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",",
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",",
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".",
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".",
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[
"The",
"government",
"'s",
"primary",
"economic-forecasting",
"gauge",
"rose",
"a",
"slight",
"0.2",
"%",
"in",
"September",
",",
"but",
"economists",
"said",
"the",
"report",
"offered",
"little",
"new",
"information",
"on",
"the",
"degree",
"to",
"which",
"the",
"U.S.",
"economy",
"is",
"slowing",
".",
"The",
"small",
"increase",
"in",
"the",
"index",
"of",
"leading",
"indicators",
",",
"which",
"had",
"climbed",
"0.5",
"%",
"in",
"August",
"but",
"was",
"unchanged",
"in",
"July",
",",
"does",
"lend",
"support",
"to",
"the",
"view",
"that",
"the",
"economy",
"has",
"slowed",
"noticeably",
".",
"However",
",",
"it",
"does",
"n't",
"give",
"much",
"of",
"a",
"clue",
"as",
"to",
"whether",
"a",
"recession",
"is",
"on",
"the",
"horizon",
".",
"``",
"I",
"do",
"n't",
"think",
"it",
"provides",
"much",
"new",
"information",
"on",
"the",
"economy",
",",
"''",
"said",
"Richard",
"Rippe",
",",
"economist",
"at",
"Dean",
"Witter",
"Reynolds",
"Inc",
".",
"So",
"far",
"this",
"year",
",",
"the",
"index",
"of",
"leading",
"indicators",
"has",
"risen",
"in",
"four",
"months",
",",
"fallen",
"in",
"four",
"months",
"and",
"remained",
"unchanged",
"in",
"the",
"other",
"month",
".",
"In",
"another",
"report",
"yesterday",
",",
"the",
"Commerce",
"Department",
"said",
"sales",
"of",
"new",
"single-family",
"houses",
"plunged",
"14",
"%",
"in",
"September",
"to",
"an",
"annual",
"rate",
"of",
"618,000",
"from",
"719,000",
"in",
"August",
".",
"The",
"declines",
"were",
"particularly",
"pronounced",
"in",
"the",
"Northeast",
"and",
"in",
"the",
"South",
",",
"where",
"Hurricane",
"Hugo",
"was",
"a",
"factor",
".",
"Although",
"September",
"'s",
"weakness",
"followed",
"two",
"strong",
"months",
"for",
"home",
"sales",
",",
"the",
"decline",
"supports",
"other",
"indications",
"that",
"the",
"drop",
"in",
"mortgage",
"rates",
"earlier",
"this",
"year",
"has",
"had",
"only",
"a",
"limited",
"beneficial",
"effect",
"on",
"the",
"housing",
"market",
".",
"The",
"September",
"drop",
"was",
"the",
"largest",
"since",
"a",
"19",
"%",
"drop",
"in",
"January",
"1982",
",",
"but",
"monthly",
"changes",
"in",
"this",
"measure",
"are",
"even",
"less",
"reliable",
"than",
"those",
"in",
"other",
"economic",
"indicators",
".",
"Because",
"the",
"figures",
"are",
"based",
"on",
"a",
"small",
"sample",
",",
"the",
"department",
"said",
"it",
"is",
"90",
"%",
"confident",
"only",
"that",
"new-home",
"sales",
"fell",
"somewhere",
"between",
"5",
"%",
"and",
"23",
"%",
"during",
"the",
"month",
".",
"The",
"department",
"also",
"said",
"it",
"takes",
"four",
"months",
"to",
"establish",
"a",
"trend",
".",
"So",
"far",
"this",
"year",
",",
"534,000",
"newly",
"built",
"homes",
"have",
"been",
"sold",
",",
"down",
"4.5",
"%",
"from",
"the",
"like",
"months",
"of",
"1988",
".",
"The",
"index",
"of",
"leading",
"indicators",
"got",
"a",
"major",
"boost",
"in",
"September",
"from",
"a",
"surge",
"in",
"consumer",
"expectations",
"as",
"measured",
"by",
"the",
"University",
"of",
"Michigan",
".",
"This",
"measure",
"had",
"dropped",
"sharply",
"in",
"August",
".",
"The",
"Commerce",
"Department",
"said",
"that",
"as",
"a",
"result",
"of",
"a",
"new",
"adjustment",
"to",
"the",
"formula",
"used",
"to",
"calculate",
"the",
"index",
",",
"the",
"influence",
"of",
"this",
"component",
"has",
"been",
"reduced",
".",
"Of",
"the",
"11",
"components",
"to",
"the",
"index",
",",
"only",
"three",
"others",
"rose",
"in",
"September",
":",
"the",
"money",
"supply",
",",
"the",
"length",
"of",
"the",
"average",
"work",
"week",
"and",
"stock",
"prices",
".",
"Several",
"components",
"that",
"track",
"the",
"health",
"of",
"the",
"manufacturing",
"sector",
"of",
"the",
"economy",
"turned",
"down",
"in",
"September",
".",
"These",
"include",
"new",
"orders",
"for",
"manufactured",
"consumer",
"goods",
",",
"lead",
"times",
"on",
"vendor",
"deliveries",
",",
"orders",
"for",
"new",
"plant",
"and",
"equipment",
",",
"and",
"backlogs",
"of",
"orders",
"for",
"durable",
"goods",
".",
"Meanwhile",
",",
"the",
"National",
"Association",
"of",
"Manufacturers",
"said",
"yesterday",
"a",
"recent",
"poll",
"of",
"53",
"executives",
"on",
"its",
"board",
"found",
"that",
"61",
"%",
"do",
"n't",
"expect",
"a",
"recession",
"to",
"occur",
"until",
"1991",
"or",
"later",
".",
"The",
"remainder",
"expect",
"a",
"downturn",
"to",
"begin",
"sometime",
"in",
"Although",
"manufacturers",
"often",
"are",
"quick",
"to",
"call",
"for",
"lower",
"interest",
"rates",
",",
"60",
"%",
"of",
"the",
"executives",
"said",
"they",
"would",
"prefer",
"that",
"the",
"Fed",
"keep",
"inflation-fighting",
"as",
"its",
"top",
"priority",
"even",
"if",
"that",
"means",
"higher",
"rates",
".",
"The",
"other",
"40",
"%",
"said",
"the",
"Fed",
"ought",
"to",
"worry",
"less",
"about",
"inflation",
"and",
"bring",
"interest",
"rates",
"down",
".",
"All",
"the",
"figures",
"are",
"adjusted",
"to",
"remove",
"usual",
"seasonal",
"patterns",
".",
"Here",
"are",
"the",
"net",
"contributions",
"of",
"the",
"components",
"of",
"the",
"Commerce",
"Department",
"'s",
"index",
"of",
"leading",
"indicators",
".",
"After",
"various",
"adjustments",
",",
"they",
"produced",
"a",
"0.5",
"%",
"rise",
"in",
"the",
"index",
"for",
"August",
"and",
"a",
"0.2",
"%",
"rise",
"for",
"September",
".",
"September",
",",
"and",
"the",
"change",
"from",
"August",
",",
"are",
":",
"from",
"1.11",
"in",
"the",
"previous",
"month",
"."
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[
"Banks",
"are",
"continuing",
"to",
"go",
"after",
"individual",
"investors",
",",
"despite",
"falling",
"interest",
"rates",
".",
"Yields",
"on",
"small-denomination",
"certificates",
"of",
"deposit",
"fell",
"at",
"about",
"half",
"the",
"rate",
"of",
"so-called",
"jumbo",
"CDs",
"this",
"week",
",",
"according",
"to",
"Banxquote",
"Money",
"Markets",
",",
"an",
"information",
"service",
"based",
"here",
".",
"Investors",
"can",
"get",
"slightly",
"higher",
"yields",
"on",
"deposits",
"below",
"$",
"50,000",
"than",
"they",
"can",
"on",
"deposits",
"of",
"$",
"90,000",
"and",
"up",
".",
"``",
"Banks",
"want",
"to",
"remain",
"competitive",
",",
"''",
"said",
"Norberto",
"Mehl",
",",
"chairman",
"of",
"Banxquote",
".",
"``",
"October",
"is",
"a",
"big",
"rollover",
"month",
"and",
"perhaps",
"they",
"anticipate",
"greater",
"demand",
"...",
"among",
"people",
"leaving",
"the",
"stock",
"market",
".",
"''",
"Some",
"bankers",
"are",
"reporting",
"more",
"inquiries",
"than",
"usual",
"about",
"CDs",
"since",
"Friday",
".",
"``",
"Reports",
"from",
"branches",
"are",
"that",
"there",
"has",
"been",
"greater",
"interest",
"in",
"the",
"last",
"day",
"or",
"so",
",",
"''",
"said",
"Steven",
"Braitman",
",",
"a",
"vice",
"president",
"at",
"Chemical",
"Bank",
"in",
"New",
"York",
".",
"Chemical",
"said",
"deposits",
"Monday",
"were",
"about",
"$",
"5",
"million",
"higher",
"than",
"usual",
"and",
"it",
"expects",
"more",
"activity",
"as",
"investors",
"receive",
"the",
"proceeds",
"from",
"sales",
"of",
"stock",
".",
"``",
"This",
"is",
"no",
"time",
"to",
"be",
"playing",
"in",
"the",
"street",
"...",
"the",
"Dow",
"has",
"more",
"ups",
"and",
"downs",
"than",
"an",
"elevator",
",",
"''",
"proclaimed",
"an",
"advertisement",
"Monday",
"in",
"New",
"York",
"newspapers",
",",
"touting",
"Lincoln",
"Savings",
"Bank",
"'s",
"one-year",
"CD",
".",
"Harold",
"Jones",
",",
"Lincoln",
"'s",
"chief",
"retail",
"banking",
"officer",
",",
"said",
"there",
"has",
"n't",
"yet",
"been",
"``",
"a",
"discernible",
"response",
",",
"''",
"although",
"the",
"ad",
"included",
"a",
"coupon",
"that",
"could",
"arrive",
"later",
"in",
"the",
"week",
".",
"Friday",
"'s",
"market",
"rout",
"came",
"smack",
"in",
"the",
"middle",
"of",
"the",
"heaviest",
"month",
"for",
"CD",
"rollovers",
",",
"when",
"a",
"number",
"of",
"banks",
"and",
"thrifts",
"already",
"have",
"promotions",
"under",
"way",
".",
"First",
"National",
"Bank",
"of",
"Boston",
",",
"for",
"example",
",",
"is",
"offering",
"certain",
"new",
"depositors",
"an",
"extra",
"quarter",
"of",
"a",
"percentage",
"point",
"on",
"six-month",
"and",
"12-month",
"CDs",
".",
"Some",
"banks",
"actually",
"boosted",
"yields",
"on",
"the",
"shortest",
"term",
"CDs",
"in",
"the",
"latest",
"week",
".",
"New",
"York",
"'s",
"Citibank",
",",
"for",
"instance",
",",
"increased",
"the",
"yield",
"on",
"small-denomination",
"three-month",
"CDs",
"to",
"8",
"%",
"from",
"7.9",
"%",
".",
"On",
"average",
",",
"however",
",",
"three-month",
"CDs",
"at",
"major",
"banks",
"are",
"yielding",
"a",
"tenth",
"of",
"a",
"percentage",
"point",
"less",
"than",
"they",
"were",
"a",
"week",
"ago",
".",
"Average",
"yields",
"on",
"CDs",
"aimed",
"at",
"individual",
"investors",
"fell",
"less",
"than",
"half",
"as",
"much",
"as",
"yields",
"on",
"Treasury",
"bills",
"sold",
"at",
"Monday",
"'s",
"auction",
".",
"Six-month",
"CDs",
"of",
"$",
"50,000",
"and",
"less",
"yielded",
"an",
"average",
"8.02",
"%",
"in",
"the",
"week",
"ended",
"Tuesday",
",",
"down",
"from",
"8.10",
"%",
",",
"according",
"to",
"Banxquote",
".",
"The",
"yield",
"on",
"six-month",
"T-bills",
"fell",
"to",
"7.82",
"%",
"on",
"Monday",
",",
"from",
"8.01",
"%",
"the",
"week",
"before",
".",
"Meanwhile",
",",
"the",
"average",
"yield",
"on",
"six-month",
"CDs",
"of",
"more",
"than",
"$",
"90,000",
"fell",
"to",
"7.93",
"%",
"in",
"the",
"latest",
"week",
",",
"according",
"to",
"Banxquote",
",",
"from",
"8.10",
"%",
"the",
"week",
"before",
".",
"Mr.",
"Mehl",
"noted",
"that",
"actual",
"rates",
"are",
"almost",
"identical",
"on",
"small",
"and",
"large-denomination",
"CDs",
",",
"but",
"yields",
"on",
"CDs",
"aimed",
"at",
"the",
"individual",
"investor",
"are",
"boosted",
"by",
"more",
"frequent",
"compounding",
".",
"CDs",
"sold",
"by",
"major",
"brokerage",
"houses",
",",
"which",
"like",
"jumbo",
"CDs",
"tend",
"to",
"closely",
"follow",
"interest",
"rate",
"trends",
",",
"also",
"posted",
"larger",
"drops",
"in",
"yields",
".",
"A",
"six-month",
",",
"broker-sold",
"CD",
",",
"for",
"example",
",",
"was",
"yielding",
"an",
"average",
"8.09",
"%",
"in",
"the",
"latest",
"week",
",",
"a",
"fifth",
"of",
"a",
"percentage",
"point",
"lower",
"than",
"the",
"week",
"before",
".",
"In",
"late",
"April",
",",
"when",
"interest",
"rates",
"were",
"at",
"their",
"recent",
"highs",
",",
"short-term",
"CDs",
"sold",
"by",
"brokers",
"were",
"offering",
"yields",
"half",
"a",
"percentage",
"point",
"or",
"more",
"higher",
"than",
"banks",
".",
"CD",
"yields",
"are",
"generally",
"expected",
"to",
"fall",
"further",
"in",
"coming",
"weeks",
".",
"``",
"What",
"happened",
"in",
"the",
"stock",
"market",
"and",
"the",
"bigger",
"trade",
"deficit",
"''",
"reported",
"yesterday",
"``",
"make",
"it",
"unlikely",
"that",
"short-term",
"interest",
"rates",
"will",
"rise",
"''",
"any",
"time",
"soon",
",",
"said",
"Mr.",
"Mehl",
"of",
"Banxquote",
".",
"``",
"Even",
"before",
"the",
"market",
"drop",
",",
"rates",
"were",
"down",
"about",
"half",
"a",
"percentage",
"point",
",",
"''",
"said",
"Robert",
"J.",
"Hutchinson",
",",
"senior",
"vice",
"president",
"for",
"retail",
"marketing",
"at",
"Manufacturers",
"Hanover",
"Trust",
"Co.",
"in",
"New",
"York",
".",
"``",
"That",
"puts",
"pressure",
"on",
"CD",
"rates",
"."
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[
"USX",
"Corp.",
"and",
"its",
"Japanese",
"partner",
",",
"Kobe",
"Steel",
"Ltd.",
",",
"agreed",
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"a",
"joint",
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"to",
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"a",
"new",
"plant",
"to",
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"galvanized",
"sheet",
"products",
",",
"mainly",
"for",
"the",
"automotive",
"market",
".",
"Terms",
"were",
"n't",
"disclosed",
"for",
"the",
"plant",
",",
"which",
"will",
"have",
"annual",
"capacity",
"of",
"600,000",
"tons",
".",
"The",
"move",
"by",
"the",
"nation",
"'s",
"largest",
"steelmaker",
"follows",
"a",
"string",
"of",
"earlier",
"announcements",
"by",
"other",
"major",
"steel",
"companies",
".",
"Bethlehem",
"Steel",
"Corp.",
",",
"LTV",
"Corp.",
"and",
"Armco",
"Inc.",
"all",
"have",
"plans",
"to",
"build",
"additional",
"lines",
"for",
"such",
"coated",
"corrosion-resistant",
"steel",
".",
"The",
"surge",
"in",
"production",
",",
"analysts",
"say",
",",
"raises",
"questions",
"about",
"capacity",
"outpacing",
"demand",
".",
"They",
"note",
"that",
"most",
"of",
"the",
"new",
"plants",
"will",
"come",
"on",
"line",
"in",
"1992",
",",
"when",
"the",
"current",
"import",
"trade",
"restraint",
"program",
"ends",
",",
"which",
"could",
"result",
"in",
"more",
"imports",
".",
"``",
"There",
"'s",
"too",
"much",
"capacity",
",",
"''",
"contended",
"Charles",
"Bradford",
",",
"an",
"analyst",
"with",
"Merrill",
"Lynch",
"Capital",
"Markets",
".",
"``",
"I",
"do",
"n't",
"think",
"there",
"'s",
"anyone",
"not",
"building",
"one",
".",
"''",
"He",
"does",
"add",
",",
"however",
",",
"that",
"transplanted",
"Japanese",
"car",
"makers",
"are",
"boosting",
"the",
"levels",
"of",
"U.S.-made",
"steel",
"in",
"their",
"autos",
",",
"instead",
"of",
"relying",
"heavily",
"on",
"imported",
"steel",
".",
"That",
"trend",
"could",
"increase",
"demand",
"for",
"hot-dipped",
"galvanized",
"sheet",
".",
"The",
"hot-dipped",
"galvanized",
"segment",
"is",
"one",
"of",
"the",
"fastest-growing",
"and",
"most",
"profitable",
"segments",
"of",
"the",
"steel",
"market",
",",
"coveted",
"by",
"all",
"major",
"integrated",
"steelmakers",
"wanting",
"to",
"maintain",
"an",
"edge",
"over",
"smaller",
"minimills",
"and",
"reconstructed",
"mills",
"--",
"those",
"spun",
"off",
"to",
"employees",
".",
"Indeed",
",",
"USX",
"said",
"it",
"expects",
"the",
"market",
"for",
"coated",
"sheet",
"steel",
"to",
"reach",
"12",
"million",
"tons",
"annually",
"by",
"1992",
",",
"compared",
"with",
"10.2",
"million",
"tons",
"shipped",
"in",
"1988",
".",
"For",
"the",
"first",
"eight",
"months",
"of",
"1989",
",",
"analysts",
"say",
"shipments",
"of",
"hot-dipped",
"galvanized",
"steel",
"increased",
"about",
"8",
"%",
"from",
"a",
"year",
"earlier",
",",
"while",
"overall",
"steel",
"shipments",
"were",
"up",
"only",
"2.4",
"%",
".",
"USX",
"and",
"Kobe",
"Steel",
"hope",
"to",
"reach",
"a",
"definitive",
"agreement",
"establishing",
"the",
"50-50",
"partnership",
"by",
"the",
"end",
"of",
"the",
"year",
",",
"with",
"construction",
"tentatively",
"slated",
"for",
"the",
"spring",
"of",
"1990",
"and",
"production",
"by",
"1992",
".",
"USX",
"already",
"has",
"six",
"lines",
"in",
"existing",
"plants",
"producing",
"hot-dipped",
"galvanized",
"steel",
",",
"but",
"this",
"marks",
"the",
"first",
"so-called",
"greenfield",
"plant",
"for",
"such",
"production",
".",
"Moreover",
",",
"it",
"will",
"boost",
"by",
"50",
"%",
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".",
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",",
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"Jose",
",",
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",",
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".",
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"Jobs",
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",",
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",",
"``",
"Why",
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"?",
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".",
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",",
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".",
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",",
"Businessland",
",",
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",",
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",",
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"Mr.",
"Jobs",
",",
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".",
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",",
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",",
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".",
"``",
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",",
"this",
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",",
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"Jerry",
"W.",
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",",
"a",
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"university",
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".",
"``",
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",",
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"``",
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",",
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",",
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",",
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"Adolphus",
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",",
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"Next",
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",",
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".",
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"Development",
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[
"After",
"coming",
"close",
"to",
"a",
"partial",
"settlement",
"a",
"year",
"ago",
",",
"shareholders",
"who",
"filed",
"civil",
"suits",
"against",
"Ivan",
"F.",
"Boesky",
"and",
"the",
"partnerships",
"he",
"once",
"controlled",
"again",
"are",
"approaching",
"an",
"accord",
",",
"people",
"familiar",
"with",
"the",
"case",
"said",
".",
"Meanwhile",
",",
"within",
"the",
"next",
"few",
"weeks",
",",
"the",
"limited",
"partners",
"in",
"Ivan",
"F.",
"Boesky",
"&",
"Co",
".",
"L.P.",
"are",
"expected",
"to",
"reach",
"a",
"partial",
"settlement",
"with",
"Drexel",
"Burnham",
"Lambert",
"Inc.",
"regarding",
"the",
"distribution",
"of",
"the",
"$",
"330",
"million",
"in",
"partnership",
"assets",
",",
"said",
"one",
"of",
"the",
"individuals",
".",
"Under",
"the",
"terms",
"of",
"the",
"settlement",
",",
"the",
"limited",
"partners",
"would",
"drop",
"their",
"civil",
"suits",
"against",
"Drexel",
",",
"now",
"pending",
"in",
"federal",
"court",
"in",
"New",
"York",
",",
"another",
"individual",
"said",
".",
"Attorneys",
"involved",
"in",
"the",
"talks",
"said",
"that",
"the",
"parties",
"were",
"closer",
"to",
"accord",
"than",
"they",
"were",
"a",
"year",
"ago",
",",
"when",
"reports",
"of",
"an",
"imminent",
"agreement",
"circulated",
".",
"One",
"individual",
"said",
"the",
"shareholders",
"'",
"accord",
"was",
"``",
"well",
"worked",
"out",
".",
"''",
"However",
",",
"less",
"optimistic",
"attorneys",
"warned",
"that",
"because",
"of",
"the",
"tangle",
"of",
"numerous",
"defendants",
"and",
"plaintiffs",
"with",
"overlapping",
"claims",
",",
"there",
"is",
"always",
"the",
"possibility",
"that",
"the",
"talks",
"will",
"again",
"fall",
"apart",
".",
"A",
"shareholders",
"'",
"accord",
"would",
"provide",
"the",
"first",
"restitution",
"to",
"thousands",
"of",
"individuals",
"and",
"institutions",
"claiming",
"losses",
"as",
"a",
"result",
"of",
"insider",
"trading",
"by",
"Boesky",
"&",
"Co.",
",",
"once",
"the",
"largest",
"arbitrage",
"fund",
"in",
"the",
"U.S.",
".",
"The",
"plaintiffs",
"are",
"investors",
"who",
"bought",
"and",
"sold",
"securities",
"in",
"which",
"Mr.",
"Boesky",
"and",
"his",
"partnerships",
"were",
"dealing",
".",
"Some",
"claim",
"they",
"suffered",
"losses",
"because",
"they",
"sold",
"while",
"he",
"was",
"buying",
"and",
"others",
"because",
"they",
"bought",
"while",
"he",
"was",
"selling",
".",
"Stocks",
"involved",
"in",
"the",
"shareholder",
"suits",
"include",
"Union",
"Carbide",
",",
"RJR",
"Nabisco",
",",
"American",
"Natural",
"Resources",
",",
"Boise",
"Cascade",
"Corp.",
",",
"General",
"Foods",
"Corp.",
",",
"Houston",
"Natural",
"Gas",
"and",
"FMC",
"Corp",
".",
"There",
"are",
"at",
"least",
"27",
"class-action",
"shareholder",
"suits",
"that",
"have",
"been",
"consolidated",
"in",
"federal",
"court",
"in",
"New",
"York",
"under",
"U.S.",
"District",
"Judge",
"Milton",
"Pollack",
".",
"Among",
"the",
"defendants",
"are",
"Mr.",
"Boesky",
";",
"the",
"now-defunct",
"Ivan",
"F.",
"Boesky",
"&",
"Co.",
";",
"Mr.",
"Boesky",
"'s",
"main",
"underwriter",
",",
"Drexel",
"Burnham",
";",
"and",
"Cambrian",
"&",
"General",
"Securities",
"PLC",
",",
"a",
"British",
"investment",
"fund",
"once",
"controlled",
"by",
"Mr.",
"Boesky",
".",
"Individuals",
"familiar",
"with",
"the",
"negotiations",
"said",
"the",
"partial",
"settlement",
"being",
"negotiated",
"would",
"remove",
"the",
"Boesky",
"partnership",
",",
"the",
"British",
"fund",
"and",
"Mr.",
"Boesky",
"as",
"defendants",
",",
"while",
"Drexel",
"and",
"other",
"defendants",
"would",
"remain",
".",
"Charles",
"Davidow",
",",
"of",
"the",
"Washington",
",",
"D.C.-based",
"law",
"firm",
"Wilmer",
",",
"Cutler",
"&",
"Pickering",
",",
"which",
"represents",
"Mr.",
"Boesky",
"in",
"this",
"matter",
",",
"said",
"only",
"that",
"``",
"discussions",
"are",
"under",
"way",
".",
"There",
"are",
"no",
"agreements",
"yet",
".",
"''",
"It",
"has",
"been",
"three",
"years",
"since",
"Mr.",
"Boesky",
",",
"now",
"in",
"prison",
",",
"agreed",
"to",
"pay",
"a",
"$",
"100",
"million",
"fine",
"to",
"settle",
"the",
"government",
"'s",
"charges",
"that",
"he",
"had",
"traded",
"illegally",
"using",
"insider",
"information",
".",
"Out",
"of",
"this",
",",
"the",
"government",
"set",
"up",
"a",
"$",
"50",
"million",
"fund",
"for",
"plaintiffs",
"who",
"can",
"prove",
"their",
"financial",
"losses",
".",
"According",
"to",
"William",
"Orbe",
",",
"an",
"attorney",
"at",
"Grais",
"&",
"Richards",
",",
"the",
"escrow",
"agents",
"for",
"the",
"fund",
",",
"as",
"of",
"Sept.",
"30",
"the",
"fund",
"amounted",
"to",
"$",
"60.5",
"million",
".",
"Separately",
",",
"attorneys",
"for",
"the",
"42",
"or",
"so",
"limited",
"partners",
"have",
"had",
"serious",
"discussions",
"that",
"could",
"lead",
"to",
"the",
"distribution",
"of",
"the",
"partnership",
"'s",
"assets",
".",
"The",
"limited",
"partners",
"include",
"insurance",
"companies",
",",
"financial",
"institutions",
"and",
"individual",
"investors",
".",
"An",
"agreement",
"with",
"Drexel",
"regarding",
"the",
"limited",
"partners",
"'",
"investments",
"is",
"an",
"essential",
"step",
"toward",
"getting",
"their",
"money",
"back",
".",
"This",
"is",
"because",
"a",
"Delaware",
"court",
"earlier",
"this",
"year",
"said",
"that",
"Drexel",
"is",
"entitled",
"to",
"get",
"its",
"money",
"back",
"before",
"or",
"at",
"the",
"same",
"time",
"as",
"the",
"limited",
"partners",
".",
"Drexel",
"is",
"owed",
"$",
"20",
"million",
"by",
"the",
"partnership",
".",
"An",
"individual",
"familiar",
"with",
"the",
"negotiations",
"said",
"that",
"whatever",
"investments",
"the",
"limited",
"partners",
"do",
"not",
"recoup",
"from",
"the",
"$",
"330",
"million",
"in",
"partnership",
"assets",
",",
"they",
"will",
"receive",
"from",
"the",
"$",
"350",
"million",
"restitution",
"fund",
"available",
"as",
"a",
"result",
"of",
"Drexel",
"'s",
"settlement",
"with",
"the",
"government",
"in",
"December",
"1988",
".",
"Drexel",
"agreed",
"to",
"plead",
"guilty",
"to",
"six",
"felony",
"counts",
"and",
"pay",
"$",
"650",
"million",
",",
"of",
"which",
"$",
"350",
"million",
"was",
"set",
"aside",
"for",
"shareholders",
"and",
"other",
"plaintiffs",
",",
"including",
"the",
"limited",
"partners",
",",
"who",
"claim",
"they",
"were",
"injured",
"by",
"Drexel",
".",
"JAILED",
"AFRICAN-AMERICAN",
"activist",
"wins",
"a",
"battle",
"against",
"the",
"U.S.",
"District",
"Judge",
"Robert",
"P.",
"Patterson",
"Jr.",
"ordered",
"the",
"FBI",
"to",
"immediately",
"begin",
"processing",
"Herman",
"Benjamin",
"Ferguson",
"'s",
"request",
"for",
"documents",
"stemming",
"from",
"the",
"agency",
"'s",
"investigation",
"of",
"him",
"during",
"the",
"1960s",
".",
"The",
"FBI",
"had",
"said",
"it",
"would",
"not",
"be",
"able",
"to",
"begin",
"processing",
"the",
"request",
"until",
"June",
"Mr.",
"Ferguson",
",",
"who",
"is",
"68",
"years",
"old",
",",
"fled",
"the",
"U.S.",
"in",
"1970",
"after",
"exhausting",
"his",
"appeals",
"of",
"a",
"1968",
"conviction",
"on",
"conspiracy",
"to",
"murder",
".",
"He",
"turned",
"himself",
"in",
"to",
"authorities",
"in",
"New",
"York",
"earlier",
"this",
"year",
".",
"He",
"maintains",
"that",
"the",
"information",
"from",
"the",
"FBI",
"will",
"help",
"him",
"get",
"his",
"1968",
"conviction",
"vacated",
"and",
"his",
"bail-jumping",
"indictment",
"dismissed",
".",
"His",
"attorneys",
"claim",
"he",
"was",
"framed",
"by",
"the",
"FBI",
"and",
"New",
"York",
"police",
"as",
"part",
"of",
"a",
"campaign",
"to",
"destroy",
"the",
"black",
"liberation",
"movement",
"of",
"the",
"1960s",
".",
"Because",
"the",
"federal",
"Freedom",
"of",
"Information",
"Act",
"was",
"n't",
"law",
"at",
"that",
"time",
",",
"the",
"FBI",
"was",
"n't",
"required",
"to",
"turn",
"over",
"information",
"on",
"its",
"investigations",
"when",
"Mr.",
"Ferguson",
"appealed",
"his",
"conviction",
"in",
"the",
"1960s",
".",
"But",
"in",
"federal",
"court",
"in",
"Manhattan",
",",
"Judge",
"Patterson",
"said",
"the",
"FBI",
"records",
"could",
"show",
"that",
"Mr.",
"Ferguson",
"'s",
"arrest",
"was",
"the",
"result",
"of",
"questionable",
"legal",
"practices",
".",
"The",
"judge",
"said",
"that",
"if",
"the",
"FBI",
"'s",
"proposed",
"schedule",
"was",
"followed",
"in",
"releasing",
"the",
"documents",
",",
"``",
"a",
"delay",
"of",
"over",
"one",
"year",
"will",
"have",
"occurred",
"and",
"plaintiff",
"will",
"have",
"served",
"approximately",
"two-thirds",
"of",
"his",
"3",
"1/2-year",
"minimum",
"sentence",
"by",
"the",
"time",
"he",
"receives",
"the",
"files",
".",
"''",
"Gabriel",
"W.",
"Gorenstein",
",",
"the",
"assistant",
"U.S.",
"attorney",
"handling",
"the",
"case",
"for",
"the",
"FBI",
",",
"said",
"no",
"decision",
"has",
"been",
"made",
"about",
"appealing",
"the",
"judge",
"'s",
"ruling",
".",
"FEDERAL",
"COURTS",
"URGED",
"to",
"cut",
"costs",
"and",
"reduce",
"delays",
"of",
"civil",
"suits",
".",
"The",
"study",
",",
"conducted",
"by",
"a",
"task",
"force",
"of",
"the",
"Brookings",
"Institution",
",",
"suggests",
"that",
"Congress",
"should",
"require",
"the",
"courts",
"to",
"develop",
"the",
"plans",
".",
"The",
"study",
"was",
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[
"Bally",
"Manufacturing",
"Corp.",
"and",
"New",
"York",
"developer",
"Donald",
"Trump",
"have",
"agreed",
"in",
"principle",
"to",
"a",
"$",
"6.5",
"million",
"settlement",
"of",
"shareholder",
"litigation",
"stemming",
"from",
"Bally",
"'s",
"alleged",
"greenmail",
"payment",
"to",
"Mr.",
"Trump",
".",
"According",
"to",
"lawyers",
"familiar",
"with",
"the",
"settlement",
"talks",
",",
"the",
"verbal",
"agreement",
"to",
"end",
"a",
"lawsuit",
"filed",
"more",
"than",
"two",
"years",
"ago",
"was",
"reached",
"last",
"week",
"and",
"will",
"soon",
"be",
"submitted",
"to",
"a",
"federal",
"judge",
"in",
"Camden",
",",
"N.J",
".",
"In",
"February",
"1987",
",",
"Bally",
"thwarted",
"a",
"possible",
"hostile",
"takeover",
"bid",
"from",
"Mr.",
"Trump",
"by",
"agreeing",
"to",
"buy",
"2.6",
"million",
"of",
"Mr.",
"Trump",
"'s",
"3.1",
"million",
"Bally",
"shares",
"for",
"$",
"83.7",
"million",
"--",
"more",
"than",
"$",
"18",
"million",
"above",
"market",
"price",
".",
"The",
"term",
"greenmail",
"refers",
"to",
"a",
"situation",
"where",
"a",
"company",
"pays",
"a",
"premium",
"over",
"market",
"value",
"to",
"repurchase",
"a",
"stake",
"held",
"by",
"a",
"potential",
"acquirer",
".",
"Lawyers",
"for",
"shareholders",
",",
"Bally",
"and",
"Mr.",
"Trump",
"all",
"declined",
"to",
"talk",
"publicly",
"about",
"the",
"proposed",
"settlement",
",",
"citing",
"a",
"request",
"by",
"a",
"federal",
"court",
"magistrate",
"not",
"to",
"reveal",
"details",
"of",
"the",
"agreement",
"until",
"it",
"is",
"completed",
".",
"But",
"some",
"attorneys",
"who",
"are",
"familiar",
"with",
"the",
"matter",
"said",
"the",
"$",
"6.5",
"million",
"payment",
"will",
"be",
"shared",
"by",
"Bally",
"and",
"Mr.",
"Trump",
",",
"with",
"the",
"casino",
"and",
"hotel",
"concern",
"probably",
"paying",
"the",
"bulk",
"of",
"the",
"money",
".",
"The",
"amount",
"Bally",
"and",
"Mr.",
"Trump",
"will",
"pay",
"to",
"settle",
"the",
"class-action",
"suit",
"pales",
"in",
"comparison",
"to",
"the",
"$",
"45",
"million",
"Walt",
"Disney",
"Co.",
"and",
"Saul",
"Steinberg",
"'s",
"Reliance",
"Group",
"Holdings",
"Inc.",
"agreed",
"to",
"pay",
"to",
"settle",
"a",
"similar",
"suit",
"in",
"July",
".",
"That",
"settlement",
"represented",
"the",
"first",
"time",
"shareholders",
"were",
"granted",
"a",
"major",
"payment",
"in",
"a",
"greenmail",
"case",
".",
"Mr.",
"Steinberg",
"made",
"a",
"$",
"59.7",
"million",
"profit",
"on",
"the",
"sale",
"to",
"Disney",
"of",
"his",
"investment",
"in",
"the",
"company",
"in",
"1984",
".",
"But",
"lawyers",
"said",
"Mr.",
"Steinberg",
"probably",
"faced",
"much",
"more",
"potential",
"liability",
"because",
",",
"when",
"he",
"sued",
"Disney",
"during",
"his",
"takeover",
"battle",
",",
"he",
"filed",
"on",
"behalf",
"of",
"all",
"shareholders",
".",
"When",
"Disney",
"offered",
"to",
"pay",
"Mr.",
"Steinberg",
"a",
"premium",
"for",
"his",
"shares",
",",
"the",
"New",
"York",
"investor",
"did",
"n't",
"demand",
"the",
"company",
"also",
"pay",
"a",
"premium",
"to",
"other",
"shareholders",
".",
"When",
"Mr.",
"Trump",
"sued",
"Bally",
",",
"he",
"sued",
"only",
"on",
"behalf",
"of",
"himself",
".",
"Mr.",
"Trump",
"and",
"Bally",
"also",
"appeared",
"to",
"have",
"some",
"leverage",
"in",
"the",
"case",
"because",
"in",
"the",
"state",
"of",
"Delaware",
",",
"where",
"Bally",
"is",
"incorporated",
",",
"courts",
"have",
"held",
"that",
"greenmail",
"is",
"often",
"protected",
"by",
"the",
"business-judgment",
"rule",
".",
"That",
"rule",
"gives",
"boards",
"of",
"directors",
"wide",
"latitude",
"in",
"deciding",
"how",
"to",
"deal",
"with",
"dissident",
"shareholders",
".",
"SENATE",
"HEARS",
"final",
"arguments",
"in",
"impeachment",
"trial",
"of",
"federal",
"judge",
".",
"Yesterday",
",",
"U.S.",
"Judge",
"Alcee",
"Hastings",
"faced",
"his",
"jury",
"--",
"the",
"full",
"U.S.",
"Senate",
"--",
"and",
"said",
",",
"``",
"I",
"am",
"not",
"guilty",
"of",
"having",
"committed",
"any",
"crime",
".",
"''",
"Seventeen",
"articles",
"of",
"impeachment",
"against",
"the",
"Florida",
"judge",
",",
"one",
"of",
"the",
"few",
"blacks",
"on",
"the",
"U.S.",
"bench",
",",
"were",
"approved",
"by",
"the",
"House",
"in",
"August",
"1988",
".",
"The",
"central",
"charge",
"against",
"Judge",
"Hastings",
"is",
"that",
"he",
"conspired",
"with",
"a",
"Washington",
"lawyer",
"to",
"obtain",
"a",
"$",
"150,000",
"bribe",
"from",
"defendants",
"in",
"a",
"criminal",
"case",
"before",
"the",
"judge",
",",
"in",
"return",
"for",
"leniency",
".",
"He",
"is",
"also",
"accused",
"of",
"lying",
"under",
"oath",
"and",
"of",
"leaking",
"information",
"obtained",
"from",
"a",
"wiretap",
"he",
"supervised",
".",
"The",
"Senate",
"'s",
"public",
"gallery",
"was",
"packed",
"with",
"Judge",
"Hastings",
"'",
"supporters",
",",
"who",
"erupted",
"into",
"applause",
"after",
"he",
"finished",
"his",
"argument",
".",
"Judge",
"Hastings",
",",
"who",
"was",
"acquitted",
"of",
"similar",
"charges",
"by",
"a",
"federal",
"jury",
"in",
"1983",
",",
"claims",
"he",
"is",
"being",
"victimized",
"and",
"that",
"the",
"impeachment",
"proceedings",
"against",
"him",
"constitute",
"double",
"jeopardy",
".",
"But",
"Rep.",
"John",
"Bryant",
"(",
"D.",
",",
"Texas",
")",
",",
"the",
"lead",
"counsel",
"for",
"the",
"House",
"managers",
"who",
"conducted",
"a",
"lengthy",
"inquiry",
"into",
"Judge",
"Hastings",
"'",
"activities",
",",
"said",
"``",
"a",
"mountain",
"of",
"evidence",
"points",
"to",
"his",
"certain",
"guilt",
".",
"''",
"The",
"Senate",
"will",
"deliberate",
"behind",
"closed",
"doors",
"today",
"and",
"is",
"scheduled",
"to",
"vote",
"on",
"the",
"impeachment",
"tomorrow",
".",
"If",
"the",
"judge",
"is",
"impeached",
",",
"as",
"is",
"thought",
"likely",
",",
"he",
"will",
"be",
"removed",
"from",
"office",
"immediately",
".",
"However",
",",
"Judge",
"Hastings",
"has",
"said",
"he",
"will",
"continue",
"to",
"fight",
"and",
"is",
"contemplating",
"an",
"appeal",
"of",
"any",
"impeachment",
"to",
"the",
"U.S.",
"Supreme",
"Court",
".",
"COMPANIES",
"SEEKING",
"to",
"make",
"insurers",
"pay",
"for",
"pollution",
"cleanup",
"win",
"court",
"victory",
".",
"In",
"a",
"case",
"involving",
"Avondale",
"Industries",
"Inc.",
"and",
"its",
"insurer",
",",
"Travelers",
"Cos.",
",",
"the",
"Second",
"U.S.",
"Circuit",
"Court",
"of",
"Appeals",
"in",
"New",
"York",
"ruled",
"in",
"favor",
"of",
"the",
"company",
"on",
"two",
"issues",
"that",
"lawyers",
"say",
"are",
"central",
"to",
"dozens",
"of",
"pollution",
"cases",
"around",
"the",
"country",
".",
"Travelers",
"and",
"other",
"insurers",
"have",
"maintained",
"that",
"cleanup",
"costs",
"are",
"n't",
"damages",
"and",
"thus",
"are",
"n't",
"covered",
"under",
"commercial",
"policies",
".",
"They",
"also",
"have",
"argued",
"that",
"government",
"proceedings",
"notifying",
"a",
"company",
"of",
"potential",
"responsibility",
"do",
"n't",
"fit",
"the",
"legal",
"definition",
"of",
"a",
"lawsuit",
";",
"thus",
",",
"such",
"governmental",
"proceedings",
"are",
"n't",
"covered",
"by",
"the",
"policies",
",",
"the",
"insurers",
"say",
".",
"The",
"appeals",
"court",
"disagreed",
"on",
"both",
"counts",
".",
"Avondale",
"was",
"notified",
"by",
"Louisiana",
"officials",
"in",
"1986",
"that",
"it",
"was",
"potentially",
"responsible",
"for",
"a",
"cleanup",
"at",
"an",
"oil-recycling",
"plant",
".",
"Avondale",
"asked",
"Travelers",
"to",
"defend",
"it",
"in",
"the",
"state",
"proceeding",
",",
"but",
"the",
"insurer",
"did",
"n't",
"respond",
".",
"The",
"appeals",
"court",
"upheld",
"a",
"district",
"judge",
"'s",
"ruling",
"that",
"the",
"insurer",
"had",
"to",
"defend",
"the",
"company",
"in",
"such",
"proceedings",
".",
"The",
"appeals",
"court",
"also",
"said",
",",
"``",
"We",
"think",
"an",
"ordinary",
"businessman",
"reading",
"this",
"policy",
"would",
"have",
"believed",
"himself",
"covered",
"for",
"the",
"demands",
"and",
"potential",
"damage",
"claims",
"''",
"stemming",
"from",
"any",
"cleanup",
".",
"``",
"This",
"decision",
"will",
"have",
"a",
"very",
"considerable",
"impact",
",",
"''",
"said",
"Kenneth",
"Abraham",
",",
"professor",
"of",
"environmental",
"law",
"and",
"insurance",
"law",
"at",
"the",
"University",
"of",
"Virginia",
",",
"because",
"many",
"commercial",
"insurance",
"policies",
"are",
"issued",
"by",
"companies",
"based",
"in",
"New",
"York",
".",
"William",
"Greaney",
",",
"an",
"attorney",
"for",
"the",
"Chemical",
"Manufacturers",
"Association",
",",
"said",
"that",
"while",
"other",
"appeals",
"courts",
"have",
"ruled",
"differently",
"on",
"whether",
"cleanup",
"costs",
"are",
"damages",
",",
"the",
"influence",
"of",
"the",
"appeals",
"court",
"in",
"New",
"York",
"``",
"will",
"make",
"insurers",
"sit",
"up",
"and",
"listen",
".",
"''",
"He",
"said",
"the",
"decision",
"was",
"the",
"first",
"in",
"which",
"a",
"federal",
"appeals",
"court",
"has",
"ruled",
"whether",
"administrative",
"government",
"proceedings",
"qualify",
"as",
"litigation",
".",
"Barry",
"R.",
"Ostrager",
",",
"an",
"attorney",
"for",
"Travelers",
",",
"said",
",",
"``",
"there",
"are",
"procedural",
"bases",
"on",
"which",
"this",
"case",
"will",
"be",
"appealed",
"further",
".",
"''",
"NEW",
"YORK",
"'S",
"poor",
"face",
"nearly",
"three",
"million",
"legal",
"problems",
"a",
"year",
"without",
"legal",
"help",
".",
"That",
"is",
"the",
"conclusion",
"of",
"a",
"report",
"released",
"by",
"the",
"New",
"York",
"State",
"Bar",
"Association",
".",
"The",
"report",
"was",
"based",
"on",
"a",
"telephone",
"survey",
"of",
"1,250",
"low-income",
"households",
"across",
"the",
"state",
",",
"a",
"mail",
"survey",
"of",
"major",
"legal-services",
"programs",
"and",
"on-site",
"interviews",
"with",
"individuals",
"in",
"the",
"field",
".",
"``",
"The",
"report",
"provides",
"detailed",
"documentation",
"of",
"the",
"extent",
"and",
"nature",
"of",
"the",
"problem",
"and",
"indicates",
"how",
"we",
"may",
"want",
"to",
"shape",
"solutions",
",",
"''",
"said",
"Joseph",
"Genova",
",",
"chairman",
"of",
"the",
"committee",
"that",
"oversaw",
"the",
"survey",
"and",
"a",
"partner",
"at",
"the",
"law",
"firm",
"of",
"Milbank",
",",
"Tweed",
",",
"Hadley",
"&",
"McCloy",
".",
"According",
"to",
"the",
"study",
",",
"slightly",
"more",
"than",
"34",
"%",
"of",
"those",
"surveyed",
"reported",
"having",
"at",
"least",
"one",
"housing",
"problem",
"every",
"year",
"for",
"which",
"they",
"had",
"no",
"legal",
"help",
".",
"Nearly",
"36",
"%",
"ranked",
"housing",
"problems",
"as",
"their",
"most",
"serious",
"unmet",
"legal",
"need",
".",
"Other",
"areas",
"targeted",
"by",
"the",
"survey",
"'s",
"respondents",
"included",
"difficulty",
"obtaining",
"or",
"maintaining",
"public",
"benefits",
"(",
"22",
"%",
")",
",",
"consumer",
"fraud",
"(",
"15.4",
"%",
")",
",",
"and",
"health-care",
"issues",
"(",
"15",
"%",
")",
".",
"During",
"the",
"15-month",
"survey",
",",
"43",
"%",
"of",
"all",
"legal-services",
"programs",
"said",
"that",
"at",
"some",
"period",
"they",
"were",
"unable",
"to",
"accept",
"new",
"clients",
"unless",
"they",
"had",
"an",
"emergency",
".",
"Mr.",
"Genova",
"said",
"the",
"committee",
"may",
"meet",
"to",
"propose",
"solutions",
"to",
"the",
"problems",
"identified",
"in",
"the",
"study",
".",
"PROSECUTOR",
"TO",
"JOIN",
"Gibson",
"Dunn",
":",
"Assistant",
"U.S.",
"Attorney",
"Randy",
"Mastro",
",",
"who",
"headed",
"the",
"government",
"'s",
"racketeering",
"case",
"against",
"the",
"International",
"Brotherhood",
"of",
"Teamsters",
",",
"will",
"join",
"Gibson",
",",
"Dunn",
"&",
"Crutcher",
"in",
"its",
"New",
"York",
"office",
".",
"Mr.",
"Mastro",
"has",
"been",
"with",
"the",
"New",
"York",
"U.S.",
"attorney",
"'s",
"office",
"for",
"nearly",
"five",
"years",
".",
"In",
"1987",
"he",
"became",
"deputy",
"chief",
"of",
"the",
"civil",
"division",
".",
"Mr.",
"Mastro",
"will",
"do",
"civil",
"litigation",
"and",
"white-collar",
"defense",
"work",
"for",
"Gibson",
"Dunn",
",",
"which",
"is",
"based",
"in",
"Los",
"Angeles",
".",
"FORMER",
"APPLE",
"COMPUTER",
"Inc.",
"general",
"counsel",
"John",
"P.",
"Karalis",
"has",
"joined",
"the",
"Phoenix",
",",
"Ariz.",
",",
"law",
"firm",
"of",
"Brown",
"&",
"Bain",
".",
"Mr.",
"Karalis",
",",
"51",
",",
"will",
"specialize",
"in",
"corporate",
"law",
"and",
"international",
"law",
"at",
"the",
"110-lawyer",
"firm",
".",
"Before",
"joining",
"Apple",
"in",
"1986",
",",
"Mr.",
"Karalis",
"served",
"as",
"general",
"counsel",
"at",
"Sperry",
"Corp",
"."
