reuters_news_10000.txt

ASIAN EXPORTERS FEAR DAMAGE FROM U.S.-JAPAN RIFT
  Mounting trade friction between the
  U.S. And Japan has raised fears among many of Asia's exporting
  nations that the row could inflict far-reaching economic
  damage, businessmen and officials said.
      They told Reuter correspondents in Asian capitals a U.S.
  Move against Japan might boost protectionist sentiment in the
  U.S. And lead to curbs on American imports of their products.
      But some exporters said that while the conflict would hurt
  them in the long-run, in the short-term Tokyo's loss might be
  their gain.
      The U.S. Has said it will impose 300 mln dlrs of tariffs on
  imports of Japanese electronics goods on April 17, in
  retaliation for Japan's alleged failure to stick to a pact not
  to sell semiconductors on world markets at below cost.
      Unofficial Japanese estimates put the impact of the tariffs
  at 10 billion dlrs and spokesmen for major electronics firms
  said they would virtually halt exports of products hit by the
  new taxes.
      "We wouldn't be able to do business," said a spokesman for
  leading Japanese electronics firm Matsushita Electric
  Industrial Co Ltd <MC.T>.
      "If the tariffs remain in place for any length of time
  beyond a few months it will mean the complete erosion of
  exports (of goods subject to tariffs) to the U.S.," said Tom
  Murtha, a stock analyst at the Tokyo office of broker <James
  Capel and Co>.
      In Taiwan, businessmen and officials are also worried.
      "We are aware of the seriousness of the U.S. Threat against
  Japan because it serves as a warning to us," said a senior
  Taiwanese trade official who asked not to be named.
      Taiwan had a trade trade surplus of 15.6 billion dlrs last
  year, 95 pct of it with the U.S.
      The surplus helped swell Taiwan's foreign exchange reserves
  to 53 billion dlrs, among the world's largest.
      "We must quickly open our markets, remove trade barriers and
  cut import tariffs to allow imports of U.S. Products, if we
  want to defuse problems from possible U.S. Retaliation," said
  Paul Sheen, chairman of textile exporters <Taiwan Safe Group>.
      A senior official of South Korea's trade promotion
  association said the trade dispute between the U.S. And Japan
  might also lead to pressure on South Korea, whose chief exports
  are similar to those of Japan.
      Last year South Korea had a trade surplus of 7.1 billion
  dlrs with the U.S., Up from 4.9 billion dlrs in 1985.
      In Malaysia, trade officers and businessmen said tough
  curbs against Japan might allow hard-hit producers of
  semiconductors in third countries to expand their sales to the
  U.S.
      In Hong Kong, where newspapers have alleged Japan has been
  selling below-cost semiconductors, some electronics
  manufacturers share that view. But other businessmen said such
  a short-term commercial advantage would be outweighed by
  further U.S. Pressure to block imports.
      "That is a very short-term view," said Lawrence Mills,
  director-general of the Federation of Hong Kong Industry.
      "If the whole purpose is to prevent imports, one day it will
  be extended to other sources. Much more serious for Hong Kong
  is the disadvantage of action restraining trade," he said.
      The U.S. Last year was Hong Kong's biggest export market,
  accounting for over 30 pct of domestically produced exports.
      The Australian government is awaiting the outcome of trade
  talks between the U.S. And Japan with interest and concern,
  Industry Minister John Button said in Canberra last Friday.
      "This kind of deterioration in trade relations between two
  countries which are major trading partners of ours is a very
  serious matter," Button said.
      He said Australia's concerns centred on coal and beef,
  Australia's two largest exports to Japan and also significant
  U.S. Exports to that country.
      Meanwhile U.S.-Japanese diplomatic manoeuvres to solve the
  trade stand-off continue.
      Japan's ruling Liberal Democratic Party yesterday outlined
  a package of economic measures to boost the Japanese economy.
      The measures proposed include a large supplementary budget
  and record public works spending in the first half of the
  financial year.
      They also call for stepped-up spending as an emergency
  measure to stimulate the economy despite Prime Minister
  Yasuhiro Nakasone's avowed fiscal reform program.
      Deputy U.S. Trade Representative Michael Smith and Makoto
  Kuroda, Japan's deputy minister of International Trade and
  Industry (MITI), are due to meet in Washington this week in an
  effort to end the dispute.
  

CHINA DAILY SAYS VERMIN EAT 7-12 PCT GRAIN STOCKS
  A survey of 19 provinces and seven cities
  showed vermin consume between seven and 12 pct of China's grain
  stocks, the China Daily said.
      It also said that each year 1.575 mln tonnes, or 25 pct, of
  China's fruit output are left to rot, and 2.1 mln tonnes, or up
  to 30 pct, of its vegetables. The paper blamed the waste on
  inadequate storage and bad preservation methods.
      It said the government had launched a national programme to
  reduce waste, calling for improved technology in storage and
  preservation, and greater production of additives. The paper
  gave no further details.
  

JAPAN TO REVISE LONG-TERM ENERGY DEMAND DOWNWARDS
  The Ministry of International Trade and
  Industry (MITI) will revise its long-term energy supply/demand
  outlook by August to meet a forecast downtrend in Japanese
  energy demand, ministry officials said.
      MITI is expected to lower the projection for primary energy
  supplies in the year 2000 to 550 mln kilolitres (kl) from 600
  mln, they said.
      The decision follows the emergence of structural changes in
  Japanese industry following the rise in the value of the yen
  and a decline in domestic electric power demand.
      MITI is planning to work out a revised energy supply/demand
  outlook through deliberations of committee meetings of the
  Agency of Natural Resources and Energy, the officials said.
      They said MITI will also review the breakdown of energy
  supply sources, including oil, nuclear, coal and natural gas.
      Nuclear energy provided the bulk of Japan's electric power
  in the fiscal year ended March 31, supplying an estimated 27
  pct on a kilowatt/hour basis, followed by oil (23 pct) and
  liquefied natural gas (21 pct), they noted.
  

THAI TRADE DEFICIT WIDENS IN FIRST QUARTER
  Thailand's trade deficit widened to 4.5
  billion baht in the first quarter of 1987 from 2.1 billion a
  year ago, the Business Economics Department said.
      It said Janunary/March imports rose to 65.1 billion baht
  from 58.7 billion. Thailand's improved business climate this
  year resulted in a 27 pct increase in imports of raw materials
  and semi-finished products.
      The country's oil import bill, however, fell 23 pct in the
  first quarter due to lower oil prices.
      The department said first quarter exports expanded to 60.6
  billion baht from 56.6 billion.
      Export growth was smaller than expected due to lower
  earnings from many key commodities including rice whose
  earnings declined 18 pct, maize 66 pct, sugar 45 pct, tin 26
  pct and canned pineapples seven pct.
      Products registering high export growth were jewellery up
  64 pct, clothing 57 pct and rubber 35 pct.
  

INDONESIA SEES CPO PRICE RISING SHARPLY
  Indonesia expects crude palm oil (CPO)
  prices to rise sharply to between 450 and 550 dlrs a tonne FOB
  sometime this year because of better European demand and a fall
  in Malaysian output, Hasrul Harahap, junior minister for tree
  crops, told Indonesian reporters.
      Prices of Malaysian and Sumatran CPO are now around 332
  dlrs a tonne CIF for delivery in Rotterdam, traders said.
      Harahap said Indonesia would maintain its exports, despite
  making recent palm oil purchases from Malaysia, so that it
  could possibly increase its international market share.
      Indonesia, the world's second largest producer of palm oil
  after Malaysia, has been forced to import palm oil to ensure
  supplies during the Moslem fasting month of Ramadan.
      Harahap said it was better to import to cover a temporary
  shortage than to lose export markets.
      Indonesian exports of CPO in calendar 1986 were 530,500
  tonnes, against 468,500 in 1985, according to central bank
  figures.
  

AUSTRALIAN FOREIGN SHIP BAN ENDS BUT NSW PORTS HIT
  Tug crews in New South Wales (NSW),
  Victoria and Western Australia yesterday lifted their ban on
  foreign-flag ships carrying containers but NSW ports are still
  being disrupted by a separate dispute, shipping sources said.
      The ban, imposed a week ago over a pay claim, had prevented
  the movement in or out of port of nearly 20 vessels, they said.
      The pay dispute went before a hearing of the Arbitration
  Commission today.
      Meanwhile, disruption began today to cargo handling in the
  ports of Sydney, Newcastle and Port Kembla, they said.
      The industrial action at the NSW ports is part of the week
  of action called by the NSW Trades and Labour Council to
  protest changes to the state's workers' compensation laws.
      The shipping sources said the various port unions appear to
  be taking it in turn to work for a short time at the start of
  each shift and then to walk off.
      Cargo handling in the ports has been disrupted, with
  container movements most affected, but has not stopped
  altogether, they said.
      They said they could not say how long the disruption will
  go on and what effect it will have on shipping movements.
  

INDONESIAN COMMODITY EXCHANGE MAY EXPAND
  The Indonesian Commodity Exchange is
  likely to start trading in at least one new commodity, and
  possibly two, during calendar 1987, exchange chairman Paian
  Nainggolan said.
      He told Reuters in a telephone interview that trading in
  palm oil, sawn timber, pepper or tobacco was being considered.
      Trading in either crude palm oil (CPO) or refined palm oil
  may also be introduced. But he said the question was still
  being considered by Trade Minister Rachmat Saleh and no
  decision on when to go ahead had been made.
      The fledgling exchange currently trades coffee and rubber
  physicals on an open outcry system four days a week.
      "Several factors make us move cautiously," Nainggolan said.
  "We want to move slowly and safely so that we do not make a
  mistake and undermine confidence in the exchange."
      Physical rubber trading was launched in 1985, with coffee
  added in January 1986. Rubber contracts are traded FOB, up to
  five months forward. Robusta coffee grades four and five are
  traded for prompt delivery and up to five months forward,
  exchange officials said.
      The trade ministry and exchange board are considering the
  introduction of futures trading later for rubber, but one
  official said a feasibility study was needed first. No
  decisions are likely until after Indonesia's elections on April
  23, traders said.
      Trade Minister Saleh said on Monday that Indonesia, as the
  world's second largest producer of natural rubber, should
  expand its rubber marketing effort and he hoped development of
  the exchange would help this.
      Nainggolan said that the exchange was trying to boost
  overseas interest by building up contacts with end-users.
      He said teams had already been to South Korea and Taiwan to
  encourage direct use of the exchange, while a delegation would
  also visit Europe, Mexico and some Latin American states to
  encourage participation.
      Officials say the infant exchange has made a good start
  although trading in coffee has been disappointing.
      Transactions in rubber between the start of trading in
  April 1985 and December 1986 totalled 9,595 tonnes, worth 6.9
  mln dlrs FOB, plus 184.3 mln rupiah for rubber delivered
  locally, the latest exchange report said.
       Trading in coffee in calendar 1986 amounted to only 1,905
  tonnes in 381 lots, valued at 6.87 billion rupiah.
       Total membership of the exchange is now nine brokers and
  44 traders.
  

SRI LANKA GETS USDA APPROVAL FOR WHEAT PRICE
  Food Department officials said the U.S.
  Department of Agriculture approved the Continental Grain Co
  sale of 52,500 tonnes of soft wheat at 89 U.S. Dlrs a tonne C
  and F from Pacific Northwest to Colombo.
      They said the shipment was for April 8 to 20 delivery.
  

WESTERN MINING TO OPEN NEW GOLD MINE IN AUSTRALIA
  Western Mining Corp Holdings Ltd
  <WMNG.S> (WMC) said it will establish a new joint venture gold
  mine in the Northern Territory at a cost of about 21 mln dlrs.
      The mine, to be known as the Goodall project, will be owned
  60 pct by WMC and 40 pct by a local W.R. Grace and Co <GRA>
  unit. It is located 30 kms east of the Adelaide River at Mt.
  Bundey, WMC said in a statement
      It said the open-pit mine, with a conventional leach
  treatment plant, is expected to produce about 50,000 ounces of
  gold in its first year of production from mid-1988. Annual ore
  capacity will be about 750,000 tonnes.
  

SUMITOMO BANK AIMS AT QUICK RECOVERY FROM MERGER
  Sumitomo Bank Ltd <SUMI.T> is certain to
  lose its status as Japan's most profitable bank as a result of
  its merger with the Heiwa Sogo Bank, financial analysts said.
      Osaka-based Sumitomo, with desposits of around 23.9
  trillion yen, merged with Heiwa Sogo, a small, struggling bank
  with an estimated 1.29 billion dlrs in unrecoverable loans, in
  October.
      But despite the link-up, Sumitomo President Koh Komatsu
  told Reuters he is confident his bank can quickly regain its
  position.
      "We'll be back in position in first place within three
  years," Komatsu said in an interview.
      He said that while the merger will initially reduce
  Sumitomo's profitability and efficiency, it will vastly expand
  Sumitomo's branch network in the Tokyo metropolitan area where
  it has been relatively weak.
      But financial analysts are divided on whether and how
  quickly the gamble will pay off.
      Some said Sumitomo may have paid too much for Heiwa Sogo in
  view of the smaller bank's large debts. Others argue the merger
  was more cost effective than creating a comparable branch
  network from scratch.
      The analysts agreed the bank was aggressive. It has
  expanded overseas, entered the lucrative securities business
  and geared up for domestic competition, but they questioned the
  wisdom of some of those moves.
      "They've made bold moves to put everything in place. Now
  it's largely out of their hands," said Kleinwort Benson Ltd
  financial analyst Simon Smithson.
      Among Sumitomo's problems are limits placed on its move to
  enter U.S. Securities business by taking a share in American
  investment bank Goldman, Sachs and Co.
      Sumitomo last August agreed to pay 500 mln dlrs for a 12.5
  pct limited partnership in the bank, but for the time being at
  least, the Federal Reserve Board has forbidden them to exchange
  personnel, or increase the business they do with each other.
      "The tie-up is widely looked on as a lame duck because the
  Fed was stricter than Sumitomo expected," said one analyst.
      But Komatsu said the move will pay off in time.
      "U.S. Regulations will change in the near future and if so,
  we can do various things. We only have to wait two or three
  years, not until the 21st century," Komatsu said.
      Komatsu is also willing to be patient about possible routes
  into the securities business at home.
      Article 65 of the Securities and Exchange Act, Japan's
  version of the U.S. Glass-Steagall Act, separates commercial
  from investment banking.
      But the walls between the two are crumbling and Komatsu
  said he hopes further deregulation will create new
  opportunities.
      "We need to find new business chances," Komatsu said. "In some
  cases these will be securities related, in some cases trust
  bank related. That's the kind of deregulation we want."
      Until such changes occur, Sumitomo will focus on such
  domestic securities business as profitable government bond
  dealing and strengthening relations with Meiko Securities Co
  Ltd, in which it holds a five pct share, Komatsu said.
      He said Sumitomo is cautiously optimistic about entering
  the securities business here through its Swiss universal bank
  subsidiary, Banca del Gottardo.
       The Finance Ministry is expected to grant licences to
  securities subsidiaries of U.S. Commercial banks soon,
  following a similar decision for subsidiaries of European
  universal banks in which the parent holds a less than 50 pct.
      But Komatsu is reluctant to push hard for a similar
  decision on a Gottardo subsidiary.
      "We don't want to make waves. We expect this will be allowed
  in two or three years," he said.
      Like other city banks, Sumitomo is also pushing to expand
  lending to individuals and small and medium businesses to
  replace disappearing demand from big business, he added.
      The analysts said Sumitomo will have to devote a lot of
  time to digesting its most recent initiatives, including the
  merger with ailing Heiwa Sogo.
      "It's (Sumitomo) been bold in its strategies," said
  Kleinwort's Smithson.
      "After that, it's a question of absorbing and juggling
  around. It will be the next decade before we see if the
  strategy is right or wrong."
  

SUBROTO SAYS INDONESIA SUPPORTS TIN PACT EXTENSION
  Mines and Energy Minister Subroto
  confirmed Indonesian support for an extension of the sixth
  International Tin Agreement (ITA), but said a new pact was not
  necessary.
      Asked by Reuters to clarify his statement on Monday in
  which he said the pact should be allowed to lapse, Subroto said
  Indonesia was ready to back extension of the ITA.
      "We can support extension of the sixth agreement," he said.
  "But a seventh accord we believe to be unnecessary."
      The sixth ITA will expire at the end of June unless a
  two-thirds majority of members vote for an extension.
  

BUNDESBANK ALLOCATES 6.1 BILLION MARKS IN TENDER
  The Bundesbank accepted bids for 6.1
  billion marks at today's tender for a 28-day securities
  repurchase pact at a fixed rate of 3.80 pct, a central bank
  spokesman said.
      Banks, which bid for a total 12.2 billion marks liquidity,
  will be credited with the funds allocated today and must buy
  back securities pledged on May 6.
      Some 14.9 billion marks will drain from the market today as
  an earlier pact expires, so the Bundesbank is effectively
  withdrawing a net 8.1 billion marks from the market with
  today's allocation.
      A Bundesbank spokesman said in answer to enquiries that the
  withdrawal of funds did not reflect a tightening of credit
  policy, but was to be seen in the context of plentiful
  liquidity in the banking system.
      Banks held an average 59.3 billion marks at the Bundesbank
  over the first six days of the month, well clear of the likely
  April minimum reserve requirement of 51 billion marks.
      The Bundesbank spokesman noted that by bidding only 12.2
  billion marks, below the outgoing 14.9 billion, banks
  themselves had shown they felt they had plenty of liquidity.
      Dealers said the Bundesbank is keen to prevent too much
  liquidity accruing in the market, as that would blunt the
  effectiveness of the security repurchase agreement, its main
  open-market instrument for steering market interest rates. Two
  further pacts are likely this month over the next two weeks.
      The Bundesbank is currently steering call money between 3.6
  and 3.8 pct, although short-term fluctuations outside that
  range are possible, dealers said.
  

BOND CORP STILL CONSIDERING ATLAS MINING BAIL-OUT
  Bond Corp Holdings Ltd <BONA.S> and Atlas
  Consolidated Mining and Development Corp <ATLC.MN> are still
  holding talks on a bail-out package for the troubled mining
  firm, an Atlas statement said.
      Atlas, the Philippines' biggest copper producer, said it
  had been hit by depressed world copper prices. It reported a
  net loss of 976.38 mln pesos in the year ending December 1986,
  compared with a net loss of 1.53 billion in 1985.
      The company said it had been able to cut its losses because
  its scaled-down copper operations in the central island of Cebu
  started in the second half of 1986.
      Atlas said negotiations were continuing on the acquisition
  by Bond of the company's existing bank loans and their
  restructuring into a gold loan.
      A memorandum of understanding signed by the two sides in
  October last year said Bond would acquire Atlas' total loans of
  275 mln dlrs, to be repaid by the mining company in gold.
      Atlas said the two sides were also discussing equity
  infusion into Atlas and the creation of a development fund for
  further exploration and development of the company's gold
  properties in the central province of Masbate.
      Wilson Banks, general manager of <Bond Corp International
  Ltd> in Hong Kong, told Reuters the Atlas statement on the
  negotiations was "reasonably accurate."
      Banks said Bond Corp was seriously considering several
  investments in the Philippines but did not give details.
      In its statement, Atlas said development of the pre-World
  War Two underground mines in Masbate had been accelerated and
  the ore tonnage had increased, extending the operation's life
  at least until 1993.
  

CHINA INDUSTRIAL OUTPUT RISES IN FIRST QUARTER
  China's industrial output rose 14.1 pct
  in the first quarter of 1987 against the same 1986 period, the
  People's Daily said.
      Its overseas edition said the growth rate, which compares
  with a target of seven pct for the whole of 1987, was "rather
  high" but the base in the first quarter of 1986 was on the low
  side. Industrial output grew 4.4 pct in the first quarter of
  1986.
      It said China's industrial production this year has been
  normal but product quality and efficiency need further
  improvement. It gave no further details.
  

JAPAN MINISTRY SAYS OPEN FARM TRADE WOULD HIT U.S.
  Japan's Agriculture Ministry, angered by
  U.S. Demands that Japan open its farm products market, will
  tell U.S. Officials at talks later this month that
  liberalisation would harm existing U.S. Farm exports to Japan,
  a senior ministry official said.
      "Imports from the U.S. Would drop due to active sales drives
  by other suppliers," the official, who declined to be named,
  said. "Japan is the largest customer for U.S. Farm products and
  it is not reasonable for the U.S. To demand Japan liberalise
  its farm import market," he said.
      Agriculture Minister Mutsuki Kato has said if the U.S.
  Insists Japan open its protected rice market it will also open
  its wheat market, where volume and origin are regulated to
  protect local farmers.
      Australia and Canada could then increase their wheat
  exports as they are more competitive than the U.S., He said.
  End-users would also buy other origins, grain traders said.
      U.S. Agriculture Secretary Richard Lyng, who is due to
  visit Japan for talks between April 16-27, has said he will ask
  Japan to offer a share of its rice market to U.S. Suppliers and
  remove quotas on U.S. Beef and citrus imports.
      Other countries are already cutting into the U.S. Market
  share here. Australia, the largest beef supplier to Japan, has
  been trying to boost exports prior to the expiry of a four-year
  beef accord next March 31.
      Imports of U.S. Corn have fallen due to increased sales
  from China and South America, while Japanese soybean imports
  from Brazil are expected to rise sharply this year, although
  the U.S. Will remain the largest supplier.
      U.S. Feedgrain sales will also drop if Japan opens up its
  beef imports, since Japan depends almost entirely on feedgrain
  imports, mainly from the U.S., Japanese officials said.
      An indication of the U.S. Position came last December when
  Under Secretary of Agriculture Daniel Amstutz said Japan has
  the potential to provide one of the largest boosts to U.S.
  Agricultural exports, with the beef market alone representing
  some one billion dlrs in new business.
      The U.S. Has also asked the General Agreement on Tariffs
  and Trade to investigate the legality of Japanese import
  controls on 12 other farm products, including fruit juices,
  purees and pulp, tomato juice, ketchup and sauce, peanuts,
  prepared beef products and miscellaneous beans.
      To help calm heated trade relations with the U.S., Japan's
  top business group Keidanren has urged the government to remove
  residual import restrictions on agricultural products.
      But Agriculture Minister Kato has ruled out any emotional
  reaction, and the senior ministry official said the farm issue
  should not become a scapegoat for trade pressure in the
  industrial sector.
      "Japan is the largest buyer of U.S. Farm products, and these
  issues should not be discussed on the same table," the official
  said.
  

AMATIL PROPOSES TWO-FOR-FIVE BONUS SHARE ISSUE
  Amatil Ltd <AMAA.S> said it proposes to
  make a two-for-five bonus issue out of its revaluation reserve
  to shareholders registered May 26.
      Shareholders will be asked to approve the issue and an
  increase in authorised capital to 175 mln shares from 125 mln
  at a general meeting on May 1, it said in a statement.
      The new shares will rank for dividends declared after
  October 31. Amatil, in which B.A.T. Industries Plc <BTI.L>
  holds a 41 pct stake, said it does not expect to maintain its
  latest annual dividend rate of 29 cents a share on the enlarged
  capital.
  

BOWATER 1986 PRETAX PROFITS RISE 15.6 MLN STG
  Shr 27.7p vs 20.7p
      Div 6.0p vs 5.5p making 10.0p vs 9.25p
      Turnover 1.34 billion stg vs 1.29 billion
      Pretax profit 48.0 mln vs 32.4 mln
      Tax 14.4 mln vs 6.9 mln
      Company name is Bowater Industries Plc <BWTR.L>
      Trading profit 63.4 mln vs 45.1 mln
      Trading profit includes -
      Packaging and associated products 23.2 mln vs 14.2 mln
      Merchanting and services 18.4 mln vs 9.6 mln
      Tissue and timber products 9.0 mln vs 5.8 mln
      Interest debit 15.4 mln vs 12.7 mln
      Minority interests 7.0 mln debit vs 6.2 mln debit
      Extraordinary items 15.4 mln credit vs 11.9 mln debit
  

U.K. MONEY MARKET DEFICIT FORECAST AT 250 MLN STG
  The Bank of England said it forecast a
  shortage of around 250 mln stg in the money market today.
      Among the main factors affecting liquidity, bills maturing
  in official hands and the take-up of treasury bills will drain
  some 505 mln stg, while bills for repurchase by the market will
  remove around 194 mln. In addition, a rise in note circulation
  and bankers' balances below target will each drain around 110
  mln stg.
      Partly offsetting these outflows, exchequer transactions
  will add some 690 mln stg to the system today.
  

