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The World's Doily Newspaper 

R London, Thursday, May 8, 1997 

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Dusan (Dusko) Tadic listening to the verdict Wednesday. He was 
found guilty of 11 counts of war crimes and crimes against humanity. 

Tribunal Convicts Serb 
Of Bosnia War Crimes 

Verdict in Hague Is First in Postwar Era 


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By Charles Trueheart 

Washington Peal Service . 

The UN war crimes tribunal in The 
Hague investigating atrocities com- 
mitted in die former Yugoslavia's bit- 
ter ethnic conflict issued its first con- 
viction Wednesday. /, " —-• 

A Bosnian Serb tavern owner, 
Dusan (Dusko) Tadic, -was found 
guilty on 11 counts of war crimes and 
crimes against humanity for ius role 
in herding his Muslim neighbors and 
other civilians into . Serbian prison 
camps and torturing them for what the 
court called their religion and their 

Because of insufficient evidence, 
be was cleared of murder charges in 
the deaths of 13 Muslims during the 
Serbian attack in 1992 on his native 
village of Kozarac, in the Prijedor 
region of northwestern Bosnia. 

He was also found not guilty of the 
case's most sensational charge, of 
brutality stemming from witness ac- 
counts that be had ordered a Bosnian 
Muslim to bite off the testicles of a 
fellow prisoner, who allegedly bled to 

His court-appointed lawyers asser- 
ted that he was a victim of mistaken 
identity and of a desire to make scape- 
goats the Serbs to burnish the image 
of the beleaguered tribunal. 

Mr. Tadic, 41, will serve a prison 

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sentence to be decided after appeals 
are exl»usted. The four-year-old In- 
ternational War Crimes Tribunal for 
the former Yugoslavia is not em- 
powered to impose the death penalty. 

The UN-supported proceedings are 
the first international effort to judge 
the perpetrators of war crimes since 
the Nuremberg and Tokyo trials that 
followed World War IL The Tadic 
verdict was the first to follow a fuU- 
length trial and the first involving a 
Serb at rite tribunal. 

The American presiding judge, 
Gabrieli e Kirk McDonald, said the 
verdict represented ' ‘the first-ever ju- 
dicial condemnation of the 'ethnic- 
cleansing' policy” carried out by 
Bosnian Serb forces during the 1991- 
95 war in the Balkans. 

She said die tribunal’s "first and 
foremost” objective, to conduct aflair 
trial of the accused, had beat 

A South African jurist, Richard 
Goldsrone, who was tbe chief pros- 
ecutor at the tribunal until last year, 
said Wednesday that tbe conclusion 
of the Tadic tnal was “a very im- 
portant step forward and something 
new” in criminal jurisprudence be- 
cause it proved that "international 
tribunals can work.” 

Mr. Tadic 's conviction after ay ear- 

See TRIAL, Page 7 

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^ Sny^ed Wednesday to seek a ban on panes. Page 5. 

U.S. Gold Report Condemns Swiss 

Bankers Deliberately Failed to Return Nazi Loot, It Concludes 

By David E. Sanger 

New York Times Service 

WASHINGTON — In a searing historical indict- 
ment, a long-awaited U.S. government report con- 
cluded Wednesday that the Swiss government, aided 
by a banking community that had been infiltrated by 
Nazi sympathizers, had deliberately failed to live up to 
a 1946 commitment to return hundreds of millions of 
dollars in assets that Nazi Germany had looted from 
European banks and Holocaust victims. 

Ir concluded that the Swiss bankers' “indifference 
to the needs of the victims of the Holocaust and their 
heirs persisted until the current international pressures 
came to bear” on the country within the past year, 
forcing a series of gestures from Switzerland in recent 
months to offer reparations that amount to a small 
fraction of the country's profits from the war. 

The 200-page report released Wednesday, along 
with thousands of {rages of recently declassified doc- 
uments from the State Department, the Treasury and 
the intelligence agencies, was the most comprehensive 

study yet of the deceit, intransigence and political 
maneuvering that surrounded whar has broadly come 
to Ira known as the “Nazi gold” problem. 

The report, however, does not make policy rec- 
ommendations. and ir leaves the Clinton adminis- 
tration confronting a politically delicate question that 
echoes the question that faced President Harry Truman 
a half-century ago: whether Switzerland should be 
forced to make good on its commitments, including 

Bern's reaction to the report was mixed. Page 7. 

turning over assets now worth S5 billion or more. 
While this issue was actively discussed in President 
Bill Clinton's administration several months ago. 
some officials fear it would trigger another major 
breach with Switzerland and European allies. Among 
the other major findings of tbe report are these: 

• A small but significant percentage of the “mon- 

See SWISS, Page 7 


Foreign Minister Flavio Cotti of Switzerland 
commenting Wednesday on the U.S. report. 

Mobutu Leaves Zaire: Is This Departure Final? 

By Howard W. French 

New York Times Service 

KINSHASA, Zaire — Leaving be- 
hind a capital bracing for the arrival of 
rebel forces who aim to topple him, 
President Mobutu Sese Seko flew Wed- 
nesday to Gabon on an official visit that 
many saw as a final departure from the 
nation he has ruled for nearly 32 years. 

While many of Marshal Mobutu's 
aides insisted that die 66-year-old leader 
would return as early as Friday, the 
military situation continued to deteri- 
orate for the president’s crumbling 

At the same time, word began spread- 
ing through the city of the stealthy de- 
parture of numerous close associates of 
Marshal Mobutu who, it would appear, 
have concluded that the end has arrived 
for Africa's longest-serving dictator. 

News of the flight of Marshal 
Mobutu's aides came as international 
diplomatic pressures mounted on Mar- 
shal Mobutu and his rebel foe, Laurent 
Kabila, head of the Alliance of Demo- 
cratic Forces for tbe Liberation of the 
Congo, to arrange a peaceful transfer of 
power between the two men and to 
avoid a potentially bloody siege of this 
city of 5 million. 

After the drive to the airport, through 
Kinshasa streets that were even more 
crowded than usual by bystanders 
straining for what many believed might 
be a last glimpse of the man who had so 
dominated the life of Zaire, Marshal 
Mobntu flew to Libreville. Gabon, 
aboard a jet named for Lisala, the pres- 
idential birthplace that fell to Mr. Kab- 
ila's rebels last week. 

Tbe official reason for Marshal 
Mobutu’s trip to Gabon was to attend a 
summit meeting of regional Rench- 
speaking leaders to discuss the Zairian 

But there was widespread speculation 

among both diplomats and Zairians that 
tiie real purpose of tbe gathering in 
Gabon was to gently pressure the Zairi- 
an leader to abandon power and enter a 

Marshal Mobutu is suffering from 
advanced prostate cancer. 

“You have to figure that the French 
are working with their friends who are 
all gathering in Gabon to get them to 
help smooth Mobutu's exit,” said a 
European diplomat here. • 

In addition to the Gabonese pres- 
ident, Omar Bongo, at least three other 

See ZAIRE, Page 7 

Pentagon to Cut Back Widely to Save $15 Billion 

By Bradley Graham 

Washington Post Service 

WASHINGTON — Defense Secre- 
tary William Cohen has decided to re- 
duce planned purchases of jet fighters, 
shrink the navy’s fleet, cut up to 60,000 
active-duty troops and seek to close 
more U.S. military bases, according to 
Pentagon officials. 

The moves follow a major Pentagon 
review of U.S. defense programs. 

The cuts are part of a plan to generate 
about $15 billion in annual savings into 
the next decade to help pay for new 
equipment and weapons systems, fol- 
lowing years of steady decline in the 
Defense Department's procurement ac- 

One- program to receive a boost of up 
to $2 billion, officials said Tuesday, is 
the administration's plan to prepare for 
possible deployment in 2003 of a na- 
tional protective shield against ballistic 
missile «n»ck. 

While Pentagon officials bad insisted 
for several years that they could meet 
their modernization plans through sav- 
ings from base closings and more ef- 
ficient purchasing practices, it was in- 
creasingly clear that tbe operational 
costs of missions in sue* places as Bos- 
nia and Haiti, and the expenses of main- 
taining a still-sizable force despite the 

J. Seen ApfricwfabafTbe AnodMcd ftw 

Secretary of Defense William Cohen addressing national-security busi- 
ness leaders at a hotel in Washington. He did not discuss any cutbacks. 

end of tbe Cold War, were sapping 
procurement funds. 

“No one expects overall defense 
spending to increase much above tbe 
current annual level of about $250 bil- 

lion. so we have to reallocate,” a senior 
Pentagon official said. * * We're trying to 
reallocate without cutting teeth but by 
going after tail. ” 

The personnel reductions are modest 

compared with the loss of more than 

600.000 troops, down to 1.45 million, 
since the Berlin Wall crumbled in 

Some defense experts urged Mr. Co- 
hen to take a bolder approach and make 
deeper cuts to finance an accelerated 
integration of computer-age technology 
into weapons systems and military com- 
mand and control networks that would 
better prepare the U.S. armed forces for 
new types of 21st century warfare. 

But the secretary, who took office in 
January, has decided on a less radical - 
course. He has reaffirmed the need to 
maintain a military large enough to fight 
two regional wars in close succession 
and meet many other operational re- 
quirements predicted by Pentagon 
strategists, particularly in peacekeeping 
and other noncombat missions. 

Neither the army, which will give up 
about 15,000 active-duty soldiers, nor 
the Marine Corps, which will lose about 

2.000 members, expects to cut any of its 
divisions or other combat units in the 

But tbe air force’s reduction of up to 

25.000 will result in the elimination of 
one of 13 wings and the navy's loss of 

18.000 will come largely from the elim- 
ination of 15 surface combat ships and 2 

See PENTAGON, Page 7 


France Derails EU Tax on Wheat Exports 

PARIS (Reuters) — The European 
Union suffered an embarrassing set- 
back on a key trade policy Wednesday ass . gsg 

when a plan to tax wheat exports was 15S 17233 

derailed by France, EU officials said. Pound 1.6137 1.6333 

The EU Commission in Brussels y«i 125.015 • 1 25.40 

suspended the plan, which was aimed pp 5.7977 5*155 

at ensuring supply in Europe, after it 
was vetoed by the EU commissioner 
for research policy, Edith Cresson of 

France. The move was linked by grain _ 140 47 7004^5 722 S .32 

traders to France’s election campaign. 

The $20 a too tax was designed to 
keep wheat cm the European market, eranga wndtmtta/e a pm. mwfaugefew 

where the EU says prices are too - 12.14 815.62 827.76 



Page 10. 


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previous does 





T he Secret Life of an Israeli Envoy 

U.S. City Pioneers a Shift 
Off Welfare to Workfare 


A Kennedy Drops Camelot’s Shield 

EUROPE Pages. 

I he Right Begins to ffbny in France 

By Jason DeParle 

New York Times Service 

MILWAUKEE — The welfare rolls 
are crashing through the floor here. 

Caseloads have shrunk nearly 25 per- 
cent in the last year alone, and each 
month 1 ,800 more people leave the sys- 
tem. No major city has ever seen such 
startling declines, though many are now 
looking here with an envious eye and 
tiie hope of imitation. 

But as Governor Tommy Thompson 
of Wisconsin boasts of “our amazing 
success.” the question is what has 
happened to the throngs of low-income 
women and children leaving the rolls. 

Advocates for the poor, here and 
across the country, are quick to note that 
homelessness has been rising, and shel- 
ters overflowing, since the state's strict 
new work rules took hold. But those 

failing into such utter destitution rep- 
resent only a small percentage of tbe 
10,000 families leaving the rolls. 

Many more seem to be working, in 
jobs they recently landed or secretly 
held in tiie past. Others, weary of the 
system's new hassles, have moved in 
with friends or family, or left the state. 

Critics argue that tbe new system 
focuses more cm penalizing the poor 
than on helping them. And state officials 
acknowledge that foul-ups in the com- 
plex new system have caused thousands 
of families to lose benefits temporarily, 
often through no fault of their own. 

The data are sketchy at best, and no one 
knows how many of Milwaukee's wel- 
fare poor have moved toward economic 
betterment and how many have suffered 
an erosion in living standards that were 

See WELFARE, Page 7 

Newsstand Prices . 

Bahrain ..-.1.000 Dii 'S & 

Cyprus „C.£t.OO Nigeria „. 125 , 00 Nasa 

Denmark -.14.00 D.Kr. Oman — 1 - 250 « a js 
Hniand — 12,00 FM. Qatar — jO OO Riate 

Giwaflar_ £ (IBS Rep. Jratand-JB £ 

Great Britain 0.90 Saudi Arabia - 10 -C®R 

Egypt J2E5S0 S. Africa -R12 + VAT 

jdSan 1.250 JO UAE lO.OODWi 

Jfenya— _.K. SH. 160 VS. ML 
ISwaR..-.^.-700F»S 2Wabw0-Zlra53aOO 

0504 « 

Hong Kong’s Legal System: Will China Sustain or Overrule It? 

t 1 itiw, if niAK fLifl ■TnifU wA tllA mitt 1 ■ - — A (nimiWlfllHlv AllctP/1 frf>m ife O f J m T> rM~rt kilHA flmf TT - W _ . . 9 « 

! - — ■ - — In both instances, it was this faith in the rule of 

By Edward A. Gatgan — the heritage of written law and impartial 

New Yori Times Service justice that Britain bequeathed to Hong Kong — 

ufivfi konG — When protesters lay in the that provided confidence that the judgments would 
year to appose China's plans for not be pobtically motivated or corrupt- . . 

w KotoS amSted for doing so. tbey Now more is involved dan faith m smple 
™ be judged under a ccnftiries-old jusice. For maDjJoreiglinvesiors, concerned 

S te M law tradition of the about even the ston-tetm bustnera envurament 
i^ai system here, it is Reijmg s cavalier attitude toward con- 

‘jSctan^taHtment Co. went to traciual rereemoits that has stirred worries about 
JL last month, it knew the whetberfiong Kong s legal system will sutvtve 

rf^rasTwo^be decided under that China’s nmnment takeover, 
snts oi tne case Last year, despite a long-term contract, a Mc- 

SUCCl WHS* ^ J— “ -rr-- - , . - 

Hong Kong and were arrested for doing so. they 
knew they would be judged under a ccntimes-old 
legal system, the common law tradition of me 

British colonial government 
And when Chanway Investment Co. went to 
court to contest a tax ruling last month. 
merits of the case would be decided under that 

same txadition. 

Donald’s restaurant was summarily ousted from its 
premises near the Forbidden City in Beijing. In 
Hong Kong, by contrast, the predictability of con- 
ducting business under a role of law and tbe 
sanctity of contracts has contributed significantly 
to the territory’s dynamic economy. 

For Hong Kong, the critical issue has become 
whether the system of law, guarantees and 
autonomy of the judicial branch can survive China's 
effort to stamp its sovereignty on the territory. 

Or will Cmna’s notion of law, where personal 
whim and political need play a strong role, over- 
whelm Hong Kong, as many fear? 

Optimists here hope that Hong Kong’s rule of 
law could become a model for China, rather than 
the reverse. Just this year, China’s legislature 
passed a major revision of its criminal law, in- 
troducing offenses like money laundering and in- 
sider trading. 

But skeptics like Robin Munro, Hong KW 
director of Human Rights Watch Asia, doubt that 
Beijing would surrender any political control and 
the legal and business communities .here remmn 
deeply wary of the changes to come. “There are 

See HONG KONG, Page 7 



A Hard-Liner’s Evolution / Scored by Hie Holocaust 

The Secret Life of an Israeli Envoy 

By Barton Gellman 

Washington ftw Service 

J ERUSALEM — More even than 
most Israelis of his generation, 
Eliahu Ben-Elissar, the Jewish 
state's hard-line ambassador to 
Washington, has known the power of 

As a young man in Paris in the 
1950s, he helped finance his studies at 
the Sorbonne with a night job as a 
guard at Israel's embassy. By the time 
be left the French capital, according to 
Israelis who know him here, he had 
served his first tour as an agent of the 
Mossad intelligence service. 

He spent more than a decade work- 
ing for the Mossad, some of it in 
dangerous assignments in the Arab 
world, before moving to Geneva for a 
Ph- D . in history and then beginning a 
political and diplomatic career. 

He was a member of Israel’s ne- 
gotiating team with Egypt in 1977 and 
became its first ambassador there in 
1980. Li July, Prime Minister Ben- 
jamin Netanyahn rna<ta him the am- 
bassador to the United States. 

Mr. Ben-Elissar s initiation into a 
secret life began in childhood. He 
owed his survival in Nazi -conquered 
Poland during World War II to a near- 
strartger’s life-risking act of decep- 

His father, the leader -of a small 
town's Jewish community, begged a 
traveling acquaintance to smuggle the 
boy to Palestine. The traveler, a wom- 
an whose son had died at the hands of 
the Gestapo, took Mr. Ben-Elissar — 
then known as Gottlieb — past Nazi 
bonier guards on her British passport 
by pretending he was her son. 

Mr. Ben-Elissar arrived here as the 
war still raped, before the declaration 
of a Jewish state. He spoke no 
Hebrew, and would learn whoa the 
war was over that both his parents 
were dead. 

At the Bilu School on Tel Aviv's 
Rothschild Boulevard, the principal 
walked into a third-grade class one 
day and asked if anyone there spoke 
Yiddish, a language Mr. Bcn-EUssar 
had learned at home. Zeev Schiff, now 
Israel’s leading military writer, piped 
up that he could manage. The prin- 
cipal sat the two boys at adjacent 
desks and put Mr. Schiff in charge of 
Mr. Ben-Elissar. 

“He was a lonely man for most of 
his life, and the Holocaust was a major 
factor in his thinking , in his writing 
and in his ideology,’ "said Mr. Schiff, 
who remains Mr. Ben-Elissar’ s 

Mr. Ben-Elissar returned to gradu- 
ate school after the 1967 Middle East 
War, following Mossad assignments 
in Europe, Ethiopia and at headquar- 
ters in Tel Aviv. He wrote a dis- 
sertation in French, and then a book. 

“This is basically what the Mossad 
did at that time." 

Today Mr. Ben-Elissar is counted 
in the hardest-core ideological wing 
of Mr. Netanyahu's Likud Party, well 
to the right of the prime minister and 
unreconciled personally to the peace 
accords signed with Yasser Arafer and 
the Palestinians since 1993. 

cm the Jewish question in the diplo- 
macy of Nazi Germany from 1933 to 

macy of Nazi Germany from 1933 to 

Like other Holocaust survivors, 
Mr. Ben-Elissar viewed Israel's 
struggle against Palestinian national- 
ism in the terms of his youth, com- 
paring the Palestine Liberation Or- 
ganization to the Nazis. He joined die 
battle, as he could not as a child, in his - 
years of intelligence work. 

“He was active in many operations 
against the Palestinians, said Alriva 
Eldar, the Washington co r respondent 
for the Israeli newspaper Ha’aretz. 

S OON after the first accord was 
struck, Mr. Ben-Elissar ac- 
cused the prime minister at the 
time, Yitzhak Rabin, of “run- 
ning amok." He urged Likud to boy- 
cott the parliamentary debate because 
even discussing the pact, he said, lent 
it legitimacy. In his current job he has 
prided himself, according to those 
who know him in Washington, on 
avoiding a handshake with Mr. Arafat 
despite several close encounters. 

Mr. Ben-Elissar is not dose to Mr. 
Netanyahu, having been chosen in a 
compromise with Mr. Netanyahu's 
longtime rival. Foreign Minister Dav r: 
id Levy. He has not attended any of 
Mr. Netanyahu’s five meetings with 
President Bill Clinton, because Mr. 
Netanyahn does not follow the tra- 
dition of inviting his ambassador as 
note-taker. He bnngs his personal ad- 
viser, Dore Gold, instead. 

His relationship with the Clinton 
administration has also been strained. 

In December, after Mr. Clinton 
called Jewish settlements in the West 
Bank an obstacle to peace. Mr. Ben- 
Elissar took the unusual step of cri- 
ticizing the president directly. 

“I suspect Arafat will draw en- 
couragement from Clinton's remarks, 
and he is liable to harden his position 
even more at the negotiations," he 


Mr. Ben-Elissar, left, with Mr. Netanyahu. The envoy Wu 
active in many operations against the Palestinians 

said in an interview with Ha’aretz. 

The same month, he lamented to 
another newspaper that “the Amer- 
icans don’t buy our explanations" of 
settlement policy. 

More recently, Mr. Ben-Elissar 
picked a fight with the State Depart- 
ment spokesman. Nicholas Bums. He 
said to Israeli r eporters that more- 

senior American officials had told 
Him that Mr. Bums exceeded his au- 
thority by casting doubt on Israeli 
claims that Mr. Arafat had given a 
“green light" to terrorism. He nimaH 
that Mr. Bums and other U.S. officials 
had helped bring about a Tel Aviv 
bombing by taking the Palestinian 
leader off the hook. 

U.S. Probes Whether an Official Has Passed Secrets to Israel 

By Nora Boustany 
and Brian Duffy 

Washington Post Service 

WASHINGTON — The FBI is in- 
vestigating whether a senior U-S. of- 
ficial has been passing highly sensitive 
information to die Israeli government, 
according to officials with direct know- 
ledge of the inquiry. 

The investigation was opened in 
January, U.S. government officials said, 
after the National Security Agency in- 
tercepted a secret communication be- 
tween a senior Israeli intelligence of- 
ficer in Washington and a superior in' 
Tel Aviv that referred to someone code- 
named “Mega," and an attempt to ob- 
tain a sensitive American document 
The officials said the context of the 
conversation led them to believe that 
Mega could be someone in the gov- 
ernment who has provided information 
to the Israelis in the past 
The officials, who spoke on condition 
of anonymity, said the investigation was 
focusing on U.S. officials who would 

have had access to the document in 
question: a secret letter of assurances 
that the previous secretary of state, War- 
ren Christopher, had given to Yasser 
Arafat die Palestinian leader, after suc- 
cessful negotiations to withdraw Israeli 
troops from most of the West Bank city 
of Hebron. 

Li the intercepted conversation, ac- 
cording to two ILS. officials, the Israeli 
intelligence officer informed his superior 
in Tel Aviv that the Israeli ambassador to 
Washington, Eliahu Ben-Elissar, had 
asked him whether he could obtain a 
copy of die letter to Mr. Arafat 

According to an official who saw a 
copy of the National Security Agency 
transcript of the conversation, the in- 
telligence officer, speaking in Hebrew, 
said: “The ambassador wants me logo 
to Mega to get a copy oftfais letter.” The 
official said the supervisor in Tel Aviv 
rejected the request saying, “This is not 
something we use Mega for.” 

Asked about the investigation, asenior 
official of die National Security Council 
declined to comment The White House 

spokesman, Michael McCrary, who was 
traveling with President Bill Clinton in 
Mexico, also would not comment 

Mr. Ben-Elissar said em phaticall y 
Monday night that his government had 
not engaged in any improper activity in 
Washington, denying that be had made 
such a request or that Israel has a spy 
inside die U.S. government “I deny it 
as strongly as one can deny anything.” 
Mr. Ben-Elissar said in a telephone in- 
terview. “I simply think dial this al- 
legation is ridiculous." 

He added: “Of course, I cannot guar- 
antee for everybody, but if anybody in 
this embassy had this conversation or 
such a thought, he can be considered an 
utter fool, a fool.” 

Mr. Netanyahu's office in Jerusalem 
issued a statement Monday night that 
said: “The reported stray is absolutely 

U.S. intelligence officials said that 
National Security Agency transcripts 
involving possible counterintelligence 
matters generally are distributed to of- 
ficials at the CIA’s counterintelligence 

center, die FBI’s Division 5, which con- 
ducts foreign counterintelligence inves- 
tigations, and the State Department’s 
bureaus of diplomatic security and in- 
telligence and research. The intelli- 
gence officials said the agency had done 

nothing improper. 
A senior U.S. ofi 

A senior U.S. official who said he had 
been briefed on the matter, said the 
upper echelons of the FBI were dis- 
mayed dial die information had been 
disseminated so widely. 

Because of the sensitive nature of the 
transcript, the official who saw it said, it 
was recalled by the National Security 
Agency. >about 12 hows after -it - was 
distributed. “It was taken off the 
street.” he said. 

The official also said that the tran- 
script of the conversation between the 
two Mossad officers was translated from 
Hebrew to English " awkwardly .” 

The Hebron agreement, signed by 
Mr. Netanyahu mid Mr. Arafat at a 
border post between Israel and the Gaza 
Strip, marked a turning point' in the 
tortuous efforts to get Israel’s governing 

Israel Doubts U.S. Can Resolve Crisis 



JERUSALEM — Israel said it did not 
expect “dramatic developments" in its 
deadlocked peace negotiations with die 
Palestinians from the arrival on Wed- 
nesday of Dennis Ross, the U.S. Middle 
East peace envoy. 

The visit of the American envoy 
comes on the heels of a meeting Tues- 
day between President Ezer Weizman 
of Israel and Yasser Arafat, the Pal- 
estinian leader. Their talks at the Israel- 
Gaza border apparently did not change 
the demands of the two sides for ending 
the seven-week crisis. 

“There seems to be movement 
whenever Dennis Ross is around and, 
therefore, it would be wrong to expect 
dramatic developments, but it would be 
at least as wrong to be pessimistic,” said 
David Bar-Ban, Prime Minister Ben- 
jamin Netanyahu’s media adviser. 

Mr. Ross, in his second shuttle mis- 
sion within a month, was scheduled to 
meet Mr. Netanyahu on Wednesday 
night to try to revive the Israeli -Pal- 
estinian peace process. 

The meeting between Mr. Weizman 
and Mr. Ararat was rally the second 
high-level Israeli-PLO contact since 
talks deadlocked in March, when Israel 
began a new Jewish settlement in Arab 
East Jerusalem. 

Mr. Weizman, whose post is largely 
ceremonial, said after the meeting that 
Mr. Arafat had agreed to resume se- 
curity coordination between the sides. 

“This point was agreed upon," Mr. 
Weizman said. “I hope that it will begin 
operating within a few days.” 

The Palestinians were more circum- 
spect Mr. Arafat said only that he and 
Mr. Weizman had “reiterated the im- 
portance of preserving security for both 

of our peoples. ’’Yasser Abed Rabbo.a 
senior PLO negotiator, said that none of 
the basic issues were resolved during 
the meeting. He added that ' ‘resumption 
of negotiations will not take place be- 
fore the full cessation of settlement 

Asked about Palestinian demands for 
a halt to Jewish settlement activities on 
Arab land occupied in 1967, Mr. Bar- 
Ban said, “We obviously are not going 
to stop bail ding in the settlements any 
more than the Palestinians are going to 
stop building in their towns.” 

On Wednesday, Jewish settlers re- 
built a shack demolished a day earlier by 
Israeli police near the West Bank set- 
tlement of Yitzhar. 

The police had forcibly removed 
dozens of settlers from the shack. Sev- 
eral children were slightly injured in the 
incident, and 18 settlers were arrested 

Accord at Italian Rail 

ROME (AP) — A preliminary agree- 
ment for a new contract for 125,000 
railroad workers was reached Wednes- 
day, but the strikes that have hampered 
rail travel in Laly for the last few months 
may not be over. 

COMU, an independent union in- 
cluding train engineers, said that it did 
not sign any agreement and that a strike 
remained scheduled for May 19. 

Union leaders said that the accord 
included pay increases, and that the 
railroad promised to maintain current 
employee levels. The agreement may be 
finalized within a month. 

after a fire in the cargo hold of a ValuJet 
Airlines DC-9 caused the plane to crash 
into tiie Florida Everglades, the Federal 
Aviation Administration is still months 
away from finishing a draft rule that 
would require smoke detectors and fire 
suppression systems in the cargo holds 
of passenger planes, according to the 

But the agency said Tuesday that it 
had made major progress in the last year 
in improving safety, including adding 
inspectors to look for hazardous ma- 
terials like the oxygen generators that 
caused the ValuJet fire. 

Progress in Air Safety 


Nigeria Airport Work 

ABUJA, Nigeria (Reuters) — Ni- 
geria, hit by a series of air disasters, said 
Wednesday it had awarded a $23 mil- 

Which companies 
did Ahold 
take over last year? 


Lenin Left Out 
As Goose Step 
Regains Favor 


U.S. Airlines 
Start Test of 
Plan to Foil > 


Terrorists - 



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WASHINGTON — U.S. airlines, 
have started a.major test of the practice 
of matching passengers with their lu g=« 
gage as a way of preventing terrorists , 
from placing a bomb on a plane in an j 

The ^Air ' Transport - Association, \ 
which represents all major American';, 
carriers, said the trial followed xecom- ' 
mendations by a White House com- ! 
miggion formed after the explosion last ■ 
summer of TWA Flight 800 off New 
York. ! 

Terrorism was at first thought to be ■ 
the cause of the explosion that killed I 
all 230 people on board die Boeing ; 
747, although officials now say the; 
evidence tends to indicate a mech- ! . 
anical failure. 

John Meenan, the. Air Transport As - 1 
jciation’s vice uresident for policy and : 

sociation’s vice president for policy and ; 
planning , said the test period would last ; 
about two weeks. 

Mr. Meenan acknowledged that ; 
flights could be delayed if a passenger - 
checked a bag bat then for any reason 
did not board the flight. 

In the past, he said, that would not? 
have caused a problem. - 

“But in the trial, if they find you are ; 
not there, they must find your bag in the • 
belly of the plane,” Mr. Meenan said. 1 
“The delay can be very significant.” ; 

If a plane were held up for an hour at i 
a busy airport, he said, that would pre- ; 
vent another aircraft from .landing and • 
taking its place at the gate, and probably j 
would cause other passengers to miss J 

“You have cascading effects," he-- 
said . *■ 

Rebecca Trexler, a spokeswoman fbr- 


McVeigh 's Si* 

tiie aviation agency, stud she hoped 
there would not be many delays. She 

Likud Party to transfer land and limited 
governing power to Mr. Arafat's Pal- 
estinian National Authority. The agree- 
ment, which was bitterly opposed by 
some in Mr. Netanyahu's cabinet, re- 
quired Israel to turn over four- fifths of 
Hebron immediately and substantial 
chunks of the West Bank by the middle 
of next year. 

A day after the accord was signed on 
Jan. 16, Mr. Christopher gave separate 
“side letters" of assurance to Mr. Ara- 
fat and Mr. Netanyahn. Israeli officials 
disclosed the contents of the letter to Mr. . 
Netanyahn, but the contents of Mr. Ara- 
fat’s have not been revealed 

An official with knowledge of the 
FBI investigation into the identity of 
Mega cautioned that much remained 
unknown. But the official said that if it 
turned out that a senior U.S. official was 
passing sensitive information to the Is- 
raelis, it could prove more serious than 
tiie espionage case of Jonathan Jay Pol- 
lard, a former U.S. Navy analyst who 
was convicted in 1986 of selling mil- 
itary intelligence documents to Israel. 

there would not be many delays. She 
said that one purpose of the test was to 
see the effect of hag- matchin g on airline 

Ms. Trexler added that airlines had Jp/ 

the option of suspending the practice; 
during the test period if delays amouq-. 
ted to 20 minutes or longer, but she said; 
that by the end of Tuesday she had 
received no reports of delays of that 

Bags already are matche d on over- 
seas flights, Mr. Meenan said, but thosev 
flights are not scheduled as closely to-„ 
gether as domestic flights, on which* 
every departure and arrival is timed ta 
get full use out of every plane, making! 
any delay costly to the-carrief.*- • ■ 

He said, however, that he did not; 
believe bag marching was the answer to; 
security problems, because it wbuld' 
cause too many serious flight delays. ■ 

He said the answer might be a com-* 
bioatioa of bag matching and profiling 
passengers to try to screen for further; 
investigation any passenger who ■ 
seemed to be a potential risk. That mea- \ 
sure also was recommended by tiie spe- ; 
dal commission. 

lion contract to the Reach group Alcatel ; 
Alszhom to install modem landing sys- • 
terns at its 19 airports. 

“The contract is pan of our efforts to ; 
make our airspace safer,’’ Aviation. 
Minister Ita Udo-Imeh said. #7 

“We have also awarded a contract for; * 
the survey of our entire airspace for' 
radar coverage, which again is to ensure I 
safety of our airspace,” he said. 

Nigeria has sustained a series of air- 
disasters in recent years, the worst being . 
die crash of a passenger jet into a lagoon ; 
near Lagos in November that killed all ■ 
143 people on board. 

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tugaL which became a center of pii- : 
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High Low** 

Forecast lor Friday through Sunday, as provided by AccuWeather. 

--- - . 

(press once on the archive button) 

.T i ...j 

The JIl Netherlander 


MOSCOW — Goose-step- 
ping soldiers will again guard 
die tomb of the unknown sol- 
dier here, but the Kremlin 

made it clear Wednesday that 
the honor guard would not re- 
turn to Lenin’s tomb. 

“The president has made a 
decision m principle to restore 
the honor guards* Post No. 
1,” said the Kremlin spokes- 
man, Sergei Yastrzbem bsky . 
“L will now be at the tomb of 
the unknown soldier.” 

Boris Yeltsin removed the 
honor guards from both sites 
after he took power, infuri- 
ating Communists. 

Lenin’s tomb — Post No. 1 
— had been the most pres- 
tigious place far the guards to 
served Their slow march from 
tiie Kremlin gates to the doors 
of the mausoleum was timed to 





Hong Kong 


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North America 

Qusty thunderstorms are 
likely in New York end 
Phtotelphla Friday, windy 
and cool Saturday, but 
sunny and nice Sunday. 
Thunderstorms wfl sweep 
out of the northern Roddas 
Friday end across the 
northern Plains Saturday 
and Sunday. Sunny, hot 
and dtyh the Southwest 

UnssravaHy I 




Windy and cool across 
England, northern France 

and the Netherlands Friday 
through Sunday; London 
and Paris wfl have a show- 
er. but central mid northern 

England wti have steadier 
rains. Seasonable with 
some sunshine in Italy, but 
windy and rainy ki the cen- 
tral Alps. 


Hot and dry across most ot 
IrxSa; a tew shot mts and 
thutderaunns In the south. 
Showers ara likely In 
Tokyo Friday, then parity 
sunny and seasonable 
through Sunday. Mostly 
sunny, warm and dry In 
BeQlng, but an area ot rein 
wU soak parts at east-cen- 
tnri China. 




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Printed by Newsfax International, London. Registered as a newspaper at the post office. 





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pi 'estj Camelot’s Shield Deserts Joe Kennedy 











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By Elizabeth Mehren 

Las Angela Times Sen ice 

BOSTON ■ — There are the immut- 
able assumptions of life in Massachu- 
setts: Snow will fall, the Red Sox will 
lose and the Kennedys will win. 

But last week, as Representative 
Josegh Kennedy 2d prepared io become 
die first member of his family to lay 
claim to Massachusetts's gold-domed 
statehouse, the last part of that axiom 
stoned in jeopardy . 

The Kennedys have withstood crises 
that would have demolished lesser dy- 
nasties. The family has been a force in 
Massachusetts for almost a century, and 
has dominated the political landscape 
since 1946, when John Kennedy first 
became a congressman. 

Then, quite by coincidence, young 
Joe, who inherited the Brighton con- 
gressional seat of the former House 
speaker Thomas O'Neill, was hit from 
two sides by a dispute involving his 
former wife and a scandal surrounding 

his closest brother. Just as the 44-year- 
old, six-ieim congressman was ready- 
ing whal looked like a shoo-in race for 
governor next year, sympathy over 
Sheila Rauch Kennedy's challenge to 
the congressman's effort to annul their 
1 2-year marriage caused Mr. 
Kennedy’s popularity to plummet, par- 
ticularly among women. 

And when tabloid journalists from as 
far as Australia jumped on an article in 
the Boston Globe that Mr. Kennedy's 
brother, 39-year-old Michael Kennedy, 


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-LIST GROWS — A name being added to the Vietnam Memorial in Washington, one of seven new names. 

McVeigh’s Sister Tells of Hiding Papers 

By Jo Thomas 

New York Tima Service 

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■ DENVER — Under cross-examina- 
r 4i5n by her brother’s lawyer. Jennifer 
McVeigh wept on the witness stand as 
die explained why she agreed to (ell die 
FBI whai she knew about Timothy Mc- 
Veigh and the Oklahoma City bombing. 

■‘They told me he was guilty,” and 
“was going to fry.” she said Tuesday. 

■ In testimony in federal court here, she 
said she had hidden and destroyed papeis 
she thou ght might incriminate him, had 
roasted her parents’ pleas to cooperate 
with the government and had lied to the 
FBI in her first sworn statement 
She cold thef. troth arvl&t?rsft£said.v: 
because*' did agents 'had 1 threatened- to 
charge hetr Widrtreason and other crimes 
that carried the death penalty. For her - 
testimony, she was granted immunity 
from prosecution. 

Ms. McVeigh first took the witness 
stand Monday as an important if un- 
willing, witness against hex older broth- 

Mr. McVeigh, who is standing trial 
on charges of murder and conspiracy in 
the bombing that killed 168 people, 
gave his sister a smile when she entered 
the courtroom Tuesday and watched as 
she broke down during a sympathetic 
cross-examination by Robert Nigh Jr., a 
defense lawyer. - 

As she tried unsuccessfully to stop 
crying, Mr. McVeigh, who has shown 
no emotion during die heart-rending 
testimony of bombing victims, blushed 
and looked sad. 

While stilt bemg'qaestioDed: by* ttie- - 
prosecution Tuesday morning, Ms. Mc- 
Veigh said that early in 1995, less than 
four months before the bombing, her 
brother, who was living in Kingman. 
Arizona, sent her, without explanation. 

a box of his belongings, including his 
high school yearbook and his military 

At about the same time, Ms. Mc- 
Veigh found a file on her ward pro- 
cessor entitled "ATF-Read.” The file 
contained a brief note that the lead pros- 
ecutor, Joseph Hartzler, said reads as if 
it were meant for agents of the Bureau of 
Alcohol, Tobacco and Firearms, whom 
Mr. McVeigh blamed for the deaths of 
die Branch Da vidians after (he federal 
siege of their compound at Waco, 
Texas, in 1993. 

The note, addressed to “ tyrannical ” 
federal agents, warned them that they 
“ will swing in the wind one day for your 
treasonous acts against die Constitution 
and the United States.” Read to the jury 
by Beth Wilkinson, the prosecutor who 
questioned Ms. McVeigh, the note con- 
cluded, “Die, you spineless, cowardice 

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Away From 

• The world chess champion, 
'"Garry Kasparov, and the supercom- 
puter Deep Blue drew the third 
game of their six-game rematch 
~ after die Russian grandmaster’s 
-48th move, leaving the $1.1 million 
- match tied at 1 Vi points. (Reuters) 

.•Hie army’s top enlisted .man, 
•.suspended after he was accused of 
r demanding sex from a subordinate 
during a business trip, has been 
..charged with sexual misconduct 
-and indecent assault involving four 
women. (AP) 

'•A 21-year-old single: mother 
;who wants to take along her baby 
/daughter when she attends Harvard 
University won custody after the 
gjrl’s father sited to keep the child 
.in California. (AP) 

■ • Texas authorities said feey.had 
. significantly scaled back , their 
'.search for the sole remaining fo- 
; -gitive of a secessionist group, pre- 
dicting that thirst or the danger of 
"attack by a wild animal wotda forc e 
him from rocky highlands. (NTT) 

Ex-Cultist Kills Himself 
In Heaven 9 s Gate ’ Style 

By Todd S. Purdum 

New York Tima Service 

LOS ANGELES — A former mem- 
ber of the Heaven’s Gate cult has been 
found dead in what is being called a 
copycat suicidein a motel room near the 
scene of die group’s mass suicide early 
this spring, and another former member 
was found unconscious in the same 
room, authorities said. 