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"shares",
"outstanding",
".",
"But",
"the",
"foundation",
"bylaws",
"require",
"the",
"entire",
"Trelleborg",
"stake",
"to",
"be",
"sold",
"in",
"the",
"open",
"market",
"if",
"control",
"drops",
"below",
"50",
"%",
".",
"That",
"possibility",
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"crept",
"closer",
"as",
"repeated",
"new",
"share",
"offerings",
"to",
"finance",
"Trelleborg",
"'s",
"rapid",
"growth",
"steadily",
"diluted",
"the",
"foundation",
"'s",
"holding",
".",
"That",
"growth",
"is",
"the",
"result",
"of",
"Mr.",
"Andersson",
"'s",
"shopping",
"spree",
",",
"during",
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"bought",
"and",
"sold",
"more",
"than",
"100",
"companies",
"during",
"the",
"past",
"five",
"years",
".",
"Most",
"of",
"the",
"new",
"additions",
"were",
"barely",
"profitable",
",",
"if",
"not",
"outright",
"loss",
"makers",
".",
"Applying",
"prowess",
"gained",
"during",
"earlier",
"stints",
"at",
"appliance",
"maker",
"AB",
"Electrolux",
",",
"Mr.",
"Andersson",
"and",
"a",
"handful",
"of",
"loyal",
"lieutenants",
"aggressively",
"stripped",
"away",
"dead",
"wood",
"--",
"and",
"got",
"quick",
"results",
".",
"The",
"treatment",
"turned",
"Trelleborg",
"into",
"one",
"of",
"Scandinavia",
"'s",
"biggest",
"and",
"fastest-growing",
"industrial",
"concerns",
".",
"Between",
"1985",
"and",
"1988",
",",
"sales",
"multipled",
"more",
"than",
"10",
"times",
"and",
"pretax",
"profit",
"surged",
"almost",
"twelvefold",
".",
"Many",
"analysts",
"expect",
"Mr.",
"Andersson",
",",
"who",
"owns",
"1.7",
"%",
"of",
"the",
"company",
",",
"to",
"be",
"named",
"Trelleborg",
"'s",
"new",
"chairman",
"when",
"Ernst",
"Herslow",
"steps",
"down",
"next",
"year",
".",
"But",
"the",
"promotion",
"is",
"n't",
"likely",
"to",
"alter",
"a",
"management",
"style",
"Mr.",
"Andersson",
"describes",
"as",
"``",
"being",
"the",
"driving",
"force",
"leading",
"the",
"troops",
",",
"not",
"managing",
"by",
"sitting",
"back",
"with",
"a",
"cigar",
"waiting",
"for",
"people",
"to",
"bring",
"me",
"ideas",
".",
"''",
"Last",
"month",
",",
"in",
"his",
"boldest",
"move",
"yet",
",",
"Mr.",
"Andersson",
"and",
"Trelleborg",
"joined",
"forces",
"with",
"Canada",
"'s",
"Noranda",
"Inc.",
"in",
"a",
"joint",
"$",
"2",
"billion",
"hostile",
"takeover",
"of",
"another",
"big",
"Canadian",
"mining",
"concern",
",",
"Falconbridge",
"Ltd",
".",
"Industry",
"analysts",
"suggest",
"that",
"the",
"conquest",
"of",
"Falconbridge",
"could",
"vault",
"Trelleborg",
"from",
"a",
"regional",
"Scandinavian",
"success",
"story",
"to",
"a",
"world-class",
"mining",
"concern",
".",
"``",
"Trelleborg",
"is",
"n't",
"in",
"the",
"same",
"league",
"yet",
"as",
"mining",
"giants",
"such",
"as",
"RTZ",
"Corp.",
"or",
"Anglo-American",
"Corp.",
",",
"''",
"says",
"Mike",
"Kurtanjek",
",",
"a",
"mining",
"analyst",
"at",
"James",
"Capel",
"&",
"Co.",
",",
"London",
".",
"``",
"But",
"we",
"certainly",
"like",
"what",
"we",
"'ve",
"seen",
"so",
"far",
".",
"''",
"But",
"Trelleborg",
"still",
"must",
"clear",
"some",
"tough",
"hurdles",
".",
"Mr.",
"Andersson",
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"mining",
"division",
"``",
"will",
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"while",
"digesting",
"its",
"recent",
"expansion",
".",
"''",
"Booming",
"metals",
"prices",
"have",
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"Trelleborg",
"'s",
"recent",
"profit",
"surge",
",",
"raising",
"mining",
"'s",
"share",
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"profit",
"to",
"68",
"%",
"this",
"year",
"from",
"a",
"big",
"loss",
"two",
"years",
"earlier",
".",
"But",
"analysts",
"caution",
"an",
"expected",
"fall",
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"prices",
"next",
"year",
"could",
"slow",
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".",
"Mining",
"is",
"likely",
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"remain",
"Trelleborg",
"'s",
"main",
"business",
".",
"Analysts",
"say",
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"chances",
"of",
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"will",
"likely",
"hinge",
"on",
"how",
"well",
"Trelleborg",
"manages",
"to",
"cooperate",
"with",
"Noranda",
"in",
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"Falconbridge",
"venture",
".",
"Noranda",
"and",
"Trelleborg",
"each",
"came",
"close",
"to",
"winning",
"Falconbridge",
"alone",
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"the",
"successful",
"joint",
"bid",
".",
"Some",
"analysts",
"say",
"Noranda",
"would",
"prefer",
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"break",
"up",
"Falconbridge",
",",
"and",
"that",
"the",
"Swedes",
"--",
"relatively",
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"in",
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"mining",
"operations",
"--",
"could",
"have",
"problems",
"holding",
"their",
"own",
"with",
"a",
"much",
"bigger",
"partner",
"like",
"Noranda",
"operating",
"on",
"its",
"home",
"turf",
".",
"Mr.",
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"Trelleborg",
"and",
"Noranda",
"have",
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"break-up",
".",
"Falconbridge",
",",
"he",
"says",
",",
"will",
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"in",
"its",
"current",
"form",
".",
"``",
"We",
"'d",
"be",
"reluctant",
"to",
"accept",
"50-50",
"ownership",
"in",
"a",
"manufacturing",
"company",
".",
"But",
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"are",
"common",
"in",
"mining",
",",
"where",
"there",
"are",
"n't",
"problems",
"or",
"conflict",
"of",
"interest",
"or",
"risk",
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"cheating",
"by",
"a",
"partner",
",",
"''",
"Trelleborg",
"'s",
"president",
"says",
".",
"Perhaps",
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"important",
",",
"both",
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"share",
"Mr.",
"Andersson",
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".",
"``",
"If",
"the",
"1980s",
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"a",
"decade",
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",",
"the",
"'90s",
"will",
"be",
"the",
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",",
"''",
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"``",
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"whole",
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".",
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",",
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[
"For",
"years",
",",
"a",
"strict",
"regimen",
"governed",
"the",
"staff",
"meetings",
"at",
"Nissan",
"Motor",
"Co.",
"'s",
"technical",
"center",
"in",
"Tokyo",
"'s",
"western",
"suburbs",
".",
"Employees",
"wore",
"identification",
"badges",
"listing",
"not",
"only",
"their",
"names",
"but",
"also",
"their",
"dates",
"of",
"hire",
".",
"No",
"one",
"could",
"voice",
"an",
"opinion",
"until",
"everybody",
"with",
"more",
"seniority",
"had",
"spoken",
"first",
",",
"so",
"younger",
"employees",
"--",
"often",
"the",
"most",
"enthusiastic",
"and",
"innovative",
"--",
"seldom",
"spoke",
"up",
"at",
"all",
".",
"But",
"in",
"1986",
",",
"the",
"badges",
"and",
"the",
"``",
"do",
"n't",
"speak",
"out",
"of",
"turn",
"''",
"rule",
"were",
"abolished",
"--",
"early",
"steps",
"in",
"a",
"cultural",
"revolution",
"still",
"rolling",
"on",
"with",
"all",
"the",
"subtlety",
"of",
"a",
"freight",
"train",
".",
"In",
"recent",
"years",
",",
"Nissan",
"has",
"instituted",
"flex-time",
"work",
"schedules",
"and",
"allowed",
"employees",
"to",
"dress",
"casually",
",",
"even",
"in",
"blue",
"jeans",
".",
"A",
"rule",
"forbidding",
"staffers",
"to",
"own",
"competitors",
"'",
"cars",
"has",
"been",
"lifted",
",",
"and",
"now",
"many",
"designers",
"drive",
"foreign",
"cars",
"to",
"get",
"useful",
"ideas",
".",
"Nissan",
"'s",
"decades-old",
"corporate",
"song",
"filled",
"with",
"references",
"to",
"Mount",
"Fuji",
"has",
"been",
"scrapped",
"in",
"favor",
"of",
"a",
"snappy",
"tune",
"sung",
"by",
"a",
"popular",
"Japanese",
"vocalist",
".",
"And",
"in",
"a",
"Japanese",
"corporate",
"first",
",",
"Nissan",
"recently",
"opened",
"the",
"first",
"coed",
"company",
"dormitory",
"for",
"single",
"employees",
"at",
"the",
"suburban",
"Tokyo",
"technical",
"center",
".",
"``",
"We",
"had",
"lots",
"of",
"internal",
"debate",
"about",
"this",
"one",
",",
"''",
"concedes",
"Tadahiko",
"Fukuyama",
",",
"a",
"senior",
"public-relations",
"official",
".",
"``",
"But",
"in",
"the",
"end",
",",
"top",
"management",
"decided",
"to",
"follow",
"the",
"voice",
"of",
"the",
"younger",
"generation",
".",
"''",
"This",
"corporate",
"glasnost",
"is",
"a",
"big",
"reason",
"Nissan",
",",
"after",
"years",
"of",
"making",
"lackluster",
"cars",
"and",
"lousy",
"profits",
",",
"has",
"loosened",
"up",
"its",
"rigid",
"ways",
"and",
"now",
"is",
"riding",
"a",
"string",
"of",
"hits",
",",
"ranging",
"from",
"the",
"sleek",
"Maxima",
"sedan",
"and",
"Porsche-like",
"300ZX",
"to",
"the",
"whimsically",
"nostalgic",
"Pao",
",",
"a",
"minicar",
"sold",
"only",
"in",
"Japan",
".",
"The",
"company",
"'s",
"turnaround",
"is",
"far",
"from",
"complete",
";",
"many",
"crucial",
"tests",
"are",
"just",
"beginning",
".",
"But",
"its",
"surprising",
"progress",
"so",
"far",
"holds",
"important",
"lessons",
"for",
"companies",
"in",
"trouble",
".",
"The",
"big",
"one",
":",
"A",
"company",
"'s",
"culture",
"ca",
"n't",
"be",
"radically",
"changed",
"unless",
"top",
"management",
"first",
"admits",
"that",
"things",
"have",
"gone",
"badly",
"awry",
"and",
"then",
"publicly",
"leads",
"the",
"charge",
".",
"Atsushi",
"Muramatsu",
",",
"Nissan",
"'s",
"executive",
"vice",
"president",
"for",
"finance",
",",
"helped",
"set",
"the",
"tone",
"in",
"December",
"1986",
",",
"when",
"the",
"company",
"was",
"heading",
"toward",
"the",
"first",
"operating",
"loss",
"by",
"a",
"Japanese",
"auto",
"maker",
"since",
"the",
"nation",
"'s",
"postwar",
"recovery",
".",
"``",
"This",
"is",
"a",
"time",
"of",
"self-criticism",
"to",
"discover",
"what",
"is",
"wrong",
"with",
"us",
",",
"''",
"he",
"said",
".",
"Yutaka",
"Kume",
",",
"who",
"took",
"the",
"helm",
"as",
"Nissan",
"'s",
"president",
"in",
"June",
"1985",
",",
"added",
"simply",
",",
"``",
"I",
"am",
"deeply",
"disappointed",
".",
"''",
"No",
"wonder",
".",
"Nissan",
",",
"Japan",
"'s",
"second-largest",
"auto",
"maker",
"and",
"the",
"world",
"'s",
"fourth-largest",
",",
"was",
"getting",
"beat",
"up",
"not",
"only",
"by",
"its",
"bigger",
"rival",
",",
"Toyota",
"Motor",
"Corp.",
",",
"but",
"also",
"by",
"Honda",
"Motor",
"Co.",
",",
"the",
"most",
"successful",
"Japanese",
"car",
"company",
"in",
"the",
"U.S.",
"but",
"a",
"relative",
"pipsqueak",
"in",
"Japan",
".",
"Nissan",
"'s",
"market",
"share",
"in",
"Japan",
"had",
"been",
"dropping",
"year",
"by",
"year",
"since",
"the",
"beginning",
"of",
"the",
"decade",
".",
"Its",
"U.S.",
"sales",
"sagged",
",",
"partly",
"because",
"of",
"price",
"increases",
"due",
"to",
"the",
"rising",
"yen",
".",
"Worst",
"of",
"all",
",",
"Nissan",
"was",
"preoccupied",
"with",
"management",
"infighting",
",",
"cronyism",
"and",
"corporate",
"rigidity",
".",
"Consider",
"the",
"experience",
"of",
"Satoko",
"Kitada",
",",
"a",
"30-year-old",
"designer",
"of",
"vehicle",
"interiors",
"who",
"joined",
"Nissan",
"in",
"1982",
".",
"At",
"that",
"time",
",",
"tasks",
"were",
"assigned",
"strictly",
"on",
"the",
"basis",
"of",
"seniority",
".",
"``",
"The",
"oldest",
"designer",
"got",
"to",
"work",
"on",
"the",
"dashboard",
",",
"''",
"she",
"recalls",
".",
"``",
"The",
"next",
"level",
"down",
"did",
"doors",
".",
"If",
"a",
"new",
"person",
"got",
"to",
"work",
"on",
"part",
"of",
"the",
"speedometer",
",",
"that",
"was",
"a",
"big",
"deal",
".",
"''",
"This",
"system",
"produced",
"boring",
",",
"boxy",
"cars",
"that",
"consumers",
"just",
"were",
"n't",
"buying",
".",
"Desperately",
"hoping",
"to",
"spark",
"sales",
",",
"Nissan",
"transferred",
"5,000",
"middle",
"managers",
"and",
"plant",
"workers",
"to",
"dealerships",
".",
"Meanwhile",
",",
"President",
"Kume",
"ordered",
"everyone",
"from",
"top",
"executives",
"to",
"rookie",
"designers",
"to",
"go",
"``",
"town",
"watching",
",",
"''",
"to",
"visit",
"chic",
"parts",
"of",
"Tokyo",
"to",
"try",
"to",
"gain",
"insights",
"into",
"developing",
"cars",
"for",
"trend-setters",
".",
"Some",
"town-watching",
"excursions",
"were",
"downright",
"comic",
".",
"One",
"group",
"of",
"middle-aged",
"manufacturing",
"men",
"from",
"the",
"company",
"'s",
"Zama",
"plant",
"outside",
"Tokyo",
"was",
"supposed",
"to",
"check",
"out",
"a",
"trendy",
"restaurant",
"in",
"the",
"city",
".",
"But",
"when",
"they",
"arrived",
"at",
"the",
"door",
",",
"all",
"were",
"afraid",
"to",
"go",
"in",
",",
"fearing",
"that",
"they",
"would",
"be",
"out",
"of",
"place",
".",
"Other",
"trips",
"were",
"more",
"productive",
".",
"Mr.",
"Kume",
"himself",
"visited",
"Honda",
"'s",
"headquarters",
"in",
"Tokyo",
"'s",
"upscale",
"Aoyama",
"district",
".",
"He",
"liked",
"the",
"well-lighted",
"lobby",
"display",
"of",
"Honda",
"'s",
"cars",
"and",
"trucks",
"so",
"much",
"that",
"he",
"had",
"Nissan",
"'s",
"gloomy",
"lobby",
"exhibit",
"refurbished",
".",
"Later",
",",
"Nissan",
"borrowed",
"other",
"Honda",
"practices",
",",
"including",
"an",
"engineering",
"``",
"idea",
"contest",
"''",
"to",
"promote",
"inventiveness",
".",
"One",
"engineer",
"developed",
"a",
"``",
"crab",
"car",
"''",
"that",
"moves",
"sideways",
".",
"Such",
"sudden",
"cultural",
"shifts",
"may",
"come",
"across",
"as",
"a",
"bit",
"forced",
",",
"but",
"they",
"seem",
"to",
"be",
"genuine",
"--",
"so",
"much",
"so",
",",
"in",
"fact",
",",
"that",
"some",
"older",
"employees",
"have",
"resisted",
".",
"Nissan",
"handled",
"the",
"die-hards",
"in",
"a",
"typically",
"Japanese",
"fashion",
":",
"They",
"were",
"n't",
"fired",
"but",
"instead",
"``",
"were",
"neglected",
",",
"''",
"says",
"Kouji",
"Hori",
",",
"the",
"personnel",
"manager",
"at",
"the",
"Nissan",
"Technical",
"Center",
".",
"Despite",
"the",
"pain",
"of",
"adjusting",
",",
"the",
"cultural",
"revolution",
"has",
"begun",
"to",
"yield",
"exciting",
"cars",
".",
"A",
"year",
"ago",
",",
"the",
"company",
"completely",
"revamped",
"its",
"near-luxury",
"sedan",
",",
"the",
"$",
"17,699",
"Maxima",
",",
"which",
"competes",
"against",
"a",
"broad",
"range",
"of",
"upscale",
"sedans",
";",
"it",
"replaced",
"its",
"boxy",
",",
"pug-nosed",
"body",
"with",
"sleek",
",",
"aerodynamic",
"lines",
".",
"Since",
"then",
",",
"Nissan",
"also",
"has",
"launched",
"new",
"versions",
"of",
"the",
"$",
"13,249",
"240SX",
"sporty",
"coupe",
"and",
"300ZX",
"sports",
"car",
".",
"The",
"restyled",
"300ZX",
"costs",
"as",
"much",
"as",
"$",
"33,000",
"and",
"is",
"squared",
"off",
"against",
"the",
"Porche",
"944",
",",
"which",
"begins",
"at",
"$",
"41,900",
".",
"Besides",
"new",
"styling",
",",
"the",
"new",
"Nissans",
"have",
"more",
"powerful",
"engines",
"and",
"more",
"sophisticated",
"suspension",
"systems",
".",
"All",
"three",
"new",
"models",
"are",
"outselling",
"their",
"predecessors",
"by",
"wide",
"margins",
".",
"In",
"its",
"home",
"market",
",",
"Nissan",
"has",
"grabbed",
"attention",
"with",
"limited-production",
"minicars",
"featuring",
"styling",
"odd",
"enough",
"to",
"be",
"cute",
".",
"One",
"is",
"the",
"Pao",
",",
"a",
"tiny",
"coupe",
"with",
"a",
"peelback",
"canvas",
"top",
"and",
"tilted",
"headlights",
"that",
"give",
"it",
"a",
"droopy-eyed",
"look",
".",
"Nissan",
"initially",
"planned",
"to",
"sell",
"just",
"10,000",
"Paos",
",",
"but",
"sales",
"have",
"passed",
"50,000",
",",
"and",
"there",
"'s",
"a",
"one-year",
"waiting",
"list",
"for",
"the",
"car",
".",
"Then",
",",
"there",
"'s",
"the",
"S-Cargo",
",",
"an",
"offbeat",
"delivery",
"van",
"with",
"a",
"snail-like",
"body",
"that",
"inspired",
"its",
"name",
".",
"Nissan",
"helped",
"develop",
"a",
"Tokyo",
"restaurant",
"with",
"both",
"vehicles",
"as",
"its",
"design",
"theme",
".",
"The",
"chairs",
"are",
"S-Cargo",
"seats",
",",
"and",
"a",
"gift",
"shop",
"sells",
"such",
"items",
"as",
"alarm",
"clocks",
"styled",
"like",
"the",
"Pao",
"'s",
"oversized",
"speedometer",
".",
"All",
"these",
"vehicles",
"have",
"sharply",
"improved",
"Nissan",
"'s",
"morale",
"and",
"image",
"--",
"but",
"have",
"n't",
"done",
"much",
"for",
"its",
"market",
"share",
".",
"Nissan",
"had",
"29",
"%",
"of",
"the",
"Japanese",
"car",
"market",
"in",
"1980",
"before",
"beginning",
"a",
"depressing",
"eight-year",
"slide",
"that",
"continued",
"through",
"last",
"year",
".",
"Strong",
"sales",
"so",
"far",
"this",
"year",
"are",
"certain",
"to",
"turn",
"the",
"tide",
",",
"but",
"even",
"the",
"25",
"%",
"market",
"share",
"that",
"Nissan",
"expects",
"in",
"1989",
"will",
"leave",
"it",
"far",
"below",
"its",
"position",
"at",
"the",
"beginning",
"of",
"the",
"decade",
".",
"Nissan",
"concedes",
"that",
"it",
"wo",
"n't",
"recoup",
"all",
"its",
"market-share",
"losses",
"in",
"Japan",
"until",
"at",
"least",
"1995",
",",
"and",
"even",
"that",
"timetable",
"might",
"prove",
"optimistic",
".",
"``",
"Everyone",
"else",
"is",
"going",
"to",
"catch",
"up",
"''",
"with",
"Nissan",
"'s",
"innovative",
"designs",
",",
"says",
"A.",
"Rama",
"Krishna",
",",
"auto",
"analyst",
"at",
"First",
"Boston",
"(",
"Japan",
")",
"Ltd",
".",
"Nissan",
"'s",
"pace",
"of",
"new-model",
"hits",
"will",
"slow",
",",
"he",
"adds",
",",
"just",
"as",
"arch-rival",
"Toyota",
"unleashes",
"its",
"own",
"batch",
"of",
"new",
"cars",
".",
"Likewise",
",",
"in",
"the",
"U.S.",
",",
"Nissan",
"has",
"grabbed",
"5.2",
"%",
"of",
"the",
"car",
"market",
"so",
"far",
"this",
"year",
",",
"up",
"from",
"4.5",
"%",
"a",
"year",
"ago",
".",
"But",
"even",
"that",
"brings",
"Nissan",
"only",
"to",
"the",
"share",
"it",
"had",
"in",
"1987",
",",
"and",
"leaves",
"the",
"company",
"behind",
"its",
"high",
"of",
"5.5",
"%",
"in",
"1980",
"and",
"1982",
".",
"Why",
"?",
"So",
"far",
",",
"Nissan",
"'s",
"new-model",
"successes",
"are",
"mostly",
"specialized",
"vehicles",
"with",
"limited",
"sales",
"potential",
".",
"In",
"compact",
"and",
"subcompact",
"cars",
",",
"the",
"bread-and-butter",
"sales",
"generators",
"for",
"Japanese",
"auto",
"makers",
",",
"Nissan",
"still",
"trails",
"Toyota",
"and",
"Honda",
".",
"Nissan",
"hopes",
"that",
"that",
"will",
"start",
"to",
"change",
"this",
"fall",
",",
"with",
"its",
"new",
"version",
"of",
"the",
"Stanza",
"compact",
"sedan",
".",
"The",
"Stanza",
"has",
"been",
"a",
"nonentity",
"compared",
"with",
"Honda",
"'s",
"hugely",
"successful",
"Accord",
"and",
"Toyota",
"'s",
"Camry",
".",
"But",
"this",
"year",
",",
"Honda",
"has",
"revamped",
"the",
"Accord",
"and",
"made",
"it",
"a",
"midsized",
"car",
".",
"Nissan",
"instead",
"has",
"kept",
"its",
"new",
"Stanza",
"a",
"bit",
"smaller",
"than",
"that",
"and",
"cut",
"the",
"base",
"price",
"6",
"%",
";",
"at",
"$",
"11,450",
",",
"Stanza",
"prices",
"start",
"$",
"749",
"below",
"the",
"predecessor",
"model",
"yet",
"have",
"a",
"more-powerful",
"engine",
".",
"Accord",
"prices",
"start",
"at",
"$",
"12,345",
".",
"Nissan",
"'s",
"risk",
"is",
"that",
"its",
"low-base-price",
"strategy",
"might",
"get",
"lost",
"amid",
"the",
"highly",
"publicized",
"rebates",
"being",
"offered",
"by",
"Detroit",
"'s",
"Big",
"Three",
".",
"But",
"``",
"on",
"a",
"new",
"car",
",",
"a",
"rebate",
"does",
"n't",
"work",
"well",
"''",
"because",
"it",
"cheapens",
"the",
"vehicle",
"'s",
"image",
",",
"contends",
"Thomas",
"D.",
"Mignanelli",
",",
"executive",
"vice",
"president",
"of",
"Nissan",
"'s",
"U.S.",
"sales",
"arm",
".",
"Even",
"if",
"the",
"new",
"Stanza",
"succeeds",
",",
"Nissan",
"will",
"remain",
"behind",
"in",
"the",
"subcompact",
"segment",
",",
"where",
"its",
"Sentra",
"does",
"n't",
"measure",
"up",
"to",
"the",
"Honda",
"Civic",
"and",
"Toyota",
"Corolla",
".",
"Nissan",
"will",
"introduce",
"a",
"completely",
"revamped",
"Sentra",
"next",
"fall",
".",
"At",
"the",
"opposite",
"end",
"of",
"the",
"market",
",",
"Nissan",
"launches",
"its",
"luxury",
"Infiniti",
"division",
"on",
"Nov.",
"8",
"--",
"three",
"years",
"after",
"Honda",
"pioneered",
"Japanese",
"luxury",
"cars",
"and",
"two",
"months",
"after",
"Toyota",
"'s",
"Lexus",
"went",
"on",
"sale",
".",
"Nissan",
"started",
"advertising",
"Infiniti",
"fully",
"eight",
"months",
"before",
"the",
"cars",
"hit",
"American",
"showrooms",
".",
"The",
"ads",
"featured",
"fences",
",",
"rocks",
"and",
"pussy-willow",
"buds",
"--",
"almost",
"anything",
"but",
"the",
"cars",
"themselves",
".",
"The",
"ads",
"have",
"generated",
"some",
"laughs",
"but",
"also",
"plenty",
"of",
"attention",
"because",
"they",
"are",
"so",
"unlike",
"any",
"other",
"U.S.",
"auto",
"advertising",
".",
"On",
"the",
"other",
"hand",
",",
"Nissan",
"'s",
"sales",
"goals",
"for",
"Infiniti",
"are",
"modest",
"compared",
"with",
"Toyota",
"'s",
"targets",
"for",
"Lexus",
".",
"Nissan",
"will",
"build",
"only",
"about",
"3,500",
"of",
"the",
"$",
"38,000",
"Infiniti",
"Q45",
"sedans",
"each",
"month",
",",
"sending",
"about",
"2,000",
"of",
"them",
"to",
"the",
"U.S.",
"and",
"keeping",
"the",
"rest",
"for",
"sale",
"in",
"Japan",
".",
"Toyota",
"wants",
"to",
"sell",
"about",
"49,000",
"Lexus",
"LS400",
"sedans",
"next",
"year",
"in",
"the",
"U.S.",
"alone",
".",
"``",
"When",
"I",
"saw",
"the",
"Lexus",
"sales",
"projections",
",",
"I",
"got",
"worried",
",",
"''",
"confesses",
"Takashi",
"Oka",
",",
"who",
"led",
"the",
"Infiniti",
"development",
"team",
".",
"But",
"on",
"reflection",
",",
"Mr.",
"Oka",
"says",
",",
"he",
"concluded",
"that",
"Nissan",
"is",
"being",
"prudent",
"in",
"following",
"its",
"slow-startup",
"strategy",
"instead",
"of",
"simply",
"copying",
"Lexus",
".",
"``",
"Infiniti",
"is",
"Nissan",
"'s",
"big",
"business",
"move",
"for",
"the",
"21st",
"century",
",",
"and",
"we",
"'re",
"in",
"no",
"hurry",
"to",
"generate",
"large",
"profits",
"right",
"away",
",",
"''",
"Mr.",
"Oka",
"says",
".",
"Despite",
"plans",
"to",
"add",
"two",
"new",
"Infiniti",
"models",
"next",
"year",
",",
"bringing",
"the",
"total",
"to",
"four",
",",
"Infiniti",
"wo",
"n't",
"show",
"profits",
"for",
"at",
"least",
"five",
"years",
",",
"he",
"adds",
".",
"These",
"days",
"Nissan",
"can",
"afford",
"that",
"strategy",
",",
"even",
"though",
"profits",
"are",
"n't",
"exactly",
"robust",
".",
"Nissan",
"had",
"record",
"net",
"income",
"of",
"114.63",
"billion",
"yen",
"(",
"$",
"868",
"million",
")",
"in",
"the",
"fiscal",
"year",
"ended",
"last",
"March",
"31",
",",
"a",
"remarkable",
"recovery",
"from",
"the",
"20.39",
"billion",
"yen",
"of",
"two",
"years",
"earlier",
",",
"when",
"the",
"company",
"lost",
"money",
"on",
"operations",
".",
"Nissan",
"has",
"increased",
"earnings",
"more",
"than",
"market",
"share",
"by",
"cutting",
"costs",
"and",
"by",
"taking",
"advantage",
"of",
"a",
"general",
"surge",
"in",
"Japanese",
"car",
"sales",
".",
"But",
"Nissan",
"expects",
"to",
"earn",
"only",
"120",
"billion",
"yen",
"in",
"the",
"current",
"fiscal",
"year",
",",
"a",
"modest",
"increase",
"of",
"4.7",
"%",
".",
"The",
"big",
"reason",
":",
"For",
"all",
"its",
"cost-cutting",
",",
"Nissan",
"remains",
"less",
"efficient",
"than",
"Toyota",
".",
"In",
"its",
"last",
"fiscal",
"year",
",",
"Nissan",
"'s",
"profit",
"represented",
"just",
"2.3",
"%",
"of",
"sales",
",",
"compared",
"with",
"4.3",
"%",
"at",
"Toyota",
".",
"To",
"help",
"close",
"the",
"gap",
",",
"Nissan",
"recently",
"established",
"a",
"top-level",
"cost-cutting",
"committee",
".",
"Nissan",
"is",
"the",
"world",
"'s",
"only",
"auto",
"maker",
"currently",
"building",
"vehicles",
"in",
"all",
"three",
"of",
"the",
"world",
"'s",
"key",
"economic",
"arenas",
"--",
"the",
"U.S.",
",",
"Japan",
"and",
"Europe",
".",
"That",
"gives",
"it",
"an",
"enviable",
"strategic",
"advantage",
",",
"at",
"least",
"until",
"its",
"rivals",
"catch",
"up",
",",
"but",
"also",
"plenty",
"of",
"managerial",
"headaches",
".",
"For",
"example",
",",
"Nissan",
"'s",
"U.S.",
"operations",
"include",
"10",
"separate",
"subsidiaries",
"--",
"for",
"manufacturing",
",",
"sales",
",",
"design",
",",
"research",
",",
"etc.",
"--",
"that",
"report",
"separately",
"back",
"to",
"Japan",
".",
"And",
"in",
"July",
",",
"Nissan",
"'s",
"Tennessee",
"manufacturing",
"plant",
"beat",
"back",
"a",
"United",
"Auto",
"Workers",
"organizing",
"effort",
"with",
"aggressive",
"tactics",
"that",
"have",
"left",
"some",
"workers",
"bitter",
".",
"``",
"We",
"are",
"in",
"a",
"transitional",
"phase",
"from",
"being",
"a",
"Japanese",
"company",
"to",
"becoming",
"an",
"international",
"company",
"based",
"in",
"Japan",
",",
"''",
"says",
"Mr.",
"Muramatsu",
",",
"the",
"executive",
"vice",
"president",
".",
"He",
"promises",
"that",
"Nissan",
"will",
"soon",
"establish",
"a",
"holding",
"company",
"overseeing",
"all",
"U.S.",
"operations",
",",
"just",
"as",
"it",
"'s",
"doing",
"in",
"Europe",
".",
"Perhaps",
"the",
"biggest",
"challenge",
",",
"however",
",",
"will",
"be",
"to",
"prevent",
"a",
"return",
"to",
"its",
"former",
"corporate",
"rigidity",
"as",
"its",
"recovery",
"continues",
".",
"Already",
",",
"personnel",
"officials",
"are",
"talking",
"about",
"the",
"need",
"for",
"a",
"``",
"Phase",
"Two",
"''",
"cultural-reform",
"effort",
"of",
"some",
"sort",
".",
"``",
"We",
"are",
"still",
"only",
"half",
"way",
"through",
"the",
"turnaround",
"of",
"this",
"company",
",",
"and",
"there",
"are",
"many",
"more",
"things",
"to",
"do",
",",
"''",
"President",
"Kume",
"says",
".",
"He",
"adds",
",",
"however",
",",
"that",
"``",
"the",
"momentum",
"we",
"have",
"generated",
"is",
"unstoppable",
"."
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",",
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[
"What",
"happened",
"Friday",
"shows",
"that",
"financial",
"markets",
"are",
"not",
"yet",
"sufficiently",
"coordinated",
"to",
"handle",
"another",
"meltdown",
"in",
"prices",
".",
"No",
"fiddling",
"with",
"systems",
"and",
"procedures",
"will",
"ever",
"prevent",
"markets",
"from",
"suffering",
"a",
"panic",
"wave",
"of",
"selling",
".",
"But",
"markets",
"can",
"operate",
"with",
"greater",
"or",
"lesser",
"efficiency",
".",
"After",
"the",
"1987",
"plunge",
",",
"markets",
"agreed",
"that",
"it",
"would",
"be",
"wise",
"to",
"halt",
"trading",
"whenever",
"panic",
"conditions",
"arose",
".",
"The",
"New",
"York",
"Stock",
"Exchange",
"adopted",
"two",
"specific",
"circuit",
"breakers",
":",
"If",
"the",
"Dow",
"Jones",
"index",
"falls",
"250",
"points",
"in",
"a",
"day",
",",
"the",
"exchange",
"will",
"halt",
"trading",
"for",
"one",
"hour",
";",
"if",
"the",
"decline",
"hits",
"400",
"points",
",",
"the",
"exchange",
"will",
"close",
"for",
"an",
"additional",
"two",
"hours",
".",
"The",
"rationale",
"is",
"that",
"an",
"interruption",
"of",
"trading",
"will",
"allow",
"investors",
"to",
"reconsider",
"their",
"strategies",
",",
"calm",
"sellers",
"and",
"lead",
"buyers",
"to",
"enter",
"the",
"market",
"at",
"indicated",
"new",
"price",
"levels",
".",
"It",
"is",
"impossible",
"to",
"know",
"whether",
"that",
"theory",
"is",
"realistic",
".",
"A",
"temporary",
"cessation",
"of",
"trading",
"may",
"indeed",
"discourage",
"a",
"selling",
"panic",
"from",
"feeding",
"on",
"itself",
".",
"But",
"there",
"is",
"also",
"the",
"possibility",
"that",
"shutting",
"down",
"markets",
"will",
"intensify",
"fears",
"and",
"cause",
"an",
"even",
"more",
"abrupt",
"slide",
"in",
"prices",
".",
"What",
"happened",
"Friday",
"was",
"the",
"worst",
"of",
"all",
"worlds",
".",
"The",
"futures",
"exchanges",
"followed",
"their",
"own",
"pre-set",
"circuit",
"breakers",
"and",
"shut",
"down",
"at",
"about",
"3",
"p.m.",
"for",
"30",
"minutes",
",",
"after",
"the",
"Standard",
"&",
"Poor",
"'s",
"500",
"stock",
"index",
"had",
"fallen",
"12",
"points",
",",
"or",
"about",
"100",
"points",
"on",
"the",
"Dow",
"Jones",
"index",
".",
"Options",
"markets",
"stopped",
"trading",
"in",
"many",
"securities",
".",
"The",
"New",
"York",
"Stock",
"Exchange",
",",
"under",
"its",
"own",
"rules",
",",
"remained",
"open",
".",
"With",
"nowhere",
"else",
"to",
"go",
",",
"sellers",
",",
"and",
"particularly",
"program",
"traders",
",",
"focused",
"all",
"their",
"selling",
"on",
"the",
"New",
"York",
"Stock",
"Exchange",
".",
"As",
"liquidity",
"on",
"that",
"market",
"weakened",
",",
"prices",
"fell",
"sharply",
".",
"Had",
"the",
"futures",
"and",
"options",
"markets",
"been",
"open",
",",
"additional",
"liquidity",
"would",
"have",
"been",
"provided",
"and",
"the",
"decline",
",",
"most",
"probably",
",",
"would",
"have",
"been",
"less",
"intense",
".",
"At",
"3:30",
",",
"after",
"intense",
"telephone",
"negotiations",
"between",
"the",
"trading",
"markets",
"and",
"Washington",
",",
"the",
"futures",
"exchanges",
"reopened",
".",
"Futures",
"trading",
",",
"however",
",",
"was",
"halted",
"altogether",
"at",
"3:45",
",",
"after",
"the",
"futures",
"markets",
"had",
"dropped",
"an",
"additional",
"30",
"points",
",",
"which",
"is",
"the",
"daily",
"limit",
"for",
"price",
"declines",
".",
"At",
"this",
"point",
",",
"the",
"options",
"markets",
"also",
"shut",
"down",
"and",
"once",
"more",
"left",
"all",
"sales",
"to",
"be",
"handled",
"by",
"the",
"New",
"York",
"Stock",
"Exchange",
".",
"It",
"is",
"time",
"to",
"recognize",
"that",
"the",
"New",
"York",
"Stock",
"Exchange",
",",
"the",
"futures",
"markets",
"and",
"the",
"options",
"markets",
",",
"though",
"physically",
"separate",
",",
"have",
"actually",
"become",
"so",
"closely",
"intertwined",
"as",
"to",
"constitute",
"one",
"market",
"effectively",
".",
"Traders",
"can",
"vary",
"their",
"strategies",
"and",
"execute",
"their",
"orders",
"in",
"any",
"one",
"of",
"them",
".",
"It",
"therefore",
"makes",
"no",
"sense",
"for",
"each",
"market",
"to",
"adopt",
"different",
"circuit",
"breakers",
".",
"To",
"achieve",
"maximum",
"liquidity",
"and",
"minimize",
"price",
"volatility",
",",
"either",
"all",
"markets",
"should",
"be",
"open",
"to",
"trading",
"or",
"none",
".",
"Synchronized",
"circuit",
"breakers",
"would",
"not",
"have",
"halted",
"the",
"slide",
"in",
"prices",
"on",
"Friday",
",",
"but",
"they",
"probably",
"would",
"have",
"made",
"for",
"smoother",
",",
"less",
"volatile",
"executions",
".",
"It",
"'s",
"time",
"for",
"the",
"exchanges",
"and",
"the",
"Securities",
"and",
"Exchange",
"Commission",
"to",
"agree",
"on",
"joint",
"conditions",
"for",
"halting",
"trading",
"or",
"staying",
"open",
".",
"Let",
"'s",
"not",
"have",
"one",
"market",
"shut",
"down",
"for",
"30",
"minutes",
"when",
"the",
"Dow",
"declines",
"100",
"points",
"and",
"another",
"shut",
"down",
"for",
"an",
"hour",
"after",
"a",
"250-point",
"decline",
".",
"The",
"need",
"for",
"hurried",
"last-minute",
"telephone",
"negotiations",
"among",
"market",
"officials",
"will",
"disappear",
"once",
"rules",
"are",
"in",
"place",
"that",
"synchronize",
"circuit",
"breakers",
"in",
"all",
"markets",
".",
"The",
"new",
"circuit",
"breakers",
",",
"if",
"they",
"are",
"to",
"be",
"applied",
"at",
"all",
",",
"will",
"require",
"that",
"futures",
"and",
"options",
"trading",
"continue",
"as",
"long",
"as",
"the",
"New",
"York",
"Stock",
"Exchange",
"remains",
"open",
".",
"The",
"rules",
"should",
"be",
"established",
"by",
"agreement",
"of",
"the",
"officials",
"of",
"all",
"affected",
"exchanges",
"acting",
"under",
"the",
"oversight",
"and",
"with",
"the",
"approval",
"of",
"the",
"government",
"regulatory",
"agencies",
".",
"Should",
"the",
"SEC",
"and",
"the",
"Commodities",
"Futures",
"Trading",
"Commission",
"(",
"which",
",",
"with",
"the",
"SEC",
",",
"regulates",
"the",
"Chicago",
"stock-index",
"markets",
")",
"be",
"unable",
"to",
"agree",
",",
"the",
"issue",
"may",
"have",
"to",
"be",
"resolved",
"by",
"decision",
"of",
"the",
"Treasury",
"secretary",
".",
"In",
"many",
"ways",
",",
"our",
"financial",
"markets",
"are",
"better",
"prepared",
"today",
"to",
"handle",
"a",
"decline",
"than",
"they",
"were",
"two",
"years",
"ago",
".",
"The",
"New",
"York",
"Stock",
"Exchange",
"now",
"has",
"the",
"capacity",
"to",
"handle",
"a",
"volume",
"of",
"nearly",
"a",
"billion",
"shares",
"a",
"day",
".",
"Telephone",
"service",
"has",
"been",
"improved",
"for",
"customers",
"trying",
"to",
"reach",
"their",
"brokers",
",",
"and",
"specialists",
"--",
"who",
"I",
"believe",
"should",
"stay",
",",
"despite",
"the",
"urgings",
"of",
"some",
"post-crash",
"critics",
"--",
"have",
"larger",
"capital",
"positions",
".",
"(",
"Of",
"course",
",",
"specialists",
"'",
"actions",
"alone",
"can",
"never",
"prevent",
"a",
"major",
"crack",
"in",
"stock",
"prices",
".",
"Witness",
"the",
"fact",
"that",
"trading",
"in",
"some",
"stocks",
"closed",
"early",
"Friday",
"and",
"opened",
"late",
"Monday",
"because",
"of",
"an",
"excess",
"of",
"sell",
"orders",
".",
")",
"But",
"the",
"task",
"of",
"improving",
"market",
"performance",
"remains",
"unfinished",
".",
"Mr.",
"Freund",
",",
"former",
"chief",
"economist",
"of",
"the",
"New",
"York",
"Stock",
"Exchange",
",",
"is",
"a",
"professor",
"of",
"economics",
"at",
"Pace",
"University",
"'s",
"business",
"school",
"in",
"New",
"York",
"."
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",",
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",",
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"Warner",
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"1990",
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".",
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",",
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",",
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".",
"``",
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"weeks",
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"we",
"wo",
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"want",
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",",
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".",
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",",
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",",
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",",
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",",
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"John",
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",",
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",",
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[
"This",
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"be",
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".",
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",",
"a",
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"``",
"Bleacher",
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",",
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",",
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".",
"Revivals",
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",",
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".",
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"championship",
",",
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"'s",
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".",
"The",
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"'s",
"``",
"The",
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".",
"The",
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"about",
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",",
"a",
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".",
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",",
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".",
"The",
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",",
"dishonesty",
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".",
"Twenty-five",
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"17th-century",
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"merely",
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"``",
"the",
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",",
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".",
"Otherwise",
",",
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".",
"Assuming",
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"'s",
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",",
"Mr.",
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"--",
"well",
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"and",
"even",
"better",
"seen",
"in",
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"if",
"you",
"ever",
"have",
"the",
"opportunity",
".",
"But",
"if",
"you",
"happen",
"to",
"be",
"coming",
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"Chicago",
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"few",
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",",
"do",
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"The",
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"''",
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".",
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",",
"Mr.",
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"Mr.",
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",",
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",",
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"--",
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",",
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",",
"actors",
",",
"writers",
"and",
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".",
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".",
"Mr.",
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",",
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"Mr.",
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",",
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"With",
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"Alceste",
",",
"Christina",
"Haag",
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",",
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",",
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",",
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"barrels",
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"wit",
".",
"If",
"this",
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",",
"with",
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"references",
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"Steven",
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",",
"Spago",
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",",
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"Falls",
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"in",
"abandoning",
"Mr.",
"Wilbur",
".",
"A",
"300-year-old",
"play",
"may",
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"easier",
"to",
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"one",
"merely",
"25",
".",
"The",
"Steppenwolf",
"Theatre",
"Company",
",",
"back",
"from",
"a",
"critical",
"and",
"box",
"office",
"success",
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"London",
"with",
"its",
"adaptation",
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"Steinbeck",
"'s",
"``",
"The",
"Grapes",
"of",
"Wrath",
",",
"''",
"opened",
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"season",
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"Pinter",
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"``",
"The",
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",",
"''",
"first",
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"Shakespeare",
"Company",
"in",
"1965",
".",
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"then",
",",
"Mr.",
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"not",
"only",
"the",
"angry",
"young",
"British",
"playwright",
",",
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"sentence",
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"and",
"menacing",
"stares",
",",
"almost",
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"the",
"exclusion",
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"what",
"we",
"previously",
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"be",
"theatrical",
"dialogue",
".",
"When",
"``",
"The",
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"''",
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",",
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".",
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"--",
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"gestured",
".",
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",",
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".",
"Also",
",",
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"not",
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",",
"what",
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"War",
",",
"the",
"'68",
"Democratic",
"convention",
",",
"assassinations",
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"riots",
".",
"But",
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"Perry",
"'s",
"direction",
"the",
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"Steppenwolf",
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",",
"scheduled",
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",",
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",",
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",",
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",",
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",",
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",",
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",",
"Lenny",
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",",
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":",
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"butcher",
",",
"Lenny",
"a",
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".",
"Sam",
",",
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",",
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"Teddy",
",",
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"university",
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",",
"Ruth",
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",",
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"begins",
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"and",
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".",
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",",
"''",
"Bruce",
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",",
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",",
"quietly",
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"a",
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"estate",
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"North",
"Halsted",
"Street",
"restaurant",
"and",
"theater",
"district",
".",
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"move",
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"site",
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"211",
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"provides",
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".",
"``",
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"`",
"Death",
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",",
"'",
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"``",
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"away",
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"signs",
"that",
"labor-management",
"cooperation",
"could",
"change",
"the",
"politics",
"of",
"health-care",
"legislation",
"and",
"the",
"economics",
"of",
"medicine",
".",
"``",
"I",
"ca",
"n't",
"remember",
"a",
"time",
"when",
"virtually",
"everyone",
"can",
"agree",
"on",
"what",
"the",
"problem",
"is",
",",
"''",
"says",
"Mr.",
"Seidman",
",",
"who",
"heads",
"the",
"AFL-CIO",
"'s",
"department",
"dealing",
"with",
"health",
"matters",
".",
"Because",
"the",
"Bush",
"administration",
"is",
"n't",
"taking",
"the",
"initiative",
"on",
"health",
"issues",
",",
"business",
"executives",
"are",
"dealing",
"with",
"congressional",
"Democrats",
"who",
"champion",
"health-care",
"revision",
".",
"``",
"Business",
"across",
"the",
"country",
"is",
"spending",
"more",
"time",
"addressing",
"this",
"issue",
",",
"''",
"says",
"Sen.",
"Edward",
"Kennedy",
"(",
"D.",
",",
"Mass",
".",
")",
".",
"``",
"It",
"'s",
"a",
"bottom-line",
"issue",
".",
"''",
"Business",
"complained",
"earlier",
"this",
"year",
"when",
"Sen.",
"Kennedy",
"introduced",
"a",
"bill",
"that",
"would",
"require",
"employers",
"to",
"provide",
"a",
"minimum",
"level",
"of",
"health",
"insurance",
"to",
"workers",
"but",
"does",
"n't",
"contain",
"cost-control",
"measures",
".",
"Partly",
"in",
"response",
",",
"a",
"bipartisan",
"group",
"of",
"senators",
"from",
"the",
"finance",
"and",
"labor",
"committees",
"is",
"drafting",
"a",
"plan",
"to",
"attract",
"broader",
"support",
".",
"It",
"will",
"feature",
"a",
"cost-containment",
"provision",
"designed",
"to",
"keep",
"expanded",
"benefits",
"from",
"fueling",
"higher",
"care",
"prices",
".",
"At",
"11.1",
"%",
"of",
"gross",
"national",
"product",
",",
"U.S.",
"health",
"costs",
"already",
"are",
"the",
"highest",
"in",
"the",
"world",
".",
"By",
"contrast",
",",
"Japan",
"'s",
"equal",
"6.7",
"%",
"of",
"GNP",
",",
"a",
"nation",
"'s",
"total",
"output",
"of",
"goods",
"and",
"services",
".",
"Management",
"and",
"labor",
"worry",
"that",
"the",
"gap",
"makes",
"U.S.",
"companies",
"less",
"competitive",
".",
"Chrysler",
"Corp.",
"estimates",
"that",
"health",
"costs",
"add",
"$",
"700",
"to",
"the",
"price",
"of",
"each",
"of",
"its",
"cars",
",",
"about",
"$",
"300",
"to",
"$",
"500",
"more",
"per",
"car",
"than",
"foreign",
"competitors",
"pay",
"for",
"health",
".",
"``",
"The",
"cost",
"of",
"health",
"care",
"is",
"eroding",
"standards",
"of",
"living",
"and",
"sapping",
"industrial",
"strength",
",",
"''",
"complains",
"Walter",
"Maher",
",",
"a",
"Chrysler",
"health-and-benefits",
"specialist",
".",
"Labor",
"is",
"upset",
"because",
"many",
"companies",
"are",
"using",
"higher",
"employee",
"insurance",
"premiums",
",",
"deductibles",
"and",
"co-payments",
"to",
"deflect",
"surging",
"medical",
"costs",
"to",
"workers",
".",
"Health",
"benefits",
"are",
"contentious",
"issues",
"in",
"the",
"strikes",
"against",
"Pittston",
"Co.",
"and",
"Nynex",
"Corp",
".",
"In",
"their",
"new",
"contract",
"this",
"year",
",",
"American",
"Telephone",
"&",
"Telegraph",
"Co.",
"and",
"the",
"Communications",
"Workers",
"of",
"America",
"agreed",
"to",
"look",
"for",
"``",
"prompt",
"and",
"lasting",
"national",
"solutions",
"''",
"to",
"rising",
"health-care",
"costs",
".",
"Some",
"analysts",
"are",
"cynical",
"about",
"the",
"new",
"corporate",
"interest",
"in",
"health-care",
"overhaul",
".",
"Carl",
"Schramm",
",",
"president",
"of",
"the",
"Health",
"Insurance",
"Association",
"of",
"America",
",",
"scoffs",
"at",
"``",
"capitalists",
"who",
"want",
"to",
"socialize",
"the",
"entire",
"financing",
"system",
"''",
"for",
"health",
".",
"``",
"They",
"hope",
"they",
"can",
"buy",
"some",
"government",
"cost",
"discipline",
",",
"''",
"but",
"this",
"is",
"a",
"false",
"hope",
",",
"Mr.",
"Schramm",
"says",
".",
"He",
"asserts",
"that",
"government",
"has",
"done",
"an",
"even",
"worse",
"job",
"of",
"controlling",
"its",
"health",
"bill",
"than",
"business",
".",
"So",
"far",
"neither",
"the",
"Bush",
"administration",
"nor",
"Congress",
"is",
"prepared",
"to",
"lead",
"the",
"way",
"toward",
"revamping",
"health",
"care",
".",
"The",
"administration",
"lacks",
"a",
"comprehensive",
"health-care",
"policy",
".",
"Congress",
"still",
"is",
"struggling",
"to",
"dismantle",
"the",
"unpopular",
"Catastrophic",
"Care",
"Act",
"of",
"1988",
",",
"which",
"boosted",
"benefits",
"for",
"the",
"elderly",
"and",
"taxed",
"them",
"to",
"pay",
"for",
"the",
"new",
"coverage",
".",
"A",
"bipartisan",
"commission",
"established",
"by",
"Congress",
"and",
"headed",
"by",
"Sen.",
"John",
"Rockefeller",
"(",
"D.",
",",
"W.Va",
".",
")",
"is",
"scheduled",
"to",
"present",
"new",
"plans",
"for",
"dealing",
"with",
"the",
"uninsured",
"and",
"long-term",
"care",
"for",
"the",
"elderly",
"by",
"next",
"March",
"1",
".",
"A",
"quadrennial",
"commission",
"appointed",
"by",
"Health",
"and",
"Human",
"Services",
"Secretary",
"Louis",
"Sullivan",
"is",
"taking",
"a",
"broad",
"look",
"at",
"the",
"economics",
"of",
"Medicare",
"for",
"the",
"elderly",
",",
"Medicaid",
"for",
"the",
"poor",
"and",
"the",
"health",
"system",
"in",
"general",
".",
"It",
"is",
"expected",
"to",
"report",
"next",
"summer",
".",
"``",
"No",
"magic",
"bullet",
"will",
"be",
"discovered",
"next",
"year",
",",
"an",
"election",
"year",
",",
"''",
"says",
"Rep.",
"Fortney",
"Stark",
"(",
"D.",
",",
"Calif",
".",
")",
"But",
"1991",
"could",
"be",
"a",
"window",
"for",
"action",
".",
"The",
"pressure",
"for",
"change",
"will",
"rise",
"with",
"costs",
".",
"``",
"I",
"think",
"employers",
"are",
"really",
"going",
"to",
"be",
"the",
"ones",
"to",
"push",
"for",
"major",
"change",
",",
"''",
"says",
"Sharon",
"Canner",
",",
"a",
"health",
"expert",
"at",
"NAM",
".",
"Any",
"major",
"attempt",
"to",
"revamp",
"the",
"health-care",
"system",
"is",
"likely",
"to",
"trigger",
"opposition",
"from",
"politically",
"powerful",
"interest",
"groups",
",",
"particularly",
"the",
"American",
"Medical",
"Association",
",",
"and",
"perhaps",
"from",
"the",
"public",
"as",
"well",
",",
"if",
"Congress",
"takes",
"steps",
"that",
"patients",
"fear",
"will",
"limit",
"the",
"availability",
"of",
"care",
".",
"The",
"NAM",
"embraces",
"efforts",
",",
"which",
"both",
"the",
"administration",
"and",
"the",
"medical",
"profession",
"have",
"begun",
",",
"to",
"measure",
"the",
"effectiveness",
"of",
"medical",
"treatments",
"and",
"then",
"to",
"draft",
"medical-practice",
"guidelines",
".",
"Advocates",
"hope",
"that",
"such",
"standards",
"will",
"improve",
"treatment",
"while",
"limiting",
"unnecessary",
"tests",
"and",
"medical",
"procedures",
".",
"HHS",
"Secretary",
"Sullivan",
"estimates",
"that",
"as",
"much",
"as",
"25",
"%",
"of",
"the",
"medical",
"procedures",
"performed",
"each",
"year",
"may",
"be",
"inappropriate",
"or",
"unnecessary",
".",
"Limiting",
"care",
"wo",
"n't",
"be",
"easy",
"or",
"popular",
".",
"``",
"To",
"slow",
"the",
"rise",
"in",
"total",
"spending",
",",
"it",
"will",
"be",
"necessary",
"to",
"reduce",
"per-capita",
"use",
"of",
"services",
",",
"''",
"the",
"NAM",
"warns",
"in",
"a",
"policy",
"statement",
".",
"This",
"will",
"``",
"require",
"us",
"to",
"define",
"--",
"and",
"redefine",
"--",
"what",
"is",
"`",
"necessary",
"'",
"or",
"`",
"appropriate",
"'",
"care",
".",
"This",
"involves",
"trade-offs",
"and",
"-LCB-",
"it",
"-RCB-",
"cuts",
"against",
"the",
"grain",
"of",
"existing",
"consumer",
"and",
"even",
"provider",
"conceptions",
"of",
"what",
"is",
"`",
"necessary",
".",
"'",
"''",
"The",
"AFL-CIO",
"also",
"embraces",
"treatment",
"guidelines",
".",
"In",
"addition",
",",
"it",
"'s",
"toying",
"with",
"an",
"approach",
"that",
"would",
"impose",
"health-expenditure",
"ceilings",
"or",
"budgets",
"on",
"the",
"government",
"as",
"a",
"whole",
"and",
"on",
"individual",
"states",
"as",
"a",
"way",
"to",
"slow",
"health-care",
"spending",
".",
"At",
"a",
"meeting",
"here",
"on",
"Nov.",
"15",
",",
"the",
"labor",
"federation",
"plans",
"to",
"launch",
"a",
"major",
"effort",
"to",
"build",
"grass-roots",
"support",
"for",
"health-care",
"overhaul",
"."
