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The World’s Daily Newspapei 


Paris, Wednesday, December 31, 1997-Thursday, 

Consumer Confidence 
At 28- Year High in U.S. 

Economy Running Full Steam , Report Says, 
But Analysts Warn Inflation May Heat Up 


No. 35.717 


NEW YORK — Consumer confi- 
dence in the U.S. economy rose to a 28- 
year high in December, a sign the econ- 
omy wifl begin 1998 with a full head of 
steam, according to an influential re- 

search report released Tuesday. 

The Conference Board's index. 


consumer confidence increased in 
December to 134.5 from a revised 128.1 
in November. The figure, the highest 
since 1969, was well above Wall 
Street's expectations for the month. 

A separate Conference Board index 
ganging consumer expectations for the 
next six months also rose in December, 
to the highest level since April 1984. 

"The strength in the U.S. economy, 
especially of the labor market, contin- 
ues to Eft consumers’ spirits and bolster 
their expectations, ' * said Lynn Franco, a 
Conference Board economist “Con- 
sumers are clearly entering the new year 
extremely satisfied with ongoing con- 
ditions, and have high expectations for 

Although consumers feel secure 
about the U.S. economic climate, econ- 
omists and investors worry that con- 
tinued robust growth may spur infla- 
tionary pressures. 

Those concerns were evident in the 
bond marker Tuesday, where prices fell 
and yields rose on the 30-year Treasury 
bonds, a gauge for long-tenn cons ume r 
and business borrowing costs. 

Stock prices, however, climbed high- 
er, continuing Monday's rally. The Dow 
Jones industrial average closed 123.56 
points higher at 7,915.97. 

“Consumers see favorable employ- 
ment conditions and they are making 
more money.*' said DanSeto, an econ- 
omist at Nikko Securities International 
Co. “That’s providing some good mo- 
men tom going into 1998.” 

The consumer confidence index is 
derived from responses to questions 
seat to 5,000 households nationwide. 

Consumer sentiment is important be- 
cause consumer spending accounts for 
two-thirds of die nation’s overall eco- 
nomic activity. 

But high levels of consumer con- 
fidence do not necessarily translate into 
strong retad sales, as exemplified by die 
disappointing results from the 1997 hol- 
iday shopping season. 

Consumers said jobs were more plen- 
tiful in December and fewer said they 
had trouble finding employment com- 

. See ECONOMY, Page 6 

Vw'brr HuupThr luinl h*>* 

A Kenyan Army soldier guarding hundreds of ballot boxes left to be counted at Nairobi City Hall on Tuesday. 

European Banks Pitch In to Help South Korea 

The Dollar 

Non Yak 

Tuesday O 4 P.M, 

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Traders bowing to each other after the Tokyo Stock Exchange closed 
Tuesday. The Nikkei Stock Average rose 483.52, to dose at 15258.74. 

CnnpUed by Oar Staff Fwm Dapasrha 

AMSTERDAM — Sooth Korea was 
thrown its second lifeline in two days on 
Tuesday when top European banks 
agreed to roll over a mountain of its short- 
term debt. Other international h anks were 
expected to join the rescue effort. 

Officials of leading French and Swiss 
banks said they would join their Dutch 
counterparts, who had announced they 
would roll over South Korean debt due 
Wednesday. Major lenders in the 
United States and Japan were expected 
to follow suit within 24 hours. 

The Swiss and French banks agreed 
to a one-month rollover, while the Dutch 
institutions had not put a date on the debt 
extension. None of them specified the 
value of loans being rolled over. 

On Monday, in an effort that reflects 
the global importance of Seoul's econ- 
omy. the most influential commercial 
and investment banks gave its borrow- 
ers a one-month reprieve on up to S15 
billion of troubled loans that are due by 
the end of the year. 

Sources familiar with the talks told 
The New York Times thai after January, 
the bad loans will be repackaged as bonds 
backed by the government "and sold to 
commercial and investment banks. 

World regulators, meanwhile, are 
concerned that South Korea’s own 
lenders not use the enormous rescue 
operation as an opportunity to rid them- 
selves of bad loans. Repackaging those 
loans as bonds is seen as a mechanism 
that would shift the risk of nonpayment 
to investors willing to buy them. But the 
main reason for repackaging the loans 
as bonds is to convert short-term debt 
into long-term debt That would ease 
Seoul’s liquidity crunch. 

Meanwhile, more titan 100 South 
Korean companies have 22 trillion won 
($1-5 billion) of bond payments due by 
Wednesday, a deadline that may prove an 
insurmountable obstacle for companies 
teetering on the edge of bankrupt^. 

South Korean bankruptcies reached a 

See KOREA, Page 6 

Lesson of That United Airlines Flight 

"While Aloft, Surest Way to Stay Safe Is to Keep Seat Belt Fastened 

By Don Phillips 

Itiishiflxrcm Post Service 

WASHINGTON — It came without warning, possibly 
never registering on the cockpit weather radar. 

The “event," apparently clear-air turbulence, slammed 
the United Airlines jet so violently that unbuckled pas- 
sengers and flight attendants were thrown about the cabin. 
Some hit the roof, one woman was killed, and 102 other 
people were injured aboard the Tokyo-Honolulu flight 
Sunday night. 

Although turbulence is all but impossible to detect or 
even predict, federal officials say that it causes nonfatal 
injuries to more airline passengers and crew members every 
year than any other event involved in flying. 

About half of turbulence is “convective’ ’ and generally 
occurs near thunderstorms, but the other half is called 
"clear air’ ’ turbulence because it strikes from a seemingly 

clear sky with no warning. 

Turbulence, which is movement of air much like the 
movement of waves and currents in the ocean, can be 
caused by numerous factors other than thunderstorms. The 
boundary of jet streams — fast-moving airflows in the 
upper atmosphere — can produce severe clear- air tur- 
bulence. There also are areas of “vertical shear’ ’ as two air 
masses move in opposite .directions near each other. Air 
flow over mountains can produce turbulence downwind, 
often for hundreds of miles. 

Statistics show that major turbulence events are far more 
common than one might expect, occurring perhaps every 
other day. Some incidents do not produce injuries, but some 
result in broken bones, ruptured internal organs and cats. 
Almost all injuries are to people not wearing seat belts. 

The Federal Aviation Administration says it receives an 

See ALOFT, Page 6 

U.S. Judge Frees Hutu Tied to Killings 

• By Barbara Crosse tie 

New York Times Service 

In the days after the ethnic slaughter 
broke out in Rwanda in 1994, when 
neighbor had turned against neighbor, 
people in the town of Mogonero say the 
wal Torsi , still trusted one pastor 
enough to hide in a church and hospital 
compound at his urging. 

Once men, women and children had 
gathered there, however, the clergyman. 
Elizaphan Ntakirutimana, came back 
with a well-armed band of Rwandan 
soldiers and militiamen to add hundreds 
more Tutsi victims to the genocide’s 
gruesome tally, according to an indict- 
ment issued a gains t him by an inter- 
national tribunal. 

He was arrested in 1996 in Texas, 
where he had fled to live wift a son. and it 
Reine d that he would be sent for trial on 
fbarges of genocide and crimes against 
fPmanity before the tribunal set up iby the 
United Nations in Arusha, Tanzania. 

He Rides That Right 
To Extradite Is Missing 

That is, until a Texas judge set Mr. 
Ntakrrutimaaa free earlier this month. 

The decision, by Judge Marcel 
Notzon, in a district court in Lazedo, not 
only freed the pastor but also jolted U.S. 
efforts to cooperate with both the 
Rwanda trib unal and another tribunal 
for war crimes in the Balkans. It also 
provided a slap to Rwandans seeking 

justice for the genocide, which left some 

half a million people dead. 

The judge called a 1996 agreement 
between the United Stales and the 
tribunals, passed as part of a bill in 
Congress, unconstitutional. 

Extraditions, Judge Notzon ruled. 

have historically been negotiated be- 
tween nations and are covered by formal 
treaties made 1 4 with the advice and con- 
sent of the Senate.” 

“It is undisputed that no treaty exists 
between the United States and the 
Tribunal,” he said. “The absence of a 
treaty is a fatal defect in the govern- 
ment’s request that the extraditee be 

[The Clinton administration prom- 
ised Tuesday to take action to secure the 
extradition, Reuters reported from 

[“It’s a serious matter,” a State De- 
partment spokesman. James Foley, said. 
“We intend to fulfill our international 
obligations and we look forward to be- 
ing able to effect this indictee’s transfer 

See RWANDA, Page 6 


Hostage Drama at a Milan Bank Ends 

MILAN (AP) — After a 25-bour 
standoff, a disgruntled customer 
armed with a hand grenade and a 
pistol released the last of four bank 
employees he was holding hostage 
Tuesday, and was captured after fir- 
ing at the police officers who tried to 
force him out, the authorities said. 

Two police officers and the hos- 
tage-taker, Domenico Gargano, were 
wounded, apparently none of them 
seriously, a police official said. Mr. 
Gargano, who had been turned down 
for a loan, had demanded millions of 
dollars and a helicopter to drop the 
money over Milan. 

Paulp WtnukrWRnim 

SIEGE IN BRAZIL — Inmates threatening to hang a fellow prisoner, 
right from the roof of a prison near Sao Paulo on Tuesday. Reports 
said about 15 inmates took 650 hostages and vowed to kill them if the 
authorities did not provide an armored car and more weapons. 

Happy New Year 

Because of the New Year’s hol- 
iday, this is a combined issue of the 
IHT. Regular publication resumes 
with Friday’s paper. 


... Page 10. 

Pages 8-9. 

Pastes 18-19. 

* v 

The Intermarket 


| The IHT on-line 

www. jj 


Conflicting Claims to a Deep World 


US. Jury Weighs the Death Penalty 

SPORTS Page 18. 

The Year in Sports: It's Not Over Yet 


Signs of a Sloicdown in China 


— 10,00 FF Lebanon-.. 



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™wy Coast .1.250 GFA Tunisia.-..- 

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Kuan* .... 

—700 Fas U.S. Mil. Suti-H 

A Yugoslav War Novel for the 6 Doomed Generation 9 

By Chris Hedges 

New York Times Service 




NOVI SAD, Yugoslavia — Every age has its voice. 
The time before the wars that rent Y ugoslavia was one 
of bombastic nationalistic cant- 
During the war came the strident calls for pat- 
riotism, blood and vengeance. In peace, those who 
provided foe fodder for the conflict, already labeled 
“the doomed generation,” have begun to speak with a 
dark cynicism of the societies mat sent them tp 

The novel that best seems to typify this anger and 
alienation is “Esmarch," named tot a tourniquet. Its 
author, Vladimir Jokanovic, is a 26-year-old medical 
student who fled Croatia during the war and now lives 


in this northern Serbian city. 

“ft is a story about the limits of friendship,” Mr. 
Jokanovic said, peering through small black-rimmed 
glasses. “No relationship can endure too much pres- 
sure. To the outsider this was a war between Serbs, 
Muslims and Croats, but it was as much an internal as 
an external conflict 

“It became every man for himself. It distorted and 
changed every aspect of life until the town you grew up 
in was no longer recognizable. If I have any fun- 
damental point to make about the war it is that it was a 
colossal waste of time.” 

Mr. Jokanovic *s parents, both doctors, provided him 
with a mixed heritage: His father is a Serb; his mother 
ethnic Hungarian and Croatian. He left newly in- 
dependent Croatia in 1991, mostly to avoid foe draft 

and, like his main character, Luka, spent the rest of the- 
conflict in Serbia. He says he has no ethnic loyalties, 
and in his novel be ridicules, often in vulgar slang, all 
of the nationalist movements, portraying their leaders 
as misfits, criminals, cowards, thieves and drunkards. 

His novel is written in Serbo-Croatian in plain, 
almost documentary prose and eschews grand themes, 
much like the writings of Jokanovic’s own favorite 
aufoors, J.D. Salinger and the Croatian Miroslav 
Krleza, who once wrote, “God save me from Serb 
heroism and Croatian culture.” 

Tts story of young men and women of various ethnic 
groups who live on the margins of society in foe 
eastern Croatian city of Osijek has been well received 

See BALKANS, Page 7 

Poll Chaos 
Puts Kenya 
In Crisis of 

Errors in Balloting Sap 
Public’s Confidence ; 
Rigging Charges Mount 

By Stephen Buckley 

U’us/iin^;<m Post Service 

NAIROBI — Confusion continued to 
plague Kenya's general elections Tues- 
day" as political analysts said that the 
chaos surrounding foe vole had severely 
— and perhaps Irretrievably — dam- 
aged foe credibility of foe poll. 

Opposition parties and foe governing 
Kenya African National Union, or 
KANU. accused each other of rigging 
foe election, as numerous polling sta- 
tions opened for a second day after 
widespread irregularities Monday. 

At least two people died in election- 
re Jared violence Monday, and there 
were repons of increasing tension Tues- 
day in parts of western Kenya. 

Kenya has had political turmoil 
throughout foe year, and analysts fear 
this election could spur more unrest. 

President Daniel arap Moi, who re- 
stored a multiparty system to Kenya in 
1991 after 25 years of single-party rule, 
is seeking his final five-year term. He 
took power in 1978. 

On Monday, thousands of Kenyans 
could not vole because lost ballot boxes 
and insufficient numbers of ballots led 
to numerous polling stations opening 
late or not at all. International observers 
believe that perhaps 25 percent of the 
country's 210 constituencies were af- 
fected by logistical problems. 

On Tuesday, voting stations that did 
not complete voting Monday reopened. 
But confusion continued to hang over 
foe election, as some places reportedly 
still had not received ballots or received 
them late in foe day. In some places, 
ballot-counting was well under way. 
while in others it had not yet begun. 

A day after major opposition candi- 
dates accused the electoral commission 
of rigging foe vote to favor the governing 
party, officials of Mr. Moi’s party alleged 
that many areas dominatE Se i y th eir voters 
also had experienced irregularities. 

Mr. Moi charged that the commission 
had committed “fraud,” while a party 
spokesman said that ‘ ‘KANU areas were 
targeted by elements within the oppo- 
sition to disrupt, frustrate and disenfran- 
chise voters sympathetic to KANU.” 

Geoffrey Kafaurima, a top KANU 
official, said that Mr. Moi's party would 
not seek to throw out election results. 
“We know we are winning,” he said. 

Political analysts and international 
observers said it appeared to be true that 
areas in which foe governing party is 
strong were affected by irregularities as 
least as much as in opposition strong- 
holds. But analysts said the allegations 
of rigging had become increasingly ir- 
relevant, as the plethora of errors prob- 
ably had sapped Kenyans' confidence in 
foe election. 

“It’s really chaotic," a Western dip- 
See KENYA, Page 6 

Fowl Slaughter 
Runs Into Delay 
In Hong Kong 

By Keith B. Richburg 

Washington Post Service 

HONG KONG — A shortage of poi- 
son gas containers and a lack of ex- 
perience in killing led to unexpected 
delays Tuesday in Hong Kong's mass 
slaughter of chickens. 

Only about half foe territory’s 1.3 
million binds were destroyed after an 
operation that began Monday to stem 
the spread of a deadly avian virus. 

But officials pledged that Hong 
Kong's entire chicken population 
would be wiped out by Wednesday. 

’ ‘No chickens will be allowed to walk 
free in foe territory,” said Lessie Wei, 
foe director of agriculture and fisheries. 
“You won’t spot any chickens walking 
around free.” 

The Hong Kong government also for 
the first time said openly — if reluc- 
tantly — what many scientists and oth- 
ers have long suspected: that mainland 
China was the most likely source of foe 
avian influenza that has killed four 
people here and caused widespread 
rears of a possible global pandemic. 

“It is probable," said Mrs. Wei, 
when asked about China’s likely role as 
the epicenter of the outbreak. 

On Tuesday. Hong Kong said it 
would extend indefinitely its ban on 
chicken imports from China until a rigid 
new system was in place to make sure 
foe birds were virus-free. 

Health experts and scientists said the 
most likely transmission for foe virus, 
known as H5N 1 or "bird flu," was from 
birds to humans, and the Hong Kong 

See FLU, Page 4 



Seafloor Oases / Rich in Minerals (and Life.) 

Conflicting Claims to a Strange, Deep World 

Alien Ecosystems: Mineral W 0 ^®* ^ smokers" in 

Rich deposits of highly concentrated minerals flourish in to an are a rich m 

volcanic areas at the seafloor. For the first time, miners na . d {jva jn 
such deposits. But strange creatures that can be found r»wtwre e^ 
environments, and conservationists are concerned about their future. 

By William J. Broad 

New York Times Service 

N EW YORK — The volcanic 
hot springs of the deep sea 
are dark oases that teem 
with blind shrimp, giant 
tube worms and other bizarre 
creatures, sometimes in profusions 
great enough to rival the chaos of rain 
forests. And they are old. 

Scientists who study them say these 
odd environments, first discovered 
two decades ago. may have been the 
birthplace of all life oo Earth, making 
them central to a new wave of research 
on evolution. 

Now. in a moment that diverse 
ranks of experts have feared and de- 
sired for years, miners are invading 
the hot springs, possibly setting the 
stage for the last great battle between 
industrial development and environ- 
mental preservation. 

The undersea vents are rich not just 
in life but in valuable minerals like 
copper, silver and gold. Indeed, their 
smoky chimneys and rocky founda- 
tions are virtual foundries for precious 
metals. The copper lodes of Cyprus, 
for example, worked since the days of 
the Greek city-states, are just one con- 
centration of metal nudged above sea 
level by geological forces. 

- The fields of undersea gold have 
long fired the imaginations of many 
scientists and economists, but no min- 
ing took place, in pan because die 
rocky deposits were hard to lift from 
depths of a mile or more. 

Now, however, miners have staked 
the first claim to such metal deposits 
after finding the richest ores ever. The 
estimated value of copper, silver and 
gold at die South Pacific site is up to 
billions of dollars. Environmentalists, 
though, want to protect the exotic eco- 
system by banning or severely lim- 
iting mining. 

“This has always been out in the 
future somewhere,'’ said Sylvia Earle, 
a prominent marine biologist and deep- 
sea explorer, of efforts to mine the sea’s 
volcanic zones. “Now it’s here.” 

The mining claim was made by 
Nautilus Minerals Corp., a company 
run by Australian businessmen in co- 
operation with Australian government 
scientists. In late November, it won 
title to nearly 2,000 square miles 
(5.200 square kilometers) of the ter- 
ritorial waters of Papua New Guinea 
and is now exploring the region for 

volcanic riches. Its efforts were an- 
nounced just before Christmas. 

The company plans to start taking 
preliminary hauls of 10,000 tons in the 
next two years and to begin com- 
mercial mining in the rax: five if the 
region's deephot springs turn out to be 
as wide and rich as preliminary studies 
indicate. Sample ores are up to 26 
percent zinc and 15 percent copper, 
with seven ounces of silver to the ton 
and about one ounce of gold — bon- 
anza figures by land standards. 

“It has worldwide implications,” A. 
Geoff Loudon, the company's chair- 
man, said of the discovery. 

Strangest of all were snakelike 
creatures that stood upright in long 
tubes, massed in dense thickets. Their 
bright red tops protruded from the 
white tubes Eke lipstick. The tube 
worms had no eyes, ho mouths and no 
- obvious means of locomotion or in- 
gestion. They just stood there like 
aliens from another piano. 

Eventually, scientists realized that 
these deep ecosystems were powered 
not by sunlight but by the planet's 
inner heats and chemicals. 

On land and sea, plants capture the 
Sun’s energy in photosynthesis and, 
when eaten, pass that energy onto an- 

Miners have staked the first claim to deep-sea metal 
deposits after finding the richest ores ever, 

. Environmentalists, though, want to protect the sites . 

Japan is mapping the volcanic re- 
gions of its deep waters with an eye 
toward exploiting them, experts say. 
Such riches are especially attractive to a 
giant of industry with few mineral 
riches on land. 

“They are a resource-deficient na- 
tion in terms of land and see their future 
under the ocean,” said Peter Rona, a 
marine geologist at Rutgers University 
who pioneered explorations of volcanic 
hot springs and has tracked the rising 
interest in mining tfiwn 


XPERT'S WORRY that de- 
spite research on how the ex- 
traction of minerals and 
metals from the volcanic de- 
posits might affect deep creatures, 
prospective miners may repeat some 
of the past abuses and ecological tra- 
gedies that haunt mines on land. 

“The big issues are environmen- 
tal,” Mr. Rona said. “That’s a very 
delicate ecosystem and a genetic pool 
that we’re just starting to understand 
in terms of die evolution of life. Each 
of these sites is precious.” 

The first was discovered in 1977 off 
the Galapagos Island* , where the sea’s 
darkness was found to swarm with life. 
Red shrimp, white crabs and tiny lob- 
sters darted about Big pink fish un- 
dulated by. Pale sea anemones bare 
long tentacles and huge clam shells lay 
stark white against black lava. Hun- 
dreds of brown mussels were clustered 
so thickly around the springs their bod- 
ies channeled the shimmering water. 

finals, including humans. But in the 
Hark ecosystems, plaiys and animals 
thrive on such chemicals as hydrogen 
sulfide, a strong poison to surface life 
that stinks of rotten eggs. 

As riots of unfamiliarity were found 
throughout the global deeps, scientists 
theorized that life may have begun at 
the volcanic springs, nurtured by a 
steady diet of warm chemicals and pro- 
tected from hurtling rocks and blasts of 
radiation from outer space that pounded 
die planet’s surface in its early days. 

Later, scientists found microbes 
thriving in the hot waters whose ge- 
netic blueprints suggested that they 
were the most primitive life on Earth, 
descending directly from the planet’s 
first inhabitants 

In the early 1980s, the situation 
grew politically complex as gold and 
other rare metals were discovered to 
lace the foundations of the dark eco- 
systems. The concentrations were 
much greater than those of the man - 
ganese nodules that litter the global 
seabed and first prompted dreams of 
deep mining. But nothing came of that 
vision. Land supplies turned out to be 
more plentiful and accessible than the 
manganese nodules. 

The new glitter formed atop vol- 
canic rifts that were found to wander 
over more than 40,000 miles (65,000 
kilometers) of the global seabed. Hun- 
dreds and perhaps thousands of rich 
deposits are believed to have de- 
veloped atop them as water percolated 
up through hot rocks, hit icy seawater’ 

and, by precipitation, 
built up eerie mounds 
laced with rare metals. 

Infatuated with the 
prospect of new riches, 
the Reagan administra- 
tion in 1983 and 1984 
tried to entice industry 
into mining a volcanic 
region off the West 
Coast But that raised 
howls of protest from 
environmentalists, who 
attacked it as a catas- 
trophe of death and pol- 
lution for the coastal 
zone and the unex- 
plored ecosystems of 
the hot springs. 

Jack Dyrnond,* geo- 
chemist at Oregon State 
University who helped 
discover the volcanic 
seabed, played a vocal 
part in the debate, urg- 
ing caution. “Some 
people think these or- 
ganisms are like 
weeds,” be said. “Not 
me. I think they make up 
extraordinarily beauti- 
ful areas that should be 
preserved as national 

As it turned out, in- 
dustry showed no in- 
terest in the Reagan ad- 
ministration plan,' 
viewing it as too risky, 
speculative and contro- 
versial. Today, more 
riinn a decade later, re- 
verberations of that first 
skirmish still echo 
through the loose-knit 
community of sea ac- 
tivists and academics as 
Nautilus prepares to 
mine die depths off Pap- 
ua New Guinea. 

Environmentalists would ban 
seabed mining altogether or carefully 
regulate it. Ms. Earle, a former chief 
scientist of the National Oceanic and 
Atmospheric Administration, has ar- 
gued that a significant part of the New 
Guinea site should be declared off- 
limits to mining, to preserve rare spe- 
cies and to give scientists a good way 
to judge the extent of changes to the 
dark habitat 

But miners note that some recent 
discoveries play favorably to their in- 

Tiny crabs that Live 
in toe dark 

terests. For instance, the . dense ag- 
gregations of life turn out to be quite 
transitory, coming and going with the 
sporadic barst of volcanic beat. Some 
of the fields of chimneys off Papua 
New Guinea are cold and lifeless. By 
gathering up such cold deposits, as 
well as hot ones. Nautilus hopes to do 
what no one else has ever done before 
in the deep sea — amass a fortune in 

Some experts hold that the volcanic 
rifts there also harbor living riches that 

could give the miners a vested interest 
in preserving some of the wilds in as 
pristine a state as possible. Unusual 
microbes that inha bit the hot zones 
have body parts feat are speeding fee 
biotechnology revolution and making 
some industrialists rich. Indeed, by 
weight, these single-celled organisms 
are worth far more to an gold. Their 
heat-stable enzymes are used in the 
polymerase chain reaction, a corner- 
stone of genetic engineering. The har- 
vest of microbes is speeding up. 

Iran Chief Opens a Gas Pipeline to Neighbor, Weakening U.S. Lever on Tehran 

By Steve LeVine 

New York Times Service 

KORPEDZHE, Turkmenistan — 
Wife a turn of a tap wrapped in red 
velvet. President Mohammed Khatami 
of Iran on Monday began fee flow of 
natural gas to his nation from the Caspi- 
an Sea Basin. 

The opening of fee 125-mile (200- 
kilometer) pipeline gives Iran access to 
the world's largest untapped energy re- 
serves. The new pipeline also weakened 
one of the strongest levers Washington 

has wielded in its attempts to isolate Iran 
and punish fee country far supporting 
terrorist groups and trying to acquire 
nuclear weapons. 

The $190 million pipeline will cany 
some 12 billion cubic feet (3.3 million 
cubic meters) of natural gas a year from 
a desert field here to fee northeastern 
Iranian town of Kurd Kui. Turk- 
menistan, a nation of 4 million people 
wife the world’s fouith-largest natural- 
gas reserves, plans to double fee volume 
by 2006. 

Mr. Khatami told Turkmen officials 

gathered on this forbidding flat of salt 
and sand, “This pipeline is a sign of a 
strengthening of your independence and 
a diversification of export outlets for 
your rich gas reserves.” 

Turkmenistan will see no profit from 
fee natural-gas sales for more than a 
year, because Iran financed the 
pipeline’s construction and several 
months of gas deliveries will be used to 
pay off Turkmenistan’s debt. 

But, to this poor republic, fee pipeline 
is still priceless. Until four years ago, 
Turkmenistan’s natural gas was expor- 

ted to Europe through pipelines that 
traversed Russia; in 1993, fee country 
earned $1.2 billion from these sales. 

But in December 1993, Moscow 
clamped shut fee pipelines as part of a 
reassertion of its Soviet-era domination 
of fee Caspian. That left Turkmenistan 
starved for cash. 

So, Monday's pipeline opening 
shattered more than one blockade. 

Julia Nanay, an analyst wife the 
Washington-based Petroleum Finance 
Co„ said, “It’s a victory for Iran over the 
United States, over Russia, and a victory 

for Turkmenistan as well, becaUseit's 
the first to get its reserves to market 
through a non-Russian pipeline.'’ 

The countries of tire Caspian Basin, 
particularly Azerbaijan and Kazakh- 
stan, have attracted a great deal of West- 
ern investment in oil and gas devel- 

But, in offering diplomatic support 
for a pipeline system bypassing the Rus- 
sian blockade, President Bill Clinton 
has made it his policy to oppose fee 
export of any of fee oil or gas across 
Iran. The United States severed its re- 

lations wife Iran after fee nation's 1979 
Islamic revolution. 

Washington’s stance has rankled 
both U.S. and foreign oil companies, 
most of which say dial the cheapest 
route for a pipeline from Azerbaijan or 
Turkmenistan would be through Iran. 

“The American position is unten- 
able,” said Tony Craven- Walker, chair- 
man of the British-based Monument 
Oil, which is developing a large oil field 
in Turkmenistan. 

“It will have to change,” Mr. Craven- 
Walker said. “And it will one day.” 

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Paris Gets Trains Back on Track 

PARK (AFP) — Rail services in and out of fee Gare du 
Nord in the French capital, including fee link with the Roissy- 
Charles de Gaulle airport, will be back to normal Wednesday 
after a fire that damaged electrical cables, fee state-owned 
SNCF network said Tuesday. 

Service to and from the airport was still disrupted Tuesday 
and only two out of three suburban trains were operating, the 
authorities said. The fire Saturday afternoon damaged cables 
used for lights, signals and shunts over a distance of one 
kilometer (half a mile) from fee station. 

Strike Looms at Italian Airlines 

ROME (Reuters) — Pilots at Alitalia and its subsidiary 
Alitalia Team will stage a four-hour strike on Jan. 16, union 
sources said. They said the stoppage, planned fix’ 1 1 AJvL to 3 

PAL in a dispute over con- 
tracts, would affect all national 
and international departures. 

-5?eritage of 

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TO.: (844)UM9I9 
ftix: <844) 8266 
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Nepal wiU waive the fees 
it charges to climb 19 Hi- 
malayan peaks, hoping to 
promote tourism. The Min- 
istry of Tourism said foes 
would be dropped in 1998 and 
1999 on mountains ranging 
from 5,765 meters (19,025 
feet) to 7,100 metefs. (AFP) 

An epidemic in north- 
eastern Kenya that has killed 
up to 250 people is not a threat 
to tourists and travel restric- 
tions to fee country are not 
necessary, fee World Health 
Organization said Tuesday. 
The organization suspects an- 
thrax or yellow fever to be fee 
cause. ■ (AFP) 















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Middle East . 

Forecast for Thursday through Saturday, as provided by AccuWeather. Asia 

North America 

A bit of Arctic cotdwffl drop 
south into the northern and 
cartraf Rockies; Win con- 
trast, the southeastern 
United State's readings 
should be higher than nor- 
mal. No major storms are 
forecast across the Unted 
States and Canada, result- 
ing In no major delays. 


An active storm track win 
bring high winds and rain 
to the British ides Thurs- 
day through Saturday. 
Travel delays to London, 
Glasgow and Dublin are 
fhely due to wind and rain. 
Travel across western and 
southern Europe will be 
unhampered as high pres- 
sure bring sunshine. 


Very cold air will seep 
southward from Siberia 
resulting in lower than nor- 
mal temperatures for 
Manchuria and easlem 
China. A good deal of rafn 
w® taJJ along s stationary 
front atang the south China 
coast The tropical regions 
of Asia mil be warm and 










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K. Kinabalu 


New Den 

Phnom Penh 








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Back to Oklahoma’s Day of Horror 

Jurors Hear Graphic Accounts as They Weigh Death Penalty for Nichols 

By Jo Thomas 

New York Times Se rvice 

DENVER — Jerry Flowers, an Okla- 
homa City policeman, crept into the 
darkened bean of the shattered Okla- 
homa City federal building and looked 
up at nine floors that had pancaked to- 

“There were circles anywhere from 
two to three fool in diameter of blood, 
and the blood was coming down through 
the cracks," Mr. Flowers told a federal 
jury here Monday. * * And we knew that, 
everywhere we saw that, there was a 
body that had been crushed between 
those floors.” 

The jurors who last week convicted 
Teny Nichols of conspiring to bomb the 
building were spared the details of whai 
happened on the day of the bombing, 
April 19, 199S. But on Monday, as ar- 
guments began over whether Mr. Nich- 

pre&iding judge, Richard Matsch, pre- 
vented prosecutors from presenting 
Overly emotional testimony. 

But on Monday, with a death penalty 

Judge Matsch will sentence him on 
the manslaughter charges. On the con- 
spiracy charge, the jury may sentence 
Mr. Nichols to death, life in prison with- 

in the balance, Judge Matsch allowed out parole, or have the judge give him a 
such testimony and warned jurors sev- lesser sentence. Mr. Nichols was ac- 
eral times that they must still be able to quitted on charges of bombing the build- 
set aside tbefr feelings when they decide ing and destroying it with explosives. 
Mr- Nichols s fate. Michael Tigar, the lead lawyer for Mr. 

“It’s contrary to human nature for me Nichols, told the jury Monday morning, 
to teU you these things and for you to do that “a terrible and tragic and horrible 

tk*m " .v: l . 

them," Judge Matsch said. “But con- 
trary to human nature or not. it’s what 
you are obliged to do.” 

A prosecutor, Patrick Ryan, told jur- 

thing happened” and warned t hem 
“what you are about to see is, to a 
geometric degree, it’s exponentially, it's 
so much greater in impact than what 

SSL 1 

ors that the government would present you’ve already seen that it is impossible 
about 60 witnesses and five videotapes to describe.” 

over three days. 

But no jury, he said, “is supposed to 

yean stand 
years. We 

ols should be sentenced to death, pros- present this evidence so that you will be 

ecu tors began to- present graphic 
accounts of suffering and loss among the 
hundreds who were hurt and the 168 who 

The jurors heard of a woman buried 
alive, a man cot in half, a child de- 
capitated. By the end of the morning, 
many jurors looked stunned, and, along 
with lawyers and spectators, were wip- 
ing away tears. 

Unlike in the trial of Mr. Nichols’s co- 
defendant, Timothy McVeigh, who was 

“We present this evidence to you not figure if the panishmenr fits the crime.” 
to evoke your sympathy,” Mr. Ryan Instead, they must look at the defen- 
said. “These victims in Oklahoma City dent’s role and his state of mind and at 
have bad all die sympathy they can stand his life as an individual human being, 
for the last two and a half years. We The prosecutors, Mr. Tigar said, 
present this evidence so that you will be “want 12 of you, all 12 — it takes 12 — 
informed, so you will have the facts to sign a paper that says that some mom- 
necessary to make an appropriate sen- ing or afternoon somebody should get 
fencing decision. Teny Nichols and lrill him- We say tha t 

The conspiracy charge is a capital there are lots of reasons why all 12 of you 
crime under a three-year-old federal law, should not sign such a paper.” 
butifMr. Nichols is sentenced to death it In his opening statement, Mr. Ryan 

would be the first time such a pun- told the jury: “It would be temp ting for 

informed, so you will have the facts to sign a pape 
necessary to make an appropriate sen- ing or aftem 
fencing decision. ’ * Teny Nichol 

The conspiracy charge is a capital there are lots i 
crime under a three-year-old federal law, should not si; 
butifMr. Nichols is sentenced to death it In his ope 

would be the first time such a pun- told the jury: 
ishment was imposed under federal law you to think c 

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•««?.- ' - - - • 

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convicted of conspiracy, murder and of convicted of involuntary manslaughter 

ishment was imposed under federal law you to think of this as one mass murder, 
without a first-degree murder convic- Don’t. These are 168 people that are all 
don. unique." 

Mr. Nichols was acquitted of first- Mr. Flowers, the police officer, 
and second-degree murder charges and seemed stoic as he told of hearing a faint 

HEADING FOR REFUGE — A Tzotzi! Indian woman and her family being escorted out of Puebla, in 
Chiapas state, as the federal police occupied the town to move residents to a refugee camp. The town had 
been terrorized by armed gunmen for months. In nearby Acteai, 45 Indians were massacred last week. 

bombing the building, and sentenced to instead in the deaths of eight federaUaw 
death, in the trial of Mr. Nichols, the enforcement agents in the building. 

Unabom Defense Team Retreats 

instead in the deaths of eight federal law- 
enforcement agents in the building. 

.begging for help, fade away under T {'U Tf TWT I I 11 j 

St In 2 Years 9 Wolves Reshape Yellowstone 

slnwlv fillinp im with water h*o- J- 

Ne w York'Tunes Sen-ice 
SACRAMENTO, California — The 
lawyers defending Theodore Kaczynski 
in the Unabomber case have abandoned 
their effort to argue that he suffers from 
a "mental defect.” 

The action was a victory for the pros- 
ecution, which has been working to bar 
the argument that Mr. Kaczynski is a 
delusional paranoid schizophrenic. The 
prosecutors fought the argument be- 
cause Mr. Kaczynski refused to be ex- 
amined by government psychiatrists. 

If Mr. Kaczynski is convicted, the 
defense could still assert during a penalty 
phase of the trial that he should not be 
executed because his mental illness 
provides a mitigating explanation for his 

actions. During a penalty phase, defense 
lawyers could theoretically present even 
a roller picture of mental illness. But, 
because Mr. Kaczynski would probably 
continue to resist examination by gov- 
ernment psychiatrists. prosecutors would 
very likely tty to bar that effort as well. 

Without a mental defect argument, the 
defense team is left to face an expected 
barrage of prosecution evidence linking 
Mr. Kaczynski to a series of package 
bombings that killed three people and 
wounded 28 others in an anti-technology 

voice, begging tor help, fade away under 
the debris and of findin g a wo man 
trapped in a wall, another caught in a 
hole slowly filling up with water, beg- 
ging to be saved from drowning. But bis 
voice cracked as he described having to 
leave the women because of a bomb 
scare, and being unable to find them 
afterward, although both were rescued 
He said his partner. Sergeant Don Hull, 
came out of the budding carrying a 
blanket with a small child with “this look 
on his face that was incredible . a real stare, 
if you will, for lack of better words. I 
walked up to Don and asked him if he was 
OX. And we walked together over to 
where the children’s playground area 
was, and we opened up the blanket” 

* ‘ ‘And it was a small boy, about 6 years 
old.’ ’ he said. They could uot tell wheth- 

By Jim Robbins 

New Yuri Tima Sen-ice 

eight years of a planned 15-year study of mesric Canidae.” have radio-collared 



the effects of wolves on the Yellowstone 

“This is one of the great ecological 

PARK. Wyoming — Just two years after experiments of this century.’ ’ Mr. Crab- 
gray wolves were reintroduced to Yel- tree said, “and the opportunity of a 
Iowstone after what is believed to have lifetime for an ecologist to answer the 

terror campaign that began almost two er the child was a boy or a girl, Mr. 

decades ago, in 1978. In pre-trial spar- 
ring, Mr. Kaczynski's lawyers have of- 
ten seemed on the verge of acknowl- 
edging that he was the Unabomber. 

Flowers said As he looked he 1 ‘ saw that 
he had a brown teddy bear cm his chest, 
on his shirt that he was wearing, but his 
head — he had been decapitated” 

been half a century's absence, they have 
dramatically made their presence felt. 

They have killed half the coyotes in 
the area, forced elk to become more 
vigilant and provided many opportu- 
nities for scavengers to share their kills. 
Because there are fewer coyotes, rodents 
are more plentiful, a boon for predators 
like hawks and bald eagles, and overall 
biodiversity has sharply increased 

Research here on how a large eco- 
system responds to the return of a major 

question of how large predators affect a 

Thirty- three Canadian wolves were 
trapped and brought to Yellowstone in 
1995 and 1996; there are now about 97, 

On a recent bitterly cold morning at 
sunrise, Mr. Crabtree scoured the dun- 
colored prairie in the elk-filled Lamar 
Valley, home to three of the park’s eight 
wolf packs. Mr. Crabtree, who began 
seven separate studies of different eco- 
system components from two to five 

predator is unparalleled because officials years before the wolves returned so he 
knew far in advance that the wolves were could study their impact, was looking 

Republicans Set for New Abortion Fight 

By Thomas B. Edsall 

WushintftM Post Senw 

month. Republicans celebrat- 

type of abortion. When the 
Republican National Corn- 

manifestation of the political 
truism that abortion has been 

mittee holds its winter meet-’ the most consistently divisive 
ing in Palm Springs, Calif or- issue for Republican Party in 

month. Republicans celebrat- nia. starting Jan. 15, the 
t ed after winning the gov- resolutions committee will 
‘ emor’s race in New Jersey take up a proposal declaring 
and mayoral contests in the that the national party will 

and mayoral contests in the that tt 
'nation’s two largest cities, “not si 
New York and Los Angeles, in-ldnc 
.Next month, the Republican didate 
National Committee is to party t 
, consider a proposal that to end 
l would prohibit the party from abortic 
providing financial support to Con 
any of those three victors. closely 
The reason: their stands in gressic 

the last two decades. 

Tim Lambert, a Republi- 
can committeeman from 
Texas and sponsor of fee res- 

“not support financially or by olution, said his goal was not 
in-kind contribution any can- to criticize any specific elect- 
didate or nominee of this ed official, but to press the 
party who opposes measures party to take a stand on an 
to end so-called partial birth issue feat be believes does not 
abortion. ’ ’ have two sides. 

Coming on the eve of the "1105 is not about individu- 

closely contested 1998 con- al candidates.” Mr. Lambert 
gressional elections, fee issue 

state ban on partial birth abor- 
tions in her first term. Mr. 
Giuliani has declared feat 
New York state law should 
not be changed to outlaw the 
procedure. Mr. Riordan takes 
no official position on partial 
birth abortions, but he is con- 
sidered a supporter of abor- 
tion rights by fee National 
Abortion and Reproductive 
Rights Action League and an 
opponent of fee ban. 

In 1998, Republicans hope 
to hold on to a thin 1 1-seat 
majority in the House of Rep- 

coming back and began assembling data 
on the existing situation. Changes have 
never been seen before on this scale. 

“It’s exciting.' ' said Robert Crabtree, 
a biologist who runs a private, nonprofit, 
research institute called Yellowstone 
Ecosystem Studies. He has conducted 

through a spotting scope for coyotes. 

Coyotes have suffered severely as a 
result of fee reintroduction of wolves, 
Mr. Crabtree said. Since 1989, Mr. Crab- 
tree and his wife. Jennifer Sheldon, an 
expert on canids and author of “Wild 
Dogs: Natural History of fee Nondo- 

1 79 coyoies, tracking their movements 
and gathering data. 

In just two years. 50 percent of the 
pre-wolf population of coyotes has been 
killed. “They 1 ’re being forced to shift 
their territories, and to give up their 
territories, and if they don’t they get 
killed, ' Mr. Crabtree said. 

There were 1 3 coyote packs with SO 
individual coyotes in this remote valley. 
There are now nine packs wife just 36 
coyotes, a sudden change for a social 
structure that has been ui place for 50 

Those coyotes that survive, he said, 
usually on the edge of wolf habitat, are 
flourishing because of the carcasses the 
wolves leave behind. 

Although coyoies. at about 30 pounds 
( 1 3 kilograms), are a third fee size of the 
average wolf, they are not pushovers. 
Only when wolves outnumber coyotes 
do they attack. When coyotes outnumber 
wolves, they will sometimes attack 
wolves. As expected, the primary food 
source for the park’s new predators is 

The IHT Desk Diary 
For the time of your life. 

favor of allowing a particular threatens to become fee latest 


Poultry Firm Pleads Guilty 

WASHINGTON — Tyson Foods Inc., the poultry 
. giant, has pleaded guilty to giving fee former secretary of 
agriculture, Mike Espy, $12,000 in illegal gratuities and 
has consented to pay $6 million in fines and costs. Tyson 
officials agreed to testify at Mr. Espy’s coming trial. 