SOUTH KOREA MOVES TO SLOW GROWTH OF TRADE SURPLUS
  South Korea's trade surplus is growing too
  fast and the government has started taking steps to slow it
  down, Deputy Prime Minister Kim Mahn-je said.
      He told a press conference the government planned to
  increase investment, speed up the opening of the local market
  to foreign imports and gradually adjust its currency to hold
  the surplus "at a proper level."
      But he said the government would not allow the won to
  appreciate too much in a short period of time. South Korea has
  been under pressure from Washington to revalue the won.
      The U.S. Wants South Korea to cut its trade surplus with
  the U.S., Which rose to 7.4 billion dlrs in 1986 from 4.3
  billion dlrs in 1985.
      Kim, who is also economic planning minister, said prospects
  were bright for the South Korean economy, but the government
  would try to hold the current account surplus to around five
  billion dlrs a year for the next five years.
      "Our government projections of eight pct GNP growth, five
  billion dlrs of (current account) surplus and 12 pct growth in
  exports all seemed to be reasonable early this year. But now
  the surplus is growing faster than we expected," he said.
      Trade ministry officials said South Korea's exports rose 35
  pct to 9.34 billion dlrs in the first three months of this
  year, while imports rose only 8.5 pct to 8.2 billion dlrs.
      Kim said the swing of South Korea's current account to a
  surplus of 4.65 billion dlrs in 1986 from an 890 mln dlr
  deficit in 1985 was very significant. The surplus enabled the
  country to reduce its foreign debt last year for the first
  time.
      South Korea's foreign debt, which fell to 44.5 billion dlrs
  in 1986 from 46.8 billion in 1985, is still among the largest
  in Asia.
      "This huge amount of our foreign debt has been one of the
  major constraints on our development... Last year was a major
  turning point for the Korean economy," Kim said.
      Kim said his government plannned to reduce the ratio of
  foreign debt to the country's GNP to about 20 pct in 1991, from
  about 50 pct in 1986.
      "The government, however, does not want to accelerate
  reducing the debt by making an excessive trade surplus," he
  said.
      Kim said a sudden rise in the surplus would cause inflation
  and lead to trade friction with Seoul's major trading partners,
  particularly the United States.
      "We need a surplus because we have to reduce our debt, but
  we are taking measures to hold the size of the surplus at a
  proper level," Kim said.
  

FINNS AND CANADIANS TO STUDY MTBE PRODUCTION PLANT
  Finland's national oil company Neste Oy
  <NEOY.HE> said in a statement it had agreed with Canadian firms
  to study the feasibility of building a plant in Edmonton,
  Canada, to produce a replacement for lead in petrol.
      The prospective plant would cost an estimated 270 mln
  Canadian dlrs and would produce methyl tertiary butyl ether
  (MTBE) from raw materials available locally, it said.
      The partners in the study are Neste Oy, Celanese Canada
  Inc, Hoechst Celanese Corporation and Trade Mountain Pipe Line
  Company Ltd, of Vancouver, B.C.
      The Edmonton site was suitable because of the raw materials
  availability, the proximity to pipeline transportation and the
  important capital and operating advantages gained by locating
  on an existing Celanese Canada site, the statement said.
      The partners would look into the feasibility of a plant
  producing 500,000 tonnes per annum of MTBE, an octane enhancer
  that can replace tetra ethyl lead.
      Most of the MTBE would be targeted for the United States
  where lead levels in gasoline are being lowered because of
  health concerns, the statement added.
      Canadian lead limits are currently 11 times as high as the
  U.S. Limit but lead is scheduled for virtual elimination in
  Canada by 1993, which should create a Canadian demand for MTBE,
  it said.
      Finland's Neste Oy, whose turnover last year was over five
  billion dlrs, has extensive experience with MTBE. It has a
  major investment in an MTBE plant in Saudi Arabia.
      The Edmonton, Alberta plant would be scheduled to go on
  stream in late 1989, the statement said.
  

CRA SOLD FORREST GOLD FOR 76 MLN DLRS - WHIM CREEK
  <Whim Creek Consolidated NL> said the
  consortium it is leading will pay 76.55 mln dlrs for the
  acquisition of CRA Ltd's <CRAA.S> <Forrest Gold Pty Ltd> unit,
  reported yesterday.
      CRA and Whim Creek did not disclose the price yesterday.
      Whim Creek will hold 44 pct of the consortium, while
  <Austwhim Resources NL> will hold 27 pct and <Croesus Mining
  NL> 29 pct, it said in a statement.
      As reported, Forrest Gold owns two mines in Western
  Australia producing a combined 37,000 ounces of gold a year. It
  also owns an undeveloped gold project.
  

GERMAN INDUSTRIAL EMPLOYMENT SEEN STAGNATING
  The number of workers employed in
  the West German industrial sector stagnated in the last quarter
  of 1986 as a 50,000 increase in overall employment benefited
  only the services branch, the DIW economic institute said.
      A DIW report added the general downturn in the economy
  since last Autumn had had a negative effect on the willingness
  of firms to take on workers. It referred to a marked downturn
  in the number of workers taken on in the capital goods sector.
      New orders for manufacturing industry goods have mostly
  fallen or stagnated in recent months, but data for February
  finally showed a reversal of the trend, with a 1.9 pct rise.
  

BOWATER INDUSTRIES PROFIT EXCEED EXPECTATIONS
  Bowater Industries Plc <BWTR.L> 1986
  pretax profits of 48.0 mln stg exceeded market expectations of
  around 40 mln and pushed the company's shares up sharply to a
  high of 491p from 468p last night, dealers said.
      The shares later eased back to 481p. Bowater reported a
  32.4 mln stg profit in 1985.
      The company said in a statement accompanying the results
  that the underlying trend showed improvement and it intended to
  expand further by developing existing businesses and seeking
  new opportunities.
      It added that it had appointed David Lyon, currently
  managing director of Redland Plc <RDLD.L> as its new chief
  executive.
      Analysts noted that Bowater's profits of 18.9 mln stg from
  13.2 mln previously had been given a boost by pension benefits
  of 4.5 mln stg.
      Profit from Australia and the Far East showed the greatest
  percentage rise, jumping 55.0 pct to 15.5 mln from 10.0 mln,
  while the profit from U.K. Operations rose 30.7 pct to 24.7
  mln, and Europe, 42.9 pct to 11.0 mln.
  

CITIBANK NORWAY UNIT LOSES SIX MLN CROWNS IN 1986
  Citibank A/S <CCI.N>, the Norwegian
  subsidiary of the U.S.-based bank, said it made a net loss of
  just over six mln crowns in 1986 -- although foreign bankers
  said they expect it to show 1987 profits after two lean years.
      Citibank's Oslo treasury head Bjoern Sejerstad told
  Reuters, Citibank, one of seven foreign bank subsidiaries
  operating in Norway, lost money because of restructuring for
  investment banking away from commercial banking and an economic
  slump in Norway following last year's plunge in oil prices.
      Foreign banks have been allowed to operate susbidiaries in
  Norway since 1985.
      Foreign banking analysts in Oslo said access to Norway's
  second-hand securities and equities markets, to be approved
  later this spring, and lower primary reserve requirements would
  make profit this year.
      Citibank lost 490,000 crowns in Norway in 1985, but
  Sejerstad said a profit was likely this year because of planned
  liberalisation and better economic performance, helped by a
  steadier oil price of around 18 dlrs a barrel.
      Earlier this year, Chase Manhattan Bank's <CMB.N>
  subsidiary decided to stop foreign exchange trading after heavy
  losses and focus instead on fee-based merchant banking.
  

VIEILLE MONTAGNE SAYS 1986 CONDITIONS UNFAVOURABLE
  A sharp fall in the dollar price of
  zinc and the depreciation of the U.S. Currency created
  unfavourable economic conditions for Vieille Montagne SA
  <VMNB.BR> in 1986.
      It said in a statement that the two factors led to a
  squeeze on refining margins and an 18.24 pct fall in sales and
  services income despite an unchanged level of activity.
      Vieille Montagne, which is actively pursuing a
  restructuring program, reported a 198 mln franc net loss, after
  187 mln francs in provisions for the closure of an electrolysis
  plant, compared with a 250 mln franc net profit in 1985.
  

VIEILLE MONTAGNE REPORTS LOSS, DIVIDEND NIL
  1986 Year
      Net loss after exceptional charges 198 mln francs vs profit
      250 mln
      Exceptional provisions for closure of Viviez electrolysis
      Plant 187 mln francs vs exceptional gain 22 mln
      Sales and services 16.51 billion francs vs 20.20 billion
      Proposed net dividend on ordinary shares nil vs 110 francs
      Company's full name is Vieille Montagne SA <VMNB.BR>.
  

EC MAINLY FOR TIN EXTENSION, NO U.K. STAND TAKEN
  European Community (EC) members of the
  International Tin Council, except Britain, have said they are
  prepared to back an extension of the International Tin
  Agreement, an EC spokesman said.
      He said at a meeting of EC states' representatives here
  yesterday, Britain undertook to communicate its own decision to
  its partners today. It said it was not ready yesterday to take
  a stand but did not say why.
      He added nine other EC states backed an extension. Spain
  and Portugal, which are not members of the International Tin
  Council, raised no objections to a common EC stance in favour.
  

JAPAN GIVEN LITTLE HOPE OF AVOIDING U.S. SANCTIONS
  A top U.S. Official said Japan has little
  chance of convincing the U.S. To drop threatened trade
  sanctions, despite the efforts of a Japanese team that left for
  Washington today.
      Michael Armacost, Under Secretary of State for Political
  Affairs, was asked at a press conference whether Japan's moves
  to boost its domestic economy and open its markets could
  persuade the U.S. Not to impose tariffs on Japanese imports
  said, and replied: "...It is probably too early for the figures
  to demonstrate that the situation has turned around and to
  permit the result you have described."
      Armacost said the U.S. Hopes Japan will take steps to lift
  its domestic economy and reduce dependence on exports, remove
  barriers to imports and settle outstanding trade issues.
      "There are obvious problems at the moment in the trade area,
  but we do not wish those problems to divert attention from
  important areas of cooperation that continue to exist on
  security and political issues," he said.
      "The question is whether through cooperative actions between
  our governments we can reduce the (trade) imbalance or whether
  Congress takes action to reduce it through protectionist
  legislation," he said.
  

THAI ZINC EXPORTS FALL IN MARCH
  Thai zinc ingot exports fell to 882
  tonnes in March from 1,764 in February and 3,008 in March 1986,
  the Mineral Resources Department said.
      A spokesman for Padaeng Industry Co Ltd, the country's sole
  exporter, attributed the decline to the company's lower stocks,
  which averaged 5,000 tonnes in the first quarter against 16,000
  tonnes in late 1985 when it began exporting.
      The department said major buyers included China, Japan, the
  Philippines, South Korea, Singapore and Taiwan.
      Thailand exported 4,842 tonnes of zinc ingots during the
  first quarter, down from 14,937 a year ago.
  

EC SUGAR TENDER HARD TO PREDICT - LONDON TRADE
  The outcome of today's European Community
  (EC) white sugar tender is extremely difficult to predict after
  last week's substantial award of 102,350 tonnes at the highest
  ever rebate of 46.864 European currency units (Ecus) per 100
  kilos, traders said.
      Some said they believed the tonnage would probably be
  smaller, at around 60,000 tonnes, but declined to give a view
  on the likely restitution. Last week, the European Commission
  accepted 785,000 tonnes of sugar into intervention by operators
  protesting about low rebates. This might be a determining
  factor in today's result, they added.
  

NORTH YEMEN CALLS SUGAR BUYING TENDER - TRADE
  North Yemen has called a buying tender
  for Saturday for the purchase of 30,000 tonnes of white sugar
  for arrival in June, traders said.
  

ANHEUSER-BUSCH JOINS BID FOR SAN MIGUEL
  Anheuser-Busch Companies Inc <BUD.N> has
  joined several other foreign bidders for sequestered shares of
  the Philippines' largest food and beverage maker San Miguel
  Corp <SANM.MN>, the head of a government panel which controls
  the shares told Reuters.
      Ramon Diaz, Secretary of the Presidential Commission on
  Good Government (PCGG), said Anheuser-Busch had told the
  government it was interested in buying 14 mln "B" shares of San
  Miguel. He did not disclose the offered price.
      Diaz said Australian brewer Alan Bond's Bond Corp Holdings
  Ltd had offered 150 pesos per share for the "B" shares.
      Diaz said New York investment bank Allen and Co Inc had
  earlier said it was interested in buying all 38.1 mln
  sequestered shares. He told Reuters last month Elders IXL Ltd
  <ELXA.S>, the Melbourne-based brewing company, had also bid for
  the "B" shares.
      The Hong Kong Economic Journal last month quoted a
  spokesman of Australian stock broker Jacksons Ltd as saying
  that <Barwon Farmlands Ltd>, an Australian firm owned 30 pct by
  <Ariadne Australia Ltd>, was planning a Filipino branch in
  order to buy the entire block of 38.1 mln shares.
      Anheuser-Busch last year made a 150 mln dlr bid to buy <San
  Miguel Brewery Ltd>, a Hong Kong listed company which is 69.65
  pct owned by <Neptunia Corp Ltd>, a San Miguel Corp subsidiary.
      The talks broke down last June after the two sides said
  they could not agree on the terms of the sale.
  

ECONOMIC SPOTLIGHT - AUSTRALIAN MARKETS BOOMING
  Australian markets are booming as foreign
  fund managers redirect capital away from the United States and
  other traditional markets, analysts said.
      High short-term interest rates, a bullish stock market and
  an increasingly stable currency reflect a massive inflow of
  fresh funds in the last two months, largely from Japanese and
  U.S. Investors, analysts polled by Reuters said.
      Fund managers want quality markets to park their cash in
  and have settled on Australia, Britain and Canada as they
  diversify from volatile U.S. Dollar instruments, they said.
      A one percentage point fall in key 10-year bonds rates in
  the past month, record share prices and a 10-month high for the
  currency of 0.71 U.S. Dlrs all illustrated the inflow.
      Official figures on the latest inflow of investment capital
  are not available, but brokers said they received almost daily
  inquiries from Japan and the United States.
      "These people have got trillions of dollars sloshing about
  and they don't know what to do with it. Some of that is ending
  up here with the attraction of high interest rates and
  reasonable currency stability," National Australia Bank Ltd
  economist Brian Hamley said.
      "There is a 'flight to quality'," Hamley said. "Australia may
  not be in the best (economic) position, but there aren't too
  many other countries where you'd want to put your money."
      The stronger Australian dollar was also attracting
  investors taking advantage of an appreciating currency against
  the volatility of the U.S. Unit, analysts said.
      "We're looking a more favoured market than perhaps the U.S.
  Where some people would be concerned about the value of the
  U.S. Dollar," Lloyds Bank NZA Ltd chief economist Will Buttrose
  said. "Why not put the money in Australia where entry is cheap
  and the currency looks stable?"
      But turning that capital into more permanent productive
  investment depends on government economic policy, he said.
      "It will only disappear if people lose confidence in the
  direction in the economy," Buttrose said, adding that offshore
  investors would carefully watch the government's promised tough
  economic statement on May 14.
      While happy to invest in bonds and other vehicles yielding
  interest unobtainable elsewhere, fund managers could just as
  easily reverse the flow -- particularly the Japanese, who were
  badly hurt in the past by rapid falls in the Australian dollar
  and hefty jumps in bond rates, analysts said.
      "It will remain very edgy money. If something was not to be
  delivered, if the statement wasn't considered tough enough, one
  might see a substantial outflow," Buttrose said.
      Offshore investors are eager to see Australia take tough
  economic decisions to curb its 100 billion dlr foreign debt and
  stubborn current account deficit, analysts said.
      "They are giving us the benefit of the doubt and I think
  they would like to leave the money here," Buttrose said.
      Reserve Bank policy has also reflected the increased
  interest in investment in Australia and the need to shield
  Japanese investors from rapid currency fluctuations.
      Reserve Governor Bob Johnston last week acknowledged an
  element of targeting the rate against the yen in currency
  policy when he said authorities could not take their "eyes off
  the yen" because of the crucial role of Japanese investors.
      Analysts said they believed the Reserve Bank had worked
  successfully in recent months to keep the Australian dollar
  within the range of 100 to 103 yen.
      Apart from its recovery against a weak U.S. Dollar, the
  Australian dollar has also risen almost three pct on a
  trade-weighted basis in the last three weeks.
      Offshore buying has also played a role in the booming
  Australian share market. It has followed Wall Street and other
  markets, but is also setting its own trend in response to the
  weight of both domestic and offshore funds pouring into
  equities, particularly in the gold sector.
      The key all ordinaries index rose to a record 1,758.3
  today, nearly 20 pct above its level at the end of 1986, while
  the gold index has nearly doubled to a record 3,081.0 in the
  same period.
      The property sector is also sought after, with Japanese
  companies that have invested heavily in the United States in
  recent years turning their attention to undervalued real
  estate, particularly in the tourism field.
      Analysts pointed to the recent sale of Sydney's five-star
  Regent Hotel to Japanese interests for more than 145 mln dlrs
  as indicative of the type of property being sought.
      "They think they find good value real estate here which,
  with long term and fixed capital investment, is the kind of
  investment Australia needs," Buttrose added.
  

ECONOMIC SPOTLIGHT - KUWAITI ECONOMY
  Kuwait's oil-reliant and debt-ridden
  economy has started to pull out of a nosedive but oil prices
  will determine the pace of recovery, bankers and economists
  say.
      Crucial will be the ability of the 13-member OPEC to hold
  oil prices around a new benchmark of 18 dlrs a barrel in the
  northern hemisphere summer when demand usually slackens.
      Bankers estimate the economy, measured in terms of gross
  domestic product (gdp), shrank 19 pct in real terms last year
  after contracting 8.1 pct the year before.
      This was after taking into account inflation in consumer
  prices of 1.5 pct in 1985, slowing to 1.0 pct in 1986.
      Factors depressing economic activity include the
  6-1/2-year-old Iran-Iraq war on Kuwait's doorstep, which
  threatens the emirate's vital oil export lifeline through the
  Gulf and has sapped business confidence.
      But sentiment received a much-needed boost in September
  when, after a series of piecemeal steps to combat a debt crisis
  caused by the 1982 crash of local stock market, a comprehensive
  new debt settlement program was introduced.
      The share crash, result of a speculative spree in forward
  trading, left 95 billion dlrs of post-dated cheques in default.
      The cheques were also used as collateral for consumer
  spending, thus generating an informal credit system.
      Much of the debt has been watered down but big sums are
  still owed by individuals and companies.
      There was some 4.4 billion dinars (about 15.7 billion dlrs)
  in outstanding bank credit at the end of 1986, of which
  one-quarter to one-third was estimated by bankers to rank as
  bad or doubtful debt. But the government has repeatedly said it
  will not allow any banks to go under.
      The new debt settlement scheme entails a rescheduling of
  problem credit over 10 to 15 years, depending on whether
  debtors have regular cash flows or not.
      Banks' shareholders and depositors will have their rights
  guaranteed by the government -- an edict of vital significance
  in a country of only 1.7 mln people where the financial sector
  is the biggest after oil.
      Kuwait is better placed than any other OPEC country to ride
  out the oil glut, bankers and economists say.
      Kuwait has an OPEC quota of 948,000 barrels per day (bpd)
  compared with production capacity of 4.0 mln bpd mentioned last
  year by Oil Minister Sheikh Ali al-Khalifa al-Sabah.
      But strategic diversification into downstream operations in
  Europe several years ago and a hefty refining investment at
  home gives it guaranteed markets abroad and enables it to sell
  over one-half of its output as high-grade refined oil products.
      Oil industry sources say Kuwait is able to get an average
  2.00 dlrs a barrel more by selling oil in the form of processed
  product such as gas oil, kerosene and naphtha, rather than as
  crude.
      Bankers say the rebound in oil prices is the major reason
  for cautious optimism. Other reasons are low domestic
  inflation, a bottoming out of the fall in imports in recent
  years and signs government spending on productive sectors will
  remain steady.
      External accounts are in good shape, with an estimated 1.8
  billion dinar current account surplus in 1986, 16 pct below
  that for 1985, but still an achievement in the recession-hit
  Gulf.
      Kuwait's petrodollar reserves in mid-1986 were put
  officially at over 80 billion dlrs, earning investment income
  of the equivalent of about 3.65 billion dlrs a year.
      But for the first time since the end of the oil boom, these
  reserves may not be enough to prevent a "real" budget deficit for
  the 1986/87 fiscal year ending June 30, bankers say.
      In a budget portrayed by bankers as mildly contractionary,
  revenues for 1986/87 were cut 38.6 pct and spending 11 pct,
  doubling the nominal deficit to 1.33 billion dinars.
      This left out income from state reserves, usually excluded
  in official budget accounting, which are forecast by bankers at
  up to 1.0 billion dinars in 1986/87, resulting in some
  shortfall.
      Bankers say it is too early to venture a forecast for
  economic growth this year or next.
      "It depends on oil prices," one said. "This summer is
  important."
      Cabinet Affairs Minister Rashid al-Rashid said last Sunday
  the cabinet has ratified recommendations to rationalise state
  spending in favour of productive sectors and reactivate the
  economy.
      He gave no details but bankers say these are expected to be
  spelled out in the 1987/88 budget, possibly in June.
  

MALAYSIA MAY NOT MEET 1987 OIL PALM TARGET
  Malaysia is unlikely to meet its
  targeted output of five mln tonnes of oil palm in calendar
  1987, oil palm growers told Reuters.
      Output in 1987 is expected to reach around 4.5 mln tonnes,
  unchanged from 1986, because of drought, low use of fertiliser
  and overstressed palms, they said.
      The growers were asked for their reaction to an Oil World
  newsletter report that Malaysia's oil palm output is likely to
  drop sharply this year.
      Palm oil now sells at around 700 ringgit a tonne, or about
  115 ringgit less than soybean oil, but Malaysia must sell more
  palm oil to prevent a stock buildup that could damage the
  industry, a leading grower told Reuters.
      The country's palm oil stocks now total some 500,000 tonnes
  against about 800,000 last March, the growers said.
      The growers expect palm oil prices to ease later this year
  due to pressure from South American and U.S. Soybean output.
      The current South American oilseed harvest, mainly soybean,
  is likely to be around 25.7 mln tonnes against the previous
  21.7 mln tonne crop, they said.
      In addition, new U.S. Soybean plantings are also expected
  to enter the market around November when Malaysian palm oil
  output peaks.
      They said new planting of palms is also likely to slow,
  with some 50,000 hectares expected to be planted with new trees
  against 100,000 in 1986, although the effects of this reduction
  will not be felt for about another three years.
  

JARDINE MATHESON SAID IT SETS TWO-FOR-FIVE BONUS ISSUE REPLACING "B" SHARES
  JARDINE MATHESON SAID IT SETS TWO-FOR-FIVE BONUS ISSUE REPLACING "B" SHARES
  

MONIER SAYS BRITAIN'S REDLAND MAY BID FOR IT
  Diversified building materials group
  Monier Ltd <MNRA.S> said talks are taking place which may lead
  to Britain's Redland Plc <RDLD.L> making an offer for the
  Monier shares it does not already hold, chairman Bill Locke
  said.
      Redland already holds about 49 pct of Monier's 156.28 mln
  issued shares, he said in a brief notice to the Australian
  Stock Exchange.
      Locke said shareholders would be advised as soon as the
  discussions progressed and recommended that they keep their
  shares.
      Monier shares were trading at a 1987 high of 3.10 dlrs
  today, up from the previous peak of 2.80 at yesterday's close,
  and well above the 1987 low of 2.18 dlrs.
      Monier is the largest concrete roof tile manufacturer in
  Australia, the U.S. And New Zealand and the world's largest
  marketer of fly ash, according to its annual report for 1985/86
  ended June 30.
      It recently reported first-half 1986/87 net fell to 15.02
  mln dlrs from 17.09 mln a year earlier due to the Australian
  housing downturn, although foreign earnings rose.
  

