FORMER GRUMMAN CORP CHAIRMAN JOHN O'BRIEN WAS FINED 10000 BUT RECEIVED NO PRISON SENTENCE DESPITE FEDERAL PROSECUTORS' ASSERTIONS THAT EXTENSIVE PERSONAL AND CORPORATE CORRUPTION TAINTED HIS LEADERSHIP OF THE COMPANY MR O'BRIEN WHO RESIGNED FROM THE DEFENSE CONTRACTOR IN 1990 IN THE WAKE OF A NATIONWIDE PENTAGON PROCUREMENT SCANDAL PLEADED GUILTY IN NOVEMBER TO FILING FALSE PERSONALLOAN APPLICATIONS THE SENTENCING WAS HELD YESTERDAY IN FEDERAL COURT IN UNIONDALE NY FEDERAL PROSECUTORS SUBMITTED A 30PAGE MEMO AND FILED OTHER COURT DOCUMENTS IN AN UNSUCCESSFUL EFFORT TO CONVINCE JUDGE JACOB MISHLER TO IMPOSE A TOUGHER SENTENCE ACCORDING TO THE COURT PAPERS MR O'BRIEN IS ALLEGED TO HAVE SYSTEMATICALLY CORRUPTED THE COMPANY'S PURCHASING SYSTEM ACCEPTED MORE THAN 600000 IN SECRET LOANS FROM ONE FAVORED SUBCONTRACTOR AND REPEATEDLY LIED TO GRUMMAN'S BOARD ABOUT HIS ILLICIT FINANCIAL DEALINGS MR O'BRIEN COULDN'T BE REACHED FOR COMMENT PROSECUTORS URGED THE COURT TO CONSIDER WHAT THEY CALLED MR O'BRIEN'S OVERALL PATTERN OF ILLICIT BEHAVIOR IN DETERMINING AN APPROPRIATE SENTENCE BUT SINCE MR O'BRIEN'S EARLIER GUILTY PLEA RELATED ONLY TO NARROW CHARGES THAT HE SUBMITTED FALSE INFORMATION ON PERSONAL LOAN APPLICATIONS JUDGE MISHLER DETERMINED THAT INCARCERATION WASN'T NECESSARY YESTERDAY'S DEVELOPMENTS HOWEVER ARE LIKELY TO INCREASE PRESSURE ON GRUMMAN TO RESOLVE ITS ROLE IN THE LONGRUNNING INVESTIGATION DUBBED OPERATION ILL WIND AS PREVIOUSLY REPORTED GRUMMAN HAS AGREED IN PRINCIPLE TO PAY THE GOVERNMENT ABOUT 20 MILLION THOUGH PERSONS CLOSE TO THE TALKS SAID THE COMPANY HAS BEEN COOPERATING WITH THE JUSTICE DEPARTMENT AND THEREFORE PROBABLY WON'T BE REQUIRED TO PLEAD GUILTY TO ANY FELONY CHARGES AN ANNOUNCEMENT COULD COME LATER THIS MONTH A COMPANY SPOKESMAN DECLINED TO COMMENT THE ALLEGATIONS MADE BY THE GOVERNMENT CAP A SIXYEAR ONAGAIN OFFAGAIN CRIMINAL INVESTIGATION OF GRUMMAN MR O'BRIEN AND HIS FORMER CONFIDANT DECEASED LONG ISLAND BUSINESSMAN AND POLITICAL LOBBYIST JAMES KANE PROSECUTORS FOR EXAMPLE ASSERTED IN THEIR FILINGS THAT MR O'BRIEN INTIMIDATED SUPPLIERS INTO CONTRIBUTING TO HIS POLITICAL ALLIES AND THAT HE WAS OVERHEARD ON WIRETAPS TALKING WITH MR KANE ABOUT WAYS TO TRY TO HIDE THE SOURCE OF CAMPAIGN CONTRIBUTIONS TO PRESIDENTIAL CANDIDATE MICHAEL DUKAKIS IN 1988 WHILE HE WAS CHAIRMAN ACCORDING TO THE PROSECUTORS MR O'BRIEN ALSO ATTEMPTED TO STEER GRUMMAN BUSINESS TO AN INVESTMENT COMPANY FORMED BY THOMAS P O'NEILL III A FORMER LIEUTENANT GOVERNOR OF MASSACHUSETTS AND THE SON OF FORMER HOUSE SPEAKER TIP O'NEILL THE DOCUMENTS DON'T ACCUSE MR DUKAKIS OR ANY MEMBER OF THE O'NEILL FAMILY OF WRONGDOING AND PROSECUTORS AREN'T EXPECTED TO PURSUE CRIMINAL CASES AGAINST ANY LAWMAKERS OR POLITICIANS BASED ON THE NEWLY RELEASED INFORMATION STILL THE PAPERS FOR THE FIRST TIME SPELL OUT THE EXTENT OF THE WRONGDOING INVESTIGATORS CLAIM TO HAVE UNCOVERED PROSECUTORS SAID FOR EXAMPLE THAT WHILE MR O'BRIEN WAS CHAIRMAN HE AND MR KANE SOUGHT TO GAIN POLITICAL INFLUENCE WITH KEY MEMBERS OF CONGRESS BY COLLECTING CAMPAIGN FUNDS FROM VARIOUS GRUMMAN VENDORS ON THEIR BEHALF AND OFFERING COLLEGE SCHOLARSHIPS TO THE CHILDREN OF LAWMAKERS AND CONGRESSIONAL AIDES 9304150068 930415 BUSINESS BRIEFS TANDEM COMPUTERS INC FORMED A SUBSIDIARY IN BUDAPEST HUNGARY TO SERVE CENTRAL AND EASTERN EUROPEAN CUSTOMERS HILLHAVEN CORP AGREED TO SELL 13 NURSING CENTERS IN MASSACHUSETTS TERMS OF THE CASH SALE WEREN'T DISCLOSED OXFORD HEALTH PLANS SIGNED AN AGREEMENT TO OFFER HEALTH BENEFITS TO ABOUT 10000 EMPLOYEES AT COLUMBIA UNIVERSITY AND COLUMBIA PRESBYTERIAN MEDICAL CENTER IN NEW YORK IN ADDITION MORE THAN 650 PHYSICIANS AT COLUMBIA PRESBYTERIAN AGREED TO AFFILIATE WITH OXFORD HEALTH AS HEALTHCARE PROVIDERS DNA PLANT TECHNOLOGY CORP INTRODUCED A NEW VARIETY OF TOMATO THAT RIPENS NATURALLY DURING TRANSPORT TO GROCERS AND HAS A LONGER SHELF LIFE MAGMA POWER CO WAS SELECTED BY THE PHILIPPINES NATIONAL OIL CO TO BUILD AND OPERATE A 70MEGAWATT GEOTHERMAL POWER PLANT ON THE ISLAND OF LEYTE TERMS WEREN'T DISCLOSED 9304150067 930415 TECHNOLOGY & HEALTH MENTOR SET TO STOP MAKING IMPLANTS PAY 24 MILLION BY RHONDA L RUNDLE STAFF REPORTER OF THE WALL STREET JOURNAL MENTOR CORP AGREED TO PAY 24 MILLION AND EVENTUALLY TO STOP MAKING SILICONE BREAST IMPLANTS AS PART OF A LEGAL SETTLEMENT WITH WOMEN WHO CLAIM THEY WERE INJURED BY THE IMPLANTS MENTOR BASED IN SANTA BARBARA CALIF IS THE FIRST MANUFACTURER TO REACH AN AGREEMENT WITH US SAID MARGARET MOSES BRANCH AN ALBUQUERQUE ATTORNEY REPRESENTING PLAINTIFFS IN THE CONSOLIDATED LITIGATION WOMEN WITH MENTOR IMPLANTS WILL STILL HAVE A CLAIM AGAINST DOW CORNING CORP WHICH MADE THE GEL USED IN MENTOR'S PRODUCT SHE SAID DOW CORNING IS A A JOINT VENTURE OF DOW CHEMICAL CO AND CORNING INC FUNDS COLLECTED FROM MENTOR WILL BE DISTRIBUTED UNDER INSTRUCTIONS FROM A FEDERAL COURT IN BIRMINGHAM ALA THAT HAS BEEN OVERSEEING THE LITIGATION AGAINST MENTOR AND A NUMBER OF OTHER MANUFACTURERS MORE THAN 1000 WOMEN WITH MENTOR IMPLANTS HAVE FILED CLAIMS SO FAR MS BRANCH SAID THE PACT MUST BE APPROVED BY THE COURT IN THE ACCORD MENTOR AGREED TO STOP MAKING SILICONE IMPLANTS WITHIN 18 MONTHS AFTER THE SETTLEMENT IS COMPLETED THAT COULD TAKE BETWEEN SIX MONTHS AND A YEAR ESTIMATED MENTOR CHAIRMAN AND CHIEF EXECUTIVE OFFICER CHRISTOPHER J CONWAY MENTOR IS THE ONLY REMAINING MAKER OF SILICONE BREAST IMPLANTS IN THE US DOW CORNING AND OTHER COMPANIES STOPPED MAKING THEM LAST YEAR AFTER SAFETY CONCERNS CAUSED THE FOOD AND DRUG ADMINISTRATION TO PUT A MORATORIUM ON SALES THE FDA NOW ALLOWS RESTRICTED SALES MAINLY FOR CANCER PATIENTS WHO NEED BREAST RECONSTRUCTION IN SETTLING MENTOR SAID IT DENIES ANY WRONGDOING OR LEGAL LIABILITY OF ANY KIND WE HAVE SETTLED IN ORDER TO AVOID THE COSTS AND RISKS ASSOCIATED WITH THIS KIND OF LITIGATION THE PROPOSED SETTLEMENT WILL RESULT IN A PERSHARE CHARGE OF BETWEEN 115 AND 130 A SHARE FOR THE FOURTH QUARTER ENDED MARCH 31 MENTOR SAID MR CONWAY SAID HE EXPECTS INSURANCE TO COVER PART OF THE SETTLEMENT IT WON'T BE A VERY BIG PORTION BUT WE HOPE THEY WILL PAY SOME SILICONE IMPLANTS CONTRIBUTED ROUGHLY 20 OF MENTOR'S REVENUE OF ABOUT 115 MILLION IN FISCAL 1993 MR CONWAY SAID THE COMPANY IS DEVELOPING A NEW FILLER MATERIAL THAT IT HOPES WILL BE AVAILABLE BY THE TIME IT CEASES PRODUCTION OF SILICONE IMPLANTS LITIGATION IS CONTINUING AGAINST SEVERAL OTHER DEFENDANTS INCLUDING DOW CORNING 9304150066 930415 INTERNATIONAL COMMUNISTS FIND NEW LIFE IN LITHUANIA OLD BOSSES RETURN PUSHING CAPITALISM AND TIES TO RUSSIA BY BARRY NEWMAN STAFF REPORTER OF THE WALL STREET JOURNAL VILNIUS LITHUANIA A COLD SNAP LAST OCTOBER ACCOMPANIED THE FIRST ELECTIONS TO PARLIAMENT SINCE THIS NATION FREED ITSELF FROM SOVIET RULE IT TURNED COLD AGAIN IN FEBRUARY JUST AS LITHUANIANS FOR THE FIRST TIME WERE VOTING FOR A PRESIDENT THE COUNTRY HAD NO HEAT ALL ITS OIL CAME FROM RUSSIA AND RUSSIA HAD CUT IT OFF WITHOUT A DROP THE ABSENCE OF CENTRAL HEATING SEEMED TO NURTURE NOSTALGIA FOR THE CENTRAL PLAN LITHUANIANS CRACKED OPEN THE SOVIET UNION IN 1990 JUST 13 MONTHS BEFORE THE WORLD HAD AT LAST ENDORSED THEIR INDEPENDENCE BUT WHEN ELECTIONS FINALLY CAME THESE SAME PEOPLE VOTED IN THE OLD POLITICIANS RECHRISTENED THE DEMOCRATIC LABOR PARTY AS LITHUANIA'S FIRST PRESIDENT THEY CHOSE ALGIRDIS BRAZAUSKAS FORMERLY LOCALBRANCH CHAIRMAN OF THE COMMUNIST PARTY OF THE SOVIET UNION VYTAUTAS LANDSBERGIS THE MOODY MUSIC TEACHER WHO LED SAJUDIS LITHUANIA'S LIBERATION MOVEMENT DIDN'T EVEN RUN AT FIRST LITHUANIA'S VOTE LOOKED WOEFUL ON SECOND GLANCE IT LOOKS HOPEFUL YES PEOPLE FELT WORN OUT BY HARD TIMES BUT THEY DIDN'T RALLY TO REVIVE THE ORDER THEY HAD JUST TORN DOWN AS MUCH AS IT STARTLED THOSE WARY OF RESURGENT COMMUNISM THE ELECTION HERE WASN'T WHAT IT SEEMED AN ALARM THAT RUSSIA'S RAVAGED VOTERS GIVEN A SIMILAR CHANCE APRIL 25 WILL RETURN REACTIONARIES TO POWER LITHUANIA'S EXCOMMUNISTS ARE ANYTHING BUT SINCE COMING BACK TO THEIR CHILLY OFFICES THEY HAVEN'T SET OUT TO SUBVERT DEMOCRACY OR DUMP CAPITALISM RATHER THEY HAVE DISOWNED THE LEASTLIKABLE PRODUCT OF COMMUNISM'S COLLAPSE OVERDONE NATIONALISM LEADERS IN YUGOSLAVIA AND OTHER PLACES USE ETHNIC CRAZINESS FOR POLITICAL PURPOSES SAYS POVILAS GYLYS THE NEW FOREIGN MINISTER SOME ARE FORMER COMMUNISTS BUT OF A DIFFERENT KIND THEY EXPLOIT NATIONAL FEELINGS AND THEIR NATIONS SUFFER SAJUDIS DIDN'T SEE THAT NATIONALISM HAS NO FUTURE SAYS JUSTINAS KAROSAS THE LABOR PARTY'S MAJORITY LEADER IT THOUGHT WE COULD CROSS OUT 50 YEARS OF HISTORY AND BUILD DEMOCRACY FROM NOTHING WE CAN'T IN LITHUANIA THE TIME FOR ROMANCE IS OVER THOUGH THESE EXCOMMUNISTS QUIT THE SOVIET PARTY IN 1989 THEY DIDN'T BELIEVE A YEAR LATER THAT THE BALTIC NATION OF 37 MILLION COULD SECEDE FROM THE SOVIET UNION THEY ACCEPT THAT FOR MATERIALS AND MARKETS LITHUANIA MUST LOOK TO ITS OLD OPPRESSOR PRESIDENT BRAZAUSKAS CALLS IT PEACEFUL COEXISTENCE WHY SHOULD WE BE NARROWMINDED HE SAYS FOR 50 YEARS WE WERE PART OF THE SOVIET UNION IT'S IMPOSSIBLE TO CUT THESE TIES WE CHOOSE NONCONFRONTATION THE LESS SPITEFUL RUSSIA'S FREED REPUBLICS ARE LITHUANIA'S GOVERNORS THINK THE LESS AMMUNITION RUSSIA'S OWN NATIONALISTS WILL HAVE IN THEIR WAR WITH BORIS YELTSIN LITHUANIANS WHO BACK MR BRAZAUSKAS AND 60 DID EXPLAIN THEIR CHOICE WITH VARIATIONS ON ONE REASON HE CAN MANIPULATE THE SINKING SOVIET SYSTEM ANYONE WHO DIDN'T BACK MR BRAZAUSKAS WILL OFFER VARIATIONS ON ANOTHER REASON YOU CAN'T TRUST HIM PIANO AGAINST THE WALL HEATER UNDER THE DESK MR LANDSBERGIS BROODS IN HIS PARLIAMENTARY OFFICE MANY FEATURES OF OUR SOVIET PAST ARE COMING BACK TO LIFE HE SAYS I MEAN A TENDENCY TO SUPPRESS PEOPLE WHO THINK DIFFERENTLY TO SUPPORT POWER BY FEAR THE OLD CUSTOM OF DICTATING IS VERY EASILY RENEWED THAT WILL BE HARD TO PROVE UNLESS THE RIGHT WINS IN MOSCOW AND RUSSIA TRIES TO RETAKE THE BALTICS IF LITHUANIA SUCCUMBS TO A NEW CATACLYSM THOUGH SAJUDIS WOULD HAVE TO BEAR PART OF THE BLAME WHILE LABOR REBUILT ITS ORGANIZATION THE INDEPENDENCE COALITION FELL APART IN PETTY QUARRELS AND CONCENTRATED ON SMASHING THE CLOCKWORK OF THE SOVIET STATE THEY THOUGHT ALL THEY HAD TO DO WAS BREAK IT AND REPLACE IT SAYS ROMUALDAS OZOLAS A CENTRIST DEPUTY EVEN ACCOMPLISHMENTS TRIPPED UP SAJUDIS IT ENACTED A NEW CONSTITUTION BUT WITHOUT SUCH A FRAMEWORK VOTERS MIGHT HAVE DEEMED A GOVERNMENT OF EXCOMMUNISTS TOO BIG A RISK SAJUDIS ALSO GAINED LITHUANIA'S GREATEST GOAL A RUSSIAN PLEDGE TO WITHDRAW ITS ARMY OF OCCUPATION BUT BY REMOVING A THREAT THAT STILL BESETS THE OTHER BALTIC STATES SAJUDIS LOST ITS STRONGEST CREDENTIAL FOR STAYING IN POWER SAJUDIS CAN'T TAKE ALL THE RESPONSIBILITY BUT IT IS PARTLY AT FAULT WITH SCORN FOR DEALS WITH RUSSIANS AND ZEAL FOR UNDOING THEIR INSTITUTIONS LOOK AT WHAT'S LEFT OF THE COLLECTIVE FARM IN THE VILLAGE OF MAISIAGALA A CART LIES OVERTURNED NEAR A MOUND OF RUSTING MACHINERY FUEL TANKS STAND EMPTY BENEATH RIPPED PLASTIC SHEETING IN A COLD HOTHOUSE MEN WELD TOGETHER CRUDE STOVES THEY HAVE NOTHING TO BURN BUT WOOD THE FARM HAS FRACTURED INTO 15 COMPANIES THIS ONE WANTS TO GROW VEGETABLES THE 25 COOWNERS CALL IT ATEITIS FUTURE IN LITHUANIAN THE NAME MAKES ONA PUKALSKIENE LAUGH IN AN OVERCOAT AND MUFFLER SHE SITS AT HER OFFICE DESK DOING THE ACCOUNTS THEY DESTROYED AGRICULTURE SHE SAYS CLICKING HER ABACUS SAJUDIS DIVIDED LITHUANIA'S 1200 COLLECTIVES INTO 4450 COMPANIES LETTING MEMBERS FEUD OVER BUILDINGS SUPPLIES LAND AND LABOR THIS FARM HIVED OFF MILLS AND MACHINE SHOPS ALL FAST GOING BANKRUPT AND THE LIVESTOCK DON'T GO SEE THEM SAYS MS PUKALSKIENE IT'S A HORROR THE STIES ARE EMPTY THE 1500 PIGS SLAUGHTERED IN THE BARN A HALFDOZEN HEAD OF CATTLE STAND IN MUCK HIDES DROOPING ON BONE THEY ARE STARVING SAJUDIS KNEW THAT RUSSIAN FUEL HEATED LITHUANIAN HOTHOUSES THAT RUSSIAN FODDER FED LITHUANIAN CALVES WHAT IT DIDN'T WANT TO KNOW WAS THAT RUSSIA'S RESOURCES COULD STILL BE MILKED WITH LINKS TO THE RUSSIAN INDUSTRIAL BUREAUCRACY PRIVATE LITHUANIAN TRADERS ARE SPIRITING TONS OF MATERIAL THROUGH THE COUNTRY AND ONTO WESTERN COMMODITIES MARKETS LITHUANIA IS DRIPPING WITH DOLLARS THE GOVERNMENT DOESN'T GET A RED CENT IF AN ENTERPRISE SELLS 100 TONS OF COPPER EDWARD PETRAITIS SAYS YOU CAN BE SURE ANOTHER 100 TONS ARE SOLD UNDER THE TABLE WHAT'S SOLD UNDER THE TABLE IS WHAT I GET MR PETRAITIS BORN IN AUSTRALIA AND EDUCATED IN ENGLAND NOW PROFITS FROM HIS LITHUANIAN ROOTS BY EXTRACTING METALS CHEMICALS AND TIMBER FROM RUSSIA HE MAINTAINS THAT HIS BUSINESS IS LEGITIMATE RUSSIANS THINK THEY DON'T UNDERSTAND THE WESTERN MENTALITY HE SAYS THEY RELY ON THE BALTICS TO BE THEIR BRIDGE TO THE WORLD WE'VE GOT THIS RELATIONSHIP SO WE'RE CAPITALIZING ON IT SAJUDIS MIGHT HAVE DONE THE SAME MR PETRAITIS THINKS HE ONCE SUGGESTED THAT THE STATE WIRE COMPANY COULD MAKE A FORTUNE BY GETTING IN ON THE COPPER TRADE I SAW SOME MINISTERS HE SAYS THEY WERE JUST SLEEPY BUT WHEN LABOR'S ECONOMY MINISTER JULIUS VESELKA HEARS THE PROPOSITION FROM A VISITOR HE SAYS YES IT'S A GOOD IDEA FOR A PARTY ON THE LEFT LABOR'S ECONOMIC POSTURE FACES SQUARELY TO THE RIGHT A NEOCOMMUNIST REDISTRIBUTION OF ASSETS IS MR VESELKA'S LABEL FOR THE SAJUDIS INDUSTRIAL PRIVATIZATION PLAN ON HOLD PENDING REVISION FARMS WILL RECONSOLIDATE IF POSSIBLE INTO 150ACRE SPREADS PRICES WILL FLOAT AND THE BUDGET WILL BALANCE THE PEOPLE ARE SMART ENOUGH HE SAYS TO TELL THE DIFFERENCE BETWEEN SWEET PROMISES AND BITTER REALITIES THE INTERNATIONAL MONETARY FUND AND WESTERN DIPLOMATS HERE ALL BUY IT MR LANDSBERGIS DOESN'T ON THE DAY OF HIS COUNTRY'S FIRST PRESIDENTIAL INAUGURAL HE SITS IN HIS OFFICE AS DRUMROLLS RISE FROM THE COURTYARD BELOW THE RUSSIANS WANT TO THROW UPON US SPECIAL TIES UNNECESSARY TREATIES HE SAYS WE ARE TREATED AS A POSSIBLE AREA OF MILITARY ACTIVITY A ZONE OF RUSSIAN INTERESTS TRUMPETS SOUND MR LANDSBERGIS EXCUSES HIMSELF TO STAND AT THE WINDOW A BAND STRIKES UP THE NEW NATIONAL ANTHEM AND THE CROWD SINGS LITHUANIA OUR HOMELAND LAND OF WORTHY HEROES MAY YOUR SONS DERIVE THEIR VIGOR FROM YOUR VAST EXPERIENCE 9304150065 930415 BUSINESS BRIEF XEROX CORP NEW HIGHSPEED COPIERS PART OF REVITALIZING LINE XEROX CORP ROCHESTER NY SAID IT UNVEILED THREE HIGHSPEED DEPARTMENTAL OFFICE COPIERS AS PART OF ITS YEARLONG EFFORT TO REVITALIZE ITS FULL LINE OF OFFICE COPIERS THE MAKER OF BUSINESS MACHINES SAID THE COPIERS INTRODUCED ARE THE XEROX 5365 WHICH MAKES 62 COPIES A MINUTE AND IS PRICED AT 29995 THE XEROX 5380 WHICH MAKES 80 COPIES A MINUTE FEATURES HIGHLIGHT COLOR AND IS PRICED AT 37500 AND THE XEROX 5388 WHICH MAKES 92 COPIES A MINUTE AND IS PRICED AT 79000 THE NEW COPIERS WILL BE SOLD IN THE US AND CANADA 9304150064 930415 TIME WARNER CONTRACT NEW YORK AMERICAN TELEPHONE & TELEGRAPH CO RECEIVED A CONTRACT TO EQUIP TIME WARNER INC'S CABLE UNIT WITH ADVANCED SWITCHING GEAR MOVING THE CABLE TELEVISION GIANT CLOSER TO BECOMING A TWOWAY INTERACTIVE COMMUNICATIONS SERVICE AT&T SAID IT WILL PROVIDE TIME WARNER WITH A POWERFUL ASYNCHRONOUS TRANSFER MODE SWITCHING SYSTEM THAT WILL BE USED AS A TRAFFIC EXCHANGE IN AN ELECTRONIC SUPERHIGHWAY THAT THE TIME WARNER SUBSIDIARY IS BUILDING IN THE ORLANDO FLA AREA TIME WARNER'S PLAN CALLS FOR CONSTRUCTION TO BE COMPLETED BY YEAR END BY EARLY 1994 A SPOKESMAN SAID CUSTOMERS AROUND ORLANDO WILL GET AN ARRAY OF SERVICES FAR BEYOND REGULAR CABLE TV CHANNELS CABLE CUSTOMERS WILL ABLE TO CALL FOR MOVIES JUST BY PUSHING A BUTTON PLAY INTERACTIVE GAMES WITH OTHER PEOPLE ON THE SYSTEM SHOP IN A VIDEO MALL AND MAKE CALLS ON WIRELESS POCKETPHONES LINKED INTO TIME WARNER'S SYSTEM BY MINIATURE RADIO TRANSMITTERS 9304150063 930415 MARKETING & MEDIA PEPSI CLIMBS ABOARD NORTHWEST AIRLINES WITH FIVEYEAR PACT A SECOND COLA SUPPLIER MEANS COKE WON'T BE FLYING SOLO A SMALL CAPTIVE MARKET BY MICHAEL J MCCARTHY STAFF REPORTER OF THE WALL STREET JOURNAL PEPSICO INC IS LAUNCHING A COLAWAR AIR RAID THE NO 2 SOFTDRINK COMPANY SAID IT WILL CLIMB ABOARD NORTHWEST AIRLINES STARTING TODAY MAKING THE AIRLINE THE FIRST MAJOR CARRIER TO OFFER BOTH PEPSI AND COCACOLA CO PRODUCTS THE FIVEYEAR DISTRIBUTION CONTRACT IS A VICTORY FOR PEPSI WHICH SOUGHT THE UNUSUAL CHANCE TO BECOME A SECOND COLA SUPPLIER ON AN AIRLINE THUS KEEPING COKE FROM FLYING SOLO ON NORTHWEST A UNIT OF WINGS HOLDINGS INC TRADITIONALLY THE AIRLINE COLA BUSINESS HAS BEEN BASED ON EXCLUSIVE CONTRACTS WITH SUPPLIERS AS IS THE BEVERAGE INDUSTRY'S MUCHLARGER RESTAURANTSUPPLY SEGMENT THE AIRLINE SOFT DRINK MARKET IS SMALL IT'S RESPONSIBLE FOR ABOUT 17 MILLION CASES A YEAR OR LESS THAN 1 OF TOTAL INDUSTRY SALES BUT PEPSI AND RIVAL COCACOLA FIGHT BITTERLY OVER THE CHANCE TO WIN SUCH SOCALLED PRESTIGE ACCOUNTS BECAUSE THEY OFFER HIGHPROFILE IMAGE BENEFITS PEOPLE DRINK THEIR BEVERAGES IN ENJOYABLE ENVIRONMENTS SUCH AS STADIUMS AND THEME PARKS AIRLINES ARE GREAT FROM AN EXPOSURE STANDPOINT SAID MICHAEL JALBERT A PEPSICOLA CO VICE PRESIDENT SUCH ACCOUNTS ALSO OFFER A CAPTIVE AUDIENCE FOR A COMPANY'S NEW AND EXISTING PRODUCTS PEPSI FOR EXAMPLE PLANS TO OFFER ITS NEW COLORLESS COLA CRYSTAL PEPSI ON NORTHWEST MINNEAPOLISBASED NORTHWEST THE NO 4 AIRLINE BECOMES THE LARGEST CARRIER CLIENT FOR PEPSI WHICH HAS EXCLUSIVE AGREEMENTS WITH AMERICA WEST AIRLINES AND CONTINENTAL AIRLINES A UNIT OF CONTINENTAL AIRLINES HOLDINGS INC MOST OF THE AIRLINE INDUSTRY INCLUDING UAL CORP'S UNITED AIRLINES UNIT AND DELTA AIR LINES IS DOMINATED BY COKE NORTHWEST SAID PEPSI APPROACHED IT SEVERAL MONTHS AGO AND IT AGREED TO OFFER PEPSI ON FLIGHTS AS PART OF AN EFFORT TO BROADEN ITS AMENITIES PEPSI IS WASTING NO TIME WITH ITS EFFORT TO TRY TO OUTSELL COKE IN THE NEWLY COMPETITIVE MARKET IT IS PLACING ADS IN WORLDTRAVELER NORTHWEST'S INFLIGHT MAGAZINE AND GIVING FLIGHT ATTENDANTS FREE PEPSI SIXPACKS AND COOLERS THE COMPANY IS ALSO EQUIPPING THE AIRLINE'S ATTENDANTS WITH THEIR OWN CANTAB OPENERS COMPLETE WITH PEPSI LOGOS PEPSI SAID THE NORTHWEST AGREEMENT ALSO INCLUDES AN ARRANGEMENT TO SERVE PEPSICO FASTFOOD PRODUCTS FROM ITS TACO BELL PIZZA HUT AND KFC UNITS ON NORTHWEST FLIGHTS HOWEVER MR JALBERT SAID IT MIGHT BE 18 MONTHS BEFORE THE TACOS AND PIZZAS BEGIN APPEARING THE COMPANY MUST FIRST WORK THROUGH FEDERAL AVIATION ADMINISTRATION REQUIREMENTS FOR SUPPLYING FOOD PEPSI'S RESTAURANTS WON'T BE THE FIRST TO PUT FAST FOOD IN FLIGHT LAST YEAR MCDONALD'S CORP BEGAN SELLING CHILDREN'S MEALS ON CERTAIN UNITED AIRLINES FLIGHTS PRIMARILY OUT OF CHICAGO 9304150062 930415 COUNTERPOINT JUSTICE'S PROPER INTERFERENCE IN REP FORD'S TRIAL BY STUART GERSON REP HAROLD FORD'S ACQUITTAL FRIDAY ON CHARGES OF FINANCIAL CORRUPTION FURTHER VALIDATES MY RULING WHILE ACTING ATTORNEY GENERAL THAT THE GOVERNMENT SHOULD NOT ENGAGE IN JURY SHOPPING CONTRARY TO SOME ASSERTIONS MY DECISION WAS MADE INDEPENDENTLY IT WAS INFORMED BY A RACENEUTRAL POLICY CONSISTENT WITH THE JUSTICE DEPARTMENT'S HISTORICAL PRACTICES FEDERAL PROSECUTORS ORIGINALLY SOUGHT TO TRY MR FORD WHO IS BLACK ALONG WITH SEVERAL WHITE CODEFENDANTS IN KNOXVILLE TENN A MOSTLY WHITE CITY WHERE SEVERAL ALLEGED COLLABORATORS HAD BEEN CONVICTED THE PROSECUTORS WANTED THE FORD TRIAL TO BE HELD IN KNOXVILLE BECAUSE THEY WORRIED THAT THE CONGRESSMAN'S POPULARITY WOULD MAKE IT DIFFICULT TO OBTAIN A FAVORABLE VERDICT FROM HIS CONSTITUENTS IN MOSTLY BLACK MEMPHIS MEMPHIS WAS NONETHELESS RULED THE PROPER LOCALE FOR THE TRIAL WHICH ENDED WITH A HUNG JURY SPLIT STRICTLY ALONG RACIAL LINES THE GOVERNMENT WANTED A RETRIAL BUT EVIDENCE OF IMPROPER PRESSURE ON POTENTIAL JURORS BY MR FORD AND HIS SUPPORTERS RAISED THE QUESTION OF WHETHER A RETRIAL COULD BE DECIDED ON THE MERITS FORBIDDEN TO TRY THE CASE OUTSIDE OF THE MEMPHIS AREA THE PROSECUTORS CONVINCED THE JUDGE THEN PRESIDING AT THE RETRIAL THAT THE JURY SHOULD BE SELECTED FROM JACKSON TENN A LARGELY WHITE COMMUNITY NEAR MEMPHIS THAT JUDGE RULED WITHOUT APPARENT CONSIDERATION OF SUCH POSSIBLE ALTERNATE MEASURES AS SEQUESTRATION OR USE OF AN ANONYMOUS MEMPHIS JURY THE PROSECUTORS EXERCISED MOST OF THEIR CHALLENGES AGAINST BLACKS AS A RESULT OF THE 18 REGULAR AND ALTERNATE MEMBERS OF THE JACKSON JURY 17 WERE WHITE BECAUSE MR FORD LIKELY WOULD CONTINUE TO SEEK RACIAL SYMPATHY IN MEMPHIS THE PROSECUTORS RATIONALIZED THAT BY ASKING FOR A JACKSON JURY THEY WERE DOING NO MORE THAN ENSURING THAT THE GOVERNMENT WOULD GET A FAIR TRIAL BUT THE PROSECUTORS ARE NOT THE GOVERNMENT THE PEOPLE ARE AND AS THE PEOPLE'S SURROGATE I QUESTIONED WHETHER IT WAS FAIR FOR THE JUSTICE DEPARTMENT TO DECLARE AN ENTIRE COMMUNITY INCAPABLE OF RENDERING JUSTICE FOR MANY REASONS HISTORICAL PRACTICAL AND ETHICAL I CONCLUDED THAT IT WAS NOT ALTHOUGH ISSUES OF RACE MARKED THE CASE FROM ITS BEGINNING AND ALTHOUGH MR FORD DOUBTLESS SOUGHT RACIAL ADVANTAGE AT MY ORDER THE JUSTICE DEPARTMENT JOINED MR FORD'S PETITION FOR A MEMPHIS JURY IN DOING SO I WAS SUPPORTING THE RACENEUTRAL PRINCIPLE THAT FEDERAL PROSECUTORS SHOULD EXPECT JUST VERDICTS FROM CITIZENS OF ANY COMMUNITY THE FRAMERS OF THE CONSTITUTION RECOGNIZED THIS PRINCIPLE WRITING IN THE SIXTH AMENDMENT THAT THE ACCUSED SHALL BE TRIED BY AN IMPARTIAL JURY OF THE STATE AND DISTRICT WHEREIN THE CRIME SHALL HAVE BEEN COMMITTED THE DECISION TO ACCEPT THE JURIES THAT INHABIT THE CITIES IN WHICH THE JUSTICE DEPARTMENT TRIES ITS CASES IS NOT ONLY CONSISTENT WITH CONSTITUTIONAL TRADITION BUT ALSO WITH THE DEPARTMENT'S HISTORIC PRACTICE THE 1960S CIVIL RIGHTS TRIALS OF KLAN CRIMINALS ALL TOOK PLACE BEFORE THEIR TOWNSMEN MORE RECENTLY THE GOVERNMENT TRIED JOHN GOTTI BEFORE A HOMETOWN JURY IN NEW YORK CITY WHERE MANY FEARED OR ADMIRED HIM IN MOST CASES IT IS THE GOVERNMENT OPPOSING DEFENDANTS' MOTIONS TO CHANGE VENUES OR AVOID JURIES THAT INSISTS THAT LOCAL PASSIONS AND PREJUDICES CAN BE OVERCOME IN FAIR COURTROOM PROCEEDINGS THE JUSTICE DEPARTMENT TOOK THIS POSITION WITH RESPECT TO THE POLICE OFFICERS CHARGED IN THE RODNEY KING CASE IN LOS ANGELES I STRONGLY FELT THAT THE RULE IN LOS ANGELES SHOULD BE THE RULE IN MEMPHIS THE FORD CASE IS INSTRUCTIVE NOT ONLY OF THE GOVERNMENT'S ROLE IN SEEKING A FAIR TRIAL BUT ALSO OF A FUNDAMENTALLY CONSERVATIVE VIEW OF RACE THE IMPORTATION OF A VIRTUALLY ALLWHITE JURY TO A MOSTLY BLACK COMMUNITY WHATEVER RATIONAL CONCERNS LED TO IT SENDS A POWERFUL RACIAL MESSAGE THAT THE BLACK COMMUNITY'S CITIZENS ARE UNWORTHY OF TRUST SUCH A NOTION SHOULD BE PARTICULARLY UNACCEPTABLE TO US CONSERVATIVES WHO DEFENDED THE NOMINATION OF JUSTICE CLARENCE THOMAS AGAINST LIBERAL CRITICISMS OF HIS NONCONFORMITY WITH PERCEIVED BLACK PHILOSOPHICAL ORTHODOXIES OR WHO URGE LOCAL CHOICE IN EDUCATION HOUSING AND HEALTH CARE AND DEMAND LOCAL INITIATIVE TO CREATE A CULTURE OF RESPONSIBILITY IN MINORITY COMMUNITIES TO COUNTERACT CRIME DRUG DEPENDENCY AND ILLEGITIMACY WE CANNOT RATIONALLY EXPECT MINORITY COMMUNITIES TO ACCEPT JUSTICE IF WE HAVE NO CONFIDENCE IN THEM TO DO JUSTICE NONE OF THIS HOWEVER IS TO SAY THAT THE JACKSON JURY DID NOT DEAL WITH THE CASE FAIRLY JUST AS I BELIEVED A MEMPHIS JURY SHOULD HAVE BEEN MADE TO DO WE SHOULD NOT STEREOTYPE A LARGELY WHITE COMMUNITY EITHER MY DECISION WAS A MATTER OF STRONG POLICY PREFERENCE BUT NOT OF LEGAL MANDATE THE JUSTICE DEPARTMENT WAS REQUIRED TO CONCLUDE THAT THE TENNESSEE COURT'S DECISION TO GO FORWARD WITH A JURY FROM JACKSON WAS WITHIN ITS DISCRETION THIS WAS A CONTINGENCY WE ANTICIPATED FROM THE OUTSET IT REPRESENTED NO CHANGE OF POSITION FOR THE GOVERNMENT TO JOIN MR FORD'S MOTION TO STRIKE THE JACKSON JURY BUT THEN NOT TO SUPPORT HIS PETITION TO BLOCK THE TRIAL THE DECISIONS I MADE IN THIS CASE WERE MINE ALONE AND WERE MADE WITHOUT ANY ATTEMPT BY PURPORTED AGENTS OF THE WHITE HOUSE INCLUDING ITS NOMINEE WEBSTER HUBBELL DIRECTLY OR INDIRECTLY TO EXERT INFLUENCE I VALUE MY INDEPENDENCE AND THAT OF THE JUSTICE DEPARTMENT ENOUGH THAT I WOULD HAVE RESIGNED IF I HAD BEEN PRESSURED BUT AM COMPELLED TO NOTE THAT THERE WOULD HAVE BEEN NOTHING INHERENTLY IMPROPER ABOUT THE PRESIDENT HIMSELF TRYING TO DIRECT HIS SUBORDINATE'S DECISION NOR IS THERE ANYTHING IMPROPER ABOUT AN ATTORNEY GENERAL MEETING WITH PUBLIC GROUPS OR MEMBERS OF CONGRESS SUCH AS I DID WITH THE CONGRESSIONAL BLACK CAUCUS ON THE FORD MATTER TO SPEAK ABOUT POLICY ISSUES RAISED BY A PROSECUTION THE PROSECUTOR SHOULD BE PUBLICLY ACCESSIBLE WHAT WAS UNFORTUNATE IN THIS CASE IS THAT THE COMPRESSED PERIOD FROM WHEN I FIRST LEARNED OF THE ISSUE TO WHEN I HAD TO MAKE MY DECISION TENDED TO GIVE THE APPEARANCE OF UNDUE POLITICAL INFLUENCE I THUS WAS LEFT WITH THE CHOICE BETWEEN MAKING WHAT TO ME WAS THE RIGHT DECISION AND ENDURING CRITICISM AND RESULTS INCLUDING THE RESIGNATION OF A US ATTORNEY IN TENNESSEE OR MAKING THE WRONG DECISION SIMPLY TO MAINTAIN A FALSE PEACE THOUGH THESE EVENTS WERE TROUBLING THE DECISION WAS NOT I THOUGHT THEN AS I THINK NOW A MEMPHIS JURY SHOULD HAVE BEEN GIVEN THE CHANCE TO DO ITS CIVIC DUTY IN THE FORD CASE MR GERSON APPOINTED TO THE JUSTICE DEPARTMENT BY PRESIDENT BUSH WAS PRESIDENT CLINTON'S ACTING ATTORNEY GENERAL 9304150061 930415 NATIONAL MEDICAL DISCLOSES PROBE OF TWO HOSPITALS BY RHONDA L RUNDLE STAFF REPORTER OF THE WALL STREET JOURNAL NATIONAL MEDICAL ENTERPRISES INC DISCLOSED THAT ITS TWO PSYCHIATRIC HOSPITALS IN MISSOURI ARE UNDER FEDERAL INVESTIGATION DELIVERING ANOTHER SETBACK TO THE COMPANY'S EFFORTS TO MOVE BEYOND THE PROBLEMS OF ITS PSYCHIATRIC DIVISION IN A FILING WITH THE SECURITIES AND EXCHANGE COMMISSION THE COMPANY SAID IT HAS LEARNED THAT A FEDERAL INVESTIGATION WHICH THE COMPANY BELIEVES TO BE SIGNIFICANT IS BEING CONDUCTED IN MISSOURI RELATING TO PRACTICES AT TWO PSYCHIATRIC FACILITIES WITHIN THAT STATE INVESTORS REACTED NEGATIVELY TO THE NEWS SHARES OF THE SANTA MONICA CALIF HEALTHCARE SERVICES CONCERN FELL 1125 TO CLOSE AT 7125 IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING A NATIONAL MEDICAL SPOKESMAN SAID THE COMPANY RECENTLY RECEIVED SUBPOENAS FROM FEDERAL GRAND JURIES IN ST LOUIS AND KANSAS CITY TO PRODUCE DOCUMENTS FROM ITS LAUGHLIN PAVILION FACILITY IN KIRKSVILLE AND ITS NORTH HILLS HOSPITAL IN KANSAS CITY THE INQUIRIES ARE NO DIFFERENT FROM THE KINDS OF INQUIRIES UNDER WAY IN TEXAS THE SPOKESMAN SAID NATIONAL MEDICAL ISSUED A STATEMENT LATE YESTERDAY SAYING IT DOESN'T BELIEVE THE INVESTIGATIONS ARE FINANCIALLY SIGNIFICANT THERE HAS BEEN NO INDICATION FROM FEDERAL AUTHORITIES THAT ANY INDIVIDUAL OR FACILITY IS A SPECIFIC TARGET OR SUBJECT OF THE INVESTIGATION OR WHAT THE EVENTUAL GOAL OF THE INQUIRY MAY BE NATIONAL MEDICAL SAID A YEAR AGO THAT FEDERAL AND STATE AGENCIES WERE INVESTIGATING WHETHER SOME OF ITS PSYCHIATRIC FACILITIES ENGAGED IN IMPROPER PRACTICES AT THAT TIME THE COMPANY SAID IT BELIEVED THE MOST IMPORTANT INVESTIGATIONS WERE IN TEXAS NEW JERSEY AND FLORIDA THE INVESTIGATIONS IN TEXAS AND NEW JERSEY REMAIN ACTIVE BUT TO THE COMPANY'S KNOWLEDGE THERE HAS BEEN NO SIGNIFICANT INVESTIGATIVE ACTIVITY IN FLORIDA SINCE NOVEMBER ACCORDING TO YESTERDAY'S FILING A FORMER EMPLOYEE OF THE LAUGHLIN PAVILION IN MISSOURI SAID HE THINKS THE INVESTIGATORS MAY BE LOOKING AT THAT FACILITY IN PART BECAUSE OF ITS FORMER ADMINISTRATOR AFTER THE ADMINISTRATOR LEFT LAUGHLIN IN 1990 HE WENT TO COLONIAL HILLS HOSPITAL A NATIONAL MEDICAL FACILITY IN SAN ANTONIO TEXAS THAT CAME UNDER HEAVY FIRE DURING A STATE INVESTIGATION TWO YEARS AGO IT LATER CLOSED I AM UNDER SUBPOENA TO PRODUCE DOCUMENTS TO THE FBI SAID THE FORMER LAUGHLIN EMPLOYEE WHO ASKED NOT TO BE IDENTIFIED NATIONAL MEDICAL MAINTAINED AN ELABORATE TRACKING SYSTEM THAT PUT TREMENDOUS PRESSURE ON ALL EMPLOYEES TO ADMIT PATIENTS REGARDLESS OF MEDICAL NEED HE SAID THE ADMINISTRATOR DID EXACTLY WHAT NATIONAL MEDICAL WANTED THE FORMER EMPLOYEE SAID THE TEXAS PROBE ENDED IN A SETTLEMENT IN JUNE UNDER WHICH NATIONAL MEDICAL AGREED TO PAY ABOUT 9 MILLION INCLUDING THE VALUE OF SURRENDERED CLAIMS NATIONAL MEDICAL DIDN'T ADMIT WRONGDOING BUT AGREED TO MAKE SWEEPING CHANGES IN THE OPERATION OF ITS PSYCHIATRIC HOSPITALS THE COMPANY ALSO FACES LAWSUITS FILED BY A NUMBER OF INSURANCE COMPANIES THAT HAVE CHARGED NATIONAL MEDICAL PERPETRATED A NATIONWIDE SCHEME TO BILK THEM OF MILLIONS OF DOLLARS IN PSYCHIATRIC CLAIMS NATIONAL MEDICAL HAS DENIED THE ALLEGATIONS 9304150060 930415 PERSONAL TECHNOLOGY BY WALTER S MOSSBERG THIS WEEKLY COLUMN IS NOT CALLED THE HOME HANDYMAN I CAN POP CHIPS IN AND OUT OF COMPUTERS BUT ANYTHING I TRY TO BUILD AROUND THE HOUSE COMES OUT LOOKING LIKE A SURREALIST PAINTING ONCE IN A SEVENTHGRADE SHOP CLASS I SUBMITTED A DESIGN FOR A NEW KIND OF TOOL THAT THE TEACHER DRILY INFORMED ME COULDN'T EXIST ON THIS PLANET BUT EVEN I COULD DEVISE A PRACTICAL BACKYARD DECK USING A CLEVER SOFTWARE PROGRAM CALLED DESIGN AND BUILD YOUR DECK THE FIRST EFFORT FROM AN INTRIGUING STARTUP COMPANY CALLED BOOKS THAT WORK IN PALO ALTO CALIF THIS 60 PROGRAM WHICH WILL SHOW UP IN STORES NEXT MONTH LETS YOU LAY OUT A SIMPLE DECK JUST BY MANIPULATING AN IMAGE ON THE SCREEN USING A MOUSE AS YOU CHANGE THE DECK'S SIZE AND SHAPE AND STAIRS AND RAILS THE PROGRAM AUTOMATICALLY CREATES THE NECESSARY STRUCTURAL UNDERPINNINGS AND UPDATES A LIST OF MATERIALS AND A COST ESTIMATE AT ANY POINT YOU CAN SUMMON A VAST MULTIMEDIA STEPBYSTEP DECKBUILDING GUIDE IT'S FILLED WITH PLAINENGLISH DEFINITIONS OF CONSTRUCTION TERMS TIPS ON VARIOUS ELEMENTS OF THE PROJECT AND COLOR ANIMATIONS WITH SOUND THAT SHOW HOW TO PERFORM IMPORTANT TASKS THE MOST IMPRESSIVE FEATURE OF YOUR DECK HOWEVER IS ITS EASE OF USE IT ACCOMPLISHES ALL OF THESE FEATS WITHOUT REQUIRING THE USER TO MEMORIZE ANY COMPLICATED COMMANDS OR MASTER A PALETTE OF DRAWING TOOLS THERE ARE JUST SEVEN ONSCREEN ICONS TO USE AND THEIR LABELS MAKE THEM SELFEVIDENT 3D VIEW ZOOM IN AND SO FORTH EVEN THE PULLDOWN MENUS OF COMMANDS BEAR SUCH SIMPLE TITLES AS DECK STAIRS AND HOWTO THE MANUAL FOR YOUR DECK IS JUST 13 PAGES LONG IN FACT YOUR DECK WHICH RUNS ON IBMCOMPATIBLE COMPUTERS USING MICROSOFT WINDOWS REPRESENTS A NOTABLE STEP FORWARD IN THE SOFTWARE INDUSTRY'S HITANDMISS EFFORT TO PRODUCE A WORKABLE ELECTRONIC BOOK MOST SOFTWARE PROGRAMS INCLUDING SEVERAL FINE EXISTING PACKAGES FOR DESIGNING THINGS AROUND THE HOME ARE TOOLS WITH A BROAD RANGE OF POSSIBLE USES THEY PERMIT YOU TO USE YOUR COMPUTER TO CREATE MANY DIFFERENT THINGS WITH MANY OPTIONS BUT THERE'S A PRICE TO THIS TO MASTER THE TOOL YOU OFTEN MUST LEARN A LOT OF COMMANDS AND SYMBOLS BUT YOUR DECK IS A GREAT EXAMPLE OF AN EMERGING KIND OF COMPUTER PROGRAM CALLED CONTENT SOFTWARE THESE ARE NARROWLY FOCUSED ON SINGLE TOPICS FREEING THEIR DESIGNERS FROM HAVING TO BUILD IN A COMPLICATED SET OF CONTROLS THE USER CAN GET TO WORK QUICKLY PLUNGING RIGHT INTO THE TASK AT HAND JUST AS IF SHE WERE READING A HOWTO BOOK ON THAT TOPIC THAT'S NO COINCIDENCE THE CHIEF EXECUTIVE OF BOOKS THAT WORK STUART GANNES FORMERLY WORKED FOR TIMELIFE BOOKS ON ITS HOMEIMPROVEMENT SERIES HIS COMPANY PLANS TO BRING YOUR DECK TO THE APPLE MACINTOSH LATER THIS YEAR AND THEN TO FOLLOW IT UP WITH ADDED VOLUMES IN A BACKYARD BUILDER SERIES ON SUCH TOPICS AS LANDSCAPING THE PROGRAM CARRIES THE ENDORSEMENT OF SUNSET THE HOMEIMPROVEMENT BOOK PUBLISHER AND WILL BE SOLD NOT ONLY IN COMPUTER STORES BUT ALSO IN HARDWARE AND HOME STORES YOUR DECK SURPASSES A PRINTED BOOK IN MANY WAYS IT LETS YOU VIEW YOUR DESIGN FROM THE TOP THE SIDE OR IN A REALISTIC 3D VIEW AT VARYING SIZES THESE VIEWS CAN BE PRINTED OUT YOU CAN STRIP AWAY THE TOP LAYER AT ANY TIME TO LOOK AT THE SUPPORT STRUCTURE YOU CAN NOTCH OR ANGLE CORNERS AND PUT STAIRS IN VARIOUS PLACES THE SOFTWARE WILL EVEN DRAW IN THE OUTER WALLS AND DOORS OF YOUR HOME IN THE PROPER RELATIONSHIP TO THE DECK AND LET YOU WRAP THE DECK AROUND A CORNER OF THE HOUSE THE PROGRAM INCORPORATES NATIONAL BUILDING CODE PRACTICES SO IT WON'T LET YOU MAKE THE DECK TOO NARROW OR SPECIFY BEAM OR JOIST SIZES TOO SMALL FOR THE STRUCTURE YOU DESIGN IT DOESN'T KNOW LOCAL CODES BUT WARNS USERS TO PAY ATTENTION TO THEM THE PROGRAM ALSO LETS YOU SELECT THE TYPES OF WOOD YOU USE AND EVEN INCLUDES AVERAGE NATIONAL PRICES SO IT CAN KEEP A RUNNING COST ESTIMATE YOU CAN EDIT THESE FOR LOCAL PRICES AN INVENTORY OF MATERIAL TAILORED TO YOUR PARTICULAR DESIGN CAN BE PRINTED OUT TO FORM BOTH A COST ESTIMATE AND A SHOPPING LIST YOU CAN TAKE RIGHT TO THE LUMBER OR HARDWARE STORE OR HAND TO A CONTRACTOR YOU CAN EVEN PRINT OUT A SAMPLE CONTRACT AND A BUDGET SHEET THE REFERENCE SECTION INCLUDES BOTH OBVIOUS TIPS DON'T PUT NAILS IN YOUR MOUTH AND OBSCURE ONES HOW TO AFFIX A LAG SCREW SOME OF THE ANIMATIONS ARE PRETTY CLEVER THE ONE ON TERMITE ATTACKS IS ACCOMPANIED BY THE SOUND OF AN ARMY DRILL SERGEANT CALLING OUT A MARCH CADENCE FOLLOWED BY CHEWING NOISES YOUR DECK DOES HAVE SOME LIMITATIONS IT CAN'T LAY OUT REALLY FANCY DECKS THE KIND WITH SCALLOPED EDGES OR MULTIPLE LEVELS I COULDN'T SEE ANY WAY TO DESIGN AN OPENING IN A DECK FOR A HOT TUB OR A TREE THE PROGRAM KNOWS ONLY FOUR STYLES OF RAILING AND THE DECK AND STAIRS MUST SHARE THE SAME ONE THE DESIGNERS HAVE ALSO MADE A MISTAKE IN MY VIEW BY INCLUDING ADVERTISEMENTS FOR TOOLS AND LUMBER IN A FEW PLACES IN THE PROGRAM SUPPOSEDLY THE ADS OFFER SPECIAL DEALS BUT THESE CONSIST MAINLY OF PALTRY BOOKLETS AND THE LIKE ADS ARE EXPECTED IN A 75CENT NEWSPAPER BUT IN A 60 COMPUTER PROGRAM THEY'RE AN ANNOYING SURPRISE STILL I LIKE THIS PROGRAM A LOT AND I WOULD LOVE TO SEE MORE ELECTRONIC HOWTO BOOKS LIKE IT I'D ALSO LIKE TO MAIL MY OLD SHOP TEACHER THE LOVELY DECK DESIGN I JUST FINISHED MAYBE I CAN GET HIM TO CHANGE MY GRADE 9304150059 930415 WORLD MARKETS HONG KONG SHARES SOAR ON SINOBRITISH MOVE TOKYO STOCKS' RALLY IS HALTED BY PROFITTAKING BY ROBERT STEINER AND JAMES T AREDDY STAFF REPORTERS OF THE WALL STREET JOURNAL HONG KONG SHARES IN HONG KONG SOARED 56 WEDNESDAY AFTER BRITAIN AND CHINA SAID LATE TUESDAY THEY WOULD RESUME DISCUSSIONS ON THE BRITISH COLONY'S CONSTITUTIONAL FUTURE MEANWHILE TOKYO STOCKS WERE MIXED TO LOWER AS WIDESPREAD PROFITTAKING AFTER THE PREVIOUS DAY'S EXPLOSIVE RALLY WAS TEMPERED BY STRONG GAINS IN HIGHTECHNOLOGY ISSUES THOUGH THE BENCHMARK INDEX DROPPED 1 IN LONDON DEFYING EXPECTATIONS FOR A REBOUND TO CONTINUE SHARES ENDED A DISPIRITED SESSION WITH LOSSES IN HONG KONG THE HANG SENG INDEX OF 33 BLUECHIP SHARES SURGED 37153 POINTS TO A RECORD 678974 SURPASSING THE PREVIOUS HIGH OF 6508 SET MARCH 9 THE INDEX HAS GAINED 23 SO FAR THIS YEAR COMPARED WITH A 29 RISE IN ALL OF 1992 SHARES VALUED AT A TOTAL OF 774 BILLION HONG KONG DOLLARS US1 BILLION TRADED HANDS THAT TOO BROKE THE RECORD OF HK642 BILLION REACHED MAY 25 TURNOVER REMAINED HEAVY THROUGHOUT THE SESSION THOUGH THE HANG SENG INDEX STALLED AFTER THE FIRST HALFHOUR OF TRADING THE INDEX HAS SWUNG WILDLY EVER SINCE CHINESE AUTHORITIES FIRST REGISTERED OPPOSITION TO HONG KONG GOV CHRIS PATTEN'S PLANS ANNOUNCED LATE LAST YEAR TO BROADEN DEMOCRACY IN THE COLONY INVESTORS PARTICULARLY FEARED THAT A PROTRACTED STANDOFF COULD CRIPPLE IMPORTANT INFRASTRUCTURE PROJECTS SUCH AS HONG KONG'S NEW AIRPORT WHEN CHINA THREATENED IN NOVEMBER TO CANCEL GOVERNMENT CONTRACTS IN THE TERRITORY AFTER ITS TAKEOVER IN 1997 THE INDEX SHED 18 BUT GOV PATTEN'S DELAYS IN PRESENTING HIS PROPOSALS AS LEGISLATION EGGED THE HANG SENG TO A 14 RISE IN FEBRUARY HIS DECISION LAST MONTH TO START THE LEGISLATIVE PROCESS TRIGGERED THE COLLAPSE OF TALKS ON THE STRUCTURE OF FORMAL NEGOTIATIONS AND AN 11 DROP IN THE HANG SENG INDEX THE LATEST SURGE COULD HARDLY HAVE COME AT A WORSE TIME FOR INVESTORS TRYING TO ALLOCATE MONEY AMONG ASIANPACIFIC STOCK MARKETS BROKERS IN THE REGION HAVE BEEN ADVISING CLIENTS TO MOVE MONEY FROM HONG KONG TO NEIGHBORING MARKETS MANY FOREIGN FUND MANAGERS REVISING THEIR STRATEGIES FOR THE CURRENT QUARTER HAD JUST TAKEN SUCH ADVICE BASED PARTLY ON CONCERNS THAT HONG KONG CORPORATE EARNINGS GROWTH IS SLOWING AND THAT THE RESIDENTIAL PROPERTY MARKET IS SOFTENING AND WERE SURPRISED WHEN HONG KONG SHARES TURNED AROUND THOUGH POLITICAL SURPRISES HAVE TENDED TO OVERSHADOW STRONG OVERALL FUNDAMENTALS ON THURSDAY IN TOKYO THE NIKKEI INDEX ROSE 1144 POINTS TO CLOSE THE MORNING SESSION AT 2054482 WEDNESDAY'S VOLUME WAS ESTIMATED AT 850 MILLION SHARES UP FROM 7846 MILLION SHARES A DAY EARLIER ADVANCING ISSUES NARROWLY EDGED OUT DECLINERS 539535 THE TOKYO STOCK PRICE INDEX OR TOPIX OF ALL FIRST SECTION ISSUES WHICH CLIMBED 5335 POINTS TUESDAY GAVE UP 1596 ALSO 1 TO 159280 INDIVIDUAL INVESTORS WERE THE MAIN BUYERS AND JAPANESE INSTITUTIONS LED THE SELLING WHILE OVERSEAS INVESTORS RETURNED FROM THEIR EASTER HOLIDAYS TO PLAY BOTH SIDES OF THE MARKET SENTIMENT REMAINED BRIGHT FOLLOWING THE GOVERNMENT'S UNVEILING TUESDAY OF THE 132 TRILLIONYEN 11653 BILLION PACKAGE OF MEASURES TO SPUR THE DOMESTIC ECONOMY THE FISCALSTIMULUS PLAN A SOFTER YEN AND SIGNS OF A RECOVERY IN THE US MARKET FOR COMPUTER CHIPS COMBINED TO PROVIDE SUPPORT FOR JAPANESE HIGHTECHNOLOGY STOCKS THE NIKKEI WHICH MOVED BETWEEN 2047333 AND 2087471 OPENED HIGHER WAS SET BACK IN THE FIRST HOUR AND SPENT THE REMAINDER OF THE SESSION GROPING FOR DIRECTION IN LONDON THE FINANCIAL TIMESSTOCK EXCHANGE 100SHARE INDEX DECLINED 47 POINTS TO 28421 THE FT 30STOCK INDEX EDGED UP 29 POINTS TO 21992 VOLUME WAS 8178 MILLION SHARES COMPARED WITH 4195 MILLION SHARES A DAY EARLIER LONDON INVESTORS FOLLOWING TUESDAY'S STRONG GAIN THAT BROKE A LOSING STREAK IGNORED YESTERDAY'S STRENGTH IN SEVERAL OTHER STOCK MARKETS AND WALL STREET'S STRONG OPENING AS WELL AS SURPRISINGLY GOOD BRITISH ECONOMIC DATA THOUGH FEBRUARY MANUFACTURING OUTPUT INCREASED FROM JANUARY MORE THAN THE MARKET HAD EXPECTED SOME INVESTORS INTERPRETED THE STRONG DATA AS AN INDICATION THAT BRITAIN'S BASE LENDING RATES ARE UNLIKELY TO BE CUT FROM THE CURRENT 17YEAR LOW OF 6 IN FRANKFURT SHARE PRICES ENDED NARROWLY MIXED ON LOW TURNOVER THE DAX 30STOCK INDEX EDGED UP 139 POINTS TO 167244 PRICES OPENED WEAKER BUT GAINED A BIT ON SCATTERED BUYING THE MARKET PAID LITTLE ATTENTION TO THE GERMAN CENTRAL BANK'S LATEST ALLOCATION OF SECURITIES REPURCHASE AGREEMENTS IN WHICH THE BUNDESBANK LOWERED THE BOTTOM RATE THREE BASIS POINTS OR 3/100THS OF A PERCENTAGE POINT TO 811 RETAILING SHARES GENERALLY FELL ON A PLUNGE IN WESTERN GERMAN RETAIL SALES IN FEBRUARY IN PARIS AFTER FLUCTUATING IN A NARROW RANGE STOCK PRICES ENDED LOWER ON PROFITTAKING FOLLOWING THE PREVIOUS DAY'S RATE REDUCTION BY FRANCE'S CENTRAL BANK AMSTERDAM STOCKS ROSE PARTLY BECAUSE OF THE APPROACH OF AN OPTIONS CONTRACT EXPIRATION TOMORROW MADRID SHARES CLIMBED BOLSTERED BY ANTICIPATION OF A DROP IN INFLATION WITH DATA TO BE REPORTED TODAY AND SUBSEQUENT EASING IN INTEREST RATES ZURICH PRICES FELL AS INVESTORS SOLD INDUSTRIAL SHARES BECAUSE OF THE RELATIVE WEAKNESS OF THE DOLLAR AND DISAPPOINTING NEWS ABOUT CORPORATE SALES SYDNEY STOCKS ROSE TO A THREEYEAR HIGH AS A RISING AUSTRALIAN DOLLAR ATTRACTED FOREIGN BUYERS AND SOME MINING AND ENERGY ISSUES ADVANCED ON EXPECTATIONS THAT JAPAN'S ECONOMIC STIMULUS PLAN WILL LIFT DEMAND FOR MINERALS AND ENERGY SINGAPORE SHARES CLIMBED ON A TECHNICAL REBOUND MANILA SHARES ROSE ON HEAVY FOREIGN BUYING THOUGH THE BROADER MARKET WAS MIXED BUT TAIPEI EQUITIES EXTENDED THEIR LOSING STRING TO SIX SESSIONS AND A LACK OF LIQUIDITY WAS BLAMED SEOUL PRICES PLUMMETED ON POLITICAL SCANDAL IN THE RULING DEMOCRATIC LIBERAL PARTY THE PARTY LEADER CHOI HYONG WOO WAS ACCUSED OF PAYING A BRIBE TO GET HIS SON ADMITTED TO A PRESTIGIOUS UNIVERSITY WELLINGTON STOCKS ROSE ON A STRENGTHENING WALL STREET AND FIRSTQUARTER INFLATION DATA FOR NEW ZEALAND THAT WERE BETTER THAN EXPECTED AMONG CORPORATE DEVELOPMENTS IN FRANKFURT VEBA EASED 10 PFENNIGS TO 38120 MARKS 24111 THE TRADING CHEMICAL AND ENERGY COMPANY CONFIRMED THAT ITS CHAIRMAN KLAUS PILTZ 57 YEARS OLD DIED MONDAY IN AN AVALANCHE IN THE AUSTRIAN ALPS WHERE HE WAS ON A SKIING HOLIDAY A SUCCESSOR HADN'T BEEN NAMED 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 9304150058 930415 MARKETING & MEDIA SEAGRAM NAMES NABISCO'S MARRAM TO RUN DIVISION BY EBEN SHAPIRO STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK SEAGRAM CO HIRED AWAY THE PRESIDENT OF THE NABISCO COOKIE COMPANY TO RUN ITS BEVERAGE DIVISION AND OVERSEE AN EXPECTED DELUGE OF NEW PRODUCTS UNDER THE TROPICANA LABEL AND OTHER BRANDS SEAGRAM NAMED ELLEN R MARRAM THE 46YEAROLD PRESIDENT OF NABISCO BISCUIT CO AND ONE OF THE HIGHESTRANKING WOMEN EXECUTIVES IN CORPORATE AMERICA TO BE PRESIDENT OF THE BEVERAGE GROUP SHE ALSO WILL BE A MEMBER OF THE OFFICE OF THE PRESIDENT OF SEAGRAM CO HER DEPARTURE COMES JUST WEEKS AFTER LOUIS GERSTNER JR RESIGNED AS RJR NABISCO HOLDINGS CORP'S CHIEF EXECUTIVE OFFICER TO TAKE THE TOP JOB AT INTERNATIONAL BUSINESS MACHINES CORP AND AS RJR PLANS A 15 BILLION STOCK OFFERING TIED TO ITS FOOD BUSINESS ON TUESDAY RJR WAS FORCED TO REVISE THE TERMS BECAUSE OF THE UNCERTAIN OUTLOOK FOR THE CIGARETTE INDUSTRY REDUCING THE PLANNED DIVIDEND AND RETAINING A LARGER PORTION OF THE FOOD ISSUE THAN IT HAD FIRST PLANNED AT SEAGRAM MS MARRAM WILL RUN THE 17 BILLION BEVERAGE GROUP COMPOSED MOSTLY OF THE TROPICANA UNIT WITH 15 BILLION IN SALES LAST YEAR IT ALSO OVERSEES WINE COOLERS AND QUEST SEAGRAM'S ENTRY INTO THE NEWAGE BEVERAGE CATEGORY SEAGRAM HAS STRUGGLED TO IMPROVE TROPICANA PROFITS SINCE ACQUIRING THE BUSINESS IN 1988 FOR 12 BILLION FROM BEATRICE US FOOD CORP TROPICANA HAS BEEN HURT BY COMPETITION FROM CHEAP STORE BRANDS AND SEAGRAM HAS BEEN STRIVING TO BOLSTER ITS MARKETING FIREPOWER IT ALSO HAS REPEATEDLY REPLACED MANAGEMENT AT THE UNIT LAST YEAR TROPICANA BROUGHT IN STEVE HUGHES A KEY PLAYER IN THE EXPANSION OF CONAGRA INC'S HEALTHY CHOICE LINE AS TROPICANA'S SENIOR VICE PRESIDENT OF MARKETING RESULTS HAVE RECENTLY IMPROVED THE TURNAROUND AT TROPICANA IS PROFOUND AND I BELIEVE THAT MOMENTUM OF THE LAST SIX MONTHS WILL CONTINUE SAID EDGAR BRONFMAN JR SEAGRAM'S PRESIDENT AND CHIEF OPERATING OFFICER IN AN INTERVIEW YESTERDAY SEAGRAM HAD TARGETED NEWPRODUCT EXPERTISE AS A TOP TRAIT IN SEEKING THE NEW EXECUTIVE SAID JD ROSS THE EXECUTIVE RECRUITER WHO CONDUCTED THE SEARCH MS MARRAM SAID YESTERDAY THAT COMING UP WITH NEW PRODUCTS WILL BE AN IMPORTANT PART OF HER NEW JOB AS SHE BALANCES BETWEEN CREATING ENTIRELY NEW DRINKS AND DEVELOPING NEW VERSIONS OF EXISTING PRODUCTS SUCH AS THE TROPICANA JUICES SHE FIGURES THAT HER MANY CONNECTIONS IN THE RETAIL FOOD BUSINESS WILL HELP HER MAKE A SMOOTH TRANSITION FROM COOKIES TO JUICE AS PRESIDENT OF THE 18000EMPLOYEE NABISCO BISCUIT CO MS MARRAM PRESIDED OVER A RASH OF NEWPRODUCT INTRODUCTIONS INCLUDING SNACKWELL'S A NEW LINE OF SIX LOWFAT OR NOFAT COOKIES AND CRACKERS THAT'S SELLING SO WELL THAT GROCERS CAN'T KEEP IT IN STOCK A HARVARD MBA AND A DIRECTOR OF FORD MOTOR CO MS MARRAM'S RECORD AT NABISCO WASN'T UNBLEMISHED SHE OVERSAW A SERIES OF AGGRESSIVE PRICE INCREASES IN THE COOKIE BUSINESS THAT RESULTED IN NABISCO'S OREO AND CHIPS AHOY BRANDS LOSING GROUND TO PRIVATELABEL COOKIES MUCH IN THE SAME WAY THAT TROPICANA LOST SHARE TO DISCOUNT BRANDS IN ITS MARKET 9304150057 930415 INTERNATIONAL BRIEF EVERGO INTERNATIONAL HOLDINGS CO EARNINGS SURGED LAST YEAR HELPED BY PROPERTY SALES EVERGO INTERNATIONAL HOLDINGS CO THE LISTED FLAGSHIP OF CORPORATE RAIDERS JOSEPH AND THOMAS LAU POSTED A 121 INCREASE IN NET INCOME FOR 1992 ON THE STRENGTH OF PROPERTY DISPOSAL EVERGO'S PROFIT ROSE TO 2796 MILLION HONG KONG DOLLARS US362 MILLION FROM HK1267 MILLION REVENUE ROSE 48 TO HK187 BILLION CHAIRMAN JOSEPH LAU SAID THE RESULTS REFLECT A SUBSTANTIAL GAIN ON PROPERTY SALES BY ITS LISTED SUBSIDIARY CHINESE ESTATES HOLDINGS LTD CHINESE ESTATES POSTED A NET PROFIT OF HK6395 MILLION UP 54 FROM THE YEAREARLIER'S HK4145 MILLION WHICH CONTAINED AN EXCEPTIONAL ITEM OF HK3849 MILLION REALIZED FROM THE SALE OF AN INVESTMENT PROPERTY DESPITE THE ROBUST EARNINGS GROWTH MR LAU DECIDED TO PAY NO FINAL DIVIDEND IN A BID NOT TO PLACE AN ADDITIONAL BURDEN ON CASH RESERVES 9304150056 930415 INTERNATIONAL BRIEF ADELAIDE STEAMSHIP CO OF AUSTRALIA FIRM REVIVES PLAN TO SELL ITS WOOLWORTHS LTD UNIT ADELAIDE STEAMSHIP CO OF AUSTRALIA SAID IT IS REVIVING PLANS TO SELL ITS WOOLWORTHS LTD RETAILING UNIT THROUGH AN INITIAL PUBLIC OFFERING THE SALE IS EXPECTED TO RAISE 2 BILLION25 BILLION AUSTRALIAN DOLLARS US143 BILLIONUS179 BILLION FOR ADSTEAM WHICH IS OPERATING UNDER A MORATORIUM WITH ITS BANKERS ADSTEAM DIDN'T SAY WHAT THE PRICE RANGE WILL BE FOR THE SHARES WOOLWORTHS IS AUSTRALIA'S SECONDLARGEST RETAILER AFTER COLES MYER LTD IT ISN'T RELATED TO OTHER RETAILERS AROUND THE WORLD WITH SIMILAR NAMES THE COMPANY SAID THE TIMING OF THE FLOTATION WOULD BE DETERMINED BY MARKET CONDITIONS LAST YEAR ADSTEAM DEFERRED AN OFFERING OF WOOLWORTHS SHARES BECAUSE OF A WEAK AUSTRALIAN STOCK MARKET 9304150055 930415 TECHNOLOGY & HEALTH US FIRMS WAGE PRICE WAR IN JAPAN FOR SOFTWARE ITEMS BY DAVID P HAMILTON STAFF REPORTER OF THE WALL STREET JOURNAL TOKYO US SOFTWARE COMPANIES IN JAPAN ARE WAGING AN INCREASINGLY AGGRESSIVE PRICE WAR AS A COUNTERPART TO A SIMILAR BATTLE NOW RAGING AMONG PERSONAL COMPUTER MAKERS BUT UNLIKE HARDWARE MAKERS WHICH HAVE BEEN SLASHING LIST PRICES SINCE SEPTEMBER THE SOFTWARE COMPANIES INSIST THEY'RE NOT JUST PRICECUTTING INSTEAD THEY'RE HOLDING A VARIETY OF SPECIAL PROMOTIONS INTENDED NOT ONLY TO BUILD A BASE OF LOYAL CUSTOMERS BUT ALSO TO MAKE THE IDEA OF PERSONAL COMPUTING MORE ATTRACTIVE TO JAPANESE CONSUMERS LOTUS DEVELOPMENT JAPAN LTD A UNIT OF LOTUS DEVELOPMENT CORP FIRED THE LATEST SHOT WHEN IT ANNOUNCED A TWOMONTH SPECIAL OFFER STARTING TOMORROW IN WHICH IT WILL CUT PRICES ON ITS FOUR NEWEST SOFTWARE PRODUCTS 62 TO 74 DURING THE PROMOTION FOR INSTANCE LOTUS WILL REDUCE THE PRICE OF ITS 123 SPREADSHEET PROGRAM TO 28000 YEN ABOUT 240 FROM 98000 YEN THE LATEST OFFER HOWEVER IS FAIRLY LIMITED THE COMPANY SAYS THE OFFER WILL COVER ONLY THE FIRST 10000 UNITS OF EACH PRODUCT IT COMES ON THE HEELS OF A SIMILAR CAMPAIGN THE COMPANY BEGAN WAGING MARCH 1 IN WHICH IT WILL SELL THE LATEST VERSION OF 123 AT A 79 DISCOUNT BUT ONLY TO REGISTERED USERS OF OTHER LOTUS PRODUCTS A SOFTWARE PACKAGE SOLD IN JAPAN CAN BE ANYWHERE FROM 50 TO 80 MORE EXPENSIVE THAN IN THE US WHAT'S MORE WITH THE RECENT CUTS IN HARDWARE PRICES PRODUCTS LIKE LOTUS'S 123 NOW LIST FOR ALMOST AS MUCH AS LOWEND PERSONAL COMPUTERS WHAT LOTUS IS DOING IS THE OTHER HALF OF THE PC PRICE WAR SAID PETER WOLFF A TECHNOLOGY ANALYST WITH KIDDER PEABODY & CO IN TOKYO BUT THE SOFTWARE COMPANIES WHICH FACE ALMOST NO SIGNIFICANT JAPANESE COMPETITION SAY THEY'RE ALSO PREPARING FOR AN EXPLOSION OF PC USE IN JAPAN MANY ANALYSTS EXPECT TO BEGIN IN MAY THAT'S WHEN MICROSOFT CORP PLANS TO RELEASE THE JAPANIZED VERSION OF WINDOWS 31 A SOFTWARE INTERFACE THAT PLAYED A BIG ROLE IN KICKING OFF THE CURRENT PC BOOM IN THE US WE WOULD LIKE AS MANY PEOPLE AS POSSIBLE TO USE WINDOWS ESPECIALLY OUR LOTUS WINDOWS APPLICATIONS SAID NOBOYUKI KUGA LOTUS DEVELOPMENT JAPAN'S SALES MANAGER THAT'S WHY WE DECIDED TO DO THIS KIND OF CAMPAIGN LOTUS IS NOT THE ONLY SOFTWARE DEVELOPER AGGRESSIVELY CUTTING PRICES THE JAPANESE UNIT OF BORLAND INTERNATIONAL FOR INSTANCE RAN AN OFFER FROM DECEMBER THROUGH MARCH IN WHICH IT CUT THE PRICE OF ITS QUATTRO PRO FOR WINDOWS SPREADSHEET BY 74 TO 79 MICROSOFT TOO HAS MADE SOME AGGRESSIVE MOVES IN THE DISCOUNTING GAME MOST RECENTLY BY INTRODUCING A LICENSE PACK SCHEME IN WHICH COMPANIES THAT BUY SOFTWARE IN QUANTITY GET AN AUTOMATIC DISCOUNT OF 20 TO 30 FROM MARCH THROUGH MAY MICROSOFT CUSTOMERS WHO BUY MORE THAN FIVE LICENSES FOR ONE PRODUCT CAN ALSO BUY OTHER MICROSOFT PRODUCTS AT DISCOUNTS OF 61 TO 67 9304150054 930415 CORRECTIONS & AMPLIFICATIONS THOMAS HOPKINS IS AN ECONOMIST AT ROCHESTER INSTITUTE OF TECHNOLOGY TUESDAY'S PAGEONE ARTICLE ON REGULATION CITED THE WRONG UNIVERSITY ELIZABETH ANNE MOLER WAS CHOSEN BY PRESIDENT CLINTON TO HEAD THE FEDERAL ENERGY REGULATORY COMMISSION AN ARTICLE YESTERDAY MISSPELLED HER LAST NAME HICKS MUSE & CO CLARIFYING AN EARLIER STATEMENT SAID IT IS NEARING THE CLOSING OF THE FIRST 200 MILLION OF WHAT IS INTENDED TO BE A 500 MILLION EQUITY INVESTMENT FUND IN AN ARTICLE YESTERDAY IT WAS STATED THAT THE INVESTMENT COMPANY WAS NEARING THE CLOSING OF THE ENTIRE 500 MILLION 9304150053 930415 BUSINESS BRIEF ELCOR CORP IMPROVED RESULTS ARE POSTED FOR THE FISCAL THIRD QUARTER ELCOR CORP REPORTED SIGNIFICANTLY IMPROVED RESULTS FOR THE FISCAL THIRD QUARTER AND SAID THAT EARNINGS FROM CONTINUING OPERATIONS IN THE FOURTH QUARTER WILL BE SHARPLY HIGHER THAN THE PRIOR YEAR'S 27 CENTS A SHARE THE ROOFING AND INDUSTRIAL PRODUCTS MAKER IN DALLAS CONTINUING TO BENEFIT FROM A REBOUNDING HOMEBUILDING INDUSTRY POSTED NET INCOME OF 39 MILLION OR 50 CENTS A SHARE IN THE PERIOD ENDED MARCH 31 COMPARED WITH A YEAREARLIER LOSS OF 617000 OR EIGHT CENTS A SHARE THE YEAREARLIER LOSS INCLUDED AN EXTRAORDINARY CHARGE OF 255000 OR THREE CENTS A SHARE SALES FOR THE PERIOD INCREASED 30 TO 433 MILLION FROM 333 MILLION A YEAR EARLIER THROUGH NINE MONTHS ELCOR POSTED NET INCOME OF 137 MILLION OR 140 A SHARE ABOUT FOUR TIMES GREATER THAN YEAREARLIER NET OF 34 MILLION OR 32 CENTS A SHARE SALES ROSE 21 TO 1287 MILLION FROM 1059 MILLION A YEAR EARLIER 9304150052 930415 WALMART STOCK SLIDES 6 MORE IN HEAVY TRADE SAMESTORE SALES GROWTH IS EXPECTED TO DROP BELOW DOUBLE DIGITS BY BOB ORTEGA STAFF REPORTER OF THE WALL STREET JOURNAL WALMART STORES INC'S STOCK SLID A FURTHER 6 AS THE RETAIL TITAN ACKNOWLEDGED THAT IT WON'T ACHIEVE ITS HISTORICAL DOUBLEDIGIT GROWTH IN SAMESTORE SALES THIS YEAR SHARES OF THE NATION'S LARGEST RETAILER DROPPED 175 TO 2725 YESTERDAY ON MARKETLEADING VOLUME OF 14 MILLION SHARES IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING CONTINUING A SLIDE THAT DATES BACK TO EARLY MARCH OTHER RETAILERS INCLUDING JC PENNEY CO DAYTON HUDSON CORP HOME DEPOT INC VENTURE STORES INC AND MAY DEPARTMENT STORES CO ALSO SKIDDED TO LOWER LEVELS IN A PRESENTATION TO RETAIL ANALYSTS IN NEW YORK THE COMPANY SAID IT EXPECTS SALES GROWTH OF 7 TO 8 THIS YEAR IN STORES OPEN AT LEAST A YEAR ACCORDING TO PEOPLE WHO ATTENDED THE MEETING ANALYSTS WHO LARGELY HAVE PREDICTED SUCH SINGLEDIGIT GAINS SAID THEY WERE MORE SURPRISED BY THE EXTENT OF THE MARKET'S REACTION THAN BY THE NEWS I THINK IT'S FINALLY SINKING INTO PEOPLE'S HEADS NOW THAT WALMART'S RATE OF GROWTH IS SLOWING DOWN SAID JANET MANGANO AN ANALYST AT BURNHAM SECURITIES IN THE YEAR ENDED JAN 31 SAMESTORE SALES GREW 11 CONTINUING THE COMPANY'S SPECTACULAR RECORD SAMESTORE SALES ARE A KEY RETAIL INDICATOR IN BENTONVILLE ARK A WALMART SPOKESMAN SAID ONLY THAT NOTHING IS FUNDAMENTALLY DIFFERENT AND WE'RE CONFIDENT WE'LL REACH OUR OBJECTIVES FOR THE FIRST QUARTER THE COMPANY DIDN'T SAY WHAT ITS OBJECTIVES ARE THE COMPANY FACES A TOUGHER YEAR THAN IN TIMES PAST IN OPENING A THIRD OF ITS NEW STORES IN THE NORTHEAST THIS YEAR WALMART IS PUSHING INTO TERRITORIES THAT ALREADY HAVE TOO MANY STORES ANALYSTS SAID SINCE CLOSING AT 34 A SHARE MARCH 10 WALMART SHARES GRADUALLY DROOPED IN RECENT WEEKS AS ANALYSTS SHAVED PENNIES OFF THEIR EARNINGS ESTIMATES FOR THE CURRENT QUARTER AND WALMART CONFIRMED ANALYSTS' PROJECTIONS OF WEAKERTHANEXPECTED SALES IN MARCH LAST WEEK THE COMPANY SAID SALES IN STORES OPEN AT LEAST A YEAR GREW 3 IN MARCH WHILE TOTAL SALES GREW 20 ANALYSTS EXPRESSED PARTICULAR CONCERN ABOUT SLOWING SALES AT THE COMPANY'S SAM'S CLUB WAREHOUSE STORES SAMESTORE SALES AT THE WAREHOUSE STORES DROPPED 3 ALTHOUGH TOTAL SAM'S SALES ROSE 21 THE ANALYSTS NOTING THAT COMPETITION WAS INTENSIFYING IN WAREHOUSE CLUBS PROJECTED SLOWER GROWTH IN THAT SEGMENT THIS YEAR STILL MANY ANALYSTS SPEAK BULLISHLY ABOUT WALMART'S LONGTERM PROSPECTS NOTING THAT EVEN AS THE RETAILER'S GROWTH RATE SLOWS IT REMAINS FAR AHEAD OF MOST COMPETITORS AND THAT THE COMPANY'S FUNDAMENTALS REMAIN SOLID WALMART SAID IT EXPECTS TO OPEN 60 TO 65 NEW SAM'S CLUBS THIS YEAR FOR A TOTAL OF ABOUT 330 40 OR MORE COMBINATION GENERAL MERCHANDISE AND GROCERY WALMART SUPERCENTERS FOR A TOTAL OF ABOUT 70 STORES AND 150 WALMARTS FOR A TOTAL OF MORE THAN 2000 9304150051 930415 BUSINESS BRIEF A SCHULMAN INC COMPANY'S NET INCOME FELL 19 FOR FISCAL 2ND QUARTER A SCHULMAN INC REPORTED NET INCOME OF 79 MILLION OR 27 CENTS A SHARE IN ITS SECOND QUARTER ENDED FEB 28 DOWN 19 FROM 98 MILLION OR 33 CENTS A SHARE A YEAR AGO MEANWHILE THE COMPANY IN AKRON OHIO SAID THE WEAK EUROPEAN ECONOMY AND LOW PRICES FOR ITS PLASTIC RESINS MEAN THAT IN ITS THIRD FISCAL QUARTER ENDING IN MAY IT WILL BE DIFFICULT TO MATCH PROFIT OF 119 MILLION OR 40 CENTS A SHARE POSTED IN LAST YEAR'S THIRD QUARTER ANALYSTS' ESTIMATES OF THIRDQUARTER EARNINGS REPORTED BY FIRST CALL CORP CURRENTLY AVERAGE 39 CENTS A SHARE THE COMPANY'S STOCK CLOSED AT 2875 A SHARE UP 25 CENTS IN OVERTHECOUNTER TRADING SECOND QUARTER SALES WERE 162 MILLION DOWN 7 FROM 174 MILLION A YEAR AGO FOR THE FIRST SIX MONTHS OF FISCAL 1993 THE COMPANY EARNED 169 MILLION OR 57 CENTS A SHARE DOWN 12 FROM 191 MILLION OR 65 CENTS A SHARE IN THE YEAREARLIER PERIOD SALES IN THE FIRST HALF WERE 346 MILLION DOWN 5 FROM 362 MILLION A YEAR AGO 9304150050 930415 TELEDYNE REPORTS FIRSTQUARTER LOSS OF 1555 MILLION BY DAVID J JEFFERSON STAFF REPORTER OF THE WALL STREET JOURNAL LOS ANGELES TELEDYNE INC POSTED A FIRSTQUARTER NET LOSS OF 1555 MILLION OR 281 A SHARE AFTER A ONETIME CHARGE OF 1856 MILLION FOR A CHANGE IN ACCOUNTING FOR POSTRETIREMENT HEALTHCARE BENEFITS AND A 62 MILLION NET CHARGE RELATED TO THE US GOVERNMENT'S INVESTIGATION OF TELEDYNE ELECTRONICS NET INCOME ALSO INCLUDED A GAIN OF 242 MILLION ON TELEDYNE'S SALE OF STOCK IN LITTON INDUSTRIES INC A SPECIAL LOSS OF 37 MILLION ON THE EARLY RETIREMENT OF DEBT AND A 51 MILLION NET INCREASE IN PENSION INCOME BECAUSE OF A CHANGE IN THE DISCOUNT RATE USED TO CALCULATE THE OBLIGATION THE CHARGE FOR TELEDYNE ELECTRONICS WAS INCLUDED IN RESULTS OF THE COMPANY'S AVIATION AND ELECTRONICS SEGMENT WHICH HAD SALES OF 2829 MILLION AND PRETAX OPERATING PROFIT OF 134 MILLION FOR THE QUARTER TELEDYNE'S SALES FOR THE QUARTER FELL 11 TO 6365 MILLION FROM 7185 MILLION IN 1992 FOR THE YEAREARLIER FIRST QUARTER THE COMPANY HAD A NET LOSS OF 900000 OR TWO CENTS A SHARE AFTER A 10 MILLION CHARGE FOR AN ACCOUNTING CHANGE AND A 27 MILLION SPECIAL LOSS ON THE RETIREMENT OF DEBT TELEDYNE CAUTIONED THAT THE GOVERNMENT'S INVESTIGATION OF TELEDYNE ELECTRONICS REMAINS UNRESOLVED AND COULD RESULT IN THE RECOGNITION OF AN ADDITIONAL LOSS CONTINGENCY WHICH ISN'T CURRENTLY ESTIMABLE THE UNIT HAS RECEIVED FOUR GRAND JURY SUBPOENAS FOR INFORMATION REGARDING ITS PRODUCTION OF MILITARY TRANSPONDERS TELEDYNE DISCLOSED IN ITS 1992 ANNUAL REPORT THE COMPANY HAS ACKNOWLEDGED THAT FEDERAL INVESTIGATIONS ALSO ARE BEING CONDUCTED AT SEVERAL OTHER UNITS INCLUDING TELEDYNE NEOSHO TELEDYNE RYAN AERONAUTICAL AND TELEDYNE WAH CHANG ALBANY EARLIER THIS WEEK THE DEFENSE DEPARTMENT'S DEFENSE LOGISTICS AGENCY BANNED TELEDYNE RELAYS FROM GOVERNMENT CONTRACTING FOR ONE YEAR AFTER THE UNIT PLEADED GUILTY LAST YEAR TO MAKING FALSE STATEMENTS ABOUT THE TESTING OF MILITARY ELECTRONIC SWITCHES AND PAID A 175 MILLION FINE TELEDYNE SAID ITS SPECIALTY METALS SEGMENT HAD SALES OF 1826 MILLION AND PRETAX OPERATING PROFIT OF 134 MILLION FOR THE QUARTER THE INDUSTRIAL SEGMENT HAD SALES OF 936 MILLION AND PROFIT OF 13 MILLION AND THE CONSUMER SEGMENT HAD SALES OF 774 MILLION AND PROFIT OF 24 MILLION FOR THE QUARTER TELEDYNE SAID 9304150049 930415 BUSINESS BRIEF LASERSCOPE INC COMPANY HOPES TO REPORT SMALL PROFIT FOR 1ST PERIOD LASERSCOPE INC SAN JOSE CALIF SAID IT HOPES TO REALIZE A FIRSTQUARTER PROFIT OF 100000 OR SLIGHTLY MORE THAN A PENNY A SHARE COMPARED WITH A YEARAGO LOSS OF 494000 OR SEVEN CENTS A SHARE SALES OF SURGICAL LASERS WERE SLOWED BY A SEASONAL DIP IN HOSPITAL BUYING PATTERNS COMPOUNDED BY CONCERNS OVER LOOMING HEALTHCARE COST CONTROLS AS A RESULT FIRSTQUARTER SALES WILL FALL BELOW FOURTHQUARTER SALES OF 95 MILLION THE COMPANY SAID FOR LAST YEAR'S FIRST QUARTER LASERSCOPE REPORTED SALES OF 101 MILLION IN AN INTERVIEW ROBERT MCCORMICK PRESIDENT AND CHIEF EXECUTIVE SAID LASERSCOPE IS ON TARGET TO REALIZE ANALYSTS' FORECASTS THAT THE COMPANY WILL END THE YEAR OUT OF THE RED FOR THE YEAR ANALYSTS' PREDICTIONS RANGE FROM BREAKEVEN RESULTS TO PROFIT OF 335000 OR FIVE CENTS A SHARE WHICH MR MCCORMICK CONFIRMED AS IN THE BALLPARK LASERSCOPE POSTED A 1992 LOSS OF 44 MILLION OR 66 CENTS A SHARE 9304150048 930415 BUSINESS BRIEF HILTON HOTELS CORP FIRSTQUARTER NET ROSE 19 INCLUDING ACCOUNTING BENEFIT HILTON HOTELS CORP BEVERLY HILLS CALIF SAID FIRSTQUARTER NET INCOME ROSE 19 TO 265 MILLION OR 55 CENTS A SHARE FROM 222 MILLION OR 46 CENTS A SHARE A YEAR EARLIER THE QUARTER INCLUDED A NET GAIN FROM NEW ACCOUNTING PROCEDURES OF 34 MILLION OR SEVEN CENTS A SHARE REVENUE ROSE 20 TO 3316 MILLION FROM 2763 MILLION ALTHOUGH OPERATING PROFIT FROM THE COMPANY'S CASINOS ROSE 18 TO 483 MILLION THE HOTEL OPERATIONS CONTINUED TO LAG POSTING OPERATING PROFIT OF 128 MILLION A 3 DECLINE THE COMPANY ATTRIBUTED THE DECLINE TO COMPETITIVE PRESSURES ON ROOM RATES IN MAJOR MARKETS SUCH AS NEW YORK AND HAWAII HILTON'S STOCK DROPPED 1875 TO END AT 46125 IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING STEVEN EISENBERG AN ANALYST WITH OPPENHEIMER & CO SAID THE RESULTS WERE WITHIN HIS EXPECTATIONS BUT ADDED THAT THE COMPANY WILL FACE SUBSTANTIAL COMPETITION IN THE IMPORTANT LAS VEGAS MARKET AS BIG NEW CASINOS OPEN THEIR DOORS LATE IN THE YEAR 9304150047 930415 COMMODITIES PRECIOUS METALS FUTURES POST SHARP INCREASES AMID REPORTS OF BLOODY PROTESTS IN SOUTH AFRICA BY WARREN GETLER STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK PRECIOUS METALS FUTURES PRICES SOARED ON NEWS OF WIDESPREAD RACIAL UNREST IN SOUTH AFRICA WITH PLATINUM JUMPING NEARLY 7 AND GOLD CLIMBING 2 AN OUNCE IN HEAVY TRADING IN NEW YORK SOUTH AFRICA IS THE WORLD'S LARGEST PRODUCER OF BOTH PLATINUM AT 88 TONS ANNUALLY AND GOLD AT 300 TONS ANNUALLY ACCORDING TO INDUSTRY ESTIMATES THE NATION WAS WRACKED YESTERDAY BY A MASS STRIKE CALLED TO PROTEST THE SLAYING OF A BLACK AFRICAN NATIONAL CONGRESS LEADER CHRIS HANI THAT TURNED VIOLENT AND BLOODY AT LEAST SIX PEOPLE WERE KILLED DEALERS AND INDUSTRY EXPERTS SAID SOUTH AFRICA'S MINING OPERATIONS HAVE TENDED TO BE IMMUNE FROM WAVES OF UNREST THAT HAVE BUFFETED THE COUNTRY'S URBAN CENTERS THEY SAID THE MINES APPEARED TO HAVE BEEN SPARED AGAIN YESTERDAY TO MY KNOWLEDGE NONE OF THE VIOLENCE SPREAD TO THE MINES TODAY SAID JACQUES LUBIN EXECUTIVE DIRECTOR OF PLATINUM GUILD INTERNATIONAL A TRADE GROUP IN NEW YORK IN THE PAST THERE HAVE BEEN OCCASIONAL CASES OF LABOR DISPUTES AT THE MINES THAT HAVE TURNED VIOLENT BUT THAT'S BEEN RARE AND WITH LITTLE TO NO LONGTERM IMPLICATIONS FOR PLATINUM OR GOLD PRICES IN OVERSEAS FUTURES MARKETS MR LUBIN ADDED ON NEW YORK'S COMMODITY EXCHANGE GOLD FOR JUNE DELIVERY JUMPED 2 TO SETTLE AT 34080 AN OUNCE IT HAD TRADED AS HIGH AS 34220 PLATINUM FOR JULY DELIVERY SURGED 690 TO END AT 36930 AN OUNCE ANALYSTS SAID BOTH PRECIOUS METALS HAD SETTLED NEAR KEY RESISTANCE LEVELS 342 FOR GOLD AND 373 TO 375 FOR PLATINUM WHETHER GOLD AND PLATINUM CAN MOVE ABOVE THESE LEVELS IN THE NEXT TRADING SESSIONS WILL BE CLOSELY WATCHED THEY ADDED SOME ANALYSTS SUGGESTED THAT THE MARKETS APPEARED TO HAVE BEEN WAITING FOR AN EXCUSE TO BID GOLD AND PLATINUM PRICES HIGHER ON TECHNICAL GROUNDS AND THE UNREST IN SOUTH AFRICA PROVIDED A CATALYST INVESTMENT DEMAND FOR BOTH METALS HAS BEEN STRONG THIS YEAR AND THIS IS THE KIND OF EVENT THAT INVESTORS TEND TO FOCUS ON SAID JOE ROSTA RESEARCH DIRECTOR AT CPM GROUP A PRECIOUSMETALS CONSULTING FIRM IN NEW YORK HE SAID THE STRIKES PROVIDED A PSYCHOLOGICAL EFFECT IN THE MARKETS BUT THE MINES THEMSELVES DIDN'T SEEM TO HAVE BEEN RATTLED BERNARD SAVAIKO AN ANALYST WITH PAINEWEBBER IN NEW YORK CONCURRED HISTORY HAS SHOWN THAT QUITE A FEW POLITICAL UPRISINGS IN SOUTH AFRICA HAVE FAILED TO SIGNIFICANTLY DISRUPT OUTPUT OF EITHER GOLD OR PLATINUM DESPITE FEARS TO THE CONTRARY HE SAID HE SAID THAT WHILE THE UNREST IN SOUTH AFRICA MAY PROVIDE A SHORTTERM BOOST TO GOLD AND PLATINUM DEPENDING ON WHETHER TENSIONS SUBSIDE QUICKLY OR NOT OTHER EXTERNAL POLITICAL FACTORS NAMELY THE APRIL 25 REFERENDUM IN RUSSIA ON PRESIDENT BORIS YELTSIN'S RULE MAY SOON GENERATE FURTHER BUYING SUPPORT FOR THE TWO METALS RUSSIA IS THE SECOND LARGEST PRODUCER OF PLATINUM AND A LEADING PRODUCER OF GOLD IN THE EVENT OF CIVIL UNREST IN RUSSIA GOLD WOULD STAND TO BENEFIT AS AN INVESTMENT HAVEN DEALERS SAID IN OTHER PRECIOUS METALS ACTIVITY YESTERDAY SILVER FOR MAY DELIVERY JUMPED 68 CENTS TO SETTLE AT 3945 AN OUNCE ON THE COMEX WHILE PALLADIUM FOR JUNE DELIVERY ENDED 85 CENTS HIGHER AT 11235 ON THE NEW YORK MERCANTILE EXCHANGE IN OTHER COMMODITY MARKETS COPPER FUTURES PRICES ENDED SHARPLY LOWER AMID PERSISTENT SELLING BY CHINESE DEALERS IN THE LONDON MARKET AND CONTINUING CONCERN BY MARKET PARTICIPANTS ABOUT LARGE CERTIFIED STOCKPILES OF THE BASE METAL IN BOTH NEW YORK AND LONDON ON NEW YORK'S COMMODITY EXCHANGE COPPER FOR MAY DELIVERY FELL 19 CENTS TO CLOSE AT 886 CENTS A POUND DEALERS SAID CHINESE DEMAND WHICH WASTRONG EARLIER THIS YEAR IS EVAPORATING AS THE CHINESE CURRENCY CONTINUES TO WEAKEN GRAINS & SOYBEANS PRICES OF CORN WHEAT AND SOYBEAN FUTURES CONTRACTS SLIPPED AMID HEAVY SELLING BY COMMODITY FUND MANAGERS THE FUNDS SHRUGGED OFF GROWING SPECULATION THAT THE UNUSUALLY RAINY WEATHER ACROSS THE MIDWEST WILL DELAY CORN PLANTING WHICH IN TURN MIGHT EXACERBATE THE DROP IN CORN ACREAGE ALREADY PREDICTED BY GRAIN INDUSTRY ANALYSTS IN THE WAKE OF LAST YEAR'S RECORD HARVEST A RAINDELAYED PLANTING SEASON IN THE MIDWEST USUALLY FORCES FARMERS TO SHIFT MORE OF THEIR ACREAGE TO SOYBEANS WHICH ARE SOWN LATER THAN CORN IN TRADING AT THE CHICAGO BOARD OF TRADE THE CORN CONTRACT FOR MAY DELIVERY FELL TWO CENTS A BUSHEL TO SETTLE AT 231 A BUSHEL 9304150046 930415 BUSINESS BRIEF AMERICAN HOME PRODUCTS CORP FIRM'S EARNINGS FELL 11 SALES ROSE 5 IN 1ST PERIOD AMERICAN HOME PRODUCTS CORP SAID FIRSTQUARTER NET INCOME FELL 11 BECAUSE IT RESTATED YEAREARLIER RESULTS WHILE SALES ROSE 5 AIDED BY PARTICULARLY STRONG PHARMACEUTICAL SALES NET INCOME FELL TO 4015 MILLION OR 129 A SHARE A YEAR EARLIER NET INCOME WAS 4534 MILLION OR 143 A SHARE A FIGURE THAT INCLUDED SEVERAL SPECIAL ITEMS WITHOUT THE UNUSUAL ITEMS NET INCOME WOULD HAVE RISEN 11 THE COMPANY SAID SALES ROSE TO 211 BILLION FROM 2 BILLION THE COMPANY IN NEW YORK RESTATED THE 1992 FIRST QUARTER TO INCLUDE A 220 MILLION CHARGE FOR ACQUIRED RESEARCH RELATED TO THE ACQUISITION OF 60 OF GENETICS INSTITUTE INC A CAMBRIDGE MASS BIOTECHNOLOGY COMPANY FOR 666 MILLION THE COMPANY ALSO HAD A 3833 MILLION GAIN IN ADOPTING AN ACCOUNTING CHANGE FOR INCOME TAXES AND A 732 MILLION CHARGE FOR ACCOUNTING FOR POSTRETIREMENT BENEFITS OTHER THAN PENSIONS 9304150045 930415 ABREAST OF THE MARKET PROFIT NEWS BRING MIXED RESULTS FOR STOCKS INDUSTRIALS RISE 1161 BY DAVE PETTIT STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK STOCK PRICES ENDED MIXED AS CORPORATE EARNINGS REPORTS PUSHED INDIVIDUAL ISSUES IN DIFFERENT DIRECTIONS THE DOW JONES INDUSTRIAL AVERAGE MANAGED A GAIN OF 1161 TO 345564 BUT BROADER MARKET INDEXES EDGED LOWER A HANDFUL OF STOCKS SUPPORTED THE INDUSTRIAL AVERAGE AMONG THEM MINNESOTA MINING & MANUFACTURING SURGED 2 5/8 TO 113 3/8 GOODYEAR TIRE ROSE 1 7/8 TO 80 AND GENERAL ELECTRIC INCREASED 1 1/4 TO 94 3/8 BUT TRADERS SAID THERE WAS NO THEME THAT LINKED ACTION IN VARIOUS SECTORS OF THE MARKET INDEED EVEN WITHIN GROUPS STOCKS ARE GOING IN DIFFERENT DIRECTIONS SAID CHARLES BLOOD A MARKET ANALYST AT BROWN BROTHERS HARRIMAN MANY OF THE WINNERS AND LOSERS WERE DETERMINED BY THE FLOW OF EARNINGS NEWS WASTE MANAGEMENT JUMPED 1 5/8 TO 33 1/2 AS ANALYSTS REACTED WITH ENTHUSIASM TO THE ENVIRONMENTAL SERVICES COMPANY'S POSITIVE FIRSTQUARTER FORECAST THAT WAS MADE TUESDAY NOVACARE SLUMPED 3 3/8 TO 12 AFTER IT PROJECTED DISAPPOINTING THIRDQUARTER RESULTS THE STANDARD & POOR'S 500STOCK INDEX EASED 056 TO 44866 WHILE THE NEW YORK STOCK EXCHANGE COMPOSITE INDEX FELL 012 TO 24773 THE DOW JONES EQUITY MARKET INDEX DROPPED 045 TO 42617 EDWARD COLLINS HEAD OF US EQUITY TRADING AT DAIWA SECURITIES SAID CONTINUED STRENGTH IN THE BOND MARKET HELPED PLACE A FLOOR UNDER THE MARKET THE TREASURY'S 30YEAR BOND ROSE MORE THAN 3/8 SENDING ITS YIELD TO 675 LOW RATES HAVE BEEN AN IMPORTANT PROP FOR STOCKS FOR MONTHS MEANWHILE CASH FLOWING INTO EQUITY MUTUAL FUNDS ALSO HELPED LIFT STOCKS SAID TRUDE LATIMER CHIEF MARKET STRATEGIST AT WAYNE GRAYSON CAPITAL MONEY IS COMING INTO INSTITUTIONAL ACCOUNTS AND IT IS CONTRIBUTING TO KEEPING THIS MARKET AFLOAT SHE SAID VOLUME ON THE BIG BOARD WAS 256054580 SHARES DOWN FROM 286153450 SHARES TUESDAY ADVANCING ISSUES OUTNUMBERED DECLINERS 1021 TO 874 RETAILING STOCKS FARED POORLY WALMART LOST 1 3/4 TO 27 1/4 ON VOLUME OF 14 MILLION SHARES AFTER OFFICIALS OF THE DISCOUNT DEPARTMENT STORE CHAIN MET WITH SECURITIES ANALYSTS IN NEW YORK ONE PERSON WHO WAS AT THE MEETING CHARACTERIZED THE SESSION AS NEITHER UPBEAT NOR DOWNBEAT WALMART IS SAID TO HAVE INDICATED THAT IT WILL POST A GAIN OF 7 TO 8 FOR COMPARABLESTORE SALES IN 1993 THE STOCK TRADED AS LOW AS 26 DURING THE DAY ELSEWHERE IN THE GROUP DAYTON HUDSON FELL 1 3/4 TO 77 1/4 JC PENNEY DECLINED 3 5/8 TO 85 1/2 HOME DEPOT DROPPED 1 7/8 TO 42 3/4 MAY DEPARTMENT STORES SKIDDED 2 3/8 TO 75 3/4 AND VENTURE STORES EASED 3/4 TO 21 3/8 SEARS ROEBUCK THOUGH ADDED 1/8 TO 53 7/8 PROCTER & GAMBLE ADDED 1/8 TO 48 1/4 EVEN THOUGH THE CINCINNATI COMPANY ANNOUNCED PLANS TO FURTHER TRIM PRICES ON ITS LEADING DIAPER BRANDS SHARES OF OTHER DIAPER MAKERS SLID KIMBERLYCLARK LOST 1 7/8 TO 51 1/2 PARAGON TRADE BRANDS A DISCOUNT DIAPER MANUFACTURER DECLINED 5 TO 25 1/4 DIGITAL EQUIPMENT ROSE 1 1/2 TO 41 5/8 THE MAYNARD MASS COMPUTER MAKER HAD A LOSS OF 23 CENTS A SHARE FOR THE THIRD QUARTER ENDED LAST MONTH MUCH NARROWER THAN ITS 250ASHARE LOSS A YEAR EARLIER REVENUE FOR THE PERIOD ROSE 6 KING WORLD PRODUCTIONS ADDED 1 TO 33 1/2 AFTER THE NEW YORK DISTRIBUTOR OF SYNDICATED TELEVISION PROGRAMS REPORTED A PROFIT OF 62 CENTS A SHARE FOR THE SECOND QUARTER ENDED FEB 28 IT EARNED 55 CENTS A SHARE IN THE YEAREARLIER PERIOD HILTON HOTELS FELL 1 7/8 TO 46 1/8 EVEN THOUGH NET INCOME ROSE TO 55 CENTS A SHARE IN THE FIRST QUARTER FROM 46 CENTS A SHARE A YEAR EARLIER ALTHOUGH THE BEVERLY HILLS CALIF COMPANY SAID ITS CASINORELATED INCOME ROSE IT SAID THE WEAK ECONOMY DEPRESSED RESULTS FROM ITS HOTEL OPERATIONS PAINEWEBBER GROUP CLOSED WITH A GAIN OF 1/4 TO 27 1/4 AFTER TRADING AS HIGH AS 29 THE NEW YORK SECURITIES BROKERAGE CONCERN POSTED FIRSTQUARTER PROFIT OF 133 A SHARE THAT WAS BELOW THE 153 A SHARE IT EARNED LAST YEAR BUT BETTER THAN ANALYSTS EXPECTED FIRST FIDELITY BANCORP OF LAWRENCEVILLE NJ FELL 5/8 TO 50 1/8 IT AGREED TO ACQUIRE PEOPLES WESTCHESTER SAVINGS BANK FOR 233 MILLION IN CASH AND STOCK IN OVERTHECOUNTER TRADING SHARES OF PEOPLES DROPPED 2 1/4 TO 41 9304150044 930415 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 1/2 HIGH 1 1/2 LOW 1 1/2 NEAR CLOSING BID 2 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 306 30 TO 119 DAYS 308 120 TO 149 DAYS 310 150 TO 179 DAYS 312 180 TO 239 DAYS 315 240 TO 270 DAYS COMMERCIAL PAPER HIGHGRADE UNSECURED NOTES SOLD THROUGH DEALERS BY MAJOR CORPORATIONS 315 30 DAYS 315 60 DAYS 316 90 DAYS CERTIFICATES OF DEPOSIT 262 ONE MONTH 265 TWO MONTHS 268 THREE MONTHS 279 SIX MONTHS 295 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 305 ONE MONTH 307 THREE MONTHS 315 SIX MONTHS BANKERS ACCEPTANCES 299 30 DAYS 299 60 DAYS 299 90 DAYS 301 120 DAYS 303 150 DAYS 304 180 DAYS NEGOTIABLE BANKBACKED BUSINESS CREDIT INSTRUMENTS TYPICALLY FINANCING AN IMPORT ORDER LONDON LATE EURODOLLARS3 3/16 3 1/16 ONE MONTH 3 3/16 3 1/16 TWO MONTHS 3 1/4 3 1/8 THREE MONTHS 3 1/4 3 1/8 FOUR MONTHS 3 5/16 3 3/16 FIVE MONTHS 3 5/16 3 3/16 SIX MONTHS LONDON INTERBANK OFFERED RATES LIBOR 3 3/16 ONE MONTH 3 1/4 THREE MONTHS 3 5/16 SIX MONTHS 3 9/16 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 9 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 APRIL 12 1993 AUCTION OF SHORTTERM US GOVERNMENT BILLS SOLD AT A DISCOUNT FROM FACE VALUE IN UNITS OF 10000 TO 1 MILLION 289 13 WEEKS 3 26 WEEKS FEDERAL HOME LOAN MORTGAGE CORP FREDDIE MAC POSTED YIELDS ON 30YEAR MORTGAGE COMMITMENTS DELIVERY WITHIN 30 DAYS 715 60 DAYS 726 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 717 60 DAYS 727 STANDARD CONVENTIONAL FIXEDRATE MORTGAGES 495 6/2 RATE CAPPED ONEYEAR ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC MERRILL LYNCH READY ASSETS TRUST 275 ANNUALIZED AVERAGE RATE OF RETURN AFTER EXPENSES FOR THE PAST 30 DAYS NOT A FORECAST OF FUTURE RETURNS 9304150043 930415 NOTABLE & QUOTABLE JOHN RUTLEDGE FROM HIS MARCH 15 RUTLEDGE REPORT THE REVENUE ESTIMATES IN THE PRESIDENT'S PROGRAM ARE BASED ON AN ASSUMED 1 ANNUAL REAL GROWTH KICK PRESUMABLY THE RESULT OF AMERICAN WORKERS RUSHING TO TAKE ADVANTAGE OF THE CHANCE TO CUT THE GOVERNMENT IN FOR AN EVEN LARGER SHARE OF THEIR PAYCHECKS INSTEAD ECONOMIC GROWTH AND TAX REVENUES WILL DECLINE OVER THE NEXT FOUR YEARS AS PRODUCTIVE AMERICANS WITHDRAW FROM THE TAXABLE ECONOMY THROUGH DEFERRING TAXABLE INCOME USING TAX SHELTERS OR SIMPLY NOT WORKING AS HARD 9304150042 930415 BUSINESS BRIEF FROZEN FOOD EXPRESS INDUSTRIES INC COMPANY SAYS PROFIT ROSE 12 TO 15 IN 1ST QUARTER FROZEN FOOD EXPRESS INDUSTRIES INC EXPECTS TO REPORT A 12 TO 15 INCREASE IN NET INCOME FOR THE FIRST QUARTER STONEY STUBBS JR FROZEN FOOD'S CHIEF EXECUTIVE OFFICER AND CHAIRMAN SAID THE CHAIRMAN OF THE TRUCKING COMPANY SAID PROFIT ROSE DESPITE WINTER WEATHER THAT HURT OPERATIONS NET INCOME IS EXPECTED TO BE 12 MILLION TO 1260000 OR 13 CENTS TO 14 CENTS A SHARE COMPARED WITH 11 MILLION OR 12 CENTS A SHARE A YEAR EARLIER REVENUE IS EXPECTED TO INCREASE 9 TO ABOUT 48 MILLION FROM 446 MILLION THE PERSHARE FIGURES REFLECT A 3FOR2 STOCK SPLIT DISTRIBUTED IN MARCH 1992 AND 4FOR3 STOCK SPLIT PAID IN OCTOBER 1992 IN EVERY MONTH OF THE QUARTER BAD WEATHER DELAYED MANY OF OUR TRUCKS THE SOCALLED STORM OF THE CENTURY STRANDED ABOUT 200 SAID MR STUBBS THE COMPANY WILL REPORT NET INCOME THAT IS SOMEWHAT LESS THAN ANTICIPATED BUT MUCH MORE THAN HOPED FOR GIVEN THE BAD WEATHER HE SAID 9304150040 930415 MARKETING BRIEF KING WORLD PRODUCTIONS INC FIRM'S EARNINGS ROSE 13 IN FISCAL SECOND QUARTER KING WORLD PRODUCTIONS INC REPORTED A 13 INCREASE IN EARNINGS FOR ITS FISCAL SECOND QUARTER AS ITS SYNDICATED TELEVISION PROGRAMS SUCH AS WHEEL OF FORTUNE CONTINUE TO THRIVE FOR THE QUARTER ENDED FEB 28 THE TELEVISION PROGRAM PRODUCTION AND DISTRIBUTION CONCERN IN NEW YORK REPORTED NET INCOME OF 241 MILLION OR 62 CENTS A SHARE COMPARED WITH 213 MILLION OR 55 CENTS A SHARE A YEAR EARLIER REVENUE FELL 6 TO 1131 MILLION IN NEW YORK STOCK EXCHANGE TRADING KING WORLD GAINED 1 TO CLOSE AT 3350 A SHARE KING WORLD SAID WHEEL OF FORTUNE THE OPRAH WINFREY SHOW INSIDE EDITION AND JEOPARDY CONTINUE TO RECORD STRONG RATINGS IN THE SYNDICATED TELEVISION MARKET THE COMPANY SAID THE DROP IN REVENUE STEMS FROM THE CANCELLATION OF CANDID CAMERA 9304150039 930415 GEORGIAPACIFIC CORP POSTS 1STPERIOD NET AFTER YEARAGO LOSS ATLANTA GEORGIAPACIFIC CORP CITING A STRONG PERFORMANCE IN ITS BUILDINGPRODUCTS LINE REPORTED FIRSTQUARTER EARNINGS OF 41 MILLION OR 47 CENTS A SHARE AFTER A YEAREARLIER LOSS THE FORESTPRODUCTS CONCERN NOTED THAT THE RESULTS FOR THE MOST RECENT QUARTER INCLUDED A CHARGE OF 3 MILLION OR THREE CENTS A SHARE REFLECTING A REVISED ESTIMATE OF THE LOSS ANTICIPATED FROM THE PREVIOUSLY ANNOUNCED SALE OF BUTLER PAPER CO IN THE 1992 FIRST QUARTER GEORGIAPACIFIC REPORTED A NET LOSS OF 58 MILLION OR 67 CENTS A SHARE THAT INCLUDED A CHARGE OF 55 MILLION OR 64 CENTS A SHARE FOR ACCOUNTING CHANGES SALES ROSE ALMOST 4 TO 294 BILLION FROM 283 BILLION THE RESULTS WHICH EXCEEDED ANALYSTS' FORECASTS INCLUDED A RECORD OPERATING PROFIT IN GEORGIAPACIFIC'S BUILDINGPRODUCTS OPERATION OF 309 MILLION UP FROM 182 MILLION A YEAR EARLIER THE INCREASE WAS ATTRIBUTED TO STRONG PRICES FOR LUMBER AND STRUCTURAL PANELS THE COMPANY'S PULP AND PAPER DIVISION HOWEVER FARED POORLY WITH AN OPERATING LOSS OF 67 MILLION COMPARED WITH A 30 MILLION PROFIT A YEAR EARLIER T MARSHALL HAHN JR CHAIRMAN AND CHIEF EXECUTIVE ATTRIBUTED THE WEAK PERFORMANCE TO A DROP IN PRICES HE ADDED HOWEVER IN A PREPARED STATEMENT THAT SOME PRICES HAVE NOW STABILIZED THE LOSS IN THE DIVISION FOLLOWS A SIMILAR LOSS IN THE FOURTH QUARTER THE COMPANY'S FIRST IN AT LEAST A DECADE GEORGIAPACIFIC ALSO REPORTED A FREE CASH FLOW DEFICIT OF ABOUT 115 MILLION IN THE QUARTER WHICH INCLUDED A 155 MILLION PAYMENT TO THE INTERNAL REVENUE SERVICE THE RESULT OF A TAX AUDIT FROM 1984 TO 1988 BECAUSE THE COMPANY HAD ADEQUATELY ACCRUED FOR THE PAYMENT NO CHARGE AGAINST EARNINGS WAS NECESSARY SAID A COMPANY SPOKESWOMAN THE FIRSTQUARTER RESULTS WERE RELEASED AFTER MARKETS CLOSED IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING YESTERDAY GEORGIAPACIFIC CLOSED AT 62125 A SHARE UP 150 9304150038 930415 BUSINESS BRIEF MCORP REORGANIZATIONS ARE FILED FOR FIRM TWO SUBSIDIARIES MCORP DALLAS SAID IT FILED REORGANIZATION PLANS IN A HOUSTON FEDERAL COURT FOR ITSELF AND TWO SUBSIDIARIES MCORP MANAGEMENT AND MCORP FINANCIAL INC THE BANKING COMPANY WHICH COLLAPSED IN 1989 SAID IT FILED THE PLANS JOINTLY WITH CERTAIN SENIOR BONDHOLDERS AND THE UNSECURED CREDITORS COMMITTEE AN AGREEMENT REACHED WITH THOSE GROUPS LAST MONTH CLEARED THE WAY FOR THE FILING WHICH WASN'T JOINED BY JUNIOR BONDHOLDERS THE PLANS MUST BE APPROVED BY CREDITORS AND CONFIRMED BY THE COURT THE COMPANY SAID MCORP SAID THE PLANS WOULD CANCEL ALL EXISTING PREFERRED AND COMMON STOCK AND PROBABLY WON'T PROVIDE ANY PAYOUTS TO EQUITY HOLDERS THE COMPANY ALSO SAID THE PLANS DON'T PROVIDE FOR INTERIM DISTRIBUTIONS TO SENIOR CREDITORS PRIOR TO CONFIRMATION OF THE PLANS JUNIOR AND SENIOR BONDHOLDERS COULDN'T AGREE ON THE TERMS OF THE PROPOSED INTERIM PAYOUT MCORP SAID THE COMPANY SAID THAT AS PART OF A SETTLEMENT OF LITIGATION WITH THE FEDERAL DEPOSIT INSURANCE CORP CLAIMS BY SENIOR BONDHOLDERS WILL BE REDUCED TO AN ESTIMATED 319 MILLION FROM 353 MILLION 9304150037 930415 SUIT SEEKING ADJUSTMENT TO CENSUS IS THROWN OUT WASHINGTON A FEDERAL JUDGE REJECTED A LAWSUIT FILED BY A GROUP OF MAJOR US CITIES TO FORCE AN ADJUSTMENT TO THE 1990 CENSUS THAT WOULD HAVE MADE UP FOR AN UNDERCOUNT OF MANY OF THE NATION'S POOREST PEOPLE DISTRICT JUDGE JOSEPH MCLAUGHLIN SAID IT WAS LAWFUL FOR FORMER COMMERCE SECRETARY ROBERT MOSBACHER TO REJECT USING STATISTICAL TECHNIQUES TO CORRECT UNDERCOUNTS IN THE 1990 CENSUS THE CENSUS BUREAU WHICH IS PART OF THE COMMERCE DEPARTMENT ACKNOWLEDGED IT HAD MISSED MILLIONS OF AMERICANS MOST OF THEM BLACK AND HISPANIC AND LIVING IN INNER CITIES IN ITS DECENNIAL COUNT ALTHOUGH THE LAWSUIT WAS THROWN OUT OF COURT THE DISPUTE HIGHLIGHTS THE NEED FOR GOVERNMENT TO GENERATE ACCURATE NUMBERS WHEN COUNTING THE US POPULATION CENSUS COUNTS ARE IMPORTANT TO LOCALES BECAUSE THEY DETERMINE THE NUMBER OF CONGRESSIONAL SEATS EACH DISTRICT GETS FEDERAL AID IS OFTEN DISTRIBUTED ON THE BASIS OF POPULATION AS WELL THE LAWSUIT FILED BY SUCH LARGE CITIES AS NEW YORK AND LOS ANGELES SOUGHT TO BOOST THE LATEST COUNT BY ROUGHLY FIVE MILLION 9304150036 930415 BUSINESS BRIEF STEEL TECHNOLOGIES INC QUARTERLY EARNINGS DOUBLED AUTO MARKET GAINS ARE CITED STEEL TECHNOLOGIES INC SAID IT EARNED 26 MILLION OR 33 CENTS A SHARE IN ITS FISCAL SECOND QUARTER ENDED MARCH 31 ABOUT DOUBLE THE 13 MILLION OR 16 CENTS A SHARE A YEAR AGO CITING INCREASED AUTOMOTIVE PRODUCTION AND HIGHER MARKET SHARE IN THE AUTO MARKET MERWIN J RAY CHAIRMAN AND CHIEF EXECUTIVE OFFICER SAID HE EXPECTS RECORD SALES AND EARNINGS FOR THE FISCAL SECOND HALF IN LAST YEAR'S SECOND HALF THE LOUISVILLE KY MAKER OF FLATROLLED STEEL EARNED 34 MILLION OR 42 CENTS A SHARE ON SALES OF 808 MILLION SECONDQUARTER SALES WERE 52 MILLION UP 36 FROM 383 MILLION A YEAR AGO DURING THE FIRST SIX MONTHS THE COMPANY EARNED 44 MILLION OR 55 CENTS A SHARE UP 67 FROM 26 MILLION OR 33 CENTS A SHARE IN FISCAL 1992 SALES FOR THE FIRST SIX MONTHS WERE 938 MILLION UP 27 FROM 736 MILLION 9304150035 930415 WHAT'S NEWS BUSINESS AND FINANCE THE WHITE HOUSE REOPENED THE DOOR TO A BROADBASED CONSUMPTION LEVY SUCH AS A VALUEADDED TAX TO HELP FINANCE A HEALTHCARE OVERHAUL SUCH A TAX WAS RULED OUT IN FEBRUARY BUT A CLINTON AIDE CONCEDED THAT THE HEALTH CARE TASK FORCE COULD PROPOSE THE TAX TO THE PRESIDENT SOME IN THE CORPORATE WORLD WOULD WELCOME SUCH A TAX BUT CONSUMERS MAY OPPOSE IT INVENTORIES JUMPED 04 IN FEBRUARY THE LARGEST RISE IN SEVEN MONTHS FUELED MOSTLY BY A DROP IN CAR SALES AND WEAK RETAIL SALES OVERALL ANALYSTS SAID IT WAS TOO EARLY TO DRAW CONCLUSIONS FROM THE BUILDUP WHICH USUALLY AUGURS SLOWER ECONOMIC GROWTH AT&T PLANS TO SEEK PERMISSION TO SELL INTERNATIONAL COMMUNICATIONS SERVICES TO BUSINESSES WITH BRITISH OFFICES PEOPLE CLOSE TO THE SITUATION SAID THE MOVE FOLLOWS A SIMILAR EFFORT BY BRITISH TELECOM TO EXPAND IN THE US MICROSOFT'S PROFIT JUMPED 36 IN ITS THIRD QUARTER REFLECTING CONTINUED DEMAND FOR ITS WINDOWS SOFTWARE REVENUE SURGED 41 THE RESULTS SLIGHTLY EXCEEDED ANALYSTS' FORECASTS WALMART'S STOCK SLID 175 OR 6 TO 2725 AFTER THE RETAILER SAID IT WON'T ACHIEVE ITS HISTORICAL DOUBLEDIGIT GROWTH IN SAMESTORE SALES THIS YEAR OTHER RETAILERS' STOCKS ALSO SKIDDED DIGITAL EQUIPMENT'S LOSS NARROWED TO 301 MILLION IN THE LATEST QUARTER REFLECTING OPERATING COST CUTS THE COMPUTER MAKER'S RESULTS FUELED EXPECTATIONS OF A PROFIT FOR THIS QUARTER UPJOHN'S CHAIRMAN AND CHIEF WAS HOSPITALIZED IN CRITICAL BUT STABLE CONDITION AND ANOTHER EXECUTIVE ASSUMED HIS RESPONSIBILITIES AS CEO FIRST UNION'S PROFIT MORE THAN DOUBLED IN THE FIRST QUARTER WHILE BANK OF NEW YORK'S EARNINGS JUMPED 56 AND WACHOVIA'S NET ROSE BY NEARLY 15 THE BANK COMPANIES WERE BOOSTED IN PART BY HIGHER INTEREST INCOME AND SMALLER LOANLOSS PROVISIONS EXXON LAUNCHED A CAMPAIGN IN THE SCIENTIFIC COMMUNITY TO TRY TO DISPEL THE BELIEF THAT ALASKA'S PRINCE WILLIAM SOUND SUFFERED LONGTERM DAMAGE FROM THE 1989 VALDEZ OIL SPILL THE COMPANY CLAIMS THAT ITS OWN RESEARCH REBUTS SOME GOVERNMENT CONCLUSIONS NETWORTH'S STOCK SANK 43 AFTER THE COMPUTER COMPANY SAID IT WILL POST A LOSS FOR THE LATEST QUARTER ILLUSTRATING HOW HIGHLY TOUTED INITIAL PUBLIC OFFERINGS CAN QUICKLY PRODUCE LOSSES HONG KONG STOCKS SOARED 58 WEDNESDAY A DAY AFTER BRITAIN AND CHINA SAID THEY WOULD RESUME TALKS ON THE COLONY'S CONSTITUTIONAL FUTURE PRECIOUS METALS FUTURES PRICES SOARED ON NEWS OF WIDESPREAD RACIAL UNREST IN SOUTH AFRICA WITH PLATINUM JUMPING NEARLY 7 AND GOLD CLIMBING 2 AN OUNCE IN HEAVY TRADING GOLDMAN SACHS' CHAIRMAN WARNED THAT THIS DECADE WILL BE BRUTALLY HARSH FOR THE SECURITIES INDUSTRY ROYAL TRUSTCO POSTED A 1992 LOSS OF 6744 MILLION THE FINANCIALSERVICES ARM OF THE EMPIRE CONTROLLED BY TORONTO'S PETER AND EDWARD BRONFMAN WARNED OF MORE BAD NEWS TO COME BONDS LEHMAN BROTHERS TREASURY INDEX 512542 UP 1738 COMMODITIES OIL 2040 A BARREL OFF SIX CENTS DOW JONES FUTURES INDEX 12502 OFF 020 SPOT INDEX 12201 UP 035 DOLLAR 11388 YEN UP 048 15935 MARKS UP 00115 9304150034 930415 MARKETING BRIEF GANNETT CO COMPANY POSTS NET INCOME OF 663 MILLION FOR QUARTER GANNETT CO REPORTED FIRSTQUARTER NET INCOME OF 663 MILLION OR 46 CENTS A SHARE A TURNAROUND FROM A YEAR EARLIER WHEN IT HAD A NET LOSS OF 914 MILLION OR 63 CENTS A SHARE THE YEAREARLIER QUARTER WAS AFFECTED BY ONETIME CHARGES OF 146 MILLION FOR ACCOUNTING CHANGES EXCLUDING THE CHARGES THE ARLINGTON VA NEWSPAPER AND BROADCAST CONCERN'S EARNINGS GREW 22 REVENUE INCREASED 65 TO 8447 MILLION FROM 7931 MILLION OPERATING INCOME GREW 16 TO 1201 MILLION GANNETT SAID EARNINGS FROM THE NEWSPAPER AND BROADCAST GROUPS GREW IN THE QUARTER WHILE ITS NATIONAL NEWSPAPER USA TODAY HAD SIGNIFICANTLY IMPROVED RESULTS THE PAPER HAD A 29 GAIN IN PAID AD PAGES AND A 21 GAIN IN AD REVENUE SEVERAL ANALYSTS ESTIMATE THAT IF RESULTS CONTINUE ON THESE TRENDS USA TODAY WILL TURN ITS FIRST ANNUAL PROFIT IN 1993 NEWSPAPER GROUP AD REVENUE GREW 9 REFLECTING IN PART THE PURCHASE OF THE HONOLULU ADVERTISER IN JANUARY 9304150033 930415 HARTMARX HOLDERS SUPPORT PROPOSAL ON POISON PILL' CHICAGO A PROPOSAL CALLING FOR HARTMARX CORP TO DISMANTLE ITS POISON PILL TAKEOVER DEFENSE GARNERED 78 OF THE VOTES CAST AT THE COMPANY'S ANNUAL SHAREHOLDER MEETING HERE YESTERDAY BUT OFFICIALS OF THE APPAREL MANUFACTURER SAID THE COMPANY'S LOAN AGREEMENTS WITH ITS BANKERS FORBID IT FROM CHANGING THE PROVISION SHOULD ITS BANKERS CHANGE THEIR MINDS HARTMARX'S BOARD WILL EVALUATE THE SITUATION AND ACT IN THE BEST INTEREST OF OUR SHAREHOLDERS SAID CHAIRMAN ELBERT O HAND THE VOTE MARKED THE THIRD CONSECUTIVE ANNUAL MEETING IN WHICH THE PROPOSAL HAS WON A MAJORITY OF THE VOTES CAST THE PROPOSAL WAS PROMOTED BY UNITED SHAREHOLDERS ASSOCIATION A WASHINGTON SHAREHOLDER RIGHTS ORGANIZATION THAT IS BY FAR THE GREATEST SUPPORT FOR A SHARHOLDER PROPOSAL SAID RALPH WHITWORTH PRESIDENT OF UNITED SHAREHOLDERS OF THE BROAD SUPPORT IF HARTMARX'S MANAGEMENT FAILS TO DISMANTLE ITS POISON PILL DEFENSE UNITED SHAREHOLDERS WILL LAUNCH A PROXY BATTLE AGAINST HARTMARX'S BOARD OF DIRECTORS AT NEXT YEAR'S ANNUAL MEETING MR WHITWORTH SAID HARTMARX'S DISMAL FINANCIAL RESULTS IN RECENT YEARS HIGH DEBT LEVEL AND LOW STOCK PRICE MAKE THE COMPANY AN UNLIKELY TARGET FOR TAKEOVER BUT MR WHITWORTH SAID THE POISON PILL SERVES TO ENTRENCH MANAGEMENT AND DEPRESS THE COMPANY'S STOCK VALUE 9304150032 930415 BUSINESS BRIEF SONAT INC SONAT OFFSHORE DRILLING UNIT TO BE SOLD IN PUBLIC OFFERING SONAT INC BIRMINGHAM ALA SAID IT PLANS TO SELL ITS OFFSHORE DRILLING SUBSIDIARY IN A PUBLIC OFFERING THAT COULD RAISE AS MUCH AS 372 MILLION THE SUBSIDIARY SONAT OFFSHORE DRILLING INC BASED IN HOUSTON REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION FOR A PROPOSED INITIAL PUBLIC OFFERING OF 155 MILLION SHARES WITH AN ESTIMATED PRICE OF 22 TO 24 A SHARE SONAT AT THE COMPLETION OF THE OFFERING WOULD OWN 45 OF SONAT OFFSHORE'S COMMON STOCK THE SUBSIDIARY PLANS TO USE THE PROCEEDS FROM THE OFFERING TO REPAY DEBT OWED TO SONAT AS WELL AS TO PAY A DIVIDEND TO SONAT FOR ITS PART SONAT PLANS TO INVEST FUNDS RECEIVED FROM THE TRANSACTION IN ITS CORE BUSINESSES WHICH ARE OIL AND GAS EXPLORATION AND PRODUCTION AND INTERSTATE NATURAL GAS TRANSMISSION IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING YESTERDAY SONAT FELL 1 TO 5850 9304150031 930415 NEW YORK BANK 2 OTHERS POST STRONG 1ST PERIOD BANK OF NEW YORK'S PROFIT ROSE 56 AS FIRST UNION MORE THAN DOUBLED NET BY ELEENA DE LISSER AND STEVEN LIPIN STAFF REPORTERS OF THE WALL STREET JOURNAL THREE MAJOR BANKS REPORTED STRONG FIRSTQUARTER EARNINGS AIDED IN PART BY HIGHER INTEREST INCOME AND SMALLER LOANLOSS PROVISIONS FIRST UNION CORP BASED IN CHARLOTTE NC REPORTED NET INCOME MORE THAN DOUBLED AFTER RESULTS FOR THE YEAREARLIER QUARTER WERE ADJUSTED TO REFLECT THE RETROACTIVE ADOPTION OF NEW ACCOUNTING RULES BANK OF NEW YORK CO REPORTED THAT NET INCOME JUMPED 56 AND WACHOVIA CORP BASED IN WINSTONSALEM NC POSTED AN INCREASE IN PROFIT OF ALMOST 15 IN EACH CASE THE RESULTS SURPASSED ANALYSTS' ESTIMATES WHILE LOAN VOLUME AT MANY BANKS REMAINS LESSTHANROBUST SAID THOMAS K BROWN AT DONALDSON LUFKIN & JENRETTE THE CREDIT QUALITY OF BANKS NATIONWIDEAND PARTICULARLY IN THE SOUTHEAST IS IMPROVING AT A RATE THAT'S SURPRISING US AT FIRST UNION INTEREST INCOME ROSE 195 TO 696 MILLION IN THE FIRST QUARTER FROM A YEAR EARLIER THE COMPANY SET THE LOANLOSS PROVISION AT 603 MILLION COMPARED WITH 135 MILLION IN THE YEAREARLIERPERIOD NONPERFORMING ASSETS FELL TO 127 BILLION AT MARCH 31 FROM A RESTATED 135 BILLION AT YEAR END 1992 AND 166 BILLION IN THE FIRST QUARTER OF 1992 NET CHARGEOFFS IN THE MOST RECENT QUARTER TOTALED 63 MILLION COMPARED WITH 907 MILLION DURING THE SAME PERIOD LAST YEAR FIRST UNION NOTED THAT ITS 1992 FIGURES WERE RESTATED FOR THE POOLING OF INTERESTS ACCOUNTING ACQUISITIONS OF SOUTH CAROLINA FEDERAL CORP AND DFSOUTHEASTERN CQ INC ON JAN 15 1993 AND DOMINION BANKSHARES CORP ON MARCH 1 1993 MR BROWN AT DONALDSON LUFKIN SAID FIRST UNION BENEFITED FROM A CONFLUENCE OF POSITIVE FACTORS INCLUDING DECLINING CREDIT COSTS AND STRONG MARGINS EARNINGS AT BANK OF NEW YORK THE NATION'S 15THLARGEST BANK WERE FUELED BY BIG GAINS IN FEEBASED BUSINESSES SUCH AS CREDIT CARDS AND SECURITIES PROCESSING AS WELL AS WIDER PROFIT MARGINS BETWEEN BORROWING COSTS AND RATES EARNED ON LOANS AND OTHER ASSETS THE 137ASHARE RESULTS ON A FULLY DILUTED BASIS WERE BETTER THAN THE CONSENSUS ESTIMATE OF 123 A SHARE BUT INCLUDED 26 MILLION IN SECURITIES GAINS THE COMPANY'S SHARES FELL 150 TO 6025 IN NEW YORK STOCK EXCHANGE TRADING AFTER AN 8 CLIMB EARLIER IN THE WEEK IN ANTICIPATION OF SOLID EARNINGS MICHAEL MAYO ANALYST AT UBS SECURITIES EXPECTS THE BANK TO RAISE ITS 152ASHARE ANNUAL DIVIDEND LATER THIS YEAR NONINTEREST INCOME EARNINGS FROM BUSINESSES OTHER THAN LENDING OR INVESTING ROSE 11 INCLUDING STRONG RESULTS FROM SECURITIES PROCESSING EXPENSES MEANWHILE ROSE NEARLY 8 THE NET INTEREST MARGIN BETWEEN BORROWING COSTS AND RATES EARNED ON LOANS AND INVESTMENTS ROSE IN THE QUARTER TO 298 PERCENTAGE POINTS FROM 283 PERCENTAGE POINTS IN THE FOURTH QUARTER AND 273 ONE YEAR AGO THE PROVISION FOR LOAN LOSSES FELL SLIGHTLY TO 90 MILLION FROM 93 MILLION AT YEAR END AND 133 MILLION ONE YEAR AGO NONPERFORMING ASSETS FELL 763 FROM 1992'S FOURTH QUARTER TO 860 MILLION AT WACHOVIA NONINTEREST INCOME GREW 15 TO 198 MILLION EXCLUDING PRETAX EXTRAORDINARY GAINS TOTALING 179 MILLION ON THE SALES OF EQUITY SECURITIES AND WACHOVIA STUDENT FINANCIAL SERVICES NET CHARGEOFFS WERE 14 MILLION DOWN FROM 269 MILLION IN THE YEAREARLIER PERIOD NONPERFORMING ASSETS DECLINED 10 TO 2755 MILLION WITH NONPERFORMING LOANS DROPPING 16 TO 1856 MILLION WACHOVIA SHARES FELL 175 TO 3850 IN NEW YORK STOCK EXCHANGE TRADING INCREASINGLY THE SOUTHEAST BANKS ARE AHEAD OF THE PACK SAID SANDRA J FLANNIGAN A MERRILL LYNCH GLOBAL SECURITIES RESEARCH BANKING ANALYST THEIR COMMERICAL REAL ESTATE MARKETS APPEAR TO BE BOTTOMING OUT LIQUIDITY IS IMPROVING AND THERE'S ALSO BETTER LOAN DEMAND ALTHOUGH IT'S NOT YET ROBUST 9304150030 930415 BUSINESS BRIEF PACIFIC TELESIS CHARGE OF NEARLY 2 BILLION WILL RESULT IN LOSS SAN FRANCISCO PACIFIC TELESIS GROUP SAID IT WILL TAKE AN AFTERTAX CHARGE OF NEARLY 2 BILLION IN THE FIRST QUARTER THE RESULT OF ADOPTING NEW ACCOUNTING STANDARDS AND OTHER RESTRUCTURING COSTS THE REGIONAL TELECOMMUNICATIONS COMPANY SAID THE CHARGE WOULD RESULT IN A LOSS FOR THE YEAR ADOPTION OF NEW ACCOUNTING STANDARDS FOR RETIREE HEALTH BENEFITS AND POSTEMPLOYMENT BENEFITS WILL RESULT IN A NONCASH CHARGE OF ABOUT 29 BILLION ON A PRETAX BASIS THE COMPANY'S RESTATED NET INCOME FOR THE 1992 FIRST QUARTER WAS 279 MILLION OR 70 CENTS A SHARE ON RESTATED REVENUE OF 24 BILLION PACIFIC TELESIS ALSO SAID IT WOULD TAKE ADDITIONAL RESERVES WHICH WILL LOWER 1993 FIRSTQUARTER NET INCOME BY ABOUT 260 MILLION AS IT RESTRUCTURES BY DIVESTING NONTELECOMMUNICATIONS OPERATIONS OF THE ADDITIONAL RESERVES 210 MILLION RELATES TO THE COMPANY'S RECENT DECISION TO DISPOSE OF ITS REAL ESTATE PORTFOLIO OVER THE NEXT THREE TO FIVE YEARS THE REMAINDER REFLECTS THE WITHDRAWAL FROM OR RESTRUCTURING OF PACIFIC TELESIS' CABLE AND EQUIPMENT BUSINESSES AS WELL AS EXPECTED COSTS FOR THE SPINOFF OF ITS WIRELESS OPERATIONS WE'RE CONTINUING TO NARROW THE FOCUS OF OUR BUSINESS AND CONCENTRATE ON WHAT WE DO BESTTELECOMMUNICATIONS SAID SAM GINN THE COMPANY'S CHAIRMAN AND CHIEF EXECUTIVE THE COMPANY SAID THE CHANGE TO ACCRUAL ACCOUNTING FROM A PAYASYOUGO SYSTEM FOR FUTURE RETIREE HEALTH BENEFITS WILL REDUCE 1993 FIRSTQUARTER EARNINGS BY 16 BILLION THE ACCOUNTING RULE ALLOWS COMPANIES TO RECOGNIZE THE LIABILITY AT ONCE OR PHASE IT OUT OVER 20 YEARS PACIFIC TELESIS GROUP SAID IT WILL RECOGNIZE THE ENTIRE LIABILITY IMMEDIATELY ITS PACIFIC BELL SUBSIDIARY HOWEVER WILL RECOGNIZE THE LIABILITY OVER THE 20 YEARS A SIMILAR ACCOUNTING CHANGE FOR POSTEMPLOYMENT BENEFITS WILL REDUCE EARNINGS BY 151 MILLION IN THE QUARTER PACIFIC TELESIS SAID THE COMPANY SAID IT HAS 61000 EMPLOYEES WORLDWIDE WITH 40600 RETIREES ELIGIBLE FOR HEALTH AND MEDICAL BENEFITS 9304150029 930415 HEARD ON THE STREET BUOYANT OIL STOCKS DRAW MIXED OPINION BY JOHN R DORFMAN STAFF REPORTER OF THE WALL STREET JOURNAL INVESTORS HAVE BEEN WORRYING ABOUT OIL STOCKS LATELY BUT MAYBE FOR THE WRONG REASONS SLOWLY AND STEADILY THE STOCKS HAVE OOZED UP TO A GAIN OF MORE THAN 14 THIS YEAR WHILE MOST BROAD STOCKMARKET AVERAGES ARE UP 35 OR LESS IT MAKES SOME PORTFOLIO MANAGERS NERVOUS TO SEE OILS DOING SO WELL BECAUSE STOCK MARKET FOLKLORE SAYS STRENGTH IN THE OILS OFTEN FORETELLS A FALL IN THE OVERALL MARKET A NEW STUDY CASTS COLD WATER ON THIS PIECE OF MARKET LORE MAYBE WHAT INVESTORS SHOULD BE WORRYING ABOUT IS THE FATE OF THE OIL STOCKS THEMSELVES DONALD L HAGAN CHIEF SECTOR ANALYST AT NED DAVIS RESEARCH IN NOKOMIS FLA RECENTLY LOOKED AT ALL 15 MOVES IN OIL STOCKS DURING THE PAST 25 YEARS SIX MONTHS AFTER SUCH MOVES THE DOW JONES INDUSTRIAL AVERAGE WAS HIGHER IN 14 OUT OF 22 CASES ON AVERAGE THE INDUSTRIAL AVERAGE ADVANCED 57 WHICH IS BETTER THAN THE TYPICAL SIXMONTH NUMBER SO THE MERE FACT THAT OIL STOCKS HAVE MOVED UP DOESN'T CONSTITUTE ANY SORT OF DEATH KNELL FOR THE BULL MARKET IN MY OPINION A BETTER INDICATOR IS THE DOW JONES UTILITY AVERAGE MR HAGAN SAYS SINCE 1930 HE SAYS BULL MARKETS HAVE PETERED OUT 21 TIMES IN 18 OF THOSE CASES THE UTILITY AVERAGE WEAKENED FIRST NO ALARM BELLS ARE SOUNDING HERE THE UTILITY AVERAGE RECENTLY HIT NEW HIGHS QUITE A FEW MONEY MANAGERS ARE NERVOUS ABOUT THE MARKET FOR OTHER REASONS SUCH AS HIGH STOCK VALUATIONS AND THE LENGTH OF THE CURRENT BULL MARKET IT BEGAN IN OCTOBER 1990 THEIR VERY NERVOUSNESS HAS PROPELLED MANY INVESTMENT PROS TO BUY THE OILS WHICH ARE VIEWED AS A DEFENSIVE GROUP THAT HOLDS UP WELL IN MARKET DOWNTURNS INDIVIDUAL INVESTORS HAVE BEEN SNAPPING UP OIL SHARES FOR A DIFFERENT REASON THE STOCKS' HIGH DIVIDEND YIELDS NEARLY 5 ON TEXACO 45 ON MOBIL AND 42 ON EXXON FOR EXAMPLE MAKE THEM A POTENTIAL SUBSTITUTE FOR NOWSCORNED CERTIFICATES OF DEPOSIT OIL STOCKS ARE STRONG BECAUSE THEY'RE YIELD STOCKS SAYS STRATEGIST EDWARD KERSCHNER OF PAINEWEBBER AS A RESULT OF ALL THIS THE OILS HAVE HAD SUCH A BIG MOVE THAT SEVERAL MARKET VETERANS THINK THEY HAVE USED UP ALL THEIR FUEL FOR A WHILE RIDICULOUS IS HOW ALAN GAINES OF GAINES BERLAND DESCRIBES THE GROUP'S CURRENT PRICES HE SAYS THE SUPPLY/DEMAND BALANCE FOR OIL HAS WORSENED DESPITE SUPPLY DISRUPTIONS IN THE NORTH SEA THE FORMER SOVIET UNION AND ANGOLA AND HE FEARS THAT YEMEN AND KUWAIT COULD PRODUCE MORE MAKING PRICES SAG OTHERS MENTION IRAQ IN THE SAME VEIN VALUATIONS WOULD SUGGEST THE MARKET BELIEVES IRAQ WILL NEVER EXPORT OIL AGAIN SAYS PAINEWEBBER OIL ANALYST BRIAN JACOBOSKI PEOPLE VIEW OIL STOCKS AS A SAFE HAVEN SAYS BERNARD J PICCHI A KIDDER PEABODY OIL ANALYST THE FEAR AND LOATHING INVESTORS HAVE TOWARD ANYTHING THAT IS CONSUMER TECHNOLOGY OR DRUG RELATED HAS DRIVEN THEM INTO OIL STOCKS BY DEFAULT BUT NOW MR PICCHI OBSERVES THE OILS ARE TRADING AT UNPRECEDENTED VALUATIONS ABOUT 16 TIMES ESTIMATED 1993 EARNINGS AND 91 OF THE OVERALL MARKET'S PRICE/EARNINGS MULTIPLE OVER THE YEARS THE STOCKS HAVE USUALLY TRADED AT 65 TO 85 OF THE MARKET'S MULTIPLE AFTER ALL THE INDUSTRY IS MATURE TODAY'S HIGH VALUATIONS ARE STAR TREK TERRITORY WHERE NO MAN HAS GONE BEFORE SAYS MR PICCHI THE BIG OIL SHARES DESERVE A BREATHER AT THIS POINT SAYS LARRY RICE STRATEGIST FOR JOSEPHTHAL LYON & ROSS HE STILL LIKES A FEW OILSERVICE ISSUES SUCH AS POOL ENERGY SERVICES OFFSHORE LOGISTICS AND HORNBECK OFFSHORE SERVICES BUT POOL IS THE ONLY ONE HE'D BUY AT CURRENT PRICES TO BE SURE THE MAJOR OIL STOCKS STILL HAVE SOME DEDICATED FANS GOING BACK THREE DECADES THE AVERAGE RALLY IN THE INTERNATIONAL OILS APPROACHES 35 SAYS LASZLO BIRINYI OF BIRINYI ASSOCIATES HE FIGURES THE PARTY IS LESS THAN HALF OVER BYRON WIEN DOMESTIC EQUITY STRATEGIST AT MORGAN STANLEY LIKES ENERGY STOCKS INCLUDING SEVERAL OILS HE CITES A TIGHTENING OF INVENTORIES A BUDDING PICKUP IN THE US ECONOMY BETTER DISCIPLINE AMONG COUNTRIES IN THE ORGANIZATION OF PETROLEUM EXPORTING COUNTRIES AND CONCERN THAT SPREADING MUSLIM FUNDAMENTALISM COULD LEAD TO A DISRUPTION OF SUPPLY HIS FAVORITES INCLUDE BURLINGTON RESOURCES TRITON ENERGY USXMARATHON GROUP TEXACO UNOCAL WESTERN GAS RESOURCES AND OCCIDENTAL PETROLEUM GRACE MESSNER OF WILMINGTON TRUST SAYS THAT DESPITE THIS YEAR'S RISE SHE FINDS MOBIL ROYAL DUTCH PETROLEUM ELF AQUITAINE AND CHEVRON ATTRACTIVE WE DON'T EXPECT ANY GREAT SPURT IN OIL PRICES SHE SAYS BUT IF PRICES STAY NEAR CURRENT LEVELS SHE THINKS PROFITS WILL RISE AS THE US AND EUROPEAN ECONOMIES RECOVER FOR THE PAST YEAR OR SO A BIG BUYER OF ENERGY STOCKS HAS BEEN MUTUALFUND GIANT FIDELITY INVESTMENTS BUT FIDELITY'S ENTHUSIASM HAS COOLED A BIT ROBERT C BERTELSON FIDELITY'S OIL ANALYST AND MANAGER OF FIDELITY SELECT ENERGY PORTFOLIO STILL LIKES COMPANIES WITH MAJOR EXPOSURE TO US NATURAL GAS SUCH AS AMERADA HESS KERRMCGEE UNOCAL BURLINGTON RESOURCES AND APACHE BUT IN THE PAST THREE MONTHS HE SAYS WE HAVE USED THE ADVANCE TO LIGHTEN UP ON INTERNATIONAL OILS MEANWHILE DESPITE THE NED DAVIS RESEARCH STUDY SOME INVESTMENT PROS STILL FEAR THERE'S SOME TRUTH IN THE ADAGE THAT OIL STRENGTH PRESAGES MARKET WEAKNESS TIMOTHY WEST A TECHNICAL ANALYST ON THE TRADING DESK AT SG WARBURG SAYS A DANGER FLAG WAVES WHEN THE OIL STOCKS ON THE AMERICAN STOCK EXCHANGE RISE 10 SUCH MOVES HAVE OCCURRED EIGHT TIMES SINCE EARLY 1989 HE SAYS SIX TIMES THE DOW JONES INDUSTRIAL AVERAGE DECLINED IN THE NEXT FEW WEEKS AND TWICE IT WENT SIDEWAYS HOWEVER SEVERAL OF THE DECLINES WERE MILD DIPS OF 5 OR LESS OF INTEREST TO A TRADER SUCH AS MR WEST BUT NOT OF MUCH SIGNIFICANCE TO LONGTERM INVESTORS MR JACOBOSKI OF PAINEWEBBER SAYS THE DANGER SIGN COMES WHEN OILS HAVE A STREAK OF OUTPERFORMING AFTER SEVERAL OTHER SECTORS HAVE DONE WELL THAT WOULD CERTAINLY DESCRIBE THE PRESENT TIME PREVIOUS LEADERSHIP GROUPS SUCH AS DRUGS CONSUMERPRODUCT STOCKS AND TECHNOLOGY STOCKS HAVE PERFORMED POORLY LATELY AND INVESTORS HAVE BEEN CASTING ABOUT FOR ALTERNATIVES MS MESSNER OF WILMINGTON TRUST DID A STUDY A FEW YEARS AGO OF SEVERAL BEAR MARKETS SHE FOUND THAT OIL AND GOLD SHARES USUALLY OUTPERFORM MOST STOCKS DURING THE FIRST SIX MONTHS OF A DECLINING MARKET COINCIDENTALLY OR NOT BOTH OIL AND GOLD SHARES HAVE SHOWN STRENGTH IN RECENT WEEKS I HOPE IT ISN'T A HARBINGER OF BAD THINGS FOR THE MARKET SHE SAYS TURNING SOUR SOME INVESTORS ARE TURNING NEGATIVE ON THE STOCK MARKET AND ON PRESIDENT CLINTON'S PERFORMANCE SO FAR A POLL INDICATES THE DISCOUNT BROKERAGE FIRM QUICK & REILLY INTERVIEWED 500 OF ITS INVESTORS BETWEEN APRIL 2 AND APRIL 5 ONLY 25 EXPECT THE STOCK MARKET TO RISE OVER THE NEXT THREE MONTHS WHILE 44 EXPECT IT TO FALL IN JANUARY FULLY 51 OF INVESTORS POLLED ANTICIPATED A RISING STOCK MARKET SOME 51 OF THE INVESTORS DISAPPROVE OF MR CLINTON'S HANDLING OF THE ECONOMY SO FAR ABOUT 44 SAY THEY PERSONALLY EXPECT TO BE WORSE OFF AS A RESULT OF THE NEW ADMINISTRATION'S POLICIES ONLY 10 SAY THEY EXPECT TO BE BETTER OFF 9304150028 930415 BUSINESS BRIEF KEYSTONE FINANCIAL INC FIRM SAYS IT'S COMFORTABLE WITH ANALYSTS' FORECASTS KEYSTONE FINANCIAL INC'S PRESIDENT AND CHIEF EXECUTIVE OFFICER CARL CAMPBELL SAYS THE BANK HOLDING COMPANY IS PRETTY COMFORTABLE WITH ANALYSTS' ESTIMATES THAT IT EARNED 60 CENTS TO 62 CENTS A SHARE FOR THE FIRST QUARTER UP FROM 59 CENTS A YEAR EARLIER THE HARRISBURG PA COMPANY PLANS TO REPORT ITS FIRSTQUARTER RESULTS NEXT WEEK LOOKING FURTHER AHEAD ANALYSTS ARE PROJECTING THAT THE COMPANY WILL EARN 250 TO 260 A SHARE DURING ALL OF 1993 COMPARED WITH 233 IN 1992 WE'RE PRETTY COMFORTABLE WITH BEING IN THAT RANGE MR CAMPBELL SAID IF WE'RE ABLE TO ACHIEVE THAT IT WILL BE A CONTINUATION OF SOME PRETTY STRONG EARNINGS GROWTH AND ANOTHER RECORD YEAR FOR US THE MOST CRITICAL FACTOR IN MEETING THOSE ESTIMATES CAMPBELL SAID WILL BE LOAN VOLUME WHICH IS OBVIOUSLY DEPENDENT ON CONSUMER CONFIDENCE AND A RECOVERING ECONOMY CAMPBELL SAID CENTRAL PENNSYLVANIA'S ECONOMY REMAINS SOFT TOTAL ASSETS FOR KEYSTONE FINANCIAL ROSE TO 307 BILLION AT YEAR END 9304150027 930415 THIS IS THE SAD TALE OF LOVERS PARTED IN A MODERN WAR AN EGYPTIAN HEARS NOTHING FROM HIS VIETNAMESE WIFE SINCE SHE FLED IRAQ'S BOMBS BY PETER WALDMAN STAFF REPORTER OF THE WALL STREET JOURNAL MY LOVE MUSTAFA YOU ARE MY SUN BY DAY AND MY MOON AT NIGHT HOW I ASK GOD TO MEET MY HEART AGAIN BAN NHAN IN A LETTER TO MUSTAFA WAGIH JULY 3 1991 BAGHDAD IRAQ THAT WAS THE LAST TIME MUSTAFA WAGIH HEARD FROM BAN NHAN SINCE THEN WHENEVER THE 28YEAROLD EGYPTIAN HAS DROPPED BY THE VIETNAMESE EMBASSY HERE LOOKING FOR MAIL FROM HIS TRUE LOVE AN IRAQI SOLDIER IN FRONT OF THE SHUTTERED BUILDING HAS SHOOED HIM AWAY THE COUPLE WAS MARRIED JULY 19 1990 TWO WEEKS BEFORE IRAQ INVADED KUWAIT THEY WERE WRENCHED APART SIX MONTHS LATER WITH WESTERN BOMBS EXPLODING IN BAGHDAD THE VIETNAMESE AMBASSADOR DREW UP THE DIVORCE PAPERS HIMSELF ASSURING THE YOUNG LOVERS IT WAS ONLY FOR THE BEST VIETNAM'S CONTRACT TO SUPPLY NURSES TO IRAQ HAD BEEN ABROGATED BY WAR HE EXPLAINED MS NHAN MUST GO HOME IT WAS DOUBTFUL THE AMBASSADOR ADDED THAT THE TWO WOULD EVER SEE EACH OTHER AGAIN AT FIRST THE NEWLYWEDS REFUSED TO SIGN THEIR BRIEF MARRIAGE HAD BEEN FULL OF PLEASURES BY COMBINING THEIR LIVES THEY COULD BEGIN TO CREATE WHAT MOST POOR MIGRANT WORKERS CAN ONLY CRAVE A HOME WITH HIS SAVINGS AS A BARTENDER AND HERS AS A NURSE THEY PLANNED TO MOVE TO EGYPT TO RAISE A FAMILY IN MR WAGIH'S CHILDHOOD HOME TO START AN INTERIORDESIGN FIRM IN AN AFFLUENT SUBURB OF CAIRO WHEN WAR CAME THE 60 OR SO VIETNAMESE WORKERS IN IRAQ HUDDLED AT THEIR EMBASSY AWAITING BUSES TO TAKE THEM TO JORDAN ON A MOMENT'S NOTICE MS NHAN HUDDLED AT HOME WITH MR WAGIH FOR A WEEK THEY WEPT HE BEGGED HER TO STAY TO RIDE OUT THE WAR UNTIL IRAQ'S CURRENCY AND THUS HIS LIFE'S SAVINGS REGAINED ITS PREWAR VALUE HE HAD NOTHING TO SHOW FOR FIVE YEARS IN BAGHDAD BUT FISTFULS OF NOW NEARLY WORTHLESS IRAQI DINARS IF THEY WAITED HE PROMISED THEY'D LEAVE IN STYLE TWICE IN THOSE AGONIZING DAYS THE COUPLE WENT TO THE VIETNAMESE EMBASSY TO SEE OFF FRIENDS AND CONSULT WITH THE AMBASSADOR ON THE THIRD TRIP AS THE EMBASSY STAFF ITSELF BOARDED THE LAST BUS MS NHAN BROKE DOWN HER COUSINS HAD BEEN KILLED IN THE US BOMBING OF HANOI SHE TOLD HER HUSBAND AND NOW I'M GOING TO DIE LIKE THAT TOO AS MS NHAN SOBBED WILDLY THE DIVORCE WAS SEALED THE AMBASSADOR EASED HER FROM MR WAGIH'S ARMS ONTO THE BUS MORE THAN TWO YEARS LATER MUSTAFA WAGIH IS STILL REELING FROM THE WHIRLWIND OF WAR HIS HEART HEAVIER THAN EVER OVERNIGHT HE SAYS HE LOST HIS SAVINGS HIS WIFE AND HIS DREAMS NOW THE CHANCES OF RECOVERING ANY OF THEM ARE FADING FAST FOR SEVERAL MONTHS A FRIENDLY IRAQI ATTENDANT WHO WAS GUARDING THE CLOSED VIETNAMESE EMBASSY PASSED ON LETTERS FROM MS NHAN SHE HAD RETURNED TO HER VILLAGE NEAR HANOI FROM IRAQ BUT ONE DAY THE ATTENDANT DISAPPEARED AND A SOLDIER ON DUTY WARNED MR WAGIH NEVER TO RETURN MS NHAN HAS NO WAY OF KNOWING THAT MR WAGIH IS WORKING FOR A DIFFERENT HOTEL NOW AND LIVING IN A PLACE OWNED BY THAT HOTEL SO HE HASN'T HEARD FROM MS NHAN IN NEARLY TWO YEARS HE WORRIES SHE MAY HAVE MOVED AND HASN'T RECEIVED HIS LETTERS AT FIRST MR WAGIH SET ABOUT SAVING UP ENOUGH MONEY BY BARTENDING IN NIGHTCLUBS TO BUY A PLANE TICKET TO VIETNAM BUT SINCE THE WAR THE UNITED NATIONS' TRADE EMBARGO HAS CONTINUED HAMMERING THE IRAQI DINAR AND WITH IT HOPES OF EARNING HARD CURRENCY FOR THE LONG TRIP EAST PROSPECTS OF MS NHAN RETURNING TO THE MIDEAST ARE JUST AS SLIM THE VIETNAMESE GOVERNMENT KEEPS A WAITING LIST FOR OVERSEAS JOBS THAT IS MANY YEARS LONG MR WAGIH SAYS SO NOW HE WORKS TO EAT AND EATS TO WORK HE SAYS HIS LIFE ON HOLD ON THE PHONE HIS CRYING MOTHER BEGS HIM TO RETURN TO CAIRO HE WON'T THINK OF IT GOING HOME NOW MEANS I'VE LOST I'M BEATEN SAYS MR WAGIH AS HE WAITS FOR CUSTOMERS IN AN EMPTY NIGHTCLUB WHILE AN ARMENIAN ORGANIST PLAYS RAINDROPS KEEP FALLING ON MY HEAD YOU GET NOTHING FROM WAR NOTHING HE SAYS ONLY TEARS THEY MET IN BAGHDAD BETWEEN THE WAR WITH IRAN AND THE WAR OVER KUWAIT A MOMENT OF HOPE IN A CITY OF FEAR THE NIGHTCLUBS WERE HOPPING THEN MR WAGIH COULD SQUIRREL AWAY 1500 A YEAR IN THE LATE 1980S PLUS SEND MONEY HOME TO HIS PARENTS IN CAIRO ROUGHLY A MILLION FOREIGNERS WORKED IN OILRICH IRAQ POPULATION 18 MILLION AT LEAST HALF OF THEM FLED AFTER THE INVASION OF KUWAIT BUT THOUSANDS HAVE STAYED ON OR RETURNED PARTICULARLY FROM SUDAN EGYPT AND OTHER POOR ARAB COUNTRIES WHOSE OWN ECONOMIES ARE EVEN WORSE OFF THAN IRAQ'S ON THE FATEFUL NIGHT MS NHAN CAME WITH A FRIEND TO THE HOTEL LOUNGE WHERE MR WAGIH WAS TENDING BAR SHE ORDERED A CAMPARI COLA BUT A CONFUSED SUDANESE WAITER PLACED THE ORDER AS GAMBARI COLA SHRIMP COLA IN ARABIC MR WAGIH WENT OVER TO CLEAR THINGS UP AFTER A GOOD LAUGH HE OFFERED THE WOMEN A FREE DRINK THEY SPOKE IN ENGLISH SHE CAME BACK THE NEXT NIGHT AND SAT AT THE BAR THEY TALKED FOR HOURS SHE WAS 31 THE THIRD CHILD IN A FAMILY OF 12 SHE WAITED FIVE YEARS FOR A NURSING CONTRACT IN THE MIDEAST HE SAYS HE GRADUATED THIRD IN HIS CLASS IN ARCHAEOLOGY AT CAIRO UNIVERSITY BUT HE WAS TOO BROKE TO PURSUE ADVANCED STUDIES AFTER A YEAR IN THE ARMY HE WORKED AS A CARPENTER A TOUR GUIDE AND A JOINER IN A WINDOW FACTORY BUT THE TWOHOUR COMMUTE BY CROWDED BUS WAS MISERABLE HE APPLIED FOR VISAS TO ITALY AND THE US BUT COULDN'T COME UP WITH 1000 IN FIXER FEES INTERMEDIARIES DEMANDED HE HEARD THERE WAS WORK IN BAGHDAD NO VISA NEEDED IT WASN'T UNTIL MS NHAN'S THIRD OR FOURTH VISIT TO THE BAR THAT MR WAGIH FOUND OUT HER NAME SHE WAS TURNING 32 THAT NIGHT HE HAD THE BAND PLAY HAPPY BIRTHDAY THE NEXT WEEK SHE AND HER FRIEND MET MR WAGIH FOR A WALK BY THE TIGRIS RIVER THEY ENDED UP AT A RIVERSIDE FISH RESTAURANT WHERE THE CONVERSATION TURNED PERSONAL ARE YOU MARRIED ASKED THE FRIEND WHO WAS ALSO A NURSE FROM VIETNAM NO MR WAGIH SAID I HAVEN'T FOUND THE RIGHT PERSON UNTIL NOW BUT I'M AFRAID TO ASK HER MAYBE SHE'LL REFUSE ME MS NHAN SUDDENLY WENT OFF TO THE LADIES' ROOM THE FRIEND SAID NOT TO WORRY TO KEEP TRYING MS NHAN HAD LOVED HIM SINCE THE DAY THEY MET A FEW DAYS LATER WHEN THE COUPLE WAS ALONE IN THE BAR AGAIN MS NHAN TOLD MR WAGIH HOW POOR HER FAMILY WAS HOW THEY DEPENDED ON HER WORK IN IRAQ TO GET BY THAT WAS THE MARRIAGE PROPOSAL THE VIETNAMESE CONSUL VISITED MR WAGIH IN HIS APARTMENT TO LOOK THINGS OVER HE ASKED THE YOUNG EGYPTIAN ABOUT HIS JOB AND CHECKED UP ON HIM WITH IRAQI SECURITY OFFICIALS OVER LUNCH HE EXPLAINED THAT MS NHAN WAS A DIFFERENT RELIGION CHRISTIAN AND THAT SHE WOULD HAVE TO LEAVE IRAQ WHEN HER NURSING CONTRACT EXPIRED I SAID NO PROBLEM IT'S LOVE DON'T ASK ABOUT RELIGION OR NATIONALITY' MR WAGIH SAYS THE WEDDING WAS AT THE VIETNAMESE EMBASSY WITH THE CONSUL READING THE WEDDING VOWS PARTLY IN VIETNAMESE PARTLY IN ENGLISH MS NHAN'S FRIEND CHOKING BACK TEARS WAS THE ONLY GUEST MR WAGIH SAYS HE DOUBTS HE WILL EVER MARRY AGAIN MS NHAN WAS THE ONLY CLOSE FRIEND HE EVER HAD HE SAYS YOU CAN'T TRUST PEOPLE IN THIS WORLD HE KEEPS HER PICTURE ON HIS BEDSTAND EVERY NIGHT BEFORE GOING TO SLEEP HE WISHES HER SWEET DREAMS 9304150026 930415 BUSINESS BRIEF MARITRANS INC OPERATING EARNINGS ARE SEEN IMPROVING FOR 1ST QUARTER MARITRANS INC WHICH RECENTLY CONVERTED TO A CORPORATION FROM A LIMITED PARTNERSHIP EXPECTS FIRSTQUARTER OPERATING EARNINGS TO IMPROVE FROM A YEAR EARLIER BUT PRETAX RESULTS WON'T BE AS STRONG AS THE 1992 FOURTH QUARTER BEFORE NONRECURRING ITEMS FOR BOTH PERIODS SAID STEPHEN VAN DYCK CHAIRMAN AND CHIEF EXECUTIVE OFFICER THE PHILADELPHIA COMPANY TRANSPORTS PETROLEUM AND PETROLEUM PRODUCTS BY TUG AND BARGE ON THE EAST AND GULF COASTS AND OWNS OIL STORAGE TERMINALS FOR THE YEAREARLIER QUARTER MARITRANS HAD NET INCOME OF 100000 OR ONE CENT A UNIT ON REVENUE OF 34 MILLION FOR THE 1993 FIRST QUARTER MARITRANS WILL RECORD A GAIN OF 35 MILLION OR 28 CENTS A SHARE FROM THE SALE OF FOUR BARGES MR VAN DYCK DECLINED TO COMMENT ON REVENUE FOR THE QUARTER AS A LIMITED PARTNERSHIP MARITRANS DIDN'T PAY TAXES SINCE ITS CONVERSION TO A CORPORATION APRIL 1 MARITRANS WILL BE SUBJECT TO ABOUT A 36 TAX RATE IN ADDITION IT WILL HAVE TO TAKE A CHARGE OF ABOUT 20 MILLION FOR DEFERRED TAXES IN THE QUARTER 9304150025 930415 BUSINESS BRIEF FARMLAND INDUSTRIES INC COOPERATIVE REPORTS LOSS OF 243 MILLION IN FIRST HALF FARMLAND INDUSTRIES INC BLAMED RISING NATURAL GAS PRICES AND WETTERTHANNORMAL WEATHER ON THE GREAT PLAINS FOR A FISCAL FIRSTHALF LOSS OF 243 MILLION FARMLAND THE NATION'S LARGEST FARMEROWNED COOPERATIVE POSTED A 93 MILLION PROFIT A YEAR EARLIER THE KANSAS CITY MO COOPERATIVE DOESN'T REPORT RESULTS QUARTERLY FARMLAND SAID SALES FOR THE SIX MONTHS ENDED FEB 28 INCREASED 19 TO 19 BILLION FROM 16 BILLION 9304150024 930415 WHAT'S NEWS WORLDWIDE MILLIONS OF BLACKS WENT ON STRIKE IN SOUTH AFRICA TO MOURN A SLAIN LEADER UNREST SWEPT MUCH OF THE COUNTRY AND AT LEAST SIX PEOPLE WERE SHOT DEAD AS RALLIES TOOK PLACE TO PROTEST LAST WEEKEND'S SLAYING OF POLITICIAN CHRIS HANI HUNDREDS WERE WOUNDED AS BLACKS BATTLED POLICE AND LOOTERS RAMPAGED THROUGH SEVERAL CITIES INCLUDING CAPE TOWN THE WORST VIOLENCE WAS IN THE BLACK TOWNSHIP OF SOWETO WHERE POLICE FIRED ON MARCHERS AND THE AFRICAN NATIONAL CONGRESS SAID THAT ONE OF ITS OFFICIALS HAD BEEN KILLED BLACK AND WHITE LEADERS STRUGGLED TO PREVENT ANGER OVER HANI'S KILLING FROM DERAILING TALKS ON ENDING APARTHEID AND GIVING THE BLACK MAJORITY THE VOTE THE US DEMANDED THAT BOSNIA'S SERBS IMMEDIATELY HALT ATROCITIES CLINTON'S ENVOY TO BELGRADE WARNED YUGOSLAV LEADERS THAT THEY FACE COMPLETE ISOLATION IF SERBS PERSIST IN THEIR ATTACKS AND REFUSE TO ACCEPT A PEACE PLAN FOR BOSNIA THE MILITARY AND HUMAN HORROR HAS TO STOP NOW REGINALD BARTHOLOMEW SAID BOSNIAN SERBS HAVE TO DO IT NOW HE SAID THAT IF THE SERBS RESIST THE US AND ITS ALLIES WILL SEEK AN END TO THE ARMS EMBARGO ON BOSNIA'S LARGELY MUSLIM GOVERNMENT DESPITE INCREASING INTERNATIONAL OUTRAGE ARTILLERY ATTACKS CONTINUED ON SREBRENICA WHERE FEROCIOUS SHELLING MONDAY KILLED AT LEAST 56 PEOPLE CLINTON PRESSED THE GROUP OF SEVEN NATIONS TO BOOST THEIR CONTRIBUTIONS TO RUSSIA AS THE G7 PREPARED TO UNVEIL AN AID PACKAGE IN TOKYO CLINTON WHO WANTS TO PROVIDE AN ADDITIONAL 18 BILLION IN US AID TO MOSCOW WAS HAVING A TOUGH TIME CONVINCING OTHER NATIONS AS WELL AS US LAWMAKERS TO SUPPORT AN INCREASE YELTSIN DECLARED THAT HE WILL RESIGN AS RUSSIA'S PRESIDENT ONLY IF MOST PEOPLE VOTE AGAINST HIM WHILE SIMULTANEOUSLY VOTING AGAINST EARLY PARLIAMENTARY ELECTIONS OTHERWISEEVEN IF HE LOSES THE CONFIDENCE VOTEYELTSIN SAID HE WOULD REMAIN IN OFFICE AT LEAST UNTIL NEW ELECTIONS TAKE PLACE ISRAELI AND PALESTINIAN OFFICIALS GAVE THEIR TENTATIVE BACKING TO A US PROPOSAL FOR CONTINUOUS MIDEAST PEACE NEGOTIATIONS WASHINGTON OFFICIALS HAVE SUGGESTED THAT THE TALKS BE CONTINUOUS NOT ROUND BY ROUND ONCE THEY RESUME ON TUESDAY DIPLOMATS SAID THE ARABS STILL HAVEN'T FORMALLY ACCEPTED AN INVITATION TO NEXT WEEK'S SESSION ISRAEL'S RABIN AND EGYPT'S MUBARAK MET AND AGREED THAT PROSPECTS ARE GOOD FOR THE WASHINGTON PEACE TALKS RABIN BROADLY HINTED THAT THE MIDEAST DISCUSSIONS COULD LEAD TO MAJOR TERRITORIAL CONCESSIONS HE ALSO SAID ISRAEL MIGHT REOPEN THE OCCUPIED TERRITORIES IF PALESTINIAN VIOLENCE ENDS DELIBERATIONS ENDED EARLY YESTERDAY IN THE RODNEY KING BEATING TRIAL IN LOS ANGELES BECAUSE A JUROR BECAME ILL AND WAS TAKEN TO A DOCTOR THE NATURE OF THE ILLNESS WASN'T DISCLOSED BUT US DISTRICT JUDGE JOHN DAVIES SAID THE JURY INTENDED TO RESUME DELIBERATIONS THIS MORNING A US AGENCY URGED DOCTORS TO BE MORE AGGRESSIVE IN DIAGNOSING AND TREATING MAJOR DEPRESSION AND RECOMMENDED THE USE OF ANTIDEPRESSANT MEDICINES IN MANY CASES THE GOVERNMENT ISSUED A DETAILED SET OF TREATMENT GUIDELINES TO BE USED BY PHYSICIANS A SURVEY OF SEXUAL BEHAVIOR FOUND THAT NEARLY ONEFOURTH OF AMERICAN MEN UNDER 40 HAVE HAD 20 OR MORE SEXUAL PARTNERS AND THAT ONLY 2 ENGAGE IN HOMOSEXUAL BEHAVIOR THE STUDY CONDUCTED BY A RESEARCH TEAM AT THE BATTELLE HUMAN AFFAIRS RESEARCH CENTERS IN SEATTLE INDICATED MORE THAN A QUARTER OF THE MEN USE CONDOMS SOME SENIOR IRAQI OFFICIALS WERE KILLED IN A PURGE ORDERED BY PRESIDENT SADDAM HUSSEIN ACCORDING TO TRAVELERS RECENTLY IN BAGHDAD UNCONFIRMED REPORTS SPOKE OF THE EXECUTION OF A FORMER INTERIOR MINISTER BUT THE TRAVELERS SAID THEY KNEW ONLY THAT SOME MILITARY OFFICERS AND RULING BAATH PARTY OFFICIALS HAD BEEN ARRESTED AND KILLED A UN ENVOY SOUGHT TO RESOLVE HAITI'S POLITICAL CRISIS BY HOLDING TALKS IN PORTAUPRINCE WITH HAITIAN MILITARY RULERS AND SUPPORTERS OF OUSTED PRESIDENT ARISTIDE THE ENVOY DANTE CAPUTO WASN'T EXPECTED TO MEET WITH PRIME MINISTER BAZIN WHO HAS REPUDIATED INTERNATIONAL MEDIATION EFFORTS DIED WALLACE STEGNER 84 A PULITZER PRIZEWINNING WRITER WHO CELEBRATED THE AMERICAN WEST IN HIS NOVELS AND NONFICTION TUESDAY IN SANTA FE NM OF INJURIES SUFFERED IN A RECENT AUTO ACCIDENT 9304150023 930415 DIGITAL DEFICIT SHRANK SHARPLY IN ITS 3RD PERIOD BY JOHN R WILKE STAFF REPORTER OF THE WALL STREET JOURNAL DIGITAL EQUIPMENT CORP POSTED A SHARPLY NARROWED LOSS OF 301 MILLION OR 23 CENTS A SHARE FOR THE THIRD QUARTER ENDED MARCH 27 REFLECTING DEEP CUTS IN OPERATING COSTS THE RESULTS FUELED EXPECTATIONS OF A RETURN TO PROFITABILITY IN THE CURRENT QUARTER FOR THE THE NATION'S SECONDLARGEST COMPUTER MAKER WHICH HASN'T BEEN IN THE BLACK FOR TWO YEARS FOR LAST YEAR'S THIRD QUARTER DIGITAL REPORTED A LOSS OF 311 MILLION OR 250 A SHARE THE LATEST QUARTER'S LOSS WHICH WAS JUST SHY OF MOST ANALYSTS' ESTIMATES WAS NONETHELESS A RELIEF FOR NERVOUS INVESTORS DIGITAL SHARES GAINED 150 TO CLOSE AT 41625 IN LATE NEW YORK STOCK EXCHANGE COMPOSITE TRADING REVENUE ROSE 6 LARGELY BECAUSE OF FAVORABLE CURRENCYEXCHANGE RATES TO 345 BILLION FROM 325 BILLION A YEAR EARLIER ANALYSTS APPLAUDED SHARPLY LOWER OPERATING COSTS AND TIGHTER MANAGEMENT AT THE MAYNARD MASS COMPANY DIGITAL IS NO LONGER A DYSFUNCTIONAL FAMILY WITH COMPETING PRODUCT GROUPS AND TURMOIL AMONG TOP MANAGERS SAID STEVEN MILUNOVICH AN