San Diego Cooney officials said 
Tuesday that the men had been dis- 
covered, with trademark black Nikes 
and purple shrouds, in a room at a 
Holiday Inn Express motel in Encinitas, 
California. They said the scene was 
reminiscent of the discovery of 39 bod- 
ies of cult members mi March 26 in a 
mansion in Rancho Santa Fe, about four 
miles (six kilometers) away. 

“It was very similar in every way, 
only on a much smaller scale,” said 
Li eutenant Gerald Lipscomb, chief of 
die homicide unit in the San Diego 
County Sheriffs Department- 

Jury Spared Impaired Driver 

New York Tima Service 

WINSTON-SALEM. North Carolina 
— A jury here has spared Thomas 
Richard Jones from die death penalty 
and sentenced him instead to life in 
boson without parole, in the first case in 
meTJniied States to produce fnst-degree 
murder convictions for deaths caused by 
driving while the influence of 

alcohol or drugs. 

The jury took an hour Tuesday to 
make its decision. The quick judgment 
after the jurors found none of die 

aggravating factors dial would have had 
to be present before die death penalty 
Could be imposed. 

Still, prosecutore here said they be- 
lieved that Mr. Jones's sentence was the 
tou ghest ever handed down in a case 
involving impaired driving. 

Mr. Jones had taken painldHers and 
dnmk beer before crashing into the side 
of a car that was trying to elude him. 
Two students from Wake Forest Uni- 
versity were killed in that crash, and 
four were injured. 

The dead man was identified as 
Wayne Cooke, a sculptor and handy- 
man whose wife, Suzanne Sylvia 
Cooke, 54, was one of the 39 cult mem- 
bers who swallowed barbiturates and 
vodka, dying in the apparent belief that 
they would men join a spaceship trailing 
tbeHale-Bopp comet 

The ocher man, who has been hos- 
pitalized in critical condition, was 
Charles Humphreys, also known as 
Rick Edwards. He joined the group in 
1975, frequentiy leaving and returning 
but always maintaining an affiliation. 

In an interview with The New York 
Times after the first suicides, Mr. 
Cooke, who was in his mid-50s, said 
that be had spent a total of about four 
years in the group and had left it most 
recently in 1994. He was morose at 
having missed out on his former col- 
leagues’ supposed ascension and said be 

would probably join them. 

“I am going to drop my shell one of 
these days,” said Mr. Cooke. “Hope- 
fully, 1 will have another chance.” 

Mr. Cooke left the group in 1976 and 
again in 1994. He said he always had 
believed in the group’s ideas and 
blamed hims elf for not making enough 
progress toward erasing his own 
thoughts and replacing them wife the 
group’s teachings. In an “exit state- 
mem” he sent to bis daughter, Kelly, he 
said his suicide would not accomplish 
the same thing as his 39 “classmates” 
who be said bad overcome their hu- 

“It seems likely,” he wrote, “that I 
wil] be rescheduled fox a future incarn- 
ation into a future classroom to com- 
plete my overcoming of mammalian 
behavior and to strengthen my connec- 
tion with the Next Level Above Hu- 

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conducted a kw 

baby si Her, die famil y’s fabled political 
invincibility was suddenly in doubt. 

“Until the last week, everyone I 
know was saying Joe Kennedy could 
just walk right into the governor’s of- 
fice,” said Samantha Overton, jfresi- 
dent of the Massachusetts Women’s 
Political Caucus. “But this is kind of a 
one-two punch all at once. I don’t know 
if be can get beyond it.” 

Before the scandals, a poll by the 
Boston Globe showed the congressman 
enjoying a 60 percent favorable rating, 
and 25 percent unfavorable. Last week, 
die poll put his favorable rating ax 43 
percent against 39 percent unfavorable. 

And Mr. Kennedy has no road map to 
guide him out of die crisis. If be lasnes 
out at his former wife, women who vote 
are quiie likely to retreat in even greater 
numbers. If be acknowledges his broth- 
er's alleged transgressions, voters will 
surely question how much he knew. 

“There are little stops along the way 
and this one might not be such a little one 
for everybody. But you know. I'm proud 
of my family,” Joe Kennedy said soon 
after his brother and former business 
partner was reported to have had a five- 
year relationship with his family’s baby 
sitter, beginning when she was 14. “I 
love my brother very much. I always 
will, arid I think that given the circum- 
stances, at the moment, that’s the only 
comment 1 really care to make right 

In Massachusetts, sex with a minor 
under the age of 16 is construed as 
statutory rape. 

The congressman released a terse 
statement about his former wife’s new 
book, “Shattered Faith,” chronicling 
her campaign to stop die Roman Cath- 
olic Church from erasing a marriage rhai 
bore twin sons, now 16. “This is a very 
personal matter.” it read. “1 understand 
Sheila’s feelings and respect her right to 
express them.” 

Mr. Kennedy sought the annulment 
in 1993, when he married his scheduler. 
Beth Kelly, in a civil ceremony. A 
tribunal of the Boston archdiocese has 
granted the annulment; Sheila Kennedy 
hag filed an appeal with the Vatican. 

The monarchical notion that die fam- 
ily name might offer some immunity 
seemed as anachronistic as it was ir- 
relevant. “They behave,” said Chris- 
topher Lydon, host of a popular radio 
call-in show, “like the crumbling 
House of Windsor.” 

Richard Goodwin, once an aide to 
Robe rt Kennedy, predicted that the 
firestorm will pass: “I think it is dam- 
aging, but I think it can be dealt with 
through accomplishment. It has always 
rested on that.” Potentially most harm- 
ful. in Mr. Goodwin’s view, is “the 
attitude toward women and feminism, 
which people tend to read into it” 

FBI Advised Reno 
To Appoint Counsel 

rector, Louis Freeh, advised Attorney 
General Janet Reno that early ev- 
idence suggesting White House in- 
volvement m the Democratic Party 
fund-raising scandal warranted the 
appointment of an independent coun- 
sel in the case, according to gov- 
ernment officials. 

Ms. Reno, however, decided on 
April 14 to follow the advice of other 
Justice Department officials who said 
that an independent counsel was un- 

Mr. Reeh made Ms recommen- 
dation orally as pan of an FBI anal- 
ysis of the evidence in the fund-rais- 
ing inquiry. 

He did so, the officials said, after 
concluding that the Justice Depart- 
ment faced a possible conflict of in- 
terest in investigating the actions of 
several dose aides to President Bill 

The officials, who declined to say 
exactly when Mr. Freeh’s recommen- 
dation was made, emphasized that his 
analysis was based on an interpret- 
ation of the facts, not the inquiry’s 
political ramifications. 

“There is no sense of an impasse 
between the director and the attorney 
general.” a Justice Department 
source said. “It is not a huge con- 

The official said Mr. Freeh did not 
try to force his view on Ms. Reno, 
who also was soliciting advice from 
career prosecutors in the Justice De- 
partment’s criminal division. (WP) 

Hearing on CIA Job 
Is Short and Sweet 

WASHINGTON — Praising the 
United States’ much maligned spies 
and promising to hold them to “the 
highest degree of personal integrity,” 
George Tenet breezed through a short 
and relatively sweet Senate hearing 
on his nomination to be director of 
central intelligence. 

The public testimony, which in- 
cluded no other witnesses and lasted 
slightly more than three hours, was 
the quickest at a confirmation hearing 
in the 20-year history of die Senate 
Select Committee on Intelligence. 

Li comparison, the committee 
spent six months mulling over the 
confirmation of Robert Gates to be 
director of central intelligence in 

And by focusing directly, if briefly, 
on the future of U.S. intelligence, the 

session Tuesday stood in striking con- 
trast to the politically charged hear- 
ings on President Clinton’s feat nom- 
inee, Anthony Lake, who withdrew 
from consideration in March with a 
blast at a process feat he called “a 
political circus.” 

Mr. Tenet, acting director for 
last six months, was the Senate com- 
mittee’s staff chief from 1989 through 

At 44, he would be the second- 
youngest director in the CIA’s history 
and the first to rise from the ranks of 
the agency's congressional over- 

He still had a few hours to spend 
with the committee, in a closed ses- 
sion Wednesday, but he appeared cer- 
tain to win its approval and then con- 
firmation by the mil Senate as early as 
next week, committee members 
said. (NYT) 

Disaster Bill Gains 

WASHINGTON — The Senate 
took a step Wednesday toward pas- 
sage of an emergency disaster relief 
bill — but without resolving a polit- 
ical dispute that could lead to a pres- 
idential veto. 

Senators voted, 100-0, to cut off 
debate on the bill to provide $8.4 
billion in new funding this year, in- 
cluding $5 5 billion in aid for more 
than two dozen states hit by natural 

That set the stage for final passage, 
probably Thursday. 

Left undecided was how the White 
House and Republican leaders will 
deal with language in the bill, sup- 
ported by Republicans, feat would 
eliminate the possibility of another 
government shutdown. 

President Clinton has said that, de- 
spite the urgency of getting relief to 
suffering Americans, he will veto a 
bill with the no-shutdown provirion. 

The White House and Democrats 
oppose a plan to freeze funding auto- 
matically at 98 pexcent of the previous 
year’s levels if spending bills have not 
been agreed upon by fete start of the 
fiscal year. They say it would open the 
way for Republicans to cut programs 
without fearing repercussions from 
another federal shutdown. (AP) 


John Rother. chief lobbyist at fee 
American Association of Retired Per- 
sons, as Republicans and Democrats 
fought over provisions affecting 
Medicare in the balanced-budget 
agreement: “It’s weird to have the 
celebration over and the negotiations 
still going forward.” (NIT) 

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By Sheiyl WuDuhq 

Nfw York Times Service 

SEOUL — As a pharmacist meas- 
ured the clumps of grass and crushed 
stems on die table. Park Sun Yeop kept 
turning to one item not yet on the pile: 
the budding antler of a deer. 

need energy,” she said, hesitating 
over the extra cost of an tiers, as her little 
daughter tugged at her skin. “I want to 
have a second baby, and I think this will 

In the end, she bought the antlers, like 
millions of other South Koreans whose 
craving for Chinese medicines is trans- 
forming this increasingly wealthy coun- 
try into a magnet for products made 
from some of the world’s rare and en- 
dangered species. 

‘‘Ox gallstones, rhinoceros horns, ti- 
ger bones, bear gallbladders,” said Kim 
Woo Sik, a doctor of traditional Chine se 
medicine. “People who have lots of 
money and are very foolish when it 
comes to medicine — they want these 

Chinese medicine, which uses brews 
of herbs, flowers, grasses and some- 
times animal parts in a tradition that 
stretches back thousands of years, is 
widely used by Koreans, Chinese and 

It is perfectly legal in South Korea to 

purchase some animals or anim al parts. 
Like centipedes or deer antlers — vel- 
vety antlers with flecks of the animal’s 

But buying tiger bones, rhinoceros 
horns, the musk of deer and the gall- 
bladders of bears is generally not 

And gal lb lad d ers have suddenly be- 
come one of the hottest items here m the 
frenetic search for better health and 

For instance, nine out of every ten 
gallbladders snatched from the world’s 
dwindling population of bears end up in 
South Korea, environmental groups 
here say. 

They are coveted for healing dia- 
betes, liver ailme nts and heart condi- 

And Western medicine, too, has har- 
nessed the active ingredient in bear gall- 

But recently, the gallbladders have 
acquired the mistaken image of a ma- 
gical cure-all, and more and more, they 
are used in health tonics or in aph- 
rodisiacs, with a dash of alcohol. 
Korean restaurants used to serve dishes 
with names like braised bear palms until 
a crackdown last year forced the bear 
dishes off the menus. 

Last summer, five Koreans and two 
Thais were arrested after they were 
caught with the carcasses of six wild 

bears, wift the paws chopped off and the 
gallbladders and other internal organs 

The demand for bear parts is threat- 
ening anew certain endangered species 

“Koreans are concerned about 
bears,” said Yoo Soo Hoon, a research- 
er at the Korean Federation for En- 
vironmental Movement “But at the 

for the health that people can’t resist 
using them.” 

In South Korea, fewer than 10 wild 
bears are left in the mountains, accord- 
ing to the federation. The rest have all 
been secretly hunted down. 

Moreover, there is a belief that when 
a bear is afraid or hungry its gallbladder 
becomes larger, so that often a poacher 
will frighten or wound the bear first to 
have it die slowly in pain. 

A single gallbladder can fetch thou- 
sands of dollars here. One merchant in 
the Kyung Tong market said that the 
going price for gallbladders was $1,100 
an ounce (28 grams). 

A limited amount of trade in bear 
gallbladders is legal in South Korea, 
primarily , of those from bears in the 
United States, and pharmaceutical 
companies use them to make drugs. 

But experts say that the underground 
market for gallbladders and other rare 

Malaysia No. 2 
To Take Reins 
Up to 2 Months 


KUALA LUMPUR — Deputy Prime 
Minister Anwar Ibrahim will run die 
country when Prime Minister Mahathir 
bin Mohamad goes away on a com- 
bination vvork-and- vacati an trip that 
could last two months, government of- 
ficials said Wednesday. 

Mr. Anwar will be acting prime min- 
ister, the officials said, while Mr. Ma- 
hathir visits a number of countries, in 
part to promote Malaysia's new tech- 
nology zone, the Multimedia Super 

News of Mr. Mahathir’s impending 
departure — reportedly the longest he 
has planned since becoming prime min- 
ister in 1981 — stirred speculation in 
financial markets Wednesday. Most of 
the talk, which dealers said weakened 
the value of the ringgit, centered on 
whether Mr. Mahathir was testing the 
governing abilities of Mr. Anwar, who 
is widely regarded as Ms successor. 

Another concern was that the prim e 
minister’s health was failing, although 
officials firmly denied that die 71 -year- 
old, who had a heart operation eight 
years ago. was ill in any way. 

“There’s no secret here.’ * said Nazri 
Aziz, deputy minister in the prime min- 
ister’s office. ‘ ‘The PM will be going on 
leave for two months, and Anwar will be 
the acting PM.” 

Officials said Mr. Anwar, who also 
serves as finance minister, would take 
over Mr. Mahathir’s powers as home 
minister as well. 

Mr. Mahathir, who is fini s hin g a visit 
to African countries, was scheduled to 
return to Kuala Lumpur on Thursday 
and announce his mission, which could 
start late this month. 

Activists in Taiwan burning a Japanese flag Wednesday to protest the visit by the legislator to the islands. 

Transport Minister Ling Lions Sik 
lid the prime minister was scheduled to 

said the prime minister was scheduled to 
visit London and such East European 
countries as Poland and Russia to dis- 
cuss bilateral issues and promote the 
high-tech development, which is to ex- 
tend south from Kuala Lumpur. 

The opposition portrayed the transfer 
of power as an effort by Mr. Mahathir to 
reassess his political strength and that of 
the government 

“You take a step back, watch Me 
weaknesses and strengths in your gov- 
ernment while you're gone, and then 
ponder on ways to improve things.” 
said Lim Guan Eng, deputy secretary- 
general of the Democratic Action Parly, 
the largest opposition party. “He's right 
to do it.” 

Japan Tries to Defuse Isles Dispute 

TOKYO — Japan emphasized its 

sovereignty over disputed islands in the 
East China Sea on Wednesday, but de- 

East China Sea on Wednesday, but de- 
scribed a visit there by a nationalist 
legislator as an “illegal act” that was 
bad for Tokyo's foreign relations. 

The legislator's landing on Tuesday 
on the uninhabited islets, railed the Sen- 
kaku Islands by Japan and the Diaoyu 
Islands by China, drew sharp protests 
from China and Taiwan, both of which 
claim the territory. 

Egg-throwing demonstrators briefly 
took over Japan’s quasi-official em- 
bassy in Taiwan. Small protests were 
also held in Hong Kong, and plans went 

ahead for a flotilla to sail from Taiwan to 
the islands on May 18. 

The top Japanese government 
spokesman, Seiroku Kajiyama, said at a 
news conference: “The Japanese gov- 
ernment has repeatedly stressed that the 
islands are territory under Japanese con- 
trol, but in view of the landowner saying 
he does not want landings or other activ- 
ities on the islands, it was an illegal 

"The landing was also not a good 
idea from the point of view of foreign 
relations,” he added. 

Japan has claimed the islands since 
1895. China says it has owned them 
since ancient times. 

Chinese, Taiwan and Hong Kong ac- 
tivists backing China's claims to the 
Japanese-administered isles reacted an- 
grily to the landing by the legislator, 
Shingo Nishimura, who planted a Jap- 
anese flag on one of the islands and held 
a memorial ceremony there. 

Mr. Kajiyama said there were no 
plans to prosecute Mr. Nishimura or to 
summon him for censure. 

Mr. Nishimura’s political party, The 
New Frontier, which is the mam op- 
position group, also distanced itself 
from the visit, saying it was a private act 
But Mr. Nishimura insisted that the gov- 
ernment was not asserting itself "as a 

Asian Lust for Cure-Alls Threatens Rare Species 

ingredients is flourishing. Though many 
Koreans take Chinese medicine for ail- 
ments as common as the cold, if they 
take anything exotic, they consider it a 
special occasion. 

Ki Chong So, a 76-year-old retired 
farmer who has used Chinese herbs 
since he was a baby, drinks a potion of 
deer antlers only once a year, to restore 
his energy. 

“It’s better than not taking it,” he 
explained, as he sauntered past bundles 
of dried centipedes in the Kyung Tong 
market. “Fm not so healthy. That’s why 
I need Chinese medicine.” 

Fakes abound, however, said Han 
Dae Suk, a director of the Korea Phar- 
maceutical Traders Association. Mr. 
Han has conducted random tests on gall- 
bladders brought to him by customers. 
Fig gallbladders, for instance, can 
sometimes be mistaken for bear gall- 
bladders, and camel bones often pass for 
tiger banes. 

These days, though, many of the ac- 
tive ingredients in these anim a l parts 
can be reproduced synthetically, and 
practitioners prescribe the artificial 
forms. But there is still a demand for the 
real thing. 

“It’s like asking, What do you think 
about the difference between a natural 
diamond and an artificial diamond?” 
Dr. Kim said. “Is it the same thing?” 

India Separatists 
Ml 18 in Patrol 

AGARTALA, India — Separatist 
tribal guerrillas ambushed a security 
patrol in northeastern In dia on Wed- 
nesday, killing 17 paramilitary sol- 
diers and a policeman, the state police 

Three paramilitary soldiers were 
critically wounded in the attack by 
militants of die National Liberation 
From of Tripura, which is an out- 
lawed guerrilla group. 

The government asked the 
army and paramilitary troops to start a 
search operation for the insurgents, 
said Bibhuti Chaudhury, a police su- 
perintendent, in Agartala, the capital 
of Tripura state. (Reuters) 

Ch an should remain to oversee in- 
vestigations into three murder rases 
and to make changes in the Cabinet, 
said Wu Poh-hsiung; secretary general 
of the governing Nationalist Party. ~ 
The outrage over crime was set off 
by the kidnapping and murder last 
month of the 1 7 -year-old daughter of 
a popular actress. On Sunday, about 
50,000 people marched in Taipei, de- 
manding the resignation of the cab- 
inet (A?) 

.prudent an A 

UN Leader Begins 
First Visit to Beijing 

BEIJING — Kofi Annan began his 
first visit to Beijing as secretary-gen- 
eral of the United Nations on -Wed- 
nesday,. saying he planned to discuss 

Seoul Holds Out Aid 
As a Carrot to North 

TOKYO — The United States and 
South Korea do not plan to give large- 
scale food aid to Noith Korea until the 
Communist nation agrees to open 
peace talks, Japanese officials said 

Briefing reporters on talks in 
Tokyo involving Japan, South Korea 
and the United States, the officials 
said Japan did not plan to give any aid 
until ties with North Korea were nor- 
malized . 

The one-day talks ar the Japanese 
Foreign Ministry focused on . food 
shortages in North Korea and ways to 
encourage it to join peace talks. 

“We basically agreed it was im- 

nesday, saying oe piannea to discuss 
reform of the organization with one of 
its most important members. 

‘Tm looking forward to having a 
very constructive and useful dialogue 
with the Chinese authorities and to 
wting able to rfismss UN reforms and 
other issues,” Mr. Annan said after 
arriving in Beijing. 

“I think China plays a very im- 
portant role in United Nations af- 
fairs,” he added. “and has a lead- 
ership role in the world.” 

Mr. Arman was scheduled to meet 
with President Jiang Zemin on 
Thursday. He also plans to hold talks 
with Foreign Minister Qian Qicben 
and economic leaders during what 
UN officials described as a “courtesy 
visit.” ( Reuters ) 

portant to beep a cautious eye on Me 
food situation in North Korea,” a 

China Cracks Down 
At Macau Border 




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food situation in North Korea,” a 
Foreign Ministry official said. 

The talks involved Charles Kart- 

man, aU.S. deputy assistant secretary 
of state, Yu Myung Hwan, director- 
general for North American affairs at 
the South Korean Foreign Ministry, 
and his Japanese counterpart, Ryozo 
Kato. (Reuters) 

HONG KONG — China has 
tightened security on the border with 
Macau in an effort to help the Por- 
tuguese-run territory crack down on a 
wave of gang-related crime, Chinese- 
languagc newspapers in Macau re- 
ported Wednesday. 

The stricter controls are intended to 

lidtfv fhi i l * l ^ 

INK 1 .:.' 

Taiwan Official 
Offers to Resign 

“fight illegal immig ration and stop 
Me entry and exhofsuspected crim- ; 
inals,” the Va Kio daily quoted 
Huang Yanquan, a spokesman r or the 
Chinese bonder-inspection office, as 

Mr. Huang said the office would *7* 
also step up the screening of illegal . 
immigrants deported from neighbor- 
ing Macau in an effort to identify 
criminals. (Reuters) 


TAIPEI — The prime minister of 
Taiwan offered to resign Wednesday 

because of the public outrage over 
crime, but President Lee Teng-hui 

asked him to stay. 

Mr. Lee said Prime Minister Lien 

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Beijing Sentences Abbot 
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The Associated Press 

BEIJING — A senior 1166180 
Buddhist monk suspected of passing 
information to the Dalai Lama has been 
sentenced to six years in prison for 
plotting to split China, the Xinhua press 
agency reported Wednesday. 

The conviction of Chadrel Rinpoche, 
along with two aides, for separatism and 
disclosing state secrets, was a warning 
to Tibetan clerics, many of whom re- 

main deeply loyal to the Dalai Lama. 
The Chinese Communist Party is i 

The Chinese Communist Party is in 
the midst of a three-year campaign to 
suppress pro-mdepradence sentiment 
in Tibet and discredit the Dalai Lama. 

One weapon Beijing hoped to use to 
divide Tibetans was fie arcane search 
for one of Tibetan Buddhism's supreme 
religious leaders. Chadrel Rinpoche led 
tiie Beijing-approved search for the 1 1th 
reincarnation of the Paochen Lama. 

Bur he was detained in May 1995 
after the Dalai Lama, from his exile in 
India, announced the name of the new 

Panchen Lama. Chadrel Rinpoche was 
suspected of informing the Dalai Lama 

suspected of informing the Dalai Lama 
of his search team’s choice. 

The announcement robbed Chinese 
leaders of a chance to name the new 
Panchen Lama, a right they claim to 
have under a 200-year-old agreement, 
which they say proves China has ruled 
Tibet for centuries. 

The Xinhua report provided no de- 

tails of the allegations against Chadrel 
Rinpoche, abbot of the Panchen Lama’s 
Tashifhnnpo monastery: Chamba 
Chung, deputy director of the Panchen ■ 
Lama's residence, and Samdrup, an ex- 
ecutive of the Gangjian Corp., a busi- 
ness believed to be affiliated with the. 

‘ ‘They seriously jeopardized national 
unification and the unity of ethnic 
groups, damaged the stability and de- 
velopment of Tibet and have committed 
the crime of splitting the country,” Xin- 
hua said. 

Because state secrets were involved, 
Xinhua said, the three were tried in 
secret in Shigatse, Tibet’s second city 
and site of Tashilhunpo. All three con- 
fessed their crimes, it added. 

In addition to six years for Chadrel^ 
Rinpoche, Chamba Chung was sen-" ‘ 
tended to four years in prison and Sam- 
drup to two. 

Chadrel Rinpoche is the highest-level 
Tibetan cleric arrested and sentenced in 
17 years, said Kate Saunders of Tibet 
Information Network, a London-based 
monitoring group. 

After Chadrel Rinpoche was arrested, 
Beijing forced Tibet's Buddhist hier- 
archy to repudiate the Dalai Lama's 
candidate and choose another 6-year- 
oid boy. 

The Dalai Lama's choice has not 
been seen in public since. 

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SINGAPORE — Singapore’s leaders 
asked a court Wednesday to award 12.9 
million Singapore dollars in damages 
against an opposition politician they 
said had tried to destroy their honor and 

Senior Minister Lee Kuan Yew 
sought 3 35 million dollars ($2.33 mil- 
lion) from Tang Liang Hong, who lost in 
the election in January and then fled to 
Malaysia, saying he had received death 

Prime Minister Goh Chok Tong 
asked for 2.1S million dollars, and the 
deputy prime minister, Lee Hsien 
Loong, sought 2.1 million dollars from 

Mr. Tang, who was a major target of the 
long-governing People's Action Party 
during the election campaign. 

Mr. Tang was sued by Mr. Goh, Mr. 
Lee and 10 other leaders of the party for 
calling them liars over their allegations 
that he was an “anti-Christian Chinese 
chauvinist’ * who endangered racial har- 
mony in Singapore. 

* ‘The case for substantial damages is 
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Davmder Singh, told the court Wed- 
nesday during a hearing to determine 
riamagfts , 

The libel cases were awarded to the 
party leaders in March after Mr. Tang 
had failed to turn up to defend himself 

Mr. Singh said the damages should be 
awarded because Mr. Tang “perpet- 
rated the libel and repeated it” after the 
elections by giving media interviews. 

“When he was sued, he ran away,” 
he added. 

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Italy Prudent on Albania Force 

. ®pME J5* Italian defense minister, Beniamino 
Anare ana, aid Wednesday that a multinational security 
force m Albania should lie withdrawn if an agreement 
between political parties to hold elections by the end of 
June was broken. 3 

If this agreement fails, both the United Nations and 
the governments involved,” he said, “should look again 
ffl . reasons for the mission Mid proceed with its 
withdrawal. Mr. Andreatta was speaking in the Cham- 
ber of Deputies at a question session. 

haly is leading the multinational force, which began its 
three-month, UN-backed mission to oversee humanitarian 
aid deliveries on April 1 1 . (Reuters) 

A New Russia-NATO Meeting 

LUXEMBOURG — Foreign Minister Yevgeni Pri- 
makov of Russia said Wednesday that he would have 
anofoermeeting with the NATO secretary-general, Javier 
Solana Mad ariaga, in Moscow on Tuesday. 

Mr. Primakov said at a press conference here that his 
talks late Tuesday with Mr. Solana about Russian con- 
cerns over NATO ’s eastward expansion had been fruitful, 
bat some issues still needed clarification. 

Asked if the agreement would be ready for signing in 
Paris by President Boris Yeltsin and NATO heads of state 
and government on May 27, as expected, the Russian 
minister answered: “Well see. J cannot say until after 
meeting Mr. Solana on May 13.” (AFP) 

Sofia Lawmakers Vow Reform 

SOFIA — Bulgaria's new Parliament held its first 
session Wednesday, pledging to reform the shattered 
economy, to fight crime and corruption, and to bring the 
country into the European mainstream. 

Elections held last month after mass protests forced the 
fall of the Socialist government in February gave the 
center-right Union of Democratic Forces a big majority. 

‘Today, everyone is convinced that a new reformist 
majority has been bora in Bulgaria, and you here in 
Parliament are the most important part of it because you 
are called upon to cany, the burden of reforms on your 
shoulders,” President Petar Stoyanov said at the opening 
session. ( Reuters ) 

Turkey Hails E U Mediation 

ANKARA — Turkey said Wednesday that it wel- 
comed an EU-inspired mediation meeting with Greece 
scheduled to take place this month in the Netherlands. 

“We hope the committee’s work will be a positive and 
constructive start for solving the problems,” said Sennet 
Atacanli, a Foreign Ministry spokesman. 

NATO allies Turkey and Greece are at odds over the 
divided island of Cyprus, territory in the Aegean Sea and 
minority rights. ( Reuters ) 

Bonn Sets Reward in ETA Case 

BONN — Investigators offered a 10,000 Deutsche 
mark reward, about $5,900, on Wednesday for a fugitive 
- Ger man woman suspected by the Spanish authorities of 
helping Basque terrorists. 

Renare Hoke Schubbert, 33. is believed to have rented 
a Madrid safe house for wanted members of the Basque 
separatist group ETA, investigators at the Hesse State 
Criminal Office said. ‘ (AF) 

Chirac Weighs Into Race as Right Begins to Worry 

By Anne Swardson 

Washington Past Sm icr 

PARIS — President Jacques 
Chirac on Wednesday went on the 
political attack against his surging 
leftist opponents in his first public 
effort to win an electoral victory for 
his incumbent conservative parties. 

When he called the election in 
April, 10 months ahead of schedule. 
Mr. Chirac said he hoped for a ‘ ’new 
elan” in France. 

On Wednesday, in a statement 
printed in 14 regional newspapers 
and pirated by several Paris papers. 
Mr. Chirac said France needed a 
“shared elan.” and criticized the 
Socialists' proposals for more gov- 
ernment programs and less business 

‘ ‘Our country, in the past, has not 
always made good choices.” Mr. 
Chirac said “We have too often 
confused spending and efficiency, 
die size of the public sector with the 
quality of public service. We 
thought that in nationalizing indus- 
tries we assured their success.” He 
added that “the time has come to 
enter a new phase.” 

In the bifurcated French system, 
presidents are not expected to inject 

themselves into legislative politics. 
Mr. Chirac’s job is not on the line, 
but his command of the reins of 
government and the funire of his 
ally. Prime Minister Alain Juppe, 
would be called into question by a 
Socialist victory. Mr. Chirac is ex- 
pected to speak again on the elec- 
tions before voting begins; sources 
say the president’s aides are be- 
coming increasingly concerned 
about the possibility of a conser- 
vative defeat. 

Spokesmen for die Socialists and 
Communists called the president’s 
statements “nothing new.” In fact, 
though Mr. Chirac’s message was a 
clearer statement of his center-right 
government’s hopes for moderniz- 
ing France's stratified economy 
than before, it also illustrated his 
political quandary. 

Many of his goals are, in their 
broad farm, opposed or feared by 
French voters. 

Thus, be did not mention Ranee ’s 
effort to qualify for the European 
single currency, a rigorous exercise 
in budgetary slimming also being 
undertaken by the rest of Contin- 
ental Western Europe. He called for 
“modernity,” but said little about 
what it would take to modernize 

Fiance and its heavy dependence on 
government for welfare programs, 
business subsidies and labor pro- 

In railing the early two-round 
elections for May 25 and June 1, Mr. 
Chirac had hoped to catch the left by 
surprise. But since his announce- 
ment, the Socialists and Communists 
together have risen in the polls neatly 
even with the two incumbent parties 
of the conservative coalition. 

Writing in the leftist newspaper 
Liberation on Wednesday. Serge Ju- 
ly, an analyst, said, “It is clear the 
majority was not ready for this kind 
of lanle; it seems instead to have 
become the first victim of the op- 

The idea was to give Mr. Chirac a 
freer hand during negotiations a 
year from now on entry into the 
single-currency club. Only nations 
that have sufficiently reduced their 
spending, debt and inflation can 
qualify, although few European 
countries are close to meeting the 
standards. For Mr. Chirac ana the 
unpopular Mr. Juppe, the next 10 
months would have been a juggling 
act, with the left nipping at every 
move toward austerity. 

However, the left quickly figured 

out its politicians could run against 
future austerity as well as they could 
against extant austerity, and the So- 
cialist Party leader, Lionel Jospin, 
also has been backing away from his 
party’s historical support for Euro- 
pean integration and the single cur- 

He has promised to create 
700,000 publicly financed jobs and 
stop the planned privatizations of 
several major businesses, making it 
more difficult to cut spending 
enough to meet the single-currency 
deficit standards. 

“They are incapable of saying 
how they will finance it all.” said 
Charles Pasqua, a former interior 
minister from Mr. Chirac’s Rally for 
the Republic party. But, he said, Mr. 
Chirac deliberately refrained from 
emphasizing Europe in his cam- 
paign for fear the election would 
turn into a referendum on the single 
currency, to which opposition is in- 

■ A Socialist Pledge 

Mr. Jospin, whose party has 
struck deals with the anti-European 
Communists and with the Greens, 
said he would not sacrifice jobs to 
achieve the euro criteria, making 

France’s record 12.8 percenr job- 
lessness the key issue, Agence 
France-Press reported from Pans. 

“Those who accept the euro un- 
conditionally. those who accept 
Europe’s drift towards liberalism, m 
violation of the spirit and the letter 
of Maastricht, are the gravediggers 
of the European ideal, he said. 

The Socialist Party manifesto, 
unveiled last week, notably pledged 
to create 700.000 jobs for the young 
and introduce a 35-hour working 
week without loss of pay in place of 
the current 39 hours. 

“Yes to monetary union but un- 
der certain conditions,” the mani- 
festo said, stressing the need to un- 
derline social and political issues. 

The former Socialist minister for 
European affairs, Elisabeth Guigou, 
said her party “has no intention of 
renegotiating the criteria” set by 
Maastricht and will not ask for a 
change in the European Monetary 
Union calendar. 

Jack Lang, also a former Socialist 
minister, stressed: “What we want 
is not less Europe but more Europe, 
more economic Europe via an eco- 
nomic government that would con- 
trol the European bank, and more 
social Europe.” 

Anti-Land Mine Personnel 

London, Paris and Bonn Officials Agree to Seek Ban 


BONN — Britain, France and Germany 
agreed Wednesday on a tripartite effort to ban 
anti-personnel land mines worldwide and said 
they would intensify cooperation in arms con- 
trol and disarmament. 

The foreign ministers of Britain, France 
and Germany — Robin Cook, Herve de Char- 
and ict ans Kinkel — made the announce- 
ment in a joint statement issued after Mr. 
Code meet with Mir. Kinkel in Bonn. 

“The three foreign ministers of Germany, 
Britain and France agreed to intensify their 
close cooperation in foe area of arms control 
and disarmament,” the statement said. 

“They agreed to give particular priority to 
-■'the early conclusion of an effective, legally- 
. bindin g internati onal agreement to ban world- 
wide the use, stockpiling, production and 
transfer of anti-personnel land mines. 

“They are determined to make every effort 
to prevent foe creation of more minefields in 
the future and are deeply concerned at the 
continuing toll in human life and suffering 
from minefields laid down in foe past” 

Mr. Code, on his first foreign trip since 
taking office last week after his Labour Party 
ended 1 8 years of conservative rale; met with 

Mr. de Charette in Paris earlier in foe day. 

Before that meeting, Mr. Cook conferred for 
about 30 minutes with Lionel Jospin, foe lead- 
er of the opposition Socialist Party in France. 

Mr. Cook said he hoped his trip to Paris and 
Bonn would mark the start of a new era in 
Britain's relations with Europe after what he 
called a sterile and fruitless period of con- 
frontation. France and Britain will tty to work 
out a joint approach to a review of foe work- 
ings of European Union institutions at foe EU 
Intergovernmental Conference, the foreign 
secretary said. 

41 T want to make sure that Britain has a fresh 
start in Europe and that Britain joins France 
and Germany as the leading players,” Mr. 
Cook said after the meeting with Mr. Jospin. 

Neither Mr. Cook nor Mr. Jospin would 
comment on the likelihood of Britain’s join- 
ing a single European currency. 

Mr. Cook said that the Socialists were 
Labour’s “sister party” bnt declined to ex- 
press a preference on the outcome of Reach 
parli am ent a ry elections on May 25 and June 
1. “We have good relations with our sister 
party but we will work very closely with 
whomever foe French people choose to gov- 
on them,” be stud- (AFP, Reuters) 

- -v* 

Lyme Skdky/Tbt Auocturd Ptcu 

RANKS OF* POWER — Tony Blair joining some of the 102 women elected as 
Labour members of Parliament, gathered on Wednesday for a group photograph. 

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ban Picks 4 to Run 
In Presidential Race 

TEHRAN — Iran's ruling clerics 
selected four candidates Wednesday 
to run in the May 23 presidential 
election, turning down 234 other 

All those approved are stalwart 
backers of Iran's fundamentalist 
Muslim establishment. None of the 
nine women who had signed up — 
the first in Iran's history to put them- 
selves forward as presidential can- 
didates — were selected. 

The decision was made by the 12- 
man Guardian Council. It said in a 
statement that the candidates would 
be All Akbar Nateq-Nouri, the Par- 
liament speaker; Mohammed 
Khatami, a former culture minister; 
Mohammed Mohamroedi Reyshahri, 
a former intelligence minister, and 
Sayed Reza Zavareie, deputy head of 
the judiciary. 

The winner will succeed President 
Hasbemi Rafsanjani. who must step 
down by law at the end of his second 
four-year term in August. (AP) 

two weeks. Twenty-nine homes in 
Winnipeg, a city of 650,000, were 
flooded. The floods devastated 
southern Manitoba and North 
Dakota, causing more than $1 billion 
in damage. (Reuters) 

Guatemala Farmers 
Threaten Ex-Rebels 

ment negotiators were working to 
calm tensions in a northern Guate- 
malan town where farmers, resentful 
after 36 years of war, rejected the 
resettlement of a group of former 
guerrillas, officials said. 

Residents of Pueblo Nuevo, a 
fanning cooperative near the Mex- 
ican border in the province of Quiche, 
over the weekend violently rejected 
30 former combatants from the Gua- 
temalan National Revolutionary Unit 
who hoped to settle there. About 300 
peasants threatened to bum down 
houses built for the former fighters. 
The police confirmed that local 
people tried to lynch two former 
guerrillas. (Reuters) 

South Africa’s Ex-Defense Chief Apologizes 

Agence France-Pressi 

CAPE TOWN — Former Defense 
Minister Magnus Mai an on Wednesday 
took full responsibility for secret 
apartheid-era raids into neighboring 
countries, but said the/ were all state- 
sanctioned and legal. 

Mr. Malan became the first senior 

Africa’s Truth and Reconciliation Com- 
mission for covert operations commit- 
ted in defense of the now-defunct white 

Ex-Malawi Leader 

Is Too III to Testify 9 On Civil Liberties 

Tung 9 s Softer Line 
On Civil 

BLANTYRE, Malawi — A judge 
has ruled that the former dictator of 
Malawi, Hastings Kamuzu Banda, is 
too old, frail and ill to face trial on 
fraud charges, state radio reported. 

Mr. Banda, in his 90s and senile, 
would be unable to meet his con- 
stitutional right to challenge evi- 
dence, Judge Duncan Tambala said 
in a ruling issued Tuesday. State 
prosecutors argued Mr. Banda could 
be tried in his absence on charges of 
misusing $10 million in state funds 
during ms 30-year rule. 

The judge said Mr. Banda, who 
was turned out of office in the first 
democratic elections, in 1994. 
“clearly is not fit to attend trial due to 
old age and poor health,’ ’ but dial the 
charges could be reopened if his con- 
dition improved. (AP) 

HONG KONG — Tung Chee- 
hwa, Hong Kong’s future leader, re- 
turned from meetings with top 

Chinese officials Wednesday, taking 


a softer line on plans to restrict civil 
liberties after the handover to China. 