ISUZU PLANS NO INTERIM DIVIDEND
  Isuzu Motor Ltd <ISUM.T> will pay no
  dividend for the first half year ending April 30, 1987, as the
  company is expected to mark a 12 billion yen parent company
  current loss in the first half due to slow exports caused by
  the yen's appreciation, a company spokesman said.
      The company has paid no dividend since the year ended
  October 31, 1983, when it paid five yen.
      It had a 4.44 billion yen current profit in the first half
  of 1985/86.
  

JAPANESE OFFICIAL TAKES DATA TO MICROCHIP TALKS
  Ministry of International Trade and
  Industry (MITI) Vice Minister Makoto Kuroda leaves for
  Washington today with data he hopes will refute U.S. Charges
  Japan has violated a pact on microchip trade.
      A three-man Japanese trade team is already in Washington
  laying the groundwork for talks between Kuroda and Deputy U.S.
  Trade Representative Michael Smith aimed at persuading the U.S.
  Not to impose tariffs on certain Japanese products.
      But Kuroda said he is taking no new proposals. "I have
  nothing in my briefcase except an explanation of the current
  situation," Kuroda told the daily newspaper Asahi Shimbun.
      Kuroda said the U.S. Decision was based on incorrect data
  and an exaggerated sense of MITI's power to control market
  forces. "The U.S. Has excessive expectations. To stabilise
  supply-demand relations which have been disrupted by excess
  inventories since 1985 will take some time," he said.
      Kuroda also laid part of the blame for low U.S. Chip sales
  in Japan on a lack of effort by American firms here.
      He said if he fails in talks tomorrow and Friday to
  forestall sanctions, he will seek further talks with U.S. Trade
  Representative Clayton Yeutter. U.S. Officials said this week's
  talks are unlikely to delay imposition of tariffs.
  

BELL GROUP CONFIRMS STANDARD CHARTERED STAKE
  The Bell Group Ltd <BLLA.S> said it now
  holds 14.9 pct of the issued capital of Standard Chartered Plc
  <STCH.L> after acquiring further shares.
      The one-sentence statement from Bell's headquarters
  confirmed what its brokers Warburg Securities told Reuters in
  London yesterday.
      Bell previously held 10 pct of Standard.
      Bell chairman Robert Holmes a Court, who is also a director
  of Standard, was not available for comment on his company's
  intentions in boosting its holding and other company officials
  contacted here by Reuters declined to comment.
  

NIPPON STEEL DENIES CHINA SEEKING JAPANESE PLANTS
  Nippon Steel Corp <NSTC.T> denied local
  newspaper reports that China has been seeking to buy steel
  plants from Japanese firms which plan to suspend output under
  the recently announced rationalisation program.
      The Mainichi Shimbun quoted Nippon Steel as saying that
  China's State Planning Commission and some Chinese firms have
  asked Japanese makers to sell them steel works and rolling
  mills to expand steelmaking cheaply. It named no sources.
      A Nippon Steel spokesman told Reuters that China has made
  no such official request, and the company was not considering
  such sales at the moment.
      But Mainichi quoted Nippon Steel officials as saying if
  prices are reasonable, they would export their used mills to
  China.
      The paper said China's crude steel output totalled 52 mln
  tonnes in calendar 1986 and that it plans to increase to 80 mln
  by 1996.
      Japan's steel industry rationalisation plan is aimed at
  cutting production capacity sharply over the next few years.
  

JARDINE MATHESON REPLACES "B" SHARE BY BONUS ISSUE
  Jardine Matheson Holdings Ltd
  <JARD.HK> said it will withdraw the previously announced
  four-for-one bonus issue of "B" shares and replace it by a
  two-for-five bonus issue of ordinary shares.
      A statement said the firm expects to pay total dividends
  for 1987 of not less than 40 cents a share on the expanded
  capital.
      Jardine Matheson decided to withdraw its issue because of a
  joint announcement earlier today by Ronald Li, chairman of the
  Stock Exchange of Hong Kong, and Securities Commissioner Ray
  Astin, that the listings of new "B" shares would be barred.
      The official announcement said this will include the
  proposal by Jardine Matheson.
      But the Jardine statement quoted chairman Simon Keswick as
  saying: "We continue to believe that the issuing of "B" shares
  would benefit shareholders, and regret that they will not be
  given the opportunity to vote on the matter at this stage."
      Keswick said the "B" share issue will benefit Jardine
  Matheson's shareholders by giving the firm flexibility to issue
  ordinary shares for expansion in future without diluting
  existing shareholders' voting rights.
      However, he added: "We certainly welcome (the Secretary for
  Monetary Affairs) David Nendick's referral of this very
  important matter to the Standing Committee on Company Law
  Reform and are hopeful that the process will lead to the
  development of general principles which can be embraced by all
  constituents of the Hong Kong market."
  

JAPAN GIVEN LITTLE HOPE OF AVOIDING U.S. SANCTIONS
  A top U.S. Official said Japan has little
  chance of persuading the U.S. to drop threatened trade
  sanctions, despite the efforts of a Japanese team that left for
  Washington today.
      Michael Armacost, Under Secretary of State for Political
  Affairs, was asked at a press conference whether Japan's moves
  to boost its domestic economy and open its markets could
  persuade the U.S. Not to impose tariffs on Japanese imports
  said, and replied: "...It is probably too early for the figures
  to demonstrate that the situation has turned around and to
  permit the result you have described."
      Armacost said the U.S. Hopes Japan will take steps to lift
  its domestic economy and reduce dependence on exports, remove
  barriers to imports and settle outstanding trade issues.
      "There are obvious problems at the moment in the trade area,
  but we do not wish those problems to divert attention from
  important areas of cooperation that continue to exist on
  security and political issues," he said.
      "The question is whether through cooperative actions between
  our governments we can reduce the (trade) imbalance or whether
  Congress takes action to reduce it through protectionist
  legislation," he said.
  

BANK OF JAPAN INTERVENES SOON AFTER TOKYO OPENING
  The Bank of Japan bought a small amount of
  dollars shortly after the opening at around 145.30 yen, dealers
  said.
      The central bank intervened as a medium-sized trading house
  sold dollars, putting pressure on the U.S. Currency, they said.
      The dollar was also supported by a major electrical
  consumer goods company, which was a speculative dollar buyer at
  around 145.25 yen, they added.
      The dollar opened at 145.33 yen against 145.60/70 in New
  York and 145.25 at the close here yesterday.
  

INDONESIAN INFLATION RATE 8.8 PCT IN 1986/87
  Inflation was by 8.8 pct in Indonesia
  during fiscal 1986/87 to March 31, compared to 5.66 pct the
  previous year, Information Minister Harmoko said after a
  cabinet session to discuss the economic situation.
  

U.K. MONEY MARKET GIVEN 53 MLN STG ASSISTANCE
  The Bank of England said it provided the
  money market with 53 mln stg assistance in the morning session.
      This compares with the bank's estimate of a shortage in the
  system of around 300 mln stg which it earlier revised up from
  250 mln.
      The central bank made outright purchases of bank bills
  comprising 46 mln stg in band three at 9-3/4 pct and seven mln
  stg in band four at 9-11/16 pct.
  

SAN MIGUEL DEAL HIT BY MORE LAWSUITS
  A bid by San Miguel Corp (SMC) <SANM.MN>
  to buy back 38.1 mln sequestered shares from United Coconut
  Planters Bank (UCPB) has been hit by two new lawsuits, sources
  in the Philippine food and brewery company said.
      A Manila court yesterday issued an injunction barring UCPB
  from selling the shares, which represent 31 pct of SMC's
  outstanding capital stock of 121 mln shares, until hearings on
  April 21 on a petition filed by Eduardo Cojuangco, a former
  chairman of both SMC and UCPB.
      Cojuangco said the Coconut Industry Investment Fund (CIIF)
  and 1.4 mln farmers were the rightful owners of the shares.
      Cojuangco said the shares were held in trust by UCPB and
  represented a blue chip investment. His petition said UCPB's
  plans to sell the shares to SMC were "a serious breach of
  fiduciary duties."
      The SMC sources said the proposed share sale could also be
  held up by a second derivative suit filed before the Securities
  and Exchange Commission (SEC) by Eduardo de los Angeles, a
  government nominee on the company's board.
      De los Angeles, who represents SMC's minority stockholders,
  asked the SEC to block the transaction, approved last week by
  the company's board.
      On April 2 the board sanctioned the repurchase of the
  sequestered shares for 4.79 billion pesos at 126 pesos per
  share. De los Angeles told the SEC the company's retained
  earnings of 1.33 billion pesos would be wiped out by the
  purchase of the shares and would prevent the declaration of
  dividends.
      De los Angeles said the share purchase would also violate
  an SMC agreement with its creditors to maintain a 2.2-to-1 debt
  to equity ratio. He quoted SMC's chief financial director Ramon
  del Rosario as telling the board that the transaction would
  boost the ratio to 2.5-to-1.
      In petitioning the SEC, de los Angeles amended an earlier
  suit two weeks ago in which he charged SMC Chairman Andres
  Soriano III and nine other directors of violating their duties.
      De los Angeles' earlier complaint related to SMC assuming
  last December a 26.5 mln dlr loan contracted by SMC's Hong Kong
  subsidiary <Neptunia Corp> for a down payment on the shares.
  The loan assumption was again ratified by last week's board
  meeting.
      An arbitration panel set up by President Corazon Aquino to
  resolve the ownership issue is expected to submit its report by
  April 15.
      "The amended suit filed by Eduardo de los Angeles is part of
  a continuing attempt by certain elements, in complete disregard
  of the facts and with questionable motives, to delay an early
  disposition of the sequestered shares," San Miguel Corp said in
  a statement.
      "Coming as it does, when San Miguel Corp and UCPB have
  reached agreement on the price of the shares and the method of
  payment, this suit is in direct contravention of the
  government's expressed desire to reach an amicable settlement
  of the controversy by April 15," the statement added.
      A San Miguel spokesman said he had no comment on
  Cojuangco's court petition, adding: "Any statement coming from
  us might be interpreted as adversarial."
      Meanwhile, Ramon Diaz, the head of a government panel which
  sequestered the shares last year, said Soriano was not eligible
  to buy the major portion of the shares because he was a United
  States citizen.
      The sequestered shares are split into 24 mln "A" shares,
  which can only be owned by Filipinos, and 14 mln "B" shares which
  are available to foreign buyers.
      SMC sources said Soriano personally was not among
  prospective buyers. They said the shares would be purchased by
  the <A.Soriano> group of companies, SMC, Neptunia and unnamed
  institutional investors. Soriano was named as one of the buyers
  in a bid in March 1986 for 33 mln shares controlled by UCPB.
      The sale was aborted when Diaz's Presidential Commission on
  Good Government sequestered the shares on suspicion they were
  owned by Cojuangco, a close associate of former President
  Ferdinand Marcos. Cojuangco lives in self-imposed exile in the
  U.S.. The shares grew to 38.1 mln after a 15 pct stock dividend
  announced last June.
      "We have no objection to Soriano buying the "B" shares," Diaz
  told Reuters. "But everything is on hold now."
      The SMC spokesman said he did not know if the controversy
  would be resolved before the company's annual stockholders'
  meeting, scheduled for May 14.
      San Miguel Corp reported sales revenue of 12.2 billion
  pesos in 1986, 11 pct above its 10.9 billion peso sales in
  1985. It said unaudited net profit was in the neighbourhood of
  700 mln pesos, an increase of about 50 pct over 1985.
  

RAIN BOOSTS CENTRAL QUEENSLAND SUGAR CANE CROP
  Good rains of one to four inches in the
  past 10 days have boosted moisture-stressed sugar cane crops in
  the Mackay-Burdekin region of Queensland's central coast, an
  Australian Sugar Producers' Association spokesman said.
      As previously reported, the region has been undergoing a
  severe dry spell, partly relieved by scattered rainfall, since
  December, following the virtual failure of the summer wet
  season.
      Mills in the area have been reporting that their crops are
  beginning to look healthy and greener and are putting on growth
  since the rains began, the spokesman said from Brisbane.
      Although the Mackay-Burdekin crop outlook is much better
  than it was, there will be some cane losses, the spokesman
  said. But is too early to say what they will be and more rain
  is needed to restore sub-soil moisture.
      Elsewhere, in far north Queensland, the Bundaberg region
  and southern Queensland, the cane is in excellent condition and
  some mills are forecasting record crops, he said.
      Initial 1987 crop estimates will probably be compiled
  towards the end of May, he said.
      The cane crush normally runs from June to December.
  

FRENCH TRADERS FORECAST EC SUGAR TENDER
  The European Community (EC) is expected to
  award export licences at today's weekly tender for above 60,000
  and possibly up to 100,000 tonnes of white sugar after last
  week's award for 102,350 tonnes, traders here said.
      They expected a maximum rebate of between 46.40 and 46.50
  Ecus per 100 kilos, compared to last week's 46.864.
      Earlier, traders in London said the outcome of the tender
  was very hard to predict after last week's substantial award
  and the placing of 785,000 tonnes of sugar into intervention.
  They said they believed the tonnage would be around 60,000 but
  declined to give a rebate figure.
  

ITALY'S LA FONDIARIA TO REPORT HIGHER 1986 PROFITS
  Italian insurer La Fondiaria Spa <LFDI.MI>
  said it expects to report consolidated group profit in 1986
  significantly higher than the 60 billion lire reported in 1985.
      The company said in a statement that parent company net
  profit last year will rise from the 72 billion lire reported in
  1985. Consolidated group premiums totaled 1,700 billion lire in
  1986 compared with 1,490 billion the previous year.
      Iniziativa Meta <INZI.MI>, the financial services unit of
  Montedison Spa <MONI.MI>, controls the largest single stake in
  Florence-based Fondiaria with 49.9 pct.
  

NICKEL PRICES UNLIKELY TO RISE MUCH - SHEARSON
  Nickel prices are unlikely to rise
  significantly from current levels unless further steps are
  taken to reduce production, Shearson Lehman Brothers said in
  its quarterly nickel market report.
      The market had recovered slightly to around 1.72 dlrs a lb
  yesterday from its four year low of 1.55 dlrs in early January,
  due to the absence of Soviet nickel cathode deliveries, but
  Shearson sees Soviet shipments soon returning to last year's
  buoyant levels, which should ease current tightness.
      Output reductions by producers will take effect later this
  year but are likely to be offset by increases elsewhere.
      Shearson said the nickel market will be virtually in
  balance during 1987, with total non-Socialist world demand at
  556,000 tonnes, compared with an estimated 544,000 tonnes in
  1986, production at 505,000 tonnes (504,000) and imports from
  Socialist countries at 47,000 tonnes (50,000).
      It forecast prices will edge higher during the year from a
  first quarter average of 1.67 dlrs a lb up to 1.77 dlrs in the
  last quarter. The year's average will be around 1.72 dlrs a lb
  compared with 1.76 dlrs in 1986, using London Metal Exchange
  cash metal prices in dollar terms and assuming an average 1987
  sterling exchange rate of 1.55 dlrs.
  

HIGHER 1986 PROFIT FOR DUTCH CHEMICAL FIRM DSM
  The fully state-owned Dutch
  chemical firm NV DSM <DSMN.AS> said its 1986 net profit rose to
  412 mln guilders from 402 mln in 1985, while turnover fell to
  17.7 billion guilders in 1986 from 24.1 billion in 1985.
      The company said 1986 dividend, which will be paid to the
  Dutch state in its capacity of the firm's sole shareholder,
  would be raised to 98 mln guilders from 70 mln guilders in
  1985.
      In an initial comment on its 1986 results, DSM said the
  drop in 1986 turnover had been caused mainly by losses in the
  company's fertilizer division.
  

POEHL WARNS AGAINST FURTHER DOLLAR FALL
  Bundesbank President Karl Otto Poehl
  said a weaker dollar would be risky and a further appreciation
  of the mark would damage prospects for sustained West German
  economic growth.
      In a speech to the Institute of Contempory German Affairs
  here, Poehl said "It would be an extremely risky policy to aim
  for a further substantial decline in the value of the dollar to
  correct the trade deficit."
      He said the United States could face a vicious circle of
  depreciation, inflation and more depreciation if it took that
  route.
      Poehl noted West Germany had already taken steps to meet
  U.S. Demands for greater stimulation of its domestic economy,
  accelerating tax cuts, cutting interest rates and tolerating
  above-target money supply growth.
      He said he would have been happy to have brought forward
  five billion marks of tax cuts now planned for January 1988 to
  the beginning of this year, but he said the government faced
  political constraints getting such measures through the upper
  house of the West German parliament.
      But there were also limits to the impact West Germany could
  accept on exports from a rising mark, he said.
      Poehl said West Germany relied on exports for about
  one-third of its gross national product, so a substantial
  erosion of export markets could not be offset by increasing
  demand at home.
      "A further appreciation of the mark could even be an
  obstacle to further growth," he said.
      Poehl said the Bundesbank had tolerated rapid money supply
  growth last year because the country enjoyed low inflation and
  because external factors, including low oil prices and
  favourable terms of trade, had given some extra leeway.
      But Poehl said West Germany now faced a difficult dilemma
  over monetary policy.
      The underlying rate of inflation was now two pct, not the
  reported negative inflation rates last year, and West Germany
  was affected more than before by exchange rate developments.
      "For the time being, we will have to focus our policy more
  on the external side, and we can live with a more expansionary
  money supply. But we must be very careful," he said.
      He said he shared some of the U.S. Concern about Japan's
  trade surpluses, which affected European countries as well as
  the United States.
      Poehl welcomed the so-called Louvre accord of monetary
  officials of major industrialized countries, saying the
  importance of the February 22 agreement to stabilize exchange
  rates had been underestimated.
      All partners had agreed that the dollar was at about the
  right level, and that further changes would damage growth, he
  said.
      "This was a remarkable change in attitude, especially on the
  part of our American colleagues," he said.
      But he said there was still a danger that the correction of
  the dollar's value could overshoot.
  

CINCINNATI BELL <CSN> STARTS AUXTON <AUXT> BID
  Cincinnati Bell Inc said it has started
  its previously-announced 15.75 dlr per share tender offer for
  all shares of Auxton Computer Enterprises Inc.
      In a newspaper advertisement, the company said the tender
  and withdrawal rights will expire May Five unless extended. The
  offer, which has been approved by the Auxton board and is to be
  followed by a merger at the same price, is conditioned on
  receipt of a majority of Auxton's voting stock on a fully
  diluted basis.
  

CALIFORNIA BIOTECH <CBIO> SEES 1ST QTR LOSS
  California Biotechnology
  Inc said it expects to report a loss of 1,300,000 dlrs to
  1,600,000 dlrs for the first quarter due to increased
  investment in research and manufacturing and a scaleup of
  production.
      The company said research spending is running 50 to 60 pct
  above a year ago as it tries to commercialize its products as
  quickly as possible, and increased expenditures are expected to
  continue for several more quarters.  It said operating results
  will fluctuate quarter to quarter, depending on the timing of
  significant payments from commercial partners.
      In the first three months of 1986, the company lost 150,000
  dlrs.  The company changed its fiscal year in 1986 to a
  calendar year from a year ending November 30.  For the first
  quarter of last year, ended February 28, California Biotech
  earned 114,000 dlrs.
  

PALL CORP <PLL> SETS QUARTERLY DIVIDEND
  Qtly div 8-1/2 cts vs 8-1/2 cts prior
      Pay May One
      Record April 20
  

UNILEVER SEEKS BUYER FOR STAUFFER CHEMICAL
  Unilever Plc and NV <UN.AS> has issued a
  prospectus through investment bankers Goldman Sachs and Co
  seeking a buyer for <Stauffer Chemical Co> of the U.S., Which
  it acquired with the recent takeover of <Chesebrough-Pond's
  Inc>, a Unilever spokesman said.
      He noted Unilever has been indicating plans to dispose of
  Stauffer, plus some smaller assets of Chesebrough, since the
  bid was made in December.
      The Stauffer sale prospectus has been sent in recent weeks
  to a number of companies expressing interest.
      The Unilever spokesman declined to say how much the group
  expected to receive for Stauffer.
      Chesebrough's footwear and tennis racket businesses are
  also likely to be disposed of, he added.
      Immediately available financial information on Stauffer,
  which is wholly-owned, was limited, he added. Nine month sales
  to September 1986 were about 1.2 billion dlrs.
      Unilever aquired Chesebrough for 3.2 billion dlrs in order
  to benefit from its well-known toiletry brands and food
  products.
  

CONRAC CORP SAID IT HAS ENTERED TALKS ON ITS ACQUISITION WITH SEVERAL PARTIES
  CONRAC CORP SAID IT HAS ENTERED TALKS ON ITS ACQUISITION WITH SEVERAL PARTIES
  

CONRAC <CAX> IN MERGER TALKS WITH SEVERAL
  Conrac Corp sait has started
  negotiations with several interested parties on its possible
  acquisition.
      It said there can be no assurance that any transaction will
  result from the talks.  It gave no further details.
      Mark IV Industries Inc <IV> started tendering for all
  Conrac shares at 25 dlrs each on March 24 and owned 9.9 pct of
  Conrac before starting the bid.
      Conrac is a producer and marketer of computer-related
  information display and communications equipment which also
  produces special purpose architectural and industrial products.
      It owns Code-A-Phone Corp, a producer of telephone
  answering machines.
      For 1986, the company reported profits of 7.8 mln dlrs, or
  1.16 dlrs a share, on sales of 153.9 mln dlrs. It has nearly
  6.8 mln shares outstanding.
  

JAPAN'S LDP URGES MORE IMPORTS OF 12 FARM ITEMS
  The ruling Liberal Democratic Party (LDP)
  has proposed expanding imports of 12 farm products named in a
  U.S. Complaint against Japan to the General Agreement on
  Tariffs and Trade last year, an LDP official said.
      The products include fruit juices, purees and pulp, some
  tomato products, peanuts, prepared beef products and beans.
      The proposal will be used as the basis for a more detailed
  LDP economic package to cut the trade surplus with the U.S. The
  party is expected to formalise the package before April 19,
  when LDP General Council Chairman Shintaro Abe visits
  Washington.
  

COMPUTER RESEARCH INC <CORE> 2ND QTR FEB 28 NET
  Shr 14 cts vs nine cts
      Net 217,572 vs 153,454
      Revs 2,530,273 vs 2,558,924
      1st half
      Shr 19 cts vs 11 cts
      Net 299,838 vs 174,739
      Revs 4,865,249 vs 4,495,021
  

AUSTRALIAN FOREIGN SHIP BAN ENDS
  Tug crews in New South Wales (NSW),
  Victoria and Western Australia yesterday lifted their ban on
  foreign-flag ships carrying containers but NSW ports are still
  being disrupted by a separate dispute, shipping sources said.
      The ban, imposed a week ago over a pay claim, had prevented
  the movement in or out of port of nearly 20 vessels, they said.
  The pay dispute went before a hearing of the Arbitration
  Commission today.
      Meanwhile, disruption began today to cargo handling in the
  ports of Sydney, Newcastle and Port Kembla, they said.
      The industrial action at the NSW ports is part of the week
  of action called by the NSW Trades and Labour Council to
  protest changes to the state's workers' compensation laws.
  

RUBBERMAID INC 1ST QTR SHR 28 CTS VS 22 CTS
  RUBBERMAID INC 1ST QTR SHR 28 CTS VS 22 CTS
  

INDEPENDENT CHAIRMAN FOR DUTCH CARGO DISPUTE
  The two sides in the Rotterdam port
  general cargo dispute have agreed to appoint an independent
  chairman, Han Lammers, to preside over future meetings,
  employers' spokesman Gerard Zeebregts said.
      Lammers, Queen's Commissioner for the province of
  Flevoland, will not act as a mediator but will draw up an
  agenda and procedures for meetings between the employers and
  unions on a work-practice agreement and proposed redundancies.
      Two months of strikes in the sector began on January 19 in
  protest at employers' proposals for 350 redundancies from the
  4,000-strong workforce this year.
      The strikes were called off by the main port union FNV on
  March 13 following an Amsterdam court's interim injunction
  against the redundancies on procedural grounds.
      The court is due to make a final ruling on May 7 but
  Zeebregts said he expected the judgment to go against the
  employers and they were therefore very likely to restart the
  complicated legal redundancy procedures in the near future.
      Meanwhile, the dispute over a new work-practice agreement
  in the port's grain sector continued, with 30 maintenance
  workers on strike, although loading was not affected, a
  spokesman for Graan Elevator Mij, the largest employer in the
  sector, said.
      The employers have written to the union asking it to
  reconsider its position and a meeting of union members has been
  called for tomorrow.
  

