937 lines
188 KiB
Plaintext
937 lines
188 KiB
Plaintext
|
His firm , along with some others , issued new buy recommendations on insurer stocks yesterday . PRP$ NN , IN IN DT NNS , VBN JJ NN NNS IN NN NNS NN .
|
||
|
|
Among the insurance stocks , big gainers included American International Group , up $ 3.25 to $ 102.625 ; General Re Corp. , up $ 2.75 to $ 86.50 ; Aetna , up $ 2.375 to $ 59.50 ; and Marsh & McLennan Inc. , up $ 3.125 to $ 75.875 . IN DT NN NNS , JJ NNS VBD NNP NNP NNP , IN $ CD TO $ CD : NNP NNP NNP , IN $ CD TO $ CD : NNP , IN $ CD TO $ CD : CC NNP CC NNP NNP , IN $ CD TO $ CD .
|
||
|
|
Still , a few individual companies , most likely smaller ones , could be devastated . RB , DT JJ JJ NNS , RBS RB JJR NNS , MD VB VBN .
|
||
|
|
`` I think there is a damned good chance someone is going to hit the skids on this , '' said Oppenheimer & Co. analyst Myron Picoult . `` PRP VBP EX VBZ DT JJ JJ NN NN VBZ VBG TO VB DT NNS IN DT , '' VBD NNP CC NNP NN NNP NNP .
|
||
|
|
He suspects some insurers who had purchased reinsurance to limit their exposure to catastrophes will discover that reinsurance was used up by Hurricane Hugo . PRP VBZ DT NNS WP VBD VBN NN TO VB PRP$ NN TO NNS MD VB DT NN VBD VBN IN IN NNP NNP .
|
||
|
|
British , West German , Scandinavian and other overseas insurers are bracing for big claims from the San Francisco earthquake disaster . JJ , JJ NN , NNP CC JJ JJ NNS VBP VBG IN JJ NNS IN DT NNP NNP NN NN .
|
||
|
|
Although it 's unclear how much exposure the London market will face , U.K. underwriters traditionally have a large reinsurance exposure to U.S. catastrophe coverage . IN PRP VBZ JJ WRB JJ NN DT NNP NN MD VB , NNP NNS RB VBP DT JJ NN NN TO NNP NN NN .
|
||
|
|
Jack Byrne , chairman of Fireman 's Fund , said this disaster will test the catastrophe reinsurance market , causing these rates to soar . NNP NNP , NN IN NNP POS NNP , VBD DT NN MD VB DT NN NN NN , VBG DT NNS TO VB .
|
||
|
|
The catastrophe losses sustained by insurers this year will probably be the worst on an inflation-adjusted basis since 1906 -- when another earthquake sparked the Great San Francisco Fire . DT NN NNS VBN IN NNS DT NN MD RB VB DT JJS IN DT JJ NN IN CD : WRB DT NN VBD DT NNP NNP NNP NNP .
|
||
|
|
Orin Kramer , an insurance consultant in New York , estimates that the 1906 San Francisco destruction , on an inflation-adjusted basis , included insured losses of $ 5.8 billion . NNP NNP , DT NN NN IN NNP NNP , VBZ IN DT CD NNP NNP NN , IN DT JJ NN , VBD VBN NNS IN $ CD CD .
|
||
|
|
He is estimating this week 's disaster will generate insured losses of $ 2 billion to $ 4 billion , following about $ 4 billion in costs to insurers from Hurricane Hugo . PRP VBZ VBG DT NN POS NN MD VB VBN NNS IN $ CD CD TO $ CD CD , VBG RB $ CD CD IN NNS TO NNS IN NNP NNP .
|
||
|
|
Silicon Graphics Inc. 's first-quarter profit rose sharply to $ 5.2 million , or 28 cents a share , from $ 1 million , or six cents a share , a year ago . NNP NNP NNP POS JJ NN VBD RB TO $ CD CD , CC CD NNS DT NN , IN $ CD CD , CC CD NNS DT NN , DT NN RB .
|
||
|
|
The maker of computer workstations said a surge of government orders contributed to the increase . DT NN IN NN NNS VBD DT NN IN NN NNS VBD TO DT NN .
|
||
|
|
Revenue rose 95 % to $ 86.4 million from $ 44.3 million the year earlier . NN VBD CD NN TO $ CD CD IN $ CD CD DT NN RBR .
|
||
|
|
In national over-the-counter trading , the company closed yesterday at $ 23.25 a share , down 25 cents . IN JJ JJ NN , DT NN VBD NN IN $ CD DT NN , RB CD NNS .
|
||
|
|
Hunter Environmental Services Inc. said it reached a preliminary accord on the sale of its environmental consulting and services business for about $ 40 million and assumption of related debt . NNP NNP NNP NNP VBD PRP VBD DT JJ NN IN DT NN IN PRP$ JJ NN CC NNS NN IN RB $ CD CD CC NN IN VBN NN .
|
||
|
|
The buyer was n't identified . DT NN VBD RB VBN .
|
||
|
|
The company said it also is making progress in negotiating the buy-out of its design division by management . DT NN VBD PRP RB VBZ VBG NN IN VBG DT NN IN PRP$ NN NN IN NN .
|
||
|
|
In addition , Hunter said it will use proceeds from a private placement of $ 8 million of preferred shares to purchase an interest in a start-up company to underwrite environmental impairment insurance . IN NN , NNP VBD PRP MD VB NNS IN DT JJ NN IN $ CD CD IN JJ NNS TO VB DT NN IN DT JJ NN TO VB JJ NN NN .
|
||
|
|
Hunter wants to concentrate its resources on the insurance business and on a project to store hazardous wastes in salt domes . NNP VBZ TO VB PRP$ NNS IN DT NN NN CC IN DT NN TO VB JJ NNS IN NN NNS .
|
||
|
|
Jaguar PLC 's chairman said he hopes to reach a friendly pact with General Motors Corp. within a month that may involve the British luxury-car maker 's producing a cheaper executive model . NNP NNP POS NN VBD PRP VBZ TO VB DT JJ NN IN NNP NNPS NNP IN DT NN WDT MD VB DT JJ NN NN VBZ VBG DT JJR JJ NN .
|
||
|
|
Sir John Egan told reporters at London 's Motorfair yesterday he `` would be disappointed if we could n't do -LCB- the deal -RCB- within a month . '' NNP NNP NNP VBD NNS IN NNP POS NNP NN PRP `` MD VB VBN IN PRP MD RB VB ( DT NN ) IN DT NN . ''
|
||
|
|
He said the tie-up would mean Jaguar could `` develop cars down range -LCB- in price -RCB- from where we are '' by offering access to GM 's high-volume parts production . PRP VBD DT NN MD VB NNP MD `` VB NNS JJ NN ( IN NN ) IN WRB PRP VBP '' IN NN NN TO NNP POS JJ NNS NN .
|
||
|
|
Besides creating joint manufacturing ventures , the accord is expected to give GM about a 15 % stake that eventually would rise to about 30 % . IN VBG JJ NN NNS , DT NN VBZ VBN TO VB NNP IN DT CD NN NN IN RB MD VB TO IN CD NN .
|
||
|
|
Jaguar figures a friendly alliance with GM will fend off unwelcome advances from Ford Motor Co . NN VBZ DT JJ NN IN NNP MD VB IN JJ NNS IN NNP NNP NNP .
|
||
|
|
But Ford , Jaguar 's biggest shareholder since lifting its stake to 10.4 % this week , is pressing harder for talks with Sir John . CC NNP , NNP POS JJS NN IN VBG PRP$ NN TO CD NN DT NN , VBZ VBG JJR IN NNS IN NNP NNP .
|
||
|
|
`` We 're getting to the point where we are going to have to meet '' with him , one Ford official said yesterday . `` PRP VBP VBG TO DT NN WRB PRP VBP VBG TO VB TO VB '' IN PRP , CD NNP NN VBD NN .
|
||
|
|
Ford probably will renew its request for such a meeting soon , he added . NNP RB MD VB PRP$ NN IN JJ DT NN RB , PRP VBD .
|
||
|
|
Sir John has spurned Ford 's advances since the U.S. auto giant launched a surprise bid for as much as 15 % of Jaguar last month . NNP NNP VBZ VBN NNP POS NNS IN DT NNP NN NN VBD DT NN NN IN RB JJ IN CD NN IN NNP JJ NN .
|
||
|
|
Ford has signaled it might acquire a majority interest later . NNP VBZ VBN PRP MD VB DT NN NN RB .
|
||
|
|
`` I 'm not obligated to sit down and talk to anybody , '' the Jaguar chairman asserted yesterday . `` PRP VBP RB VBN TO VB RB CC VB TO NN , '' DT NNP NN VBD NN .
|
||
|
|
He did n't rule out negotiations with Ford , however . PRP VBD RB VB RP NNS IN NNP , RB .
|
||
|
|
The fiercely proud but financially strapped British company prefers to remain independent and publicly held , despite Ford 's promise of access to cash and technological know-how . DT RB JJ CC RB VBN JJ NN VBZ TO VB JJ CC RB VBN , IN NNP POS NN IN NN TO VB CC JJ NN .
|
||
|
|
Sir John noted that GM , a longtime Jaguar supplier , agrees `` we should remain an independent company . '' NNP NNP VBD IN NNP , DT JJ NNP NN , VBZ `` PRP MD VB DT JJ NN . ''
|
||
|
|
He said Jaguar started negotiating with GM and several other car makers over a year ago , but the rest `` dropped by the wayside ever since the share price went above # 4 -LRB- $ 6.30 -RRB- a share . '' PRP VBD NNP VBD VBG IN NNP CC JJ JJ NN NNS IN DT NN RB , CC DT NN `` VBN IN DT NN RB IN DT NN NN VBD IN # CD ( $ CD ) DT NN . ''
|
||
|
|
Jaguar shares stood at 405 pence before Ford 's initial announcement , but the subsequent takeover frenzy has driven them up . NN NNS VBD IN CD NN IN NNP POS JJ NN , CC DT JJ NN NN VBZ VBN PRP RB .
|
||
|
|
The stock traded late yesterday on London 's stock exchange at 673 pence , up 19 pence . DT NN VBD JJ NN IN NNP POS NN NN IN CD NN , IN CD NN .
|
||
|
|
Developing an executive-model range would mark a major departure for Britain 's leading luxury-car maker . VBG DT JJ NN MD VB DT JJ NN IN NNP POS VBG NN NN .
|
||
|
|
A typical British executive car is mass produced and smaller than a luxury car . DT JJ JJ JJ NN VBZ NN VBN CC JJR IN DT NN NN .
|
||
|
|
It generally fetches no more than # 25,000 -LRB- $ 39,400 -RRB- -- roughly # 16,000 less than the highest-priced Jaguars , which are all known for their hand-crafted leather work . PRP RB VBZ DT JJR IN # CD ( $ CD ) : RB # CD JJR IN DT JJS NNPS , WDT VBP DT VBN IN PRP$ JJ NN NN .
|
||
|
|
`` We have designs for such -LCB- executive -RCB- cars , but have never been able to develop them , '' Sir John said . `` PRP VBP NNS IN JJ ( NN ) NNS , CC VBP RB VBN JJ TO VB PRP , '' NNP NNP VBD .
|
||
|
|
GM 's help would `` make it possible -LCB- for Jaguar -RCB- to build a wider range of cars . '' NNP POS NN MD `` VB PRP JJ ( IN NNP ) TO VB DT JJR NN IN NNS . ''
|
||
|
|
An executive model would significantly boost Jaguar 's yearly output of 50,000 cars . DT JJ NN MD RB VB NNP POS JJ NN IN CD NNS .
|
||
|
|
`` You are talking about a couple hundred thousand a year , '' said Bob Barber , an auto-industry analyst at U.K. brokerage James Capel & Co . `` PRP VBP VBG IN DT NN CD CD DT NN , '' VBD NNP NNP , DT NN NN IN NNP NN NNP NNP CC NNP .
|
||
|
|
A pact with GM may emerge in as little as two weeks , according to sources close to the talks . DT NN IN NNP MD VB IN RB JJ IN CD NNS , VBG TO NNS VBP TO DT NNS .
|
||
|
|
The deal would require approval by a majority of Jaguar shareholders . DT NN MD VB NN IN DT NN IN NNP NNS .
|
||
|
|
`` We have to make it attractive enough that -LCB- holders -RCB- would accept it , '' Sir John said . `` PRP VBP TO VB PRP JJ RB IN ( NNS ) MD VB PRP , '' NNP NNP VBD .
|
||
|
|
That may be difficult , the Jaguar chairman acknowledged , `` when you have somebody else breathing down your neck . DT MD VB JJ , DT NNP NN VBD , `` WRB PRP VBP NN JJ NN RB PRP$ NN .
|
||
|
|
'' Ford probably would try to kill the proposal by enlisting support from U.S. takeover-stock speculators and holding out the carrot of a larger bid later , said Stephen Reitman , European auto analyst at London brokers UBS Phillips & Drew . '' NNP RB MD VB TO VB DT NN IN VBG NN IN NNP JJ NNS CC VBG RP IN NN IN DT JJR NN RB , VBD NNP NNP , JJ NN NN IN NNP NNS NNP NNP CC NNP .
|
||
|
|
Ford ca n't make a full-fledged bid for Jaguar until U.K. government restrictions expire . NNP MD RB VB DT JJ NN IN NNP IN NNP NN NNS VBP .
|
||
|
|
The anti-takeover measure prevents any outside investor from buying more than 15 % of Jaguar shares without permission until Dec. 31 , 1990 . DT JJ NN VBZ DT JJ NN IN VBG JJR IN CD NN IN NNP NNS IN NN IN NNP CD , CD .
|
||
|
|
But with its 10.4 % stake , Ford can convene a special Jaguar shareholders ' meeting and urge them to drop the restrictions prematurely . CC IN PRP$ CD NN NN , NNP MD VB DT JJ NNP NNS POS NN CC VB PRP TO VB DT NNS RB .
|
||
|
|
`` It 's a very valuable weapon in their armory , '' which could enable Ford to bid sooner for Jaguar , observed Mr. Barber of James Capel . `` PRP VBZ DT RB JJ NN IN PRP$ NN , '' WDT MD VB NNP TO VB RBR IN NNP , VBN NNP NNP IN NNP NNP .
|
||
|
|
Otherwise , Jaguar may have to tolerate the two U.S. auto giants each owning a 15 % stake for more than a year . RB , NNP MD VB TO VB DT CD NNP NN NNS DT VBG DT CD NN NN IN JJR IN DT NN .
|
||
|
|
`` It would be difficult to see how a car company can be owned by a collective , '' Sir John said . `` PRP MD VB JJ TO VB WRB DT NN NN MD VB VBN IN DT NN , '' NNP NNP VBD .
|
||
|
|
`` It has never been done before , but there 's always a first . `` PRP VBZ RB VBN VBN RB , CC EX VBZ RB DT JJ .
|
||
|
|
Although two Baby Bells showed strong growth in access lines , usage and unregulated business revenue , one reported a modest gain in third-quarter net while the other posted a small drop . IN CD NNP NNPS VBD JJ NN IN NN NNS , NN CC JJ NN NN , CD VBD DT JJ NN IN JJ NN IN DT NN VBD DT JJ NN .
|
||
|
|
Ameritech Corp. 's earnings increased 2.8 % , after strong revenue gains were offset somewhat by refunds and rate reductions imposed by regulators in its Midwest territory . NNP NNP POS NNS VBN CD NN , IN JJ NN NNS VBD VBN RB IN NNS CC NN NNS VBN IN NNS IN PRP$ NNP NN .
|
||
|
|
BellSouth Corp. 's third-quarter earnings dropped 3.8 % as a result of debt refinancing , the recent acquisition of a cellular and paging property and rate reductions in its Southeast territory . NNP NNP POS JJ NNS VBD CD NN IN DT NN IN NN NN , DT JJ NN IN DT JJ CC NN NN CC NN NNS IN PRP$ NNP NN .
|
||
|
|
BellSouth NNP
|
||
|
|
At BellSouth , based in Atlanta , customer access lines grew by 162,000 , or 3.5 % , during the 12-month period ended Sept . IN NNP , VBN IN NNP , NN NN NNS VBN IN CD , CC CD NN , IN DT JJ NN VBN NNP .
|
||
|
|
For the third quarter , total operating revenue grew 2.6 % to $ 3.55 billion from $ 3.46 billion . IN DT JJ NN , JJ NN NN VBD CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
Total operating expenses increased 3.5 % to $ 2.78 billion from $ 2.69 billion . JJ NN NNS VBN CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
Overall access minutes of use increased 10.3 % and toll messages jumped 5.2 % . JJ NN NNS IN NN VBN CD NN CC NN NNS VBD CD NN .
|
||
|
|
BellSouth Chairman and Chief Executive Officer John L. Clendenin said three factors accounted for the drop in third-quarter earnings . NNP NNP CC NNP NNP NNP NNP NNP NNP VBD CD NNS VBD IN DT NN IN JJ NNS .
|
||
|
|
The refinancing of $ 481 million in long-term debt reduced net income by $ 22 million , or five cents a share , but in the long run will save more than $ 250 million in interest costs . DT NN IN $ CD CD IN JJ NN VBD JJ NN IN $ CD CD , CC CD NNS DT NN , CC IN DT JJ NN MD VB JJR IN $ CD CD IN NN NNS .
|
||
|
|
The company previously said that the recent acquisition of Mobile Communications Corp. of America would dilute 1989 earnings by about 3 % . DT NN RB VBD IN DT JJ NN IN NNP NNP NNP IN NNP MD VB CD NNS IN IN CD NN .
|
||
|
|
In addition , earnings were reduced by rate reductions in Florida , Kentucky , Alabama , Tennessee and Louisiana . IN NN , NNS VBD VBN IN NN NNS IN NNP , NNP , NNP , NNP CC NNP .
|
||
|
|
Ameritech NNP
|
||
|
|
At Ameritech , based in Chicago , customer access lines increased by 402,000 , or 2.6 % , and cellular mobile lines increased by 80,000 , or 62.3 % , for the 12-month period ended Sept. 30 . IN NNP , VBN IN NNP , NN NN NNS VBN IN CD , CC CD NN , CC JJ JJ NNS VBN IN CD , CC CD NN , IN DT JJ NN VBN NNP CD .
|
||
|
|
For the third quarter , revenue increased 1.9 % to $ 2.55 billion from $ 2.51 billion . IN DT JJ NN , NN VBN CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
Operating expenses increased 2.6 % to $ 2.04 billion , including one-time pretax charges of $ 40 million for labor contract signing bonuses . NN NNS VBN CD NN TO $ CD CD , VBG JJ JJ NNS IN $ CD CD IN NN NN VBG NNS .
|
||
|
|
Local service revenue increased 3.5 % and directory and unregulated business revenue jumped 9.5 % . JJ NN NN VBN CD NN CC NN CC JJ NN NN VBD CD NN .
|
||
|
|
But network access revenue dropped 4 % and toll revenue dropped 1.4 % . CC NN NN NN VBD CD NN CC NN NN VBD CD NN .
|
||
|
|
a - reflects 2-for-1 stock split effective Dec. 30 , 1988 . DT : VBZ JJ NN NN JJ NNP CD , CD .
|
||
|
|
b - reflects extraordinary loss of five cents a share for early debt retirement . NN : VBZ JJ NN IN CD NNS DT NN IN JJ NN NN .
|
||
|
|
c - reflects extraordinary loss of five cents a share and extraordinary gain of 14 cents a share from cumulative effect of accounting change . NN : VBZ JJ NN IN CD NNS DT NN CC JJ NN IN CD NNS DT NN IN JJ NN IN NN NN .
|
||
|
|
The Wall Street Journal `` American Way of Buying '' Survey consists of two separate , door-to-door nationwide polls conducted for the Journal by Peter D. Hart Research Associates and the Roper Organization . DT NNP NNP NNP `` JJ NN IN VBG '' NNP VBZ IN CD JJ , JJ JJ NNS VBN IN DT NNP IN NNP NNP NNP NNP NNPS CC DT NNP NNP .
|
||
|
|
The two surveys , which asked different questions , were conducted using national random probability samples . DT CD NNS , WDT VBD JJ NNS , VBD VBN VBG JJ JJ NN NNS .
|
||
|
|
The poll conducted by Peter D. Hart Research Associates interviewed 2,064 adults age 18 and older from June 15 to June 30 , 1989 . DT NN VBN IN NNP NNP NNP NNP NNPS VBN CD NNS VBP CD CC JJR IN NNP CD TO NNP CD , CD .
|
||
|
|
The poll conducted by the Roper Organization interviewed 2,002 adults age 18 and older from July 7 to July 15 , 1989 . DT NN VBN IN DT NNP NNP VBD CD NNS VBP CD CC JJR IN NNP CD TO NNP CD , CD .
|
||
|
|
Responses were weighted on the basis of age and gender to conform with U.S. Census data . NNS VBD JJ IN DT NN IN NN CC NN TO VB IN NNP NNP NNS .
|
||
|
|
For each poll , the odds are 19 out of 20 that if pollsters had sought to survey every household in the U.S. using the same questionnaire , the findings would differ from these poll results by no more than 2 1\/2 percentage points in either direction . IN DT NN , DT NNS VBP CD IN IN CD IN IN NNS VBD VBN TO VB DT NN IN DT NNP VBG DT JJ NN , DT NNS MD VB IN DT NN NNS IN DT JJR IN CD CD NN NNS IN DT NN .
|
||
|
|
The margin of error for subgroups -- for example , married women with children at home -- would be larger . DT NN IN NN IN NNS : IN NN , VBN NNS IN NNS IN NN : MD VB JJR .
|
||
|
|
In addition , in any survey , there is always the chance that other factors such as question wording could introduce errors into the findings . IN NN , IN DT NN , EX VBZ RB DT NN IN JJ NNS JJ IN NN NN MD VB NNS IN DT NNS .
|
||
|
|
Program traders were buying and selling at full steam Monday , the first trading session after the stock market 's 190.58-point plunge Friday . NN NNS VBD VBG CC VBG IN JJ NN NNP , DT JJ NN NN IN DT NN NN POS JJ NN NNP .
|
||
|
|
They accounted for a hefty 16 % of New York Stock Exchange volume Monday , the fourth busiest session ever . PRP VBD IN DT JJ CD NN IN NNP NNP NNP NNP NN NNP , DT JJ JJS NN RB .
|
||
|
|
On Friday , 13 % of volume was in computer-guided program trades . IN NNP , CD NN IN NN VBD IN JJ NN NNS .
|
||
|
|
In August , by contrast , program trading averaged 10.3 % of daily Big Board turnover . IN NNP , IN NN , NN NN VBD CD NN IN JJ NNP NNP NN .
|
||
|
|
Program traders were publicly castigated following the 508-point crash Oct. 19 , 1987 , and a number of brokerage firms pulled back from using this strategy for a while . NN NNS VBD RB VBN VBG DT JJ NN NNP CD , CD , CC DT NN IN NN NNS VBD RB IN VBG DT NN IN DT NN .
|
||
|
|
But as the outcry faded by the spring of 1988 , they resumed . CC IN DT NN VBN IN DT NN IN CD , PRP VBD .
|
||
|
|
Some observers thought that after Friday 's sharp drop , the firms would rein in their program traders to avoid stoking more controversy . DT NNS VBD IN IN NNP POS JJ NN , DT NNS MD VB IN PRP$ NN NNS TO VB VBG JJR NN .
|
||
|
|
But the statistics released yesterday show the firms did nothing of the sort . CC DT NNS VBD NN NN DT NNS VBD NN IN DT NN .
|
||
|
|
One reason , they said , was that the official reports on the 1987 crash exonerated program trading as a cause . CD NN , PRP VBD , VBD IN DT JJ NNS IN DT CD NN VBD NN NN IN DT NN .
|
||
|
|
Stock-index arbitrage is the most controversial form of program trading because it accelerates market moves , if not actually causing them . NN NN VBZ DT RBS JJ NN IN NN NN IN PRP VBZ NN NNS , IN RB RB VBG PRP .
|
||
|
|
In it , traders buy or sell stocks and offset those positions in stock-index futures contracts to profit from fleeting price discrepancies . IN PRP , NNS VBP CC VB NNS CC VB DT NNS IN NN NNS NNS TO VB IN JJ NN NNS .
|
||
|
|
Under the exchange 's definitions , program trading also describes a number of other strategies that , in the opinion of some traders , do n't cause big swings in the market . IN DT NN POS NNS , NN NN RB VBZ DT NN IN JJ NNS IN , IN DT NN IN DT NNS , VBP RB VB JJ NNS IN DT NN .
|
||
|
|
The Big Board 's disclosure of program trading activity on these two days was unusual . DT NNP NNP POS NN IN NN NN NN IN DT CD NNS VBD JJ .
|
||
|
|
Though it collects such data daily , its monthly reports on program trading usually come out about three weeks after each month ends . IN PRP VBZ JJ NNS JJ , PRP$ JJ NNS IN NN NN RB VB IN IN CD NNS IN DT NN NNS .
|
||
|
|
The September figures are due to be released this week . DT NNP NNS VBP JJ TO VB VBN DT NN .
|
||
|
|
The Big Board declined to name the Wall Street firms involved in the activity Friday and Monday , or the type of strategies used . DT NNP NNP VBD TO VB DT NNP NNP NNS VBN IN DT NN NNP CC NNP , CC DT NN IN NNS VBN .
|
||
|
|
But traders on the exchange floor , who can observe the computer-guided trading activity on monitor screens , said most of the top program-trading firms were active both days . CC NNS IN DT NN NN , WP MD VB DT JJ NN NN IN NN NNS , VBD RBS IN DT JJ JJ NNS VBD JJ DT NNS .
|
||
|
|
Through August , the top five program trading firms in volume were Morgan Stanley & Co. , Kidder , Peabody & Co. , Merrill Lynch & Co. , PaineWebber Group Inc. and Salomon Brothers Inc . IN NNP , DT JJ CD NN NN NNS IN NN VBD NNP NNP CC NNP , NNP , NNP CC NNP , NNP NNP CC NNP , NNP NNP NNP CC NNP NNP NNP .
|
||
|
|
Though brokerage officials defended their use of program trading , one sign of what an issue it remains was that few executives would comment on the record . IN NN NNS VBD PRP$ NN IN NN NN , CD NN IN WP DT NN PRP VBZ VBD IN JJ NNS MD VB IN DT NN .
|
||
|
|
Besides reciting the pardon for program trading contained in the Brady Commission report , they said stock-index arbitrage was actually needed Monday to restore the markets ' equilibrium . IN VBG DT NN IN NN NN VBD IN DT NNP NNP NN , PRP VBD NN NN VBD RB VBN NNP TO VB DT NNS POS NN .
|
||
|
|
On Friday , the stock-index futures market was unhinged from the stock market when the Chicago Mercantile Exchange halted trading in Standard & Poor 's 500 futures contract -- a `` circuit breaker '' procedure instituted after the 1987 crash and implemented for the first time . IN NNP , DT NN NNS NN VBD VBN IN DT NN NN WRB DT NNP NNP NNP VBD NN IN NNP CC NNP POS CD NNS VBP : DT `` NN NN '' NN VBN IN DT CD NN CC VBN IN DT JJ NN .
|
||
|
|
Futures trading resumed a half-hour later , but the session ended shortly thereafter , leaving the stock market set up for more sell programs , traders said . NNS NN VBD DT NN RB , CC DT NN VBD RB RB , VBG DT NN NN VBN IN IN JJR NN NNS , NNS VBD .
|
||
|
|
By Monday morning , they said , stock-index arbitrage sell programs helped re-establish the link between stocks and futures . IN NNP NN , PRP VBD , NN NN NN NNS VBD VB DT NN IN NNS CC NNS .
|
||
|
|
But stunning volatility was produced in the process . CC JJ NN VBD VBN IN DT NN .
|
||
|
|
The Dow Jones Industrial Average plunged a breathtaking 63.52 points in the first 40 minutes of trading Monday as stock-index arbitrage sell programs kicked in . DT NNP NNP NNP NNP VBD DT JJ CD NNS IN DT JJ CD NNS IN NN NNP IN NN NN NN NNS VBD RB .
|
||
|
|
At about 10:10 a.m. EDT , the market abruptly turned upward on stock-index arbitrage buy programs . IN IN CD NN NNP , DT NN RB VBD RB IN NN NN NN NNS .
|
||
|
|
By day 's end , the Dow industrials had rebounded 88.12 points , or nearly half of Friday 's drop . IN NN POS NN , DT NNP NNS VBD VBN CD NNS , CC RB NN IN NNP POS NN .
|
||
|
|
FREDERICK 'S OF HOLLYWOOD Inc. , Los Angeles , said its board voted a 50 % increase in the specialty boutique-store operator 's semiannual dividend , to five cents a common share . NNP VBZ IN NNP NNP , NNP NNP , VBD PRP$ NN VBD DT CD NN NN IN DT NN NN NN POS JJ NN , TO CD NNS DT JJ NN .
|
||
|
|
The dividend is payable Dec. 15 to stock of record Nov. 15 . DT NN VBZ JJ NNP CD TO VB IN NN NNP CD .
|
||
|
|
Valley National Corp. reported a third-quarter net loss of $ 72.2 million , or $ 3.65 a share , and suspended its quarterly dividend because of potential losses on its Arizona real estate holdings . NNP NNP NNP VBD DT JJ JJ NN IN $ CD CD , CC $ CD DT NN , CC VBD PRP$ JJ NN IN IN JJ NNS IN PRP$ NNP JJ NN NNS .
|
||
|
|
The Phoenix-based holding company for Arizona 's largest bank said it added $ 121 million to its allowance for losses on loans and for real estate owned . DT JJ NN NN IN NNP POS JJS NN VBD PRP VBD $ CD CD TO PRP$ NN IN NNS IN NNS CC IN JJ NN VBN .
|
||
|
|
The company earned $ 18.7 million , or 95 cents a share , a year earlier . DT NN VBD $ CD CD , CC CD NNS DT NN , DT NN RBR .
|
||
|
|
For the nine months , Valley National posted a net loss of $ 136.4 million , or $ 6.90 a share . IN DT CD NNS , NNP NNP VBD DT JJ NN IN $ CD CD , CC $ CD DT NN .
|
||
|
|
It had profit of $ 48.6 million , or $ 2.46 a share , in the 1988 period . PRP VBD NN IN $ CD CD , CC $ CD DT NN , IN DT CD NN .