Mr. Tung said he was prepared to 
tolerate public calls for his resignation 
and even burning of his effigy after he 
takes the helm July 1. But he cau- 
tioned that he prized jpublic order. 

“Hong Kong society is now very 
stable, very good,’’ Mr. Tung said. 
“It is something we are very proud 
of. and I said it would be sad if in such 
a successful and peaceful society, 
lives started to change." 

Manitoba Evacuees 
Trickle Back Home 

Seoul Got Secrets 9 
U.S. Analyst Admits 

WINNIPEG, Manitoba — 
Stricken southern Manitoba began 
returning to normal Wednesday as 
evacuees slowly returned home and 
the Red River's crest pushed north of 
Winnipeg. The first of the 8,800 
evacuated Winnrpeggers will be al- 
lowed back home starting Thursday, 
with the rest following in the next 

ALEXANDRIA, Virginia — 
Robert Kim, 57, a former U.S. Navy 
intel licence analyst accused of spy- 
ing fur South Korea, pleaded guilty 
Wednesday to one count of conspir- 
acy to co mmi t espionage. 

Mr. Kim told a federal judge he 
passed Defense Department and 
State Department secret documents 
to a representative of the South 
Korean government District Judge 
Leonie Brinkema scheduled senten- 
cing for July 1 1. (AP) 

minority regime. 

Soldiers unde? his command com- 
mitted abuses that led to “the deaths of 
innocent people" as part of their 
“doty*' to their political masters. Mr. 
Malan said. 

The former minister said the 
apartheid regime’s state security coun- 
cil, grouping the president, military of- 
ficials and senior ministers, had au- 
thorized “legal" raids against anti- 
apartheid bases in neighboring coun- 
tries “that caused much bloodshed." 

“I authorized orders to cross-border 
operations, which led to the killings of 
innocent people," he said. “I regret it, 
but unfortunately, this is the reality of 

He further admitted that the military 
had created a secret unit aimed at 
“providing the South African Defense 
Force with good covert capabilities to 
destroy terrorists, bases and capabil- 

Mr. Malan, who was acquitted last 
year of charges of ordering the 1987 
massacre of eight people in KwaZulu- 
Natal Province, acknowledged that 
some soldiers’ judgment had suffered 
“in tiie heat of battle." 

“I take full moral responsibility 
when members of the Sooth African 
National Defense Force acted unlaw- 
fully, and 1 offer my unqualified apo- 
logies." Mr. Malan told the paneL 

Mr. Malan, who served as defense 
minister during the 1980s. likened the 
role of the apartheid military toUmk- 
honto we Sizwe, the armed wing of 
President Nelson Mandela's African 
National Congress, which, he said, also 

committed abuses for their anti- 
apartheid cause. 

“The cruelty of man against man can 
often appear inexplicable and difficult 
to justify," Mr. Malan said, adding that 
all participants in historical conflicts 
had committed terrible acts. 

Successive white minority govern- 
ments under the National Party, now led 
by Frederik de Klerk, should bear the 
blame for immoral, yet “lawful," acts 
committed in defense of the state, Mr, 
Malan added. 

Winnie Mandela May Testify 

The truth commission said Wednes- 
day it would probably call President 
Mandela’ s former wife, Winnie, to testi- 
fy about two missing children, Reuters 
reported from Ope Town. 

A member of the commission, Yas- 
min Sooka, told reporters it was * "more 
than likely" that the commission would 
subpoena Winnie Madfldzela- Mandela 
to give evidence in camera. 

The parents of two children who dis- 
appeared in the black township of 
Soweto in the 1980s asked the com- 
mission to try to find out what happened 
to them. At the time, Mrs. Mandela lived 
in Soweto surrounded by the ‘ ‘Mandela 
United Football Club," a group of 
young bodyguards whom Soweto res- 
idents accused of waging a reign of 

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Former Defense Minister Magnus Malan appearing in Cape Town on 
Wednesday at a hearing of the Truth and Reconciliation Commission. 


iij.vir — 

Snowflakes in France 
3 Days After Hot Spell 

Agence France-Presse 

RENNES, Ranee — Snowflakes 
coated parts of western France on Wed- 
nesday as a freak cold spell settled over 
much of the country. 

A police officer in Tours, south of the 
capital, said: “I’ve never seen anything 
like it in 14 years." 

Temperatures fell to freezing over 
much of western Ranee at dawn, only 
three days after a heat wave. 

Watch for SezTtveck lutcriintioiirfs Spec! a! Issue: 7 •• 


The City of Survivors " T " 

T * • m. mem 

V- r 

This summer, the world will focus on one of the globed most 


return to China will dwell on the risks and dangers involved. 
They are real. But Newsweek^ editors will 
concentrate on the soul of Hong Kong, from 
which flows its most enduring characteristic: 
whatever the changes, whatever the shocks - 
the city survives. 

• the Whole World is Watching 
Why Hong Kong is the international issue of 1997. 

• the Least likely place 
A vivid history, with maps and historical photographs, of 
150 years in Hong Kong - and how it has beaten the odds 
time after time. 

V f/A . ^ iW 

^ ’J?, y 

/ v. • - h * 

= : i w.'fu 

• Families 

A look at some of the people who have shaped 
Hong Kong's past, present - and its future: The 
British, the Shanghainese, the New Hong Kongers. 

• The Next hong Kong 

In interviews with the best and the brightest of Hong Kong’s 
new leaders and industrialists, we sketch how the city can 
continue to be what it is now - one of the handful of places 
on earth where men and women can feel most thrillingly alive. 

An electronic version of “Hong Kong: The City of Survivors” 
will be featured in late Spring as part of the NWI Business 
Resource Center Website. 



Word at the NOW Meeting: 
‘Polygamy Is Empowering 9 

The Utah members of the National 
Organization of Women heard from 
an unlikely speaker at their recent 
conference in Salt Lake City, Utah: a 
polygamist wife who says she has the 
ultimate feminist lifestyle. 

Elizabeth Joseph contended in die 
conference’s keynote address that 
polygamy was compatible with fem- 
inism because it allowed career- 
minded women flexibility and free- 

“Polygamy is an empowering life- 
style,” she told members of the or- 
ganization, known as NOW. 

Mrs. Joseph, a city attorney, col- 
lege instructor and radio news di- 
rector. is one of eight women mairied 
to Alex Joseph. 60, a businessman 
who lives in the southern Utah town 
of Big Water. 

But being married to a man with 
seven other wives and living “within 
spitting distance" of them is liber- 
ating, Mrs. Joseph said. 

“I was able to go to law school 400 
miletraway,” she said, “knowing my 
husband had clean shorts in the morn- 

ing and dinner at night" The other 
wives enjoyed similar freedom, she 

When, just out of college, she met 
Alex Joseph, “I married the best man 
I ever met," she said. They now have 
three children; he has 18 children by 
his other wives. 

The wives — and for that matter, 
the whole family — get along fam- 
ously. Mrs. Joseph said. Mr. Joseph 
works at home and is always avail- 
able to tiie children; someone is al- 
ways around to baby-sit “I’ve max- 
imized my female potential.” she 

An estimated 20,000 people live in 
polygamous families in Utah, as do 
several thousand in other Western 

Many, like the Josephs, belong to 
fundamentalist groups that broke 
away from the Mormon Church, 
which abandoned its belief in poly- 
gamy in the late 1800s. 

The authorities often are slow to 
enforce laws against polygamy be- 
cause of the disruption such action 
would cause to families. 

Short Takes 

New York City marked a cen- 
tury of unity this week. In the be- 
ginning, there was something less 
than harmony. When more than 40 
local governments were welded to- 
gether, it was over the vetoes of the 
mayors of Brooklyn and New York. 

But a desire for unity — at a time of 
social, political and economic strife 
that had tom the country since the 
Civil War — finally prevailed. The 
New York Times recalls. 

The New York that was created by 
adding Brooklyn, Queens and Staten 
Island to what had beat just Man- 
hattan' and the Bronx became the 
world's second-largest city, after 

It's ramp season in the highland 
woods of Appalachia, so eyes are 
watering. The ramp, a close cousin of 
the wild onion, is found for only a few 
weeks each spring. Its arrival is a 
cause for celebration among the bold 
and trepidation among the weak. 

The ramp can be served raw, 
stewed, boiled, baked or fried. It hasa 
taste like “onion and garlic to the 
10th power," blended with a dash of 
pepper and a fistful of dirt. The Bal- 
timore Sun says. Tine lovers dive in 
with gusto — then cancel any social 

The problem is the smell, variously 
described as putrid, gaseous and 
worse than a dead mouse in the wa£L 
Naughty boys in rural schools used to 
cause an end to lessons for the day by 
rubbing a ramp on a radiator. 

So travelers in the area, beware. If 
someone tells you “Try. one. They, 
won’t make your breath stink," hold- 
your nose and take it with a ton of 
salt. • '• . 

1 itK •••»■’- 

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International Herald Tribune. 

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Bonn Plan* to S 

Oops! Error Makes Newsweek Recall Issue 

The Associated Press 

NEW _ YORK — Newsweek 
magazine is recalling a special issue on 
children because it recommends that 
parents allow babies as young as five 
months old to eat foods that can cause 

ft is the first time Newsweek has 
recalled an issue. 

The magazine, which is owned by 
The Washington Post Co., did not es- 
timate the cost of recalling the several 
hundred thousand issues that have been 
distributed to newsstands. 

The issue, which features a blue-eyed 

baby on the cover, suggests in a chart 
that infants can eat raw carrot chunks 
and zwieback toast at the age of five 

In fact, children at that age can eat 
pureed foods but could choke cm 
something solid such as raw carrot 
No choking incidents have been re- 
ported as a result of the chart 
The recall was prompted by a phone 
call from a reader who is a pediat- 

The mistake was made by a copy 
editor who was working on two items 
simultaneously, according to Karen 

Wheeler, a spokeswoman for News- 

The issue will be reprinted without 
the error and redistributed to news- 
stands, hospitals and doctors’ offices. 
As a special edition, it was intended to 
remain on newsstands for several 

Subscribers also received the issue. 

A note to readers in the magazine’s 
May 12 issue invites them to phone 
Newsweek if they would like a cor- 
rected version of the feeding chart. jf 

The magazine has a circulation or 
more than 3 million. 


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Clinton Appeals to Mexico 
To Stick to NAFTA Track 

Export Free Trade to Latin America , He Says 

* Truth and R«u nci |t 
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Tht Associated Press 

■ MEXICO CITY — Calling for free 

Latin America, Prcs- 
' B* 11 ClrniOD said Wednesday that 

the United States and Mexico must defy 
. people who “would throw up walls of 

“ & “ appeal to the Mexican people, 
. Mr. Clinton said the North American 

ftee Trade Agreement was a boon to the 

*A““ ncan and Mexican economies. 

- We must accelerate the pace of these 
-T efforts, to reach more people and more 
■^.communities,” he said. 

“W e must include more nations in our 
"partnership so that we can achieve our 
goal of a Free Trade Area of the Amer- 
icas,” he said, according to an advance 

■ copy of his speech. 

_ After talk s about immigration a m l 
_ drugs with the Mexican government 
.'Tuesday. Mr. Clinton delivered his ad- 
dress Wednesday to hundreds of people 
jAin the National Auditorium. 
y. He sprinkled the speech with lines 
designed to appeal to the pride of Mex- 

- icaos, many of whom feel that the United 
_ States treats their country like a second- 

rate neighbor. 

He congratulated the government for 
“carrying forward bold political re- 
forms” and said the United States and 
Mexico were true partners in the fight 
against drugs. 

The message was a follow-up to talks 

Tuesday with President Ernesto Zedillo. 
A series of modest agreements on im- 
migration. drugs and trade appeared to 
defuse tensions between the two gov- 

For Americans. Mr. Clinton vowed to 
“take effective action to stop illegal 
immigrants.’ ’ 

He added: “We are a nation of im- 
migrants — and of laws. Just as those 
who obey our laws are welcome, those 
who break the laws must face the con- 

For Mexico, he promised a policy that 
is “fair, generous, safe and orderly.” 

But the main focus of his remarks was 

Arguing for freer trade throughout the 
Americas, Mr. Clinton said U.5.-Mexico 
trade has increased 60 percent since 
NAFTAtore down trade barriers in 1994. 
He was supported by Mr. Zedillo, who 
said in a speech before Mr. Clinton's, 
“free trade opens fertile pathways.” 

■ Opposition Gets 15 Minutes 

Sam Dillon of The New York Times 
reported earlier from Mexico City: 

Mr. Clinton on Tuesday became the 
first president of the United Stales to 
meet with the leaders of Mexico's main 
opposition parties, amove that seemed to 
recognize their legitimacy as an altern- 
ative to the Institutional Revolutionary 
Party that has run Mexico for decades. 

GrC) Brtl/Thc Ai Tn c mt dPicn 

An anti-American protester being swarmed by police officers outside the UJS. Embassy in Mexico City. 
Thousands of police have been deployed in the capital to prevent demonstrations during Mr. Clinton's visit 

Mr. Gimon’s gesture aroused mixed 
reactions. Some academics and histor- 
ians characterized his two 15-minute en- 
counters Tuesday evening with the op- 
position leaders as a political landmark. 
Others called it window dressing on what 
they said amounted to a campaign swing 
in favor of President Zedillo's party two 
months before nationwide elections July 
6. in which the party could confront its 
most serious electoral challenge. 

“It's regrettable dial as Mexico faces 

the most crucial elections in our modem 
history. President Clinton only has half 
an hour to spend with the opposition,” 
said Enrique Krauze, a historian here. 

‘ ‘The United States has spent 70 years 
being friendly with the PRL It was the 
moment co invest more time with the 

Mr. Clinton met the heads of Mex- 
ico’s three main parties: Andres Manuel 
Lopez 0 brad or of the leftist Party of the 
Democratic Revolution, Felipe Calder- 

on of the National Action Party, known 
as the PAN, and Humberto Roque Vil- 
lanueva of the governing PRL 

Immediately after Mr. Clinton met 
with Mr. Calderon, and was shaking 
hands with Mr. Lopez Obrador, a re- 
porter asked him why he was meeting 
with the opposition leaders. 

“We support the political reform pro- 
cess in Mexico,” he said. “1 do this in 
other countries 1 visit — Russia, Israel. I 
thought it was important.” 


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Bern ‘Welcomes’ U.S. Report on Nazi Gold 


BERN — Switzerland welcomed a 
U.S. report on Wednesday criticizing 
Swiss gold transactions with Nazi Ger- 
many as a contribution to clearing up 
the country's World War II history. 

But Foreign Minister Flavio Com 
said in a statement that the report ap- 
peared to lack historical context about 
the difficult circumstances Switzer- 
land faced as a small neutral country 
surrounded by Axis powers during the 

“The Federal Council welcomes the 
efforts of those responsible for the re- 

port to present facts objectively," Mr. 
Cotti said. “But on first reading, it 
finds lacking an appropriate appreci- 
ation of the extremely difficult situ- 
ation in which our country found itself 
at that time militarily and in terms of 

He said the report confirmed figures 
about gold transactions that the Swiss 
central bank and historians had already 
aired, but noted it also suggested Ger- 
many sold Switzerland gold robbed 
from individual Holocaust victims, not 
just official stocks. 

“If this is really true, this a deeply 

shocking turn of events,” Mr. Cotti 
said. “It is nearly incomprehensible 
for us to see the cynicism and cold- 
bloodedness with which Nazi thugs re- 
smelted their victims' gold and re-sold 
it as regular central bank gold.” He 
said Swiss central bankers had been 
unaware of this. 

Mr. Cotti said the report gave 
Switzerland credit for taking steps to 
probe its wartime history and called on 
countries to work together to inves- 
tigate the past 

“We want the truth and justice,” be 

ZAIRE: Is Mobutu’s Departure Final? 

Bonn Plans to Stop Pensions for War Criminals 

The Associated Press 

BONN — Responding to bitter com- 
plaints by a prominent U.S. Jewish 
group, Germany said. Wednesday it 
planned to prevent pension paymen ts to 
Nazi war criminals but insisted that it 
was not neglecting Holocaust survivors. 

Germany has acknowledged that cur- 
rent laws are insufficient to keep war 
criminals from receiving federal disab- 
ility payments. Friedrich Bohl, the chief 

aide to Chancellor Helmut Kohl, said 
that the German government and Par- 
liament were examining ways to “ex- 
chute war criminals from drawing war 
victim pensions. ’ ’ 

- Mr. Bohl made thearmouncemenl in a 
four-page statement responding to tire 
American Jewish Committee, which 
said that while members of the Waffen 
SS had been getting pensions, many 
Holocaust survivors in the framer Soviet 

bloc had received no compensation. 

Holocaust survivors in Israel, the 
United States and elsewhere in the West 
have been paid a total of nearly 100 billion 
Deutsche marks ($59 billion) by Bonn. 

. Bur the Iran Curtain kept compen- 
sation from flowing into the Soviet bloc. 
With the end of the Cold War, Jewish 
organizations say it is time to compensate 
those Holocaust victims, whose number 
has been estimated at up to 20,000. 

Continued from Page 1 

African beads of state, all friends of 
Marshal Mobutu's, are expected to 
travel to Libreville. 

A French Foreign Ministry spokes- 
man, Jacques Rummelhardt, said the 
“French and Americans are pursuing 
the same objective” in Zaire, which he 
said was “a peaceful end to this 

He was speaking before the arrival in 
Paris on Wednesday night of Bill 
Richardson, the U.S. special envoy to 

In a week of shuttle diplomacy in 
Africa, Mr. Richardson delivered a letter 
to Marshal Mobutu from President Bill 
Clinton urging the Zairian leader to re- 
move himself from the political scene. 
The envoy is also believed to have pres- 
sured Mr. Kabila to slow his advance on 
Kinshasa to allow Marshal Mobutu a 
peaceful exit. 

Others, however, said that France, 
which has had strongly antagonistic re- 
lations with Mr. Kabila since the start of 
his rebellion, would encourage Marshal 
Mobutu to return to Zaire to resume 
negotiations with Mr. Kabila. 

italic* £ President Thabo Ifbeki of 
South Africa said Wednesday that talks 

between the two men would resume 
Wednesday aboard a South African war- 

“The French would like Mobutu to 
return and raise the stakes in the ne- 
gotiations with Kabila,” said Guillaume 
Ngefa Atondoko, a Zairian human rights 

“The only problem is that the lives of 
the people of Kinshasa are Mobutu's last 
card. We are his only shield against the 

In fact, diplomats, aviation experts 
and humanitarian relief workers say dial 
at the town of Kenge, 190 kilometers 
(120 miles) east of Kinshasa, govern- 
ment forces since Monday have waged 
perhaps their fiercest battle against the 
rebels in the nearly seven-month war. 

One regional militaiy analyst said that 
despite a setback for government forces 
in Kenge, their last major defensive po- 
sition before the capital, Mr. Kabila's 
fighters were still at least a week away 
from taking Kinshasa by force, if they 
intend to enter the city in large num- 

Asked how the remnants of Marshal 
Mobutu's army felt about its chances of 
maintaining control over Kinshasa for 
long, a Western diplomat said: “From 
what I can detect, morale is below zero. 
Need I say more?” 

France Seeks 
To Prosecute 
6 Libya Agents 
In Plane Bomb 

By Craig R. Whitney 

New York Times Service 

PARIS — French anti-terrorism in- 
vestigators said Wednesday that they 
had asked a court to try the brother-in- 
law of the Libyan leader. Colonel 
Moammar Gadhafi, and five other Liby- 
an operatives in absentia next year on 
charges of blowing up a French airliner 
and killing 171 people over the African 
desert in 19S9. 

The principal investigating magistrate 
in the case. Jean-Louis Bruguiere, had 
previously accused Abdallah Seooussi, 
Colonel Gadhafi 's brother-in-law who 
was then the number two Libyan secret 
service official, and three other alleged 
Libyan agents of blowing up a DC-10 
plane of the since-defunct amine UTA. 

Investigators said they believed Mr. 
Senoussi ordered the strike to retaliate 
against Ranee for using its troops to 
keep Libya out of Chad. 

Judge Bruguiere's final report asked 
prosecutors to try Mr. Senoussi, two of 
the three other men who were charged 
earlier, and two additional Libyan in- 
telligence officials on the evidence he has 
gathered against them, officials said. 

That evidence includes confidential 
documents that instructed Libyan agents 
to plan a strike against France, inves- 
tigators said. It also includes testimony 
from a Congolese witness who told in- 
vestigators that Libyan operatives had 

g rid a friend to take Flight UT-772 from 
razzavilfe, Conga, to Paris with a Sam- 
sonite suitcase containing a bomb. 

The friend was supposed to disem- 
bark at an intermediate stop, but was not 
allowed to and died with the rest of die 
passengers when the plane exploded - 
high over Niger. Among debris scattered 
in the desert, french investigators said, 
was a fragment of a Samsonite suitcase 
bearing traces of Pentrite explosive. 

French officials said Judge Bruguiere 
believed that Colonel Gadhafi may have 
decided to sacrifice those responsible for 
the bombing because he had since coo- 
chxted that terrorism was counterproduct- 
ive, and because foe defendants would not 
be extradited to France, but tried here in 
absentia, probably next year. 

Besides Mr. Senoussi, the accused are 
Abdesslam Hamouda, one of his close 
aides; Ibrahim Naeli and Musbah Aibas, 
alleged Libyan operatives in the Congo; 
Abdallah Elazragh, a former counselor 
in the Libyan Embassy in Brazzaville; 
and Abdesslam Issa Shibani, a colonel in 
-the Libyan intelligence service. 

France. has settled, for _a_ trial in. ab- 
sentia, judicial officials said, because it 
would establish the truth even if it did 
not lead to jail sentences. If convicted, 
the defendants would be forced by in- 
ternational arrest warrants to spend the 
rest of their lives in Libya. 

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SWISS: U.S. Report Condemns Gold Deals WELFARE: Big Decline in Milwaukee PENTAGON: Wide Cutbacks Planned 

-.j r* : : 

Continued from Page 1 

etary gold” that Switzerland accepted 
from the Nazis had been intermingled 
'■ with jewelry and gold teeth fillings 
■' stolen from Holocaust victims, some of 
it apparently removed from their re- 
mains at the concentration camps. Most 
of those gold bars, which represented 
Jess than a fifth of American estimates of 
..a the plunder that Switzerland held at die 
war’s end, were long ago returned to a 
dozen or so governments. But S70 mil- 
lion remains in the Federal Reserve 
Bank in Manhattan and at the Bank of 
England, and Washington is pressing to 
use that gold as a compensation fund fox 
Holocaust survivors and the heirs of 

• American negotiators attempting to 
„ get Switzerland to return at least some of 
"the assets looted by the Naas so dis- 
trusted Swiss officials in 1946 that they 
intercepted and decoded cable traffic be- 
tween the Swiss Embassy in Washington 
and Swiss officials in Bern. . 

•The Swiss communicated among 
themselves using a German “Enigma” 
encoding device and did not know that 
the United Stales had broken similar 
codes during the war. 

Despite the intercepts, die report is 
harshly critical of the Truman admin- 
istration’s failure to. negotiate a better 
deal with Switzerland ami faffing to en- 
force the accord, known as the Wash- 
ington Agreement. It notes that the S tate 
Department, acting over the objections 
of the Treasury, made a major mistake in 
unfreezing Swiss assets in the United 

States, meaning that “most leverage was 

lost before Switzerland had met its ob- 
$ Uptons" .. .. 

_ ^ 

v „ vy 

. r T; - J?-?; 
' iftv - ~ m ’ 

imperatives.” Stuart Eizenstat. the un- 
dersecretary of commerce who headed 

the probe into, government records, 
wrote in an introduction to the report. 
* ‘Ptittinga democratic West Germany an 
its feet and strengthening its economy 
took priority over- denying it access to 
German assets in neutral countries.” 

Switzerland and its bankers knew dur- 
ing World War II that the Reichsbank. 
the German central bank, was virtually 
broke and that the “vast sums of looted 
1” flowing through Swiss banks bad 
stolen. But the report finds “most 
inexplicable” Switzerland’s extraordi- 
nary efforts to protect Nazi assets after 
Germany’s defeat, and it cites intelli- 
gence reports suggesting that foe Nazis 
had planted officials in the Swiss banks. 
In recent months, major Swiss banks 
have established a $180 million fond for 
victims of the Nazis and their heirs, but 
that is a tiny fraction of assets Switzer- 
land is believed to have retained, now 
worth billions. 

The study concludes that particular 
attention should be paid today to the 
plight of Holocaust victims who re- 
mained in Eastern Europe and were not 
compensated because they lived for de- 
cades under Communist governments. 
“The ‘double victims,' those trapped 
behind die bon Curtain after the war, 
have essentially received nothing,” Mr. 
Eizenstat concluded. 

Criticizing the weakness of the U.S. 
efforts at the time, the study said, “There 
was a demonstrable lack of senior-level 
support for a tough U.S. negotiating 
position with the neutrals,” including 

It said the United Stases would ex- 
plore the idea of an international con- 
ference on the flow of Nazi assets after 
the war and said it would be important to 

have German Reichsbank records avail- 
able to trace them. Britain’s new Labour 
government offered Tuesday to host 
such a conference, and Switzerland wel- 
comed foe idea. 

Continued from Page 1 

already low. Still the mere absence of 
obvious calamity is being seen in some 
quarters as a reason for optimism — a 
first, tentative suggestion that as welfare 
restrictions sweep the cities, many poor 
families will find ways to adapt 

“It’s too early to declare victory, but 
the initial outcome is encouraging,” said 
Mayor John Norquist, a Democrat who 
occupies a middle ground between Mr. 
Thompson, the Republican governor 
who designed the new system, and local 
critics who have called it “genocide.” 

“Most people have underestimated 
the abilities of welfare recipients to work 
and care for their families,” Mr. Nor- 

quist said. 

Milwaukee is capturing unusual at- 
tention, both across the country and 
abroad, because it is the first city to 
enforce the kind of strict rules envisioned 
by the landmark federal welfare law foot 
Resident Bill Clinton signed in August 
Milwaukee's experiment began in 
March 1996, when the state imposed 
three new programs: One tries to divert 
new applicants from the rolls. A second 
requires welfare recipients to work 35 

hours a week for their benefits. The third 
aims to change the behavior of bureau- 
crats, not poor people, by privatizing 
many job-placement services and re- 
warding the most successful agencies. 

The welfare rolls, which were already 
declining, suddenly went into a free fall. 
Statewide, Wisconsin’s rolls have 
dropped nearly 60 percent from their 
peak a decade ago, and nearly half of the 
state’s coimtiesnave cut their rolls by an 
astonishing 80 percent or more. 

But the caseload reductions are roost 
surprising in Milwaukee, the 17th- 
largest U.S. city, with a 1994 population 
of 617,044. The city nappies with the 
concentrated poverty mat bedevils other 
urban cores. A full 60 percent of the 

state’s welfare recipients reside within 
the city limits, and their experiences 
have run the gamut 

Marla Spencer overcame her fear of 
rejection and landed her first job in a 
decade, folding sheets in a commercial 
laundry for $5.25 an hour. “My whole 
family's happy.” she stud, “and I’m foe 
happiest of them alL” 

Toni Rogers landed in the state work 
program, quarreled with her boss and 
lost her benefits and her apartment 
“She tried to talk to me like 1 was a dog 
or something — dehumanize me and 
stuff,' ’ she said one night in a homeless 
shelter over a plate of cold spaghetti. 

Angela Engel bounced between work 
and welfare, finding neither a happy 
solution. Her last job. at a press that 
prints adult magazines, left her watching 
color close-ups ripple down a conveyer 
belt all day. 

“It was nasty,” she said. 

But after returning to welfare, Ms. En- 
gel found herself bade on an assembly 
line, working for her benefits and being 
pushed to leave foe rolls. “That's what 
they’re pressuring you to do — take any- 
thing, just to stay out of the system." 

Ms. Engel's analysis is apt. Wiscon- 
sin's drive to reduce its rolls is in part a 
preparation for an even bolder exper- 
iment. In September, it will abolish cash 
assistance altogether and replace it with 
a more costly system of subsidized jobs 
for the needy. To keep that program 
affordable, the state needs to keep the 
number of participants low. 

So far, the Milwaukee experiment has 
proceeded under conditions that are 
nearly ideaL Tbe city’s economy is 
strong, with an unemployment rate of 
just 5.7 percent. And the state invested 
an additional $10 million last year in day 
care and case mangers for those in the 
work program, which was more than 
offset by nearly $30 million in caseload 

Continued from Page 1 

submarines, officials said. Mr. Cohen 
also has decided to scale back planned 
purchases of tbe air force’s new F-22 
fighter, from 438 to 339, and the navy’s 
F/A-I8E/F plane, from 1 ,000 to no more 
than 785. 

Plans also call for reductions of about 
70,000 military reservists, mostly in the 
National Guam, and 80,000 in the De- 
fense Department's civilian work force. 

Any attempt to trim the National 
Guard is likely to face fierce opposition 
from its powerful lobby in Washington 
and from more than two dozen state 
governors who rely on die reservists in 
all sorts of domestic emergencies. 

Mr. Cohen’s intention to seek two 
more rounds of base closings, in 1999 
and 2001 , is also certain to draw political 
fire on Capitol Hill. 

With many congressional districts 
still recovering from the affects of four 
rounds since 1988 that shut 97 of the 495 
major bases in the United States and 
realigned hundreds of others, some lead- 
ing lawmakers already have signaled 

that they are in no mood to go through 
the process again soon. 

Asked about congressional opposi- 
tion, a Pentagon spokesman. Kenneth 
Bacon, said Tuesday that Mr. Cohen 
regarded foe earlier rounds as having 
worked well and would favor re-estab- 
lishing the unique process under which 
the closures were decided. 

That process involved establishing an 
independent bipartisan panel. Its recom- 
mendations could only be approved or 
rejected in total, preventing any tinker- 
ing by tbe administration or Congress. 

Congress will have to go through the 
same set of choices that foe militaiy has 
faced and decide whether to pay for 
unneeded bases or weapons” to malca 
our troops more effective in battle,’’ Mr. * 
Bacon added. 

Tbe Pentagon indicated in 1995 at the 
end of tbe last round of closures that 
more would be necessary. 

Tbe 1995 round failed to go as for as 
initially planned after defense officials 
concluded that shutting a larger number 
of facilities was just too difficult and 

TRIAL: Hague Tribunal Convicts Serb 

HONG KONG: Wondering Whether China Will Sustain or Overrule Its Legal System 


** T& 

lr* ' -? : J 3 


Continued from Page 1 

certainly some very strong threads of 
common law, some of which are pre- 
served in foe Basic Law, the num- 
constitution that Beijing drafted for 
Hong Kong, said Gladys D, one of foe 
tern Tory's most prominent barristers. 
“Forme,” she said, “the fondament- 
~al underpinning of 
strong bias toward individual liberty ana 

freedom." . , 

4 China’s decision earlier tins yearro 

f revoke or revise a range of 

laws, as wett as provisions of foe.Bfooi 

^ Kr.iK?i5SS!» 

guardians of Hang Kong’s common-aw. 

_ in foe 

Bill ofRigbts — a law passed in 1991 
urging, but not requiring, foal all of 
Hong Kong’s laws conform to foe In- 
ternational Convention on Civil and 
Political Rights. 

Beijing has also demanded foe re- 
surrection of colonial laws restricting 
die right to protest and the right to form 
political organizations- 

“Can you have freedom of assembly 
and association, and still give power to 
foe co mmiss ioner of police to restrict 
tfrxy rights?” asked Nihal Jayawick- 
rama, a law professor at Hong Kong 
University who specializes in human 
rights law. “It’s not very dear. What is 
clear is foe intention of the Chinese 

authorities. They do not want foe Bill of 
Rights to operate.” 

Under foe colonial administration, 
laws did restrict public assembly and 
determine the legality of certain 

But with foe transition to democratic 
politics in die 1980s and early 199&, 
and in the shadow of the Tiananmen 
massacr e of 1989, the legislature here 
revoked these laws and introduced 
sweeping guarantees of civil liberties. 

Tsang Yok-sing, who heads the pro- 
Beijing Democratic Alliance for the Bet- 
terment of Hong Kong and whom China 
appointed to the Provisional Legislature, 
argues that the laws on civil rights must 

* 'Laws relating to civil liberties always 

the government and tbe rights of the 
individual,” he wrote in a recent news- 
paper article. “The balance most accept- 
able to society may shift from time to 
time, hence the need for revising laws.” 

If there is one impression that Hong 
Kong residents have of China it is of 
corruption. Some 55 percent believe cor- 
ruption will become more common under 
Chinese rale, according to a recent poll. 

“Basic freedoms and economic suc- 
cess go hand in hand,” said Christopher 
Chao, tbe president of tbe Law Society, 
which represents the territory’s solicit- 
ors. “The infiltration of Chinese cor- 
ruption would destroy that” 

Continued from Page 1 

long trial is an exception to foe frus- 
tration foe tribunal has endured in gen- 
eral since it began in 1994. 

Only 75 indictments have been issued 
in foe course of an investigation of foe 
executions of tens of thousands of 
mostly Muslim civilians, and inhumane 
treatment of many more, during foe war 
that ended with the Dayton peace ac- 
cords in 1995. Of the accused, all but a 
handful are Serbs; only seven are in 

Tbe most prominent two who are not 
— the former president of the Bosnian 
Serbs' republic, Radovan Karadzic, and 
its militaiy leader. Ratio Mladic — are 
widely regarded as the principal archi- 
tects of the ethnic extermination. 

Despite foe obligation of local gov- 
ernments and international forces to ar- 
rest them under the terms of foe Dayton 
accords, Mr. Karadzic and Mr. Mladic 
are still free men, and Mr. Karadzic is 
reported still to exercise considerable 

political power. 

“This is tbe major problem facing foe 
tribunal and on which its success all 
depends," said Judge Goldstone. “To a 
very vitally important extent,, foe 
tribunal has been precluded, in my view 
through a lack of political will, from 
carrying out its primary mandate, which 
is to put these people on trial” 

The appointment of Madeleine Al- 

bright. a champion of a permanent war 
crimes tribunal, as U.S. secretary of state 
raised the hopes of many human-r ights 
observers that foe United States would 
put fresh muscle and money behind die 
work of foe tribunal. 

But the uneasy peace rei gnin g in foe 
former Yugoslavia, and foe scheduled 
withdrawal of U.S. forces from tbe in- 
ternational protection force mail 

it, continue to make arrests of i 

war criminals an elusive prospect 

A Croat, Drazen Erdemovic, a former 
soldier for foe Bosnian Serbs who con- 
fessed to trillings, was sentenced to 10 
years by foe tribunal last November. 


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THURSDAY, MAY 8, 1997 





§ >tib uttC. j n Pyongyang, the Regime Is Alive and Kicking 

j C7«/ C7 Cy _ . , other rwnblems could be solve 

Helping Zaire 

As Laurent Kabila and bis guerrilla 
army dose in on Zaire's capital and 
victory, the outside world has an im- 
portant role to play. 

Western and African governments 
helped to persuade Zaire's dictator of 
more than 30 years, Mobutu Sese 
Seko, to announce he would leave for 
Gabon Wednesday, thus reducing the 
possibility of bloodshed during die last 
days of die guerrilla campaign. But his 
departure probably means that Mr. 
Kabila will take power alone and un- 
checked. African and world leaders 
must press him to govern democrat- 

Mr. Kabila has no governing ex- 

perience or record, having spent the 
last few decades as a small-town war- 

last few decades as a small-town war- 
lord, gold smuggler and guerrilla fight- 
er. While he has said he backs multi- 
party democracy, he permits no 
political opposition and has wavered 
on whether he will include Zaire’s ci- 
vilian politicians in his government 
Relief workers accuse Mr. Kabila's 
troops, who are largely Tutsi, of the 
massacre of Rwandan Hutu refugees. 

Mr. Kabila is mainly listening to the 
leaders of neighboring countries, 
which Marshal Mobutu sought to 
destabilize by aiding guerrilla groups. 
The leaders of Rwanda, Uganda and 
Angola are using Mr. Kabila to 

Rwandan Tutsi forces in Mr. Kab- 
ila’s army may be responsible for the 
killing of the Hutu refugees. 

Bill Richardson, America's UN del- 
egate and envoy to die conflict, has 
asked these African leaders to counsel 

Mr. Kabila to govern democratically, ft 
is unlikely they will do so, since they 
rule unctemocradcally themselves. Even 
Yoweri Museveni in Uganda, who wins 
Western support for his free-market re- 
forms, maintains a one-party state. 

Zaire has a relatively healthy civil 
society. There is political opposition to 
Marshal Mobutu, and h uman rights 
and other civic groups exist Mr. Kab- 
ila considers these citizens enemy col- 
laborators. Instead of shunning them 
he should include them in his gov- 
ernment and call elections soon. 

Few people are in a position to 
counter the role of Zaire's neighbors. 
Nelson Mandela and other top Smith 
African offi cials encouraged talks be- 
tween Marshal Mobutu and Mr. Kab- 
ila. But Mr. Mandela's influence is no 
match for that of other African leaders 
who have armed Mr. Kabila. 

The West supported Marshal 
Mobutu for decades as a Cold War ally. 
France has done its best in recent 
months to keep him in power. Pres- 
ident Bill Clinton played a more pos- 
itive role, encouraging elections, but 
was slow to disengage with Marshal 
Mobutu and has failed to take steps to 
freeze money in foreign b anks that the 
dictator looted from Zaire. 

Mr. Kabila will need Western fi- 
nancial support to stabilize Zaire. 

Ambassador Richardson has set tol- 
erance and democracy as conditions 
for assistance. After its long support 
for Marshal Mobutu and his despotic 
ways, that is the least Washington can 
do for Zaire. 


Dollars and Cents 

You might think, given the new 
heights the U.S. stock market scales 
each day, that wisdom would argue for 
leaving well enough alone — that 
is, for leaving the market to its ir- 
rational exuberance and the less said 
the better. 

In fact, though, a modest but im- 
portant reform could save investors 
money — no matter which way the 
market goes — while making trans- 
actions easier for everyone to under- 
stand. A bill introduced by Republican 
Representative Mike Oxley, chairman 
of a House Commerce subcommittee, 
and by the ranking Democrat on the 
subcommittee. Representative Ed 
Markey, would instruct the stock mar- 
ket to begin pricing shares in — get 
ready for this — dollars and cents. 

Not exactly a radical idea, you say? 
You wouldn't think so. But at the mo- 
ment, stocks in the United States are 
priced in dollars and eighths of dollars; 
a given stock quotation might be 3714, 
up five-eighths. This quaint system is 
said to date from the 18th century, 
when traders would cur Spanish dollars 
into eight pieces, or bits, and use them 
to buy stocks and bonds. 

The trouble with this system, be- 
sides its unwieldiness, is that it costs 
investors a lot of money. The busi- 
nesses that trade in stocks charge a 
small amount for every transaction, 
and right now the smallest possible 
such “spread" is one-eighth of a dol- 

lar, or 12.5 cents, per share. If stocks 
were priced more like tomatoes or 
washing machines or just about any- 
thing else in the economy, competitive 
forces might push the markup down to 
a dime or a nickel or even less. Ac- 
cording to Steven M. H. Waflman, a 
member of the Securities and Ex- 
change Commission who's been push- 
ing for decimalization, investors could 
end up saving $5 billion to $10 billion 
per year. And investors in stocks these 

days aren't just a few fat cats; they 
are pension funds and m utual funds 

are pension funds and mutual funds 
holding tire money of milli ons of 

For just die same reason , Wall Street 
firms have resisted the change; those 
billions would come out of their pock- 
ets. In the end, though, increased clar- 
ity and transparency would be good for 
them, too; it might even increase total 
trading. And change is coming in any 
event Reforms promoted by Arthur 
Levitt Jr., the SEC chairman, already 
have brought new competitive pres- 
sures to bear that are now prompting 
some traders to offer deals in six- 
teenths, thirty-seconds and even sixty- 
fourths of a dollar. Mr. Levitt believes 
that market forces now will — and 
should — force Wall Street to convert 
to dollars and cents. 