ANALYST AT MORGAN STANLEY IT'S BEING RUN LIKE A REAL BUSINESS AND THAT'S SHOWING UP AT THE BOTTOM LINE DIGITAL HAS HAD A HISTORY OF BLOATED OPERATING COSTS A LEGACY OF THE FREESPENDING 1980S WHEN IT ENJOYED STRONG GROWTH IN THE LATEST QUARTER THOUGH SELLING AND ADMINISTRATIVE COSTS WERE DOWN 77 OVER LAST YEAR WHILE DEVELOPMENT COSTS WERE DOWN 19 THAT'S A TREMENDOUS IMPROVEMENT THE BEST WE'VE SEEN IN YEARS SAID BARRY F WILLMAN AN ANALYST WITH SANFORD C BERNSTEIN DIGITAL IS NOW POISED TO SHOW A RESPECTABLE PROFIT IN THE JUNE QUARTER HE SAID DIGITAL ALSO SAID IT CUT AN ADDITIONAL 4000 JOBS DURING THE QUARTER BRINGING THE PAYROLL TO 98100 THE IMPROVED RESULTS PROMPTED MANY ANALYSTS TO REVISE FOURTHQUARTER PROFIT ESTIMATES JOHN LEVINSON OF GOLDMAN SACHS & CO RAISED HIS TO 125 A SHARE OR 165 MILLION FROM 80 CENTS A SHARE STILL MR LEVINSON WAS WORRIED ABOUT WEAK REVENUE GROWTH IF YOU BACK OUT THE POSITIVE EFFECT OF CURRENCY THERE WAS BASICALLY NO GROWTH AT ALL HE SAID AT THE SAME TIME DIGITAL'S NEW ALPHA COMPUTERS WHICH ARE JUST BEGINNING TO FIND A MARKET ARE PRICED SO LOWAS THEY MUST BETHAT THEY'LL HAVE TO GO OUT THE DOOR IN ENORMOUS VOLUME TO HELP REVENUE ANOTHER UNCERTAINTY IS THE FLAGGING EUROPEAN ECONOMY WHERE DIGITAL GETS ABOUT HALF ITS REVENUES THEY HAVE THE BIGGEST EXPOSURE IN EUROPE AND IF EUROPE DOESN'T PICK UP IT'S GOING TO BE A STRUGGLE SAYS JAY STEVENS OF DEAN WITTER WILLIAM STEUL DIGITAL'S CHIEF FINANCIAL OFFICER SAID THAT SALES OF THE AGING VAX COMPUTER LINE WHICH STILL PROVIDES THE BULK OF PRODUCT REVENUES ARE HEALTHIER THAN WE THOUGHT THEY'D BE PERSONAL COMPUTER SALES DOUBLED DURING THE QUARTER OVER LAST YEAR HE SAID WHILE SERVICE REVENUE NOW ABOUT HALF OF TOTAL REVENUES JUMPED 12 ROBERT B PALMER CHIEF EXECUTIVE SAID HE WILL NAME A NEW CHIEF OF SALES AND MARKETING WITHIN A FEW DAYS AND HINTED AT COMING PRODUCTS INCLUDING WHAT HE SAID WOULD BE THE WORLD'S FASTEST WORKSTATION 9304150022 930415 WHO'S NEWS NYNEX CORP NYNEX CORP WHITE PLAINS NY ALAN B BENNETT 51 YEARS OLD WAS NAMED MANAGING DIRECTOR BUSINESS PLANNING AND DEVELOPMENT FOR THE TWO NYNEX TELEPHONE COMPANIES A NEWLY CREATED POST HE HAD BEEN EXECUTIVE VICE PRESIDENT OF TELEVISION PROGRAM ENTERPRISES A UNIT OF ATLANTABASED COX ENTERPRISES INC A PUBLISHING AND BROADCASTING CONCERN 9304150021 930415 BUSINESS BRIEF MARRIOTT CORP FIRSTQUARTER PROFIT ROSE SHARPLY ON ACCOUNTING GAIN MARRIOTT CORP FIRSTQUARTER NET INCOME ROSE SHARPLY DUE TO AN ACCOUNTING CHANGE AND THE COMPANY SAID ITS OPERATIONS ALSO SHOWED STRONG PROFIT INCREASES THE WASHINGTON DC LODGING AND CONTRACT SERVICE COMPANY SAID NET ROSE TO 49 MILLION OR 42 CENTS A SHARE INCLUDING A GAIN OF 30 MILLION OR 28 CENTS A SHARE FROM A CHANGE IN ACCOUNTING FOR INCOME TAXES A YEAR EARLIER NET WAS 11 MILLION OR SEVEN CENTS A SHARE MARRIOTT SAID OPERATING PROFIT ROSE TO 113 MILLION FROM 95 MILLION SALES FOR THE QUARTER ROSE 65 TO 208 BILLION FROM 195 BILLION JW MARRIOTT JR CHAIRMAN AND PRESIDENT SAID DESPITE THE MIXED SIGNALS IN THE ECONOMIC ENVIRONMENT WE ARE OPTIMISTIC ABOUT THE BALANCE OF THE YEAR LODGING OPERATIONS HAD A 17 INCREASE IN OPERATING PROFIT ON A 3 SALES GAIN WHILE CONTRACT SERVICES OPERATING PROFIT ROSE 25 ON AN 11 SALES GAIN MARRIOTT HAD 753 HOTELS WITH ABOUT 168000 ROOMS AT THE END OF THE QUARTER 9304150020 930415 NO GUARDRAILS' VALUES DEBATE A TECTONIC CLASH BY ROBERT L BARTLEY THE GREAT VALUES DEBATE OF 1993 STIRS MEMORIES OF ANOTHER TIME AND SUBJECT THE GREAT TAX DEBATE OF 1978 ONE SIMILARITY IS THAT A LOT OF PEOPLE ARE SHOCKED TO DISCOVER THE DEBATE'S TAKING PLACE THE FAMILY VALUES ISSUE AFTER ALL WAS SUPPOSEDLY BURIED UNDER THE HOUSTON ASTRODOME THE REPUBLICANS THERE SUFFERED THE MOST DISASTROUS POLITICAL CONVENTION SINCE SAN FRANCISCO IN 1964 WHEN THEY SENT BARRY GOLDWATER TO DEFEAT BUT LAUNCHED THE POLITICAL CAREER OF AN AFTERDINNER SPEAKER NAMED RONALD REAGAN AFTER HOUSTON MURPHY BROWN SURVIVES BUT DAN QUAYLE IS GONE AND BILL AND HILLARY ARE APPORTIONING TOP GOVERNMENT JOBS BY SEXUAL CATEGORIES AND PUSHING GAYS ON THE JOINT CHIEFS OF STAFF YET JUST AS HOWARD JARVIS SWEPT CALIFORNIA WITH HIS ANTITAX INITIATIVE IN 1978 A HOUSEWIVES' MOVEMENT NOW ARISES FROM THE DEPTHS OF QUEENS TO FIRE THE SCHOOLS CHANCELLOR OF GOMORRAH OVER GAYS AND CONDOMS THE EMINENTLY RESPECTABLE ATLANTIC MONTHLY SPROUTS A HEADLINE DAN QUAYLE WAS RIGHT THE SPRING PUBLISHING LISTS ARE SUDDENLY FILLED WITH BOOKS ON VALUES AND MORALITY FROM NOT ONLY THE USUAL SUSPECTS BUT ACCOMPLISHED TRENDSPOTTERS SUCH AS AMITAI ETZIONI SEN DANIEL PATRICK MOYNIHAN REDISCOVERS THE FAMILY IN THE AMERICAN SCHOLAR AND SHIRLEY MACLAINE LECTURES NEWSPAPER EDITORS ON THE IMPORTANCE OF RELIGION WHILE THE ISSUE IS DIFFERENT A VETERAN OF 1978 RECOGNIZES THE RUMBLES THE TECTONIC PLATES OF THE CONVENTIONAL WISDOM HAVE STARTED TO MOVE WHAT BRINGS THIS BUDDING RECOGNITION TO FULL FLOWER IS A PILE OF LETTERS ON OUR MARCH 13 EDITORIAL NO GUARDRAILS WHICH WE REPRINTED IN AN AD IN THE NEW YORK TIMES OUR OWN READERS KNOW WE COVER THE WORLD BUT OCCASIONALLY WE NEED TO PRESS THE POINT HOME WITH UPTOWN PROVINCIALS WE SEEM TO HAVE BREACHED THE ULTIMATE REDOUBT ITSELF GETTING ATTACKED IN THE NEW YORKER ITS RESPONSE ELEVATED THE MORAL DEBATE FROM ITS PAEAN TO ERICH HONECKER JAN 11 IF YOU THINK I'M KIDDING OR THE WETOLDYOUSO ARTICLE BY ALGER HISS'S SON RUSHED OUT BEFORE THE RUSSIAN GENERAL WHO EXONERATED HISS TOOK IT BACK AS REGULAR READERS WILL RECALL THE THRUST OF THE GUARDRAILS EDITORIAL WAS THAT SOCIETY SUFFERS FROM AN EROSION OF EXPECTATIONS OF PERSONAL CONDUCT AND THAT THIS HAS SOMETHING TO DO WITH THE DO YOUR OWN THING ETHIC PROPAGATED BY OUR CULTURAL ELITE THE POINT WOULD HAVE HAD MUNDANE IMPACT IF ATTACHED TO SAY THUGS ASSAULTING TOURISTS IN MIAMI OR A VAGRANT STABBING A BABY IN ITS MOTHER'S ARMS ON THE UPPER EAST SIDE BUT IN CRAFTING NO GUARDRAILS DANIEL HENNINGER HIT UPON THE BRILLIANT STROKE OF ATTACHING IT INSTEAD TO THE MURDER OF A FLORIDA PHYSICIAN BY A DERANGED ANTIABORTION PROTESTER THE RESULT WAS TOTAL POLARIZATION I WAS JUST BEGINNING TO THINK I WAS ALONE READS ONE OF THE HUNDREDSOME CONGRATULATORY LETTERS OTHERS READ ITS MESSAGE FALLS ON DEAF EARS AND IT RESTORED MY FAITH IN HUMANITY ANOTHER HUNDREDSOME LETTERS PROVIDE A DIFFERENT SORT OF SOUNDBITE THE GOOFIEST THING I'VE COME ACROSS IN A MAINSTREAM PUBLICATION OR WHAT ABOUT WATERGATE IRANCONTRA IVAN BOESKY ORVAL FAUBUS THE BOMBING OF CAMBODIA THE KU KLUX KLAN YUPPIE GREED HITLER AND SLAVERY MY PERSONAL FAVORITE WAS TO BE FRANK MY IMMEDIATE AND GUTTURAL REACTION WAS TO SCREAM THE SENSE I TAKE FROM OUR CRITICS IS THAT IT'S ONE THING TO QUESTION LIBERAL ECONOMIC POLICY BUT QUITE ANOTHER TO QUESTION LIBERAL MORAL LEADERSHIP AFTER ALL EVERYONE KNOWS MORALITY CONSISTS OF TEARING DOWN RESTRAINTS ON PERSONAL AUTONOMY OF FIGHTING REPRESSION AND ONE POINT IS TOTALLY TABOO IF CIVIL DISOBEDIENCE IS VALID FOR ENDING THE KILLING IN VIETNAM SOME WILL THINK IT EQUALLY VALID FOR ENDING THE KILLING IN ABORTION CLINICS THE MOST SOPHISTICATED CRITICS THE NEW YORKER OR EJ DIONNE IN THE WASHINGTON POST TRY TO SWEEP THE ISSUE AWAY AS A STALE ASSAULT ON AN ERA LONG PASSED BUT THE PROBLEMS OF THE 1990S CRIME EDUCATION DRUGS FAMILY DISSOLUTION ARE MANIFESTLY FAILURES OF MORALS AND VALUES IN HIS NEW BOOK THE DREAM AND THE NIGHTMARE THE SIXTIES' LEGACY TO THE UNDERCLASS MYRON MAGNET TRACES THE ARGUMENT PRECISELY SOCIETY'S MOST PRIVILEGED CHILDREN CAN SURVIVE MISTAKES FATAL TO THE LESS FORTUNATE IN SELFISH PURSUIT OF IMMEDIATE GRATIFICATION OUR COSMOPOLITAN ELITES HAVE UNDERMINED THE VALUES NEEDED TO SUSTAIN A LARGER SOCIETY ABOUT ONE PARTICULAR THOUGH THE CRITICS HAVE A POINT WE WERE PROVOCATIVE IN PICKING THE 1968 DEMOCRATIC CONVENTION IN CHICAGO AS THE FULCRUM OF THE TREND BY THAT LATE DATE THE VIETNAM WAR HAD ALREADY DONE MUCH TO ALIENATE ELITES FROM TRADITIONAL VALUES SUCH AS SELFRESTRAINT LEGALITY AND PATRIOTISM I NOMINATE MY OWN EPITOME NOV 2 1963 THAT'S THE DAY SOUTH VIETNAMESE PRESIDENT NGO DINH DIEM WAS ASSASSINATED IN A COUP SANCTIONED BY JOHN F KENNEDY AND HIS PET INTELLECTUALS THREE WEEKS LATER PRESIDENT KENNEDY WAS HIMSELF ASSASSINATED LYNDON JOHNSON FELT THE US COULD NOT WALK AWAY AFTER HAVING KILLED THE LEADER OF AN ALLY IN THE NAME OF WINNING THE WAR INTELLECTUALS IN THE WHITE HOUSE PRESS AND FOREIGN SERVICE WITH THE NOTABLE EXCEPTION OF THE DOUGHTY DEAN RUSK HEADED FOR THE HILLS AFTER HAVING TOLD US DIEM MUST GO SO A MORE ENLIGHTENED LEADER COULD WIN THE HEARTS AND MINDS OF THE PEOPLE THEY DECIDED THE WAR WAS IMMORAL THIS TWISTED HISTORY IS THE TAPROOT OF THE ANTIWAR MOVEMENT AND THUS OF MUCH OF SOCIETY'S NEUROSIS TODAY FOR IN THE SOCIAL PROBLEMS OF THE 1990S WE SUFFER FROM VARIATIONS ON THE THEME THAT AMERICAN SOCIETY IS IMMORAL THAT THE INDIVIDUAL CAN DECIDE WHICH RULES TO FOLLOW AND WHICH TO FLOUT THAT SOCIETY HAS NO LEGITIMATE AUTHORITY IN ERECTING GUARDRAILS FOR BETTER OR WORSE AN ANTIDOTE IS BREWING IN THE KITCHENS OF QUEENS MR BARTLEY IS EDITOR OF THE JOURNAL 9304150019 930415 HUGE REVISION OF JOBLESS RATE CALLED FLUKE BY PANEL WASHINGTON A LARGE REVISION TO THE GOVERNMENT'S FIGURES ON US PAYROLLS LAST YEAR WAS A ONETIME NONECONOMIC PHENOMENON ACCORDING TO AN INDEPENDENT PANEL LAST JUNE THE BUREAU OF LABOR STATISTICS SAID IN ITS ANNUAL BENCHMARK THAT THERE WERE 640000 OR 06 FEWER JOBS IN THE ECONOMY IN MARCH 1991 THAN IT SAID PREVIOUSLY THAT LED TO A HUGE OUTCRY FROM SOME STATE GOVERNMENTS THAT SAID THE IMPACT OF THE RECESSION ON THEM ORGINALLY HAD BEEN MINIMIZED THE AMERICAN STATISTICAL ASSOCIATION WHICH INVESTIGATED THE CAUSES OF THE REVISION CONCLUDED THAT A CHANGE IN DATA REPORTING PROCEDURES LIKELY LED TO THE HUGE CORRECTION FOR EXAMPLE BLS OFFICIALS WORKED WITH COMPANIES AROUND THE COUNTRY TO IMPROVE THEIR EMPLOYEE COUNTS THE BLS HAD FOUND THAT MANY BUSINESSES WERE COUNTING PAYCHECKS INSTEAD OF EMPLOYEES WHEN SENDING IN THEIR TALLIES THUS OVERSTATING THE NUMBER OF WORKERS THE STATISTICAL ASSOCIATION SAID THE CORRECTION WAS MAGNIFIED BECAUSE PAYROLL PROCESSING FIRMS CHANGED THE SOFTWARE THEY USE TO FILE UNEMPLOYMENT INSURANCE TAX RETURNS ON WHICH THE PAYROLL COUNTS ARE BASED EACH JUNE THE BLS ADJUSTS ITS TALLY OF JOBS IN THE ECONOMY FOR MARCH OF THE PRECEDING YEAR THE BUREAU HAS SAID EARLY SIGNS INDICATE THAT THIS YEAR'S REVISION WHICH COVERS MARCH 1992 WILL BE QUITE SMALL 9304150018 930415 INTERNATIONAL BRIEF SEARS PLC ALFAYEDS SELL 106 STAKE IN BRITISH RETAIL CONCERN THE ALFAYED FAMILY WHICH OWNS THE HOUSE OF FRASER CHAIN OF DEPARTMENT STORES IN BRITAIN SOLD ITS ENTIRE 106 STAKE IN UK RETAILER SEARS PLC SEARS IS UNRELATED TO THE US RETAILER OF THE SAME NAME THE ALFAYEDS SOLD THEIR 156 MILLION SEARS SHARES AT 100 PENCE 156 A SHARE IN A BLOCK TRADE TO GOLDMAN SACHS INTERNATIONAL WHICH THEN SOLD THEM TO A BROAD BASE OF INTERNATIONAL INVESTORS A SENIOR SOURCE AT GOLDMAN SAID THE FIRM SOLD THE SHARES AT 101 PENCE EACH TO INVESTORS MAINLY IN THE US AND UK BUT ALSO TO SOME EUROPEANS ON THE CONTINENT AT THE 100PENCEASHARE PRICE THE ALFAYEDS WOULD HAVE HAD A LOSS OF ABOUT 624 MILLION 972 MILLION ON THE SEARS SHARES WHICH COST THEM 2184 MILLION IN 1987 THE ALFAYEDS HAVE RECENTLY BEEN EAGER TO REDUCE THEIR DEBT A PERSON CLOSE TO THE FAMILY SAID 9304150017 930415 LAW PROSECUTOR TO SEEK DISMISSAL OF STATE COUNT IN KING CASE LOS ANGELES THE LOS ANGELES DISTRICT ATTORNEY SAID HE WILL MOVE AS EARLY AS TOMORROW TO DROP THE REMAINING STATE COUNT AGAINST A POLICE OFFICER ACCUSED OF BEATING MOTORIST RODNEY KING LAST YEAR FOUR POLICEMEN TRIED IN STATE COURT IN THE 1991 BEATING OF MR KING WERE ACQUITTED OF ALL BUT ONE COUNT THE JURY DEADLOCKED ON A COUNT AGAINST LAURENCE POWELL OF EXCESSIVE FORCE UNDER COLOR OF AUTHORITY THE FOUR OFFICERS ARE NOW ON TRIAL IN FEDERAL COURT ON CHARGES OF VIOLATING MR KING'S CIVIL RIGHTS THE JURY DELIBERATED FOR THE FIFTH DAY YESTERDAY MORNING BUT WERE DISMISSED FOR THE DAY WHEN ONE JUROR FELL ILL AND REQUESTED TO SEE A PERSONAL PHYSICIAN THE JURY IS EXPECTED TO RESUME DELIBERATIONS TODAY DISTRICT ATTORNEY GIL GARCETTI SAID HE WOULD SEEK TO HAVE THE REMAINING STATE CHARGE AGAINST OFFICER POWELL DISMISSED AT A HEARING SCHEDULED FOR TOMORROW IF THE FEDERAL JURY RETURNS A VERDICT BY THEN IF NOT HE SAID HE WOULD REQUEST THAT THE STATE HEARING BE POSTPONED AGAIN 9304150016 930415 INTERNATIONAL HONG KONG'S ONCESHUNNED LEFTISTS ARE COURTED AS COLONY PREPARES FOR 1997 TAKEOVER BY BEIJING BY MARCUS W BRAUCHLI STAFF REPORTER OF THE WALL STREET JOURNAL HONG KONG TSANG YOKSING AND HIS YOUNGER BROTHER TSANG TAKSING ARE MEMBERS OF AN UNLIKELY ELITE IN THIS MONEYPOWERED BRITISH COLONY THE ELDER MR TSANG 47 YEARS OLD IS A HIGH SCHOOL PRINCIPAL IN A MIDDLECLASS NEIGHBORHOOD FAR FROM HONG KONG'S FINANCIAL DISTRICT HIS BROTHER 44 EDITS A MEDIUMSIZE DAILY NEWSPAPER BOTH ARE OUTSPOKEN LEFTIST INTELLECTUALS THEIR PEDIGREES ONCE WERE CONSIDERED FLIMSY IN A CITY WHERE WEALTH HAS ALWAYS DETERMINED INFLUENCE BUT WITH HONG KONG HURTLING TOWARD ITS 1997 REVERSION TO CHINA THE TSANGS POSSESS THE CREDENTIAL THAT MATTERS MOST CLOSE TIES TO BEIJING POLITICS HAS BECOME FASHIONABLE SAYS TSANG TAKSING EDITOR OF TA KUNG PAO ONE OF FOUR NEWSPAPERS REPRESENTING CHINA'S VIEWS IN THE COLONY PEOPLE HAVE STARTED TO REALIZE THAT WHEN THE BRITISH PULL OUT THERE WILL BE A GREAT VACUUM THAT CHINA WILL HAVE TO FILL THAT REALIZATION HAS MADE IT CHIC TO KNOW A COMMUNIST IN THE CITADEL OF CAPITALISM AND OLD FRIENDS OF CHINA LIKE THE TSANGS THOUGH THEY INSIST THEY AREN'T CHINESE COMMUNIST PARTY MEMBERS THEMSELVES KNOW MORE THAN MOST THE ACCEPTANCE OF POLITICAL FIGURES SUCH AS THE TSANG BROTHERS ILLUSTRATES AN UNORTHODOX ALLIANCE THAT HAS EMERGED BETWEEN THE ONCEFEARED LEFT AND THE CITY'S PRAGMATIC BUSINESS COMMUNITY UNTIL THE 1970S HONG KONG'S POLICE PREPARED DAILY REPORTS ON THE SUPPOSEDLY SUBVERSIVE ACTIVITIES OF ANYBODY WITH TIES TO CHINA NOBODY KNOWS HOW TO HEDGE A BET BETTER THAN BUSINESS PEOPLE IN HONG KONG AND WITH LONDON AND BEIJING LOCKED IN A BRUISING BATTLE OVER HONG KONG'S POLITICAL FUTURE BUSINESS IS COZYING UP TO THOSE CLOSEST TO THE SOURCE OF FUTURE POWER LIKE THE LEFT BUSINESS LEADERS ARE UNHAPPY WITH THE COLONY'S GOVERNOR CHRIS PATTEN WHO ANNOYED CHINA BY ANNOUNCING IN A SPEECH LAST OCTOBER THAT BEFORE 1997 HE INTENDED TO WIDEN THE NUMBER OF ELECTED SEATS IN HONG KONG'S FUTURE LEGISLATURE BEIJING WHICH WANTS TO KEEP TIGHT CONTROL OF THE TERRITORY SAYS THAT WASN'T PART OF ITS ORIGINAL 1984 DEAL ON HONG KONG'S FUTURE AND VOWS TO REVERSE ANY DEMOCRATIC MEASURES MR PATTEN PUSHES THROUGH AFTER A MONTHSLONG STANDOFF FILLED WITH EXCHANGES OF CHINESE THREATS AND BRITISH FEINTS BEIJING AGREED ONLY THIS WEEK TO RESUME TALKS ON REFORMS THE DEBATE HAS CAUSED HONG KONG'S TRADITIONALLY APOLITICAL POPULATION TO CHOOSE SIDES AND OLD ALLEGIANCES AREN'T PERMANENT PEOPLE WHO ONCE JOCKEYED FOR ROYAL HONORS FROM LONDON NOW ASPIRE TO BE APPOINTED ADVISERS TO CHINA AN HONOR BEIJING CONFERS ON ITS FRIENDS ONE BRITISH KNIGHT A FORMER CHIEF SECRETARY OF HONG KONG SIR DAVID AKERSJONES EVEN BECAME AN ADVISER PEOPLE LIKE THE TSANGS HAVE BENEFITED FROM THE POLITICAL SHIFT WHEN TSANG YOKSING AND SOME POLITICAL ASSOCIATES LAST YEAR STARTED A POLITICAL PARTY THAT HEWED TO CHINA'S LINE IN ITS DISPUTE WITH BRITAIN OVER TERMS OF THE 1997 TRANSITION BIG BUSINESS WAS QUICK TO HELP FUND IT AS CHAIRMAN OF THE PARTY THE DEMOCRATIC ALLIANCE FOR THE BETTERMENT OF HONG KONG THE ELOQUENT MR TSANG IS SO SWAMPED WITH REQUESTS TO ADDRESS BUSINESS ASSOCIATIONS TRADE UNIONS AND OTHER GROUPS THAT HE COMPLAINS HE BARELY HAS TIME TO RUN HIS SCHOOL MY COLLEAGUES AND I GET INVITED TO GATHERINGS OF BUSINESSMEN VERY OFTEN SAYS MR TSANG WHO IS ONE OF NEARLY 100 LOCAL ADVISERS SO FAR APPOINTED BY CHINA EVEN OFFICIALS AND CIVIL SERVANTS ARE QUITE INTERESTED THEY TAKE US OUT TO LUNCH AND TRY TO THROUGH US GAUGE WHAT'S HAPPENING IN CHINA TSANG TAKSING'S POPULARITY IS NO LESS EVIDENT IN A RECENT ELECTION IN CANTON TO SELECT DEPUTIES TO CHINA'S NATIONAL PEOPLE'S CONGRESS SUPPORT FOR THE AFFABLE BOYISHLOOKING EDITOR WAS SO STRONG ESPECIALLY AMONG HONG KONG DELEGATES THAT HE OUTPOLLED EVEN THE GOVERNOR OF GIANT GUANGDONG PROVINCE THE TSANGS' VIEWS ON POLITICS WERE CAST LONG AGO THE CHILDREN OF AN OFFICIAL AT HONG KONG'S PROBUSINESS CHINESE CHAMBER OF COMMERCE BOTH THE TSANG BROTHERS ATTENDED ONE OF THE COLONY'S PRESTIGIOUS HIGH SCHOOLS ST PAUL'S COLLEGE IT WAS THERE IN THE TURBULENT LATE 1960S WHEN THE CULTURAL REVOLUTION WAS OVERTURNING LIFE IN CHINA THAT THE BROTHERS FIRST ENCOUNTERED LEFTIST POLITICS AND DEVELOPED AN ANTIPATHY FOR BRITISH RULE IT'S AN OXYMORON FOR THE COLONIAL GOVERNMENT NOW TO ADVOCATE MORE DEMOCRACY FOR HONG KONG SAYS TSANG TAKSING WHO WAS ARRESTED AND SENT TO PRISON IN 1967 FOR PASSING OUT PAMPHLETS PROTESTING THE COLONIALIST VERSION OF HISTORY TAUGHT AT ST PAUL'S HE WAS ONLY 17 BUT MR TSANG MADE USE OF HIS PRISON TIME WRITING POLITICAL TRACTS THAT HELPED HIM LAND HIS JOB AT TA KUNG PAO WHEN HE WAS RELEASED AFTER A YEAR AND A HALF WITH THAT EXPERIENCE HE SAYS YOU CANNOT TALK TO ME ABOUT HUMAN RIGHTS AND DEMOCRACY IN HONG KONG TSANG YOKSING ALSO SPONTANEOUSLY JOINED STREET PROTESTS HE SAYS AND WAS IMPRESSED BY WHAT HE SAW ON A VISIT TO CHINA BEFORE THE CULTURAL REVOLUTION I WAS BROUGHT UP IN A COLONY WHERE NOBODY TALKED ABOUT PATRIOTISM OR NATIONALISM HE SAYS I WENT TO MY HOMETOWN IN CHINA AND REALIZED I COULD BECOME A MEMBER OF MY PEOPLE MY COUNTRY IN THE 1970S THE BROTHERS KEPT LOW PROFILES AND REFLECTED ON WHAT TSANG YOKSING CALLS THE DISILLUSIONMENT THAT FOLLOWED THE CULTURAL REVOLUTION TSANG TAKSING AFTER GETTING OUT OF PRISON WORKED AS A JOURNALIST AND TSANG YOKSING GOT A JOB AS A TEACHER AND LATER BECAME PRINCIPAL OF PUI KIU MIDDLE SCHOOL A PRIVATE SCHOOL THAT CATERS TO LOCAL LEFTISTS THEN THE 1997 ISSUE CAME UP AND WE SAW A NEW MISSION TSANG YOKSING SAYS THE POLITICIZATION OF HONG KONG BEGAN AT FIRST HE SAYS PEOPLE REFUSED TO TALK ABOUT POLITICS AT ALL BUT THE FIRST OPEN ELECTIONS IN HONG KONG IN 1991 ALBEIT FOR A HANDFUL OF SEATS ON THE LEGISLATIVE COUNCIL AND THEN THE ARRIVAL A YEAR AGO OF GOV PATTEN DREW PEOPLE OUT IF IT WEREN'T FOR MR PATTEN I'D JUST STAY BEHIND MY DESK AND EDIT MY PAPER TSANG TAKSING SAYS BUT THE CAUSE STILL HAS TO BE FOUGHT AGAINST BRITISH COLONIAL RULE IT IS WRONG IT NEEDS TO BE CORRECTED WE NEED TO CLOSE THIS CHAPTER NEATLY TSANG YOKSING AGREES THAT THE BRITISH ARE HINDERING A SMOOTH TRANSITION ALTHOUGH HE SAYS HE DOESN'T ADVOCATE CAPITULATION TO EVERYTHING CHINA MIGHT WANT TO DO IN HONG KONG WE UNDERSTAND THERE ARE VERY SERIOUS IDEOLOGICAL DIFFERENCES BETWEEN HONG KONG AND THE MAINLAND HE SAYS IN ORDER TO OVERCOME THEM WE NEED ALL THE GOODWILL THE MUTUAL TRUST OTHERWISE HONG KONG IS HELPLESS AGAINST CHINA 9304150015 930415 OTC FOCUS NASDAQ ISSUES RISE AFTER SPENDING MOST OF DAY LOWER ON DISAPPOINTING EARNINGS BY CAITLIN MOLLISON AND CHRISTOPHER ELLIOTT STAFF REPORTERS OF THE WALL STREET JOURNAL NEW YORK OVERTHECOUNTER ISSUES MOVED HIGHER NEAR THE CLOSING BELL AFTER DISREGARDING POSITIVE ECONOMIC NEWS AND BOND MARKET STRENGTH THROUGHOUT THE SESSION NASDAQ STOCKS HAD BEEN SLIGHTLY LOWER FOR MOST OF THE DAY AS INVESTORS TOOK THEIR CUES FROM SOME DISAPPOINTING EARNINGS OUTLOOKS AND REPORTS BUT THE NASDAQ COMPOSITE INDEX JUMPED BEFORE THE CLOSE AND ENDED UP 011 POINT OR 002 AT 67394 GAINERS LED DECLINING ISSUES 1396 TO 1311 TOTAL NASDAQ NATIONAL MARKET SYSTEM VOLUME WAS 203791600 SHARES DOWN FROM 219378800 SHARES TUESDAY TECHNOLOGY ISSUES WERE BADLY BRUISED NETWORTH TOOK AN EIGHTPOINT FREEFALL TO 10 3/4 ON A NEGATIVE EARNINGS FORECAST THE IRVING TEXAS SUPPLIER OF COMPUTER PRODUCTS FOR LOCAL AREA NETWORKS SAID AFTER TUESDAY'S CLOSE THAT IT EXPECTS TO REPORT A FISCAL THIRDQUARTER LOSS OF ABOUT 11 CENTS A SHARE COMPARED WITH NET INCOME OF EIGHT CENTS A SHARE A YEAR EARLIER NETWORTH CITED LIMITATIONS IN THE SUPPLY OF THIRDPARTY PARTS AMONG OTHER FACTORS OCTEL SKIDDED 2 1/2 TO 20 AFTER REPORTING FISCAL THIRDQUARTER NET INCOME LATE YESTERDAY OF 31 CENTS A SHARE BELOW ANALYSTS' MEAN ESTIMATE OF 36 CENTS A SHARE ALEX BROWN DOWNGRADED THE STOCK TO BUY FROM STRONG BUY YESTERDAY MORNING THE OTC MARKET WAS A LITTLE SLOPPY TODAY AND IT SEEMED AS IF EVERY STOCK WAS ON ITS OWN SAID GARY KAPLOWITZ MANAGER OF OTC TRADING AT FAHNESTOCK & CO THE TRADER ADDED THAT NASDAQ STOCKS CONTINUE TO BE DRIVEN BY A SURGING BOND MARKET THE INTEREST RATESENSITIVE BANK SECTOR WAS EXTREMELY STRONG SENDING THE NASDAQ BANK INDEX TO A NEW RECORD OF 64092 AFTER RISING 649 POINTS OR 102 HOWEVER THE NASDAQ FINANCIAL INDEX A GAUGE OF THE LARGEST FINANCIAL CONCERNS DROPPED ABOUT THREE POINTS STATE STREET BOSTON PLUNGED 7 5/8 TO 35 1/8 AFTER MERRILL LYNCH DOWNGRADED THE COMPANY'S SHARES TUESDAY TO NEUTRAL FROM ABOVE AVERAGE FOR THE INTERMEDIATETERM SAYING THE COMPANY HAS INDICATED THAT OVER THE NEXT TWO YEARS IT PLANS TO INCREASE INVESTMENT SPENDING WHICH MERRILL THINKS MIGHT NOT BODE WELL FOR SHORTTERM EARNINGS THE BROKERAGE COMPANY ALSO CUT THE COMPANY'S 1993 AND 1994 EARNINGS ESTIMATES MR KAPLOWITZ SAID OTC TRADING WAS DIRECTIONLESS YESTERDAY AND SAID THE NASDAQ MARKET IS LOOKING FOR A LITTLE LEADERSHIP FROM A SECTOR BOB MCINTRYE SENIOR VICE PRESIDENT OF EQUITY TRADING AT PRINCIPAL EPPLER GUERIN & TURNER AGREED AND SAID STOCKS MOVED MOSTLY ON THE SPILLOVER FROM COMPANY NEWS I DIDN'T NOTICE MUCH STRENGTH OVERALL ALTHOUGH WE DID HAVE SOME DECENT ACTIVITY HE SAID IN OTHER CORPORATE DEVELOPMENTS CONSOLIDATED PAPERS INC OF WISCONSIN RAPIDS WIS SURGED 4 1/8 TO 44 5/8 CITING THE PAPER MAKER'S BETTERTHANEXPECTED FIRSTQUARTER EARNINGS AND A BRIGHTER OUTLOOK FOR ITS INDUSTRY NICHE A MERRILL LYNCH ANALYST RAISED HIS INTERMEDIATETERM RATING TO ABOVE AVERAGE FROM NEUTRAL AND HIS LONGTERM RATING TO BUY FROM ABOVE AVERAGE THE ANALYST SAID HE ANTICIPATES A JULY 1 PRICE INCREASE IN LIGHTWEIGHT COATED GROUNDWOOD THE PAPER USED IN GLOSSY MAGAZINES AND CATALOGS THE PAPER ACCOUNTS FOR ABOUT HALF OF CONSOLIDATED'S BUSINESS LEARNING CO ROSE 2 1/8 TO 18 1/2 AFTER THE FREMONT CALIF SOFTWARE DEVELOPER POSTED A FISCAL THIRDQUARTER PROFIT OF 430000 OR SIX CENTS A SHARE COMPARED WITH 76000 OR ONE CENT A SHARE A YEAR EARLIER GATES/FA DISTRIBUTING ADDED 7/8 TO 13 1/4 FOLLOWING REPORTS THAT IT SIGNED A NATIONAL DISTRIBUTION AGREEMENT WITH CLOSELY HELD ASANTE TECHNOLOGIES UNDER THE PACT GATES/FA A GREENVILLE SC COMPUTER AND SOFTWARE VENDOR WILL DISTRIBUTE ASANTE'S ENTIRE FAMILY OF DEPARTMENTAL NETWORK PROGRAMS INCLUDING ITS ETHERNET ADAPTERS AND TOKEN RING CONNECTIVITY PRODUCTS AND NETWORK MANAGEMENT SOFTWARE NEWS OF SEVERAL BUYBACK PLANS LIFTED A HANDFUL OF NASDAQ STOCKS PSC INC FOR EXAMPLE JUMPED 1 1/8 TO 7 5/8 WHEN THE WEBSTER NY ELECTRONIC EQUIPMENT MANUFACTURER SAID IT WOULD PURCHASE AS MUCH AS 500000 OF ITS COMMON SHARES IN THE OPEN MARKET FOR THE QUARTER ENDED DEC 31 PSC HAD AN AVERAGE OF 75 MILLION SHARES OUTSTANDING US HEALTHCARE A HEALTH MAINTENANCE ORGANIZATION BASED IN BLUE BELL PA GAINED 1/2 TO 39 3/4 AFTER ITS BOARD APPROVED A BUYBACK OF AS MANY AS FIVE MILLION COMMON SHARES THE STOCK WILL BE USED FOR GENERAL CORPORATE PURPOSES INCLUDING US HEALTHCARE'S STOCK OPTION PLAN THE COMPANY HAD 1084 MILLION SHARES OUTSTANDING AT DEC 31 ANOTHER HEALTH CARE ISSUE ADVANTAGE HEALTH CORP OF WOBURN MASS CLIMBED 1 TO 11 1/8 AFTER ANNOUNCING THAT IT MIGHT BUY BACK AS MANY AS 500000 COMMON SHARES IN THE NEXT SIX MONTHS THE COMPANY NOTED THAT ITS STOCK PRICE DOES NOT REFLECT THE UNDERLYING VALUE OF ITS ASSETS OR EARNINGS POTENTIAL AND IS UNDERVALUED ADVANTAGE HAS 57 MILLION SHARES OUTSTANDING SAFETY 1ST A NEW ISSUE CLOSED AT 12 3/8 THE CHESTNUT HILL MASS MAKER OF CHILD SAFETY PRODUCTS PRICED ITS TWO MILLIONSHARE OFFERING AT 12 EACH THROUGH UNDERWRITERS LED BY PRUDENTIAL SECURITIES INC PART OF THE PROCEEDS WILL BE USED TO REPAY DEBT SANMINA HOLDINGS A CALIFORNIA CIRCUIT BOARD DEVELOPER CLOSED AT 10 3/4 ITS INITIAL 23 MILLIONSHARE OFFERING CAME TO MARKET AT 10 A SHARE WITH MONTGOMERY SECURITIES INC LEADING THE UNDERWRITING SYNDICATE 9304150014 930415 BUSINESS BRIEF FAY'S INC FIRSTQUARTER CHARGE IS SET CLOSING OF SOME STORES CITED FAY'S INC SAID IT EXPECTS A FIRSTQUARTER CHARGE OF 33 MILLION OR 16 CENTS A SHARE BECAUSE OF PLANS TO CLOSE ALL NINE OF ITS PAPER CUTTER STORES IN THE PHILADELPHIA AREA FAY'S WILL CONTINUE TO OPERATE 25 PAPER CUTTER STORES IN NEW YORK STATE HENRY A PANASCI JR CHAIRMAN AND CHIEF EXECUTIVE OFFICER SAID THE CLOSINGS WILL ALLOW THE LIVERPOOL NY COMPANY TO CONCENTRATE EFFORTS ON BETTERPERFORMING UNITS PAPER CUTTER STORES SELL OFFICE SUPPLIES PARTY SUPPLIES AND GREETING CARDS FAY'S ALSO OPERATES 248 DRUGSTORES IN NEW YORK PENNSYLVANIA NEW HAMPSHIRE AND VERMONT AND 31 WHEELS DISCOUNT AUTO SUPPLY STORES IN UPSTATE NEW YORK THE COMPANY ALSO WILL INCUR A ONETIME CHARGE IN THE QUARTER OF 47 MILLION OR 23 CENTS A SHARE FROM ADOPTING NEW ACCOUNTING STANDARDS FOR POSTRETIREMENT BENEFITS IN THE YEARAGO QUARTER ENDED APRIL 25 FAY'S EARNED 15 MILLION OR 10 CENTS A SHARE ON REVENUE OF 2122 MILLION 9304150013 930415 PRATT & WHITNEY MAY SHARPEN CUTS AT CONNECTICUT SITES BY AMAL KUMAR NAJ STAFF REPORTER OF THE WALL STREET JOURNAL UNITED TECHNOLOGIES CORP'S JET ENGINE UNIT SAID IT'S CONSIDERING ELIMINATING 2300 MORE JOBS AT ITS HIGHCOST CONNECTICUT FACILITIES THAN IT PLANNED AND TRANSFERRING SOME OF THE PRODUCTION TO OUTSIDE SUPPLIERS PRATT & WHITNEY THE JET ENGINE UNIT SAID THE MOVE HOWEVER WON'T AFFECT THE OVERALL EMPLOYMENTREDUCTION TARGET UNDER ITS PREVIOUSLY ANNOUNCED COMPANYWIDE RESTRUCTURING PROGRAM THAT PLAN CALLS FOR REDUCING PRATT & WHITNEY'S WORLDWIDE EMPLOYMENT LEVEL TO 30000 FROM 40664 THE COMPANY HAD ANNOUNCED IT WOULD CUT 6700 JOBS AT ITS CONNECTICUT FACILITIES BUT IT SAID YESTERDAY THAT AN ADDITIONAL 2300 JOBS MAY HAVE TO BE ELIMINATED THERE IN ORDER TO MEET COST GOALS KARL KRAPEK PRESIDENT OF PRATT & WHITNEY SAID THE COMPANY HASN'T MADE A FINAL DECISION ABOUT THE ADDITIONAL JOB CUTS IN CONNECTICUT THAT MOVE WILL DEPEND ON WHETHER THE COMPANY CAN EXTRACT CONCESSIONS FROM THE UNION REPRESENTING ITS CONNECTICUT WORKERS AND ON TAX AND OTHER INCENTIVES FROM THE STATE HE SAID MR KRAPEK SAID FORMAL NEGOTIATIONS WITH THE UNION ON THE ISSUES ARE TO START AT THE END OF THIS WEEK THE INTERNATIONAL ASSOCIATION OF MACHINISTS WHICH REPRESENTS PRATT & WHITNEY WORKERS IN CONNECTICUT SAID IT'S APPROACHING THE DISCUSSIONS WITH AN OPEN MIND IT SAID THAT AFTER IT RECEIVES INFORMATION ABOUT THE CAUSE OF THE COMPANY'S CONCERNS IT WILL BEGIN TO FRAME SOLUTIONS TO ADDRESS THOSE ISSUES MR KRAPEK SAID HOURLY MANUFACTURING COSTS IN THE COMPANY'S CONNECTICUT FACILITIES ARE ABOUT 6 TO 8 HIGHER THAN IN ITS FACTORIES IN MAINE AND GEORGIA MR KRAPEK SAID THAT IF PRATT & WHITNEY ISN'T ABLE TO OBTAIN THE NECESSARY SAVINGS IT WILL CLOSE ITS EAST HARTFORD AND SOUTHINGTON FACILITIES AND HALF OF ITS NORTH HAVEN PLANT ALL THREE PLANTS ARE IN CONNECTICUT HE SAID TWO THIRDS OF THE PRODUCTION OF THESE FACILITIES WOULD BE MOVED TO THE COMPANY'S GEORGIA AND MAINE FACILITIES WHICH AREN'T UNIONIZED THE OTHER ONETHIRD WILL BE FARMED OUT TO OUTSIDE SUPPLIERS MR KRAPEK SAID THE COMPANY CAN SAVE AS MUCH AS 30 IN PRODUCTION COSTS ON CERTAIN PARTS BY HAVING THEM MADE BY OUTSIDE SUPPLIERS IF THE COMPANY DOES DECIDE TO MAKE THE ADDITIONAL JOB REDUCTIONS IT WOULD BE LEFT WITH 11400 JOBS IN CONNECTICUT INCLUDING 7100 JOBS IN MANUFACTURING WE HAVE BEEN A HIGHCOST PRODUCER FOR A LONG TIME MR KRAPEK SAID HE SAID THE FURTHER PRESSURE FOR COST REDUCTIONS IS COMING FROM A CONTINUING DECLINE IN SALES HE SAID PRATT & WHITNEY'S FIRSTQUARTER REVENUE WAS 25 LOWER THAN A YEAR AGO AND THAT HE EXPECTS FULLYEAR REVENUE TO BE ABOUT 10 TO 12 BELOW THE 1992 LEVEL LAST YEAR PRATT & WHITNEY HAD A LOSS OF 500 MILLION REFLECTING SHRINKING DEFENSE BUDGETS AND WEAKNESS IN THE AIRLINE INDUSTRY UNITED TECHNOLOGIES IS BASED IN HARTFORD CONN IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE UNITED TECHNOLOGIES WAS TRADING LATE YESTERDAY AT 4925 OFF 25 CENTS 9304150012 930415 MONEY FUND YIELDS EASED IN LATEST WEEK YIELDS ON TAXABLE MONEYMARKET MUTUAL FUNDS SLIPPED IN THE LATEST WEEK AFTER TWO CONSECUTIVE FRACTIONAL INCREASES IBC/DONOGHUE'S AVERAGE SEVENDAY COMPOUND YIELD EASED TO 268 FROM 271 IN THE WEEK ENDED TUESDAY ACCORDING TO MONEY FUND REPORT AN ASHLAND MASS NEWSLETTER COMPOUND YIELDS ASSUME REINVESTMENT OF DIVIDENDS ASSETS OF 582 TAXABLE FUNDS TRACKED BY THE NEWSLETTER ROSE BY 102 BILLION TO 48352 BILLION JUST OVER 1 BILLION IN WITHDRAWALS BY INDIVIDUAL INVESTORS WAS MORE THAN OFFSET BY A 205 BILLION INFLOW FROM INSTITUTIONS ASSET TOTALS FOR THE PRIOR WEEK WERE RESTATED TO REFLECT REVISED FIGURES FROM ONE INSTITUTIONAL FUND AVERAGE MATURITY OF THE TAXABLE FUNDS' INVESTMENTS WHICH INCLUDE COMMERCIAL PAPER SHORTTERM CORPORATE IOUS AND TREASURY BILLS LENGTHENED BY TWO DAYS TO 62 DAYS INDICATING THAT PORTFOLIO MANAGERS DON'T EXPECT SIGNIFICANT INCREASES IN SHORTTERM INTEREST RATES ANY TIME SOON YIELDS ON TAXFREE FUNDS ALSO FELL THE AVERAGE SEVENDAY COMPOUND YIELD FOR INSTANCE DROPPED TO 189 FROM 198 THE LATEST YIELD IS EQUIVALENT TO A TAXABLE 263 FOR AN INVESTOR IN THE 28 TAX BRACKET AND TO 274 FOR SOMEONE PAYING 31 IN TAXES ASSETS OF 318 TAXEXEMPT FUNDS DECLINED BY 3262 MILLION TO 10353 BILLION AVERAGE MATURITY REMAINED AT 50 DAYS 9304150011 930415 ENVIRONMENT EXXON ATTACKS SCIENTIFIC VIEWS OF VALDEZ SPILL BY CALEB SOLOMON STAFF REPORTER OF THE WALL STREET JOURNAL HOUSTON EXXON CORP HAS LAUNCHED A FULLSCALE CAMPAIGN WITHIN THE SCIENTIFIC COMMUNITY TO TRY TO DISPEL THE WIDESPREAD BELIEF THAT ALASKA'S PRINCE WILLIAM SOUND SUFFERED LONGTERM ENVIRONMENTAL DAMAGE FROM THE 1989 VALDEZ OIL SPILL EMPLOYING CHEMICAL FINGERPRINTING TECHNIQUES EXXON SCIENTISTS ARE ATTACKING THE HUGE SAMPLING DATABASE COLLECTED BY THE FEDERAL GOVERNMENT FROM THE SOUND ON EVERYTHING FROM WATER TO SEDIMENT TO MARINE LIFE EXXON CLAIMS ITS ANALYSIS SHOWS THAT SOME DAMAGING OIL IN THE SOUND DIDN'T COME FROM THE VALDEZ TANKER THAT GOVERNMENT RESEARCHERS MISTOOK DIESEL FUEL FOR EXXON CRUDE OIL AND THAT IN SOME CASES THEY LABELED AS OIL WHAT IN FACT WASN'T OIL AT ALL IN ADDITION EXXON WILL PRESENT TWO DOZEN PAPERS THIS MONTH FOR SCRUTINY BY NEUTRAL EXPERTS AT A SYMPOSIUM IN ATLANTA UNVEILING IN THE BIGGEST WAY TO DATE ITS OWN SAMPLING FROM PRINCE WILLIAM SOUND THAT WAS TAKEN SEPARATELY FROM THE GOVERNMENT'S EXXON ASSERTS ITS STUDIES SHOW LONGTERM DAMAGE IS NIL FOUR YEARS AFTER THE VALDEZ TANKER STRUCK A REEF IN THE SOUND AND SPILLED 11 MILLION GALLONS OF ALASKAN NORTH SLOPE CRUDE OIL EMPLOYEE MORALE IS FLAGGING AMID FRUSTRATION THAT EXXON'S REPUTATION STILL SUFFERS DESPITE THE COMPANY'S SPENDING 3 BILLION TO CLEAN UP THE SPILL AND SETTLING FEDERAL AND ALASKAN STATE LAWSUITS FOR 1 BILLION MUCH MORE IS AT STAKE THAN MORALE AND REPUTATION HOWEVER THE OUTCOME OF A MOUNTAIN OF CIVIL LAWSUITS AGAINST IRVING TEXASBASED EXXON COULD DEPEND ON LONGTERM DAMAGE ASSESSMENTS OF THE SOUND ALSO EXXON'S SETTLEMENT RETAINS A REOPENER CLAUSE THAT WOULD FORCE THE COMPANY TO PAY AS MUCH AS 100 MILLION MORE IF UNANTICIPATED DAMAGES FROM THE SPILL ARE DISCOVERED MOREOVER FEDERAL REGULATORS ARE WRITING RULES OF THE OIL POLLUTION ACT OF 1990 ADDRESSING HOW TO ASSESS OILSPILL DAMAGES FROM ECONOMIC AND TECHNICAL POINTS OF VIEW THE VALDEZ SPILL THE LARGEST IN US HISTORY SPARKED PASSAGE OF THE BILL AND PERCEPTIONS OF THE DEGREE AND DURATION OF DAMAGE TO THE SOUND WILL DETERMINE HOW SOME RULES ARE WRITTEN THE SAMPLING DATA COLLECTED BY GOVERNMENT CONTRACTORS ARE FLAWED SAYS DR HANS O JAHNS A PETROLEUM ENGINEER AT EXXON FOR 30 YEARS WHO SPECIALIZES IN ARCTIC RESEARCH AS A RESULT DR JAHNS SAYS MANY OF THE CONCLUSIONS THEY HAVE DRAWN ARE WRONG HE ASSERTS EVERYTHING HAS ESSENTIALLY RECOVERED DR JAHNS ACKNOWLEDGES THAT POCKETS OF VALDEZ CRUDE CAN STILL BE FOUND IN AND AROUND PRINCE WILLIAM SOUND BUT THAT IT'S INNOCUOUS PAUL D BOEHM A SPECIALIST IN HYDROCARBON CHEMISTRY AND OIL SPILLS FOR ARTHUR D LITTLE INC CONSULTANTS HIRED BY EXXON SAYS THE REMAINING AMOUNTS OF OIL ARE SMALL IT'S NOT TOXIC HE SAYS EXXON'S CONCLUSIONS RUN SHARPLY COUNTER TO THOSE OF MANY SCIENTISTS IN ALASKA WHO HAVE STUDIED THE SPILL'S AFTERMATH EXXON HAS BEEN CLAIMING FROM DAY ONE THAT THE DAMAGE WASN'T LONGTERM SAYS A SPOKESWOMAN FOR ALASKA'S DEPARTMENT OF FISH AND GAME THERE'S BEEN A FEELING BY MANY PEOPLE THAT EXXON CONTINUES TO WHITEWASH THE EFFECTS AS RECENTLY AS MARCH 24 JOHN SANDOR COMMISSIONER OF ALASKA'S DEPARTMENT OF ENVIRONMENTAL CONSERVATION TOLD MEMBERS OF THE HOUSE MERCHANT MARINE AND FISHERIES COMMITTEE THAT SIGNIFICANT POCKETS OF FRESH OIL THAT PERSIST FOR INSTANCE UNDER MUSSEL BEDS THREATEN THE FOOD CHAIN AND COULD SLOW THE RECOVERY OF HARLEQUIN DUCKS BLACK OYSTERCATCHERS JUVENILE SEA OTTERS AND OTHER SPECIES HE ALSO TESTIFIED THAT WHILE THE INSULT TO THE ENVIRONMENT SEEMED OVERWHELMING AT FIRST THE INTERVENING YEARS HAVE SHOWN US THAT NATURE CAN FOR THE MOST PART BE QUITE RESILIENT AT AN ANCHORAGE ALASKA CONFERENCE IN FEBRUARY TO DETERMINE HOW TO SPEND THE EXXON SETTLEMENT FUNDS MANY SCIENTISTS SAID SOME WILDLIFE IN AND AROUND THE SOUND MAY BE HURT FOR DECADES DR JAHNS AND OTHER EXXON EXECUTIVES ATTENDED THE CONFERENCE BUT DIDN'T PARTICIPATE SAYING THEY WEREN'T PREPARED YET TO UNVEIL THEIR RESEARCH AND THEY DIDN'T WANT TO RECOMMEND HOW THE SETTLEMENT SHOULD BE SPENT EXXON WILL PRESENT ITS CASE AT AN APRIL SYMPOSIUM RUN BY THE AMERICAN SOCIETY FOR TESTING AND MATERIALS A NONPROFIT ORGANIZATION THAT DEVELOPS STANDARDS TEST METHODS AND PRACTICES FOR ACTIVITIES RANGING FROM METALS TO PETROLEUM TO MEDICAL SERVICES EXXON'S PAPERS LIKE OTHERS SUBMITTED TO ASTM WILL GO THROUGH AN EXTENSIVE PEER REVIEW BY NEUTRAL EXPERTS IN THE FIELD BEFORE THEY CAN BE PUBLISHED AN ASTM SPOKESWOMAN SAYS THAT COULD TAKE AT LEAST A YEAR SHE SAYS DR JAHNS SAYS EXXON CHOSE ASTM AS A FORUM BECAUSE THE GROUP IS BEHOLDEN TO STRIVE FOR BALANCE WHEN EXXON FIRST CONTACTED ASTM OFFICIALS IN AUGUST THE OFFICIALS INSISTED THAT OPPOSING VIEWPOINTS BE AIRED AS WELL AND TOOK EXTENSIVE EFFORTS TO DRAW PAPERS FROM OPPOSING SCIENTISTS WE WANT TO BE ON THE SCIENTIFIC CIRCUIT SAYS DR BOEHM THE CONSULTANT TO EXXON HE SAID THE COMPANY WILL ALSO PRESENT PAPERS IN JUNE AT THE AMERICAN ORNITHOLOGICAL UNION IN FAIRBANKS ALASKA AND AT AN ARCTIC MARINE OIL SPILL CONFERENCE THE SAME MONTH IN EDMONTON ALBERTA EXXON SCIENTISTS ARE SEEKING CREDIBILITY THROUGH A TECHNIQUE CALLED OIL FINGERPRINTING DEVELOPED IN RECENT DECADES IN BOTH OIL EXPLORATION AND ENVIRONMENTAL SCIENCES MUCH LIKE HUMAN FINGERPRINTS CAN TELL ONE PERSON FROM ANOTHER CHEMICAL FINGERPRINTS EXAMINE THE DIFFERENT LEVELS OF COMPOUNDS IN A SUBSTANCE ENABLING SCIENTISTS TO DISTINGUISH ONE TYPE OF CRUDE OIL FROM ANOTHER OR FROM OTHER SUBSTANCES IN SOME SAMPLES COLLECTED BY FEDERAL GOVERNMENT RESEARCHERS EXXON FOUND THAT SEDIMENTS CONTAINED OIL FROM NATURALLY OCCURING UNDERGROUND SEEPS IN AN AREA CALLED KATALLA IN WATERS NEAR THE SOUND IT WAS DIFFERENT OIL THAN THE ALASKAN NORTH SLOPE CRUDE THAT THE VALDEZ WAS CARRYING IN OTHER CASES EXXON'S FINGERPRINTS SHOWED THAT DIESEL FUEL WAS INCORRECTLY ASSUMED TO HAVE BEEN VALDEZ CRUDE AND SOMETIMES GOVERNMENTHIRED RESEARCHERS LABELED AS CRUDE A SUBSTANCE THAT WAS MERELY A LABORATORY MISTAKE THE COMPANY BRIEFED SCIENTISTS OF THE NATIONAL OCEANOGRAPHIC AND ATMOSPHERIC ADMINISTRATION WHICH COLLECTED THE SAMPLES ON ITS FINDINGS AND THEY FIND MANY OF THEM PLAUSIBLE I KIND OF PRIDE MYSELF IN HAVING PEOPLE WHO CAN SEE BEYOND THE SMOKE NOT JUST WITH EXXON BUT ALSO WITH THE STATE OF ALASKA SAYS DAVID KENNEDY A NOAA OFFICIAL IN ALASKA JAY FIELD A NOAA MARINE BIOLOGIST WORKING FOR MR KENNEDY ATTENDED EXXON'S BRIEFING AND SAYS THE APPROACH THEY TOOK APPEARED TO BE REASONABLE MR FIELD LIKE OTHERS HOWEVER SAYS THE CONCLUSIONS THEY DREW ARE A BIG LEAP MESSRS KENNEDY AND FIELD BOTH SAY IT IS CLEAR THAT THE SOUND HAS MADE A REMARKABLE ECOLOGICAL COMEBACK BECAUSE OF HUMAN EFFORTS AND NATURE'S OWN CLEANSING PROCESS BUT MR KENNEDY INSISTS IT IS PERFECTLY CLEAR THAT SOME SPECIES REMAIN DAMAGED STANLEY RICE A NOAA SCIENTIST IN ALASKA SAYS MOST SPECIES HAVE IN FACT RECOVERED EXCEPT FOR A FEW TROUBLESOME ONES EXXON'S ANALYSIS WHICH HE FINDS PLAUSIBLE RAISES SOME UNCERTAINTY ABOUT THE DEGREES OF DAMAGE JEROME MONTAGUE CHIEF OF RESTORATION FOR THE ALASKA DEPARTMENT OF FISH AND GAME SAYS THAT'S ANOTHER WAY EXXON CAN CONFUSE THE PUBLIC 9304150010 930415 CREDIT MARKETS FEDERAL RESERVE'S PURCHASE OF COUPONS TO BOOST BANK RESERVES LIFTS TREASURYS IN QUIET TRADING BY THOMAS D LAURICELLA AND TERENCE DONNELLY SPECIAL TO THE WALL STREET JOURNAL NEW YORK AN OPENMARKET PURCHASE OF NOTES AND BONDS BY THE FEDERAL RESERVE PROVIDED A MODEST LIFT TO AN OTHERWISE QUIET US TREASURY MARKET THE BENCHMARK 30YEAR TREASURY BOND ROSE MORE THAN 3/8 POINT OR MORE THAN 375 FOR A BOND WITH 1000 FACE VALUE TO 104 24/32 YIELDING 675 DOWN FROM 678 ON TUESDAY THE 10YEAR NOTE ROSE MORE THAN 1/4 POINT TO 102 23/32 TO YIELD 587 DOWN FROM 591 THE FED ARRANGED THE PURCHASE WHICH IS KNOWN AS A PASS AS A MEANS OF ADDRESSING A SEASONAL NEED TO INJECT RESERVES INTO THE BANKING SYSTEM TYPICALLY AT THIS TIME OF YEAR CORPORATE AND INDIVIDUAL TAX PAYMENTS SENT TO THE TREASURY CREATE A DRAIN ON BANKS' RESERVES THAT THE FED MUST COUNTER WHILE THE MOVE HAD NO MONETARY POLICY SIGNIFICANCE IT DID HAVE THE SAME IMPACT ON PRICES AS A BUYER ENTERING THE MARKET AND RIDDING DEALERS OF A SIGNIFICANT AMOUNT OF UNWANTED COUPON SECURITIES IT WAS PROBABLY ON THE LARGER SIDE PROBABLY ABOUT 4 BILLION SAID MARILYN SCHAJA MONEYMARKET ECONOMIST AT DONALDSON LUFKIN & JENRETTE SECURITIES THE MOVE HAD BEEN ANTICIPATED FOR SOME TIME AND THE ONLY REAL QUESTION WAS WHETHER THE FED WOULD BE BUYING BILLS OR COUPONS BEFORE THE COUPON PASS TREASURY PRICES WERE LITTLE CHANGED BUT AFTER THE PASS TREASURYS WERE ABLE TO CLOSE NEAR THEIR HIGHS FOR THE DAY THE MARKET HAD A LITTLE BIT OF A BID LEFT OVER AT THE OPEN FROM THE ROCK 'N' ROLL WE SAW ON TUESDAY SAID ALAN LEVENSON A MONEYMARKET ECONOMIST AT UBS SECURITIES INC IT LOST SOME OF THAT BUT THEN GOT IT BACK ON THE COUPON PASS HE SAID ASIDE FROM THE COUPON PASS LITTLE ELSE TRANSPIRED YESTERDAY THAT WAS THE HIGHLIGHT OF THE DAY SAID MATTHEW ALEXY MARKET STRATEGIST AT FIRST BOSTON CORP THE LITTLE TRADING THAT OCCURRED WAS DOMINATED BY DEALERS WITH MOST INSTITUTIONAL ACCOUNTS STAYING ON THE SIDELINES AND OVERALL THE MARKET REMAINS CONFINED TO RANGES THAT HAVE PERSISTED FOR WEEKS ALTHOUGH PRICES ARE AT THE UPPER END OF THE BANDS THIS THING IS JUST ZIGGING AND ZAGGING DOING A LITTLE BIT BETTER DAY BY DAY HE SAID BUT WE'RE VERY CLOSE TO WHAT WOULD BE THE TOP OF THE TRADING RANGE WITH THE BOND YIELDING 677 IT IS NOT FAR FROM ITS 16YEAR LOW YIELD OF 672 SET ON MARCH 8 BUT WITHOUT FRESH NEWS AS A CATALYST FOR TAKING THE MARKET THROUGH ITS HIGHS PRICES ARE LIKELY TO LANGUISH IN TIGHT RANGES PLAYERS SAID WE'RE GOING TO NEED SOME BETTER ECONOMIC DATA SAID MR LEVENSON OF UBS UNFORTUNATELY FOR THOSE HOPING FOR A NEARTERM BREAK OUT OF THE RANGES THE ECONOMIC DATA ON DECK IN COMING SESSIONS DOES NOT APPEAR UP TO THE TASK WE'RE PRETTY MUCH THROUGH THE DATA CYCLE THE NEWS THAT WE ARE GOING TO BE GETTING IS SECONDARY IN NATURE MR ALEXY SAID DUE OUT TODAY ARE THE REPORT ON WEEKLY JOBLESS CLAIMS AND THE PHILADELPHIA FEDERAL RESERVE'S BUSINESS OUTLOOK SURVEY FOR APRIL SLATED FOR RELEASE TOMORROW ARE DATA ON FEBRUARY MERCHANDISE TRADE MARCH INDUSTRIAL PRODUCTION AND THE UNIVERSITY OF MICHIGAN'S EARLY READING ON APRIL CONSUMER CONFIDENCE MUCH OF THE DATA THE REST OF THIS WEEK AND INTO NEXT WEEK WILL PROBABLY CONTINUE TO BE DEPRESSED BY THE IMPACT OF THE MARCH EAST COAST BLIZZARD AND THUS BE SUPPORTIVE FOR TREASURYS PARTICIPANTS SAID IN THE NEAR TERM THE DATA ARE GOING TO BE POSITIVE SAID MR LEVENSON OF UBS UTILITIES CONTINUED TO SELL NEW DEBT PAPER YESTERDAY ALTHOUGH THE NEW SUPPLY DOES NOT APPEAR TO BE PUTTING MUCH OF A DENT IN SECONDARY PRICES INVESTMENTGRADE BONDS ENDED FLAT TO 1/4 POINT HIGHER BUT VOLUME WAS THIN MANY RETAIL INVESTORS ARE CONCERNED THAT INTEREST RATES LACK THE MOMENTUM TO DECLINE FURTHER ALTHOUGH INSTITUTIONAL INVESTORS SEEM MORE CONFIDENT TRADERS SAID INTEREST RATES HAVE STEADILY DROPPED THIS MONTH ERASING IN LARGE PART THE 030PERCENTAGEPOINT INCREASE IN YIELDS IN MARCH WE'RE CLEARLY AT A TURNING POINT ONE TRADER SAID BUT WHICH WAY NONETHELESS WITH INTERMEDIATE AND LONGTERM INTEREST RATES HOVERING JUST ABOVE NEARRECORD LOWS COMPANIES CONTINUE TO SELL DEBT TO REFINANCE OUTSTANDING DEBT AND LOCK IN CHEAP BORROWING RATES UTILITIES OFFERED MORE THAN HALF OF YESTERDAY'S 17 BILLION ISSUANCE WHICH INCLUDED NEW OFFERINGS FROM GEORGIA POWER CO A SOUTHERN CO UNIT FPL GROUP INC'S FLORIDA POWER & LIGHT CO UNIT AND PENNSYLVANIA POWER & LIGHT CO ONE REASON WHY UTILITY DEBT CONTINUES TO FIND BUYERS IN THE FACE OF SO MUCH RECENT SUPPLY IS THAT INVESTORS FLUSH WITH A LOT OF CASH TO INVEST HAVE SEEN DWINDLING SUPPLY OF OUTSTANDING INDUSTRIAL PAPER MATURING IN SEVEN TO 10 YEARS SAID MARK GRANT FIXEDINCOME MANAGING DIRECTOR AT RODMAN & RENSHAW INC THE SUPPLY OF PAPER IN THAT SECTOR HAS DRIED UP SAID MR GRANT THIS SUGGESTS THAT A PERMANENT MOVE TO A LOWER INTEREST RATE BASE COULD BE UNDER WAY HE ADDED SEPARATELY INVESTORS SHRUGGED OFF NEWS THAT CANADIAN UTILITY ONTARIO HYDRO WILL BE DIVIDED INTO THREE SEPARATE OPERATING DIVISIONS THE UTILITY WHICH IS OWNED BY THE PROVINCE OF ONTARIO SHOULD COMPLETE ITS REORGANIZATION BY JULY COMPANY OFFICIALS SAID WHILE IT WAS UNCLEAR HOW THE MOVE WOULD AFFECT THE UTILITY'S DEBT OUTSTANDING TRADERS SAID THEY WERE CONFIDENT THAT THE PROVINCE WOULD CONTINUE TO STAND BEHIND ONTARIO HYDRO'S OBLIGATIONS THE REORGANIZATION HAD BEEN EXPECTED THEY ADDED ONTARIO HYDRO BONDS ENDED LITTLE CHANGED MUNICIPAL BONDS PERFORMED STRONGLY ONCE AGAIN BECAUSE OF SOLID DEMAND IN THE PRIMARY AND SECONDARY SECTORS OF THE MARKET IN NEWISSUE DEALINGS THERE WAS HEARTY BUYING OF THE MORE THAN 1 BILLION OF BONDS INTRODUCED AND SEVERAL UNDERWRITING GROUPS REPRICED THEIR OFFERINGS TO RAISE PRICES AND LOWER YIELDS DESPITE THE LATEST SUPPLY SPURT SECONDARY MARKET ISSUES WERE GENERALLY 1/8 TO 3/8 POINT HIGHER IN LATE TRADING THE JACKSONVILLE FLA ELECTRIC AUTHORITY'S 550 REVENUE REFUNDING BONDS DUE 2013 FINISHED 3/8 FIRMER AT 97 5/8 YIELDING 568 IT'S CLEAR THAT THE MOOD ABOUT THE MARKET IS POSITIVE AFTER THE BIG DOWNWARD CORRECTION LAST MONTH BUT HEAVY SUPPLY COULD STILL CAUSE PROBLEMS FOR MUNIS A NEW YORK TRADING MANAGER SAID LARGELY BECAUSE OF QUICKPACED PRICINGS LAST MONTH THERE WAS A LONG STEEP DECLINE IN TAXEXEMPT BOND PRICES WHILE A NUMBER OF OFFERINGS ARE STILL ON A DAYTODAY PRICING BASIS AFTER THE SLUMP ISSUANCE IS STARTING TO PICK UP AGAIN AFTER A LULL BEFORE THE EASTER HOLIDAY PENNSYLVANIA WAS AMONG THE ISSUERS OF NEW DEBT YESTERDAY A LEHMAN BROTHERS GROUP WON THE STATE'S 4203 MILLION OF FIRST SERIES OF 1993 GENERAL OBLIGATION BONDS WITH A BID SETTING THE TRUE INTEREST COST AT 51475 YIELDS FOR REOFFERED BONDS WERE SET AT 340 IN 1995 TO 560 IN 201113 THERE WAS AN UNSOLD BALANCE OF 239 MILLION IN LATE TRADING LEHMAN BROTHERS SAID MOODY'S INVESTORS SERVICE INC HAS RATED THE ISSUE SINGLEA1 AND STANDARD & POOR'S CORP HAS ASSIGNED A DOUBLEAMINUS RATING THE MORTGAGE SECURITIES MARKET WAS LITTLE CHANGED TRAILING SLIGHTLY BEHIND TREASURYS AMID PROFITTAKING AND LINGERING PREPAYMENT CONCERNS AMONG 7 SECURITIES FOR MAY DELIVERY GINNIE MAES WERE FLAT AT 100 23/32 FREDDIE MAC GOLDS WERE UP 3/32 AT 100 31/32 AND FANNIE MAES WERE 3/32 FIRMER ON THE DAY AT 100 25/32 TENYEAR TREASURY NOTES ROSE 6/32 THERE WERE A LOT OF SELLERS 6 1/2 S 7S 7 1/2 S YOU NAME IT AND THEY WERE SELLING IT SAYS ONE TRADER WHO CHARACTERIZED THIS SESSION AS VERY BUSY FOR HIS TRADING DESK MORTGAGE SECURITIES HOLDERS WERE TRYING TO TAKE ADVANTAGE OF THE RECENT MARKET UPTICK TO TAKE PROFITS TRADERS NOTED THAT PRICES HOWEVER WERE CONFINED TO STIFLING RANGES ALL SESSION MEANWHILE THERE WERE NO NEW REAL ESTATE INVESTMENT CONDUIT OFFERINGS ANNOUNCED YESTERDAY THE VOLATILITY OF THE CURRENT ENVIRONMENT IS CAUSING INVESTOR UNCERTAINTY REGARDING THE POSSIBILITY OF AN EVEN LOWER RATE BACKDROP AND THUS IS FUELING INERTIA IN THE MORTGAGEBACKED SECURITIES MARKET WRITES ADRIAN KATZ IN A RECENT PRUDENTIAL SECURITIES INC REPORT CALLED DIFFERENTIATING LONGTERM OPPORTUNITY FROM SHORTTERM UNCERTAINTY BUT LOOKING FORWARD DEMAND SHOULD EXPERIENCE A DRAMATIC TURNAROUND THAT SHOULD MORE THAN OFFSET ANY SUPPLY GROWTH HE WRITES BRACE YOURSELF FOR FURTHER VOLATILITY BUT WE BELIEVE NOW IS THE TIME TO INVEST 9304150009 930415 BUSINESS BRIEF NEC CORP HOBBIT' CHIPS TO BE USED IN NEW DATA COMMUNICATORS NEC CORP WILL INTRODUCE HANDHELD DATA COMMUNICATORS THIS FALL THAT INTEGRATE HOBBIT MICROPROCESSORS A SPOKESMAN FOR THE JAPANESE HIGHTECHNOLOGY CONCERN SAID NEC AND RIVAL TOSHIBA CORP SAID IN NOVEMBER THAT THEY WOULD JOIN AMERICAN TELEPHONE & TELEGRAPH CO IN POPULARIZING THE US COMPANY'S 32BIT HOBBIT CHIPS IN PERSONAL COMMUNICATORS OR HANDHELD DEVICES THAT USE PENS INSTEAD OF KEYBOARDS THE NEC PRODUCTS WOULD BE THE FIRST HOBBIT PRODUCTS INTRODUCED IN JAPAN THE COMPANY SAID THE PRODUCTS WOULD BE TARGETED AT INSURANCEINDUSTRY SALES FORCES 9304150008 930415 SYSTEMIX VENTURE WITH SANDOZ THE THERAPIES INVOLVE INSERTING HIVRESISTANT GENES INTO HEMATOPOIETIC STEM CELLS SANDOZ BASED IN BASEL SWITZERLAND OWNS 60 OF SYSTEMIX 9304150007 930415 MARKETING & MEDIA HOME SHOPPING SUITS BY SIX SHAREHOLDERS ALLEGE IMPROPRIETIES ST PETERSBURG FLA SIX SHAREHOLDERS FILED LAWSUITS IN A FLORIDA FEDERAL COURT AGAINST HOME SHOPPING NETWORK INC AND ITS CHAIRMAN ROY SPEER CHARGING THEM WITH FAILING TO REPORT FINANCIAL IMPROPRIETIES THE SUITS FILED IN US DISTRICT COURT IN TAMPA CLAIM THAT HOME SHOPPING KNOWINGLY CONCEALED ALLEGATIONS THAT ITS EXECUTIVES PROFITED FROM IMPROPER RELATIONSHIPS WITH THE NETWORK'S VENDORS ONE OF THE SUITS STATES THAT THE DEFENDANTS' MISREPRESENTATIONS AND/OR OMISSIONS WERE FOR THE PURPOSE OF CONCEALING HSN'S TRUE FINANCIAL AND OPERATING CONDITION AND MARKET POSITION FROM THE INVESTING PUBLIC OFFICIALS OF HOME SHOPPING DID NOT RETURN CALLS FOR COMMENT ON THE LAWSUITS THE ALLEGATIONS IN THE SUITS WHICH SEEK CLASSACTION STATUS PREVIOUSLY WERE MADE IN NUMEROUS OTHER CIVIL LAWSUITS INVOLVING MR SPEER AND FORMER PRESIDENT LOWELL PAXSON THE COMPANY'S LEGAL PROBLEMS WHICH INCLUDE A FEDERAL GRAND JURY INVESTIGATION INTO THE MATTER LED HOME SHOPPING'S MAJORITY HOLDER LIBERTY MEDIA CORP OF CHEYENNE WYO TO WITHDRAW ITS OFFER TO BUY THE REST OF THE NETWORK'S STOCK THE OFFER A CASHANDSTOCK COMBINATION WAS VALUED AT MORE THAN 640 MILLION THE SHAREHOLDER SUITS CITE THE DROP IN HOME SHOPPING'S STOCK PRICE FOLLOWING LIBERTY'S WITHDRAWAL OF ITS OFFER LAST WEEKEND LIBERTY'S INITIAL CASHANDSTOCK OFFER WAS VALUED AT 9 A SHARE NEAR THE MARKET PRICE OF HOME SHOPPING SHARES YESTERDAY IN TRADING ON THE NEW YORK STOCK EXCHANGE HOME SHOPPING SHARES WERE DOWN 12 CENTS TO 550 HOME SHOPPING ON MONDAY ALSO REPORTED A LOSS OF 269 MILLION IN ITS FISCAL SECOND QUARTER LARGELY BECAUSE OF INVENTORY WRITEDOWNS AS THE NETWORK DISPOSED OF INEXPENSIVE PRODUCTS THEY SHOULD HAVE DISCLOSED EVERYTHING THEY KNEW ABOUT THESE ALLEGATIONS SAYS STEPHEN D OESTREICH A LAWYER FOR SEVERAL SHAREHOLDERS IT'S VERY MATERIAL TO PUBLIC STOCKHOLDERS HE SAID HIS CLIENTS ARE SEEKING UNSPECIFIED DAMAGES FROM THE COMPANY AND MR SPEER 9304150006 930415 HONDA ISUZU MARKETING PACT DETROIT HONDA MOTOR CO AND ISUZU MOTORS LTD FINALIZED THEIR PREVIOUSLY ANNOUNCED AGREEMENT TO BEGIN MARKETING EACH OTHER'S VEHICLES UNDER THE AGREEMENT HONDA WILL BEGIN SELLING THE ISUZU RODEO SPORT UTILITY VEHICLE IN JANUARY 1994 IN THE US HONDA SAID IT EXPECTS TO SELL BETWEEN 20000 AND 30000 OF THE VEHICLES ANNUALLY IN JAPAN HONDA WILL START SELLING THE SPORT UTILITY VEHICLES IN THE FALL OF 1993 THE AGREEMENT ALLOWS HONDA TO FILL A GAP IN ITS PRODUCT LINE WITHOUT MUCH STARTUP COST THE MARKET FOR RECREATIONAL VEHICLES IS STRONG IN THE US AND JAPAN WHILE DEMAND FOR CARS HAS BEEN SLUGGISH 9304150005 930415 LETTERS TO THE EDITOR A DISDAIN FOR POLITICAL THEOLOGY WRITING ON YOUR MARCH 16 EDITORIAL PAGE CHRISTIANITY VS FANATICISM RALPH REED EXECUTIVE DIRECTOR OF THE CHRISTIAN COALITION TRIED TO REMOVE ANY HINT OF BLAME FROM ANTIABORTION GROUPS FOR THE MURDER OF DR DAVID GUNN WHO WAS SHOT BY AN ANTIABORTION PROTESTER MR REED TRIED TO SHIFT THE BLAME TO A GROWING CONTEMPT FOR RELIGION IN AMERICA AND TO WHAT HE SEES AS OUR CULTURE'S FAILURE TO HONOR AND AFFIRM RELIGION HIS JUSTIFICATION FOR THAT TWISTED VIEW IS A MIX OF SELECTIVE HISTORY AND AN ARGUMENT SO SLANTED THAT GRAVITY ALONE SHOULD PULL IT DOWN MR REED CLAIMS MAINSTREAM PROLIFE ORGANIZATIONS RECOILED IN HORROR AT THE MURDER IN PENSACOLA YET RANDALL TERRY LEADER OF OPERATION RESCUE SAID WE HAVE TO RECOGNIZE THAT THIS DOCTOR WAS A MASS MURDERER DON TRESHMAN OF RESCUE AMERICA THE GROUP THAT WAS PROTESTING AT THE SITE OF DR GUNN'S MURDER CALLED THE KILLING UNFORTUNATE ON THE OTHER HAND HE SAID QUITE A NUMBER OF BABIES' LIVES WILL BE SAVED BECAUSE OF IT THAT'S RECOILING IN HORROR MR TERRY EVEN SUGGESTED THAT THE REAL REASON FOR THE MURDER WAS THAT ANTIABORTION PROTESTERS HAVE NOT BEEN ALLOWED TO PRACTICE CIVIL DISOBEDIENCE IN PEACE A STRANGE CONCEPT IF EVER THERE WAS ONE NEITHER MR TERRY NOR MR TRESHMAN ADMITS THE POSSIBILITY THAT OPERATION RESCUE'S WANTED POSTERS LABELING DR GUNN A MASS MURDERER COULD HAVE HAD ANYTHING TO DO WITH INCITING THE MURDERER MR REED DOES MORE THAN PRESENT AN INCREDIBLY BIASED ARGUMENT HE SUPPORTS THAT ARGUMENT WITH BAD HISTORY HE MISREPRESENTS HISTORY WHEN HE CLAIMS AFTER THE SCOPES TRIAL OF 1925 PEOPLE OF FAITH WITHDREW TO THEIR CHURCHES IN FACT THE SCOPES TRIAL CONFIRMED TENNESSEE'S RIGHT TO BAN EVOLUTION FROM ITS SCHOOLS IN UNDER GOD RELIGION AND AMERICAN POLITICS GARRY WILLS WRITES PUBLISHERS ALL ACROSS THE NATION TOOK ALARM FROM THE SCOPES TRIAL AND BEGAN A VERY EFFICIENT PURGE OF DARWIN FROM HIGH SCHOOL TEXTS WHILE MR REED IS NOT COMPLETELY WRONG WHEN HE ASSERTS THAT AMERICA WAS SETTLED BY PEOPLE OF FAITH NEITHER IS HE COMPLETELY CORRECT MANY SETTLERS CAME FOR REASONS THAT HAD NOTHING TO DO WITH RELIGION AND HE IS COMPLETELY WRONG IF HE MEANS TO IMPLY THAT AMERICA WAS SETTLED BY PEOPLE OF A SINGLE FAITH IN PURITAN NEW ENGLAND IN PARTICULAR THE THEOCRACY WAS INCLINED TOWARD PERSECUTION OF ALL OTHER FAITHS PARTICULARLY QUAKERS AND CATHOLICS THESE SECTS AND OTHERS THAT DID NOT ADHERE TO THE ACCEPTED DOCTRINE WERE THOUGHT TO BE PAWNS OF THE DEVIL TO ALLOW NO DISSENT FROM THE TRUTH WAS EXACTLY THE REASON THEY HAD COME TO AMERICA PERRY MILLER WROTE IN ERRAND INTO THE WILDERNESS IN HIS ARTICLE MR REED LIKE THE COALITION DIVIDES THE WORLD INTO RELIGIONISTS AND SECULARISTS I ATTENDED A SESSION OF THE CHRISTIAN COALITION LEADERSHIP SCHOOL AT WHICH MR REED SPOKE ONE OF THE SCHOOL'S SEMINARS WAS ENTITLED IDENTIFYING AND UNDERSTANDING THE OPPOSITION IT EXPLAINED THE COALITION'S VIEW OF THE WORLD ACCORDING TO THIS VIEW THERE ARE ONLY CHRISTIANS AND SECULARISTS NO BUDDHISTS NO HINDUS NO MUSLIMS NO ANYTHING EXCEPT SECULARISTS AND CHRISTIANS AS THE COALITION DEFINES CHRISTIANS OF COURSE THE CHRISTIAN COALITION HAS MUCH LESS TO DO WITH CHRISTIANITY THAN WITH A DRIVE FOR POLITICAL POWER WE HAVE BEEN WARNED AGAINST MIXING POLITICS AND RELIGION AND THE PROMOTION OF ONE FAITH AT THE EXPENSE OF OTHERS SINCE THE EARLIEST DAYS OF THE REPUBLIC THOMAS JEFFERSON WROTE OF THE FOLLY OF TRYING TO IMPOSE A SINGLE RELIGION BY COERCION MILLIONS OF INNOCENT MEN WOMEN AND CHILDREN SINCE THE INTRODUCTION OF CHRISTIANITY HAVE BEEN BURNT TORTURED FINED IMPRISONED HE WROTE YET WE HAVE NOT ADVANCED ONE INCH TOWARDS UNIFORMITY JAMES MADISON WORRIED ABOUT THE OLD ERROR THAT WITHOUT SOME SORT OF ALLIANCE OR COALITION BETWEEN GOVERNMENT AND RELIGION NEITHER CAN BE DULY SUPPORTED RELIGION AND GOVERNMENT HE WROTE WILL BOTH EXIST IN GREATER PURITY THE LESS THEY ARE MIXED TOGETHER MR REED CLAIMS POPULAR DISDAIN FOR RELIGION HAS DEBASED OUR CIVIC DISCOURSE UNTIL IT IS VULGAR VITRIOLIC AND VIOLENT HE IS WRONG IT IS MR REED HIMSELF AND THE CHRISTIAN COALITION AND SIMILAR GROUPS THAT HAVE DEBASED OUR CIVIC DISCOURSE THEY PRACTICE A POLITICAL THEOLOGY THAT LEAVES NO ROOM FOR POLITICAL DISCOURSE IN THE US POLITICS DEPEND ON COMPROMISE AND TOLERANCE THE COALITION CANNOT COMPROMISE OR TOLERATE DISSENT BECAUSE ITS POLITICAL POSITIONS ARE ROOTED IN WHAT ITS MEMBERS BELIEVE TO BE GODGIVEN TRUTH MR REED ARGUES THAT THERE IS A POPULAR DISDAIN FOR RELIGION IN OUR CULTURE YET AS HE POINTS OUT NEARLY HALF THE PEOPLE IN THE US ATTEND CHURCH AT LEAST TWICE A MONTH I BELIEVE THE DISDAIN HE SENSES IS NOT FOR RELIGION IT'S DISDAIN FOR HIS INTOLERANT BRAND OF RELIGIOUS POLITICS MR REED WOULD HAVE US BELIEVE THAT THE US UNTIL RECENTLY WAS A MONOLITHICALLY CONSERVATIVE CHRISTIAN NATION NOTHING COULD BE FURTHER FROM THE TRUTH OUR FOUNDING FATHERS WERE PRIMARILY DEISTS AND FREETHINKERS NOT CONSERVATIVE OR LIBERAL CHRISTIANS AND IT IS THEY WHOM WE MAY THANK FOR THE CONSTITUTION THAT HAS ALLOWED FOR GENERATIONS THE COEXISTENCE OF A DIVERSITY OF OPINIONS AND IDEAS A DIVERSITY NOW THREATENED BY A THEOCRATIC CHRISTIAN FUNDAMENTALISM INVENTED IN THE LATE 19TH CENTURY WHICH HAS THE AUDACITY TO USE THE WORD CHRISTIAN AS A SHIBBOLETH TO TEST AND EXCLUDE OTHER BRANCHES OF MAINLINE CHRISTIANITY THAT DO NOT SHARE THEIR PECULIAR VIEWS PRIVATELY MOST OF OUR FOUNDING FATHERS HAD LITTLE RESPECT FOR RELIGION THE ENLIGHTENMENT AS WELL AS THE JUDEOCHRISTIAN TRADITION WAS THE INSPIRATION BEHIND THE FOUNDING OF OUR GREAT REPUBLIC IT IS INTERESTING THAT MR REED MAKES NO MENTION OF THE GREAT MAINLINE PROTESTANT TRADITIONS THAT HAVE ATTEMPTED TO DEAL WITH THE ISSUES OF FAITH RAISED BY THE KEEN MINDS OF THE ENLIGHTENMENT PREFERRING TO UNDERSTAND MODERN CHRISTIANITY IN TERMS OF THE FUNDAMENTALIST KNEEJERK REACTION AGAINST THAT PHILOSOPHICAL MOVEMENT MR REED IS WRONG NOT ONLY IS IT NOT REPRESENTATIVE OF CHRISTIANITY THE RELIGIOUS MOVEMENT HE DESCRIBES IS NOT THE SALVATION OF OUR AMERICAN REPUBLIC BUT COULD CONTRIBUTE TO ITS DECAY A GUNMAN IN PENSACOLA AND A LUNATIC IN WACO ARE NOT MERELY PATHETIC ABERRATIONS OF THIS KIND OF CHRISTIANITY THEY ARE THE LOGICAL EXTREME OF IT MR REED SAYS THAT MR GRIFFIN'S ABERRANT VIOLENCE IS NO MORE REPRESENTATIVE OF THE PROLIFE MOVEMENT THAN THE TERRORISM PRACTICED BY THE BLACK PANTHERS EXEMPLIFIED THE CIVIL RIGHTS STRUGGLE OF THE 1960S HOW ABOUT CHRISTIANS BREAKING INTO WOMENS' CLINICS AND SPRAYING THEM WITH BUTYRIC ACID WHAT DOES HE THINK THAT WAS A SUNDAY SCHOOL PICNIC AN EXAMPLE OF CHRISTIAN LOVE IN ACTION MR REED CLAIMS THAT CHRISTIANS IN THE PUBLIC SPHERE ARE PRESENTED AS FANATICS THIS IS UNTRUE MR REED IS EITHER CHOOSING NOT TO SEE THE NUMEROUS EXAMPLES OF CHRISTIANS PRESENTED IN A POSITIVE WAY IN THE MEDIA OR ELSE IS DELIBERATELY MISREPRESENTING THE TRUTH HE MAKES SEVERAL UNSUPPORTED OR OTHERWISE INCORRECT STATEMENTS TYPICAL OF DEMAGOGUES FOR EXAMPLE HE ALLEGES A GROWING CONTEMPT FOR RELIGION WHERE ON EARTH DOES HE GET THIS STUFF THE DATA FROM POLLS OF THE AMERICAN PEOPLE SUGGEST JUST THE OPPOSITE THAT AMERICANS HAVE A GROWING RESPECT FOR RELIGIONTHOUGH A GROWING CONTEMPT FOR EXTREMISTS SUCH AS MR REED AND HIS ORGANIZATION I COMMEND THE JOURNAL FOR PUBLISHING THIS PIECE AND GIVING MR REED THE INK WITH WHICH TO DROWN HIMSELF MR REED DEPLORES THE FANATICISM ASSOCIATED WITH RELIGIOUS EXTREMISTS SUCH AS PENSACOLA GUNMAN MICHAEL GRIFFIN AND HE PLEADS FOR TOLERANCE OF CHRISTIANITY BUT HE FAILS TO ALLAY WIDESPREAD FEARS OF HIS OWN CHRISTIAN COALITION WHICH HAD A MAJOR ROLE IN THE REPUBLICAN CONVENTION THE COALITION'S FUNDAMENTALIST MORAL AND SOCIAL AGENDA SEEKS TO IMPOSE ITS OWN VERSION OF BIBLICAL MORALITY ON THE BROADER BODY POLITIC ITS ENEMY IS SECULAR HUMANISM AND ITS SOLUTION IS TO REDEFINE AMERICA AS A CHRISTIAN NATION MANY AMERICANS ARE APPREHENSIVE OF THIS FORM OF NARROWMINDED RELIGIOSITY FOR IT UNDERMINES THE SENSE OF FAIR PLAY AND GENEROSITY SO BASIC TO AMERICAN DEMOCRACY IN A REAL SENSE THE CHRISTIAN COALITION IS ALSO FANATIC AND EXTREMIST MR REED OVERLOOKS AN INDISPUTABLE HISTORICAL FACT SKYROCKETING CRIME DRUGS ILLEGITIMACY DIVORCE TEEN PREGNANCY AND ILLITERACY ALL AROSE DIRECTLY OUT OF A NATION STEEPED IN CHRISTIAN VALUES NOT FROM A NATION LACKING IN THEM THE US WAS AT ITS ZENITH AS A NATION OF CHURCHGOERS IN THE LATE 1950S AND EARLY '60S ADHERENCE TO CHRISTIAN VALUES WAS THE NORM IN AMERICAN SOCIETY NEWSPAPERS AND OTHERS OF THAT ERA'S CULTURAL ELITES OPINED JUST AS HYSTERICALLY AGAINST ROCKANDROLL THE INTEGRATION OF SCHOOLS OR THE IDEA OF A WOMAN HAVING REPRODUCTIVE RIGHTS AS THEY DO TODAY AGAINST RELIGIOUS FANATICS IT WAS THE GENERATION OF AMERICANS RAISED IN THIS STRICTLY RELIGIOUS ATMOSPHERE THAT INITIATED THE REBELLION AND DISSENSION OF THE LATE '60S THE NIHILISM OF THE '70S AND THE GREED AND AVARICE OF THE '80S THE DECLINE OF THE RELIGIOUS NATURE OF AMERICA SHOULD NOT BE LAID TO CULTURAL ELITES BUT TO THE HYPOCRISY OF YESTERDAY'S AND TODAY'S CHRISTIAN ELITES FROM A RELIGION THAT PREACHES TOLERANCE HUMILITY AND LOVE FOR ONE'S FELLOW MAN WE GET THE VIOLENT BULLIES OF THE PROLIFE MOVEMENT CANDIDATES FOR HIGHER OFFICE WITH HIDDEN CHRISTIAN AGENDAS FAMILY VALUES ORGANIZATIONS PROMOTING HATRED AND SUSPICION OF GAYS AND YES GUNTOTING FANATICS 9304150004 930415 PAINEWEBBER NET FELL 46 BUT BEAT ANALYST FORECASTS IN THE FIRST QUARTER BY MICHAEL SICONOLFI STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK PAINEWEBBER GROUP INC EXTENDING A RASH OF EARNINGS SURPRISES AMONG BROKERAGE FIRMS POSTED ROBUST FIRSTQUARTER PROFIT THAT SURPASSED ANALYSTS' FORECASTS BUT A HIGHER TAX RATE PUSHED NET INCOME DOWN 46 FROM A YEAR EARLIER PAINEWEBBER'S SHARES BARELY BUDGED AFTER AN EARLY SURGE ITS STOCK WAS QUOTED AT 2725 A SHARE UP 25 CENTS IN LATE NEW YORK STOCK EXCHANGE TRADING SOME ANALYSTS ARGUED THAT WALL STREET ISN'T FULLY VALUING SHARES OF THE NATION'S FIFTHLARGEST BROKERAGE FIRM PAINEWEBBER HAD NET OF 709 MILLION OR 133 A SHARE FOR THE FIRST QUARTER COMPARED WITH NET OF 743 MILLION OR 153 A SHARE FOR THE YEAREARLIER QUARTER THAT EASILY OUTPACED ANALYSTS' CONSENSUS FORECASTS OF 96 CENTS A SHARE AS TRACKED BY ZACKS INVESTMENT RESEARCH INC DURING THE PAST WEEK MERRILL LYNCH & CO AND BEAR STEARNS COS HAVE SURPRISED WALL STREET WITH RECORD EARNINGS PAINEWEBBER HAD RECORD PRETAX PROFIT OF 1162 MILLION SLIGHTLY HIGHER THAN THE 1152 MILLION A YEAR EARLIER THE DECLINE IN NET STEMMED FROM A HIGHER TAX RATE IN THE 1993 QUARTER NEARLY ALL BROKERAGE STOCKS HAVE RISEN IN RECENT DAYS INDEED PAINEWEBBER SHARES HAVE SURGED 12 SO FAR THIS YEAR TO A 52WEEK HIGH YET PAINEWEBBER'S RISE TRAILS THE 16 RALLY IN ALL BROKERAGE STOCKS IN 1993 AND SOME ANALYSTS SAY WALL STREET HASN'T YET REALIZED THAT PAINEWEBBER HAS MOVED IN THE PAST FEW YEARS FROM A FIRM DEPENDENT ON RETAIL OR INDIVIDUALINVESTOR BUSINESS TO ONE RELYING ON WHOLESALE OR INSTITUTIONAL BUSINESS FOR MUCH OF ITS PROFIT THERE'S STILL A PERCEPTION THAT YOU'RE TALKING ABOUT A PREDOMINANTLY RETAIL FIRM THAT CATERS TO INDIVIDUAL INVESTORS SAID SAMUEL LISS A BROKERAGE ANALYST AT SALOMON BROTHERS INC THAT'S EVEN AS PAINEWEBBER'S INSTITUTIONAL BUSINESS ACCOUNTED FOR 46 OF FIRSTQUARTER PRETAX PROFIT COMPARED WITH 37 FOR RETAIL SAYS MR LISS WHO HAS UPGRADED HIS RECOMMENDATION ON PAINEWEBBER TO A BUY FROM HOLD EVEN SOME ANALYSTS WHO DON'T HAVE BUY RECOMMENDATIONS ON THE STOCK SAY THE MARKET IS MISSING THE BOAT ON PAINEWEBBER PAINEWEBBER'S EARNINGS PERFORMANCE UNDER BAD MARKET CONDITIONS WOULD BE BETTER THAN IN THE PAST SAID GUY MOSZKOWSKI AN ANALYST AT SANFORD C BERNSTEIN & CO IN A RECENT REPORT HOWEVER THE MARKET REMAINS UNCONVINCED THAT THE COMPANY HAS SUCCEEDED EVEN IN MUTING ITS EARNINGS VOLATILITY HE WROTE IN THE FIRST QUARTER PAINEWEBBER REVENUE ROSE 6 TO 9307 MILLION FROM 8743 MILLION A YEAR EARLIER NET REVENUE OR REVENUE MINUS INTEREST EXPENSE ALSO ROSE 6 TO A RECORD 6968 MILLION REVENUE FROM COMMISSIONS REVENUE FROM COMMISSIONS ROSE 5 FROM ASSET MANAGEMENT 17 FROM INVESTMENT BANKING 3 AND FROM PRINCIPAL TRANSACTIONS TRADING USING THE FIRM'S OWN MONEY 2 REVENUE FROM INSTITUTIONAL SALES AND TRADING SURGED 13 TO A RECORD AMID THE CONTINUED INCREASE IN TRADING BY INDIVIDUAL INVESTORS PAINEWEBBER BOOSTED ITS BROKERAGE FORCE TO 5150 CLIENT ASSETS INCREASED BY 18 TO 1238 BILLION IN AN INTERVIEW PAINEWEBBER'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER DONALD B MARRON SAID THE FIRM'S GOOD FORTUNES ARE LIKELY TO CONTINUE AS LONG AS INTEREST RATES REMAIN SUBDUED LOW INTEREST RATES KEEP A BROKERAGE FIRM'S BORROWING COSTS DOWN AMONG OTHER THINGS AND FORCE INVESTORS TO FLEE LOWYIELDING CERTIFICATES OF DEPOSIT FOR STOCKS BONDS AND MUTUAL FUNDS MEANWHILE PAINEWEBBER HAS FACED A RECENT SPATE OF BIG ARBITRATION AWARDS IN INVESTOR DISPUTES AGAINST THE FIRM THREE RECENT ARBITRATION DECISIONS ALONE HAVE LED TO AWARDS AGAINST PAINEWEBBER TOTALING 15 MILLION MR MARRON SAID SOME OF THE RECENT AWARDS WERE OUT OF LINE 9304150002 930415 CORPORATE FOCUS AFTER A FALL FROM GRACE ORACLE GETS BACK ON ITS FEET SOFTWARE MAKER UNDONE BY A CULTURE OF GREED' REBUILDS WITH NEW BLOOD BY G PASCAL ZACHARY STAFF REPORTER OF THE WALL STREET JOURNAL WHEN TOP MANAGERS FROM ORACLE CORP AND HEWLETTPACKARD CO MET FOR ROUTINE TALKS TWO YEARS AGO LAWRENCE ELLISON ORACLE'S CHIEF EXECUTIVE OFFICER WAS STRUCK BY HOW MUCH MORE MATURE AND SAVVY HP'S EXECUTIVES WERE THAN HIS OWN TEAM DURING A PAUSE IN THE MEETING MR ELLISON TOOK ASIDE JOHN YOUNG HP'S CHIEF AND OFFERED TO TRADE MANAGEMENT TEAMS MR YOUNG JUST LAUGHED BUT MR ELLISON WASN'T JOKING SUDDENLY STRUCK BY THE SHORTCOMINGS OF ORACLE'S MANAGEMENT MR ELLISON REALIZED ORACLE IS RUN BY ADOLESCENTS THAT INCLUDES ME TODAY ORACLE WITH THE HELP OF A CHASTENED MR ELLISON AND A NEW MANAGEMENT TEAM HAS SHARPLY REBOUNDED ON THE STRENGTH OF ITS STILLFORMIDABLE POSITION IN SOFTWARE THAT MANAGES LARGE ELECTRONIC DATABASES IN THE PAST YEAR ORACLE'S STOCK HAS MORE THAN DOUBLED HITTING 34625 IN OVERTHECOUNTER TRADING YESTERDAY NET INCOME FOR ORACLE'S THIRD QUARTER ENDED FEB 28 ROSE 74 TO 292 MILLION OR 20 CENTS A SHARE DESPITE A 24 MILLION CHARGE TO SETTLE SHAREHOLDER LAWSUITS THIS IS PROBABLY THE BEST EXAMPLE OF A SOFTWARE TURNAROUND THAT I'VE SEEN SAYS CHRISTOPHER MORTENSON AN ANALYST AT ALEX BROWN WHO HAS A STRONG BUY RATING ON ORACLE'S STOCK A FRENETIC TYCOON WITH A TASTE FOR EXPENSIVE ASIAN ART AND SCREAMING SPORTS CARS MR ELLISON SHOWED THE MIDAS TOUCH IN THE EARLY 1980S BY EMBRACING A PIONEERING APPROACH TO RETRIEVING DATA CALLED STRUCTURED QUERY LANGUAGE WHICH TOOK HIGHEND COMPUTING BY STORM INTERNATIONAL BUSINESS MACHINES CORP MADE SQL ITS STANDARD CEMENTING ORACLE'S POSITION EARLY SUCCESS HOWEVER SPAWNED SLOPPY PRACTICES MR ELLISON WHO OFTEN WORKS IN HIS HOME LOST SIGHT OF DETAILS OUTSIDE HIS CHERISHED TECHNICAL INTERESTS HE DIDN'T PAY MUCH ATTENTION TO THE REST OF THE ORGANIZATION AND IT GREW BEYOND HIM SAYS REGIS MCKENNA A DIRECTOR WITH MR ELLISON INATTENTIVE TEAMWORK BROKE DOWN AND STARS WHETHER IN SALES OR PRODUCT DEVELOPMENT WERE COSSETED IT WAS A CULTURE OF GREED SAYS ANTHONY L CRAIG WHO JOINED ORACLE NINE MONTHS AGO AS A SENIOR VICE PRESIDENT THE COMPANY BUILT A LAVISH HEAD OFFICE WITH A TRAINING GYM FIT FOR A PROFESSIONAL SPORTS TEAM BUT IN BETWEEN WORKOUTS SENIOR EXECUTIVES SCRAMBLED FOR THE FAVOR OF MR ELLISON WHO SEEMED UNCONCERNED ABOUT THE CHAOS BENEATH THE SURFACE REVELING IN ORACLE'S SUCCESS HE BRASHLY PREDICTED IN 1989 THAT THE COMPANY WOULD OUTPACE MICROSOFT CORP THE KING OF PERSONALCOMPUTER SOFTWARE FOR A WHILE IT LOOKED THAT WAY ORACLE'S SALES ALMOST DOUBLED TWO YEARS IN A ROW REACHING 916 MILLION IN THE YEAR ENDED MAY 1990 THEN THE COMPANY FOUNDERED IN AS SPECTACULAR A FASHION AS IT ONCE GREW SCANDALOUS SALES PRACTICES LEFT SOME CUSTOMERS COMPLAINING ABOUT BOGUS ORDERS AND RESULTED IN TENS OF MILLIONS OF DOLLARS IN BAD RECEIVABLES PROFITS WERE INFLATED BY RECORDING DEVELOPMENT COSTS AS A CAPITAL INVESTMENT RATHER THAN AS EXPENSES PROGRAMMERS FAILED TO MEET SOME OF THE OUTSIZED PROMISES MADE TO CUSTOMERS BY MR ELLISON JILTED CUSTOMERS CRIED FOUL MEANWHILE THE SHIFT FROM MAINFRAME TO SMALLER COMPUTERS CAUGHT ORACLE SOMEWHAT UNPREPARED BOOSTING RIVALS SUCH AS SYBASE INC THAT OFFERED LESS EXPENSIVE SOFTWARE BY 1991 ORACLE'S WARTS WERE IN PLAIN VIEW ITS FINANCIAL CONTROLS WERE SO WEAK IT RESTATED AN ENTIRE YEAR'S RESULTS TO RECTIFY IRREGULARITIES FOR ITS FISCAL YEAR THE COMPANY POSTED ITS FIRSTEVER LOSS OF 124 MILLION ON SALES OF 1 BILLION CASH WAS LOW THE COMPANY'S MARKET CAPITALIZATION CRASHED FROM 38 BILLION TO 700 MILLION TO RAISE MONEY MR ELLISON CONSIDERED SELLING A CHUNK OF ORACLE TO THE JAPANESE IN THE END HE ONLY HAD TO ACCEPT A LOAN FROM NIPPON STEEL CORP IN EXCHANGE FOR A STAKE IN ORACLE'S JAPANESE UNIT THE SWIFT FALL FROM GRACE SOBERED MR ELLISON WHO PUBLICLY PROCLAIMED THE ERRORS OF HIS WAYS WITH THE HELP OF EXECUTIVE RECRUITERS WHOM HE HAD LONG SHUNNED HE REBUILT HIS INNER CIRCLE OF MANAGERS DRAWING ON VETERANS FROM INSIDE AND OUTSIDE THE COMPUTER INDUSTRY LAST YEAR HE CEDED PART OF HIS AUTHORITY TO JAMES ABRAHAMSON A RETIRED GENERAL AND FORMER CHIEF OF THE GOVERNMENT'S STAR WARS PROGRAM WHO JOINED ORACLE AS CHAIRMAN WITH LINE RESPONSIBILITIES AND ORACLE'S US OPERATION WHICH WAS A RAT'S NEST OF PROBLEMS WAS HANDED TO RAY LANE CHIEF OF BOOZ ALLEN'S INTERNATIONAL TECHNOLOGY PRACTICE NEWCOMERS ARRIVED WITH A SKEPTICAL ATTITUDE MR LANE FRANKLY ADMITS HE WAS PREPARED TO QUIT ORACLE WITHIN THE FIRST FEW MONTHS IF MR ELLISON PROVED TOO MERCURIAL FOR HIM AND BEFORE JOINING ORACLE MR CRAIG A 20YEAR VETERAN OF IBM AND FORMER CHIEF EXECUTIVE OF PRIME COMPUTER TOLD MR ELLISON THE COMPANY NEEDED ETHICAL LEADERSHIP THE KEY QUESTION IN THE MIND OF THESE AND OTHER RECENT ARRIVALS SAYS MR CRAIG WAS COULD THE CAPRICIOUS REPUTATION OF THE PAST BE OVERCOME THE FRESH BLOOD SEEMS TO HAVE DONE JUST THAT ORACLE HAS DONE A LOT TO CLEAN UP ITS ACT SAYS JUDITH HURWITZ A SOFTWARE CONSULTANT IN NEWTON MASS AMONG THE BIGGEST CHANGES NEW SOFTWARE RELEASES ARE MORE RELIABLE AND THE COMPANY'S SALES FORCE SPEAKS WITH ONE VOICE HEWING TO STANDARD AGREEMENTS RATHER THAN THE LET'SMAKEADEAL STYLE OF THE PAST MR ELLISON WHO REMAINED UNRUFFLED DURING ORACLE'S DARKEST HOURS IS SURPRISINGLY CONTENT WITH HIS REDUCED MANAGEMENT DUTIES RETREATING TO THE ENGINEER'S BENCH LAST SEPTEMBER HE TOOK OVER RESPONSIBILITY FOR NEW PRODUCTS FROM COFOUNDER ROBERT MINER IMPOSING MORE DISCIPLINE ON ORACLE'S 750 DEVELOPERS UNDER MR ELLISON'S LASH ENGINEERS NOW MUST FINISH A PRODUCT EACH MONTH MORE PRODUCTS MORE QUICKLY ARE CRUCIAL BECAUSE ORACLE'S ONCE TINY RIVALS HAVE GROWN FAT BUT NO LESS FEISTY ON THE EXPLOSIVE GROWTH IN DEMAND FOR DATABASE SOFTWARE SYBASE'S REVENUE GREW BY 65 TO 264 MILLION AND PROFIT DOUBLED TO 78 MILLION IN 1992 WE'RE PRETTY FAR AWAY FROM ORACLE'S SHADOW SAYS ROBERT EPSTEIN SYBASE'S EXECUTIVE VICE PRESIDENT SOME CUSTOMERS THINK SO THE ANCHORAGE UNIT OF BRITISH PETROLEUM LTD HAS SHIFTED 45 LARGE APPLICATIONS FROM MAINFRAMES TO SMALLER COMPUTERS IN RECENT YEARS RELYING MAINLY ON SYBASE SOFTWARE TO COMPLETE THE TASK BUT THOUGH BP FINDS SYBASE BETTER EQUIPPED THAN ORACLE TO HANDLE SUCH COMPUTER DOWNSIZING THE GAP BETWEEN ORACLE AND SYBASE HAS NARROWED SUBSTANTIALLY IN THE PAST TWO TO THREE YEARS SAYS PHIROZ DARUKHANAVALA DIRECTOR OF INFORMATION MANAGEMENT FOR BP EXPLORATION WITH THE COMPANY'S CORE BUSINESS SURGING MR ELLISON DREAMS OF NEW DOMAINS FOR ORACLE SOFTWARE HE ENVISIONS A NEW TYPE OF PUBLIC DATABASE A CROSS BETWEEN TODAY'S NEWSPAPER AND TELEPHONE AND TOMORROW'S HIGHSPEED COMMUNCATIONS NETWORK AND RICH ELECTRONIC IMAGES AND INFORMATION ORACLE'S SOFTWARE HE HOPES WILL BE THE LINCHPIN IN THIS DIGITAL WORLD 9304150001 930415 BUSINESS BRIEF RG BARRY CORP FIRM EXPECTS NARROWER LOSS FOR QUARTER THAN FORECAST RG BARRY CORP'S NET INCOME DURING ITS FIRST QUARTER ENDED MARCH 27 IS GOING TO BE BETTER BY TWO TO THREE CENTS THAN ANALYSTS' ESTIMATES OF A LOSS OF 35 CENTS A SHARE RICHARD BURRELL SENIOR VICE PRESIDENT FINANCE SAID THE SLIPPER MAKER IN PICKERINGTON OHIO ALSO SAID EARNINGS DURING THE SECOND QUARTER ARE LIKELY TO BE ABOUT EVEN WITH ANALYSTS' ESTIMATES OF A 60CENTASHARE LOSS MR BURRELL SAID FOR THE FULL YEAR GORDON ZACKS CHAIRMAN AND CHIEF EXECUTIVE SAID HE CONTINUES TO SUPPORT EARNINGS ESTIMATES OF 1 A SHARE MR ZACKS ATTRIBUTED THE BETTERTHANEXPECTED FIRST QUARTER TO SOME CUSTOMERS SHIFTING PURCHASES OF HIGHMARGIN PRODUCTS FROM THE SECOND QUARTER INTO THE FIRST FOR REASONS HE CAN'T EXPLAIN RG BARRY'S BUSINESS IS HIGHLY SEASONAL WITH MOST SALES AND EARNINGS GENERATED IN THE LAST HALF OF THE YEAR 9304150155 930324 ROGUES' GALLERY ART SCHOLARS ON DISPLAY BY LYNNE A MUNSON THANKS TO THE BIZARRE GOINGSON EVERY YEAR AT THE CONVENTIONS OF THE MODERN LANGUAGE ASSOCIATION THE POLITICALLY CORRECT ACTIVITIES OF ENGLISH PROFESSORS ARE NOTORIOUSLY FAMILIAR TO READERS OF THE POPULAR PRESS BUT IT'S NOT ONLY ENGLISH DEPARTMENTS THAT HAVE BECOME POLITICIZED IN FACT SCHOLARS FROM ACROSS THE DISCIPLINARY SPECTRUM HAVE FOLLOWED THE TRAIL TOWARD AN ACTIVIST CURRICULUM FEW HAVE DONE SO WITH MORE DOGGED DETERMINATION THAN ART HISTORIANS THE ANNUAL MEETINGS OF THE COLLEGE ART ASSOCIATION THE PROFESSIONAL ORGANIZATION OF MORE THAN 12000 SCHOLARS OF ART HISTORY AND STUDIO ART HAVE BECOME THE SITES OF ACADEMIC ANTICS THAT RIVAL THOSE OBSERVABLE AT ANY SESSION OF THE MLA LAST MONTH'S CAA CONFERENCE IN SEATTLE WAS TYPICAL IT FEATURED SCHOLARLY PAPERS SUCH AS THEIR BODIES OUR THOUGHTS PROBLEMATIZING WESTERN UNDERSTANDINGS OF MESOAMERICAN BODY FRAGMENTATION A PANEL ON LESBIAN LOOKS POLITICS EROTICS AND ART INCLUDED A PRESENTATION BY JULIE ZANDO A VIDEO ARTIST AND PROFESSOR AT THE UNIVERSITY OF WISCONSINMADISON IN HER PAPER TITLED THE PERSONAL IS PRIVATE BYPASSING THE POLITICAL IN A NEW THEORY OF MASOCHISM PROF ZANDO EXPLAINED THAT SHE WOULD LIKE TO UNDERMINE THE REASONING BEHIND ANTISADOMASOCHISTIC ARGUMENTS SHE SHOWED HER AUDIENCE A CLIP FROM ONE OF HER OWN WORKS IN PROGRESS A VIDEO OF COWGIRLS INVOLVED IN A SADOMASOCHISTIC ORGY IN THE SAME TIME SLOT AT A SOMEWHAT LESS VISUALLY STARTLING PANEL DOWN THE HALL LISTENERS STAGED A REVOLT AFTER FOUR SCHOLARS GAVE PAPERS ON RACE AND MUSEUM PRESENTATION ONE MEMBER OF THE AUDIENCE STOOD UP AND CONTESTED THE ALLWHITE PANEL'S CREDENTIALS TO SPEAK TO THE ISSUE OF RACE QUESTIONER AFTER QUESTIONER CASTIGATED THE PANEL AND ITS ORGANIZER FOR THEIR INSENSITIVITY THE PANELISTS REACTED BY APOLOGIZING AND HEAPING CRITICISM UPON THEMSELVES FOR NEARLY HALF AN HOUR ONE SCHOLAR WENT SO FAR AS TO DEDICATE SOMEWHAT BELATEDLY HER PAPER TO A BLACK FEMINIST COLLEAGUE ANOTHER QUESTIONER A PROFESSOR FROM BOSTON UNIVERSITY ACCUSED THE PANELISTS OF QUOTATIONAGE WHICH SHE DEFINED AS THE PRACTICE OF QUOTING TOO MANY MALE AUTHORITIES IT WASN'T NECESSARY TO ATTEND AN ACTUAL SESSION OF THIS YEAR'S CAA CONFERENCE TO NOTICE HOW FAR ATTENTION HAS TURNED AWAY FROM THE STUDY OF ART OBJECTS TABLETOPS AT THE ENTRANCE TO THE CONFERENCE WERE COVERED WITH HANDOUTS DEALING WITH ALMOST EVERY CAUSE FROM COLORADO'S AMENDMENT 2 TO THE FEMINIST CLASH OVER PORNOGRAPHY ONE OF THE FEW PAMPHLETS THAT ADDRESSED THE SUBJECT OF ART ADVERTISED THE WORK OF COMMUNITYCOLLEGE PROF TOM O'DAY PROF O'DAY'S ART CONSISTS OF PERFORMANCE PIECES IN WHICH HE BURIES BURNS OR BLOWS UP OTHER ARTISTS' WORKS THE 1993 CONFERENCE MET THE STANDARD CAA HAS SET IN RECENT YEARS FOR MAKING RADICAL INTERESTS CENTRAL TO ITS PROGRAM LAST YEAR'S MEETING IN CHICAGO DEVOTED AN ENTIRE PANEL TO WOMEN/POWER PLEASURE/PAIN ONE PAPER DELIVERED AT THAT CONFERENCE WAS CALLED INTRODUCING THE OUTSIDER TARZAN VAN GOGH AND THE MARLBORO MAN ANOTHER WAS ILLUSTRATED WITH 10FOOT COLOR PROJECTIONS OF WOMEN'S GENITALS LIFTED FROM PORNOGRAPHIC MAGAZINES AT THE 1991 MEETING IN WASHINGTON DC THE CAA CONVENED A PANEL TO DISCUSS THE PROBLEM OF FETISHISM IT FEATURED A TALK IN WHICH A SCHOLAR DISCUSSED THE PHALLIC FORMS HE DETECTED IN THE LIGHT REFLECTIONS DEPICTED IN 17THCENTURY DUTCH STILLLIFE OIL PAINTINGS HE WAS FOLLOWED BY A NORTHWESTERN UNIVERSITY PROFESSOR WHO GAVE A PAPER ARGUING FOR THE ART HISTORICAL SIGNIFICANCE OF WHAT HE CHARACTERIZED AS THE CHILDHOOD TRAUMA OF PEERING UP' AT A PARENT'S GENITALS PUBLIC ATTENTION HAS RECENTLY SPURRED THE MODERN LANGUAGE ASSOCIATION TO HIRE A PUBLICRELATIONS HEAVYWEIGHT TO HELP MAKE ITS ANNUAL CONVENTION SEEM LESS OF A SPECTACLE MEANWHILE JUST PUBLISHED MATERIALS ANNOUNCING CAA'S 1994 CONFERENCE SUGGEST AN EVEN MORE ICONOCLASTIC AGENDA AMONG THE TOPICS SLATED FOR DISCUSSION THE GROTESQUE BODY AND PORNOGRAPHY MADE ME DO IT INTELLECTUAL DISCRETION ADVISED MISS MUNSON IS A RESEARCH ASSOCIATE AT THE AMERICAN ENTERPRISE INSTITUTE SEE RELATED LETTERS LETTERS TO THE EDITOR RADICALS TAKE OVER CAMPUSES WHERE WSJ APRIL 14 1993 9303240148 9304150145 930326 LETTERS TO THE EDITOR THE WAR REVISIONISTS LIE FOR A GOOD CAUSE' THANKS TO DOROTHY RABINOWITZ FOR ALERTING US TO NBC'S TV MOVIE SILENT CRIES PERHAPS THE FIRST HONEST MOVIE IN DECADES ABOUT JAPANESE WORLD WAR II ATROCITIES AGAINST CIVILIAN INTERNEES AND ALSO FOR EXPOSING THE LIBERATORS AN HISTORICALLY INACCURATE DOCUDRAMA TYPICAL OF THE PBS POLITICALLY CORRECT AGENDA NO WHITEWASH FOR THIS WAR ATROCITY LEISURE & ARTS MARCH 8 THE CONTRAST BETWEEN THE JAPANESE TREATMENT OF OUR CITIZENS AND OUR TREATMENT OF JAPANESE CITIZENS COULD NOT HAVE BEEN MORE PRONOUNCED IN THE US THOUSANDS OF JAPANESE ENEMY ALIENS AND DUALCITIZEN AMERICANBORN JAPANESE WERE HUMANELY RELOCATED FROM MILITARY ZONES OR WERE INTERNED ON SECURITY CHARGES AFTER CODEBREAKING OF JAPANESE CONSULAR MESSAGES HAD REVEALED FIFTH COLUMN ACTIVITY AMONG THEM HOUSING PROVIDED TO THEM WAS EQUAL OR BETTER THAN THAT PROVIDED TO US MILITARY PERSONNEL AND THEIR FAMILIES ALSO RELOCATED FROM THEIR HOMES AS A RESULT OF THE WAR THOSE RELOCATED JAPANESE WHO SWORE ALLEGIANCE TO THE US AND THERE WERE 18000 WHO DID NOT INCLUDING 5000 AMERICANBORN WHO RENOUNCED THEIR US CITIZENSHIP WERE ASSISTED IN LEAVING THE CENTERS TO ATTEND COLLEGE OR OBTAIN EMPLOYMENT MS RABINOWITZ IN HER USUAL STRAIGHTTOTHEGUT STYLE CORRECTLY BLASTED THE PRESENTDAY REVISIONISTS FOR WHOM ANY LIE IN WHAT THEY PERCEIVE AS A GOOD CAUSE IS THE WAY TO GO EVEN IF THE TRUTH WOULD SERVE THEM BETTER THE LIBERATORS IS NOT THE FIRST OF THE HISTORICALLY REVISED WORLD WAR II DOCUDRAMAS THERE HAVE BEEN AT LEAST A HALFDOZEN IN RECENT YEARS THEY HAVE ONE THING IN COMMON DISREGARD OF TRUTH TO PROMOTE A POLITICAL AGENDA IRONICALLY THE RACIAL/ETHNIC REVISIONISTS ARE BEGINNING TO STEP ON EACH OTHER'S TOES IN TAKING CREDIT FOR LIBERATING THE NAZI DEATH CAMPS IN HAWAII GOV JOHN WAIHEE HAS BEEN WIDELY QUOTED AS STATING THAT A JAPANESEAMERICAN UNIT LIBERATED DACHAU THUS ENDING THE HOLOCAUST NEITHER THAT UNIT NOR THE BLACK TANK UNITS OF THE LIBERATORS DESERVE THE HONOR DACHAU WAS LIBERATED BY A UNIT OF THE 45TH INFANTRY DIVISION THE UNIT EXECUTIVE OFFICER WAS A FULLBLOODED CHEROKEE SO FAR THE CHEROKEES HAVE NOT CLAIMED CREDIT FOR ENDING THE HOLOCAUST SEE RELATED LETTER LETTERS TO THE EDITOR DACHAU LIBERATORS WSJ APRIL 14 1993 9303260095 9304150140 930326 ABC AND BBC TO POOL THEIR RADIOTV NEWS COVERAGE BY ELIZABETH JENSEN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK ABC NEWS AND BBC NEWS WILL FORM A FARFLUNG NEWSGATHERING PARTNERSHIP TO SHARE TELEVISION AND RADIO NEWS COVERAGE WORLDWIDE THE TWO COMPANIES SAID THE AGREEMENT DEALS A BLOW TO ALREADY EMBATTLED NBC NEWS WHICH HAS HAD A COOPERATIVE ARRANGEMENT WITH BRITISH BROADCASTING CORP SINCE THE 1950S THE DEAL STRENGTHENS THE BBC IN ITS JUSTBEGINNING FORTS TO CHALLENGE TURNER BROADCASTING SYSTEM INC'S CABLE NEWS NETWORK AND ITS WORLDWIDE DOMINANCE IN SATELLITEDELIVERED NEWS THE AGREEMENT BETWEEN THE BBC LONG KNOWN FOR ITS EDITORIAL INDEPENDENCE BUT WHOSE LEADERSHIP IS GOVERNMENTAPPOINTED AND THE CAPITAL CITIES/ABC INC UNIT GOES BEYOND TRADITIONAL COOPERATIVE NEWSGATHERING ARRANGEMENTS IN ADDITION TO EXCHANGING FOOTAGE THE TWO ORGANIZATIONS WILL PLAN JOINTLY THEIR COVERAGE OF MAJOR NEWS STORIES SHARE CORRESPONDENTS AND PRODUCTION TEAMS ON AN EXCLUSIVE BASIS SHARE TECHNICAL AND BROADCAST FACILITIES WORLDWIDE AND COLLABORATE ON PUBLICAFFAIRS PROGRAMMING AND NEW TECHNOLOGY ALTHOUGH DETAILS HAVE YET TO BE WORKED OUT IT IS EXPECTED THAT ABC REPORTERS AND POSSIBLY SOME ABC NEWS PROGRAMS WILL APPEAR ON THE BBC'S NEW WORLD SERVICE TELEVISION SATELLITE CHANNEL THAT CURRENTLY AIRS IN ASIA THE MIDDLE EAST AFRICA AND CANADA NBC A UNIT OF GENERAL ELECTRIC CO AND THE BBC SHARE BUREAUS WORLDWIDE MOST NOTABLY IN MOSCOW AN ARRANGEMENT THAT IS UNLIKELY TO CONTINUE AN NBC SPOKESWOMAN SAID A CONTRACTUAL AGREEMENT TO SHARE VIDEO BUT NOT PERSONNEL WOULD CONTINUE HOWEVER THE BBC CAN GET OUT OF THAT CONTRACT WITH ONE YEAR'S NOTICE BUT TOLD NBC IT DOESN'T PLAN TO DO SO ABC NEWS SENIOR VICE PRESIDENT ROBERT MURPHY SAID THE TWO ORGANIZATIONS HADN'T HAD SPECIFIC TALKS ABOUT BBC WORLD SERVICE TELEVISION ALTHOUGH I WOULDN'T BE SURPRISED IF THINGS LIKE THAT DEVELOP QUICKLY DOWN THE ROAD THE NEWSGATHERING AGREEMENT HE SAID IS ONLY THE FIRST STEP IN WHAT WE THINK WILL BE AN INCREASINGLY CLOSE WORKING RELATIONSHIP ABC CURRENTLY HAS A FOOTAGESHARING AGREEMENT WITH THE BBC'S BRITISH RIVAL INDEPENDENT TELEVISION NEWS THAT PACT IS SCHEDULED TO EXPIRE IN 1995 NO MONEY CHANGED HANDS IN YESTERDAY'S DEAL IN WHICH THE BBC GOT ACCESS TO THE PRODUCT FROM ABC'S US BUREAUS AS WELL AS ITS DOZEN BUREAUS IN EUROPE THE MIDDLE EAST AFRICA AND THE FAR EAST THE BBC MAINTAINS 50 BUREAUS INTERNATIONALLY SERVING BOTH ITS TELEVISION AND RADIO OPERATIONS MR MURPHY SAID ABC NEWS HAD ABSOLUTELY NO PLANS TO REDUCE ITS NEWSGATHERING OPERATIONS WHICH HAVE ALREADY BEEN PARED OVER THE PAST SEVERAL YEARS A BBC SPOKESMAN HOWEVER CALLED THE ARRANGEMENT AN EFFICIENCY SCHEME A POOLING OF RESOURCES A CNN SPOKESMAN PLAYED DOWN THE BBCABC DEAL WE'RE STILL THE ONLY GLOBALLY DISTRIBUTED GLOBAL NEWS NETWORK AND OUR PLANS ARE NOT AFFECTED BY THE ANNOUNCEMENT HE SAID THE BBC HAS HAD FINANCIAL PROBLEMS IN RECENT YEARS AND A NUMBER OF LAYOFFS INCLUDING SOME IN NEWS BY AMERICAN STANDARDS ITS OWNERSHIP STRUCTURE IS AN ANOMALY IT DERIVES ALL ITS REVENUE FROM GOVERNMENTIMPOSED LICENSE FEES AND YET AS THE BRITISH MAGAZINE THE ECONOMIST NOTED LAST WEEK IT IS NOT UNDER STATE CONTROL BUT IT IS NOT ENTIRELY INDEPENDENT WHEN PRESSURED PARTICULARLY ON DOMESTIC STORIES THE BBC HAS IN THE PAST SPORADICALLY BOWED TO BRITISH GOVERNMENT WISHES ON THE TIMING AND CONTENT OF BROADCASTS AS THE ECONOMIST NOTED A BRITISH SECRET SERVICE AGENT VETS THE STAFF BUT THE LEASH IS SO LONG IT IS HARDLY FELT YET FOR A GOVERNMENT IT IS BETTER THAN NO LEASH AT ALL PETER WALDMAN IN LONDON CONTRIBUTED TO THIS ARTICLE SEE RELATED LETTER LETTERS TO THE EDITOR HOARY CANARDS ABOUT THE BBC WSJ APRIL 14 1993 9303260120 9304150121 930310 POLITICS & POLICY TECHIES OF WHITE HOUSE PLUG IN THE PRESIDENT AND WANT TO ATTACH THE CABLE'S OTHER END TO YOU BY JAMES M PERRY STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON YOU GET HOME AFTER A LONG DAY AT THE OFFICE CHECK YOUR VOICE MAIL AND THE VOICE YOU HEAR IS BILL CLINTON'S TALKING ABOUT HIS HEALTHCARE PLAN PRESS TWO IF YOU'VE HEARD ENOUGH SAYS WILLIAM KRAUSE A WHITE HOUSE COMPUTER SPECIALIST PRESS THREE IF YOU WANT TO HEAR MORE SAYS JEFF ELLER MR CLINTON'S MEDIA DIRECTOR AND HIGHTECH SPECIALIST THEY JOKE ABOUT PRESSING THE BUTTONS BUT THEY'RE SERIOUS ABOUT MAKING BILL CLINTON AVAILABLE ON RESIDENTIAL VOICEMAIL SYSTEMS IT'S JUST ONE OF THE IDEAS TRAVELING UP AND DOWN THE CORRIDORS OF THE OLD EXECUTIVE OFFICE BUILDING NEXT TO THE WHITE HOUSE THE CAMPUS FOR DOZENS OF YOUNG MEN AND WOMEN WHO ARE BRINGING THE DAWNING OF A NEW AGE OF SOPHISTICATED TECHNOLOGY TO AN INSTITUTION THAT STILL USES WHAT MR ELLER CALLS THE LAST WORKING CORD BOARD IN AMERICA HE'S TALKING ABOUT A SWITCHBOARD WITH CORDS AND PLUGS CAN YOU BELIEVE IT ASKS MR ELLER WHEN BILL CLINTON GOT TO THE OVAL OFFICE HE COULDN'T GET A DIAL TONE HE CAN NOW HE LIKES TO MAKE HIS OWN CALLS WITHOUT GOING THROUGH A SWITCHBOARD JUST AS MR CLINTON SEEKS TO BYPASS THE WHITE HOUSE SWITCHBOARD SO DO HE AND HIS COLLEAGUES SEEK TO BYPASS THE TRADITIONAL MEDIA TO GET THEIR UNFILTERED MESSAGE TO THE AMERICAN PEOPLE BY PHONE BY COMPUTER BY SATELLITE THEY ARE BEGINNING TO MAKE THE CONNECTIONS WE'RE A GROUP DEDICATED TO DEALING AS CLOSE TO REAL TIME IN THE DAILY DELIVERY OF INFORMATION AS WE CAN GET SAYS MR ELLER THAT MEANS GETTING WORDS PICTURES AND SOUNDS TO THE PUBLIC AS THE EVENTS ARE HAPPENING BEFORE THE OPPOSITION CAN BEGIN TO RESPOND THAT'S WHY MR ELLER AND HIS COLLEAGUES HAVE TALKED TO BELL ATLANTIC CORP ABOUT BEING A PART OF A NEW SERVICE STILL BEING TESTED THAT WOULD DELIVER NEWS AND OTHER INFORMATION ON VOICEMAIL SYSTEMS THE TELEPHONE COMPANY WANTS TO INSTALL IN PLACE OF ANSWERING MACHINES THE CUSTOMER COULD CHECK OFF THE SERVICES DESIRED WHAT'S HAPPENING ON SOAP OPERAS THE LATEST STOCKMARKET QUOTATIONS OR BRIEF EXCERPTS FROM A PRESIDENTIAL SPEECH OR INTERVIEW THE WHITE HOUSE IS ALSO LOOKING INTO DIGITAL PHOTOGRAPHY SO THAT EVERY TIME THE PRESIDENT'S PICTURE IS TAKEN WITH A VOTER IT COULD BE TRANSMITTED BY COMPUTER STRAIGHT TO THE HOMETOWN PAPER WHAT MR ELLER AND CREW ARE TRYING TO DO AMONG OTHER THINGS IS TO ESTABLISH POLITICAL TIES TO THE HIGHTECH COMMUNITY WHICH THEY SEE AS PART OF THE DEMOCRATIC PARTY'S NEW CONSTITUENCY EVERY DAY THE WHITE HOUSE LOGS ON TO COMPUSERVE AND AMERICA ONLINE TWO POPULAR ONLINE SERVICES THAT TOGETHER HAVE WELL OVER A MILLION MEMBERS AND TRANSMITS SPEECHES INTERVIEWS NEWS BRIEFINGS AND OTHER PRESIDENTIAL DOCUMENTS THE COMPUSERVE FORUM THE COMPUTER COMMAND IS GO WHITE HOUSE ALSO ALLOWS SUBSCRIBERS TO EXCHANGE INFORMATION AND OPINIONS WITH ONE ANOTHER IN 17 DIFFERENT SUBJECT AREAS MOST OF THE 700 ELECTRONICMAIL LETTERS THAT SHOW UP DAILY FROM SUBSCRIBERS TO THE TWO SERVICES ARE PROCESSED BY COMPUSERVE WHICH PRINTS THEM OUT ON PAPER AND DELIVERS THEM TO A ROOM FULL OF WHITE HOUSE VOLUNTEERS WHO ANSWER EACH ONE AND SEND THE RESPONSES VIA CONVENTIONAL POST WHAT THE TECHIES CALL SNAIL MAIL UNFORTUNATELY THE WHITE HOUSE COMPUTERS LIKE THE SWITCHBOARD ARE OLD AND CRANKY THE STANDARD COMPUTER IS AN OLD IBM MODEL WHEN THE CLINTON TEAM ARRIVED IT WAS HORRIFIED TO DISCOVER THAT THE HARDDISK DRIVES HAD BEEN RIPPED OUT OF HUNDREDS OF THEM BY A SPECIAL PROSECUTOR INVESTIGATING THE BUSH ADMINISTRATION'S SEARCH OF MR CLINTON'S PASSPORT FILES DURING THE CAMPAIGN IT TOOK DAYS SOME OF THE TECHNICIANS SLEPT NIGHTS ON THE OFFICE FLOORS AND HUNDREDS OF THOUSANDS OF DOLLARS TO REPLACE THE DISKS SOME OF THE NEW DISKS WERE WORTH MORE THAN THE MARKET VALUE OF THE COMPUTERS INTO WHICH THEY WERE BEING INSTALLED THE COMPUTER SYSTEM IS A DISASTER IN OTHER WAYS TOO THE HEALTHCARE TASK FORCE LED BY HILLARY RODHAM CLINTON INVOLVES PEOPLE IN THE WHITE HOUSE AND IN SEVERAL OTHER PARTS OF THE GOVERNMENT FREQUENTLY THEY WOULD LIKE TO SHARE INFORMATION TO NETWORK SO THAT EVERYONE COULD LOOK AT THE SAME DOCUMENT AT THE SAME TIME BUT IT CAN'T BE DONE WITH THE CURRENT SYSTEM AND IT'S FRUSTRATING THE HIGHTECH FOLKS IN THE OLD EXECUTIVE OFFICE BUILDING WISH THEY COULD THROW OUT THEIR OLD COMPUTERS AND BRING IN BRANDNEW STUFF BUT WITH THE BUDGET CRUNCH THEY CAN'T AFFORD TO DO THAT JOHN SCULLEY CHAIRMAN OF APPLE COMPUTER INC AND A CLINTON SUPPORTER WOULD ROLL A TRUCK UP HERE TOMORROW AND GIVE US THE MACHINES SAYS MR ELLER BUT FOR POLITICAL AND OTHER REASONS THE WHITE HOUSE SAYS IT COULDN'T ACCEPT THEM AND SO IS FORCED TO WORK WITH WHAT IT HAS THOUGH MR ELLER AND A HANDFUL OF OTHERS HAVE THEIR OWN POWERBOOKS PORTABLE APPLE MACINTOSHES THAT HAVE BECOME SOMETHING OF A STATUS SYMBOL WHAT MR ELLER AND CREW COVET MOST IS THEIR OWN TV BROADCASTING SYSTEM THEY CALL IT BCTV BILL CLINTON ON TV 24 HOURS A DAY THE PROBLEM IS THAT WHILE THE HOUSE AND THE SENATE BOTH ARE RIGGED FOR TELEVISION CSPAN 1 AND CSPAN 2 THE TWO CABLE NETWORKS TELEVISE THEIR SESSIONS WITHOUT INTERRUPTION THE EXECUTIVE BRANCH HAS NO TELEVISION CAMERAS THE NAVAL IMAGING COMMAND SUPPLIES CAMERA CREWS FOR ALL OF THE PRESIDENT'S FORMAL APPEARANCES BUT THAT'S FOR THE ARCHIVES AND THE WHITE HOUSE ISN'T SURE THOSE IMAGES COULD BE USED FOR WHAT MIGHT BE SEEN AS POLITICAL PURPOSES INSTEAD CLINTON AIDES ARE LOOKING AT A NEW TECHNOLOGY THAT WOULD USE A SMALL POWERFUL AND RELATIVELY INEXPENSIVE CAMERA TO TELEVISE THE PRESIDENT'S APPEARANCES THEN I'D LIKE TO HAVE A 24HOURADAY TRANSPONDER UP ON A BIRD SOMEPLACE SAYS MR ELLER TRANSLATION HE WOULD LIKE TO BE ABLE TO BOUNCE THE PICTURES FROM THE CAMERA OFF A SATELLITE THE PICTURES WOULD SHOW THE DAILY ACTIVITIES OF THE PRESIDENT AND THE VICE PRESIDENT AND THE FIRST LADY AND THE SECOND LADY AND ANYTHING ELSE GOING ON IN THE EXECUTIVE BRANCH THAT MIGHT BE INTERESTING TV STATIONS COULD USE WHATEVER PICTURES THEY WANTED EVENTUALLY PERHAPS THE WHITE HOUSE PICTURES WOULD BECOME A CABLE CHANNEL JUST LIKE CSPAN SO WHEN YOU FINISHED LISTENING TO MR CLINTON ON YOUR VOICE MAIL AT THE END OF THE DAY YOU COULD FLIP ON YOUR TV AND WATCH HIM AND AL AND HILLARY AND TIPPER AND ALL THE REST ALL NIGHT LONG SEE RELATED LETTER LETTERS TO THE EDITOR REMEMBER CSPAN IS A PRIVATE EYE WSJ APRIL 14 1993 9303100137 9304150112 930310 LEHMAN BROTHERS' NEXT STEP MAY BE RETURN TO INDEPENDENCE BY WILLIAM POWER AND MICHAEL SICONOLFI STAFF REPORTERS OF THE WALL STREET JOURNAL NEW YORK LEHMAN BROTHERS IS ABOUT TO TAKE A GIANT STEP TOWARD ITS MOSTCHERISHED GOAL TOTAL INDEPENDENCE IF PRIMERICA CORP COMPLETES ITS PROPOSED PURCHASE OF SHEARSON LEHMAN BROTHERS INC'S BIG BROKERAGE OPERATIONS FOR ABOUT 1 BILLION THE LEHMAN BROTHERS INVESTMENT BANKING AND TRADING DIVISION WILL REMAIN BEHIND AS A UNIT OF PARENT AMERICAN EXPRESS CO BUT THAT'S JUST A BEGINNING PREDICT WALL STREET EXECUTIVES AND LEHMAN INSIDERS THE NEXT LIKELY MOVE LEHMAN BROTHERS ITSELF WILL BREAK AWAY FROM AMERICAN EXPRESS AND BECOME AN INDEPENDENT PUBLICLY TRADED FIRM AMERICAN EXPRESS PLANS TO SPEND THE REST OF THE YEAR SHORING UP LEHMAN'S BALANCE SHEET TO PREPARE FOR SUCH A SALE THAT WOULD BRING LEHMAN BROTHERS FULL CIRCLE THE VENERABLE WALL STREET INVESTMENT BANK FOUNDED IN 1850 WAS BOUGHT BY AMERICAN EXPRESS IN 1984 AND ABSORBED INTO SHEARSON AFTER MANAGEMENT TURMOIL RIPPED APART LEHMAN FOR THE PAST THREE YEARS LEHMAN EXECUTIVES HAVE SUCCEEDED BOTH IN BOOSTING PROFITS AND CARVING A SEPARATE IDENTITY FOR THE FIRM PETER G PETERSON A FORMER CHAIRMAN OF THE OLD LEHMAN BROTHERS AND NOW CHAIRMAN OF BLACKSTONE GROUP SAYS LEHMAN'S MANAGEMENT HAS DONE WELL IN RESURRECTING THE SPIRIT OF THE OLD FIRM BUT WILL DO EVEN BETTER ON ITS OWN AN INVESTMENT BANK OF LEHMAN'S QUALITY AND HISTORY IT ALWAYS SEEMED TO ME WOULD WORK BETTER WHEN THE PARTNERS HAD A SENSE IT WAS THEIR FIRM HE SAYS SO I THINK IF IT WERE SPUN OFF IT WOULD CERTAINLY ENERGIZE THAT ENTREPRENEURIAL PARTNERSHIP SPIRIT LEHMAN'S COHEADS J TOMILSON HILL AND RICHARD FULD JR HAVE TOLD COLLEAGUES AT PRIVATE MEETINGS OF LEHMAN PARTNERS THAT THEIR ULTIMATE PLAN IS TO RUN AN INDEPENDENT LEHMAN RETURNING LEHMAN TO THE FREESTANDING INVESTMENT BANK IT WAS FOR 135 YEARS BEFORE SHEARSON BOUGHT IT AND AMERICAN EXPRESS IS RECEPTIVE TO THE IDEA ONCE LEHMAN'S CREDIT RATINGS ARE RAISED ENOUGH TO SUPPORT A PUBLIC SALE OF LEHMAN BROTHERS STOCK PEOPLE CLOSE TO THE FIRMS SAY LEHMAN EXECUTIVES THOUGH EAGER FOR INDEPENDENCE THINK AMERICAN EXPRESS MIGHT INITIALLY SELL ONLY A 50 STAKE TO THE PUBLIC LEHMAN AND AMERICAN EXPRESS DECLINED TO COMMENT BECAUSE THE 8000EMPLOYEE LEHMAN BROTHERS DIVISION HAS BEEN BY FAR THE MOST PROFITABLE PART OF THE SHEARSON LEHMAN OPERATION LEHMAN EXECUTIVES THINK THEY WILL ULTIMATELY GET THEIR WAY THE LEHMAN INVESTMENTBANKING TRADING AND RESEARCH OPERATION HAD NET INCOME OF 250 MILLION OR MORE IN 1992 DOWN SLIGHTLY FROM 1991 PEOPLE FAMILIAR WITH LEHMAN SAID LEHMAN'S BONUSES IN 1992 TO ITS 95 PARTNERS WERE ABOUT 135 MILLION THE PEOPLE SAID MESSRS HILL AND FULD ARE SAID TO HAVE MADE MORE THAN 10 MILLION APIECE IN SALARY AND BONUSES A LEHMAN SPOKESMAN DECLINED TO COMMENT LEHMAN WAS THE PIECE THAT WAS GENERATING ALL THE PROFITS SAYS LAWRENCE ECKENFELDER BROKERAGE ANALYST FOR PRUDENTIAL SECURITIES INC WITH SHEARSON SPLIT OFF WHAT WOULD REMAIN AT LEHMAN ARE INVESTMENT BANKERS STOCK AND BOND TRADERS A RESPECTED RESEARCH DEPARTMENT AND A SMALL NETWORK OF 750 LEHMAN STOCKBROKERS INCLUDING 250 OVERSEAS WHO SERVE ONLY WEALTHY INVESTORS THESE EMPLOYEES' LOYALTIES ARE SQUARELY WITH LEHMAN NOT SHEARSON SHEARSON LEHMAN'S BESTKNOWN MARKET ANALYST ELAINE GARZARELLI SAID THAT BECAUSE SHE'S A PARTNER OF LEHMAN BROTHERS SHE'LL BE GOING TO LEHMAN BROTHERS LEHMAN'S TOP EXECUTIVES HAVE MADE A CRUSADE THE PAST THREE YEARS OF EMPHASIZING THE SEPARATE IDENTITY OF LEHMAN BROTHERS WITH ITS OWN BUSINESS CARDS AND COMPENSATION SCHEMES CULMINATING THIS YEAR WITH EVEN A GLOSSY ANNUAL REPORT THAT HAD NEITHER SHEARSON NOR AMERICAN EXPRESS'S NAME ON THE COVER LEHMAN OFFICERS THINK THEY CAN GET AS MUCH AS 1 BILLION IN A PUBLIC OFFERING OF ALL OR PART OF LEHMANABOUT THE SAME AMOUNT SHEARSON IS FETCHING FROM PRIMERICA THAT WOULD ALLOW LEHMAN PARTNERS THEMSELVES TO MAKE MILLIONS BY CASHING OUT THEIR PARTNERSHIPLIKE INTERESTS IN LEHMAN GRANTED BY AMERICAN EXPRESS LEHMAN MANAGEMENT TRIED TO GO INDEPENDENT WITH AMERICAN EXPRESS'S BLESSING MORE THAN A YEAR AGO LEHMAN OFFICERS TALKED TO GERMAN AND OTHER EUROPEAN BANKS TO OBTAIN FINANCING FOR A MANAGEMENTLED BUYOUT OF LEHMAN BUT TO NO AVAIL IN 1992 THE LEHMAN BROTHERS DIVISION WAS THE NO 3 STOCKANDBOND UNDERWRITER ON WALL STREET BEHIND MERRILL LYNCH & CO AND GOLDMAN SACHS & CO IT HELPED TO RAISE MORE THAN 100 BILLION IN OFFERINGS FOR AN 117 SHARE OF THE MARKET SAYS SECURITIES DATA CO MAJOR CORPORATE CLIENTS INCLUDE AMERICAN TELEPHONE & TELEGRAPH CO PHILIP MORRIS COS FORD MOTOR CO AND GENERAL MOTORS CORP BUT COULD AN INDEPENDENT LEHMAN THRIVE WHAT HAPPENS FOR EXAMPLE AFTER THE PROPOSED TEMPORARY DISTRIBUTION AGREEMENT WITH SMITH BARNEYSHEARSON RUNS OUT IN PERHAPS TWO YEARS AND LEHMAN NO LONGER HAS THE BIG SHEARSON NETWORK OF NEARLY 9000 BROKERS TO DISTRIBUTE TO SMALL INVESTORS THE STOCK AND BOND OFFERINGS IT UNDERWRITES LOSING SHEARSON'S BROKERS WOULD REMOVE A MAJOR STRATEGIC COMPETITIVE WEAPON IN THE LONGTERM COMPETITIVE RACE FRETS A LEHMAN EXECUTIVE LEHMAN HAD BEEN ABLE TO DISTINGUISH ITSELF FROM INVESTMENTBANKING COMPETITORS BY EMPHASIZING THAT IT HAD A BIG SALES FORCE THAT THOSE FIRMS LACKED NOW WE FALL BACK INTO THE PACK WITH BANKING RIVALS FIRST BOSTON CORP AND SALOMON INC WHICH LACK SUBSTANTIAL BROKERAGE NETWORKS THE EXECUTIVE SAID TO MAKE UP FOR LOSING THE SHEARSON NETWORK LEHMAN HOPES TO SELL MORE OF ITS PRODUCTS THROUGH THE 24 US AND OVERSEAS LEHMAN BRANCHES AND 750 BROKERS WHO WORK THERE LEHMAN OFFICIALS PREFER TO COMPARE AN INDEPENDENT LEHMAN TO MORGAN STANLEY GROUP INC AND GOLDMAN TWO OF WALL STREET'S MOST ADMIRED AND PROFITABLE INVESTMENT BANKS BOTH HAVE LIMITED BUT LUCRATIVE BROKERAGE SALES FORCES THAT CATER TO THE WEALTHY MR PETERSON THE FORMER LEHMAN CHAIRMAN DOESN'T WORRY AS LONG AS LEHMAN STILL HAS ITS 750BROKER NETWORK IN THE EARLY 1980S WE HAD A COMPARABLE SALES ORGANIZATION AND IT DID EXTRAORDINARILY WELL BECAUSE IT WAS FOCUSED ON INITIAL PUBLIC OFFERINGS HE SAYS STILL THERE WILL HAVE TO BE CHANGES AT LEHMAN EXECUTIVES ARE PLANNING STAFF RESHUFFLES IN COMING MONTHS AS THE FIRM ADJUSTS TO SERVING PRIMARILY INSTITUTIONAL CUSTOMERS RATHER THAN THE SMALL INVESTORS SERVICED BY SHEARSON'S SALES FORCE THERE ARE NO LAYOFFS PLANNED AT LEHMAN BUT IT'S EXPECTED THAT SCORES OF TRADERS AND RESEARCH ANALYSTS MIGHT EVENTUALLY MOVE TO SMITH BARNEY TO FOLLOW THE SHEARSON STOCKBROKERS BUT LEHMAN'S RESEARCH DEPARTMENT COSTS AN ESTIMATED 60 MILLION A YEAR TO RUN LEHMAN EXECUTIVES MUST DECIDE WHETHER THEY STILL NEED A DEPARTMENT OF THAT SIZE THE SAME APPLIES TO ANY TRADING DESK THAT PROCESSES SMALLINVESTOR TRADES INCLUDING STOCKS AND MUNICIPAL BONDS THE ULTIMATE FUTURE FOR LEHMAN A FEW YEARS DOWN THE LINE LEHMAN COULD EVEN BE REUNITED WITH PRIMERICA AND MR WEILL SOME FORMER LEHMAN EXECUTIVES SAY THESE EXECUTIVES SAY AN INDEPENDENT LEHMAN MAY ULTIMATELY LOOK TO MERGE WITH A SCALEDDOWN SMITH BARNEYSHEARSON TO CREATE A BROKERAGE AND INVESTMENTBANKING POWERHOUSE SEE RELATED LETTER LETTERS TO THE EDITOR THE LITTLE HOUSE THAT GREW AND GREW WSJ APRIL 14 1993 9303100067 9304140177 930414 POLITICS & POLICY CLINTON'S PROPOSAL FOR SIN TAXES' MAY STUMBLE BY TURNING TOO MANY AMERICANS INTO SAINTS BY RICK WARTZMAN STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON KEEP ON SINNING AMERICA PRESIDENT CLINTON MAY SOON BE COUNTING ON YOU FOR MONTHS MR CLINTON AND HIS TOP ADVISERS HAVE BEEN WEIGHING WHETHER TO SLAP HIGHER SIN TAXES ON TOBACCO AND ALCOHOL TO HELP PAY FOR THEIR OVERHAUL OF THE HEALTHCARE SYSTEM THE IDEA IS TO RAISE REVENUE AND SIMULTANEOUSLY DISCOURAGE DRINKING SMOKING AND OTHER ACTIVITIES CONSIDERED HARMFUL TO PEOPLE'S HEALTH WE ARE LOOKING AT THESE TAXES BECAUSE THEY DO TWO THINGS AT ONCE SAYS LAURA TYSON THE CHAIRWOMAN OF THE PRESIDENT'S COUNCIL OF ECONOMIC ADVISERS BUT THE TWO GOALS MAY CONFLICT IF THE ADMINISTRATION PROVES TOO SUCCESSFUL IN DISCOURAGING ALCOHOL AND TOBACCO CONSUMPTION THERE MIGHT NOT BE ENOUGH MONEY TO PAY FOR THE HEALTH PLAN AT LEAST NOT WITHOUT WIDENING THE BUDGET DEFICIT THE WHITE HOUSE HAS ESTIMATED THAT IT MAY COST AS MUCH AS 90 BILLION A YEAR TO PROVIDE HEALTH COVERAGE FOR ALL AMERICANS IT'S A TRICKY TRADEOFF SAYS ROBERT REISCHAUER DIRECTOR OF THE CONGRESSIONAL BUDGET OFFICE THE PROBLEM IS EXACERBATED BY THE FACT THAT THE CBO THE SCOREKEEPER FOR CAPITOL HILL DOESN'T THINK MR CLINTON'S MANAGED COMPETITION APPROACH TO HEALTH CARE WILL SAVE THE GOVERNMENT MONEY IN THE SHORT RUN THAT HAS IRRITATED THE WHITE HOUSE AND CREATES EVEN MORE PRESSURE FOR NEW TAX REVENUES ALTHOUGH THERE ARE PLENTY OF GOOD STATISTICS SHOWING HOW MUCH DEMAND WAS DAMPED WHEN CIGARETTE TAXES WENT UP BY SMALL AMOUNTS IN THE PAST HARDLY ANY DATA EXIST ABOUT THE EFFECTS OF LARGE TAX INCREASES AS A RESULT MR REISCHAUER BELIEVES THAT IF THE WHITE HOUSE WERE TO IMPOSE A HEFTY RISE IN THE FEDERAL TOBACCO TAX SAY 1 OR 2 A PACK THE TENDENCY WOULD BE TO OVERESTIMATE THE AMOUNT OF REVENUE THAT WOULD COME IN WHISKEY MAKERS SAY THAT SORT OF THING HAS HAPPENED BEFORE AN INDUSTRY ANALYSIS OF FEDERAL TAX AND BUDGET FIGURES CONCLUDES THAT THE GOVERNMENT EXPECTED TO COLLECT 14 BILLION OVER THREE YEARS AFTER RAISING THE TAX ON LIQUOR IN 1985 INSTEAD ABOUT 11 BILLION CAME IN WE ARE TAXED UP TO THE MAXIMUM THERE'S NO MORE ROOM SAYS FRED MEISTER PRESIDENT OF THE DISTILLED SPIRITS COUNCIL WHICH REPRESENTS PRODUCERS AND IMPORTERS OF 95 OF ALL THE LIQUOR SOLD IN THE US AFTER THE FEDERAL TAX ON LIQUOR WAS RAISED IN FISCAL 1991 THE GOVERNMENT ACTUALLY COLLECTED 23 LESS IN TAXES A STATISTIC MR MEISTER CONTENDS THAT CAN'T TOTALLY BE EXPLAINED BY THE RECESSION BUT NOT EVERYONE SEES IT THAT WAY TO SAY THAT RAISING TAXES DOESN'T RAISE MORE MONEY IS JUST TOTAL NONSENSE SAYS GEORGE HACKER DIRECTOR OF THE ALCOHOL POLICIES PROJECT AT THE CENTER FOR SCIENCE IN THE PUBLIC INTEREST HE CITES A REPORT BY THE BUREAU OF ALCOHOL TOBACCO AND FIREARMS SHOWING THAT ALTHOUGH REVENUES ON SPIRITS FELL RIGHT AFTER THE LAST ROUND OF TAX INCREASES THE FALLOFF WAS TEMPORARY MOREOVER THE DROP HAD BEEN PRECEDED BY A JUMP IN SALES AS PEOPLE EVIDENTLY STOCKED UP IN ANTICIPATION OF THE TAX INCREASE BEYOND THAT WHILE THE INDUSTRY IS QUICK TO COUNT JOB LOSSES IT TENDS TO IGNORE THE COST SAVINGS THAT ARE ASSOCIATED WITH LESS ALCOHOL CONSUMPTION LOWER HEALTH COSTS FEWER TRAFFIC FATALITIES AND DIMINISHED LAWENFORCEMENT COSTS THEY ONLY LOOK AT THE ONE SIDE MR HACKER SAYS SIN TAXES ARE NOT THE ADMINISTRATION'S ONLY OPTION FOR FINANCING ITS HEALTH PLAN WHICH IS SCHEDULED TO BE FINISHED IN MID MAY SOME 20 OTHER POSSIBILITIES ARE STILL ON THE TABLE ACCORDING TO ADMINISTRATION OFFICIALS ALSO HIGH ON THE LIST ARE DIRECTLY TAXING HEALTH PROVIDERS TAXING SOME OF THE SAVINGS THAT BUSINESSES WILL REALIZE FROM THE NEW HEALTH SYSTEM LIMITING THE TAX BENEFITS EMPLOYERS GET FROM PROVIDING HEALTH COVERAGE FOR THEIR WORKERS AND INSTITUTING SOME TYPE OF PRICE CONTROLS STILL THERE IS LITTLE DOUBT THAT MR CLINTON LIKES THE IDEA OF TAXING SIN I THINK CIGARETTE TAXES FOR EXAMPLE ARE DIFFERENT THAN MOST OTHER LEVIES THE PRESIDENT TOLD REPORTERS IN FEBRUARY HE ASSERTED THAT THE NATION IS SPENDING A TON OF MONEY IN PRIVATE INSURANCE AND IN GOVERNMENT TAX PAYMENTS TO DEAL WITH THE HEALTHCARE PROBLEMS OCCASIONED BY BAD HEALTH HABITS AND PARTICULARLY SMOKING MS TYSON ADDS THAT SHE WAS JOLTED TO LEARN THAT HALF OF ALL HOMICIDES IN THE US ARE ASSOCIATED WITH ALCOHOL USE AND ALCOHOLRELATED TRAFFIC ACCIDENTS ARE THE LEADING CAUSE OF DEATH FOR AMERICANS UNDER 25 IN THE PAST FEW WEEKS THE TOBACCO AND ALCOHOL LOBBIES HAVE STEPPED UP THEIR COUNTERATTACK REMINDING LAWMAKERS THAT EXCISE TAXES HIT LOWINCOME PEOPLE HARDER THAN ANYONE ELSE BRENNAN DAWSON A VICE PRESIDENT AT THE TOBACCO INSTITUTE POINTS OUT THAT PRESIDENT CLINTON CAREFULLY FASHIONED HIS ECONOMIC PLAN TO BE ABLE TO SAY THAT THOSE MAKING 20000 A YEAR OR LESS WOULDN'T BE TOUCHED BY INCREASED TAXES THAT GETS TURNED UPSIDE DOWN IF YOU RAISE CIGARETTE TAXES SHE SAYS THE COALITION AGAINST REGRESSIVE TAXATION A GROUP THAT INCLUDES MS DAWSON'S ORGANIZATION AS WELL AS THE BEER INSTITUTE PHILIP MORRIS COS RJR NABISCO INC AND THE AMERICAN TRUCKING ASSOCIATIONS RECENTLY ROLLED OUT A KPMG PEAT MARWICK STUDY MAKING PRECISELY THAT POINT THE ACCOUNTING FIRM EVEN CUSTOMIZED ITS FINDINGS FOR THE LEAGUE OF UNITED LATIN AMERICAN CITIZENS FOUNDATION AN ADVOCACY GROUP FOR HISPANICS THERE ARE OTHER PROBLEMS WITH SIN TAXES TOO FOR ONE THING IF TAXES ARE HIGH ENOUGH PEOPLE WILL BE INCLINED TO SMUGGLE IN UNTAXED TOBACCO AND ALCOHOL FROM OTHER COUNTRIES YOU ACTUALLY ENCOURAGE THE UNDERGROUND ECONOMY SAYS JD FOSTER CHIEF ECONOMIST AT THE TAX FOUNDATION THERE ARE ALSO LOST TOBACCO AND ALCOHOL INDUSTRY JOBS TO CONSIDER ALTHOUGH THESE WORKERS SHOULD EVENTUALLY BE ABSORBED BY OTHER SECTORS OF THE ECONOMY AS ERSTWHILE SMOKERS AND DRINKERS REDIRECT THEIR SPENDING THE TRANSITION PERIOD COULD BE PAINFUL FOR SOME COMMUNITIES IN ADDITION THE STATES ARE SURE TO FIGHT SINTAX INCREASES OUT OF FEAR THAT THEIR OWN REVENUE STREAMS WILL BE ERODED IN A WAY HIGHER EXCISE TAXES ARE LIKE NEGATIVE FEDERAL AID SAYS STEVEN GOLD DIRECTOR OF THE CENTER FOR THE STUDY OF THE STATES AN ARM OF THE ROCKEFELLER INSTITUTE OF GOVERNMENT IN ALBANY NY THEN THERE'S THE QUESTION OF WHAT TO DO ABOUT WINE WHICH PRESIDENT CLINTON HIMSELF HAS ACKNOWLEDGED HAS BEEN SHOWN BY SOME STUDIES TO LOWER THE RISK OF CORONARY HEART DISEASE CALIFORNIA WHICH PRODUCES THE BULK OF THE WINE IN THE US IS ALSO HAVING AN ESPECIALLY TOUGH TIME RECOVERING FROM THE RECESSION EXEMPTING WINE FROM A SINTAX INCREASE HOWEVER COULD LEAD TO POLITICAL FIREWORKS ON CAPITOL HILL DESPITE THESE POTENTIAL HEADACHES ADVOCATES OF BOOSTING EXCISE TAXES SAY THERE IS NO QUESTION BUT THAT THEY ARE WORTH IT THE FACT IS WE CANNOT ELIMINATE NICOTINE IN THE FORESEEABLE FUTURE SAYS KENNETH WARNER AN ECONOMIST AT UNIVERSITY OF MICHIGAN'S SCHOOL OF PUBLIC HEALTH OVER 40 MILLION PEOPLE ARE ADDICTED BUT BY INCREASING PRICE WE CAN AVOID HAVING PEOPLE BECOME ADDICTED IN THE FIRST PLACE WHILE GENERATING ENORMOUS REVENUES ACCORDING TO A NEW STUDY THAT MR WARNER HELPED PREPARE FOR A COALITION OF HEALTH GROUPS A 2APACK INCREASE IN THE TOBACCO TAX WOULD REDUCE THE NUMBER OF PEOPLE WHO SMOKE BY MORE THAN 75 MILLION TEENAGERS HE AND OTHER EXPERTS SAY MAY BE ESPECIALLY RESPONSIVE TO CHANGES IN PRICE AT THE SAME TIME THE STUDY FOUND SUCH A TAX WOULD STILL BRING IN 100 BILLION OVER FIVE YEARS IT'S A WINWINWIN SITUATION SAYS DAVID SWEANOR A LAWYER WITH THE NONSMOKERS' RIGHTS ASSOCIATION OF CANADA WHERE TAX INCREASES HAVE LIFTED THE AVERAGE PRICE OF A PACK OF CIGARETTES IN THE PAST DECADE TO 443 US FROM 174 AT THE SAME TIME HE SAYS CANADIANS ARE SMOKING 40 FEWER CIGARETTES TODAY AND OVERALL TOBACCO TAX REVENUE HAS SOARED TO 56 BILLION A YEAR FROM 16 BILLION SAYS MR SWEANOR THIS IS SOMETHING THAT HAS A TREMENDOUS IMPACT ON PUBLIC HEALTH IT RAISES A HECK OF A LOT OF MONEY FOR GOVERNMENTS AND IT'S POPULAR IMPACT ON A FAMILY'S TAX BILL AS A SHARE OF INCOME 9304140176 930414 BUSINESS BRIEF BOISE CASCADE CORP DEFICIT FOR FIRST QUARTER NARROWED FROM YEAR AGO BOISE CASCADE CORP POSTED A NARROWED FIRSTQUARTER NET LOSS OF 121 MILLION THAT WAS LOWER THAN ANALYSTS ANTICIPATED THE LOSS EQUIVALENT TO 56 CENTS A SHARE COMPARES WITH A YEARAGO LOSS OF 433 MILLION OR 130 A SHARE THE WALL STREET CONSENSUS WAS FOR THE FORESTPRODUCTS CONCERN TO POST A LOSS OF 86 CENTS A SHARE SALES ROSE 3 TO 984 MILLION FROM 9539 MILLION MAINLY BECAUSE OF SHARPLY HIGHER LUMBER PRICES STILL BOISE'S PAPER BUSINESS REMAINS WEAK THE COMPANY SAID BOISE OFFICIALS HAVE INDICATED THAT THE BOISE IDAHO COMPANY SHOULD RETURN TO PROFITABILITY LATER THIS YEAR AFTER THREE DISAPPOINTING YEARS 9304140175 930414 WASTE MANAGEMENT INDICATES EARNINGS ROSE IN 1ST PERIOD BY JEFF BAILEY STAFF REPORTER OF THE WALL STREET JOURNAL OAK BROOK ILL WASTE MANAGEMENT INC SAID ITS FIRSTQUARTER PROFIT WAS HIGHER THAN SOME ANALYSTS ESTIMATED SENDING THE TRASH HAULER'S STOCK UP AFTER IT TOUCHED A 52WEEK LOW EARLIER IN THE DAY THE COMPANY SAID ITS NET INCOME WAS 40 CENTS TO 41 CENTS A SHARE OR AN INDICATED 195 MILLION TO 200 MILLION BASED ON ABOUT 489 MILLION SHARES OUTSTANDING THAT WOULD BE UP SLIGHTLY FROM THE YEAR EARLIER'S 1921 MILLION OR 39 CENTS A SHARE WASTE MANAGEMENT SHARES WHICH TRADED AS LOW AS 29 REBOUNDED ON THE NEWS AND CLOSED IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING AT 31875 UP 175 ON VOLUME OF 34 MILLION SHARES THE STOCK HAS COME UNDER HEAVY SELLING PRESSURE IN RECENT WEEKS BOTH BECAUSE OF DOUBTS THE COMPANY'S FIRSTQUARTER RESULTS WOULD BE THAT HIGH AND BECAUSE OF LONGERTERM CONCERNS ABOUT THE TRASH COLLECTIONANDDISPOSAL AND HAZARDOUSWASTE BUSINESSES WASTE MANAGEMENT ALSO MADE EARNINGS ESTIMATES FOR TWO MAJORITYOWNED UNITS THAT ARE PUBLICLY TRADED THE COMPANY SAID WHEELABRATOR TECHNOLOGIES INC'S FIRSTQUARTER PERSHARE PROFIT ROSE TO 17 CENTS TO 18 CENTS FROM 14 CENTS A YEAR EARLIER BEFORE A CHARGE FROM AN ACCOUNTING CHANGE AFTER THE CHARGE RESULTS FOR THE 1992 QUARTER WERE RESTATED TO A LOSS OF 156 MILLION OR NINE CENTS A SHARE WASTE MANAGEMENT INTERNATIONAL PLC THE COMPANY'S OVERSEAS UNIT EXPECTS TO POST FIRSTQUARTER NET OF 13 CENTS TO 15 CENTS AN AMERICAN DEPOSITORY SHARE VS 14 CENTS A YEAR AGO THOUGH EXCHANGE RATES WERE MORE FAVORABLE THEN THE UNIT DIDN'T GO PUBLIC UNTIL AFTER LAST YEAR'S FIRST QUARTER PROFIT BASED ON THE UNIT'S ORDINARY SHARES TWO MAKE AN AMERICAN DEPOSITORY SHARE TRADED IN LONDON AND WHICH EXCLUDE EXCHANGERATE VARIATIONS ROSE BETWEEN 137 AND 255 TO BETWEEN 58 PENCE AND 64 PENCE FOR THE QUARTER FROM 51 PENCE A YEAR EARLIER WASTE MANAGEMENT SAID WASTE MANAGEMENT INTERNATIONAL SHARES ALSO LISTED ON THE BIG BOARD ALSO HAVE BEEN UNDER RECENT SELLING PRESSURE THEY ROSE ON THE NEWS TO CLOSE AT 1650 UP 50 CENTS ON VOLUME OF 322300 SHARES THE PARENT COMPANY SAID IT MADE ITS ESTIMATES BECAUSE A STORY IN THE WALL STREET JOURNAL ON MONDAY ABOUT ITS EARNINGS PROSPECTS HAD FUELED SPECULATION AND BECAUSE IT WAS TO MEET WITH ANALYSTS LATER THIS WEEK IN NEW YORK ACTUAL RESULTS WILL BE REPORTED EARLY NEXT WEEK WASTE MANAGEMENT ADDED 9304140174 930414 DIVIDEND NEWS CROMPTON & KNOWLES CORP CROMPTON & KNOWLES CORP A NEW YORK MAKER OF SPECIALTY CHEMICALS AND INDUSTRIAL PROCESS AND CONTROLS EQUIPMENT INCREASED ITS QUARTERLY DIVIDEND 25 TO 10 CENTS A SHARE FROM EIGHT CENTS THE NEW DIVIDEND IS PAYABLE MAY 28 TO SHARES OF RECORD MAY 7 AND MARKS THE 17TH CONSECUTIVE ANNUAL INCREASE THE COMPANY ALSO REPORTED A TRIPLING IN FIRSTQUARTER EARNINGS TO 123 MILLION OR 24 CENTS A SHARE ON A SALES INCREASE OF 18 TO 1337 MILLION THE YEAREARLIER QUARTER INCLUDED A CHARGE FOR ACCOUNTING CHANGES FOR RETIREE HEALTH BENEFIT COSTS AND INCOME TAXES EXCLUDING THE CHARGE 1993 FIRSTQUARTER EARNINGS WERE UP 25 9304140173 930414 FINANCING BUSINESS LOUISIANA LAND & EXPLORATION CO LOUISIANA LAND & EXPLORATION CO NEW ORLEANS THE OIL AND GAS EXPLORATION AND PRODUCTION COMPANY SAID IT IS OFFERING 100 MILLION IN 20YEAR 7 5/8 DEBENTURES THE DEBENTURES ARE PRICED AT 99656 TO YIELD 7659 PROCEEDS WILL BE USED TO REPAY DEBT AND FOR GENERAL CORPORATE PURPOSES SAID THE COMPANY THE LEAD UNDERWRITER IS JP MORGAN SECURITIES INC A UNIT OF JP MORGAN INC 9304140172 930414 FINANCING BUSINESS WESTERN RESOURCES INC WESTERN RESOURCES INC TOPEKA KAN SAID IT IS OFFERING 100 MILLION OF FIRSTMORTGAGE BONDS THAT WILL BEAR INTEREST AT 765 PROCEEDS FROM THE OFFERING WILL BE USED BY THE UTILITY HOLDING CONCERN TO REFUND THREE ISSUES OF OTHER FIRSTMORTGAGE BONDS ON MAY 12 THE BONDS TO BE REFUNDED INCLUDE THE 20 MILLION OF 8 3/4 SERIES DUE 2000 THE 35 MILLION OF 8 5/8 DUE 2005 AND 35 MILLION OF 8 3/4 DUE 2008 THE OFFERING WILL BE MANAGED BY DILLON READ & CO 9304140171 930414 CHICAGO MERCANTILE SEAT IS SOLD CHICAGO A SEAT ON THE CHICAGO MERCANTILE EXCHANGE SOLD FOR 600000 THE SAME PRICE AS THE PREVIOUS SALE MARCH 10 AND DOWN FROM THE RECORD OF 620000 SET JAN 15 SEATS ARE CURRENTLY QUOTED AT 592000 BID 620000 OFFER 9304140170 930414 MARKETING & MEDIA EXECUTIVE SEARCH CONCERN TO USE TV FOR INTERVIEWS CLEVELAND SOON JOB HUNTERS MAY NEED TO SHOW SOME TELEVISION EXPERIENCE ON THEIR RESUMES IF A NEW VIDEO CONFERENCING NETWORK IS SUCCESSFUL MANAGEMENT RECRUITERS INTERNATIONAL INC AN EXECUTIVE SEARCH FIRM PLANS TO BUILD A VIDEO CONFERENCING NETWORK TO LINK ITS MORE THAN 600 OFFICES IN THE US CANADA AND PUERTO RICO MRI SAID IT WILL USE THE NETWORK TO INTERVIEW JOB CANDIDATES AND CUT DOWN ON LONGDISTANCE TRAVEL THE COMPANY A SUBSIDIARY OF CDI CORP PHILADELPHIA SAID IT CONDUCTS 250000 FACETOFACE INTERVIEWS A YEAR FOR CLIENTS AND THAT NEARLY 90000 OF THESE REQUIRE EXPENSIVE LONGDISTANCE TRAVEL BY NEXT YEAR WHEN THE NETWORK IS COMPLETED MOST INITIAL INTERVIEWS WILL BE CONDUCTED AT MRI'S OFFICES SAVING CLIENTS SOME 135 MILLION A YEAR MRI SAID THE NETWORK WILL USE TRANSMISSION SERVICES OF AMERICAN TELEPHONE & TELEGRAPH CO AND VIDEO CONFERENCING GEAR FROM COMPRESSION LABS INC 9304140169 930414 FINANCING BUSINESS NATIONAL STEEL CORP NATIONAL STEEL CORP SAID IT HAS SOLD TO ITS UNDERWRITERS 861100 CLASS B COMMON SHARES IN AN OVERALLOTMENT RELATED TO ITS RECENTLY COMPLETED INITIAL PUBLIC OFFERING THE MISHAWAKA IND STEELMAKER SAID NET PROCEEDS OF THE SALE ABOUT 113 MILLION WILL BRING THE TOTAL NET PROCEEDS OF THE PUBLIC OFFERING TO MORE THAN 141 MILLION NATIONAL STEEL SAID IT CURRENTLY HAS 10861100 CLASS B COMMON SHARES OUTSTANDING AND 25500000 CLASS A COMMON SHARES THE COMPANY'S CLASS A SHARES ARE HELD BY JAPAN'S NKK CORP WHICH OWNS 70 OF THE STEELMAKER AND DALLASBASED NATIONAL INTERGROUP INC 9304140168 930414 WHO'S NEWS ROYALE INVESTMENTS INC ROYALE INVESTMENTS INC MINNEAPOLIS GEORGE R JENSEN AN INDEPENDENT REAL ESTATE DEVELOPER AND CONSULTANT WAS NAMED A DIRECTOR OF THIS REAL ESTATE INVESTMENT TRUST INCREASING BOARD MEMBERSHIP TO SEVEN 9304140167 930414 FINANCING BUSINESS TELECOMMUNICATIONS INC TELECOMMUNICATIONS INC THE NATION'S LARGEST CABLETELEVISION OPERATOR FILED A SHELF OFFERING FOR AS MUCH AS 3 BILLION PRINCIPAL AMOUNT OF DEBT SECURITIES CLASS A COMMON STOCK AND WARRANTS IN ITS FILING WITH THE SECURITIES AND EXCHANGE COMMISSION DENVERBASED TELECOMMUNICATIONS SAID PROCEEDS WILL BE USED TO REPAY DEBT BUY BACK COMMON AND PREFERRED SHARES AND FUND ACQUISITIONS CAPITAL EXPENSES AND GENERAL OPERATIONS CURRENTLY TELECOMMUNICATIONS HAS ABOUT 1029 BILLION IN CONSOLIDATED DEBT OUTSTANDING EARLIER THIS WEEK THE COMPANY ANNOUNCED A FOURYEAR 2 BILLION PLAN TO REWIRE MOST OF ITS CABLE SYSTEMS TO INSTALL HIGHCAPACITY OPTICAL FIBER FOR DELIVERING ADVANCED SERVICES TO ABOUT NINE MILLION CABLE HOMES THE COMPANY ALSO IS IN TALKS REGARDING THE POSSIBLE BREAKUP OR DIVISION OF ASSETS OF TURNER BROADCASTING SYSTEM INC IN WHICH IT HOLDS A 25 STAKE 9304140166 930414 INTERNATIONAL SPAIN'S UNEMPLOYMENT WORSENS MADRID THE PERCENTAGE OF SPAIN'S WORK FORCE REGISTERED AS UNEMPLOYED ROSE TO 166 IN MARCH FROM 163 IN FEBRUARY THE LABOR MINISTRY SAID THE MINISTRY SAID THE NUMBER OF PEOPLE REGISTERED WITH THE NATIONAL EMPLOYMENT INSTITUTE AS OUT OF WORK CLIMBED BY 23 OR 58183 PEOPLE TO 253 MILLION BY THE END OF MARCH 9304140165 930414 WHO'S NEWS FOSTER WHEELER CORP FOSTER WHEELER CORP CLINTON NJ E JAMES FERLAND 51 YEARS OLD WAS NAMED A DIRECTOR OF THIS ENGINEERING AND CONSTRUCTION SERVICES CONCERN INCREASING THE BOARD'S SIZE TO 14 HE IS CHAIRMAN PRESIDENT AND CHIEF EXECUTIVE OF PUBLIC SERVICE ENTERPRISE GROUP INC A NEWARK NJ UTILITY HOLDING COMPANY HE ALSO IS CHAIRMAN AND CHIEF EXECUTIVE OF PUBLIC SERVICE ELECTRIC & GAS CO PUBLIC SERVICE ENTERPRISE'S UNIT 9304140164 930414 WHO'S NEWS PHH CORP PHH CORP HUNT VALLEY MD FRANK M SMITH 51 YEARS OLD WAS NAMED VICE PRESIDENT OF HUMAN RESOURCES AND QUALITY OF THIS BUSINESS SERVICES CONCERN THE QUALITY POSITION IS NEWLY CREATED AND THE HUMAN RESOURCES POST WAS LONG VACANT MR SMITH PREVIOUSLY WAS VICE PRESIDENT COMPENSATION AND DEVELOPMENT AT BLACK & DECKER CORP A TOWSON MD MAKER OF CONSUMER APPLIANCES AND INDUSTRIAL TOOLS 9304140163 930414 WHO'S NEWS WALT DISNEY CO WALT DISNEY CO BURBANK CALIF HILARY MESEROLE WAS NAMED TO THE NEW POST OF VICE PRESIDENT ACCOUNT MANAGEMENT WITH THIS MERCHANDISING THEMEPARK FILM AND TELEVISIONPROGRAMMING CONCERN MS MESEROLE 34 YEARS OLD WAS THE COMPANY'S ACCOUNT DIRECTOR 9304140162 930414 INTERNATIONAL FARM AGENCY SEEKS TALKS WITH MOSCOW ON US MEAT WASHINGTON REUTER AS THE US PREPARES MASSIVE FOOD AID FOR BELEAGUERED RUSSIA THE AGRICULTURE DEPARTMENT SAID YESTERDAY IT IS SEEKING TALKS WITH RUSSIAN OFFICIALS TO PERSUADE THEM TO ALLOW US MEAT INTO THE COUNTRY RUSSIA HAS HELD UP SEVERAL SHIPMENTS OF COMMERCIALLY BOUGHT US PORK COMPLAINING THAT THE AGRICULTURE DEPARTMENT'S CERTIFICATIONS OF WHOLESOMENESS DON'T FIT MOSCOW'S STANDARDS US MEAT INDUSTRY OFFICIALS SAID MOSCOW HAS MADE THIS COMPLAINT SINCE APRIL 1990 BUT