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"Yeast",
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",",
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",",
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",",
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",",
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",",
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"Salk",
"Institute",
".",
"They",
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"churn",
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"medical",
"use",
".",
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"genetic",
"apparatus",
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"that",
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".",
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",",
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".",
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".",
"Chiron",
"Corp.",
",",
"an",
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",",
"Calif.",
",",
"biotechnology",
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",",
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".",
"Peeking",
"Inside",
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"From",
"Outside",
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"VISUALIZING",
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"Laboratories",
".",
"Strokes",
",",
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",",
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"(",
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")",
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".",
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",",
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".",
"A",
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"Lynn",
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".",
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"an",
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".",
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"MRI",
"(",
"magnetic",
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")",
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".",
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"Labs",
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",",
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",",
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".",
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"atoms",
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")",
".",
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".",
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",",
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",",
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"First",
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] |
[
"Outside",
"the",
"white-walled",
"headquarters",
"of",
"the",
"socalled",
"Society",
"of",
"Orange",
"Workers",
",",
"all",
"seems",
"normal",
"in",
"South",
"Africa",
"'s",
"abnormal",
"society",
".",
"A",
"pickup",
"truck",
"driven",
"by",
"a",
"white",
"farmer",
"rumbles",
"past",
"with",
"a",
"load",
"of",
"black",
"workers",
"bouncing",
"in",
"the",
"back",
".",
"Over",
"at",
"Conradies",
",",
"the",
"general",
"store",
",",
"a",
"black",
"stock",
"boy",
"scurries",
"to",
"help",
"an",
"elderly",
"white",
"woman",
"with",
"her",
"packages",
".",
"Down",
"the",
"street",
",",
"a",
"car",
"pulls",
"into",
"the",
"Shell",
"station",
"and",
"is",
"surrounded",
"by",
"black",
"attendants",
".",
"But",
"inside",
"the",
"white",
"walls",
"of",
"the",
"Orange",
"Workers",
"'",
"office",
"--",
"just",
"about",
"the",
"largest",
"building",
"in",
"town",
",",
"save",
"for",
"the",
"Dutch",
"Reformed",
"Church",
"and",
"the",
"school",
"--",
"South",
"Africa",
"'s",
"neat",
"racial",
"order",
"is",
"awry",
".",
"A",
"dozen",
"white",
"office",
"workers",
"fold",
"newsletters",
"and",
"stuff",
"them",
"into",
"envelopes",
".",
"White",
"women",
"serve",
"tea",
"and",
"coffee",
",",
"and",
"then",
"wash",
"the",
"cups",
"and",
"saucers",
"afterwards",
".",
"White",
"children",
"empty",
"the",
"wastepaper",
"baskets",
"and",
"squeegee",
"the",
"windows",
".",
"There",
"is",
"n't",
"a",
"black",
"worker",
"in",
"sight",
".",
"Not",
"in",
"the",
"kitchen",
",",
"or",
"the",
"storeroom",
"or",
"the",
"book",
"shop",
".",
"``",
"If",
"we",
"want",
"to",
"have",
"our",
"own",
"nation",
",",
"then",
"we",
"must",
"be",
"willing",
"to",
"do",
"all",
"the",
"work",
"ourselves",
",",
"''",
"says",
"Hendrik",
"Verwoerd",
"Jr.",
",",
"son",
"of",
"the",
"former",
"prime",
"minister",
"and",
"the",
"leader",
"of",
"the",
"Orange",
"Workers",
",",
"founded",
"in",
"1980",
".",
"They",
"do",
"indeed",
"want",
"their",
"own",
"nation",
".",
"The",
"pillars",
"of",
"apartheid",
"may",
"be",
"trembling",
"in",
"the",
"rest",
"of",
"South",
"Africa",
",",
"with",
"Johannesburg",
"opening",
"its",
"public",
"facilities",
"to",
"all",
"races",
",",
"blacks",
"storming",
"the",
"all-white",
"beaches",
"of",
"the",
"Cape",
"and",
"the",
"government",
"releasing",
"seven",
"leaders",
"of",
"the",
"banned",
"African",
"National",
"Congress",
".",
"But",
"here",
"in",
"Morgenzon",
",",
"a",
"sleepy",
"town",
"amid",
"the",
"corn",
"fields",
"of",
"the",
"eastern",
"Transvaal",
",",
"the",
"Orange",
"Workers",
"are",
"holding",
"the",
"pillars",
"steady",
".",
"The",
"Orange",
"Workers",
"--",
"who",
"take",
"their",
"name",
"from",
"William",
"of",
"Orange",
"of",
"the",
"Netherlands",
",",
"a",
"hero",
"of",
"the",
"Dutch-descended",
"Afrikaners",
"--",
"believe",
"that",
"the",
"solution",
"to",
"South",
"Africa",
"'s",
"racial",
"problems",
"is",
"n't",
"the",
"abolition",
"of",
"apartheid",
",",
"it",
"'s",
"the",
"perfection",
"of",
"apartheid",
"--",
"complete",
"and",
"total",
"separation",
"of",
"the",
"races",
".",
"Here",
",",
"then",
",",
"is",
"where",
"the",
"Orange",
"Workers",
"have",
"come",
"to",
"make",
"apartheid",
"'s",
"last",
"stand",
".",
"Their",
"idea",
"is",
"to",
"create",
"a",
"city",
",",
"first",
",",
"and",
"then",
"an",
"entire",
"nation",
"--",
"without",
"blacks",
".",
"This",
"may",
"seem",
"to",
"be",
"a",
"preposterous",
"and",
"utterly",
"futile",
"effort",
"in",
"Africa",
".",
"And",
"the",
"fact",
"that",
"there",
"are",
"only",
"3,000",
"card-carrying",
"Orange",
"Workers",
"may",
"put",
"them",
"on",
"the",
"loony",
"fringe",
".",
"But",
"their",
"ideal",
"of",
"an",
"Afrikaner",
"homeland",
",",
"an",
"all-white",
"reserve",
"to",
"be",
"carved",
"out",
"of",
"present-day",
"South",
"Africa",
",",
"is",
"a",
"mainstream",
"desire",
"of",
"the",
"right-wing",
",",
"which",
"embraces",
"about",
"one-third",
"of",
"the",
"country",
"'s",
"five",
"million",
"whites",
".",
"Afrikaner",
"philosophers",
"and",
"theologians",
"have",
"long",
"ruminated",
"on",
"the",
"need",
"for",
"a",
"white",
"homeland",
".",
"The",
"Orange",
"Workers",
"are",
"just",
"putting",
"this",
"preaching",
"into",
"practice",
".",
"Thus",
",",
"farmer",
"Johan",
"Fischer",
",",
"his",
"T-shirt",
"and",
"jeans",
"covered",
"in",
"grease",
",",
"crawls",
"around",
"under",
"his",
"planter",
",",
"tightening",
"bolts",
"and",
"fixing",
"dents",
".",
"On",
"almost",
"every",
"other",
"farm",
"in",
"South",
"Africa",
",",
"black",
"workers",
"do",
"the",
"repairs",
".",
"But",
"not",
"here",
".",
"Mr.",
"Fischer",
"plows",
"his",
"own",
"fields",
",",
"sows",
"his",
"own",
"corn",
"and",
"sunflowers",
",",
"and",
"feeds",
"his",
"own",
"sheep",
".",
"Over",
"at",
"the",
"fiberglass",
"factory",
",",
"four",
"white",
"workers",
"assemble",
"water",
"tanks",
"on",
"their",
"own",
",",
"and",
"in",
"their",
"spare",
"time",
"they",
"build",
"townhouses",
"across",
"the",
"road",
".",
"On",
"Main",
"Street",
",",
"Alida",
"Verwoerd",
"and",
"her",
"daughters",
"look",
"after",
"the",
"clothes",
"and",
"fabric",
"shop",
",",
"then",
"hurry",
"home",
"to",
"fix",
"lunch",
"for",
"the",
"rest",
"of",
"the",
"family",
".",
"Down",
"by",
"the",
"stream",
",",
"a",
"group",
"of",
"Orange",
"Workers",
"puts",
"the",
"finishing",
"touches",
"on",
"a",
"golf",
"course",
".",
"If",
"whites",
"want",
"to",
"play",
"there",
"by",
"themselves",
",",
"says",
"consulting",
"engineer",
"Willem",
"van",
"Heerden",
",",
"whites",
"should",
"also",
"build",
"it",
"by",
"themselves",
".",
"``",
"If",
"we",
"want",
"to",
"survive",
"as",
"a",
"people",
",",
"''",
"he",
"says",
",",
"``",
"we",
"have",
"to",
"change",
"our",
"way",
"of",
"life",
".",
"The",
"Afrikaner",
"must",
"end",
"his",
"reliance",
"on",
"others",
".",
"''",
"In",
"their",
"quest",
"to",
"perfect",
"apartheid",
",",
"the",
"Orange",
"Workers",
"have",
"discovered",
"a",
"truth",
"that",
"most",
"of",
"privileged",
"white",
"South",
"Africa",
"tries",
"mightily",
"to",
"deny",
":",
"The",
"master",
"ca",
"n't",
"become",
"dependent",
"on",
"the",
"slave",
"and",
"expect",
"to",
"remain",
"master",
"forever",
".",
"``",
"If",
"apartheid",
"means",
"you",
"want",
"cheap",
"black",
"labor",
"and",
"all",
"the",
"comforts",
"that",
"go",
"with",
"it",
",",
"but",
"you",
"also",
"want",
"to",
"exclude",
"the",
"blacks",
"from",
"social",
"and",
"political",
"integration",
",",
"then",
"these",
"are",
"two",
"contradictions",
"that",
"ca",
"n't",
"go",
"on",
"forever",
",",
"''",
"says",
"Mr.",
"Verwoerd",
".",
"He",
"is",
"sitting",
"in",
"his",
"living",
"room",
",",
"beneath",
"a",
"huge",
"portrait",
"of",
"his",
"late",
"father",
",",
"Hendrik",
"F.",
"Verwoerd",
",",
"apartheid",
"'s",
"architect",
"and",
"South",
"African",
"prime",
"minister",
"from",
"1958",
"to",
"1966",
".",
"Somewhere",
",",
"the",
"son",
"sighs",
",",
"things",
"went",
"terribly",
"wrong",
"with",
"apartheid",
";",
"today",
",",
"whites",
"even",
"rely",
"on",
"blacks",
"to",
"police",
"their",
"separation",
".",
"``",
"People",
"took",
"separate",
"development",
"as",
"an",
"opportunity",
"to",
"use",
"black",
"labor",
"without",
"ever",
"getting",
"rid",
"of",
"it",
".",
"But",
"my",
"father",
"meant",
"it",
"to",
"mean",
"real",
"separation",
",",
"''",
"says",
"the",
"son",
".",
"The",
"Orange",
"Workers",
"speak",
"sincerely",
".",
"``",
"We",
"agree",
"with",
"world",
"opinion",
"that",
"the",
"status",
"quo",
"in",
"South",
"Africa",
"is",
"morally",
"wrong",
",",
"''",
"says",
"Pieter",
"Bruwer",
",",
"the",
"Orange",
"Workers",
"'",
"chief",
"scribe",
"and",
"pamphleteer",
".",
"``",
"We",
"must",
"either",
"integrate",
"honestly",
"or",
"segregate",
"honestly",
".",
"''",
"Morgenzon",
"has",
"long",
"been",
"a",
"special",
"domain",
"of",
"Afrikanerdom",
".",
"According",
"to",
"Mr.",
"Verwoerd",
",",
"the",
"early",
"Afrikaner",
"pioneers",
"were",
"the",
"first",
"people",
"to",
"settle",
"in",
"the",
"eastern",
"Transvaal",
",",
"even",
"before",
"the",
"blacks",
".",
"Then",
",",
"when",
"Morgenzon",
"was",
"incorporated",
"in",
"1908",
",",
"the",
"farmer",
"who",
"owned",
"the",
"land",
"stipulated",
"that",
"only",
"whites",
"could",
"reside",
"in",
"town",
";",
"blacks",
"could",
"work",
"there",
",",
"but",
"they",
"had",
"to",
"leave",
"at",
"night",
".",
"Today",
",",
"Morgenzon",
"is",
"a",
"town",
"of",
"800",
"whites",
"and",
"two",
"paved",
"roads",
".",
"Weeds",
"push",
"up",
"through",
"the",
"cracks",
"in",
"the",
"sidewalks",
",",
"and",
"many",
"houses",
"and",
"storefronts",
"are",
"empty",
".",
"There",
"are",
"few",
"factories",
"and",
"no",
"mines",
".",
"It",
"was",
"an",
"ideal",
"place",
"for",
"the",
"Orange",
"Workers",
"to",
"start",
"their",
"new",
"nation",
",",
"unencumbered",
"by",
"the",
"demographics",
"that",
"have",
"undermined",
"apartheid",
"elsewhere",
"in",
"South",
"Africa",
".",
"So",
"far",
",",
"about",
"150",
"Orange",
"Workers",
"have",
"moved",
"here",
",",
"spending",
"nearly",
"$",
"1",
"million",
"buying",
"up",
"property",
"over",
"the",
"past",
"three",
"years",
".",
"Still",
",",
"complete",
"and",
"total",
"segregation",
"remains",
"elusive",
".",
"Just",
"beyond",
"the",
"city",
"limits",
"is",
"a",
"shantytown",
"of",
"2,000",
"blacks",
"who",
"are",
"employed",
"throughout",
"the",
"area",
".",
"Despite",
"the",
"Orange",
"Workers",
"'",
"intention",
"to",
"put",
"them",
"all",
"out",
"of",
"work",
",",
"they",
"are",
"in",
"no",
"hurry",
"to",
"leave",
".",
"A",
"young",
"man",
"called",
"July",
"(",
"that",
"'s",
"when",
"he",
"was",
"born",
")",
",",
"who",
"works",
"at",
"the",
"railroad",
"station",
"just",
"up",
"the",
"street",
"from",
"the",
"Orange",
"Workers",
"office",
",",
"points",
"at",
"the",
"whitewalled",
"building",
"and",
"says",
"matter-of-factly",
",",
"``",
"We",
"'re",
"not",
"allowed",
"in",
"there",
",",
"that",
"'s",
"all",
"I",
"know",
".",
"''",
"The",
"650-or-so",
"local",
"whites",
"who",
"are",
"n't",
"Orange",
"Workers",
"are",
"more",
"troubled",
".",
"Try",
"as",
"they",
"might",
",",
"they",
"just",
"ca",
"n't",
"conceive",
"of",
"life",
"without",
"black",
"workers",
".",
"``",
"Impossible",
",",
"impossible",
",",
"''",
"say",
"the",
"Conradies",
",",
"an",
"elderly",
"couple",
"who",
"have",
"run",
"the",
"general",
"store",
"for",
"decades",
".",
"``",
"We",
"ca",
"n't",
"do",
"without",
"their",
"help",
",",
"''",
"says",
"Mrs.",
"Conradie",
".",
"``",
"Oh",
"no",
".",
"We",
"need",
"them",
"and",
"I",
"thank",
"God",
"for",
"them",
".",
"''",
"Over",
"at",
"the",
"Shell",
"station",
",",
"owner",
"Rudi",
"van",
"Dyk",
",",
"who",
"doubles",
"as",
"Morgenzon",
"'s",
"mayor",
",",
"worries",
"that",
"the",
"Orange",
"Workers",
"have",
"made",
"his",
"town",
"the",
"laughingstock",
"of",
"the",
"nation",
".",
"``",
"What",
"they",
"want",
"us",
"to",
"do",
"just",
"is",
"n't",
"practical",
",",
"''",
"he",
"says",
",",
"noting",
"that",
"he",
"employs",
"16",
"blacks",
".",
"``",
"I",
"could",
"n't",
"afford",
"to",
"hire",
"16",
"whites",
".",
"The",
"only",
"Afrikaners",
"who",
"would",
"be",
"willing",
"to",
"work",
"for",
"this",
"salary",
"would",
"n't",
"know",
"how",
"to",
"handle",
"money",
".",
"''",
"Back",
"at",
"the",
"Verwoerd",
"house",
",",
"Hendrik",
"Sr.",
"peers",
"down",
"over",
"the",
"shoulder",
"of",
"Hendrik",
"Jr",
".",
"The",
"son",
"believes",
"that",
"when",
"the",
"Afrikaners",
"finally",
"realize",
"there",
"is",
"no",
"turning",
"back",
"the",
"integration",
"of",
"South",
"African",
"society",
"and",
"politics",
",",
"Morgenzon",
"will",
"boom",
".",
"``",
"We",
"urge",
"our",
"people",
"not",
"to",
"wait",
"until",
"they",
"have",
"to",
"fight",
"for",
"their",
"own",
"nation",
",",
"''",
"says",
"Mr.",
"Verwoerd",
".",
"``",
"By",
"populating",
"a",
"place",
"now",
",",
"we",
"make",
"ourselves",
"a",
"power",
"any",
"new",
"government",
"will",
"have",
"to",
"take",
"into",
"account",
".",
"''",
"Curiously",
",",
"he",
"compares",
"the",
"Orange",
"Workers",
"to",
"the",
"ANC",
",",
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"Tad",
"Inada",
",",
"NASDA",
"'s",
"director",
"for",
"international",
"affairs",
".",
"``",
"Shocked",
".",
"''",
"That",
"Moscow",
",",
"with",
"its",
"dilapidated",
"economic",
"machine",
",",
"would",
"try",
"to",
"sell",
"high",
"technology",
"to",
"Japan",
",",
"one",
"of",
"the",
"world",
"'s",
"high-tech",
"leaders",
",",
"sounds",
"like",
"a",
"coals-to-Newcastle",
"notion",
".",
"But",
"``",
"the",
"Soviet",
"Union",
"has",
"areas",
"where",
"it",
"is",
"n't",
"behind",
"Japan",
",",
"''",
"says",
"Mikhail",
"Shapovalov",
"of",
"the",
"Soviet",
"Ministry",
"of",
"Foreign",
"Economic",
"Relations",
".",
"``",
"We",
"have",
"obtained",
"through",
"the",
"development",
"of",
"Cosmos",
"-LCB-",
"the",
"Soviet",
"space",
"program",
"-RCB-",
"technologies",
"you",
"do",
"n't",
"see",
"anywhere",
"else",
".",
"''",
"The",
"sales",
"pitch",
"might",
"n't",
"be",
"as",
"farfetched",
"as",
"it",
"seems",
".",
"Japan-U.S.",
"trade",
"relations",
"are",
"bumpy",
"these",
"days",
",",
"and",
"some",
"Japanese",
"favor",
"decreasing",
"their",
"reliance",
"on",
"U.S.",
"technology",
"in",
"light",
"of",
"the",
"FSX",
"fighter-plane",
"flap",
",",
"when",
"U.S.",
"officials",
"reversed",
"an",
"earlier",
"decision",
"and",
"refused",
"to",
"share",
"certain",
"crucial",
"fighter-plane",
"technology",
".",
"And",
",",
"despite",
"its",
"image",
"as",
"a",
"technology",
"superpower",
",",
"Japan",
"has",
"a",
"lot",
"of",
"weaknesses",
".",
"It",
"'s",
"a",
"world",
"leader",
"in",
"semiconductors",
",",
"but",
"behind",
"the",
"U.S.",
"in",
"making",
"the",
"computers",
"that",
"use",
"those",
"chips",
".",
"It",
"'s",
"a",
"world",
"leader",
"in",
"auto",
"manufacturing",
",",
"but",
"its",
"aviation",
"industry",
"is",
"struggling",
",",
"and",
"its",
"space",
"program",
"is",
"years",
"behind",
"the",
"U.S.",
",",
"the",
"Europeans",
"and",
"the",
"Soviets",
".",
"One",
"question",
"being",
"debated",
"in",
"the",
"Soviet",
"Union",
"is",
"how",
"to",
"use",
"the",
"defense",
"sector",
"'s",
"research-and-production",
"expertise",
"in",
"the",
"rest",
"of",
"the",
"economy",
".",
"Many",
"plants",
"that",
"used",
"to",
"make",
"military",
"equipment",
"are",
"now",
"being",
"ordered",
"to",
"produce",
"televisions",
",",
"videocassette",
"recorders",
",",
"small",
"tractors",
"and",
"food-processing",
"machinery",
".",
"The",
"Soviets",
"also",
"hope",
"to",
"make",
"better",
"use",
"of",
"their",
"considerable",
"expertise",
"in",
"theoretical",
"science",
",",
"which",
"has",
"helped",
"them",
"win",
"twice",
"as",
"many",
"Nobel",
"science",
"prizes",
"as",
"the",
"Japanese",
".",
"Where",
"they",
"lag",
"behind",
"the",
"Japanese",
"is",
"in",
"turning",
"the",
"scientific",
"inventiveness",
"into",
"improved",
"production",
".",
"By",
"contrast",
",",
"the",
"Japanese",
"have",
"proved",
"adept",
"at",
"making",
"use",
"of",
"Soviet",
"inventions",
".",
"Kobe",
"Steel",
"Ltd.",
"adopted",
"Soviet",
"casting",
"technology",
"in",
"1966",
"and",
"used",
"it",
"for",
"14",
"years",
"until",
"it",
"developed",
"its",
"own",
"system",
".",
"Kawasaki",
"Steel",
"Corp.",
"bought",
"a",
"Soviet",
"steel-casting",
"patent",
"two",
"years",
"ago",
"and",
"has",
"jointly",
"developed",
"the",
"system",
"with",
"the",
"Soviets",
".",
"In",
"1991",
",",
"the",
"Soviets",
"will",
"take",
"a",
"Japanese",
"journalist",
"into",
"space",
",",
"the",
"first",
"Japanese",
"to",
"go",
"into",
"orbit",
".",
"Soviet",
"efforts",
"to",
"sell",
"their",
"technology",
"abroad",
"do",
"n't",
"appear",
"to",
"worry",
"the",
"U.S.",
",",
"Japan",
"'s",
"principal",
"ally",
".",
"``",
"We",
"have",
"never",
"opposed",
"the",
"development",
"of",
"economic",
"relations",
"between",
"our",
"allies",
"and",
"the",
"Soviet",
"Union",
",",
"''",
"says",
"a",
"State",
"Department",
"official",
".",
"``",
"Frankly",
",",
"I",
"would",
"n't",
"expect",
"the",
"Japanese",
"to",
"get",
"hooked",
"on",
"anybody",
"'s",
"technology",
",",
"least",
"of",
"all",
"the",
"Soviets",
".",
"''",
"Under",
"Mikhail",
"Gorbachev",
"'s",
"perestroika",
",",
"the",
"Soviets",
"have",
"sought",
"economic",
"ties",
"all",
"over",
"the",
"world",
",",
"including",
"new",
"export",
"markets",
".",
"They",
"believe",
"technology",
"is",
"one",
"of",
"their",
"best",
"bets",
",",
"and",
"some",
"Soviet",
"officials",
"say",
"Moscow",
"will",
"even",
"consider",
"declassifying",
"military",
"know-how",
"if",
"the",
"price",
"is",
"right",
".",
"The",
"Soviets",
"held",
"export",
"exhibitions",
"that",
"included",
"high-tech",
"items",
"in",
"New",
"York",
"and",
"West",
"Germany",
".",
"Last",
"week",
",",
"a",
"Soviet",
"delegation",
"came",
"to",
"Japan",
"to",
"push",
"more",
"space",
"technologies",
".",
"Japan",
"is",
"a",
"major",
"target",
"for",
"the",
"Soviets",
".",
"In",
"August",
",",
"representatives",
"of",
"Keidanren",
",",
"Japan",
"'s",
"largest",
"business",
"organization",
",",
"visited",
"Moscow",
"to",
"explore",
"exports",
"and",
"investments",
"that",
"would",
"help",
"the",
"Soviet",
"economy",
".",
"Out",
"of",
"the",
"blue",
",",
"the",
"Soviet",
"Chamber",
"of",
"Commerce",
"handed",
"over",
"details",
"on",
"59",
"technologies",
"that",
"the",
"Japanese",
"might",
"want",
"to",
"buy",
".",
"These",
"mainly",
"involved",
"such",
"areas",
"as",
"materials",
"--",
"advanced",
"soldering",
"machines",
",",
"for",
"example",
"--",
"and",
"medical",
"developments",
"derived",
"from",
"experimentation",
"in",
"space",
",",
"such",
"as",
"artificial",
"blood",
"vessels",
".",
"A",
"main",
"motive",
"is",
"hard",
"cash",
".",
"But",
",",
"while",
"the",
"Soviets",
"ca",
"n't",
"expect",
"direct",
"technology",
"flow",
"from",
"Japan",
",",
"they",
"also",
"hope",
"to",
"benefit",
"from",
"Japanese",
"manufacturing",
"expertise",
".",
"``",
"The",
"Soviet",
"Union",
"has",
"a",
"lot",
"of",
"know-how",
",",
"but",
"it",
"has",
"been",
"difficult",
"to",
"put",
"that",
"into",
"actual",
"production",
"because",
"of",
"various",
"structural",
"problems",
"in",
"the",
"economy",
",",
"''",
"says",
"Mr.",
"Shapovalov",
",",
"the",
"Foreign",
"Ministry",
"official",
".",
"The",
"Soviets",
"are",
"``",
"contemplating",
"a",
"flexible",
"system",
"under",
"which",
"it",
"would",
"be",
"possible",
"to",
"develop",
"-LCB-",
"technology",
"-RCB-",
"jointly",
"and",
"even",
"to",
"market",
"it",
"jointly",
",",
"''",
"he",
"says",
".",
"Even",
"if",
"the",
"Japanese",
"find",
"Soviet",
"technology",
"desirable",
",",
"such",
"discussions",
"would",
"be",
"fraught",
"with",
"political",
"complications",
".",
"Still",
"stinging",
"from",
"the",
"international",
"backlash",
"over",
"the",
"sale",
"two",
"years",
"ago",
"of",
"sensitive",
"military",
"technology",
"to",
"the",
"Soviets",
"by",
"a",
"subsidiary",
"of",
"Japan",
"'s",
"Toshiba",
"Corp.",
",",
"many",
"Japanese",
"are",
"eager",
"to",
"avoid",
"appearing",
"to",
"help",
"the",
"Soviets",
"in",
"any",
"way",
".",
"Another",
"hurdle",
"concerns",
"Japan",
"'s",
"attempts",
"to",
"persuade",
"the",
"Soviet",
"Union",
"to",
"relinquish",
"its",
"post-World",
"War",
"II",
"control",
"of",
"four",
"islands",
"north",
"of",
"Japan",
".",
"So",
"far",
",",
"the",
"Soviets",
"have",
"provided",
"only",
"the",
"sketchiest",
"information",
"about",
"their",
"technology",
"and",
"business",
"plans",
".",
"And",
"what",
"they",
"have",
"shown",
"is",
"n't",
"impressive",
".",
"``",
"My",
"impression",
"is",
"that",
"there",
"is",
"n't",
"anything",
"which",
"arouses",
"our",
"interest",
"at",
"first",
"glance",
",",
"''",
"says",
"an",
"official",
"from",
"Japan",
"'s",
"Ministry",
"of",
"International",
"Trade",
"and",
"Industry",
".",
"Peter",
"Gumbel",
"in",
"Moscow",
"contributed",
"to",
"this",
"article",
"."
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"J.",
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"punct"
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[
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"Financial",
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"back",
"as",
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"unfairly",
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"."
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[
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",",
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"Unable",
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",",
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"nice",
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"say",
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"--",
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".",
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"At",
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"In",
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"you",
"see",
"What",
"the",
"prof",
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"In",
"Physiology",
"Three",
".",
"--",
"Robert",
"Gordon",
".",
"Candid",
"Comment",
"Do",
"n't",
"worry",
";",
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"will",
"learn",
"to",
"read",
"as",
"long",
"as",
"there",
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".",
"--",
"John",
"Drybred",
"."
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[
"Consolidated",
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"Corp.",
",",
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",",
"reported",
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"net",
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",",
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",",
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".",
"James",
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",",
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",",
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",",
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".",
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"slipped",
"4.6",
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"$",
"835",
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"$",
"876",
"million",
".",
"For",
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",",
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"said",
",",
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"'s",
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"``",
"will",
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",",
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"will",
"continue",
"to",
"take",
"steps",
"to",
"control",
"and",
"reduce",
"costs",
".",
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"nine",
"months",
",",
"Conrail",
"earnings",
"grew",
"0.4",
"%",
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"$",
"229",
"million",
",",
"or",
"$",
"3.34",
"a",
"share",
",",
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"228",
"million",
",",
"or",
"$",
"3.31",
"a",
"share",
".",
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"was",
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"$",
"2.59",
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"."
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[
"This",
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".",
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"T",
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",",
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",",
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"lounge",
".",
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",",
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".",
"``",
"Obviously",
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"'re",
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",",
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",",
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"Pool",
"is",
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",",
"he",
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",",
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",",
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"''",
"are",
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".",
"With",
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"laws",
",",
"he",
"adds",
",",
"``",
"people",
"do",
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"just",
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"''",
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",",
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",",
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"3.50",
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".",
"At",
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",",
"manager",
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"jeans",
",",
"T-shirts",
"or",
"tennis",
"shoes",
".",
"But",
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"did",
"n't",
"buy",
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".",
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",",
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"Riley",
"Reinker",
",",
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"``",
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".",
"It",
"would",
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",",
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"committed",
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"year",
",",
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",",
"gave",
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"for",
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"retreats",
".",
"The",
"revelations",
"embarrassed",
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"officials",
",",
"although",
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"argued",
"that",
"the",
"problems",
"were",
"n't",
"as",
"severe",
"as",
"the",
"media",
"suggested",
".",
"Now",
"comes",
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"pool",
"flap",
".",
"``",
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"think",
"there",
"'s",
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"people",
"worried",
"about",
"something",
"pretty",
"ridiculous",
",",
"''",
"Councilman",
"John",
"Nolan",
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".",
"``",
"I",
"thought",
"this",
"was",
"all",
"taken",
"care",
"of",
"in",
"`",
"The",
"Music",
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"."
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[
"Trinova",
"Corp.",
",",
"Maumee",
",",
"Ohio",
",",
"said",
"it",
"is",
"launching",
"an",
"extensive",
"restructuring",
"of",
"its",
"core",
"business",
",",
"and",
"took",
"a",
"charge",
"that",
"resulted",
"in",
"a",
"loss",
"of",
"$",
"29.7",
"million",
",",
"or",
"87",
"cents",
"a",
"share",
",",
"for",
"the",
"third",
"quarter",
".",
"Trinova",
"said",
"it",
"will",
"close",
",",
"move",
"or",
"overhaul",
"40",
"of",
"its",
"170",
"manufacturing",
"facilities",
"and",
"over",
"the",
"next",
"three",
"years",
"cut",
"1,500",
"jobs",
"from",
"its",
"current",
"world-wide",
"payroll",
"of",
"22,300",
"employees",
".",
"Most",
"of",
"the",
"factory",
"closings",
"and",
"job",
"cutbacks",
"will",
"affect",
"Trinova",
"'s",
"Aeroquip",
"operations",
",",
"which",
"manufacture",
"automotive",
"plastics",
",",
"hoses",
"and",
"other",
"industrial",
"and",
"automotive",
"parts",
".",
"Hoses",
"and",
"plastics",
"together",
"account",
"for",
"about",
"42",
"%",
"of",
"Trinova",
"'s",
"total",
"annual",
"sales",
".",
"In",
"a",
"separate",
"announcement",
",",
"Trinova",
"said",
"the",
"Aeroquip",
"group",
"has",
"agreed",
"to",
"sell",
"its",
"spring-brake",
",",
"piston-brake",
"and",
"related",
"businesses",
"to",
"Midland",
"Brake",
"Inc.",
"of",
"Branford",
",",
"Conn",
".",
"Terms",
"were",
"n't",
"disclosed",
".",
"To",
"provide",
"for",
"the",
"restructuring",
"'s",
"costs",
",",
"Trinova",
"said",
"it",
"took",
"an",
"after-tax",
"charge",
"of",
"$",
"38.5",
"million",
",",
"or",
"$",
"1.13",
"a",
"share",
",",
"in",
"the",
"third",
"quarter",
".",
"The",
"$",
"29.7",
"million",
"net",
"loss",
"compares",
"with",
"net",
"income",
"of",
"$",
"19.6",
"million",
",",
"or",
"57",
"cents",
"a",
"share",
",",
"a",
"year",
"earlier",
".",
"Sales",
"rose",
"8",
"%",
"to",
"$",
"456.2",
"million",
"from",
"$",
"422",
"million",
".",
"Trinova",
"closed",
"at",
"$",
"25",
",",
"down",
"$",
"1",
",",
"in",
"New",
"York",
"Stock",
"Exchange",
"composite",
"trading",
"."
] | [
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[
"Tokyo",
"stocks",
"rebounded",
"Tuesday",
"from",
"two",
"consecutive",
"daily",
"losses",
"in",
"relatively",
"active",
"dealings",
".",
"London",
"shares",
"also",
"rose",
",",
"while",
"trading",
"in",
"Frankfurt",
",",
"West",
"Germany",
",",
"ended",
"higher",
".",
"In",
"Tokyo",
",",
"the",
"Nikkei",
"index",
"of",
"225",
"selected",
"issues",
"was",
"up",
"132.00",
"points",
"to",
"35549.44",
".",
"The",
"index",
"fell",
"109.85",
"Monday",
".",
"Volume",
"on",
"the",
"First",
"Section",
"was",
"estimated",
"at",
"900",
"million",
"shares",
",",
"up",
"from",
"582",
"million",
"shares",
"Monday",
".",
"Advancing",
"issues",
"outnumbered",
"decliners",
"542",
"to",
"362",
",",
"while",
"208",
"issues",
"were",
"unchanged",
".",
"Small-lot",
"buying",
"targeted",
"at",
"incentive-backed",
"issues",
"pushed",
"up",
"the",
"Nikkei",
".",
"But",
"other",
"sectors",
"failed",
"to",
"attract",
"investor",
"interest",
"and",
"remained",
"sluggish",
",",
"making",
"overall",
"trading",
"appear",
"mixed",
".",
"Individuals",
"and",
"corporations",
",",
"as",
"well",
"as",
"dealers",
"trading",
"for",
"their",
"own",
"account",
",",
"actively",
"bought",
"Tuesday",
".",
"An",
"official",
"at",
"Wako",
"Securities",
"said",
"these",
"investors",
"feel",
"the",
"need",
"to",
"make",
"quick",
"profits",
",",
"despite",
"destabilizing",
"external",
"factors",
",",
"such",
"as",
"political",
"uncertainty",
"tied",
"to",
"the",
"ruling",
"party",
"'s",
"fate",
"at",
"next",
"year",
"'s",
"Lower",
"House",
"elections",
"-",
"an",
"event",
"which",
"could",
"directly",
"affect",
"the",
"stock",
"market",
".",
"The",
"Tokyo",
"Stock",
"Price",
"Index",
"of",
"all",
"issues",
"listed",
"in",
"the",
"First",
"Section",
",",
"which",
"declined",
"5.16",
"on",
"Monday",
",",
"was",
"up",
"16.05",
",",
"or",
"0.60",
"%",
",",
"at",
"2692.65",
"on",
"Tuesday",
".",
"The",
"Second",
"Section",
"index",
",",
"which",
"fell",
"21.44",
"points",
"Monday",
",",
"was",
"up",
"6.84",
"points",
",",
"or",
"0.19",
"%",
",",
"to",
"close",
"at",
"3642.90",
".",
"Second",
"Section",
"volume",
"was",
"estimated",
"at",
"14",
"million",
"shares",
",",
"unchanged",
"from",
"Monday",
".",
"Institutional",
"investors",
"mostly",
"remained",
"on",
"the",
"sidelines",
"Tuesday",
".",
"A",
"fund",
"manager",
"at",
"a",
"life-insurance",
"company",
"said",
"three",
"factors",
"make",
"it",
"difficult",
"to",
"read",
"market",
"direction",
".",
"First",
",",
"he",
"said",
",",
"domestic",
"interest",
"rates",
"are",
"likely",
"to",
"stay",
"at",
"higher",
"levels",
"as",
"increased",
"anticipation",
"of",
"inflation",
"followed",
"rising",
"consumer",
"prices",
"reported",
"last",
"week",
".",
"Second",
",",
"the",
"dollar",
"is",
"showing",
"persistent",
"strength",
"despite",
"a",
"slowdown",
"in",
"the",
"U.S.",
"economy",
"shown",
"by",
"economic",
"indicators",
".",
"Third",
",",
"oil",
"prices",
"have",
"n't",
"declined",
"although",
"supply",
"has",
"been",
"increasing",
".",
"The",
"topic",
"that",
"attracted",
"participants",
"'",
"attention",
"was",
"Mitsubishi",
"Estate",
"'s",
"purchase",
"of",
"51",
"%",
"of",
"Rockefeller",
"Center",
"Properties",
",",
"announced",
"late",
"Monday",
"in",
"New",
"York",
".",
"Mitsubishi",
"Estate",
"ended",
"the",
"day",
"at",
"2680",
",",
"up",
"150",
".",
"The",
"gains",
"also",
"sparked",
"buying",
"interest",
"in",
"other",
"real-estate",
"companies",
",",
"traders",
"said",
".",
"Sumitomo",
"Realty",
"&",
"Development",
"rose",
"40",
"to",
"2170",
".",
"Heiwa",
"Real",
"Estate",
"gained",
"40",
"to",
"2210",
".",
"Investor",
"focus",
"shifted",
"quickly",
",",
"traders",
"said",
".",
"Many",
"of",
"the",
"morning-session",
"winners",
"turned",
"out",
"to",
"be",
"losers",
"by",
"afternoon",
".",
"In",
"other",
"stock-market",
"news",
",",
"the",
"Tokyo",
"Stock",
"Exchange",
"said",
"that",
"for",
"the",
"week",
"ended",
"Friday",
",",
"the",
"balance",
"of",
"margin",
"buying",
"rose",
"189.8",
"billion",
"yen",
"(",
"$",
"1.34",
"billion",
")",
",",
"to",
"7.160",
"trillion",
"yen",
"(",
"$",
"50.46",
"billion",
")",
".",
"The",
"balance",
"of",
"short",
"positions",
"outstanding",
"fell",
"159.7",
"billion",
"yen",
",",
"to",
"779.8",
"billion",
"yen",
".",
"In",
"London",
",",
"prices",
"finished",
"at",
"intraday",
"peaks",
",",
"comforted",
"by",
"a",
"reassuring",
"early",
"performance",
"on",
"Wall",
"Street",
"and",
"news",
"that",
"the",
"British",
"government",
"will",
"waive",
"its",
"``",
"golden",
"share",
"''",
"in",
"auto",
"maker",
"Jaguar",
".",
"But",
"trading",
"was",
"very",
"sketchy",
",",
"as",
"investment",
"decision",
"makers",
"remain",
"wary",
"from",
"gyrations",
"and",
"upsets",
"of",
"recent",
"weeks",
".",
"``",
"Volume",
"has",
"been",
"appalling",
",",
"''",
"said",
"a",
"dealer",
"at",
"a",
"British",
"brokerage",
"concern",
".",
"``",
"The",
"market",
"was",
"dragged",
"up",
"by",
"the",
"scruff",
"of",
"its",
"neck",
"by",
"Wall",
"Street",
"and",
"by",
"market",
"makers",
"getting",
"caught",
"short",
".",
"No",
"one",
"wants",
"stock",
"on",
"their",
"books",
".",
"''",
"Meanwhile",
",",
"the",
"broad-based",
"Financial",
"Times",
"100-share",
"index",
"added",
"30.4",
"points",
"to",
"end",
"at",
"2142.6",
",",
"while",
"reaching",
"its",
"minimum",
"of",
"2120.5",
"a",
"half",
"hour",
"into",
"the",
"session",
".",
"At",
"the",
"close",
",",
"the",
"narrower",
"30-share",
"index",
"was",
"up",
"19.7",
"points",
"to",
"1721.4",
".",
"Volume",
"totaled",
"a",
"modest",
"334.5",
"million",
"shares",
",",
"up",
"from",
"257.8",
"million",
"shares",
"Monday",
".",
"The",
"market",
"also",
"moved",
"at",
"early",
"afternoon",
"on",
"news",
"that",
"Jaguar",
"shares",
"were",
"being",
"temporarily",
"suspended",
"at",
"746",
"pence",
"(",
"$",
"11.80",
")",
"each",
".",
"Secretary",
"of",
"State",
"for",
"Trade",
"and",
"Industry",
"Nicholas",
"Ridley",
"said",
"later",
"in",
"the",
"day",
"that",
"the",
"government",
"would",
"abolish",
"its",
"golden",
"share",
"in",
"Jaguar",
",",
"the",
"luxury",
"auto",
"maker",
"being",
"stalked",
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"General",
"Motors",
"and",
"Ford",
"Motor",
".",
"The",
"golden",
"share",
"dates",
"from",
"Jaguar",
"'s",
"public",
"offering",
"in",
"1984",
"and",
"was",
"designed",
"to",
"protect",
"the",
"company",
"from",
"takeover",
".",
"The",
"golden",
"share",
"was",
"scheduled",
"to",
"expire",
"at",
"the",
"beginning",
"of",
"But",
"although",
"the",
"golden",
"share",
"has",
"been",
"waived",
",",
"a",
"hostile",
"bidder",
"for",
"Jaguar",
"would",
"still",
"have",
"to",
"alter",
"the",
"British",
"concern",
"'s",
"articles",
"of",
"association",
"which",
"ban",
"shareholdings",
"of",
"more",
"than",
"15",
"%",
".",
"Jaguar",
"shares",
"closed",
"at",
"869",
"pence",
",",
"up",
"122",
"pence",
",",
"on",
"hefty",
"turnover",
"of",
"9.7",
"million",
"shares",
".",
"As",
"the",
"London",
"trading",
"session",
"drew",
"to",
"a",
"close",
",",
"the",
"market",
"was",
"still",
"listening",
"to",
"the",
"parliamentary",
"debate",
"on",
"the",
"economy",
",",
"with",
"new",
"Chancellor",
"of",
"the",
"Exchequer",
"John",
"Major",
"expected",
"to",
"clarify",
"his",
"approach",
"to",
"the",
"British",
"economy",
"and",
"currency",
"issues",
".",
"On",
"the",
"Frankfurt",
"Stock",
"Exchange",
",",
"share",
"prices",
"closed",
"higher",
"in",
"fairly",
"thin",
"trading",
",",
"as",
"selective",
"buying",
"by",
"foreigners",
"helped",
"propel",
"prices",
".",
"The",
"DAX",
"index",
"closed",
"at",
"1472.76",
",",
"up",
"from",
"1466.29",
".",
"Despite",
"the",
"modest",
"gains",
",",
"traders",
"said",
"the",
"market",
"remains",
"dull",
",",
"with",
"investors",
"remaining",
"cautiously",
"on",
"the",
"sidelines",
".",
"Contributing",
"to",
"the",
"market",
"'s",
"reserved",
"stance",
"was",
"the",
"release",
"later",
"in",
"the",
"day",
"of",
"new",
"data",
"on",
"the",
"health",
"of",
"the",
"U.S.",
"economy",
",",
"in",
"the",
"form",
"of",
"the",
"U.S.",
"index",
"of",
"leading",
"indicators",
".",
"Additionally",
",",
"the",
"end",
"of",
"the",
"month",
"position-squaring",
"might",
"have",
"also",
"played",
"a",
"minor",
"role",
",",
"traders",
"said",
".",
"Elsewhere",
",",
"share",
"prices",
"closed",
"higher",
"in",
"Amsterdam",
",",
"Brussels",
",",
"Milan",
"and",
"Paris",
".",
"Prices",
"were",
"mixed",
"in",
"Zurich",
"and",
"lower",
"in",
"Stockholm",
".",
"Stocks",
"closed",
"higher",
"in",
"Hong",
"Kong",
",",
"Manila",
",",
"Singapore",
",",
"Sydney",
"and",
"Wellington",
",",
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"were",
"lower",
"in",
"Seoul",
".",
"Taipei",
"was",
"closed",
"for",
"a",
"holiday",
".",
"Here",
"are",
"price",
"trends",
"on",
"the",
"world",
"'s",
"major",
"stock",
"markets",
",",
"as",
"calculated",
"by",
"Morgan",
"Stanley",
"Capital",
"International",
"Perspective",
",",
"Geneva",
".",
"To",
"make",
"them",
"directly",
"comparable",
",",
"each",
"index",
"is",
"based",
"on",
"the",
"close",
"of",
"1969",
"equaling",
"100",
".",
"The",
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"is",
"since",
"year-end",
"."