We hope he's right In the mean- 
time, a nudge from Congress couldn’t 


Don’t Make a Deal 

We keep wondering: What is the 
point the wisdom — even the morality 
— of negotiating just now with the 
tobacco industry? The industry is hav- 
ing to play some serious defense. The 
law has finally turned, or is in the 
process of taming, against it There 
will be some hiccups and exceptions to 
die process, as occurred the other day 
in a lawsuit against one of the compa- 
nies in Florida. But those don't change 
the trend. 

The trend is why the industry is at 
the bargaining table. For years it 
denied what it knew to be true about 
the product it was so assiduously 
marketing. The denial is in shreds. 
Strip away the niceties, and what 
the cigarette people are saying is: 
Yes, it's true, we wittingly sold for 
generations at enormous profit a 
product that does vast harm, and hav- 
ing been pretty much caught, we’re 
now willing to deal. The outline of the 
deal is that they will submit to reg- 
ulation and put up a sum of money 
to pay claims but want their liability 

But the government already has the 
power to impose the regulations — 
treat tobacco as the addictive and 
harmful substance it plainly is. So a 
court has lately rulea; the Food and 

Drug Administration can do its thing. 
For tiie first time the government 
also seems to have the necessary will to 
do what it long ago should have done. 
For that, this administration deserves 
enormous credit What’s to negotiate? 
If the stuff is bad and within the jur- 
isdiction of the agency, the agency 
has the duty to attempt to limit its 
potency and use. 

The same is true of liability. If in 
fact the companies are liable, as 
seems likely, who has the right to ne- 
gotiate away the ability of future 
plaintiffs to take them to court, and to 
be compensated? The state attorneys 
general who are currently negotiating 
with the companies are entitled to 
do so. They filed lawsuits to recover 
health care and other costs their states 
incurred associated with smoking. 
But what writ have they then to work 
out, bless and join in submitting to 
Congress an agreement that would 
limi t the right of others to do the 
same thing? 

Maybe at some point it will be in the 
public interest to cut a deal with the 
companies. But not now. They seek 
protection they do not deserve from a 
blow that they have yet to feel. Why 
' give it to them? 






KATHARINE P. D ARROW, Vice Chairman 

RICHARD McCLEAN, Publisher & Chief Executive 
MICHAEL GETTER, Executive Editor 

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PYONGYANG, Nor* Korea - By Mike Chinoy The harsh language ** **** 

X Goose-stepping smartly, the troops US officials believe the North 

marched in endless rows with clock- doubt within the North Korean le^ „ may be divided on 

work precision, the bayonets of their Kjjrea ami Japaa He warned that Pyong- ership, the issue •‘Isense some division, even 

rifles glinting in the spring sun. The yang had not abandoned its ambition to value and benefits ofdiptomatic deal- - Pyongyang on the foor- 

rnar rrffi™Snrk s mineEf with the imrifv the Korean Peninsula bv force, ings with the Unit ed States. North corim m ^on«rang ot me iwr 

roar of fireworks mingled with the 
strains of martial music from the army 
band. Hundreds of thousands of people 
who had been mobilized earlier in die 
day waved identical bouquets of plastic 
flowers, turning the square into an 
undulating sea of red. 

The roar of the crowd grew to a 
crescendo. As a bespectacled, middle- 
aged man walked briskly to a review- 
ing stand overlooking the square, men 
and women wept with evident excite- 
ment Kim Jong D acknowledged the 
carefully orchestrated acclaim from the 
enormous throng. 

It was a rare public appearance for 
the reclusive North Korean leader, and 
tiie first time he had ever been seen, and 
photographed, by Western journalists. 
Despite numerous questions about his 
personality and bold on power, Mr. 
Kim seemed healthy, relaxed, confi- 
dent and very much in charge. 

The occasion, on April 25, was to 
honor the founding of the North Korean 
People’s Army by Mr. Kim's father, the 
late President Kim D Sung. By staging 
one of the biggest military parades in 
recent years, the younger Kim appeared 
to be sending a signal to the United. 
States, South Korea and the rest of the 
world: North Korea may be hungry and 
poor, bur it remains proud and tough, 
and those who expect its system to 
collapse are wrong. 

The elaborately choreographed event, 
and the decision to allow CNN to record 
it, camei at a tune of heightened tensi ons 
on the Korean Peninsula. A few days 
.before, Hwang Jang Yop, a long-time 
member of the North Korean inner 
circle, had completed his journey of 
defection by arriving in Seoul. There he 
announced that North Korea had an ar- 
senal of nuclear and chemical weapons 
capable of ‘‘scorching’’ both South 

reunify the Korean Peninsula by force. 

Mr. Hwang’s arrival coincided with 
a deadlock in efforts to convince North 

posed bytoe ifXtLj States and South 

ings wtin me unites iwiui 

Korean officials told us that there was a party talks, 

growing sense that what Pyongyang may be more conservative and wry 
viewedas major concessions — from 

agreeing to sign a 1994 accord with see the biggest cfaaijge in then- status m 
m i. 6 . — .mi rwmimwif ncace agreement- 

» art its nuclear pro- -y 

armistice with a formal peace treaty, gram, to apologizing for September s U-S. 

armistice with a formal peace treaty. 
And there were new indications that the 
food shortages that have wracked North 
Korea in recent years were producing 
near-famine conditions. 

Yet North Korean officials empha- 
sized that the country’s difficulties 
had not threatened its political lead- 
ership or its determination to drive the 
toughest possible bargain in its inter- 
national diplomacy. 

Much or the propaganda surround- 
ing the Army Day celebrations earned 
a distinctly angry tone toward the 
United States. The night before the 
parade. North Korean television 
showed pictures of Mr. Kim visiting a 
museum near the Demilitarized Zone 
where he gazed admiringly at a display 
containing the ax used by North 
Korean troops to kill two U.S. ser- 
vicemen in a notorious incident at the 
DMZ in 1976. The television also 
broadcast shots of Mr. Kim visiting the 
U.S. Navy ship Pueblo, which the 
North Koreans seized in 1968, bolding 
the crew for 1 1 months. And it showed 
pictures of the capture of tire American 
helicopter pilot Bobby Hall, whose air- 
craft was shot down after it strayed into 
the North in 1995. 

In his Army Day speech. Chief of 
Staff Kim Yong Chun spoke in defiant 
terms in addressing North Korea’s 
longtime adversaries: “If die enemy 

r es a war on this land, our People’s 
y will first annihilate, the U.S. im- 

submarine incursion along the South 
Korean coast, to attending preliminary 

Army Day celebrations 
carried a distinctly 
angry tone toward the 
United States . 

nidi Korean 

lowers,” he sai 


and their fol- 

taiics on tiie U.S. and South Korean 
proposal for peace calks — had pro- 
duced few viable benefits. 

North Korean officials said that 
Pyongyang now insists that Washing- 
ton meet three conditions for North 

an end to the U.i^e^monu^mbargo 
of the North; American diplomatic re- 
cognition of the Pyongyang regime, 
and an offer of significantly more food 
aid than the United States has so far 
been willing to provide. One official 
said that there was no change in Pyong- 
yang's interest in better relations with 
Washington, but he added that it was 
“time for the United States to take 
more action to improve relations." 

The evident hardening of North 
Korea's diplomatic line is a blow to tiie 
United States, which has sought to coax 
Pyongyang into joining the proposed 
four-party peace talks with South 
Korea and China. “It seems odd that 
they would want to play up the mil- 
itary,” a State Department official 
said. “Our proposal to enter into talks 
contained toe implication that many 

ences exist in Pyongyang over how 
best to obtain urgently needed food aid, 
as well as on tiie broader issue of 
whether condliation and cautious 
opening or a continuing tough line will 
best ensure the country’s survival. 

For a society that has prided itself for 
half a century on its self-reliance, . 
pleading for international aid has been 
particularly painful. But with interna- 
tional relief agencies warning that mil- 
lions of people could be at risk of 
malnutrition or death in the coming 
months. North Korea has renewed its 

Yet in Pyongyang, there were no 
easily visible signs of hunger or dis- 
cernible sense of political or social 
tension. The fact mat people in the 
nearby countryside were desperately 
short of food seemed distant and 

In political terms, that may well be 
the case. Just as millions of people 
in C hina starved to death during the 
Great Leap Forward in toe 1950s while 
Mao Zedong’s socialist system sur- 
vived intact, the overriding impression 
I gained was that the suffering and 
deprivation among many ordinary 
North Koreans does not for the moment 
present a mortal threat to the regime in 

The writer, who has visited North 
Korea nine times since 1989. is CNN's 
bureau chief in Hong Kong. He con- 
tributed this comment to the Interna- 
tional Herald Tribune. 

Blair’s Success Reverberates Loudly in France and Germany 

P ARIS — The victory of 
Tody Blair and his “New 

T Tray Blair and his “New 
Labour’ ' Party in Britain is hav- 
ing a large impact elsewhere, 
among conservatives in Europe 
as well as among politicians on 
the left who want to hitch their 
own parties to what they would 
like to think the bandwagon of 
“new socialism.” 

The French and Germans 
have particular reason to pay at- 
tention to what happened m Bri- 
tain. France has just entered a 
national election campaign, after 
President Jacques Chirac's un- 
expected dissolution of Parlia- 
ment April 21. Elections are set 
fra May 25. with a second round 
June 1 in districts where no one 
gets more thao 50 percent 

Germany mast hold a nation- 
al election within the next 16 
months. Chancellor Helmut 
Kohl says that he will again be a 
candidate — he has already been 
in office more than 14 years — 
so as to lead his country into a 
single European currency in 
1999. The opposition seemed to 
have some plausible hope of de- 
feating him even before New 
Labour's success stirred toe 
German Social Democrats from 
their recent torpor. 

By William Pfaff 

The Social Democratic Party 
has until now opposed the chan- 
cellor’s austerity program and 
attempt to open the depressed 
German economy to a greater 
play of market forces on rather 
sterile doctrinal grounds. It 
would admit no serious restric- 
tions on social programs and 
had broken off reform negoti- 
ations with Mr. KoU. 

But at the beginning of this 
week the SDP’s parliamentary 
leader, Rudolf Scharping. an- 
nounced that be was ready to 
resume discussions. 

His rival for leadership, Ger- 
hard Schroder, who has empha- 
sized dialogue and compromise, 
now benefits from toe example 
of British Labour’s victory. 

In France, tiie man who heads 
tite free-market wing of the con- 
servative coalition, former Fi- 
nance Minister Alain Madelin, 
already has claimed Tony Blair 
as “objectively” a Madelin 
ally. (Mr. Madelin became a 
framer minister last year be- 
cause he was more enthusiastic 
about market solutions than 
either Prime Minister Alain 
Juppd or President Chirac.) 

“If you were to bring even a 
quarterofTony Blair’s program 
to France you would be called a 
market ultra,” or extremist, 
Mr. Madelin writes; he then 
quotes “a Socialist leader” as 
admitting that “if Tony Blair 
were to advocate even a quarter 
of the French Socialists* pro- 
gram. he would be taken as a 
dangerous leftist” 

This is polemical good fun, 
but there is considerable truth in 
it so far as economic policy 
itself is concerned. It would not 
be true on social issues. 

It also disregards toe estab- 
lished pctiitical culture of the two 
countries. The french electorate 
has an old and enduring com- 
mitment to state economic in- 
tervention, and considers the 
state the custodian of toe na- 
tion's economic well-being. The 
highest social status in Ranee 
5101 belongs to the high civil 
servant — the “grand coramis 
de 1’Etat ' ’ implicitly considered 
custodian of toe national interest 
and well-being. There has been 
nothing like tins in Britain since 
Margaret Thatcher became 
prime minister in 1979. 

French attitudes may be chan- 
ging today, but they have not yet 
changed that much! The latest in 
the rain of public opinion polls 
accompanying toe electoral 
campaign says that while 47 
percent of toe public now favors 
market policies, 41 percent still 
wants a social democratic ap- 
proach to toe economy. 

The Chirac presidency has 
thus far offered only modest 
and erratic market reform, and 
its attempts to privatize groups 
still in the public sector have 
been maladroit and largely un- 
successful. Another poll says 
that the majority of prospective 
French voters condemn toe 
government's economic man- 
agement; three-quarters hold a 
negative opinion of its social 
policy, and two- thirds make a 
negative moral judgment on its 
conduct — a reference to fi- 
nancial and other scandals. 

The conservatives say they 
will do better next time. Mr. 
Chirac says that he called toe 
election precisely because his 
troops need a new mandate for 
reform and privatization, and a 
“new flan.” One eminent if 
unnameable critic of Mr. Chir- 
ac’s, among toe conservative 

Though More Influential, China’s Army Is Still Handicapped 

J ERUSALEM — The recent 
development of the Chinese 
army has not followed a single 
trade Its political influence and 
military capability have grown 
substantially, but other trends 
have limited this increase. The 
result is uncertainty about the 
army’s future actions. 

One uncertainty stems from 
the political scene, where the 
army's influence grew as Deng 
Xiaoping faded away and is 
now stronger than ever. The 
chief reason is toe stature of Mr. 
Deng’s successor. While Mr. 
Deng could rely on the support 
of tiie mili tary in any situation 
due to his personal authority, 
Jiang Zemin has no individual 
standing in the armed forces and 
thus does not enjoy their un- 
swerving allegiance. Because 
of this weakness, Mr. Jiang, as 
China’s president, is much 
more dependent on the military 

By Ellis Joffe 

array commanders. Of foremost 
concern to these commanders is 
the Taiwan issue, since it might 
involve their forces in military 
action and even cause a con- 
frontation with the United States. 
Underpinning their concern is 
the self-image of toe military as 
chief guardian of China’s sov- 
ereignty and national honor. This 
is highlighted by widespread 
sentiment in the aimed forces 
that Mr. Jiang has yet to prove his 
nationalistic firmness against 
U.S. -backed encroachments. 

This does not mean that toe 
military is in the forefront of 

eignty, the army is likely to sup- 
port military action. In such situ- 
ations. particularly over Taiwan, 
toe political and military lead- 
erships will come together in a 
nationalistic drive to protect 

China’s sovereignly even by 
force — despite the risk of U.S. 
intervention. From their vantage 
point, such action might seem 
preferable, despite the risks, to 
no action at all — the costs of 
which are unacceptable in terms 
of their vision of China's rightful 
role in the region and the world. 

This leads to toe second un- 
certainty: the army's capability 
to undertake military opera- 
tions. In the early 1990s, the 
Chinese armed forces em- 
barked on an accelerated pro- 
gram of modernization and 
have pursued it in a compre- 
hensive and sustained fashion. 
They closed the long-standing 
gap between doctrine and op- 
erations, and have focused on 
preparations for realistic con- 
tingencies. They have upgraded 
their rapid deployment forces, 
air force and navy by buying 
small quantities of new 
weapons from Russia, mainly 
modern aircraft, submarines 
and air defense systems. They 
have improved their logistics, 
force structures, training pro- 
cedures and joint service op- 
erations. And they are increas- 
ing and refining their missile 
delivery systems. 

Bat the Chinese armed forces 
continue to suffer from major 
deficiencies. Aside from select 
sectors, their weapons and 
equipment still lag up to 20 
years behind the most modern 
military hardware. They are 
only beginning to develop a ca- 
pacity for large-scale sustained 
operations far from home bases, 
and are incapable of launching 
an all-out invasion of Taiwan. 
They are weak in inielligence- 

for political backing than Mr. 
Deng had ever been. In feet, his 

Commanders are 
well aware of their 
complete inferiority 
vis-a-vis the U.S . 

Deng had ever been. In feet, his 
political survival depends on it. 
This 'would appear to give the 
armed forces toe dominant 
voice in policy-making at the 
highest level of government 

However, then* influence is 
limited: first by the formal 
power held by the top leaders; 
Mr. Jiang has filled senior po- 
sitions in the armed forces with 
his supporters. Second, the 
army’s influence is limited by 
toe tradition of military sub- 
ordination to the political lead- 
ership, which, together with the 
inherent discipline of the 
Chinese aimed forces and their 
professionalism, tends to ensure 
their support for toe established 
leadership unless there is a ma- 
jor challenge or national crisis. 

The influence of the aimed 
forces is naturally strongest on 
issues of national security due to 
Mr. Jiang’s questionable author- 
ity and lack of military qual- 
ifications, in contrast to the seni- 
ority and professionalism of 

hard-line leadership elements 
advocating confrontation over 
Taiwan. For one thing, Chinese 
commanders in the past sent 
troops into battle only when 
they calculated that success was 
assured and that there was min- 
imal risk of escalation — two 
critical elements that clearly do 
not exist in toe Taiwan situation. 
Fra another, they are acutely 
aware of the awesome destruct- 
ive power possessed by toe 
United States, and of their com- 
plete inferiority. Finally, there is 
no evidence from the crisis over 
Taiwan in 1995 and 1996 that 
army chiefs advocated military 
operations opposed by toe ci- 
vilian leadership or, more im- 
portantly, that seriously risked a 
face-off with the United States. 

But these restraints are qual- 
ified. If toe Taiwan government 
makes a major move toward in- 
dependence, or if China’s neigh- 
bors infringe on what toe 
Chinese define as their sover- 

gathering, reconnaissance, 
communications and advance 
warning systems. The educa- 
tional level of most troops is 
questionable, as is their ability 
to maintain and employ modem 
weapons. Moreover, it is not 
clear how far the army’s eco- 
nomic ventures have eroded its 
professional standards. 

China will gradually rectify 
these deficiencies and build 
forces commensurate with its 
long-term aim of gaining a 
preeminent status in East Asia 
and a pivotal global role. But it 
will take many years, and even 
then China wiU not automat- 
ically become a blanket threat 
to the region, since military de- 
ployments will depend on tiie 
leadership's political intentions 

and strategic calculations 1 . 

Meanwhile, the army's ca- 
pability is improving hut lim- 
ited. Its professional command; 
ers know this and will exercise 
great caution before launching 
major operations that might 
overextend their forces or elicit 
a U.S. response. 

But if the commanders see 
China as intolerably provoked, 
rational calculations will most 
likely give way to nationalistic 
impulses. In that event, military 
inferiority will not prevent ac- 
tion — despite toe clangers. 

The writer, professor of 
Chinese studies at the Hebrew 
University of Jerusalem, com 
tributed this comment to the 
International Herald Tribune. 

1897: Flying Machine The first-named university re 

NASHVILLE, Texas — After 
innumerable hoaxes and disap- 
pointments, a bonaftde airship 
was sent up to-day [May 7] at 
the Nashville Centennial Ex- 
hibition in the presence of thou- 
sands of spectators. Professor 
A.P. Barnard is the inventor. 
The ship seemed to be an egg- 
shaped ball, to which was at- 
tached a wicker car. From this 
basket protruded a shaft to the 
front, upon which rapidly re- 
volved a canvas wheel built 
after toe fashion of a propeller. 
This was operated by the sole 
occupant of toe craft, who 
straddled a saddle and worked 
with his hands and feet crank 
handles and pedal gearing very 
similar to a bicycle. 

1922: College Brawn 

PARIS — Princeton, Harvard 
and Yale have decided to put 
scholarship above athletics. 

1947s French Captives 

PARIS — At least 4,000 French 
prisorers of war are being teld in 
captivity by toe R ussians in a 
camp three miles north of Stettin, 
in the Russian Zone of Germany, 
according to a Reach officer 
who escaped from this camp and^ 
arrived in Paris several days ago. 1 
The officer said that this camp is 
only one of about ten scattered 
throughout toe Russian Zone. 
Poland and Russia proper. 

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establishment, remarks that he 
does not see “bow a new £Ian 
comes from losing a third of 
your parliamenlmy majority.” 

Mr. Chirac will be lucky if it 
is only a third that he loses, on 
early campaign trends. These 
unexpectedly show tiie left 
overtaking toe right in ex- 
pressed voting intentions. The 
number of those without a 
formed opinion (a third of those 
consulted) or avowedly pre- 
pared to change their minds (a 
‘fifth) remains very high". But 
the fat lady definitely has 

Moreover, the left benefits 
from toe feet feat 14 years of 
Francois Mitterrand’s presiden- 
cy stripped toe Socialists of doc- 
trine as well as principles. They 
have had little choice but to be 
modest and defensive in their 
precampaign policy proposals, 
and in tricky policy areas their 
intentions are still murky, no 
doubt to themselves as weU as td 
others. The Blair success will 
certainly influence how the S<k 
cialist campaign develops, ft 
will also influence how a very 
disabused electorate votes. 

International Herald Tribune. 

© Los Angeles Times Syndicate. 

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■The Baltic States Deserve 
NATO’s Protection 

See Under 6 Shush V: A Library Bans Internet Smut 

By William Safire 


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many political heroes can 
you aame offhand — people who 
put their principles ahead of their 

■ Wei Jingsheng is one. jailed for 
J4 years for daring to plaster &ee- 
pom slogans on a Beijing wall, 
and now in jail again; Israel's 
Natan Sharansky and the Czech 
Republic’s Vaclav Havel are two 
more who suffered in Communist 
jails, and now are leaders m their 
free countries. 

i Less well known is Lithuania's 
Vyiautas Landsbergis. a soft- 
spoken music teacher who stood 
up toMikhail Gorbachev’s bully 
boys in 1990 to assert his nation's 
independence. That helped pro- 
vide the lever to pry apart the 
Sower empire. 

; B eca use the United States nev- 
er recognized Stalin's deal with 
pGtler to take over the Baltic na- 
j.; lions, it was able to support their 
™ declarations of independence. 
{The Kremlin, facing the choice of 
sending in tanks or accepting the 
beginning of a breakup, backed 
t>fr, then Ukraine and others fol- 
lowed the Baltics to freedom. 

! Mr. Landsbergis. now making a 
comeback in Lith uania, visited 
Washington recently to remind the 
.United States not to put his nation 
in jeopardy again. As the debate 
begins here on the expansion of 
NATO to include former Soviet- 
dominated states, he calls on 
America not to forget the Baltics. 

■ Why bring the nations of East- 
ern Europe into the North Atlantic 
Treaty Organization? (1) The al- 
4iance saved Western Europe 
from Soviet domination fora half- 
jeentury, (2) Russia will rise again 
and — if history is any guide — 
will threaten again, which means 
(3) now is the moment to provide 
the most vulnerable nations 'fire 
collective defense that makes tar- 
gets less tempting. 

That's the realpolitik reason for 
Si -adding to the military alliance. A 
T more positive purpose is to foster 
democracy and create bonds 
among peoples whose historic 
hostility and senseless savagery 
embroiled die United States in 
two wars this century. 

. The argument against bringing 
Eastern Europe under the West's 
umbrella beds down some un- 
likely fellows: on the right, Fort- 
ress-Americans who recall the old 
isolationist slogan “Who wants to 

die for Danzig?’* and on the left, 
accommodationists who fear to 
upset Russia. One bunch forgets 
Hitler; the other forgets Stalin. 

But President Bui Clinton re- 
members. His stalwart pursuit of 
an expanded alliance to deter po- 
tential aggression in coming de- 
cades. as well as to extend de- 
mocracy, will go down in history 
as Mr. Clinton's Good Deed. 

The Clinton administration has 
persevered in bringing NATO to 
the point of admitting Poland. 
Hungary and the Czech Republic 
(and maybe Slovenia and Ro- 
mania). This achievement is 
worthy of ardent bipartisan back- 

Having choked out these words, 
let me add two caveats: First, Clin- 
ton diplomats have been too so- 
licitous of the Russian reaction. 
For years opponents of NATO ex- 
pansion told us how its prospect 
would breathe new political life 
into Moscow hard-liners; now that 
it looms, those hard-liners never 
had less backing at home. 

But if, in eagerness for 
something soothing to sign with 
Boris Yeltsin in Paris on May 27. 
Mr. Clinton needlessly restrains 
the alliance's deployment of 
weapons and troops, be would 
throw away years of solid diplo- 
macy. Next, what about the Balt- 
ics? If any nations deserve a piece 
of our collective security, it is 
Estonia, Latvia and Lithuania. 

“NATO expansion poses no 
threat,'' says Mr. Landsbergis. 
“It is the Russian desire for the 
Baltic Sea that has always posed 
the threat, from Ivan the Terrible 
to Peter fiie Great to Molotov. Do 
not think of Lithuania as a bridge ■ . 
between East and West. We are 
part of the West-’’ 

1 put his concern about second- 
class status to A1 Gore. “We’re 
not excluding any nation from 
consideration,'' the vice president 
said, treading carefully m diplo- 
matic waters. “We're not includ- 
ing any item in current ^negoti- 
ations that would co m p r omise 
consideration of other nations 
after the first group is invited in, 
nor including any item leading to 
'second-class’ membership.'* 

Heroes like Mir. Landsbergis 
know what they believe in, and 
then tafa? tbeir stand. If super- 
power leaders knew and did the 
samd, they could be heroic, too. 

The New York Tones. 

By Richard Cohen 

W ASHINGTON —In all my 
years, I have never heard 
of a youngster who died from 
pornography. I know of no case 
where a child viewed smut and 
fell over dead or even broke out 
with pimples. I myself have sur- 
vived such childhood encounters 
and although 1 grew up to be not 
as tall as 1 would tike. I cannot 
claim that I am shorter on ac- 
count of smut. 

On the contrary, it is adults 


who are discomforted by por- 
nography. Among other things, 
we want to keep it away from 
children — not always for their 
own sake, but sometimes be- 
cause we are not any more pre- 
pared to answer their questions 
than they are to ask them. There 
is, as the Bible teaches, a time 
and a place for everything. 

And that place is not the public 
library. There used to be a con- 
sensus on that but now, with the 
Internet, it is no more. In Flor- 
ida's Orange County Public Li- 
brary system, the chief librarian. 
Dorothy Field, has installed a 
Web filtering service so that pat- 
rons cannot view computer por- 
nography. The upshot, aside 
from no more smut, has been a 
shout of protest from civil liber- 
tarians and librarians. Some of 
them have yelled “censorship.*’ 
Mary Summerville of the 
American Library Association 
argues that the Internet should be 
unrestrictive ■ — “just as we 

c 3?p 

don’t restrict what people read 
on our shelves.’’ Judith Krug of 
the association’s Office of In- 
tellectual freedom told me that 
there are better ways than filters 
to control fiie situation. In the 
first place, she said, filters are 
clumsy — blocking “sextons,’* 
“sex education” and anything 
else with the letters s-e-x in an 
effort to keep the screen squeaky 

That's a problem. But these 
critics would have to concede 
that Ms. Field had a problem of 
her own. Her system has ISO 

computers and many, if not all of 
them, are in plain view. None- 
theless. some library patrons — 
seekers of knowledge, no doubt 
— were viewing pornography 
right out in the open so that any- 
one who might be passing by 
would get an eyeful. Ms. Held 
was bothered by this. 

What should she have done? 
To my mind, she did precisely as 
librarians have done since the 
first of them uttered the admon- 
ition “Shush!” She selected 
what she wanted on her elec- 
tronic shelf and what she did not 

|h Vllli:l[r b'lh fjln Bail lllxiiial IW. 

Maybe, as the library association 
says, libraries don’t restrict what 
people read on their shelves, but 
they most certainly restrict what 
they put on them. The virtue of 
the Internet is that it is virtually 
infinite. TTial does not mean, 
however, that everything on it 
ought to be viewed in a public 

Where is the library that dis- 
plays pornography? Where is the 
reading room where one can 
browse through Hustler or Foot 
Fetish Weekly? What library in- 
cludes in its video tape collection 

the best of Linda Lovelace 
and, if it had it', would mate it 
available to any patron, includ- 
ing children? The Internet bas all 
this stuff, and more. With no 
more than a click or two, there is 
nary a perversion that cannot be 
summoned to your screen. 

It seems to’ me that a perse® 
ought to be able to go to the 
public library without encoun- 
tering offensiveness on display. 
This is not the same as arguing 
that, for example, books about 
atheism ought to be banned from 
the shelves because the devout 
might be offended. In the first 
place, they don't have to open 
such books (although it would do 
them a world of good) and what 
is closed and on a shelf cannot be 
compared to what is da n ci n g 
across a computer screen. 

American society has always 
had filters of sorts. It has age 
limits for movies and has al- 
lowed pornography to be sold in 
certain places and not in others. It 
has placed warning labels on 
rock albums to give parents a hint 
of their content. Pornography 
does not kill and it probably 
doesn't even injure, but m Amer- 
ica it is not — not yet. anyway — 
displayed openly. 

It is always prudent to keep an 
eye out for the heavy band of 
censorship. But choosing is not 
the same as censoring. This, it 
seems to me, is all that Dorothy 
Field was doing when she in- 
stalled a filtering service on her 
computer system. As she has al- 
ways done, she was making a 
choice. I have one word for her 
critics: Shush! 

The Washington Post. 


A Bdoved Spy 

Regarding “At Hanoi’s Insist- 
ence, the Spy Skips a Reunion" 
(April 29): 

This article related how Pham 
Xuan An. a secret agent for the 
Viet Cong, was employed fra* al- 
most 20 years by The Associated 
Press, Reuters and finally Time 
magazine in Saigon. All the while 
Mr. An had access to priceless 
American and Sooth Vietnamese 
military information that he 
passed on to the Viet Cong. 

Good for him. He was a North 
Vietnamese patriot and did a dan- 

gerous Job welL But what about 
bis gullible employers, the “best 
and file brightest”' of America’s 
press corps, whose highly critical 
reports from Vietnam did much to 
turn public opinion in the United 
States against the war? How much 
disinformation did Mr. An feed 
them? How much of the distorted 
and often untrue reports about the 
war diss eminate d by The New 
York Times, The Washington 
Post, Tune and CBS were based 
on cleverly slanted innuendo 
planted by Mr. An? 



Regarding the Communist spy 
beloved by reporters, one must 
ask: For how many American 
dead, maimed and missing was 
Mr. An responsible? 

And regarding those American 
journalists wbo are so admiring of 
Mr. An: With or without intent, 
they gave information on Amer- 
ican troop movements and were 
responsible for American deaths. 

Mr. An may have indeed been a 
patriot, but then no one ever faul- 
ted fiie patriotism of Hitler and 



Would these renowned report- 
ers. full of praise for their Vi- 
etnamese colleague and upset that 
his government would not let him 
visit America, still want to be 
chummy with Mr. An if the 
double-agent duplicity they now 
laud had resulted in the death of 
their loved ones? 

The bitterness that lingers in 
America over the loss of the war 
seems justified when one realizes 
that U.S. reporters were providing 
information (albeit unknowingly) 
to the enemy. 


Teaching English 

Regarding “ SeouTs Language 
Cops: An Official Backlash 
Against English Tutors ” (April 

In contrast to the assertions of 
this article, as an English teacher 
in Seoul, I have never earned — or 
heard of anyone else earning — 
$100 an hour, on or off the books. 
Teachers here make more like $15 
an hour with housing, and are 
certainly not carrying around 
“suitcases of cash.” 



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PAGE 10 



Closing the Gender Gap at School 

By Elaine Woo 

Los Angeles Times Service 

L OS ANGELES Contradict- 
ing long-held assumptions 
about sex differences in aca- 
demic achievement, the Edu- 
cational Testing Service has released a 
study showing that there are almost no 
areas in which girls lag far behind boys. 

The study examined the semes of 15 
million students in the fourth, eighth and 
12th grades on hundreds of standardized 
exams used by schools, as well as results 
from college placement exams such as 
the Scholastic Assessment Test. It found 
that boys and girls are fairly evenly 
matched in many important skills, in- 
cluding verbal reasoning, abstract reas- 
oning, math computatio n and the social 

'‘There is not a dominant picture of 
one gender excelling over the other and, 
in fact, the average performance dif- 
ference across all subjects is essentially 
zero," the report said. 

But girls had a moderate edge in short - 
term memory and perceptual speed, and 
larger advantages m language skills , es- 
pecially writing. The superiority of girls 
in language ability has held up for 30 
years and shows no signs of abating, 
according to the testing service’s find- 

In contrast, the: superiority of boys in 
math and science was found to be sur- 
prisingly slight, "significantly smaller 
than 30 years ago," the study found. The 
only areas in which boys showed a clear 
advantage was in mechanical and elec- 
tronic ability and knowledge of subjects 
such as economics and history. 

The four-year study by the Educa- 
tional Testing Service gathered data from 
more than 400 tests and other measures 
and broke them down according to sub- 
sets of skills within a major subject This 
produced findings that, ETS researchers 
said, help to debunk sweeping stereo- 
types about the intellectual strengths and 
weaknesses of women vs. mat, such as 
that women are bad at math. In feet, the 
study shows that sex differences can cut 
both ways in a single subject 

In math, for instance, the study found 
that 12th -grade girls perform better in 
computation, while boys exhibited 
greater grasp of mathematical concepts. 
But in both areas, the study said, the 
difference was too slight to be con- 
sidered significant. Similarly, the study 
found that girls are not stronger than 
boys in all language skills. Girls were 
found to be stronger in writing and the 
use of language, while boys were better 
at vocabulary and "reasoning” from 

"To say that girls are better in some 

subjects or boys are better in some sub- 
jects doesn't show fee whole picture," 
said Nancy S. Cole, president of fee 
Educational Testing Service. 

The study found, however, that where 
significant gaps exist, they grow over 
time — wife girls falling most sharply 
behind in fee most difficult subject areas 
feat prepare students for college. By fee 
12fe grade, the study found, more boys 
than girls score at fee highest levels in 
math and science. 

The ETS has been the subject of legal 
attacks, most recently in a case mediated 
by the federal Office for Civil Rights in 
the U-S- Department of Education. 

T HAT agency announced last 
fell that the testing service and 
the College Board had agreed 
to add anew writing test to fee 
PSAT — fee Preliminary Scholastic As- 
sessment Test — to eliminate bias 
against girls. The PSAT is used to help 
determine who gets hefty tuition awards 
from the national Merit Scholarship 

But the testing service maintains that 
its new study indicates that the sex dif- 
ferences were not the result of bias infeed 
exams themselves. The differences, it 
argued, are genuine and would be re- 
flected in well-designed standardized 
test results. 

The Longer-Distance Runner 

By Susan Okie 

WaMnglon Past Service 

weight goes up and their 
waistlines grow as they 
reach middle age, even n 
they’re dedicated runners, according to a 
new government study of male joggers. 

At any given age between 18 and 49, 
men who ran more miles per week did 
tend to be leaner than those who ran 
fewer. But even among fee most active 
group — men who ran more than 40 
miles (65 kilometers) a week — weight 
and waist circumference tended to In- 
crease steadily throughout the 20s, 30s 
'and 40s. 

The message: A man can beat middle- 
aged spread only if he escalates his ex- 
ercise regime as he ages, said Paul T. 
Williams, an epidemiologist at Law- 
rence Berkeley National Laboratory in 
California who performed the study. 
And that principle is at odds wife current 
government exercise, feet and weight 
guidelines, which imply that people can 

avoid gaining weight simply by keeping 
their exercise level constant 

"If you look at fee dietary guidelines, 
they talk about ‘keeping active,’ ” said 
Dr. Williams. “ ‘Keeping active’ is not 
sufficient Yon have to become more 
active as you get older." He is currently 
studying women runners to see whether 
the same advice applies to them. 

The study suggests that a man would 
need to increase his weekly running dis- 
tance by about 1.4 miles each year to 
keep his waistline from growing. Dr. 
Williams said. For example, someone 
who averaged 10 miles per week at age 
30 would have to increase his distance to 
24 miles per week by age 40. 

The most recent set of government 
dietary guidelines, issued in 1995, de- 
parted from previous versions because 
instead of allowing for some weight 
gain wife age, it recommended that 
weight should remain constant. 

Dr. Williams applauds that advice, 
since weight gain — particularly in fee 
abdominal region — is associated wife 
an increased risk of heart disease, high 

blood pressure, diabetes and certain 
kinds of cancer. 

The guidelines advise all Americans 
to “try to do 30 minutes or more of 
moderate physical activity on most — 
preferably all — days of fee week." In 
the National Runners’ Health Study, Dr. 
Williams set out to examine whether 
maintainin g a steady exercise level as a 
person ages is enough to keep the pounds 
off. His findings were published in the 
American Journal of Clinical Nutrition. 

The study enrolled 4,769 male run- 
ners between the ages of 18 and 49 and 
2, 150 who were SO or older. Participants 
(wife fee help of their doctors) provided 
information about how far they ran each 
week, whether they had a family history 
of obesity, their feet, their alcohol in- 
take, their blood pressure and their lipo- 
protein levels (blood proteins, such as 
LDL and KDL, that transport fat and 
cholesterol in fee circulation). None of 
the participants were smokers. Because 
very few noawhite runners signed up for 
fee study, the researchers decided to 
limit their analysis to white men. 

A Battle Flan 

When to take melatonin the day before and the day of departure: 

1 - 6 time zones 7-9 

Change in 

10 or more 


east to west 


west to east 

On awakening 

About 3 p.m. 

When to take melatonin upon arrival: 
1 -6 time zones 

On awakening 

About 3 pjn. 


On awakening 


east to west 


west to east 

Day 1: On awakening. 

Days 2 and 3: 1 to 2 hours 
later than on previous day. 

Day 1: When it is the same 
time at your departure point 
that you took it yesterday.* 

Days 2 and 3: 1 to 2 hours 
earlier than on previous day. 

Day 1: On awakening. 

Days 2 to 4: 1 to 2 hours later 
than on previous day. 

Day 1 : When it is the same 
time at your departure point 
that you took it yesterday. 

Days 2 to 4: 1 to 2 hours 
earlier than on previous day. 

On awakening 

1 0 or more 

Day 1: When it is the same 
time at the point of departure 
that you took rt yesterday. 

Days 2 to 4: 1 to 2 hours later 

than on previous day. 

Day 1 : When it is the same 
time at your departure point . 
that you took it yesterday. 

Days2to4: 1 to 2 hours 
earlier than on previoiis day. 

When to get and avoid daylight 
1 -6 time zones 


10 or more 

Going Get fight late in the day. 

east to west 

Going Get morning fight, 

west to east 

Get midday light; avoid late- 
day fight 

Avoid morning fight; get 
midday fight. 

Get morning light; avoid light 
the rest of the day 

Get morning light; avoid light 
the rest of the day 

* For example, if you took melatonin In Los Angeles at 3 pjn., take it in New York at 6 p jd. on the first day. 4 or S p jn. on the second 
day and 3 or 4 pjn. on the third day. For Jet lag, you should be taking a dosage of a haif-mflfigram at most, unless the prescribed time is 
before bed. That means you wffl have to cut those tablets. 

Ibe New Yoric Time* * 

Jet Lag: A Melatonin Manual 

By Jane E. Brody 

New York Times Service 


THE ACTUAL: A Novella 

By Saul Bellow. 104 pages. $1195. Viking. 

Reviewed by Michiko Kakutani 

I F you were going to try to describe fee 
work of fee inimitable Saul Bellow in 
terms of other writers, you might think of 
existential Europeans like Dostoyevsky 
and Sartre, and red-blooded Americans 
like Dreiser and Melville. You wouldn’t 
immediately think of Henry James, a 
writer whose magisterial explorations of 
sensibility seem a distant cry indeed from 
Bellow’s rollicking, street-smart tales de- 
picting agonized, woman-plagued men. 