HAD BEEN ACCEPTING US IMPORTS UNTIL THE TROUBLE OVER THE RECENT SHIPMENTS THE US IS PREPARING TO SHIP SOME 30 MILLION IN DONATED PORK AND POULTRY AS PART OF THE 16 BILLION AID PACKAGE PRESIDENT CLINTON OFFERED RUSSIA MORE THAN HALF OF WHICH WAS FOOD AID A SPOKESMAN FOR THE AGRICULTURE DEPARTMENT POINTED OUT THAT OTHER COUNTRIES ACCEPT THE CERTIFICATE THAT MOSCOW IS REJECTING AND SAID THE DEPARTMENT HOPES TO CLEAR UP THE MATTER WITHOUT DISRUPTING THE PLANNED FOOD AID THE SPOKESMAN WOULDN'T COMMENT ON WHAT HE THOUGHT PROMPTED MOSCOW'S SUDDEN REJECTION OF US MEAT BUT SOME TRADE SOURCES SAID THAT IT MIGHT HAVE POLITICAL ROOTS RUSSIAN VICE PRESIDENT ALEXANDER RUTSKOI AN OPPONENT OF PRESIDENT BORIS YELTSIN YESTERDAY CRITICIZED THE US FOOD AID PACKAGE SAYING ARE WE HELPING RUSSIA TO DEVELOP ITS AGRICULTURE INCREASE YIELDS AND IMPROVE PROCESSING OF AGRICULTURAL PRODUCTS OR ARE WE STIMULATING US AGRICULTURE 9304140161 930414 INTERNATIONAL COUNTERFEIT BILLS IN OSAKA CLOSE BANK RAIL MACHINES TOKYO REUTER BANKS AND RAILWAY STATIONS SHUT DOWN THOUSANDS OF MONEYCHANGING AND AUTOMATICTICKETING MACHINES ACROSS JAPAN YESTERDAY AFTER THE DISCOVERY OF A LARGE NUMBER OF COUNTERFEIT BILLS POLICE SAID 280 BOGUS 10000YEN BILLS WERE FOUND BETWEEN SUNDAY AND YESTERDAY IN THE OSAKA REGION OF WESTERN JAPAN A 10000YEN NOTE JAPAN'S LARGEST DENOMINATION IS WORTH ABOUT 89 I THINK IT WAS PROBABLY THE MOST COUNTERFEITS PASSED IN JAPAN SINCE THE WAR SAID A SPOKESMAN FOR THE NATIONAL POLICE AGENCY THE FAKE 10000YEN BILLS WERE PASSED MAINLY AT BANKS AND MAJOR RAIL TERMINALS IN CENTRAL OSAKA HE SAID SAKURA BANK WHICH FOUND 215 OF THE FORGED NOTES IN ITS OSAKA BRANCHES ON TUESDAY CLOSED ALL ITS CHANGE MACHINES FOR THE DAY THE FINANCE MINISTRY AND JAPAN'S CENTRAL BANK ARE PREPARING TO ISSUE NEW 10000YEN NOTES DESIGNED TO STYMIE COUNTERFEITERS THE KYODO NEWS AGENCY SAID THE BILLS WILL FEATURE A SEAL PRINTED WITH A SPECIAL INK THAT EMITS LIGHT WHEN EXPOSED TO ULTRAVIOLET RAYS FOILING COPY MACHINES KYODO SAID SEPARATELY FUJI PHOTO FILM CO OF JAPAN FILED A REPORT WITH THE TOKYO STOCK EXCHANGE THAT IT HAS DISCOVERED 39 BOGUS STOCK VOUCHERS EACH PURPORTING TO REPRESENT A STAKE OF 1000 SHARES IN FUJI PHOTO FILM 9304140160 930414 TREASURY PLANS TO SELL SHORTTERM BILLS PAY 303 BILLION OF DEBT WASHINGTON THE TREASURY PLANS TO PAY DOWN 303 BILLION ON THE PUBLIC DEBT WITH THE SALE MONDAY OF ABOUT 212 BILLION IN SHORTTERM BILLS MATURING BILLS OUTSTANDING TOTAL 515 BILLION INCLUDING TWO CASH MANAGEMENT BILLS THE OFFERING WILL BE DIVIDED EVENLY BETWEEN 13WEEK AND 26WEEK BILLS MATURING ON JULY 22 1993 AND OCT 21 1993 RESPECTIVELY THE CUSIP NUMBER FOR THE THREEMONTH BILLS IS 912794E91 THE CUSIP NUMBER FOR THE SIXMONTH BILLS IS 912794E42 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 9304140159 930414 INTERNATIONAL BRITAIN CHINA PUT HONG KONG TALKS BACK ON COURSE BY JESSE WONG STAFF REPORTER OF THE WALL STREET JOURNAL HONG KONG BRITAIN AND CHINA SIDESTEPPED A DIPLOMATIC STANDOFF AND AGREED TO OPEN FORMAL NEGOTIATIONS ON THE ISSUE OF WHAT VOICE THIS COLONY SHOULD HAVE IN REFORMING ITS OWN ELECTORAL SYSTEM THE TALKS WILL BEGIN APRIL 22 AT ISSUE IS A PROPOSAL BY HONG KONG GOV CHRIS PATTEN TO BROADEN DEMOCRACY IN THE COLONY AHEAD OF ITS 1997 RETURN TO CHINESE RULE A PREVIOUS ATTEMPT TO OPEN TALKS BROKE DOWN NEARLY A MONTH AGO WHEN CHINA OBJECTED TO INCLUSION OF DIRECT REPRESENTATIVES OF THE COLONY AFTER THAT FAILURE TO START TALKS CHINA ESCALATED ITS PROPAGANDA ATTACKS ON MR PATTEN GOV PATTEN'S PROPOSALS ON RESTRUCTURING THE ELECTORAL PROCESS TO BRING MORE DEMOCRACY TO THE COLONY HAVE SOURED RELATIONS BETWEEN LONDON AND BEIJING ALTHOUGH GOV PATTEN CONSISTENTLY HAS DENIED CHINA'S ACCUSATIONS THAT HIS REFORM PROPOSALS ARE IN BREACH OF EXISTING ACCORDS THAT THE TALKS ARE GOING AHEAD AFTER ALL WITH HONG KONG'S ROLE SPELLED OUT IN A LOWKEY MANNER POINTS TO RECOGNITION BY BRITAIN AND CHINA THAT THEIR GRANDSTANDING ON THE ISSUE HASN'T HELPED THEIR INDIVIDUAL CAUSES CURRENTLY IN LONDON MR PATTEN SPOKE TO JOURNALISTS YESTERDAY SHORTLY AFTER BRITAIN AND CHINA SIMULTANEOUSLY ANNOUNCED THEIR DECISION TO OPEN TALKS TURNING DOWN AN INVITATION TO CHARACTERIZE THE DECISION AS VICTORY FOR EITHER SIDE HE SAID THIS IS A VICTORY FOR COMMON SENSE AT ITS HEIGHT THE SINOBRITISH STANDOFF HAD HIT THE LOCAL STOCK MARKET HARD IT CONTINUES TO DAMP LONGERTERM INVESTMENT ACTIVITY RUMORS ABOUT THE TALKS HELPED SEND THE STOCK MARKET'S HANG SENG INDEX SOARING BY 13254 POINTS OR 21 TO A CLOSE OF 641821 THE ACTUAL ANNOUCEMENT MADE AFTER THE BUSINESS DAY HAD ENDED IN ASIA AND AS EUROPE'S WAS BEGINNING PUSHED PRICES OF HONG KONG STOCKS UP FURTHER ON THE LONDON STOCK EXCHANGE THE LATEST DEVELOPMENTS DON'T NECESSARILY IMPLY THAT THE DEMOCRACY DISPUTE WILL BE RESOLVED EASILY CHINA OPPOSES ANY MOVE TO SPEED UP DEMOCRATIC REFORM IN HONG KONG ITS OFFICIALS SEEM EMBITTERED TOO BY THE CHANGED ATTITUDE OF BRITAIN WHICH USED TO STEER CLEAR OF CONFRONTATION WITH CHINA THEY APPEAR UPSET MOST OF ALL WITH MR PATTEN WHOSE BACKGROUND AS A POWERFUL CONSERVATIVE PARTY POLITICIAN HAS MADE HIM A TOUGH ADVERSARY 9304140158 930414 FUNDOBJECTIVE LISTINGS OF JOURNAL ARE EXPANDED NEW YORK MORE MUTUAL FUND INVESTMENT OBJECTIVES ARE BEING ADDED TO THE WALL STREET JOURNAL'S DAILY PERFORMANCE LISTINGS BEGINNING TODAY WE HAVE RECEIVED A TREMENDOUS RESPONSE FROM READERS SINCE WE INTRODUCED THE EXPANDED MUTUAL FUND LISTINGS IN JANUARY SAID PAUL E STEIGER MANAGING EDITOR OF THE JOURNAL THE ONE THING MANY ASKED FOR WAS MORE DIFFERENTIATION AMONG RELATED INVESTMENT OBJECTIVES SO THAT PERFORMANCE DATA AND RANKINGS COULD BE APPLIED WITH GREATER PRECISION MOST OF THE ADDITIONAL CATEGORIES ARE FOR FIXEDINCOME FUNDS NOW SEPARATE CATEGORIES RELATE TO THE TYPES OF SECURITIES AND THEIR RELATIVE MATURITYSHORT INTERMEDIATE AND LONG TERM ALSO SEVEN SINGLESTATE MUNICIPAL BOND CATEGORIES ARE BEING ADDED FOR THOSE STATES WITH 20 OR MORE FUNDS SPECIALIZING IN THEIR TAXEXEMPT DEBT SECURITIES NOW INVESTORS CAN ISOLATE PERFORMANCE DATA AND RANKINGS JUST FOR SINGLESTATE FUNDS HOLDING BONDS FROM CALIFORNIA FLORIDA MASSACHUSETTS NEW JERSEY NEW YORK OHIO AND PENNSYLVANIA ALL OTHER FEATURES REMAIN AS THEY WERE MR STEIGER SAID WE'RE PLEASED TO BE ABLE TO ADD THIS EXTRA DIMENSION OF DETAIL TO THE JOURNAL'S EXPANDED FUND LISTINGS HE SAID 9304140157 930414 JENNIFER CONVERTIBLES SALES PARAMUS NJ FURNITURE RETAILER JENNIFER CONVERTIBLES INC SAID MARCH SALES FOR STORES OPEN MORE THAN ONE YEAR JUMPED 38 TO 62 MILLION FROM A YEAR EARLIER JENNIFER CONVERTIBLE ALSO SAID THAT SECONDQUARTER NET INCOME CLIMBED 37 TO 625000 OR 12 CENTS A SHARE FROM 457000 OR 11 CENTS A SHARE AFTER A TAX BENEFIT OF THREE CENTS A SHARE REVENUE FOR THE QUARTER ROSE 19 TO 88 MILLION FROM 74 MILLION 9304140156 930414 CATHOLIC SCHOOLS LIFT ENROLLMENT SLIGHTLY AFTER 30YEAR DECLINE NEW ORLEANS CATHOLIC SCHOOLS INCREASED ENROLLMENT FOR THE FIRST TIME IN 30 YEARS A SIGN OF SUCCESS FOR A MARKETING STRATEGY THAT HAS FOCUSED WITH GROWING INTENSITY ON THE TRAVAILS OF PUBLIC SCHOOLS ALTHOUGH THE INCREASE OF LESS THAN 1 WAS SO SMALL AS TO BE STATISTICALLY INSIGNIFICANT IT CONFIRMED A PATTERN OF ENROLLMENT STABILITY THAT HAS BUOYED CATHOLIC EDUCATORS IN THEIR STRUGGLE FOR VOUCHERS OR OTHER FORMS OF PUBLIC FINANCIAL SUPPORT FOR PRIVATE SCHOOLS CATHOLIC EDUCATORS ATTRIBUTED THE GAINS TO GREATER PUBLIC AWARENESS OF CATHOLIC SCHOOLS AND WHAT THEY DESCRIBED AS THE SCHOOLS' EDUCATIONAL ADVANTAGES IN A CAMPAIGN BEGUN IN 1990 THE CATHOLIC EDUCATION HIERARCHY HAS URGED LOCAL PARISHES TO STRESS STUDIES THAT SHOW HIGHER TEST SCORES AND GRADUATION RATES FOR CATHOLICSCHOOL STUDENTS COMPARED WITH THEIR PUBLICSCHOOL COUNTERPARTS THE CATHOLIC COMMUNITY IS DOING A BETTER JOB OF TELLING OUR STORY SAYS MICHAEL GUERRA EXECUTIVE DIRECTOR OF SECONDARY SCHOOLS FOR THE EDUCATION ASSOCIATION BELLA ROSENBERG AN ANALYST FOR THE AMERICAN FEDERATION OF TEACHERS SAYS THE NEW CATHOLIC NUMBERS APPEAR TO BE AT ODDS WITH RECENT FIGURES FROM THE US CENSUS BUREAU SHOWING THAT SMALLER PERCENTAGES OF PARENTS ARE SENDING THEIR CHILDREN TO PRIVATE SCHOOLS MS ROSENBERG WHO HAS OFTEN CHALLENGED RESEARCH EXTOLLING THE BENEFITS OF CATHOLIC SCHOOLS SAYS MUCH OF THEIR APPARENT EDGE STEMS FROM THE FACT THAT THEIR STUDENTS ARE CHILDREN OF BETTEREDUCATED PARENTS SOME ANALYSTS SAY CATHOLIC SCHOOLS COULD CONTINUE TO GAIN ENROLLMENT MUCH OF THE INCREASE IN THE LATEST NUMBERS CAME IN RELATIVELY NEW PRESCHOOL PROGRAMS AND IN KINDERGARTEN AND EARLY GRADES SUGGESTING A FULLER PIPELINE IN FUTURE YEARS 9304140155 930414 INSIDE TRACK CABLE INSIDERS SOLD SHARES BEFORE APRIL 1 RATE RULING BY ALEXANDRA PEERS AND WARREN GETLER STAFF REPORTERS OF THE WALL STREET JOURNAL NEW YORK SWEEPING NEW GOVERNMENT PRICE CONTROLS ON THE CABLE TELEVISION INDUSTRY RAISE QUESTIONS AMONG INVESTORS ABOUT THE FUTURE OF THE ONCEHOT SECTOR SOME TOP INDUSTRY EXECUTIVES APPEAR TO HAVE THE ANSWER IN THE WEEKS PRIOR TO THE FEDERAL COMMUNICATION COMMISSION'S APRIL 1 RATE RULING THEY DUMPED MILLIONS OF DOLLARS OF STOCK IN THEIR OWN COMPANIES THE FCC'S MOST COMPREHENSIVE PRICE RESTRAINTS ON THE CABLE INDUSTRY IN NEARLY A DECADE CALL FOR A BILLIONDOLLAR ROLLBACK IN CABLE RATES THE ANNOUNCEMENT SPARKED A WALL STREET SELLOFF OF CABLE SHARES WITH SOME STOCKS FALLING 10 TO 20 BUT SECURITIES AND EXCHANGE COMMISSION FILINGS SHOW THAT A CABLEINDUSTRY INSIDERSELLING SPREE AT COMCAST CORP TCA CABLE TV INC JONES INTERCABLE INC AND CENTURY COMMUNICATIONS CORP AMONG OTHERS BEGAN IN MIDJANUARY AND HAS BEEN SNOWBALLING SINCE VIRTUALLY ALL THE INSIDERS GOT OUT OF THEIR COMPANIES' SHARES AT PRICES SIGNIFICANTLY HIGHER THAN THE STOCKS' CURRENT LEVELS WALL STREET HAS SOURED ON CABLE BECAUSE INVESTORS BELIEVE THAT THE REGULATION WILL HIT CABLE COMPANIES WHERE IT HURTS IN THEIR ABILITY TO GENERATE CASH FLOW PRIOR TO THE FCC'S RULING CASH FLOW IN GENERAL AMONG CABLE COMPANIES WAS EXPECTED TO GROW 10 TO 11 OVER 1992 SAID BEN BENDRE MEDIA ANALYST AT SALOMON BROTHERS INC BUT AS A RESULT OF THE NEW REGULATIONS IT WILL BE FLAT TO AS MUCH AS DOWN 3 BUT FRED R NICHOLS PRESIDENT OF TCA CABLE TV A TYLER TEXAS CABLE PROVIDER WHOSE STOCK HAS FALLEN 12 SINCE APRIL 1 SAID THE MARKET HAS ACTED PREMATURELY GOVERNMENT REGULATORS HAVEN'T DECIDED WHAT RATES YOU CAN USE YET HE SAID AND FOR LOWERCOST CABLE PROVIDERS SUCH AS HIS OWN COMPANY HE SAID THE IMPACT MAY BE MINIMAL MR NICHOLS TRIMMED HIS HOLDINGS IN TCA CABLE BY 22 ON MARCH 25 SELLING 5000 SHARES AT 2550 EACH HE SAID HE SOLD THE SHARES FOR TAX PURPOSES AND THAT I DIDN'T SEE THE STOCK GOING DOWN BECAUSE THERE WAS NO REASON FOR IT TO GO DOWN HIS SALES FOLLOWED THE SALE OF 170000 SHARES BY THE CHAIRMAN OF TCA ROBERT M ROGERS AND BY A FOUNDATION IN MR ROGERS'S NAME MR ROGERS TRIMMED HIS HOLDINGS BY 170000 SHARES VALUED AT ABOUT 42 MILLION AND CONTINUES TO HOLD MORE THAN 59 MILLION TCA SHARES SEC FILINGS SHOW MR ROGERS SAID HE ROUTINELY SELLS SHARES EVERY JANUARY AND FEBRUARY SEC FILINGS SHOW BOTH TCA EXECUTIVES SOLD THEIR SHARES AT PRICES ABOVE YESTERDAY'S CLOSE OF 20 UP 25 CENTS ON THE OVERTHECOUNTER MARKET THE SHARE PRICES OF CABLE TELEVISION COMPANIES WILL GO DOWN A WHILE UNTIL THE COMPANIES GET OUT REPORTS THAT SHOW THAT THEY ARE MAINTAINING CASH FLOW AND ARE FINANCIALLY SOUND SAID ROBERT E MORRISON SENIOR VICE PRESIDENT AT CENTURY COMMUNICATIONS NEW CANAAN CONN HE SOLD 25842 SHARES OF THE COMPANY'S STOCK IN FEBRUARY ACCORDING TO SEC FILINGS TIMING THOSE SALES TO THE STOCK'S RISE ABOVE 10 NOT IN ANTICIPATION OF THE RULING HE SAID CENTURY'S SHARES MAY GO DOWN A LITTLE FURTHER DURING A PERIOD OF ADJUSTING TO THE NEW FCC REGULATIONS HE SAID BUT THE COMPANY IS SOLID AND ITS SHARES WILL BE BACK UP HE PREDICTED MR MORRISON SAID HE PLANS TO EXERCISE OPTIONS TO BUY 25000 TO 30000 MORE SHARES IN THE NEAR FUTURE THAT MAY SUGGEST WHAT I THINK ABOUT THE FUTURE SHARE PRICE MOVES HE SAID IN TRADING ON THE AMERICAN STOCK EXCHANGE CENTURY COMMUNICATIONS SHARES WERE UNCHANGED AT 7875 EACH JONES INTERCABLE CHAIRMAN GLENN R JONES CHAIRMAN OF JONES INTERCABLE SOLD ALL OF HIS 84042 SHARES IN THE ENGLEWOOD COLO COMPANY ON MARCH 10 FOR 16 EACH SEC FILINGS SHOW JONES INTERCABLE'S SHARE PRICE HAS SINCE SLIPPED 16 CLOSING AT 1350 UP 25 CENTS IN OVERTHECOUNTER TRADING KEVIN COYLE CHIEF FINANCIAL OFFICER OF JONES INTERCABLE SAID MR JONES SOLD ALL HIS PERSONAL HOLDINGS BUT THAT HE IS THE MAJORITY OWNER IN JONES SPACELINK INC AN ENGLEWOOD COLO COMPANY THAT OWNS 29 MILLION JONES INTERCABLE SHARES MR JONES DIDN'T RETURN TELEPHONE CALLS MR COYLE ADDED THAT LOWER CABLE SHARE PRICES WERE A TEMPORARY THING THE LONGTERM IS VERY VERY POSITIVE FOR THE INDUSTRY AT COMCAST FOUR INSIDERS HAVE SOLD SHARES SINCE JAN 4 SEC FILINGS SHOW ALL TOLD THEY HAVE TRIMMED THEIR HOLDINGS IN THE PHILADELPHIA COMPANY BY 127031 SHARES VALUED AT MORE THAN 24 MILLION THEY SOLD AT PRICES RANGING FROM 1813 TO 21 EACH ACCORDING TO THE FILINGS COMPANY TREASURER JOHN ALCHIN SAID THE SALES ALMOST WITHOUT EXCEPTION WERE IN RELATION TO ESTATE TAX ESTATE PLANNING AND THE EXERCISING OF OPTIONS A NUMBER OF THESE PEOPLE HAD NOT MADE SALES FOR SOME TIME HE ADDED IT IN NO WAY EXPRESSES ANY OPINION ABOUT THE ULTIMATE VALUE OF THE STOCK WE ALL FEEL THERE IS SUBSTANTIAL UPSIDE VALUE IN COMCAST SHARES IN OVERTHECOUNTER TRADING COMCAST SHARES CLOSED AT 19375 UP 875 CENTS A HURDLE FOR THE INDUSTRY BOTH ANALYSTS AND CABLEINDUSTRY INSIDERS ACKNOWLEDGE THAT THE FCC REGULATIONS POSE A CONSIDERABLE HURDLE FOR THE INDUSTRY BUT NOT ONE THAT WILL BURDEN THE INDUSTRY FOR YEARS TO COME A COUPLE OF DRY YEARS ARE LIKELY SAYS SHARON ARMBRUST SENIOR ANALYST AT PAUL KAGEN ASSOCIATES A CABLE INDUSTRY RESEARCH FIRM IN CARMEL CALIF BUT THE FCC RULES WHICH ARE BEING CHALLENGED IN COURT BY SOME CABLE PROVIDERS WILL END UP ACCELERATING THE INDUSTRY'S GROWTH BECAUSE ANYTHING YOU CREATE NEW IS OUTSIDE OF THE REGULATED PACKAGE THAT WILL PROMPT CABLE COMPANIES TO ADD PROFITABLE INTERACTIVE AND PAYPERVIEW FEATURES AS WELL AS THE ABILITY TO LINK CABLE TELEVISION AND TELEPHONE SERVICES SHE SAID THE CASHFLOW DAMAGE MAY END UP BEING MINOR SAID KENNETH GOLDMAN AN ANALYST AT BEAR STEARNS & CO HE IS MAINTAINING HIS BUY RATINGS ON COMCAST AND JONES INTERCABLE HE DIDN'T RATE THE OTHER TWO STOCKS IF BETTER TIMES ARE AHEAD ARE CABLE STOCKS NOW BARGAINS NOT YET SAY SOME ANALYSTS THEY BELIEVE THAT THE STOCKS MAY BE DUE FOR ANOTHER HIT EARLY NEXT MONTH WHEN THE SPECIFICS OF THE RATE BENCHMARKS ARE RELEASED IF THE FCC INVOKES A STRONGER THAN 10 RATE ROLLBACK THE SHARES COULD GO LOWER PREDICTS EDWARD HATCH MEDIA ANALYST AT UBS SECURITIES 9304140154 930414 WHO'S NEWS EXIDE ELECTRONICS GROUP INC EXIDE ELECTRONICS GROUP INC RALEIGH NC WILLIAM TIPPETT 47 YEARS OLD WAS APPOINTED TO THE NEW POST OF EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER MR TIPPETT WAS GENERAL MANAGER OF A HEWLETTPACKARD CO MANUFACTURING CENTER IN LOVELAND COLO EXIDE MAKES POWERPROTECTION DEVICES FOR COMPUTERS AND OTHER ELECTRONIC GEAR 9304140153 930414 MARKETING P&G USES SKILLS IT HAS HONED AT HOME TO INTRODUCE ITS BRANDS TO THE RUSSIANS BY VALERIE REITMAN STAFF REPORTER OF THE WALL STREET JOURNAL ST PETERSBURG RUSSIA SERGEI DMITRIEV SCANNED THE DINGY DEPARTMENT STORE STALKING THE PERFECT ANNIVERSARY PRESENT FOR HIS WIFE FINALLY THE 33YEAROLD ENGINEER SETTLED ON THE GIFT HE KNEW SHE COVETED OIL OF OLAY NIGHT CREAM CALLED OIL OF ULAY IN RUSSIA THE 240 TAB WAS NO SMALL EXTRAVAGANCE CONSIDERING HIS 25 MONTHLY SALARY THAT SAME SUM WOULD HAVE FETCHED MORE THAN A DOZEN TICKETS TO THE KIROV BALLET 50 LOAVES OF BREAD OR 500 SUBWAY RIDES HIS PURCHASE IS A TRIBUTE TO THE POWERS OF MARKETING AND PROOF THAT EVEN IN COUNTRIES BESET WITH ECONOMIC AND POLITICAL UPHEAVAL CONSUMERS WILL PAY TOP DOLLAR FOR A PRODUCT IF THEY ARE CONVINCED NOTHING LESS WILL DO FEW DO THAT BETTER THAN BRANDNAME GIANT PROCTER & GAMBLE CO WHICH SPENT MILLIONS OF DOLLARS RESEARCHING THE RUSSIAN CONSUMER'S MIND AND BLITZING THE AIRWAVES WITH COMMERCIALS THAT OFFER ALMOST COMIC CONTRAST TO THE DISMAL HARDSHIPS OF EVERYDAY LIFE IT'S INTRODUCING THE RUSSIANS ACCUSTOMED TO BROWN PAPER PACKAGING TO DISTINCT BRANDS THAT TOUT UNHEARD OF BENEFITS SUCH AS DANDRUFF CONTROL AND IT'S EMPLOYING MARKETING TACTICS THAT ARE RADICAL IN RUSSIA SUCH AS SAMPLES AND GIFTS WITH PURCHASES THE RESULT ON GIFTGIVING OCCASIONS SUCH AS NEW YEAR'S EVE AND WOMEN'S DAY RUSSIANS WRAP BARS OF CAMAY SOAP AND BOTTLES OF PERT PLUS SHAMPOO MARKETED IN RUSSIA AS VIDAL SASSOON WASH & GO TO BESTOW ON THEIR LOVED ONES THAT'S NO SMALL TRIBUTE CONSIDERING THAT ONE COULD BUY EIGHT BARS OF RUSSIAN SOAP FOR THE 37 CENTS THAT CAMAY COST RECENTLY IN ONE STORE IT'S NOT CHEAP FOR P&G EITHER AFTER 18 MONTHS HERE IT'S UNPROFITABLE AND IT DOESN'T EXPECT A PROFIT FOR AT LEAST TWO YEARS WITH AVERAGE RUSSIAN SALARIES AT JUST 10 A MONTH P&G'S DETERGENT AND SHAMPOO ARE ACCESSIBLE TO ONLY 5 TO 10 OF THE POPULATION THE COMPANY ITSELF PAYS 4000 A MONTH FOR EACH OF THE THREE APARTMENTS IT RENTS FOR WESTERN MANAGERS AND CONTINUING POLITICAL STRIFE MAKES ANY INVESTMENT A GAMBLE EASTERN EUROPE IS A TIME BOMB BUT YOU'VE GOT TO BE THERE EVEN IF IT GOES OFF IN YOUR FACE AND YOU HAD BETTER KEEP YOUR HEAD DOWN AND YOUR TAIL WELLCOVERED SAYS EDWIN L ARTZT P&G CHAIRMAN P&G FIGURES THAT THE EASTERN EUROPEAN CONSUMER MARKET WILL AMOUNT TO 8 BILLION TO 10 BILLION BY THE END OF THE DECADE AND IT HOPES TO CAPTURE A THIRD OF THAT MEANWHILE P&G'S MULTINATIONAL RIVALS INCLUDING THE ANGLODUTCH UNILEVER GROUP GERMAN HENKEL KGAA AND FRENCH L'OREAL SA HAVE ALSO SET UP RUSSIAN BEACHHEADS HENKEL'S JOINT VENTURE IN MOSCOW MAKES UPGRADED VERSIONS OF LOCAL DETERGENTS FOR SIGNIFICANTLY LESS THAN P&G UNILEVER ARRIVED LAST FALL TO SELL OMO DETERGENT LUX SOAP AND SIGNAL TOOTHPASTE L'OREAL IS SELLING SHAMPOO BUT P&G HAS BEEN THE MOST AGGRESSIVE HOPING ITS MARKETING CLOUT WILL PROVIDE AN EDGE THE CINCINNATI MAKER OF IVORY CREST AND TIDE CONDUCTS THE SAME PAINSTAKING MARKET RESEARCH HERE THAT IT DOES AT HOME IT HIRED A LOCAL COMPANY TO DO DOORTODOOR CONSUMER INTERVIEWS ABOUT HYGIENE AND HOUSEHOLD CLEANING HABITS AND DISCOVERED THAT RUSSIANS USUALLY STORE DETERGENT IN CRAMPED BATHROOMS SO THAT THE BOX HAS TO BE STRONG ENOUGH TO SUSTAIN WATER DAMAGE BECAUSE THE STATEMADE DETERGENTS WERE SO WEAK RUSSIANS TENDED TO SOAK THEIR CLOTHES FOR HOURS IN THE TUB P&G NOTES THAT ITS POWERFUL DETERGENT ELIMINATES THAT NEED AND MANY RUSSIANS BOIL CLOTHES AFTER WASHING THEM SO P&G NOTES THAT ITS SOAP IS SAFE AT HIGH TEMPERATURES IN ITS RESEARCH P&G GAVE HUNDREDS OF CONSUMERS SAMPLES AND THEN INTERVIEWED THEM TWO WEEKS LATER ONE MIGHT IMAGINE THAT THE RUSSIANS WOULD HAVE BEEN GRATEFUL FOR THE HIGHER QUALITY PRODUCTS SAYS P&G'S COUNTRY MANAGER ENZO FERRARIS A NATIVE ITALIAN BUT P&G GOT AN EARFUL FOR INSTANCE RUSSIANS PREFER LABELING WITH JUST ENGLISH WHICH CONNOTES HIGHER QUALITY AND THEY DESPISED P&G'S COMMERCIAL FOR HEAD & SHOULDERS WHICH SHOWED A HAIRDRESSER SHAMPOOING ONE SIDE OF A WOMAN'S HEAD WITH P&G SHAMPOO THE OTHER WITH AN INFERIOR BRAND THE GIRL IS ARTIFICIAL STUPID SAID ALLA YAKEVLEVA AN ENGLISH TEACHER ESTABLISHING NAME AND PRODUCT RECOGNITION IS CHEAP COMMERCIALS COST JUST 5 OF THE AIRTIME PRICES IN THE US NEARLY ALL HOUSEHOLDS OWN TVS BECAUSE THEY WERE CONSIDERED EDUCATIONAL TOOLS BY THE STATE AND YES P&G THE INVENTOR OF THE AMERICAN SOAP OPERA DOES ADVERTISE ON THE LOCAL SOAP OPERAS MOST RUSSIANS DON'T SEEM BOTHERED BY THE ADS THAT FEATURE WEALTHY WESTERNERS IN ONE A MAN DOUSED IN OLD SPICE COLOGNE NAVIGATES HIS YACHT THROUGH A STORM AND THEN THROWS A PARTY ON THE DECK OLD SPICE FOR MEN WITH STRONG SPIRIT IT SAYS PEOPLE ARE PROUD THEY REALLY FEEL THEY'RE EUROPEAN NOTES MR FERRARIS THE FREQUENCY OF THE COMMERCIALS ANNOYS RUSSIANS THOUGH STANISLAV DEGTJAR A BOOKSTORE CLERK SAYS THEY PLACE ADS IN INAPPROPRIATE PLACES SUCH AS FEATURE FILMS AND BREAK THE STRUCTURE OF PROGRAMS NOW IS THE TIME TO PROTECT SOVIET PEOPLE FROM THIS P&G IS ALSO TRYING TO GET TO CONSUMERS VIA PROFESSIONALS AND INSTITUTIONS IT INTRODUCED WASH & GO TO HAIRDRESSERS AND ITS EUROPEAN VERSION OF CRESTBLENDAX TO DENTISTS SAMPLES WERE GIVEN TO ELEMENTARY SCHOOLS AND THE COMPANY SPONSORED A CONTEST FOR STUDENTS ABOUT ORAL HYGIENE KIDS WRITE US LETTERS SAYING WHY THEY SHOULD BRUSH THEIR TEETH SAYS DIEGO GARCES P&G'S FINANCE MANAGER IN RUSSIA IT SHOWS IT'S WORTH SPENDING TIME AND EFFORT TEACHING THEM STILL THE QUESTION IS WHETHER THEIR PARENTS HAVE THE MONEY TO SPEND BUYING P&G PRODUCTS TATIANA GOZERA LAMENTS THAT SHE IS UNABLE EVEN TO DREAM OF EXTRAVAGANCES SUCH AS WASH & GO ON HER 6 MONTHLY WAGES HER FACE WEATHERED FROM TWO JOBS SWEEPING FLOORS AND CLERKING MS GOZERA WHO LOOKS A DECADE OLDER THAN HER 37 YEARS SAYS WHEN I WAS YOUNGER I WAS INTERESTED IN COSMETICS NOW I'M NOT ALL MY HOPES ARE IN MY SON I HOPE JUST TO BE ABLE TO FEED HIM AND EDUCATE HIM P&G IS UP AGAINST RAPIDFIRE INFLATION PRICES RISE MORE THAN 10 A WEEK IN RUSSIA P&G LIFTS PRICES AS OFTEN AS WEEKLY TO COMPENSATE FOR THE DECLINE OF THE RUBLE WHICH HAS FALLEN IN VALUE FROM 35 RUBLES TO THE DOLLAR IN SUMMER 1991 TO THE CURRENT RATE OF 766 WASH & GO THAT ONCE COST 60 RUBLES NOW COSTS WELL OVER 700 IT DOESN'T HELP THAT LOCAL MERCHANTS ARE TEMPTED TO GOUGE UNDER COMMUNISM PEOPLE WERE SENT TO PRISON FOR SPECULATING NOW MERCHANTS CAN CHARGE A 25 MARKUP ON FOREIGN GOODS WHICH HAS PROMPTED P&G TO SEND THREE DOZEN RUSSIAN MANAGERS TO COUNSEL SHOP OWNERS THAT THEY WILL EARN MORE BY KEEPING PRICES LOWER STILL P&G CHARGES THE HIGHEST PRICES OF CONSUMERPRODUCT MAKERS WE'RE IN A POSITION TO OFFER A GIANT DIFFERENCE IN QUALITY SINCE WE HAD TO PRICE SEVERAL TIMES THE LOCAL PRICE WE NEEDED THAT ADVANTAGE SAYS MR FERRARIS THE ONLY SOAPS ON THE SHELVES BEFORE P&G'S CAMAY IN ST PETERSBURG WERE COARSE BARS WRAPPED IN BROWN PAPER THE COMPANY IS TRYING TO LOWER MANUFACTURING COSTS AND INSULATE ITSELF AGAINST HIGHER TARIFFS ON IMPORTED GOODS IT RECENTLY CONTRACTED WITH A RUSSIAN FACTORY TO MAKE ARIEL DETERGENT ITS EUROPEAN EQUIVALENT OF TIDE EVEN THOUGH THE MOVE MAY MAKE IT VULNERABLE TO LOCAL PRICE CONTROLS IT HAS ALSO TRIED TO KEEP ITS RUSSIAN INVESTMENT TO A MINIMUM 14 MILLION TO DATE MOVING MORE SLOWLY HERE THAN IN HUNGARY POLAND AND THE FORMER CZECHOSLOVAKIA WHERE SALES TOTAL 400 MILLION WITH 20 BRANDS BUT THE COMPANY STILL HASN'T TURNED A PROFIT STILL AFTER ITS FORAY INTO ST PETERSBURG RUSSIA'S SECOND LARGEST CITY P&G IS NOW PUSHING INTO MOSCOW AS WELL WHERE ITS INTERNATIONAL COMPETITORS HAVE BEEN MORE AGGRESSIVE IT'S COUNTING ON CONSUMERS SUCH AS NATASHA ETIMOVA A 24YEAROLD STUDENT WHO YEARNS FOR THE DAY WHEN SHE CAN AFFORD TO STOCK HER HOME WITH P&G PRODUCTS SHE SAVES HER PRECIOUS WASH & GO FOR WEEKENDS BUT WOULD REALLY LIKE TO BUY OIL OF OLAY I WOULD LOVE TO BUY THEM EVERY DAY IF I COULD SHE SAYS 9304140152 930414 COKE NET ROSE IN FIRST PERIOD OVERSEAS STRONG BY MICHAEL J MCCARTHY STAFF REPORTER OF THE WALL STREET JOURNAL ATLANTA COCACOLA CO POSTED FIRSTQUARTER EARNINGS SLIGHTLY ABOVE ANALYSTS' FORECASTS ON UNEXPECTED STRENGTH LAST MONTH IN INTERNATIONAL SALES THE SOFTDRINK CONCERN HAD NET INCOME OF 454 MILLION OR 35 CENTS A SHARE UP FROM 167 MILLION OR 13 CENTS A SHARE A YEAR EARLIER THE PRIORYEAR FIGURE REFLECTED A 146 MILLION CHARGE FOR AN ACCOUNTING CHANGE RELATED TO POSTRETIREMENT BENEFITS ABSENT THAT PERSHARE EARNINGS INCREASED 21 TO A PENNY ABOVE THE 34 CENTS A SHARE ANALYSTS HAD FORECAST REVENUE ROSE 10 TO 306 BILLION FROM 277 BILLION ONE CLOSELY WATCHED INDICATOR OF COKE'S PERFORMANCE ITS INTERNATIONAL CASESALES VOLUME ROSE 5 IN THE QUARTER TOPPING THE 4 THE COMPANY HAD EXPECTED OPERATING IN MORE THAN 160 NATIONS COKE DERIVES ABOUT 80 OF ITS EARNINGS OVERSEAS THE 5 VOLUME INCREASE IN THE YEAR'S OPENING QUARTER TRAILS COKE'S TARGET OF 8 TO 10 GROWTH ANNUALLY BUT SAID JOSEPH DOYLE AN ANALYST WITH SMITH BARNEY HARRIS UPHAM & CO IT'S STILL A VERY SATISFACTORY PERFORMANCE GIVEN THE DIFFICULT ECONOMIES AROUND THE WORLD ANOTHER IMPORTANT INDICATOR INTERNATIONAL CONCENTRATE SHIPMENTS ROSE 7 IN THE QUARTER INDICATING THAT BOTTLERS ARE ANTICIPATING STRONGER SECONDQUARTER SALES IN THEIR RESPECTIVE MARKETS MR DOYLE SAID PURCHASES OF CONCENTRATE SIGNAL HOW BOTTLERS VIEW FORTHCOMING MARKET DEMAND OR PRICING CHANGES WHILE CASESALES TRACK ACTUAL RETAIL PERFORMANCE IN JAPAN ONE OF COKE'S BIGGEST PROFIT CENTERS VOLUME FELL 4 COMING OFF A STRONG YEAREARLIER GAIN OF 12 IN LAST YEAR'S FIRST QUARTER JAPANESE GROCERS STEPPED UP PURCHASES OF COKE IN ADVANCE OF A SCHEDULED PRICE INCREASE COKE ATTRIBUTED THE STRONGERTHANEXPECTED VOLUME GROWTH ABROAD TO INCREASED SALES IN MARCH NOTABLY BRAZIL A VOLUME TROUBLESPOT IN RECENT QUARTERS SAW AN 11 VOLUME JUMP LAST MONTH AS COKE STEPPED UP MERCHANDISING ACTIVITIES DESPITE THAT INCREASE THE DEPRESSED BRAZILIAN ECONOMY STILL PUSHED COKE'S TOTAL VOLUME IN THE BIG MARKET DOWN 2 IN THE QUARTER IN OTHER KEY MARKETS QUARTERLY VOLUME ROSE 9 IN MEXICO 11 IN BRITAIN AND ARGENTINA 5 IN SPAIN AND 2 IN GERMANY IN THE HIGHPROFILE US MARKET COKE'S QUARTERLY VOLUME INCREASED 3 IN LINE WITH EXPECTATIONS DRIVEN BY CONTINUED RECOVERY IN THE RESTAURANT BUSINESS PACKAGED SOFTDRINKS SOLD IN GROCERY STORES ROSE 1 TO 2 WHILE FOUNTAIN SALES OR THOSE TO RESTAURANT CLIENTS INCREASED 4 TO 5 THE COMPANY SAID RIVAL PEPSICO INC IS EXPECTED TO REPORT A 4 GAIN IN US VOLUME HELPED PARTLY BY SALES OF ITS BALLYHOOED CRYSTAL PEPSI COLORLESS COLA AT COCACOLA FOODS THE JUICE DIVISION LOWER PRICES HELPED DRIVE VOLUME UP 39 IN THE QUARTER THE COMPANY SAID COKE SAID IT BOUGHT ABOUT 25 MILLION OF ITS COMMON SHARES DURING THE FIRST QUARTER INCLUDING ABOUT ONE MILLION SHARES IN EARLY JANUARY TO COMPLETE AN 80MILLIONSHARE BUYBACK PLAN EARLY IN THE SECOND QUARTER COKE SAID IT BOUGHT AN ADDITIONAL ONE MILLION SHARES AS PART OF ANOTHER BUYBACK PROGRAM UNDER WHICH IT PLANS TO ACQUIRE AS MANY AS 100 MILLION SHARES THROUGH THE YEAR 2000 9304140151 930414 SCIENCE BLACK HOLE OPENS IN SCIENTIST JOB ROLLS BY G PASCAL ZACHARY STAFF REPORTER OF THE WALL STREET JOURNAL A GENERATION OF PHYSICAL SCIENTISTS IS LEARNING THAT THE MOST IMPORTANT RULE OF NATURE IS THE LAW OF SUPPLY AND DEMAND ONLY A FEW YEARS AGO THE IDEA OF A GLUT OF PHYSICAL SCIENTISTS WAS CONSIDERED ABSURD MOST POLITICIANS AND EDUCATORS LOUDLY CALLED FOR MORE SCIENTISTS CITING PRESUMED INDUSTRIAL BENEFITS NOW WITH INDUSTRY ACADEMIA AND GOVERNMENT LABS CURTAILING HIRING NO ONE WOULD SAY THERE IS A SHORTAGE SAYS KENNETH M BROWN RESOURCES DIRECTOR AT THE NATIONAL SCIENCE FOUNDATION INDEED THE OVERSUPPLY OF PHYSICAL SCIENTISTS CHEMISTS ASTRONOMERS PHYSICISTS AND MATHEMATICIANS COULD GO ON FOR MANY YEARS UNEMPLOYMENT AMONG PHYSICAL SCIENTISTS IS ESTIMATED AT LESS THAN 3 BUT THE LEVEL HAS DOUBLED IN THREE YEARS MATH AND PHYSICS SHOW THE HIGHEST LEVELS OF JOBLESSNESS IN NEARLY 20 YEARS CHEMISTS OVER THE AGE OF 50 AND IN THE PETROLEUM INDUSTRY HAVE BEEN ESPECIALLY HARD HIT THE AMERICAN CHEMICAL SOCIETY SAYS AT THE MOMENT BIOLOGISTS AND RELATED RESEARCHERS APPEAR TO HAVE BETTER PROSPECTS THAN PHYSICAL SCIENTISTS THAT'S BECAUSE OF THE MATURING OF THE BIOTECHNOLOGY INDUSTRY AND INCREASED GOVERNMENT FUNDING ON RESEARCH SUCH AS THE HUMAN GENOME PROJECT SAYS BETTY VETTER EXECUTIVE DIRECTOR OF THE COMMISSION ON PROFESSIONALS IN SCIENCE AND TECHNOLOGY AMONG THOSE FACING THE MOST DIRE PROSPECTS IN THE PHYSICAL SCIENCES ARE HOLDERS OF NEWLY MINTED DOCTORATES NEARLY 13 OF NEW PHD RECIPIENTS IN MATHEMATICS FOR INSTANCE ARE UNEMPLOYED THE HIGHEST LEVEL SINCE 1975 AND EVEN YOUNG SCIENTISTS IN SUCH HOT AREAS AS COMPUTING ARE FINDING FEWER JOB OFFERS FORCING THEM TO CONSIDER LESS GLAMOROUS POSTS AT INDUSTRIAL LABS IT USED TO BE THAT THE TOP PHDS COMING OUT OF STANFORD MIT AND PLACES LIKE THAT HAD FACULTY JOBS WAITING FOR THEM SAYS DAVID LIDDLE PRESIDENT OF INTERVAL RESEARCH CORP A PRIVATE LAB IN PALO ALTO CALIF THE SITUATION FOR SCIENTISTS IS SO DIRE BECAUSE OF THREE CONVERGING FACTORS CUTBACKS BY CORPORATIONS THAT ONCE MAINTAINED LAVISH BASIC RESEARCH BUT ARE NOW CONCENTRATING ON APPLIED DEVELOPMENT THE SHARP DECLINE IN FUNDING FOR SOME BIG SCIENCE AND MILITARY RESEARCH PROJECTS SUCH AS STAR WARS AND THE SPACE STATION THE AVAILABILITY OF FIRSTRATE SCIENTISTS FROM THE FORMER SOVIET UNION WE ARE FACING A CLASSIC INDUSTRIAL PROBLEM SAYS RUSTOM ROY A MATERIALS SCIENTIST AT PENNSYLVANIA STATE UNIVERSITY AND A CRITIC OF GENEROUS GOVERNMENT SUBSIDIES TO SCIENTISTS IN THE PAST WE OVERBUILT CAPACITY WE DON'T NEED ANY MORE SCIENCE AGGRAVATING THE SITUATION IS THE AVAILABILITY OF THOUSANDS OF RUSSIAN SCIENTISTS WHO WORK IN THEIR NATIVE LAND FOR AS LITTLE AS 100 A MONTH AND THE BEST OF THE RUSSIANS ARE LANDING FACULTY POSTS IN THE US IN MANY CASES EDGING OUT US CITIZENS A FAR LESSER NUMBER FROM OTHER FORMER EASTERN BLOC COUNTRIES ARE TOO MAJOR US UNIVERSITIES DEFEND THE PRACTICE OF HIRING RUSSIANS EVEN AT THE EXPENSE OF QUALIFIED US CANDIDATES WE WANT TO HIRE THE BEST PEOPLE WE CAN GET PERIOD SAYS LAWRENCE C EVANS A MATHEMATICIAN AT THE UNIVERSITY OF CALIFORNIA AT BERKELEY SCIENCE ADVOCATES ARGUE THAT THE INFLUX OF FOREIGNERS STRENGTHENS THE US THEY SAY THE DIFFICULTIES FACING MANY US SCIENTISTS FACING ARE TEMPORARY IT'S HARD TO IMAGINE A WORLD WHERE WE NEED FEWER SCIENTISTS SAYS ROBERT PARK AN EXECUTIVE WITH THE AMERICAN SOCIETY OF PHYSICS WHO BELIEVES THE US CAN ALWAYS BENEFIT FROM TRAINING MORE SCIENTISTS BUT SOME STRUGGLING YOUNG PHYSICISTS MIGHT ARGUE WITH HIM CONSIDER GENE NELSON A 41YEAROLD PHYSICIST IN MIDDLEBURG HEIGHTS OHIO MR NELSON IS AN INSTRUCTOR AT A NEARBY COMMUNITY COLLEGE EARNING 300 A WEEK WITH NO FRINGE BENEFITS HE SAYS HE CAN'T FIND A BETTER JOB I'VE HAD PEOPLE SAY TO ME REWRITE YOUR RESUME LEAVE OUT YOUR PHD AND YOU MIGHT GET A JOB HE ADDS IN HIS LAST JOB MR NELSON EARNED 50000 A YEAR DESIGNING MEDICAL DIAGNOSTIC DEVICES BUT WAS LET GO WHEN HIS EMPLOYER CANCELED HIS PROJECT HE THEN LAUNCHED A COMPANY TO SUPPLY HANDWRITINGRECOGNITION SOFTWARE FOR COMPUTERS BUT LEFT THE BUSINESS AFTER SPENDING MUCH OF HIS SAVINGS NEXT HE SOUGHT ENGINEERING JOBS BUT GAVE UP SOON AFTER A COMPANY THAT MAKES TOILETS FOR YACHTS TURNED HIM DOWN FOR A POST AS A DESIGNER MR NELSON IS QUALIFIED FOR MANY ENGINEERING JOBS ALL TOO QUALIFIED EMPLOYERS THINK HE HAS THE WRONG SKILLS I'M NERVOUS ABOUT BRINGING ON A PHD SAYS ED MCKIERNAN PRESIDENT OF SEALAND TECHNOLOGY INC THE BIG PRAIRIE OHIO TOILET MAKER THAT DECIDED AGAINST HIRING MR NELSON SINCE SEALAND RELIES ON JUST A FEW DESIGNERS THE TEAM MUST HEW TO A CONVENTIONAL PATH WE'RE NOT SET UP FOR SOMEONE DESIGNING A FUTURISTIC SANITATION DEVICE FOR THE 21ST CENTURY MR MCKIERNAN SAYS STILL A PHD IN PHYSICS CARRIES GREAT WEIGHT WITH SOME COMPANIES MICROSOFT CORP A MAKER OF COMPUTER SOFTWARE EMPLOYS ABOUT 50 PHYSICS PHDS BUT PHYSICISTS AT MICROSOFT ARE WRITING SOFTWARE NOT DOING PHYSICS OTHER PHYSICISTS HAVE MOVED INTO EVEN MORE REMOTE FIELDS AFTER A FEW YEARS OF FAILING TO LAND A PERMANENT JOB KEVIN AYLESWORTH ABANDONED PHYSICS IN 1992 TO TAKE A JOB WITH A LAW FIRM AS A TECHNICAL CONSULTANT THOUGH HE EARNS MORE THAN 75000 BY APPLYING SOME OF MY SPECIALIZED KNOWLEDGE HE IS STILL BITTER ABOUT HIS STUNTED CAREER IN PHYSICS AND BLAMES THE SCIENCE ESTABLISHMENT FOR CREATING THE FALSE IMPRESSION THAT THERE ARE NOT ENOUGH SCIENTISTS TO GO AROUND UNLIKE MR AYLESWORTH MANY NEWLY MINTED PHYSICS PHDS WILL DO ALMOST ANYTHING TO STAY IN THEIR FIELD ONE COMMON PRACTICE IS TO ACCEPT A SERIES OF POSTDOCTORATE FELLOWSHIPS ORIGINALLY DESIGNED AS A HIATUS BETWEEN PERMANENT JOBS POSTDOCS CAN RECEIVE SALARIES IN THE 40000 RANGE PLUS HEALTH INSURANCE BUT OFTEN THESE SLOTS MUST BE RENEWED YEARLY IT MAKES ME FEEL LIKE A SCIENTIFIC MIGRANT SAYS ROBERT ZACKER A POSTDOC AT THE NAVAL RESEARCH LABORATORY IN WASHINGTON MR ZACKER RECEIVED HIS PHD IN 1987 AND STILL HAS NEVER HELD A PERMANENT JOB IN PHYSICS EVEN THOUGH HE SPECIALIZED IN POLYMERS ONE OF THE LEAST THEORETICAL BRANCHES OF THE FIELD IT WASN'T LIKE I DECIDED TO BE A POET HE SAYS SOME PHYSICISTS HAVE EXTENDED THEIR SCIENTIFIC LIVES BY SHIFTING INTO HOT AREAS OF RESEARCH JOHN QUACKENBUSH RECEIVED A PHD IN PARTICLE PHYSICS IN 1990 THEN WAS SHOCKED WHEN HE FOUND IT IMPOSSIBLE TO GAIN A YEARLONG POSTDOCTORATE FELLOWSHIP NO LESS THE TEACHING POSITION HE COVETS AFTER COBBLING TOGETHER VARIOUS GRANTS FOR A YEAR MR QUACKENBUSH BEGAN STUDYING MOLECULAR BIOLOGY ON A LARK LAST YEAR HE LANDED A FIVEYEAR POST FUNDED BY THE HUMAN GENOME PROJECT WHICH SOUGHT A HANDFUL OF RESEARCHERS FROM OTHER DISCIPLINES I'D LOVE TO BE DOING PHYSICS HE ADDS BUT I'M HAPPY TO HAVE THE PRIVILEGE OF DOING SCIENCE 9304140150 930414 WHO'S NEWS KAISER ALUMINUM CORP KAISER ALUMINUM CORP HOUSTON GEORGE T HAYMAKER JR 55 YEARS OLD WAS NAMED PRESIDENT AND CHIEF OPERATING OFFICER OF THIS MAKER OF ALUMINUM PRODUCTS SUCCEEDING A STEPHENS HUTCHCRAFT JR 62 WHO REMAINS CHAIRMAN AND CHIEF EXECUTIVE OFFICER A LONGTIME ALUMINUM INDUSTRY EXECUTIVE MR HAYMAKER HAS BEEN AN ENTREPRENEUR IN METALSRELATED BUSINESSES SINCE 1986 MAXXAM INC OWNS 827 OF KAISER ALUMINUM 9304140149 930414 WASHINGTON THRIFT POSTS NET SEATTLE WASHINGTON FEDERAL SAVINGS & LOAN ASSOCIATION POSTED A 12 NET INCOME GAIN FOR THE FISCAL SECOND QUARTER ENDED MARCH 31 FOR A 299 ANNUALIZED RETURN ON ASSETS THE THRIFT'S PROFIT OF 221 MILLION OR 61 CENTS PER SHARE COMPARES WITH 198 MILLION OR 54 CENTS PER SHARE A YEAR EARLIER WASHINGTON FEDERAL IS BENEFITING FROM A RELATIVELY WIDE 405 DIFFERENCE BETWEEN ITS LENDING RATES AND INTEREST COSTS COMPARED WITH INDUSTRY AVERAGES ITS OPERATING COSTS AND LOSSES FROM BAD LOANS ARE LOW 9304140148 930414 WHO'S NEWS WEYERHAEUSER CO WEYERHAEUSER CO TACOMA WASH GEORGE H WEYERHAEUSER JR WILL BECOME PRESIDENT AND CHIEF EXECUTIVE OFFICER OF WEYERHAEUSER CANADA LTD UPON THE RETIREMENT OF DAVID MCINNES LATER THIS YEAR IN THE INTERIM MR WEYERHAEUSER WILL SERVE AS EXECUTIVE VICE PRESIDENT OF THE VANCOUVER BRITISH COLUMBIA UNIT MR WEYERHAEUSER 39 YEARS OLD IS THE SON OF THE COMPANY'S CHAIRMAN AND A GREATGREAT GRANDSON OF ONE OF ITS FOUNDERS HE JOINED THE COMPANY IN 1978 AS A CONTRACT LOGGER ADMINISTRATOR 9304140147 930414 MARKETING & MEDIA CBS INC REPORTS NET ROSE SHARPLY IN FIRST QUARTER BY JAMES C HYATT STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK CBS INC REPORTED SHARP IMPROVEMENT IN FIRSTQUARTER NET INCOME AIDED BY A TURNAROUND AT ITS TELEVISION NETWORK AND COST CONTROLS NET WAS 542 MILLION OR 350 A SHARE A YEAR EARLIER CBS HAD A NET LOSS OF 64 MILLION OR 418 A SHARE WHICH INCLUDED A NONCASH CHARGE FOR ADOPTING NEW ACCOUNTING STANDARDS WITHOUT THE ACCOUNTING ITEM WHICH WAS 815 MILLION OR 532 A SHARE 1992 FIRSTQUARTER NET WAS 175 MILLION OR 114 A SHARE CBS SHARES ROSE 3 OR 7125 A SHARE TO CLOSE AT 237125 IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY THE COMPANY REPORTED OPERATING PROFIT MORE THAN TRIPLED TO 624 MILLION FROM 176 MILLION OVERALL SALES FELL 19 TO 8789 MILLION YEAREARLIER SALES WERE BOOSTED BY SPECIALEVENT BROADCASTS FOR THE WINTER OLYMPIC GAMES AND THE SUPER BOWL CBS CHAIRMAN AND CHIEF EXECUTIVE LAURENCE A TISCH NOTED THAT THE TELEVISION NETWORK REVERSED A YEAREARLIER LOSS AND HAS BEGUN TO CAPITALIZE BOTH ON ITS STATUS AS THE NATION'S TOPRATED TELEVISION NETWORK AND ON ITS EFFORTS TO CAREFULLY CONTAIN COSTS NETWORK SALES FELL 20 HE SAID ADVERTISING RATES INCREASED IN PRIMETIME DAYTIME AND CERTAIN NEWS PROGRAMMING NETWORK EARNINGS ALSO BENEFITED FROM MORE ENTERTAINMENT AND NEWS PROGRAMS AND FEWER SPECIALEVENT SPORTS PROGRAMS ALTHOUGH THE OLYMPICS AND SUPER BOWL BOOSTED RATINGS AND SALES THEY FAILED TO PROVIDE A FINANCIAL RETURN COMPARABLE TO REGULAR PRIMETIME PROGRAMMING DUE TO HIGH FEES AND OTHER SPORTS PROGRAMMING EXPENSES MR TISCH SAID THE REPORT NOTED THAT SALES AND PROFIT AT THE TELEVISION STATIONS DIVISION FELL SHARPLY DUE TO ABSENCE OF LOCAL AD SALES GENERATED A YEAR EARLIER BY THE SPECIAL SPORTS EVENTS IN THE LATEST QUARTER LOCAL TELEVISION ADVERTISING REMAINED WEAK IN THE IMPORTANT NEW YORK AND LOS ANGELES MARKETS CBS SAID ITS RADIO UNIT PROFIT ROSE IN THE QUARTER NET INTEREST INCOME MORE THAN TRIPLED TO 234 MILLION FROM 77 MILLION A YEAR EARLIER INCLUDING A GAIN OF 192 MILLION FROM SECURITIES SALES AT THE END OF THE QUARTER THE COMPANY HAD MORE THAN 1 BILLION IN CASH AND MARKETABLE SECURITIES ALTHOUGH THE COMPANY'S DEBT WAS ABOUT 900 MILLION AT THE END OF THE QUARTER CBS HAS CALLED FOR REDEMPTION MAY 4 OF 390 MILLION OF 5 CONVERTIBLE DEBENTURES AT MARCH 31 CBS HAD 155 MILLION AVERAGE COMMON SHARES OUTSTANDING INCLUDING 1950000 SHARES RESERVED FOR CONVERSION OF THE DEBENTURES 9304140146 930414 WHO'S NEWS COMMUNICATIONS SATELLITE CORP COMMUNICATIONS SATELLITE CORP WASHINGTON PAUL SCHRANTZ 56 YEARS OLD WAS NAMED TO THE NEW POST OF VICE PRESIDENT SATELLITE SYSTEMS AND CONSULTING IN THE TECHNOLOGY SERVICES UNIT OF THIS COMMUNICATIONS COMPANY MOST RECENTLY HE HAS BEEN ASSOCIATE DIRECTOR OF SATELLITE AND SYSTEMS TECHNOLOGIES 9304140145 930414 BUSINESS BRIEF HICKS MUSE & CO JACKSON PRODUCTS IS BOUGHT FROM A GROUP OF INVESTORS HICKS MUSE & CO DALLAS SAID IT ACQUIRED JACKSON PRODUCTS A MAKER OF INDUSTRIAL SAFETY EQUIPMENT FROM A GROUP OF INVESTORS FOR ABOUT 60 MILLION THE ACQUISITION REPRESENTS THE FINAL TRANSACTION IN HICKS MUSE'S FIRST INVESTMENT FUND THE PRIVATE INVESTMENT FIRM SAID THE FUND IS FULLY INVESTED AFTER 12 ACQUISITIONS AND OTHER TRANSACTIONS HAVING A TOTAL CAPITAL VALUE OF ABOUT 26 BILLION HICKS MUSE ALSO SAID THE FUNDING OF ITS SECOND EQUITY FUND TOTALING 500 MILLION IS NEARING COMPLETION JACKSON PRODUCTS IS BASED IN ST LOUIS AND HAD 1992 REVENUE OF ABOUT 37 MILLION HICKS MUSE WILL BE JOINED IN THE TRANSACTION BY MILLS & PARTNERS OF ST LOUIS A MANAGEMENT SERVICES FIRM THAT HAS WORKED WITH JACKSON PRODUCTS SINCE 1989 JAMES N MILLS CHAIRMAN OF MILLS & PARTNERS WILL SERVE AS CHAIRMAN OF JACKSON PRODUCTS HICKS MUSE & CO CLARIFYING AN EARLIER STATEMENT SAID IT IS NEARING THE CLOSING OF THE FIRST 200 MILLION OF WHAT IS INTENDED TO BE A 500 MILLION EQUITY INVESTMENT FUND IN AN ARTICLE YESTERDAY IT WAS STATED THAT THE INVESTMENT COMPANY WAS NEARING THE CLOSING OF THE ENTIRE 500 MILLION 9304140144 930414 OTC FOCUS NASDAQ COMPOSITE INDEX RISES 011 MIMICKING BOND MARKET FOR ENTIRE DAY BY CAITLIN MOLLISON STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK NASDAQ MARKET PRICES MIMICKED BOND MARKET MOVEMENT FOR THE ENTIRE SESSION FINALLY ENDING MARGINALLY HIGHER THE NASDAQ COMPOSITE INDEX ROSE 071 POINT OR 011 TO 67383 AFTER JUMPING AROUND IN THE AFTERNOON PRICES IN THE MORNING HAD CLIMBED STEADILY IN TANDEM WITH BONDS BUT AS THE CLOSING APPROACHED THE BOND MARKET LOST SOME LUSTER SUBDUING OVERTHECOUNTER GAINS BONDS INITIALLY SHOT HIGHER ON DISAPPOINTING MARCH RETAIL SALES DATA RELEASED YESTERDAY MORNING BUT THE TREASURY'S LONG BOND EDGED UP MORE THAN 1/8 POINT AFTER SHOWING GAINS OF AS MUCH AS 3/4 POINT DURING THE DAY THE YIELD IS NOW AT ABOUT 678 ADVANCERS OUTPACED DECLINERS 1539 ISSUES TO 1225 NASDAQ NATIONAL MARKET SYSTEM VOLUME WAS A HEFTY 218712800 SHARES UP FROM 178206100 SHARES YESTERDAY THE OTC MARKET WAS A MIXED BAG WITH BANK AND TRANSPORTATION STOCKS SHOWING CONTINUED STRENGTH THE TECHNOLOGY GROUP WAS MOSTLY LOWER LED BY DECLINES IN LEGENT AND INTEL LEGENT BASED IN VIENNA VA TUMBLED 6 3/8 TO 33 AFTER THE SOFTWARE COMPANY SAID IT EXPECTS FISCAL SECONDQUARTER NET INCOME OF ABOUT 184 MILLION OR 52 CENTS A SHARE ON REVENUE OF 102 MILLION LEGENT'S PROJECTIONS ARE ON THE LOW SIDE OF ANALYSTS' EXPECTATIONS INTEL OF SANTA CLARA CALIF ECLIPSED MONDAY'S 4 1/2POINT GAIN YESTERDAY DROPPING 4 7/8 TO 112 5/8 WITH PROFITTAKING THE ONLY CLEAR SELLING FACTOR TRADERS SAID MARKET PLAYERS SAID THE STOCK'S FAILURE TO TOP ITS HIGH OF 121 1/4 MONDAY FOLLOWING THE RELEASE OF STELLAR FIRSTQUARTER EARNINGS MIGHT ALSO HAVE PLAYED A ROLE HANCOCK INSTITUTIONAL EQUITY SERVICES DOWNGRADED THE COMPANY'S SHARES TO SELL FROM HOLD TOM CONNELL HEAD OF NASDAQ TRADING AT GRUNTAL & CO SAID INVESTORS REMAIN HESITANT BECAUSE OF CONCERN OVER CORPORATE PROFIT REPORTS THERE IS NERVOUSNESS IN THE MARKET HE SAID ANY FEAR OF DISAPPOINTING EARNINGS WILL CONTINUE TO AFFECT STOCKS TRADERS SAID BANK ISSUES REMAIN STRONG ON LOWER INTEREST RATES THESE STOCKS ARE UP AGAINST THE BETTER RATES SAID MARK DONAHOE MANAGING DIRECTOR OF INSTITUTIONAL TRADING AT PIPER JAFFRAY ALL I CAN SAY IS RATES BETTER NOT GO UP THE NASDAQ 100 A MEASURE OF THE OTC MARKET'S LARGEST NONFINANCIAL ISSUES FELL 627 POINTS OR 091 TO END AT 69174 HEALTH CARE ISSUES ACCOUNTED FOR PART OF THE DECLINE AS THE SECTOR ALSO TOOK A FAIRLY SEVERE BEATING HEALTH CARE CONTINUED TO DOG THE OTC MARKET AND THE GROUP ACTED SLOPPY TODAY MR DONAHOE SAID ST JUDE MEDICAL OF ST PAUL MINN PLUMMETED 3 3/8 TO 28 3/8 AFTER A FOOD AND DRUG ADMINISTRATION PANEL VOTED TO APPROVE CARBOMEDICS INC'S HEART VALVE WHICH IS SIMILAR TO ONE MADE BY ST JUDE THE LEADER IN THE HEART VALVE ARENA BUT THE FDA PANEL CRITICIZED A VALVE MADE BY SORIN BIOMEDICAL INC BIG BOARD ACTION ALSO MIRRORED THE BOND MARKET ALTHOUGH LARGER STOCKS WERE GIVEN A BOOST BY A BUY PROGRAM LATE IN THE SESSION THE DOW JONES INDUSTRIAL AVERAGE CLIMBED 1594 POINTS OR 046 TO CLOSE AT 344403 THE NEW YORK STOCK EXCHANGE COMPOSITE INDEX ROSE 094 POINT OR 038 TO 24785 AMONG INDIVIDUAL ISSUES FIRST EASTERN BASED IN WILKES BARRE PA GAINED 1 1/8 TO 19 3/8 AN ANALYST FOR ALEX BROWN & SONS INITIATED COVERAGE OF THE BANK HOLDING COMPANY'S SHARES WITH A BUY RATING FIRST INDIANA CORP ROSE 1 3/4 TO 20 3/4 BAYBANKS GAINED 1 3/8 TO 51 1/4 BOATMEN'S BANCSHARES ADDED 1 3/8 TO 64 1/4 MARSHALL & ILSLEY ROSE 3/4 TO 74 3/4 AND NATIONAL COMMUNITY BANKS SURGED 2 1/2 TO 57 1/2 STAR BANC ROSE 3/4 TO 38 1/2 THE CINCINNATI BANK HOLDING COMPANY REPORTED FIRSTQUARTER NET INCOME OF 84 CENTS A SHARE COMPARED WITH EARNINGS OF 59 CENTS A SHARE A YEAR EARLIER ALSO STAR BANC'S CHIEF EXECUTIVE OFFICER SEES STRONG PERSHARE EARNINGS GROWTH FOR THIS YEAR AND 1994 STATE STREET BOSTON HOWEVER FELL 1 1/4 TO 42 3/4 DESPITE POSTING NET INCOME OF 56 CENTS A SHARE FOR ITS FIRST QUARTER COMPARED WITH EARNINGS OF 48 CENTS A SHARE A YEAR EARLIER EQUITABLE OF IOWA ALSO BUCKED THE TREND AND LOST 1 TO 52 AS DID UNITED WISCONSIN SERVICES WHICH GAVE UP 2 TO END AT 24 THE NASDAQ TRANSPORTATION AVERAGE CLIMBED 676 POINTS OR 102 TO 66641 AMERICAN FREIGHTWAYS JUMPED 1 TO 28 1/2 AND MS CARRIERS GAINED 1 3/8 TO 22 7/8 TECHNOLOGY STOCKS FOR THE MOST PART SLIPPED ON THE BANANA PEELS LEFT BY LEGENT AND INTEL ORACLE SYSTEMS LOST 1 1/4 TO 34 1/2 BMC SOFTWARE TOPPLED 2 TO 46 AND DELL COMPUTER DROPPED 1 1/2 TO 31 5/8 GAINERS INCLUDED CISCO SYSTEMS UP 1 5/8 TO 45 3/8 AND ADOBE SYSTEMS WHICH ROSE 1 TO 43 1/2 ADOBE BASED IN MOUNTAIN VIEW CALIF SAID IT REACHED AGREEMENTS GIVING SONY CORP AND ESCHERGRAD LICENSING RIGHTS TO ITS POSTSCRIPT SOFTWARE THE COMPANY ALSO ANNOUNCED A LICENSING PACT WITH AVALANCHE DEVELOPMENT CO TO USE AVALANCHE TECHNOLOGY IN FUTURE ADOBE ACROBAT PRODUCTS ADOBE SAID IT WILL SHIP ITS ACROBAT ELECTRONICDOCUMENT SYSTEM BY THE END OF JUNE ON THE NEW YORK STOCK EXCHANGE SONY JUMPED 1 1/2 TO 43 3/4 THE SESSION'S MOST ACTIVELY TRADED STOCK TELECOMMUNICATIONS LOST 1/8 TO 18 7/8 THE ENGLEWOOD COLO PROVIDER OF CABLE TELEVISION SERVICES FILED A SHELF OFFERING FOR AS MUCH AS 3 BILLION FACE AMOUNT OF DEBT SECURITIES CLASS A COMMON STOCK AND WARRANTS FOR CLASS A COMMON STOCK 9304140143 930414 WHO'S NEWS MACROCHEM CORP MACROCHEM CORP LEXINGTON MASS RICHARD DAVID GLASER 50 YEARS OLD WAS NAMED TO THE NEW POSITION OF CHIEF OPERATING OFFICER OF THIS DRUG COMPANY HE WAS PREVIOUSLY A PRINCIPAL OF RDG & ASSOCIATES A CLOSELY HELD WEST REDDING CONN BIOTECHNOLOGY CONSULTING COMPANY MACROCHEM ALSO ELECTED WILLARD B BRIGHT 78 A DIRECTOR SUCCEEDING GEORGE STEVENS WHO RETIRED MR BRIGHT IS CHAIRMAN OF ZOLL MEDICAL CORP 9304140142 930414 INTERNATIONAL TRIAL OF FORMER SOVIET OFFICIALS ACCUSED IN 1991 COUP ATTEMPT SET TO OPEN TODAY BY LAURIE HAYS AND NEELA BANERJEE STAFF REPORTERS OF THE WALL STREET JOURNAL MOSCOW THE LONGAWAITED TRIAL BEGINS TODAY OF 12 FORMER SOVIET OFFICIALS ACCUSED OF ATTEMPTING IN AUGUST 1991 TO OVERTHROW THEN SOVIET PRESIDENT MIKHAIL GORBACHEV THE THREEDAY COUP ATTEMPT LED SEVERAL MONTHS LATER TO THE COLLAPSE OF THE SOVIET UNION AND RUSSIAN PRESIDENT BORIS YELTSIN'S OPPOSITION TO THE COUP MADE HIM A HERO BUT NOW MR YELTSIN'S SUPPORTERS WORRY THAT THE TRIAL COULD AFFECT HIS CHANCES IN THE APRIL 25 REFERENDUM ON HIS PRESIDENCY MR YELTSIN WOULD PREFER TO HAVE THE TRIAL AFTER THE REFERENDUM SAYS VICTOR KREMINUK DEPUTY DIRECTOR OF THE USACANADA INSTITUTE THINK TANK AFTER A 17MONTH INVESTIGATION THE DEFENDANTS ARE CHARGED WITH BETRAYAL OF THE MOTHERLAND WHICH UNDER RUSSIAN CRIMINAL LAW UNCHANGED FROM SOVIET TIMES IS STILL THE USSR THE MAXIMUM PUNISHMENT FOR THE CRIME IS DEATH THE DEFENDANTS INCLUDE GENNADI YANAYEV THE FORMER SOVIET VICE PRESIDENT VALENTIN PAVLOV FORMER SOVIET PRIME MINISTER DMITRY YAZOV FORMER SOVIET DEFENSE MINISTER AND VLADIMIR KRYUCHKOV THE FORMER KGB CHIEF THE EIGHT OTHERS WERE ALSO MEMBERS OF THE FORMER SOVIET GOVERNMENT AND AIDES TO MR GORBACHEV IN THE PAST FEW MONTHS THE DEFENDANTS HAVE ALL BEEN LET OUT OF JAIL AND HAVE BEEN ACTIVE AND VOCAL IN CALLING FOR THE OVERTHROW OF MR YELTSIN ORGANIZING PROCOMMUNIST RALLIES AND GIVING NEWSPAPER INTERVIEWS THE TRIAL WILL BE HELD BEFORE A THREEJUDGE MILITARY TRIBUNAL PROSECUTORS WILL ATTEMPT TO SHOW THAT THE COUP WAS AN ATTEMPT TO REMOVE MR GORBACHEV FROM POWER AND RESTORE AUTHORITARIAN RULE THE COUP PLOTTERS' MAIN DEFENSE ACCORDING TO INTERVIEWS IN THE RUSSIAN PRESS IS THAT THEY WERE TRYING TO SAVE THE SOVIET UNION ALTHOUGH THEY MIGHTN'T HAVE BEEN ACTING IN THE BEST INTERESTS OF MR GORBACHEV THEY SAY THEY HAD ONLY THE FUTURE OF THE MOTHERLAND AT HEART SOME HAVE EVEN DENIED THAT THERE WAS A COUP THEY CLAIM MR GORBACHEV KNEW ALL ALONG OF THE EMERGENCY COMMITTEE PLANS AND DID NOTHING TO STOP THEM THESE MEN OBVIOUSLY DIDN'T WANT TO BETRAY THE OLD STRUCTURE THEY WANTED TO KEEP IT ALEXANDER KLIGMAN AN ATTORNEY FOR TWO OF THE CHARGED PLOTTERS SAID IN A RECENT INTERVIEW MR KLIGMAN AND OTHER ATTORNEYS SAY THEY WILL START OFF THE TRIAL BY ASKING THE RUSSIAN PROSECUTOR VALENTIN STEPANKOV TO RECUSE HIMSELF FROM TRYING THE CASE MR STEPANKOV LAST YEAR PUBLISHED A BOOK ON THE CASE CALLED KREMLIN CONSPIRACY BASED ON THE INVESTIGATION THAT HE AND HIS OFFICE HAD CONDUCTED MR KLIGMAN SAYS THE BOOK DISQUALIFIES MR STEPANKOV BECAUSE IT PUBLICIZED HIS POINT OF VIEW AND EARNED HIM MONEY MR STEPANKOV DEFENDS THE BOOK SAYING THE PROSECUTOR'S OFFICE HAD ALREADY MADE ITS POINT OF VIEW CLEAR HE SAID FUNDS HE RECEIVED FROM THE BOOK WILL BE USED FOR AN ANTIMAFIA FUND MR KLIGMAN SAYS THE TRIAL COULD BE SLOWED BY THE FAILING HEALTH OF MANY OF THE DEFENDANTS THEY ARE LIKELY TO ASK FOR SHORTENED DAYS IN THE COURTROOM FOREIGN JOURNALISTS ARE BANNED FROM THE TRIAL AND PASSES HAVE BEEN ALLOCATED TO ONLY A FEW RUSSIAN NEWSPEOPLE A POLL OF MUSCOVITES BY THE MNENIYE INDEPENDENT SOCIOLOGICAL SERVICE SHOWED THEM TO BE SPLIT ON WHETHER TO PUNISH THE ALLEGED PLOTTERS FORTYTWO PERCENT BELIEVE THE TRIAL IS NECESSARY WHILE 34 SAID THE DEFENDANTS SHOULD BE PARDONED AN ACQUITTAL WOULD BOLSTER COMMUNIST PARTY OPPONENTS OF MR YELTSIN FOR MR YELTSIN THE MOST DANGEROUS PROSPECT IS THAT THE TRIAL WILL CONFIRM THE GROWING SENTIMENT THAT THE COUP LEADERS WERE RIGHT MANY SEE THAT WHAT THEY THE DEFENDANTS HAVE SAID HAS COME TRUE SAYS ALEXANDER GOLOVYENKO SPECIAL CORRESPONDENT FOR THE COMMUNIST NEWSPAPER PRAVDA THE SOVIET UNION HAS FALLEN APART OUR STANDARD OF LIVING HAS GOTTEN SUBSTANTIALLY WORSE EVERYTHING THEY PREDICTED HAS HAPPENED 9304140141 930414 INTERNATIONAL JAPAN'S STIMULUS PACKAGE DRAWS MUTED PRAISE FROM US OFFICIALS SOME ANALYSTS SAY TOKYO OVERSTATES PLAN'S SIZE AS WELL AS ITS IMPACT BY CLAY CHANDLER AND JOHN BUSSEY STAFF REPORTERS OF THE WALL STREET JOURNAL TOKYO JAPAN'S ANNOUNCEMENT OF A BIG ECONOMIC STIMULUS PACKAGE THE LARGEST IN THE NATION'S HISTORY DREW A MUTED RESPONSE FROM AN AUDIENCE TOKYO BADLY WANTED TO IMPRESS THE US GOVERNMENT INVESTORS CHEERED THE PROGRAM VALUED AT 132 TRILLION YEN 1164 BILLION AND PUSHED TOKYO STOCKS TO THEIR HIGHEST LEVEL THIS YEAR MANY ECONOMISTS INCLUDING A FEW FORMER SKEPTICS ALSO WERE IMPRESSED BUT US TREASURY SECRETARY LLOYD BENTSEN AND SECRETARY OF STATE WARREN CHRISTOPHER WHO ARRIVED IN TOKYO FOR TALKS ON AID TO RUSSIA MEASURED OUT THEIR PRAISE IN TEASPOONS THE AMERICANS DEMURRED WHEN ASKED TO EVALUATE THE PROGRAM'S DETAILS CRITICS IN THE US GOVERNMENT HAVE BEEN WORRIED FOR WEEKS THAT THE PACKAGE WON'T INCLUDE ENOUGH NEW SPENDING AND THAT THE JAPANESE HAVE OVERSTATED ITS POTENTIAL IMPACT MR BENTSEN AT A NEWS CONFERENCE EMPHASIZED THAT THE US EXPECTS A LOT FROM JAPAN TOKYO IS IN A VERY FORTUNATE POSITION TO DO A GREAT DEAL TO BOLSTER THE GROWTH OF ITS ECONOMY WITH NEW PUBLIC SPENDING BECAUSE OF THE SURPLUS IN THEIR BUDGET HE SAID MR CHRISTOPHER IN A MEETING WITH JAPAN'S NEW FOREIGN MINISTER KABUN MUTO CHARACTERIZED THE PROGRAM AS A USEFUL FIRST STEP TOWARD REVIVING JAPAN'S FALTERING ECONOMY BUT STRESSED JAPAN NEEDS SEVERAL YEARS OF SUSTAINED ECONOMIC GROWTH TO HELP THE WORLD ECONOMY ACCORDING TO A SENIOR US OFFICIAL PRODDING TOKYO TO STIMULATE DOMESTIC DEMAND IS A CENTERPIECE OF THE CLINTON ADMINISTRATION'S EFFORT TO CURB JAPAN'S SWOLLEN TRADE SURPLUS WASHINGTON HOPES THAT A MORE VIGOROUS JAPANESE ECONOMY WILL SOAK UP MORE IMPORTS JAPANESE OFFICIALS INSISTED THAT THE GOVERNMENT IS DOING PLENTY TO BOOST DEMAND THE FINANCE MINISTRY SAID THE NEW STIMULUS PACKAGE WILL LIFT ITS GROSS NATIONAL PRODUCT IN THE COMING YEAR 26 ENABLING JAPAN TO MEET ITS FORECAST FOR 33 GROWTH IN THE CURRENT FISCAL YEAR WHICH ENDS NEXT MARCH 31 GNP IS THE TOTAL VALUE OF GOODS AND SERVICES PRODUCED IN A YEAR BUT FEW PRIVATE ECONOMISTS ACCEPTED THOSE CLAIMS THE GOVERNMENT'S ACCOUNTING METHODS ARE RIDDLED WITH DUBIOUS ECONOMIC NOTIONS ABOUT DEMAND CREATION SAID NOBORU KAWAI CHIEF ECONOMIST AT MORGAN STANLEY JAPAN LTD TICKING OFF A LONG LIST OF ITEMS INCLUDED IN THE PACKAGE BUT NOT GENERALLY CONSIDERED BY WESTERN ECONOMISTS TO BE FISCAL STIMULUS BY MR KAWAI'S CALCULATION THE PACKAGE CONTAINS ONLY ABOUT FIVE TRILLION YEN IN TRULY NEW SPENDING AS A RESULT HE PREDICTS JAPAN'S ECONOMY WILL GROW ONLY 14 OR SO IN THE CURRENT FISCAL YEAR OTHER ANALYSTS WERE MORE POSITIVE ROBERT FELDMAN ECONOMIST AT SALOMON BROTHERS ASIA LTD SAID THE PLAN CONTAINS REAL SPENDING OF 83 TRILLION YEN AND HE EXPECTS JAPAN'S ECONOMY TO GROW 3 THIS FISCAL YEAR TOTAL NONSENSE HE SAID OF CRITICISM THAT THE PACKAGE ISN'T BIG ENOUGH NO MATTER HOW YOU ADD THINGS UP THIS IS STILL A BIG NUMBER THE CONSENSUS ESTIMATE AMONG ECONOMISTS IN TOKYO FOR THE PACKAGE'S REAL SPENDING APPEARS TO BE AROUND SIX TRILLION YEN GROWTH FORECASTS FOR THIS FISCAL YEAR RANGE FROM ZERO TO 3 THE HEART OF THE STIMULUS PLAN IS A PROPOSAL TO INCREASE PUBLIC WORKS SPENDING BY 106 TRILLION YEN BUT INFORMATION PROVIDED BY THE GOVERNMENT OFFERED LITTLE EXPLANATION OF HOW THAT MONEY WILL BE ALLOCATED PRESUMABLY MOST OF THE MONEY WILL GO FOR ROADS BRIDGES AND OTHER TRADITIONAL FORMS OF INFRASTRUCTURE BUT A BIG CHUNK IS ALSO LIKELY TO BE SPENT ON PURCHASING LAND WHICH DOES LITTLE TO BOOST GNP THE PACKAGE ALSO INCLUDES AN INCREASE OF MORE THAN FOUR TRILLION YEN IN THE AMOUNT BUSINESSES AND NEW HOMEOWNERS CAN BORROW AT BELOWMARKET RATES FROM GOVERNMENTAFFILIATED LENDERS MOST PRIVATE ECONOMISTS SAY ONLY A FRACTION OF SUCH SPENDING CAN BE CALLED NEW DEMAND WHAT'S MORE SOME ECONOMISTS SAY THE GOVERNMENT'S FISCAL 1993 BUDGET THE BASE TO WHICH THE PACKAGE WAS ADDED WAS TOO SMALL TO BEGIN WITH JAPAN'S FISCAL POLICY THEY ARGUE NEEDED YESTERDAY'S PACKAGE JUST TO KEEP FROM BEING CONTRACTIONARY THERE HAS BEEN MUCH TALK IN RECENT WEEKS OF INCREASED GOVERNMENT SPENDING ON SOCALLED NEW SOCIAL CAPITAL NONTRADITIONAL PUBLIC WORKS ITEMS SUCH AS THE COMPUTERS FOR PUBLIC SCHOOLS AND MEDICAL EQUIPMENT FOR PUBLIC HOSPITALS BUT THE FINANCE MINISTRY PROVIDED NO DETAILS FOR SPENDING IN THOSE AREAS US COMPANIES ARE COMPETITIVE IN MANY OF THOSE AREAS AND SEVERAL HAVE SAID THEY EXPECT TO WIN A SUBSTANTIAL SHARE OF THOSE CONTRACTS BUT TOKYO SAYS IT OPPOSES SETTING QUOTAS FOR US COMPANIES COMPETING FOR PUBLIC CONTRACTS CRITICS OF THE PACKAGE INCLUDING MANY OF JAPAN'S BUSINESS LEADERS EXPRESSED DISMAY THAT THE PACKAGE DIDN'T CONTAIN SIGNIFICANT INCOMETAX REDUCTIONS 9304140140 930414 BUSINESS BRIEF PUBLIC SERVICE ENTERPRISE GROUP ELECTRIC AND GAS UTILITY UNIT TO CUT 4 OF WORK FORCE PUBLIC SERVICE ELECTRIC & GAS CO SAID IT PLANS TO CUT 500 POSITIONS OR ABOUT 4 OF ITS WORK FORCE BY FEBRUARY TO SAVE ABOUT 20 MILLION A YEAR THE ELECTRIC AND GAS UTILITY A UNIT OF PUBLIC SERVICE ENTERPRISE GROUP INC SAID THE MOVE IS PART OF AN EFFORT TO REDUCE COSTS TO REMAIN NEW JERSEY'S LOWESTCOST SUPPLIER OF ELECTRICITY AND NATURAL GAS THE NEWARK COMPANY EXPECTS MANY OF THE JOB CUTS WILL COME FROM ATTRITION BECAUSE PSE&G WILL REQUIRE THOSE RETIRING AFTER DEC 31 TO PAY A PORTION OF THEIR HEALTH INSURANCE A SPOKESMAN SAID THE COMPANY EXPECTS THAT MORE THAN THE TYPICAL 350 EMPLOYEES WILL RETIRE THIS YEAR HE SAID THE COMPANY WILL TRY TO REASSIGN AND RETRAIN MANY OF THOSE WHOSE POSITIONS ARE CUT 9304140139 930414 WHO'S NEWS VALASSIS COMMUNICATIONS INC VALASSIS COMMUNICATIONS INC LIVONIA MICH ERIC C STROBEL WHO AT THE BEGINNING OF THE YEAR WAS APPOINTED EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER RESIGNED FROM HIS POSTS THIS PUBLISHER OF NEWSPAPER INSERTS AND COUPONS DOESN'T INTEND TO NAME A NEW CHIEF OPERATING OFFICER AND WILL INSTEAD RELY ON ITS SENIOR MANAGERS TO FILL THAT ROLE 9304140138 930414 WHO'S NEWS BANC ONE CORP NAMES TWO OFFICIALS TO HEAD NEW REAL ESTATE GROUP COLUMBUS OHIO BANC ONE CORP SAID IT HIRED A PAIR OF FORMER REAL ESTATE DEVELOPERS TO HEAD A NEW GROUP TO HANDLE INVESTMENT AND MERCHANT BANKING FOR COMMERCIAL REAL ESTATE INVESTORS THE BANK HOLDING COMPANY SAID IT HIRED JAMES V PICKETT 51 YEARS OLD AN OHIO DEVELOPER BUILDER AND REAL ESTATE MANAGER AS MANAGING DIRECTOR OF THE REAL ESTATE INVESTMENT GROUP RONALD L CALLENTINE 47 FORMERLY PRESIDENT AND CHIEF OPERATING OFFICER OF PICKETT COS WAS NAMED SENIOR VICE PRESIDENT OF THE GROUP BANC ONE SAID THE OPERATION PART OF ITS BANC ONE CAPITAL CORP UNIT WILL ARRANGE REAL ESTATE INVESTMENTS FOR THIRDPARTY INVESTORS RATHER THAN INVESTING THE BANK'S FUNDS MANY BANKS HAVE BEEN AVOIDING REAL ESTATE AFTER THE REAL ESTATE LENDING DEBACLES OF THE 1980S BUT BANC ONE WAS RELATIVELY UNSCATHED BY BAD REAL ESTATE LOANS AND ANALYSTS ARE SANGUINE ABOUT BANC ONE'S MOVE BANC ONE HAS A KNACK FOR MAKING MONEY IN AREAS THAT OTHER BANKS ARE LEAVING ALONE SAID DENNIS SHEA AN ANALYST AT MORGAN STANLEY & CO 9304140137 930414 MARKETING & MEDIA NEW YORK TIMES POSTS PROFIT FOR 1ST QUARTER AMID WEAK ECONOMY NEW YORK NEW YORK TIMES CO REVERSED A YEAREARLIER ACCOUNTINGRELATED LOSS BUT SAID THE WEAK NEW YORK AREA ECONOMY IS STILL AFFECTING RESULTS THE PUBLISHING AND MEDIA COMPANY SAID FIRSTQUARTER NET INCOME WAS 109 MILLION OR 14 CENTS A SHARE COMPARED WITH A YEAREARLIER LOSS OF 20 MILLION OR 26 CENTS A SHARE HOWEVER EXCLUDING THE YEAREARLIER ACCOUNTING ADJUSTMENT OF 334 MILLION OR 43 CENTS A SHARE EARNINGS FELL 19 FROM THE YEAR EARLIER 134 MILLION OR 17 CENTS A SHARE REVENUE ROSE 43 TO 4545 MILLION FROM 4359 MILLION A YEAR EARLIER THE COMPANY SAID THE MARCH SNOWSTORM COST THE COMPANY 37 MILLION OR TWO CENTS A SHARE BEFORE TAXES DUE TO CERTAIN ADVERTISING AND CIRCULATION RATE ADJUSTMENTS AT ITS FLAGSHIP NEW YORK TIMES PUBLICATION THE NEWSPAPER GROUP OPERATING PROFIT FELL TO 286 MILLION FROM 327 MILLION ALTHOUGH EXCLUDING ONETIME ITEMS OPERATING PROFIT WOULD HAVE RISEN SLIGHTLY ADVERTISING LINAGE AT THE NEW YORK TIMES FELL 48 TO 177 MILLION LINES IN THE QUARTER REFLECTING CONTINUED WEAKNESS IN THE REGIONAL ECONOMY HOWEVER AVERAGE CIRCULATION FOR THE SIX MONTHS ENDED MARCH 31 REACHED A RECORD 1229100 COPIES UP 32900 COPIES FROM A YEAR EARLIER SUNDAY CIRCULATION ROSE 39500 COPIES TO 1812500 MAGAZINE GROUP OPERATING PROFIT ROSE TO 32 MILLION FROM 17 MILLION A YEAR EARLIER DUE TO HIGHER ADVERTISING RATES AND TIMING OF PROMOTION EXPENSES OPERATING PROFIT ROSE AT THE BROADCASTING/INFORMATION SERVICES GROUP TO 36 MILLION FROM 28 MILLION A YEAR EARLIER DUE TO HIGHER LOCAL ADVERTISING REVENUES AT TELEVISION STATIONS CORPORATE EXPENSES ROSE TO 44 MILLION FROM 23 MILLION A YEAR EARLIER IN PART DUE TO A 1992 PRETAX GAIN OF 16 MILLION FROM SALE OF A CORPORATE ASSET 9304140136 930414 WHO'S NEWS EL PASO NATURAL GAS CO EL PASO NATURAL GAS CO EL PASO TEXAS TWO NEW DIRECTORS WERE NAMED INCREASING THE BOARD'S MEMBERSHIP TO SEVEN NAMED WERE EUGENIO GARZA LAGUERA 69 YEARS OLD CHAIRMAN OF VALORES INDUSTRIALES SA A MEXICAN HOLDING COMPANY PRINCIPALLY IN BEER AND SOFT DRINK BOTTLING AND DISTRIBUTION AND LUINO DELL'OSSO JR 53 EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER OF EL PASO NATURAL GAS 9304140135 930414 WHO'S NEWS ROHR NAMES PARKER HANNIFIN VETERAN ROBERT H RAU TO PRESIDENT CEO POSTS BY RHONDA L RUNDLE STAFF REPORTER OF THE WALL STREET JOURNAL ROBERT H RAU WAS ELECTED PRESIDENT CHIEF EXECUTIVE OFFICER AND A DIRECTOR OF ROHR INC AN AIRCRAFTPARTS MAKER WITH LARGELY THE SAME CUSTOMERS AS THOSE OF THE PARKER HANNIFIN CORP UNIT MR RAU HAS HEADED THE EXECUTIVE 56 YEARS OLD SUCCEEDS ROBERT H GOLDSMITH AS ROHR CHIEF EXECUTIVE OFFICER MR GOLDSMITH 62 TOOK EARLY RETIREMENT FROM THE CHULA VISTA CALIF COMPANY IN JANUARY THE PRESIDENT POST HAD BEEN VACANT SINCE 1990 MR RAU A 23YEAR VETERAN OF PARKER HANNIFIN IS AN EXECUTIVE VICE PRESIDENT OF THE CLEVELAND COMPANY AND PRESIDENT OF ITS AEROSPACE GROUP HIS RESIGNATION TAKES EFFECT ON FRIDAY AND HE PICKS UP HIS NEW DUTIES AT ROHR ON MONDAY A PARKER HANNIFIN SPOKESMAN SAID THE COMPANY HAS BEGUN A SEARCH FOR A REPLACEMENT FOR MR RAU BOB HAS BEEN RUNNING A MAJOR OPERATION WITH A LITTLE OVER 660 MILLION IN SALES AND PROVEN PROFITABILITY SAID JAMES J KERLEY A ROHR DIRECTOR WHO WAS NAMED INTERIM CHAIRMAN AND CHIEF EXECUTIVE AFTER MR GOLDSMITH'S RETIREMENT MR RAU IS KNOWN AS A STRAIGHT SHOOTER AND WILL IMPROVE OUR ABILITY TO INTERFACE WITH OUR CUSTOMERS MR KERLEY SAID CUSTOMERS OF BOTH ROHR AND PARKER'S AEROSPACE GROUP INCLUDE SUCH MAJOR COMMERCIAL AIRLINE AND ENGINE COMPANIES AS BOEING CO MCDONNELL DOUGLAS CORP PRATT & WHITNEY CO A UNIT OF UNITED TECHNOLOGIES CORP GENERAL ELECTRIC CO AND AIRBUS INDUSTRIE THE EUROPEAN JET CONSORTIUM THE PARKER UNIT PRODUCES A BROAD LINE OF AIRCRAFT SYSTEMS AND COMPONENTS ROHR HAS A BIG CHUNK OF THE WORLDWIDE MARKET FOR NACELLES THE HOUSINGS FOR JET ENGINES ROHR IS FACING THE SAME CHALLENGES AS OTHER COMPANIES HURT BY A SHARP DOWNTURN IN THE COMMERCIAL AIRCRAFT BUSINESS ROHR ANNOUNCED LATE LAST YEAR THAT IT PLANS TO CUT 2000 JOBS OVER THE NEXT TWO TO THREE YEARS DUE TO ORDER CUTBACKS THE REALITY IS THAT WE HAVE TO GET THE BUSINESS SIDE DOWN TO MATCH THE MARKET MR RAU SAID BUT I'M VERY OPTIMISTIC ABOUT THE INDUSTRY'S LONGTERM PROSPECTS ALTHOUGH ROHR HAS SAID IT ISN'T SEEKING A BUYER MR RAU JOINS THE COMPANY AT A TIME OF INDUSTRY CONSOLIDATION AND LATE LAST YEAR A GROUP OF PARTNERS THAT INCLUDED WASHINGTON DC INVESTMENT FIRM CARLYLE GROUP REPORTEDLY PROPOSED AN EQUITY INFUSION THAT ROHR REJECTED WE HAVE HAD NO OFFER FROM THE CARLYLE GROUP OR ANYONE ELSE MR KERLEY SAID YESTERDAY HE ACKNOWLEDGED A BRIEF TELEPHONE CONVERSATION SEVERAL WEEKS AGO WITH A CARLYLE PRINCIPAL MORE OR LESS ABOUT THE WEATHER AND PROGRESS IN THE EXECUTIVE SEARCH MR RAU SAID HE WASN'T AWARE OF ANY ACQUISITION OFFERS AND DOESN'T ANTICIPATE ANY BUT IF IT WERE IN THE BEST LONGTERM INTEREST OF SHAREHOLDERS TO GO INTO SOME KIND OF PARTNERSHIP OR DIFFERENT STRUCTURE I WOULD BE OBLIGATED TO LISTEN ROHR ALSO NAMED MR KERLEY 70 TO THE ADDITIONAL POST OF CHIEF FINANCIAL OFFICER PENDING COMPLETION OF A SEARCH TO FILL THE POST WHICH HAS BEEN VACANT SINCE OCTOBER AFTER MR RAU SELECTS A PERMANENT FINANCIAL OFFICER MR KERLEY WILL CONTINUE AS CHAIRMAN UNTIL HIS RETIREMENT PLANNED IN DECEMBER 1994 THE COMPANY SAID MR RAU'S APPOINTMENT TO THE BOARD INCREASES ITS SIZE TO 12 9304140134 930414 TECHNOLOGY COMPAQ MICROSOFT ENTER PACT AIMED AT TAKING THE HASSLE OUT OF USING PCS BY KYLE POPE STAFF REPORTER OF THE WALL STREET JOURNAL COMPAQ COMPUTER CORP AND MICROSOFT CORP OUTLINING A BROAD NEW TECHNOLOGYSHARING AGREEMENT SAID THEY PLAN TO FOCUS ON WAYS TO MAKE PERSONAL COMPUTERS EASIER TO USE AND INSTALL THE TWO TECHNOLOGY GIANTS SAID THE ALLIANCE ESSENTIALLY AN EXTENSION OF AN INFORMAL PARTNERSHIP DATING BACK TO THE MID1980S COULD RESULT IN NEW PRODUCTS AS EARLY AS THIS FALL AS REPORTED LAST WEEK COMPAQ AND MICROSOFT PLAN TO WORK TOGETHER IN DEVELOPING PENBASED COMPUTERS AND MOBILE PCS BOTH PROMISING AREAS OF TECHNOLOGY THAT HAVE BEEN SLOW TO EVOLVE INTO COMMERCIAL PRODUCTS BEYOND THAT THE TWO COMPANIES SAID THEY ALSO WOULD FOCUS ON PLUG AND PLAY COMPUTER SYSTEMS DESIGNED TO TAKE SOME OF THE COMPLEXITY OUT OF USING A PC OUR GOAL HERE IS TO TURN THE PC INTO AN APPLIANCE SO YOU CAN PLUG IT IN AND IT WORKS SAID WILLIAM GATES CHAIRMAN OF MICROSOFT WHILE MANY ANALYSTS WELCOMED THE NOTION OF A COMPAQMICROSOFT ALLIANCE INVESTORS WEREN'T AS IMPRESSED SHARES OF BOTH COMPANIES FELL IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE COMPAQ DROPPED 1375 TO CLOSE AT 50875 ON VOLUME OF 13 MILLION SHARES MICROSOFT FELL 125 TO CLOSE AT 88875 AS 17 MILLION SHARES CHANGED HANDS IN NATIONAL OVERTHECOUNTER TRADING UNDER MR GATES'S SCENARIO CONSUMERS WOULD BE ABLE TO TAKE A NEW COMPUTER OUT OF ITS BOX AND USE IT IMMEDIATELY WITHOUT THE HASSLES OF LOADING SOFTWARE OR INSTALLING EXTRA PARTS IN ADDITION USERS WHO WANT TO UPGRADE THEIR SYSTEMS WITH SAY A CDROM DRIVE FOR MULTIMEDIA COMPUTING OR EXTRA MEMORY CAPACITY FOR MORE POWERFUL PROGRAMS WOULD BE ABLE TO DO THAT WITHOUT HAVING TO TINKER WITH THE GUTS OF THE MACHINE ANALYSTS SAY SUCH EASEOFUSE FEATURES HAVE LONG BEEN A HALLMARK OF APPLE COMPUTER INC'S MACINTOSH LINE BUT HAVE BEEN SLOW TO CATCH ON IN THE LARGER WORLD OF IBMCOMPATIBLE PCS USERS HAVE THE ATTENTION SPAN OF A TSETSE FLY WHEN IT COMES TO INSTALLING GEAR SAID CHERYL CURRID A HOUSTONBASED COMPUTER CONSULTANT PEOPLE BASICALLY WANT A PC THAT'S LIKE A TOASTER THEY DON'T WANT TO FOOL AROUND THOUGH NEITHER MR GATES NOR ECKHARD PFEIFFER COMPAQ'S CHIEF EXECUTIVE OFFICER WOULD SAY WHEN PLUGANDPLAY PRODUCTS WOULD BE INTRODUCED THEY SAID THE JOINT WORK BETWEEN THEM INVOLVES HUNDREDS OF PEOPLE NO MARKETING OR DEVELOPMENT BUDGET FOR THE ALLIANCE WAS DISCLOSED THIS IS THE MOST SIGNIFICANT AGREEMENT WE'VE EVER HAD WITH EACH OTHER SAID MR PFEIFFER NOTING THAT COMPAQ HAS BEEN WORKING CLOSELY WITH MICROSOFT SINCE THE HOUSTON COMPUTER COMPANY UNVEILED ITS FIRST 386 COMPUTER IN 1986 MANY ANALYSTS SAID THEY WEREN'T PERSUADED THAT THE ALLIANCE WOULD HAVE MUCH OF AN IMMEDIATE IMPACT THEY NOTED THAT COMPUTER MAKERS HAVE FOR YEARS WORKED TOWARD SIMPLIFYING THEIR SYSTEMS BUT HAVE BEEN STYMIED BY THE HIGHER COSTS OF THOSE PROGRAMS DURING A PROTRACTED INDUSTRY PRICE WAR IT DOESN'T APPEAR THAT THERE'S A LOT OF MEAT HERE YET SAID STEVEN L ESKENAZI AN ANALYST AT ALEX BROWN & SONS INC IN NEW YORK I GUESS THIS IS A HINT OF BIGGER THINGS TO COME 9304140133 930414 MERRILL'S PROFIT SURGE SURPRISES WALL STREET BY MICHAEL SICONOLFI STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK MERRILL LYNCH & CO POSTED RECORD FIRSTQUARTER NET INCOME OF 3424 MILLION TRIGGERING A RALLY IN BROKERAGE STOCKS AND RAISING HOPES OF ANOTHER BLOCKBUSTER PROFIT YEAR ON WALL STREET MERRILL THE NATION'S BIGGEST BROKERAGE FIRM EARNED 302 A SHARE FOR THE QUARTER FAR EXCEEDING THE ANALYSTS' CONSENSUS EXPECTATION OF 211 TRACKED BY ZACKS INVESTMENT RESEARCH INC PROFITS WERE 57 HIGHER THAN THE 2175 MILLION OR 186 A SHARE IT EARNED IN 1992'S FIRST QUARTER MERRILL'S ROBUST RESULTS SHOW THAT THE FIRM IS A UNIQUE BEAST WITH A STRONGHOLD ON MANY PARTS OF THE SECURITIES BUSINESS SAID WILLIAM L HARTMAN A BROKERAGE ANALYST AT JP MORGAN SECURITIES INC MERRILL IS A POWERFUL FRANCHISE THAT'S BECOMING INCREASINGLY RECOGNIZED THE HEFTY EARNINGS SUGGEST THAT WALL STREET SECURITIES FIRMS ARE LIKELY TO REPORT RECORD PRETAX PROFITS OF MORE THAN 2 BILLION FOR THE FIRST QUARTER AFTER EIGHT CONSECUTIVE QUARTERS OF STRONG EARNINGS ANALYSTS SAY THE SECURITIES BROKERS GROUP OF THE DOW JONES EQUITY MARKET INDEX SOARED 42 YESTERDAY MAKING IT THE LEADING INDUSTRY GROUP PERFORMER AND BRINGING THE BROKERAGE GROUP'S RISE IN 1993 TO 164 MERRILL HAS ESTABLISHED AN UNUSUALLY POWERFUL POSITION ON WALL STREET BECAUSE OF ITS EQUALLY STRONG FRANCHISES IN TRADING INVESTMENT BANKING AND SERVING INDIVIDUAL INVESTORS IN TURN THESE BUSINESS HAVE BEEN BUOYED BY A COMBINATION OF LOW INTEREST RATES A CONTINUED BOOM IN TRADING BY INDIVIDUAL INVESTORS AND RECORD STOCK AND BOND ISSUANCE BY US CORPORATIONS MERRILL SET QUARTERLY RECORDS IN TRADING COMMISSIONS INVESTMENT BANKING ASSETMANAGEMENT FEES AND TRADING USING THE FIRM'S OWN CASH ALL WHILE KEEPING EXPENSES IN CHECK MERRILL'S STOCK SURGED 5125 A SHARE OR 72 YESTERDAY TO A 52WEEKHIGH OF 76625 A SHARE IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING BROKERAGE ANALYSTS SCRAMBLED TO BOOST THEIR EXPECTATIONS AMID MERRILL'S RESULTS ALISON DEANS A BROKERAGE ANALYST AT SMITH BARNEY HARRIS UPHAM & CO SAID MERRILL SHOULD CONSERVATIVELY EARN 9 A SHARE THIS YEAR UP FROM HER PRIOR FORECAST OF 725 AND MS DEANS SAYS MERRILL'S STOCK WHICH CURRENTLY TRADES AT ABOUT 17 TIMES ITS BOOK VALUE OF 45 A SHARE COULD STILL RISE FURTHER IF THIS STOCK WERE TO TRADE AT OVER TWO TIMES BOOK VALUE THEN I'D GET NERVOUS SHE SAID MERRILL'S FIRSTQUARTER RESULTS WOULD HAVE BEEN HIGHER HAD THE FIRM NOT INCLUDED A ONETIME LEASE CHARGE OF 103 MILLION BEFORE TAXES OR 53 CENTS A SHARE THE CHARGE STEMMED FROM MERRILL'S DECISION TO SUBLET OFFICE SPACE THAT IT WASN'T USING IN ITS WORLD FINANCIAL CENTER HEADQUARTERS TAKING A LOSS IN THE PROCESS BUT THIS WILL SLASH MERRILL'S ANNUAL OCCUPANCY COST BY 15 MILLION TO 20 MILLION A YEAR SAID HERBERT M ALLISON JR MERRILL'S NEW INVESTMENT BANKING CHIEF TOTAL REVENUES FOR THE QUARTER WERE A RECORD 396 BILLION A 16 INCREASE FROM A YEAR EARLIER NET REVENUE TOTAL REVENUES MINUS INTEREST EXPENSE WERE 262 BILLION FOR THE QUARTER UP 18 FROM A YEAR EARLIER MERRILL'S RETURN ON EQUITY WAS AN ANNUALIZED 307 BOTH THE INDIVIDUALINVESTOR AND THE INSTITUTIONAL SEGMENTS OF MERRILL'S BUSINESS ARE BOOMING COMMISSION REVENUE ROSE 4 TO A RECORD 714 MILLION IN THE QUARTER CONTINUED HIGH LEVELS OF INVESTOR ACTIVITY LED TO ADVANCES IN LISTED SECURITIES AND MUTUALFUND COMMISSIONS MERRILL SAID ASSETMANAGEMENT AND CUSTODIAL FEES ROSE 7 TO A RECORD 236 MILLION MERRILL HAS ABOUT 500 BILLION IN CUSTOMER ASSETS INCLUDING STOCKS BONDS AND MUTUAL FUNDS PRINCIPAL TRANSACTIONS OR TRADING USING MERRILL'S MONEY SURGED 32 TO A RECORD 755 MILLION IN THE QUARTER THIS STEMMED MAINLY FROM CORPORATE AND MUNICIPALBOND TRADING AS WELL AS SWAPS AND DERIVATIVE TRANSACTIONS THE FIRM SAID INVESTMENTBANKING REVENUE JUMPED 23 TO A RECORD 445 MILLION WITH THE ENTIRE GAIN FROM UNDERWRITING NEW STOCK AND BOND ISSUES FOR CORPORATE CLIENTS MERRILL HAS BEEN THE NATION'S TOP UNDERWRITER FOR MORE THAN FIVE YEARS IT HELPED BRING TO MARKET ONEINFIVE NEW STOCK AND BOND ISSUES IN THE US ACCORDING TO SECURITIES DATA CO MERRILL ALSO CONTINUES TO MAKE MILLIONS OF DOLLARS FROM AN UNUSUALLY STEEP YIELD CURVE OR THE GAP BETWEEN ITS SHORTTERM BORROWING COSTS AND THE YIELD ON LONGTERM SECURITIES FOR THE FIRST QUARTER MERRILL'S PROFIT FROM NET INTEREST AND DIVIDENDS ROSE 29 TO 256 MILLION HIGHER LEVELS OF INTERESTEARNING ASSETS AND FAVORABLE INTERESTRATE SPREADS CONTRIBUTED TO THESE RESULTS THE FIRM SAID MEANTIME MERRILL CONTINUES TO KEEP COSTS IN CONTROL ITS TOTAL HEADCOUNT ROSE JUST 100 IN THE QUARTER TO 40200 EMPLOYEES WITH THE INCREASE ENTIRELY IN NEW BROKERS MERRILL HAS 12800 BROKERS THE LARGEST SALES FORCE ON WALL STREET COMPENSATION AND BENEFITS EXPENSES ROSE 14 TO 126 BILLION BECAUSE MERRILL PAYS MANY EMPLOYEES BASED ON THE FIRM'S PROFITABILITY BUT COMPENSATION AS A PERCENTAGE OF NET REVENUE FELL TO 483 FROM 50 A YEAR EARLIER MERRILL SAYS ITS FOCUS ON INCREASING FEEBASED REVENUE AND CORRALING COSTS WILL HELP BUFFER THE NEXT STOCK MARKET DOWNTURN WE'RE LESS VULNERABLE NOW TO THE INEVITABLE CYCLICAL SWINGS IN THE MARKET SAID MERRILL'S MR ALLISON 9304140132 930414 WHO'S NEWS PROCTER & GAMBLE CO PROCTER & GAMBLE CO CINCINNATI WALTER F LIGHT 70 YEARS OLD RETIRED CHAIRMAN OF NORTHERN TELECOM LTD WILL RETIRE FROM THE BOARD OF THIS CONSUMER PRODUCTS CONCERN EFFECTIVE JULY 13 THE COMPANY SAID IT HAS NAMED RICHARD B CHENEY 52 FORMER US SECRETARY OF DEFENSE WITH THE BUSH ADMINISTRATION AND CURRENTLY SENIOR FELLOW AT THE AMERICAN ENTERPRISE INSTITUTE TO COMPLETE THE REMAINDER OF MR LIGHT'S TERM ON THE BOARD WHICH WILL EXPIRE IN OCTOBER OF THIS YEAR 9304140131 930414 TUESDAY'S MARKETS STOCKS RISE AMID FIRMS' PROFIT GAINS BONDS FINISH UP A BIT AFTER RALLY FADES DOLLAR ENDS MIXED BY STEVEN E LEVINGSTON AND MICHAEL R SESIT STAFF REPORTERS OF THE WALL STREET JOURNAL STRONG CORPORATE EARNINGS BOOSTED STOCK PRICES A POWERFUL BOND MARKET RALLY FADED IN THE AFTERNOON LEAVING PRICES MODESTLY HIGHER THE DOLLAR WAS MIXED THE DOW JONES INDUSTRIAL AVERAGE GAINED 1594 POINTS TO 344403 STANDARD & POOR'S 500STOCK INDEX EDGED UP 085 TO 44922 AND THE NASDAQ COMPOSITE INDEX GAINED 071 TO 67383 BOTH THE DOW JONES TRANSPORTATION AVERAGE AND THE DOW JONES UTILITY AVERAGE HIT RECORDS FOR THE SECOND CONSECUTIVE DAY STOCK INVESTORS IGNORED A REPORT SHOWING POOR RETAIL SALES IN MARCH FOCUSING INSTEAD ON A RASH OF FAVORABLE CORPORATE EARNINGS REPORTS LATER IN THE DAY THE JOHNSON REDBOOK SERVICE A PRIVATE SURVEY SHOWED THAT RETAIL SALES WERE BOUNCING BACK IN EARLY APRIL AFTER THE WEATHERRELATED SLUMP OF MARCH HUGH JOHNSON CHIEF INVESTMENT OFFICER AT FIRST ALBANY CORP CITED MOTOROLA'S POSITIVE PROFIT REPORT ON THE HEELS OF INTEL'S BETTERTHANEXPECTED EARNINGS MONDAY THE REAL MESSAGE HERE IS THAT COMPANIES ARE POSTING GOOD EARNINGS DESPITE THE FACT THE ECONOMY HAS CLEARLY LOST SOME STEAM MR JOHNSON SAID HE ADDED THAT THE EARNINGS GAINS REFLECT COMPANIES' SUCCESS AT BOOSTING PRODUCTIVITY THE LAST COUPLE OF DAYS WE GOT A GLIMPSE OF HOW GOOD THINGS CAN BE IN THIS BUSINESS MR JOHNSON SAID WE CAN HAVE INTEREST RATES FALLING AND HAVE GOOD EARNINGS TOO OVERSEAS TOKYO'S STOCK MARKET SOARED 43 ON THE BACK OF THE JAPANESE GOVERNMENT'S ANNOUNCEMENT OF A 132 TRILLION YEN 1164 BILLION FISCAL STIMULUS PACKAGE JAPANESE STOCKS HAVE CLIMBED 225 SO FAR THIS YEAR WHILE THE YEN HAS ADVANCED ANOTHER 10 AGAINST THE DOLLAR IN EUROPE FRENCH STOCKS RALLIED 16 WHILE THE BRITISH AND GERMAN STOCK MARKETS WERE EACH UP 09 TRADERS ATTRIBUTED THE ADVANCES PARTICULARLY THAT OF THE PARIS STOCK MARKET TO FRANCE'S LOWERING A KEY SHORTTERM INTEREST RATE TO 10 FROM 12 THERE'S THE REALIZATION THAT INTEREST RATES ARE GOING DOWN IN FRANCE VERY SHARPLY SAID GILLES BAZYSIRE A FIRST VICE PRESIDENT AT DELAHAYERIPAULT SA A BROKERAGE UNIT OF SOCIETE GENERALE IN PARIS MIKE YOUNG DIRECTOR OF EUROPEAN INVESTMENT STRATEGY FOR MERRILL LYNCH IN LONDON ADDED THAT EUROPEAN STOCKS ADVANCED PARTLY BECAUSE INVESTORS THINK FRANCE'S RATE CUT MAY LEAD TO SIMILAR ACTION ELSEWHERE IN EUROPE WORLDWIDE STOCK PRICES ROSE IN DOLLAR TERMS THE DOW JONES WORLD STOCK INDEX GAINED 143 TO 10555 IN MAJOR MARKET ACTION STOCK PRICES ROSE VOLUME TOTALED 2862 MILLION SHARES ON THE NEW YORK STOCK EXCHANGE WHERE 1255 ISSUES ROSE AND 704 FELL BOND PRICES ROSE THE TREASURY'S BENCHMARK 30YEAR ISSUE GAINED MORE THAN 1/8 POINT OR MORE THAN 125 FOR EACH 1000 FACE AMOUNT TO YIELD 678 THE DOLLAR WAS MIXED IN LATE NEW YORK TRADING THE CURRENCY WAS QUOTED AT 15820 MARKS AND 11340 YEN COMPARED WITH 15935 MARKS AND 11280 YEN MONDAY 9304140130 930414 WHO'S NEWS CELL GENESYS INC CELL GENESYS INC FOSTER CITY CALIF EUGENE L STEP WAS NAMED A DIRECTOR OF THIS BIOTECHNOLOGY COMPANY INCREASING BOARD MEMBERSHIP TO EIGHT MR STEP 64 YEARS OLD WAS AN EXECUTIVE VICE PRESIDENT AND BOARD MEMBER OF ELI LILLY & CO 9304140129 930414 POLITICS & POLICY CAPITAL JOURNAL BY GERALD F SEIB JACK KEMP CONSERVATIVE FOLK HERO OF THE 1980S AND PRESUMPTIVE EARLY FAVORITE IN THE RACE FOR THE 1996 REPUBLICAN PRESIDENTIAL NOMINATION IS UNDER ATTACK HE'S BEING ATTACKED BY OF ALL PEOPLE CONSERVATIVES FOR OF ALL THINGS NOT BEING CONSERVATIVE ENOUGH THIS NASTY CASE OF FRATRICIDE ON THE REPUBLICAN RIGHT IS GETTING LITTLE NOTICE AND NEWS OF IT WILL COME AS A SHOCK TO MANY CHARGING THAT JACK KEMP ISN'T CONSERVATIVE ENOUGH IS A LITTLE LIKE CHARGING THAT ROSS PEROT ISN'T RICH ENOUGH IT DOESN'T QUITE COMPUTE AND THE CHARGE DOESN'T MAKE MUCH SENSE FOR EITHER CONSERVATIVES OR THE REPUBLICAN PARTY AT HEART THIS DEBATE ISN'T SO MUCH ABOUT WHETHER MR KEMP IS SUFFICIENTLY CONSERVATIVE BUT WHETHER HE'S THE RIGHT KIND OF CONSERVATIVE TO SUIT SOME ACTIVISTS FOR JACK KEMP STANDS AT THE FAULT LINE OF A MUCH BROADER DEBATE ABOUT THE FUTURE OF THE CONSERVATIVE MOVEMENT AT THE DAWN OF THE CLINTON ERA SOME CONSERVATIVES WANT TO DECLARE A VIRTUAL CULTURAL WAR AGAINST GAYRIGHTS ACTIVISTS PROCHOICE ADVOCATES PERCEIVED ENEMIES OF TRADITIONAL FAMILY VALUES THE CLINTON ADMINISTRATION AND THE GOVERNMENT IN GENERAL THESE CONSERVATIVES WANT FIGHTS THAT ISN'T THE STYLE OF JACK KEMP THE INCLUSIVE AND OPTIMISTIC CONSERVATIVE FOR WHOM TAX CUTS CAN CURE A THOUSAND SOCIAL AS WELL AS ECONOMIC ILLS HE DOESN'T WANT TO FIGHT SO MUCH AS TO PERSUADE TO SHOW THAT CONSERVATIVES HAVE COMPASSION AS WELL AS PASSION THERE ARE GOVERNMENT PROGRAMS HE ACTUALLY LIKES CONSERVATIVE ACTIVIST PAUL WEYRICH SUMMARIZES THE RAP ON JACK KEMP THIS WAY THE PROBLEM IS THAT HE DOES NOT BELIEVE THAT THERE ARE ANY ENEMIES HE DOESN'T BELIEVE THERE ARE ANY EVIL FORCES MANY WOULD SEE THIS AS A VIRTUE BUT NOW IT STANDS AS AN INDICTMENT MR KEMP ENVISIONS A CONSERVATIVE MOVEMENT THAT BROADENS ITSELF BY CONVINCING MINORITIES AND MODERATES THAT THEY BENEFIT FROM A CORE PHILOSOPHY OF LOW TAX RATES SCHOOL CHOICE AND GOVERNMENT POLICIES TO SPUR PRIVATE INVESTMENTS AND HOME OWNERSHIP THIS OUTREACH ISN'T ACCOMPLISHED BY SIMPLY RAILING AGAINST PROGRAMS SUCH AS HEAD START INSTEAD IT HAPPENS BY CONVINCING PEOPLE THAT AN ECONOMY FIRED BY LOW TAXES ON INCOME AND CAPITAL GAINS WILL GROW RAPIDLY AND WILL EVENTUALLY MAKE IT EASIER TO PAY FOR SOME SOCIAL PROGRAMS SOME ARE DISAPPOINTED THAT MR KEMP HASN'T DELIVERED MORE SLASHING ATTACKS ON CLINTONOMICS BUT HE HAS CHOSEN TO FOCUS INSTEAD ON OFFERING AN ALTERNATE PHILOSOPHY IT'S NOT ENOUGH TO SAY WHAT YOU'RE AGAINST MR KEMP SAYS YOU'RE REQUIRED PARTICULARLY IN A POSTCOMMUNIST WORLD TO SAY WHAT YOU'RE FOR AND TO BE INCLUSIVE RATHER THAN EXCLUSIVE IN PURSUIT OF THIS BROADER VISION MR KEMP HAS KICKED SOME CONSERVATIVE SACRED COWS HE HAS ENDORSED BANNING MILITARY ASSAULT RIFLES THAT CAUSE SO MUCH CHAOS IN THE LIVES OF INNERCITY RESIDENTS MR KEMP WOULD LIKE TO WOO HE OPPOSES A RIGID BALANCEDBUDGET AMENDMENT COMPLAINING IT DOESN'T DISTINGUISH BETWEEN SOMETIME FRIVOLOUS GOVERNMENT SPENDING FOR SERVICES AND SPENDING ON CAPITAL INVESTMENTS HE CONSIDERS MORE JUSTIFIABLE THE RIGHTTOWORK MOVEMENT ATTACKS MR KEMP FOR FAILING TO SUPPORT A NATIONAL RIGHTTOWORK LAW CONSERVATIVE ATTACKS ARE MAKING THE ROAD AHEAD ROUGHER FOR MR KEMP BY DRAWING OUT NEW CHALLENGERS PATRICK BUCHANAN AND DAN QUAYLE MAY COMPETE FOR CONSERVATIVE HEARTS IN 1996 NOW EVEN HARDRIGHT REP ROBERT DORNAN OF CALIFORNIA IS TALKING OF RUNNING AND SOME CONSERVATIVES ARE URGING A PRESIDENTIAL RUN BY FORMER EDUCATION SECRETARY WILLIAM BENNETT WHO IRONICALLY IS A KEMP PARTNER IN THE NEW CONSERVATIVE THINK TANK EMPOWER AMERICA I'VE AT LEAST AGREED INTERNALLY TO THINK ABOUT IT MR BENNETT SAYS CERTAINLY MR KEMP HAS SOME POLITICAL BLIND SPOTS IN HIS INTENSE FOCUS ON ECONOMICS HE SOMETIMES SEEMS UNCOMFORTABLE TALKING ABOUT SOCIAL ISSUES CONSERVATIVE CRITICS SENSE CORRECTLY THAT AMERICANS WANT TO SEE THE BREAKDOWN IN FAMILY LIFE AND THE SOCIAL ORDER ADDRESSED HEADON BUT MR KEMP'S CONSERVATIVE CRITICS ALSO SEEM TO HAVE FORGOTTEN SOME LESSONS OF THE 1992 CAMPAIGN MR PEROT ASSEMBLED HIS COALITION NOT BY ADVOCATING CULTURAL WARFARE BUT BY INSPIRING DISAFFECTED VOTERS TO SET ASIDE OTHER ARGUMENTS TO FOCUS ON A SICK ECONOMY AND A MALFUNCTIONING GOVERNMENT MR KEMP'S APPROACH IS SIMILAR THE CRITICISM OF MR KEMP ALSO RAISES THE QUESTION OF WHETHER WASHINGTON CONSERVATIVE ACTIVISTS FOND OF TELLING OTHERS THEY ARE OUT OF TOUCH MAY THEMSELVES BE OUT OF TOUCH WITH THE GRASS ROOTS WHEN CONSERVATIVES FROM AROUND THE US GATHERED FOR A RECENT CONSERVATIVE POLITICAL ACTION CONFERENCE THEY CONDUCTED A POLL ON THEIR EARLY FAVORITE FOR 1996 MR KEMP WON HANDILY WITH NEARLY 54 OF THE VOTE 9304140128 930414 INTERNATIONAL WORLD WIRE COMPILED BY RICHARD L HOLMAN EAST EUROPEAN COUNTRIES FED UP WITH PERCEIVED PROTECTIONISM BY THE EUROPEAN COMMUNITY ARE SIGNALING A HARDER LINE ON TRADE WITH THE WESTERN GROUP MOST EASTERN NATIONS BANNED IMPORTS OF EC LIVESTOCK MEAT AND DAIRY PRODUCTS IN RETALIATION FOR LAST WEEK'S MONTHLONG BAN BY THE EC ON SIMILAR EASTERN PRODUCTS TO GUARD AGAINST IMPORTING FOOTANDMOUTH DISEASE BUT OFFICIALS IN EASTERN EUROPE ACCUSED THE EC OF USING THE DISEASE ISSUE AS A SMOKE SCREEN TO PROTECT EC FARMERS FROM COMPETITION THE DISPUTE STEMS FROM AN OUTBREAK OF THE LIVESTOCK DISEASE IN ITALY LAST MONTH THE EC BANNED MEAT FROM AFFECTED AREAS IN ITALY AND TRACED THE OUTBREAK TO CROATIA IT CONTENDED THE DISEASE IS WIDESPREAD IN THE FORMER EAST BLOC THOUGH SEVERAL EASTERN COUNTRIES SAID THEY HAD NO PROBLEM THE SQUABBLE INVOLVES A SMALL PART OF TRADE BETWEEN THE TWO REGIONS BUT THE EAST'S TOUGHER ATTITUDE COULD POISON TALKS ON MORE IMPORTANT TRADE DISPUTES ABOUT STEEL TEXTILES AND OTHER FARM PRODUCTS SOUTH KOREA THIS YEAR WILL IDENTIFY AND SUPPORT FINANCIALLY AS MANY AS A DOZEN STRATEGICALLY IMPORTANT INDUSTRIAL SECTORS IN A BID TO SPEED TECHNOLOGICAL DEVELOPMENTS AND EXPAND CAPACITY THE PLAN REPRESENTS A SWITCH FOR THE GOVERNMENT WHICH PREVIOUSLY BACKED SPECIFIC EFFORTS SUCH AS WORKER TRAINING RATHER THAN ENTIRE INDUSTRIES SECTORS WILL BE PICKED FOR THEIR POTENTIAL FOR EXPORT GROWTH CANDIDATES INCLUDE SEMICONDUCTORS AUTOS ENVIRONMENTRELATED FACILITIES AND EQUIPMENT FACTORY AUTOMATION AND TELECOMMUNICATIONS TWENTY PETROCHEMICAL PLANTS IN SOUTHERN TAIWAN SUSPENDED OR CURTAILED PRODUCTION AFTER INDUSTRIAL WASTE FROM SOME OF THE FACTORIES POLLUTED WATER IN TWO RIVERS THE WASTE MADE RIVER WATER TOO SALTY TO PRODUCE STEAM EFFECTIVELY TO OPERATE BOILERS THE FACTORIES PRODUCE ABOUT HALF OF TAIWAN'S ETHYLENE AND OTHER PETROCHEMICALS VALUED AT 200 BILLION NEW TAIWAN DOLLARS US768 BILLION A YEAR THE GOVERNMENT PLANNED TO PUMP WATER FROM OTHER RIVERS TO TRY TO EASE THE PROBLEM WHICH COULD HURT OUTPUT BY TEXTILE AND PLASTIC FIRMS THAT USE PETROCHEMICALS THE PHILIPPINES TO OVERCOME AN ELECTRICITY SHORTAGE DEVELOPED A 12YEAR POWER DEVELOPMENT PROGRAM REQUIRING FINANCING OF 850 BILLION PESOS 3327 BILLION THE PLAN TO BE SUBMITTED TO THE PRESIDENT FOR APPROVAL IS INTENDED TO ENSURE SUFFICIENT POWER TO MEET ECONOMIC GROWTH TARGETS THE GOVERNMENT PREDICTED ENERGY REQUIREMENTS WILL GROW 113 ANNUALLY UNTIL THE YEAR 2005 BUT MEETING THOSE NEEDS STILL WOULD LEAVE THE PHILIPPINES AT A REGIONAL DISADVANTAGE FOR EXAMPLE MALAYSIA NOW HAS AS MUCH POWER CAPACITY AS THE PHILIPPINE HOPES TO HAVE IN 2005 A MAJORITY OF BRITISH BUSINESSES EXPECT INCREASES IN SECONDQUARTER SALES AND NEW ORDERS IN A SHARP RISE IN CONFIDENCE THAT HERALDS RECOVERY FROM RECESSION IN DUN & BRADSTREET LTD'S QUARTERLY SURVEY 59 OF 1900 RESPONDENTSTHE HIGHEST LEVEL IN FOUR YEARSFORECAST SALES RISES FROM A YEAR EARLIER AND JUST 17 PREDICTED A DROP THE DIFFERENCE OF 42 PERCENTAGE POINTS REPRESENTS A 25POINT JUMP FROM THE FIRST QUARTER SERVICE AND MANUFACTURING COMPANIES WERE HIGHLY OPTIMISTIC BUT RETAILERS WERE GLOOMY AND EXPECTED TO CUT STAFF WHILE THE EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT WAS LENDING AND INVESTING 1565 MILLION TO HELP FORMER EAST BLOC COUNTRIES DEVELOP FREEMARKET ECONOMIES IT WAS SPENDING 312 MILLION ON ITSELF THE FINANCIAL TIMES NEWSPAPER SAID THE EBRD SET UP TWO YEARS AGO BY INDUSTRIALIZED NATIONS SAID THE OUTLAYS ON STAFF TRAVEL PARTIES AND LONDON HEADQUARTERS FURNISHINGS WEREN'T EXCESSIVE SALARIES FOR EXAMPLE HAD TO BE COMPETITIVE WITH PRIVATESECTOR PAY AND THE BANK SAID IT HAS APPROVED MORE DEVELOPMENT FUNDS THAT HAVEN'T BEEN DISBURSED CHINA'S TRADE IN TECHNOLOGICALLY ADVANCED PRODUCTS POSTED STRONG GAINS LAST YEAR LED BY A BOOM IN EXPORTS EXPORTS OF HIGHTECHNOLOGY PRODUCTS JUMPED 38 TO 399 BILLION FROM A YEAR EARLIER AND IMPORTS CLIMBED 14 TO 107 BILLION BEIJING SAID MOST OF THE PRODUCTS SHIPPED OUT OF THE COUNTRY WERE RELATED TO COMPUTERS AND TELECOMMUNICATIONS CHINA'S EXPORTS OF WHICH HIGHTECH ITEMS ACCOUNTED FOR JUST 47 LAST YEAR ARE DOMINATED BY LIGHTINDUSTRIAL PRODUCTS SUCH AS CLOTHING SHOES AND TOYS THE GOVERNMENT AMONG MARKET REFORMS HAS TRIED TO ATTRACT FOREIGN HIGHTECH COMPANIES TO SET UP MANUFACTURING IN CHINA SEPARATELY CHINA'S RAPID ECONOMIC EXPANSION CONTINUED AS FIRSTQUARTER INDUSTRIAL PRODUCTION SOARED 22 TO 131 BILLION FROM A YEAR EARLIER LED BY PRIVATE FIRMS STATE ENTERPRISES' OUTPUT ROSE JUST 9 SUDAN'S GOVERNMENT WHICH TOOK POWER IN A 1989 MILITARY COUP PREPARED LEGISLATION TO LET PRIVATE COMPANIES PUBLISH NEWSPAPERS AND MAGAZINES THE STATE HAS A MONOPOLY ON THE NEWS BUSINESS WITH THREE OFFICIAL NEWSPAPERS A NEWS AGENCY AND STATE RADIO AND TELEVISION CHINA CLAMPED DOWN ON UNAUTHORIZED BIOGRAPHIES OF MAO TSETUNG AND OTHER LATE REVOLUTIONARY LEADERS NEW RULES REQUIRE SUCH WORKS WHICH HAVE PROLIFERATED IN RECENT YEARS TO BE ACCURATE SERIOUS AND HEALTHY THE XINHUA NEWS AGENCY SAID 9304140127 930414 WHO'S NEWS GRACE AWARDS HEALTH CHIEF 275 MILLION BY SCOTT MCMURRAY STAFF REPORTER OF THE WALL STREET JOURNAL WR GRACE & CO PAID EXECUTIVE VICE PRESIDENT CONSTANTINE L HAMPERS THE FOUNDER AND HEAD OF ITS HEALTH CARE SUBSIDIARY 265 MILLION LAST YEAR AND 1 MILLION EARLIER THIS YEAR BASED ON THE UNIT'S RAPID EARNINGS GROWTH OVER THE PAST THREE YEARS ACCORDING TO THE COMPANY'S SHAREHOLDER PROXY STATEMENT DR HAMPERS 60 YEARS OLD CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF THE SPECIALTY CHEMICAL CONCERN'S NATIONAL MEDICAL CARE INC SUBSIDIARY RECEIVED AN ADDITIONAL 874250 IN SALARY AND BONUS LAST YEAR ACCORDING TO THE PROXY STATEMENT DR HAMPERS FOUNDED NATIONAL MEDICAL IN 1968 HE SOLD HIS REMAINING STAKE IN THE KIDNEY DIALYSIS AND MEDICAL PRODUCTS COMPANY TO GRACE OF BOCA RATON FLA IN DECEMBER 1989 FOR 11 MILLION PROVIDED THAT HE ALSO RECEIVE THE PERFORMANCEBASED COMPENSATION PACKAGE FOR 19901992 THE 265 MILLION COVERS ALL THREE YEARS HE DECLINED TO COMMENT ON HIS 1992 COMPENSATION THE PROXY STATEMENT SAID THAT NATIONAL MEDICAL EXCEEDED THE TARGETED EARNINGS BY NEARLY 55 OVER THE THREEYEAR PERIOD GRACE'S HEALTH CARE OPERATING EARNINGS AFTER TAXES LAST YEAR JUMPED 22 TO 1057 MILLION FROM 829 MILLION HEALTH CARE SALES INCREASED 17 LAST YEAR TO 128 BILLION FROM 106 BILLION IN 1991 HEALTH CARE OPERATING EARNINGS GAINED 24 TO 801 MILLION AND SALES ROSE 15 TO 1 BILLION TO COUNTER POTENTIAL CRITICISM THAT IT IS HELPING FUEL RAPID INCREASES IN HEALTH CARE COSTS THE COMPANY NOTED IN ITS 1992 ANNUAL REPORT THAT GRACE BELIEVES IT IS AMONG THE MOST COSTEFFICIENT OF THE HEALTH CARE COMPANIES IN ITS FIELD GRACE REPORTED EARNINGS FROM CONTINUING OPERATIONS LAST YEAR BEFORE 190 MILLION IN ACCOUNTING CHARGES BUT AFTER A 140 MILLION CHARGE FOR CLOSING A PLANT IN BELGIUM OF 794 MILLION OR 88 CENTS A SHARE SEPARATELY GRACE CHAIRMAN J PETER GRACE 79 YEARS OLD RECEIVED 5 MILLION LAST YEAR TIED TO THE TERMINATION OF HIS EMPLOYMENT AGREEMENT AS CHIEF EXECUTIVE OFFICER OF THE COMPANY THE PROXY STATEMENT SAID MR GRACE'S SALARY AND BONUS LAST YEAR ADDED 1806000 TO HIS COMPENSATION AND HE WAS AWARDED AN ADDITIONAL 1034328 LAST YEAR IN LONGTERM INCENTIVE PAYMENTS AND PENSION AND SAVINGS PLAN PAYMENTS THE STATEMENT SAID EVEN THOUGH MR GRACE HAS RETIRED FROM ACTIVE DUTY AT THE COMPANY HE HASN'T SEVERED HIS FINANCIAL TIES TO THE BUSINESS MR GRACE IS STILL RECEIVING 50000 A MONTH THIS YEAR AS A CONSULTANT ACCORDING TO THE PROXY STATEMENT MR GRACE COULDN'T BE REACHED FOR COMMENT ON HIS COMPENSATION 9304140126 930414 TENNECO INC POSTS 1STPERIOD PROFIT OF 74 MILLION BY ROBERT JOHNSON STAFF REPORTER OF THE WALL STREET JOURNAL HOUSTON TENNECO INC SURPRISING ANALYSTS WITH A SMALLERTHANEXPECTED LOSS AT ITS CASE CORP FARM AND CONSTRUCTION EQUIPMENT UNIT REPORTED FIRSTQUARTER NET INCOME OF 74 MILLION THAT COMPARES WITH A HUGE LOSS AFTER ACCOUNTINGRELATED CHARGES A YEAR EARLIER CASE PLAGUED BY FARM EQUIPMENT INDUSTRY OVERPRODUCTION AND WEAK PRICES WAS EXPECTED TO REPORT A FIRSTQUARTER PRETAX LOSS ONLY SLIGHTLY LESS THAN THE 77 MILLIONBUT INSTEAD POSTED A LOSS OF 17 MILLION WALL STREET EAGER FOR FAVORABLE NEWS ABOUT CASE RESPONDED ALMOST AS IF THE UNIT WHICH ACCOUNTS FOR 25 OF THE TENNECO'S REVENUE HAD BEEN IN THE BLACK IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY TENNECO'S STOCK ROSE 350 A SHARE TO CLOSE AT 4875 SOME ANALYSTS ALSO WERE SURPRISED BY THE STRENGTH OF TENNECO'S OVERALL RESULTS ITS PROFIT EQUALED 46 CENTS A SHARE ANALYSTS HAD GENERALLY FORECAST 30 CENTS TO 35 CENTS A SHARE IN THE YEAREARLIER QUARTER CHARGES OF 699 MILLION AND A LOSS OF 2 MILLION FROM DISCONTINUED OPERATIONS RESULTED IN A NET LOSS OF 666 MILLION OR 472 A SHARE WITHOUT THE YEAREARLIER CHARGES AND THE DISCONTINUED OPERATIONS TENNECO'S EARNINGS WOULD HAVE MORE THAN DOUBLED FROM 35 MILLION OR 22 CENTS A SHARE THE CHARGES RESULT FROM TWO CHANGES ONE IS THE ADOPTION OF A NEW METHOD OF ACCOUNTING FOR FUTURE RETIREE HEALTH COSTS ALL 414 MILLION OF WHICH THE COMPANY CHOSE TO TAKE AT ONCE INSTEAD OF EXERCISING ITS OPTION UNDER NEW FINANCIAL ACCOUNTING STANDARDS BOARD RULES TO RECORD THE LIABILITIES OVER A 20YEAR PERIOD THE SECOND CHARGE 285 MILLION RESULTS FROM A CHANGE IN TENNECO'S METHOD OF ACCOUNTING FOR CERTAIN OTHER LIABILITIES IT PREVIOUSLY DEFERRED REVENUE ROSE SLIGHTLY TO 325 BILLION FROM 321 BILLION AT THE CASE UNIT THE NARROWER LOSS WAS ACHIEVED LARGELY BY TRIMMING PRODUCTION AND INVENTORY WHICH HELPED BOOST PROFIT MARGINS CASE'S STRATEGY OF KEEPING DEALERS' SHOWROOMS AND LOTS EMPTIER ALSO TRANSLATED INTO A 9 REVENUE DECLINE TO 814 MILLION FROM 899 MILLION SOME ANALYSTS SAID CASE IS PROBABLY SACRIFICING SOME OF ITS ESTIMATED 34 MARKET SHARE TO STRENGTHEN PRICES THE COMPANY IS NO 2 IN SALES TO FARM EQUIPMENT LEADER DEERE & CO ASKED ABOUT A POSSIBLE MARKET SHARE LOSS MICHAEL WALSH CHAIRMAN AND CHIEF EXECUTIVE OFFICER SAID THAT LOSING A LITTLE MARKET SHARE IS ACCEPTABLE TO BOOST PROFITS ASKED HOW FAR HE IS PREPARED TO CARRY THAT STRATEGY HE DECLINED TO COMMENT 9304140125 930414 WHO'S NEWS TOTAL COMPENSATION OF GENERAL DYNAMICS OFFICERS SURGED IN '92 A WALL STREET JOURNAL NEWS ROUNDUP GENERAL DYNAMICS CORP CHAIRMAN WILLIAM ANDERS'S SALARY BONUS AND OTHER COMPENSATION ROSE 74 TO 78 MILLION IN 1992 FROM 45 MILLION IN 1991 ACCORDING TO THE COMPANY'S PROXY STATEMENT FILED WITH THE SECURITIES AND EXCHANGE COMMISSION MR ANDERS ALSO PICKED UP 211 MILLION BY EXERCISING STOCKPURCHASE OPTIONS THE PROXY STATEMENT NOTED THE CHAIRMAN'S SALARY FOR 1992 WAS 900000 HIS BONUS WAS 14 MILLION AN ADDITIONAL 55 MILLION OF OTHER ANNUAL COMPENSATION WAS NOTED IN THE PROXY STATEMENT MUCH OF THAT WAS DUE MR ANDERS UNDER A COMPANY AGREEMENT TO COMPENSATE SOME EMPLOYEES FOR CANCELLATION OF A DEFERREDCOMPENSATION PLAN JAMES MELLOR PRESIDENT RECEIVED 2 MILLION FROM THAT DEFERREDCOMPENSATION PROVISION IN ADDITION TO HIS 18 MILLION SALARY AND BONUS FOR 1992 HIS 1991 SALARY AND BONUS TOTALED 12 MILLION IN ALL HIS TOTAL 1992 COMPENSATION ROSE TO MORE THAN THREE TIMES HIS 1991 COMPENSATION A COMPANY SPOKESMAN SAID THE EXECUTIVES' COMPENSATION IS WARRANTED BY THE COMPANY'S DRAMATIC GROWTH IN SHAREHOLDER RETURNS THROUGH INCREASES IN STOCK PRICE AND IN DIVIDENDS THE SPOKESMAN SAID THAT ABOUT 8 MILLION OF THE VALUE MR ANDERS REALIZED FROM EXERCISING HIS STOCK OPTIONS WAS TIED TO BENEFITS HE FORFEITED IN LEAVING HIS PREVIOUS JOB THE SPOKESMAN ADDED THAT MR ANDERS HAD SOLD ONLY ENOUGH OF THE SHARES HE GAINED THROUGH THE EXERCISE OF OPTIONS TO COVER THE COST OF THE TRANSACTION AND RELATED TAXES HE RETAINED THE REST 9304140124 930414 WHO'S NEWS COOPER COS ELECTS ALLAN E RUBENSTEIN AS ACTING CHAIRMAN FORT LEE NJ COOPER COS ELECTED ALLAN E RUBENSTEIN ACTING CHAIRMAN OF THE TROUBLED HEALTHCARE CONCERN DR RUBENSTEIN 48 YEARS OLD FOUNDER AND PRESIDENT OF MTC IMAGING SERVICES INC JOINED COOPER'S BOARD IN JULY 1992 HE SUCCEEDS ARTHUR C BASS WHO RESIGNED TO TAKE MEDICAL LEAVE BUT WILL REMAIN A DIRECTOR MR BASS WAS NAMED ACTING CHAIRMAN IN JUNE 1992 WHEN COOPER SUSPENDED AND LATER FIRED COCHAIRMAN BRUCE D STURMAN AFTER HE ACCUSED HIS FELLOW DIRECTORS OF FAILING TO INVESTIGATE COOPER'S THEN OTHER COCHAIRMAN GARY A SINGER IN NOVEMBER COOPER AND MR SINGER WERE CHARGED IN A FEDERAL INDICTMENT AND LAWSUIT FILED BY SECURITIES REGULATORS WITH CONSPIRACY AND FRAUD IN CONNECTION WITH AN ALLEGED JUNKBOND INSIDERTRADING SCHEME USING COOPER FUNDS 9304140123 930414 COMMODITIES CRUDE OIL FUTURES REMAIN FIRM AS EXPORTERS PLEDGE TO ADHERE TO OUTPUT QUOTAS THIS QUARTER BY JAMES TANNER STAFF REPORTER OF THE WALL STREET JOURNAL THE WORLD'S LEADING OIL EXPORTERS ENDED THEIR CLOSELY WATCHED MEETINGS IN OMAN ON A COOPERATIVE NOTE HELPING TO KEEP A FLOOR UNDER PETROLEUM PRICES AS A RESULT CRUDE OIL PRICES YESTERDAY REMAINED FIRM IF RELATIVELY FLAT AFTER TRADING IN A NARROW RANGE ON THE NEW YORK MERCANTILE EXCHANGE CRUDE OIL CONTRACTS FOR BOTH MAY AND JUNE SETTLED UNCHANGED AT 2046 AND 2066 A BARREL RESPECTIVELY MUCH OF THE ATTENTION OF THE OIL MARKETS THIS WEEK HAD FOCUSED ON THE MEETING OF THE ORGANIZATION OF PETROLEUM EXPORTING COUNTRIES IN OMAN THERE WAS CONCERN THAT NEW DISPUTES OVER PRODUCTION LEVELS COULD BREAK OUT POSSIBLY RESULTING IN A COLLAPSE OF OPEC'S FEBRUARY AGREEMENT AND LEADING TO A SHARP FALL IN PETROLEUM PRICES BUT THERE WERE NO SURPRISES FROM EITHER THE INFORMAL MEETING OF OPEC NOR FROM ITS JOINT SESSION WITH THE SOCALLED INDEPENDENT PETROLEUM EXPORTING COUNTRIES OR IPEC THE OPEC MEMBERS RENEWED PLEDGES TO ADHERE TO PRODUCTION QUOTAS FOR THE REMAINDER OF THE SECOND QUARTER THEN ALL OF THE EXPORTERS AGREED TO JOINT EFFORTS TO THWART ANY ADVERSE IMPACT ON OIL PRODUCERS FROM NEW ENERGY TAXES PROPOSED BY EUROPE AND THE US WHILE SOME OF THE SIGNALS FROM OMAN MAY HAVE BEEN CONFUSING TO TRADERS THE NEW PROMISES TOWARD PRODUCTION DISCIPLINE HELPED TO KEEP OIL PRICES STEADY THE KUWAITI OIL MINISTER WHO HAD THREATENED TO INCREASE OUTPUT IF OTHERS OVERPRODUCED SAID THE EMIRATE WOULD STAY WITHIN ITS QUOTA AND ALIRIO PARRA THE VENEZUELAN OIL MINISTER WHO IS OPEC'S PRESIDENT SAID HE IS ABSOLUTELY CERTAIN THIS MONTH'S PRODUCTION WILL BE LOWER THAN IT WAS LAST MONTH THEY SAID ALL THE RIGHT THINGS SAID JIM TURNER AN ENERGY ANALYST AT PEGASUS ECONOMETRIC GROUP BUT OILMARKET PARTICIPANTS AREN'T COMPLETELY CONVINCED THAT OPEC IS REALLY GOING TO FOLLOW THROUGH IN BRINGING OUTPUT DOWN TO ITS CEILING OF 236 MILLION BARRELS A DAY THERE IS SOME SKEPTICISM ABOUT OPEC'S STATEMENT THAT IT SUPPLIED THE MARKET WITH ONLY 238 MILLION BARRELS A DAY IN MARCH INDEPENDENT MONITORS OF OPEC'S PRODUCTION ESTIMATED MARCH OUTPUT AS HIGH AS 245 MILLION A DAY PETROLEUM INTELLIGENCE WEEKLY AN OIL INDUSTRY PUBLICATION REPORTED THAT ANY SUSTAINED UPWARD MOVEMENT IN CRUDE PRICES IS LIKELY TO BE TEMPERED BY THE FACT THAT MANY STILL BELIEVE OPEC PRODUCED AT LEAST 500000 BARRELS A DAY MORE THAN THE FIGURES IT SHOWS FOR MARCH FOR OIL MARKETS THE NEXT MAJOR OPEC HURDLE IS THE RELEASE OF THE FIRST APRIL PRODUCTION DATA IN A COUPLE OF WEEKS SAID PIW'S OIL MARKET FLASH A MORE IMMEDIATE HURDLE FOR OIL MARKETS MAY BE THE INDUSTRY'S LATEST REPORT ON US OIL INVENTORIES RELEASED LATE YESTERDAY AFTER FUTURES TRADING HAD ENDED THE REPORT SHOWED THAT CHANGES LAST WEEK IN INVENTORIES OF GASOLINE AND DISTILLATE FUELS WHICH INCLUDE HEATING OIL WERE IN LINE WITH EXPECTATIONS HOWEVER CRUDE OIL INVENTORIES JUMPED A SURPRISING 124 MILLION BARRELS FROM THE PRECEDING WEEK'S LEVEL MUCH MORE THAN HAD BEEN ANTICIPATED IN OTHER COMMODITY MARKETS YESTERDAY GRAINS AND SOYBEANS PRICES OF NEARBY WHEAT FUTURES CONTRACTS ROSE SLIGHTLY IN THE WAKE OF THE AGRICULTURE DEPARTMENT'S MOVE TO LOWER ITS FORECAST OF THE MAY 31 WHEAT STOCKPILE BY 21 MILLION BUSHELS TO 520 MILLION BUSHELS THE STOCKPILE ESTIMATE IS ABOUT 10 ABOVE LAST YEAR'S UNUSUALLY TIGHT LEVEL BUT GOVERNMENT ECONOMISTS ARE EXPECTED TO LOWER THEIR FORECAST AS RUSSIA BEGINS USING ITS RECENT FOOD AID PACKAGE TO IMPORT US CROPS TRADERS GENERALLY EXPECT RUSSIA TO IMPORT ABOUT 20 MILLION BUSHELS OF US WHEAT BY JUNE IN TRADING AT THE CHICAGO BOARD OF TRADE THE WHEAT CONTRACT FOR MAY DELIVERY ROSE 075 CENT A BUSHEL TO SETTLE AT 35125 A BUSHEL SOYBEAN PRICES SLIPPED BECAUSE THE AGRICULTURE DEPARTMENT DIDN'T CHANGE ITS FORECAST FOR A SUPPLY OF 340 MILLION BUSHELS OF SOYBEANS WHEN THE MARKETING YEAR ENDS AUG 31 TRADERS HAD EXPECTED THE DEPARTMENT TO TRIM ITS FORECAST THE DEPARTMENT LOWERED ITS MONTHLY FORECAST OF THE AUG 31 CORN STOCKPILE BY 50 MILLION BUSHELS TO 2187 BILLION BUSHELS AN AMOUNT THAT WOULD BE ROUGHLY TWICE LAST YEAR'S ENDING STOCKPILE LIVESTOCK AND MEATS HOG AND PORKBELLY FUTURES PRICES DECLINED BECAUSE OF WEAKNESS ON THE CASH MARKET FOR PORK THE US AGRICULTURE DEPARTMENT ESTIMATED THAT 115000 HOGS MOVED TO MARKET YESTERDAY UP FROM 92000 A YEAR AGO THE IMPLICATION OF INCREASING NUMBERS OF HOGS MOVING TO MARKET COULD BE THAT HOG PRODUCTION IS PICKING UP AS THE USDA FORECAST IT WOULD IN ITS MARCH HOG AND PIG REPORT SAID DAN VAUGHT LIVESTOCK ANALYST FOR AG EDWARDS & SONS ST LOUIS HOGS FOR JUNE DELIVERY FELL 005 CENT A POUND TO 537 CENTS A POUND WHILE THE PORKBELLY CONTRACT FOR MAY DELIVERY WAS DOWN 022 CENT A POUND TO 5097 CENTS A POUND MEANWHILE THE WEEKLY COLDSTORAGE REPORT RELEASED AFTER TRADING YESTERDAY SHOWED NET INWARD MOVEMENT OF 878000 POUNDS OF FRESH PORK BELLIES INTO COLD STORAGE A TOTAL THAT WAS ON THE HIGH SIDE OF ANALYSTS' EXPECTATIONS THE REPORT COULD BE INTERPRETED AS MILDLY BULLISH DURING PORKBELLY FUTURES TRADING TODAY ALTHOUGH ITS EFFECT PROBABLY WILL BE TEMPERED BY CONTINUING WEAKNESS ON THE CASH MARKET COTTON COTTON FUTURES PRICES DECLINED ON A RETAIL SALES REPORT THAT SHOWED US APPAREL SALES FELL 16 IN MARCH TRADERS REACTED STRONGLY TO THE REPORT BECAUSE OF THE STATE OF COTTON CONSUMPTION GENERALLY ANALYSTS SAID ALTHOUGH CONSUMPTION OF COTTON IN THE US HAS BEEN RELATIVELY STRONG OVERSEAS CONSUMPTION HAS BEEN WEAK SAID THOMAS MUELLER COTTON ANALYST FOR MERRILL LYNCH AND US CONSUMPTION APPEARS TO BE REACHING A PEAK HE SAID THE WEAK APPAREL SALES NUMBER WAS INTERPRETED AS A SIGN THAT US CONSUMPTION MAY NOW BE TRAILING OFF COTTON FOR MAY DELIVERY DECLINED 069 CENT TO 6116 CENTS A POUND 9304140122 930414 IT WOULD BE IMPOLITE TO TELL HIM MONEY MAY ALREADY BE INVOLVED BY RICHARD BORSUK STAFF REPORTER OF THE WALL STREET JOURNAL JAKARTA INDONESIA THE COMMANDER OF INDONESIA'S ARMED FORCES CAN'T MAKE IT AN ORDER BUT HE HAS APPEALED TO CITIZENS NOT TO SAY IT WITH FLOWERS GEN EDI SUDRADJAT ALSO THE NATION'S DEFENSE MINISTER ISSUED A NEWS RELEASE EARLIER THIS MONTH ABOUT THE FANCY FLOWER ARRANGEMENTS MANY INDONESIANS SEND TO SENIOR GOVERNMENT OFFICIALS AND SOLDIERS WHO RECEIVE PROMOTIONS INSTEAD OF FLOWERS THE STATEMENT SAID WELLWISHERS SHOULD SEND CONTRIBUTIONS THAT INSTEAD COULD BE USED FOR SOCIAL PURPOSES SUCH AS AIDING VICTIMS OF A BIG EARTHQUAKE IN EASTERN INDONESIA IN DECEMBER AND OTHER NATURAL DISASTERS THE GENERAL'S COMMENTS CAME NEAR THE END OF A HEAVY FLOWERSENDING SEASON A NEW CABINET WAS NAMED LAST MONTH AND THE MILITARY IS IN THE MIDDLE OF A BIG ROUND OF APPOINTMENTS SO THE FLORAL ARRANGEMENTS HAVE BEEN POURING IN FROM BUSINESSPEOPLE AND OTHERS SEEKING FRIENDS IN HIGH PLACES THE INDONESIAN MILITARY IS INCLUDED IN THE LARGESS BECAUSE IT IS A POWERFUL INSTITUTION THAT CAN INFLUENCE DECISIONS BY SOME MINISTRIES SEVERAL DAYS BEFORE GEN SUDRADJAT'S RELEASE NEWLY APPOINTED MINISTER OF ADMINISTRATIVE REFORM TB SILALAHI SAID THE GOVERNMENT MIGHT REGULATE THE PRACTICE OF SENDING CONGRATULATORY FLOWERS THE MINISTER WAS QUOTED BY THE JAKARTA POST NEWSPAPER AS SAYING THAT WHILE HE PROMISED ON TAKING OFFICE NOT TO RECEIVE ANYTHING THAT HAS TO DO WITH MY POSITION HE COULDN'T KEEP HIS WORD FOR LONG BECAUSE HE RETURNED FROM HIS SWEARINGIN CEREMONY TO FIND THERE WERE FLOWERS EVERYWHERE IN THE GARAGE IN THE GARDEN AND I COULD NOT ENTER MY HOME HE BRIEFLY CONSIDERED SENDING THEM BACK BUT DECIDED THE FLOWERS WOULDN'T LAST LONG ENOUGH TO MAKE THAT PRACTICAL BESIDES HE ADDED I WOULD BE POSSIBLY CONSIDERED CRAZY IT ISN'T CLEAR HOW FLOWERSENDING COULD BE REGULATED AND MR SILALAHI EXPRESSED CONCERN THAT FARMERS WOULD SUFFER IF THE PRACTICE WERE STOPPED DESPITE THE CALLS TO REFORM FLOWER GIVING FLORISTS ARE UNLIKELY TO BE HIT HARD DANI MANAGER OF LAXMI CREATIONS A BIG FLOWER ARRANGER SAYS HE AGREES WITH GEN SUDRADJAT THAT CHARITY DONATIONS ARE A GOOD IDEA BUT HE WOULD STILL EXPECT TO SEE PARALLEL DELIVERIES OF BOUQUETS FLOWER SENDING WILL CONTINUE MR DANI SAYS BECAUSE FLOWERS SEND MESSAGES THAT CAN'T BE EXPRESSED 9304140121 930414 MARKETING & MEDIA HEARST CORP NAMES TOWN & COUNTRY EDITOR AND ESQUIRE PUBLISHER NEW YORK HEARST CORP NAMED A NEW EDITOR AND NEW PUBLISHER AT TWO OF ITS MAJOR TITLES HEARST NAMED PAMELA FIORI THE NEW EDITOR IN CHIEF OF TOWN & COUNTRY SHE HAD BEEN A LONGTIME EXECUTIVE AT AMERICAN EXPRESS PUBLISHING CORP A UNIT OF AMERICAN EXPRESS CO MOST RECENTLY THE COMPANY'S EXECUTIVE VICE PRESIDENT AND EDITORIAL DIRECTOR SINCE 1989 OVERSEEING SUCH TITLES AS TRAVEL & LEISURE AND FOOD & WINE SHE SUCCEEDS JOHN CANTRELL WHO HAD SERVED AS ACTING EDITOR OF TOWN & COUNTRY SINCE THE SUDDEN DEPARTURE OF RON JAVERS LAST MAY HE WILL NOW BECOME DEPUTY EDITOR WITH THE APPOINTMENT OF MS FIORI EFFECTIVE MAY 3 A HIGH SOCIETY BIBLE TOWN & COUNTRY HAS SUFFERED FROM ADVERTISING DECLINES LAST YEAR ITS AD PAGES DROPPED ABOUT 40 ACCORDING TO PUBLISHERS INFORMATION BUREAU AT ESQUIRE HEARST NAMED ALAN STILES AS NEW PUBLISHER HE HAD BEEN ADVERTISING DIRECTOR OF ADVANCE PUBLICATIONS INC'S GQ HE SUCCEEDS NANCY LEWINTER WHO MOVES TO A NEW POST OF GROUP DIRECTOR OF BEAUTY AND FASHION MARKETING FOR ALL HEARST MAGAZINE TITLES AD PAGES AT ESQUIRE HAVE BEEN UP BUT ACCORDING TO THE LAST AUDITED REPORT ITS CIRCULATION HAD DROPPED BY 14 TO 730000 9304140120 930414 MARKETING & MEDIA MAKERS OF A BREW CALLED CRAZY HORSE' WIN APPEAL OF LAW BAN ON USE OF THE SIOUX LEADER'S NAME FOR THE MALT LIQUOR IS REJECTED BY US COURT BY LAURA BIRD STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK THE MAKERS OF CRAZY HORSE A MALT LIQUOR THAT THE US SURGEON GENERAL ATTACKED AS A MALICIOUS MARKETING PLOY WON THEIR LEGAL CHALLENGE TO A FEDERAL LAW AIMED AT BLOCKING THE BREW FROM STORE SHELVES A FEDERAL JUDGE IN BROOKLYN FOUND THAT A LAW CONGRESS PASSED LAST SEPTEMBER PROHIBITING THE USE OF THE CRAZY HORSE NAME ON AN ALCOHOLIC BEVERAGE LABEL WAS UNCONSTITUTIONAL THE STATUTE HAD IN EFFECT REVOKED THE LABEL APPROVAL THAT CRAZY HORSE HAD WON FROM THE US BUREAU OF ALCOHOL TOBACCO AND FIREARMS JUDGE CAROL BAGLEY AMON FOUND THAT THE NARROWLY DRAFTED LAW WAS AN UNCONSTITUTIONAL INFRINGEMENT OF THE FIRST AMENDMENT RIGHTS OF HORNELL BREWING CO THE BROOKLYN MARKETER OF CRAZY HORSE ALL OTHER POTENTIALLY APPEALING NAMES OF REVERED AND IMPORTANT NATIVE AMERICAN ICONS SUCH AS SITTING BULL AND BIG FOOT OR ANY OTHER NAMES OR SYMBOLS THAT MIGHT APPEAL TO NATIVE AMERICANS ARE PERMITTED TO APPEAR ON ALCOHOL LABELS THE JUDGE OBSERVED IN THE ORDER OVERTURNING THE LAW THE LAW WAS ENACTED FOLLOWING A STORM OF CRITICISM FROM THE THENSURGEON GENERAL DR ANTONIA NOVELLO WHO ACCUSED HORNELL BREWING OF CYNICALLY TARGETING NATIVE AMERICANS WHO SUFFER DISPROPORTIONATELY FROM ALCOHOLRELATED DISEASES NATIVE AMERICAN LEADERS CONGRESSIONAL REPRESENTATIVES AND THE GOVERNOR OF SOUTH DAKOTA ATTACKED THE HIGHOCTANE BEER FOR APPROPRIATING THE NAME OF THE VENERATED OGLALA SIOUX LEADER CONGRESS SINGLED OUT ONE NAME BECAUSE IT WAS POLITICALLY INCORRECT AND VIEWED AS OFFENSIVE TO A PARTICULAR GROUP SAID LAWRENCE I FOX HORNELL'S ATTORNEY IT ISN'T A LEGITIMATE GOVERNMENT FUNCTION TO PROTECT PEOPLE FROM WHAT THEY DEEM TO BE OFFENSIVE SETH H BIG CROW SR A TRIBAL COURT JUDGE ON THE ROSEBUD SIOUX RESERVATION IN SOUTH DAKOTA AND ADMINISTRATOR OF THE ESTATE OF THE SIOUX LEADER CRAZY HORSE SAID THROUGH HIS LAWYER THAT HE MAY MOUNT ANOTHER CHALLENGE TO THE BREW THE ASSOCIATED PRESS REPORTED PEOPLE WOULDN'T STAND FOR MARTIN LUTHER KING POLICE BATONS OR RODNEY KING POLICE BATONS BOB GOUGH MR BIG CROW'S LAWYER TOLD THE ASSOCIATED PRESS IT'S THAT LEVEL OR WORSE HORNELL SAYS CRAZY HORSE WASN'T TARGETED AT NATIVE AMERICANS EVEN THOUGH THE BREW'S LABEL INCLUDES IMAGES OF THE BLACK HILLS OF SOUTH DAKOTA AND A DRAWING OF THE SIOUX LEADER HORNELL SAYS THE BREW IS JUST ONE PRODUCT IN A LINE OF WESTERNTHEMED BEVERAGES CRAZY HORSE IS BREWED UNDER CONTRACT BY G HEILEMAN BREWING CO LA CROSSE WIS LAST SPRING THE FEDERAL BUREAU MOVED AGAINST AN EARLIER VERSION OF THE CRAZY HORSE LABEL ON TECHNICAL POINTS WHICH IT SAID CREATED THE MISLEADING IMPRESSION THAT THE MALT LIQUOR WAS A WHISKEY HORNELL HAD AGREED TO MODIFY THE LABEL SUCH AS REMOVING TERMS LIKE FINE BLEND AND REGISTERED AT THE BREWERY 9304140119 930414 TELEDYNE UNIT IS UNDER BAN BY GOVERNMENT SWITCHMAKING SUBSIDIARY CANNOT SEEK CONTRACTS FOR YEAR DUE TO FRAUD BY DAVID J JEFFERSON STAFF REPORTER OF THE WALL STREET JOURNAL A DEFENSE DEPARTMENT AGENCY BANNED TELEDYNE INC'S TELEDYNE RELAYS UNIT FROM GOVERNMENT CONTRACTING FOR ONE YEAR AFTER THE UNIT PLEADED GUILTY LAST YEAR TO MAKING FALSE STATEMENTS ABOUT THE TESTING OF ELECTRONIC SWITCHES USED IN MISSILES AND SPACE LAUNCH VEHICLES TELEDYNE RELAYS IS NOT A PRESENTLY RESPONSIBLE CONTRACTOR THE DEFENSE LOGISTICS AGENCY SAID IN ANNOUNCING THE ACTION WHICH REMAINS IN EFFECT UNTIL APRIL 13 1994 PROTECTION OF THE GOVERNMENT'S BUSINESS INTERESTS REQUIRES THE BAN THE BAN IS THE FIRST SUCH ACTION TAKEN AGAINST A MAJOR DEFENSE CONTRACTOR IN SEVERAL YEARS TELEDYNE A LOS ANGELESBASED AVIATION INDUSTRIAL AND CONSUMERPRODUCTS COMPANY AGREED LAST FALL TO PLEAD GUILTY TO 35 COUNTS OF MAKING FALSE STATEMENTS ABOUT PROPER TESTING IT ALSO AGREED TO PAY A MAXIMUM FINE OF 175 MILLION THE LARGEST CRIMINAL FINE EVER AGAINST A DEFENSE CONTRACTOR FOR MORE THAN SIX YEARS TELEDYNE RELAYS KNOWINGLY AND WILLFULLY SUBMITTED TEST REPORTS TO THE DEFENSE ELECTRONICS SUPPLY CENTER WHICH CONTAINED FALSE STATEMENTS AND CONCEALED MATERIAL FACTS SAID THE AGENCY WHICH SUSPENDED TELEDYNE RELAYS FROM GOVERNMENT CONTRACTING IN OCTOBER AS A RESULT MILLIONS OF NONCOMPLIANT RELAYS WERE INTRODUCED INTO THE GOVERNMENT'S SUPPLY SYSTEM TELEDYNE DID NOT CORRECT THESE QUALITY PROGRAM DEFICIENCIES UNTIL THE GOVERNMENT DISCOVERED THE FRAUD THE DEFENSE LOGISTICS AGENCY SAID AN AGGRAVATING FACTOR IN THE MATTER INVOLVES THE 1989 CONVICTION OF ANOTHER TELEDYNE UNIT TELEDYNE ELECTRONICS WHICH ALSO WAS SUSPENDED FROM CONTRACTING TELEDYNE PROMISED THE GOVERNMENT IN A SOCALLED ADMINISTRATIVE AGREEMENT THAT IT WOULD IMMEDIATELY IMPLEMENT ETHICS AND COMPLIANCE PROGRAMS AT EACH OF ITS OPERATING COMPANIES BUT NO SUCH PROGRAMS WERE IMPLEMENTED AT TELEDYNE RELAYS UNTIL LAST JULY THE GOVERNMENT SAID IN ADDITION TELEDYNE HAS SO FAR FAILED TO REPAY ANY MONEY TO THE GOVERNMENT EVEN THOUGH THE 1989 ADMINISTRATIVE AGREEMENT CALLED FOR PROMPT RESTITUTION IN THE TWO AND A HALF YEARS SINCE THE GOVERNMENT DISCOVERED THE FRAUD AT TELEDYNE RELAYS TELEDYNE HAS PAID NOTHING TO THE DEFENSE DEPARTMENT AS RESTITUTION FOR ITS LOSSES THE DEFENSE LOGISTICS AGENCY SAID A TELEDYNE SPOKESMAN SAID THE COMPANY IS DISAPPOINTED BY THE AGENCY'S ACTION WE THINK IT IS UNJUSTIFIED AS TEST PROCEDURES AND PRODUCT QUALITY AT TELEDYNE RELAYS ARE NO LONGER AN ISSUE HE SAID THAT SINCE THE UNIT WAS SUSPENDED FROM GOVERNMENT CONTRACTING IN OCTOBER 157 EMPLOYEES HAVE LOST THEIR JOBS IT IS LIKELY MORE LAYOFFS WILL OCCUR BECAUSE OF THE DEBARMENT THE UNIT WHICH CURRENTLY HAS 347 EMPLOYEES ACCOUNTED FOR LESS THAN 40 MILLION OF TELEDYNE'S 29 BILLION IN SALES LAST YEAR TELEDYNE RAISED THE POSSIBILITY THAT THE UNIT COULD BE BARRED IN ITS ANNUAL REPORT ISSUED EARLIER THIS YEAR THE GOVERNMENT COULD HAVE BARRED THE UNIT FOR AS LONG AS THREE YEARS TELEDYNE SAID AT THE TIME THE BARRING OF TELEDYNE RELAYS COMES JUST ONE WEEK AFTER TELEDYNE'S NEW PRESIDENT FORMER AIR FORCE SECRETARY DONALD B RICE SAID IN HIS FIRST MEDIA BRIEFING THAT THE COMPANY HAS ACCELERATED AUDITS TO ENSURE COMPLIANCE WITH FEDERAL CONTRACTING RULES TELEDYNE CHAIRMAN WILLIAM RUTLEDGE HAS SAID THAT MR RICE WAS HIRED FOR HIS MANAGERIAL SKILLS AND KNOWLEDGE OF GOVERNMENT DEALINGS NOT TO ENHANCE THE COMPANY'S IMAGE THE COMPANY HAS ACKNOWLEDGED THAT FEDERAL INVESTIGATIONS ARE BEING CONDUCTED AT SEVERAL UNITS INCLUDING TELEDYNE NEOSHO TELEDYNE ELECTRONICS TELEDYNE RYAN AERONAUTICAL AND TELEDYNE WAH CHANG ALBANY ALSO THE US GOVERNMENT HAS INTERVENED IN CIVIL LAWSUITS INVOLVING THE TELEDYNE SYSTEMS AND TELEDYNE CONTROLS UNITS 9304140118 930414 BUSINESS BRIEFS MCI COMMUNICATIONS CORP SAID CERIDIAN CORP WILL SWITCH TO MCI FROM AMERICAN TELEPHONE & TELEGRAPH CO FOR LONGDISTANCE PHONE SERVICE THE AGREEMENT IS A THREEYEAR 15 MILLION CONTRACT THE MOVE FOLLOWS THE FEDERAL COMMUNICATIONS COMMISSION'S RULING ALLOWING USERS OF 800 CUSTOMERSERVICE TELEPHONE NUMBERS TO CHANGE LONGDISTANCE CARRIERS WITHOUT CHANGING NUMBERS TAKECARE INC SIGNED A DEFINITIVE AGREEMENT FOR ITS ACQUISITION OF COMPRECARE INC AURORA COLO US BANKNOTE CORP A PRINTER OF FOOD COUPONS POSTAGE STAMPS AND SECURITIES SIGNED A MEMORANDUM OF UNDERSTANDING TO ACQUIRE A 40 INTEREST IN CICCONE CALCOGRAFICA SA AN ARGENTINE SECURITY DOCUMENT AND LOTTERY TICKET PRINTER GENERAL ELECTRIC CO'S POWER GENERATION UNIT RECEIVED AN 84 MILLION ORDER TO SUPPLY TWO STEAM TURBINEGENERATOR FIELDS TO PENNSYLVANIA POWER & LIGHT CO ALLENTOWN PA FEDERAL EXPRESS CORP REPORTED A 12 INCREASE IN TOTAL PACKAGE VOLUME FOR MARCH REFLECTING GAINS IN ITS PRIORITY AND STANDARD OVERNIGHT SERVICE 9304140117 930414 WILLCOX COMPLETES ACQUISITION NEW YORK WILLCOX & GIBBS INC SAID IT COMPLETED ITS ACQUISITION OF SACKS ELECTRICAL SUPPLY CO INCLUDING THE SACKS ELECTRIC AND MIDLAND ELECTRIC DIVISIONS TERMS WEREN'T DISCLOSED SACKS WITH 1992 SALES OF 539 MILLION IS A CLOSELY HELD OHIOBASED DISTRIBUTOR OF ELECTRICAL SUPPLIES WILLCOX IS AN ELECTRICAL AND INDUSTRIAL PARTS DISTRIBUTOR AND MAKER OF COVERED YARN 9304140116 930414 TECHNOLOGY BELLSOUTH UNIT TO BUY NEW ATM SWITCHES FROM FUJITSU ARM ATLANTA BELLSOUTH TELECOMMUNICATIONS INC A UNIT OF BELLSOUTH CORP SAID IT WILL BUY NEW TELEPHONE NETWORK SWITCHES DESIGNED TO ROUTE VIDEO PICTURES AND VAST AMOUNTS OF DATA FROM FUJITSU NETWORK SWITCHING OF AMERICA A UNIT OF JAPAN'S FUJITSU LTD THE VALUE OF THE CONTRACT FOR THE BIG NETWORK COMPUTERS THAT USE THE NEW TECHNOLOGY KNOWN AS ASYNCHRONOUS TRANSFER MODE OR ATM WASN'T DISCLOSED BELLSOUTH SAID IT HAS ALREADY PLACED ORDERS FOR EIGHT FUJITSU FETEX150 ATM SWITCHING SYSTEMS UNDER THE CONTRACT AND WILL USE THEM TO PROVIDE HIGHSPEED DIGITAL DATA AND VIDEO SERVICES INCLUDING MULTIMEDIA SERVICES THAT COMBINE DATA VOICE AND VIDEO TRANSMISSIONS AS PART OF THE CONTRACT BELLSOUTH WILL ALSO WORK WITH FUJITSU ON DEVELOPING INTERNAL AND CUSTOMER NETWORK MANAGEMENT SYSTEMS JERE DRUMMOND MARKETING GROUP PRESIDENT OF BELLSOUTH TELECOMMUNICATIONS SAID THE COMPANY BELIEVES THERE ARE MANY AREAS INCLUDING BUSINESS MEDICINE EDUCATION SCIENTIFIC RESEARCH AND EVEN THE HOME THAT WILL BENEFIT FROM HIGHSPEED COMMUNICATIONS SERVICES BELLSOUTH SAID IT EXPECTS TO INSTALL A SIGNIFICANT NUMBER OF THE ATM SWITCHES OVER THE NEXT THREE YEARS EARLIER THIS YEAR NYNEX CORP WHITE PLAINS NY BECAME THE FIRST REGIONAL BELL COMPANY TO BUY SWITCHES USING THE NEW TECHNOLOGY THE COMPANY ALSO TAPPED FUJITSU 9304140115 930414 GE'S FIRSTQUARTER PROFIT ROSE 10 EARNINGS EXCEEDED ANALYSTS' ESTIMATES BY AMAL KUMAR NAJ STAFF REPORTER OF THE WALL STREET JOURNAL POSTING STRONGER GAINS THAN EXPECTED IN MOST OF ITS BUSINESSES GENERAL ELECTRIC CO SAID ITS FIRSTQUARTER PROFIT ROSE 10 TO 116 BILLION OR 136 A SHARE JOHN F WELCH JR CHAIRMAN SAID SEVEN OF THE COMPANY'S 12 BUSINESSES INCLUDING FINANCIAL SERVICES PLASTICS AND BROADCASTING OPERATIONS POSTED DOUBLEDIGIT EARNINGS INCREASES HE SAID GE'S OPERATING MARGIN IN THE QUARTER INCREASED TO 12 FROM 115 LAST YEAR GE'S DOUBLEDIGIT EARNINGS INCREASE IN THE FIRST QUARTER POSITIONED THE COMPANY FOR ANOTHER STRONG YEAR OF EARNINGS GROWTH MR WELCH SAID HE ADDED THAT GE'S COMPANYWIDE PROGRAM OF IMPROVING ORDERTODELIVERY TIME WAS TRANSLATING INTO INCREASED EARNINGS AND A STRONGER BALANCE SHEET GE'S 136ASHARE PROFIT WAS BETTER THAN WALL STREET ANALYSTS' CONSENSUS ESTIMATE OF ABOUT 131 A SHARE REACTING TO THE RESULTS MARTIN SANKEY AN ANALYST WITH FIRST BOSTON CORP SAID THE COMPANY HAS DONE A VERY GOOD JOB ON THE COST SIDE AND THAT'S COMING THROUGH IN THIS QUARTER AND SHOULD CONTINUE IN REST OF 1993 IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE GE STOCK CLOSED AT 93125 DOWN 125 CENTS FOR THE 1992 QUARTER GE EARNED 106 BILLION OR 123 A SHARE THE COMPANY'S REVENUE IN THE JUSTENDED PERIOD ROSE 35 TO 1286 BILLION FROM 1243 BILLION GE SAID THAT EXCLUDING THE AEROSPACE DIVISION IT MERGED WITH MARTIN MARIETTA CORP RECENTLY EARNINGS FROM CONTINUING OPERATIONS WERE 109 BILLION OR 127 A SHARE UP 13 FROM THE COMPARABLE 1992 PROFIT OF 964 MILLION OR 112 A SHARE GE BASED IN FAIRFIELD CONN SAID GE CAPITAL SERVICES' NET INCOME IN THE FIRST QUARTER ROSE 22 FROM A YEAR AGO IT SAID BROADCASTING OPERATING PROFIT WAS UP SHARPLY MAINLY AS A RESULT OF LOWER PROGRAMMING AND OVERHEAD COSTS BROADCASTING REVENUE WAS SOMEWHAT HIGHER IT SAID BECAUSE OF ADVERTISING REVENUE FROM THE 1993 SUPER BOWL INDUSTRIAL OPERATING PROFIT WAS MUCH HIGHER ON SOMEWHAT HIGHER REVENUES BECAUSE OF SHARPLY HIGHER LOCOMOTIVE SHIPMENTS GE SAID ITS POWER SYSTEMS' OPERATING PROFIT IMPROVED ON SLIGHTLY LOWER