|
||
|
|
Valley National had been paying a quarterly dividend of 36 cents a share . NNP NNP VBD VBN VBG DT JJ NN IN CD NNS DT NN .
|
||
|
|
`` The Arizona real estate market continues to be depressed , and there is still uncertainty as to when values will recover , '' James P. Simmons , chairman , said . `` DT NNP JJ NN NN VBZ TO VB JJ , CC EX VBZ JJ NN IN TO WRB NNS MD VB , '' NNP NNP NNP , NN , VBD .
|
||
|
|
The decision to increase the loan-loss reserve and suspend the dividend is `` both prudent and in the best long-term interest of the shareholders , '' he said . DT NN TO VB DT NN NN CC VB DT NN VBZ `` DT JJ CC IN DT JJS JJ NN IN DT NNS , '' PRP VBD .
|
||
|
|
Valley National said it made the decision on the basis of an `` overall assessment of the marketplace '' and the condition of its loan portfolio and after reviewing it with federal regulators . NNP NNP VBD PRP VBD DT NN IN DT NN IN DT `` JJ NN IN DT NN '' CC DT NN IN PRP$ NN NN CC IN VBG PRP IN JJ NNS .
|
||
|
|
The addition to reserves comes on top of a provision of $ 199.7 million that was announced in June . DT NN TO NNS VBZ IN NN IN DT NN IN $ CD CD WDT VBD VBN IN NNP .
|
||
|
|
In July , Moody 's downgraded $ 400 million of the company 's debt , saying the bank holding company had n't taken adequate write-offs against potential losses on real estate loans despite its second-quarter write-down . IN NNP , NNP POS VBD $ CD CD IN DT NN POS NN , VBG DT NN VBG NN VBD RB VBN JJ NNS IN JJ NNS IN JJ NN NNS IN PRP$ JJ NN .
|
||
|
|
Richard M. Greenwood , Valley National 's executive vice president , said then that the company believed the write-downs were `` adequate '' and did n't plan to increase its reserves again . NNP NNP NNP , NNP NNP POS JJ NN NN , VBD RB IN DT NN VBD DT NNS VBD `` JJ '' CC VBD RB VB TO VB PRP$ NNS RB .
|
||
|
|
Bruce Hoyt , a banking analyst with Boettcher & Co. , a Denver brokerage firm , said Valley National `` is n't out of the woods yet . '' NNP NNP , DT NN NN IN NNP CC NNP , DT NNP NN NN , VBD NNP NNP `` VBZ RB IN IN DT NNS RB . ''
|
||
|
|
The key will be whether Arizona real estate turns around or at least stabilizes , he said . DT NN MD VB IN NNP JJ NN VBZ IN CC IN JJS VBZ , PRP VBD .
|
||
|
|
`` They 've stepped up to the plate to take the write-downs , but when markets head down , a company is always exposed to further negative surprises , '' Mr. Hoyt said . `` PRP VBP VBD IN TO DT NN TO VB DT NNS , CC WRB NNS VBP RB , DT NN VBZ RB VBN TO VB JJ NNS , '' NNP NNP VBD .
|
||
|
|
Valley National closed yesterday at $ 24.25 a share , down $ 1 , in national over-the-counter trading . NNP NNP VBD NN IN $ CD DT NN , RB $ CD , IN JJ JJ NN .
|
||
|
|
Two years of coddling , down the drain . CD NNS IN NN , RP DT NN .
|
||
|
|
That 's the way a lot of brokers feel today on the second anniversary of the 1987 stock-market crash . DT VBZ DT NN DT NN IN NNS VBP NN IN DT JJ NN IN DT CD NN NN .
|
||
|
|
Ever since that fearful Black Monday , they 've been tirelessly wooing wary individual investors -- trying to convince them that Oct. 19 , 1987 , was a fluke and that the stock market really is a safe place for average Americans to put their hard-earned dollars . RB IN DT JJ NNP NNP , PRP VBP VBN RB VBG JJ JJ NNS : VBG TO VB PRP IN NNP CD , CD , VBD DT NN CC IN DT NN NN RB VBZ DT JJ NN IN JJ NNPS TO VB PRP$ JJ NNS .
|
||
|
|
And until last Friday , it seemed those efforts were starting to pay off . CC IN JJ NNP , PRP VBD DT NNS VBD VBG TO VB RB .
|
||
|
|
`` Some of those folks were coming back , '' says Leslie Quick Jr. , chairman , of discount brokers Quick & Reilly Group Inc . `` DT IN DT NNS VBD VBG RB , '' VBZ NNP NNP NNP , NN , IN NN NNS NNP CC NNP NNP NNP .
|
||
|
|
`` We had heard from people who had n't been active '' for a long time . `` PRP VBD VBN IN NNS WP VBD RB VBN JJ '' IN DT JJ NN .
|
||
|
|
Then came the frightening 190-point plunge in the Dow Jones Industrial Average and a new wave of stock-market volatility . RB VBD DT JJ JJ NN IN DT NNP NNP NNP NNP CC DT JJ NN IN NN NN .
|
||
|
|
All of a sudden , it was back to square one . DT IN DT JJ , PRP VBD RB TO VB CD .
|
||
|
|
`` It 's going to set things back for a period , because it reinforces the concern of volatility , '' says Jeffrey B. Lane , president of Shearson Lehman Hutton Inc . `` PRP VBZ VBG TO VB NNS RB IN DT NN , IN PRP VBZ DT NN IN NN , '' VBZ NNP NNP NNP , NN IN NNP NNP NNP NNP .
|
||
|
|
`` I think it will shake confidence one more time , and a lot of this business is based on client confidence . '' `` PRP VBP PRP MD VB NN CD JJR NN , CC DT NN IN DT NN VBZ VBN IN NN NN . ''
|
||
|
|
Brokers around the country say the reaction from individual investors this week has been almost eerie . NNS IN DT NN VBP DT NN IN JJ NNS DT NN VBZ VBN RB JJ .
|
||
|
|
Customers and potential customers are suddenly complaining about the stock market in the exact way they did in post-crash 1987 . NNS CC JJ NNS VBP RB VBG IN DT NN NN IN DT JJ NN PRP VBD IN JJ CD .
|
||
|
|
`` The kinds of questions you had before have resurfaced , '' says Raymond A. `` Chip '' Mason , chairman of regional brokerage firm Legg Mason Inc. , Baltimore . `` DT NNS IN NNS PRP VBD IN VBP VBN , '' VBZ NNP NNP `` NNP '' NNP , NN IN JJ NN NN NNP NNP NNP , NNP .
|
||
|
|
`` I can just tell the questions are right back where they were : ` What 's going on ? , ' ` Ca n't anything be done about program trading ? , ' ` Does n't the exchange understand ? , ' ` Where is the SEC on this ? ' '' `` PRP MD RB VB DT NNS VBP RB RB WRB PRP VBD : `` WP VBZ VBG IN . , '' `` MD RB NN VB VBN IN NN NN . , '' `` VBZ RB DT NN VB . , '' `` WRB VBZ DT NNP IN DT . '' ''
|
||
|
|
Mr. Mason says he 's convinced the public still wants to invest in common stocks , even though they believe the deck is stacked against them . NNP NNP VBZ PRP VBZ VBN DT JJ RB VBZ TO VB IN JJ NNS , RB IN PRP VBP DT NN VBZ VBN IN PRP .
|
||
|
|
But `` these wide swings scare them to death . '' CC `` DT JJ NNS VBP PRP TO NN . ''
|
||
|
|
All of this is bad news for the big brokerage firms such as Shearson and Merrill Lynch & Co. that have big `` retail , '' or individual-investor , businesses . DT IN DT VBZ JJ NN IN DT JJ NN NNS JJ IN NNP CC NNP NNP CC NNP WDT VBP JJ `` JJ , '' CC NN , NNS .
|
||
|
|
After expanding rapidly during the bull-market years up to the 1987 crash , retail brokerage operations these days are getting barely enough business to pay the overhead . IN VBG RB IN DT NN NNS IN TO DT CD NN , JJ NN NNS DT NNS VBP VBG RB JJ NN TO VB DT NN .
|
||
|
|
True , the amount of money investors are willing to entrust to their brokers has been growing lately . JJ , DT NN IN NN NNS VBP JJ TO VB TO PRP$ NNS VBZ VBN VBG RB .
|
||
|
|
But those dollars have been going into such `` safe '' products as money market funds , which do n't generate much in the way of commissions for the brokerage firms . CC DT NNS VBP VBN VBG IN JJ `` JJ '' NNS IN NN NN NNS , WDT VBP RB VB JJ IN DT NN IN NNS IN DT NN NNS .
|
||
|
|
At discount brokerage Charles Schwab & Co. , such `` cash-equivalent '' investments recently accounted for a record $ 8 billion of the firm 's $ 25 billion of client 's assets . IN NN NN NNP NNP CC NNP , JJ `` JJ '' NNS RB VBD IN DT NN $ CD CD IN DT NN POS $ CD CD IN NN POS NNS .
|
||
|
|
The brokers ' hope has been that they could soon coax investors into shifting some of their hoard into the stock market . DT NNS POS NN VBZ VBN IN PRP MD RB VB NNS IN VBG DT IN PRP$ NN IN DT NN NN .
|
||
|
|
And before last Friday , they were actually making modest progress . CC IN JJ NNP , PRP VBD RB VBG JJ NN .
|
||
|
|
A slightly higher percentage of New York Stock Exchange volume has been attributed to retail investors in recent months compared with post-crash 1988 , according to Securities Industry Association data . DT RB JJR NN IN NNP NNP NNP NNP NN VBZ VBN VBN TO VB NNS IN JJ NNS VBN IN JJ CD , VBG TO NNP NNP NNP NNS .
|
||
|
|
In 1987 , an average 19.7 % of Big Board volume was retail business , with the monthly level never more than 21.4 % . IN CD , DT JJ CD NN IN NNP NNP NN VBD JJ NN , IN DT JJ NN RB JJR IN CD NN .
|
||
|
|
The retail participation dropped to an average 18.2 % in 1988 , and shriveled to barely 14 % some months during the year . DT JJ NN VBD TO DT JJ CD NN IN CD , CC VBD TO RB CD NN DT NNS IN DT NN .
|
||
|
|
Yet in 1989 , retail participation has been more than 20 % in every month , and was 23.5 % in August , the latest month for which figures are available . RB IN CD , JJ NN VBZ VBN JJR IN CD NN IN DT NN , CC VBD CD NN IN NNP , DT JJS NN IN WDT NNS VBP JJ .
|
||
|
|
Jeffrey Schaefer , the SIA 's research director , says that all of his group 's retail-volume statistics could be overstated by as much as five percentage points because corporate buy-backs are sometimes inadvertently included in Big Board data . NNP NNP , DT NNP POS NN NN , VBZ IN DT IN PRP$ NN POS NN NNS MD VB VBN IN RB JJ IN CD NN NNS IN JJ NNS VBP RB RB VBD IN NNP NNP NNS .
|
||
|
|
But there did seem to be a retail activity pickup . CC EX VBD VB TO VB DT JJ NN NN .
|
||
|
|
But `` Friday did n't help things , '' says Mr. Schaefer . CC `` NNP VBD RB VB NNS , '' VBZ NNP NNP .
|
||
|
|
With the gyrations of recent days , says Hugo Quackenbush , senior vice president at Charles Schwab , many small investors are absolutely convinced that `` they should n't play in the stock market . '' IN DT NNS IN JJ NNS , VBZ NNP NNP , JJ NN NN IN NNP NNP , JJ JJ NNS VBP RB VBN IN `` PRP MD RB VB IN DT NN NN . ''
|
||
|
|
Joseph Grano , president of retail sales and marketing at PaineWebber Group Inc. , still thinks that individual investors will eventually go back into the stock market . NNP NNP , NN IN JJ NNS CC NN IN NNP NNP NNP , RB VBZ IN JJ NNS MD RB VB RB IN DT NN NN .
|
||
|
|
Investors will develop `` thicker skins , '' and their confidence will return , he says . NNS MD VB `` JJR NNS , '' CC PRP$ NN MD VB , PRP VBZ .
|
||
|
|
Friday 's plunge , he is telling PaineWebber brokers , was nothing more than a `` tremendous reaction to leveraged buy-out stocks . '' NNP POS NN , PRP VBZ VBG NNP NNS , VBD NN JJR IN DT `` JJ NN TO JJ NN NNS . ''
|
||
|
|
Meanwhile , PaineWebber remains among the leaders in efforts to simply persuade investors to keep giving Wall Street their money . RB , NNP VBZ IN DT NNS IN NNS TO RB VB NNS TO VB VBG NNP NNP PRP$ NN .
|
||
|
|
`` It 's more of an important issue to keep control of those assets , rather than push the investor to move into -LRB- specific -RRB- products such as equities , '' Mr. Grano says . `` PRP VBZ JJR IN DT JJ NN TO VB NN IN DT NNS , RB IN NN DT NN TO VB IN ( JJ ) NNS JJ IN NNS , '' NNP NNP VBZ .
|
||
|
|
`` The equity decision will come when the client is ready and when there 's a semblance of confidence . '' `` DT NN NN MD VB WRB DT NN VBZ JJ CC WRB EX VBZ DT NN IN NN . ''
|
||
|
|
It could be a long wait , say some industry observers . PRP MD VB DT JJ NN , VBP DT NN NNS .
|
||
|
|
`` Some investors will tiptoe back in , '' says Richard Ross , a market research director for Elrick & Lavidge in Chicago . `` DT NNS MD VB RB IN , '' VBZ NNP NNP , DT NN NN NN IN NNP CC NNP IN NNP .
|
||
|
|
`` Then there 'll be another swing . `` RB EX MD VB DT NN .
|
||
|
|
Given enough of these , this will drive everyone out except the most hardy , '' he adds . VBN RB IN DT , DT MD VB NN IN IN DT RBS JJ , '' PRP VBZ .
|
||
|
|
Mr. Ross , who has been studying retail investors ' perception of risks in the brokerage industry , said a market plunge like Friday 's `` shatters investors ' confidence in their ability to make any judgments on the market . '' NNP NNP , WP VBZ VBN VBG JJ NNS POS NN IN NNS IN DT NN NN , VBD DT NN NN IN NNP POS `` NNS NNS '' NN IN PRP$ NN TO VB DT NNS IN DT NN . ''
|
||
|
|
The long-term outlook for the retail brokerage business is `` miserable , '' Mr. Ross declares . DT JJ NN IN DT JJ NN NN VBZ `` JJ , '' NNP NNP VBZ .
|
||
|
|
The following were among yesterday 's offerings and pricings in the U.S. and non-U.S. capital markets , with terms and syndicate manager , as compiled by Dow Jones Capital Markets Report : DT VBG VBD IN NN POS NNS CC NNS IN DT NNP CC JJ NN NNS , IN NNS CC NN NN , IN VBN IN NNP NNP NNP NNP NNP :
|
||
|
|
Washington , D.C. -- NNP , NNP :
|
||
|
|
$ 200 million of general obligation tax revenue anticipation notes , Series 1990 , due Sept. 28 , 1990 . $ CD CD IN JJ NN NN NN NN NNS , NNP CD , JJ NNP CD , CD .
|
||
|
|
About $ 190 million were offered through Shearson Lehman Hutton Inc . IN $ CD CD VBD VBN IN NNP NNP NNP NNP .
|
||
|
|
Shearson is offering the notes as 6 3\/4 % securities priced to yield 6.15 % . NNP VBZ VBG DT NNS IN CD CD NN NNS VBN TO VB CD NN .
|
||
|
|
J.P. Morgan Securities Inc. is offering the remaining $ 10 million of notes . NNP NNP NNP NNP VBZ VBG DT VBG $ CD CD IN NNS .
|
||
|
|
The notes are rated MIG-1 by Moody 's Investors Service Inc . DT NNS VBP VBN JJ IN NNP POS NNP NNP NNP .
|
||
|
|
Standard & Poor 's Corp. has them under review . NNP CC NNP POS NNP VBZ PRP IN NN .
|
||
|
|
Federal National Mortgage Association -- NNP NNP NNP NNP :
|
||
|
|
$ 400 million of Remic mortgage securities being offered in 16 classes by Bear , Stearns & Co . $ CD CD IN NNP NN NNS VBG VBN IN CD NNS IN NNP , NNP CC NNP .
|
||
|
|
The offering , Series 1989-83 , is backed by Fannie Mae 9 % securities . DT NN , NNP CD , VBZ VBN IN NNP NNP CD NN NNS .
|
||
|
|
The offering used at-market pricing . DT NN VBD JJ NN .
|
||
|
|
Separately , Fannie Mae issued $ 400 million of Remic mortgage securities in 12 classes through First Boston Corp . RB , NNP NNP VBD $ CD CD IN NNP NN NNS IN CD NNS IN NNP NNP NNP .
|
||
|
|
The offering , Series 1989-84 , is backed by Fannie Mae 9 % securities . DT NN , NNP CD , VBZ VBN IN NNP NNP CD NN NNS .
|
||
|
|
Pricing details were n't available . NN NNS VBD RB JJ .
|
||
|
|
The two offerings bring Fannie Mae 's 1989 Remic issuance to $ 31 billion and its total volume to $ 43.3 billion since the program began in April 1987 . DT CD NNS VBP NNP NNP POS CD NNP NN TO $ CD CD CC PRP$ JJ NN TO $ CD CD IN DT NN VBD IN NNP CD .
|
||
|
|
Societa per Azioni Finanziaria Industria Manaifatturiera -LRB- Italy -RRB- -- NNP IN NNP NNP NNP NNP ( NNP ) :
|
||
|
|
$ 150 million of 9 % depository receipts due Nov. 27 , 1994 , priced at 101.60 to yield 9.07 % less fees , via Bankers Trust International Ltd . $ CD CD IN CD NN NN NNS JJ NNP CD , CD , VBN IN CD TO VB CD NN JJR NNS , IN NNP NNP NNP NNP .
|
||
|
|
Fees 1 7\/8 . NNS CD CD .
|
||
|
|
Mitsubishi Corp . Finance -LRB- Japanese parent -RRB- -- NNP NNP . NNP ( JJ NN ) :
|
||
|
|
$ 100 million of 8 5\/8 % bonds due Nov. 1 , 1993 priced at 101 1\/4 to yield 8.74 % annually less full fees , via Yamaichi International -LRB- Europe -RRB- Ltd . $ CD CD IN CD CD NN NNS JJ NNP CD , CD VBN IN CD CD TO VB CD NN RB RBR JJ NNS , IN NNP NNP ( NNP ) NNP .
|
||
|
|
Fees 1 5\/8 . NNS CD CD .
|
||
|
|
Indian Oil Corp . -LRB- India -RRB- -- NNP NNP NNP . ( NNP ) :
|
||
|
|
$ 200 million of floating-rate notes due November 1994 , paying six-month London interbank offered rate plus 3\/16 point and priced at par via Credit Suisse First Boston Ltd . $ CD CD IN JJ NNS JJ NNP CD , VBG JJ NNP NN VBD NN CC CD NN CC VBN IN NN IN NNP NNP NNP NNP NNP .
|
||
|
|
Guaranteed by India . VBN IN NNP .
|
||
|
|
Fees 0.36 . NNS CD .
|
||
|
|
Notes offered at a fixed level of 99.75 . NNS VBN IN DT VBN NN IN CD .
|
||
|
|
National Westminster Bank PLC -LRB- U.K. -RRB- -- NNP NNP NNP NNP ( NNP ) :
|
||
|
|
# 200 million of undated variable-rate notes priced at par via Merill Lynch International Ltd . # CD CD IN JJ JJ NNS VBN IN NN IN NNP NNP NNP NNP .
|
||
|
|
Initial interest rate set at 0.375 point over three-month Libor . JJ NN NN VBN IN CD NN IN JJ NNP .
|
||
|
|
Subsequent margins set by agreement between NatWest and Merrill . JJ NNS VBN IN NN IN NNP CC NNP .
|
||
|
|
If no margin agreed , there is a fallback rate of Libor plus 0.75 point in years one to 15 , and Libor plus 1.25 point thereafter . IN DT NN VBD , EX VBZ DT NN NN IN NNP CC CD NN IN NNS CD TO CD , CC NNP CC CD NN RB .
|
||
|
|
Keihin Electric Express Railway Co . -LRB- Japan -RRB- -- NNP NNP NNP NNP NNP . ( NNP ) :
|
||
|
|
$ 150 million of bonds due Nov. 9 , 1993 , with equity-purchase warrants , indicating a 4 % coupon at par via Yamaichi International -LRB- Europe -RRB- Ltd . $ CD CD IN NNS JJ NNP CD , CD , IN JJ NNS , VBG DT CD NN NN IN NN IN NNP NNP ( NNP ) NNP .
|
||
|
|
Each $ 5,000 bond carries one warrant , exercisable from Dec. 1 , 1989 , through Nov. 2 , 1993 , to buy company shares at an expected premium of 2 1\/2 % to the closing share price when terms are fixed Oct. 24 . DT $ CD NN VBZ CD NN , JJ IN NNP CD , CD , IN NNP CD , CD , TO VB NN NNS IN DT VBN NN IN CD CD NN TO DT VBG NN NN WRB NNS VBP VBN NNP CD .
|
||
|
|
Seiren Co . -LRB- Japan -RRB- -- NNP NNP . ( NNP ) :
|
||
|
|
110 million Swiss francs of privately placed convertible notes due March 31 , 1994 , with an indicated 0.25 % coupon at par , via Bank Leu Ltd . CD CD JJ NNS IN RB VBN JJ NNS JJ NNP CD , CD , IN DT VBD CD NN NN IN NN , IN NNP NNP NNP .
|
||
|
|
Put option on March 31 , 1992 , at an indicated 109 to yield 3.865 % . VB NN IN NNP CD , CD , IN DT VBD CD TO VB CD NN .
|
||
|
|
Callable on March 31 , 1992 , at 109 , also beginning Sept. 30 , 1992 , from 101 1\/2 and declining half a point semiannually to par . JJ IN NNP CD , CD , IN CD , RB VBG NNP CD , CD , IN CD CD CC VBG PDT DT NN RB TO NN .
|
||
|
|
Each 50,000 Swiss franc note is convertible from Nov. 20 , 1989 , to March 17 , 1994 , at an indicated 5 % premium over the closing share price Oct. 25 , when terms are scheduled to be fixed . DT CD JJ NN NN VBZ JJ IN NNP CD , CD , TO NNP CD , CD , IN DT VBN NN NN NN IN DT VBG NN NN NNP CD , WRB NNS VBP VBN TO VB VBN .
|
||
|
|
N. Nomura & Co . -LRB- Japan -RRB- -- NNP NNP CC NNP . ( NNP ) :
|
||
|
|
50 million Swiss francs of privately placed convertible notes due March 31 , 1994 , with an indicated 0.5 % coupon at par , via Bank Julius Baer . CD CD JJ NNS IN RB VBN JJ NNS JJ NNP CD , CD , IN DT VBD CD NN NN IN NN , IN NNP NNP NNP .
|
||
|
|
Put option on March 31 , 1992 , at an indicated 108 1\/4 to yield 3.846 % . VB NN IN NNP CD , CD , IN DT VBD CD CD TO VB CD NN .
|
||
|
|
Each 50,000 Swiss franc note is convertible from Nov. 20 , 1989 , to March 17 , 1994 , at a 5 % premium over the closing share price Oct. 21 , when terms are scheduled to be fixed . DT CD JJ NN NN VBZ JJ IN NNP CD , CD , TO NNP CD , CD , IN DT NN NN NN IN DT VBG NN NN NNP CD , WRB NNS VBP VBN TO VB VBN .
|
||
|
|
Aegon N.V . -LRB- Netherlands -RRB- -- NNP NNP . ( NNP ) :
|
||
|
|
250 million Dutch guilders of 7 3\/4 % bonds due Nov. 15 , 1999 , priced at 101 1\/4 to yield 7.57 % at issue price and 7.86 % less full fees , via AMRO Bank . CD CD JJ NNS IN CD CD NN NNS JJ NNP CD , CD , VBN IN CD CD TO VB CD NN IN NN NN CC CD NN RBR JJ NNS , IN NNP NNP .
|
||
|
|
Fees 2 . NNS CD .
|
||
|
|
Continental Airlines -- NNP NNPS :
|
||
|
|
a four-part , $ 71 million issue of secured equipment certificates priced through Drexel Burnham Lambert Inc . DT JJ , $ CD CD NN IN VBN NN NNS VBN IN NNP NNP NNP NNP .
|
||
|
|
The size of the issue was decreased from an originally planned $ 95.2 million . DT NN IN DT NN VBD VBN IN DT RB VBN $ CD CD .
|
||
|
|
In addition , a planned two-part offering of $ 58 million in unsecured notes was n't offered . IN NN , DT VBN JJ NN IN $ CD CD IN JJ NNS VBD RB VBN .
|
||
|
|
The first part , consisting of $ 2.5 million of 11 1\/4 % secured equipment certificates due June 15 , 1990 , was priced at 98.481 with a yield to maturity of 13.75 % . DT JJ NN , VBG IN $ CD CD IN CD CD NN VBD NN NNS JJ NNP CD , CD , VBD VBN IN CD IN DT NN TO NN IN CD NN .
|
||
|
|
The second part , consisting of $ 28 million of 11 3\/4 % secured equipment certificates due June 15 , 1995 , was priced at 87.026 with a yield to maturity of 15.25 % . DT JJ NN , VBG IN $ CD CD IN CD CD NN VBD NN NNS JJ NNP CD , CD , VBD VBN IN CD IN DT NN TO NN IN CD NN .
|
||
|
|
The third part , consisting of $ 18.5 million of 12 1\/8 % secured equipment certificates due April 15 , 1996 , was priced at 85.60 with a yield to maturity of 15.75 % . DT JJ NN , VBG IN $ CD CD IN CD CD NN VBD NN NNS JJ NNP CD , CD , VBD VBN IN CD IN DT NN TO NN IN CD NN .
|
||
|
|
The fourth part , consisting of $ 22 million of 12 1\/2 % secured equipment certificates due April 15 , 1999 , was priced at 85.339 with a yield to maturity of 15.50 % . DT JJ NN , VBG IN $ CD CD IN CD CD NN VBD NN NNS JJ NNP CD , CD , VBD VBN IN CD IN DT NN TO NN IN CD NN .
|
||
|
|
The issue was rated single-B-2 by Moody 's and single-B by S&P . DT NN VBD VBN JJ IN NNP POS CC JJ IN NNP .
|
||
|
|
All parts of the issue are callable at any time at par . DT NNS IN DT NN VBP JJ IN DT NN IN NN .
|
||
|
|
Continental Airlines is a unit of Texas Air Corp . NNP NNPS VBZ DT NN IN NNP NNP NNP .
|
||
|
|
John V. Holmes , an investment-newsletter publisher , and three venture-capital firms he organized were enjoined from violating the registration provisions of the securities laws governing investment companies . NNP NNP NNP , DT NN NN , CC CD JJ NNS PRP VBD VBD VBN IN VBG DT NN NNS IN DT NNS NNS VBG NN NNS .
|
||
|
|
As part of an agreement that settled charges brought by the Securities and Exchange Commission , a receiver was also appointed for the three venture-capital firms . IN NN IN DT NN WDT VBD NNS VBN IN DT NNP CC NNP NNP , DT NN VBD RB VBN IN DT CD JJ NNS .
|
||
|
|
Mr. Holmes was the subject of a page one profile in The Wall Street Journal in 1984 , after the SEC questioned him about ties between him and companies he touted in a newsletter . NNP NNP VBD DT NN IN DT NN CD NN IN DT NNP NNP NNP IN CD , IN DT NNP VBD PRP IN NNS IN PRP CC NNS PRP VBD IN DT NN .
|
||
|
|
In 1986 , in another consent agreement with the SEC , Mr. Holmes was enjoined from violating the stock-registration and anti-fraud provisions of the securities laws . IN CD , IN DT NN NN IN DT NNP , NNP NNP VBD VBN IN VBG DT NN CC JJ NNS IN DT NNS NNS .
|
||
|
|
Without any admission or denial of guilt by Mr. Holmes , that agreement settled SEC charges that Mr. Holmes sold unregistered securities and misled investors . IN DT NN CC NN IN NN IN NNP NNP , DT NN VBD NNP NNS IN NNP NNP VBD JJ NNS CC VBD NNS .
|
||
|
|
In charges filed last week in federal district court in Charlotte , N.C. , the SEC alleged that Venture Capitalists Inc. , Venture Finance Corp. and New Ventures Fund Inc. , all of Charlotte , failed repeatedly to file proper documents . IN NNS VBD JJ NN IN JJ NN NN IN NNP , NNP , DT NNP VBD IN NNP NNPS NNP , NNP NNP NNP CC NNP NNP NNP NNP , DT IN NNP , VBD RB TO VB JJ NNS .
|
||
|
|
The SEC also charged that Mr. Holmes acted as an officer or director of New Ventures , in violation of his previous consent agreement . DT NNP RB VBD IN NNP NNP VBD IN DT NN CC NN IN NNP NNP , IN NN IN PRP$ JJ NN NN .
|
||
|
|
`` Some companies were delinquent in filings and other actions , all of which cost money , '' Mr. Holmes said . `` DT NNS VBD JJ IN NNS CC JJ NNS , DT IN WDT VBP NN , '' NNP NNP VBD .
|
||
|
|
Two of Mr. Holmes 's business associates who worked for Venture Capitalists , Kimberly Ann Smith and Frederick Byrum , also consented to being enjoined from violations of registration provisions of the securities laws . CD IN NNP NNP POS NN NNS WP VBD IN NNP NNPS , NNP NNP NNP CC NNP NNP , RB VBD TO VBG VBN IN NNS IN NN NNS IN DT NNS NNS .
|
||
|
|
Ms. Smith also agreed to a permanent injunction barring her from acting as an officer , director or investment adviser of any mutual fund , unit investment trust or face-amount certificate company . NNP NNP RB VBD TO DT JJ NN VBG PRP IN VBG IN DT NN , NN CC NN NN IN DT JJ NN , NN NN NN CC JJ NN NN .
|
||
|
|
Mr. Byrum and Ms. Smith could n't be reached for comment . NNP NNP CC NNP NNP MD RB VB VBN IN NN .
|
||
|
|
In consenting to the injunctions , none of the individuals or companies admitted or denied the allegations . IN VBG TO DT NNS , NN IN DT NNS CC NNS VBD CC VBD DT NNS .