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[
"The",
"National",
"Association",
"of",
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",",
"the",
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",",
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".",
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",",
"three",
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"First",
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",",
"Louis",
"Fernando",
"Vargas",
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"del",
"Rey",
",",
"Calif.",
",",
"were",
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".",
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",",
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".",
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"Securities",
",",
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",",
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".",
"A",
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".",
"J.L.",
"Henry",
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",",
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",",
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",",
"Henry",
"I.",
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",",
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".",
"J.L.",
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".",
"Mr.",
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",",
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",",
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".",
"Biscayne",
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",",
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",",
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",",
"Alvin",
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",",
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"Mr.",
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",",
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",",
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".",
"Triton",
"Securities",
",",
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",",
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",",
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"George",
"Chase",
",",
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".",
"Crane",
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",",
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",",
"Mich.",
",",
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",",
"Glenn",
"R.",
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",",
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",",
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",",
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"limited-partnership",
"offering",
".",
"Reached",
"at",
"his",
"office",
",",
"Mr.",
"McFall",
",",
"currently",
"chairman",
",",
"said",
",",
"``",
"An",
"implication",
"that",
"we",
"failed",
"to",
"return",
"investor",
"funds",
"is",
"inappropriate",
"and",
"inaccurate",
".",
"''",
"He",
"described",
"the",
"situation",
"as",
"``",
"an",
"escrow",
"problem",
",",
"a",
"timing",
"issue",
",",
"''",
"which",
"he",
"said",
"was",
"rapidly",
"rectified",
",",
"with",
"no",
"losses",
"to",
"customers",
".",
"W.N.",
"Whelen",
"&",
"Co.",
",",
"of",
"Georgetown",
",",
"Del.",
",",
"and",
"its",
"president",
",",
"William",
"N.",
"Whelen",
"Jr.",
",",
"also",
"of",
"Georgetown",
",",
"were",
"barred",
"from",
"transacting",
"principal",
"trades",
"for",
"90",
"days",
"and",
"were",
"jointly",
"fined",
"$",
"15,000",
".",
"The",
"firm",
"and",
"Mr.",
"Whelen",
"allegedly",
"sold",
"securities",
"to",
"the",
"public",
"at",
"unfair",
"prices",
",",
"among",
"other",
"alleged",
"violations",
".",
"Mr.",
"Whelen",
"denied",
"the",
"firm",
"had",
"sold",
"securities",
"at",
"unfair",
"prices",
"and",
"suggested",
"that",
"the",
"examination",
"practices",
"of",
"the",
"NASD",
"need",
"improvement",
".",
"The",
"firm",
"and",
"the",
"NASD",
"differ",
"over",
"the",
"meaning",
"of",
"markup",
"and",
"markdown",
",",
"he",
"added",
".",
"Shearson",
"Lehman",
"Hutton",
"Inc.",
",",
"New",
"York",
",",
"which",
"is",
"62%-owned",
"by",
"American",
"Express",
"Co.",
",",
"consented",
"to",
"a",
"$",
"10,000",
"fine",
".",
"Without",
"admitting",
"or",
"denying",
"wrongdoing",
",",
"the",
"firm",
"consented",
"to",
"findings",
"that",
"it",
"failed",
"to",
"respond",
"``",
"in",
"a",
"timely",
"manner",
"''",
"to",
"the",
"NASD",
"'s",
"requests",
"for",
"information",
"in",
"connection",
"with",
"a",
"customer",
"complaint",
".",
"A",
"Shearson",
"spokesman",
"had",
"no",
"comment",
".",
"The",
"following",
"individuals",
"were",
"fined",
"as",
"indicated",
"and",
"barred",
"from",
"association",
"with",
"NASD",
"members",
",",
"or",
",",
"where",
"noted",
",",
"suspended",
".",
"Except",
"where",
"noted",
",",
"none",
"of",
"these",
"people",
"could",
"be",
"reached",
"for",
"comment",
"or",
"had",
"any",
"comment",
".",
"Andrew",
"Derel",
"Adams",
",",
"Killeen",
",",
"Texas",
",",
"fined",
"$",
"15,000",
";",
"John",
"Francis",
"Angier",
"Jr.",
",",
"Reddington",
"Shores",
",",
"Fla.",
",",
"$",
"15,000",
";",
"Mark",
"Anthony",
",",
"Arlington",
"Heights",
",",
"Ill.",
",",
"$",
"10,000",
"and",
"30-day",
"suspension",
";",
"William",
"Stirlen",
",",
"Arlington",
"Heights",
",",
"Ill.",
",",
"$",
"7,500",
"and",
"30-day",
"suspension",
";",
"Fred",
"W.",
"Bonnell",
",",
"Boulder",
",",
"Colo.",
",",
"$",
"2,500",
"and",
"six-month",
"suspension",
";",
"Michael",
"J.",
"Boorse",
",",
"Horsham",
",",
"Pa.",
";",
"David",
"Chiodo",
",",
"Dallas",
",",
"$",
"5,000",
",",
"barred",
"as",
"a",
"principal",
";",
"Camille",
"Chafic",
"Cotran",
",",
"London",
",",
"$",
"25,000",
";",
"John",
"William",
"Curry",
",",
"fined",
"$",
"5,000",
",",
"ordered",
"to",
"disgorge",
"$",
"30,000",
",",
"one-year",
"suspension",
".",
"John",
"William",
"Davis",
",",
"Colonsville",
",",
"Miss.",
",",
"fined",
"$",
"200,000",
";",
"Jeffrey",
"Gerard",
"Dompierre",
",",
"Valrico",
",",
"Fla.",
",",
"$",
"5,000",
"and",
"10-day",
"suspension",
";",
"Eugene",
"Michael",
"Felten",
",",
"La",
"Canada",
",",
"Calif.",
",",
"fined",
"$",
"25,000",
",",
"ordered",
"to",
"disgorge",
"$",
"16,072",
"and",
"suspended",
"one",
"year",
";",
"Marion",
"Stewart",
"Spitler",
",",
"La",
"Canada",
",",
"fined",
"$",
"15,000",
",",
"ordered",
"to",
"disgorge",
"$",
"18,444",
"and",
"suspended",
"six",
"months",
".",
"Mr.",
"Felten",
"said",
",",
"``",
"We",
"got",
"what",
"amounted",
"to",
"a",
"parking",
"ticket",
",",
"and",
"by",
"complaining",
"about",
"it",
",",
"we",
"ended",
"up",
"with",
"a",
"sizable",
"fine",
"and",
"suspension",
".",
"''",
"The",
"matter",
"``",
"did",
"n't",
"involve",
"anybody",
"'s",
"securities",
"transactions",
",",
"''",
"he",
"added",
".",
"Victor",
"Stanley",
"Fishman",
",",
"Longwood",
",",
"Fla.",
",",
"fined",
"$",
"25,000",
";",
"William",
"Harold",
"Floyd",
",",
"Houston",
",",
"$",
"100,000",
";",
"Michael",
"Anthony",
"Houston",
",",
"Bronx",
",",
"N.Y.",
",",
"$",
"15,000",
";",
"Amin",
"Jalaalwalikraam",
",",
"Glenham",
",",
"N.Y.",
",",
"$",
"60,000",
";",
"Richard",
"F.",
"Knapp",
",",
"London",
",",
"$",
"10,000",
"and",
"30-day",
"suspension",
";",
"Deborah",
"Renee",
"Martin",
",",
"St.",
"Louis",
",",
"$",
"15,000",
";",
"Joseph",
"Francis",
"Muscolina",
"Jr.",
",",
"Palisades",
"Park",
",",
"N.J.",
",",
"$",
"15,000",
";",
"Robert",
"C.",
"Najarian",
",",
"Brooklyn",
"Park",
",",
"Minn.",
",",
"$",
"15,000",
";",
"Edward",
"Robert",
"Norwick",
",",
"Nesconset",
",",
"N.Y.",
",",
"$",
"30,000",
".",
"Charles",
"D.",
"Phipps",
"Sr.",
",",
"Hermitage",
",",
"Pa.",
",",
"fined",
"$",
"10,000",
";",
"David",
"Scott",
"Rankin",
",",
"Lake",
"St.",
"Louis",
",",
"Mo.",
",",
"$",
"15,000",
";",
"Leigh",
"A.",
"Sanderoff",
",",
"Gaithersburg",
",",
"Md.",
",",
"fined",
"$",
"45,000",
",",
"ordered",
"to",
"disgorge",
"$",
"12,252",
";",
"Sandra",
"Ann",
"Smith",
",",
"Ridgefield",
",",
"N.J.",
",",
"$",
"15,000",
";",
"James",
"G.",
"Spence",
",",
"Aloha",
",",
"Ore.",
",",
"$",
"5,000",
"and",
"six-month",
"suspension",
";",
"Mona",
"Sun",
",",
"Jamaica",
"Estates",
",",
"N.Y.",
",",
"$",
"60,000",
";",
"William",
"Swearingen",
",",
"Minneapolis",
",",
"$",
"15,000",
"and",
"six-month",
"suspension",
";",
"John",
"Bew",
"Wong",
",",
"San",
"Francisco",
",",
"$",
"25,000",
";",
"Rabia",
"M.",
"Zayed",
",",
"San",
"Francisco",
",",
"$",
"50,000",
".",
"The",
"following",
"were",
"neither",
"barred",
"nor",
"suspended",
":",
"Stephanie",
"Veselich",
"Enright",
",",
"Rolling",
"Hills",
",",
"Calif.",
",",
"fined",
"$",
"2,500",
"and",
"ordered",
"to",
"disgorge",
"$",
"11,762",
";",
"Stuart",
"Lane",
"Russel",
",",
"Glendale",
",",
"Calif.",
",",
"fined",
"$",
"2,500",
"and",
"ordered",
"to",
"disgorge",
"$",
"14,821",
";",
"Devon",
"Nilson",
"Dahl",
",",
"Fountain",
"Valley",
",",
"Calif.",
",",
"fined",
"$",
"82,389",
".",
"Mr.",
"Dahl",
",",
"a",
"registered",
"representative",
"in",
"the",
"insurance",
"business",
",",
"said",
"he",
"``",
"screwed",
"up",
"''",
"because",
"he",
"did",
"n't",
"realize",
"he",
"was",
"breaking",
"securities",
"laws",
".",
"``",
"Insurance",
"agents",
"have",
"been",
"forced",
"by",
"their",
"companies",
"into",
"becoming",
"registered",
"reps",
",",
"''",
"he",
"said",
",",
"``",
"but",
"they",
"are",
"not",
"providing",
"compliance",
"and",
"security-type",
"training",
"so",
"that",
"we",
"can",
"avoid",
"stupid",
"mistakes",
".",
"''",
"The",
"following",
"were",
"barred",
"or",
",",
"where",
"noted",
",",
"suspended",
"and",
"consented",
"to",
"findings",
"without",
"admitting",
"or",
"denying",
"wrongdoing",
":",
"Edward",
"L.",
"Cole",
",",
"Jackson",
",",
"Miss.",
",",
"$",
"10,000",
"fine",
";",
"Rita",
"Rae",
"Cross",
",",
"Denver",
",",
"$",
"2,500",
"fine",
"and",
"30-day",
"suspension",
";",
"Thomas",
"Richard",
"Meinders",
",",
"Colorado",
"Springs",
",",
"Colo.",
",",
"$",
"2,000",
"fine",
",",
"five-day",
"suspension",
"and",
"eight-month",
"suspension",
"as",
"a",
"principal",
";",
"Ronald",
"A.",
"Cutrer",
",",
"Baton",
"Rouge",
",",
"La.",
",",
"$",
"15,000",
"fine",
"and",
"one-month",
"suspension",
";",
"Karl",
"Grant",
"Hale",
",",
"Midvale",
",",
"Utah",
",",
"$",
"15,000",
"fine",
";",
"Clinton",
"P.",
"Hayne",
",",
"New",
"Orleans",
",",
"$",
"7,500",
"fine",
"and",
"one-week",
"suspension",
";",
"Richard",
"M.",
"Kane",
",",
"Coconut",
"Creek",
",",
"Fla.",
",",
"$",
"250,000",
"fine",
";",
"John",
"B.",
"Merrick",
",",
"Aurora",
",",
"Colo.",
",",
"$",
"1,000",
"fine",
"and",
"10-day",
"suspension",
";",
"John",
"P.",
"Miller",
",",
"Baton",
"Rouge",
",",
"$",
"2,000",
"fine",
"and",
"two-week",
"suspension",
";",
"Randolph",
"K.",
"Pace",
",",
"New",
"York",
",",
"$",
"10,000",
"fine",
"and",
"90-day",
"suspension",
";",
"Brian",
"D.",
"Pitcher",
",",
"New",
"Providence",
",",
"N.J.",
",",
"$",
"30,000",
"fine",
";",
"Wayne",
"A.",
"Russo",
",",
"Bridgeville",
",",
"Pa.",
",",
"$",
"4,000",
"fine",
"and",
"15-day",
"suspension",
";",
"Orville",
"Leroy",
"Sandberg",
",",
"Aurora",
",",
"Colo.",
",",
"$",
"3,500",
"fine",
"and",
"10-day",
"suspension",
";",
"Richard",
"T.",
"Marchese",
",",
"Las",
"Vegas",
",",
"Nev.",
",",
"$",
"5,000",
"and",
"one-year",
"suspension",
";",
"Eric",
"G.",
"Monchecourt",
",",
"Las",
"Vegas",
",",
"$",
"5,000",
"and",
"one-year",
"suspension",
";",
"and",
"Robert",
"Gerhard",
"Smith",
",",
"Carson",
"City",
",",
"Nev.",
",",
"two-year",
"suspension",
".",
"``",
"I",
"was",
"n't",
"ever",
"actively",
"engaged",
"in",
"any",
"securities",
"activities",
",",
"''",
"said",
"Mr.",
"Cutrer",
".",
"``",
"I",
"never",
"had",
"any",
"clients",
"at",
"all",
".",
"It",
"was",
"just",
"a",
"stupid",
"mistake",
"to",
"get",
"the",
"license",
",",
"''",
"he",
"said",
",",
"adding",
",",
"``",
"I",
"'d",
"just",
"as",
"soon",
"not",
"get",
"into",
"''",
"details",
"of",
"the",
"settlement",
"."
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6,
6,
6,
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6,
6,
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11,
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14,
14,
11,
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19,
19,
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2,
5,
5,
5,
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8,
11,
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8,
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13,
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9,
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6,
12,
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17,
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20,
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29,
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34,
34,
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21,
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7,
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3,
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7,
12,
12,
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17,
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[
"A",
"round",
"of",
"futures-related",
"program",
"selling",
"near",
"the",
"close",
"sent",
"the",
"stock",
"market",
"lower",
"in",
"otherwise",
"directionless",
"trading",
".",
"Nervousness",
"that",
"the",
"market",
"has",
"n't",
"seen",
"the",
"last",
"of",
"its",
"recent",
"volatility",
"kept",
"trading",
"at",
"a",
"moderate",
"pace",
",",
"as",
"did",
"anticipation",
"of",
"a",
"report",
"on",
"the",
"economy",
"'s",
"third-quarter",
"performance",
".",
"The",
"Dow",
"Jones",
"Industrial",
"Average",
",",
"which",
"plunged",
"more",
"than",
"80",
"points",
"in",
"early",
"trading",
"Tuesday",
"and",
"then",
"recovered",
"nearly",
"all",
"of",
"its",
"losses",
"by",
"the",
"close",
",",
"fell",
"5.94",
"to",
"2653.28",
"in",
"the",
"latest",
"session",
".",
"The",
"average",
"drifted",
"in",
"a",
"trading",
"range",
"of",
"about",
"30",
"points",
"throughout",
"the",
"day",
".",
"The",
"lower",
"boundary",
"was",
"established",
"just",
"after",
"the",
"opening",
"in",
"a",
"brief",
"round",
"of",
"selling",
";",
"the",
"upper",
"boundary",
"was",
"set",
"at",
"midday",
"as",
"scattered",
"bargain-hunting",
"pushed",
"prices",
"higher",
".",
"Buying",
"interest",
"in",
"Du",
"Pont",
",",
"which",
"declared",
"a",
"stock",
"split",
"and",
"a",
"dividend",
"boost",
",",
"and",
"certain",
"other",
"blue-chip",
"issues",
"gave",
"the",
"industrial",
"average",
"a",
"better",
"performance",
"than",
"broader",
"indexes",
".",
"Standard",
"&",
"Poor",
"'s",
"500-Stock",
"Index",
"dropped",
"1.20",
"to",
"342.50",
";",
"the",
"decline",
"was",
"the",
"equivalent",
"of",
"a",
"nine-point",
"setback",
"in",
"the",
"30-stock",
"average",
".",
"The",
"Dow",
"Jones",
"Equity",
"Market",
"Index",
"fell",
"1.16",
"to",
"320.94",
"and",
"the",
"New",
"York",
"Stock",
"Exchange",
"Composite",
"Index",
"slid",
"0.53",
"to",
"189.52",
".",
"But",
"advancing",
"issues",
"topped",
"decliners",
"by",
"784",
"to",
"700",
"on",
"the",
"Big",
"Board",
"despite",
"the",
"late",
"sell",
"programs",
",",
"resulting",
"from",
"stock-index",
"arbitrage",
".",
"The",
"programs",
"occurred",
"against",
"the",
"backdrop",
"of",
"a",
"late",
"pullback",
"in",
"UAL",
",",
"which",
"had",
"held",
"at",
"slightly",
"lower",
"levels",
"through",
"most",
"of",
"the",
"session",
"amid",
"optimism",
"that",
"another",
"bidder",
"might",
"surface",
".",
"Traders",
"said",
"program",
"activity",
"was",
"n't",
"in",
"evidence",
"through",
"most",
"of",
"the",
"session",
",",
"however",
",",
"and",
"Big",
"Board",
"volume",
"dropped",
"to",
"155,650,000",
"shares",
"from",
"about",
"238",
"million",
"Tuesday",
"as",
"concerns",
"about",
"the",
"potential",
"for",
"additional",
"sharp",
"swings",
"in",
"the",
"market",
"kept",
"other",
"trading",
"in",
"check",
".",
"``",
"People",
"are",
"sort",
"of",
"nervous",
"to",
"do",
"anything",
"in",
"the",
"market",
"now",
".",
"Our",
"phones",
"are",
"quiet",
"around",
"here",
",",
"''",
"said",
"Don",
"R.",
"Hays",
",",
"director",
"of",
"investment",
"strategy",
"at",
"Wheat",
"First",
"Butcher",
"&",
"Singer",
"Inc.",
",",
"Richmond",
",",
"Va",
".",
"The",
"gross",
"national",
"product",
"report",
",",
"due",
"to",
"be",
"released",
"before",
"today",
"'s",
"opening",
",",
"is",
"expected",
"to",
"show",
"that",
"the",
"economy",
"continued",
"to",
"expand",
"in",
"the",
"third",
"quarter",
"at",
"a",
"moderate",
"pace",
".",
"The",
"consensus",
"of",
"economists",
"polled",
"by",
"Dow",
"Jones",
"Capital",
"Markets",
"Report",
"calls",
"for",
"a",
"2.5",
"%",
"annual",
"growth",
"rate",
"for",
"GNP",
"during",
"the",
"quarter",
".",
"Du",
"Pont",
",",
"which",
"announced",
"plans",
"for",
"a",
"3-for-1",
"stock",
"split",
"and",
"raised",
"its",
"quarterly",
"dividend",
"by",
"14",
"%",
",",
"jumped",
"2",
"1/2",
"to",
"117",
"3/8",
".",
"The",
"company",
"also",
"posted",
"third-quarter",
"earnings",
"that",
"were",
"in",
"line",
"with",
"analysts",
"'",
"forecasts",
".",
"Blue-chip",
"consumer",
"stocks",
"also",
"provided",
"a",
"lift",
"to",
"the",
"industrial",
"average",
".",
"American",
"Telephone",
"&",
"Telegraph",
"rose",
"3/8",
"to",
"43",
"1/2",
"in",
"Big",
"Board",
"composite",
"trading",
"of",
"1.5",
"million",
"shares",
",",
"Chevron",
"advanced",
"1",
"3/4",
"to",
"66",
"5/8",
"on",
"2.3",
"million",
"shares",
",",
"Woolworth",
"rose",
"1",
"to",
"58",
"5/8",
",",
"Coca-Cola",
"Co.",
"gained",
"5/8",
"to",
"72",
"1/2",
"and",
"Eastman",
"Kodak",
"added",
"3/8",
"to",
"44",
"1/2",
".",
"But",
"General",
"Motors",
"dropped",
"1",
"7/8",
"to",
"44",
"7/8",
".",
"Its",
"GM",
"Hughes",
"Electronics",
"and",
"financial-services",
"units",
"both",
"reported",
"that",
"third-quarter",
"earnings",
"were",
"down",
"from",
"a",
"year",
"earlier",
".",
"Anheuser-Busch",
"plunged",
"4",
"3/8",
"to",
"38",
"1/2",
"on",
"3.5",
"million",
"shares",
".",
"Its",
"third-quarter",
"earnings",
"were",
"lower",
"than",
"analysts",
"had",
"forecast",
",",
"and",
"the",
"company",
"said",
"it",
"had",
"lowered",
"its",
"projections",
"for",
"earnings",
"growth",
"through",
"the",
"end",
"of",
"1990",
"because",
"of",
"planned",
"price",
"cuts",
".",
"Xerox",
"fell",
"3",
"1/8",
"to",
"59",
"5/8",
".",
"Disappointment",
"with",
"the",
"company",
"'s",
"earnings",
"for",
"the",
"quarter",
"led",
"Prudential-Bache",
"Securities",
"to",
"reduce",
"its",
"1989",
"and",
"1990",
"earnings",
"estimates",
",",
"according",
"to",
"Dow",
"Jones",
"Professional",
"Investor",
"Report",
".",
"Computer",
"Associates",
"International",
",",
"the",
"most",
"active",
"Big",
"Board",
"issue",
",",
"was",
"another",
"victim",
"of",
"an",
"earnings-related",
"sell-off",
".",
"The",
"stock",
"fell",
"3/4",
"to",
"12",
"7/8",
"as",
"3.6",
"million",
"shares",
"were",
"traded",
"in",
"the",
"wake",
"of",
"its",
"report",
"that",
"fiscal",
"second-quarter",
"net",
"income",
"fell",
"66",
"%",
"from",
"a",
"year",
"ago",
".",
"Insurance",
"stocks",
"moved",
"higher",
"in",
"the",
"wake",
"of",
"a",
"strong",
"third-quarter",
"earnings",
"report",
"from",
"Chubb",
",",
"coming",
"on",
"the",
"heels",
"of",
"speculation",
"that",
"last",
"week",
"'s",
"devastating",
"earthquake",
"in",
"the",
"San",
"Francisco",
"area",
"would",
"lead",
"to",
"higher",
"premium",
"rates",
".",
"Chubb",
",",
"whose",
"net",
"income",
"for",
"the",
"quarter",
"exceeded",
"most",
"analysts",
"'",
"expectations",
",",
"rallied",
"3",
"3/4",
"to",
"86",
"1/2",
".",
"Aetna",
"Life",
"&",
"Casualty",
"gained",
"1",
"3/8",
"to",
"61",
"1/8",
",",
"Cigna",
"advanced",
"7/8",
"to",
"64",
"3/4",
",",
"Travelers",
"added",
"1/2",
"to",
"40",
"3/8",
"and",
"American",
"International",
"Group",
"rose",
"3",
"1/8",
"to",
"107",
"3/4",
".",
"Comprehensive",
"Care",
"plunged",
"4",
"3/4",
"to",
"3",
"5/8",
"on",
"1.2",
"million",
"shares",
".",
"The",
"company",
"reported",
"a",
"third-quarter",
"loss",
"and",
"said",
"it",
"is",
"holding",
"talks",
"with",
"its",
"bank",
"lenders",
"for",
"an",
"extension",
"on",
"some",
"overdue",
"debt",
"payments",
".",
"TW",
"Services",
"dropped",
"1",
"1/4",
"to",
"31",
"1/4",
"following",
"the",
"postponement",
"of",
"a",
"$",
"1.4",
"billion",
"junk-bond",
"offering",
"that",
"would",
"have",
"permitted",
"Coniston",
"Partners",
"to",
"complete",
"its",
"takeover",
"of",
"the",
"company",
".",
"Coniston",
"said",
"it",
"would",
"pursue",
"``",
"various",
"financing",
"alternatives",
".",
"''",
"UAL",
"stock",
"declined",
"by",
"9",
"to",
"161",
"after",
"nobody",
"surfaced",
"to",
"claim",
"credit",
"for",
"aggressive",
"buying",
"Tuesday",
"by",
"Bear",
"Stearns",
"that",
"sent",
"UAL",
"stock",
"up",
"35",
"points",
"in",
"a",
"matter",
"of",
"hours",
".",
"Tuesday",
"'s",
"rumored",
"buyer",
",",
"Coniston",
"Partners",
",",
"would",
"n't",
"comment",
"on",
"speculation",
"that",
"Coniston",
",",
"which",
"battled",
"the",
"UAL",
"board",
"in",
"1987",
",",
"might",
"challenge",
"the",
"board",
"'s",
"decision",
"Monday",
"to",
"remain",
"independent",
".",
"Other",
"airline",
"stocks",
"were",
"mixed",
".",
"AMR",
",",
"which",
"owns",
"American",
"Airlines",
",",
"rose",
"3",
"3/8",
"to",
"72",
"1/4",
";",
"USAir",
"Group",
"fell",
"1",
"1/2",
"to",
"38",
"5/8",
",",
"and",
"Delta",
"Air",
"Lines",
"rose",
"1/2",
"to",
"66",
"1/2",
"after",
"posting",
"higher",
"earnings",
"for",
"the",
"September",
"quarter",
".",
"Stocks",
"that",
"reportedly",
"benefited",
"Tuesday",
"from",
"a",
"Japanese",
"buy",
"program",
"handled",
"by",
"PaineWebber",
"gave",
"back",
"some",
"of",
"their",
"gains",
".",
"Procter",
"&",
"Gamble",
"went",
"down",
"3",
"1/2",
"to",
"130",
",",
"Dow",
"Jones",
"fell",
"3",
"1/2",
"to",
"37",
"1/2",
"and",
"Rockwell",
"International",
"dropped",
"2",
"1/8",
"to",
"25",
".",
"However",
",",
"Atlantic",
"Richfield",
"preserved",
"its",
"twopoint",
"advance",
"in",
"the",
"previous",
"session",
"and",
"added",
"1/8",
"to",
"103",
"7/8",
".",
"General",
"Mills",
"gained",
"2",
"1/4",
"to",
"72",
"7/8",
".",
"Goldman",
"Sachs",
"placed",
"the",
"stock",
"back",
"on",
"its",
"list",
"of",
"recommended",
"issues",
",",
"raised",
"its",
"1990",
"earnings",
"estimate",
"and",
"recommended",
"that",
"its",
"clients",
"shift",
"funds",
"from",
"Kellogg",
"to",
"General",
"Mills",
".",
"Kellogg",
"dropped",
"1",
"3/4",
"to",
"73",
"1/4",
".",
"Manville",
"advanced",
"3/4",
"to",
"10",
".",
"The",
"company",
"offered",
"to",
"purchase",
"$",
"500",
"million",
"of",
"convertible",
"preferred",
"stock",
"from",
"the",
"trust",
"that",
"handles",
"its",
"payments",
"to",
"asbestos",
"victims",
".",
"Di",
"Giorgio",
"gained",
"1",
"to",
"30",
"3/4",
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",",
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",",
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"What",
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"living",
"in",
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[
"Congress",
"sent",
"President",
"Bush",
"an",
"$",
"18.4",
"billion",
"fiscal",
"1990",
"Treasury",
"and",
"Postal",
"Service",
"bill",
"providing",
"$",
"5.5",
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"for",
"the",
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"Revenue",
"Service",
"and",
"increasing",
"the",
"Customs",
"Service",
"'s",
"air-interdiction",
"program",
"nearly",
"a",
"third",
".",
"Final",
"approval",
"came",
"on",
"a",
"simple",
"voice",
"vote",
"in",
"the",
"Senate",
",",
"and",
"the",
"swift",
"passage",
"contrasted",
"with",
"months",
"of",
"negotiations",
"over",
"the",
"underlying",
"bill",
"which",
"is",
"laced",
"with",
"special-interest",
"provisions",
"for",
"both",
"members",
"and",
"the",
"executive",
"branch",
".",
"An",
"estimated",
"$",
"33",
"million",
"was",
"added",
"for",
"university",
"and",
"science",
"grants",
",",
"including",
"$",
"1.5",
"million",
"for",
"Smith",
"College",
".",
"And",
"Southwest",
"lawmakers",
"were",
"a",
"driving",
"force",
"behind",
"$",
"54.6",
"million",
"for",
"U.S.-Mexico",
"border",
"facilities",
",",
"or",
"more",
"than",
"double",
"the",
"administration",
"'s",
"request",
".",
"More",
"than",
"$",
"1.8",
"million",
"is",
"allocated",
"for",
"pensions",
"and",
"expenses",
"for",
"former",
"presidents",
",",
"and",
"the",
"budget",
"for",
"the",
"official",
"residence",
"of",
"Vice",
"President",
"Quayle",
"is",
"more",
"than",
"doubled",
",",
"with",
"$",
"200,000",
"designated",
"for",
"improvements",
"to",
"the",
"property",
".",
"Even",
"the",
"Office",
"of",
"Management",
"and",
"Budget",
"is",
"remembered",
"with",
"an",
"extra",
"$",
"1",
"million",
"to",
"help",
"offset",
"pay",
"costs",
"that",
"other",
"government",
"departments",
"are",
"being",
"asked",
"to",
"absorb",
".",
"Within",
"the",
"IRS",
",",
"nearly",
"$",
"1.95",
"billion",
"is",
"provided",
"for",
"processing",
"tax",
"returns",
",",
"a",
"12",
"%",
"increase",
"over",
"fiscal",
"1989",
"and",
"double",
"what",
"the",
"government",
"was",
"spending",
"five",
"years",
"ago",
".",
"Investigation",
"and",
"taxpayer",
"service",
"accounts",
"would",
"grow",
"to",
"$",
"1.6",
"billion",
",",
"and",
"Congress",
"specifically",
"added",
"$",
"7.4",
"million",
"for",
"stepped",
"up",
"criminal",
"investigations",
"of",
"money",
"laundering",
"related",
"to",
"drug",
"traffic",
".",
"The",
"large",
"increase",
"in",
"Customs",
"Service",
"air-interdiction",
"funds",
"is",
"also",
"intended",
"to",
"counter",
"smuggling",
",",
"and",
"the",
"annual",
"appropriations",
"level",
"has",
"more",
"than",
"quadrupled",
"in",
"five",
"years",
".",
"The",
"$",
"196.7",
"million",
"provided",
"for",
"fiscal",
"1990",
"anticipates",
"the",
"purchase",
"of",
"a",
"Lockheed",
"P-3",
"surveillance",
"aircraft",
"and",
"five",
"Cessna",
"Citation",
"II",
"jets",
".",
"Despite",
"administration",
"reservations",
",",
"the",
"plan",
"has",
"had",
"the",
"quiet",
"backing",
"of",
"customs",
"officials",
"as",
"well",
"as",
"influential",
"lawmakers",
"from",
"Cessna",
"'s",
"home",
"state",
",",
"Kansas",
".",
"Among",
"legislative",
"provisions",
"attached",
"to",
"the",
"bill",
"is",
"a",
"ban",
"on",
"any",
"Treasury",
"Department",
"expenditure",
"for",
"enforcement",
"of",
"a",
"1986",
"tax",
"provision",
"intended",
"to",
"counter",
"discrimination",
"in",
"employee-benefit",
"plans",
".",
"Small-business",
"interests",
"have",
"lobbied",
"against",
"the",
"so-called",
"Section",
"89",
"tax",
"rules",
".",
"Repeal",
"is",
"considered",
"likely",
"now",
",",
"but",
"the",
"Treasury",
"Department",
"bill",
"has",
"been",
"used",
"as",
"a",
"vehicle",
"to",
"raise",
"the",
"profile",
"of",
"the",
"issue",
"and",
"block",
"any",
"action",
"in",
"the",
"interim",
".",
"Less",
"noticed",
"is",
"a",
"bit",
"of",
"legislative",
"legerdemain",
"by",
"Houston",
"Republicans",
"on",
"behalf",
"of",
"HEI",
"Corp.",
"of",
"Texas",
"to",
"retroactively",
"``",
"move",
"''",
"a",
"Missouri",
"hospital",
"from",
"one",
"county",
"to",
"the",
"next",
"to",
"justify",
"higher",
"Medicare",
"reimbursements",
".",
"The",
"provision",
"seeks",
"to",
"wipe",
"out",
"an",
"estimated",
"$",
"1.4",
"million",
"in",
"claims",
"made",
"by",
"the",
"Health",
"Care",
"Finance",
"Administration",
"against",
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",",
"which",
"owned",
"the",
"hospital",
"in",
"Sullivan",
",",
"Mo.",
",",
"during",
"most",
"of",
"the",
"four-year",
"period",
"--",
"1983-1987",
"--",
"covered",
"in",
"the",
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".",
"In",
"a",
"separate",
"development",
",",
"a",
"private",
"meeting",
"is",
"scheduled",
"this",
"morning",
"between",
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"Committee",
"Chairman",
"Jamie",
"Whitten",
"(",
"D.",
",",
"Miss",
".",
")",
"and",
"Sen.",
"Dale",
"Bumpers",
"(",
"D.",
",",
"Ark",
".",
")",
"in",
"an",
"effort",
"to",
"end",
"a",
"dispute",
"which",
"for",
"two",
"weeks",
"has",
"delayed",
"action",
"on",
"an",
"estimated",
"$",
"44",
"billion",
"agriculture",
"bill",
".",
"A",
"House-Senate",
"conference",
"reached",
"agreement",
"Oct.",
"5",
"on",
"virtually",
"all",
"major",
"provisions",
"of",
"the",
"bill",
",",
"but",
"final",
"settlement",
"has",
"been",
"stalled",
"because",
"of",
"differences",
"between",
"the",
"two",
"men",
"over",
"the",
"fate",
"of",
"a",
"modest",
"Arkansas-based",
"program",
"to",
"provide",
"technical",
"information",
"to",
"farmers",
"seeking",
"to",
"reduce",
"their",
"dependence",
"on",
"chemical",
"fertilizers",
"and",
"pesticides",
".",
"The",
"program",
"'s",
"nonprofit",
"sponsors",
"received",
"$",
"900,000",
"in",
"fiscal",
"1989",
"through",
"an",
"Extension",
"Service",
"grant",
",",
"but",
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"adamant",
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"program",
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"cut",
"in",
"1990",
".",
"The",
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"a",
"more",
"orthodox",
",",
"entrenched",
"view",
"of",
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"policy",
"than",
"those",
"in",
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"chemical",
"use",
",",
"but",
"as",
"a",
"master",
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"pork-barrel",
"politics",
",",
"he",
"is",
"believed",
"to",
"be",
"annoyed",
"as",
"well",
"that",
"the",
"project",
"moved",
"to",
"Arkansas",
"from",
"a",
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"center",
"near",
"Memphis",
"and",
"the",
"northern",
"Mississippi",
"border",
"."
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[
"Concerning",
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"Sept.",
"29",
"article",
"``",
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"Face",
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",",
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"Future",
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"story",
",",
"Jos.",
"A.",
"Bank",
"Clothiers",
"Inc.",
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"not",
"in",
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"financial",
"problems",
".",
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"did",
"experience",
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"difficulties",
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"the",
"initial",
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"terms",
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",",
"as",
"your",
"article",
"made",
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",",
"successfully",
"restructured",
"our",
"debt",
"earlier",
"this",
"year",
",",
"something",
"those",
"other",
"retailers",
"have",
"yet",
"to",
"accomplish",
".",
"Your",
"were",
"on",
"target",
"regarding",
"industry",
"problems",
",",
"but",
"wide",
"of",
"the",
"mark",
"in",
"portraying",
"the",
"financial",
"health",
"of",
"this",
"company",
".",
"Chairman",
"and",
"CEO",
"Jos.",
"A.",
"Bank",
"Clothiers",
"Inc.",
"Owings",
"Mills",
",",
"Md",
"."