REVENUE AND MATERIALS OPERATIONS POSTED HIGHER OPERATING PROFIT ON FLAT REVENUE THE COMPANY'S APPLIANCE BUSINESS HAD A GOOD INCREASE DESPITE FLAT REVENUE OPERATING PROFIT OF GE'S TECHNICAL PRODUCTS AND SERVICES DECLINED ON LOWER REVENUE GE AIRCRAFT ENGINE ONE OF GE'S LARGEST DIVISIONS POSTED SHARPLY LOWER OPERATING PROFIT THAN A YEAR AGO IN THE FACE OF A SHRINKING DEFENSE MARKET AND A WEAK AIRLINE INDUSTRY GE SAID THE LOWER PROFIT RESULTED FROM INCREASED PRODUCT DEVELOPMENT COSTS AND COSTS RELATED TO RESTRUCTURING THE PORTION OF THE BUSINESS THAT SERVES THE COMMERCIAL AIRLINE INDUSTRY RUSSELL LEAVITT AN ANALYST AT SALOMON BROTHERS INC SAID THE COMPANY'S EARNINGS WERE QUITE FAVORABLE ESPECIALLY CONSIDERING THAT GE'S AIRCRAFT ENGINE BUSINESS WAS WEAK BOTH MR SANKEY AND MR LEAVITT CITED GE'S SUSTAINED EARNINGS GROWTH IN THE FACE OF DIFFICULT ECONOMIC CONDITIONS AS A MAJOR REASON FOR THE RECENT STEADY RISE IN GE'S STOCK PRICE AT THE START OF THE YEAR GE STOCK WAS TRADING AT 8612 COMPARED WITH YESTERDAY'S CLOSING PRICE OF 93125 THEY SAID THAT DESPITE THE RECENT INCREASES GE STOCK IS UNDERVALUED COMPARED WITH OTHER BLUECHIP COMPANIES ESPECIALLY THOSE INVOLVED IN SLUMPING INDUSTRIES SUCH AS COMPUTERS DRUGS AND TOBACCO IT MAY WELL BE THAT GE IS STARTING TO ASSUME THE MANTLE OF MARKET BELLWETHER SAID MR SANKEY 9304140114 930414 CORPORATE FOCUS GTECH HOLDINGS' WINNING WAYS OFTEN ATTRACT SCRUTINY TWISTS IN INVESTIGATIONS CAUSE GAMBLING COMPANY'S SHARES TO RISE AND FALL BY RON SUSKIND STAFF REPORTER OF THE WALL STREET JOURNAL WHEN IT COMES TO STATE LOTTERIES NOTHING IS PREDICTABLE EXCEPT PERHAPS THAT WHEREVER GTECH HOLDINGS CORP GOES CONTROVERSY FOLLOWS CONTRACTS AWARDED TO FASTGROWING GTECH TO RUN STATE LOTTERIES HAVE LED TO INVESTIGATIONS IN CALIFORNIA AND MARYLAND ISSUES OF INTEGRITY SADDLE THE COMPANY IN A PROSPECTUS FOR A SECONDARY STOCK OFFERING IN DECEMBER GTECH SPENT FOUR PAGES DETAILING INVESTIGATIONS LAWSUITS BY COMPETITORS AND STATES' EXTENSIVE BACKGROUND CHECKS OF ITS EXECUTIVES THE COMPANY HAS OFTEN BEEN ACCUSED BY CRITICS OF IMPROPERLY SWAYING LEGISLATORS OR USING UNDUE INFLUENCE TO GAIN CONTRACTS SOUR GRAPES BY BEATEN COMPETITORS REPLIES GTECH WHICH IS BASED IN PROVIDENCE AND COMMANDS JUST OVER 70 OF THE ONLINE LOTTERY MARKET IN ALL OF THOSE INVESTIGATIONS THERE'S NEVER BEEN ANY INSTANCE OF WRONGDOING SAYS GUY SNOWDEN GTECH'S COCHAIRMAN AND CHIEF EXECUTIVE OFFICER THIS COMPANY IS ABSOLUTELY STERLING WHILE STATE INVESTIGATIONS HAVEN'T TURNED UP ANY EVIDENCE OF IMPROPRIETY THE CONSTANT SCRUTINY HAS MADE GTECH STOCK SOMETHING OF A GAMBLE DESPITE RAPID GROWTH IN REVENUE AND EARNINGS GTECH SHARES OFTEN RISE AND FALL WITH THE LATEST TWIST IN THE LATEST INVESTIGATION FOLLOWING AN INITIAL PUBLIC OFFERING AT 17 LAST JULY GTECH'S STOCK ROSE TO A HIGH OF 45875 IN JANUARY AND NOW IS TRADING IN THE MID30S IN LATE NEW YORK STOCK EXCHANGE TRADING YESTERDAY GTECH ROSE 375 CENTS TO 3450 A SHARE AS THE STOCK HAS CLIMBED EARNINGS PROJECTIONS ALSO HAVE BEEN IMPRESSIVE ANALYSTS EXPECT GTECH TO POST REVENUE FOR FISCAL 1993 ENDED FEB 27 OF 485 MILLION A 39 INCREASE FROM FISCAL 1992 WITH NET INCOME OF ABOUT 25 MILLION UP 81 OVER THE PREVIOUS YEAR THE COMPANY IS A TRUE GROWTH STORY SAYS KURT FEUERMAN AN ANALYST WITH MORGAN STANLEY & CO YOU HAVE TO LOOK AT IT LIKE ANY OTHER COMPANY WITH STRONG FUNDAMENTALS INDEED BUDGETSTRAPPED STATES HAVE A TOUGH TIME SAYING NO TO LOTTERIES WITH GAMES LIKE LOTTO OFFERED IN 34 STATES 24 OF WHICH ARE GTECH CLIENTS BUT THE COMPANY'S STAR IS NOW HITCHED TO KENO A GAME LONG PLAYED IN CASINOS IN WHICH PLAYERS PICK 10 NUMBERS FROM ONE TO 80 TO MATCH AGAINST 20 NUMBERS SELECTED IN A DRAWING THE APPEAL TO STATES IS FREQUENCY A KENO DRAWING IS HELD AS OFTEN AS EVERY FIVE MINUTES THE SIX STATES OPERATING KENO GAMES REPORT REVENUE INCREASES OF 30 TO 50 ONCE THE GAMES ARE ADDED IN CALIFORNIA WHERE GTECH HAS OPERATED THE STATE LOTTERY SINCE 1986 THE COMPANY BEGAN BIDDING THIS YEAR FOR A NEW CONTRACT WORTH ABOUT 250 MILLION OVER FIVE YEARS IN FEBRUARY THOUGH CALIFORNIA GOV PETE WILSON ORDERED A REVIEW OF THE BIDDING PROCESS IN RESPONSE TO CLAIMS BY GTECH'S MAIN COMPETITOR BOZEMAN MONTBASED VIDEO LOTTERY TECHNOLOGIES INC THAT THE DETAILED SPECIFICATIONS OF THE BID REQUEST SO FAVORED GTECH THAT VIDEO LOTTERY COULDN'T EVEN BID GOV WILSON TWO WEEKS AGO SAID THE BIDDING PROCESS NEEDS AMENDING BUT DECIDED THE SELECTION SHOULD PROCEED VIRTUALLY GUARANTEEING GTECH THE CONTRACT BUT QUESTIONS LINGER IN CALIFORNIA ALSO IN FEBRUARY A FORMER GTECH LOBBYIST CLAYTON R JACKSON WAS INDICTED ON 12 COUNTS OF RACKETEERING AND BRIBERY ONE COUNT ACCUSES HIM OF ILLEGALLY TRADING CAMPAIGN CONTRIBUTIONS TO ALAN ROBBINS A STATE SENATOR IN EXCHANGE FOR LEGISLATIVE FAVORS TO GTECH MR ROBBINS PLEADED GUILTY TO RACKETEERING AND INCOMETAX FRAUD IN 1991 GTECH HASN'T BEEN CHARGED IN THE MATTER AND PLAYS DOWN THE INCIDENT SAYING IT WAS AT THE TIME UNAWARE OF ANY IMPROPRIETY AND IS COOPERATING WITH FEDERAL PROSECUTORS BUT MR ROBBINS IN AN AFFIDAVIT UNSEALED LAST MONTH AT MR JACKSON'S BAIL HEARING SAYS MR JACKSON GUARANTEED HIM A CAMPAIGN CONTRIBUTION IF HE HELPED DEFEAT A BILL FAVORING SCIENTIFIC GAMES INC A GTECH COMPETITOR A MONTH AFTER THE BILL FAILED MR ROBBINS SAYS GTECH MADE TWO CONTRIBUTIONS TOTALING 13500 TO HIM GTECH'S MR SNOWDEN ACKNOWLEDGES THAT PAYMENTS LIKE THOSE TO MR ROBBINS HAVE BEEN A PROBLEM WE DIDN'T UNDERSTAND WHO OR WHAT OR WHY WE WERE DOING SOME THINGS HE SAYS OUR LOBBYISTS JUST TOLD US WHO TO MAKE CONTRIBUTIONS TO AND WE WROTE THE CHECKS HE SAID THAT IN 1987 GTECH TIGHTENED ITS LOBBYING RULES TO GET BETTER ACCOUNTING OF WHERE WE WERE CONTRIBUTING MONEY IN MARYLAND FEDERAL PROSECUTORS ARE INVESTIGATING WHETHER GTECH SOLD LOTTERY COMPUTERS TO THE STATE AT A BARGAIN PRICE BECAUSE IT ALLEGEDLY WAS ASSURED BY THE STATE IT WOULD GET A SUBSEQUENT CONTRACT FOR KENO WORTH 49 MILLION IN REVENUE TO THE COMPANY OVER FIVE YEARS SUCH A QUID PRO QUO WOULD BE ILLEGAL GTECH AND STATE LOTTERY OFFICIALS DENY ANY SUCH DEAL WAS STRUCK IN NEW YORK WHERE GTECH RECENTLY WON A FIVEYEAR 1525 MILLION LOTTERY CONTRACT VIDEO LOTTERY IS SUING THE STATE VIDEO LOTTERY WHICH LOST OUT TO GTECH CLAIMS THE STATE'S BID EVALUATION COMMITTEE LAST SPRING RECOMMENDED IT AFTER A NINEMONTH REVIEW AND THEN ON MAY 14 1992 STRAYED FROM ITS BID CRITERIA INEXPLICABLY REVERSED ITSELF COMPLETELY AND CHOSE GTECH BOTH GTECH AND STATE LOTTERY OFFICIALS SAY THE BIDDING WAS FAIR MR SNOWDEN DECLINES TO SAY HOW MUCH GTECH SPENDS EACH YEAR ON LOBBYING OR ON CONTRIBUTIONS TO CAMPAIGNS OF STATE LEGISLATORS BUT STATE LOTTERY OFFICIALS SAY THE SUMS ARE LARGE THEY ALSO POINT OUT THAT IN THE FIERCE COMPETITION FOR GAMING CONTRACTS COMPANIES TEND TO WHISPER ALLEGATIONS ABOUT EACH OTHER FEDERAL PROSECUTORS POINT TO A DIFFERENT PROBLEM STATE LOTTERY OFFICIALS OFTEN LEAVE POSTS TO WORK FOR GAMBLING COMPANIES CAUSING POTENTIAL CONFLICTS OF INTEREST BOTH GTECH AND VIDEO LOTTERY WHICH ANALYSTS EXPECT TO HAVE 1993 REVENUE OF BETWEEN 150 MILLION AND 180 MILLION EMPLOY FORMER LOTTERY OFFICIALS IT'S JUST THE NATURE OF THE BEAST SAYS WILLIAM SPIER A DIRECTOR AND THE LARGEST SHAREHOLDER OF VIDEO LOTTERY WHICH JUST HIRED OREGON'S FORMER LOTTERY DIRECTOR AS ITS CHIEF OPERATING OFFICER THERE ARE ONLY A FEW PLACES FOR THEM TO GO MEANWHILE GTECH AND VIDEO LOTTERY ARE GEARING UP FOR THE BATTLE OF BRITAIN WHICH THIS FALL WILL OFFER UP THE GRANDEST LOTTERY CONTRACT YET BRINGING THE WINNING COMPANY MORE THAN 300 MILLION IN ANNUAL REVENUE THAT IS TWICE THE SIZE OF THE REVENUE GENERATED BY NEW YORK'S LOTTERY THE BIGGEST IN THE US EVERYTHING I'VE DONE IN MY BUSINESS LIFE HAS BEEN A DRESS REHEARSAL FOR THIS SAYS MR SNOWDEN WHO LAST YEAR SPENT THREE MONTHS MEETING BRITISH OFFICIALS SO WHEN THE INEVITABLE QUESTIONS ARE RAISED THEY'LL FEEL COMFORTABLE CALLING AND ASKING ME TO EXPLAIN 9304140113 930414 SEC CHAIRMAN TO REMAIN THROUGH END OF MONTH WASHINGTON RICHARD BREEDEN SAID HE WILL REMAIN AS CHAIRMAN OF THE SECURITIES AND EXCHANGE COMMISSION THROUGH THE END OF THIS MONTH ABOUT TWO WEEKS BEYOND HIS PREVIOUSLY ANNOUNCED DEPARTURE DATE MR BREEDEN WHOSE FOURYEAR TERM ENDS IN JUNE HAD ANNOUNCED IN FEBRUARY THAT HE INTENDED TO LEAVE TOMORROW BUT THE WHITE HOUSE HAS MADE NO FORMAL ANNOUNCEMENT OF A SUCCESSOR AND MR BREEDEN SAID HE WOULD LIKE TO SEE SOME PENDING SEC ACTIONS THROUGH TO COMPLETION THE MAN STILL CONSIDERED A FRONTRUNNER TO SUCCEED MR BREEDEN ARTHUR LEVITT JR SAID HE HASN'T BEEN CONTACTED BY THE WHITE HOUSE 9304140112 930414 TWO WALL STREET JOURNAL REPORTERS WIN PULITZER FOR COVERAGE OF GM'S TURMOIL NEW YORK TWO WALL STREET JOURNAL REPORTERS WERE AWARDED A PULITZER PRIZE JOURNALISM'S HIGHEST HONOR FOR THEIR COVERAGE OF THE MANAGEMENT TURMOIL LAST YEAR AT GENERAL MOTORS CORP THE REPORTERS DETROIT BUREAU CHIEF PAUL INGRASSIA 42 YEARS OLD AND DEPUTY BUREAU CHIEF JOSEPH B WHITE 34 WERE HONORED FOR BEAT REPORTING AS THEY FOLLOWED THE UNPRECEDENTED UPHEAVAL AT GM INCLUDING HUGE FINANCIAL LOSSES MASSIVE FACTORY CLOSINGS AND IN OCTOBER THE OUSTER OF CHAIRMAN ROBERT C STEMPEL THE AWARD BRINGS TO 15 THE NUMBER OF PULITZERS WON BY THE JOURNAL WHICH IS PUBLISHED BY DOW JONES & CO THE WASHINGTON POST WON THREE PULITZER PRIZES INCLUDING ONE TO DAVID MARANISS FOR NATIONAL REPORTING FOR HIS COVERAGE OF PRESIDENTIAL CANDIDATE BILL CLINTON GEORGE LARDNER JR WAS HONORED FOR FEATURE WRITING HE EXAMINED HIS DAUGHTER'S MURDER BY A VIOLENT MAN WHO HAD SLIPPED THROUGH THE CRIMINAL JUSTICE SYSTEM THE POST'S MICHAEL DIRDA WAS HONORED FOR HIS BOOK REVIEWS DISASTER COVERAGE RECEIVED MAJOR AWARDS THE PRIZE FOR SPOT NEWS REPORTING WENT TO THE LOS ANGELES TIMES FOR BALANCED COMPREHENSIVE PENETRATING COVERAGE UNDER DEADLINE PRESSURE OF THE SECOND AND MOST DESTRUCTIVE DAY OF LAST YEAR'S LOS ANGELES RIOTS THE MIAMI HERALD WON THE PUBLIC SERVICE GOLD MEDAL FOR REPORTING ON HURRICANE ANDREW THE AWARD NOTED THAT THE HERALD NOT ONLY HELPED READERS COPE WITH DEVASTATION BUT ALSO SHOWED HOW LAX ZONING INSPECTION AND BUILDING CODES HAD CONTRIBUTED TO THE DESTRUCTION LIZ BALMASEDA OF THE HERALD WAS HONORED FOR HER COMMENTARY FROM HAITI AND FOR COLUMNS ABOUT CUBANAMERICANS IN MIAMI TWO PRIZES WERE AWARDED FOR INTERNATIONAL REPORTING THEY WENT TO JOHN F BURNS OF THE NEW YORK TIMES FOR COURAGEOUS AND THOROUGH COVERAGE OF THE DESTRUCTION OF SARAJEVO AND THE BARBAROUS KILLINGS IN THE WAR IN BOSNIAHERZEGOVINA AND TO ROY GUTMAN OF NEWSDAY FOR COURAGEOUS AND PERSISTENT REPORTING THAT DISCLOSED ATROCITIES AND OTHER HUMAN RIGHTS VIOLATIONS IN CROATIA AND BOSNIAHERZEGOVINA FOR THE SEVENTH TIME IN 77 YEARS AND THE FIRST TIME SINCE 1981 NO PRIZE WAS AWARDED FOR EDITORIAL WRITING LAST YEAR NO AWARD WAS GIVEN FOR CRITICISM THE WINNERS WERE ANNOUNCED BY COLUMBIA UNIVERSITY WHICH ADMINISTERS THE COMPETITION EACH AWARD CARRIES A CASH PRIZE OF 3000 EXCEPT THE PUBLIC SERVICE AWARD WHICH COMES WITH A GOLD MEDAL THE AWARDS WILL BE PRESENTED MAY 24 MR INGRASSIA RECEIVED A BACHELOR'S DEGREE IN JOURNALISM FROM THE UNIVERSITY OF ILLINOIS AT URBANA AND A MASTER'S DEGREE IN JOURNALISM FROM THE UNIVERSITY OF WISCONSIN IN MADISON HE WORKED AS AN EDITORIAL WRITER AT THE LINDSAYSCHAUB NEWSPAPER GROUP IN DECATUR ILL BEFORE JOINING THE JOURNAL IN 1977 AS A REPORTER IN CHICAGO HE SERVED AS CLEVELAND BUREAU CHIEF FROM 1981 UNTIL 1985 WHEN HE BECAME THE DETROIT BUREAU CHIEF MR WHITE JOINED THE DETROIT BUREAU IN 1987 AND WAS NAMED DEPUTY BUREAU CHIEF IN JULY 1990 HE RECEIVED A BACHELOR'S DEGREE IN ENGLISH FROM HARVARD UNIVERSITY HE BEGAN HIS JOURNALISM CAREER IN 1979 AS A REPORTER WITH THE VINEYARD GAZETTE EDGARTOWN MASS HE JOINED THE ST PETERSBURG FLA TIMES AS A REPORTER IN 1982 AND MOVED TO THE CONNECTICUT LAW TRIBUNE AS A REPORTER IN 1986 IN HIS LETTER NOMINATING THEIR COVERAGE JOURNAL MANAGING EDITOR PAUL E STEIGER NOTED THAT ALTHOUGH COVERAGE OF GM WAS HIGHLY COMPETITIVE THE TWO JOURNAL REPORTERS EXCELLED THROUGHOUT THE YEAR IN BREAKING NEWS ON THE COMPANY THAT WAS AUTHORITATIVE COMPREHENSIVE AND UNFAILINGLY ACCURATE EVEN WHEN RUMORS WERE FLYING THE REPORTING INCLUDED AN APRIL 13 LOOK AT HOW THE SUDDEN SHAKEUP HAD BEEN DEVELOPING FOR YEARS UNDER THE GUIDANCE OF CORPORATE LAWYER IRA MILLSTEIN IN OCTOBER THE JOURNAL WAS THE FIRST TO DISCLOSE THAT FORMER PROCTER & GAMBLE CHAIRMAN JOHN G SMALE WOULD TAKE EFFECTIVE CONTROL OF THE AUTO MAKER AND IN LATE OCTOBER MR INGRASSIA SUGGESTED ON THE JOURNAL'S OPED PAGE THAT THE GM BOARD'S ACTION WOULD BE A FORERUNNER OF TAKEOVERS TO COME A PREDICTION THAT HAS PROVED CORRECT TWO OTHER WALL STREET JOURNAL REPORTERS WERE FINALISTS IN THE PULITZER COMPETITION DENNIS FARNEY IN EXPLANATORY JOURNALISM FOR A SERIES ON THE AMERICAN CIVILIZATION EXAMINING JEFFERSONIAN IDEALS IN CONTEMPORARY AMERICA AND JUDITH VALENTE IN FEATURE WRITING FOR A STORY ABOUT A FAMILY BROUGHT TOGETHER AS IT COPED WITH THE TRAGEDY OF AIDS INVESTIGATIVE REPORTING JEFF BRAZIL AND STEVE BERRY ORLANDO SENTINEL BEAT REPORTING PAUL INGRASSIA AND JOSEPH B WHITE THE WALL STREET JOURNAL INTERNATIONAL REPORTING JOHN F BURNS NEW YORK TIMES AND ROY GUTMAN NEWSDAY SPOT NEWS PHOTOGRAPHY KEN GEIGER AND WILLIAM SNYDER DALLAS MORNING NEWS EDITORIAL WRITING NO AWARD FICTION ROBERT OLEN BUTLER FOR A GOOD SCENT FROM A STRANGE MOUNTAIN DRAMA TONY KUSHNER FOR ANGELS IN AMERICA MILLENNIUM APPROACHES HISTORY GORDON S WOOD THE RADICALISM OF THE AMERICAN REVOLUTION BIOGRAPHY DAVID MCCULLOUGH FOR TRUMAN POETRY LOUISE GLUCK FOR THE WILD IRIS GENERAL NONFICTION GARRY WILLS FOR LINCOLN AT GETTYSBURG THE WORDS THAT REMADE AMERICA MUSIC CHRISTOPHER ROUSE FOR TROMBONE CONCERTO 9304140111 930405 THE CASE OF THE MISSING BAT BY JOSEPH R CARRIERI BASEBALL'S OPENING DAY ALWAYS BRINGS WITH IT A SENSE OF HOPE AND EXCITEMENT A FEELING THAT ANYTHING IS POSSIBLE FOR ME IT ALSO BRINGS BACK A BASEBALL MEMORY WHEN FORTUNE SMILED ON THE YANKEES AND ON ME IN 1947 THROUGH A REMARKABLE COINCIDENCE OF LUCK FRIENDSHIP AND TALENT MY BIG BROTHER RALPH BECAME THE BAT BOY FOR THE NEW YORK YANKEES THE NEWS SPREAD THROUGHOUT OUR SOUTH BRONX NEIGHBORHOOD LIKE A RUNAWAY FIRE ONE OF OUR OWN WAS TO WEAR THE YANKEE PINSTRIPES ALONG WITH JOE DIMAGGIO PHIL RIZZUTO AND YOGI TWO YEARS LATER RALPH PUT IN THE GOOD WORD THAT GOT ME STARTED ON A SEVENYEAR CAREER AS THE BAT BOY FOR THOSE DAMN YANKEE TEAMS THAT WOULD DOMINATE THE AMERICAN LEAGUE AND BETWEEN 1949 AND 1953 ESTABLISH AN UNSURPASSED RECORD OF FIVE CONSECUTIVE WORLD SERIES VICTORIES DURING THE 1949 SEASON THOUGH I WAS THE BAT BOY FOR THE VISITING TEAMS THE BEGINNER'S RUNG FOR THE BAT AND BALL BOYS SINCE I SPENT MOST OF MY OFFFIELD TIME IN THE VISITOR'S CLUBHOUSE AS THE SEASON WORE ON I GOT TO TALK TO SUCH GREAT PLAYERS AS THE TIGERS' AL KALINE AND TED WILLIAMS OF THE RED SOX BUT AS MUCH AS I ENJOYED BEING WITH THE VISITING PLAYERS I LONGED TO BE IN THE YANKEE CLUBHOUSE WITH MY REAL HEROES I HURRIED OVER FROM THE VISITOR'S CLUBHOUSE AFTER EVERY GAME SO I COULD HANG OUT THERE WHILE WAITING FOR MY BROTHER TO FINISH UP HIS CHORES AFTER A COUPLE OF MONTHS I KNEW MOST OF THE YANKEES ON A FIRSTNAME BASIS LATE IN THE SEASON THE YANKEES WERE INVOLVED IN A THREEWAY PENNANT RACE WITH THE CLEVELAND INDIANS AND THE RED SOX THE INDIANS LIKE THE YANKEES HAD AN AWESOME TEAM WITH A PARTICULARLY FINE PITCHING STAFF INCLUDING EARLY WYNN BOB FELLER AND HERB SCORE THE INDIANS ALSO HAD A HEAVY SLUGGER PLAYING THIRD BASE AL ROSEN AL WAS A STRONG STOCKY PLAYER WHO OFTEN HIT FOR EXTRA BASES OR HOME RUNS WHILE HE WAS HAVING A GREAT YEAR AL WAS HAVING AN EVEN BETTER YEAR AGAINST THE YANKEES AND WAS GATHERING A REPUTATION AROUND THE LEAGUE AS A YANKEE KILLER DURING A SUMMER HOMESTAND WITH THE INDIANS I STUMBLED INTO A CONVERSATION ABOUT THE VISITING TEAM IN THE YANKEE CLUBHOUSE AFTER A PARTICULARLY BAD GAME FOR THE YANKEES AND A VERY GOOD ONE FOR THE INDIANS AND AL ROSEN RALPH WAS NOWHERE IN SIGHT THAT ROSEN FELLA'S GOT OUR NUMBER SOMEONE SAID SURE DOES WAS A REPLY FROM ANOTHER YANKEE KEEPS HITTING LIKE THAT WE'RE GONNA SEE A PENNANT FLYING IN CLEVELAND STADIUM NEXT YEAR SOMEONE ELSE SAID I JUST NODDED IN AGREEMENT I WASN'T REALLY PART OF THIS CONVERSATION AND I WAS JUST TRYING TO SKIRT THIS SMALL MOB AND FIND RALPH BUT STRANGELY THIS SWARM OF YANKEE UNIFORMS SEEMED TO FOLLOW ME WHEN I MOVED THEY MOVED WITH ME PRETTY SOON I WAS IN A CORNER SURROUNDED I HEAR HE'S GOT A YANKEESLAYING BAT HE LOVES MORE THAN LIFE ITSELF ANOTHER PLAYER CHIMED IN SURE WOULD HELP US YANKEES JOE IF SOMEONE PURLOINED THAT BAT WELL PURLOIN WASN'T IN MY EVERYDAY VOCABULARY OR THEIRS EITHER BUT I HAD THE GENERAL IDEA THE VERY THOUGHT OF IT GAVE ME THE COLD SWEATS AS BAT BOY I OBSERVED FIRSTHAND HOW ATTACHED HITTERS WERE TO THEIR FAVORITE BATS ESPECIALLY IF THEY WERE ON A STREAK AT THAT MOMENT ONE OF THE YANKEE GREATS CAME OVER HEY WHAT'S THE MATTER WITH YOU GUYS YOU'RE ASKING A 13YEAROLD BOY FROM ST JEROME'S SCHOOL TO STEAL ANOTHER PLAYER'S BAT I BREATHED A SIGH OF RELIEF WHY HE SAID THAT'S NOT ONLY UNETHICAL AND UNSPORTSMANLIKE IT'S THE ULTIMATE IN BAD TASTE BY THIS POINT HE HAD PUT HIS ARM AROUND MY SHOULDER WHAT KIND OF EXAMPLE ARE YOU GUYS SETTING THE PRESSURE ON MY SHOULDER INCREASED AS HE CONTINUED JUST BECAUSE IT COULD HELP US WIN THE PENNANT JUST BECAUSE HE'S THE VISITING BAT BOY AND HE COULD TAKE ROSEN'S BAT AND NO ONE WOULD EVER BE THE WISER AND JUST BECAUSE HE'S A YANKEE LIKE THE REST OF US WELL I LOOKED AT THE YANKEE PLAYERS AND WAS SPEECHLESS WHEN I ARRIVED THE NEXT AFTERNOON JUST OUTSIDE THE VISITOR'S CLUBHOUSE THERE WAS A THUNDEROUS COMMOTION INSIDE NO SOONER HAD I OPENED THE DOOR THAN GEORGE THE VISITING CLUBHOUSE MAN WAS ALL OVER ME JOE DO YOU KNOW ANYTHING ABOUT AL ROSEN'S BAT I OPENED MY MOUTH BUT NO WORDS FOUND THEIR WAY OUT IN A MATTER OF SECONDS AL ROSEN STORMED UP TO ME YOU'RE IN CHARGE OF THE BATS WHERE IS MY GAME BAT TERRIFIED I MEEKLY PROTESTED WHEN I LEFT THE CLUBHOUSE LAST NIGHT YOUR BAT WAS IN THE BAT BAG AL LOOKED AT ME WITH UTTER CONTEMPT LIKE A MAN POSSESSED HE TORE THE CLUBHOUSE APART AND SOON HAD THE ENTIRE INDIANS TEAM RUMMAGING THROUGH EVERY NOOK AND CRANNY OF THE VISITOR'S CLUBHOUSE FOR HIS BELOVED BAT IT WAS NOWHERE TO BE FOUND AL ROSEN WENT O FOR 4 THAT DAY THE YANKEES WON AND NOT LONG AFTER THE INDIANS WERE OUT OF CONTENTION LEAVING THE PENNANT RACE BETWEEN THE YANKEES AND THE BOSTON RED SOX AS SOON AS I WALKED INTO THE YANKEE CLUBHOUSE AFTER THE GAME AT LEAST A HALF DOZEN PLAYERS RAN OVER TO ME SHAKING MY HAND AND PATTING ME ON THE BACK SAYING THATABOY JOE WE KNEW WE COULD COUNT ON YOU YOU'RE A YANKEE NOW I SAID NOT A WORD TO THIS DAY THEORIES ABOUND BUT AS LONG AS CLUBHOUSE WALLS ARE SILENT THE FINAL RESTING PLACE OF AL ROSEN'S BAT REMAINS A MYSTERY MR CARRIERI IS A LAWYER IN MINEOLA NY SEE RELATED LETTER LETTERS TO THE EDITOR STARTING LINEUP 1949 MEMORY BEGINS TO FADE WSJ APRIL 13 1993 9304050089 9304140110 930414 EXSHEARSON BROKER FACES CRIMINAL CHARGE IN ALLEGED COVERUP NEW YORK A FORMER SHEARSON LEHMAN BROTHERS INC BROKER ACCUSED BY A CLIENT OF CHURNING HER ACCOUNT NOW FACES CRIMINAL CHARGES FOR AN ALLEGED COVERUP AT AN ARBITRATION HEARING CHARLES LEWIS WHO WAS A BROKER IN A LARGE MANHATTAN BRANCH OFFICE OF SHEARSON FACES FOUR CRIMINAL COUNTS TWO OF MAIL FRAUD ONE OF PREPARING FALSE BOOKS AND RECORDS AND ONE OF CONSPIRACY ACCORDING TO AN INDICTMENT MADE PUBLIC YESTERDAY BY THE US ATTORNEY'S OFFICE IN MANHATTAN THE INDICTMENT ALLEGES THAT MR LEWIS CONSPIRED WITH EDWARD COYLE WHO WAS A COMPLIANCE OFFICER IN THAT OFFICE TO PRESENT FALSE EVIDENCE TO A 1989 ARBITRATION HEARING BY THE NATIONAL ASSOCIATION OF SECURITIES DEALERS WHICH REGULATES THE OVERTHECOUNTER STOCK MARKET MR COYLE WHO ALREADY HAD BEEN CHARGED WITH THE TWO COUNTS OF MAIL FRAUD AND THE ONE COUNT OF PREPARING FALSE BOOKS AND RECORDS NOW ALSO FACES THE CONSPIRACY CHARGE THE INDICTMENT IS A RARE EXAMPLE OF PROSECUTORS GETTING INVOLVED IN ARBITRATION HEARINGS THE ARBITRATION WAS INITIATED BY CAROL DAVIS A CLIENT OF MR LEWIS WHO ACCUSED HIM OF CHURNING OR EXCESSIVE TRADING TO GENERATE COMMISSIONS SHE SOUGHT 218046 FROM SHEARSON WHICH INCLUDED MORE THAN 70000 SHE HAD PAID IN COMMISSIONS THE NASD ARBITRATION PANEL THAT CONSIDERED THE CASE AWARDED MS DAVIS ONLY 70200 PROSECUTORS SAY THAT MESSRS LEWIS AND COYLE FORGED A LETTER FROM MS DAVIS THAT APPEARED TO APPROVE OF THE ACTIVITY IN HER ACCOUNT THE INDICTMENT ALSO ALLEGES THAT MR LEWIS PAID MR COYLE 6000 AND MADE HIM THE BENEFICIARY OF A 50000 LIFE INSURANCE POLICY TO REWARD HIM FOR ASSISTING IN THE COVERUP ATTORNEYS FOR BOTH MEN SAY THEIR CLIENTS INTEND TO FIGHT THE CHARGES AND EXPECT TO BE VINDICATED BOTH MEN LEFT SHEARSON A UNIT OF AMERICAN EXPRESS CO IN DECEMBER 9304140108 930414 LEISURE & ARTS BUSINESS BOOKSHELF EXCELLENCE AMONG ETHNIC GROUPS BY TODD G BUCHHOLZ IN HIS ENGAGING NEW BOOK TRIBES HOW RACE RELIGION AND IDENTITY DETERMINE SUCCESS IN THE NEW GLOBAL ECONOMY RANDOM HOUSE 343 PAGES 24 JOEL KOTKIN EXAMINES THE PEOPLE WHO HAVE POLLINATED BUSINESS AROUND THE WORLD HE DEFINES THESE GLOBAL TRIBES AS WIDELY DISPERSED ETHNIC GROUPS THAT MAINTAIN STRONG FAMILY AND FINANCIAL BONDS AND SHOW A PASSION FOR TECHNICAL PROGRESS WHO ARE THESE PEOPLE MR KOTKIN A LOS ANGELESBASED JOURNALIST CITES JEWS BRITONS JAPANESE CHINESE AND INDIANS FROM INDIA WHILE SOME SCHOLARS MAY PORTRAY SUCH TRIBES AS SOUVENIRS OF PREMODERN TIMES READY TO BE FOSSILIZED BY ASSIMILATION INTERMARRIAGE AND THE HOMOGENIZING INFLUENCE OF POP CULTURE MR KOTKIN TAKES THE OPPOSITE TACK THEY ARE HE CONTENDS THE FUTURE AS NATIONSTATES TUMBLE AND GEOGRAPHIC BORDERS CRUMBLE UNDER THE WEIGHT OF GLOBAL ECONOMIC FORCES IT IS LIKELY SUCH DISPERSED PEOPLES AND THEIR WORLDWIDE BUSINESS AND CULTURAL NETWORKS WILL INCREASINGLY SHAPE THE ECONOMIC DESTINY OF MANKIND ONE AT A TIME MR KOTKIN TAKES THESE TRIBES AND RECOUNTS THEIR SUCCESS STORIES THE JEWS IN THE GARMENT INDUSTRY THE BRITS IN FINANCE THE JAPANESE IN MANUFACTURING THE CHINESE IN COMPUTERS AND THE INDIANS IN MOTEL MANAGEMENT INDIANS OWN CLOSE TO 40 OF SMALL US MOTELS MR KOTKIN TELLS FASCINATING STORIES OF TRIUMPH OVER BIGOTS AND BEANCOUNTING LOAN OFFICERS SO READING OF THEIR STUNNING SUCCESSES IN THEIR DIASPORAS ONE WONDERS WHY THEIR HOME COUNTRIES STUMBLE SO CLUMSILY HOW CAN ISRAEL BLESSED WITH THE SAME PEOPLE WHO CONQUERED COMMERCE IN THE US AND EUROPE LIMP ALONG WITH PERENNIAL STAGFLATION HOW CAN INDIA POPULATED BY GROUPS THAT CLIMB UP THE ECONOMIC LADDER ELSEWHERE REMAIN ON ITS KNEES HELPLESS BEFORE WORLD BANK BUREAUCRATS THE ANSWERS NOT SURPRISINGLY ARE RELATED TO THE REASONS SO MANY LEFT HOME THERE ENTRENCHED GOVERNMENT ALMOST ALWAYS BLOCKS ENTREPRENEURS BY BUILDING BARRIERS TO TRADE GRANTING MONOPOLIES TO INFLUENTIAL FRIENDS AND PROTECTING OLD FIRMS FROM COMPETITION THESE TACTICS STRANGLE PROGRESS THE STATUE OF LIBERTY SYMBOLIZES NOT ONLY FREEDOM FROM PERSECUTION BUT ALSO FREEDOM TO COMPETE TO CREATE AND TO IGNORE THE CASTE SYSTEM AT HOME ONE COULD OF COURSE QUIBBLE WITH MR KOTKIN'S TRIBAL DEFINITIONS IN PART BECAUSE THEY ARE VERY BROAD THE BRITISH TRIBE'S TENT FOR EXAMPLE FITS EVERYONE FROM 17THCENTURY NEW ENGLAND PURITANS TO SECURITIES BROKERS IN THE CITY OF LONDON TODAY AS FOR THE JAPANESE TRIBE MR KOTKIN STICKS TO THE POSTMEIJI RESTORATION PERIOD WHEN JAPAN OPENED ITSELF TO THE WORLD BUT IF JAPAN DIDN'T TURN OUTWARD UNTIL 1867 MAYBE GLOBALNESS IS A HISTORICAL NOT A TRIBAL TRAIT MORE IMPORTANT THOUGH BY REGALING US WITH INDIVIDUAL SUCCESS STORIES MR KOTKIN IMPLIES THAT THEY TYPIFY THE TRIBE'S EXPERIENCE YET EVERY ETHNIC GROUP HAS ITS COMMERCIAL HEROES WHY SHOULD WE INFER ANYTHING ABOUT THE ENTIRE ETHNIC GROUP FROM SOME INDIVIDUAL TRIUMPHS THIS IS A COMMON ERROR SOMEONE WHO WATCHED THE SUPER BOWL MIGHT INFER THAT PEOPLE FROM DALLAS AND BUFFALO WEIGH 250 POUNDS AND HAVE NO NECKS LIKEWISE SEEING ALL THE SHOP OWNERS IN CHINATOWN MAY LEAD ONE TO FORGET ALL OF THE LOWWAGE MANUAL LABORERS IN THE BACK ROOMS A MORE RIGOROUS BOOK ON ETHNIC GROUPS WOULD ALSO LOOK AT THE FAILURES AND THE MORE TYPICAL BUSINESS PATTERNS SIR KARL POPPER TAUGHT US THAT REAL SCIENCE REQUIRES THAT WE SEARCH WITH EQUAL EAGERNESS FOR EMPIRICAL EVIDENCE THAT DISPROVES AS WELL AS THAT WHICH SUBSTANTIATES OUR THEORIES BUT MR KOTKIN DOES NOT EVEN SHOW US WHAT GROUPS FAIL HIS GLOBAL TRIBES TEST HE CAREFULLY AVOIDS BLACKS FOR EXAMPLE EXCEPT FOR A FEW PARAGRAPHS ON MARCUS GARVEY'S AND MALCOLM X'S DRIVE TO INSPIRE ENTREPRENEURSHIP THESE ARE NOT FATAL FLAWS BUT THEY SHOULD MOVE THE BOOK INTO THE POP SOCIALSCIENCE SECTION MR KOTKIN'S STRONGEST SECTIONS DEAL WITH THE JEWS WHO SET THE PARADIGM FOR A GLOBAL TRIBE AND THE JAPANESE HE QUOTES FROM THOMAS SOWELL'S FASCINATING SPEECH TO THE AMERICAN ENTERPRISE INSTITUTE WHICH DEFENDED A FRANK ANALYSIS OF ETHNIC AND CULTURAL TRAITS ONE ACADEMIC WRITER FOR EXAMPLE SAID THAT THE 19THCENTURY JEWISH IMMIGRANTS TO THE UNITED STATES WERE FORTUNATE TO ARRIVE JUST AS THE GARMENT INDUSTRY IN NEW YORK BEGAN TO DEVELOP I COULD NOT HELP THINKING THAT HANK AARON WAS SIMILARLY FORTUNATE THAT HE OFTEN CAME TO BAT WHEN A HOME RUN WAS DUE TO BE HIT CHALLENGING THE STANDARD STORY OF RUTHLESS SAMURAIS IN JAPAN'S MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY MASTERMINDING THE ECONOMY MR KOTKIN DEPICTS DARING ENTREPRENEURS DEFYING GOVERNMENT BUREAUCRACY AFTER ALL MITI WARNED SOLCHIRO HONDA NOT TO START UP A MOTORCYCLE COMPANY AN IDEA THAT BORDERED ON INSANITY ONE MITI OFFICIAL SAID AT THE TIME WHEN MR HONDA LATER PONDERED ENTERING THE AUTOMOBILE INDUSTRY MITI SAID NO MR BUCHHOLZ FORMER WHITE HOUSE ECONOMIC ADVISER AND AUTHOR OF NEW IDEAS FROM DEAD ECONOMISTS IS PRESIDENT OF G7 DAILY BRIEFING INC 9304140107 930414 WHO'S NEWS SARA LEE CORP PICKS BOONSTRA AS PRESIDENT CHICAGO SARA LEE CORP SAID CORNELIS BOONSTRA EXECUTIVE VICE PRESIDENT WAS NAMED PRESIDENT AND CHIEF OPERATING OFFICER EFFECTIVE JULY 1 THE FOOD AND CONSUMER PRODUCTS CONCERN SAID MR BOONSTRA SUCCEEDS PAUL FULTON WHO EARLIER ANNOUNCED PLANS TO STEP DOWN AS PRESIDENT ON JUNE 30 AND TO RETIRE FROM THE COMPANY ON DEC 31 1993 TO BECOME DEAN OF THE KENANFLAGLER BUSINESS SCHOOL AT THE UNIVERSITY OF NORTH CAROLINA CHAPEL HILL IN HIS CURRENT POST MR BOONSTRA 55 YEARS OLD IS RESPONSIBLE FOR THE COMPANY'S COFFEE AND GROCERY AND HOUSEHOLD AND PERSONALCARE BUSINESSES BASED IN THE NETHERLANDS 9304140106 930414 FCC MEMBER PLANS TO QUIT TO START CONSULTING FIRM WASHINGTON SHERRIE MARSHALL A MEMBER OF THE FEDERAL COMMUNICATIONS COMMISSION SINCE 1989 SAID SHE PLANS TO RESIGN APRIL 30 TO START A CONSULTING COMPANY HER COMPANY MARSHALL CO WILL ADVISE ENTERTAINMENT AND COMMUNICATIONS COMPANIES ON STRATEGIC PLANNING POLICY AND ACQUISITIONS THE COMPANY WILL BE BASED IN LOS ANGELES WHERE SHE ALSO WILL BE A CONSULTANT TO ZIFFREN BRITTENHAM & BRANCA A MAJOR ENTERTAINMENT LAW FIRM THERE SHE ALSO PLANS TO MAINTAIN A WASHINGTON OFFICE AT THE COMMISSION MS MARSHALL WHOSE TERM EXPIRED LAST JUNE WAS A STRONG PROPONENT OF DEREGULATION THOUGH SHE TOOK A LEADING ROLE IN SHAPING THE COMMISSION'S 1991 DECISION TO EASERATHER THAN LIFTRULES THAT RESTRICTED TELEVISION NETWORKS FROM THE LUCRATIVE RERUN BUSINESS BEFORE JOINING THE FCC SHE WAS A PARTNER IN THE WASHINGTON LAW FIRM OF WILEY REIN & FIELDING AND SERVED IN THE REAGAN WHITE HOUSE MS MARSHALL'S RESIGNATION LEAVES TWO VACANCIES AT THE FCC FOR WEEKS PRESIDENT CLINTON HAS BEEN EXPECTED TO APPOINT ANTOINETTE COOK A TOP SENATE COMMUNICATIONS AIDE AS CHAIRWOMAN SUCCEEDING INTERIM CHAIRMAN JAMES QUELLO WHO WAS NAMED TO THE POST AFTER ALFRED SIKES RESIGNED IN JANUARY 9304140105 930414 WHO'S NEWS AMERICAN STOCK EXCHANGE AMERICAN STOCK EXCHANGE NEW YORK NATHAN GANTCHER 52 YEARS OLD AND ANDREW SCHWARZ 46 BOTH FROM THE SECURITIES INDUSTRY WERE ELECTED TO THREEYEAR TERMS AS NEW GOVERNORS AT THE EXCHANGE'S ANNUAL MEETING LEWIS D LOWENFELS 57 FROM THE PUBLIC SECTOR ALSO WAS ELECTED A NEW MEMBER FOR A THREEYEAR TERM MR GANTCHER IS PRESIDENT OF OPPENHEIMER & CO A NEW YORK BROKERAGE AND INVESTMENT BANKING FIRM MR SCHWARZ IS A PARTNER IN AGS SPECIALIST PARTNERS AN AMEX MEMBER TRADING FIRM AND MR LOWENFELS IS A PARTNER AT TOLINS & LOWENFELS A NEW YORK LAW FIRM THE EXCHANGE HAS 25 GOVERNORS IT INCLUDES 12 REPRESENTATIVES FROM THE GENERAL PUBLIC 12 FROM THE SECURITIES INDUSTRY AND THE CHAIRMAN 9304140103 930414 ABREAST OF THE MARKET STOCKS ADVANCE 1594 ON REPORTS OF STRONG FIRSTQUARTER EARNINGS BY ANITA RAGHAVAN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK BUOYANT FIRSTQUARTER EARNINGS REPORTS SENT STOCK PRICES CLIMBING THE DOW JONES INDUSTRIAL AVERAGE ROSE 1594 POINTS TO 344403 IN HEAVY TRADING STANDARD & POOR'S 500STOCK INDEX ADDED 085 TO 44922 AND THE NEW YORK STOCK EXCHANGE COMPOSITE INDEX EDGED UP 094 TO 24785 ANALYSTS SAID A COMBINATION OF FALLING INTEREST RATES AND SURPRISINGLY STRONG FIRSTQUARTER PROFITS PARTICULARLY FROM BANKS AND SEMICONDUCTOR COMPANIES HELPED STOCK PRICES ADVANCE THERE HAVEN'T BEEN ANY DISASTERS LIKE WE SAW LAST WEEK IN POLICY MANAGEMENT SYSTEMS AND US SURGICAL AND WE'VE HAD A FEW GOOD EARNINGS REPORTS SAID ED LAUX HEAD OF BLOCK TRADING AT KIDDER PEABODY A REPORT FROM JOHNSON REDBOOK SHOWING THAT SALES AT THE NATION'S RETAILERS ROSE A SEASONALLY ADJUSTED 56 IN THE FIRST WEEK OF APRIL FROM MARCH ALSO GAVE STOCK INVESTORS REASON TO CHEER MANY OF THEM HAD FRETTED THE ECONOMIC RECOVERY WAS LOSING STEAM AFTER A COMMERCE DEPARTMENT REPORT IN THE MORNING POINTED TO DECLINES IN RETAIL SALES IN FEBRUARY AND IN MARCH BUT ANALYSTS SAID THOSE REPORTS WERE PROBABLY AN ABERRATION ARISING FROM BAD WEATHER IN THOSE MONTHS GAIL DUDACK STOCK MARKET STRATEGIST AT SG WARBURG SAID SHE THINKS STOCK PRICES COULD RISE FURTHER ESPECIALLY AFTER PRESIDENT CLINTON'S ECONOMIC AND HEALTHCARE PLANS ARE COMPLETED ONE OF THE REASONS SHE IS SO OPTIMISTIC ABOUT THE MARKET IS THAT SHE FEELS IT IS IN GREAT TECHNICAL SHAPE EVEN THOUGH THE MAJOR MARKET INDEXES HAVEN'T HIT NEW HIGHS THIS WEEK TWO WIDELY WATCHED SPECIALIZED STOCK INDEXES HIT RECORDS FOR THE SECOND STRAIGHT DAY THE DOW JONES TRANSPORTATION AVERAGE JUMPED 1168 POINTS TO 166052 AND THE DOW JONES UTILITY AVERAGE GAINED 132 TO 24581 THE UTILITY AVERAGE GOING TO NEW HIGHS IS A GOOD OMEN THAT BONDS WILL SHORTLY HIT NEW HIGHS AND THOSE TOGETHER CREATE A GOOD ENVIRONMENT FOR STOCKS SAID MS DUDACK THE ONLY HURDLE IS CLINTON BUT MS DUDACK SAID SHE SUSPECTS THAT EVEN THAT BARRIER WILL BE OVERCOME MY VIEW IS THAT CLINTON IS GOING TO END UP GETTING LESS PASSED THAN PEOPLE FEAR SHE SAID ON THE BIG BOARD ADVANCING ISSUES BEAT DECLINERS 1255 TO 704 VOLUME ON THE BIG BOARD TOTALED 286153450 SHARES UP FROM 259611080 SHARES MONDAY MERRILL LYNCH SURGED 5 1/8 TO 76 5/8 THE BIG RETAIL BROKERAGE FIRM'S FIRSTQUARTER PROFIT ROSE TO 302 A SHARE FROM 186 A SHARE IN THE YEAREARLIER PERIOD OTHER BROKERAGE STOCKS WERE BUOYED BY THE NEWS MORGAN STANLEY CLIMBED 2 5/8 TO 64 7/8 PAINEWEBBER ADDED 1 3/8 TO 27 AND AG EDWARDS GAINED 1 TO 28 OFFICE DEPOT JUMPED 3 1/2 TO 34 5/8 THE OFFICE SUPPLY CONCERN SAID ITS FIRSTQUARTER PROFIT SWELLED TO 23 CENTS A SHARE FROM 15 CENTS A SHARE A YEAR EARLIER IN ADDITION THE COMPANY SAID THAT SAMESTORE SALES FOR THE LATEST QUARTER INCREASED 19 SIGNET BANKING LEAPED 3 3/4 TO 60 5/8 THE BANK'S FIRSTQUARTER PROFIT GREW TO 383 MILLION OR 135 A SHARE FROM 221 MILLION OR 81 CENTS A YEAR EARLIER OTHER BANK STOCKS ALSO RALLIED JP MORGAN ROSE 2 TO 72 3/8 BANKAMERICA GAINED 1 1/4 TO 52 3/4 CHEMICAL BANKING ADVANCED 1 TO 43 3/8 AND CITICORP EDGED UP 1/4 TO 30 1/2 SAUDI ARABIAN PRINCE ALWALEED BIN TALAL CONFIRMED THAT HE SOLD ABOUT 89 MILLION SHARES OF HIS HOLDINGS IN CITICORP MONDAY FOR ABOUT 30 EACH GENERAL ELECTRIC SLIPPED 1/8 TO 93 1/8 THE COMPANY REPORTED FIRSTQUARTER EARNINGS FROM CONTINUING OPERATIONS OF 127 A SHARE UP FROM 112 A YEAR EARLIER ACCORDING TO ZACKS INVESTMENT RESEARCH WALL STREET ANALYSTS WERE EXPECTING GE TO REPORT EARNINGS FROM CONTINUING OPERATIONS OF 131 A SHARE MOTOROLA DROPPED 3/4 TO 71 1/4 IN HEAVY TRADING AFTER THE MARKET CLOSED MONDAY THE SCHAUMBURG ILL COMPANY SAID FIRSTQUARTER PROFIT ROSE SHARPLY ITS SIXTH CONSECUTIVE QUARTER OF SHARP INCREASES ON BRISK SALES OF BOTH SEMICONDUCTOR AND CELLULAR PRODUCTS RJR NABISCO ENDED UNCHANGED AT 6 IN HEAVY TRADING THE FOOD AND TOBACCO CONCERN TOLD INVESTORS LATE IN THE DAY THAT IT WILL PROCEED WITH ITS PUBLIC OFFERING OF 93 MILLION SHARES OF RJR NABISCO GROUP STOCK BUT UNDER A MODIFIED PLAN THE COMPANY WON'T ISSUE ADDITIONAL NABISCO GROUP SHARES TO ITS SHAREHOLDERS AS PREVIOUSLY PLANNED AND WOULD DELAY DECLARING A DIVIDEND ON THE RJR REYNOLDS GROUP STOCK HOME SHOPPING NETWORK WAS ONE OF THE MOST ACTIVELY TRADED STOCKS ON THE BIG BOARD GAINING 3/8 TO 5 5/8 ON THE BIG BOARD AFTER THE MARKET CLOSED MONDAY THE TELEVISION SHOPPING CHANNEL CONCERN POSTED AN UNEXPECTEDLY LARGE LOSS FOR THE FISCAL SECOND QUARTER 9304140102 930414 TECHNOLOGY FTC MULLS NEW REPORT ON CASE AGAINST MICROSOFT WASHINGTON THE FEDERAL TRADE COMMISSION IS REVIEWING A NEW STAFF REPORT CONCERNING ANTITRUST ALLEGATIONS AGAINST MICROSOFT CORP BUT A DECISION ON THE MATTER PROBABLY IS STILL WEEKS AWAY ACCORDING TO LAWYERS FAMILIAR WITH THE CASE WITH A 22 VOTE IN FEBRUARY THE COMMISSION DIDN'T ACCEPT STAFF RECOMMENDATIONS TO SEEK AN INJUNCTION PREVENTING THE COMPUTER SOFTWARE COMPANY FROM USING ITS MARKET POWER TO ENGAGE IN ALLEGEDLY UNFAIR COMPETITIVE PRACTICES AFTER THE TIE VOTE THE COMMISSIONERS ASKED FOR MORE INFORMATION IN HOPES OF RESOLVING THE DEADLOCK ALTHOUGH THE STATUS REPORT DELIVERED TO COMMISSIONERS LAST WEEK PROVIDES ADDITIONAL SUPPORT FOR THE STAFF'S POSITION IT DOESN'T NECESSARILY INDICATE A CHANGE IN DIRECTION ACCORDING TO THOSE KNOWLEDGEABLE ABOUT THE DOCUMENT THE MICROSOFT CASE HAS BEEN CLOSELY WATCHED IN THE INDUSTRY BECAUSE THE COMPANY BASED IN REDMOND WASH IS THE DOMINANT MANUFACTURER OF OPERATING SYSTEMS THAT ENABLE COMPUTER HARDWARE TO RUN VARIOUS PROGRAMS 9304140101 930414 MARRIOTT CUSTOMERS NOW CAN TALLY CREDITS TOWARD AIRLINE MILES BETHESDA MD MARRIOTT CORP IS MAKING IT EASIER FOR CUSTOMERS TO GET FREQUENTFLIER MILES BUT THE PROGRAM COMES WITH A CATCH MEMBERS CAN ACCUMULATE AIRLINE MILES ONLY BY FORGOING POSSIBLE POINTS IN MARRIOTT'S HONORED GUEST AWARDS PROGRAM THE HOTEL COMPANY ANNOUNCED A PROGRAM CALLED MARRIOTT MILES THAT ENABLES MEMBERS TO EARN 500 FREQUENTFLIER MILES ON ONE OF SIX PARTICIPATING AIRLINES WITH EACH STAY AFTER FIVE STAYS MEMBERS RECEIVE AN ADDITIONAL 2500 MILES MEMBERS OF CONTINENTAL AIRLINES' FREQUENTFLIER PLAN WILL RECEIVE 1000 MILES PER STAY AND A 5000MILE BONUS THE PROGRAM GOES INTO EFFECT MAY 1 TYPICALLY HOTELS WITH A FREQUENTFLIER TIEIN REQUIRE GUESTS TO FLY THE AIRLINE THAT THE HOTEL HAS TEAMED UP WITH NO RESERVATION WITH THE PARTNER AIRLINE NO POINTS IN MARRIOTT MILES HOWEVER GUESTS CAN CHOOSE THE AIRLINE THAT WILL ACCUMULATE THEIR POINTS THE PARTICIPATING AIRLINES ARE AMR CORP'S AMERICAN AIRLINES CONTINENTAL A UNIT OF CONTINENTAL AIRLINES HOLDINGS INC NORTHWEST AIRLINES A UNIT OF WINGS HOLDINGS INC TRANS WORLD AIRLINES INC USAIR A UNIT OF USAIR GROUP INC AND BRITISH AIRWAYS PLC GUESTS WHO BELONG TO BOTH MARRIOTT MILES AND HONORED GUEST AWARDS WILL NOT BE ABLE TO ACCUMULATE POINTS IN BOTH ACCOUNTS DURING THE SAME STAY MARRIOTT'S FREQUENTSTAY PROGRAM IS THE LARGEST IN THE INDUSTRY WITH FIVE MILLION MEMBERS BUT THE HOTEL COMPANY IS BETTING THAT THE LURE OF MORE MILES WILL BE A MORE POWERFUL MARKETING TOOL THAN THE PROSPECT OF FREE ROOMS 9304140100 930414 LEISURE & ARTS JAZZ THAT DOESN'T DATE BY NAT HENTOFF IT WAS DURING THE GREAT DEPRESSION I WAS EIGHT IN BED WITH THE RADIO BESIDE ME SEARCHING THE DIAL I FOUND A BROADCAST FROM THE PALMER HOUSE IN CHICAGO THE ANNOUNCER AFTER DESCRIBING THE PLUSH SURROUNDINGS AND THE PLUSH CUSTOMERS OF THE HOTEL INTRODUCED FATS WALLER WHO THEN SAID TO ME AND WHO KNOWS HOW MANY THOUSANDS MORE I WONDER WHAT THE POOR FOLKS ARE DOING TONIGHT I LIKED HIS MUSIC TOO THAT NIGHT BUT I NEVER FORGOT THE FIRST WORDS I HEARD HIM SAY SOON HIS RECORDINGS WERE ON THE RADIO A LOT IN BOSTON AND FOR MONTHS A DISK JOCKEY PLAYED THE SAME FATS WALLER SONG EVERY MORNING JUST BEFORE I WENT TO SCHOOL IT WAS YOUR FEET'S TOO BIG AND IT ALWAYS MADE ME LAUGH ESPECIALLY THE END YOUR PEDAL EXTREMITIES REALLY ARE OBNOXIOUS ONE NEVER KNOWS DO ONE BY THE TIME I LEFT GRAMMAR SCHOOL I WAS HOOKED ON JAZZ AND FOUND OUT THAT THIS HARMFUL LITTLE ARMFUL AS WALLER DESCRIBED HIMSELF WAS A POWERFUL PRESENCE IN THE MUSIC A PUPIL OF JAMES P JOHNSON HE WAS WHEN HE CHOSE A STUNNING TWOHANDED STRIDE PIANIST WHO INFLUENCED ART TATUM AND COUNT BASIE AMONG OTHERS AND HE WAS AN ASTONISHINGLY PROLIFIC COMPOSER AIN'T MISBEHAVIN' HONEYSUCKLE ROSE SQUEEZE ME BLUE TURNING GREY OVER YOU KEEPIN' OUT OF MISCHIEF NOW AND ONE OF THE SIMPLEST AND YET HAUNTING MELODIES IN ALL OF JAZZ THE JITTERBUG WALTZ THERE WERE MANY MORE I WAS A FRESHMAN REPORTER FOR MY COLLEGE PAPER WHEN I SAW THAT FATS WALLER WAS COMING TO TOWN I DIDN'T THINK I'D HAVE A CHANCE FOR AN INTERVIEW WHAT COULD IT MEAN TO HIM TO BE NOTICED IN THE PAPER OF A COLLEGE HE'D PROBABLY NEVER HEARD OF NORTHEASTERN HE TURNED DOWN MY PROPOSAL OF INTERVIEWING HIM IN HIS HOTEL ROOM AND INSTEAD INVITED ME TO DINNER AS THE COURSES FOLLOWED EACH OTHER I IMAGINED THIS WAS WHAT IT WAS LIKE IN THE PALMER HOUSE I HAD TO KEEP ON REASSURING HIM THAT I'D HAD ENOUGH A FEW WEEKS BEFORE I'D HEARD AN ALBUM RECORDED IN EUROPE ON WHICH HE PLAYED SOLO ORGAN SPIRITUALS AND SOME CLASSICAL PIECES I TOLD HIM HOW MUCH I LIKED IT AND WAS SORT OF SURPRISED THAT IT WAS SERIOUS ALL THE WAY THAT'S MY FIRST LOVE YOU KNOW HE SAID THE ORGAN HE TOLD ME HE'D PLAYED THE ORGAN AT NOTRE DAME CATHEDRAL IN PARIS AND HE WANTED TO RECORD MORE CLASSICALORGAN WORKS HE'D BEEN MUCH TAKEN WITH CLASSICAL MUSIC SINCE HE WAS 14 WHEN HIS FATHER TOOK HIM TO CARNEGIE HALL TO HEAR IGNACE PADEREWESKI AND HIS TEACHER JOHNSON A MASTER OF THE STRIDE PIANO AND A COMPOSER HAD ALSO STUDIED AND GREATLY ENJOYED CLASSICAL MUSIC SINCE I WAS ONLY 16 I ASKED WALLER WHY IF HE LOVED THE ORGAN SO HE DIDN'T JUST TAKE MORE OF HIS TIME TO PLAY WHAT HE WANTED TO ON THAT INSTRUMENT WALLER LOOKED AT ME IN A WAY THAT SHOWED I NEEDED INSTRUCTION YOU SEE HE SAID I'VE GOT TO FEED MY FACE NOT THAT HE SUFFERED ANY INTERNAL TORMENT IN BEING AN ENTERTAINER IT WOULD HAVE BEEN IMPOSSIBLE TO FAKE THE JOY HE TOOK IN MOCKING THE WHITEBREAD LYRICS OF THE NOVELTY TUNES HE HAD TO RECORD FROM TIME TO TIME AND HE WAS NATURALLY GREGARIOUS LOUIS ARMSTRONG SAID I'VE SEEN FATS WALLER ENTER A PLACE AND THERE WAS A GLADNESS IN THE FACES OF ALL THE PEOPLE IN THE JOINT AND FATS WOULDN'T BE IN THE PLACE A MINUTE BEFORE HE WOULD TELL THEM A FINE JOKE AND HAVE EVERYBODY HOLDING HIS SIDE FROM LAUGHTER STILL OCCASIONALLY WALLER WOULD KEEP ALIVE HIS HOPE OF PLAYING OTHER KINDS OF MUSIC TOO GUITARISTSINGER MARTY GROSZ WHOSE PERFORMANCES HAVE MORE THAN A LITTLE OF FATS WALLER'S SPIRIT WRITES THAT BEFORE A 1940 RECORD DATE ORGANIZED BY HIS FRIEND GUITARIST EDDIE CONDON FATS WARMED UP WITH DEBUSSY BUT WHEN THE RED LIGHT WENT ON HE GALVANIZED THE BAND WITH SOME OF HIS BARRELHOUSE PIANO THERE IS NOW A CORNUCOPIA OF FATS WALLER CD REISSUES ON RCA'S BLUEBIRD LABEL FATS WALLER DOESN'T DATE THE IMMEDIACY OF HIS WARMTH AND IRRESISTIBLY SWINGING BEAT IS AS SATISFYING AS THEY WERE THEN ALSO STILL FRESH ARE HIS INTERPRETATIONS OF LYRICAL INTROSPECTIVE PIECES HE COULD RANGE FROM THE RAMBUNCTIOUSNESS OF THE JOINT IS JUMPIN' TO THE GRACEFUL CLOTHES LINE BALLET THE BEST SINGLE CD IS THE JOINT IS JUMPIN' WHICH INCLUDES BOTH JOHNSON'S CAROLINA SHOUT AND YOUR FEET'S TOO BIG A TWOCD COLLECTION FATS WALLER PIANO SOLOS/TURN ON THE HEAT REVEALS WHY HE WAS SO GREAT A FORCE AMONG JAZZ PIANISTS AMONG THE TRACKS ARE HIS RENOWNED AFRICAN RIPPLES AND CLOTHES LINE BALLET THE MIDDLE YEARS 193638 IS A THREEDISK SET WITH MY FIRST IMPRESSION OF YOU AND BLUE TURNING GREY OVER YOU ANOTHER 3CD COLLECTION WALLER WAS IN THE STUDIOS A LOT IS THE LAST YEARS 19401943 AMONG THE PLEASURES ARE FATS WALLER'S ORIGINAL EFLAT BLUES TAIN'T NOBODY'S BIZNESS IF I DO PANTIN' IN THE PANTHER ROOM AND THE JITTERBUG WALTZ HE HAD A BOUNDLESS APPETITE FOR FOOD AND DRINK BUT LITTLE PATIENCE FOR SLEEP BUT HE DID DIE IN HIS SLEEP FROM PNEUMONIA AND FROM BURNING THE CANDLE AT ALL ENDS IT HAPPENED ON THE SANTA FE CHIEF HURTLING THROUGH KANSAS IN 1943 HE WAS 39 YEARS AGO FATS WALLER'S SON MAURICE TOLD ME THAT HIS FATHER HAD LEFT A CONSIDERABLE NUMBER OF COMPOSITIONS THAT HAD NEVER BEEN PUBLISHED SOME ARE FINISHED HE SAID SOME ARE NOT HALF OF THEM DON'T HAVE A NAME THEY WEREN'T COMMERCIAL THEY WEREN'T THE TYPE OF THING HE WAS SUPPOSED TO HAVE DONE IT WAS A MATTER OF HIS GETTING AT HIS INNER SELF IN THEM ONE OF HIS INNER SELVES MR HENTOFF IS A WRITER AND JAZZ CRITIC IN NEW YORK 9304140099 930414 ENTERPRISE SMALL BUSINESS & SOCIAL RESPONSIBILITY BY UDAYAN GUPTA SMALL VENTURES PURSUING ENVIRONMENTAL GOALS ARE FINDING BROADER ACCEPTANCE MANY OF THESE TINY OUTFITS ARE WORKING ON PROBLEMS THAT BIGGER COMPANIES HAVE HEIGHTENED INTEREST IN SOLVING THESE DAYS SAYS JEROME GOLDSTEIN PUBLISHER OF IN BUSINESS AN EMMAUS PA MAGAZINE THAT FOLLOWS ENVIRONMENTAL AND BUSINESS ISSUES SINCE 1981 THE CENTER FOR APPLIED REGIONAL STUDIES A SMALL CAMBRIDGE MASS RESEARCH GROUP HAS BEEN DEVELOPING PROCESSES TO CONVERT SEAFOOD WASTE INTO USABLE PRODUCTS LAST YEAR FOR THE FIRST TIME THE CENTER ATTRACTED AN OUTSIDE PARTNER ALPHATRON MANUFACTURING A DESIGN AND MANUFACTURING COMPANY IN HAVERHILL MASS ALPHATRON STARTED AND RUN BY A GLOUCESTER MASS FISHING FAMILY IS HELPING THE CENTER DEVELOP A MACHINE FISHERMEN WOULD USE TO PROCESS FISH WASTE ON SMALL BOATS FOR USE AS FOOD IN AQUACULTURE OR FERTILIZER IN ORGANIC FARMING SUSAN GOLDHOR PRESIDENT OF THE CENTER SAYS AS THE ECONOMICS OF SEAFOOD WASTE DISPOSAL BECOME INCREASINGLY ONEROUS TURNING THAT WASTE INTO A PRODUCT HAS BECOME MORE ATTRACTIVE IN A JOINT PROJECT SIX MUNICIPAL UTILITIES IN CONNECTICUT AND MASSACHUSETTS ARE TESTING ELECTRIC VEHICLES MADE BY TWO SMALL COMPANIES SOLAR CAR CORP MELBOURNE FLA AND ELECTRIC VEHICLES OF AMERICA MAYNARD MASS THE UTILITIES ARE TESTING WAYS SUCH VEHICLES CAN HELP THEIR FLEETS COMPLY WITH CLEANAIR LAWS SAYS PATRICIA DEMARCO MANAGER OF THE PROJECT THE UTILITIES FOUND THE SMALL COMPANIES' VEHICLES TO BE MORE COSTEFFECTIVE AND ACCESSIBLE THAN THOSE FROM DETROIT AUTO MAKERS MS DEMARCO SAYS AND THE LITTLE MANUFACTURERS ARE MUCH MORE WILLING TO WORK WITH THE UTILITIES SOLAR CAR SAYS IT IS DISCUSSING ELECTRICVEHICLE PROJECTS WITH OTHER UTILITIES THE NEW ENGLAND PROJECT COULD ALSO CREATE ECONOMIC DEVELOPMENT OPPORTUNITIES SOLAR CAR IS INVESTING IN A NEW VEHICLE MANUFACTURING COMPANY THAT WILL BE BASED IN SOUTHEASTERN CONNECTICUT SOME UNLIKELY INVESTORS BACK A CATALOG TO CELEBRATE AND SUPPORT WOMEN A FEW YEARS AGO ROCKLAND FAMILY SHELTER STARTED COMPANY OF WOMEN A CATALOG BUSINESS TO HELP FINANCE ITS NYACK NY HOME FOR VICTIMIZED WOMEN IT FOUND 40000 IN FINANCING FOR THE CATALOG BUSINESS FROM TWO MIDWESTERN RELIGIOUS ORDERS ADRIAN DOMINICAN SISTERS ADRIAN MICH AND SETON ENABLEMENT FUND MOUNT ST JOSEPH OHIO THE GROUPS WERE DRAWN TO THE CATALOG'S GOAL OF HELPING WOMEN WHO ARE VICTIMS OF DOMESTIC VIOLENCE AND RAPE AND CREATING A WAY FOR WOMEN TO BECOME ECONOMICALLY SELFSUFFICIENT WE SAW THE CATALOG AS A WAY OF CREATING A STABLE COMPANY AND HELPING THE SHELTER SAYS SISTER CORINNE FLOREK COORDINATOR OF ALTERNATIVE INVESTMENTS FOR THE DOMINICAN SISTERS SEEKING NEW REVENUE SOURCES THE SHELTER HIRED CONSULTANT MELINDA LITTLE TO START AND RUN THE CATALOG BUSINESS A CATALOG THAT ALSO WOULD HELP WOMEN FEEL EMPOWERED SEEMED THE BEST WAY TO ACHIEVE THE SHELTER'S GOALS MS LITTLE SAYS WITH 25000 IN SEED CAPITAL FROM A NEW YORK STATE AGENCY COMPANY OF WOMEN IN 1988 MAILED 25000 COPIES OF ITS FIRST CATALOG AN EIGHTPAGE BROCHURE OFFERING MAINLY DOITYOURSELF AND PERSONALSECURITY ITEMS FOR WOMEN SUCH AS A CORDLESS SCREWDRIVER AND A POCKET SIREN THIS SPRING IT IS MAILING THE CATALOG TO 500000 POTENTIAL CUSTOMERS ITS OFFERINGS HAVE WIDENED TO INCLUDE AN ARRAY OF FUNCTIONAL AND DECORATIVE GOODS SUCH AS SUFFRAGETTE TSHIRTS WALL HANGINGS AND POSTERS AS WELL AS SELFHELP BOOKS AND CHILDREN'S ITEMS THE CATALOG LAST YEAR RACKED UP SALES OF NEARLY 1 MILLION THE COMPANY SAYS IT EXPECTS SALES TO DOUBLE THIS YEAR AN AUSTRIAN CRYSTAL MAKER'S PHILANTHROPY LEADS TO A NEW BUSINESS DANIEL SWAROVSKI CORP IS ONE OF THE WORLD'S LARGEST SUPPLIER OF CUT CRYSTAL STONES FOR JEWELRY LIGHTING FIXTURES AND OTHER USES THE FAMILYOWNED COMPANY ALSO IS A BIG SPONSOR OF ART EXHIBITIONS AROUND THE WORLD INCLUDING JEWELS OF FANTASY A HISTORY OF FASHION JEWELRY NOW ON DISPLAY AT NEW YORK'S FASHION INSTITUTE OF TECHNOLOGY BUT IN SPONSORING SUCH SHOWS IT FOUND THAT MANY OF ITS EXHIBITS WEREN'T BEING SHOWN IN THE BEST LIGHT CURATORS WERE WARY OF EXPOSING RARE OBJECTS TO POTENTIALLY HARMFUL LIGHTING SAYS LUDWIG REDL DIRECTOR OF CULTURAL AFFAIRS FOR THE WATTENS AUSTRIA COMPANY SO MR REDL BEGAN WORKING WITH LIGHTING ENGINEERS AND CRYSTAL EXPERTS TO DESIGN A SYSTEM THAT WOULD ALLOW FRAGILE AND LIGHTSENSITIVE OBJECTS TO BE SHOWN WITHOUT BEING EXPOSED TO DIRECT LIGHT BY POSITIONING LIGHT SOURCES OUTSIDE THE DISPLAY CASE AND USING FIBER OPTICS AND SPECIAL MIRRORS FOR REFLECTION THE SYSTEM ALLOWS OBJECTS TO BE DISPLAYED WITHOUT DIRECTLY LIGHTING THEM IT ALSO ALLOWS EACH OF THE LIGHT SOURCES TO BE INDIVIDUALLY CONTROLLED AT FIRST SWAROVSKI PLANNED TO USE THE DISPLAY CASES ONLY FOR EXHIBITS IT SPONSORED BUT THEIR POPULARITY ENCOURAGED IT TO SHARE THE TECHNOLOGY WITH OTHER CASE MAKERS NOW IT IS CREATING A SEPARATE MANUFACTURING UNIT THAT WILL DESIGN AND MARKET THESE SYSTEMS FREE COMPUTER TRAINING FOR PROBATIONERS AND PAROLEES IS PROVIDED BY NEW HORIZONS COMPUTER LEARNING CENTER SANTA ANA CALIF WHICH HIRES SOME OF THE GRADUATES ZODIAC ENTERTAINMENT A NEW YORK TELEVISION PRODUCTION FIRM WINS HIGH RATINGS WITH ENVIRONMENTALLY SENSITIVE ANIMATION ITS FIRST SYNDICATED SERIES WIDGET FEATURES AN ALIEN HERO WHO HELPS TO PROTECT THE EARTH'S WILDLIFE AND ENVIRONMENT 9304140098 930414 CHINA WILL PURCHASE 14400 CARS TRUCKS FROM THE BIG THREE DETROIT CHINA SAID IT WILL PURCHASE A COMBINED 14400 CARS AND LIGHT TRUCKS FROM GENERAL MOTORS CORP FORD MOTOR CO AND CHRYSLER CORP FOR USE IN CHINA THE VALUE OF THE TRANSACTION WASN'T DISCLOSED UNDER THE AGREEMENT CHINA SAID IT'S BUYING 4600 CHEVROLET CORSICA SEDANS AND LUMINA MINIVANS FROM GM 5200 FORD TEMPOS FROM FORD AND 4600 MINIVANS AND PLYMOUTH SUNDANCE PASSENGER CARS FROM CHRYSLER ALL OF THE VEHICLES ARE TO BE DELIVERED TO CHINA THIS SUMMER THE COMPANIES SAID OFFICIALS AT GM FORD AND CHRYSLER SAID EACH COMPANY NEGOTIATED SEPARATE CONTRACTS WITH CHINA BUT THAT THE DELEGATION DECIDED TO MAKE THE JOINT ANNOUNCEMENTS THIS WEEK WHILE THEY WERE IN THE US THIS IS THE SECOND YEAR THAT THE CHINA AUTOMOBILE BUYING MISSION HAS TRAVELED TO DETROIT TO PURCHASE VEHICLES FROM THE BIG THREE AUTO MAKERS LAST YEAR THE CHINESE DELEGATION BOUGHT MORE THAN 8900 VEHICLES FROM THE US AUTO MAKERS BUT THIS ISN'T THE FIRST TIME GM FORD AND CHRYSLER HAVE EXPORTED VEHICLES TO CHINA GM AND CHRYSLER EXPORT VEHICLES TO CHINA THROUGH SEPARATE JOINT VENTURES FORD HAS SUPPLIED VEHICLES TO CHINA SINCE THE LATE 1970S CHRYSLER OWNS 42 OF BEIJING JEEP CORP A JOINT VENTURE WITH BEIJING AUTOMOBILE WORKS LAST YEAR GM ESTABLISHED A JOINT VENTURE WITH STATEOWNED JINBEI AUTOMOBILE CO OF SHENYANG CITY CHINA TO ASSEMBLE COMPACT PICKUP TRUCKS FOR SALE IN CHINA 9304140097 930414 TECHNOLOGY CLINTON PICKS MOLAR TO HEAD FERC TAPS FOUR OTHERS FOR PANEL WASHINGTON PRESIDENT CLINTON ANNOUNCED A GROUP OF APPOINTMENTS TO THE FEDERAL ENERGY REGULATION COMMISSION THAT SOME INDUSTRY WATCHERS PREDICT COULD CREATE A MORE CONSUMERFRIENDLY BOARD THE PRESIDENT NAMED ELIZABETH ANNE MOLAR TO HEAD THE REGULATORY COMMITTEE A JOB SHE HAS HELD ON AN INTERIM BASIS SINCE FEBRUARY MR CLINTON ALSO ANNOUNCED HIS CHOICES TO FILL THE REMAINING FOUR SEATS ON THE PANEL THE NOMINEES SHOULD MOVE THE BOARD TO THE LEFT PREDICTED MICHAEL BALY PRESIDENT OF THE AMERICAN GAS ASSOCIATION THIS COMMISSION CAN BE IDENTIFIED MORE WITH THE CONSUMER INTERESTS THAN THE PREVIOUS COMMISSION WHICH WAS MORE PRODUCER ORIENTED HE SAID SOME CONSUMER ADVOCATES HOWEVER SAID THE CLINTON CHOICES LACK A SOLID CONSUMER ADVOCATE MS MOLAR A DEMOCRAT HAS BEEN A MEMBER OF THE COMMISSION SINCE 1988 BEFORE JOINING FERC SHE WAS COUNSEL TO THE SENATE ENERGY AND NATURAL RESOURCES COMMITTEE IN ADDITION MR CLINTON PICKED VICKY BAILEY A REPUBLICAN DONALD SANTA AN INDEPENDENT AND BILL MASSEY AND JAMES HOECKER BOTH DEMOCRATS TO SERVE ON THE FIVEMEMBER PANEL ALL FOUR NOMINEES MUST BE CONFIRMED BY THE SENATE MR MASSEY WOULD SUCCEED MARTIN ALLDAY WHO PLANS TO LEAVE THE COMMISSION AT THE END OF THIS WEEK THE NOMINEE A LAWYER WITH MITCHELL WILLIAMS SELIG GATES & WOODYARD SPECIALIZES IN ENVIRONMENTAL AND ENERGY ISSUES MR HOECKER WOULD SUCCEED BRANKO TURZIC WHOSE TERM EXPIRES JUNE 30 1995 MR HOECKER A LAWYER WITH JONES DAY REAVIS & POGUE WAS AN ATTORNEY FOR FERC FROM 1979 TO 1988 MR SANTA WOULD FILL THE SEAT VACATED MARCH 31 BY CHARLES TRABANDT MR SANTA HAS BEEN COUNSEL TO THE SENATE ENERGY AND NATURAL RESOURCES COMMITTEE SINCE 1989 MR LANGDON AND MR TURZIC PLAN TO REMAIN ON THE COMMISSION UNTIL THE NEW APPOINTMENTS ARE APPROVED ELIZABETH ANNE MOLER WAS CHOSEN BY PRESIDENT CLINTON TO HEAD THE FEDERAL ENERGY REGULATORY COMMISSION AN ARTICLE YESTERDAY MISSPELLED HER LAST NAME 9304140096 930414 LEISURE & ARTS LAUGHING OFF THOSE TRAFFIC TICKETS BY JOE MORGENSTERN SANTA MONICA CALIF SINCE CALIFORNIANS LIVE BY THEIR CARS THEY OFTEN DIE OR GET HURT BY THEM TO REDUCE THE SLAUGHTER THE STATE'S DEPARTMENT OF MOTOR VEHICLES SUPERVISES A SYSTEM OF PRIVATELY RUN TRAFFIC SCHOOLS WHERE ERRANT MOTORISTS ENDURE EIGHT HOURS OF SAFEDRIVING INSTRUCTION IN EXCHANGE FOR HAVING THEIR TICKETS MASKED AS THE DMV DELICATELY PUTS IT FROM PUBLIC VIEW THIS MEANS MATRICULANTS AVOID POINTS THAT WOULD COUNT TOWARD LICENSE REVOCATION AS WELL AS HIKES IN THEIR INSURANCE PREMIUMS TRAFFIC SCHOOLS ATTRACT TENS OF THOUSANDS OF DUNCE DRIVERS EACH YEAR WHILE OTHER STATES HAVE SUCH SYSTEMS THE DIFFERENCE IS THAT MANY OF CALIFORNIA'S SCHOOLS HAVE BECOME STATESANCTIONED COMEDY CLUBS THE DMV'S 13PAGE DIRECTORY CURRENTLY LISTS SUCH INSTITUTIONS AS SMILE N GIGGLE FUNNY COMEDIANS TRAFFIC SCHOOL WHEEL MAKE U LAFF GREAT COMEDIANS LAUGHS GALORE U WON'T SNORE AND MORE AMUSING LESS CONFUSING FUN TRAFFIC SCHOOL ALONG WITH COMEDY SCHOOLS TAUGHT IN SPANISH CHINESE AND VIETNAMESE IN SOME AREAS OF SOUTHERN CALIFORNIA WHERE LIFE OFTEN IMITATES SITCOM A CLEAR MAJORITY OF THESE SCHOOLS CLAIM TO AMUSE BUT EVEN IN RURAL YUBA COUNTY FAR TO THE NORTH LAUGHS ARE THE LINGUA FRANCA AT TWO SCHOOLS OUT OF FOUR TRAFFIC SAFETY TAUGHT WITH HUMOR AND HUMOR'S MY NAME TRAFFIC'S MY GAME WHEN THE STATE'S TRAFFICSCHOOL PROGRAM STARTED IN THE MID1980S MOST CLASSES WERE TAUGHT STRAIGHT BY OFFDUTY COPS BUT ONE OF THE COPS WAS VERY FUNNY SAID KENNY MORSE FIELD SUPERVISOR OF LETTUCE AMUSE U COMEDY SCHOOLS INC AND THE SCHOOL'S OWNERS RAY AND LINDA REGAN GOT THE BRILLIANT IDEA OF HIRING OUTOFWORK COMEDIANS TRAINING THEM AS INSTRUCTORS AND LICENSING THEM WITH THE DMV THE REST IS HISTORY AT A RECENT SATURDAYMORNING SESSION OF THE LETTUCE AMUSE U SCHOOL IN AN OFFICE BUILDING ON THE SANTA MONICA PROMENADE AN EXUBERANT COMIC NAMED JEFF SWINEY HE PRONOUNCED IT SWEENEY STOOD BEFORE 29 STUDENTS AND ANNOUNCED IN HOARSE TONES THAT EVOKED THE BILL CLINTON SCHOOL OF VOCAL TECHNIQUE WELL HOWDY HOWDY HOWDY THIS IS IT WELCOME TO TRAFFIC HELL I AM ONE OF THE FEW PEOPLE IN THE STATE OF CALIFORNIA LADIES AND GENTLEMEN WHO HAS READ THE CALIFORNIA VEHICLE CODE FROM COVER TO COVER WHY BECAUSE I HAVE NO LIFE WITH HIS PONYTAIL HIS DIAMOND EAR STUD AND HIS GRAY CORDS SCUFFED WHITE REEBOKS AND GRUNGY GRAY STRIPED SHIRT MR SWINEY WHO IS 30 RAN NO RISK OF INTIMIDATING HIS STUDENTS ON THE CONTRARY HE QUICKLY ESTABLISHED HIMSELF AS THEIR PEER WITH CAUTIONARY TALES OF A 10DAY DRUNKDRIVING SENTENCE HE'D ONCE SERVED IN AN INDIANA COUNTY JAIL AND SPEEDING TICKETS HE'D RECEIVED DURING EIGHT YEARS AS A ROAD COMIC HIS CURRENT RESIDENCE HE SAID WAS A TENT IN GLEN EDEN A NUDIST RESORT NEAR CORONA 60 MILES TO THE SOUTHEAST IT'S REALLY COOL AND IT'S ONLY 60 A MONTH RENT THE WALLS OF THE CLASSROOM WERE BARE EXCEPT FOR TWO FRAMED PHOTOGRAPHS OF LAMBORGHINI COUNTACHS EXOTIC AUTOMOBILES THAT CAN DO 200 MPH THE STUDENTS INCLUDED A PERSONAL TRAINER WHO KEPT NODDING OFF INSIDE HIS SWEATSHIRT HOOD A PRETTY HAIRDRESSER A COMMUNICATIONS SATELLITE DESIGNER WHO SHOOK HIS HEAD DOLEFULLY AS MR SWINEY TRIED TO EXPLAIN HOW RADAR GUNS WORK IT'S BASICALLY A THING THEY CALL A DOPPLER EFFECT A JAPANESE NEWSPAPER CORRESPONDENT WHOSE CELLULAR PHONE KEPT RINGING PROMPTING MR SWINEY TO SHOUT DRUG DEAL DRUG DEAL A PRODUCTION ASSISTANT ON THE TONIGHT SHOW WHO GRINNED APPRECIATIVELY AS MR SWINEY PRETENDED TO OFFER HIM MONEY FOR AN AUDITION AND A GLUM YOUNG WOMAN WHO IDENTIFIED HERSELF AS A STUDENT AND A CYCLIST MR SWINEY SEIZING THE OPENING FOR SOME GROUCHOESQUE LECHERY SAID BOY YOU MUST HAVE LEGS LIKE BUT THE YOUNG WOMAN REPLIED QUICKLY WE DON'T HAVE TO DISCUSS THAT WHAT MR SWINEY DID HAVE TO DISCUSS WAS A CURRICULUM LOOSELY PRESCRIBED BY THE DMV THAT INCLUDED DRUNK DRIVING YOUR LIVER ONLY HANDLES ONE DRINK PER HOUR IT'S UNION AND TRAFFIC SIGNS THE SHAPES AND MEANINGS OF WHICH HE SOUGHT TO DRAMATIZE BY SPLITTING THE CLASS INTO COMPETING TEAMS THEN HAVING THE TEAMS QUIZ EACH OTHER WAY TO GO TEAM TWO MR SWINEY CHEERED IN THE MANNER OF A GAMESHOW HOST WHILE FLEETWOOD MAC AND MELISSA ETHRIDGE BLARED FROM A BOOM BOX HE'D BROUGHT IN YOU COULD STILL PULL THIS OUT FROM THE ASHES WITH A STUMPER FOR TEAM ONE STRUGGLING TO FILL THE RIGIDLY PRESCRIBED MINIMUM TEACHING TIME OF 400 MINUTES MR SWINEY WHO SOMETIMES REFERRED TO HIMSELF AS TRAFFIC BOY PRANCED SKIPPED HOPPED PROWLED THE ROOM CRACKED HIS KNUCKLES DID AN IMPRESSION OF A RAILROAD GRADECROSSING SIGN AND GATE FLASH FLASH CLANG CLANG THUMP FLIRTED WITH THE HAIRDRESSER BY WAY OF REAFFIRMING THE DANGERS OF DRUNK DRIVING ANGEL HAVE YOU EVER HAD HANDCUFFS ON I MEAN BY A COP AND CAME UP ON THE 400TH MINUTE WITH HIS VOICE COMPLETELY WRECKED BUT THE AUDIENCE STILL WITH HIM WHEN HIS STUDENTS FINALLY FILED OUT CERTIFICATES OF COMPLETION IN HAND MR SWINEY GAVE EACH ONE A DOOR PASS TO IGBY'S A POPULAR WEST LOS ANGELES COMEDY CLUB WITH A TWODRINK MINIMUM MR MORGENSTERN IS A JOURNALIST AND SCREENWRITER IN SANTA MONICA 9304140095 930414 TRAVEL AIRLINES APPEAL TO FRUGAL FLIERS WITH COUPONS BY JAMES S HIRSCH STAFF REPORTER OF THE WALL STREET JOURNAL AIRLINE COUPONS ARE FLYING INTO SOME UNLIKELY PLACES LIKE CHEVROLET DEALERSHIPS NORTHWEST AIRLINES IS OFFERING COUPONS FOR TWO FREE ROUNDTRIP TICKETS TO ANY NORTHWEST DESTINATION FOR ANYONE WHO BUYS A CHEVY CAPRICE BY JUNE 30 JC PENNEY CO SHOPPERS MEANWHILE CAN SAVE MONEY ON AMERICAN AIRLINES' TICKETS WHEN THEY BUY AT LEAST 99 OF LUGGAGE FROM THE STORE'S CATALOG THROUGH JUNE 1 THE AMR CORP UNIT WILL GIVE THOSE BUYERS TWO CERTIFICATES OF UP TO 60 APIECE THE NORTHWEST AND AMERICAN DISCOUNTS LIKE VIRTUALLY ALL AIRLINE COUPONS CAN ONLY BE USED ON ADVANCEPURCHASE SUPERSAVER FARES THERE ARE CONSUMERS WHO WHEN GIVEN AN EXTRA 40 50 OR 60 OFF AN EXCURSION FARE IT WILL TIP THE SCALES SAYS GEORGE SAMIT AMERICAN'S MANAGER OF PROMOTIONS AND SPECIAL SALES AIRLINES HAVE TEAMED UP WITH CONSUMER PRODUCT COMPANIES FOR YEARS AMERICAN ONCE HAD A TIEIN WITH JIF PEANUT BUTTER BUT COUPONS RECEDED LAST YEAR AS PART OF THE AMERICANLED EFFORT TO SIMPLIFY THE FARE STRUCTURE NOW INDUSTRY OBSERVERS SAY COUPON PROMOTIONS ARE BEING USED WITH MORE ZEAL AND CREATIVITY THAN AT ANY TIME IN MEMORY IN 10 YEARS OF PUBLISHING I CAN'T REMEMBER IT BEING THIS AGGRESSIVE SAYS TOM PARSONS EDITOR OF BEST FARES A TRAVEL MAGAZINE PARTNER MARKETING AS THE AIRLINES CALL IT IS SEEN AS AN EFFICIENT WAY OF DRUMMING UP DEMAND WITHOUT IGNITING A FARE WAR A NORTHWEST COUPON OF UP TO 75 FOR EXAMPLE CAN BE FOUND IN THE MARCH CATALOG OF MARSHALL FIELD'S NO PURCHASE IS NECESSARY THAT MAY INCREASE TRAFFIC ONLY A BIT BUT IT'S LESS COSTLY THAN ACROSSTHEBOARD FARE CUTS OR NEWSPAPER COUPONS THE PROMOTIONS APPEAR TO HELP EVERYONE TRAVELERS GET THE DISCOUNT AND THE MERCHANTSBANKS SUPERMARKETS CREDITCARD COMPANIES DEPARTMENT STORES CARRENTAL COMPANIES CAN OFFER A VALUEADDED BENEFIT WITHOUT INCURRING ANY COST THEMSELVES WE'RE DOING THIS TO SEPARATE US FROM OTHER FINANCIAL INSTITUTIONS SAYS CHRIS TURNER SENIOR VICE PRESIDENT FOR BRANCH ADMINISTRATION FOR LOCAL FEDERAL BANK FSB IN OKLAHOMA CITY THE BANK RECENTLY BEGAN GIVING OUT COUPONS OF UP TO 75 OFF DOMESTIC FLIGHTS ON CONTINENTAL AIRLINES A UNIT OF CONTINENTAL AIRLINES HOLDINGS INC FOR CUSTOMERS WHO OPEN A NEW ACCOUNT THE AIRLINES FOR THEIR PART WALK A PRECARIOUS LINE WITH COUPONS THEY USE THEM TO NUDGE DEMAND BUT THEY MUST KEEP THE DISBURSEMENT UNDER CONTROL OR ELSE SEE YIELDS LOWERED AND REVENUES FALL CARRIERS DO THAT BY PLACING STRICT CONTROLS ON WHEN AND HOW THE COUPONS CAN BE USED AMERICA WEST AIRLINES FOR EXAMPLE IS OFFERING DISCOUNTS TO CUSTOMERS IN CALIFORNIA WHO USE THE AUTOMATICTELLER MACHINES IN SEARS 7ELEVEN OR TARGET STORES THE ATM RECEIPTS FROM THOSE STORES CAN BE EXCHANGED FOR A COUPON SLASHING UP TO 35 FROM AN ADVANCEPURCHASE FARE AMERICA WEST EXPECTS TO GIVE OUT FOUR MILLION CERTIFICATES THE PROMOTION LASTS UNTIL MAY 16 BUT THE DISCOUNTS CAN BE USED ONLY ON THE NONPEAK DAYS OF TUESDAYS WEDNESDAYS AND SATURDAYS COUPONS ENABLE AIRLINES TO TARGET SPECIFIC REGIONS CALIFORNIA IS CURRENTLY COUPON HEAVEN WITH CONTINENTAL AMERICA WEST DELTA AIR LINES AND NORTHWEST A UNIT OF WINGS HOLDINGS INC ALL OFFERING DEALS IN THE STATE DELTA FOR EXAMPLE HAS A TIEIN WITH THE LUCKY STORES SUPERMARKET CHAIN IN SOUTHERN CALIFORNIA THE DISCOUNT DERBY REFLECTS THE WEAKNESS IN THE CALIFORNIA ECONOMY AS WELL AS STIFF COMPETITION FROM MARKET LEADER UAL CORP'S UNITED AIRLINES AND NOFRILLS SOUTHWEST AIRLINES PARTNER MARKETING ALSO HELPS AIRLINES REACH SPECIFIC CUSTOMER GROUPS NORTHWEST'S TIEIN WITH THE CHEVY CAPRICE FOR EXAMPLE WILL INCREASE ITS VISIBILITY WITH OLDER CONSUMERS AS THE CAR TENDS TO APPEAL TO OLDER DRIVERS MONEY IS ALSO A FACTOR AIRLINES NEED TO CUT COSTS SO THEY OFTEN REQUIRE THEIR MARKETING PARTNER TO PICK UP THE ADVERTISING COSTS IN EXCHANGE FOR THE COUPONS WE'RE ABLE TO COOP MARKETING AND ADVERTISING COSTS SAYS SUSAN EDBERG DIRECTOR OF PASSENGER MARKETING AT NORTHWEST DO COUPONS WORK OPINIONS VARY BUT MANY TRAVEL AGENTS SAY THE DISCOUNTS WILL INFLUENCE HIGHLY PRICESENSITIVE LEISURE TRAVELERS WHO AREN'T WEDDED TO FREQUENTFLIER PROGRAMS CAN FLY AT ANY TIME AND MAY OTHERWISE BE HARD TO REACH GIVING AWAY COUPONS AT SUPERMARKETS IS ONE OF THE FEW WAYS TO REACH THE LEISURE MARKET SAYS DAVID CALVIT PRESIDENT OF CORPORATE TRAVELTWIN CITIES IN MINNEAPOLIS OF COURSE IF THE COUPONS ARE SWEET ENOUGH THEY WILL ATTRACT EVERYBODY AT THE END OF LAST YEAR DELTA GAVE AWAY 3000 INTERNATIONAL TICKETS THROUGH A LOTTERYTYPE ARRANGEMENT WITH THREE NEW YORK SUPERMARKET CHAINS THE AIRLINE RECEIVED MORE THAN 10 MILLION ENTRY FORMS AND KEPT THEM IN A WAREHOUSE WE THOUGHT WE WOULD BE ABLE TO MIX THEM UP WITH A RAKE SAYS JUDY JORDAN THE COMPANY'S ASSISTANT VICE PRESIDENT OF ADVERTISING AND SALES PROMOTION BUT WE HAD TO USE A LEAF BLOWER INSTEAD 9304140094 930414 INTERNATIONAL BRIEF QINGDAO BREWERY CO CHINESE CONCERN SAID READY TO LIST SHARES IN HONG KONG QINGDAO BREWERY CO MANUFACTURER OF CHINA'S MOST FAMOUS BEER TSINGTAO PLANS TO LIST SHARES ON THE HONG KONG STOCK MARKET BY THE END OF JUNE ACCORDING TO CHINA'S OFFICIAL XINHUA NEWS AGENCY THE STOCK EXCHANGE OF HONG KONG COULDN'T CONFIRM THE TIMETABLE OF THE XINHUA REPORT BUT SAID QINGDAO HAS PERMISSION TO LIST ITS SHARES IF TRUE IT WOULD PLACE THE BREWER AMONG THE FIRST OF CHINA'S STATEOWNED COMPANIES TO SELL SHARES IN THE COLONY QINGDAO WHICH ALSO PLANS A LISTING ON THE SHANGHAI BOURSE PLANS TO TRADE AT LEAST 25 OF ITS SHARE CAPITAL IN HONG KONG THE XINHUA REPORT SAID QINGDAO WILL ANNEX THREE OTHER BREWERIES IN EASTERN SHANDONG PROVINCE AS PART OF ITS MOVE TO ADOPT A JOINTSTOCK SYSTEM APPROVAL FOR HONG KONG LISTINGS HAS BEEN GIVEN TO NINE STATEOWNED CHINESE COMPANIES EXCHANGE OFFICIALS HAVE SAID REPEATEDLY THAT TRADING IN A FEW OF THE COMPANIES WILL BEGIN BY THE END OF JUNE AND HONG KONG BOURSE CHIEF EXECUTIVE OFFICER PAUL CHOW RECENTLY HINTED THAT SHANGHAI PETROCHEMICAL COMPLEX WOULD BECOME THE FIRST TO LIST ON THE EXCHANGE 9304140092 930414 ARCO OIL DISCOVERY AT SUNFISH ALASKA MAY BE DEVELOPED BY PAULINE YOSHIHASHI STAFF REPORTER OF THE WALL STREET JOURNAL ATLANTIC RICHFIELD CO SAID THE SUNFISH OIL DISCOVERY IN ALASKA'S COOK INLET MAY CONTAIN AS MUCH AS 750 MILLION BARRELS OF GROSS OIL RESERVES ENOUGH TO JUSTIFY COMMERCIAL DEVELOPMENT EXECUTIVES OF THE LOS ANGELES OIL COMPANY ALSO TOLD A MEETING OF SECURITIES ANALYSTS THAT THE KUVLUM DISCOVERY IN ALASKA'S BEAUFORT SEA MAY CONTAIN ONE BILLION BARRELS OR MORE OF GROSS OIL RESERVES BUT IF THAT DISCOVERY IS DEEMED COMMERCIAL DEVELOPMENT OF THE FIELD COULD BE DIFFICULT BECAUSE OF ICE FLOES AND OTHER HARSH CONDITIONS ARCO AND PHILLIPS PETROLEUM CO AS 6040 PARTNERS IN SUNFISH ACQUIRED ABOUT 130000 ACRES TO THE SOUTH AND WEST OF THE SUNFISH DISCOVERY AT A STATE LEASE SALE IN JANUARY AND EXECUTIVES SAID THEY BELIEVE THE DISCOVERY EXTENDS OVER THAT ACREAGE AS WELL THE PARTNERS ARE DRILLING A WELL THERE NOW AND COULD HAVE FOUR EXPLORATION WELLS DRILLED BY THE END OF SUMMER AN ARCO SPOKESMAN SAID HL BILHARTZ PRESIDENT OF ARCO ALASKA INC TOLD ANALYSTS THAT DATA FROM A DISCOVERY WELL SHOW THAT THE KUVLUM STRUCTURE COULD BE THE LARGEST DOMESTIC OIL DISCOVERY IN MANY YEARS THAT PROSPECT IN WHICH ARCO HAS A 50 INTEREST COULD CONTAIN AT LEAST ONE BILLION OR MORE OF GROSS RESERVES BUT THERE IS LESS THAN A 1 CHANCE THAT IT COULD CONTAIN AS MUCH AS SIX BILLION BARRELS OF OIL HE SAID A KUVLUM DISCOVERY WELL FLOWED AT 3400 BARRELS A DAY WHICH UNDER PRODUCING CONDITIONS COULD BE MORE THAN 10000 BARRELS A DAY MR BILHARTZ ADDED SUNFISH AND KUVLUM WHILE PROMISING DON'T COME ANYWHERE NEAR THE SIZE OF ALASKA'S GIANT PRUDHOE BAY FIELD THE NATION'S LARGEST OIL FIELD WITH ABOUT 12 BILLION BARRELS OF RESERVES ALSO ARCO SAID ITS CAPITAL SPENDING FOR 1993 THROUGH 1997 IS EXPECTED TO BE 135 BILLION INVESTMENT IN EXPLORATION AND DEVELOPMENT IN ALASKA IS EXPECTED TO COMPRISE 25 OF THAT OR 34 BILLION WHILE OVERSEAS EXPLORATION AND DEVELOPMENT WILL COMPRISE 37 BILLION OR 27 OVER THE FIVE YEARS EXPLORATION IN THE LOWER 48 STATES IS BUDGETED AT 17 BILLION OR 13 MOST OF WHICH WILL BE USED TO DEVELOP EXISTING PROJECTS REFINING AND MARKETING WILL COMPRISE 21 BILLION OR 15 A THIRD OF THAT WILL BE ALLOCATED TO COMPLY WITH FEDERAL STATE AND LOCAL ENVIRONMENTAL AND CLEANAIR REQUIREMENTS THE COMPANY SAID ARCO CHEMICAL CO IN WHICH ARCO HOLDS AN 834 STAKE WILL MAKE UP FOR 19 BILLION OR 14 OF CAPITAL SPENDING ARCO COAL CO WILL REQUIRE ABOUT 300 MILLION IN CAPITAL 9304140091 930414 BOOMING SALES OF PCS BOOST MARCH ORDERS OF SEMICONDUCTORS SAN JOSE CALIF ORDERS FOR SEMICONDUCTORS CONTINUED TO SURGE IN MARCH THOUGH THE KEY INDUSTRY INDICATOR SLIPPED SLIGHTLY FROM THE JANUARY PEAK BOOMING SALES OF PERSONAL COMPUTERS HELPED PROPEL MARCH ORDERS OR BOOKINGS BASED ON A THREEMONTH ROLLING AVERAGE TO 219 BILLION UP 54 FROM FEBRUARY AND UP 465 FROM A YEAR AGO ACCORDING TO THE SEMICONDUCTOR INDUSTRY ASSOCIATION COMPUTERCHIP BILLINGS OR SHIPMENTS BASED ON A THREEMONTH AVERAGE ROSE 7 TO 187 BILLION DURING THE MONTH AND 339 FROM THE YEARAGO LEVEL THE INDUSTRY'S CLOSELY WATCHED BOOKTOBILL RATIO WAS 117 DOWN FROM FEBRUARY'S 119 LEVEL THE RATIO HIT 120 IN JANUARY THE LATEST RATIO MEANS THAT FOR EACH 100 IN CHIPS SHIPPED THERE WERE 117 IN NEW ORDERS DESPITE THE SLIPPAGE A RATIO ABOVE 100 INDICATES THE INDUSTRY IS GROWING 9304140090 930414 TAX REPORT A SPECIAL SUMMARY AND FORECAST OF FEDERAL AND STATE TAX DEVELOPMENTS BY SCOTT R SCHMEDEL SCRAP THE SUPPORT TEST FOR DEPENDENTS THE GAO ADVISES CONGRESS TAXPAYERS WRONGLY CLAIMED NINE MILLION DEPENDENTS ON 1988 RETURNS CUTTING TAXABLE INCOME BY 17 BILLION THE GENERAL ACCOUNTING OFFICE FOUND 73 OF THE FAULTY CLAIMS INVOLVED FAILURE TO SUPPLY MORE THAN 50 OF A DEPENDENT'S SUPPORT NOW THE GAO SAYS THE SUPPORT TEST IS TOO COMPLEX AND BURDENSOME FOR MANY FILERS BECAUSE IT DEMANDS DETAILED RECORDS AND DIFFICULT ANALYSES AND SO THE GAO ADVISES CONGRESS TO CONSIDER REPLACING THE TEST WITH A RESIDENCY TEST LIKE THAT USED FOR THE EARNEDINCOME CREDIT THE RESIDENCY TEST WOULD REQUIRE A DEPENDENT TO LIVE WITH THE TAXPAYER FOR OVER SIX MONTHS OF THE YEAR AND MEET AGE AND OTHER TESTS IT WOULD SOLVE A PROBLEM FOR PEOPLE WHO CAN LIST A CHILD TO GET AN EARNEDINCOME CREDIT BUT NOT A DEPENDENCY EXEMPTION IF CONGRESS FAVORS THIS STEP THE GAO ADDS IT ALSO SHOULD CONSIDER ENDING THE EQUALLY COMPLEX REQUIREMENT THAT A SINGLE PERSON PAY OVER HALF OF A HOUSEHOLD'S COSTS TO QUALIFY AS A HEAD OF HOUSEHOLD THE GAO ALSO URGES THE IRS TO EXPAND ITS COMPUTERIZED CROSSCHECKING OF DEPENDENTS' SOCIAL SECURITY NUMBERS THE IRS SEEKS 4 MORE IN ITS BUDGET FOR FISCAL 1994 BUT 51 OF THE 284 MILLION INCREASE PROPOSED BY THE CLINTON ADMINISTRATION WOULD GO INTO THE IRS'S MASSIVE AND DRAWNOUT PROGRAM OF TECHNOLOGICAL MODERNIZATION SPENDING ON THAT WOULD RISE TO 7172 MILLION FROM FISCAL 1993'S 572 MILLION THE TOTAL BUDGET INCREASE TO 74 BILLION FROM 71 BILLION WOULD HAVE LITTLE EFFECT ON OTHER SPENDING EMPLOYMENT WOULD GROW LESS THAN 1 TO THE EQUIVALENT OF 116060 FULLTIME POSITIONS FROM 115268 PERHAPS THE MAIN BOOST IN STAFF WOULD GO TO COLLECTING OVERDUE TAXES 688 MORE SLOTS FOR A TOTAL OF 20358 UP 35 ALSO 11 COMPLIANCE AREAS ARE LISTED FOR SPECIAL INITIATIVES INVOLVING 2000 EMPLOYEES AND 150 MILLION THE MAIN TARGETS ARE ACCOUNTS RECEIVABLE INDEPENDENT CONTRACTORS NONFILERS INTERNATIONAL ISSUES AND PERSONAL AUDITS OF HIGHINCOME TAXPAYERS FILING EXTENSIONS AND INSTALLMENT PAYMENTS ARE MORE ATTRACTIVE THIS YEAR LASTMINUTE FILING TIPS HAVEN'T CHANGED MUCH USE THE IRSSUPPLIED LABEL SIGN YOUR RETURN ATTACH YOUR W2S PUT YOUR SOCIAL SECURITY AND PHONE NUMBERS ON YOUR CHECK YET THE IRS OFFERS A COUPLE OF NEW BREAKS TO SMOOTH THE WAY IS IT GOING SOFT IT NOW INVITES FILERS WHO CAN'T PAY ALL THEY OWE TO REQUEST AN INSTALLMENTPAYMENT PLAN BY ATTACHING NEW FORM 9465 TO THE FRONT OF THEIR RETURNS WITHIN 30 DAYS THE IRS WILL SAY WHETHER IT APPROVES REMEMBER INTEREST AND LATEPAYMENT PENALTIES WILL ACCRUE THERE IS ALSO GOOD NEWS FOR PEOPLE WHO WILL MAIL FORM 4868 TOMORROW TO EXTEND THE RETURN DUE DATE TO AUG 16 UNDER OLD RULES THEY HAD TO ESTIMATE TAXES AND PAY IN FULL WITH THE 4868 BUT LAST WEEK THE IRS SAID FULL PAYMENT ISN'T REQUIRED TOMORROW AND FAILURETOFILE PENALTIES WON'T APPLY IF FULL PAYMENT IS MADE OR ARRANGED FOR WITH THE RETURN FILED BY AUG 16 A FILING EXTENSION WON'T LEAD TO A LATEPAYMENT PENALTY IF 90 OF THE TAX DUE IS PAID BY TOMORROW THE IRS ADDED JINGLE JANGLE JUNGLE FILERS WHO RING THE IRS FOR HELP WITH RETURNS HAVE ONLY A 24 CHANCE OF GETTING THROUGH REP SPRATT D SC HEAD OF A HOUSE SUBCOMMITTEE COMPLAINS THAT IS DOWN FROM 33 IN 1992 AND 40 IN 1991 GAO DATA SHOW MAKING ACCESSIBILITY A FAR BIGGER CONCERN THAN IRS ASSISTERS' ACCURACY RATE OF 89 THE IRS ADMITS RISING DEMAND POSES PROBLEMS BUT SAYS IT IS ANSWERING MORE CALLS AND PROVIDING BETTER SERVICE TO CALLERS WHO GET THROUGH FILERS WHO EXTEND TO AUG 16 THE DUE DATE FOR INCOMETAX RETURNS ALSO EXTEND THE DEADLINE FOR 1992 GIFTTAX RETURNS NOTES JEFFREY A LOWIN OF THE LAW FIRM REID & PRIEST IN NEW YORK THAT ALLOWS MORE TIME TO GET DIFFICULT VALUATIONS OF GIFTS OF PROPERTY WITHIN A FAMILY THE IRS EXPECTS TO GET 2064 MILLION TAX RETURNS OF ALL KINDS IN 1993 AND TO SEE THE NUMBER RISE BY AN AVERAGE 18 A YEAR TO 2297 MILLION IN 1999 IT FORECASTS THAT PERSONAL RETURNS WILL RISE TO 1304 MILLION IN 1999 FROM 117 MILLION IN 1993 ASKED FOR MORE FILERS GIVE LESS TO WORTHY CAUSES LISTED ON STATE RETURNS ALABAMANS CAN GIVE TO NINE PROGRAMS CALIFORNIA OFFERS EIGHT CHECKOFFS VIRGINIA AND RHODE ISLAND HAVE SEVEN EACH ONLY CONNECTICUT'S 1992 PERSONAL RETURN DOESN'T INVITE DONATIONS OUT OF REFUNDS OR BY ADDED PAYMENTS BUT LAST YEAR WHEN THE NUMBER OF PROGRAMS ROSE TO 144 FROM 126 IN 1990 STATE FILERS' GIFTS FELL TO 278 MILLION FROM 301 MILLION TWO YEARS EARLIER THE FEDERATION OF TAX ADMINISTRATORS SAYS A POOR ECONOMY AND CHECKOFF FATIGUE MAY BE WHY CHECKOFFS CAN CREATE CLUTTERED RETURNS ADMINISTRATIVE BURDENS AND ERRORS STILL WILDLIFE PRESERVATION IN 36 STATES DREW 97 MILLION ON 14 MILLION RETURNS LAST YEAR POLITICAL CAMPAIGNS CHILDABUSE PREVENTION AND THE OLYMPICS WERE POPULAR NEW PROGRAMS INCLUDED HELP FOR THE HOMELESS AND EDUCATION MICHIGAN GOT THE MOST 29 MILLION FOR ITS THREE PROGRAMS ARKANSAS WITH FIVE CHOICES GOT ONLY 33000 MORE STATES ARE WRITING RULES TO ELIMINATE UNPRODUCTIVE CHECKOFFS THE FTA A STATE GROUP SAYS BRIEFS TAXPAYERS WHOSE EMPLOYERS WITHHELD TOO LITTLE TAX IN 1992 SHOULD USE FORM W4 AS SOON AS POSSIBLE TO ADJUST 1993 WITHHOLDING ELECTION WORKERS WOULD BE RELIEVED OF THE WITHHOLDING OF SOCIAL SECURITY TAX ON EARNINGS BELOW 500 A YEAR UNDER A BILL BY SEN WOFFORD D PA 9304140088 930414 SALOMON DEBT RATINGS ARE CUT BY S&P REFLECTING WIDE EARNINGS FLUCTUATIONS BY ROBERT J BRENNAN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK STANDARD & POOR'S CORP SAID IT LOWERED ITS RATINGS ON SALOMON INC'S DEBT REFLECTING THE WALL STREET FIRM'S WIDE EARNINGS FLUCTUATIONS BECAUSE OF RELIANCE ON TRADING OPERATIONS ABOUT 8 BILLION OF LONGTERM DEBT IS AFFECTED THE LONGTERM SENIOR DEBT RATING WAS LOWERED TO SINGLEAMINUS FROM SINGLEA SUBORDINATED DEBT WAS LOWERED TO TRIPLEBPLUS FROM SINGLEAMINUS AND PREFERRED STOCK WAS LOWERED TO TRIPLEB FROM TRIPLEBPLUS SALOMON'S COMMERCIAL PAPER RATING WAS LOWERED TO A2 FROM A1 THE DOWNGRADES BRING S&P'S RATINGS TO A LEVEL COMPARABLE TO THOSE OF MOODY'S INVESTORS SERVICE INC ALTHOUGH BOTH HAD LOWERED SALOMON'S RATINGS AFTER THE COMPANY BECAME MIRED IN THE US TREASURY SECURITIES SCANDAL S&P HADN'T DOWNGRADED THE RATINGS TO THE DEGREE MOODY'S HAD SALOMON IMMEDIATELY TOOK ISSUE WITH THE DOWNGRADE SAYING S&P WASN'T GIVING PROPER WEIGHT TO OTHER INDICATORS THAT SHOWED ITS FINANCIAL STRENGTH S&P HAD PUT SALOMON DEBT UNDER REVIEW FOR FURTHER POSSIBLE DOWNGRADE IN MARCH ITS DECISION YESTERDAY REFLECTS CONCERN THAT THE FIRM'S RELIANCE ON PROPRIETARY TRADING OR TRADING WITH THE FIRM'S OWN MONEY RATHER THAN CUSTOMERS' HAS INCREASED ITS VULNERABILITY TO QUARTERLY EARNINGS VOLATILITY AN EXPECTED LOSS FOR THE FIRST QUARTER WHILE NOT HAVING A MATERIAL IMPACT ON THE FIRM'S 43 BILLION EQUITY BASE IS NONETHELESS CONSISTENT WITH A PATTERN OF SHARP QUARTERLY FLUCTUATIONS DURING THE PAST YEAR S&P SAID FURTHERMORE A LOSS OF MARKET SHARE IN CERTAIN OF SALOMON'S BUSINESSES TOGETHER WITH THE RECENT REDUCTIONS OF THE FIRM'S PHIBRO ENERGY UNIT WHILE NOT MAJOR DETERMINANTS OF THE RATINGS ACTION NONETHELESS HIGHLIGHT SALOMON'S RELIANCE ON VOLATILE TRADING ACTIVITIES S&P SAID SALOMON SHOCKED WALL STREET RECENTLY WHEN IT DISCLOSED THAT IT HAD 250 MILLION IN TRADING LOSSES FOR THE FIRST TWO MONTHS OF THE YEAR EVEN AS OTHER BROKERAGE COMPANIES WERE ENJOYING ROBUST RESULTS ALSO SALOMON HAS BEEN HIT BY SENIORLEVEL DEPARTURES THE MOST RECENT BEING ERIC ROSENFELD ONE OF ITS TOP BOND TRADING EXECUTIVES SALOMON MORE THAN ANY OTHER WALL STREET FIRM RELIES ON BOND TRADING FOR ITS OWN ACCOUNT FOR THE BULK OF ITS EARNINGS SALOMON'S CHIEF FINANCIAL OFFICER DONALD S HOWARD SAID IN RESPONSE TO THE DOWNGRADE IN MY VIEW SOME RATING AGENCIES FOCUS TOO HEAVILY ON THE SHORTTERM VOLATILITY OF SALOMON'S EARNINGS AND GIVE INADEQUATE WEIGHT TO OUR RESULTS MEASURED OVER LONGER TIME FRAMES MR HOWARD NOTED THAT THE SHORTTERM SWINGS IN EARNINGS RESULT MAINLY BECAUSE OF CONSTANT ACCOUNTING ADJUSTMENTS IT MAKES TO ITS ASSETS TO REFLECT THEIR MARKET VALUE HE SAID THAT NO OTHER FIRM IS IMPACTED AS MUCH BY THIS ACCOUNTING TREATMENT BUT THAT OUR BANKS AND EQUITY AND DEBT INVESTORS UNDERSTAND OUR VOLATILITY MR HOWARD CALLED MOST TROUBLESOME THE LINKING OF LONGTERM AND SHORTTERM DEBT RATINGS BY SOME CREDIT RATERS SUCH A LINKAGE IS PARTICULARY INAPPROPRIATE IN SALOMON'S CASE WHERE SHORTTERM LIQUIDITY IS OF AN EXTRAORDINARILY HIGH QUALITY EVEN AT THE HEIGHT OF THE US TREASURY AUCTION CRISIS BETWEEN AUGUST AND DECEMBER 1991 SALOMON REPAID ALL 8 BILLION MATURING COMMERCIAL PAPER WITH NO NEW ISSUANCE THIS FEAT IS UNPRECEDENTED IN THE MARKET 9304140086 930414 INSIDER TRADING SPOTLIGHT FRIDAY WHICH MUST BE REPORTED 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 9304140085 930414 WEEK'S YIELDS ON CDS DIPPED OR STAYED FLAT BANK SURVEY INDICATES NEW YORK YIELDS ON CERTIFICATES OF DEPOSIT AT MAJOR BANKS AND BROKERAGE FIRMS WERE FLAT TO DOWN SLIGHTLY IN THE WEEK ENDED YESTERDAY THE AVERAGE YIELD ON SIXMONTH SMALLDENOMINATION SAVINGS CDS REMAINED AT 266 ACCORDING TO AN 18BANK SURVEY BY BANXQUOTE MONEY MARKETS THE AVERAGE YIELD ON FIVEYEAR SAVINGS CDS SLIPPED TO 484 FROM 486 THE WILMINGTON DEL INFORMATION SERVICE SAID THE AVERAGE YIELD ON SIXMONTH BROKERSOLD CDS WENT TO 31 FROM 309 ON FIVEYEAR BROKERSOLD CDS THE AVERAGE YIELD SLID TO 509 FROM 515 ON LARGEDENOMINATION JUMBO CDS WHICH TYPICALLY REQUIRE DEPOSITS OF 90000 OR MORE THE AVERAGE YIELD ON A SIXMONTH CERTIFICATE EDGED DOWN TO 272 FROM 275 ON FIVEYEAR JUMBOS THE AVERAGE EASED TO 492 FROM 5 ACCORDING TO BANXQUOTE 9304140084 930414 RJR SLASHES PLANNED PAYOUT ON STOCK ISSUES DIVIDEND ON TOBACCO SHARES IS DELAYED AS PRICE WAR OVER CIGARETTES LOOMS BY EBEN SHAPIRO STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK FACED WITH THE PROSPECT OF A BRUISING PRICE WAR IN ITS CIGARETTE BUSINESS RJR NABISCO HOLDINGS CORP SLASHED BY 73 THE TOTAL DIVIDEND IT PLANS TO PAY WHEN IT CREATES SEPARATE FOOD AND TOBACCO SHARES RJR HAD SET PLANS TO CREATE A SEPARATE CLASS OF STOCK TIED TO ITS NABISCO FOOD COMPANY BECAUSE OF FRUSTRATION OVER THE DEPRESSED PRICES GRANTED TO TOBACCOCOMPANY STOCK BUT IT RETREATED FROM ITS PLAN TO PAY 44 CENTS A YEAR IN DIVIDENDS ON THE TWO FORMS OF STOCK 32 CENTS FOR THE TOBACCO SIDE AND 12 CENTS FOR THE FOOD SIDE INSTEAD IT PROPOSES PAYING ONLY THE 12CENT DIVIDEND ON THE FOOD STOCK AND SAID IT WOULD DELAY PAYING ANY DIVIDEND ON THE TOBACCO EQUITY MOREOVER RJR SAID CURRENT STOCKHOLDERS WILL NO LONGER AUTOMATICALLY GET A PIECE OF THE FOOD BUSINESS RJR HAD PLANNED TO DISTRIBUTE ABOUT 50 OF NABISCO SHARES TO RJR SHAREHOLDERS INSTEAD RJR SAID IT WILL HOLD ON TO ALL OF THE FOOD COMPANY SHARES THAT IT DOESN'T SELL TO THE PUBLIC RJR SAID IT MAY DISTRIBUTE THE FOOD SHARES AT AN APPROPRIATE LATER TIME THE COMPANY'S PLANS FOR THE NABISCO FOOD OFFERING ARE UNCHANGED IT STILL PLANS TO SELL 25 OF NABISCO TO THE PUBLIC THE OFFERING OF 93 MILLION SHARES IS EXPECTED TO RAISE 15 BILLION TO RETIRE DEBT THE AMENDED PLAN WAS RELEASED AFTER THE MARKET CLOSED YESTERDAY BUT INITIAL RESPONSE WAS NEGATIVE THE PLANNED 32CENT ANNUAL DIVIDEND ON THE TOBACCO SHARES RJR CURRENTLY DOESN'T PAY ANY DIVIDEND ON ITS REGULAR COMPANY STOCK HAD BEEN ONE OF THE MAJOR APPEALS TO INVESTORS BUT RJR SAID IT WOULD DELAY THE TOBACCO DIVIDEND UNTIL THERE IS A CLEAR ASSESSMENT OF THE DOMESTIC TOBACCO OPERATING ENVIRONMENT SEVERAL ANALYSTS PRIVATELY EXPRESSED STRONGLY NEGATIVE REACTIONS TO RJR'S DECISION TO DELAY THE TOBACCO DIVIDEND ALTHOUGH THEY DECLINED TO BE QUOTED BY NAME BECAUSE THEIR COMPANIES ARE INVOLVED IN SELLING THE OFFERING THEY WORRIED THAT THE DELAY SIGNALS THAT RJR BELIEVES ITS CASH FLOW IS AT RISK IN THE LOOMING PRICE WAR IN THE DOMESTIC TOBACCO BUSINESS BUT WHILE SOME WALL STREET OBSERVERS REACTED NEGATIVELY MOODY'S INVESTORS SERVICE INC CONFIRMED ITS RATINGS FOR RJR RJR'S RETREAT FOLLOWS THE AGGRESSIVE AND UNEXPECTED APRIL 2 MOVE BY RIVAL PHILIP MORRIS COS TO CUT THE PRICE OF THE NO 1 CIGARETTE BRAND MARLBORO BY 40 CENTS A PACK THE MOVE SENT TOBACCO STOCKS TUMBLING AND POSED THE PROSPECTS OF A COSTLY PRICE WAR BY CANCELING THE TOBACCO DIVIDEND RJR SEEMED TO BE INDICATING THAT IT WAS WILLING TO MATCH PHILIP MORRIS IN MAKING COSTLY PRICE CUTS WE HAVE GAINED A LOT OF GROUND IN THE CIGARETTE MARKET LAWRENCE R RICCIARDI COCHIEF EXECUTIVE OF RJR SAID IN AN INTERVIEW WE AREN'T GOING TO GIVE THAT GROUND BACK HE SAID THE DECISION TO FORGO THE DIVIDEND ON THE TOBACCO STOCK WAS THE RESULT OF MARLBORO FRIDAY A REFERENCE TO THE DAY PHILIP MORRIS ANNOUNCED ITS NEW PRICECUTTING STRATEGY RJR SHARES TRADED HEAVILY YESTERDAY ON THE NEW YORK STOCK EXCHANGE AND CLOSED AT 6 UNCHANGED BUT DOWN MORE THAN 30 FROM WHEN RJR FIRST ANNOUNCED PLANS FOR THE NEW FOODSTOCK ISSUE THE REVISIONS ANNOUNCED YESTERDAY MAY DELAY THE OFFERING BY SEVERAL WEEKS ALTHOUGH MR RICCIARDI SAID THE DEAL SHOULD BE COMPLETED BY THE END OF NEXT MONTH 9304140083 930414 MARKETING & MEDIA ADVERTISING AT&TMCI NEGATIVE AD VOLLEYS ARE LONGDISTANCE RISK FOR BOTH BY KEVIN GOLDMAN NEITHER SIDE REMEMBERS WHICH ONE FIRED THE FIRST SALVO BUT ONE THING IS CLEAR IN THE WAR OF WORDS BETWEEN AT&T AND MCI THE WARM AND FUZZY MESSAGE TO REACH OUT AND TOUCH SOMEONE IN THE 1980S HAS GIVEN WAY TO A NONONSENSE MANTRA OF THE '90S REACH OUT AND CHOKE SOMEONE TELEVISION SCREENS AND THE PAGES OF NATIONAL NEWSPAPERS HAVE BECOME CROWDED WITH ACCUSATIONS AND COUNTERACCUSATIONS ALLEGING POOR PHONE SERVICE BUT IMAGE EXPERTS WARN THAT THE BLUNT BICKERING UNDERMINES AT&T AND MCI'S EFFORTS TO PLAY UP QUALITY SERVICE THE BARRAGE OF NEGATIVE ADS IN FACT COULD HAVE AN ADVERSE EFFECT AND CAUSE CUSTOMERS TO HANG UP ON BOTH PARTIES ONE AD FROM AMERICAN TELEPHONE & TELEGRAPH CO LAST WEEK AND TODAY OFFERED REASON NO 117 TO STICK WITH AT&T SNEERING THAT MCI HAD OVER TWICE AS MANY OUTAGES OF SERVICE MCI COMMUNICATIONS RESPONDED IN KIND YESTERDAY WITH ITS OWN MISSIVE INVOKING SIMILAR GRAPHS AND TYPEFACE AND SNIPING WHEN IT COMES TO RELIABILITY AT&T IS EITHER PRACTICING DECEPTION OR IS LOUSY AT MATH THE COPY SAYS SOME CUSTOMERS MAY FALL FOR HOGWASH FROM AT&T RESEARCH THE TONE OF THE ADS DIMINISHES EACH BRAND OVER A PERIOD OF TIME CONTENDS JOHN LISTER HEAD OF LISTER BUTLER A BRAND IDENTITY CONSULTING FIRM MR LISTER SAYS THE ADS HAVE A RING OF COMMERCIALS FOR DISCOUNT BRANDS INSTEAD OF FOR TOPFLIGHT COMPANIES IT REDUCES THE STATURE OF THE BRAND IF YOU HAVE REAL CLASS AT SOME POINT YOU DON'T MENTION THE COMPETITOR INDEED MR LISTER HIMSELF IS SO SICK OF THE BACKANDFORTH ATTACKS HE PLANS TO DUMP AT&T'S LONGDISTANCE SERVICE AT HOME BUT HE REFUSES TO SWITCH TO MCI HE SAYS HE IS ADOPTING SPRINT ALBEIT SPRINT ISN'T EXACTLY GUILTFREE IN THE FREEFORALL ITS SLAMS HOWEVER HAVE BEEN A BIT MILDER AT STAKE IN THIS ANTAGONISTIC CAMPAIGN IS A PIECE OF THE 60 BILLION LONGDISTANCE MARKET OF WHICH AT&T HAS A COMMANDING 60 SHARE COMPARED WITH NO 2 MCI'S 17 ACCORDING TO JACK GRUBMAN AN ANALYST WITH PAINEWEBBER THE MOST CAUSTIC ASPECT OF THE FIGHT CENTERS ON THE SEPARATE 8 BILLION MARKET FOR 800 TOLLFREE LINES IN WHICH AT&T HAS 65 TO 70 OF THE MARKET COMPARED WITH MCI'S 12 TO 13 THE 800 MARKET IS TO CHANGE RADICALLY ON MAY 1 THAT IS WHEN BUSINESS CUSTOMERS THROUGH A RECENTLY PASSED FEDERAL COMMUNICATIONS COMMISSION REGULATION WILL BE ABLE TO KEEP THEIR EXISTING TOLLFREE NUMBERS EVEN WHEN THEY SWITCH CARRIERS THAT MEANS A COMPANY WITH A SOCALLED VANITY PHONE NUMBER SUCH AS 800THECARD FOR AMERICAN EXPRESS WON'T HAVE TO FORFEIT THE GIMMICK IF IT WANTS TO CHANGE CARRIERS THUS ONE MCI AD CREATED BY ITS AD AGENCY MESSNER VETERE BERGER MCNAMEE SCHMETTERER CHAMPIONS MAY 1 AS 800 INDEPENDENCE DAY ANOTHER MCI PITCH MAKES A PARTICULARLY POINTED AD WITH THE STARK HEADLINE NO WONDER THEY WANT YOU BACK IT CONTAINS SIX CHARTS THAT ILLUSTRATE THE VULNERABILITY OF AT&T ONE PIECHART SHOWS HOW NINE OUT OF 10 CHIEF FINANCIAL OFFICERS IN SMALL AND MEDIUM FIRMS WOULD LEAVE AT&T FOR MCI THAT BOTH COMPANIES USE BAR GRAPHS AND SIMILAR TYPE IN THE ADVERTISEMENTS MAY ONLY FURTHER CONFUSE AN ALREADY BEFUDDLED PUBLIC THAT IS BURDENED WITH A MENU OF CHOICES MCI TAKES THE SHY UNDERDOG APPROACH WHEN DISCUSSING ITS COMBATIVE CAMPAIGN MCI IS ONLY TRYING TO KICKSTART ITS BUSINESS AND FIGHT ON A LEVEL PLAYING FIELD ITS EXECUTIVES SAY AT&T DOESN'T LIKE THE FACT THAT THEY HAVE TO COMPETE SAYS TIMOTHY F PRICE PRESIDENT OF MCI BUSINESS SERVICES AT&T HE SAYS HAS BEEN THE WARDEN TO LONGDISTANCE CUSTOMERS BUT THE PRISONERS HAVE BEEN GOING OVER THE WALL AND ON MAY 1 THE WALLS COME DOWN ENTIRELY SAYS MR PRICE AT&T ISN'T A BAD COMPANY HE SAYS JUST A DESPERATE ONE SO DESPERATE IN FACT THAT WHEN AT&T CAUGHT WIND SEVERAL MONTHS AGO THAT MCI WAS GOING TO RUN A TELEVISION AD THAT SHOWED A LEAKY FAUCET TO SHOW SAVINGS WITH AT&T WERE JUST A DROP IN THE BUCKET MCI SAYS ITS RIVAL PRODUCED A REBUTTAL AD THAT SHOWED MCI'S BUCKET LEAKING AT&T DIDN'T COMMENT ON THE SPECIFIC LEAKY AD BUT SAID THE MUD COULD BE SWUNG BOTH WAYS IT HAS BEEN THE HATFIELDS AND MCCOYS MUCH OF THE TIME SINCE MCI BOUNDED ON THE SCENE IN THE 1970S AN MCI AD IN THE MID1980S WAS A BRUTAL TAKEOFF ON A HEARTTUGGING AT&T AD THAT SHOWED A WIFE WARMLY RELATING TO HER HUSBAND THE LONGDISTANCE CONVERSATION OF A PHONE CALL PLACED BY THEIR SON THE MCI SENDUP SHOWED A SIMILAR COUPLE BUT THIS TIME THE WIFE WAS WEEPING NOT OUT OF JOY BUT BECAUSE SHE HAD JUST SEEN HER AT&T PHONE BILL AT&T ISN'T AMUSED BY ANY OF MCI'S EFFORTS IT PROFESSES THAT IT NEVER WANTED TO GET INTO THIS FOOD FIGHT AS ONE EXECUTIVE DUBBED THE AD WARS BUT BEGINNING TOMORROW AT&T SAYS IT WILL RESPOND DIRECTLY IN ADS FROM INTERPUBLIC GROUP'S MCCANNERICKSON TO MAKE IT INCREASINGLY CLEAR WHY AT&T IS BETTER FOR BUSINESS CUSTOMERS THAN ANY RIVAL ESPECIALLY MCI JOSEPH P NACCHIO PRESIDENT OF AT&T'S BUSINESS COMMUNICATIONS SERVICES UNIT DECLINES TO GIVE ANY SPECIFICS EVEN ONE DAY BEFORE THE CAMPAIGN BREAKS FOR FEAR OF TIPPING OFF THE COMPETITION AND ALLOWING IT TO GET A LEG UP ON A RESPONSE AD WHEN A COMPETITOR USES MY NAME SAYS MR NACCHIO IT REQUIRES MY MARKETING PEOPLE TO RESPOND IN KIND MCI IS THE ONLY COMPANY THAT IS REGULARLY USING THE PUBLIC MASS MEDIA TO SPECIFICALLY COMPARE THEMSELVES TO US MCI HAS MADE PERSONAL ATTACKS ON US MR NACCHIO SAYS THAT IN SOME PERVERSE WAY HE IS PLEASED ABOUT MCI'S TONE AFTER ALL THEY'RE TALKING ABOUT US HE SAYS REMAINING QUIETLY IN THE BACKGROUND IN ALL THIS STATIC IS SPRINT WITH ITS CLASSY SPOKESWOMAN CANDICE BERGEN WE TALK TO THE CUSTOMERS DIRECTLY RATHER THAN TAKING THE STRATEGY THEY USE TALKING TO EACH OTHER SAYS JORGE L RODRIGUEZ VICE PRESIDENT OF ADVERTISING AND MARKETING COMMUNICATIONS AT SPRINT MR RODRIGUEZ HAS A MODEST PROPOSAL WHY DON'T THE TWO RIVALS GET INTO A ROOM AND FIGHT IT OUT OF COURSE THAT WOULD LEAVE SPRINT ACCOUNT RJR NABISCO HOLDINGS'S STELLA D'ORO CO BRONX TAPPED FCB/LEBER KATZ THE NEW YORK OFFICE OF FOOTE CONE & BELDING COMMUNICATIONS FOR ITS ESTIMATED 4 MILLION COOKIE ACCOUNT PREVIOUSLY HANDLED IN HOUSE RJR ACQUIRED STELLA D'ORO LAST FALL HERMAN'S AS EXPECTED HERMAN'S WORLD OF SPORTING GOODS CARTERET NJ TAPPED BOZELL NEW YORK FOR ITS ESTIMATED 25 MILLION AD ACCOUNT 9304140082 930414 INTERNATIONAL EXPECTED TOKYO OFFER OF AID TO RUSSIA SHOWS A SOFTER STANCE ON ISLANDS CLAIM BY JACOB M SCHLESINGER AND CARLA ANNE ROBBINS STAFF REPORTERS OF THE WALL STREET JOURNAL TOKYO PLACING A BITTER TERRITORIAL FEUD ON HOLD JAPAN IS EXPECTED TO ANNOUNCE TODAY ABOUT 18 BILLION IN NEW AID TO RUSSIA PRIME MINISTER KIICHI MIYAZAWA IS SCHEDULED TO UNVEIL THE PACKAGE AT THE OPENING OF AN EMERGENCY SESSION IN TOKYO OF TOP GOVERNMENT OFFICIALS FROM THE GROUP OF SEVEN INDUSTRIALIZED NATIONS THE TWODAY MEETING IS EXPECTED TO PRODUCE TENS OF BILLIONS OF DOLLARS IN GRANTS LOANS TRADE CREDITS AND OTHER ASSISTANCE TO SUPPORT RUSSIA'S BELEAGUERED ECONOMIC REFORMS AS HOSTS OF THE CONFERENCE THE JAPANESE HOPE THEIR OFFER WILL SILENCE WESTERN CRITICISM THAT JAPAN HAS GIVEN HIGHER PRIORITY TO RETRIEVING A SMALL CHAIN OF ISLANDS NORTH OF HOKKAIDO SEIZED BY THE SOVIET UNION AT THE END OF WORLD WAR II THAN TO ENSURING THE SURVIVAL OF DEMOCRACY AND A STABLE GOVERNMENT IN RUSSIA US OFFICIALS MEANWHILE SAID THEY EXPECTED THE US TO PLEDGE AS MUCH AS 15 BILLION IN NEW AID FOR RUSSIA AT THE TOKYO MEETING WITH SEVERAL HUNDRED MILLION DOLLARS MORE FOR THE OTHER FORMER SOVIET REPUBLICS THIS AMOUNT WOULD SURPASS THE 11 BILLION CURRENTLY PROPOSED FOR ALL THE REPUBLICS IN THE CLINTON ADMINISTRATION'S FISCAL 1994 BUDGET AND WOULD BE IN ADDITION TO THE 16 BILLION OF AID PLEDGED BY PRESIDENT CLINTON IN VANCOUVER BRITISH COLUMBIA EARLY THIS MONTH JAPAN HAS OFTEN SAID THAT ITS ASSISTANCE WOULD BE LIMITED AS LONG AS THE DISPUTE OVER THE TERRITORIES REMAINS AND WHILE JAPANESE OFFICIALS INSIST THEY ARE STILL PRESSING THE ISLANDS ISSUE THEY ARE CLEARLY SOFTENING THEIR STANCE WE HAVE TO TAKE INTO ACCOUNT OUR NEW RESPONSIBILITIES OF BEING THE CHAIR OF THE ECONOMIC SUMMIT SAID NOBORU HATAKEYAMA AN OFFICIAL AT THE MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY JAPAN IS ALSO HOSTING THE JULY ANNUAL SUMMIT OF G7 LEADERS WHERE AID TO RUSSIA IS EXPECTED TO BE A PRIORITY IN ANOTHER SIGN OF A TOKYOMOSCOW THAW RUSSIAN PRESIDENT BORIS YELTSIN REPORTEDLY SAID THIS WEEK HE WOULD LIKE TO VISIT JAPAN BEFORE THE JULY SUMMIT DETAILS COULD BE ANNOUNCED SOON MR YELTSIN ABRUPTLY CANCELED A PLANNED TRIP TO TOKYO IN SEPTEMBER BLAMING JAPAN'S INTRANSIGENCE ON THE ISLANDS ISSUE HOWEVER DESPITE JAPAN'S NEW PUBLIC STANCE IT ISN'T CLEAR HOW SATISFIED THE NATION'S ALLIES WILL BE WITH JAPAN'S CONTRIBUTION TO RUSSIA US OFFICIALS HAD SAID IN RECENT WEEKS THAT THEY HOPED TOKYO WOULD PITCH IN AS MUCH AS 3 BILLION TO A PACKAGE SOME BELIEVE WILL TOTAL ABOUT 10 BILLION IN BILATERAL AID FROM THE G7 COUNTRIES JAPAN'S RELATIVE FINANCIAL STRENGTH PUTS IT IN PERHAPS THE BEST POSITION TO GIVE MORE AID US OFFICIALS CONTEND JAPANESE OFFICIALS STRESSED THEIR AID WOULD BE COMPARABLE TO THE 16 BILLION THAT PRESIDENT CLINTON PROMISED TO MR YELTSIN IN VANCOUVER IN THE PAST FEW DAYS MR CLINTON HAS BEEN LOBBYING NOT ONLY CONGRESSIONAL LEADERS BUT ALSO THE HEADS OF OTHER G7 COUNTRIES ASKING THEM TO ANTE UP MORE MONEY AND PROMISING THAT THE US WILL DO THE SAME US OFFICIALS CONFIRM THAT MR CLINTON HAS TELEPHONED MR MIYAZAWA AND GERMAN CHANCELLOR HELMUT KOHL AMONG OTHERS US OFFICIALS ARRIVING IN TOKYO YESTERDAY SAID THEY WOULDN'T COMMENT ON JAPAN'S OFFER UNTIL IT IS ANNOUNCED BUT TREASURY SECRETARY LLOYD BENTSEN DID OFFER GENERAL PRAISE FOR JAPAN'S NEW POLICY TOWARD RUSSIA SAYING JAPAN HAS TAKEN A CRITICAL AND LEADING ROLE IN OUR MULTILATERAL DELIBERATIONS ON RUSSIA IN ADDITION TO THE BILATERAL PACKAGE JAPANESE OFFICIALS SAID THEY WILL CONTRIBUTE TO MULTILATERAL RUSSIAAID PROGRAMS TO BE PUT TOGETHER THIS WEEK OFFICIALS TRAVELING WITH US SECRETARY OF STATE WARREN CHRISTOPHER SAID THE MULTILATERAL AID WOULD INCLUDE AN ESTIMATED 15 BILLION OR MORE IN LENDING INTENDED TO VERY RAPIDLY REINFORCE RUSSIAN REFORMS OF THAT TOTAL OFFICIALS SAID ABOUT 2 BILLION IN NEW LENDING COULD BE AVAILABLE TO RUSSIA WITHIN TWO MONTHS IF MR YELTSIN'S GOVERNMENT TAKES IMMEDIATE STEPS TO CONTROL ITS SOARING MONEY SUPPLY THE REST WOULD BECOME AVAILABLE IN STAGES AS RUSSIA ENACTS ADDITIONAL MEASURES TO REFORM AND STABILIZE ITS ECONOMY SEPARATELY THE INTERNATIONAL FINANCE CORP THE PRIVATE INVESTMENT BRANCH OF THE WORLD BANK SAID THAT RUSSIA FORMALLY BECAME A MEMBER THE IFC SAID IT WILL WORK WITH THE EUROPEAN BANK FOR RECONSTRUCTION AND DEVELOPMENT TO ATTRACT FOREIGN INVESTMENT TO RUSSIA'S ENERGY AND TOURISM SECTOR AND ALSO WILL FOCUS ON THE FINANCIAL SECTOR 9304140081 930414 FASB VOTES TO MAKE BANKS AND INSURERS VALUE CERTAIN BONDS AT CURRENT PRICES BY LEE BERTON STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK THE FINANCIAL ACCOUNTING STANDARDS BOARD DESPITE CONTINUED OPPOSITION FROM FINANCIAL INSTITUTIONS DECIDED TO FORCE BANKS AND INSURERS TO VALUE CERTAIN BONDS THEY HOLD FOR INVESTMENT AT CURRENT MARKET PRICES THE FASB THE CHIEF RULEMAKING BODY FOR ACCOUNTANTS ALSO APPROVED A RULE THAT WILL REQUIRE BANKS TO VALUE IMPAIRED OR TROUBLED LOANS AT THEIR CURRENT VALUE BOTH RULES PASSED BY A 5TO2 VOTE THE MARGIN REQUIRED BY FASB FOR APPROVAL AND WILL TAKE EFFECT WITH 1994 FINANCIAL STATEMENTS THE BOARD'S VOTE FOLLOWS THE APPROVAL LAST WEEK OF ANOTHER CONTROVERSIAL RULE REQUIRING COMPANIES TO DEDUCT FROM PROFITS THE VALUE OF STOCK OPTIONS AWARDED TO EMPLOYEES THAT RULE CHANGE WHICH WON'T TAKE EFFECT UNTIL 1997 FINANCIAL STATEMENTS WAS STRONGLY OPPOSED BY THE BUSINESS ROUNDTABLE FINANCIAL INSTITUTIONS AND MAJOR ACCOUNTING FIRMS THEY WARNED THAT THE RULE WOULD MAKE PROFITS MORE VOLATILE AND HURT STARTUP COMPANIES THAT USE OPTIONS TO ATTRACT EXECUTIVES THE BONDVALUATION RULE APPROVED YESTERDAY WILL REQUIRE FINANCIAL INSTITUTIONS TO VALUE MANY OF THEIR DEBT SECURITIES AT WHAT THEY ARE TRADING FOR CURRENTLY RATHER THAN AT INITIAL COST AS MANY SECURITIES ARE VALUED NOW MANY ACCOUNTANTS BELIEVE THE CHANGE WILL MORE ACCURATELY REFLECT THE INSTITUTIONS' FINANCIAL SITUATION RICHARD BREEDEN CHAIRMAN OF THE SECURITIES AND EXCHANGE COMMISSION PRAISED THE NEW RULE SAYING IT WILL CLARIFY THE RULES OF THE ROAD AND LESSEN ENFORCEMENT ACTIONS REP EDWARD MARKEY D MASS CHAIRMAN OF THE HOUSE FINANCE COMMITTEE SAID IT'S HIGH TIME THAT BANK FINANCIAL STATEMENTS WERE HELD TO STANDARDS OF ECONOMIC TRUTH BUT BANKS AND INSURANCE COMPANIES REMAIN STRONGLY OPPOSED TO THE RULE SAYING IT WILL MAKE THEIR FINANCIAL RESULTS MORE VOLATILE AND CONFUSING THIS IS A GREAT DISAPPOINTMENT TO BANKERS WHO STILL BELIEVE IT'S A BAD IDEA WHOSE TIME SHOULD NOT HAVE COME SAID DONNA FISHER MANAGER OF ACCOUNTING POLICY FOR THE 10000MEMBER AMERICAN BANKERS ASSOCIATION MARTI SWOROBUK A MANAGER FOR THE 2000MEMBER SAVINGS & COMMUNITY BANKERS OF AMERICA SAID THAT THE BONDVALUATION RULE WILL CREATE TREMENDOUS FLUCTUATIONS IN BANKS' BOND PORTFOLIOS AT A TIME WHEN BANK CAPITAL IS BEING SO CAREFULLY SCRUTINIZED BY REGULATORS A SPOKESMAN FOR THE 630MEMBER AMERICAN COUNCIL OF LIFE INSURANCE SAID THE BONDVALUATION RULE WILL CAUSE WILD SWINGS IN THE AMOUNT OF SURPLUS EQUITY REPORTED BY INSURERS AND WILL FORCE INSURERS TO SHORTEN BOND MATURITIES TO REDUCE VOLATILITY FROM INTERESTRATE CHANGE BANKERS ALSO ARE UNHAPPY WITH KEEPING TROUBLED LOANS ON THEIR BOOKS AT CURRENT VALUES BUT THEY PRAISED ONE CHANGE IN THE PROPOSAL THAT WILL ALLOW BANKS TO RECOGNIZE THE MARKET VALUE OF A LOAN'S COLLATERAL RATHER THAN THE PRESENT VALUE OF THE TROUBLED LOAN THE RULE IS A LOT MORE WORKABLE FOR SMALL BANKS WITH THE COLLATERAL SAFETY VALVE SAID ANN GROCHALA DIRECTOR FOR BANK OPERATIONS OF THE 6200MEMBER INDEPENDENT BANKERS ASSOCIATION OF AMERICA SOME BANKERS ALSO FEEL THAT THE BONDVALUATION RULE WILL ENCOURAGE BANKS TO SHED LONGTERM BONDS AND INVEST MORE IN SHORTTERM SECURITIES SUCH A SWITCH COULD COULD HURT COMMUNITIES THAT SELL LONGTERM BONDS IN LIMITED MARKETS AND MAY LESSEN CAPITAL AVAILABLE FOR LOANS TO SMALL BUSINESS THE BANKERS SAY THE RULE WILL MAKE IT TOUGH TO BUY LONGTERM FAIRLY ILLIQUID BONDS FROM LOCAL COMMUNITIES AND COULD CRIMP CAPITAL AVAILABLE FOR LOANS BECAUSE WE EARN LESS ON SHORTERTERM BONDS ASSERTED JAMES LAUFFER CHAIRMAN AND PRESIDENT OF FIRST NATIONAL BANK OF HERMINIE IN IRWIN PA MR LAUFFER ALSO IS PRESIDENT OF THE INDEPENDENT BANKERS ASSOCIATION BUT FASB OFFICIALS BELIEVE THAT THE BONDVALUATION RULE WILL MAKE FINANCIAL STATEMENTS MORE ACCURATE AND WILL STOP GAINS TRADING THE PRACTICE ALSO KNOWN AS CHERRYPICKING OCCURS WHEN BANKS OR INSURERS TRADE ONLY THOSE BONDS THAT YIELD A PROFIT WHILE HOLDING ON TO BONDS WHOSE PRICE IS DOWN AND MARKING THEM AT COST THE RULE WILL HELP STANDARDIZE ACCOUNTING BY ALL ENTITIES FOR INVESTMENT IN DEBT SECURITIES AND ELIMINATE THE DIVERSITY THAT MAKES COMPARISONS BETWEEN SUCH ENTITIES DIFFICULT SAID ROBERT WILKINS A FASB PROJECT MANAGER UNDER THE RULE A COMPANY'S BOND PORTFOLIO IS DIVIDED INTO THREE CATEGORIES BONDS HELD TO MATURITY CAN STILL BE HELD AT ORIGINAL COST BONDS AVAILABLE FOR SALE WHICH MAY OR MAY NOT BE TRADED BEFORE MATURITY ARE TO BE MARKED TO THE CURRENT VALUE WITH ANY REDUCTION FROM ORIGINAL COST TAKEN FROM SHAREHOLDERS' EQUITY FINALLY BONDS HELD ONLY FOR TRADING PURPOSES MUST BE MARKED TO CURRENT MARKET PRICES WITH ANY UNREALIZED LOSSES CHARGED AGAINST EARNINGS THE FASB ACTUALLY MODIFIED ITS INITIAL PROPOSAL WHICH WOULD HAVE REQUIRED BOTH BONDS AVAILABLE FOR SALE AND THOSE HELD FOR TRADING TO BE CHARGED AGAINST EARNINGS IF THE VALUE DECLINES BELOW COST THE BONDVALUATION RULE WAS APPROVED WHEN JAMES LEISENRING AN FASB MEMBER SHIFTED HIS VOTE TO APPROVAL FROM AN EARLIER VOTE OF OPPOSITION LAST MARCH MR LEISENRING SAID THAT WHILE THE CURRENT RULE ISN'T HIS FIRST PREFERENCE HE FEELS THAT TABLING THE PROPOSAL AS WAS DONE LAST MONTH COULD HAVE LED TO CHAOS BECAUSE OF DIVERGENT ACCOUNTING TREATMENTS CURRENTLY USED BY BANKS AND INSURERS FOR BOND PORTFOLIOS MR LEISENRING AND OTHERS WOULD HAVE PREFERRED TO ALSO MARK TO MARKET CERTAIN LIABILITIES HELD BY BANKS SUCH AS ISSUED DEBENTURES THAT COULD OFFSET MARKING BONDS HELD FOR INVESTMENT TIMOTHY LUCAS RESEARCH DIRECTOR OF THE FASB SAID THAT A MAJORITY OF THE FASB LIKE MR LEISENRING WAS SYMPATHETIC AT LOOKING AT THE LIABILITY SIDE FOR SIMILAR TREATMENT AS BONDS HELD AS INVESTMENTS WHICH ARE CLASSIFIED AS ASSETS IT'S A POSSIBILITY DOWN THE ROAD AS PART OF ANOTHER FASB PROJECT ON HEDGING SAID MR LUCAS CHRISTI HARLAN IN WASHINGTON CONTRIBUTED TO THIS ARTICLE 9304140080 930414 WHO'S NEWS AMERICAN RESTAURANT PARTNERS WICHITA KAN AMERICAN RESTAURANT PARTNERS LP SAID THAT RODGER D TAYLOR 46 YEARS OLD RESIGNED AS PRESIDENT AND CHIEF OPERATING OFFICER EFFECTIVE JULY 12 TO PURSUE PERSONAL INTERESTS THE COMPANY WHICH OPERATES PIZZA HUT RESTAURANTS SAID THAT THE POSITION OF PRESIDENT WILL BE ASSUMED BY HAL W MCCOY 48 THE COMPANY'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER SEPARATELY THE COMPANY SAID IT AGREED TO BUY TWO PIZZA HUT UNITS IN TEXAS ALONG WITH THE DEVELOPMENT RIGHTS FOR AN ADDITIONAL UNIT FOR 700000 AND 22222 CLASS B AND CLASS C PARTNERSHIP UNITS THE RESTAURANTS WERE PART OF A GROUP OF FOUR SOLD IN JANUARY 1991 TO A COMPANY CONTROLLED BY MR MCCOY'S SON FOR 11 MILLION IN CASH AND NOTES 9304140079 930414 LETTERS TO THE EDITOR HOARY CANARDS ABOUT THE BBC I WAS DISMAYED TO DISCOVER SOME HOARY CANARDS IN YOUR MARCH 26 ARTICLE ABC AND BBC TO POOL THEIR RADIOTV NEWS COVERAGE 9304140078 930414 RULE OF LAW WHAT REPUBLICANS SHOULD ASK THE SUPREME COURT NOMINEE BY TERRY EASTLAND JUSTICE BYRON WHITE'S DECISION TO RETIRE THIS SUMMER MEANS NOT ONLY THAT FOR THE FIRST TIME IN A QUARTERCENTURY WILL A DEMOCRATIC PRESIDENT SELECT A SUPREME COURT JUSTICE BUT ALSO THAT SENATE REPUBLICANS WILL HAVE THEIR FIRST OPPORTUNITY IN AS MANY YEARS TO ASSESS THE NOMINATION OF A POTENTIAL JUSTICE SELECTED BY A DEMOCRATIC PRESIDENT REALIZING THAT WITH ONLY 43 SEATS THEY ARE UNLIKELY TO PREVAIL IN A CONFIRMATION BATTLE WITH PRESIDENT CLINTON SENATE REPUBLICANS WILL PROBABLY DECIDE TO PUNT A MORE CONSTRUCTIVE COURSE OF ACTION WOULD BE TO ENGAGE THE PRESIDENT AND HIS NOMINEE WHOEVER THAT MAY BE ON THE CRITICAL SUBJECT OF JUDICIAL PHILOSOPHY THIS ADMITTEDLY WOULD BE AN UNREPUBLICAN THING TO DO BOTH THE REAGAN AND BUSH ADMINISTRATIONS CONTENDED THAT THE SENATE'S CONFIRMATION ROLE SHOULD BE CONFINED TO INQUIRING ABOUT LEGAL COMPETENCE AND CHARACTER NOT JUDICIAL PHILOSOPHY YET ARTICLE II OF THE CONSTITUTION PROVIDES THAT THE PRESIDENT SHALL NOMINATE AND BY AND WITH THE ADVICE AND CONSENT OF THE SENATE SHALL APPOINT JUDGES OF THE SUPREME COURT THE FRAMERS EXPECTED THAT THE SENATE WOULD IN ALEXANDER HAMILTON'S WORDS PREVENT THE APPOINTMENT OF UNFIT CHARACTERS BUT THE TEXT OF THE APPOINTMENTS CLAUSE DOES NOT FORECLOSE CONSIDERATION OF JUDICIAL PHILOSOPHY MOREOVER BECAUSE SENATORS TAKE AN OATH TO SUPPORT THE CONSTITUTION THEY CANNOT CONSCIENTIOUSLY VOTE TO CONFIRM SOMEONE THEY BELIEVE HOLDS TO UNSOUND PRINCIPLES IT FOLLOWS THAT JUDICIAL PHILOSOPHY MUST BE SOMETHING SENATORS DEMOCRAT OR REPUBLICAN TAKE INTO ACCOUNT DEMOCRATIC SEN JOSEPH BIDEN JUDICIARY COMMITTEE CHAIRMAN HAS SEEMED TO ARGUE THAT THIS OBLIGATION EXISTS ONLY WHEN A PRESIDENT SELECTS HIS NOMINEE ON THE BASIS OF JUDICIAL PHILOSOPHY IN FACT THE OBLIGATION DERIVING AS IT DOES FROM THE CONSTITUTION EXISTS REGARDLESS OF HOW THE PRESIDENT EXERCISES HIS EXCLUSIVE POWER TO NOMINATE OF COURSE GIVEN THE CONTROVERSIAL ROLE OF THE COURT IN MODERN TIMES IT IS UNLIKELY THAT ANY PRESIDENT WOULD FAIL TO CHOOSE ON THE BASIS OF JUDICIAL PHILOSOPHY PRESIDENTS REAGAN AND BUSH DID SO AND PRESIDENT CLINTON HAS PROMISED HE WILL DO SO MR CLINTON'S STATEMENTS SUPPLY THE TEXT TO WHICH SENATE REPUBLICANS ALREADY SHOULD BE RESPONDING IN THE CAMPAIGN MR CLINTON MADE SUPPORT FOR ROE V WADE HIS LITMUS TEST BUT WHATEVER ONE THINKS OF ABORTION AS A POLICY MATTER ROE IS EXHIBIT A1 IN HOW NOT TO INTERPRET THE CONSTITUTION CONTEMPTUOUS OF DEMOCRACY AND ALMOST BEREFT OF LEGAL REASONING IT WAS AS JUSTICE WHITE SAID IN DISSENT AN EXERCISE IN RAW JUDICIAL POWER SENATE REPUBLICANS SHOULD ALREADY HAVE DECLARED THAT ANY NOMINEE WHO THINKS ROE AN EXEMPLARY PIECE OF LEGAL WRITING IS UNACCEPTABLE MR CLINTON SAYS HIS GOAL IS TO APPOINT SOMEONE COMMITTED TO A STRONG AND BROAD CONSTITUTIONAL RIGHT TO PRIVACY THIS TOO MERITS RESPONSE EVEN BEFORE A NOMINEE IS CHOSEN FOR JUST WHAT IS THIS STRONG AND BROAD CONSTITUTIONAL RIGHT TO PRIVACY A RIGHT TO SOME DEGREE OF PRIVACY CAN BE INFERRED FROM THE TEXT AND HISTORY OF THE CONSTITUTION AND THE ROE COURT SAID THE UNENUMERATED PRIVACY RIGHT IT FOUND IN A 1965 CASE ALSO INCLUDES ABORTION BUT THE COURT WITH JUSTICE WHITE AGAIN WRITING SAID IN A 1986 CASE THAT THE PRIVACY RIGHT DOES NOT INCLUDE HOMOSEXUAL SODOMY A REPUBLICAN SENATOR MIGHT PROPERLY ASK WHETHER MR CLINTON'S STRONG AND BROAD CONSTITUTIONAL RIGHT TO PRIVACY INCLUDES HOMOSEXUAL CONDUCT WHAT ABOUT CHILDREN DO THEY HAVE RIGHTS FOUND SOMEWHERE IN THE FURTHER REACHES OF THIS BIG PRIVACY RIGHT AND WHAT ABOUT PROSTITUTION OR THE TAKING OF ILLEGAL DRUGS WHICH SOME LIBERAL ACADEMICS SEE AS CONTAINED WITHIN THE RIGHT OF PRIVACY ALL IN ALL IS THIS PRIVACY RIGHT SO STRONG AND BROAD AS TO REQUIRE MASSIVE JUDICIAL GOVERNMENT IN BEHALF OF A PLAINLY LIBERAL SOCIAL AGENDA AT THE EXPENSE OF DEMOCRATIC SELFGOVERNMENT IN QUESTIONING THE NOMINEE SENATE REPUBLICANS MUST TAKE CARE CONFIRMATION HEARINGS SINCE 1986 HAVE BEEN CONDUCTED IN SUCH A WAY AS TO SUGGEST THAT THE JOB OF A JUDGE IS TO MAKE POLICY ON CERTAIN HIGHLY CONTROVERSIAL ISSUES SUCH AS ABORTION SENATE DEMOCRATS HAVE DONE LITTLE TO PRESERVE THE DISTINCTION BETWEEN LAW AND POLITICS AT THE HEART OF THE TRADITIONAL IDEA OF LAW THIS IS PERHAPS BECAUSE THEY NO LONGER BELIEVE IN IT INDEED THEIR JUDICIAL PHILOSOPHY APPEARS TO REDUCE LAW TO POLITICS THE GOP HAS BEEN THE PARTY MORE WILLING TO HONOR THIS DISTINCTION THE CONFIRMATION GOAL FOR SENATE REPUBLICANS SHOULD BE TO FIND OUT NOT HOW THE NOMINEE WOULD VOTE ON THE SUPREME COURT BUT ON HOW THE NOMINEE REASONS ABOUT THE LAW AND THINKS ABOUT THE TASK OF JUDGING TOWARD THIS END IT IS POSSIBLE TO ASK THE NOMINEE QUESTIONS WITHOUT REFERENCE TO ACTUAL CASES PROPER QUESTIONS CONCERN JUDICIAL POWER AND THE ROLE OF THE COURTS HOW FOR EXAMPLE SHOULD A JUDGE INTERPRET THE CONSTITUTION ACCORDING TO TEXT HISTORY AND STRUCTURE OR MODERN NEEDS AND CIRCUMSTANCES TO MAKE THIS QUESTION MORE SPECIFIC IT MIGHT BE ASKED THE ORIGINAL CONSTITUTION DREW A LINE BETWEEN THE FEDERAL GOVERNMENT AND THE STATES HOW SHOULD A JUDGE TODAY DRAW THAT LINE LIKEWISE IT MIGHT BE ASKED ON WHAT CONSTITUTIONAL BASIS DOES CONGRESS HAVE THE AUTHORITY TO REQUIRE PEOPLE TO PURCHASE HEALTH INSURANCE THE NOMINEE SHOULD BE ASKED ABOUT THE WEIGHT GIVEN THE COURT'S PREVIOUS CONSTITUTIONAL DECISIONS WHEN IF EVER SHOULD THEY BE OVERRULED AND HOW SHOULD A JUDGE INTERPRET A STATUTE ACCORDING TO TEXT ALONE OR IF LEGISLATIVE HISTORY SHOULD BE CONSULTED WHAT KIND AND HOW MUCH AND WHAT OF THE SPIRIT OF THE LAW HOW WHERE DOES A JUDGE FIND THAT MORE IS THE JOB OF THE JUDGE TO GET THE LAW RIGHT OR TO DO JUSTICE THAT IS IF THERE IS AN INJUSTICE IN SOCIETY AND CONGRESS OR THE STATES HAVE FAILED TO ACT SHOULD THE SUPREME COURT FILL THE VOID WHAT IS THE MAIN SOURCE OF SOCIETAL CHANGE JUDGES OR THE REST OF US WHAT IS THE JUSTIFICATION FOR JUDICIAL REVIEW WHAT IS LAW AND THE RULE OF LAW BECAUSE WRITTEN OPINIONS FORM THE BULK OF JUDGES' WORK WHY NOT ASK THE NOMINEE TO COMPOSE ANSWERS IN LONGHAND OR ON A COMPUTER BUT WITHOUT TOO MANY HANDLERS AROUND BAD TELEVISION I KNOW BUT WE MIGHT REALLY FIND OUT HOW A NOMINEE THINKS THIS WAY JOHN O MCGINNIS A PROFESSOR AT THE BENJAMIN N CARDOZO SCHOOL OF LAW HAS CORRECTLY OBSERVED THAT THE APPOINTMENTS CLAUSE HELPS SUSTAIN THE REPUBLIC BY CREATING THE POSSIBILITY OF A CATHARTIC CONFLICT THAT WILL REQUIRE ITS CITIZENS TO CONSIDER SOME OF THE FIRST PRINCIPLES OF THE REPUBLIC'S GOVERNING ORDER THE PROPER ROLE OF THE JUDICIARY AND THE PROPER METHOD OF INTERPRETING THE REPUBLIC'S GOVERNING DOCUMENT IT IS UP TO SENATE REPUBLICANS TO FIND OUT WHETHER SUCH A CONFLICT IS IN ORDERTHE SIGNS OF ONE BEING ALREADY STRONGAND TO PROSECUTE IT WELL MR EASTLAND IS A RESIDENT FELLOW AT THE ETHICS AND PUBLIC POLICY CENTER IN WASHINGTON DC 9304140077 930414 LETTERS TO THE EDITOR RADICALS TAKE OVER CAMPUSES WHERE HAVING READ LYNNE A MUNSON'S ARTICLE ON POLITICAL CORRECTNESS IN ART AND ART HISTORY ROGUES' GALLERY ART SCHOLARS ON DISPLAY EDITORIAL PAGE MARCH 24 I FELT COMPELLED TO RESPOND AS A MARXIST ART HISTORIAN ACTIVE IN THE US I REPRESENT PART OF THE CONSTITUENCY MISS MUNSON PRESUMABLY WAS TRYING TO RIDICULE SIMILAR TO MOST CONTRIBUTIONS TO THE SOCALLED DEBATE ON POLITICAL CORRECTNESS THE AUTHOR HAS BEEN REDUCED TO CITING TRENDY CONFERENCE SESSION TITLES AND HAS FOCUSED ON A FEW MEETINGS REPORTED IN VOLATILE PROSE TO SAY THAT MISS MUNSON'S RHETORIC IS BY ANY MEANS A REAL CHARACTERIZATION OF ACADEMIC CULTURE IN THE US IS TO BELIEVE THAT I COULD SHOW UP AT A CONFERENCE ON TAX LAW PICK SOME OF THE EQUALLY TRENDY TITLES AND REPORT IT ALL AS OBJECTIVE JOURNALISM IN EITHER CASE THE RESULT IS HIGHLY IDEOLOGICAL DISTORTING THE REAL CONTEXT NOT ONLY OF WHAT THE SPEAKERS ARE TRYING TO SAY BUT OF THE CONDITIONS THAT GOVERN ACADEMIC PRACTICE THE CONSERVATIVE FOCUS ON POLITICAL CORRECTNESS AIMS AT A VERY SMALL PERCENTAGE OF THE CRITICAL ACADEMIC COMMUNITY AND CONVENIENTLY ELIDES THE FACT THAT THE PRIVATE AND PUBLIC INSTITUTIONS OF HIGHER EDUCATION IN THIS COUNTRY ARE FIRST AND FOREMOST CONTROLLED BY AT BEST MODERATE OR MORE OFTEN CONSERVATIVE ADMINISTRATIONS THESE ADMINISTRATIONS CONTROL COLLEGE AND UNIVERSITY BUDGETS AND THEREFORE HAVE A DIRECT SAY ABOUT EXACTLY HOW DISSIDENT AN ACADEMIC COMMUNITY CAN BE ONE NEED ONLY COMPARE THE AMOUNT OF SUPPORT GIVEN TO SCIENTISTS WORKING ON MILITARY PROJECTS WITH THAT OF ANY PROFESSOR IN THE HUMANITIES TO PROVE THE POINT MISS MUNSON LIKE THE CONSERVATIVE INTERESTS SHE REPRESENTS IS OUT TO POLITICIZE AN INSTITUTION THAT ALREADY WORKS IN HER FAVOR SHE IS ABLE TO DO SO BY THE MEDIA'S INCESSANT INTEREST IN CREATING AN IMAGE OF CRISIS RATHER THAN IN REPORTING THE NEWS FINALLY TO THOSE WHO STILL BELIEVE THAT RADICAL SCHOLARS ARE TAKING OVER THE UNIVERSITIES AND COLLEGES IN THE US SHOW ME PLEASE JUST ONE SUCH INSTITUTION I WILL BE THE FIRST IN LINE TO SIGN UP I AM WRITING ON BEHALF OF THE MORE THAN 13000 MEMBERS OF THE COLLEGE ART ASSOCIATION CAA MISS MUNSON CHOSE TO REFER TO ONLY A SELECTION OF THE VARIED TOPICS THAT MAKE UP THE COLLEGE ART ASSOCIATION ANNUAL CONFERENCE CAA IS A MEMBERSHIP ORGANIZATION AND AS SUCH HAS A RESPONSIBILITY TO PRODUCE A PROGRAM THAT ENCOMPASSES THE BROAD SPECTRUM OF TOPICS THAT INTEREST ITS MEMBERSHIP AS A RESULT THERE ARE SESSIONS FOCUSING ON CURRENT ISSUES SUCH AS THOSE SHE MENTIONS AND THERE ARE AS MANY OR MORE THAT ADDRESS MORE TRADITIONAL SCHOLARLY SUBJECTS SUCH AS THE RENAISSANCE AS A HISTORICAL SUBJECT CONNOISSEURSHIP AND THE IDEA OF QUALITY IN WORKS OF ART THE PUBLIC SPACES OF ITALY 12501600 TOWARD A HISTORICAL ANTHROPOLOGY OF FORMALISM AND ART HISTORY AND THEORY TO NAME JUST A FEW WE ALSO TAKE EXCEPTION TO MISS MUNSON'S REFERENCE TO PAPERS ON RACE AND MUSEUM PRESENTATION' AS BEING PRESENTED BY WHITE SPEAKERS CAA DOES NOT SANCTION GHETTOIZATION OF FEMINIST GAY/LESBIAN OR MULTICULTURAL TOPICS AND THEREFORE DOES NOT RESERVE MULTICULTURAL TOPICS FOR PEOPLE OF COLOR FEMINIST STUDIES FOR WOMEN OR THE TRADITIONAL WESTERN CANON FOR WHITE MEN THE SESSION ON THE POLITICS OF PRESENTATION WAS INDEED FOLLOWED BY A LENGTHY SOMEWHAT HEATED DISCUSSION ABOUT THE NATURE OF THE PANEL WE CONSIDER SUCH DISCUSSION HEALTHY 9304140076 930414 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 BEAR STEARNS COS 200 MILLION OF NOTES DUE APRIL 15 2003 PRICED AS 6 3/4 S AT 99833 TO YIELD 6773 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 09 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE RATED SINGLEA2 BY MOODY'S INVESTORS SERVICE INC AND SINGLEA BY STANDARD & POORS CORP THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY BEAR STEARNS & CO CANADIAN PACIFIC LTD 250 MILLION OF NOTES DUE APRIL 15 2003 PRICED AT PAR TO YIELD 6875 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 092 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE RATED SINGLEA3 BY MOODY'S AND SINGLEAMINUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO COMMONWEALTH EDISON CO 390 MILLION TWOPART ISSUE OF FIRST MORTGAGE BONDS PRICED THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO ACCORDING TO MCM CORPORATEWATCH THE FIRST PART CONSISTING OF 230 MILLION OF BONDS DUE APRIL 15 2000 WAS PRICED AS 6 1/2 S AT 99614 TO YIELD 657 THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 098 PERCENTAGE POINT ABOVE THE TREASURY SEVENYEAR NOTE THE SECOND PART CONSISTING OF 160 MILLION OF BONDS DUE APRIL 15 2023 WAS PRICED AS 8S AT 99327 TO YIELD 806 THE BONDS NONCALLABLE FOR 10 YEARS WERE PRICED AT A SPREAD OF 125 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR NOTE BOTH PARTS ARE RATED BAA2 BY MOODY'S AND TRIPLEB BY S&P HOUSTON LIGHTING & POWER CO 150 MILLION OF COLLATERALIZED MEDIUMTERM NOTES DUE APRIL 21 2003 WON BY CITICORP SECURITIES MARKETS INC THE BONDS WILL BE REOFFERED AS 6 1/2 S AT 99866 TO YIELD 6519 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 06 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE THE ISSUE IS RATED SINGLEA2 BY MOODY'S AND SINGLEA BY S&P HOUSTON LIGHTING & POWER IS A UNIT OF HOUSTON INDUSTRIES INC LOCKHEED CORP 275 MILLION OF MEDIUMTERM NOTES DUE FEB 15 1996 PRICED AS 4 7/8 S AT 99899 TO YIELD 4911 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 075 PERCENTAGE POINT ABOVE THE TREASURY THREEYEAR NOTE RATED BAA1 BY MOODY'S AND SINGLEAMINUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY GOLDMAN SACHS & CO LOUISIANA LAND & EXPLORATION CO 100 MILLION OF DEBENTURES DUE APRIL 15 2013 PRICED AS 7 5/8 S AT 99656 TO YIELD 7659 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 09 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR BOND RATED BAA2 BY MOODY'S AND TRIPLEBPLUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY JP MORGAN SECURITIES INC MERRILL LYNCH & CO 250 MILLION OF NOTES DUE APRIL 27 2008 PRICED AT PAR TO YIELD 7 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 113 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE RATED SINGLEA1 BY MOODY'S AND SINGLEAPLUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO PAYLESS CASHWAYS INC 200 MILLION IN 9 1/8 SENIOR SUBORDINATED NOTES DUE APRIL 15 2003 THE SECURITIES ARE BEING OFFERED AT PAR THE COMPANY SAID THE OFFERING IS PART OF A RECAPITALIZATION PLAN INTENDED TO BE COMPLETED THIS YEAR NET PROCEEDS FROM THE OFFERING WILL BE USED TO RAISE A PORTION OF THE AMOUNT NECESSARY TO REDEEM OR REPURCHASE THE COMPANY'S 16 1/2 JUNIOR SUBORDINATED DISCOUNT DEBENTURES DUE 2008 MANAGING UNDERWRITERS ARE GOLDMAN SACHS & CO MERRILL LYNCH & CO AND PIPER JAFFRAY INC PORTLAND GENERAL ELECTRIC CO 150 MILLION OF FIRST MORTGAGE BONDS DUE APRIL 15 2023 WAS PRICED AS 7 3/4 S AT 99752 TO YIELD 7771 ACCORDING TO MCM CORPORATEWATCH THE ISSUE NONCALLABLE FOR 10 YEARS WAS PRICED AT A SPREAD OF 095 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR NOTE RATED BAA1 BY MOODY'S AND SINGLEAMINUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY GOLDMAN SACHS & CO PORTLAND GENERAL ELECTRIC IS A UNIT OF PORTLAND GENERAL CORP BALTIMORE COUNTY MD 645 MILLION VARIOUS REFUNDING BONDS APPARENTLY WON BY A MERRILL LYNCH & CO GROUP WITH A BID SETTING THE TRUE INTEREST COST AT 508 YIELDS RANGE FROM 32 IN 1995 TO 535 IN 2009 AND 2010 MOODY'S HAS RATED THE BONDS TRIPLEA AND S&P HAS ASSIGNED A DOUBLEAPLUS RATING BRAZOS TEXAS RIVER AUTHORITY 140 MILLION SERIES 1993 AND SERIES 1993A BONDS PRICED BY A GOLDMAN SACHS & CO GROUP THIS OFFERING INCLUDES 90 MILLION SERIES 1993A COLLATERALIZED POLLUTION CONTROL REVENUE BONDS FOR THE TEXAS UTILITIES ELECTRIC CO PROJECT THEY ARE 605S AT 9925 AND ARE TO YIELD 61 ON APRIL 1 2025 THERE ARE ALSO 50 MILLION SERIES 1993 COLLATERALIZED POLLUTION CONTROL REVENUE BONDS FOR THE TEXAS UTILITIES ELECTRIC CO PROJECT THESE BONDS ARE 61S AT 9925 AND ARE TO YIELD 615 ON APRIL 1 2028 AMBAC INDEMNITY CORP IS INSURING THE SERIES 1993A BONDS AND THOSE SECURITIES CARRY TRIPLEA RATINGS FROM MOODY'S AND S&P THE SERIES 1993 BONDS ARE INSURED BY FINANCIAL SECURITY ASSURANCE AND CARRY RIPLEA RATINGS FROM MOODY'S AND S&P HENRICO COUNTY VA 908 MILLION SERIES 1993 PUBLIC IMPROVEMENT REFUNDING GENERAL OBLIGATION BONDS PRICED BY A WHEAT FIRST SECURITIES INC YIELDS RANGE FROM 24 IN 1994 TO 55 IN 2011 THE BONDS ARE RATED TRIPLEA BY BOTH MOODY'S AND S&P KENTUCKY TURNPIKE AUTHORITY 557 MILLION OF SERIES 1993 BONDS OFFERED THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO THIS OFFERING INCLUDES ECONOMIC DEVELOPMENT ROAD REVENUE BONDS AND REVENUE REFUNDING BONDS YIELDS RANGE FROM 35 IN 1995 TO 575 IN 2011 BONDS DUE IN 2012 AND 2013 AREN'T FORMALLY REOFFERED TO INVESTORS WHEN THE ISSUE WAS INITIALLY PRICED MONDAY AFTERNOON YIELDS FOR REOFFERED BONDS RANGED FROM 35 IN 1995 TO 575 IN 2009 AT A REPRICING YESTERDAY YIELDS FOR A NUMBER OF BONDS WERE LOWERED BY FIVE TO 10 BASIS POINTS DUE TO STRONG DEMAND NEW 2011 AND 2012 MATURITIES WERE ALSO ADDED THE