And yet Bellow’s new novella, "The 
Actual," can only be described as a 
Bellovian variation on James, a variation 
that oddly stands as a mature distillation 
of Bellow’s work to date: a twinkling if 
semiprecious gem that recapitulates in 
. miniature the issues and ideas that have 
, animated his fiction of fee last 50 years. 

The narrator of “The Actual,” one 
Harry Trellman, is a familiar Bellow 
figure — a “first-class noticer,’ ’ an out- 
sider who seems alternately baffled, re- 
pelled and fascinated by the calamitous 
world of fortune-hunters, tricksters, fix- 
ers and salesmen he sees around him. 
Harry, himself, is a con man of sorts — 
he has apparently made a tidy sum of 
money wife a shady import business 
based in Burma and Guatemala — and 
he’s something of a masked man when it 
comes to tbs realm of emotions as well. 

When we first meet him, Hany bears 
more than a passing resemblance to fee 
hero of James’s famous tale “The Beast 
in the Jungle”: He, too, has spent his 
entire life waiting and withholding. 
Acutely aware of the “human gaps and 
breaks” in life, the "spiritual ozone that 
smells like bleach," Harry does not par- 
ticipate in fee world; be stands back and 
observes it. 

For 40 years, Hany has been in love 
wife a woman named Amy Wustrin, 
whom he dated briefly in high school. In 
fee intervening years, Amy has married 
Harry’s best friend. Jay, an inveterate 

womanizer and feckless scoundrel who 
divorces her for committing adultery. 
While Hany has been sitting about, 
thinking big thoughts and twiddling his 
emotional thumbs, Amy has been out 
there in fee real world Emotionally 
bruised and battered, she has received 
die sort of sentimental education that 
Harry has worked so bard to inoculate 
himself against 

Harry, on his part, maintains his old 
relationship wife Amy — in his head. 
"I’ve had imaginary meetings and con- 
versations wife Amy several times a 
week for years now,’ ’ he says. "In these 
mental discussions we have reviewed all 
the errors I made — scores of them — 
the worst being my failure to pursue, to 
compete for, her." 

Harry’s release (or rescue) through 
the machinations of an eccentric inter- 
loper will be familiar to Bellow’s readers 
as well. In this case, a fantastically rich 
tycoon named Sigmund Adletsky en- 
gineers a complicated scheme by which 
Harry is reintroduced to Amy and ex- 
posed to a bevy of wealthy nuts and 
operators, most notably a toy manu- 
facturer who has remarried the woman 
who once hired a hit man to kill him. 

T HIS scenario gives Bellow a chance 
once again to conjure up the ca- 
cophonous city of Chicago in all its 
ridiculous folly — a place where hus- 
bands bug their wives’ beds and ex-cons 
set up divorce registry services for the 
newly dumped. It also gives him a 
chance to let Harry cany on, Sammler- 
like, about fee illusions and delusions of 
the people he meets. 

“These were all commonplace per- 
sons.” says Harry. "I would never have 
let them think so, but it’s time to admit 
that I looked down on them. They were 
lacking in higher motives. They were 
run-of-the-mill products of our mass de- 
mocracy, with no distinctive contribu- 
tion to make to the history of the species, 
satisfied to pile up money or seduce 
women, to copulate, thrive in fee sack as 
the degenerate children of Eros, male but 

not manly, and living, the men and wom- 
en alike, on threadbare ideas, without 
beauty, without virtue, without the 
slightest independence of spirit" 

The problem, of course, is that 
Harry ’s judgmental intellect and craving 
for some sort of higher life are also the 
very dungs that cot him off from hu- 
manity — and from love. It is the di- 
lemma that faces many Bellow heroes: 
how to balance the equation between the 
world and the self, between "the ac- 
tual, '' as it were, and the private realm of 
the soul. At one extreme lies immersion 
in meaningless, petty distraction; at the 
other, narcissistic introspection. On one 
side, community wife dvs threat of shal- 
lowness and vulgarity, an the other, self- 
reliance wife the threat of solipsism. 

Which side will Harry crane down on? 
Will he abdicate his role as observer and 
immerse himself in “the actual," or will 
he reaffirm his identity as a “dangling 
man”? Will he take advantage of his 
second chance wife Amy (and will she 
respond after all these years?), or will be 
wait too long to seize the day? 

Whereas fee endings of earlier Bellow 
works like “Mr. Sammler’s Planet" and 
"The Dean’s December” felt forced, 
even contrived, the conclusion to “The 
Actual’* — highly reminiscent of the 
end of “Humboldt’s Gift" — works as 
an apt and touching finale to Harry’s 

There is an elegiac tone to his tale that 
continually reminds the reader that this is 
a late work, completed deep into the 
author’s career. The language, while still 
distinctively Bellovian, is somewhat 
more subdued than in the past, although 
Harry’s own awareness of mortality, his 
awareness that the clock is ticking, lends 
his story an urgency all its own. He seems 
aware, as Amy says of another character, 
feat he is entering his “final years,” as 
biographers call it — “a period of ’ma- 
ture’ acceptance, reconciliation, open- 
handedness, general amnesty.” 

M ichiko Kakutani is on the staff ofThe 
New York Times. 

EW YORK — Melatonin, the 
controversial hormone now 
widely available in the United 
States wherever dietary sup- 
plements are sold, has one indisputable 
role in die body: it, along wife bright 
light, helps set the body's biological dock 
by acting on a pacemaker in the brain. 

Released at night by the pineal gland 
at the base of fee brain, melatonin sets 
body rhythms, including fee one that 
makes you feel sleepy at bedtime and 
awake during fee day. 

The tenacity of these rhythms was 
experienced by many who switched to 
daylight time recently and had to arise an 
hour earlier than their bodies were used 
to. Tt is far more challenging to fly across 
three, six or even 12 time zones and adjust 
to local time, resulting in that disturbance 
in body rhythms called jet lag. 

It generally takes rate day to adjust for 
each time zone you cross. So if yon make 
a long flight, for a two-week vacation, 
fee resulting time difference will leave 
your body out of whack wife local time 
for most of your trip. Then, having just 
become adjusted to the new time, you fly 
home to repeat fee adjustment 

I have written before about fee ability 
of melatonin to curtail jet lag, but fee 
number of times I have been asked about 
it recently — and the many people who 
have told me that “melatonin doesn’t 
work" — tells me that I should try 

One problem is that the use of 
melatonin to re-adjust body clocks is 
complicated, and if you do it wrong, it 
will not work. In fora, you are likely to 
make your jet lag worse if you take 
melatonin at the wrong time. 

Also, while melatonin is a potent 
time-setter for our internal clocks, the 
most powerful determinant is daylight, 
which suppresses melatonin’s release by 
the pineal. To get the maximum benefit, 
melatonin must be used with exposure to 

— and protection from — daylight at 
specific times of day. 

Also, the dosing directions on fee 
melatonin label, which tell you to take it 
at bedtime, are no help in countering jet 
lag. But do read the label far rate im- 
portant fact: how much melatonin is in 
each tablet 

In all likelihood, the dose is far too 
high and will serve only to pot you to 
sleep, often when you want to be awake. 
Melatonin usually comes in doses of 
about two or three milligrams per tablet; 
far jet lag. you should be takin g a half- 
milligram at most, unless the prescribed 
time is before bed. That means you will 
have to cut those tiny tablets into even 
tinier bits, saving some whole tablets to 
use as a sleeping aid, if needed. 

A final warning: Even die half-mil- 
ligram dose - can make some people 
sleepy. If you feel fee least bit drowsy 
after taking it, avoid driving ra aerating 
dangerous machinery. If you have trou- 
ble foiling asleep at your destination, 
you can take a full two- or three-mil- 
ligram dose at bedtime, in addition to the 
dose you took to shift your body clock. 

Melatonin can help jet travelers adjust 
body rhythms so they want to sleep at a 
time feat suits the new time zone, not the 
one they left behind. How long feat takes 
depends on how many time zones are 

Dr. Alfred Lewy, an expert on cir- 
cadian rhythms at fee Oregon Health 
Sciences University in Portland who de- 
vised fee regimen in the chart above, 
says that body rhythms are adjusted by 
either advancing or delaying them, 
which determines when you take 
melatonin and when you bask in daylight 
or avoid it. 

Do not wait until you get to your 
destination to start the melatonin re- 
gimen ; start it the day before your de- 
parture. Aral do not fozget to pack a visor 
and dark sunglasses to protect your eyes 
from exposure to bright light at the 
wrong time of day. Otherwise, plan to 
stay indoors during those hours. 

When traveling from east to west, yon 
will want to delay your body clock three ~ 
hours. The day before departure, the day , 
you leave and the first few days on fee * 
West Coast, take fee low dose of* ' 
melatonin when you wake up in the* 
m orning , regardless of how early. Upon’' 
arriving, get outdoors wifeout- 
sunglasses for at least half an hour late in£ 
the day. i i 

This scheme works for a difference of> 
up to six time zones. If you are crossing • 
more than six but fewer than 10 time 1 
zones, the melatonin instructions stay* 
fee same — take it in die afternoon going.; 
east and upon w akin g going west — but 1 
the rales about light exposure change. « 

- - •• *3 

G OING east, get into fee light 
at midday but avoid it in fee* 
morning. On the following* 
days, gradually shift outdoor 1 
light exposure to an earlier time. Going :; 
west, get midday light but avoid it later* 
in fee day. On fee following days, shift -J 
light exposure to a later time. ~-'- M - 

However, fora shift of more than nine? 
hours, all the rules change because it is 3 
easier to delay the body clock by l4| 
hours than to advance it by 10 or more; ? 
Therefore, when going east, follow the* 
melatonin and light exposure times fori? 
going west • 

When I (raveled from New York to * 
Thailand — a 12-hour time difference — r* 

I took fee melatonin when I awoke irin 
New York (6 AJVL) the day before and , 
day of departure and then at 6 PJML fee * 
first day in Thailand, which was 6 AJV1; ■ 
in New York. Each subsequent day I took j 
it one to two hours later. I also got out info; A 
the meaning sun without sunglasses. ■ v ' 
The day before I left Thailand, I re4 j 
peated this regimen to delay my body • 
clock again 12 hours. My first night; 
home, I slept through to a New York • 
morning. I was sleepy at midday for a few ! 
days, but re-entry was basically a snap. - „ 

As Dr. Lewy said, “These regimens - 
don’t eliminate jet lag, but they reduce ■ 
fee number of days you have it.” ; * 


By Alan TYuscott 

O NE of the few East- 
Coast bridge families 
that can field an effective four- 
some in tournament play 
suffered a tragedy in Manhat- 
tan recently. Jerome Sprung, 
65, of Purchase New York, 
had spent 10 days by fee side 
of his wife, Shirley, while she 
underwent therapy for throat 
cancer. When be left the hos- 
pital he was struck by a hit- 
and-run driver, thrown into the 
path of another car and lolled. 

Their son, Danny, and his 
wife, Jo Ann, have both na- 
tional titles. On the 
diagramed deal, from a du- 
plicate game in Florida, father 
and son were sitting South 

and North respectively. The 
contract was one no-trump, 
reached after North’s negat- 
ive double of one heart. 

West led fee heart king, and 
South held up his ace until the 
third round. Now routine play 
would have led to the club ace 
and taken a normal finesse of 
fee jack. West would have 
been able to cash his two heart 
winners and shift to a spade. 
That would be one down, and 
an inspired West would do a 
trick better by shifting to 
spades before cashing his 
hearts, giving South no 
chance to unblock his club 
kin g on a heart winner. 

But South decided, in view 
of fee overcall, that West was 
likely to hold the club queen. 
He considered trying to drop a 

doubleton queen, 
would have foiled. 

Instead he led the club jack, 
an imperfect backward fin- 
esse since the nine is in the 
wrong band. If East had held 
10-8-x, he would have scored 
a trick once the jack was 
covered by fee doubleton 
queen. But the cards were ly- 
ing favorably for tills play. 
West covered, and five club 
tricks were run. By guessing 
diamonds. South emerged 
wife an overtick. 

The play of the club jack 
would have left the contract in 
the balance if East had held 
the queen. To prevail. East 
would have had to make a 
risky shift to a spade, away 
from the king. A diamond re- 
turn would have given South a 

but that chance to score a seventh trick 
in fear suit before the defense 
could score a spade trick. 

♦ Q5 

O K Q 10 9 A 
0 ASS 

4 197 

6 K 16 7 6 3 
O J7S 
*10 2 


4 J2 

Eat md west were vulnerable. The 

Sooth Watt North East 

34 17 Dbi. Pass 

j NT. Pan Pwa Pass 

Wen Mite heart Mug. 


ACROSS is Section flanked 
1 Construction by ami as 

lifts 19 Hubbub 

•7*H : — a nicks! 17 Appoint 
10 Spring zoo 

ii Pointed attraction 

criticism MTtekofl 

14 You can say 21 Dearie 

that again! a* Armies (along) 

Est. 1911, Paris 
'Sank Roo Doe Mw J 

A Space for Thought. 

aa Magellan, e.g, 
37 Crescent- 
shaped figure 

28 Olive 

3» Beach time In 
Buenos Afres 

32 Retired 

33 Struggle 

a« O'Brien of ‘The 

39 TV news time 
37 Namesakes of a 

literary fox 
M Suffix with saw 

40 Plain homes 
49 Eight pts. 

43 No! occurring 

44 voce 

49 Adaptable 

truck, for short 
4eStonewort, e.g. 
47 Confederate 
soldier, at 
so Pundit 
S3 Where to hear 
"Ail Things 

94 Number of 
articles in the 
ss New Yoric City 


57 Melon originally 
from Turkey 
fia Tide rival 
«i Noted first 
name in ja22 
•a like Alban 
Berg's music 
*3 Get spliced 

B4 poly 

85 Metric units 


1 Med. care 
3 Sweep 

a World's fair 
4 Famished 
s Tot's transport 
8 Start of many 
Western pface 

7 Theme of this 

9 1492 Columbus 
» Dow Jones fig. 
10 Pool areas 

«i item In a trunk 
1 * Together. 

ia Feints In boxing 
it 'Air Music’ 

■ composer 
at Contribute, as 
to an account 

23 Criticize in no 

uncertain terms 
sm Red corundums 
25 Continues 
M Razzed 
30 Louis XIV, 10 

3f WOundup 
3a Cheerless 
37 Attorney's 
39 Critic 

41 Old words from 
which modem 
words are 
«3 Half of 
the Odd 
4a Sound of 
48 Not perfectly 

so Fish-eating 


si Ginger Rogers 
tune" — in the 

#4 Not much 

se Day- 

57 Be-bopper 

© New York Times/Edited by Will Shorts 

Solution to Puzzle of May 7 

;□□□□ song nanena 
'nmHH aago nanao 
□ans Baaa anann 
raEnsQcigcjSEG) man 
™ tans naca 

□□a anas guanas 
□B00 □□□ aaag 

hsebsh □□□□ ana 

sbq □□□ aaa 
aaa sogaaaaanias 
qbqqci aaaa aasa , 
□asga aaaa aasa 
QHggg ggaa aggs! 






Fixed Assets 

Property and equipment 











Deferred taxes 



Other non current assets 



Current Assets 

Accounts receivable 

Materials and supplies 

Due from State (principal shareholder) 

Other current assets 














1996 . I 

•: 1995 .. 

Operating revenues 

Operating expenses 








Financial, net 

Other, net 





Profit before income taxes 

Income taxes 





Net profit 



Shareholder's investment 

Legal reserve 
Retained earnings 

Subsidies, net of amortization 
Long-term debt 

Reserves for staff retirement and other 
employee benefits 

Other long-term liabilities 

Current liabilities 
Bank loans and overdrafts 
Accounts payable 
Income taxes payable 

Other current liabilities 




































...... 1996 

Shareholders’ Investment, January 1 429,138 

Net profit for the year 171,806 

Capital increase 18,011 

Paid-in surplus, net of share issuance expenses 

Shareholder’s investment, December 31 








. 0 


Note. : OTE Prepares and publishes financial statements in accordance with both Greek Statutory requirements and international Accounting Standards (XAS).The major differences between Statutory and IAS 
financial statements relate to the accounting of (a) deferred staff retirement and other employee benefits, (b) subsidies for fixed asset acquisitions, (c) compulsory revaluation of fixed assets and (d) deferred 
income taxes. The above financial statements have been audited by independent public accountants, whose report thereon includes an exception, as the development of OTFs fixed asset register for telecom- 
munication equipment and installations has not yet been completed. The finalization of the aforementioned register is in its final stages. 

The Chairman of the Board of Directors 
D. Papoulias 

The Director General Finance 

The Managing Director 
P. Lambrou 

The Director of Financial Services 




Pursuant to the law and the Company’s Articles of Association Charter and following Resolution no 2507 of the Board of Directors, taken on 7/5/1997, the Shareholders of the Hellenic Telecommunications 
Organization SA. are hereby invited to the 45th Ordinary General Assembly, to be held on Thursday, 29/5/1997, at 12.00 hours, at Holiday Inn HoteL, (50 Micbalacopoulou Street, Athens) to discuss and debate 
upon the following: - 

1 Presentation of the Management Report drafted by the Managing Director and Audit Reports compiled by the Chartered Auditors and the Auditor of international repute, in respect to the annual finan- 
cial statements of the fiscal year 1996 financial statements including the financial statements compiled in accordance with the International Accounting Standards. 

2. Approval of financial statements and reports for the fiscal year 1996. 

3. Approval of profit allocation. 

^ Acqtrftral of the Board of Directors and Auditors from any compensation liability for the fiscal year 1996, pursuant to Codified Law 2190/1920. 

5 Approval of remuneration paid to. the members of the Board of Directors and determination of their remuneration’s form. 

6 Approval of remuneration paid to the Chairman of the Board of Directors and the Managing Director and determination of their remuneration. 

, 7 of Chartered Auditors (two principal and two deputy auditors) and one auditor of international repute for the fiscal year 1997, pursuant to the provisions of Law 2257/94 and determi- 

nation of their fee. 

8. Miscellaneous announcements. 

. _ . ■ ; n oerson or by proxy, in the said General Assembly, Shareholders shall, in conformance wiih the Law and ihe Company’s Article of Association, deposit their share certificates with any 

fa oroer to and Loans Fund or OTFs Treasury (99 Kifissias Ave. Maroussi),at least five (5) fall days before the appointed date for the General Assembly namely by 29/5/1997. 

fflUSt have also deposited the Share Depositary Receipts as well as the proxy forms with OTFs Share Registrations Office, ai 1 5 Stadiou Street, Athens. 

By authorization of lhe Board of Directors 

D. Papoulias 


Athens, 7-5-1997 

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PAGE 14 


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THURSDAY, MAY 8, 1997 

PAGE 15 

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Vie for Role 
In Thomson 
After Sale 


PARIS — Major defense contractors 
from Britain and Germany maneuvered 
to get on board as Alcatel Alsthom SA 
andLagardere SCA submitted rival bids 
Wednesday to buy France’s controlling 
interest in Tbomson-CSF, Europe’s 
. biggest defense-electronics company. 

The sale of the government's 58 per- 
. cent stake, valued at 12.7 billion francs 
‘ @2-^ billion) at current market prices, 
V is a critical step in restructuring the 
European defense industry to compete 
with U.S- rivals. 

General Electric Co. and British 
Aerospace PLC, rivals in the British 

- defense industry, both want to combine 
parts of their businesses with Tbomson- 
CSF to secure their positions as leading 

. weapons makers in Europe. 

“Alter what’s happened in America 
with defense consolidation, there has to 
be some restructuring in the European 
industry,” GEC’s finance* director, 
David Newlands, said. 

General Electric said it had entered 
into memoranda of understanding with 
both Alcatel Alsthom and Lagardere 
under which GEC and whichever of die 
’ bidders is successful would hold talks 
: “concerning the combination of certain 
of the businesses of Thomsan-CSF and 
• GEC-MareonL” General Electric, 
which is not related to die U.S. company 
of the same name, has been barred by 
, the French government from submitting 
its own bid. 

British Aerospace, meanwhile, 
teamed with Lagardere to help finance 
; y its bid, agreeing to provide 2.7 billion 
'' francs through a loan and a purchase of 

- convertible bonds. 

. In Geznumy, Daimler-Benz AG’s 
aerospace unit also agreed to support the 
Lagardere bid. Daimler-Benz 
' Aerospace and Lagardere said they had 

- signed a “major strategic agreement” 
covering missiles, space and defense- 
electronics activities. 

Lagardere plans to merge its defense 
. division, Matra, with Thomson-CSF. 
Alcatel said it would have Thomson- j 
CSF remain a publicly listed company. 

. (Bloomberg, Reuters. AFX) 

Asian \ Murdoch 9 
In Hard Times 

Sondhi’s Media Empire Ailing 

By Richard Covington 

Special to the Hr raid Tribune 

With an $800 million roll of die dice, the Thai en- 
trepreneur Sondhi Limthongkul set out in 1995 to become 
an “Asian Rupert Murdoch,” as he put it. 

Mr. Sondhi announced in December of that year that he 
was adding an ambitious Bangkok-based daily newspaper, 
the Asia Times, to his stable of media properties and laid 
out plans for a pan-Asian satellite television and data 
network. He intended, he said later, to become “the first 
Asian to get up and fight die Western press.” 

Mr. Sondhi, a fonner journalist, said he was prepared to 
invest as much as $60 million in his newspaper as a 
“brand-building exercise” for the broadcast network, to 
create a media empire run by Asians for Asians. 

But now, a year and a half later, Mr. Sondhi’s media 
empire shows signs of coining apart. 

According to current and fonner employees of his 
publishing arm. Manager Media Group , Mr. Sondhi is 
having difficulty meeting payrolls, and some correspon- 
dents have not been paid for weeks. 

Numerous industry sources say Mr. Sandhi is casting 
around fra- partners to bail out both the Asia Times and Asia, 
Inc., his glossy Hong Kong-based business magazine. Mr. 
Sondhi did not respond to numerous requests to be in- 
terviewed for this article. But the company confirmed Wed- 
nesday that a planned expansion of the magazine from 
monthly to semimonthly had been pot on hold and said its 
editor, Jim Rohwer, a framer executive editor of tbe Econ- 
omist magazine, and strategist for CS First Boston in Hong 
Kong, was leaving after less than eight months to pursue 
“opportunities outside the group.” 

One Sondhi business, Staco Ltd., a fiberboard maker in 
Bangkok, has severe financial problems, according to 
Sriyan Pietersz, a Bangkok-based equity strategist for 
Nomura International Hoog Kong. 

Underscoring the unprontabBity of Mr. Sondhi ’s pub- 
lishing concents, Mr. Pietersz also characterized the pro- 
posed satellite TV venture as “imprudent.” 

Many potential investors share that view. Recent at- 
tempts to raise much-needed capital for tire TV venture 
have come up short, according to industry sources. An 
additional $675 million is needed to finance the project, on 
top of its $125 million in existing capital. 

Some important investors have pulled out, including 
United Communications Industry, a telecommunications 
concern based in Bangkok and partly owned by Goldman, 
Sachs & Co. 

With mound 30 magazines and newspapers in Thailand, 
Hong Kong, China and the United States and an eclectic 
bag of business interests scattered from printing plants to 
construction materials and hotels, Mir. Sondhi’s M Group 
has become a welter of crisscrossing financial connections 
more mtrinaitFi than Bangkok's infamous traffic snarls. 


Mr. Sondhi at the start of publication of Asia Times. 

In addition to the Asia Times and Asia Inc., the group 
publishes Seven Days, a Chinese -language monthly prin- 
ted in Guangzhou, and Buzz, a monthly cultural magazine 
in Los Angeles. 

Yet with the Asia Times, Asia Inc. and other publications 
hemorrhaging red ink. and with Thailand in its gravest 
economic crisis in a decade, Mr. Sondhi seems intent in 
embarking on the project 

Scheduled to begin offering services next year, Asia 
Broadcast & Communications Network PLC could bring 
500 channels and high-speed Internet access to 2 billion 
people in the region, initially targeting India, Thailand, 
Vietnam. Taiwan and Sou* Korea, according to Mr. Sondhi. 

Vietnam, Taiwan and South Korea, according to Mr. Sondhi. 
He calls the venture a “communications superhighway in 
the sky” and says it is the keystone of his media empire. 

By grouping a mix of national channels, local Asian 
programming and European and American imports, the 
network aims to attract upper-middle-class viewers, busi- 
ness travelers and tourists across tbe region, said Chris- 
topher Vizas. an American who is ABCN*s chief executive 
officer. In time, the venture hopes to beam Asian channels 
aimed at ethnic viewers within North America over a trans- 
pacific satellite link, he said. 

Apart from television programming, the satellite net- 
work will offer a premium package that includes Internet 
access at 400 kilobits a second, com p ared with the current 
28.8 kilobits a second over conventional telephone lines, 
Mr. Vizas said. 

ABCN’s startup comes as “technology has taken a dive 
in Asia,” said Brian Jeffries, editor and publisher of Asia 
Pacific Space Report, a newsletter devoted to satellite 
ventures in the region. According to Mr. Jeffries, a host of 
broadcasters are planning the leap or have already jumped 
into the competition to deliver television, high-speed data. 

See EMPIRE, Page 17 

BSkyB Alliance Buys 
Digital-TV Decoders 

Venture Subsidizes Cost of Devices 

Ctvtqxltit by GsrSuffFraa Dajxxrjtq 

LONDON — British Sky Broadcast- 
ing Group PLC and British Telecom- 
munications PLC said Wednesday that 
they had ordered 1 million set-top de- 
coder boxes, putting into action 
BSkyB ’s plan to offer a bouquet of 
interactive digital television services. 

The boxes will be the first to allow 
consumers access to as many as 200 
digital-television channels, the Internet 
and other services from satellites, cable 
or regular antennas and to interact with 
them over BTs telephone network. 

BSkyB ’s stock closed 1 3 pence high- 
er. at 609 ($9.97), while BT shares fell 2 
to 458. 

“There is general relief that BSkyB 
has got the deal bedded down.” Louise 
Barton of Henderson Crosthwaiie said of 
the order's effect on BSkyB stock. “The 

price is being driven exclusively by the 
news flow on digital development.” 

BSkyB and BT, along with their part- 
ners Midland Bank PLC and Matsushita 
Electric Industrial Co., created British 
Interactive Broadcasting, a venture that 
would subsidize the cost of the decoder 
box to consumers to spin- a market that 
has struggled elsewhere in Europe. 

The companies will invest £265 mil- 
lion in setting up the joint venture, sub- 
sidizing tire boxes and building infra- 
structure over five years. 

The set-top decoder box order could 
also give News Corp^ which owns 40 
percent of BSkyB, a head start in in- 
troducing interactive digital services 
elsewhere in the world. It owns stakes in 
ASkyB in the United States and JSkyB 
in Japan. 

Starting in the summer of 1998. the 
British venture will start offering such 
services as video on demand, home- 
shopping and banking as well as on-line 

BT sells telephone service to 29 mil- 
lion British homes. 

The venture ordered the decoders 
from Amstrad PLC, Pace Micro Tech- 
nology PLC, Matsushita Electric’s 
Panasonic unit and a joint venture be- 
tween Hyundai Corp. of South Korea 
and Grundy Worldwide LtdL 

The announcement came after BSkyB 
said its third -quarter pretax profit rose 
15 percent, to £81.6 million, as it con- 

tinued to add subscribers to its existing 
analog television service. BSkyB has 
close to 6 million customers for the 
satellite service in Britain and Ireland. 

The formation of British Interactive 
Broadcasting represents a successful 
move by BSkyB, Ms. Barton said, “to 
get tbe cost of set-top box subsidy off 
balance sheet” and to reduce BSkyB ’s 
contribution to a third of the cost 

But she said the venture faced com- 
petition from cable companies because 
of their proposed earlier launch date for 
digital cable. (Bloomberg, AFX) 

Report Links 
More Firms to 
Scandal in Seoul 


SEOUL — South Korean busi- 
ness suffered a fresh blow Wed- 
nesday after a published report said 
prosecutors were investigating the 
Haosol group of companies in con- 
nection with a scandal swirling 
around President Kim Young 
Sam’s son. 

The newspaper Chosun Ilbo re- 
ported that state prosecutors had ev- 
idence that the group had managed a 
7 billion won ($7.8 million) fund on 
behalf of an associate of Kim Hyun 
Chill, tire president's son. 

A spokesman for Hansol, whose 
flagship Hansol Paper Co. is the 
country's largest paper manufac- 
turer, said: “There seems to be a big 
misunderstanding. I hope the pros- 
ecution will uncover tbe truth. ’ ’ . 

Kim Hyun Chul is being inves- 
tigated by prosecutors for his in- 
volvement in a 1 oans-for-kj ckbacks 
scandal involving Hanbo Steel & 
General Construction Co. The re- 
port sent shares the Hansol group’s 
seven listed companies tumbling 
and helped pull South Korea’s 
composite index down 12.47 
points, to 689. 1 0. ( Reuters , AFP) 

--r •% 

Jr' .■» 

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ft " V -' 

5: -“•-••• 

Russia Connects to Cybercafe Society 

By Michael Specter 

Nc*> York Times Service 

MOSCOW — Cafd society never 
really caught on in Russia. Before die 
revolution there was no need for it. 
Serfs were too poor to spend time loun- 
ging in taverns or coffee shops. Tbe 
United gentry had ornate personal 
caffe built into their mansions. There 
was never much of a middle class. 

The Bolsheviks opposed the idea 
more vigorously than the czars. What 

ccflild seem worse to a C omm u n ist Lead- 

er than informal gathering places where 
underemployed, brooding intellectuals 
could share them problems? Censorship 
and caf£ life just don’t mix. 

So Moscow has had some catching 
up to do in the last few years when it 
comes to almost anything connected to 

raffphv *- nr m^nmniMtinn 

“We arc going to be huge out 
there,” said Yevgeni Ponomarev, a 
radio engineer and self-confessed 
computer geek who has become fee 
unlikely pro p ri e tor of this city’s first 
Internet cafe, a sleek metallic gathering 

place called Virtual Warid. 

“We are going to have the cleanest, 

fastest and most attractive Internet 
caffe in fee wodd,” he said. “You 
won't find anything more popular in 
Moscow than the virtual world.” 

Virtual World (reachable at http:// 
www.partyaju) is already clearly a 

Sponsored by tbe consumer elec- 
tronics chain Partya — whose owners 

realize that a city in need of tire Internet 
is also a city in need of computers, 
peripherals and software — virtual 
Wodd almost is an actual one. 

Virtual Wodd is lighted naturally by 
a huge skylight. -The food is fresh, fee 
beer ice-cold. ' 

Popularity has its price, though. Tbe 
only time to be certam of getting space 
atone of the 1 0 lightning-fast computer 
terminals is when the place opens each 
morning. After feat you can sign up for 
time ana sit at the bar till your turn 

By noon, the flood begins. Foreign 
students wander in to check tirarfr-maiL 
Enterprising Moscow businessmen and 
women are there all the time research- 
ing stick proposals for eveiything from 
clothes stores to race tracks. 

But fee major denizens of the Net 
and tbe cafe, thanks to a policy of free 
access to fee Web at aU times, are 
children — some so young that their 
sneakers do not quite touch the ground 
from their chairs. 

“I want to be die Russian Bill 
Gales,” said VJodya Komodo, 12, a 
math whiz and computer addict. 
Vlodya and some of his friends spend 
most days at Virtual World about 14 
urinates after the last bell rings at 
School 841, just around tbe earner. 

“I could spend every day of my life 
here,” he said. “My mother thinks it’s 
bad fra: me. But I told her about how 
Bill Gates is the most important man in 
the worid.” 

Perhaps bis mother’s feazs are jus- 

tified and the Internet cafe will become 
the pool haCofthe late 20th century. The 
ultimate place to cut class. But so far, it 
seems more like the type of outstanding 
library tint Moscow desperately needs. 

Mr. Ponomarev has big plans fra his 
little cafe. Like many people who live 
primarily in cyberspace, he does not 
view the Web as a useful resource or a 
good business. He sees it as life. 

His plan — already endorsed by the 
immensely powerful mayor, Yuri 
Luzhkov — is to open a chain of Vir- 
tual Wcdds. 

“Ideally, 1 would like every, kid in 
Moscow today to rely on the Web for 
information and for fun,” be said, sit- 
ting at Virtual World’s glimmering 
bar, where cognac goes for$10 a glass. 
“We need to move very fast to catch 

There is at least one other such place 
in Russia — the Tetris cafe in Sl 
Petersburg. But unlike Virtual World, 
where an access is free. Tetris costs a 
lot and is filled with the hackers who 
make up that city's well-known cyber- 

“I have been to Tetris, but you just 
want to do your business and leave,” 
said Radivy Vasflyev, 24, a graduate 


“This is like what tbe telephone 
office used to be,” he said of Virtual 
World, refening to the Russian tra- 
dition, not completely dead, of having 
to make phone rails from a central 
office, “ft has already becomeaplacel 
couldn’t live without.” 


^Cross Rates 


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Rome: 6-7 May • 

Stocfchofan: 13-14 May 
Paris Software Expo: 4>5 June 
Madritfc ll-12 June ( . 
Bmstete: 18-19Jime 
Frankfiirt: 7-8 July 

Discover e-business. 

The powerful new way of doing 
what you’ve always done, only 
using Internet to do it better. 
Come to the e-Business Forum. 
A one-day totally business- 
oriented session for Executives 
and Senior Management. 

(The second one-day technical 
session will do the same for 
IT managers.) 

You’ll see IBM solutions for 
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sales automation. Easy ways to 
build and operate an Intranet. 
New ideas to get to know your 
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But don’t wait. Space is limited. 

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Investor’s America 

; a.' a ;f • ■* v;v 

The Dow 

30-Year T-Bond Yield 



Dollar in Deutsche marks Eg Dollar tn Yen 




D J F M A M ■ 
1996 1997 > 


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Saume: Bloomberg. Reuters 

lniematiumJ HaaMTrtoooe 

Very briefly; 

Long-Distance Access Fees Set 

Businesses Complain They Will Bear Brunt of Charges 

Bloomberg Ntm 

regulators approved on Wednes- 
day wide-ranging rules to revamp 
the fees local phone companies 
collect to complete long-distance 
calls — while simultaneously cre- 
ating a fund for linking schools to 
the Internet and subsidizing needy 
phone customers. 

While the rules, approved unan- 
imously, are broad and only par- 
tially complete, businesses said 
they would end up bearing a heav- 
ier burden so that rates could fall 
for many residential customers. In- 
ternet companies also face new 
fees, as do people who have a 
second phone line at home. 

Still, last-minute negotiations 
Tuesday between business lobby- 
ists and the Federal Communica- 

tions Commission resulted in a 
$2.75 fee per business line, instead 
of the expected $4 JO. 

The rules cut the $23 billion in 
annual call-completion, or “ac- 
cess,” charges paid by AT&T 
Corp„ MCI Communications 
Corp. and other long-distance car- 
riers to local phone companies by 
$1.7 billion in the first year. 

. AT&T has promised to pass on 
directly to residential customers 
two-thirds of the $900 million in 
savings it forecasts. Over the next 
five years, the access charges will 
be reduced by $18.5 billion, the 
communications commission said. 

The plan would also create a 
“universal service” fund — the 
size of which has yer to be de- 
termined — to maintain subsidized 
service to poor and rural customers 

and link schools, libraries ami some 
rural hospitals to the Internet. 

The commission said telecom- 
munications service providers 
would pay into the fund on a 
staggered basis starting Jan. 1, 
with subsidies to poor and rural 
customers becoming available 
within a year. Money for linking 
institutions to the Internet will be 
distributed as needed, it said. 

Caps on second phone lines will 
rise from the current $3.50, though 
it was not immediately clear by bow 
much. Long-distance companies 
will pay an additional flax fee of 
$130 for every second residential 
phone line. Internet-access compa- 
nies will suffer, the Association of 
Online Providers said, because 
many second phone lines in homes 
are used for Internet access. 

Fears of a Rate Rise 
Weigh on Wall Street 


1 . n . Seoul’s 


A ‘Big Step 5 for Computer Security 

Intel Sets a Deadline for Answers 

By Laurence Zuckerman 

New York Times Service 

TOKYO (AFP) — Intel Corp. will announce the results of 
its inquiry into a reported flaw in some of its microprocessors, 
including the Pentium D, by the end of the week, the com- 
pany's vice president said here Wednesday. 

The microchip maker will disclose the results cm its home 
page on the Internet (, the executive, 
Pat Gelsinger, was quoted as saying by Jiji Press. 

The report of the flaw was published on the Internet by 
Robert Collins, who said the new Pentium II microprocessor 
had a flaw in its “floating point unit,” in which large 
mathematical computations are performed. 

Viacom Posts First-Quarter Loss 

NEW YORK (Bloomberg) — Viacom Inc. said it had a 
first-quarter loss, largely because of higher expenses and slow 
video rentals at its Blockbuster Entertainment Group unit. 

Viacom said its loss on continuing ojpei 
milli on. A year earlier, it had income rro: 

(.-rations of $19.4 million, or 1 cent a share. 

NEW YORK — IBM said Wed- 
nesday that two of its researchers 
had come up with a computer en- 
cryption formula that they said was 
nearly impossible to crack. 

International B usines s Machines 
Corp. said the breakthrough was still 
a long way from being usable out- 
side the laboratory and that it did 
nothing to resolve the running dis- 
pute between the computer industry 
and the federal government over 
whether law-enforcement agencies 

should be given access to encrypted 
communications. But it could ul- 
timately help reduce the vulnerab- 
ility of so-called public-key encryp- 
tion, which is the favored security 
method used to safeguard com- 
merce and privacy on the Internet 
“TTiey’ve made a big advance," 
said Joan Feigenbaum, a researcher 
at AT&T Labs in Murray Hill, New 
Jersey, who is familiar with the work 
of the two computer scientists who 
developed die system. MDdos Ajtai 
and Cynthia Dwork of IBM's Al- 
in aden Research Center in San Jose. 
California. “Scientifically, this is a 

big step in the right direction.** 

But Bruce Schneier, a computer- 
security consultant in Minneapolis 
and author of a standard work on 
cryptography, dismissed the news. 
“Theoretically, it is important, boras 
a security breakthrough there is noth- 
ing new.” he said. 

IBM said its new system was the 
first that could generate hundreds of 
codes at random, each one of which 
would be as difficult to solve as the 
hardest instance of die underlying 
mathematical problem, which has de- 
fied solution by mathematicians for 
150 years. 

CompM Ow ran Dupoxha 

NEW YORK — Blue-chip stocks 

tumbled about 2 percent Wednes- 
day. following bond prices lower. 
amid concern that the U.S. economy 
is growing strongly enough to 
prompt the central bank to raise 
interest rates again. 

The Dow Jones industrial aver- 
age fell 139.67 points, to 7,085.65, 
after two consecutive record closes. 
The Federal Reserve System said in 
its so-called tan book, a periodic 
report on the U.S. economy, that 
economic growth was moderate 

with high levels of employment, 

reinforcing expectations for an in- 
terest-rate increase. 

But a positive earnings report 
from Cisco Systems, a maker of 
computer-networking equipment, 

helped limit the drop in the Nasdaq 
composite index, which closed 
down just 536 points, or 0.40 per- 
cent, at 1322.94. 

The Standard & Poor's 500 in- 
dex, meanwhile, slipped 12.14 
points, or 13 percent, to 815.62. 

A weak Treasury’ auction hurt the 
bond market, where the price of the 
benchmark 30-year issue fell 30/32, 
~ to 95 25/32, pushing its yield up to 
6.96 percent from 6.88 percent. 