Tyson Foods admitted to giving gifts to Mr. Espy — 
including football tickets, airline trips, meals and schol- 
arship money for his girlfriend — at a time when his 
department was considering action on several matters 
affecting the company's business, including safe han- 
dling instructions on poultry packaging. 

The plea agreement, obtained the independent coon set 
Donald Smaltz, wa&approved by Judge Ricardo Urbina in 
U.S. District Court here. To avoid a triaL Tyson Foods 
said it would pay $4 million in fines and $2 million toward 
the cost of the investigation. 

Don Tyson, the company chairman, and his son John 
Tyson were granted immunity from prosecution as part of 
die agreement. In addition, fee company said it would 
comply with ethics requirements in dealing wife federal 
officials, and as a result will not be subject to a ban on 
doing business with government departments. (WP ) 

Clinton Defends Accused Aide 

WASHINGTON — President Bill Clinton has come to 
the defense of Ira Magaziner, a senior White House aide 
accused by a federal judge of giving dishonest testimony , 
even as conservative groups organized to turn Mr. 
Magaziner into a symbol of administration misconduct 

In a written statement late Monday, Mr. Cli nton s aid: 1 
am quite confident that Mr. Magaziner acted appropriately. 
Be panted to a previous investigation by a U .5 . attorney feat 
. found "no basis” to conclude that Mr. Magaziner com- 
mitted a crime and “no significant evidence ’ feat he had 
made, or even tried to make, a false statement. "Mr. 
Magaziner is, and will remain, a valued member of ray 
Mr. Clinton said. 

On Dec. is. Judge Royce Lambeitb said that Mr. 
Magaziner and the administration had been “dishonest 
to describing the secret procedures used to develop the 
President’s health care proposals in 1993. 

. Mr. Magaziner defended his testimony, but Repub- 
licans said that the investigation by fee U.S. attorney 
little compared with the judge's finding feat Mr. 
Magaziner’s statement was "actually false. f/v/i ) 

said. “It is really not about rcsenlatives, and abortion 
abortion. It’s about infanticide, will probably be a crucial is- 

i >* Y- , £ , V ■ ■' ,< , • 

it’s about a procedure so grue- 
some fee American Medical 
Association is opposed to iL” 

In partial birth abortion a 
surgeon pulls the fetus out of 
fee birth canal feet first, punc- 
tures the head, removes the 
brain and collapses the skull 
so fee fetus can be removed 

Mr. Lambert acknowl- 
edged that his proposal would 
mean cutting off funds to such 
two-term winners as Gov- 
ernor Christine Todd Whit- 

sue in some races. 

Momentum, however, ap- 
pears to be building behind 
fee Lambert proposal 
The chairman of the Re- 
publican National Commit- 
tee’s resolutions panel, 
Charles Yob of Michigan, 
who had earlier signaled a re- 
luctance to support imposi- 
tion of litmus tests on fee 
party's candidates, said in an 
interview feat he now thinks 
he may back Mr. Lambert 
Mr. Yob said a dear ma- 

in an of New Jersey, Mayor jority of the resolutions com- 
Rudolpb Giuliani of New mittee was opposed to partial 
York City and Mayor Richard birth abortions and would al- 

Riordan of Los Angeles. 
Mrs. Whitman vetoed 

most certainly back Mr. Lam- 

Away From Politics 

• A former nurse who was on duty when dozens of hospital 

patients mysteriously died was arrested in Newport Indiana, 
and charged wife killing six of them wife injections. Orville 
Lynn Majors, 36, was on duty when 130 of 147 deaths 
occurred from 1993 to 1995. (AP) 

• The upper floors of a six-story building in Times Square 
in New York collapsed, raining large pieces of concrete on an 
area that is jammed wife people during fee daytime. No one 
was hurt in fee collapse, which happened at 5:20 A.M. The 
building was largely vacant and slated for demolition. ( AP) 

• A plainclothes narcotics detective wearing a bulletproof 

vest survived being shot once in fee chest and twice in fee 
stomach at point-blank range and wrestled fee gunman to the 
ground alter a routine drag bust in the Bronx turned violent, 
fee police said The detective, Wafkey Salem, 31. and his 
partner, Detective Lourdes Gonzalez, 28, were both shot and 
tightly wounded in the incident fNYT) 

• A Greyhound bus collided with a pickup truck at an 

intersection made -slippery by rain and snow near Calera, 
Alabama, injuring about 30 people. (AP) 

• About 75 people, angered at Walt Disney Co. for what 

they perceive as gay-friendly policies, held protests in Or- 
lando and nearby Kissimmee, Florida. Some carried signs that 
read ‘ ‘Choose Jesus Over Mickey. (AP) 

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Japanese Opposition: In Worse Disarray Than the Governing Party 

By Nicholas D. Kristof 

New York Tunes Service ' 

? TOKYO — Japan is in 
l economically, lurching through a nnancial crisis 
-as its prime minister plumbs new records of 
; unpopularity. So where is the main opposition 
party in the world’s second largest economic 

Instead of rubbing its hands with glee, it is 
committing suicide. 

The New Frontier Party, founded just three 
years ago, decided over the weekend to disband 
itself. I.ts leaders hope to resurrect it with a new 
name and membership, but the vacuum and chaos 
in Japan’s opposition underscore the frailties of 
the political structure here. 

Despite years of political upheavals and con- 
certed efforts to nurture a two-party system, 
Japan still has no credible political party to 
challenge the governing Liberal Democratic 
Party and keep it on its best behavior. The lack of 
a two-party system means not only that the 
opposition is weak, but also that the liberal 
Democratic Party, seemingly unconcerned with 
the opposition or with voters, can devote its 

energies to internal squabbles. While politicians 
and scholars agree that the lack of a strong 
opposition is a fundamental weakness in the 
Japanese political system, some believe that the 
latest moves may be a prelude to a political 
realignment that will finally generate a credible 

“i am trying to bring together several groups 
to form a new coalition of opposition forces,”'. 


Naoto Kan, perhaps Japan's most popular politi- 
cian, said by cellular telephone as he bustled 
about Tokyo on Monday, negotiating with other 
players in the changing political landscape. “If 
we can get together, we may be able to establish 
anew opposition.” 

Mr. Kan, the head of a small opposition group 
called the Democratic Party, is enormously pop- 
ular as an individual because of a stint as health 
minis ter in which he took on die national bu- 
reaucracy and won. 

But his party has never, attracted much back- 
ing. Now he is trying to recruit some of the New 
Frontier politicians as well as a couple of other 

small parties to establish a liberal political party 
that could emerge as the main political oppo- 
sition to die Liberal Democrats, or LDP, who, 
despite their name, are generally conservatives. 

“This is another sign of a realignment.” Jkuo 
Kahashima. a political scientist at Tokyo Uni- 
versity, said of die New Frontier’s breakup. 
“Whether it's going to be leading toward a strong 
opposition party against the LDP, we’ll have to 

The Liberal Democrats would seem to be 
vulnerable, if only a credible opposition party 
could emerge. A poll this month by the Nihon 
Keizai Shimbun, the leading economic news- 
paper, found that support for the government of 
iterRyularo Hashimoto had dipped to 

percent, its highest level yet. 

Moreover, while many Japanese are pro- 
foundly alarmed by the nation’s economic trou- 
bles, Mr. Hashimoto has been absorbed by efforts 
to maintain the peace in his party and the gov- 
erning coalition. 

For many Japanese, it is a bit as if they were 
passengers in a plane with a couple of engine fires 

and what they hear over the loudspeaker is a wiufpitfy shrt|,M 

fierce argument between the pilot and co-pilot scrambling to ngu 

about what to do next. M-«.»hara_ a New Frontier leader in 

At this juncture, however, the passengers soli ^ Yoshi take Mas spent j Year's Eve 
seem unwilling to send in the opposition to take Hiroshima, said Franti erfi^urcs from around 

over the cockfriL The Nihon KetaL Shimbun poll eight. ngu^ lQ ^ 

found that the New Frontier Party had only 5 w 07 *£ Ncw frontier Party at- 

— rceru support, less than even the Commumsts. , ^ ipat hv over the last tew 

Ichiro Ozawa, who was re-elected head of the nractedwid^pi^d . 0 i?fciais and business ex- 
w Frontier Party just before he decided to years 0 Ozawa as Japan’s best 

iTc&wa id t£ New Frontier Partyat* 
cted widespread sympathy over the last tew 
Jw ars from American otfrciais a 

disband it, argued that the party was too broad to be ecutfces rconomv "and restruc- 

coherenL He hopes to establish a Dew opposition hope for P . ^ 

party early in^iuary.smaifa' but also shmn of the tumtg Voters do not take Mr. Ozawa 

factions dialled to internal bickering. , But rhev see him as a career 

It remains to be seen whether Mr. Ozawa s seriously as political machine 

meMinisterRyuiaro Hashimoto haddippedto new party will be smaller and more cohesive or op^wmacom™ dtanantle it. 

percent, its lowest level since Mr. Hashimoto simply smaller and less relevant. The ambiguities anddoubt mat ne - ■ ^ is u hetiier Mr. 

>k office two yeats ago. Disapproval rose to 45 surrounding the new party are underscored by the One of the ceo ““ called, can 

S3B5Wrtl«B , £ 

&fe P r ier,s,h,t,twillbe c ,11 e d,lie 

party, others are framing other new parties or search institute in Tokyo, 
joinin g other opposition groups. In an odd scene popular guy. 


Seoul Security Forces 
Cast an Obsessive Net 

Hard-Liners Take Dim View of Unity Talk 

By Steven Mufson 

Washington Post Service 

l_ SEOUL — Two years ago, a South 
' Korean lawyer edited a book for ele- 

* 'memary school children about North 

* Korea called, “Hey, You Know, I’m the 
*- First Generation of Unification.” But 

what happened to him afterward was not 
*- child’s play. 

*• An article in a conservative publi- 

* cation last July accused the lawyer, Lee 
’ Jang Hie, of being pro-North Korda — 
- the Stalinist state that has been the 
l South's bitter enemy since the Korean 

Peninsula was divided after World War 


• On Nov. 26, Mr. Lee was seized by 
*1 five plainclothes policemen at the Seoul 
l- airport as he returned from a trip to 
\ Tokyo. They grabbed his arms, took his 
I~ luggage, stuffed him into a car and 

• tossed him into a cell in the Seocho 

• police station near Seoul District Court 

They took his belt, watch and wallet 

U.S. Reporter 
Jailed in Seoul 
On Financial 
Slander Charge 

By Kevin Sullivan 

Washington Post Service 

SEOUL — South Korean authorities 

■ are holding an American journalist in a 
Seou l jail after a leading newspaper filed 
criminal slander charges against him for 
reporting that the paper was on the verge 

- of financial collapse. 

The journalist Richard Choi. 49. a 
popular news anchor and talk show host 
for Radio Korea in Los Angeles, has 
been jailed since Dec. 19. three days 
after he reported that the Hankook Hbo 
, newspaper was in deep trouble and 
might be taken over by the Hyundai 
conglomerate. The newspaper has 
denied the report. 

Mr. Choi’s arrest has sparked candle- 
light vigils in Los Angeles and outrage 
among human-rights groups angered 
over a case they say smacks of press 

In Seoul, the U.S. ambassador. Steph- 
en Bos worth, said in an interview mat 
embassy officials were investigating the 
matter through South Korean govern- 
ment officials. 

“We will look at this very hard over 
l the next 24 to 48 hours and see what’s 
L happening.” he said Tuesday. Mr. B os- 
worth. who praised South Korea's grow- 
ing press freedoms in his Senate con- 
firmation hearings last fall, said, “This, I 
would trust, is an anomaly.” 

The Choi case raises touchy issues at a 
time when South Korea is suffering dev- 
astating economic troubles that have 
bankrupted some of the country’s biggest 
corporations and threaten many more. 
Mr. Choi traveled to Seoul to report on 
the economic troubles for his Korean- 
speaking listeners in Los Angeles. 

A top official at the Hankook Ilbo said 
that a perception of impending collapse 
could crush a company at a time when all 
South Korean companies are hurting fi- 

“We are in support of freedom of the 
press: we cannot live without it for a 
single day; we know that,” said Lee Sang 
Seek, the foreign news editor of toenews- 
paper. “But Mr. Choi’s report comes as a 
severe threat to the survival or our com- 

■ pany at a very dangerous time.” 

Mr. Lee said that Mr. Choi’s report 
had been broadcast in Los Angeles and 
at affiliate stations in Washington, At- 
lanta. Houston, New York and Denver. 

He said the Hankook Dbo also cir- 
culated in those cities, and, “Our readers 
have been calling us by the thousands, 
and Koreans working for Korean cor- 
porations have been filing urgent mes- 
sages to their headquarters that the 
Hankook Ilbo is about to go belly 

and left him barefoot with three other 
criminal suspects. A judge ordered Mr. 
Lee’s release that same night, but since 
then he has been subjected to th reatening 
phone calls and another police raid. 

The reasons for his ordeal include 
South Korea's stringent national secu- 
rity law and the high state of alarm 
within the country's security apparatus 

with the hostile North. For years, the 
South’s obsession with preparedness in 
the event of an attack from toe North has 
resembled the 1950s hunt in the United 
States for communist sympathizers, with 
little regard for the civil liberties of those 

“This law has many possibilities for 
interpretation," Mr. Lee said “The 
prosecutor can interpret it at will." 

In die 1980s, Kim Dae Jung — then an 
opposition leader and now the president- 
elect — and many legislators from his 
party were among those who were jailed 
under Ihose laws, and many people 
hoped his election last week would mean 
a reform of the national security laws. 
But to win the presidency, Mr. Kim 
forged a political alliance with Kim Jong 
PiL the founder of the Korean Central 
Intelligence Agency, and most analysts 
now predict that the strict legislation will 
remain unchanged 

That means people like Mr. Lee, the 
lawyer and writer, could continue to be 
subjected to harassment by South 
Korea’s powerful security apparatus. A 
judge has twice ruled that there was no 
case against Mr. Lee, and he won a civil 
court case against the conservative pub- 
lication for damages. Nevertheless, the 
government barred him from traveling 
outside South Korea between Nov. 28 
and Feb. 28. 

“They are worried now that the Cold 
War is over,” Mr. Lee said of the se- 
curity forces. “They worry about losing 
their positions and want to keep the old 
conflicts going. For this goal they need a 
scapegoat I’m a scapegoat" 

As he tells it Mr. Lee’s story began 
more than two years ago, when eco- 
nomic crises and a leadership vacuum in 
North Korea made many people in the 
South begin seriously to contemplate the 
reunification of the peninsula. 

A publishing house asked Mr. Lee. a 
law professor at Hankuk University of 
Foreign Studies and president of the 
Asian Social Science Research Institute, 
to edit a three-part book that would 
include children's essays about unifi- 
cation, his responses to their questions 
and some factual reference materials 
about North Korea. 

“The basic premise of the book was 
that unless children objectively and 
fairly understood about both South and 
North Korea, Korean unification would 
be impossible in the future,” Mr. Lee 

The children, ignorant of the do's and 
don’ts of political propriety, asked some 
basic and, in the minds of conservative 
critics of reunification, provocative 
questions. They wanted to know wheth- 
er_ South Korea’s national anthem, flag 
or capital would change. They wanted to 
know what would happen to Pyongyang, 
the North Korean capital, and whether 
there would still be two presidents. 

“The young generation has no con- 
tact with North Korea,” Mr. Lee said. 
“Young kids think that North Koreans 
are like monsters. I wanted to help them 
see North Koreans as humans.” 

dr. Lee acknowledged that his com- 
ly was having financial difficulties. 
[ he said the report of impending 
ikruprcy or a buyout by Hyundai was 
isolutely false.' 1 He said the report 
I caused “irreparable damage to the 
utation of our company.” 

Pakistan Election Set 
Despite Court’s Delay 

The Associated Press ' 

LAHORE, Pakistan — Pakistan’s 
legislators prepared to elect a new pres- 
ident despite a Lahore High Court de- 
cision Tuesday to adjourn a critical hear- 
ing on whether the leading candidate 
would be eligible to hold office. 

The court will resume hearings on 
Jan. 12 into whether Prime Minister 
Nawaz Sharif s presidential candidate, 
Rafiq Tatar, has publicly criticized the 
judiciary, considered a crime that would 
disqualify him from holding the office. 

Elections will go ahead as scheduled 
on Wednesday, and Mr. Tarar has been 
allowed to run. Whether he would be 
able to take office as president, should he 
be elected, will depend on the final court 
decision next month. 

If he is disqualified, a second pres- 
idential election would be held, gov- 
ernment officials said. 

AFhiThat Sends Shivers 

Unpredictability' of New Strains Jfbrries Scientists 

Lanj Qwa/Remrr- 

Workers cleaning Hong Kong's Cheung Sha Wan fowl market Tuesday. 

By Lawrence K. Altman 

New York Times Sen-ice 

NEW YORK — The “birctflu’ ' strain 
of influ enza virus has caused only 20 
confirmed or suspected cases of human 
illness and has not jumped from birds to 
h umans anywhere except Hong Kong. 
Yet health officials are so worried about 
the virus that on Monday they began 
slaughtering all 1.3 milli on chickens in 
the territory. And virologists around the 
world are studying the strain and trying 
to make a vaccine for it. 

Why should so few cases cause such 
drastic measures locally and apprehen- 
sion globally? 

The main reason is the strain's novelty 
for h umans . It has been seen rally in 
poultry before, and it has killed thou- 
sands of chickens in Hong Kong. 

The mass slaughter of chickens is a 
radical step. But public health officials 
ordered that s imilar numbers of birds be 
destroyed to cope with outbreaks of the 
same influenza virus in Pennsylvania in 
1983 and Mexico in 1994 and 199S. No 
h uman cases were detected in those out- 

Influenza viruses that cause illness in 
humans fall into two groups, A and B. 
The strain in Hong Kong is of die A type 
and is known as H5N1. 

Scientists believe that the virus is 
transmitted when someone touches an 
infected person, not through die air — 
the usual way influenza spreads. But 
scientists are puzzled-about exactly how 
the virus is transmitted. 

Over the 'weekend, health ' officials 
reported the first evidence of the prob- 
able transmission of the strain from one 
person to another. A 3-year-old boy who 
died in May apparently transmitted the 
virus to his doctor, but die doctor did not 
develop symptoms and seems not to 

FLU: Shortage of Equipment Delays Hong Kong Poultry Slaughter 

Continued from Page 1 

government on Sunday ordered the 
slaughter of every chickeo in the ter- 
ritory, as well as geese, ducks, pigeons 
and other poultry that may have been 
housed near chickens. 

Influenza viruses that cause illness in 
humans fall into two groups, A and B. The 
strain in Hong Kong is of the A type. 

Hong Kong gets about 80 percent of 
its live chickens from mainland China, 
with the rest from local farms. Until 
Tuesday, officials have been reluctant to 
openly pinpoint China as the most likely 
source of the contagion, partly out of 
concern fra: offending the new sovereign 
power and not wanting to contradict 
China's repeated assurances that all its 
chickens are healthy. 

Beijing officials repeated those as- 
surances Tuesday. Tang Guoqiang, a 
Foreign Ministry spokesman, said in 
Beijing that its investigators dispatched 
to Guangdong province, bordering Hong 
Kong, had not turned up a single case of 
the “bird flu" virus. A team of flu 
experts from the World Health Orga- 
nization is scheduled to go to Guang- 

dong in January to begin its own sur- 
veillance for the virus. 

The new import controls on chicken 
will include registration of farms in 
South China that are licensed to sell birds 
here; Hong Kong health officials on the 
ground in China to help inspect the 
chickens and insure their health; a five- 
day quarantine for chickens destined 
here, and a separate check of samples at 
the only allowed border checkpoint to 
make sure the chickens are safe and have 
their registration certificates. 

Officials here said the mainland 
Chinese authorities were cooperating in 
their efforts. But they also said the new 
controls might take another month to set 
up, meaning that Hong Kongers were 
now approaching the all-important Lun- 
ar New Year holiday at the end of Janu- 
ary with little likelihood of having any 
fresh chicken. 

The mass execution of fowl, in- 
volving more than a thousand govern- 
ment workers, was supposed to be com- 
pleted in a day, but officials said 
Tuesday that the scale of the operation 
and some unexpected glitches slowed 
down their progress. 


Agriculture Department workers ini- 
tially intended to use lethal carbon di- 
oxide to gas all the chickens on 160 
remote farms. 

But they discovered they had only 400 
cylinders to hold the gas 600 fewer 
than needed for the operation. Workers 
lost time by taking used cylinders and 
refilling them, but they hope to solve the 
shortage when 200 additional cylinders 
arrive here from the mainland. 

Another problem, said Mrs. Wei, was 
making sure the staffers involved in the 
mass culling had adequate supplies of 
gloves and other protective clothing, 
garbage bags for the carcasses, and lime 
for disinfecting the dead birds. 

But the biggest problem, Mrs. Wei 
said, was that the massive number of 
workers deployed for the operation- 
1,200 from tne Agriculture Department, 
or more than half ho- total staff, had no 
experience in handling, let alone killing , 
chickens. They are largely desk-bound 
bureaucrats, working in unglamorous 
jobs like licensing and transportation. In 
a m at t e r of hoars, they have been 
equipped* with lethal gas and trans- 
formed into an army of executioners. 

Bomb on Delhi Bus Kills 2 Timor Laureate Calls for Peace 

wo peopli 

wounded when a bomb exploded Tuesday on a bus in 
India's capital, the police said. 

A police spokesman said a bomb had been planted under 
at near die back of toe "bos, which was packed with 

a seat 

SYDNEY — The Nobel peace laureate Jose Ramos- 
Horta called Tuesday for a cease-fire between East 
Timorese fighters and Indonesian troops. 

Mr. Ramos-Horta, an exile from East Timor who is based 
in Sydney, issued a New Year’s 

passengers during rush hour in the Ramp ora district of New to release all political prisoners in East Timor, stop human 

rights violations and reduce troop numbers in the region. 

No one immediately claimed responsibility for the attack. 
There have been several bomb explosions in the capital in 
recent months. On Nov. 30, two people were killed and 58 
wounded when two bombs exploded within minutes of each 

East Timor is a former Portuguese colony that was 
invaded and annexed by Indonesia after Portugal gave it up 
in 1975. * * 

“There must also be a cessation of all armed activity in 
East Timor,” Mr. Ramos-Horta said in the statement dis- 
tributed to news organizations. 

The resistance, if it is to serve its own cause and 

The Shahid Khalsa force of Sikh separatists in toe north- 
western state of Punjab claimed responsibility for two attacks 

m October. The force began a violent campaign in the 1980s purpose, must observe a complete cessation of all armed 
to back its demand for a separate Sikh state. { Reuters ) activity that can give rise to Indonesia’s use of force,’’ said 

Mr. Ramos-Horta, who was awarded the Nobel Peace Prize 

Singapore Mourns Crash Victims Tmor md£pra fe 

SINGAPORE — More than 8,000 people took pan in a /-» ,i » - rT . ^ 

memorial service led by Singapore’s prime minister, Goh ' LattlOllCS Open HttUOl L, OUSTeSS 
Chok Tong, for the 104 people wbq perished in toe Dec. 19 O 

“a* 0* a SUkAir Boeing 737-300 in Indonesia. HANOI — A congress of Vietnamese Catholics and 

Singapore is a small place and a close-knit community, officials of the Communist Party opened Tuesday in Hanoi. 
Wien a tragedy happens with a loss of lives, it saddens the the Vietnam Catholic Solidarity Committee said, 
whole nation, Mr. Goh said in an emotional speech at an About 350 delegates, including 140 priests, gathered for 

nm tnr, , , . . the conference, which is held every five years, 

l ne biikAir Boeing 737-300 crashed into toe Musi River .'along with officials of the Fatherland Front, an umbrella 
in Indonesia s South Sumatra Province, l o lli ng all 97 pas- group of the Communist Party of Vietnam that controls all 
se tigers ana seven crew members on board. (AFP) social and religious organizations. (AFP) 

have spread the virus to others. 

There is nothing like a new strain of 
infl ue nza virus to make health officials 
shiver. They have long warned that a 
worldwide influenza epidemic like the 
one that killed 2 1 million people in 1 9 1 8 
and 1919 could strike again without 

Now “there is genuine concern about 
a pandemic arising for the first time in 
more: than 20 years, said Dr. Keiji 
Fukuda. an influenza expert from the 
Centers for Disease Control and Pre- 
vention in Atlanta. Dr. Fukuda went to 
Hong Kong with four other epidemi- 
ologists. part of the drill for dealing with 
a potential pandemic, which occurs 
when an infectious agent strikes large 
numbers of people in a number of coun- 
tries in a short time. 

The last such drill was in 1976. when 
a soldier at Fort Dix, New Jersey, died 
from toe so-culled swine flu strain. 
Twelve others developed symptoms 
from the strain, and 230 trainees were 
infected but did not develop symptoms. 

Scientists have come to expect the 
influenza virus to do the unexpected. 
They know that the virus will mutate 
every few years, altering certain com- 
ponents on its surface. Some changes 
have minor effects, while others have 
catastrophic consequences. 

Yet even minor changes can allow the 
virus to keep one step ahead of the fresh 
vaccines that are prepared each year. 
Such changes also allow influenza vir- 
uses to evade antibodies, proteins that 
the immune system, primed by earlier 
infections, produces to protect against 
repeat attacks. 

Influenza's impact can be devastat- 
ing. Sneezes and coughs can begin 
spreading the virus through the world 
with a potential to kill millions of people 
of all ages very quickly. 

No one knows why influenza strains 
move as they do. Virologists have little 
knowledge of the early stages of in- 
fluenza pandemics, which also occurred 
in 1957 and 1968. The latter two are 
thought to have arisen in birds in Asia. 

New strains of influenza virus some- 
times infect a small number of people, 
then die out. But a viral strain that hits an 
apparent dead end can revive to cause 
later outbreaks. 

“One worry is that if the virus con- 
tinues to persist in a human population, 
even at a low level of transmission, it 
could change" its makeup to make fur- 
ther transmission easier. Dr. Fukuda said 
by telephone from Hong Kong. 

What this influenza strain is doing is 
unsettling to scientists. 

“We are all highly aware that the 
epidemiology of this virus could be 
changing,” Dr. Fukuda said. Scientists 
became aware of that when they first 
detected the H5N1 avian strain in the 3- 
year-oid boy who died in May. 

‘ ‘The thinking at the time was that this 
was an isolated odd phenomenon in 
nature where a boy gets infected by a 
virus that should 'not normally be in- 
fecting humans,” Dr. Fukuda said. 

Something like that probably happens 
every once m a while. ’ 

Hie WHO alerted countries ro in- 
crease surveillance for the strain. Skep- 
tical scientists changed their attitude 
with the detection of additional cases in 
November and December. • 

Scientists have partly determined the 
genetic blueprint of viruses isolated 
from seven cases in Hong Kong. So far 
the indication is that all the viral genes 
are of avian origin. None shows signs of 
muting with genes from other human 
influenza viruses, which is one way new 
strains are thought to arise. 

. °“ e important objective for the many 
virologists who have converged to work 
on the strain is to develop a vaccine in 

.influenza pandemic, 
should the need arise. 

But the effon is off to a bad start 
because influenza vaccines are made by 

e Vm i s ., in ch ! ck *> eggs, and 
toe H5N1 strain kills chicken eggs. Sci- 
entists are seeking other solutions. Even 

Stm tL VacCu I£ “ deveI 0P*d. it would 
stfll take months to produce a com- 

one in sufficient umounf™ 
provtde widespread protection. 

But in Hong Kong, worrisome siens 

Pfjple who , had contact with the 
^ ^rs who did not. The 'tests 

g?K5fK5 ?5 

, _ also showed that some wonte 
became infected with tt*. ulkri I W0 P h - 



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Israeli Guilty in Tig’ Poster Trial 

By Joel Greenberg 

New Yeri TSma Service 

JERUSALEM — A Jewish militant 
who provoked noting in Hebron and 
outrage in the Muslim world when she 

as a pig was convicted here 
Tuesday of committing an act of racism 
and trying to offend religious feelings. 

Standing in a white T-shirt as the 
verdict was pronounced at the Jerusalem 
District Court. Tatyana Soslan, 26, wept 
as Judge Zvi Segal read for more than an 
hour from his 63-page decision. 

A follower of tne outlawed anti-Arab 
Kach Party and an immigrant from the 
former Soviet Union. Miss Suskin was 
also found guilty of supporting atenorist 
group and endangering life by stoning an 
Arab car. Sbe frees a maximum of 26 

years in prison. 

Miss S uskin was arrested last June 
after she plastered posters on storefronts 
in the Palestinian-ruled part of Hebron 
that depicted the prophet Mohammed as 
a pig stamping on a Koran. Pigs are 

considered unclean by Islam, and the 
eating of pork is forbidden under 
Muslim religious law. 

The incident set off days of street 
dashes in Hebron between Palestinian 
protestors and Israeli soldiers, and en- 
raged Muslims abroad. A man charged 
with killing nine German tourists in 
Egypt last September said he had been 
spurred to action by the posters. fringed. 

Last week, two other Jewish militants - “It’s 
of Russian origin were arrested on sus- 
picion of planning to hurl a pig’s head into 
the area of Islam’s third houest shrine, the 
A1 Aqsa mosque in Jerusalem's Old City, 
during die Muslim holy month of Ra- 
madan, which began Monday evening. 

In Ids verdict. Judge Segal rejected 
defense arguments that she was emo- 
tionally disturbed, ruling that she was 
folly aware of the consequences of her 
acts. “The harm caused in this case is 
wide and offends all members of the 
Islamic faith,” the judge said. 

Miss Suskin acted out of a ‘’patently 
racist motive” and with “clear intent” 
to provoke hatred and violence, the 

judge asserted, adding that freedom of 
expression did not give her the right to 
put up the posters where she did. 

Miss Suskin, said die was not sorry. “I 
don’t agree with this conviction,” she told 
reporters. “I have nothing to regret” 

The lawyer for Miss Suskin, Shmuel 
Casper, argued that his client’s right to 
freedom of expression had been in- 

“It’s time this country drew up a bill 
of rights so people will know whether a 
picture they draw orapostcard they send 
is a racist act,” he said. “She didn't go 
there to incite World War ID.” 

A day after Miss Suskin put up the 
posters while wearing a T-shirt with the 
clenched-frst symbol of Kacb, she 
. burled a stone at a car driven by a Pal- 
estinian motorist, breaking its window, 
according to her indictment She was 
convicted today of endangering human 
life on the road. 

Kach, which is banned in Israel, was 
founded by Meir Kahane, a radical anti- 
Arab rabbi who was assassinated in New 
York in 1990. 


Women In the Badjarah market in Algiers on Tuesday as the government cautioned residents to be vigilant. 

Algeria Fearful as Ramadan Begins 

Agence France-Presse 

ALGIERS — News of fresh mas- 
sacres has confirmed fears that violence 
in Algeria jg wwlating as Muslims 
began the holy month of Ramadan. 

According to press reports, 88 people, 
including women and children, have 
been murdered in attacks since Saturday. 
Most were stopped and killed at fake 

Fourteen of the victims woo killed 
Monday at a roadblock near the western 
town of Sidi Bel Abbes, newspapers 
reported Tuesday. Some victims’ throats 
were slit; other people were shot 

La Tribune, arr Algerian daily, report- 
ed that 20 villagers had been massacred 
Monday near Medea, 80 kilometers (SO 
.miles) south of the capital, Algiers. 

• An additional 20 travelers were killed 
two days earlier in the Lakhdaria Valley, 
in the southeast, while in the Djelfa 
region, about 200 kilometers south of 
Algiers, a father and two young children 
died after their throats were slit. 

The latest killings bring to at least 332 
the number of civilians slaughtered in a 

10-day period, confirming fears of far- 
ther bloodshed during Ramadan, which 
began Monday evening. 

Last year during Ramadan, which 
began on Jan. 10, more than 400 people 
were killed and 700 were wounded in a 
wave of massacres and car bombings, 
for which Muslim fundamentalist guer- 
rillas were blamed. 

Linked to the start of the moon’s 
cycle, the beginning of Ramadan 
changes each year and can be different 
for the various Muslim countries. 

Algeria’s Ministry for Religious Af- 
fairs announced that the cycle began 
Monday night meaning that Tuesday 
officially became the first day of a monte 
of daytime fasting and abstinence for tee 
majority of Algesia’s 28 million people. 

Traditionally, the holy monte of Ra- 
madan is considered by extremist Is- 
lamic groups as an auspicious time for 

State-run and independent media in 
Algiers have kept up a barrage of gov- 
ernment-issued warnings to tee popu- 
lation to be vigilant against terrorism. 

In particular, tee city’s 3 million 
lie have been warned to steer clear of 
i cans and abandoned cars tbal might 
contain bombs. 

Bat no increase in security has been 
noticeable in Algiers. The recent attacks 
have mostly targeted remote villages 
and outlying areas of the city. 

Another newspaper, El Watan, said 
Tuesday teat for inhabitants of the forest 
and mountain regions in western Algeria 
to remain there made them easy targets 
for massacres or gave the idea that they 
were collaborating with the extremists. 

“The state can’t put a soldier in front 
of every house,” the military head of tee 
region around tee port of Oran, General 
Kamel Abdenahmane, said last week. 

Various military officials in the last 
few weeks have urged outlying towns to 
arm themselves against tee marauders. 

The human-rights group Amnesty In- 
ternational estimates that nearly 80.000 
people have been killed since tee Islamic 
insurgency began in 1992, after tee army 
canceled elections that tee now-banned 
Islamic Salvation Front was set to win. 

RWANDA: U.S. Judge Frees Hutu Pastor Accused of Genocide 

Continued from Page 1 . 

to the international tribunal.”] 

- Mr. Ntakirudmana, 73, was represent- 
ed at the Laredo hearing by Ramsey 
Clark, the former U.S. attorney general, 
who further questioned the legality of 
the international tribunals, which had 
won strong support from Secretary of 
Stale Madeleine Albright when sbe was 
U.S. representative at the UN. 

“This is the first time in cur history 
that we’ve been asked to surrender a 
person to a tribunal and one of doubtful 
legality,” Mr. Clark told The Houston 
Chronicle last summer. “There is noth- 
ing in the UN Charter that allows for a 
criminal tribunal.” 

Defenders of Mr. Ntakinitimana say 
that the charges against him are not true 
and that as a prominent member of 
Rwanda’s Hutu majority — he was pres- 
ident of the Seventh-day Adventists in 
the Kibuye region of western Rwanda — 

he is an innocent target of revenge by the 
minority Tutsi, who were the victims of 
most of tee genocide. 

Mr. Ntakhutimaaa’s family and local 
Seventh-day Adventist churches moun- 
ted a strong campaign in Texas to por- 
tray him as an innocent victim of a 
vendetta by the Tutsi-led government 
that took power in Rwanda in the sum- 
mer of 1994. 

At tee tribunal headquarters in Tan- 
zania on Monday, Kingsley Moghalu, a 
lawyer in the court registrar’s office, 
said that officials wens waiting to bear 
what the United States would do. 

“We leave it to the VJ.S. government 
to take whatever step they deem ap- 
propriate,” he said. “The statute of tee 
tribunal requires teat states cooperate.” 
The United States had complied in ar- 
resting Mr. Ntakirutimana as requested. 

At tee State Department, James Fo- 
ley, a spokesman, said tee Clinton ad- 
ministration still believed that Mr. 

Ntakirutimana should be extradited, but 
was now in the process of consulting 
tribunal officials about how to proceed. 

“We believe that there is a proper 
legal and factual basis for surrender to 
the tribunal, and are disappointed by the 
magistrate's decision,” Mr. Foley said 
in a statement Monday. “We are con- 
sidering our options and cannot spec- 
ulate further regarding this law enforce-: 
ment matter.” 

Judge Notzon, who threw out tee case 
against Mr. Ntakirutimana, challenged 
the case against tee pastor. He criticized 
tee manner in which a Belgian police 
officer, Aijea Most err, conducted tee 
investigation in Rwanda. He also ques- 
tioned tee reliability of the witnesses. 

One of Mr. Ntakirutimana’s sons, 
Gerard, 40, an American-educated phy- 
sician, has been charged with tee same 
crimes as his father. The younger 
Ntakirutimana is in the custody of the 
Arusha tribunal. 

ALOFT: Keep Seat Belt On 


Continued from Page 1 

iverage of 58 reports of tur- 
julence- related passenger in- 
uries a year from tee airlines, 
vhich are not requited to re- 
jort such incidents.' From 
1981 to November 1996, 
here were 252 reported in- 
ndents of turbulence, which 
tilled two passengers, seri- 
>usly injured 63 and de- 
ivered less serious injuries to 
163 others. Both the fatalities 
md 61 of the 63 serious in- 
uries involved unbuckled 

Because there is no report- 
ng requirement, however, 
hose numbers may sharply 
inder estimate the seriousness 
if tee problem. 

And most injuries are not to 
jassengers but to flight at- 
endants, who often must 
land when the seat-belt light 
s on. United alone reported 

that in 1996 there were 251 
turbulence-related injuries 
that caused flight attendants 
to lose time from work, and 
that 129 more suffered minor 

“People are so comfort- 
able with air travel that they 
don't think this is a hostile 
environment,” said Patricia 
Friend, president of the As- 
sociation of Flight Attend- 
ants. She said flight attend- 
ants are often caught in a bind 
when people refuse to sit 
down, saying things like 
“Yeah, but I’ve got to go to 
the bathroom.” Flight attend- 
ants “can’t physically re- 
strain people,'* she said. 

Unlike crashes, with ran- 
dom patterns of fatalities and 
injuries, turbulence injuries 
are concentrated in tee rear of 
the aircraft, which cracks al- 
most like a whip in severe 

Funds for West Bank Settlers 

JERUSALEM — Prime Minister Benj amin Netan- 
yahu moved closer to gaining parliamentary approval for 
his 1998 budget Tuesday with a flurry of spending 
promises that will benefit Jewish settlers in tee Pal- 
estinian territories. 

Striving to get his budget adopted before a deadline of 
Wednesday midnight, Mr. Netanyahu conceded millions 
of dollars to meet demands by groups in his fractious 
eight-party coalition. (AFP) 

Nyerere Visits Kaunda in Jail 

LUSAKA, Zambia — Julius Nyerere, tee former pres- 
ident of Tanzania, visited Kenneth Kaunda in jail Tues- 
day as international pressure mounted for the former 
Zambian president to be released or put on trial for 
involvement in tee October.coup attempt. 

In Washington, die Stale Department condemned the 
detention and urged Mr. Kaunda’s immediate release. 

Mr. Nyerere met Mr. Kaunda in Kabwe and refused to 
confirm reports he was sent to negotiate for his release by 
President Nelson Mandela of South Africa. (AP) 

Elton John 
Is Knighted 
On Blair’s List 


LONDON — Ehon John is to be 
named Sir Elton on Wednesday in 
Prime Minister Tony Blair’s New 
Year’s honors list, which also rewarded 
some of those who helped organize the 
funeral of Diana* Princess or Wales. 

The 50-year-old singer, bom Re- 
ginald Dwight, was listed under his full 
name, Elton Hercules John, for ser- 
vices to ransic and to charities. 

The performer sang a new version of 
his song “Candle in tee Wind** at tee 
funeral of Diana, who died in a car 
crash in Paris on Aug. 31. Its world- 
wide sales of 33 million copies have 
made it tee world's top-selling single 
and raised £20 million ($33 A million) 
for the charity memorial fund named 
after tee princess. 

The singer was among 25 knights 
and four lire peers named tty Mr. Blair 
in his first honors list since taking 
office in May. Formally, tee honors are 
awarded by Queen Elizabeth IL 

The honors list of nearly a thousand 
names was beaded by new life peer- 
ages awarded to David Sheppard, a 
former England cricketer who recently 
retired as the Anglican bishop of Liv- 
erpool, and to the publisher arid phil- 
anthropist Paul Hamlyn. 

The other new peers are Sir Robin 
Butler, outgoing secretary to the cab- 
inet and head of the Home Civil Ser- 
vice, and a former top dvil servant. Sir 
Ron Dealing. 

The last governor of Hong Kong, 
Chris Patten, and the historian Eric 
Hobsbawm were named Companions 
of Honor. 

Among the new knights were tee 
composer Richard Rodney Bennett, 
tee science fiction writer Arthur C. 

Km I ftun-r, 

Elton John becomes Sir Elton on Tony Blair’s New Year’s honors list. 

Clarke, the actor Michael Gamtfon . tee. 
painter Terry Frost and the architect 
Sandy Wilson, designer of the much- 
maligned new British Library. 

-The only sporting fanight was Tom 
Finney, who played soccer for England 
in the 1950s. 

Mr. Blair’s spokesman said that tee 
prime minister wanted to mode rn ize 
the honors system to recognize more 
ordinary people nominated by mem- 
bers of tee public. 

One serving ambassador was 
knighted. — Christopher Meyer, envoy 
to Washington and a former spokes- 
man for John Major, the former Con- 

servative prime minister. 

Other prominent overseas names 
honored included the British-born film 
star Deborah Kerr, named a Com- 
mander of tee Order of the British 
Empire for sendees to theater and 

cinema. , 

The same honor went to the novelist 
and screenwriter Ruth Prawer Jhab- 
vftla. the singer Petula Clark and the 
novelist David Lodge. 

The list of awards for sports stars 
included tee Officer of the Order of tee 
British Empire for Martin Johnson, 
who captained tee victorious British 
Lions nigby team in South Africa. 

KOREA: European Banks Agree to Roll Over Short-Term Debt 

Continued from Page 1 

record last monte as a credit crunch 
drove almost 50 companies a day into 
insolvency, the central Bank of Korea 
reported Tuesday. . 

u nderfilling tee crisis, the Bank of 
Korea has urged banks to lend money to 
finis that are trying to make bond pay- 
ments. Those calls may fell on deaf ears as 
banks scramble to call in loaiis to share iq> 
their own balance sheets. They are trying 
to meet standards imposed as part of a S60 
billion bailout package sponsored by the 
International Monetary Fund. ' 

The agreement Monday, which es- 
sentially bent the rules for large bor- 
rowers near default, was the banks* only 
realistic alternative. They would have 
faced the prospect of losing much mare 
and perhaps causing a far greater crisis 
had teeyaemanded repayment 

Their decision followed moves by the 
IMF and other lending institutions last 
week to provide $10 billion in accel- 
erated aid to SeonL 

Although South Korea is the llte- 
largest economy in the world and is 
considered a bulwark against security 
threats posed by North Korea, more than 
the fate of that one country is at stake. 
The Japanese economy is ailing and all 
lenders, particularly the Japanese, are 
looking past South Korea and assessing 
tee impact corporate defaults there even- 
tually might have on Japan — South 
Korea’s single largest creditor and tee 
world’s second-largest economy. 