BONDS ARE INSURED BY AMBAC INDEMNITY CORP AND CARRY TRIPLEA RATINGS FROM MOODY'S AND S&P SACRAMENTO CALIF MUNICIPAL UTILITY DISTRICT 584 MILLION OF 1993 SERIES D AND SERIES E BONDS PRICED BY A GOLDMAN SACHS & CO GROUP INCLUDED IN THE ISSUE ARE 2904 MILLION 1993 SERIES D ELECTRIC REVENUE REFUNDING BONDS WHICH ARE PRICED TO YIELD FROM 34 IN 1994 TO 57 IN 2020 SERIES D BONDS DUE IN 200103 AND 2009 ARE INSURED BY FINANCIAL SECURITY INSURANCE BONDS DUE IN 2012 ARE INSURED BY THE FINANCIAL GUARANTY INSURANCE CO AND BONDS DUE IN 2020 ARE INSURED BY THE MUNICIPAL BOND INVESTORS ASSURANCE CORP ALL THOSE SECURITIES CARRY TRIPLEA RATINGS FROM MOODY'S AND S&P UNINSURED SERIES D BONDS HAVE BEEN RATED SINGLEA BY MOODY'S AND SINGLEAMINUS BY S&P ALSO INCLUDED IN THE ISSUE ARE 75 MILLION 1993 SERIES E ELECTRIC REVENUE BONDS WHICH HAVE YIELDS THAT RANGE FROM 445 IN 1997 TO 59 IN 2022 ALL OF THE SERIES E BONDS HAVE BEEN RATED SINGLEA BY MOODY'S AND SINGLEAMINUS BY S&P NOT FORMALLY REOFFERED TO INVESTORS ARE 932 MILLION 1993 SERIES D PERIODIC AUCTION RESET SECURITIES OR PARS 932 MILLION 1993 SERIES D INVERSE FLOATING RATE SECURITIES OR INFLOS AND 318 MILLION 1993 SERIES D INDEXED INFLOS BONDS THE PARS AND INFLOS ARE INSURED BY FINANCIAL SECURITY ASSURANCE AND THE MUNICIPAL BOND INVESTORS ASSURANCE THE INDEXED INFLOS ARE INSURED BY FINANCIAL GUARANTY INSURANCE ALL OF THE SECURITIES CARRY TRIPLEA RATINGS FROM MOODY'S AND S&P WAYNE STATE UNIVERSITY 82 MILLION GENERAL REVENUE BONDS TENTATIVELY PRICED BY JOHN NUVEEN & COINC THE 5 1/2 S GENERAL REVENUE BONDS YIELD 575 IN 2018 THE BONDS HAVE A TAXABLE EQUIVALENT YIELD OF 833 THE SERIAL BONDS WERE PRICED TO YIELD FROM 245 IN 1993 TO 5625 IN 2010 THE SERIAL BONDS HAVE TAXABLE EQUIVALENT YIELDS RANGING FROM 355 TO 815 THE 5 1/2 S TERM BONDS DUE IN 2013 YIELD 57 THE BONDS HAVE A TAXABLE EQUIVALENT YIELD OF 826 THE BONDS ARE INSURED BY AMBAC INDEMNITY AND ARE RATED TRIPLEA BY BOTH MOODY'S AND S&P FEDERAL HOME LOAN MORTGAGE CORP 52328 MILLION OF REAL ESTATE MORTGAGE INVESTMENT CONDUIT SECURITIES IS BEING OFFERED BY BEAR STERNS THE OFFERING SERIES 1520 IS BACKED BY THE AGENCY'S 15YEAR 6 1/4 SECURITIES THE WEIGHTED AVERAGE COUPON RATE AND WEIGHTED AVERAGE REMAINING TERM TO MATURITY ARE TO BE ANNOUNCED FEDERAL HOME LOAN MORTGAGE CORP 200 MILLION OF SEVENYEAR CALLABLE DEBENTURES PRICED AS 590S AT 99828 TO YIELD 593 THE DEBENTURES ARE DUE APRIL 21 2000 AND ARE CALLABLE AT PAR ON OR AFTER APRIL 21 1997 INTEREST WILL BE PAID SEMIANNUALLY ON OCT 21 AND APRIL 21 BEGINNING OCT 21 1993 THE DEBENTURES ARE BEING SOLD BY FREDDIE MAC'S 25MEMBER DEBENTURE DEALER GROUP THE DEBENTURES WILL BE AVAILABLE IN BOOKENTRY FORM ONLY THROUGH THE FEDERAL RESERVE BANK SYSTEM IN MINIMUM PRINCIPAL AMOUNTS OF 5000 AND ADDITIONAL INCREMENTS OF 5000 THE FEDERAL RESERVE BANK OF NEW YORK WILL ACT AS FREDDIE MAC'S FISCAL AGENT FOR THE DEBENTURES EDUNETICS LTD INITIAL OF 18 MILLION COMMON SHARES PRICED AT 12 EACH THROUGH UNDERWRITERS LED BY FURMAN SELZ INC SAFETY 1ST INC INITIAL OF TWO MILLION SHARES PRICED AT 12 EACH THROUGH UNDERWRITERS LED BY PRUDENTIAL SECURITIES INC DEUTSCHE BANK FINANCE NV CURACAO GERMAN PARENT 100 MILLION OF 7 1/4 EUROBONDS DUE DEC 18 1998 AT ISSUE PRICE 102 1/8 VIA DEUTSCHE BANK AG LONDON REOFFERED AT 100 1/2 TO YIELD 713 MARGIN 37 BASIS POINTS ABOVE UK TREASURY'S 7 1/4 DUE 1998 GUARANTOR DEUTSCHE BANK AG WILL TRADE INTERCHANGEABLY WITH 200 MILLION IDENTICAL OUTSTANDING BONDS FEES 1 7/8 TOYOTA CREDIT CANADA INC JAPAN PARENT 150 MILLION CANADIAN DOLLARS OF 7 1/8 EUROBONDS DUE JUNE 1 1998 AT ISSUE PRICE 10055 VIA HAMBROS BANK LTD REOFFERED AT 98925 TO YIELD 739 ANNUAL SPREAD 48 BASIS POINTS ABOVE COMPARABLE CANADIAN GOVERNMENT BOND GUARANTOR TOYOTA MOTOR FINANCE NETHERLANDS FEES 1 7/8 CITY OF WINNIPEG CANADA 125 MILLION CANADIAN DOLLARS OF 8 1/2 EUROBONDS DUE MAY 19 2003 AT ISSUE PRICE 101375 VIA WOOD GUNDY INC REOFFERED AT 9975 TO YIELD 854 ANNUAL SPREAD OF 93 BASIS POINTS ABOVE THE 7 1/4 CANADIAN GOVERNMENT BOND DUE 2003 FEES 2 ALCATEL ALSTHOM SA FRANCE 1 BILLION FRENCH FRANCS OF 7 1/4 EUROBONDS DUE MAY 7 1998 AT ISSUE PRICE 10037 VIA SOCIETE GENERALE REOFFERED AT 9907 TO YIELD 748 SPREAD 51 BASIS POINTS ABOVE FRENCH TREASURY'S 9 1/2 NOTE DUE 1998 WILL TRADE INTERCHANGEABLY WITH 2 BILLION FRANCS IDENTICAL OUTSTANDING BONDS FEES 1 5/8 BAYERISCHE LANDESANSTALT FUER AUFBAUFFINANZIERUNG GERMANY 150 BILLION LIRE OF 10 5/8 EUROBONDS DUE MAY 12 2000 AT ISSUE PRICE 10070 VIA BANCA D'AMERICA E D'ITALIA SPA A DEUTSCHE BANK AG UNIT YIELD AT COMANAGERS' BREAKEVEN PRICE 1087 FEES 1 7/8 NISSAN MOTOR CO JAPAN 10 BILLION YEN OF 485 EUROBONDS DUE AUG 25 1998 AT ISSUE PRICE 101 5/8 VIA IBJ INTERNATIONAL LTD REOFFERED AT 10005 TO YIELD 483 FEES 1 7/8 BBA CREDITANSTALTBANVEREIN BRAZIL AUSTRIA PARENT 50 MILLION OF 9 1/2 EUROBONDS DUE OCT 23 1995 REOFFERED AT 994569 VIA ING BANK SAO PAOLO YIELD AT REOFFER 975 SEMIANNUAL MARGIN 570 BASIS POINTS ABOVE COMPARABLE US TREASURY FEES 1 9304140075 930414 BUSINESS BRIEF VERTEX PHARMACEUTICALS INC DRUG DEVELOPMENT TO GET FUNDS FROM JAPANESE FIRM VERTEX PHARMACEUTICALS INC CAMBRIDGE MASS SAID KISSEI PHARMACEUTICAL CO A JAPANESE COMPANY AGREED TO INVEST AS MUCH AS 20 MILLION OVER THREE YEARS IN A COLLABORATIVE VENTURE WITH VERTEX TO DEVELOP DRUGS FOR HIV INFECTION AND AIDS UNDER TERMS OF THE AGREEMENT KISSEI WILL CONTRIBUTE TECHNICAL ASSISTANCE AND PROVIDE FUNDING TO SUPPORT VERTEX'S PROGRAM TO DEVELOP COMPOUNDS THAT TARGET HIV PROTEASE AN ENZYME REQUIRED FOR VIRAL REPLICATION 9304140074 930414 GERMAN UNIFICATION IS STILL ABLE TO CAUSE EXPLOSIVE MOMENTS EAST'S FORMER BORDER GUARDS NOW SEARCH FOR LAND MINES ARE THANKFUL FOR THE WORK BY DANIEL BENJAMIN STAFF REPORTER OF THE WALL STREET JOURNAL HERRNBURG GERMANY REINHARD MUELLER AND HIS COLLEAGUES ARE SEARCHING FOR SOME PIECE OF MINE IF THEY ARE LUCKY IT MAY TAKE YEARS MR MUELLER WAS PAID FOR THREE DECADES BY THE GERMAN DEMOCRATIC REPUBLIC TO KEEP ANYONE FROM SLIPPING INTO THE COUNTRY AND MORE IMPORTANTLY TO PREVENT ANYONE FROM SNEAKING OUT TO HELP HIM DO THAT EAST GERMANY SOWED THE ZONE BORDERING THE CAPITALIST WEST WITH 13 MILLION LAND MINES NOW MR MUELLER IS GLADLY TAKING MONEY FROM THOSE VERY SAME NOTSOEVIL CAPITALISTS TO SEARCH PAINSTAKINGLY FOR THOUSANDS OF MINES THE EAST GERMANS LOST IT SEEMS THAT IN POSTUNIFICATION GERMANY THIS IS ABOUT THE BEST JOB THE VOLUBLE 50YEAROLD FORMER BORDER GUARD CAN GET AND SO MR MUELLER FINDS HIMSELF OUT IN THE RAW PERMADRIZZLE THAT IS NORTHERN GERMANY CLAD IN A BULKY KEVLARLINED SUIT AND A BRIGHT ORANGE HELMET WITH A VISOR HE IS STANDING AS LONG AS TWO HOURS AT A STRETCH 16 INCHES ABOVE THE CHURNEDUP GROUND ON A METAL PLATFORM THAT IS ATTACHED TO A TRACTOR AS THE TRACTOR RUMBLES SLOWLY FORWARD MR MUELLER CAREFULLY SCANS THE DIRT POKING THROUGH CLUMPS WITH A 10FOOT POLE YOU HAVE TO CONCENTRATE TO BE ABLE TO SEE AN EXPLOSIVE THE SIZE OF THIS EXCLAIMS MR MUELLER DRAWING A HAND ACROSS HALF OF HIS PINKY THE THOUGHT IS THAT IF THE TEAM'S TRACTORS DON'T SET OFF ANY MINES AND THE FORMER BORDER GUARDS DON'T SEE ANYTHING IN FOUR PASSES WELL THE LAND IS CLEAR REPETITIOUS THOUGH IT IS A TEAM IN THE CENTRAL STATE OF THURINGIA HOLDS THE RECORD OF 44 TRIPS OVER ONE SINGLE STRIP OF LAND MR MUELLER STILL TAKES SOME PRIDE THAT THE MINEFIELDS ARE TEUTONICALLY PRECISE EACH 25 YARDS BY 197 YARDS HERE AT LEAST THERE WAS A SYSTEM HE ARGUES IN CAMBODIA OR AFGHANISTAN THE MINES ARE ALL OVER THE PLACE NO ORDER THE EAST GERMANS REMOVED MOST OF THE MINES THEMSELVES AS A GESTURE OF FRIENDLINESS BY ERICH HONECKER'S GOVERNMENT DURING A THAW IN THE COLD WAR IN 198485 BUT AFTER UNIFICATION IN 1990 BONN CHECKED THE DOCUMENTS LISTING LOCATION AND NUMBERS OF MINES AGAINST THOSE SHOWING HOW MANY WERE REMOVED AND FOUND 33000 MINES WERE AWOL THE PROSPECT OF THERE BEING LOTS OF MINES IN THE MIDDLE OF GERMANY WAS NOT GREETED LET'S SAY AS A WELCOME ONE ADMITS COL WOLFREINHARD VOGT OF THE GERMAN ARMY EXPERTS NOW SAY THAT THERE IS DANGER ONLY FROM THE 17000 MINES MADE OF PLASTIC AND METAL THAT WERE SPREAD OUT OVER 105 MILES OF THE BORDER THE REST HAD A SOVIET WORLD WAR II DESIGN THAT USED A WOODEN CASING AND THE MILITARY IS CONFIDENT THESE HAVE ALL ROTTED INTO HARMLESSNESS THE LATER MODELS CAN PACK NEARLY HALF A POUND OF DYNAMITE ENOUGH TO BLOW OFF THE BETTER PART OF A LEG A FAIR NUMBER OF THE MINES HAVE BEEN WASHED AWAY BY RAIN OR SET OFF OVER THE YEARS BY WILD BOAR AND DEER THE NOISE OF EXPLODING WILDLIFE IS A WELLKNOWN NEIGHBORHOOD SOUND FOR GERMANS LIVING NEAR THE FORMER BORDER WHEN SWAMPY OR ROCKY AREAS HAVE TO BE CLEARED THE WORK IS DONE ON FOOT THE MEN SET OUT IN TWOS WITH METAL DETECTORS PROBES AND SHOVELS SHUFFLING EVER SO GINGERLY 11 POUNDS OF PRESSURE WILL DETONATE DEVICES THAT WERE PLANTED LESS THAN AN INCH UNDERGROUND FINDING A MINE THEN SAYS TEAM MEMBER TORSTEN ZALUSKE WITH A ROLL OF THE EYES IS A WHOLE OTHER KIND OF FEELING ON A TYPICAL DAY ON FOOT TWO MEN WILL CLEAR 160 SQUARE FEET AN AREA ABOUT AS LARGE AS A BEDROOM THE OPERATION ISN'T MUCH FASTER BY TRACTOR A 15MAN TEAM HAS BEEN WORKING ON A SINGLE FIELD FOR FIVE WEEKS DESPITE NOT HAVING FOUND A SINGLE FRAGMENT THUS THE MINE CLEARING WHICH STARTED IN LATE 1991 WILL DRAG ON AT LEAST UNTIL 1995 AND AS FAR AS MR MUELLER IS CONCERNED THAT IS GREAT I'M HAPPY EVERY DAY THAT I HAVE THIS JOB HIS DELIGHT OWES PARTLY TO THE FACT THAT HE IS A MIDDLEAGE EASTERN GERMAN WITH WORK ITSELF BLOWN AWAY BY WESTERN QUALITY AND PRODUCTIVITY STANDARDS THE EASTERN GERMAN ECONOMY IS SUFFERING FROM EFFECTIVE UNEMPLOYMENT OF MORE THAN 30 WORKERS OVER 40 ARE GIVEN LITTLE CHANCE OF EVER FINDING JOBS AGAIN BECAUSE NO ONE WANTS TO INVEST IN TRAINING THEM MR MUELLER AND HIS HIGHSPIRITED COLLEAGUES HAVE MORE REASON TO CELEBRATE THAN MOST AS FORMER EAST GERMAN BORDER GUARDS MEN WHO WERE THE FRONTLINE TROOPS OF COMMUNISM THEY ARE THE EMBODIMENT OF POLITICAL INCORRECTNESS IN THE UNIFIED GERMANY WHEN WEST GERMAN MILITARY OFFICERS DECIDED AFTER UNIFICATION WHO TO INTEGRATE INTO THE FORCE FROM THE EAST GERMAN ARMY THE BORDER GUARDS WERE AMONG THE FIRST RULED OUT THEY WERE HOWEVER THE NATURAL CHOICE FOR THE MINE CLEARING IT WAS NOT WORK THAT WEST GERMANS COVETED SO AS THE EMPLOYEES OF THE GOVERNMENTRUN RECULTIVATION & UTILIZATION CO TROOPS WHO MANNED THE FORTIFICATIONS OF THE WORKERS' PARADISE HAVE BECOME THE CHEAP LABOR CHARGED WITH CLEANING THEM UP HOW MUCH THEY ARE PAID IS SOMETHING OF A NEW STATE SECRET BUT 90 FORMER BORDER GUARDS HALF OF THE MINECLEARING FORCE WANTED THE JOBS BADLY ENOUGH TO AGREE TO WORK IN THE FORMER BORDER ZONE ALL THAT COUNTS FOR US NOW IS WORK AND MONEY DECLARES ROLF KOENIG THE HERRNBURG GROUP LEADER AND A FORMER OFFICER IN A BORDER GUARD UNIT MR KOENIG WHO TIPTOES AROUND QUESTIONS ABOUT HIS FORMER RANK SAYS HE HAS BEEN TURNED DOWN FOR OTHER LESSDANGEROUS JOBS ANOTHER FORMER BORDER GUARD 49YEAROLD DIETER BEHRENDT IS PROBABLY TOPS WHEN IT COMES TO DEVOTION TO HIS WORK HE THINKS THAT EVEN IF SAFETY STANDARDS WERE FALLING OFF AND SO FAR THE WORK HAS BEEN ACCIDENTFREE HE WOULDN'T COMPLAIN I'D BE AFRAID TO LOSE THE JOB FOR SOME THIS WAS REFRESHER WORK BECAUSE THEY HELPED IN THE LESSSAFE CLEARING OPERATION BACK IN 198485 UNLIKE TANK MINES INFANTRY MINES CANNOT EASILY BE DEACTIVATED THE INFANTRY MINES WHICH THE TEAMS ARE SEARCHING FOR AGAIN MUST BE DETONATED AS HUNDREDS OF THOUSANDS WERE THEN THAT WAS A FIASCO RECALLS MR MUELLER EVERY DAY THERE WAS AN ACCIDENT THIS ONE LOST AN ARM THAT ONE A LEG AWFUL THE MINE CLEARERS AND THEIR SUPERVISORS INSIST QUITE PERSUASIVELY THAT IN THIS LINE OF WORK YOU DON'T CRANK UP THE SPEED THEIR PROGRESS HOWEVER MAKES OFFICIALS IN BONN WHERE IT HAS BEEN NOTED THAT ONLY 31 MILES HAVE BEEN CLEARED IN 18 MONTHS DUBIOUS BUT IT IS UNLIKELY THAT THE GOVERNMENT IS GOING TO SEND OUT A FIRING SQUAD THERE IS SIMPLY NO ONE ELSE TO DO THE WORK NO PRIVATE FIRMS WOULD TAKE THE JOB AND GERMANY DOESN'T WANT TO DEPLOY ITS OWN SOLDIERS TO DO THE WORK THE MINE CLEARERS KNOW THAT EVERY DAY THEY WORK THEY ARE ONE DAY CLOSER TO UNEMPLOYMENT COL VOGT OBSERVES NONETHELESS THE COLONEL IS CONFIDENT THE BORDER ZONE WILL EVENTUALLY BE SAFE ENOUGH THERE IS ALWAYS THE CHANCE THAT YOU'LL FIND A WORLD WAR II 250KILOGRAM BOMB IN HAMBURG I DON'T WANT TO TRIVIALIZE THIS BUT IN A COUNTRY WHERE THERE HAVE BEEN TWO WORLD WARS AND MILLIONS UPON MILLIONS OF TONS OF BOMBS PRODUCED AND DROPPED THIS IS A DANGER WE'VE LEARNED TO LIVE WITH NEXT TO THIS THE DANGER ON THE INNERGERMAN BORDER IS LOW 9304140072 930414 LETTERS TO THE EDITOR REMEMBER CSPAN IS A PRIVATE EYE YOU REPORTED ON THE WHITE HOUSE'S CONCEPT FOR BCTV A SATELLITE CHANNEL THAT WOULD DELIVER DAILY TELEVISED COVERAGE OF PRESIDENT CLINTON AND VICE PRESIDENT GORE TECHIES OF WHITE HOUSE PLUG IN THE PRESIDENT AND WANT TO ATTACH THE CABLE'S OTHER END TO YOU MARCH 10 YOU DREW COMPARISONS WITH CSPAN 1 AND CSPAN 2 CABLE NETWORKS THAT OFFER GAVELTOGAVEL COVERAGE OF THE US HOUSE AND SENATE THERE ARE GREAT DIFFERENCES BETWEEN CSPAN AND THE WHITE HOUSE'S CONCEPT OF AN ALLCLINTON CHANNEL MOST IMPORTANT CSPAN IS STAFFED BY JOURNALISTS WHO EXERCISE EDITORIAL DECISION MAKING OVER THE CONTENT OF THESE TWO PUBLIC AFFAIRS CHANNELS LIVE HOUSE AND SENATE COVERAGE IS ACCOMPANIED DAILY BY EVENTS AND DISCUSSION PROGRAMS THAT ANALYZE THE CONTENT OF IDEAS AND OFFER DISSENTING POINTS OF VIEW AS PROPOSED THE CLINTON/GORE CHANNEL WOULD HAVE NO PROFESSIONAL UNBIASED JOURNALISTIC OVERSIGHT MOREOVER THE TAXPAYERS WOULD FINANCE THIS WHITE HOUSE CHANNEL EITHER THROUGH PUBLIC FUNDS OR TAXPAYERSUBSIDIZED CONTRIBUTIONS TO THE NATIONAL PARTY CSPAN HOWEVER IS A CREATION OF PRIVATE ENTERPRISE ENTIRELY FUNDED BY LOCAL CABLE TELEVISION COMPANIES AS A PUBLIC SERVICE 9304140071 930414 BUSINESS BRIEF PFIZER INC P&G ALLIANCE TO DEVELOP OSTEOPOROSIS DRUG CRUMBLES PFIZER INC SAID IT HAD BEEN UNABLE TO REACH AN AGREEMENT ON COMMERCIAL TERMS WITH PROCTER & GAMBLE CO TO JOINTLY DEVELOP P&G'S OSTEOPOROSIS DRUG A PFIZER SPOKESMAN DECLINED TO BE MORE SPECIFIC AND P&G COULDN'T BE REACHED FOR COMMENT THE COMPANIES IN SEPTEMBER ANNOUNCED THE ALLIANCE WHICH ALSO WOULD HAVE HELPED P&G BOOST ITS HEALTHCARE BUSINESS BY GIVING IT RIGHTS TO MARKET SOME OF PFIZER'S DRUGS THOSE DRUGS INCLUDED PFIZER'S ANTIBIOTIC ZITHROMAX WHICH P&G COPROMOTED AND HYPERTENSIVE DRUGS MINIPRESS MINIPRESS XL AND MINIZIDE IN RETURN PFIZER WOULD HAVE HAD AN ENTREE IN THE POTENTIALLY HUGE MARKET FOR OSTEOPOROSIS A DEGENERATIVE BONE DISEASE THE P&G DRUG RISEDRONATE IS IN CLINICAL TRIALS ACCORDING TO A PFIZER SPOKESMAN 9304140070 930414 HEARD ON THE STREET FOR INTEL TIDE IS ABRUPTLY TURNING AS ANALYSTS QUESTION WHETHER IT CAN RETAIN PROFIT MARGIN BY SUSAN PULLIAM STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK WHEN DOES GOOD NEWS TURN OUT TO BE BAD NEWS FOR A STOCK WHEN IT COMES ON THE HEELS OF TOO MUCH GOOD NEWS AT LEAST THAT WAS THE ANSWER INTEL INVESTORS SEEMED TO GET YESTERDAY AS DOUBTS SURFACED ABOUT THE GROWTH PROSPECTS OF THE HIGHFLYING CHIP MAKER THE STOCK DOVE 4 7/8 TO 112 5/8 VOLUME WAS HEAVY AT 58 MILLION SHARES WHERE WAS THE ENTHUSIASM THAT FOLLOWED INTEL'S MONDAY ANNOUNCEMENT OF SPECTACULAR FIRSTQUARTER RESULTS WITH NET INCOME TRIPLING AMID AN EXPLOSION IN DEMAND FOR ITS FLAGSHIP SEMICONDUCTOR CHIP THE STOCK JUMPED 4 1/2 THAT DAY TO 117 1/2 AT ONE POINT HITTING AN ALLTIME HIGH OF 121 AND A FEW WEEKS AGO BULLISH ANALYSTS WERE TALKING ABOUT THE STOCK HITTING 130 BUT SOME INVESTORS DECIDED THAT MONDAY'S GOOD NEWS WASN'T SO GREAT AFTER ALL SEVERAL ANALYSTS DOWNGRADED THE STOCK SAYING INTEL'S GOOD TIMES WON'T LAST THE ARGUMENT THESE ANALYSTS ARE MAKING NOW IS THAT THE COMPANY CAN'T MAINTAIN ITS FIRSTQUARTER OPERATING PROFIT MARGIN OF 40 ESPECIALLY NOW THAT COMPETITORS INCLUDING ADVANCED MICRO DEVICES ARE SET TO ROLL OUT THEIR EQUIVALENTS OF INTEL'S 486 SEMICONDUCTOR CHIP THINGS HAVE BEEN SO GOOD FOR THE COMPANY IT'S HARD TO BELIEVE THEY CAN STAY THAT WAY SAID DANIEL KLESKEN A COMPUTER ANALYST AT ROBERTSON STEPHENS WHO HAS BEEN BULLISH ON THE COMPANY SINCE 1988 AFTER DELIBERATING INTO THE WEE HOURS MONDAY NIGHT HE SAYS HE DECIDED TO DOWNGRADE THE STOCK TO A HOLD FROM A BUY I LOST A LOT OF SLEEP OVER THIS ONE HE SAYS AN INTEL SPOKESMAN SAID THE COMPANY SENT A POSITIVE MESSAGE TO ANALYSTS FOR SECONDQUARTER REVENUE AFTER THAT IT'S UP TO ANALYSTS TO DRAW THEIR OWN CONCLUSIONS THE SPOKESMAN SAID SOME BIG INVESTORS ARE STILL BULLISH SAYING INVESTORS WILL BENEFIT BY BEING PATIENT ALAN BOND A NEW YORK MONEY MANAGER WHO OVERSEES ABOUT 200 MILLION SAYS HE WAS SNAPPING UP SHARES OF INTEL YESTERDAY HE CONSIDERS THEM A BARGAIN AT THE CURRENT PRICE OF ROUGHLY 11 TIMES THE STREET'S 1993 EARNINGS ESTIMATE OF 10 TO 11 A SHARE UP FROM 495 LAST YEAR THE WIND IS STILL BEHIND THE COMPANY MR BOND SAYS ADDING THAT HE BELIEVES THE COMPANY'S STOCK WILL MOVE TO 130 A SHARE OVER THE NEXT THREE TO SIX MONTHS AND MUCH HIGHER IN THE LONG RUN A BULL ALSO CAN BE FOUND AT PUTNAM COS IN BOSTON A MAJOR SHAREHOLDER CLEARLY EARNINGS ARE GOING TO HAVE TO SLOW DOWN SAYS CHRIS AINLEY A TECHNOLOGY ANALYST FOR THE FIRM BUT THEY HAVE A DOMINANT MARKET POSITION AND THEY OUTINNOVATE THE REST OF THE INDUSTRY THIS YEAR MR KLESKEN SAYS HE EXPECTS REVENUE TO SURGE TO 86 BILLION BUT HE EXPECTS THE COMPANY'S PROFIT TO COME UNDER PRESSURE AS COMPETITION FROM ADVANCED MICRO AND OTHERS CAUSE THE COMPANY TO CUT PRICES ON ITS 486 CHIP ADVANCED MICRO IS POISED TO RELEASE ITS VERSION OF THE 486 THIS SUMMER EVERY DOLLAR THEY DROP IN PRICING SUBTRACTS FROM THEIR EARNINGS SAID ELI SAYEGH A COMPUTER ANALYST WITH HANCOCK INSTITUTIONAL EQUITY SERVICES HE CHANGED HIS RATING ON THE STOCK TO SELL FROM HOLD BASED ON HIS THEORY THAT A DROP IN OPERATING MARGINS BEGINNING IN THE THIRD QUARTER WILL DRIVE THE STOCK DOWN TO AROUND 80 IN THE NEXT SIX TO NINE MONTHS WHAT IS MORE HE SAYS THE COMPANY'S PLAN TO MAKE UP FOR BUSINESS LOST TO ADVANCED MICRO ON THE 486 BY SWITCHING CUSTOMERS TO ITS NEW FASTER CHIP PENTIUM WILL TAKE LONGER THAN EXPECTED IT ISN'T JUST COMPETITION THAT IS SPOOKING INVESTORS DREW PECK ANALYST WITH DONALDSON LUFKIN & JENRETTE SAYS INVESTORS ARE SKITTISH IN GENERAL ABOUT THE PERSONAL COMPUTER BUSINESS WHICH IS AT THE TOP OF A HIGHGROWTH PERIOD HE ADDS FEAR IS BEGINNING TO DOMINATE GREED AT THE SLIGHTEST SIGN OF TROUBLE THERE IS A SELLOFF HE ADVISED CLIENTS OF DLJ TO SELL INTEL ON MONDAY DURING ITS RISE TO 121 IN THE LONG RUN THEIR GROWTH RATE ISN'T SUSTAINABLE HE SAYS THE TREND IS TO LOWER AND LOWER PRICES BEARS TIPTOE BACK PROFESSIONAL SHORT SELLERS INVESTORS WHO BET ON SELECTED STOCKS TO GO DOWN EKED OUT A 3 GAIN IN THE FIRST QUARTER SO SAYS THE ROCKBRIDGE SHORT SELLERS INDEX WHICH MEASURES THE AVERAGE PERFORMANCE OF 20 LEADING SHORTSELLING FIRMS THE INDEX IS COMPILED BY MICHAEL R LONG GENERAL PARTNER OF ROCKBRIDGE PARTNERS IN CHARLOTTE NC WHICH INVESTS EXCLUSIVELY WITH SHORTSELLING MANAGERS THE QUARTER'S GAIN IS A REBOUND FROM A 1992 FOURTH QUARTER WHEN THE SHORTS INCURRED A 161 LOSS FOR ALL 1992 THEY WERE DOWN 37 IN 1991 THEY GOT CLOBBERED AND WERE DOWN 314 DESPITE SUCH WOES THE SHORTS STILL BOAST A COMPOUND AVERAGE ANNUAL RETURN OF 189 FOR THE SIX YEARS THROUGH MARCH MR LONG SAYS SOME OF SHORTS' SMART BETS IN THE LATEST QUARTER WERE AGAINST BIOTECHNOLOGY AND MEDICALDEVICE STOCKS BUT MANAGERS WHO SOLD SHORT INSURANCE AND SAVINGANDLOAN STOCKS GOT HURT IN MANY CASES FOR THE QUARTER AN INVESTOR WOULD HAVE DONE BETTER BY SIMPLY HOLDING A DIVERSE BASKET OF BIGCOMPANY STOCKS THE STANDARD & POOR'S 500 STOCK INDEX WAS UP 44 FOR THE QUARTER WITH DIVIDENDS 9304140069 930414 BUSINESS BRIEF EZ SERVE CORP FIRM TO RESTRUCTURE DEBT INCREASE SHARES OF COMMON EZ SERVE CORP SAID IT SIGNED A PRELIMINARY AGREEMENT TO RESTRUCTURE ITS LONGTERM DEBT AND MORE THAN DOUBLE ITS COMMON SHARES OUTSTANDING THE PACT NEGOTIATED BETWEEN CERTAIN LENDERS AND THE COMPANY WILL SETTLE A 281 MILLION DEBT FOR 13 MILLION CASH AND A 1 MILLION PROMISSORY NOTE EZ SERVE WILL OBTAIN THE CASH BY ISSUING NEW EQUITY TO THREE MAJOR SHAREHOLDERS WHO WILL BUY CONVERTIBLE PREFERRED STOCK AND THEN CONVERT IT TO ABOUT 40 MILLION COMMON SHARES IF THE RESTRUCTURING IS COMPLETED EZ SERVE WILL HAVE REDUCED ITS LONGTERM DEBT TO 27 MILLION FROM ABOUT 51 MILLION ALSO THE NUMBER OF COMMON SHARES OUTSTANDING WILL RISE TO 67 MILLION FROM 27 MILLION EZ SERVE A HOUSTON DISTRIBUTOR OF MOTOR FUELS THROUGH CONVENIENCE STORES AND OTHER RETAIL OUTLETS SAID IT WAS TECHNICALLY IN DEFAULT ON CERTAIN INTEREST PAYMENTS SINCE MARCH 31 AND HAD VIOLATED DEBT CONVENANTS AS WELL BUT GIVEN THE PROPOSED RESTRUCTURING AGREEMENT THAT LENDER HAS AGREED NOT TO ACCELERATE REPAYMENT OF THAT DEBT OR TAKE OTHER ACTIONS 9304140068 930414 THE NANNY TRAP DARK SIDE OF CHILD CARE IS HOW POORLY WORKERS ARE SOMETIMES TREATED THEY TELL OF ABUSES RANGING FROM 7DAY WORKWEEKS TO SEXUAL HARASSMENT I WAS LIKE A SLAVE' SAYS ONE BY JOANNE LIPMAN STAFF REPORTER OF THE WALL STREET JOURNAL DAVID W HUBBARD A TOP MEAD PACKAGING EXECUTIVE IN ATLANTA BOASTED ALL THE TRAPPINGS OF PROSPERITY THERE WAS THE HANDSOME BRICK HOUSE IN SUBURBAN MARIETTA THE LUXURY CAR THE WIFE WHO COULD AFFORD NOT TO WORK AND THEN THERE WAS THAT QUINTESSENTIAL BADGE OF BABYBOOMER AFFLUENCE THE NANNY NOT JUST ANY NANNY EITHER HIS WAS A COLLEGEEDUCATED MIDWESTERNER WHO HAD TRAINED AT A NANNY SCHOOL AND WHO DOTED ON HIS SON AND TODDLER TWIN DAUGHTERS THE HUBBARDS COULD WELL AFFORD THEIR COMFORTABLE LIFESTYLE HEADHUNTERS ESTIMATE MR HUBBARD'S COMPENSATION AT WELL OVER 150000 A YEAR FOR A SENIOR POST AT THE MEAD CORP UNIT AND HIS NANNY'S COMPENSATION ROOM BOARD AND FIFTY DOLLARS A WEEK THEIR CATS WERE TREATED BETTER THAN I WAS SAYS THE 24YEAROLD NANNY JANE RHODES WHO FINALLY LEFT LAST JUNE AFTER TWO YEARS OF SEVENDAY WEEKS AND 12HOURPLUS DAYS I WAS SO UNHAPPY AS MS RHODES FOUND OUT THERE IS A DIRTY LITTLE SECRET IN MIDDLE AND UPPERMIDDLECLASS AMERICA NANNIES ARE AMONG THE MOST EXPLOITED WORKERS IN THE COUNTRY THERE ARE ALMOST NO LEGAL PROTECTIONS FOR THIS RELATIVELY NEW MOSTLY FEMALE CLASS OF WORKERS THAT IS MORE THAN 350000 STRONG NOR ARE THERE EVEN SOCIAL PRESSURES TO KEEP EMPLOYERS FROM SUBJECTING NANNIES TO ABUSES FROM LOW WAGES AND LONG WORKWEEKS TO SEXUAL HARASSMENT AND PHYSICAL VIOLENCE IN CANDID MOMENTS SOME EMPLOYERS ADMIT THAT THEY TAKE ADVANTAGE SIMPLY BECAUSE THEY CAN RICHARD GUSSOFF A RETAIL SALES MANAGER IN SUFFERN NY SAYS HE WENT THROUGH SIX FOREIGN NANNIES IN LESS THAN FOUR YEARS PAYING THEM AS LITTLE AS 18 A DAY THESE PEOPLE AREN'T GOING TO BE WITH YOU LONGER THAN SIX MONTHS USUALLY HE FIGURES SO YOU SAY TO YOURSELF WELL I CAN GET AWAY WITH THIS' THAT'S THE ATTITUDE MAYBE WE ALL TAKE EASILY INTIMIDATED BY THEIR EDUCATED AFFLUENT EMPLOYERS NANNIES RARELY FIGHT BACK ONE CALIFORNIA NANNY SAYS SHE WAS KEPT AS A VIRTUAL SLAVE FOR MORE THAN A YEAR ON LONG ISLAND NY AN IRISH NANNY STAYED WITH A FAMILY THAT SHE SAYS RARELY PAID HER AND SUBJECTED HER TO SEXUAL ADVANCES FEARING THAT SHE WOULD BE TURNED OUT ON THE STREET IF SHE COMPLAINED KIMBERLY SCOTHORN WHO RUNS NANNIES OF GEORGIA A PLACEMENT AGENCY ESTIMATES THAT FULLY 20 OF THE NANNIES WHO CONTACT HER HAVE BEEN SEXUALLY HARASSED ON THE JOB PLENTY OF NANNIES OF COURSE ARE TREATED FAIRLY AND FOR UNSKILLED WORKERS IN PARTICULAR CHILD CARE IS OFTEN THE BEST JOB AVAILABLE BUT THE FLIP SIDE OF THEIR STORY IS RARELY TOLD EVEN LIBERALMINDED PROFESSIONALS WHO INSIST THEY TREAT THEIR NANNIES LIKE FAMILY AND PAY SOCIAL SECURITY AND UNEMPLOYMENT TAXES MAY UNWITTINGLY FALL SHORT NO MATTER HOW WELLMEANING THEY OFTEN ASSUME THE NANNY CAN WORK LATE AT A MOMENT'S NOTICE POSTPONE VACATION PLANS FORGO SICK DAYS AND IF THE NANNY LIVES IN WATCH THE KIDS GRATIS ON WEEKENDS FEDERAL LAW REQUIRES NANNIES TO BE PAID MINIMUM WAGE 425 AN HOUR AND ALLOWS EMPLOYERS TO DEDUCT A MINIMAL AMOUNT FOR ROOM AND BOARD IN NEW YORK JUST 615 A DAY BUT ON AVERAGE INHOME CARETAKERS FOR CHILDREN UNDER THE AGE OF FIVE EARN JUST 230 AN HOUR ACCORDING TO A 1990 STUDY BY THE URBAN INSTITUTE A WASHINGTON THINK TANK THOSE PAID THE NATIONWIDE AVERAGE OF 200 TO 250 A WEEK AND WHO WORK 60HOURPLUS WEEKS CAN DO BETTER FLIPPING BURGERS AT MCDONALD'S THE NANNY JUST GRADUALLY GETS PULLED INTO A LONGER WORKING DAY SAYS WANDA DRAPER A PROFESSOR AT THE UNIVERSITY OF OKLAHOMA COLLEGE OF MEDICINE IN OKLAHOMA CITY WHO HAS JUST WRITTEN A BOOK ON NANNIES PRETTY SOON SHE DOESN'T KNOW HOW TO GET OUT OF IT SO SHE TAKES THE ABUSE EVEN THOUGH IT IS PROBABLY NOT MEANT TO BE ABUSE MANHATTAN NANNY EILEEN BLAKE A BRITON WHO DOESN'T LIVE IN CAREFULLY KEPT TRACK OF HER OVERTIME HOURS IN HER FILOFAX WHEN SHE ACCOMPANIED A FORMER EMPLOYER ON A SIXWEEK BUSINESS TRIP TO SANTA FE NM YET WHEN SHE ASKED FOR THE ALMOST 800 SHE CALCULATED WAS DUE SHE SAYS HER EMPLOYER BALKED ULTIMATELY PAYING HER LESS THAN HALF THAT MS BLAKE PROTESTED SHE SAYS BUT SUCCEEDED ONLY IN OFFENDING HER BOSS SHE WAS VERY VERY MAD AT ME AND ASKED WHY WAS I DOING THIS JOB IF IT WAS JUST FOR MONEY MS BLAKE RECALLS HER BOSS DIDN'T UNDERSTAND SHE SAYS THAT IT IS A JOB THAT'S WHAT I'M HERE FOR TO EARN MONEY HER FORMER BOSS MAUREEN ST ONGE WHO WORKS FOR THE ARTIST HELEN FRANKENTHALER SAYS SOME ELEMENTS OF MS BLAKE'S STORY ARE WRONG BUT DECLINES TO COMMENT FURTHER THERE'S NOBODY THERE ON OUR SIDE SAYS A FRUSTRATED MS BLAKE THE ONLY THING YOU CAN DO IS REPORT THEM TO LABOR OFFICIALS BUT THEN YOU'D BE OUT OF A JOB IT'S A NOWIN SITUATION NANNIES INTERVIEWED ALMOST UNANIMOUSLY HAD THIS MESSAGE FOR THEIR EMPLOYERS BEING TREATED LIKE FAMILY MEMBERS IS NO SUBSTITUTE FOR CASH BUT TRY TELLING THAT TO THEIR BOSSES MR HUBBARD THE MEAD EXECUTIVE INSISTS THAT MS RHODES WASN'T A NANNY AT ALL BUT A YOUNG LADY WHO SIMPLY WANTED TO LIVE WITH HIS FAMILY BECAUSE SHE WAS GRATEFUL FOR US EXTENDING OUR FAMILY AND HOUSE HE SUGGESTS SHE WOULD HELP OUT SHE WAS EXPECTED TO PITCH IN JUST LIKE ANY MEMBER OF THE FAMILY MR HUBBARD WON'T COMMENT ON THE 50 WEEKLY PAY FIGURE SAYING ONLY THAT HE GAVE MS RHODES SPENDING MONEY JUST AS IF SHE WERE A TEENAGE DAUGHTER AND PROVIDED ROOM AND BOARD MRS HUBBARD HOWEVER CONFIRMED THAT MS RHODES HAD BEEN THEIR NANNY AT A SALARY OF 50 A WEEK TO AN INDIANA NANNY AGENCY THAT CALLED FOR A REFERENCE IN FEBRUARY WHEN AN OFFICE OR FACTORY WORKER IS UNHAPPY AT WORK SHE CAN USUALLY QUIT AND MOVE ON IT CAN BE HARDER FOR NANNIES TO WASH THEIR HANDS OF A JOB MS RHODES WHO SAYS SHE WAS ALMOST NEVER OFFDUTY SAYS SHE ENDURED HER GRUELING JOB LARGELY BECAUSE SHE WAS SO ATTACHED TO THE CHILDREN SHE RECALLS SOBBING AS SHE PACKED HER BAGS LAST SUMMER THE FOURYEAROLD TWINS SHE SAYS MADE SAD PILGRIMAGES TO HER BEDROOM WITH MEMENTOS INCLUDING A SCRAP OF PAPER WITH A SCRAWLED NAME AND PHONE NUMBER ON IT THAT TO THIS DAY SHE CARRIES WITH HER IT BROKE MY HEART SHE SAYS SOME MIDDLECLASS PARENTS WHOSE ONLY ACQUAINTANCE WITH DOMESTIC HELP SOMETIMES SEEMS TO COME FROM WATCHING DYNASTY RERUNS HAVE NO CLUE AS TO WHAT IS FAIR AND WHAT ISN'T NANNY PLACEMENT PROFESSIONALS SAY ADD TO THAT THE STRESS OF TWOCAREER COUPLES OR SINGLEPARENT FAMILIES AND THE RESULT CAN BE EXPLOSIVE MELISSA HARKERT WAS SO AFRAID OF HER FORMER EMPLOYERS A TWOCAREER MILITARY COUPLE IN SAN FRANCISCO THAT SHE RAN AWAY IN THE MIDDLE OF THE NIGHT THE NANNY AN ILLINOIS NATIVE SAYS THE MOTHER BARKED ORDERS AT HER SOMETIMES WORKING HER FROM 530 AM UNTIL 11 PM PLUS WEEKENDS I COULDN'T TAKE THAT KIND OF ABUSE NO ONE SHOULD HAVE TO SHE SAYS HER FORMER EMPLOYER CINDY COTTONE NOW A CIVILIAN IN FAYETTEVILLE ARK SOUNDS JUST AS EXASPERATED I HAD A NEWBORN AND AN 18MONTHOLD I WAS OVERWHELMED SAYS MS COTTONE WHOSE HUSBAND WAS DEPLOYED OVERSEAS AT THE TIME SHE ADMITS SHE COULD BE A HARSH BOSS BUT CONTENDS MS HARKERT DIDN'T WORK THAT MANY HOURS AND SAYS I NEEDED HELP I HAD NO TIME FOR NONSENSE EMPLOYERS TOO OFTEN SEEM TO FEEL THAT NANNIES AREN'T ENTITLED TO LIVES OF THEIR OWN ANNA MARS LEFT HER NATIVE ENGLAND TO BECOME A NANNY FOR THE GUSSOFF FAMILY IN THE LATE 1980S AND SAYS SHE FOUND HERSELF WORKING MORE THAN 12 HOURS A DAY HANDLING CHILD CARE AND FULL HOUSEKEEPING FOR ROOM BOARD AND 18 A DAY WITH NO TRANSPORTATION SHE SAYS SHE FELT LIKE A PRISONER IN THE COUPLE'S TWOBEDROOM CONDOMINIUM IN THE SLEEPY TOWN OF SUFFERN NY MR GUSSOFF COUNTERS THAT 90 A WEEK WAS THE GOING RATE IN HIS CIRCLE HIS WIFE ZOE A BLOOMINGDALE'S EMPLOYEE ADDS FOR GOOD MEASURE THAT MS MARS SEEMED FAR TOO INTERESTED IN SHOPPING AND PARTYING SHE RECALLS TELLING THE NANNY I DIDN'T HIRE YOU TO COME OVER HERE TO HAVE A LIFE THESE DAYS MS MARS IS A WAITRESS THE MOST GLAMOROUS NANNY JOBS CARING FOR THE CHILDREN OF THE RICH AND FAMOUS AREN'T NECESSARILY BETTER SOME FAMOUS PEOPLE ARE CONSIDERED SO DIFFICULT THAT SOME AGENCIES WON'T SERVE THEM ONE MANHATTAN AGENCY HAS AN UNOFFICIAL LIST OF SUCH PEOPLE IT INCLUDES PETER KALIKOW THE EMBATTLED REALESTATE DEVELOPER AND FORMER PUBLISHER OF THE NEW YORK POST AND HIS WIFE MARY BY SOME ACCOUNTS THE COUPLE HAVE GONE THROUGH AS MANY AS THREE NANNIES A YEAR FOR THEIR TWO CHILDREN AGES SEVEN AND 13 A FAMILY SPOKESMAN CONCEDES THAT MRS KALIKOW CAN BE RIGID BUT SAYS THE KALIKOWS ARE NO DIFFERENT FROM OTHER FAMOUS FAMILIES NANNIES WHO TRY TO COMPLAIN ABOUT HARSH WORKING CONDITIONS WILL FIND THEY HAVE FEW RIGHTS MOST STATES DON'T LIMIT THE NUMBER OF CONSECUTIVE HOURS OR DAYS A NANNY CAN WORK HEALTH INSURANCE PAID SICK LEAVE AND OTHER ROUTINE BENEFITS ARE ALMOST NONEXISTENT SO ARE SOCIAL SECURITY PAYMENTS AND WORKERS' COMPENSATION FOR THE MANY NANNIES PAID OFF THE BOOKS MORE INSIDIOUSLY SEXUAL HARASSMENT IS NOT UNCOMMONAND USUALLY NOT BARRED BY LAW THE NEW YORK STATE HUMAN RIGHTS LAW PROHIBITING BOTH SEXUAL HARASSMENT AND DISCRIMINATION SPECIFICALLY EXCLUDES DOMESTIC WORKERS FEDERAL ANTIDISCRIMINATION LAWS APPLY ONLY TO WORKPLACES OF 15 OR MORE SOME NANNIES HAVE TURNED THEIR BOSSES IN ON SEX CHARGES WITH VARYING DEGREES OF SUCCESS ON THE NIGHT OF JULY 6 1991 IN MALDEN MASS REBECCA MCCLOUD AN 18YEAROLD FRESH FROM UTAH WAS HORRIFIED TO FIND A HIDDEN VIDEO CAMERA POINTING AT HER IN THE SHOWER MS MCCLOUD WENT TO THE POLICE AND FILED A COMPLAINT AGAINST HER BOSS WHO HAPPENED TO BE AN EIGHTTERM DEMOCRATIC REPRESENTATIVE JOHN C MCNEIL HER ACCUSATIONS HELPED SPARK AN INVESTIGATION OF MR MCNEIL WHO IN NOVEMBER WAS INDICTED FOR ALLEGEDLY VIDEOTAPING ANOTHER FORMER NANNY ENGAGED IN SEXUAL ACTS WITH MR MCNEIL'S TEENAGE GODSON THE LEGISLATOR WHO DIDN'T SEEK REELECTION WHEN HIS TERM EXPIRED IN JANUARY COULDN'T BE REACHED HIS ATTORNEY SAYS MR MCNEIL HASN'T YET ENTERED A PLEA AND DECLINES FURTHER COMMENT ACROSS THE COUNTRY IN CALIFORNIA A 28YEAROLD MEXICAN NANNY WON A PATERNITY SUIT AGAINST HER FORMER EMPLOYER SANTA ANA PHYSICIAN RON LAPIN NEITHER THE NANNY ALMA MUJICA NOR DR LAPIN COULD BE REACHED FOR COMMENT DR LAPIN'S ATTORNEY IN SANTA ANA P LEE JOHNSON SHRUGS OFF THE SUIT AT THE TIME MS MUJICA WAS A FAIRLY ATTRACTIVE YOUNG WOMAN HE SAYS SO THIS ISN'T SURPRISING HUMAN NATURE BEING WHAT IT IS ABUSES CAN BE SO GREAT CHILDCARE PROFESSIONALS SAY BECAUSE THE NANNIES THEMSELVES ARE SO VULNERABLE IT IS ALMOST TOO EASY TO FIND A YOUNG NAIVE NANNY WILLING TO WORK FOR LOW WAGES WITHOUT QUESTIONING HER DUTIES PARENTS CAN HIRE ONE OF THE 10000 OR SO WESTERN EUROPEAN AU PAIRS BROUGHT TO THE US EACH YEAR FOR SOCALLED CULTURAL EXCHANGE PROGRAMS WHICH TYPICALLY PAY JUST 100 A WEEK PLUS ROOM AND BOARD THEY CAN PAY EVEN LESS IF THEY HIRE ILLEGAL IMMIGRANTS WHO RISK DEPORTATION OR HOMELESSNESS IF THEY COMPLAIN AT LEAST 10 OF THE NATION'S TWO TO THREE MILLION ILLEGAL IMMIGRANTS WORK IN CHILD CARE ESTIMATES LYDIO TOMASI DIRECTOR FOR THE CENTER FOR MIGRATION STUDIES IN NEW YORK'S STATEN ISLAND EMPLOYERS CAN REALLY TAKE ADVANTAGE IF THEY SPONSOR AN ILLEGAL IMMIGRANT FOR PERMANENT RESIDENCY CURRENTLY THE WAITING PERIOD FOR GREEN CARDS FOR NANNIES CONSIDERED UNSKILLED WORKERS BY THE IMMIGRATION AND NATURALIZATION SERVICE STANDS AT MORE THAN FIVE YEARS AND IS GROWING SAYS MARK N FISH A MANHATTAN IMMIGRATION LAWYER IF THE NANNY LEAVES HER JOB SHE LOSES HER PLACE IN LINE THEY'RE STUCK LIKE INDENTURED SERVANTS MR FISH SAYS BREAKFAST IN BED UNDOCUMENTED WORKERS LIKE THE PERUVIAN COUPLE THAT DERAILED ZOE BAIRD'S ATTORNEY GENERAL NOMINATION ARE PARTICULARLY EASY TARGETS CLAUDIA GARATE WHO WAS RAISED IN CHILE'S IMPOVERISHED ANDEAN FOOTHILLS WORKED SEVEN DAYS A WEEK FOR INSURANCECOMPANY EMPLOYEE CARLOS KOCK HIS WIFE ISABEL AND THEIR NEWBORN SON MS GARATE COOKED CLEANED DID THE LAUNDRY AND EVEN DONNED HER CRISP PINK UNIFORM TO SERVE MRS KOCK BREAKFAST IN BED EACH MORNING THE NANNY HERSELF ATE STANDING UP IN THE TINY KITCHEN OF THE KOCKS' TWOBEDROOM CONDOMINIUM IN ROHNERT PARK CALIF AT NIGHT SHE SLEPT ON THE FLOOR ONCE WHEN MR KOCK WASN'T HAPPY WITH THE WAY SHE CLEANED A BATHROOM HE STRUCK HER IN THE FACE SHE LATER TESTIFIED IN A SUIT IN SONOMA COUNTY CALIF MUNICIPAL COURT SHE COULDN'T LEAVE SHE DIDN'T SPEAK ENGLISH AND THE KOCKS TOOK HER IDENTIFICATION PAPERS ACCORDING TO HER TESTIMONY FOR THAT SHE RECEIVED EXACTLY 100 FOR 13 MONTHS' WORK I WAS LIKE A SLAVE SHE SAYS THE COURT FOUND IN MS GARATE'S FAVOR AND IN 1991 AWARDED HER MORE THAN 26000 IN BACK PAY AND OTHER EXPENSES THE KOCKS DECLINE TO COMMENT YET MS GARATE'S VICTORY WAS FLEETING AND CAME AT A HEAVY PRICE ACCORDING TO HER LAWYER THE KOCKS THREATENED BANKRUPTCY FORCING MS GARATE TO SETTLE FOR JUST 2000 AND IN A FINAL ACT OF DEFIANCE TURNED OVER HER IDENTIFICATION PAPERS TO IMMIGRATION OFFICIALS NOW A SAN FRANCISCO IMMIGRATION JUDGE HAS ORDERED MS GARATE TO LEAVE THE COUNTRY BY OCTOBER OR FACE DEPORTATION 9304140067 930414 MARKETING BRIEF ANHEUSER BUSCH COS BREWER AGREES TO SPONSOR 1996 OLYMPICS IN ATLANTA ANHEUSERBUSCH COS SAID IT AGREED TO BECOME A SPONSOR OF THE 1996 OLYMPIC GAMES IN ATLANTA GIVING THE CITY'S OLYMPIC ORGANIZERS A SIGNIFICANT BOOST IN THEIR FUNDRAISING EFFORTS WHILE THE ST LOUIS BREWER AND FOOD COMPANY DIDN'T DISCLOSE DETAILS OF THE AGREEMENT THE ATLANTA COMMITTEE FOR THE OLYMPIC GAMES HAS SET AN ASKING PRICE OF 40 MILLION FOR ITS MAJOR CORPORATE SPONSORS IN ADDITION TO THE SUMMER ATLANTA GAMES THE PACT GIVES ANHEUSERBUSCH AND ITS SUBSIDIARIES SPONSORSHIP RIGHTS TO NEXT YEAR'S WINTER OLYMPICS IN LILLEHAMMER NORWAY AND TO THE US OLYMPIC TEAMS IN LILLEHAMMER AND ATLANTA ANHEUSERBUSCH IS THE FIFTH MAJOR COMPANY TO AGREE TO SPONSOR THE ATLANTA GAMES LAST YEAR THE CITY'S ORGANIZING COMMITTEE SIGNED UP NATIONSBANK CORP HOME DEPOT INC SARA LEE CORP AND INTERNATIONAL BUSINESS MACHINES CORP ATLANTA'S OLYMPIC OFFICIALS HAVE SET A GOAL OF SIGNING A TOTAL OF 10 TO 12 MAJOR SPONSORS FOR THE GAMES WHICH WILL HAVE TOTAL ESTIMATED REVENUE OF 159 BILLION 9304140066 930414 ENTERPRISE RTC BOWS TO SMALL INVESTORS' DESIRES FOR THRIFT ASSETS ONE AUCTION TO FEATURE 150 LOTS IN 26 STATES WITH TOTAL VALUE OF 70 MILLION BY ALBERT R KARR STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON SMALL COMPANIES AND SMALL INVESTOR GROUPS WILL GET A BETTER CRACK AT BUYING THE ASSETS OF FAILED THRIFTS FROM THE FEDERAL GOVERNMENT BOWING TO PRESSURE FROM SMALL CONCERNS AND THEIR CONGRESSIONAL ALLIES THE RESOLUTION TRUST CORP IS MOVING TO OPEN UP ITS SALE OF SUCH ASSETS MORE TO SMALLER INVESTORS ROGER ALTMAN THE DEPUTY TREASURY SECRETARY WHO WAS ALSO NAMED BY THE CLINTON ADMINISTRATION AS TEMPORARY RTC CHIEF SAID THE GOVERNMENT'S SAVINGSANDLOAN CLEANUP AGENCY WILL PUT CONSIDERABLY MORE EMPHASIS ON SELLING REAL ESTATE BAD LOANS AND OTHER S&L ASSETS TO SMALL PURCHASERS THIS WILL MAINLY INVOLVE SMALL COMPANIES OR GROUPS OF INDIVIDUAL INVESTORS THE RTC SAID FOR EXAMPLE THE AGENCY SAID IT WILL CONDUCT A SEALEDBID AUCTION OF ABOUT 150 PROPERTIES WITH A COMBINED APPRAISED VALUE OF 70 MILLION IN 26 STATES IN MAY AND JUNE UNDER ITS NEW SMALL INVESTOR PROGRAM OR SIP THIS WILL CONTRAST WITH WHAT SOME HAVE JOKINGLY CALLED A PREVIOUS GIGANTIC UNIT LEVERAGE PROGRAM OR GULP INDEED SINCE THE RTC WAS FORMED IN 1989 IT HAS EMPHASIZED PACKAGES OF 500 MILLION OR SO TO ATTRACT LARGE WALL STREET INVESTMENT COMPANIES BEGINNING AT 5000 BUT THE COMING AUCTION WILL INSTEAD FOCUS MORE ON SELLING PARCELS OF LAND AND REAL ESTATE RANGING IN PRICE FROM 5000 TO 5 MILLION THE AIM IS TO STRUCTURE MANY OFFERINGS SO THE INVESTOR WITH 1 MILLION OR LESS TO SPEND CAN COMPETE MR ALTMAN SAID THE SMALL INVESTOR WANTS MORE OPPORTUNITIES TO COMPETE TO PURCHASE RTC ASSETS THIS IS A DESIRE RTC INTENDS TO SATISFY HE SAID MANY OF THE PROPERTIES SLATED FOR AUCTION ARE UNFINISHED LOTS OR ONES WITH A SINGLE BUILDING WHICH BUILDERS COULD WELL SNAP UP OFFICIALS SAID I WOULD EXPECT THERE ARE GOING TO BE SOME BUILDERS AND DEVELOPERS IN HERE SAID STEVE KATSANOS AN RTC SPOKESMAN THE RTC WAS CREATED TO CLOSE INSOLVENT THRIFTS PAY OFF THEIR DEPOSITORS AND SELL THEIR ASSETS SINCE 1989 IT HAS TAKEN OVER 739 SAVINGSANDLOAN ASSOCIATIONS AND IS STILL RUNNING 85 OF THEM IT HAS SOLD ASSETS WITH A BOOK VALUE OF 311 BILLION AND OWNS ANOTHER 101 BILLION IN THRIFT PROPERTY WHILE THE RTC HAS CONDUCTED INDIVIDUALPROPERTY AUCTIONS BEFORE THE NEW ONE WILL BE CONSIDERABLY LARGER AND WILL BE THE FIRST OF NEARLY NATIONAL SCOPE SAID EVAN GLADSTONE A PARTNER IN NATIONAL REAL ESTATE CLEARINGHOUSE A CHICAGOBASED FIRM THAT ARRANGES SALES OF RTC AND PRIVATELY OWNED ASSETS HUNDREDS OF SMALL COMPANIES WILL BID ON THE 150 PROPERTIES HE PREDICTED UNTIL NOW THE RTC'S CONCENTRATION ON LARGE PORTFOLIO SALES TENDED TO FREEZE OUT THE LOCAL BUYER MR GLADSTONE SAID THOSE BUYERS HAVEN'T SUFFERED IN SILENCE I'VE BEEN APPROACHED BY TOO MANY PEOPLE WHO'VE TOLD ME TOO MANY STORIES ABOUT HOW SMALL INVESTORS WOULD HAVE PAID MORE FOR S&L ASSETS THAN THE RTC RECEIVED FROM LARGER PURCHASERS IF THEY HAD BEEN ALLOWED TO BID MR ALTMAN SAID THE RTC HAD CONCEDED THAT IT MAY HAVE LOST SOME HIGHER INDIVIDUAL BIDS ON MORECHOICE PROPERTY BY EMPHASIZING BULK SALES BUT THE ORGANIZATION SAID THAT THE PACKAGE OFFERINGS BROUGHT A HIGHER OVERALL RETURN WITH LOWER SETTLEMENT COSTS MEMBERS OF CONGRESS ARE ALL GETTING CALLS FROM LOCAL PEOPLE COMPLAINING THAT THEY CANNOT BID EFFECTIVELY FOR THE RTC BARGAINS SAID A HOUSE BANKING COMMITTEE SPOKESWOMAN SUCH CRITICISM OF THE AGENCY IS MAKING IT DIFFICULT FOR THE CLINTON ADMINISTRATION TO OBTAIN THE 45 BILLION IN FUNDING IT IS SEEKING FROM CONGRESS TO HELP COVER REMAINING DEPOSITS OF FAILED S&LS AND WIND UP THE MASSIVE THRIFT BAILOUT THAT COULD REACH NEARLY 200 BILLION REP CHARLES SCHUMER D NY A HOUSE BANKING COMMITTEE MEMBER SAID IN AN INTERVIEW THAT THE RTC SMALLINVESTOR PROGRAM IS SOMEWHAT OVERDUE BUT HE SAID IT'LL HELP PASS THE RTC FUNDING BILL BECAUSE IF THERE'S ONE THING HOUSE MEMBERS HAVE HEARD FROM SMALLBUSINESS PEOPLE IN THEIR DISTRICT ON IT'S THAT THE RTC BIDDING PROCESS HAS BEEN BYZANTINE THE INCREASED EMPHASIS ON SMALL INVESTORS WILL ALSO BOOST THE GOVERNMENT'S RETURN ON S&L ASSETS BECAUSE MANY LOCAL INVESTORS KNOW THE VALUE OF THE PROPERTIES BEST AND ARE OFTEN WILLING TO PAY A HIGHER PRICE FOR THEM THE RTC'S MR ALTMAN SAID AMONG THE RTC'S NEW SIP PLANS SPELLED OUT BY MR ALTMAN ARE THESE RTC REALESTATE ASSETS HENCEFORTH WILL BE OFFERED FOR INDIVIDUAL PURCHASE FOR AT LEAST 120 DAYS BEFORE AN ASSET IS MOVED INTO A GROUP PORTFOLIO A COMPELLING ARGUMENT WILL HAVE TO BE MADE FOR DOING SO MR ALTMAN SAID THE RTC WILL BEGIN A SERIES OF SMALLER MORE GEOGRAPHICALLY LIMITED PORTFOLIO SALES OF NONPERFORMING LOANS WITH A MAXIMUM 10 MILLION POOL SIZE NEW LARGER SALES WILL ALSO HAVE A NARROWER REGIONAL FOCUS WITH POOLS CAPPED AT 50 MILLION DOWN FROM 400 MILLION BEFORE THE AGENCY WILL LAUNCH A PILOT S SERIES SECURITIES PROGRAM BACKED BY THRIFT LOANS WITH DEALS RANGING FROM 25 MILLION TO 60 MILLION APIECE PRIVATE GROUPS WILL BE ALLOWED TO BUY A 49 EQUITY POSITION IN THE PARTNERSHIP TRANSACTIONS INVESTING 4 MILLION TO 9 MILLION OF THEIR OWN MONEY 9304140065 930414 BUSINESS BRIEF ROADWAY SERVICES INC FIRSTQUARTER EARNINGS FELL TRAILING ANALYSTS' ESTIMATES ROADWAY SERVICES INC REPORTED FIRSTQUARTER NET INCOME OF 21 MILLION OR FIVE CENTS A SHARE AFTER A CHARGE FOR AN ACCOUNTING CHANGE DOWN FROM 307 MILLION OR 78 CENTS A SHARE THE YEAR EARLIER EARNINGS BEFORE THE ACCOUNTING CHARGE WERE 203 MILLION OR 51 CENTS A SHARE DOWN 34 FROM A YEAR EARLIER AND BELOW ANALYSTS' ESTIMATES OF ABOUT 63 CENTS A SHARE IN AN ANNOUNCEMENT AFTER THE CLOSE OF OVERTHECOUNTER TRADING IN THE COMPANY'S SHARES JOSEPH M CLAPP CHAIRMAN AND PRESIDENT TERMED THE RESULTS A DISAPPOINTMENT TO US AND TO OUR SHAREHOLDERS HE ADDED WE FAILED TO CONTROL OUR COSTS AS WELL AS WE MUST THE AKRON OHIO MOTORFREIGHT CARRIER ATTRIBUTED THE DECLINE TO CAPITAL SPENDING AND TRAINING COSTS TO POOR LATEWINTER WEATHER AND TO TWO FEWER BUSINESS DAYS THAN IN THE YEARAGO QUARTER SALES ROSE 67 TO 856 MILLION FROM 803 MILLION A YEAR AGO 9304140064 930414 BUSINESS BRIEF FMC CORP HARSCO MAY SHARE ARMY JOB IN PACT WITH RIVAL BIDDER FMC CORP WON A 317 MILLION CONTRACT TO PROVIDE THE US ARMY WITH THE SELFPROPELLED HOWITZER KNOWN AS THE PALADIN THE CHICAGO COMPANY WHICH HAS INTERESTS IN CHEMICALS MACHINERY AND GOLD MINING SAID THE FOURYEAR CONTRACT CALLS FOR IT TO PRODUCE 630 OF THE ARTILLERY SYSTEMS WITH DELIVERY BEGINNING DECEMBER 1994 OPTIONS CONTAINED IN THE CONTRACT COULD EXTEND THE TOTAL VALUE TO 376 MILLION FMC SAID THE PRODUCTION MAY BE DONE THROUGH A JOINT VENTURE FMC HAS ANNOUNCED IT PLANS TO FORM WITH ONE OF THE COMPANIES IT COMPETED AGAINST IN THE BIDDING PROCESS IN DECEMBER FMC AND HARSCO CORP OF HARRISBURG PA TENTATIVELY AGREED TO COMBINE MUCH OF THEIR DEFENSE OPERATIONS IN A JOINT VENTURE IN WHICH FMC WILL HOLD A 60 STAKE AT THAT TIME BOTH WOULDBE PARTNERS HAD ALREADY MADE THEIR BIDS FOR THE PALADIN PROJECT AND SEPARATELY CONDUCTED THE BIDDING PROCESS WITHOUT SHARING INFORMATION GENERAL DYNAMICS CORP HAD ALSO BEEN SEEKING THE PALADIN CONTRACT 9304140063 930414 TECHNOLOGY BRIEF AMERICAN TELEPHONE & TELEGRAPH SHAYE PURCHASE GIVES ACCESS TO 20 NATIONS USING SYSTEM AMERICAN TELEPHONE & TELEGRAPH CO SAID IT HAS PURCHASED SHAYE COMMUNICATIONS LTD A UK DEVELOPER OF WIRELESS PHONES FOR HOMES AND BUSINESSES THE PURCHASE WHICH A SPOKESWOMAN SAID WOULD BE ANNOUNCED THIS MORNING WILL GIVE AT&T ACCESS TO SOME 20 NATIONS THAT HAVE ADOPTED A TRANSMISSION STANDARD TO WHICH SHAYE'S PHONES ARE DESIGNED TO OPERATE TERMS WEREN'T DISCLOSED CALLED CT2 FOR SECONDGENERATION CORDLESS TELEPHONE THE PHONES ARE MUCH LIGHTER THAN CELLULAR TELEPHONES AND FIT EASILY IN A SHIRT POCKET THEY ALSO USE REGULAR TINY BATTERIES AND TRANSMIT CALLS IN DIGITAL PULSES RATHER THAN THE LESS EFFICIENT ANALOG METHOD NOW USED BY MOST HOME CORDLESS AND CELLULAR PHONES THE SPOKESWOMAN SAID AT&T HAS NO CURRENT PLANS TO MARKET THE PHONES IN THE US SINCE THE FEDERAL COMMUNICATIONS COMMISSION HAS NOT APPROVED THE USE OF CT2TYPE PHONES BY US CUSTOMERS NATIONS THAT HAVE ADOPTED CT2 INCLUDE BRITAIN FRANCE GERMANY AND AUSTRALIA 9304140062 930414 BUSINESS BRIEF FIRST BANCORP INDIANA INC BANK HOLDING CONCERN HIRES KEMPER UNIT TO FIND BUYER FIRST BANCORP INDIANA INC HIRED KEMPER SECURITIES INC A UNIT OF CHICAGOBASED KEMPER CORP TO HELP IT FIND A POSSIBLE BUYER THE LAFAYETTE IND BANK HOLDING COMPANY WHICH HAD ASSETS OF 2795 MILLION AT YEAR END SAID KEMPER WILL BE ASKED NOT ONLY TO IDENTIFY POTENTIAL BUYERS BUT TO NEGOTIATE AND CARRY OUT ANY PROPOSED SALE THE COMPANY IS CONSIDERING THIS OPTION FIRST BANCORP SAID BECAUSE IT BELIEVES THAT IT MAY BE BETTER ABLE TO SERVE THE INTERESTS OF ITS SHAREHOLDERS IF IT AFFILIATES WITH A LARGER INSTITUTION THE INDIANA COMPANY CAUTIONED THAT THERE'S NO ASSURANCE A SALE OF THE COMPANY WILL ENSUE IN NATIONAL OVERTHECOUNTER TRADING YESTERDAY FIRST BANCORP SHARES CLOSED AT 3225 UP 4 IN 1992 FIRST BANCORP HAD EARNINGS OF 33 MILLION OR 298 A SHARE 9304140061 930414 BUSINESS BRIEF INTERNATIONAL PAPER CO PROFIT ROSE 23 IN QUARTER BUT CHARGES SKEWED RESULTS INTERNATIONAL PAPER CO REPORTED A 23 RISE IN FIRSTQUARTER EARNINGS FROM THE YEAREARLIER QUARTER WHEN PROFIT WAS AFFECTED BY CHARGES FOR ACCOUNTING CHANGES AND EARLY DEBT RETIREMENT THE PURCHASE NY MAKER OF PAPER PACKAGING AND OTHER FOREST PRODUCTS SAID NET INCOME WAS 64 MILLION OR 52 CENTS A SHARE COMPARED WITH 52 MILLION OR 44 CENTS A SHARE EXCLUDING THE CHARGES IN THE YEAREARLIER QUARTER EARNINGS FELL 38 SALES MEANTIME WERE FLAT AT 34 BILLION JOHN A GEORGES CHAIRMAN AND CHIEF EXECUTIVE OFFICER SAID THE COMPANY'S PRINTING PAPERS BUSINESS WAS HARD HIT BY DECLINING PRICES IN THE US AND EUROPE THOUGH PRICES WERE SHOWING SIGNS OF RECOVERING HE ALSO CITED HIGHER FIBER COSTS MANUFACTURING PROBLEMS RELATED TO BAD WEATHER AND WEAK PULP SHIPMENTS AND PRICES MR GEORGES SAID THE FOREST PRODUCTS DIVISION REPORTED SIGNIFICANTLY HIGHER PROFITS FOR THE QUARTER REFLECTING REDUCED SUPPLIES AND HIGHER DEMAND THAT DROVE UP PRICES FOR LOGS AND WOOD PRODUCTS 9304140060 930414 TECHNOLOGY BRIEF PROTEIN DESIGN LABS INC RIGHTS TO FIVE ANTIBODIES ARE PURCHASED FROM SANDOZ PROTEIN DESIGN LABS INC SAID IT ACQUIRED THE RIGHTS TO FIVE ANTIBODIES FROM SANDOZ LTD IN AN EFFORT TO ACCELERATE DEVELOPMENT OF A COMMERCIAL PRODUCT PROTEIN DESIGN PAID 5 MILLION FOR THE ANTIBODIES FOUR OF WHICH FIGHT VIRAL INFECTIONS AND ONE COMBATS CANCER TWO OF THEM ARE FURTHER ALONG THE CLINICAL DEVELOPMENT PIPELINE THAN PROTEIN DESIGN'S EXISTING PRODUCTS THE MOUNTAIN VIEW CALIF BIOTECHNOLOGY COMPANY WILL PAY SANDOZ BASED IN BASEL SWITZERLAND UP TO 5 MILLION MORE IF CERTAIN CONDITIONS ARE MET THE ACQUISITION ALSO WILL GIVE THE COMPANY CERTAIN TECHNOLOGY FOR MAKING PURELY HUMAN MONOCLONAL ANTIBODIES MOST MONOCLONAL ANTIBODIES UNDER COMMERCIAL DEVELOPMENT ARE DERIVED FROM MOUSE PROTEINS AND CONVERTED FOR HUMAN USE THE COMPANY HOPES THE ANTIBODIES MAY PROVE EFFECTIVE IN TREATING HEPATITIS B AND A FORM OF BLINDNESS ASSOCIATED WITH ACQUIRED IMMUNE DEFICIENCY SYNDROME 9304140059 930414 BUSINESS BRIEF US BANCORP BANK HAD 1STQUARTER PROFIT AGAINST LOSS A YEAR EARLIER US BANCORP POSTED FIRSTQUARTER EARNINGS OF 615 MILLION REVERSING A YEAREARLIER RESTATED LOSS CAUSED BY AN ACCOUNTING CHANGE THE QUARTERLY PROFIT EQUAL TO 59 CENTS A SHARE WAS SLIGHTLY BELOW ANALYSTS' EXPECTATIONS OF 60 CENTS A SHARE STILL THE RESULTS WERE UP 31 FROM THE YEAREARLIER RESULTS AS ORIGINALLY REPORTED OF 471 MILLION OR 48 CENTS A SHARE AS RESTATED TO ACCOUNT FOR POSTRETIREMENT BENEFITS THE PORTLAND ORE BANK HAD A NET LOSS OF 128 MILLION OR 12 CENTS A SHARE US BANCORP CONTINUES TO BE ONE OF THE MOST PROFITABLE REGIONAL BANKS IN THE COUNTRY WITH A QUARTERLY RETURN ON ASSETS OF 124 THE GAP BETWEEN LENDING RATES AND INTEREST COSTS REMAINED HIGH AT 52 BOOSTING NET INTEREST INCOME 77 FROM A YEAR EARLIER FURTHER THE BANK HAS LARGELY AVOIDED THE CREDIT LOSSES FROM BAD REAL ESTATE ITS PROBLEM ASSETS DECLINED FOR THE FOURTH CONSECUTIVE QUARTER TO 16 OF TOTAL ASSETS FROM 23 A YEAR EARLIER 9304140058 930414 LAW SWISS COURT SIGNALS IRANCONTRA FUNDS COULD BE UNFROZEN BY DAVID ROGERS STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON BUOYED BY A COURT VICTORY IN SWITZERLAND ATTORNEYS FOR AN IRANCONTRA FIGURE ARE ASKING THE CLINTON ADMINISTRATION TO CONSIDER A NEGOTIATED SETTLEMENT DIVIDING UP MILLIONS OF DOLLARS IN PROCEEDS FROM THE SECRET ARMS SALES THE ASSETS WHICH ARE ESTIMATED TO HAVE GROWN TO BETWEEN 10 MILLION AND 12 MILLION WERE FIRST FROZEN IN LATE 1986 ON THE GROUND THAT THE MONEY WAS FRAUDULENTLY OBTAINED FROM THE US GOVERNMENT INDEPENDENT COUNSEL LAWRENCE WALSH HAS SOUGHT TO MAINTAIN THE ORDER DURING HIS PROSECUTION BUT AS THESE CASES HAVE WOUND DOWN THE SWISS COURTS HAVE SIGNALED THAT THE FREEZE COULD BE LIFTED THE MOST RECENT ACTION CAME IN A RULING LAST MONTH WHEN SWITZERLAND'S HIGHEST COURT REJECTED AN APPEAL FILED BY ATTORNEYS FOR THE PROSECUTOR TO CONTINUE THE ORDER ALL SIDES SAID THE SWISS RULING EFFECTIVELY EXHAUSTS THE US GOVERNMENT'S PRIOR CLAIMS BASED ON CRIMINAL GROUNDS BUT THE FUNDS WILL REMAIN FROZEN FOR 60 DAYS TO GIVE THE US TIME TO PURSUE CIVIL ACTION THE MONEY REPRESENTS THE RESIDUE OF PROFITS FROM A SERIES OF ARMS TRANSACTIONS IN THE MID1980S WHEN THE US SECRETLY SOLD WEAPONS TO IRAN AS PART OF A SCHEME BY THE REAGAN WHITE HOUSE BOTH TO WIN THE RELEASE OF US HOSTAGES IN THE MIDDLE EAST AND YIELD FUNDS TO ARM GUERRILLAS IN NICARAGUA THE SALES WERE CARRIED OUT THROUGH A COMPLEX CORPORATE NETWORK OVERSEEN BY RETIRED AIR FORCE MAJ GEN RICHARD SECORD AND HIS BUSINESS PARTNER ALBERT HAKIM WHO STAND TO BENEFIT IF THE MONEY IS RELEASED WE ARE REVIEWING OUR OPTIONS SAID JOSEPH KROVISKY A SPOKESMAN FOR THE JUSTICE DEPARTMENT'S CIVIL DIVISION WHICH IS NOW EXPECTED TO HANDLE THE CASE THOMAS SPENCER A MIAMI ATTORNEY FOR MR SECORD ARGUED THAT THE SWISS RULING DATED MARCH 29 WAS A SERIOUS BLOW TO THE GOVERNMENT AND REPRESENTS A DRAMATIC INCREASE IN THE LIKELIHOOD THAT THIS THING IS GOING TO BE RESOLVED IN A LETTER LAST MONTH TO ATTORNEY GENERAL JANET RENO MR SPENCER ASKED FOR A MEETING ON THE CASE TO DISCUSS SETTLEMENT BUT ANY SUCH AGREEMENT IS SURE TO BE CONTROVERSIAL GIVEN THE CONTINUED SENSITIVITY OF THE CASE MR SECORD PLEADED GUILTY IN NOVEMBER 1989 TO ONE FELONY COUNT OF MAKING FALSE STATEMENTS TO CONGRESS REGARDING IRANCONTRA AND MR HAKIM PLEADED GUILTY THE SAME MONTH TO A MISDEMEANOR OF SUPPLEMENTING THE SALARY OF THEN WHITE HOUSE AIDE OLIVER NORTH LAKE RESOURCES INC ONE OF THE COMPANIES USED IN THE TRANSACTIONS AND IN WHICH MR HAKIM WAS A SHAREHOLDER ALSO PLEADED GUILTY TO A CORPORATE FELONY OF THEFT OF GOVERNMENT PROPERTY IN DIVERTING THE IRANIAN ARMS SALES PROCEEDS TO THE NICARAGUAN CONTRAS LAKE RESOURCES WAS ORDERED DISSOLVED 9304140057 930414 BUSINESS BRIEF CINEPLEX ODEON CORP THEATER CHAIN BANK LENDERS REACH AGREEMENT ON DEBT CINEPLEX ODEON CORP SAID IT HAS REACHED AGREEMENTS WITH ITS BANK LENDERS AND MAJOR SHAREHOLDERS THAT WILL GIVE THE COMPANY MORE FINANCIAL FLEXIBILITY UNDER A NEW PACT WITH BANKERS TORONTOBASED CINEPLEX EXTENDED THE MATURITY DATE FOR ITS LONGTERM BANK DEBT BY TWO YEARS TO DEC 31 1996 AND REDUCED THE PRINCIPAL AMOUNTS PAYABLE THE MOVIE THEATER CHAIN WILL PAY 395 MILLION TO THE BANKS RATHER THAN THE 70 MILLION ORIGINALLY FORESEEN A SPOKESMAN FOR CINEPLEX SAID THAT THE COMPANY EXPECTS ITS DEBT TO DECLINE TO 385 MILLION BY END OF THE YEAR FROM 4435 MILLION AT DEC 31 1992 ABOUT 3299 MILLION OF DEBT STILL OUTSTANDING AT THE END OF 1993 WILL BE SYNDICATED BANK DEBT HE ADDED CINEPLEX ALSO SAID ITS TWO MAJOR SHAREHOLDERS PLAN TO CONVERT A TOTAL OF 25 MILLION IN DEBT OWED TO THEM TO EQUITY IN THE COMPANY MCA INC A LOS ANGELES ENTERTAINMENT CONCERN AND A UNIT OF MATSUSHITA ELECTRIC INDUSTRIAL CO OF JAPAN AND CLARIDGE GROUP A MONTREAL INVESTMENT GROUP CONTROLLED BY FINANCIER CHARLES BRONFMAN AND HIS ASSOCIATES EACH WILL RECEIVE CINEPLEX SHARES IN EXCHANGE FOR THEIR REMAINING 125 MILLION IN DEBT THE NUMBER OF SHARES WASN'T DISCLOSED 9304140056 930414 WHAT'S NEWS WORLDWIDE HUNDREDS WERE EVACUATED FROM A BESIEGED TOWN IN EASTERN BOSNIA WOMEN AND CHILDREN MANY SEVERELY WOUNDED JAMMED TRUCKS TO FLEE SREBRENICA WHERE AT LEAST 56 PEOPLE WERE KILLED BY SERB SHELLING A DAY EARLIER UN OFFICIALS VOICED STUNNED OUTRAGE AT MONDAY'S SERB BOMBARDMENT WHICH COINCIDED WITH THE FIRST NATO PATROLS OF A BOSNIA NOFLY ZONE APPARENTLY IN THE PATHOLOGICAL DRIVE TO ACQUIRE TERRITORY THE SERBS ARE WILLING TO KILL ANYBODY TO ACHIEVE THEIR ENDS A SPOKESMAN FOR THE UN HIGH COMMISSIONER FOR REFUGEES SAID BOSNIA'S GOVERNMENT PLEADED WITH THE UN TO BREAK THE SREBRENICA SIEGE THE DEPUTY COMMANDER OF THE BOSNIAN SERB ARMY ACCUSED SREBRENICA'S MUSLIM DEFENDERS OF IMPROVISING EXPLOSIONS TO CONVINCE UN AUTHORITIES THAT SERBS HAD SHELLED THE TOWN JAPAN IS EXPECTED TO ANNOUNCE 18 BILLION IN NEW AID TO RUSSIA PRIME MINISTER MIYAZAWA IS SCHEDULED TO UNVEIL THE PACKAGE TODAY AT A MEETING OF THE GROUP OF SEVEN NATIONS THE JAPANESE HOPE THEIR OFFER WILL SILENCE CRITICISM THAT THEY HAVE GIVEN HIGHER PRIORITY TO RETRIEVING A CHAIN OF ISLANDS FROM RUSSIA TWELVE EXSOVIET OFFICIALS WILL GO ON TRIAL TODAY IN MOSCOW ON CHARGES OF ATTEMPTING TO OVERTHROW THENSOVIET LEADER GORBACHEV IN AUGUST 1991 SUPPORTERS OF RUSSIAN PRESIDENT YELTSIN WORRY THAT THE TRIAL COULD AFFECT HIS CHANCES IN AN APRIL 25 REFERENDUM ON HIS PRESIDENCY TWO WALL STREET JOURNAL REPORTERS WON A PULITZER PRIZE FOR THEIR COVERAGE OF MANAGEMENT TURMOIL AT GENERAL MOTORS PAUL INGRASSIA AND JOSEPH B WHITE WERE HONORED FOR BEAT REPORTING THE WASHINGTON POST WON THREE PULITZERS AND THE MIAMI HERALD WON TWO ROBERT OLEN BUTLER'S A GOOD SCENT FROM A STRANGE MOUNTAIN WON FOR FICTION BRITAIN AND CHINA SIDESTEPPED A DIPLOMATIC STANDOFF AND AGREED TO OPEN FORMAL NEGOTIATIONS NEXT WEEK CONCERNING THE ROLE HONG KONG SHOULD PLAY IN REFORMING ITS ELECTORAL SYSTEM AFTER A PRIOR ATTEMPT TO OPEN TALKS BROKE DOWN A MONTH AGO CHINA ESCALATED ITS PROPAGANDA ATTACKS ON HONG KONG'S GOVERNOR VIETNAM ALLEGED THAT A DOCUMENT PURPORTING TO SHOW THAT NORTH VIETNAM HELD HUNDREDS MORE AMERICAN POWS IN 1972 THAN IT ADMITTED IS A FABRICATION HANOI CLAIMED UNNAMED PARTIES WERE TRYING TO SABOTAGE USVIETNAMESE RELATIONS PRESIDENT CLINTON HAS ASKED A US EMISSARY TO QUESTION THE VIETNAMESE ABOUT THE DOCUMENT SOUTH AFRICAN OFFICIALS ANNOUNCED CURFEWS IN SEVERAL DISTRICTS AND OPPOSITION LEADER MANDELA URGED CALM AFTER THE ALLEGED KILLER OF BLACK POLITICIAN CHRIS HANI APPEARED IN COURT JANUSZ WALUS ACCUSED OF SATURDAY'S SLAYING WAS ORDERED HELD IN CUSTODY MANDELA'S AFRICAN NATIONAL CONGRESS PLANS A ONEDAY WORK STOPPAGE TODAY ATTORNEY GENERAL RENO SAID SHE HAD ORDERED A JUSTICE DEPARTMENT REVIEW OF THE US POLICY OF KIDNAPPING CRIMINAL SUSPECTS ABROAD THE POLICY WAS UPHELD A YEAR AGO BY THE SUPREME COURT WHICH RULED THAT SUCH SEIZURES CAN TAKE PLACE EVEN IF THEY VIOLATE INTERNATIONAL LAW OR AN EXTRADITION TREATY BETWEEN THE US AND ANOTHER NATION A JUDGE IN SEATTLE GAVE THE FOREST SERVICE UNTIL NEXT WEEK TO EXPLAIN WHY IT CAN'T DRAFT A PLAN TO PROTECT THE NORTHERN SPOTTED OWL BY AN AUG 22 DEADLINE THREE YEARS AFTER THE BIRD WAS DECLARED A THREATENED SPECIES HEALTH OFFICIALS EXPRESSED CONCERN ABOUT THE RISING POPULARITY OF ILLEGAL DRUGS AMONG YOUNG TEENS EIGHTH GRADERS IN 1992 REPORTED GREATER USE OF LSD COCAINE AND MARIJUANA WHILE ILLICIT DRUGS CONTINUED TO DECLINE AMONG HIGH SCHOOL SENIORS ACCORDING TO A SURVEY RELEASED BY THE DEPARTMENT OF HEALTH AND HUMAN SERVICES ISRAELI HELICOPTERS AND ARTILLERY SHELLED SEVEN VILLAGES IN SOUTHERN LEBANON AFTER A ROADSIDE BOMB KILLED THREE ISRAELI SOLDIERS AND SERIOUSLY WOUNDED TWO SECURITY SOURCES SAID THAT FIVE LEBANESE WERE WOUNDED IN THE ATTACKS ON THE VILLAGES PROIRANIAN HEZBOLLAH GUERRILLAS CLAIMED RESPONSIBILITY FOR THE AMBUSH OF THE ISRAELI PATROL AID WORKERS IN SUDAN WARNED THAT DESPITE A DIPLOMATIC EFFORT TO FEED 15 MILLION STARVING PEOPLE IN THE SOUTHERN PART OF THE NATION ANY SOLUTION WILL BE TOO LATE TO SAVE THE BADLY MALNOURISHED INCLUDING 4000 CHILDREN UN RELIEF AGENCIES RECENTLY SUSPENDED FLIGHTS TO THE HARDHIT AYOD AND KONGOR AREAS BECAUSE OF REBEL ATTACKS 9304140055 930414 BUSINESS BRIEF NATIONAL MEDICAL ENTERPRISES INC TWO PSYCHIATRIC HOSPITALS ARE SOLD OTHERS MAY FOLLOW NATIONAL MEDICAL ENTERPRISES INC OF SANTA MONICA CALIF SAID IT SOLD TWO PSYCHIATRIC HOSPITALS AND IS IN ACTIVE NEGOTIATIONS ON SEVERAL OTHER PLANNED FACILITY SALES IT HOPES TO COMPLETE SOON PINNACLE HEALTHCARE CORP OF BIRMINGHAM ALA PURCHASED NATIONAL MEDICAL'S 70BED HOSPITAL IN ALEXANDRIA LA AND A 60BED HOSPITAL IN SHERMAN TEXAS TERMS WEREN'T DISCLOSED A NATIONAL MEDICAL SPOKESMAN SAID THE FACILITIES WERE SOLD AT LEVELS CONSISTENT AT WHAT THE MARKET IS GENERATING FOR PSYCHIATRIC HOSPITALS TODAY PRICES ARE DEPRESSED BECAUSE THERE ARE MANY FACILITIES FOR SALE NATIONAL MEDICAL SAID LAST MAY THAT IT PLANNED TO SELL CLOSE OR CONVERT MORE THAN 20 OF ITS PSYCHIATRIC HOSPITALS AND SUBSTANCE ABUSE TREATMENT CENTERS AT THE TIME THE COMPANY HAD ABOUT 80 SUCH FACILITIES SINCE THEN IN ADDITION TO THE TWO SALES ANNOUNCED YESTERDAY THE COMPANY HAS CLOSED 10 FACILITIES AND CONVERTED THREE TO OTHER HEALTHCARE USES 9304140054 930414 BUSINESS BRIEF PACIFIC GAS & ELECTRIC CO RETAIL ELECTRICITY RATES SET NOT TO RISE THROUGH 1994 PACIFIC GAS & ELECTRIC CO SAID IT PLANS NOT TO RAISE ELECTRICITY RATES FOR RETAIL CUSTOMERS THROUGH 1994 AS PART OF ITS PROGRAM TO TRIM COSTS AND REDUCE RATES THE SAN FRANCISCOBASED UTILITY COMPANY SAID ELECTRICITY RATES IN 1994 WOULD BE ABOUT 400 MILLION LESS THAN WHAT THEY WOULD BE UNDER USUAL RATESETTING PROCEDURES ALSO PACIFIC GAS SAID IT WOULD FILE WITH THE STATE PUBLIC UTILITIES COMMISSION TO REDUCE ELECTRICITY RATES FOR ITS LARGEST BUSINESS CUSTOMERS BY ABOUT 100 MILLION IN A BID TO ATTRACT AND RETAIN MAJOR EMPLOYERS IN NORTHERN AND CENTRAL CALIFORNIA THE UTILITY SAID IT INTENDS TO ABSORB ADDED COSTS FROM INFLATION CHANGES IN THE COMPANY'S ASSET BASE AND OTHER FACTORS UNDER FORMULAS INCLUDED IN A GENERAL RATE CASE APPROVED BY REGULATORS LAST DECEMBER THOSE COSTS WOULD HAVE RAISED ELECTRICITY RATES MORE THAN 160 MILLION AT THE BEGINNING OF 1994 9304140053 930414 FOREIGN EXCHANGE DOLLAR SINKS AGAINST MARK AND POUND ON RETAIL SALES DATA BUT GAINS ON YEN BY RICHARD SCHUMACHER SPECIAL TO THE WALL STREET JOURNAL NEW YORK A SURPRISING DROP IN US RETAIL SALES IN MARCH PUSHED THE DOLLAR BROADLY LOWER AGAINST EUROPEAN CURRENCIES BUT THE DOLLAR GAINED AGAINST THE YEN AS CONCERNS ABOUT CENTRAL BANK INTERVENTION TO SLOW THE YEN'S RECENT GAINS OVERWHELMED THE EFFECT OF THE RETAIL SALES REPORT LATE IN NEW YORK THE DOLLAR WAS QUOTED AT 15820 MARKS DOWN FROM 15935 MARKS LATE MONDAY THE DOLLAR WAS CHANGING HANDS AT 11340 YEN UP FROM 11280 YEN STERLING WAS TRADING AT 15580 UP FROM 15460 ABOUT MIDDAY WEDNESDAY IN TOKYO THE DOLLAR WAS TRADING AT 15825 MARKS AND AT 11348 YEN AFTER THE RELEASE OF THE RETAIL SALES REPORT THE DOLLAR TUMBLED TO 15773 MARKS ITS LOWEST LEVEL SINCE JAN 28 WHEN IT TOUCHED 15715 MARKS US RETAIL SALES FELL 1 IN MARCH TO A SEASONALLY ADJUSTED 16694 BILLION THE COMMERCE DEPARTMENT REPORTED FEBRUARY'S DATA WERE REVISED TO A DROP OF 03 FROM AN INITIALLY REPORTED 03 RISE THE DATA WERE WEAKER THAN EXPECTED A SURVEY OF ECONOMISTS BY APDOW JONES HAD CALLED FOR A 03 INCREASE IN MARCH THE STATISTICS ARE FURTHER EVIDENCE THAT THE US ECONOMY IS GOING NOWHERE FAST SAID DON QUATTRUCCI AN ASSISTANT VICE PRESIDENT AT SHAWMUT BANK CONNECTICUT NA IN HARTFORD EVEN AFTER ACCOUNTING FOR INCLEMENT US WEATHER IN MARCH THAT KEPT SOME SHOPPERS AWAY FROM STORES THE COMBINATION OF THE FULLPERCENTAGEPOINT DROP IN MARCH AND THE DOWNWARD FEBRUARY REVISION MADE THE RETAIL DATA PARTICULARLY POOR MR QUATTRUCCI SAID TRADERS ALSO OBSERVED THAT THE DATA CAME AS US PRESIDENT CLINTON FACES STIFF OPPOSITION FROM SENATE REPUBLICANS TO HIS ECONOMIC STIMULUS PLAN EXPECTATIONS ABOUT THE ECONOMIC PROGRAM PROPELLED A DOLLAR RALLY EARLIER IN THE YEAR ALL OF THIS MADE THE DOLLAR A LITTLE HEAVY SAID DENNIS PETTIT FOREIGN EXCHANGE MANAGER AT THE LONGTERM CREDIT BANK OF JAPAN IN NEW YORK BUT CONCERNS ABOUT THE POTENTIAL FOR CENTRAL BANK INTERVENTION AGAINST THE YEN KEPT THE JAPANESE CURRENCY FROM GAINING ON THE SALES REPORT MR PETTIT SAID DEALERS SAID THE CONCERNS ABOUT CENTRAL BANK ACTION STEMMED FROM UNCONFIRMED RUMORS THAT THE BANK OF JAPAN HAD BOUGHT DOLLARS DURING ASIAN TRADING THE RUMORS SET OFF A WAVE OF PROFITTAKING THAT LIFTED THE DOLLAR FROM ITS LATEST POSTWORLD WAR II LOW OF 11260 YEN SET EARLY YESTERDAY THE DOLLAR VAULTED TO AN INTRADAY HIGH OF 11365 YEN SOON AFTER THE BANK OF JAPAN INTERVENTION RUMORS SURFACED AND IT ESSENTIALLY HELD ITS GAINS FOR THE REMAINDER OF THE GLOBAL TRADING DAY ACCORDING TO MR PETTIT TRADERS WHO EXPECTED THE YEN TO CONTINUE ADVANCING BOUGHT DOLLARS TO COVER THOSE POSITIONS AND TO TAKE PROFITS ON THE GAINS THEY ALREADY HAD MADE IN RECENT DAYS BUT AHEAD OF TODAY'S MEETING OF OFFICIALS FROM THE GROUP OF SEVEN MAJOR INDUSTRIALIZED NATIONS MR PETTIT SAID PLAYERS ARE RELUCTANT TO CHALLENGE BANK OF JAPAN BY BUYING YEN AGGRESSIVELY 9304140052 930414 BUSINESS BRIEF SCHERINGPLOUGH CORP REGULATORS CLEAR MARKETING OF AN ANTIHISTAMINE IN US SCHERINGPLOUGH CORP MADISON NJ SAID IT RECEIVED MARKETING CLEARANCE FROM FEDERAL REGULATORS TO SELL ITS NONSEDATING ANTIHISTAMINE CLARITIN IN THE US THE PRODUCT SCHERING'S BRAND OF LORATADINE ALREADY IS SOLD OVERSEAS WHERE 1992 SALES OF THE ONCEADAY ANTIHISTAMINE GREW 38 TO 139 MILLION A SPOKESMAN SAID SCHERINGPLOUGH IS CONFIDENT THE DRUG WILL CAPTURE A SIGNIFICANT SHARE OF THE 600 MILLION US MARKET FOR NONSEDATING ANTIHISTAMINES IT WOULDN'T BE MORE SPECIFIC THE COMPANY EXPECTS TO HAVE THE PRESCRIPTION DRUG AVAILABLE IN PHARMACIES BY MAY 1 IN LATE NEW YORK STOCK EXCHANGE TRADING SCHERINGPLOUGH ROSE 125 A SHARE TO 60 9304140051 930414 BUSINESS BRIEF STATE STREET BOSTON CORP FIRSTPERIOD NET ROSE 17 ON INCREASE IN FEE REVENUE STATE STREET BOSTON CORP'S FIRSTQUARTER NET INCOME ROSE 17 TO 427 MILLION OR 56 CENTS A SHARE FROM 362 MILLION OR 48 CENTS A SHARE IN THE YEARAGO QUARTER THE BOSTON BANK HOLDING COMPANY WITH 177 BILLION IN ASSETS ATTRIBUTED THE PROFIT INCREASE TO A RISE IN FEE REVENUE FROM CUSTODIAL TRUST SERVICES SECURITIES AND DATA PROCESSING THE BANK WHICH EARNS ONLY ABOUT ONESIXTH OF ITS NET INCOME FROM TRADITIONAL LENDING ACTIVITIES REPORTED FEE REVENUE OF 194 MILLION FOR THE QUARTER UP 16 FROM 1675 MILLION A YEAR EARLIER THE BANK'S PROVISION FOR LOAN LOSSES IN THE QUARTER WAS 27 MILLION DOWN FROM 59 MILLION 9304140050 930414 WHAT'S NEWS BUSINESS AND FINANCE RETAIL SALES TUMBLED 1 LAST MONTH THE LARGEST DROP SINCE JANUARY 1991 RAISING CONCERNS ABOUT THE RECOVERY'S PACE FEBRUARY SALES FELL A REVISED 03 MARCH MARKED THE THIRD CONSECUTIVE MONTH THAT SALES HAVEN'T RISEN RAIN AND SNOWSTORMS WERE CITED FOR THE LATEST POOR RESULTS BOEING AND JET LEASING GIANT INTERNATIONAL LEASE ARE TRYING TO GET TWO EUROPEAN AIRLINES TO REPLACE MCDONNELL JETS IN THEIR FLEETS WITH BOEING PLANES PEOPLE CLOSE TO THE EFFORT SAID RJR SLASHED BY 73 THE TOTAL DIVIDEND IT PLANS TO PAY WHEN IT CREATES SEPARATE FOOD AND TOBACCO SHARES THE MOVE COMES AMID THE PROSPECT OF A PRICE WAR IN ITS CIGARETTE BUSINESS ACCOUNTING OFFICIALS VOTED TO FORCE BANKS AND INSURERS TO VALUE AT CURRENT MARKET PRICES CERTAIN BONDS HELD FOR INVESTMENT BANKS AND INSURERS SAID THE RULE WILL MAKE FINANCIAL RESULTS MORE VOLATILE AND CONFUSING MERRILL LYNCH REPORTED RECORD FIRSTQUARTER PROFIT OF 3424 MILLION TRIGGERING A RALLY IN BROKERAGE STOCKS AND RAISING HOPES OF ANOTHER YEAR OF STRONG EARNINGS ON WALL STREET MERRILL'S STOCK SURGED 5125 A SHARE OR 72 TO A 52WEEKHIGH OF 76625 P&G IS CUTTING THE PRICE OF PAMPERS DIAPERS 5 AND LUVS 16 AMID COMPETITION FROM PRIVATE LABEL BRANDS THE MOVE MARKS THE THIRD PRICE CUT IN 10 MONTHS ON THE COMPANY'S DIAPERS TOKYO STOCKS SURGED AFTER JAPAN'S RULING PARTY UNVEILED A 1164 BILLION FISCAL STIMULUS PACKAGE THE NIKKEI INDEX SHOT UP 85815 OR 43 ON TUESDAY TO CLOSE ABOVE 20000 FOR THE FIRST TIME IN MORE THAN A YEAR JAPAN'S STIMULUS PACKAGE DREW A MUTED RESPONSE FROM THE US GOVERNMENT A US CABINET OFFICIAL IN JAPAN CALLED THE PLAN A USEFUL FIRST STEP BUT STRESSED THAT MORE IS EXPECTED THE THRIFT CLEANUP AGENCY PLANS TO SELL MORE REAL ESTATE BAD LOANS AND OTHER S&L ASSETS TO SMALL BUYERS SOME AUCTIONS WOULD SELL LAND AND REAL ESTATE PARCELS FOR AS LOW AS 5000 A TELEDYNE UNIT WAS BANNED FROM GOVERNMENT CONTRACTING FOR ONE YEAR FOR MAKING FALSE STATEMENTS ABOUT THE TESTING OF ELECTRONIC SWITCHES USED IN MISSILES AND SPACE LAUNCH VEHICLES GENERAL ELECTRIC REPORTED A 10 RISE IN FIRSTQUARTER PROFIT TO 116 BILLION POSTING STRONGER GAINS THAN EXPECTED IN MOST OF ITS BUSINESSES THE COMPANY SAID SEVEN OF ITS 12 BUSINESSES POSTED DOUBLEDIGIT INCREASES CBS REPORTED SHARP IMPROVEMENT IN FIRSTQUARTER PROFIT IT CITED A TURNAROUND AT ITS TELEVISION NETWORK FIRST FIDELITY'S PROFIT JUMPED 45 IN THE FIRST QUARTER REFLECTING IMPROVED OPERATIONS AND ASSET QUALITY SUNTRUST BANKS' NET ROSE 13 COCACOLA POSTED FIRSTQUARTER EARNINGS SLIGHTLY ABOVE ANALYSTS' FORECASTS ON UNEXPECTED STRENGTH LAST MONTH IN INTERNATIONAL SALES UNION CARBIDE AGREED TO SELL ITS ORGANOSILICON DIVISION FOR 220 MILLION IN CASH AND 80 MILLION IN CONVERTIBLE PREFERRED STOCK IN THE NEW COMPANY BONDS LEHMAN BROTHERS TREASURY INDEX 510804 UP 725 COMMODITIES OIL 2046 A BARREL UNCHANGED DOW JONES FUTURES INDEX 12522 UP 067 SPOT INDEX 12166 OFF 010 DOLLAR 11340 YEN UP 060 15820 MARKS OFF 00115 9304140049 930414 BUSINESS BRIEF TELXON CORP COMPANY EXPECTS TO REPORT LOSS IN FISCAL FOURTH QUARTER TELXON CORP SAID IT EXPECTS TO REPORT A LOSS FOR ITS FISCAL FOURTH QUARTER ENDED MARCH 31 OF BETWEEN 95 MILLION AND 11 MILLION OR 63 TO 73 CENTS A SHARE ON REVENUE OF ABOUT 55 MILLION MEANWHILE THE AKRON OHIO MAKER OF PORTABLE DATA COMMUNICATIONS PRODUCTS SAID ITS DIRECTORS APPROVED A PLAN TO REPURCHASE UP TO TWO MILLION SHARES OF COMMON STOCK FROM SHAREHOLDERS OVER THE NEXT SIX MONTHS TELXON STOCK CLOSED AT 7125 DOWN 1375 IN OVERTHECOUNTER TRADING THE COMPANY SAID ONETIME CHARGES ACCOUNTED FOR ABOUT 73 MILLION OF THE LOSS OR 48 CENTS A SHARE IN THE YEAREARLIER FOURTH QUARTER TELXON EARNED 52 MILLION OR 37 CENTS A SHARE ON REVENUE OF 602 MILLION FOR THE FISCAL YEAR ENDED MARCH 31 1993 TELXON EXPECTS TO REPORT A LOSS OF 107 MILLION TO 122 MILLION OR 72 TO 82 CENTS A SHARE ON REVENUE OF ABOUT 238 MILLION 9304140048 930414 CORRECTIONS & AMPLIFICATIONS CHIPSOFT INC OFFERED 58 MILLION TO BUY MECA SOFTWARE INC A HEADLINE YESTERDAY MISSTATED THE AMOUNT AS 158 MILLION IN AN ARTICLE ABOUT THE OFFER BOB WAGMAN A PARTNER AT PRICE WATERHOUSE IN LOS ANGELES SAID THAT IT'S CLEAR THAT MORE PEOPLE ARE BUYING HOME COMPUTERS AND THEREFORE MORE ARE BUYING PERSONAL FINANCE SOFTWARE IN SOME EDITIONS HIS COMMENT WAS MISTAKENLY ATTRIBUTED TO RICK J MARTIN OF CHICAGO CORP SPELLING ENTERTAINMENT GROUP INC NAMED BLOCKBUSTER ENTERTAINMENT CORP'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER H WAYNE HUIZENGA AS CHAIRMAN OF SPELLING AN ARTICLE MONDAY INCORRECTLY SAID THAT SPELLING HAD NAMED MR HUIZENGA AS CHAIRMAN AND CEO OF BLOCKBUSTER MOTOROLA INC'S EARNINGS IN THE YEAREARLIER FIRST QUARTER TOTALED 125 MILLION OR 47 CENTS A SHARE YESTERDAY'S TAPEWATCH INCORRECTLY LISTED THE PERSHARE EARNINGS AS 74 CENTS 9304140047 930414 BUSINESS BRIEF WILLAMETTE INDUSTRIES INC FIRSTQUARTER PROFIT ROSE 30 BEFORE ACCOUNTING GAINS ENJOYING A BONANZA FROM HIGH LUMBER PRICES WILLAMETTE INDUSTRIES INC SAID FIRSTQUARTER PROFIT ROSE 30 BEFORE SEVERAL ACCOUNTING ADJUSTMENTS ON A 13 RISE IN SALES BEFORE THE ADJUSTMENTS THE PORTLAND ORE FOREST PRODUCTS COMPANY EARNED 309 MILLION OR 56 CENTS A SHARE COMPARED WITH 237 MILLION OR 46 CENTS A SHARE A YEAR AGO THE ADJUSTMENT RELATED TO RETIREMENT BENEFITS AND INCOME TAXES PUSHED NET INCOME IN THE PERIOD TO 573 MILLION OR 104 A SHARE THE PREVIOUS YEAR'S RESULTS WERE NOT AFFECTED BY THE CHANGES SALES WERE 633 MILLION UP FROM 561 MILLION THE COMPANY SAID DEMAND FOR ITS PULP AND PAPER PRODUCTS REMAINS SOFT 9304140046 930414 WHO'S NEWS GM'S CHIEF EARNED 30 MORE IN 1992 BUT TRAILED THE CEOS OF FORD CHRYSLER BY OSCAR SURIS STAFF REPORTER OF THE WALL STREET JOURNAL DETROIT GENERAL MOTORS CORP PRESIDENT JOHN F SMITH JR WHO WAS INSTALLED AS CHIEF EXECUTIVE OFFICER IN NOVEMBER IN A BOARDROOM COUP SAW HIS TOTAL COMPENSATION RISE 30 LAST YEAR TO 748000 BUT HE WAS STILL THE LOWESTPAID AMONG THE BIG THREE CHIEF EXECUTIVES MR SMITH WILL EARN MORE THIS YEAR IN PART BECAUSE HIS BASE SALARY ROSE TO 1 MILLION A YEAR THE SAME AS HIS PREDECESSOR'S THE MAN WHO LED LAST FALL'S MANAGEMENT UPHEAVAL JOHN G SMALE IS RECEIVING AN ANNUAL SALARY OF 300000 AS GM'S NONEXECUTIVE CHAIRMAN MR SMALE ALSO EARNED 87500 LAST YEAR AS A CONSULTANT TO GM'S EXECUTIVE COMMITTEE BUT A TURNAROUND AT GM COULD BRING A WINDFALL TO THE COMPANY'S TOP OFFICERS INCLUDING MR SMITH IN COMING YEARS MR SMITH WAS AWARDED OPTIONS FOR 80000 SHARES OF GM STOCK LAST YEAR THAT THE COMPANY VALUED BETWEEN 19 MILLION AND 48 MILLION DEPENDING ON THE PRICE OF GM STOCK AT CERTAIN INTERVALS THE HIGHER VALUE QUOTED IN GM'S PROXY STATEMENT ASSUMES THAT GM STOCK HITS 9680 A SHARE BY THE YEAR 2002 GM'S STOCK ENDED AT 39625 UP 50 CENTS IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING YESTERDAY GM'S PROXY STATEMENT RELEASED YESTERDAY DIDN'T DISCLOSE DETAILS ABOUT FORMER GM CHAIRMAN AND CHIEF EXECUTIVE OFFICER ROBERT C STEMPEL'S COMPENSATION OR ANY COMPENSATION AGREEMENTS RELATED TO HIS RESIGNATION IN NOVEMBER UNDER PRESSURE FROM GM'S OUTSIDE DIRECTORS A GM SPOKESMAN SAID THE COMPANY ISN'T REQUIRED TO DISCLOSE MR STEMPEL'S RETIREMENT COMPENSATION SINCE HE IS NO LONGER A COMPANY OFFICER MR SMITH WHO TOOK OVER AS CEO AFTER MR STEMPEL'S RESIGNATION EARNED HIS COMPENSATION STRICTLY FROM SALARY ONLY TWO OF GM'S TOP FIVE OFFICERS RECEIVED BONUSES LAST YEAR GM SAID THOSE PAYOUTS WERE LINKED TO THE AUTO MAKER'S PROFITABLE OPERATIONS IN EUROPE AND BRAZIL MR SMITH'S COMPENSATION LAGS DRAMATICALLY BEHIND THAT OF HIS COUNTERPARTS AT FORD MOTOR CO AND CHRYSLER CORP FORD CHAIRMAN AND CHIEF EXECUTIVE OFFICER HAROLD A POLING EARNED 25 MILLION LAST YEAR WHILE CHRYSLER CHAIRMAN ROBERT J EATON EARNED 19 MILLION PAY FOR GM'S SENIOR OFFICERS WAS DEPRESSED IN PART BY THEIR RELUCTANCE TO CASH IN STOCK OPTIONS AT THE CURRENT LOW PRICES FOR GM COMMON SHARES ONLY WILLIAM E HOGLUND GM'S EXECUTIVE VICE PRESIDENT EXERCISED OPTIONS LAST YEAR ADDING 53313 TO HIS 1992 SALARY OF 592000 MR HOGLUND WAS NAMED GM'S CHIEF FINANCIAL OFFICER IN APRIL 1992 THEN LAST NOVEMBER HE MOVED TO A NEW POST AS EXECUTIVE VICE PRESIDENT AND EFFECTIVELY MR SMITH'S NO 2 MAN IN NORTH AMERICA MR HOGLUND ALSO JOINED THE AUTO MAKER'S BOARD IN 1992 GM REPORTED A RECORD 235 BILLION LOSS THAT WAS LARGELY DUE TO A ONETIME NONCASH CHARGE FOR RETIREE MEDICAL BENEFITS EXCLUDING ONETIME CHARGES GM EARNED 92 MILLION LAST YEAR BUT ITS CORE NORTH AMERICAN OPERATIONS LOST ABOUT 35 BILLION BEFORE A RECURRING CHARGE FOR RETIREE MEDICAL BENEFITS 9304140045 930414 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 1/8 HIGH 2 3/4 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 307 30 TO 149 DAYS 310 150 TO 179 DAYS 312 180 TO 239 DAYS 315 240 TO 270 DAYS COMMERCIAL PAPER HIGHGRADE UNSECURED NOTES SOLD THROUGH DEALERS BY MAJOR CORPORATIONS 314 30 DAYS 314 60 DAYS 316 90 DAYS CERTIFICATES OF DEPOSIT 262 ONE MONTH 265 TWO MONTHS 268 THREE MONTHS 279 SIX MONTHS 295 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 303 ONE MONTH 304 THREE MONTHS 308 SIX MONTHS BANKERS ACCEPTANCES 3 30 DAYS 3 60 DAYS 3 90 DAYS 301 120 DAYS 303 150 DAYS 304 180 DAYS NEGOTIABLE BANKBACKED BUSINESS CREDIT INSTRUMENTS TYPICALLY FINANCING AN IMPORT ORDER LONDON LATE EURODOLLARS3 3/16 3 1/16 ONE MONTH 3 3/16 3 1/16 TWO MONTHS 3 1/4 3 1/8 THREE MONTHS 3 1/4 3 1/8 FOUR MONTHS 3 5/16 3 3/16 FIVE MONTHS 3 5/16 3 3/16 SIX MONTHS LONDON INTERBANK OFFERED RATES LIBOR 3 3/16 ONE MONTH 3 1/4 THREE MONTHS 3 5/16 SIX MONTHS 3 9/16 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 9 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 APRIL 12 1993 AUCTION OF SHORTTERM US GOVERNMENT BILLS SOLD AT A DISCOUNT FROM FACE VALUE IN UNITS OF 10000 TO 1 MILLION 289 13 WEEKS 3 26 WEEKS FEDERAL HOME LOAN MORTGAGE CORP FREDDIE MAC POSTED YIELDS ON 30YEAR MORTGAGE COMMITMENTS DELIVERY WITHIN 30 DAYS 720 60 DAYS 730 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 720 60 DAYS 730 STANDARD CONVENTIONAL FIXEDRATE MORTGAGES 495 6/2 RATE CAPPED ONEYEAR ADJUSTABLERATE MORTGAGES SOURCE TELERATE SYSTEMS INC MERRILL LYNCH READY ASSETS TRUST 275 ANNUALIZED AVERAGE RATE OF RETURN AFTER EXPENSES FOR THE PAST 30 DAYS NOT A FORECAST OF FUTURE RETURNS 9304140044 930414 BUSINESS BRIEF ALLEGHENY LUDLUM CORP STEELMAKER'S 1STQUARTER NET MAY EXCEED EXPECTATIONS ALLEGHENY LUDLUM CORP SAID IT EXPECTS TO REPORT BETTERTHANANTICIPATED FIRSTQUARTER EARNINGS BECAUSE OF HIGHER SALES AND IMPROVED PRODUCTIVITY THE PITTSBURGHBASED SPECIALTY STEELMAKER SAID IT EXPECTS THAT EARNINGS ROSE ABOUT 50 FROM THE YEAREARLIER LEVEL OF 113 MILLION OR 34 CENTS A SHARE WHICH IT RESTATED TO REFLECT A 6CENTASHARE EXPENSE RELATED TO A NEW ACCOUNTING STANDARD FOR RETIREE BENEFITS ANALYSTS HAD BEEN EXPECTING A PROFIT OF ABOUT 43 CENTS A SHARE FOR THE 1993 FIRST QUARTER INCLUDING A ONETIME CHARGE OF 125 MILLION OR 380 A SHARE TO ADOPT THE NEW ACCOUNTING STANDARD ALLEGHENY LUDLUM WILL RESTATE ITS 1992 FIRST QUARTER AT A LOSS OF 1139 MILLION OR 346 A SHARE 9304140043 930414 BUSINESS BRIEF VF CORP COMPANY EXPECTS TO POST RISE IN FIRSTQUARTER PROFIT VF CORP IN KEEPING WITH ANALYSTS' ESTIMATES SAID IT EXPECTS TO REPORT A SIGNIFICANT JUMP IN SALES AND EARNINGS FOR ITS FIRST QUARTER ENDED APRIL 3 THE WYOMISSING PA APPAREL COMPANY EXPECTS TO REPORT THAT SALES AND EARNINGS EACH GREW 15 TO 20 IN THE 1992 FIRST QUARTER VF EARNED 437 MILLION OR 73 CENTS A SHARE ON SALES OF 8176 MILLION VF SHARES ROSE 2125 TO 51 IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING PERSHARE EARNINGS HOWEVER WERE UP ONLY 10 TO 15 REFLECTING A PUBLIC OFFERING OF SIX MILLION SHARES IN JANUARY VF EXPECTS TO REPORT FIRSTQUARTER RESULTS TUESDAY LAWRENCE PUGH CHAIRMAN PRESIDENT AND CHIEF EXECUTIVE OFFICER SAID THE COMPANY'S EARNINGS WERE DRIVEN BY THE GROWTH OF ITS DOMESTIC JEANS BRANDS VF'S JEANS BUSINESS WHICH CONTRIBUTES ABOUT HALF OF ITS REVENUE INCLUDES THE LEE WRANGLER RUSTLER AND GIRBAUD BRANDS PUGH SAID SALES OF JEANS ROSE 2 TO 3 IN THE LATEST QUARTER 9304140042 930414 SEARS IS NEGOTIATING TO SELL PART OF UNIT TO INVESTOR GROUP BY GREGORY A PATTERSON STAFF REPORTER OF THE WALL STREET JOURNAL SEARS ROEBUCK & CO IS NEGOTIATING TO SELL THE RESIDENTIAL REAL ESTATE PORTION OF ITS COLDWELL BANKER UNIT TO A GROUP OF INVESTORS THAT INCLUDES THE UNIT'S MANAGEMENT AND A COMPANY IN WHICH TEXAS INVESTOR ROBERT BASS HOLDS AN INTEREST BESIDES THE SEARS UNIT'S TOP EXECUTIVES THE INVESTOR GROUP IS MADE UP OF BAIN CAPITAL OF BOSTON AND ACADIA PARTNERS THE GROUP IN WHICH MR BASS HOLDS A STAKE SOURCES CLOSE TO THE NEGOTIATIONS SAID IT ISN'T CLEAR WHAT PRICE SEARS MIGHT FETCH FOR ITS ENTIRE COLDWELL BANKER GROUP WHICH INCLUDES SEARS MORTGAGE BANKING GROUP AND SEARS SAVINGS BANK IN ADDITION TO THE RESIDENTIAL REAL ESTATE OPERATION BUT ANALYSTS HAVE ESTIMATED IT WOULD BRING ABOUT 500 MILLION YESTERDAY ANALYSTS SAID THE IMPROVING REAL ESTATE MARKET AND A STRONG MARKET FOR MORTGAGE BANKING MAKES COLDWELL BANKER AN ATTRACTIVE HOLDING THE SEARS MORTGAGE BANKING GROUP AND SEARS SAVINGS BANK AREN'T PART OF THE CURRENT NEGOTIATIONS THE SOURCES SAID NEGOTIATIONS TO SELL THOSE UNITS HAVEN'T PROCEEDED AS FAR SPOKESMEN FOR SEARS ACADIA AND BAIN CAPITAL ALL DECLINED TO COMMENT ON THE TALKS THE NEGOTIATIONS COULD CONTINUE FOR A WEEK OR LONGER BEFORE ANY AGREEMENT IS REACHED THE SOURCES INDICATED THE BASS INVESTOR GROUP MADE THE MOST ATTRACTIVE OFFER IN A BIDDING PROCESS THAT INCLUDED SEVERAL OTHER CONCERNS COLDWELL BANKER'S FINANCIAL PERFORMANCE HAS BEEN STRONG AIDED BY THE STRENGTHENED REAL ESTATE MARKET AND COSTCUTTING THE COMPANY POSTED 1992 EARNINGS OF 672 MILLION UP FROM 264 MILLION IN 1991 THE COMPANY'S NETWORK OF MORE THAN 2000 OFFICES BOOSTED THEIR RESIDENTIAL HOME SALES BY 14 IN 1992 OUTPERFORMING THE 9 RISE IN RESIDENTIAL HOME SALES FOR ALL THE US SEARS'S EFFORT TO SELL ITS COLDWELL BANKER UNIT IS PART OF ITS OVERALL CORPORATE GOAL OF DIVESTING ITSELF OF MUCH OF ITS FINANCIAL SERVICES OPERATIONS SEARS IS SEEKING TO FOCUS ITS BUSINESS MORE CLOSELY ON ITS RETAIL STORES AND ALLSTATE INSURANCE UNIT THUS FAR SEARS HAS BEEN SUCCESSFUL WITH ITS DIVESTITURE ATTEMPTS IT RAISED 775 MILLION IN ITS INITIAL PUBLIC OFFERING FOR 20 OF ITS DEAN WITTER UNIT IN FEBRUARY SEARS PLANS TO SPIN OFF THE REMAINING PORTION OF DEAN WITTER TO ITS SHAREHOLDERS LATER THIS YEAR SEARS ALSO PLANS TO RAISE MORE THAN 2 BILLION IN ITS PLANNED OFFERING OF 20 OF ITS ALLSTATE UNIT 9304140041 930414 BUSINESS BRIEF LUKENS INC STEELMAKER REPORTS A LOSS FOR QUARTER DUE TO CHARGE LUKENS INC REPORTED A FIRSTQUARTER LOSS OF 597 MILLION OR 407 A SHARE AFTER A 659 MILLION CHARGE FOR ACCOUNTING CHANGES A YEAR EARLIER THE COATESVILLE PA SPECIALTY STEELMAKER HAD NET INCOME OF 52 MILLION OR 38 CENTS A SHARE EARNINGS BEFORE THE CHARGE WERE 62 MILLION OR 39 CENTS A SHARE A 19 INCREASE FROM A YEAR EARLIER LUKENS SAID SALES ROSE 84 TO 2571 MILLION FROM 1401 MILLION EXCLUDING RESULTS FOR WASHINGTON STAINLESS GROUP WHICH WAS ACQUIRED DURING LAST YEAR'S SECOND QUARTER SALES WERE 146 MILLION UP 45 RW VAN SANT CHAIRMAN AND CHIEF EXECUTIVE OFFICER SAID THE LUKENS STEEL AND WASHINGTON STAINLESS UNITS SHOULD SHOW IMPROVED CONTRIBUTIONS AS PRICE RISES ANNOUNCED IN JANUARY BEGIN TO BE REFLECTED IN SHIPMENTS ORDERS REMAIN AT PEAK LEVELS FOR BOTH CARBON AND STAINLESS STEELS HE SAID ADDING THAT BACKLOGS ARE BUILDING AND PRICES ARE FIRMING 9304140040 930414 INTERNATIONAL SEGA TIME WARNER TCI PLAN CABLEACCESS GAMES TOKYO GAME MAKER SEGA ENTERPRISES INC SAID IT WILL TEAM WITH CABLETELEVISION COMPANIES TIME WARNER ENTERTAINMENT CO AND TELECOMMUNICATIONS INC TO OFFER VIDEO GAMES THROUGH US CABLE TELEVISION SYSTEMS THIS SUMMER THE COMPANIES INTEND TO ESTABLISH A JOINT VENTURE TO RUN THE SYSTEM A SEGA SPOKESMAN SAID THE JOINT VENTURE MIGHT BE SET UP IN REDWOOD CITY CALIF IN THE HEADQUARTERS OF SEGA'S US SUBSIDIARY UNDER THE VIDEOGAME SYSTEM US SUBSCRIBERS OF TIME WARNER OR TCI CABLE SYSTEMS WILL BE ABLE TO DOWNLOAD GAME SOFTWARE INTO SEGA GENESIS GAME COMPUTERS EQUIPPED WITH A SPECIAL ADAPTOR THE COST IS EXPECTED TO BE AN ADDITIONAL 15 TO 20 A MONTH OVER NORMAL CABLE SUBSCRIPTION RATES SEGA SAID A SEGA SPOKESMAN SAID THE SYSTEM SHOULD BEGIN TEST MARKETING IN ABOUT 2000 HOUSEHOLDS THIS FALL WITH FULL SERVICE SET TO BEGIN IN EARLY 1994 BY THE END OF NEXT YEAR THE COMPANIES EXPECT TO HAVE ONE MILLION SUBSCRIBERS TO THE SEGA CHANNEL AND TWO MILLION BY THE END OF 1996 THE COMPANIES ESTIMATE 1994 REVENUES OF ABOUT 30 MILLION FROM THE JOINT VENTURE TIME WARNER ENTERTAINMENT A UNIT OF TIME WARNER INC AND TCI CABLE SYSTEMS NOW HAVE ABOUT 20 MILLION SUBSCRIBERS THE SEGA SPOKESMAN SAID SEGA HAS SOLD 75 MILLION 16BIT GENESIS MACHINES IN THE US 9304140039 930413 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 9304140037 930414 HEALTH CARE REIT PLACES NOTES TOLEDO OHIO HEALTH CARE REIT INC SAID IT COMPLETED THE PRIVATE PLACEMENT OF 52 MILLION OF SENIOR NOTES THE REAL ESTATE INVESTMENT TRUST SAID IT USED THE PROCEEDS OF THE PRIVATE PLACEMENT TO REDUCE ITS LINES OF CREDIT HEALTH CARE REIT SAID THE ACTION WILL HELP IT TO FINANCE ITS HEALTH CARE FACILITIES OR THE ACQUISITION OF NEW ONES KEMPER SECURITIES INC SERVED AS THE COMPANY'S AGENT REGARDING THE FINANCING IT SAID 9304140036 930414 WHO'S NEWS DONALD CLARK TO RETAIN POSTS AT HOUSEHOLD AS CHAIRMAN AND CHIEF PROSPECT HEIGHTS ILL HOUSEHOLD INTERNATIONAL SAID DONALD C CLARK ITS CHAIRMAN AND CHIEF EXECUTIVE OFFICER WILL RETAIN THESE POSITIONS FOR UP TO THREE YEARS FOLLOWING THE DEATH THIS MONTH OF EDWIN P HOFFMAN PRESIDENT AND CHIEF OPERATING OFFICER EARLIER THIS YEAR HOUSEHOLD ANNOUNCED PLANS TO PROMOTE MR HOFFMAN TO CHIEF EXECUTIVE OFFICER IN MAY SUCCEEDING MR CLARK WHO WOULD REMAIN CHAIRMAN THE FINANCIAL SERVICES COMPANY SAID MR CLARK REQUESTED THE MOVE TO PROVIDE FOR AN ORDERLY CHANGE IN THE TOP EXECUTIVE POST IN ABOUT THREE YEARS MR CLARK WILL TURN 65 THE MANDATORY RETIREMENT AGE FOR THE COMPANY'S CHIEF EXECUTIVE HOUSEHOLD ALSO SAID IT ESTABLISHED AN OFFICE OF THE PRESIDENT COMPRISED OF THE THREE GROUP EXECUTIVES WHO CURRENTLY HEAD ITS CORE FINANCE AND BANKING OPERATIONS THEY ARE ROBERT F ELLIOTT JOSEPH W SAUNDER AND ANTONIA SHUSTA 9304140035 930414 LETTERS TO THE EDITOR DACHAU LIBERATORS IN HIS MARCH 26 LETTER TO THE EDITOR WILLIAM J HOPWOOD EAST COAST COORDINATOR AMERICANS FOR HISTORICAL ACCURACY SAYS DACHAU WAS LIBERATED BY A UNIT OF THE 45TH INFANTRY DIVISION ACTUALLY IT WAS THE 42ND RAINBOW INFANTRY DIVISION THAT LIBERATED DACHAU AN EVENT THAT WAS COMMEMORATED ABOUT A YEAR AGO BY THE ERECTION AT THE SITE OF A MEMORIAL TO THE RAINBOW DIVISION 9304140034 930414 LETTERS TO THE EDITOR TOWN AND COUNTRY IN REGARD TO RUTH W MESSINGER'S APRIL 1 LETTER TO THE EDITOR COMPLAINING ABOUT MY MARCH 12 EDITORIALPAGE ARTICLE A MODEL FOR DESTROYING A CITY MS MESSINGER IS CORRECT THAT I MISSTATED HER TITLE SHE IS MANHATTAN BOROUGH PRESIDENT NOT PRESIDENT OF THE CITY COUNCIL ON THE MATTER OF BENEFITING FROM RENT CONTROL HOWEVER SHE IS LESS FORTHCOMING ALTHOUGH SHE HAS NEVER HAD PERSONAL TITLE TO A RENT CONTROLLED APARTMENT SHE DID GROW UP IN A RENT CONTROLLED APARTMENT ON CENTRAL PARK WEST HER FAMILY WHICH STILL LIVES IN THE APARTMENT ALSO LISTS THEIR WESTPORT CONN HOME IN THE MANHATTAN PHONE DIRECTORY LIKE SO MANY AFFLUENT BENEFICIARIES OF RENT CONTROL THEY RENT IN THE CITY AND OWN IN THE COUNTRY 9304140033 930414 PEPPERAND SALT LIKE A PHD A SUNNY DISPOSITION SOUND ADVICE CAN OFTEN BE 99 PERCENT SOUND AND ONE PERCENT ADVICE 9304140032 930414 AMETECH TO ACQUIRE RECYCLING OPERATIONS OF ETICAMAMERICA OKLAHOMA CITY AMETECH INC SAID IT SIGNED A LETTER OF INTENT TO ACQUIRE CERTAIN ASSETS FROM ETICAMAMERICA INC FOR 18 MILLION SHARES OF COMMON STOCK OF AMETECH BASED ON YESTERDAY'S CLOSING PRICE OF 10625 UP NEARLY 19 CENTS IN NATIONAL OVERTHECOUNTER TRADING THE TRANSACTION HAS AN INDICATED VALUE OF ABOUT 191 MILLION UNDER TERMS OF THE AGREEMENT AMETECH WILL ACQUIRE ETICAM'S RECYCLING OPERATION IN FERNLEY NEV AND PERMITS AND RIGHTS RELATED TO RECYCLING PROJECTS IN GRANITE CITY ILL AND TEMPLE TEXAS ALSO AMETECH WILL MANAGE ETICAM'S RESOURCE RECOVERY OPERATION IN WARWICK RI UNDER A RENEWABLE ONEYEAR CONTRACT THAT WILL INCLUDE AN OPTION TO PURCHASE THE FACILITY'S ASSETS THE FERNLEY AND WARWICK PLANTS RECYCLE BYPRODUCTS FROM THE METAL AND ELECTRONIC INDUSTRIES AMETECH WHOSE BUSINESS HAS FOCUSED PRIMARILY ON THE TRANSPORTATION OF HAZARDOUS WASTE SAID THE TRANSACTION IF COMPLETED WOULD MOVE IT TOWARD BECOMING A FULLSERVICE ENVIRONMENTAL COMPANY THE COMPANY ALSO SAID THAT HAMBRO RESOURCE DEVELOPMENT INC A NEW YORK INVESTMENT COMPANY SPECIALIZING IN ENVIRONMENTAL FINANCE HAS BEEN RETAINED TO RAISE 7 MILLION THROUGH THE SALE OF AMETECH STOCK THE FUNDS WOULD BE USED TO UPGRADE THE FERNLEY AND WARWICK PLANTS AND FOR GENERAL CORPORATE PURPOSES THE COMPANY SAID THE PROPOSED ACQUISITION IS SUBJECT TO THE COMPLETION OF DEFINITIVE AGREEMENTS AND THE 7 MILLION EQUITY OFFERING APPROVALS BY ETICAM'S SECURED DEBT HOLDERS THE DIRECTORS AND SHAREHOLDERS OF BOTH COMPANIES AND REGULATORY AUTHORITIES ARE ALSO REQUIRED 9304140031 930414 INTERNATIONAL BRIEF ISTITUTO PER LA RICOSTRUZIONE ACCORD IS REACHED IN STRIKE AT ITALIAN FOOD COMPANY STRIKING WORKERS AT ITALIAN STATEOWNED FOOD COMPANY SOCIETA MERIDIONALE FINANZIARIA SPA KNOWN AS SME REACHED AN AGREEMENT WITH MANAGEMENT OVER THE MILAN COMPANY'S PLANNED PRIVATIZATION ITALIAN NEWS AGENCY ANSA REPORTED ANSA DID NOT PROVIDE DETAILS THE AGREEMENT IS LIKELY TO UNBLOCK PLANS BY SME'S PARENT COMPANY GIANT STATE INDUSTRIAL HOLDING ISTITUTO PER LA RICOSTRUZIONE INDUSTRIALE OR IRI TO SELL IT WORKERS HAD ASKED FOR ASSURANCES THAT SME'S PLANNED PRIVATIZATION WOULDN'T RESULT IN JOB LOSSES FOR MORE THAN THREE YEARS WORKERS HAVE OCCUPIED SME'S NAPLES HEADQUARTERS SINCE JAN 25 TO PROTEST PLANS BY IRI TO SPLIT THE GROUP INTO THREE PARTS AND SELL IT 9304140030 930414 BOSTON FIVE TO BE ACQUIRED BY UNIT OF SCOTTISH BANK BOSTON BOSTON FIVE BANCORP SAID IT AGREED TO BE ACQUIRED BY A RHODE ISLANDBASED UNIT OF ROYAL BANK OF SCOTLAND GROUP PLC FOR 95 MILLION OR 13 A SHARE UNDER THE AGREEMENT BOSTON FIVE WILL BECOME A PART OF CITIZENS FINANCIAL GROUP INC PROVIDENCE WHICH HAS 46 BILLION IN ASSETS BOSTON FIVE WHICH HAS 25 RETAIL BANKING OFFICES HAS 17 BILLION IN ASSETS IF THE AGREEMENT ISN'T CLOSED BY OCT 11 THE PRICE IS SUBJECT TO AN INCREASE IN CONNECTION WITH THE AGREEMENT BOSTON FIVE SAID IT GRANTED CITIZENS THE RIGHT TO ACQUIRE 15 OF THE SHARES OUTSTANDING AT 13 EACH 9304140029 930414 NEW HAMPSHIRE ALTERS TAX PLAN FOR SEABROOK AVERTING COURT FIGHT CONCORD NH THE STATE OF NEW HAMPSHIRE REVISED A PLAN FOR TAXING NORTHEAST UTILITIES' SEABROOK NH NUCLEAR POWER PLANT SETTLING A DISPUTE WITH OTHER NEW ENGLAND STATES THAT WAS HEADED FOR THE US SUPREME COURT CONNECTICUT MASSACHUSETTS AND RHODE ISLAND WHOSE ELECTRIC CUSTOMERS ALL BUY SOME POWER FROM SEABROOK HAD FILED A LAWSUIT AGAINST NEW HAMPSHIRE THAT THE SUPREME COURT HAD AGREED TO CONSIDER THE STATES SAID NEW HAMPSHIRE HAD IMPOSED A PROPERTY TAX ON SEABROOK THAT WOULD ADD MILLIONS OF DOLLARS TO THEIR RESIDENTS' ELECTRIC BILLS WHILE NEW HAMPSHIRE RESIDENTS WOULDN'T BE AFFECTED BECAUSE OF VARIOUS OFFSETTING TAX CREDITS AND REFUNDS THE CASE WAS SCHEDULED FOR HEARING THIS MONTH THE SETTLEMENT WHICH WAS ANNOUNCED AND APPROVED YESTERDAY BY THE NEW HAMPSHIRE HOUSE INVOLVES AMENDING THE TAX IT REPEALS A CREDIT UTILITIES RECEIVED AGAINST THEIR BUSINESS PROFITS TAX AND REIMPOSES A FRANCHISE TAX ON RETAIL ELECTRIC SALES IN NEW HAMPSHIRE IT REFUNDS NUCLEAR PROPERTY TAX REVENUE EQUALLING ABOUT HALF THE 34 MILLION UTILITIES HAVE PAID IN THE PAST TWO YEARS BY LETTING THEM CUT THEIR PAYMENTS IN THE NEXT TWO YEARS AND IT CUTS THE NUCLEAR TAX FROM 064 LAST YEAR TO 0491 THIS YEAR AND NEXT YEAR AND TO 025 IN 1995 UNDER THE AMENDED PLAN THE STATE OF NEW HAMPSHIRE EXPECTS TO COLLECT TAXES TOTALING 205 MILLION ANNUALLY DOWN FROM 235 MILLION PREVIOUSLY PUBLIC SERVICE OF NEW HAMPSHIRE A UNIT OF NORTHEAST UTILITIES HARTFORD CONN IS THE LARGEST ELECTRIC UTILITY IN NEW HAMPSHIRE PUBLIC SERVICE DECLINED TO COMMENT ON WHAT THE EFFECT WILL BE ON RATES IT SAID IT IS IN DISCUSSION WITH THE STATE ON THE EFFECT OF THE AGREEMENT 9304140028 930414 WHO'S NEWS JACKPOT'S ROSENSTEIN WILL RETIRE AS CHIEF 3RDPERIOD NET ROSE MR ROSENSTEIN 67 YEARS OLD WILL REMAIN CHAIRMAN OF THE COMPANY THE OPERATOR OF GAMBLING MACHINES SAID IT EXPECTS THIRDQUARTER NET TO BE ABOUT 15 MILLION OR ABOUT 20 CENTS A SHARE COMPARED WITH 850000 OR 15 CENTS A SHARE A YEAR EARLIER IT EXPECTS TO REPORT THIRDQUARTER REVENUE OF ABOUT 215 MILLION COMPARED WITH 161 MILLION THE COMPANY'S BOARD HAS BEGUN A SEARCH FOR A NEW CHIEF EXECUTIVE WHICH IT EXPECTS TO COMPLETE IN A FEW WEEKS JACKPOT ALSO SAID THAT ITS JACKPOT LOUISIANA UNIT FILED AN APPLICATION TO OPERATE THE LOUISIANA LADY A PADDLEWHEEL RIVERBOAT CASINO THE COMPANY ALSO HAS PLANS FOR A WATER PARK AND A 300ROOM HOTEL THE COMPANY FILED APPLICATIONS WITH THE NEVADA GAMING CONTROL BOARD TO OPERATE AN ADDITIONAL 180 GAMING MACHINES AT 11 STORE LOCATIONS IN CONNECTION WITH AN AGREEMENT WITH A CHAINSTORE CUSTOMER IF APPROVED THE OPERATION OF THE ADDITIONAL MACHINES WILL BECOME EFFECTIVE JULY 1 LAST MONTH JACKPOT CALLED ITS REMAINING DEBENTURES OUTSTANDING SUBSEQUENT TO A PARTIAL CALL ANNOUNCED IN JANUARY AS A RESULT OF THE CALLS AND OTHER DEBENTURE CONVERSIONS ALL 285 MILLION OF THE PRINCIPAL AMOUNT OF THE DEBENTURES OUTSTANDING AT DEC 31 1992 WERE FULLY SATISFIED AND ABOUT 21 MILLION COMMON SHARES WERE ISSUED THE COMPANY SAID JACKPOT WHICH HAD 59 MILLION COMMON SHARES OUTSTANDING DEC 31 1992 NOW HAS 82 MILLION COMMON SHARES 9304140027 930414 TOUGHER BOATING RULES ARE SOUGHT BY FEDERAL PANEL BY BRUCE INGERSOLL STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON THE NATIONAL TRANSPORTATION SAFETY BOARD CALLED FOR TOUGHER BOATINGSAFETY REGULATIONS INCLUDING MANDATORY ALCOHOL TESTING TO KEEP DRUNKS AND DAREDEVILS FROM ENDANGERING THEMSELVES AND 70 MILLION OTHER RECREATIONAL BOATERS THE BOARD CONCERNED ABOUT A 1991 JUMP IN BOATING FATALITIES URGED STATE OFFICIALS TO CONSIDER REQUIRING CHILDREN TO WEAR LIFE JACKETS AND TO CONSIDER ADOPTING LICENSING PROGRAMS THAT WOULD REQUIRE ALL BOAT OPERATORS TO PASS A SAFEBOATING TEST THE THRUST OF THE FIVEMEMBER PANEL'S RECOMMENDATIONS ADOPTED UNANIMOUSLY IS THAT MORE GOVERNMENT REGULATION IS NEEDED IN AN ERA OF JET SKIS 100MILEPERHOUR BOATS AND BOOZING WHILE CRUISING SAID BOARD MEMBER JOHN LAUBER WE HAVE A BIG PROBLEM WITH ALCOHOL IN BOATING THE PROBLEM CAPTURED NATIONAL ATTENTION LAST MONTH WHEN TWO CLEVELAND INDIANS PITCHERS WERE KILLED AND A THIRD INJURED IN A HIGHSPEED BOATING ACCIDENT IN FLORIDA THE BOAT OPERATOR TIM CREWS WAS FOUND TO BE LEGALLY INTOXICATED ALL BUT THE LICENSING RECOMMENDATION WHICH IS STRONGLY OPPOSED BY THE 54 BILLION RECREATIONAL BOATING INDUSTRY ARE LIKELY TO BE EMBRACED IN SOME FORM ACCORDING TO STATE AND INDUSTRY OFFICIALS CURRENTLY 38 STATES AND THE DISTRICT OF COLUMBIA DON'T REQUIRE ALCOHOL TESTING OF OPERATORS INVOLVED IN FATAL BOATING ACCIDENTS I DON'T THINK THERE WILL BE MUCH OPPOSITION TO MANDATORY TESTING SAYS JAMES FRENCH PRESIDENT OF THE NATIONAL ASSOCIATION OF STATE BOATING LAW ADMINISTRATORS THE BENEFITS WOULD OUTWEIGH ANY NEGATIVE REACTION TO TESTING HE ALSO BELIEVES STATE LEGISLATORS WILL BE INCLINED TO HEED THE BOARD'S CALL FOR MANDATORY USE OF LIFE JACKETS AND OTHER FLOTATION DEVICES BY CHILDREN 9304140026 930414 WHO'S NEWS TRAMMELL CROW REIT PLANS TO TERMINATE TRUST ADVISORY PACT DALLAS TRAMMELL CROW REAL ESTATE INVESTORS SAID IT PLANS TO TERMINATE ITS TRUST ADVISORY AGREEMENT WITH TRAMMELL CROW VENTURES LTD AND INTERNALIZE MANAGEMENT THE PUBLICLY TRADED REAL ESTATE INVESTMENT TRUST SAID IT HIRED CHARLES WOLCOTT TO ASSIST TRUST MANAGERS IN COMPLETING THE MANAGEMENT CHANGE MR WOLCOTT IS A FORMER VICE PRESIDENT CHIEF FINANCIAL AND OPERATING OFFICER OF THE TRUST AS A RESULT PHILIP W NORWOOD THE CHAIRMAN OF TRAMMELL CROW VENTURES SAID HE WILL RESIGN AS ONE OF THE REIT'S THREE TRUST MANAGERS EFFECTIVE IMMEDIATELY MR NORWOOD WHO WAS PRESIDENT OF THE TRUST FROM FEBRUARY 1985 TO SEPTEMBER 1991 HAD BEEN A TRUST MANAGER SINCE 1992 ACCORDING TO THE PROXY STATEMENT FOR THE ANNUAL SHAREHOLDERS MEETING THE COMPANIES INVOLVED ARE RELATED TO THE REAL ESTATE EMPIRE OF DALLAS DEVELOPER TRAMMELL CROW THE TRUST ACQUIRED ITS REAL ESTATE PROPERTIES FROM ENTITIES RELATED TO TRAMMELL CROW CO THE DEVELOPER'S CLOSELY HELD REAL ESTATE SERVICES COMPANY TRAMMELL CROW VENTURES IS AN AFFILIATE OF TRAMMELL CROW CO ENGAGED IN REAL ESTATE INVESTMENT MANAGEMENT MR NORWOOD SAID THAT IN TERMINATING THE ADVISORY AGREEMENT THE TRUST'S TWO INDEPENDENT MANAGERS WERE RESPONDING TO AN INDUSTRY TREND TOWARD SELFADMINISTRATION OF REAL ESTATE INVESTMENT TRUSTS MR WOLCOTT WHO SAID THE CHANGE SHOULD LEAD TO GREATER GROWTH OPPORTUNITIES WILL HELP BUILD THE INTERNAL MANAGEMENT ORGANIZATION HE SAID HE EXPECTS TO BECOME PART OF THAT MANAGEMENT THE TRUST SAID THE SHAREHOLDERS MEETING SCHEDULED FOR MAY 4 WILL BE POSTPONED UNTIL NEW PROXY MATERIAL CAN BE DISTRIBUTED 9304140025 930414 FRENCH CONSUMER PRICE INDEX UP PARIS FRANCE'S CONSUMER PRICE INDEX ROSE 05 IN MARCH AFTER A 04 INCREASE IN FEBRUARY ACCORDING TO PROVISIONAL DATA RELEASED BY THE NATIONAL INSTITUTE OF STATISTICS AND ECONOMIC STUDIES THE YEARONYEAR RISE WAS 22 AFTER A 21 INCREASE IN FEBRUARY CONSUMER PRICES HAVE RISEN 12 SINCE JANUARY THE AGENCY SAID THE MARCH INCREASE SUBSTANTIALLY EXCEEDED THE 03 RISE ANTICIPATED ACCORDING TO AN AVERAGE OF MARKET ANALYSTS' ESTIMATES 9304140024 930414 WORLD STOCK MARKETS NIKKEI INDEX JUMPS 43 TO TOP 20000 BY QUENTIN HARDY STAFF REPORTER OF THE WALL STREET JOURNAL TOKYO A MASSIVE NEW JAPANESE GOVERNMENT SPENDING PACKAGE TOUCHED OFF A POWERFUL RALLY IN THE TOKYO STOCK MARKET DRIVING THE NIKKEI STOCK AVERAGE UP 43 TO CLOSE ABOVE 20000 FOR THE FIRST TIME IN MORE THAN A YEAR TRADERS SAID TUESDAY'S BUYING CAME MOSTLY FROM JAPANESE INSTITUTIONS AND INDIVIDUALS WHO POURED MONEY INTO THE TOKYO MARKET IN REACTION TO A 132 TRILLION YEN 1164 BILLION GOVERNMENT FISCAL STIMULUS PACKAGE UNVEILED THE SAME DAY JAPANESE INVESTORS HAVE HELD BACK DURING MUCH OF THE CURRENT RALLY IN JAPANESE STOCKS THE NIKKEI HAS GAINED 24 SINCE MARCH 5 CHIEFLY BECAUSE OF BUYING BY FOREIGN INVESTORS TUESDAY'S INFLUX OF NEW DOMESTIC BUYERS MARKED A VOTE OF CONFIDENCE IN THE JAPANESE GOVERNMENT'S SPENDING PLAN IT MAKES SOME ANALYSTS THINK THE TOKYO STOCK RALLY WILL CONTINUE OTHER ANALYSTS SAY THEY BELIEVE THAT WHEN THE NIKKEI NEARS 21500 LESS THAN 4 AWAY ANXIOUS INVESTORS WILL CASH OUT AND PRICES WILL SLIP THE NIKKEI CLOSED TUESDAY AT 2074029 UP 85815 POINTS OR 43 ON WEDNESDAY IN TOKYO THE NIKKEI INDEX EASED 141 POINTS TO CLOSE THE MORNING SESSION AT 2073888 TUESDAY'S VOLUME WAS ESTIMATED AT 750 MILLION SHARES MORE THAN TWICE THE 33667 MILLION SHARES TRADED MONDAY GAINERS OVERWHELMED LOSERS 1055 TO 65 THE TOKYO STOCK PRICE INDEX OR TOPIX OF ALL FIRSTSECTION ISSUES SURGED 5335 POINTS OR 34 TO 160876 INVESTORS FOCUSED ON THE REAL SPENDING HIDDEN INSIDE THE FISCAL PACKAGE AND LIKED WHAT THEY FOUND THEY EXPECTED FOUR TRILLION YEN OR FIVE TRILLION YEN OF NEW MONEY WITH THE REST OF THE PACKAGE'S VALUE DERIVING FROM THE BENEFITS OF POLICY CHANGES AND HIGHER DEMAND PROJECTIONS BUT MOST TRADERS ESTIMATED THAT THE 132 TRILLIONYEN PACKAGE HELD MORE THAN FIVE TRILLION YEN IN TRUE SPENDING IT LOOKS LIKE SIX TRILLION YEN OR MORE IN REAL SPENDING SAID YASUFUMI OHIGASHI DEPUTY GENERAL MANAGER OF THE EQUITY DEPARTMENT AT NOMURA SECURITIES CO THAT'S QUITE POSITIVE FOR THE ECONOMY HE SAYS THE NIKKEI COULD RISE IN COMING DAYS TO AS HIGH AS 22000 BEFORE IT NEEDS A REST THE NEW PUBLIC SPENDING IMPROVES THE EARNINGS PROSPECTS OF MANY JAPANESE COMPANIES WHICH CAN EXPECT GOVERNMENT ORDERS FOR THEIR GOODS AND SERVICES THE BRIGHTER CORPORATE OUTLOOK BROUGHT JAPANESE INSTITUTIONS TO THE STOCK MARKET TUESDAY WHILE FOREIGNERS WERE SLOW TO RETURN FROM THE EASTER HOLIDAYS WE DID ALL RIGHT WITHOUT FOREIGN INVESTORS TODAY MR OHIGASHI SAID THAT'S GOOD FOR THE MARKET THE PACE OF CORPORATE EARNINGS RECOVERY WILL BE FASTER THAN OVERALL ECONOMIC RECOVERY SAID HIDEO KATO MANAGER OF FINANCE AND INVESTMENT PLANNING AT SUMITOMO LIFE INSURANCE CO WHICH HAS FIVE TRILLION YEN IN JAPANESE STOCKS THAT EARNINGS RECOVERY HE SAID IS DRAWING HIS COMPANY BACK INTO THE MARKET AFTER A YEAR OF SHUNNING STOCKS WE AREN'T RUSHING IN HE SAID BUT WE'VE CHANGED OUR ATTITUDE FROM LAST YEAR HE SAID THE NIKKEI INDEX WOULD LIKELY REACH 25000 THIS YEAR THE TOKYO MARKET ALSO GOT A BOOST FROM REPORTS THAT GOVERNMENT FUNDS WOULD AGAIN BE SPENT TO BUY STOCKS DURING THE NEXT FEW MONTHS GOVERNMENT STOCK BUYING WAS A KEY SOURCE OF SUPPORT FOR THE MARKET IN THE FIRST QUARTER THE NEW BULLISHNESS AT JAPANESE INSTITUTIONS MAY SUPPORT THE NIKKEI AT 21500 MANY ANALYSTS SAY THAT LEVEL IS IN LINE WITH THE FUNDAMENTAL ECONOMIC HEALTH OF JAPANESE COMPANIES GIVEN THE IMPROVED EARNINGS OUTLOOK BUT THE 21500 LEVEL IS ALSO ABOUT WHERE MANY JAPANESE AND FOREIGN INVESTORS BOUGHT STOCKS DURING JAPAN'S BEAR MARKET RALLY IN EARLY 1991 THOSE INVESTORS WHO HAVE SINCE WATCHED THEIR JAPANESE STOCKS LANGUISH FOR TWO YEARS MAY WELL DECIDE TO CASH OUT OF THE MARKET ONCE THEY BREAK EVEN JAPANESE BROKERS WHO HAVE BEEN BUYING SHARES LATELY WITH THE AIM OF RESELLING THEM MAY ALSO DUMP STOCKS IN THE COMING WEEKS IF INVESTORS LOSE THEIR ENTHUSIASM FOR THE MARKET JEFF BAHRENBURG JAPAN EQUITY STRATEGIST AT MERRILL LYNCH JAPAN INC SAID THE NIKKEI AT 21500 IS FAIR VALUE ON THE EARNINGS RECOVERY ABOVE THAT I MIGHT GET A LITTLE WORRIED MR BAHRENBURG SAID THE NIKKEI COULD FALL TO 18000 IN COMING MONTHS IF ECONOMIC INDICATORS TURN NEGATIVE BUT ADDED THAT MANY INVESTORS WOULD SEE THAT LOWER LEVEL AS A BUYING OPPORTUNITY THE HIGHER IT GOES THE HARDER IT IS FOR JAPANESE INSTITUTIONS TO RESTRAIN THEMSELVES HE SAID THE MARKET'S GETTING A LITTLE EXCITED WE'LL SEE A CORRECTION BUT NOT A DEEP CORRECTION NEWLY BULLISH JAPANESE INVESTORS APPARENTLY BELIEVE THE STRENGTHENING YEN WON'T SIGNIFICANTLY HURT THE PERFORMANCE OF JAPANESE EXPORTERS THE EXPORTERS ARE EXPECTED TO USE THE STRONG YEN TO BEEF UP THEIR OVERSEAS OPERATIONS THE STOCK OF ELECTRONICS EXPORTER SONY CORP GAINED 200 YEN TO CLOSE AT 5000 YEN A SHARE MATSUSHITA ELECTRIC INDUSTRIAL CO WAS UP 80 YEN TO 1400 YEN MEANWHILE A DECISION BY JAPAN'S CONSTRUCTION MINISTRY TO CUT ITS BASE RATE ON HOUSING LOANS TO 41 FROM 43 BOOSTED THE PRICES OF MANY JAPANESE HOUSING STOCKS DAIWA HOUSE INDUSTRY CO WHICH ALSO BENEFITED FROM NEWS OF A COMPANY RESTRUCTURING GAINED 90 YEN TO 1680 YEN AS EUROPEAN BOURSES OPENED AFTER A LONG EASTER WEEKEND LONDON STOCKS TUESDAY ENDED A SIXSESSION LOSING STREAK FRANKFURT SHARES FINISHED HIGHER THOUGH OFF INTRADAY PEAKS IN LIGHT TRADING IN LONDON PROPELLED BY STRONG PERFORMANCES IN OTHER MARKETS AND BY STRONG DOMESTIC FACTORS THE FINANCIAL TIMESSTOCK EXCHANGE 100SHARE INDEX GAINED 250 POINTS TO 28468 THE FT 30STOCK INDEX CLIMBED 155 POINTS TO 21963 VOLUME WAS 4195 MILLION SHARES COMPARED WITH 4515 MILLION SHARES IN THE PREVIOUS SESSION THE STAGE WAS SET FOR A RISE BY SURGES MONDAY ON WALL STREET AND TUESDAY IN TOKYO AS WELL AS A CUT IN ONE OF FRANCE'S KEY INTEREST RATES THAT REDUCTION REVIVED HOPES IN LONDON OF RATE CUTS IN CONTINENTAL EUROPE AND STERLING GAINED GROUND AGAINST THE GERMAN MARK SOME INVESTORS STILL BELIEVE A GERMAN INTERESTRATE CUT WOULDN'T BE IMMEDIATELY FOLLOWED BY A SIMILAR MOVE IN BRITAIN BUT OTHERS BOUGHT STOCKS YESTERDAY ON THE BELIEF STERLING WILL HOLD ITS OWN AGAINST THE MARK AND ALLOW THE BANK OF ENGLAND TO LOWER RATES MOREOVER THE SOCALLED APRIL FACTOR BASED ON STOCKS' HISTORICAL GAINS IN THAT MONTH ATTRACTED INSTITUTIONAL INVESTORS WHO HOPED HISTORY WOULD REPEAT ITSELF ONCE MORE WITH MANY CORPORATE DIVIDENDS TO BE PAID IN MAY FUND MANAGERS WERE BUYING IN ANTICIPATION OF THE CASH IN FRANKFURT THE DAX 30STOCK INDEX ENDED AT 167105 UP 1532 POINTS FROM LAST THURSDAY WITH 23 SHARES ADVANCING AND FOUR RETREATING MOST FRANKFURT TURNOVER WAS LINKED TO FLOOR TRADERS AND SHORTTERM INVESTORS AS MANY INSTITUTIONS AND OTHERS STAYED OUT OF THE MARKET THE DAX RALLIED EARLY IN THE DAY REACHING A TRADING HIGH OF 167616 ON STRENGTH IN THE AUTO SECTOR AND ON THE FRENCH CENTRAL BANK'S REDUCTION OF AN INTEREST RATE WHICH FUELED HOPES THAT GERMANY MAY FOLLOW SUIT WITH A RATE CUT FRANKFURT BLUE CHIPS ALSO WERE SUPPORTED BY BUYING AHEAD OF FRIDAY'S EXPIRATION OF OPTIONS OF THE 15 BIGGEST SHARES ON THE EXCHANGE AN EASING IN RUSSIAN POLITICAL TENSIONS GAVE GERMAN SHARES A LIFT THE DAX EASED LATER PARTLY BECAUSE THE DOLLAR'S WEAKNESS IN CURRENCY MARKETS UNDERMINED SUPPORT FOR FRANKFURT EXPORT SHARES PARIS STOCKS RALLIED 16 ON THE LONGAWAITED INTEREST RATE CUT THOUGH FRANCE'S REDUCTION TO 10 FROM 12 IN THE SECURITIES REPURCHASE RATE WAS EXPECTED THE MARKET VIEWED IT AS AN ENCOURAGING SIGN THAT THE NEW CENTERRIGHT GOVERNMENT WILL MAKE GOOD ON ITS PROMISES TO SPUR THE FLAGGING FRENCH ECONOMY AMSTERDAM STOCKS FIRMED ON TOKYO'S RALLY AND OTHER EUROPEAN BOURSES' GAINS DESPITE DECLINES FOR THE DOLLAR DURING THE FOURDAY EASTER WEEKEND IN MILAN POSITIONSQUARING AHEAD OF TECHNICAL DEADLINES ERODED EARLY GAINS FROM OPTIMISM ABOUT ITALY'S ECONOMY AND LEFT PRICES MIXED INITIAL EUPHORIA WAS SPURRED BY THE LIRA'S IMPROVED PERFORMANCE IN FOREIGN EXCHANGE MARKETS ZURICH SHARES FELL AFTER AN EARLY RALLY CRUMBLED AS EXPORTORIENTED ISSUES WERE HURT BY THE STRENGTHENING SWISS FRANC IN SYDNEY SHARE PRICES JUMPED ON GAINS IN OTHER STOCK MARKETS AND IN THE AUSTRALIAN DOLLAR AND BOND PRICES HONG KONG SHARES JUMPED THOUGH THE MARKET LACKED FRESH DEVELOPMENTS AND PARTICIPANTS WERE PUZZLED BY STOCKS' STRENGTH SINGAPORE EQUITY PRICES FINISHED MIXED ON PROFITTAKING WITH BLUE CHIPS FALLING SHARPLY IN TAIPEI SHARES SLUMPED BROADLY WITH THE WORST LOSSES POSTED BY PLASTIC AND CONSTRUCTION ISSUES THE DRUBBING WAS BLAMED ON WORRIES ABOUT POTENTIAL US TRADE RETALIATION AND NEWS THAT PARTS OF 20 PETROCHEMICAL PLANTS IN TAIWAN WERE CLOSED BECAUSE OF GROUNDWATER PROBLEMS SEOUL STOCKS SLIPPED AS CAUTION TOOK HOLD FOLLOWING RECENT SHARP GAINS 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 9304140023 930414 ANOTHER BEIRUT' ANOTHER CHANCE BY LINCOLN P BLOOMFIELD JR NATO FORCES HAVE FINALLY BEEN ENLISTED TO ENFORCE THE NOFLY ZONE OVER BOSNIA MUCH OF THE AMERICAN RETICENCE TO DATE OVER THE USE OF FORCE HAS STEMMED FROM THE FEAR OF ANOTHER BEIRUT BUT BOTH PROPONENTS AND OPPONENTS OF A GREATER US MILITARY ROLE IN THE BALKANS WHO EQUATE THE 19821984 LEBANON INTERVENTION WITH UNQUALIFIED DISASTER OVERLOOK A REMARKABLE FACT ABOUT THAT USLED OPERATION IT WORKED OF COURSE NO ONE COULD FORGET THE INFAMOUS SUICIDE BOMBING ATTACK ON THE MARINE BARRACKS ON OCTOBER 23 1983 BUT THAT IS NOT THE WHOLE STORY BEYOND THE DREADFUL HEADLINES AND THE PARTISAN RHETORIC THAT ACCOMPANIED THE REPORTING FROM THAT PERIOD WAS A SUCCESSFUL MILITARY DEPLOYMENT THAT RESTORED AND KEPT A FRAGILE PEACE FOR THE BETTER PART OF A YEAR THE MULTINATIONAL FORCE IN LEBANON WAS SO SUCCESSFUL THAT US OFFICIALS BECAME COMPLACENT ABOUT THE NEED FOR DECISIVE DIPLOMATIC ACTION THE RESULT WAS A QUAGMIRE AND ULTIMATELY TRAGEDY IN JUNE 1982 ISRAELI FORCES SURROUNDED BEIRUT IN A QUEST TO DESTROY THE PALESTINE LIBERATION ORGANIZATION'S BASE THERE FOR SEVERAL WEEKS BEGINNING IN JULY THE CITY'S FUEL WATER AND FOOD SUPPLIES WERE CUT OFF AS ISRAELI JETS AND ARTILLERY BOMBARDED YASSER ARAFAT'S MANY HIDEOUTS IN WEST BEIRUT HOSPITALS RAN SHORT OF BLOOD AND SANITARY SUPPLIES AND THE CITY FACED OUTBREAKS OF INFECTIOUS DISEASE LIKE BOSNIA IT WAS A HUMANITARIAN CRISIS LIKE BOSNIA LEBANON HAD RELIGIOUS AND ETHNIC HOSTILITY THAT THREATENED AMERICAN INTERESTS THROUGHOUT THE REGION SO PRESIDENT REAGAN SENT IN THE MARINES NOT ALONE BUT ALONGSIDE FRENCH AND ITALIAN CONTINGENTS THEIR MISSION WAS NOT TO ENGAGE IN COMBAT BUT TO SUPPORT A DIPLOMATIC AGREEMENT BROKERED BY THE LATE PHILIP HABIB ACCORDING TO WHICH PLO FIGHTERS WOULD LEAVE THE COUNTRY AND ISRAEL WOULD KEEP ITS TROOPS OUT OF BEIRUT THE PLO LEFT BY SEA WITHIN A FEW DAYS AND ON AUGUST 23 THE LEBANESE ELECTED A NEW PRESIDENT BASHIR GEMAYEL AFTER PATROLLING THE AREA FOR A COUPLE OF UNEVENTFUL WEEKS US TROOPS ALSO DEPARTED WELL WITHIN THE 30 DAYS ESTIMATED BY THE WHITE HOUSE PRESIDENT REAGAN WAS SO ENCOURAGED BY THE MISSION'S SUCCESS THAT HE PUT FORTH HIS FULLBLOWN MIDDLE EAST PEACE PLAN ON SEPTEMBER 1 LEBANON OF COURSE WAS STILL PLAGUED WITH POLITICAL DEMONS ON SEPTEMBER 14 NINE DAYS BEFORE HE WAS TO TAKE OFFICE MR GEMAYEL WAS ASSASSINATED IN A MASSIVE BOMB ATTACK OVER THE NEXT 72 HOURS ISRAELI TROOPS MOVED NORTH INTO THE CITY AND FAMILIES OF THE DEPARTED PLO FIGHTERS WERE MASSACRED BY CHRISTIAN MILITIAMEN IN THE SABRA AND SHATILA CAMPS OF SOUTHERN BEIRUT WHEN PRESIDENT REAGAN SENT THE MARINES BACK IN AT THE END OF SEPTEMBER TO HELP CALM A TRAUMATIZED COUNTRY FEW QUESTIONS WERE RAISED AT HOME ABOUT THE HUMANITARIAN AND MORAL BASIS FOR DOING SO THE FRENCH AND ITALIANS UNHESITATINGLY REJOINED THE EFFORT THIS SECOND DEPLOYMENT WITH ITS MORE NEBULOUS MISSION IS WELLREMEMBERED FOR WHAT WENT WRONG AS US FORCES BECAME ENTANGLED IN FACTIONAL STRIFE BUT SUCH RENDITIONS OVERLOOK THE FACT THAT FOR NINE MONTHS FALL 1982 TO SPRING 1983 AMERICAN FRENCH ITALIAN AND LATER BRITISH SOLDIERS OPENLY PATROLLED THE STREETS CHILDREN WENT BACK TO SCHOOL SHOPKEEPERS REPLACED THEIR BROKEN WINDOWS AND OPENED FOR BUSINESS AND DIPLOMACY HAD A CHANCE TO WORK SADLY AMERICAN POLICY MAKERS FAILED TO GRASP HOW PERISHABLE WAS THIS WINDOW OF OPPORTUNITY MR HABIB STEPPED DOWN FROM HIS ROLE AND US LEADERS THEN DELEGATED RATHER THAN LED THE NEGOTIATIONS HENCE FAILING TO IMPART A SENSE OF URGENCY OR MAINTAIN A POSITION OF STRENGTH THE PROCESS DRAGGED ON INEVITABLY THE CROWS BEGAN CIRCLING IN BEIRUT PROBING WESTERN INTENTIONS AND RESOLVE ON APRIL 18 1983 THE US EMBASSY WAS DESTROYED BY A SUICIDE BOMBER BY THE TIME SECRETARY OF STATE GEORGE SHULTZ STEPPED IN ON MAY 17 TO BROKER A FORMULA FOR ISRAELI AND SYRIAN DISENGAGEMENT FROM THE LEBANESE CIVIL CONFLICT IT WAS TOO LATE NEITHER ISRAEL NOR SYRIA FELT COMPELLED TO COMPROMISE ANY LONGER MR SHULTZ'S STILLBORN AGREEMENT EXTINGUISHED INSTEAD OF ENERGIZED THE DIALOGUE FOR PEACE TOO STUBBORN TO REOPEN THE TALKS AND TOO PROUD TO DISENGAGE FROM A MISSION THAT NO LONGER MADE SENSE THE US ALLOWED ITS FORCES TO BECOME SITTING DUCKS WILL BOSNIA BECOME ANOTHER BEIRUT IF WE MISREAD BEIRUT'S LESSONS IT COULD FIRST AMERICAN LEADERSHIP IS A CALLING NOT AN OPTION ALTHOUGH IN BOSNIA AND HERZEGOVINA THE MULTINATIONAL COLORS FLY MUCH MORE PROMINENTLY THAN THEY DID IN BEIRUT WASHINGTON CANNOT ESCAPE THE CONSEQUENCES OF THE UNITED NATIONS' EUROPEAN COMMUNITY'S AND NATO'S EXERTIONS THE MULTILATERAL FORCE'S SUCCESS OR FAILURE WILL BE OURS AS WELL IF RELIEVING AMERICA OF THE ROLE OF WORLD POLICEMAN IS A KEY FEATURE OF THE NEW WORLD ORDER NOTHING WOULD BE WORSE IN THIS REGARD THAN A UN RETREAT UNDER FIRE IN BOSNIA LEBANON TAUGHT THAT MILITARY FORCES CAN BE EFFECTIVE EITHER AS BENIGN PEACEKEEPERS OR PARTISAN COMBATANTS BUT NOT BOTH AS SERBIAN GUNS PROVOKE STIFFER INTERNATIONAL COUNTERMEASURES UN FORCES MAY ALREADY BE LOSING THEIR LEGITIMACY TO THE SERBS AS NEUTRAL MONITORS BEFORE THE LIGHTLY DEFENDED UN FORCES SUFFER A TRAGEDY EFFORTS TO DEFUSE THE CRISIS MUST BE ESCALATED LEBANON ALSO TAUGHT US HOWEVER THAT ESCALATION NEED NOT MEAN TURNING UP THE FIREPOWER IN BOSNIA AS IN BEIRUT DIPLOMACY IS THE KEY PRESIDENT CLINTON SHOULD CONSIDER PROPOSING AN EMERGENCY GATHERING OF ALL INVOLVED PARTIES INCLUDING SERBIAN LEADER SLOBODAN MILOSEVIC AND HIS PATRON BORIS YELTSIN ONLY THEN CAN WE LEARN WHETHER THERE IS ANY ASPIRATION MORE MEANINGFUL TO THE SERBS THAN THE GRISLY LANDGRAB IN WHICH THEY ARE NOW ENGAGED IF IT BECOMES CLEAR THAT NOTHING SHORT OF FORCE CAN RESCUE THE MUSLIMS OF BOSNIA THE US MILITARY WILL STILL HAVE ANOTHER LESSON IN STORE GIVEN A CLEAR AND CREDIBLE MISSION IT WILL VERY LIKELY SUCCEED MR BLOOMFIELD WAS DEPUTY ASSISTANT SECRETARY OF STATE IN THE BUSH ADMINISTRATION AND SERVED AS THE PENTAGON'S LEBANON DESK OFFICER FROM 198285 9304140022 930414 BUSINESS BRIEF RUBBERMAID INC EARNINGS MORE THAN DOUBLED IN FIRST QUARTER SALES UP 8 RUBBERMAID INC REPORTED FIRSTQUARTER NET INCOME OF 496 MILLION OR 31 CENTS A SHARE MORE THAN DOUBLE THE 238 MILLION OR 14 CENTS A SHARE POSTED A YEAR EARLIER BEFORE A CHARGE FROM AN ACCOUNTING CHANGE EARNINGS IN THE 1992 PERIOD WERE 439 MILLION OR 27 CENTS A SHARE SALES IN THE 1993 QUARTER ROSE 8 TO 484 MILLION THE WOOSTER OHIO MAKER OF PLASTIC AND RUBBER PRODUCTS SAID RESULTS BENEFITED FROM NEW PRODUCTS AS WELL AS COST CONTROLS IT SAID IT REMAINS OPTIMISTIC ABOUT 1993 BUT THAT A STILLWEAK ECONOMIC RECOVERY CONTINUES TO MAKE FOR A CHALLENGING BUSINESS CLIMATE JEFF STEIN AN ANALYST WITH MCDONALD & CO IN CLEVELAND SAID RUBBERMAID SAW REDUCED GROSS MARGINS DURING THE QUARTER BUT OFFSET THEM WITH CUTS IN SELLING GENERAL AND ADMINISTRATIVE EXPENSES ITS CONSUMER BUSINESS SHOWED STRONGER GROWTH THAN INSTITUTIONAL SALES HE SAID WITH THE LITTLE TYKES TOY DIVISION EXPERIENCING THE STRONGEST GROWTH 9304140021 930414 FAR FROM HOME AN IRISH NANNY FOUND HERSELF ISOLATED AND TERRIFIED BY JOANNE LIPMAN STAFF REPORTER OF THE WALL STREET JOURNAL IN THE HIT THRILLER THE HAND THAT ROCKS THE CRADLE A PSYCHOPATHIC NANNY STALKS THE FAMILY THAT EMPLOYS HER IN REAL LIFE A FORMER NANNY WAS FOUND MURDERED AND HER SUCCESSOR ALLEGEDLY HELD PRISONER AND THREATENED WITH A PISTOL IN A CASE UNDER INVESTIGATION IN NEW HAMPSHIRE WHILE HORROR STORIES ABOUT NANNIES WHO ABUSE CHILDREN ABOUND SOMETIMES THE NANNY HERSELF IS THE VICTIM WHEN NANNIES GO TO WORK IN THE HOMES OF STRANGERS THEY TAKE ON A CERTAIN AMOUNT OF RISK IN RARE INSTANCES THEY FIND THEMSELVES IN SEVERELY ABUSIVE SITUATIONS IF YOU'RE GOING TO TAKE A JOB AND GO LIVE IN WITH A FAMILY YOU OUGHT TO DO A LITTLE BACKGROUND CHECK SUGGESTS NEAL JANVRIN THE POLICE CHIEF IN FREMONT NH WHO INVESTIGATED THE NANNY INCIDENTS THERE THESE GIRLS CAN GET LED DOWN THE PATH RIGHT INTO TROUBLE ISOLATED AND FAR FROM HOME NANNIES SOMETIMES FEEL THAT THEY CAN'T ESCAPE DEBORAH ROCKS STAYED FOR ALMOST TWO YEARS WITH A FAMILY THAT RARELY PAID HER AND IN WHICH SHE CONTENDS THE FATHER SUBJECTED HER TO FREQUENT SEXUAL ADVANCES A CHARGE HE DENIES I WAS TERRIFIED MS ROCKS SAYS I WAS ALL BY MYSELF I FELT THERE WAS NOTHING I COULD DO MS ROCKS WAS JUST 18 YEARS OLD AND STILL IN HIGH SCHOOL IN HER NATIVE IRELAND IN LATE 1983 WHEN SHE ANSWERED THE NEWSPAPER AD THAT LANDED HER A NANNY JOB IN THE US FOR MS ROCKS WHO GREW UP WITH NO TELEPHONE OR EVEN RUNNING WATER THE PROSPECT OF CARING FOR THE CHILDREN OF RECORD PRODUCERS BILL AND MAUREEN CIVITELLO IN AN AFFLUENT LONG ISLAND NY SUBURB SOUNDED TERRIBLY GLAMOROUS I REMEMBER HER THE FIRST DAY SHE CAME SAYS ANNE MODERNO THEN A TEENAGE FRIEND OF THE CIVITELLO FAMILY WHO OFTEN HUNG OUT AT THE HOUSE BECAUSE SHE SAYS THE PARENTS WERE RARELY HOME THE NEW NANNY WAS CHUBBY NERDY LIKE SHE JUST STEPPED OFF THE BOAT SHE WAS THE PERFECT PICTURE MS ROCKS AGREED TO A SALARY OF JUST 50 A WEEK TO CARE FOR THREE YOUNG CHILDREN AND CLEAN THE HOUSE A FOURBEDROOM COLONIAL YET IN HER FIRST THREE MONTHS OF WORK SHE WASN'T PAID AT ALL SHE SAYS NOW WHEN SHE DID ASK TO BE PAID IT WAS ALWAYS THEY DIDN'T HAVE IT THEY DIDN'T HAVE IT RECALLS MRS MODERNO WHO LATER BEFRIENDED THE NANNY SHE WAS TOTALLY TAKEN ADVANTAGE OF THE FAMILY DID FIND ENOUGH MONEY FOR LUXURIES INCLUDING AN EXTENDED EUROPEAN VACATION FOR MRS CIVITELLO WITH NO MONEY NO TRANSPORTATION AND IF SHE QUIT HER JOB NO HOME MS ROCKS WAS TOTALLY ISOLATED SHE SAYS SHE SAYS THAT ONCE WHEN SHE ASKED TO BE PAID SHE WAS TOLD SHE WOULD FIRST HAVE TO STOP CALLING HER MOTHER IN IRELAND CUTTING OFF HER MAJOR TIE TO THE OUTSIDE WORLD THE CIVITELLOS WHOSE NOWDEFUNCT KINGDOM SOUND RECORDING STUDIO IN SYOSSET NY HAD PRODUCED ROCK SINGER JOAN JETT'S HIT I LOVE ROCK 'N ROLL WERE FREQUENTLY OUT ALL NIGHT AND THERE WAS OFTEN NO FOOD IN THE HOUSE MS ROCKS SAYS SOMETIMES SHE LIVED ON BREAKFAST CEREAL WHICH SHE SHARED WITH THE FAMILY DOG ONCE SNOWED IN ALONE WITH THE CHILDREN SHE HAD TO HIKE SEVERAL MILES ALONG UNPLOWED ROADS TO THE STORE BORROWING THE CHILDREN'S MONEY TO PAY FOR GROCERIES IN THE FIRST YEAR THE PETITE FIVEFOOTTALL NANNY LOST 33 POUNDS MR CIVITELLO NOW A TALENT MANAGER IN SANTA MONICA CALIF DOESN'T DISPUTE MS ROCKS'S VERSION OF EVENTS HE SAYS HE COULDN'T AFFORD TO PAY HER BECAUSE HIS STUDIO WAS IN SERIOUS FINANCIAL TROUBLE AT THE TIME HE ULTIMATELY LOST THE BUSINESS HIS CAR AND HIS HOUSE AS FOR TELLING MS ROCKS SHE SHOULDN'T PHONE HER MOTHER HE SAYS WE'RE TALKING ABOUT THINGS THAT MIGHT HAVE BEEN SAID THEN WHO KNOWS SHE DIDN'T KNOW THE PRESSURE WE WERE UNDER AT THE END OF THE FIRST YEAR MS ROCKS SAYS HER POSITION BECAME UNBEARABLE ONE NIGHT WHILE MRS CIVITELLO WAS OUT OF TOWN MR CIVITELLO MADE