|
||
|
|
Senate Republicans have settled on a proposal that would cut the capital-gains tax for individuals and corporations . NNP NNPS VBP VBN IN DT NN WDT MD VB DT NNS VBP IN NNS CC NNS .
|
||
|
|
At the same time , a small group of Senate Democrats are working on a similar plan and may introduce it soon . IN DT JJ NN , DT JJ NN IN NNP NNPS VBP VBG IN DT JJ NN CC MD VB PRP RB .
|
||
|
|
Sen. Bob Packwood -LRB- R. , Ore. -RRB- , the lead sponsor of the GOP proposal , said he intends to unveil the plan today and to offer it as an amendment to whatever legislation comes along , particularly this month 's bill to raise the federal borrowing limit . NNP NNP NNP ( NNP , NNP ) , DT NN NN IN DT NNP NN , VBD PRP VBZ TO VB DT NN NN CC TO VB PRP IN DT NN TO WDT NN VBZ IN , RB DT NN POS NN TO VB DT JJ NN NN .
|
||
|
|
He gave 10-to-1 odds that a capital-gains tax cut of some sort would be approved this year , though it probably wo n't be included in the pending deficit-reduction bill . PRP VBD JJ NNS IN DT NNS VBP VB IN DT NN MD VB VBN DT NN , IN PRP RB MD RB VB VBN IN DT VBG NN NN .
|
||
|
|
He added that he expects to talk to the Democrats who also wanted to cut the gains tax about drafting a joint proposal . PRP VBD IN PRP VBZ TO VB TO DT NNPS WP RB VBD TO VB DT NNS VBP IN VBG DT JJ NN .
|
||
|
|
For individuals , the Packwood plan would exclude from income 5 % of the gain from the sale of a capital asset held for more than one year . IN NNS , DT NNP NN MD VB IN NN NN NN IN DT NN IN DT NN IN DT NN NN VBN IN JJR IN CD NN .
|
||
|
|
The exclusion would rise five percentage points for each year the asset was held until it reached a maximum of 35 % . DT NN MD VB CD NN NNS IN DT NN DT NN VBD VBN IN PRP VBD DT NN IN CD NN .
|
||
|
|
The exclusion would apply to assets sold after Oct. 1 , 1989 . DT NN MD VB TO NNS VBN IN NNP CD , CD .
|
||
|
|
As an alternative , he said , taxpayers could chose to reduce their gains by an inflation index . IN DT NN , PRP VBD , NNS MD VBD TO VB PRP$ NNS IN DT NN NN .
|
||
|
|
For corporations , the top tax rate on the sale of assets held for more than three years would be cut to 33 % from the current top rate of 34 % . IN NNS , DT JJ NN NN IN DT NN IN NNS VBN IN JJR IN CD NNS MD VB VBN TO CD NN IN DT JJ JJ NN IN CD NN .
|
||
|
|
That rate would gradually decline to as little as 29 % for corporate assets held for 15 years . DT NN MD RB VB TO RB JJ IN CD NN IN JJ NNS VBN IN CD NNS .
|
||
|
|
The Packwood plan would also include a proposal , designed by Sen. William Roth -LRB- R. , Del. -RRB- , that would expand and alter the deduction for individual retirement accounts . DT NNP NN MD RB VB DT NN , VBN IN NNP NNP NNP ( NNP , NNP ) , WDT MD VB CC VB DT NN IN JJ NN NNS .
|
||
|
|
The Roth plan would create a new , non-deductible IRA from which money could be withdrawn tax-free not only for retirement , but also for the purchase of a first home and to pay education and medical expenses . DT NNP NN MD VB DT JJ , JJ NNP IN WDT NN MD VB VBN JJ RB RB IN NN , CC RB IN DT NN IN DT JJ NN CC TO VB NN CC JJ NNS .
|
||
|
|
Current IRAs could be rolled over into the new IRAs but would be subject to tax . JJ NNS MD VB VBN IN IN DT JJ NNS CC MD VB NN TO VB .
|
||
|
|
For their part , the group of Democrats are working on a plan that , like the Packwood proposal , would grant larger exclusions to assets the longer they were held by individuals and companies . IN PRP$ NN , DT NN IN NNPS VBP VBG IN DT NN IN , IN DT NNP NN , MD VB JJR NNS TO NNS DT RB PRP VBD VBN IN NNS CC NNS .
|
||
|
|
Newly acquired assets would get a bigger break than those currently held . RB VBN NNS MD VB DT JJR NN IN DT RB VBN .
|
||
|
|
An extra exclusion would be given to long-held stock in small and medium-size corporations just starting up . DT JJ NN MD VB VBN TO JJ NN IN JJ CC JJ NNS RB VBG RB .
|
||
|
|
No one in the Senate is considering the capital-gains plan passed by the House . DT CD IN DT NNP VBZ VBG DT NNS VBP VBN IN DT NNP .
|
||
|
|
That plan would provide a 30 % exclusion to assets sold over a 2 1\/2-year period ending Dec. 31 , 1991 . DT NN MD VB DT CD NN NN TO NNS VBN IN DT CD JJ NN VBG NNP CD , CD .
|
||
|
|
After then , the House measure would boost the tax rate to 28 % and exclude from tax the gain attributable to inflation . IN RB , DT NNP NN MD VB DT NN NN TO CD NN CC VB IN NN DT NN JJ TO NN .
|
||
|
|
Senators are focusing on making a capital-gains differential permanent . NNS VBP VBG IN VBG DT NNS JJ JJ .
|
||
|
|
Separately , Chairman Dan Rostenkowski -LRB- D. , Ill . -RRB- of the House Ways and Means Committee said he did n't want the capital-gains tax cut or any other amendments attached to the pending bill raising the federal borrowing limit . RB , NNP NNP NNP ( NNP , NNP . ) IN DT NNP NNPS CC NNP NNP VBD PRP VBD RB VB DT NNS VBP VB CC DT JJ NNS VBN TO DT VBG NN VBG DT JJ NN NN .
|
||
|
|
The current debt limit expires Oct. 31 . DT JJ NN NN VBZ NNP CD .
|
||
|
|
He also urged House and Senate negotiators to rid the deficit-reduction bill of all provisions that increase the budget deficit , including the House-passed capital-gains provision . PRP RB VBD NNP CC NNP NNS TO VB DT NN NN IN DT NNS WDT VBP DT NN NN , VBG DT JJ NNS NN .
|
||
|
|
From a helicopter a thousand feet above Oakland after the second-deadliest earthquake in U.S. history , a scene of devastation emerges : a freeway crumbled into a concrete sandwich , hoses pumping water into once-fashionable apartments , abandoned autos . IN DT NN DT CD NNS IN NNP IN DT JJ NN IN NNP NN , DT NN IN NN VBZ : DT NN VBD IN DT JJ NN , NNS VBG NN IN JJ NNS , VBN NNS .
|
||
|
|
But this quake was n't the big one , the replay of 1906 that has been feared for so many years . CC DT NN VBD RB DT JJ CD , DT NN IN CD WDT VBZ VBN VBN IN RB JJ NNS .
|
||
|
|
Despite the tragic loss of more than 270 lives , and damage estimated in the billions , most businesses and their plants and offices in the Bay area were n't greatly affected . IN DT JJ NN IN JJR IN CD NNS , CC NN VBN IN DT NNS , RBS NNS CC PRP$ NNS CC NNS IN DT NNP NN VBD RB RB VBN .
|
||
|
|
The economic life of the region is expected to revive in a day or two , although some transportation problems may last weeks or months . DT JJ NN IN DT NN VBZ VBN TO VB IN DT NN CC CD , IN DT NN NNS MD VB NNS CC NNS .
|
||
|
|
A main factor mitigating more widespread damage was the location of the quake 's epicenter -- 20 miles from the heart of the Silicon Valley and more than 50 miles from downtown San Francisco and Oakland . DT JJ NN VBG RBR JJ NN VBD DT NN IN DT NN POS NN : CD NNS IN DT NN IN DT NNP NNP CC JJR IN CD NNS IN NN NNP NNP CC NNP .
|
||
|
|
Also , the region 's insistence on strict building codes helped prevent wider damage . RB , DT NN POS NN IN JJ NN NNS VBD VB JJR NN .
|
||
|
|
The tremendous energy of the quake was dissipated by the distance , so that most parts of the valley and the major cities suffered largely cosmetic damage -- broken windows , falling brick and cornices , buckled asphalt or sidewalks . DT JJ NN IN DT NN VBD VBN IN DT NN , RB IN RBS NNS IN DT NN CC DT JJ NNS VBD RB JJ NN : VBN NNS , VBG NN CC NNS , VBD NN CC NNS .
|
||
|
|
Of course , the quake was the worst since the emergence of the computer era turned Silicon Valley into the nation 's capital of high technology . IN NN , DT NN VBD DT JJS IN DT NN IN DT NN NN VBD NNP NNP IN DT NN POS NN IN JJ NN .
|
||
|
|
Like other major American cities , the San Francisco -- Oakland area owes its current prosperity more to its infrastructure of fiber-optic cables linking thousands of computer terminals and telephones than to its location astride one of the world 's great natural harbors . IN JJ JJ JJ NNS , DT NNP NNP : NNP NN VBZ PRP$ JJ NN JJR TO PRP$ NN IN JJ NNS VBG NNS IN NN NNS CC NNS IN TO PRP$ NN IN CD IN DT NN POS JJ JJ NNS .
|
||
|
|
When the tremors struck , the region 's largely unseen high-tech fabric held up surprisingly well despite the devastation visible from the air . WRB DT NNS VBD , DT NN POS RB JJ JJ NN VBN IN RB RB IN DT NN JJ IN DT NN .
|
||
|
|
Michael L. Bandler , vice president for network technology at Pacific Bell Telephone Co. , says nearly all the network 's computer switches , which move thousands of calls a minute from one location to another , changed to battery power when the city lost power . NNP NNP NNP , NN NN IN NN NN IN NNP NNP NNP NNP , VBZ RB PDT DT NN POS NN NNS , WDT VBP NNS IN VBZ DT NN IN CD NN TO DT , VBN TO NN NN WRB DT NN VBD NN .
|
||
|
|
The battery packs have enough power for only three hours , but that gave emergency crews time to turn on an emergency system that runs primarily on diesel fuel . DT NN NNS VBP JJ NN IN RB CD NNS , CC DT VBD NN NNS NN TO VB IN DT NN NN WDT VBZ RB IN NN NN .
|
||
|
|
Of some 160 switches in Pacific Bell 's network , only four went down . IN DT CD NNS IN NNP NNP POS NN , RB CD VBD RB .
|
||
|
|
One of those was in Hollister , Calif. , near the earthquake 's epicenter . CD IN DT VBD IN NNP , NNP , IN DT NN POS NN .
|
||
|
|
Few telephone lines snapped . JJ NN NNS VBD .
|
||
|
|
That 's because the widely used fiber-optic cable has been installed underground with 25 extra feet of cable between junction points . DT VBZ IN DT RB VBN JJ NN VBZ VBN VBN JJ IN CD JJ NNS IN NN IN NN NNS .
|
||
|
|
The slack absorbs the pulling strain generated by an earthquake . DT NN VBZ DT VBG NN VBN IN DT NN .
|
||
|
|
Nevertheless , phone service was sporadic ; many computer terminals remained dark , and by late yesterday a third of San Francisco remained without power . RB , NN NN VBD JJ : JJ NN NNS VBD JJ , CC IN JJ NN DT JJ IN NNP NNP VBD IN NN .
|
||
|
|
Business in the nation 's fourth-largest metropolitan region was nearly paralyzed ; an estimated one million members of the work force stayed at home . NN IN DT NN POS JJ JJ NN VBD RB VBN : DT VBN CD CD NNS IN DT NN NN VBD IN NN .
|
||
|
|
The economic dislocation was as abrupt as the earthquake itself , as virtually all businesses shut down . DT JJ NN VBD RB JJ IN DT NN PRP , IN RB DT NNS VBN RB .
|
||
|
|
The $ 125-billion-a-year Bay area economy represents one-fourth of the economy of the nation 's most populous state and accounts for 2 % to 3 % of the nation 's total output of goods and services , according to the Center for Continuing Study of the California Economy in Palo Alto . DT $ NNP NNP NN NN VBZ NN IN DT NN IN DT NN POS RBS JJ NN CC NNS IN CD NN TO CD NN IN DT NN POS JJ NN IN NNS CC NNS , VBG TO DT NNP IN VBG NNP IN DT NNP NNP IN NNP NNP .
|
||
|
|
In high-tech , the Bay area accounts for 15 % to 20 % of the U.S. computer-related industry . IN JJ , DT NNP NN NNS IN CD NN TO CD NN IN DT NNP JJ NN .
|
||
|
|
`` This has been a major disruption for the Bay area economy , '' says Pauline Sweezey , the chief economist at the California Department of Finance . `` DT VBZ VBN DT JJ NN IN DT NNP NN NN , '' VBZ NNP NNP , DT JJ NN IN DT NNP NNP IN NNP .
|
||
|
|
`` Obviously , things are going to have to go on hold for many companies . '' `` RB , NNS VBP VBG TO VB TO VB IN NN IN JJ NNS . ''
|
||
|
|
The damage to the Bay area 's roadways could cause significant economic hardship . DT NN TO DT NNP NN POS NNS MD VB JJ JJ NN .
|
||
|
|
A quarter of a million people cross the Bay Bridge every day , far more than the 100,000 that use the Bay Area Rapid Transit system -LRB- BART -RRB- -- which was working but was n't stopping in the city 's Financial District yesterday afternoon because electricity was shut off and the area was being checked for gas leaks . DT NN IN DT CD NNS VBP DT NNP NNP DT NN , RB JJR IN DT CD DT NN DT NNP NNP NNP NNP NN ( NNP ) : WDT VBD VBG CC VBD RB VBG IN DT NN POS NNP NNP NN NN IN NN VBD VBN IN CC DT NN VBD VBG VBN IN NN NNS .
|
||
|
|
California state transportation officials interviewed by telephone say they nevertheless do n't expect serious problems for commerce in and out of the Bay area . JJ NN NN NNS VBN IN NN VBP PRP RB VBP RB VB JJ NNS IN NN IN CC IN IN DT NNP NN .
|
||
|
|
All major roadways except Interstate 880 , known as the Nimitz Freeway , and the Bay Bridge were open by 1 p.m. yesterday . DT JJ NNS IN NNP CD , VBN IN DT NNP NNP , CC DT NNP NNP VBD JJ IN CD NN NN .
|
||
|
|
Officials expect difficulty routing traffic through downtown San Francisco . NNS VBP NN VBG NN IN NN NNP NNP .
|
||
|
|
The earthquake caused many streets to buckle and crack , making them impassible . DT NN VBD JJ NNS TO VB CC NN , VBG PRP JJ .
|
||
|
|
Other roads were obstructed by collapsed buildings and damaged water and power lines , an emergency relief spokesman says . JJ NNS VBD VBN IN JJ NNS CC VBN NN CC NN NNS , DT NN NN NN NNS .
|
||
|
|
San Francisco Mayor Art Agnos estimated the damage to his city alone at $ 2 billion . NNP NNP NNP NNP NNP VBD DT NN TO PRP$ NN RB IN $ CD CD .
|
||
|
|
But many predicted that the commercial disruption would be short-lived . CC NN VBD IN DT JJ NN MD VB JJ .
|
||
|
|
Of the scores of companies contacted by this newspaper , few reported any damage that they did n't expect to have remedied within a day or two . IN DT NNS IN NNS VBN IN DT NN , NN VBD DT NN IN PRP VBD RB VB TO VB VBN IN DT NN CC CD .
|
||
|
|
It is possible , of course , that some of the most seriously damaged companies could n't be reached , particularly in areas nearest the epicenter . PRP VBZ JJ , IN NN , IN DT IN DT RBS RB VBN NNS MD RB VB VBN , RB IN NNS JJS DT NN .
|
||
|
|
Typical , perhaps , was the situation at New United Motor Manufacturing Inc. , the General Motors Corp.-Toyota joint-venture auto plant in Fremont , about 35 miles south of Oakland . JJ , RB , VBD DT NN IN NNP NNP NNP NNP NNP , DT NNP NNPS JJ JJ NN NN IN NNP , IN CD NNS RB IN NNP .
|
||
|
|
Ten of the plant 's workers were injured when the quake hit about a half-hour into the afternoon shift ; seven were hospitalized . CD IN DT NN POS NNS VBD VBN WRB DT NN VBD IN DT NN IN DT NN NN : CD VBD VBN .
|
||
|
|
Metal racks on the plant floor fell over , and water mains ruptured , a spokeswoman says . NN NNS IN DT NN NN VBD IN , CC NN NNS VBN , DT NN NNS .
|
||
|
|
The plant was evacuated and workers sent home . DT NN VBD VBN CC NNS VBD NN .
|
||
|
|
But the plant was able to resume limited production of its Toyota Corollas and Geo Prizms by 6 a.m. yesterday , and absenteeism was only 7 % of the work force , about twice normal . CC DT NN VBD JJ TO VB JJ NN IN PRP$ NNP NNPS CC NNP NNPS IN CD NN NN , CC NN VBD RB CD NN IN DT NN NN , IN RB JJ .
|
||
|
|
Computer maker Hewlett-Packard Co. , based in Palo Alto , says one of its buildings sustained severe damage when it was knocked off its foundation . NN NN NNP NNP , VBN IN NNP NNP , VBZ CD IN PRP$ NNS VBD JJ NN WRB PRP VBD VBN IN PRP$ NN .
|
||
|
|
Other buildings had broken glass , dangling light fixtures and broken pipes , a spokesperson says , estimating the cost of reconstruction `` in the millions . '' JJ NNS VBD VBN NN , VBG NN NNS CC VBN NNS , DT NN VBZ , VBG DT NN IN NN `` IN DT NNS . ''
|
||
|
|
Most banks were closed but were expected to reopen today with few problems anticipated . JJS NNS VBD VBN CC VBD VBN TO VB NN IN JJ NNS VBN .
|
||
|
|
At the Federal Reserve Bank of San Francisco , Vice President Robert Fienberg says operations were `` steaming along as usual '' yesterday afternoon . IN DT NNP NNP NNP IN NNP NNP , NNP NNP NNP NNP VBZ NNS VBD `` VBG IN IN JJ '' NN NN .
|
||
|
|
` When the quake hit , we turned on our emergency generator and brought our computers up , '' he says . `` WRB DT NN VBD , PRP VBD IN PRP$ NN NN CC VBN PRP$ NNS IN , '' PRP VBZ .
|
||
|
|
The Fed serves as a middleman for banks , taking checks from one bank and sending them to another , an operation that it handled smoothly Tuesday night after the quake . DT NNP VBZ IN DT NN IN NNS , VBG NNS IN CD NN CC VBG PRP TO DT , DT NN IN PRP VBD RB NNP NN IN DT NN .
|
||
|
|
`` The volume we received from the banks was a lot lower than usual , '' he says . `` DT NN PRP VBD IN DT NNS VBD DT NN JJR IN JJ , '' PRP VBZ .
|
||
|
|
A disaster-contingency plan in which the Los Angeles Fed would come to San Francisco 's aid was n't needed , he adds . DT NN NN IN WDT DT NNP NNP NNP MD VB TO NNP NNP POS NN VBD RB VBN , PRP VBZ .
|
||
|
|
Most of the telephone problems in the immediate aftermath stemmed from congestion . JJS IN DT NN NNS IN DT JJ NN VBD IN NN .
|
||
|
|
The telephone network simply could n't handle the large number of people seeking to make a call at the same time . DT NN NN RB MD RB VB DT JJ NN IN NNS VBG TO VB DT NN IN DT JJ NN .
|
||
|
|
The volume resulted in dial-tone delays that were as short as 15 seconds and as long as five minutes . DT NN VBD IN NN NNS WDT VBD RB JJ IN CD NNS CC RB RB IN CD NNS .
|
||
|
|
Mr. Bandler puts traffic volume at 10 to 50 times normal . NNP NNP VBZ NN NN IN CD TO CD NNS JJ .
|
||
|
|
American Telephone & Telegraph Co. , MCI Communications Inc. and United Telecommunications ' U S Sprint unit were blocking phone calls into the Bay area to alleviate congestion . NNP NNP CC NNP NNP , NNP NNP NNP CC NNP NNP POS NNP NNP NNP NN VBD VBG NN NNS IN DT NNP NN TO VB NN .
|
||
|
|
The companies block traffic much as highway on-ramps are blocked when traffic backs up . DT NNS VBP NN JJ IN NN NNS VBP VBN WRB NN NNS RB .
|
||
|
|
William E. Downing , Pacific Bell 's vice president of customer services for the Bay area , says most long-distance companies were blocking about 50 % of all calls . NNP NNP NNP , NNP NNP POS NN NN IN NN NNS IN DT NNP NN , VBZ RBS JJ NNS VBD VBG IN CD NN IN DT VBZ .
|
||
|
|
Pacific Telesis says its Pacific Bell unit also was blocking about 50 % of its calls locally . NNP NNP VBZ PRP$ NNP NNP NN RB VBD VBG IN CD NN IN PRP$ NNS RB .
|
||
|
|
Ironically , the long-term effect of the earthquake may be to bolster the Bay area 's economic fortunes and , indeed , the nation 's gross national product . RB , DT JJ NN IN DT NN MD VB TO VB DT NNP NN POS JJ NNS CC , RB , DT NN POS JJ JJ NN .
|
||
|
|
It may also lead to new safeguards in major construction projects such as double-deck highways . PRP MD RB VB TO JJ NNS IN JJ NN NNS JJ IN JJ NNS .
|
||
|
|
`` It would in the near-term give a boost to the San Francisco economy because there will be an influx of people to help , '' says Beth Burnham Mace , a regional economist at DRI\/McGraw Hill , a Lexington , Mass. , forecasting firm . `` PRP MD IN DT JJ NN DT NN TO DT NNP NNP NN IN EX MD VB DT NN IN NNS TO VB , '' VBZ NNP NNP NNP , DT JJ NN IN NNP NNP , DT NNP , NNP , NN NN .
|
||
|
|
The construction industry is sure to feel increased demand . DT NN NN VBZ JJ TO VB VBN NN .
|
||
|
|
`` There will be a big influx of federal dollars and gains in state , federal and local employment , '' Ms. Mace says . `` EX MD VB DT JJ NN IN JJ NNS CC NNS IN NN , JJ CC JJ NN , '' NNP NNP VBZ .
|
||
|
|
Adds Stacy Kotman , an economist at Georgia State University , `` There 's nothing positive about an earthquake , but it will probably generate more construction activity . '' VBZ NNP NNP , DT NN IN NNP NNP NNP , `` EX VBZ NN JJ IN DT NN , CC PRP MD RB VB JJR NN NN . ''
|
||
|
|
Wall Street reacted swiftly yesterday to the disaster by bidding up stocks of construction and related companies . NNP NNP VBD RB NN TO DT NN IN NN IN NNS IN NN CC VBN NNS .
|
||
|
|
Shares of Lone Star Industries Inc. , a cement maker , rose sharply in anticipation of stepped-up demand . NNS IN NNP NNP NNP NNP , DT NN NN , VBD RB IN NN IN JJ NN .
|
||
|
|
In Greenwich , Conn. , Lone Star spokesman Michael London says , `` Obviously with an earthquake of this size , there are likely to be construction projects that would n't otherwise have been anticipated . IN NNP , NNP , NNP NNP NN NNP NNP VBZ , `` RB IN DT NN IN DT NN , EX VBP JJ TO VB NN NNS WDT MD RB RB VB VBN VBN .
|
||
|
|
But any increase is n't likely to be any kind of a surge . CC DT NN VBZ RB JJ TO VB DT NN IN DT NN .
|
||
|
|
It 's something likely to be spread out over a long period of time . PRP VBZ NN JJ TO VB VBN IN IN DT JJ NN IN NN .
|
||
|
|
There will be a lot of repair work that wo n't require the quantities of cement or concrete that new constructon would . '' EX MD VB DT NN IN NN NN WDT MD RB VB DT NNS IN NN CC JJ IN JJ NN MD . ''
|
||
|
|
Lone Star 's San Francisco facilities were n't damaged in the quake . NNP NNP POS NNP NNP NNS VBD RB VBN IN DT NN .
|
||
|
|
The earthquake is likely to reduce GNP negligibly in the near term and then could raise it a bit as rebuilding begins . DT NN VBZ JJ TO VB NNP RB IN DT JJ NN CC RB MD VB PRP DT NN IN VBG VBZ .
|
||
|
|
The first effects are , of course , negative as work is disrupted and people lose income and cut spending . DT JJ NNS VBP , IN NN , JJ IN NN VBZ VBN CC NNS VBP NN CC VB NN .
|
||
|
|
Corporate profits may also dip initially . JJ NNS MD RB VB RB .
|
||
|
|
Many of the lost tourism dollars wo n't be recovered ; many trips delayed never take place . JJ IN DT VBN NN NNS MD RB VB VBN : JJ NNS VBN RB VB NN .
|
||
|
|
Subsequently , however , the ill effects are likely to be offset , at least in economic terms , as construction activity begins . RB , RB , DT JJ NNS VBP JJ TO VB VB , IN JJS IN JJ NNS , IN NN NN VBZ .
|
||
|
|
Because of the way the government keeps its books , the damage to the Bay Bridge , however costly , wo n't be counted as a minus . IN IN DT NN DT NN VBZ PRP$ NNS , DT NN TO DT NNP NNP , RB JJ , MD RB VB VBN IN DT CC .
|
||
|
|
The money spent on repairs will be counted as a plus . DT NN VBD IN NNS MD VB VBN IN DT CC .
|
||
|
|
`` It 's very difficult to model the long-term impact of this , '' says Andrew Goldberg , who studies the public-policy and crisis-management aspects of earthquakes at the Center for Strategic International Studies in Washington , D.C . `` PRP VBZ RB JJ TO VB DT JJ NN IN DT , '' VBZ NNP NNP , WP VBZ DT NN CC JJ NNS IN NNS IN DT NNP IN NNP NNP NNS IN NNP , NNP .
|
||
|
|
`` You certainly can say it 's going to be extremely severe . `` PRP RB MD VB PRP VBZ VBG TO VB RB JJ .
|
||
|
|
We really are talking about shutting down a major American city for a number of days , maybe for a few weeks . '' PRP RB VBP VBG IN VBG RP DT JJ JJ NN IN DT NN IN NNS , RB IN DT JJ NNS . ''
|
||
|
|
Mr. Goldberg says the cost of the earthquake will definitely top $ 1 billion and could reach $ 4 billion . NNP NNP VBZ DT NN IN DT NN MD RB JJ $ CD CD CC MD VB $ CD CD .
|
||
|
|
He cautions that early damage estimates are often low ; the damage totals in Hurricane Hugo increased tenfold as more information was received . PRP VBZ IN JJ NN NNS VBP RB JJ : DT NN VBZ IN NNP NNP VBD RB IN JJR NN VBD VBN .
|
||
|
|
The earthquake damage , of course , would have been far greater if the epicenter had been in downtown San Francisco . DT NN NN , IN NN , MD VB VBN RB JJR IN DT NN VBD VBN IN NN NNP NNP .
|
||
|
|
A direct hit on a major city , Mr. Goldberg figures , would cause $ 20 billion to $ 40 billion of damage . DT JJ VBD IN DT JJ NN , NNP NNP VBZ , MD VB $ CD CD TO $ CD CD IN NN .
|
||
|
|
Experts caution that it is far too soon for reliable estimates of the quake 's total damage , but it 's clear that insurers are likely to pay out enormous sums . NNS VBP IN PRP VBZ RB RB RB IN JJ NNS IN DT NN POS JJ NN , CC PRP VBZ JJ IN NNS VBP JJ TO VB RP JJ NNS .
|
||
|
|
Jack Byrne , the chairman of Fireman 's Fund Corp. , which is based in Novato , Calif. , estimates insured losses resulting the earthquake could total $ 2 billion . NNP NNP , DT NN IN NNP POS NNP NNP , WDT VBZ VBN IN NNP , NNP , NNS VBD NNS VBG DT NN MD VB $ CD CD .
|
||
|
|
The impact on the insurance industry `` will be big and harsh , but less than -LCB- Hurricane -RCB- Hugo , '' says Mr. Byrne , who toured the Bay area by car yesterday afternoon to get a sense of the company 's exposure to the earthquake . DT NN IN DT NN NN `` MD VB JJ CC JJ , CC JJR IN ( NNP ) NNP , '' VBZ NNP NNP , WP VBD DT NNP NN IN NN NN NN TO VB DT NN IN DT NN POS NN TO DT NN .
|
||
|
|
Mr. Byrne says Fireman 's Fund will probably pay hundreds of millions in primary claims , but , after taxes and use of its reinsurance lines , the company 's fourthquarter charge against earnings should n't top $ 50 million . NNP NNP VBZ NNP POS NNP MD RB VB NNS IN NNS IN JJ NNS , CC , IN NNS CC NN IN PRP$ NN NNS , DT NN POS NN NN IN NNS MD RB JJ $ CD CD .
|
||
|
|
The company was able to assess its damage liability quickly because it has computerized maps of Northern California showing the exact locations of all the property it insures . DT NN VBD JJ TO VB PRP$ NN NN RB IN PRP VBZ JJ NNS IN NNP NNP VBG DT JJ NNS IN PDT DT NN PRP VBZ .
|
||
|
|
Fireman 's Fund had claims adjusters on the streets of San Francisco right after sunrise yesterday and was paying as many claims as it could right on the spot . NNP POS NNP VBD NNS NNS IN DT NNS IN NNP NNP NN IN NN NN CC VBD VBG IN JJ NNS IN PRP MD VB IN DT NN .
|
||
|
|
Fireman 's Fund insures 37,300 homes and autos and 35,000 businesses in the Bay area . NNP POS NNP VBZ CD NNS CC NNS CC CD NNS IN DT NNP NN .
|
||
|
|
In addition to paying for earthquake and fire damage , the insurer must cover worker-compensation claims and also losses due to businesses being shut down by lack of power or phone service . IN NN TO VBG IN NN CC NN NN , DT NN MD VB NN NNS CC RB NNS JJ TO NNS VBG VBN RB IN NN IN NN CC NN NN .
|
||
|
|
But many Californians may not have adequate insurance coverage to pay for damages to their property . CC JJ NNS MD RB VB JJ NN NN TO VB IN NNS TO PRP$ NN .
|
||
|
|
The Independent Insurance Agents of America says fewer than one of every five California homeowners has earthquake insurance . DT NNP NNP NNS IN NNP VBZ JJR IN CD IN DT CD NNP NNS VBZ NN NN .