In Seoul on Tuesday, tee won tumbled 
about 12 percent against the dollar, re- 
versing three days of gains, as South 
Korean companies sought dollars to pay 
off debt denominated in foreign cur- 
rency. The stock market was closed for 
year-end holidays. 

Separately, tee government reported 
that South Korea had a record capital 
deficit in November, as foreign investors 
fled tee country, but also recorded its 
first • current-account surplus in four 
years because tee weaker won bolstered 
exports and reduced imports. 

Meanwhile, Seoul balked at assuming 
billions of dollars of debt owed by its 
commercial banks, a condition sought by 
foreign creditors in return for new loans. 
The world’s biggest banks are seeking 
some form of government guarantee be- 
fore they lend money for a yearpr longer. 
South Korea needs such loans to help 
overcome its short-term debt crisis. 

“The government has never and will 

never transfer private debt to public 
debt,* ’ said Chung Duk Koo, an assistant 
minister at tee Ministry of Finance and 
Economy. “We will stand by our banks, 
but not that way.” 

His comments underscored South 
Korea's unwillingness to let foreign cred- 
itors completely off the hook as it seeks a 
way out of its financial crisis. That view 
is shared by the IMF and industrialized 
countries that contributed to the nation's 
record $60 billion bailout 

The IMF partners do not want to be 
seen using tax dollars to bail out private 
lenders. They also want to avoid a loss of 
confidence in South Korea among for- 
eign investors teat could torn off the 
flow of money into tee country. 

About $15 billion of Korea's $100 
billion in short-term debt is doe by year- 
end, with an additional $15 billion 
manning next month. 

But analysts said that the rollover deal 
was only a stopgap measure and that the 
liquidity problem would reappear again in 
a month if urgent action was not taken. 

“Erafa what we understand, this pro- 
cess is proceeding in a constructive 
way,” said Lawrence Summers, deputy 
U.S. Treasury secretary. “It reflects the 
general awareness in tee financial com- 
mimity of tee importance of financial 
institutions* taking responsibility with 

ECONOMY: Consumer Confidence Soars 

Continued from Page 1 . 

pared with a month ago. More con- 
sumers also said that business conditions 
would get better in tee future. 

“This is tee first time in a long time 
that jobs are plentiful and consumers 
really feel good about teat,” said Gary 
Thayer, a senior economist at A.G. Ed- 
wards &' Sons Inc. in Sl Louis. “It 
would take some signs of real weakness 
in the economy for the jobs situation to 

Fewer consumers, however, expected 
their incomes to rise in tee future. 

More consumers said they planned to 
take a vacation in tee next six months, 
but fewer said they planned to buy a 
major appliance or a car. 

Consumers were most confident in 
tee. northern Midwest, while tee mid- 
Atlantic states lagged well behind the 
rest of the country. 

Although the economic outlook is 

KENYA: Credibility Crisis Hits Election as Confusion Mounts 

Continued from Page 1 

lomat said, adding that the commission 
had “screwed up big-time.” 
“Regardless of whether what 
happened was just poor logistics or 
malevolent intent, the fact is that tee 
elections will suffer in terms of cred- 
ibility,” tee diplomat said. 

The diplomat said that the credibility 
of tee elections might be salvaged if tee 
results required a second round of vot- 
ing. In Kenya, a presidential candidate 
must win tee most votes nationwide as 
well as 25 percent of the total m five of 
the county’s eight provinces. 

‘ Tf Moi is elected, there’s going to be a 
challenge” from opposition candidates, 
tee diplomat said He added that a runoff 
would be better than a “festering sore.” 
Grace Githu, a political analyst, said 
that even if tee government scrapped tee 
election — as some opposition candi- 
dates are demanding — the process had 
already jaded many voters. “What if 
someone says, let’s have a repeat,” she 
said “No one will come out 4 ’ 

Electoral commission officials, 
however, played down tee problems. 
Gabriel Mukele, deputy chairman of tee 
commission, estimated teat irregularit- 
ies had affected only 5 percent of tee 


constituencies. He also said that many of 
the problems. Monday stemmed fro m 
serious flooding in tee northeast and 
along the coast that had “made it vary 
difficult to get officials and tee matwia^ 
to the stations.” 

Mr. Mukele blamed problems with bal- 
lot boxes — some of which went to 
constituencies hundreds of kilometers 
from where they should have gone — on 
tee printer teat the commission hired 

Christopher Smith, managing director 
of Smite & Ouzman Ltd of England, 
declined to comment on tee criticism, 
saying only teat what his company had 
done “was correct” and adding teat bal- 

lot boxes and papers had beer 
patched how they should have bet 

■ Opposition MP Is Re-elect 

TThe electoral commission relea 
test parliamentary result: that an 
ution member of Parliament, 
Mtohuki, was re-elected by a coral 
“apHty. Reuters reported 
State radio said tee FQRD-Peot 
i**® ¥ s K^gema constitui 
Ceoual Province with 17,701 vote! 

SSniTLS? f ? Naftali N * 
KANU. lt said there had been a 77 

turnout in the Constituency, whici 

fleered electorate of 29, 1 89 . 

Ruling That Freed Woman Is Rejected 

New York Times Service 

NEW YORK — A U.S. judge’s 
decision freeing a Pennsylvania wom- 
an-convicted of murder because he 
found her innocent has been over- 
turned by a federal appeals court. 

The three-judge panel of tee 3rd 
U.S. Circuit Court of Appeals con- 
cluded that the case had been brought 
to a federal court prematurely, ruling 

that tee woman had not exha 
opportunities in tee stale cou 
Although Lisa Michelle ] 
25, who had been released ft 
sentence, does not have to 
pnson immediately, the 
Monday wiped out Judge 
Dairen s ruling that Ms. Un 
been railroaded in 1992 bv l 
County police and prosecuto 


muddied by the financial crisis in Asia, 
“tee fu ndam entals still look good” for 
tee United States, with businesses 
scrambling to hire workers, according to 
a forecast by two economists. Joel 
Naroff and Veronika White, at First Un- 
ion Bank in Philadelphia. “Employment 
and income growth are robust and con- 
fidence is high," they said. 

Th ere are ample signs that consumers 
remain cautious in their spending, even 
though the U.S. economy has grown at 
about a 3.5 percent pace this year. Fear 
example, the Big Three automakers — 
Ford Motor Co.. General Motors Cap. 
and Chrysler Corp. — have spent heav- 
ily on rebates and other incentives to 
entice buyers, even though tee final 
months of the year were marked by low 
unemployment and inflation and buoy- 
ant consumer sentiment. Holiday sales at 
tee nation’s retailers, meantime, prob- 
ably rose at half of last year’s race, 
analysts said. (AP, Bloomberg. Reuters) 


respect to Korea’s financial problems. 
Going forward, there will be a great deal 
of wok to do.” 

But talks on the repackaging of the 
loans are unwieldy because lenders have 
different needs and are owed debt with 
varying due dates. Bankers said South 
Korea has about $40 billion in short- 
term debt maturing by March 31. 

The extended due dates on the loans 
buy South Korea and its lenders time, 
but do not guarantee that the economic 
crisis has been contained. Ideally, the 
relief will enable South Korean busi- 
nesses to revive and begin repaying 
loans while regulatory and lending prac- 
tices in tee country are overhauled. 

But South Korea’s economy could 
continue to stall, and it may not rebound 
quickly enough to prevent defaults. 

“The only reason the banks are 
rolling over the short-term debt is be- 
cause they know if they call it. the loans 
will default,” said David Dun-ant, an 
analyst with UXE.A., a financial ad- 
visory firm in New York. “The banks 
can generate great headlines about their 
grand gesture, but they’re bailing them- 
selves out first because they have 
nowhere to go. The economic scenario 
in South Korea is not going to change for 
six to nine months.” 

(Reuters, NYT, AP. Bloomberg) 









2 More Victims of Ulster’s Troubles Are Buried 

Again France-Pressr 

BELFAST — Frightened shopkeep- 
ers in Portadown, County Armagh, 
pulled down shutters Tuesday as mourn- 
ers marched through the town with the 
body of Billy Wright, a Protestant loy- 
alist leader in Northern Ireland who was 
shot and killed in jaiL 
About 30 kUometeis (20 miles) away, 
the funeral of a former Irish Republican 
Army militant wbo was killed in reprisal 
was taking place. 

Virtually every business in 
Portadown’s center was closed, as mer- 
chants feared attacks by associates of Mr. 
Wright. The Loyalist Volunteer Force 
leader was killed Saturday at the Maze 
' prison by a Catholic splinter group,- the 
Irish National liberation Army. 

All bus services were suspended and 
extra policemen were - drafted into the 
town because of the heightened ten- 

Leaflets circulated in Portadown had 
called on shops to close. 

The Ulster Unionist mayor of nearby 
Craigavon, Ken Twyble, said: “The 
leaflets were innocuous enough but 
there was an implied threat and people 
felt intimidated. There is a great sense of 

Hundreds of mourners gathered out- 
side Mr. Wright's home at Rectory Park 
in the Brownstown housing develop- 
ment about a kilometer from the deserted 
town center. 

Pastor Kenny Me Klin lock, a close 
friend, gave Mr. Wright’s funeral ora- 
tion, describing him as a “a man of high 
integrity in his own way and very much 
a product of problems of the troubled 
times which we have come through.” 

“He has suffered greatly and caused 
suffering as a result,” the minister said. 

Mr. Wright's family called for a ju- 
dicial inquiry into his death. 

In Coalisland, County Tyrone, the 
Catholic who was shot and killed in 
retaliation for Mr. Wright’s murder, was 
also buried Tuesday. 

Seamus Dillon, a former IRA member 
who served a sentence for murder, was 
gunned down outside a discotheque at a 
hotel near Dungannon. 

His family pleaded for an end to the 

The Reverend Seamus Rice, speaking 
before his funeral, said: “The way for- 
ward is not through revenge. The way 
ahead is through prayer and dialogue.” 

Hundreds of mourners, including 
Martin McGuinness, chief negotiator for 
the IRA’s political wing, Sinn Fein, were 
at the funeral. 

Seamus Dillon’s casket being carried through the town of Coalisland as hundreds of mourners followed Tu esday . 

Even After Death, Loyalist Stirs Fear 

Wright , Hard-line Leader Killed in Prison, Made Enemies on All Sides 

By John Burgess 

Washington Post Service 

PORTADOWN, Northern Ireland — 
Billy Wright is dead now. executed with 
smuggled handguns by fellow inmates 
in a high-security prison. But the fear 
and respect he commanded on the streets 
of this town daring his years as the head 
of an outlawed Protestant mili tia con- 

“He got what was coming to him,” 
said a man outside a store, before think- 
ing better of talking and walking on. 

Another man described Mr. Wright in 
these terms: “He was trying to help. He 
was actually fighting back for the Prot- 

Of close to a dozen people inter- 
viewed in this town about 40 kilometers 
(25 miles) southwest of Belfast, none 
wanted their names used. 

Mr. Wright, 37, was a powerfully 
built man with tattooed arms, goatee and 
a piercing stare. Possessing a quick 
mind, boundless self-confidence and an 
ability to quote Bible verses, he led the 
hard-line Loyalist Volunteer Force, one 
of many armed bands that have sprung 
up among Protestants. 

For years, he lived on the run, moving 
from house to house to avoid arrest or 

* ‘I have become immune to fear, hav- 
ing lived my life in a war,” he told the 
Philadelphia Inquirer last year. 

German Elite Foresee Another Kohl Victory 

Reuters Democrats and Free Democrats to tri- 

BONN — Germany’s political, uraph, up from 32 percent in the pre- 
business and media elite expect Chan- vioos survey in September. 

: cellar Helmut Kohl's center-right co- Prospects for a coalitionfretween the 

alition tp survive next year’s general opposition Social Democrats and 
election -and govern for a record fifth Greens fell, with just 30 percent ex 1 
term, a Reuters poll showed Tuesday, peering them to team up in government 
The November survey of 243 public compared to 39 percent previously. 

. figures found that 41 percent expected The chances of a “grand coalition,” 

Mr. Kohl's alliance of Christian the Christian Democrats and the allied 

Christian Social Union with the Social 
Democrats, jumped, however, with 22 
jercent predicting they would form an 
tlliance, compared with just 8 percent 
in September. The general election is 
scheduled for next September. 

Respondents ranked reform of the 
ax system as the most pressing task, 
Followed by cutting taxes on compa- 
nies and refraining the welfare state. 

Danilo Dolci, Italian Sociologist, Dies 

Aliwrflo FuRuininfa- I 

Danilo Dolci at life social studies center near Palermo in Sicily in 1977. 


PALERMO, Sicily — Danilo Dolci, 
an Italian sociologist who campaigned 
against the Mafia and whose research on 
Sicilian fanners became a model for 
development studies abroad, died Tues- 
day near Palermo. He was 73 years old. 

He died of heart failure, hospital of- 
ficials said. 

Mr. Dolci was born in the northern city 
of Trieste, but focused his research on 
Italy's inqjoverished deep south. In the 
late 1950s, he founded a center near 
Palermo for u study of the causes of die 
meager living standards of farmers. Thou- 
sands of sociology students from northern 
Europe, in particular Scandinavian coun- 
tries, flocked to the center, where Mr. 
Dolci also spoke out against the Mafia's 
covert control of agriculture in Sicily. 

Mr. Dolci. who wrote about 20 books 
and collections of poems, was awarded 
several international prizes for literature 
and was nominated for the Nobel Peace 
Prize in 1982. 

Simone Duvalier, S3, Wife 
Of Former Haitian Dictator 

SAINT-CLOUD, France (AFP) — 
Simone Duvalier, 83, the wife of the 
former Haitian dictator Francois Duva- 
lier, known as “Papa Doc,” died Friday 
in a clinic in Saint-Cloud, near Paris, 
sources here said Tuesday. 

Mrs. Duvalier, dabbed “Mama Doc,” 
hnri lived in France since 1 986, when her 
son Jean -Claude was ousted from power 
in a coup after 15 years of role. 

Francois Duvalier became president 
of Haiti in 1956 and ruled until 1971, 
when he named Jean-Claude as his suc- 
cessor months before he died. 


Tosovsky Nominates New Czech Cabinet *£ 

The Assucuaed Press 

PRAGUE — Prime Minister Josef 

idential spokesman said Mr. Havel 
would appoint the new government Fri- 
Tosovsky nominated his government day, theCTKpress agency reported. 



nw»thlong crisis. 

Toe cabinet, a combination of hold- 
overccaBnon ministers and independent 
**1*^5.- is expected to function as a 
care *aker government, leading the coun- 
try to early elections in 1998. 

1 have asked the president to return 
te Prague as soon as possible and appoint 
new government officially. Mr. 
Tosovsky said. 

President ^ Vaclav Havel is recovering 
from, pneumonia at Lanzarote. Spain, 
and according to Czech television was 
ex P e °ed to fly home Thursday. A pres- 

v’aclav Klaus, remains foreign minister; 
Ivan Fflip remains finance minister, and 
the defense portfolio goes to a framer 
diplomat, Michal Lobkowicz. 

■ Josef l.u*. chairman of die Christian 
Democrats, keeps the agriculture port- 
folio, and Jiri Skalicky, head of the Civic 
Democratic Alliance, remains in charge 
of the Environment Ministry. 

Mr. Klaus is the only head of a framer 
coalition party who is not a member of 
the new 17 -member cabinet, which also 
includes six nonpartisan experts. 

Two weeks of talks Mr. Tosovsky 
held with political leaders were 
hampered by a rift in Mr. Klaus’s Civic 
Democratic Party, which dominated the 
previous government. Despite his ouster 
as prime minister, Mr. Klaus held on to 
power as party chairman in mid-Decem- 
ber. but some 40 of 69 deputies for his 
party in Parliament turned against him., 

Etefying Mr. Klaus as party chairman’, 
Mr. Tosovsky opted to choose his op- 
ponents in Parliament as candidates for 
the new cabinet. 

The appointments of Mr. Pilip and 
Mr. Lobkowicz were considered most 
controversial since both opposed had 
Mr. Klaus publicly and inspired the 
party rebellion against him. 


Appears cvnry Saturday 
in TTip IniPflnarLoL To adv^rtis* 
contact Cucnola Bramucri 

in our !<ondon office: 

To!.: + 44 1 71 420 0327 
Fax: + 44 171420 0338 
or your rwama IHT ofliro 
or rppmsonlalK'p. 


Johnliart/TIv WjUntPm. 

He managed to make enemies on all 
sides, most of whom eventually scored 
against him. The British jailed him. 
Rival Protestant paramilitary groups 
forced him underground with a threat of 
death, delivered by a masked man on the 
television news. 

It was apparently members of an 
armed Roman Catholic group, die Irish 
National Liberation Army, who killed 
bun. The group broke away from the 
Irish Republican Army and has rejected 
that group’s cease-fire. 

The police are questioning three 
members of die Irish National Liber- 
ation Army who were serving time else- 
where in the Maze prison near Belfast at 
the time of the shooting, around 10 AM. 

In previous years, Mr. Wright’s death 
might have passed almost unnoticed out- 
side Northern Ireland. But today, with 
violence down dramatically as all-party 
peace talks are held, the killing has be- 
come a psychological test of how se- 
riously the parties at the table really want 

Accounts of Mr. Wright’s early life 
say that he often played with Catholic 
children. But he became politicized at 
the age of 15, he has said, after the IRA 
forced 10 Protestant workers off a bus 
near his home in South Armagh in 1976 
and shot them. Mr. Wright is also said to 
have lost an uncle, father-in-law, broth- 
er-in-law and cousin to IRA violence. 

He joined the Ulster Volunteer Force, 
a Protestant militia, and quickly began a 
climb up the ranks. Along die way, he 
served time in jail, gaining the nickname 
of “King Rat,” after a World War Q 
prison camp manipulator in the James 
Clavell novel of the same name. 

Many people believe that while he 
was an Ulster Volunteer Force senior 
commander, he ordered the abduction 
and murder of a Catholic taxi driver in 
1995, in violation of a general Protestant 
cease-fire. He was also reported to be 
involved in the drug trade, supplying 
among other things die drug known as 
ecstasy, as a means of financing his 
armed bands. 

Whether his expulsion from die Ulster 
Volunteer Force was due to jealouty of 
his power or abhorrence of his tactics is 
unknown. But in any case he landed on 
his feet, reportedly creating the Loyalist 
Volunteer Force, which became known 
for drive-by shootings. The. group op- 
poses the October 1994 cease-fire by 
Northern Ireland’s two main pro-British 
paramilitary groups. 

“If Catholics are afraid of me, then I 
understand their feelings,” he told Bri- 
tain's Press Association last year, saying 
that Protestants are equally afraid of the 
Irish Republican Army. “I am a defiant 
person. The IRA does not have the will 
to impose their will on me.” 

Mr. Wright found his strongest fol- 
lowing in this town's public housing 
developments, where people often 
proudly paint their curbs in the red, 
white and blue of the British flag and 
decorate walls with slogans. 

Before his arrest, Mr. Wright was 
often seen here in Portadown. “People 
would go down on their knees to him,” . 
both out of fear and to seek favors from 
him, said one man . 

British authorities were never able to 
pin big charges on him. But this summer, 
a court convicted him of threatening to 
shoot a Protestant woman who was pre- 
pared to testily against him. He received 
hn eight-year prison sentence. Even in 
he maintained much of his in- 
using a cellular phone to keep in 
with die outside world. 

Wage Arrears Paul, 
Moscow Announces 

MOSCOW — Prime Minister 
Viktor Chernomyrdin said Tuesday 
that all wage arrears to workers in the 
Russian public sector bad been paid 
before a Jan. 1 deadline set by Pres- 
ident Boris Yeltsin. 

“The most important result of 
1997, concerning all Russians, is that 
we are finishing the year without any 
wage arrears," Interfax news agency 
quoted Mr. Chernomyrdin as saying. 

The prime minister said on ORT 
television that the government had 
nansfeiTed a total of 14.5 trillion 
rubles ($2.4 billion), including 3.2 
trillion in financial aid to regional 
authorities, which had responsibility 
for paying about half of the arrears. 

Officials said last week that the 
federal government had paid its debts 
but that some regions had still to pay 
their share. (Reuters) 



Probe Leads 
i Buildings 

GHENT, Belgium — Police inves- 
tigating a 52-year-old church sexton 
and teacher who is accused of pedo- 
philia searched buildings of the Ghent 
Roman Catholic Diocese on Monday, 
judicial sources said Tuesday. 

The man, who was not identified, 
was arrested in October. He is sus- 
pected of violent sex offenses in- 
volving about 10 boys aged 8 to 16 
years, most of them choir boys under 
his tutelage, the sources said. He also 
is suspected of pedophile offenses at 
the Saint Dominique School where he 
taught, and at summer camps. 

The object of the search Monday 
was to establish whether the diocese 
had been aware of the alleged of- 
fenses, the sources said. (AFP) 

Youth’s Death Sparks 
Clash Near Toulouse 

TOULOUSE, France — Police of- 
ficers and youths clashed early Tues- 

day when protests flared in a suburb of 
Toulouse over the death of a young 
man in a police car chase. 

About 50 rioters burned cars in 
Belief ontaine, west of Toulouse, and 
three people were arrested. No in- 
juries were reported. 

A youth was killed Monday when a 
stolen car in which he and three 
friends were riding struck a road sign 
while fleeing the police. The local 
prosecutor said Monday that the po- 
lice bore no responsibility. (Reuters) 

Problem Aboard Mu- 
Delays Space Walk 

MOSCOW — The next space walk 
by the Mir crew has been postponed 
until Jan. 8 because the team needs 
more time to work on a system that 
lowers humidity in the station, Rus- 
sian space officials said Tuesday. 

The space walk, which had been set 
for next Tuesday, has been delayed 
several times because of more press - 
ingwork inside the station. 

The deputy flight chief, Viktor 
Blagov, said the crew would be work- 
ing instead to resolve “small prob- 
lems” with a system that removes 
carbon dioxide from the Mir and 
thereby lowers humidity. He did not 
elaborate. (AP) 

Turkish Court Clears 
A Top Rights Activist 

ANKARA — A court on Tuesday 
acquitted a prominent human rights 
activist and three others of inciting 
haired in speeches made in 1996. 

“Four people were acquitted, the 
Human Rights Association chairman 
Akin Birdal among them.” an as- 
sociation official saul He said a fifth 
defendant, a member of a far-left 
party, had been sentenced to one year 
in prison for spreading separatist pro- 

A separate case against the rights 
group for alleged breach of charter has 
been adjourned until February. The 
association could be dissolved if it is 
found to have acted outside its legal 
boundaries. (Reuters) 

Serb Police Break Up 
Ethnic Albanian Protest 


PRISTINA, Yugoslavia — Riot po- 
licemen charged several hundred ethnic 
Albanian students who were demon- 
strating Tuesday in the Serbian province 
of Kosovo for the right to be readmitted 
to university, witnesses said. 

Students who had been trying to gath- 
er for a mass rally in the. center of 
Pristina, Kosovo’s capital, fled into side 
streets as policemen wielding riot sticks 
waded into them. 

Protesters later gathered in smaller 
groups and waved leaflets listing their 
demands at policemen. Some groups 
were beaten but others were unmoles- 
ted. The security forces also deployed 
water cannon in reserve after wanting 
the students that their demonstration 
would not be allowed. 

Witnesses said about 2,000 students 
were involved, and several hundred po- 
licemen in full riot gear swamped the 
town center. . 

An attempt by the students to hold a 

protest march in Pristina on Oct 1 was 
also broken up by policemen. 

The student action is part of a cam- 
paign by militant Albanians in Kosovo 
to focus world attention on their de- 
mands for autonomy. 

Ethnic Albanians outnumber Serbs by 
9 to 1 in the volatile province, which 
diplomats fear could become the next 
powder keg to explode in the Balkans. 

The students and (heir teachers claim 
they were evicted from the university 
after Serbia revoked Kosovo's auton- 
omous status in 1989. Serbian author- 
ities said the Albanians left of their own 
accord in a boycott 

The United States and West European 
governments have urged President 
Slobodan Milosevic of Yugoslavia to 
reach a compromise with the Kosovo 
Albanians' political leaders to prevent 
growing violence in Serbia's southern 
province spinning out of control. 

At least 40 people have been killed 
this year in political attacks. 

BALKANS: Doomed Generation’ Novel 

Continued from Page 1 

by the Belgrade press. 

“The novel is written in a natural, 
unassuming voice,” said Dr. Svetozar 
Koljevic, the retired chairman of the 
English department at Sarajevo Uni- 
versity. “It has the feel of his generation. 
No one in my generation could have 
expressed what happened in such simple 
terms. He is not interested in anything, in 
all these nationalist movements. He only 
cares about the misfortunes that befall 
his friends.” 

As the novel opens, it is 1991 and 
Luka and a couple of childhood friends 
are at the train station to meet a fourth 
friend, Bili, who deserted the Yugoslav 
Army when Slovenia and Croatia de- 
clared independence. The young men 
take little note of the rising political crisis 
that will lead to the breakup of 
Yugoslavia, content to chase women, 
drink and hang out on the banks of the 
Drava River, dropping hand grenades 
into the water to catch fish. They ridicule 
the frenzied Croatian nationalists who 
ir in the center of the city waving 
itian flags, chanting slogans and call- 
ing for an independent Croatian state. 

For Bili, a Slovene, the Croatian slo- 
gans of “homeland” and “indepen- 
dence” are just abstractions. l-nlca, an 
ethnic Serb, associates the word 
“ideals" with the brand name for Czech 
table-tennis balls and a popular floor 
polish. The ambitions of Greg, also a 
Slovene, and his friends can be summed 
up as: “To work as little as possible, 
have a drink from time to time, eat well 
and do the third thing” — sex. 

But the conflict around them swiftly 
begins to poison their lives. 

After shoplifting a bottle of wine, the 
young men get into a fight with the 
police and end up in jail for several hours 
with Dixie, a young Serbian farmer who 
is being held on charges of being a 
“ChetmL” The term is used to describe 
the World War II Serbian irregulars who 
occasionally collaborated with the Ger- 

After their release, members of the 
circle slip away to meetings held by the 
ragtag militias being formed by Croatian 

The daily absurdity of a war none of 
them want overwhelms the young men 
and their friends. Many look frantically 
for escape. Greg marries his girlfriend 
and goes to Thailand. Koki leaves for 
Zagreb, die capital of Croatia. 

“Krleza said we are one people with 
two national consciences,” Mr. Jokan- 
ovic said in an interview, referring to the 
Croatian author. 

“It's a kind of paranoia we suffer 
from in the Balkans.” 

Bili and Luka hear that a friend, 
Njaca, and Bisa, Bill’s old girlfriend, 
have been issued uniforms in a newly 
formed Croatian militia. The two men go 
to a bar where the local reservists and 
volunteers are organizing for war. Mosr 
in the bar are “middle-aged dregs and 
unemployed workers.” AK-47 assault 
rifles lay on the tables. 

The four friends are confused and 

“Bisa’s old man was a Muslim, 
Njaca' s was a Russian, it was certainly 
not easy for them to get accustomed to 
the role of Croatian defenders,” the 
book explains. 

Luka and Bili, to avoid the Croatian 
draft, head- for Zagreb. They stay with 
Koki, but the conflict has by now un- 
dermined their friendship. Koki throws 
them out because of their refusal to fight 
for Croatia. Luka's girlfriend, Maria, 
embraces the Croatian nationalist cause. 
This ends her relationship with Luka, 
who cannot decide where his ethnic 
identity lies. 

Luka and Bili leave Zagreb by train 
for Budapest, with Luka deciding to go 
4 ‘over there,’ ’ meaning across the border 
to Serbia. Bili goes on from Budapest to 

By the end of the novel, Luka is with a 
Serb paramilitary unit near Vukovar, in 
which looting ana drinking take priority 
over fighting. 

“The atmosphere was rotten,” reads 
one of the final passages in the novel, 
describing the post where Luka was 
serving. “Bad news and even worse 
rumors swirled about them. Everyone 
waited for someone to clean up the filth 
pouring out of Belgrade, but there was 
apparently no detergent strong 








Massacre in Chiapas 

The massacre in Chiapas has power remains to be consummated. 

But who will direct it, die state ex- 
ercising its authority from the center or 
the people reaching for social justice 
where they live? The emergence, in 
Chiapas, of an armed revolutionary 
movement called the Zapatista Nation-, 
al Liberation Army four years ago 
sharpened that crucial question. 

President Zedillo, upon taking of- 
fice, faced other tasks, and has so far 
not addressed it head on. Over his 
hesitation looms the possibility (hat 
Chiapas is less a condition treatable 
locally than the harbinger of a relent- 
lessly expanding national crisis. 

The instant requirement is to fix 
responsibility for the massacre. .That 
work is proceeding in political as well 
as legal venues. 

Beyond that, the Mexican author- 

brought to broad public view and to 
President Ernesto Zedillo’s immediate 
agenda a crisis in Mexican public life 
that be had hoped he coula hold off. 
For Chiapas is not merely the poor 
southern state where paramilitary 
groups last week took a four-hour 
toll of 45 unarmed Indian peasants 
in a single village called ActeaL 
“Chiapas” stands for the nation-de- 
fining split between Mexico's impov- 
erished and neglected indigenous pop- 
ulation and its favored modernizing 
elite. This split underlies the country’s 
whole struggle to become a modem 
democratic nation. 

Official voices suggest that the 
atrocities in Acteal were triggered by 
local or family feuds unfolding in a 
place where the writs of the nation- 
state and the ruling Institutional Rev- 
olutionary Party simply do not run. 
But more independent voices warn 
of a tolerance of violence on the part 
of a local power strucrure sustained 
by the national authorities. 

The revolution for which the long- 
ruling, party named itself was never 
completed. A further redistribution of 
economic opportunity and political 

tries must hearken to plentiful and sen- 
sible appeals for a targe rolling na- 
tional negotiation that offers roles to 
the disaffected peoples, to the neg- 
lected regions and specifically to the 
new political opposition spawned by 
earlier Zedillo reforms. The first target 
must be the dangerously encrusted 
ways of his own parly. 


A Defeat for Mutilation 

Egyptian women won a heartening 
victory for human rights and personal 
freedom this week when Egypt’s 
highest court found that the ritual cut- 
ting off of the clitoris and other parts 
of young women's genitalia was not 
an Islamic religious practice author- 
ized by the Koran. 

The ruling removed the last legal 
barrier to enforcing the Egyptian 
Health Ministry's 1996 prohibition 
of this excruciating and lire- threaten- 
ing procedure, which has been inflic- 
ted on tens of thousands of Egyptian 
women every year, Coptic Christian 
and Muslim alike. 

The Health Ministry must now see 
to it that the prohibition is vigorously 
and consistently enforced, in poor and 
rural areas as well as among the more 
worldly upper classes. 

The ruling, with which Egypt's most 
prestigious Islamic scholar concurs, 
will also encourage anti-mutilation 
campaigners throughout Africa, where 
2 milli on women undergo the proce- 
dure each year and nearly 100 million 
live with its disastrous physical and 
emotional consequences. 

Typically, mutilation is inflicted on 
reenage or younger girls, using no an- 
esthesia and employing unsterilized 
knives, razors or pieces of glass. The 

intended purpose is to deny women the 
possibility of sexual pleasure, and 
hence discourage sexual freedom. The 
unintended consequences often in- 
clude infection, hemorrhaging, infer- 
tility and riftnrh. 

Hundreds of thousands of African 
immi grants to America come from 
areas where female genital mutilation 
is common, and some have sought to 
perform the procedure in America. 
Several stares, and last year the federal 
government, have banned the mutil- 
ation, and women fleeing their home- 
lands to escape the practice now have a 
legally recognized basis for refugee 
status in the United Stares. 

But the main struggle against mu- 
tilation is being waged in Africa by 
African women, with help from the 
World Health Organization, Unicef 
and the UN Population Fund. 

In many countries these campaign- 
ers have been thwarted by critics who 
invoke supposed Islamic teachings and 
by others who charge that they are 
leading themselves to Western attacks 
on local traditions. 

This is more than a local struggle. It 
is an international movement against 
ignorance and cruelty, which can only 
be energized by this week’s ruling. 


The Kaczynski Plea 

The Justice Department’s rejection 
of a plea deal offered by accused Una- 
boraber Theodore J. Kaczynski prob- 
ably ought to be reconsidered. 

Mr. Kaczynski is apparently willing 
to plead guilty to sending lethal ex- 
plosive devices if die government 
agrees to forgo the death penalty and 
allow him to spend the rest of his life in 
prison. The government is so intent on 
putting Mr. Kaczynski to death, how- 
ever, that prosecutors will not accept 
this compromise. 

For those of us who oppose the death 
penalty, the proposed plea agreement 
would be' a reasonable outcome. But 
even supporters of the death penalty 
should see some appeal in its safety. It 
wonld remove Mr. Kaczynski from 
society forever without the uncertainty 
inherent in a trial. 

That uncertainty, of course, is lim- 
ited in this case, since the prosecution's 
evidence is overwhelming, and since 
Mr. Kaczynski — by insisting on his 
own mental health — has rendered his 
defense untenable. But, despite the 
prosecution ’s winning hand, it is not at 
411 certain that Mr. Kaczynski will be 
sentenced to death if the case goes to 
trial. It is possible, in other words, that 
the Justice Department may get from a 
trial no more than Mr. KaczynskTs 
lawyers are already offering. 

* Nor is life in prison without the 
possibility of parole a light sentence, 
one that prosecutors should be 
^shamed of obtaining. It was severe 
enough for the World Trade Center 
bombers and for various serial killers. 
The government will not lose face by 
sparing everyone the distasteful spec- 
tacle of a Kaczynski trial in which the 
central facts are not seriously at issue. 

\ One might ask, therefore, what mar- 
ginal social benefit the Justice De- 

partment hopes to accomplish by hold- 
ing out for Mr. Kaczynski’s death. 

One thing that it will certainly ac- 
complish is the sending of a chilling 
message to those — like David Kaczyn- 
ski, the brother of the accused — who 
are forced to make the agonizing choice 
of turning their family members over to 
federal law enforcement The depart- 
ment's message, in effect is that not 
only will the government use your help 
and then seek the death penalty where 
appropriate, but it will ignore reason- 
able alternatives when they arise — 
even if those alternatives are faster, 
cheaper and less risky than pursuing a 
death sentence. For people "contemplat- 
ing turning in members of their own 
families, such an attitude on the pan of 
the government could make the dif- 
ference between helping Jaw enforce- 
ment and keeping quiet. 

Executions are becoming increas- 
ingly routine. This year has seen 74 of 
them. The growing frequency of cap- 
ital punishment creates a public ex- 
pectation that death is the only ac- 
ceptable punishment for heinous 
murderers. Prosecutors who do not 
seek the penalty can look weak — 
especially if, like Attorney General 
Janet Reno, they personally oppose 
capital punishment. 

In a high-profile case such as this 
one, in which die defendant was able to 
mock the FBI for nearly two decades 
and even pnblish a manifesto, the 
temptation to demonstrate the full 
force of the criminal justice system is 
understandable. This should not be 
what is driving the department. Putting 
Mr. Kaczynski away for life and dis- 
posing of his case swiftly and justly 
would not demonstrate weakness. It 
would be a show of strength. 


■UUOI HI IM M» I*» w® 





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Cautious Science Remains the Smart Way Ahead 

W ASHINGTON — The trouble with the future, 
as someone once said, is that there are so 
many of rhem 

In 1945, Arthur C Clarke, the science fiction 
writer best known for “2001: A Space Odyssey,” 
predicted (hat artificial satellites in geosynchronous 
orbits would one day be used to relay radio messages 
around the world. Communications experts scoffed. 

The idea of such an artificial moon was still science 
fiction. It would be another 12 years before the Soviets 
would shock tiie world with the launching of Sputnik. 

- It was a brilliant insight, bat the satellites that 
Arthur C. Clarke envisioned were huge affairs, with 
living quarters for a crew whose principal task was to 
replace vacuum tubes as they burned oql 
Two years after he made his prediction, the tran- 
sistor was invented. Today there are nearly 200 com- 
munications satellites: it is a $15 billion-a-year busi- 
ness and growing. No larger than a Volkswagen, each 
satellite flawlessly relays vastly more information 
than the huge space stations proposed by Clarke, and 
they have no need for a crew. Clarke foresaw com- 
munications satellites, but not microelectronics. 

Science is a wild card. The further we try to project 
into the future, the more, certain it is that some 
unforeseen, perhaps unforeseeable discovery will 
shuffle the deck before we get there. Even though ' 
science has made incredible progress in this century, 
plenty of wild cards remain uncovered. 

Sometimes, as in the case of microelectronics, 
science provides a future far beyond anything we 
could have imagined. But science is just as likely to 
impose limits on our dreams. 

In 1618, Robert Fludd, an English physician, 
dreamed of easing the burden on formers. For cen- 
turies, water wheels had been used in Europe to grind 
flour, but many areas lacked suitable streams for a 
mill, which meant that farmers woe often forced to 
transport their grain great distances. 

Fludd’s solution: have the water wheel drive a 
pump as well as grind flour. The water that had turned 
the wheel would be pumped back up into a reservoir 
that fed the millrace. The reservoir could run the mill 
indefinitely. Fludd’s gristmill would be, in sum, a 
perpetual motion machine. 

The idea foiled, of course, but the failure led to 
one of the greatest scientific insights in history: the 

By Robert L. Bark 

conservation of energy embodied in the laws of 

In the nearly 400 years since Fludd's disappoint- 
ment, hundreds of inventors around the world have 
tried to beat the laws of themrcdynazmcs and failed. 
In frustration, and perhaps embarrassment, many 
inventors resorted to fraud, building complex devices 
with cleverly concealed sources of energy. Each 
failure, and each fraud, once it was exposed, es- 
tablished the laws of thermodynamics more firmly. 

There are no perpetual motion machines in our 
future. Science may not enable us to foresee the 
future, but it does allow os to rule some futures out. 

You might suppose, therefore, that people who 
make a business of predicting the future would im- 
merse themselves in science. In fact, they are more 
likely to immerse themselves in astrology. 

But daily horoscope writers and tabloid psychics 
are rather harmless. Their modest claims to foresee 

With each hard-won insight, 
the scientist pauses just long 
enough to plot a new course . 

the future rarely go much beyond predicting marital 
problems for Hollywood celebrities. 

Nor am I much troubled by Madame Zelda, whose 
sign bangs in the window above the deli across from 
my offipe. It simply says, “Readings.’' Zelda will 
read tarot cards, tea leaves, palms, whatever you feel 
comfortable with, and she will give you the most 
accurate prediction possible within the limitations of 
that technology. Bnt those who consult fortune tellers 
and psychics are probably beyond help anyway. 

What concerns me are the professional “futurists ” ’ 
— for instance, the late Herman Kahn, who prided 
hims elf on developing elaborate doomsday scenarios 
and on “thinking the unthinkable.’ ’ 

People who are otherwise intelligent are inclined to 
take such futurists very seriously. The further ahead 
these “experts” project their mmds, the deeper their 

. . . . r>hr m be If they think far enough 

tell you §131 the prospect 

nto towSS-Iwdl. they doit the same way 

Madame Zelda does it FutunsB wSh* ttoro 

want to hear — predictions that resonate u itn tnetr 
own hopes, or fears, or religious convictions. 

DeruusGabor. the British physicist who won the 
■ Nobefprize in 1971 for holography, once suggested 
thatif we can't predict the future, petta^ccan 

invent it. He proposed that ? 3,,,^ 

people be asked to prepare a list of po^^le fu urev 
nfr would then be up to society to dcudv demo- 
cratically which of these futures most closely twr- 
responds to the sort of world we want lo hye m.VVe 
could then design policies intended to 

Society , however, needs to know whether fot 
future we choose is actually achievable. Putting hu- 
mans on tiie moon was difficult but achievable. 
Fludd’s perpetual motion gristmill had a laudable 
objective, bar it was impossible. ... 

Science has a way of getting to the future with- 
out consulting futurists. The historian .Arnold Toyn- 
bee once explained his phenomenal productivity. 
‘'1 learn each day,” he said, “what I need to know 
to do tomorrow’s work.” Science advances in much 
the same way. 

With each hard-won insight, the scientist pauses 
just long enough to plot a new- course, designed to 
take advantage of what has just been learned. If you 
focus on too distant a goal, you may find a crevasse 
blocking your way that didn't appear on the map. 
Better to follow die contours of the terrain. 

In this journey, the futurists are simply irrelevant. 

The writer, a professor of physics at the Vniversity 
of Maryland, is author of the forthcoming hook 
" Voodoo Science" He contributed this comment 
to The New York Times. 

.1 ■ 





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Don’t Expect Socialism for Investors to Go On Forever 

hard to avoid the eerie 
feeling that the biggest political 
and economic news of foe year 
ahead will be the failure of some 
attempted giant financial bail- 
out South Korea, maybe. Or a 

By Kevin Phillips 

Thailand and South Korea. 

Of course, it could be Japan, 
which is hurting — and too big 
to be bailed out by anything but 
its own resources and fortune. 

But foe pivot may be whether 
the ultimate problem comes in 
the biggest bailed -out economy 
of all: foe United States of 
Lockheed and Chrysler, over- 
night loans from foe friendly 
Federal Reserve, portable peso 
oxygen tents, commercial bank, 
transfusion lots, a capital city 
with more influence-peddlers 
than Seoul, and shady Asian 
political donors filling the Lin- 
coln bedroom. 

The first bailouts, Chrysler 
and Lockheed back in the 
1970s, were relative peanuts. 
The big bubble pipe came out in 
the 1980s. Pan of foe action 
came from tax cuts, deregula- 
tion and electronic program 
trading that helped turn the 
global financial markets into a 
24-hour roulette wheel and 
:tronic*' Monte Carlo. 

ut a large , part also came 

from what can be called “lob- 
ster salad socialism” — the 
commitment of the major finan- 
cial nations to bail out stock 
markets, banks, central banks 
and even entire nations that have 
made unwise investments. 