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[
"The",
"U.S.",
",",
"which",
"is",
"finalizing",
"its",
"steel-import",
"quotas",
",",
"is",
"allocating",
"a",
"larger",
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"its",
"steel",
"market",
"to",
"developing",
"and",
"newly",
"industrialized",
"countries",
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"have",
"relatively",
"unsubsidized",
"steel",
"industries",
".",
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",",
"the",
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"significant",
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"'s",
"steel",
"quota",
",",
"and",
"made",
"only",
"a",
"minor",
"increase",
"to",
"the",
"steel",
"allotment",
"for",
"the",
"European",
"Community",
".",
"Brazil",
",",
"similar",
"to",
"Mexico",
"and",
"South",
"Korea",
",",
"is",
"expected",
"to",
"negotiate",
"a",
"somewhat",
"bigger",
"share",
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"the",
"U.S.",
"market",
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"it",
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"under",
"the",
"previous",
"five-year",
"steel",
"quotas",
",",
"which",
"expired",
"Sept.",
"30",
".",
"Brazil",
"and",
"Venezuela",
"are",
"the",
"only",
"two",
"countries",
"that",
"have",
"n't",
"completed",
"steel",
"talks",
"with",
"the",
"U.S.",
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"year",
"ending",
"Oct.",
"1",
",",
"1990",
".",
"In",
"recent",
"years",
",",
"U.S.",
"steelmakers",
"have",
"supplied",
"about",
"80",
"%",
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"the",
"100",
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"tons",
"of",
"steel",
"used",
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"by",
"the",
"nation",
".",
"Of",
"the",
"remaining",
"20",
"%",
"needed",
",",
"the",
"steel-quota",
"negotiations",
"allocate",
"about",
"15",
"%",
"to",
"foreign",
"suppliers",
",",
"with",
"the",
"difference",
"supplied",
"mainly",
"by",
"Canada",
"--",
"which",
"is",
"n't",
"included",
"in",
"the",
"quota",
"program",
".",
"Other",
"countries",
"that",
"do",
"n't",
"have",
"formal",
"steel",
"quotas",
"with",
"the",
"U.S.",
",",
"such",
"as",
"Taiwan",
",",
"Sweden",
"and",
"Argentina",
",",
"also",
"have",
"supplied",
"steel",
".",
"Some",
"of",
"these",
"countries",
"have",
"in",
"recent",
"years",
"made",
"informal",
"agreements",
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"the",
"U.S.",
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"are",
"similar",
"to",
"quotas",
".",
"The",
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",",
"known",
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"voluntary",
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",",
"until",
"March",
"31",
",",
"1992",
".",
"It",
"also",
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"use",
"that",
"two-and-a-half",
"year",
"period",
"to",
"work",
"toward",
"an",
"international",
"consensus",
"on",
"freeing",
"up",
"the",
"international",
"steel",
"trade",
",",
"which",
"has",
"been",
"notoriously",
"managed",
",",
"subsidized",
"and",
"protected",
"by",
"governments",
".",
"The",
"U.S.",
"termed",
"its",
"plan",
",",
"a",
"``",
"trade",
"liberalization",
"program",
",",
"''",
"despite",
"the",
"fact",
"that",
"it",
"is",
"merely",
"an",
"extension",
".",
"Mexico",
",",
"which",
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"one",
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"the",
"first",
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"conclude",
"its",
"steel",
"talks",
"with",
"the",
"U.S.",
",",
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"0.95",
"%",
"of",
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"steel",
"market",
"from",
"0.48",
"%",
"under",
"the",
"previous",
"quotas",
".",
"South",
"Korea",
",",
"which",
"had",
"1.9",
"%",
"under",
"the",
"previous",
"quotas",
",",
"is",
"set",
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"a",
"small",
"increase",
"to",
"about",
"1.95",
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".",
"That",
"increase",
"rises",
"to",
"slightly",
"more",
"than",
"2",
"%",
"of",
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"if",
"a",
"joint",
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"steel",
"project",
"is",
"included",
".",
"Meanwhile",
",",
"Brazil",
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"its",
"allowance",
"from",
"the",
"1.43",
"%",
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"has",
"had",
"in",
"recent",
"years",
".",
"The",
"EC",
"and",
"Japan",
"--",
"the",
"U.S.",
"'s",
"largest",
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"--",
"have",
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"filling",
"their",
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"to",
"the",
"full",
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".",
"The",
"EC",
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",",
"which",
"has",
"been",
"coping",
"with",
"strong",
"European",
"demand",
",",
"has",
"been",
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"about",
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"quotas",
"of",
"about",
"6.7",
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".",
"Japan",
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"about",
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"a",
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"5.9",
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".",
"In",
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",",
"the",
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",",
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"of",
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"1988",
".",
"But",
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"as",
"6.9",
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".",
"Japan",
",",
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",",
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"about",
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"5.9",
"%",
"previously",
".",
"Japan",
",",
"the",
"EC",
",",
"Brazil",
",",
"Mexico",
"and",
"South",
"Korea",
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"80",
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"the",
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"program",
".",
"The",
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"is",
"supplied",
"by",
"a",
"host",
"of",
"smaller",
"exporters",
",",
"such",
"as",
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"Venezuela",
".",
"The",
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"about",
"an",
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"2",
"%",
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".",
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"1",
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"1",
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".",
"Negotiators",
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"another",
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"about",
"once",
"every",
"20,000",
"births",
".",
"Mr.",
"Quinlan",
",",
"30",
"years",
"old",
",",
"knew",
"he",
"carried",
"a",
"damaged",
"gene",
",",
"having",
"lost",
"an",
"eye",
"to",
"the",
"rare",
"tumor",
"when",
"he",
"was",
"only",
"two",
"months",
"old",
"--",
"after",
"his",
"mother",
"had",
"suffered",
"the",
"same",
"fate",
"when",
"she",
"was",
"a",
"baby",
".",
"Because",
"of",
"the",
"isolation",
"of",
"the",
"retinoblastoma",
"tumor-suppressor",
"gene",
",",
"it",
"became",
"possible",
"last",
"January",
"to",
"find",
"out",
"what",
"threat",
"the",
"Quinlan",
"baby",
"faced",
".",
"A",
"test",
"using",
"new",
"``",
"genetic",
"probes",
"''",
"showed",
"that",
"little",
"Will",
"Quinlan",
"had",
"not",
"inherited",
"a",
"damaged",
"retinoblastoma",
"supressor",
"gene",
"and",
",",
"therefore",
",",
"faced",
"no",
"more",
"risk",
"than",
"other",
"children",
"of",
"developing",
"the",
"rare",
"cancer",
".",
"``",
"It",
"made",
"our",
"New",
"Year",
",",
"''",
"says",
"Mr.",
"Quinlan",
".",
"This",
"test",
"was",
"the",
"first",
"to",
"predict",
"reliably",
"whether",
"an",
"individual",
"could",
"expect",
"to",
"develop",
"cancer",
".",
"Equally",
"important",
",",
"the",
"initial",
"discovery",
"of",
"the",
"gene",
"that",
"controls",
"retinal",
"cell",
"growth",
",",
"made",
"by",
"a",
"Boston",
"doctor",
"named",
"Thaddeus",
"Dryja",
",",
"has",
"opened",
"a",
"field",
"of",
"cancer",
"study",
",",
"which",
"in",
"recent",
"months",
"has",
"exploded",
".",
"``",
"It",
"turns",
"out",
"that",
"studying",
"a",
"tragic",
"but",
"uncommon",
"tumor",
"made",
"possible",
"some",
"fundamental",
"insights",
"about",
"the",
"most",
"basic",
"workings",
"of",
"cancer",
",",
"''",
"says",
"Samuel",
"Broder",
",",
"director",
"of",
"the",
"National",
"Cancer",
"Institute",
".",
"``",
"All",
"this",
"may",
"not",
"be",
"obvious",
"to",
"the",
"public",
",",
"which",
"is",
"concerned",
"about",
"advances",
"in",
"treatment",
",",
"but",
"I",
"am",
"convinced",
"this",
"basic",
"research",
"will",
"begin",
"showing",
"results",
"there",
"soon",
".",
"''",
"To",
"date",
",",
"scientists",
"have",
"fingered",
"two",
"of",
"these",
"cancer-suppressors",
".",
"Dr.",
"Dryja",
"made",
"his",
"retinoblastoma",
"discovery",
"in",
"1986",
".",
"Then",
"last",
"spring",
",",
"researchers",
"reported",
"finding",
"a",
"gene",
"called",
"p53",
"which",
",",
"if",
"impaired",
",",
"turns",
"healthy",
"colon",
"cells",
"cancerous",
".",
"Soon",
"after",
"that",
"report",
",",
"two",
"other",
"research",
"teams",
"uncovered",
"evidence",
"that",
"the",
"same",
"damaged",
"p53",
"gene",
"is",
"present",
"in",
"tissue",
"from",
"lung",
"and",
"breast",
"cancers",
".",
"Colon",
",",
"lung",
"and",
"breast",
"cancers",
"are",
"the",
"most",
"common",
"and",
"lethal",
"forms",
"of",
"the",
"disease",
",",
"collectively",
"killing",
"almost",
"200,000",
"Americans",
"a",
"year",
".",
"Right",
"now",
"about",
"a",
"dozen",
"laboratories",
",",
"in",
"the",
"U.S.",
",",
"Canada",
"and",
"Britain",
",",
"are",
"racing",
"to",
"unmask",
"other",
"suspected",
"tumor-suppressing",
"genes",
".",
"They",
"have",
"about",
"seven",
"candidates",
".",
"Researchers",
"say",
"the",
"inactivation",
"of",
"tumor-suppressor",
"genes",
",",
"alone",
"or",
"in",
"combination",
",",
"appears",
"crucial",
"to",
"the",
"development",
"of",
"such",
"scourges",
"as",
"cancer",
"of",
"the",
"brain",
",",
"the",
"skin",
",",
"kidney",
",",
"prostate",
",",
"and",
"cervix",
".",
"There",
"is",
"evidence",
"that",
"if",
"people",
"inherit",
"defective",
"versions",
"of",
"these",
"genes",
",",
"they",
"are",
"especially",
"prone",
"to",
"cancer",
",",
"perhaps",
"explaining",
",",
"finally",
",",
"why",
"some",
"cancers",
"seem",
"to",
"haunt",
"certain",
"families",
".",
"The",
"story",
"of",
"tumor-suppressor",
"genes",
"goes",
"back",
"to",
"the",
"1970s",
",",
"when",
"a",
"pediatrician",
"named",
"Alfred",
"G.",
"Knudson",
"Jr.",
"proposed",
"that",
"retinoblastoma",
"stemmed",
"from",
"two",
"separate",
"genetic",
"defects",
".",
"He",
"theorized",
"that",
"in",
"the",
"eye",
"cancer",
",",
"an",
"infant",
"inherited",
"a",
"damaged",
"copy",
"of",
"a",
"gene",
"from",
"one",
"parent",
"and",
"a",
"normal",
"copy",
"from",
"the",
"other",
".",
"The",
"tumor",
",",
"he",
"suggested",
",",
"developed",
"when",
"the",
"second",
",",
"normal",
"copy",
"also",
"was",
"damaged",
".",
"But",
"there",
"was",
"no",
"way",
"to",
"prove",
"Dr.",
"Knudson",
"'s",
"``",
"two-hit",
"''",
"theory",
".",
"Back",
"then",
",",
"scientists",
"had",
"no",
"way",
"of",
"ferreting",
"out",
"specific",
"genes",
",",
"but",
"under",
"a",
"microscope",
"they",
"could",
"see",
"the",
"23",
"pairs",
"of",
"chromosomes",
"in",
"the",
"cells",
"that",
"contain",
"the",
"genes",
".",
"Occasionally",
",",
"gross",
"chromosome",
"damage",
"was",
"visible",
".",
"Dr.",
"Knudson",
"found",
"that",
"some",
"children",
"with",
"the",
"eye",
"cancer",
"had",
"inherited",
"a",
"damaged",
"copy",
"of",
"chromosome",
"No.",
"13",
"from",
"a",
"parent",
"who",
"had",
"had",
"the",
"disease",
".",
"Under",
"a",
"microscope",
"he",
"could",
"actually",
"see",
"that",
"a",
"bit",
"of",
"chromosome",
"13",
"was",
"missing",
".",
"He",
"assumed",
"the",
"missing",
"piece",
"contained",
"a",
"gene",
"or",
"genes",
"whose",
"loss",
"had",
"a",
"critical",
"role",
"in",
"setting",
"off",
"the",
"cancer",
".",
"But",
"he",
"did",
"n't",
"know",
"which",
"gene",
"or",
"genes",
"had",
"disappeared",
".",
"Then",
",",
"a",
"scientific",
"team",
"led",
"by",
"molecular",
"geneticist",
"Webster",
"Cavenee",
",",
"then",
"at",
"the",
"University",
"of",
"Utah",
",",
"found",
"the",
"answer",
".",
"The",
"team",
"used",
"a",
"battery",
"of",
"the",
"newly",
"developed",
"``",
"gene",
"probes",
",",
"''",
"snippets",
"of",
"genetic",
"material",
"that",
"can",
"track",
"a",
"gene",
"'s",
"presence",
"in",
"a",
"cell",
".",
"By",
"analyzing",
"cells",
"extracted",
"from",
"eye",
"tumors",
",",
"they",
"found",
"defects",
"in",
"the",
"second",
"copy",
"of",
"chromosome",
"13",
"in",
"the",
"exact",
"area",
"as",
"in",
"the",
"first",
"copy",
"of",
"the",
"chromosome",
".",
"The",
"finding",
"riveted",
"medicine",
".",
"It",
"was",
"the",
"first",
"time",
"anyone",
"had",
"showed",
"that",
"the",
"loss",
"of",
"both",
"copies",
"of",
"the",
"same",
"gene",
"could",
"lead",
"to",
"the",
"eruption",
"of",
"a",
"cancer",
".",
"``",
"It",
"was",
"extraordinarily",
"satisfying",
",",
"''",
"says",
"Dr.",
"Knudson",
",",
"now",
"at",
"Fox",
"Chase",
"Cancer",
"Research",
"Center",
"in",
"Philadelphia",
".",
"``",
"I",
"was",
"convinced",
"that",
"what",
"was",
"true",
"of",
"retinoblastoma",
"would",
"be",
"true",
"for",
"all",
"cancers",
".",
"''",
"It",
"was",
"an",
"audacious",
"claim",
".",
"But",
"in",
"Baltimore",
",",
"Dr.",
"Vogelstein",
",",
"a",
"young",
"molecular",
"biologist",
"at",
"Johns",
"Hopkins",
"Medical",
"School",
",",
"believed",
"Dr.",
"Knudson",
"was",
"right",
",",
"and",
"set",
"out",
"to",
"repeat",
"the",
"Cavenee",
"experiment",
"in",
"cells",
"from",
"other",
"cancers",
".",
"His",
"was",
"one",
"of",
"two",
"research",
"teams",
"in",
"1984",
"to",
"report",
"dual",
"chromosome",
"losses",
"for",
"a",
"rare",
"childhood",
"cancer",
"of",
"the",
"kidney",
"called",
"Wilm",
"'s",
"tumor",
".",
"Dr.",
"Vogelstein",
"next",
"turned",
"his",
"attention",
"to",
"colon",
"cancer",
",",
"the",
"second",
"biggest",
"cancer",
"killer",
"in",
"the",
"U.S.",
"after",
"lung",
"cancer",
".",
"He",
"believed",
"colon",
"cancer",
"might",
"also",
"arise",
"from",
"multiple",
"``",
"hits",
"''",
"on",
"cancer",
"suppressor",
"genes",
",",
"because",
"it",
"often",
"seems",
"to",
"develop",
"in",
"stages",
".",
"It",
"often",
"is",
"preceded",
"by",
"the",
"development",
"of",
"polyps",
"in",
"the",
"bowel",
",",
"which",
"in",
"some",
"cases",
"become",
"increasingly",
"malignant",
"in",
"identifiable",
"stages",
"--",
"progressing",
"from",
"less",
"severe",
"to",
"deadly",
"--",
"as",
"though",
"a",
"cascade",
"of",
"genetic",
"damage",
"might",
"be",
"occurring",
".",
"Dr.",
"Vogelstein",
"and",
"a",
"doctoral",
"student",
",",
"Eric",
"Fearon",
",",
"began",
"months",
"of",
"tedious",
"and",
"often",
"frustrating",
"probing",
"of",
"the",
"chromosomes",
"searching",
"for",
"signs",
"of",
"genetic",
"damage",
".",
"They",
"began",
"uncovering",
"a",
"confusing",
"variety",
"of",
"genetic",
"deletions",
",",
"some",
"existing",
"only",
"in",
"benign",
"polyps",
",",
"others",
"in",
"malignant",
"cells",
"and",
"many",
"in",
"both",
"polyps",
"and",
"malignant",
"cells",
".",
"Gradually",
",",
"a",
"coherent",
"picture",
"of",
"cancer",
"development",
"emerged",
".",
"If",
"both",
"copies",
"of",
"a",
"certain",
"gene",
"were",
"knocked",
"out",
",",
"benign",
"polyps",
"would",
"develop",
".",
"If",
"both",
"copies",
"of",
"a",
"second",
"gene",
"were",
"then",
"deleted",
",",
"the",
"polyps",
"would",
"progress",
"to",
"malignancy",
".",
"It",
"was",
"clear",
"that",
"more",
"than",
"one",
"gene",
"had",
"to",
"be",
"damaged",
"for",
"colon",
"cancer",
"to",
"develop",
".",
"Their",
"report",
"galvanized",
"other",
"molecular",
"biologists",
".",
"``",
"It",
"was",
"the",
"confirming",
"evidence",
"we",
"all",
"needed",
"that",
"-LCB-",
"gene",
"-RCB-",
"losses",
"were",
"critical",
"to",
"the",
"development",
"of",
"a",
"common",
"tumor",
",",
"''",
"says",
"Ray",
"White",
"at",
"Howard",
"Hughes",
"Medical",
"Institute",
"in",
"Salt",
"Lake",
"City",
".",
"But",
"Dr.",
"Vogelstein",
"had",
"yet",
"to",
"nail",
"the",
"identity",
"of",
"the",
"gene",
"that",
",",
"if",
"damaged",
",",
"flipped",
"a",
"colon",
"cell",
"into",
"full-blown",
"malignancy",
".",
"They",
"focused",
"on",
"chromosome",
"17",
".",
"For",
"months",
"the",
"Johns",
"Hopkins",
"researchers",
",",
"using",
"gene",
"probes",
",",
"experimentally",
"crawled",
"down",
"the",
"length",
"of",
"chromosome",
"17",
",",
"looking",
"for",
"the",
"smallest",
"common",
"bit",
"of",
"genetic",
"material",
"lost",
"in",
"all",
"tumor",
"cells",
".",
"Such",
"a",
"piece",
"of",
"DNA",
"would",
"probably",
"constitute",
"a",
"gene",
".",
"When",
"they",
"found",
"it",
"last",
"winter",
",",
"Dr.",
"Vogelstein",
"was",
"dubious",
"that",
"the",
"search",
"was",
"over",
".",
"His",
"doubts",
"stemmed",
"from",
"the",
"fact",
"that",
"several",
"years",
"earlier",
"a",
"Princeton",
"University",
"researcher",
",",
"Arnold",
"Levine",
",",
"had",
"found",
"in",
"experiments",
"with",
"mice",
"that",
"a",
"gene",
"called",
"p53",
"could",
"transform",
"normal",
"cells",
"into",
"cancerous",
"ones",
".",
"The",
"deletion",
"Dr.",
"Vogelstein",
"found",
"was",
"in",
"exactly",
"the",
"same",
"spot",
"as",
"p53",
".",
"But",
"Mr.",
"Levine",
"had",
"said",
"the",
"p53",
"gene",
"caused",
"cancer",
"by",
"promoting",
"growth",
",",
"whereas",
"the",
"Johns",
"Hopkins",
"scientists",
"were",
"looking",
"for",
"a",
"gene",
"that",
"suppressed",
"growth",
".",
"Despite",
"that",
",",
"when",
"the",
"Johns",
"Hopkins",
"scientists",
"compared",
"the",
"gene",
"they",
"had",
"found",
"in",
"the",
"human",
"cancer",
"cells",
"with",
"the",
"Mr.",
"Levine",
"'s",
"p53",
"gene",
"they",
"found",
"the",
"two",
"were",
"identical",
";",
"it",
"turned",
"out",
"that",
"in",
"Mr.",
"Levine",
"'s",
"cancer",
"studies",
",",
"he",
"had",
"unknowingly",
"been",
"observing",
"a",
"damaged",
"form",
"of",
"p53",
"--",
"a",
"cancer-suppressing",
"gene",
".",
"The",
"discovery",
"``",
"suddenly",
"puts",
"an",
"obscure",
"gene",
"right",
"in",
"the",
"cockpit",
"of",
"cancer",
"formation",
",",
"''",
"says",
"Robert",
"Weinberg",
",",
"a",
"leader",
"in",
"cancer-gene",
"research",
"at",
"Whitehead",
"Institute",
"in",
"Cambridge",
",",
"Mass",
".",
"Evidence",
"now",
"is",
"emerging",
"that",
"the",
"p53",
"suppressor",
"gene",
"is",
"involved",
"in",
"other",
"cancers",
",",
"too",
".",
"Researchers",
"in",
"Edinburgh",
",",
"Scotland",
",",
"have",
"found",
"that",
"in",
"23",
"of",
"38",
"breast",
"tumors",
",",
"one",
"copy",
"of",
"chromosome",
"17",
"was",
"mutated",
"at",
"the",
"spot",
"where",
"gene",
"p53",
"lies",
".",
"The",
"scientists",
"say",
"that",
"since",
"breast",
"cancer",
"often",
"strikes",
"multiple",
"members",
"of",
"certain",
"families",
",",
"the",
"gene",
",",
"when",
"inherited",
"in",
"a",
"damaged",
"form",
",",
"may",
"predispose",
"women",
"to",
"the",
"cancer",
".",
"The",
"p53",
"gene",
"has",
"just",
"been",
"implicated",
"in",
"lung",
"cancer",
".",
"In",
"a",
"report",
"out",
"last",
"week",
",",
"John",
"Minna",
"and",
"colleagues",
"at",
"the",
"National",
"Cancer",
"Institute",
"say",
"that",
"about",
"half",
"the",
"cells",
"taken",
"from",
"lung",
"cancer",
"tissue",
"they",
"tested",
"are",
"missing",
"this",
"gene",
".",
"There",
"also",
"are",
"reports",
"from",
"several",
"labs",
",",
"as",
"yet",
"unpublished",
",",
"of",
"missing",
"p53",
"genes",
"in",
"tissue",
"taken",
"from",
"kidney",
",",
"brain",
"and",
"skin",
"cancers",
".",
"At",
"the",
"same",
"time",
",",
"the",
"Johns",
"Hopkins",
"team",
"and",
"others",
"are",
"rushing",
"to",
"pinpoint",
"other",
"tumor-suppressor",
"genes",
".",
"Dr.",
"Vogelstein",
"hopes",
"soon",
"to",
"isolate",
"one",
"on",
"chromosome",
"18",
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",",
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".",
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",",
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",",
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",",
"too",
".",
"Where",
"these",
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"will",
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",",
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"can",
"only",
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".",
"Already",
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"companies",
",",
"the",
"Squibb",
"unit",
"of",
"Bristol-Myers",
"Squibb",
"Co.",
"and",
"Hoffmann-La",
"Roche",
"Inc.",
",",
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",",
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",",
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".",
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"reverse",
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"growth",
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"be",
"based",
"on",
"the",
"suppressor",
"proteins",
"normally",
"produced",
"by",
"the",
"genes",
".",
"The",
"idea",
"would",
"be",
"to",
"administer",
"to",
"patients",
"the",
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"proteins",
"made",
"by",
"healthy",
"versions",
"of",
"the",
"damaged",
"genes",
".",
"It",
"may",
"even",
"be",
"possible",
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"replace",
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",",
"though",
"no",
"one",
"has",
"come",
"close",
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"doing",
"that",
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"far",
".",
"In",
"any",
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",",
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"Dr.",
"Minna",
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"Cancer",
"Institute",
",",
"``",
"We",
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"of",
"one",
"of",
"the",
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"important",
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"the",
"genesis",
"of",
"cancer",
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"scandal",
"itself",
"is",
"so",
"convoluted",
"that",
"ruling-party",
"members",
"are",
"divided",
"between",
"those",
"who",
"want",
"to",
"pursue",
"the",
"matter",
"in",
"hope",
"of",
"undermining",
"the",
"opposition",
"and",
"those",
"who",
"favor",
"leaving",
"well",
"enough",
"alone",
".",
"``",
"The",
"opposition",
"can",
"be",
"the",
"most",
"hurt",
"because",
"everyone",
"already",
"figures",
"the",
"LDP",
"is",
"that",
"kind",
"of",
"beast",
",",
"''",
"says",
"Shigezo",
"Hayasaka",
",",
"former",
"aide",
"to",
"LDP",
"kingmaker",
"Kakuei",
"Tanaka",
"and",
"now",
"an",
"independent",
"analyst",
".",
"But",
",",
"he",
"adds",
",",
"``",
"We",
"ca",
"n't",
"tell",
"where",
"it",
"will",
"go",
"at",
"all",
"because",
"we",
"'re",
"still",
"in",
"the",
"middle",
"of",
"it",
".",
"''",
"This",
"time",
",",
"the",
"scandal",
"centers",
"on",
"donations",
"made",
"by",
"the",
"not-quite-mainstream",
"pachinko",
"parlor",
"industry",
".",
"Pachinko",
",",
"a",
"kind",
"of",
"pinball",
",",
"is",
"Japan",
"'s",
"favorite",
"form",
"of",
"legal",
"gambling",
".",
"The",
"donations",
"so",
"far",
"appear",
"to",
"be",
"small",
",",
"especially",
"compared",
"with",
"the",
"huge",
"sums",
"that",
"changed",
"hands",
"in",
"the",
"Recruit",
"Co",
".",
"influence-peddling",
"scandal",
"that",
"plagued",
"the",
"ruling",
"party",
"last",
"year",
".",
"But",
"the",
"implications",
"could",
"be",
"great",
".",
"Pachinko",
"is",
"slightly",
"on",
"the",
"shady",
"side",
",",
"often",
"linked",
"to",
"the",
"lower",
"ranks",
"of",
"Japan",
"'s",
"underworld",
"and",
"regularly",
"at",
"the",
"top",
"of",
"annual",
"lists",
"of",
"tax",
"evaders",
".",
"Recently",
"the",
"industry",
"has",
"faced",
"the",
"threat",
"of",
"new",
"restrictions",
",",
"and",
"political",
"donations",
"may",
"have",
"been",
"made",
"with",
"the",
"intent",
"to",
"bribe",
".",
"Also",
",",
"about",
"60",
"%",
"of",
"pachinko",
"parlor",
"owners",
"are",
"Korean",
",",
"many",
"of",
"whom",
"maintain",
"close",
"ties",
"with",
"North",
"or",
"South",
"Korean",
"residents",
"'",
"organizations",
",",
"and",
"donations",
"by",
"such",
"foreign",
"groups",
"are",
"illegal",
"in",
"Japan",
".",
"To",
"many",
"Japanese",
",",
"pachinko",
"is",
"benign",
"or",
"enticingly",
"unsavory",
".",
"Garish",
"neon",
"pachinko",
"marquees",
"blaze",
"from",
"the",
"main",
"streets",
"and",
"narrow",
"alleys",
"of",
"cities",
"and",
"towns",
"across",
"the",
"country",
".",
"Devotees",
"pass",
"hours",
",",
"watching",
"the",
"lights",
"blink",
"and",
"listening",
"to",
"the",
"metal",
"balls",
"ping",
",",
"as",
"much",
"to",
"gamble",
"as",
"to",
"get",
"a",
"little",
"time",
"to",
"be",
"anonymous",
",",
"alone",
"with",
"their",
"thoughts",
".",
"At",
"500",
"yen",
"(",
"$",
"3.60",
")",
"for",
"a",
"handful",
"of",
"balls",
",",
"pachinko",
"is",
"a",
"common",
"pastime",
",",
"and",
"has",
"been",
"since",
"it",
"took",
"root",
"as",
"cheap",
"entertainment",
"in",
"the",
"years",
"after",
"World",
"War",
"II",
".",
"But",
"the",
"total",
"of",
"all",
"those",
"pinging",
"balls",
"has",
"created",
"an",
"industry",
"with",
"a",
"reported",
"annual",
"income",
"of",
"13",
"trillion",
"yen",
"(",
"almost",
"$",
"92",
"billion",
")",
",",
"or",
"nearly",
"the",
"size",
"of",
"Japan",
"'s",
"vaunted",
"automobile",
"industry",
".",
"And",
"because",
"the",
"pachinko",
"industry",
"is",
"regularly",
"at",
"the",
"top",
"of",
"annual",
"lists",
"for",
"tax",
"evasion",
",",
"some",
"observers",
"estimate",
"the",
"real",
"income",
"could",
"be",
"as",
"much",
"as",
"20",
"trillion",
"yen",
".",
"If",
"that",
"money",
"were",
"being",
"taxed",
",",
"it",
"could",
"bring",
"the",
"government",
"a",
"badly",
"needed",
"several",
"trillion",
"yen",
".",
"In",
"1984",
",",
"an",
"attempt",
"was",
"made",
"to",
"crack",
"down",
"on",
"the",
"industry",
"with",
"tougher",
"restrictions",
".",
"Then",
",",
"in",
"1988",
",",
"a",
"proposal",
"to",
"keep",
"better",
"track",
"of",
"income",
"by",
"selling",
"prepaid",
"cards",
"for",
"pachinko",
"was",
"fielded",
"in",
"parliament",
".",
"The",
"proposal",
"split",
"the",
"industry",
"in",
"two",
",",
"along",
"the",
"lines",
"of",
"national",
"origin",
":",
"North",
"Koreans",
"oppose",
"the",
"plan",
"while",
"South",
"Koreans",
",",
"Japanese",
"and",
"Taiwanese",
"accept",
"it",
"or",
"are",
"neutral",
".",
"In",
"August",
",",
"a",
"conservative",
"weekly",
"magazine",
"reported",
"that",
"a",
"pachinko",
"industry",
"organization",
"donated",
"money",
"to",
"Japan",
"Socialist",
"Party",
"members",
".",
"The",
"magazine",
"alleged",
"that",
"in",
"making",
"the",
"donations",
",",
"the",
"pachinko",
"industry",
"may",
"have",
"been",
"offering",
"bribes",
"to",
"win",
"support",
"in",
"the",
"battle",
"against",
"prepaid",
"cards",
",",
"or",
"it",
"may",
"have",
"been",
"laundering",
"money",
"back",
"and",
"forth",
"between",
"the",
"JSP",
"and",
"the",
"North",
"Korean",
"residents",
"'",
"organization",
",",
"the",
"Chosen",
"Soren",
".",
"The",
"Chosen",
"Soren",
"and",
"the",
"JSP",
"immediately",
"denied",
"the",
"report",
".",
"And",
"at",
"first",
",",
"neither",
"the",
"opposition",
"nor",
"the",
"LDP",
"wanted",
"to",
"pursue",
"the",
"issue",
".",
"But",
"the",
"press",
"kept",
"it",
"alive",
";",
"as",
"with",
"the",
"Recruit",
"scandal",
",",
"lists",
"began",
"circulating",
"with",
"names",
"of",
"people",
"who",
"had",
"received",
"money",
".",
"Within",
"a",
"matter",
"of",
"weeks",
",",
"less-conservative",
"magazines",
"reported",
"that",
"members",
"of",
"the",
"ruling",
"LDP",
"had",
"received",
"much",
"larger",
"donations",
"from",
"pachinko",
"organizations",
".",
"So",
"far",
",",
"though",
",",
"there",
"have",
"been",
"no",
"allegations",
"that",
"the",
"contributions",
"the",
"LDP",
"members",
"received",
"amounted",
"to",
"bribes",
".",
"Then",
"the",
"two",
"camps",
"upped",
"the",
"ante",
":",
"Reports",
"that",
"Chosen",
"Soren",
"had",
"donated",
"directly",
"to",
"JSP",
"members",
"were",
"rapidly",
"countered",
"by",
"statements",
"that",
"the",
"South",
"Korean",
"residents",
"'",
"organization",
"had",
"long",
"been",
"donating",
"directly",
"to",
"LDP",
"members",
".",
"The",
"JSP",
"admitted",
"Oct.",
"13",
"that",
"its",
"members",
"received",
"about",
"eight",
"million",
"yen",
"from",
"the",
"pachinko",
"organization",
",",
"and",
"charged",
"LDP",
"members",
"with",
"receiving",
"125",
"million",
"yen",
"(",
"$",
"880,000",
")",
"and",
"other",
"opposition",
"parties",
"with",
"taking",
"about",
"2.5",
"million",
"yen",
".",
"On",
"Friday",
",",
"the",
"chief",
"cabinet",
"secretary",
"announced",
"that",
"eight",
"cabinet",
"ministers",
"had",
"received",
"five",
"million",
"yen",
"from",
"the",
"industry",
",",
"including",
"450,000",
"yen",
"(",
"$",
"3,175",
")",
"by",
"Prime",
"Minister",
"Toshiki",
"Kaifu",
".",
"No",
"one",
"has",
"alleged",
"that",
"the",
"donations",
"were",
"by",
"themselves",
"illegal",
".",
"Direct",
"donations",
"from",
"either",
"of",
"the",
"residents",
"'",
"organizations",
"would",
"be",
"illegal",
"because",
"the",
"groups",
"are",
"defined",
"as",
"foreign",
",",
"but",
"both",
"groups",
"deny",
"making",
"direct",
"donations",
".",
"They",
"say",
"it",
"s",
"possible",
"some",
"of",
"their",
"members",
"may",
"be",
"donating",
"privately",
".",
"The",
"issue",
"is",
"further",
"complicated",
"because",
"although",
"the",
"organizations",
"represent",
"Korean",
"residents",
",",
"those",
"residents",
"were",
"largely",
"born",
"and",
"raised",
"in",
"Japan",
"and",
"many",
"speak",
"only",
"Japanese",
".",
"That",
"they",
"retain",
"Korean",
"citizenship",
"and",
"ties",
"is",
"a",
"reflection",
"of",
"history",
"--",
"their",
"parents",
"were",
"shipped",
"in",
"as",
"laborers",
"during",
"the",
"decades",
"when",
"Japan",
"occupied",
"Korea",
"before",
"World",
"War",
"II",
"--",
"and",
"the",
"discrimination",
"that",
"still",
"faces",
"Koreans",
"in",
"Japanese",
"society",
".",
"Many",
"Japanese",
"think",
"it",
"only",
"natural",
"that",
"the",
"organizations",
"or",
"their",
"members",
"would",
"donate",
"to",
"politicians",
",",
"the",
"way",
"many",
"Japanese",
"do",
",",
"to",
"win",
"favor",
"or",
"support",
".",
"Both",
"residents",
"'",
"organizations",
"admit",
"to",
"receiving",
"some",
"funding",
"from",
"abroad",
".",
"But",
"LDP",
"members",
"and",
"supporters",
"of",
"the",
"prepaid",
"card",
"idea",
"tend",
"to",
"speak",
"in",
"innuendo",
"about",
"the",
"JSP",
"'s",
"alleged",
"donations",
",",
"implying",
"that",
"North",
"Korean",
"money",
"would",
"be",
"more",
"suspect",
"than",
"South",
"Korean",
"because",
"North",
"Korea",
"is",
"communist",
"and",
"South",
"Korea",
"is",
"an",
"ally",
"."
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[
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"Good",
",",
"author",
"of",
"``",
"Above",
"Top",
"Secret",
":",
"The",
"World",
"UFO",
"Cover-Up",
"''",
"(",
"Quill/William",
"Morrow",
",",
"592",
"pages",
",",
"$",
"12.95",
")",
",",
"that",
"the",
"world",
"laughs",
"too",
"fast",
".",
"Here",
"is",
"a",
"bible",
"for",
"UFO",
"watchers",
",",
"complete",
"with",
"pictures",
"of",
"people",
"who",
"say",
"they",
"'ve",
"had",
"personal",
"relationships",
"with",
"aliens",
".",
"One",
"photo",
"shows",
"a",
"woman",
"sporting",
"a",
"scar",
"she",
"says",
"was",
"made",
"by",
"a",
"laser",
"beam",
"(",
"a",
"low-caliber",
"weapon",
",",
"from",
"the",
"looks",
"of",
"the",
"wound",
")",
".",
"So",
"far",
"anyway",
",",
"our",
"alien",
"visitors",
"seem",
"more",
"intent",
"on",
"brightening",
"our",
"skies",
"than",
"pulverizing",
"us",
".",
"Mr.",
"Good",
"devotes",
"much",
"serious",
"space",
"to",
"the",
"events",
"of",
"Feb.",
"25",
",",
"1942",
",",
"when",
"American",
"gunners",
"spotted",
"strange",
"lights",
"in",
"the",
"sky",
"above",
"Los",
"Angeles",
".",
"Air-raid",
"sirens",
"sounded",
"the",
"alarm",
"at",
"2:25",
"a.m.",
",",
"summoning",
"12,000",
"air",
"wardens",
"to",
"duty",
".",
"Soon",
"all",
"hell",
"broke",
"loose",
".",
"Ground",
"batteries",
",",
"targeting",
"an",
"odd",
"assortment",
"of",
"aircraft",
"traveling",
"at",
"highly",
"unusual",
"speeds",
",",
"opened",
"up",
"a",
"furious",
"fusillade",
".",
"The",
"sky",
"filled",
"with",
"12.8-pound",
"shells",
",",
"several",
"of",
"which",
"fell",
"back",
"to",
"Earth",
",",
"destroying",
"homes",
"and",
"buildings",
".",
"When",
"the",
"smoke",
"cleared",
",",
"six",
"people",
"were",
"dead",
"(",
"three",
"from",
"heart",
"attacks",
")",
",",
"and",
"everyone",
"wondered",
"what",
"in",
"the",
"world",
"they",
"were",
"shooting",
"at",
".",
"Mr.",
"Good",
",",
"who",
"documents",
"these",
"things",
"as",
"best",
"he",
"can",
",",
"provides",
"an",
"official",
"explanation",
"in",
"the",
"form",
"of",
"a",
"memorandum",
"from",
"Chief",
"of",
"Staff",
"George",
"C.",
"Marshall",
"to",
"President",
"Roosevelt",
":",
"``",
"1,430",
"pounds",
"of",
"ammunition",
",",
"''",
"he",
"wrote",
"his",
"commander",
"in",
"chief",
",",
"were",
"expended",
"on",
"``",
"unidentified",
"aircraft",
",",
"''",
"flying",
"at",
"speeds",
"as",
"slow",
"as",
"200",
"mph",
"and",
"elevations",
"between",
"9,000",
"and",
"18,000",
"feet",
".",
"Well",
",",
"thousands",
"of",
"Californians",
"on",
"the",
"scene",
"insisted",
"the",
"ammo",
"had",
"been",
"uselessly",
"aimed",
"at",
"a",
"large",
",",
"hardy",
"UFO",
",",
"but",
"you",
"will",
"just",
"have",
"to",
"make",
"your",
"own",
"decision",
"about",
"such",
"sightings",
".",
"One",
"thing",
"'s",
"for",
"sure",
":",
"There",
"have",
"been",
"a",
"ton",
"of",
"them",
",",
"and",
"greater",
"beings",
"than",
"the",
"editors",
"of",
"the",
"National",
"Enquirer",
"have",
"shown",
"interest",
".",
"Gerald",
"Ford",
",",
"a",
"fairly",
"down-to-earth",
"fellow",
",",
"once",
"sent",
"a",
"letter",
"to",
"the",
"chairman",
"of",
"the",
"Armed",
"Services",
"Committee",
"recommending",
"that",
"``",
"there",
"be",
"a",
"committee",
"investigation",
"of",
"the",
"UFO",
"phenomenon",
".",
"I",
"think",
"we",
"owe",
"it",
"to",
"the",
"American",
"people",
"to",
"establish",
"credibility",
"regarding",
"UFOs",
"and",
"to",
"produce",
"the",
"greatest",
"possible",
"enlightenment",
"on",
"the",
"subject",
".",
"''",
"Jimmy",
"Carter",
"went",
"further",
"in",
"a",
"1976",
"campaign",
"promise",
":",
"``",
"If",
"I",
"become",
"president",
",",
"I",
"'ll",
"make",
"every",
"piece",
"of",
"information",
"this",
"country",
"has",
"about",
"UFO",
"sightings",
"available",
"to",
"the",
"public",
",",
"and",
"the",
"scientists",
".",
"I",
"am",
"convinced",
"that",
"UFOs",
"exist",
"because",
"I",
"have",
"seen",
"one",
"...",
".",
"''",
"But",
"you",
"know",
"about",
"campaign",
"promises",
".",
"It",
"still",
"does",
"n't",
"look",
"like",
"governments",
"are",
"coughing",
"up",
"everything",
"they",
"know",
".",
"Still",
",",
"despite",
"their",
"efforts",
"to",
"convince",
"the",
"world",
"that",
"we",
"are",
"indeed",
"alone",
",",
"the",
"visitors",
"do",
"seem",
"to",
"keep",
"coming",
"and",
",",
"like",
"the",
"recent",
"sightings",
",",
"there",
"'s",
"often",
"a",
"detail",
"or",
"two",
"that",
"suggests",
"they",
"may",
"actually",
"be",
"a",
"little",
"on",
"the",
"dumb",
"side",
".",
"For",
"instance",
",",
"witnesses",
"in",
"Voronezh",
"say",
"the",
"pinheaded",
"behemoths",
"and",
"their",
"robot",
"friend",
",",
"after",
"strolling",
"around",
"the",
"city",
"park",
",",
"left",
"behind",
"some",
"rocks",
".",
"Now",
"why",
",",
"you",
"have",
"to",
"ask",
"yourself",
",",
"would",
"intelligent",
"beings",
"haul",
"a",
"bunch",
"of",
"rocks",
"around",
"the",
"universe",
"?",
"Or",
"land",
"in",
"Russia",
"so",
"often",
".",
"In",
"a",
"1961",
"incident",
",",
"a",
"Soviet",
"mail",
"plane",
"disappeared",
"off",
"the",
"radar",
"screen",
"just",
"after",
"radioing",
"its",
"position",
"to",
"ground",
"control",
"in",
"Sverdlovsk",
".",
"A",
"search",
"party",
"soon",
"found",
"the",
"unscathed",
"aircraft",
"in",
"a",
"forest",
"clearing",
"much",
"too",
"small",
"to",
"have",
"allowed",
"a",
"conventional",
"landing",
".",
"What",
"'s",
"more",
",",
"the",
"seven",
"mail",
"personnel",
"aboard",
"were",
"missing",
".",
"Again",
",",
"you",
"have",
"to",
"ask",
"the",
"obvious",
"question",
":",
"Why",
"would",
"intelligent",
"beings",
"kidnap",
"seven",
"Soviet",
"mailmen",
"?",
"Speculation",
"as",
"to",
"the",
"nature",
"of",
"aliens",
"will",
"no",
"doubt",
"continue",
"until",
"we",
"wake",
"up",
"one",
"morning",
"to",
"find",
"they",
"'ve",
"taken",
"over",
"``",
"The",
"Today",
"Show",
",",
"''",
"the",
"way",
"they",
"overwhelm",
"an",
"entire",
"town",
"in",
"Jack",
"Finney",
"'s",
"``",
"Invasion",
"of",
"the",
"Body",
"Snatchers",
"''",
"(",
"Fireside/Simon",
"&",
"Schuster",
",",
"216",
"pages",
",",
"$",
"8.95",
")",
".",
"Maybe",
"some",
"of",
"our",
"talk-show",
"hosts",
"and",
"anchors",
"have",
"already",
"been",
"taken",
"over",
"?",
"The",
"point",
"of",
"this",
"1955",
"novel",
",",
"which",
"spawned",
"two",
"movies",
",",
"is",
"that",
"the",
"soulless",
"pod",
"people",
"replicated",
"by",
"alien",
"plants",
"are",
"virtually",
"indistinguishable",
"from",
"human",
"folks",
".",
"Another",
"guy",
"who",
"thinks",
"they",
"'re",
"out",
"there",
"and",
"closing",
"fast",
"is",
"Whitley",
"Strieber",
",",
"whose",
"new",
"novel",
",",
"``",
"Majestic",
"''",
"(",
"Putnam",
",",
"317",
"pages",
",",
"$",
"18.95",
")",
",",
"takes",
"a",
"look",
"at",
"a",
"reported",
"1947",
"UFO",
"crash",
"near",
"the",
"Roswell",
"Army",
"Air",
"Field",
"in",
"a",
"New",
"Mexico",
"desert",
".",
"Mr.",
"Strieber",
"knows",
"a",
"lot",
"about",
"aliens",
".",
"He",
"even",
"had",
"sex",
"with",
"one",
"--",
"sort",
"of",
",",
"and",
"not",
"intentionally",
"--",
"as",
"readers",
"learned",
"in",
"his",
"``",
"Communion",
"''",
"(",
"a",
"book",
"recently",
"described",
"in",
"the",
"New",
"York",
"Times",
"as",
"a",
"``",
"nonfiction",
"best",
"seller",
"''",
")",
".",
"The",
"way",
"Mr.",
"Strieber",
"tells",
"it",
"in",
"his",
"earnest",
"prose",
",",
"the",
"intelligence",
"officer",
"who",
"found",
"the",
"craft",
"'s",
"strange",
"debris",
"was",
"forced",
"by",
"the",
"government",
"to",
"call",
"the",
"flower-inscribed",
"scraps",
"parts",
"of",
"a",
"weather",
"balloon",
".",
"The",
"apparent",
"crash",
"became",
"top",
"secret",
",",
"and",
"the",
"alien",
"creatures",
"went",
"away",
"upset",
"with",
"the",
"rude",
"ways",
"of",
"human",
"beings",
".",
"We",
"lost",
"our",
"chance",
"to",
"communicate",
"with",
"sweet-natured",
"visitors",
"``",
"about",
"four",
"feet",
"tall",
"-LCB-",
"who",
"-RCB-",
"looked",
"as",
"though",
"they",
"were",
"made",
"of",
"puffed-up",
"marshmallow",
".",
"''",
"Mr.",
"Shiflett",
"is",
"an",
"editorial",
"writer",
"for",
"the",
"Rocky",
"Mountain",
"News",
"."
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",",
"transport",
"and",
"food",
"holding",
"company",
".",
"The",
"move",
"comes",
"a",
"week",
"after",
"Paribas",
"announced",
"that",
"it",
"was",
"preparing",
"to",
"bid",
"for",
"66.7",
"%",
"control",
"of",
"Navigation",
"Mixte",
".",
"Munich-based",
"Allianz",
"'s",
"brief",
"explanatory",
"statement",
"said",
"it",
"is",
"acting",
"to",
"protect",
"its",
"own",
"interests",
"as",
"a",
"shareholder",
"of",
"Navigation",
"Mixte",
".",
"That",
"would",
"be",
"a",
"blow",
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"both",
"Paribas",
"and",
"Navigation",
"Mixte",
".",
"Each",
"had",
"claimed",
"Allianz",
",",
"Europe",
"'s",
"largest",
"insurance",
"company",
",",
"as",
"a",
"tacit",
"ally",
".",
"The",
"Allianz",
"statement",
"also",
"reinforced",
"the",
"belief",
"that",
"the",
"takeover",
"battle",
"could",
"be",
"a",
"long",
"one",
".",
"It",
"led",
"to",
"broad",
"market",
"speculation",
"that",
"Paribas",
"now",
"will",
"sweeten",
"its",
"bid",
",",
"which",
"is",
"expected",
"to",
"be",
"formally",
"launched",
"later",
"this",
"week",
",",
"after",
"approval",
"from",
"French",
"government",
"regulators",
".",
"Allianz",
"'s",
"entry",
"reflects",
"the",
"increasing",
"eagerness",
"of",
"West",
"German",
"companies",
",",
"looking",
"ahead",
"to",
"the",
"reduction",
"in",
"European",
"Community",
"internal",
"barriers",
"in",
"1992",
",",
"to",
"get",
"involved",
"in",
"what",
"until",
"now",
"were",
"considered",
"internal",
"French",
"affairs",
".",
"Deutsche",
"Bank",
",",
"Dresdner",
"Bank",
"and",
"Commerzbank",
"all",
"also",
"have",
"expressed",
"eagerness",
"to",
"expand",
"in",
"France",
"before",
"1992",
".",
"Dresdner",
"Bank",
"this",
"month",
"moved",
"to",
"acquire",
"Banque",
"Internationale",
"des",
"Placements",
",",
"a",
"small",
"French",
"merchant",
"bank",
"that",
"Deutsche",
"Bank",
"had",
"looked",
"at",
"and",
"passed",
"over",
".",
"Commerzbank",
"had",
"hoped",
"to",
"buy",
"a",
"stake",
"in",
"Credit",
"Lyonnais",
",",
"until",
"the",
"Socialists",
"returned",
"to",
"government",
"last",
"year",
"and",
"canceled",
"plans",
"to",
"privatize",
"the",
"large",
"French",
"bank",
".",
"Deutsche",
"Bank",
"has",
"actively",
"sought",
"a",
"French",
"acquisition",
"for",
"at",
"least",
"two",
"years",
".",
"Lately",
",",
"analysts",
"say",
",",
"Deutsche",
"Bank",
"has",
"shocked",
"some",
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"French",
"financial",
"community",
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"wants",
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"bank",
"with",
"a",
"large",
"number",
"of",
"branches",
".",
"``",
"We",
"are",
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"looking",
",",
"''",
"said",
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"Bank",
"spokesman",
".",
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"think",
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",",
"though",
"Deutsche",
"Bank",
"would",
"be",
"able",
"to",
"pay",
"a",
"good",
"price",
".",
"''",
"While",
"Allianz",
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",",
"they",
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"10",
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"Mixte",
",",
"an",
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"Mixte",
"officials",
"had",
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".",
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"sources",
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"morning",
",",
"and",
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"Mixte",
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"17.19",
")",
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".",
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"Monday",
",",
"when",
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"plan",
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"pay",
"1,850",
"francs",
"for",
"each",
"Navigation",
"Mixte",
"share",
".",
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"also",
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"a",
"50",
"%",
"stake",
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"Mixte",
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"insurance",
"subsidiary",
",",
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"largest",
"insurance",
"groups",
",",
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"launched",
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"bid",
".",
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"holds",
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"50",
"%",
".",
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"statement",
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",",
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"Mixte",
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",",
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"regrets",
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"bidding",
"for",
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"Mixte",
"'s",
"shares",
".",
"The",
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",",
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",",
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"66.7",
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",",
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"shares",
"will",
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"value",
".",
"That",
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"holders",
",",
"such",
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"Allianz",
",",
"which",
"could",
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"sure",
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"selling",
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"tendered",
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"Paribas",
".",
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".",
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",",
"which",
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".",
"Allianz",
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"say",
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",",
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"anyone",
",",
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".",
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"Mixte",
"stake",
"as",
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"shares",
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".",
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"Navigation",
"Mixte",
"share",
".",
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",",
"and",
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"acquisition",
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"the",
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"48",
"%",
"would",
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"about",
"11",
"billion",
"francs",
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".",
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"at",
"around",
"23",
"billion",
"francs",
",",
"depending",
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"how",
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"holders",
"of",
"Navigation",
"Mixte",
"warrants",
"exchange",
"them",
"for",
"shares",
"before",
"the",
"bid",
"expires",
"."
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[
"Ripples",
"from",
"the",
"strike",
"by",
"55,000",
"Machinists",
"union",
"members",
"against",
"Boeing",
"Co.",
"reached",
"air",
"carriers",
"Friday",
"as",
"America",
"West",
"Airlines",
"announced",
"it",
"will",
"postpone",
"its",
"new",
"service",
"out",
"of",
"Houston",
"because",
"of",
"delays",
"in",
"receiving",
"aircraft",
"from",
"the",
"Seattle",
"jet",
"maker",
".",
"Peter",
"Otradovec",
",",
"vice",
"president",
"for",
"planning",
"at",
"the",
"Phoenix",
",",
"Ariz.",
",",
"carrier",
",",
"said",
"in",
"an",
"interview",
"that",
"the",
"work",
"stoppage",
"at",
"Boeing",
",",
"now",
"entering",
"its",
"13th",
"day",
",",
"``",
"has",
"caused",
"some",
"turmoil",
"in",
"our",
"scheduling",
"''",
"and",
"that",
"more",
"than",
"500",
"passengers",
"who",
"were",
"booked",
"to",
"fly",
"out",
"of",
"Houston",
"on",
"America",
"West",
"would",
"now",
"be",
"put",
"on",
"other",
"airlines",
".",
"Mr.",
"Otradovec",
"said",
"Boeing",
"told",
"America",
"West",
"that",
"the",
"757",
"it",
"was",
"supposed",
"to",
"get",
"this",
"Thursday",
"would",
"n't",
"be",
"delivered",
"until",
"Nov.",
"7",
"--",
"the",
"day",
"after",
"the",
"airline",
"had",
"been",
"planning",
"to",
"initiate",
"service",
"at",
"Houston",
"with",
"four",
"daily",
"flights",
",",
"including",
"three",
"nonstops",
"to",
"Phoenix",
"and",
"one",
"nonstop",
"to",
"Las",
"Vegas",
".",
"Now",
",",
"those",
"routes",
"are",
"n't",
"expected",
"to",
"begin",
"until",
"Jan",
".",
"Boeing",
"is",
"also",
"supposed",
"to",
"send",
"to",
"America",
"West",
"another",
"757",
"twin-engine",
"aircraft",
"as",
"well",
"as",
"a",
"737",
"by",
"year",
"'s",
"end",
".",
"Those",
",",
"too",
",",
"are",
"almost",
"certain",
"to",
"arrive",
"late",
".",
"At",
"this",
"point",
",",
"no",
"other",
"America",
"West",
"flights",
"--",
"including",
"its",
"new",
"service",
"at",
"San",
"Antonio",
",",
"Texas",
";",
"Newark",
",",
"N.J.",
";",
"and",
"Palmdale",
",",
"Calif.",
"--",
"have",
"been",
"affected",
"by",
"the",
"delays",
"in",
"Boeing",
"deliveries",
".",
"Nevertheless",
",",
"the",
"company",
"'s",
"reaction",
"underscores",
"the",
"domino",
"effect",
"that",
"a",
"huge",
"manufacturer",
"such",
"as",
"Boeing",
"can",
"have",
"on",
"other",
"parts",
"of",
"the",
"economy",
".",
"It",
"also",
"is",
"sure",
"to",
"help",
"the",
"machinists",
"put",
"added",
"pressure",
"on",
"the",
"company",
".",
"``",
"I",
"just",
"do",
"n't",
"feel",
"that",
"the",
"company",
"can",
"really",
"stand",
"or",
"would",
"want",
"a",
"prolonged",
"walkout",
",",
"''",
"Tom",
"Baker",
",",
"president",
"of",
"Machinists",
"'",
"District",
"751",
",",
"said",
"in",
"an",
"interview",
"yesterday",
".",
"``",
"I",
"do",
"n't",
"think",
"their",
"customers",
"would",
"like",
"it",
"very",
"much",
".",
"''",
"America",
"West",
",",
"though",
",",
"is",
"a",
"smaller",
"airline",
"and",
"therefore",
"more",
"affected",
"by",
"the",
"delayed",
"delivery",
"of",
"a",
"single",
"plane",
"than",
"many",
"of",
"its",
"competitors",
"would",
"be",
".",
"``",
"I",
"figure",
"that",
"American",
"and",
"United",
"probably",
"have",
"such",
"a",
"hard",
"time",
"counting",
"all",
"the",
"planes",
"in",
"their",
"fleets",
",",
"they",
"might",
"not",
"miss",
"one",
"at",
"all",
",",
"''",
"Mr.",
"Otradovec",
"said",
".",
"Indeed",
",",
"a",
"random",
"check",
"Friday",
"did",
"n't",
"seem",
"to",
"indicate",
"that",
"the",
"strike",
"was",
"having",
"much",
"of",
"an",
"effect",
"on",
"other",
"airline",
"operations",
".",
"Southwest",
"Airlines",
"has",
"a",
"Boeing",
"737-300",
"set",
"for",
"delivery",
"at",
"the",
"end",
"of",
"this",
"month",
"and",
"expects",
"to",
"have",
"the",
"plane",
"on",
"time",
".",
"``",
"It",
"'s",
"so",
"close",
"to",
"completion",
",",
"Boeing",
"'s",
"told",
"us",
"there",
"wo",
"n't",
"be",
"a",
"problem",
",",
"''",
"said",
"a",
"Southwest",
"spokesman",
".",
"A",
"spokesman",
"for",
"AMR",
"Corp.",
"said",
"Boeing",
"has",
"assured",
"American",
"Airlines",
"it",
"will",
"deliver",
"a",
"757",
"on",
"time",
"later",
"this",
"month",
".",
"American",
"is",
"preparing",
"to",
"take",
"delivery",
"of",
"another",
"757",
"in",
"early",
"December",
"and",
"20",
"more",
"next",
"year",
"and",
"is",
"n't",
"anticipating",
"any",
"changes",
"in",
"that",
"timetable",
".",
"In",
"Seattle",
",",
"a",
"Boeing",
"spokesman",
"explained",
"that",
"the",
"company",
"has",
"been",
"in",
"constant",
"communication",
"with",
"all",
"of",
"its",
"customers",
"and",
"that",
"it",
"was",
"impossible",
"to",
"predict",
"what",
"further",
"disruptions",
"might",
"be",
"triggered",
"by",
"the",
"strike",
".",
"Meanwhile",
",",
"supervisors",
"and",
"non-striking",
"employees",
"have",
"been",
"trying",
"to",
"finish",
"some",
"40",
"aircraft",
"--",
"mostly",
"747",
"and",
"767",
"jumbo",
"jets",
"at",
"the",
"company",
"'s",
"Everett",
",",
"Wash.",
",",
"plant",
"--",
"that",
"were",
"all",
"but",
"completed",
"before",
"the",
"walkout",
".",
"As",
"of",
"Friday",
",",
"four",
"had",
"been",
"delivered",
"and",
"a",
"fifth",
"plane",
",",
"a",
"747-400",
",",
"was",
"supposed",
"to",
"be",
"flown",
"out",
"over",
"the",
"weekend",
"to",
"Air",
"China",
".",
"No",
"date",
"has",
"yet",
"been",
"set",
"to",
"get",
"back",
"to",
"the",
"bargaining",
"table",
".",
"``",
"We",
"want",
"to",
"make",
"sure",
"they",
"know",
"what",
"they",
"want",
"before",
"they",
"come",
"back",
",",
"''",
"said",
"Doug",
"Hammond",
",",
"the",
"federal",
"mediator",
"who",
"has",
"been",
"in",
"contact",
"with",
"both",
"sides",
"since",
"the",
"strike",
"began",
".",
"The",
"investment",
"community",
",",
"for",
"one",
",",
"has",
"been",
"anticipating",
"a",
"speedy",
"resolution",
".",
"Though",
"Boeing",
"'s",
"stock",
"price",
"was",
"battered",
"along",
"with",
"the",
"rest",
"of",
"the",
"market",
"Friday",
",",
"it",
"actually",
"has",
"risen",
"over",
"the",
"last",
"two",
"weeks",
"on",
"the",
"strength",
"of",
"new",
"orders",
".",
"``",
"The",
"market",
"has",
"taken",
"two",
"views",
":",
"that",
"the",
"labor",
"situation",
"will",
"get",
"settled",
"in",
"the",
"short",
"term",
"and",
"that",
"things",
"look",
"very",
"rosy",
"for",
"Boeing",
"in",
"the",
"long",
"term",
",",
"''",
"said",
"Howard",
"Rubel",
",",
"an",
"analyst",
"at",
"Cyrus",
"J.",
"Lawrence",
"Inc",
".",
"Boeing",
"'s",
"shares",
"fell",
"$",
"4",
"Friday",
"to",
"close",
"at",
"$",
"57.375",
"in",
"composite",
"trading",
"on",
"the",
"New",
"York",
"Stock",
"Exchange",
".",
"But",
"Mr.",
"Baker",
"said",
"he",
"thinks",
"the",
"earliest",
"a",
"pact",
"could",
"be",
"struck",
"would",
"be",
"the",
"end",
"of",
"this",
"month",
",",
"hinting",
"that",
"the",
"company",
"and",
"union",
"may",
"resume",
"negotiations",
"as",
"early",
"as",
"this",
"week",
".",
"Still",
",",
"he",
"said",
",",
"it",
"'s",
"possible",
"that",
"the",
"strike",
"could",
"last",
"considerably",
"longer",
".",
"``",
"I",
"would",
"n't",
"expect",
"an",
"immediate",
"resolution",
"to",
"anything",
".",
"''",
"Last",
"week",
",",
"Boeing",
"Chairman",
"Frank",
"Shrontz",
"sent",
"striking",
"workers",
"a",
"letter",
",",
"saying",
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"``",
"to",
"my",
"knowledge",
",",
"Boeing",
"'s",
"offer",
"represents",
"the",
"best",
"overall",
"three-year",
"contract",
"of",
"any",
"major",
"U.S.",
"industrial",
"firm",
"in",
"recent",
"history",
".",
"''",
"But",
"Mr.",
"Baker",
"called",
"the",
"letter",
"--",
"and",
"the",
"company",
"'s",
"offer",
"of",
"a",
"10",
"%",
"wage",
"increase",
"over",
"the",
"life",
"of",
"the",
"pact",
",",
"plus",
"bonuses",
"--",
"``",
"very",
"weak",
".",
"''",
"He",
"added",
"that",
"the",
"company",
"miscalculated",
"the",
"union",
"'s",
"resolve",
"and",
"the",
"workers",
"'",
"disgust",
"with",
"being",
"forced",
"to",
"work",
"many",
"hours",
"overtime",
".",
"In",
"separate",
"developments",
":",
"--",
"Talks",
"have",
"broken",
"off",
"between",
"Machinists",
"representatives",
"at",
"Lockheed",
"Corp.",
"and",
"the",
"Calabasas",
",",
"Calif.",
",",
"aerospace",
"company",
".",
"The",
"union",
"is",
"continuing",
"to",
"work",
"through",
"its",
"expired",
"contract",
",",
"however",
".",
"It",
"had",
"planned",
"a",
"strike",
"vote",
"for",
"next",
"Sunday",
",",
"but",
"that",
"has",
"been",
"pushed",
"back",
"indefinitely",
".",
"--",
"United",
"Auto",
"Workers",
"Local",
"1069",
",",
"which",
"represents",
"3,000",
"workers",
"at",
"Boeing",
"'s",
"helicopter",
"unit",
"in",
"Delaware",
"County",
",",
"Pa.",
",",
"said",
"it",
"agreed",
"to",
"extend",
"its",
"contract",
"on",
"a",
"day-by-day",
"basis",
",",
"with",
"a",
"10-day",
"notification",
"to",
"cancel",
",",
"while",
"it",
"continues",
"bargaining",
".",
"The",
"accord",
"expired",
"yesterday",
".",
"--",
"And",
"Boeing",
"on",
"Friday",
"said",
"it",
"received",
"an",
"order",
"from",
"Martinair",
"Holland",
"for",
"four",
"model",
"767-300",
"wide-body",
"jetliners",
"valued",
"at",
"a",
"total",
"of",
"about",
"$",
"326",
"million",
".",
"The",
"planes",
",",
"long",
"range",
"versions",
"of",
"the",
"medium-haul",
"twin-jet",
",",
"will",
"be",
"delivered",
"with",
"Pratt",
"&",
"Whitney",
"PW4060",
"engines",
".",
"Pratt",
"&",
"Whitney",
"is",
"a",
"unit",
"of",
"United",
"Technologies",
"Inc",
".",
"Martinair",
"Holland",
"is",
"based",
"in",
"Amsterdam",
".",
"A",
"Boeing",
"spokeswoman",
"said",
"a",
"delivery",
"date",
"for",
"the",
"planes",
"is",
"still",
"being",
"worked",
"out",
"``",
"for",
"a",
"variety",
"of",
"reasons",
",",
"but",
"not",
"because",
"of",
"the",
"strike",
".",
"''",
"Bridget",
"O'Brian",
"contributed",
"to",
"this",
"article",
"."