ELECTRO RENT CORP <ELRC> 3RD QTR FEB 28 NET
  Shr 20 cts vs 32 cts
      Net 1,358,000 vs 2,476,000
      Revs 27.1 mln vs 26.2 mln
      Avg shrs 6,852,000 vs 7,764,000
      Nine mths
      Shr 68 cts vs 1.05 dlrs
      Net 4,957,000 vs 8,129,000
      Revs 82.6 mln vs 78.8 mln
      Avg shrs 7,316,000 vs 7,754,000
  

RUBBERMAID INC <RBD> 1ST QTR NET
  Shr 28 cts vs 22 cts
      Net 20.6 mln vs 16.1 mln
      Sales 238.0 mln vs 188.8 mln
  

WTC INTERNATIONAL INC <WAF> 4TH QTR FEB 28 NET
  Shr profit 13 cts vs loss 33 cts
      Net profit 1,149,000 vs loss 2,833,000
      Rev 51.8 mln vs 47.8 mln
      Year
      Shr profit 24 cts vs loss 18 cts
      Net profit 2,050,000 vs loss 1,551,000
      Rev 200.6 mln vs 180.1 mln
  

U.K. MONEY MARKET GIVEN FURTHER 166 MLN STG HELP
  The Bank of England said it provided the
  market with further help totalling 166 mln stg during the
  afternoon.
      In band one, it bought 31 mln stg of treasury bills and
  three mln stg of bank bills at 9-7/8 pct, while in band two it
  bought 69 mln stg of bank bills at 9-13/16 pct. In addition, it
  bought 63 mln stg of band three bank bills at 9-3/4 pct.
      This brings the total assistance by the Bank so far today
  to 219 mln stg against a liquidity shortage it has estimated at
  around 300 mln stg.
  

MEAD CORP 1ST QTR OPER SHR 1.09 DLRS VS 67 CTS
  MEAD CORP 1ST QTR OPER SHR 1.09 DLRS VS 67 CTS
  

RUBBERMAID <RBD> SEES CONTINUED IMPROVEMENT
  Rubbermaid Inc said its incoming
  order rates continue strong and it expects to continue
  recording favorable year to year comparisons in each remaining
  quarter of 1987.
      Today the company reported first quarter earnings of 20.6
  mln dlrs on sales of 238.0 mln dlrs, up from earnings of 16.1
  mln dlrs on sales of 188.8 mln dlrs.
  

CAYUGA SAVINGS BANK <CAYB> 1ST QTR NET
  Shr 55 cts vs 41 cts
      Net 494,000 vs 204,000
      Avg shrs 896,655 vs 494,155
  

JOHNSTOWN SAVINGS BANK FSB <JSBK> 1ST QTR NET
  Shr 33 cts vs not given
      Net 642,484 vs 362,883
      NOTE: Company went public in October 1986.
      Net includes pretax loan loss provisions of 90,000 dlrs vs
  56,250 dlrs and gain on sale of securities of 113,432 dlrs vs
  88,946 dlrs.
  

HOME SAVINGS AND LOAN ASSOCIATION INC <HSLD>
  2nd qtr March 31
      Shr 57 cts vs not given
      Net 790,874 vs 628,020
      1st half
      Shr 1.15 dlrs vs not given
      Net 1,588,985 vs 1,073,163
      NOTE: Company recently went public.
  

GEODYNAMICS CORP <GDYN> 3RD QTR FEB 27 NET
  Shr 21 cts vs 20 cts
      Net 596,000 vs 594,000
      Revs 8,693,000 vs 8,164,000
      Nine mths
      Shr 61 cts vs 58 cts
      Net 1,784,000 vs 1,653,000
      Revs 26.3 mln vs 23.0 mln
  

SWEDISH UNEMPLOYMENT STEADY IN MARCH
  Swedish unemployment was steady at 2.2
  pct of the workforce in March compared with the previous month,
  the Central Bureau of Statistics said.
      In March 1986, the figure stood at 2.4 pct.
  

COMPAQ <CPQ> EXPECTS HIGHER FIRST QUARTER NET
  Compaq Computer Corp said it expects
  sales and earnings for the first quarter of 1987 to be higher
  than analysts expectations due to strong demand for its
  products.
      Rod Canion, president and chief executive officer of
  Compaq, said he expects sales of over 200 mln dlrs for the
  period ending March 31, above analysts' estimates of 165-185
  mln dlrs. He added that earnings per share would exceed
  analysts estimates of as high as 42 cts a share.
      Compaq reported earnings of 8.3 mln dlrs, or 30 cts a
  share, and sales of 144 mln dlrs for the first quarter 1986.
      The company said demand for its DESKPRO 386, PORTABLE III
  and the new COMPAQ DESKPRO 286 will contribute to the sales
  increase.
      "The initial demand for the recently introduced COMPAQ
  PORTABLE III and the new models of the COMPAQ DESKPRO 286
  exceeds that of any other Compaq personal computers," Canion
  said. "We saw continued demand for our personal computers
  across the quarter, with March (1987) being a particularly
  strong month.
  

I.U. INTERNATIONAL <IU> TO SELL INSURANCE UNITS
  I.U. International Co said it
  reached a preliminary agreement to sell the Hawaiian Insurance
  Cos to Hawaiian Electric Industries Inc. <HE>.
      Terms of the transaction were not disclosed, the company
  said.
      The transaction is subject to the execution of definitive
  agreements, certain governmental approvals and approvals by the
  boards of directors involved, I.U. International said.
      Hawaiian Electric said the planned purchase was part of its
  strategy to increase the company's investment in selected
  service industries in Hawaii, including financial services.
  

CXR TELCOM CORP <CXRL> 3RD QTR MARCH 31 NET
  Shr nil vs nil
      Net 215,000 vs 16,000
      Revs 2,800,000 vs 1,100,000
      Nine mths
      Shr one ct vs nil
      Net 620,000 vs 231,000
      Revs 8,100,000 vs 2,100,000
  

PROXMIRE OUTLINES INSIDER TRADING LEGISLATION
  Senate Banking Committee Chairman
  William Proxmire (D-Wis) said he planned to introduce
  legislation shortly to require greater public disclosure of
  corporate takeovers and fairer treatment for all shareholders.
      Speaking to the National Association of Manufacturers,
  Proxmire said recent insider trading stock scandals increased
  the chance that Congress will act to curb abuses.
      "We are proposing legislation that would provide for more
  disclosure, would be fairer to all shareholders, and would
  insure that takeovers are properly financed," he said.
      Among the provisions, the bill would reduce the threshold
  for notifying the Securities and Exchange Commission that a
  investor or group has acquired a percentage of stock in a
  company to three pct from the current five pct threshold within
  10 days, Proxmire said.
      In addition, there would be a pre-notificaton requirement
  that an investor intended to aquire three pct that would have
  to filed with the SEC.
      Proxmire said the pre-notification requirement was meant to
  prevent arbitragers from having a jump on the general public in
  knowing about coming takeover attempts.
      Proxmire said he would call for extending the period that a
  tender offer must be kept open under the Williams Act to 60
  business days from the current 20 business days.
      His bill would provide for private suits if the acquiring
  company violated the time period on the tender offer.
      To correct abuses in the financing of takeovers, Proxmire
  said the legislation would aim at insuring current margin
  requirments are properly enforced.
      The Federal Reserve Board has a 50 pct margin requirement
  for purchasing stock, but Proxmire said it is not generally
  enforced in hostile takeovers.
      Rather, the groups or individuals leading a takeover
  declare that they can raise the capital for a takeover without
  actually putting any of their own money, Proxmire said.
      He said his bill would allow private suits for damages for
  failure to meet the Federal Reserve's 50 pct margin
  requirements.
      The bill also would require more disclose when several
  investors form an alliance in a hostile takeover.
      "When Pickens and Icahn get together we want people to know
  about it," Proxmire said.
      Proxmire said he favored the approach used in Britain
  towards two-tiered tender offers that insures that all
  shareholders recieve equal treatment.
      He said he expected amendments to the bill also would cover
  defensive mechanisms such as green mail and poison pills.
      Proxmire said he intended to introduce his bill later this
  month and predicted the Senate committee would act this spring.
      He said he was hopeful Congress could pass a bill this
  year.
  

HELEN OF TROY CORP <HELE> 4TH QTR FEB 28 NET
  Shr 17 cts vs 13 cts
      Net 598,000 vs 392,000
      Sales 10.2 mln vs 7,474,000
      Avg shrs 3,432,000 vs 3,045,000
      Year
      Oper shr profit 1.05 dlrs vs loss 47 cts
      Oper net profit 3,498,000 vs loss 1,427,000
      Sales 52.2 mln vs 40.8 mln
      Avg shrs 3,320,000 vs 3,060,000
      NOTE: Latest year net excludes 782,000 dlr tax credit.
  

BANKERS TRUST <BT> PUTS BRAZIL ON NON-ACCRUAL
  Bankers Trust New York Corp said it has
  placed its approximately 540 mln dlrs of medium- and long-term
  loans to Brazil on non-accrual status and that first-quarter
  net income will be reduced by about seven mln dlrs as a result.
      Brazil suspended interest payments on its 68 billion dlrs
  of medium- and long-term debt on February 22.
      U.S. banking regulations do not require banks to stop
  accruing interest on loans until payments are 90 days overdue,
  but Bankers Trust said it acted now because of "the high
  potential of a continued suspension that would result in
  reaching the 90-day limit in the second quarter of 1987."
      Assuming no cash payments at current interest rates are
  received for the rest of 1987, Bankers Trust estimated that
  full-year net income would be reduced by about 30 mln dlrs.
      Bankers Trust said it assumes that debt negotiations
  between Brazil and its commercial bank lenders will lead to the
  resumption of interest payments.
      The negotiations resume in New York on Friday when central
  bank governor Francisco Gros is expected to ask banks for a
  90-day rollover of some 9.5 billion dlrs of term debt that
  matures on April 15.
  

<FIRST MERCANTILE CURRENCY FUND INC> 1ST QTR NET
  Shr profit 63 cts vs 22 cts
      Net 775,868 vs 276,446
      Revs 2,255,742 vs 706,130
  

 UK INTERVENTION BD SAYS EC SOLD 118,350 TONNES WHITE SUGAR AT REBATE 46.496 ECUS.

   UK INTERVENTION BD SAYS EC SOLD 118,350 TONNES WHITE SUGAR AT REBATE 46.496 ECUS.
  

STOLTENBERG SEES MOVES TO STRENGTHEN PARIS ACCORD
  West German Finance Minister Gerhard
  Stoltenberg said today's meetings of major industrial countries
  would look at ways of strengthening the Paris accord on
  stabilizing foreign exchange rates.
      Stoltenberg told journalists he saw no fundamental weakness
  of the February 22 agreement of the Group of Five countries and
  Canada to keep exchange rates near the then-current levels.
      But he declined to say what measures would be discussed
  ahead of a communique of the Group of Seven ministers later
  today.
      Stoltenberg and Bundesbank President Karl Otto Poehl said
  the importance of the Paris agreement, also known as the Louvre
  accord, had been underestimated.
      Stoltenberg said there is greater agreement now among major
  countries than six months ago, at the time of the annual
  meeting of the International Monetary Fund and World Bank,
  marked by sharp discord between the United States and its major
  trading partners.
      "There is no fundamental weakness of the Paris accord," he
  said. "We will be looking at ways of strengthening it, but I do
  not want to discuss that here.
      Stoltenberg said the Louvre agreement was working despite a
  "slight firming" of the yen against the dollar.
      And Poehl noted that the dollar/mark parity was unchanged
  since February 22 without the Bundesbank having had to sell
  marks to support the dollar.
      "The Louvre agreement has been honored by the market," he
  said.
      Poehl said West Germany had lived up to its side of the
  bargain in Paris by preparing the way for tax cuts to be
  accelerated as a way of stimulating growth.
      Poehl said, however, that Japan had not yet fulfilled its
  pledges for economic stimulation.
      "And we will have to see if the United States is able to do
  what they promised in Paris on reducing the budget deficit --
  and get it through Congress," he added.
      Stoltenberg reiterated West German concern about a further
  fall in the dollar, noting that the mark was up 85 pct against
  the dollar and nearly 20 pct on a trade-weighted basis.
      "You cannot expect that to go unnoticed in an economy. And
  it is not just a German problem, it is a European problem," he
  said.
  

U.K. INTERVENTION BOARD DETAILS EC SUGAR SALES
  A total 118,350 tonnes of current series
  white sugar received export rebates of a maximum 46.496
  European Currency Units (Ecus) per 100 kilos at today's
  European Community (EC) tender, the U.K. Intervention Board
  said.
      Out of this, traders in the U.K. Received 37,800 tonnes, in
  France 34,500, in West Germany 20,000, in Belgium 18,500, in
  Spain 5,800 and in Denmark 1,750 tonnes, it added.
      Earlier today, London traders had declined to give a
  projected view on the level of subsidy although some said total
  tonnage awards would be around 60,000 tonnes.
      Paris traders foresaw between 60,000 and 100,000 tonnes
  being authorised for export at a 46.40/46.50 Ecu subsidy.
      Cumulative sales authorisations for the current season
  (1986/87) now stand at 2,194,970 tonnes (43 weeks).
      Last week saw 102,350 tonnes whites authorised for export
  under licences to end-Sep at the higest ever rebate of 46.864
  European Currency Units (Ecus) per 100 kilos.
  

MEAD <MEA> EXPECTS IMPROVED EARNINGS THIS YEAR
  Mead Corp said the outlook for its
  major paper markets looks strong for the second quarter and
  augurs well for its earnings in 1987.
      "The generally strong outlook bodes well for significantly
  improved earnings this year," Burnell Roberts, chairman and
  chief executive officer said.
      Earlier, the company reported first quarter earnings of
  34.2 mln dlrs, or 1.09 dlrs a share, versus 20.3 mln dlrs, or
  65 cts a share, in last year's first quarter.
      In 1986 the company reported earnings from continuing
  operations of 109.3 mln dlrs, or 3.50 dlrs a share.
      Mead said its first quarter benefitted from stronger market
  conditions and improved operations.
      "The combination of capital improvement programs and more
  employee involvement has been paying off throughout our paper
  operations," Roberts said.
      He added that Mead's pulp and paperboard businesses are
  operating well as prices have improved and strong demand has
  placed most products in a sold-out position through the middle
  of the year.
      Mead said sales of its unbleached coated paperboard was
  particularly strong, up 13 pct versus the first quarter 1986.
  

AMERTEK INC <ATEKF> 1ST QTR NET
  Shr profit 20 cts vs loss three cts
      Net profit 849,299 vs loss 82,512
      Revs 7,929,138 vs 3,849,224
  

ALEX BROWN INC <ABSB> 1ST QTR MARCH 27 NET
  Shr primary 78 cts vs 68 cts
      Shr diluted 75 cts vs 68 cts
      Qtrly div six cts vs five cts
      Net 7,929,000 vs 6,569,000
      Revs 78.7 mln vs 61.9 mln
      NOTE: Pay date for the qtrly div is April 28 for
  shareholders of record April 20.
  

TOWN AND COUNTRY JEWELRY MANUFACTURING <TCJC>
  4thh qtr Feb 28
      Shr 46 cts vs 22 cts
      Net 2,139,034 vs 854,182
      Sales 30.8 mln vs 20.6 mln
      Avg shrs 5,280,854 vs 4,559,646
      Year
      Shr 1.34 dlrs vs 1.15 dlrs
      Net 5,935,117 vs 4,156,171
      Sales 107.2 mln vs 71.6 mln
      Avg shrs 5,281,387 vs 3,616,183
      NOTE: Town and Country Jewelry Manufacturing Corp.
  

PAXAR CORP <PAKS> MAKES ACQUISITION
  Paxar Corp said it has
  acquired Thermo-Print GmbH of Lohn, West Germany, a distributor
  of Paxar products, for undisclosed terms.
  

<MARK'S WORK WEARHOUSE LTD> YEAR JAN 31 NET
  Shr 10 cts vs 32 cts
      Net 975,000 vs 3,145,000
      Sales 159.1 mln vs 147.3 mln
  

CANADIAN BASHAW, ERSKINE RESOURCES TO MERGE
  Canadian Bashaw Leduc Oil and
  Gas Ltd said it agreed to merge with Erskine Resources Ltd.
  Terms were not disclosed.
      Ownership of the combined company with 18.8 pct for the
  current shareholders of Canadian Bashaw and 81.2 pct to the
  current shareholders of Erskine, the companies said.
  

ENTOURAGE <ENTG> HAS FIRST QUARTER LOSS
  Entourage International Inc said it had
  a first quarter loss of 104,357 dlrs, after incurring 70,000
  dlrs in costs for an internal audit, a report for shareholders
  and proxy soliciation and 24,000 dlrs in startup expenses for
  opening London offices.
      The company went public during 1986.
      Entourage also said it has started marketing a solid
  perfume packaged in a lipstick tube called "Amadeus," retailing
  at 15 dlrs.
      The company also said it has acquired North Country Media
  Group, a video productions company.
  

<MR. JAX FASHIONS INC> YEAR FEB 28 NET
  Shr 58 cts vs 29 cts
      Net 3,141,000 vs 1,440,000
      Sales 24.7 mln vs 13.0 mln
  

F.W. WOOLWORTH CO SAYS IT HIKES DIVIDEND TO 33 CTS A SHARE FROM 28 CTS

  F.W. WOOLWORTH CO SAYS IT HIKES DIVIDEND TO 33 CTS A SHARE FROM 28 CTS
  

F.W. WOOLWORTH CO <Z> HIKES DIVIDEND
  Qtly div 33 cts vs 28 cts prior
      Pay June 1
      Record May 1
  

DUTCH SUGAR BEET PLANTING HALF FINISHED
  Roughly half of this year's expected
  130,000 hectare Dutch sugar beet crop is already in the ground,
  a spokesman for Suiker Unie, the largest sugar processor in the
  Netherlands, told Reuters.
      Conditions are generally good and the average sowing date
  for the crop is expected to be around April 11, against April
  23 last year, and a 10-year average of April 14, the spokesman
  added.
      "It is far too early yet to say what kind of output we can
  expect when it comes to harvest in September, but at least the
  crop is off to a very good start," he said.
      Last year, the Netherlands planted a record 137,600
  hectares of sugar beet and produced a record 1.2 mln tonnes of
  white sugar, substantially more than the country's combined "A"
  and "B" quota of 872,000 tonnes.
      This year, however, a self-imposed quota system has been
  introduced with the aim of cutting plantings to 130,000
  hectares and reducing white sugar output to around 915,000
  tonnes to minimise the amount of non-quota "C" sugar produced.
      Only farmers with a record of growing suger beet have been
  allotted quotas. This is expected to prevent the area being
  boosted by dairy or cereal farmers moving into sugar.
  

J.P. MORGAN AND CO INC 1ST QTR SHR 1.22 DLRS VS 1.28 DLRS

  J.P. MORGAN AND CO INC 1ST QTR SHR 1.22 DLRS VS 1.28 DLRS
  

EC COMMISSION DETAILS SUGAR TENDER
  The EC Commission confirmed it granted
  export licences for 118,350 tonnes of current series white
  sugar at a maximum export rebate of 46.496 European Currency
  Units (ECUs) per 100 kilos.
      Out of this, traders in France received 34,500 tonnes, in
  the U.K. 37,800, in West-Germany 20,000, in Belgium 18,500, in
  Spain 5,800 and in Denmark 1,750 tonnes.
  

VOLKSWAGEN DIVIDEND DECISION DUE TOMORROW
  Volkswagen AG <VOWG.F>,
  VW, is due to make a formal announcement about its 1986
  dividend tomorrow after saying the 1985 level of 10 marks per
  ordinary share would be held, despite massive losses because of
  a suspected foreign currency fraud.
      A spokesman said VW's supervisory board will meet tomorrow
  to discuss the payout.  A statement will be made afterwards.
      VW has also said disclosed profits for 1986 will reach
  their 1985 level, despite provisions of a possible 480 mln
  marks linked to the currency affair. The figure is virtually
  the same as the 477 mln mark 1985 parent company net profit.
      When VW first confirmed the currency scandal on March 10 it
  said the management board would propose an unchanged 10-mark
  dividend to the supervisory board. A dividend of 11 marks would
  be proposed for the company's new preference shares.
      Share analysts said they saw supervisory board approval of
  the management board proposal as virtually a formality.
  "Anything else would be more than a surprise," one said.
      Company sources said VW would have to dig into reserves to
  maintain the disclosed profit. Parent company reserves stood at
  around three billion marks at end-1985.
  

CITYTRUST BANCORP INC <CITR> 1ST QTR NET
  Shr 1.40 dlrs vs 1.16 dlrs
      Net 5,776,000 vs 4,429,000
      Avg shrs 4,132,828 vs 3,834,117
  

SOUTHMARK <SM> ACQUIRES 28 NURSING HOMES
  Southmark Corp said it acquired 28
  long-term care facilities containing for approximately 70 mln
  dlrs in cash.
      It said the facilities, which contain approximately 2,500
  beds in seven western states, were bought from Don Bybee and
  Associates, of Salem,Ore.
      The acquistion brings to 57 health care facilities acquired
  in the last three months, the company said.
  

J.P. MORGAN AND CO INC <JPM> 1ST QTR NET
  shr 1.22 dlrs vs 1.28 dlrs
      net 226.4 mln vs 233.9 mln
      assets 80.45 billion vs 70.23 billion
      loans 35.16 billion vs 35.99 billion
      deposits 45.22 billion vs 39.68 billion
      return on assets 1.14 pct vs 1.35 pct
      return on common equity 18.20 pct vs 22.08 pct
      NOTE: 1987 qtr net was reduced by 20 mln dlrs because 1.3
  billion dlrs of loans to Brazil were placed on non-accrual.
      loan loss provision 35 mln dlrs vs 70 mln year earlier.
  

FIRSTBANC CORP OF OHIO <FBOH> 1ST QTR NET
  Shr 74 cts vs 67 cts
      Net 8,067,000 vs 7,317,000
  

MAYFAIR SUPER MARKETS INC <MYFRA> 2ND QTR NET
  Qtr ends Feb 28
      Shr Class A 61 cts vs 48 cts
      Shr Class B 59 cts vs 46 cts
      Net 2,358,000 vs 1,876,000
      Revs 122,508,000 vs 105,871,000
      Six mths
      Shr Class A 1.15 dlrs vs 86 cts
      Shr Class B 1.13 dlrs vs 84 cts
      Net 4,485,000 vs 3,378,000
      Revs 242,453,000 vs 210,117,000
      NOTE: qtr and six mths prior figures reflect two-for-one
  stock split in August 1986.
  

HANOVER INSURANCE <HINS> GET SPLIT APPROVAL
  Hanover Insurance Co said its
  stockholders approved a two-for-one stock split.
      As a result of the split, Hanover said it increases the
  number of authorized shares of capital stock from 10.4 mln,
  having a par value of one dlr, to 20.9 mln, also having a par
  value of one dlr.
      The stock split is payable April 30 to stockholders of
  record April 10, Hanover said.
  

NATIONAL GUARDIAN <NATG> MAKES ACQUISITIONS
  National Guardian Corp said it
  has acquired a number of security services companies recently,
  with aggregate revenues of about 3,500,000 dlrs, for an
  aggregate cost of about 2,700,000 dlrs.
      It said it acquired guard service companies C.S.C. Security
  Gaurd Service of Paramus, N.J., from Cartel Security
  Consultants Inc, the Guard Services Division of Security
  Services of America of Wayne, N.J., Capital Investigations and
  Protective Agency of Hackensack, N.J., and Meyer Detective
  Agency Inc of National Park, N.J.
      The company said it bought alarm service operations
  Certified Security Services Inc of Key West, Fla., Custom
  Security Services of Myrtle Beach, S.C., A-T-E Security Group
  Inc of Houston and the Louisville, Kent and Nashville, Tenn,
  offices of Wells Fargo Alarm Services.
  