The devices involved are too 
many and complicated for more 
than a one-paragraph tour: IMF 
bailouts, World Ban! 
loans, Brady bonds, peril 
floods of liquidity from the U.S. 
Federal Reserve, foe New Ar- 
rangements on Borrowing, or 
NAB, and foe Exchange Sta- 
bilization Fund. 

Small wonder that after 
nearly two decades of this eco^ 
nomic bungee-jumping, many 
banks, stock markets and Asian 
cartels started to feel invincible. 

And their colleagues in foe 
United States did, too. 

Multinational corporations 
and Texas and Illin ois banks got 
bailed out in the 1970s and early 
1980s. By the late 1980s, fed- 
eral bailout benefits had spread 
— at an eventual cost of hun- 
dreds of billions of dollars — to 
run -amok savings and loans and 
commercial banks. 

The insistence from Wash- 
ington, of coarse, was that this 
was necessary to save Mom- 

and-Pop depositors. Too often 
they were $5-mUlion and $30- 
milli on Moms and Pops, 
though, with fancy addresses in 
Nassau or foe Cayman Islands. 

Until late in the game, the 
U.S. federal deposit insurance 
honchos paid off big depositors 
— in taxpayer dollars, mind — 
with no attention to die nominal 
$100,000 limit 

Worse still, by 1992 and 
1993, when all the hanks were 
rescued and their profits and 
stocks began to soar again, 
Washington paid no attention to 
suggestions that excess profits 
taxes be imposed to recoup 
some qf_foe previous federal 
(read: taxpayer) assistance.' 

Bailouts for U.S. investors 
took other forms as well. After 
the stock market crashed in 
1987, foe Federal Reserve 
pumped out money — liquidity, 
in red-suspender parlance — to 
get the indexes hack up. Some 
traders contend that foe Fed also 
bought futures contracts. 

Then in late 1994, when foe 
Mexican peso crashed, foe Clin- 
ton administration arranged a 
multibillion-dollar bailout to 
save investors in unsafe, high- 
interest Mexican bonds. 

One of the most encouraging 

A Tragic Vision for the Nation 

By Jean Daniel 

P ARIS — The Oslo negotiators had a secret 
hope that foe Palestinians themselves could 
salute foe 50th anniversary of the Hebrew state. 
Each side was aware of having carried oat a 
revolution in attitudes and ambitions. 

A new era of cooperation was dawning 
between two young peoples, which should 
prove an example for all foe Middle East and 
the world at large. They were declaring that 
adversaries must know how to end a conflict. 

Simple, blunt and practical, the warrior 
Yitzhak Rabin harbored no illusions when he 
chose peace. The way ahead would be ex- 
tremely hard. He felt that it was on the ground 
and in people’s hearts that reconciliation could 
come, rather than at the White House. 

The general turned prime minister did not 
share Shimon Peres’s futuristic-technocratic 
image of the Middle East. He did not think 
computers could overcome prejudice. He had 
two strong ideas. First, that although everything 
cannot be achieved at once, progress must 
never stop. And second, that Confidence was 
foe only motor for moving forward together. 

All those problems that had at first seemed 
insoluble, such as the settlements or even Je- 
rusalem, would be seen in a different light when 
confidence was installed. Mr. Rabin’s implicit 
aim, the logic of his approach, pointed to de jure 
cooperation between two national communities 
and not to the de facto separation of today. 

What, right from the outset, could under- 
mine this confidence-building strategy? Only 
one thing: insecurity, and thus the extremists 
on both sides who could bring it about 
Faced with that crucial problem, Mr. Rabin 
— and no one else — invented this rule: We 
must pursue foe peace process as if there were 
no terrorism, and combat terrorism as if there 
were no peace process. 

That may not seem like much, but it was and 
remains an entire policy. It was and remains the 
only way of associating Yasser Arafat with the 
fight agaW terrorism, Benjamin Netanyahu has 
turned his back on tint policy and that goal. 

By making continuation of the peace process 
depend on foe end of terrorism; by pretending 
not to understand that the Palestini ans ’ struggle 
against their extremists could be nourished 
only by political successes won; and finally by 
presenting bursts of violence as violations of 
foe Oslo agreements, violations that he used as 

a pretext to break foe territorial promises con- 
tamed in those agreements — foe successor of 
Yitzak Rabin and Shimon Peres chose to end 
the search for reconciliation and cooperation. 

It was perverse and diabolical Playing with 
security worries is doubtless the most irre- 
sponsible of undertakings for an Israeli leader. 

Of course, this past year's 50th anniversary 
reminds us of other things, too. 

.First; foe fact , emphasized by many Arab 
politicians, that if the Pales tinians — or rather 
at that time their Jordanian, Syrian and Egyp- 
tian tutors — had accepted foe UN partition 
plan, five wars would probably have been 
avoided, and Israel would doubtless not be 
occupying the territories it now holds. 

And in half a century Israelis have created, for 
themselves at least, an impressively stable de- 
mocracy with a high standard of living. 

Thirdly, before foe. 1967 war, which led to 
occupation of Arab Jerusalem, foe religious 
dimension was as weak in the Israeli identity as 
it had been in the solidarity of foe diasporas. It 
was also weak in Arab nationalism. 

The great Zionist dream was bom not in the 
mind of a prophet inspired by return to foe land 
of Canaan but in a proud man who decided to 
found a nation because he had been refused one. 
Theodor Herzl never claimed to be returning to 
tradition, but on foe contrary to be creating 
something out of a land be thought uninhabited, 
for a people which found itself landless. 

The greatest Jewish philosopher of tins cen- 
tury, foe metaphysician Martin Buber, believed 
thai Zionism would be trulyjustified and would 
accomplish its real mission only when it 
achieved recognition and acceptance by the 
inhabitants of Palestine and Israel's neighbors. 

Doubtless Israel had to impose itself to 
triumph over Arab refusal Bnt after surviving 
by force, ithad to live in peace, 

Benjamin Netanyahu’s inspirer, Vladimir 
Jabotinsky, thought exactly the opposite. He 
thought Israel eternally condemned to foe sur- 
rounding hostility. He saw in this solitude a 
confirmation of election, and in exalted despair 
a springboard foractiqsL This epic — and tragic 
— vision of the Israeli identity is today tearing 
die Jewish nation apart, and playing into foe 
hand of Iskmism throughout the region. 

The writer, publisher of the weekly Le Nou - 
vel Observateur, contributed this comment to 
the International Herald Tribune. 

Washington developments of 
the last month is foe number of 
cynical conservatives, liberals 
and middl e-of- tbe-ro aders who 
are starting to describe this as 
just what it is: state capitalism, 
financial mercantilism, social- 
ism or maybe collectivism. 
Take your choice. 

But forget foe old definitions. 
Meaningful socialism no longer 
involves collective ownership 
of factories. That is smokestack- 
era stuff. The new financial so- 
cialism now collectivizes the 
perils of Insolvency, not foe 
means of production. 

If factory socialism 60 years 
ago worked to redistribute 
money downward, financial 
collectivism reduces specula- 
tive" u^ejhmeitf risk - ana there- 
fore redistributes wealth and in- 
come upward — what we have 
seen in foe last 15 years. 

Which brings us to foe po- 
tential politics. The first ques- 
tion: How long can market 
forces be kept at bay as bailout 
is piled on bailout? It is certainly 
possible that 1998 will turn out 
to be the year foe bubble pops. 

If so, it's a good bet that 
popping Washington party-sys- 
tem and income-distribution 
bubbles won’t be far behind. 

The ordinary citizenry, in 
both foe United States and Ja- 
pan, is starting to figure out foe 
abusive political economics in- 
volved. One well-known pres- 
idential contender, for example, 
recently complained: * The 
working and middle classes are 
endlessly conscripted, dunned 
and sacrificed — to rescue the 
investing classes.” No, not 
Jesse Jackson or Ralph Nader 
bnt Patrick J. Buchanan. 

Up on Capitol Hill a senator 
complained that, for Wall 
Street, bailouts have been “a 
heads I win, tails foe taxpayer 
loses” scenario. Senator Ed- 
ward M. Kennedy? No, Repub- 
lican Senator Lanch Faircloth 
of North Carolina- 

Three years ago, foe Amer- 
ican public was lopsidedly op- 
posed to the peso bailout, and 
the newest data suggest that 
they are no happier to have the 
United States helping to fond 
foe IMF Asian bailouts. 1 

The Japanese electorate has 
become extremely sensitive to 
having consumption taxes in- 

creased to fund rescues that they 
see as politicians taking care of 
banking and financial cronies. * 

What we may see here is the 
beginning of a new issue — • 
and. possibly, the beginning of' 
the end for bailouts and lobster 
salad socialism. 

The lobster salad part is be- 
yond debate. One recent story in 
a weekly newsmagazine noted 
that Wall Street is making so 
much money that young em-’ 
ployees are getting fired for dis- 
cussing their salaries. 

The Center on Budget and 
Policy Priorities just released 
data showing that because of 
Wall Street and financial-sector 
profits. New York State now has 
America's greatest income gap 
Between" foe rich and foe poor.; 
California is not far behind. ‘ 

This suggests an obvious re- 
form. Instead of taxpayers be-! 
ing saddled with sustaining the 1 
IMF and foe collectivized costs' 
of insolvency, it would make- 
sense to privatize these respon- 
sibilities to the banking and in- 
vestment sectors. Part" of their 1 
riches of foe last decade flowed; 
from foe taxpayer-subsidized; 
bank and S&L bailout. Now it! 
ought to be payback lime. ; 

Congress can arrange that by! 
ending the current taxpayer-- 
based IMF funding in favor of a| 
change over t o what economists! 
call an FTT — a small rax on’ 
financial transactions (stock,! 
bond, currency or otherwise). ; 

By one computation, a tax of 
one-fifth of 1 percent of foe 1 
value of each transaction in foe, 
United States would raise $20! 
billion to $30 billion a year. The; 
same tax, globally, would raise-' 
something like $100 billion,; 
paid by precisely those people 5 , 
and interests who profit from* ■> 
foe IMF’s de facto international! 

Of course, there is a chance; 
that the bubble machine can go 1 
on and on. And there is a greater! 
possibility that foe bailout bri- 
gade can puff and patch their 
way through 1998. But it is still! 
tempting to conclude that one of 
foe next major issues of U.S.-! 
politics is coming up fast 

The writer is publisher of 
American Political Report. He 
contributed this comment to the 
Los Angeles 77jti«. 





a 44 

. u«wA-< 

.teti nMM 



* ’ * Jf- -i 

1 i - 

* 5 * 


1897: Risky Interview 

PARIS — [The Herald says in 
an Editorial^ It is a dangerous - 
thing to interview foe Cuban 
commander in foe field, for he 
has always his suspicions that 
the correspondent who attempts 

foe task is a Spanish spy in cGs- 

guise, and executions are rather 
summary in the Cuban camps. 
But when Senor Sagasta’s plan 
of autonomy was proposed, nat- 
urally foe newspapers wanted to 
know what Genera] Gomez 
thought of it and sent correspon- 
dents to interview him. General 
Gomez is as .much opposed to 
annexation by the United States 
as he is to autonomy. He de- 
clares that he would favor an 
American protectorate, after he 
drives out foe Spaniards. 

1922: Candy Banned 

PRAGUE — A ban on candy 
has . been proclaimed by law to 
preserve the health of school- 

children. By forbidding the sale' 
rf sweets by other than regular 
dealers, the purchasing of candy ! 
tor youngsters is left entirely to' 

have been, 
asked to limit the amount eaten.' 

1947: King Abdicates ; 

probably wm."" mSy- 

Parma Bowbon- 

Joanna and Denmark. Three’ 

his abdicari* 6 - King bounced' 

Pf°Pte. Romania became a 

™fts u s i ipir animous 

c2K£? JP bncal circles. Mi- 

™«it to our roci^progiSs!^ 






^ ^ Modest Success in Bosnia 
For ‘Clinton Doctrine 5 

By E- J. Dionne Jr. 


W ASHINGTON —For those 
who see American power as 
a force for good in die world, it 
was a touching moment For those 
who worry that American soldiers 
will be used all over the globe to 
settle other peoples’ conflicts, it 
was petrifying. 

In Sarajevo last week. Presi- 
dent Bill Clinton asked a group of 
young Bosnians, "‘What’s the 
most important thing the United 
Slates can do?” 

“Stay!” a woman replied. To 
which a young man added: “The 
next SO years, please.” 

American troops will not be in 
Bosnia for SO years. But that 
young man summarized the wor- 
ries in Congress over the United 
States’ open-ended Balkan com- 
mitment and the cost of using 
American soldiers not as warriors 
but as peacemakers. 

Mr. Clinton had to keep Amer- 
ican troops in Bosnia, and he 
could not set a new date far their 
withdrawal because already he 
has bad to back off from an old 
date. The old date was never real. 
It was a bow to public and con- 
gressional sentiment. 

A withdrawal now would 
squander whatever good we 
Americans have managed to do. 
Polling out also would have en- 
dangered die commitment of oar 
European allies. It would be odd 
for the United States to say ex- 
panding NATO is important and 
then back out of the one serious 
mission that post-Cold War 
NATO has taken on. 

The Dayton peace accords now 
have at least a chance of working 
— but in the most modest sense. 
As a candid State Department of- 
ficial noted, Dayton is as much a 
set of options as it is a framework 
for national unity. Depending on 
what the parties to the conflict 
decide, Dayton .could lead to a 
loosely federated Bosnia or to its 
de facto partition. Either is better 
than slaughter, but it is partition 
that seems to be winning. 

Refugees find themselves stran- 
ded and unable to occupy their 
homes. There is no effective na- 
tional government. Leaders of the 
NATO forces regularly confess 
they are not sure how Bosnia will 
make the leap from the absence of 
war to the creation of peace. 

The objections to President 
Clinton's decision to keep the 
troops on the ground can be sum- 

marized under three policy- 
speak headings: “nation-build- 
ing,” “mission creep” and “exit 
strategy.” Their touchstone is the 
failure of U.5. policy in Somalia. 

“Naiion-bnilding” is said not 
to be a task for the military. 

In part, this is true. The soldiers 
on the ground are not the primary 
nation-builders. They are there to 
create circumstances in which the 
Bosnians themselves, with some 
outside civilian help, can create 
institutions of their own — es- 
pecially a political system, a police 
force, independent news media. 

Outsiders cannot create a na- 
tion if the nation does not want to 
create itself. But in this case, the 
presence of outsiders is a pre- 
condition for nation-building. 

“Mission creep” applied per- 
fectly to Somalia, a poorly 
thought-through “humanitarian” 
mission that inevitably got us en- 
meshed in local politics. All hu- 
manitarian missions, are in some 
sense political. In Bosnia, ax least, 
we know that We are op to our 
ears in politics. We do not have a 
prayer of polling off anything 
good unless we remain so. 

As for “exit strategy,” the crit- 
ics are entirely right Mr. Clinton 
admitted there was none when be 
refused to set a withdrawal date. 
This is a problem not for domestic 
opinion — die early polls show 
Americans will accept die com- 
mitment as long as fi ghting does 
not resume — but for Bosnia itself. 
The young man who wants us there 
50 years is telling us his country 
will explode absent die outsiders. 

Welcome to The Clinton Doc- 
trine. It involves avoiding war but 
using American troops in modest 
□umbers in many places to create 
space for democracy (as in Haiti) 
or to keep waning factions from 
fighting again (as in Bosnia). 

It is a doctrine that cannot be 
applied everywhere — die critics 
are right dial the United States 
cannot take on every burden. We 
will engage in some places and 
pass on others. It is thus a modest 
doctrine, and it certainly does not 
tell us what those soldiers scattered 
around the globe would do if they 
came under sustained fire. 

But in Bosnia, at least, the doc- 
trine is working in its modest and 
limited way. And that’s why Mr. 
Clinton had to keep die troops 

Washington Post Writers Croup. 

On Mushy-Left Empathy 
And an Angry Squirrel 

By Ellen Goodman 


Britain and Europe 

Regarding Blair Flunks the 
Single-Currency Test ” ( Thinking 
Ahead, Dec. 2) bv Reginald 

Mr. Dale indicates that Prune 
Minister Tony Blair's approach is 
naive and ambiguous andthat Mr. 
Blair is unwilling to make hard 
choices. His commentary is not 
based on economic principles or 
economic reality. 

Ultimately, the state of a 
country’s economy and the 
welfare of its citizens, not grand 
political schemes, most be the 
focus of a government. Econom- 
ics, not political events, must 
determine when and whether 
Britain joins the single currency, 
not vice versa. Joining a single 
currency now would bring un- 
necessary hardship to the British 

Britain is booming. The coun- 
try is providing an example to 
Continental Europe on how it 
must dismantle its welfare states 
and regulation-bound economies. 

Britain's unemployment rate 
has fallen to a 17-year low of 5.1 
percent versus 12 percent in Ger- 
many and France, 13 percent in 
Belgium and Italy and 20 percent 
in Spain. Britain is now the 
most modem of the European 
countries and the most successful 

The badly run European Union 
economies are inflicting unneces- 
sary misery on millions of people 
and stifling business growth and 
innovation. Living in Brussels, as 
I do, is like revisiting pre- 
Thatcherite England. It is infuri- 
ating to see lives and ambition 

Does Mr. Dale wish to inflict 
this “Euro-disease” on Britain 
or does be think such disparate 
economies can coexist within one 

Joining a single currency 
means giving up the ability to 
micromanage your economy. It 
means that when times are 
hard the government can drop in- 
terest rates, and can borrow to 
increase spending and soften the 
blow of economic hardship. It 
also means that in good times the 
chancellor of the Exchequer has 
the tools to slow too rapid an 

Britain would lose this ability if 
monetary policy were ceded to a 
European central bank and fiscal 
policy were determined by the 
Maastricht agreement 

With current management one 
can expect Britain to enjoy decent 
growth with low inflati on and fur- 
ther reductions in unemployment 
in the coming years. When Con- 
tinental Europe is ready to join 
Britain on an equal economic 
footing, and not before, it will be 

worth Britain's joining the single 


Rosieres. Belgium. 

About the Dog 

Regarding "Quote! Unquote” 
(Dec. 10): 

The White House spokesman's 
explanation of why President Bill 
Clinton got a dog — “a bond 
occurred” — exemplifies the pres- 
ident's decision-making style. 

Michael McCurry could have 
given any number of reasonable 
explanations for the decision to 
adopt a puppy, such as Bill and 
Hillary's desire to fill the empty 
nest after Chelsea’s departure for 

Whether the puppy is White 
House-broken is not the problem: 
the president’s impulsiveness is. 
Worse is Mr. Clinton’s tendency 
to act without weighing the opin- 
ions of his advisers. One can only 
wonder if Socks the cat was even 




The name of the writer of a 
letter from .Rome, published on 
this page yesterday, was mistran- 
scribed. It is James Swetnam. 

B oston — it’s i a.m. and 

Hazel is angry. 

She stands on my windowsill, 
front paws against the glass pane, 
eyes narrowed, hissing: “what 
the $!&% is this?" 

I feel her fury even though I 
refuse to meet her glare, even 
though I studiously continue read- 
ing my paper, even though I do not 


speak die whiny little Squiirelese 
that is her native tongue. 

The $!&% that his prompted 
her ire is the new bird feeder, 
although of course Hazel does not 
see it that way. Hazel believes 
deeply in her gut — the primary 
source of any emotions attributed 
to her species — that this is a 
squirrel feeder. 

Indeed, why shouldn't she? For 
IS months a daily cache of sun- 
flower seeds flowed from a large 
plastic cylinder conveniently lo- 
cated a hop. skip and jump from 
the tree that grows outside my 
second-story kitchen. The bottom 
of the container was a wooden 
platform for my feathered friends. 

My aviary invitation list was 
composed of nuthatches, titmice, 
chickadees, finches and sparrows. 
But Hazel regularly crashed this 
buffet line. She spent long hours 
sprawled on this wooden lounge 
dropping sunflower seeds into her 
mouth, rather like a Roman em- 
peror feasting on grapes. 

I watched her dine with a mix- 
ture of hostility and admiration. 

But when the feeder went 
crashing to the ground one stormy 
night, I replaced it with one that is. 
I am told, guaranteed to make life- 
harder for her breed. 

Now Hazel is angry. She turns 
from me, slaps the feeder as if it’s 
a punching bag, tries to embrace 
the swaying cylinder aod falls to 
the ground, only to scramble up 
and try again. 

Here is the rub. Instead of feel- 
ing victorious this morning as my 
omnivorous nemesis stands de- 
feated, I am feeling guilty. And a 
bit mean-spirited. 

I know. I know. This is the 
problem with. those of us who 
occupy the mushy left, even tiiose 
of us who call ourselves progres- 
sives. We make lousy enemies. 
We are rotten at carrying grudges 
— except of course against each 
other — and are wimpy haters. 

I ask Hazel: ‘ ‘Do you think that 
Jesse Helms would have trouble 
evicting a squirrel from his bird 
feeder?’ ’ Not on your life. 

Would Newt Gingrich wony 
that he was committing a kind 
of species-ism, favoring the 
feathered over the furry creatures? 
No way. 

Would the radio commentator 
Rush Limbaugh admit to a 
grudging admiration for the nerve 
and gymnastic skill of this 
second-story burglar? Forget it. 

Unaware of my internal 
diatribe. Hazel tries this time to 
walk the metal tightrope to die 
feeder. She slips again. 

Grimacing with compassion, I 
remember the day I named her. In 
the middle of a blizzard, out of 
seeds but not sympathy, and 
against my self-interest, I fed her 
what 1 had: hazelnuts. 

Now, retreating cowardly to the 
living room where l cannot see her 
frustration, I know that no right- 
wing think tanker would feed the 
enemy. But the mushy left is 
cursed with empathy and an abil- 
ity to see the other side — even of 
a windowpone. 

I do not mean to mix politics 
with sunflower seeds. I have no 
idea of Hazel's social views, al- 
though she has a short agenda and 
will only grudgingly share her 

Nevertheless, when 1 return to 
the kitchen some hours later this is 
what I see: a small gray squirrel 
dangling upside down, holding 
the hanger in her hind paws, cir- 
cling the feeder with her front 
paws, burrowing her nose into 
the holes, happily chomping. 
Around her a chickadee boldly 
shares the meal. 

The long and the short of it is 
that while 1 was worrying, she was 
evolving. While I was analyzing 
the problem, she was solving it. 
While 1 am Progressive, Hazel is 
pure Darwinian. 

When at long last she has had 
her fill, this most fit survivor 
drops back to the windowsill and 
the birds take up their coexisting 
post Proudly standing on her own 
two feet. Hazel leans against the 
pane, staring at me smugly. 

This is what we have learned. 
With my seed money and her re- 
sourcefulness, we'll all make it 
through the winter. Squirrel away 
that thought. 

The Boston Globe. 




0 * 

Vienna Lines Up with the UN 
Against the ‘Uncivil Society’ 

A new office has a mission to combat criminal 
elements that threaten global society. 

Michael Haupi, mayor and governor Vienna. 

“Par sue as mayor and governor, and for the 
Vienna city administration, it is a matter of 

role of Vienna and, as far as possible, to 
enhance it Looking after the International 
organizations based in Vienna, permanently 

assuring the fuhue of the UN Office at Vienna 

and, above all, getting now organizations to 
settle [here] is a major concern of mm*. The 
fact that the UN Office at Vienna Is today the 
only on* in a European Union cap ita! m ust 
surety be an advantage for the mtemational 
c om mun ity." 

— Michael Haupi, mayor and governor of 
Vienna (October 25, 1997) 

It was arguably diplomats at toe 1814-15 Congress of 
Vienna who changed toe face of Europe during toe 19th 
century and thereafter. It may well be specialists at the 
Vienna International Centre (VIC) during toe closing years of 
the 20th century who determine the well-being of civilized 
society into toe foreseeable future. 

A whole new set of ground rules govern ing societa l cond uct 
at toe world level is being formulated under toe auspices of 
toe United Nations in the Austrian capital. Hitherto hidden 
links between international crime and everyday life are being 
exposed and, ideally, countered. 

Vienna has become the location of an international crime 
prevention and human rights center owing to cooperation 
among toe UN, nongovernmental organizations and toe city 
administration. Since the VIC opened in 1979 as toe third 
permanent UN headquarters, attention has been focused on 
the work of bodies such as the UN Office at Vienna (UNOV), 

. the International Atomic Energy Agency and Unido (toe UN 
Industrial Development Organization): toe Comprehensive 
Nuclear Test-Ban Treaty Organization is a more recent ad- 
dition. The latest emphasis on crime is a response to the 
challenges of toe modem world. These are influenced by 
f aspects (both positive and negative) of the Schengen border 
1 agreement the euro currency, and globalization. 

& Kofi A. Annan, UN secretarygenerai, postulated in his 
g inaugural plan for reorganizing the worid body that it is 
imperative to combat all aspects of what he called the 
“uncivil” society. In Vienna, the only UN headquarters lo- 
cation in the European Union, his words fell on responsive 

“The same means of communication and personal mo- 
bility that make it possible for civil society actors to function 
globally also enable 'uncivil society' actors to do so,” said 
Mr. Annan ("Renewal Amid Transition” 1997). 

Mayor and Governor Michael Haupi of Vienna has pledged 
to help combat toe uncivil society in every possible way, 
whether in drug trafficking, organized crime, terrorism or 
other infringements of human rights. 

Alternatives needed 

To this end. close cooperation has been established (and is 
being intensified) with UN bodies in the Vienna International 
Centre as well as with the European Union and Vienna-based 

This Supplement way produced in its entirety by the Adiirlising 
Department of the International Herald Tribune. 

It nn 7S sponsored In : The city of Henna. 

Writer: David Hermges. based in Vienna. 

Program Director: Bill Afabder. 

NGOs such as toe International Helsinki Federation and 
Amnesty International. Of crucial significance has been the 
creation , within toe framework of UNOV, of the Office for Drug 
Control and Crime Prevention (ODCCP). It was formally con- 
stituted on November 1, 1997 , as a central body in toe fight 
against all forms of transnational crime. ODCCP has a 
massive obligation in today's worid, where an estimated one 
billion dollars in crime profits are laundered through financial 
markets daily — the stability of the world’s economic system 
could easily be endangered. 

UNOV Director-General Pino Ariacchi is eager, however, to 
keep toe matter in perspective. “The growth of organized 
crime and drug trafficking.*’ he says, “is often a response to 
toe absence of economic alternatives so we must address 
toe roots of the problem and couple legal measures with 
development aid, all the time understanding that respect for 
human rights is central to our mission.” 

The worid at home 

Precisely in this field Vienna can claim several achieve- 
ments. starting with its hosting of the World Conference on 
Human Rights In June 1993. A record number of national 
delegations and NGOs attended this conference. 

Even earlier, the Austrian capital had been chosen as the 
seat of the International Helsinki Federation's secretariat, 
which monitors compliance with the human rights provisions 
of the Helsinki Final Act. Another offshoot of toe Helsinki 
process, the Organization for Security and Cooperation in 
Europe, likewise has its operational headquarters in Vi- 

At the municipal level, the Viennese Fund for integration 
has been operating as a rallying point and advice center for 
immigrants and asylum seekers during the past five years. 
Since November 1996, toe fund has been frilly integrated 
into toe city administration under the aegis of the City 
Councilor for Integration Affairs. Needless to say, the status 
and living conditions of "guest workers” has been the body's 
prime concern. Although considerable progress has been 
made, much remains to be done so that the slogan * 'Vienna: 
Where the Worid Can Feel at Home” can apply fully to the 
guest workers. 

Convincing example 

Since immigration is a matter of concern to toe whole 
European Union, ft Is understandable that Vienna welcomed 
the EU’s offer to install the European Monitonng Center on 
Racism and Xenophobia in the Austrian capital. The center 
will be constituted next month, with a mission of “providing 
toe EU and its member countries with objective, reliable and 
comparable information on racist, xenophobic and anti- 
Semitic phenomena at toe European level” (EU Decree 
No. 1035/97). 

With the 50th anniversary of toe Universal Declaration on 
Human Rights due to be celebrated in December 1998, 
Austria will make human rights a major issue during Austria's 
presidency of the European Union in toe second half of 1998. 
A national committee, set up for this purpose, will play a key 
role in ensuring that the country sets a convincing example 
for toe whole world. 

KoGAnan, UN secretary-general (left), and Pino Ariacchi, UN 
undersecrdanhffsie^^dtedar-generd of the United Nations 
Office at Vienna. 

“One of my goals since taking office has been 
to put brio practice the reform proposal to 
make the United Nations In Vienna the driving 
force behind global efforts to combat drug 
traffickiiqL organized crime and international 
terrorism — what the Secretary-General has 
called the ‘unrivU' society. At stake is nothing 
less than the security, safety and health of 
individuals, society at large and of nations. 
The threat is to us ail. We must assume tire 
responsibility jointly.-' 

— Pino Ariacchi, UN undersec r et ar y-general 
and, since September 1997, director-general 
of UNOV, the United Nations Office at Vienna 
(October 23, 1397) 

INTERNATIONAL herald tribune. 
PAGE 10 


By Bruce Weber 

Sew K»r* Times Service 

P ITTSFIELD. Massachusetts — 
The sound of the SO amateur tap- 
pers taking at Mazzeo’s restaur- 
ant in Pittsfield was something 
like that of a stampeding herd of bison 
way off on the horizon, a rhythmic 
nimble heralding an imminent arrivaL 
It was an unlikely place for an artistic 
frontier, perhaps, an unassuming Italian 
joint with a'small dance floor in a city in 
western Massachusetts that has fallen 
on hard times. But the mass dance, led 
by the veteran tappers Jimmy Slyde and 
Dianne Walker, at the end of an evening 
of frenetic performances by local res- 
idents. held an unmistakable message: 
Tapping is out there. 

Tne occasion this month was a kind 
of community performance salon, the 
celebratory conclusion of a 12-week 
introductory tap program sponsored this 
fall by the Jacob’s Pillow Dance Fes- 
tival in nearby Becket In some ways it 
was a lesson in survival. 

Indeed, like the bison, once nearly 
extinct but kept alive by a few hearty 
perpetuators until a new herd could be 
bom, tap-dancing, a venerable American 
art form that nearly vanished with the 
rise to primacy of rock V roll culture, 
has once again become a viable genre in 
dance entertainment, both on public 
stages and in a growing subculture. 

“It never went away,” said Slyde, a 
legend in the tap-dance community who 
appeared on Broadway in ihe 1989 mu- 

sical “Black and Blue,” ablues and tap 
revue that originated in Paris. Slyde, 
who is 70. spent much erf the 1960s and 
’70s performing in Europe. “It's just 
that people's interest just kind of went 
another way for a while.” 

The resurgence is most visible in the 
success of home-grown Broadway 
shows like “Jelly's Last Jam,” “Bring 
In da Noise. Bring In da Funk,” and 
imports like “Tap Dogs,” the muscular 
rugby-style dance ensemble from Aus- 
tralia; "Riverdance,” the Irish step- 
dancing extravaganza that employs 
American tappers in its road company, 
and even “Stomp,” the wordless, in- 
ventive show from Britain that exploits 
die rhythmic capabilities of garage im- 

E lements, a kind of tap dance with 
oses, brooms and garbage cans. 

But as was evident in Pittsfield, there 
is a crescendo of toe-tapping on less 
prominent stages as well On May 25, 
die birthday of Bill “Bojaogles” 
Robinson, 32 American cities held cel- 
ebrations of national tap-dance day. 

Last summer, festivals exclusively de- 
voted to tap were held in Seattle, Chica- 
go, Las Vegas and St. Louis, Missouri. 
This winter, additional tag festivals are 
being held in Minneapolis, Atlanta and 
Ann Arbor , Michigan. 

And tberel s a relatively new form, 
stepping, aland of cross between cheer- 
leading and military maneuvers, with 
roots m Sooth African gumboot dan- 
cing. It has emerged as a craze on Amer- 
ican college campuses. 

“It's kind of like a tap explosion,” 




Escape Into 


By IV. Terrence Gordon. 465 
pages. $55. Basic Books. 

Reviewed by 
Scott Rosenberg 

M arshall McLuhan 
was the original media 
guru. He wrote voluminous, 
eye-opening and frequently 
baffling discourses on the hid- 
den workings of media — yet, 
ironically, his work chiefly 
survives via u handful of mis- 
understood sound bites. 
Everybody knows that “the 
medium is the message." and 
everyone has a different idea 
of what the phrase means. 
Everybody has heard of "the 
global village.*’ but most take 
it as a slogan for feel-good 
internationalism. when 
McLuhan had in mind far 
more specific i and disturbing ) 
ideas about reversion to trib- 
alism m the electronic age. 

In McLuhan ’s own media 
immortalization — via a 
cameo in Woody Allen's 

“Annie Hall” — he mater- 
ializes from the back of a 
movie line to correct a schol- 
ar's pretentious misinterpret- 
ations of his ideas. Yet even 
tite editors of McLuhan's 
books bad a hard time with his 
prose: One referred to his 
“often incomprehensible tid- 
al wave of ideas.” 

Understanding McLuhan 
has, perhaps, become some- 
what easier in the 17 years 
since death stilled the Cana- 
dian professor’s scattershot 
volleys of verbiage; the world 
has begun to catch up with 
some of his insights. His fun- 
damental notion, that differ- 
ent media radically transform 
the human environment, no 
longer raises eyebrows. The 
subtitle of the new McLuhan 
biography by W. Terrence 
Gordon, a linguist and former 
McLuhan student, is * ‘ Escape 
Into Understanding”; that is 
meant to encapsulate 
McLuhan's hope that he 
could help “ immunize” his 
audience against the most vi- 
olent and destructive effects 
of new media by exposing 
their invisible workings. 

Bui there is another escape 


The Nw York Times 
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taking place in Gordon's 
book — a flight from the 
dense, allusive, mosaic tex- 
ture of McLuhan’s writing 
onto duller terrain. This is a 
dutiful “authorized” biogra- 
phy, and it fails to profile him 
in foil colon it's often too 
busy defending him from oth- 
ers’ brickbats. 

Gordon is at his best as an 
informed and sympathetic ex- 
pJicator of McLuhan — both 
here and in his “McLuhan for 
Beginners,” a lively comic- 
book-style primer. In “Mar- 
shall McLuhan” he traces his 
‘subject’s intellectual lineage 
bock to his studies at Cam- 
bridge with LA. Richards and 
FJR. Lea vis; locates his affin- 
ities wife Joyce, Pound and 
Eliot; and explores other in- 
fluences such asG.FC. Chester- 
ton and Wyndham Lewis. 

His devout Catholicism 
notwithstanding, McLuhan 
chose to suspend moral judg- 
ment in his writing — he 
sought “the study of effects 
rather than the assertion of 
values.” This caused many to 
think that, as he traced fee 
decline of linear, literate cul- 
ture, he was dancing on print's 
grave and glorifying fee new 
popular media. Gordon effec- 
tively demolishes this mis- 
reading of McLuhan, who 
was always a voracious reader 
and who usually fell asleep at 
the movies. In private, he 
wasn't shy of thundering his 
disapprovals: In a letter to his 
son, McLuhan urged that his 
grandchild be kept away from 
TV, “a vile drug which per- 
meates the nervous system, 
especially in the young.” 

The trouble wife Gordon’s 
book is that it never tackles 
the hard work of reconciling 
the public images of 
McLuhan — the clownish 
provocateur, the '60s prophet 
of electronic culture — with 
its own, narrower portrait of a 



Living in the U.S.? 

Now printed in New York 
for same day 
delivery in key cities. 

To subscribe, call 

1 - 800-882 2884 

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Strehler and a European Vision 

Alro E. Sofcowlm* New To* Tana 

The veteran tapper Jimmy Slyde leading amateur dancers at Mazzeo's restaurant in Pittsfield, Massachusetts. 

America’s Tap Dancing Revival 


director of the International Tap As- 
sociation, based in Boulder, Colorado. 

Much of fee current interest, par- 
ticularly among young people, is fee 
result of high-profile stars such as 
Gregory Hines, who starred as Jelly Roll 
Morton in “Jelly's Last Jam” and the 
1989 movie “Tap.” 

But even more influential is his pro- 
t£g£, Savion Glover, 24. fee dancer who 
choreographed “Bring In da Noise” and, 
nntil his departure last July, was its star. 

T AP is growing, Slyde said, 
primarily because of Glover. 

He just put a whole other en- 
ergy into it, leaving everyone in 
fee dust,” Slyde said. 

Glover’s style of dancing has evoked 

b^^Jb the ’fiC^^^^^kwas the 
equivalent generation feat turne d away 
from tap, seeing Uncle Tom-ism in its 
tradition of shuffles and flashy smiles, 
particularly as dancers like Robinson 
were portrayed in Hollywood films. 

‘ “That’s something that did happen to 
some of us,” said Sandra Burton, a 
dance professor at nearby Williams Col- 

program. “AJSrican- American dance has 
been wounded by those stereotypes in- 
herited from the minstrel shows.” 

“The artists were hurt, because they 
seemed to represent something we 
couldn’t be proud of,” she added. “But 
fee thing about tap is feat it’s a genuine, 
vernacular form. A 

By David Stevens 

tnierKnionol Herald Tribune 

P ARIS — The death 
on Christmas Day of 
Giorgio Strehler hit 
the European theater- 
world like a thunderbolt It is 
surely the end of an era. theac-% 
er being the transient art it is, 
but he leaves .behind a per- 
manent institution and, per- 
haps more important, a the- 
atrical imagination and a 
breadth of social vision that 
has influenced many others 
who practice the same metier 
of stage director.- 
Bom in 1921 in the Trieste 
area of Italian, Austrian and 
French .forebears, Strehler 
was pan-European before the 
Common Market When he 
was named' director of the 
Theatre de TEurope, based at 
fee Odeon in Paris, he was 
quoted as saying “It is in the 
mind that Europe will be 
built, not wife the gentlemen 
in Strasbourg.” 

He founded fee Piccolo 
Teatro della Citta di Milano 
in 1947, about fee time that 
'Jean Vilar created the Avi- 
gnon Festival and revived the 
Theatre National Populaire in 
Paris. But the idea of a per- 
manent theatrical troupe hardly existed 
in Italy at fee time and now, after SO 
years, is still embattled. * 

Strehler was above alia champion of 
Goldoni, the 18th-century Venetian 
portrayer of popular life. The Piccolo 
Teatro 's calling card from the first year 
was “Ariecchino, Servitore di due 
padroni,’ ’ which Strehler reinvented as 
a nostalgic dream of commedia 
dell ’arte, Wife spring-loaded clockwork 
timing , almost balletic body Language 

Loci Bonoflte Kmoctital Prc» <I9»D 

Giorgio Strehler giving a lesson at his Piccolo Teatro. 

and a delicious mixture of regional ac- 

After six revisions of fee staging, it 
was supposed to be retired. But there is 
now a seventh edition, mainly for the 
students of the Piccolo Teatro’s school 
It is due at the Paris Odeon in March. 

Another phenomenal survival record 
for a theatrical -creation is the 1973 
staging of Mozart’s "Marriage of 
Figaro” Strehler didfor fee Paris Opera. 
RoifLiebermann, who had been hired to 

SwTreS piece of musical 

Sor was tidy toemoraWe. 

r^a^Teaoge director 
KS town. Yet sometaw 
toyed at the edges and wtth 
EdofTigerio's sets rejigged 

M fit omo to Bastille stage, 

Sif-^aro" has survived 
bog enough to be the 
production of this seasou- AjU 
operatic production diat lasts 
24 years in any shape is al- 
most unheard of. 

Benoit Brecht was another 
Symbolically enough Brecht 
spent his 58th and last buth- 
dayat the Piccolo Teatro for 
the opening night of 
Strehler 1 s production or 
‘The Threepenny Opera, a 

work he came back to re- 
peatedly, along with most of 
theaufeor’s major and minor 
works. . 

For 10 years, from fee nud- 
•60s, Strehler was a presence 
at fee Salzburg Festival. His 
enchanting production of 
Mozart's “Abduction From me 
Seraglio” was on the bill every year ana 
his two-part adaptation of Shake- 
speare's early three-part ‘ Henry VI 
was a milestone in modem presentation 
of fee Bard. The relationship with the 
festival ended after a 1974 production of 
“The Magic Flute,” with Herbert von 
Karajan conducting, misfired. Never- 
theless it is remembered by many as a 
beautifully introspective realization that 
disappeared prematurely. 

m/ l^ vl 
grit’s Us 



That Was the Year That Wasnt 

By Sheridan Morley 

International Herald Tribune 

dedicated, iconoclastic schol- 
ar. Mostly, the book ignores 
the public images entirely — 
but, in omitting them, it also 
leaves out any broader pic- 
tures of fee era in which 
McLuhan’s ideas were first 
embraced. It is, to use 
McLuhan’s terminology, all 
"figure” and no “ground.” 
It is a fact that somehow, 
this polymathic student of lit- 
erature — whose dissertation 
on the Elizabethan writer 
Thomas Nashe delved into the 
minutiae of classical rhetoric 
— morphed into a celebrity 
chatting on the David Frost 
show about television as an 
“inner trip.” The book not 
only foils to account for the 
transformation, it also acts as 
though there were none. In- 
stead, it hunts down slender 
intellectual threads to tie to- 
gether McLuhan’s contrarian 
passions and heterodox ideas. 

F OR all his internal con- 
tradictions, McLuhan re- 
fuses to fade, and he' is ex- 
periencing a revival among 
students of fee increasingly 
pervasive digital media. 
McLuhan's insistence that we 
step out of the media bath and 
see it for what it is keeps 
getting timelier. 

McLuhan defined com- 
iters as “extensions of the 
liman central nervous sys- 
tem." In a 1959 letter, years 
before fee Internet, he pre- 
dicted: “When the globe be- 
comes a single electronic 
computer, with all its lan- 
guages and cultures recorded 
on a single tribal drum, the 
fixed point of view of print 
culture becomes irrelevant 
and impossible, no matter 
how precious.” 

Scott Rosenberg, 'senior 
editor at the Web magazine 
Salon, wrote this for The 
Washington Post. 