|
||
|
|
A somewhat higher percentage of people living in the Bay area have bought the additional insurance protection , but the great majority are n't covered . DT RB JJR NN IN NNS VBG IN DT NNP NN VBP VBN DT JJ NN NN , CC DT JJ NN VBP RB VBN .
|
||
|
|
Earthquake insurance typically runs $ 200 or more a year for a small house . NN NN RB VBZ $ CD CC JJR DT NN IN DT JJ NN .
|
||
|
|
Whatever the long-term economic effect , the scene from the helicopter above Oakland is one of tragedy . WDT DT JJ JJ NN , DT NN IN DT NN IN NNP VBZ CD IN NN .
|
||
|
|
Gargantuan sections of a double-decker freeway have been heaved about like plastic building blocks . JJ NNS IN DT JJ NN VBP VBN VBN IN IN NN NN NNS .
|
||
|
|
Atop them sit cars and trucks abandoned in a terrifying scramble to safety the day before . IN PRP VBP NNS CC NNS VBN IN DT JJ NN TO VB DT NN RB .
|
||
|
|
In areas where the freeway made giant concrete sandwiches of itself lie cars that police say have been flattened into foot-thick slabs . IN NNS WRB DT NN VBD NN JJ NNS IN PRP VBP NNS WDT NN VBP VBP VBN VBN IN JJ NNS .
|
||
|
|
On the periphery , rescue workers seem , from the air , to move in slow motion . IN DT NN , NN NNS VBP , IN DT NN , TO VB IN JJ NN .
|
||
|
|
They peck away at the 1 1\/2-mile section of rubble , searching for more of the 250 people thought to have died here . PRP VBP RB IN DT CD JJ NN IN NN , VBG IN JJR IN DT CD NNS VBD TO VB VBN RB .
|
||
|
|
About 20 other deaths were also attributed to the earthquake . IN CD JJ NNS VBD RB VBN TO DT NN .
|
||
|
|
The heart of the earthquake , 6.9 on the Richter scale , was 50 miles to the south , near Santa Cruz , but its terrible fist struck here on the Nimitz Freeway , a major artery serving the Bay Bridge between Oakland and San Francisco . DT NN IN DT NN , CD IN DT NNP NN , VBD CD NNS TO DT RB , IN NNP NNP , CC PRP$ JJ NN VBD RB IN DT NNP NNP , DT JJ NN VBG DT NNP NNP IN NNP CC NNP NNP .
|
||
|
|
Along the way , the quake toppled a mall in Santa Cruz , knocked down buildings in San Francisco 's fashionable Marina District and sent a wall of bricks crashing on motorists in the city 's Financial District . IN DT NN , DT NN VBD DT NN IN NNP NNP , VBD JJ NNS IN NNP NNP POS JJ NNP NNP CC VBD DT NN IN NNS VBG IN NNS IN DT NN POS NNP NNP .
|
||
|
|
Just a short span across the bay to the west , the quake also showed its mettle : A four-square-block area of the Marina District lies smoldering under a steady stream of seawater being pumped onto rubble to prevent it from blazing anew . RB DT JJ NN IN DT NN TO DT NN , DT NN RB VBD PRP$ NN : DT JJ NN IN DT NNP NNP VBZ VBG IN DT JJ NN IN NN VBG VBN IN NN TO VB PRP IN VBG RB .
|
||
|
|
Many of the buildings , mostly condominiums and apartments , were flattened almost instantly as the underlying soil -- much of it landfill -- was literally turned to ooze by the quake 's intensive shaking , rupturing gas lines . JJ IN DT NNS , JJ NNS CC NNS , VBD VBN RB RB IN DT VBG NN : NN IN PRP NN : VBD RB VBN TO VB IN DT NN POS JJ NN , VBG NN NNS .
|
||
|
|
Onlookers say three persons died when one of the buildings exploded into a fireball shortly after the quake struck . NNS VBP CD NNS VBD WRB CD IN DT NNS VBD IN DT NN RB IN DT NN VBD .
|
||
|
|
Efforts to fight the blaze were hampered because water mains were severed as well . NNS TO VB DT NN VBD VBN IN NN NNS VBD VBN IN RB .
|
||
|
|
From the air , ribbons of yellow fire hose carry water from the bay to high-pressure nozzles trained on the site . IN DT NN , NNS IN JJ NN NN NN NN IN DT NN TO JJ NNS VBN IN DT NN .
|
||
|
|
As onlookers stand behind barricades , helmeted firemen and building inspectors survey rows of nearby buildings that were twisted from their foundations and seem on the verge of collapse . IN NNS VBP IN NNS , JJ NNS CC NN NNS VBP NNS IN JJ NNS WDT VBD VBN IN PRP$ NNS CC VB IN DT NN IN NN .
|
||
|
|
In the Marina District , residents spent yesterday assessing damage , cleaning up and trying to find friends and neighbors . IN DT NNP NNP , NNS VBD NN VBG NN , NN IN CC VBG TO VB NNS CC NNS .
|
||
|
|
Evelyn Boccone , 85 years old , has lived in the district most of her life . NNP NNP , CD NNS JJ , VBZ VBN IN DT NN RBS IN PRP$ NN .
|
||
|
|
Her parents lost everything in the 1906 earthquake . PRP$ NNS VBD NN IN DT CD NN .
|
||
|
|
`` Now , we realize what our mothers must have gone through , '' she says . `` RB , PRP VBP WP PRP$ NNS MD VB VBN IN , '' PRP VBZ .
|
||
|
|
`` We always heard about the earthquake , but as children we did n't always listen . `` PRP RB VBD IN DT NN , CC IN NNS PRP VBD RB RB VB .
|
||
|
|
PRINCE HENRI is the crown prince and hereditary grand duke of Luxembourg . NNP NNP VBZ DT NN NN CC JJ JJ NN IN NNP .
|
||
|
|
An article in the World Business Report of Sept. 22 editions incorrectly referred to his father , Grand Duke Jean , as the crown prince . DT NN IN DT NNP NNP NNP IN NNP CD NNS RB VBN TO PRP$ NN , NNP NNP NNP , IN DT NN NN .
|
||
|
|
Resolution Funding Corp. plans to sell $ 4.5 billion of 30-year bonds Wednesday in the agency 's first sale of securities . NNP NNP NNP VBZ TO VB $ CD CD IN JJ NNS NNP IN DT NN POS JJ NN IN NNS .
|
||
|
|
The new bonds will be dated Oct. 30 and mature Oct. 15 , 2019 . DT JJ NNS MD VB VBN NNP CD CC NNP NNP CD , CD .
|
||
|
|
Tenders for the bonds , available in minimum denominations of $ 1,000 , must be received by 1 p.m. EDT Wednesday at Federal Reserve banks . NNS IN DT NNS , JJ IN JJ NNS IN $ CD , MD VB VBN IN CD NN NNP NNP IN NNP NNP NNS .
|
||
|
|
Refcorp , created by the thrift-overhaul law enacted in August , will use the proceeds to merge or sell off ailing savings-and-loan institutions . NNP , VBN IN DT NN NN VBN IN NNP , MD VB DT NNS TO VB CC VB IN VBG JJ NNS .
|
||
|
|
Congress authorized $ 50 billion to be borrowed to pay for the thrift bailout . NNP VBD $ CD CD TO VB VBN TO VB IN DT NN NN .
|
||
|
|
Of that amount , $ 20 billion has already been borrowed by the Treasury Department . IN DT NN , $ CD CD VBZ RB VBN VBN IN DT NNP NNP .
|
||
|
|
Unless otherwise specified in a particular offer , the bonds wo n't be subject to redemption prior to maturity . IN RB VBN IN DT JJ NN , DT NNS MD RB VB NN TO NN RB TO NN .
|
||
|
|
Interest payments on the bonds will be payable semiannually . NN NNS IN DT NNS MD VB JJ RB .
|
||
|
|
The bonds are subject to federal taxation in the U.S. , including income taxes . DT NNS VBP NN TO JJ NN IN DT NNP , VBG NN NNS .
|
||
|
|
At the state and local level , the bonds are subject to surtaxes and estate , inheritance and gift taxes , but exempt from taxation as to principal and interest . IN DT NN CC JJ NN , DT NNS VBP NN TO NNS CC NN , NN CC NN NNS , CC JJ IN NN IN TO NN CC NN .
|
||
|
|
G.D. Searle & Co. , a Monsanto Co. unit , is launching a program to give consumers more information about its drugs when doctors prescribe them . NNP NNP CC NNP , DT NNP NNP NN , VBZ VBG DT NN TO VB NNS JJR NN IN PRP$ NNS WRB NNS VBP PRP .
|
||
|
|
Called Patients in the Know , the program features fact sheets designed to be easy to understand . VBN NNS IN DT VB , DT NN NNS NN NNS VBN TO VB JJ TO VB .
|
||
|
|
The sheets tell how the medicine works , describe how to use it and list its possible side effects . DT NNS VBP WRB DT NN NNS , VB WRB TO VB PRP CC VB PRP$ JJ NN NNS .
|
||
|
|
They are designed to be given to patients by their doctors when the medicines are prescribed and include space for the doctor to write special instructions . PRP VBP VBN TO VB VBN TO NNS IN PRP$ NNS WRB DT NNS VBP VBN CC VBP NN IN DT NN TO VB JJ NNS .
|
||
|
|
In addition , Searle will give pharmacists brochures on the use of prescription drugs for distribution in their stores . IN NN , NNP MD VB NNS NNS IN DT NN IN NN NNS IN NN IN PRP$ NNS .
|
||
|
|
Consumer groups have long advocated that drug companies and doctors make more information available to patients . NN NNS VBP RB VBN IN NN NNS CC NNS VBP JJR NN JJ TO NNS .
|
||
|
|
`` We believe that every drug that 's marketed to a consumer should have a consumer label , '' said Douglas Teich of the Public Citizen Health Research Group , a Ralph Nader affiliate . `` PRP VBP IN DT NN WDT VBZ VBN TO DT NN MD VB DT NN NN , '' VBD NNP NNP IN DT NNP NNP NNP NNP NNP , DT NNP NNP NN .
|
||
|
|
Dr. Teich said Searle is `` the only company I know that voluntarily '' will make consumer information available . NNP NNP VBD NNP VBZ `` DT JJ NN PRP VBP IN RB '' MD VB NN NN JJ .
|
||
|
|
According to federal officials and drug-industry studies , nearly half of the 1.6 billion prescriptions filled each year are n't used properly , meaning that money is wasted on some prescriptions and patients are deprived of the benefits of medication . VBG TO JJ NNS CC NN NNS , RB NN IN DT CD CD NNS VBD DT NN VBP RB VBN RB , VBG DT NN VBZ VBN IN DT NNS CC NNS VBP VBN IN DT NNS IN NN .
|
||
|
|
`` We think it 's very important to provide as much information as possible on the drugs consumers take , '' said Searle Chairman Sheldon Gilgore . `` PRP VBP PRP VBZ RB JJ TO VB IN JJ NN IN JJ IN DT NNS NNS VBP , '' VBD NNP NNP NNP NNP .
|
||
|
|
Bond prices rambled yesterday as investors kept close watch on the stock market and worried about a wave of new supply . NN NNS VBD NN IN NNS VBD VB NN IN DT NN NN CC VBN IN DT NN IN JJ NN .
|
||
|
|
Early yesterday , bonds rose as investors rushed to buy Treasury securities on the prospect that stocks would plummet in the aftermath of the massive California earthquake . JJ NN , NNS VBD IN NNS VBD TO VB NNP NNS IN DT NN IN NNS MD VB IN DT NN IN DT JJ NNP NN .
|
||
|
|
For example , some securities analysts warned that stocks of certain insurance companies , which face massive damage claims , would get hit hard . IN NN , DT NNS NNS VBD IN NNS IN JJ NN NNS , WDT VBP JJ NN NNS , MD VB VB JJ .
|
||
|
|
But when the Dow Jones Industrial Average rose instead , bonds drifted lower . CC WRB DT NNP NNP NNP NNP VBD RB , NNS VBD JJR .
|
||
|
|
With stocks not a major focus , `` we 're waiting for the next guiding light , '' said Brian J. Fabbri , chief economist at Midland Montagu Securities Inc . IN NNS RB DT JJ NN , `` PRP VBP VBG IN DT JJ VBG NN , '' VBD NNP NNP NNP , JJ NN IN NNP NNP NNP NNP .
|
||
|
|
`` If the stock market tremors are behind us , then the bond market will go back to looking at the next batch of economic numbers to determine '' where interest rates are heading . `` IN DT NN NN NNS VBP IN PRP , RB DT NN NN MD VB RB TO VBG IN DT JJ NN IN JJ NNS TO VB '' WRB NN NNS VBP VBG .
|
||
|
|
The Treasury 's benchmark 30-year bond , which jumped 3\/8 point , or about $ 3.75 for each $ 1,000 face amount , during the first hour of trading , ended little changed . DT NNP POS NN JJ NN , WDT VBD CD NN , CC RB $ CD IN DT $ CD NN NN , IN DT JJ NN IN NN , VBD RB VBN .
|
||
|
|
Interest rates barely budged from Tuesday 's levels . NN NNS RB VBD IN NNP POS NNS .
|
||
|
|
Most junk bonds , which have been battered in recent weeks , continued a slow recuperation and ended unchanged to slightly higher . JJS NN NNS , WDT VBP VBN VBN IN JJ NNS , VBD DT JJ NN CC VBD JJ TO RB JJR .
|
||
|
|
But some so-called high-quality junk issues fell as some mutual funds sold their most liquid issues to raise cash . CC DT JJ JJ NN NNS VBD IN DT JJ NNS VBD PRP$ RBS JJ NNS TO VB NN .
|
||
|
|
RJR Holdings Capital Corp. 's 14.7 % bonds due 2009 fell one point . NNP NNP NNP NNP POS CD NN NNS JJ CD VBD CD NN .
|
||
|
|
Other RJR issues fell between 1\/2 point and 1 1\/2 point . NNP NNP NNS VBD IN CD NN CC CD CD NN .
|
||
|
|
In the latest sign of how difficult it is to place certain junk bonds , Continental Airlines said it was forced to scale back the size of its latest offering . IN DT JJS NN IN WRB JJ PRP VBZ TO VB JJ NN NNS , NNP NNPS VBD PRP VBD VBN TO VB RB DT NN IN PRP$ JJS NN .
|
||
|
|
Continental , a unit of Texas Air Corp. , slashed the size of its note offering from $ 150 million to $ 71 million . NNP , DT NN IN NNP NNP NNP , VBD DT NN IN PRP$ NN NN IN $ CD CD TO $ CD CD .
|
||
|
|
The move had been widely expected . DT NN VBD VBN RB VBN .
|
||
|
|
In the multipart offering , the company sold a portion of secured notes but shelved all the unsecured notes . IN DT JJ NN , DT NN VBD DT NN IN VBN NNS CC VBD PDT DT JJ NNS .
|
||
|
|
A Continental spokeswoman said the notes may be offered at a later date . DT NNP NN VBD DT NNS MD VB VBN IN DT JJ NN .
|
||
|
|
`` This was not a do-or-die deal , '' she said . `` DT VBD RB DT JJ NN , '' PRP VBD .
|
||
|
|
`` I think this is a market that required some level of security . `` PRP VBP DT VBZ DT NN WDT VBD DT NN IN NN .
|
||
|
|
It did not make sense to offer unsecured paper in an unsettling market . '' PRP VBD RB VB NN TO VB JJ NN IN DT JJ NN . ''
|
||
|
|
Investors have been speculating for weeks about the market 's ability to place the $ 7 billion to $ 10 billion of new junk bonds scheduled to be sold by year end . NNS VBP VBN VBG IN NNS IN DT NN POS NN TO VB DT $ CD CD TO $ CD CD IN JJ NN NNS VBN TO VB VBN IN NN NN .
|
||
|
|
Supply troubles were also on the minds of Treasury investors yesterday , who worried about the flood of new government securities coming next week . NN NNS VBD RB IN DT NNS IN NNP NNS NN , WP VBD IN DT NN IN JJ NN NNS VBG JJ NN .
|
||
|
|
`` We 're being bombarded by new Treasury and agency debt offerings , '' said William Sullivan Jr. , director of money-market research at Dean Witter Reynolds Inc . `` PRP VBP VBG VBN IN JJ NNP CC NN NN NNS , '' VBD NNP NNP NNP , NN IN JJ NN IN NNP NNP NNP NNP .
|
||
|
|
`` The market is concerned about its ability to underwrite all this debt at current levels . '' `` DT NN VBZ VBN IN PRP$ NN TO VB PDT DT NN IN JJ NNS . ''
|
||
|
|
In addition to the $ 15.6 billion of Treasury bills to be sold at next week 's regular Monday auction , the government will sell $ 10 billion of new two-year Treasury notes . IN NN TO DT $ CD CD IN NNP NNS TO VB VBN IN JJ NN POS JJ NNP NN , DT NN MD VB $ CD CD IN JJ JJ NNP NNS .
|
||
|
|
And Resolution Funding Corp. said late yesterday that it will sell $ 4.5 billion of 30-year bonds Wednesday . CC NNP NNP NNP VBD JJ NN IN PRP MD VB $ CD CD IN JJ NNS NNP .
|
||
|
|
Refcorp is the financing unit of Resolution Trust Corp. , a new government agency created to rescue the nation 's troubled thrifts . NNP VBZ DT NN NN IN NNP NNP NNP , DT JJ NN NN VBN TO VB DT NN POS JJ NNS .
|
||
|
|
Its securities have been dubbed `` bailout bonds '' by traders . PRP$ NNS VBP VBN VBN `` NN NNS '' IN NNS .
|
||
|
|
In when-issued trading , the two-year Treasurys had a yield of about 7.88 % . IN JJ NN , DT JJ NNPS VBD DT NN IN IN CD NN .
|
||
|
|
In the municipal market , all eyes were on California debt as investors tried to gauge the financial ramifications of Tuesday 's earthquake . IN DT JJ NN , DT NNS VBD IN NNP NN IN NNS VBD TO VB DT JJ NNS IN NNP POS NN .
|
||
|
|
But traders said the quake had only a minor impact on the trading of California state and local municipal debt . CC NNS VBD DT NN VBD RB DT JJ NN IN DT NN IN NNP NN CC JJ JJ NN .
|
||
|
|
`` There are certain bonds traders refer to as ` earthquake ' bonds because the -LRB- issuers -RRB- are on top of the San Andreas fault , '' said Zane Mann , editor of the California Municipal Bond Advisor , a newsletter for investors . `` EX VBP JJ NNS NNS VBP TO IN `` NN '' NNS IN DT ( NNS ) VBP IN NN IN DT NNP NNP NN , '' VBD NNP NNP , NN IN DT NNP NNP NNP NNP , DT NN IN NNS .
|
||
|
|
Since those bonds already pay a slightly higher yield , an extra premium for the earthquake risk , they were n't materially affected . IN DT NNS RB VBP DT RB JJR VB , DT JJ NN IN DT NN NN , PRP VBD RB RB VBN .
|
||
|
|
But some bond market analysts said that could quickly change if property casualty insurance companies scramble to sell portions of their municipal portfolios to raise cash to pay damage claims . CC DT NN NN NNS VBD WDT MD RB VB IN NN NN NN NNS VBP TO VB NNS IN PRP$ JJ NNS TO VB NN TO VB NN NNS .
|
||
|
|
`` Insurance companies will foot a substantial amount of the bill to reconstruct San Francisco , '' said Charles Lieberman , chief economist at Manufacturers Hanover Securities Corp . `` NNP NNS MD VB DT JJ NN IN DT NN TO VB NNP NNP , '' VBD NNP NNP , JJ NN IN NNP NNP NNP NNP .
|
||
|
|
He also expects the performance of municipals to lag Treasurys as California is forced to issue new debt over time to repair public facilities . PRP RB VBZ DT NN IN NNS TO VB NNPS IN NNP VBZ VBN TO VB JJ NN IN NN TO VB JJ NNS .
|
||
|
|
A report issued late yesterday by Standard & Poor 's Corp. concluded the quake wo n't cause `` wide-scale credit deterioration '' for issuers and debt issues in the 12-county area of Northern California affected by the quake . DT NN VBD JJ NN IN NNP CC NNP POS NNP VBD DT NN MD RB VB `` JJ NN NN '' IN NNS CC NN NNS IN DT JJ NN IN NNP NNP VBN IN DT NN .
|
||
|
|
Treasury Securities NNP NNPS
|
||
|
|
Treasury bonds ended narrowly mixed in quiet trading . NN NNS VBD RB VBN IN JJ NN .
|
||
|
|
The benchmark 30-year bond ended at a price of 100 29\/32 to yield 8.03 % , compared with 100 28\/32 to yield 8.04 % Tuesday . DT NN JJ NN VBD IN DT NN IN CD CD TO VB CD NN , VBN IN CD CD TO VB CD NN NNP .
|
||
|
|
The latest 10-year notes were quoted late at a price of 99 26\/32 to yield 8 % , compared with 99 25\/32 to yield 8.01 % . DT JJS JJ NNS VBD VBN RB IN DT NN IN CD CD TO VB CD NN , VBN IN CD CD TO VB CD NN .
|
||
|
|
Short-term rates were little changed . JJ NNS VBD RB VBN .
|
||
|
|
Corporate Issues JJ NNS
|
||
|
|
Investment-grade corporate bonds ended 1\/4 point lower . JJ JJ NNS VBD CD NN JJR .
|
||
|
|
The Continental junk bond offering , underwritten by Drexel Burnham Lambert Inc. , was the only new issue priced yesterday . DT NNP NN NN NN , VBN IN NNP NNP NNP NNP , VBD DT RB JJ NN VBD NN .
|
||
|
|
In the four-part offering , the $ 71 million of secured equipment certificates was priced to yield 13.75 % to 15.75 % . IN DT JJ NN , DT $ CD CD IN VBN NN NNS VBD VBN TO VB CD NN TO CD NN .
|
||
|
|
Municipals NNS
|
||
|
|
Municipal bonds ended about 1\/8 to 3\/8 point lower , hurt by the circulation of two `` bid-wanted '' lists totaling $ 655 million . JJ NNS VBD IN CD TO CD NN RBR , VBN IN DT NN IN CD `` JJ '' NNS VBG $ CD CD .
|
||
|
|
Chemical Securities Inc. is acting as agent for the seller . NNP NNP NNP VBZ VBG IN NN IN DT NN .
|
||
|
|
Meanwhile , some California issues were down a touch more than the broad market , but traders said there had n't been much investor selling because of the quake . RB , DT NNP NNS VBD RP DT NN JJR IN DT JJ NN , CC NNS VBD EX VBD RB VBN JJ NN VBG IN IN DT NN .
|
||
|
|
But New York City general obligation bonds came under selling pressure . CC NNP NNP NNP JJ NN NNS VBD IN VBG NN .
|
||
|
|
Traders said a steady stream of bonds was put up for sale yesterday , pushing yields for longer maturities up 0.05 percentage point . NNS VBD DT JJ NN IN NNS VBD VBN IN IN NN NN , VBG NNS IN RB NNS IN CD NN NN .
|
||
|
|
Traders said investors were reacting to recent negative news on the city 's finances and are nervous ahead of the Nov. 7 election . NNS VBD NNS VBD VBG TO JJ JJ NN IN DT NN POS NNS CC VBP JJ RB IN DT NNP CD NN .
|
||
|
|
Washington , D.C. , topped the competitive slate yesterday with a sale of $ 200 million of general obligation tax revenue anticipation notes . NNP , NNP , VBD DT JJ NN NN IN DT NN IN $ CD CD IN JJ NN NN NN NN NNS .
|
||
|
|
In late trading , New Jersey Turnpike Authority 's 7.20 % issue of 2018 was off 1\/4 point at 98 bid . IN JJ NN , NNP NNP NNP NNP POS CD NN NN IN CD VBD IN CD NN IN CD NN .
|
||
|
|
The yield was 7.35 % , up 0.01 percentage point . DT NN VBD CD NN , IN CD NN NN .
|
||
|
|
Mortgage-Backed Securities JJ NNPS
|
||
|
|
Mortgage securities ended little changed after light dealings . NN NNS VBD RB VBN IN NN NNS .
|
||
|
|
There was no appreciable market impact from the California earthquake . EX VBD DT JJ NN NN IN DT NNP NN .
|
||
|
|
Dealers said there was some concern that insurance companies might be forced to sell mortgage securities to help pay earthquake-related claims , but no selling materialized . NNS VBD EX VBD DT NN IN NN NNS MD VB VBN TO VB NN NNS TO VB VB JJ NNS , CC DT NN VBD .
|
||
|
|
The Federal Home Loan Mortgage Corp. and Federal National Mortgage Association , two dominant issuers of mortgage securities , have a sizable amount of California home loans in their mortgagebacked pools . DT NNP NNP NNP NNP NNP CC NNP NNP NNP NNP , CD JJ NNS IN NN NNS , VBP DT JJ NN IN NNP NN NNS IN PRP$ JJ NNS .
|
||
|
|
But their potential quake exposure is seen as small given that they require a financial cushion on all the loans they purchase . CC PRP$ JJ NN NN VBZ VBN IN JJ VBN IN PRP VBP DT JJ NN IN PDT DT NNS PRP VBP .
|
||
|
|
And because Northern California home prices are so high , loans from the region often are too large to be included in Freddie Mac and Fannie Mae pools . CC IN NNP NNP NN NNS VBP RB JJ , VBZ IN DT NN RB VBP RB JJ TO VB VBN IN NNP NNP CC NNP NNP NNS .
|
||
|
|
Meanwhile , Government National Mortgage Association 9 % securities for November delivery ended at 97 29\/32 , unchanged . RB , NNP NNP NNP NNP CD NN NNS IN NNP NN VBD IN CD CD , JJ .
|
||
|
|
Freddie Mac 9 % securities were at 97 4\/32 , down 1\/32 . NNP NNP CD NN NNS VBD IN CD CD , RB CD .
|
||
|
|
In derivative markets , Fannie Mae issued two $ 400 million real estate mortgage investment conduits backed by its 9 % securities . IN JJ NNS , NNP NNP VBD CD $ CD CD JJ NN NN NN NNS VBN IN PRP$ CD NN NNS .
|
||
|
|
Foreign Bonds JJ NNS
|
||
|
|
British government bonds , or gilts , ended moderately lower as equities there recovered from Tuesday 's drop . JJ NN NNS , CC NNS , VBD RB JJR IN NNS RB VBD IN NNP POS NN .
|
||
|
|
The Treasury 's 11 3\/4 % bond due 2003\/2007 fell 11\/32 to 111 31\/32 to yield 10.08 % , while the 12 % notes due 1995 were down 7\/32 to 103 22\/32 to yield 11.04 % . DT NNP POS CD CD NN NN JJ CD VBD CD TO CD CD TO VB CD NN , IN DT CD NN NNS JJ CD VBD RB CD TO CD CD TO VB CD NN .
|
||
|
|
Traders said today may be an anxious day for the market . NNS VBD NN MD VB DT JJ NN IN DT NN .
|
||
|
|
Several key economic figures are due out and Chancellor of the Exchequer Nigel Lawson is scheduled to give the annual `` Mansion House '' address to the financial community . JJ JJ JJ NNS VBP JJ IN CC NNP IN DT NNP NNP NNP VBZ VBN TO VB DT JJ `` NNP NNP '' NN TO DT JJ NN .
|
||
|
|
The chancellor sometimes has used the occasion to announce major economic policy changes . DT NN RB VBZ VBN DT NN TO VB JJ JJ NN NNS .
|
||
|
|
Economists do n't expect any such changes in this year 's address , given Mr. Lawson 's apparent reluctance to adjust policy currently . NNS VBP RB VB DT JJ NNS IN DT NN POS NN , VBN NNP NNP POS JJ NN TO VB NN RB .
|
||
|
|
Meanwhile , Japanese government bonds retreated in quiet trading , stymied by the dollar 's resiliency . RB , JJ NN NNS VBD IN JJ NN , VBN IN DT NN POS NN .
|
||
|
|
Japan 's bellwether 4.6 % bond due 1998 ended on brokers ' screens at 95.75 to yield 5.315 % . NNP POS NN CD NN NN JJ CD VBD IN NNS POS NNS IN CD TO VB CD NN .
|
||
|
|
In West Germany , investors stayed on the sidelines as the bond market searched for direction . IN NNP NNP , NNS VBD IN DT NNS IN DT NN NN VBD IN NN .
|
||
|
|
The government 's 7 % issue due October 1999 fell 0.05 point to 99.90 to yield 7.01 % . DT NN POS CD NN NN JJ NNP CD VBD CD NN TO CD TO VB CD NN .
|
||
|
|
The Berlin Wall still stands . DT NNP NNP RB VBZ .
|
||
|
|
But the man who built it has fallen . CC DT NN WP VBD PRP VBZ VBN .
|
||
|
|
East Germany yesterday removed Erich Honecker , one of the staunchest holdouts against the reform rumbling through the Communist world , in an effort to win back the confidence of its increasingly rebellious citizens . NNP NNP NN VBN NNP NNP , CD IN DT JJS NNS IN DT NN VBG IN DT NNP NN , IN DT NN TO VB RB DT NN IN PRP$ RB JJ NNS .
|
||
|
|
But while it was a move that stunned the East bloc , it hardly ushers in an era of reform -- at least anytime soon . CC IN PRP VBD DT NN WDT VBD DT NNP NN , PRP RB VBZ IN DT NN IN NN : IN JJS RB RB .
|
||
|
|
For the Politburo replaced Mr. Honecker , who had led East Germany for 18 years and before that headed its security apparatus , with a man cut of the same cloth : Egon Krenz , the most recent internal-security chief and a longtime Honecker protege . IN DT NNP VBD NNP NNP , WP VBD VBN NNP NNP IN CD NNS CC IN DT VBD PRP$ NN NN , IN DT NN NN IN DT JJ NN : NNP NNP , DT RBS JJ NN NN CC DT JJ NNP NN .
|
||
|
|
East Germany , it is clear , is no Poland , where the Communist Party now shares power with the democratically elected Solidarity union . NNP NNP , PRP VBZ JJ , VBZ DT NNP , WRB DT NNP NNP RB NNS VBP IN DT RB VBN NNP NN .