UNIVERSAL MEDICAL <UMBIZ> DISTRIBUTION SET
  Qtly distribution 7-1/2 cts vs 7-1/2 cts prior (excluding
  2-1/2 cts special)
      Pay April 30
      Record April 22
      NOTE: Full name is Universal Medical Buildings L.P.
  

ZAMBIA DOES NOT PLAN RETAIL MAIZE PRICE HIKE
  The Zambian government has no immediate
  plans to follow last week's increase in the producer price of
  maize with a hike in the retail price of maize meal, an
  official of the ruling party said.
      Last December, a 120 pct increase in the consumer price for
  refined maize meal, a Zambian staple, led to food riots in
  which at least 15 people died.
      That price increase, which President Kenneth Kaunda later
  revoked, followed pressure by the International Monetary Fund
  (IMF) to reduce the government's subsidy bill.
      However, if the producer price rise, from 6.10 dlrs to 8.67
  dlrs per 90-kg bag, is not accompanied by a retail price
  increase, the government will have to spend more on subsidies,
  a practice discouraged by the IMF.
      "There is no way out but to raise the subsidy levels of
  meal. It (the government) would have to choose between the
  demands of the IMF and those of the people," a Ministry of
  Agriculture economist said.
  

WEDGESTONE REALTY <WDG> ACQUISITION APPROVED
  Wedgestone Realty Investors Trust
  said shareholkders have approved the acquisition of its
  advisor, Wedgestone Advisory Corp, for 600,000 shares.
      It said completion is expected to take place April 10.
  

SUN <SUN> CUTS HEATING OIL BARGE PRICE
  Sun Co's Sun Refining and Marketing Co
  subsidiary said it is decreasing the price it charges contract
  barge customers for heating oil in ny harbor by 0.50 cent a
  gallon, effective today.
      The 0.50 cent a gallon price reduction brings Sun's heating
  oil contract barge price to 50 cts a gallon, the company said.
  

FURTHER ARGENTINE COARSE GRAIN LOSSES FEARED
  Argentine grain producers adjusted
  their yield estimates for the 1986/87 coarse grain crop
  downward in the week to yesterday after the heavy rains at the
  end of March and beginning of April, trade sources said.
      They said sunflower, maize and sorghum production estimates
  had been reduced despite some later warm, dry weather, which
  has allowed a return to harvesting in some areas.
      However, as showers fell intermittently after last weekend,
  producers feared another spell of prolonged and intense rain
  could cause more damage to crops already badly hit this season.
      Rains in the middle of last week reached an average of 27
  millimetres in parts of Buenos Aires province, 83 mm in
  Cordoba, 41 in Santa Fe, 50 in Entre Rios and Misiones, 95 in
  Corrientes, eight in Chaco and 35 in Formosa.
      There was no rainfall in the same period in La Pampa.
      Producers feared continued damp conditions could produce
  rotting and lead to still lower yield estimates for all the
  crops, including soybean.
      However, as the lands began drying later in the week
  harvesting advanced considerably, reaching between 36 and 40
  pct of the area sown in the case of sunflower.
      Deterioration of the sunflower crop evident in harvested
  material in Cordoba, La Pampa and Buenos Aires forced yield
  estimates per hectare to be adjusted down again.
      The season's sunflowerseed production is now forecast at
  2.1 mln to 2.3 mln tonnes, against 2.2 mln to 2.4 mln forecast
  last week and down 43.9 to 48.8 pct on the 1985/86 record of
  4.1 mln.
      Area sown to sunflowers was two to 2.2 mln hectares, 29.9
  to 36.3 pct below the record 3.14 mln hectares last season.
      Maize harvesting has also reached 36 to 40 pct of the area
  sown. It is near completion in Cordoba and Santa Fe and will
  begin in La Pampa and southern Buenos Aires later in April.
      Production estimates for maize were down from last week at
  9.5 mln to 9.8 mln tonnes, against 9.6 mln to 9.9 mln estimated
  previously.
      This is 22.2 to 23.4 pct below the 12.4 mln to 12.6 mln
  tonnes estimated by private sources for the 1985/86 crop and
  21.9 to 25.8 pct down on the official figure of 12.8 mln
  tonnes.
      Maize was sown on 3.58 mln to 3.78 mln hectares, two to
  seven pct down on last season's 3.85 mln.
      Sorghum was harvested on 23 to 25 pct of the area sown in
  Cordoba, Santa Fe and Chaco. Harvest will start in La Pampa and
  Buenos Aires in mid-April.
      The total area sown was 1.23 mln to 1.30 mln hectares, 10.3
  to 15.2 pct down on the 1.45 mln sown last season.
      The new forecast for the sorghum crop is 2.9 mln to 3.2 mln
  tonnes compared with three mln to 3.3 mln forecast last week,
  and is 23.8 to 29.3 pct down on last season's 4.1 mln to 4.2
  mln tonne crop.
      The soybean crop for this season was not adjusted,
  remaining at a record 7.5 mln to 7.7 mln tonnes, up 4.2 to 5.5
  pct on the 7.2 mln to 7.3 mln estimated by private sources for
  1985/86 and 5.6 to 8.5 pct higher than the official figure of
  7.1 mln.
      The area sown to soybeans this season was a record 3.7 mln
  to 3.8 mln hectares, 10.8 to 13.8 pct up on the record 3.34 mln
  sown in 1985/86.
      The soybean crop is showing excessive moisture in some
  areas and producers fear they may discover more damage. Some
  experimental harvesting was carried out in Santa Fe on areas
  making up only about one pct of the total crop but details on
  this were not available.
      Preparation of the fields for the 1987/88 wheat crop, which
  will be sown between May and August or September, has so far
  not been as intense as in previous years.
  

DUTCH ADJUSTED UNEMPLOYMENT RISES IN MARCH
  Dutch seasonally adjusted unemployment
  rose in the month to end-March to a total 693,000 from 690,600
  at end-February, but was well down from 730,100 at end-March
  1986, Social Affairs Ministry figures show.
      The figure for male jobless rose by 2,000 in the month to
  436,500 compared with 470,700 a year earlier. The figure for
  women was 256,500 at end-March against 256,100 a month earlier
  and 259,400 at end-March 1986.
      On an unadjusted basis total unemployment fell by 16,500 in
  the month to end-March to 692,200. In March 1986 the figure was
  725,000.
      A ministry spokesman said the unadjusted figures showed a
  smaller than usual seasonal decrease for the time of year,
  because of particularly cold weather delaying work in the
  building industry. He said this explained the increase in the
  adjusted statistics.
      Total vacancies available rose by 1,900 to 26,300 at
  end-March. A year earlier the figure was 28,763.
  

 8-APR-1987 11:06:39.06
   8-APR-1987 11:06:39.06

TOP OFFICIALS ARRIVE AT TREASURY FOR G-5 TALKS
  Top officials of leading industrial
  nations arrived at the U.S. Treasury main building to begin a
  meeting of the Group of Five.
      Officials seen arriving by Reuter correspondents included
  West German Finance Minister Gerhard Stoltenberg and Bundesbank
  President Karl Otto Poehl, French Finance Minister Edouard
  Balladur and his central banker Jacques de Larosiere.
      Also seen arriving were Japanese Finance Minister Kiichi
  Miyazawa and Japan's central bank governor Satoshi Sumita and
  British Chancellor of the Exchequer and central bank governor
  Robin Leigh Pemberton.
      There was no immediate sign of Italian or Canadian
  officials. Monetary sources have said a fully blown meeting of
  the Group of Seven is expected to begin around 3 p.m. local
  time (1900 gmt) and last at least until 6 p.m. (2200 gmt), when
  a communique is expected to be issued.
      Italian sources said Italian acting Finance Minister
  Giovanni Goria met Treasury Secretary James Baker last night.
      At those talks Baker apparently convinced Goria, who
  declined to attend the February meeting of the Group of Seven
  in Paris, that Italy would participate fully in any meaningful
  decisions.
  

FED EXPECTED TO SET CUSTOMER REPURCHASES
  The Federal Reserve is expected to
  intervene in the government securities market to supply
  temporary reserves indirectly via customer repurchase
  agreements, economists said.
      Economists expect the Fed to execute 2.0-2.5 billion dlrs
  of customer repos to offset pressures from the end of the
  two-week bank reserve maintenance period today. Some also look
  for a permanent reserve injection to offset seasonal pressures
  via an outright purchase of bills or coupons this afternoon.
       The Federal funds rate opened at 6-3/8 pct and remained at
  that level, up from yesterday's 6.17 pct average.
  

READER'S DIGEST ASSOCIATION SELLS UNIT
  <The Reader's Digest
  Association Inc> said it sold its subsidiary, Source
  Telecomputing Corp, to the venture capital firm of <Welsh,
  Carson, Anderson and Stowe>.
      The purchase price was not disclosed, Reader's Digest said.
      It said it purchased an 80 pct stake in Source in 1980 and
  earned an unspecified profit on 14 mln dlrs in revenues in
  1986.
  

WEIS MARKETS INC <WMK> 1ST QTR MARCH 28 NET
  Shr 59 cts vs 51 cts
      Net 18.0 mln vs 15.6 mln
      Revs 278.6 mln vs 272.2 mln
  

CONTINENTAL BANK INITIAL DISTRIBUTION APPROVED
  Continental Bank of Canada said
  shareholders approved a capital reorganization to allow an
  initial payout by the end of May to common shareholders from
  last year's 200 mln Canadian dlr sale of most Continental
  assets to <Lloyds Bank PLC>'s Lloyds Bank Canada.
      The bank said the initial distribution would take the form
  of a stock dividend of cumulative redeemable retractable class
  A series two preferred shares entitling holders to monthly
  floating rate dividends at 72 pct of prime and to 12.75 dlrs a
  share on retraction.
      Continental said the initial payout was subject to Canadian
  government approval.
      The bank reiterated that total distributions to common
  shareholders would range from 16.50 dlrs a share to 17.25 dlrs
  including the initial stock dividend and a final distribution
  in late 1988 or early 1989.
      The payout of existing preferred shareholders will be
  completed just before next month's initial distribution to
  common shareholders, Continental added.
  

ATLAS CONSOLIDATED MINING AND DEVELOPMENT <ACMB>
  4th qtr
      Shr loss 17 cts vs loss 22 cts
      Net loss 14.5 mln vs loss 18.0 mln
      Revs 27.3 mln vs 23.7 mln
      Year
      Shr 58 cts vs 1.01 dlrs
      Net loss 48.3 mln vs loss 84.2 mln
      Revs 111.7 mln vs 141.9 mln
      NOTE: Atlas Consolidated Mining and Development Corp of
  Manila.
      Translated from Philippine pesos at 20.3489 pesos to dollar
  vs 18.5571 in quarter and 20.2315 vs 18.2743 in year.
  

SCI-MED <SMLS> BOARD AGREES TO BRISTOL<BMY>DEAL
  Sci-Med Life Systems Inc said
  its directors approved a previously proposed agreement of
  merger with Bristol-Myers Co.
      The proposed transaction is subject to completion of a due
  diligence investigation, including a review by Bristol-Myers of
  a patent infringement suit served on Sci-Med by Advanced
  Cardiovascular Systems Inc on March 31, 1987.
      Bristol-Myers has the right to call off the agreement under
  certain circumstances, it said.
      Sci-Med said it continues to believe the patent suit is
  without merit.
  

FIDELCOR <FICR> COMPLETES SALE OF UNIT
  Fidelcor Inc said it has completed
  the sale of its Industrial Valley Title Insurance Co subsidiary
  to a group of investors including the unit's management for
  undisclosed terms.
      Industrial Valley has assets of about 37.6 mln dlrs and was
  acquired last year along with IVB Financial Corp.
  

DATA TRANSLATION INC <DATX> 1ST QTR FEB 28 NET
  Shr 18 cts vs 13 cts
      Net 575,000 vs 379,000
      Sales 6,625,000 vs 4,537,000
      Avg shrs 3,173,000 vs 2,977,000
  

ENERGY/U.S. PETROCHEMICAL INDUSTRY
  Cheap oil feedstocks, the weakened U.S.
  dollar and a plant utilization rate approaching 90 pct will
  propel the streamlined U.S. petrochemical industry to record
  profits this year, with growth expected through at least 1990,
  major company executives predicted.
      This bullish outlook for chemical manufacturing and an
  industrywide move to shed unrelated businesses has prompted GAF
  Corp <GAF>, privately-held Cain Chemical Inc, and other firms
  to aggressively seek acquisitions of petrochemical plants.
      Oil companies such as Ashland Oil Inc <ASH>, the
  Kentucky-based oil refiner and marketer, are also shopping for
  money-making petrochemical businesses to buy.
      "I see us poised at the threshold of a golden period," said
  Paul Oreffice, chairman of giant Dow Chemical Co <DOW>, adding,
  "There's no major plant capacity being added around the world
  now. The whole game is bringing out new products and improving
  the old ones."
      Analysts say the chemical industry's biggest customers,
  automobile manufacturers and home builders that use a lot of
  paints and plastics, are expected to buy quantities this year.
      U.S. petrochemical plants are currently operating at about
  90 pct capacity, reflecting tighter supply that could hike
  product prices by 30 to 40 pct this year, said John Dosher,
  managing director of Pace Consultants Inc of Houston. Demand
  for some products such as styrene could push profit margins up
  by as much as 300 pct, he said.
      Oreffice, speaking at a meeting of chemical engineers in
  Houston, said Dow would easily top the 741 mln dlrs it earned
  last year and predicted it would have the best year in its
  history.
      In 1985, when oil prices were still above 25 dlrs a barrel
  and chemical exports were adversely affected by the strong U.S.
  dollar, Dow had profits of 58 mln dlrs. "I believe the entire
  chemical industry is headed for a record year or close to it,"
  Oreffice said.
      GAF chairman Samuel Heyman estimated that the U.S. chemical
  industry would report a 20 pct gain in profits during 1987.
  Last year, the domestic industry earned a total of 13 billion
  dlrs, a 54 pct leap from 1985.
      The turn in the fortunes of the once-sickly chemical
  industry has been brought about by a combination of luck and
  planning, said Pace's John Dosher.
      Dosher said last year's fall in oil prices made feedstocks
  dramatically cheaper and at the same time the American dollar
  was weakening against foreign currencies. That helped boost
  U.S. chemical exports.
      Also helping to bring supply and demand into balance has
  been the gradual market absorption of the extra chemical
  manufacturing capacity created by Middle Eastern oil producers
  in the early 1980s.
      Finally, virtually all major U.S. chemical manufacturers
  have embarked on an extensive corporate restructuring program
  to mothball inefficient plants, trim the payroll and eliminate
  unrelated businesses. The restructuring touched off a flurry of
  friendly and hostile takeover attempts.
      GAF, which made an unsuccessful attempt in 1985 to acquire
  Union Carbide Corp <UK>, recently offered three billion dlrs
  for Borg Warner Corp <BOR>, a Chicago manufacturer of plastics
  and chemicals. Another industry powerhouse, W.R. Grace <GRA> 
  has divested its retailing, restaurant and fertilizer
  businesses to raise cash for chemical acquisitions.
      But some experts worry that the chemical industry may be
  headed for trouble if companies continue turning their back on
  the manufacturing of staple petrochemical commodities, such as
  ethylene, in favor of more profitable specialty chemicals that
  are custom-designed for a small group of buyers.
      "Companies like DuPont <DD> and Monsanto Co <MTC> spent the
  past two or three years trying to get out of the commodity
  chemical business in reaction to how badly the market had
  deteriorated," Dosher said. "But I think they will eventually
  kill the margins on the profitable chemicals in the niche
  market." Some top chemical executives share the concern.
      "The challenge for our industry is to keep from getting
  carried away and repeating past mistakes," GAF's Heyman
  cautioned. "The shift from commodity chemicals may be
  ill-advised. Specialty businesses do not stay special long."
      Houston-based Cain Chemical, created this month by the
  Sterling investment banking group, believes it can generate 700
  mln dlrs in annual sales by bucking the industry trend.
      Chairman Gordon Cain, who previously led a leveraged buyout
  of Dupont's Conoco Inc's chemical business, has spent 1.1
  billion dlrs since January to buy seven petrochemical plants
  along the Texas Gulf Coast.
      The plants produce only basic commodity petrochemicals that
  are the building blocks of specialty products.
      "This kind of commodity chemical business will never be a
  glamorous, high-margin business," Cain said, adding that demand
  is expected to grow by about three pct annually.
      Garo Armen, an analyst with Dean Witter Reynolds, said
  chemical makers have also benefitted by increasing demand for
  plastics as prices become more competitive with aluminum, wood
  and steel products. Armen estimated the upturn in the chemical
  business could last as long as four or five years, provided the
  U.S. economy continues its modest rate of growth.
  

FIDATA CORP <FID> 4TH QTR LOSS
  Shr loss two cts vs profit 38 cts
      Net loss 90,000 vs profit 1,685,000
      Revs 1,826,000 vs 29.3 mln
      Year
      Shr profit 3.37 dlrs vs profit 46 cts
      Net profit 15.0 mln vs profit 2,047,000
      Revs 26.2 mln vs 123.6 mln
      NOTE: Net includes pretax securities sale gain 10,000 dlrs
  vs loss 1,000 dlrs in quarter and gain 486,000 dlrs vs loss
  112,000 dlrs in year.
      Net includes pretax gains on sale of businesses of nil vs
  4,656,000 dlrs in quarter and 26.0 mln dlrs vs 4,656,000 dlrs
  in year.
      Net includes pretax losses on disposition of product line
  of nil vs 3,150,000 dlrs in quarter and 3,300,000 dlrs vs
  3,150,000 dlrs in year.
      Quarter net includes tax credits of 102,000 dlrs vs 736,000
  dlrs.
      Net includes reversal of tax loss carryforwards of 259,000
  dlrs vs 264,000 dlrs in quarter and tax loss carryforwards of
  8,635,000 dlrs vs 579,000 dlrs in year.
  

MARBLE FINANCIAL CORP <MRBL> 1ST QTR NET
  Oper shr 26 cts vs not given
      Oper net 866,000 vs 480,000
      NOTE: 1987 net excludes 157,000 dlr gain from termination
  of pension plan.
      Company went public in August 1986.
  

DOMINION TEXTILE CALLS REPORT OF BID FOR BURLINGTON RUMOR

  DOMINION TEXTILE CALLS REPORT OF BID FOR BURLINGTON RUMOR
  

RAYTHEON CO 1ST QTR SHR 1.37 DLRS VS 1.19 DLRS

  RAYTHEON CO 1ST QTR SHR 1.37 DLRS VS 1.19 DLRS
  

FLEET FINANCIAL GROUP 1ST QTR SHR 73 CTS VS 60 CTS 

  FLEET FINANCIAL GROUP 1ST QTR SHR 73 CTS VS 60 CTS 
  

DIEBOLD INC <DBD> DECLARES DIVIDEND
  Qtly div 30 cts vs 30 cts prior
      Pay June 8
      Record May 18
  

INDEPENDENT BANK CORP <IBCP> REGULAR DIVIDEND
  Qtly div 10 cts vs 10 cts previously
      Pay April 20
      Record April 10
  

RAYTHEON CO <RTN> 1ST QTR NET
  Shr 1.37 dlrs vs 1.19 dlrs
      Net 101.8 mln vs 92.3 mln
      Revs 1.750 billion vs 1.725 billion
      Avg shrs 74.2 mln vs 77.8 mln
  

WALTHAM SAVINGS BANK <WLBK> INITIAL DIVIDEND
  Qtly div eight cts vs N.A.
      Payable May 11
      Record April 24
  

FLEET FINANCIAL GROUP <FLT> 1ST QTR NET
  Shr primary 73 cts vs 60 cts
      Shr diluted 70 cts vs 58 cts
      Net 38,528,000 vs 31,680,000
      Avg shares 52,087,634 vs 51,294,652
      NOTE: Qtr net interest income is 130.7 mln dlrs vs 114.8
  mln dlrs. Earnings per share reflects two-for-one common stock
  split on March 15.
  

DOMINION CALLS BURLINGTON <BUR> REPORT RUMOR
  <Dominion Textile Inc> considers a
  published report that it has bought a stake in Burlington
  Industries Inc and is considering making a joint bid for the
  company to be a rumor, a company spokesman said.
      "As far as I am concerned and the company is concerned, they
  are rumors and we're not commenting on rumors," spokesman Michel
  Dufour told Reuters in response to a query.
      "All the information that has been given out publicly is
  that, yes, Dominion Textile is interested in making an
  acquisition that big...probably based on that people are
  starting all sorts of rumors," he said.
      Dufour said yes when asked whether the report was only a
  rumor, but said the company was not prepared to comment
  further. Dominion Textile president and chairman Thomas Bell
  was out of town and unavailable for comment.
      Dominion Textile last year made an unsuccesful 104-mln-
  U.S.-dlr bid for Avondale Mills and has maintained a 120-mln-
  U.S.-dlr line of credit to be used for an American acquisition.
      Dufour said the company has been negotiating with "many"
  U.S. textile companies but would not say whether Burlington
  Industries was one of them.
      Burlington's stock rose sharply this morning on the report,
  which said Dominion Textile had joined with U.S. investor Asher
  Edelman to buy a stake in the company and to consider making a
  takeover offer.
      Dominion Textile, which reported operating profit of 11.1
  mln Canadian dlrs last year on sales of 926.5 mln dlrs, has
  repeatedly said it will concentrate on expanding into the U.S. 
     The company has said it plans to diversify into new product
  and market areas in addition to expanding its textile
  operations.
  

FED SETS OVERNIGHT SYSTEM REPURCHASES, FED SAYS

  FED SETS OVERNIGHT SYSTEM REPURCHASES, FED SAYS
  

RAYTHEON <RTN> NET RISES ON OPERATIONS
  Raytheon said a 10 pct rise in
  its first quarter net to 101.8 mln dlrs reflected improved
  operations and a lower effective tax rate.
      The company said revenue gains in electronics, major
  appliances and other lines were offset by decreases in energy
  services and aircraft products. Revenues in the quarter rose
  1.4 pct to 1.75 billion dlrs, it said.
      The company said backlog stood at 7.520 billion dlrs, down
  from 7.912 billion dlrs a year earlier. It said a five year
  3.55 billion dlr U.S. defense contract was awarded shortly
  after the close of the first quarter.
  

GENERAL INSTRUMENT CORP <GRL> 4TH QTR LOSS
  Ended Feb 28
      Shr loss 2.80 dlrs vs profit 17 cts
      Net loss 90.5 mln vs profit 5,271,000
      Revs 240.9 mln vs 159.4 mln
      Year
      Shr loss 2.49 dlrs vs loss 2.07 dlrs
      Net loss 80.4 mln vs loss 66.5 mln
      Revs 787.9 mln vs 612.4 mln
      NOTE: Includes loss of 89.6 mln dlrs vs loss 14.5 mln dlrs
  in year and loss of 91.6 mln dlrs in current qtr from
  discontinued operations.
      1986 qtr includes pretax gain of five mln dlrs from
  settlement of litigation and tax gain of 5.1 mln dlrs from
  change in estimated effective tax rate.
  