SEXUAL ADVANCES SHE CONTENDS ALTHOUGH SHE PROTESTED SHE SAYS HE DIDN'T LISTEN IT WAS THE FIRST OF MANY INSTANCES ACCORDING TO MS ROCKS SHE SAYS SHE NEVER TOLD HIS WIFE OR THE AUTHORITIES BECAUSE SHE WAS ASHAMED AND AFRAID SHE WOULD LOSE HER JOB AND BE TURNED OUT ON THE STREET MR CIVITELLO STRONGLY DENIES MAKING ANY ADVANCES TOWARD MS ROCKS OR HAVING ANY RELATIONSHIP WITH HER OTHER THAN AS HER EMPLOYER OBVIOUSLY THERE ARE THINGS THAT ARE BEING MISUNDERSTOOD HERE HE SAYS I'M A FUN GUY MAYBE WITH ME IN THE RECORD BUSINESS AND BEING UNDER PRESSURE MAYBE THINGS WERE SAID TO HER THAT I JUST FLUFFED OVER AS GENERAL CONVERSATION MAYBE THINGS WERE SAID AND THEY WERE MISCONSTRUED IN THE SPRING OF 1985 MS ROCKS WHO KNEW NO ONE IN THE US EXCEPT THE CIVITELLOS AND THEIR CIRCLE WENT TO NEW YORK CITY TO MEET A FRIEND VISITING FROM IRELAND THROUGH THE FRIEND SHE WAS INTRODUCED TO THE EXPATRIATE IRISH COMMUNITY IN THE BRONX SECTION OF NEW YORK A FEW MONTHS LATER ANOTHER IRISH NANNY HELPED HER FIND A NEW JOB CARING FOR THE CHILDREN OF VIACOM CHIEF EXECUTIVE OFFICER FRANK BIONDI WHEN SHE LEFT THE CIVITELLOS MS ROCKS SAYS THE FAMILY STILL OWED HER 950 ALMOST FIVE MONTHS' PAY OF WHICH THEY ULTIMATELY PAID 300 IN 1991 SHE SOUGHT COUNSELING WITH NANCY K BROWN A SOCIAL WORKER AND PSYCHOTHERAPIST IN UPSTATE NEW YORK I WORK WITH BATTERED WOMEN MS BROWN SAYS THIS IS A CLASSIC MS ROCKS HAD THIS IDEA THAT THIS IS EXPECTED OF YOU DIDN'T YOU KNOW' SHE FELT DISEMPOWERED EMBARRASSED ALONE AND ISOLATED TODAY MS ROCKS MARRIED TO A US CITIZEN AND A MOTHER OF TWO IS A COLLEGE STUDENT IN HER IMMACULATE HOME SITTING ON A DOILYCOVERED COUCH SHE STILL TURNS ASHEN AS SHE RECALLS HER EXPERIENCE LOOKING BACK I THINK YOU SHOULD HAVE DONE SOMETHING' SHE SAYS BUT BACK THEN IT WAS DIFFERENT I WAS NUMB I THOUGHT THERE WAS NOTHING I COULD DO SEE RELATED ARTICLE THE NANNY TRAP DARK SIDE OF CHILD CARE IS HOW POORLY WORKERS ARE SOMETIMES TREATED THEY TELL OF ABUSES RANGING FROM 7DAY WORKWEEKS TO SEXUAL HARASSMENT I WAS LIKE A SLAVE' SAYS ONE WSJ APRIL 14 1993 9304140020 930414 TWO BIG BANKS POST PROFIT GAINS FOR FIRST PERIOD FIRST FIDELITY CITES ASSETS EFFICIENCY FOR 45 RISE SUNTRUST NET GREW 13 BY JAMES C HYATT AND ELEENA DE LISSER STAFF REPORTERS OF THE WALL STREET JOURNAL FIRST FIDELITY BANCORP REPORTED A 45 INCREASE IN FIRSTQUARTER NET INCOME CITING OPERATING EFFICIENCIES AND IMPROVED ASSET QUALITY WHILE SUNTRUST BANKS INC SAID PROFIT ROSE 13 FIRST FIDELITY A BIG NEW JERSEYPENNSYLVANIA HOLDING COMPANY SAID NET ROSE TO 949 MILLION OR 114 A SHARE FROM 655 MILLION OR 82 CENTS A SHARE A YEAR EARLIER THE LATEST PERIOD INCLUDES A GAIN OF 24 MILLION OR THREE CENTS A SHARE FROM ACCOUNTING CHANGES THE CHANGES BOOSTED THE COMPANY'S EFFECTIVE TAX RATE TO ABOUT 30 FROM 21 IN 1992 ANTHONY TERRACCIANO CHAIRMAN AND CHIEF EXECUTIVE OFFICER ATTRIBUTED THE EARNINGS GAINS TO CONTINUED IMPROVEMENT IN ASSET QUALITY AND OPERATING EFFICIENCY COUPLED WITH SOME SLIGHT FIRMING IN COMMERCIAL LOAN DEMAND HE ALSO SAID INTEGRATION OF THE RECENTLY ACQUIRED HOWARD SAVINGS BANK HAS PROCEEDED MORE SUCCESSFULLY THAN ANTICIPATED FIRST FIDELITY SAID ITS ASSET QUALITY CONTINUED TO IMPROVE WITH NONPERFORMING LOANS DECLINING 30 TO 4614 MILLION AT MARCH 31 AND NONPERFORMING ASSETS DECLINING 26 TO 6414 MILLION NET CHARGEOFFS IN THE QUARTER WERE 512 MILLION DOWN FROM 633 MILLION A YEAR EARLIER AND THE PROVISION FOR POSSIBLE CREDIT LOSSES FELL TO 45 MILLION IN THE QUARTER FROM 61 MILLION A YEAR EARLIER AT MARCH 31 THE CREDIT LOSS RESERVE WAS 6042 MILLION DOWN SLIGHTLY FROM 6073 MILLION A YEAR EARLIER FIRST FIDELITY HAS 302 BILLION IN ASSETS RESULTS INCLUDED A 15 INCREASE IN NET INTEREST INCOME TO 3257 MILLION INTEREST INCOME FELL ONLY 7 WHILE INTEREST EXPENSE FELL 30 IN ADDITION NONINTEREST INCOME ROSE 85 TO 89 MILLION WHILE NONINTEREST EXPENSE ROSE 68 TO 2383 MILLION IN LATE COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY FIRST FIDELITY STOCK WAS QUOTED AT 5075 A SHARE UP 25 CENTS ATLANTABASED SUNTRUST SAID ITS FIRSTQUARTER EARNINGS WERE BOLSTERED BY INTEREST AND NONINTEREST INCOME GROWTH FIRSTQUARTER NET INCOME ROSE TO 1155 MILLION OR 90 CENTS A SHARE FROM 1025 MILLION OR 78 CENTS A SHARE A YEAR EARLIER THE EARNINGS EXCEEDED MOST WALL STREET ANALYSTS' ESTIMATES WHICH RANGED FROM 85 CENTS TO 89 CENTS A SHARE SUNTRUST STOCK ROSE 625 CENTS TO 48375 A SHARE IN BIG BOARD TRADING NET INTEREST INCOME GREW 4 TO 4098 MILLION FROM 394 MILLION A YEAR EARLIER NONINTEREST INCOME HELPED BY INCREASED TRUST FEES ROSE 74 TO 1807 MILLION WHILE NONINTEREST EXPENSE ROSE ONLY 13 DURING THE SAME PERIOD SUNTRUST SAID NONPERFORMING ASSETS GREW SLIGHTLYBY 97 MILLIONIN THE LATEST QUARTER TO 5543 MILLION FROM 5446 MILLION AT YEAREND 1992 THE INCREASE WAS ATTRIBUTED TO ITS ACQUISITION OF COAST BANK SARASOTA FLA WHICH INCLUDED 13 MILLION IN NONPERFORMING LOANS AND 79 MILLION OF OTHER REAL ESTATE OWNED NET CHARGEOFFS IN THE QUARTER WERE 273 MILLION COMPARED WITH 401 MILLION A YEAR EARLIER THE PROVISION FOR LOAN LOSSES DECLINED TO 462 MILLION FROM 525 MILLION THE YEAR BEFORE SUNTRUST HAS TOTAL ASSETS OF 375 BILLION 9304140019 930414 INTERNATIONAL REVIVING BOLIVIA'S MINES PROVES ROCKY OPPOSITION TO FOREIGN CAPITAL KEEPS INDUSTRY DOWN BY THOMAS KAMM STAFF REPORTER OF THE WALL STREET JOURNAL POTOSI BOLIVIA A CLOUD WITH A SILVER LINING PERHAPS 6 BILLION WORTH OF SILVER HANGS OVER THIS ONCEGREAT CITY FROM THE 16TH TO THE 18TH CENTURIES THE VAST AMOUNTS OF SILVER EXTRACTED FROM THE CERRO RICO OR RICH HILL MADE POTOSI A MAIN OUTPOST OF THE SPANISH COLONIAL EMPIRE AND THE BIGGEST CITY IN THE AMERICAS THE PEOPLE HERE LIVE ON ANOTHER LEVEL FROM THE REST OF THE WORLD AND THE GETTING AND SPENDING OF MONEY IS A FEVER THAT BURNS AND POSSESSES THE WHOLE POPULATION WROTE A SPANISH CHRONICLER THEY ALWAYS GO IN CLOTH OF GOLD AND SILVER OR IN SCARLET SILK IN GENERAL THEY EAT AND COOK OFF SILVER PLATE BUT BY 1825 WITH THE SILVER VEINS SEEMINGLY LARGELY DEPLETED AND THE SPANISH EMPIRE IN TATTERS POTOSI TURNED INTO A BEAUTIFUL BUT NEGLECTED CITY JUST RECENTLY THE GOVERNMENT DECLARED IT A ZONE OF ECONOMIC DEPRESSION NOW POTOSI HAS A CHANCE TO REGAIN SOME OF ITS PAST LUSTER STUDIES BY THE UNITED NATIONS AND PRIVATE MINING COMPANIES SAY THE CERRO RICO MIGHT STILL CONTAIN AT LEAST AS MUCH SILVER AS THE SPANISH EXTRACTED BUT THERE'S A HITCH GETTING TO THAT SILVER REQUIRES AN OPEN PIT MINE WHICH WOULD DESTROY THE CERRO RICO THE OCHRECOLORED MOUNTAIN THAT TOWERS OVER THE CITY AND FIGURES ON BOLIVIA'S COAT OF ARMS NOT ONLY THAT ABOUT 20000 MINERS EKE OUT A LIVING MINING LESSVALUABLE METALS FROM THE HILL'S ENTRAILS AND THE CERRO RICO SHIELDS THE HIGH ANDEAN CITY FROM FREEZING WINDS FROM THE SOUTH SOME SAY YOU CAN'T TOUCH THE CERRO RICO SAYS ALFONSO LEANO RODRIGUEZ PRESIDENT OF THE LOCAL UNIT OF STATEOWNED CORPORACION MINERA BOLIVIANA OR COMIBOL OTHERS SAY ITS RESOURCES CAN'T BE LEFT UNTOUCHED WHEN THE CITY IS THREATENED WITH DEATH IT'S A TERRIBLE DILEMMA THE QUANDARY IS A MICROCOSM OF THE DILEMMAS AND CONTRADICTIONS FACING BOLIVIA'S MINING INDUSTRY ACCOUNTING FOR 534 OF BOLIVIA'S EXPORTS MINING IS THE BACKBONE OF THE COUNTRY'S ECONOMY BUT A PUNISHING COMBINATION OF FALLING PRICES A WORLDWIDE ECONOMIC SLOWDOWN HIGHER ENVIRONMENTAL COSTS AND GOVERNMENT WEAKNESS IN THE FACE OF LABOR UNREST HAVE CONSPIRED TO THROW BOLIVIA'S MINING INDUSTRY INTO ITS WORST CRISIS SINCE THE 1985 PLUNGE IN TIN PRICES WHEN THE GOVERNMENT SHUT DOWN 17 MINES AND FIRED 21000 OF COMIBOL'S 28000 EMPLOYEES BOLIVIA'S MINING PRODUCTION FELL BY 48 IN 1992 AND THE 1992 MINERAL OUTPUT OF 3743 MILLION REPRESENTS LESS THAN HALF OF WHAT BOLIVIA EARNED IN 1980 IT'S WORSE THAN A CRISIS SAYS LUIS PRADO PRESIDENT OF THE NATIONAL MINING CHAMBER IT'S A DISASTER RELAUNCHING THE MINING INDUSTRY IS PROBLEMATIC BOLIVIA IS MINERALRICH AND BOASTS ONE OF SOUTH AMERICA'S MOST FAVORABLE MINING CODES BUT WITH COMIBOL HAVING POSTED 13 CONSECUTIVE YEARS OF LOSSES IT HAS NO CAPITAL TO DEVELOP MINES AND EVEN THOUGH THE MINERS' FUTURE IS GLOOMY MINING UNION LEADERS HAVE DONE ALL THEY CAN TO KEEP FOREIGN INVESTMENT OUT TWO JOINT VENTURES AND A LEASING CONTRACT BETWEEN COMIBOL AND COMINESA OF THE US MINERACAO TABOCA OF BRAZIL AND MINPROC A CANADIANAUSTRALIAN FIRM HAVE BEEN BLOCKED BY UNIONS WHICH VIEW JOINT VENTURES AS DISGUISED PRIVATIZATIONS AND SEE FOREIGN INVESTORS AS GREEDY PREDATORS THE GOVERNMENT VOWS IT WILL FORGE AHEAD WITH THE VENTURES BUT WITH PRESIDENTIAL ELECTIONS TWO MONTHS AWAY ITS PLEDGE SOUNDS HOLLOW MOREOVER AFTER YEARS OF NEGOTIATIONS A CONTRACT ALLOWING LITHIUM CORP OF AMERICA A UNIT OF FMC CORP TO MINE LITHIUM IN THE UYUNI SALT FLATS NEAR POTOSI FELL THROUGH EARLIER THIS YEAR THIS RESISTANCE TO FOREIGN CAPITAL HAS TO CHANGE IN THE SHORT TERM OR THE MINING SECTOR IN BOLIVIA WILL DISAPPEAR WARNS ENRIQUE SANCHEZ DE LOSADA ADMINISTRATIVE DIRECTOR OF COMPANIA MINERIA DEL SUR SA OR COMSUR WHICH IS 30OWNED BY BRITAIN'S RTZ CORP THERE ARE BRIGHT SPOTS HOWEVER NEAR THE CITY OF ORURO BATTLE MOUNTAIN GOLD CO OF THE US HAS AN 85 STAKE IN THE INTI RAYMI GOLD MINE A 150 MILLION INVESTMENT THAT'S EXPECTED TO YIELD 250000 OUNCES OF GOLD AND ONE MILLION OUNCES OF SILVER THIS YEAR SHOWING THAT VENTURES ARE POSSIBLE AT LEAST IN THE PRIVATE SECTOR AND THAT MODERN MINING TECHNOLOGY CAN PRODUCE RESULTS BUT BRIGHTNESS HASN'T COME TO POTOSI OR MUCH OF BOLIVIAN MINING POTOSI'S FORTUNES HAVE LARGELY MIRRORED BOLIVIA'S BOOMTOBUST MINING CYCLES FIRST IT WAS SILVER THEN TIN THEN ZINC BUT LAST OCTOBER THE PRICE OF ZINC CAME CRASHING DOWN TOO AND ONCE AGAIN THERE'S DESPAIR AMONG THE MINERS WE'RE IN A STATE OF ECONOMIC DISASTER SAYS CARLOS ARANIBAR PRESIDENT OF POTOSI'S CIVIC COMMITEE AN UMBRELLA ORGANIZATION WHAT USED TO MAKE US RICH NOW MAKES US MISERABLE AT THE 27TH OF MARCH MINE 24 MINERS SIT BY THE ENTRANCE CHEWING COCA LEAVES THE CRISIS IS GENERAL SAYS ALBERTO TORRES THERE'S NO POINT WORKING BECAUSE THE PRICES AREN'T RIGHT THE MINERS WORK A FEW HOURS A DAY TRYING TO FIND A BIT OF SILVER THE ONLY MINERAL THERE'S A MARKET FOR BUT SAYS MR TORRES BEFORE WE COULD PAY FOR EQUIPMENT AND DIESEL FUEL AND EARNED ABOUT 125 A MONTH NOW WE EARN 31 A MONTH YOU CAN'T LIVE ON THAT BUT MENTION JOINT VENTURES OR FOREIGN INVESTMENT AND MANY HERE BRISTLE THEY TAKE ALL YOUR MINERALS AND JUST PAY TAXES COMPLAINS MR ARANIBAR IF WE LEAVE THEM EVERYTHING IT'S NOT A JOINT VENTURE IT'S COLONIZATION IT'S SUBMISSION WE'VE HAD 500 YEARS OF THIS STORY ADDS PASCUAL RODRIGUEZ A MINER WHO HAS A LITTLE PRIVATE MINE IN THE CERRO RICO WE HAVE MINERALS BUT WE HAVE NO FUNDS TO EXPLOIT THEM WE NEED HELP BUT WE DON'T WANT FOREIGNERS THEY'D MINE HERE FOR THEIR OWN PROFIT NOT OURS JUST LIKE THE SPANIARDS POTOSI GIVES A LOT AND RECEIVES NOTHING IT'S OUR DESTINY 9304140018 930414 MARKETING & MEDIA P&G WILL CUT PRICES 5 ON PAMPERS 16 ON LUVS TO BATTLE PRIVATE BRANDS BY GABRIELLA STERN STAFF REPORTER OF THE WALL STREET JOURNAL PROCTER & GAMBLE CO BATTLING COMPETITION FROM PRIVATE LABEL BRANDS WILL CUT THE PRICE OF ITS PAMPERS DIAPERS 5 WHILE SLASHING LUVS PRICES 16 THE PRICE CUTS EFFECTIVE MAY 17 MARK THE THIRD TIME IN 10 MONTHS THAT P&G HAS CUT PRICES ON ITS CRITICAL DIAPERS ITS NO 1 PRODUCT WHICH MAKES UP 16 OF THE COMPANY'S WORLDWIDE SALES CINCINNATIBASED P&G CUT DIAPER PRICES 5 IN MAY AND 7 IN OCTOBER YET P&G'S DIAPERS HAVE STILL BEEN SELLING AT A PREMIUM OF AS MUCH AS 33 TO 35 ABOVE PRIVATE LABEL BRANDS AS THAT PRICE GAP HAS WIDENED IN RECENT YEARS PRIVATE LABEL BRANDS HAVE PICKED UP MARKET SHARE OF AS MUCH AS NINE OR 10 SHARE POINTS MEANWHILE P&G'S TOTAL DIAPER MARKET SHARE TUMBLED FOUR PERCENTAGE POINTS FOR THE 52 WEEKS ENDED JAN 24 THE LATEST PRICE MOVE IS DESIGNED TO RESTORE THE TRADITIONAL PREMIUM OF 25 TO 26 THAT PAMPERS HAS HELD OVER PRIVATE LABELS SAID EDWIN L ARTZT P&G CHAIRMAN AND CHIEF EXECUTIVE OFFICER THAT'S THE PRICING STRATEGY THAT SERVED US WELL FOR A LONG TIME HE SAID AT THE SAME TIME THE COMPANY IS REPOSITIONING LUVS WHICH HAS BEEN THE BIG LOSER AS A MEDIUMPRICED DIAPER THE BRAND WHICH LACKS A STRONG IDENTITY WILL SELL AT JUST A 17 PREMIUM OVER PRIVATE LABELS MR ARTZT SAID THE PRICE CUTS WILL BE OFFSET BY COST REDUCTIONS INCLUDING PRODUCTION EFFICIENCIES AND THEREFORE WON'T AFFECT EARNINGS FOR EITHER THE CURRENT QUARTER OR FISCAL YEAR HE SAID MARGINS IN DIAPERS WOULDN'T BE AFFECTED IN LUVS P&G IS IN EFFECT OVERHAULING THE BRAND IT WILL ELIMINATE SEVEN OF THE 17 PACKAGE VARIETIES IT CURRENTLY OFFERS AND SELL ONLY CONVENIENCE PACKAGES PAMPERS WILL CONTINUE TO COME IN 21 PACKAGE VARIETIES LUVS WILL ALSO SAVE MONEY ON AESTHETICS BY ELIMINATING HANDLES ON PACKAGES AND PRINTED BACKING SHEETS FOR EXAMPLE MOREOVER WHILE LUVS WILL STILL BE ADVERTISED ON TV THERE WILL BE NO PRINT ADS NO COUPONING AND NO HOSPITAL PROGRAM UNDER WHICH SAMPLES ARE DISTRIBUTED FREE TO NEW MOTHERS LUVS' MARKET SHARE TUMBLED TO 146 IN THE 52 WEEKS ENDED JAN 24 DOWN 241 FROM THE YEAR EARLIER ACCORDING TO INFORMATION RESOURCES INC'S INFOSCAN SERVICE WHICH RECORDS PURCHASES FROM GROCERS MASS MERCHANDISERS AND DRUGSTORES LUVS' TOTAL SALES OF 5824 MILLION WERE ONLY HALF OF PAMPERS' 117 BILLION PAMPERS' MARKET SHARE TOTALED 292 DURING THE SAME PERIOD A 98 GAIN FROM THE PREVIOUS YEAR PRIVATE LABELS COMMANDED A 144 MARKET SHARE A 178 GAIN WHILE KIMBERLYCLARK'S HUGGIES EXCLUDING ITS PULLUPS HAD A 275 MARKET SHARE A 13 SLIDE KIMBERLYCLARK WOULDN'T COMMENT ON HOW IT WOULD REACT TO THE P&G ANNOUNCEMENT KIMBERLYCLARK FOLLOWED AN EARLIER P&G PRICE CUT BUT SIMULTANEOUSLY REDUCED THE NUMBER OF DIAPERS IN EACH PACKAGE KIMBERLYCLARK HAS BEEN FEELING PRICING HEAT FROM PRIVATELABEL BRANDS TOO BUT HAS REAPED REWARDS FROM ITS DISPOSABLE HUGGIES PULLUPS TRAINING PANTS INTRODUCED FOUR YEARS AGO P&G IS CURRENTLY INTRODUCING SIMILAR TRAINING PANTS CALLED PAMPERS TRAINERS IN EUROPE AND HAS SAID IT WILL LAUNCH THE PRODUCT IN THE US IN TIME THE LATEST P&G PRICE CUT MAY CERTAINLY SQUEEZE PRIVATE LABEL MANUFACTURERS AS WELL AS DISCOUNT DIAPER MAKERS ANALYSTS SAY IF THESE MANUFACTURERS WANT TO MAINTAIN THE CURRENT PRICE GAP BETWEEN THEIR DIAPERS AND NAME BRANDS THEY MIGHT HAVE TO LOWER PRICES AND SACRIFICE MARGINS RETAILERS AND ANALYSTS SAID THEY EXPECTED P&G'S PRICE MOVE IT MAY NOT BE P&G'S LAST PRICE CUT I HOPE THIS IS IT FOR A WHILE MR ARTZT SAID OBVIOUSLY WE NEED TO CONTINUE REVIEWING OUR VALUE VERSUS OUR COMPETITION IT'S CERTAINLY NOT THE END OF OUR EFFORTS TO IMPROVE EFFICIENCIES AND REDUCE OUR COSTS THERE'S NO REASON IN THE WORLD WHY WE SHOULD BE SELLING FOR ANY PRESCRIBED PREMIUM VS PRIVATE LABELS MR ARTZT ADDED THIS IS PART OF A BROAD STRATEGY IN THE COMPANY TO MAKE BRANDS MORE COMPETITIVE FROM A VALUE STANDPOINT SO OUR COMPANY DOESN'T SUFFER THE FATE OF OTHERS ON THE HORIZON IS A DIAPER WHICH IS IN TESTING AND WHICH P&G SAYS WILL BE ITS MOST ADVANCED DIAPER BRAND P&G HAS BEEN TESTING AN INITIAL VERSION PAMPERS ULTRA DRY IN EUGENE ORE IN MAY IT WILL BEGIN TESTING AN UPGRADED THINNER VERSION RENAMED PAMPERS ULTRA DRY THINS IN OMAHA NEB MR ARTZT DECLINED TO SAY WHEN THE PRODUCT WILL BE READY FOR NATIONAL DISTRIBUTION 9304140017 930414 TECHNOLOGY NYNEX UNIT PLANS TO UNVEIL CHANGES IN PRIVATE LINES BY MARY LU CARNEVALE STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK NEW YORK TELEPHONE CO POSITIONING ITSELF TO COMPETE MORE EFFECTIVELY AGAINST NEW RIVALS IS ROLLING OUT A GROUP OF SERVICES THAT BIG CORPORATIONS CAN OBTAIN QUICKLY RICHARD JALKUT PRESIDENT OF NEW YORK TELEPHONE A UNIT OF NYNEX CORP SAID THAT CUSTOMERS USING THE PRIVATELINE SERVICES CALLED NYNEX ENTERPRISE SERVICES WILL BE LINKED TO A FIBEROPTIC NETWORK THE COMPANY EXPECTS TO UNVEIL THE ENTERPRISE SERVICES TODAY IN NEW YORK AND INITIATE AN ADVERTISING CAMPAIGN ON MONDAY WITH THE CLICK OF A COMPUTER MOUSE A NEW YORK TELEPHONE TECHNICIAN CAN CHANGE A CORPORATION'S PRIVATELINE SERVICES ADDING NEW LINES CHANGING TRANSMISSION SPEEDS OR CAPACITY SETTING UP VIDEO CONFERENCES OR REROUTING CALLS IN THE PAST SUCH CHANGES HAVE TAKEN DAYS OR WEEKS PRIVATE LINES DIRECTLY CONNECT CUSTOMERS' OFFICES WITHOUT GOING THROUGH THE PUBLIC PHONE NETWORK NEW YORK TELEPHONE AND OTHER LOCAL PHONE COMPANIES HAVE BEEN LOSING PRIVATELINE BUSINESS IN RECENT YEARS TO ALTERNATIVE CARRIERS SUCH AS TELEPORT COMMUNICATIONS GROUP AND METROPOLITAN FIBER SYSTEMS CORP THE NEW CARRIERS CONSTRUCTED FIBEROPTIC LOOP NETOWORKS AND WERE ABLE TO OFFER CUSTOMERS ADVANCED TECHNOLOGY AT LOWER PRICES WHAT WE INTEND TO DO IS LEAPFROG WHERE THEY ARE IN TERMS OF TECHNOLOGY AND PRICE MR JALKUT SAID WE EXPECT TO TAKE BACK SOME OF THE MARKET SHARE WE HAVE LOST MR JALKUT SAID THE ENTERPRISE SERVICES ARE THE RESULT OF ABOUT THREE YEARS OF WORK INVOLVING 21 DIFFERENT TECHNOLOGY PARTNERS THAT SUPPLIED EQUIPMENT AND SOFTWARE FOR THE PHONE NETWORK SOME SERVICES ALREADY ARE AVAILABLE IN MIDTOWN AND LOWER MANHATTAN AND BY THE END OF THE YEAR WILL BE AVAILABLE IN OTHER PARTS OF NEW YORK CITY LONG ISLAND AND WESTCHESTER COUNTY IN ABOUT A YEAR NEW YORK TELEPHONE PLANS TO EXPAND THE SERVICE TO OTHER PARTS OF NEW YORK STATE INCLUDING POUGHKEEPSIE ALBANY SYRACUSE BINGHAMTON AND BUFFALO MR JALKUT SAID THE SERVICE WILL ALSO BE EXPANDED TO NEW ENGLAND TELEPHONE NEW YORK TELEPHONE HAS OBTAINED REGULATORY APPROVAL FOR THE BASIC ENTERPRISE SERVICES AND IS AWAITING CLEARANCE ON PRICING OF SOME OF THE COMPLEMENTARY SERVICES 9304140016 930414 BRASCAN SAYS CLAIM BY BANKING GROUP MAY FORCE BUYBACK BY LARRY M GREENBERG STAFF REPORTER OF THE WALL STREET JOURNAL TORONTO ONE OF THE MAJOR HOLDING COMPANIES IN PETER AND EDWARD BRONFMAN'S TROUBLED CORPORATE EMPIRE SAID IT COULD BE FORCED TO SHELL OUT 500 MILLION TO BUY BACK AN ISSUE OF DEBENTURES FROM A GROUP OF BANKS THE HOLDING COMPANY BRASCAN LTD WHICH HAS BEEN SELLING ASSETS TO RAISE CASH SAID THE BANKING GROUP CLAIMS IN A COURT FILING IN BRITAIN THAT THE COMPANY VIOLATED THE TERMS OF THE DEBENTURES IF THE COURT RULES IN FAVOR OF THE BANKING GROUP WHICH IS LED BY CHEMICAL BANKING CORP BRASCAN SAID IT COULD BE IN DEFAULT OF THE TERMS OF THE DEBENTURES FORCING THE COMPANY TO RENEGOTIATE THE TERMS OR TO REPAY THE ISSUE IN FULL BRASCAN DENIED THE BANKING GROUP'S CLAIM AND SAID IT WOULD DEFEND ITSELF IN COURT IF HOWEVER THE COURT RULED AGAINST BRASCAN THE COMPANY BELIEVES IT WOULD BE ABLE TO FINANCE A BUYBACK OF THE DEBENTURES SAID EDWARD KRESS BRASCAN'S CHIEF FINANCIAL OFFICER WE FEEL VERY STRONGLY ABOUT OUR FINANCIAL CONDITION HE SAID THE 10YEAR DEBENTURES ISSUED IN 1989 ARE AT FAVORABLE TERMS TO BRASCAN BECAUSE THEY CARRY A FLOATING RATE OF INTEREST MR KRESS SAID THEY WERE ISSUED IN LONDON AND THUS ARE SUBJECT TO BRITISH LAW THE BRONFMAN GROUP OF COMPANIES IN RECENT YEARS HAS INCREASINGLY RELIED ON SUCH PRIVATE PLACEMENTS OF DEBENTURES AS EQUITY MARKETS HAVE BECOME LESS RECEPTIVE TO THE GROUP'S FINANCING NEEDS PETER AND EDWARD BRONFMAN ARE COUSINS OF MONTREAL'S BRONFMAN DISTILLING DYNASTY WHICH CONTROLS SEAGRAM CO BUT THE TWO FAMILIES HAVE NO BUSINESS OPERATIONS IN COMMON AT ISSUE IN THE COURT CASE FILED IN THE ENGLISH HIGH COURT IN LONDON IS THE FEBRUARY SALE TO A GROUP OF UNDERWRITERS OF BRASCAN'S 37 CONTROLLING STAKE IN JOHN LABATT LTD A TORONTO BREWING CONCERN THE BANKING GROUP CLAIMS IN ITS COURT FILING THAT THE SALE REPRESENTED A SUBSTANTIAL PART OF BRASCAN'S ASSETS THUS ALLOWING THE BANKS TO ACCELERATE THE REPAYMENT OF THE DEBENTURES BRASCAN SAID BUT BRASCAN SAID ITS INVESTMENT IN LABATT REPRESENTED JUST 10 OF ITS TOTAL ASSETS BASED ON THEIR CARRIED BOOK VALUES BY ANOTHER MEASURE BRASCAN SAID THE NET PROCEEDS FROM THE SALE OF 993 MILLION CANADIAN DOLLARS US7877 MILLION REPRESENTED LESS THAN 15 OF BRASCAN'S ASSETS MR KRESS SAID THE BANKING GROUP'S COURT CHALLENGE WON'T AFFECT THE SALE OF THE LABATT STAKE CHEMICAL BANKING OFFICIALS COULDN'T BE REACHED TO COMMENT 9304140015 930414 BOEING ILFC JOIN TO SNARE FINNAIR SAS PLAN IS SAID TO BE AIMED AT BUMPING MCDONNELL JETS FROM THE 2 FLEETS BY JEFF COLE AND BRIAN COLEMAN STAFF REPORTERS OF THE WALL STREET JOURNAL BOEING CO AND INTERNATIONAL LEASE FINANCE CORP HAVE TEAMED UP IN AN EFFORT TO BUMP MCDONNELL DOUGLAS CORP JETS FROM THE FLEETS OF TWO MAJOR EUROPEAN CUSTOMERS ACCORDING TO PEOPLE FAMILIAR WITH THE DEVELOPMENTS AT BOTH FINLAND'S FINNAIR AND SCANDANAVIAN CARRIER SAS SEATTLEBASED BOEING IS LEADING AN AGGRESSIVE BID TO SUBSTITUTE ITS PLANES FOR LARGE NUMBERS OF PLANES BUILT BY MCDONNELL DOUGLAS ST LOUIS BOTH EUROPEAN AIRLINES ARE SEEN BY BOEING AND INTERNATIONAL LEASE AS EARLY CUSTOMERS FOR AN ADVANCED LINE OF EFFICIENT NEW BOEING 737X NARROWBODIED JETS NOW IN DEVELOPMENT FINNAIR SAID IT IS INDEED CONSIDERING A PROPOSAL FROM BOEING AND INTERNATIONAL LEASE BEVERLY HILLS CALIF THE PLAN WOULD ALLOW FINNAIR TO SUBSTITUTE SIX NEW BOEING 767 WIDEBODIED PLANES AND 30 BOEING 737 JETLINERS WITH A TOTAL VALUE OF ABOUT 16 BILLION FOR ITS ENTIRE 44PLANE FLEET HOWEVER AN SAS SPOKESMAN SAID THAT BOEING AND ILFC HAVE NO SUCH PROPOSAL ON THE TABLE TO REPLACE MCDONNELL DOUGLAS JETS WITH BOEING JETS THE EFFORT BY THE TWO POWERFUL PLAYERS PROMPTED SOME MCDONNELL DOUGLAS OFFICIALS TO SUGGEST PRIVATELY THAT THEIR BUSINESS IS BEING TARGETED BY COLLUSION BETWEEN THE WORLD'S LARGEST AIRCRAFT MAKER AND ITS MOST SUCCESSFUL LEASING CONCERN A UNIT OF THE NEW YORK INSURANCE COMPANY AMERICAN INTERNATIONAL GROUP INC PUBLICLY HOWEVER MCDONNELL DOUGLAS DECLINED COMMENT ON THE IDEA FINNAIR'S FLEET INCLUDES BOTH OLD AND NEW MCDONNELL DOUGLAS AIRCRAFT FIVE DC10 WIDEBODIES AND THREE MD11 WIDEBODIES 17 MD80 TWINJETS AND 17 DC9S FINNAIR WHICH ALSO OPERATES TWO AIRBUS A300S SAID IT IS ALSO CONSIDERING COMPETING PROPOSALS FROM MCDONNELL DOUGLAS AND EUROPE'S AIRBUS INDUSTRIE HOWEVER HENRIK ARLE FINNAIR EXECUTIVE VICE PRESIDENT SAID TALKS WITH BOEING AND INTERNATIONAL LEASE ARE THE MOST ADVANCED UNDER TERMS OF THE BOEINGILFC TEAM'S OFFER INTERNATIONAL LEASE WOULD DISPOSE OF FINNAIR'S EXISTING FLEET AND WOULD ALSO BE ABLE TO LEASE TO FINNAIR HALF OF THE BOEING MODEL 767 JETS AND A THIRD OF THE 737 JETS ILFC PRESIDENT STEVEN UDVARHAZY SAID HE SAID THE JOINT BID FOR FINNAIR'S BUSINESS DOESN'T SIGNAL THE TEAM IS GOING INTO SOME KIND OF COLLABORATIVE VENTURE TO REPLACE DOUGLAS AIRPLANES HE SAID THE PROPOSAL MAKES MORE SENSE FOR THE CARRIER WHICH IS LOOKING TO SHRINK ITS FLEET AND REARRANGE SIZES OF AIRCRAFT A BOEING SPOKESMAN SAID THE COMPANY HAS SECURED A LETTER OF INTENT SAYING THAT FINNAIR WILL PROCEED WITH THE TEAM'S PROPOSED DEAL AN IMPORTANT STEP TOWARD A COMPLETED SALE A MCDONNELL DOUGLAS SPOKESWOMAN CONFIRMED THAT SENIOR MCDONNELL DOUGLAS EXECUTIVES WERE IN FINLAND YESTERDAY TO WORK ON THEIR OWN PROPOSAL SEPARATELY A PERSON FAMILIAR WITH THE COMPETITION BETWEEN BOEING AND MCDONNELL DOUGLAS SAID THAT BOEING AND ILFC ALSO ARE PROPOSING THAT SAS REPLACE SMALLER MCDONNELL DOUGLAS JETS WITH THE NEW 737X SAS CURRENTLY HAS A 170PLANE FLEET SAS WHICH INCLUDES COMBINED NORWEGIAN DANISH AND SWEDISH CONCERNS IS CURRENTLY IN TALKS ON A POSSIBLE MERGER OR EXTENSIVE COOPERATION WITH SWISSAIR KLM ROYAL DUTCH AIRLINES AND AUSTRIAN AIRLINES ONE OF THE IDEAS UNDER CONSIDERATION IS TO COORDINATE AIRCRAFT PURCHASES A BOEING SPOKESMAN DECLINED COMMENT ON THE SAS DEAL BUT ACKNOWLEDGED THAT BOEING HAS PROPOSED TO AIRLINES A NEW 737X AIRCRAFT THAT WOULD BE AVAILABLE IN FOUR SIZES THREE WOULD GENERALLY MATCH THE SIZE OF THE THREE 737 MODELS NOW AVAILABLE THEY CARRY 100 TO 150 PASSENGERS A FOURTH WOULD BE LARGER ALL WOULD FEATURE A MODIFIED WING DESIGN WITH A LARGER SPAN FOR GREATER EFFICIENCY THAN CURRENT MODELS ADVANCED ENGINES WOULD OFFER REDUCED NOISE AND FUEL BURN AS WELL AS GREATER THRUST AND RANGE SUCH ADVANCES WOULD ALLOW THE JET TO MEET TOUGH NOISE AND EMISSIONS STANDARDS IN SCANDINAVIA THEY ALSO WOULD GIVE BOEING A LINE OF SMALLER JETLINERS THAT COULD COMPETE MORE EFFECTIVELY WITH THE NEWER AIRBUS A320 TWINJET MR HAZY SAID ILFC WANTS THE JETS AVAILABLE BY 1997 AT THE LATEST TO ACCOMMODATE THE FINNISH CARRIER'S NEEDS HE ALSO SAID THE LEASING COMPANY WOULD BE WILLING TO ENTER INTO SIMILAR AGREEMENTS WITH AIRBUS OR MCDONNELL DOUGLAS IN THE RIGHT CIRCUMSTANCES HOWEVER HE NOTED THAT MCDONNELL DOUGLAS HAS FEW JETS PLACED WITH INTERNATIONAL LEASE DOUGLAS HAS NOT CULTIVATED THE ILFC RELATIONSHIP HE SAID 9304140014 930414 ECONOMY RETAIL SALES FELL BY 1 IN MARCH WEATHER CITED DECLINE BIGGEST SINCE 1991 INCREASES THE CONCERN ABOUT PACE OF RECOVERY BY LUCINDA HARPER STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON RETAIL SALES IN MARCH TOOK THEIR BIGGEST TUMBLE SINCE THE RECESSION HEIGHTENING CONCERN ABOUT CONSUMER STRENGTH AND THE PACE OF THE RECOVERY THE COMMERCE DEPARTMENT SAID SALES DROPPED 1 LAST MONTH TO 16694 BILLION THAT WAS THE LARGEST DECLINE SINCE JANUARY 1991 AND IT MARKED THE THIRD STRAIGHT MONTH RETAIL SALES HAVEN'T RISEN SALES IN FEBRUARY WERE DOWN A REVISED 03 THEY PREVIOUSLY WERE REPORTED AS GAINING 03 RETAIL SALES IN JANUARY WERE FLAT SEVERAL ECONOMISTS SAID THE POOR PERFORMANCE IN MARCH WAS WEATHERRELATED SNOW AND RAIN STORMS BATTERED THE EAST AND WEST COASTS LAST MONTH SHUTTING DOWN STORES AND DAMPING SHOPPER TRAFFIC FOR RETAILERS THAT DID STAY OPEN BUT WHILE STORMS MAY HAVE PLAYED A ROLE IN THE DROP THERE WERE OTHER MORE LASTING CULPRITS AS WELL AFTER A BURST OF CONSUMER SPENDING IN THE FINAL QUARTER OF 1992 AMERICANS HAVE SLOWED THEIR SPENDING PACE QUITE NOTICEABLY THAT IS BECAUSE JOB GROWTH HAS BEEN RELATIVELY WEAK AND GROWTH IN DISPOSABLE INCOME HAS BEEN LACKLUSTER TOO CONSUMERS HAVE SAID WE'RE NOT EXPANDING THAT WELL THE JOB MARKET DOESN'T LOOK THAT GOOD I'VE GOT TO PUT THE BREAKS ON SPENDING' SAID GEORGE ASHUR DIRECTOR OF RESEARCH FOR CHASE SECURITIES INC IN NEW YORK LAURA TYSON CHAIRWOMAN OF PRESIDENT CLINTON'S COUNCIL OF ECONOMIC ADVISERS SAID DECLINING CONSUMER CONFIDENCE AND THE DROP IN THE TOTAL NUMBER OF JOBS LAST MONTH SUGGEST THAT THE ECONOMY IS SLOWING NOT STALLING BUT DEFINITELY SLOWING SHE SAID THE LATEST REPORT ON RETAIL SALES IS JUST ANOTHER SIGN THAT THE ECONOMY NEEDS THE PRESIDENT'S PROPOSED 16 BILLION STIMULUS PLAN WHICH HAS BEEN HELD UP IN CONGRESS WITHOUT THE STIMULUS PACKAGE I BELIEVE THE RECOVERY WILL CONTINUE BUT THE RATE IT CONTINUES MAY BE INSUFFICIENT TO CREATE JOBS SHE SAID SALES DROPPED ACROSS ALL SECTORS IN MARCH EXCEPT FOR DRUGSTORES WHOSE RECEIPTS GREW 05 SALES OF BUILDING MATERIALS HOME FURNISHINGS GROCERIES CLOTHES AND GAS ALL DROPPED SIGNIFICANTLY CAR SALES FELL ONLY SLIGHTLY ANALYSTS SAID THE LARGE DECLINE IN RETAIL SALES HELPS EXPLAIN WHY INFLATION AT THE CONSUMER LEVEL WAS A MODEST 01 LAST MONTH AFTER GAINS OF 05 IN JANUARY AND 03 IN FEBRUARY CONSUMERS ARE JUST REFUSING TO SPEND MORE MONEY AND RETAILERS REALIZE LARGE PRICE INCREASES CAN'T STICK SAID SANDRA SHABER RETAIL ANALYST FOR THE WEFA GROUP IN SUBURBAN PHILADELPHIA ALL FIGURES HAVE BEEN ADJUSTED FOR NORMAL SEASONAL VARIATIONS 9304140013 930414 SPROUSEREITZ STORES SALES ROSE PORTLAND ORE SPROUSEREITZ STORES INC SAID SALES FOR THE FIVE WEEKS ENDED MARCH 30 ROSE 114 TO 139 MILLION SAMESTORE SALES ROSE 118 REFLECTING ONE LESS STORE IN OPERATION FOR THE PERIOD 9304140012 930414 CANADIAN PACIFIC FOREST PRODUCTS MONTREAL CANADIAN PACIFIC FOREST PRODUCTS LTD SAID IT WILL PERMANENTLY CEASE PRODUCTION OF MARKET PULP AT ITS MILL IN LA TUQUE QUEBEC RESULTING IN THE LAYOFF OF 200 EMPLOYEES THE COMPANY HAD ANNOUNCED IN FEBRUARY THAT IT WAS SUSPENDING MARKET PULP OUTPUT AT THE MILL WHICH HAS ANNUAL CAPACITY OF 156000 METRIC TONS BECAUSE OF THE WEAK GLOBAL MARKET FOR PULP A METRIC TON EQUALS 220462 POUNDS THE CLOSURE WON'T ENTAIL A WRITEDOWN THE COMPANY SAID THE MILL WILL CONTINUE TO PRODUCE PAPERBOARD 9304140011 930414 OBSCURE AUSTRALIAN MINING STOCK SURGED ON APPARENT ENDORSEMENT BY RABBI BY SARA CALIAN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK THE WORLD MAY NEVER KNOW FOR SURE JUST WHY A FAMOUS 91YEAROLD RABBI IN CROWN HEIGHTS DECIDED TO LET HIMSELF BE PORTRAYED AS BLESSING AN OBSCURE GOLDANDDIAMOND MINING COMPANY IN AUSTRALIA BUT ONE THING IS CERTAIN WHEN THE WORD RACED THROUGH WALL STREET THAT THE GRAND RABBI MENACHEM MENDEL SCHNEERSON HAD BLESSED GREAT CENTRAL MINES NL OF MELBOURNE SOME STOCK TRADERS BECAME BELIEVERS NO SOONER DID GREAT CENTRAL'S STOCK BEGIN TRADING IN THE US MARCH 3 THAN THE SHARES SOARED NEARLY TRIPLING WITHIN A MONTH TO AN INTRADAY HIGH OF 14 FROM 4875 QUITE A DEBUT FOR A STOCK THAT SPENT YEARS TRADING UNEVENTFULLY IN AUSTRALIA BUT THE PROVIDENCE WAS SHORTLIVED THE STOCK IS DOWN TO 1025 ON NASDAQ AND THE AUSTRALIAN STOCK EXCHANGE IS INVESTIGATING THE RUNUP HOW DID THE GRAND RABBI KNOWN AS THE REBBE OF NEW YORK'S ULTRAORTHODOX LUBAVITCHER CHASIDIC SECT WIND UP PLAYING A ROLE IN THE STOCK'S ADVANCE THE ANSWER CAN BE SEEN IN PART ON THE COMPANY'S VIDEOTAPED MESSAGE WHICH HAS BEEN CIRCULATING AMONG INVESTORS LET'S GO TO THE VIDEOTAPE AS THE VIDEO ROLLS GREAT CENTRAL'S CHAIRMAN JOSEPH I GUTNICK IS SPEAKING THE REBBE ON MANY MANY OCCASIONS HAS ASSURED ME BOTH PUBLICLY AND PRIVATELY THAT I WILL BE INVOLVED WITH MAJOR DISCOVERIES IN BOTH GOLD AND DIAMONDS HE SAYS IT'S NOT BLIND FAITH IT'S HEEDING THE ADVICE OF A VERY RIGHTEOUS MAN REACHED LAST NIGHT IN MELBOURNE MR GUTNICK REITERATED HIS BELIEF IN THE RABBI'S PROPHECY THE REBBE PREDICTED THE FALL OF COMMUNISM AND MANY OTHER IMPORTANT WORLD EVENTS AND I AM ENCOURAGED BY HIS PREDICTION THAT WE WILL HAVE A MAJOR GOLD AND DIAMOND FIND IN THE NEXT SIX MONTHS MR GUTNICK SAYS THE RABBI HAS NOT PROPHESIZED THE PRICE OF THE STOCK BUT HAS SAID THAT I'D BE VERY SUCCESSFUL THIS IS AS RARE AN OCCURRENCE FOR WALL STREET AS IT IS FOR THE RABBI MR GUTNICK SAYS IT IS VERY UNUSUAL FOR THE RABBI TO COMMENT ON BUSINESS ISSUES HE SAYS THE RABBI WHO HAD A STROKE MORE THAN A YEAR AGO COULDN'T BE REACHED BUT HE DOES APPEAR IN THE COMPANY'S VIDEO MOREOVER MR GUTNICK HAS BEEN A BIG DONOR TO THE NEW YORK LUBAVITCHER SECT OVER THE YEARS ACCORDING TO GREAT CENTRAL OFFICIALS BACK IN THE MID1970S THEY ADD MR GUTNICK LIVED IN LUBAVITCHERS' BROOKLYN NEIGHBORHOOD HIMSELF AND STUDIED FOR A TIME UNDER RABBI SCHNEERSON ON THE VIDEO THE RABBI HIMSELF APPEARS IN PROFILE SURROUNDED BY MEN WITH BEARDS AND BLACK HATS WHO ARE POINTING TO A MAP APPARENTLY OF THE GREATER NABBERU REGION OF WESTERN AUSTRALIA TRADERS SAY THEY FIRST HEARD OF THE RABBI'S BLESSING IN 1990 BUT THE STOCK DIDN'T START LEAPING UNTIL MIDMARCH THAT'S WHEN MR GUTNICK TRAVELED AROUND THE US TO PROMOTE THE COMPANY SHORTLY AFTER GREAT CENTRAL BEGAN TRADING IN THE US IN THE FORM OF AMERICAN DEPOSITARY RECEIPTS THE FIRST PROBLEMS SURFACED EARLIER THIS MONTH THE STOCK WAS HALTED FOR A SIXDAY STRETCH IN THE MIDST OF THE SUSPENSION GREAT CENTRAL'S JOINTVENTURE PARTNER ISSUED A STATEMENT AT THE REQUEST OF THE AUSTRALIAN STOCK EXCHANGE THE STATEMENT SAID NONE OF THE PROSPECTIVE DIAMONDBEARING MATERIAL HAS THUS FAR BEEN DEMONSTRATED TO HAVE ECONOMIC POTENTIAL DURING THIS PERIOD THE AUSTRALIAN EXCHANGE ALSO SENT A GEOLOGIST TO INSPECT THE COMPANY'S MINING REPORTS MORE RECENTLY THE AUSTRALIAN EXCHANGE ASKED THE AUSTRALIAN SECURITIES COMMISSION TO INVESTIGATE A SPOKESMAN FOR THE SECURITIES COMMISSION SAYS OFFICIALS ARE INVESTIGATING WHY THE PRICE SOARED IN THE TWO WEEKS BEFORE THE TRADING HALT THIS IS A LOT OF ACTIVITY FOR A VERY SPECULATIVE COMPANY WITH NO EARNINGS THE COMPANY HAD AN OPERATING LOSS OF 21 AUSTRALIAN CENTS A SHARE 15 US CENTS FOR ITS YEAR ENDED JUNE 30 1992 IT HAD ABOUT A2 MILLION IN CASH AS THE FISCAL YEAR ENDED SHAREHOLDERS OF GREAT CENTRAL'S STOCK HAD BETTER START SAYING THEIR PRAYERS SKEPTICAL TRADERS SAY WHEN THE STOCK HIT THE NASDAQ EVERYBODY WAS STEPPING OVER THEMSELVES TO GET IT SAYS ALEX FRANK A TRADER WITH THE BROKERAGE FIRM SMITH NEW COURT CARL MARKS IN NEW YORK THAT SEEMED UNUSUAL TO THE TRADER WHO SAYS THE STOCK WAS BLESSED LONG BEFORE IT GOT ON THE NASDAQ AND IT WAS JUST TRADING NORMALLY ON THE AUSTRALIAN STOCK EXCHANGE MAYBE HE THE RABBI REBLESSED THE STOCK I'M JEWISH AND I DON'T EVEN KNOW HOW YOU DO THAT JUST BEFORE THE ADRS HIT THE NASDAQ MARKET MR GUTNICK HIRED HERBERT LANZET IN NEW YORK TO HELP WITH PUBLIC RELATIONS AND PLAN THE INFORMAL ROADSHOW TO SEVERAL CITIES INCLUDING CHICAGO DENVER AND MINNEAPOLIS ROADSHOWS ARE PRESENTATIONS TO INVESTORS MEANT TO DRUM UP SUPPORT FOR A STOCK AS PART OF THE LUBAVITCHER RITUAL FOR RECEIVING ADVICE THE RABBI TOLD JOSEPH GUTNICK THAT HE WOULD FIND WEALTH OR SUCCESS IN AUSTRALIA AND THIS SPREAD BY WORD OF MOUTH SAYS MR LANZET JOSEPH IS VERY PROUD OF THE FACT THAT HE IS ON GOOD TERMS WITH THE REBBE I'M CATHOLIC IT'S THE SAME AS IF I WERE A KNIGHT OF MALTA NOT QUITE MANY OF THE RABBI'S FOLLOWERS VIEW HIM AS THE MELECH HAMOSHIACH OR KING MESSIAH ACCORDING TO A JEWISH NEWSPAPER THE FORWARD WHICH HAS WRITTEN ABOUT GREAT CENTRAL AND THE RABBI'S APPARENT ENDORSEMENT MR LANZET INSISTS THAT ALTHOUGH THE RABBI'S PROPHECY HAS BEEN WIDELY SPREAD THERE AREN'T ENOUGH MEMBERS OF THE LUBAVITCHER ORDER TO ATTRIBUTE THE STOCK'S WHOLE GAIN TO THEM I CAN'T BELIEVE A NICE IRISH BROKER IN CHICAGO IS TELLING HIS BUDDIES TO TAKE A SHOT AT THIS STOCK BECAUSE A REBBE BLESSED IT HE SAYS PERHAPS GREAT CENTRAL'S JOINTVENTURE PARTNER STOCKDALE PROSPECTING AN AUSTRALIAN ARM OF THE GIANT DE BEERS CONSOLIDATED MINES LTD CONGLOMERATE HASN'T SEEN THE VIDEOTAPE FOLLOWING THIS MONTH'S SIXDAY SUSPENSION OF TRADING STOCKDALE KNOCKED DOWN SOME HOPES ACCORDING TO ITS DISCLOSURE ONLY FOUR DIAMONDS WEIGHING A TOTAL OF 00021575 METRIC CARATS WERE FOUND IN THE JOINT VENTURE AREA IN GREATER NABBERU YOU REMEMBER THE OLD CLICHE THE GLASS IS HALF FULL OR HALF EMPTY DEPENDING ON HOW YOU LOOK AT IT' AT LEAST THEY BOTH AGREE THAT THEY FOUND SOMETHING SAYS MR LANZET WHETHER OR NOT THEY ARE SMALL OR GEM QUALITY WHO KNOWS WHAT THEY WILL FIND JOSEPH HAYDEN BARRY A DIRECTOR AND COMPANY SECRETARY SAYS GREAT CENTRAL HAS FULLY REPORTED ALL OF ITS FINDINGS WE SUSPENDED THE STOCK BECAUSE THE PRICE WAS A BIT VOLATILE AND EVERYBODY WAS GETTING OVERHEATED HE SAID HE DECLINED TO COMMENT ON MR GUTNICK'S RELATIONSHIP WITH THE RABBI OTHER THAN TO SAY IT WAS UNIQUE IF NERVOUS INVESTORS TURN TO ANALYSTS FOR GUIDANCE THEY MAY WANT TO BE CAREFUL GREAT CENTRAL HIRED A CONSULTANT RONALD SHORR WHO PUBLISHED A DETAILED RESEARCH REPORT ON GREAT CENTRAL IN FEBRUARY HE SAID IN AN INTERVIEW THAT IN A HIGHLY SPECULATIVE OPERATION SUCH AS MINING NO EARNINGS ARE GUARANTEED UNTIL 1995 OR BEYOND MR SHORR ONCE WORKED AS AN ANALYST FOR NATWEST SECURITIES HE SAYS HE NOW WORKS AS A CONSULTANT FOR HALF A DOZEN COMPANIES MR SHORR'S 18PAGE RESEARCH REPORT HAS A FOOTNOTE DISCLAIMING IT AS EITHER A RECOMMENDATION TO BUY OR SELL THE STOCK BUT HE WRITES WITH ENTHUSIASM ABOUT THE COMPANY HIS ANALYSIS IS PEPPERED WITH SUCH PHRASES AS GCM HAS POTENTIAL FOR EXPLOSIVE GROWTH VIA ADDITIONAL UPGRADING OF DISCOVERIES THE COMPANY SAYS IT PAID MR SHORR 6500 GREAT CENTRAL SHARES FOR HIS SERVICES EACH NASDAQTRADED ADR DENOTES ONE SHARE IN THE THREEMINUTE VIDEO SEGMENT MR GUTNICK SOUNDS SUPREMELY CONFIDENT IF THERE IS ANYONE I'D FOLLOW WHETHER A GEOLOGIST OR THE REBBE I'D FOLLOW THE REBBE SAYS MR GUTNICK HE IS ABLE TO SEE THINGS WE CAN'T SEE 9304140010 930414 CREDIT MARKETS TREASURYS RISE EARLY ON RETAIL SALES SURPRISE BUT STUMBLE AFTER NOTE AUCTION TO FINISH MIXED BY THOMAS D LAURICELLA SPECIAL TO THE WALL STREET JOURNAL NEW YORK TREASURY SECURITIES ENDED NARROWLY MIXED AFTER SPENDING THE DAY RIDING CHOPPY WAVES OF BULLISH AND BEARISH NEWS AMONG THE FACTORS TOSSING THE MARKET BACK AND FORTH WERE BULLISH NEWS FROM THE GOVERNMENT ON MARCH RETAIL SALES EXTREMELY WEAK DEMAND AT THE TREASURY'S SEVENYEAR NOTE AUCTION AND STRONG CHAIN AND DEPARTMENT STORE SALES FOR EARLY APRIL THERE WAS A LOT OF TRADING A LOT OF PRICES A LOT OF VOLUME SAID STEPHEN MAHER AN EXECUTIVE VICE PRESIDENT AT NIKKO SECURITIES CO INTERNATIONAL INC BY LATE YESTERDAY THE BENCHMARK 30YEAR TREASURY BOND HAD RISEN MORE THAN 1/8 POINT OR MORE THAN 125 FOR A BOND WITH 1000 FACE VALUE TO 104 10/32 TO YIELD 678 DOWN FROM 679 ON MONDAY BUT DURING THE DAY THE BOND HAD RISEN AS MUCH AS 3/4 POINT AND FALLEN AS MUCH AS 3/8 POINT MEANWHILE THE 10YEAR NOTE DROPPED 1/8 POINT TO 102 13/32 TO YIELD 591 UNCHANGED FROM MONDAY TREASURYS BEGAN YESTERDAY'S SESSION ON SOLID FOOTING BOLSTERED BY UNEXPECTEDLY WEAK READINGS ON MARCH RETAIL SALES THE COMMERCE DEPARTMENT REPORTED THAT SALES PLUNGED 1 DURING THE MONTH A DECLINE OF 12 EXCLUDING AUTOS WALL STREET EXPECTATIONS HAD CENTERED ON AN UNCHANGED OVERALL READING WITH A SMALL INCREASE IN SALES EXCLUDING AUTOS HOWEVER THE TREASURY GAINS POSTED IN RESPONSE TO THE SALES DATA PROVED TO BE LIMITED THE MARKET STARTED OUT ON A GOOD NOTE BUT IT CHANGED RATHER DRAMATICALLY SAID JAMES KENNEY HEAD TRADER AT PRUDENTIAL SECURITIES INC THE FIRST STUMBLING BLOCK FOR THE MARKET PROVED TO BE THE TREASURY'S AUCTION OF 975 BILLION IN SEVENYEAR NOTES EVEN THROUGH EXPECTATIONS FOR SEVENYEAR NOTE AUCTIONS ARE USUALLY LOW PARTICIPANTS SAID YESTERDAY'S OFFERING PROVED TO BE WORSE THAN USUAL THE TREASURY AWARDED THE 975 BILLION IN SEVENYEAR NOTES AT AN AVERAGE YIELD OF 554 WITH A HIGH YIELD OF 558 ANALYSTS SAID THE HIGHERTHANEXPECTED AVERAGE YIELD AS WELL AS THE 004 PERCENTAGE POINT DIFFERENCE BETWEEN THE AVERAGE AND HIGH YIELD REFLECTED EXTREMELY UNAGGRESSIVE BIDDING IT WAS VERY VERY SLOPPY SAID CARY LEAHEY SENIOR ECONOMIST AT LEHMAN GOVERNMENT SECURITIES INC TRADERS SAID THE SEVENYEAR NOTE HAD SIMPLY GOTTEN TOO EXPENSIVE FOR DEALERS TO UNDERWRITE THAT COMPOUNDED THE PROBLEMS FOR THE ISSUE WHICH IS OFTEN REGARDED AS THE UGLY DUCKLING OF THE TREASURY MARKET THE SEVENYEAR NOTE GENERALLY DOES NOT ATTRACT MUCH INSTITUTIONAL INTEREST BECAUSE IT IS TOO SHORT AN INSTRUMENT FOR ACCOUNTS MAKING A BULLISH SPECULATIVE BET ON THE MARKET AND TOO LONG A MATURITY FOR INVESTORS LOOKING TO PULL IN THEIR HORNS AS A RESULT IT IS USUALLY UP TO DEALERS TO TAKE DOWN THE BULK OF THE ISSUE REFLECTING THE LACK OF DEMAND AT THE AUCTION WAS THE SOCALLED BIDTOCOVER RATIO WHICH COMPARES THE NUMBER OF BIDS TENDERED COMPARED TO THE NUMBER ACCEPTED THE RATIO WAS 193TO1 WELL BELOW THE 22TO1 AVERAGE OF THE PREVIOUS 12 AUCTIONS AND DOWN FROM 232TO1 AT THE LAST SEVENYEAR NOTE AUCTION COMPLICATING THE BIDDING PROCESS AND REMOVING A LEG OF SUPPORT FROM THE AUCTION WAS SPECULATION THAT THE FEDERAL RESERVE MIGHT ANNOUNCE AN OUTRIGHT PURCHASE OF SECURITIES ANALYSTS BELIEVE THE FED NEEDS TO BUY ABOUT 4 BILLION OF BILLS OR COUPON SECURITIES THIS WEEK IN ORDER TO INJECT RESERVES INTO THE BANKING SYSTEM AND ADDRESS A SEASONAL SHORTAGE OF RESERVES SUCH A MOVE WOULD HAVE NO MONETARY POLICY SIGNIFICANCE UNTIL IT BECAME CLEAR THAT THE PURCHASE KNOWN AS A PASS WAS NOT GOING TO OCCUR MANY TRADERS WERE RELUCTANT TO SET UP POSITIONS FOR THE AUCTION IN ADDITION SOME TRADERS HAD BEEN BETTING THE PASS WOULD OCCUR AND WHEN THE FED REFRAINED FROM ACTING THOSE TRADERS BEGAN SELLING THAT PRESSURE INCREASED AFTER THE POOR AUCTION RESULTS WERE ANNOUNCED THE SELLING THEN SNOWBALLED WHEN THE JOHNSON REDBOOK SERVICE REPORTED CHAIN AND DEPARTMENT STORE SALES ROSE A STRONGERTHANEXPECTED 56 DURING THE WEEK ENDED APRIL 10 REDBOOK AN AFFILIATE OF LYNCH JONES & RYAN INC SAID THE INCREASE WAS LARGELY DUE TO AN EARLIER EASTER HOLIDAY THIS YEAR AND IMPROVING WEATHER BUT AS THE MARKET BEGAN TO WEAKEN DURING LATE AFTERNOON TRADING BUYING INTEREST FROM DEALERS AND INVESTORS EMERGED FROM THE WOODWORK AND THE MARKET BOUNCED BACK FROM ITS WORST LEVELS THERE IS STILL A VERY GOOD BID UNDER THE MARKET AND AS SOON AS IT RAN THROUGH THE SELLERS THE BID CAME RIGHT BACK SAID BERNARD KANE A MANAGING DIRECTOR AT FUJI SECURITIES INC BY THE TIME THE DUST SETTLED THE YIELD ON THE WHENISSUED SEVENYEAR NOTE STOOD AT 554 HAVING TRADED TO A LOW OF 546 EARLY IN THE SESSION AND TO A HIGH OF 559 DURING THE AFTERNOON SELLOFF TODAY SHOULD BE A QUIETER SESSION BUT TRADERS WILL STILL BE ON THE WATCH FOR AN OUTRIGHT PURCHASE OF TREASURY BILLS OR NOTES BY THE FED RATES ARE DETERMINED BY THE DIFFERENCE BETWEEN THE PURCHASE PRICE AND FACE VALUE THUS HIGHER BIDDING NARROWS THE INVESTOR'S RETURN WHILE LOWER BIDDING WIDENS IT CORPORATE BONDS SEESAWED WITH THE TREASURY MARKET YESTERDAY INVESTMENTGRADE ISSUES OPENED 1/8 POINT TO 1/4 POINT STRONGER DIPPED BRIEFLY HALFWAY THROUGH THE DAY AND ROSE LATER TO END LITTLE CHANGED JUNK BONDS CLOSED UNCHANGED TO 1/8 POINT LOWER IN THIN VOLUME AS MANY INVESTORS HEADED TO A JUNKBOND CONFERENCE HOSTED BY BEAR STEARNS & CO THIS WEEK NEARLY 18 BILLION OF DEBT PAPER WAS SOLD YESTERDAY WITH MUCH OF THE NEW PAPER SLATED TO REPLACE HIGHERCOUPON SECURITIES INVESTMENT BANKERS SAY MANY MORE COMPANIES ARE CONSIDERING NEW OFFERINGS IN THE DAYS AHEAD BUT MAY BACK OFF AFTER TODAY'S CHOPPY TRADING CORPORATE FINANCE OFFICIALS ARE CONCERNED THAT THIS WEEK'S BORROWING WINDOW MIGHT CLOSE SOON SYNDICATE OFFICIALS SAID IF THEY'RE STILL INTERESTED I THINK COMPANIES WILL WANT TO GET DEALS DONE AS SOON AS POSSIBLE A SENIOR UNDERWRITING OFFICIAL SAID THE FIRST VOLLEY OF NEW BONDS INCLUDED NEW ISSUES FROM LOCKHEED CORP BEAR STEARNS COS MERRILL LYNCH & CO AND LOUISIANA LAND & EXPLORATION CO THEN CAME THE DISAPPOINTING SEVENYEAR NOTE AUCTION WHICH PROMPTED TRADERS TO SELL BONDS DRIVING UP INTEREST RATES AND PUTTING A BRIEF HALT TO BOND SALES LATER IN THE SESSION WHEN TREASURY PRICES BEGAN TO RISE AGAIN ANOTHER ROUND OF NEW BONDS WERE OFFERED INCLUDING ISSUES FROM COMMONWEALTH EDISON CO PORTLAND GENERAL CORP'S PORTLAND GENERAL ELECTRIC CO UNIT CANADIAN PACIFIC LTD AND HOUSTON LIGHTING & POWER A UNIT OF HOUSTON INDUSTRIES INC AMONG SPECIFIC SECONDARY ISSUES THE GAP BETWEEN YIELDS ON BONDS OF SALOMON INC AND COMPARABLE TREASURYS WIDENED BY ABOUT 005 PERCENTAGE POINT AFTER STANDARD & POOR'S CORP LOWERED THE FIRM'S SENIOR DEBT RATING TO SINGLEAMINUS FROM SINGLEA SEPARATELY TELECOMMUNICATIONS INC FILED A SHELF OFFERING FOR AS MUCH AS 3 BILLION OF NEW DEBT SECURITIES CLASS A COMMON STOCK AND WARRANTS FOR CLASS A COMMON STOCK THE CABLE COMPANY SAID PROCEEDS WILL BE USED TO REPAY REDEEM OR REPURCHASE OUTSTANDING DEBT TO REPURCHASE COMMON AND PREFERRED SHARES AND TO FUND ACQUISITIONS CAPITAL EXPENSES AND GENERAL OPERATIONS SOME INVESTORS SAID THEY WERE SURPRISED BY TCI'S MOVE TO SELL NEW SECURITIES NOW CONSIDERING THE RECENT VOLATILITY AND UNCERTAINTY IN THE CABLE SECTOR AFTER THE FEDERAL COMMUNICATIONS COMMISSION'S MOVE TO MORE CLOSELY REGULATE THE INDUSTRY BY ROLLING BACK RATES ON MANY CABLE OPERATORS MUNICIPAL BONDS WERE GENERALLY 1/8 TO 1/2 POINT HIGHER IN LATE TRADING YESTERDAY MUNIS ROSE EARLY IN THE SESSION ON NEWS ABOUT THE UNEXPECTED 10 PLUNGE IN RETAIL SALES LAST MONTH AND HELD THEIR GAINS EVEN THOUGH US GOVERNMENT BONDS SLIPPED AFTER THE DISAPPOINTING AUCTION OF SEVENYEAR TREASURY NOTES THE TREASURY AWARDED THE NOTES AT AN AVERAGE YIELD OF 554 HIGHER THAN THE ANTICIPATED AVERAGE YIELD OF 551 AMONG ACTIVELY TRADED TAXEXEMPT BONDS THE UTAH INTERMOUNTAIN POWER AGENCY'S 550 POWER SUPPLY REVENUE REFUNDING BONDS DUE 2020 CLOSED 1/8 HIGHER AT 95 1/2 YIELDING 581 CALIFORNIA'S 590 GENERAL OBLIGATION BONDS DUE 2023 FINISHED 1/2 FIRMER AT 100 1/2 YIELDING 585 MUNIS HAVE REGISTERED GAINS FOR FIVE CONSECUTIVE SESSIONS DESPITE LINGERING WORRIES ABOUT HEAVY SUPPLY OF TAXEXEMPT BONDS BUYING HAS BEEN FUELED BY THE ENCOURAGING MARCH INFLATION DATA AND OPTIMISM ABOUT THE TREASURY MARKET'S RECENT STRONG PERFORMANCE MUNI SPECIALISTS SAY IN THE PRIMARY MARKET THE LARGEST ISSUE PRICED YESTERDAY WAS THE SACRAMENTO CALIF MUNICIPAL UTILITY DISTRICT'S 584 MILLION OFFERING INCLUDED IN THE ISSUE ARE 2904 MILLION OF 1993 SERIES D ELECTRIC REVENUE REFUNDING BONDS PRICED TO YIELD FROM 340 IN 1994 TO 570 IN 2020 THERE ARE ALSO 75 MILLION OF 1993 SERIES E ELECTRIC REVENUE BONDS WITH YIELDS THAT RANGE FROM 445 IN 1997 TO 590 IN 2022 SOME OF THE BONDS ARE INSURED AND CARRY TRIPLEA RATINGS FROM MOODY'S INVESTORS SERVICE INC AND STANDARD & POOR'S CORP MORTGAGE SECURITIES REGISTERED MODERATE LOSSES AFTER A DISAPPOINTING TREASURY AUCTION OF SEVENYEAR NOTES BUT UNDERPERFORMED THEIR GOVERNMENT SECURITIES COUNTERPARTS IN A REPEAT OF MONDAY'S TREND PRICE RANGES WERE TIGHT BUT MORTGAGE SECURITIES TRAILED TREASURYS ALL DAY MORTGAGE SECURITIES OPENED STEADY AND HELD THOSE LEVELS UNTIL RESULTS OF THE TREASURY'S WEAK SEVENYEAR NOTE SALE WERE RELEASED IN THE AFTERNOON BOTH MARKETS THEN LOST GROUND BUT 10YEAR TREASURYS HAD BEEN POSTING GAINS AND ENDED UNCHANGED AMONG 7 MORTGAGE SECURITIES FOR MAY DELIVERY GINNIE MAES DROPPED 6/32 TO 100 23/32 FREDDIE MAC GOLDS DECLINED 7/32 TO 100 28/32 AND FANNIE MAES FELL 7/32 TO 100 22/32 RICHARD SCHWARTZ PENSION VICE PRESIDENT AND PORTFOLIO MANAGER AT NEW YORK LIFE INSURANCE CO SAID THE OVERALL BULLISH SENTIMENT IN THE TREASURY MARKET IS CAUSING MORTGAGE SECURITIES TO UNDERPERFORM ALTHOUGH WE HAVEN'T REALLY SEEN THE SUPPLY YET THERE ARE FEARS OF INCREASED SUPPLY AND INCREASED PREPAYMENT SPEEDS AS LONG AS BOND AND MORTGAGE RATES KEEP BEING PRESSURED DOWNWARD HE ADDED PRIMARY MARKET ACTIVITY WAS CONFINED TO TWO INCREASES IN OUTSTANDING REAL ESTATE MORTGAGE INVESTMENT CONDUIT ISSUES FOR A TOTAL OF 500 MILLION IN NEW SECURITIES AND A 5233 MILLION FREDDIE MAC GOLD 1520 DEAL THAT WAS BACKED BY TWO CLASSES FROM PREVIOUS FREDDIE MAC REMIC ISSUES TERENCE DONNELLY CONTRIBUTED TO THIS ARTICLE 9304140009 930414 CLASH OF TITANS DISNEY TIME WARNER JUST KEEP BUMPING UP AGAINST EACH OTHER THEME PARK AD SPAT REFLECTS THE DIFFICULTY IN BEING BOTH PARTNERS AND RIVALS CONTRASTING BUSINESS STYLES BY WALL STREET JOURNAL STAFF REPORTERS LAURA LANDRO AND PATRICK M REILLY IN NEW YORK AND RICHARD TURNER IN LOS ANGELES LATE LAST MONTH THE AD AGENCY FOR TIME WARNER INC'S SIX FLAGS AMUSEMENT PARKS DEMANDED TO KNOW WHY LOS ANGELES TELEVISION STATION KCAL WAS REFUSING TO BROADCAST ITS AD PITCHING SIX FLAGS'S MAGIC MOUNTAIN PARK NORTH OF THE CITY AS AN ALTERNATIVE TO DISNEYLAND AFTER MEETING WITH WALT DISNEY CO WHICH OWNS THE STATION KCAL SALES MANAGER JANET SCHOFF OFFERED AN EXPLANATION IN AN APRIL 6 LETTER OUR BASIC POLICY IS TO DECLINE TO AIR NEGATIVE COMMERCIALS THAT SIMPLY SEEK TO TRADE UPON THE EXCELLENT REPUTATION OF THE WALT DISNEY COMPANY OR ITS SUBSIDIARIES ALTHOUGH NO SUCH POLICY HAD REASON TO EXIST BEFORE AT KCAL IT DOES NOW MICKEY MOUSE AND BUGS BUNNY HAVE TURNED INTO GODZILLA VS MOTHRA IN A MONSTER BATTLE BETWEEN THE TWO MOST POWERFUL BEHEMOTHS IN THE ENTERTAINMENT INDUSTRY DISNEY CHAIRMAN MICHAEL EISNER HAS LAMBASTED TIME WARNER'S CORPORATE DIRECTION AND QUESTIONED CEO GERALD LEVIN'S ABILITIES TIME WARNER EXECUTIVES SAY DISNEY IS AN IMPLACABLE CORPORATE BULLY DISNEY'S ANGER HAS RISEN TO A BOIL OVER THE SIX FLAGS NATIONAL AD CAMPAIGN WHICH BEGAN EARLY LAST YEAR THE BASIC MESSAGE THE SEVEN SIX FLAGS AMUSEMENT PARKS ARE CHEAPER CLOSER TO HOME AND AT LEAST AS MUCH FUN AS GOING TO DISNEYLAND IN CALIFORNIA OR WALT DISNEY WORLD IN FLORIDA AFTER MONTHS OF URGENT CALLS AND LETTERS TO TIME WARNER EXECUTIVES PROTESTING THE CAMPAIGN DISNEY PULLED ALL OF ITS ADVERTISING FROM TIME WARNER'S STABLE OF MAGAZINES WHERE IT HAS SPENT 40 MILLION OVER THE PAST FIVE YEARS TIME WARNER HIT BACK BY CANCELING A MAJOR CORPORATE MEETING NEXT WEEK AT DISNEY WORLD NEAR ORLANDO UNDERLYING THIS SPAT OVER COMPARATIVE ADVERTISING IS A FAR MORE COMPLEX ISSUE DISNEY AND TIME WARNER ARE FIERCE COMPETITORS IN MOVIES TV PRODUCTION AND THEME PARKS DISNEY EXECUTIVES HAVE LONG PRIVATELY GROUSED THAT TIME WARNER QUICKLY FOLLOWS WHENEVER DISNEY BRANCHES OUT INTO SOMETHING NEW BUT EACH COMPANY IS ALSO THE OTHER'S PARTNER CUSTOMER OR SUPPLIER IN A HANDFUL OF MARKETS INCLUDING RECORDS MAGAZINES CABLE TV AND BOOKS WITH THE TENSIONS INHERENT IN ANY SUCH DUAL RELATIONSHIP OBSERVERS SAY A CONFLICT WAS INEVITABLE DISNEY EXECUTIVES CONTEND THIS ISN'T JUST A CASE OF SOUR GRAPES OVER AN AD CAMPAIGN IN THEIR VIEW TIME WARNER IS TRASHING ONE OF ITS BEST CUSTOMERS AND A BUSINESS PARTNER THIS ISN'T COKE VS PEPSI OR AVIS VS HERTZ SAYS MR EISNER IN AN INTERVIEW TIME WARNER HE ADDS IS FREE TO ADVERTISE ANY WAY THEY WANT TO BUT DON'T ASK ME TO BE IN BUSINESS WITH THEM IN ONE AREA IF THEY ARE GOING TO ATTACK OUR MAIN BUSINESS IN ANOTHER THE THEMEPARK FEUD ALSO ILLUSTRATES HOW SHARPLY TIME WARNER AND DISNEY DIFFER IN ALMOST EVERY ASPECT OF THEIR CORPORATE CULTURE AND MANAGEMENT PHILOSOPHY DISNEY HAS PUT ITS EFFORTS INTO ITS PARKS AND THE SOFTWARE END OF THE ENTERTAINMENT BUSINESS ESCHEWING INVESTMENTS IN DISTRIBUTION TIME WARNER BY CONTRAST HAS HUGE INVESTMENTS IN CABLETV SYSTEMS PRIDES ITSELF ON ITS FORAYS INTO INTERACTIVE TECHNOLOGY AND OWNS MOVIE THEATERS DISNEY SELDOM TAKES ON PARTNERS AND IS RELUCTANT TO MAKE ACQUISITIONS DESPITE A STRONG BALANCE SHEET TIME WARNER ITSELF FORMED BY THE 1989 14 BILLION ACQUISITION OF WARNER COMMUNICATIONS INC BY TIME INC SOLD A 125 INTEREST IN ITS ENTERTAINMENT OPERATIONS TO HELP PAY OFF ITS DEBT AND IS SEEKING OTHER INVESTORS BUT DISNEY HAS AVOIDED TIME WARNER'S CRUSHING DEBT LOAD AND ITS STOCK PRICE HAS OUTPERFORMED TIME WARNER'S DISNEY IS LEGENDARY FOR CHARGING INTO BATTLE WHEN IT FEELS ITS CHARACTERS HAVE BEEN INFRINGED ON OR ITS NAME SULLIED IT FORCED A FLORIDA DAYCARE CENTER TO REMOVE ICONS OF MICKEY MOUSE AND FOUGHT AND EVENTUALLY LOST A LEGAL BATTLE WITH WHEELCHAIRBOUND SINGER PEGGY LEE WHO HAD SUPPLIED A VOICE IN LADY AND THE TRAMP DISNEY'S INVALUABLE BRAND NAME REPRESENTS FAMILY ENTERTAINMENT AND WHOLESOME VALUES EVERYWHERE BUT MR EISNER'S TOUGHMINDED MANAGEMENT OF THESE ASSETS AND HIS ZEAL IN PROTECTING THEM CAN MAKE DISNEY SEEM LIKE THE OPPOSITE OF THE SOFT AND CUDDLY IMAGES IT OFFERS HE CAN BE INCREDIBLY BOYISH AND CHARMING AND CHARISMATIC AND ENDEAR HIMSELF TO PEOPLE SAYS ONE DISNEY EXECUTIVE BUT HE'S THE MOST RUTHLESSLY COMPETITIVE PERSON I'VE EVER SEEN IN MY LIFE AND THAT COMPETITIVENESS FILTERS DOWN THROUGH THE COMPANY DISNEY EXECUTIVES SAY THAT'S OLD NEWS THE COMPANY NEVER THREATENED TIME WARNER WE WERE ON OUR KNEES SAYS A TOP EXECUTIVE AND THEY CHOSE TO IGNORE US WE NEVER WERE BULLIES WE'VE GONE THROUGH A BIG TRANSFORMATION SINCE THAT PEGGY LEE STUFF THE DISNEY FRACAS SEEMS TO UNDERMINE TIME WARNER'S VAUNTED GLOBAL SYNERGY STRATEGY OF UNITS WORKING TOGETHER TO CREATE BUSINESS INSTEAD AN ACTION BY ONE OF ITS SMALLEST SUBSIDIARIES HAS TORPEDOED ONE OF ITS LARGEST IT'S PARADOXICAL SAYS A TIME PUBLISHING EXECUTIVE HERE'S A CUSTOMER WHO TOOK BUSINESS AWAY FROM US NOT BECAUSE TIME MAGAZINES DIDN'T WORK BUT BECAUSE HE WAS MAD AND ANGRY AT ANOTHER DIVISION OF TIME WARNER TIME WARNER DIVISION CHIEFS HAVE TRIED TO PERSUADE MR LEVIN TO CONSIDER COMPROMISING OR BACKING DOWN AND EFFORTS AT PEACEMAKING AREN'T DEAD YET BUT FOR NOW MR LEVIN HAS DECIDED TO BACK SIX FLAGS PRESIDENT ROBERT W PITTMAN THE ARCHITECT OF THE AD CAMPAIGN IN IGNORING DISNEY'S DEMANDS TO STOP NEW ADS COMPARING SIX FLAGS AND THE DISNEY PARKS ARE DONE AND HAVE BEEN AIRED ON A REGIONAL LEVEL AND WILL BEGIN AIRING NATIONALLY NEXT MONTH SIX FLAGS IS PLANNING TO ADD BILLBOARD AND MAGAZINE ADVERTISING THIS YEAR TO THE ALREADY WIDELY SEEN CAMPAIGN THE STEWARDSHIP OF THE PARKS BY TIME WARNER WHICH OWNS 50 BUT HAS FULL MANAGEMENT CONTROL SEEMS TO BE WORKING THE COMPANY TOOK OVER THE PARKS AT THE END OF 1991 WHEN REVENUE WAS 435 MILLION REVENUE LAST YEAR WAS 490 MILLION AND IS ESTIMATED BY INDUSTRY SOURCES TO REACH AS HIGH AS 550 MILLION REVENUE AT DISNEY'S PARKS AND HOTELS BY CONTRAST LAST YEAR ROSE 18 TO 33 BILLION MR LEVIN IN HIS JOB ONLY THREE MONTHS SINCE THE DEATH OF POPULAR TIME WARNER CHAIRMAN STEVEN J ROSS HAS DECLINED TO RESPOND PUBLICLY TO MR EISNER'S SALVOS BUT HE IS SAID BY COLLEAGUES TO BE STUNG BY MR EISNER'S ASSERTION THAT MR ROSS WAS A BETTER EXECUTIVE WHO WOULD HAVE HANDLED THINGS DIFFERENTLY MR EISNER SAYS NOW THAT HE REGRETS CRITICIZING MR LEVIN IN AN INTERVIEW THIS MONTH IN THE WALL STREET JOURNAL HE ADDS THAT HE RESPECTS TIME WARNER DIVISION EXECUTIVES AND REMAINS FRIENDS WITH WARNER BROS STUDIO HEADS BOB DALY AND TERRY SEMEL BUT MR EISNER SAYS THAT DOESN'T CHANGE HIS ANGER OVER TIME WARNER'S SEEMING DISMISSAL OF DISNEY'S CONCERNS BECAUSE THE ENTERTAINMENT BUSINESS IS DRIVEN PRIMARILY BY RELATIONSHIPS MR EISNER SAYS HE CALLED MR LEVIN PERSONALLY THREE TIMES ABOUT THE AD CAMPAIGN AND SAYS HE WAS TOLD THE MATTER WOULD BE LOOKED INTO MR LEVIN FINESSED US BY EXPRESSING CONCERN AND THEN DROPPING THE MATTER MR EISNER SAYS DISNEY EXECUTIVES SAY PERSONAL RELATIONSHIPS LED THEM TO CHOOSE TIME WARNER OVER OTHER POTENTIAL VENTURE PARTNERS DISNEY PRESIDENT FRANK WELLS WAS PREVIOUSLY A TOP WARNER BROS EXECUTIVE AND A GOOD FRIEND OF THE LATE MR ROSS DISNEY EXECUTIVES SAY THAT WAS A PRIMARY REASON DISNEY CHOSE WARNER BROS TO DISTRIBUTE ITS MOVIES OVERSEAS UNTIL RECENTLY SETTING UP ITS OWN DISTRIBUTION ARM THE EXECUTIVES ALSO CLAIM MR ROSS PERSONALLY ASKED DISNEY TO LET WARNER DISTRIBUTE ITS RECORDS WHEN DISNEY WENT INTO THE MUSIC BUSINESS AND DISNEY CHOSE TIME WARNER'S MAGAZINE DISTRIBUTION ARM FOR DISNEY PUBLICATIONS SUCH AS DISCOVER MAGAZINE BUT EVEN AS DISNEY AND TIME WARNER HAVE STRUCK MUTUALLY BENEFICIAL DEALS IN MANY BUSINESSES THE TWO HAVE BEEN AT ODDS IN OTHERS IN DISNEY'S VIEW TIME WARNER HAS TAGGED ALONG AS DISNEY PARLAYED ITS CAST OF ANIMATED CHARACTERS INTO A MOTHER LODE IN THEME PARKS TV CARTOONS HOME VIDEO AND MERCHANDISING TIME WARNER HAS THE OTHER GREAT CARTOON FRANCHISE LOONEY TUNES AFTER IT PURCHASED A STAKE IN SIX FLAGS TIME WARNER INSTALLED BUGS BUNNY AND DAFFY DUCK AT THE PARKS TO APPEAL TO FAMILIES USING THE LARGERTHANLIFE CHARACTERS MUCH AS DISNEY HAS EMPLOYED MICKEY MOUSE AND GOOFY THE 193 DISNEY STORES AT THE END OF LAST YEAR WERE EXTREMELY SUCCESSFUL FOR THE COMPANY'S CONSUMERPRODUCTS UNIT ACCOUNTING FOR 32 OF THE UNIT'S 1992 REVENUE OF 108 BILLION FOUR YEARS AFTER DISNEY OPENED ITS FIRST STORE IN MARCH 1987 TIME WARNER FOLLOWED WITH ITS WARNER BROS STORES ON THE ANIMATION FRONT TIME WARNER FOLLOWED DISNEY'S DISNEY AFTERNOON CARTOON BLOCK WITH ITS OWN TINY TOONS FOR WHICH IT HIRED STEVEN SPIELBERG AND SPENT MORE THAN DISNEY PER EPISODE TIME WARNER EXECUTIVES RETORT THAT DISNEY HAS NO EXCLUSIVE RIGHTS TO ANY OF THOSE BUSINESSES NO ONE CAN ARGUE WITH DISNEY'S SUCCESS UNDER MR EISNER MR WELLS AND STUDIO CHIEF JEFFREY KATZENBERG MR EISNER RUNS A TIGHT SHIP FROM THE TOP LIKE THE LATE MR ROSS AT TIME WARNER MR EISNER HAS A REPUTATION FOR PASSION ABOUT HIS COMPANY AND THE LOYALTY OF HIS TROOPS BY CONTRAST TIME WARNER IS A LOOSE COLLECTION OF FIEFDOMS THAT ARE OFTEN AT ODDS WITH ONE ANOTHER MR LEVIN WHO HAS YET TO UNIFY HIS DIVISIONS IS A DETACHED LOWKEY EXECUTIVE WHO OFTEN WORKS ALONE IN HIS OFFICE TILL MIDNIGHT DISNEY EXECUTIVES TRACE THE DISINTEGRATION OF THE RELATIONSHIP BETWEEN THE TWO COMPANIES TO THE ASCENDANCE OF MR LEVIN WHOSE LEADERSHIP AND JUDGMENT THEY BEGAN QUESTIONING LAST YEAR EVEN BEFORE HE TOOK OVER THE TOP SPOT MR EISNER AND OTHER DISNEY EXECUTIVES WATCHED WITH DISBELIEF AS MR LEVIN PUBLICLY DEFENDED WARNER RECORDS' RAPPER ICET AND HIS COP KILLER SONG DISNEY EXECUTIVES SAY THEY WOULDN'T HAVE STOOD BY ICET FOR A MINUTE AGAINST THIS BACKDROP MR EISNER WAS ANGERED BY THE SIX FLAGS ADVERTISING AS EARLY AS A YEAR AGO HOW COULD THEY EVEN MENTION DISNEY IN THE SAME BREATH WITH THEIR COLLECTION OF REGIONAL PARKS FOR TEENAGERS SOME WITH PAST SAFETY PROBLEMS THESE THRILL PARKS WITH HEARTSTOPPING RIDES LIKE PSYCLONE WERE IN A DIFFERENT BUSINESS THAN IT'S A SMALL WORLD AND THE CAREFULLY TENDED DISNEY RESORT EXPERIENCE THE SIX FLAGS ADS ACTUALLY PRAISE DISNEY'S RESORTS BY SAYING SIX FLAGS ARE JUST AS GOOD BUT ONE AD SUGGESTED DISNEY RESORTS ARE A RELIC OF THE 1980S WHILE SIX FLAGS'S DAYTRIP PARKS FIT THE MORE PRACTICAL 1990S PHILIP DUSENBERRY WHOSE BBDO AD AGENCY CREATED PEPSI'S ATTACKS ON COKE AND VISA'S COMPARATIVE ADS FAULTING AMERICAN EXPRESS SAYS DISNEY'S RESPONSE ONLY HURTS ITS IMAGE IF I AM SIX FLAGS AND DISNEY RESPONDS AS THEY HAVE THEN DISNEY HAS BEEN SUCKERED INTO GIVING SIX FLAGS CREDIBILITY MR DUSENBERRY ADDS WHEN THE ADS FIRST SURFACED LAST YEAR DISNEY'S MR WELLS DIDN'T CALL MR ROSS DIRECTLY BECAUSE THE TIME WARNER CHIEF WAS ILL WITH PROSTATE CANCER WE DIDN'T WANT TO BOTHER HIM MR EISNER SAID DISNEY DID BOTHER AS MANY OTHERS AS IT COULD HOWEVER TIME WARNER EXECUTIVES SAY MR WELLS WROTE IRATE LETTERS TO COMPANY BRASS AND CALLED MR PITTMAN TO DEMAND THAT HE TAKE DISNEY'S NAME OUT OF THE ADS MR KATZENBERG THE EXECUTIVES SAY ALSO CONTACTED MR PITTMAN TO TELL HIM HE WAS MAKING A MISTAKE AS THINGS ESCALATED THE WARNER BROS CHAIRMAN MR DALY AND HBO'S CHAIRMAN MICHAEL FUCHS WERE ASKED BY DISNEY FRIENDS TO INTERVENE AND BOTH SUGGESTED TO MR LEVIN THAT THE DISPUTE BE RESOLVED AMICABLY SIX FLAGS'S MR PITTMAN SAYS HE DID ATTEMPT TO PLEASE DISNEY ON SEVERAL OCCASIONS IN APRIL OF LAST YEAR MR EISNER AND MR PITTMAN SPOKE ON THE TELEPHONE MR EISNER WAS UPSET ABOUT WHAT HE CALLED THE DISPARAGING COMPARISONS WITH DISNEYLAND HE WAS PARTICULARLY IRKED ABOUT ONE SPOT AIRING IN SOUTHERN CALIFORNIA FEATURING A FAMILY DISCUSSING WHAT TO DO WITH SOME FREE TIME THE VOICEOVER GLUMLY ASKS SHOULD WE HEAD DOWN TO THE PLACE WITH THE MOUSE AND THE DWARFS A DIRECT REFERENCE TO DISNEY'S MICKEY MOUSE AND THE SEVEN DWARFS JUST AS A MOUSE SCURRIES ACROSS THE TOP OF THE SCREEN MR PITTMAN WENT SO FAR AS TO RESHOOT THE AD DELETE THE MOUSE VISUAL AND CHANGE THE LINE TO HEAD DOWN TO THE PLACE IN ORANGE COUNTY WHERE DISNEYLAND IS LOCATED ALONG WITH OTHER THEME PARKS DISNEY STILL WASN'T SATISFIED IN ANOTHER CASE DISNEY FUMED OVER A SPOT THAT BEGAN WITH A JET TAKING OFF AND A VOICEOVER SAYING WHY SPEND ALL THAT TIME AND MONEY GETTING TO DISNEYLAND SIX FLAGS CHANGED IT TO WHY SPEND ALL THAT TIME AND MONEY GETTING TO THE FUN DISNEY SAID THAT STILL WAS A CLEAR SLAP AT ITS PARKS MR PITTMAN DEFENDS THE CAMPAIGN THE ADS ARE HUMOROUS FUNNY AND IN VERY GOOD TASTE HE SAYS THE CAMPAIGN HE ADDS MORE THAN MEETS THE CRITERIA FOR THE CODE OF DOING BUSINESS IT WAS DURING THIS PERIOD THAT FILM EXECUTIVES MADE A TV COMMERCIAL FOR THE MOVIE SISTER ACT POKING FUN AT WARNER BROS'S BATMAN RETURNS AND LETHAL WEAPON 3 THE SPOT SAYS SOMETHING ABOUT A CAPED CRUSADER THEN TURNS TO REVEAL WHOOPI GOLDBERG IN HER NUN'S HABIT MR KATZENBERG SENT THE SPOT TO WARNER'S MR DALY ASKING IF HE OBJECTED HE SAID HE DID AND DISNEY SHELVED THE AD DISNEY EXPECTED THE MATTER WOULD DROP AFTER THE CAMPAIGN RAN ITS COURSE LAST YEAR BUT SIX FLAGS WAS BACK LAST MONTH WITH A NEW SLEW OF COMPARATIVE ADS FOR SPRING THOUGH TONED DOWN SOMEWHAT THEY STILL IN DISNEY'S VIEW IMPUGNED ITS PARKS SAYS MR EISNER THE FACT THAT THEY MENTION OUR NAME IS ENOUGH FOR ME TIME PUBLISHING EXECUTIVES KNEW THEY HAD PROBLEMS LATE LAST YEAR WHEN DISNEY DIDN'T RUN THEMEPARK ADVERTISING THAT WAS EXPECTED AND LATER DIDN'T RENEW ADVERTISING SCHEDULES FOR 1993 THE LOSS WAS CLEARLY A BLOW IN RECENT YEARS DISNEY HAD RUN SEVERAL LARGESCALE SPECIAL ADVERTISING SECTIONS IN TIME INC MAGAZINES SUCH AS TIME LIFE AND PEOPLE IN 1988 ONE 160PAGE ADVERTISING COMMITMENT WAS AT THE TIME ONE OF THE LARGEST SINGLE ORDERS FOR AD PAGES THE COMPANY EVER HAD DISNEY HAS NOW INDICATED THAT IT MAY NOT RENEW ITS VARIOUS PUBLISHING AND RECORDDISTRIBUTION CONTRACTS WITH TIME WARNER PRIVATELY TIME WARNER EXECUTIVES SAY THAT WON'T HURT MUCH PERHAPS THE MOST DISAPPOINTED ARE THE MORE THAN 400 TIME WARNER PUBLISHING SALES AND MARKETING EXECUTIVES WHO PLANNED TO ATTEND THE NOWCANCELED MEETING BEGINNING SUNDAY AT DISNEY WORLD MANY PLANNED FAMILY VACATIONS AROUND THE MEETING THE THEME OF THE MEETING THE CONFERENCE WAS TO TALK ABOUT BUILDING BUSINESS AND MOVING FORWARD AND WORKING MORE CLOSELY WITH OUR CUSTOMERS SAYS A TIME INC EXECUTIVE 9304140008 930414 BUSINESS BRIEF WESTINGHOUSE POSTS FIRSTQUARTER PROFIT HAD DEFICIT YEAR AGO PITTSBURGH WESTINGHOUSE ELECTRIC CORP SAID IT EARNED 64 MILLION OR 15 CENTS A SHARE DURING THE FIRST QUARTER COMPARED WITH A LOSS OF 246 MILLION OR 71 CENTS A SHARE A YEAR AGO ADJUSTING THE YEAREARLIER QUARTER FOR DISCONTINUED OPERATIONS AND A CHARGE FOR ACCOUNTING CHANGES FIRSTQUARTER EARNINGS FELL 15 FROM 65 MILLION OR 19 CENTS A SHARE THE RESULTS WHICH WERE IN LINE WITH ANALYSTS' EXPECTATIONS WERE DAMPED BY DECLINING DEFENSE SPENDING AND A STILLWEAK ECONOMIC RECOVERY THE COMPANY SAID WESTINGHOUSE REITERATED ITS OBJECTIVE OF IMPROVING OPERATING EARNINGS FOR THE YEAR FROM 1992'S PERFORMANCE BUT SAID IMPROVEMENT PROBABLY WOULD COME IN THE SECOND HALF RATHER THAN THE FIRST ANALYSTS SAID THE COMPANY IS BANKING ON AN IMPROVED ECONOMY AND THAT OFFICIALS ARE ONLY GUARDEDLY OPTIMISTIC MANAGEMENT HASN'T GIVEN US A REASON TO JUMPSTART THE NUMBERS RIGHT NOW SAID NICK HEYMANN AN ANALYST AT COUNTY NATWEST USA THE COMPANY'S 1992 EARNINGS FROM CONTINUING OPERATIONS WERE 348 MILLION OR 93 CENTS A SHARE THE COMPANY SAID ITS BROADCASTING OPERATION AND ITS POWER SYSTEMS GROUP WHICH SELLS NUCLEAR FUELS AND POWERGENERATION EQUIPMENT BOTH SAW IMPROVED EARNINGS FROM THE FIRST QUARTER OF 1992 ITS ENVIRONMENTAL BUSINESS WHICH HANDLES CLEANUP PROJECTS AND RUNS FEDERAL NUCLEAR FACILITIES WAS FLAT AND ITS BIG DEFENSE ELECTRONICS BUSINESS AND A SMALLER GROUP OF DIVERSIFIED INDUSTRIAL BUSINESSES BOTH SAW LOWER EARNINGS FIRSTQUARTER REVENUE INCHED UP TO 186 BILLION FROM 185 BILLION WESTINGHOUSE SHARES WERE TRADING LATE YESTERDAY AT 1525 UP 125 CENTS IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING 9304140007 930414 LETTERS TO THE EDITOR SPECIES PROTECTION THANK YOU FOR PUBLISHING B MEREDITH BURKE'S AN ENVIRONMENTAL IMPACT STATEMENT FOR IMMIGRATION COUNTERPOINT OPED PAGE APRIL 1 THOSE WHO SUPPORT OPEN BORDERS CIRCUMVENT MEANINGFUL DIALOGUE ON IMMIGRATION BY EXPEDIENTLY LABELING IMMIGRATION REFORMERS AS XENOPHOBIC IT'S IRONIC THAT THE CHAMPIONS OF PRESERVING NATURAL BIOLOGICAL DIVERSITY ARE ACCUSED OF OPPOSING DIVERSITY A BALANCED REDUCTION IN IMMIGRATION IS RACIALLY NEUTRAL FOR MEMBERS OF BOTH THE HOMO SAPIENS SPECIES AND THEIR NONHUMAN COMPANIONS 9304140006 930414 LETTERS TO THE EDITOR THE LITTLE HOUSE THAT GREW AND GREW LEHMAN BROTHERS' NEXT STEP MAY BE RETURN TO INDEPENDENCE MARCH 10 ASSERTS THAT THE FIRM WILL BE REVERTING TO ITS ORIGINS AFTER IT EMERGES FROM THE CURRENT RESTRUCTURING WHEN I WENT TO WORK FOR LEHMAN BROTHERS IN 1918 AS AN OFFICE BOY THE FIRM CONSISTED OF 17 EMPLOYEES AND FIVE PARTNERS ALL LEHMANSURNAMED CONTRARY TO POPULAR BELIEF LEHMAN BROTHERS IN THOSE DAYS WAS NOT AN INDEPENDENT BANKING HOUSE BECAUSE IT LACKED A SALES FORCE AND A BACK OFFICE IT FUNCTIONED PRIMARILY AS A FINDER OF COMPANIES SEEKING CAPITAL ONLY WHEN ROBERT LEHMAN JOINED THE FIRM IN 1919 AFTER SERVING AS A CAPTAIN IN WORLD WAR I DID LEHMAN BROTHERS BEGIN TO UNDERTAKE THE STEPS THAT WOULD PROPEL IT TO THE FOREFRONT OF THE INDUSTRY THE PROOF OF HIS GENIUS WAS THAT BY THE TIME I RETIRED AS COMPTROLLER IN 1968 LEHMAN BROTHERS HAD ABOUT 500 EMPLOYEES AND 24 PARTNERS ALONG WITH A WORLDWIDE REPUTATION AS ONE OF THE PREMIER INVESTMENT BANKING INSTITUTIONS 9304140005 930414 FINANCING BUSINESS INTEGRA FINANCIAL CORP INTEGRA FINANCIAL CORP PITTSBURGH SAID IT IS ISSUING THROUGH A PUBLIC OFFERING 100 MILLION PRINCIPAL AMOUNT OF ITS 65 SUBORDINATED NOTES DUE 2000 THE BANK HOLDING COMPANY SAID THE NOTES WOULD BE PRICED AT 99639 OF FACE VALUE RESULTING IN AN EFFECTIVE YIELD OF 657 UNDERWRITERS INCLUDE FIRST BOSTON CORP KEEFE BRUYETTE & WOODS INC AND MORGAN STANLEY & CO PROCEEDS ARE TO BE USED FOR GENERAL CORPORATE PURPOSES 9304140004 930414 DIVIDEND NEWS DREYFUS CORP DREYFUS CORP A NEW YORK MUTUAL FUND AND FINANCIAL SERVICES CONCERN RAISED ITS QUARTERLY DIVIDEND 12 OR TWO CENTS A SHARE TO 19 CENTS IT WILL BE PAYABLE MAY 12 TO SHARES OF RECORD MAY 3 9304140003 930414 DIVIDEND NEWS DESIGNS INC DESIGNS INC A NEWTON MASS JEANS RETAILER DECLARED A 50 STOCK DIVIDEND ON ITS COMMON TO STOCK OF RECORD JUNE 8 IT SAID THE PAY DATE HASN'T BEEN SET YET BUT WILL BE ABOUT TWO WEEKS LATER 9304140002 930414 WHO'S NEWS SOUTHWEST AIRLINES SOUTHWEST AIRLINES DALLAS ROBERT W RAPP WAS NAMED VICE PRESIDENTSYSTEMS FOR THE AIRLINE MR RAPP WAS MOST RECENTLY DIRECTORINFORMATION SYSTEMS FOR PACIFIC ENTERPRISES OIL CO DALLAS HE WILL BE RESPONSIBLE FOR OVERSEEING SOUTHWEST'S INFORMATION AND TECHNOLOGY OPERATIONS 9304140001 930414 WHITE HOUSE NEWS RELEASES PRESSURE GOP LOCAL MEDIA IN SOME STATES ARE TOLD PROJECTS NEED PASSAGE OF STIMULUS BILL BY MICHAEL K FRISBY STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON THE WHITE HOUSE SEEKING TO MOUNT PUBLIC PRESSURE ON GOP SENATORS BOMBARDED NEWS OUTLETS IN SOME SENATORS' HOME STATES WITH NEWS RELEASES WARNING THAT CERTAIN PROJECTS MAY NOT BE FUNDED IF THE 16 BILLION STIMULUS BILL ISN'T PASSED NONE OF THE PROJECTS MENTIONED ARE ACTUALLY IN THE BILL RATHER THEY ARE PART OF A WISH LIST THAT MAY BE FUNDED FROM THE 256 BILLION IN COMMUNITY DEVELOPMENT BLOCK GRANTS ALL 43 REPUBLICAN SENATORS VOTED AGAINST MOVING FORWARD WITH THE LEGISLATION PREVENTING THE 57 DEMOCRATS FROM GETTING THE 60 VOTES NEEDED TO CUT OFF DEBATE AND TO VOTE ON THE LEGISLATION WITH TALKS ONGOING BETWEEN THE ADMINISTRATION AND SENATORS THE WHITE HOUSE HOPES TO HAVE A CLEAR READING BY THIS WEEKEND ON WHERE THE PACKAGE IS HEADED CUTS OF BETWEEN 4 BILLION TO 5 BILLION ARE EXPECTED PRESIDENT CLINTON ACCORDING TO INDIVIDUALS CLOSE TO THE SITUATION HAD TURNED DOWN EFFORTS TO REACH A COMPROMISE BEFORE THE SENATE RECESSED PROPOSALS FROM DEMOCRATIC SENATORS WERE RELAYED TO THE PRESIDENT WHILE HE WAS AT THE VANCOUVER SUMMIT WITH RUSSIAN PRESIDENT BORIS YELTSIN SAID THESE INDIVIDUALS BUT MR CLINTON REJECTED THE EFFORTS TO COMPROMISE IN THE LATEST STRATEGY ONE NEWS RELEASE SAID THAT OREGON WOULD GET 1900 NEW JOBS THIS YEAR PLUS AN ADDITIONAL 4800 SUMMER JOBS THE PRESIDENT IS QUOTED MENTIONING GOP SENS MARK HATFIELD AND ROBERT PACKWOOD BY NAME WITHOUT SWIFT PASSAGE OF THE ENTIRE JOBS PACKAGE THE PEOPLE OF OREGON WILL CONTINUE TO SUFFER FROM A JOBLESS RECOVERY MR CLINTON SAID I URGE SENS HATFIELD AND PACKWOOD TO HELP BREAK THE GRIDLOCK IN WASHINGTON IN TAKING AIM AT VERMONT SEN JAMES JEFFORDS A RELEASE SAID THAT 234 JOBS WOULD BE CREATED IN HIS HOME STATE AND 1038 SUMMER JOBS ANOTHER SAID THAT 459 JOBS AND 2892 SUMMER JOBS WOULD BE CREATED IN MAINE WHICH SEN WILLIAM COHEN REPRESENTS AND STILL ANOTHER SAID THAT 7184 JOBS AND 51786 SUMMER JOBS WOULD BE CREATED IN NEW YORK WHICH SEN ALFONSE D'AMATO REPRESENTS MOREOVER GEORGE STEPHANOPOULOS THE WHITE HOUSE COMMUNICATIONS DIRECTOR SAID THAT THE LEGISLATION WOULD ALLOW MILWAUKEE TO RECEIVE THE WASTEWATER TREATMENT FUNDS IT BADLY NEEDS THE CITY HAS A PROBLEM WITH CONTAMINATION IN ITS WATER SYSTEM THE GRIDLOCK HE ADDED IS PREVENTING THE REHABILITATION OF 100 LOWINCOME HOUSING UNITS IN DULUTH MINN AND STOPPING THE CONSTRUCTION OF A NEW FIRE STATION IN KANSAS CITY KAN ASKED IF SENATE MINORITY LEADER ROBERT DOLE OF KANSAS WOULD BE RESPONSIBLE IF KANSAS CITY DOESN'T GET THEIR NEW FIRE STATION MR STEPHANOPOULOS REPLIED THAT DEPENDS ON WHAT HE DOES APRIL 20TH REFERRING TO THE VOTE SCHEDULED NEXT TUESDAY ON THE STIMULUS PACKAGE SEN DOLE HOWEVER ACCUSED THE ADMINISTRATION OF USING A DIP IN RETAIL SALES FIGURES TO PUSH THE STIMULUS PACKAGE WHEN THE DECLINE WAS ACTUALLY CAUSED BY THE HUGE BLIZZARD IF ANYTHING SEN DOLE DECLARED CONSUMERS ARE GETTING MORE AND MORE WORRIED ABOUT BEING BURIED UNDER A RECORDBREAKING BLIZZARD OF NEW TAXES FROM THE CLINTON ADMINISTRATION SEPARATELY MR CLINTON LAST NIGHT ANNOUNCED THAT HE WILL SOON UNVEIL AN EDUCATION REFORM BILL THAT WILL DEFINE THE FEDERAL GOVERNMENT'S ROLE IN IMPROVING THE NATION'S SCHOOLS AMONG THE GOALS HE SAID ARE ENSURING THAT CHILDREN SHOW UP FOR SCHOOL BETTER PREPARED TO LEARN ACHIEVING A 90 HIGH SCHOOL GRADUATION RATE AND EMPHASIZING MATH AND SCIENCE THE PRESIDENT MADE THE COMMENTS WHILE PARTICIPATING IN A SATELLITE TOWN MEETING SPONSORED BY THE US CHAMBER OF COMMERCE AND THE EDUCATION DEPARTMENT 9304130160 930413 MARKETING & MEDIA PRICE STERN SHARES JUMP 74 ON BID BY PUTNAM BERKLEY BY DAVE KANSAS STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK PRICE STERN SLOAN INC SHARES SOARED 74 AFTER PUTNAM BERKLEY GROUP INC DISCLOSED NEGOTIATIONS TO BUY THE PUBLISHER FOR ABOUT 404 MILLION PRICE STERN'S WEE SING VIDEOCASSETTE AND AUDIOCASSETTE LINE FOR CHILDREN IS WIDELY CONSIDERED AN ATTRACTIVE PROPERTY ESPECIALLY FOR PUTNAM BERKLEY WE DON'T HAVE ANY AUDIO OR VIDEO CHILDREN'S PRODUCTS SAID PHYLLIS GRANN PUTNAM BERKLEY'S CHAIRMAN AND CHIEF EXECUTIVE OFFICER PUTNAM BERKLEY THE PUBLISHING UNIT OF MATSUSHITA ELECTRIC INDUSTRIAL CO'S MCA INC SAID IT SECURED A 30DAY EXCLUSIVE NEGOTIATING PERIOD WITH PRICE STERN THE ANNOUNCEMENT FOLLOWS MORTON MINT'S RESIGNATION LAST MONTH AS PRICE STERN'S PRESIDENT AND CHIEF EXECUTIVE OFFICER AND PEOPLE IN THE INDUSTRY SAY MR MINT'S DEPARTURE PROMPTED THE COMPANY TO SEEK A PARTNER HOWEVER LAWRENCE SLOAN CHAIRMAN AND ACTING CEO AT PRICE STERN SAID THE COMPANY IS PURSUING THE TALKS BECAUSE THIS WOULD BE A GOOD DEAL FOR OUR SHAREHOLDERS IN FEBRUARY 1991 PRICE STERN SOLD ITS FAMILY MEDICAL AND CHILD CARE PUBLISHING LINES TO PUTNAM BERKLEY THE TERMS WERE NOT DISCLOSED IN 1992 PRICE STERN REPORTED NET INCOME OF 14 MILLION OR 34 CENTS A SHARE ON 424 MILLION IN SALES THE COMPANY SAID ABOUT 75 OF ITS SALES CAME FROM ITS CHILDREN'S LINES UNDER TERMS OF THE AGREEMENT MR SLOAN AND LEONARD STERN PRICE STERN'S FOUNDERS GRANTED PUTNAM BERKLEY OPTIONS ON THE 30 OF PRICE STERN STOCK THEY OWN PRICE STERN HAS ABOUT 42 MILLION SHARES OUTSTANDING PUTNAM BERKLEY CAN EXERCISE THE OPTIONS UPON EXECUTION OF A DEFINITIVE ACQUISITION AGREEMENT 9304130159 930413 LEISURE & ARTS PLAYING PATIENT ACTORS PREPARE MED STUDENTS FOR LIFE BY AMY GAMERMAN NEW YORK ACT ONE THE CURTAIN RISES ON AN EXAMINATION ROOM AT MOUNT SINAI HOSPITAL MARION BENJAMIN A BIRDLIKE 79YEAROLD WIDOW SITS QUIETLY HER PURSE RESTING OVER HER FOLDED HANDS ENTER THE DOCTOR I'VE BEEN FALLING FOR A MONTH NOW MARION TELLS HIM FAINTLY WHEN HE REMOVES HER PURSE WE SEE THAT ONE OF HER HANDS IS TREMBLING A CLASSIC SIGN OF PARKINSON'S DISEASE AT HIS REQUEST SHE RISES PAINFULLY TO HER FEET AND BEGINS SHUFFLING AROUND THE ROOM WITH HER CANE IN ANOTHER ROOM JUST DOWN THE HALL DR REIN TIDEIKSAAR IS FOLLOWING THE ACTION ON ONE OF EIGHT TELEVISION SCREENS AND BEAMING MARION BENJAMIN OR RATHER MURIEL GOULD THE SPRY AND ENTIRELY HEALTHY ACTRESS PLAYING HER IS HIS PROTEGE IF THERE WERE AN OSCAR FOR BEST SIMULATION OF PARKINSON'S DISEASE SHE'D BE DRAFTING HER ACCEPTANCE SPEECH I COULD TAKE HER TO A NEUROLOGIST'S OFFICE AND SHE WOULD FOOL THE NEUROLOGIST SAYS A PROUD DR TIDEIKSAAR MS GOULD A PROFESSIONAL ACTRESS IS PART OF A TROUPE OF THESPIANS ATTACHED TO THE MOUNT SINAI SCHOOL OF MEDICINE'S MORCHAND CENTER WHEN SHE ISN'T OFF ON AUDITIONS OR SHOOTING A BIT PART IN A MOVIE SHE'S A STANDARDIZED PATIENT A GUINEA PIG UPON WHOM STUDENTS CAN REHEARSE THEIR BEDSIDE MANNER AND DIAGNOSTIC SKILLS WITHOUT RISKING A MALPRACTICE SUIT ROUGHLY 80 OF THE NATION'S MEDICAL SCHOLS HAVE INSTITUTED STANDARDIZEDPATIENT PROGRAMS ACCORDING TO THE ASSOCIATION OF AMERICAN MEDICAL COLLEGES BUT FEW HAVE MADE THE OPERATING THEATER QUITE AS THEATRICAL AS MOUNT SINAI'S TWOYEAROLD MORCHAND CENTER FOR A START THE SETS ARE BETTER THAN ANYTHING ON GENERAL HOSPITAL THE CENTER FEATURES SEVEN BOGUS EXAMINATION ROOMS OUTFITTED WITH REAL EXAMINATION TABLES WORKING SINKS AND PICTURES ON THE WALLS ONE ROOM EVEN COMES EQUIPPED WITH A ELECTROCARDIOGRAM MONITOR AND AN OXYGEN TANK FILLED WITH COMPRESSED AIR IT TAKES A MINUTE TO NOTICE THE TWO CLOSEDCIRCUIT CAMERAS AND MICROPHONES HANGING FROM THE CEILING PERFORMING FOR THOSE CAMERAS ARE PATIENTS DRAWN FROM NEW YORK'S RICH POOL OF UNEMPLOYED THEATRICAL TALENT THEIR CHIEF COACH DIRECTOR AND SCRIPTWRITER IS DEVRA COHEN A PROFESSIONAL ACTRESS IN HER LATE 20S SHE HELPED DESIGN THE PROGRAM WITH DR MARK SWARTZ THE CENTER'S DIRECTOR SHE DRAWS ON ABOUT 150 ACTORS TO PLAY THE ROLES SHE CREATES IN CONCERT WITH MOUNT SINAI DOCTORS POSTING CASTING CALLS IN THE TRADE BIBLE BACKSTAGE THE PAY ISN'T EQUITY SCALE BUT IT BEATS WAITING TABLES BESIDES WHERE ELSE CAN ACTORS GET THIS KIND OF TRAINING THEY'RE TRAINED TO SIMULATE A COLLAPSED LUNG APPENDICITIS ACUTE GALL BLADDER CARDIAC ARREST SCHIZOPHRENIA SAYS MS COHEN FOR APPENDICITIS FOR EXAMPLE SHE TRAINS ACTORS TO KEEP HALF OF THE ABDOMEN RELAXED AND THE OTHER HALF TENSED A SIGN THAT THE PATIENT IS GUARDING A PAINFUL AREA SPECIAL EFFECTS SOMETIMES COME IN HANDY HEARTATTACK VICTIMS ARE COVERED WITH FAKE SWEATGLYCERINE MIXED WITH WATER THE COSTUME OF CHOICE IS USUALLY A HOSPITAL GOWN WITH SOME VARIATIONS FOR EXAMPLE ACTRESSES PLAYING THE APPENDICITIS SUFFERER A YOUNG COPYWRITER WEAR BLACK BRAS AND PANTIES UNDERNEATH THIS CHARACTER LIKES SEXY UNDERWEAR MS COHEN EXPLAINS OBVIOUSLY THERE'S MORE TO THESE PATIENTS THAN THEIR AILMENTS ALONE ALTHOUGH A DOCTOR DRAWS UP THE PATIENTS' CASE HISTORIES MS COHEN WRITES BIOGRAPHIES THAT DESCRIBE THEIR FAMILY LIVES JOBS HOBBIES EVEN WHERE THEY LIVE THE REST IS LEFT TO THE ACTORS DO THEY KNOW WHAT THEIR ILLNESS IS ARE THEY SCARED WHEN THEY WALK IN ANXIOUS ANGRY WHY ARE THEY ANGRY WHO ARE THE SUPPORT SYSTEMS IN THEIR LIVES ASKS MS COHEN KONSTANTIN STANISLAVSKI THE FATHER OF METHOD ACTING WOULD BE PROUD INDEED SOME OF MS COHEN'S ACTORS GET SO INTO CHARACTER THAT THEY DEVELOP SYMPATHY SYMPTOMS AFTER PLAYING THE APPENDICITIS SUFFERER FOR TWO WEEKS I DEFINITELY HAD STOMACH PAINS FOR A COUPLE OF DAYS AFTER SAYS ELIZABETH TESTA MS COHEN RECENTLY INTRODUCED A NEW CHARACTER INTO THE MORCHAND CENTER'S REPERTOIRE BENJAMIN WALLACE A 61YEAROLD RETIRED SALES REP A TWOPACKADAY SMOKER HE'S DEVELOPED CHEST PAINS LAST WEEK HE COUGHED UP BLOOD ON A FOLLOWUP VISIT HE'LL BE TOLD HE HAS LUNG CANCER MS COHEN HAS CAST THREE ACTORS RANGING IN AGE FROM 58 TO 66 TO PLAY BENJAMIN AND BECAUSE EVEN PRETEND PATIENTS SOMETIMES GET SICK OR CALLS FOR AUDITIONS SHE'S ALSO HIRED AN UNDERSTUDY AFTER AN INITIAL TRAINING SESSION THEY'RE READY FOR A DRESS REHEARSAL WITH BONA FIDE DOCTORS WHILE THOMAS LONG AND CORNELIUS REDMOND SIT IN THE OBSERVATION THEATER TALKING ABOUT A CATTLECALL AUDITION FOR THE MOVIE VERSION OF SIX DEGREES OF SEPARATION GEORGE MULLNER CLAD IN A HOSPITAL GOWNGETS INTO CHARACTER IN ROOM 3 ACTION AS THE CAMERAS ROLL THE DOCTOR A MOUNT SINAI RESIDENT ENTERS THE ROOM SHE ASKS MR MULLNER WHAT'S WRONG MS COHEN AND THE OTHERS WATCH INTENTLY AS HE COMPLAINS IT'S HARD FOR ME TO BREATHE I SEEM TO RUN OUT OF AIR TRIM WITH AN ACTOR'S CRISP DICTION HE UNDERPLAYS ANY ANXIETY ABOUT HIS HEALTH BUT COUGHS PAINFULLY WHEN HE LIES DOWN FOR THE PHYSICAL JUST BEFORE THE DOCTOR LEAVES HIS BREEZY MANNER DISSOLVES DOES IT LOOK LIKE IT'S ANYTHING SERIOUS HE ASKS ANXIOUSLY AND COUGHS AGAIN GEORGE IS GOING FOR THE OSCAR SAYS MR LONG AND CUT EXIT THE DOCTOR WHO APPEARS IN THE OBSERVATION ROOM SECONDS LATER TO CRITIQUE MR MULLNER'S PERFORMANCE USUALLY WHEN PEOPLE COUGH UP BLOOD THEY'RE VERY WORRIED SHE SAYS IT'S THE FIRST THING THEY TELL YOU ABOUT BUT WHEN MR MULLNER ENTERS DRESSED ONCE AGAIN IN HIS STREET CLOTHES MR LONG AND MR REDMOND BURST INTO APPLAUSE THE COUGH WAS VERY GOOD SAYS MR REDMOND MS COHEN GIVES MR MULLNER HIS NOTES NICE COUGH BUT HE'S TAKING TOO MANY DEEP BREATHS IMPOSSIBLE FOR A MAN WITH HIS LUNGS TRY WHEN YOU GO HOME EVERYBODY TO BREATHE SHALLOW SHE TELLS THE GROUP SEE WHAT IT DOES TO YOUR SPEECH IT MIGHT MAKE IT A LITTLE CLIPPED TRY TAKING SHORT BREATHS IN YOUR UPPER CHEST AND THAT'S NOT ALL SHE'S LOOKING FOR I AM SEEING TOO MUCH GEORGE SHE TELLS MR MULLNER DO SOME HOMEWORK AND FANTASY LIFE ABOUT THIS CHARACTER HE'S A LITTLE TOO AWARE BE A LITTLE EDGIER SHE GIVES HIM A VIDEOTAPE OF HIS PERFORMANCE TO STUDY MR REDMOND IS UP NEXT WITH A GRUFFER FUNNIER BENJAMIN WHEN ASKED IF HE SMOKES HE ANSWERS THAT HE USED TO BUT QUIT HOW MUCH WERE YOU SMOKING ASKS THE DOCTOR TWO PACKS A DAY AND WHEN DID YOU QUIT THREE DAYS AGO THAT GETS A BIG LAUGH IN THE OBSERVATION ROOM SO DOES HIS REACTION TO THE STANDARD EAR EXAMINATION DOES THAT HURT THE DOCTOR ASKS AS MR REDMOND GASPS NO I JUST BELCHED HE SAYS I DON'T WANT TO THINK WHAT YOU'RE GOING TO FIND IN MY EARS HE'S DOING THE DOCTOR ROUTINE FROM THE SUNSHINE BOYS' SAYS MR MULLNER BUT WHEN THE SCENE IS OVER MR REDMOND COULDN'T BE MORE MODEST I KIND OF GOT MYSELF IN A CREATIVE STATE OF ANXIETY SO I JUST PLAYED THAT HE SAYS I DID GET THE SENSE YOU WERE NERVOUS ASKING QUESTIONS LIKE WHAT ARE YOU DOING' SAYS MS COHEN AND MR REDMOND'S DEFENSIVE BODY LANGUAGE WINS HIGH MARKS I WOULD LIKE TO HAVE EVERYBODY START WITH ARMS FOLDED ON THEIR CHEST IT GIVES A VERY DIFFERENT MESSAGE TO PEOPLE THAN HAVING IT OPEN SHE ALSO TELLS THEM HOW TO GO ABOUT REVIEWING THEIR IMPROV PARTNERS THE STUDENTS ON ASSESSMENT FORMS THEY WILL FILL OUT AFTER THE CURTAIN DROPS BUT RIGHT NOW THE ACTORS ARE MORE CONCERNED WITH THEIR OWN PERFORMANCES MR MULLNER IS PLANNING A VISIT TO BENJAMIN'S QUEENS NEIGHBORHOOD AND MR LONG WANTS TO STUDY MAPS TO SEE WHERE THE KIDS LIVE TRY TO GET THE VISUALS OF IT AS HE PREPARES FOR HIS TURN ON THE EXAMINATION TABLE HE'S EVEN GOT STAGE FRIGHT WERE YOU NERVOUS HE ASKS MR MULLNER I'M REAL NERVOUS NOBODY TOLD HIM TO BREAK A LEG 9304130158 930413 TOYOTA PLANS CUTS IN CERTAIN COSTS TO FIGHT SLUMP BY MASAYOSHI KANABAYASHI STAFF REPORTER OF THE WALL STREET JOURNAL TOKYO UNABLE TO SIGNIFICANTLY INCREASE THE NUMBER OF CARS IT SELLS AND STUNG BY A STRONGER YEN TOYOTA MOTOR CORP PLANS TO CUT ADMINISTRATIVE COSTS 30 TOYOTA BY FAR JAPAN'S DOMINANT AUTO MAKER SAID IT WILL PARE WHITECOLLAR OVERTIME 10 THIS YEAR AND CUT OTHER ADMINISTRATIVE COSTS SUCH AS ADVERTISING TRANSPORTATION AND ENTERTAINMENT TO ACHIEVE THE REDUCTION THE MOVE IS THE LATEST IN A WAVE OF RESTRUCTURINGS ANNOUNCED BY JAPAN'S BIG MANUFACTURERS IN RECENT MONTHS IT FOLLOWS BOLDER CUTBACKS AT OTHER JAPANESE AUTO MAKERS INCLUDING NISSAN MOTOR CO MAZDA MOTOR CORP AND ISUZU MOTORS CO TOYOTA HAS WEATHERED JAPAN'S ECONOMIC SLUMP WITH MUCH LESS DIFFICULTY THAN ITS DOMESTIC RIVALS BUT NOT EVEN TOYOTA HAS ESCAPED FINANCIAL PAIN A SPOKESMAN SAID THE COMPANY IS SLASHING EXPENSES IN ANTICIPATION OF A POSSIBLE DETERIORATION IN THE DOMESTIC AND OVERSEAS BUSINESS CLIMATE IN COMING MONTHS TOYOTA UNIT SALES ROSE 07 IN MARCH IN COMPARISON WITH LAST YEAR SNAPPING MANY MONTHS OF DECLINES BUT PROSPECTS OF A SUSTAINED RECOVERY IN AUTO SALES ARE STILL UNCERTAIN THE SPOKESMAN SAID THE YEN'S SHARP APPRECIATION IN RECENT WEEKS HAS PUT ADDED PRESSURE ON EARNINGS TOYOTA NOW COULD FALL SHORT OF ITS EARNINGS FORECAST FOR THE CURRENT FISCAL YEAR WHICH ENDS ON JUNE 30 PREVIOUSLY TOYOTA HAD PROJECTED PRETAX PROFIT OF 300 BILLION YEN 265 BILLION DOWN 20 FROM 376 BILLION YEN A YEAR EARLIER TOYOTA HAS SET NO FIRM DEADLINE FOR ACHIEVING ITS ADMINISTRATIVE COSTCUTTING GOAL AND A SPOKESMAN SAID THE COMPANY HASN'T DECIDED ON SPECIFIC REDUCTIONS ADMINISTRATIVE EMPLOYEES ACCOUNT FOR ABOUT 16 OF TOYOTA'S TOTAL WORK FORCE OF 75000 THE COMPANY HAS HAD SEVERAL PROGRAMS TO TRIM ITS BLOATED MIDDLE MANAGEMENT BUT ANALYSTS SAY THOSE REORGANIZATION EFFORTS HAD LIMITED SUCCESS 9304130157 930413 LEISURE & ARTS ON SPORTS WEIRDPUTTING LANGER WINS GREEN JACKET BY FREDERICK C KLEIN AUGUSTA GA THE MASTERS THE YEAR'S FIRST MAJOR GOLF TOURNAMENT WITH A CAPITAL M WAS CAPTURED BY THE GERMAN BERNHARD LANGER HERE SUNDAY SO EXAMINING SOME OF THE OFTHEARD ASSERTIONS ABOUT THIS PLAYER SEEMS IN ORDER IS HE OR ISN'T HE BY CONSENSUS OF THE GOLFING KNOWLEDGEABLE THE ANSWERS TO THE ABOVE ARE MAYBE QUITE POSSIBLY AND NOT REALLY THE SLOWNESS TITLE IS CONTESTED BY SEVERAL INCLUDING THE REDOUBTABLE JACK NICKLAUS THE LANGER PUTTING STYLE IN WHICH THE RIGHTHANDER HOLDS THE CLUB WITH HIS LEFT HAND WHILE HIS RIGHT CLAMPS THE TOP OF THE SHAFT TO HIS LEFT FOREARM IS WEIRD EVEN BY THE STANDARDS OF AN OFTENWEIRD SPORT AND WHILE THE FIVEFOOT PUTT HE MISSED ON THE LAST GREEN OF THE LAST MATCH OF THE '91 RYDER CUP AT KIAWAH ISLAND SC COST HIM A MATCHPLAY VICTORY OVER THE US'S HALE IRWIN AND HIS TEAM THE RIGHT TO KEEP THE TROPHY WITH AN OVERALL TIE HIS TEAMMATES BOTCHED MANY OTHER LESS PRESSURED SHOTS ALONG THE WAY WHAT'S SURELY CERTAINLY AND INDUBITABLY TRUE ABOUT LANGER IS THAT HE'S AN INTERNATIONAL MASTER OF HIS TRADE THE IDENTIFICATION OF WHICH IS WHAT THE MASTERS IS SUPPOSED TO BE ABOUT HIS VICTORY AT AUGUSTA NATIONAL GOLF CLUB WAS HIS SECOND THE FIRST HAVING COME IN 1985 AND WHILE THAT ABOUT EXHAUSTS THE LIST OF TITLES THE DELIBERATE GERMAN HAS WON ON HIS OCCASIONAL FORAYS TO THESE SHORES HE HAS AT ONE TIME OR ANOTHER CAPTURED THE OPEN CHAMPIONSHIPS OF GERMANY ITALY FRANCE THE NETHERLANDS SPAIN IRELAND AND COLOMBIA THAT HAS TO MAKE HIS THE BESTLABELED STEAMER TRUNK AROUND LANGER'S 72HOLE SCORE HERE WAS AN 11UNDERPAR 277 CONSISTING OF ROUNDS OF 68 70 69 AND 70 HIS TOTAL WAS FOUR STROKES FEWER THAN THAT OF RUNNERUP CHIP BECK A NORTH CAROLINA NATIVE OF MODEST PREVIOUS DISTINCTION AND WAS THE TOURNAMENT'S LARGEST WINNER'S MARGIN IN 10 YEARS THE FINALHOLES DRAMA THAT HAS CHARACTERIZED PAST MASTERS WAS ABSENT ON SUNDAY FOR MOST INTENTS AND PURPOSES TWO INCIDENTS SETTLED MATTERS EARLIER THE FIRST INVOLVED LANKY DAN FORSMAN A LONGHITTING PGA TOUR JOURNEYMAN DESPITE SOME SEESAW PLAY HE'D ENTERED THE FINAL NINE HOLES AT EIGHT UNDER PAR A SHOT BEHIND LANGER BUT KNOCKED TWO BALLS INTO THE POND FRONTING THE TREACHEROUS PARTHREE 12TH HOLE AND HIS QUADRUPLEBOGEY SEVEN ELIMINATED HIM AS A CHALLENGER LANGER TOOK MATTERS INTO HIS OWN HANDS A SHORT TIME LATER WITH A STERLING EAGLE THREE ON THE PARFIVE 13TH HOLE DRIVING PERFECTLY DOWN THE LEFT SIDE OF THE AZALEALINED FAIRWAY ON THE DOGLEG SMACKING A 202YARD THREEIRON OVER WATER TO THE UNDULATING GREEN AND SINKING A 20FOOT PUTT THAT WIDENED HIS LEAD TO THREE STROKES OVER HIS PLAYING PARTNER BECK THE ONLY MAN STILL CLOSE TO HIM AND A BIRDIE ON THE PARFIVE 15TH TO BECK'S PAR ICED THINGS BUT WHILE THE BLOND 35YEAROLD LANGER WHOSE CZECHBORN FATHER ESCAPED A WORLD WAR II RUSSIAN PRISONEROFWAR TRAIN AND SETTLED IN BAVARIA PLAYED WITH MONOTONOUS EXCELLENCE ON A GORGEOUS SUNDAY HE REALLY WON THE TOURNAMENT THE DAY BEFORE UNDER MORE TRYING CONDITIONS WINDS UP TO 25 MPH SWIRLED THROUGH THE COURSE'S PINEY ACRES ON SATURDAY SENDING SCORES SPIRALING UPWARD WHILE FIVE 67S AND A COUPLE DOZEN OTHER SUBPAR ROUNDS WERE POSTED ON A MILD FIRSTDAY THURSDAY AND SIMILAR FIGURES WERE RECORDED ON A RAINY BUT MOSTLY CALM FRIDAY ONLY TWO GOLFERS BROKE 70 SATURDAY AND LANGER WAS ONE OF THEM HIS 69 WHICH HE CALLED ONE OF HIS BEST ROUNDS EVER ENABLED HIM TO BEGIN THE FINAL DAY WITH A FOURSHOT LEAD ON THE FIELD AND HE MAINTAINED IT THE KEY TO LANGER'S SUCCESS WAS HIS STEADINESS HE POSTED BUT FIVE BOGEYS OVER HIS 72 HOLES AND THE KEY TO THAT WAS HIS PUTTING AS ALWAYS GETTING THE BALL INTO THE HOLE EFFICIENTLY IS ESSENTIAL FOR MASTERS WINNERS ON A COURSE WHOSE LAST AND BEST LINE OF DEFENSE AGAINST THE SPORT'S MODERN TECHNOLOGY IS ITS LINOLEUMSLICK GREENS MAYBE THE BEST ILLUSTRATION OF THE PUTTING CONDITIONS THE CONTESTANTS FACED CAME THURSDAY ON THE NINTH GREEN A STEEPLY SLOPED MULTITIERED AFFAIR PUTTING DOWNHILL FROM THE BACK OF THE GREEN BILLY RAY BROWN JUST TAPPED HIS 60FOOT TRY BUT IT NOT ONLY PASSED THE CUP BUT ROLLED OFF THE GREEN ALTOGETHER LEAVING HIM WITH A LONGER SHOT BACK THAN HE HAD TO BEGIN THAT WASN'T FUN ANDREW BROWN REMARKED TO ANDREW MAGEE HIS PLAYING PARTNER IS THIS SUPPOSED TO BE FUN MAGEE ASKED IN RETURN LANGER'S ODD PUTTING GRIP ADOPTED A COUPLE SEASONS BACK IS THE LATEST IN A SERIES OF EXPERIMENTS HE BEGAN WHEN A 1988 BACK INJURY THREW OFF ALL FACETS OF HIS GAME FIRST HE TRIED PUTTING WITH HIS HANDS CROSSED THEN WITH HIS HANDS SEPARATED ON HIS PUTTER'S SHAFT AND FINALLY WITH HIS PRESENT METHOD WHICH IS ESSENTIALLY ONEHANDED IT FELT COMFORTABLE ALMOST RIGHT AWAY ESPECIALLY ON SHORT PUTTS HE SAID DO HIS FELLOW PROS KID HIM ABOUT IT HE WAS ASKED NOT TO MY FACE HE REPLIED LANGER'S VICTORY WAS THE FIFTH BY A EUROPEAN IN THE PAST SIX YEARS AT THE MASTERS AND THE EIGHTH IN THE PAST 14 CAUSING THE ATHLETICALLY PATRIOTIC TO ASK WHY ONCE AGAIN THE STRAIGHTFORWARD ANSWER IS THAT THE EUROPEANS IN QUESTION LANGER SEVE BALLESTEROS NICK FALDO SANDY LYLE AND IAN WOOSNAM ARE FINE PLAYERS BUT THE THEORY THAT THE RELATIVELY SMALL NUMBER OF GOLFERS WHO DOMINATE THE EUROPEAN TOUR ARE ADEPT AT WINNING AS OPPOSED TO MERELY CASHING LARGE CHECKS FOR PLACE SHOW OR BELOW RECEIVED SOME SUPPORT ON SUNDAY THAT CAME ON THE 500YARD 15TH HOLE WHEN BECK TRAILING BY THREE STROKES AND RUNNING OUT OF CHANCES ELECTED TO LAY HIS SECOND SHOT SHORT OF THE POND BEFORE THE GREEN RATHER THAN GOING FOR THE CUP FROM ABOUT 230 YARDS OUT BECK SAID HE DID IT BECAUSE GOING FOR BROKE ENTAILED TOO MUCH RISK BUT ALTHOUGH GOLFERS USUALLY ARE AS RELUCTANT AS PHYSICIANS TO SECONDGUESS ONE ANOTHER LANGER THIS TIME BROKE THAT RULE WHEN ASKED SAID HE I WAS A LITTLE SURPRISED HE LAID UP I'D PROBABLY HAVE GONE FOR IT GENE SARAZEN DID 9304130156 930413 WHAT'S NEWS WORLDWIDE THE SECURITY COUNCIL PUT OFF A VOTE ON TIGHTER SANCTIONS AGAINST SERBIA THE US WHICH WANTS TO HELP RUSSIA'S YELTSIN WIN AN APRIL 25 REFERENDUM ON HIS POLITICAL FUTURE AGREED TO A POSTPONEMENT OF THE UN VOTE UNTIL THE DAY AFTER THE REFERENDUM THE SECURITY COUNCIL IS LIKELY TO ADOPT THE TOUGHER SANCTIONS LATER THIS MONTH WITH THE COOPERATION OF RUSSIA UNLESS THE SERBS HAVE AGREEDO PEACE TERMS FOR BOSNIA MEANWHILE NATO PLANES BEGAN ENFORCING A NOFLY ZONE OVER BOSNIA A FRENCH MIRAGE 2000 FIGHTER INVOLVED IN THE OPERATION WENT DOWN IN THE ADRIATIC SEA APPARENTLY DUE TO ENGINE FAILURE UN WAREHOUSES WERE SAID TO HAVE ONLY A WEEK'S WORTH OF FOOD FOR PARTS OF CENTRAL BOSNIA AND AS LITTLE AS TWO WEEKS FOR OTHER AREAS THAT ARE UNDER SIEGE THE CLINTON ADMINISTRATION WILL ASK VIETNAM'S GOVERNMENT TO EXPLAIN A DOCUMENT ALLEGING THAT HANOI HELD 1205 AMERICAN PRISONERS OF WAR IN 1972 MORE THAN TWICE AS MANY AS WERE RELEASED THE FOLLOWING YEAR WASHINGTON OFFICIALS SAID RUSSIA TURNED THE DOCUMENT OVER TO US AUTHORITIES LAST WEEK THE HOUSE MAJORITY LEADER PREDICTED THAT THE US WILL HAVE TO PROVIDE AT LEAST 1 BILLION TO 2 BILLION ANNUALLY IN AID TO RUSSIA FOR YEARS TO COME AND THAT SOME OF IT WILL HAVE TO BE FUNDED BY CUTTING AID TO ISRAEL AND EGYPT GEPHARDT JUST RETURNED FROM A TRIP TO RUSSIA AND UKRAINE A NUCLEAR BLAST LAST WEEK CONTAMINATED AN AREA IN SIBERIA MORE THAN THREE TIMES GREATER THAN PREVIOUSLY THOUGHT RUSSIAN OFFICIALS SAID RADIATION FROM LAST TUESDAY'S EXPLOSION AT A NUCLEAR PLANT NEAR THE CITY OF TOMSK CONTAMINATED ABOUT 46 SQUARE MILES ACCORDING TO THE LATEST ESTIMATES CALIFORNIA GOV WILSON ORDERED ABOUT 600 NATIONAL GUARD TROOPS TO REPORT TO ARMORIES THROUGHOUT LOS ANGELES AS JURORS IN THE RODNEY KING CASE DELIBERATED A THIRD DAY HUNDREDS OF EXTRA POLICE WERE ON THE STREETS IN AN EFFORT TO HEAD OFF VIOLENCE MARINES AT NEARBY CAMP PENDLETON PLANNED AN URBAN WARFARE TRAINING DRILL TODAY NEGOTIATORS BARGAINED WITH PRISONERS AT OHIO'S MAXIMUM SECURITY PRISON IN LUCASVILLE WHERE 450 INMATES WERE BARRICADED AFTER A RIOT SUNDAY THAT LEFT SIX PRISONERS DEAD EIGHT GUARDS WERE TAKEN HOSTAGE OFFICIALS WERE TRYING TO GET THE INMATES TO FREE ONE HOSTAGE IN EXCHANGE FOR A CHANCE TO PRESENT THEIR DEMANDS TO THE MEDIA LEADERS OF BLACK GROUPS URGED THEIR SOUTH AFRICAN FOLLOWERS TO REFRAIN FROM VIOLENCE FOLLOWING SATURDAY'S SLAYING OF A POPULAR BLACK LEADER CHRIS HANI IN A JOHANNESBURG TOWNSHIP A GROUP OF BLACKS THREW STONES AND SHOT AT POLICE OFFICERS AND NEWS REPORTERS BUT THE COUNTRY GENERALLY WAS DESCRIBED AS CALM FEDERAL TIMBER AGENCIES ARE WORKING ON A REPORT THAT SUGGESTS TOUGH ADDITIONAL LOGGING RESTRICTIONS MAY BE NEEDED IN THE NORTHWEST TO PROTECT A SEABIRD THE MARBLED MURRELET THE AGENCIES APPARENTLY DELAYED FINISHING THE REPORT BECAUSE THEY DIDN'T WANT IT RELEASED DURING CLINTON'S TIMBER SUMMIT SPAIN'S PRIME MINISTER CALLED EARLY ELECTIONS FOR JUNE 6 IN AN ATTEMPT TO COPE WITH A CRISIS WITHIN THE RULING SOCIALIST PARTY OVER ITS HANDLING OF A CORRUPTION SCANDAL RELATED TO PARTY FINANCES GONZALEZ SAID THE MOVE WAS AIMED AT WINNING A CLEAR MANDATE FOR TOUGH MARKETORIENTED ECONOMIC REFORMS AN ETHICS TRIAL GOT UNDER WAY FOR ALABAMA'S GOV HUNT WHO IS CHARGED WITH TRANSFERRING 200000 FROM HIS 1987 INAUGURAL FUND AND THEN USING THE MONEY TO BUY COWS AND FARM SUPPLIES AND TO REPAY LOANS IF CONVICTED OF THE SINGLE FELONY COUNT HUNT WOULD BE FORCED TO STEP DOWN AS GOVERNOR MIDWAY THROUGH HIS SECOND TERM MORE THAN 1000 CIVILIANS WERE FEARED TRAPPED IN THE SNOWY MOUNTAINS OF AZERBAIJAN AFTER TRYING TO MAKE A 21MILE TREK OVER THE DASHKESAN MOUNTAIN RANGE TO ESCAPE ARMENIAN ATTACKS RELIEF OFFICIALS SAID THERE WERE INDICATIONS THAT MANY AZERBAIJANIS WHO SET OUT IN LATE MARCH FROM THE KELBAJAR REGION MAY HAVE DIED OF EXPOSURE ANGOLAN PEACE TALKS OPENED IN THE IVORY COAST WITH A WARNING FROM THE UN CHIEF BOUTROSGHALI THAT HIS PATIENCE WAS RUNNING OUT AND THAT THE WARRING FACTIONS MUST SHOW A REAL COMMITMENT TO END THEIR FIGHTING MEANWHILE ANGOLA'S UNITA REBEL MOVEMENT SAID IT ATTACKED STATE INSTALLATIONS IN THE NORTHERN OILPRODUCING ENCLAVE OF CABINDA 9304130155 930413 WHO'S NEWS INDIANA UNIVERSITY NAMES RAU BUSINESS SCHOOL DEAN BLOOMINGTON IND INDIANA UNIVERSITY NAMED JOHN RAU A FORMER CHICAGO BANKER DEAN OF ITS BUSINESS SCHOOL MR RAU 44 YEARS OLD AND UNTIL 1991 PRESIDENT AND CHIEF EXECUTIVE OFFICER OF LASALLE NATIONAL BANK OF CHICAGO SUCCEEDS JACK WENTWORTH DEAN SINCE 1984 WHO IS RETIRING THE APPOINTMENT GIVES THE SCHOOL A LEADER WITH STRONG TIES IN THE MIDWEST CORPORATE WORLD WHICH CAN BE IMPORTANT IN PLACING GRADUATES AND RAISING FUNDS MR RAU REAPED ABOUT 10 MILLION FROM STOCK STOCK OPTIONS AND SOCALLED GOLDEN PARACHUTE AGREEMENTS WHEN LASALLE ACQUIRED EXCHANGE BANCORP INC WHERE HE HAD BEEN CHIEF EXECUTIVE IN 1990 FOR ABOUT 420 MILLION AFTER STAYING ON FOR THE TRANSITION HE WORKED PARTTIME IN A NUMBER OF FIELDS AND TRIED TO DECIDE HE SAID IN AN INTERVIEW WHAT I WANTED TO DO FOR MY SECOND CAREER A FELLOW HARVARD BUSINESS SCHOOL GRADUATE WAS ON THE SEARCH COMMITTEE LOOKING FOR A NEW INDIANA BUSINESS SCHOOL DEAN AND SUBMITTED MR RAU'S NAME MR RAU SAID HE HOPES TO EXPAND THE TARGET GROUP OF EMPLOYERS FOR GRADUATES BEYOND THE FORTUNE 1000 TO SOCALLED MIDDLEMARKET COMPANIES THAT HAVE SALES OF 20 MILLION TO 100 MILLION OR MORE HE KNOWS MANY LASALLE IS A BIG LENDER TO THAT MARKET 9304130154 930413 ECONOMY EXECUTIVES OF LARGER FIRMS OPTIMISTIC ABOUT SECOND QUARTER SURVEYS FIND BY FRED R BLEAKLEY STAFF REPORTER OF THE WALL STREET JOURNAL EXECUTIVES OF LARGE AND MIDSIZE COMPANIES EXPECT SALES AND PROFITS TO GROW FASTER IN THE SECOND QUARTER THAN THE FIRST ANOTHER SIGN THAT THE ECONOMIC RECOVERY IS ON TRACK ALTHOUGH THE OPTIMISTIC FORECASTS FROM A BROAD RANGE OF COMPANIES RESPONDING TO TWO DIFFERENT SURVEYS DO NOT INCLUDE EXPECTATIONS OF JOB GROWTH THEY DO FORESEE A JUMP IN CAPITAL SPENDING ACCORDING TO BOTH SURVEYS ONE BY AT KEARNEY & CO AND ONE BY THE AMERICAN BUSINESS CONFERENCE THIS ADDS CONFIRMATION TO THE TURNAROUND IN THE ECONOMY SAID DAVID WYSS RESEARCH DIRECTOR FOR DRI/MCGRAW HILL BOSTON THE SPENDING PLANS ARE PARTICULARLY ENCOURAGING HE ADDED BECAUSE CONSUMER SPENDING IS SHOWING SIGNS OF PETERING OUT AMONG THOSE SURVEYED WERE 92 CHIEF FINANCIAL OFFICERS WHO TOLD KEARNEY THE CHICAGO MANAGEMENT CONSULTING FIRM THEIR COMPANIES WOULD BOOST CAPITAL SPENDING 14 FOR THE SECOND QUARTER OVER A YEAR EARLIER UP FROM AN 117 RATE IN THE FIRST QUARTER FUELING THAT INCREASE WILL BE A SPURT OF 99 IN PROFITS A PICKUP FROM THE 72 YEARTOYEAR PROFIT GAIN FOR THE FIRST QUARTER THE SURVEY WAS CONDUCTED LATE LAST MONTH SALES GROWTH WILL NOT BE AS ROBUST SAID THE CFOS MOST OF WHOM ARE WITH THE 500 LARGEST SERVICE OR INDUSTRIAL COMPANIES IN THE NATION THEY PREDICTED A 65 GAIN IN SALES UP FROM 43 FOR THE FIRST QUARTER ONE OF THE COMPANIES FORECASTING GAINS IS CAROLINA FREIGHT CORP WHOSE CHIEF FINANICAL OFFICER SHAWN POOLE EXPECTS STEADY GROWTH THROUGH THE REMAINDER OF THE YEAR ESPECIALLY IN SHIPMENTS OF DURABLE GOODS THE CHERRYVILLE NC TRUCK TRANSPORTATION COMPANY IS NOT ADDING DEBT HOWEVER TO HANDLE THE EXTRA BUSINESS HAVING COMPLETED A CAPITAL EXPANSION PROGRAM IT NOW WANTS TO DELEVERAGE AND NOT BE SUBJECT TO THE WHIMS OF CREDIT MARKETS AND THE BANKS SAID MR POOLE OTHER CFOS AGREE RESPONDENTS PLAN A 12 REDUCTION IN LONG TERM DEBT IN THE SECOND QUARTER THERE COULD BE SOME UPWARD PRESSURE ON MONEY MARKET INTEREST RATES HOWEVER SINCE THEY PLAN A 37 INCREASE IN SHORTTERM DEBT OBLIGATIONS MEANWHILE INVENTORY LEVELS WILL GROW ONLY MODESTLY ABOUT 23 DESPITE THE INCREASED SALES THE KEARNEY SURVEY FOUND OUR CUSTOMERS EXPECT MORE PRODUCTIVITY FROM US SAID RICHARD SMITH CFO OF ARVIN INDUSTRIES INC WHICH SUPPLIES THE AUTO INDUSTRY WITH EXHAUST SYSTEMS AND SHOCK ABSORBERS BY WORKING WITH CUSTOMERS THE COLUMBUS IND COMPANY HAS BEEN ABLE TO PARE ITS INVENTORY NEEDS AND KEEP ITS DEBT LEVELS LOWER WHILE SALES CONTINUE TO GROW HE SAID CHIEF EXECUTIVES OF MIDSIZE COMPANIES ALSO EXPECT MORE GROWTH IN THE SECOND QUARTER THAN THE FIRST ALONG WITH MORE INVESTMENT OUTLAYS DESPITE THAT BARRY ROGSTAD PRESIDENT OF THE AMERICAN BUSINESS CONFERENCE WASHINGTON DC WHICH CONDUCTED THE SURVEY OF ITS 100 MEMBERS SAID WE STILL HAVE A LONG WAY TO GO BEFORE ABC MEMBERS WILL DECLARE THE ECONOMY IS IN THE MIDST OF A STRONG RECOVERY HE ADDED THE GREAT AMERICAN JOB MACHINE ISN'T EXACTLY FIRING ON ALL CYLINDERS THE VAST MAJORITY OF RESPONDENTS SAID THEY WOULD KEEP EMPLOYMENT THE SAME IN THE CURRENT QUARTER OR CUT BACK EVEN THOUGH THEIR COMPANIES ARE GROWING IN SALES AND PROFITS IN THE A T KEARNEY SURVEY THE AVERAGE COMPANY WAS PLANNING TO REDUCE EMPLOYMENT 8 THE SAME AS IN THE FIRST QUARTER COST SAVINGS LIKE THAT HELP ACCOUNT FOR PROFITS GROWING FASTER THAN SALES EARL LANDESMAN A PRINCIPAL WITH THE FIRM SAID AT KELLWOOD CORP IN ST LOUIS THE LINGERING IMPACT OF THE RECESSION ON COMPETITORS IS HELPING THE APPAREL COMPANY GAIN MARKETSHARE SAYS JAMES JACOBSEN EXECUTIVE VICE PRESIDENT HE EXPECTS SALES AND EARNINGS GAINS OF BETTER THAN 10 THIS YEAR BECAUSE CUSTOMERS LIKE SEARS ROEBUCK & CO AND A NUMBER OF OTHER LARGE DEPARTMENT STORE CHAINS KNOW WE CAN DELIVER A LOT OF SMALLER APPAREL COMPANIES AND SOME BIG ONES WERE HURT FINANCIALLY BY THE RECESSION HE SAID PROGRESS AT MANY COMPANIES OF COURSE IS TAKING PLACE MORE SLOWLY KAMAN CORP FOR INSTANCE HAS HAD TOUGH SLEDDING IN SELLING ITS AVIATION TECHNOLOGY PRODUCTS TO THE DEFENSE INDUSTRY BECAUSE OF GOVERNMENT CUTBACKS ALSO ITS INDUSTRIAL PARTS BUSINESS IS CONCENTRATED ON THE EAST AND WEST COASTS WHERE THE ECONOMY IS NOT AS STRONG AS IN OTHER PARTS OF THE COUNTRY IT'S HARD TO SEE QUANTUM INCREASES IN EARNINGS SAID WILLIAM DESAUTELLE SENIOR VICE PRESIDENT OF THE BLOOMFIELD CONN COMPANY BUT HE ADDED WE WILL SHOW SLIGHT PROGRESS IN THE SECOND QUARTER IN PART BECAUSE OF A CONTINUED PARING IN EMPLOYMENT THE COMPANY'S PAYROLL WHICH HAD BEEN AS HIGH AS 6400 A FEW YEARS AGO WAS DOWN TO 5400 AT THE END OF LAST YEAR SINCE THEN IT HAS DECLINED BY 5075 PERSONS AND MY SENSE IS THAT IT WILL BE DOWN A BIT MORE BY YEAR END MR DESAUTELLE SAID THE LACK OF JOB GROWTH WILL HURT COMPANIES DEPENDENT ON CONSUMER SPENDING AS WELL MR WYSS OF DRI/MCGRAW HILL ALREADY HAD NOT BEEN EXPECTING A STRONG SECOND QUARTER AMONG OTHER THINGS HE SAID MANY CONSUMERS WILL BE PAYING TAXES THIS MONTH BECAUSE THEY UNDERWITHELD DURING 1992 IN CONTRAST TO LAST YEAR WHEN THEY RECEIVED TAX REFUNDS HIS FIRM IS FORECASTING A 22 ANNUAL RATE OF REAL GROWTH ABOVE INFLATION OF THE GROSS DOMESTIC PRODUCT IN THE SECOND QUARTER DOWN FROM A 28 RATE IN THE FIRST QUARTER THE KEARNEY SURVEY ALSO FOUND CFOS SKEPTICAL OF PRESIDENT CLINTON'S ECONOMIC PLAN SINCE THE PLAN WAS OUTLINED 50 OF THOSE SURVEYED SAID THEY WERE LESS CONFIDENT OF THE ADMINISTRATION'S ABILITY TO IMPROVE THE ECONOMY ONLY 10 SAID THEY WERE MORE CONFIDENT ALMOST 60 FELT THE PLAN WOULD HURT THE ECONOMY BECAUSE SPENDING CUTS ARE TOO FEW AND TAX INCREASES ARE TOO HEAVY SAID MR LANDESMAN OF KEARNEY MR JACOBSEN OF KELLWOOD FOR INSTANCE SAID HE WAS NOT PARTICULARLY FAVORABLE TOWARD CLINTON BECAUSE I DON'T THINK RAISING TAXES ON CORPORATIONS AND MOST PEOPLE IS NEEDED IT SEEMS TO BE PUSHING FOR CHANGE FOR CHANGE SAKE MR WYSS OF DRI/MCGRAW HILL ALSO INTERPRETED THE SURVEY RESULTS AS DIMINISHING THE NEED FOR PARTS OF THE CLINTON PLAN IT'S A VERY FAVORABLE SURVEY FOR THE ECONOMY AND CONTINUES TO CALL INTO QUESTION THE NEED FOR A STIMULUS PACKAGE HE SAID 9304130153 930413 FANNIE MAE PROFIT INCREASED 16 IN FIRST QUARTER BY JIM CARLTON STAFF REPORTER OF THE WALL STREET JOURNAL THE FEDERAL NATIONAL MORTGAGE ASSOCIATION SAID ITS PROFIT ROSE 16 IN THE FIRST QUARTER ON STRONG GROWTH IN REVENUE FROM ITS MORTGAGE PORTFOLIO NET INCOME FOR THE WASHINGTON DC COMPANY ROSE TO 4436 MILLION OR 161 A SHARE FROM 3816 MILLION OR 139 A SHARE IN THE YEAREARLIER PERIOD THE RESULTS WERE IN LINE WITH ANALYSTS' EXPECTATIONS IN LATE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY FANNIE MAE'S STOCK ROSE 150 TO 8075 FANNIE MAE A STRONG WALL STREET PERFORMER WHICH PURCHASES MORTGAGES FOR ITS OWN PORTFOLIO AS WELL AS TO PACKAGE FOR RESALE AS SECURITIES SAID NET INTEREST INCOME ON THE LOANS IT KEEPS FOR INVESTMENT ROSE 24 TO 6039 MILLION FROM 4889 MILLION A YEAR EARLIER THE COMPANY'S ISSUANCE OF MORTGAGEBACKED SECURITIES DECLINED TO 39 BILLION IN THE FIRST QUARTER FROM 412 BILLION IN THE YEARAGO PERIOD AND FROM 577 BILLION IN THE FOURTH QUARTER THE COMPANY'S PURCHASES OF MORTGAGES IN THE FIRST QUARTER FELL TO 138 BILLION FROM 174 BILLION A YEAR AGO AND 252 BILLION IN THE FOURTH QUARTER ANALYSTS SAID THE DECLINES REFLECT FANNIE'S STRATEGY OF DECELERATING GROWTH BETWEEN WAVES OF REFINANCING ALTHOUGH REFINANCINGS HAVE PICKED UP STRONGLY SINCE LATE FEBRUARY THEY WERE SUBSTANTIALLY WEAKER IN THE OVERALL QUARTER THAN IN BOTH THE FIRST AND FOURTH QUARTERS LAST YEAR FANNIE MAE BUYS MORE MORTGAGES WHEN REFINANCING IS STRONG TO OFFSET DECLINES IN PROFIT MARGINS FROM AN INCREASED PREPAYMENT OF HIGHERYIELDING LOANS PAUL PAQUIN A FANNIE MAE SENIOR VICE PRESIDENT SAID THE HIGHER PREPAYMENTS RESULT IN FANNIE MAE'S YIELD ON TOTAL OUTSTANDING LOANS GOING DOWN FASTER THAN ITS COST OF DEBT WHICH NARROWS THE MARGIN ON NET INTEREST INCOME BUT THE COMPANY OFFSETS THAT SQUEEZE BY BUYING MORE MORTGAGES WHOSE INTEREST YIELDS TEND TO RISE RELATIVE TO FANNIE MAE'S BORROWING COSTS BECAUSE THERE ARE SO MANY MORTGAGES FLOODING INTO THE MARKET WHEN THAT HAPPENS WE WANT TO GROW FASTER BECAUSE WE CAN MAKE MORE MONEY MR PAQUIN SAID WITH REFINANCING ACTIVITY HAVING REGAINED BOOM LEVELS IN RECENT WEEKS AMID DECLINES TO 75 IN THE 30YEAR FIXEDRATE MORTGAGE FANNIE MAE OFFICIALS SAY THEIR MORTGAGE VOLUME IS SURGING AGAIN JAMES A JOHNSON CHAIRMAN AND CHIEF EXECUTIVE SAID THE COMPANY'S MORTGAGE VOLUME THIS YEAR SHOULD APPROACH IF NOT EXCEED LAST YEAR'S RECORD VOLUME OF 254 BILLION IF REFINANCINGS GET TOO OUT OF HAND JONATHAN GRAY AN ANALYST FOR SANFORD C BERNSTEIN & CO SAID FANNIE MAE CAN BOLSTER FUTURE EARNINGS THROUGH A WAR CHEST OF UNREPORTED NET INCOME THAT IT ACCUMULATED RECENTLY BY BUYING BACK HIGHERCOSTING DEBT AND REPLACING IT WITH LOWERCOSTING DEBT MR GRAY SAID THE FIRSTQUARTER EARNINGS IN FACT WOULD HAVE ACTUALLY CLIMBED 25 FROM A YEAR AGO HAD THESE BUYBACKS NOT TAKEN PLACE IT WILL GIVE THEM MORE AMMUNITION HE SAID 9304130152 930413 BUSINESS BRIEF WESTWOOD ONE INC RADIO & RECORDS INC UNIT TO BE SOLD TO REDUCE DEBT WESTWOOD ONE INC LOS ANGELES SAID IT IS PUTTING ITS RADIO & RECORDS INC SUBSIDIARY UP FOR SALE AS PART OF A CONTINUING MOVE TO REDUCE DEBT AND FOCUS ON THE COMPANY'S CORE NETWORKRADIO BUSINESS JEANNE SMITH DIRECTOR OF INVESTOR RELATIONS FOR WESTWOOD ONE WOULDN'T DISCLOSE THE REVENUE OF THE LOS ANGELESBASED SUBSIDIARY WHICH PUBLISHES A WEEKLY TRADE NEWSPAPER BUT SHE SAID WESTWOOD ONE DOESN'T PLAN TO SHED MORE ASSETS THE PLANNED DIVESTMENT IS SIMPLY A PLAN TO DELEVERAGE THE COMPANY SHE SAID WESTWOOD ONE A PRODUCER AND DISTRIBUTOR OF NATIONALLY SPONSORED RADIO PROGRAMS ANNOUNCED THE SALE OF ITS LAST TWO RADIO STATIONS THIS YEAR NORMAN J PATTIZ THE COMPANY'S CHAIRMAN AND CHIEF EXECUTIVE SAID WESTWOOD ONE PLANS TO USE THE PROCEEDS FROM A POTENTIAL RADIO & RECORDS SALE TO FURTHER REDUCE DEBT OUTSTANDING IN FISCAL 1992 THE COMPANY HAD SALES OF 1377 MILLION AND TOTAL DEBT OF ABOUT 170 MILLION 9304130151 930413 BUSINESS BRIEF UAL CORP COMPANY AGREES TO SELL O'HARE TURBOPROP BUSINESS UAL CORP PARENT OF UNITED AIRLINES SAID IT AGREED TO SELL ITS O'HARE INTERNATIONAL AIRPORT TURBOPROP BUSINESS USING NINE 64SEAT PLANES ON 38 DAILY FLIGHTS TO A NEW COMPANY FORMED TO MAKE THE ACQUISITION UNITED FEEDER SERVICE TERMS WEREN'T DISCLOSED THE OPERATIONS ARE PART OF AIR WIS WHICH UAL HAS BEEN TRYING TO SELL IT ALREADY SOLD FEEDER OPERATIONS AT DULLES INTERNAIONAL AND HAS SOME JET OPERATIONS AT O'HARE STILL FOR SALE UNITED FEEDER WAS FORMED BY HULAS KANODIA AN AIRLINE EXECUTIVE WHO OWNS A FEEDER SERVICE IN ST LOUIS UAL SAID IT EXPECTS THE SALE TO BE COMPLETED SEPT 1 9304130150 930413 BUSINESS BRIEF NANTUCKET INDUSTRIES INC POTENTIAL INVENTORY THEFT DISCOVERED AT ONE FACILITY NANTUCKET INDUSTRIES INC SAID IT DISCOVERED A POTENTIAL THEFT OF 17 MILLION OF INVENTORY AT ITS FACILITY IN PUERTO RICO DESPITE THE LOSS THE MAKER OF UNDERWEAR HOSIERY AND SOCKS FOR MEN AND WOMEN SAID IT EXPECTS TO BE PROFITABLE FOR THE FISCAL YEAR ENDED FEB 27 NANTUCKET SAID IT NOTIFIED ITS INSURERS AND IT IS COVERED FOR SUBSTANTIALLY THE FULL AMOUNT OF THE LOSS OF THE POTENTIAL THEFT WHICH IT IS INVESTIGATING THE COMPANY SAID IT ALSO INFORMED ITS LENDER CHEMICAL BANKING CORP WITH WHICH IT CURRENTLY IS NEGOTIATING EXTENSION OF A CREDIT AGREEMENT THAT MATURES APRIL 19 THE COMPANY SAID IT DOESN'T EXPECT THE ANNOUNCEMENT TO AFFECT THE TALKS 9304130149 930413 WHO'S NEWS NOVEN PHARMACEUTICALS INC NOVEN PHARMACEUTICALS INC MIAMI COLIN A MORRIS 52 YEARS OLD WAS NAMED TO THE NEW POSITION OF VICE PRESIDENT OF OPERATIONS FOR THIS PHARMACEUTICALS COMPANY HE HAD BEEN SENIOR DIRECTOR OF WORLDWIDE ENGINEERING AT RHONEPOULENC RORER INC A PHARMACEUTICAL FIRM BASED IN COLLEGEVILLE PA 9304130148 930413 REVIEW & OUTLOOK EDITORIAL AGAINST THE GRAIN JAPAN'S PRIME MINISTER KIICHI MIYAZAWA MUST BE DREADING HIS TRIP TO THE US THIS WEEK BILL CLINTON HAS BEEN BASHING JAPAN RHETORICALLY AND THE AMERICAN OBSESSION WITH TRADE STATISTICS MEANS THAT CONGRESS AND TRADE OFFICIALS CAN BE EXPECTED TO BE CHURLISH ONE OF THE THINGS THEY'LL BE HUFFING AND PUFFING ABOUT IS RICE NOW IF JAPAN OPENED ITS DOORS ENTIRELY TO FOREIGN RICE ITS GAUDY TRADE SURPLUS WOULD BARELY BUDGE IN THE MYTHOLOGY OF TRADE HOWEVER SUCH FACTS DON'T MATTER RICE IS A SYMBOL THE BAN REPRESENTS ALL THAT JAPAN'S TRADING PARTNERS DISLIKE ABOUT JAPANESE TRADE PRACTICES AND MAKES THE SPORT OF JAPANBASHING POLITICALLY ACCEPTABLE FOR THE LDP'S DIET MEMBERS SOME 70 OF WHOM ARE SELFDESCRIBED NORIN GIIN AGRICULTURAL SPECIALISTS WHO REPRESENT RURAL DISTRICTS KEEPING OUT FOREIGN RICE SHOWS HOW TOUGH THEY ARE STICKING UP FOR JAPANESE INTERESTS THIS POLITICAL KABUKI HAS LONG SINCE DEGENERATED INTO FARCE AND WHILE JAPAN IS NOT THE ONLY CLOWN ON STAGE IT ALONE HAS THE ABILITY TO MOVE THE ACTION FORWARD IT SHOULD AGREE TO THE GATT PROPOSAL TO REPLACE ALL AGRICULTURAL RESTRICTIONS WITH TARIFFS NOT BECAUSE OF MUTTERINGS FROM WASHINGTON BUT BECAUSE IT IS A GOOD IDEA FOR JAPAN MORE THAN A THIRD OF JAPAN'S FARMERS ARE OVER 60 AND NEW ENTRANTS TO THE FIELD ARE FEW IN JAPAN AS ELSEWHERE IT'S PROVED IMPOSSIBLE TO KEEP 'EM DOWN ON THE FARM ONCE THEY'VE SEEN TOKYO POLITICALLY THE RICE BAN IS ALSO LOSING ITS POINT IN 1986 FOR THE FIRST TIME LDP DIETMEN GOT HALF THEIR VOTES FROM URBAN FOLKS SAVVY LDP THINKERS IF THERE ARE ANY WOULD RECOGNIZE THAT THEIR POLITICAL FUTURE IS IN THE CITIES URBAN CONSUMERS UNTIED TO A MYSTICAL RICE CULTURE THEY HAVE NEVER KNOWN AND AWARE THAT THEY PAY FIVE TIMES OR MORE THAN THE WORLD PRICE HAVE SHOWN IN SURVEYS THEY WOULD FAVOR RICE IMPORTS CONSIDERING THE HUGE STAKE JAPAN HAS IN A LIBERAL WORLD TRADING ORDER ITS INSISTENCE ON PROTECTING THE FEEBLE RICE INDUSTRY FROM ITSELF MAKES NO SENSE MR MIYAZAWA HAS SAID REPEATEDLY THAT JAPAN WOULD NOT STAND IN THE WAY OF COMPLETING THE URUGUAY ROUND IT LOOKS LIKE IT IS DOING JUST THAT THE POINTS WE'VE MADE HERE ABOUT RICE ARE HARDLY UNKNOWN TO JAPANESE READERS MAGAZINES AND NEWSPAPERS HAVE TAKEN THOUGHTFUL STABS AT THE ISSUE FOR SEVERAL YEARS NOW THERE IS EVEN A CITIZEN'S COMMITTEE TO ACCEPT TARIFFICATION OF RICE IMPORTS INSTEAD OF JOINING THE DEBATE THOUGH THE LDP HAS TAKEN REFUGE IN THE STATUS QUO LIKE THE IMPORT ON RICE THAT CAN'T LAST FOREVER 9304130147 930413 BUSINESS BRIEF COMMERCE CLEARING HOUSE INC TWO SUBSIDIARIES TO BE SOLD TO SMITH MCDONNELL STONE COMMERCE CLEARING HOUSE INC RIVERWOODS ILL SAID IT AGREED TO SELL ITS FACTS ON FILE INC AND NATIONAL QUOTATION BUREAU INC UNITS WITH COMBINED ANNUAL SALES OF ABOUT 28 MILLION TO SMITH MCDONNELL STONE & CO A NEW YORK FINANCIAL CONCERN THE COMPANIES WOULDN'T DISCLOSE THE SALES PRICE OR THE EARNINGS OF THE UNITS COMMERCE CLEARING HOUSE SAID IT WOULD RETAIN A MINORITY STAKE IN THE UNITS FACTS ON FILE IS A REFERENCE SERVICE WIDELY DISTRIBUTED TO LIBRARIES AND SCHOOLS AND IS THE BIGGER OF THE TWO UNITS NATIONAL QUOTATION PUBLISHES THE SOCALLED PINK SHEETS THAT LIST SALES OF MORE THINLY TRADED STOCKS AND BONDS THAT OCCUR BETWEEN BROKERS OFF EXCHANGES THE SALE IS PART OF AN EFFORT BY COMMERCE CLEARING HOUSE TO CONCENTRATE ON SERVING THE ACCOUNTING LEGAL AND CORPORATE MARKETS 9304130146 930413 WHO'S NEWS BANK OF TOKYO LTD BANK OF TOKYO LTD TOKYO SACHIO KOHJIMA 51 YEARS OLD WAS NAMED PRESIDENT BANK OF TOKYO TRUST CO A US UNIT OF THIS JAPANESE BANKING COMPANY HE SUCCEEDS KEISHI FUJII 54 WHO RETURNED TO TOKYO FOR ANOTHER ASSIGNMENT WITH THE PARENT MR KOHJIMA MOST RECENTLY WAS GENERAL MANAGER OF THE CORPORATE ADVISORY DIVISION AND THE PROJECT FINANCE DIVISION AT THE BANK OF TOKYO 9304130145 930413 POLITICS & POLICY NATIONAL SERVICE ALREADY ATTRACTS VOLUNTEERS EVEN BEFORE THE DEBATE IN CONGRESS HAS BEGUN BY GERALD F SEIB STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON IF YOU BUILD IT HE WILL COME A MYSTERIOUS VOICE TOLD KEVIN COSTNER ABOUT THE BASEBALL DIAMOND IN FIELD OF DREAMS PRESIDENT CLINTON HASN'T EVEN BUILT HIS NATIONAL SERVICE PROGRAM YET AND THEY ARE ALREADY COMING IN DROVES NATIONAL SERVICE IS MR CLINTON'S DREAM OF PUTTING YOUNG AMERICANS TO WORK TACKLING THE NATION'S PRESSING SOCIAL PROBLEMS IN RETURN FOR COLLEGE TUITION BENEFITS ALREADY ELI SEGAL THE MAN IN CHARGE OF MAKING THE DREAM A REALITY IS BEING BESIEGED WITH LETTERS FROM YOUNG PEOPLE VOLUNTEERING TO JOIN A PRELIMINARY NATIONAL SERVICE PILOT PROGRAM THIS SUMMER MORE THAN 4000 APPLICATIONS HAVE POURED IN SO FAR FOR A PROGRAM THAT WILL HAVE ONLY ABOUT 1000 JOBS TO OFFER AND THAT'S IF CONGRESSIONAL DEMOCRATS AND REPUBLICANS END THEIR SQUABBLING AND PASS THE CLINTON ECONOMIC STIMULUS PACKAGE THAT CONTAINS MONEY TO PAY FOR IT SOON IN MANY WAYS THE REAL DEBATE OVER SUCH KNOTTY QUESTIONS AS HOW MUCH THE PROGRAM SHOULD TILT TOWARD MIDDLECLASS YOUTHS AND HOW MUCH TOWARD THE DISADVANTAGED IS YET TO BEGIN WITHIN THE NEXT MONTH OR SO MR SEGAL SAYS HE HOPES TO SEND CONGRESS A BILL FORMALLY CREATING THE FULLBLOWN NATIONAL SERVICE PROGRAM WHICH WILL AIM TO PUT 100000 YOUNG AMERICANS TO WORK IN HUNDREDS OF PROJECTS AROUND THE COUNTRY AT A TOTAL COST OF 6 BILLION BY 1997 SOWING THE SEEDS FOR GREATER SPENDING LATER THE ADMINISTRATION'S SHORTTERM GOALS HE SAYS ARE TO GET THE LEGISLATION PASSED BY THE END OF THIS YEAR AND THEN HAVE 25000 YOUNG AMERICANS AT WORK AS TEACHERS POLICE OFFICERS AND HEALTH AND ENVIRONMENTAL WORKERS BY THE END OF NEXT YEAR THE LONGTERM GOAL IS TO HAVE AN IMPACT ON YOUNG AMERICANS AS PROFOUND AS THAT FELT BY THE GI BILL HALF A CENTURY AGO IF DONE PROPERLY THIS IS ONE OF THE MORE NONPARTISAN INITIATIVES OF THE CLINTON ADMINISTRATION SAYS MR SEGAL A SUCCESSFUL BUSINESS ENTREPRENEUR WHO BECAME A TOP CLINTON CAMPAIGN AIDE LAST YEAR IF WE DO THIS RIGHT WE CAN WASH OUT ALL OF THE PROBLEMS SKEPTICS SAY THE PROGRAM WILL BE TOO SMALL TO HAVE THE SWEEPING EFFECT ON SOCIETY THAT MR CLINTON DESIRES AND WOULD BE TOO COSTLY IF IT WERE MADE LARGE ENOUGH TO HAVE SUCH AN IMPACT IT'S HARD TO IMAGINE THIS PROGRAM HAVING ANYTHING CLOSE TO THE KIND OF NATIONAL IMPACT THEY TALK ABOUT SAYS DOUG BANDOW AN ANALYST AT THE CATO INSTITUTE A CONSERVATIVE WASHINGTON THINK TANK EVEN AMONG PROPONENTS THERE ARE NAGGING WORRIES THAT THE PROGRAM MAY CRUSH GRASSROOTS VOLUNTEER PROGRAMS OR THAT THE JOBS IT PROVIDES COULD EITHER STEAL WORK FROM ADULT WORKERS OR BECOME MAKEWORK JOBS THE IDEA OF A NATIONAL SERVICE PROGRAM HAS BEEN GAINING STEAM PARTICULARLY AMONG MODERATE AND CONSERVATIVE DEMOCRATS FOR SEVERAL YEARS THE IDEA IS BOTH TO SOLVE METTLESOME SOCIAL PROBLEMS AND INSTILL A SENSE OF CIVIC RESPONSIBILITY IN YOUNG AMERICANS BY PUTTING THEM TO WORK IN COMMUNITY SERVICE PROJECTS FOR ONE OR TWO YEARS AT A TIME BY THE TIME MR CLINTON LATCHED ONTO THE IDEA AS A PRESIDENTIAL CANDIDATE CONGRESS ALREADY HAD STARTED THE BALL ROLLING BY FUNDING A FEW PILOT PROJECTS IN HIS CAMPAIGN MR CLINTON TALKED OF A FAR MORE AMBITIOUS PROGRAM IN WHICH ANY COLLEGE STUDENT WOULD BE ABLE TO BORROW MONEY FROM A NEW NATIONAL SERVICE TRUST FUND AND THEN PAY IT BACK THROUGH SERVICE WORK THE PROBLEM WITH THAT FORMULATION IN THE EYES OF MANY NATIONAL SERVICE ADVOCATES WAS THAT IT SEEMED A RECIPE SIMPLY FOR HELPING MIDDLECLASS KIDS ALREADY ENROLLED IN COLLEGE FIND A WAY TO PAY OFF THEIR SCHOOL LOANS THE EARLY CHAMPIONS OF NATIONAL SERVICE PREFER AN APPROACH THAT MORE CLOSELY RESEMBLED THE GI BILL FORMULA IN WHICH YOUNG PEOPLE WOULD DO COMMUNITY SERVICE FIRST AND THEN GET THEIR COLLEGE TUITION BENEFITS AFTERWARD THAT WAY THESE ADVOCATES HOPE THE PROGRAM WOULD LURE MORE LOWERCLASS AND MINORITY YOUNGSTERS WHO OTHERWISE WOULDN'T FIND THEIR WAY INTO COLLEGE IN THE FIRST PLACE THEY ARGUE THAT HELPING STEER THOSE YOUNGSTERS INTO JOBS AND COLLEGE IS ESPECIALLY IMPORTANT WITH THE SHRINKAGE OF THE MILITARY A TRADITIONAL AVENUE FOR SOCIAL ADVANCEMENT WE WANT IT TO BE MORE THAN A LOANFORGIVENESS PROGRAM SAYS AL FROM WHO'S PRESIDENT OF THE MODERATE DEMOCRATIC LEADERSHIP COUNCIL AND WAS DIRECTOR OF DOMESTIC POLICY FOR THE CLINTON PRESIDENTIAL TRANSITION WE WANT IT TO BE POTENTIALLY AN UPWARDMOBILITY