L ONDON — Annus hombilis. 
Right, then, let us just survey 
the battlefield, and this at the 
end of a year feat I remind you 
brought us a supposedly aits-frxendly 

Covent Garden: board resigned, 
builders in, touring and interim plans a 
shambles. Old Vic: for sale, Peter Hall 
forced out, no sign of a likely buyer. 
Chichester director resigned, board 
told to do likewise if they wish to see 
their theater open at all in *98. Sadlers 
Wells: builders in residence. The Gate 
and fee King’s Head: grants -slashed, 
likely to close in April Greenwich: 
grant slashed, no longer to have a res- 
ident company. Coliseum: English Na- 
tional Opera effectively closed down, 
will move to Co vent Garden on time- 
share basis wife Royal Ballet, that’s if 
there still is a Royal Ballet 
Any other aits problems? Museum 
charges likely, an overall cut in fee 
Treasury grants of £35 million, the Brit- 
ish Rim Institute cut by another £1 
million. National Heritage cut- by £3 
million and fee British Library by £5 
million. Official government forecasts 
now indicate that fee arts will lose a 
farther £50 million per year until at least 

Given that a combination of Nero and 
Caligula would have been hard pressed 
to do more damage to fee arts in Britain 
this year than Chris Smith and his merry 
butchers from fee Treasury, it is some 
kind of miracle that we still have any 
theater at aU, let alone one as strong in 
both plays and productions as this year 
has seen. 

The invasion of new Irish plays con- 
tinued to tie overwhelming, but mis was 
also the year that gave us major new 
work from Tom Stoppard (“The In- 
vention of Love,” a tender and brilliant 
account of the poet A. E. Housman at 
Oxford and after), David Hare (“Amy's 
View,” about to transfer to the Aidwych, 
a wondrous account of the loneliness of 
fee actor from a writer who also gives us 
next year a new play about Oscar Wilde, 
“The Judas Kiss,” and a revival of his 
“Plenty”), and Patrick Marber 

(“Closer” a- 
'90s, in which four people find them- 
selves unable to live apart or together). 

The fact that all three of these modem 
classics came out of Richard Eyre’s last 
year at fee National gives some in- 
dication of fee class act feat Trevor 
Nunn now has to follow, though wife 
the Royal Shakespeare Company still in 
meltdown and most other classical 
companies shutteredfor lack of funds, at 
least he doesn’t have to worry too much 
about the competition. In fee commer- 
cial West End, it has been -a year of 
political documentaries more notable 
for performance than writing: Conn 
Redgrave and Amanda Donohoe as fee 

Given the financial 
climate , it is a miracle 
that we still have any 
theater at alL 

Duke and Duchess of Windsor in mur- 
derous exile; Edward Fox as Harold 
Macmillan at fee time of Profumo; Mi- 
chael Gambon as Tom Driberg and Alec 
McCowen as Clement Attlee at Pots- 
dam in 1945. 

Madaine Tussaud herself couldn’t 
have had a busier season, while in re- 
vivals, fee performance of the year for 
me was John Standing as the semi- 
detached husband in Edward Albee’s 
“A Delicate Balance” at fee Haymar- 
ket, one he is still giving in fee face of 
immensely tough female competition 
from Eileen Atkins and Maggie Smith. 

Then again there were two sterling 
productions of “King Lear,” Ian Holm 
in the intimacy of the National’s 
Cottesloe stage (Eyre again) and Alan 
Howard in the more classical surround- 
ings of fee Old Vic, where Peter Hall 
had a truly wondrous year, from Felicity 
Kendal in. “Waste” to Ben .Kingsley 
and Howard in “Waiting for Godot” 
The rumens are feat Bill Ken wright win 
take the Hall company into the Pic- 
cadilly for a residency, so all may not be 
lost on that front at least. 

As Broadway comes bade to life for 

the first time in a decade wife half a 
dozen major new .musicals, fee life 
seems fast to be ebbing out of them over 
here. After a valiant two-year fight, 
Cameron Mackintosh has finally aban- 
doned fee struggle for “Martin 
Guerre,” though I still believe its classic 
status will be recognized fee first time 
anyone has fee courage to revive it, and 
while we await one of Andrew Lloyd 
Webber's best and most unusual scores 
("Whistle Down the Wind,” due into 
fee Aidwych at midsummer after an 
unhappy start in Washington last year), 
there has been precious little else of 
note. “Maddie” was “Blithe Spirit" 
wife songs but alas without fee jokes; 
“Always” was a dire attempt to do the 
Abdication in Ivor Novello style, and 
the first London staging of fee Hart- 
Weill-Gershwin “Lady in the Dark” 
was sabotaged by a catastrophic pro- 
duction and some fatally misguided 
central casting. I fear we may never get 
to-see feat show again in a major stag- 
ing, and tile irony is that after 50 years it 
has still not been given its due on tills 
side of fee Atlantic. 

From New Yak, whence hopefully 
we shall soon be getting “Titanic” and 
“The Life” and Paul Simon’s “The - 
Capeman” as well as Hal Prince's 
somewhat top-heavy “Showboat,” also 
came fee hugely overrated bandstand 
revival of 4 ‘Chicago” and a fascinating 
if flawed “The Fix.” Not that we can 
afford to be smug or critical any longer 
as regards our musical supremacy: A 
London theater that in one year man- 
aged jo give us Cl iff Richard as “Heafe- 
cBflff,” “Summer Holiday” and “The 
Goodbye Girl” is in no state to boast 

A GOOD year for young direc- 
tors, and I haven’t even the 
space to do more than ac- 
knowledge the greatness of 
Sian. Phillips in a virtually solo “Mar- 
lene” and Claire Skinner in Sam 
■ Mendes’s superbly filmi c “Othello:” 
Oh yes, and on the night Mendes opened 
a strong “Front Page,” it was an- 
nounced (hat his Donmar Warehouse 
would be losing its subsidy a year ahead 
of schedule because of a change of 
sponsor-management. At least 1998 
can't get much worse; or can it? 



i Use a postscript 
4 Turkish Empire 
9 Sail extender 
14 Place to do 

is Island 

18 See 31 -Down 

it Campus 

is Workaholic's 

tt Greet the villain 
si Land of 

22 Sites for rites 

23 Exaggerate 
2S Soft cheese 

ae Gaunt 

27 Hardly 

28 Nourished 

31 Marine 


as Ancient theaters 
38 Man ol the casa 

37 1 982 Sd-fi flick 

as Cargo 


40 "Don't You 
Know* singer 

41 Where Mindy 

42 Fine things? 

43 AttO 

44 Pituitary 

• hormone 

46 In 2S words or 

Solution to Puzzle of Dec. 30 

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smug nanaa anna 
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mao sasnciaaa 
□ linns naannaao 
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HBHHHaoB aaaaa 
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□□□□SaaOHSU E3HE3Q 

H0am aaasa □□□□( 
Hams qhqhh mama 

48 *My pleasure!" 
« Unfruitful 
82 Drone, e.g. 
sa Seasoning 

ss Muldaur 's ‘ 

se Tombstone 
97 Former SAG. 

SBSC.say: Abbr. 
sa Chew the 
eo cooper rale 
ei Fteur-de 


1 Way out 

2 English cattle 

a Escaped con's 

4 city liberated by 
Joan of Arc 

5 Unlikely 
nickname In the 



7 Mid east’s Gulf 


8 Classical start 

9 Military 

10 Chatter 

ii First name in 
country music 

12" OUt?"- 

ia Crewmen 
ia DeU dweller 

24 Yankee junkball 

28 Crunchy salad 

27 Walche* 

29 Clinton chafe 

29 Passion 
so Unhot force 

21 With T 6- Across, 

where the 
Pistons used to ‘ 
play - 

32 Skunk's defense 

33 Not o’er 

34 Inscribed pdlar 
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ae What some 
folks cant 

tote rate 
40 1884 Super 

Bowl champs 

43 Did comparison 


44 Skillful. 

48 Pickle juice 
4« longtime SAC 

47 "The Winding 
Stair" poet 

48 Exuberance 
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CAGE 11 


Reed Elsevier’s Clout 
Worries Its Customers 

Academics Rebel at P ublisher ’s High Prices 

By Kenneth N. Gilpin 

JVrw- font Times Service 

N EW YORK — It must have 
been an extraordinary scene: 
On Dec. 1, the president of an 
Important subsidiary of the 
world's biggest publisher of academic 
and trade journals, the purveyor of what it 
likes to call “must have” Information, 
was politely but firmly cold by an im- 
portant client that “must have" had be- 
come “can't afford" and “don’t need." 

Russell White, president of Elsevier 
Science Inc., a division of Reed Elsevier 
PLC, the British-Dutch giant, told a 
group of professors from Purdue Uni- 
versity that the prices of the 350 on-line 
publications that now supplement the 
company's list of 1 ,200 -scientific jour- 
nals could be locked in for three years at 
an annual increase of 9JS percent 
But Purdue was unwilling and fisc- 
ally incapable of absorbing anything 
close to that sort of rate rise, the pro- 
fessors told him. Moreover, they said, 
the quality of what they were getting 
was not worth the money. 

Even before Mr. White's visit 
Purdue, which spends more than $1 
million a year on Reed Elsevier jour- 
nals, had canceled 88 of the 803 tides it 
once received. Among those axed: 
Brain Research (an annual subscription 
costs $14,919), Mutation Research 
($7373) and Tetrahedron With Tetra- 
hedron: Asymmetry ($8306). 

“Reed Elsevier journals tend to be 
second- and third-tier publications, 
which range from the acceptable to the 
terrible." said Marc Loudon, a pro- 
fessor of medicinal chemistry at Purdue 
who attended the meeting. “None are in 
the top tier in chemistiy, biology and 
biochemistry, the fields I read in. If we 
lose Elsevier journals in those fields, we 
will be O.K. 'Why do we want to buy 
garbage at a 9.5 percent price in- 
crease?” he asked. 

The academic world is not the only 
place where there is mounting concern 
about Reed Elsevier, which has em- 
barked on an ambitious expansion, pro- 
gram. Much of the worry stems from the 
announcement in mid-October that 

percent price in- 

Reed Elsevier would merge with 
Wolteis Klawer NV, a rival Dutch pub- 
lisher that Reed had once made an un- 
successful hostile effort to acquire. 

The combination, which is being re- 
viewed by both European and American 
regulators and may face similar scrutiny 
in New Zealand and Australia, would 
create the world's largest publisher of 
professional and trade journals, with 
estimated combined 19w revenues of 
$8 billion and a stock-market capit- 
alization of $30 billion. 

Reed Elsevier's aggressiveness has 
certainly bred some resentment. The 
meeting at Purdue was, if not a turning 
point, at least a singular moment in the 
global publisher's relationship with one 
of its core markets. 

It is common to have academics, par- 
ticularly those involved in scientific and 
medical research, vie to have their work 
published in journals like those owned 
by Reed Science. 

For the professors, the aim is to en- 
hance knowledge in their fields and 
further their own careers in a universe 
where “publish or perish" has been a 
maxim fyr most or this century. The 
competition is so great that Reed de- 
mands, and gets, copyrights to the ar- 
ticles from the authors, and in most 
cases pays them nothing. 

“There are those of us who would 
sell onr souls," said James Perley, a 
biology professor at the College of 
Wooster m Ohio and the president of the 
American Association of University 
Professors. “Oftentimes,- publication in 
prestigious publications wins tenure, 
because organizations like universities 
like prestige." And professors pub- 
lished in those journals want to be sure 
the journals -are in the university li- 

“We bave some outstanding brand 
nam es with some really good articles of 
interest to scientists and researchers 
throughout die world,” said Mr. White 
of Reed Elsevier. 

The proof of his claim would seem to 
be in the company’s track record with this 
market: Universities and research librar- 

See REED, Page 15 




American Journal 
of Surgery 

Journal of the ’*^ 
American College 
of Cardiology 

Obstetrics & 

The Lancet 

Specialists In Their Field 

Most of the research journals published by Reed Elsevier have circulations 
between 500 and 1,200. The four highlighted titles cany advertising, so 
circulation figures are publicly available. 

Source; Reed Barter The New York Times 

New Signs of Cooling 
In China’s Economy 

Growth Slips in *97 to SlowestPace in 7 Years 

BEDING — China’s economic per- 
formance in 1997 showed concrete 
signs of slowdown Tuesday, with the 
State Statistics Bureau revealing lower- 
than-expected growth through Novem- 
ber and Beijing introducing tax breaks to 
reverse a decline in foreign investment 
Gross domestic product for the year 
will show an 8.8 percent increase com- 
pared with 9.7 percent in 1996, the 
bureau said. The 1997 rate would be the 
slowest since 1990, as falling invest- 
ments in new factories and sluggish 
consumer spending offset a surge in 

The Minis tty of Foreign Trade said 
late Tuesday that it would resume tax 

joint ventures and domestic companies 
for their own use, starting Thursday: ■ 

Wu Yi, the minister of foreign trade 
and economic cooperation, said that 
taxes would remain on certain listed 
items to discourage low-technology 
projects, according to a report by the 
official Xinhua press agency. 

China withdrew the tax breakin April. 
1996, after which foreign companies es T 
Unrated their costs of setting up a busi- 
ness in Chinarose an average 28 percent. 
Removal of die tax exemptions are partly 
behind a precipitous fall in contracted 

foreign investment, which fell 33 per- 
cent in the first 11 months of this year. 

China’s economy — still one of the 
fastest growing in the world — will 
probably keep cooling next year, 

prompting speculation that die central 

bank will cut interest rates, as it has 
three times since May 1996. 

“In the coming years, the external 
environment will continue to de ten or- 
ate,” said Dong Tao, an economist with 
Schroder Securities Asia Ltd. “And it 
will be more difficult to raise capital 
through the Hang Kong market and B 
shares,” shares of state-owned compa- 
nies available to foreigners. 

A spokesman for the State Statistics 
Bureau played down the projection of 
reduced growth, saying that China’s 
growth remained healthy compared with 
the troubled economies of its neighbors. 

“The question is how to improve 
e f fic i ency," the spokesman said. "We 
are not aiming for High growth. We 
think 8 percent is sufficient" 

At die start of the year, the State 
Statistics Bureau predicted 10 percent 
growth. In October, it gave assurances 
that the figure would be no lower than 9 
■percent But performance in the third 

See CHINA, Page 15 

French Unemployment Slips 

EJwnl Krting/TTn New York Tara 

Mr. Stapleton, the company’s co-chief executive, sees more acquisitions. 


PARIS — France’s jobless rate last 
month eased to 12.4 percent, from 12.5 
percent, its first decline since July and 
the first time the rate has been below 
123 since September 1996, the Labor 
Ministry said Tuesday. 

Economists said the small, steady de- 
cline in unemployment since the sum- 
mer was a sign the economy was pick- 
ing up steam and had begun to create 
jobs raster than die labor force expan- 
ded. They cautioned that future declines 
in unemployment would probably, be 
slow, leaving France with a rate well 
above II percent at the rad of 1999. 

The pace of die decline lags other rich 
industrial nations because of the high 
cost of labor and rigid working practices 

in the world’s fourth-biggest economy, 
economists said. Unlike the United 
States and Britain, where the jobless 
rates have dropped to 4.6 percent and 
5.1 percent, respectively, France has 
struggled to create jobs even as growth 

The Labor Ministry said the number of 
jobless in November dropped by 9,000, 
or 03 percent, to 3, & 4,600. Offers for 
temporary and casual jobs represented 
half of all jobs offered in November, 

ministr y H«ta showed, indicating that 

companies were still reluctant to hire 
full-time permanent employees. 

The news came as unemployed work- 
ers have been occupying unemploy- 
ment offices since early December. 

( Reuters . Bloomberg J 

IBM Passes Another Cyber-Milestone 

Now 10 Billion Bits of Data Can Be Stored on a Single Square Inch 

By Lawrence M. Fisher 

New York Times Service 

NEW YORK — EBM announced desktop and laptop computer users that increase has come about through im- 
Tuesday that ir had broken the mag- have spoored the disk-drive industry on provements to magnetic heads, disk 
netic disk-drive storage barrier of 10 to record densities. surfaces and the mathematical codes 

billion bits of data a square inch. Downloading graphic images from that govern the drives. 

The company said the new tech- the Internet or loading CD-ROM * ‘IBM’s been the company that has 
noloey would appear in products in games to the hard disk for faster play instituted most of these gains," said 

high-speed supercomputers and huge hard disk-drive industry’s ability to 
mainframes, in recent years it has been increase storage density by about 60 
the ever-increasing demands of percent every year since 1991. This 

2001 . 

LBM passed the 1 billion 
bit level in April 1996. Like 
that advance, the new tech- 
nology will first be used in 
2.5-inch. nonremovable 
disk drives intended for use 
in portable computers. At 
this size, a single-platter 
disk drive would be able to 

At the new density, every square inch of 
disk space could hold more than 725,000 
double-spaced typewritten pages, or a 
stack taller than an 18-story b uilding . 

Tim Porter, president of 
Disk Trend, a market re- 
search firm based in Moun- 
tain View, California. 
"The rest of the industry 
has been a bit behind IBM, 
and yet they’ve done quite 
well," he said. 

He added that he expec- 
ted the company to ship 

aisK anve would oe aoie to tea tne company to snip 

hold 63 gigabytes of data, making uses up vast amounts of storage ca- product in 2000, not 2001, at least six 
possible ultraslim laptop computers pacity. months before any competitor. “It 

dial would nevertheless have vast sior- “Demand for storage is essentially gives IBM the opportunity to sell a 
age capacity. A 33-inch platter would insatiable; it's only budgets that are product mix with a little bit better profit 
hold 1 2 to 13 gigabytes. finite," said Currie Munce, director of margins,' ' he said. 

A gigabyte is a billion bits, equiv- storage systems and technology at EBM introduced the world's first 
alent to 62300 double-spaced, type- IBM’s ALmaden Research Center in disk drive in 1956, with 5 megabytes of 
wrillen pages — which would be 21 San Jose. California. “As we get more storage at a cost of $10,000 per mega- 
fee i tall if stacked. At the new record mobile, and expect information at our byte. Over the last six years, the av- 
densitv — actually 11 .6 billion bits per fingertips, we're going to be more fo- erage data-storage capacity of disk 
square inch ( 1 .8 billion bits per square cused on our data, where it's stored and drives sold worldwide has increased 
centimeter) — every square inch of how we get access to iL“ 18-fold, while the price per megabyte 

disk space could hold 1,450 average- The computer industry is commonly of such capacity has dropped 52-fold, 
sized novels or more than 725,000 said to be driven by Moore's Law: the according to Disk Trend. 

double-spaced typewritten pages, 
which would make a stack taller than 
an lS-sioty building. 

While in the past such advances in 
storage technology were driven by 

observation by Gordon Moore, the co- Average disk-drive capacity in 1991 
founder of Intel Corp., that the number was 145 megabytes; in 1997, 2.65 
of transistors on a chip doubles every gigabytes. Average disk-drive cost ] 

IS months. 

But it has also been driven by the 10 cents. 

megabyte in 1991 was $5.23, in IS 



Cross Rates Dec. 30 

i 1 tut FI. lira M IX IF. Yta Q Peril 
Amsterdam ?01B IKS I.L271 Ulffi MM* — IMS' IJH7 LB43' IASS I3JIS* 

Bmseb 31335 413 sa LltS 2.IBB* 1UJB — BSSH 2554 US' 

Frankfurt I.U IX — flaw S.1RT 88874 4*7S‘ 12BS IJU* \2*& 1JIM* 

London to) \m — Wn MJSWUTO 13M fl.lW UfS 2UM7J 23811 OT-lffl 

Madrid IS1KE 251 JD MAK 33M UZ3* 75 . 11 s 4.WJ7 lOUk 117072 1 ■ 105451 — 

Milan 1 mu yum auj sw — pim ax ucuo 11571 uzus iijoi 

Now York CO) — 1J540 IJBS 5JS7 JJ5M0 28U7 K92 145C ULU MSI 15TJ7 

Pare i39si mbs mss — our zmk use im um< 1101 msb* 

Tokyo 1=11] 71715 7J47 21JI 0.739 US 15219 9179 — MS 0BW 

reroute U3Z7 1S7 OMU 0237] OBIT 17183 0301' SOS 1.1007- — 0M' 

Zurich T.4SB 2® flJlU UC4 UE7* U2R MB' — 11271* Hill AM” 

1 ECU 1 1(33 (ted 1.7741 &4135 l.MUS um Aim 14U U2M 1JB7 147124 

i son isd atta no itsi 2 jojB vat am ijmw im* mdi nun 

Oosuvs * Amsterdam London Mika Paris and 2wletL Hi titer centos New York mbs 

at 4 PM and Tanmto ratesalJ PM 

j-Totwane pound 6. To buy am doBac 'Unfa ot Ittt N.Q.: not auahnt NjS. nol avertable. 

Other Dollar Values 

Cvmocy Pars 

Anjont.prw 0.9993 
Australians 1JS314 
Austrian Mil. 12(12 
BncUreol UK 

OiMseydon BJi 
Credi koruna UZ8 
Oontah knx» 4 8285 
Egypt, pound 33935 
FtiLmatha 5.-C65 

Forward Rates 

Crook arat. 
Hong ICengS 
Hung, forint 
Indo. rupfoh , 


Malay, ring. 

Mat. paw 
N. Zealand! 
Nona, torn 





Saadi riypf 


I C Witney 3Moy 40-day 9Uay 

\ Pooni Storing 1.4558 1.6535 1A511 

Canadian dollar 1.4348 1.4359 U349 

Deutsche mark 1.7879 1.7868 1.78*0 

Stood. MM 
Taiwan S 
Thai Mil 
Turkish Bra 

Veaez. baft). 

M-day Itotay May 

Japdnauym 12S.93 I2B34 127.75 

Swiss franc 14500 14457 14416 

5ourm IHC Bank t Amsterdam!: Cm investment Bank (BrvsseWs Bona CanmerdOte 
ttdto « fUMr*'.’ Banaue ae ffflm (Pans!: Bank at Takyo-MituMsM (Tokyo); Rem! Bank of 
Canada { TemrM: ifAF i SDR} cmieroala knot the AMtackHed Press. Bloomberg and Reoten. 

Li bid -Libor Rates Dec. 30 

Swiss Franck 

Dollar D-Mark Franc Sterling none YU ECU 

1 -month 5*ta-» 3*t-3fe 1V*-1V» TV*-TY* 3Jk-3M ft- 1 4V* - 4V, 

3-month 5tt-5te 39W-3M lM-lV* 7V»-7V» 340-3VW 91-1 4U-4VW 

A-monltl 5iM*-51tei 34TU-3M tft-thl TV* ■ 7ft 38% . 51-1 4?k-4h 

l-yeor •wto-SWuaan- 3di» u*-iteb 7ft- 7ft 3ft-4 u-ft «-4te 
SOwces; Revten Uords, Bank. 

fiptaj oppBcaUa la Interbank deposits of St mBHan minimum (oraqukroleuf. 

Key Money Rates 

United Slates Oou 

Discount rote 5.00 

Primo rote Bvi 

Fodond funds 5ft 

90iioy CDs dtoteis 548 

lBO-doy CPdntera «8 

3-omtfa Tnotwy bin s J5 

1-y*flr Traowry Ml 536 

J-roorTraosoryb* 5.71 

Sgoor Tiwnory note SJ6 

7-VMrTramryMte 5.78 

KMwwTrwaonr note 580 

3JHw Treasury 6cad 5.97 

MorriU Lynch iO-doy RA 5.15 


Discount rote 050 

CdSounoy 039 

1 -month interbank 095 

5- noaSi Wortonk un 

(-month in te rbank 1.10 

KMtedT G«rt bond 1.94 


Lombard rale 45 a 

Cnaanway 460 

lmooth bitemmk 3-50 

3-awnth Intertiank 165 

6- monTh Htarhonk 177 

10-yoar Bund 533 

Bank ban rata 
Cal moooy 
1 -month Interbank 
3-awnth Interbank 
AHnonflr Interbank 



IfltermSan rate 
3 -u w nHr hdortwnk 

716 7ft 
7ft 7ft 
7VJ 7ft 
Tf* 7*4 
7ft 7ft 
025 630 

UT 330 
3ft 3ft 
3ft 3ft 
3ft 3ft 
3Vo I'Ve 
535 535 

lOriWOrOAT 535 5-25 

Sourer*: Rtutera flhmnbm ManK 
Lynch. Bank ot Tokyo-Mltiublshl. 
CaamuzbanK CncBt L/cmnab. 

AM. PM. argil 

Zurich 29130 29035 — 2-45 

London 29090 29030 —085 

NtwYat 29230 29140 -030 

US-doBon pgr ounce. London offkM 
Odnox Zurich and New VUrtaponfirp 
amf doting prices New YotkCamex 

Somes: Revten. 


Global Private Banting 



HeaJtftuarlm of Republic 
Natione! Barrie of Nate York 1 
(AeieeeJ Sul. m (jrano. 

Tkere are as many formulas for success 
in business as there are businesses. Republic's 
formula bas a time-tested advantage: 
it worbs. 

It is based on a carefully balanced 
approach that puts client security first 
We maintain one of the strongest capital 
Republic ratios in our industry, a high degree of 
0”™. operating efficiency and a relatively 
small loan portfolio. All of which 
result in credit ratings that are AA. 

Conservatism, however^ is only part of the 
Republic story. We combine safety with a dyna- 
mic policy of global expansion, as well as an 
enlarged offering of investment opportunities. 
Moreover and very importantly, a quality of 
client service that is truly exceptional. 

Strength, security, service 7 the "open secret" 
of Republ ic success. It provides what- so many T L 

people, everywhere, want and need in a private R N^t\ 

VorU UeaJriuarteri of 
Rapublic National Baub of 
New York in Net r York. 

fH Republic National Bank of New York- 

Strength. Security. Service. 

A Stfn Bonk ■ New York • Ocnra ■ London • lidiin^ - Beirut . Beverly H& - Ibetw Aim • C-ynwo ULml# ■ CopenWn - LUrJur 
(jumiaey ■ I 'otijf Kon^ ■ |>Mutl * Loe Aitftew* ■ Lugano • I JurmLourri • Menib - Mexico City ■ Miami • Milan • Monte Carlo-- Monlerulm 
Montreal » Moaonw ■ Njwu ■ I’ari* ■ IVfHh ■ PunLi del futii * Kio tt laooiro ■ Santiafk> ■ SiRftepow * Sydney • Taijiei - Tokyo • Toronto ■ Zorich 

c R-ixiMit- Njii-wJ Ktnii , J ,\v» V,ifL lUUfi 


PAGE 12 

30~Year T-Bond Yield 

! - 5fl) ^ 

J A S 0 N D 

' J A S O N D 

17** Dew- v • .' -* ':4aisast- V mZA\ : 


Toronto- •'.• 'TSElndax. • , -^ - 

SfoPwito • SOtfBgpft : '•'"" '. 1Ql96.SS-t00Sl.87' »t54 ; 
Weateotaty Bofea -. ' / .- - • 5205JS&' ’S^AT^^jz: 

jjjgjjjjt A^ifervat- • 

Santiago IPSAGgnfera* . ~ 47BT.52 4m04;';.^^g . 

Caracas Cap83J General. . 8504325 83£&87 : : '+1.74 

Source: Bloomberg. Reuters bnmatioml Herald Trlbcnc 

Very briefflys 

• Packard Bell NEC Inc officials denied a report that the 
computer maker, based in Sacramento, California, will fire 
1,000 workers, Nikkei English News reported. 

• Fidelity Investments, the big U.S. mutual fund company, 
plans to disclose the net assets of its individual mutual funds 
on a monthly basis, instead of daily, amid concern market 
speculators are misusing the information. 

• United Parcel Service of America Inc will increase do- 
mestic air express services by about 3.3 percent, while rates 
for standard ground commercial shipments will rise by about 
3.6 percent. The rate increases for most U.S. domestic services 
will take effect Feb. 7. 

• ACNi risen Corp., the U.S. consumer research and analysis 
company, plans to consolidate and streamline operations, 
primarily in Japan. 

• Reuters Holdings PLC’s shares rose on news its stock 

would be admitted to the Nasdaq 100 index from Jan. 7, 
dealers said. Reuters shares climbed 21 pence (35 cents), or 
3.5 percent, to 667 pence. Bloomberg. Reuters 

Nike’s 6 Just Do It 9 Becomes 1 Can 9 

The Associated Press 

PORTLAND, Oregon — “Just Do It" isn’t doing it any 
more for Nike Inc., which is getting a new slogan on New 
Year's Day. The new phrase is: “I Can." 

The company will continue to use the “Just Do It” slogan, 
but not as often, a spokeswoman for the company, Kathryn 
Reith, said Tuesday. The move reflects a series of changes at 
Nike. Sales momentum has waned, fashion trends have moved 
to a more traditional casual look, and professional sports has 
been shaken by scandal. 

“At a time when cynicism in sports is at an all-time high, ‘I 
Can' is an effort to return to a focus on the positive,’' said Bob 
Wood, vice president for product marketing. 

Nike shares closed at $39.9375 on Tuesday, up $1.25. 



Divvying Up the $1 Billion Nasdaq Deal 

By David Barboza 

New York Times Service 

NEW YORK — Score one for 
die big guys. 

A record legal settlement 
sparked by small investors who 
accused traders of fixing prices on 
the Nasdaq stock market may ia the 
end create a windfall for huge, in- 
stitutional investors. 

When the nearly $1 billion deal is 
eventually parceled out, beginning 
in mid- 1999, the biggest winners 
could be a host of mntnal fund 
companies like FMR’s Fidelity In- 
vestments, the Vanguard Group and 
American Century Investments. 

Although lawyers for the large 
Wall Street firms tried to keep in- 
stitutional investors out of the civil 
suit, hoping that would mean a 
smaller settlement, a federal judge 
ruled last spring that institutions 
had to be a part of the deal As a 
result, the institutions now stand to 
collect, by some estimates, np to 
$750 million, or about three-quar- 
ters of the money. 

Thirty brokerage firms, includ- 
ing some of the biggest and most 
trusted names on Wall Street, 
agreed to pay about $900 milli on to 
end the suit, which contended they 
schemed with one another for yeans 
to fix prices on Nasdaq. The set- 
tlement was reached Dec. 24. 

An exact formula for disburse- 
ment has not yet been approved by 
Judge Robert Sweet in U.S. District 
Court in New York, bat the fact that 
large Institutions could swallow a 
sizable portion of the settlement 
means some smaller investors could 
be forced to fight for their share. 

One reason institutional in- 
vestors enjoy such an advantage is 
they have legions of lawyers to 
identify and process their claims. As 
a shareholder of one of their funds, 
that may sound like good news. But 
lawyers for foe plaintiffs in foe suit 
say there is no guarantee the money 
will trickle down to fund holders. 

. That raises a question: How 
much of the money set aside by 
Wall Street power brokers to settle 
accusations of Nasdaq price fixing 
will reach individual investors, or 
even holders of mutual funds that 
invested in Nasdaq-listed stocks? 

Could a mutual fund company, 
for instance, simply pocket that 
cash, pay out a huge executive bo- 
nus or simply offer coupons or 
discounts on future stock trading 
— thereby keeping the money 
close to home? 

Fidelity and other big mutual 
fund companies, who have long 
been among the heaviest traders of 
Nasdaq stocks, say It is premature 
to say what they will do if and when - 
they c laim a share of foe money. 

But there seems to be little doubt 
that they will be eligible for the 
largest portion of the settlement 

* ‘Certainly institutions make up 
the bulk of the trading on Nasdaq,’ 
said William Christie, a professor 
of finance at Vanderbilt University 
whose study of Nasdaq pricing 
published in 1994 led to the law- 
suit, settled a week ago. “But this 
is going to be a nightmare, trying to 
figure out who gets what ” 

While small retail investors — 
such as individuals — accounted 
for about three-quarters of all trad- 
ing volume on foe Nasdaq stock 
market in the early 1990s, Mr. 
Christie said that institutional in- 
vestors made up about three quar- 
ters of foe dollar volume. “That 
means that if they use a dollar 
volume method, about $750 million 
would go to institutions," he said. 

But after winning what they 
called the biggest price-fixing set- 
tlement in history, lawyers for the 
plaintiffs insisted that the disburse- 
ments would be fair, and that any- 
one who suffered would be justly 

“It'll be gobbled op in the pro- 
portion it was taken," said Robert 
Skimick, an attorney for the 
plaintiffs, which includes thou- 
sands of individual and institution- 
al investors. “If they only took 
$12.50 from an individual and 

$125,000 from an institution. . it 
would only be fair thru they be 
reimbursed that way. ” 

But Otrisropher Lovell, another 
attorney for the plaintiffs, said it 
would be up to institutio n a l in- 
vestors that file their own claims £o 
decide how to distribute that 
money among their fund holders. . 

“We will distribute foe money 
to tiie entity that submits its 
claim,” he said. “Then they will 
have the fiduciary duty to deter- 
mine how to distribute it further.*' 
One problem is that lawyers for 
the plaintiffs suspect individual in- 
vestors suffered disproportionately 
in the price-fixing because,' unlike 
institutions, they could not negotiate 
fora better price. As a result, smaller 
investors almost always paid “foil 
freight,” one lawyer raid. 

Few doubt that the process will 
be difficult, even though the 36 
Wall .Street firms that have settled 
said their computerized records 
“identify the vast majority" of the 
plaintiffs in the class-action suit 
Lawyers for the plaintiffs said 
there could be more than a million 
people and institutions with 
claims: just cracking down the 
names and addresses could prove 
torturous. “What we’re going to 
try to do is use those computerized 
records to make distribution easi- 
er," Mr. Skimick said. 

IBM to Shun Computer-Industry Trade Show 

By Mark Leibovich 

Washington Post Service 

WASHINGTON — After nearly 
two decades together, two of the 
computer industry’s signature insti- 
tutions are getting a less-than-am- 
icable Las Vegas divorce. 

International Business Machines 
Corp/ has confirmed thaf J starting in 
1 998, it will no longer exhibit on the 
floor of the autumn Comdex gath- 
ering, the computer industry's trade 
show of record. 

Citing the show’s “noisy and 
hectic environment" and a dimin- 
ished opportunity to “reach in- 
dustry decision-makers," John 
Bukovinsky, an IBM spokesman, 
said foe company would direct its 
trade-show resources elsewhere. 

But Comdex officials say IBM's 
decision had more to do with its 
embarrassment after the conqxiter gi- 
ant lost an opportunity for prime ex- 
hibition space to an industry rival 

Insiders describe Comdex as an 

extravaganza they can't miss but 
can’t stand. The show is character- 
ized by big crowds and tripled hotel 
costs. Yet it also is the heavyweight 
ofcompu ter trade shows, a showcase 
for the nottest technologies. 

Several other Comdex conven- 

tions are held each year around foe 
world, including a spring Comdex in 
Chicago, but none is as big as foe 
November show, which draws more 
than 200,000 people to Las Vegas. 

IBM is tiie most visible defector 
from foe show, but other major play- 

ers are scaling back their presences in 
Las Vegas, too. Intel Corp. will rent 
about half as much space next year as 
it did tins year, when it had about 
12,000 square feet (1,080 square me- 
ters), Robed Singer, Intel's director 
of corporate events, said. 

Dollar Rises on Banks 9 Plan for South Korea 

CmpO/ti bf Oar Huff Fnm Dbptockes 

NEW YORK — The dollar was 
mostly higher on Tuesday as con- 
cerns about South Korea’s fragile 
economic health abated after 
bankers agreed on an aid package. 

At 4P.M. the dollar was at 130.130 
yen, up from 129.310 yen Monday. It 
slipped to 1.7885 Deutsche marks 
from 1.7895 DM but rose to 1.4545 
Swiss francs from 1.4493 francs. The 
pound was at $1.6560, down from 
$1.6718. The dollar was also quoted 
at 5.9870 French francs, down from 
5.9885 francs. 

The U.S. currency climbed as in- 
ternational lenders said they would 
give South Korea more time to pay 
off its debts, calming concern mat 


foe country's financial rostem might 
be on the verge of failure. U.S. 
stocks rose amid hopes that South 
Korea’s problems would not further 
weaken Asian economies and spill 
over to the United States. 

“This is a huge shot in foe arm" 
for tiie Asian region, said Robert 

Sabia, a currency trader at ING Bar- 
ing Capital Markets in New York. 

Earlier in London, the dollar 
slipped against the yen as foe Jap- 
anese currency was bolstered by 
Western banks’ contribution to the 
financial support package planned 
for South Korea, dealers said. 

But tiie dollar rose against foe 
pound, which was pulled down by 
comments by tiie governor of the 
Bank of England, Eddie George, 
that British growth had reached an 
untenable level and would have to 
slow. (AFP. Bloomberg ) 

Stocks Rally i 
As Debt Pact 
Allays Fears 
About Asia 


NEW YORK — Stocks ettewied 
their post-holiday rally Tuesday, 
with investors applauding more 
signs of progress toward easing foe 

Asian fiscal crisis. 

The Dow Jones industrial average 
closed at 7,9 15.97, up l23.56pointe 
or almost 1.6 percent, adding to 

Monday’s 113-point gain Mid push- * 

ing this year’s gain toward 22 per- y . 
cent , 

Broader-market indicators also 
finished higher. The Standard & 
Poor’s 500-stock index closed at 
970.84, up 17.48 points or 1.8 per- 
cent The Nasdaq composite index 
closed at 1,565.03, up 27.58 points 
or almost 1.8 percent. 

Advancing issues outnumbered 
dec Liners by more than a 2-to- 1 ratio 


on the New York Stock Exchange, 
where volume was more than 470 
milli on shares, up from Monday’s 
sluggish pace. 

Investor sentiment was bolstered 
by news that a dozen international a 
finan cial institutions from the ▼ 
United States, Japan and Europe 
said they would look for ways to 
help South Korea through its credit 

The Dow's strongest risers were 
Walt Disney and United Technol- 
ogies. Among leading Nasdaq tech- 
nology issues, Microsoft and Dell 
Computer were higher. Shares of 
Platinum Technology were up fol- 
lowing news that the company had 
entered into an alliance with com- 
puter chip giant Intel Corp. 

Leading retailers rose in response 
to a report showing that consumer 
confidence had risen sharply, and to 
Dayton-Hudson’s ann ouncement 
that holiday sales at its Target di- 
vision were well above plan. 
Dayton, J. C Penney and Wal-Mart ij 
were up. * 

But in the inflation-sensitive 
bond market, long-term interest 
rates rose after the consumer con- 
fidence report was taken as a sign of 
possible inflationary pressures in 
the economy. 

The benchmark 30-year Treasury 
bond fell 19/32, or $5,938 on a 
$ 1,000 bond, pushing the yield, 
which moves inversely to foe price, 
up to 5.97 percent from 5.92. 

(AP. Bloomberg. Reuters) 

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Tuesday’s 4 P.M. Close 

The 300 most traded stocks of the day, gg&e 

up to the dosing on Wal Street. 

The Associated Press. 

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7N 31 
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21 111 
7N IW 
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n» J't 

3M 341 
1*4 IN 
5 41 

4B4 31 

411 4PN 
l': 11 

191 11*4 

91 91 

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75*4 »i. 

31 TIN 

n 7 
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w* + 1 N 
30N »1N 
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13 *1 


31 49 

354 -1 

IN .N 

41 44 

40 .21 


34 .1 

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M 41 

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94 *1* 


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Ml 7B31J7 7922.0* TNlAl 79ISS7+I23L5& 
Tkrs 3inS 3221-10 31155* 321&22+I0SS 
UO 270J3 72X01 Z2DXQ 777X1 +23)0 

Com 2557.32 299435 2S47JW 2597 JO +49J4 

Standard & Poors 

I ndusM ofc 
Trans p- 
SP 500 


M09 Um One 
1103358 1064.1 7 108435 
6T3M 6A4SS 865 SO 
23258 22958 231J3 

11652 nioi hum 

95451 938.91 939.13 
4S4.15 44108 44126 

SIUO 501x9 51&2B +179 

42934 41754 42934 +1148 
J60J3 42»J» 4*051 +1U7 
mii 3JZ4* mis +339 
495.10 40*39 494.10 +771 

15*503 10955 154503 +2738 
I208J4 118741 120034 +1179 
2D7535 20477a M7iai +»» 
10037* 171 IX* 1HU2 +7141 

5790* 6*975 67191 .952 

KM low Un* 
56Y4 541 5494 

27 26 264* 

4SN 441 4SVU 
3644 3594 3M4 
M 621 62V4 
19tt 19 im 
T4M 13V. 14*. 
I0SW 1 SZ 9118394 
74U 731 741 

331 321 33V, 

*4 W Hi 
45f» 53V. 441 

7B1 75V. 7M 


106480 Vo 
102344 721 
97046 131 
87717 871 

71779 74*4 
65957 301 
6174] 151 
60820 41 
60358 3514 
5776 4 7V» 
42935 284*i 
17982 411 
37395 20*4 

lb l*< 
7U4 71*4 
821 859. 
55*4 561 


141 151 
4 4V4 

251 im*. 
391 401 
1944 20*4 

Dow Jones Bond 

20 Bonds 



106.13 I0SJ2S 

10Z84 10X66 

107.42 10734 

950a 971 
*<N 42 

W. «V» 
*4 *n 
X 30W4 
91 101 
m in 
51 51 

Ttom 7*4 

T reefing Activity 


Haw Lon 






Hew HUB 
Hew Um 

Market Sales 





Per Ant Rsc Pay Comptny 

CA Water 2 for 1 war. 

Fit Bncslm I ac 2& I spSt 
Nthn Telecom 2 iorl sow. 

Conll Heallti 1 tarSrmne spB 


NSGIyCtep 0 M 1-9 2-1 


Adobe Systems 0 .05 1-2 M6 

U.S. Stock Tables Explained 

2194 2271 
I7M 2080 
1744 mi 
56*6 B35 
151 157 

ire Z 74 

480.97 568.12 

29 J7 38A0 

A44J8 6453)9 

Per An t Rec Pay 

a 3)5 1-7 1-21 

M 315 1-13 1-28 

CB Bncshn 

Dtejfus CA Muni ... . 