Worker productivity rose at a 
slower-than-expected pace in the 
first quarter as labor costs marched 
higher. Labor Department figures 
showed. At the same time, the Fed's 
regional report suggested that labor 
shortages were persisting, pushing 
wages higher in many parts of the 

“The risk of inflation has picked 
up," said Nick Peraa. chief econ- 
omist at Fleet Financial Group. 

Productivity, a measure of the 
time and effort put into providing 

goods and services, rose at a 2.0 
percent annual rate in the first 
quarter after a 1.1 percent rise in the 
fourth quarter. Though the gain over 
the first three months of- 1997 wa£ 
the highest since a 2.8 percent gain 
in the fourth quarter of 1993, it was 
below analysts' expectations. 

Unit labor costs rose 2.7 percent 
in the first quarter, up from 2S 
percent in the fourth quarter, ac- 
cording to the Labor Department. 

Traders and analysts fear that 
signs of inflation could cause the 


ailed Firms 


ions was $23.8 
continuing op- 

Dollar Falls on Rumor of Intervention Plan 

• Software 

rose 20 percent in 19% from 1995, with 


about one of every two new business software applications 
being pirated, a study by the Software Publishers Association 
and the Business Software Alliance said. 

• Microsoft Corp. will buy Dimension X, a closely held 
maker of multimedia development software based on Sun 
Microsystems Inc.'s Java. 

» Equitable Cos. said first-quarter earnings rose 21 percent. 

led by sales of annuities and profit at jts money-management 
and Donah 

Idsoa, Lufkin & Jenrette Inc. securities units. 

• American Honda Motor Co. Inc. sued Republic In- 
dustries Inc., seeking to block Republic from buying mote of 
its Honda and Acuta car dealerships. Reuters. Bloomberg 

(SxnpSrU by Our Staff Fran DapaaJta 

NEW YORK — The dollar fell in 
late trading Wednesday after a Jap- 
anese report said the central banks 
of Japan. Germany and the United 
States were preparing to sell the 
currency in a joint effort to halt its 
two-year rally. 

The report from the Kyodo news 
agency, which quoted an uniden- 
tified International Monetary Fund 
official, said the Group of Seven 
industrial nations had begun plan- 
ning Tuesday for such action. Many 
traders said they considered the re- 
port implausible. 

‘‘Every day recently, there has 
been talk of intervention, and that is 
keeping the dollar under pressure,” 
said Karl Halligan. chief currency 
trader at QC Bank New York. 

John Rothfield, an economist at 


NationsBank, said that dealers re- 
mained preoccupied by Japan’s large 
trade surplus, a concern that was scar- 

ing off buyers when the dollar fell. 
Mr. Rothfield said there was 

“really not much fear” of any cen- 
tral bank intervention to stop the 

dollar’s slide. “Central h anks don't 
want to punish speculators, because 
the dollar would collapse,” he said. 
He predicted the dollar would begin 
to climb again by next week because 
economic fundamentals remained in 
its favor. 

“At this stage there is no great 
desire to reverse the dollar's rise,” 
said Ross Lift on, an economist at 
HSBC Markets in London. 

Early in the Wednesday session, 
traders were awaiting the release of 
the Federal Reserve s so-called tan 
book, a report on the U.S. regional 
economies. Traders usually comb 

the report for signs indicating the 
next adjustment of key short-term 
interest rales. But the dollar was 
little changed after the release of the 
report indicating that it did not con- 
tain many surprises. 

The dollar fell to 1. 7 1 87 Deutsche 
marks in 4 PJVL trading from 1.7233 
DM fee day before, and to 125.015 
yen from 1 25.40 yen. It also slipped 
to 5.7977 French francs from 5.8550 
francs and to 1.4585 Swiss francs 
from 1.4615 francs. 

The pound fell to $1.6137 from 

(Bloomberg. Reuters. AFP) 

central bank to raise interest rates to 
cool the economy. Increased rates 
raise companies 7 borrowing costs 
and tend to hurt stocks by making 
returns on bonds more attractive. 

In the tan book, fee Fed said there 
was. “significant resistance to price' 
increases’* in most parts of the coun- 
try. although it said retailers in New 
England bad been able to raise prices 
in response to strong consumer de- , 
mand and feat retailers in fee Chica- 0 
go area said they had needed to offer' 
fewer discounts and other incentives 
to attract buyers. ’ 

The Fed’s policy-setting Open 
Market Committee will meet May- 
20 to discuss whether to push lend- 
ing rates upward. On March 25, it 
approved fee first increase in U.S.- 
short-term rates in two years. 

Shares and options of Lehman 
Brothers Holding surged 5% to 39tt 
amid speculation that a bank such as 
J.P. Morgan or Chase Manhattan 
would make an offer for its shares. 

Computer-chip companies 
jumped after favorable comments in 
a conference call from Merrill Lynch 
& Co. analysts. Texas Instruments 
rose % to 92%. Motorola was up 1 to 
62, while Intel rose lV&.to 156%. 

Cisco Systems rose 1% to 59% 
after the company said its third- 
quarter earnings rose 54 percent. 
After fee market closed Tuesday. 
Cisco, fee world's biggest maker of 
computer-networking - equipment 
posted a profit of $378.3 milli on for 
the quarter, compared with $245.6 
million a year earlier. 

‘ “The networking industry’s top 
company has stood up and made its 
numbers,” said Bill Rabin, an ana- 
lyst at JJP. Morgan. “The market 
wiU breathe a sigh of relief.”. 

3Com shares rose 1% to 37%. 
That company will become fee 
second-largest maker of equipment 
for linking computers, after Cisco, 
if it completes its planned acqui- 
sition.of u.S. Robotics. 

(Bloomberg. AP.) 

* * 



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Wednesday's 4 PJM. Cfose 

77» top XOmosI odtve shores, 
up to the closing on Wofl Street. 

The Associated Press. 

**•» Ugh Urn Uric* Qrje Indexes 

Most Actives 

May 7, 1997 

Dm Jones 

u* La* a*. 

Lodm 7205.34 7235 jg 707541 5*545 -139.67 

Trane 3HTJ1 261W 

_ , 3SMXI -93S 

U» 326217 327-64 23173 33194 -Uft 

Camp 224694 £5202 2217.07 2219.47 -3345 

-£ Standard & Poors 







»gb Law One 

97EL33 96776 97157 
601.77 59184 59194 
19647 19188 196017 
94.96 9153 9444 
n» W B2470 82776 
01607 808.14 811.55 


4 ML 

vw. mm 
1M803 3W* 
841 09 l«t 
757B5 a 



73374 C£ 


6ss®f am 
gmo ana 
53239 21 
5 2200 15U 

523 3M 

29297 3*U 
39159 3314 
37329 53ft 
3} 825 36ft 
36661 59 

1746 19 

33U 38ft 
41 41ft 
43ft 43ft 
3714 37ft 
46ft 47H 
19ft 20ft 
15ft 15ft 
33ft 33ft 
34 34 

30ft 32ft 
SZft 53ft 





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WHO bu mMmunt- cwds par tmriid 

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MOV 97 290ft 











Sep 97 

271 ft 



+ 1 


Dec 97 




+lft 109.290 

Mar 98 

2/S ft 



+ 1ft 


May 98 279 

















15400 bs.- arts per lb. 

May 97 76110 




548 , 

Jul 97 TWO 




17464 j 

S0P 97 7640 





Not 97 8040 




3400 1 

Est. sasss NA 

. Tue's.series 


Tot's open to 


UP 241 


High tow Lara* Chge Opto 

Wfltl Law Latest Chge Opto 

TT 1S99T : 

. >::«• ‘■n:- • 

' . .St 
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Jun 97 129.66 129.46 12952 +054 152469 
Sep 97 128A6 127.94 12778 +ao* 10590 
Dec 97 9754 9754 ft A -0.08 0 

Est. volume: KL3B5. Open to 161259 up 2.972 

Dec 97 5770 5470 5670 -026 

Jan 98 57-ffll 57.50 5760 -054 

Feb 98 5770 57.10 57.10 *056 

Est sates HA. Toe's, sates 23778 
Toe's open W 137736 up 1956 





BsLsates HA. Tub's. sues 9853 7 
Tub's Open irri 298529 ofl 11200 






SB ftfl £8 *1 

269^ aSS 7&S9 




- Nasdaq 

ft La- 


133325 132044 1322.9 







- „ 14M61 

140157 14030 1472.71 
174758 1733JH1 173662 -432 

m3 879.90 881.12 WL14 



PebMarf s 


100 tons- UaUart par ran 
May 97 mao 29950 301.90 +250 12.122 

Jii97 29600 29150 29180 +150 51579 

Aug 97 28200 27750 279JD +220 16,950 

Sep 97 24150 25600 2»JHJ +1.90 8^53 

0(277 23650 33250 334.39 +350 95H 

Dec 97 22550 22300 22650 *2.10 17.744 

Eti-suto AA T lie's. sote 34.145 
Tue's open W 127,929 is boi 

100 top bl - eoBtn per iror ol 
M m 97 34120 * 1JB 1 

Jun 97 36300 36150 34ZA0 *0.90 76975 

5497 34320 +0J0 

AUB97 36550 36650 345.10 +050 18531 

0097 3050 36750 36750 +0.90 6513 

Dec 97 351 50 35050 35070 *100 21,987 

Feb 98 351611 +1.10 6207 

Apr 9* 35420 +1.10 3.163 

Jun 96 359.10 +120 6*40 

Esf. scries NA Tub's, sales 36,142 
Tw'sppenH 148,136 up 1895 



57159 54951 57050 -001 


S Dow Jones Bond 

20 Bands 
10 Industdals 

Hip taw Law 
5ft 5ft 

r» m* 

94ft 10ft 
19ft I9*» 
24ft 2ft 
1ft 3ft 



MOV 97 2SJH 2652 2652 -033 1515 

JU97 2527 2402 2606 -025 51560 

Ana 97 2558 2195 2655 -023 13,143 

Sep 77 2SJ2 2503 2SJB -0.17 7,447 

0(397 25^5 2SJB 2SOS -42* 7,325 

Dec 77 25.47 &S 2523 -021 19501 

Est. soles HA Tub's, series 2057V 
Tile's own W 100,973 off 424 







SjnObumMmum- cents Mr buiM 
Mot 97 903ft 891 no +2 4.297 

Jul97 *2 857 S92 I04JJJ4 

Aug 97 849ft 861 862 +fe 19,112 

Sep 97 764 741 765ft +4 8006 

Now 97 708 700% 707% +4ft 47,437 

Est. series NA Tue's. sales 57.744 
Tue'sapcfiint 192,150 in 531 

36MB As. - CMS per 0l 
MHV97 11150 TOJ0 111.10 
Am 97 111.10 T10L00 11105 
JUI97 11050 10900 110A5 
A** 97 10B50 10820 10840 
Sep 97 TO 55 106.00 10750 
Od97 10145 

NOV 77 10400 

Dec 97 11080 102.00 HIUO 
Jan 98 10255 

Estsqies NA Tub’s. sales 
Tue'saaeniiri 51295 off 41 

+ 155 
+ T-SS 
+ 150 
+ 155 
♦ 140 
+ 1JS 
+ 150 











•TL 200 MWto-pfc of 100 Dd 

12841 +040109,945 

Sep97 12937 12954 12950 + 040 4575 

J=st fries «,199. Pm. sales: 42507 
Pre». open taL 1165+0 up 1560 

Mar 97 92.07 -005 520 

MOV 97 *416 *412 9413 -Ml 60,962 

Jun 97 9407 9406 9405 -002 467568 

Jut 97 93.99 9197 93.97 -002 7.171 

5ep97 9356 9182 9306 -853429529 

Dec 97 9144 9160 9351 —MS 315579 

Mar 98 9354 9347 9348 -006 237500 

Jun 98 9143 9136 9136 -M7 322JICS 

Sep 90 9136 9127 9128 -007 158523 

Dec 98 9122 9116 93.17 -007 124232 

Mcr99 9122 911* 9117 -007 *4916 

AW *9 9118 9112 9113 -007 77578 

Est, series NA Tue's. soles 273,541 
Tue's onto to 240472B up 2207 


1006 Uhl- donors per but 
JU197 1950 1957 1940 -0.06 

JW97 19.95 19J0 19J0 -0.05 

Aufl97 1953 19J1 WJ1 -007 

Sep 97 1952 19J4 19J6 -0(0 

Oct 77 1959 1975 1975 -006 

Nov 97 1950 1951 1953 +006 

Ok 97 19.90 1P7B 1970 -008 

Jon 98 1957 1957 1957 +W 

R*9« 1957 1957 1957 + 009 

Mar 99 1957 1756 1970 -007 

Est.series NA Tue's series 72,279 
Tub's open (nt 392509 i*p 1780 












*4500 pounds. S Mr pound 

Jun 97 14386 14150 14T76 38,893 

Sea 97 143*0 I414B 14168 1551 

Dec 97 14306 14126 14126 107 

Est.series NA Tue's.series 11556 

Tue's Open to 40565 UP 841 







12515 A 
12597 ^ 

Trnefing Activity 




7287 AdroKM 
1299 Ded&wd 
199 Undwqed 
3373 TAribsaes 


203 ffes Wefts 
17 New Lots 

Market Sales 

1597 M97 
1618 1986 
310 t«7 

S3 1+3 
9* 101 


5500 ou miirirom- cents nor bushel 
MOT 97 602 395 395 +1 656 

JUI97 410 «3 «ft +lft 60455 

Sep 77 41* 609 410ft +2ft 135S0 

Dec 97 427 422 421V +2 ft 15.271 

Est.series NA Tue's. soft". 27JV5 
Tuo'saneninl 87415 off 3393 


5500 toy so.- ante Ml bv+aE. 

Mot 97 47240 4*650 471 JO +240 

Jun 77 47340 +14® 

JUI97 67850 47350 47550 +240 

Sep 97 MOM 47*50 48DJ0 *U0 

Dec 97 48950 48750 48850 +240 

Jan9B 49050 +240 

Mar 98 49650 49SJD 495-70 +2 M 

Mot 98 50050 +240 

Est. sales NA Tue's. sd® 12.179 
Tub's open ini 86.172 up 1*37 









108580 dollars, s par Ce*i*r 
Jun 97 J295 J251 J2S* 

Sep 97 J317 J39D 7399 

Dec 97 7361 JU* 733* 

Est series NA Tub's, sales 7,918 

Tue's open H 7*582 off 866 










115500 martu. Spar mark 
Jun 97 4860 JSm 4831 82429 

Sep 97 5876 4861 4870 3506 

Dec 97 5*11 33S 

Est. sales NA Tub's, sales 19549 
Tub's flow to 8*503 up 1122 


so kav ol- doim per Mr m. 

All 97 374.00 37040 372.90 -0.10 

0097 37450 37250 374JQ —0.10 

Jan 91 37440 -0.10 

Est- sate NA Tue's. series 1468 

Tue'sapanH 17572 up 300 





■UnriHon von. tpor 100 ve« 

Jun 97 5075 7*98 5065 79557 

S«P 97 5190 5153 5IS6 1550 

Dec 97 52*8 720 

Est. sales NA Tue's sales 36.275 
Tub's open to 82.137 off 7567 




281 NYSE 
191 Amex 
™ Nasdoq 
6 InmWons. 

503.11 719.12 

19.97 27.16 

5T953 741.91 



ainwK - cents nerBL 
Jun 77 &54S *5.17 4552 +055 

Aus97 6S5S 6SJ0 *552 +027 

0097 W.Q2 *850 *497 +0.17 

Dec 97 7U2 7052 7DJD +072 

Feb 98 71 JO 7150 78 M +417 

Apr 98 7110 TUBS 73.10 +412 

Ed. safes 9,908 Tub's, scries II ,367 
Tub's open M 96,136 up 452 


27.290 1 




Dalhirs per metric Ion 
Atomftnai (Higb Gn*W 
Spol 1614ft 1415ft 159850 159950 

Forward 164250 164350 162950 163050 

Cathadn (HMi Grade) 

240050 241050 2429ft 2437 1» 
235350 235450 236350 236450 


125JM0 tones. S ner tot* 

lunW .SlltS 4854 5678 44523 

S«P 97 59*6 5939 5*47 ISO 

Dec 97 .70*6 JOa 7020 443 

Est series NA Tue's. sates 24533 

Tue’s open to 67,1*5 up 949 

Per Amt Rec Par Compa n y 

Per Ami Rec Pay 


Tetekam indan b 5423 5-22 6-30 

TehBPOine b 5025 5-19 6-3 

WraCberiSeam -5174 5-15 5-30 

□etetamps Inc 
Del une Cap 

Enron Carp 

Coastal Rnet 4 tor 3 aBl. 
Computer Task 2 tor lspOr. 

FT Wayne I 
Fulton Hnd 
Gen Bl nfflng 
Gen Dynoimcs 


Hortey DavWson 
Moira Inc 





6- 16 



PepsiCo Inc 
StiBpnmi Seted 

O .125 
M JD7B2 












b J0202 









Baldwin fc Lycns 





Bandog Inc 














on Svckk 

Life Re Cap 
Mngd Ugh YW 
Manitowoc Co 
McKesson Corp 

Mercury Gea 


Peml , 
PtamMl. , 
Primal Tedi 

SJS Banam 
Nonets Cap 

St Fronds 

.11 5-14 52B 
57 5-19 6-2 

525 6-2 6-20 
59 4-10 7-1 

.17 6-20 7-15 
.11 5-23 6-33 
51 7-18 B-1S 
.16 5-15 5-31 
70S 5-19 fi-2 
.10 5-20 6-3 

505 5-30 fr-» 
.13 W 6-25 
M .105 5-15 5-30 
0 .1666 6-2 6-10 
Q 55 6-2 7-1 

59 6-16 6-30 
-60 5-1P 6-13 
55 4-10 6-27 
A5 5-27 6-17 
.15 5*23 6-21 
.13 5-20 6-20 
.11 5-13 5-27 
.12 5-9 5-22 
545 5-22 6-15 


WAIB MS.- canto pmr ft. 

Marti 7445 7415 7432 -4W 

Alls 97 77.10 7665 7492 -002 

Sen 97 7672 7435 7465 

Od 97 77 JB 7640 7497 

Nov 97 7465 7X30 76+30 -0.15 

Jim 98 79.10 79.N 79. » -0.05 

Esf. sate 2JM1 Tue's.series 1447 
Tue’s open to 19.640 up 197 











61 ZOO 







Jun97 9443 9140 9X42 +1 

lOAM mm Mi's. S oer mm Mu 
Jun 97 2430 2295 3L3S0 

Jut 97 1440 1328 2J65 

Aug 97 2415 2389 23« 

Sep 97 2380 U90 2325 

Oct 97 2307 2311 1355 

Nov 97 2485 2445 2455 

Dec 97 X9W 2535 2555 

Jan 98 2635 2580 2405 

Rri>«8 2535 2490 2515 A0I7 

Mar 98 2400 23*5 2J90 5557 

Est-series MA Tub's, soles 43549 
Tue's open to 704704 ud 2301 


42000 oal, ceffla par oM 

Jun97 6155 59.75 <0.92 +a61 50JI0 

Jill 97 NL7U NL0Q 6X07 +037 18435 

Aug 97 99.65 59.10 59.10 + 038 

Sep 97 58.45 5745 57J5 ^015 

Oct 97 5645 SftOO 5630 +037 

Not 97 5130 +0JP 

Dec 97 5535 55-00 55.® +0.07 

EB. series HA Tue's. sales 223a 
Tub's open to 89414 uo 1B7 

U3. etcHtars per metric ton -lots oil 00 ions 
Ma » 97 16830 16635 16730 + 130 17.241 
Jun 97 16730 165.75 16630 +035 22423 
Jul97 168.00 16735 16730 Unch. 8338 
Aug 97 169.75 169.00 16935-030 
Sept 97 171 JX) 17175 17130 — 075 
0097 17330 1710017375 — 075 
Now 97 174.75 17430 17430 — 035 
Dec 97 17530 17575 ITS 75 Unch. 

Est. sales: 30.964. Open Inij 75,752 up l.l 13 

U3. dollars per bane) - tors of l.QOO barrets 
JujwW 1B.09 ia.16 +0.09 44780 

'8-37 18.18 1872 + 0.07 71312 

1848 1032 18+34 + 0.00 18.269 

1839 la45 18 46 Until. 

1834 1835 1835 + 0.02 
1834 1837 1837 — 0.01 
1843 1839 1837 — 0J)2 
783 9 763 9 7636 — 0.02 






July 97 
Aug 97 
Sep 97 
00 97 






744SJJ0 7455JH 7330JM 734030 
756030 7565-00 744530 745030 


40400 ras.- cents per b. 

Jun 97 8545 H.W BVP — 0.15 

Jut 97 BUS IMS B540 +US 

And 97 BUD 8117 KM7 +032 

0097 7635 75-82 7547 4135 

Dec 97 73.10 7120 73JS +W 

Est. sales 11727 Tueft. series 9,792 
Tue's open to 41^78 IIP 281 

spot 5735.00 574530 576530 577530 
Forward 577030 578030 5795.00 580030 
ZkKUpeeM High Grade} 

Spat 12S5V, 1256ft 1255ft 1256ft 
FOfWOM 1277.00 127330 1277.00 12779k 


7U1 9116 9119 Until. 

913i 9130 9101 — 0.0S 

9Z97 92JQ 9290 -107 
9239 9279 9241 —039 

9234 9273 9275 —110 

9279 9269 92.71 -039 
ESL series: 1 21312 Prev.rarin: 230333 
PfW.apMlnL: 4S&657 up 7420 















Est. sales: 29325. Open mt: 17B32D up 






Hlflti Lew Case Chge Oplrit 


40300 bl.- canti pWB. 

Mot 97 Kl6S 88J7 8885 +235 J05 

Jl4 97 92.90 9070 9135 +1,10 UO 

Aug 97 9175 9M0 90JD +145 13*1 

Est scries NA Tub’s, wries 330 
Tue's open to 9378 up 10 


II mBIon- cisal roa oci. 

Jun 97 9448 9445 9447 -032 5,942 

sepw ««i H4J «34 -MJ 33M 

Dec 97 *148 817 

Est.series na tub's, series 752 

Tue's eeeninl 9 M afl 301 

eumMi b-ewntimatt nmatmt per 
sfiare/ADfc g-pafstrie la Conemtoi funds 



NA +ft 

ft ^ 

ft -9* 

R -fi 

II -N 

12* +ft 

lift -ft 

!»? ^ 
Lfth +ft 

* +15 

Stock Tables Explained 

Series figures ereuneifllcU-YBalyhldHonel lows refloat ttiepffMous 52 wafts plus me cunqnt 
weeh (wf neiflw Wosrtwfinffdoy. Wtioroospitprakide eWdenderinaunftig to 25pecftriorme»e 
lKHbeenperidt*yee*shlBWfflffWi99d n, l , ® l, *** en, * ai ® 5 *' 0 * n *®®* ne,S5 ® c ^ S0n *l , ‘ DM*® 
aBianrise noted rotes of dMtanhew antiwl astwrsonenls besed on B» kABt dedomon. 
a - dWfcjend also sdro (s).B*<Binual roteofdMdotld plus Btetefc dNIdeneL e ■ BtpihJatlng 
ifividMd. ee - PE B«0BBeJs99jelel- caned d - mtw yeenly km. dd - te» in taetetol 12 morons, 
e - t&tfdraid dedared or paid m procedtoa 12 monthif- annual rota increased on last 
dedoroflan. g ■ eBuWend In Conotflw Binds, sub|Kllo 15% nwMesIdcnceta.l-eWtoid 
dedared after nfrupar 5*Kk eSvidoiut. i - dMitend paid this year, omitted deferred, orno 
OCtVm roiren rttoesl cflvldenel meet^ k - 

pa# 52 Kweh*. The hljjWow ra nge be gins wflh Ihe Start of hading, 
ad - next day deffeerv. p - Wfid dMdeneL annual faht imXncwTL P/E - Briar-earnings ratta. 
efleWend-B-sloc' spm.DMdend begins rvflhitoS of spHtsfc- series. 1-*wtorrtpcidln 
s^topAcXi 1 2 metota. esrirected cmh vTOue an 

o-newiM^htaAT-hodlM heltedirt • In haeduMpfcy or rocehtorthlpoThelnfl iwBanizeel 

wl - when tssueeV ww - wWi »wf«tit>- * - M-dMdeml orrawlghts. w^stributton. 

ipu . Mrfftwri y eg-dMdcnd and »l« to 1 WLyW- 9 feW-Z* series In (uH. 


10 rnotric aais* s per ran 

Mot 97 





Jilt 97 




+ 19 





+ 17 

Dec 97 










MOT 90 


+ 1* 


Est. series na Tub's series 7372 
Tue's coen w wtob off 727 



37300 Bv cents oar b. 

Mot 97 25*30 2*100 3*545 -195 958 

JUI97 71800 70930 21140 —145 154*9 

Sep 97 19459 lOLfl 19135 +130 7390 

Dec 97 17100 1893S 17IJ0 *145 4350 

Mar 98 19900 15530 19130 +238 1315 

ES. series NA Tera's.sales fcfi? 

Tue’s open N 30.W HI 1125 

s vrt treasurt (coon 
S10030Q nrln- pts & ewns afiro pd 
Jun 97 105-25 105-01 105-85 - 23 

5917 105-0* 104-5J 104-56 - 22 

Dec 97 104-47 —22 

Etf. series NA Tub's, series 3237B 
Tue's open to 2293*1 UP 12M 


Siauni prin. PM A 3MOS a* 100 MI 
3*1 97 107-09 106-24 106-25 — 1J 

S«P?7 106-22 106-10 105-10 -17 

DKV7 106-09 106-09 106-09 - 0$ 

Est.series na Tue's.series OJ/S 
Tue's open to 3 * 53*3 up *lid 


*! * “*** 0 * 'w Ben 

4*177 110-03 10948 109-11 -24 

Sw» 109-1* 100-28 108-30 —2* 

Dec 97 109-0 MO-22 100-23 — 1 » 
HU-09 -» 

Ett sates na Tue's. senes 31 * 3*0 
Tue's Open hri 5*23*1 up 11775 







DM 1 ntriton ■ bs of loo pet 

9*30 Unch. 4.753 

■MS? 9*78-0^1 232.704 

J*497 N.T N.T. 9477 Until. 1^22 

5SE 9672 -032 210,702 

De*97 WLSI fliSg M59 —031 234431 

® £4B 9645 964* — 031 W2307 

jugg 90 963fi 96J0 Until 14&179 

rSSL 2M D lAKh. 122.754 

Dees* 9537 9534 953* -0.01 823S< 

K-joJbk B4.2+4. piw.satex 152,11* 

Piw.epanHL- 1^08348 up ia«38 


FFS jntekxi - pK O lOOpti 

■P* Z S’ 3 ? 9*^ 9434 +030 7192* 

KEK ^ *°-® sis*) 

ST'S 9444 +002 35,576 

9bJ7 W - 38 *0.01 27394 

98 9629 962* W2* * 8.01 21489 

Sep n 7615 9611 9612 + 0 JJI 21415 

Est. nriwne: 82,151 Open 2B06I9 up 7MS. 


1TL I mWon-rtsaf lOOpe) 

•USS, Sr** 9125 -0*9 M08SO 

jra»97 M 9131 9155 —031 76353 

Ded7 9171 934 * 91*9 Unch. 51041 

Wg90 93-7* 9338 50.73 * 031 34400 

JeraW 9373 9348 9171 +002 2*334 

Sfw 1 SIS'- *les: 31901 
PW. Opttl 308,943 up 

Stock Indexes 


SO* 11 inuaif 

Am 97 81470 62540 82730 —735 1B4J42 

5® 97 84030 mffl 835J1 -8J5 7373 

Dec»7 8A35 8*650 84650 -850 2425 

Est. sales na Tue’s. series 81725 
Tue's araniM 197,295 un 200 


£25 per Indu paint 

-“"IZ *S7i‘l 4531 3 4J510 ♦ 1*3 Qw 
4983 45*8,0 4$8S3 + 1*3 14*3 

D«97 <6275 46275 4*255 +165 320 

E* Sale*: I3L209. Pie*, sates: 191082 
Ptw.ooenlnlj *6535 op 2457 


CAC40 (MAT1F) 

FF 200 not inde* pgira 

May 97 2*560 26150 26303—150) 25747 
97 26295 2597 0 2*060—1530 TUG. 
JR 97 NT. N.T. 2*053—1600 50 

S« 97 26450 26115 26193—1550 10510 
Est istoc 17.702. Open tnt:*9JWoffH2. 

Commodity Indexes 

Ctese Preetaui 


1.97330 1,988.70 

15931 ISM* 

24631 24532 

. Lon*# 

1 rrri Fina ncial Rmves Exchange, tort 



Dj. Futures 





H7J00 ms- owns own. _ 

Ju197 1071 1075 1076 -012 76334 

Od 97 1073 1032 1(3* -038 39J3* 

MBT98 1448 1040 H31 -43* 23309 

MOT48 1042 1057 1037 -035 53P 

EsJ.sotei NA IWa series 73*9 
Tue’s Deal to 14*3** up 725 


cnooo - pts & 32nds onOOpa 

Junf7 113-18 null lliw -04M iwjiti 

to97 113-17 11338 11315 -Un 46W 

&tMle* 96741 Prev.KAs 23*433 
Pm. open to: 201.741 up 18312 

ssa‘K:T , ” ,u ™ 

JW9J IJIAS 10147 |017« - MO 247.1 

5to97 iog.78 10070 iooS — olo^Sl'is? 

9«Je7.FW.sate:l 41.725 
Pm. open to 291 JQ3 offuu 



sun m.- cam Mr b. 

tbmtl TWO 69.90 70.17 _eun 55 

n!l« 91.W —OH *0.993 

0097 7330 71J0 7333 815 UM 

75M ~ a - 17 

J*? " t5J5 75_ft5 75 A5 ff 1A1S 

NA Viste lUf 

Tue^aaenH 73.758 up *13 


42400 St*, cants ocr am 
Jun 97 SUB 5330 »fl0 
Jul 97 54 jS S3J0 SS 
Aub97 5645 5430 S6H 

Sep 97 569S 5680 5600 

Od 97 5575 5540 5550 

N» 97 5650 5ajo 5*30 

—053 37,113 
-034 29.903 
+026 16335 
ton 017 

-004 6337 

+001 745 ; 


Appeals evn% Monday 
in TTh? Intennarket 
To odvertise contact 
Kimberly Ijuerrand-Bctnmcourt 

TeL: + 33 (0) 1 41 43 94 76 
Fax: + 33 (U) 141 43 93 70 
or your nearest 1HT office 
or representative. 

Textile Giant 
Joins Seoul’s 
Roster of 
Failed Firms 

CmpdrdtK SuffFram Otspncbn 

SEOUL — Y Lisung Co., South 
Korea’s biggest woolen textile 
maker, said Wednesday it had filed 
for bankruptcy, raising concern 
about a string of company insolv- 

A spokesman for Yusung said its 
creditors declared die company in- 
solvent after it failed to honor bank 
promissory notes for 227 million 
wot ($254,000) Tuesday. 

Yusung 's collapse was triggered 
by its expansion into apartment- 
bui/ding construction as the prop- 
erty market slumped, the spokes- 
man said. The company has debts of 
€6.6 billion won and assets of 88-5 
billion won. 

“It’s not a big surprise, as most 
textile companies are suffering from 
^ the slump m the industry,” Kwon 
Oh Soon, an analyst at Hann uri Sa- 
lomon Securities Co., said. 

Last year, Yusung bad a net profit 
of 430 million won on sales of 57.58 
billion won. 

The stock exchange suspended 
trading in Yusung’s shares and said 
the suspension would r emain in ef- 
fect Thursday. 

South Korea’s textile industry — 
the world's fourth-biggest in- terms 
of exports — saw its overseas sales 
fall for the first time last year. The 
Korea Textile Industry Association 
said exports were down 3.7 percent, 
at $17.71 billion. 

Yusung’s failure follows die col- 
lapse of the Hanbo and Sammi steel- 
making groups early this year and a 
bank bailout of Jinro Group, a food, 
liquor and industrial conglomerate, 
last month. (Bloomberg. AFP) 



PAGE 17 

‘Seven Samurai’ Light Up Japan 

Rlttnmbers News 

TOKYO — A group known as the "Seven 
Samurai' ’ is poised to outshine more than 2.000 
other Japanese companies reporting full-year 
earnings over the next three weeks. 

Sony Corp„ Toyota Motor Coip., Honda 
Motor Co. and four other so-called samurai 
stocks have helped fuel Japan’s stock-market 
rebound that pushed the benchmark Nikkei 225 
stock average to a high for 1997 on Tuesday. 
The average slipped Wednesday to close at 
20,048.90. down 132.02 points. 

The stronger dollar made these companies' 
cars and computer chips cheaper abroad and 
increased the yen value of overseas sales. But 
these companies have more than the dollar 
going for them: They are among Japan’s most 
efficient, innovative companies, bright spots in 
an otherwise ailing economy. 

Canon Inc., for instance, has transformed 
itself from a camera maker to a company whose 
sales come mostly from automated office 
equipment such as computer printers and copy- 
ing machines. While TDK Corp. remains the 
world's largest maker of video and audio tapes, 
it also is a leading producer of semiconductor 
components. Hoya Corp. has used its expertise 
in eyeglasses to carve out a niche in the boom- 
ing market for glass disks used in personal 
computers. The specialty-microchip maker 
Rohm Co. rounds out the seven. 

The group has helped the Japanese economy 

A Slump at Sony Music 

Crista/ tp CMr SatfFmr : Duparkn 

TOKYO — Sony Music Entertainment (Ja- 
pan) Inc. said Wednesday that its earnings for 
the financial year ended March 3 1 fell sharply 
because of a shortage of hits. 

The company, whose artists include Michael 
Jackson, said pretax profit fell 33 percent, to 
12.8 billion yen ($101 million). Revenue rose to 
205.2 billion yen from 196.8 billion yen. 

Tbe company said it would earn 14.5 billion 
yen in the current year on revenue of 215.6 
billion yen. Shares in Sony Music dropped 50 
yen. to 4,420. ( Reuters , Bloomberg . AFX) 

fend off recession just as the original Seven 
Samurai, the title characters of Akira Kurosawa’s 
1954 film, battled bandits to save a village. 

‘ These are the globally competitive members 
of Japanese industry,” said Ken Okamura, a 
strategist in tbe Tokyo office of Dresdner Klein - 
wort Benson (Asia) Ltd. “They make products 
people want to buy and do it at a good price.” 

The seven companies’ current, or pretax, 
profits rose an average of 70 percent in the most 
recent fiscal year, according to results from the 
two companies dial have reported earnings and 
forecasts by those that have not. That compares 

with a forecast 10 percent increase for the 
average non financial Japanese company. 

Superior earnings performance has led in- 
vestors to push up die stocks of die seven an 
average of 25 percent so far this year and 59 
percent since this rime last year. The Nikkei 225 
stock index, by comparison, has risen only 4 
percent this year and fallen almosi 7 percent from 
12 months ago. The exporters also have been 
helped by the dollar's 17 percent rise against the 
yen during the year ended March 31. 

The shares of all seven have risen to record 
highs in die past month. Sony, which announces 
results Thursday, expects to post a record 124 
percent increase in pretax profit for the year 
ended March 3 1 . Its stock closed Wednesday at 
a record 9,630 yen ($76), up 130. Honda, which 
has rolled Out a series of popular new sport 
utility vehicles such as die CR-V, expects to post 
record profit when it reports earnings May 20. 

Still, these samurai aren't the only winning 
warriors in corporate Japan. Brokerages use 
terms such as the "Nifty 30” or ‘‘Sweet Little 
16” for lists of recommended companies that 
include Bridgestone Coip., Fuji Photo Film 
Co., Taisho Pharmaceutical Co. and the silicon 
producer Shin-Etsu Chemical Co. 

"Blue-chip exporter stocks aren't going to 
lose their luster anytime soon.’’ Aldtsugo 
Dando of Okasan Economic Research Institute 
said. “They’ve got solid earnings, and the 
shares are just plain popular." 

Mining Firm Rejects Jakarta’s Demand for 10% Stake 

Cemp&d ty Om St^Fnm Dor-mho 

JAKARTA — The Indonesian subsidiary of 
Newmont Mining Coip. rejected a government 
request Wednesday for a 10 percent stake in its 
Batu Hijau copper and gold project. 

“It is not feasible,” said Eric Hamer, director 
of PT Newmont Nusa Tanggara. "We are 
already carrying a 20 percent partner, ’ * be added, 
referring to a local company. 

LB. Sudjana. foe minis ter of mines and energy, 
said Tuesday that the government had asked New - 
moot Nusa Tanggara for at least a 1 0 percent stake 

in tbe project in West Nusa Tenggara Province. 

But Mr. Sudjana said Wednesday that he had 
no problem with Newmont’s rejection and that 
"the case was closed.” 

Tbe request came shortly after a consultant's 
report on the Busang goldfield on tbe Indonesian 
portion of foe island of Borneo. The report said 
-geological samples suggesting that Busang held 
huge gold reserves had been falsified and that foe 
site contained no significant quantities of gold. 

Indonesia said Wednesday that the state- 
owned mining company PT Aneka Tam bang 

would take over operations at Busang. ‘ 'After alL 
it is our properly,” Mr. Sudjana said. 

Newmom Nusa Tenggara has a 45 percent share 
of the Batu Hijau mine, Sumitomo Corp. of Japan 
holds 35 percent, and the other 20 percent belongs 
to PT Pukuafu Indah, which is controlled by foe 
Indonesian executive Jusuf Merukh. 

Batu Hijau’s gold reserves- are estimated at 
14.7 million ounces (411,600 kilograms). Pro- 
duction has yet to begin, Mr. Hamer said, as 
Newmont Nusa Tanggara has been waiting six 
months for a government permit (Reuters, AFP) 

EMPIRE: \ Asian Rupert Murdoch 9 Encounters Hard Times in His Media Holdings 

■ A ■ — 

nutflCl TOUT rBTSOfai AUWII 

• Incorporate in any state, including 
Oeimaie. Nnui & Wyoming 

• LLCs (Unfed nattily Companies) 

• lnasHntea»48houro 

Corporate Agents, Inc. 

Fbjc (302) 996-7078 
ConpuSewK GO INC 
hnp twpo ra 

Continued from Page 15 

Internet and mobile telephone links to foe widely 
dispersed Asian market, much- of it poorly served 
by existing infrastructure and low-quality cable 
networks. All of them are lasing money, be said. 

Among foe proposed network's chief compet- 
itors is Rupert Murdoch’s STAR-TV, which cur- 
rently beams television programming into 54 mil- 
lion homes in 53 countries, according to a company 
representative. Unlike STAR, which is tunneled 
through cable systems and requires an 1 1-foot (3.5- 

roeter) satellite dish to receive its signal, ABCN 
plans on distributing channels directly into homes 
equipped with a decoder and an 18-inch (45- 
centimeter) satellite dish. 

Undaunted, foe Thai entrepreneur is forging 
ahead, currently scorning Europe and America for 
financial backing and preparing foe ground for a 
$350 million bond issue to raise capital within two 
months, according to Mr. Vizas. At present, foe 
network is capitalized at $1 25 million, ne said, with 
65 percent owned by M Group. 

Thus far, ABCN has lined up a consortium of 

American, Canadian, Japanese partners. Tbe 
American-based direct pay-television provider 
EchoStar Communications Coip.. whose merger 
with Rupert Murdoch’s Asia Sky Broadcasting 
Ltd. recently came apart, will be supplying foe 
network's decoders. Space Systems/Loral, a sub- 
sidiary of U.S.-based Loral Space & Commu- 
nications Corp.. is slated to build two satellites to 
be launched by rockets supplied by Arianespace of 

Telesar Canada and Itochu Corp. of Japan round 
out the list of overseas investors. 