|
||
|
|
Nor is it a Hungary , where yesterday the parliament approved constitutional changes meant to help turn the Communist nation into a multiparty democracy . CC VBZ PRP DT NNP , WRB NN DT NN VBD JJ NNS VBD TO VB VB DT NNP NN IN DT NN NN .
|
||
|
|
Still , any change in East Germany has enormous implications , for both East and West . RB , DT NN IN NNP NNP VBZ JJ NNS , IN DT NNP CC NNP .
|
||
|
|
It raises the long-cherished hopes of many Germans for reunification -- a prospect that almost equally alarms political leaders in Moscow , Washington and Western Europe . PRP VBZ DT JJ NNS IN JJ NNPS IN NN : DT NN IN RB RB VBZ JJ NNS IN NNP , NNP CC NNP NNP .
|
||
|
|
Mr. Krenz , 52 , was named the new party chief just minutes after the Party 's 163-member Central Committee convened in East Berlin . NNP NNP , CD , VBD VBN DT JJ NN NN RB NNS IN DT NNP POS NNP NNP NNP VBD IN NNP NNP .
|
||
|
|
Although the East German news agency ADN claimed Mr. Honecker had asked to be relieved of his duties for `` health reasons , '' West German government sources said the 26-man Politburo had asked for his resignation at a separate meeting late Tuesday . IN DT JJ JJ NN NN NNP VBD NNP NNP VBD VBN TO VB VBN IN PRP$ NNS IN `` NN NNS , '' JJ JJ NN NNS VBD DT NNP NNP VBD VBN IN PRP$ NN IN DT JJ NN JJ NNP .
|
||
|
|
-LRB- Mr. Honecker was twice hospitalized this summer for a gall bladder ailment and his physical condition has been the subject of intense speculation in the Western media . -RRB- ( NNP NNP VBD RB VBN DT NN IN DT NN NN NN CC PRP$ JJ NN VBZ VBN DT NN IN JJ NN IN DT JJ NNS . )
|
||
|
|
ADN said Mr. Honecker , a hard-line Stalinist who in 1961 supervised the construction of the Berlin Wall , also was relieved of his title as head of state and his position as chief of the military . NNP VBD NNP NNP , DT JJ JJ WP IN CD VBD DT NN IN DT NNP NNP , RB VBD VBN IN PRP$ NN IN NN IN NN CC PRP$ NN IN NN IN DT NN .
|
||
|
|
Mr. Krenz is expected to be formally named to all three positions once the nation 's parliament convenes later this week . NNP NNP VBZ VBN TO VB RB VBN TO DT CD NNS RB DT NN POS NN VBZ RB DT NN .
|
||
|
|
Mr. Honecker 's ignoble fall culminates nearly two decades of iron-handed leadership during which Mr. Honecker , now 77 years old , built East Germany into the most economically advanced nation in the Soviet bloc . NNP NNP POS JJ NN VBZ RB CD NNS IN JJ NN IN WDT NNP NNP , RB CD NNS JJ , VBN NNP NNP IN DT RBS RB VBD NN IN DT JJ NN .
|
||
|
|
His grip on power unraveled this summer as thousands of his countrymen , dissatisfied by the harshness of his rule , fled to the West . PRP$ NN IN NN VBD DT NN IN NNS IN PRP$ NNS , JJ IN DT NN IN PRP$ NN , VBD TO DT NNP .
|
||
|
|
Thousands more have taken to the streets in the last month in East Germany 's largest wave of domestic unrest since a workers ' uprising in 1953 . NNS RBR VBP VBN TO DT NNS IN DT JJ NN IN NNP NNP POS JJS NN IN JJ NN IN DT NNS POS NN IN CD .
|
||
|
|
In Washington , the Bush administration took a characteristically cautious and skeptical view of the leadership change . IN NNP , DT NNP NN VBD DT RB JJ CC JJ NN IN DT NN NN .
|
||
|
|
The official line was to offer warmer ties to Mr. Krenz , provided he is willing to institute reforms . DT JJ NN VBD TO VB JJR NNS TO NNP NNP , VBD PRP VBZ JJ TO VB NNS .
|
||
|
|
But U.S. officials have strong doubts that he is a reformer . CC NNP NNS VBP JJ NNS IN PRP VBZ DT NN .
|
||
|
|
President Bush told reporters : `` Whether that -LCB- the leadership change -RCB- reflects a change in East-West relations , I do n't think so . NNP NNP VBD NNS : `` IN DT ( DT NN NN ) VBZ DT NN IN NNP NNS , PRP VBP RB VB RB .
|
||
|
|
Because Mr. Krenz has been very much in accord with the policies of Honecker . '' IN NNP NNP VBZ VBN RB RB IN NN IN DT NNS IN NNP . ''
|
||
|
|
One top U.S. expert on East Germany added : `` There is no clear-cut champion of reform , that we know of , in the East German leadership . '' CD JJ NNP NN IN NNP NNP VBD : `` EX VBZ DT JJ NN IN NN , IN PRP VBP IN , IN DT JJ JJ NN . ''
|
||
|
|
Indeed , Mr. Krenz said on East German television last night that there will be no sharing of power with pro-democracy groups . RB , NNP NNP VBD IN JJ JJ NN JJ NN IN EX MD VB DT NN IN NN IN JJ NNS .
|
||
|
|
He said , while dialogue is important , enough forums already exist `` in which different interests '' can express themselves . PRP VBD , IN NN VBZ JJ , JJ NNS RB VBP `` IN WDT JJ NNS '' MD VB PRP .
|
||
|
|
The removal of Mr. Honecker was apparently the result of bitter infighting within the top ranks of the Communist party . DT NN IN NNP NNP VBD RB DT NN IN JJ NN IN DT JJ NNS IN DT NNP NN .
|
||
|
|
According to West German government sources , Mr. Honecker and several senior Politburo members fought over the last week to delay any decisions about a leadership change . VBG TO JJ JJ NN NNS , NNP NNP CC JJ JJ NNP NNS VBD IN DT JJ NN TO VB DT NNS IN DT NN NN .
|
||
|
|
But , with public demonstrations in the country growing in size and intensity , Mr. Honecker and several key allies lost out in this battle , officials say . CC , IN JJ NNS IN DT NN VBG IN NN CC NN , NNP NNP CC JJ JJ NNS VBD IN IN DT NN , NNS VBP .
|
||
|
|
Those allies included Politburo members Guenter Mittag , who has long headed economic affairs , and Joachim Hermann , chief of information policy . DT NNS VBD NNP NNS NNP NNP , WP VBZ RB VBN JJ NNS , CC NNP NNP , NN IN NN NN .
|
||
|
|
Both men were also relieved of their duties yesterday . DT NNS VBD RB VBN IN PRP$ NNS NN .
|
||
|
|
Although other resignations may follow , it 's still not clear to what extent the change in party personnel will alter the government 's resistance to fundamental change . IN JJ NNS MD VB , PRP VBZ RB RB JJ TO WP NN DT NN IN NN NNS MD VB DT NN POS NN TO JJ NN .
|
||
|
|
Clearly , the central figure in this process is Egon Krenz . RB , DT JJ NN IN DT NN VBZ NNP NNP .
|
||
|
|
Born in 1937 in a Baltic Sea town now part of Poland , he was eight years old when World War II ended . VBN IN CD IN DT NNP NNP NN JJ NN IN NNP , PRP VBD CD NNS JJ WRB NNP NNP NNP VBD .
|
||
|
|
Like West German Chancellor Helmut Kohl , he represents the postwar generation that has grown up during Germany 's division . IN JJ NNP NNP NNP NNP , PRP VBZ DT JJ NN WDT VBZ VBN IN IN NNP POS NN .
|
||
|
|
Since joining the Politburo in 1983 as its youngest member , Mr. Krenz had acquired the nickname `` crown prince , '' a reference to the widely held view that he was the hand-picked successor to Mr. Honecker . IN VBG DT NNP IN CD IN PRP$ JJS NN , NNP NNP VBD VBN DT NN `` NN NN , '' DT NN TO DT RB VBN NN IN PRP VBD DT JJ NN TO NNP NNP .
|
||
|
|
In fact , the two men have had strikingly similar career paths , both having served as chief of internal security before their rise to the top party position . IN NN , DT CD NNS VBP VBN RB JJ NN NNS , DT VBG VBN IN NN IN JJ NN IN PRP$ NN TO DT JJ NN NN .
|
||
|
|
Moreover , both men have hewn to a similar hard-line philosophy . RB , DT NNS VBP VBN TO DT JJ JJ NN .
|
||
|
|
Notably , one of Mr. Krenz 's few official visits overseas came a few months ago , when he visited China after the massacre in Beijing . RB , CD IN NNP NNP POS JJ JJ NNS NN VBD DT JJ NNS RB , WRB PRP VBD NNP IN DT NN IN NNP .
|
||
|
|
He later defended the Chinese government 's response during a separate visit to West Germany . PRP RB VBD DT JJ NN POS NN IN DT JJ NN TO NNP NNP .
|
||
|
|
East German Protestantism in particular fears Mr. Krenz , in part because of an incident in January 1988 when he was believed to have ordered the arrest of hundreds of dissidents who had sought refuge in the Church . JJ NNP NNP IN JJ NNS NNP NNP , IN NN IN IN DT NN IN NNP CD WRB PRP VBD VBN TO VB VBN DT NN IN NNS IN NNS WP VBD VBN NN IN DT NNP .
|
||
|
|
However , Mr. Krenz also has a reputation for being politically savvy . RB , NNP NNP RB VBZ DT NN IN VBG RB JJ .
|
||
|
|
His shrewd ability to read the shifting popular mood in East Germany is best illustrated by his apparent break with his old mentor , Mr. Honecker . PRP$ JJ NN TO VB DT VBG JJ NN IN NNP NNP VBZ RBS VBN IN PRP$ JJ NN IN PRP$ JJ NN , NNP NNP .
|
||
|
|
Indeed , according to West German government sources , he was one of the leaders in the power struggle that toppled Mr. Honecker . RB , VBG TO JJ JJ NN NNS , PRP VBD CD IN DT NNS IN DT NN NN WDT VBD NNP NNP .
|
||
|
|
In recent days , Mr. Krenz has sought to project a kinder image . IN JJ NNS , NNP NNP VBZ VBN TO VB DT JJR NN .
|
||
|
|
According to a report widely circulating in East Berlin , it was Mr. Krenz who ordered police to stop using excessive force against demonstrators in Leipzig . VBG TO DT NN RB VBG IN NNP NNP , PRP VBD NNP NNP WP VBD NN TO VB VBG JJ NN IN NNS IN NNP .
|
||
|
|
`` He does n't want to have the image of the gun man , '' says Fred Oldenburg , an expert at the Bonn-sponsored Institute of East European and International Studies in Cologne . `` PRP VBZ RB VB TO VB DT NN IN DT NN NN , '' VBZ NNP NNP , DT NN IN DT NNP NNP IN NNP JJ CC NNP NNS IN NNP .
|
||
|
|
`` He 's not a reformer -- he wants to have the image of a reformer . '' `` PRP VBZ RB DT JJ : PRP VBZ TO VB DT NN IN DT NN . ''
|
||
|
|
As part of his image polishing , Mr. Krenz is expected to take modest steps toward reform to rebuild confidence among the people and reassert the party 's authority . IN NN IN PRP$ NN VBG , NNP NNP VBZ VBN TO VB JJ NNS IN NN TO VB NN IN DT NNS CC VB DT NN POS NN .
|
||
|
|
Besides sacking other senior Politburo officials who allied themselves with Mr. Honecker , Mr. Krenz could loosen controls on the news media , free up travel restrictions , and establish a dialogue with various dissident groups . IN VBG JJ JJ NNP NNS WP VBD PRP IN NNP NNP , NNP NNP MD VB NNS IN DT NN NNS , JJ IN NN NNS , CC VB DT NN IN JJ JJ NNS .
|
||
|
|
But will it be enough ? CC MD PRP VB RB .
|
||
|
|
West German government officials and Western analysts are doubtful . JJ JJ NN NNS CC JJ NNS VBP JJ .
|
||
|
|
`` He does n't signify what people want , so the unrest will go on , '' Mr. Oldenburg predicts . `` PRP VBZ RB VB WP NNS VBP , RB DT NN MD VB IN , '' NNP NNP VBZ .
|
||
|
|
At the same time , the expectations of the East German people are great and will continue to grow . IN DT JJ NN , DT NNS IN DT JJ JJ NNS VBP JJ CC MD VB TO VB .
|
||
|
|
Says one West German official : `` What 's necessary now is the process of democratization . VBZ CD JJ JJ NN : `` WP VBZ JJ RB VBZ DT NN IN NN .
|
||
|
|
Not just that people are being heard but that their interests are being taken seriously . '' RB RB IN NNS VBP VBG VBN CC IN PRP$ NNS VBP VBG VBN RB . ''
|
||
|
|
Chancellor Kohl , meanwhile , has invited Mr. Krenz to open discussions with Bonn on a wide range of subjects . NNP NNP , RB , VBZ VBN NNP NNP TO VB NNS IN NNP IN DT JJ NN IN NNS .
|
||
|
|
Reports in the West German press , citing sources in East Germany , suggest Mr. Krenz may serve only as a bridge between Mr. Honecker and a genuine reform leader . NNS IN DT JJ JJ NN , VBG NNS IN NNP NNP , VBP NNP NNP MD VB RB IN DT NN IN NNP NNP CC DT JJ NN NN .
|
||
|
|
Adding to that speculation is Mr. Krenz 's reputation as a heavy drinker , who is said to also suffer from diabetes . VBG TO DT NN VBZ NNP NNP POS NN IN DT JJ NN , WP VBZ VBD TO RB VB IN NN .
|
||
|
|
`` This is a dynamic process and we 're experiencing the first step , '' the Bonn official adds . `` DT VBZ DT JJ NN CC PRP VBP VBG DT JJ NN , '' DT NNP NN VBZ .
|
||
|
|
The selection of Mr. Krenz may also disappoint Moscow . DT NN IN NNP NNP MD RB VB NNP .
|
||
|
|
Soviet leader Mikhail Gorbachev has pressed hard for a change in East Germany 's rigid stance . JJ NN NNP NNP VBZ VBN JJ IN DT NN IN NNP NNP POS JJ NN .
|
||
|
|
Two reform-minded party leaders favored by Moscow as possible successors to Mr. Honecker , Dresden party secretary Hans Modrow and Politburo member Guenter Schabowski , were passed over . CD JJ NN NNS VBN IN NNP IN JJ NNS TO NNP NNP , NNP NN NN NNP NNP CC NNP NN NNP NNP , VBD VBN RB .
|
||
|
|
If Mr. Krenz sticks to rigid policies the pressure from the Soviet Union could intensify . IN NNP NNP VBZ TO JJ NNS DT NN IN DT NNP NNP MD VB .
|
||
|
|
In Moscow , Mr. Gorbachev sent Mr. Krenz a congratulatory telegram that appeared to urge the new leadership to heed growing calls for change . IN NNP , NNP NNP VBD NNP NNP DT JJ NN WDT VBD TO VB DT JJ NN TO VB VBG VBZ IN NN .
|
||
|
|
According to the Soviet news agency Tass , `` Gorbachev expressed the conviction that the leadership of the Socialist Unity Party of -LCB- East -RCB- Germany , being sensitive to the demands of the time , ... will find solutions to complicated problems the GDR -LCB- German Democratic Republic -RCB- encountered . '' VBG TO DT JJ NN NN NNP , `` NNP VBD DT NN IN DT NN IN DT NNP NNP NNP IN ( NNP ) NNP , VBG JJ TO DT NNS IN DT NN , : MD VB NNS TO VBN NNS DT NNP ( JJ NNP NNP ) VBN . ''
|
||
|
|
A force of younger pro-Gorbachev members in the East German bureaucracy has for some time been pushing for relaxation within their country . DT NN IN JJR JJ NNS IN DT JJ JJ NN VBZ IN DT NN VBN VBG IN NN IN PRP$ NN .
|
||
|
|
The older generation has been torn between a fear of tampering with the status quo and a fear of what might happen if they did n't . DT JJR NN VBZ VBN VBN IN DT NN IN VBG IN DT NN FW CC DT NN IN WP MD VB IN PRP VBD RB .
|
||
|
|
From the perspective of East Germany 's old guard , reforms that smack of capitalism and Western-style democracy could eliminate their country 's reason for being . IN DT NN IN NNP NNP POS JJ NN , NNS IN RB IN NN CC JJ NN MD VB PRP$ NN POS NN IN VBG .
|
||
|
|
Unlike the other nations of the bloc , East Germany is a creature of the Cold War . IN DT JJ NNS IN DT NN , NNP NNP VBZ DT NN IN DT NNP NNP .
|
||
|
|
Erasing the differences still dividing Europe , and the vast international reordering that implies , wo n't endanger the statehood of a Poland or a Hungary . VBG DT NNS RB VBG NNP , CC DT JJ JJ NN DT VBZ , MD RB VB DT NN IN DT NNP CC DT NNP .
|
||
|
|
But it could ultimately lead to German reunification and the disappearance of East Germany from the map . CC PRP MD RB VB TO JJ NN CC DT NN IN NNP NNP IN DT NN .
|
||
|
|
Which is what the Old Guard fears . WDT VBZ WP DT NNP NNP NNS .
|
||
|
|
`` I 'm sure they 'll formulate a reform that will be a recipe for the GDR 's future as a separately identifiable state , '' says Michael Simmons , a British journalist whose book on East Germany , entitled `` The Unloved Country , '' was published this month . `` PRP VBP JJ PRP MD VB DT NN WDT MD VB DT NN IN DT NNP POS NN IN DT RB JJ NN , '' VBZ NNP NNP , DT JJ NN WP$ NN IN NNP NNP , VBN `` DT NNP NNP , '' VBD VBN DT NN .
|
||
|
|
Up to now , that recipe has consisted of a dogged effort by former leader Walter Ulbricht to establish the country 's international legitimacy , followed by Mr. Honecker 's campaign to build the East bloc 's only successful Stalinist economy into a consumer paradise . IN TO RB , DT NN VBZ VBN IN DT VBN NN IN JJ NN NNP NNP TO VB DT NN POS JJ NN , VBN IN NNP NNP POS NN TO VB DT NNP NN POS RB JJ JJ NN IN DT NN NN .
|
||
|
|
Neither man achieved perfection . CC NN VBD NN .
|
||
|
|
Early in 1987 , Mr. Honecker and his team stopped paying thin compliments to Mr. Gorbachev and joined with Romania in rejecting any necessity for adjustments in their systems . RB IN CD , NNP NNP CC PRP$ NN VBD VBG JJ NNS TO NNP NNP CC VBD IN NNP IN VBG DT NN IN NNS IN PRP$ NNS .
|
||
|
|
The less-self-confident Czechoslovaks and Bulgarians , in contrast , declared their intentions to reform , while doing nothing concrete about it . DT JJ NNPS CC NNPS , IN NN , VBD PRP$ NNS TO VB , IN VBG NN JJ IN PRP .
|
||
|
|
The East German media soon began presenting Mr. Gorbachev 's speeches only as sketchy summaries , and giving space to his opponents . DT JJ JJ NNS RB VBD VBG NNP NNP POS NNS RB IN JJ NNS , CC VBG NN TO PRP$ NNS .
|
||
|
|
By late 1988 , they were banning Soviet publications . IN JJ CD , PRP VBD VBG JJ NNS .
|
||
|
|
The country abandoned its former devotion to socialist unity and took to insisting instead that each country in the bloc ought to travel its own road . DT NN VBD PRP$ JJ NN TO JJ NN CC VBD TO VBG RB IN DT NN IN DT NN MD TO VB PRP$ JJ NN .
|
||
|
|
Mr. Honecker spoke of `` generally valid objective laws of socialism '' and left no room for debate . NNP NNP VBD IN `` RB JJ NN NNS IN NN '' CC VBD DT NN IN NN .
|
||
|
|
With this year 's dislocations in China and the Soviet Union , and the drive to democracy in Poland and Hungary , the East German leadership grew still more defensive . IN DT NN POS NNS IN NNP CC DT NNP NNP , CC DT NN TO NN IN NNP CC NNP , DT JJ JJ NN VBD RB RBR JJ .
|
||
|
|
Politburo member Joachim Herrman confessed to a `` grave concern '' over Hungarian democracy . NNP NN NNP NNP VBD TO DT `` JJ NN '' IN JJ NN .
|
||
|
|
`` Under the banner that proclaims the ` renewal of socialism , ' '' he said , `` forces are at work that are striving to eliminate socialism . '' `` IN DT NN WDT VBZ DT `` NN IN NN , '' '' PRP VBD , `` NNS VBP IN NN WDT VBP VBG TO VB NN . ''
|
||
|
|
Some loyal voices , in and out of the East German Communist party , saw the nation 's unrest coming . DT JJ NNS , IN CC IN IN DT JJ NNP NNP NN , VBD DT NN POS NN VBG .
|
||
|
|
The first signs were economic . DT JJ NNS VBD JJ .
|
||
|
|
Despite heavily subsidized consumer industries , East Germans have for years watched the West pull farther out ahead . IN RB JJ NN NNS , NNP NNPS VBP IN NNS VBD DT NNP NN RB IN RB .
|
||
|
|
In 1988 , for the first time , economic growth came to a dead stop . IN CD , IN DT JJ NN , JJ NN VBD TO DT JJ NN .
|
||
|
|
Gingerly , some economists began to blame central planning . RB , DT NNS VBD TO VB JJ NN .
|
||
|
|
Some writers in theoretical journals even raised the notion of introducing democracy , at least in the workplace . DT NNS IN JJ NNS RB VBN DT NN IN VBG NN , IN JJS IN DT NN .
|
||
|
|
By summer , an independent reform movement was saying out loud what it had only whispered before . IN NN , DT JJ NN NN VBD VBG IN JJ WP PRP VBD RB VBN RB .
|
||
|
|
But they are stalwart socialists . CC PRP VBP JJ NNS .
|
||
|
|
Their proclaimed purpose is to cleanse East Germany of its Stalinist muck , not to merge with the West . PRP$ VBD NN VBZ TO VB NNP NNP IN PRP$ JJ NN , RB TO VB IN DT NNP .
|
||
|
|
One of their pastors has envisioned a `` new utopia '' of `` creative socialism . '' CD IN PRP$ NNS VBZ VBN DT `` JJ NN '' IN `` JJ NN . ''
|
||
|
|
Meanwhile , the man Mr. Krenz replaces has left an indelible mark on East German society . RB , DT NN NNP NNP VBZ VBZ VBN DT JJ NN IN JJ JJ NN .
|
||
|
|
Imprisoned by the Nazis during World War II for his political beliefs , Mr. Honecker typified the postwar generation of committed Communist leaders in Eastern Europe who took their cues from Moscow . VBN IN DT NNPS IN NNP NNP NNP IN PRP$ JJ NNS , NNP NNP VBD DT JJ NN IN VBN NNP NNS IN NNP NNP WP VBD PRP$ NNS IN NNP .
|
||
|
|
He was a `` socialist warrior '' who felt rankled by West Germany 's enormous postwar prosperity and the Bonn government 's steadfast refusal to recognize the legitimacy of his state . PRP VBD DT `` JJ NN '' WP VBD VBN IN NNP NNP POS JJ JJ NN CC DT NNP NN POS JJ NN TO VB DT NN IN PRP$ NN .
|
||
|
|
Finally , during his first and only state visit to Bonn two years ago , he won some measure of the recognition he had long sought . RB , IN PRP$ JJ CC JJ NN NN TO NNP CD NNS RB , PRP VBD DT NN IN DT NN PRP VBD JJ VBD .
|
||
|
|
But ultimately he was undone by forces unleashed by his own comrade , Mr. Gorbachev . CC RB PRP VBD VBN IN NNS VBN IN PRP$ JJ NN , NNP NNP .
|
||
|
|
Mr. Honecker 's removal `` was bound to happen , '' says one aide to Chancellor Kohl . NNP NNP POS NN `` VBD VBN TO VB , '' VBZ CD NN TO NNP NNP .
|
||
|
|
`` It was only a matter of time . '' `` PRP VBD RB DT NN IN NN . ''
|
||
|
|
The European Community Commission increased its forecast for economic growth in the EC in 1989 to 3.5 % , slightly higher than its June projection of 3.25 % . DT NNP NNP NNP VBD PRP$ NN IN JJ NN IN DT NNP IN CD TO CD NN , RB JJR IN PRP$ NNP NN IN CD NN .
|
||
|
|
In its annual economic report for 1989-1990 , the commission also projected 1990 gross domestic product growth for the 12 EC members at 3 % . IN PRP$ JJ JJ NN IN CD , DT NN RB VBD CD JJ JJ NN NN IN DT CD NNP NNS IN CD NN .
|
||
|
|
EC inflation was seen at 4.8 % in 1989 , higher than 1988 's 3.6 % price rise . NNP NN VBD VBN IN CD NN IN CD , JJR IN CD POS CD NN NN NN .
|
||
|
|
However , inflation for 1990 was seen slowing to 4.5 % . RB , NN IN CD VBD VBN VBG TO CD NN .
|
||
|
|
Leading EC growth forecasts in 1989 was Ireland , seen growing 5 % at constant prices . VBG NNP NN NNS IN CD VBD NNP , VBN VBG NN NN IN JJ NNS .
|
||
|
|
Slower growth countries included Greece , at 2.5 % , the U.K. , at 2.25 % , and Denmark , at 1.75 % . JJR NN NNS VBD NNP , IN CD NN , DT NNP , IN CD NN , CC NNP , IN CD NN .
|
||
|
|
Inflation is expected to be highest in Greece , where it is projected at 14.25 % , and Portugal , at 13 % . NN VBZ VBN TO VB JJS IN NNP , WRB PRP VBZ VBN IN CD NN , CC NNP , IN CD NN .
|
||
|
|
At the other end of the spectrum , West German inflation was forecast at 3 % in 1989 and 2.75 % in 1990 . IN DT JJ NN IN DT NN , JJ JJ NN VBD NN IN CD NN IN CD CC CD NN IN CD .
|
||
|
|
Nestle Korea Ltd. opened a coffee and non-dairy-creamer plant in Chongju , South Korea . NNP NNP NNP VBD DT NN CC NN NN IN NNP , NNP NNP .
|
||
|
|
An official at Nestle Korea , a 50-50 joint venture between Nestle S.A. and the Doosan Group , said the new facility will manufacture all types of soluble , roasted and ground coffee , coffee mix and nondairy coffee creamer . DT NN IN NNP NNP , DT JJ JJ NN IN NNP NNP CC DT NNP NNP , VBD DT JJ NN MD VB DT NNS IN JJ , VBN CC NN NN , NN NN CC JJ NN NN .
|
||
|
|
The South Korean coffee market , consisting mostly of instant coffee , was estimated at about 100 billion won -LRB- $ 150.7 million -RRB- last year . DT JJ JJ NN NN , VBG RB IN NN NN , VBD VBN IN IN CD CD VBD ( $ CD CD ) JJ NN .
|
||
|
|
Brands made by the Kraft General Foods unit of Philip Morris Cos. had about 95 % of the market share . NNP VBN IN DT NNP NNP NNPS NN IN NNP NNP NNP VBD IN CD NN IN DT NN NN .
|
||
|
|
Nestle currently has only about a 2 % share with its Taster 's Choice coffee . NNP RB VBZ RB IN DT CD NN NN IN PRP$ NNP POS NN NN .
|
||
|
|
Poland plans to start negotiations soon on purchasing natural gas from Iran , the official Islamic Republic News Agency reported . NNP VBZ TO VB NNS RB IN VBG JJ NN IN NNP , DT NN NNP NNP NNP NNP VBD .
|
||
|
|
The agency said Polish Prime Minister Tadeusz Mazowiecki told Iranian Deputy Foreign Minister Mahmoud Vaezi of Poland 's willingess to purchase the gas during Mr. Vaezi 's current visit to Warsaw . DT NN VBD NNP NNP NNP NNP NNP VBD NNP NNP NNP NNP NNP NNP IN NNP POS NN TO VB DT NN IN NNP NNP POS JJ NN TO NNP .
|
||
|
|
The agency did n't mention possible quantities and did n't say how the gas would be delivered . DT NN VBD RB VB JJ NNS CC VBD RB VB WRB DT NN MD VB VBN .
|
||
|
|
A Chinese official harshly criticized plans to close a British naval base in downtown Hong Kong . DT JJ NN RB VBD NNS TO VB DT JJ JJ NN IN NN NNP NNP .
|
||
|
|
Hong Kong officials announced last week that the base will be relocated to a small island to allow downtown redevelopment . NNP NNP NNS VBD JJ NN IN DT NN MD VB VBN TO DT JJ NN TO VB NN NN .
|
||
|
|
But Beijing wants to use the base for the People 's Liberation Army after 1997 , when the territory returns to Chinese sovereignty . CC NNP VBZ TO VB DT NN IN DT NNS POS NNP NNP IN CD , WRB DT NN NNS TO JJ NN .
|
||
|
|
Ke Zaishuo , head of China 's delegation to a Chinese-British Liaison Committee on Hong Kong , accused Britain of trying to impose a fait accompli and said , `` This is something we can not accept . '' NNP NNP , NN IN NNP POS NN TO DT JJ NNP NNP IN NNP NNP , VBN NNP IN VBG TO VB DT NN NN CC VBD , `` DT VBZ NN PRP MD RB VB . ''
|
||
|
|
The Israeli and Soviet national airlines have reached preliminary agreement for launching the first direct flights between Tel Aviv and Moscow , a spokesman for the Israeli airline , El Al , said . DT JJ CC JJ JJ NNS VBP VBN JJ NN IN VBG DT JJ JJ NNS IN NNP NNP CC NNP , DT NN IN DT JJ NN , NNP NNP , VBD .
|
||
|
|
El Al director Rafi Har-Lev and top officials of the Soviet Union 's Aeroflot negotiated a preliminary pact in Moscow this week , the spokesman said . NNP NNP NN NNP NNP CC JJ NNS IN DT NNP NNP POS NNP VBD DT JJ NN IN NNP DT NN , DT NN VBD .
|
||
|
|
He added that concluding the deal requires approval by the governments of both countries , which have never had direct air links . PRP VBD IN VBG DT NN VBZ NN IN DT NNS IN DT NNS , WDT VBP RB VBN JJ NN NNS .
|
||
|
|
The chairman and a director of one of the Republic of Singapore 's leading property companies , City Development Ltd. , or CDL , were charged yesterday with criminal breach of trust of some 800,000 Singapore dollars -LRB- about US$ 409,000 -RRB- . DT NN CC DT NN IN CD IN DT NNP IN NNP POS VBG NN NNS , NNP NNP NNP , CC NNP , VBD VBN NN IN JJ NN IN NN IN DT CD NNP NNS ( IN $ CD ) .