Dreyfus Muni Inro M 3S4 1-13 1-28 

Dreyfus N 
Dreyh Strut Co* 

M .05 1-13 1-28 

M MS 1-13 1.28 

Dreyff StratMn Bd M 3BS 1-13 1-29 

Drevts Striftln Inco M 3)57 1-13 1-28 

Atagan Group Inc 
Pizza Ian 

SEMCO Energy 
Stewart Entapr 

Q US 14 1-16 

Q 3S 1-S 1-19 

O 3)6 1-9 1-23 

a jo 3-5 2-15 

Q 3)2 1-16 1-30 

fl-arBHHfe b-amwMwtt OdSMlut per 
sbare/ADR; ffapMe in Qnodton foods; 
BMnonWBq-qodrtwtyrs- se odima ii ^ 

Sates figures ore onoffidd. Ycoily highs and lows reflect the previous 52 weeks plus me 
current week, bofnetthe tetuMisding doy. Where o spiff or stock dhridend omwirttog to 25 
percent or more has been pod. Iheyem high-law range and divldwxl ore shown fertile new 
slocks ooty. Unless uOiei wise no ted rates of dWdends ore onnuoldisbui se me n ls based on 
the latest dedo rattan. 

a - dividend tdso extra ts}. 

p- kiffiaJ dividend, annual rate unknown. 

b- annual rate of dividend pure stock tfv- PTE ■ pricMoralngs raflo. 


e - Equidofiog dividend, 
cc - PE exceeds 99. 
dd- celled. 

0 - new yperty low. 

dd - toss In me last 12 monms. 

q * dased-end mufuaJ fimd. 

r-dMdend declared or paidinpreceifing 12 

mwrtl«,plui stock dividend - 

*- *»ck spSt. DfvWend begins with date of 


Sb- sales. 

e-fflv«end declared or paid Enprecpiflng 13 t-dMdend paid In stock In ptecetSng 12 
-- M ■ n ?^ es, ? T ^ CD «' w*w on 0 MW- 

n r-ywot rate. Increased on tost dedo- idend or ex-dhtributlon dote. 

§ - Dtvidefld m C<mo«fian fundv sublet to T-fraSnflhmte^ 

nr rinr* ^ ‘ Of WttiVttfllig Of being 

1-rOvWend dedared utter spW-up or shx* nwigon ued under the Bankruptcy Act or 

I-(fivWertopoldtWsi«Kori*BidetemsLix “ n,xu ^ 1 

no oata taken tftalestAridendmeedng. wi-wtu»i9suM7 

> - dividend dfd oied or paid fc fa thk g i ww-wlth wonante, 
oaamxdathe Hue wfltidMitaKisei uimis. X'ES-cSvWendva-ftoMs. 
m • annual rare, reduced on tost dedaro- nSs-esHnstriauflon. 

*ton. ..... xw - Brtthotrt w ononK 

n-newresuMiarep^w^Ute^ ^«■dWdefld and sates In futt. 
law range began w«i ttw start oTtradtog. yM-yieid. 

nd- next day delivery. 2 -sates to ML 

Dec. 30, 1997 

High Law Latest atge OpM 



ioooiw mtoknwin. conic per buaM 

Mar 98 




-li 169795 

May 98 
Jul 98 










Sap 98 






Dec 98 












Dee 99 






Eat soles 34000 Mom sides 34148 
Man open fait 322302, up 13)30 

100 lone- dBfen per ton 

Jon W 20740 205u4Q 207 JD +13X1 17^17 
Mar 98 204.70 202J0 20450 +1.10 34327 
May 98 20160 2023)0 203J10 +050 24128 
XI 98 205.20 20130 20410 -0.40 163MB 

Aug 98 20550 20483 20460 -050 4979 
Sep 90 2063X) 20400 2O490 noch. 3738 
EH. MtoB 11000 Man solas 22548 
Man open tot 10MII& up 53 


60000 toi-ceidi per lb 

Jan 90 2553 2551 25.09 unch. 11791 

Mar 98 2554 2545 2549 -0716 51,967 

98 2550 2575 2579 -055 173)18 

-rave 2605 2586 25.90 -03D 121U5 

Aug9B 2550 2575 2550 -0-05 0822 

Sep 98 2575 2565 2565 +03)5 175V 

EsL ndas 20000 Mon Mies 27403 
Morn open Ini 99.379. up 14 


53)00 bu nMmam- canfs per bushel 
Jon 98 684 679M 6811* +M 22786 

Mnr9B 687 6B2H 68SN +214 51,188 

Moy98 693 *09 691UJ +3 24571 

JU98 198 69316 «77b +4 24096 

Aug 98 696 694» 6««to +2W 4217 

EsL »des 383XU Mon soles 4&440 
Men open M 14UMk off 23D9 


3HM0 bu mtatnuro- cents per buebel 

Mar 90 333** 327V, 3271* -* S&988 

K 98 341 335 33514 -614 12732 

I 346H 3flh 341*4 -61* 20106 

S*P 98 352 349 350 -3M 777 

Eto. rates 1 23)00 Man wtes 4996 
Men open lid 92319a up 333 



48.000 lbs.- cants per to 
w>« 6485 6632 *435 -020 4*578 

A|r9B 69410 6S40 68-55 -032 27410 

JUB98 68-55 48477 . 48.17 -030 1&69I 
Aim 98 49.10 6867 6880 -Q.15 6450 

Oa 98 7175 7162 7147 -022 U38 

Dec 98 7240 7275 7240 +005 338 

EsL sates HL969 Men stoes 1 UB9 
Mm apM fell 19U9& up 89058 


50000 toe.- endi par to 
Jan 98 7630 7565 7545 -032 7,168 

Mar 98 7*65 7145 7547 -067 4B53 

Apr 98 7747 7670 7662 -030 UM 

Atay98 7845 77-45 7765 -045 1449 

A«B 98 80.10 7962 79.72 -040 931 

Sep 98 8000 7940 2940 -035 199 

Est rates 36Z7 Mon sates 1374 
Monh open hi 17.411 up 222 


4H00B Ik.- cenb per to 
Feb 98 5840 5745 5745 -840 21671 

Aar 98 5745 5*60 5*42 -045 7484 

Jon 98 6*50 *355 *447 3M7 599* 

JM98 6340 633 6120 -0-50 X7U 

Aug 98 61622 6040 6142 -047 359 

EsL sales A771 Mm sates 6671 
Man s open tot 38447. up 98S 


40000 In.- cants per to 

Feb 98 52.90 51.75 51.95 -140 5611 

Mar 98 5240 5165 5167 -165 L38? 

May 98 5240 5240 5260 -1J20 1481 

EsL eeles Z225 Men sates MU 

Men igwD tat 87», efl 148 


cocoa mcsE} 

10 m*Mc tons- sperton 
Mar 98 1648 1619 1641 +16 41425 

May 98 * 1671 1652 1671 +13 21934 

Jto9* 1*96 1680 1696 +13 1230 

Sep 90 1720 1710 1720 +12 U17 

Dee 98 1749 1736 1748 +13 AI15 

Mar 99 1773 1750 1773 +13' 8649 

Esl saw 2J30 Man sate* 160) 

Mare open Ini 9X8S& art M42 

coffee c mao 

TTTflfliiT rMtTnrii 

Mar98 1*675 faoo 16L80 +165 1*625 
Moy98 16060 15860 15960 +165 6599 
JulvB 15465 15300 133L4S +160 2777 
Sap 90 14840 14760 147.7S +2-25 L341 

Dec 98 14340 1-075 142.75 +265 1414 
Ebl sates HA. Mam rates 34*5 
Man csien W 27479, ix>476 


113400 Ibs^ cents per to 

Mar 98 1266 1269 1260 4146 976M 

M W 12.11 1246 12.07. -40* 32468 

3 1171 1146 114* 444 3M18 

0090 1140 1168 1169 -042 36*45 

EsL sales 7 JO Mom sates 11672 
Mam open Id 197JXM. off 334 

Hlflb Law Latest Oiga Optrt 


15400 Ito- ceds per to 

Jan 98 8540 8140 82.10 -US &93 9 

Mar 98 8875 8460 8545 -365 3A531 

Mar 98 9240 88.10 0940 -360 34*5 

JU190 9540 9060 ,9240 -360 3467 

EsL sates NA. Mom sates 6647 

Mam open bd 4*209, up 239 



lOOJray ol- doBore pv liny or. 

J*98 29a 90 -060 2 

Fab 98 29240 29040 29140 -090 89.796 
Apr 98 293.90 29240 29269 -090 12770 
Jon 98 29560 29440 29560 -0.90 11641 
Aug 98 297.70 29700 29760 -090 &48t 

Qd98 29940 -0.9D 2462 

D« 98 30240 30060 30160 4.90 13649 
Feb 99 30340 -090 3929 

Apr 99 30640 -060 5304 

EsL sates 22400 Mans rates 31637 
Mon open Id 177663,002713 


25000 bs^- an* pgr to 
Jan 98 774S 7*70 77.05 +OS 3,914 

Feb 98 7820 7760 7760 +045 1372 

Mar 98 7870 7740 7860 +080 35623 

79.10 +090 1626 

May 98 7940 7870 7945 +075 5314 

Jim 98 80.10 Barn mm +aao ia® 

Jd98 8060 80.00 8075 +080 4132 

Aug 98 8065 8075 8065 +095 1.760 

Sep 9a 8170 8060 8170 +080 3628 

EsL sates 7400 Mom sales 7650 
Men open Id 71 JB& up 562 


5.000 hoy tn> cents per few «. 

Jdl98 61000 61200 413 j00 -1*3)0 8 

Fob 98 61*60 -1560 

Mar 98 63340 61140 61860 -U50 *9.968 
May 98 62840 *1340 <1960 -1440 7778 

Jd98 *3740 <1440 <2000 -1360 7778 

Sop 9# 620 JM <1560 62000 -13JD 1616 

Dec 98 62160 *1440 <1960 -T3J30 77*4 

Jdl99 628.00 <1948 <1940 -1340 10 

Est ratae 1 1700 Mem rates 10255 
Morn open M 99486, (9 858 


50 liw at- iMton per tray az. 

Joa 98 3*940 36240 5*740 +160 1639 

Apr 98 3*280 359SQ 36340 +200 942* 

ADM 36160 36060 36160 +240 313 

Od98 36160 +240 13 

Jan 99 36*40 36250 36250 +240 * 

EsL sates HA. Atom sates 776] 

Mom open W 11797, df 1694 

dose nmrtsut 


Dctors per mtertc ton 
A tertm OHgfe Grade) 

Spol 1523 1534V4 14934 14940 

Forward 154640 154740 152200 159340 

Oner CattMdra Ofigh erode) 

SpoT 17)200 171340 179640 179740 
Rjnmd 174040 174140 172*40 172740 

S’ 0 *—. 547:00 SZ7V. 529M 

Forward 55440 55540 SUM n«i 

finl 598540 599040 587540 588540 

Forward 607540 *08040 597540 598040 


Spar 541540 542540 533040 534040 

Fonrad 544040 544560 535540 536040 

tert 10991V HOOK 108640 108740 

Forward 1121.00 112200 110940 ITIOJIO 

Mtf) Low One Cbge Opto) 


51 mUka-dsoflOOpd. 

MorJJ 9*94 94.92 9444 undL 0718 
JBn« 9440 9*47 9&SJ undL 1700 

Sep 98 . 9469 undL 23 

&L seta 987 Mom sales 634 
Man open fed Mil. up 21 5 


Md9B 10876 108-14 106-25 -11 234687 

Jun98 10BS -11 156 

ElL sates 34000 Mam sdra 14581 
Man open In) 243479, OR 2761- 


f] 00400 prto- pts & 32ndsd 100 pd 

Mar W 112-05 111.16 11177 -10 3*W71 

JunJB 112-01 111-29 111-26 -10 2432 , 

S*P 98 111-26 -10 270 

&L sate* 70007 Mam sates 24341 

More open Hit 3(7A91, eft 942 


I2MM1M7 119-28 
Jl»9B 12044 119-10 119-18 

fS°!S "9-10 11*47 119-10 

“9W 11 WO -21 4563 I 

sates 2)4000 Mom id«8U44 I 

Mem open tot 7S&5Q£,all 4482 

S 1M Pd 

l? 1-” 130-26 — 1-06 179711 

Jun*S N.T. H.T. 10544 —146 1798 

&- sate*: 2X536. (tow. ides 7719 
Pm. Open tot.: 18L608 dl 493 


B“»MOO- feted 100 pa^ 

MW9B 10479 103J4 10400 —868 Z34393 
Jn9B 10380 10X90 10341 —078 1,144 

EsL sates: 7481a Pn*. rates: 17,123 
Pm Open tot: 234537 rWWl2 

Utah Law Ldeet Cbge OpM 



Mar 98 10L48 10*76 10078 —073 130637 

Am 98 10086 10038 10010—030 125 

Sep 98 100*2 100-62 99.84— 0J0 0 

Est. sates: 64100. 

Open kilj 130762 aA 2,937. 


ITL 300 ndOan - pts aflOO pd 
MarW 11637 115L3S 115A3 -072 114576 
Jim 98 N.T. N.T. 11483 -072 146 

Sap 98 KT. N.T. 11483 -0.92 0 

EsL sales 22,925 . Prey, sdu: 7A01 
Prev, opentaL- 114722 off 873 


S3 aNRan- pb of 100 pd. 

Jan 98 9130 9479 9129 UndL 20531 

FebSB 9479 9478 9470 Uheh. 11018 

Mar 98 9474 9471 9472 -0JB 10B4 

EsL rates 1656 Mam edes 1131 
Mam open tot 34974 off 445 


II mlBoo-ptl at lOOpcL 
Feb 98 9471 9118 9430 -401 7A21 

Mar 98 9471 9114 9419 -082 484653 

ton 98 9419 9413 9415 -flJD 392J23 

Sep 98 9415 9408 9410 -004 263.711 

Doc 98 9405 9400 9402 -003 226764 

Mar 99 9HB 9400 9402 -003 1*1900 

ton?*- 9403 9196 9199 4103137759 

Sep 99 9198 9194 9196 -003 104018 

Dec 99 9191 9188 9190 -003 104939 

Mar 00 9194 9190 9372 -003 74398 

ton 00 9192 9188 9390 -003 64881 

S«p 00 9190 9186 9188 -003 54*34 

EsL soles 181713 Mem Mtes 104940 
Mom open tat 2JZ7A44 up 10408 


62r5QQ Pflu mh. S DVDCMJDd 

Mar 98 14*68 U401AIM -7158 31AM 

too 2 1*493 14390 1AT28 -47158 1717 

Sep 98 14363 %0158 4 

EsL sedee are Mom rates 7752 
Mon open tot 3241 4 up 558 


100000 doBara, s per Ota. dto 

Mnr98 700* -6954 -6994+00034 60201 
JUB98 JOTS 7974 .7006+0.0035 3,735 
Sep 98 7025 -6980 TUI 5+1X0036 987 

EsL sate* 9A54 Mam sates 41 2* 

Mom open tat 6&531 up 351 


1 24000 marks, s per mnk 

^ -5*»2 wk*. 7190* 
J«l« A640 JS623 JMO unch. 1198 

Sep98 5667+04)002 1A40 

&L sates 1LZ72 Mam sates 31 JOT 
Monapwi tat 7774 up 7773 


125 mmon yen S per 100 yan 

Mar 98 .7623 .7759 7765 -f) 004* nio 

tonW J90 1 78*9 7&73-0JW4* 1^73. 

Sep 98 7978-00044 212 

Est. sates 10*27 Men sates iiovo 

Man open W 89747, up 2727 


121000 franco s par franc 

Mar 98 .6971 .4917 .6933-07033 ]U» 

JUB98 JOM -6990 M 

- JD744JXB4 L102 

BL sates 7,917 Mare sdas 1SL573 
Mon eperi Inf 4L509. up 4480 


* -3J®0 -12M0 .13030+50121 14477 

tonra .11*75 .11665 .1IK7tJOT42 163 e 

Sep9> .11320. .11310 .1I3JO+ .001 42 4707 

soles 1777 Mon rates 2.129 
Mon open tar 2SS39, up 2W 

High Low Latest Cbga Opid 

Sap 98 9162 9553 9553 -0.10 91951 

Deem 9160 9550 9552 -0.11 6*513 

Mar 99 9550 9542 9543 —a 09 89.943 

Jun 99 9SJI 9579 9578 -007 20531 

Sep 99 N.T. N.T. 9112 —008 7545 

Dec 99 9SJB 9502 9501 -008 847 

Est. ides; 30045. Prev. sates. 14553 
Prav.apen tat; 561530 up 1,793 


COTTON 2 weno 
501000 lb*.- cads per lb. 

Mar 98 6770 6646 67.15 +0.13 44275 

May 98 6850 6870 6840 +009 14924 

to< 98 6955 69A5 6978 +003 14809' 

Od9« 7103 7150 7153 +018 1556 

Dec 98 7240 7250 7250 013 11527 

Est edes NA. Mam sdes 8558 
Mom open Id 89504 up 2,907 



-21 688710 
-21 31429 
•21 5.966 

-71 3563 

MW98 9764 9239 9259 -006 14)717 
JOB 98 9Z55 9249 9249 —0108 110434 

Sep 98 9169 9241 9762 -am n%G 

Ore 98 9247 9240 9281 -oi? Saw 

Jmw WlS 64104 

AOI99 9129 9373 9372 — QJB 63JS7(, 

Sep99 9142 9355 9356 -048 437W 

Efi-salesi 2*120. Ptw, satev 16473 
Pre«. open tot; 694063 up 2418 


DM1 toflBaa - pte gflOO pd 
Jon 98 94-33 9*51 9*32 -OOl 17432 

Feb 98 N.T. N.T. SS ^OOT m 

Mor98 9423 96.16 96.18 -0M 370334 
«« 9602 9603 -007 mffl 
95.91 — 008 342421 

Dec 98 93.79 9S7U 917) —age wim 

Mar 99 9160 9552 9554 

Jon 99 9143 9S55 9136 Io3 

«71 Bum 

Dec 99 9115 9607 9SD9 —007 njS 

EsL IdttC 70926. Prev.MteK 32.157 
Pier, apra tat: 1783449 off 1539 

Jan 98 9633 963] 9633 Unch. Uk 

Feb 98 GUX) OM 9636 l inS 3 

M«98 9672 9616 9*16 —007 809S6 

toa98 9609 9602 9602-008 ffi Se 

Sep9B 9199 9551 9SS1 -QOy SjS 

Est. ides.* 23485. 

Open tot: 360484 w 488. 


ITL1 mmon ■ pte rf 100 pet 

Mar98 9466 9662 9462 -0.0 S i otw. 

tonft 9555 9577 9578.-008 T&444 

Jan 98 4905 49Xn 4946 +037 17,778 

Feb 98 5050 4945 49.90 +4)52 53,255 

Mar 98 5045 4985 5010 +072 21,039 

Apr98 7X35 49.90 5005 +017 12404 

MoyW 5035 4975 49.95 +017 9JM3 

Jl*i98 9L40 4970 49.90 +017 I1A94 

Jut98 5075 5010 SOTS +017 &1H 

Est rates na. Mon rates 53,140 
Mm open Id 150170 up 37*3 


LOOO bbL- daBare perbbL 

32S J 2 -S 2 l 7 - 01 -“i 

MmW 17.97 1770 1772 undL 49,0*3 

toirw ion 1778 1000 -0.01 20013 

May» 1079 1015 1870 *002 Ssra 

■ST.JP 1132 ,8 ^° +°- w 3X987 

■M9B. 1051 1043 1842 +002 10130 

grates NA. Mom Idas 7683* 

Mam open tat 407440 up 5725 


10000 non Min. I per mm Mu 
5*2 f 790 Z * 35 -O-OM 42727 

5**™ i 240 - 7 - 770 3JC3 4X037 25472 

ABT9B 2190 2125 2155 -0.035 12504 

s'™ S'™ ■°- 0ID 

■jj" 1 ™ J-2" *■]* X17D -0015 9,283 

Jd98 2200 2135 2175 -0005 9,948 

&L sates ka. More rates 70*34 
Mam open id 182580 off 30933 


w ,0t a£ p s£ a* ^ 9JM 

g*» «» 5U0 SIM Kef 

Mar W mjo 5*35 54j* -a24 irS* 

JSJi* 57.99 57J15 57.1* -024 1X078 

(“I 1 * 1 5740 57.11 57.11 -0.19 10144 

ton 98 5*95 5*!** 5*4* -0.14 bat, 

JJ98 XMS 56M M: ^ ^ 

AUB90 55AS SST6 55J6 

gyrates NA Mom safes 36393 
Mom epwiM 102567, off 830 


*>• '00 tans 

Sl5 1*75 1513)0 -155 24414 

Feb « 15375 15275 152JD -175 

£»« 7 ^675 JS375 15*00 JH5 

.ISM 155-75 15575 -lS isifl 

n lg« 15650 15*75 -0J0 IS? 

WT5 15625 15475 Ttadf 1LD! 

M* 1S87S I5B50 15850 uS S 

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PAGE 13 



lp, iii Will-Mart Tackles Germany, Where Others Failed 

i» (»«> On F 

Bloomberg News 

Stores Inc. is betting that superior 
computer technology and the ability 
to secure volume discounts from 
suppliers will help it succeed in Ger- 
many where others have failed. 

The world's largest retailer said 
this month that it would buy Wer- 
tkauf, the German warehouse chain, 
for an undisclosed sum as part of the 
company's plans to expand inter- 

Though the purchase gives Wal- 
Mart, based in Bentonville, Arkan- 
sas, an immediate foothold in 
Europe's largest economy, it's 
hardly an ideal time for the retailer 
to be entering the German market, 
analysts said. 

German retail sales have falle n 
forfour of the last five years, with no 
recovery expected in 1998, a slump 
that has helped force at least one 
other foreign retailer, Promodes SA 
of France, to withdraw from the 

‘The German retail market has 
considerable problems and Wal- 
Mart won't be 'exempt,” said Joeig 

Christians, an analyst for HSBC 
Trinkaus in Dusseldorf. 

“The framework is clearly dif- 
ferent than in the U.S;,” he 
“and Wal-Mart shouldn't underes- 
timate that” 

Dale Ingram, a Wal-Mart spokes- 
man, concedes that die company, 
which operates more than 2,770 
stores in eight countries, “still has a 
lot to learn” about die German mar- 

But he said it was betting it could 
sidestep some of the problems that 
have plagued its counterparts. 

Because Wcrtkauf, like Wal- 
Mart, sells everything from food to 
clothing to auto parts. Wal-Mart will 
be able to get better prices from 
suppliers, Mr. Ingram sajij 

The U.S. company also sees op- 
portunities to reduce inventory and 
distribution costs at Wertkauf by 
introducing more efficient computer 
systems, he said. 

“Those who have gone before us 
and have left the market are op- 

S Htunities fra: us to learn,” Mr. 

gram said. “We’ve entered this 
with a long-term view.” 

Wertkauf, which operates 21 
stores in southwestern and central 
Germany, is also profitable, said 
Klaus Mueller, a spokesman, 
though he would not give an exact 

The company had annual sales of 
$1.4 billion in 1996, according to a 
British consulting company. Cor- 
porate Intelligence on Retailing. 

But because Wal-Mart will need 
to tailor Wertkauf s inventory to the 
needs of the German market, it may 
be more difficult to achieve pur- 
chasing economies of scale. That 
will make it more difficult for the 
company to offer the low prices in 
Germany that have helped lore cus- 
tomers to its U.S. stores, analysts 

“They are likely to encounter 
many of die same problems that 
Promodes did in that there is not a 
wide acceptance for many foreign 
products,” said Mr. Christians of 
HSBC Trinkaus. 

Promodes acquired the Continent 
c hain in 1990, aiming to tair«» ad- 
vantage of German reunification 
and ended up selling the unprof- 

itable enterprise to Spar Handels 
AG last year.. 

German customers also have less 
opportunity to shop than their U.S. 
counterparts. Shopping hours are 
tightly regulated in Germany — 
stores are required to close by 8 PJd. 
on weekdays and by 4 PJM. on Sat- 
urdays. There are no Sunday shop- 
ping hours. 

Wal-Mart will also have to 
grapple with some of Europe’s 
highest wage costs and some or the 
region’s strongest labor unions, 
which play a central role in wage 

Wal-Mart currently has only one 
unionized store, in Windsor, 

Germany’s tough zoning laws 
will make it difficult for Wal-Mart 
to open new stores in the country. 
For now, the company plans to con- 
centrate on improving the Wertkauf 
stores, Mr. Ingram said. 

What’s more, because many Ger- 
man retail c hains are privately 
owned, they may be willing to slash 
prices and incur higher costs to com- 
pete with Wal-Mart because they 

don’t have to answer shareholder 
calls for greater profitability, some 
analysts said. 

“They took advantage of an op- 
portunity to enter the market when 
the stakes aren't too high and the 
outlay is relatively modest.” said 
Robert Clark, a consultant with Cor- 
porate Intelligence in London. 

Still, Mr. Clark said, he is not 
convinced Wal-Mart will be able to 
duplicate its U.S. success in Ger- 

Either way, Wai-Mait’s debut in 
Germany means stiffer competition 
for the large German retailers 
Karstadt AG and Metro AG, which 
are already straggling with weak 
consumer demand. Both retailers 
said tins month that 1997 profit 
would fall short of forecasts because 
of slumping domestic sales. 

“From a fun dam e ntal point of 
view, it's bearish for GeiWn re- 
tailers,” said Simon Raggett, an 
analyst at Williams de Broe in Lon- 
don. “Even if Wal-Mart is not suc- 
cessful, it will make it more difficult 
for its German competitors fear a 
number of years.” 

Publicis Fails to Halt True North Orders for Mercedes A- Class 

CHICAGO — True North stake in Tme North axDa J°" l y ****"?' ? North* 1, Fall 75% After Test Failure 

Cxytird t* Ovr Sag From D&f a a f m 

CHICAGO — True North 
Communications Inc. sharehold- 
ers approved the company's 
planned $440 million acquisition 
of privately held Bozell, Jacobs, 
Kenyon & Eckhardt Inc., True 
North said Tuesday, creatine the 
world’s sixth-largest advertising 

The approval came despite ef- 
forts by Thie Nath’s largest 
shareholder, the French advertis- 
ing agency Publicis SA, to scuttle 
the deal. Publicis’ s efforts had in- 

cluded its own offer for a majority 
stake in True Nath. 

Publicis had indicated it would 
vote its IS. 4-percent stake against 
the deal True North said votes cast 
Tuesday by one shareholder re- 

a share, a $269 milli on, to gain 
control of True North, an offer 
contingent on True North ending 
the Bozell acquisition. 

Publicist appeal of a judge’s 
order blocking its takeover bid was 

Bloomberg News 

16,000 in the six months before Oc- 

FRANKFURT — Daimler-Benz tober, when a Swedish test driver 

duced the total in favor of the deal rebuffed by the Delaware S upreme 
to about 77 percent, but did not say Com on Monday. 

who cast die dissenting votes. 

Publicis bad also said it would 
not make another offer for True 
North if the Bozell purchase was 

True North is the parent of the 
advertising agency Foote, Cone & 
Belding. Combined with Bozell, 
True North will have annual rev- 

AG’s Mercedes-Benz unit said 
Tuesday that otters for the new A- 
Class subcompact fell 75 percent in 
the month after the car flipped dur- 
ing a safety test 

Responding to an article in Tues- 

flipped the car while making a tight 

The carmaker is refitting about 
10,000 cars with an electronic bal- 
ancing system, said Detlef May, a 
Mercedes spokesman. The company 

approved. It had opposed the ac- enue expected to exceed $1.2 bil- 
quisition, saying it was too ex- lion, the company said. 

day’s edition of the Frankfurter continued to produce the cars 

pensive. Publicis then offered $28 

(Reuters, Bloomberg) 

Allgemeine Zeitung, Mercedes said the new e 
the number of orders dropped to integrate 

pment until it was able to 
changes into assembly- 

4,000 from a monthly average of tine production earlier this month. 

Mercedes plans to resume deli 

BT and Telekom Take On Deregulation With Price Cuts 


British Telecommunications PLC 
said Tuesday it planned anew service 
forbusiness customers that would cut 
the price of international calls to up to 
10 countries by 15 percent At the 

telephone numbers they have called. 

Both plans begin Thursday, the 
day that telephone monopolies 
across Europe end and the industry 
faces deregulated competition for the 
first time. Several long-established 

same time, Deutsche Telekom AG companies as well as start-up ones 

said it would discontinue die one- 
time charge it bills customers who 

have announced that they will be 

are beginning to respond. 

BT said that under its new “Key 
Countries” package, customers can 
select up to 10 countries from a 
choice of 30 of the main interna- 
tional-call destinations for British 

Combined with BTs existing dis- 

undercutting the region's dominant count plans, the new package could 

ask fa an itemized accounting of phone providers, and the monopolies cut daytime calls to the United 

States to 11.50 pence (19 cents) per 
minute and calls to France, Germany 
or the Netherlands to 13.8 pence per 
minute, the company said. 

Amid increasing pricing pressure 
from its smaller rivals, BT also plans 
to cut die price of long-distance and 
national calk made on weekends by 
10 percent starting Jan. 17. 

f Reuters , Bloomberg ) 

Mercedes plans to resume deliv- 
eries of the A-Class in February 
after suspending them last month. 
Production of the Smart car, made 
by Daimler in a joint venture with 
Societe Suisse Microelectxonique & 
d'Horlogerie SA, the maker of the 
Swatch watch, will resume in July 
and deliveries will resume in Oc- 
tober. The company said earlier this 
month it was receiving about 250 
orders a day for the A-CIass car. 
That puts the total number of orders 
well above 100.000. 

Daimler shares closed in Frank- 
fort at 126.20 Deutsche marks 
($71.04), up 2 DM. 

i Mttur 


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Tuesday Prev. 
dose Cloae. < 

9135? 9Q&22 ; 

2^i a*2 2,40166 

4*249.69 4,197.37 
fUk 685.10 . 

ymSSB 3,250.78 
67656 663.95 

5,13230 5,11*40 

2,97547 2,939.46 +1-23 
. 3,19*29 3,16631 .+1,01 
1,29434 1,284.61 gg 
*989 JB 3.849.71 +1.04 

lmcnunioal Herald Trilonc 

f Ztoricf* , - ;:-;SPf •, ; • ' • 358959 3.849.71 +1.04) 

Source: Telekuis lgimuni wt Hnu Triton ■ 

Very briefly: 

• Renault SA said it had signed a framework agreement with 
the city of Moscow on a joint venture to make Renault cars in 
Russia in 1998. The company to be known as OAO Avto- 
framos will be owned 50-50 by Renault and the Moscow 
government Renault will have a chance to acquire at a later 
date a majority interest in the venture, which plans to produce 
30.000 vehicles in 2000 and 120,000 vehicles in 2001. 

• Harrisons & Crosfield PLC said it would buy NL In- 
dustries Inc.'s Rheox chemicals business for 5465 million as 
pan of a new strategic shift, while also returning £402 million 
($671 million) to investors. 

• Germany’s Chancellor Helmut Kohl trimmed his forecast 
fa economic growth next year but remained convinced that 
the introduction of Europe's single currency would go ahead 
on time in 1999. Mr. Kohl, who previously said the economy 
would grow more than 3 percent, said it would expand by 2.5 
to 3 percent 

• McDonald’s UK said it would open 100 new restaurants in 
Britain next year, creating 5,000 full-time and part-time jobs, 
the same number it created in 1997. 

• Deutsche Telekom AG said it agreed to buy a 21 . 1 percent 
stake in VocalTec Communications Ltd, an Israeli maker of 
software that will aid the German phone company’s plan to 
sell telephone service on die Internet In return, Deutsche 
Telekom will spend $30 million to buy VocalTec products. 

• GEC Alsthom said that Portuguese Railways has awarded a 
contract valued at 72.2 milli on European currency units 
($80.1 million) fa 12 double-decker motorized tr ains to a 
Spanish group led by the British-French joint venture. 

• Lazard Brothers & Co. was the No. 1 adviser for mergers 

and acquisitions in Britain this year as ranked by the value of 
the transactions, according to Acquisitions Monthly 
magazine's annnal tables. Bloomberg, Reuieri 


High Low Ckw Pit*. 

HJflb Lew Oosa Pit*. 

Tuesday, Dec. 30 

Prices In local currencies. 

High Lew C lew Pro. 

Amsterdam ABtbgBjug 

39.50 39 JO 

lBDjjn latLio 

Mild 500 sue S2.W 5140 

Abo NOW 3040 343.10 30.40 24140 


Atao Now 
Bon Co, 

Boh Wen ao 
Dentate Pel 

Forth Arne 
















49JO 30. 
181 JO 180L-- 

54.10 5240 
3000 343.10 

66A0 65X0 
31 JO 31 

7.90 87 

in wafl> 
h5jo mao 
3110 3240 
8150 87 JO 
65X0 urn 
50.90 50 

8160 MS 
35*50 30 

8330 82J40 

74 n 

8*30 0.90 
7*30 7480 
4*90 4190 
8460 8U0 

4450 4SJ0 
<140 4060 
22190 71 9 JO 
12150 12040 
• *7 


1050 18750 

57.10 5650 
175 17440 
120 121 
lu nojo 

12*40 12180 
ill so no 

5750 5550 
26250 3*0 

3150 3150 
90 88.70 
108J0 109 

19550 18190 
3180 3180 
8850 87.90 
<460 <540 
5040 5050 
8470 8450 
353 351 


8540 8440 
75 7130 
4970 4920 
B460 63 

46 4920 
<150 61.40 
221 221 
12150 12130 
77 95.10 
7930 76 

188X0 18450 
57 57 

175 173 

121 12020 
ni30 no 
125 12190 
111S0 109 A0 
57 JO 55.10 
29150 261 SO 

DeabdteBank 12740 
DodTcWaa 3430 
DrarfmrQBnk MX’. 
Fmanha 30150 
Fnaentos Med 11950 
Fried. Kmra 331 
Gerie M 

H2S3SS* niS 

HEW 464 

Hochtief 75 

Hoectet 6180 

KonteH 424 

Lohcv-rtr 72J0 
Unde 1100 

LuflhcosaR 3*50 
MAN 522 

Moweianonn 909 

Marta Ruecfc R 693 
Preoaao 553 

RWE • wo 

SAP 551 

Scbtfeg 177.* 

SGLQrbcn 232 
Steam 109SS 

Soedmcter 8K 

VEW »0 


127 125 

3185 3270 
'' T3 81.111 
303 304 

11950 119 

331 321 

90 9250 
12B 12550 
11350 11070 
464 464 

71 73 

O 61.10 
61410 <18 

7240 7250 
3450 i74n 
521 505 

909 897 

3290 3290 
6450 6190 

50 54850 

7650 9430 
54650 50 

17350 17590 
232 230 

10650 10750 
1210 1210 
880 880 
385 365 

12250 12170 
565 580 

969 99170 
1012 1004 


























212 212X0 








67 JO 


WPP Grata 








21 JD 





Tiger Ootr 

- /• - — • 

Kuala Lumpur g***— » 




mdinaadpF 555 is 5.60 «s 

Pshaw* Gas 950 940 750 950 

Proton — — — 


Rnan __ _ 

Retorts Wodd 675 640 670 

ScrtwwaPM 31A 31^ 

MrfM nw lw mwv 

Teonflo 10S 755 8 740 

Iftd u^toeen 350 3J0 X24 X24 

VTL 525 5.15 5L25 52D 















































11 JO 

















SET tier 16187 
PmteoK 3*«J7 

290 230 228 

120 120 129 

990 10 9 JO 

400 400 402 

340 368 346 

50 5250 4950 

850 9.10 850 

4950 52 50 

7950 63 78 

1875 19 1950 

MM M MCE 343771 
PiarloK: 370679 

60*50 60850 <15 

1360136350 1390 

480 48175 46975 
W 90 92 

603 60650 61975 
255 265JS 
M5 166 170 

23775 24075 243 

950 975 973 

394 296 303 

BELT! Mae Ml MB 

H w M Wm 


Meho# _ 








43 4150 
225 224 

53 5050 
68 8450 
30 2950 
130 125 

43 4250 
134 131 

387 380 

14450 140.10 
6650 6450 
11070 10850 
7530 7S10 

4250 4250 
225 220 

5150 S3 
8670 8450 
2950 2950 
128 129 

4250 4150 
132 132 

387 37650 
144 MO 
6650 64 

109 109 

7570 7X30 

Hi F V j 


'83 S 

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ZOO 3320 
19000 18900 
1695 1675 

8580 6500 

3410 3330 
7780 7700 
1700 1670 
5400 5360 
16125 15850 
■ 1STO 15200 
13875 13675 
5*00 5340 
.10700 10400 

2335 2285 

3740 3200 
124000 121200 

1878 1840 
6000 6630 

9900 9*40 

33X 3315 
18925 18950 
I860 1680 
8570 8520 

3410 3400 
7730 7690 

1700 17TO 
5368 5350 
16125 15950 

15550 15500 
13675 13800 
S40 5330 
10550 10400 
3390 3370 
2330 2295 
3230 3195 


Hong Kong 

isos *90 
__ Ask) 18.15 
Cathay Pocfflc . *.W 
Cmm Kona 50.73 


spe rJ 

Hang Lung De* 


HXaSwGcs U® 

HK Electric 29 JD 

HKTctecanra K 

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SKSS ffo- a§ 

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SHKPim j 5475 
ShwiTaTHdge Z16 
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6J0 6J3 6J0 

1795 18.10 17ZS 
&90 US 520 
50 4&80 
2240 20j60 
4246 4290 42 

3050 30J0 3QJ0 
1190 1930 19.15 
163 125 340 

1(145 1048 1065 
7425 75 7425 

620 430 620 

3520 36J0 3520 
1455 1470 1435 
29.10 2940 2665 
1560 1595 1540 
122 122 128 
191 194 189.31 

48 4840 47J0 
1520 1520 1575 
21 £5 2230 21^ 
1240 1240 1160 
2640 2435 » 

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O 040 139 

5125 5450 52JS 
2.10 Z15 220 

438 460 438 

535 £45 570 

4090 41 JO A5B 
1U§ 74M 14S 




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Brfl Aflnap 1750 

Bril Always 542 

BG j 


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BTR 1Z5 

BuraKrtCesM 1040 
Burton Gp 126 

Cable WTrel*** 5^ 

CaAnrSdiw Ann 

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CeananGp 7^1 

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476 tm 461 471 

3S0 3*4 368 375 

.1600 9*0 965 10W 

396 380 - 380 389 

, .920 90* 913 910 

4554SS 441878 4SD00D 439000 
3W0W 315000 316000 305600 

a lii HUB 1<3 
819 825 820 

1000 9S9 MO 970 

mo 1060 1130 1130 
429 423 J25 425 

453 439 44545 445 

515 500 503 50949 


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aMO rtoWoe gJi 

PrarieoK 39X01 

1475 M25 M25 100 

^5 M 325 375 

St SB SB 25 

8400 6250- 5375 8250 
1MI IW 18W 1M} 
1B0D 1750 1800 1800 
10200 W0 10200 WOO 
4150 4100 4150 4075 

3250 3200 305 3175 
2950 2850 2925 2900 

Johannesburg "pSggggS 

jggga, £ s & ** v 

aSSSS-Sp 19940 19X40 19140 .Jg 

SSaSSS i«a » 


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12430 11320 
182 172 

. 40 3950 
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86.95 8650 
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72 JO - ' 70 
■7730 12539 
9150 8850 

DAXl <94949 
PnrtMU 419727 

(95 195 19550 

Ql 33640 22940 
42 U6 455 
120 12350 12250 

3 172 17740 

3940 3940 
LB <175 6440 
i50 5730 87 

116 117.70 116.70 
LSI 0X 64.80 
JO 78 7SJ0 
LX) 5440 54 

m 1345 1283 

70 7010 72JD 
139 12620 12420 
LSD 90 8940 


xip 28 27 » 27-10 

rul 230 227 227 227 

.§£ 19940 19^40 19840 19* 

inn m 186 18940 

£d 1W» 18 H8 IW 

67J0 66.10 a *6 
610 5fl< 556 *« 
^L25 408C 41.10 *25 
2040 20« 2030 »» 
9840 97 7750 9480 

5S 3110 3110 33m 
4691 <350 4*50 O 
ill 765 750 7^ 

7450 7450 7*50 7SJ0 
u. six 54 S* If 

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150 143 1^ 1^1 

£ a JS £ 

124 124 12&30 125 

1450 1550 MJ5 15» 

8250 12 HJ8 <Z20 

IS 1*75 1*75 15 

IW 10760 108 10740 

1 SS SI 

uu 7*» 

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Mmole* M 




Land Sec 9.99 

LiuntO 277 

Legcd Geid Gip 540 

Ltoyt»T5BCp 7^ 


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NtdWM 109 

Ned 6.95 

NtwttiUrion 199 

Orange 1» 

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SdmSWY A* 

Scrirodeo 1948 

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Sett Nephew 1J0 

SadbOna *29 

SaBtashid 144 

S % 

Tide & Lyle *97 

Ttsa 105 

Thome* IWer 9.10 


T! Group *77 

TeenMre in 

SK&rana II 

uSu»» 7M 

FT-5E 180:513258 
Prate* 511240 

5 495 

Ml 14 16J14 
951 951 

5-53 546 

570 570 

340 342 

■9.97 1020 
873 B79 

340 158 

1740 1758 
554 557 
2JH 250 
655 651 

853 506 

*55 *47 

15* 13S 
*79 *74 
154 154 

1056 1022 
154 153 

557 505 

6XB 609 
*72 *47 
8J7 8J3 

742 747 

197 1» 
561 560 

*07 *10 

*52 455 

556 *93 

*78 650 

*90 557 

174 171 
1049 102* 

UL0S 1*69 
953 958 

0*1 376 

OS 857 
IAS 258 
977 977 
274 271 

553 528 

753 74« 

220 216 

554 *03 

557 5.11 

1*96 1*98 
290 191 
579 575 

1058 1005 
655 657 

196 3.91 
244 241 

658 650 

103 7.91 

129 128 

8 7.98 

438 *20 
725 1.U 

941 953 

345 141 

940 952 

342 347 

*06 *27 

247 247 

*67 646 

294 253 

740 757 

820 841 

258 257 

743 745 

6.16 *01 
341 358 

548 *97 
1951 1955 
7J9 755 

555 — 
226 _ 


12jQ5 1148 
140 178 

*25 *17 

IS ft 

3 H 

*96 505 
946 901 

*04 &n 

*30 *7* 

254 296 

*S9 — 


7 7 

740 775 



Agas Bmcdon 














Union Fenoso 









Canal Pkis 


High Lav due Pro*. 

CAD** 297547 

1118 1101 1110 1119 

31890 31770 31840 318 

934 911 978 915 

761 751 757 750 

468J0 46420 466 46550 

975 9« ' 975 945 

*42 43*20 64080 436 

320JC 31*40 31B 318 

1145 1128 1133 1133 

3103 3048 3090 3025 

High Law Oosa Port. 