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[
"Hotel",
"Investors",
"Trust",
"and",
"its",
"affiliate",
",",
"Hotel",
"Investors",
"Corp.",
",",
"said",
"the",
"companies",
"plan",
"to",
"sell",
"all",
"of",
"the",
"hotels",
"the",
"companies",
"own",
"and",
"operate",
",",
"except",
"for",
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"in",
"Las",
"Vegas",
",",
"Nev",
".",
"The",
"hotels",
"and",
"management",
"interests",
"will",
"be",
"sold",
"at",
"an",
"auction",
",",
"said",
"John",
"Rothman",
",",
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"and",
"chief",
"executive",
"officer",
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"the",
"trust",
"and",
"a",
"director",
"of",
"the",
"corporation",
".",
"Value",
"of",
"the",
"properties",
"and",
"management",
"interests",
"was",
"n't",
"disclosed",
".",
"In",
"all",
",",
"the",
"Los",
"Angeles-based",
"trust",
"plans",
"to",
"sell",
"its",
"interests",
"in",
"36",
"hotels",
",",
"while",
"the",
"corporation",
"will",
"sell",
"its",
"management",
"interests",
"in",
"32",
"of",
"those",
"properties",
".",
"Excluded",
"from",
"the",
"sale",
"are",
"the",
"interests",
"of",
"the",
"trust",
"and",
"the",
"corporation",
"in",
"two",
"Las",
"Vegas",
"hotel-casinos",
".",
"After",
"completing",
"the",
"sale",
"and",
"paying",
"debts",
",",
"the",
"trust",
"and",
"corporation",
"will",
"consider",
"a",
"number",
"of",
"options",
"including",
"a",
"stock",
"repurchase",
",",
"payment",
"of",
"special",
"dividend",
"or",
"investment",
"in",
"more",
"gaming",
"properties",
".",
"The",
"companies",
"will",
"retain",
"their",
"current",
"regular",
"quarterly",
"dividend",
"of",
"25",
"cents",
"during",
"the",
"sale",
"process",
",",
"Mr.",
"Rothman",
"said",
".",
"For",
"the",
"first",
"six",
"months",
",",
"the",
"trust",
"and",
"corporation",
"had",
"a",
"net",
"loss",
"of",
"$",
"244,000",
"."
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[
"Kidder",
",",
"Peabody",
"&",
"Co.",
"is",
"trying",
"to",
"struggle",
"back",
".",
"Only",
"a",
"few",
"months",
"ago",
",",
"the",
"124-year-old",
"securities",
"firm",
"seemed",
"to",
"be",
"on",
"the",
"verge",
"of",
"a",
"meltdown",
",",
"racked",
"by",
"internal",
"squabbles",
"and",
"defections",
".",
"Its",
"relationship",
"with",
"parent",
"General",
"Electric",
"Co.",
"had",
"been",
"frayed",
"since",
"a",
"big",
"Kidder",
"insider-trading",
"scandal",
"two",
"years",
"ago",
".",
"Chief",
"executives",
"and",
"presidents",
"had",
"come",
"and",
"gone",
".",
"Now",
",",
"the",
"firm",
"says",
"it",
"'s",
"at",
"a",
"turning",
"point",
".",
"By",
"the",
"end",
"of",
"this",
"year",
",",
"63-year-old",
"Chairman",
"Silas",
"Cathcart",
"--",
"the",
"former",
"chairman",
"of",
"Illinois",
"Tool",
"Works",
"who",
"was",
"derided",
"as",
"a",
"``",
"tool-and-die",
"man",
"''",
"when",
"GE",
"brought",
"him",
"in",
"to",
"clean",
"up",
"Kidder",
"in",
"1987",
"--",
"retires",
"to",
"his",
"Lake",
"Forest",
",",
"Ill.",
",",
"home",
",",
"possibly",
"to",
"build",
"a",
"shopping",
"mall",
"on",
"some",
"land",
"he",
"owns",
".",
"``",
"I",
"'ve",
"done",
"what",
"I",
"came",
"to",
"do",
"''",
"at",
"Kidder",
",",
"he",
"says",
".",
"And",
"that",
"means",
"42-year-old",
"Michael",
"Carpenter",
",",
"president",
"and",
"chief",
"executive",
"since",
"January",
",",
"will",
"for",
"the",
"first",
"time",
"take",
"complete",
"control",
"of",
"Kidder",
"and",
"try",
"to",
"make",
"good",
"on",
"some",
"grandiose",
"plans",
".",
"Mr.",
"Carpenter",
"says",
"he",
"will",
"return",
"Kidder",
"to",
"prominence",
"as",
"a",
"great",
"investment",
"bank",
".",
"Wall",
"Street",
"is",
"understandably",
"skeptical",
".",
"Through",
"the",
"first",
"nine",
"months",
"of",
"the",
"year",
",",
"Kidder",
"ranks",
"a",
"distant",
"10th",
"among",
"underwriters",
"of",
"U.S.",
"stocks",
"and",
"bonds",
",",
"with",
"a",
"2.8",
"%",
"market",
"share",
",",
"up",
"slightly",
"from",
"2.5",
"%",
"in",
"the",
"year-earlier",
"period",
",",
"according",
"to",
"Securities",
"Data",
"Co",
".",
"It",
"'s",
"quite",
"a",
"fall",
"from",
"the",
"early",
"1980s",
",",
"when",
"Kidder",
"still",
"was",
"counted",
"as",
"an",
"investment-banking",
"powerhouse",
".",
"Gary",
"S.",
"Goldstein",
",",
"president",
"of",
"the",
"Whitney",
"Group",
",",
"an",
"executive",
"search",
"firm",
",",
"said",
":",
"``",
"I",
"'d",
"like",
"to",
"see",
"(",
"Kidder",
")",
"succeed",
".",
"But",
"they",
"have",
"to",
"attract",
"good",
"senior",
"bankers",
"who",
"can",
"bring",
"in",
"the",
"business",
"from",
"day",
"one",
".",
"''",
"In",
"1988",
",",
"Kidder",
"eked",
"out",
"a",
"$",
"46",
"million",
"profit",
",",
"mainly",
"because",
"of",
"severe",
"cost",
"cutting",
".",
"Its",
"1,400-member",
"brokerage",
"operation",
"reported",
"an",
"estimated",
"$",
"5",
"million",
"loss",
"last",
"year",
",",
"although",
"Kidder",
"expects",
"it",
"to",
"turn",
"a",
"profit",
"this",
"year",
".",
"In",
"fact",
",",
"Kidder",
"is",
"a",
"minor",
"player",
"in",
"just",
"about",
"every",
"business",
"it",
"does",
"except",
"computer-driven",
"program",
"trading",
";",
"in",
"that",
"controversial",
"business",
",",
"only",
"Morgan",
"Stanley",
"&",
"Co.",
"rivals",
"Kidder",
".",
"But",
"even",
"that",
"niche",
"is",
"under",
"attack",
",",
"as",
"several",
"Wall",
"Street",
"firms",
"pulled",
"back",
"from",
"program",
"trading",
"last",
"week",
"under",
"pressure",
"from",
"big",
"investors",
".",
"Mr.",
"Carpenter",
",",
"a",
"former",
"consulting-firm",
"executive",
"who",
"has",
"a",
"love",
"for",
"``",
"task",
"forces",
",",
"''",
"says",
"he",
"has",
"done",
"a",
"``",
"complete",
"rethink",
"''",
"of",
"Kidder",
"in",
"recent",
"months",
".",
"There",
"have",
"been",
"a",
"dizzying",
"parade",
"of",
"studies",
"of",
"the",
"firm",
"'s",
"operations",
".",
"More",
"than",
"20",
"new",
"managing",
"directors",
"and",
"senior",
"vice",
"presidents",
"have",
"been",
"hired",
"since",
"January",
".",
"The",
"firm",
"'s",
"brokerage",
"force",
"has",
"been",
"trimmed",
"and",
"its",
"mergers-and-acquisitions",
"staff",
"increased",
"to",
"a",
"record",
"55",
"people",
".",
"Mr.",
"Carpenter",
"says",
"that",
"when",
"he",
"assumes",
"full",
"control",
",",
"Kidder",
"will",
"finally",
"tap",
"the",
"resources",
"of",
"GE",
".",
"One",
"of",
"GE",
"'s",
"goals",
"when",
"it",
"bought",
"80",
"%",
"of",
"Kidder",
"in",
"1986",
"was",
"to",
"take",
"advantage",
"of",
"``",
"syngeries",
"''",
"between",
"Kidder",
"and",
"General",
"Electric",
"Capital",
"Corp.",
",",
"GE",
"'s",
"corporate-finance",
"unit",
",",
"which",
"has",
"$",
"42",
"billion",
"in",
"assets",
".",
"The",
"leveraged",
"buy-out",
"group",
"of",
"GE",
"Capital",
"now",
"reports",
"to",
"Mr.",
"Carpenter",
".",
"So",
"far",
",",
"instead",
"of",
"teaming",
"up",
",",
"GE",
"Capital",
"staffers",
"and",
"Kidder",
"investment",
"bankers",
"have",
"bickered",
".",
"Yet",
",",
"says",
"Mr.",
"Carpenter",
",",
"``",
"We",
"'ve",
"really",
"started",
"to",
"exploit",
"the",
"synergy",
"between",
"GE",
"Capital",
"and",
"Kidder",
"Peabody",
".",
"''",
"The",
"units",
"have",
"worked",
"on",
"37",
"investment",
"banking",
"deals",
"this",
"year",
",",
"he",
"says",
",",
"though",
"not",
"all",
"of",
"them",
"have",
"panned",
"out",
".",
"``",
"We",
"'ve",
"had",
"a",
"good",
"relationship",
"with",
"GE",
",",
"which",
"is",
"the",
"first",
"time",
"you",
"could",
"say",
"that",
"--",
"uh",
",",
"let",
"me",
"withdraw",
"that",
".",
"It",
"'s",
"been",
"a",
"steadily",
"improving",
"relationship",
",",
"''",
"says",
"Mr.",
"Carpenter",
".",
"Still",
",",
"without",
"many",
"actual",
"deals",
"to",
"show",
"off",
",",
"Kidder",
"is",
"left",
"to",
"stress",
"that",
"it",
"finally",
"has",
"``",
"a",
"team",
"''",
"in",
"place",
",",
"and",
"that",
"everyone",
"works",
"harder",
".",
"A",
"month",
"ago",
",",
"the",
"firm",
"started",
"serving",
"dinner",
"at",
"about",
"7:30",
"each",
"night",
";",
"about",
"50",
"to",
"60",
"of",
"the",
"350",
"people",
"in",
"the",
"investment",
"banking",
"operation",
"have",
"consistently",
"been",
"around",
"that",
"late",
".",
"``",
"We",
"are",
"working",
"significantly",
"longer",
"and",
"harder",
"than",
"has",
"been",
"the",
"case",
"in",
"the",
"past",
",",
"''",
"says",
"Scott",
"C.",
"Newquist",
",",
"Kidder",
"'s",
"head",
"of",
"investment",
"banking",
"since",
"June",
".",
"Everywhere",
",",
"Kidder",
"stresses",
"the",
"``",
"always",
"working",
"''",
"theme",
".",
"A",
"new",
"in-house",
"magazine",
",",
"Kidder",
"World",
"--",
"which",
"will",
"focus",
"on",
"the",
"firm",
"'s",
"synergy",
"strategy",
",",
"says",
"Mr.",
"Carpenter",
"--",
"confides",
"that",
"on",
"weekends",
"Mr.",
"Newquist",
"``",
"often",
"gets",
"value-added",
"ideas",
"while",
"flying",
"his",
"single-engine",
"Cessna",
"Centurion",
"on",
"the",
"way",
"to",
"Nantucket",
".",
"''",
"The",
"firm",
"'s",
"new",
"head",
"of",
"mergers",
"and",
"acquisitions",
"under",
"Mr.",
"Newquist",
",",
"B.J.",
"Megargel",
",",
"talks",
"of",
"the",
"opportunity",
"to",
"``",
"rebuild",
"a",
"franchise",
"''",
"at",
"Kidder",
".",
"``",
"The",
"Kidder",
"name",
"is",
"one",
"of",
"only",
"six",
"or",
"seven",
"that",
"every",
"CEO",
"recognizes",
"as",
"a",
"viable",
"alternative",
"''",
"when",
"considering",
"a",
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"deal",
",",
"he",
"says",
".",
"Now",
",",
"according",
"to",
"a",
"Kidder",
"World",
"story",
"about",
"Mr.",
"Megargel",
",",
"all",
"the",
"firm",
"has",
"to",
"do",
"is",
"``",
"position",
"ourselves",
"more",
"in",
"the",
"deal",
"flow",
".",
"''",
"With",
"investment",
"banking",
"as",
"Kidder",
"'s",
"``",
"lead",
"business",
",",
"''",
"where",
"do",
"Kidder",
"'s",
"42-branch",
"brokerage",
"network",
"and",
"its",
"1,400",
"brokers",
"fit",
"in",
"?",
"Mr.",
"Carpenter",
"this",
"month",
"sold",
"off",
"Kidder",
"'s",
"eight",
"brokerage",
"offices",
"in",
"Florida",
"and",
"Puerto",
"Rico",
"to",
"Merrill",
"Lynch",
"&",
"Co.",
",",
"refueling",
"speculation",
"that",
"Kidder",
"is",
"getting",
"out",
"of",
"the",
"brokerage",
"business",
"entirely",
".",
"Mr.",
"Carpenter",
"denies",
"the",
"speculation",
".",
"To",
"answer",
"the",
"brokerage",
"question",
",",
"Kidder",
",",
"in",
"typical",
"fashion",
",",
"completed",
"a",
"task-force",
"study",
".",
"The",
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":",
"Kidder",
"will",
"focus",
"on",
"rich",
"individual",
"investors",
"and",
"small",
"companies",
",",
"much",
"closer",
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"the",
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"Goldman",
",",
"Sachs",
"&",
"Co.",
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"a",
"serve-the-world",
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"like",
"Merrill",
"Lynch",
"or",
"Shearson",
"Lehman",
"Hutton",
"Inc",
".",
"Mr.",
"Carpenter",
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"that",
"these",
"types",
"of",
"investors",
"also",
"are",
"``",
"sophisticated",
"''",
"enough",
"not",
"to",
"complain",
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"Kidder",
"'s",
"aggressive",
"use",
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"program",
"trading",
".",
"As",
"part",
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"upscale",
"push",
",",
"Kidder",
"is",
"putting",
"brokers",
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",",
"turning",
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"``",
"investment",
"counselors",
"''",
"with",
"knowledge",
"of",
"corporate",
"finance",
".",
"They",
"will",
"get",
"``",
"new",
"and",
"improved",
"tools",
"to",
"sell",
",",
"particularly",
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"the",
"affluent",
"investor",
",",
"''",
"says",
"brokerage",
"chief",
"Charles",
"V.",
"Sheehan",
".",
"Theoretically",
",",
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"able",
"to",
"funnel",
"``",
"leads",
"''",
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"finance",
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"Kidder",
"'s",
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"bankers",
",",
"possibly",
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"the",
"two",
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".",
"However",
",",
"skeptics",
"caution",
"that",
"this",
"kind",
"of",
"cross-pollination",
"between",
"brokers",
"and",
"investment",
"bankers",
"looks",
"great",
"on",
"paper",
",",
"but",
"does",
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"always",
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".",
"Kidder",
"competitors",
"are",
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"outwardly",
"hostile",
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",",
"as",
"many",
"are",
"to",
"a",
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"like",
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"Burnham",
"Lambert",
"Inc.",
"that",
"does",
"n't",
"have",
"Kidder",
"'s",
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".",
"However",
",",
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"Kidder",
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"executive-level",
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",",
"some",
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",",
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".",
"The",
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"Mr.",
"Cathcart",
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"he",
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"Kidder",
"'s",
"future",
".",
"Mr.",
"Cathcart",
",",
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"to",
"the",
"Quaker",
"Oats",
"Co.",
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"directors",
",",
"in",
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"his",
"personal",
"ventures",
",",
"is",
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"some",
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"and",
"planning",
"discipline",
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"traditionally",
"free-wheeling",
"Kidder",
".",
"He",
"also",
"improved",
"the",
"firm",
"'s",
"compliance",
"procedures",
"for",
"trading",
".",
"Mr.",
"Cathcart",
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"he",
"has",
"had",
"``",
"a",
"lot",
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"fun",
"''",
"at",
"Kidder",
",",
"adding",
"the",
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"about",
"his",
"being",
"a",
"``",
"tool-and-die",
"man",
"''",
"never",
"bothered",
"him",
".",
"``",
"It",
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"an",
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"line",
"and",
"one",
"I",
"used",
"many",
"times",
",",
"''",
"he",
"says",
".",
"Smiling",
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"talks",
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"Mr.",
"Carpenter",
",",
"Mr.",
"Cathcart",
"says",
"the",
"new",
"Kidder",
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"``",
"going",
"to",
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"shortly",
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"one",
"of",
"the",
"real",
"leaders",
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"the",
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".",
"''",
"In",
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",",
"Mr.",
"Cathcart",
"says",
",",
"Kidder",
"is",
"``",
"gon",
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"hum",
".",
"''",
"Or",
",",
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",",
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",",
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":",
"``",
"We",
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"."
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[
"QVC",
"Network",
"Inc.",
"said",
"it",
"completed",
"its",
"acquisition",
"of",
"CVN",
"Cos.",
"for",
"about",
"$",
"423",
"million",
".",
"QVC",
"agreed",
"to",
"pay",
"$",
"19",
"and",
"one-eighth",
"QVC",
"share",
"for",
"each",
"of",
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"'s",
"20",
"million",
"fully",
"diluted",
"shares",
".",
"The",
"acquisition",
"brings",
"together",
"the",
"two",
"largest",
"competitors",
"to",
"Home",
"Shopping",
"Network",
"Inc.",
",",
"which",
"now",
"reaches",
"more",
"viewers",
"than",
"any",
"other",
"company",
"in",
"the",
"video",
"shopping",
"industry",
".",
"Among",
"them",
",",
"Home",
"Shopping",
",",
"QVC",
"and",
"CVN",
"already",
"control",
"most",
"of",
"that",
"young",
"and",
"fast-growing",
"market",
",",
"which",
"last",
"year",
"had",
"sales",
"of",
"about",
"$",
"1.4",
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"."
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[
"International",
"Minerals",
"&",
"Chemical",
"Corp.",
"said",
"it",
"agreed",
"definitively",
"to",
"sell",
"its",
"international",
"fragrance",
"business",
"to",
"Bayer",
"AG",
"of",
"West",
"Germany",
".",
"Terms",
"were",
"n't",
"disclosed",
".",
"The",
"maker",
"of",
"animal",
"health",
"and",
"nutrition",
"products",
"said",
"the",
"business",
",",
"Creations",
"Aromatiques",
"of",
"Port",
"Valais",
",",
"Switzerland",
",",
"and",
"Woodside",
",",
"N.Y.",
",",
"is",
"a",
"division",
"of",
"its",
"Mallinckrodt",
"Inc.",
"subsidiary",
"and",
"had",
"sales",
"of",
"about",
"$",
"30",
"million",
"for",
"its",
"most",
"recent",
"year",
".",
"International",
"Minerals",
"said",
"the",
"sale",
"will",
"allow",
"Mallinckrodt",
"to",
"focus",
"its",
"resources",
"on",
"its",
"core",
"businesses",
"of",
"medical",
"products",
",",
"specialty",
"chemicals",
"and",
"flavors",
"."
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[
"Efforts",
"by",
"the",
"Hong",
"Kong",
"Futures",
"Exchange",
"to",
"introduce",
"a",
"new",
"interest-rate",
"futures",
"contract",
"continue",
"to",
"hit",
"snags",
",",
"despite",
"the",
"support",
"the",
"proposed",
"instrument",
"enjoys",
"in",
"the",
"colony",
"'s",
"financial",
"community",
".",
"Hong",
"Kong",
"financial",
"institutions",
"have",
"been",
"waiting",
"for",
"interest-rate",
"futures",
"for",
"a",
"long",
"time",
".",
"The",
"contract",
"was",
"first",
"proposed",
"more",
"than",
"two",
"years",
"ago",
",",
"but",
"shortly",
"afterward",
",",
"the",
"colony",
"'s",
"markets",
"were",
"hit",
"hard",
"by",
"the",
"October",
"1987",
"global",
"stock",
"crash",
".",
"The",
"subsequent",
"drive",
"to",
"reform",
"Hong",
"Kong",
"'s",
"markets",
"also",
"has",
"embroiled",
"the",
"interest-rate",
"futures",
"contract",
".",
"The",
"Securities",
"and",
"Futures",
"Commission",
",",
"a",
"government",
"watchdog",
"set",
"up",
"after",
"the",
"1987",
"crash",
"to",
"try",
"to",
"restore",
"confidence",
"and",
"order",
"to",
"Hong",
"Kong",
"'s",
"markets",
",",
"had",
"been",
"expected",
"to",
"give",
"the",
"contract",
"conditional",
"approval",
"last",
"week",
".",
"But",
"regulators",
"this",
"week",
"said",
"futures-exchange",
"officials",
"still",
"have",
"a",
"way",
"to",
"go",
"before",
"they",
"answer",
"all",
"the",
"remaining",
"detailed",
"questions",
"about",
"the",
"contract",
".",
"The",
"exchange",
"had",
"forecast",
"that",
"the",
"contract",
"would",
"begin",
"trading",
"by",
"December",
".",
"But",
"securities",
"regulators",
"now",
"say",
"privately",
"that",
"it",
"is",
"n't",
"likely",
"to",
"start",
"until",
"the",
"first",
"quarter",
"of",
"next",
"year",
".",
"Analysts",
"and",
"financial",
"officials",
"in",
"the",
"British",
"colony",
"consider",
"the",
"new",
"contract",
"essential",
"to",
"the",
"revival",
"of",
"the",
"Hong",
"Kong",
"Futures",
"Exchange",
",",
"which",
"has",
"never",
"fully",
"recovered",
"from",
"the",
"October",
"1987",
"crash",
".",
"Many",
"believe",
"that",
"without",
"a",
"healthy",
"futures",
"exchange",
",",
"Hong",
"Kong",
"'s",
"aspirations",
"to",
"be",
"recognized",
"as",
"an",
"international",
"financial",
"center",
"will",
"suffer",
".",
"In",
"addition",
",",
"local",
"banks",
"say",
"the",
"new",
"contract",
"is",
"important",
"in",
"helping",
"them",
"offset",
"their",
"Hong",
"Kong-dollar",
"exposure",
".",
"The",
"contract",
"will",
"be",
"based",
"on",
"the",
"three-month",
"Hong",
"Kong",
"interbank",
"offered",
"rate",
",",
"or",
"Hibor",
".",
"It",
"is",
"almost",
"a",
"carbon",
"copy",
"of",
"the",
"Chicago",
"Mercantile",
"Exchange",
"'s",
"Eurodollar",
"contract",
",",
"which",
"is",
"based",
"on",
"the",
"three-month",
"Eurodollar",
"rate",
",",
"the",
"rate",
"paid",
"on",
"U.S.-dollar",
"deposits",
"in",
"London",
"banks",
".",
"If",
"the",
"contract",
"is",
"as",
"successful",
"as",
"some",
"expect",
",",
"it",
"may",
"do",
"much",
"to",
"restore",
"confidence",
"in",
"futures",
"trading",
"in",
"Hong",
"Kong",
".",
"``",
"The",
"contract",
"is",
"definitely",
"important",
"to",
"the",
"exchange",
",",
"''",
"says",
"Robert",
"Gilmore",
",",
"executive",
"director",
"of",
"the",
"Securities",
"and",
"Futures",
"Commission",
".",
"Two",
"years",
"ago",
",",
"the",
"futures",
"exchange",
"was",
"the",
"envy",
"of",
"other",
"would-be",
"futures",
"centers",
".",
"After",
"only",
"17",
"months",
",",
"its",
"main",
"contract",
",",
"based",
"on",
"the",
"Hang",
"Seng",
"index",
",",
"had",
"grown",
"to",
"be",
"the",
"second-largest",
"stock-index-futures",
"contract",
"in",
"the",
"world",
".",
"-LCB-",
"A",
"futures",
"contract",
"is",
"an",
"agreement",
"to",
"buy",
"or",
"sell",
"a",
"commodity",
"or",
"financial",
"instrument",
"at",
"a",
"set",
"price",
"on",
"a",
"specified",
"date",
".",
"In",
"the",
"case",
"of",
"stock-index",
"and",
"interest-rate",
"futures",
",",
"the",
"instruments",
"are",
"given",
"an",
"underlying",
"cash",
"value",
"and",
"are",
"settled",
"in",
"cash",
".",
"-RCB-",
"But",
"in",
"the",
"week",
"following",
"the",
"1987",
"stock",
"crash",
",",
"the",
"exchange",
"verged",
"on",
"collapse",
",",
"and",
"the",
"stock",
"and",
"futures",
"markets",
"in",
"Hong",
"Kong",
"were",
"closed",
"for",
"four",
"days",
".",
"Only",
"a",
"government-sponsored",
"bailout",
"kept",
"the",
"crisis",
"from",
"swallowing",
"the",
"exchange",
".",
"Trading",
"in",
"Hang",
"Seng",
"index",
"futures",
"remains",
"crippled",
"by",
"the",
"experience",
".",
"Volume",
"for",
"the",
"entire",
"month",
"of",
"September",
"totaled",
"only",
"21,687",
"contracts",
",",
"compared",
"with",
"a",
"daily",
"average",
"of",
"27,000",
"in",
"the",
"month",
"before",
"the",
"1987",
"crash",
".",
"Despite",
"the",
"thin",
"trading",
",",
"and",
"after",
"two",
"painful",
"years",
"of",
"restructuring",
",",
"the",
"futures",
"market",
"has",
"shown",
"itself",
"to",
"be",
"resilient",
"in",
"two",
"recent",
"tests",
".",
"While",
"Asian",
"markets",
"struggled",
"to",
"cope",
"with",
"the",
"uncertainty",
"caused",
"by",
"the",
"Oct.",
"13",
"plunge",
"in",
"New",
"York",
"stock",
"prices",
",",
"futures",
"trading",
"in",
"Hong",
"Kong",
"was",
"relatively",
"heavy",
"and",
"went",
"smoothly",
".",
"That",
"was",
"also",
"the",
"case",
"in",
"the",
"days",
"following",
"the",
"June",
"4",
"massacre",
"in",
"Beijing",
",",
"which",
"caused",
"a",
"sharp",
"drop",
"in",
"Hong",
"Kong",
"stock",
"prices",
".",
"``",
"There",
"was",
"no",
"problem",
"at",
"all",
",",
"''",
"says",
"Douglas",
"Ford",
",",
"chief",
"executive",
"officer",
"of",
"the",
"futures",
"exchange",
".",
"Most",
"important",
"to",
"the",
"contract",
"'s",
"success",
"is",
"the",
"commitment",
"of",
"Hong",
"Kong",
"'s",
"big",
"financial",
"institutions",
",",
"especially",
"the",
"two",
"leaders",
",",
"Hongkong",
"&",
"Shanghai",
"Banking",
"Corp.",
"and",
"the",
"local",
"subsidiary",
"of",
"Britain",
"'s",
"Standard",
"Chartered",
"Bank",
"PLC",
".",
"The",
"two",
"big",
"banks",
"were",
"instrumental",
"in",
"designing",
"the",
"new",
"contract",
".",
"``",
"If",
"those",
"two",
"banks",
"are",
"there",
",",
"then",
"the",
"balance",
"of",
"the",
"banking",
"institutions",
"will",
"be",
"there",
",",
"''",
"says",
"Mr.",
"Gilmore",
",",
"the",
"Securities",
"and",
"Futures",
"Commission",
"official",
".",
"Colony",
"banks",
"have",
"a",
"major",
"stake",
"in",
"how",
"interest",
"rates",
"move",
"because",
"of",
"their",
"enormous",
"Hong",
"Kong-dollar",
"exposure",
".",
"Even",
"though",
"the",
"currency",
"is",
"pegged",
"to",
"the",
"U.S.",
"dollar",
",",
"with",
"a",
"fixed",
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"rate",
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"currency",
",",
"the",
"U.S.",
"and",
"Hong",
"Kong",
"economies",
"do",
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"always",
"move",
"in",
"lock",
"step",
",",
"making",
"it",
"difficult",
"to",
"predict",
"where",
"interest",
"rates",
"in",
"the",
"colony",
"will",
"go",
".",
"In",
"early",
"1988",
",",
"when",
"the",
"three-month",
"Eurodollar",
"rate",
"was",
"between",
"7",
"%",
"and",
"8",
"%",
",",
"the",
"three-month",
"Hibor",
"rate",
"was",
"as",
"low",
"as",
"1",
"%",
".",
"Just",
"a",
"few",
"months",
"ago",
",",
"the",
"three-month",
"Eurodollar",
"rate",
"was",
"around",
"9.5",
"%",
",",
"while",
"three-month",
"Hibor",
"hit",
"highs",
"above",
"11",
"%",
".",
"The",
"Hibor",
"contract",
"``",
"solves",
"quite",
"a",
"bit",
"of",
"the",
"problem",
"of",
"interest-rate",
"risk",
"in",
"the",
"interbank",
"market",
",",
"''",
"says",
"Eric",
"Cheng",
",",
"a",
"director",
"of",
"James",
"Capel",
"(",
"Far",
"East",
")",
"Ltd.",
",",
"the",
"Hong",
"Kong",
"arm",
"of",
"the",
"British",
"brokerage",
"firm",
".",
"Despite",
"the",
"initial",
"support",
"expected",
",",
"trading",
"in",
"the",
"contract",
"is",
"likely",
"to",
"start",
"slowly",
".",
"The",
"wounds",
"from",
"the",
"1987",
"crash",
"have",
"n't",
"yet",
"healed",
",",
"and",
"not",
"all",
"claims",
"against",
"the",
"exchange",
"clearinghouse",
"--",
"by",
"those",
"who",
"bet",
"the",
"Hang",
"Seng",
"index",
"would",
"fall",
"--",
"have",
"been",
"settled",
".",
"Companies",
"and",
"financial",
"institutions",
"familiar",
"with",
"Hong",
"Kong",
"remain",
"wary",
"of",
"trading",
"in",
"its",
"futures",
"market",
".",
"And",
"Mr.",
"Gilmore",
"cautions",
"that",
"there",
"may",
"be",
"limits",
"on",
"how",
"much",
"the",
"contract",
"can",
"grow",
"because",
"the",
"Hong",
"Kong",
"dollar",
"is",
"n't",
"a",
"widely",
"traded",
"currency",
".",
"He",
"says",
"the",
"contract",
"will",
"be",
"considered",
"a",
"success",
"if",
"it",
"starts",
"trading",
"500",
"to",
"1,000",
"lots",
"a",
"day",
".",
"Exchange",
"officials",
"also",
"point",
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"futures",
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"institutions",
"and",
"corporations",
",",
"not",
"for",
"the",
"type",
"of",
"small",
"individual",
"investors",
"who",
"were",
"very",
"active",
"in",
"Hang",
"Seng",
"index",
"futures",
"and",
"defaulted",
"in",
"the",
"1987",
"crash",
".",
"Mr.",
"Cheng",
"says",
"the",
"low",
"margin",
"required",
"for",
"trading",
"futures",
"attracted",
"a",
"lot",
"of",
"small",
"investors",
"before",
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"1987",
"crash",
"who",
"did",
"n't",
"realize",
"that",
"their",
"risk",
"was",
"virtually",
"unlimited",
".",
"``",
"You",
"'re",
"not",
"going",
"to",
"get",
"your",
"taxi",
"drivers",
"and",
"amahs",
"and",
"all",
"that",
",",
"''",
"says",
"Rory",
"Nicholas",
",",
"a",
"director",
"for",
"securities",
"company",
"Elders",
"Bullion",
"&",
"Futures",
"Ltd",
".",
"That",
"should",
"help",
"to",
"inspire",
"confidence",
",",
"Mr.",
"Gilmore",
"says",
".",
"But",
"many",
"bankers",
"remain",
"nervous",
",",
"especially",
"as",
"the",
"start-up",
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"the",
"contract",
"continues",
"to",
"be",
"delayed",
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[
"Stanislav",
"Ovcharenko",
",",
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",",
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".",
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",",
"Mr.",
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"``",
"just",
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"''",
":",
"First",
",",
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",",
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",",
"the",
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",",
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"Boeing",
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".",
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"Lingus",
",",
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",",
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".",
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",",
"he",
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".",
"Aer",
"Rianta",
",",
"the",
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",",
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",",
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".",
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".",
"Have",
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"to",
"Mr.",
"Ovcharenko",
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"?",
"Hardly",
".",
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"GPA",
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".",
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".",
"Unlikely",
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",",
"tiny",
",",
"politically",
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"Ireland",
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".",
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",",
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",",
"the",
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".",
"``",
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",",
"''",
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"Mr.",
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".",
"``",
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".",
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".",
"''",
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",",
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".",
"``",
"We",
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",",
"''",
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".",
"``",
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".",
"''",
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",",
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",",
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",",
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"250,000",
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"An",
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"The",
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".",
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"unload",
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"a",
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"farm",
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"the",
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".",
"What",
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"Ilyushins",
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",",
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"11",
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",",
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".",
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",",
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",",
"preserving",
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".",
"That",
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".",
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",",
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",",
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",",
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[
"In",
"this",
"era",
"of",
"frantic",
"competition",
"for",
"ad",
"dollars",
",",
"a",
"lot",
"of",
"revenue-desperate",
"magazines",
"are",
"getting",
"pretty",
"cozy",
"with",
"advertisers",
"--",
"fawning",
"over",
"them",
"in",
"articles",
"and",
"offering",
"pages",
"of",
"advertorial",
"space",
".",
"So",
"can",
"a",
"magazine",
"survive",
"by",
"downright",
"thumbing",
"its",
"nose",
"at",
"major",
"advertisers",
"?",
"Garbage",
"magazine",
",",
"billed",
"as",
"``",
"The",
"Practical",
"Journal",
"for",
"the",
"Environment",
",",
"''",
"is",
"about",
"to",
"find",
"out",
".",
"Founded",
"by",
"Brooklyn",
",",
"N.Y.",
",",
"publishing",
"entrepreneur",
"Patricia",
"Poore",
",",
"Garbage",
"made",
"its",
"debut",
"this",
"fall",
"with",
"the",
"promise",
"to",
"give",
"consumers",
"the",
"straight",
"scoop",
"on",
"the",
"U.S.",
"waste",
"crisis",
".",
"The",
"magazine",
"combines",
"how-to",
"pieces",
"on",
"topics",
"like",
"backyard",
"composting",
",",
"explanatory",
"essays",
"on",
"such",
"things",
"as",
"what",
"happens",
"after",
"you",
"flush",
"your",
"toilet",
",",
"and",
"hard-hitting",
"pieces",
"on",
"alleged",
"environmental",
"offenders",
".",
"Garbage",
"editors",
"have",
"dumped",
"considerable",
"energy",
"into",
"a",
"whirling",
"rampage",
"through",
"supermarket",
"aisles",
"in",
"a",
"bid",
"to",
"identify",
"corporate",
"America",
"'s",
"good",
"guys",
"and",
"bad",
"boys",
".",
"In",
"one",
"feature",
",",
"called",
"``",
"In",
"the",
"Dumpster",
",",
"''",
"editors",
"point",
"out",
"a",
"product",
"they",
"deem",
"to",
"be",
"a",
"particularly",
"bad",
"offender",
".",
"From",
"an",
"advertising",
"standpoint",
",",
"the",
"problem",
"is",
"these",
"offenders",
"are",
"likely",
"to",
"be",
"some",
"of",
"the",
"same",
"folks",
"that",
"are",
"major",
"magazine",
"advertisers",
"these",
"days",
".",
"With",
"only",
"two",
"issues",
"under",
"its",
"belt",
",",
"Garbage",
"has",
"alienated",
"some",
"would-be",
"advertisers",
"and",
"raised",
"the",
"ire",
"of",
"others",
".",
"Campbell",
"Soup",
",",
"for",
"one",
",",
"is",
"furious",
"its",
"Souper",
"Combo",
"microwave",
"product",
"was",
"chastised",
"in",
"the",
"premiere",
"``",
"In",
"the",
"Dumpster",
"''",
"column",
".",
"The",
"magazine",
"'s",
"editors",
"ran",
"a",
"giant",
"diagram",
"of",
"the",
"product",
"with",
"arrows",
"pointing",
"to",
"the",
"packaging",
"'s",
"polystyrene",
"foam",
",",
"polyproplene",
"and",
"polyester",
"film",
"--",
"all",
"plastic",
"items",
"they",
"say",
"are",
"non-biodegradable",
".",
"``",
"It",
"'s",
"precisely",
"the",
"kind",
"of",
"product",
"that",
"'s",
"created",
"the",
"municipal",
"landfill",
"monster",
",",
"''",
"the",
"editors",
"wrote",
".",
"``",
"I",
"think",
"that",
"this",
"magazine",
"is",
"not",
"only",
"called",
"Garbage",
",",
"but",
"it",
"is",
"practicing",
"journalistic",
"garbage",
",",
"''",
"fumes",
"a",
"spokesman",
"for",
"Campbell",
"Soup",
".",
"He",
"says",
"Campbell",
"was",
"n't",
"even",
"contacted",
"by",
"the",
"magazine",
"for",
"the",
"opportunity",
"to",
"comment",
".",
"Modifications",
"had",
"been",
"made",
"to",
"the",
"Souper",
"Combo",
"product",
"at",
"the",
"time",
"the",
"issue",
"was",
"printed",
",",
"he",
"says",
",",
"making",
"it",
"less",
"an",
"offender",
"than",
"was",
"portrayed",
".",
"He",
"admits",
",",
"though",
",",
"it",
"is",
"n't",
"one",
"of",
"Campbell",
"Soup",
"'s",
"better",
"products",
"in",
"terms",
"of",
"recyclability",
".",
"Campbell",
"Soup",
",",
"not",
"surprisingly",
",",
"does",
"n't",
"have",
"any",
"plans",
"to",
"advertise",
"in",
"the",
"magazine",
",",
"according",
"to",
"its",
"spokesman",
".",
"Some",
"media",
"experts",
"question",
"whether",
"a",
"young",
"magazine",
"can",
"risk",
"turning",
"off",
"Madison",
"Avenue",
"'s",
"big",
"spenders",
".",
"``",
"You",
"really",
"need",
"the",
"Campbell",
"Soups",
"of",
"the",
"world",
"to",
"be",
"interested",
"in",
"your",
"magazine",
"if",
"you",
"'re",
"going",
"to",
"make",
"a",
"run",
"of",
"it",
",",
"''",
"says",
"Mike",
"White",
",",
"senior",
"vice",
"president",
"and",
"media",
"director",
"at",
"DDB",
"Needham",
",",
"Chicago",
".",
"``",
"The",
"economics",
"of",
"magazine",
"publishing",
"pretty",
"much",
"require",
"that",
"you",
"have",
"a",
"pretty",
"solid",
"base",
"''",
"of",
"big-time",
"ad",
"spenders",
",",
"he",
"adds",
".",
"The",
"first",
"two",
"issues",
"featured",
"ads",
"from",
"only",
"a",
"handful",
"of",
"big",
"advertisers",
",",
"including",
"General",
"Electric",
"and",
"Adolph",
"Coors",
",",
"but",
"the",
"majority",
"were",
"from",
"companies",
"like",
"Waste",
"Management",
"Inc.",
"and",
"Bumkins",
"International",
",",
"firms",
"that",
"do",
"n't",
"spend",
"much",
"money",
"advertising",
"and",
"ca",
"n't",
"be",
"relied",
"on",
"to",
"support",
"a",
"magazine",
"over",
"the",
"long",
"haul",
".",
"A",
"Waste",
"Management",
"spokeswoman",
"says",
"its",
"ad",
"in",
"the",
"premiere",
"issue",
"was",
"a",
"one-time",
"purchase",
",",
"and",
"it",
"does",
"n't",
"have",
"any",
"plans",
"to",
"advertise",
"in",
"future",
"issues",
".",
"``",
"We",
"do",
"n't",
"spend",
"much",
"on",
"print",
"advertising",
",",
"''",
"she",
"says",
".",
"But",
"Ms.",
"Poore",
",",
"the",
"magazine",
"'s",
"editor",
"and",
"publisher",
",",
"contends",
"Garbage",
"can",
"survive",
",",
"at",
"least",
"initially",
",",
"on",
"subscription",
"revenues",
".",
"Individual",
"copies",
"of",
"the",
"magazine",
"sell",
"for",
"$",
"2.95",
"and",
"yearly",
"subscriptions",
"cost",
"$",
"21",
".",
"(",
"It",
"is",
",",
"of",
"course",
",",
"printed",
"on",
"recycled",
"paper",
".",
")",
"According",
"to",
"Ms.",
"Poore",
",",
"Old-House",
"Journal",
"Corp.",
",",
"her",
"publishing",
"company",
",",
"printed",
"and",
"sold",
"all",
"126,000",
"copies",
"of",
"the",
"premiere",
"issue",
".",
"The",
"first",
"and",
"second",
"issues",
"sold",
"out",
"on",
"newsstands",
",",
"she",
"says",
",",
"and",
"the",
"magazine",
"has",
"orders",
"for",
"93,000",
"subscriptions",
".",
"Asked",
"whether",
"potential",
"advertisers",
"will",
"be",
"scared",
"away",
"by",
"the",
"magazine",
"'s",
"direct",
"policy",
",",
"Ms.",
"Poore",
"replies",
":",
"``",
"I",
"do",
"n't",
"know",
"and",
"I",
"do",
"n't",
"care",
".",
"I",
"'m",
"not",
"saying",
"advertising",
"revenue",
"is",
"n't",
"important",
",",
"''",
"she",
"says",
",",
"``",
"but",
"I",
"could",
"n't",
"sleep",
"at",
"night",
"''",
"if",
"the",
"magazine",
"bowed",
"to",
"a",
"company",
"because",
"they",
"once",
"took",
"out",
"an",
"ad",
".",
"Ad",
"Notes",
"...",
".",
"INTERPUBLIC",
"ON",
"TV",
":",
"Interpublic",
"Group",
"said",
"its",
"television",
"programming",
"operations",
"--",
"which",
"it",
"expanded",
"earlier",
"this",
"year",
"--",
"agreed",
"to",
"supply",
"more",
"than",
"4,000",
"hours",
"of",
"original",
"programming",
"across",
"Europe",
"in",
"1990",
".",
"It",
"said",
"the",
"programs",
",",
"largely",
"game",
"shows",
",",
"will",
"be",
"provided",
"by",
"its",
"E.C.",
"Television",
"unit",
"along",
"with",
"Fremantle",
"International",
",",
"a",
"producer",
"and",
"distributor",
"of",
"game",
"shows",
"of",
"which",
"it",
"recently",
"bought",
"49",
"%",
".",
"It",
"said",
"that",
"volume",
"makes",
"it",
"the",
"largest",
"supplier",
"of",
"original",
"TV",
"programming",
"in",
"Europe",
".",
"Interpublic",
"is",
"providing",
"the",
"programming",
"in",
"return",
"for",
"advertising",
"time",
",",
"which",
"it",
"said",
"will",
"be",
"valued",
"at",
"more",
"than",
"$",
"75",
"million",
"in",
"1990",
"and",
"$",
"150",
"million",
"in",
"1991",
".",
"It",
"plans",
"to",
"sell",
"the",
"ad",
"time",
"to",
"its",
"clients",
"at",
"a",
"discount",
".",
"NEW",
"ACCOUNT",
":",
"CoreStates",
"Financial",
"Corp.",
",",
"Philadelphia",
",",
"named",
"Earle",
"Palmer",
"Brown",
"&",
"Spiro",
",",
"Philadelphia",
",",
"as",
"agency",
"of",
"record",
"for",
"its",
"$",
"5",
"million",
"account",
".",
"The",
"business",
"had",
"been",
"handled",
"by",
"VanSant",
"Dugdale",
",",
"Baltimore",
".",
"AT&T",
"FAX",
":",
"American",
"Telephone",
"&",
"Telegraph",
"'s",
"General",
"Business",
"Systems",
"division",
",",
"New",
"York",
",",
"awarded",
"the",
"ad",
"account",
"for",
"its",
"Fax",
"product",
"line",
"to",
"Ogilvy",
"&",
"Mather",
",",
"New",
"York",
",",
"a",
"WPP",
"Group",
"agency",
".",
"Billings",
"were",
"n't",
"disclosed",
"for",
"the",
"small",
"account",
",",
"which",
"had",
"been",
"serviced",
"at",
"Young",
"&",
"Rubicam",
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",",
"AMR",
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"2.73",
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"2.33",
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"Tim",
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"``",
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[
"The",
"Treasury",
"plans",
"to",
"raise",
"$",
"1.8",
"billion",
"in",
"new",
"cash",
"with",
"the",
"sale",
"Monday",
"of",
"about",
"$",
"15.6",
"billion",
"in",
"short-term",
"bills",
"to",
"redeem",
"$",
"13.81",
"billion",
"in",
"maturing",
"bills",
".",
"The",
"offering",
"will",
"be",
"divided",
"evenly",
"between",
"13-week",
"and",
"26-week",
"bills",
"maturing",
"Feb.",
"1",
",",
"1990",
",",
"and",
"May",
"3",
",",
"1990",
",",
"respectively",
".",
"Tenders",
"for",
"the",
"bills",
",",
"available",
"in",
"minimum",
"$",
"10,000",
"denominations",
",",
"must",
"be",
"received",
"by",
"1",
"p.m.",
"EST",
"Monday",
"at",
"the",
"Treasury",
"or",
"at",
"Federal",
"Reserve",
"banks",
"or",
"branches",
".",
"The",
"Treasury",
"said",
"it",
"will",
"alter",
"the",
"auctions",
"unless",
"it",
"has",
"assurance",
"of",
"enactment",
"of",
"legislation",
"to",
"raise",
"the",
"statutory",
"debt",
"limit",
"before",
"the",
"scheduled",
"auctions",
"Monday",
"."