COCOA EXPORTERS EXPECTED TO LIMIT SALES
  Major cocoa exporters are likely to
  limit sales in the weeks ahead in an effort to boost world
  prices, sources close to a meeting of the Cocoa Producers
  Alliance (CPA) said.
      The sources said the depressed world market had been one of
  the main topics discussed in a closed door meeting of the
  11-member CPA which began on Monday.
      They said producers agreed that cutting sales would aid the
  buffer stock manager of a new international cocoa pact in his
  effort to support prices.
      Major cocoa producing and consuming nations agreed
  operation rules for the buffer stock at a meeting in London
  last month and the stock manager is expected to enter the
  market soon.
      Prices, under the weight of three successive cocoa
  surpluses, recently fell to the level at which the manager has
  to buy cocoa under stock rules.
      The buffer stock aims to keep prices within a pre-set range
  by buying when prices fall and selling when they rise.
      "The world's cocoa price at present is just not interesting,"
  commented one delegate representing a major CPA producer.
      Another source said that with much of the 1986/87
  (October-September) world cocoa crop sold, limiting sales in
  the near term concerns essentially next year's harvest.
      The sources noted, however, that the cocoa industry in
  Brazil, the world's number two producer, is in private hands.
  This means limiting sales is more difficult than in major West
  African producers, where sales are made or authorized by
  commodity marketing boards.
      The CPA includes the world's top three producers, Ivory
  Coast, Brazil and Ghana, and accounts for 80 pct of all output.
      The meeting here is due to end tomorrow evening.
  

FED ADDS RESERVES VIA OVERNIGHT REPURCHASES
  The Federal Reserve entered the U.S.
  Government securities market to arrange overnight System
  repurchase agreements, a Fed spokesman said.
      Dealers said that Federal funds were trading at 6-3/8 pct
  when the Fed began its temporary and direct supply of reserves
  to the banking system.
  

HONDURAS SEEKING PL-480 BULK WHEAT APRIL 13
  Honduras will tender April 13 under
  Public Law 480 for approximately 52,500 tonnes of various
  wheats in bulk, an agent for the country said.
      The agent said Honduras is seeking U.S. no. 2 or better
  northern spring/DNS, with 14 pct protein minimum and 13 pct
  moisture maximum, and U.S. no. 2 or better hard red winter,
  with 12 pct protein minimum and 13 pct moisture maximum.
      The agent said NS/DNS laydays include July 1-10 for
  7,500-9,500 tonnes, Aug 1-10 for 8,000-10,000 tonnes, and Sept
  15-25 for 12,500-14,500 tonnes.
      HRW laydays include June 20-30 on 5,000-7,000 tonnes, July
  15-25 for 6,500-8,500 tonnes, and September 15-25 for
  7,000-9,000 tonnes.
      Offers are due by 1550 hrs EDT, April 13, and will remain
  valid until 1000 hrs EDT, April 14, the agent said.
  

J.P. MORGAN <JPM> NET HURT BY BRAZIL, TRADING
  J.P. Morgan and Co Inc said its
  first-quarter earnings fell by 3.2 pct, largely reflecting its
  previously announced decision to place on non-accrual status
  its 1.3 billion dlrs of medium- and long-term loans to Brazil.
      That decision, spurred by Brazil's suspension of interest
  payments on February 20, reduced the quarter's net income by 20
  mln dlrs to 226.4 mln dlrs, compared with 233.9 mln in the
  first three months of 1986.
      Morgan also reported a loss of 1.8 mln dlrs from securities
  underwriting and trading, in contrast to a gain of 45.4 mln
  dlrs in the year-earlier period.
      In the fourth quarter of 1986, Morgan posted other trading
  losses of 5.5 mln dlrs because of setbacks in the trading and
  underwriting of Euromarket securities.
      Conditions in some sectors of the Euromarket remained
  difficult last quarter, with floating rate notes suffering
  heavy price falls, but a spokeswoman was unable to say whether
  Morgan's trading losses were restricted to the Euromarket.
      On the positive side, Morgan reduced its provision for loan
  losses to 35 mln dlrs from 70 mln a year earlier. Foreign
  exchange trading income rose to 82 mln dlrs from 72.6 mln and
  trust income increased to 95.9 mln dlrs from 75.9 mln.
      Morgan said other operating income, mainly fees and
  commissions, rose to 102.2 mln dlrs from 88.4 mln, but net
  investment securities gains dropped to 43.1 mln from 58.1 mln.
      Net interest earnings were 490.4 mln dlrs in the first
  quarter, down from 499.4 mln a year earlier, and net yield fell
  to 2.79 pct from 3.20 pct.
      If Brazil had not been placed on non-accrual, which means
  that interest can be recorded as income only when payments are
  actually received, net interest earnings would have been 525.9
  mln dlrs and net yield 2.99 pct. If Brazil does not resume
  payments, 1987 net would be cut by 72 mln dlrs, Morgan added.
      After the provision for loan losses, Morgan's allowance for
  credit losses at the end of March totaled 953 mln dlrs compared
  with 910 mln at end-1986 and 815 mln a year earlier.
      It reported net recoveries of six mln dlrs after
  charge-offs of eight mln, compared with net charge-offs of 49
  mln dlrs after recoveries of three mln a year earlier.
      Excluding Brazil, non-accruing loans at quarter's end were
  583 mln dlrs, down from 633 mln at end-1986 and 684 mln a year
  earlier. Non-interest expenses rose to 371.1 mln dlrs from
  303.5 mln dlrs, with more than half the increase related to
  personnel costs, Morgan said.
  

ATLAS CONSOLIDATED MINING <ACMB> 4TH QTR
  Shr loss 17.3 cts vs 21.5 cts
      Net loss 14.5 mln vs loss 18.0 mln
      Revs 27.3 mln vs 23.7 mln
      Year
      Shr loss 58 cts vs loss 1.01 dlrs
      Net loss 48.3 mln vs loss 84.2 mln
      Revs 111.7 mln vs 141.9 mln
  

BRAZIL GRAIN HARVEST FACES STORAGE PROBLEMS
  Storage problems with Brazil's record
  grain crop are likely to result in losses of about five mln
  tonnes, an Agriculture Ministry spokesman said.
      Ministry spokesman Leonardo Brito, speaking from Brasilia,
  told Reuters he believed that about five mln tonnes of this
  year's estimated crop of 65 mln tonnes would be lost.
      He said part of this would be the normal loss inevitable in
  harvesting, but that most of it would stem from storage
  problems.
      Brazil has a storage capacity of 66 mln tonnes,
  theoretically sufficient for the crop.
      But Brito said that the storage capacity was badly
  distributed. The states of Sao Paulo, Parana and Rio Grande do
  Sul had between them 70 pct of the nation's capacity, but were
  responsible for only 50 to 60 pct of production.
      The biggest problems are concentrated in the Centre-West
  growing regions, where rising production has outpaced storage
  capacity.
      Brito said the Centre-West, whose crops include soya and
  maize, had between 30 and 40 pct of the nation's grains
  production but only 20 pct of its storage space.
      In addition to the poor distribution of storage units,
  there is the problem that too much of the capacity is geared to
  storing grain in sacks, while not enough is suitable for
  storing loose grain, Brito said.
      Finally, there is a shortage of lorries to transport the
  crops.
      The sheer scale of the task in transporting the record crop
  has been evident from television reports, which have shown
  enormous queues of lorries waiting outside granaries.
  

FLEET <FLT> SHAREHOLDERS APPROVE SHARE INCREASE
  Fleet Financial Group said its
  shareholders approved an increase in shares of the company's
  authorized common stock to 100,000,000 shares from 75,000,000
  shares currently.
      The company said shareholders approved the move at the
  annual meeting in Providence today when the company reported
  that its first quarter earnings rose to 38.5 mln dlrs, or 73
  cts a share, from 31.7 mln dlrs, or 60 cts a share, in the
  first quarter 1986.
      J. Terence Murray, chairman and president of Fleet
  Financial, said, "Fleet's mortgage banking activities in
  particular continued to produce signficant income increases (in
  the first quarter)."
      Murray said Fleet's mortgage servicing portfolio reached
  22.1 billion dlrs by March 31, including 1.8 billion dlrs
  purchased in March.
  

ROWE FURNITURE CORP <ROWE> 1ST QTR FEB 28
  Shr 42 cts vs 35 cts
      Net 854,000 vs 839,000
      Revs 23.2 mln vs 21.9 mln
  

REUTERS CHAIRMAN URGES FREER INFORMATION FLOWS
  Exchanges and telecommunications
  authorities should abolish their restrictions on full and free
  dissemination of information to the investment and banking
  communities, Reuters Holdings Plc <RTRS.L> chairman Sir
  Christopher Hogg said.
      In the 1986 annual repoprt, he said lengthy negotiations
  had brought agreement with the Tokyo and London Stock Exchanges
  for fuller, but still not complete, access to market data
  through Reuter services.
      "Many other markets maintain restrictions," he added.
      Hogg said members of some markets appear to believe that
  information restrictions protected their interests.
      In other cases, exchanges seem to be limiting the
  distribution of data in order to provide competitive advantage
  to their own commercial information businesses.
      He also noted that despite increasing liberalisation in the
  telecommunications field, some countries continue to protect
  their state monopolies at the expense of other economic
  sectors.
      "Reuter dealing services remain excluded from such
  countries. As a result, banking communities serving entire
  economies are put at a competitive disadvantage," he added.
      Reuters increased its 1986 pre-tax profit by 39 pct from
  the previous year to 130.1 mln stg on a 43 pct rise in revenues
  to 620.9 mln stg.
      Earnings per ordinary share were up 47 pct to 19.4p. The
  annual shareholder meeting will be held in London on April 29.
  

CCL INDUSTRIES PURCHASES STAKE IN MONOBLOC
  <CCL Industries Inc> said it purchased a
  majority interest in Monobloc U.S.A. from Envases Metalurgicos
  de Alava of Spain.
      Terms were not disclosed.
      CCL also said it agreed to exchange present and future
  technology with Envases.
  

PARIS GROUP PUBLISHING DAILY FRANC TIN PRICE
  The Association of White Metals has
  decided to publish a daily tin price here in French francs per
  100 kilos, the French Federation of Non-Ferrous Metals said.
      The price, quoted for the first time yesterday, was
  introduced as the lack of tin quotes was causing problems for
  some French companies, a spokesman for the non-ferrous metals
  association said.
      Today's price was set at 4,776 francs per 100 kilos and
  Tuesday's at 4,790.
      The International Chamber of Commerce stopped publishing a
  tin price after the London Metal Exchange (LME) stopped tin
  trading on October 24, 1985.
      The Association has tested the basis it uses to calculate a
  French franc price over the last few months to ensure it was
  reliable, the spokesman said.
      The French franc price is pre-tax, for specified quality, a
  minimum 99.9 pct purity, at a French port or border railway
  station and a minimum delivery of 10 tonnes.
      The French Federation of Non-Ferrous Metals groups various
  metal associations including the Association of White Metals.
  

RHODES INC <RHD> DECLARES DIVIDEND
  Qtly div nine cts vs nine cts prior
      Pay July 15
      Record June 15
  

MADEIRA IN LETTER OF INTENT TO BE ACQUIRED
  <Madeira Inc> said it
  signed a letter of intent to be acquired by Tradevest Inc
  through a stock-for-stock exchange.
      After completion of the transaction, Tradevest would own 90
  pct of the issued outstanding stock of Madeira.
  

CELLTRONICS <CELT> DECLARES ONE-FOR-10 SPLIT
  Celltronics Inc said its directors
  declared a one-for-10 reverse stock split of its common stock.
      It said the split will be payable April 17 to shareholders
  of record April 16.
  

MONTEDISON'S AGRIMONT UNIT 1986 EARNINGS
  <Montedison SPA> of Italy said net
  consolidated profit for its Agrimont Group, formed in June
  1986, totalled 1.5 billion lire in 1986.
      Agrimont SPA, the holding company for Montedison's
  Agro-Industrial businesses, had sales of 810 billion lire and a
  net profit of about 1.1 billion lire, after amortization costs
  of 35 billion lire and a 13 billion lire reduction in the value
  of inventory due to falling market prices, Montedison said.
      Agrimont, still wholly owned by Montedison, is taking steps
  to be traded on the Milan exchange, the company said.
      The company said that 1986 was characterized by an unstable
  fertlizer market due to the weak dollar and the decline of
  international prices for products sold in Europe and the U.S
  where Agrimont operates through its Conserv division.
      In pesticides and in animal health care products Agrimont
  maintained its previous level of revenues and market share in
  1986, Montedison said.
      Montedison said it named Ettore dell'Isola to the newly
  created position of president of Agrimont.
      Montedison also said it named Renato Picco, managing
  director of <Eridania SPA> and Gianfranco Ceroni, managing
  director of <Italiana Olii e Sifi>, both of whom are members
  of the the Ferruzzi Group's management board, to Argimont's
  board of directors. Ferruzzi owns about 40 pct of Montedison,
  the company said.
  

DATRON <DATR> AGREES TO BUYOUT BY OFFICERS
  Datron Corp said it agreed to
  merge with GGFH Inc, a Florida-based company formed by the four
  top officers of the company.
      According to terms of the proposed transaction, each share
  of Datron common stock, excluding those shares owned by the
  four officers, will be bought for six dlrs a share, it said.
      Datron's officers hold about 73 pct of the total 896,000
  Datron common shares outstanding.
      Upon completion of the proposed transaction, the officers
  of Datron would own 100 pct of the company. The merger is
  subject to GGHF's receiving financing for the plan, Datron
  said.
      Shareholders of Datron will be asked to approve the plan at
  their annual meeting to be held in June or July, and the merger
  is expected to be completed by July 31, it said.
  

TRUMP AND INTERSTATE PROPERTIES IN TALKS TO ACQUIRE ALEXANDERS

  TRUMP AND INTERSTATE PROPERTIES IN TALKS TO ACQUIRE ALEXANDERS
  

SOUND WAREHOUSE INC <SWHI> 3RD QTR FEB 28 NET
  Shr 26 cts vs 52 cts
      Net 1,386,000 vs 2,773,000
      Revs 47.7 mln vs 38.5 mln
      Nine mths
      Shr 52 cts vs 97 cts
      Net 2,765,000 vs 5,419,000
      Revs 116.9 mln vs 97 mln
  

TRUMP AND INTERSTATE IN TALKS FOR ALEXANDERS
  Donald Trump and Interstate Properties
  said they were holding preliminary discussions regarding a
  possible joint acquisition of Alexanders Inc at 47 dlrs per
  share.    
      The possible acquisition is subject to any applicable real
  estate gains and transfer taxes, the joint statement said.
      Trump and Interstate, which presently own about 40 pct of
  Alexander's common stock, said they intend to keep the company
  as a retailer if they succed in their acquisition.
      There can be no assurances that the parties will reach any
  agreement regarding an acquisition or what price might be
  offered, the statement said.
  

JAPAN BUYS 4,000 TONNES CANADIAN RAPESEED
  Japan bought 4,000 tonnes of Canadian
  rapeseed overnight at an undisclosed price for last half
  May/first half June shipment, trade sources said.
  

TELECRAFTER CORP <SWHI> 2ND QTR FEB 28 NET
  Shr profit 12 cts vs loss 14 cts
      Net profit 183,000 vs loss 234,000
      Revs 2.4 mln vs 1.5 mln
      Six months
      Shr profit 22 cts vs loss 22 cts
      Net profit 345,000 vs loss 358,000
      Revs 5.2 mln vs 2.9 mln
      NOTE:1987 2nd qtr and six months include gains of 78,000
  dlrs and 154,000 dlrs for tax loss carryforward.
  

TUNISIA EXPECTED TO TENDER FOR FRENCH WHEAT
  Tunisia is expected to tender April 14 for
  100,000 tonnes of French soft wheat for delivery between May
  and August and which would be covered by the French export
  credit agency, COFACE, export credits, traders said here.
      No official tender has been announced yet by Tunisia, they
  said.
      France has sold a total of 200,000 tonnes of soft wheat to
  Tunisia since the begining of the current campaign which was
  covered by COFACE export credits. Of this amount, a total of
  150,000 tonnes was exported by March 1, they said.
  

COLT INDUSTRIES INC <COT> 1ST QTR NET
  Shr 28 cts vs 16 cts
      Net 9,387,000 vs 25,617,000
      Revs 410.1 mln vs 393.5 mln
      Avg shrs 35.4 mln vs 164.7 mln
      NOTE: 1987 net reflects interest expense on debt incurred
  to finance recapitalization in Oct. 1986. Prior year earnings
  restated to reflect recapitalization plan.
  

YANKEE <YNK> UNIT NOT TO SELL SUBSIDIARY
  Yankee Cos Inc said its Eskey
  Inc <ESK> subsidiary has decided not to sell its Yale E. Key
  unit.
      Further details were not disclosed.
  

MAYFAIR SUPER MARKETS INC <MYFRA> 2ND QTR FEB 28
  Shr 59 cts vs 46 cts
      Net 2.4 mln vs 1.9 mln
      Revs 122.5 mln vs 105.9 mln
      Six months
      Shr 1.13 dlrs vs 84 cts
      Net 4.5 mln vs 3.4 mln
      Revs 242.5 mln vs 210.1 mln
      NOTE: 1986 share adjusted for 2-for-1 stock split.
  

<BATON BROADCASTING INC> SIX MTHS FEB 28 NET
  Shr 33 cts vs 31 cts
      Net 9,219,017 vs 8,515,539
      Revs 112.0 mln vs 95.4 mln
  

UNITED CABLE TELEVISION CORP <UCT> 3RD QTR NET
  Shr loss 24 cts vs profit seven cts
      Net loss 5,952,000 vs profit 2,078,000
      Revs 55.9 mln vs 50.6 mln
      Avg shrs 25.2 mln vs 24.7 mln
      Nine mths
      Shr loss 11 cts vs profit 24 cts
      Net loss 2,673,000 vs profit 6,800,000
      Revs 162.6 mln vs 143.9 mln
      Avg shrs 25.0 mln vs 24.4 mln
      NOTE: Current year net both periods includes pretax charge
  seven mln dlrs from increase in reserve for investments in
  broadcast television entities and tax credits of 1,002,000 dlrs
  in quarter and 520,000 dlrs in nine mths.
  

CANADA ALLOWS PUBLISHING TAKEOVER BY HARCOURT
  Investment Canada said it has allowed the
  indirect takeover of Holt, Rinehart and Winston Canada Ltd.,
  W.B. Saunders Co of Canada Ltd and Les Editions HRW Ltd by
  Harcourt Brace Jovanovich Canada Inc.
      The government agency said, however, Harcourt Canada has
  agreed to sell control of the firms to Canadian interests
  within two years.
      Harcourt Canada's U.S. parent, Harcourt Brace Jovanovich
  Inc <HBJ>, indirectly acquired the Canadian book publishing
  companies when it purchased Holt Rinehart and Winston from CBS
  Inc <CBS> last October.           
  

TALKING POINT/BURLINGTON INDUSTRIES <BUR>
  The largest U.S. textile maker focused
  on its own business as its competitors found merger partners,
  but now Burlington Industries Inc may have restructured itself
  into an attractive takeover candidate, analysts said.
      The takeover spotlight fell today on Burlington, which rose
  4-7/8 to 52-7/8 on speculation that investor Asher Edelman and
  Dominion Textiles Inc of Canada bought an almost five pct
  stake.
      A published report said Edelman and Dominion jointly
  acquired a stake in Burlington and were weighing a takeover
  offer. Edelman would not comment, and a spokesman for
  Montreal-based Dominion called the report just "rumors."
      Burlington said it did not know if the report was true.
      Wall Street professionals said they were not convinced of
  the story or that Edelman and Dominion would be the victors if
  Burlington actually came into play.
      Arbitragers said past comments from Dominion, however,
  added credence to the speculation. Dominion has said that it
  was looking for a takeover in the U.S.
      Last year, Dominion unsuccessfully bid for Avondale Mills
  and has maintained a 120 mln dlr line of credit to be used for
  a U.S. acquisition.
      A Dominion spokesman said Canada's largest textile producer
  has been negotiating with "many" U.S. textile companies, but
  would not say whether Burlington was among them.
      "There have been acquisitions in this area. It's not
  unusual that someone could be looking at Burlington after the
  housecleaning they've done," said Eileen Gormley of Thomson
  McKinnon.
      Burlington sold its domestic operations, which made sheets
  and other linens, to J.P. Stevens and Co Inc for 110 mln dlrs
  last year. It also has reorganized management, and focused its
  operations on businesses that would be less affected by foreign
  competition, Gormley said.
      "They've pulled back so as not to be a commodity marketer,"
  said Gormley. She said in moving more heavily into industrial
  fabrics, Burlington bought C.H. Masland, which supplies carpets
  and other fabric to the auto industry.
      "In the past, they just spent and never realized the return
  on the outlays they did make," she said.
      "You look at their record over the year, and I think
  they're poised to be more profitable than they had been in the
  past," Gormley said.
       She estimated 1987 earnings of 2.50 dlrs per share, up
  from 2.01 dlrs per share.
      Some analysts today recommended clients not buy Burlington
  at its current levels.
      Edward Johnson of Johnson Redbook said he recommends
  selling. He said he believes the stock is worth only about 50
  dlrs on a takeover basis and about 46 dlrs on an earnings
  basis.
      Some arbitragers, however, said takeover values have been
  placed on the company of 60 to 65 dlrs per share.
      "After Asher's (Edelman) recent history, a lot of people
  don't find him very credible anymore," said one arbitrager.
      Another, however, said Edelman succeeds in forcing
  managements to take steps to enhance shareholder values even if
  he doesn't win the target company.
      Edelman was unsuccessful last year in offers for Lucky
  Stores Inc and Fruehauf Corp. He did succeed in buying
  Ponderosa Inc.
      The stocks of other textile makers rose along with
  Burlington.
      J.P. Stevens <STN> climbed 5/8 to 44-7/8, and Fieldcrest
  Cannon Inc <FLD>, the result of a merger of Fieldcrest and
  Cannon, rose 1-1/8 to 39-3/4. West Point-Pepperell Inc <WPM>
  rose 1-7/8 to 67-1/8.
  

STERIVET LABORATORIES LTD <STVTF> 1ST QTR NET
  Shr profit 10 cts vs loss 17 cts
      Net profit 206,000 vs loss 281,000
      Revs 1,022,00 vs 344,000
  

STERIVET LABORATORIES LTD <STVTF> YEAR LOSS
  Shr loss 48 cts vs loss 19 cts
      Net loss 746,000 vs loss 342,000
      Revs 3,213,000 vs 2,925,000
  

JAPAN IN LAST-DITCH EFFORT TO AVERT TARIFFS
  Senior Japanese officials tomorrow
  open talks with American trade negotiators in a last-ditch
  effort to avert new high U.S. tariffs to be imposed on a wide
  variety of Japanese electronic exports.
      Makoto Kuroda, vice minister of Japan's Ministry of
  International Trade and Industry (MITI), is to hold two days of
  meetings with the Deputy U.S. Trade Representative, Michael
  Smith, and the Under Secretary of Commerce, Bruce Smart.
      The new tariffs, to go into effect on April 17, are in
  retaliation for Japan's failure to adhere to an agreement to
  end dumping semiconductors in world markets at below cost and
  to open its home market to U.S. semiconductor shipments.
      They are to be imposed on goods which use semiconductors,
  including television and audio equipment and computers.
      Both U.S. and Japanese officials have said there was little
  likelihood the talks would do anything to avert the 100 pct
  duties on 300 mln dlrs worth of Japanese shipments.
      President Reagan announced the planned tariffs on March 27
  after he said that close monitoring of the July 1986
  U.S.-Japanese semiconductor pact convinced U.S. officials that
  Japan was not honoring the agreement.
      In making the annoucement, Reagan said "I am committed to
  the full enforcement of our trade agreements designed to
  provide American industry with free and fair trade."
      Trade analysts said his move was aimed as much at Japan's
  semiconductor trade practices, which are said to have injured
  the U.S. semiconductor industry, as Congress, which has
  complained about presidential timidity on trade issues.
      Congressional Democrats have pledged to enact aggressive
  trade laws to counter what they contend has been Reagan's
  inaction to redress the growing U.S. trade deficit, which last
  year reached 169.8 billion dlrs.
      About one-third of the deficit was with Japan.
      Reagan said there were recent signs Japan was beginning to
  adhere to the pact and that was why he was not terminating it.
      Kuroda said on leaving Tokyo today he had no new proposals
  but did have an explanation of the semiconductor situation.
      He told the daily newspaper Ashai Shimbun that Reagan's
  decision was based on inaccurate data and an exaggerated sense
  of MITI's power to control Japanese traders.
      "The United States has excessive expectations.," he said. To
  stabilize supply-demand relations which have been disrupted by
  excess inventories since 1985 will take some time."
      He also said that U.S. firms had not been aggressive enough
  in trying to sell in the Japanese market.
  