Store A 10050 99 100 99 

Sv Mandril A 277 27*50 27450 275 

VahoB 21350 21050 313 211-50 

The Trib Index 

Jan. 1. 1902= 100 Law 

Prices as of 3.00 PM Now York time. 






337 377 50 








410 407X0 

410 40190 














Christa Dior 























3650 3580 
106*0 10420 
4940 4070 
4710 4600 
2975 2810 
4125 4010 

2880 2800 
1290 1270 

90« 7930 

2040 2005 

2350 2295 
6560 6440 

1475 1445 

3610 3595 

10650 10330 
4940 4873 
4610 4670 
2945 2840 
4045 4020 
2820 2850 

1285 1Z7C 
7900 8040 

2030 2C15 
2325 2290 
6520 6440 

14*5 1475 

12700 12450 12500 12400 
4590 4520 4505 4500 

14ffl 1440 1455 1445 

3000 2955 2990 3000 

Markets Closed 

Stock markets in Manila 
and Seoul were closed Tues- 
day for a holiday. 


Alfa A 

&np Atodema 


Gpa F Bcdcmt 





Dtata Rnn 

El Aquitaine 

Eridanto B5 



France Tel teem 






PaTfeos A 
Pernod Rlcoid 
Peugeot □> 



SGS Thomson 
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188 1B6 186JV 18540 

647 632 647 639 

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108X0 112-01 
290X0 291X0 
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13805 1360 
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292 288 

227 22230 

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10040 10050 
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32540 322 

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Mafau Etc bid 

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111 11130 no 
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xi or xi 63 

56 5*50 56 

MM 225:1529874 
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1240 1270 1230 
496 500 497 

2410 2500 2*00 

510 530 505 

*21 442 *20 

595 620 583 

1760 ISOO 1750 
320 34* 3S 

2810 2830 2770 
3000 30*0 3000 

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2430 2450 2380 

5*0 523 

770 764 

279 275 

690 624 

— 450 *39 

nmr 3450n. 3240 b 
2270 2350 2220 
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1390 1400 1400 

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930 930 90* 

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925 930 925 

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2130 2210 2130 
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200 202 200 
172 178 165 

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101 105 101 

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327 344 324 

5810 5920 5780 
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JOB 229 215 

2000 200 2000 
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1120 1130 urn 
950 1030 941 

182 187 177 

320 13* 320 

1380 1420 1380 
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1290 1310 1270 
755 772 732 

1230 1260 1240 

243 253 245 

3310 3310 3300 
1360 1390 1340 

1270 1290 1270 
336 346 331 



















% change 


+ i04 

.+ 120 

+ 1559 


+ 1.40 

+ 1.48 



+ 1.19 

+ 0.62 

+ 2059 


+ 358 

+ 1.73 

+ 33.75 


+ 251 

+ 158 

+ 3351 


+ 351 

+ 1.72 

+ 2127 


+ 150 

+ 0.92 

+ 29.73 


+ 2.04 

+ 155 

+ 15.00 


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+ 6.72 

+ 0.02 I 


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+ 27.75 f 


+ 059 

+ 0.35 

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World Indax 17255 +2-04 >1,20 +15.69 

Regional Mena 

AsbUPBcMc 9620 + 1.40 +1.48 - 22.06 

Europe 193£8 +1.19 + 0.62 + 20.09 

N. America 216.63 +188 +1.73 + 33.75 

S. America 15220 +221 +128 +3321 

Industrial Indexes 

Capital goods 20728 +321 +1.72 +2127 

Consumer goods 209.43 +120 +0.92 +29.73 

Energy 19622 +104 +125 +15.00 

Finance 12320 +126 ■ +1.12 +5.79 

MsceOaneous 14924 +321 +2.61 —7.31 

Raw Materials 175.42 +11.04 + 6.72 + 0.02 

Service 175/42 +227 +127 +27.75 

Utmes 16822 +059 +0.35 +1723 

The International HBfaJOTriXJna Wort! Stock Max C tracks ffie U.S. OoOar value 
ot 2B0 keametl an aSy Investable stocks fmm 25 counmes. For mare Inton at ion, 
a fmo booklet bankable by writing to The 7» Max, 131 Avenue Ctiaries oa 
GuuBe. 92521 Noutty Cedax. Franca CompSod by Bloomberg News. 




Sakurn Bk 







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Seven- Seven 


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Tokyo Gas 

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ToyoTtart 780 

Toyota Motor 3750 

VbmanowN 2800 


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1600 1620 1620 
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2920 2950 2920 

1270 1320 1270 

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FMdrCh Paper HB Z.15 2.17 Z15 

Ltan Motto 3X3 3X0 3X3 1B0. 

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1740 1720 1740 P00 

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i'Z-i V: ■ ' ». ■ — •-*. 


PAGE 14 




Bankruptcies Devastate Koreans Company Towns 

By Seth Faison 

New York Times Service 

TANGJIN, South Korea — In a 
company town, the common as- 
sumption is that the company itself 
is as solid as bedrock. 

In South Korea, company towns 
became so prevalent in recent years 
that they recalled a bygone era in the 
United States. Yet today, big compa- 
nies are falling bankrupt so fast that 
the country is Uttered with towns 
like this one, devastated by the sud- 
den loss of the local economic en- 
gine that provided an area with its 
identity as weU as its livelihood. 

In Tangjin, a typical Korean town 
of 40.000 residents, many are still in 
shock over the collapse of nearby 
Hanbo Steel Co., the nation’s 
second-largest steelmaker. 

It is an economic disaster, felt by 
almost everyone here. But on top of 
that, many residents said they are 
finding it hard to accept the notion 
that big companies as a way of life 
— in South Korea, conglomerates 
are credited with fueling the nation's 
tremendous growth in the last 20 
years — may be a thing of the past 

~ / - 

••• V* Seoul 


v • ; • /• 4* 



: «b#% ">* 

"No one thinks big companies 
are infallible anymore," said Kim 
Jong Kuen, 29. a Hanbo employee. 

“When I graduated from school, 
we all wanted to work at a big com- 
pany. It was about image, a way to 
impress people." 

image may have been foremost in 
the minds of many young men who 
went to work at a big company — 
known here as chaebol — but they 
also settled into the high pay, rock- 
hard job security and professionalism 
that came along with it. No longer. 

Although Hanbo is one of more 
than 15,000 company bankruptcies 
this year, and in many ways rep- 
resents the quintessential chaebol 
story, it is also a special case. Some 
South Koreans consider Hanbo and 
its chair man responsible for trig- 
gering the whole financial disaster 
that has enveloped their country. 

When a court began administer- 
ing Hanbo’s affairs, it gradually be- 
came dear that its chairman, Chung 
Tae Soo, had borrowed more than 
$6 billion, a hefty sum for a com- 
pany with about $500 million in 
revenue this year. Investigators de- 
termined that Mr. Chung could nev- 
er have secured the loans without 
government help. 

The more Hanbo’s affairs were 
exposed, -the worse they turned out 
to be. By June. Mr. Chung was jailed 
for having brazenly bribed govern- 
ment officials, customarily hiding 
stacks of cash inside a crate of apples 
that his chauffeur would deliver. 

In court receivership, Hanbo still 
labored to make steel, although con- 
struction was halted on the second 
half of its plant But in the autumn, 
when many Southeast Asian cus- 
tomers canceled orders for steel, 
Hanbo went from bad to worse. 

By November, Hanbo had let go 
8,000 workers from its 10, 000- 
member staff. 

-llllStl iilttiiS':* 

■ : ’ /'I : *' " 



Snfa FiwiWTbe New fafclbm SOUTCS: TelOlaitS 

: in Tangjin are suffering after the failure of Hanbo Steel, the town’s largest employer. 

The scandal involving Mr. 
Chung, which enveloped several 
legislators and the son of President 
Kim Young Sam, led lawmakers to 
investigate- loan practices and 
bribery at other big companies, fuel- 
ing a financial panic and drastically 
affected lending by banks. 

By December, 45 companies 
were filing for bankruptcy each 

Mr. Chung was sentenced to 15 
years in prison for bribery, and on 
Friday an appeals court upheld his 
conviction ami sentence. 

As finan cial troubles spread all 
over South Korea, people in Tangjin 
began to see that Hanbo's troubles 
were not unique. 

"At first I thought it was all the 
chairman's fault," said Kim Young 
Shik, 22, a machin ery repairman at 
Hanbo. "But then I started to see 
that this was how the chaebol did 
business. Mr. Chung was just trying 
to protect the company. The prob- 
lem lies in the whole system. . 

Inside Hanbo’s cavernous steel 
plant, a lone executive ushered a re- 
porter into a bare conference room. 

"I am scary I cannot offer you 
tea," said the executive. In Don 
Hong. "But there is no one here to 
serve it. We dismissed all those 

He said the company would try to 
produce 2 million tons of steel in 
1998, down from its original pro- 

jection of 5 million tons. 

Back: in Tangjin, shopkeepers and 
restaurant owners sad pool-hall man- 
agers complained that their busi- 
nesses had suffered drastically. In 
addition to Hanbo plant, several other 
factxxies near the town have closed. 

Although store owners are des- 
perate for customer they, too, are 
prone to the defensive crouch that 
many Koreans seem to have adopted, 
saying that if everyone simply saves 
more and spends less, the country 
will emerge from its troubles. 

“We have to be frugal," said Oh 
HaeRyun, 39, who runs a cosmetics 
store in Tangjin. "If everyone can 
conserve more and spend less, we'll 
get through (his." 

Very briefly; 

• HSI Services Ltd, the 

%. *f JBBj 

iDtnali.atal Hunk) Tribune 

that compiles Hong 

• The State Bank of Pakistan’s governor, Mohammed 
Yaqub, dismissed market expectations of a devaluation of the 
rupee, saying the central bank had no plans to do so. 

• Sakura Bank Lt(U said it would unveil a restructuring in 
January, but would not comment on a newspaper report that it 
might close about half of its overseas branches. 

• South Korea’s high-speed rail project, which includes cars 

made by the Freoch-British engineering company GEC 
Alstbom, is likely to be postponed as aides of President-elect 
Kim Dae Jung review the feasibility of the country's biggest 
civil engineering project, said Chang Che Shik, a member Mr. 
Kim’s economic task force. Reuters, Bloomberg. AP 

Beijing Tightens Controls 
Of ‘Harmful’ Internet Use 

Malaysia to Urge Finance Firms to Merge 


BELTING — C hina clamped new 
controls on (he Internet on Tuesday, 
warning that the network was being 
used to leak state secrets and to 
spread "harmful information " 
Regulations unveiled by Zhu En- 
tao, assistant minister for public se- 
curity, cover a wide range of crimes, 
including political subversion and 
spreading pornography and vio- 
lence. The rules are also designed to 
protect against computer hacking. 

1 Million Layoffs 
Seen in Indonesia 

The Associated Press 

JAKARTA — An estimated 
1 million people may have lost 
their jobs this year because of 
the economic crisis in Indone- 
sia, an Indonesian Chamber of 
Commerce and Industry official 
was quoted as saying Tuesday. 

"A source at the Ministry of 
Labor said probably the dis- 
missals of workers by the end of 
this year could number 1 mil- 
lion," Aburizal Bakrie, the 
general chairman of the cham- 
ber. was quoted by the news- 
paper Kompas as saying. 

Labor Ministry officials were 
not immediately available for 
comment. Indonesia has a work 
force of about 91 million. 

viruses and other computer-related 

.They call for unspecified “crim- 
inal punishments” and fines of up to 
15.000 yuan ($1,800) for Internet 
providers and users who violate the 
rules. The penalties would apply to 
individuals and businesses. 

One regulation says the Internet 
must not be used to "split the coun- 
try,* ’ a reference to separatist move- 
ments. Another on "defaming gov- 
ernment agencies*’ appears 
designed to combat use of me In- 
ternet by dissidents. 

The Xinhua news agency quoted 
Mr. Zhu as telling a press confer- 
ence Monday that Internet links 
since 1994 had boosted China’s cul- 
tural and scientific exchanges with 
the world. "But the connection has 
also brought about some security 
problems, including manufacturing 
and publicizing harmful informa- 
tion, as well as leaking state secrets 
through the Internet.'' be said. 

The regulations, contained in 25 
articles, took effect Tuesday. They go 
beyond earlier provisional regula- 
tions first promulgated in February 
1996 and revised in May 1997. 

Hong Kong Internet surfers and 
providers will not be affected by the 
new controls, according to Anthony 
Wong, director-general of the ter- 
ritory’s telecommunications. 

“Hong Kong will regulate its own 
Internet,” he said, adding that the 
regulations in Hong Kong would not 
apply in China and those in China 
would not apply in Hong Kong. 

Compiled hi Our Sufi Fmm Disperha 

KUALA LUMPUR — Malaysia is stepping up the 
pressure on its nearly 40 finance companies to merge, 
a strategy it hopes will rejuvenate the once-booming 
industry as the economy shrinks and loan curbs begin 
to take effect, analysts said Tuesday. 

Bank Negara Malaysia, die country's central bank, 
will soon unveil a plan to encourage the finance 
companies to merge, a spokeswoman for the bank 
said Tuesday. 

The plan, which could be announced this week, 
will nam e "what finance companies we think should 
merge,” she said. "We are giving the great light” 

The companies involved would be left to decide 
which companies they would negotiate mergers with, 
she said. The central bank expects that there could be 

“five or sue, or seven” finance companies as the 
merger core, the spokesperson said. 

The move tinners cores the crisis in Malaysia, 
where die ringgit has declined 35 percent, the econ- 
omy has slowed and the stock market has been 
battered. In addition, interest rates have soared, eat- 
ing inm banks’ profit margins. 

4 ‘They have to be forced to merge because of rising 
costs,” said Angie Ang, a h anking analyst at Caspian 
Research Sdn. 

A regional economic slump fueled by currency 
devaluations has deeply depressed growth prospects 
for finance companies. Malaysia has seen gross do- 
mestic product growth of more than 8 patent for rite 
past decade, but expects growth to slow to between 4 
percent and 5 percent in 1998. (Reuters. Bloomberg) 

A Toyota Plan to Make Luxury Cars in U.S.? 


TOKYO — Toyota Motor Corp. 
is considering manufecturing lux- 
ury cars at plants in die United 
States, beginning as .early as 2000, 
Japan’s leading business daily re- 
prated Tuesday. 

Toyota may make a luxury sport- 
utility vehicle, introduced early this 
month in Japan as the Harrier, in a 
plant in Indiana, the daily Nihon 
Keizai Shimbun said. 

Toyota's offices were closed 
Tuesday for die New Year's holiday 
and company officials were cot 
available for comment 

Toyota has been steadily increas- 
ing production in the United States, 
partly as a way to ease criticism over 
Japan's huge trade surplus. Auto ex- 
pects account for the biggest share of 
die surplus and have been growing. 

The plan is part of Toyota’s con- 
tinuing efforts to increase its over- 
seas output despite die recent fall in 
the yen, which has made Japanese- - 
made cars more competitive in over- 
seas markets, Nihon Keizai Shim- 
bun said. 

Toyota is building a $700 million 
plant south of Princeton, Indiana, 
and already plans to produce about 

100,000 T100 pickup trucks annu- 
ally when it opens in me fall of 1998. 
The plant will employ about 1,300 
workers. The company would have 
to build a second production line at 
the plant to make the sport-utility 
vehicle, the paper said 

It said Japan’s largest automaker 
also might produce a hixary sedan in 
die United States. (AP. Reuters) 

Vietnam Reports Slowdown in Economy 


HANOI — Vietnam’s economic growth slowed to 9.0 percent in 1997 
from 9.3 percent the previous year, while the trade deficit narrowed to $235 
billion, down 39.6 percent from 1996, the government said Tuesday. 

The General Statistics Office said imports since January were worth $11 .2 
billion, up 03 percent from the same period last year, and exports rose 22 
percent to $8.85 billion. A main foreign-exchange earner in 1997 was coffee, 
with an estimated 404,000 tons exported, up 42.8 percent from 1996. 

< REED: British-Dutch Publisher’s Aggressiveness Breeds Mounting Concern Among Its Customers 

Continued from Page 11 

ies. which buy about 95 percent of 
Reed's science journals, have been 
accepting price increases on sub- 
scriptions that have averaged in the 
double-digit range for years. And re- 
newal rates for those subscriptions 
run at a rate weU above 90 percent 
Indeed, Purdue may prove a mere 
crack in what remains very strong 
demand from the professionals — 
lawyers, accountants, doctors, scien- 
tists. academics — that consume the 
information Reed Elsevier provides. 

The merger news is only the latest 
sign of the company's confidence in 
its strategy for growth: It furthers a 
consolidation move in the publish- 
ing and information-service busi- 
ness. a wave that Reed Elsevier has 
been aggressively riding, particu- 
larly in the United States, where 
demand for the sort of information it 
sells is strongest. 

In June, the company spent $447 
million to buy Chilton Co. from 
Walt Disney Co. Reed plans to fold 

Chilton ’s 39 trade magazines into its 
existing trade-magazine group, 
Cahner’s Publishing Co., to build a 
library of 130 journals worldwide. 

Earlier, it struck a deal to acquire 
MDL Information Systems Inc., a 
California company that sells data- 
bases and software to scientists in 
the pharmaceutical and chemical 
fields. Last year it agreed with 
Times Mirror Co. to form a joint 
venture to buy Shepard's, the legal 
publisher, from McGraw-Hill Inc. 

Neither Reed nor Wolters Kluwer 
has slowed down since their merger 
was announced. On Dec. 8. Thomson 
Corp.. a competitor of Reed Elsevier, 
said it had agreed to sell its Thomson 
Science subsidiary, which publishes 
books and journals, to Wolters Kluer. 
Terms were not disclosed. 

Days after that deal was an- 
nounced, Elsevier Science said it had 
agreed to buy Beilstein Infonna- 
lionssystem GMBH, a chemical data 
base and handbook, from the non- 
profit Beilstein Institute. The product 
will be marketed, sold and supported 

by MDL Information Systems. 

Nigel Stapleton, co-chief exec- 
utive of Reed Elsevier and one of 
three executives who will run the 
combined company, to be called El- 
sevier Wolters Kluwer NV, if the 
merger is approved, has no intention 
of stopping. 

“There is a lot left to buy,” he 
said, "particularly if you subscribe 
to the view that in a technology - 
environment, scale is more impor- 
tant that it ever has been." 

He added, "Clearly, in the elec- 
tronic world you need to make big- 
ger bets than in the hard-copy world, 
because the costs are higher and the 
marketplace is global Also, when 
you are investing in new technol- 
ogy, the success rate is by no means 
as sure as when you are increasing 
the distribution reach of the hard- 
copy type," 

that view pleases securities ana- 
lysts, who say that what Reed is 
doing makes economic sense. But it 
greatly disturbs some of the com- 
pany's customers, who say consol- 

idation is stifling competition and 
driving up prices. 

“Journals can raise prices faster 
than we can raise money to pay for 
them," lamented David Shulenbur- 
ger, provost of the University of 
Kansas. "Reed's merger with 
Wolters Kluwer makes this worse, 
because there will be fewer non- 
Reed outlets." 

If its merger with Wolters Kluwer 
is approved, Reed’s position in sci- 
entific publishing, its highest-mar- 
gin business, will be somewhat en- 
hanced. According to analysts, 
among commercial publishers Reed 
currently has about 15 percent of the 
market, Wolters- Kluwer about 3 

Still, the combination will far out- 
distance the next-biggest player, 
Blackwell, which has about 4 per- 
cent of the market. Not-for-profit 
scientific societies, which used to 
dominate the field and charge fairly 
high subscription rates themselves, 
continue to be important publishers 
of science journals. 

While Wolters Kluwer ’s science 
assets were an attraction, the rad 
key to the meiger seems to be CCH, 
the venerable, family-owned busi- 
ness law and tax publisher that 
Wolters Kluwer bought in 1995 for 
$ 1.9 billion in cash. Reed owns Lex- 
is/Nexis, which, along with its rival 
West Publishing, a division of 
Thomson, is a leading deliverer of 
legal information. 

Until now, however, Reed has 
owned very little of the content it 
provides. With CCH, that will 

"All the megamergers have been 
driven by content and distribution," 
said a securities analyst in London, 
who insisted on not being identified. 
“Reed is strong in delivery. And 
CCH is very rich in legal content" 

Given the size and sprawl of the 
merged company, analysts and an- 
titrust lawyers said it was likely that 
regulators in either Brussels or 
Washington, or perhaps both, may 
require some divestitures before 
signing off on the deal. 

CHINA: Beijing Cuts ’97 Growth Forecast and Restores Tax Break 

Continued from Page 11 

quarter fell as low as 8 percent, com- 
pared with 9.4 percent in the first 
quarter, according to the figures. 

According to the bureau spokesman, 
two main problems cut a percentage 
point from 1997 growth — weaker- than - 
predicted agricultural production and 
supply outstripping demand for the 
country’s industrial products. 

Qiu Xiaohua, die bureau's senior 
economist, said the government would 
speed up housing reforms and invest- 
ment in poorer western regions as ways 
to stoke growth next year. 

Other economic indicators paint an 
encouraging picture. Exports rose 20 per- 

cent, against a on e-percent rise in imports, 
and the trade surplus reached a record $40 
billion. Foreign exchange reserves hit 
S14Q billion, the spokesman said. 

Retail inflation fell from a 1994 peak of 
21.7 percent to 0.8 percent, while con- 
sumer price rises — which also include 
the price of services — slid to 2.8 percent 
But the lower price levels may signal 
weaker economic activity ahead. The 
country’s central bank moved to lower 
interest rates at the end of October. 

While foreign investment nose 13 per- 
cent during the year, promises of new 
investment plummeted 28 percent during 
the first 10 months to $48.7 billion, the 
State Statistics Bureau spokesman said. 

He said this drop-off was normal after 

the huge influx of foreign capital in 1 
recent yeare. But the Asian financial j 
crisis will make overseas investors more 1 
cautious toward Asia, and investment 
could fall in China in 1998, he warned. 

Collectively owned rural enterprises j 
increased their production 1 1 percent for 1 
the year, the spokesman said, a drop of 5 j 
to 6 percentage points from 1996. 

Unprofitable stale-owned enterprises, j 
for their part, accumulated 703 billion 
yuan ($8.48 biUion) in losses, although 
profits of otter state enterprises more j 
than compensated. By the end of the 
year, 12 million workers had been laid j 
off by slate enterprises, but from 5 to 6 
million have found new work," he said. ! 

(AFP. AP. Bloomberg. Reuters ) . 

Worldwide MVGAS 
“MMM - 96” 

for those who can count 
their money! 

The Project “Campaigner” 

Our WWW-address in the Internet: 

http://195.5-.14U0 or 
http: / / 

ILS. Executives Still Favor Asia 

Bloomberg News 

NEW YORK — Asia, led by China, is the No. 1 region 
outside the United States that corporate tax and finance 
executives will be investing in over the next five years, 
according to a new survey by Ernst & Young. 

In a survey -of 400 executives last month, 38 percent said 
Asia will be the most important emerging market region over 
the next five years, and 34.5 percent said China was die top 
country drey would be investing in. 

Further, 60 percent of respondents said that recent currency 
fluctuations in Southeast Asia- would have only a moderate 
impart on their operations in 199§. 

The second-most popular investment region for executives 
in the survey was Latin America, with 24 percent of re- 

spondents saying most of their investment outside die United 
States would go there. Accordingly, 22.9 percent of re- 
spondents said Brazil would be the main beneficiary of their 

funds, Ernst & Young said. 









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PAGE 16 


Tuesday's 4 P.M. Close 


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PAGE 18 

^ 3torall>S£$ribraie 



World Roundup 


Andreas SchifTerer taking ofF 
Tuesday on his way to victory. 

Schifferer Conquers 
Bormio Downhill 

SKitNG Andreas Schifferer won 
his second men’s downhill of the 
season Tuesday and knocked a fel- 
low Austrian, Hermann Maier, from 
the top of the downhill standings. 

Schifferer tamed the icy Steivio 
piste in Bormio, Italy, in 2 minutes 
1.44 seconds to beat another Aus- 
trian, Werner Franz. Lasse Kjus of 
Norway prevented an Austrian 
sweep by taking third place in 
2 : 02 . 10 . 

Maier missed a podium finish for 
only the second time in nine races 
this season. He finished fourth, in 
2:02.19, and still leads the overall 
standings. ( Reuters ) 

No Graf in Australian Open 

tennis Steffi Graf, the former 
world No. 1, has withdrawn from 
the Australian Open in January. 
Graf withdrew because of persist- 
ent injury problems, Paul Mc- 
Namee, die tournament director, 
said Tuesday. (Reuters) 

Enis Will Tam Pro 

FOOTBALL Curtis Enis, the All- 
America r unning back, is leaving 
Penn State University to enter the 
National Football League draft 
Enis is suspended for the school’s 
in the Gtnis Bowl after 

Jeff NaUey, a sports agent, 
to - buy him a suit of clothes. Enis 
violated NCAA rules when he took 
die suiL He also lied to Joe Pateruo, 
die Penn State coach, about iL Enis. 
a junior, rushed for 1,363 yards and 
19 touchdowns this season. (AP) 

Sky Hook or Left Hook? 

BASKETBALL Kareem Abdul- 
Jabbar, the retired basketball star, 
has been charged over a confron- 
tation at a West Los Angeles mini- 
mal! last spring. 

Abdul- Jabbar, 50, who retired in 
1989, is accused of attacking a man 
and has been charged with one 
count each of battery and false im- 

• Corliss Williamson of the Sac- 
ramento Kings and Derrick Cole- 
man of the Philadelphia 7 tiers were 
suspended and fined by the NBA 
for fighting during a game. 

Williamson was suspended 
without pay for three games and 
fined $15,000, and Coleman was 
suspended without pay for two 
games and fined $10,000. (AP) 

The Year in Sports: It’s Not Over , and Won’t Be for Months 

International Herald Tribune 

T his was a year of false resolutions 
in sports. Much was contested but 
little was decided. In many cases 
judgment must be postponed until more 
information comes in. 

Look at it this way: there’s no need 
for sentimentality or loneliness this 
New Year's Eve. Just think of it as 
halftime. Now, 1 99S, that is going to be 
a year 

• The usual suspects all survived this 
year’s soccer World Cup gualiiying 
rounds — Germany, Italy, Argentina 
and even England will all be in France 
along with automatic qualifiers France 
(as host) and Brazil (as defending cham- 
pion). Now comes the more important 
question. Are any of them going to 
follow through by winning the cup? Ail 
of them could be vulnerable to an un- 
derdog that copes with the pressure bet- 
ter and hits a hot streak. 

• Elvis Stojko of Canada, the explo- 
sive jumper, 
gram) Tara 
American with I 
were the best skaters in the world in 
1997. They are the world champions. 
Now they face a sterner test: Can they 
win figure skating gold medals at the 
Winter Olympics in February at 

Vantage Point/iAH Thomsen 

Nagano, Japan? 

•Michael Jordan won his fifth NBA 
championship last year. Can Jordan, 
who seems likely to retire next summer 
ax 35, go out with a third consecutive 
title and sixth overall, giving him more 
championships than every great bas- 
ketball player but Bill Russell? 

• Will Tiger Woods be able to extend 
the sense of dominance that carried him 
through this year’s record victory at the 
U.S. Masters? By his standards be was 
gasping for air over the latter half of his 
first full professional year. He must try 
to be as monstrous next August as he 
was last April. 

• Did Michael Schumacher’s year- 
ending crash in Spain mark the end of 
his short reign as die world’s greatest 
driver? In a last-ditch attempt to win the 
1997 Formula One championship, he 
tried unsuccessfully to ram his rival 
Jacques Villeneuve off the road. Will 
the humiliation steel him to become 
better than ever? (Or has Formula One 
became such a sham as to make these 
questions irrelevant?) 

• Was tins year a t em porary setback 
— lost with tiie thigh injury he suffered 

in his 150-meter exhibition against 
Donovan Bailey of Canada — for Mi- 
chael Johnson? Or will the next year be 
spent trying to elevate a new glamorous 
star for track and field? 

Many American sports were in tran- 
sition this year. The National Hockey 
League helped sponsor the first ice 
hockey World Cup, won by the United 
States in an upset over the Canadians, as 
it prepared to shut down for more than 
two weeks in February in the hopes that 
the debut of its professionals at the 
Winter Olympics will give the sport a 
worldwide “Dream Team” boost 

championship team in their fifth year of 
existence; than the franchise was being 
put up for sale along with several key 
players, like a circus on its last legs. 

The European Cup went to Bomssia 
Dortmund of Germany in a 3-1 upset of 
the defending champion, Juventus. 

Over the summer, Eric Cantona re- 
tired anrt yet Manches ter United Won 

Pe r ha ps Ronaldo will affirm his great 
taientsTthe World Cup. but until hfc . 
does, Sampras and Jordan are alone at 
the top ofthe sports world. 

The proudest victory was Europe s in 
the Ryder Cup, as the sum of its pans 
overcame the Americans, who had spent 
the preceding months winning all of the 
imoortant individualistic tournameats. 
le best team in the world was prob- 

more games than any other team in the 

mC^onslJ^-u^itihe ably the AU- B i rf 

favoriteTat least with English book- who regained runs^ 

makers, to become the fust English Jonah 

champion of Europe since Liverpool threatening kidney disease, k> nraxe r 

themselves favorites - ■ 


NE of the great NFL mainstays, 
I the Green Bay Packers, won 
their first Super Bowl in 29 years 
last January, but the current s e a so n hag 
pointed out the difficulties tire league is 
having with free- agent 'turnover and 
franchise relocations. Such problems 
are minor compared with those of major 
league baseball, which culminated in an 
Octobo - rarity — a disappointing World 
Series. (Which, of co urs e, is stiu better 
than no World Series at alL) No sooner 
had the Florida Marlins put together a 

last succeeded in 

■A few issues required no further dis- 
cussion. Fourteen times tennis players 
from the Top 10 tried to beat Pete 
Sampras ibis year, and 13 tunes they 
lost Sampras finished as world No. 1 
for the fifth year in a row, equaling the 
record of Jimmy Connors. He was voted 
the top player ofthe ATP Tour’s first 25 
years. He won two more Grand Slam 
tournaments — including Wimbledon 
for the fourth time in five years — and 

needs just three more to break the record 

of Roy Emerson. 

When S ampr as suffered a calf injury 
in his opening m»toh of the Davis Cup 
finaL the host Swedes had little doubt ot 
their im pending victory. 

Rugby World Gi 

Another sure 

tip in Britain, 
tiling was the destroy ; 
tion of Mike Tyson. He will continue^.... 
earn dollars in the tens of millions, but 
he will no longer be compared t&, 
Muhammad Ali or Joe Louis. 

The most remarkable example ofc: 
misp laced priorities surfaced as the eo- 
.tire world was horrified that Tyson 
would chew up Evander Holyfield’s ear 

a sliver of ear spat on the ground 

being no match for the damage the two 
of them were trying to inflict on each 
other’s brains. _ , , 

t isn-.n carefully to Holyfield speak- 
ing. The signs, very sadly, are there 
already. j 

The Australian captain Mark Taylor holding a catch to dismiss Adam 
Bacher of South Africa in the first test Tuesday. The match was drawn. 

Timely 101 Rescues South Africa 


MELBOURNE — South Africa sur- 
vived a tense final session to draw the 
first test against Australia on Tuesday 
after Jacques Kallis inspired his side 
with a marathon century. 

The South Africans survived 122 
overs in their second innings cm an 
absorbing fifth and final day. 

Kallis batted for six hours to score 

101 as South Africa reached 273 for 
seven wickets at close of play, 108 runs 
shy of the victory target. South Africa 
had long abandoned any attempt to 
chase the 381 runs it needed. 

The Australian leg-spinner Shane 
Wame provided the greatest threat on a 
deteriorating wicket, taking three wick- 
ets, including Kallis, in 44 overs for 97 



Major Colleqe Scores 

North Carolina 97. Bcthanc- Coo Vmon 46 
Kansas 89, VOndcrtriN 82 
Stanford 70, Rhode Island 69 
NcwMaJco 11£ Holy Cron 41 
‘ Florida State H Sm i lhni es tem Loo hta o 71 

Tournament Finals 

Wichita SL 79. Buffalo 49 

CoHomto 6ft Vb. Commonwealth 57 
Princeton 61, Niagara 52 

NBA Standings 

D:FHey 7-23 64 22 Bradley 8-15 2-2 IS 
Scan 7-172-2 IftO Jordan 16-29 911 4L Ku- 
Koc 703 5-6 19. Rafewnds—Oalas 48 (Brad- 
ley 10), Chicago 65 (Rodman 27)- Asstats- 
— Dallas 14 (Psdc 4), CM. 24 (Rodman ©. 
Chariot!* JT 77 29 33-128 

Houston 21 32 20 27—101 

& Wnler 12-176-B3acwiy>-I4 l-l 23; H; 
WBUs 9-18 (H> 18. Dialer 6-13 4 5 18. 
Mwaadt-Chaitotto 42 (Rice, Mason 8). 
Houston 40 (Bartley 12. Assfate— Charlotte 
32 (Wesler 8), Houston 25 (BarMer 91. 


NHL Stanoinos 

SL Leals 

xawfTic nvmoN 








ft 79 







New Jeney 





New Yack 



































I 1 . 





























W L T Pts CF CA 
NewJener 25 10 2 52 114 72 

PtilladctoNa 21 10 7 49 107 85 

Washington 17 15 8 42 109 108 

N.Y. Rongors 12 17 12 36 104 112 

N.Y. Istondoa 15 19 5 IS 104 111 

Florida 14 20 S 33 101 115 

Tampa Boy 8 23 7 23 68 115 

PWS&Wflh 20 12 8 48 109 VI 

Montreal 20 IS 6 46 115 98 

Ottawa 18 17 4 40 99 90 

Baton 17 16 4 40 99 101 

Carolina 14 2a s 33 ioo no 

Buffalo 13 19 6 32 89 1(D 








Sm Antonio 





















2 25 
























Golden State 












4 , 4 



W L T Pts CF GA 
□ottos 25 9 4 54 126 83 

Detroit 24 9 8 56 139 98 

SUmUs 22 14 6 50 122 103 

Phoenix 17 16 7 4i 112 109 

Chicago 13 18 7 33 83 88 

Toronto 13 19 5 31 85 109 


Colorado 20 B 13 52 121 96 

Ua Angela 16 16 6 38 110 1« 

Anaheim 13 19 7 33 92 120 

San Jose 14 20 4 32 92 106 

Edmonton 11 19 9 31 91 116 

Calgary II 22 8 30 104 1 25 

Vancouver II 22 6 28 109 lO 


tiagtea 3* 22 19 T6-9I 

Jersey 2* 35 2* 16— 99 

WMBerS-15 S4 22. Howotil 6-13 M2 
LL Van Hem 10-19 10-1032. J.WWma 
5*7 19, Ccssttt 4-14 10-11 19. Re- 
ds— Washington 51 (Howard 8], NJ. 61 
Mams 22). Assists— Washington 17 
Aland HU. New Jersey Id (tossed 9). 
a 25 29 23 28-ittS 

w 31 23 » 27-111 

N.Y.r danders 1 8 8-1 

Htthon* 1 3 1-5 

1st Period; P-Jogr 19 (Hatchet: Brown] 
(pp). X N.Y.-Btnmf 12 (NemdiftmJ Id 
Period; P-Francis 12 (Jogr, Barnes) 4, P- 
F roods 13 (Jag& Baines) X P-Lang 4 (Mo- 
ron) 3d Period: P- Fronds 14 (Jag s, Banwe) 
(pp). Stab on goat 100-8^-8-20. P- 9-16- 
18—43. caaflec N-Y.-Scta, Fktnud. P- 
Bcrmssa Stas*n. 

KoW Jersey 3 0 8-3 

Bnflria 1 0 8-1 

1st Period: NJ.-MdCay IS (AadreydiuL 
Soorayl. 2. NJ.-Guerin X (pp). 3k B-Peco 8 
(Plante. Dowe) (pp). 4 NJ.-Thowa 6 
(ZazeO 2d Period: Non*. M Perto* None. 
Shots OH goto: NJ.- 7-8-4—19. B- 7-88-33. 
Goafies N J.-Brodeur. B-HascL 

t 1 8-2 
4 t 0-4 
let Perto(hS.L.-Campbell II IRbeauwe) Z 
W-Hunter4 (Berube. Cote) 3. W-Biuneffe 1 
(Kiygiec Oates) (pp). 4. W-Zedrak 12 
(Eagles. Tmonfll 5, W-Oates 9 (Cato. 
Kipperi 2 d Period: SJL-TwtDtte 5 
'Cochesrov Peflerin) 3d ported: None. Shots 
00 geab S.L- 7-84-19. W- 13-5-7-25. 
Ceattoi: Si. -FuTO. W-KoWa 
SanJese 1 0 0— 1 

Tampa Bay 0 l 1-2 

1 st Period: 5J.-Morteau 7 Watteau) 2 d 
Perio* T-Andeneon 1 (Pouttn. DyWnjis) 3d 
Period: T-OecareH 8 (V^baeri, HomW 
(pp). Stats on goto: SJ.- 1 1-10-9-30. T- 8 - 6 - 
6—20. c«te: SJ- Vernon. T-WWnson. 
Dallas 18 1 8—2 

Detroit 0 1 1 8-2 

in Porto* Dribs. Error 2 (Verheefc. 
HrtocJ 2 d Ported: Detraft Katto* 12 
(lUeCaty: Larionov) 3d Period: Detroit 
Hohnstrorn 4 (Danaenautt. Brown) 4, Dottra, 
Zobov 6 (Langenbnmnert Ov eril— . None. 
Shots on took Data IS- 7-7-2— 31. Oetret 
88-88-22 Coaltos: Data Beffour. Oetooft 
Osgood Hudson. 

Montreal 8 10 8-1 

Coforodo 8 18 0-1 

1st Period: None. 2d Pritod: M-AeccN 18 
(Kota Conan) 2 C-OzaSnsti 5 (Leoileux. 
Corbet) (pp). 2d Period: None. Overtime: 
None. Shed on goal; M- 5-15-84—31 C- 6 - 

12-88— 24. CoritoK M-ThtoOBK C-Roy. 
Phoenix 1 2 2-5’ 

Crigary 8 2 1-3 

1 st Ported: P-Coriairo 5 (Nonmdnen) (std. 
21 Pertoro C-SMmen 14 (FMur& AMW. 1 
P-Ceriromd (StopMbn) *, C-Ftawy IS CUtav: 
Stftnaa) X P-bbfater 6 W Reerodi) 
3d Period: C-Thm Id (SMtona Rotoson) 7. 
P-Tkodmfc2ri aXatataney) A P-Ttacfiufc 
25, (en). SM on 90 OTP- IO-14-10-34.C- 4. 
48-12 CaOTota P- Khridbo&L C-Nntoson. 
V wce wer • 1 1-2 

tes topeles 2 3 8-8 

1st Period: LA-CJohnson 7 (Nontrwn, 
StumpeO 2 LArMocoy 11 (Perreault 
BkAe) 2d Period: ULCOertaOTLA V-. Bure 
24 (Messtori & LA-RntiHoaie 14 
(CJrimswv Stompcg t> LA.-Sbrapel 11 
(CJotaSOT, ZmotettJ 3d Pitted: V*ne 25, 
Shots on 9 Nb V- 12-12-12-36. LA- 11-15- 
6— 32GenlBi: VJihe. LA-ftset 


tbn Oborina It. 155; 7. Atateger, 14& 8. 
TrfnkL 122 9. Jean-Luc Cretfed Fc, 121; la 
Chrtsttan Greher, Aust, 99. 

owmjux, UfSer is wnoW- l. Mater 
Crtronigoa SwBz. 39ft 5. KjeU Andre 
Acieodt No 32% 6. Josef StroW, Austria 
30ft 7.Kius29ftaairlstion Metro Aust, 232 
9. Hans Kuans, Aust, 22ft 10. Franz 216. 


College Bowl Games 


Gndfmall 35. Utoh State 19 

Georgia Tech 3& West Virginia 30 
Catondo State 35, Mbsoori 34 


mur mi, phial mu 

South Africa 186 md 273 lor seven 
Test ended in draw. 

Southampton 1, dirisea 0 


World Cup 


1. AndreiaSchiftaet AWLS ia.01 44sZ 
Wemer Frant Aust- 20142; 3. Lmk Kfua 
Nor. 2021ft 4. Heranrat Mata AosL 
202.1ft 5. Homes TrfakL AosL 2025ft ft 
hntK Aim. 2025® ft Roland Awingee 
AaL 20209, ft Brian Sterrata Can. 
20292 ia Werner PeroBionetv tt. 2D3JJ4. 

DOWHMLl, (Ntae 3 eMWb l.SOTff- 
toTK 3Q2pototo: 2 Mata 2»l Lasse Kta 
Nor. 197; A Frew EhefTWrter. 172 6. Kris- 

1. Mrothm Hingis. SwUzerlnnd, ft264 print) 
2 Joto Novotna Czech RepaUa 2711 
2 Lindsay Davenport. US. 3^61 
X Amanda CoeCzet South Africa 2131 
X Monico Seta 2968 
ft ten Mnjofc CronBa2^67 
7. Kart Pterca France, 2*61 
2 Irina Spirtea Romania 204 
9. Aranfaa Sashez Vksria 5pch 2317 
IOl Mary Joe Femonda& US. 21 14 
11 . NaJtwSe Tauztat Fronce, 1,998 
12 Canchita Marines Spain. 1,987 
12 Anto Haber, Gennmy. 1 XQ. 
W-SondrinoTeriua Franca 1^11 
15. Bronda Schultz-MeOrtiy; Nefll. 1^*97 



“KMO-Sgned OF Matt Mieske to 1- 
yigrcoHtnj cj. 


•“DOliAL basketball association 
N*A-S uspendcd5acnmentoFCoi8nWB- 
ntBon far3gariasand fined bin Sl&OOOfar 

ritemBon and RglAna and 
F Darick Coleman tor 3 gomes 

and fined him siftan sane Dec. a toddent. 

Feeble Goliath Faces Wealthy David 
To Give the Oldest Cup a New Twist 

International Herald Tribune 

L ONDON — The House of In- 
trigue versus the House of Har- 
rods was perhaps never quite 
what the founders of England’s FA Cup 
competition had in mind. They began 
the mother of all soccer knockout tour- 
naments 125 years ago, in a bygone era 
when sport was spat! 