TRACK FOR THE DISADVANTAGED AS THE MILITARY IS DOWNSIZED IN POSTELECTION DISCUSSIONS WITH ADVISERS MR SEGAL SAYS THE PRESIDENT BECAME AWARE OF A FEELING THAT THIS SHOULD BE MADE AVAILABLE TO A MUCH LARGER UNIVERSE OF PEOPLE SO MR CLINTON SHIFTED HIS VISION NOW MR SEGAL SAYS THE ADMINISTRATION'S PLAN WILL OFFER SLOTS TO THOSE WHO ARE PRECOLLEGE NONCOLLEGE DURINGCOLLEGE AND POSTCOLLEGE THE YOUNG PARTICIPANTS WILL GET A SMALL SALARY AND ALSO EARN EDUCATION BENEFITS THAT CAN BE APPLIED TO EITHER COLLEGE OR JOBTRAINING PROGRAMS THE ADMINISTRATION IS WORKING BEHIND THE SCENES TO SETTLE OTHER POTENTIALLY EMOTIONAL DEBATES ABOUT THE PROGRAM SOME OF THOSE WHO ALREADY RUN GRASSROOTS VOLUNTEER PROGRAMS WORRY THAT THE NEW NATIONAL PROGRAM WILL SWALLOW THEM UP RATHER THAN SIMPLY FEED THEM YOUNG WORKERS IS THIS EFFORT GOING TO BUILD ON THE STRENGTHS AND MODELS THAT ALREADY ARE OUT THERE IN THE FIELD AS OPPOSED TO JUST RUNNING ROUGHSHOD OVER THEM WITH A LOT OF GOVERNMENTCENTERED EFFORTS ASKS ROGER LANDRUM PRESIDENT OF YOUTH SERVICE AMERICA A NONPROFIT ORGANIZATION THAT PROMOTES COMMUNITY SERVICE PROJECTS PREDICTABLY MR SEGAL IS TRYING TO ASSURE PEOPLE THAT HE ISN'T BUILDING A BIG NEW BUREAUCRACY MR CLINTON HE SAYS WILL USE THE PRESIDENTIAL BULLY PULPIT TO PICK THE KINDS OF JOBS HE THINKS NATIONAL SERVICE WORKERS SHOULD TACKLE HELPING RUN CLINICS THAT IMMUNIZE YOUNG CHILDREN IS LIKELY TO BE ONE EARLY PRIORITY BUT HE INSISTS THE WHITE HOUSE WILL MOSTLY LOOK FOR PROMISING PROGRAMS THAT ALREADY ARE UNDER WAY IN CITIES AND TOWNS ACROSS THE US AND FUNNEL FEDERALLY FINANCED YOUNG WORKERS TOWARD THEM FOR INSTANCE HE SAYS HIS OFFICE HAS RECEIVED PROPOSALS FROM 435 DIFFERENT COMMUNITIES AROUND THE COUNTRY SEEKING TO PUT TO WORK YOUNG VOLUNTEERS IN THE COMING SUMMER PILOT PROJECT MAINLY HE SAYS THOSE ARE PROJECTS THAT ALREADY ARE UP AND RUNNING BUT EAGER FOR HELP FROM FEDERALLY FINANCED YOUNG WORKERS TO EXPAND I LOOK AT THIS AS AN INVESTMENT BANKING HOUSE MR SEGAL SAYS THIS IS NOT A FEDERAL PROGRAM FOR THE MOST PART UNIONS FRET THAT THE PROGRAM WILL SEND LOWPAID WORKERS INTO THE FIELD TO STEAL JOBS FROM THEIR MEMBERS MR SEGAL HAS MET UNION LEADERS TO ASSURE THEM THAT NATIONAL SERVICE WORKERS WILL BE DOING JOBS THAT AREN'T BEING DONE BY ANYBODY RIGHT NOW AND SOME IN THE MILITARY WORRY THAT A NATIONAL SERVICE PROGRAM WILL HURT THEM BY DRAWING AWAY POTENTIAL MILITARY ENLISTEES CLEVERLY THE WHITE HOUSE IS HELPING WIN OVER THE MILITARY BY MAKING IT PART OF THE NEW PROGRAM MR SEGAL SAYS MILITARY OFFICERS DRAWING ON THEIR LONG EXPERIENCE IN ORGANIZING LEGIONS OF YOUNG VOLUNTEERS WILL HELP CONDUCT TRAINING SESSIONS FOR WORKERS THIS SUMMER FOR NOW THOUGH SUCH POLITICAL WORRIES SEEM FAR REMOVED FROM THE YOUNG PEOPLE WHO ARE LINING UP FOR NATIONAL SERVICE AND BARING THEIR IDEALISM IN THE PROCESS I READILY ACCEPT YOUR CALL TO ACTION YOUR CALL TO SERVE MY NATION THROUGH NATIONAL SERVICE READS ONE LETTER MR CLINTON JUST RECEIVED FROM A KENTUCKY COLLEGE STUDENT THIS SUMMER I WANT TO MAKE A DIFFERENCE 9304130144 930413 RAWSTEEL PRODUCTION EDGED 02 LOWER IN THE LATEST WEEK WASHINGTON RAWSTEEL PRODUCTION BY THE NATION'S MILLS DECREASED 02 LAST WEEK TO 1787000 TONS FROM 1790000 TONS THE PREVIOUS WEEK THE AMERICAN IRON AND STEEL INSTITUTE SAID LAST WEEK'S OUTPUT WAS DOWN 13 FROM THE 1811000 TONS PRODUCED A YEAR EARLIER THE INDUSTRY USED 844 OF ITS CAPABILITY LAST WEEK COMPARED WITH 846 THE PREVIOUS WEEK AND 841 A YEAR EARLIER THE AMERICAN IRON AND STEEL INSTITUTE REPORTED THE CAPABILITY UTILIZATION RATE IS A CALCULATION DESIGNED TO INDICATE AT WHAT PERCENTAGE OF ITS PRODUCTION CAPABILITY THE INDUSTRY IS OPERATING IN A GIVEN WEEK 9304130143 930413 PEPPERAND SALT TO BE FAR AWAY FROM THE SCENE APPEIRS RITE ON THE SCRENE SOMEWHERE SOMEONE DID THE IMPOSSIBLE IN GOLF AND LOST AN OLD BALL 9304130142 930413 BUSINESS BRIEF CPC INTERNATIONAL'S 1STPERIOD PROFIT FELL SHORT OF EXPECTATIONS ENGLEWOOD CLIFFS NJ CPC INTERNATIONAL INC POSTED FIRSTQUARTER EARNINGS THAT FELL SHORT OF EXPECTATIONS THE FOOD CONCERN WHICH MAKES HELLMANN'S MAYONNAISE AND MAZOLA CORN OIL POSTED NET INCOME OF 904 MILLION OR 58 CENTS A SHARE A YEAR EARLIER IT HAD A NET LOSS OF 737 MILLION OR 51 CENTS A SHARE EXCLUDING A 160 MILLION CHARGE TAKEN A YEAR EARLIER TO REFLECT ACCOUNTING CHANGES PROFIT ROSE 48 SALES ROSE 66 TO 164 BILLION FROM 153 BILLION LAST MONTH CPC WARNED ANALYSTS THAT IT MAY NOT REACH DOUBLEDIGIT GROWTH RATES CAUSING CPC'S STOCK TO DROP 74 TO 45625 AT THE TIME STILL ANALYSTS EXPRESSED DISAPPOINTMENT WITH YESTERDAY'S RESULTS THEY'VE BEEN IN THE MID TO HIGH SINGLEDIGIT GROWTH MODE FOR THE LAST TWO AND A HALF YEARS WHICH IS SOMEWHAT DISCOURAGING SAID JOHN MCMILLIN ANALYST AT PRUDENTIAL SECURITIES INC THE QUARTER'S PERFORMANCE FELL SHORT OF THE 10 GROWTH RATE THE COMPANY HAD BEEN SHOOTING FOR AND EVEN FELL BELOW THE 8 GROWTH THE COMPANY HAD TYPICALLY TURNED IN DURING THE PAST TWO YEARS IN PART THE COMPANY ATTRIBUTED THE ANEMIC PERFORMANCE TO POOR ECONOMIC CONDITIONS IN SOME EUROPEAN COUNTRIES SALES OF CONSUMER FOODS IN EUROPE ROSE 66 LARGELY FROM ACQUISITIONS BUT OPERATING INCOME SANK 108 ON LOWER MARGINS IN COMPOSITE TRADING ON THE NEW YORK STOCK EXCHANGE YESTERDAY CPC'S SHARES ROSE 1 TO 42875 9304130141 930413 ECONOMY EUROPE'S CONTINUING ECONOMIC SLUMP MEANS GRIEF FOR MANY US COMPANIES BY ERLE NORTON STAFF REPORTER OF THE WALL STREET JOURNAL THE SEVERE ECONOMIC SLUMP IN EUROPE IS SQUEEZING SCORES OF US MANUFACTURERS THAT HAVE COME TO DEPEND ON BUSINESS THERE MANY WHO HAVE ESTABLISHED EUROPEAN OPERATIONS OR PUSHED EXPORTS ARE SLASHING SALES AND EARNINGS ESTIMATES AS THE ECONOMY SHOWS SCANT SIGNS OF IMPROVEMENT THE RECESSION ALSO IS SHAKING UP COMPANIES THAT RECENTLY RUSHED TO ESTABLISH A PRESENCE IN ANTICIPATION OF A SINGLEMARKET EUROPEAN COMMUNITY THIS YEAR WILL BE A DISASTER SAYS DAVID D HALE AN ECONOMIST WITH KEMPER FINANCIAL SERVICES IN CHICAGO ADDS JUAN DOMINGUEZ AN ANALYST WITH GABELLI & CO A NEW YORK INVESTMENT FIRM ANY COMPANY WITH SOME EXPOSURE IN EUROPE WILL FEEL THE PINCH IN 1993 CONSIDER PPG INDUSTRIES INC THE PITTSBURGHBASED MAKER OF CHEMICALS COATINGS AND GLASS GENERATED 22 OF ITS OPERATING INCOME IN EUROPE AS RECENTLY AS 1990 BUT THAT SLIPPED TO 14 IN 1992 TWO MAJOR PPG CUSTOMERS FIAT SPA AND PEUGEOT SA ARE CAUGHT IN THE SHARP DOWNTURN IN EUROPEAN CAR SALES ANDREW CASH AN ANALYST AT PAINEWEBBER INC SAYS A STRUGGLING EUROPEAN ECONOMY COSTS PPG 20 CENTS TO 30 CENTS A SHARE PER QUARTER HE ESTIMATES PPG EARNED 75 CENTS IN THIS YEAR'S FIRST QUARTER COMPARED WITH NET INCOME OF 788 MILLION OR 74 CENTS A SHARE A YEAR EARLIER PPG WON'T CONFIRM THE ESTIMATE BUT SAYS IT EXPECTS WEAK EUROPEAN SALES FOR ALL OF 1993 FERRO CORP A CLEVELANDBASED MAKER OF SPECIALTY MATERIALS AND CHEMICALS ALSO IS FEELING EUROPE'S ECONOMIC WOES WITHIN A TWOWEEK PERIOD LAST MONTH THE COMPANY WENT FROM CALLING ANALYSTS' FIRSTQUARTER ESTIMATES OF 42 CENTS A SHARE REASONABLE TO SAYING IT WILL FALL SHORT OF LAST YEAR'S FIRST QUARTER NET INCOME OF 129 MILLION OR 39 CENTS A SHARE FULLY DILUTED WE WERE AMAZED BY THE SPEED AND DEPTH OF THE DETERIORATION IN EUROPE SINCE DECEMBER ALBERT C BERSTICKER PRESIDENT AND CHIEF EXECUTIVE SAID FERRO SAYS ITS CHEMICALS AND PLASTICS BUSINESSES ARE BEING HIT HARDEST PLASTICS SALES DROPPED 20 IN JANUARY AND FEBRUARY FROM A YEAR EARLIER WHILE CHEMICAL SALES FELL 8 TO 12 A SPOKESMAN SAID FERRO GENERATED 37 OF ITS 11 BILLION IN REVENUE AND 46 OF ITS 58 MILLION IN PROFIT IN EUROPE LAST YEAR SIMILARLY GLEASON CORP A ROCHESTER NY MACHINETOOL MAKER IS EXPECTED TO REPORT A FIRSTQUARTER LOSS PARTLY BECAUSE OF EUROPE IN THE 1992 FIRST QUARTER GLEASON POSTED A PROFIT OF 1 MILLION OR 18 CENTS A SHARE GLEASON'S BELGIUM OPERATION WHICH RETOOLS OLD GLEASON MACHINES FOR CAPITALGOODS PRODUCERS IS SUFFERING FROM POOR BOOKINGS SAYS JOHN B WALTHAUSEN DIRECTOR OF RESEARCH AT CL KING & ASSOCIATES IN ALBANY NY SALES OF GLEASON'S GEARCUTTING TOOLS ALSO HAVE SLUMPED IN MUCH OF EUROPE AND THAT'S TAKING A TOLL SINCE EUROPEAN SALES MADE UP 24 OF THE COMPANY'S 1473 MILLION IN SALES LAST YEAR THE EUROPEAN RECESSION HAS DRAGGED ON FOR MORE THAN TWO YEARS IN COUNTRIES SUCH AS ENGLAND UNEMPLOYMENT THERE ROSE TO 105 IN FEBRUARY THE LATEST MONTH FOR WHICH STATISTICS ARE AVAILABLE FROM 94 A YEAR EARLIER IN GERMANY UNEMPLOYMENT INCREASED TO 77 IN FEBRUARY FROM 62 A YEAR EARLIER WHILE INDUSTRIAL PRODUCTION WAS FALLING 113 HIGH INTEREST RATES IN GERMANY AND OTHER COUNTRIES WHOSE CURRENCY IS TIED TO THE MARK SUCH AS FRANCE BELGIUM AND DENMARK HAVE DELAYED A RECOVERY SAYS RICHARD B BERNER CHIEF ECONOMIST AT MELLON BANK IN PITTSBURGH WILL EUROPE TURN THE CORNER SOON IT'S UNLIKELY ECONOMISTS SAY THAT'S PROMPTING COMPANIES LIKE MAYTAG CORP TO SHUTTER SOME EUROPEAN OPERATIONS THE NEWTON IOWA APPLIANCE MAKER MOVED INTO EUROPE IN 1989 BY ACQUIRING HOOVER LTD IN ENGLAND BUT TODAY THAT UNIT IS LOSING MONEY MAYTAG WILL CLOSE A VACUUM PLANT IN FRANCE AND IS CONSOLIDATING OPERATIONS IN SCOTLAND A SPOKESMAN SAID OTHER COMPANIES ARE TRYING TO BATTLE THE RECESSION BY REPOSITIONING THEIR MARKETS GOODYEAR TIRE & RUBBER CO AFTER POSTING AN 85 INCREASE IN SALES TO UNAFFILIATED EUROPEAN CUSTOMERS AND A 75 RISE IN OPERATING INCOME LAST YEAR IS NOW EXPERIENCING FALLING SALES OF ORIGINALEQUIPMENT TIRES IN JANUARY AND FEBRUARY NEW AUTOMOBILE SALES IN EUROPE PLUNGED 20 SO THE AKRON OHIO TIREMAKER IS TRYING TO OFFSET THE DECLINE BY PUSHING FURTHER INTO THE REPLACEMENTTIRE MARKET IT ALSO HOPES TO CUSHION ITSELF FROM A FIERCE PRICE WAR IN THE ORIGINALEQUIPMENT MARKET GOODYEAR SAYS IT WILL HEAVILY PROMOTE NEW PRODUCTS IN EUROPE SUCH AS ITS SUCCESSFUL AQUATRED TIRE WHICH IT INTRODUCED THERE EARLIER THIS YEAR IT ALSO WILL USE EXCESS CAPACITY TO MAKE TIRES FOR THE US WHERE THE ECONOMY IS STRENGTHENING STILL THE RECESSION IS SAPPING REPLACEMENTTIRE SALES TOO GOODYEAR ADMITS THERE'LL PROBABLY BE SOME PROBLEM IN SALES IN EUROPE SAYS STANLEY C GAULT CHAIRMAN AND CHIEF EXECUTIVE BUT HE CONTENDS GOODYEAR STILL CAN BOOST ITS OPERATING INCOME IN EUROPE THROUGH ADDITIONAL EFFICIENCIES AND SALES OF HIGHERMARGIN PRODUCTS EUROPE ACCOUNTED FOR 21 OF GOODYEAR'S 118 BILLION IN SALES LAST YEAR DIEBOLD INC CANTON OHIO HAS ALSO BACKED OFF ITS ESTIMATE THAT INTERNATIONAL SALES AS A PERCENTAGE OF TOTAL REVENUES WILL REACH 40 BY 1996 THAT FIGURE NOW STANDS AT 35 INTERNATIONAL SALES COMPRISED 18 OF REVENUE IN 1992 FOR THE MAKER OF AUTOMATED TELLER MACHINES AND PHYSICAL AND ELECTRONIC SECURITY SYSTEMS SIMILARLY EATON CORP A CLEVELANDBASED MAKER OF VEHICLE POWERTRAIN COMPONENTS AND A VARIETY OF CONTROLS NO LONGER IS COUNTING ON MAKING A PROFIT FROM ITS FRANZ KIRSTEN KG UNIT A GERMAN SWITCH MANUFACTURER IT BOUGHT LAST YEAR A FEW US COMPANIES ESPECIALLY THOSE THAT SELL PRODUCTIVITYENHANCING EQUIPMENT ARE BENEFITING FROM THE EUROPEAN RECESSION LITTON INDUSTRIES INC EXPECTS DOUBLEDIGIT REVENUE GROWTH FOR ITS DATA COLLECTION AND INFORMATION MANAGEMENT UNIT SAYS JOHN W PAXTON SENIOR VICE PRESIDENT FOR INDUSTRIAL AUTOMATION BUT CUSTOMERS ARE DEMANDING LOWER PRICES AND THEY WANT MORE SERVICES INCLUDED IN THE PRICE MR PAXTON SAID 9304130140 930413 LEISURE & ARTS TIME OFF DIVERSIONS AND EXCURSIONS APRIL 1326 IN CELEBRATION OF THE 250TH ANNIVERSARY OF JEFFERSON'S BIRTH THE STATESMAN'S HOME HAS BEEN PARTIALLY RESTORED TO THE WAY IT WAS DURING HIS LIFETIME MORE THAN 150 LOAN OBJECTS BELONGING TO JEFFERSON INCLUDING FURNITURE ARTWORKS SCIENTIFIC AND MUSICAL INSTRUMENTS BOOKS MAPS AND PERSONAL EFFECTS HAVE BEEN PLACED IN THEIR ORIGINAL LOCATIONS IN THE HOUSE MONTICELLO OFF ROUTE 53 APRIL 13DEC 31 804 2958181 THE MUSEUM'S NEWEST PERMANENT EXHIBIT OPENING APRIL 23 SUCCEEDS THE POPULAR HALL OF THE BIOLOGY OF MAN WHICH CLOSED IN 1984 THE NEW HALL IS ORGANIZED INTO THREE SECTIONS THE FIRST EXPLORES HUMAN BIOLOGY AND ANATOMY THE SECOND THE PATH OF HUMAN EVOLUTION THE THIRD THE ORIGINS OF HUMAN CREATIVITY IN ADDITION TO THE USUAL DIORAMAS HIGHLIGHTS INCLUDE A LIFESIZE HOLOGRAM OF A WOMAN SHOWING THE CIRCULATORY NERVOUS SKELETAL AND ORGAN SYSTEMS AMERICAN MUSEUM OF NATURAL HISTORY CENTRAL PARK WEST AT 79TH STREET 212 7695100 THESE THREE SHOWS MARK THE COMPLETION OF NOMA'S 23 MILLION EXPANSION AND RENOVATION WHICH DOUBLED ITS GALLERY SPACE THE 40 WORKS IN NEW ART HAVE BEEN SELECTED FROM THE MORE THAN 2000 PIECES ACQUIRED BY THE MUSEUM OVER THE PAST THREE YEARS APRIL 18AUG 15 THE SECOND SHOW FEATURES THE WORK OF 50 SCULPTORS FROM RODIN TO BRANCUSI AND HENRY MOORE DRAWN FROM NEW ORLEANS COLLECTIONS APRIL 18SEPT 5 THE THIRD EXAMINES THE HISTORY OF THE CATHOLIC CHURCH IN LOUISIANA THROUGH NEARLY 280 HISTORICAL AND ARTISTIC ITEMS APRIL 18JULY 18 NEW ORLEANS MUSEUM OF ART CITY PARK 1 COLLINS DIBOLL CIRCLE AN UNUSUAL COPRODUCTION OF MASSENET'S WERTHER BY SAN DIEGO OPERA THE GREATER MIAMI OPERA L'OPERA DE MONTREAL AND THE OPERA DE BELLAS ARTES IN MEXICO CITYTHE FIRST JOINT PROJECT BETWEEN MEXICO AND AN AMERICAN OPERA COMPANY AMERICAN TENOR RICHARD LEECH SINGS THE TITLE ROLE OPPOSITE BRITISH MEZZOSOPRANO JEAN RIGBY RICHARD BONYNGE CONDUCTS BLISS HEBERT DIRECTS AND SETS AND COSTUMES ARE BY ALLEN CHARLES KLEIN CIVIC THEATRE THIRD AND B STREETS APRIL 17 20 23 25 AND 28 CANADIAN BARITONE GINO QUILICO SINGS THE TITLE ROLE IN THE COMPANY'S SEASON FINALE TCHAIKOVSKY'S EUGENE ONEGIN ALSO IN THE CAST BULGARIAN SOPRANO ELENA FILIPOVA AS TATIANA MICHAEL REES DAVIS AS LENSKI AND MIGNON DUNN AS TATIANA'S NURSE STEVEN MERCURIO CONDUCTS AND KAY WALKER CASTALDO DIRECTS THE COMPANY CLOSES OUT ITS SEASON WITH FRANZ LEHAR'S THE MERRY WIDOW STARRING ASHLEY PUTNAM AND ROBERT ORTH GERMAN MAESTRO HEINZ SCHEFFLER MAKES HIS NORTH AMERICAN DEBUT LINDA BROVSKY DIRECTS AND SETS AND COSTUMES ARE BY ZACK BROWN SEATTLE OPERA HOUSE 301 MERCER ST APRIL 24 25 28 30 MAY 1 5 7 AND 8 206 3897676 THIS PRODUCTION OF PUCCINI'S LA BOHEME FEATURES CYNTHIA CLAYTON AND JULIA KIERSTINE ALTERNATING AS MIMI HEIDI PERSON AND GEMMA KAVANAGH AS MUSETTA AND RAVIL ATLAS CARLO SCIBELLI AND DAN MONTEZ TAKING TURNS AS RODOLFO BARBARA DAY TURNER CONDUCTS AND DANIEL HELFGOT DIRECTS MONTGOMERY THEATER MARKET STREET AT SAN CARLOS APRIL 17 18 20 23 24 25 29 30 MAY 1 AND 2 408 9982277 9304130139 930413 CREDIT RATINGS BEAR STEARNS COS NEW YORK STANDARD & POOR'S CORP RAISED ITS RATING ON 12 BILLION OF SENIOR DEBT OF THIS SECURITIES FIRM TO SINGLEA FROM SINGLEAMINUS REFLECTING IMPROVEMENTS IN CAPITAL STRUCTURE AND CONTINUED EARNINGS RETENTION THE SECURITIES WERE REMOVED FROM S&P'S CREDITWATCH LIST S&P ALSO AFFIRMED THE COMPANY'S SINGLEA1 COMMERCIAL PAPER AND TRIPLEB PREFERRED STOCK RATINGS 9304130138 930413 REDEMPTION NOTICES THE FOLLOWING IS A LISTING OF SECURITIES CALLED FOR PARTIAL OR COMPLETE REDEMPTION DURING THE WEEK ENDED APRIL 9 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 ALLEGANY COUNTY MD WILL REDEEM ON MAY 1 1993 425000 PRINCIPAL AMOUNT OF ITS 7 3/4 POLLUTION CONTROL FACILITIES REVENUE BONDS 1975 SERIES A DUE MAY 1 2000 MARYLAND NATIONAL BANK BALTIMORE IS TRUSTEE BALTIMORE COUNTY MD WILL REDEEM ON APRIL 28 1993 ITS 115 INDUSTRIAL DEVELOPMENT REVENUE BONDS SERIES 1982 DUE DEC 1 2002 MELLON BANK PHILADELPHIA IS TRUSTEE CHICAGO ILL WILL CALL ON MAY 1 1993 FOR SINKING FUND REDEMPTION 190000 PRINCIPAL AMOUNT OF ITS 87 COLLATERALIZED INDUSTRIAL REVENUE BONDS SERIES 1980 IT WILL ALSO HOLD AN OPTIONAL REDEMPTION OF 690000 PRINCIPAL AMOUNT OF SAID BONDS CONTINENTAL BANK CHICAGO IS TRUSTEE ILLINOIS INDUSTRIAL POLLUTION CONTROL FINANCING AUTHORITY WILL REDEEM ON MAY 1 1993 200000 PRINCIPAL AMOUNT OF ITS 66 POLLUTION CONTROL REVENUE BONDS 1974 SERIES A CONTINENTAL BANK CHICAGO IS SUCCESSOR TRUSTEE KALAMAZOO MICH WILL REDEEM ON MAY 1 1993 215000 PRINCIPAL AMOUNT OF ITS 575 INDUSTRIAL DEVELOPMENT REVENUE BONDS SERIES 1968 DUE MAY 1 1995 MELLON BANK PITTSBURGH IS TRUSTEE LOWER COLORADO RIVER AUTHORITY WILL REDEEM ON MAY 1 1993 THE FOLLOWING 2700000 PRINCIPAL AMOUNT OF SERIES 1976 REVENUE BONDS DUE MAY 1 2003 AND 1200000 PRINCIPAL AMOUNT OF SERIES 1976A REVENUE BONDS DUE MAY 1 2004 CHASE MANHATTAN BANK NEW YORK IS PAYING AGENT 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 MONTGOMERY COUNTY PA INDUSTRIAL DEVELOPMENT AUTHORITY WILL REDEEM ON APRIL 28 1993 ITS 105 INDUSTRIAL DEVELOPMENT REVENUE BONDS SERIES 1983 DUE MARCH 1 2003 MELLON BANK PHILADELPHIA IS TRUSTEE NEW JERSEY HEALTH CARE FACILITIES FINANCING AUTHORITY WILL REDEEM ON MAY 12 1993 ITS 5 5/8 REVENUE BONDS SERIES A DUE JULY 1 1998 UNITED COUNTIES TRUST CO IS TRUSTEE NEW JERSEY TURNPIKE AUTHORITY WILL REDEEM ON MAY 1 1993 4410000 PRINCIPAL AMOUNT OF ITS 57 TURNPIKE IMPROVEMENT REVENUE BONDS FIRST SERIES DUE MAY 1 2013 CHASE MANHATTAN BANK NEW YORK IS TRUSTEE ORANGE AVENUE CORP 1 WILL REDEEM ON MAY 1 1993 25000 PRINCIPAL AMOUNT OF ITS 8 HOUSING REVENUE BONDS DUE MAY 1 2010 CORESTATES BANK PHILADELPHIA IS TRUSTEE PLEASANTS COUNTY WVA COUNTY COURT WILL REDEEM ON MAY 1 1993 ITS 595 POLLUTION CONTROL REVENUE BONDS SERIES 1974 DUE MAY 1 1999 FIRST FIDELITY BANK PHILADELPHIA IS TRUSTEE POLK COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY WILL REDEEM ON APRIL 15 1993 ITS 7 3/4 INDUSTRIAL DEVELOPMENT REVENUE BONDS SERIES A DUE JULY 1 2010 SUN BANK ORLANDO FLA IS TRUSTEE PRINCE GEORGE'S COUNTY MD WILL REDEEM ON MAY 10 1993 ITS 95 INDUSTRIAL DEVELOPMENT REVENUE BONDS 1983 SERIES A DUE MAY 1 2003 RIGGS NATIONAL BANK OF WASHINGTON DC IS TRUSTEE UPPER POTOMAC RIVER COMMISSION WILL REDEEM ON MAY 1 1993 200000 PRINCIPAL AMOUNT OF ITS 7 1/8 POLLUTION CONTROL REVENUE BONDS 1976 SERIES DUE MAY 1 2001 MARYLAND NATIONAL BANK BALTIMORE IS TRUSTEE YORK COUNTY INDUSTRIAL DEVELOPMENT AUTHORITY WILL REDEEM ON APRIL 30 1993 ITS 79 INDUSTRIAL DEVELOPMENT REVENUE BONDS DUE DEC 1 2009 CORESTATES BANK PHILADELPHIA IS TRUSTEE NARRAGANSETT ELECTRIC CO A UNIT OF NEW ENGLAND ELECTRIC SYSTEM WILL REDEEM ON APRIL 15 1993 ITS 4 5/8 FIRST MORTGAGE BONDS SERIES F DUE JAN 1 1994 RHODE ISLAND HOSPITAL TRUST BOSTON MASS IS TRUSTEE OHIO EDISON CO WILL REDEEM ON APRIL 26 1993 THE FOLLOWING FIRST MORTGAGE BONDS 8 1/4 SERIES 1969 DUE 1999 8 3/8 SERIES 1971 DUE 2001 8 1/8 SERIES 1973 DUE 2003 8 1/2 SERIES 1976 DUE 2006 AND 8 3/8 SERIES 1977 DUE 2007 MIDWEST CLEARING CORP NEW YORK IS DROP AGENT GULF POWER CO A UNIT OF SOUTHERN CO WILL REDEEM ON MAY 10 1993 ITS 7 3/4 FIRST MORTGAGE BONDS DUE 1999 CHASE MANHATTAN BANK NEW YORK IS TRUSTEE 9304130137 930413 INTEL'S FIRSTPERIOD NET NEARLY TRIPLED ON DEMAND FOR 486 CHIP COST CONTROLS BY RALPH T KING JR STAFF REPORTER OF THE WALL STREET JOURNAL SANTA CLARA CALIF INTEL CORP SAID NET INCOME NEARLY TRIPLED IN THE FIRST QUARTER AND ITS STOCK GAINED 4 YESTERDAY AMID AN EXPLOSION IN DEMAND FOR ITS FLAGSHIP SEMICONDUCTOR CHIP AND TIGHT COMPANYWIDE COST CONTROLS COMPUTER MAKERS ARE BUYING HUGE QUANTITIES OF INTEL'S 486 CHIP TO BUILD PERSONAL COMPUTERS WITH ENOUGH BRAINPOWER TO WORK WITHIN OFFICE NETWORKS AND TO RUN MICROSOFT CORP'S WINDOWS SOFTWARE APPLICATIONS ANALYSTS SAY INTEL THE SOLE PRODUCER OF THE CHIP WILL ENJOY EXTRAORDINARY PROFITABILITY AT LEAST THROUGH 1993 WHEN COMPETITORS SUCH AS ADVANCED MICRO DEVICES INC WILL BEGIN SHIPPING CLONES OF THE 486 CHIP IN BULK PROFIT IN THE FIRST QUARTER REACHED 548 MILLION OR 248 A SHARE COMPARED WITH 1841 MILLION OR 86 CENTS A SHARE A YEAR EARLIER REVENUE INCREASED 63 TO 202 BILLION FROM 124 BILLION ANALYSTS HAD EXPECTED THE COMPANY TO EARN BETWEEN 195 AND 225 A SHARE ACCORDING TO ZACKS INVESTMENT RESEARCH INC IN NATIONAL OVERTHECOUNTER TRADING THE COMPANY'S SHARES ROSE 450 TO 11750 THE COMPANY HAS PROVEN ITSELF ADEPT NOT ONLY IN DEVELOPING DESIRABLE NEW CHIPS BUT IN MANUFACTURING THEM EFFICIENTLY AND KEEPING PRICES AT PEAK LEVELS THE COMBINATION IS AN OPERATING MARGIN OF 405 A RECORD IN THE SEMICONDUCTOR INDUSTRY SAID MILLARD PHELPS AN ANALYST WITH HAMBRECHT & QUIST THEY'VE HAD MASTERFUL STRATEGIC PLANNING IN TERMS OF CAPACITY AND DEMAND MR PHELPS SAID THIS MAY BE THE BOOMER OF ALL TIMES FOR INTEL THE COMPANY IS BENEFITING BOTH FROM SELLING MORE OF ITS MOST POWERFUL 486 MODELS AND AT HIGHER PRICES THAN EXPECTED AMONG THE TOP SELLERS IS ITS 486DX266 MEGAHERZ PRICED AT 542 PER 1000 UNITS COMPARED WITH 306 FOR THE LESS POWERFUL 486DX33 MEGAHERZ THE CRITICAL QUESTION GOING FORWARD IS CAN THEY MAINTAIN THE PRICING WHAT HAPPENS A FEW QUARTERS FROM NOW WHEN AMD IS IN THE MARKETPLACE SAID RAJIV CHAUDHRI AN ANALYST WITH GOLDMAN SACHS & CO COST CONTROLS IN MANUFACTURING AND OTHER CORPORATE ACTIVITIES WERE BETTER THAN ANTICIPATED GROSS MARGINS AS A PERCENTAGE OF SALES ROSE TO 645 FROM 532 A YEAR AGO REFLECTING THE LOW COST OF HIGHVOLUME PRODUCTION OVERHEAD FELL TO 13 OF SALES FROM 177 A YEAR AGO THE STRENGTH OF THE RESULTS STARTLED SOME ANALYSTS AND MANY MOVED TO INCREASE THEIR 1993 EARNINGS ESTIMATES FOR THE COMPANY MR CHAUDHRI BOOSTED HIS ESTIMATE FOR THE YEAR TO 1030 A SHARE FROM 8 THE COMPANY EARNED 497 A SHARE LAST YEAR INTEL WON'T EXPERIENCE THE TRADITIONAL SUMMER SLUMP THIS YEAR THAT MANY CHIP MAKERS FACE SAYS THOMAS THORNHILL WITH MONTGOMERY SECURITIES ORDERS ARE AT RECORD LEVELS AND THE COMPANY IS COMMITTING PRODUCTION CAPACITY FOR CUSTOMERS WELL INTO THE THIRD QUARTER HE SAID IN ADDITION FEWER THAN 10 OF THE ROUGHLY 100 MILLION INTELBASED PERSONAL COMPUTERS NOW INSTALLED WERE EQUIPPED WITH 486 CHIPS AS OF THE BEGINNING OF 1992 BECAUSE MOST USERS ARE WRITING OFF THEIR COMPUTER INVESTMENTS OVER FOUR YEARS IT APPEARS LIKELY THAT 25 OF THAT INSTALLED BASE WILL BE UPGRADED TO INCLUDE MORE POWERFUL CHIPS SUCH AS THE 486 EVERY YEAR MR THORNHILL SAID THE 486 IS NOW THE INDUSTRY'S HIGH VOLUME MAINSTREAM PROCESSOR AND WE EXPECT IT TO REMAIN SO FOR THE IMMEDIATE FUTURE SAID ANDREW GROVE INTEL'S PRESIDENT AND CHIEF EXECUTIVE OFFICER TO MEET THE SURGING DEMAND FOR ITS CHIPS THE COMPANY DISCLOSED PLANS EARLIER THIS MONTH TO SPEND 1 BILLION TO EXPAND A FACTORY IN NEW MEXICO AND LAST MONTH THE COMPANY BEGAN SHIPPING THE PENTIUM THE SUCCESSOR CHIP TO THE 486 THE PENTIUM ISN'T EXPECTED TO ADD SIGNIFICANTLY TO PROFITS UNTIL 1995 9304130136 930413 WHO'S NEWS UNIVERSAL FOODS CORP UNIVERSAL FOODS CORP MILWAUKEE ESSIE WHITELAW PRESIDENT AND CHIEF OPERATING OFFICER OF BLUE CROSS & BLUE SHIELD UNITED OF WISCONSIN WAS NAMED A DIRECTOR OF THIS FOOD CONCERN SUCCEEDING WALTER H DREW WHO RESIGNED THE COMPANY ALSO NAMED RICHARD CARNEY FORMERLY DIRECTOR OF EMPLOYEE BENEFITS VICE PRESIDENT HUMAN RESOURCES SUCCEEDING JACKIE BEAUDRIE WHO RESIGNED 9304130134 930413 ARGENTINE WELL PRODUCES GAS HOUSTON SANTA FE ENERGY RESOURCES INC SAID A DISCOVERY WELL IN ARGENTINA FLOWED 11 MILLION CUBIC FEET OF NATURAL GAS AND 40 BARRELS OF CONDENSATE A DAY THE SIERRA CHATA X1 WELL IS ABOUT 650 MILES SOUTHWEST OF BUENOS AIRES AND ABOUT 18 MILES FROM THE NEAREST PIPELINE SYSTEM THE OIL AND GAS EXPLORATION AND PRODUCTION COMPANY SAID IT PLANS TO DRILL TWO DELINEATION WELLS BY MIDYEAR TO DETERMINE THE SIZE OF THE RESERVOIR SANTA FE ENERGY THE WELL OPERATOR OWNS 2256 INTEREST IN THE WELL AND IN THE MILLIONACRE BLOCK OTHER FOREIGN COMPANIES OWN THE REMAINDER 9304130133 930413 FOUNDATION HEALTH CORP PLANS RANCHO CORDOVA CALIF FOUNDATION HEALTH CORP ANNOUNCED A STOCK REPURCHASE PLAN AND THE ACQUISITION OF A WORKERS' COMPENSATION INSURER THE HEALTHCARE SERVICES COMPANY SAID IT WILL INTERMITTENTLY REPURCHASE AS MUCH AS 5 OF ITS COMMON STOCK IT HAS 294 MILLION SHARES OUTSTANDING THE FIRM ALSO SAID IT AGREED TO BUY BUSINESS INSURANCE CORP BASED IN NOVATO CALIF WHICH HAD 1992 REVENUE OF 300 MILLION AND INSURES 6000 CALIFORNIA EMPLOYERS FOUNDATION SAID IT WILL PAY 64 MILLION FOR THE ACQUISITION 9304130132 930413 MARKETING & MEDIA ADVERTISING PRICE BOOSTS ARE WIDELY EXPECTED IN THE '93'94 TV UPFRONT' MARKET BY KEVIN GOLDMAN THE FOUR MAJOR TELEVISION NETWORKS HAVEN'T EVEN SCREENED THE PILOTS FOR THE 199394 SEASON BUT ALREADY BROADCASTERS AND ADVERTISERS ARE EXPECTING PRICE INCREASES IN THE UPFRONT MARKET IN WHICH MADISON AVENUE PURCHASES AIRTIME FOR THE NEW PRIMETIME SCHEDULES SOME ADVERTISERS ARE SAID TO BE EXPLORING THE POSSIBILITY OF SIGNING DEALS BEFORE THE NETWORKS ANNOUNCE THEIR NEW LINEUPS IN MAY THIS WOULD MARK A REVERSAL FROM LAST YEAR WHEN NO SUCH PREUPFRONT DEALS WERE INKED FURTHER BOTH BROADCASTING AND ADVERTISING OFFICIALS ARE CAGILY PREDICTING THAT ONCE THE UPFRONT ORDERS ARE CALCULATED THEY MAY AMOUNT TO 38 BILLION A 56 INCREASE OVER LAST YEAR'S 36 BILLION THE NEWS COMES AS THE UPFRONT MARKET FOR CHILDREN'S TV JUST GETTING UNDER WAY IS EXPECTED TO GROW A HEALTHY 14 TO 800 MILLION FROM 700 MILLION LAST YEAR OF COURSE ADVERTISERS ARE LOATH TO MAKE ANY OFFICIAL PREDICTIONS ABOUT PRIMETIME UPFRONT WHAT'S GOING ON AD EXECUTIVES CONTEND IS TYPICAL PRESEASON POSTURING BY THE NETWORKS WHO ARE EAGER TO CREATE AN AURA OF BRISK DEMAND TO JUMPSTART THE UPFRONT SEASON THAT ISN'T THE CASE BROADCASTERS SAY THERE ARE PEOPLE WHO HAVE CONTACTED US AND WANT TO CUT SOME DEALS PRIOR TO THE START OF UPFRONT SAYS MARVIN GOLDSMITH PRESIDENT OF SALES AND MARKETING AT CAP TAL CITIES/ABC HE DECLINED TO NAME SPECIFIC COMPANIES AND EMPHASIZED THAT NOTHING WAS SIGNED YET THE MERE FACT THAT THERE'S AN EXPECTED INCREASE IN UPFRONT SPENDING IS SURPRISING BECAUSE THE SECONDQUARTER SCATTER MARKET HAS SOFTENED ADDING TO THE SURPRISE IS THE WINTER OLYMPICS FACTOR CBS WHICH IS BROADCASTING THE OLYMPICS FROM LILLEHAMMER NORWAY NEXT FEBRUARY IS ONLY 55 SOLD OUT RIVALS WISH CBS WAS MUCH FURTHER ALONG BECAUSE THE OLYMPICS WILL MOST LIKELY TAKE AD DOLLARS AWAY FROM OTHER NETWORKS IN THE PAST ADVERTISERS INCREASED THEIR BUDGETS FOR SPECIAL EVENTS SUCH AS THE OLYMPICS BUT THE RECESSION HAS KEPT THEM FROM ALLOCATING SPECIAL BUDGETS FOR SUCH MARQUEE PROGRAMMING THIS YEAR AND THUS BUYS MUST COME OUT OF EXISTING AD BUDGETS AT LEAST TWO NETWORKS SAY PRIVATELY THAT THEY ANTICIPATE POSSIBLE AD SALES BOOMS FROM TWO QUARTERS LONGDISTANCE COMMUNICATIONS COMPANIES WHICH ARE INCREASING THE VOLUME OF COMPETITION SEEMINGLY DAILY AND THE SOFTWARE INDUSTRY WHICH IS LOCKED IN A MARKETSHARE SKIRMISH ONE LEADING ADVERTISING EXECUTIVE WHO DIDN'T WANT TO BE QUOTED BY NAME SAID CBS AND FOX BROADCASTING A UNIT OF NEWS CORP COULD SEE ROBUST SALES INCREASES OF BETWEEN 5 AND 7 IN THEIR UPFRONT ORDERS CBS IS THE NO 1 NETWORK IN HOUSEHOLD RATINGS AND FOX TRADITIONALLY DRAWS YOUNGER VIEWERS A DESIRABLE DEMOGRAPHIC GROUP FOR ADVERTISERS LAST YEAR EACH HAD INCREASES OF BETWEEN 5 AND 6 ABC THE RATINGS LEADER IN THE KEY 18TO49YEAROLD CATEGORY COULD HAVE INCREASES OF BETWEEN 4 AND 5 COMPARED WITH LAST YEAR'S 3 INCREASE AND NBC A GENERAL ELECTRIC UNIT IS EXPECTED TO BE FLAT OR UP 1 AT MOST LAST YEAR IT WAS FLAT THE PEACOCK NETWORK IS IN A SEEMING RATINGS FREE FALL AND MORE TROUBLE LOOMS AHEAD ONE OF ITS STRONGEST SHOWS CHEERS IS GOING OFF THE AIR NEXT MONTH AND ANOTHER LONGRUNNING SERIES LA LAW IS IN SERIOUS TROUBLE BOTH CREATIVELY AND IN THE WEEKLY AC NIELSEN RATINGS OFFICIALLY THE ANNUAL NETWORK RITE KNOWN AS UPFRONT DOESN'T BEGIN UNTIL JUNE SHORTLY AFTER AD EXECUTIVES AND MEDIA BUYERS HAVE SCREENED THE NEW SHOWS THE MARKETPLACE USUALLY LASTS ONLY A MONTH OR SO BUT DURING THAT TIME NETWORK SALES DEPARTMENTS ARE OPEN VIRTUALLY AROUND THE CLOCK THE ATMOSPHERE NOT EXACTLY SMOKEFILLED IN THESE POLITICALLY CORRECT TIMES RESEMBLES AN AUCTION OR THE STOCK EXCHANGE NEAR CLOSING THERE'S ONE ELEMENT CLEARLY DAMPENING ANY MAJOR EXPLOSION IN THE UPFRONT MARKET THOUGH THE ECONOMY MY SENSE IS THAT THERE IS A LOT OF ADVERTISER UNCERTAINTY ABOUT THE FUTURE SAYS JEROME DOMINUS SENIOR VICE PRESIDENT AT WPP GROUP'S J WALTER THOMPSON I'M SURE THERE IS GOING TO BE AN UPFRONT MARKET I'M SURE THERE ARE CONVERSATIONS GOING ON NOW BUT I DON'T THINK THERE IS A GROUNDSWELL OF INTEREST TO GET IN EARLY IN LIGHT OF THE UNCERTAINTY THE NETWORKS WILL BE DOING WELL IF ADVERTISERS COMMIT AS MUCH MONEY AS THEY DID LAST YEAR ANOTHER FACTOR IN THE UPFRONT EQUATION IS THE EXPANSION OF FOX'S LINEUP TO SEVEN EVENINGS OF PROGRAMMING FROM ITS CURRENT SIX THAT ADDS MORE INVENTORY WHICH COULD CAUSE A CRIMP IN UPFRONT SALES HOWEVER ONE SENIOR BROADCASTING EXECUTIVE SAYS FOX MAY DROP ONE HOUR OF PROGRAMMING SUNDAYS FROM 10 TO 11 PM IF SO THIS COULD MITIGATE ANY INVENTORY GLUT THE NETWORKS LIKE TO PUSH BUYING UPFRONT GUARANTEEING AUDIENCE LEVELS TO ADVERTISERS WHO BUY EARLY IF A NETWORK FAILS TO DELIVER THEN IT PROVIDES FREE COMMERCIAL TIME KNOWN AS MAKEGOODS TO THE ADVERTISER THAT ISN'T THE CASE WHEN ADVERTISERS BUY TIME AT THE LAST MINUTE IN THE SOCALLED SCATTER MARKET YET MR DOMINUS AT J WALTER THOMPSON SAYS THE WORD AMONG ADVERTISERS IS TO MAINTAIN FLEXIBILITY DON'T NECESSARILY COMMIT SO MUCH IN THE UPFRONT OF COURSE ADVERTISERS ARE THEMSELVES POSTURING FOR THE LOWEST AD RATE JUST AS THEY ACCUSE BROADCASTERS OF POSTURING FOR THE HIGHEST JON NESVIG SENIOR VICE PRESIDENT OF SALES AT FOX SAYS THERE ARE ALL SORTS OF CONVERSATIONS GOING ON NOW CBS WOULDN'T COMMENT ON THE UPFRONT MARKET A SPOKESMAN SAYS CBS IS BUSY WITH OTHER SALES HAVING JUST TAKEN ITS NEW DAVID LETTERMAN LATENIGHT TALK SHOW TO ADVERTISERS CBS IS HOPING TO FETCH AS MUCH AS 30000 FOR A HALFMINUTE SPOT FOR THE LETTERMAN PROGRAM WHICH IS EXPECTED TO PREMIERE AUG 23 OPPOSITE NBC'S TONIGHT SHOW WITH JAY LENO THAT'S AGGRESSIVE PRICING 30000 IS ABOUT THE AMOUNT NBC CHARGES ADVERTISERS FOR ITS TOPRATED LATENIGHT FRANCHISE NBC DECLINED TO COMMENT HERMAN'S WORLD OF SPORTING GOODS A CARTERET NJ RETAILER NOW IN CHAPTER 11 BANKRUPTCYLAW PROTECTION IS EXPECTED TODAY TO END OFFICIALLY ITS FIVEMONTH AGENCY SEARCH WHOSE FINAL ROUND HAD PITTED NEW YORK AGENCIES BACKER SPIELVOGEL BATES AGAINST YOUNG & RUBICAM AND THE WINNER IS BOZELL BOZELL THE CLOSELY HELD NEW YORK AGENCY ACED OUT RIVALS FOR THE ESTIMATED 25 MILLION ACCOUNT WITHOUT EVEN PARTICIPATING IN THE FORMAL REVIEW IN FACT IT WASN'T EVEN KNOWN TO BE PURSUING THE ACCOUNT UNTIL LATE LAST MONTH SOMETIME AFTER ISOSCELES PLC SOLD THE RETAIL CHAIN TO INVESTORS LED BY TAGGART/FASOLA GROUP AND WORD SPREAD ON MADISON AVENUE THAT THE REVIEW WAS BEING REOPENED TO NEW ENTRANTS EXECUTIVES AT YOUNG & RUBICAM AND BACKER A UNIT OF SAATCHI & SAATCHI ARE CRYING OVER THE RESULTS THE TWO FINALISTS PROBABLY SPENT WELL OVER 100000 ON THE PITCH SAY PARTICIPANTS INCLUDING RESEARCH CREATIVE WORK AND MEDIA BIDS HERMAN'S EXECUTIVES COULDN'T BE REACHED FOR COMMENT OTHER CASH PAYMENTS INCLUDED 1174998 UNDER THE COMPANY'S LONGTERM INCENTIVE PROGRAM AND A SPECIAL TAX ASSISTANCE PAYMENT OF 1071000 ACCORDING TO THE COMPANY'S PROXY STATEMENT EUGENE BEARD EXECUTIVE VICE PRESIDENT AND CHIEF FINANCIAL OFFICER RECEIVED 875750 IN SALARY AND BONUS A 31 INCREASE AT INTERPUBLIC'S ADAGENCY UNITS ROBERT JAMES CHAIRMAN OF MCCANN RECEIVED 1110000 IN SALARY AND BONUS 7500 LESS THAN WHAT HE MADE IN 1991 FRANK LOWE CHAIRMAN OF LOWE GROUP RECEIVED 560000 IN SALARY AND BONUS A 15 DECREASE AND KENNETH ROBBINS CHAIRMAN OF LINTAS RECEIVED 721250 IN SALARY AND BONUS A 90 INCREASE 9304130131 930413 MARKETSCAN STUDIES SHOWING BENEFITS OF ANTIOXIDANTS PROVE POTENT TONIC FOR SALES OF VITAMIN E BY DAVID STIPP STAFF REPORTER OF THE WALL STREET JOURNAL FOR DECADES NUTRITION EXPERT MAX HORWITT HAS RAILED AGAINST WHAT HE CALLS THE OVERFEEDING OF VITAMINS TO CREDULOUS PILLHAPPY AMERICANS HE HIMSELF REGULARLY TAKES VITAMIN E PILLS I'M ASHAMED TO DO IT BECAUSE OF MY ATTITUDE TOWARD TAKING VITAMINS ADMITS THE 85YEAROLD PROFESSOR EMERITUS AT ST LOUIS UNIVERSITY SCHOOL OF MEDICINE BUT AN EXPLOSION OF STUDIES SHOWS THAT VITAMIN E IS A POSSIBLE PREVENTATIVE FOR HEART DISEASE CANCER AND DOZENS OF OTHER DISORDERS HE SAYS CONSUMERS CLEARLY HAVE HEARD THE EXPLOSION OR AT LEAST ECHOES OF IT VITAMIN E SALES TOTALED 27 MILLION FOR THE THREE MONTHS ENDED FEB 28 UP 31 FROM A YEAR EARLIER ACCORDING TO INFORMATION RESOURCES INC'S TOWNEOLLER & ASSOCIATES UNIT TOWNEOLLER DATA SHOW THAT SALES OF VITAMIN E AN ANTIOXIDANT ARE GROWING EVEN FASTER THAN THOSE OF THE TWO OTHER MOST POPULAR ANTIOXIDANT SUPPLEMENTS VITAMIN C AND BETA CAROTENE IN THE THREEMONTH PERIOD SALES OF VITAMIN C TOTALED 34 MILLION UP 13 FROM A YEAR EARLIER AND SALES OF BETA CAROTENE AND VITAMIN A WHICH TOWNEOLLER DATA COMBINE WERE 48 MILLION IN THE THREEMONTH PERIOD UP 19 FROM THE PRIOR YEAR VITAMIN E'S GROWING POPULARITY COMES AS MORE STUDIES SUGGEST THAT ANTIOXIDANTS LOWER RISK OF VARIOUS DISEASES BY BLOCKING CELL DAMAGE FROM HIGHLY REACTIVE OXYGENCONTAINING CHEMICALS CALLED FREE RADICALS LAST MONTH AMERICAN CYANAMID CO'S LEDERLE LABORATORIES UNIT BECAME THE FIRST MAJOR PHARMACEUTICAL CONCERN TO MARKET AN ALLANTIOXIDANT SUPPLEMENT CONTAINING VITAMINS C AND E BETA CAROTENE AND FOUR MINERALS PHARMAVITE CORP A MAJOR VITAMIN SELLER IN MISSION HILLS CALIF SAYS IT INTRODUCED ONE OF THE FIRST ALLANTIOXIDANT SUPPLEMENTS ABOUT SIX MONTHS AGO SUCH SUPPLEMENTS ARE BECOMING PART OF THE MAINSTREAM IN THE VITAMIN INDUSTRY SAYS A SPOKESMAN MILES LABORATORIES WHICH SELLS VITAMIN SUPPLEMENTS SAYS IT IS DEVELOPING NEW ANTIOXIDANT FORMULAS TO CAPITALIZE ON GROWING CONSUMER INTEREST IN THE SUBSTANCES A SPOKESMAN FOR MILES A UNIT OF GERMANY'S BAYER AG DECLINES TO ELABORATE SEVERAL SMALL COMPANIES INCLUDING FREE RADICAL SCIENCES INC WHICH IS BEING FORMED IN CAMBRIDGE MASS AND MOLECULES FOR HEALTH INC RICHMOND VA ARE DEVELOPING NOVEL ANTIOXIDANT DRUGS FOR USE IN TREATING CANCER AIDS AND OTHER DISEASES ANOTHER COMPANY PANTOX CORP SAN DIEGO CALIF OFFERS BLOOD TESTS TO DETERMINE A PERSON'S LEVELS OF VARIOUS ANTIOXIDANT SUBSTANCES MOST DOCTORS AREN'T READY TO RECOMMEND THAT EVERYONE TAKE VITAMIN E SUPPLEMENTS THERE IS NO CONCLUSIVE EVIDENCE THAT TAKING THEM DOES ANY GOOD MOREOVER PHYSICIANS WORRY THAT PEOPLE WHO TAKE VITAMIN PILLS WILL SLACK OFF ON BETTERESTABLISHED WAYS TO KEEP HEALTHY SUCH AS EXERCISING REGULARLY AND EATING LOTS OF FRUITS AND VEGETABLES I'VE ALREADY SEEN COLLEAGUES WHO HAVE CONFESSED THEY HAVE LET UP A LITTLE ON GOOD HEALTH HABITS NOW THAT THEY'RE TAKING ANTIOXIDANTS SAYS JOANN MANSON WHO IS LEADING A MAJOR STUDY THAT INCLUDES AN INVESTIGATION OF ANTIOXIDANTS AND HEALTH AT BRIGHAM AND WOMEN'S HOSPITAL IN BOSTON BUT AN AMAZING NUMBER OF MEDICAL EXPERTS ARE QUIETLY POPPING VITAMIN E THEMSELVES SAYS ST LOUIS'S DR HORWITT WHEN HE RECENTLY ADDRESSED A ROOMFUL OF BIOMEDICAL RESEARCHERS AND ASKED HOW MANY WERE TAKING IT ABOUT 50 RAISED THEIR HANDS HE SAYS FREE RADICALS WHICH ARE CONSTANTLY FORMED IN CELLS HAVE BEEN IMPLICATED AS CULPRITS IN DOZENS OF DISORDERS RECENT STUDIES HAVE STRENGTHENED THE IDEA THAT VITAMIN E'S RADICALSHIELDING ABILITY IS ESPECIALLY HELPFUL IN WARDING OFF THE NO 1 KILLER IN THE US HEART DISEASE A SLEW OF REPORTS DURING THE PAST FEW YEARS ALSO SUGGESTS THE VITAMIN CAN BOOST THE IMMUNE SYSTEM HELP PREVENT CATARACTS AND CUT THE RISKS OF STROKES AND CANCER WITH MANY POSSIBLE BENEFITS THE CHANCE OF AT LEAST ONE PANNING OUT SEEMS PRETTY GOOD SAYS DAVID SCHARDT WHO FOLLOWS VITAMIN ISSUES AT NUTRITION ACTION A NEWSLETTER PUBLISHED BY THE CENTER FOR SCIENCE IN THE PUBLIC INTEREST A WASHINGTON DC CONSUMERADVOCACY GROUP WHAT'S MORE VITAMIN E IS APPARENTLY HARMLESS EVEN AT DOSES 10 OR 20 TIMES THE US RECOMMENDED DAILY ALLOWANCE ANECDOTES HAVE BEEN REPORTED IN MEDICAL JOURNALS OF EXCESSIVE BLEEDING IN PATIENTS WHO TOOK HUGE DOSES OF THE VITAMIN ALONG WITH BLOODTHINNING DRUGS BUT RIGOROUS STUDIES ON PEOPLE WHO HAVE TAKEN LARGE DAILY DOSES OF VITAMIN E FOR YEARS HAVE FOUND NO ILL EFFECTS THE ARGUMENT FOR TAKING VITAMIN E SUPPLEMENTS RATHER THAN TRYING TO GET A BOUNTEOUS AMOUNT FROM VITAMINRICH FOODS IS STRONGER THAN THAT FOR TAKING MOST OTHER VITAMINS THE MAIN DIETARY SOURCES OF VITAMIN E ARE VEGETABLE OILS NUTS AND OTHER FATTY FOODS SAYS JEFFREY BLUMBERG ASSOCIATE DIRECTOR OF THE HUMAN NUTRITION RESEARCH CENTER ON AGING A FEDERAL LABORATORY IN BOSTON WE'RE TELLING PEOPLE TO CUT BACK ON FATS WHICH MAKES IT HARD TO GET MUCH VITAMIN E DR BLUMBERG SAYS SO THERE IS SOME RATIONALE TO GET VITAMIN E BY SUPPLEMENTATION A PERSON WOULD HAVE TO DRINK TWO QUARTS OF CORN OIL OR EAT MORE THAN FIVE POUNDS OF WHEAT GERM TO GET 400 INTERNATIONAL UNITS OR IUS OF VITAMIN E THE AMOUNT IN A TYPICAL SUPPLEMENT CAPSULE ACCORDING TO THE VITAMIN E RESEARCH & INFORMATION SERVICE A LAGRANGE ILL CONCERN FUNDED BY HENKEL KGAA A GERMAN COMPANY THAT SELLS VITAMIN E SUPPLEMENTS THE US RECOMMENDED DAILY ALLOWANCE OR RDA OF VITAMIN E IS 30 IUS THE RDA HOWEVER WAS SET YEARS BEFORE STUDIES EMERGED SUGGESTING THAT VITAMIN E CAN HELP PREVENT A WIDE ARRAY OF DISEASES SEVERAL RECENT RESEARCH REPORTS HAVE INDICATED DOSES FAR HIGHER THAN THE RDA MAY BE NEEDED TO YIELD SUCH BENEFITS IN ONE OF THE MOST IMPORTANT STUDIES RESEARCHERS AT BRIGHAM AND WOMEN'S FOUND THAT WOMEN WHO TOOK VITAMIN E SUPPLEMENTS TOTALING AT LEAST 100 IUS DAILY FOR TWO YEARS HAD HALF THE RISK OF CARDIOVASCULAR DISEASE AS DID WOMEN WHO HADN'T TAKEN SUPPLEMENTS HIGHER DOSES HOWEVER DIDN'T APPEAR TO CUT THE RISK MORE THAT FINDING WHICH HASN'T BEEN PUBLISHED YET FOLLOWS A NUMBER OF STUDIES THAT SUGGEST WHY VITAMIN E MAY HELP WARD OFF HEART ATTACKS THE CLOGGING OF ARTERIES LEADING TO SUCH ATTACKS APPARENTLY BEGINS WHEN LOWDENSITY LIPOPROTEIN OR LDL THE BAD CHOLESTEROL IS OXIDIZED IN A CHEMICAL REACTION INDUCED BY FREE RADICALS CERTAIN IMMUNE CELLS ENGULF THE OXIDIZED LDL THEN SWELL AND ACCUMULATE IN FATTY MASSES WITHIN ARTERY WALLS MOLECULES OF VITAMIN E A FATSOLUBLE SUBSTANCE ARE CARRIED WITHIN LDL TESTTUBE STUDIES INDICATE THEY ARE THE MAIN SHIELD AGAINST THE LDL OXIDATION THOUGHT TO TRIGGER ARTERY CLOGGING RESEARCHERS ALSO HAVE FOUND EVIDENCE THAT TAKING VITAMIN E SUPPLEMENTS LOADS LDL WITH HIGHER LEVELS OF THE PROTECTIVE VITAMIN MAKING THE CHOLESTEROL MORE RESISTANT TO OXIDATION BESIDES ACTING AS A PIVOTAL ANTIOXIDANT FOR FATTY MOLECULES VITAMIN E APPEARS TO LOWER PRODUCTION OF CHEMICAL MESSENGERS THAT SUPPRESS THE IMMUNE SYSTEM IN A STUDY REPORTED LAST NOVEMBER IN THE BRITISH JOURNAL LANCET RESEARCHERS IN CANADA FOUND THAT ELDERLY PEOPLE GIVEN MODEST SUPPLEMENTARY DOSES OF VITAMIN E BETACAROTENE AND SOME OTHER VITAMINS AND MINERALS FOR A YEAR HAD HALF AS MANY COLDS FLUS AND OTHER INFECTIOUS ILLNESSES AS A CONTROL GROUP GIVEN A PLACEBO WHEN THE VITAMINDOSED SUBJECTS DID GET SICK THEY GOT BETTER TWICE AS FAST AS MEMBERS OF THE CONTROL GROUP WHO BECAME ILL NOT ALL STUDIES ON VITAMIN E HAVE BEEN POSITIVE IN JANUARY RESEARCHERS REPORTED IN THE NEW ENGLAND JOURNAL OF MEDICINE THAT PATIENTS IN A LARGE STUDY ON PARKINSON'S DISEASE DIDN'T BENEFIT FROM TAKING THE VITAMIN CONTRARY TO EARLIER INDICATIONS THAT IT WOULD HELP RESEARCHERS ALSO CAUTION THAT SOME OF THE LINKS BETWEEN HIGH VITAMIN E INTAKE AND LOWER RISK OF DISEASE HAVE BEEN FORGED FROM DIETARY RECALL STUDIES WHICH ARE NOTORIOUSLY PRONE TO ERROR LOOKING AT THE DATA ON VITAMIN E SAYS BOSTON'S DR BLUMBERG ONE COULD REASONABLY AND RATIONALLY CONCLUDE IT'S A GOOD IDEA TO TAKE SUPPLEMENTS OF THE VITAMINOR JUST AS REASONABLY CONCLUDE THAT IT ISN'T SIMEON MARGOLIS A JOHNS HOPKINS UNIVERSITY PROFESSOR OF MEDICINE IS ON THE FENCE I ALREADY TAKE ASPIRIN TO LOWER HEARTATTACK RISK AND PART OF ME IS RELUCTANT TO GULP DOWN MORE PILLS HE SAYS BUT IF YOU CALL ME UP NEXT WEEK I MIGHT HAVE STARTED TAKING VITAMIN E SALES OF VITAMIN E HAVE SOARED AS NEW STUDIES SUGGEST IT CAN DO EVERYTHING FROM LOWERING THE RISK OF HEART DISEASE TO PREVENTING CATARACTS 9304130130 930413 BUSINESS BRIEF WESTERN MICRO TECHNOLOGY INC CHANGES IN BOARD DISCUSSED WITH DIRECTOR SHAREHOLDER WESTERN MICRO TECHNOLOGY INC SARATOGA CALIF SAID IT'S DISCUSSING CHANGES IN ITS BOARD MEMBERSHIP AND OTHER MATTERS WITH A DISSIDENT BOARD MEMBER AND A LARGE SHAREHOLDER THE BOARD MEMBER BERNARD MARREN AND THE SHAREHOLDER VENTURE GROWTH ASSOCIATES HAVE INDICATED IN FILINGS WITH THE SECURITIES AND EXCHANGE COMMISSION THAT THEY MAY SEEK GREATER INFLUENCE IN THE MANAGEMENT OF WESTERN AN ELECTRONICS DISTRIBUTOR THAT BROKE ABOUT EVEN IN 1992 AND POSTED A NET LOSS FOR 1991 MARSHALL COX WESTERN'S CHAIRMAN SAID THE COMPANY WILL CONTINUE TO VIGOROUSLY RESIST ANY ATTEMPTED CHANGE OF CONTROL THAT WOULD NOT BE IN THE SHAREHOLDERS' BEST INTERESTS 9304130129 930413 INTERNATIONAL ARGENTARIA WILL FLOAT UP TO 25 OF CAPITAL IN A GLOBAL OFFERING SPECIAL TO THE WALL STREET JOURNAL MADRID SPAIN'S STATE BANKING GROUP ARGENTARIA CORP BANCARIA DE ESPANA SAID IT WILL FLOAT AS MUCH AS 25 OF ITS CAPITAL IN A GLOBAL SHARE OFFERING ARGENTARIA PLANS TO OFFER 28 MILLION SHARES ON INTERNATIONAL MARKETS BUT ADDED THAT DEMAND PERMITTING IT WILL ENLARGE THE ISSUE TO UP TO 316 MILLION SHARES ARGENTARIA PRICED THE OFFER AT BETWEEN 3500 3045 PESETAS AND 3950 PESETAS A SHARE THE PRICE FOR SPANISH INVESTORS WILL BE SET ONE DAY PRIOR TO THE SUBSCRIPTION PERIOD EXPECTED TO BEGIN AROUND APRIL 26 THE BANKING GROUP SAID THE FIVEBANK GROUP SAID DEMAND WILL DETERMINE THE GEOGRAPHIC DIVISION OF THE OFFERING BUT SAID IT EXPECTS TO FLOAT 60 OF SHARES IN SPAIN ARGENTARIA PREVIOUSLY SAID IT WAS CONSIDERING FLOATING BETWEEN 15 AND 25 OF SHARE CAPITAL ARGENTARIA SAID IT HAS FILED A REGISTRATION STATEMENT WITH THE US SECURITIES AND EXCHANGE COMMISSION FOR EIGHT MILLION AMERICAN DEPOSITARY RECEIPTS REPRESENTING FOUR MILLION COMMON SHARES AT TWO ADR A SHARE MORGAN STANLEY & CO INC IS LEAD MANAGER OF THE US OFFERING AND GOLDMAN SACHS & CO MERRILL LYNCH & CO AND SG WARBURG SECURITIES WILL COMANAGE IT ARGENTARIA CREATED IN 1991 COMPRISES THE COMMERCIAL BANK BANCO EXTERIOR DE ESPANA THE POSTAL SAVINGS BANK CAJA POSTAL THE MORTGAGE LENDER BANCO HIPOTECARIO DE ESPANA THE LENDING INSTITUTION FOR GOVERNMENT BODIES BANCO DE CREDITO LOCAL AND THE AGRICULTURAL BANK BANCO DE CREDITO AGRICOLA 9304130128 930413 DU PONT CANADA TO SELL UNIT TORONTO DU PONT CANADA INC SAID IT WILL SEEK A BUYER FOR ITS SCLAIR POLYETHYLENE BUSINESS THE BUSINESS PRODUCES 225000 METRIC TONS OF POLYETHYLENE A YEAR AT MANUFACTURING FACILITIES NEAR SARNIA ONTARIO THE PROPOSED SALE ALSO INCLUDES INTERNATIONAL LICENSING OPERATIONS FOR ITS POLYETHYLENE MANUFACTURING TECHNOLOGY TOGETHER THE ASSETS TO BE SOLD HAD REVENUES LAST YEAR OF 250 MILLION CANADIAN DOLLARS US1985 MILLION OR ABOUT 18 OF DU PONT CANADA'S TOTAL SALES OF C142 BILLION DU PONT CANADA IS 75OWNED BY DU PONT CO OF WILMINGTON DEL 9304130127 930413 PEOPLES GAS SIGNS WITH COASTAL HOUSTON COASTAL CORP SAID IT SIGNED A CONTRACT TO PROVIDE TRANSPORTATION OF NATURAL GAS FOR PEOPLES GAS SYSTEM INC OF FLORIDA THROUGH THE PROPOSED SUNSHINE PIPELINE PEOPLES GAS A SUBSIDIARY OF THE CLOSELY HELD LYKES ENERGY INC AGREED TO USE 42 MILLION CUBIC FEET A DAY OF NATURAL GAS CAPACITY IN THE 600 MILE PIPELINE WHICH IS TO BE OWNED BY COASTAL FLORIDA POWER CORP AND POSSIBLY OTHER EQUITY PARTNERS FLORIDA POWER A UNIT OF FLORIDA PROGRESS CORP HAS ALSO AGREED TO USE 120 MILLION CUBIC FEET OF CAPACITY A DAY THE SUNSHINE PIPELINE'S INITIAL CAPACITY WILL BE 325 MILLION CUBIC FEET OF GAS A DAY CONSTRUCTION OF THE 600 MILLION PROJECT IS SET TO BEGIN IN 1994 PENDING APPROVAL BY REGULATORY AGENCIES THE PIPELINE WHICH WILL ORIGINATE IN MISSISSIPPI AND RUN THROUGH ALABAMA AND THE FLORIDA PANHANDLE IS SCHEDULED TO BEGIN OPERATION IN 1995 9304130126 930413 MARKETING & MEDIA GE HAS NO PLANS TO SELL OFF NBC WELCH MAINTAINS BY ELIZABETH JENSEN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK AFTER MOSTLY REMAINING SILENT WHILE RUMORS SWIRLED GENERAL ELECTRIC CO CHAIRMAN JOHN F WELCH JR SPOKE OUT NBC ISN'T FOR SALE GE LIKES NBC NBC IS NOT FOR SALE GE WANTS TO BE PART OF NBC MR WELCH TOLD NBC NEWS EMPLOYEES YESTERDAY AT A DIVISION MEETING TO INTRODUCE THE NEW NBC NEWS PRESIDENT ANDREW LACK MR WELCH'S COMMENTS MADE AVAILABLE TO THE PRESS AMOUNTED TO THE MOST DIRECT DENIAL YET THAT GENERAL ELECTRIC WAS LOOKING TO SELL OFF THE NETWORK RUMORS STARTED TWO YEARS AGO AND HAVE INCREASED IN THE PAST YEAR AS NBC'S OWN FORTUNES AND RATINGS HAVE WORSENED WHEN SPECULATION OF A SALE FIRST SURFACED IN 1991 NBC PRESIDENT ROBERT WRIGHT DENIED IT BUT SINCE THEN BOTH NBC AND PARENT GE HAVE DECLINED TO COMMENT ON SUBSEQUENT SALE RUMORS CITING COMPANY POLICY THEY HELD TO THE NOCOMMENT STANCE EVEN AS VARIOUS REPORTS SAID THAT BARRY DILLER FORMER CHAIRMAN OF FOX INC A UNIT OF AUSTRALIA'S NEWS CORP WAS INTERESTED IN BUYING NBC AS REPORTEDLY WAS PARAMOUNT COMMUNICATIONS INC OF NEW YORK THE RUMORS COVERED EVERYTHING FROM SELLING THE ENTIRE NBC UNIT TO BREAKING UP THE COMPANY TO SELL THE NETWORK'S ENTERTAINMENT DIVISION BUT RETAIN THE NBC TELEVISION STATIONS INDUSTRY ANALYSTS HAVE SPECULATED THAT NO SALE RESULTED BECAUSE NO ONE WAS WILLING TO MATCH GE'S REPORTED ASKING PRICE ESTIMATED AT 35 BILLION TO 4 BILLION THE BOOK VALUE GE ASSIGNS TO NBC NBC PRESIDENT WRIGHT SAID THE RUMORS WERE MAKING IT DIFFICULT FOR THE NETWORK TO CONDUCT BUSINESS MR WELCH'S COMMENTS COMING AS THE NETWORK IS TRYING TO MOVE BEYOND THE SCANDAL OVER NBC NEWS'S DATELINE NBC PROGRAM INVOLVING RIGGED FOOTAGE IN A REPORT ON UNSAFE TRUCKS WERE MEANT TO PUT AN END TO THE PERSISTENT RUMORS MR WRIGHT SAID BUT WALL STREET WASN'T NECESSARILY BELIEVING IT IF HE SAYS TODAY THAT IT ISN'T FOR SALE THAT DOESN'T MEAN THAT TOMORROW IT ISN'T FOR SALE SAID JOHN TINKER AN ANALYST WITH FURMAN SELZ INC WALL STREET HAS LONG FAVORED THE IDEA OF A SALE IN PART BECAUSE GE HAS ALWAYS SAID IT WANTS TO BE ONLY NO 1 OR NO 2 IN A BUSINESS YET NBC IS NOW NO 3 IN PRIMETIME RATINGS NIGHTLY NEWS AND DAYTIME PROGRAMMING AS FEDERAL REGULATORS HAVE BEGUN LIFTING RULES BLOCKING THE NETWORKS FROM THE SYNDICATION BUSINESS INDUSTRY OBSERVERS ALSO HAVE LOOKED FOR A HOLLYWOOD STUDIO TO PERHAPS MERGE WITH A NETWORK THEY SEE NBC AS THE MOST VULNERABLE PROSPECT 9304130125 930413 MARKETING & MEDIA A&E NETWORKS PLANS NEW 24HOUR CHANNEL DEVOTED TO HISTORY NEW YORK ARTS & ENTERTAINMENT NETWORKS SAID IT PLANS TO LAUNCH A 24HOUR CABLE NETWORK HISTORY TV WHICH WILL CONCENTRATE ON HISTORICAL DOCUMENTARIES MINISERIES AND HISTORICAL MOVIES A&E SAID THE NEW CHANNEL HTV WILL BE LAUNCHED IN THE FALL OF 1994 OR PERHAPS SOONER THE CHANNEL ALREADY HAS SEVERAL FEATURES LINED UP FOR ITS WEEKLY SCHEDULE INCLUDING HISTORY ALIVE AN HOURLONG PROGRAM OF ORIGINAL DOCUMENTARIES THAT WILL RUN MONDAY THROUGH FRIDAY OTHER OFFERINGS INCLUDE WAR CHRONICLES AND MOVIES IN TIME THE NEW NETWORK JOINS A GROWING NUMBER OF CABLE TELEVISION OFFERINGS AS CHANNEL CAPACITY EXPANDS RECENTLY ANNOUNCED ENTRIES INCLUDE GOLF AND FOOD CHANNELS A&E IS A JOINT VENTURE OF CAPITAL CITIES/ABC INC HEARST CORP AND GENERAL ELECTRIC CO'S NBC 9304130124 930413 COMMODITIES NATURAL GAS FUTURES EXTEND AN UNUSUAL RALLY ON THE GROWING BELIEF THAT SUPPLIES ARE TIGHT BY CALEB SOLOMON STAFF REPORTER OF THE WALL STREET JOURNAL HOUSTON NATURAL GAS PRICES SURGED IN HEAVY TRADING AS BUYERS CLAMORED TO REFILL DEPLETED STORAGE FIELDS EXTENDING AN UNUSUAL SPRINGTIME RALLY FROM THE GAS WELLS OF OKLAHOMA TO THE TRADING PIT ON THE NEW YORK MERCANTILE EXCHANGE THERE IS A GROWING BELIEF THAT SUPPLIES ARE TIGHT THE SURGE IN PRICES OVER THE PAST FEW WEEKS SHARPLY CONTRASTS TO THIS TIME LAST YEAR WHEN PRICES WERE ABOUT HALF OF TODAY'S LEVELS IN A MARKET DEPRESSED BY WEAK DEMAND AND PANICKED SELLING FROM NATURAL GAS PRODUCERS RIGHT NOW MARKET PSYCHOLOGY IS VERY VERY BULLISH SAID ANDREW DICKSON AN ENERGY FUTURES TRADER FOR GSC ENERGY IN ATLANTA IT'S BEEN GOING GANGBUSTERS PAUL TAYLOR A VICE PRESIDENT OF ANADARKO PETROLEUM CORP A HOUSTONBASED NATURAL GAS EXPLORATION AND PRODUCTION COMPANY SAID WE'RE SELLING ALL THE GAS WE CAN GET OUR HANDS ON AND PEOPLE ARE STILL CALLING US AND ASKING FOR MORE MR TAYLOR SAID ANADARKO HASN'T RECEIVED SUCH AN ABUNDANT NUMBER OF APRIL PLEAS FROM POTENTIAL BUYERS IN YEARS ON THE NEW YORK MERCANTILE EXCHANGE NATURAL GAS FOR MAY DELIVERY SOARED TO A RECORD OF 2344 PER MILLION BRITISH THERMAL UNITS UP 115 CENTS THE CONTRACT HAD TRADED AS HIGH AS 239 PER MILLION BTUS DURING THE DAY THE JUNE CONTRACT CLIMBED TO 2279 PER MILLION BTUS UP 10 CENTS THE MAXIMUM ALLOWED IN ANY ONE SESSION CREATING AN ILLIQUID MARKET FOR THIS CONTRACT AT SOME POINTS IN THE DAY BECAUSE NO ONE WANTED TO SELL IT AT THOSE PRICES ONE MILLION BTUS IS ROUGHLY EQUIVALENT TO ONE THOUSAND CUBIC FEET OF GAS THE QUANTITY USED IN GAS FIELD SALES WHERE PRICES HAVE CLIMBED TO AROUND 230 THERE WASN'T ANY SPECIFIC NEWS YESTERDAY TO PROMPT THE SWELL OF BUYING CAUSING SOME TRADERS TO WONDER IF PRICES AREN'T DUE FOR A FALL STILL THE SAME FUNDAMENTALS THAT HAVE BEEN DRIVING THE GAS MARKET FOR WEEKS EXIST RECENT SURVEYS OF GAS STORAGE FIELDS ACROSS THE COUNTRY SHOW THAT SUPPLIES ARE SHARPLY BELOW LAST YEAR'S LEVELS AND MAY BE AT THE LOWEST LEVELS IN MANY YEARS ACCORDING TO REPORTS CIRCULATING THROUGHOUT THE GAS MARKETS STORAGE IS LOW DUE TO THE FACT THAT IT WAS COLD LATE IN THE SEASON MR DICKSON SAID WHILE THE WINTER HEATING SEASON WAS A NORMAL ONE BY HISTORICAL STANDARDS MR TAYLOR ADDED IT WAS THE FIRST NORMAL WINTER IN AT LEAST FOUR YEARS AND DIDN'T SPARK WARMWEATHER GAS GLUTS THE PERCEPTION OF SURPLUS HAS EVAPORATED MR TAYLOR SAID HE ADDED THAT WHILE DEMAND IS HIGHER THAN NORMAL FOR APRIL AS BUYERS REFILL STORAGE FIELDS THAT WERE DEPLETED DURING THE WINTER HE ALSO THINKS THAT SUPPLIES ARE TIGHT BECAUSE OF THE LONGTIME SUFFERING OF THE US GAS INDUSTRY AND ITS LACK OF DRILLING FOR NEW RESERVES IN RECENT YEARS MEANWHILE PETROLEUM PRICES FIRMED AS TRADERS CAUTIOUSLY AWAITED THE OUTCOME OF MEETINGS OF THE ORGANIZATION OF PETROLEUM EXPORTING COUNTRIES IN MUSCAT OMAN EUROPEAN OIL MARKETS WERE CLOSED BECAUSE OF THE EASTER HOLIDAY BUT ON THE NEW YORK MERCANTILE EXCHANGE LIGHT LOWSULFUR CRUDE OIL FOR MAY DELIVERY WAS UP 23 CENTS A BARREL TO SETTLE AT 2045 IN OMAN THE OPEC MINISTERS MET INFORMALLY AS SCHEDULED LAST NIGHT TO ADDRESS THE ISSUE OF OVERPRODUCTION BY SOME MEMBERS BUT BEFORE THE MEETING BEGAN KUWAIT APPEARED TO BE BACKING OFF FROM A PRIOR THREAT TO INCREASE OUTPUT IF OTHERS OVERPRODUCED KUWAIT'S MINISTER RESTATED THE EMIRATE'S POSITION THAT IT WOULD STICK TO ITS QUOTA SO LONG AS OTHERS OBSERVED OPEC'S CEILING ALSO AS EXPECTED THE IRANIAN MINISTER CAME TO THE MEETING VIGOROUSLY DENYING REPORTS THAT IRAN PRODUCED ABOVE ITS QUOTA IN MARCH THE OPEC GROUP WILL MEET JOINTLY TODAY WITH THE SOCALLED INDEPENDENT PETROLEUM EXPORTING COUNTRIES TO DISCUSS MUTUAL ISSUES SUCH AS NEW ENERGY TAXES PROPOSED BY THE US AND EUROPE IN OTHER COMMODITY MARKETS LUMBER LUMBER FUTURES PRICES EBBED AT THE CHICAGO MERCANTILE EXCHANGE SINCE MARCH 15 WHEN LUMBER FOR MAY DELIVERY PEAKED AT 45820 PER THOUSAND BOARD FEET THE PRICE OF THE MAY CONTRACT HAS FALLEN 229 IN TRADING YESTERDAY THE MAY CONTRACT DECLINED 360 TO 35350 PER THOUSAND BOARD FEET ANALYSTS SAID LUMBER PRICES ARE LANGUISHING BECAUSE OF A LACK OF DEMAND FROM HOME BUILDERS MOST OF WHOM HAVE ALREADY BOUGHT THE WOOD THEY NEED FOR THE SPRING BUILDING SEASON PRECIOUS METALS GOLD FUTURES PRICES EXTENDED THEIR WEAKER TONE SETTLING 70 CENTS LOWER AT 33820 AN OUNCE FOR JUNE DELIVERY ON NEW YORK'S COMMODITY EXCHANGE AN EASING OF INFLATION FEARS HAS HURT GOLD FUTURES IN RECENT DAYS TRADERS SAID BUT INDUSTRIAL DEMAND FOR THE PRECIOUS METAL REMAINS SOLID GOLD IS A CLASSIC INVESTMENT HEDGE AGAINST INFLATION GOLD REMAINS WELL SUPPORTED WE'RE JUST SEEING GOLD CONTINUING TO CONSOLIDATE AFTER A STRONG RALLY EARLIER THIS MONTH SAID BERNARD SAVAIKO A SENIOR ANALYST WITH PAINEWEBBER SILVER FUTURES MANAGED TO CLIMB YESTERDAY CLOSING FOUR CENTS HIGHER AT 3877 AN OUNCE IN THE ACTIVELY TRADED MAY CONTRACT DEALERS SAID SILVER FUTURES TRADING AT THE COMEX WAS HEAVY ON THE NEW YORK MERCANTILE EXCHANGE PALLADIUM FOR JUNE DELIVERY ROSE 110 TO SETTLE AT 11110 AN OUNCE WHILE PLATINUM FOR JULY DELIVERY JUMPED 370 TO SETTLE AT 36250 AN OUNCE LIVESTOCK AND MEATS PORKBELLY FUTURES PRICES CONTINUED TO CLIMB ON INDICATIONS OF STRONG DEMAND FOR PORK BELLIES WHICH ARE UNCURED BACON DURING THE PAST TWO MONTHS FAR FEWER PORK BELLIES THAN EXPECTED HAVE BEEN PLACED IN COLD STORAGE A HINT THAT CONSUMERS' DEMAND FOR BACON IS ROBUST A MONTHLY COLDSTORAGE REPORT DUE APRIL 21 IS EXPECTED TO SHOW THAT ONLY ABOUT FIVE MILLION POUNDS OF PORK BELLIES WERE PLACED IN COLD STORAGE DURING MARCH SAID CHARLES LEVITT LIVESTOCK ANALYST FOR SHEARSON LEHMAN BROTHERS BY CONTRAST IN MARCH 1992 92 MILLION POUNDS OF BELLIES WERE PUT IN STORAGE AND OVER THE PAST 10 YEARS THE AVERAGE MARCH PLACEMENT OF BELLIES IN STORAGE HAS BEEN ABOUT 126 MILLION POUNDS LOWER THAN EXPECTED PLACEMENT OF MEAT IN STORAGE IS USUALLY INTERPRETED AS POSITIVE FOR FUTURES PRICES AT THE CHICAGO MERCANTILE EXCHANGE PORK BELLIES FOR MAY DELIVERY ROSE 137 CENTS TO 512 CENTS A POUND 9304130123 930413 TECHNOLOGY DNA PLANT TECHNOLOGY RIGHTS CINNAMINSON NJ DNA PLANT TECHNOLOGY CORP SAID ITS ENVIRONMENTAL DIAGNOSTICS UNIT BOUGHT EXCLUSIVE RIGHTS FROM MONSANTO CO FOR A PATENT COVERING IMMUNOASSAYSTECHNIQUES TO DETECT SEVERAL HERBICIDES TERMS WEREN'T DISCLOSED THE DNA PLANT UNIT SAID KITS USING THE TECHNOLOGY WILL BE ABLE TO ANALYZE CONTAMINATION OF SOIL GROUND WATER AND FOOD AT MUCH LOWER COSTS THAN TRADITIONAL LAB TECHNIQUES DNA PLANT IS AN AGRICULTURAL BIOTECHNOLOGY COMPANYEND 9304130122 930413 WORLD MARKETS TOKYO SHARES END MIXED TO LOWER AS VOLUME IS STUNTED BY HOLIDAY FOR MOST OTHER BOURSES A WALL STREET JOURNAL NEWS ROUNDUP TOKYO STOCK PRICES FINISHED MIXED TO SLIGHTLY LOWER MONDAY AS TURNOVER FELL TO THE LOWEST LEVEL IN THREE WEEKS MOST OTHER MAJOR BOURSES WORLDWIDE WERE CLOSED FOR THE LAST DAY OF A LONG WEEKEND FOR THE EASTER HOLIDAY IN TOKYO THE NIKKEI 225STOCK INDEX WHICH SHED 7509 POINTS FRIDAY EASED 1004 TO 1988214 IN TOKYO TUESDAY THE NIKKEI INDEX ROSE 36151 POINTS TO CLOSE THE MORNING SESSION AT 2024365 MONDAY'S FIRSTSECTION VOLUME SHRANK TO AN ESTIMATED 330 MILLION SHARES FROM 7611 MILLION SHARES IN THE PREVIOUS SESSION LOSERS TOPPED GAINERS 606405 THE TOKYO STOCK PRICE INDEX OR TOPIX OF ALL FIRSTSECTION ISSUES WHICH SLIPPED 542 POINTS FRIDAY DECLINED 787 TO 155541 AS GLOBAL EASTER OBSERVANCES SLASHED FOREIGN PARTICIPATION IN TOKYO MANY INVESTORS IN JAPAN ALSO STAYED ON THE SIDELINES AHEAD OF THE GOVERNMENT'S UNVEILING TUESDAY OF MEASURES TO STIMULATE THE FLAGGING ECONOMY EXPECTED TO GIVE THE MARKET ITS NEXT MAJOR CUE THE YEN'S CLIMB AGAINST THE DOLLAR IN FOREIGN EXCHANGE MARKETS ALSO PROVIDED ANOTHER REASON TO HOLD PURCHASES AT BAY THOUGH A FIRM YEN IS GOOD FOR IMPORTERS AS IT CUTS COSTS OF THEIR RESOURCES FROM ABROAD IT HURTS EXPORTERS BY REDUCING THEIR RETURNS FROM FOREIGN SALES MOST ATTENTION FOCUSED ON SECONDSECTION AND OVERTHECOUNTER ISSUES IN SEOUL SHARE PRICES SURGED AND THE KOREA COMPOSITE STOCK PRICE INDEX ADVANCED 1263 POINTS TO A RECORD 72096 TOPPING THE PREVIOUS HIGH OF 709 SET IN NOVEMBER 1991 MONEY WAS ABUNDANT SPARKING THE RALLY ANALYSTS SAID CASH DEPOSITS WITH SECURITIES FIRMS A GAUGE OF POTENTIAL BUYING POWER TOTALED 28 TRILLION WON 352 BILLION THE HIGHEST IN FOUR YEARS SHARES CLIMBING OVERWHELMED THOSE FALLING 76131 AND 53 ISSUES FINISHED UNCHANGED TEN ISSUES FELL TO THEIR BOTTOM LIMITS WHILE 268 REACHED THEIR UPPER LIMITS FOREIGNERS WERE THE MOST ENTHUSIASTIC BUYERS WHILE SOME SOUTH KOREAN INSTITUTIONAL INVESTORS TOOK PROFITS MOST ANALYSTS WERE OPTIMISTIC ABOUT THE MARKET'S PROSPECTS GIVEN CONTINUED DECLINES IN INTEREST RATES AND SIGNS OF AN ECONOMIC RECOVERY THOUGH A CORRECTION WOULDN'T BE SURPRISING IF THE PACE GETS TOO FAST IN SINGAPORE SHARES FELL ON PROFITTAKING WHILE MANY FUND MANAGERS WERE OUT TAKING ADVANTAGE OF THE WIDESPREAD HOLIDAY CLOSINGS TAIPEI EQUITIES FINISHED NARROWLY LOWER FOR THE FOURTH DROP IN A ROW IN A CONTINUING CORRECTION FOLLOWING PREVIOUS STRONG GAINS IN MANILA PRICES ROSE ON PHILIPPINE GOVERNMENT ACTION TO HELP SOLVE THE NATION'S POWER SHORTAGES AS WELL AS THE PESO'S DEPRECIATION IN MADRID THE ONLY BIG EXCHANGE IN EUROPE THAT WAS OPEN STOCKS ENDED MODERATELY HIGHER SUPPORTED BY SPANISH PRIME MINISTER FELIPE GONZALEZ'S SURPRISE DECISION TO CALL A GENERAL ELECTION FOR JUNE 6 FIVE MONTHS EARLY STILL DEALINGS WERE SUBDUED AS INVESTORS WERE SLOW TO RETURN FROM A HOLIDAY WEEKEND MR GONZALEZ EXPLAINING HIS MOVE TO HOLD ELECTIONS SAID THE CURRENT POLITICAL CLIMATE WAS PREVENTING THE GOVERNMENT FROM ADOPTING ESSENTIAL ECONOMIC REFORMS AND THE MARKET RESPONDED POSITIVELY TO THE PROSPECT OF CLEARING UP UNCERTAINTIES STOCK PRICES ALSO WERE BOOSTED BY OPTIMISM THAT SPANISH INFLATION DATA FOR MARCH TO BE POSTED THURSDAY WILL CONTINUE TO SHOW DECLINES IN CONSUMER PRICES 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 9304130121 930413 WHO'S NEWS SEARS ROEBUCK & CO SEARS ROEBUCK & CO CHICAGO PAUL A BAFFICO 46 YEARS OLD WAS NAMED PRESIDENT OF THE AUTOMOTIVE GROUP A NEW POSITION THE GROUP INCLUDES SEARS TIRE AND AUTO CENTERS AND WESTERN AUTO SUPPLY CO MR BAFFICO WAS FORMERLY VICE PRESIDENT OF PRODUCT SERVICES THE APPLIANCE REPAIR OPERATIONS OF SEARS'S MERCHANDISE GROUP 9304130120 930413 ZENITH TO GET REVOLVING CREDIT GLENVIEW ILL ZENITH ELECTRONICS CORP SAID IT RECEIVED A COMMITMENT FROM TWO MAJOR INSTITUTIONAL LENDERS FOR A NEW 90 MILLION REVOLVING CREDIT AGREEMENT RUNNING THROUGH DEC 31 1994 ZENITH WHICH MAKES CONSUMER ELECTRONICS PRODUCTS SAID THE NEW AGREEMENT SHOULD PROVIDE IT WITH THE FINANCIAL FLEXIBILITY IT NEEDS TO CARRY OUT ITS BUSINESS PLAN THE COMMITMENT IS SUBJECT TO NEGOTIATION AND SIGNING OF A DEFINITIVE LOAN AGREEMENT WHICH THE COMPANY EXPECTS TO SIGN WITHIN 60 DAYS THE NEW AGREEMENT WOULD REPLACE ZENITH'S EXISTING 60 MILLION BANK AGREEMENT WHICH RUNS THROUGH JUNE 1994 9304130119 930413 INTERNATIONAL WORLD WIRE COMPILED BY RICHARD L HOLMAN CHINA AIMS TO MAKE FOREIGN INVESTMENT A PRIORITY IN MODERNIZING ITS AUTO INDUSTRY WHICH HAS LIMITED CAPACITY AS AN INDUCEMENT BEIJING MAY ALLOW OVERSEAS INVESTORS FREEDOM IN SUCH MATTERS AS SETTING PRICES THE GOVERNMENT WANTS FOREIGN CAPITAL TO BOLSTER PRODUCTION OF HEAVYDUTY TRUCKS AND CONTAINER TRAILERS LARGE BUSES AND SPARE PARTS FOR AUTOS EXISTING TRUCKS AND BUSES LACK QUALITY AND VARIETY THEY DON'T MEET TRANSPORT AND TOURISM NEEDS CHINA HAS ABOUT 100 AUTO MAKERS EACH WITH SMALL OUTPUT AND HIGH PROFIT MARGINS PROTECTED BY HIGH TARIFFS ON IMPORTS IT HAS ALLOWED FOREIGN INVESTORS IN ONLY EIGHT JOINT VENTURES LAST YEAR CHINA PRODUCED 11 MILLION VEHICLES INCLUDING 180000 AUTOS IT HOPES WITHIN A DECADE TO HAVE ANNUAL CAPACITY OF THREE MILLION VEHICLES TWOTHIRDS OF THEM CARS TO MEET THE GOALS THE GOVERNMENT MAY NEED AT LEAST 26 BILLION IN ADDITION TO OUTLAYS ALREADY EARMARKED THROUGH 1995 IT IS CONSIDERING WAYS TO ALLOW JOINT VENTURES TO ISSUE STOCKS AND BONDS TENS OF THOUSANDS OF ROMANIAN WORKERS HELD RALLIES AND WARNING STRIKES NATIONWIDE TO PROTEST ECONOMIC REFORMS AND PRESS FOR HIGHER PAY RESTRAINTS ON PRICES AND BETTER SOCIAL SECURITY GUARANTEES PROTESTERS ALSO DEMANDED RESCUES OF FAILING STATE INDUSTRIES UNION WORKERS CALLED FOR THE RESIGNATION OF THE GOVERNMENT WHICH INTRODUCED THE MARKETORIENTED REFORMS THAT HAVE FUELED INFLATION AND UNEMPLOYMENT AND PLANNED TO END MOST REMAINING PRICE SUBSIDIES MAY 1 THE DEMONSTRATIONS WERE AMONG THE LARGEST SINCE THE CEAUCESCU DICTATORSHIP WAS OUSTED IN DECEMBER 1989 SOUTH KOREA NO LONGER WILL RESTRICT FOOTWEAR MAKERS' ASSEMBLY LINES ABROAD THE GOVERNMENT HAD ALLOWED ONLY FIVE KOREAN SHOE COMPANIES TO OPERATE IN ANY SINGLE FOREIGN COUNTRY LIMITING EXPANSIONS THE RULES WERE IMPOSED IN 1991 TO STEM RAPID MIGRATION OF OPERATIONS TO LOWERWAGE COUNTRIES IN THE REGION AS KOREAN WAGES SOARED THE RESTRICTION WAS SCRAPPED TO HELP KOREAN FIRMS DEFEND THEIR MARKETS AGAINST RIVALS IN LOWERWAGE COUNTRIES AT DEC 31 KOREAN FOOTWEAR FIRMS' OVERSEAS OUTPUT REPRESENTED 18 OF THEIR TOTAL SHOEMAKING CAPACITY MALAYSIA ASKED EMPLOYMENT AGENCIES TO STOP RECRUITING ABROAD UNTIL 240000 FOREIGNERS WHO ARE REGISTERED FOR WORK FIND JOBS ABOUT 800000 FOREIGNERS ARE EMPLOYED IN THE COUNTRY WITH A POPULATION OF 18 MILLION AND A WORK FORCE OF 7 MILLION UNEMPLOYMENT STANDS AT JUST 4 MALAYSIANS GENERALLY SHUN MANUAL JOBS THE RECRUITMENT SUSPENSION APPLIES TO SECTORS INCLUDING PLANTATIONS CONSTRUCTION FACTORIES AND LOGGING IT EXCLUDES SKILLED WORKERS SUCH AS PHYSICIANS A LABOR SHORTAGE HAS RESULTED FROM ANNUAL ECONOMIC GROWTH EXCEEDING 7 HUGE FOREIGN INVESTMENTS AND RAPID INDUSTRIALIZATION A REBEL OFFENSIVE IN COLOMBIA COST THE OIL INDUSTRY 3 MILLION THE STATERUN OIL COMPANY ECOPETROL SAID NATIONAL LIBERATION ARMY GUERRILLAS LAST THURSDAY BLEW UP A SOGASOMO RIVER BRIDGE WITH EIGHT OIL PIPELINES ABOUT 185 MILES NORTH OF BOGOTA A TWODAY FIRE CONSUMED 100000 BARRELS OF CRUDE OIL WITH DAMAGE TOTALING 1 MILLION A REFINERY'S PRODUCTION WAS SUSPENDED THROUGH SUNDAY FOR A 2 MILLION LOSS OF REVENUE REBELS PARTLY TO TRY TO DRIVE OUT FOREIGN INVESTORS HAVE ATTACKED THE OIL SECTOR MORE THAN 300 TIMES SINCE 1986 COSTING THE ECONOMY 12 BILLION A TINY JAPANESE SATELLITE FELL TO THE MOON AS INTENDED ENDING AN EXPERIMENT ON THE EFFECT OF GRAVITY ON SATELLITES THE HITEN ORBITER 4 FEET 7 INCHES IN DIAMETER AND 2 FEET 9 INCHES LONG WAS LAUNCHED JAN 24 1990 AND CRASHED SUNDAY JAPAN'S SPACE AGENCY SAID ITS SUCCESSFUL STUDY INVOLVED HOW TO USE GRAVITY RATHER THAN FUELCONSUMING ENGINE BURSTS TO CHANGE A SATELLITE'S ORBIT IT MOVED HITEN'S EARTH ORBIT TO A COURSE AROUND THE MOON USING LUNAR GRAVITY AND AN ENGINE WITH A SMALL AMOUNT OF FUEL JAPAN JOINED THE US AND THE FORMER SOVIET UNION IN USING THE SWINGBY TECHNOLOGY INDONESIA VOWED TO TAKE MORE CARE IN ISSUING PERMITS FOR ROCK SHOWS AFTER A RIOT ERUPTED WHEN FANS WERE DENIED ENTRY TO A STADIUM PERFORMANCE BY THE HEAVYMETAL BAND METALLICA THAT ATTRACTED ABOUT 60000 PEOPLE TO COMMEMORATE THE COMING WEDDING OF CROWN PRINCE NARUHITO JAPAN PLANS TO ISSUE TWO MILLION GOLD COINS DENOMINATED AT 50000 YEN 442 FIVE MILLION SILVER 5000YEN COINS AND 30 MILLION NICKEL 500YEN COINS SOME SALE PROCEEDS WILL HELP FUND JAPAN'S BIG SPENDING PACKAGE TO STIMULATE THE SAGGING ECONOMY 9304130118 930413 MESA AIR'S MARCH TRAFFIC ROSE FARMINGTON NM MESA AIRLINES INC SAID MARCH TRAFFIC NEARLY TRIPLED THE AIRLINE ACQUIRED WESTAIR HOLDING INC LAST YEAR FOR THE FIRST THREE MONTHS OF THE YEAR MESA AIRLINES SAID ITS TRAFFIC NEARLY TRIPLED TO 2249 MILLION FROM 759 MILLION AND LOAD FACTOR ROSE TO 489 FROM 41 A YEAR AGO 9304130117 930413 INSURANCE REGULATORS SUE HAWAIIAN ELECTRIC OVER FORMER UNIT HONOLULU HAWAII'S INSURANCE COMMISSIONER FILED SUIT AGAINST HAWAIIAN ELECTRIC INDUSTRIES INC AND ITS OFFICERS OVER THE INSOLVENT HAWAIIAN INSURANCE GROUP A FORMER SUBSIDIARY THAT WAS TURNED OVER TO REGULATORS IN DECEMBER IN A STATEMENT COMMISSIONER LINDA CHU TAKAYAMA SAID THE AGENCY IS ALLEGING BREACH OF FIDUCIARY DUTY BY HAWAIIAN ELECTRIC OFFICERS AND DIRECTORS MISREPRESENTATION AND NEGLIGENCE AMONG OTHER THINGS THE SUIT SEEKS COMPENSATORY AND GENERAL DAMAGES AND PUNITITIVE DAMAGES BUT THE AMOUNTS WEREN'T SPECIFIED IN A NEWS RELEASE ISSUED BEFORE THE SUIT WAS FILED ROBERT F CLARKE HAWAIIAN ELECTRIC PRESIDENT AND CHIEF EXECUTIVE OFFICER CALLED THE SUIT A WASTE OF HIG ASSETS AND SAID HE BELIEVES THE COMPANY WILL BE VINDICATED COMPANY OFFICIALS WEREN'T REACHABLE TO COMMENT AFTER THE SUIT WAS FILED AND A COPY OF THE COMPLAINT WASN'T AVAILABLE ALSO THE REGULATOR FILED A REHABILITATION PLAN FOR THE INSURER WITH THE COURT WHICH WOULD REALLOCATE ASSETS OF THE INSURER AND ITS TWO INSOLVENT SUBSIDIARIES TOTAL LIABILITIES ARE ESTIMATED AT 4219 MILLION AND TOTAL ASSETS AT 3531 MILLION UNDER THE PROPOSAL THE INSURER WOULD BE SCALED DOWN TO FOCUS ON HOMEOWNERS AND AUTOMOBILE INSURANCE AS WELL AS ON COMMERCIAL GENERAL LIABILITY THE INSURANCE UNIT WAS TAKEN OVER BY STATE REGULATORS AFTER CLAIMS FILED IN THE WAKE OF HURRICANE INIKI OUTSTRIPPED THE INSURER'S ASSETS HAWAIIAN ELECTRIC HAD BEEN HOLDING TALKS WITH REGULATORS FOR SEVERAL WEEKS IN FEBRUARY REGULATORS ISSUED A DEMAND LETTER STATING THAT HAWAIIAN ELECTRIC MIGHT BE FOUND LIABLE FOR THE INSURANCE UNIT'S DEFICIT WHICH IT ESTIMATED AT ABOUT 68 MILLION THE LETTER ALSO ALLEGED BREACH OF FIDUCIARY DUTY AGAINST DIRECTORS AND OFFICERS OF HAWAIIAN ELECTRIC AND THE INSURER AMONG OTHER THINGS 9304130116 930413 INTERNATIONAL UN DELAYS VOTE ON TIGHTER SANCTIONS AGAINST SERBIA HOPING TO AID YELTSIN BY ROBERT S GREENBERGER STAFF REPORTER OF THE WALL STREET JOURNAL WASHINGTON BOWING TO THE POLITICAL NEEDS OF RUSSIAN PRESIDENT BORIS YELTSIN THE UN SECURITY COUNCIL POSTPONED TIGHTENING SANCTIONS AGAINST SERBIA BUT IS LIKELY TO ADOPT THE MEASURES LATER THIS MONTH THE CLINTON ADMINISTRATION WHICH IS INTENT ON HELPING MR YELTSIN WIN A CRUCIAL APRIL 25 REFERENDUM ON HIS POLITICAL FUTURE AGREED TO POSTPONE THE UN VOTE UNTIL THE DAY AFTER THE REFERENDUM BUT RICHARD BOUCHER THE STATE DEPARTMENT SPOKESMAN SAID THE POSTPONEMENT IS BASED ON THE UNDERSTANDING THAT THE RUSSIANS WILL COOPERATE IN THE ADOPTION ON APRIL 26 OF THE RESOLUTION TO TIGHTEN SANCTIONS UNLESS THE SERBS HAVE AGREED TO PEACE TERMS THE SANCTIONS WHICH SO FAR HAVE HAD LITTLE EFFECT ARE DESIGNED TO FORCE SERBIA TO STOP AIDING BOSNIAN SERBS WHO ARE TERRORIZING CIVILIANS IN THE FORMER YUGOSLAV REPUBLIC OF BOSNIAHERZEGOVINA IN AN ATTEMPT TO CLEANSE THE AREA OF MUSLIMS THE DELAY IN VOTING FOR THE NEW SANCTIONS WON'T AFFECT THEIR IMPLEMENTATION THE ORIGINAL RESOLUTION HAD INCLUDED A TWOWEEK WAITING PERIOD WHICH THE NEW ONE IS EXPECTED TO DROP THE DILEMMA FOR MR YELTSIN AND WASHINGTON IS THAT IF THE RUSSIAN LEADER GOES ALONG WITH TIGHTENING THE SANCTIONS HE WOULD ALIENATE MANY CONSERVATIVE RUSSIAN VOTERS WHO ARE LOYAL TO THE COUNTRY'S LONGTIME SERBIAN ALLIES SO THE US CHOSE THE DELAY WHICH FURTHER ERODES THE UN'S CREDIBILITY IN PRESSURING SERBIAN FORCES RATHER THAN JEOPARDIZING MR YELTSIN'S CHANCES OF CARRYING THE REFERENDUM AS A PERMANENT MEMBER OF THE SECURITY COUNCIL RUSSIA COULD VETO A SANCTIONS MEASURE IF MOSCOW CHOOSES TO COOPERATE AS MR BOUCHER SAID IT COULD EITHER SUPPORT THE RESOLUTION THIS MONTH OR ABSTAIN MEANWHILE AIRCRAFT FROM THE NORTH ATLANTIC TREATY ORGANIZATION BEGAN ENFORCEMENT YESTERDAY OF A NOFLY ZONE OVER BOSNIA THAT IS DESIGNED TO SEND A SIGNAL OF WESTERN RESOLVE TO THE SERBS THE UN SECURITY COUNCIL ESTABLISHED THE NOFLY ZONE IN OCTOBER BUT FAILED UNTIL LAST WEEK TO GIVE IT ANY ENFORCEMENT TEETH THE ASSOCIATED PRESS REPORTED YESTERDAY THAT A FRENCH MIRAGE 2000 FIGHTER INVOLVED IN THE ENFORCEMENT OPERATION WENT DOWN IN THE ADRIATIC SEA APPARENTLY BECAUSE OF MECHANICAL PROBLEMS THE WIRE SERVICE SAID THAT THE PILOT WAS RESCUED THE STATE DEPARTMENT'S MR BOUCHER SAID AIRCRAFT FROM THE US THE NETHERLANDS AND FRANCE WERE PARTICIPATING IN THE INITIAL ROUND OF ENFORCEMENT ACTIVITIES HE ADDED THAT BRITAIN AND TURKEY HAVE OFFERED ADDITIONAL AIRCRAFT IF NEEDED IN ADDITION NATO IS USING AWACS RADAR RECONNAISSANCE PLANES TO HELP MONITOR COMPLIANCE WITH THE NOFLY ZONE THE STATE DEPARTMENT SPOKESMAN SOUGHT TO PUT A MORE DIPLOMATIC SPIN ON THE UN VOTE POSTPONEMENT HE SAID MOSCOW IS ACTIVELY WORKING TO BRING ABOUT A MORE REASONABLE APPROACH BY THE BOSNIAN SERBS TO THE CRISIS WHICH IS NOW IN ITS 13TH MONTH AND THAT THE RUSSIANS HAD REQUESTED THE DELAY IN ORDER TO PROVIDE AN OPPORTUNITY FOR THESE DEVELOPMENTS TO YIELD RESULTS HE NOTED FOR INSTANCE THAT THE BOSNIAN SERB LEADER HAS SAID HE IS WILLING TO PARTICIPATE IN A RESUMPTION OF PEACE TALKS IN GENEVA THE PROPOSED PEACE PLAN WOULD DIVIDE WARTORN BOSNIA INTO 10 ETHNICALLY BASED PROVINCES LAST MONTH IN NEW YORK BOSNIA'S MUSLIMLED GOVERNMENT AND THE BOSNIAN CROATS SIGNED THE ACCORD BUT THE BOSNIAN SERBS REFUSED THE PLAN REQUIRES THE SERBS TO GIVE UP SOME OF THE LAND THEY HAVE SEIZED THE NEW SANCTIONS WOULD BE IMPOSED AGAINST SERBIA WHICH BACKS THE BOSNIAN SERBS THE PENALTIES MAY INCLUDE FINANCIAL MEASURES SUCH AS SEIZING SERBIAN ASSETS ABROAD AND CUTTING OFF ACCESS TO HARD CURRENCY WHICH IS USED TO PURCHASE FOREIGN GOODS OTHER POSSIBLE MEASURES INCLUDE EXPELLING SERBIAN DIPLOMATS FROM EUROPEAN CAPITALS EJECTING YUGOSLAVIA WHICH NOW CONSISTS ONLY OF SERBIA AND MONTENEGRO FROM THE UN AND OTHER INTERNATIONAL ORGANIZATIONS AND TIGHTENING THE CURRENT ECONOMIC EMBARGO OF SERBIA FOOD SUPPLIES IN BOSNIA HAVE FALLEN TO DANGEROUSLY LOW LEVELS SYLVANA FOA A SPOKESWOMAN FOR THE UN HIGH COMMISSIONER FOR REFUGEES SAID THAT UN WAREHOUSES HAVE ONLY A WEEK'S WORTH OF FOOD FOR PARTS OF CENTRAL BOSNIA AND AS LITTLE AS TWO WEEKS FOR OTHER AREAS CUT OFF BY SIEGE ACCORDING TO NEWS AGENCY REPORTS MR BOUCHER SAID WE ARE CONCERNED THAT THERE MAY NOT BE ENOUGH FOOD IN THE PIPELINE FOR COMING MONTHS AND WE'RE RAISING THE ISSUE AT HIGH LEVELS WITH DONOR GOVERNMENTS 9304130115 930413 ENTERPRISE THIS STORE IS A HIT BUT SOMEHOW CASH FLOW IS MISSING UNDERCAPITALIZATION IS THE COMMONEST FORM OF TORTURE ENTREPRENEURS FACE BY BRENT BOWERS STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK WHEN ROCHELLE ZABARKES STARTED HER SPECIALTY FOOD STORE HERE SHE SEEMED TO MAKE ALL THE CLASSIC RIGHT MOVES SHE CAME UP WITH A MARKETABLE IDEA WROTE A DETAILED BUSINESS PLAN LINED UP FINANCING AND RENTED SPACE ON ONE OF MANHATTAN'S BUSIEST THOROUGHFARES SURE ENOUGH ADRIANA'S BAZAAR WAS A HIT WHEN IT OPENED TWO YEARS AGO ITS UNUSUAL MIX OF GOURMET FOODS AND SPICES FROM AROUND THE WORLD TAKEOUT FOOD PREPARED AT ETHNIC RESTAURANTS AND EXOTIC GIFT ITEMS WON RAVE REVIEWS IN THE LOCAL PRESS THE NEW YORKER MAGAZINE GUSHED OVER ITS GLASS BOTTLES AND HANDBLOCKED CLOTHS FROM INDIA GOURMET MAGAZINE MENTIONS IT FREQUENTLY AS A SOURCE OF INGREDIENTS FOR ITS RECIPES TODAY MS ZABARKES SAYS DAILY REVENUES AVERAGE 1100 UP 40 FROM A YEAR AGO A RECENTLY INSTALLED COFFEE BAR IS PULLING IN NEW CUSTOMERS AND A MAILORDER BUSINESS IS GETTING OFF THE GROUND MS ZABARKES TALKS ENTHUSIASTICALLY ABOUT OPENING TWO MORE NEW YORK CITY STORES AND GOING NATIONAL MY DREAM IS TO BE AS BIG AS BODY SHOP A FASTGROWING CHAIN THAT SELLS HAIR AND SKINCARE PRODUCTS THE 50YEAROLD ENTREPRENEUR SAYS THERE IS ONLY ONE PROBLEM MS ZABARKES IS BROKE SHE IS SUFFERING THROUGH THE COMMONEST FORM OF TORTURE KNOWN TO SMALLBUSINESS OWNERSUNDERCAPITALIZATION IT IS A PROBLEM THAT DERAILS COUNTLESS SMALL BUSINESSES EVERY YEAR EVEN WHEN THEIR PRODUCTS SELL BRISKLY AND EVERYTHING ELSE SEEMS TO GO WELL AND THE CRUNCH NEVER SEEMS TO END THE ENTREPRENEUR IS UNDER THREAT OF EVICTION FROM HER STORE IF SHE DOESN'T COUGH UP BACK RENT ONLY YESTERDAY SHE SENT A CHECK FOR 8500 BY BICYCLE MESSENGER AT 315 PM TO MEET A COURT DEADLINE SHE HAS UNTIL THE END OF THE MONTH TO SCRAPE TOGETHER 20000 MORE FOR THE LANDLORD SPECIALISTS SAY THEY SEE VARIATIONS ON THE NEW YORKER'S PLIGHT WITH DEPRESSING REGULARITY AN ENTREPRENEUR COMES UP WITH A BRILLIANT IDEA GETS OUT A CALCULATOR AND UNDERESTIMATES COSTS WHILE OVERESTIMATING REVENUE THAT IS ONE BIG REASON THAT ACCORDING TO THE SMALL BUSINESS ADMINISTRATION 24 OF ALL NEW BUSINESSES FAIL WITHIN TWO YEARS AND 63 FAIL WITHIN SIX YEARS SHE MS ZABARKES IS LIKE MOST ENTREPRENEURS SAYS ROBERT BLUMENFELD A PARTNER WITH BUSINESS CONSULTANTS APRIL BLUMENFELD CO IN NEW YORK THEY FORGET TO ASK THE QUESTION WHAT DO I NEED FOR OPERATING CAPITAL TO KEEP ME GOING FOR AT LEAST TWO YEARS MS ZABARKES HASN'T DONE ANYTHING SERIOUSLY WRONG IN RUNNING HER BUSINESS HE ADDS SHE'S JUST UNDERCAPITALIZED MR BLUMENFELD OUGHT TO KNOW HE IS THE FELLOW WHO WAS MEANT TO GET THAT 5000 CHECK WHICH A STATE AGENCY MADE OUT TO MS ZABARKES FOR WORK HE DID FOR HER WHILE THE AGENCY IS FURIOUS AT HER FOR GRABBING THE MONEY MR BLUMENFELD IS ALL PATIENCE I DON'T HOLD IT AGAINST HER HE SAYS I ADMIRE HER FOR BEING AGGRESSIVE MS ZABARKES VOWS TO REPAY THE MONEY BUT SAYS SHE HAD NO CHOICE I'M ABSOLUTELY DEDICATED TO THIS STORE SHE SAYS I'LL DO ANYTHING BEG BORROW OR STEAL TO KEEP IT ALIVE AND SHE ADDS I WILL SAVE IT THE PHILADELPHIA NATIVE IS NO NOVICE AT RUNNING A BUSINESS SHE OWNED AN AUDIOVISUAL PRODUCTION COMPANY FOR 11 YEARS AND TODAY SHE PUTS IN 72HOUR WEEKS AT HER STORE THIS MONTH MAY TELL IF HER OPTIMISM IS JUSTIFIED THE END OF A HARSH WINTER AND THE BEGINNINGS OF AN ECONOMIC RECOVERY ARE COMBINING TO GIVE HER AND MANY OTHER RETAILERS ACROSS THE COUNTRY HEART BUT WHATEVER HAPPENS TO ADRIANA'S BAZAAR ITS OWNER'S PREDICAMENT DRIVES HOME AN IMPORTANT TRUTH IF THE BUSINESS FAILS THE LESSON IS THIS NO MATTER HOW SMART INDUSTRIOUS AND EXPERIENCED YOU ARE IF YOU MISCALCULATE YOUR COSTS YOU MIGHT SOON BE HEADED FOR A GOINGOUTOFBUSINESS SALE MS ZABARKES RAISED 245000 TWO YEARS AGO IN LOANS FROM A BANK AND THE NATIONAL ASSOCIATION OF FEMALE EXECUTIVES AND IN CONTRIBUTIONS FROM FRIENDS SHE HAS SINCE RAISED 40000 MORE FOR A TOTAL OF 285000 THAT PROBABLY WOULD HAVE BEEN ENOUGH IF THE RECESSION HADN'T COME ALONG SHE SAYS HER REAL NEEDS TURNED OUT TO BE CLOSER TO 350000 TODAY THE ENTREPRENEUR SAYS SHE NEEDS A 100000 INFUSION TO PAY OFF ALL HER BILLS AND FINANCE GROWTH BUT IS THAT REALLY ENOUGH DAVID WALLACE A FRIEND WHOM SHE DESCRIBES AS HER RETAIL GURU WONDERS MR WALLACE WHO OWNS TWO SUCCESSFUL STORES IN NEW YORK CITY SUGGESTS 200000 MIGHT DO THE TRICK IF ADRIANA'S BAZAAR SUCCEEDS THE LESSON IS THIS WHEN YOU ARE DOWN ON YOUR LUCK GO TO EXTRAORDINARY LENGTHS TO TURN THE TIDE MS ZABARKES HAS MOLLIFIED MOST OF HER CREDITORS WITH REPEATED PHONE CALLS AND LETTERS EXPLAINING HER PROBLEMS AND PLEDGING EVENTUAL PAYMENT SHE THREW A DEPRESSIONERA RENT PARTY AT HER STORE LAST YEAR TO RAISE MONEY FAR FROM BEING COWED BY BUREAUCRATS SHE THROWS THEM ON THE DEFENSIVE SHE FOUGHT A WAR OF WORDS WITH THE STATERUN URBAN DEVELOPMENT CORP FOR REJECTING A LOAN APPLICATION AND SHE HAS CAJOLED THE SBA INTO BEING LENIENT ABOUT HER LOAN DEFAULT THE OFFICIAL WAS ALREADY FAMILIAR WITH MS ZABARKES'S TENACITY MONTHS EARLIER SHE HAD ENLISTED THE OFFICE OF US SEN ALFONSE D'AMATO A REPUBLICAN AND A SELFPROCLAIMED FRIEND OF THE UNDERDOG TO CALL THE SBA ON HER BEHALF THIS TIME SHE ASKED THE OFFICIAL HOW HE SPELLED HIS LAST NAME HE REPLIED THAT THE SBA WOULD BE TAKING NO IMMEDIATE ACTION SHE SAYS 9304130114 930413 LOOKING FOR A DIAMOND IN THE ROUGH PENTAGON HAS A MILLION CARATS FOR SALE BY WARREN GETLER STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK WHEN TIMES ARE TOUGH AT THE PENTAGON DIAMONDS CAN BE A GENERAL'S BEST FRIEND THE PENTAGON SCRAMBLING TO FIND NEW SOURCES OF REVENUE AMID IMPENDING BUDGET CUTS IS ABOUT TO UNLOAD ONE MILLION CARATS OF ROUGH INDUSTRIAL DIAMONDS SOME OF THEM OF GEM QUALITY FROM THE NATIONAL DEFENSE STOCKPILE THE US MILITARY'S OUTDATED STRATEGIC RESERVE HOW MUCH IS UNCLE SAM LIKELY TO REALIZE BY SELLING THE CROWN JEWELS THE OFFICIAL POSITION OF THE DEFENSE LOGISTICS AGENCY THE PENTAGON UNIT OVERSEEING THE SALE IS THAT WE DON'T PLACE AN ESTIMATE ON THE VALUE OF THESE STONES SAYS MARILYN BARNETT ADMINISTRATOR OF THE DEFENSE NATIONAL STOCKPILE CENTER IN ARLINGTON VA WE HAVE AN INTERNAL GOVERNMENT ESTIMATE BASED UPON TWO APPRAISALS THAT WE USE TO EVALUATE THE OFFERS WE RECEIVE THE MARKET WILL JUDGE THE VALUE OF THE MATERIAL BUT OTHER OFFICIALS AT THE DEFENSE LOGISTICS AGENCY SAY PRIVATELY THAT THE AGENCY HOPES TO RAISE BETWEEN 50 MILLION AND 100 MILLION OR BETWEEN 50 AND 100 A CARAT FROM THE AUCTION THAT ISN'T ENOUGH TO BUY A 2 BILLION B2 BOMBER BUT THE GENERALS PLAN TO USE THE PROCEEDS FOR SOME NECESSARY REPAIRS AT US BASES AROUND THE GLOBE MS BARNETT SAYS THE SALE AUTHORIZED BY CONGRESS LAST YEAR IS PART OF AN ACCELERATED SELLOFF OF THE US MILITARY'S COLD WARVINTAGE INVENTORY OF 91 STRATEGIC COMMODITIES AN ECLECTIC ASSORTMENT INCLUDING BAUXITE COBALT MANGANESE CADMIUM IODINE AND OTHER ITEMS ONCE DEEMED VITAL TO THE NATION'S GLOBAL WARFIGHTING CAPACITY INDUSTRIAL DIAMONDS ARE CONSIDERED OF STRATEGIC IMPORTANCE BECAUSE THEY ARE USED FOR GRINDING DRILLING AND WIRECUTTING IN THE AEROSPACE SHIPBUILDING AND TANKCONSTRUCTION INDUSTRIES BEFORE SYNTHETIC DIAMONDS WERE PRODUCED THE PENTAGON BOUGHT NATURALLY MINED DIAMONDS THANKS TO FALLING STANDARDS IN THE DIAMOND WORLD MANY OF THESE ARE NOW CLASSIFIED AS GEMS OR NEAR GEMS AND ARE EXPECTED TO BRING SPARKLING PRICES PENTAGON OFFICIALS POINT OUT THAT WHILE THE US MILITARY HAS SOLD DIAMONDS BEFORE NEVER HAS IT OFFERED NEARGEM TO GEM QUALITY STONES LIKE THESE DIAMOND DEALERS FAMILIAR WITH THE COLLECTION SAY THERE ARE SEVERAL HANDFULS OF GLISTENING BEAUTIES INCLUDING 300ACARAT WHITE STONES AMONG A MINDBOGGLING ASSORTMENT OF LOWERPRICED ROUGHS THE PENTAGON WILL ACHIEVE ITS SALES TARGET EASILY SAYS JACK LUNZER CHAIRMAN OF IDC HOLDINGS LTD A DIAMOND DEALER IN LONDON THE COLORS SHAPES AND GENERAL QUALITY OF THE STONES ARE QUITE DIFFERENT FROM THE NORM THIS TIME THE MATERIAL IS VERY SPECIAL AGREES BAKUL MEHTA AN INDIANBORN DIAMOND DEALER FROM BELGIUM AND A REGULAR PARTICIPANT IN PENTAGON DIAMOND SALES THE SALE COMES AMID AN IMPROVING MARKET FOR ROUGH DIAMONDS BUT A CHRONICALLY SOFT MARKET FOR HIGHERPRICED CUTANDPOLISHED STONES THE SALE PEOPLE IN THE INDUSTRY SAY WILL HAVE MINIMAL IMPACT ON THE ANNUAL 175MILLIONCARAT INDUSTRIAL MARKET WORLDWIDE AND THEY SAID IT WILL HAVE EVEN LESS OF AN IMPACT ON THE 40BILLIONAYEAR RETAIL MARKET FOR CUTANDPOLISHED DIAMOND JEWELRY ONEFOURTH OF WHICH IS BASED IN THE US BUT WITH HOPES OF SNAPPING UP SOME CHOICE PIECES DIAMOND DEALERS GEM CUTTERS AND INDUSTRIAL USERS FROM AROUND THE WORLD ARE FLOCKING TO A CITIBANK VAULT IN MANHATTAN TO OGLE THE GOODS ALL UNCUT UNPOLISHED STONES FROM ZAIRE AND BRAZILAND TO SUBMIT SEALED BIDS BEFORE THE JUNE 4 BID OPENING THE BID OPENING HAD BEEN SCHEDULED FOR MIDAPRIL BUT WAS TWICE PUSHED BACK TO ACCOMMODATE A GROWING WAVE OF INTEREST IN THE MILITARY'S DIAMOND COLLECTION MORE THAN 150 FIRMS FROM AS FAR AWAY AS BOMBAY TEL AVIV ANTWERP AND SYDNEY HAVE SIGNED UP TO VIEW THE MERCHANDISE WHILE INDUSTRY INSIDERS ARE EXPECTED TO DOMINATE THE AUCTION THE BIDDING IS OPEN TO JUST ABOUT ANYONE WITH THE EXCEPTION OF DEBEERS THE INTERNATIONAL DIAMOND CARTEL WHICH IS BANNED FROM DOING BUSINESS IN THE US ON ANTITRUST GROUNDS ALTHOUGH SOME US DIAMOND DEALERS SAY THE GEMQUALITY STONES TO BE AUCTIONED ARE TOO SMALL TO BE OF INTEREST OTHER US DEALERS ARE ANXIOUS TO GET THEIR HANDS ON THE MILITARY'S EXCESS DIAMONDS LAST MONTH A HANDFUL OF DEALERS FROM MANHATTAN'S DIAMOND DISTRICT COMPLAINED VOCIFEROUSLY THAT BECAUSE OF STRONG FOREIGN INTEREST THEY WERE UNABLE TO GET A SLOT TO VIEW THE DIAMOND COLLECTION ONE LEADING US DIAMOND BROKER MARTIN RAPPAPORT A MEMBER OF THE NEW YORK DIAMOND DEALERS CLUB WENT SO FAR AS TO ENROLL THE HELP OF NEW YORK REPRESENTATIVES IN CONGRESS TO ENSURE THE AUCTION WAS PUSHED BACK DELAYING THE SALE FOR MORE BUYERS WILL NOT HURT THE SALE MR RAPPAPORT WROTE IN A LETTER TO THE DEFENSE LOGISTICS AGENCY LIMITING THE NUMBER OF POTENTIAL BUYERS ESPECIALLY US BUYERS WILL HURT THE SALE AND IS PATENTLY UNFAIR THE PENTAGON CONCEDED THE ENTIRE STRATEGIC STOCKPILE DEPENDING ON MARKET CONDITIONS IS WORTH 7 BILLION TO 9 BILLION SAYS ROBERT M O'BRIEN DEPUTY ADMINISTRATOR OF THE DEFENSE NATIONAL STOCKPILE CENTER SOME 300 MILLION WORTH OF STOCKPILED COMMODITIES INCLUDING DIAMONDS HAS BEEN SLATED FOR SALE FOR THIS FISCAL YEAR WHILE THE SALE OF THE MILITARY'S ROUGH DIAMONDS IS GOING FORWARD IN A RECOVERING MARKET FOR ROUGHS SALES OF THE PENTAGON SURPLUS METALS ARE TAKING PLACE IN WEAK GLUTTED MARKETS IN ADDITION TO THE ONE MILLION CARATS OR ROUGHLY 440 POUNDS OF DIAMONDS BEING AUCTIONED IN JUNE ANOTHER ONE MILLION IS EXPECTED TO GO ON THE BLOCK IN SEPTEMBER LEAVING THE PENTAGON WITH ROUGHLY FIVE MILLION CARATS OF INDUSTRIALGRADE DIAMONDS IF ALL MATERIAL IS SOLD AS PLANNED BIDS THAT COME IN BELOW APPRAISED VALUES MAY BE REJECTED OFFICIALS SAY IN THE UNLIKELY EVENT THAT THE MILITARY HAS SOME URGENT NEED TO REPLENISH ITS DIAMOND STOCK AN AMPLE SUPPLY OF EQUALLY HARD AND LESSEXPENSIVE SYNTHETIC DIAMONDS IS READILY AVAILABLE ON THE OPEN MARKET THE AVAILABILITY OF THE SYNTHETIC SUPPLY WAS CERTAINLY A FACTOR IN THE DECISION TO LOWER THE NATURAL DIAMOND STOCKPILE MS BARNETT SAYS THE DIAMONDS STORED UNCEREMONIOUSLY IN ROW UPON ROW OF SEALED VESSELS RESEMBLING PICKLE JARS WERE TRANSPORTED BY ARMORED CAR EARLIER THIS YEAR TO THE CITIBANK VAULT FROM US TREASURY VAULTS IN FT KNOX KY AND WEST POINT NY CITIBANK RECEIVES 75000 A YEAR FROM THE GOVERNMENT FOR HOUSING THE EXHIBIT PROCEDURES FOR INSPECTING THE DIAMONDS ARE RIGOROUSLY ENFORCED EXAMINERS ARE ALLOWED UP TO FOUR DAYS TO INSPECT THE COLLECTION WHICH HAS BEEN SEPARATED INTO 317 DIFFERENT LOTS BASED ON QUALITY TO ENSURE THAT NO STONES ARE FILCHED IN THE PROCESS EACH SAMPLE VIAL IS WEIGHED AFTER INSPECTION FOR A BID TO BE ACCEPTED FOR CONSIDERATION A DEPOSIT EQUAL TO ONE PERCENT OF THE BID'S VALUE IS REQUIRED THIS IS BIG MONEY HERE FOR THE BIG PLAYERS ONLY SAYS ONE DIAMOND DEALER FROM LONDON WHILE INSPECTING THE GLISTENING STONES WITH A JEWELER'S LOUPE NEIL BEHRMANN IN LONDON CONTRIBUTED TO THIS ARTICLE 9304130113 930413 WHO'S NEWS TIMES MIRROR CO TIMES MIRROR CO LOS ANGELES ALEXANDER SANN 45 YEARS OLD WAS NAMED PRESIDENT AND CHIEF EXECUTIVE OFFICER OF THIS COMPANY'S MATTHEW BENDER & CO UNIT HE SUCCEEDS LARRY W PETERSON 59 WHO WAS TRANSFERRED TO THE CORPORATE OFFICES IN NEW YORK TO WORK ON SPECIAL PUBLISHING PROJECTS A TIMES MIRROR SPOKESWOMAN SAID MR SANN WAS PREVIOUSLY EXECUTIVE VICE PRESIDENT AND CHIEF OPERATING OFFICER OF MATTHEW BENDER A LAW BOOK PUBLISHING CONCERN THOSE POSTS WON'T BE FILLED THE SPOKESWOMAN SAID TIMES MIRROR HAS INTERESTS IN NEWSPAPERS TELEVISION AND PUBLISHING 9304130112 930413 WHO'S NEWS IMMUNOMEDICS INC IMMUNOMEDICS INC MORRIS PLAINS NJ DAVID M STACK 41 YEARS OLD WAS NAMED TO THE NEWLY CREATED POST OF VICE PRESIDENT OF BUSINESS DEVELOPMENT/MARKETING HE HAD BEEN A DIRECTOR OF BUSINESS DEVELOPMENT AND PLANNING AT A UNIT OF HOFFMANNLA ROCHE INC NUTLEY NJ IMMUNOMEDICS IS A BIOPHARMACEUTICAL COMPANY 9304130111 930413 HONDA RAISES PRICES ON LUXURY ACURAS DUE TO STRONG YEN DETROIT HONDA MOTOR CO'S ACURA LUXURY DIVISION RAISED THE BASE STICKER PRICE OF ITS CARS BY AS MUCH AS 400 OR 14 THE JAPANESE AUTO MAKER SAID THE INCREASES WERE NECESSARY BECAUSE OF THE YEN'S STRENGTH AGAINST THE DOLLAR THE BASE PRICE OF THE LEGEND SEDAN IS NOW 29900 UP 14 FROM THE PREVIOUS PRICE BUT THE PRICE REFLECTS A 24 OR 700 INCREASE WHEN COMPARED TO THE MODEL'S 1993 INTRODUCTORY PRICE THE BASE PRICE OF THE INTEGRA SEDAN IS 14130 UP 2 OR 275 FROM THE START OF THE CURRENT MODEL YEAR WHICH BEGAN IN OCTOBER THE MOST EXPENSIVE VIGOR THE GS WITH AUTOMATIC TRANSMISSION NOW COSTS 28000 UP 11 OR 300 FROM THE PREVIOUS PRICE ANALYSTS SAY THE PRICE INCREASES ALTHOUGH RELATIVELY SLIGHT MAY SCARE OFF SOME CONSUMERS ALREADY THE DIVISION'S SALES ARE DOWN 199 THROUGH MARCH 31 COMPARED WITH THE SAME PERIOD A YEAR AGO HONDA ALSO RAISED STICKER PRICES ON NEW ACCORD CIVIC AND PRELUDE MODELS BY AS MUCH AS 65 OR 450 ABOVE LEVELS AT THE START OF THE CURRENT MODEL YEAR SEPARATELY HONDA SAID IT IS RECALLING ALL OF ITS 1991 1992 AND 1993 MODEL ACCORD WAGONS BECAUSE THE REAR SEAT BELT CANNOT BE PULLED OUT AND FASTENED WHEN THE CAR IS PARKED ON A STEEP SLOPE ABOUT 45000 WAGONS ARE AFFECTED HONDA SAID THE BELT CAN BE OPERATED NORMALLY WHEN THE CAR IS MOVED TO LEVEL GROUND THE AUTO MAKER SAID IT ISN'T AWARE OF ANY ACCIDENTS OR INJURIES RESULTING FROM THE DEFECTIVE SEAT BELT 9304130110 930413 TECHNOLOGY & HEALTH ADOBE PLANS TO SHIP NEW TRANSFER SYSTEM ACROBAT BY LATE JUNE MOUNTAIN VIEW CALIF ADOBE SYSTEMS INC SAID IT WILL SHIP ITS ACROBAT ELECTRONICDOCUMENT SYSTEM BY THE END OF JUNE AND THAT SINGLECOPY PRICES FOR VARIOUS PIECES OF THE SYSTEM WILL RANGE FROM 50 TO 200 ADOBE HAS SHOWN OFF ACROBAT FOR MORE THAN A YEAR HOWEVER THIS IS THE FIRST TIME THE COMPANY HAS OFFERED A DELIVERY DATE ADOBE WHOSE BUSINESS IS BUILT LARGELY ON REVENUE FROM ITS POSTSCRIPT PRINTER SOFTWARE IS BETTING THAT ACROBAT WILL BECOME A STANDARD FOR DOCUMENT EXCHANGE IN THE INFORMATIONPUBLISHING FIELD TODAY IT IS DIFFICULT TO MOVE A DOCUMENT AMONG DIVERSE TYPES OF COMPUTERS WITHOUT CHANGING ITS LAYOUT AND TYPEFACES ACROBAT IS AIMED AT ALLOWING PUBLISHERS AND INFORMATION PROVIDERS TO DISTRIBUTE IDENTICAL COPIES OF ELECTRONIC DOCUMENTS SUCH AS BOOKS NEWSPAPERS AND OTHER PRODUCTS ACROSS NETWORKS OF PERSONAL COMPUTERS ACROBAT WILL BE OFFERED FOR BOTH APPLE COMPUTER INC'S MACINTOSH OPERATING SYSTEM AND MICROSOFT CORP'S WINDOWS PROGRAM IN A MOVE AIMED AT BOLSTERING ITS ACROBAT TECHNOLOGY ADOBE ALSO SAID IT SIGNED LICENSING AGREEMENTS WITH THREE CLOSELY HELD SOFTWARE COMPANIES THE AGREEMENTS GIVE ADOBE RIGHTS TO SOFTWARE THAT AMONG OTHER THINGS PROVIDES FULL SEARCHES OF DOCUMENTS SEPARATELY ADOBE SAID THAT IT IS WORKING TO MAKE ITS TYPE MANAGER PRODUCT COMPATIBLE WITH MICROSOFT CORP'S SOONTOBERELEASED WINDOWS NT OPERATING SYSTEM TYPE MANAGER IS A PROGRAM THAT IMPROVES THE APPEARANCE OF POSTSCRIPT FONTS BOTH ON A PERSONAL COMPUTER'S SCREEN AND ON PRINTERS THAT ARE NOT POSTSCRIPT COMPATIBLE 9304130109 930413 WHO'S NEWS ANADARKO PETROLEUM CORP ANADARKO PETROLEUM CORP HOUSTON RICHARD J SHARPLES 45 YEARS OLD WAS NAMED VICE PRESIDENT MARKETING OF THIS EXPLORATION AND PRODUCTION COMPANY HE SUCCEEDS LEON BRAY WHO RESIGNED TO PURSUE OTHER INTERESTS MR SHARPLES WAS VICE PRESIDENT HYDROCARBON MARKETING FOR MAXUS ENERGY CORP OF DALLAS 9304130108 930413 WHO'S NEWS DIED ROBERT B CLAYTOR 71 RETIRED CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF NORFOLK SOUTHERN CORP FRIDAY IN NORFOLK VA OF CANCER 9304130107 930413 MARKETING AGING BOOMERS ARE NEW TARGET FOR MAYBELLINE BY GABRIELLA STERN STAFF REPORTER OF THE WALL STREET JOURNAL WHILE MANY MASSMARKET COSMETICS MAKERS ARE CHASING YOUNGER WOMEN MAYBELLINE INC IS IN HOT PURSUIT OF AGING BABY BOOMERS HOPING TO WIDEN ITS TRADITIONALLY YOUTHFUL AUDIENCE MAYBELLINE WILL START A NATIONAL ADVERTISING CAMPAIGN LATER THIS MONTH FOR MAYBELLINE REVITALIZING A LINE GEARED TO WOMEN 35 AND OLDER THAT THE COMPANY SAYS WILL HELP THEM LOOK YOUNGER THE PRODUCTS ARE SOLD MAINLY IN MASS MERCHANDISERS AND DRUGSTORES THE MEMPHIS TENN COMPANY WHICH WENT PUBLIC IN DECEMBER HOPES TO CASH IN ON AN AFFLUENT AND GROWING AGE GROUP BY STEALING THEM FROM LANCOME ESTEE LAUDER AND OTHER PRESTIGE BRANDS THAT TEND TO APPEAL TO OLDER WOMEN AND ARE TYPICALLY CARRIED BY DEPARTMENT STORES THE NEW FOUNDATIONS CONCEALERS BLUSHES AND POWDERS CONTAIN MOISTURIZERS SUNSCREENS VITAMIN A AND LIGHT DIFFUSERS THAT THE COMPANY SAYS COUNTERACT OR HIDE SIGNS OF AGING MAYBELLINE SELLS REVITALIZING IN BLACK AND GOLD CASES SEEKING A MORE UPSCALE IMAGE SUITED TO BOOMERS THE COMPANY WILL MAKE AN UNUSUALLY DIRECT PITCH TO OLDER CONSUMERS IN TELEVISION AND PRINT ADS FEATURING WHAT THE COMPANY CALLS AGEAPPROPRIATE MODELS CROW'SFEET AND ALL AND THE SLOGAN THE AGEDENYING MAKEUP MAYBELLINE WILL TRY TO REACH LARGE AUDIENCES OF WHAT IT CALLS MATURE WOMEN BY RUNNING ADS DURING DESIGNING WOMEN MURDER SHE WROTE AND OTHER PROGRAMS AND IN SUCH MAGAZINES AS LADIES HOME JOURNAL AND REDBOOK THIS APPROACH IS AMBITIOUS BUT IT INVOLVES CERTAIN RISKS COSMETICS ANALYSTS SAY WOMEN MAY BE RELUCTANT TO ADMIT THEY'RE GETTING OLD AND COULD BENEFIT FROM SPECIAL FACIAL CARE OTHER COSMETICS COMPANIES HAVE SLIPPED ANTIAGING REFERENCES INTO THEIR ADS WITHOUT BUILDING PRODUCTS AND WHOLE CAMPAIGNS AROUND THE SUBJECT MAYBELLINE PRESIDENT BOB HIATT SAYS THE COMPANY IS STRIKING A BALANCE WE'RE NOT PITCHING IT AS OLDLADY MAKEUP HE SAYS WE'LL HAVE MODELS THE CONSUMER CAN IDENTIFY WITH TO HELP THEM DEAL WITH THE EFFECTS OF BEING A LITTLE OLDER DOUG HALL PRESIDENT OF RICHARD SAUNDERS INTERNATIONAL INC A NEWPRODUCT AND MARKETRESEARCH FIRM SAYS REVITALIZING'S 8 MILLION AD BUDGET FOR 1993 MAY NOT BE ENOUGH TO CONVERT CONSUMERS TO A NEW LINE THEY'RE CLEARLY GOING AFTER A LOWVOLUME NICHE MR HALL SAYS IT'LL BE HARD FOR THEM TO PERSUADE STORES TO CARRY THE LINE UNLESS THEY TURN THE PRODUCT OVER QUICKLY TO DO THAT THEY'D BEST BE READY TO SPEND AN AWFUL LOT ON ADVERTISING THERE'S ALSO A CREDIBILITY RISK MR HALL SAYS IF MAYBELLINE PROMISES THE FOUNTAIN OF YOUTH BUT DOESN'T DELIVER CUSTOMERS WILL QUICKLY DITCH THE LINE MAYBELLINE'S MR HIATT SAYS THE COMPANY IS MAKING REALISTIC CLAIMS WE'RE SELLING HOPE AND IMPROVEMENT BUT NOT MIRACLES HE SAYS EVERY CLAIM WE MAKE IS SUPPORTED BY WHAT THE PRODUCT DELIVERS AND THOUGH THE 8 MILLION AD BUDGET IS FAR FROM EXTRAVAGANT IT REPRESENTS A BIG CHUNK OF MAYBELLINE'S 60 MILLION TOTAL AD BUDGET FOR 1993 THIS WAS OUR MAJOR R&D PUSH FOR THE LAST YEAR AND A HALF MR HIATT SAYS IT'S OUR BIGGEST LAUNCH OF THE YEAR AND IS BIGGER THAN ANYTHING WE DID LAST YEAR BONITA AUSTIN AN ANALYST WITH SHEARSON LEHMAN BROTHERS INC CAUTIONS THAT BY CLIMBING THE AGE SCALE MAYBELLINE MAY LOSE ITS YOUNGER CUSTOMER BASE THE TRICKY THING WILL BE MARKETING MAYBELLINE REVITALIZING WHILE MARKETING TRADITIONAL MAYBELLINE FOR YOUNGER WOMEN MR HIATT SAYS THE COMPANY IS RAISING AD SPENDING SLIGHTLY THIS YEAR ON ITS MAINSTREAM BRANDS AND HE ADDS THAT MAYBELLINE ALREADY MARKETS SOME SEPARATE PRODUCTS FOR TEENAGERS AND YOUNG WOMEN THE REVITALIZING LAUNCH CONTRASTS WITH AN EFFORT BY SOME COSMETICS LEADERS TO PURSUE YOUNGER CONSUMERS REVLON INC ALARMED THAT ITS MASSMARKET PRODUCTS HAVE A MIDDLEAGE IMAGE IS IN THE MIDST OF A HIGHENERGY AD CAMPAIGN CARRYING THE SLOGAN SHAKE YOUR BODY AND STARRING MODELS CINDY CRAWFORD AND CLAUDIA SCHIFFER WE ARE TRYING TO ATTRACT A YOUNGER CONSUMER A REVLON SPOKESWOMAN SAYS NO QUESTION ABOUT IT MAYBELLINE IS EYEING REVLON'S CUSTOMERS BUT THE REVITALIZING LINE'S MAIN TARGET IS MATURE WOMEN WHO BUY HIGHEND PRODUCTS IN DEPARTMENT STORES SUCH AS COSMAIR INC'S LANCOME UNILEVER PLC'S ELIZABETH ARDEN AND ESTEE LAUDER INC'S BRANDS SOME OF THESE WOMEN ATTRACTED BY A PRODUCT DESIGNED FOR THEIR AGE GROUP MAY JUMP AT A CHANCE TO SAVE MONEY AND SHOP IN MORE CONVENIENT STORES LIKE WALMART MR HIATT SAYS WE'VE CONSISTENTLY SEEN MORE AND MORE WOMEN COMING TO THE MASS MARKET FOR COSMETIC NEEDS HE SAYS SO FAR AT THE MASS MARKET THE MATURE WOMAN HAS BEEN UNDERSERVED THE REVITALIZING LINE WHICH ALSO INCLUDES LIPSTICKS EYE SHADOWS AND NAIL COLORS WILL RETAIL FROM 525 TO 595 THAT'S ABOUT 20 MORE THAN MOST MAYBELLINE PRODUCTS BUT STILL IN LINE WITH SOME OF THE MASSMARKET COMPETITION TO BE SURE OTHER COSMETICS LEADERS HAVE TARGETED BABY BOOMERS PROCTER & GAMBLE CO'S COVER GIRL HAS USED OLDER MODELS SUCH AS CHERYL TIEGS TO WIDEN ITS CLIENTELE SAYS ALLAN MOTTUS A MARKETING CONSULTANT IN NEW YORK BUT FEW COSMETICS MAKERS IF ANY HAVE ADDRESSED THE AGING ISSUE SO DIRECTLY AS MAYBELLINE MAYBELLINE HAS ALWAYS BEEN STUCK IN A YOUNGER CATEGORY MR MOTTUS SAYS THE ONLY WAY FOR THEM TO GROW IS TO GO MORE MATURE AND GRAB DEPARTMENTSTORE SHOPPERS 9304130106 930413 INTERNATIONAL JAPAN MACHINE ORDERS SLIP 52 TOKYO MACHINERY ORDERS TO JAPANESE MAKERS IN FEBRUARY WERE DOWN 52 FROM A YEAR EARLIER TO 1851 TRILLION YEN 164 BILLION BEFORE ADJUSTMENT FOR SEASONAL FACTORS THE ECONOMIC PLANNING AGENCY SAID THE ORDERS ARE CONSIDERED BY ANALYSTS AS A LEADING INDICATOR OF PRIVATE OUTLAYS ON PLANT AND EQUIPMENT A CRUCIAL ENGINE OF THE ECONOMY THE 52 FALL IN UNADJUSTED MACHINERY ORDERS IN FEBRUARY EXTENDED THE YEARONYEAR DECLINE TO 11 MONTHS BUT THE PACE OF DECLINE SLOWED FROM THE DOUBLEDIGIT TEMPO SINCE OCTOBER THE FEBRUARY DROP FOLLOWED DECLINES OF 11 IN JANUARY 12 IN DECEMBER 21 IN NOVEMBER AND 24 IN OCTOBER 9304130104 930413 BUSINESS BRIEF ALLIED RESEARCH SHARES RISE AS HOLDER EXPRESSES INTEREST IN BUYING REST OF FIRM BALTIMORE SHARES OF ALLIED RESEARCH CORP JUMPED 12 IN TRADING ON THE AMERICAN STOCK EXCHANGE AFTER A MINORITY SHAREHOLDER EXPRESSED AN INTEREST IN OFFERING TO ACQUIRE THE MUNITIONS MAKER FOR 1650 A SHARE THE POSSIBLE TAKEOVER BID WAS RAISED BY FLORIDA BUSINESSMAN MALCOLM S GLAZER WHO CONTROLS FIRST ALLIED CORP A CLOSELY HELD ROCHESTER NY INVESTMENT FIRM MR GLAZER SAID FIRST ALLIED OWNS ABOUT 9 OF ALLIED RESEARCH'S 46 MILLION SHARES ALLIED RESEARCH SHARES CLOSED AT 1475 UP 1625 IN TRADING ON THE AMERICAN STOCK EXCHANGE YESTERDAY THE BID CAME AS ALLIED RESEARCH CHIEF EXECUTIVE AND CHAIRMAN JR SCULLEY IS IN THE HOSPITAL RECOVERING FROM HEARTBYPASS SURGERY FORMER CHAIRMAN REINALD CARTER NOW A CONSULTANT TO THE COMPANY MET YESTERDAY WITH MR GLAZER AND SAID THROUGH A SPOKESMAN THAT ALLIED RESEARCH'S DIRECTORS PLAN TO MEET LATER THIS WEEK TO CONSIDER FIRST ALLIED'S INTEREST MR GLAZER IN THE PAST HAS TAKEN POSITIONS IN SEVERAL COMPANIES AND PROPOSED TAKEOVERS INCLUDING HARLEYDAVIDSON INC AND FORMICA CORP IN THOSE TWO CASES HE LATER SOLD HIS SHARES HE DIDN'T RETURN A PHONE CALL SEEKING COMMENT MR GLAZER HAS A 40 INTEREST IN OIL AND GAS SERVICE COMPANY ZAPATA CORP AND HE AND HIS FAMILY REPORTEDLY HAVE BEEN NEGOTIATING TO BRING A NATIONAL FOOTBALL LEAGUE EXPANSION TEAM TO BALTIMORE THE MUNITIONS COMPANY BELIEVED TO BE A LARGE SUPPLIER OF ARMS TO SAUDI ARABIA JUST LAST WEEK STRENGTHENED A SHAREHOLDER RIGHTS PLAN INITIALLY ADOPTED TWO YEARS AGO TO THWART ANY TAKEOVER ATTEMPTS BY SAUDI INVESTOR KUSAI HM AL AZZAWI MR AZZAWI WHO HAS HELD AS MUCH AS 22 OF ALLIED RESEARCH NOW OWNS ABOUT 15 AND THE COMPANY YESTERDAY SAID IT AGREED TO BUY 350000 SHARES FROM THE SAUDI INVESTOR THE COMPANY DECLINED TO SAY HOW MUCH IT AGREED TO PAY FOR THE SHARES INSTITUTIONAL MONEY MANAGERS WITH HOLDINGS IN ALLIED RESEARCH CONSIDER THE SHARES CHEAP AT RECENT PRICES SELLING AT ABOUT THREE TIMES ITS 1992 EARNINGS OF 399 A SHARE BEFORE FIRST ALLIED EXPRESSED ITS INTEREST IN THE COMPANY IN 1992 ALLIED RESEARCH HAD NET INCOME OF 18 MILLION ON REVENUE OF 2173 MILLION 9304130103 930413 DISSIDENT IN SUIT CLAIMS ICN'S PANIC VIOLATED LICENSE BY RHONDA L RUNDLE STAFF REPORTER OF THE WALL STREET JOURNAL A DISSIDENT SHAREHOLDER OF ICN PHARMACEUTICALS INC CHARGED IN A LAWSUIT THAT CHAIRMAN MILAN PANIC VIOLATED TERMS OF A US GOVERNMENT LICENSE THAT ALLOWED HIM TO SERVE AS PRIME MINISTER OF YUGOSLAVIA THE SHAREHOLDER RAFI M KHAN IS PRESSING AN EFFORT TO OUST MR PANIC AND INSTALL HIMSELF AND A NEW BOARD AT THE COSTA MESA CALIF COMPANY THE ALLEGATION WAS MADE IN A COUNTERSUIT TO ONE IN WHICH ICN HAS CHARGED MR KHAN WITH VARIOUS SECURITIESLAW VIOLATIONS INCLUDING USING INSIDE INFORMATION HE OBTAINED AT HIS FORMER STOCK BROKERAGE FIRM MR KHAN HAS DENIED THOSE CHARGES MEANWHILE A FEDERAL COURT JUDGE IN NEW YORK ISSUED AN ORDER TEMPORARILY BLOCKING MR KHAN FROM SOLICITING SUPPORT FOR HIS FIGHT FROM OTHER SHAREHOLDERS JUDGE JOHN SPRIZZO ISSUED THE ORDER FROM THE BENCH ON THURSDAY BUT DIDN'T SIGN IT UNTIL YESTERDAY SAID ARNOLD I BURNS A NEW YORK ATTORNEY REPRESENTING ICN A HEARING ON ICN'S REQUEST TO TURN THE ORDER INTO A PRELIMINARY INJUNCTION IS SET FOR THIS MORNING IN FEDERAL COURT BOTH SIDES ARE EXPECTED TO PUT FORTH A NUMBER OF WITNESSES MR BURNS DENIED THAT MR PANIC VIOLATED HIS US LICENSE CALLING THE CHARGES STUFF AND NONSENSE THE LICENSE WAS CAREFULLY MONITORED BY TOP PEOPLE IN THE GOVERNMENT AND THE PRIVATE SECTOR THE ATTORNEY SAID MR KHAN'S COUNTERCLAIM CONTAINING THE CHARGES FILED YESTERDAY IN A FEDERAL COURT IN NEW YORK MIGHT ITSELF VIOLATE THE COURT ORDER MR BURNS SAID AN OFFICIAL AT THE TREASURY DEPARTMENT WHICH ISSUED THE GOVERNMENT LICENSE TO MR PANIC LAST SUMMER DECLINED ALL COMMENT MR PANIC TOOK A LEAVE OF ABSENCE AS PRESIDENT AND CHIEF EXECUTIVE OFFICER OF ICN AND ITS SUBSIDIARIES BETWEEN JULY 1992 AND MARCH 1993 TO BECOME PRIME MINISTER OF THE FEDERAL REPUBLIC OF YUGOSLAVIA THE SERBIANDOMINATED NATION LEFT AFTER THE POSTWAR ALLIANCE THAT INCLUDED BOSNIA AND CROATIA BROKE APART UNDER THE GOVERNMENT LICENSE THAT PERMITTED MR PANIC TO ACCEPT THE YUGOSLAV POSITION HE WAS SPECIFICALLY BARRED FROM ENGAGING IN ANY BUSINESS WITH ICN MR KHAN'S COUNTERCLAIM CHARGES MR PANIC WITH BREACH OF FIDUCIARY DUTIES SLANDER AND INTERFERENCE WITH ECONOMIC RELATIONS WHILE HE WAS YUGOSLAV PRIME MINISTER MR PANIC HAD REGULAR TELEPHONE CONVERSATIONS AND ATTENDED MEETINGS WITH ICN OFFICERS AND DIRECTORS ACCORDING TO THE SUIT NOT ONLY DID PANIC ATTEND THESE MEETINGS HE ACTIVELY PARTICIPATED IN AND DIRECTED THE MEETINGS THE SUIT SAID ON JAN 28 1993 WHILE STAYING AT A HOTEL IN BUDAPEST WITH ADAM JERNEY PRESIDENT AND CHIEF EXECUTIVE OFFICER AND DAVID WATT VICE PRESIDENT AND GENERAL COUNSEL PANIC PARTICIPATED IN THE PRICING AND OTHER BUSINESS MATTERS RELATED TO AN OFFERING OF THE STOCK OF VIRATEK INC AN ICN SUBSIDIARY ACCORDING TO THE SUIT DURING A TWOWEEK PERIOD IN THE BEGINNING OF JANUARY MR PANIC WORKED FULL TIME AT ICN'S HEADQUARTERS AND HELD SEVERAL BUSINESS MEETINGS RELATING TO ICN THE SUIT STATES AS A RESULT OF A HEATED EXCHANGE THAT OCCURRED AT ONE OF THOSE MEETINGS FRED ANDREA PRESIDENT OF ONE OF ICN'S AFFILIATED COMPANIES RESIGNED THE SUIT SAYS KHAN'S COUNTERCLAIM IS A SHAREHOLDERS' DERIVATIVE ACTION ON BEHALF OF ICN THE SUIT SEEKS AGGREGATE DAMAGES OF 29 MILLION PLUS ATTORNEY FEES AND OTHER COSTS 9304130102 930413 FIRST CHICAGO SELLS BUYOUT LOANS CHICAGO FIRST CHICAGO CORP SOLD 300 MILLION IN LEVERAGED BUYOUT LOANS AND EQUITY INVESTMENTS TO IFINT DIVERSIFIED HOLDINGS INC FIRST CHICAGO SAID THE SALE WOULD NOT HAVE A MATERIAL EFFECT ON ITS FIRSTQUARTER EARNINGS BECAUSE IT ALREADY CARRIES THE INVESTMENTS AT THEIR MARKET VALUE FIRST CHICAGO STILL HAS ROUGHLY 12 BILLION OF VENTURE CAPITAL LOANS AND INVESTMENTS ON ITS BOOKS THE COMPANY IS IN THE PROCESS OF SLOWLY LIQUIDATING THE HOLDINGS 9304130101 930413 CALL OFF YOUR DOGS HE REQUESTS AND THUS FINDS HIMSELF UP A TREE BY CHARLES MCCOY STAFF REPORTER OF THE WALL STREET JOURNAL BOYD GIBBONS KNEW HE WOULD BE HOUNDED BY CONTROVERSY WHEN HE BECAME CALIFORNIA'S TOP FISH AND GAME REGULATOR LAST YEAR BUT HE DIDN'T EXPECT A BEAR BRAWL MR GIBBONS DIRECTOR OF THE STATE'S DEPARTMENT OF FISH AND GAME IS UNDER FIRE FROM HUNTING GROUPS GUN FANS DOG LOVERS AND A FAIR PORTION OF THE HUNTING AND FISHING PRESS BECAUSE HE WANTS TO BAN THE USE OF PACKS OF HOUNDS TO CHASE BLACK BEARS UP TREES ONCE TREED A BEAR IS DEFENSELESS AND SWIFTLY DISPATCHED BY HUNTERS AT POINTBLANK RANGE ABOUT 70 OF THE 1250 BEARS THE STATE PERMITS TO BE KILLED BY HUNTERS EACH YEAR ARE BAGGED AFTER A DOG CHASE MR GIBBONS FOR ONE THINKS THIS PRACTICE IS SOMETHING LESS THAN SPORTING A HUNTER HIMSELF HE RECENTLY TOLD THE STATE WILDLIFE PANEL THAT OVERSEES HIS DEPARTMENT THAT HUNTERS MUST BE WILLING TO EXAMINE THE ETHICAL BOUNDARIES OF THE WAYS WE HUNT THIS KIND OF TALK HAS A LOT OF BEAR HUNTERS UP IN ARMS GARY WEST DIRECTOR OF CALIFORNIA HOUNDSMEN A LOBBYING GROUP FOR THE HUNTBYDOG ENTHUSIASTS ARGUES THAT CRITICS OF THE TECHNIQUE ARE GETTING CARRIED AWAY BY EMOTION SCIENTIFIC DATA HE SAYS SHOW THAT TREEING BEARS BEFORE SHOOTING THEM IS MORE HUMANE THAN BLASTING AWAY FROM A DISTANCE WHEN YOU HAVE A BEAR IN A TREE YOU CAN DETERMINE WHETHER IT'S A SOW A MALE OR WHETHER IT'S A SOW WITH CUBS WHICH MAY LEAD A HUNTER TO SPARE THE ANIMAL HE SAYS CALIFORNIA HOUNDSMEN DEMANDS THAT MR GIBBONS WITHDRAW HIS PROPOSED BAN ON USING DOGS IN BEAR HUNTS AND RESIGN IMMEDIATELY OUR WILDLIFE OUR RESOURCES AND OUR CHILDREN DESERVE NOTHING LESS DECLARES A STATEMENT FROM THE GROUP SOME PEOPLE THINK BEARS DO DESERVE SOMETHING LESS THEY CERTAINLY DON'T DESERVE TO BE TORMENTED BY SNARLING HOUNDS SO SOME SOCALLED SPORTSMAN CAN HAVE A TROPHY FOR HIS WALL SAYS WAYNE PACELLE NATIONAL DIRECTOR OF THE FUND FOR ANIMALS AN ANIMALRIGHTS GROUP THAT IS PUSHING FOR PENDING STATE LEGISLATION THAT WOULD BAN USING DOGS TO HUNT BEARS SEVEN STATES ALREADY HAVE SUCH A PROHIBITION THE FLAP RECALLS AN EARLIER CALIFORNIA CONSERVATION CONTROVERSY INVOLVING MOUNTAIN LIONS WHICH HUNTERS ALSO FREQUENTLY PURSUE WITH DOGS THE HUNTERS LOST THAT ROUND IT IS NOW ILLEGAL IN CALIFORNIA TO KILL BIG CATS WITH OR WITHOUT DOGS 9304130100 930413 SOFTWARE CONCERN AND SOME OFFICERS ACCUSED IN SUITS BY ELEENA DE LISSER STAFF REPORTER OF THE WALL STREET JOURNAL SHAREHOLDERS HAVE FILED FOUR LAWSUITS AGAINST POLICY MANAGEMENT SYSTEMS CORP AND SOME OF ITS EXECUTIVES CHARGING THEM WITH INSIDER TRADING AMONG OTHER THINGS THE COMPANY SAID THREE OF THE SUITS FILED IN A FEDERAL COURT IN COLUMBIA SC LAST WEEK CONTAIN ALLEGATIONS THAT THE COMPANY'S TOP EXECUTIVES INCLUDING GEORGE LARRY WILSON PRESIDENT MISREPRESENTED THE COMPANY'S FINANCIAL HEALTH THE COMPLAINTS ALLEGE THAT THE EXECUTIVES KNEW FOR MONTHS THAT EARNINGS GROWTH WASN'T GOING TO BE AS STRONG AS EXPECTED AND USED THIS INSIDE KNOWLEDGE TO THEIR OWN BENEFIT BY SELLING LARGE AMOUNTS OF THEIR STOCK LAST YEAR SOME OF THE SHARES AS RECENTLY AS LAST NOV 25 THE COMPANY'S STOCK PLUMMETED 46 LAST WEEK AFTER THE COMPANY DISCLOSED THAT FIRSTQUARTER EARNINGS WEREN'T AS STRONG AS EXPECTED ONE OF THE SUITS ALLEGES THAT BETWEEN MAY 26 1992 AND LAST TUESDAY MR WILSON SOLD 71584 SHARES FOR A PROFIT OF ABOUT 54 MILLION DONALD A COGGIOLA EXECUTIVE VICE PRESIDENT SOLD 31958 SHARES FOR A PROFIT OF 24 MILLION THE LAWSUIT ALLEGES ROBERT L GRESHAM EXECUTIVE VICE PRESIDENT SOLD 15000 SHARES FOR A PROFIT OF 12 MILLION CHARLES F CALLAHAN ALSO EXECUTIVE VICE PRESIDENT SOLD 19500 SHARES FOR A PROFIT OF 12 MILLION IN THE SAME PERIOD THE LAWSUIT ALLEGES POLICY MANAGEMENT A PROVIDER OF SOFTWARE AND RELATED SERVICES TO THE INSURANCE INDUSTRY SAID IN A STATEMENT THAT IT DISAGREES WITH THE ALLEGATIONS AND INTENDS TO VIGOROUSLY DEFEND THE SUIT THE EXECUTIVES COULDN'T BE REACHED FOR COMMENT BUT JAMES P BROWN GENERAL COUNSEL FOR THE COMPANY BASED IN BLYTHEWOOD SC SAID THE EXECUTIVES SOLD SOME OF THEIR SHARES BECAUSE THEY WERE ANTICIPATING AN UNFAVORABLE TAX CLIMATE UNDER THE CLINTON ADMINISTRATION ONE LAWSUIT ALLEGES AMONG OTHER THINGS THAT THE COMPANY ISSUED A SERIES OF STATEMENTS THROUGH MARCH ASSURING STOCKHOLDERS THAT THE COMPANY WAS MEETING ITS INTERNAL FINANCIAL GOALS AND GROWTH TARGETS AND THAT IT WAS ENCOUNTERING STRONG DEMAND FOR ITS PRODUCTS AND SERVICES POLICY MANAGEMENT LAST WEEK BLAMED ITS DISAPPOINTING RESULTS ON CUSTOMER CAUTION AND UNCERTAINTY ABOUT THE IMPLICATIONS OF HEALTHCARE REFORM IT ALSO SAID SEVERAL EXPECTED CONTRACTS HADN'T CLOSED WHILE ANOTHER CONTRACT WITH THE NEW JERSEY MARKET TRANSITION FACILITY WAS WINDING DOWN QUICKER THAN ORIGINALLY ANTICIPATED THE COMPANY ANNOUNCED THEN THAT FIRSTQUARTER REVENUE COULD BE 14 MILLION TO 15 MILLION BELOW ITS FORECAST OF 135 MILLION TO 136 MILLION AND THAT PERSHARE EARNINGS COULD DROP 26 CENTS TO 28 CENTS BELOW ITS EXPECTATION OF 70 CENTS A SHARE THE COMPANY ADDED THAT FIRSTQUARTER RESULTS WOULD INCLUDE PRETAX NET GAINS ON INVESTMENT SECURITIES OF ABOUT 28 MILLION YESTERDAY IN NEW YORK STOCK EXCHANGE COMPOSITE TRADING THE STOCK CLOSED AT 45 A SHARE UNCHANGED ON VOLUME OF 179600 SHARES 9304130099 930413 TECHNOLOGY & HEALTH FDA PANEL APPROVES ELI LILLY'S WIRE TO INSTALL DEVICE TO CURB FAST HEARTBEAT BY THOMAS M BURTON STAFF REPORTER OF THE WALL STREET JOURNAL A FOOD AND DRUG ADMINISTRATION ADVISORY PANEL APPROVED AN ELECTRIC WIRE OR LEAD THAT IS EXPECTED TO SIGNIFICANTLY LESSEN THE DANGER AND COST OF SURGERY TO INSTALL CARDIAC MACHINES FOR RACING HEARTBEATS THE PANEL RECOMMENDED THAT THE FDA CLEAR THE SOCALLED TRANSVENOUS LEAD MANUFACTURED BY ELI LILLY & CO'S CARDIAC PACEMAKERS INC UNIT IN ST PAUL MINN THIS LEAD CAN BE THREADED THROUGH A VEIN INTO A PATIENT'S HEART TO ATTACH A DEVICE TO COUNTER TOORAPID HEARTBEATS WHILE THE PROCESS IS BY NO MEANS SIMPLE IT IS FAR LESS DANGEROUS THAN OPENCHEST SURGERY CALLED A THORACOTOMY CURRENTLY REQUIRED TO INSTALL THE CARDIAC DEVICES OPENCHEST SURGERY REQUIRES SEVERAL MORE DAYS IN THE HOSPITAL AND IN SOME PATIENTS CAN LEAD TO PNEUMONIA EXCESSIVE BLEEDING AND EVEN HEART FAILURE THE MORTALITY RATE RELATED TO A THORACOTOMY IS 3 TO 5 SAYS CAROL WINSLOW A MEDICAL DEVICE ANALYST WITH VECTOR SECURITIES INTERNATIONAL TO BE ABLE TO ELIMINATE A PROCEDURE WITH THAT KIND OF MORTALITY IS A BIG ACCOMPLISHMENT IN TODAY'S CLIMATE OF INTENSE PRICEAWARENESS IN MEDICINE THE NEWLY RECOMMENDED LEAD HAS OTHER ADVANTAGES AS WELL FERDINAND J VENDITTI JR CHIEF OF CARDIOLOGY AT THE LAHEY CLINIC IN BURLINGTON MASS SAYS A TYPICAL PATIENT WHO UNDERGOES THE SIMPLER PROCEDURE GETS A HOSPITAL BILL THAT IS ABOUT 7500 LOWER THAN BILLS FOR PATIENTS WHO GET OPENCHEST SURGERY THE RECOMMENDATION OF THE ADVISORY PANEL ISN'T BINDING ON THE FDA BUT THE AGENCY GENERALLY TENDS TO FOLLOW SUCH ADVICE THE LEAD IS DESIGNED TO CONNECT THE HEART TO A DEVICE KNOWN AS AN IMPLANTABLE DEFIBRILLATOR THE DEFIBRILLATOR USES ELECTRIC IMPULSES TO SLOW DOWN HEARTBEATS THAT HAVE BECOME TOO RAPID AN ESTIMATED 250000 PEOPLE IN THE US SUFFER FROM RAPID HEARTBEATS KNOWN AS VENTRICULAR TACHYCARDIA THESE SPELLS WHICH CAUSE DIZZINESS WEAKNESS AND NAUSEA ALSO LEAD IN MANY PATIENTS TO A GENERALLY FATAL MUCH FASTER HEARTBEAT CALLED VENTRICULAR FIBRILLATION THE PANEL'S APPROVAL OF THE LILLY LEAD IS THE COMPANY'S FIRST POSITIVE DEVELOPMENT IN SOME TIME IT HAS INCURRED A BARRAGE OF BAD NEWS ESPECIALLY IN ITS MEDICAL DEVICE DIVISION CLEARANCE BY THE FDA WOULD OF COURSE BE A BOON TO LILLY BUT THE QUESTION IS WHETHER IT WOULD BE A MAJOR BOON A COMPETITOR MEDTRONIC INC OF MINNEAPOLIS ALREADY HAS ENTERED THE US MARKET WITH AN ADVANCED THREESTAGE DEFIBRILLATOR THAT IS SUPERIOR TO THE RELATIVELY RUDIMENTARY DEVICE LILLY CURRENTLY SELLS IN THE US LILLY ISN'T EXPECTED TO HAVE A COMPETING PRODUCT ON THE MARKET DOMESTICALLY UNTIL PROBABLY SOMETIME IN 1994 BUT LILLY WILL BE ABLE TO COMBINE ITS NEW LEAD IF APPROVED BY THE FDA WITH ITS OLDER DEVICES AND ENGENDER SOME NEW SALES AND ANOTHER COMPANY THAT MAKES AN ADVANCED THREESTAGE DEFIBRILLATOR VENTRITEX INC OF SUNNYVALE CALIF HOPES TO GET FDA APPROVAL SOON FOR ITS MACHINE AND THEN COMBINE IT WITH THE ADVANCED LILLY LEAD HOWEVER ANALYSTS ARE PREDICTING THAT MEDTRONIC LIKELY WILL MAINTAIN THE UPPER HAND IN THIS EXPANDING MARKET WHICH COULD REACH 1 BILLION OR MORE IN ANNUAL SALES THIS DECADE FOR ONE THING MEDTRONIC ITSELF WAS ONLY ABOUT THREE MONTHS BEHIND LILLY IN APPLYING FOR FDA APPROVAL FOR ITS OWN TRANSVENOUS LEAD FOR ANOTHER MEDTRONIC'S POTENT SALES FORCE HAS ALREADY BEEN RACKING UP SALES IN THE US AND EUROPE AT LILLY'S EXPENSE ANALYSTS SAY MEDTRONIC IS QUICKLY CONVERTING DOCTORS WHO HAD BEEN DEVOTED TO THE LILLY DEVICE SAYS MS WINSLOW THEIR PRIORITY HAS BEEN TO GO AFTER LILLY CUSTOMERS IN EUROPE MEDTRONIC'S MARKET SHARE HAS GONE FROM ZERO TO 50 IN ONE YEAR 9304130098 930413 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 BALTIMORE GAS & ELECTRIC CO 100 MILLION OF FIRST AND REFUNDING MORTGAGE BONDS DUE APRIL 15 2023 WON BY LEHMAN BROTHERS THE BONDS WILL BE REOFFERED AS 7 1/2 S AT 9956 TO YIELD 7537 ACCORDING TO MCM CORPORATEWATCH THE ISSUE NONCALLABLE FOR FIVE YEARS WAS PRICED AT A SPREAD OF 076 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR BOND THE ISSUE IS RATED SINGLEA1 BY MOODY'S INVESTORS SERVICE AND SINGLEAPLUS BY STANDARD & POOR'S CHESAPEAKE & POTOMAC TELEPHONE CO OF VIRGINIA 75 MILLION OF DEBENTURES DUE APRIL 15 2024 PRICED AS 725S AT 99094 TO YIELD 7324 ACCORDING TO MCM CORPORATEWATCH THE ISSUE NONCALLABLE FOR 10 YEARS WAS PRICED AT A SPREAD OF 055 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR BOND RATED TRIPLEA BY MOODY'S AND DOUBLEAPLUS BY S&P THE ISSUE WILL BE SOLD THROUGH LEHMAN BROTHERS CHESAPEAKE & POTOMAC TELEPHONE CO OF VIRGINIA IS A UNIT OF BELL ATLANTIC CORP INTEGRA FINANCIAL CORP 100 MILLION OF SUBORDINATED NOTES DUE APRIL 15 2000 PRICED AS 6 1/2S AT 99639 TO YIELD 6565 THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 107 PERCENTAGE POINT ABOVE THE WHENISSUED TREASURY SEVENYEAR NOTE RATED BAA3 BY MOODY'S AND TRIPLEB BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY FIRST BOSTON CORP INTERNATIONAL LEASE FINANCE CO 100 MILLION OF NOTES DUE OCT 15 1997 PRICED TO FLOAT INITIALLY AT A SPREAD OF 04 PERCENTAGE POINT ABOVE THE THREEMONTH LONDON INTERBANK OFFERED RATE ACCORDING TO MCM CORPORATEWATCH THE NOTES WILL BE REOFFERED TO FLOAT QUARTERLY AT A SPREAD OF 0375 PERCENTAGE POINT ABOVE THREEMONTH LIBOR INTEREST WILL BE PAID QUARTERLY THE NONCALLABLE ISSUE IS RATED SINGLEA2 BY MOODY'S AND SINGLEAPLUS BY S&P THE NOTES WILL BE SOLD THROUGH LEHMAN BROTHERS PNC BANK NA 200 MILLION OF BANK NOTES DUE APRIL 19 1994 PRICED AS 3 1/4S AT 99985 TO YIELD 3265 ACCORDING TO MCM CORPORATEWATCH THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 005 PERCENTAGE POINT ABOVE THE TREASURY ONEYEAR BILL RATED DOUBLEA3 BY MOODY'S AND SINGLEAPLUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO PUBLIC SERVICE CO OF OKLAHOMA 135 MILLION TWOPART ISSUE OF FIRST MORTGAGE BONDS PRICED THROUGH DEALERS LED BY MERRILL LYNCH & CO ACCORDING TO MCM CORPORATEWATCH THE FIRST PART CONSISTING OF 35 MILLION OF FIRST MORTGAGE BONDS DUE APRIL 1 2003 WAS PRICED AS 6 1/4S AT 99164 TO YIELD 6364 THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 045 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE THE SECOND PART CONSISTING OF 100 MILLION OF FIRST MORTGAGE BONDS DUE APRIL 1 2023 WAS PRICED AS 7 3/8S AT 98568 TO YIELD 7495 THE BONDS NONCALLABLE FOR 10 YEARS WERE PRICED AT A SPREAD OF 07 PERCENTAGE POINT ABOVE THE TREASURY 30YEAR BOND BOTH PARTS ARE RATED DOUBLEA2 BY MOODY'S AND DOUBLEAMINUS BY S&P PUBLIC SERVICE CO OF OKLAHOMA IS A UNIT OF CENTRAL & SOUTH WEST CORP QUANTUM CHEMICAL CORP 300 MILLION OF FIRST MORTGAGE NOTES DUE JUNE 1 2003 PRICED AT PAR TO YIELD 10375 ACCORDING TO MCM CORPORATEWATCH THE SIZE OF OFFERING WAS RAISED FROM A PLANNED 250 MILLION THE NOTES NONCALLABLE FOR FIVE YEARS ARE RATED BA3 BY MOODY'S AND SINGLEBPLUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY DILLON READ & CO WACHOVIA CORP 250 MILLION OF SUBORDINATED NOTES DUE APRIL 15 2003 WAS PRICED AS 6 3/8S AT 9923 TO YIELD 6481 THE NONCALLABLE ISSUE WAS PRICED AT A SPREAD OF 06 PERCENTAGE POINT ABOVE THE TREASURY 10YEAR NOTE RATED SINGLEA1 BY MOODY AND DOUBLEAMINUS BY S&P THE ISSUE WILL BE SOLD THROUGH UNDERWRITERS LED BY MERRILL LYNCH & CO GLENDALE ARIZ 729 MILLION SERIES 1993 BONDS PRICED BY A SMITH BARNEY HARRIS UPHAM & CO INC GROUP THE ISSUE INCLUDES 568 MILLION GENERAL OBLIGATION REFUNDING BONDS WHICH HAVE BEEN PRICED TO YIELD FROM 24 IN 1993 TO 55 IN 2007 THOSE BONDS ARE INSURED BY THE FINANCIAL GUARANTY INSURANCE CO AND CARRY TRIPLEA RATINGS FROM MOODY'S AND S&P THERE ARE ALSO 161 MILLION STREET AND HIGHWAY USER REFUNDING BONDS WHICH HAVE BEEN PRICED TO YIELD FROM 25 IN 1993 TO 52 IN 2003 MOODY'S HAS RATED THESE BONDS SINGLEA1 AND S&P HAS RATED THEM SINGLEAPLUS METROPOLITAN WATER RECLAMATION DISTRICT OF GREATER CHICAGO 470 MILLION SERIES 1993 BONDS PRICED BY A FIRST CHICAGO CAPITAL MARKETS INC GROUP INCLUDED IN THE ISSUE ARE THE FOLLOWING 220 MILLION GENERAL OBLIGATION REFUNDING BONDS WHICH HAVE BEEN PRICED TO YIELD FROM 4 IN 1996 TO 55 IN 2006 AND 250 MILLION CAPITAL IMPROVEMENT BONDS WHICH HAVE YIELDS THAT RANGE FROM 