|
||
|
|
Kwek Hong Png , chairman of CDL , and director Quek Leng Chye were arrested by the republic 's Corrupt Practices Investigation Bureau Tuesday night . NNP NNP NNP , NN IN NNP , CC NN NNP NNP NNP VBD VBN IN DT NN POS NNP NNP NNP NNP NNP NN .
|
||
|
|
In addition to abetting in the alleged criminal breach of trust , Kwek Hong Png was also charged with dishonestly receiving S$ 500,000 that had been stolen . IN NN TO VBG IN DT VBN JJ NN IN NN , NNP NNP NNP VBD RB VBN IN RB VBG $ CD WDT VBD VBN VBN .
|
||
|
|
Both men were charged in a subordinate court and released on bail of S$ 1 million . DT NNS VBD VBN IN DT JJ NN CC VBN IN NN IN $ CD CD .
|
||
|
|
The charges are the culmination of weeks of rumors concerning CDL that have depressed the company 's share price and to a lesser extent the shares of all companies owned by CDL 's controlling Quek family , brokers in Singapore say . DT NNS VBP DT NN IN NNS IN NNS VBG NNP WDT VBP VBD DT NN POS NN NN CC TO DT JJR NN DT NNS IN DT NNS VBN IN NNP POS VBG NNP NN , NNS IN NNP VBP .
|
||
|
|
The Queks control the Hong Leong Group , which has widespread interests in manufacturing , property and finance in both Malaysia and Singapore . DT NNPS NN DT NNP NNP NNP , WDT VBZ JJ NNS IN NN , NN CC NN IN DT NNP CC NNP .
|
||
|
|
News of the arrest and charging of the two men helped to push prices on the Singapore Stock market sharply lower in early trading yesterday , but brokers said that the market and CDL shares recovered once it became apparent the charges were limited to the two men personally . NNS IN DT NN CC VBG IN DT CD NNS VBD TO VB NNS IN DT NNP NNP NN RB JJR IN JJ NN NN , CC NNS VBD IN DT NN CC NNP NNS VBD RB PRP VBD JJ DT NNS VBD JJ TO DT CD NNS RB .
|
||
|
|
One of the two British companies still making hard toilet paper stopped production of it . CD IN DT CD JJ NNS RB VBG JJ NN NN VBD NN IN PRP .
|
||
|
|
British Tissues decided to do away with its hard paper after a major customer , British Rail , switched to softer tissues for train bathrooms ... . JJ NNPS VBD TO VB RB IN PRP$ JJ NN IN DT JJ NN , NNP NNP , VBD TO JJR NNS IN NN NNS : .
|
||
|
|
Peasants in Inner Mongolia have partly dismantled a 20-mile section of China 's famed Great Wall , the official People 's Daily said . NNS IN NNP NNP VBP RB VBN DT JJ NN IN NNP POS JJ NNP NNP , DT JJ NNS POS NNP VBD .
|
||
|
|
The paper said the bricks were used to build homes and furnaces and , as a result , the wall `` is in terrible shape . DT NN VBD DT NNS VBD VBN TO VB NNS CC NNS CC , IN DT NN , DT NN `` VBZ IN JJ NN .
|
||
|
|
Wednesday , October 18 , 1989 NNP , NNP CD , CD
|
||
|
|
The key U.S. and foreign annual interest rates below are a guide to general levels but do n't always represent actual transactions . DT JJ NNP CC JJ JJ NN NNS IN VBP DT NN TO JJ NNS CC VBP RB RB VB JJ NNS .
|
||
|
|
PRIME RATE : 10 1\/2 % . JJ NN : CD CD NN .
|
||
|
|
The base rate on corporate loans at large U.S. money center commercial banks . DT NN NN IN JJ NNS IN JJ NNP NN NN JJ NNS .
|
||
|
|
FEDERAL FUNDS : 8 15\/16 % high , 8 5\/8 % low , 8 3\/4 % near closing bid , 8 7\/8 % offered . JJ NNS : CD CD NN JJ , CD CD NN JJ , CD CD NN IN VBG NN , CD CD NN VBN .
|
||
|
|
Reserves traded among commercial banks for overnight use in amounts of $ 1 million or more . NNS VBN IN JJ NNS IN JJ NN IN NNS IN $ CD CD CC JJR .
|
||
|
|
Source : Fulton Prebon -LRB- U.S.A . -RRB- Inc . NN : NNP NNP ( NNP . ) NNP .
|
||
|
|
DISCOUNT RATE : 7 % . NN NN : CD NN .
|
||
|
|
The charge on loans to depository institutions by the New York Federal Reserve Bank . DT NN IN NNS TO NN NNS IN DT NNP NNP NNP NNP NNP .
|
||
|
|
CALL MONEY : 9 3\/4 % to 10 % . NN NN : CD CD NN TO CD NN .
|
||
|
|
The charge on loans to brokers on stock exchange collateral . DT NN IN NNS TO NNS IN NN NN NN .
|
||
|
|
COMMERCIAL PAPER placed directly by General Motors Acceptance Corp. : 8.45 % 30 to 44 days ; 8.25 % 45 to 74 days ; 8.30 % 75 to 99 days ; 7.75 % 100 to 179 days ; 7.50 % 180 to 270 days . JJ NN VBN RB IN NNP NNPS NNP NNP : CD NN CD TO CD NNS : CD NN CD TO CD NNS : CD NN CD TO CD NNS : CD NN CD TO CD NNS : CD NN CD TO CD NNS .
|
||
|
|
COMMERCIAL PAPER : High-grade unsecured notes sold through dealers by major corporations in multiples of $ 1,000 : 8.55 % 30 days ; 8.45 % 60 days ; 8.375 % 90 days . JJ NN : JJ JJ NNS VBN IN NNS IN JJ NNS IN NNS IN $ CD : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS .
|
||
|
|
CERTIFICATES OF DEPOSIT : 8.05 % one month ; 8.02 % two months ; 8 % three months ; 7.98 % six months ; 7.95 % one year . NNS IN NN : CD NN CD NN : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS : CD NN CD NN .
|
||
|
|
Average of top rates paid by major New York banks on primary new issues of negotiable C.D.s , usually on amounts of $ 1 million and more . NNP IN JJ NNS VBN IN JJ NNP NNP NNS IN JJ JJ NNS IN JJ NNS , RB IN NNS IN $ CD CD CC JJR .
|
||
|
|
The minimum unit is $ 100,000 . DT JJ NN VBZ $ CD .
|
||
|
|
Typical rates in the secondary market : 8.53 % one month ; 8.48 % three months ; 8.40 % six months . JJ NNS IN DT JJ NN : CD NN CD NN : CD NN CD NNS : CD NN CD NNS .
|
||
|
|
BANKERS ACCEPTANCES : 8.42 % 30 days ; 8.30 % 60 days ; 8.28 % 90 days ; 8.15 % 120 days ; 8.05 % 150 days ; 7.95 % 180 days . NNS NNS : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS : CD NN CD NNS .
|
||
|
|
Negotiable , bank-backed business credit instruments typically financing an import order . JJ , JJ NN NN NNS RB VBG DT NN NN .
|
||
|
|
LONDON LATE EURODOLLARS : 8 11\/16 % to 8 9\/16 % one month ; 8 5\/8 % to 8 1\/2 % two months ; 8 5\/8 % to 8 1\/2 % three months ; 8 9\/16 % to 8 7\/16 % four months ; 8 1\/2 % to 8 3\/8 % five months ; 8 1\/2 % to 8 3\/8 % six months . NNP JJ NNS : CD CD NN TO CD CD NN CD NN : CD CD NN TO CD CD NN CD NNS : CD CD NN TO CD CD NN CD NNS : CD CD NN TO CD CD NN CD NNS : CD CD NN TO CD CD NN CD NNS : CD CD NN TO CD CD NN CD NNS .
|
||
|
|
LONDON INTERBANK OFFERED RATES -LRB- LIBOR -RRB- : 8 11\/16 % one month ; 8 11\/16 % three months ; 8 1\/2 % six months ; 8 1\/2 % one year . NNP NNP NNP NNS ( NNP ) : CD CD NN CD NN : CD CD NN CD NNS : CD CD NN CD NNS : CD CD NN CD NN .
|
||
|
|
The average of interbank offered rates for dollar deposits in the London market based on quotations at five major banks . DT NN IN NN VBD NNS IN NN NNS IN DT NNP NN VBN IN NNS IN CD JJ NNS .
|
||
|
|
FOREIGN PRIME RATES : Canada 13.50 % ; Germany 8.50 % ; Japan 4.875 % ; Switzerland 8.50 % ; Britain 15 % . JJ JJ NNS : NNP CD NN : NNP CD NN : NNP CD NN : NNP CD NN : NNP CD NN .
|
||
|
|
These rate indications are n't directly comparable ; lending practices vary widely by location . DT NN NNS VBP RB RB JJ : NN NNS VBP RB IN NN .
|
||
|
|
TREASURY BILLS : Results of the Monday , October 16 , 1989 , auction of short-term U.S. government bills , sold at a discount from face value in units of $ 10,000 to $ 1 million : 7.37 % 13 weeks ; 7.42 % 26 weeks . NN NNS : NNS IN DT NNP , NNP CD , CD , NN IN NNP NNP NN NNS , VBN IN DT NN IN NN NN IN NNS IN $ CD TO $ CD CD : CD NN CD NNS : CD NN CD NNS .
|
||
|
|
FEDERAL HOME LOAN MORTGAGE CORP . -LRB- Freddie Mac -RRB- : NNP NNP NNP NNP NNP . ( NNP NNP ) :
|
||
|
|
Posted yields on 30-year mortgage commitments for delivery within 30 days . VBN NNS IN JJ NN NNS IN NN IN CD NNS .
|
||
|
|
9.88 % , standard conventional fixed-rate mortgages ; 7.875 % , 2 % rate capped one-year adjustable rate mortgages . CD NN , JJ JJ JJ NNS : CD NN , CD NN NN VBD JJ JJ NN NNS .
|
||
|
|
Source : Telerate Systems Inc . NN : NNP NNP NNP .
|
||
|
|
FEDERAL NATIONAL MORTGAGE ASSOCIATION -LRB- Fannie Mae -RRB- : NNP NNP NNP NNP ( NNP NNP ) :
|
||
|
|
Posted yields on 30 year mortgage commitments for delivery within 30 days -LRB- priced at par -RRB- 9.83 % , standard conventional fixed-rate mortgages ; 8.70 % , 6\/2 rate capped one-year adjustable rate mortgages . VBN NNS IN CD NN NN NNS IN NN IN CD NNS ( VBN IN NN ) CD NN , JJ JJ JJ NNS : CD NN , CD NN VBD JJ JJ NN NNS .
|
||
|
|
Source : Telerate Systems Inc . NN : NNP NNP NNP .
|
||
|
|
MERRILL LYNCH READY ASSETS TRUST : 8.50 % . NNP NNP NNP NNP NNP : CD NN .
|
||
|
|
Annualized average rate of return after expenses for the past 30 days ; not a forecast of future returns . VBN JJ NN IN NN IN NNS IN DT JJ CD NNS : RB DT NN IN NN NNS .
|
||
|
|
A grand jury here indicted Norton Co. 's former director of advanced-ceramics research , charging him with interstate transportation of stolen property . DT JJ NN RB VBD NNP NNP POS JJ NN IN NN NN , VBG PRP IN JJ NN IN VBN NN .
|
||
|
|
Norton and General Electric Co. last month filed a lawsuit against the former research manager , Chien-Min Sung , charging him with stealing trade secrets . NNP CC NNP NNP NNP JJ NN VBD DT NN IN DT JJ NN NN , NNP NNP , VBG PRP IN VBG NN NNS .
|
||
|
|
Mr. Sung formerly worked at General Electric in research on synthetic diamonds . NNP NNP RB VBD IN NNP NNP IN NN IN JJ NNS .
|
||
|
|
The criminal charges brought against him involved GE technology , according the court documents . DT JJ NNS VBN IN PRP VBD NNP NN , VBG DT NN NNS .
|
||
|
|
If convicted , he could be imprisoned for up to 10 years and fined $ 250,000 . IN VBN , PRP MD VB VBN IN IN TO CD NNS CC VBN $ CD .
|
||
|
|
Mr. Sung could n't be reached for comment . NNP NNP MD RB VB VBN IN NN .
|
||
|
|
He earlier denied the allegations against him in the lawsuit by Norton and GE . PRP RBR VBN DT NNS IN PRP IN DT NN IN NNP CC NNP .
|
||
|
|
Norton makes sandpaper and other abrasives , diamond tools , specialty plastics and ceramics . NNP VBZ NN CC JJ NNS , NN NNS , NN NNS CC NNS .
|
||
|
|
As the citizens of San Francisco and surrounding communities began assessing the damage from Tuesday 's devastating earthquake , NBC News began assessing the damage from what some said was a failure to provide comprehensive coverage in the earthquake 's initial moments . IN DT NNS IN NNP NNP CC VBG NNS VBD VBG DT NN IN NNP POS JJ NN , NNP NNP VBD VBG DT NN IN WP DT VBD VBD DT NN TO VB JJ NN IN DT NN POS JJ NNS .
|
||
|
|
`` In terms of coverage , it was a disaster equal to the earthquakes , '' said Eric Premner , president for broadcasting of King Broadcasting Co. , which owns the NBC affiliate in Seattle , Wash . `` IN NNS IN NN , PRP VBD DT NN JJ TO DT NNS , '' VBD NNP NNP , NN IN NN IN NNP NNP NNP , WDT VBZ DT NNP NN IN NNP , NNP .
|
||
|
|
While rival ABC News outstripped the competition in live coverage of the event by sheer luck -- the network was broadcasting the World Series from Candlestick Park when the quake struck -- NBC News was unable to get its signal out of San Francisco for the first hour after the quake . IN JJ NNP NNP NN DT NN IN VB NN IN DT NN IN JJ NN : DT NN VBD VBG DT NNP NNP IN NNP NNP WRB DT NN VBD : NNP NNP VBD JJ TO VB PRP$ NN IN IN NNP NNP IN DT JJ NN IN DT NN .
|
||
|
|
`` I have to attribute the lackluster performance to a natural disaster , '' said Mr. Premner . `` PRP VBP TO VB DT JJ NN TO DT JJ NN , '' VBD NNP NNP .
|
||
|
|
`` So before I start to be really critical of NBC , I would like to know more about what happened . '' `` RB IN PRP VBP TO VB RB JJ IN NNP , PRP MD VB TO VB JJR IN WP VBD . ''
|
||
|
|
There were no complaints from affiliates of CBS Inc. and Cable News Network , a unit of Turner Broadcasting System Inc . EX VBD DT NNS IN NNS IN NNP NNP CC NNP NNP NNP , DT NN IN NNP NNP NNP NNP .
|
||
|
|
But that was not the case at NBC News , which has been dogged with the image of not being aggressive on major breaking stories . CC DT VBD RB DT NN IN NNP NNP , WDT VBZ VBN VBN IN DT NN IN RB VBG JJ IN JJ NN NNS .
|
||
|
|
Last summer , the affiliates bitterly complained to network executives about the poor coverage of the student uprising in China . JJ NN , DT NNS RB VBD TO VB NNS IN DT JJ NN IN DT NN NN IN NNP .
|
||
|
|
`` I was not pleased with the slow start , and neither was NBC News , '' said Guy Hempel , general manager of NBC affiliate WAVE in Louisville , Ky . `` PRP VBD RB VBN IN DT JJ NN , CC DT VBD NNP NNP , '' VBD NNP NNP , JJ NN IN NNP NN NNP IN NNP , NNP .
|
||
|
|
A spokesman for National Broadcasting Co. , a unit of General Electric Co. , said the network was `` looking into what happened . '' DT NN IN NNP NNP NNP , DT NN IN NNP NNP NNP , VBD DT NN VBD `` VBG IN WP VBD . ''
|
||
|
|
The stations said they were pleased with the extended coverage yesterday , including a special five-hour edition of `` Today . '' DT NNS VBD PRP VBD VBN IN DT VBN NN NN , VBG DT JJ JJ NN IN `` NN . ''
|
||
|
|
Don Browne , director of news at NBC News , said in an interview that `` we could n't get a signal out of San Francisco . NNP NNP , NN IN NN IN NNP NNP , VBD IN DT NN IN `` PRP MD RB VB DT NN IN IN NNP NNP .
|
||
|
|
We were out of the box . PRP VBD IN IN DT NN .
|
||
|
|
It was horrible . PRP VBD JJ .
|
||
|
|
The comment we 're hearing is that we were slow out of the box , but beat everyone else in the stretch . '' DT NN PRP VBP VBG VBZ IN PRP VBD JJ IN IN DT NN , CC VB NN RB IN DT NN . ''
|
||
|
|
NBC broadcast throughout the entire night and did not go off the air until noon yesterday . NNP NN IN DT JJ NN CC VBD RB VB IN DT NN IN NN NN .
|
||
|
|
The quake postponed the third and fourth games of the World Series . DT NN VBD DT JJ CC JJ NNS IN DT NNP NNP .
|
||
|
|
In place of the games , ABC said it planned to broadcast next week 's episodes of its prime-time Wednesday and Thursday lineups , except for a one-hour special on the earthquake at 10 p.m. last night . IN NN IN DT NNS , NNP VBD PRP VBD TO VB JJ NN POS NNS IN PRP$ JJ NNP CC NNP NNS , IN IN DT JJ NN IN DT NN IN CD NN JJ NN .
|
||
|
|
The series is scheduled to resume Tuesday evening in San Francisco . DT NN VBZ VBN TO VB NNP NN IN NNP NNP .
|
||
|
|
`` There are no commercials to make up for since we 're going to eventually broadcast the World Series , '' said a network spokesman . `` EX VBP DT NNS TO VB IN IN IN PRP VBP VBG TO RB NN DT NNP NNP , '' VBD DT NN NN .
|
||
|
|
Pinnacle West Capital Corp. said it suspended indefinitely its common stock dividend and reported a 91 % plunge in third-quarter net income . NNP NNP NNP NNP VBD PRP VBD RB PRP$ JJ NN NN CC VBD DT CD NN NN IN JJ JJ NN .
|
||
|
|
The announcement , made after the close of trading , caught analysts by surprise . DT NN , VBN IN DT NN IN NN , VBN NNS IN NN .
|
||
|
|
The company closed at $ 12 a share , down 62.5 cents , in composite trading on the New York Stock Exchange . DT NN VBD IN $ CD DT NN , RB CD NNS , IN JJ NN IN DT NNP NNP NNP NNP .
|
||
|
|
Pinnacle West slashed its quarterly dividend to 40 cents per share from 70 cents in December , saying at the time that it believed the new , lower dividend was `` sustainable . '' NNP NNP VBD PRP$ JJ NN TO CD NNS IN NN IN CD NNS IN NNP , VBG IN DT NN IN PRP VBD DT JJ , JJR NN VBD `` JJ . ''
|
||
|
|
A company spokesman said the decision to eliminate the dividend resulted from a quarterly appraisal and that circumstances had changed since the December announcement . DT NN NN VBD DT NN TO VB DT NN VBD IN DT JJ NN CC IN NNS VBD VBN IN DT NNP NN .
|
||
|
|
He declined to elaborate . PRP VBD TO VB .
|
||
|
|
Edward J. Tirello Jr. , an analyst at Shearson Lehman Hutton Inc. , speculated that the sudden dividend elimination presages an expensive agreement with thrift regulators over the company 's insolvent MeraBank savings and loan unit . NNP NNP NNP NNP , DT NN IN NNP NNP NNP NNP , VBD IN DT JJ NN NN VBZ DT JJ NN IN NN NNS IN DT NN POS JJ NNP NNS CC NN NN .
|
||
|
|
Analysts have estimated that Pinnacle West may have to inject between $ 300 million and $ 400 million into the MeraBank unit before turning the thrift over to federal regulators . NNS VBP VBN IN NNP NNP MD VB TO VB IN $ CD CD CC $ CD CD IN DT NNP NN IN VBG DT NN IN TO JJ NNS .
|
||
|
|
The latest financial results at the troubled utility and thrift holding company , based in Phoenix , Ariz. , reflect continuing problems at MeraBank and losses in real-estate , venture-capital and uranium-mining operations . DT JJS JJ NNS IN DT JJ NN CC NN VBG NN , VBN IN NNP , NNP , VB VBG NNS IN NNP CC NNS IN NN , NN CC NN NNS .
|
||
|
|
Third-quarter net income slid to $ 5.1 million , or six cents a share , from $ 56 million , or 65 cents , a year earlier . JJ JJ NN VBD TO $ CD CD , CC CD NNS DT NN , IN $ CD CD , CC CD NNS , DT NN RBR .
|
||
|
|
Utility operations , the only company unit operating in the black in the latest period , had a 26 % drop in profit , to $ 86.3 million , largely as a result of outages at the company 's huge Palo Verde nuclear facility and the cost of purchased replacement power . NN NNS , DT JJ NN NN VBG IN DT NN IN DT JJS NN , VBD DT CD NN NN IN NN , TO $ CD CD , RB IN DT NN IN NNS IN DT NN POS JJ NNP NNP JJ NN CC DT NN IN VBN NN NN .
|
||
|
|
In other operations , losses at MeraBank totaled $ 85.7 million in the latest quarter , compared with a $ 2.5 million profit a year earlier . IN JJ NNS , NNS IN NNP VBD $ CD CD IN DT JJS NN , VBN IN DT $ CD CD NN DT NN RBR .
|
||
|
|
The latest quarter includes a $ 42.7 million addition to loan-loss reserves . DT JJS NN VBZ DT $ CD CD NN TO NN NNS .
|
||
|
|
As recently as August , the company said it did n't foresee a need for substantial additions to reserves . RB RB IN NNP , DT NN VBD PRP VBD RB VB DT NN IN JJ NNS TO NNS .
|
||
|
|
Pinnacle 's SunCor Development Co . real-estate unit 's loss narrowed to $ 13.8 million from $ 78.4 million . NNP POS NNP NNP NNP . NN NN POS NN VBD TO $ CD CD IN $ CD CD .
|
||
|
|
The latest period included a $ 9 million write-down on undeveloped land , while the year-earlier period included a $ 46 million reserve for real-estate losses . DT JJS NN VBD DT $ CD CD NN IN JJ NN , IN DT JJ NN VBD DT $ CD CD NN IN NN NNS .
|
||
|
|
Losses at its Malapai Resources Co . uranium-mining unit narrowed to $ 3.4 million from $ 18 million a year ago , which included a $ 9 million write-down of utility inventories . NNS IN PRP$ NNP NNP NNP . NN NN VBD TO $ CD CD IN $ CD CD DT NN RB , WDT VBD DT $ CD CD NN IN NN NNS .
|
||
|
|
Losses at El Dorado Investment Co. , the venture-capital operation , widened to $ 6.8 million from $ 425,000 a year earlier . NNS IN NNP NNP NNP NNP , DT JJ NN , VBD TO $ CD CD IN $ CD DT NN RBR .
|
||
|
|
The latest quarter included a $ 6.6 million write-down of investments . DT JJS NN VBD DT $ CD CD NN IN NNS .
|
||
|
|
Equitec Financial Group said it will ask as many as 100,000 investors in 12 of its public real-estate limited partnerships to give approval to rolling them up into a new master limited partnership . NNP NNP NNP VBD PRP MD VB RB JJ IN CD NNS IN CD IN PRP$ JJ NN JJ NNS TO VB NN TO VBG PRP IN IN DT JJ NN JJ NN .
|
||
|
|
Under the proposal by Equitec , a financially troubled real-estate syndicator , New York-based Hallwood Group Inc. would replace Equitec as the newly formed master limited partnership 's general partner and manager . IN DT NN IN NNP , DT RB JJ NN NN , NNP JJ NNP NNP NNP MD VB NNP IN DT RB VBN NN JJ NN POS JJ NN CC NN .
|
||
|
|
Shares of the new partnership would trade on an exchange like a stock . NNS IN DT JJ NN MD VB IN DT NN IN DT NN .
|
||
|
|
Hallwood is a merchant bank whose activities include the ownership , management and financial restructuring of shopping centers , office buildings , apartments and other real estate . NNP VBZ DT NN NN WP$ NNS VBP DT NN , NN CC JJ NN IN NN NNS , NN NNS , NNS CC JJ JJ NN .
|
||
|
|
In a statement , Equitec Chairman Richard L. Saalfeld said the transfer will benefit both the company and investors in the 12 limited partnerships included in the proposed rollup . IN DT NN , NNP NNP NNP NNP NNP VBD DT NN MD VB DT DT NN CC NNS IN DT CD JJ NNS VBD IN DT VBN NN .
|
||
|
|
While he did n't describe the partnerships ' financial condition , he said their operations `` continue to drain the resources of Equitec . '' IN PRP VBD RB VB DT NNS POS JJ NN , PRP VBD PRP$ NNS `` VB TO VB DT NNS IN NNP . ''
|
||
|
|
Equitec posted a $ 3.3 million net loss in the second quarter on $ 11.8 million of revenue , compared with a net loss of $ 12.9 million in the year-earlier period on revenue of $ 9.1 million . NNP VBD DT $ CD CD JJ NN IN DT JJ NN IN $ CD CD IN NN , VBN IN DT JJ NN IN $ CD CD IN DT JJ NN IN NN IN $ CD CD .
|
||
|
|
In New York Stock Exchange composite trading , Equitec closed at $ 2.625 a share , unchanged . IN NNP NNP NNP NNP JJ NN , NNP VBD IN $ CD DT NN , JJ .
|
||
|
|
Because of Tuesday 's earthquake in Northern California , company officials could n't immediately be reached for additional comment . IN IN NNP POS NN IN NNP NNP , NN NNS MD RB RB VB VBN IN JJ NN .
|
||
|
|
A spokesman for Hallwood said the 12 limited partnerships , which were marketed by brokerage firms and financial planners between 1979 and 1984 , raised several hundred million dollars from investors . DT NN IN NNP VBD DT CD JJ NNS , WDT VBD VBN IN NN NNS CC JJ NNS IN CD CC CD , VBN JJ CD CD NNS IN NNS .
|
||
|
|
With airline deals in a tailspin , legendary Wall Street trader Michael Steinhardt could have trouble parachuting out of USAir Group , traders say . IN NN NNS IN DT NN , JJ NNP NNP NN NNP NNP MD VB NN VBG IN IN NNP NNP , NNS VBP .
|
||
|
|
Only a week ago , when airline buy-out fever was already winding down , Mr. Steinhardt was engaged in a duel with USAir . RB DT NN RB , WRB NN NN NN VBD RB VBG RB , NNP NNP VBD VBN IN DT NN IN NNP .
|
||
|
|
He was threatening to take over the carrier , after spending an estimated $ 167 million to build an 8.4 % USAir stake for his investment clients . PRP VBD VBG TO VB IN DT NN , IN VBG DT VBN $ CD CD TO VB DT CD NN NNP NN IN PRP$ NN NNS .
|
||
|
|
The would-be raider even hired an investment banker to give teeth to his takeover threat , which was widely interpreted as an effort to flush out an acquirer for USAir , or for his own stake . DT JJ NN RB VBD DT NN NN TO VB NNS TO PRP$ NN NN , WDT VBD RB VBN IN DT NN TO VB RP DT NN IN NNP , CC IN PRP$ JJ NN .
|
||
|
|
In fighting USAir , Mr. Steinhardt was pitted against another investor , billionnaire Warren Buffett , who bought into USAir to help fend off Mr. Steinhardt . IN VBG NNP , NNP NNP VBD VBN IN DT NN , NN NNP NNP , WP VBD IN NNP TO VB VB IN NNP NNP .
|
||
|
|
Mr. Buffett 's firm , Berkshire Hathaway , holds a much bigger stake in the carrier than Mr. Steinhardt 's firm , Steinhardt Partners . NNP NNP POS NN , NNP NNP , VBZ DT RB JJR NN IN DT NN IN NNP NNP POS NN , NNP NNPS .
|
||
|
|
Now , in the wake of UAL 's troubles in financing its buy-out , the airline raiding game has been grounded . RB , IN DT NN IN NNP POS NNS IN VBG PRP$ NN , DT NN VBG NN VBZ VBN VBN .
|
||
|
|
Instead of hoping to sell his USAir stake at analysts ' estimated buy-out price of $ 80 a share , Mr. Steinhardt is stuck with roughly 3.7 million USAir shares that cost him $ 45 , on average , but yesterday closed at 40 1\/2 , up 1\/4 , in New York Stock Exchange composite trading . RB IN VBG TO VB PRP$ NNP NN IN NNS POS VBN NN NN IN $ CD DT NN , NNP NNP VBZ VBN IN RB CD CD NNP VBZ DT NN PRP $ CD , IN JJ , CC NN VBD IN CD CD , IN CD , IN NNP NNP NNP NNP JJ NN .
|
||
|
|
`` It does n't make sense to parachute out at this price , '' Mr. Steinhardt says , though he has stopped his takeover talk and now commends USAir managers ' `` operating skills . '' `` PRP VBZ RB VB NN TO VB IN IN DT NN , '' NNP NNP VBZ , IN PRP VBZ VBN PRP$ NN NN CC RB VBZ NNP NNS POS `` VBG NNS . ''
|
||
|
|
At the current price , the USAir holding represents 9 % of all the assets that Mr. Steinhardt manages . IN DT JJ NN , DT NNP VBG VBZ CD NN IN PDT DT NNS IN NNP NNP VBZ .
|
||
|
|
A week ago , USAir stock briefly soared above 52 after a report in USA Today that Mr. Steinhardt might launch a hostile bid for the carrier , though takeover speculators say they were skeptical . DT NN RB , NNP NN NN VBD IN CD IN DT NN IN NNP NN IN NNP NNP MD VB DT JJ NN IN DT NN , IN NN NNS VBP PRP VBD JJ .
|
||
|
|
`` If USAir is worth 80 as a takeover and the stock went to 52 , the market was saying Steinhardt 's presence was n't worth anything , in terms of getting a deal done , '' says a veteran takeover speculator . `` IN NNP VBZ JJ CD IN DT NN CC DT NN VBD TO CD , DT NN VBD VBG NNP POS NN VBD RB JJ NN , IN NNS IN VBG DT NN VBN , '' VBZ DT NN NN NN .
