REPRESSIVE SOCIETY IN WHICH IT IS DIFFICULT EVEN DANGEROUS FOR
A CITIZEN TO BEHAVE DECENTLY TOWARD HIS FELLOW MAN

THE STASI FILES OPENED SINCE THE BERLIN WALL CAME DOWN HAVE MADE CLEAR THAT
HUGE NUMBERS OF EAST GERMANS FAILED TO BEHAVE DECENTLY 9305040125 930430
POLITICS & POLICY CLINTON'S REQUEST FOR S&L BAILOUT FUNDS IS SLICED BY
12 BILLION BY HOUSE PANEL  BY ALBERT R KARR AND GREG HITT STAFF
REPORTERS OF THE WALL STREET JOURNAL

WASHINGTON THE HOUSE FINANCIAL INSTITUTIONS SUBCOMMITTEE SEEKING TO
SOFTEN THE POLITICAL IMPACT OF CONTINUING THE LONGRUNNING SAVINGSANDLOAN
BAILOUT TRIMMED ABOUT 12 BILLION FROM THE CLINTON ADMINISTRATION'S REQUEST
FOR FUNDING TO FINISH THE S&L RESCUE

THE PANEL AUTHORIZED 303 BILLION TO HANDLE REMAINING LOSSES IN FAILED
THRIFT INSTITUTIONS BY COVERING CUSTOMER DEPOSITS ADMINISTRATION OFFICIALS
RELUCTANTLY ACQUIESCED TO THE REDUCED AMOUNT THEY SAID THEIR PROPOSALS HAVE
ALWAYS CONTAINED A CUSHION OF ABOUT 13 BILLION TO AVOID HAVING TO SEEK
MORE FUNDING

THE MEASURE MUST STILL BE CONSIDERED BY THE FULL HOUSE BANKING COMMITTEE
BEFORE THE ENTIRE HOUSE VOTES ON IT THE SENATE BANKING COMMITTEE EARLIER
APPROVED 45 BILLION IN NEW S&L FUNDING THE AMOUNT ORIGINALLY REQUESTED BY
THE ADMINISTRATION THE ADMINISTRATION HAS SINCE REDUCED ITS REQUEST TO 42
BILLION

THE HOUSE SUBCOMMITTEE APPROVED THE S&L BILL BY VOICE VOTE AVOIDING A
RECORDED VOTE THAT COULD PROVOKE POLITICALLY EMBARRASSING CHARGES THAT ANY
SPECIFIC MEMBER ENDORSED A CONTINUED BAILOUT FOR THE THRIFT INDUSTRY THE
ACTION CAME AFTER LEADERS OF THE BANKING COMMITTEE RECEIVED NEW LOWER COST
ESTIMATES FROM CONGRESS'S GENERAL ACCOUNTING OFFICE OF BETWEEN 7 BILLION
AND 17 BILLION FOR THE FIRST CHUNK OF WINDING UP THE BAILOUT

THAT SEGMENT REFLECTED THE AMOUNT THE RESOLUTION TRUST CORP THE
GOVERNMENT'S S&L CLEANUP AGENCY WOULD NEED SO THE SUBCOMMITTEE ALSO BY
VOICE VOTE APPROVED AN AMENDMENT TO CUT LOOSE 183 BILLION OF PREVIOUSLY
APPROPRIATED MONEY A YEAR AGO THE HOUSE REJECTED A SIMILAR ATTEMPT TO FREE
THAT AMOUNT WHICH HAD BEEN APPROPRIATED BUT WHICH THE RTC WASN'T ALLOWED TO
SPEND AFTER APRIL 1 1992

I'VE BEEN LOOKING FOR WAYS TO ELIMINATE THE S&L FUNDING OR REDUCE THE
FUNDING WHEREVER POSSIBLE SAID REP HERB KLEIN D NJ WHO OFFERED THE
AMENDMENT

RELEASING THE 183 BILLION SAVES US A LOT OF TROUBLE A LOT OF PROBLEMS
SAID REP FLOYD FLAKE D NY

THE PANEL ALSO APPROVED 1811 AN AMENDMENT BY REP MAURICE HINCHEY D
NY FOR 12 BILLION TO BE USED BY THE FEDERAL DEPOSIT INSURANCE CORP'S
SAVINGS ASSOCIATION INSURANCE FUND WHEN THE RTC'S AUTHORITY TO TAKE OVER
FAILED S&LS EXPIRES ON SEPT 30

THE DEMOCRATIC MAJORITY POINTEDLY PICKED MESSRS KLEIN AND HINCHEY BOTH
FRESHMEN TO OFFER THE FUNDING PROPOSALS THEY DID SO APPARENTLY TO BLUNT
CONCERNS BY FRESHMAN HOUSE MEMBERS ABOUT VOTING FOR NEW S&L BAILOUT MONEY
AFTER MANY OF THEM HAD CAMPAIGNED FOR ELECTION AGAINST SUCH CONGRESSIONAL
LARGESSE

THE SAIF FUNDING MOVE HEADED OFF AN ATTEMPT BY IOWA REP JAMES LEACH THE
RANKING REPUBLICAN ON THE BANKING COMMITTEE TO DENY ANY NEW SAIF MONEY ON
GROUNDS THAT THE FDIC FUND COULD SURVIVE ON MONEY FROM THE THRIFT INDUSTRY
ALONE SUBCOMMITTEE MEMBERS SAID THEY BELIEVE THE 12 BILLION WILL BE AMPLE
AND THAT THE SAIF CAN COVER ANY THRIFT LOSSES WITHOUT NEW INCREASES IN S&L
INSURANCE PREMIUMS