HOECHST CELANESE SENDS REPORT ON NEW FACILITIES
  <Hoechst Celanese Corp> said it
  sent propsective customers a confidential report describing its
  polyester textile fiber facilities in North Carolina and South
  Carolina.
      The company did not disclose any prices.
      The report describes the facilities in Darlington County,
  S.C., and Fayetteville, N.C., the company said. The report also
  decribes related manufacturing, marketing, administrative and
  technical resources that could be made avialable to a buyer.
      Hoechst Celanese was formed Feb 27 by the merger of
  Celanese Corp and American Hoechst Corp. The merger took place
  after an agreement was reached with the Federal Trade
  Commission that certain domestic polyester textile fiber assets
  of the combined companies would be divested, it said.
      Hoechst Celanese said it has the option of divesting either
  the South Carolina facilities of the former American Hoechst or
  a package of polyester textile fiber facilities of the former
  Celanese.
  

MELLON PARTICIPATING MORTGAGE TRUST <MPMTS> DIV
  Qtly div 25 cts vs 25 cts prior
      Payable May 6
      Record April 24
  

U.K. GEC DECLINES COMMENT ON U.S. PURCHASE RUMOUR
  General Electric Co Plc <GECL.L> (GEC)
  declined comment on rumours on the London stock market that it
  is planning another purchase in the U.S. Medical equipment
  field, in addition to its existing U.S. Subsidiary <Picker
  International Inc>.
      A GEC spokesman said that it is company policy not to
  comment on acquisition rumours.
      Stock Exchange traders said the rumour helped GEC's share
  price to rise 5p, to a final 206p from yesterday's closing
  price of 201p.
  

PRESTON CORP <PTRK> SEES FIRST QUARTER LOSS
  Preston corp said it expects to
  report a loss of about 300,000 dlrs or five cts per share for
  the first quarter, compared with a profit of 1,081,000 dlrs or
  19 cts per share a year before.          
      The trucking company attributed the loss to the continued
  rate of discounted in its primary markets, flat revenues and
  increased costs, including uninsured claims expense resulting
  from adverse weather conditions during the last three months.
      It said results outside the Northeast were strong, and it
  expects to show improved results for the rest of the year.
  

WHITE HOUSE STANDING FIRM ON JAPANESE SANCTIONS
  Presidential spokesman Marlin
  Fitzwater said U.S. trade sanctions against Japan were likely
  take effect on April 17 in spite of a "full court press" by
  Japanese officials to avoid them.
      "All indications are they will take effect," he said.
      "I would say Japan is applying the full court press ... They
  certainly are putting both feet forward in terms of explaining
  their position," Fitzwater told reporters.
      He noted high level meetings on the trade dispute are
  underway here but said, "I don't think there's anything I can
  report and I don't believe there's been any official movement."
  

DOW JONES AND CO INC FIRST QUARTER SHR 69 CTS VS 64 CTS

  DOW JONES AND CO INC FIRST QUARTER SHR 69 CTS VS 64 CTS
  

<HAYES-DANA INC> 1ST QTR NET
  Shr 30 cts vs 28 cts
      Net 5,000,000 vs 4,600,000
      Revs 125.2 mln vs 123.9 mln
      Note: 52 pct-owned by Dana Corp <DCN>.
  

COCOA TERMINAL DEPOSITS TO BE CUT 25 PCT - ICCH
  The basic deposit on cocoa futures
  contracts will be reduced by 25 pct as from Friday, April 10,
  taking the required deposit for one 10 tonne lot to 300 stg
  from 400 previously, a spokesman for the International
  Commodity Clearing House (ICCH) said.
      The deposit for spread contracts will be similarly cut, to
  150 stg for a one 10 tonne lot from 200 previously, he said.
      The ICCH had been looking at cocoa market fluctuations over
  a period of weeks, he said, adding the market's basic stability
  had warranted a cut in deposit rates.
      The decision to cut deposits was taken by the ICCH after
  consultation with the London Cocoa Terminal Market, the
  spokesman said.
      The cuts were likely to attract more business to the
  market, he said.
  

ELECTRO RENT CORP <ELRC> 3RD QTR FEB 28 NET
  Shr 20 cts vs 32 cts
      Net 1,358,000 vs 2,476,000
      Revs 27.1 mln vs 26.2 mln
      Nine Mths
      Shr 68 cts vs 1.05 dlrs
      Net 4,957,000 vs 8,129,000
      Revs 82.6 mln vs 78.8 mln
  

WALGREEN CO 2ND QTR SHR 62 CTS VS 58 CTS

  WALGREEN CO 2ND QTR SHR 62 CTS VS 58 CTS
  

JUDY'S INC <JUDY> 4TH QTR JAN 31 LOSS
  Shr loss two cts vs profit nine cts
      Net loss 74,000 vs profit 418,000
      Sales 18.2 mln vs 17.5 mln
      Year
      Shr profit nine cts vs profit 26 cts
      Net profit 426,000 vs profit 1,170,000
      Sales 58.7 mln vs 56.7 mln
  

ORANGE-CO INC <OJ> 2ND QTR FEB 28 NET
  Shr profit 2.26 dlrs vs loss 81 cts
      Net profit 9,785,000 vs loss 3,422,000
      Revs 26.0 mln vs 18.9 mln
      Avg shrs 4,316,000 vs 4,207,000
      1st half
      Shr profit 2.75 dlrs vs loss 1.07 dlrs
      Net profit 11.9 mln vs loss 4,486,000
      Revs 39.0 mln vs 37.2 mln
      Avg shrs 4,318,000 vs 4,181,000
      NOTE: Current year net both periods includes gain 9,500,000
  dlrs from sale of Orange-Co of Florida subsidiary to American
  Agrnomics Corp <AGR>.
      Net includes pretax real estate disposition loss 920,000
  dlrs vs gain 52,000 dlrs in quarter and loss 863,000 dlrs vs
  gain 117,000 dlrs in half.
      Prior year net includes tax credits of 2,132,000 dlrs in
  quarter and 3,039,000 dlres in half.
      Current half net includes 2,051,000 dlr pretax gain
  2,051,000 dlrs from change in accounting.
  

DOW JONES AND CO INC <DJ> 1ST QTR NET
  Shr 69 cts vs 64 cts
      Net 66,719,000 vs 61,773,000
      Rev 285.6 mln vs 259.7 mln
      NOTE: Earnings include after-tax gain of 29.4 mln dlrs, or
  30 cts a share, versus after-tax gain of 31.4 mln dlrs, or 32
  cts a share, for 1986 first quarter. Earnings per share
  reflects a 50 pct stock dividend in the form of a class B
  common stock distribution on June 30, 1986.
  

LORD ABBETT AND CO MUTUAL FUND DIVIDENDS
  LORD ABBETT BOND DEBENTURE FUND
      Qtly div 28 cts vs 29 cts prior
      Pay May 5
      Record April 9
      ---
      LORD ABBETT U.S. GOVERNMENT SECURITIES FUND
      Daily div 2.9 cts vs 2.9 cts prior
      Pay May 15
      Record May 15
      LORD ABBETT TAX FREE INCOME FUND NATIONAL SERIES
      Daily div 6.7 cts vs 6.7 cts prior
      Pay May 15
      Record May 15
      ---
      LORD ABBETT TAX FREE INCOME NEW YORK SERIES
      Daily div 6.7 cts vs 6.7 cts prior
      Pay May 15
      Record May 15
      LORD ABBETT TAX FREE INCOME TEXAS SERIES
      Daily div 5.9 cts vs 5.9 cts prior
      Pay May 15
      Record May 15
      ---
      LORD ABBETT CALIFORNIA TAX FREE INCOME
      Daily div of 6.2 cts vs 6.2 cts prior
      Pay May 15
      Record May 15
  

HEINEKEN SEES HIGHER PROFITS, WIDER PENETRATION
  Dutch brewer Heineken NV said it hoped
  to maintain for a number of years a similar earnings growth to
  the 7.5 pct increase in net profit achieved in 1986, despite
  continuing investments in a reorganization program and efforts
  to extend world penetration.
      Heineken last month reported a 1986 net profit of 285 mln
  guilders, after 265 mln in 1985.
      Chairman Freddie Heineken said the company, Europe's
  leading beer producer with six pct of market share in 1986,
  said sales increased by 6.3 pct to 42.1 mln hectoliters.
      The volume increase was due mainly to a rise in the U.S.,
  Where the brand Amstel Lite saw great demand, and in Europe,
  where sales accounted for 25.5 pct of the total.
      Turnover, despite losses in guilder terms due to weaker
  foreign currencies, rose by 4.4 pct, to 6.7 billion guilders.
      Further consolidation of foreign companies, including the
  increase of its stake in leading Spanish brewery <El Aguila
  S.A.> to 51.2 pct, new ventures and modernization, particularly
  in French and Spanish interests, eroded profit margins. The
  company still planned to invest 700 mln guilders this year in
  restructuring and marketing, Heineken said.
      Heineken's Spanish activities should start yielding profit
  next year, Heineken said, adding that its French operations had
  already turned to profit after vast rationalization last year.
      Vice Chairman Gerard van Schaik said the decision by the
  European Court of Justice in Luxembourg to allow foreign beer
  into the closed West German market -- Europe's biggest beer
  market -- offered interesting possibilities for Heineken. "We
  have the beer, but distribution and sales is the important
  point," van Schaik said, adding that since the ruling Heineken
  had been inundated by German traders seeking joint ventures.
      "The question is not if we want to penetrate the German
  market, but how we are to do it," van Schaik said, adding that
  while the widely traveled Germans seemed to be developing a
  taste for foreign beer, the internal structure was very
  regionalized.
       Heineken board member Hans Coebergh, responsible for
  African operations, said he saw Africa as one of the most
  important beer growth markets in the long term.
       He said the company, present in Africa since 1932 and with
  majority stakes in six breweries and interests in 25, was
  hampered by the lack of hard currencies there.
      Africa, where beer consumption averages only nine liters
  per head per year and sales are limited by import restrictions
  and currency risks, nonetheless accounted for 6.5 pct of total
  1986 sales.
      On-site production is rendered expensive by the high price
  of imports of essential ingredients. But Heineken scientists
  have been looking at other possibilities.
      To balance the costs of imported malt, Heinken launched on
  the Nigerian market a new beer made of 50 pct sorghum, which
  had sold successfully, Coebergh said.
      Heineken is urging farmers to grow the traditional raw
  materials, but Coebergh noted that banana and palm beer were
  popular in Rwanda . "This is a possibility, but we could not
  possibly achieve the Heineken flavor," Coebergh said.
      Chairman Heineken said the company's seven year efforts to
  penetrate the Soviet market had finally resulted this week in a
  contract that relaxed some of the restrictions they faced.
      But again, a lack of hard currencies limited Heineken's
  market potential. Heineken now has seven bars in Moscow that
  are enjoying good sales, but the bars only accept western
  money.
  

WALGREEN CO <WAG> VOTES QUARTERLY DIVIDEND
  Qtly div 13-1/2 cts vs 12-1/2 cts prior qtr
      Pay 12 June
      Record 21 May
  

COLOMBIA BUSINESS ASKED TO DIVERSIFY FROM COFFEE
  A Colombia government trade official has
  urged the business community to aggressively diversify its
  activities and stop relying so heavily on coffee.
      Samuel Alberto Yohai, director of the Foreign Trade
  Institute, INCOMEX, said private businessmen should not become
  what he called "mental hostages" to coffee, traditionally
  Colombia's major export.
      The National Planning Department forecast that in 1987
  coffee will account for only one-third of total exports, or
  about 1.5 billion dlrs, with oil and energy products making up
  another third and non-traditional exports the remainder.
  

TURKEY CALLS FOR DIALOGUE TO SOLVE DISPUTE
  Turkey said today its disputes with
  Greece, including rights on the continental shelf in the Aegean
  Sea, should be solved through negotiations.
      A Foreign Ministry statement said the latest crisis between
  the two NATO members stemmed from the continental shelf dispute
  and an agreement on this issue would effect the security,
  economy and other rights of both countries.
      "As the issue is basicly political, a solution can only be
  found by bilateral negotiations," the statement said. Greece has
  repeatedly said the issue was legal and could be solved at the
  International Court of Justice.
      The two countries approached armed confrontation last month
  after Greece announced it planned oil exploration work in the
  Aegean and Turkey said it would also search for oil.
      A face-off was averted when Turkey confined its research to
  territorrial waters. "The latest crises created an historic
  opportunity to solve the disputes between the two countries,"
  the Foreign Ministry statement said.
      Turkey's ambassador in Athens, Nazmi Akiman, was due to
  meet Prime Minister Andreas Papandreou today for the Greek
  reply to a message sent last week by Turkish Prime Minister
  Turgut Ozal. The contents of the message were not disclosed.
  

FRONTIER INSURANCE <FRTR> IN ACQUISITION TALKS
  Frontier Insurance Group Inc
  said it is currently negotiating to acquire the business of
  Medical Quadrangle Inc, formerly its largest medical
  malpractice insurance producer, and the business of its other
  malpractice producer, Medical Professional Liability Agency
  Inc.
      It gave no details.
  

FRONTIER INSURANCE GROUP INC <FRTR> 4TH QTR NET
  Oper shr 25 cts vs six cts
      Oper net 840,000 vs 139,000
      Revs 8,290,000 vs 4,743,000
      Avg shrs 3,335,029 vs 2,400,000
      Year
      Oper shr 97 cts vs 53 cts
      Oper net 2,546,000 vs 1,275,000
      Revs 28.8 mln vs 18.5 mln
      Avg shrs 2,635,665 vs 2,400,000
      NOTE: Net excludes investment gain four cts shr vs loss six
  cts in quarter and gain five cts vs loss six cts in year.
  

GATT OFFICIAL MEETS WITH U.S. FARM LEADERS
  The official in charge of
  agricultural matters in the new round of global trade talks is
  in Washington today and tomorrow to meet with congressional and
  Reagan administration officials.
      Aart de Zeeuw, chairman of the General Agreement on Tariffs
  and Trade's negotiating group on agriculture, met this morning
  with members of the House Agriculture Committee.
      Committee sources said De Zeeuw expressed concern over
  protectionism and high farm price supports. House lawmakers
  noted that in 1985 the United States took steps to reduce loan
  rates, committee staff said.
      "Members told him (De Zeeuw) that we lowered our (U.S.) loan
  rates and can't eliminate subsidies unilaterally," one source
  said.
      De Zeeuw was told of the U.S. lawmakers' frustration with
  Japan's restrictive rice import policy, and members defended
  the U.S. dairy policy, which aims to cut surplus production by
  subsidizing producers to trim herds, sources said.
      Later today De Zeeuw will meet the Senate Agriculture
  members and Undersecretary of State Affairs Allen Wallis.
      Tomorrow, De Zeeuw is to meet the House Ways and Means
  Trade Subcommittee and the Senate Finance Committee, before
  visiting Agriculture Secretary Richard Lyng.
      De Zeeuw goes to Canada later this week. His trip to North
  America is part of his attempt to meet farm policy leaders in
  the key GATT member states.
      The negotiating group on agriculture held its first meeting
  in February and is expected to meet again in May.
  

SOUTHINGTON SAVINGS BANK <SSBB> 1ST QTR NET
  Shr 39 cts vs not given
      Net 707,000 vs 505,000
      NOTE: Company went public in July 1986.
  

CATERPILLAR INC <CAT> VOTES QUARTERLY DIVIDEND
  Qtly div 12-1/2 cts vs 12-1/2 cts prior qtr
      Pay 20 May
      Record 20 April
  

CORRECTED - DATRON <DATR> AGREES TO BUYOUT
  Datron Corp said it agreed to
  merge with GGHF Inc, a Florida-based company formed by the four
  top officers of the company.
      According to terms of the proposed transaction, each share
  of Datron common stock, excluding those shares owned by the
  four officers, will be converted into six dlrs a share, it
  said.
      Datron's officers hold about 73 pct of the total 896,000
  Datron common shares outstanding, it said.
  (corrects company name, GGHF, in first paragraph)
  

WALGREEN CO <WAG> 2ND QTR FEB 28 NET
  Shr 62 cts vs 58 cts
      Qtly div 13-1/2 cts vs 13-1/2 cts prior
      Net 38.8 mln vs 35.7 mln
      Revs 1.18 billion vs one billion
      Six mths
      Shr 84 cts vs 86 cts
      Net 52 mln vs 52.9 mln
      Revs 2.14 billion vs 1.82 billion
      NOTE: Results include charge of four cts shr for latest six
  mths vs credit of five cts shr for prior six mths from
  investment tax credit
       Dividend payable June 12, record May 21
  

J.P. MORGAN<JPM> SAYS DLR MAY PREVENT FED EASING
  The relatively high level of real U.S.
  interest rates suggests that there is scope for further
  declines in money market rates, but the Federal Reserve is
  unlikely to promote such a drop as long as the dollar remains
  volatile, said J.P. Morgan and Co Inc chairman Lewis Preston.
      He said in response to a reporter's question after the
  bank's annual meeting that money market rates could decline
  further but, "I don't think the Fed is going to encourage that
  as long as the exchange markets are as volatile as they are."
      On the other hand, he said that, barring a collapse of the
  dollar, he did not see rates going much higher.
      He said that Morgan's recent rise in its prime lending rate
  was "purely a reflection of an increase in a whole spectrum of
  rates."
      Preston reiterated earlier company forecasts that the U.S.
  economy should show roughly 2.5 to three pct real growth this
  year.
      He also said that as a consequence of the dollar's decline
  and oil price rises, inflation would rise "moderately" to a 3.5
  to four pct rate in 1987.
  

MEDTRONIC <MDT> SEES 15 PCT EARNINGS GROWTH
  Medtronic Inc said it sees 15 pct
  growth in sales and earnings for the year ending April 30,
  1988.
      At an analysts meeting here the company said that for the
  year ending April 30, 1987 it will earn about 73 mln dlrs, or
  about 5.15-5.35 dlrs a share on sales of about 500 mln dlrs.
      In the year ago period, the company earned 53.4 mln dlrs,
  or 3.65 dlrs a share, on sales of 402.8 mln dlrs.
      Winston Wallin, Medtronic chairman, said the company will
  improve market share in fiscal 1988 in cardiac pacemakers and
  expand its cardiovascular therapeutic product line.
      Wallin cautioned analysts not to quickly change their per
  share estimates for the company as he said Medtronic will have
  heavy sales and marketing expenses in fiscal 1988.
      He said the company intends to reinvest its earnings in its
  businesses and not in its dividends. "Shareholders are better
  off if we grow the business rather than reinvest in dividends
  or share repurchases," he said.
      Wallin said he sees Medtronic's share of the total
  worldwide pacemaker market increasing to 42 pct in fiscal 1988,
  from 40 pct in fiscal 1987.
      He said the worldwide market for cardiovascualr therapeutic
  products, which includes pacemakers, valves, catheters and
  lasers, will be valued at about 2.5 billion dlrs 1990 and will
  double that by 1995.
      Wallin said, "Our objective is to get a hold of new
  products and start building market share if we have to beg,
  borrow or steal to get into new markets."
      In the past, Medtronic's pacemakers have been plagued with
  a number of problems leading to product recalls. Regulators
  also have criticized the industry, citing quality problems and
  a needless overprescription of pacemakers.
      "We have no knowledge of any major problems in our
  pacemakers or leads," Wallin said. "We intend to re-establish
  our company as the quality leader in the industry."
      Glen Nelson, executive vice president for Medtronics, said
  the company intends to diversify internally and through
  acquisitions of companies in areas of Medtronic's expertise,
  such as drug delivery systems.
      Wallin said the 15 pct earnings growth for fiscal 1988 does
  not include dilutions from acquisitions. "We hope to have some
  safety provisions so that we won't have any major dilutions
  from an acquisition."
      Wallin also said the company will have virtual exclusivity
  in rate responsive pacemakers for all of fiscal 1988.
      The company markets Activitrax, the first single chamber
  pacemaker that varies heartrate in response to physical
  activity.
      Siemens AG, a West German company, is also developing a
  rate responsive pacemaker.
  

SPIE BATIGNOLLES COULD INCREASE COMSTOCK HOLDING
  Construction group <Spie Batignolles> is
  negotiating to increase its holding in U.S. Engineering and
  electrical installations firm <Comstock>.
      Spie Batignolles, a subsidiary of Schneider SA <SCHN.PA>,
  said in a statement it was negotiating to invest 20 mln dlrs in
  Comstock in the form of bonds convertible into shares.
      Spie Batignolles has held a 20 pct stake in Comstock since
  February 1986. A spokesman said if Spie Batignolles converted
  all the new bonds, it could open the way for the French company
  to take control of Comstock but he gave no other details.
  

TALKS CONTINUE ON TIN AGREEMENT EXTENSION
  Discussions on the possible extension of
  the sixth International Tin Agreement (ITA) began at the
  quarterly session of the International Tin Council (ITC) but
  the Council is still waiting for decisions from various member
  states.
      A number of producer governments in particular have not
  decided their final position on whether the ITA should be
  extended for up to two years or wound down after it expires on
  June 30, according to delegate sources.
      Earlier today European Community (EC) members decided to
  back an extension, with the exception of Britain, which
  undertook to communicate its decision to its EC partners later.
      Delegates said it could be Friday before all the member
  countries declare their positions on the possible extension.
  Today's full Council session started shortly before 1500 GMT
  after the scheduled 1330 start was delayed by an EC
  coordination meeting.
      The council reconvenes at 0930 GMT tomorrow, although
  delegates said the morning is likely to be taken up with minor
  technical matters and the main issue will probably not be
  discussed before the afternoon session.
  

PAKISTAN COTTON CROP SEEN RECORD 7.6 MLN BALES
  Pakistan is likely to produce a record
  7.6 mln bales (375 lbs each) of cotton from the current 1986/87
  crop, exceeding a target of 7.2 mln bales, Food and Agriculture
  Minister Mohammad Ibrahim Baluch said.
      He told a Pakistan Central Cotton Committee meeting here
  the present was the third consecutive poroduction
  record-setting year and said the momentum would be accelerated
  in the future, the official APP news agency reported.
      Baluch said indications were that Pakistan is to attain a
  record cotton production of 7.6 mln bales, compared to the
  1985/86 crop of 7.2 mln bales which also represented the target
  earlier set by authorities for this year's production.
  

TRANZONIC COS <TNZ> 4TH QTR FEB 28 NET
  Shr 54 cts vs 24 cts
      Net 633,300 vs 300,859
      Sales 15.2 mln vs 13.0 mln
      Avg shrs 1,165,047 vs 1,224,982
      Year
      Shr two dlrs vs 1.64 dlrs
      Net 2,379,400 vs 2,011,924
      Sales 58.6 mln vs 54.0 mln
      Avg shrs 1,187,828 vs 1,223,511
  

SECURITY PACIFIC EXPECTS BRAZIL LOAN ACTION TO CUT NET BY 7.2 MLN DLRS

  SECURITY PACIFIC EXPECTS BRAZIL LOAN ACTION TO CUT NET BY 7.2 MLN DLRS
  

WHITE HOUSE SAYS JAPANESE TARRIFFS LIKELY
  The White House said high U.S.
  Tariffs on Japanese electronic goods would likely be imposed as
  scheduled on April 17, despite an all-out effort by Japan to
  avoid them.
      Presidential spokesman Marlin Fitzwater made the remark one
  day before U.S. And Japanese officials are to meet under the
  emergency provisions of a July 1986 semiconductor pact to
  discuss trade and the punitive tariffs.
      Fitzwater said: "I would say Japan is applying the
  full-court press...They certainly are putting both feet forward
  in terms of explaining their position." But he added that "all
  indications are they (the tariffs) will take effect."
  