Today, it ia business. Tbe FA Cup 
bears a sponsor’s title, Littlewoods 
Pools, although the Football Associ- 
ation bars players from betting on 
matches. The match of this round is in 
London next Monday when Tottenham 
Hotspur, a major club riven by intrigue; 
meets Fulham, a romantic old c lub on 
the banks of the River Thames, recently 
purchased by Hamids' Egyptian owner, 
Mohamed al Fayed. 

A vestige of traditional Cup glamour is 
assured. Both are London teams, both 
graced past FA Cop finals, though Tot- 
tenham are eighttime winners w hile Ful- 
ham remains grateful merely to have been 
to Wembley Stadium once as a beaten 
finalist They occupy the same city, yet 
whik the Spare of Tottenham r^ardtiiein- 
selves as ruling class, the Cottagers of 
Fulham are more homely, living on sepia 
memories of their 118-year history. 

Until a lew months ago, Tottenham 
versus Fulham would havebeen the Dav- 
id versus Goliath matchup of FA Cup 
lore. Fayed’s puree changes that some- 
what' Today, his team runs two leagues 
below Tottenham, but the proprietor is 
reaching for the sky above Tottenham — 
for parity wiih Manchester United. 

A call order? You bet Fayed consulted 
the chief executive of tbe Manchester 
United FLC to assess toe aura, the or- 
ganization, the power that makes United 
world soccers worth more than $640 
million. After the consultation. Fayed 
hired Kevin Keegan, a former England 
soccer captain with immense charisma, 
as chief operating officer, and Keegan 
hired Ray Wilkins, also once an England 
capt ain, as team manag er. W ilkins has 
spent $10 million of Fayed’s acquiring 
seven players — nor much by top soccer 
standards. Tottenham’s center forward 
Les Ferdinand cost that alone, but un- 
precedented in die division in which Ful- 
ham operates. If it wodcs, and F nTham 

Soccer / Bob Huohis 

wins promotion this season, the two 
trams could meet in toe league. Tot- 
tenham’s season is in free fad It seems to 
be in physical andmental decline. Should 
it continue, Tottenham versus Fulham 
cooki take place in the league sooner than 
even Fayed expected. 

Right now, the match offers the per- 
fect FA Cup plot: tiie small fry on the 
way up meeting big fish on the way 
down. Fayed will survey Tottenham’s 
modem White Hart Lane home and 
think that ere long his team’s new abode 
— currently a quaint riverside stadium 
where players change in a Victorian 
cottage — will rise on a scale akin to 
Manchester United’s even grander 
palace at OldTrafford no halfway house, 
no half-measure. No time like next Mon- 
day to lay down a Cup marker. 

T OTTENHAM’S equivalent to 
Fayed is Alan Sugar. Electronics, 
in the form of tus Amstrad em- 
pire, has served Sugar better than the 
human beings who coach and play for 
Tottenham. Even so, he lectured Oxford 
students in October on toe ineptitude of 
the FA administrators. “Tbe FA,” he 
said, “is like Madame Tussaod’s. It’s 
hard to tell the difference between toe 
dummies and toe real people.' ’ 

Real people take holidays while then- 
assets bum. Sugar is, or was, in Florida 
over Christmas period, having replaced 
Gerry Rands, the coach who spent $52 
mOlira on new £iay ere m vaitL with Chris- 
tian Gross, a tramd irom 2irich. Grass, it 
was said a month a go, would teach toe 
Tottenham prima donnas discipline. 

Gross appears on toe brink of a swift 
return to Zurich. His problems start with 
communication, and end at the Depart- 
ment of Employment which refuses a 
work permit to Fritz Schmid, his right- 
hand man and fitness expert Rumors 
are building almost as high as toe hid- 
ings Tottenham suffers — beaten 6-1 by 
Ctoelsea, 4-0 by Coventry, 4-1 by Aston 
Villa. Sugar is coming home swifter 
than he planned. 

Reports claim that he appointed 
Gross rax the recommendation of Jurgen 

Klinsmann, and then ate humble pie to 
resign Klinsmann, with whom he traded 
insults when toe German walked out on 
Tottenham two years ago. The chairman 
also persuaded David Pleat, another 
former Spurs coach, to step out of his ^ 
track suit and take on toe business role ; • 
of director of football. Klinsmann is 
back, but like all living things he is 
fighting age and, nearing 34,-he needs 
goals to revive his hope of captaining 
Germany at the World Cup. 

Significantly, both Bayern Munich 
and Sampdaria have off-loaded Klins- 
mann in the past six months, and Tot- 
tenham's rather desperate hope is that 
the old talisman can work anew. Maybe, 
he will be toe go-between soothing toe 
mistrust between Heir Gross and toe 
English players. Or, maybe, suggest 
some, Klinsmann has come as toe re - . 
placement, another new coach guided 
by Pleat while Gross and his Swiss aide, 
Schmid, retreat to take charge of 
Switzerland's national team. 

Denials abound, as do wounding mis- 
interpretations. On Boxing Day, different 
people at the club offered three disparate 
excuses for Ferdinand’s absence from toe 
team against Aston Villa: He had a vims, 
a leg injury or, as Gross saw it, a 
toothache. Anyway, Gross assured us, [2 
Ferdinand, Klinsmann and David Ginola f J 
would form a magnificent trio against 
Arsenal three days later. 

Ferdinand didn’t make it, and is oat 
long term. He says he has a thigh strain. “I 
think I know my body better than anyone 
else,” he reasoned. He blames Gross. “If 
I’d rested fix a couple of days, I could have 
been fit for Sunday. But they wouldn’t 
listen to me. I was made to t rain on 
Christmas Day, I felt the muscle tear. Tm 
really fed up. its messing up my chances of 
making the England squad.” 

A mess, indeed. Tbe odds on Sugar’s 
arriving home to a Cup of cheer are no 
better than his passing Gross and 
Schmid, who is already m London, at 
Heathrow International Aijport. 

Rob Hughes is on the staff of The ’ * 
Times of London. 

jjluch for S 

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« .84 - 

Red Wings -Stars Standoff Still Stands 

The Associated Press 

With the National Hockey League 
season approaching tbe midway point, 
toe Detroit Red Wings and tbe Dallas 
Stars still can’t seem to settle toe matter 
of who is No. 1. 

The Red Wings and tbe Stars met 
Monday oighi in a heralded battle of the 
league’s top two teams — and wound up 
with a 2-2 tie. They remained tied atop 

MHl Kqunphf 

toe Central Division, each with an NHL- 
best 56 points. The tie also extended 
season-best unbeaten streaks for both 
clubs. Detroit hasn’ t lost in its last seven 
games and Dallas in its last six. 

Tomas Holmstrom gave Detroit a 2-1 
lead with 6:28 left in the third period 
when he jammed home toe rebound of a 
shot by Martin DandenaulL But Sergei 
Zubov tied it for Dallas just 1:06 later. 

Both goalies were strong as Osgood 
made 30 saves and Dallas’s Ed Belfour, 
an old Detroit nemesis, had 20. 

Devils 3, Safam i New Jersey scored 
twice on its first three shots to win at 

Randy McKay scored 49 seconds into 
toe game and Bill Guerin scored on a 
breakaway less than two minutes later 
as the Devils won their thud straight 
over the Sabres this season. 

Buffalo’s goalie; Dominik Hasek, 
failed in his attempt to break a record 
with six shutouts in a month. Hasek has 
one game re maining , Wednesday 
against Ottawa. 

Capital* 4, bium 2 Adam Oates had a 
goal and an assist during a four-goal 
first period as Washington beat the vis- 
iting Blues, who played without the 

injured Brett Hull. The Capitals, who 
managed only eight goals m their last 
seven games, scored four times on 13 
shots against toe Sl Louis goalie. Grant 
Fnhr. quickly erasing a 1-0 deficit 

Hull, whose 19 goals and 36 points 
lead toe Blues, will miss 4 to 6 weeks 
after breaking his hand on Saturday. 

fonguta 5, li hn d eri 1 1n 

Ron Francis scored three times for 

: season as 
the Penguins feat the Islanders. 

Light ning 2, Sharia 1 The backup 
goalie Derek Wilkinson stopped 29 
shots and Dino Ciccarelli scored a rare 
Tampa Bay power-play goal as .the 
Lightning beat visiting San Jose. 

*iralM fcl»l,Canaa«wi Patrick Roy ■ 
popped 32 shots as the Avalanche tied 
toe voting Canadiens for their 12 to 
st ^® raate of toe season. 

New ^ even the 

SI for mosl ^ in 

s 2ST J ecord ^ 24 in a 

196 *-70 Phil- 

K^^^^ il,1 ^ 3Bo bCorkumand 

^“r^ iceto,ead A 

V ’•■‘.j J . 'rr*** 

^ * - "* n 4. JL A i 



PAGE 19 


The Associated Press 

CHICAGO — Dallas adopted the 
Bubba Wells Strategy to stop die Chica- 
go Bulls. It didn’t work. 

Wells, of the Dallas Mavericks, 
fouled Dennis Rodman repeatedly on 
Monday night to force Rodman, a poor 
free-ihrow shooter, to go to the line. But 
Rodman made die shots. 

“Nothing gets to Dennis Rodman.” 
Rodman said after going 9-of-12 from 
the free-throw line in a performance 

that helped the Bulls beat the Mav- 
ericks, 1 1 1-105. 

Rodman had 1 J points, 27 rebounds 
and 8 assists. 

Michael Jordan scored 41 points for 
his 787th consecutive double-digit scor- 
ing game — to tie a National Basketball 
Association record — as the Bulls 
stretched their winning streak to eight 
games and handed Dallas its 12th 
straight loss. 

Don Nelson, the Mavericks’ coach, 
adopted an unusual strategy in an at- 
tempt to end that streak. 

. Wells, a rookie who has played only 
45 minutes all season, fouled Rodman 
six. times well away from the ball. 

“We get beat every night anyway," 
Nelson said. “Hey. it didn’t work, but 
I'll do it again. It's probably better than 
Michael making every shoL 

"You don't have to be too smart to 
see aguy shooting 59 percent” from the 
free-throw line and the Bulls scoring 1 .2 
points per possession. Nelson said. * ‘Do 
.the math and it’s not close." 

• The Bulls' coach, Phil Jackson, said 
Nelson told the referees of his plan 
before the game. 

Cakewalks and Wars in Round 2 of Playoffs 

By Leonard Shapiro 

Washington Post Service 

Thirty National Football League 
teams began the season, but there are 
just eight left for the second round of the 
playoffs this weekend. 

Odds makers think both San Fran- 
cisco and Green Bay are 13-point fa- 
vorites at home in the NFC’s apparently 
lopsided matchups. San Francicso plays 
Minnesota; Green Bay plays Tampa 

NFL Rosndup 

Bay. The AFC se mifinal s seem better 
balanced All four remaining AFC 
teams — New England at Pittsburgh on 
Saturday and Denver at Kansas City on 
Sunday — have legitimate chances to 
make it to the Super Bowl in San Diego 
on Jan. 25. Even if the NFC games look 

to be one-sided, that is still no reason not 
to delight in some interesting stray lines 
and subplots in all four games. 

Take the Chiefs-Broncos. The last 

time the division rivals met, on Nov. 16, 
Kansas City began its drive to the AFC 
West championship by rallying, 24-22, 
on Pete Stoyanovich’s 54-yard field 
gral on the game’s last play. Instead of 
being three games behind die Broncos 
with five to play, Kansas City trimmed 
Denver’s lead to a single game, then 
won its last five to win the division and 
the AFC home-field advantage with a 
13-3 record Kansas City is a two-point 
favorite over the league’s No. 1 offen- 
sive team. 

Their game Sunday will be die first 
tune they have met in the playoffs, 
thoughthe Chiefs’ coach, Maity Schot- 
tenheimnr, still has nightmares about 
John Elway. the Denver quarterback. 
Twice when Schottenheimer was coach 
of the Cleveland Browns in the 1980s, 
Elway led fourth-quarto' Denver rallies 
in AFC title games, keeping Schotten- 
heimer and ms team out of die Super 
BowL “If I had all the playoff money 
John Sway has taken out of my pock- 
et,” be said, “I’d be a rich man. 

The weeklong buildup could get in- 
teresting. Many Broncos are peeved at 
the Chiefs for what they consider to be 
cheap shots in die last game. Before- 
hand the Kansas City cento, Tim Gmn- 
hard said that Schottenheimer had 
urged his players to go after Elway and 
said he would pay any fines. Scbotr 
tenbeimer denied alL 

“I have a mind like an elephant/’ said 
Shannon Sharpe, the Denver tight end *' 1 
don’t forget a whole lot They say forgive 
and fomet, barforgrveaess is die Lord's 
job, and He knows I never forget” 

The Patriots , meanwhile, won’t for- 
get their last game against the S teelers, 
on Dec. l3.Eightpointsaheadwithtwo 
minutes left. Drew Bledsoe had a pass 
intercepted and New England yielded a 
touchdown and two-pouat conversion 
with 38 seconds left to serai the game 
into overtone. The Steelers prevailed on 
a field goal, and it seemed afterward that 
all of New England came down on 
Coach Pete Carroll and Bledsoe. 

Still, it was New England's only de- 

feat in its last six games, and the Patriots 
put up a fierce defense against the Steel- 
ers’ star running back, Jerome Betas. 

But die Steelers won their last seven 
game s at home and are six-point fa- 
vorites to win Nol 8. 

The Tampa Bay Buccaneers head to 
Green Bay to play the Super Bowl 
champion Packers on Sunday at Lam- 
beauFwld. The Packers have won 26 
st raigh t at home, and they swept the 
season series against the Bucs. Tampa 
Bay has not won a game in 16 attempts 
when die temperature was 42 degrees or 
lower, and Green Bay in January is no 
place for Packer foes. 

The Vikings, too, will be hard- 
pressed to prevail: in San Francisco on 
Saturday against the well-rested, top- 
seeded 49ere- Despite their stunning 
comeback victory over the New York 
Giants on Saturday, reversing a 16-0 
'deficit, the Vikings lost five of their last 
six regular season games and will have a 
tough time against a superior team that 
beat t hem handily, 28-17, on Dec. 7. 

A $9.5 Million Bowl Payoff Disappears Very Fast 

New Jersey’s Sam Cassell, left, fouling Washington guard Rod Strickland 

So Much for Strategy: 
Mavs Foul, Rodman Hits 

Jackson told Rodman, “Be prepared 
to shoot some foul shots. 

“I think Don Nelson is a great 
coach,'* Rodman said. f *I respect him, 
but that was a crazy, crazy game plan. 
It’s ridiculous to embarrass a player like 

And. Wells was embarrassed. He 
fouled out in just three minutes of play- 
ing time, breaking the41-year-old NBA 
record of five minutes set by Dick Far- 
ley of die Syracuse Nationals. 

Jordan matched Kaieem Abdul- Jab- 
bar’s string of double-figure perfor- 
mances. Jordan can break the mark 
Tuesday night at Minnesota. He last 
failed to score at least 10 points on 
March 22, 1986. 

In the last two games, he is 34-for-55 
from the floor after shooting 42 percent 
in the first 27 games. And Rodman, 
leading the NBA in rebounding for the 
seventh straight season, is averaging 20 
off the boards over the last 10 games. 

Michael Finley scored 23 points. and 
Khalid Reeves 22 for the Mavericks. 

Hornets 120, Rocfcsts 101 David 

Wesley scored 21 of his season-high 32 
points in the first quarter as Charlotte 
ended its three-game road losing streak. 
The Hornets went I2-for-18 on 3-point 
attempts and shot 60 percent overall. 
Del Curry scored 23 points and Anthony 
Mason had 20. 

Nets 99, Wizards 91 Keith Van Horn 
had 32 points and 10 rebounds as the 
Nets reversed their most lopsided loss of 
the season. Van Horn, a rookie, was 10- 
for-19from the field and 10-for-10from 
the line as New Jersey beat visiting 
Washington. The game included 57 per- 
sonal fouls, 37 turnovers and both teams 
made only about 40 percent of their 

By Richard Sandomir 

New Kant Times Service 

It isn’t enoagh for the Rose Bowl to 
be the granddaddy of college football 
bowl games or to host a game on New 
Year’s Day in which a victory by the 
University of Michigan over Washing- 
ton State could clinch a national cham- 
pionship. No, the importance of being 
die Rose Bowl is being able to pay its 
teams the most money. 

Win or lose, Michigan and Wash- 
ington State will each leave Pa sadena, 
California, with $9.5 million, to be 
shared with their conferences. The Or- 
ange Bowl, the most generous after the 
Rose Bowl, will pay Nebraska and Ten- 
nessee $8 J million each. 

“It’s always important, and something 
we’re proud of,” said Jack French, ex- 
ecutive director of the Rose BowL “In 
my 17 years here, we’ve had the highest 
payout in every year but one. Next year, 
ourpayouts will be $1 1 millio n.” 

The Rose and Orange Bowls are the 
culminating events in a 13-day post- 
season extravaganza that began Dec. 20 

with the Las Vegas Bowl, continued 
with a new entry — die Motor City 
Bowl at Pontiac, Michigan — forged 
ahead with the Poolan/Weedearer In- 
dependence Bowl at Shreveport, Louisi- 
ana, and continued with a dozen games 
slated between Tuesday and Friday. 

The 20-game bonanza will yield 
about $108 milli on for toe 40 partic- 
ipating teams and their conferences. 

The bowl game riches are fueled 
heavily by television netw orks that are . 
vying for rabid viewers, although cash 
from sponsors, licensing and gate re- 
ceipts are crucial, too. 

Of the $ 108 million total, $69 million 
is devoted to four games: the Rose 
BowL plus the three bowl allian ce 
games — Orange, Fiesta and Sugar — 
that teamed up to create a national 
champ ionship game annuall y But the 
alliance plan Das been foiled whenever a 
No. 1 or No. 2-ranked team has come 
from die Big 10 or Pacific 10 con- 
ferences, whose champions automatic- 
ally have gone to the Rose BowL 

when toe Rose Bowl joins a refur- 
bished alliance next season, ABC, the 

U.S. television network, will pay $19 
million to show toe game, an increase of 
$4.5 million, French sa id . 

Payouts have been Increasing rapidly 
over die years. In 1980, for example, the 
Rose Bowl paid each team about $4.5 
million. Preach said. 

Twenty-one years ago, the first In- 
dependence Bowl paid teams about 
$25,000 each, said Glen Krupica, ex- 
ecutive director of the game. Now, it is 

“We’re one of the smallest metro- 
politan areas in toe United States host- 
ing a bowl game,” Krupica said. “And 
to have survived through the '80s, 
through difficult times in this region, is a 
real source of civic pride.” 

Bowl games look like easy profit 
centers for participating teams. But not 
always. The payouts must stretch. 

Michigan is in the Big Ten confer- 
ence, which has 11 teams. From the $9.5 
million booty, French said, toe 11 teams 
and the conference office will each get 
$700,000, and Michigan will probably 
receive about $1 million in expenses to 
fly to Pasadena and lodge, feed and 

Bowl Games Schedule 



Wisconsin t8-C W. Gawfllo (9-3. 11 am. 



N. CaroSna 00-1) vs. Vh Ted) C7-A 12s30 

mans bowl 


Penn State p-2) vs. Florida W-ZLlpj"-* 


Mil AS 

. Taras MM (9-3) n UCLA (9-2), 1 JO pJn. 



MicMgan 01-4) vs. Washington Slate (10-1), 5 



HeMa State ( 10 -n VS. OMd State ( 1 0 - 2 ), B pjn. 


mat bowl 


damn 0-43 «. Auburn ( 9 - 3 ), 3 pjn- 

Colorado State Holiday: ^ 

•/ and ti 

A Victory Over Missouri 

•/ mav hi 

The Associated Press 

SAN DIEGO — Danan 
Hall, a San Diego native, 
had two big plays as Col- 
orado State beat Missouri, 
35-24, in college football’s 
Holiday Bowl 
Hall scored on a 14-yard 
reverse on the game’s first 
drive Monday and then gave 
the Rams the lead when he 
scored on an 85-yard punt 
return in the thud quarter. 

Colorado State (11-2 and 
ranked No. 18) won its ninth 
successive game. Missouri 
(7-5 and ranked No. 19) was 
in its first postseason game 
since 1983. 

CMrpi Itch 35, Hut Vfr. 

Lcoay (gncfat/Tbe AMoctacd pm gUi so Joe Hamilton 
Kent Layman of Missouri pulling in a pass in the passed and ran far 356 yards 
Holiday BowL Colorado State won the game, 35-24. and three touchdowns in the 

Carquest Bowl as toe Yel- 
low Jackets ’handed the 
Mountaineers their seventh 
straight postseason loss. 

The game between 7-5 
teams chew only 28,262 fans 
— the smallest crowd in the 
bowl’s eight-year history. 

Cin ci n na ti 35, IMi SL 19 

Chad Plummerpassed for 62 
yards, ran for 53 yards and 
caught four passes for 64 
yards as Cincinnati beat 
Utah State in toe inaugural 
Humanitarian Bowl . at 
Boise, Idaho. 

It was toe Gist postseason 
victory for the Bearcats (8- 
4) since the 1949 Glass 
BowL They hadn’t been to a 
bowl game since 1950 -—the 
longest absence in major 
college footbalL 

Nebraska 0S-Q) vs. Tennessee 0 1-1). 8 pm 

entertain a few hundred players, 
coaches, coaches’ spouses, band mem- 
bers and administrators. 

Washington State, which is in Pull- 
man, will get about $1.2 million in ex- 
penses, leaving $750,000 shares for the 
10 teams in the Pacific 10 Conference 
and the conference office, said A1 

Ruddy, a Washington State spokesman. 

Pullman and Ann Arbor, Michigan, 
may be a fair distance from Pasadena, 
but what happens when toe rip is from 
East Lansing, Michigan, to Honolulu? 

WelL you don’t play for pay. You 
play for whatever glory you can get, as 
Michigan State University learned 
when a full, happy, ready-to-party-and- 
play contingent from the Big 10 school 
flew to Hawaii for toe Aloha BowL 
Although the game guaranteed 
Michigan State $750,000, toe school 
incurred a $150,000 loss. “The air 
charter alone .cost $300,000. "said John 
Lewandowski, Michigan State's sports 
information director. 

Was it worth it? “In terms of re- 
building our program, you can't assess 
the value of being in a bowl game just by 
the bottom line,” Lewandowski said 
“It’s a way to keep up our recruiting. 
There’s no better marketing tool. ” 
Lewandowski insisted that toe mar- 
keting was good, despite the result: The 
Spartans were thrashed, 51-23, by the 
University of Washington. 



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Dear friends. 
Well, toe year is 


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wfiort » wr? 


[ Well, tne year is comma tea 
dose, and what a year it wasf 

ft A year to end all years. 

' Yessiree, what a year it was. 

and Gina run when i sojikted smi* 

I tW’T KH0V4 
About You... but 


1997 According to Dave Barry: Lost in Space, and on Earth 

M IAMI — What kind of year was 
1997? It was — in die immortal 
words of Al Gore, who began 1997 as a 
serious presidential timber and ended it 
fleeing through swamps pursued by fed- 
eral dogs — a year with no controlling 
legal authority. 

Most important of all, h was ayear that, 
thank God, had only 12 months, because 
that was frankly all we could take. In case 
you've forgotten how weird 1997 was, 
let’s take just a moment to review the 
major news events, starting with: 

The year gets off to a less-than-ideal 
start aboard the troubled Russian space 
Station Mir as cosmonaut Yuri Hackov 
Opens a bottle of champagne to celebrate 
the New Year, only to have the cork blast 
through the space-station wall, leaving a 
hole that would have sucked out all the 
air in minutes if cosmonaut Vladimir 
Fishkillnakov had not alertly plugged it 
with a wad of gum that he had been 
chewing since August in anticipation of 
just such an em ergency. 

TRUE ITEM: Mattel is forced to re- 
call its popular motorized Cabbage 
Patch Snacktime Kids doll because of its 
tendency to chomp on children's hair 
and not let go. 

Democrats and Republicans, finally 
putting behind them the slimy excesses 
of the 19% political campaigns, toll up 
their sleeves and get to wort; on the 
difficult but necessary task of raising 
money for more campaigns. 

In his second inaugural speech. Pres- 
ident Bill Clinton, continuing his search 
for a popular issue that will assure him of 
a place in history, pledges to appoint a 
federal commission to “Find out how 
come candy oars are getting smaller." 

Bad luck once again strikes the trou- 
bled Russian space station Mir when the 
main navigational computer is eaten by a 
rat. Fortunately, the plucky cosmonauts 
are able to navigate the craft manually, 
taking star sightings by holding their 
breath and sticking their heads out the 
cabin window* for what a Russian space 
agency spokesperson describes as ' ‘very 
brief periods." 

In other science news, a group of 
Scottish generic researchers, after a long 
night of drinking Scotch, hatch a plan to 
teU the news media that they have cloned 

a sheep named "Dolly.” The news me- 
dia naturally accept this claim with no 
proof whatsoever, and within hours the 
entire world has been bombarded with 
images of Dolly, who is immediately 
signed to a seven-figure deal to write a 
book in which she is expected to reveal 
that she was abused as a lamb. 

In a Los Angeles courtroom, OJ. 
Simpson's legal fortunes take a turn for 
the worse when members of a civil-trial 
jury, after carefully weighing the ev- 
idence, attempt to lull him with a chair. 
As the trial ends, experts fear the U.S. 
economy will suffer because of layoffs 
in the massive O J. Industry, which cur- 
rently employs one-third of the nation’s 
media and legal professionals. 

On the political front. President Clin- 
ton, in a press conference originally in- 
tended to launch his potentially historic 

>v v-bM 

» X _ 

c <f N* 

War on Toenail Fungus, winds up an- 
swering pesky press questions about 
reports that his 19% campaign raised 
money by selling sleepovers in the Lin- 
coln Bedroom for $50,000 a pop. The 
president states that he has “no clear 
recollection" of running for president in 
19% and “definitely cannot recall 
meeting anybody named Lincoln.” 

Problems continue to plague the trou- 
bled Russian space station Mir when all 
power is suddenly sbut off as a result of 
an apparent failure by the Russian space 
agency to pay its electrical bill. Disaster 
is temporarily averted when an emer- 
gency crew arrives with a carpet, which 
enables plucky astronauts to generate 

their own static electricity by scuffing 
their feet 

TRUE ITEM: In Somerset, Mas- 
sachusetts, police charge a woman with 
assault after she allegedly elute her es- 
tranged husband to the floor with a 
Tickle Me Elmo doU. 

In die Academy Award ceremonies, 
‘ ‘The English Patient' ' wins the coveted 


In San Diego, El Nino robs a drug- 

Pol Pot is ousted as leader of Cam- 
bodia’s genocidal Khmer Rouge and is 
immediately hired to lead the U.S. In- 
ternal Revenue Service’s Compliance 
Division. And in Hong Kong, elaborate 
ceremonies mark the end of British role 

concerned when E Nino applies for a 

job as a postal clerk. ncufoy who is REALLY responsible,” 

The month ends with pretty ranch me NOVEMBER 

whole world watching TV and weeping. Clinton is named dean of 

SEPTEMBER. " Stanford Law School. 

The TV drama “ER” is broadcast . TRUE ITEM* The federal g° v em- 

live, an event that receives more media meat, having 

attention than Mother Teresa’s 'entire reasons, ^ Ser w&cS; 
career. The broadcast goes s moothly ^ permission to in- 

til actor George Clooney, pretending to smm : canappy ^ ^ 

Oscar for Best Picture Lasting Longer over the colony, which is formally 

Than Dental School. 


History’s first “space burial" takes 
place when a commercial rocket blasts 
off carrying a satellite containing the 
ashes of 24 deceased people whose wish 
was to spend all of eternity peacefully 
orbiting the Earth. Everything goes 
smoothly until tire satellite slams through 
the wall of toe troubled Russian space 
station Mir, where efforts by plucky cos- 
monauts to repair toe damage are 
hampered by the fact that they keep in- 

turned over to the Nike Corp. 

.Jacques Cousteau free dives into 

In sports, “Snackrimc Mike” Tyson, 
in a fight with EvaoderHolyfield, com- 
mits an act so despicable, so repugnant, so 
loathsome , that the boxing aut horities will 
probably not permit him to make millions 
erf dollars boxing for, gosh, months. 


The NASA Mars probe Pathfinder 
lands on the Red Planet after a harrowing 


In golf. Tiger Woods wins the Masters miles off course after losing power to its 

and is awarded the traditional green Nike 
logo. Shortly thereafter. Fuzzy Zoeller 

thruster rockets, forcing the plucky cos- 
monauts to steer toe craft by squirting 

lowers toe sport’s previous one-day IQ condiment packets into space. Upon 

record, with a 53. 

Stosi) CoJdcolictylHT 

_ — landing on Mars, Pathfinder releases its -o- — ■ ..- F - . Rrrwv _ 

la Luna, Pern, a lengthy and grueling rover vehicle, Sojourner, which — in a be a doctor administering medical care, way pursuit of a rora oranro 

hostage crisis at toe Japanese Embassy demonstration of superb design and en- accidentally cots off toe bead of an actor results, finally, in the capture or u 
ends suddenly and dramatically when gioeering— runs into a rock, deploys its pretending to be a victim. Nino. . _ , 

Peruvian troops, m a daring, carefully air bag and files a lawsuit. Oadsea Clinton enrolls in Stanford. . On the entertainment front, toe Stem- 

nounces a program under which con-: 
sumeis can apply for permission tom. 
stall switches that wd (disable their air 
bags so that they will not be injured or 
kilted by them, in an effort to make this 
issue as confusing as humanly wKsible,- 
federaJ safety authorities declare that 
■ this latter move will probably cost more 

lives than it saves. 

In the month's top “human interest 
story, an Iowa woman gives birth to 
seohiplets, then attempts to slug L Pres- 
et Clinton when he tells her that he 

feels her pain. .. . » ^ 

El Nino is elected president or toe 


The U.S. Supreme Court, in a decision . 
that observers believe may herald a more 
liberal era, votes, 7 to 2, toget nose rings. 
In Los Angeles, a low-speed police free- 

planned mission requiring split-second In weather news. El Nino releases a 
timing, ring toe doorbell and shout “ gang sta rap” album entitled. “2 Warm 
“Pizza delivery!” 4 Da Latitude.” 

MAY In entertainment news, final credits 

In a highly controversial decision that roU for rimm y Stewart and Robert 
according to critics, is proof that the MtehunL Charles Kurait takes the ul- 
military justice system is out of date, toe timate road trip. 

pretending to be a victim. 

Chelsea Clinton enrolls in Stanford, 

Nino. , . 

On the entertainment front, toe seem- 

Lneisea V-umon ernuua ua juuuwu, 7“ rnnr Arrw»r 

where authorities insist that she “will be mgly ^^D enSSl 

A. SBmfbri University, Chelsea Clin- 

launch nuclear strikes.” 

Air Force announces that it will court- 
martial bomber pilot Kelly Flinn on 
charges of being a witch. 

England manages to pick candidates, 
hold a nationwide campaign, elect a new 
prime minister and swear him into office 


When a strike against UPS results in 
major headaches for businesses as well 
as sporadic acts of violence, toe worst 
coming wheat angry strikers attack toe 
troubled, and seriously off-course, Rns- 

in less time, and for less money, than it sian space station Mir as it inadvertently 

takes Americans to agree on a date for 
the New Hampshire primary. 

Meanwhile, alarmed meteorologists 
in the Pacific report that El Nino has 
escaped and may be heading toward the 

crosses a picket line in Akron, Ohio. 

On the 20th anniversary of his death, 
Elvis celebrates with friends at a quiet 
affair catered by Pizza Hut. 

In a deal that stuns toe computer 

U.S. mainland. In celebrity news, Don- world, two long-time rivals, Apple and 
aid and Marla Trump, ending weeks of Microsoft, announce that they are join- 

speculation, announce through a spokes- 
person that they are “both as shallow as 
bottle caps.” 

mg forces: both companies immediately 
develop a virus. 

Weather experts become increasingly 

The final curtain falls for Red Skelton. Ataumiora 

Freddie Te Freeloader and Clem Ka- 

tfddl^^^rg^Mered^ go^ to Lebreted aboard te 

Thai Big Rocky Sequel in the Sky. ttollble< j space station Mir, which nuns 
OCTOBER out IO be unfortunate inasmuch as two of 

President Clinton is fitted with hear- the major elements of a traditional R us- 
ing aids, and he is able to actually hear sian Chris tmas celebration are (1) drink- - 
the questions at press conferences, fog vodka, and (2) lighting candles. As 
“Whitewater?” toe president exclaims, the resulting on-board fire rages out of 
“Shoot, all this time I thought y ou we re control, plucky cosmonauts are able to 
asking me about my DAUGHTER.” get into an escape pod and Jettison from 
Everybody enjoys a hearty laugh. toe doomed station: Russian space au- 

In college football, Chelsea Clinton is thorities are unable to maintain radio 
namwi starting quarterback for Stanford, contact, but report that the cosmonauts' 
hi entertainment news, toe Media appear to be headed toward “a safe 
Hype Legal Event of the Month for Oc- landing on the island of Montserrat ” 
tober is “The Nanny Trial,” which is Happy New Year, 
watched closely by audiences on both © 1997 The Miami Herald 

sides of toe Atlantic, and which ends on a Dianfoired fo Tribune Media Semees. lac. 



A Mellowed Artist Who Has Stopped Spewing Anger 

By David Streitfeld 

Washington Post Service 

M aidstone, England — 

Ralph Steadman has always 
been big on vomit Long before he 
became one of toe best-known artists 
in Britain, he was filling magazines 
and books with caustic, often brutal 
drawings of people expelling the 
coa terns of their stomachs. 

In “Ralph Steadman’s Amer- 
ica,” he sums up toe Watergate 
hearings by showing John Ehrlich- 
man and his lawyer simultaneously 
gushing into each other's lap. In his 
classic illustrations for Hunter 
Thompson’s “Fear and Loathing in 
Las Vegas,” a character barfs onto 
the occupants of a passing car. In 
•‘The Big I Am," a retelling of the 
Creation story, God himself retches 
the universe into existence, “vomit- 
ing ail out imo an uncaring void.” 
The world, it seems, disgusted 
Steadman, and so he made ft look 
disgusting. He had the zeal of a 
social reformer, fearlessly wielding 
bis brush to highlight hypocrisy ana 

JwiJimm far TTu- Vwbuifioc Paa 

Ralph Steadman in his studio in front of an unfinished painting. 

injustice. When toe world failed to respond by 
shaping up, it only made him more furious. Spewing 
became Steadman's signature effect, as recogniz- 
able as a Degas dancer or a Monet water lily. 

Was it fate, toen.or merely a heck of a coincidence 
that one night Steadman himself started vomiting 
and did not stop until he was nearly dead? 

This happened about a decade ago, after Stead- 

50. He said he wasn’t fat but during a asking people to be violent ” 

friend drove him home, toe trouble had started In failing to conven 
again. They stopped frequently. “Half my blood Derby, they did it so 
was in my stomach, the other half on the pavement, ’ ’ “gonzo,” was bora. 1 
the artist recalled. By the time he made it to a second was in the dictionary, d 
hospital, he said, he "had zero bioodpressure. It turns subjective but engagd. 
our toe stray punch had ruptured his esophagus. “It never leaves yoi 
He is much better now. He knows the moraL meat on society's blo< 
“Avoid violence.” He paused, adding. “Avoid moralizing and piou. 

publishing meeting in London a woman he knew There goes toe work of a lifetime. After decades 
called him that, perhaps affectionately. as a cult hero for his in-your-face black-and-white 

“I’m still strong,' the artist protested. “Go work, most famously in the drawings for the van- 
ahead — punch me.” ous “Fear and Loathing” projects published in 

So she did, a little higher and harder than he Rolling Stone. Steadman has softened his style and 
expected. Not a big deal, one might think, but dramatically expanded his audience. A lot of it is 

“It never leaves you, that nagging urge to com- 
ment on society's bloody nonsense and its phony 
moralizing and pious indignation,” Steadman 
wrote in an autobiographical essay in the mid- ’80s. 
“That’s my job — to moralize and be piously 

But it does leave. The notion of the' angry artist 

T HE film “Titanic” 

soaked up $44.6 million 
dollars at U.S. box offices 
over toe long Christmas 
weekend, breaking two re- 
cords. The epic movie, dir- 
ected by James Cameron, 
cost more than $200 million 
to make, ft has hauled in 
$88.4 million dollars since it 
opened Dec. 19, according to 
Inhibitor Relations, which 
tallies box-office receipts.. 
The previous records had 
been set by “Scream 2” and 
“Godfather 3.” 

| Certainly toe violence scared 
others, or at least alarmed them. 

. In 1970, Steadman met 
Thompson. “I was a genuine in- 
nocent abroad,” Steadman said 
“I was pretty gullible and pre- 
pared to go along with something 
that seemed like a good idea. Just 
frying to do ajob, that was me. And 
then I meet this ex-Hell's Angel 
who had just shaved his head.” 

In En glan d, Steadman had 
worked as a rat catcher, wall-of- 
deato cleaner at a motorcycle 
track, gardener — toe usual array 
of eclectic jobs. Nothing, 
however, prepared him for toe 
rawness of American life. And 
nothing prepared him for 
Thompson, who could find the 
edge only by going over it 
Writer and illustrator were on 
assignment to cover the Kentucky 
Derby for a short-lived, hip 
magazine, Scanlan’s Monthly. 
They wandered around, drinking 
fariiir vtabiiigiaii ftw and trying to endure toe prerace 
ing. craziness. S teadman would sketch 

faces at parties. 

In failing to conventionally cover the Kentucky 
Derby, they did it so brilliantly that a new word, 
“gonzo.” was bora. Within a couple of years, it 
was in the dictionary, defined as “icuosyncratically 

She ordered fish and chips, 
took an interest in a 15to-cea- 
tmy pub, brought a party of 
eight including two children 
— and to the manager looked 
“just like your favorite grand- 
mother on a day out” in Cam- lirwc PnamocdRcmor* 

bridge, England. Except that DRESS REHEARSAL — Zubin Mehta conducting 
there were some tall men with the Vienna Philharmonic Orchestra with a signaling 
small microphones around — horn during preparations for the New Year 's Concert 
and she was the UJS. secretary 

of stale, Madeleine Albright “She was just Brown,” toe setting flip-flopped coasts and 
lovely,” said toe manager. Peter Hill, re- the lead character changed name and race, 
calling Albright’s unannounced lunchtime vis- Leonard didn’t flinch “Going in. I know 
it to his pub. The Eagle. “She was enjoying what can happen,” he told the Chicago 
herself,’ ’ he said, adding, “She was so relaxed. Tribune. “Quentin stuck with toe plot and 
and made me feel completely at ease.” made something out of it” The 72 -year-old 

PI writer also inspired the hit movie “Get 

Shorty,” to which he is -now writing die 


ous “Fear and Loat hing ” projects published in became passd sometime during the '80s, replaced 
Rolling Stone. Steadman has softened his style and by toe artist as entrepreneur. Steadman is now 

and made me feel completely at ease.” made s 

n writer 

' Shorty, 

The family of toe slain fashion designer sequel. 

Gianni Versace dropped its objection to toe 

release of hundreds of police files on his — 

Idliing, but filed a suit to prevent autopsy Mick Jagger, who plays a cross-dresser in 

phofr» from being released. The family had “Bent, ” the film version of a play by Mar- : 
been fighting for months to stop the designer’s tin Sherman, says he is ‘ 'happy in drag ” “I 
personal and fi nancial information from being loved dressing up, finding toe right cos- 
disclosed by toe Miami Beach police. • tomes,’ ’ Jagger told USA Today newspaper. 

PI “I started off with short dresses, which I 

„ _ . ^ knew I wouldn't get to wear. But I looked a 

Bugs Bunny bounced to first piace among lot better in short dresses, to be perfectly 
tttwtLS. postage stamps, with 453 million honest.” The movie, directed by SeanMath- 
stamps collected m 1997, but Presley ras, is about the persecution of homosexuals 
re m a ins toe all-tune king, with 124 million m Nazi Ge rman y 
stamps collected since they were issued in 
1993. . ■ □ 

□ .• Pan ^ !a , Anderson Lee gave birth at her 

, . ’ home in Malibu, California, to her second 

When fos novels are adapted for the big child, Dylan Jagger Lee. The former 
sosm, Elmore Leonard rolls with the "Baywateh” ^ber hosbaa! 
changcsFor Quentin Tarantmo’s version of sician Tommy Lee, have 
“Rum Punch,” toe title became “Jackie month-old Bi 4 don. SOn ’ 18_ 

Steadman says it had some strange consequences. 

That evening, he was staying in toe city with a 
friend. By toe middle of toe night, he felt distinctly 
aueasy. He tried to make himself a cup of tea, but 
threw' up instead. And a second time. He was 
vomiting blood. He woke his host, and asked for a 
ride to the hospital. 

due to his becoming the official artist for Oddbins, 
a prominent British chain of wine merchants. 

He has recently published two oversize tributes 
to wine and whiskey, full of sprightly color thaw- 
ings. And he has written a children’s book abont a 

making ait out of wine. Literally. 

“It’s a lovely color, not red, not brown,” be said. 
“I’ll tell you what it’s a little like — dried blood.” 
He is growing his own wine grapes, a task for 
which toe English c limate is completely onmiteri 
“I really wanted to be an alchemist, someone 

“Got a drink 

ink problem?” toe examining doctor 61, Steadman has mellowed, 
•d where the blood was coming from. "The violence is there. 

asked, puzzled where the blood was coming from. 
“Only when I can ‘t get it,’ ’ Steadman replied. He 

felt better, and was discharged. But by the time his scared of toe violence.’ 

cat that does not show the beast regurgitating a who could change base meals to gold,” Steadman 
single haifball. The conclusion is inescapable: At said. “I knew I couldn't do that, so I'd change base 
61 . Steadman has mellowed. fruit into a land of gold, which is wine. It’s not art, 

"The violence is there, but I suppose it’s it’s not composition, it’s decomposition, putre- 
tempered or directed,’’ he said. “Maybe I got faction. But it is like art — I loveit when you get 
scared of toe violence.” sn m«hing jniffy ha p pe ning " 

Bugs Bunny bounced to first place among 
new U.S. postage stamps, with 453 milli on 
stamps collected in 1997, but Elvis Presley 
remains toe all-time king, with 124 million 
stamps collected since they were issued in 

C A 


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