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[
"McCaw",
"Cellular",
"Communications",
"Inc.",
"said",
"it",
"obtained",
"``",
"firm",
"''",
"financing",
"commitments",
"from",
"three",
"major",
"banks",
"in",
"regard",
"to",
"its",
"offer",
"for",
"50.3",
"%",
"of",
"LIN",
"Broadcasting",
"Corp",
".",
"Morgan",
"Guaranty",
"Trust",
",",
"Toronto-Dominion",
"Bank",
"and",
"Provident",
"National",
"Bank",
",",
"an",
"affiliate",
"of",
"PNC",
"Financial",
"Corp.",
",",
"jointly",
"committed",
"$",
"1.2",
"billion",
"of",
"financing",
",",
"subject",
"to",
"certain",
"conditions",
",",
"McCaw",
"said",
".",
"Further",
",",
"McCaw",
"said",
"the",
"banks",
"expressed",
"confidence",
"that",
"the",
"balance",
"of",
"the",
"$",
"4.5",
"billion",
"bank",
"facility",
"will",
"be",
"committed",
"within",
"the",
"next",
"several",
"weeks",
"by",
"a",
"syndicate",
"of",
"foreign",
"and",
"domestic",
"banks",
".",
"Morgan",
",",
"Toronto-Dominion",
"and",
"Provident",
"are",
"leading",
"that",
"syndicate",
".",
"McCaw",
"is",
"offering",
"to",
"buy",
"22",
"million",
"shares",
"of",
"LIN",
"for",
"$",
"125",
"each",
"in",
"cash",
",",
"which",
"would",
"result",
"in",
"McCaw",
"owning",
"50.3",
"%",
"of",
"the",
"cellular-phone",
"and",
"broadcasting",
"concern",
".",
"The",
"offer",
"is",
"in",
"limbo",
",",
"however",
",",
"because",
"LIN",
"has",
"agreed",
"to",
"merge",
"its",
"cellular-phone",
"businesses",
"with",
"BellSouth",
"Corp",
".",
"In",
"national",
"over-the-counter",
"trading",
"Friday",
",",
"LIN",
"shares",
"rose",
"62.5",
"cents",
"to",
"close",
"at",
"$",
"110.625",
".",
"Beijing",
"lawmakers",
"have",
"called",
"for",
"jails",
"to",
"be",
"built",
"to",
"house",
"prostitutes",
"and",
"for",
"severe",
"punishment",
",",
"including",
"the",
"death",
"sentence",
",",
"for",
"anyone",
"who",
"induces",
"or",
"coerces",
"women",
"into",
"prostitution",
".",
"The",
"official",
"Xinhua",
"News",
"Agency",
"said",
"the",
"municipal",
"government",
"was",
"discussing",
"a",
"draft",
"bill",
"to",
"give",
"the",
"capital",
"its",
"first",
"anti-prostitution",
"statutes",
".",
"It",
"quoted",
"Liu",
"Changyi",
",",
"deputy",
"director",
"of",
"the",
"Beijing",
"Public",
"Security",
"Bureau",
",",
"as",
"saying",
"that",
"there",
"were",
"many",
"more",
"people",
"involved",
"in",
"prostitution",
"now",
"than",
"in",
"1985",
",",
"when",
"there",
"were",
"about",
"100",
"cases",
".",
"Foreigners",
"involved",
"in",
"prostitution",
"will",
"be",
"punished",
"according",
"to",
"the",
"law",
",",
"and",
"those",
"with",
"sexually",
"transmitted",
"diseases",
"will",
"be",
"expelled",
"from",
"the",
"country",
",",
"according",
"to",
"the",
"regulations",
".",
"The",
"Communists",
"nearly",
"succeeded",
"in",
"eliminating",
"prostitution",
"after",
"taking",
"over",
"in",
"1949",
",",
"but",
"the",
"practice",
"has",
"returned",
"in",
"recent",
"years",
"with",
"the",
"country",
"'s",
"increased",
"exposure",
"to",
"the",
"outside",
"world",
".",
"Japan",
"agreed",
"to",
"enforce",
"a",
"decision",
"by",
"an",
"international",
"wildlife",
"conference",
"to",
"ban",
"all",
"trade",
"in",
"ivory",
",",
"a",
"spokesman",
"for",
"the",
"Ministry",
"of",
"International",
"Trade",
"and",
"Industry",
"said",
".",
"Earlier",
",",
"Japan",
"had",
"said",
"it",
"might",
"file",
"a",
"reservation",
"against",
"the",
"ivory",
"ban",
"decided",
"by",
"ballot",
"at",
"the",
"103-nation",
"United",
"Nations",
"Conference",
"on",
"International",
"Trade",
"in",
"Endangered",
"Species",
"in",
"Switzerland",
"last",
"week",
".",
"The",
"Japanese",
"use",
"40",
"%",
"of",
"the",
"world",
"'s",
"ivory",
".",
"Italy",
"should",
"close",
"the",
"Leaning",
"Tower",
"of",
"Pisa",
"because",
"it",
"'s",
"a",
"danger",
"to",
"tourists",
",",
"government-appointed",
"experts",
"said",
".",
"``",
"In",
"some",
"places",
"the",
"stonework",
"is",
"so",
"damaged",
"it",
"shows",
"signs",
"of",
"breaking",
"off",
",",
"''",
"scientists",
"and",
"technicians",
"said",
"in",
"a",
"report",
"to",
"Public",
"Works",
"Minister",
"Giovanni",
"Prandini",
".",
"Each",
"year",
",",
"nearly",
"a",
"million",
"people",
"pay",
"about",
"$",
"3",
"to",
"make",
"the",
"spiral",
"climb",
"up",
"294",
"steps",
"to",
"the",
"top",
"of",
"the",
"800-year-old",
"marble",
"tower",
".",
"East",
"Germany",
"pledged",
"to",
"reduce",
"alcohol",
"consumption",
"by",
"boosting",
"production",
"of",
"soft",
"drinks",
"and",
"fruit",
"juices",
".",
"Trade",
"and",
"Supply",
"Minister",
"Gerhard",
"Briksa",
"said",
"in",
"a",
"letter",
"published",
"in",
"the",
"youth",
"daily",
"Junge",
"Welt",
"that",
"the",
"rise",
"in",
"alcohol",
"consumption",
"in",
"East",
"Germany",
"had",
"been",
"halted",
";",
"but",
"to",
"reduce",
"it",
"further",
",",
"he",
"said",
",",
"production",
"and",
"supply",
"of",
"other",
"beverages",
",",
"including",
"fruit",
"juices",
",",
"should",
"be",
"stepped",
"up",
".",
"He",
"added",
"that",
"shops",
"will",
"have",
"to",
"continue",
"reducing",
"their",
"stocks",
"of",
"liquor",
"and",
"avoid",
"displaying",
"them",
"too",
"prominently",
"in",
"the",
"window",
".",
"Hong",
"Kong",
"has",
"built",
"a",
"detention",
"center",
"for",
"illegal",
"immigrants",
"from",
"China",
"because",
"China",
"has",
"refused",
"for",
"the",
"past",
"two",
"weeks",
"to",
"accept",
"them",
"back",
".",
"The",
"center",
",",
"close",
"to",
"Hong",
"Kong",
"'s",
"border",
"with",
"China",
",",
"will",
"be",
"ready",
"today",
"and",
"will",
"be",
"able",
"to",
"house",
"1,000",
"inmates",
",",
"Police",
"Deputy",
"Director",
"Peter",
"Wong",
"said",
".",
"The",
"dispute",
"started",
"when",
"China",
",",
"angry",
"that",
"Hong",
"Kong",
"had",
"allowed",
"dissident",
"swimmer",
"Yang",
"Yang",
"to",
"flee",
"to",
"the",
"U.S.",
",",
"halted",
"the",
"usual",
"daily",
"transfer",
"of",
"illegal",
"immigrants",
"caught",
"in",
"this",
"British",
"colony",
",",
"which",
"reverts",
"to",
"Beijing",
"'s",
"control",
"in",
"1997",
".",
"Sweating",
"under",
"the",
"glare",
"of",
"newly",
"installed",
"television",
"lights",
",",
"British",
"members",
"of",
"Parliament",
"demanded",
"a",
"halt",
"to",
"the",
"experimental",
"televising",
"of",
"debates",
".",
"A",
"group",
"of",
"senior",
"Conservative",
"legislators",
",",
"complaining",
"the",
"House",
"of",
"Commons",
"was",
"like",
"a",
"sauna",
",",
"demanded",
"that",
"the",
"experiment",
"be",
"stopped",
"unless",
"the",
"intensity",
"of",
"the",
"lights",
"is",
"reduced",
".",
"One",
"Conservative",
"MP",
",",
"David",
"Wilshire",
",",
"said",
":",
"``",
"I",
"should",
"have",
"a",
"wonderful",
"suntan",
"by",
"Christmas",
".",
"''",
"Debates",
"are",
"due",
"to",
"be",
"broadcast",
"nationally",
"starting",
"Nov.",
"21",
"in",
"a",
"six-month",
"experiment",
".",
"A",
"majority",
"of",
"Japanese",
"banks",
"are",
"said",
"to",
"be",
"wary",
"of",
"making",
"new",
"loans",
"to",
"Mexico",
"under",
"the",
"Brady",
"plan",
"because",
"they",
"'re",
"uncertain",
"the",
"Mexican",
"economy",
"will",
"remain",
"stable",
".",
"Instead",
",",
"many",
"small",
"and",
"medium-sized",
"banks",
",",
"and",
"some",
"larger",
"ones",
",",
"are",
"likely",
"to",
"take",
"one",
"of",
"the",
"other",
"two",
"options",
"open",
"to",
"them",
"under",
"the",
"plan",
",",
"Japanese",
"banking",
"officials",
"said",
".",
"The",
"plan",
",",
"proposed",
"by",
"U.S.",
"Secretary",
"of",
"State",
"Nicholas",
"Brady",
",",
"calls",
"for",
"banks",
"either",
"to",
"make",
"new",
"loans",
"or",
"to",
"reduce",
"the",
"principle",
"on",
"existing",
"loans",
"or",
"to",
"cut",
"the",
"interest",
"rate",
"on",
"those",
"existing",
"loans",
".",
"The",
"officials",
"said",
"that",
"most",
"Japanese",
"banks",
"prefer",
"the",
"losses",
"they",
"'d",
"suffer",
"in",
"either",
"of",
"the",
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"discount",
"rate",
",",
"currently",
"7",
"%",
",",
"is",
"the",
"rate",
"the",
"Fed",
"charges",
"member",
"banks",
"for",
"loans",
",",
"using",
"government",
"securities",
"as",
"collateral",
".",
"He",
"expects",
"such",
"a",
"cut",
"``",
"because",
"of",
"problems",
"in",
"several",
"sectors",
"of",
"the",
"economy",
",",
"particularly",
"real",
"estate",
"and",
"automobiles",
".",
"''",
"Bolstering",
"his",
"argument",
",",
"the",
"Commerce",
"Department",
"reported",
"yesterday",
"that",
"new",
"home",
"sales",
"for",
"September",
"were",
"down",
"14",
"%",
"from",
"August",
"'s",
"revised",
"3.1",
"%",
"fall",
".",
"The",
"drop",
"marked",
"the",
"largest",
"monthly",
"tumble",
"since",
"a",
"19",
"%",
"slide",
"in",
"January",
"1982",
".",
"In",
"last",
"month",
"'s",
"survey",
",",
"a",
"number",
"of",
"currency",
"analysts",
"predicted",
"the",
"dollar",
"would",
"be",
"pressured",
"by",
"a",
"narrowing",
"of",
"interest",
"rate",
"differentials",
"between",
"the",
"U.S.",
"and",
"West",
"Germany",
".",
"Indeed",
",",
"in",
"early",
"October",
"the",
"West",
"German",
"central",
"bank",
"raised",
"its",
"discount",
"and",
"Lombard",
"rates",
"by",
"a",
"full",
"percentage",
"point",
".",
"Several",
"other",
"European",
"central",
"banks",
",",
"notably",
"in",
"Britain",
",",
"followed",
"the",
"West",
"German",
"Bundesbank",
"'s",
"lead",
"by",
"raising",
"their",
"own",
"key",
"rates",
".",
"And",
"a",
"week",
"later",
",",
"Japan",
"raised",
"its",
"official",
"discount",
"rate",
"by",
"a",
"half",
"point",
"to",
"3.75",
"%",
".",
"The",
"Japanese",
"discount",
"rate",
"is",
"the",
"central",
"bank",
"'s",
"base",
"rate",
"on",
"loans",
"to",
"commercial",
"banks",
".",
"After",
"a",
"surprisingly",
"sharp",
"widening",
"in",
"the",
"U.S.",
"August",
"merchandise",
"trade",
"deficit",
"--",
"$",
"10.77",
"billion",
"from",
"a",
"revised",
"$",
"8.24",
"billion",
"in",
"July",
"and",
"well",
"above",
"expectations",
"--",
"and",
"a",
"startling",
"190-point",
"drop",
"in",
"stock",
"prices",
"on",
"Oct.",
"13",
",",
"the",
"Federal",
"Reserve",
"relaxed",
"short-term",
"interest",
"rates",
",",
"knocking",
"fed",
"funds",
"from",
"around",
"9",
"%",
"to",
"8",
"3/4",
"%",
".",
"But",
"predictions",
"that",
"central",
"banks",
"of",
"the",
"Group",
"of",
"Seven",
"(",
"G-7",
")",
"major",
"industrial",
"nations",
"would",
"continue",
"their",
"massive",
"dollar",
"sales",
"went",
"astray",
",",
"as",
"the",
"market",
"drove",
"the",
"dollar",
"downward",
"on",
"its",
"own",
",",
"reacting",
"to",
"Wall",
"Street",
"'s",
"plunge",
"and",
"subsequent",
"price",
"volatility",
",",
"lower",
"U.S.",
"interest",
"rates",
"and",
"signs",
"of",
"a",
"slowing",
"U.S.",
"economy",
".",
"G-7",
"consists",
"of",
"the",
"U.S.",
",",
"Japan",
",",
"Britain",
",",
"West",
"Germany",
",",
"Canada",
",",
"France",
"and",
"Italy",
".",
"Tomoshige",
"Kakita",
",",
"senior",
"deputy",
"manager",
"in",
"the",
"treasury",
"department",
"of",
"Mitsui",
"Bank",
"Ltd.",
"in",
"Tokyo",
",",
"suggested",
"that",
"uncertainty",
"about",
"U.S.",
"stocks",
"and",
"bonds",
"has",
"made",
"Japanese",
"investors",
"leery",
"of",
"holding",
"those",
"securities",
"in",
"the",
"near",
"term",
",",
"thus",
"damping",
"dollar",
"demand",
".",
"But",
",",
"Mr.",
"Kakita",
"added",
",",
"once",
"U.S.",
"equities",
"regain",
"some",
"stability",
",",
"players",
"will",
"move",
"back",
"into",
"dollar-denominated",
"investments",
",",
"especially",
"Treasury",
"bonds",
",",
"whose",
"value",
"rises",
"when",
"interest",
"rates",
"decline",
".",
"Mr.",
"Kakita",
"said",
"the",
"key",
"dollar-yen",
"exchange",
"rate",
"is",
"at",
"135",
"yen",
".",
"``",
"If",
"135",
"is",
"broken",
",",
"some",
"panic",
"will",
"be",
"seen",
",",
"''",
"he",
"predicted",
",",
"explaining",
"that",
"Japanese",
"institutions",
"are",
"comfortable",
"with",
"the",
"dollar",
"anywhere",
"between",
"current",
"levels",
"and",
"135",
"yen",
".",
"Jens-Uwe",
"Fischer",
",",
"a",
"senior",
"trader",
"at",
"Manufacturers",
"Hanover",
"Trust",
"Co.",
"in",
"Frankfurt",
",",
"said",
"he",
"expects",
"the",
"dollar",
"to",
"recover",
"within",
"the",
"next",
"three",
"months",
"to",
"around",
"1.88",
"marks",
"as",
"U.S.",
"economic",
"data",
",",
"particularly",
"U.S.",
"trade",
"figures",
",",
"level",
"off",
".",
"He",
"contended",
"that",
"the",
"Fed",
"wo",
"n't",
"ease",
"rates",
"further",
",",
"but",
"predicted",
"Bundesbank",
"officials",
"will",
"relax",
"key",
"rates",
"in",
"West",
"Germany",
".",
"Alfred",
"Zapfel",
",",
"chief",
"trader",
"at",
"Bank",
"of",
"Boston",
"in",
"Frankfurt",
",",
"took",
"an",
"opposite",
"stance",
".",
"He",
"said",
"he",
"expects",
"U.S.",
"interest",
"rates",
"to",
"decline",
",",
"dragging",
"the",
"dollar",
"down",
"to",
"around",
"1.80",
"marks",
"by",
"the",
"end",
"of",
"January",
"after",
"a",
"short-lived",
"dash",
"to",
"1.87",
"marks",
"by",
"the",
"end",
"of",
"November",
".",
"West",
"German",
"interest",
"rates",
",",
"he",
"said",
",",
"will",
"remain",
"unchanged",
".",
"``",
"But",
"I",
"'m",
"not",
"one",
"of",
"these",
"great",
"dollar",
"bears",
"you",
"see",
"more",
"of",
"these",
"days",
",",
"''",
"Mr.",
"Zapfel",
"said",
".",
"``",
"I",
"ca",
"n't",
"really",
"see",
"it",
"dropping",
"far",
"below",
"1.80",
"marks",
".",
"''",
"Scott",
"Greene",
",",
"chief",
"foreign",
"exchange",
"dealer",
"with",
"Julius",
"Baer",
"&",
"Co.",
"in",
"New",
"York",
",",
"fits",
"the",
"description",
"of",
"a",
"``",
"great",
"dollar",
"bear",
".",
"''",
"He",
"predicted",
"the",
"U.S.",
"unit",
"will",
"skid",
"below",
"1.80",
"marks",
"to",
"around",
"1.78",
"marks",
"this",
"month",
"and",
"1.75",
"marks",
"by",
"the",
"beginning",
"of",
"the",
"new",
"year",
".",
"``",
"We",
"'re",
"finally",
"seeing",
"the",
"culmination",
"of",
"all",
"the",
"recessionary",
"buildup",
"of",
"the",
"last",
"few",
"months",
",",
"''",
"he",
"said",
",",
"noting",
"a",
"continuing",
"downward",
"trend",
"in",
"U.S.",
"interest",
"rates",
",",
"a",
"shaky",
"stock",
"market",
"and",
"``",
"gloomier",
"economic",
"times",
"ahead",
"''",
"all",
"signal",
"a",
"significantly",
"lower",
"dollar",
".",
"In",
"the",
"wake",
"of",
"British",
"Chancellor",
"of",
"the",
"Exchequer",
"Nigel",
"Lawson",
"'s",
"surprise",
"resignation",
"and",
"sterling",
"'s",
"subsequent",
"nose-dive",
",",
"most",
"analysts",
"had",
"little",
"good",
"to",
"say",
"about",
"the",
"pound",
"'s",
"near-term",
"prospects",
".",
"Mr.",
"Owen",
"of",
"Kleinwort",
"Benson",
"suggested",
"that",
"the",
"new",
"chancellor",
",",
"John",
"Major",
",",
"will",
"take",
"a",
"tough",
"line",
"in",
"his",
"autumn",
"statement",
"later",
"this",
"month",
",",
"helping",
"to",
"underpin",
"the",
"pound",
".",
"But",
",",
"he",
"warned",
",",
"the",
"currency",
"will",
"remain",
"at",
"risk",
".",
"On",
"the",
"Commodity",
"Exchange",
"in",
"New",
"York",
",",
"gold",
"for",
"current",
"delivery",
"dropped",
"$",
"3.10",
"to",
"$",
"374.70",
"an",
"ounce",
"in",
"moderate",
"trading",
".",
"Estimated",
"volume",
"was",
"3.5",
"million",
"ounces",
".",
"In",
"early",
"trading",
"in",
"Hong",
"Kong",
"Wednesday",
",",
"gold",
"was",
"quoted",
"at",
"$",
"373.80",
"an",
"ounce",
".",
"Christopher",
"Hill",
"in",
"Tokyo",
",",
"Nicholas",
"Hastings",
"in",
"London",
",",
"Erik",
"Kirschbaum",
"in",
"Frankfurt",
"and",
"Caitlin",
"Randall",
"and",
"Douglas",
"Appell",
"in",
"New",
"York",
"contributed",
"to",
"this",
"article",
"."
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] |
[
"Melvin",
"Belli",
"'s",
"San",
"Francisco",
"law",
"offices",
"may",
"have",
"been",
"the",
"epicenter",
"of",
"legal",
"activity",
"after",
"Tuesday",
"'s",
"earthquake",
".",
"In",
"the",
"first",
"25",
"minutes",
"after",
"his",
"office",
"'s",
"telephone",
"service",
"was",
"restored",
"yesterday",
"morning",
",",
"17",
"potential",
"clients",
"had",
"called",
"seeking",
"the",
"services",
"of",
"the",
"self-proclaimed",
"King",
"of",
"Torts",
".",
"Mr.",
"Belli",
",",
"like",
"many",
"other",
"personal-injury",
"lawyers",
",",
"suspects",
"that",
"the",
"earthquake",
",",
"which",
"measured",
"6.9",
"on",
"the",
"Richter",
"scale",
",",
"will",
"generate",
"enough",
"lawsuits",
"to",
"keep",
"this",
"city",
"'s",
"personal-injury",
"and",
"construction",
"lawyers",
"busy",
"for",
"quite",
"some",
"time",
".",
"Suits",
"are",
"likely",
"to",
"be",
"filed",
"against",
"engineering",
"firms",
",",
"contractors",
"and",
"developers",
",",
"as",
"well",
"as",
"against",
"local-government",
"agencies",
".",
"But",
"lawyers",
"looking",
"to",
"cash",
"in",
"on",
"the",
"quake",
"may",
"have",
"a",
"tough",
"time",
"once",
"their",
"cases",
"reach",
"a",
"judge",
".",
"Experts",
"on",
"California",
"tort",
"law",
"say",
"protections",
"afforded",
"government",
"agencies",
"in",
"such",
"cases",
"are",
"pretty",
"ironclad",
".",
"Even",
"claims",
"against",
"individuals",
"and",
"companies",
"face",
"significant",
"roadblocks",
".",
"The",
"major",
"legal",
"barrier",
"is",
"the",
"principle",
"that",
"no",
"one",
"can",
"be",
"held",
"liable",
"for",
"an",
"``",
"act",
"of",
"God",
".",
"''",
"For",
"now",
",",
"says",
"Laurence",
"Drivon",
",",
"president-elect",
"of",
"the",
"6,000-member",
"California",
"Trial",
"Lawyers",
"Association",
",",
"``",
"the",
"last",
"thing",
"we",
"really",
"need",
"to",
"worry",
"about",
"is",
"whether",
"anybody",
"is",
"going",
"to",
"get",
"sued",
",",
"or",
"whether",
"they",
"have",
"liability",
"or",
"not",
".",
"We",
"still",
"have",
"people",
"wandering",
"around",
"in",
"a",
"daze",
"in",
"San",
"Francisco",
"worrying",
"about",
"whether",
"it",
"'s",
"going",
"to",
"rain",
"tonight",
".",
"''",
"But",
"that",
"wo",
"n't",
"stop",
"plaintiffs",
"'",
"lawyers",
"from",
"seeking",
"a",
"little",
"room",
"for",
"maneuvering",
".",
"In",
"San",
"Francisco",
",",
"they",
"argue",
",",
"an",
"earthquake",
"was",
"a",
"near",
"certainty",
".",
"Therefore",
",",
"engineering",
"firms",
",",
"construction",
"contractors",
"and",
"developers",
"can",
"be",
"sued",
"for",
"not",
"keeping",
"structures",
"up",
"to",
"standard",
",",
"and",
"government",
"agencies",
"can",
"be",
"held",
"accountable",
"for",
"failing",
"to",
"properly",
"protect",
"citizens",
"from",
"such",
"a",
"foreseeable",
"disaster",
",",
"if",
"negligence",
"can",
"be",
"proven",
".",
"``",
"My",
"prediction",
"is",
"there",
"will",
"be",
"mass",
"litigation",
"over",
"errors",
"and",
"omissions",
"in",
"engineering",
"and",
"contracting",
",",
"''",
"says",
"Stanley",
"Chesley",
",",
"a",
"well-known",
"Cincinnati",
"plaintiffs",
"lawyer",
".",
"From",
"what",
"he",
"saw",
"on",
"television",
",",
"Mr.",
"Chesley",
"points",
"out",
"that",
"Interstate",
"880",
",",
"which",
"collapsed",
"and",
"killed",
"more",
"than",
"200",
"commuters",
",",
"suffered",
"serious",
"damage",
"while",
"surrounding",
"buildings",
"appeared",
"to",
"sustain",
"no",
"damage",
"whatsoever",
".",
"He",
"adds",
"that",
"``",
"they",
"were",
"aware",
"of",
"the",
"propensity",
"for",
"earthquakes",
"and",
"the",
"San",
"Andreas",
"Fault",
".",
"''",
"The",
"flamboyant",
"and",
"publicity-conscious",
"Mr.",
"Belli",
"says",
"he",
"already",
"has",
"investigators",
"looking",
"into",
"who",
"could",
"be",
"held",
"liable",
"for",
"the",
"damage",
"on",
"the",
"Bay",
"Bridge",
"and",
"the",
"interstate",
"approaching",
"it",
".",
"``",
"We",
"wo",
"n't",
"know",
"until",
"the",
"smoke",
"clears",
"--",
"but",
"yes",
",",
"we",
"'re",
"looking",
"into",
"it",
",",
"''",
"he",
"says",
".",
"Mr.",
"Belli",
"says",
"he",
"wants",
"to",
"know",
"whether",
"state",
"or",
"federal",
"engineers",
"or",
"private",
"companies",
"could",
"have",
"prevented",
"the",
"damage",
".",
"Mr.",
"Belli",
",",
"who",
"was",
"at",
"Candlestick",
"Park",
"for",
"the",
"World",
"Series",
"Tuesday",
"night",
",",
"says",
"he",
"has",
"hired",
"civil",
"engineers",
"to",
"check",
"out",
"his",
"own",
"mildly",
"damaged",
"building",
"and",
"to",
"investigate",
"the",
"bridge",
"collapse",
".",
"Defense",
"lawyers",
",",
"perhaps",
"understandably",
",",
"say",
"that",
"plaintiffs",
"'",
"lawyers",
"taking",
"such",
"an",
"approach",
"will",
"have",
"little",
"success",
"in",
"pursuing",
"their",
"claims",
",",
"though",
"they",
"add",
"that",
"the",
"facts",
"of",
"each",
"case",
"must",
"be",
"looked",
"at",
"individually",
".",
"``",
"A",
"lot",
"of",
"this",
"is",
"going",
"to",
"be",
"code-related",
",",
"''",
"says",
"Ignazio",
"J.",
"Ruvolo",
",",
"a",
"construction",
"law",
"specialist",
"at",
"Bronson",
",",
"Bronson",
"&",
"McKinnon",
",",
"a",
"San",
"Francisco",
"law",
"firm",
".",
"Plaintiffs",
",",
"he",
"says",
",",
"will",
"argue",
"that",
"damaged",
"structures",
"were",
"n't",
"built",
"to",
"proper",
"design",
"standards",
".",
"But",
"if",
"defendants",
"can",
"prove",
"that",
"they",
"met",
"San",
"Francisco",
"'s",
"stringent",
"building",
"codes",
",",
"``",
"that",
"'s",
"probably",
"going",
"to",
"protect",
"them",
",",
"''",
"Mr.",
"Ruvolo",
"says",
".",
"Government",
"entities",
",",
"continues",
"Mr.",
"Ruvolo",
",",
"could",
"be",
"protected",
"by",
"the",
"California",
"Government",
"Tort",
"Liability",
"Act",
".",
"Under",
"the",
"statute",
",",
"agencies",
"are",
"provided",
"``",
"defenses",
"that",
"normally",
"are",
"n't",
"available",
"in",
"the",
"private",
"sector",
",",
"''",
"Mr.",
"Ruvolo",
"says",
".",
"``",
"The",
"legislature",
"does",
"not",
"want",
"to",
"inhibit",
"the",
"unique",
"government",
"activities",
"by",
"exposing",
"public",
"entities",
"to",
"liability",
".",
"''",
"Built",
"into",
"the",
"statute",
"are",
"so-called",
"design",
"immunities",
",",
"which",
"are",
"likely",
"to",
"protect",
"government",
"agencies",
",",
"according",
"to",
"Mr.",
"Ruvolo",
"and",
"Richard",
"Covert",
",",
"a",
"lawyer",
"with",
"the",
"California",
"Department",
"of",
"Transportation",
",",
"which",
"oversees",
"the",
"damaged",
"Bay",
"Bridge",
".",
"The",
"state",
"is",
"protected",
"when",
"plans",
"and",
"designs",
"for",
"public",
"structures",
"were",
"approved",
"ahead",
"of",
"time",
"or",
"when",
"structures",
"met",
"previously",
"approved",
"standards",
",",
"says",
"Mr.",
"Covert",
".",
"He",
"believes",
"those",
"defenses",
"might",
"well",
"apply",
"to",
"the",
"Bay",
"Bridge",
"collapse",
".",
"Nevertheless",
",",
"he",
"adds",
",",
"``",
"I",
"would",
"n't",
"get",
"totally",
"shocked",
"if",
"we",
"get",
"lawsuits",
"out",
"of",
"the",
"Bay",
"Bridge",
".",
"''",
"If",
"there",
"'s",
"going",
"to",
"be",
"a",
"race",
"to",
"the",
"courthouse",
",",
"it",
"has",
"n't",
"started",
"yet",
".",
"Mr.",
"Covert",
"had",
"to",
"search",
"through",
"law",
"books",
"scattered",
"on",
"the",
"floor",
"of",
"his",
"office",
"yesterday",
",",
"and",
"Mr.",
"Belli",
"'s",
"courtyard",
"was",
"strewn",
"with",
"bricks",
".",
"Wednesday",
",",
"Mr.",
"Belli",
"'s",
"staff",
"was",
"n't",
"permitted",
"into",
"his",
"office",
"by",
"city",
"officials",
"worried",
"about",
"their",
"safety",
".",
"He",
"said",
"he",
"set",
"up",
"shop",
"on",
"the",
"sidewalk",
"in",
"front",
"of",
"his",
"town-house",
"office",
"and",
"helped",
"victims",
"apply",
"for",
"federal",
"aid",
"--",
"free",
"of",
"charge",
".",
"In",
"a",
"news",
"release",
"issued",
"by",
"Mr.",
"Drivon",
",",
"the",
"trial",
"lawyers",
"association",
"also",
"promised",
"free",
"assistance",
"to",
"victims",
".",
"The",
"association",
"said",
"it",
"would",
"monitor",
"the",
"conduct",
"of",
"lawyers",
"and",
"warned",
"that",
"solicitation",
"of",
"business",
"is",
"unethical",
"."
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"''",
"prices",
".",
"The",
"company",
"said",
"it",
"would",
"resort",
"far",
"less",
"often",
"to",
"slashing",
"prices",
"to",
"woo",
"shoppers",
".",
"Sears",
"officials",
"insist",
"they",
"do",
"n't",
"intend",
"to",
"abandon",
"the",
"everyday",
"pricing",
"approach",
"in",
"the",
"face",
"of",
"the",
"poor",
"results",
".",
"Instead",
",",
"a",
"spokesman",
"blames",
"the",
"dismal",
"third-quarter",
"showing",
"on",
"``",
"an",
"environment",
"that",
"is",
"being",
"distorted",
"by",
"a",
"very",
"harsh",
"climate",
"for",
"sales",
"of",
"durable",
"goods",
",",
"''",
"which",
"account",
"for",
"roughly",
"two-thirds",
"of",
"Sears",
"'s",
"annual",
"merchandise",
"volume",
".",
"The",
"new",
"pricing",
"strategy",
"``",
"is",
"working",
",",
"''",
"the",
"spokesman",
"asserted",
".",
"He",
"added",
"that",
",",
"after",
"an",
"initial",
"surge",
"triggered",
"by",
"an",
"advertising",
"blitz",
"in",
"March",
",",
"Sears",
"expected",
"that",
"the",
"pricing",
"program",
"would",
"n't",
"have",
"any",
"effect",
"on",
"revenue",
".",
"Sears",
"has",
"been",
"counting",
"on",
"growth",
"coming",
"from",
"the",
"large",
"displays",
"of",
"brand-name",
"merchandise",
"it",
"is",
"adding",
"to",
"its",
"stores",
"over",
"the",
"next",
"two",
"years",
"in",
"what",
"it",
"calls",
"``",
"power",
"formats",
".",
"''",
"But",
"analysts",
"say",
"Sears",
"faces",
"an",
"especially",
"daunting",
"challenge",
"on",
"the",
"eve",
"of",
"the",
"Christmas",
"shopping",
"season",
".",
"``",
"I",
"believe",
"everyday",
"pricing",
"in",
"the",
"current",
"environment",
"does",
"n't",
"work",
",",
"''",
"says",
"Walter",
"Loeb",
"of",
"Morgan",
"Stanley",
"&",
"Co.",
",",
"pointing",
"to",
"soft",
"durable-goods",
"sales",
".",
"``",
"Sears",
"is",
"likely",
"to",
"be",
"unsuccessful",
"if",
"it",
"continues",
"with",
"its",
"pricing",
"policy",
"when",
"everyone",
"else",
"is",
"offering",
"unusual",
"values",
".",
"''",
"In",
"what",
"amounts",
"to",
"an",
"admission",
"that",
"the",
"transition",
"has",
"n't",
"gone",
"as",
"smoothly",
"as",
"Sears",
"had",
"hoped",
",",
"the",
"giant",
"retailer",
"is",
"now",
"trying",
"new",
"ways",
"to",
"drum",
"up",
"business",
"without",
"appearing",
"to",
"abandon",
"its",
"seven-month-old",
"strategy",
".",
"The",
"company",
"is",
"highlighting",
"more",
"special",
"deals",
"in",
"its",
"advertising",
"and",
"stores",
",",
"and",
"it",
"'s",
"offering",
"to",
"defer",
"finance",
"charges",
"on",
"certain",
"big-ticket",
"items",
".",
"Sears",
"is",
"also",
"stepping",
"up",
"its",
"television",
"ads",
"and",
"changing",
"its",
"message",
".",
"In",
"a",
"new",
"TV",
"ad",
",",
"for",
"instance",
",",
"a",
"woman",
"going",
"through",
"the",
"Sunday",
"newspaper",
"brands",
"as",
"hype",
"claims",
"by",
"other",
"stores",
"that",
"they",
"are",
"offering",
"goods",
"for",
"``",
"50",
"%",
",",
"60",
"%",
"and",
"70",
"%",
"off",
".",
"''",
"By",
"lowering",
"prices",
"throughout",
"its",
"stores",
",",
"she",
"says",
",",
"``",
"Sears",
"has",
"the",
"right",
"idea",
".",
"''",
"But",
"the",
"ad",
"also",
"mentions",
"Sears",
"'s",
"sales",
"--",
"a",
"topic",
"that",
"the",
"retailer",
"has",
"avoided",
"since",
"switching",
"to",
"everyday",
"pricing",
".",
"``",
"When",
"Sears",
"has",
"a",
"sale",
"at",
"a",
"special",
"price",
",",
"''",
"the",
"woman",
"in",
"the",
"ad",
"declares",
",",
"``",
"it",
"'s",
"something",
"you",
"do",
"n't",
"want",
"to",
"miss",
".",
"''",
"Recent",
"surveys",
"by",
"Leo",
"J.",
"Shapiro",
"&",
"Associates",
",",
"a",
"market",
"research",
"firm",
"in",
"Chicago",
",",
"suggest",
"that",
"Sears",
"is",
"having",
"a",
"tough",
"time",
"attracting",
"shoppers",
"because",
"it",
"has",
"n't",
"yet",
"done",
"enough",
"to",
"improve",
"service",
"or",
"its",
"selection",
"of",
"merchandise",
".",
"The",
"number",
"of",
"people",
"who",
"said",
"they",
"were",
"more",
"likely",
"to",
"shop",
"at",
"Sears",
"fell",
"in",
"September",
"to",
"37",
"%",
"from",
"66",
"%",
"in",
"March",
",",
"when",
"Sears",
"blanketed",
"the",
"airwaves",
"with",
"ads",
"about",
"its",
"new",
"pricing",
"strategy",
".",
"Moreover",
",",
"the",
"number",
"of",
"people",
"who",
"spontaneously",
"cited",
"lower",
"prices",
"as",
"the",
"reason",
"for",
"their",
"interest",
"in",
"Sears",
"declined",
"to",
"16",
"%",
"in",
"September",
"from",
"33",
"%",
"in",
"March",
".",
"Just",
"5",
"%",
"of",
"the",
"respondents",
"mentioned",
"brands",
"in",
"September",
",",
"up",
"slightly",
"from",
"2",
"%",
"in",
"March",
".",
"Only",
"2",
"%",
"of",
"the",
"people",
"in",
"September",
"cited",
"Sears",
"'s",
"``",
"friendly",
"personnel",
".",
"''",
"``",
"The",
"power",
"of",
"price",
"as",
"an",
"appeal",
",",
"which",
"was",
"very",
"considerable",
"in",
"driving",
"traffic",
"in",
"March",
"and",
"April",
",",
"has",
"diminished",
",",
"''",
"says",
"George",
"Rosenbaum",
",",
"president",
"of",
"Shapiro",
"&",
"Associates",
".",
"``",
"You",
"see",
"some",
"improvement",
"in",
"these",
"other",
"areas",
",",
"but",
"it",
"'s",
"a",
"very",
"small",
"and",
"slow",
"process",
".",
"''",
"For",
"the",
"third",
"quarter",
",",
"Sears",
"said",
"its",
"total",
"revenue",
"rose",
"4.8",
"%",
"to",
"$",
"13.18",
"billion",
"from",
"$",
"12.57",
"billion",
"a",
"year",
"earlier",
".",
"Net",
"income",
"at",
"Sears",
"'s",
"merchandise",
"group",
",",
"which",
"includes",
"international",
"and",
"credit",
"card",
"operations",
",",
"as",
"well",
"as",
"U.S.",
"stores",
",",
"fell",
"25",
"%",
".",
"Profit",
"at",
"Sears",
"'s",
"Allstate",
"insurance",
"unit",
"fell",
"38",
"%",
"to",
"$",
"126.1",
"million",
"because",
"of",
"Hurricane",
"Hugo",
",",
"which",
"inflicted",
"the",
"greatest",
"single",
"storm",
"damage",
"loss",
"in",
"the",
"company",
"'s",
"history",
".",
"Sears",
"said",
"claims",
"from",
"the",
"storm",
",",
"as",
"expected",
",",
"reduced",
"its",
"third-quarter",
"net",
"by",
"$",
"80",
"million",
",",
"or",
"23",
"cents",
"a",
"share",
".",
"Allstate",
"is",
"expected",
"to",
"absorb",
"another",
"big",
"hit",
"in",
"the",
"fourth",
"quarter",
"as",
"claims",
"pour",
"in",
"from",
"the",
"San",
"Francisco",
"earthquake",
".",
"But",
"a",
"spokesman",
"said",
"the",
"quake",
"wo",
"n't",
"have",
"as",
"big",
"a",
"financial",
"impact",
"on",
"Allstate",
"as",
"Hurricane",
"Hugo",
"did",
".",
"Net",
"income",
"at",
"Sears",
"'s",
"Dean",
"Witter",
"Financials",
"Services",
"group",
",",
"meanwhile",
",",
"rose",
"nearly",
"32",
"%",
"to",
"$",
"35.7",
"million",
",",
"reflecting",
"improvements",
"in",
"its",
"basic",
"stock",
"brokerage",
"and",
"Discover",
"credit",
"card",
"businesses",
".",
"Profit",
"at",
"Sears",
"'s",
"Coldwell",
"Banker",
"Real",
"Estate",
"Group",
"nearly",
"quadrupled",
"to",
"$",
"81.2",
"million",
"because",
"of",
"gains",
"on",
"sales",
"of",
"property",
".",
"In",
"New",
"York",
"Stock",
"Exchange",
"composite",
"trading",
"yesterday",
",",
"Sears",
"shares",
"closed",
"at",
"$",
"40.50",
",",
"up",
"87.5",
"cents",
"."
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"coverage",
"drew",
"attention",
"to",
"a",
"phenomenon",
"that",
"deserves",
"some",
"thought",
"by",
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".",
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",",
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"Army",
"and",
"Red",
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",",
"mobilized",
"almost",
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"help",
"people",
",",
"while",
"the",
"Washington",
"bureaucracy",
"``",
"took",
"hours",
"getting",
"into",
"gear",
".",
"''",
"One",
"news",
"show",
"we",
"saw",
"yesterday",
"even",
"displayed",
"25",
"federal",
"officials",
"meeting",
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"a",
"table",
".",
"We",
"recall",
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"the",
"mayor",
"of",
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"complained",
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"about",
"the",
"federal",
"bureaucracy",
"'s",
"response",
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"Hugo",
".",
"The",
"sense",
"grows",
"that",
"modern",
"public",
"bureaucracies",
"simply",
"do",
"n't",
"perform",
"their",
"assigned",
"functions",
"well",
"."