Hons Korrg 
Hang Seng 

14000 — — - 
13500. jjU*- 

13000 Y'—t 

12500- -J 


: 115007.-;^ 

Strarts Times- 

Nikkei 205 

— ]\T7 — 2250 aTM," — 


CTj F M A M' 1950 O A M 


Exchange ' index. • • 

HongKoos Hang Seng 
Singapore - Sfnafeiimesr 
Sydney V' ,. : MOrcftnatfes 
Tokyo , ' -Mfckal22S.*~ 
Koala Lumpur Composite 

22000 ; 


T - '" 20000 V f" 

. X , 19000 -V jr-jr 

Y 18000 vy • 
'ra 17000 d'TTm'Xm'' 

1997 1996 1997 

Wednesday Prev. ' »V\ 
Ctose Ctose' Change 

13,605191 13ff7934 -tOteO 
2,068.13 2J3S5.S8 

; . 2^17.60 2.5 1 2. BO +&& 
20,04850 20, 180-92 
L107.14 1,090.00 +L57 
6385457 643428 

Taipei ■' 
Source: Tafelairs 

SEC , ' ■ 62657 643128 r 2. « 

Compodteindex 689.10 701.57 -l3B 

Stock Market todeX.M27.g7 &2S4J27 ' +1.6 
PSS ; 2^684,40 2,73653 

Composite index. 66654 659,60 +1.10 

NZ8E-40 ■ jjjSg 24305,2$ +1.00 

'Sensitive Index 3,75350 3,781.49 -0,74 

Inlcmiiiaiiai FteruU Thfconf 

Very brief ys 

• Toyota Motor Corp. will in vest £60 million ($98. 1 million) 
to expand its engine plant in Wales. 

•Jardine Malheson Holdings Ltd. executives met with 
Deputy Prime Minister Zhu Rongji in Beijing to discuss foe 
development of its businesses in Hong Kong and in China. 

• Pioneer Electronic Corp. plans to launch foe world's first 
digital videodisk car-navigation system in Japan in June. 

•Japan's 21 leading computer companies shipped 2.08 mil- 
lion personal computers within the country in the first quarter 
of 1997, an increase of 22 percent from a year earlier. 

• The Philippines' central bank will impose curbs on dollar 
lending, analysts said, to try to stem a surge in money supply. 

• Natural Park PCL of Thailand said its Natural Place 

Tower Co. property-development unit had stopped paying 
interest and principal on some loans, on the same day that the 
government started a $2 billion borrowing program to aid 
property and finance companies. Bloomberg, Reuters 

Australia Retreats on Media Plan 

Agence France-Presse 

SYDNEY — Prime Minister John Howard ruled out hold- 
ing a public inquiry on Wednesday into Australia's media 
ownership rules amid speculation that bis government would 
be defeated on die issue. 

A number of ministers have been widely reported to oppose 
any moves to relax foe rules on cross-media ownership, which 
would have allowed foe television magnate Kerry Packer to 
take over foe John Fairfax newspaper chain. 

The Australian Financial Review, meanwhile, reported that 
The Economist Group of Britain had expressed interest in 
acquiring two Fairfax companies: foe Financial Review and 
tbe magazine group BRW Pubications. which publishes the 
Business Review Weekly. 


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ICI to Pay $8 Billion 
For Unilever Units 

Deal Targets Specialty Chemicals 

;• 1: Vi* 

' CaupJtJiy Oar SuffFm Dupeu+rs 

!' LONDON — Unilever Group, 
the British-Dutch conglomerate, is 
selling its specialty-chemicals busi- 
nesses to Imperial Chemical Indus- 
tries PLC for S8 billion, the compa- 
nies said Wednesday. 

Id said the purchase of Uni- 
lever's adhesives, starch, food-in- 
gredients and flavors divisions 
would lessen its dependence on the 
highly cyclical bulk-chemicals busi- 
ness. Unilever can use the cash t 0 
strengthen its core consomer- 
products business that includes 
brand names such as Dove soap, 
Breyer’s ice cream and Lipion tea, 
analysts said. 

. The acquisition comes in a tune 
of global consolidation in the $100 
billion specialty -chemicals market 

CEO’s Firing 
Hits Shares of 
Retailer Casino 

Bloomberg News 

PARIS — Casino Gtiichard- 
Perracbon SA’s shares fell 1.3 
percent Wednesday after the 
company dismissed its chief 
executive, a surprise move that 
caused concern that its merger 
with Promodes SA would be 

Money managers said in- 
vestors had been looking to the 
supermarket operator's merger 
with Prom odes, France's 
second-biggest publicly traded 
food retailer, to help the compa- 
nies compete with Canefour 
SA, the sector's largest com- 

^Casino’s shares closed at 272 
francs ($46.6), down 330, after 
the departure of Georges Plas- 
saL. die chief executive officer. 
Fund managers sad he had been 
fired in a dispute with Jean- 
Chartcs NaourC president of die 
supervisory board, over issues 
concerning the merger. Mr. Na- 
ouri is Cano's largest share- 
holder through Enris andRallye, 
Compan ies that he c nntm ls- 

as manufacturers struggle to cut 
costs and build market share in the 
face of narrowing profits and vol- 
atile raw-material prices. 

Last month. Novartis AG spun off 
its Ciba Specialty Chemicals AG 
unit, and last year Clariant AG an- 
nounced plans to merge with 
Hoechst AG's specialty-chemicals 

“The chemicals industry is going 
through a phase of aggressive con- 
solidation," said Moms Tabaksblat, 
Unilever's co-chairman. “We either 
needed to invest further or get ouL" 

I Cl’s chairman. Sir Roger 
Hampel, said the purchase would 
make his company “a formidable 
new force in specialty chemicals.*’ 

While Unilever has been showing 
a profit in its chemicals operations, 
the company said in February that it 
wanted to focus on consumer goods 
such as foods and soap, which ac- 
count for 90 percent of its busi- 

Analysts said Unilever was wise 
to sell now, when the chemicals 
businesses were in good shape, 
rather than in a few years when they 
might require substantial invest- 
ment to remain competitive. 

Unilever’s other co-chairman, 
Niall FitzGerald, said the company 
would use the cash to reduce its 
debt then to develop its businesses 
by expanding some operations and 
possibly buying other companies. 

On the London Stock Exchange, 
shares in ICI rose 41 pence to dose 
at 756 ($12.40), while Unilever rose 
2 to close at £1633. 

Mr. Tabaksblat said Unilever was 
joggling ideas on where to invest the 
$8 billion — whether to expand 
product lines through acquisitions 
or to invest in existing businesses. 
Shares in Recltitt & Coleman PLC , 
considered a possible candidate for 
takeover, rose 14 to dose at 88S. 

“We'll give ourselves two years 
to find the right place to invest in," 
said Mr. Tabaksblat. ‘ ‘Then another 
option would be to give it back to 
our shareholders.” 

Separately, Moody’s Investors 
Service Inc. said it had lowered and 
left under review for a potential fur- 
ther downgrade all long-term debt 
ratings of ICI and its financially 
supported subsidiaries. 

• ( Bloomberg . AP ) 

Labour: Over to You, Eddie 

' Frankfurt ' : . London ? 7.^:.-^ j&jS £ 

DAX /FTSE fOamdeoe;.;- 

By Peter Trueli 

New York Times Service 

It's Eddie's show now. 

Britons used to refer jokingly : 
to the polite public sparring over . 
interest-rate policy between 
Kenneth Clarke, then the chan- i 
cellor of the Exchequer, and Ed- : 
wand George, the governor of ; 
the Bank of England, as "The > 
Ken and Eddie Show.’* 

Thanks to Gordon Brown, the | 
new Labour government’s chan- > 
cellor, Mr. George, a solid cen- 
tral banker with a reputation for 
reliability and toughness, should 
have more leeway in adjusting 
interest rates to try to achieve 
greater price stability without - 
government interference. 

Mr. Brown, as he announced 
Tuesday, is giving Mr. George and 
the Bank of England full oper- 
ational independence, something 
the bank has quietly but unoffi- 
cially wanted for many years. It is 
eager to ensure that “the right de- 
cisions are taken on interest rates," 
as one insider put it Tuesday. 

Mr. George was appointed gov- 
ernor of the Bank of England in 
July 1993 for a five-year term. He 
is expected to use this greater in- 
dependence to continue pursuing a 
vigorous anti-inflation policy. 

There was friction between the 
bank and the former Conservative 
government over when to raise in- 
terest rates and by bow much, and 
die views of Mr. George, who has 
managed to preserve a reputation 
both for loyalty and for skepticism, 
became widely known. 

Mr. George is now a freer man. 

I Unlike some previous bank 
governors, Mr. George has made 
bis own way in life. The son of a 
; postal clerk, he won a scholarship 
to Dulwich College, a respected 
London secondary school, from 
which he went on to study eco- 
nomics at Cambridge University. 
After graduating in 1962, he joined 
the Bank of Engl and, rising first on 
the international side and then 
through its markets division. 

The greater independence being 
given Mr. George and the bank is 
expected to bring Britain more in 
line with American and German 
central-banking traditions. The 
Federal Reserve Board and the 
Bundesbank have long had greater 
freedom from political interfer- 
ence than the Bank of England. 

Before now, Mr. George and his 
colleagues have advised the Treas- 

ury on rate policy. Now, through 
a proposed monetary-policy 
committee, they should be freer 

to carry out those policies them- 

"It’s the establishment of a 
Federal Reserve-type system,” 
said Geoffrey Dennis, a British 

Particularly since the pound 
was forced out of the European 
exchange-rate mechanism in 
September 1992, Mr. George 
has been cautious and is likely to 
use his new independence to ar- 
gue that there must be a greater 
convergence of national eco- 
S- nomic policies before Britain 
can seriously plan to join the 
European Monetary Union. 

“Our concern,” be said in a 
speech last month to the Foreign 
Bankers Association in Amster- 
dam, "is that premature monetary 
union,'’ meaning one between 
countries whose economic objec- 
tives were not convergent. “would 
put European prosperity at unne- 
cessary risk." 

Successive governments. Con- 
servative and Labour alike, have 
frequently meddled with interest- 
rate policy, often to improve their 
short-term political fortunes with- 
out much regard for the longer- 
term consequences to the econ- 

That, as Mr. George said in his 
speech in Amsterdam last month, 
has left Britain with a "fairly 
checkered monetary history" 
since World War II that has often 
contributed to its “exaggerated 
boom-bust economic cycle." 

Cost Cuts Bolster Lufthansa Pretax 


FRANKFURT — Deutsche 
Lufthansa AGposted on Wednesday 
a pretax prom fix 1 the first three 
months of 1997 and said it expected 
profit for the full year to be 
"markedly” above that of 1996. 

The Goman national airline said 
first-quarter pretax profit was 20 
milli on Deutsdie marks ($11.6 mil- 
lion), as it cut costs and international 
traffic increased. Sales rose 8 per- 
cent to 4.94 billion DM. Lufthansa 
posted a pretax loss of 49 million 
DM in tbe first quarter of 1996. 

Hie company said 1996 net profit 

fell to SS8.1 milli on DM, after sur- 
ging to 1.48 billion DM in 1995 on 
one-time gains. Lufthansa's 1996 
pretax profit was 686 millio n DM. 

Shares in the airline rose 85 pfen- 
nig, to 26.85 DM 
According to figures published 
last monih, T jfthaasa carried 9.2 
million passengers in the first 
quarter, an increase of 13 percent 
Hie number of passengers in Europe 
rose 3.8 percent but Americas 
traffic increased IS percent and Asia 
traffic grew 11.8 percent 
Tbe passenger load factor, a mea- 
sure of how full planes are, and thus 


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1996 1997 ' 1996 1997 1996 

Exchange > . Index * ..;■■■ WwJnas&y 

• : ' Gibes V; 

Amsterdam •• fiEK " : ' - ' 77539 ./_• 

Brussels ■ “■ BEL-50 ■ ’ . V; . 233475- 

Frankfurt ' OAX • T V 
Copenhagen Stock Markot- ■ " '5SB.4B'. 

H etebfld ...... HEX General. .... 

Oslo T OBX ' : ■' j • • • ■ • 608-57 ' 

London ..'■■■ FTSE 100 : •- 

Madrid ' V," Stock Exchange 5gtt2 - 
Milan WBTS-- tf/ 

Paris- 1 . ■ GAC4Q- V ' i .a^643^t- r ' i g,^ti^rA l M 
Stockholm SX.16 < ■ ' ' 

Vienna ' • ATX 8 \ : ' ; ■: . 1,22731 

Zurich - SPi ' : •• ' ' 

Source; Tetekurs toterwiicnsd HemM Tribune 

an indicator of airiioe performance, 
rose 3.3 percent (Bloomberg, AP) 

■ Airbus 1996 Net Falls 17% 

Airbus Industrie's net profit fell 
17 percent in 1996, to 7073 million 
DM, amid lower sales, according to 
the annual report of Daimler-Benz 
Aerospace AG, a partner in the 
planemaker, Bloomberg News re- 
pented from Paris. Each of the four 
consortium partners includes oper- 
ating profit from their Airbus activ- 
ities in financial reports, but the 
Daimler report was the first time net 
profit had been available publicly. 

Very brief lys 

• EUnet International BV of tbe Netherlands and Asia 
Internet Holding Co. of Japan agreed to link their computer 
network services as early as July. 

• Avtozaz, Ukraine’s only maker of passenger cars, said 
Daewoo Corp. and General Motors Corp. were considering 
joining with it in an automaking venture. 

• Russia issued a decree setting export quotas on diamonds, a 
step that frees the industry to ship diamonds abroad through 
the end of this month, according to a senior official ax the 
diamond producer Almazy Rossu-Sakha. 

• SAP AG’s top managers signed statements denying any 
violation of insider-trading law, as an inquiry continued mto a 
sharp drop in the German software company's stock last year. 

• Bayerische Vereinsbank AG plans to eliminate 800 jobs in 
Germany, equal to 4percent of its work force, within two years. 
The bank also said first-quarter trading income nearly doubled 
from a year earlier, resulting in a 19 percent increase in 
operating profit before risk provisions, to 614.7 million 
Deutsche marks ($3553 million). 

• Dalgety PLC shares plunged 41 pence to 269 ($4.40), an 
eight-year low. after the food-products company said the 
British “mad cow” crisis had forced it to cut its dividend by 
one-third and take a charge to close plants. 

• La Rinascente SpA shares fell 772 lire to 8386 ($5.02) 
after an agreement by the investment company IFIL SpA to 
sell part of its controlling stake in the top Italian retailer to 
Auchan SA of France. 

• Pharmacia & Upjohn intends to close 24 of 57 {dams, a 
Swedish daily reported, saying the shutdowns were part of a 
five-point program to increase profitability and cut costs. 

• OPEC should abandon its outdated policy of strict output 

quotas and make revenue its sole policy objective, Subroto, a 
former secretary-general of the Organization of Petroleum 
Exporting Countries, Said. Bloomberg. Reuters. AFP 


- WodnesdaKMayJc 

Prices In toad currencies. 

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Aegon uoj 

Ahold 1414 

'Abo Note 2594 

Boon Co. in: 

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1J0 HUB 11150 
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7 JO 20050 19050 
240 3250 3240 
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338 339 33870 

970 89-90 9070 
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14850 14875 15125 
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1480 1530 1520 

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The Trib Index PficmmafaooPMNmrYc***. 

Jan. 1. 1932 - 700- Lowe! Ctmga % change year to date 

% chang* ] 

World Index.. . 159.33 -0.50 . . -0.31 . . 46,83 

Regional Muae 

Asia/PacWc 117.98 . +0.16 +0.14 -4.42 

Europe 166 S3 -0.07 -0.04 +A56 

N. America 185.71 -1X3 -0.78 +14.70 

S. America 148.27 -1.43 -0.97 +27-82 

MuttM Mane 

Capital goods 195.47 +0.02 +0.01 +14.36 

Consumer goods 182-24 -1.83 -0.89 +12.89 

Energy 187.00 -0.75 -0.40 +9-54 

Finance 116.76 +006 +O.05 +0-26 

Miscellaneous 160.12 -1.04 -0.65 -1.03 

Raw Materials 183.34 -2.00 -1.40 +4.54 

Service 147.30 -0.45 -0.30 +737 

Limes 135.94 +0.20 +0.15 -&2A 

7Tw International Herald Tibuna World Stock Max C tracks (he US. dolor wdkj» of 
2B0 hte ma ttonafy mostabla stocks from 25 coun/riee. For mom fcformatiari. a free 
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+0.14 —4.42 

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PAGE 20 

World Roundup 

Adidas and Yankees 
Sne Major Leagues 

BASEBALL The New York Yan- 
kees and Adidas have sued Major 
League Baseball in federal court for 
interfering with the implementa- 
tion of the 10-year. $95 milli on 
sponsorship deal the team signed 
with the footwear company two 
months ago. 

The antitrust action, filed Tues- 
day in U.S. District Court in 
Tampa, Florida, asks for injunctive 
relief but does not specify any mon- 
etary damages. 

The Yankees and Adidas allege 
that baseball threatened to sue Adi- 
das for making the agreement with 
the World Series champions; sought 
to stop the sale of merchandise bear- 
ing the team's and company’s logos 
at Yankee Stadium, prevented the 
stan of a joint advertising campaign 
and conspired to prevent other 
teams from entering sponsorship 
deals with Adidas. (NYT) 

Butler, Hurt, May Retire 

baseball Brett Butler, the Los 
Angeles Dodgers outfielder, who 
missed most of last season because 
of tonsil cancer, was placed on the 
15-day disabled Tuesday. Butler, 
who turns 40 next month, has tom 
cartilage in his left shoulder and has 
indicated that if surgery is required 
he would probably not return this 
season. He has already said he will 
retire after this season. (AP) 

Valojet Settlement 

football The family of Rod- 
ney Culver, the San Diego Char- 
gem running back killed in the 1996 
ValuJet crash, will receive $28 mil- 
lion as part of a settlement reached 
with the airline and its maintenance 
company. Culver and his wife, Kar- 
en, were killed when the jet crashed 
in the Florida Everglades killing all 
110 aboard. (AP) 

Benn Accused of Fighting 

boxing Former world champion 
Nigel Benn sliced open a man's 
nose in an unprovoked and frenzied 
nightclub attack in September, a 
London court was told on Wed- 

Ray Sullivan, a businessman, said 
dial during the alleged assanlt be fell 
to the floor with blood spurting from 
a hole In the side of his nose big 
enough to poke a finger through. 

Sullivan said he repeatedly tried 
to get to his feet, only for the ex- 
super middleweight to “kick and 
stamp" him back down again. 

Sullivan, 33, said he was taken to 
hospital where 105 stitches were 
used to repair “extensive'* damage 
to his face. Benn denies wounding 
Sullivan with intent to do him 
grievous bodily harm. (AFP) 

Sleepless in Nagano 

Olympics Russian Olympic of- 
ficials on Wednesday said they had 
refused to stay at Japanese-style ho- 
tels during the 1998 Nagano Winter 
Olympics and may stay on a ship. 

“The Japanese hotels won't 
do,' 1 said Viktor Mamatov, an of- 
ficial with the Russian Olympic 
Committee. “I woke up completely 
broken after I once spent a night 
there lying on the floor mattress.'* 
Mamatov said the few Western 
style hotels in Nagano were re- 
served for the International 
Olympic Committee officials. 


THURSDAY MAY 8, 1997* 


4 au ( 

Champion Crowned 34 ^ 
For Doing Nothing * g 


Manchester United clinched the Eng- 
lish Premier League rifle without kick- 
ing a h all. It encapsulated this season's 
race for the title. 

when Liverpool lost 2-1 at Wimbledon 
and Newcastle drew 0-0 at West Ham 
on a cold night in London. 

The results meant neither team could 
catch United, which has 71 points. In a 
season in which all the top teams have 

*&**"'■ . 

Jacques Moano/The Anocmcd ftas 

FALL GUYS — Vlastimil Kroupa of the Czech Republic went flying Wednesday as Bob Errey of Canada slid 
into him at the World Ice Hockey Championships in Helsinki. Vladimir Vujtek scored a hat trick as the Czechs, 
the reigning champions, won 5-3 in a game that ended in a brawL Slavomir Lerner, the Czech coach, called 
Andy Murray, Canada’s coach, a cheat Murray said: “The Czechs are the dirtiest players in the world.” 

Video Replay Pays Off for Rangers 

By Joe Lapointe 

New York Tones Service 

NEW YORK — For the second con- 
secutive game, the increasingly con- 
troversial rule about goal-crease inter- 
ference cost the New Jersey Devils a 
tying goal in their playoff series against 
the New York Rangers. 

Partly because of this decision — a 
correct ruling under current league dir- 

MHL Playoffs 

ectives — the Rangers held on for a 3-2 
victory that gave them a lead of two 
games to one in the Eastern Conference 

The Rangers got two goals from Esa 
Tikkanen and one from Wayne Gretzky. 
But the scoring play that prompted 
much of the discussion was one that 
wasn’t It came with seven minutes, 42 
seconds left in the third period. 

It appeared that Doug Gilmoor had 

tied the game on the power play. The 
goal was overruled when a videotape 

goal was overruled when a videotape 
review showed the foot of New Jersey’s 
Bill Guerin in die goal crease as 
Gilmour shot the puck. - 

Guerin didn’t interfere with goalie 
Mike Richter. But his skate was in the 
semicircle of blue paint that extends 
outward from each side of the goal line. 
The rule is being strictly enforced this 
season and has become a constant issue 
far angry debate, particularly in the 

Devils coach Jacques Lemaire said. 
“I can’t blame the player" and “I don’t 
blame the rule, either." 

So, who did he blame? Mark Messier, 
the Ranger ra ytain, who Lemaire said 
demanded a video review of the goaL 

“We got a memo from the league 
before the playoffs,” Lemaire said. The 
memo, he said, told all teams that play- 
ers were not allowed to request video 

“The ref was going to put the puck 
down for the face-off. After seeing it on 
the video, everyone was yelling and 
Messier jumped on the ice.' ' 

The Devils lost a tying goal by Steve 
Thomas on Sunday on a similar play 
before losing. 

New York opened the scoring at 3:57 
when Gretzky got his first of the series 
and his fifth of the postseason. Gretzky 
recovered the puck to the right-wing 
side of goalie Martin Brodeur after Luc 
Robitaille's shot was blocked. 

Tikkanen ’s first goal of the night and 
fourth of the playoffc gave the Rangers a 
2-0 lead at 5:24. He waited on the right- 
wing side of Brodeur until Messier and 
Brian Leetch drew the coverage to the 
left-wing with an exchange of passes. 
Then Messier sent the puck across the 
zone and Tikkanen converted. 

The Devils got one back at 6:04, 
when Randy McKay scored on a re- 
bound of Brian Rolston’s shot McKay 
helped create the chance by battling for 
position in the slot in front of Richter. 

The Rangers went up by 3-1 at 6:41 of 
the second period on a power-play goal 
by Tikkanen. who took Gretzky's back- 
handed pass and beat Brodeur between 
the pads. The play began with a bad 
clearance by Brodeur, rare for him. 

The Devils cut the lead to 3-2 on a 
goal by Thomas. While being cross- 
checked by Doug Lidster, he deflected a 
long shot by Dave Ellett and the puck 
just seemed to rise up and float over 
Richter's goal line. 

In the other playoff game, the Los 
Angeles Times reported: 

Rod Wins* 5 , Ducks 3 Detroit came 
back from a two-goal deficit in Ana- 
heim to take a 3-0 lead in its series. 

The Ducks face elimination Thursday 
even though they took the Red Wings to 
overtime m Game 1 and to triple-over- 
time in Game 2, and the score was tied, 
3-3, entering the third period Tuesday. 

It was a tie game going the wrong 
way, though. The Ducks twice had two- 
goal leads, but Detroit caught them, and 
til ere was to be no third overtime game 

in a row. 

Early in the third, the Red Wings 
jumped on a loose puck in foe neutral 
zone and defenseman Larry Murphy 
sent Sergei Fedorov in on a breakaway. 

Fedorov beat goalie Mikhail ShtaJen- 
kov for a 4-3 lead 334 into the final 
period. Only 24 seconds later, it was all 
but over after Vyacheslav Kozlov scored 
on another breakaway. It was the second 
goal of the game and fourth of the post- 
season for Kozlov. 

The Ducks were up, 3-1, after Ted 
Drary scored 5:12 into foe second peri- 
od when a pass by Detroit defenseman 
Aaron Ward went off Warren Rychel's 
skate and Drury dashed to foe net. 

But Detroit got back in foe game with 
a power-play goaLIgor Larionov scored 
when he deflected a shot by Kozlov that 
had hirtbe Ducks’ J.J. DaigneaulL 

shown flaws and all have faltered under 
pressure, it was appropriate that on the 
decisive night the title should be lost 
rather ihan won. 

Last season. United won the title with 
82 points and was pushed to the last 
game by Newcastle. This year. United 
needed just 71 points. 

Liverpool, Newcastle and Arsenal 
have an topped foe table, but they 
stuttered and allowed United to pull clear. 
With a fourth title in five years in its grasp 
United in turn stumbled. It could only 
draw at Leicester on Saturday and at 
home to Middlesbrough on Monday. 

“It sticks in the throat that United 
have won it again and not us,’ ’ said Roy 

Evans, the Liverpool manager. 

United lost 5-0 and 6-3 in successive 

October, but it had the best record in 
matches involving foe top teams. It beat 
Liverpool and Arsenal home and away. 

Neither Alex Ferguson, the United 
manager, nor Martin Edwards, the 
chairman, could bear to watch the tele- 
vision or listen to the radio on Tuesday. 
Edwards played tennis, while Ferguson 
went to foe gym. 

“I never watch games on television, 
and I didn’t watch last night,” Ferguson 
said. “Why put yourself through all that 

UBERTADORES cup Argentine 
striker Alberto Acosta scored all four 
goals Tuesday as Chile’s Universidad 
Catolica best Oriente Petrolero of 

Bolivia 4-0 in a Libertadoies Cup first- 
leg match. 

The stocky forward began his de- 
molition of foe Bolivians when be blas- 
ted his team ahead in the 11th minute. 
He scored with headers in the 70th and 
78th minutes and scored his fourth two 
minutes from the end, dribbling past a 
defender before shooting home. 

Da a second-leg match. Gremio- of 

Brazil, champion in 1983 and 1995,*^ 
scraped through against the little-f 
known Paraguayan team Guarany after; 
a penalty shoot-out in which only -three? 
of foe 10 attempts were converted. 

The hard-tackling Brazilians, who-' 
seem - incapable of getting through au 
Libeitadores game with all their playerp 

on foefield,had defender Luciano dis-' 
missed in the 25th minute. ■ -' Vj 

Luciano had come in for Paraguayan- 
international Caralino Rivarola, suspen- 
ded after- being sent off in the first leg- 
which Guarany won 2-1. -d 

Hugo Oceval appeared to have given- - : 
Guarany an unlikely victory when her* 
scored in the' 85th minute to wipe out 
Paulo Nunes’s earlier effort for Giemio. 
but Rodrigo Gral struck for Gremio a-w 
mmufelaterto level the aggregate scorer; - 
Gremio then won 2-1 on penalties. 

Colombia, which has been represent-'* 
ed in the last two finals, was left without*- 
a team -after- Millonarios lost 3-2 on < 
penalties in Uruguay to Penarol. 

Penarol canceled out foe Colombi- 
ans’ 2-0 first-leg win with a 3-1 victory" 
in a bad-tempered game. With no extras 
time or away goals rule used to settle' 
ties, the match then went to penalties. *•»■ 

■ Woman Can’t Play With Men ; * 

A Canadian has been banned frora£ 
playing- soccer on a New Zealand uni- r 
versity team because die is a woman,' 
The Associated Press repeated. 

Megan McKenna was told by FIFA.' 
soccer’s international governing body,': 
that she was not allowed to play on the 
Massey University Staff team. McK- r : 
enna’s team istaking the issue to the NeviL 
ZealandHranan Rights Commission. 

McKenna, a postdoctoral fellow in the * 
university’s geography department; 
played top-level, women’s soccer izC 
Canada add was a member of that coun-^ 
try’s road cyding team. ^ 

“I have a bit of compassion for the 
guy who’s marking me," McKenna said* 
“But I’m nor going to give anything 1 ' 
a way t o them, so why should they?” _ 
FIFA made its ruling following a~ 
letter of protest by Glenda Mills, chair- 
woman of the Marist club, after the~ 
Massey Staff team beat Marist last 
month in a local men’s league matrh. ■>* 
“Having a woman in a team Is t/ 7 
disadvantage to foe opposition," Mills 
said. “Who is going to tackle a woman/ 1 
hard? If a woman is allowed to play in 
men ’abrade* then sorely a raaa^shouldT 
be able to play m. foe WOrifetf S'grader^c 

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tom M 



In Italian Open, Huber Falls to 79 th-Ranked Player 


^ ;r- r - v - 


V, \ ■ , r y }. L 


Boris Becker hitting a volley in his 
match against Nicolas Kiefer. 

Corded Pur Ssnff From Dbpmdia 

ROME — Francesca Lubiani of Italy 
registered the first major upset of foe 
Italian Open on Wednesday, beating the 
fourth-seeded Anke Huber in straight 
sets in the second round. 

Lubiani, a wild-card entry ranked 
79th by the WTA, needed just over an 
hour to get past foe German, 6-2, 6-4, in 
the clay-court event 

Huber — who received a first-round 
bye along with the other top eight 
seeded players — also lost her first 
match last week at Hamburg, another 
event played on foe slow surface. 

Another seeded player fell when 
Patty Schnyder of Switzerland beat 
1 6 th- seeded Sandrine Tested of France, 
7-6 (7-4). 6-0. 

“1 tried to be aggressive, because if 
she gets control it’s difficult to beat 
her," said Lubiani, who defeated Den- 
isa Chladkova of the Czech Republic in 
the first round. “It’s the most important 
win of my career.’’ 

A WTA statement said that Huber 
had suffered a stomachache, headache 
and nausea that came onduringpractice. 
It said she was returning to her home in 

The 1996 Australian Open finalist 
later pulled out of foe doubles tour- 
nament, where she was to partner with 
Monica Seles, citing gastritis. 

Iva Majoli, the fifth seed, struggled in 
her first outing of the week, railing 
behind in each set against an American 
qualifier, Nicole Arendt, before win- 
ning, 7-6 (7-2), 4-6, 6-3. Majoli turned 
the encounter around by persistently 
hitting to Arendt’s weak backhand. 

The Croatian now plays 14th-seeded 
Ruxandra Dragomir of Romania, who 
overcame Els Caflens of Belgium, 3-6, 
6 - 2 , 6 - 0 . 

Elsewhere, 6th-seeded Amanda Co- 
etzer of South Africa got past 15-year- 
old Anna Kournikova of Russia, 6-2, 4- 
6, 6-1. Elena Likhovtseva of Russia, the 
12th seed, made it into the third round 

with a 6-3, 6-3 victoty over Larisa Nei- 
land of Latvia. (AP, Reuters)- 

l Becker Thwarts Hifi Protege 


»tr. ; \ . 

Boris Becker beat his 19-year-oId>- 
protegt£, Nicolas Kiefer, 7-5, 6-2, to 
move into the ’third round of foe $2,3t? 
million German Open on Wednesday^? 
The Associated ness reported from* 
Hamburg. ? 

Becker, a three-time Wimbledon 
champion, beads a new program 
signed to train young talent in an attempt r* 
to secure foe future of German tennis. .• 
Kiefer was the first to be taken oh V 
Becker’s junior team. Winner of the? 
1995 junior titles at foe Australian and, 
U.S. Opens, Kiefer turned pro that year,* 
but has not played a full schedule be-" 
cause he is still in school. He is no vf. 
ranked No. .101 in the world: 5 

The German future also includes 19-1 
year-old Tommy Haas, who upset; 
fourth-seeded Carlos Moya, 6-4, 6-1, im 
the second round. ? 

*'V . - . 


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7"' i- • 


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■ * ? a 
br.-:x**d If 
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- ' 

* ’•••■' in 

• ’H Vat 


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-• j 




Major Leaoue Standings 










New York 


























Kansas CBy 








































4 Vi 














New York 























St. Lords 

















San Francisco 




Los Angeles 




San Diego 





Toes 000 200 BIO-4 9 2 

nwrind 3M 020 * t B 

Pnvflk, Poftanon W, Gundenon (7). X 
Hernandez (8) and LRodrtgMfe HereWsw 
Plunk CSL Assmmadwr (B), M. Jadeon OT 
andS.Alnnar.W— HenMHr.1-0.L- PcnNc. 
2-1 Sv-ML Jackson 01. HRs— Tens J. 
Gonzalez nLCtawtanAJ. Raneo a. 
Konwaiy 000 mo «*W 11 1 

Benton B00 200 «M S 0 

In this Friday’s 
The Car Column 

V •* ; 

; t v 

« . - -• . : „ * 

-•>v >* v 

Porche Boxster 

Rosodo, Pfetnido (0) and M. So won eg 
Gordon, Stoamb (91 and Hosetmon. 
IV— Rosado 3-0. L— Gordon, 1-4 
Sv— PkOmdo BJ. HR— Boston, Carden (A). 
MJnnesoto 010 000 100-2 > 0 

Now York 120 MM OCX— 7 10 0 

Aldred, Tro mM ey (6] and SMnboctB 
D.WeBs and Gtranfl. W-D. Web, 3-1. 
L-Mdrad. 1-4. HRs— New York, OMeffl (51, 
written M, Jeter C9). 

Anabekn 003 100 000-4 0 1 

Baltimore 101 000 fiat— « 9 3 

CHnley, P. Harris (7), D. Mar W) and 
F ub regas . Erfdaon RJAyers (V) and 
Webster. W— Erickson, 5-1. L-C. FMey,o-z 
Sv— R. Myers 02). HRs— Bainmare, C 
Ripken (7), E- Davis (7). 

Ddntt 000 100 OM 6-1 4 6 

Tbraate 000 000 1D0 1— 2 11 ■ 

Ju-THompsoa T. Jones (9). M. Myers CU8. 
Mice! (10) and BJohnson; W.Wffiams. 
Qafatne (10) and Sanlfaga. W— CnMree 2- 

2. L—T. Janes, 1-2. 

OakkMl 000 022 290-4 12 2 

MAmubObc m 620 ISO— J 9 S 

W Adana. A. Smafl (7), Tartar (9) aid 
Moyne, G. WDams 0% McDonald, Rorie 
(6), VBtone (7) and Matheny, Levis (9). 
W— W. Adorns, 2-3. L— Horte, 1-1. 
Sv— ' Taylor (7). 

Seattle 162 ON 0»-7 M 1 

CUcspa 3N NO 100-4 0 0 

DMantKz, Ayda (TV McQsftir (O, Owflon 
W tad D. IMsars AJwret Larine OT.T- CasBo 
Pi sknas (91 aid Kntmfce. W-Ayata 3-1- 
L-T. Cttflfc 2-1 Sv-Oatai ®- 

HRs-OOmm Mod**** C6, B«ta 69- 


Hew York 103 204 010-11 M 3 

CeieradD OK «o iok-T2 14 2 

MSd& Borland (% Mawei (51, 
SwHttHpato(fl.McCttry(6), DoJean (7),s. 
Reed m and JeJted. W-9w9b 4-1. 
L— Borland, 0-1. Sv—S. Reed CD. HRs— How 
York, Otarud (5J. Hundley (10). CotamdOr 
ECYoung U), Burks (7), Bichette M. 
niMiurob ON 120 IN-4 10 0 

FMda ON ON 000-0 4 2 

Cooke. Morel UL LoWfle OT and KendaOi 
/LFemandcz. Stortfcr C9J. P. HetwBo (9) mid 
C Jtfmed. W-Cortce, 3-3- L— A. 

Malta ON 002 010-3 4 0 

St Laois ON ON 23*-4 10 2 

Smote Bleteta ffl). Eotanee (B) md J- 
Lopez: Monts, Pe&cww* fO, Fossas 
jjvtaHww M*. EctaMsOey C9J and Lmqakln. 
W-T. JJWotbevo, 1-1. L-WMM 14-. 
S»— Eckerdey 0L HR-S1. t4«teG«pl M. 
PW tadentta 014 ON NO-f * » 

Hoastne 6N W W 

SddBng, Sprodfei W, Bottffl® (W ond 
Ueuerltiot R-Gorcfc, Una Or R- Springer 
(8), Hodek TO and SuseWa W-Schft1»lJ,4- 

3. L— R. Garefc 2-2. 

ddcage ON ON 200-2 S 1 

Sai Dtego 001 ON 000-1 I 0 

Faster. T. Adams (8), Rojos ffl aid 
ServaiSi Ashby, Boddler IB) and Raheiiy. 
W— Foster, 3-2. L— Ashby, 2-2. Sv— Rojos 

M i mtPSM ON 022 303-10 12 0 

Sai Fraacbca ON 010 002—3 5 1 

P -Martinez, d. Veres ffl). TeBbrd (9) and 
Retctier; Estes, Tavarsz (6), R. Rodriguez 
(7), Roa m, D. Henry TO and WWdns. 
BerryNO ffl). W— P. Martinez, 5-0. L— Estes, 
4 -Z HRs — Montreal Stnmge (2). San 
FrtnKisea Kent (7). 

andean oeo no aoe 01—3 0 0 

Los Aeg ule* IN W 001 eo-2 9 1 

Burba, BeOnda (71, Shaw TO. Brantley (9). 
Morgan (ID, RemBnger (11) and Ofluer 
Asloda Radnsky ffl), OreUart ffl). Guthrie 
(10) and Piazza, w— Brantley, 1-1. 

L-GulfHle, 1-1. Sv— Remtnger 0). 

HRs—Qndmratt E. Perez (1), D. Sanders 
TO- Los Angeles. Mondesi (7). 

Chknga^y (Jordan ll). Assists— Atkntfa 15 
(Laeltner 6), CMcago 22 (Jordan 6). 

KMcngo leads swies 1-0) 

1_A. Lakers 24 31 30 14—111 

Utah 27 32 20 16-103 

1_Aj O'Neal 10-255-10 25. Scab 7-11 7-724 
Horry 7-7 0-0 21 Jtebamta — Los Anoeies O 
(O’Neal 12), Utah 42 (Malone ID. 

Assists— Los Angetes 24 (Von Exen 2), Utah 
25 (Homaoek. Stocfchm 7). 

(Utah leads series 24) 

Opportunities — D-2of51,-A-5 of 3-Goanes: D- Nottingham FOrest 34 

Vernon 7-2 (23 sh0ts-20 saves). A-, COMHUUt 

Shtalenkav 0-2 (49-44). semhnau istleo 

Detroit taad* series 3-0 FtoneogoZ PalmejrtnQ 

World Championship 



Czech Republic S. Canda 3 
ifrnieraa Czech Republic 61 Russia 5.- 
Sweden 4, Canada Ai U-5. X Finland 2. 
France 4 Norway 3 


Universidad CafoHca A Oriente Petrolero 0 
Oremta 2, Guarany 1 
Penarol 3, Mflkwariosl 



Hlrmhhna 14 13 

Hanshln 13 14 

ChunichJ 13 14 

Yokohama 12 15 - 


Yakult & Yamluri 2 

Qvmfchl % Hanahin 1 

Htoddma vs. Yakahana rained out. 