46 IN 1998 TO 57 IN 2012 ALL OF THE BONDS ARE NONCALLABLE THE OFFERING IS EXPECTED TO BE RATED DOUBLEA BY BOTH MOODY'S AND S&P NEWPORT NEWS VA 876 MILLION SERIES 1993B BONDS PRICED BY A WHEAT FIRST SECURITIES INC GROUP THE OFFERING INCLUDES 667 MILLION GENERAL IMPROVEMENT REFUNDING GENERAL OBLIGATION BONDS WHICH HAVE BEEN PRICED TO YIELD FROM 25 IN 1993 TO 565 IN 2009 THERE ARE ALSO 209 MILLION WATER REFUNDING GENERAL OBLIGATION BONDS WHICH HAVE YIELDS THAT RANGE FROM 25 IN 1993 TO 56 IN 2008 MOODY'S HAS RATED THE ISSUE DOUBLEA AND S&P HAS RATED IT DOUBLEAMINUS FEDERAL HOME LOAN MORTGAGE CORP 575 MILLION OF REAL ESTATE MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY KIDDER PEABODY & CO THE OFFERING SERIES GOLD 1519 IS BACKED BY FREDDIE MAC GOLD 15YEAR 7 MORTGAGE SECURITIES THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF 765 AND WEIGHTED AVERAGE REMAINING TERM TO MATURITY OF 1475 YEARS FEDERAL NATIONAL MORTGAGE ASSOCIATION 500 MILLION OF REAL ESTATE MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY LEHMAN BROTHERS THE OFFERING SERIES 199369 IS BACKED BY FANNIE MAE 7 MORTGAGE SECURITIES THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF 77 AND WEIGHTED AVERAGE REMAINING TERM TO MATURITY OF 2975 YEARS FEDERAL NATIONAL MORTGAGE ASSOCIATION 300 MILLION OF REAL ESTATE MORTGAGE INVESTMENT CONDUIT SECURITIES OFFERED BY UBS SECURITIES THE OFFERING SERIES 199368 IS BACKED BY FANNIE MAE 15YEAR 7 MORTGAGE SECURITIES THE COLLATERAL HAS A WEIGHTED AVERAGE COUPON RATE OF 765 AND WEIGHTED AVERAGE REMAINING TERM TO MATURITY OF 1475 YEARS 9304130097 930413 TECHNOLOGY & HEALTH TANDY'S GRID ADDS TO DIRECTRESPONSE MARKETING EFFORTS BY HAL LANCASTER STAFF REPORTER OF THE WALL STREET JOURNAL WESTLAKE TEXAS GRID SYSTEMS CORP PART OF THE MANUFACTURING OPERATIONS THAT TANDY CORP IS PLANNING TO SPIN OFF ANNOUNCED THAT IT WAS INTENSIFYING ITS DIRECTRESPONSE MARKETING EFFORTS WITH THE CREATION OF AN ONLINE COMPUTER ORDERING SERVICE THAT WILL TIE MAJOR CUSTOMERS DIRECTLY TO ITS MANUFACTURING FACILITY THE COMPANY ALSO SAID IT WAS EXPANDING THE DIRECTMAIL OPERATION IT HAS BEEN EXPERIMENTING WITH THIS YEAR OFFERING A MUCHWIDER VARIETY OF PRODUCTS TO A LARGER BASE OF CUSTOMERS VIA CATALOGS AND AN 800NUMBER TELEPHONE LINE AS PART OF THIS MARKETING SHIFT THE COMPANY WHICH HAS A REPUTATION FOR HIGHQUALITY HIGHPRICED MACHINES HAS LOWERED PRICES ON MOST OF ITS PRODUCT LINE BY 20 TO 30 SAID ROSENDO PARRA WHO HAS BEEN NAMED VICE PRESIDENT GENERAL MANAGER FOR GRID DIRECT A NEW BUSINESS UNIT CREATED TO MANAGE THE DIRECTRESPONSE MARKETING EFFORTS FOR EXAMPLE GRID ANNOUNCED THAT AS A SPECIAL PROMOTION IN CONNECTION WITH THE GRID DIRECT LAUNCH IT IS OFFERING ITS CONVERTIBLE NOTEBOOK COMPUTER WHICH USES BOTH A PEN AND A KEYBOARD TO ENTER DATA FOR 2499 UNTIL MAY 31 THROUGH GRID DIRECT THE COMPANY SAID THE COMPUTER BEING OFFERED WILL INCLUDE SLATE CORP'S APPLICATIONS SOFTWARE FOR PENBASED COMPUTERS A SIMILARLY CONFIGURED MACHINE WITHOUT THE 349 SLATE SOFTWARE PREVIOUSLY SOLD FOR 2999 THROUGH THE COMPANY'S EXPERIMENTAL 800NUMBER PHONE LINE AND 3499 THROUGH THE COMPANY'S OTHER MARKETING CHANNELS WHILE THE SPINOFF OF THE MANUFACTURING OPERATIONS TE ELECTRONICS INC ISN'T EXPECTED TO BE COMPLETED UNTIL LATER THIS SUMMER GRID'S ANNOUNCEMENT HINTS AT THE AGGRESSIVENESS THE TE OPERATIONS ARE HOPING TO GAIN WHEN SEPARATED FROM TANDY'S RETAILING OPERATIONS MR PARRA SAID THIS KIND OF DIRECTRESPONSE MARKETING WASN'T POSSIBLE BEFORE BECAUSE OF CONFLICTS WITH THE MARKETING EFFORTS OF RADIO SHACK TANDY'S FLAGSHIP ELECTRONICS RETAILING CHAIN THAT WAS ONE OF THE REASONS FOR THE SPINOFF HE SAID MR PARRA SAID THAT THE NEW CHANNELS ENABLE GRID TO BE MORE AGGRESSIVE IN ITS PRICING BECAUSE IT WILL LOWER THE COST OF HANDLING ORDERS THE COMPANY SAID IT IS OFFERING ADDITIONAL DISCOUNTS TO MAJOR VOLUMEBUYING CORPORATE AND GOVERNMENT CUSTOMERS WHO USE GRID DIRECT AND GRID DIRECT ONLINE EXPRESS THE 24HOUR ELECTRONIC SERVICE THAT ALLOWS CUSTOMERS TO ORDER DIRECTLY FROM GRID'S FACTORY THROUGH THEIR PERSONAL COMPUTERS SEPARATELY GRID INTRODUCED A LINE OF LIGHTWEIGHT NOTEBOOK COMPUTERS BASED ON INTEL CORP'S 486SL CENTRAL PROCESSOR THE BATTERYOPERATED GRID 4025 NOTEBOOKS WILL OPERATE FOR UP TO SIX HOURS BEFORE RECHARGING OR ABOUT 20 LONGER THAN COMPETING NOTEBOOKS THE COMPANY CLAIMED THE NOTEBOOKS ARE PRICED AT 2099 AND UP WITH FOUR MEGABYTES OF MEMORY AND AN 80 MEGABYTE HARD DRIVE THE COMPUTERS WILL BE SOLD THROUGH THE NEW GRID DIRECT 800LINE AS WELL AS THROUGH THE COMPANY'S FIELD SALES FORCE 9304130094 930413 INTERNATIONAL JAPANESE STUDENTS GIVE HIGH GRADES TO US HIGH SCHOOLS ON MOST COUNTS BY DAVID P HAMILTON STAFF REPORTER OF THE WALL STREET JOURNAL TOKYO AMERICANS HAVE SPENT MOST OF THE PAST DECADE HEARING HOW BAD THEIR SCHOOLS ARE SO THEY MIGHT BE SURPRISED TO LEARN WHAT SOME JAPANESE STUDENTS THINK ABOUT US HIGH SCHOOLS THE JAPAN YOUTH RESEARCH INSTITUTE ASKED MORE THAN A THOUSAND STUDENTS WHO HAVE LIVED IN THE US WHETHER JAPANESE OR US HIGH SCHOOLS DO A BETTER JOB TEACHING STUDENTS TO THINK ANALYTICALLY TO WORK AS PART OF A TEAM AND TO FACE THE PROBLEMS OF THE 21ST CENTURY SURPRISINGLY THE JAPANESE STUDENTS PICKED AMERICAN SCHOOLS IN ALL THESE CATEGORIES AND BY WIDE MARGINS THE SEPTEMBER SURVEY IS FAR FROM SCIENTIFIC AS STUDENT PARTICIPANTS WEREN'T SELECTED RANDOMLY AND DIDN'T NECESSARILY DESCRIBE THEIR PERSONAL EXPERIENCES IN ANSWERING THE INSTITUTE'S QUESTIONNAIRE FOR INSTANCE STUDENTS WHO DIDN'T ATTEND HIGH SCHOOL IN THE US ROUGHLY 30 OF THE 1056 SURVEYED WERE ASKED TO IMAGINE WHAT IT WOULD HAVE BEEN LIKE BASED ON THEIR EXPERIENCE IN US ELEMENTARY OR JUNIOR HIGH SCHOOLS NEVERTHELESS THE SURVEY SHOWS THAT SOME JAPANESE STUDENTS WHO HAVE STUDIED IN US SCHOOLS FIND THEM SUPERIOR IN MANY RESPECTS TO THEIR JAPANESE COUNTERPARTS BY A MARGIN OF 37 TO 29 FOR INSTANCE THESE STUDENTS FOUND US HIGH SCHOOLS BETTER AT FOSTERING LOGICAL AND ANALYTIC THOUGHT THE REMAINDER EITHER FOUND US AND JAPANESE SCHOOLS EVENLY MATCHED OR WEREN'T SURE WHICH WAS BETTER THE SAME STUDENTS ALSO FOUND US HIGH SCHOOLS BETTER AT TEACHING KIDS HOW TO WORK AS A TEAM BY A MARGIN OF 61 TO 10 AT TEACHING JOB SKILLS 46 TO 12 PREPARING STUDENTS FOR SUCCESS IN LIFE 37 TO 14 AND PRODUCING PEOPLE WITH THE ABILITIES NEEDED TO DEAL WITH THE UNKNOWN PROBLEMS OF THE 21ST CENTURY 32 TO 8 US SCHOOLS RANKED PARTICULARLY WELL WHERE FACTORS SUCH AS INDIVIDUALITY AND CREATIVITY WERE CONCERNED STUDENTS RATED US HIGH SCHOOLS MORE SUITED FOR DEVELOPING THEIR ABILITY TO THINK INDEPENDENTLY AND CREATIVELY 80 TO 4 AND FOR ENABLING STUDENTS TO DEVELOP THEIR OWN TALENTS AND UNIQUE ABILITIES 78 TO 4 WHAT'S MORE THESE JAPANESE STUDENTS REPORTED HAVING A LOT MORE FUN IN US SCHOOLS BY A MARGIN OF 60 TO 7 THEY ALSO PREFERRED US TEACHERS TO JAPANESE TEACHERS BY 48 TO 8 JAPANESE SCHOOLS ON THE OTHER HAND RATED HIGHLY IN AREAS SUCH AS TEACHING STUDENTS FACTS ABOUT BASIC SUBJECTS BY A MARGIN OF 36 TO 25 HELPING THEM DO WELL ON JAPAN'S COLLEGE ENTRANCE EXAMS 79 TO 3 AND TEACHING THEM PERSISTENCE 37 TO 16 9304130093 930413 CORPORATE FOCUS CYPRESS RUNS WITH THE DINOSAURS' AND RECORDS A PROFIT CHIP MAKER CUTS STAFF SENDS SOME WORK OVERSEAS AND BREAKS OUT OF A NICHE BY STEPHEN KREIDER YODER STAFF REPORTER OF THE WALL STREET JOURNAL TJ RODGERS HAS A LITTLE SOMETHING TO GLOAT ABOUT AGAIN THE CHIEF EXECUTIVE OFFICER OF CYPRESS SEMICONDUCTOR CORP PERHAPS MORE FAMOUS FOR HIS CRITIQUES OF BIG GOVERNMENT AND HIS OLDLINE RIVALS ATE HUMBLE PIE LAST YEAR WHEN HIS CHIP COMPANY POSTED ITS FIRST MONEYLOSING QUARTERS SINCE GOING PUBLIC IN 1986 BUT CYPRESS YESTERDAY REPORTED SLIGHTLY BETTERTHANEXPECTED FIRSTQUARTER NET INCOME AND MR RODGERS IS BACK IN FORM WE'RE STARTING TO REV UP OUR ENGINES AND THE MARKET IS SMILING ON US HE SAYS THIS YEAR HE SAYS WILL BE THE YEAR OF RETURN FOR CYPRESS COMING AFTER A 21 MILLION LOSS FOR ALL OF LAST YEAR FIRSTQUARTER NET OF 25 MILLION OR SEVEN CENTS A SHARE CERTAINLY LOOKED GOOD EVEN THOUGH IT WAS DOWN FROM NET OF 39 MILLION OR 10 CENTS A SHARE IN THE YEARAGO QUARTER MOST ANALYSTS HAD EXPECTED EARNINGS OF ABOUT FIVE CENTS A SHARE YESTERDAY THE SAN JOSE CALIF COMPANY'S STOCK CLOSED AT 1025 UP 375 CENTS MR RODGERS SAYS THE QUARTER SAW A SURGE IN SALES OF MEMORY CHIPS AND THAT CHIP ORDERS WERE UP ACROSS THE BOARD SALES IN THE QUARTER WERE 697 MILLION DOWN FROM 71 MILLION A YEAR AGO BUT UP 34 FROM THE PRIOR QUARTER MORE IMPORTANT THE QUARTER'S RESULTS ARE THE FIRST FRUITS OF COSTCUTTING MOVES AND CHANGES IN BUSINESS STRATEGY BY MOVING SOME PRODUCTION STEPS TO ASIA AND REDUCING ITS STAFF BY 30 CYPRESS INCREASED ITS GROSS MARGINS TO 403 FROM 386 IN THE IMMEDIATELY PRIOR QUARTER TO CELEBRATE MR RODGERS THREW A VICTORYQUARTER PARTY FOR HIS EMPLOYEES LAST WEEK RENTING OUT A MULTIPLEX CINEMA AND PROVIDING FREE CONCESSIONS VICTORY PARTIES HAPPENED EVERY QUARTER AT CYPRESS UNTIL EARLY LAST YEAR FOUNDED BY MR RODGERS IN 1982 CYPRESS PROSPERED BY USING NEW CHIPMAKING TECHNOLOGIES TO MAKE HIGHERSPEED CHIPS THAN ITS US RIVALS AND WHICH WERE AIMED AT NICHE MARKETS TOO SMALL FOR THE JAPANESE A KEY STRATEGY WAS TO SET UP FLEXIBLE FACTORIES THAT COULD OFFER THOUSANDS OF VARIATIONS ON HUNDREDS OF CHIPS PARTICULARLY SUCCESSFUL WERE CYPRESS'S HIGHSPEED STATIC RANDOMACCESS MEMORIES A TYPE OF CHIP FAVORED BY MAKERS OF HIGHPERFORMANCE COMPUTERS CYPRESS'S NIMBLENESS WON IT PRAISE FROM MANAGEMENT EXPERTS AND MR RODGERS REGULARLY BOASTED ABOUT THE COMPANY'S SUPERIORITY OVER THE DINOSAURS OF SILICON VALLEY MR RODGERS GOT AWAY WITH SUCH TALK BECAUSE HIS COMPANY TURNED SOLID PROFITS EVEN DURING A CHIP RECESSION IN 1990 AND 1991 EARNINGS GREW TO 342 MILLION IN 1991 FROM 134 MILLION IN 1986 ITS STOCK HIT A HIGH OF 2450 IN MID1991 UP FROM AN INITIAL OFFERING PRICE OF 9 IN 1986 BUT IN LATE 1991 TROUBLE BEGAN BIG CHIP MAKERS LIKE MOTOROLA INC MICRON TECHNOLOGY INC AND FUJITSU LTD BEGAN MOVING INTO SOME OF CYPRESS'S LUCRATIVE MEMORY MARKETS AND RIVALS LIKE ADVANCED MICRO DEVICES INC THREATENED CYPRESS'S STRENGTH IN CHIPS CALLED PROGRAMMABLE LOGIC DEVICES THE NEW COMPETITION PUSHED DOWN PRICES HURTING CYPRESS'S PROFIT MARGINS MAKING MATTERS WORSE MR RODGERS BROKE ONE OF HIS OWN TENETS NOT TO POST MORE THAN 10 OF REVENUE FROM ANY SINGLE PRODUCT OR CUSTOMER AND CYPRESS SUFFERED BY MID1991 20 OF REVENUE CAME FROM A MICROPROCESSOR CALLED A SPARC CHIP AND 15 OF REVENUE CAME FROM SUN MICROSYSTEMS INC WHICH BUILT THE CHIP INTO SOME OF ITS COMPUTERS THEN IN 1992 SUN CHOSE A SPARC CHIP FROM TEXAS INSTRUMENTS INC FOR IMPORTANT NEW COMPUTER LINES CYPRESS'S SPARCCHIP SALES SLID QUICKLY THEY ACCOUNTED FOR JUST 6 OF SALES IN THE FIRST QUARTER AND ITS MICROPROCESSOR UNIT ROSS TECHNOLOGY HAD HEAVY LOSSES THE RULE SHOULDN'T HAVE BEEN BROKEN SAYS FRED BIALEK AN INDEPENDENT BUSINESS CONSULTANT AND A CYPRESS DIRECTOR THE COMPANY BECAME OVERDEPENDENT ON SUN THAT WAS DEADLY IN THE SECOND QUARTER OF 1992 CYPRESS POSTED ITS FIRST QUARTERLY NET LOSS SINCE 1985 ON REVENUES THAT WERE DOWN 12 FROM THE YEAR EARLIER THE PROBLEM MR RODGERS NOW SAYS WAS THAT CYPRESS HAD BEEN BLINDED BY ITS OWN SUCCESS AS A NICHEMARKET COMPANY IN THE LATE 1980S AND PAID THE PRICE FOR IGNORING SIGNS THAT ITS MARKETS WERE BECOMING HIGHVOLUME MARKETS WE WERE A VICTIM OF OUR OWN SUCCESS WE DIDN'T WANT TO EXAMINE OUR BASIC BELIEFS HE SAYS MR RODGERS BEGAN A CORPORATE MAKEOVER LAST SPRING HE SLASHED CYPRESS'S THICK PRODUCT CATALOG THAT HAD FACTORIES RUNNING MANY SMALL COSTLY LOTS CYPRESS NOW OFFERS 1400 VARIATIONS OF ITS CHIPS DOWN FROM 3500 LAST FALL CYPRESS JOINED THE PRICE WARS ACCEPTING SALES IT WOULD HAVE REJECTED AS TOO LOW IN PROFIT EARLIER IN THE YEAR THE OLD PARADIGM OF A NICHE COMPANY THAT CRANKED OUT AS MANY DIFFERENT CHIPS AS FAST AS IT COULD STOPPED WORKING FOR MUCH OF CYPRESS'S PRODUCT LINE SAYS MR RODGERS THE COMPANY IS GOING TO HAVE TO COMPETE IN THE BIG LEAGUES WITH NO EXCUSES PERHAPS THE TOUGHEST MOVE FOR MR RODGERS WAS CLOSING DOWN THE BACK END OF CYPRESS'S US CHIP MANUFACTURINGWHERE ETCHED SILICON CHIPS ARE ASSEMBLED INTO PLASTIC PACKAGES AND TESTED AND TURNING THE JOB OVER TO A COMPANY IN THAILAND OTHER US COMPANIES HAVE DONE THEIR ASSEMBLY IN ASIA FOR YEARS BUT MR RODGERS HAD CRITICIZED THEM HAS SELLOUTS REJECTING EVEN HIS OWN BOARD'S REPEATED URGINGS THAT CYPRESS DROP ITS ALLAMERICAN POLICY HE RESISTED IT AS LONG AS HE COULD SAYS PIERRE LAMOND CYPRESS'S CHAIRMAN THE MOVE FOR WHICH CYPRESS RECORDED A 372 MILLION CHARGE LAST YEAR WAS PROBABLY LATE BY TWO YEARS HE ADDS THE RESULTS CAME QUICK ON A CHIP THAT COST A DOLLAR TO MAKE CYPRESS USED TO SPEND ANOTHER 92 CENTS TO PACKAGE AND TEST IT IN ITS SAN JOSE PLANT IT NOW PAYS 36 CENTS FOR THE SAME PROCESS IN BANGKOK THE COMPANY ALSO CUT ITS STAFF TO 1400 AT THE END OF THE FIRST QUARTER FROM ABOUT 1940 IN EARLY 1992 THE SLIMMER COSTS COINCIDED NICELY IN THE FIRST QUARTER WITH A SURGE OF GROWTH IN SOME MARKETS WITH THE BOOM IN SALES OF HIGHPOWERED PERSONAL COMPUTERS FOR EXAMPLE PC MAKERS SUCH AS AST RESEARCH INC HAVE BEGUN PUTTING CYPRESS'S HIGHSPEED SRAMS IN THEIR MACHINES CYPRESS ENDED ITS FIRST QUARTER WITH A RECORD ORDER BACKLOG OF 88 MILLION UP FROM 759 MILLION AT THE END OF DECEMBER THE FULL EFFECTS OF THE MAKEOVER WON'T BE FELT UNTIL LATER THIS YEAR AND NEXT MR RODGERS SAYS CYPRESS WILL CUT ITS STAFF TO 1240 BY MIDYEAR AND IT JUST BEGAN REFUSING SMALLLOT ORDERS THAT WERE A DRAG ON EXPENSES IN THE FIRST QUARTER MORE THAN HALF OF ITS ORDERS WERE SALES OF UNDER 1000 BUT STARTING APRIL 1 THE COMPANY WON'T TAKE ANY ORDERS UNDER THAT AMOUNT ANOTHER PROGRAM INCREASING THE EFFICIENCY OF ITS FACTORIES WILL BE COMPLETED IN 1994 AND THE COMPANY HAS BEGUN A MAJOR PUSH TO DEVELOP MORE NEW PRODUCTS EACH YEAR CONCENTRATING ON NEW CHIPS FOR FASTGROWING MARKETS SUCH AS PCS AND TELECOMMUNICATIONS A BIG CLOUD STILL HANGING OVER CYPRESS IS ITS MICROPROCESSOR BUSINESS WHICH CONTINUES TO POST LOSSES WHILE SUN SAYS IT STILL HASN'T DECIDED WHETHER TO USE A NEW CYPRESS CHIP FOR FUTURE MACHINES CYPRESS OFFICIALS ARE PESSIMISTIC IF SUN REJECTS CYPRESS'S CHIP MR RODGERS SAYS THE COMPANY WILL HAVE TO SHUT DOWN THE ROSS UNIT SELL IT OR SHIFT IT TO OTHER CHIPS MEANWHILE MR RODGERS QUICK TO REBUKE IS ALSO QUICK TO EAT CROW US COMPANIES ARE NO LONGER THE DINOSAURS' I LABELED THEM IN THE '80S HE CONCEDES IN A LETTER TO SHAREHOLDERS CYPRESS'S PROBLEM HE ADDS WAS NOT JAPANESE COMPETITION OR LACK OF GOVERNMENT PROGRAMS HE SAYS IT WAS MANAGEMENT 9304130092 930413 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 1/8 HIGH 3 LOW 3 NEAR CLOSING BID 3 1/16 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 CORP307 30 TO 119 DAYS 308 120 TO 149 DAYS 310 150 TO 179 DAYS 313 180 TO 239 DAYS 315 240 TO 270 DAYS COMMERCIAL PAPER HIGHGRADE UNSECURED NOTES SOLD THROUGH DEALERS BY MAJOR CORPORATIONS 315 30 DAYS 315 60 DAYS 316 90 DAYS CERTIFICATES OF DEPOSIT 261 ONE MONTH 264 TWO MONTHS 268 THREE MONTHS 278 SIX MONTHS 294 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 312 SIX MONTHS BANKERS ACCEPTANCES 3 30 DAYS 3 60 DAYS 3 90 DAYS 302 120 DAYS 304 150 DAYS 305 180 DAYS NEGOTIABLE BANKBACKED BUSINESS CREDIT INSTRUMENTS TYPICALLY FINANCING AN IMPORT ORDER FOREIGN PRIME RATES CANADA 6 GERMANY 9 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 APRIL 12 1993 AUCTION OF SHORTTERM US GOVERNMENT BILLS SOLD AT A DISCOUNT FROM FACE VALUE IN UNITS OF 10000 TO 1 MILLION 289 13 WEEKS 3 26 WEEKS FEDERAL HOME LOAN MORTGAGE CORP FREDDIE MAC POSTED YIELDS ON 30YEAR MORTGAGE COMMITMENTS DELIVERY WITHIN 30 DAYS 707 60 DAYS 718 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 276 ANNUALIZED AVERAGE RATE OF RETURN AFTER EXPENSES FOR THE PAST 30 DAYS NOT A FORECAST OF FUTURE RETURNS 9304130091 930413 FOREIGN EXCHANGE DOLLAR SLIPS LOWER AS EXTENDED HOLIDAY CUTS MARKET LIQUIDITY IN THIN TRADING BY GREGORY L WHITE STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK AN EXTENDED HOLIDAY WEEKEND DRAINED LIQUIDITY FROM THE MARKET MONDAY LEAVING THE DOLLAR TO SLIP LOWER IN CHOPPY TRADING ABOUT MIDDAY TUESDAY IN TOKYO THE DOLLAR WAS TRADING AT 15930 MARKS AND AT 11262 YEN WITH MOST EUROPEAN AND MANY ASIAN CENTERS CLOSED DEALERS SAID THE DOLLAR'S MALAISE MAY HAVE BEEN EXAGGERATED IT'S DIFFICULT TO GAUGE WHAT'S REALLY GOING ON BECAUSE SO MUCH OF THE MARKET ISN'T INVOLVED SAID JOHN NELSON DIRECTOR OF FOREIGN EXCHANGE AT BARCLAYS BANK PLC DEALERS ATTRIBUTED MUCH OF THE DOLLAR'S WEAKNESS MONDAY TO TECHNICAL FACTORS AND THE EFFECT OF LARGE INDIVIDUAL ORDERS ON THE THIN MARKET BUT THEY NOTED THAT THE MOVE DOWN SEEMED TO REFLECT THE MARKET'S GENERALLY BEARISH OUTLOOK ON THE DOLLAR IT'S JUST A SLOW MOVE DOWN SAID JAY TUCKER DIRECTOR OF FOREIGN EXCHANGE AT FIRST BOSTON CORP YEN CREPT HIGHER THE YEN CREPT TO YET ANOTHER POSTWORLD WAR II HIGH AGAINST THE DOLLAR MONDAY THE DOLLAR DIPPED TO 11273 YEN BELOW THE PREVIOUS RECORD OF 11290 YEN SET THURSDAY DEALERS SAID ANTICIPATION AHEAD OF THIS WEEK'S MEETING OF FINANCE MINISTERS FROM THE GROUP OF SEVEN MAJOR INDUSTRIALIZED NATIONS AND FRIDAY'S SUMMIT BETWEEN PRESIDENT CLINTON AND JAPANESE PRIME MINISTER KIICHI MIYAZAWA HELPED UNDERPIN THE YEN DEMAND FOR THE JAPANESE CURRENCY ALSO CAME IN ADVANCE OF JAPAN'S 13 TRILLION YEN FISCAL STIMULUS PACKAGE DUE TO BE RELEASED OFFICIALLY EARLY TUESDAY DEALERS SAID THE SCHEDULED MEETINGS HAVE HEIGHTENED EXPECTATIONS THAT JAPAN AND ITS TRADING PARTNERS WILL SEEK FURTHER APPRECIATION OF THE YEN TO REDUCE JAPAN'S HUGE TRADE SURPLUS DEALERS SAID PEOPLE ARE WAITING FOR THE G7 MEETING SAID THOMAS BENFER A SENIOR MARKETING REPRESENTATIVE AT BANK OF MONTREAL THE GROUP IS MADE UP OF THE US GERMANY JAPAN CANADA BRITAIN FRANCE AND ITALY BUT RUMORS OF INTERVENTION BY THE BANK OF JAPAN TO SLOW THE YEN'S RISE HAVE KEPT PLAYERS FROM PUSHING THE JAPANESE CURRENCY TOO RAPIDLY DEALERS SAID AT THE SAME TIME THEY NOTED NEITHER JAPAN NOR ITS MAJOR TRADING PARTNERS SEEM WORRIED ABOUT THE YEN'S STRENGTH I THINK THEY CAN LIVE WITH THE YEN HERE SAID FIRST BOSTON'S MR TUCKER REPORTS MONDAY THAT MR MIYAZAWA SET 110 YEN AS THE FLOOR FOR THE DOLLAR THREATENING COORDINATED INTERNATIONAL INTERVENTION IF IT WERE BREACHED DID LITTLE TO DETER DOLLAR SELLERS DEALERS SAID MR MIYAZAWA'S PURPORTED COMMENTS GIVEN THE MARKET'S DEMAND FOR THE YEN SEEMED MORE AN INVITATION THAN A THREAT PARTICIPANTS SAID DEALERS NOTED THAT IF THE BANK OF JAPAN WERE SEEKING TO STRENGTHEN THE DOLLAR ITS ACTIONS WOULD HAVE BEEN MORE AGGRESSIVE THAN THE PERIODIC RATECHECKING SEEN LAST WEEK I DON'T THINK THEY WANT TO TURN THE MARKET SAID MR TUCKER WHILE THE BANK OF JAPAN'S MODEST MOVEMENTS HAVE SO FAR BEEN THE MAJOR SUPPORT FOR THE DOLLAR DEALERS SAID SELLING PRESSURE APPEARS TO BE INCREASING JAPANESE EXPORTERS LOOKING FOR THE BEST RATE IN CONVERTING THEIR DOLLAR EARNINGS INTO YEN APPEAR TO HAVE LOWERED THEIR EXPECTATIONS FOR THE DOLLAR DEALERS SAID AND AS A RESULT ARE PREPARED TO STEP INTO THE MARKET AND SELL INTO DOLLAR RALLIES AT LOWER LEVELS THAN IN RECENT WEEKS 9304130090 930413 TECHNOLOGY CHIPSOFT TO ACQUIRE MAKER OF SOFTWARE FOR TAX PREPARATION FIRM'S 158 MILLION OFFER BUYS MECA POPULAR PROGRAMS OF FINANCIAL WRITER TOBIAS BY SARAH LUBMAN STAFF REPORTER OF THE WALL STREET JOURNAL JUST THREE DAYS BEFORE THE INTERNAL REVENUE SERVICE'S INCOME TAX FILING DEADLINE CHIPSOFT INC TOOK A BIGGER BITE OUT OF THE GROWING MARKET FOR PERSONALFINANCE AND TAXPREPARATION COMPUTER SOFTWARE THE SAN DIEGO PUBLISHER OF INCOME TAX SOFTWARE FOR PERSONAL COMPUTER USERS SIGNED A DEFINITIVE AGREEMENT TO ACQUIRE RIVAL MECA SOFTWARE INC FOR 58 MILLION OR 11625 A SHARE OF MECA COMMON STOCK PLUS ASSOCIATED COSTS THE DEAL WOULD GIVE CHIPSOFT A COMBINED CUSTOMER BASE OF ABOUT TWO MILLION USERS THAT IS EXPECTED TO GROW THE COMPANY SAID A CHIPSOFT SPOKESWOMAN SAID THE COMPANY PLANS TO CONTINUE SEPARATE MARKETING OF MECA PRODUCTS WHICH INCLUDE THE MANAGING YOUR MONEY AND TAXCUT PROGRAMS BY FINANCIAL WRITER ANDREW TOBIAS MECA HAS VERY STRONG NAME RECOGNITION SHE SAID WE THINK THAT'S THE WAY TO GO CHIPSOFT SELLS ITS OWN TAX PREPARATION SOFTWARE AND RELATED PRODUCTS UNDER THE NAMES TURBOTAX AND MACINTAX DOITYOURSELF INCOME TAX SOFTWARE PROGRAMS HAVE BECOME INCREASINGLY POPULAR AS THEIR QUALITY IMPROVES ALLOWING PEOPLE TO TYPE FIGURES DIRECTLY ONTO TAX FORMS ON THEIR COMPUTER SCREENS IT'S CLEAR THERE ARE MORE AND MORE PEOPLE BUYING HOME COMPUTERS AND THEREFORE BUYING SOFTWARE FOR THEIR FINANCES SAID BOB WAGMAN A PARTNER WITH PRICE WATERHOUSE IN LOS ANGELES BUT HE CAUTIONED THAT SMALL CHANGES IN THE TAX LAW AND ON TAX RETURN FORMS COULD TRIP UP ONCEAYEAR SOFTWARE USERS WHO AREN'T CAREFUL CHIPSOFT SAID IT WILL BEGIN A TENDER OFFER FOR ALL OF MECA'S 46 MILLION OUTSTANDING COMMON SHARES ON OR BEFORE APRIL 16 THE OFFER IS CONDITIONAL UPON RECEIPT OF AT LEAST A MAJORITY OF MECA'S OUTSTANDING SHARES INCLUDING VESTED OPTIONS CHIPSOFT SAID THAT THE HOLDERS OF ABOUT 505 OF MECA'S COMMON STOCK OUTSTANDING HAVE AGREED TO TENDER THEIR SHARES AND THAT THE COMPANY EXPECTS TO COMPLETE THE OFFER BY MIDMAY AFTER COMPLETION MECA WILL BECOME A WHOLLYOWNED CHIPSOFT SUBSIDIARY BUT WILL CONTINUE TO BE RUN OUT OF ITS HEADQUARTERS IN FAIRFIELD CONN CHIPSOFT SAID THE ACQUISITION WOULD RESULT IN A ONETIME CHARGE TO EARNINGS OF ABOUT 20 MILLION TO 25 MILLION IN THE FISCAL PERIOD IN WHICH THE TENDER OFFER IS COMPLETED FOR THE YEAR ENDED JUNE 30 CHIPSOFT HAD NET INCOME OF 141000 ON SALES OF 505 MILLION THE ACQUISITION SHOULD INCREASE CHIPSOFT'S SHARE OF THE CONSUMER TAX SOFTWARE MARKET TO ABOUT 75 FROM 60 ACCORDING TO AN ANALYST WHO FOLLOWS THE COMPANY CHIPSOFT IS PICKING UP ONE OF ITS TWO LARGEST COMPETITORS PLUS ABOUT 20 MILLION IN REVENUE IN THE NONINCOME TAX MARKET SAID RICK J MARTIN OF CHICAGO CORP HE BASED HIS ESTIMATE ON A CHIPSOFT PROJECTION OF ABOUT 34 MILLION IN MECA REVENUE IN FISCAL 1993 MECA'S SALES FOR FISCAL 1992 WERE 21 MILLION CHIPSOFT INC OFFERED 58 MILLION TO BUY MECA SOFTWARE INC A HEADLINE YESTERDAY MISSTATED THE AMOUNT AS 158 MILLION IN AN ARTICLE ABOUT THE OFFER BOB WAGMAN A PARTNER AT PRICE WATERHOUSE IN LOS ANGELES SAID THAT IT'S CLEAR THAT MORE PEOPLE ARE BUYING HOME COMPUTERS AND THEREFORE MORE ARE BUYING PERSONAL FINANCE SOFTWARE IN SOME EDITIONS HIS COMMENT WAS MISTAKENLY ATTRIBUTED TO RICK J MARTIN OF CHICAGO CORP 9304130089 930413 MONDAY'S MARKETS PRICE DATA LIFT BONDS AND STOCKS TRANSPORTATION ISSUES HIT ANOTHER HIGH DOLLAR LOSES GROUND BY STEVEN E LEVINGSTON STAFF REPORTER OF THE WALL STREET JOURNAL THE BOND MARKET CONTINUED TO RALLY AMID GROWING OPTIMISM THAT INFLATION WILL REMAIN IN CHECK STOCK PRICES FOLLOWED BONDS HIGHER WHILE THE DOLLAR FELL HITTING A POSTWAR LOW AGAINST THE YEN THE PRICE OF THE TREASURY'S BENCHMARK 30YEAR BOND JUMPED 3/4 POINT OR MORE THAN 750 FOR EACH 1000 FACE AMOUNT ITS YIELD FELL TO 679 THE DOW JONES INDUSTRIAL AVERAGE CLIMBED 3161 POINTS TO 342809 WHILE A BROADBASED RALLY AMONG TRANSPORTATION STOCKS DROVE THE DOW JONES TRANSPORTATION AVERAGE UP 3546 POINTS TO A RECORD 164884 STANDARD & POOR'S 500STOCK INDEX GAINED 653 TO 44837 AND THE NASDAQ COMPOSITE INDEX JUMPED 679 TO 67312 THE BOND RALLY BEGAN THURSDAY WHEN THE LABOR DEPARTMENT REPORTED THAT THE CORE RATE OF INFLATION AT THE WHOLESALE LEVEL IN MARCH ROSE JUST 01 INFLATION FEARS EASED FURTHER FRIDAY AFTER A REPORT SHOWED CONSUMER PRICES EDGED UP 01 IN MARCH STOCK AND BOND MARKETS WERE CLOSED FRIDAY FOR THE GOOD FRIDAY HOLIDAY A WEAK ECONOMIC RECOVERY AND LOW INFLATION ARGUE FOR A CONTINUING BOND RALLY SAID NEIL HOKANSON PRESIDENT OF HOKANSON FINANCIAL MANAGEMENT IN ENCINITAS CALIF NOTHING ON THE HORIZON LOOKS CAPABLE OF DRIVING INTEREST RATES HIGHER IN THE NEAR TERM MR HOKANSON SAID THE STOCK MARKET WILL BENEFIT FROM LOWER RATES TOO EVEN THOUGH MANY INVESTORS WORRY ABOUT AN INCREASINGLY HIGH LEVEL OF STOCK PRICES THE CASE AGAINST THE STOCK MARKET IS THE HIGH VALUATION BUT THE VALUATION IS DEFUSED BY DECLINING INTEREST RATES SAYS BYRON WIEN INVESTMENT STRATEGIST AT MORGAN STANLEY THE LONG BOND YIELD IS DEFINITELY HEADED TO 65 AND ON THAT BASIS THE VALUATION PROBLEM FOR THE MARKET IS NOT THAT GREAT MR HOKANSON ARGUED THAT YESTERDAY'S STRONG PERFORMANCE AMONG SOME BATTERED GROWTH STOCKS MARKS A CHANGE IN MARKET LEADERSHIP AWAY FROM ECONOMICALLY SENSITIVE STOCKS IF WE DON'T HAVE A STRONG RECOVERY ECONOMICALLY SENSITIVE STOCKS AREN'T GOING TO GET THE PUSH THEY'RE HOPING FOR SAID MR HOKANSON INVESTORS ARE REFOCUSING ON COMPANIES THAT CAN TAKE MARKET SHARE AND GROW EARNINGS IN A SLOWGROWTH ENVIRONMENT BUT MR WIEN SAID THE GROWTHSTOCK SURGE IS LITTLE MORE THAN A REBOUND FROM DEPRESSED LEVELS I WOULDN'T BE FOOLED BY THE IMPROVED ACTION IN CONSUMER NONDURABLES HE SAID THE LEADERSHIP OF ECONOMICALLY SENSITIVE STOCKS IS STILL IN PLACE RALPH BLOCH MARKET STRATEGIST AT RAYMOND JAMES & ASSOCIATES IN ST PETERSBURG FLA SAID THAT WHILE A FLOOD OF MONEY FROM MUTUAL FUNDS AND MATURING CERTIFICATES OF DEPOSIT COULD DRIVE THE STOCK MARKET TO RECORD LEVELS HE WORRIES THAT INVESTOR CONVICTION IS WAVERING HE NOTED THAT INTEL SOARED TO 121 AFTER ANNOUNCING BETTERTHANEXPECTED EARNINGS IN THE FIRST QUARTER BUT THEN FELL BACK TO CLOSE AT 117 1/2 UP 4 1/2 OR 4 EVEN COMPANIES THAT COME IN WITH KNOCKYOURSOCKSOFF EARNINGS ARE DRAWING PROFITTAKERS RIGHT AWAY MR BLOCH SAID WORLDWIDE STOCK PRICES ROSE IN DOLLAR TERMS THE DOW JONES WORLD STOCK INDEX GAINED 073 POINTS TO 10398 IN MAJOR MARKET ACTION STOCK PRICES ROSE VOLUME TOTALED 260 MILLION SHARES ON THE NEW YORK STOCK EXCHANGE WHERE 1341 ISSUES ROSE AND 610 DECLINED BOND PRICES SURGED THE TREASURY'S 10YEAR ISSUE GAINED MORE THAN 3/8 POINT TO YIELD 591 THE DOLLAR FELL IN LATE NEW YORK TRADING THE CURRENCY WAS QUOTED AT 15935 MARKS AND 11280 YEN COMPARED WITH 16045 MARKS AND 11315 YEN FRIDAY 9304130088 930413 MARKETING & MEDIA ATTORNEYS GENERAL SEEK TOUGHER RULES OVER 900 NUMBERS WASHINGTON ATTORNEYS GENERAL FROM 18 STATES ASKED THE FEDERAL TRADE COMMISSION TO TOUGHEN ITS PROPOSED REGULATIONS FOR THE ADVERTISING BILLING AND OPERATION OF 900 NUMBERS AND OTHER PAYPERCALL SERVICES THE ATTORNEYS GENERAL LED BY ROBERT ABRAMS OF NEW YORK URGED THE AGENCY TO FORCE PAYPERCALL SERVICES TO DISCLOSE PLAINLY IN ADVERTISING AND AT THE BEGINNING OF ANY CALL THE CHARGES AND ANY OTHER MATERIAL COSTS RELATED TO THE SERVICE A PROMOTER OF VACATIONS FOR EXAMPLE WOULD HAVE TO DISCLOSE NOT ONLY THE COST OF THE CALL BUT ALSO TRAVEL AND HOTEL COSTS THE FTC RULES PROPOSED LAST MONTH DIDN'T ADDRESS THE DISCLOSURE OF SUCH ADDITIONAL COSTS TO CONSUMERS THE GROUP ALSO SAID THAT THE RECORDED MESSAGE AT THE BEGINNING OF PAYPERCALL SERVICES SHOULD GIVE INFORMATION ABOUT THE SERVICE PROVIDER AND GIVE CALLERS AN OPPORTUNITY TO HANG UP WITHOUT BEING CHARGED SERVICE PROVIDERS ESSENTIALLY SHOULD BE GIVEN A STANDARD TEXT FOR THE RECORDING AND SHOULD BE REQUIRED TO USE NORMAL GRAMMAR AND PUNCTUATION IN ANY ADVERTISING THE ATTORNEYS GENERAL SAID UNDER THE GROUP'S PROPOSAL PAYPERCALL SERVICES WOULDN'T BE ALLOWED TO TRANSFER CALLERS TO OTHER SERVICES WITH ADDITIONAL OR UNEXPECTED CHARGES THE ATTORNEYS GENERAL ALSO CALLED FOR TIGHTENING DEFINITIONS OF PROGRAMS AIMED AT CHILDREN AND ESSENTIALLY WOULD BAR THE USE OF AUTODIALERSMACHINES THAT AUTOMATICALLY DIAL PHONE NUMBERS TO DELIVER A PRERECORDED SALES PITCHTO PROMOTE PAYPERCALL SERVICES IN ADDITION THE ATTORNEYS GENERAL WOULD REQUIRE PROMOTERS TO DISCLOSE THE PRICE OF THE CALL EACH TIME THE NUMBER IS USED IN ADVERTISING MR ABRAMS WAS JOINED BY ATTORNEYS GENERAL FROM ARIZONA CALIFORNIA CONNECTICUT FLORIDA ILLINOIS IOWA KANSAS MAINE MINNESOTA NEW JERSEY NEW MEXICO PENNSYLVANIA TENNESSEE VERMONT WASHINGTON WEST VIRGINIA AND WISCONSIN THE GROUP IS EXPECTED TO SUBMIT SIMILAR COMMENTS LATER THIS MONTH TO THE FEDERAL COMMUNICATIONS COMMISSION WHICH ALSO IS STUDYING NEW RULES FOR 900 AND OTHER PAYPERCALL SERVICES 9304130087 930413 LABOR LETTER A SPECIAL NEWS REPORT ON PEOPLE AND THEIR JOBS IN OFFICES FIELDS AND FACTORIES BY KEVIN G SALWEN UNIONS PRESS TO GET SUPPORT FOR STRIKE LEGISLATION BUT IT'S A TOUGH ROAD THE BILL WHICH WOULD BAN PERMANENT REPLACEMENT OF STRIKING WORKERS SHOULD BREEZE THROUGH THE HOUSE IN THE NEXT MONTH OR SO BUT THE FIGHT REMAINS CONTENTIOUS IN THE SENATE WHICH BLOCKED THE MEASURE LAST YEAR GOP SEN KASSEBAUM OF KANSAS WHO OPPOSES THE MEASURE THINKS DEMOCRATS WON'T FORCE A VOTE UNLESS THEY HAVE THE NUMBERS EARLY COUNTS SHOW DEMOCRATS THREE VOTES SHORT UNION OFFICIALS SAY LOBBYING HAS BEEN HEAVY OVER THE EASTER RECESS THEY HOPE TO PERSUADE MODERATE REPUBLICAN SENS JEFFORDS OF VERMONT COHEN OF MAINE AND DURENBERGER OF MINNESOTA TO SWITCH SIDES BUT DEMOCRATIC SEN WELLSTONE OF MINNESOTA ACKNOWLEDGES THAT THE FIGHT WILL BE DIFFICULT AND THINKS THE VOTE MAY HINGE ON THE PRESIDENT'S POWER TO PERSUADE CLINTON HASN'T PUSHED THE BILL BUT WOULD SIGN IT IF IT PASSES HIS LEVERAGE IS KEY WITH ARKANSAS DEMOCRATS PRYOR AND BUMPERS WHO VOTED WITH REPUBLICANS LAST YEAR SUBURBAN EMPLOYERS PUZZLE OVER WAYS TO BRING WORKERS FROM INNER CITIES RUSHHOUR SCHEDULES RUN THE OTHER WAY AND MANY INNERCITY WORKERS DON'T OWN CARS BUT OUTSIDE CHICAGO KRAFT GENERAL FOODS GIVES VANS TO EIGHT EMPLOYEES WHO ARE RESPONSIBLE FOR DRIVING COLLEAGUES TO AND FROM WORK THE DRIVER GETS FREE TRANSPORTATION EACH RIDER PAYS A SMALL WEEKLY FARE PANCOAST TEMPORARY SERVICES IN PITTSBURGH COORDINATES TRANSPORTATION WHEN SEVERAL TEMPS HEAD FOR SUBURBAN OFFICES SEARS ROEBUCK LINKS UP WITH PRIVATE BUS AND VAN COMPANIES TO GET SOME OF ITS WORKERS TO SUBURBAN CHICAGO THE COMPANY THEN OFFERS DAYCARE FACILITIES MERCK SUPPLIES 75 MINIVANS AND THREE 49PASSENGER BUSES TO SHUTTLE A THIRD OF ITS HEADQUARTERS EMPLOYEES TO WORK AND BACK IT ALSO HIRES A LOCAL TAXI SERVICE TO PICK PEOPLE UP AT A NEARBY TRAIN STATION TRANSSEXUAL EMPLOYEES BECOME A CORPORATE ISSUE AFTER A COURT CASE LAST MONTH THE WASHINGTON STATE SUPREME COURT UPHELD BOEING'S 1985 FIRING OF A MALE SOFTWARE ENGINEER WHO DRESSED IN WOMEN'S CLOTHES AND INSISTED ON USING THE WOMEN'S RESTROOM WHILE HIS SEXCHANGE OPERATION WAS PENDING HE WAS DEEMED TO BE A PSYCHOLOGICAL TRANSSEXUAL BY A PSYCHOLOGIST AND TREATING PHYSICIAN THE COMPANY FIRED JOHN DOE AFTER COWORKERS COMPLAINED ABOUT HIS USE OF THE WOMEN'S BATHROOM HE THEN SUED FOR DISCRIMINATION THE COURT RULED THAT BOEING DIDN'T DISCRIMINATE BECAUSE GENDER DYSPHORIA OR DISCOMFORT WITH ONE'S SEX ISN'T A TRUE HANDICAP BOEING SAYS TRANSSEXUALS MUST USE THE ANATOMICALLY PROPER RESTROOM AND CAN'T DRESS IN BLATANT CONTRAVENTION TO THEIR CURRENT SEX THAT LEADS TO PUZZLING RULES MEN CAN WEAR LIPSTICK NOT HIGH HEELS BOEING SAYS 18 EMPLOYEES HAVE ASKED ABOUT THE POLICY INDICATING THEY PLAN SEXCHANGE OPERATIONS EXECUTIVES ARE TOUGH WHEN FACED WITH POOR CUSTOMER SERVICE A STUDY SHOWS OF 402 EXECUTIVES POLLED BY COMMUNICATION BRIEFINGS 44 STOPPED DOING BUSINESS WITH THREE TO FIVE COMPANIES OVER THE PAST YEAR BECAUSE OF INADEQUATE SERVICE AN ADDITIONAL 10 WALKED OUT ON MORE THAN FIVE BUSINESSES THE WORST MISTAKE WAS FAILING TO MAKE CUSTOMERS FEEL IMPORTANT THE BLACKWOOD NJ COMPANY FOUND OTHER NEGATIVES INCLUDED EMPLOYEE RUDENESS AND CLERKS IGNORING CUSTOMERS BENEFITS GAPS BETWEEN THE SEXES MIRROR WAGE DISPARITY WOMEN ARE LESS LIKELY TO BE OFFERED PENSIONS HEALTH COVERAGE AND DISABILITY SAYS JANET CURRIE OF THE NATIONAL BUREAU OF ECONOMIC RESEARCH IT HAS LITTLE TO DO WITH CHILDREARING SHE CONTENDS EVEN SINGLE CHILDLESS WOMEN FACE THESE DIFFERENTIALS WOMEN TEND TO WORK IN LOWERPAYING JOBS WHICH DON'T PROVIDE THE SAME LEVEL OF BENEFITS ONE EXCEPTION WOMEN'S SICK LEAVE IS BETTER HAVEN'T WE HEARD THIS BEFORE THE LABOR DEPARTMENT SUES FIVE TRUSTEES OF THE HOWARD BEACH NY LOCAL 363 TEAMSTERS FOR ILLEGALLY REIMBURSING LEGAL EXPENSES INCURRED BY ONE OF ITS EMPLOYERS THE AGENCY SEEKS A COURT ORDER FORCING THE DEFENDANTS TO REIMBURSE THE TEAMSTERS' FUNDS 11 MILLION ACADEMICS CALL UNIONS ANACHRONISTIC AND URGE IMPROVING SERVICES PROFESSORS CREDIT ORGANIZED LABOR FOR ADVANCES IN WAGES BENEFITS AND WORKING CONDITIONS BUT SAY LABOR NEEDS TO MOVE FORWARD UNIONS NEED SOME NEW STRATEGIES AND SHOULDN'T RELY ON POWER TACTICS SAYS SOUTHERN METHODIST'S ROBIN PINKLEY UNIONS MUST IMPROVE THEIR IMAGE OTHERWISE THEY'LL BE SMASHED OUT ADDS DARTMOUTH PROFESSOR DAVID BLANCHFLOWER BETTER MANAGEMENT COOPERATION IS CRUCIAL SAYS CHARLES KRIDER AT KANSAS WITH UNIONS LEADING THE WAY ON PRODUCTIVITY AND QUALITY OKLAHOMA'S ROBERT DAUFFENBACH SAYS UNIONS MUST MORE ACTIVELY CHAMPION US GOODS IN WORLD MARKETS JANICE BELLACE OF PENNSYLVANIA'S WHARTON SCHOOL SEES GROWTH POTENTIAL IN AREAS NOT OFTEN ASSOCIATED WITH UNIONS SUCH AS BANKING ROBERT MCKERSIE OF MIT'S SLOAN SCHOOL PREDICTS FURTHER DROPS IN UNION ROLLS DESPITE EFFORTS TO REFORM LABOR LAWS THE CHECKOFF CALLING ITSELF A VICTIM OF THE HEALTH CRISIS THE ADVOCACY GROUP FAMILIES USA DOESN'T OFFER HEALTH INSURANCE FOR ITS TEMPORARY FIELD WORKERS ORGANIZING SUPPORT FOR HEALTHCARE REFORM NEWS RELEASES WE STOPPED READING A COMPENSATION MAGAZINE TRUMPETS ITS STORY ON PENSION ENVY IN THE OFFICE 9304130086 930413 SPRING POTATO CROP FELL 8 DUE TO STORM AND PLANTING DELAYS WASHINGTON SPRING POTATO PRODUCTION DROPPED 8 TO 198 MILLION HUNDREDWEIGHT FROM A YEAR EARLIER ACCORDING TO THE AGRICULTURE DEPARTMENT THE HARVEST DAMAGED BY STORMS IN FLORIDA AND PLANTING DELAYS IN NORTH CAROLINA IS 4 BELOW 1991 LEVELS A HUNDREDWEIGHT IS 100 POUNDS CITRUS PRODUCTION IS FORECAST AT 154 MILLION TONS THE 24 INCREASE FROM LAST SEASON IS DUE TO A BIG JUMP IN THE FLORIDA ORANGE CROP A 1 DROP IN PRODUCTION IS FORECAST FOR APRIL FROM MARCH DUE TO A DECREASE IN THE EARLY AND MIDSEASON CROP HOWEVER ORANGE PRODUCTION IS STILL UP 26 FROM LAST SEASON'S CROP TOTAL GRAPEFRUIT PRODUCTION IS ESTIMATED AT 27 MILLION TONS UP 21 FROM LAST YEAR 9304130085 930413 REVIEW & OUTLOOK EDITORIAL ASIDES GOP KILLS EASTER BUNNY WE'VE ALWAYS KNOWN THAT BOB DOLE WAS A TOUGH POLITICIAN BUT THIS REALLY TAKES THE CAKE THE REPUBLICANS' TACTICS NOW BID TO THREATEN EVEN THE EASTER BUNNY YESTERDAY WHILE SIGNING A PROCLAMATION TO ENCOURAGE CHILD IMMUNIZATIONS PRESIDENT CLINTON POINTED THROUGH THE WINDOW OF THE OVAL OFFICE TO THOUSANDS OF CHILDREN SCURRYING ABOUT THE WHITE HOUSE LAWN FOR THE ANNUAL EASTER EGG ROLL THEY THUNDERED THE PRESIDENT ARE THE HOSTAGES OF THE SENATE FILIBUSTER EGAD HOW AWFUL THAT MEAN SENATOR DOLE HAS TAKEN AMERICA'S CHILDREN HOSTAGE AND RUINED EASTER THIS IS SO BECAUSE THE PRESIDENT'S EMERGENCY JOBS PROGRAM CONTAINS MONEY FOR CHILDHOOD IMMUNIZATIONS NO WORD YET ON SIGHTINGS OF JIMMY CARTER'S ATTACK RABBIT 9304130084 930413 LAW LEGAL BEAT JONES DAY GIRDS FOR UNUSUAL FIGHT WITH RTC OVER LINCOLN SAVINGS BY WADE LAMBERT AND AMY STEVENS STAFF REPORTERS OF THE WALL STREET JOURNAL JONES DAY REAVIS & POGUE ACCUSED OF AIDING IN THE PLUNDER OF LINCOLN SAVINGS & LOAN ASSOCIATION IS PREPARING TO DEFEND ITSELF IN COURT IN AN UNUSUAL HIGHSTAKES GAMBLE WITH THRIFT REGULATORS RESOLUTION TRUST CORP THE AGENCY CHARGED WITH SALVAGING THE ASSETS OF FAILED THRIFTS IS SEEKING AT LEAST 200 MILLION IN DAMAGES FROM THE LAW FIRM FOR ALLEGEDLY HELPING CHARLES KEATING AND OTHER LINCOLN EXECUTIVES LOOT THE S&L BY COVERING UP UNSAFE AND UNSOUND BUSINESS PRACTICES MR KEATING WHOSE PHOENIXBASED AMERICAN CONTINENTAL CORP OWNED LINCOLN WAS CONVICTED EARLIER THIS YEAR OF RACKETEERING AND FRAUD THE CIVIL CASE WILL BE ONE OF THE FIRST TO TEST HOW WELL THRIFT REGULATORS' CRACKDOWN ON LAW FIRMS PLAYS WITH JURORS THE GOVERNMENT HAS ACCUSED SEVERAL OTHER MAJOR LAW FIRMS OF CONTRIBUTING TO THE S&L CRISIS BY EITHER HELPING COVER UP THRIFT EXECUTIVES' WRONGDOING OR NOT DOING ENOUGH TO ALERT REGULATORS THE LAW FIRMS HAVE TYPICALLY SETTLED WITH THE GOVERNMENT BUT MANY HAVE MAINTAINED THAT REGULATORS ARE UNFAIRLY PRESSING LAWYERS TO POLICE THEIR CLIENTS AND EVEN TO TURN ON THEM JONES DAY THE NATION'S SECOND LARGEST LAW FIRM WITH MORE THAN 1000 LAWYERS SAYS IT DID NOTHING WRONG DURING THE THREE MONTHS IT REVIEWED LINCOLN'S TROUBLED LOAN FILES IN 1986 THE CLEVELANDBASED FIRM SAYS IT MET ITS LEGAL OBLIGATIONS BY REPORTING THE IRREGULARITIES IT FOUND TO LINCOLN OFFICIALS THE LAW FIRM ALREADY OUT 24 MILLION TO SETTLE A SUIT BROUGHT BY AMERICAN CONTINENTAL BONDHOLDERS SAYS IT SHOULDN'T BE RESPONSIBLE FOR ITS CLIENTS' WRONGDOING A JURY IN THE JONES DAY CASE WAS SELECTED LAST WEEK IN FEDERAL COURT IN PHOENIX BUT OPENING STATEMENTS HAVE BEEN POSTPONED PROBABLY UNTIL NEXT WEEK BECAUSE THE JUDGE PRESIDING OVER THE CASE IS ILL THE FIRM FEELS VERY STRONGLY THAT IT DID NOTHING WRONG IN FACT THEY PROVIDED GOOD AND PROPER LEGAL SERVICES TO THEIR CLIENT SAID ROBERT LONG AN ATTORNEY FOR JONES DAY FROM LOS ANGELES LAW FIRM LATHAM & WATKINS THE GOVERNMENT IS TRYING TO CHANGE THE GROUND RULES ABOUT HOW LAWYERS CONDUCT THEMSELVES DESPITE MANY FIRMS' DECISION TO SETTLE WITH REGULATORS RATHER THAN RISK AN ADVERSE JURY VERDICT MR LONG SAYS THAT IN JONES DAY'S CASE SOMEBODY IS GOING TO FINALLY STAND UP AND FIGHT NONETHELESS THE SAME PRESSURES THAT FORCED OTHER LAW FIRMS TO CAPITULATE FACE JONES DAY AS WELL A HUGE JURY VERDICT COULD WIPE OUT JONES DAY'S INSURANCE COVERAGE WHICH IS ESTIMATED TO HAVE FALLEN BELOW 40 MILLION JONES DAY HAS DECLINED TO COMMENT ON ITS INSURANCE COVERAGE DEPENDING ON THE SIZE OF THE AWARD THE LAW FIRM'S 400 PARTNERS MIGHT HAVE TO CHIP IN PERSONALLY TO COVER THE DAMAGES BECAUSE OF THAT RISK SOME LAWYERS OUTSIDE THE FIRM PREDICT THAT DESPITE ITS PROTESTATIONS JONES DAY WILL SUBMIT TO A SETTLEMENT BEFORE THE TRIAL ENDS IN LINCOLNRELATED CASES ALONE THREE OTHER LAW FIRMS HAVE SETTLED WITH THRIFT REGULATORS INCLUDING NEW YORK LAW FIRM KAYE SCHOLER FIERMAN HAYS & HANDLER WHICH PAID 41 MILLION TO SETTLE WITH THE RTC'S SISTER AGENCY THE OFFICE OF THRIFT SUPERVISION WHEN IT FILED ITS ADMINISTRATIVE CHARGES AGAINST KAYE SCHOLER THE OTS ALSO TOOK THE UNUSUAL MEASURE OF FREEZING KAYE SCHOLER'S ASSETS A MOVE THAT THE RTC CAN'T TAKE WITHOUT A COURT ORDER I THINK JONES DAY HAS A LOT OF PEOPLE CHEERING THEM ON IN HOPES THAT SOME OF THE THEORIES ADVANCED BY THE RTC WILL BE BEATEN BACK SAID ANDREW KAUFMAN PROFESSOR OF ETHICS AT HARVARD LAW SCHOOL JONES DAY WAS RETAINED BY LINCOLN IN 1986 TO HELP THE THRIFT PREPARE FOR AN EXAMINATION BY THE FEDERAL HOME LOAN BANK BOARD JONES DAY WAS TO CONDUCT A DRY RUN EXAMINATION TO SPOT ANY POTENTIAL PROBLEMS IN LINCOLN'S LOAN FILES THE LAW FIRM SAYS IT DID ITS JOB BY REPORTING THE IRREGULARITIES IT FOUND TO LINCOLN'S EXECUTIVES AND BY INSTRUCTING THE FIRM ON HOW TO CORRECT THE PROBLEMS IN COURT DOCUMENTS JONES DAY SAID THAT IT FULFILLED ITS LEGAL AND CONTRACTUAL OBLIGATIONS TO LINCOLN JONES DAY DID EXACTLY WHAT IT WAS ASKED TO DO BUT THE RTC MAINTAINS THAT JONES DAY SHOULD HAVE TAKEN ITS FINDINGS TO THE THRIFT'S BOARD AND NOT JUST TO THE INDIVIDUAL EXECUTIVES TO WHOM THE LAW FIRM WAS REPORTING BY NOT DOING SO THE RTC ALLEGES IN ITS SUIT JONES DAY ACQUIESCED IN ASSISTED AND COOPERATED IN THE DECEPTION ALLEGEDLY COMMITTED BY LINCOLN EXECUTIVES IN A VICTORY FOR JONES DAY THE JUDGE HANDLING THE CASE RULED LAST MONTH THAT MR KEATING AND OTHER DEFENDANTS WILL BE TRIED SEPARATELY FROM THE LAW FIRM STILL JONES DAY WILL HAVE TO SHAKE THE TAINT OF MR KEATING WHO IS SERVING A 10YEAR SENTENCE ON FRAUD CHARGES FOR SIPHONING MONEY OUT OF LICOLN FOR HIS OWN USE ALTHOUGH MR KEATING HAS BEEN CONVICTED ON STATE AND FEDERAL CRIMINAL CHARGES HE ALSO IS A DEFENDANT IN THE 271PAGE CIVIL SUIT FILED BY THRIFT REGULATORS DESPITE THE ATTENTION THE LINCOLN CASES HAVE RECEIVED JURIES MAY BE MORE SYMPATHETIC TO JONES DAY'S DEFENSE NOW THAN THEY WOULD HAVE BEEN DURING THE HEIGHT OF THE SAVINGSANDLOAN CRISIS SAYS VIC SIMON EDITOR OF BANK BAILOUT LITIGATION NEWS THERE'S NO QUESTION THAT JUDGES AND JURIES ARE MORE DOWNTHEMIDDLE RIGHT NOW COMPARED WITH A YEAR OR TWO YEARS AGO WHEN THEY WERE VERY PRORTC AND FEDERAL DEPOSIT INSURANCE CORP PEOPLE NOW AREN'T AS AFRAID OF THE COST OF THE THRIFT CRISIS BLOWING THE GOVERNMENT AWAY SAYS MR SIMON COMMERCIAL ACTORS IN NEVADA WILL NO LONGER BE ABLE TO SAY I'M NOT A LAWYER BUT I PLAY ONE ON TV THAT'S BECAUSE NEVADA HAS IMPLEMENTED STRICT RULES ON THE KINDS OF ADVERTISING TECHNIQUES LAWYERS CAN USE NOW AT LEAST THREE STATES HAVE SUCH RULES UNDER RULES SET DOWN LAST MONTH BY THE NEVADA SUPREME COURT ANYONE APPEARING IN A LAWFIRM ADVERTISEMENT AS A LAWYER MUST INDEED BE A LAWYER ADMITTED TO PRACTICE LAW IN NEVADA IN ADDITION LAWYERS' ADS CAN'T USE JINGLES ONLY INSTRUMENTAL MUSIC IS PERMITTED FURTHER DRAMATIZATIONS SUCH AS THE COMMON VERSION SHOWING AN ACCIDENT VICTIM SUING FOR DAMAGES ARE OUT ACCORDING TO THE RULES PRINTS ADS USING PICTURES CANNOT UNDULY APPEAL TO ANY EMOTION OR PASSION ACCEPTABLE ILLUSTRATIONS INCLUDE SCENES SUCH AS A LAWYER WORKING BEHIND A DESK CONSULTING WITH ANOTHER ATTORNEY WORKING IN THE LIBRARY CLIMBING COURTHOUSE STEPS OR OTHER SIMILAR SCENES REFLECTING ACTIVITIES COMMONLY PERFORMED BY LAWYERS THE NEVADA RULES ARE SIMILAR TO THOSE ADOPTED BY FLORIDA TWO YEARS AGO IOWA HAS THE STRICTEST RULES IN THE COUNTRY SAID MARTIN SOLOMON A SPOKESMAN FOR THE INSTITUTE FOR ACCESS TO LEGAL SERVICES PHOENIX LAWYERS IN THE DIVORCE PROCEEDINGS OF IVAN BOESKY AND HIS FORMER WIFE SEEMA SAID THEY EXPECT A TRIAL TO BEGIN AS EARLY AS NEXT WEEK ON THE FORMER ARBITRAGER'S CLAIM THAT HE SHOULD BE GRANTED A SIGNIFICANT CHUNK OF THE ROUGHLY 100 MILLION IN ASSETS CONTROLLED BY HIS WIFE SETTLEMENT TALKS HAD BEEN PROCEEDING IN THE CASE BUT LAWYERS ON BOTH SIDES SAID THEY NOW SEE LITTLE PROSPECT OF REACHING AN AGREEMENT ACTING SUPREME COURT JUSTICE PHYLLIS GANGELJACOB LAST MONTH GRANTED A DIVORCE TO THE BOESKYS LEAVING ONLY THE FINANCIAL ISSUES TO BE WORKED OUT AMONG THE ISSUES THAT WILL DOMINATE THE TRIAL IF NO SETTLEMENT IS REACHED FIRST IS MR BOESKY'S CLAIM THAT HE HELPED TURN THE BEVERLY HILLS HOTEL INTO THE VALUABLE PROPERTY THAT MARVIN DAVIS BOUGHT FOR 135 MILLION IN 1986 PREVIOUSLY MS BOESKY HAD BEEN LEFT A 48 INTEREST IN THE HOTEL BY HER FATHER AND MR BOESKY AND HIS WIFE HAD ACQUIRED AN ADDITIONAL 4 THE HOTEL IS NOW OWNED BY THE SULTAN OF BRUNEI THE TRIAL COULD ALSO SHED LIGHT ON HOW MUCH MONEY MR BOESKY WHO SERVED 22 MONTHS IN PRISON AND PAID A 100 MILLION CIVIL SETTLEMENT OF INSIDERTRADING CHARGES HAS OF HIS OWN THE OUTCOME OF THE TRIAL IS IMPORTANT NOT JUST TO MR BOESKY BUT TO MAXUS ENERGY CORP UNDER THE TERMS OF A SETTLEMENT ANNOUNCED LAST NOVEMBER DALLASBASED MAXUS WILL COLLECT 35 OF WHATEVER MR BOESKY GETS FROM HIS WIFE MAXUS CLAIMED THAT HIS INSIDER TRADING COST ITS PREDECESSOR COMPANY 492 MILLION LLOYD'S VICTORY LLOYD'S OF LONDON DOESN'T HAVE TO INDEMNIFY SAN FRANCISCO'S ELITE OLYMPIC CLUB IN RACEDISCRIMINATION AND SEXDISCRIMINATION LAWSUITS BROUGHT BY THE CITY ATTORNEY THE NINTH US CIRCUIT COURT OF APPEALS HELD A THREEJUDGE PANEL OF THE APPEALS COURT BASED IN SAN FRANCISCO AFFIRMED 21 A LOWER COURT'S DECISION THAT THE LANGUAGE OF THE INSURANCE POLICY DOESN'T REQUIRE INDEMNIFICATION SINCE THE LAWSUITS WERE FILED THE ATHLETIC AND SOCIAL CLUB HAS STARTED OFFERING MEMBERSHIPS TO MINORITIES AND WOMEN JONATHAN M MOSES CONTRIBUTED TO THIS COLUMN 9304130083 930413 CHINA'S GUANGDONG TO MAKE BOND OFFER BY MICHAEL R SESIT STAFF REPORTER OF THE WALL STREET JOURNAL LONDON FOR THE FIRST TIME SINCE THE COMMUNIST TAKEOVER OF CHINA IN 1949 US AND EUROPEAN INSTITUTIONAL INVESTORS SOON WILL GET A CHANCE TO BUY DEBT ISSUED BY CHINA'S GUANGDONG PROVINCE ONE OF THE WORLD'S FASTESTGROWING ECONOMIES THIS WEEK GUANGDONG INTERNATIONAL TRUST & INVESTMENT CORP WILL ANNOUNCE ITS PLANS TO SELL 150 MILLION OF FIVEYEAR FLOATINGRATE BONDS IN EUROPE GITIC WHICH IS DEDICATED TO ECONOMIC DEVELOPMENT IS THE OFFICIAL BORROWER OF GUANGDONG PROVINCE WHOSE ECONOMY HAS SOARED 125 ANNUALLY DURING THE PAST 12 YEARS AND GREW AN ESTIMATED 195 LAST YEAR THE PROVINCE WHOSE CAPITAL IS CANTON HAS 66 MILLION PEOPLE MORE THAN EITHER FRANCE OR BRITAIN AND A LAND MASS EQUAL TO THE STATE OF MINNESOTA CHINA'S OWN GROWTH DURING THE PAST DECADE HAS AVERAGED JUST UNDER 10 GUANGDONG IS THE PLACE THAT DENG XIAOPING CHINA'S PARAMOUNT LEADER HAS DESIGNATED AS THE SHOWCASE FOR CHINESE ECONOMIC DEVELOPMENT SAID ANDREW WILSON A HONG KONGBASED CORPORATE FINANCE DIRECTOR AT UNION BANK OF SWITZERLAND THE LEAD UNDERWRITER OF THE GITIC ISSUE GUANGDONG'S GOAL IS TO BECOME THE FIFTH DRAGON' OF ASIA AFTER HONG KONG SINGAPORE SOUTH KOREA AND TAIWAN CHINESE INVESTMENTS ARE HOT LAST YEAR US INVESTORS ALONE PURCHASED A NET 281 BILLION OF HONG KONG STOCKS WHICH ARE INCREASINGLY VIEWED AS THE BEST WAY TO BET ON CHINA'S BOOMING ECONOMY THAT IS UP SEVENFOLD FROM 402 MILLION IN 1985 ACCORDING TO THE SECURITIES INDUSTRY ASSOCIATION A NEW YORK TRADE GROUP FOR THESE AND OTHER REASONS INVESTMENT BANKERS SAID THE GUANGDONG BOND OFFERING TO BE PRESENTED TO MONEY MANAGERS IN PARIS ZURICH AND LONDON NEXT WEEK SHOULD APPEAL TO THE GLOBAL INSTITUTIONAL INVESTORS AT WHICH IT IS AIMED INDIVIDUAL INVESTORS IN THE US WOULD HAVE TO SET UP A FOREIGN ACCOUNT TO PURCHASE THE BONDS BECAUSE THEY ARE NOT BEING REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION THE BANKERS NOTE THERE IS A SCARCITY OF QUALITY CHINESE DEBT AVAILABLE AND THAT THE DEAL SHOULD BE ATTRACTIVELY PRICED AT BETWEEN 055 AND 060 PERCENTAGE POINT ABOVE THE LONDON INTERBANK OFFERED RATE WHICH IS THE RATE AT WHICH BIG BANKS IN LONDON LEND TO ONE ANOTHER THE SIXMONTH LIBOR IS CURRENTLY 3 3/8 IN ADDITION THE ISSUE IS EXPECTED TO CARRY A BAA1 INVESTMENTGRADE CREDIT RATING FROM MOODY'S INVESTORS SERVICE INC ACCORDING TO PEOPLE FAMILIAR WITH GITIC MOODY'S ANNOUNCEMENT IS EXPECTED TODAY THE BAA1 RATING IS EQUAL TO CHINA'S OWN CREDIT RATING WHICH WAS DOWNGRADED FROM SINGLEA FOLLOWING THE JUNE 1989 TIANANMEN SQUARE MASSACRE SINCE THEN HOWEVER CHINA'S ECONOMY HAS GROWN SPEARHEADED BY GUANGDONG WHICH IS BEING USED AS AN ECONOMIC MODEL FOR THE REST OF CHINA TO FOLLOW SAID HUGH CORBETT HEAD OF CORPORATEBOND RESEARCH AT UBS IN LONDON GUANGDONG ALSO CONTAINS SHENZHEN ONE OF CHINA'S SPECIAL ECONOMIC ZONES AND THE SEAT OF ONE OF ITS TWO STOCK EXCHANGES IT USED TO BE SAID THAT GUANGDONG'S ECONOMIC HEALTH AND PROGRESS DEPENDED ON HONG KONG SAID MR CORBETT IT'S NOW APPARENT THAT THE REVERSE IS THE CASE AND THAT HONG KONG IS BECOMING INCREASINGLY DEPENDENT ON GUANGDONG AN EXAMPLE OF THE CLOSE INTEGRATION OF THE TWO IS THAT HONG KONGBASED MANUFACTURERS EMPLOY ABOUT THREE MILLION WORKERS IN GUANGDONG WHICH BORDERS HONG KONG GUANGDONG IS A SOVEREIGN ENTITY WHICH HAS ONE OF THE FASTEST GROWTH RATES ANYWHERE IN THE WORLD SO THERE SHOULD BE LITTLE CONCERN ABOUT ITS ABILITY TO SERVICE THE DEBT SAID THOMAS J BERGER DIRECTOR OF FIXEDINCOME INVESTMENT AT LOMBARD ODIER INVESTMENT MANAGEMENT SERVICES LTD IN LONDON IT'S AN EXCITING AREA AND THE FACT THAT IT HAS AN INVESTMENT GRADE CREDIT RATING SHOULD OPEN IT UP TO A LOT OF BUYERS OTHER CHINESE ORGANIZATIONS HAVE SOLD BONDS INTERNATIONALLY BUT WITH ONE EXCEPTION THEY HAVE ALL BEEN UNITS OF THE CENTRAL CHINESE GOVERNMENT AND ALMOST ALL HAVE BEEN SOLD TO ASIAN INVESTORS SAID MR WILSON GITIC IS THE THIRD CHINESE BORROWER TO OBTAIN A CREDIT RATING THE OTHER TWO WERE CHINESE GOVERNMENT AGENCIES BANKERS SAID THERE HAS BEEN TALK OF CHINA SELLING DOLLARDENOMINATED DEBT IN THE US SOCALLED YANKEE BONDS BUT THERE ARE TWO COMPLICATIONS ONE PROBLEM IS THAT CHINA HAS DEBT OUTSTANDING THAT WAS DEFAULTED ON AFTER THE COMMUNIST TAKEOVER ESPECIALLY THAT SOLD BY THE SHANGHAI RAILWAY BANKERS SAID THE OTHER IS THAT CHINA IS UNCOMFORTABLE SELLING BONDS AT A TIME CONGRESS IS MORE CLOSELY SCRUTINIZING USCHINESE RELATIONS OF COURSE NO INVESTMENT CAN BE CONSIDERED RISKFREE YOU WONDER WHETHER OVER TIME CHINA CAN SUSTAIN FAST ECONOMIC GROWTH WITHOUT OFFERING ITS PEOPLE POLITICAL FREEDOMS AS WELL SAID DAVID STRONGIN DIRECTOR OF INTERNATIONAL FINANCE AT THE SECURITIES INDUSTRY ASSOCIATION MR CORBETT OF UBS THINKS IT CAN GUANGDONG PROVINCE IS FOLLOWING A SIMILAR AUTHORITARIAN MODEL OF BUSINESS DEVELOPMENT AS OTHER ECONOMIES IN EAST ASIA SOUTH KOREA HONG KONG SINGAPORE AND TAIWAN HE SAID WHILE A LOT OF PEOPLE QUESTION WHETHER IT CAN CONTINUE MUCH LONGER I FEEL THEY'VE COME UP WITH A SUCCESSFUL MODEL 9304130081 930413 IN MEDIEVAL BOLOGNA LOCALS SAY THEY ARE BETTER OFF RED COMMUNISTS AREN'T CORRUPT AND TRAMS RUN ON TIME BUT SPAGHETTI IS 30 A PLATE BY CRAIG FORMAN AND LISA BANNON STAFF REPORTERS OF THE WALL STREET JOURNAL BOLOGNA ITALY COME TO THIS MAJESTIC MEDIEVAL CITY IT IS SAID AND YOU WILL SEE THE FUTURE OF COMMUNISM SO HERE WE ARE OUTSIDE THE MAGNIFICENT 13THCENTURY TOWN HALL WHERE COMMUNISTS HAVE GOVERNED FOR NEARLY 50 YEARS A PROSPEROUS LOCAL BUSINESSMAN NAMED SAUL JACOPI STICKS A PLASTIC CARD INTO A BLINKING CITY COMPUTER EMBEDDED IN THE BUILDING'S BRICKWORK SECONDS LATER OUT POPS AN OFFICIALLOOKING PAPER NEEDED FOR HIS CAR REGISTRATION IN ITALY WHERE DEALING WITH THE LOCAL BUREAUCRACY CAN TAKE WEEKS SUCH SERVICE IS NOTHING SHORT OF STAR WARS BOLOGNA'S CIVIC COMPUTER THE FIRST IN ITALY CAN ISSUE BIRTH CERTIFICATES AND RESIDENCE PERMITS AS WELL AS PROCESS PASSPORT APPLICATIONS IF THIS IS THE FUTURE OF COMMUNISM IT WORKS THE COMMUNISTS RUN BOLOGNA VERY WELL I WOULDN'T LIVE ANYWHERE ELSE SAYS MR JACOPI WHO ISN'T A PARTY MEMBER THEN HE NOTICES A MESSAGE AT THE BOTTOM OF HIS PAPERWORK SAYING HE OWES BACK TAXES PROBABLY TO PAY FOR THIS MACHINE HE GRUMBLES AS HE HEADS TO THE TAX ASSESSOR'S OFFICE IN BERLIN WHERE THE WALL ONCE STOOD CAPITALISTS NOW ARE BUILDING CORPORATE BOARDROOMS IN PRAGUE WHAT'S SPRINGING UP ARE SHOPPING MALLS BUT BEAUTIFUL BOLOGNA WITH ITS WORKERS' COOPERATIVES ITS GOVERNMENTOWNED PHARMACIES AND ITS VIA STALINGRADO REMAINS AMONG THE LAST PROUD BASTIONS OF EUROCOMMUNISM THE FACT THAT BOLOGNA HAS BEEN RUN BY COMMUNISTS IS LESS IMPORTANT THAN THE FACT THAT IT HAS BEEN RUN EFFICIENTLY SAYS PROF GIANFRANCO PASQUINO A LONGTIME RESIDENT AND POLITICAL SCIENTIST AT JOHNS HOPKINS UNIVERSITY'S BOLOGNA RESEARCH CENTER THEY HAVE TAKEN VERY GOOD CARE OF THE TOWN AND THAT'S AN EXCEPTION FOR ITALY INDEED IT'S A MEASURE OF JUST HOW CHAOTIC ITALY'S POLITICAL LANDSCAPE HAS BECOME THAT ONE HAS TO VISIT BOLOGNA TO FIND SOME SEMBLANCE OF POLITICAL STABILITY AND EFFICIENT GOVERNMENT IN ITALY THE COUNTRY'S EVERWIDENING CORRUPTION SCANDAL HAS TAINTED VIRTUALLY THE ENTIRE RULING CLASS SO FAR MORE THAN 2500 PEOPLE HAVE BEEN ARRESTED OR PLACED UNDER INVESTIGATION INCLUDING THE HEADS OF THE MAJOR POLITICAL PARTIES THREE FORMER PRIME MINISTERS MORE THAN A DOZEN FORMER CABINET MEMBERS AND TOP EXECUTIVES AT MANY LEADING COMPANIES BY THE END OF THIS MONTH THE COUNTRY IS LIKELY TO HAVE A WHOLE NEW ELECTORAL SYSTEM ON APRIL 18 VOTERS GO TO THE POLLS IN A REFERENDUM THAT WILL BEGIN TO REPLACE THE OLD PROPORTIONALREPRESENTATION SYSTEMUNDER WHICH EVEN THE TINIEST FACTIONS WERE GUARANTEED PARLIAMENT SEATS WITH A MAJORITY SYSTEM MORE AKIN TO AMERICA'S THE NEW SYSTEM IS EXPECTED TO DECREASE THE NUMBER OF POLITICAL PARTIES REPRESENTED IN PARLIAMENT FROM THE CURRENT CUMBERSOME 15 TO TWO OR THREE WITH ITALY ON THE VERGE OF THE BIGGEST POLITICAL CHANGES IN HALF A CENTURY THE POWERSTHATBE ARE QUAKING IN ROME BUT BOLOGNA STANDS IN VIVID CONTRAST WITH ITS POLITICAL BIGWIGS LARGELY UNTAINTED BY THE SCANDALS FEW NEW POLITICAL FACES WILL BE SEEN IN BOLOGNA NEXT MONTH THE LEFT WILL STILL BE IN CHARGE AND THE TRAMS WILL STILL RUN ON TIME WE ARE THE CAPITAL OF GOOD PUBLIC ADMINISTRATION I WANT TO RENEW THAT TRADITION SAYS BOLOGNA'S MAYOR WALTER VITALI TO BE SURE BOLOGNA'S AUTHORITIES HAVE ALWAYS EMBRACED A SPECIAL BRAND OF COMMUNISM THAT IS UNIQUE TO ITALY BORN OF THE FIERCE ANTIFASCISM OF THE MUSSOLINI ERA THE BOLOGNESE COMMUNISTS NEVER FAVORED STATE CONTROL OF THE MEANS OF PRODUCTION NOR WERE THEY AS IDEOLOGICALLY MINDED AS THE STALINIST EXTREMISTS FURTHER EAST THE COMMUNISTS STILL THE COUNTRY'S SECONDLARGEST PARTY ARE FEARED ELSEWHERE BUT HERE COMMUNISM IS APPLIED WITH A PLATINUM HAMMER AND SICKLE WORKERS' COOPERATIVES AND COLLECTIVE FARMING PEACEFULLY COHABITED WITH CAPITALISM THE LOCAL PARTY DIDN'T ALIENATE AND HAS TRIED TO COURT LOCAL INDEPENDENT BUSINESSMEN AND PROPERTY OWNERS WHO SHOP AT THE BRANCHES OF LOUIS VUITTON AND GIORGIO ARMANI THE BOLOGNESE AUTHORITIES CONSTANTLY EXPERIMENT WITH THEIR COMMUNISM LACING THEIR POLICIES WITH A HEAVY DOSE OF PRAGMATISM IN THE 1970S THE CITY TRIED TO COLLECTIVIZE HOUSING IN THE CITY CENTER WITH COOPERATIVES BUT ABANDONED THE EFFORT AFTER A POPULAR OUTCRY YET UNLIKE ROME BOLOGNA SUCCEEDED IN RESTORING THE CITY CENTER WHILE RETAINING ITS ANCIENT FLAVOR REALESTATE PRICE CONTROLS ENABLED RESIDENTS TO KEEP THEIR HOMES THERE THE CITY ADMINISTERS AN EXTENSIVE SOCIALSERVICES NETWORK FINANCED PARTLY BY PROPERTY TAXES THAT ARE NOTICEABLY HIGHER THAN THE REST OF THE COUNTRY BOLOGNA'S HEAVY SPENDING ON PUBLIC SERVICES HAS MADE IT A MODEL IN ITALY FOR QUALITY EDUCATION EFFICIENT HEALTH CARE AND HELP FOR THE MENTALLY ILL AND DISABLED CITYOWNED COOPS KEEP PRICES AFFORDABLE FOR EVERYTHING FROM PHARMACEUTICALS AND TRANSPORTATION TO DRINKS AT LOCAL CAFES TAKE THE CITYRUN HEALTH SERVICE THERE IS PRIVATE MEDICAL CARE BUT MOST PEOPLE DON'T NEED IT BECAUSE THE PUBLIC SYSTEM WITH ITS TEACHING HOSPITALS AND RESEARCH INSTITUTESIS SO GOOD WHILE 30 OF HEALTH CARE IS PROVIDED BY THE PRIVATE SECTOR IN SOME PARTS OF SOUTHERN ITALY ONLY 35 OF BOLOGNESE RESORT TO PRIVATE CLINICS WHAT WAS DONE BY THE COMMUNIST PARTY WAS DONE FOR THE PEOPLE AND AS RESULT THE PUBLIC HEALTHCARE STRUCTURE WORKS VERY WELL SAYS A CHAGRINED MAURIZIO CEVENINI HEAD OF THE PRIVATE HOSPITAL ASSOCIATION HE DIRECTS THE PRIVATE CLINIC AT VILLALBA A TRANQUIL RETREAT IN THE HILLS ABOVE BOLOGNA BUT WHEN ASKED ABOUT WHAT DISTINGUISHES PRIVATE TREATMENT FROM PUBLIC HIS ANSWER IS SIMPLE THE FOOD AND SURROUNDINGS IN AN ELEGANT OFFICE DECORATED WITH RENAISSANCE FRESCOES EVEN MAYOR VITALI SAYS BOLOGNA MUST MAKE SOME CHANGES TO FINETUNE THE SOCIAL SAFETY NET SO THE WEAK CAN GET GOOD SERVICE JUST LIKE THE RICH HE WANTS TO PRIVATIZE SOME OF THE PHARMACIES AND EXPAND THE FACILITIES FOR TOURISM AND BUSINESS CONFERENCES WHEN ASKED IF HE FEELS CLOSER IDEOLOGICALLY TO KARL MARX OR ADAM SMITH HE DOESN'T MISS A BEAT I FEEL CLOSEST TO JOHN MAYNARD KEYNES HE SAYS WHEN ITALY'S COMMUNIST PARTY CHANGED ITS NAME TO THE DEMOCRATIC PARTY OF THE LEFT A COUPLE OF YEARS AGO BOLOGNA FOLLOWED SUIT BUT EVERYONE STILL CALLS THEM THE COMMUNISTS AND MOST PEOPLE SEEM COMFORTABLE WITH THE CITY BEING A SHOWPIECE FOR HOW WELL COMMUNISM CAN WORK MORE EXPERIMENTATION MAY SOON BE IN ORDER HERE PRICES ARE SOME OF THE HIGHEST IN ITALY AS BUSINESSES RAISE THEIR CHARGES TO PAY HIGHER TAX BILLS A 10MINUTE TAXI FARE COSTS 12 A PLATE OF SPAGHETTI CAN COST 30 AND A TINY STUDIO APARTMENT IN THE CITY CENTER RUNS UPWARD OF 400000 SOME BUSINESSES PROTESTED THE HIGH TAXES BY MOVING AWAY COMMUNISM DIED WHEN WE BECAME RICH SAYS ALFIO MARANI A WAITER AT THE CENTRAL TRAIN STATION BAR WHO HAS WORKED UNDER BOTH COMMUNIST COOPS AND PRIVATE MANAGEMENT EVERYONE NOW LOOKS OUT FOR HIMSELF BUT IN BOLOGNA IT'S EASY TO FIND AN ARGUMENT AS WELL AS SOMEONE PROUD TO CALL HIMSELF A MARXIST PAOLO LUPI A PARAMEDIC DRINKING A BEER AND SMOKING A MARLBORO AT A BAR INTERRUPTS MR MARANI TO OPEN HIS OWN DIALECTIC COMMUNISM MAY BE ON THE RUN FROM THE ATLANTIC TO THE URALS HE SUGGESTS BUT WOULDN'T LIFE IN BOLOGNA BE WORSE WITHOUT THE LEFT AS FOR SETBACKS ELSEWHERE MR LUPI OPINES JUST BECAUSE THE INTERPRETATION FAILED DOESN'T MEAN THE THEORY FAILED HE TAKES ANOTHER PUFF ON HIS CIGARETTE MARXISM ISN'T DEAD HE SAYS IT'S JUST IN REMISSION 9304130080 930413 TECHNOLOGY & HEALTH MOTOROLA PROFIT SURGED BY 63 IN FIRST QUARTER BY RALPH T KING JR STAFF REPORTER OF THE WALL STREET JOURNAL MOTOROLA INC'S FIRSTQUARTER EARNINGS ROSE SHARPLY FOR THE SIXTH CONSECUTIVE QUARTER ON BRISK SALES OF BOTH SEMICONDUCTORS AND CELLULAR PRODUCTS THE SCHAUMBURG ILL COMPANY SAID EARNINGS SURGED 63 TO 204 MILLION OR 75 CENTS A SHARE FROM 125 MILLION OR 47 CENTS A SHARE A YEAR EARLIER BEFORE ADJUSTMENTS FOR VARIOUS RETIREMENT BENEFITS REVENUE CLIMBED 19 TO 363 BILLION FROM 305 BILLION THE CONSENSUS WAS FOR MOTOROLA TO EARN 64 CENTS A SHARE ACCORDING TO ZACKS INVESTMENT RESEARCH INC RESULTS WERE RELEASED AFTER THE CLOSE OF NEW YORK STOCK EXCHANGE TRADING WHERE MOTOROLA ROSE 325 TO 72 THE STOCK HIT A 1993 LOW OF 4875 IN JANUARY AFTER A SPATE OF PUBLICITY CONCERNING A LAWSUIT ALLEGING MOTOROLA'S CELLULAR PHONES CAUSED A CASE OF BRAIN CANCER NET MARGINS ROSE BY MORE THAN ONETHIRD TO 56 FROM 41 A YEAR AGO MAINLY BECAUSE OF CHIP SALES THE COMPANY IS ENJOYING HIGH PRODUCTION LEVELS AND THUS LOW OPERATING COSTS AT ITS CHIPMAKING PLANTS AROUND THE WORLD APPARENTLY THE HEALTH SCARE RELATED TO THE USE OF CELLULAR PHONES HAD LITTLE IMPACT ON THE SALE OF MOTOROLA'S PHONES SALES OF THOSE PRODUCTS ROSE 33 TO 106 BILLION ANALYSTS SAID PEOPLE MAY BE USING PHONES LESS BUT PURCHASES OF THE EQUIPMENT DON'T SEEM TO HAVE SLOWED STILL ORDERS WERE UP ONLY 26 FROM A YEAR EARLIER COMPARED WITH A RISE OF 64 IN THE FOURTH QUARTER SALES OF SEMICONDUCTORS ROSE 20 TO 128 BILLION REFLECTING STRONG DEMAND FROM MAKERS OF PERSONAL COMPUTERS SUCH AS APPLE COMPUTER INC AND OTHER PRODUCTS SUCH AS AUTOMOBILES AND DIGITAL SIGNAL PROCESSING EQUIPMENT MOTOROLA'S THIRD PRINCIPAL BUSINESS COMMUNICATIONS PRODUCTS SUCH AS PAGERS AND TWOWAY RADIOS POSTED A 19 SALES GAIN TO 109 BILLION ITS PAGERS HAVE BEEN SELLING ESPECIALLY WELL IN CHINA WHERE THEY ARE STATUS SYMBOLS CHINA IS NOW THE THIRDLARGEST PAGER MARKET IN THE WORLD AFTER THE US AND JAPAN MOTOROLA ALONE SHIPPED ONE MILLION PAGERS TO CHINA IN 1992 UP FROM AN ESTIMATED 100000 THE YEAR BEFORE ORDERS IN THE COMMUNICATIONS SEGMENT ROSE 24 WHILE CLIMBING 35 IN THE CHIPS SECTOR FINALLY THE TRANSITION TO A WIRELESS WORLD IS BEGINNING TO BENEFIT MOTOROLA ON THE TOP AND BOTTOM LINES SAID DREW PECK AN ANALYST WITH DONALDSON LUFKIN & JENRETTE IT'S VERY WELL DEVELOPED TO TAKE ADVANTAGE OF THE EXPLOSION OF WIRELESS COMMUNICATIONS AND I CAN SEE ANOTHER FEW YEARS OF VERY HIGH GROWTH MR PECK CITED THE GROWTH IN A PERSONAL COMMUNICATION SERVICE IN SINGAPORE AND HONG KONG KNOWN AS TELEPOINT THE SERVICE A VARIATION OF CELLULAR SYSTEMS USED IN THE US HAS GAINED A LARGE NUMBER OF USERS ANALYSTS SAID PROFITS FROM MOTOROLA'S TELECOMMUNICATIONS PRODUCTS WILL MAKE A FAR GREATER CONTRIBUTION STARTING IN 1994 FOR THE BALANCE OF THIS YEAR ITS PROFITABILITY TREND WILL HINGE MOSTLY ON CONTINUED STRENGTH IN SEMICONDUCTORS IF CHIPS BEGIN TO SLUMP LATER IN THE YEAR THE COMPANY'S STOCK PRICE COULD SUFFER IN THE SHORT TERM A YEAR AGO THE COMPANY TOOK A ONETIME ACCOUNTING CHARGE FOR POSTRETIREMENT BENEFITS OTHER THAN PENSIONS THAT REDUCED NET INCOME BY 46 CENTS A SHARE TO ONE CENT A SHARE 9304130079 930413 NASD CURBS MEET SEC HURDLES BY ANNE NEWMAN STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK IT WAS SUPPOSED TO BE A FASTTRACK WAY TO CRACK DOWN ON UNETHICAL SECURITIES TRADERS AND BROKERS SLOW TRACK WOULD BE MORE LIKE IT MORE THAN TWO YEARS HAVE PASSED SINCE THE NATIONAL ASSOCIATION OF SECURITIES DEALERS UNSHEATHED A NEW AND POWERFUL REGULATORY TOOL KNOWN IN LAWYERESE AS AN EXPEDITED REMEDIAL PROCEEDING ARMED WITH THIS NEW REGULATORY WEAPON THE NASD WAS EMPOWERED TO CLOSE DOWN A SUSPECT FIRM FOR AS LONG AS SIX MONTHS WHILE CONDUCTING A SPEEDY REVIEW OF ITS POSSIBLE MISDEEDS WHAT'S THE SCORE SO FAR UNDER THE NEW PROCEDURE TWO NASD CASES WERE BROUGHT BUT NEITHER BROKERAGE FIRM WAS SHUT DOWN BY THE NASD AND A LOT OF ANGRY LAWYERS ARE ATTACKING THE FASTTRACK PROCEEDING AS UNFAIR TO CLIENTS PERHAPS MOST SURPRISING A MAJOR OBSTACLE TO THE NASD PROCESS HAS TURNED OUT TO BE A FELLOW REGULATOR THE SECURITIES AND EXCHANGE COMMISSION EVEN THOUGH THE SEC ITSELF BLESSED THE FASTTRACK PROCESS THE SEC UNEXPECTEDLY SET UP ROADBLOCKS THE FIRST TWO TIMES THAT NASD CHOSE TO DEPLOY THE NEW WEAPON THE SEC WON'T COMMENT BUT COMMISSION ATTORNEYS APPEAR TO BE WORRIED ABOUT WHETHER THE FASTTRACK SYSTEM IS DENYING THE AFFECTED BROKERS DUE PROCESS UNDER THE LAW LAST SUMMER FOR EXAMPLE THE NASD SOUGHT TO SUSPEND JW GANT & ASSOCIATES INC OF ENGLEWOOD COLO FROM DOING BUSINESS WHILE IT INVESTIGATED CLAIMS THAT THE FIRM WAS CHARGING CUSTOMERS EXCESSIVE MARKUPS ON STOCKS BUT GANT COMPLAINED TO THE SEC WHICH PROMPTLY GRANTED THE FIRM A STAY OF THE SUSPENSION ORDER GANT FOLDED ANYWAY MOREOVER LAST FALL THE SEC ALLOWED DATEK SECURITIES INC A SMALL NEW YORK BROKERAGE FIRM TO CONTINUE OPERATING DURING A FASTTRACK PROBE OF CLAIMS THAT THE FIRM ABUSED THE NASD'S ELECTRONIC TRADING SYSTEM FOR SMALL ORDERS THE SEC DID UPHOLD THE NASD'S MOVE TO PREVENT DATEK FROM USING THE SMALL ORDER SYSTEM FOR SIX MONTHS DATEK WHICH HAS DENIED WRONGDOING CURRENTLY IS BACK TO USING THE SYSTEM WHILE THE NASD COMPLETES ITS INVESTIGATION STAFF CITED NASD OFFICIALS SAY THEY HAVE BEGUN TALKS WITH THE SEC STAFF TO CLEAR UP ANY MISUNDERSTANDINGS ABOUT THE FASTTRACK MEASURE IT'S TOO IMPORTANT A RULE TO LOSE SAYS JOHN PINTO HEAD OF COMPLIANCE FOR THE NASD WHICH OPERATES AND REGULATES THE NASDAQ OVERTHECOUNTER STOCK MARKET I WOULDN'T HESITATE TO USE IT AGAIN IF WE HAD A SITUATION TOMORROW FOR WHICH IT WAS RELEVANT BUT THE FASTTRACK PROCESS IS DRAWING INCREASING FIRE FROM DEFENSE LAWYERS TO THESE CRITICS THE NASD'S FASTTRACK PROCESS IS JUST PART OF A LARGER PATTERN OF OVERZEALOUSNESS AMONG SECURITIES INDUSTRY SELFREGULATORS TOUCHED OFF BY THE INSIDERTRADING AND PENNYSTOCK ABUSES OF THE 1980S THE LAWYERS COMPLAIN THAT THEIR CLIENTS FACE A KANGAROO COURT WHERE THE OUTCOME IS PREDETERMINED AND WHERE IT IS ALMOST IMPOSSIBLE TO DEFEND ONESELF QUITE HONESTLY IF YOU GOT ARRESTED FOR JAYWALKING ON YOUR WAY TO YOUR CAR YOU'D BE ENTITLED TO A LOT MORE PROCEDURAL RIGHTS THAN A GUY OR WOMAN IN THE SECURITIES INDUSTRY SAYS DENVER LAWYER DAVID ZISSER COUNSEL FOR SOME PENNYSTOCK FIRMS A TASK FORCE ORGANIZED BY THE AMERICAN BAR ASSOCIATION EXPECTS TO ISSUE A REPORT BY YEAR END RECOMMENDING HOW TO CREATE FAIRER AND MORE UNIFORM DISCIPLINARY PROCEDURES AT NOT ONLY THE NASD BUT THE NEW YORK AND AMERICAN STOCK EXCHANGES THE CHICAGO BOARD OPTIONS EXCHANGE AND THE CHICAGO MERCANTILE EXCHANGE WHILE BECOMING AS STRONG AS THE SEC THE SELFREGULATORY ORGANIZATIONS HAVE RESISTED GIVING THE ACCUSED ADDITIONAL RIGHTS SAYS NEW YORK ATTORNEY ANNE FLANNERY LEADER OF THE ABA TASK FORCE AND A NEW YORK PARTNER WITH THE LAW FIRM MORGAN LEWIS & BOCKIUS THE NASD AND THE EXCHANGES POINT OUT THAT THEY AREN'T GOVERNMENT AGENCIES THE COURTS AND SEC THEY SAY REPEATEDLY HAVE UPHELD THE GROUPS' ROLES AS ORGANIZATIONS OFFERING THEIR MEMBERS PRIVILEGES THAT CAN BE REVOKEDNOT CONSTITUTIONALLY GUARANTEED RIGHTS WHEN PEOPLE SIGN UP AS MEMBERS THEY AGREE TO OBEY THE RULES SAYS WILLIAM R SCHIEF VICE PRESIDENT OF THE NASD'S ANTIFRAUD DIVISION AND AN ADVISER TO THE ABA TASK FORCE CHICAGO ATTORNEY PHILLIP GOLDBERG CONTENDS IT'S UNFAIR TO SANCTION SOMEONE JUST BECAUSE THEY EXERCISE THEIR FIFTH AMENDMENT RIGHTS BY REFUSING TO TESTIFY BUT THE NASD'S MR SCHIEF COUNTERS THAT ALL MEMBERS ARE AWARE THEY CAN BE PENALIZED FOR WITHHOLDING INFORMATION THE NASD RECENTLY DID AGREE TO PUBLISH WITHIN A FEW MONTHS ITS INTERNAL GUIDELINES FOR LEVYING PENALTIES AND FINES MR SCHIEF SAYS THE GUIDELINES PREVIOUSLY AVAILABLE ONLY TO ATTORNEYS WHO ASKED FOR THEM ALSO ARE EXPECTED TO MAKE ALL MEMBERS AWARE OF HOW HARSH THE CONSEQUENCES CAN BE IF THEY VIOLATE THE RULES THE NASD INSISTS IT WON'T GET SOFT ON VIOLATORS THE DAYS OF INDISCRIMINATE FRAUDULENT CONDUCT WITH A SLAP ON THE WRIST ARE LONG GONE SAYS MR PINTO IF SOMEONE IS GOING TO COMMIT A SERIOUS INFRACTION OF RULES THEY'RE GOING TO HAVE TO EXPECT A DEAR REGULATORY PRICE 9304130078 930413 LETTERS TO THE EDITOR STARTING LINEUP 1949 MEMORY BEGINS TO FADE AFTER RECEIVING SEVERAL TELEPHONE CALLS CONCERNING THE ACCURACY OF MY APRIL 5 EDITORIAL PAGE ARTICLE THE MISSING BAT THE FOLLOWING CORRECTIONS ARE IN ORDER AL KALINE BEGAN HIS CAREER IN 1953 AND HERB SCORE STARTED HIS CAREER IN 1955 NOT 1949 AS SUGGESTED BY THE ARTICLE I KNEW BOTH MEN DURING MY SEVEN YEARS WITH THE NEW YORK YANKEES WITH RESPECT TO AL ROSEN IT WAS BROUGHT TO MY ATTENTION THAT HE PLAYED IN ONLY 23 GAMES IN 1949 IT WAS 1950 WHEN MR ROSEN HIT FOR TREMENDOUS POWER COLLECTING 37 HOME RUNS 116 RBIS A BATTING AVERAGE OF 287 ACCORDING TO THE RECORD BOOKS HE PLAYED EVERY GAME DURING THAT SEASON MY APOLOGIES FOR THE INACCURACIES BUT I WAS WRITING ABOUT AN INCIDENT THAT HAPPENED 45 YEARS AGO FROM MEMORY AND HOPE THE READERS WILL UNDERSTAND THAT AFTER 45 YEARS MEMORIES ARE SOMETIMES INEXACT 9304130077 930413 BUSINESS BRIEF BACHMAN INFORMATION SYSTEMS INC SOFTWARE COMPANY EXPECTS LOSS IN FISCAL THIRD QUARTER BACHMAN INFORMATION SYSTEMS INC SAID IT EXPECTS TO REPORT A LOSS FOR THE THIRD QUARTER ENDED MARCH 31 LARGER THAN ANALYSTS' EXPECTATIONS ON LOWERTHANEXPECTED REVENUE IT DECLINED TO DISCLOSE ANALYSTS' ESTIMATES PAUL MCGRATH CHIEF FINANCIAL OFFICER SAID THE COMPANY'S BALANCE SHEET REMAINS STRONG BACHMAN BASED IN BURLINGTON MASS SAID THAT IT IS MAKING A TRANSITION FROM PROVIDING MAINFRAME SOFTWARE TO DEVELOPING SOFTWARE FOR ARRANGEMENTS IN WHICH DESKTOP MACHINES WORK CLOSELY WITH LARGER COMPUTERS IN THE YEARAGO QUARTER BACHMAN REPORTED NET INCOME OF 586000 OR SEVEN CENTS A SHARE ON REVENUE OF 125 MILLION IT HAS REPORTED LOSSES IN EACH OF THE PAST TWO QUARTERS 9304130076 930413 INTERNATIONAL ASIA'S BUSINESS LEADERS ARE WORRIED ABOUT WHO WILL FOLLOW AGING RULERS BY MARCUS W BRAUCHLI STAFF REPORTER OF THE WALL STREET JOURNAL JAKARTA INDONESIA IN THE BUSTLING CAPITAL OF THIS HUGE DEVELOPING COUNTRY BUSINESSMEN FRET ABOUT INFLATION GRIPE ABOUT A CREDIT CRUNCH AND TRY TO WORK AROUND INFRASTRUCTURE BOTTLENECKS BUT A FAR BIGGER PREOCCUPATION IS OFTEN UNSPOKEN WHO WILL SUCCEED THE COUNTRY'S LONGRULING 71YEAROLD LEADER PRESIDENT SUHARTO UNITY AND STABILITY MUST COME FIRST SAYS SOFJAN WANANDI THE 52YEAROLD CHAIRMAN OF GEMALA GROUP A JAKARTA CONGLOMERATE WHOSE LARGEST BUSINESS IS AUTOMOTIVE AND TRANSPORTATION MANUFACTURING HE BELIEVES INDONESIA'S POWERFUL MILITARY WOULD ENSURE A SMOOTH TRANSITION WERE ANYTHING TO HAPPEN TO MR SUHARTO I DON'T SEE ANY POSSIBILITY THEY WILL ALLOW A SETBACK MR WANANDI SAYS WE CAN'T AFFORD IT NO ISSUE HAUNTS INDUSTRIALIZING ASIA MORE THAN SUCCESSION IN MANY OF THE REGION'S MOST VIBRANT ECONOMIES WITH A COMBINED QUARTER OF THE WORLD'S POPULATION TRANSITIONS LOOM CHINA WITH ITS DOUBLEDIGIT GROWTH RATE IS LED BY OCTOGENARIAN DENG XIAOPING AND THE FATE OF BOOMING HONG KONG WHICH WILL REVERT TO BEIJING'S RULE IN 1997 IS LINKED TO CHINA'S MALAYSIA'S PRIME MINISTER MAHATHIR MOHAMAD HAS BEEN IN OFFICE SINCE 1980 SINGAPORE'S FOUNDER LEE KUAN YEW HAS RELINQUISHED THE GOVERNMENT'S REINS TO PRIME MINISTER GOH CHOK TONG BUT HE STILL WIELDS CONSIDERABLE INFLUENCE IN THE PROSPEROUS CITYSTATE SOME ASIAN DYNAMOS HAVE ACCOMPLISHED TRANSITIONS SOUTH KOREA FOR INSTANCE RECENTLY INSTALLED ITS FIRST CIVILIAN PRESIDENT FORMER DISSIDENT KIM YOUNG SAM TAIWAN HAS APPOINTED A SERIES OF NATIVEBORN OFFICIALS SUCCEEDING AGING LEADERS WHO CAME WHEN THE NATIONALISTS FLED CHINA IN 1949 THOSE SMOOTH EXPERIENCES HAVE CONVINCED ANALYSTS THAT ASIA'S IMPENDING LEADERSHIP CHANGES DON'T NECESSARILY POSE A BIG RISK WHAT ALL THE ASIAN ECONOMIC TAKEOFFS DO IS CREATE A DEGREE OF CONSENSUS THAT PUTS THE POTENTIAL SUCCESSORS ON THE SAME TRACK SAYS WILLIAM OVERHOLT A HONG KONGBASED STRATEGIST FOR BANKERS TRUST NEW YORK CORP THE SHIP IS GOING IN A CERTAIN DIRECTION THAT NOBODY CAN CHANGE MORE THAN INCREMENTALLY FOR PROOF HE SUGGESTS LOOKING AT THAILAND A YEAR AGO WHEN A CIVILIAN GOVERNMENT WAS REPLACED IN A COUP BY A MILITARY GOVERNMENT WHICH FELL IN THE FACE OF MASSIVE POPULAR DISCONTENT EACH GOVERNMENT HAD PLEDGED TO CONTINUE THE POLICIES THAT BROUGHT THAILAND MASSIVE FOREIGN INVESTMENT AND STRONG ECONOMIC GROWTH OVER THE PAST DECADE EVEN IN PLACES WHERE ECONOMIC ADVANCES HAVE BEEN TIED TO THE POLICIES AND PERSONALITIES OF LONGSTANDING LEADERS THOSE LEADERS HAVE FOSTERED CONTINUITY EITHER BY ROTATING A NUMBER OF POSSIBLE SUCCESSORS THROUGH GOVERNMENT AS MR SUHARTO AND MR DENG HAVE DONE OR BY GROOMING A SINGLE ONE AS SINGAPORE'S MR LEE DID BEFORE RETIRING DOES MR LEE KUAN YEW CONTINUE TO EXERT INFLUENCE ASKS GEORGE YEO SINGAPORE'S 38YEAROLD MINISTER FOR INFORMATION YES BUT IS HE MANIPULATING EVERYTHING BEHIND THE SCENE NO RATHER HE SAYS TODAY'S GOVERNMENT HAS ABSORBED AS ITS MANDATE MANY OF THE OBJECTIVES LAID DOWN BY MR LEE WHEN IN POWER MR LEE IS A KIND OF ELDER STATESMAN THAT'S NOT TO SAY THERE ISN'T GOING TO BE A DISCONTINUITY WHEN THE 69YEAROLD MR LEE PASSES FROM THE SCENE MR YEO SAYS POWER IN SINGAPORE STILL REVOLVES AROUND VERY FEW LEADERS ONE OF THE STRONGEST MR LEE'S SON LEE HSIEN LOONG 41 LAST YEAR WAS DIAGNOSED WITH A SERIOUS FORM OF CANCER HE IS SAID TO BE RECOVERING THE CRITICAL STEP FOR MOST ASIAN COUNTRIES FACING SUCCESSION IS TO SHIFT FROM A SINGLE POWERFUL LEADER TO A LARGER GROUP OF NATIONAL MANAGERS IN CHINA THE LIKELIHOOD THAT SUCH A SHIFT IS OCCURRING ANALYSTS SAY HAS EASED WORRIES ABOUT THE END OF 88YEAROLD MR DENG'S ERA ALL THE RIVAL CANDIDATES TO SUCCEED DENG ARE REFORMERS OF ONE STRIPE OR ANOTHER SAYS MR OVERHOLT SOME ARE 6AYEAR REFORMERS SOME ARE 10AYEAR REFORMERS HE SAYS LI PENG THE HARDNOSED PRIME MINISTER WHO LED THE JUNE 4 1989 CRACKDOWN ON PROTESTERS IN TIANANMEN SQUARE IS A 6 MAN THE 64YEAROLD MR LI JUST WON ANOTHER FIVEYEAR TERM AT THE NATIONAL PEOPLE'S CONGRESS IN BEIJING STILL THE PROSPECT OF CHANGE IS UNSETTLING INDONESIA IS A CASE IN POINT MOST INDONESIANS KNOW NO OTHER RULER THAN SUHARTO SAYS BJ HABIBIE INDONESIA'S 57YEAROLD MINISTER OF RESEARCH AND TECHNOLOGY EVEN AFTER MORE THAN A QUARTER CENTURY OF MR SUHARTO'S LEADERSHIP FEW WANT CHANGE ONLY A STRONG LEADER LIKE MR SUHARTO CAN MAKE TOUGH UNPOPULAR DECISIONS SAYS ONE FORMER MINISTER JUST BEFORE THE PRESIDENT BEGAN HIS LAST FIVEYEAR TERM FOR INSTANCE HE IMPOSED SWEEPING FUELPRICE INCREASES WHILE GOOD FOR THE ECONOMY THE INCREASES WERE HIGHLY UNPOPULAR HE SHOWS NO FEAR THE FORMER MINISTER SAYS SIMILAR DETERMINATION BY THE REGION'S OTHER AGING LEADERS HELPED SPUR THEIR ECONOMIES OUR CURRENT LEADERSHIP HAS PROVIDED SOME KIND OF VISION AND PLANNING SAYS ZAINAL KLING A PROFESSOR AT THE UNIVERSITY OF MALAYA IN KUALA LUMPUR THEY ARE STRONG ENOUGH TO FACE CHALLENGES PRIME MINISTER MAHATHIR 67 HAS GIVEN NO INDICATION THAT HE PLANS TO STEP DOWN AFTER MORE THAN A DOZEN YEARS IN POWER BUT PROF KLING SAYS SOME REALIGNMENTS COULD COME AS EARLY AS NOVEMBER WHEN THE RULING PARTY THE UNITED MALAYS NATIONAL ORGANIZATION MEETS STILL HE SAYS THERE ARE NO OBVIOUS SUCCESSORS UNTIL MORE OF ASIA'S SUCCESSFUL ECONOMIES FIND SUCCESSORS SOME BUSINESSMEN WILL WORRY IT'S ONE OF MY BIGGEST CONCERNS SAYS AN AMERICAN BANKER IN JAKARTA YOU DON'T EXPECT YOUR HOUSE TO BURN DOWN BUT YOU HAVE INSURANCE 9304130075 930413 BUSINESS BRIEF CIT GROUP HOLDINGS INC EARNINGS IN FIRST QUARTER INCREASED TO 435 MILLION CIT GROUP HOLDINGS INC REPORTED FIRSTQUARTER NET INCOME ROSE 17 DUE TO HIGHER INTEREST REVENUE THE NEW YORK FINANCE COMPANY SAID NET FOR THE THREE MONTHS ENDED MARCH 31 ROSE TO 435 MILLION FROM 373 MILLION DRIVEN BY A 98 RISE IN NET INTEREST REVENUE TO 163 MILLION FROM 1485 MILLION A YEAR EARLIER THE GAIN WAS PARTIALLY OFFSET BY INCREASED OPERATING EXPENSES WHICH BEFORE CREDIT LOSSES GREW TO 677 MILLION FROM 635 MILLION AND A HIGHER PROVISION FOR CREDIT LOSSES CIT 60OWNED BY DAIICHI KANGYO BANK LTD AND 40OWNED BY CHEMICAL BANKING CORP AT MARCH 31 HAD 126 BILLION OF FINANCE RECEIVABLES AND EQUIPMENT UNDER OPERATING LEASE 9304130074 930413 MARKETING & MEDIA HOME SHOPPING NETWORK POSTS BIG LOSS FOR ITS 2ND QUARTER AMID FAILED BID BY MARK ROBICHAUX STAFF REPORTER OF THE WALL STREET JOURNAL NEW YORK HOME SHOPPING NETWORK INC POSTED AN UNEXPECTEDLY LARGE LOSS OF 269 MILLION FOR THE FISCAL SECOND QUARTER RAISING NEW QUESTIONS ABOUT THE UNDERLYING VALUE OF THE TV SHOPPING CHANNEL THE POOR RESULTS WHICH INCLUDED AN 11 DROP IN SALES WERE ANNOUNCED AFTER THE MARKET CLOSED BUT HOME SHOPPING SHARES TUMBLED 22 IN OFFMARKET TRADING YESTERDAY ON NEWS THAT MAJORITY OWNER LIBERTY MEDIA CORP WITHDREW ITS 640 MILLIONPLUS OFFER TO BUY THE HOME SHOPPING SHARES IT DOESN'T ALREADY OWN THE NET LOSS EQUAL TO 31 CENTS A SHARE WAS DUE MOSTLY TO INVENTORY WRITEDOWNS AS THE CHANNEL DISPOSED OF INEXPENSIVE PRODUCTS TO REFOCUS ON HIGHERPRICED ITEMS HOME SHOPPING SHARES DIDN'T OPEN FOR TRADING YESTERDAY ON THE NEW YORK STOCK EXCHANGE BUT IN ELECTRONIC TRADING OUTSIDE THE EXCHANGE THE STOCK FELL 150 TO 525 DOWN FROM A 52WEEK HIGH OF 9 LIBERTY A SPINOFF OF TELECOMMUNICATIONS INC HAD EARLIER PROPOSED TO BUY THE REMAINING 75 MILLION SHARES OF HOME SHOPPING IT DOESN'T ALREADY OWN BUT IT RETREATED IN THE WAKE OF A GRAND JURY INVESTIGATION AND WIDENING ALLEGATIONS OF ALLEGED FINANCIAL MISDEEDS AT HOME SHOPPING LIBERTY A CABLE TV OPERATOR AND PROGRAMMER BASED IN CHEYENNE WYO SAID IT HASN'T RULED OUT MAKING ANOTHER OFFER IN THE FUTURE FOR THE REMAINING STAKE LIBERTY HOLDS A 65 CONTROLLING STAKE THE NEWS OF LIBERTY MEDIA'S WITHDRAWAL HIT HOME SHOPPING'S TVSHOPPING RIVAL QVC NETWORK INC WHICH LIBERTY ALSO CONTROLS ALONG WITH COMCAST CORP AND NEWLY NAMED CHAIRMAN BARRY DILLER QVC SHARES FELL 325 TO 4725 IN OVERTHECOUNTER TRADING WALL STREET HAD LONG SPECULATED THAT LIBERTY WOULD MERGE THE TWO COMPANIES HOME SHOPPING'S RESULTS FOR THE QUARTER ENDED FEB 28 CONTINUED A PATTERN OF WEAK QUARTERLY EARNINGS A YEAR EARLIER HOME SHOPPING HAD NET INCOME OF 78 MILLION OR NINE CENTS A SHARE THE RECENT QUARTER'S NET LOSS INCLUDED AN INVENTORY WRITEDOWN OF 227 MILLION THE INVENTORY CHARGE REFLECTS A CHANGE IN THE MANAGEMENT'S MERCHANDISING PHILOSOPHY THE COMPANY SAID HOME SHOPPING PLANS TO DISCONTINUE LOWMARGIN PRODUCTS WHICH INCLUDE OVERSTOCKED ITEMS OFTENRETURNED ITEMS AND THOSE WITH SELLING PRICES OF LESS THAN 10 THE QUARTERLY LOSS ALSO REFLECTED A ONETIME LOSS OF 69 MILLION FOR REPURCHASING DEBT THE COMPANY SAID SALES FELL TO 244 MILLION FROM 2755 MILLION GERRY HOGAN HOME SHOPPING PRESIDENT AND CHIEF EXECUTIVE OFFICER SAID I REMAIN CONFIDENT ABOUT HSN'S PROSPECTS AND THE RECENT EFFORTS TO IMPROVE ITS FINANCIAL PERFORMANCE HE ADDED THAT THE RECENT LIBERTY ANNOUNCEMENT HAS NO BEARING ON MY CONFIDENCE IN HSN'S POTENTIAL GROWTH OR MY FAITH IN HSN'S ABILITY TO COMPETE AT THE TOP OF ITS INDUSTRY WALL STREET WHILE UNCERTAIN ABOUT HOME SHOPPING'S PROSPECTS WAS GLAD TO SEE LIBERTY WITHDRAW ITS 640 MILLIONPLUS OFFER FOR THE REST OF THE BUSINESS LIBERTY SHARES ROSE 50 CENTS TO 1575 IN OVERTHECOUNTER TRADING YESTERDAY AT PAINEWEBBER CRAIG BIBB CHANGED HIS RATING ON HOME SHOPPING NETWORK TO SELL FROM NEUTRAL CITING THE COMPANY'S DETERIORATING FINANCIAL PERFORMANCE AND NO IMPROVEMENT IN THE MANAGEMENT OF THE COMPANY IN A MORNING REPORT MR BIBB WROTE BARRING ANOTHER SUITOR HSN MAY HAVE JUST BEGUN THE LONG ROAD TO CHAPTER 11 HOME SHOPPING HAD NO REPLY TO MR BIBB'S ASSESSMENT OTHER ANALYSTS THOUGHT THE STOCK MIGHT BE A BARGAIN AT ITS CURRENT PRICE JOHN FIELD AT HANIFEN IMHOFF IN DENVER CHANGED HIS RATING TO BUY FROM A HOLD 9304130073 930413 TECHNOLOGY BRIEF NEC CORP COMPANY PLANS LINKUP WITH HEWLETT AND DIGITAL NEC CORP PLANS TO LINK UP WITH TWO US COMPANIES DIGITAL EQUIPMENT CORP AND HEWLETTPACKARD CO IN THE SYSTEMSINTEGRATION FIELD A SPOKESMAN FOR THE JAPANESE HIGHTECHNOLOGY CONCERN SAID THE SPOKESMAN SAID AN AGREEMENT NOW IN THE WORKS WOULD GIVE NEC ACCESS TO THE TWO US COMPANIES' SERVER COMPUTERS BASED ON REDUCED INSTRUCTION SET COMPUTER CHIPS TO MARKET ALONG WITH ITS OWN EQUIPMENT NEC EXPECTS THE MOVE TO STRENGTHEN ITS FOOTHOLD IN THE MULTIMEDIA COMPUTER FIELD AND ALLOW IT TO BETTER MEET CUSTOMERS' NEEDS THE SPOKESMAN SAID THE SPOKESMAN SAID THE PACT IS LIKELY TO BE COMPLETED IN MAY SO DETAILS REMAIN SKETCHY BUT HE SAID A BROADER TIEUP ON A GLOBAL BASIS IS POSSIBLE 9304130071 930413 SHORTEN TREASURYS' MATURITIES HOW SHORTSIGHTED BY DAVID R KOTOK IN RECENT DAYS THE BOND MARKET RALLIED ON EXPECTATIONS THAT THE TREASURY WILL SCALE BACK SALES OF LONGTERM DEBT THE CLINTON ADMINISTRATION IS INDEED CONSIDERING A DEMOCRATIC STUDY GROUP PROPOSAL TO SHORTEN THE MATURITY OF US TREASURY DEBT SENATE BUDGET COMMITTEE CHAIRMAN JIM SASSER D TENN INCLUDED THE CONCEPT IN HIS BUDGET RESOLUTION THESE PROPOSALS IGNORE THE REALITIES OF INTEREST RATE MOVEMENTS OVER TIME THE THEORETICAL BASIS FOR THEM IS QUESTIONABLE THE DEMOCRATIC STUDY GROUP SAYS THAT THE TREASURY WOULD SAVE BILLIONS IN INTEREST COSTS BECAUSE IT WOULD ISSUE NEW DEBT AT CURRENT 3 SHORTTERM INTEREST RATES VS THE NEARLY 7 LONGTERM TREASURY BOND RATE SEVERAL METHODOLOGIES SUPPORT CRITICISM OF THE DEMOCRATIC STUDY GROUP PROPOSAL THE EXPECTATIONS THEORY OF THE INTEREST RATE TERM STRUCTURE LOOKS AT THE YIELD CURVE OF US TREASURYS ITSELF AS AN INTEREST RATE FORECASTING TOOL THE THEORY ARGUES THAT AN INVESTOR CAN MEASURE MARKET EXPECTATIONS OF HIGHER OR LOWER FUTURE SHORTTERM RATES BY EXAMINING THE PRESENT DIFFERENCES BETWEEN RATES AT VARIOUS MATURITIES IT ALSO ARGUES THAT ALL INTEREST RATES FOR THE ENTIRE MATURITY SPECTRUM TEND TO AVERAGE OUT TO SHORTTERM RATES OVER LONG PERIODS OF TIME EXPECTATIONS THEORY CURRENTLY INDICATES THAT MUCH HIGHER INTEREST RATES ARE COMING SOON EG ONEYEAR TREASURY NOTES WOULD TRADE AT 55 CURRENTLY 325 WITHIN TWO YEARS BUT MARKET EXPECTATIONS ARE NOT PURE EMPIRICAL EVIDENCE SUGGESTS THAT THERE ARE PREMIUMS IN THE TERM STRUCTURE OF INTEREST RATES MANY INVESTORS HAVE SPECIFIC INVESTMENT HORIZONS THEY TRY TO MATCH ASSETS WITH LIABILITIES BY STRUCTURING HOLDINGS OF TREASURYS TO DISCHARGE FUTURE LIABILITIES AT LOWEST COST THESE INVESTORS DEMONSTRATE THE PREFERRED HABITAT THEORY OF THE TERM STRUCTURE THEY WILL MOVE AWAY FROM THEIR MATURITY PREFERENCES BUT ONLY IF THEY ARE PAID A PREMIUM THE DEMOCRATIC STUDY GROUP PROPOSAL IGNORES THIS PREMIUM A STRUCTURAL CHANGE IN FEDERAL DEBT ISSUANCE WILL REQUIRE EITHER THE FEDERAL GOVERNMENT TO PAY THOSE PREMIUMS OR FORCE THOSE INVESTORS TO INCUR SOME OTHER OFFSETTING COST CERTAIN INVESTORS ARE BOUND BY LEGAL CONSTRAINTS THEY PLACE THEIR TREASURYS IN A PRECISE MATURITY SCHEDULE AND CANNOT ALTER THEIR INVESTMENT HORIZONS UNDER ALMOST ANY CIRCUMSTANCES IT WOULD TAKE AN ENORMOUS PREMIUM TO DISLODGE THEM NONE OF THE VARIATIONS IN TERM STRUCTURE THEORY PERFECTLY FORECAST INTEREST RATES BUT THE TERM STRUCTURE DOES FORECAST TRENDS IN INTEREST RATES WELL AND IT DOES CAPTURE THE CONSENSUS EXPECTATIONS IN THE MARKETPLACE IT'S NAIVE TO BELIEVE THAT GOVERNMENT MANIPULATION OF THE YIELD CURVE CAN PERMANENTLY OVERPOWER MARKET FORCES THE DEMOCRATIC STUDY GROUP ACKNOWLEDGES THE RISK OF RISING SHORTTERM INTEREST RATES BUT IT WANTS THE FEDERAL RESERVE TO COOPERATE AND KEEP THAT PRESSURE NEGLIGIBLE THE DEMOCRATIC STUDY GROUP STATES THE FEDERAL RESERVE HAS ENORMOUS POWER TO KEEP SHORTTERM RATES LOW THE FED THROUGH ITS ABILITY TO CREATE MONEY AND LEND IT TO BANKS THROUGH THE DISCOUNT WINDOW CAN OVERWHELM SHORTTERM CREDIT MARKETS AND HOLD SHORTTERM RATES AT DESIRED LEVELS BY REFERRING SOLELY TO THE DISCOUNT WINDOW THE DEMOCRATIC STUDY GROUP IGNORES OPEN MARKET OPERATIONS THE FED'S MOST IMPORTANT TOOL IN DOING SO IT FAILS TO ACKNOWLEDGE THE BASIC TENET OF MONETARIST THEORY THAT THE RATE AT WHICH THE FED SUPPLIES THE RAW MATERIAL OF MONEY AND CREDIT TO THE FINANCIAL MARKETS ULTIMATELY DETERMINES THE RATE OF INFLATION FINANCIAL MARKETS ONCE SENSITIZED TO THE RISK OF FORTHCOMING INFLATION QUICKLY ADJUST AND REQUIRE HIGHER INTEREST RATES TO COMPENSATE LENDERS FOR THE ANTICIPATED EROSION OF VALUE FROM THAT INFLATION SUCH IS THE CASE TODAY THE FED HAS CLEARLY PEGGED SHORTTERM RATES AT 3 TO MAINTAIN THIS RATE THE FED HAS CONTINUALLY INCREASED OPEN MARKET PURCHASES OF TREASURYS THIS FED ACTIVITY CAN BE SEEN IN THE RAPID GROWTH OF BANK RESERVES AND IN ADJUSTED FEDERAL RESERVE CREDIT THE FED'S OWN BALANCE SHEET RATE OF CHANGE COMPARISONS SHOW NEARLY UNPRECEDENTED GROWTH RATES OF THE RAW MATERIAL OF MONEY AND CREDIT THEY MATCH THE 1986 PERIOD THAT PRECEDED THE 1987 MARKET CRASH SHOULD THE CLINTON ADMINISTRATION SHORTEN TREASURY DEBT MATURITIES BASED ON A FEW MONTHS OF EXTREME FEDERAL RESERVE POLICY TERM STRUCTURE THEORIES AND MONETARISM ARE NOT THE ONLY BASES FOR CRITICISM THE DEMOCRATIC STUDY GROUP PROPOSAL MUST BE EXAMINED IN THE CONTEXT OF THE ROLLOVER RISK THAT GOVERNMENTS ASSUME WHEN ISSUING DEBT THE AVERAGE LENGTH OF MARKETABLE US TREASURY DEBT HAS DROPPED FROM A HIGH OF 10 YEARS AT THE END OF WORLD WAR II TO A LOW OF 2 1/2 YEARS IN 1975 IT NOW STANDS AT ABOUT SIX YEARS THE SHORTER THE AVERAGE MATURITY OF DEBT OUTSTANDING THE GREATER THE ROLLOVER RISK TO THE ISSUER THE FINANCIAL CONDITION OF THE ISSUING GOVERNMENT IS ALSO CRITICAL THE LARGER THE OUTSTANDING AMOUNT OF MARKETABLE DEBT RELATIVE TO GROSS DOMESTIC PRODUCT THE HIGHER THE ROLLOVER RISK ACCORDING TO ECONOMIST ROBERT GIORDANO ITALY HAS THE HIGHEST ROLLOVER RISK OF THE G7 NATIONS ITS DEBT IS NEARLY ALL SHORTTERM AND EXCEEDS 100 OF ITS GDP ITALY CONSISTENTLY EXPERIENCES HIGHER INTEREST RATES A WEAKER CURRENCY AND A HIGHER INFLATION RATE THAN OTHER G7 COUNTRIES GERMANY HAS THE LOWEST ROLLOVER RISK MOST OF ITS DEBT IS LONGTERM THE US IS IN THE MIDDLE DO SEN SASSER AND THE DEMOCRATIC STUDY GROUP WANT OUR COUNTRY TO EMULATE A HARD CURRENCY POLICY LIKE GERMANY'S OR A SOFT ONE LIKE ITALY'S AS A GLOBAL INVESTOR WHICH COUNTRY'S BONDS WOULD YOU BUY THE RISK TO A DEBTISSUING GOVERNMENT IS THE MIRROR IMAGE OF THE RISK THAT DEBTHOLDERS ASSUME WHEN THEY BUY THAT GOVERNMENT'S BONDS THINK OF THE FINANCIAL MARKET AS A SINGLE GLOBAL INVESTOR WHO CONTINUALLY PLACES MORE AND MORE FUNDS AT RISK IN US TREASURY BONDS AND NOTES HE PRESUMES THAT THERE IS NO DEFAULT RISK BUT THE INVESTOR STILL FACES THE RISK OF REINVESTING BOTH COUPONS AND PRINCIPAL IF ROLLOVER RISK TO AN ISSUING GOVERNMENT EQUALS REINVESTMENT RISK TO THE INVESTOR THEN THE CLINTON ADMINISTRATION SHOULD NOW LENGTHEN THE AVERAGE LIFE OF TREASURY DEBT NOT SHORTEN IT THAT'S PRECISELY WHAT PRIVATE MARKET PLAYERS ARE DOING AS THEY LOCK IN RATES THAT ARE VERY LOW BY HISTORICAL STANDARDS THE FINAL BASIS FOR CRITICISM IS INTUITIVE ELEMENTARY STUDENTS OF FINANCE KNOW THAT IT'S BAD POLICY TO BORROW SHORT AND LEND LONG EVERY US HOUSEHOLD AND BUSINESS GETS IN TROUBLE WHEN IT DOES SO THE CLEVELAND FED'S JAMES THOMPSON IDENTIFIES THE THRIFT INDUSTRY AS AN INSTITUTIONAL EXAMPLE OF A 200 BILLION ERROR ORIGINATING IN BORROWING SHORT AND LENDING LONG THE DEMOCRATIC STUDY GROUP EMBRACES THIS PHILOSOPHY OF BORROWING SHORT AND LENDING LONG IN AN ENVIRONMENT OF A RISING DEBTINCOME RATIO AND AN ACCELERATING MONETARY STIMULUS IT DANGEROUSLY IGNORES THE MESSAGES OF VARIOUS TERM STRUCTURE THEORIES OUR GOVERNMENT IS THE LONGEST TERM LENDER OF ALL IT HAS TO REFINANCE EVERYTHING IT OWES ADOPTING THE DEMOCRATIC STUDY GROUP/SASSER PROPOSAL COULD PROVE COSTLY TO THE US MR KOTOK IS CHIEF INVESTMENT OFFICER OF CUMBERLAND ADVISORS A VINELAND NJ MONEY MANAGEMENT FIRM MATTHEW L FORESTER A RESEARCH ASSOCIATE WITH THE FIRM ASSISTED WITH THIS ARTICLE 9304130070 930413 BUSINESS BRIEF MARVEL ENTERTAINMENT GROUP INC FIRSTPERIOD NET INCREASED HELPED BY PURCHASE OF FLEER MARVEL ENTERTAINMENT GROUP INC SAID FIRSTQUARTER NET INCOME ALMOST DOUBLED AIDED BY STRONG REVENUE GROWTH FROM ITS BUSINESS INCLUDING RECENTLY ACQUIRED FLEER CORP THE NEW YORK COMIC BOOK PRODUCTLICENSING SPORTS CARD AND CONFECTIONERY COMPANY SAID NET INCOME ROSE TO 98 MILLION OR 20 CENTS A SHARE FROM THE YEAREARLIER 5 MILLION OR 10 CENTS A SHARE REVENUE ROSE SHARPLY TO 999 MILLION FROM 308 MILLION RESULTS INCLUDE FLEER A MARKETER OF SPORTS PICTURE CARDS ACQUIRED SEPT 1 PERSHARE FIGURES REFLECT A 2FOR1 STOCK SPLIT IN DECEMBER THE COMPANY SAID ON A STANDALONE BASIS MARVEL PUBLISHING LICENSING AND ADVERTISING NET REVENUES INCREASED APPROXIMATELY 31 FOR THE QUARTER ON A PRO FORMA BASIS FLEER SHOWED 11 GROWTH FOR THE QUARTER 9304130069 930413 TECHNOLOGY IMMUNE RESPONSE STOCK JUMPS AS STUDY OF VACCINE EVALUATED SAN DIEGO IMMUNE RESPONSE CORP SAID CLINICAL TRIAL RESULTS OF ITS VACCINE AGAINST HUMAN IMMUNODEFICIENCY VIRUS INFECTION ARE BEING EVALUATED BY THE COMPANY AND ITS PARTNER BUT WOULDN'T INDICATE THE RESULTS IN NATIONAL OVERTHECOUNTER TRADING MONDAY IMMUNE RESPONSE SHARES ROSE 23 OR 250 TO 1325 ON 23 MILLION SHARES JIM GLAVIN PRESIDENT AND CHIEF EXECUTIVE SAID HE TRIED TO DISCOURAGE ASSUMPTIONS ON WALL STREET THAT NO NEWS IS GOOD NEWS THE CLINICAL TRIALS WERE COMPLETED IN SEPTEMBER I THINK THERE WAS SOME SPECULATION THAT IF WE HAD ANY OPPORTUNITY TO ANALYZE DATA AT ALL AND IT WAS NEGATIVE THAT SOMETHING WOULD BE OUT BY NOW HE SAID I TRIED TO DISPEL THAT THE COMPANY AND ITS PARTNER RHONEPOULENC RORER INC RECENTLY UNBLINDED THE CLINICAL TRIAL RESULTS ALLOWING RESEARCHERS TO COMPARE TREATED CONTROL GROUPS BUT IMMUNE RESPONSE SAID IT WOULDN'T PUBLICLY DISCUSS THE RESULTS OF ITS AIDSVIRUS VACCINE UNTIL ANALYSIS IS COMPLETE IMMUNE RESPONSE WILL PRESENT DATA AT AN AIDS CONFERENCE IN BERLIN IN JUNE IMMUNE RESPONSE AND RHONEPOULENC RORER A UNIT OF THE FRENCH PHARMACEUTICAL COMPANY RHONEPOULENC SA ALSO SAID THEIR JOINT VENTURE ACQUIRED ADDITIONAL RIGHTS TO THE VACCINE IN EUROPE AFRICA AND CENTRAL AND SOUTH AMERICA THE JOINT VENTURE ALREADY HAS US RIGHTS TO THE PRODUCT MR GLAVIN SAID NO FUNDS CHANGED HANDS FOR THE ADDITIONAL RIGHTS FROM PASTEUR MERIEUX CONNAUGHT GROUP A UNIT OF INSTITUT MERIEUX WHICH RETAINS DISTRIBUTION RIGHTS FOR THE VACCINE IN CANADA AND FRANCE 9304130068 930413 BUSINESS WORLD GETTING DOWN TO BUSINESS AFTER THE VERDICT BY TIM W FERGUSON ON LOS ANGELES RADIO THESE AFTERNOONS IS A VOICE CALLING FOR BLACK REVOLUTION BUT NOT THE KIND OF UPRISING THAT HAS POLICE ON THE STREETS AND NATIONAL GUARDSMEN AT THEIR POSTS ERROL SMITH IS AN ENTREPRENEUR SELLING AN IDEA THAT HIS FELLOW AFRICANAMERICANS SHOULD LOOK FOR CUSTOMERS INSTEAD OF RACISM IN INTELLECTUAL CIRCLES THIS IS RECOGNIZED AS A TENET OF BLACK CONSERVATISM BUT MR SMITH'S MESSAGE IS AT STREET LEVEL TALK SHOWS ARE AN ESPECIALLY IMPORTANT FORUM IN AN AUTOMOBILE CULTURE SO THIS MAN IS IN A SPECIAL SPOT RIGHT NOW HE DOESN'T THINK THERE'LL BE ANOTHER RIOT LAST YEAR THERE WAS THE ELEMENT OF SURPRISE AND THE KILLING OF A BLACK YOUTH BY A KOREAN GROCER AN ONSLAUGHT OF OFFICIAL FORCE WILL SQUELCH GANGRELATED TROUBLE HE SAYS WHEN THE GUARD APPEARED A YEAR AGO THESE FREEDOM FIGHTERS' RAN FOR THE HILLS IT'S CLEAR TO ME THEY DON'T REALLY HAVE A MISSION THAT WILL DRIVE THEM TO DEAL WITH ANY MAJOR RESISTANCE BUT AFTER THE ALERT HAS PASSED AND ATTENTION RECEDES BLACK NEIGHBORHOODS IN LOS ANGELES AS ELSEWHERE WILL RETURN TO A ROUTINE AND THAT'S WHAT PREOCCUPIES MR SMITH HE SAYS THERE'S BEEN AN UPSWING IN BUSINESS VENTURES BY BLACKS LATELY THE JAMMED BLACK EXPO AT THE LA CONVENTION CENTER A FEW MONTHS AGO AFFIRMED THAT BUT THE CONSCIOUSNESS IS CONFINED TO A BUSY SUBSET OF THE POPULATION COUNTLESS OTHERS DRIFT WITHOUT HOPE IN MANY WAYS YOU'RE SEEING AN EVENT THAT IS PARALLEL TO RUSSIA PEOPLE NOW HAVE THEIR FREEDOM BUT AFTER 70 YEARS DON'T KNOW WHAT TO DO WITH IT HE SAYS HE RECALLS HEARING A JESSE JACKSON STORY ABOUT BLACKS WAITING IN AN ELECTION LINE STRETCHING AROUND THE BLOCK IMMIGRANTS RACED TO SELL HOT DOGS TO THEM THE BLACK MASSES MR SMITH SAYS DON'T SEIZE SUCH OPPORTUNITIES BECAUSE THEY'VE BEEN CONDITIONED INTO A DIFFERENT MINDSET BECAUSE THE LEADERSHIP IS FOCUSED ON POLITICS BECAUSE IT IS FOCUSED ON RACISM AS A LEVER YOU HAVE PEOPLE BEING TAUGHT TO FIND RACISM HE SAYS HATE CRIMES ARE ON THE RISE WE HEAR AND THE MAJORITY OF VICTIMS ARE BLACKS WE READ ABOUT MORTGAGE DISCRIMINATION THAT IS THE LEVER THAT ALLOWS THE CIVILRIGHTS ESTABLISHMENT TO CONTINUE TO PURSUE THE STRATEGY THAT IT HAS FOR THE LAST 25 YEARS MR SMITH HAS TOLD OF BEING DENIED HOUSING HIMSELF IN NICER PARTS OF THE LA AREA WHEN HE ARRIVED IN 1979 AFTER AN AIR FORCE STINT BUT HIS MANTRA IS TO FIND OPENINGS RATHER THAN DECRY DEADENDS A LOCAL CIVILRIGHTS FIGURE AFTER APPEARING ON MR SMITH'S RADIO SHOW ADMONISHED HIM IF YOU TALK LIKE THAT IT GIVES WHITES THE IMPRESSION THAT THE PROBLEMS ARE SOLVED IT MAKES IT MORE DIFFICULT FOR US TO GET SOME OF THESE OTHER PROGRAMS THAT IS THE ESSENCE OF WHAT THE BUSINESSMANBROADCASTER DEEMS THE SUPPLICANT STANCE AND HE SAYS THAT IN HIS COMMERCIAL DEALINGS HE'S NOTICED IT'S HORRIBLE EFFECT ON NOT ONLY THE WAY MANY BLACKS SEE THEMSELVES BUT ON HOW OTHERS SEE THEM THROUGH TALKING TO VARIOUS PEOPLE IN VARIOUS COMMUNITIES AT VARIOUS DIFFERENT LEVELS I AM COMPLETELY CONVINCED THAT THE VAST MAJORITY OF PEOPLE HOLD BLACKS IN CONTEMPT HE SAYS WE HAVE AN ETHOS HERE THAT SAYS THAT AMERICANS HAVE A FRONTIER SPIRIT AND SUCCEED AGAINST THE ODDS REGARDLESS OF WHAT IS THERE THEY FIND A WAY TO GET UP AND GET AROUND IT WE BLACKS HOWEVER HAVE LED THE WAY TO THIS VICTIM MENTALITY THAT THE CRIMES THE OPPRESSION THAT HAS BEEN TARGETED AT OUR COMMUNITY HAS BEEN SO EGREGIOUS THAT THERE'S NO WAY WE CAN OVERCOME THIS WE ARE JUST A POOR POWERLESS PEOPLE THE CONTRAST INSPIRES A KIND OF PATRONIZING SCORN HE SAYS WE'RE NOT JUST TALKING ABOUT AMERICANS WE'RE TALKING ABOUT THE ENTIRE WORLD PEOPLE IN CHINA TAIWAN AND EUROPE LOOK AT AMERICAN BLACKS AND GO WHAT'S WRONG WITH THESE FOLKS WHY CAN'T THEY GET IT TOGETHER' THEY WON'T ARTICULATE IT BUT YOU KNOW THAT IT IS THERE IF YOU'RE OPEN ENOUGH AND YOU CREATE A COMFORTABLE ENVIRONMENT WHERE A PERSON WILL SPEAK TO YOU THEN YOU START TO HEAR IT MR SMITH'S MAIN BUSINESS WHICH HE SAYS GROSSES 5 MILLION A YEAR IS TO REPRESENT 250 JANITORIAL COMPANIES IN GETTING AND HANDLING CONTRACTS IT'S A FIELD THAT LOCALLY IS NEARLY DEVOID OF BLACKS AT ONE TIME BLACKS WERE VERY PREVALENT IN THIS INDUSTRY HE SAYS BUT I THINK THERE'S BEEN A SHIFT IN THE PSYCHE IN THE COMMUNITY THAT SAYS THAT'S BENEATH ME AND I DON'T WANT TO DO THAT ANYMORE' ESPECIALLY IN A STATUSAWARE PLACE LIKE CALIFORNIA INSTEAD WHAT MR SMITH SEES ARE IMMIGRANTS SOME WITH ADVANCED DEGREES FROM THEIR OWN LANDS WHO USE MENIAL JOBS AS A FOOTHOLD TO GAINING THEIR OWN BUSINESSES HE SAYS I THINK THAT WAY OF THINKING IN THE BLACK COMMUNITY IS SORT OF WHACKING OFF THE LOWER END OF THE SOCIOECONOMIC LADDER THAT WE ROUTINELY SEE PEOPLE COMING TO THIS COUNTRY USING AS A LEG UP RATHER HE SAYS IT'S STREET CRIME ALONG WITH THE VICTIM MINDSET THAT ARE THE BIGGEST OBSTACLES TO NURTURING BLACK ENTERPRISE IT CAUSES NOT JUST WHITE FLIGHT BUT IT CAUSES BLACK FLIGHT THOSE WHO ARE EMPOWERED WITH EDUCATION AND RESOURCES FLEE FOR A BETTER LIFE OF SOCALLED ENTERPRISE ZONES HE SAYS I CAN'T IMAGINE WHAT KIND OF TAX CREDIT WOULD HAVE TO BE PUT IN PLACE TO CAUSE ME TO LOCATE MY BUSINESS IN SOUTH CENTRAL AND KNOW THAT THERE'S ALWAYS THE RISK THAT EVERYTHING THAT I'M BUILDING EVERY DAY MIGHT GO UP IN SMOKE WHETHER BY BULLETS OR LITERAL ARSON MR SMITH OPERATES OUT OF GLENDALE NEXT TO PASADENA AND LIVES IN VALENCIA AN UPPERMIDDLECLASS EXURB NORTH OF LOS ANGELES TO THE IDEA THAT HE IS THUS TOO REMOVED TO COMMENT KNOWLEDGEABLY ON SOUTH CENTRAL HE REPLIES MY EXPOSURE IS NOT JUST LOS ANGELES IT'S THE SOUTH SIDE OF CHICAGO HARLEM WHENCE HE'S FROM PHILLY BECAUSE I TRAVEL MY WORLD VIEW IS NOT JUST BASED IN SOUTHERN CALIFORNIA THERE ARE THESE KINDS OF PROBLEMS IN BLACK CENTERS OF POVERTY ALL OVER THIS COUNTRY AND I'M INVOLVED IN ALL OF THEM WHILE HE'S BEEN TRYING TO SYNDICATE HIS RADIO SHOW NATIONWIDE MR SMITH STILL STAYS ENGAGED IN LA HE JUST BECAME CHAIRMAN OF NEW VISIONS A GROUP SEEKING TO PROMOTE A CROSSCULTURAL ENTREPRENEURIAL GROWTH STRATEGY FOR THE CITY MAKING AMERICA STRONG MEANS MOVING BEYOND RACE TRANSCENDING THE BALKANIZATION TAKING PLACE IN ETHNIC ENCLAVES HE SAYS HE THEREFORE REJECTS DEVELOPMENT THROUGH BLACK SEPARATISM HIS EXPERIENCES HAVE SHOWN HIM THAT WHEN FOREIGNERS CAME TO THIS COUNTRY THEY SAID YOU KNOW WHAT I LIKE ABOUT THIS PLACE I CAN REINVENT MYSELF IF I WANT TO' NOT A BAD NOTION FOR A TROUBLED PEOPLE AND A TROUBLED TOWN 9304130067 930413 BUSINESS BRIEF FIBREBOARD CORP INSULATION PRODUCTS MAKER PROPOSES CLAIMS SETTLEMENT FIBREBOARD CORP SAID IT WILL ATTEMPT TO NEGOTIATE A GLOBAL SETTLEMENT OF CLAIMS ARISING FROM ASBESTOSRELATED INJURIES IN CONJUNCTION WITH ITS INSURER CONTINENTAL CASUALTY CO THE CONCORD CALIF MAKER OF INSULATION PRODUCTS SAID THAT IF A SETTLEMENT CAN BE REACHED LITIGATION OVER INSURANCE COVERAGE BETWEEN ITSELF AND CONTINENTAL WILL BE DROPPED UNDER THE PROPOSED AGREEMENT IF NO SETTLEMENT DEAL IS STRUCK AND FIBREBOARD WINS THE SUIT NOW ON APPEAL CONTINENTAL WOULD PAY UP TO 425 MILLION FOR CLAIMS OF EXPOSURE AFTER MARCH 1959 IT WOULD ALSO BEAR THE COST OF CLAIMS PRIOR TO THAT DATE UP TO 500000 PER INDIVIDUAL CLAIM IF FIBREBOARD LOSES THE APPEAL IT COULD BE FORCED TO SEEK PROTECTION UNDER CHAPTER 11 OF THE FEDERAL BANKRUPTCY CODE FIBREBOARD SAID 9304130066 930413 BUSINESS BRIEF SYNOPTICS COMMUNICATIONS INC BOOM IN COMPUTER NETWORKS QUADRUPLED 1STQUARTER NET SYNOPTICS COMMUNICATIONS INC SAID FISCAL FIRSTQUARTER PROFIT MORE THAN QUADRUPLED AS THE DEMAND FOR ITS COMPUTER NETWORKING PRODUCTS CONTINUES TO BOOM THE SANTA CLARA CALIF COMPANY SAID IT EARNED 219 MILLION OR 95 CENTS A SHARE FOR THE PERIOD ENDED APRIL 2 COMPARED WITH 50 MILLION OR 24 CENTS A SHARE A YEAR EARLIER ANALYSTS HAD EXPECTED SYNOPTICS TO EARN 81 CENTS A SHARE ACCORDING ZACKS INVESTMENT RESEARCH INC RESULTS WERE REPORTED AFTER THE CLOSE OF TRADING IN THE COMPANY'S STOCK REVENUE MORE THAN DOUBLED TO 1527 MILLION FROM 684 MILLION THE COMPANY SELLS EQUIPMENT USED TO TIE OFFICE DESKTOP COMPUTERS INTO NETWORKS 9304130065 930413 REVIEW & OUTLOOK EDITORIAL LA IN BLACK WHITE AND BLUE IN A CITY THAT HAS BECOME ONE OF THE SUPREME ETHNIC STEWS OF THE WORLD ALL THAT SEEMS TO BE TASTED THESE DAYS IS THE SALT AND PEPPER THE WHITE AND THE BLACK AS LOS ANGELES GIRDS FOR TROUBLE IN THE WAKE OF A COPBEATING RETRIAL THE ISSUE OF RACE IS EVERPRESENT BOILING DOWN IN A THOUSAND JEREMIADS TO SOUTH CENTRAL VS THE WEST SIDE TO BLACK VS WHITE RACIAL IDENTIFICATION IS A POISONOUS PASTIME THAT DIVIDES AND DEHUMANIZES MEN ATTRIBUTING TO THEM INSTINCTS AND MOTIVES THEY MAY NEVER POSSESS IT GAVE SPECIAL CHARACTER TO THE RODNEY KING CASE IN A MUNICIPALITY WHERE POLICE WERE PRONE TO USE FORCE AND INTIMIDATION AGAINST ALL WHO PAINED THEM BLACKS ESPECIALLY IT WAS THE BASIS FOR DRAGGING REGINALD DENNY A WHITE TRUCK DRIVER AND OTHERS FROM THEIR VEHICLES AND PUMMELING THEM AND NOW FOR RALLYING SENTIMENT FOR THE THUGS WHO DID THAT AND IT IS THE POLITICAL EXCUSE FOR PLACING THE OFFICERS IN THE KING EPISODE IN DOUBLE JEOPARDY OF PROSECUTION INSTEAD OF SIMPLY CASHIERING THEM AFTER AN INITIAL ACQUITTAL IN REALITY LA'S TOTAL PICTURE HAS A RANGE OF COLORS KOREAN IMMIGRANTS BORE THE WORST OF THE HOMICIDAL FIRESTORM A YEAR AGO WHEN THE FIRST JURY VERDICT WENT FOR THE POLICE AND ASIANAMERICANS CONTINUE TO BE SINGLED OUT FOR TERRORIZING SPANISHSPEAKING IMMIGRANTS CONSTITUTE THE MAJORITY OF THE CITY'S WORKING POOR AND LIVE IN THE AREAS SCARRED NOT ONLY BY THE RIOT BUT BY EVERYDAY SLASHES OF VIOLENCE LA'S WHITES TOO ARE POLYGLOT THESE DAYS LOTS OF SOVIET JEWS ARMENIANS IRANIANS EVEN INDIANS UNDENIABLY OPPORTUNITIES ARE SCARCE WITHIN CLOSE PROXIMITY OF THOSE NEIGHBORHOODS INDEED THEY ARE FEW IN MUCH OF RECESSIONWRACKED SOUTHERN CALIFORNIA TODAY THE CAUSES ARE MANY BUT ONE STANDS OUT ABOVE ALL OTHERS AS A REASON WHY COLDHEARTED CAPITALISM AVOIDS THE PALMLINED STREETS THAT LIE BETWEEN THE BUSIEST PORT IN NORTH AMERICA AND THE DOWNTOWN PROFESSIONAL HUB OF THE PACIFIC RIM THAT FACTOR IS STREET CRIME ONLY IN PECULIAR CIRCUMSTANCES CAN CAPITALISTS LARGE AND SMALL BE EXPECTED TO COMMIT RESOURCES TO A PLACE WHERE A PUSHCART ICE CREAM VENDOR IS SLAIN FOR THE PROCEEDS IN HIS POCKET WHERE RANDOM VIOLENCE IS UNLEASHED BY DRIVEBY SHOOTERS ON ANY NIGHT OF THE WEEK THESE KINDS OF INCIDENTS CAN HAPPEN ANYWHERE CERTAINLY AND THEY ARE REPRESENTATIVE OF WHAT DOES HAPPEN REGULARLY IN MOST LARGE US CITIES AT THIS MOMENT MIAMI'S REPUTATION IS BEING TARNISHED BY VIOLENT AND FATAL ROBBERIES OF EUROPEAN TOURISTS BUT THIS CRIME AND THE HEAVILY FORTIFIED YOUTH GANGS THAT ARE BEHIND MUCH OF THE CARNAGE ARE A SPECIAL SCOURGE IN SOUTH CENTRAL LA AN UNUSUAL GHETTO WHOSE OPEN RESIDENTIAL SPACES GIVE LITTLE HINT OF THE HORRORS TO WHICH THEY ARE HOST IF CRIME IS THE PARTICULAR PROBLEM OF LA THAT ONLY ADDS TO THE SIGNIFICANCE OF ITS MAN OF THE HOUR WILLIE L WILLIAMS THE NEW CHIEF OF POLICE HAS EMERGED AS A COMMANDING FIGURE IN A COMMUNITY SOCIALLY ADRIFT AND HIS BLACKNESS IS A STARK REFUTATION OF AFRICANAMERICAN POWERLESSNESS WHEN THE CHIEF PROMISES AN ANXIOUS CITY THAT THIS TIME WE WILL NOT FAIL YOU HE DRAWS ON CREDIBILITY EARNED IN EARLY SKIRMISHES AND CONFIDENCE AND GOODWILL THAT STEM FROM THE BELIEF HE REALLY WAS THE BEST CHOICE FOR THE JOB THE SON OF A MEAT CUTTER MR WILLIAMS SCALED THE RANKS TO HEAD THE PHILADELPHIA POLICE DEPARTMENT BEFORE HIS MOVE TO LOS ANGELES LAST YEAR HE IS THE PARTING LEGACY OF THE 20YEAR MAYORALTY OF ANOTHER PATHBREAKING BLACK MAN TOM BRADLEY MR BRADLEY'S FAILURE IN OTHER RESPECTS TO BRING ABOUT THE KIND OF PROSPEROUS COHESION THAT MIGHT HAVE PREVENTED LAST SPRING'S RIOTS IS A STORY FOR ANOTHER TIME BUT IT IS IN PART A REMINDER THAT ROLE MODELS ARE NOT ENOUGH THAT CHIEF WILLIAMS FOR ALL HIS SYMBOLIC WEIGHT IS GOING TO HAVE TO KEEP PERFORMING IF HE'S TO HAVE LASTING INFLUENCE ON LA AND BEYOND BLACK POLICE CHIEFS ARE NOW NO STRANGERS TO US CITIES AND THE RESULTS HAVE RANGED FROM THE ENCOURAGING IN CHARLESTON SC TO THE ABYSMAL IN WASHINGTON DC TO DEFEAT BY THE SYSTEM IN NEW YORK CITY THE PROOF OF SUCCESS IN LOS ANGELES WILL BE IN A CITY AGAIN MADE SAFE FOR ENTERPRISE NOT EVEN THE BEST POLICE FORCE CAN COUNTERACT ALL THE SOCIAL PATHOLOGIES THAT AFFLICT THE CITIES MR WILLIAMS THOUGH OF MODEST ORIGINS HAD A FUNCTIONING FATHER MORE THAN CAN BE SAID FOR MOST OF THOSE WHO MAY CHALLENGE HIS FORCES IN THE DAYS AHEAD PERHAPS IF HE PROVES A LEADER OF EXTRAORDINARY DEPTH HE CAN INSPIRE OTHERS TO PROVIDE THAT GUIDANCE MISSING IN THE LIVES OF SO MANY YOUNG MALES IN ANY CASE WILLIE WILLIAMS IS THE MAN FROM WHOM ALL RACES EXPECT COMPETENT ENFORCEMENT OF THE LAW IN A PERIOD OF CIVIC NERVOUSNESS THUS HE BELIES THE NOTION THAT RACE IS A PREDICTOR AND LIMITER OF EVERYTHING IN LIFE AND THEREBY HE BECOMES A BASIS FOR RENEWED HOPE IN A GREAT CITY THAT NEEDS SO BADLY TO ESTABLISH A COLORBLIND FAITH AND TRUST 9304130064 930413 NISSAN MOTOR'S US SALES CHIEF MIGNANELLI QUITS CAR MAKER PLANS TO REALIGN MARKETING STAFF DUTIES IN APPARENT SHAKEUP BY KRYSTAL MILLER STAFF REPORTER OF THE WALL STREET JOURNAL DETROIT THE PRESIDENT OF NISSAN MOTOR CORP'S US SALES ARM RESIGNED UNDER PRESSURE IN AN ABRUPT MOVE THAT APPARENTLY HERALDS A BROADER SHAKEUP IN ANNOUNCING THE DEPARTURE OF THOMAS D MIGNANELLI AS PRESIDENT AND CHIEF EXECUTIVE OFFICER OF ITS US SALES OPERATIONS NISSAN ALSO SAID IT IS STARTING A REALIGNMENT OF ITS MARKETING STAFF FUNCTIONS THE AUTO MAKER SAID IT WILL ANNOUNCE THE IMPACT THIS ACTION WILL HAVE ON EMPLOYMENT LEVELS IN ABOUT TWO WEEKS NISSAN OFFICIALS WOULDN'T COMMENT ON A REPORT IN THE JAPANESE NEWSPAPER ASAHI SHIMBUN THAT THE AUTO MAKER WILL SHED 10 OF ITS US SALES AND MARKETING STAFF OVER THE NEXT TWO YEARS MR MIGNANELLI 48 SAID DURING A TELEPHONE INTERVIEW THAT HE WAS LEAVING NISSAN FOR PERSONAL REASONS HE DECLINED TO ELABORATE EXCEPT TO DISMISS AS TOTALLY INACCURATE SUGGESTIONS THAT HE WAS STEPPING DOWN BECAUSE OF RECENT HEALTH PROBLEMS MR MIGNANELLI UNDERWENT QUADRUPLE HEART BYPASS SURGERY IN FEBRUARY BUT HE SAID HE HAS BEEN WORKING PART TIME RECENTLY AND WAS READY TO GO BACK TO WORK FULL TIME I WALKED 32 MILES LAST WEEK HE SAID OTHER NISSAN OFFICIALS SAID MR MIGNANELLI WAS FORCED TO RESIGN BECAUSE THE COMPANY'S US MARKETING ARM HAS FAILED TO MEET SALES AND PROFIT EXPECTATIONS NISSAN DOESN'T DISCLOSE PROFITS ON ITS US SALES BUT THE COMPANY IS IN THE RED OVERALL MR MIGNANELLI WILL BE SUCCEEDED BY ROBERT J THOMAS 48 FORMER VICE PRESIDENT OF CORPORATE STRATEGY AND RESOURCE DEVELOPMENT ANALYSTS SAID MR MIGNANELLI WAS UNDER HEAVY PRESSURE FROM HEADQUARTERS IN JAPAN TO BOOST PROFITS IN THE US TO OFFSET THE SHARP REVERSALS IN THE COMPANY'S HOMEMARKET OPERATIONS THE US OPERATIONS OF ALL JAPANESE AUTO COMPANIES ARE BEING STERNLY TOLD TO FATTEN THEIR PROFIT MARGINS NOW THAT JAPAN'S ECONOMY IS SLUMPING AND THE SURGING VALUE OF THE YEN IS UNDERMINING PROFITS EARNED IN DOLLARS ANALYSTS SAY THE JAPANESE COMPANIES ARE FACING A MUCH TOUGHER ENVIRONMENT IN NORTH AMERICA SAYS JOHN CASESA AN AUTO ANALYST WITH WERTHEIM SCHRODER & CO THE US OPERATIONS OF THE COMPANIES ARE CRUCIAL STILL MR MIGNANELLI'S DEPARTURE STUNNED MANY INDUSTRY WATCHERS I'M SURPRISED SAID CHRISTOPHER CEDERGREN AN AUTO ANALYST WITH AUTOPACIFIC GROUP INC THINGS SEEMED TO BE IMPROVING AT NISSAN INDEED AFTER SEVERAL YEARS OF STRUGGLING IN THE US WITH MEDIOCRE PRODUCTS AND LANGUISHING SALES NISSAN APPEARS TO BE HAVING SOME SUCCESS MR MIGNANELLI CAME TO NISSAN FIVE YEARS AGO FROM THE NO 2 JOB IN FORD MOTOR CO'S LINCOLNMERCURY DIVISION WITH A MANDATE TO JUMP START NISSAN'S SPUTTERING US SALES MR MIGNANELLI TOOK SOME BOLD ACTIONS INCLUDING HIRING TRENDSETTING ADVERTISING AGENCY CHIAT/DAY TO MAKE OVER NISSAN'S MUDDLED IMAGE IN RECENT MONTHS IT HAD APPEARED MR MIGNANELLI'S EFFORTS WERE FINALLY PAYING OFF WITH THE LAUNCH OF THE ALTIMA SEDAN ALTIMA SALES HAVE BEEN SO BRISK NISSAN IN JANUARY BOOSTED PRODUCTION OF THE CAR AT ITS FACTORY IN TENNESSEE ALTOGETHER NISSAN'S US SALES ARE UP 157 THROUGH MARCH 31 EVEN AS TOYOTA MOTOR CORP AND HONDA MOTOR CO HAVE SEEN SALES SLIDE MR MIGNANELLI'S SUCCESSOR MR THOMAS JOINED NISSAN IN 1982 AND HAS SERVED AS REGIONAL SALES MANAGER DIRECTOR OF BUSINESS PLANNING VICE PRESIDENT AND GENERAL MANAGER OF THE NISSAN DIVISION MOST RECENTLY MR THOMAS WAS VICE PRESIDENT OF CORPORATE STRATEGY AND RESOURCE DEVELOPMENT 9304130063 930413 CREDIT MARKETS TREASURYS SURGE OVERSEAS ON INFLATION DATA BUT LOSE SOME MOMENTUM IN LATE US TRADING BY THOMAS D LAURICELLA AND TERENCE DONNELLY SPECIAL TO THE WALL STREET JOURNAL NEW YORK BULLISH INFLATION NEWS SENT US TREASURY NOTES AND BONDS SOARING OVERSEAS AND WHILE SOME OF THE ADVANCES WERE PARED BACK BY THE END OF US ACTIVITY THE MARKET WAS ABLE TO HOLD ON TO DECENT GAINS THE BENCHMARK 30YEAR TREASURY BOND ROSE 3/4 POINT OR 750 FOR A BOND WITH 1000 FACE VALUE AS ITS YIELD DROPPED TO 679 FROM 685 THURSDAY US BOND MARKETS WERE CLOSED FOR GOOD FRIDAY THE 10YEAR NOTE ROSE MORE THAN 3/8 POINT TO 102 14/32 TO YIELD 591 DOWN FROM 596 THE RALLY CAME IN RESPONSE TO THE LABOR DEPARTMENT'S REPORT FRIDAY THAT CONSUMER PRICES ROSE JUST 01 IN MARCH WELL BELOW WALL STREET EXPECTATIONS FOR A 03 INCREASE BUT BECAUSE THE MARKET WAS CLOSED FRIDAY THE FIRST CHANCE TO REACT TO THE DATA CAME IN OVERSEAS TRADING IN RESPONSE TO THE DATA THE MARKET SHOT HIGHER IN TOKYO WIT THE PRICE ON THE LONG BOND JUMPING MORE THAN A POINT AND THE YIELD FALLING TO 675 PARTICIPANTS SAID THE RALLY CAME ON A COMBINATION OF BUYING BY INSTITUTIONAL INVESTORS AND DEALERS' CLOSING OUT SHORT POSITIONS IN WHICH SECURITIES ARE SOLD IN HOPES OF BEING BOUGHT BACK AT LOWER LEVELS FOR A PROFIT THE BETTERTHANEXPECTED NEWS ON RETAIL PRICE INFLATION TOOK MANY PORTFOLIO MANAGERS BY SURPRISE AND PROMPTED A LEG OF SHORT COVERING AND GENUINE INVESTOR DEMAND IN TOKYO SAID WILLIAM V SULLIVAN JR SENIOR VICE PRESIDENT AT DEAN WITTER REYNOLDS INC BY THE TIME US TRADERS SHOWED UP FOR WORK YESTERDAY MORNING THE MARKET HAD ALREADY POSTED IMPRESSIVE GAINS SOME OF WHICH MELTED AWAY DURING THE DAY THERE WAS BUYING RIGHT OUT OF THE CHUTE THIS MORNING BUT THEN IT WENT QUIET AND ACTIVITY BECAME MORE TYPICAL OF A MONDAY AFTERNOON SAID JOHN COSTAS HEAD OF GOVERNMENT SECURITIES TRADING AT FIRST BOSTON CORP LIGHT SELLING PROVIDED A CAP FOR THE MARKET TRADERS SAID SINCE WEDNESDAY WE'VE GAINED THREE POINTS SAID MR SULLIVAN OF DEAN WITTER GIVEN SUCH A SWIFT MOVEMENT IN SUCH A SHORT PERIOD OF TIME IT ISN'T UNUSUAL FOR IT TO BE GREETED AT SOME POINT WITH SOME PROFITTAKING IN ADDITION THERE WAS SOME SELLING PRESSURE AS TRADERS PREPARED FOR TODAY'S AUCTION OF 975 BILLION IN SEVENYEAR NOTES THE SEVENYEAR NOTE YIELDED 552 IN WHENISSUED TRADING LATE YESTERDAY THE BULK OF THE GAINS AMONG TREASURYS WERE POSTED AMONG LONGTERM SECURITIES SUCH AS THE 30YEAR TREASURY BOND THAT LED TO A NARROWING OF THE INTEREST RATE GAP BETWEEN SHORTTERM AND LONGTERM INTEREST RATES THE SPREAD BETWEEN THE TWOYEAR NOTE AND 30YEAR BOND NARROWED TO 298 PERCENTAGE POINTS FROM 304 POINTS AT THE END OF TRADING THURSDAY THE GOOD NEWS ON INFLATION FRIDAY FOLLOWED FAVORABLE PRODUCER PRICE INDEX FIGURES LAST THURSDAY IN THAT REPORT THE PPI EXCLUDING THE VOLATILE FOOD AND ENERGY COMPONENT THE SOCALLED CORE RATE ROSE JUST 01 THOSE TWO SETS OF DATA HELPED SOOTHE A MARKET THAT WAS JITTERY ABOUT THE PROSPECTS FOR REVIVED INFLATION PRESSURES AS THE NERVOUSNESS ABOUT INFLATION FADES THE MARKET HAS BEEN ABLE TO SHAVE NEARLY 030 PERCENTAGE POINT OFF THE YIELD ON THE BOND IN JUST OVER ONE WEEK INVESTORS FEAR INFLATION BECAUSE IT REDUCES THE VALUE OF INVESTMENTS WITH A FIXED RATE OF RETURN THERE HAS BEEN NO DOUBT THAT THERE HAVE BEEN SOME IMPORTANT CHANGES IN ATTITUDE DEAN WITTER'S MR SULLIVAN SAID THE MARKET'S WORST FEARS ON INFLATION WENT UNREALIZED AND THAT BROUGHT SOME CASH IN OFF THE SIDELINES 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 COUPON EQUIVALENT YIELD IS BASED ON A 365DAY YEAR BOTH ISSUES ARE DATED APRIL 15 1993 THE 13WEEK BILLS MATURE JULY 15 AND THE 26WEEK BILLS MATURE OCT 14 THE PACE OF CORPORATE BOND SALES WAS NOTICEABLY BRISKER YESTERDAY THAN IN RECENT SESSIONS AS COMPANIES TOOK ADVANTAGE OF DECLINING INTEREST RATES IN SECONDARY TRADING CORPORATE BONDS GAINED WITH TREASURYS AS THE MARKET REACTED POSITIVELY TO LAST WEEK'S INFLATION DATA DRIVING DOWN BORROWING COSTS AND SWITCHING THE FOCUS TO THE NEW ISSUE MARKET INVESTMENTGRADE BONDS CLIMBED 1/8 POINT TO 1/2 POINT WHILE JUNK BONDS WERE 1/8 POINT STRONGER UTILITIES AND FINANCIAL COMPANIES LED TODAY'S BORROWING ACCOUNTING FOR THE BULK OF THE SESSION'S 14 BILLION OF NEW BOND OFFERINGS CHESAPEAKE & POTOMAC TELEPHONE CO OF VIRGINIA A BELL ATLANTIC CORP UNIT LED OFF THE SESSION WITH A 75 MILLION ISSUE OF 31YEAR DEBENTURES LATER BALTIMORE GAS & ELECTRIC CO AND PUBLIC SERVICE CO OF OKLAHOMA A UNIT OF CENTRAL & SOUTH WEST CORP TAPPED THE MARKET AS WELL TOM RUSZIN ASSISTANT TREASURER AT BALTIMORE GAS & ELECTRIC SAID THE ROUGHLY 010POINT DROP IN LONGTERM RATES SINCE THURSDAY WHEN ENCOURAGING PRODUCER PRICE DATA WAS REPORTED OPENED A WINDOW OF OPPORTUNITY TO REDUCE BORROWING COSTS THE UTILITY OFFERED 100 MILLION OF 30YEAR FIRST AND REFUNDING MORTGAGE BONDS AS 7 1/2 SECURITIES TO YIELD 7537 OR 076 POINT ABOVE THE TREASURY 30YEAR BOND THE ISSUE NONCALLABLE FOR FIVE YEARS WAS WON BY LEHMAN BROTHERS THE BONDS ARE RATED SINGLEA1 BY MOODY'S INVESTORS SERVICE INC AND SINGLEAPLUS BY STANDARD & POOR'S CORP MEANWHILE IN THE JUNKBOND MARKET QUANTUM CHEMICAL CORP OFFERED A 300 MILLION ISSUE OF 10YEAR FIRST MORTGAGE BONDS THROUGH DEALERS LED BY DILLON READ & CO THE DEAL WHICH WAS RAISED IN SIZE FROM A PLANNED 250 MILLION WAS PRICED AT PAR TO YIELD 10375 A SIGNAL THAT INVESTORS CONTINUE TO BE CAUTIOUS BUYERS OF JUNK LAST WEEK BANKERS SAID THEY EXPECTED THE ISSUE TO YIELD 10 RATED BA3 BY MOODY'S AND SINGLEBPLUS BY S&P THE BONDS ARE NONCALLABLE FOR FIVE YEARS QUANTUM ALSO SOLD FIVE MILLION SHARES OF COMMON STOCK TODAY PRICED AT 1225 EACH THERE WAS YET ANOTHER ROUND OF BUYING IN THE MUNICIPALBOND MARKET AND ACTIVELY TRADED ISSUES CLOSED WITH GAINS OF 1/8 TO A FULL POINT MUNIS ROSE ALONG WITH TREASURYS WHICH SURGED ON THE ENCOURAGING INFLATION DATA RELEASED LATE LAST WEEK AMONG SEASONED MUNIS DENVER'S 675 AIRPORT REVENUE BONDS DUE IN 2022 FINISHED 5/8 FIRMER AT 100 3/8 YIELDING 667 THOSE BONDS ARE SUBJECT TO THE FEDERAL ALTERNATIVEMINIMUM TAX THE NORTHEAST MARYLAND WASTE DISPOSAL AUTHORITY'S 630 SOLIDWASTE REVENUE BONDS DUE IN 2016 FINISHED A POINT HIGHER AT 101 YIELDING 618 MUNIS MAY BE PUT TO THE TEST TODAY WHEN SUPPLY BEGINS TO POUR INTO THE MARKET AFTER AN EASTER LULL LAST WEEK MORE THAN 14 BILLION OF LONGTERM SECURITIES ARE SLATED FOR PRICING TODAY ALONE IN THE WEEK ENDED APRIL 7 12 BILLION OF TAXEXEMPT BONDS WERE AWARDED TO UNDERWRITERS IF NEW SUPPLY STARTS TO APPEAR FASTER THAN IT CAN BE FULLY ABSORBED SECONDARY MARKET PRICES MAY COME UNDER DOWNWARD PRESSURE AGAIN MUNI SPECIALISTS SAY YESTERDAY THE METROPOLITAN WATER RECLAMATION DISTRICT OF GREATER CHICAGO'S 470 MILLION OF SERIES 1993 BONDS WERE BROUGHT TO THE MARKET BY A FIRST CHICAGO CAPITAL MARKETS INC GROUP THE OFFERING INCLUDED 220 MILLION GENERAL OBLIGATION REFUNDING BONDS AND 250 MILLION CAPITAL IMPROVEMENT BONDS THE GENERAL OBLIGATION REFUNDING BONDS WERE PRICED TO YIELD FROM 400 IN 1996 TO 550 IN 2006 YIELDS FOR THE CAPITAL IMPROVEMENT BONDS RANGE FROM 460 IN 1998 TO 570 IN 2012 THE NONCALLABLE BONDS ARE EXPECTED TO BE RATED DOUBLEA BY MOODY'S INVESTORS SERVICE INC AND STANDARD & POOR'S CORP THE TREASURY MARKET RALLY IS HAVING LITTLE EFFECT ON MORTGAGEBACKED SECURITIES WHICH ENDED UP SLIGHTLY IN A SESSION OF SPOTTY TRADING THE RALLY YESTERDAY ADDED TO THURSDAY'S GAINS HAS FUELED SPECULATION OF ANOTHER ROUND OF HOMEOWNER REFINANCING AND CONSEQUENTLY MORTGAGE SECURITY PREPAYMENTS PREPAYMENTS RETIRE MORTGAGE SECURITIES EARLIER THAN EXPECTED DECREASING THEIR YIELD TO INVESTORS BUT DALE WESTHOFF MORTGAGE ANALYST AT BEAR STEARNS & CO SAYS HIS FIRM HAS NOT CHANGED ITS SHORTTERM PREPAYMENT ESTIMATES MANY LOANS ARE CLOSING MUCH SOONER THAN EXPECTED MR WESTHOFF SAID I BELIEVE IT'S THE TIMING OF THESE LOANS' CLOSING RATHER THAN THE MAGNITUDE OF REFINANCING ACTIVITY WHICH WILL MAKE THE SPRING SPIKE IN PREPAYMENTS HIGHER MR WESTHOFF ALSO BELIEVES THAT MANY PROSPECTIVE REFINANCERS COULD OPT NOT TO CLOSE LOANS SHOULD RATES RISE MANY OF THESE HOMEOWNERS ARE REFINANCING FOR MARGINAL GAINS MR WESTHOFF SAID IF RATES RISE THOSE GAINS WOULD BE WIPED OUT AND YOU COULD SEE FALLOUT FROM THESE HOMEOWNERS BACKING OUT PRICES OF CURRENT COUPON MORTGAGE SECURITIES WERE UP AN AVERAGE OF 5/32 WHILE THE 10YEAR NOTE ROSE 13/32 TO 102 14/16 IN SECONDARY TRADING GINNIE MAE 7 SECURITIES FOR APRIL DELIVERY WERE UP 1/16 AT 101 4/32 FREDDIE MAC 7 SECURITIES ROSE 6/32 TO 101 18/32 AND FANNIE MAE 7 SECURITIES ROSE 7/32 TO 101 13/32