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[
"Garry",
"Kasparov",
"went",
"to",
"combat",
"Sunday",
"with",
"the",
"world",
"'s",
"most",
"advanced",
"chess",
"computer",
"and",
"kicked",
"it",
"around",
"--",
"symbolically",
",",
"anyway",
"--",
"like",
"an",
"old",
"tin",
"can",
".",
"Playing",
"black",
"in",
"the",
"first",
"game",
",",
"the",
"human",
"champion",
"maneuvered",
"Deep",
"Thought",
",",
"known",
"for",
"its",
"attacking",
"prowess",
",",
"into",
"a",
"totally",
"passive",
"position",
".",
"Then",
"he",
"unleashed",
"his",
"own",
",",
"unstoppable",
",",
"attack",
".",
"And",
"in",
"the",
"second",
"game",
",",
"with",
"Mr.",
"Kasparov",
"advancing",
"ferociously",
"as",
"white",
",",
"D.T.",
"offered",
"feeble",
"resistance",
"and",
"lost",
"even",
"faster",
".",
"Well",
",",
"mankind",
"can",
"rest",
"easier",
"for",
"now",
".",
"Though",
"almost",
"everybody",
"at",
"the",
"playing",
"site",
"had",
"been",
"looking",
"for",
"the",
"26-year-old",
"Soviet",
"to",
"beat",
"the",
"Pennsylvania-based",
"computer",
",",
"he",
"gave",
"the",
"machine",
"a",
"far",
"worse",
"drubbing",
"than",
"many",
"expected",
".",
"And",
"when",
"Mr.",
"Kasparov",
"strode",
"into",
"the",
"playing",
"hall",
",",
"he",
"called",
"the",
"outcome",
".",
"As",
"if",
"he",
"were",
"Iron",
"Mike",
",",
"about",
"to",
"enter",
"the",
"ring",
"with",
"a",
"98-pound",
"weakling",
",",
"he",
"declared",
":",
"``",
"I",
"'ll",
"be",
"able",
"to",
"beat",
"any",
"computer",
"for",
"the",
"next",
"five",
"years",
".",
"''",
"His",
"strategy",
"against",
"D.T.",
"was",
"based",
"on",
"a",
"thorough",
"study",
"of",
"dozens",
"of",
"its",
"games",
",",
"he",
"said",
",",
"including",
"its",
"notorious",
"whippings",
"of",
"the",
"grandmasters",
"Bent",
"Larsen",
"of",
"Denmark",
"and",
"Robert",
"Byrne",
"of",
"the",
"U.S.",
".",
"Mr.",
"Kasparov",
"was",
"underwhelmed",
".",
"``",
"The",
"computer",
"'s",
"mind",
"is",
"too",
"straight",
",",
"too",
"primitive",
",",
"''",
"lacking",
"the",
"intuition",
"and",
"creativity",
"needed",
"to",
"reach",
"the",
"top",
",",
"he",
"said",
".",
"The",
"champion",
"apparently",
"was",
"not",
"worried",
"at",
"all",
"about",
"D.T.",
"'s",
"strong",
"points",
".",
"Its",
"chief",
"builder",
",",
"Taiwan-born",
"Feng-hsiung",
"Hsu",
",",
"nicknamed",
"his",
"brainchild",
"``",
"the",
"Weasel",
"''",
"for",
"its",
"tactical",
"flair",
"at",
"wriggling",
"out",
"of",
"horrible",
"positions",
".",
"D.T.",
"also",
"has",
"a",
"prodigious",
"and",
"flawless",
"memory",
",",
"is",
"utterly",
"fearless",
",",
"and",
"could",
"n't",
"be",
"distracted",
"by",
"the",
"sexy",
"nude",
"sculptures",
"spread",
"around",
"the",
"playing",
"hall",
",",
"in",
"the",
"New",
"York",
"Academy",
"of",
"Art",
".",
"In",
"fact",
",",
"D.T.",
"never",
"left",
"home",
",",
"Carnegie",
"Mellon",
"University",
"in",
"Pittsburgh",
",",
"but",
"communicated",
"with",
"its",
"human",
"handlers",
"by",
"telephone",
"link",
".",
"They",
"conceded",
"that",
"the",
"odds",
"favored",
"Mr.",
"Kasparov",
",",
"but",
"they",
"put",
"their",
"hope",
"in",
"D.T.",
"'s",
"recently",
"enhanced",
"capacity",
"for",
"examining",
"positions",
"--",
"up",
"to",
"a",
"million",
"per",
"second",
",",
"from",
"720,000",
".",
"But",
"the",
"handlers",
"mistakenly",
"stuck",
"with",
"silicon",
"chips",
";",
"they",
"needed",
"kryptonite",
".",
"This",
"became",
"apparent",
"as",
"game",
"one",
",",
"a",
"Sicilian",
"Defense",
"by",
"Mr.",
"Kasparov",
",",
"proceeded",
".",
"No",
"human",
"can",
"examine",
"millions",
"of",
"moves",
",",
"but",
"Mr.",
"Kasparov",
",",
"using",
"his",
"ineffably",
"powerful",
"brain",
",",
"consistently",
"found",
"very",
"good",
"ones",
".",
"After",
"eight",
"moves",
"by",
"each",
"side",
",",
"the",
"board",
"was",
"the",
"same",
"as",
"in",
"a",
"game",
"in",
"which",
"Nigel",
"Short",
"of",
"Great",
"Britain",
"fought",
"the",
"champion",
"to",
"a",
"draw",
"in",
"1980",
".",
"But",
"the",
"computer",
"did",
"n't",
"play",
"Mr.",
"Short",
"'s",
"ninth",
"move",
",",
"a",
"key",
"pawn",
"thrust",
",",
"and",
"its",
"position",
"deteriorated",
"rapidly",
".",
"Instead",
"of",
"castling",
",",
"a",
"standard",
"measure",
"to",
"safeguard",
"the",
"king",
",",
"D.T.",
"made",
"a",
"second-rate",
"rook",
"maneuver",
"at",
"move",
"13",
";",
"then",
"it",
"put",
"a",
"knight",
"offside",
"on",
"move",
"16",
".",
"``",
"Only",
"two",
"classes",
"of",
"minds",
"would",
"think",
"of",
"this",
"--",
"very",
"weak",
"human",
"players",
",",
"and",
"computers",
",",
"''",
"said",
"Edmar",
"Mednis",
",",
"the",
"expert",
"commentator",
"for",
"the",
"match",
",",
"which",
"was",
"attended",
"by",
"hundreds",
"of",
"chess",
"fans",
".",
"By",
"move",
"21",
",",
"D.T.",
"had",
"fallen",
"into",
"a",
"deep",
"positional",
"trap",
".",
"It",
"allowed",
"Mr.",
"Kasparov",
"to",
"exchange",
"his",
"dark-squared",
"bishop",
"for",
"one",
"of",
"D.T.",
"'s",
"knights",
".",
"Bishops",
"usually",
"are",
"worth",
"slightly",
"more",
"than",
"knights",
",",
"but",
"in",
"this",
"case",
"Mr.",
"Kasparov",
"was",
"left",
"with",
"a",
"very",
"dangerous",
"knight",
"and",
"D.T.",
"'s",
"surviving",
"bishop",
"was",
"reduced",
"to",
"passivity",
".",
"Indeed",
",",
"it",
"looked",
"more",
"like",
"a",
"pawn",
",",
"a",
"``",
"tall",
"pawn",
",",
"''",
"as",
"spectators",
"snidely",
"put",
"it",
".",
"Consistently",
",",
"D.T.",
"was",
"over-optimistic",
"about",
"its",
"chances",
",",
"which",
"it",
"continually",
"sized",
"up",
",",
"in",
"numerical",
"form",
".",
"When",
"most",
"spectators",
"thought",
"its",
"position",
"hopeless",
",",
"the",
"computer",
"thought",
"it",
"was",
"only",
",",
"in",
"effect",
",",
"one-half",
"of",
"a",
"pawn",
"down",
".",
"Such",
"evaluations",
"met",
"with",
"derision",
",",
"and",
"kept",
"the",
"machine",
"from",
"resigning",
"as",
"soon",
"as",
"humans",
"would",
"have",
"--",
"prompting",
"more",
"derision",
".",
"While",
"D.T.",
"shuffled",
"its",
"king",
"back",
"and",
"forth",
"in",
"a",
"defensive",
"crouch",
",",
"Mr.",
"Kasparov",
"maneuvered",
"the",
"knight",
"to",
"a",
"dominant",
"outpost",
".",
"He",
"also",
"launched",
"a",
"kingside",
"storm",
",",
"sacrificing",
"a",
"pawn",
"to",
"denude",
"D.T.",
"'s",
"king",
".",
"No",
"amount",
"of",
"weasling",
"could",
"have",
"saved",
"this",
"game",
"for",
"D.T",
".",
"A",
"piece",
"down",
",",
"the",
"computer",
"resigned",
".",
"Now",
",",
"with",
"the",
"crowd",
"in",
"the",
"analysis",
"room",
"smelling",
"figurative",
"blood",
",",
"the",
"only",
"question",
"seemed",
"to",
"be",
"how",
"fast",
"Mr.",
"Kasparov",
"could",
"win",
"game",
"two",
".",
"With",
"the",
"advantage",
"of",
"playing",
"white",
"(",
"which",
"moves",
"first",
")",
",",
"Mr.",
"Kasparov",
"followed",
"up",
"cleverly",
"against",
"the",
"computer",
"'s",
"defense",
",",
"a",
"Queen",
"'s",
"Gambit",
"Accepted",
".",
"As",
"early",
"as",
"move",
"six",
",",
"Mr.",
"Kasparov",
"deviated",
"from",
"a",
"well-known",
"sequence",
"of",
"moves",
",",
"developing",
"a",
"knight",
"instead",
"of",
"making",
"a",
"standard",
"bishop",
"attack",
"against",
"the",
"computer",
"'s",
"advanced",
"knight",
".",
"This",
"left",
"the",
"computer",
"with",
"a",
"broader",
"range",
"of",
"plausible",
"replies",
"--",
"and",
"it",
"immediately",
"blundered",
"by",
"moving",
"a",
"queenside",
"pawn",
",",
"to",
"the",
"neglect",
"of",
"kingside",
"development",
".",
"``",
"In",
"a",
"new",
"position",
"just",
"after",
"the",
"opening",
",",
"a",
"computer",
"will",
"have",
"serious",
"problems",
",",
"''",
"Mr.",
"Kasparov",
"said",
"later",
".",
"In",
"such",
"positions",
",",
"he",
"explained",
",",
"``",
"you",
"have",
"to",
"create",
"something",
"new",
",",
"and",
"the",
"computer",
"is",
"n't",
"able",
"to",
"do",
"that",
"right",
"now",
".",
"''",
"After",
"only",
"11",
"moves",
"for",
"each",
"side",
",",
"the",
"computer",
"'s",
"position",
"was",
"shaky",
".",
"Greedily",
",",
"it",
"grabbed",
"a",
"pawn",
",",
"at",
"the",
"cost",
"of",
"facing",
"a",
"brutal",
"attack",
".",
"And",
"when",
"a",
"defensive",
"move",
"was",
"called",
"for",
",",
"D.T.",
"passed",
"up",
"an",
"obvious",
"pawn",
"move",
"and",
"instead",
"exposed",
"its",
"queen",
"to",
"immediate",
"tactical",
"threats",
".",
"Mr.",
"Kasparov",
"remarked",
"later",
"that",
"``",
"even",
"a",
"weak",
"club",
"player",
"''",
"would",
"have",
"avoided",
"the",
"queen",
"move",
".",
"Now",
",",
"after",
"only",
"a",
"dozen",
"moves",
",",
"spectators",
"were",
"looking",
"for",
"a",
"mating",
"combination",
".",
"On",
"a",
"demonstration",
"board",
",",
"emcee",
"Shelby",
"Lyman",
"showed",
"a",
"quick",
"kill",
"initiated",
"by",
"a",
"knight",
"sacrifice",
";",
"no",
"spectator",
"refuted",
"this",
"line",
"of",
"play",
".",
"Mr.",
"Kasparov",
"'s",
"continuation",
"was",
"slower",
"but",
",",
"in",
"the",
"end",
",",
"just",
"as",
"deadly",
".",
"He",
"won",
"D.T.",
"'s",
"queen",
"for",
"two",
"minor",
"pieces",
"and",
"two",
"pawns",
"--",
"not",
"enough",
"compensation",
",",
"in",
"this",
"position",
",",
"to",
"give",
"the",
"computer",
"much",
"hope",
".",
"In",
"a",
"hopeless",
"position",
",",
"the",
"computer",
"resigned",
"rather",
"than",
"make",
"its",
"37th",
"move",
".",
"And",
"Mr.",
"Kasparov",
",",
"to",
"cheers",
"and",
"applause",
",",
"marched",
"back",
"into",
"the",
"analysis",
"room",
".",
"``",
"In",
"both",
"games",
"I",
"got",
"exactly",
"what",
"I",
"wanted",
",",
"''",
"he",
"said",
".",
"What",
"he",
"had",
"demonstrated",
",",
"he",
"added",
",",
"is",
"that",
"there",
"'s",
"more",
"to",
"chess",
"than",
"sheer",
"calculation",
".",
"Undeterred",
",",
"D.T.",
"'s",
"handlers",
"vowed",
"to",
"press",
"on",
".",
"Indeed",
",",
"three",
"of",
"them",
"will",
"be",
"building",
"a",
"successor",
"machine",
"for",
"International",
"Business",
"Machines",
"Corp",
".",
"Promises",
"Feng-hsiung",
"Hsu",
":",
"``",
"In",
"three",
"years",
"we",
"'ll",
"mount",
"a",
"better",
"challenge",
".",
"''",
"Mr.",
"Tannenbaum",
"is",
"a",
"reporter",
"in",
"the",
"Journal",
"'s",
"New",
"York",
"bureau",
"."
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".",
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"at",
"least",
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".",
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",",
"actual",
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"estimate",
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"For",
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"moment",
",",
"at",
"least",
",",
"euphoria",
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",",
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",",
"not",
"a",
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".",
"Many",
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".",
"Among",
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"with",
"relief",
"was",
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"H.",
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",",
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"Brothers",
",",
"who",
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"to",
"the",
"firm",
"'s",
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"to",
"monitor",
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"'s",
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".",
"As",
"the",
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"at",
"3:15",
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",",
"he",
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",",
"brandished",
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"Shopkorn",
",",
"his",
"top",
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",",
"on",
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"back",
".",
"At",
"first",
",",
"it",
"seemed",
"as",
"if",
"history",
"might",
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".",
"As",
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"opened",
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"morning",
"on",
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",",
"stocks",
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"of",
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"because",
"a",
"wave",
"of",
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"was",
"overwhelming",
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".",
"By",
"10:10",
",",
"the",
"Dow",
"Industrials",
"were",
"off",
"63.52",
"points",
",",
"and",
"the",
"stock",
"of",
"UAL",
"Corp.",
",",
"whose",
"troubles",
"had",
"kicked",
"off",
"Friday",
"'s",
"plunge",
",",
"still",
"had",
"n't",
"opened",
".",
"But",
"then",
",",
"as",
"quickly",
"as",
"the",
"Dow",
"had",
"fallen",
",",
"it",
"began",
"to",
"turn",
"around",
".",
"It",
"ended",
"with",
"a",
"gain",
"of",
"88.12",
"points",
".",
"By",
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"'s",
"close",
",",
"volume",
"on",
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"New",
"York",
"exchange",
"totaled",
"more",
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"416",
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",",
"the",
"fourth",
"highest",
"on",
"record",
".",
"The",
"Big",
"Board",
"handled",
"the",
"huge",
"volume",
"without",
"any",
"obvious",
"strain",
",",
"in",
"sharp",
"contrast",
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"Black",
"Monday",
"of",
"1987",
".",
"But",
"the",
"rally",
"was",
"largely",
"confined",
"to",
"the",
"blue-chip",
"stocks",
",",
"which",
"had",
"been",
"hard",
"hit",
"during",
"Friday",
"'s",
"selling",
"frenzy",
".",
"Overall",
",",
"more",
"Big",
"Board",
"stocks",
"lost",
"money",
"than",
"gained",
".",
"And",
"many",
"arbitragers",
",",
"already",
"reeling",
"from",
"Friday",
"'s",
"collapse",
"of",
"the",
"UAL",
"deal",
",",
"were",
"further",
"hurt",
"yesterday",
"when",
"a",
"proposed",
"takeover",
"of",
"AMR",
"Corp.",
",",
"the",
"parent",
"of",
"American",
"Airlines",
",",
"collapsed",
".",
"Indeed",
",",
"the",
"Dow",
"Jones",
"Transportation",
"Average",
"plunged",
"102.06",
"points",
",",
"its",
"second-worst",
"drop",
"in",
"history",
".",
"World-wide",
",",
"trading",
"was",
"generally",
"manageable",
".",
"The",
"Frankfurt",
"stock",
"exchange",
"was",
"hardest",
"hit",
"of",
"the",
"major",
"markets",
",",
"with",
"blue",
"chips",
"there",
"falling",
"12.8",
"%",
".",
"In",
"London",
",",
"a",
"midday",
"rally",
"left",
"the",
"market",
"'s",
"major",
"index",
"off",
"3.2",
"%",
",",
"and",
"Tokyo",
"'s",
"leading",
"stock",
"index",
"fell",
"only",
"1.8",
"%",
"in",
"surprisingly",
"lackluster",
"trading",
".",
"Other",
",",
"more",
"thinly",
"traded",
"Asian",
"markets",
"were",
"hit",
"harder",
"than",
"Tokyo",
"'s",
",",
"but",
"there",
"were",
"no",
"free-fall",
"declines",
".",
"Investors",
"big",
"and",
"small",
"say",
"they",
"learned",
"valuable",
"lessons",
"since",
"the",
"1987",
"crash",
":",
"In",
"this",
"age",
"of",
"computerized",
"trading",
",",
"huge",
"corrections",
"or",
"runups",
"in",
"a",
"few",
"hours",
"'",
"time",
"must",
"be",
"expected",
".",
"What",
"'s",
"more",
",",
"such",
"short-term",
"cataclysms",
"are",
"survivable",
"and",
"are",
"no",
"cause",
"for",
"panic",
"selling",
".",
"Stephen",
"Boesel",
",",
"a",
"major",
"money",
"manager",
"for",
"T.",
"Rowe",
"Price",
"in",
"Baltimore",
",",
"says",
",",
"``",
"There",
"was",
"less",
"panic",
"than",
"in",
"1987",
":",
"We",
"had",
"been",
"through",
"it",
"once",
".",
"''",
"In",
"Somerset",
",",
"Wis.",
",",
"Adrian",
"Sween",
",",
"who",
"owns",
"a",
"supplier",
"of",
"nursing-home",
"equipment",
"and",
"is",
"n't",
"active",
"in",
"the",
"stock",
"market",
",",
"agrees",
".",
"``",
"I",
"look",
"at",
"it",
"as",
"a",
"ho-hum",
"matter",
",",
"''",
"he",
"says",
".",
"Many",
"other",
"factors",
"played",
"a",
"part",
"in",
"yesterday",
"'s",
"comeback",
".",
"The",
"Federal",
"Reserve",
"signaled",
"its",
"willingness",
"to",
"provide",
"liquidity",
";",
"the",
"interest",
"rate",
"on",
"its",
"loans",
"to",
"major",
"banks",
"inched",
"downward",
"early",
"in",
"the",
"day",
".",
"Foreign",
"stock",
"markets",
",",
"which",
"kicked",
"off",
"Black",
"Monday",
"with",
"a",
"huge",
"selling",
"spree",
",",
"began",
"the",
"day",
"off",
"by",
"relatively",
"modest",
"amounts",
".",
"The",
"dollar",
",",
"after",
"falling",
"sharply",
"in",
"overnight",
"trading",
"to",
"139.10",
"yen",
",",
"bounced",
"back",
"strongly",
"to",
"141.8",
",",
"thus",
"easing",
"fears",
"that",
"foreigners",
"would",
"unload",
"U.S.",
"stocks",
".",
"And",
"the",
"widely",
"disseminated",
"opinion",
"among",
"most",
"market",
"experts",
"that",
"a",
"crash",
"was",
"n't",
"in",
"store",
"also",
"helped",
"calm",
"investors",
".",
"Many",
"major",
"institutions",
",",
"for",
"example",
",",
"came",
"into",
"work",
"yesterday",
"ready",
"to",
"buy",
"some",
"of",
"the",
"blue",
"chips",
"they",
"felt",
"had",
"been",
"sharply",
"undervalued",
"on",
"Friday",
".",
"Still",
",",
"amid",
"all",
"the",
"backslapping",
"and",
"signs",
"of",
"relief",
"over",
"yesterday",
"'s",
"events",
",",
"some",
"market",
"professionals",
"cautioned",
"that",
"there",
"is",
"nothing",
"present",
"in",
"the",
"current",
"market",
"system",
"to",
"prevent",
"another",
"dizzying",
"drop",
"such",
"as",
"Friday",
"'s",
".",
"``",
"There",
"is",
"too",
"much",
"complacency",
",",
"''",
"says",
"money",
"manager",
"Barry",
"Schrager",
".",
"Computers",
"have",
"increasingly",
"connected",
"securities",
"markets",
"world-wide",
",",
"so",
"that",
"a",
"buying",
"or",
"selling",
"wave",
"in",
"one",
"market",
"is",
"often",
"passed",
"around",
"the",
"globe",
".",
"So",
"investors",
"everywhere",
"nervously",
"eyed",
"yesterday",
"'s",
"opening",
"in",
"Tokyo",
",",
"where",
"the",
"Nikkei",
"average",
"of",
"225",
"blue-chip",
"stocks",
"got",
"off",
"to",
"a",
"rocky",
"start",
".",
"The",
"average",
"plunged",
"some",
"600",
"points",
",",
"or",
"1.7",
"%",
",",
"in",
"the",
"first",
"20",
"minutes",
"of",
"trading",
".",
"But",
"the",
"selling",
"wave",
"had",
"no",
"conviction",
",",
"and",
"the",
"market",
"first",
"surged",
"upward",
"by",
"200",
"points",
",",
"then",
"drifted",
"lower",
",",
"closing",
"down",
"647",
".",
"Unlike",
"two",
"years",
"ago",
",",
"most",
"of",
"Japan",
"'s",
"major",
"investors",
"chose",
"to",
"sit",
"this",
"calamity",
"out",
".",
"In",
"Merrill",
"Lynch",
"&",
"Co.",
"'s",
"Tokyo",
"trading",
"room",
",",
"some",
"40",
"traders",
"and",
"assistants",
"sat",
"quietly",
",",
"with",
"few",
"orders",
"to",
"process",
".",
"Clients",
"``",
"are",
"all",
"staying",
"out",
"''",
"of",
"the",
"market",
",",
"one",
"Merrill",
"trader",
"says",
".",
"The",
"relative",
"calm",
"in",
"Tokyo",
"proved",
"little",
"comfort",
"to",
"markets",
"opening",
"up",
"in",
"Europe",
".",
"Frankfurt",
"'s",
"opening",
"was",
"delayed",
"a",
"half",
"hour",
"because",
"of",
"a",
"crush",
"of",
"sell",
"orders",
".",
"``",
"The",
"beginning",
"was",
"chaotic",
",",
"''",
"says",
"Nigel",
"Longley",
",",
"a",
"broker",
"for",
"Commerzbank",
"In",
"London",
",",
"the",
"view",
"from",
"the",
"trading",
"floor",
"of",
"an",
"American",
"securities",
"firm",
",",
"Jefferies",
"&",
"Co.",
",",
"also",
"was",
"troubling",
".",
"A",
"computer",
"screen",
"displaying",
"100",
"blue-chip",
"stocks",
"colors",
"each",
"one",
"red",
"when",
"its",
"price",
"is",
"falling",
".",
"The",
"screen",
"was",
"a",
"sea",
"of",
"red",
".",
"``",
"I",
"see",
"concern",
",",
"but",
"I",
"do",
"n't",
"see",
"panic",
",",
"''",
"says",
"J.",
"Francis",
"Palamara",
",",
"a",
"New",
"Yorker",
"who",
"runs",
"the",
"15-trader",
"office",
".",
"London",
"'s",
"blue-chip",
"stock",
"index",
"turned",
"up",
"just",
"before",
"8",
"a.m",
".",
"New",
"York",
"time",
",",
"sending",
"an",
"encouraging",
"message",
"to",
"Wall",
"Street",
".",
"When",
"trading",
"opened",
"in",
"New",
"York",
"at",
"9:30",
"a.m.",
"EDT",
",",
"stocks",
"fell",
"sharply",
"--",
"as",
"expected",
".",
"Futures",
"markets",
"in",
"Chicago",
"had",
"opened",
"at",
"a",
"level",
"suggesting",
"the",
"Dow",
"would",
"fall",
"by",
"about",
"60",
"points",
".",
"With",
"sell",
"orders",
"piled",
"up",
"from",
"Friday",
",",
"about",
"half",
"the",
"stocks",
"in",
"the",
"Dow",
"could",
"n't",
"open",
"on",
"time",
".",
"By",
"9:45",
",",
"the",
"industrial",
"average",
"had",
"dropped",
"27",
"points",
".",
"By",
"10",
"a.m.",
",",
"it",
"was",
"down",
"49",
".",
"Ten",
"minutes",
"later",
",",
"the",
"Dow",
"hit",
"bottom",
"-",
"down",
"63.52",
"points",
",",
"another",
"2.5",
"%",
".",
"But",
"shortly",
"before",
"then",
",",
"some",
"of",
"Wall",
"Street",
"'s",
"sharpest",
"traders",
"say",
",",
"they",
"sensed",
"a",
"turn",
".",
"``",
"The",
"first",
"thing",
"that",
"caught",
"my",
"eye",
"that",
"was",
"encouraging",
"was",
"Treasury",
"bonds",
"were",
"off",
",",
"''",
"says",
"Austin",
"George",
",",
"head",
"of",
"stock",
"trading",
"at",
"T.",
"Rowe",
"Price",
".",
"``",
"It",
"meant",
"that",
"people",
"were",
"n't",
"running",
"pell-mell",
"to",
"the",
"safety",
"of",
"bonds",
".",
"''",
"Shortly",
"after",
"10",
"a.m.",
",",
"the",
"Major",
"Market",
"Index",
",",
"a",
"Chicago",
"Board",
"of",
"Trade",
"futures",
"contract",
"of",
"20",
"stocks",
"designed",
"to",
"mimic",
"the",
"DJIA",
",",
"exploded",
"upward",
".",
"Stock",
"traders",
"were",
"buoyed",
"--",
"because",
"an",
"upturn",
"in",
"the",
"MMI",
"had",
"also",
"started",
"the",
"recovery",
"in",
"stocks",
"on",
"the",
"Tuesday",
"following",
"Black",
"Monday",
".",
"``",
"The",
"MMI",
"has",
"gone",
"better",
",",
"''",
"shouted",
"a",
"trader",
"in",
"the",
"London",
"office",
"of",
"Shearson",
"Lehman",
"Hutton",
".",
"Shearson",
"'s",
"London",
"trading",
"room",
"went",
"wild",
".",
"Traders",
"shouted",
"out",
"as",
"their",
"Reuters",
",",
"Quotron",
"and",
"Telerate",
"screens",
"posted",
"an",
"ever-narrowing",
"loss",
"on",
"Wall",
"Street",
".",
"Then",
",",
"nine",
"minutes",
"later",
",",
"Wall",
"Street",
"suddenly",
"rebounded",
"to",
"a",
"gain",
"on",
"the",
"day",
".",
"``",
"Rally",
",",
"rally",
",",
"rally",
",",
"''",
"shouted",
"Shearson",
"'s",
"Andy",
"Rosen",
".",
"``",
"This",
"is",
"panic",
"buying",
".",
"''",
"Major",
"blue-chip",
"stocks",
"like",
"Philip",
"Morris",
",",
"General",
"Motors",
"and",
"Proctor",
"&",
"Gamble",
"led",
"the",
"rally",
".",
"Japanese",
"were",
"said",
"to",
"be",
"heavy",
"buyers",
".",
"German",
"and",
"Dutch",
"investors",
"reportedly",
"loaded",
"up",
"on",
"Kellogg",
"Co",
".",
"Then",
",",
"traders",
"say",
",",
"corporations",
"with",
"share",
"buy-back",
"programs",
"kicked",
"into",
"high",
"gear",
",",
"triggering",
"gains",
"in",
",",
"among",
"other",
"issues",
",",
"Alcan",
"Aluminium",
"and",
"McDonald",
"'s",
".",
"Walt",
"Disney",
"Co.",
",",
"which",
"had",
"one",
"of",
"the",
"biggest",
"sell-order",
"imbalances",
"on",
"Friday",
"and",
"was",
"one",
"of",
"seven",
"stocks",
"that",
"halted",
"trading",
"and",
"never",
"reopened",
"that",
"day",
",",
"opened",
"yesterday",
"late",
"at",
"114.5",
",",
"down",
"8.5",
".",
"But",
"then",
"it",
"suddenly",
"burst",
"upward",
"7.5",
"as",
"Goldman",
",",
"Sachs",
"&",
"Co.",
"stepped",
"in",
"and",
"bought",
"almost",
"every",
"share",
"offer",
",",
"traders",
"said",
".",
"By",
"10:25",
",",
"the",
"Dow",
"had",
"turned",
"up",
"for",
"the",
"day",
",",
"prompting",
"cheers",
"on",
"trading",
"desks",
"and",
"exchange",
"floors",
".",
"Among",
"Big",
"Board",
"specialists",
",",
"the",
"cry",
"was",
"``",
"Pull",
"your",
"offers",
"''",
"--",
"meaning",
"that",
"specialists",
"soon",
"expected",
"to",
"get",
"higher",
"prices",
"for",
"their",
"shares",
".",
"``",
"It",
"was",
"bedlam",
"on",
"the",
"upside",
",",
"''",
"said",
"one",
"Big",
"Board",
"specialist",
".",
"``",
"What",
"we",
"had",
"was",
"a",
"real",
",",
"old-fashioned",
"rally",
".",
"''",
"This",
"technical",
"strength",
"spurred",
"buying",
"from",
"Wall",
"Street",
"'s",
"``",
"black",
"boxes",
",",
"''",
"computer",
"programs",
"designed",
"to",
"trigger",
"large",
"stock",
"purchases",
"during",
"bullish",
"periods",
".",
"Typical",
",",
"perhaps",
",",
"was",
"Batterymarch",
"'s",
"Dean",
"LeBaron",
".",
"Mr.",
"LeBaron",
",",
"who",
"manages",
"$",
"10",
"billion",
",",
"says",
",",
"``",
"We",
"turned",
"the",
"trading",
"system",
"on",
",",
"and",
"it",
"did",
"whatever",
"it",
"was",
"programmed",
"to",
"do",
".",
"''",
"Asked",
"what",
"stocks",
"the",
"computer",
"bought",
",",
"the",
"money",
"manager",
"says",
",",
"``",
"I",
"do",
"n't",
"know",
".",
"''",
"Not",
"everybody",
"was",
"making",
"money",
".",
"The",
"carnage",
"on",
"the",
"Chicago",
"Board",
"Options",
"Exchange",
",",
"the",
"nation",
"'s",
"major",
"options",
"market",
",",
"was",
"heavy",
"after",
"the",
"trading",
"in",
"S&P",
"100",
"stock-index",
"options",
"was",
"halted",
"Friday",
".",
"Many",
"market",
"makers",
"in",
"the",
"S&P",
"100",
"index",
"options",
"contract",
"had",
"bullish",
"positions",
"Friday",
",",
"and",
"when",
"the",
"shutdown",
"came",
"they",
"were",
"frozen",
"with",
"huge",
"losses",
".",
"Over",
"the",
"weekend",
",",
"clearing",
"firms",
"told",
"the",
"Chicago",
"market",
"makers",
"to",
"get",
"out",
"of",
"their",
"positions",
"at",
"any",
"cost",
"Monday",
"morning",
".",
"``",
"They",
"were",
"absolutely",
"killed",
",",
"slaughtered",
",",
"''",
"said",
"one",
"Chicago-based",
"options",
"trader",
".",
"Meanwhile",
",",
"a",
"test",
"of",
"the",
"stock",
"market",
"'s",
"rally",
"came",
"at",
"about",
"2",
"p.m.",
",",
"with",
"the",
"Dow",
"at",
"2600",
",",
"up",
"31",
"points",
"on",
"the",
"day",
".",
"Charles",
"Clough",
",",
"a",
"strategist",
"at",
"Merrill",
"Lynch",
",",
"says",
"bargain",
"hunting",
"had",
"explained",
"the",
"Dow",
"'s",
"strength",
"up",
"to",
"that",
"point",
"and",
"that",
"many",
"market",
"professionals",
"were",
"anticipating",
"a",
"drop",
"in",
"the",
"Dow",
".",
"Moreover",
",",
"the",
"announcement",
"that",
"real",
"estate",
"magnate",
"and",
"sometime",
"raider",
"Donald",
"Trump",
"was",
"withdrawing",
"his",
"offer",
"for",
"AMR",
"Corp.",
"might",
"have",
"been",
"expected",
"to",
"rattle",
"traders",
".",
"Instead",
",",
"the",
"rally",
"only",
"paused",
"for",
"about",
"25",
"minutes",
"and",
"then",
"steamed",
"forward",
"as",
"institutions",
"resumed",
"buying",
".",
"The",
"market",
"closed",
"minutes",
"after",
"reaching",
"its",
"high",
"for",
"the",
"day",
"of",
"Across",
"the",
"country",
",",
"many",
"people",
"took",
"yesterday",
"'s",
"events",
"in",
"stride",
",",
"while",
"remaining",
"generally",
"uneasy",
"about",
"the",
"stock",
"market",
"in",
"general",
".",
"Says",
"James",
"Norman",
",",
"the",
"mayor",
"of",
"Ava",
",",
"Mo.",
":",
"``",
"I",
"do",
"n't",
"invest",
"in",
"stocks",
".",
"I",
"much",
"prefer",
"money",
"I",
"can",
"put",
"my",
"hands",
"on",
".",
"''",
"While",
"Mayor",
"Norman",
"found",
"the",
"market",
"'s",
"performance",
"Monday",
"reassuring",
",",
"he",
"says",
",",
"he",
"remains",
"uneasy",
".",
"``",
"We",
"have",
"half",
"the",
"experts",
"saying",
"one",
"thing",
"and",
"half",
"the",
"other",
"''",
"about",
"the",
"course",
"of",
"the",
"economy",
".",
"Ralph",
"Holzfaster",
",",
"a",
"farmer",
"and",
"farm-supply",
"store",
"operator",
"in",
"Ogallala",
",",
"Neb.",
",",
"says",
"of",
"the",
"last",
"few",
"days",
"events",
",",
"``",
"If",
"anything",
"good",
"comes",
"out",
"of",
"this",
",",
"it",
"might",
"be",
"that",
"it",
"puts",
"some",
"of",
"these",
"LBOs",
"on",
"the",
"skids",
".",
"''",
"Says",
"Gordon",
"Fines",
",",
"a",
"money",
"manager",
"at",
"IDS",
"Financial",
"Services",
"in",
"Minneapolis",
",",
"``",
"You",
"'re",
"on",
"a",
"roller",
"coaster",
",",
"and",
"that",
"may",
"last",
".",
"The",
"public",
"is",
"still",
"cautious",
"."
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[
"Could",
"the",
"collapse",
"of",
"I-880",
"have",
"been",
"prevented",
"?",
"That",
"was",
"the",
"question",
"structural",
"engineers",
"and",
"California",
"transportation",
"officials",
"were",
"asking",
"themselves",
"yesterday",
"as",
"rescue",
"workers",
"began",
"the",
"gruesome",
"task",
"of",
"trying",
"to",
"extract",
"as",
"many",
"as",
"250",
"victims",
"from",
"beneath",
"the",
"concrete",
"slabs",
"of",
"the",
"double-deck",
"Nimitz",
"Freeway",
"in",
"Oakland",
"that",
"caved",
"in",
"during",
"Tuesday",
"'s",
"temblor",
".",
"After",
"touring",
"the",
"area",
",",
"California",
"Gov.",
"George",
"Deukmejian",
"late",
"yesterday",
"called",
"for",
"an",
"inquiry",
"into",
"the",
"freeway",
"'s",
"collapse",
",",
"blaming",
"the",
"disaster",
"on",
"substandard",
"construction",
",",
"the",
"Associated",
"Press",
"reported",
".",
"The",
"impact",
"of",
"the",
"destruction",
"of",
"this",
"2.5-mile",
"stretch",
"of",
"highway",
"was",
"tragically",
"measured",
"in",
"lost",
"lives",
".",
"But",
"there",
"are",
"other",
"long-term",
"effects",
"that",
"raise",
"serious",
"questions",
"about",
"the",
"ability",
"of",
"California",
"'s",
"infrastructure",
"to",
"withstand",
"a",
"major",
"temblor",
".",
"It",
"could",
"easily",
"be",
"two",
"years",
"before",
"the",
"well-traveled",
"artery",
"that",
"helps",
"connect",
"Oakland",
"with",
"San",
"Francisco",
"is",
"reopened",
",",
"and",
"the",
"cost",
"to",
"build",
"a",
"new",
"stretch",
"of",
"highway",
"could",
"soar",
"to",
"more",
"than",
"$",
"250",
"million",
",",
"said",
"Charles",
"J.",
"O'Connell",
",",
"deputy",
"district",
"director",
"in",
"Los",
"Angeles",
"of",
"the",
"California",
"Department",
"of",
"Transportation",
",",
"nicknamed",
"Caltrans",
".",
"Caltrans",
"in",
"Sacramento",
"said",
"total",
"damage",
"from",
"the",
"collapsed",
"highway",
"is",
"estimated",
"at",
"around",
"$",
"500",
"million",
".",
"The",
"aftershocks",
"of",
"the",
"highway",
"tragedy",
"are",
"reverberating",
"in",
"Los",
"Angeles",
"as",
"well",
",",
"as",
"local",
"politicians",
"spoke",
"yesterday",
"against",
"plans",
"to",
"bring",
"double-decking",
"to",
"Los",
"Angeles",
"freeways",
"by",
"1994",
".",
"Caltrans",
"plans",
"to",
"add",
"a",
"second",
"deck",
"for",
"buses",
"and",
"car",
"pools",
"above",
"the",
"median",
"of",
"a",
"2.5-mile",
"stretch",
"of",
"the",
"Harbor",
"Freeway",
"just",
"south",
"of",
"Los",
"Angeles",
",",
"near",
"the",
"Memorial",
"Coliseum",
".",
"Los",
"Angeles",
"County",
"Supervisor",
"Kenneth",
"Hahn",
"yesterday",
"vowed",
"to",
"fight",
"the",
"introduction",
"of",
"double-decking",
"in",
"the",
"area",
".",
"Caltrans",
"abandoned",
"double-decking",
"in",
"the",
"early",
"1970s",
",",
"following",
"the",
"1971",
"Sylmar",
"earthquake",
"that",
"destroyed",
"freeway",
"sections",
"just",
"north",
"of",
"Los",
"Angeles",
",",
"Mr.",
"O'Connell",
"explained",
".",
"That",
"temblor",
"measured",
"6.1",
"on",
"the",
"Richter",
"scale",
";",
"Tuesday",
"'s",
"was",
"So",
"why",
"even",
"consider",
"stacking",
"freeways",
"now",
"?",
"``",
"We",
"'ve",
"run",
"out",
"of",
"places",
"to",
"build",
"freeways",
"in",
"L.A.",
",",
"and",
"the",
"only",
"place",
"to",
"go",
"is",
"up",
",",
"''",
"Mr.",
"O'Connell",
"said",
",",
"although",
"he",
"acknowledges",
"there",
"are",
"many",
"obstacles",
",",
"including",
"cost",
".",
"But",
"as",
"for",
"safety",
",",
"he",
"says",
"double-deck",
"freeways",
"built",
"today",
"with",
"the",
"heavily",
"reinforced",
"concrete",
"and",
"thicker",
"columns",
"required",
"after",
"the",
"Sylmar",
"quake",
"should",
"withstand",
"a",
"calamitous",
"temblor",
"of",
"7.5",
"to",
"8",
"on",
"the",
"Richter",
"scale",
".",
"Reasons",
"for",
"the",
"collapse",
"of",
"the",
"Nimitz",
"Freeway",
"were",
"sketchy",
"yesterday",
".",
"But",
"most",
"structural",
"engineers",
"attributed",
"the",
"destruction",
"to",
"improper",
"reinforcement",
"of",
"the",
"columns",
"that",
"supported",
"the",
"decks",
",",
"and",
"the",
"fact",
"that",
"the",
"ground",
"beneath",
"the",
"highway",
"is",
"largely",
"landfill",
"and",
"can",
"become",
"unstable",
",",
"or",
"``",
"liquefy",
",",
"''",
"in",
"a",
"major",
"quake",
".",
"The",
"two-story",
"roadway",
",",
"designed",
"in",
"the",
"mid-1940s",
"and",
"completed",
"in",
"1957",
",",
"was",
"supported",
"by",
"columns",
"that",
"apparently",
"lacked",
"the",
"kind",
"of",
"steel",
"reinforcement",
"used",
"in",
"highways",
"today",
".",
"While",
"the",
"pillars",
"did",
"have",
"long",
"metal",
"bars",
"running",
"vertically",
"through",
"them",
"for",
"reinforcement",
",",
"they",
"apparently",
"lacked",
"an",
"adequate",
"number",
"of",
"metal",
"``",
"ties",
"''",
"that",
"run",
"horizontally",
"through",
"the",
"column",
",",
"said",
"Leo",
"Parker",
",",
"a",
"structural",
"engineer",
"in",
"Los",
"Angeles",
".",
"Caltrans",
"today",
"uses",
"a",
"variation",
"of",
"the",
"design",
"Mr.",
"Parker",
"describes",
",",
"with",
"spiraling",
"steel",
"rods",
"inside",
".",
"But",
"in",
"the",
"case",
"of",
"the",
"Nimitz",
"Freeway",
",",
"the",
"lack",
"of",
"such",
"support",
"caused",
"the",
"core",
"of",
"the",
"columns",
"to",
"crumble",
"and",
"buckle",
"under",
"the",
"weight",
"of",
"the",
"second",
"deck",
",",
"crushing",
"motorists",
"who",
"were",
"lined",
"up",
"in",
"bumper-to-bumper",
"rush-hour",
"traffic",
"on",
"the",
"lower",
"deck",
"nearly",
"15",
"feet",
"below",
".",
"Officials",
"of",
"the",
"state",
"agency",
"did",
"n't",
"have",
"any",
"immediate",
"explanation",
"why",
"the",
"reinforcement",
"did",
"n't",
"hold",
"up",
".",
"Caltrans",
"reinforced",
"the",
"highway",
"in",
"1977",
"as",
"part",
"of",
"a",
"$",
"55",
"million",
"statewide",
"project",
",",
"using",
"steel",
"cables",
"to",
"tie",
"the",
"decks",
"of",
"the",
"freeway",
"to",
"the",
"columns",
"and",
"prevent",
"the",
"structure",
"from",
"swaying",
"in",
"a",
"quake",
".",
"Caltrans",
"spokesman",
"Jim",
"Drago",
"in",
"Sacramento",
"declined",
"to",
"identify",
"the",
"engineering",
"firm",
"that",
"did",
"the",
"reinforcement",
"work",
".",
"Liability",
"in",
"the",
"bridge",
"and",
"road",
"collapses",
"will",
"revolve",
"around",
"whether",
"government",
"took",
"``",
"reasonable",
"care",
"''",
"to",
"build",
"and",
"maintain",
"the",
"structures",
",",
"says",
"John",
"Messina",
",",
"a",
"Tacoma",
",",
"Wash.",
",",
"personal-injury",
"attorney",
"who",
"specializes",
"in",
"highway",
"design",
"and",
"maintenance",
"cases",
".",
"The",
"firm",
"brought",
"in",
"to",
"strengthen",
"the",
"structure",
"could",
"be",
"liable",
"as",
"well",
".",
"The",
"results",
"of",
"the",
"quake",
"certainly",
"raise",
"questions",
"about",
"whether",
"reasonable",
"care",
"was",
"taken",
",",
"Mr.",
"Messina",
"says",
".",
"Given",
"the",
"seismic",
"history",
"of",
"the",
"Bay",
"Area",
",",
"``",
"it",
"seems",
"to",
"me",
"that",
"a",
"6.9",
"earthquake",
"is",
"a",
"foreseeable",
"event",
".",
"''",
"Caltrans",
"'",
"Mr.",
"Drago",
"defended",
"the",
"agency",
"'s",
"work",
"on",
"the",
"Nimitz",
"Freeway",
".",
"``",
"The",
"work",
"was",
"done",
"properly",
",",
"''",
"he",
"said",
".",
"``",
"Basically",
",",
"we",
"had",
"a",
"severe",
"earthquake",
"of",
"significant",
"duration",
"and",
"it",
"was",
"just",
"something",
"the",
"structure",
"could",
"n't",
"withstand",
".",
"''",
"Ironically",
",",
"Caltrans",
"this",
"year",
"began",
"working",
"on",
"a",
"second",
"round",
"of",
"seismic",
"reinforcements",
"of",
"freeways",
"around",
"the",
"state",
",",
"this",
"time",
"wrapping",
"freeway",
"columns",
"in",
"``",
"steel",
"blankets",
"''",
"to",
"reinforce",
"them",
".",
"But",
"only",
"bridges",
"supported",
"with",
"single",
"rows",
"of",
"columns",
"were",
"top",
"priority",
",",
"and",
"the",
"Nimitz",
"Freeway",
",",
"supported",
"by",
"double",
"rows",
",",
"was",
"left",
"out",
",",
"Mr.",
"Drago",
"explained",
".",
"``",
"The",
"reason",
"is",
"that",
"the",
"technology",
"is",
"such",
"that",
"we",
"'re",
"not",
"able",
"to",
"retrofit",
"multi-column",
"structures",
",",
"''",
"he",
"said",
".",
"Charles",
"McCoy",
"in",
"San",
"Francisco",
"and",
"John",
"R.",
"Emshwiller",
"in",
"Los",
"Angeles",
"contributed",
"to",
"this",
"article",
"."
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[
"The",
"dollar",
"weakened",
"in",
"indecisive",
"trading",
"as",
"foreign-exchange",
"dealers",
"awaited",
"fresh",
"economic",
"news",
"that",
"they",
"hope",
"will",
"jolt",
"the",
"U.S.",
"unit",
"out",
"of",
"its",
"narrow",
"ranges",
".",
"The",
"Canadian",
"dollar",
"climbed",
"to",
"its",
"highest",
"level",
"against",
"the",
"U.S.",
"dollar",
"since",
"late",
"August",
",",
"prompting",
"the",
"Bank",
"of",
"Canada",
"to",
"sell",
"the",
"Canadian",
"currency",
"on",
"the",
"market",
".",
"Traders",
"say",
"that",
"after",
"a",
"week",
"of",
"nervously",
"tracking",
"every",
"development",
"on",
"Wall",
"Street",
",",
"the",
"foreign-exchange",
"market",
"has",
"settled",
"back",
"to",
"catch",
"its",
"breath",
"ahead",
"of",
"new",
"U.S.",
"economic",
"data",
".",
"They",
"noted",
",",
"however",
",",
"that",
"a",
"26-point",
"drop",
"in",
"the",
"Dow",
"Jones",
"Industrial",
"Average",
"gave",
"the",
"dollar",
"a",
"sharp",
"nudge",
"downward",
"late",
"in",
"the",
"day",
".",
"In",
"late",
"New",
"York",
"trading",
"yesterday",
",",
"the",
"dollar",
"was",
"quoted",
"at",
"1.8470",
"marks",
",",
"down",
"from",
"1.8578",
"marks",
"late",
"Friday",
",",
"and",
"at",
"141.90",
"yen",
",",
"down",
"from",
"142.43",
"yen",
"late",
"Friday",
".",
"Sterling",
"was",
"quoted",
"at",
"$",
"1.6030",
",",
"up",
"from",
"$",
"1.5885",
"late",
"Friday",
".",
"In",
"Tokyo",
"Tuesday",
",",
"the",
"U.S.",
"currency",
"opened",
"for",
"trading",
"at",
"141.80",
"yen",
",",
"down",
"from",
"Monday",
"'s",
"Tokyo",
"close",
"of",
"142.40",
"yen",
".",
"The",
"market",
"'s",
"attention",
"is",
"especially",
"focused",
"on",
"a",
"preliminary",
"report",
"on",
"the",
"U.S.",
"third-quarter",
"gross",
"national",
"product",
",",
"due",
"out",
"Thursday",
",",
"which",
"could",
"show",
"the",
"economy",
"is",
"continuing",
"to",
"expand",
"at",
"a",
"relatively",
"brisk",
"pace",
".",
"The",
"consensus",
"view",
"on",
"real",
"GNP",
",",
"the",
"total",
"value",
"of",
"the",
"U.S.",
"output",
"of",
"goods",
"and",
"services",
"adjusted",
"for",
"inflation",
",",
"calls",
"for",
"a",
"2.3",
"%",
"gain",
"on",
"an",
"annual",
"basis",
",",
"slowing",
"somewhat",
"from",
"the",
"second",
"quarter",
"'s",
"2.5",
"%",
",",
"but",
"still",
"fairly",
"strong",
".",
"Few",
"market",
"participants",
"expect",
"the",
"U.S.",
"unit",
"to",
"rally",
"sharply",
"on",
"the",
"news",
",",
"if",
"it",
"turns",
"out",
"as",
"expected",
".",
"Many",
"contend",
"that",
"the",
"report",
"may",
"overstate",
"the",
"economy",
"'s",
"health",
"and",
"predict",
"the",
"third-quarter",
"figures",
"may",
"be",
"the",
"last",
"vigorous",
"statistics",
"for",
"some",
"time",
"to",
"come",
".",
"``",
"Everyone",
"is",
"waiting",
"for",
"GNP",
",",
"''",
"says",
"Walter",
"Simon",
",",
"an",
"assistant",
"treasurer",
"with",
"Bank",
"Julius",
"Baer",
"&",
"Co",
".",
"``",
"Yet",
"even",
"a",
"relatively",
"strong",
"number",
"--",
"2.8",
"%",
"to",
"2.9",
"%",
"--",
"wo",
"n't",
"alter",
"the",
"market",
"'s",
"view",
"that",
"the",
"economy",
"is",
"softening",
".",
"''",
"Hubert",
"Pedroli",
",",
"managing",
"director",
"of",
"foreign",
"exchange",
"at",
"Credit",
"Suisse",
"in",
"New",
"York",
",",
"adds",
",",
"``",
"The",
"market",
"sees",
"this",
"as",
"the",
"last",
"piece",
"of",
"good",
"news",
".",
"''",
"Mr.",
"Pedroli",
"notes",
"that",
"the",
"GNP",
"deflator",
",",
"a",
"measure",
"of",
"inflation",
",",
"is",
"expected",
"to",
"slow",
",",
"which",
"would",
"give",
"the",
"Federal",
"Reserve",
"more",
"room",
"to",
"ease",
"key",
"U.S.",
"rates",
".",
"Analysts",
"predict",
"a",
"3.5",
"%",
"rise",
"in",
"the",
"deflator",
",",
"after",
"climbing",
"4.6",
"%",
"in",
"the",
"second",
"quarter",
".",
"They",
"note",
"that",
"when",
"an",
"unexpectedly",
"sharp",
"widening",
"in",
"the",
"U.S.",
"trade",
"gap",
"in",
"August",
"was",
"reported",
"earlier",
"this",
"month",
",",
"hopes",
"for",
"a",
"sustained",
"narrowing",
"of",
"the",
"trade",
"deficit",
"were",
"dashed",
"and",
"sentiment",
"gripped",
"the",
"market",
"that",
"the",
"U.S.",
"economy",
"was",
"losing",
"its",
"momentum",
".",
"A",
"190-point",
"plunge",
"in",
"U.S.",
"stock",
"shares",
"compounded",
"the",
"view",
",",
"they",
"say",
".",
"``",
"Everyone",
"is",
"extremely",
"convinced",
"the",
"economy",
"is",
"slowing",
",",
"''",
"says",
"one",
"senior",
"New",
"York",
"dealer",
".",
"``",
"If",
"we",
"'re",
"not",
"headed",
"for",
"a",
"recession",
",",
"we",
"'re",
"certainly",
"headed",
"for",
"a",
"major",
"slowdown",
".",
"''",
"While",
"the",
"market",
"expects",
"little",
"reaction",
"from",
"news",
"of",
"U.S.",
"durable",
"goods",
"orders",
",",
"scheduled",
"for",
"release",
"today",
",",
"participants",
"note",
"that",
"the",
"figures",
"will",
"probably",
"serve",
"to",
"reinforce",
"this",
"bearish",
"sentiment",
".",
"U.S.",
"durable",
"goods",
"orders",
"are",
"expected",
"to",
"show",
"a",
"decline",
"of",
"1.2",
"%",
"in",
"September",
",",
"according",
"to",
"economists",
".",
"The",
"anticipated",
"drop",
"follows",
"a",
"3.9",
"%",
"rise",
"in",
"August",
".",
"Traders",
",",
"however",
",",
"are",
"quick",
"to",
"point",
"out",
"that",
"while",
"there",
"is",
"little",
"enthusiasm",
"for",
"buying",
"dollars",
",",
"the",
"U.S.",
"unit",
"has",
"found",
"a",
"``",
"natural",
"bottom",
"''",
"at",
"about",
"1.85",
"marks",
"and",
"140",
"yen",
".",
"Its",
"resilience",
"around",
"these",
"levels",
"is",
"pegged",
"to",
"persistent",
"investor",
"demand",
"for",
"the",
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",",
"especially",
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".",
"On",
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",",
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"$",
"367",
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",",
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"30",
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".",
"Estimated",
"volume",
"was",
"a",
"very",
"light",
"one",
"million",
"ounces",
".",
"In",
"early",
"trading",
"in",
"Hong",
"Kong",
"Tuesday",
",",
"gold",
"was",
"quoted",
"at",
"$",
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"."
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] |
Subsets and Splits