New Jersey 1 1 0-2 

K.Y. Rangers 2 1 0-3 

First Period: New York. Gretzky s 
(RoMftOle) 2. New Ycrt, TUumen 4 
(Messier, Leetch) 3, nj .-McKay 1 (Rohuon, 

Niedernwyert Fenaffso-termieteota NY 

auddlngjj Gflmout, NJ (hotting sttdO? 
Oirnnhers, NJ (blglhSlfcMnB) Stand 
Period: New York. TBduanen S (Gretzky. 
RahBoffle) (pp). 5. N-L-Timren 1 (Etteffl 
Penalties— Daneyka NJ (cns»<necklng); 
Odeiela NJ (holding]; Thomas, NJ 
(uMpertsmanfflat conduct); Beukeboam, NY 
(Mffli-sBcMno); Messieo NY ChoWtno sridO; 
MocUon, NJ Oirtdtog) Third Period: None. 
Penalties — GUmour, NJ (nughhig); 
TBdumab NY (roughing}; Leetch, NY 
dripping); Tftkanen, NY (hooking) Shots an 
goat NJ.- 10-10-15-35. New York 1M3- 
3—26. Power-play Opparianlttas— NJ^Oaf 
4; New Yorkl of 5. Gsales: Nj^Bradew5-3 






06 shoto-23 saves). New York. Better 6-i 














[NewYert leads series 2-1} 







Detroit 1 2 3-5 

Nippon Ham 






Anaheim 2 1 0-3 







Rntf Period; A-Kartyo 7 (Mironov. 







OoiftMeum (pp). 2, A-SetaOM 7 (Kmtya 

wwm ri Bran 

Seibu21, DoWO 
Mppen Horn 7, KHetsu 6 


NBA Playoffs 




Aflaola 26 24 20 27- 97 

Ctaatgo 19 20 31 23-1 « 

A: Blaylock 11-25 4-5 31, 5m)lb 4-13 10-11 
19f C: Jordan 13-2S 7-10 34, Pfwwtll-24 1-3 
29. IWmundi Mtanta 55 (Blaylock 12), 

Dolgnewm (pp). % CMCoztav 4 (Fedanw) 
(pp). Penoffles— Daignflduit am 

(roughing); Konstantinov. Del (Mppinfl); 
Vernon, Dot, mtaor-mbcanduct. served by 
Murphy (Mgh^ffdteg); Udstnora, Dd thlgh- 
sriddnfl); Mironov, Ana (stashing); RrftiOV, 
Det mlnar-rabcondud (roughtag); 
Shanrriian, Det (roocWng); Knriyn, Am 
(charghtg); Danas, Am (roughing).- RuceMn. 
Ana, mtacondurt; MashaB. Ana (rouv^ng) 
Second Period: A-Drury 1 (RythoO & Dv 
Larionov 1 (Kaztav, Konstanflnav) (pp).4> D* 
Brown 2 (Sandstran, Konstanflnav) 
PenaTOes—SWalenlaw, Ana, served by Trebi 
(delay ot game); Trebfl, Ana O nw fcrenop) 
Thhd Period: D- Fedorov 2 (Murphy) 7, D-, 
Kratov 5 (Fedorov, Kon sta ntinov) 
PenaJttes— None. Shots an goat 0- 15-0- 
11—49. A- 11-64-23. Powefutar 

Stamtaigs lor the Ryder Cap to be ptayad 
Sapt 2028 at tMdwnna In Sotog ia ide, 


1. Tom Lehman BS6J29Q; 2. Man OiMeora 
801 J2SbL Tiger WaorHflOOJXIQ; 4. PtM Mick- 

eisan 657.29ft 5. Scott Hoch 64SJ20O; 6. Brad 
Famn 642500s 7. Davis Love III 636JX)ft a 
Steve Jones 579 J2BQ; 9. Mark Breaks 549.75Q; 
la Tommy Tories 549.281* 11. Paul 
StantowSU 47334$ 12. Fred Couples 
390040; 13. David Duval 390000; u. John 
Cook 376JXX* 15. Kemy Retry 371.250 

1. CflHn Montgomerie, Scotland 341,94749 

2. CostanHno Roccu, Italy 2BMG7A7 

3. Miguel Angel Martin. Spain 270.757.10 

4. Thomas B|anv Denmark 2S2.1Q340 

5. Darren Oarka NJretand 23063874 

6. Bernhard Longer. Germany 212430.20 

7. Paul Broodnunti Engkmd 2024)7423 

B. Per-Uhtk Johanssanv Sweden 19M15J0 
9. ion Wooinam. wales 18545&06 
10 Jose Marta OtazoM, Spain 179^21 JB 

11. Lee Westwood, England 17086649 

12. Jean Van doVrtda, Franco 17 4.24ft f t 

13. Petar MttchoU, England 169,96153 
U Sam Tanunce, Scotland 161,299.24 
15. Roger Chapmon, England 130027JX) 

1. Maritna Hingis, SwRzerknid, 4960 pt%- 2. 
Steffi Grot Germany, 4249; 3. Monica Seta& 
UA. 351 >; 4. Jana Navatna Czech Republic 
3313; S, Umtaay DavenpoR, yj. 29T0t 6 . 
Conchlta Martinez, Spain, 2797; 7, Arantxa 
Sanchez, Spain. 2780 O Ante Huber, Ger- 
many 2700 9, tva MafaB, Croalta 2617; 10 
Amanda Coetzer, South Africa 1947; 1 1, Wno 
Splriea, Romania 107% 12, Karina Hdbsu- 
dova Slovakta 1 843; 13, Mary Joe Fernandas 
UJL JTKt 14 Srendd Sdrute NethertaridB 
1399; IS, Mary Ptam France 1537. 

1, Peta Sampras. 5.1 le points z 
Mkhod Chang, U^, 1704; 3, Tlumas 
Mustar. Austria. 1254; 4, Yevgeny Kofet- 
nflcov, Russia 1023; & Rfchard Krapcek, 
Nahertands,2^85;6, Goran I voniseric Croa- 
tia 2,7Kb 7. Mamto Rios, CMa 2JUO- O 
Thomas Enqvtet Sweden, 2.1 76; 9, Cartas 
Moya Spain. 2,154; lO Wayne Ferreira, 
South Africa, 1,935; 11, Ala Corretja Spain, 
1,923; 12, Afliert Costa, Spain. 1.8S5,- 11 Bote 
Bedten Germany, 1.764; 14 Todd Martin. 
U4, 1473; 11 Fed* MatfOa Spain, 1437, 

SEATTLE- —Activated RHP Jaslos Man- 
zanmo from 15-day cSsoMed tin. Optioned* 
RHP Derek Lowe to Tacoma PCJ_ 1 


CWCA60 -Put 3B Kevin Orfc an 15-day. 
dtaabied ttst retraodtve ft April 30. Activated : 
U(P Larry Caston from 15-<toy dbaMed (1st. i 
" aHaHNAn -Destanatad OFRubenStemr* 
for assignment. Announced mar RHP RldcV 
Banes refused assignment to mktora and has 
become a fret agent Activated DF Reggie* 
Sanders from 15-day dbabfed list. Recafied 
SS Pokey Reese from indtanapote aa. ■ ^ 
flomoa -Readied LHP Matt wtibenant 
from Chartottc. IL 

. koustoh -Activated INF RJcky Guflenezr 
ham 15-day dtaabled Bst. Designated LHP*' 

AMn Mormon tar assignment ** 

lxkancelb -Put OF Brett Butter ait IS— 

day dfaa Wed list. Bought asntroa of OF Eric • 

Anthony from Albuquerque, Pa — 

MEW york -Announced LHP Brian Bo- 

ssnssstir— —— — rt 

ST. LOUIS -Put LHP Rk* Honeycutt « 15-7 

day (Sso Wed Qst Bought oortrod of LHP Tam 1 

McGrow from Loutsva*AA. Moved 2BRober- ' 
to Mefla from lSday la 604ay tfisaWed nst 
un mem -Adtwrted OF Stave Haley, 

mm 15-day dtsabied DsL Optioned RHP >' 
Marc Kroon n Las Vegas, PCL J 

v' * ' 

i -T 

ir* .v. 

P 8*2 ? i 

LL‘ . 1 

ill w 



u nm a n p wt ra — m e n u 

West Horn & Newcosfle a 
Wimbledon 2, Lherpooll 

STMraiMQSt Manchester untied 71; Uy- 
erpoal 67) Arunol 65; Newcastle H Aston 
VUta « Chelseo 56. Sheffield Wednesday 56r 
Wtatttiedon 5S Tottenham 44. Derby Ms 

Leeds 45; wept Ham 42, Evcrion 42; Btack- 
bvro 41, Southampton 41, Leicester el; s*i» 
derland 4ft Coventry 3ft Middlesbrough 37; 


BOSTOPi-AsBJgned RHP Pat Mahomes 
ond LHP Veugtwi Eshotman to Pawtucket l(- 
ROCOflOd RHP Kerry Lacy from Pawtucket 
Put LHP Sieve Avery on 15-day cHsaWedfct, 
reteocrive to May 1 Activated RHP Tim 

Wbtefleta frpm ijLdoyasotiied fist 
adveuND-Acllvated OF Marquis Grfs- 
sam tram 15nJay cflsaWed Bst Pg| RHP Pad 
Shwy on me 15-day disabled nst, 
itULWAQKEE— Activated SS Jose Valmtln 

and RHP MkeFeitere front lS^ydUsobM 

»■ INF The Unroeand lSp“ 

n^wl54taj^btad BsL Activated LHP 
Joel AdaiMan from 15-<tay dtsabied HsL 

C Getxge wmiaras 
tanlSday dtofttad Itrt. Optioned C toy 
to Edm onton. PCL Readied RHP 



■sm-Nraned Rkk Plttno osodi. Amounaed r 
radgnaflan of Jon Volk, ifflned manager. Fried { 
KCJone ^ Dermis Johnson end John Kiieste. 

esadros Woyne Lebema. rBreaarol , 
tewHand lean services and David zuana 
dfandoraf pubScutionsand Wotmaaon. 
wwAOCLniu-itaned Lnny Brown coodr. 


WEBiBAY-AMrouncedrotireiMfltof DE 
Sean Jones. 


; j*’’*: xTT'* 1 


KANTFORb— Announced ttaaiwtil movelo 
Norm Caroflna and wfll becofled the Caroftw 

phoenix— B red Dan Hoy.cnoai,ond Paul 
MocLean, assistant coach. 

ttCAA— P ut UCLA's Rflbaa program an 
tiuw yeas probation, ordered sdtooi » forWt 
Bs 1995 NCAA championship and boned them 

from Ms yews petouoMn MOtaanentfcC 
rules vtctoBons enwcemiiig ktsdMIand con- * 
trot flnondoicW end etitiadcondud: 

m*w amcbca Krmjcnc cownaumti 1 An- 
nwneed JocksnnvOe Urdverriiy w« lata tie 
confrnnmeffedlveJulyl, 1P9B. 

Kentucky— A nnounced re signation of 
Wefr Pfltoft men baskeftsdl ooa^ft. 

bhooc isiAKo-rtamed Jim Harridcmori* 
bostefcoB coach ond signud htat to 3-yo* 



-H - :* •»* 


RAGE 21 


Rust, and 

Bra&> -u 


i^sgffig v. 

na<ic omei 

drd afte- ^oR^JW 


Cammed try Ow Sugfm Oispadta 

CHICAGO — Both the 
Chicago Butts and die Atlanta 
Hawks had an excuse for 
playing poorly in the first 
game of their second-round 
' Y series in Chicago, 
the end, the Hawks 
needed more of an excuse than 
the Bulls on Tuesday night. 
Chicago pulled rat a victory, 
100-97, after Atlanta missed a 
chance to tie the score at the 

Pitino Returning to His Roots 

New Celtics’ Coach Faces Major Rebuilding Program 

By Selena Roberts 

New York Times Service 


DmgCqQto/ Agrncr hurr-l’Rw 

Nick Van Exel, the Lakers guard, expressing his dissatisfaction to the officials. 

The Hawks had taken an 

s' they 

I only 

m&- m 

*^C a th e Sr J > 

. bus Rodr£o S lere Srf> 

^ Jl-point lead at (behalf. But in 

* 0R 2-! Jfoe third period Michael., 

ed i a '*hieh has Jordan sc 0 ** 5 * 1 20 nom« *nH- 

obvious push and was 
buzzer when a 3-point shot by whistled for a technical foul. 
Mookie Blaylock hit the front Since Rodman head-butted 
riinandboimced. away. a referee last season, he rehas 

team V 5 ..^. 

arts' 2-0 f ;rw .irr . ^ ilk Si 
ttv j bad-:“«n £ il'!L, Wla ^alu? 



Tte A < * x.-fL:c7 ll** * 

‘ttv ** *°^k 


±^:* 9 £; l rT*< 

M„ V-- ■ :-y 

A.'4t a -. . 

Jordan scored 20 points and 
the Bulls took the lead. Except 
fora few moments, they kept it 
fee rest of the way. 

The Bulls had had a six-day 
layoff since their last game, a 
victory last Wednesday o vet 
the Washington Bullets to end 
their first-round playoff series. 
The Hawks had just one day to 
prepare fix fee Bulls after a 
rugged series ag ainst fee Pis- 
tons feat ended Sunday. So fee 
Bulls were either rested, or 
rusty. The Hawks either fa- 
tigued or in ihyfem. 

At halftime, it appeared to 
be advantage, Atlanta, wife 
die Hawks leading by 50-39. 

With fee game only two 
mhuites old, H eimis Rodman 
gave f3iri Brian T-aetf iwr an 

ceived almost no slack from 
fee officials. And since Rod- 
man is also a physical pro- 
vocateur, fee referees believe 
they must control Rodman to 
maintain control of the game. 

The Hawks led by 16 early 
in fee third period. But six 
minutes into the quarter, with 
the Bulls on a feverish 
comeback, Rodman and 
Dikembe Mmorabo fell into a 
discussion of some nature un- 
der the Hawks’ basket 
Mutombo pointed a warning 
finger at Rodman, who 
slapped away fee long digit 
from near his nose. The 
nearby official called Rod- 
man for another technical 
foul, meaning ejection. 

He left wife seven re- 
bounds, four in that period 
alone, and seemed to be get- 
ting his legs again as fee lead- 

ing rebounder in the league. 
How would his departure af- 
fect his team? 

The Bulls, having started a 
run wife Rodman, continued 
it without him. Chicago had 
cut fee Hawks* lead wife three 
3-pointers by Scottie Pippen, 
a couple of jump shots by Luc 
Loogley and a pair of steals 
and afew hoops by Jordan. At 
2:10, Jordan was fouled and 
hit both free throws, tying the 
score at 69-69. It appeared fee 
rust was flaking off, espe- 
cially from Jordan. 

Jordan and Pippen com- 
bined for 63 of (heir team's 
points, Jordan getting 34 and 
Pippen 29. Blaylock — who 
hit five 3-pointers — led the 
Hawks with 31. Blaylock, the 
point guard, also led his team 
in rebounds, wife 12. 

“We were lucky to come 
away wife fee win.” said Phil 
Jackson, fee Bulls’ coach. 

•tamo3,Lakmioi In Salt 
Lake City , Antoine Carr made 

two free throws with 2.1 
seconds left to put Utah 

Then, as Nick Van Exel, 
the Los Angeles guard, pre- 
fix a 3-point shot just 
tore the buzzer, be was 
sandwiched by John Stockton 
and Karl Malone, and fee ball 
flew out of his bands. 

Van Exel screamed at fee 
official. Jack Nies, for the 
foul that was not called. TV 
replays showed Van Exel had 
been slapped on the arm by 
Malone. Several Lakers ar- 
gued. Shaquiile O'Neal, who 
had contributed 25 points and 
12 rebounds but missed 15 of 
25 shots, started to follow the 
official off fee floor. 

It was a crushing ending 
for fee Lakers on a night 
when Robert Horry scored 21 
points and made seven of sev- 
en 3-pointers to set an NBA 
playoff record for most shots 
from behind fee arc without a 
miss. ( NYT.LAX ) 

EW YORK — There is a search- 
and-rescue part of Rick Pitino, a 
slice of his fluorescent person- 
ality that seems attracted to crestfallen 
programs like tourists are drawn to 
Greek ruins. 

It seems intriguing for him to view the 
shambles of a great, heroic past, and even 
more exciting to put the pieces of it back 
together again. Pitino has always been 
this way, as evidenced by his repairs at 
Providence College, fee New York 
Knicks and fee University of Kentucky. 

His work is not done. Pitino has taken 
the challenge of renoring the shine to 
the Boston Celtics' famed parquet floor, 
accepting a 10-year, $70 miUion deal 
that makes him the highest-paid coach 
in sports. 

Pitino said Tuesday that Boston 
seemed fee perfect place “to spend the 
rest of my career.” He went to the 
University of Massachusetts, and first 
coached at Boston University. So be 
knows Boston well, each brick street, 
each quaint restaurant. 

Somewhere, Red Auerbach is light- 
ing up a cigar. This is the kind of coach 
fee Celtics believe will lift a suffering 
franchise, eventually adding to the ban- 
ner collection that flaps in the Fleet 
Center rafters and giving the arena that 
lived-in look of fee old Boston Garden. 

Pitino has faith he can do this job, too. 
He did it in Kentucky. 

“So why leave?’' Pitino asked. “I 
decided to come to Kentucky for a spe- 
cific reason: To try* and build a program 
in shambles into a championship-level 
team. We’ve accomplished that. If I 
didn’t take oq this new opportunity. I 
would look back.” 

It took a week to come to this epi- 
phany. Pitino said his anguished 
thought process — which crystallized 
into an answer Monday night — had 
nothing to do wife the money. But the 

S70 million Pitino will receive far sur- 
passes the 10-year contract the Miami 
Heat gave Pal Riley two years ago. 

Thai deal, worth about $40 million, 
included $15 million over five years for 
coaching and 10 percent of fee team. 

Pitino said be was not given any own- 
ership of the Celtics. Still, his deal over- 
shadows fee S2S million, five-year deal 
that Lany Brown signed to coach fee 
Philadelphia 76ers on Monday. In ad- 
dition. Pitino’ s average annual salary of 
S7 million is far higher than those of the 
highest-paid coaches in other sports. 

Pitino said he wanted to work with 
Larry Bird in the Celtics' front office, but 
understood that the Indiana Pacers had 
offered fee Celtic legend a big salary to 
come back to his home stale and coach. 

[The Pacers confirmed Wednesday 
feat they had offered Larry Bird their 
head coaching job, but did not say 
whether Bird had accepted. The As- 
sociated Press reported from Boston.] 

[The Eagle-Tnbune of Lawrence, In- 
diana. winch fed not cite its source, said 
Bird would sign a contract wife Indiana 
on Friday worth about $4 million a 

Auerbach will remain the Celtics' 
it, and it is unclear what title 

tino will have. Regardless. Pitino will 
have great control. Pitino said he would 
discuss the details of his Celtics’ po- 
sition further at a news conference in 
Boston on Thursday. 


UT FOR one last day, he was still 
the Kentucky coach, with a 218- 
50 record, and three Final Four 
appearances. He was still fee leader of 
the Wildcats that won a national cham- 
pionship in 1996. and fee architect of a 
scrappy team that lost the title game one 
month ago. 

For one last time, he sat before a 
microphone in a room at Memorial 
Coliseum. He was wearing a Wildcat- 
blue dress shirt wife a white collar. 
Behind him, there was a blue curtain. 

Somehow, this hyper figure wife fee 
slicked -back hair and New York accent 
had blended into this world just fine. 
Who can follow this act? The uni- 
versity’s athletic director, CJM. Newton, 
will formulate a group of candidates. 

Pitino was adored in the state of Ken- 
tucky. He could not go to a McDonald's 
restaurant without creating a jumbo- 
sized fuss, nor dart into a gas station 
without getting stopped at fee pump. In 
a state without a pro sports identity. 
Pitino was the superstar. 

Yet he and his wife, Joanne, seemed 
bound to return East Many offers — at 
least 13 in eight years, including one 
worth $25 million from the New Jersey 
Nets last year — went by until this one. 

Pitino grew up as a young adult wife 
the Celtic tradition, and followed the 
players who turned into legends. But 
after some tragic turns, and wrong 
moves, the magic has faded in Boston. 
This is Pitino ’s great restoration project. 
He will not start completely from scratch. 
The Celtics — just 15-67 this year — will 
have an excellent shot at landing the No. 
1 draft pick and another lottery selection, 
thanks to a deal wife Dallas. 

“I believe it will be turned around,” 
Pitinosaid. “It'll take a lot of hard work 
but it won’t be any different than Ken- 
tucky, die Knicks or Providence. Same 

But this is not the same National 
Basketball Association in which be 
coached 10 years ago. Pitino said he 
recognized that the players were now feet, 
show in fee league, and that he would 
have to tweak his style accordingly. 

At the same time, fee players will 
know — if only by glancing at his salary 
— that be is in charge of raising Boston 
from the ruins. 

“ Bob Cousy made a statement on the 
air, saying he didn’t think he would see 
another Celtic championship in his life- 
time,” Pitino said. “I do believe, from 
the bottom of my heart. Bob Cousy will 
see another championship.” 


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Hitters’ Heaven in Colorado 


Mets’ Barrage Falls a RunShortdf the Rockies’ 

By Buster Olney 

New York Times Service 

but in creating gaps and 
for singles ■ and 
les. To compensate fin- 
fee thin air, architects de- 
signed the park with huge di- 
mensions. To protect them- 
selves as much as possible 
against extra-base hits, out- 
fielders must play deeper. 

DENVER — Cooes Field 
is baseball's shrine to offen- 
sive baseball. 

. On Tuesday, the New York 
Mets and fee Colorado Rock- 
ies hitters honored their gods. 

Tbeir. - .sacrificial . offering:. lv: uSo hits fell repeatedly just Pittsburgh 
pnebegu fonkerrhafleng, _side.-i.-r in 'front of the outfielders. The. .eight-gam 

“A lot of times a gains t 
these guys I get a little extra 
adrenaline.” be said. “When 
I see that uniform, I get a 
tendency to want to beat 

Pirates 4, Marten O Steve 
Cooke combined with two re- 
lievers on a four-hitter as _ 
ended Florida's 
-game, home winning 


ked Plai 

and hard-throwers 
done in by the un- 
air and massive ex- 
panse of Coots Feld. 

The Mets compiled 20 hits 
— andlost to fee Rockies, 12- 
11, though they came within 
inches of taking fee leadin fee 
top of the ninth inning. 

Mets had 20 hits, and 16 were streak, 
angles. ~_‘_The win was Pittsburgh's 

In other games. The As- first over Florida’s manager. 

Ip! Ripken Grand Slam Halts Angels 

.“hi this park, you never -fecBraves in nine 

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sociated Press reported: 

MM 4, Bnm 3 St 

Louis needed someone - to 
make a big play if they were 
ever going to beat Atlanta 
again. Ron Gant obliged. 

His two-run homer- in fee 
eighth inning gave Sl Louis 
its first victoiy at home over 

ktiow,” said fee Mets catcher,; 
Todd Hundley, who had two 
homers. “It’s like a college 
pnM, using aluminum bats.” 

The primary effect of 
Coots Reid an Tuesday was 
not in producing home runs. 

•Released by the uraxes- in 
spring training 1994 after he 
broke his leg in die winter, 
Gant had four homers ag a ins t 
the Braves in 1996 and two 
rpore in fee National League 
Championship Series. 

Jim Leyland, who managed 
the Pirates for 11 years before 
accepting the Marlins job on 
Oct. 4. 

PMCmb^ Astras 1 1n Hous- 
ton, Curt Schilling scattered 
seven hits in seven strong in- 
nings as Philadelphia stopped 
a three-game losing streak. 

: . -.Schilling struck out seven, 
•increasing bis league-leading 
strikeout total to 56, and 
walked two. 

Ote 2 , Farfms 1 In San 

Diego, Dave Hansen hit a 
two-run single in the seventh, 
and Kevin Foster won for the 


Lany Walker slapping a single In the fourth Inning. 

first time in seven starts 
against San Diego. Chicago’s 
second victory in six games 
handed fee Padres their 13th 
loss in 16 games. 

Expos -to, (Hants 3 In San 
Francisco, Pedro Martinez 
pitched seven innings of two- 
hit ball and matched his sea- 
son-high wife 10 strikeouts. 

Martinez (5-0) didn’tallow 
a hit until the fifth inning. He 
gave up just his second earned 
run in 36V4 innings this sea- 
son, and his major league- 

leading earned run average 
rose slightly to 0.50, from 

Rsds 3, Podgs rs 2; 11 ln> 

nines Eduardo Perez’s pinch- 
hit homer with one out in the 
life lifted Cinrinnali to vic- 
tory in Los Angeles. It was 
just die 10th Reds' victory 
this season. 

The Reds reliever Mike 
Remlinger worked out of a 
one-out, bases-loaded jam in 
tiie bottom of the life for his 
first save. 

The Associated Press 

Cal Ripken hit his sixth career grand slam 
as the Baltimore Orioles beat fee Anaheim 
Angels, 8-4. 

Baltimore rallied Tuesday from a 4-2 def- 
icit at home with a six-run sixth, capped by 
Ripken’s homer. 

“I’ve never been that type of person, like 
Eddie Murray, who would say. Til take the 
team on my back,’ ” Ripken said. “You only 
get four at-bats a game. ’ 

Eric Davis went 4-for-4 with a homer and 
Scott Erickson (5-1) . allowed eight 

hits in eight-plus innings, improving to 13-2 
against the Angels. 

The Orioles were 24-25 against left-handed 
starters last season and 7-3 this season. Davis 
is batting .388 with 19 runs batted in and 
Ripken is at .316 wife a team-high 28 RBIs. 

Chuck Finley (0-2) gave up seven runs — 
six earned — and eight hits in 6% innings. 
Randy Myers got three outs for his 12th save. 

Afterward, there was an altercation in fee 
Angels’ shower room, but reporters were 
ushered away before it became apparent who 
was involved. “Heat of die battle, feat’s a 
good way to put it," said Terry Collins, the 
Anaheim manager. “Frustration in a game 
that was well-pitched. Guys are frustrated.” 

Marin— ■ 7, White Sox 6 Rich Amaral hit a 
go-ahead, two-run single off Tony Castillo in a 

four-run eighth as visiting Seattle rallied from • 
a 6-3 deficit. Albert Belle hit a two-run homer ! 
in the first, and Ron Karkovice hit a solo shot ; 
leading off the fourth for the White Sox. 

Bobby Ayala pitched one inning of hitless 1 
relief, and Norm Charlton got three outs for ; 
his eighih save in 10 chances, ending the game ! 
by throwing a called third strikepast Belle. | 
liul— 5, Bung— 4 Julio Banco hit a ; 
three-run homer in the first inning at Jacobs '• 
Reid, and Orel Hershiser allowed two runs ! 
and seven hits in seven innings, getting 15 • 
outs on ground balls. ! 

,. Royals 7, Rod sox 2 Jose Offerman and Jay ; 
Bell singled in runs in a three-run fifth inning as t 
K ansas City won for the 15th time in its last 19 
games at Fenway Park. Kansas City, which led ; 
3-2 before a four-iun ninth, moved over 300 > 
for only the second time this season and sent ! 
fee Red Sox to their fourth consecutive loss. | 
Yankees 7, Twins 2 At Yankee Stadium, i 
David Wells scattered eight hits and Paul J 
O’Neill, Derek Jeter and Mark Whiten all ; 
homened for New Yoric. > 

Blue jays 2, Tigers 1 Joe Carter drew abases- [ 
loadedwalk from reliever Dan Miceli wife two j 
outs in fee 10th in Toronto. Robert Perez went i 
3-for-3 as the Blue Jays won their fourth [ 
straight. | 

Athletics 6, Brewers s Geronimo Benoa's , 
two-run single in the seventh inning broke a 4- { 
4 tie in Milwaukee. Billy Taylor allowed the > 
tying run to get to second in the ninth, but held ! 
on for his seventh save. • 







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PAGE 22 



Give Mom a Break 

us sing every mother’s 
praises — even the ones who 
gave birth to people we don’t 

What makes mothers dif- 
ferent from other people is 
that no one truly understands 
them. In most 
situations, ex- 
cept for this 
holiday, they 
are taken for 

It was this 
way with Mer- 
edith Grown- 
daU. mother of 

As Meredith told me die 
story — she decided to go to 
bed at 9 o'clock at night 
There was no particular rea- 
son for it except that she 
wanted to read a book. 

At 9:05 her daughter Soph- 
ie came up and said, “What’s 
wrong Mom?” 

“Nothing dear. I just de- 
cided to go to bed early and 

“Do you want me to call 
the doctor?” Sophie asked. 

“No, I don’t want you to 
call the doctor. Just shut the 
door and let me read.” 

Ten minutes late her 
second daughter, Connie, 
came up with a tray. 

The Royals Are a Hit 

Agence France-Presse 

LONDON — The official 
British royal Web site has 
been “hit” 12.5 million times 
in its first two months on the 
Internet, Buckingham Palace 
announced, which compares 
to 2.5 million hits a month on 
The Spice Girls* site. The 
royal site contains history, 
profiles and speeches, and is 
illustrated by pictures from 
the royal collection. 

“I made you some split pea 

Meredith said, ‘T don’t 
really feel like soup right 

“You always make pea 
soup for us when we don’t 
feel well. It’s only fair that we 
make it for you.” 

Meredith said thank you 
and went back to her book. 

Connie said, “Mom, do 
you want to talk about it?” 

“Talk about what?” 

“Are you and Dad having 

“No more than usual. Why 
do you ask?" 

“Parents never want their 
children to know what's go- 
ing on. If you would just talk 
about it, it would ease the 

"Would you mind if I just 
read my book?” 

Connie left The next vis- 
itor was Walter, her husband. 
He said, “I’ve got a great 
idea. Let’s go to Bermuda.” 

“Why do we want to go to 

“The change will do us 
both good. You'll start feel- 
ing better as soon as you walk 
on the beach. It will be as if 
today never happened.” 

“Walter, I don’t want to go 
anywhere. I just want to go to 
bed early and read. It’s that 

Walter persisted. “No- 
body except children go to 
bed at 9 o’clock at night 
Maybe you ought to join a 
health club.” 

Meredith said, “Walter, 
you see that lamp over there? 
If you don’t shut up I’ll throw 
it at you.” 

Their two daughters opened 
the bedroom door softly and 
one said to their father, “Is she 
going to be all right Dad?” 

Walter said, “I think so. 
Maybe she'll feel differently 
after a good night's sleep.” 

Playing Politics With Classical Music in Turkey 

By Stephen Kinzer 

New York Times Service 

A NKARA — When the revered 
Turkish maestro Hikmet Sim- 
sek lifted his baton to conduct 
Ahmed Adrian Saygun's oratorio 
“Yunus Ernie’ ' at the Turkish State 
Opera House here recently, he was 
making a political as well as a mu- i 
sical statement. 

Light liquid violin passages 
swelled in symphonic crescendos; 
the chorus sang at times softly and 
then with vigorous passion, and del- 
icate, complex flute solos intro- 
duced the various movements. But 
when die spectators applauded, 
many were cheering more than a 
fine performance. 

“Yunus Emre” is often con- 
sidered the finest piece of music 
composed in Turkey since the 
founding of die republic 74 years 
ago. Although it is more than half a 
century old, it has suddenly become 
timely, because its message is one 
of religious tolerance and nonsec- 

Classical music, often thought of 
as quintessentially apolitical, has 
taken on an unusual role here. As 
this performance showed, it has be- jijggwSjs 
come a symbol for those who want 
Turkey to m aintain its identifica- 
tion with the West rather than re- 
orient itself toward a less pluralistic 
and more religiously based way of 

Turkey is immersed in a pro- 
found social and political conflict 
between secularists, who have been Hikmet Simsek coot 
in power since the republic was 
founded, and an insurgent Islamic-based movement that 
seeks to increase the role of religion in public life. 

The country’s leading Islamist politician, Necmettin 
Erbakan, has been die prime minister since last June, and 
secularists fear that he is leading the country toward a form 
of fundamentalism. 

The Ankara opera had not planned to perform “Yunus 
Emre” this year, but as threats to secularism seemed to grow, 
it hastily added die work to the repertory. It is being 
performed again this week and possibly several times next 
season. “The artists wanted to do it,” said one raemberof the 
orchestra. “It has a great message for this time.” 

The oratorio is based on the writings of Yunus Emre, a 
mystic poet who lived in Anatolia from about 1238 to about 
1320. He was a member of the Sufi order of Muslims, which 

5um IL VuMtr far 11k New W Ton 

Hikmet Simsek conducting a performance of Ahmed Adrian Saygun’s “Yunus Emre” oratorio, 

based movement that scorns religious hierarchy and stresses direct human contact larist. Later Demire], 
in public life. with the infinite. thank the musicians a 

politician, Necmettin Emre’s poems assert that divinity is to be found within “This magnificent 
:r since last June, and each individual’s soul rather than in temples. Turkey,” Demirei to. 

:ountry toward a form “We see all of mankind as one,” Emre wrote, warning chanting, “Turkey is 
that “whoever does not look with the same eye upon all tenuilhKXK ev 

d to perform “ Yunus nations is a rebel against truth." In what could be taken as a YunusEm re, refle ct 

ansm seemedto grow, modem fundamentalism, he maintained that cultural connootac 

3 >ert0ry - “ h™! “God-s mith is lost on men of orthodoxy.” One of his 

bly several times next frame performance of 1 

?aid one member of the 5 n “ usco “P e Huseyin Akbulin, the i 

•this time” God's truth is an ocean, and dogma is a ship. BaBeL “We are in a we 

igs of Yunus Emre, a Most P^OP 1 * don’* leave the shi P TO P lun Se into that sea. W2 y i we are the botdei 
m about 1238 to about Six hundred years after Emre ’s death, his poems attracted culture go hand in Irani 
Jer of Muslims, which the attention of Saygtm, the conductor who was to become a lose one, we are afraid 

titan of modem Turkish music. Say- 
°un had traveled across Anatolia 
with the Hungarian composer Bela 
Barrofc in search of folk melodies , 
and was fascinated by the survival 
of Emre’s poetry.' In 1 946 he com- 
pleted the oratorio, which has 
proved the most enduring of his 
more than 90 works. 

“Yunus Einre” had its American 
premiere at die United Nations in 
1958, with Leopold Stokowski con- 
ducting the Symphony of the Air 
and a chorus of 200. Since then it has 
been performed in many countries. 

Saygun died in 199 Land the role 
of preserving the oratorio has 
passed to Simsek, 73, arguably Tur- 
key’s most prominent conductor. 
By his own estimate, he has con- 
ducted the work more than 100 
times here and abroad. He has also 
made a recording of it, which has 
been released cm compact disc by 
the Ankara State Opera and Ballet. 

ITie performance of “Yunus 
Emre” was not the first cultural 
event in Ankara this season that 
carried not-so-subde political over- 
tones. Several weeks ago an en- 
semble of 450 instrumentalists and 
singers mounted a performance of 
Beethoven's Ninth Symphony in a 
sports. arena outside the city. Sec- 
ularists used it as an occasion to 
show their support for Western mu- 
sic and, by extension. Western val- 
ues. The crowd loudly booed the 
minister of culture, Ismail Kahra- 
man, who is perceived as unfriendly 
u^««f«'nKN«.\i>rfiTm»i toward Western culture, and 
aiis Emre” oratorio, cheered wildly for President Su- 
leyman Demirei, a militant secu- 
larist Later Demirei. visibly moved, came to the stage to 
thank the musicians and the audience. 

‘ ‘This magnificent picture is the picture of contemporary 
Turkey.” Demirei told the crowd. It responded by loudly 
chanting, “Turkey is secular and will remain so.” 

That tumultuous evening, followed by the performance of 
“Yunus Emre," reflected the role classical muse has assumed in 
the cultural confrontation now sweeping across Turkey. “No 
other Islamic country in the world has a state-sponsored network 
for the performance of Western classical music and dance,” said 
Huseyin Akbulur, the director of die Ankara State Opera and 
BaBeL “We are in away the border of this tradition. In the same 
way, we are die bolder of democracy. For us. Western art and 
culture go hand in hand with a pluralist political system. If we 
lose one, we are afraid that we might lose the other.” 


* \ 

■ •» swv ' 


O RGANIZERS of the Cannes International 
Film Festival said Wednesday that “The De- 
licious Taste of Cherries,” a film by the I ranian 
director Abbas Kiarostami, will be presented in 
competition for the festival's top prize, the Palme 
d’Or after all. Kiarostami was expected to arrive in 
Cannes before the weekend. Spiking on French 
radio two weeks ago, Kiarostami said an Iranian 
deputy culture minister had told him that his latest 
film would not be allowed at Cannes but should 
first be shown at the annual Tehran festival in 
February to mark die victory of die Islamic rev- 
olution in Iran. . . . French film stars Jean-Pa ul 
Belmondo and Alain Delon are indignant that they 
were not invited to the Cannes festival's 50th 
anniversary edition. “The festival is turning 50, 
Jean -Paul and my careers are 40,’ ’ Delon said in a 
joint interview with Belmondo in Paris Match 
magazine. “It is a denial of who we are and of what 
we have represented over die last four decades,” 
Delon, 61 , said. “There is something wrong about 
celebrating the history of world cinema and of the 
French cinema and inviting Pamela Anderson, for 
example, but not Jean-Paul Belmondo,” he ad- 

third job as editor of a literary magazine. Published 
this month, the magazine is called News From the 
Republic of Letters, and the co-editor is Bellow’s old 
friend and collaborator. Keith Botsford. The first 
issue has an excerpt from an unpublished Bellow 
novel called “View From Intensive Care” and 
excerpts from the works of other authors, including 
Emili o Lascano Tegui. an Argentine making his 
first appearance in English, the Israeli writer John 
Auerbach and the late Italian writer Arturo Loria. 
The Republic of Letters also plans to publish books, 
beginning with “The Collected Stories of Philip 
O’Connor” next winter. Bellow is unsure when the 
magazine’s next issue will appear. ‘ ‘We're hoping to 
get a quarterly out of it,” he said. 

Music by John Lennon, Paul McCartney and 
Frank Zappa will be featured alongside Brahms 
and Chopin in this summer's Promenade conceits 
in London. Traditionally dominated by classical 
music, the Proms in July will include the King’s 
Singers performing new arrangements of four 
songs that were written by Lennon and McCartney 
during The Beatles’ heyday. 

The French actress Isabelle Adjani, who is president of the jury for the Cannes 
film festival’s 50th anniversary, attending a news conference Wednesday. 

At the age of 81, Saul Bellow is embarking on his A concert in Northern Ireland starring Dame 

Kiri Te Kanawa and attended by Prince Charles 
went ahead despite a security alert, the police said. 
A van was stopped by the police near the new 
Waterfront Hall in Belfast and the driver jumped 
out and shouted a bomb warning. Streets were 
cleared by the police and rise army, and the vehicle 
was blown up by bomb disposal experts, after a 
short interval. The police later said the alert was a 
hoax, but a deliberate attempt todisrupt a concert 
a tte n ded by 2,500. including Irish dignitaries! \ 

“How I Learned to Drive," Paula Vogel's play 
about the seduction of a young girl by her uncle, 
was voted the best new play of the 1996-97 theater 
season by the New York Drqpaa Critics'Crrcle. The 
group also chose "Violet,” with music by Jeanlne 
Tesori and book and lyrics by Brian Crawley, as 
best musical and “Skylight," by David Hare, as 
best foreign play. 

Rock star David Bowie will give a concert July 1 
in Zagreb's Ma ximir S tadium in the heart of the 
Croatian capital, the daily Vecemji List repeated. 
Bowie's last concert in Croatia was in 1990, a year 
before the outbreak of hostilities between the Serbs' 
and Croats. 

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