|
||
|
|
Traders say this all goes to show that even the smartest money manager can get infected with crowd passions . NNS VBP DT DT VBZ TO VB IN RB DT JJS NN NN MD VB VBN IN NN NNS .
|
||
|
|
In trying to raid USAir , Mr. Steinhardt abandoned his usual role as a passive investor , and ran into snags . IN VBG TO VB NNP , NNP NNP VBD PRP$ JJ NN IN DT JJ NN , CC VBD IN NNS .
|
||
|
|
Moreover , unlike Mr. Buffett , who often holds big stakes in companies for years , Mr. Steinhardt has n't in the past done much long-term investing . RB , IN NNP NNP , WP RB VBZ JJ NNS IN NNS IN NNS , NNP NNP VBZ RB IN DT RB VBN JJ JJ NN .
|
||
|
|
Mr. Steinhardt , who runs about $ 1.7 billion for Steinhardt Partners , made his name as a gunslinging trader , moving in and out of stocks with agility -- enriching himself and his investment clients . NNP NNP , WP VBZ RB $ CD CD IN NNP NNPS , VBD PRP$ NN IN DT VBG NN , VBG IN CC RP IN NNS IN NN : VBG PRP CC PRP$ NN NNS .
|
||
|
|
Meanwhile , his big losses , for instance in 1987 's crash , generally have been trading losses . RB , PRP$ JJ NNS , IN NN IN CD POS NN , RB VBP VBN NN NNS .
|
||
|
|
So , some see a special irony in the fact that Mr. Steinhardt , the trader , now is encumbered with a massive , illiquid airline holding . RB , DT VB DT JJ NN IN DT NN IN NNP NNP , DT NN , RB VBZ VBN IN DT JJ , JJ NN VBG .
|
||
|
|
Analysts say USAir stock might lose four or five points if the Steinhardt stake was dumped all at once . NNS VBP NNP NN MD VB CD CC CD NNS IN DT NNP NN VBD VBN DT IN RB .
|
||
|
|
As a result , Mr. Steinhardt must reconcile himself to selling USAir at a loss , or to holding the shares as an old-fashioned investment . IN DT NN , NNP NNP MD VB PRP TO VBG NNP IN DT NN , CC TO VBG DT NNS IN DT JJ NN .
|
||
|
|
`` Long-term investing -- that 's not Steinhardt 's style , '' chuckles an investor who once worked at Steinhardt Partners . `` JJ NN : DT VBZ RB NNP POS NN , '' VBZ DT NN WP RB VBD IN NNP NNPS .
|
||
|
|
`` He does n't usually risk that much unless he thinks he has an ace in the hole , '' adds another Steinhardt Partners alumnus . `` PRP VBZ RB RB VBP IN JJ IN PRP VBZ PRP VBZ DT NN IN DT NN , '' VBZ DT NNP NNPS NN .
|
||
|
|
In recent days , traders say USAir has been buying its own shares , as part of a program to retire about eight million USAir shares , though the carrier wo n't discuss its buy-back program . IN JJ NNS , NNS VBP NNP VBZ VBN VBG PRP$ JJ NNS , IN NN IN DT NN TO VB IN CD CD NNP NNS , IN DT NN MD RB VB PRP$ NN NN .
|
||
|
|
If USAir stepped up its share purchases , that might be a way for Mr. Steinhardt to get out , says Timothy Pettee , a Merrill Lynch analyst . IN NNP VBD IN PRP$ NN NNS , WDT MD VB DT NN IN NNP NNP TO VB IN , VBZ NNP NNP , DT NNP NNP NN .
|
||
|
|
But USAir might not want to help Mr. Steinhardt , he adds . CC NNP MD RB VB TO VB NNP NNP , PRP VBZ .
|
||
|
|
In 1987 , USAir Chairman Edwin Colodny stonewalled when Trans World Airlines Chairman Carl Icahn threatened to take over the carrier . IN CD , NNP NNP NNP NNP VBD WRB NNP NNP NNP NNP NNP NNP VBD TO VB IN DT NN .
|
||
|
|
Mr. Icahn , a much more practiced raider than Mr. Steinhardt , eventually sold a big USAir stake at a tiny profit through Bear , Stearns . NNP NNP , DT RB RBR VBN NN IN NNP NNP , RB VBN DT JJ NNP NN IN DT JJ NN IN NNP , NNP .
|
||
|
|
Mr. Steinhardt also could take that route . NNP NNP RB MD VB DT NN .
|
||
|
|
He confers big trading commissions on Wall Street firms . PRP VBZ JJ NN NNS IN NNP NNP NNS .
|
||
|
|
However , with airline stocks cratering , he might not get a very good price for his shares , traders say . RB , IN NN NNS VBG , PRP MD RB VB DT RB JJ NN IN PRP$ NNS , NNS VBP .
|
||
|
|
Especially galling for Mr. Steinhardt , say people close to him , is that USAir 's Mr. Colodny wo n't even take his telephone calls . RB JJ IN NNP NNP , VBP NNS VBP TO PRP , VBZ IN NNP POS NNP NNP MD RB RB VB PRP$ NN NNS .
|
||
|
|
While USAir is n't considered absolutely takeover-proof , its defenses , including the sale in August of a 12 % stake in the company to Mr. Buffett 's Berkshire Hathaway , are pretty strong . IN NNP VBZ RB VBN RB JJ , PRP$ NNS , VBG DT NN IN NNP IN DT CD NN NN IN DT NN TO NNP NNP POS NNP NNP , VBP RB JJ .
|
||
|
|
USAir 's deal with Mr. Buffett `` was n't exactly a shining example of shareholder democracy , '' Mr. Steinhardt says . NNP POS NN IN NNP NNP `` VBD RB RB DT VBG NN IN NN NN , '' NNP NNP VBZ .
|
||
|
|
Since last April , the investor has made seven so-called 13D filings in USAir , as he bought and sold the company 's stock . IN JJ NNP , DT NN VBZ VBN CD JJ CD NNS IN NNP , IN PRP VBD CC VBD DT NN POS NN .
|
||
|
|
Such disclosures of big holdings often are used by raiders to try to scare a company 's managers , and to stir interest in the stock . JJ NNS IN JJ NNS RB VBP VBN IN NNS TO VB TO VB DT NN POS NNS , CC TO VB NN IN DT NN .
|
||
|
|
But of course it would be highly unusual for an investment fund such as Steinhardt Partners to take over a company . CC IN NN PRP MD VB RB JJ IN DT NN NN JJ IN NNP NNPS TO VB IN DT NN .
|
||
|
|
USAir and Mr. Buffett wo n't talk about Mr. Steinhardt at all . NNP CC NNP NNP MD RB VB IN NNP NNP IN DT .
|
||
|
|
Analysts say USAir has great promise . NNS VBP NNP VBZ JJ NN .
|
||
|
|
By the second half of 1990 , USAir stock could hit 60 , says Helane Becker of Shearson Lehman Hutton . IN DT JJ NN IN CD , NNP NN MD VB CD , VBZ NNP NNP IN NNP NNP NNP .
|
||
|
|
She thinks traders should buy the stock if it tumbles to 35 . PRP VBZ NNS MD VB DT NN IN PRP VBZ TO CD .
|
||
|
|
But meanwhile , USAir is expected to show losses or lackluster profit for several quarters as it tries to digest Piedmont Airlines , which it acquired . CC RB , NNP VBZ VBN TO VB NNS CC JJ NN IN JJ NNS IN PRP VBZ TO VB NNP NNPS , WDT PRP VBD .
|
||
|
|
Moreover , some investors think a recession or renewed airfare wars will pummel airline stocks in coming months . RB , DT NNS VBP DT NN CC VBN NN NNS MD VB NN NNS IN VBG NNS .
|
||
|
|
However , Mr. Steinhardt says he 's `` comfortable holding USAir as an investment . '' RB , NNP NNP VBZ PRP VBZ `` JJ NN NNP IN DT NN . ''
|
||
|
|
While he has bought and sold some USAir shares in recent days , he says that contrary to rumors , he has n't tried to unload his holding . IN PRP VBZ VBN CC VBD DT NNP NNS IN JJ NNS , PRP VBZ IN JJ TO NNS , PRP VBZ RB VBN TO VB PRP$ NN .
|
||
|
|
Mr. Steinhardt adds that he bought USAir stock earlier this year as `` part of a fundamental investment in the airline group . '' NNP NNP VBZ IN PRP VBD NNP NN RBR DT NN IN `` NN IN DT JJ NN IN DT NN NN . ''
|
||
|
|
In 1989 , Mr. Steinhardt says he made money trading in Texas Air , AMR and UAL . IN CD , NNP NNP VBZ PRP VBD NN NN IN NNP NNP , NNP CC NNP .
|
||
|
|
Overall , his investments so far this year are showing gains of about 20 % , he adds . RB , PRP$ NNS RB RB DT NN VBP VBG NNS IN IN CD NN , PRP VBZ .
|
||
|
|
Does Mr. Steinhardt regret his incursion into the takeover-threat game ? VBZ NNP NNP VBP PRP$ NN IN DT NN NN .
|
||
|
|
People close to the investor say that was an experiment he is unlikely to repeat . NNS VBP TO DT NN VBP WDT VBD DT NN PRP VBZ JJ TO VB .
|
||
|
|
`` I do n't think you 'll find I 'm making a radical change in my traditional investment style , '' Mr. Steinhardt says . `` PRP VBP RB VB PRP MD VB PRP VBP VBG DT JJ NN IN PRP$ JJ NN NN , '' NNP NNP VBZ .
|
||
|
|
Addington Resources Inc. said it called for redemption on Nov. 21 its $ 25.8 million outstanding of 8 % convertible subordinated debentures due 2013 . NNP NNP NNP VBD PRP VBD IN NN IN NNP CD PRP$ $ CD CD JJ IN CD NN JJ VBN NNS JJ CD .
|
||
|
|
The debentures were issued in the face amount of $ 46 million on July 11 , 1988 , the Ashland , Ky. , coal mining , water transportation and construction company said . DT NNS VBD VBN IN DT NN NN IN $ CD CD IN NNP CD , CD , DT NNP , NNP , NN NN , NN NN CC NN NN VBD .
|
||
|
|
The company said the redemption is permitted because the price of Addington 's stock has equaled or exceeded $ 19.60 for 20 consecutive trading days , a condition set in the terms of the debentures . DT NN VBD DT NN VBZ VBN IN DT NN IN NNP POS NN VBZ VBN CC VBN $ CD IN CD JJ NN NNS , DT NN VBN IN DT NNS IN DT NNS .
|
||
|
|
Debenture holders are expected to convert most of the debentures into common because the value of the stock received in a conversion would exceed the $ 1,103.11 redemption price . NN NNS VBP VBN TO VB RBS IN DT NNS IN JJ IN DT NN IN DT NN VBD IN DT NN MD VB DT $ CD NN NN .
|
||
|
|
Commodore International Ltd. said it will report a loss for the first quarter ended Sept. 30 because sales of personal computers for the home market remained weak in some major countries . NNP NNP NNP VBD PRP MD VB DT NN IN DT JJ NN VBN NNP CD IN NNS IN JJ NNS IN DT NN NN VBD JJ IN DT JJ NNS .
|
||
|
|
That will mark the second consecutive quarterly loss for Commodore and will raise additional questions about whether it can sustain the turnaround it had seemed to be engineering . DT MD VB DT JJ JJ JJ NN IN NNP CC MD VB JJ NNS IN IN PRP MD VB DT NN PRP VBD VBN TO VB NN .
|
||
|
|
Commodore , West Chester , Pa. , had said in August that it was consolidating manufacturing to cut costs and expected to be profitable in the fiscal first quarter . NNP , NNP NNP , NNP , VBD VBD IN NNP IN PRP VBD VBG NN TO VB NNS CC VBN TO VB JJ IN DT JJ JJ NN .
|
||
|
|
Commodore said that its announcement is based on preliminary information and that the situation could look different by the time final results are announced early next month . NNP VBD IN PRP$ NN VBZ VBN IN JJ NN CC IN DT NN MD VB JJ IN DT NN JJ NNS VBP VBN JJ JJ NN .
|
||
|
|
In fact , Commodore 's fiscal fourth-quarter loss was $ 2 million narrower than Commodore had expected a few weeks after the quarter closed . IN NN , NNP POS JJ JJ NN VBD $ CD CD JJR IN NNP VBD VBN DT JJ NNS IN DT NN VBD .
|
||
|
|
Still , even results approaching break-even would mark a sharp weakening compared with fiscal 1989 first-quarter earnings of $ 9.6 million , or 30 cents a share , on sales of $ 200.2 million . RB , RB VBZ VBG NN MD VB DT JJ NN VBN IN JJ CD JJ NNS IN $ CD CD , CC CD NNS DT NN , IN NNS IN $ CD CD .
|
||
|
|
Reflecting concerns about Commodore 's outlook , its stock has plunged more than 50 % since May , closing yesterday unchanged at $ 8.875 a share in composite trading on the New York Stock Exchange . VBG NNS IN NNP POS NN , PRP$ NN VBZ VBN JJR IN CD NN IN NNP , VBG NN JJ IN $ CD DT NN IN JJ NN IN DT NNP NNP NNP NNP .
|
||
|
|
The price can be expected to erode further , because the loss estimate came after the market closed . DT NN MD VB VBN TO VB RBR , IN DT NN NN VBD IN DT NN VBD .
|
||
|
|
Commodore has seemed to be setting the stage recently for progress in the U.S. , where its personal-computer sales have been so dismal for years that Commodore is close to dropping off research firms ' market-share charts . NNP VBZ VBN TO VB VBG DT NN RB IN NN IN DT NNP , WRB PRP$ NN NNS NN VBN RB JJ IN NNS IN NNP VBZ RB TO VBG IN NN NNS POS JJ NNS .
|
||
|
|
Commodore has assembled an experienced management team , it has persuaded many more dealers to carry its products and it has unleashed a slick advertising campaign . NNP VBZ VBN DT VBN NN NN , PRP VBZ VBN RB JJR NNS TO VB PRP$ NNS CC PRP VBZ VBN DT JJ NN NN .
|
||
|
|
But those represent long-term strategies that probably wo n't succeed quickly , even if they turn out to be the right ones . CC DT VB JJ NNS IN RB MD RB VB RB , RB IN PRP VBP IN TO VB DT NN NNS .
|
||
|
|
In the meantime , the strategies will increase expenses . IN DT NN , DT NNS MD VB NNS .
|
||
|
|
Commodore had been counting on its consumer business to stay sufficiently healthy to support its efforts in other areas -- mainly in getting schools and businesses to use its Amiga , which has slick graphics yet has been slow to catch on because it is n't compatible with Apple Computer Inc. or International Business Machines Corp. hardware . NNP VBD VBN VBG IN PRP$ NN NN TO VB RB JJ TO VB PRP$ NNS IN JJ NNS : RB IN VBG NNS CC NNS TO VB PRP$ NNP , WDT VBZ JJ NNS RB VBZ VBN JJ TO VB IN IN PRP VBZ RB JJ IN NNP NNP NNP CC NNP NNP NNP NNP NN .
|
||
|
|
But sales to consumers have become difficult during the past several months , even in West Germany , which has been by far Commodore 's strongest market . CC NNS TO NNS VBP VBN JJ IN DT JJ JJ NNS , RB IN NNP NNP , WDT VBZ VBN IN RB NNP POS JJS NN .
|
||
|
|
The Commodore 64 and 128 , mainly used for children 's educational software and games , had surprised market researchers by continuing to produce strong sales even though other low-profit personal computers now operate several times as fast and have much more memory . DT NNP CD CC CD , RB VBN IN NNS POS JJ NN CC NNS , VBD VBN NN NNS IN VBG TO VB JJ NNS RB IN JJ JJ JJ NNS RB VBP JJ NNS IN RB CC VBP RB JJR NN .
|
||
|
|
Commodore has said it expects sales to rebound , but market researchers have said that sales of the low-end products may finally be trailing off . NNP VBZ VBD PRP VBZ NNS TO VB , CC NN NNS VBP VBD IN NNS IN DT JJ NNS MD RB VB VBG RB .
|
||
|
|
Stock prices closed slightly higher in the first routine trading day since Friday 's big plunge . NN NNS VBD RB JJR IN DT JJ JJ NN NN IN NNP POS JJ NN .
|
||
|
|
Some issues were affected by Tuesday 's devastating earthquake in the San Francisco area . DT NNS VBD VBN IN NNP POS JJ NN IN DT NNP NNP NN .
|
||
|
|
Activity continued to slow from the hectic pace set during the market 's plunge late Friday and its rebound Monday , as players began to set their sights on events coming later this week . NN VBD TO VB IN DT JJ NN VBN IN DT NN POS NN JJ NNP CC PRP$ NN NNP , IN NNS VBD TO VB PRP$ NNS IN NNS VBG RB DT NN .
|
||
|
|
The Dow Jones Industrial Average drifted through the session within a trading range of about 30 points before closing with a gain of 4.92 at 2643.65 . DT NNP NNP NNP NNP VBD IN DT NN IN DT NN NN IN IN CD NNS IN VBG IN DT NN IN CD IN CD .
|
||
|
|
Broader averages also posted modest gains . JJR NNS RB VBD JJ NNS .
|
||
|
|
Standard & Poor 's 500-Stock Index rose 0.60 to 341.76 , the Dow Jones Equity Market Index rose 0.71 to 320.54 and the New York Stock Exchange Composite Index gained 0.43 to 189.32 . NNP CC NNP POS NNP NNP VBD CD TO CD , DT NNP NNP NNP NNP NNP VBD CD TO CD CC DT NNP NNP NNP NNP NNP NNP VBD CD TO CD .
|
||
|
|
Some 822 New York Stock Exchange issues advanced in price , while 668 declined . DT CD NNP NNP NNP NNP NNS VBD IN NN , IN CD VBD .
|
||
|
|
But the Dow Jones Transportation Average went down for the seventh consecutive session , due largely to further selling in UAL . CC DT NNP NNP NNP NNP VBD RB IN DT JJ JJ NN , JJ RB TO VB NN IN NNP .
|
||
|
|
The average dropped 6.40 to 1247.87 and has now lost 21.7 % of its value since the losing streak began Oct. 10 . DT NN VBD CD TO CD CC VBZ RB VBN CD NN IN PRP$ NN IN DT VBG NN VBD NNP CD .
|
||
|
|
Big Board volume dropped to 166,900,000 shares , in line with the level of trading over the past few weeks , from 224.1 million Tuesday . NNP NNP NN VBD TO CD NNS , IN NN IN DT NN IN NN IN DT JJ JJ NNS , IN CD CD NNP .
|
||
|
|
Traders cited anticipation of the consumer price report for September , due today , and tomorrow 's expiration of October stock-index futures and options as major factors in the slowdown . NNS VBD NN IN DT NN NN NN IN NNP , JJ NN , CC NN POS NN IN NNP NN NNS CC NNS IN JJ NNS IN DT NN .
|
||
|
|
In addition , activity at a number of San Francisco-based brokerage houses was curtailed as a result of the earthquake , which knocked out power lines and telephone service throughout the Bay area . IN NN , NN IN DT NN IN NNP JJ NN NNS VBD VBN IN DT NN IN DT NN , WDT VBD RP NN NNS CC NN NN IN DT NNP NN .
|
||
|
|
Stocks retreated to session lows just after the opening amid worries about the market impact of the quake , but quickly snapped back to higher levels with the help of futures-related program buying . NNS VBD TO NN NNS RB IN DT NN IN NNS IN DT NN NN IN DT NN , CC RB VBD RB TO JJR NNS IN DT NN IN JJ NN VBG .
|
||
|
|
The early move essentially established the day 's trading range , and traders said they saw little of the program activity that has battered the market recently . DT JJ NN RB VBD DT NN POS NN NN , CC NNS VBD PRP VBD JJ IN DT NN NN WDT VBZ VBN DT NN RB .
|
||
|
|
`` I did n't expect it to be this quiet . `` PRP VBD RB VB PRP TO VB DT NN .
|
||
|
|
I expected to see more volatility as some of the institutions who were spooked last Friday did some selling , '' said Raymond F. DeVoe , a market strategist at Legg Mason Wood Walker , Baltimore . PRP VBD TO VB JJR NN IN DT IN DT NNS WP VBD VBN JJ NNP VBD DT NN , '' VBD NNP NNP NNP , DT NN NN IN NNP NNP NNP NNP , NNP .
|
||
|
|
Mr. DeVoe said he expects prices to show some renewed instability over the next few sessions as institutions re-evaluate their stance toward the market in light of its decline . NNP NNP VBD PRP VBZ NNS TO VB DT VBN NN IN DT JJ JJ NNS IN NNS VBP PRP$ NN IN DT NN IN NN IN PRP$ NN .
|
||
|
|
`` I would suspect that a lot of investment committees are looking into whether -LRB- they -RRB- want to be in stocks at all , '' he said . `` PRP MD VB IN DT NN IN NN NNS VBP VBG IN IN ( PRP ) VBP TO VB IN NNS IN DT , '' PRP VBD .
|
||
|
|
Insurance stocks were sold at the opening amid concerns about the level of damage claims the companies would receive as a result of the earthquake . NN NNS VBD VBN IN DT NN IN NNS IN DT NN IN NN VBZ DT NNS MD VB IN DT NN IN DT NN .
|
||
|
|
But those issues recovered quickly and turned higher because of expectations that the quake and the recent Hurricane Hugo would set the stage for an increase in premium rates . CC DT NNS VBD RB CC VBD JJR IN IN NNS IN DT NN CC DT JJ NNP NNP MD VB DT NN IN DT NN IN NN NNS .
|
||
|
|
Issues of insurance brokers were especially strong . NNS IN NN NNS VBD RB JJ .
|
||
|
|
Marsh & McLennan advanced 3 1\/8 to 75 7\/8 , Alexander & Alexander Services climbed 2 to 32 and Corroon & Black firmed 1 7\/8 to 37 1\/2 . NNP CC NNP VBD CD CD TO CD CD , NNP CC NNP NNP VBD CD TO CD CC NNP CC NNP VBD CD CD TO CD CD .
|
||
|
|
Elsewhere in the group , General Re rose 2 3\/4 to 86 1\/2 , American International Group gained 3 1\/4 to 102 5\/8 , Aetna Life & Casualty added 2 3\/8 to 59 1\/2 and Cigna advanced 7\/8 to 62 1\/2 . RB IN DT NN , NNP NNP VBD CD CD TO CD CD , NNP NNP NNP VBD CD CD TO CD CD , NNP NNP CC NNP VBD CD CD TO CD CD CC NNP VBD CD TO CD CD .
|
||
|
|
Loews , the parent of CNA Financial , rose 1 3\/8 to 123 1\/8 . NNP , DT NN IN NNP NNP , VBD CD CD TO CD CD .
|
||
|
|
Companies in the construction , engineering and building-products sectors were among other beneficiaries of earthquake-related buying . NNS IN DT NN , NN CC NNS NNS VBD IN JJ NNS IN JJ NN .
|
||
|
|
The heavy-construction sector was the session 's best performer among Dow Jones industry groups ; Fluor rose 3\/4 to 33 3\/8 , Morrison Knudsen gained 2 1\/4 to 44 1\/8 , Foster Wheeler added 3\/8 to 18 1\/4 and Ameron climbed 2 3\/8 to 39 3\/4 . DT NN NN VBD DT NN POS JJS NN IN NNP NNP NN NNS : NNP VBD CD TO CD CD , NNP NNP VBD CD CD TO CD CD , NNP NNP VBD CD TO CD CD CC NNP VBD CD CD TO CD CD .
|
||
|
|
Among engineering firms , CRS Sirrine rose 5\/8 to 34 1\/4 on the Big Board and four others rallied on the American Stock Exchange : Jacobs Engineering Group , which gained 1 1\/8 to 25 3\/8 , Greiner Engineering , which rose 3 1\/2 to 22 1\/2 ; Michael Baker , which added 1 1\/4 to 15 1\/4 , and American Science & Engineering , up 1\/2 to 8 1\/2 . IN NN NNS , NNP NNP VBD CD TO CD CD IN DT NNP NNP CC CD NNS VBD IN DT NNP NNP NNP : NNP NNP NNP , WDT VBD CD CD TO CD CD , NNP NNP , WDT VBD CD CD TO CD CD : NNP NNP , WDT VBD CD CD TO CD CD , CC NNP NNP CC NNP , IN CD TO CD CD .
|
||
|
|
Within the building-materials group , Georgia-Pacific climbed 1 1\/4 to 58 and Louisiana-Pacific added 1 to 40 3\/4 after Merrill Lynch recommended the forest-products issues . IN DT NNS VBP , NNP VBD CD CD TO CD CC NNP VBD CD TO CD CD IN NNP NNP VBD DT NNS NNS .
|
||
|
|
CalMat advanced 2 3\/4 to 28 3\/4 , Lone Star Industries gained 1 3\/4 to 29 1\/4 , Lafarge rose 1 to 19 1\/2 , Southdown added 5\/8 to 24 5\/8 and Eljer Industries rose 1 1\/4 to 24 7\/8 . NNP VBD CD CD TO CD CD , NNP NNP NNPS VBD CD CD TO CD CD , NNP VBD CD TO CD CD , NNP VBD CD TO CD CD CC NNP NNP VBD CD CD TO CD CD .
|
||
|
|
Pacific Gas & Electric fell 3\/8 to 19 5\/8 in Big Board composite trading of 1.7 million shares and Pacific Telesis Group slipped 5\/8 to 44 5\/8 as the companies worked to restore service to areas affected by the quake . NNP NNP CC NNP VBD CD TO CD CD IN NNP NNP JJ NN IN CD CD NNS CC NNP NNP NNP VBD CD TO CD CD IN DT NNS VBD TO VB NN TO NNS VBN IN DT NN .
|
||
|
|
Chevron added 1 to 65 . NNP VBD CD TO CD .
|
||
|
|
The company , based in San Francisco , said it had to shut down a crude-oil pipeline in the Bay area to check for leaks but added that its refinery in nearby Richmond , Calif. , was undamaged . DT NN , VBN IN NNP NNP , VBD PRP VBD TO VB RP DT NN NN IN DT NNP NN TO VB IN NNS CC VBD IN PRP$ NN IN JJ NNP , NNP , VBD JJ .
|
||
|
|
Other companies based in the area include Hewlett-Packard , which rose 1\/4 to 49 ; National Semiconductor , which went up 1\/4 to 7 5\/8 , and Genentech , which eased 1\/4 to 19 5\/8 . JJ NNS VBN IN DT NN VBP NNP , WDT VBD CD TO CD : NNP NNP , WDT VBD IN CD TO CD CD , CC NNP , WDT VBD CD TO CD CD .
|
||
|
|
None of the firms reported any major damage to facilities as a result of the quake . NN IN DT NNS VBD DT JJ NN TO NNS IN DT NN IN DT NN .
|
||
|
|
BankAmerica eased 1\/2 to 31 7\/8 and Wells Fargo lost 1\/2 to 81 1\/2 ; the two bank holding companies , based in San Francisco , were forced to curtail some operations due to the temblor . NNP VBD CD TO CD CD CC NNP NNP VBD CD TO CD CD : DT CD NN VBG NNS , VBN IN NNP NNP , VBD VBN TO VB DT NNS JJ TO DT NN .
|
||
|
|
Among California savings-and-loan stocks , H.F. Ahmanson eased 3\/8 to 22 1\/4 , CalFed slid 3\/4 to 24 1\/8 , Great Western Financial dropped 1\/2 to 21 1\/4 and Golden West Financial fell 5\/8 to 29 1\/4 . IN NNP JJ NNS , NNP NNP VBD CD TO CD CD , NNP VBD CD TO CD CD , NNP NNP NNP VBD CD TO CD CD CC NNP NNP NNP VBD CD TO CD CD .
|
||
|
|
UAL , the parent company of United Airlines , swung within a 14-point range during the course of the session before closing at 191 3\/4 , down 6 1\/4 , on 2.3 million shares . NNP , DT NN NN IN NNP NNPS , VBD IN DT JJ NN IN DT NN IN DT NN IN VBG IN CD CD , RB CD CD , IN CD CD NNS .
|
||
|
|
British Airways , a member of the group that had offered $ 300 a share for UAL in a leveraged buy-out , said it had yet to receive a revised proposal and it was `` in no way committed '' to the completion of a bid . JJ NNPS , DT NN IN DT NN WDT VBD VBN $ CD DT NN IN NNP IN DT JJ NN , VBD PRP VBD RB TO VB DT VBN NN CC PRP VBD `` IN DT NN VBN '' TO DT NN IN DT NN .
|
||
|
|
Separately , investor Marvin Davis withdrew his backup $ 300-a-share takeover offer . RB , NN NNP NNP VBD PRP$ NN $ JJ NN NN .
|
||
|
|
While UAL faltered , AMR , the parent of American Airlines , pulled out of its recent nosedive by rising 3\/4 to 74 . IN NNP VBD , NNP , DT NN IN NNP NNPS , VBD IN IN PRP$ JJ NN IN VBG CD TO CD .
|
||
|
|
The stock had been on the decline since the financing for the UAL buy-out fell through on Friday and developer Donald Trump subsequently withdrew a takeover offer of $ 120 a share for AMR . DT NN VBD VBN IN DT NN IN DT NN IN DT NNP NN VBD IN IN NNP CC NN NNP NNP RB VBD DT NN NN IN $ CD DT NN IN NNP .
|
||
|
|
Also , AMR was the most active Big Board issue ; 2.8 million shares changed hands . RB , NNP VBD DT RBS JJ NNP NNP NN : CD CD NNS VBD NNS .
|
||
|
|
GTE added 1 1\/4 to 65 3\/8 . NNP VBD CD CD TO CD CD .
|
||
|
|
PaineWebber repeated a buy recommendation on the stock and raised its 1990 earnings estimate by 35 cents a share , to $ 5.10 . NNP VBD DT NN NN IN DT NN CC VBN PRP$ CD NNS NN IN CD NNS DT NN , TO $ CD .
|
||
|
|
Colgate-Palmolive advanced 1 5\/8 to 63 after saying it was comfortable with analysts ' projections that third-quarter net income from continuing operations would be between 95 cents and $ 1.05 a share , up from 69 cents a year ago . NNP VBD CD CD TO CD IN VBG PRP VBD JJ IN NNS POS NNS IN JJ JJ NN IN VBG NNS MD VB IN CD NNS CC $ CD DT NN , IN IN CD NNS DT NN RB .
|
||
|
|
Springs Industries dropped 1 3\/8 to 36 . NNP NNPS VBD CD CD TO CD .
|
||
|
|
Analysts at several brokerage firms lowered their 1989 and 1990 earnings estimates on the company after its third-quarter results proved disappointing . NNS IN JJ NN NNS VBD PRP$ CD CC CD NNS NNS IN DT NN IN PRP$ JJ NNS VBD JJ .
|
||
|
|
Trinova third-quarter loss after a charge for a planned restructuring , which will include the closing or downsizing of about 25 % of its plants and a work force cut of about 1,500 over three years . NNP JJ NN IN DT NN IN DT VBN NN , WDT MD VB DT VBG CC VBG IN IN CD NN IN PRP$ NNS CC DT NN NN NN IN IN CD IN CD NNS .
|
||
|
|
The Amex Market Value Index snapped a five-session losing streak by rising 2.91 to 378.07 . DT NNP NNP NNP NNP VBD DT JJ NN NN IN VBG CD TO CD .
|
||
|
|
Volume totaled 12,500,000 shares . NN VBD CD NNS .
|
||
|
|
Carnival Cruise Lines Class A rose 1 1\/4 to 22 3\/8 . NNP NNP NNP NNP DT VBD CD CD TO CD CD .
|
||
|
|
The company , citing market conditions , postponed a $ 200 million debt offer . DT NN , VBG NN NNS , VBD DT $ CD CD NN NN .
|
||
|
|
Philip Morris Cos. posted a 20 % jump in third-quarter profit on a 45 % revenue increase , reflecting strength in the company 's cigarette , food and brewing businesses . NNP NNP NNP VBD DT CD NN NN IN JJ NN IN DT CD NN NN NN , VBG NN IN DT NN POS NN , NN CC NN NNS .
|
||
|
|
Net income rose to $ 748 million , or 81 cents a share , from the year-earlier $ 621 million , or 67 cents a share . JJ NN VBD TO $ CD CD , CC CD NNS DT NN , IN DT JJ $ CD CD , CC CD NNS DT NN .
|
||
|
|
Per-share figures have been adjusted for a 4-for-1 stock split paid earlier this month . JJ NNS VBP VBN VBN IN DT JJ NN NN VBN RBR DT NN .
|
||
|
|
The New York-based tobacco , food and beer concern said revenue increased to $ 11.25 billion from $ 7.74 billion . DT NNP JJ NN , NN CC NN NN VBD NN VBN TO $ CD CD IN $ CD CD .
|
||
|
|
In composite trading on the New York Stock Exchange , Philip Morris closed at $ 43.375 , up 12.5 cents . IN JJ NN IN DT NNP NNP NNP NNP , NNP NNP VBD IN $ CD , IN CD NNS .
|
||
|
|
Philip Morris disclosed little detailed information about performance by major business lines except to say that most , including Philip Morris U.S.A. , Kraft General Foods and Miller Brewing Co. , posted increased revenues . NNP NNP VBD RB VBN NN IN NN IN JJ NN NNS VB TO VB IN RBS , VBG NNP NNP NNP , NNP NNP NNPS CC NNP NNP NNP , VBD VBN NNS .
|
||
|
|
For the nine months , net increased 4.4 % to $ 2.08 billion , or $ 2.25 a share , from $ 2 billion , which included $ 273 million reflecting the effect of an accounting change . IN DT CD NNS , JJ VBN CD NN TO $ CD CD , CC $ CD DT NN , IN $ CD CD , WDT VBD $ CD CD VBG DT NN IN DT NN NN .
|
||
|
|
Granges Inc. , citing depressed gold prices , said it plans to suspend operations for an indefinite period at its Tartan gold mine in Manitoba . NNP NNP , VBG JJ NN NNS , VBD PRP VBZ TO VB NNS IN DT JJ NN IN PRP$ NNP NN NN IN NNP .
|
||
|
|
Granges said in Vancouver , British Columbia , that the production halt will be phased in over a 10-week period . NNP VBD IN NNP , NNP NNP , IN DT NN NN MD VB VBN IN IN DT JJ NN .
|
||
|
|
Tartan currently produces gold at a cash operating cost of $ 393 an ounce , which is high by industry standards and $ 25 or so above the current spot price . NNP RB VBZ NN IN DT NN VBG NN IN $ CD DT NN , WDT VBZ JJ IN NN NNS CC $ CD CC RB IN DT JJ NN NN .
|
||
|
|
Granges said it also plans in the third quarter to write down the carrying value of the Tartan mine by 2.5 million Canadian dollars -LRB- US$ 2.12 million -RRB- , and to write off most of the C$ 6.3 million carrying value of its Windflower gold property in British Columbia . NNP VBD PRP RB VBZ IN DT JJ NN TO VB RP DT VBG NN IN DT NNP NN IN CD CD JJ NNS ( $ CD CD ) , CC TO VB IN RBS IN DT $ CD CD VBG NN IN PRP$ NNP NN NN IN NNP NNP .
|
||
|
|
Granges did n't say what impact the moves would have on total gold output or earnings , and company officials were n't available . NNP VBD RB VB WP NN DT NNS MD VB IN JJ NN NN CC NNS , CC NN NNS VBD RB JJ .
|
||
|
|
Computer Associates International Inc. , Garden City , N.Y. , and Digital Equipment Corp. said they agreed to jointly develop software to help manage Digital 's Vax computers . NNP NNP NNP NNP , NNP NNP , NNP , CC NNP NNP NNP VBD PRP VBD TO RB VB NN TO VB VB NNP POS NNP NNS .
|
||
|
|
Computer Associates has carved out a huge business selling such software for use in managing networks of International Business Machines Corp. computers but needs to find new markets if it is to maintain its growth rate of 30 % and more each year . NNP NNPS VBZ VBN RP DT JJ NN VBG JJ NN IN NN IN VBG NNS IN NNP NNP NNP NNP NNS CC VBZ TO VB JJ NNS IN PRP VBZ TO VB PRP$ NN NN IN CD NN CC JJR DT NN .
|
||
|
|
The market for system-management software for Digital 's hardware is fragmented enough that a giant such as Computer Associates should do well there . DT NN IN NN NN IN NNP POS NN VBZ JJ RB IN DT NN JJ IN NNP NNPS MD VB RB RB .
|
||
|
|
At the same time , the market is smaller than the market for IBM-compatible software . IN DT JJ NN , DT NN VBZ JJR IN DT NN IN JJ NN .
|
||
|
|
For one thing , Digital , Maynard , Mass. , has sold fewer machines . IN CD NN , NNP , NNP , NNP , VBZ VBN JJR NNS .
|
||
|
|
In addition , its machines are typically easier to operate , so customers require less assistance from software . IN NN , PRP$ NNS VBP RB JJR TO VB , RB NNS VBP JJR NN IN NN .
|
||
|
|
Wang Laboratories Inc. , Lowell , Mass. , beset by declining demand for its computers , reported a $ 62.1 million , 38-cents-a-share loss in its first quarter ended Sept. 30 . NNP NNP NNP , NNP , NNP , VBN IN VBG NN IN PRP$ NNS , VBD DT $ CD CD , JJ NN IN PRP$ JJ NN VBN NNP CD .
|
||
|
|
Revenue fell 12.7 % to $ 596.8 million from $ 684 million , although some of the decline was caused by discontinued operations . NN VBD CD NN TO $ CD CD IN $ CD CD , IN DT IN DT NN VBD VBN IN JJ NNS .
|
||
|
|
Wang had previously forecast a loss . NNP VBD RB VBP DT NN .
|
||
|
|
The company reiterated that it expects another loss in the second quarter and for the full year , although it expects a profitable fourth quarter . DT NN VBD IN PRP VBZ DT NN IN DT JJ NN CC IN DT JJ NN , IN PRP VBZ DT JJ JJ NN .
|
||
|
|
A year ago , Wang had earnings of $ 13.1 million , or eight cents a share , in its first quarter , including a $ 3.1 million loss from discontinued operations . DT NN RB , NNP VBD NNS IN $ CD CD , CC CD NNS DT NN , IN PRP$ JJ NN , VBG DT $ CD CD NN IN VBN NNS .
|
||
|
|
The latest period loss included a $ 12.9 pretax charge for severance payments . DT JJS NN NN VBD DT $ CD JJ NN IN NN NNS .
|
||
|
|
Dayton Hudson Corp. said it accepted for purchase seven million common shares at $ 62.875 each , under the terms of a Dutch auction self-tender offer . NNP NNP NNP VBD PRP VBD IN NN CD CD JJ NNS IN $ CD DT , IN DT NNS IN DT JJ NN JJ NN .
|
||
|
|
The offer expired at 12:01 a.m. yesterday . DT NN VBD IN CD NN NN .
|
||
|
|
In a Dutch auction , the buyer sets a price range and holders give a price in that range at which they 're willing to sell their shares . IN DT JJ NN , DT NN VBZ DT NN NN CC NNS VBP DT NN IN DT NN IN WDT PRP VBP JJ TO VB PRP$ NNS .
|
||
|
|
The buyer then picks a price and buys shares at that price from holders who offered to sell at that price or lower . DT NN RB VBZ DT NN CC VBZ NNS IN DT NN IN NNS WP VBD TO VB IN DT NN CC JJR .
|
||
|
|
Dayton Hudson 's repurchase offer , representing about 9 % of its common shares outstanding , had established a range of between $ 60 and $ 65 for the buy-back . NNP NNP POS NN NN , VBG IN CD NN IN PRP$ JJ NNS JJ , VBD VBN DT NN IN IN $ CD CC $ CD IN DT NN .
|
||
|
|
Dayton Hudson said it accepted all odd-lot shares tendered at or below the final $ 62.875 price ; the preliminary proration factor for other shares tendered at or below the final price is 98 % . NNP NNP VBD PRP VBD DT JJ NNS VBN IN CC IN DT JJ $ CD NN : DT JJ NN NN IN JJ NNS VBN IN CC IN DT JJ NN VBZ CD NN .
|
||
|
|
The Minneapolis-based retailer said it expects to pay for the seven million shares next Thursday . DT JJ NN VBD PRP VBZ TO VB IN DT CD CD NNS JJ NNP .
|
||
|
|
Tendered shares not purchased will be returned to holders . JJ NNS RB VBN MD VB VBN TO NNS .
|
||
|
|
In New York Stock Exchange composite trading , Dayton rose $ 1 to $ 61.125 . IN NNP NNP NNP NNP JJ NN , NNP VBD $ CD TO $ CD .
|
||
|
|
Continental Bank Corp. 's third-quarter net income slipped 11 % despite a big gain from the sale of the company 's London headquarters building . NNP NNP NNP POS JJ JJ NN VBD CD NN IN DT JJ NN IN DT NN IN DT NN POS NNP NN NN .
|
||
|
|
The $ 55 million gain on the sale was offset by lower interest income , poorer results from foreign-exchange trading and a $ 9 million loss on the sale of a unit , Securities Settlement Corp . DT $ NN CD NN IN DT NN VBD VBN IN JJR NN NN , JJR NNS IN JJ NN CC DT $ CD CD NN IN DT NN IN DT NN , NNP NNP NNP .
|
||
|
|
Chicago-based Continental earned $ 65.2 million , or $ 1.04 a share , compared with $ 73.6 million , or $ 1.19 a share , a year earlier . JJ NNP VBD $ CD CD , CC $ CD DT NN , VBN IN $ CD CD , CC $ CD DT NN , DT NN RBR .
|
||
|
|
The 1988 quarter also included one-time gains totaling about $ 35 million . DT CD NN RB VBD JJ NNS VBG RB $ CD CD .
|
||
|
|
The bank , which has loss reserves equal to about half its long-term and medium-term loans to less-developed nations , said it does n't think additional reserves are required . DT NN , WDT VBZ NN NNS JJ TO IN VB PRP$ JJ CC JJ NNS TO JJ NNS , VBD PRP VBZ RB VB JJ NNS VBP VBN .
|
||
|
|
Enron Corp. said a subsidiary and two United Kingdom firms are studying the feasibility of constructing a 1,500 megawatt gas-fired power plant in northern England as an outgrowth of the government 's privatization program . NNP NNP VBD DT NN CC CD NNP NNP NNS VBP VBG DT NN IN VBG DT CD NN JJ NN NN IN JJ NNP IN DT NN IN DT NN POS NN NN .
|
||
|
|
Enron Power Corp. , a unit of the Houston natural gas pipeline company , would design , construct and run the plant . NNP NNP NNP , DT NN IN DT NNP JJ NN NN NN , MD VB , VB CC VB DT NN .
|
||
|
|
Gas to fuel it would be piped from the North Sea . NNP TO VB PRP MD VB VBN IN DT NNP NNP .
|
||
|
|
A subsidiary of Britain 's Imperial Chemical Industries would buy electricity and steam from the proposed station . DT NN IN NNP POS NNP NNP NNPS MD VB NN CC NN IN DT VBN NN .
|
||
|
|
Surplus power would be sold on the open market , Enron said . JJ NN MD VB VBN IN DT JJ NN , NNP VBD .
|
||
|
|
Also participating in the study , Enron said , is the National Power division of Britain 's Central Electricity Generating Board . RB VBG IN DT NN , NNP VBD , VBZ DT NNP NNP NN IN NNP POS NNP NNP NNP NNP .
|
||
|
|
Upon privatization , National Power will be responsible for 70 % of the country 's power generating business . IN NN , NNP NNP MD VB JJ IN CD NN IN DT NN POS NN VBG NN .
|
||
|
|
Viacom Inc. , New York , reported that its third-quarter loss widened to $ 21.7 million , or 41 cents a share , primarily because of interest expense of $ 70.1 million . NNP NNP , NNP NNP , VBD IN PRP$ JJ NN VBD TO $ CD CD , CC CD NNS DT NN , RB IN IN NN NN IN $ CD CD .
|
||
|
|
A year ago , Viacom had a net loss of $ 56.9 million , or $ 1.07 a share . DT NN RB , NNP VBD DT JJ NN IN $ CD CD , CC $ CD DT NN .
|
||
|
|
Interest expense in the 1988 third quarter was $ 75.3 million . NN NN IN DT CD JJ NN VBD $ CD CD .
|
||
|
|
In the year-ago quarter , Viacom also paid preferred stock dividends of $ 17 million ; Viacom exchanged its preferred stock for debt in March . IN DT JJ NN , NNP RB VBD JJ NN NNS IN $ CD CD : NNP VBD PRP$ JJ NN IN NN IN NNP .
|
||
|
|
The communications and entertainment company said revenue rose to $ 345.5 million , from $ 311.6 million . DT NNS CC NN NN VBD NN VBD TO $ CD CD , IN $ CD CD .
|
||
|
|
Viacom attributed the improvement to higher earnings from operations in its networks segment , which includes the MTV and Showtime networks . NNP VBD DT NN TO JJR NNS IN NNS IN PRP$ NNS VBP , WDT VBZ DT NNP CC NNP NNS .
|
||
|
|
Viacom said it also restructured bank debt under a $ 1.5 billion unsecured bank agreement that offers significant interest rate savings . NNP VBD PRP RB VBD NN NN IN DT $ CD CD JJ NN NN WDT VBZ JJ NN NN NNS .
|
||
|
|
Sumner M. Redstone , Viacom 's chairman , said Viacom `` emerged from our leveraged buy-out structure and gained substantial operating and financial flexibility through '' the bank pact . NNP NNP NNP , NNP POS NN , VBD NNP `` VBD IN PRP$ JJ NN NN CC VBD JJ NN CC JJ NN IN '' DT NN NN .
|
||
|
|
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 . NNP NNP , NNP , NNP , VBD PRP VBZ VBG DT JJ NN IN PRP$ NN NN , CC VBD DT NN WDT VBD IN DT NN IN $ CD CD , CC CD NNS DT NN , IN DT JJ NN .
|
||
|
|
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 . NNP VBD PRP MD VB , NN CC NN CD IN PRP$ CD NN NNS CC IN DT JJ CD NNS VBP CD NNS IN PRP$ JJ JJ NN IN CD NNS .
|
||
|
|
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 . JJS IN DT NN NNS CC NN NNS MD VB NNP POS NNP NNS , WDT VBP JJ NNS , NNS CC JJ JJ CC JJ NNS .
|
||
|
|
Hoses and plastics together account for about 42 % of Trinova 's total annual sales . NNS CC NNS RB VBP IN IN CD NN IN NNP POS JJ JJ NNS .
|
||
|
|
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 . IN DT JJ NN , NNP VBD DT NNP NN VBZ VBN TO VB PRP$ NN , NN CC VBN NNS TO NNP NNP NNP IN NNP , NNP .
|
||
|
|
Terms were n't disclosed . NNS VBD RB VBN .
|
||
|
|
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 . TO VB IN DT NN POS NNS , NNP VBD PRP VBD DT JJ NN IN $ CD CD , CC $ CD DT NN , IN DT JJ NN .
|
||
|
|
The $ 29.7 million net loss compares with net income of $ 19.6 million , or 57 cents a share , a year earlier . DT $ CD CD JJ NN VBZ IN JJ NN IN $ CD CD , CC CD NNS DT NN , DT NN RBR .
|
||
|
|
Sales rose 8 % to $ 456.2 million from $ 422 million . NNS VBD CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
Trinova closed at $ 25 , down $ 1 , in New York Stock Exchange composite trading . NNP VBD IN $ CD , RB $ CD , IN NNP NNP NNP NNP JJ NN .
|
||
|
|
A group of investors , including Giancarlo Parretti 's Pathe Communications Corp. and Sasea Holding S.A. , have agreed to buy 76.66 % of Odeon Finanziaria , a financially troubled Italian TV station . DT NN IN NNS , VBG NNP NNP POS NNP NNP NNP CC NNP NNP NNP , VBP VBN TO VB CD NN IN NNP NNP , DT RB JJ JJ NN NN .
|
||
|
|
Florio Fiorini , managing director of Geneva-based Sasea , said the investors would pay only a symbolic one lira for the station , `` but we have agreed to raise the capital that will enable the company to continue operating . NNP NNP , VBG NN IN JJ NNP , VBD DT NNS MD VB RB DT JJ CD NN IN DT NN , `` CC PRP VBP VBN TO VB DT NN WDT MD VB DT NN TO VB VBG .
|
||
|
|
It 's sort of a Chapter 11 situation , '' he added , referring to the U.S. bankruptcy law that protects companies from creditors while they restructure . PRP VBZ NN IN DT NN CD NN , '' PRP VBD , VBG TO DT NNP NN NN WDT VBZ NNS IN NNS IN PRP VBP .
|
||
|
|
Milan-based Odeon , which draws about 3 % of Italian TV viewers , has debt of 250 billion lire -LRB- $ 181.9 million -RRB- , Mr. Fiorini said . JJ NNP , WDT VBZ IN CD NN IN JJ NN NNS , VBZ NN IN CD CD NNS ( $ CD CD ) , NNP NNP VBD .
|
||
|
|
He added that details of the recapitalization still have to be worked out , but that Pathe will take 50 % of Odeon , Rome film producer Bruno Lucisano will take 10 % and the remaining 16.66 % , currently owned by Sasea , will eventually be sold to other investors . PRP VBD IN NNS IN DT NN RB VBP TO VB VBN IN , CC IN NNP MD VB CD NN IN NNP , NNP NN NN NNP NNP MD VB CD NN CC DT VBG CD NN , RB VBN IN NNP , MD RB VB VBN TO JJ NNS .
|
||
|
|
Calisto Tanzi , Odeon 's owner , will retain his 23.34 % stake . NNP NNP , NNP POS NN , MD VB PRP$ CD NN NN .
|
||
|
|
Italy 's Supreme Court this year ordered Parliament to write a law that will regulate media ownership . NNP POS NNP NNP DT NN VBD NNP TO VB DT NN WDT MD VB NNS NN .
|
||
|
|
`` We think that it 's going to be far more favorable to own a station before the law is passed than to try to buy one afterward , '' Mr. Fiorini said . `` PRP VBP IN PRP VBZ VBG TO VB RB RBR JJ TO VB DT NN IN DT NN VBZ VBN IN TO VB TO VB CD RB , '' NNP NNP VBD .
|
||
|
|
San Francisco area officials gave the media high marks for helping people find shelter and obtain emergency information after Tuesday 's catastrophic earthquake . NNP NNP NN NNS VBD DT NNS JJ NNS IN VBG NNS VBP NN CC VB NN NN IN NNP POS JJ NN .
|
||
|
|
`` The press has been doing an excellent job . `` DT NN VBZ VBN VBG DT JJ NN .
|
||
|
|
They are telling people what roads are closed and just keeping the public informed has helped to keep the panic down , '' said James Ball , a station supervisor at Daly City Police Department . PRP VBP VBG NNS WP NNS VBP VBN CC RB VBG DT RB VBN VBZ VBN TO VB DT NN RB , '' VBD NNP NNP , DT NN NN IN NNP NNP NNP NNP .
|
||
|
|
Mr. Ball noted that television stations featured people holding up phone books , explaining where to call for help . NNP NNP VBD IN NN NNS VBD NNS VBG IN NN NNS , VBG WRB TO VB IN NN .
|
||
|
|
Radio stations provided an emergency number for people who smelled gas but did n't know how to turn off their gas supply . NN NNS VBD DT NN NN IN NNS WP VBD NN CC VBD RB VB WRB TO VB IN PRP$ NN NN .
|
||
|
|
Kim Schwartz , a spokesperson for the American Red Cross in Los Angeles , said television and radio stations in San Francisco played a `` very positive role '' by providing the address of 28 shelters of the Red Cross and by giving out the Red Cross number for contributions to help earthquake victims -LRB- 1-800-453-9000 -RRB- . NNP NNP , DT NN IN DT NNP NNP NNP IN NNP NNP , VBD NN CC NN NNS IN NNP NNP VBD DT `` RB JJ NN '' IN VBG DT NN IN CD NNS IN DT NNP NNP CC IN VBG RP IN NNP NNP NN IN NNS TO VB NN NNS ( CD ) .
|
||
|
|
The San Francisco Examiner issued a special edition around noon yesterday that was filled entirely with earthquake news and information . DT NNP NNP NNP VBD DT JJ NN IN NN NN WDT VBD VBN RB IN NN NN CC NN .
|
||
|
|
The Examiner and the San Francisco Chronicle were able to publish despite Tuesday 's quake , which occurred close to deadline for many newspapers . DT NNP CC DT NNP NNP NNP VBD JJ TO VB IN NNP POS NN , WDT VBD RB TO NN IN JJ NNS .
|
||
|
|
Sterling Software Inc. said it lost its bid to supply software services to the National Aeronautics and Space Administration 's Ames Research Center at Moffett Field , Calif . NNP NNP NNP VBD PRP VBD PRP$ NN TO VB NN NNS TO DT NNP NNP CC NNP NNP POS NNP NNP NNP IN NNP NNP , NNP .
|
||
|
|
Sterling , which estimated the value of the contract at $ 150 million , said NASA selected another bidder for final negotiations . NNP , WDT VBD DT NN IN DT NN IN $ CD CD , VBD NNP VBD DT NN IN JJ NNS .
|
||
|
|
In 1988 , Dallas-based Sterling protested a similar decision by NASA involving the same contract , claiming it had submitted the lowest bid . IN CD , JJ NNP VBD DT JJ NN IN NNP VBG DT JJ NN , VBG PRP VBD VBN DT JJS NN .
|
||
|
|
As a result , last March the General Services Administration board of contract appeals directed NASA to reopen negotiations on the contract . IN DT NN , JJ NNP DT NNP NNP NNP NN IN NN NNS VBD NNP TO VB NNS IN DT NN .
|
||
|
|
Sterling said it had requested a briefing by NASA but had not decided whether to protest the agency 's latest decision . NNP VBD PRP VBD VBN DT NN IN NNP CC VBD RB VBN IN TO VB DT NN POS JJS NN .
|
||
|
|
Consolidated Rail Corp. , New York , reported that third-quarter net income climbed 4.8 % to $ 87 million , or $ 1.27 a share , exceeding analysts ' expectations . NNP NNP NNP , NNP NNP , VBD IN JJ JJ NN VBD CD NN TO $ CD CD , CC $ CD DT NN , VBG NNS POS NNS .
|
||
|
|
In the year-earlier quarter , the freight railroad earned $ 83 million , or $ 1.21 a share . IN DT JJ NN , DT NN NN VBD $ CD CD , CC $ CD DT NN .
|
||
|
|
James A. Hagen , chairman and chief executive officer , noted that earnings advanced `` in the face of a drop in business , brought on by the general economic slowdown . '' NNP NNP NNP , NN CC JJ JJ NN , VBD IN NNS VBD `` IN DT NN IN DT NN IN NN , VBN IN IN DT JJ JJ NN . ''
|
||
|
|
Revenue slipped 4.6 % to $ 835 million from $ 876 million . NN VBD CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
For the rest of 1989 , Mr. Hagen said , Conrail 's traffic and revenue `` will reflect the sluggish economy , but Conrail will continue to take steps to control and reduce costs . '' IN DT NN IN CD , NNP NNP VBD , NNP POS NN CC NN `` MD VB DT JJ NN , CC NNP MD VB TO VB NNS TO VB CC VB NNS . ''
|
||
|
|
For the nine months , Conrail earnings grew 0.4 % to $ 229 million , or $ 3.34 a share , from $ 228 million , or $ 3.31 a share . IN DT CD NNS , NNP NNS VBD CD NN TO $ CD CD , CC $ CD DT NN , IN $ CD CD , CC $ CD DT NN .
|
||
|
|
Revenue was flat at $ 2.59 billion . NN VBD JJ IN $ CD CD .
|
||
|
|
Georgia Gulf Corp. , hurt by declining sales and falling chemical prices , said third-quarter earnings fell 13 % to $ 46.1 million from $ 53.1 million in the year-earlier period . NNP NNP NNP , VBN IN VBG NNS CC VBG NN NNS , VBD JJ NNS VBD CD NN TO $ CD CD IN $ CD CD IN DT JJ NN .
|
||
|
|
Sales declined 10 % to $ 251.2 million from $ 278.7 million . NNS VBD CD NN TO $ CD CD IN $ CD CD .
|
||
|
|
The Atlanta-based chemical manufacturer said lower prices hurt margins for most products . DT JJ NN NN VBD JJR NNS VBD NNS IN RBS NNS .
|
||
|
|
`` We did see some relief in raw material costs , but it was n't sufficient to offset the drop in sales prices , '' James R. Kuse , the company 's chairman and chief executive officer said in a statement . `` PRP VBD VB DT NN IN JJ NN NNS , CC PRP VBD RB JJ TO VB DT NN IN NNS NNS , '' NNP NNP NNP , DT NN POS NN CC JJ JJ NN VBD IN DT NN .
|
||
|
|
On a per-share basis , quarterly earnings remained at $ 1.85 , the same as last year , because of the company 's share buy-back program . IN DT JJ NN , JJ NNS VBD IN $ CD , DT JJ IN JJ NN , IN IN DT NN POS NN NN NN .
|
||
|
|
Georgia Gulf had 24.9 million shares outstanding on average in the quarter , compared with 28.6 million in the third quarter of 1988 , adjusted for a stock split paid in January 1989 . NNP NNP VBD CD CD NNS JJ IN JJ IN DT NN , VBN IN CD CD IN DT JJ NN IN CD , VBN IN DT NN NN VBN IN NNP CD .
|
||
|
|
In composite New York Stock Exchange trading , stock in Georgia Gulf , which has been mentioned as a takeover candidate , rose $ 2.125 a share to close at $ 46.125 . IN JJ NNP NNP NNP NNP NN , NN IN NNP NNP , WDT VBZ VBN VBN IN DT NN NN , VBD $ CD DT NN TO VB IN $ CD .
|
||
|
|
This temblor-prone city dispatched inspectors , firefighters and other earthquake-trained personnel to aid San Francisco . DT JJ NN VBD NNS , NNS CC JJ JJ NNS TO VB NNP NNP .
|
||
|
|
But a secondary agenda among officials in the City of Angels was to learn about the disaster-contingency plans that work and those that do n't . CC DT JJ NN IN NNS IN DT NNP IN NNPS VBD TO VB IN DT NN VBZ DT NN CC DT WDT VBP RB .
|
||
|
|
Los Angeles Mayor Tom Bradley used the opportunity to push the City Council harder to pass a measure establishing a loss-recovery reserve of $ 100 million . NNP NNP NNP NNP NNP VBD DT NN TO VB DT NNP NNP JJR TO VB DT NN VBG DT JJ NN IN $ CD CD .
|
||
|
|
The amount would help Los Angeles cope in the first few weeks after its own anticipated quake , while waiting for federal assistance to arrive . DT NN MD VB NNP NNP VB IN DT JJ JJ NNS IN PRP$ JJ VBN NN , IN VBG IN JJ NN TO VB .
|
||
|
|
After San Francisco Mayor Art Agnos spoke on television of the need for building inspectors to check the soundness of buildings , Los Angeles dispatched 32 inspectors to help . IN NNP NNP NNP NNP NNP VBD IN NN IN DT NN IN NN NNS TO VB DT NN IN NNS , NNP NNP VBD CD NNS TO VB .
|
||
|
|
And the county of Los Angeles placed its firefighters and sheriffs on alert , ready to send in reinforcements , and alerted San Francisco that the city has 1,000 hospital beds at its disposal . CC DT NN IN NNP NNP VBD PRP$ NNS CC NNS IN JJ , JJ TO VB IN NNS , CC VBD NNP NNP IN DT NN VBZ CD NN NNS IN PRP$ NN .
|
||
|
|
Two Los Angeles radio stations initiated Red Cross donation campaigns , and one Los Angeles bank manager forked over $ 150,000 of his own money for relief purposes , the Red Cross said . CD NNP NNP NN NNS VBD NNP NNP NN NNS , CC CD NNP NNP NN NN JJ IN $ CD IN PRP$ JJ NN IN NN NNS , DT NNP NNP VBD .
|
||
|
|
The Los Angeles Red Cross sent 2,480 cots , 500 blankets , and 300 pints of Type-O blood . DT NNP NNP NNP NNP VBD CD NNS , CD NNS , CC CD NNS IN JJ NN .
|
||
|
|
It is also pulling 20 people out of Puerto Rico , who were helping Huricane Hugo victims , and sending them to San Francisco instead . PRP VBZ RB VBG CD NNS IN IN NNP NNP , WP VBD VBG NNP NNP NNS , CC VBG PRP TO NNP NNP RB .
|