SHOWBOAT <SBO> TO TAKE CHARGE, SEES 3RD QTR LOSS
  Showboat Inc will take a
  charge of 19 to 20 mln dlrs pretax against results for the
  third quarter ended March 31, director and assistant to the
  president J. Kell Houssels III told Reuters.
      He said the charge results from pre-operating expenses of
  its recently-opened Atlantic City, N.J., Showboat Hotel, Casino
  and Bowling Center and will cause a loss for the third quarter
  and probably for all of fiscal 1987 as well.
      But Houssels said Showboat's earnings for fiscal 1988
  should show a sharp increase from fiscal 1986 levels due to the
  contribution of the new Atlantic City facility.
      Showboat earned 1,753,000 dlrs in last year's third
  quarter.  For all of fiscal 1986 it earned 5,769,000 dlrs.
      Houssels said Showboat since the opening of the Atlantic
  City hotel/casino, Showboat has had to start charging interest
  expenses connected with debt it sold to finance the facility
  directly against income rather than capitalizing the interest
  as it had been able to do previously.
      Showboat opened the hotel during its third quarter and
  gaming began last Thursday on a regular basis after test gaming
  was completed earlier in the week.
  

SECURITY PACIFIC <SPC> LOANS PUT ON NON-ACCRUAL
  Security Pacific Corp said it is
  placing medium and long-term loans to Brazil and Ecuador on a
  non-accrual basis as of March 31, a move that will reduce first
  quarter earnings by 7.2 mln dlrs, or nine cts per share, after
  taxes.
      Despite the anticipated reduction to quarterly earnings,
  Security Pacific said it still expects to report first quarter
  earnings higher than the 88 mln dlrs, or 1.11 dlrs per share
  reported for the first quarter of 1986.
      The bank holding company said the action affects 401 mln
  dlrs of loans to Brazil and 73 mln of loans to Ecuador.
      Brazil suspended interest payments on its 68 billion dlrs
  of medium- and long-term debt on February 20.
      Ecuador, which has foreign debt of roughly eight billion
  dlrs, has not paid any interest to foreign banks since
  February.
      In March Ecuador said it would suspend interest payments
  for the rest of the year because of an earthquake which halted
  the export of oil, which accounts for about 75 pct the
  country's export revenues.
      In its announcement, Security Pacific said it will record
  interest income only as it is received in cash.
      The company also said it believes that Brazil will reach an
  agreement with its banks and that interest payments will resume
  later in 1987.
      The Brazilian negotiations resume on Friday in New York
  when Central Bank Governor Francisco Gros is expected to ask
  banks for a 90-day roll-over of some 9.5 billion dlrs of term
  debt that matures on April 15.
  

IRAQI TROOPS REPORTED PUSHING BACK IRANIANS
  Iraq said today its troops were pushing
  Iranian forces out of positions they had initially occupied
  when they launched a new offensive near the southern port of
  Basra early yesterday.
      A High Command communique said Iraqi troops had won a
  significant victory and were continuing to advance.
      Iraq said it had foiled a three-pronged thrust some 10 km
  (six miles) from Basra, but admitted the Iranians had occupied
  ground held by the Mohammed al-Qassem unit, one of three
  divisions attacked.
      The communique said Iranian Revolutionary Guards were under
  assault from warplanes, helicopter gunships, heavy artillery
  and tanks.
      "Our forces are continuing their advance until they purge
  the last foothold" occupied by the Iranians, it said.
      (Iran said its troops had killed or wounded more than 4,000
  Iraqis and were stabilising their new positions.)
      The Baghdad communique said Iraqi planes also destroyed oil
  installations at Iran's southwestern Ahvaz field during a raid
  today. It denied an Iranian report that an Iraqi jet was shot
  down.
      Iraq also reported a naval battle at the northern tip of
  the Gulf. Iraqi naval units and forces defending an offshore
  terminal sank six Iranian out of 28 Iranian boats attempting to
  attack an offshore terminal, the communique said.
  

GOLDEN ENTERPRISES INC <GLDC> 3RD QTR FEB 28 NET
  Shr 15 cts vs nine cts
      Qtly div six cts vs six cts in prior qtr
      Net 2,002,261 vs 1,168,638
      Revs 29.2 mln vs 29.3 mln
      Avg shrs 13.1 mln vs 13.0 mln
      Nine mths
      Shr 49 cts vs 36 cts
      Net 6,404,536 vs 4,623,295
      Revs 92.2 mln vs 88.2 mln
      Avg shrs 13.1 mln vs 13.0 mln
      NOTE: Dividend is payable April 30 to holders of record
  April 20
  

GROUP OF FIVE MEETING ENDS
  A meeting of finance ministers and
  central bankers of the Group of Five ended after nearly three
  and a half hours.
      West German Finance Minister Gerhard Stoltenberg and
  British Chancellor of the Exchequer Nigel Lawson declined to
  comment on the meeting as they emerged from the U.S. Treasury.
      A European monetary official said the ministers of the
  Group of Seven countries would gather at about three p.m. local
  (1900 GMT) at the Treasury.
  

USDA TO PROPOSE FOREIGN MEAT INSPECTION RULE
  The U.S. Agriculture Department is
  preparing a proposal that would require all foreign meat
  products to be inspected at their point of arrival in the
  United States, a USDA official said.
      Donald Houston, administrator of USDA's Food Safety and
  Inspection Service, FSIS, told a House Agriculture subcommittee
  USDA was developing a proposed change in regulations that would
  put an end to the current practice of permitting foreign meat
  products to be unloaded at one port and inspected at another
  port.
      Houston said the requirement would be phased in over
  several years to "avoid disruptions and economic hardship."
  

UNION TEXAS OIL RESERVES DROPPED IN 1986
  Union Texas Petroleum said its worldwide
  proved reserves fell to 511 mln barrels of oil equivalent at
  the end of 1986 from 555 mln barrels reported in 1985.
      In its newly released annual report, Union Texas said it
  replaced about 71 pct of its production of 56 mln barrels of
  oil equivalent last year after taking into account the sale of
  27 mln barrels of U.S. reserves.
      Union Texas, the nation's largest independent oil and gas
  producer based on revenues, is a privately-held company owned
  by Kohlberg Kravis Roberts and Co and Allied-Signal Inc <ALD>.
      The Houston-based company said it lost 57.5 mln dlrs on
  1.26 billion dlrs in sales last year, compared to profits of
  165 mln dlrs on 2.04 billion dlrs in sales in 1985.
      Union Texas said it received an average of 13.35 dlrs per
  barrel for its international oil production and 2.99 dlrs per
  mcf for its foreign natural gas sales. The majority of the
  company's total energy production is in the United Kingdom,
  Indonesia and Pakistan.
      In the United States, Union Texas said it completed
  evaluation work on its oil find in Alaska's Colville Delta
  area.
      "Although significant oil reserves were confirmed,
  development of this discovery will not be economical without
  substantially higher prices," the company said.
      Union Texas said it planned to spend about 42 mln dlrs over
  the next two years to develop its Eugene Island Block 371 in
  the Gulf of Mexico.
      In 1987, the company said it budgeted 178 mln dlrs for
  capital spending, less than half of the amount spent in 1985
  and down from 199 mln dlrs budgeted last year. Union Texas also
  said it would seek acquisitions of oil and gas properties as
  well as petrochemical-related businesses.
  

UAL <UAL> MAY RESPOND TO PILOTS TODAY
  UAL Inc may have a response this
  afternoon to the pilots union proposal to buy its United
  Airlines unit, a UAL spokesman said.
      "Obviously, we have a lot of movement in our stock, and we
  need to get a clarification out," the spokesman said, adding
  that there was a "50-50" chance a statement would be released
  today.
      The pilots earlier this week offered to buy the airline for
  2.3 billion dlrs, and assume 2.2 billion dlrs of existing debt.
      Takeover speculation has driven UAL's stock for several
  weeks. UAL last month said New York Real estate developer
  Donald Trump held a position in its stock, and that he also
  held discussions with its chairman.
      The developer indicated in those talks that he took the
  position as an investment, but he revealed no other plans.
      Today, rumors circulated that Coniston Partners were buying
  UAL stock. UAL jumped five to 70-3/4 on volume of more than 3.2
  mln shares.
      "United has got to consider this proposal. I think the
  pilot's proposal is realistic. I don't exptect them to take it,
  but it could put some interesting options in front of UAL
  management," said Timothy Pettee, Bear Stearns and co analyst.
      Analysts have said UAL made itself vulnerable to attack
  when it diversified away from its core airline. It added Hertz
  rental cars, Westin and Hilton International hotels in a
  strategy to become a travel service company.
      The strategy left its stock in a slump and its pilots union
  concerned that the company was not focussing enough attention
  on its airline.
      UAL has stood firm on its strategy. It is emphasizing its
  new focus by changing its name to Allegis, as of May one.
      But takeover speculation has escalated, and Wall Street has
  been busy calculating break up values well in excess of 100
  dlrs per share. Traders today described the buying in UAL as
  widespread, indicative to them that big institutions believe
  the stock is in play.
      Market sources have said that although Trump attracted
  attention to the stock, the pilots proposal acted as a
  catalyst, kicking off a new round of speculation and perhaps
  throwing the company into the hands of another buyer.
      "The first domino is you have an investor with a
  considerable stake. the second domino is the union. That type
  of attitude has been a precursor to airline deals in the past,"
  said Pettee.
      "What's interesting is the values are there. There's
  something for everybody," he said.
  

HARTMARX <HMX> TARGETS EARNINGS GROWTH
  Hartmarx Corp, following a year of
  restructuring, continues to target record earnings for fiscal
  1987, Chairman John Meinert told the annual meeting.
      Meinert reiterated an earlier comment that earnings for the
  remainder of the year must double the 1986 level to meet that
  goal. In fiscal 1986, ended November 30, 1986, Hartmarx
  reported earnings of 24.8 mln dlrs, or 1.20 dlrs a share, down
  from the prior year's 42.7 mln dlrs, or 2.25 dlrs a share.
      The 110-year-old apparel manufacturer recently posted
  first-quarter earnings of 54 cts a share, up from 40 cts a year
  ago.
      Meinert told shareholders Hartmarx has no plans to sell any
  of its divisions. He added, "We have the financial capacity to
  take advantage of acquisitions."
      In 1987, Meinert said the company will open five new and 10
  redesigned Kuppenheimer direct-to-consumer stores in Atlanta,
  Detroit, St. Louis, Washington, D.C. and San Francisco.
      He said the company's women's apparel continues to grow,
  and Hartmarx has on the drawing board a Briar concept store
  which will feature ties, shirts and some tailored clothing.
  

FED'S HELLER SEES RETURN TO SLOWER MONEY SUPPLY GROWTH

  FED'S HELLER SEES RETURN TO SLOWER MONEY SUPPLY GROWTH
  

GENERAL ELECTRIC CO 1ST QTR SHR 1.37 DLRS VS 1.18 DLRS

  GENERAL ELECTRIC CO 1ST QTR SHR 1.37 DLRS VS 1.18 DLRS
  

GHANA TO BUY CRUDE OIL FROM IRAN
  Ghana will import 15,000 tonnes of crude
  oil annually from Iran under an agreement reached in Tehran
  today, the Iranian news agency IRNA reported.
      The agency, received in London, said the accord was reached
  between Iranian Oil Minister Gholamreza Aqazadeh and a visiting
  Ghanaian delegation headed by Foreign Minister Obed Asamoah.
      IRNA said that under the agreement, Iran will also provide
  technical and scientific assistance in manpower training and
  oil exploitation, production and refining.
  

FED'S HELLER SAYS MONETARY GROWTH TO BE SLOWER
  Robert Heller, a member of the
  Federal Reserve Board, said he expects "more modest levels" of
  growth in the money supply this year.
      "In my view, this would not only be a logical, but also a
  most desireable development," he said in a speech prepared for
  delivery to an economic forum at Chapman College in Orange,
  Calif.
      A text was released in Washington.
      He said the effect of lower inflation and financial
  deregulation on monetary aggregates was now largely finished.
      "Consequently, monetary growth may return to more modest
  levels," Heller said. He noted growth in the money supply slowed
  after mid-January.
      "I would not be surprised at all if the monetary aggregates
  were to grow rather slowly during the balance of the year as
  well," he added.
      Heller said there was a danger of renewed price inflation.
      "The pricing behavior of American producers in response to
  price increases of their foreign competitors will be crucial
  for our economic future," he said.
      Widespread domestic price rises in response to rising
  import prices would "generalize the inflationary forces
  emanating from the foreign trade sector" and might not gain more
  market share for U.S. producers.
      "A return to the stagflation of the late 1970s may well be
  the result of such a behavior pattern," Heller warned.
      He said "we at the Federal Reserve will have to be
  disciplined in our conduct of monetary policy." 
      Heller said said the government should also exercise fiscal
  discipline and cut the deficit by spending restraint rather
  than new taxes.
      "The imposition of new taxes would tend to rekindle
  inflation and certainly would not make us more competitive in
  international markets," Heller said.
      He said the U.S. economy should expand by nearly three pct
  during 1987, aided by higher exports to Europe and Canada.
      A free trade agreement currently being negotiated with
  Canada "would be exceedingly helpful in allowing American
  producers to compete more effectively in that country," Heller
  said.
  

GENERAL ELECTRIC CO <GE> 1ST QTR NET
  Shr 1.37 dlrs vs 1.18 dlrs
      Net 624 mln vs 537 mln
      Sales 8.32 billion vs 5.88 billion
      NOTE: Prior year does not include results of RCA Corp.
  

ENERGY DEVELOPMENT <EDP> HAD YEAR LOSS
  Energy Development Partners Ltd said
  it had an operating loss for the year ended December 31 of 2.4
  mln dlrs, or 40 cts per share.
      But it said a 41.5 mln dlr non-cash writeoff of oil and gas
  properties taken in the first quarter resulted in a net loss of
  43.9 mln dlrs, or 7.21 dlrs per share.
      Energy Development Partners, is a limited partnership which
  began operating in September 1985.
      Full year revenues totaled 23.7 mln dlrs, the company also
  said.
      It said proved reserves at December 31 totaled 4.8 mln
  barrels of oil and 88 mln cubic feet of natural gas.
  

INDUSTRIAL NATIONS RECONVENE FOR TALKS
  Financial ministers and central
  bankers of leading industrial nations reconvened here this
  afternoon.
      Canadian Finance Minister Michael Wilson said on entering
  the meeting the ministers would review the Paris agreement.
  Asked if he was satisfied with West German and Japanese
  stimulus, Wilson replied, "They could do a little more."
      French Finance Minister Edouard Balladur, meanwhile,
  confirmed there would be a communique at the end of the
  meeting.
      Finance ministers and central bankers of Britain, FRance,
  Canada and West Germany were seen by Reuter correspondents
  returning to a Treasury building.
      Japanese officials and Bundesbank President Karl Otto Poehl
  did not appear to have left the building at the end of earlier
  Group of Five talks which broke up around 2 p.m. local time
  (1800 gmt).
      There was no sign, however, of the Italian delegation whose
  position was thrown into question this morning by the
  resignation of the Christian Democratic wing of Italy's
  Socialist-led government.
      European monetary officials said later that the Italian
  delegation was inside the building.
      This meant that a full blown meeting of the Group of Seven
  was in progress.
  

U.S. MEAT, POULTRY INSPECTION CALLED FAULTY
  The U.S. meat and poultry inspection
  programs are incapable of protecting consumers from
  contaminated products, groups representing inspectors and
  consumers charged.
      "The whole trend of inspection for the last 10 years has
  been to corrupt and to degrade the system where today the
  public is at constant risk to contaminated and adulterated
  meat," Kenneth Blaylock, president of the American Federation of
  Government Employees, told a House Agriculture subcommittee.
      "The American consumer has little reason to feel confident
  about the safety of meat and poultry being offered to him
  today," said Rodney Leonard, executive director of the Community
  Nutrition Institute.
      "Company management is less concerned about the risk to
  health than about raising plant output and company profits,"
  Leonard told a hearing of the House Agriculture Subcommittee on
  Livestock, Dairy and Poultry.
      Kenneth Morrison, staff associate at the Government
  Accountability Project, said inspectors consistently disclose
  violations of federal law, demonstrating a "serious breakdown in
  the entire inspection system."
      Morrison told of chicken fat for flavoring being
  contaminated by "intestines dragging in a water trough used to
  flush away the condemned product, fecal material, human spit,
  chewing gum and paper towels used by plant employees to blow
  their noses."
      Donald Houston, administrator of the U.S. Agriculture
  Department's Food Safety and Inspection Service, FSIS, defended
  the government's program, calling it "one of the most respected
  public health programs in the world."
      FSIS inspects an estimated 127 mln head of cattle and 4.5
  billion chicken and turkeys every year.
      Houston said inspection programs have kept pace with
  change, but conceded that the danger of chemical residues in
  the meat and poultry supply has increased.
      He also said that, although he was confident the bacterium
  salmonella eventually could be eradicated, it would take time
  and much money to contain the growing problem.
      Salmonella, which in extreme cases can cause death, is
  found in approximately 37 pct of U.S. broilers, 12 pct of raw
  pork and three to five pct of raw beef, Houston said.
      The number of reported cases has doubled over the past 20
  years, he said, to 40,000 cases annually.
      "We certainly really have not found an effective means of
  turning this disease around," said Rep. James Olin (D-Va.)
      The National Research Council recommended in 1985 that FSIS
  intensify efforts to develop rapid diagnostic procedures for
  detecting microoganisms.
      But the meat and poultry industries have said such controls
  would cost too much.
      "Hopefully we will not overreact by installing unnecessarily
  complicated procedures that may become obstacles to the real
  goal of providing an increasingly safer, more nutritious and
  economical meat supply for consumers," Stanley Emerling,
  executive vice president of the National Association of Meat
  Purveyors, said.
      Blaylock, speaking on behalf of food inspectors, said a new
  program allowing elimination of USDA inspection functions at
  certain plants "voids the law in letter and spirit, and must be
  repealed or we will see rising consumer fraud and an epidemic
  of death and illness for which there will be no prevention nor
  legal recourse."
      Subcommittee Chairman Charles Stenholm (D-Tex.) said the
  panel would hold a hearing on salmonella June 2.
  

CHRYSLER <C> RENAULT DELAY AM MOTORS <AMO> PACT
  Chrysler Corp and Regie Natiionale des
  Usines Renault said they agreed to extend by up to two weeks
  the period for reaching definitive agreement on Chrysler's
  proposed 1.5 billion dlr takeover of American Motors Corp.
      The letter of intent signed by Chrysler and Renault on
  March nine set April nine as the target date for completing
  negotiations.
      However, the letter also allowed room for an extension of
  that date to April 23 if an agreement could not be reached.
      The two companies said they "now plan to complete work by
  April 23."
      Chrysler and Renault said, "Given the complex nature of the
  deal, the need for additional time was to be expected."
      The March letter of intent between the two companies says
  that Chrysler could ask Renault to extend the agreement date
  "in the event that prior to April 9, 1987, Chrysler discovers
  an unforeseen problem in the course of its 'due diligence'
  investigation of the company," referring to American Motors.
      A Chrysler spokeswoman would not say whether some problem
  had cropped up in the talks. She stuck by the company's
  statement that more time was needed because the talks are
  complex. "That is our definition of the delay," she said.
      Under the previous agreement between Chrysler and Renault,
  their letter of intent would be terminated on April nine or
  when an agreement was reached. But the letter could be amendend
  by a written agreement by both companies.
      The Chrysler spokeswoman said, "We are still working toward
  a definitive agreement." Said another Chrysler official who is
  not part of the talks but who would be told if the deal were in
  trouble: "There are no glitches."
      Analysts also downplayed the significance of the delay. "I
  can't visualize where they wouldn't want it to be done," said
  Donaldson Lufkin Jenrette analyst Richard Henderson.
  

RITE AID CORP <RAD> SETS DIVIDEND
  Qtly div 16-1/2 cts vs 16-1/2 cts
      Pay April 27
      Record April 20
  

AIRSENSORS INC <ARSN> 3RD QTR JAN 31 LOSS
  Shr loss five cts vs loss six cts
      Net loss 696,777 vs loss 598,095
      Sales 472,812 vs 41,454
      Nine mths
      Shr loss 15 cts vs loss 17 cts
      Net loss 2,194,482 vs loss 1,751,884
      Sales 800,336 vs 151,884
  

CANADA PLANS TO MONITOR STEEL IMPORTS, EXPORTS, TRADE MINISTER SAYS

  CANADA PLANS TO MONITOR STEEL IMPORTS, EXPORTS, TRADE MINISTER SAYS
  

GENERAL ELECTRIC <GE> 1ST QTR HELPED BY RCA
  General Electric Corp said its
  first quarter results were significantly higher due to the
  strong results of RCA, which was acquired last year.
      General Electric also attibuted continued strong
  performances in plastics, major appliances and the Employers
  Reinsurance Corp for its strong quarter.
      GE recorded net earnings for the first quarter 1987 of 624
  mln dlrs, or 1.37 dls per shr, up 16 pct from 537 mln dlrs, or
  1.18 dlrs per share for the same quarter a year ago.
      General Electric chairman John Welch Jr reiterated the
  company's outlook for 1987 in which it expects double-digit GE
  earnings growth for the year. He said the first quarter results
  are in line with those expectations.
      General Electric cited the strong results in TV network and
  station operations of the National Broadcasting Co, which was
  not part of GE in the first quarter of 1986, as one reason for
  its strong earnings.
      It also noted that aircraft engine operating profit was
  much higher than a year ago, caused by a increase in shipments
  than the 1986 quarter, which was impacted by a strike.
      Aerospace revenues were sharply higher in this year's first
  quarter from a year ago, mainly because of the inclusion of
  RCA's aerospace and defense business, the company said.
      In addition, consumer products revenues were up from last
  year, mainly because of including sales of RCA video products.
      General Electric said restructuring provisions of 308 mln
  dlrs before taxes to implement various strategic moves were
  charged against operations in the first quarter of 1987. It
  added that there was a one-time gain of 281 mlns dlrs after
  taxes from an inventory accounting change.
      And technical products revenues and operating profit were
  ahead of last year, led by a strong increases in medical
  systems volume and the inclusion this year of RCA's
  communications and related services.
  

TECK STILL IN TALKS ON B.C. COPPER VENTURE
  <Teck Corp> said it
  was continuing talks about joining a joint copper venture at
  Highland Valley, British Columbia, held by affiliates Cominco
  Ltd <CLT> and <Lornex Mining Corp>, but did not know when
  negotiations would be completed.
      Teck vice-president of administration John Guminski said in
  reply to a query that the talks had been "ongoing for a long
  time." He declined to speculate on the outcome.
      Cominco, 29.5 pct owned by a consortium led by Teck, is
  optimistic that the talks will soon be concluded, spokesman Don
  Townson told Reuters.
      "I think all partners are hopeful that the situation will be
  resolved," Cominco's Townson said.
      "We're optimistic that they will be concluded shortly," he
  added. Townson declined to specify when the talks might end.
      Cominco and Teck's 22 pct-owned Lornex agreed in January
  1986 to form the joint venture, merging their Highland Valley
  copper operations.
      Cominco and Lornex share equally in control and management
  of the Highland Valley operations, while Cominco has a 55 pct
  share of production and Lornex receives 45 pct.
      For the six months following July 1, 1986, when the venture
  officially started production, Highland Valley had total ore
  milled of 22.6 mln short tons, grading an average of 0.41 pct
  copper, Townson said.
      Cominco's share of production was 43,000 short tons of
  copper contained in concentrate, 1,200 short tons of Molybdenum
  in concentrate, 340,000 ounces of silver and 800 ounces of
  gold, he said.
      A consortium, 50 pct owned by Teck and 25 pct each by MIM
  (Canada) Inc and Metallgesellschaft Canada Ltd, acquired its
  Cominco stake last year from Canadian Pacific Ltd <CP>.
  

BANPONCE CORP <BDEP> 1ST QTR NET
  Shr 1.08 dlrs vs 1.00 dlr
      Net 6,215,538 vs 5,757,013
  

XEBEC <XEBC> TO REPORT 2ND QTR LOSS
  Xebec Corp said it expects to
  report a loss for its second quarter ended April three, due
  principally to a decline in sales to International Business
  Machines Corp <IBM>, the company's largest customer.
      Xebec also said it expects revenues to total about 23 mln
  dlrs.
      The company reported a second quarter loss last year of 1.9
  mln dlrs, or 14 cts per share, on 23.9 mln in revenues.
      Xebec said IBM has historically accounted for about 50 pct
  of the company's revenues, but that total fell to 20 pct during
  the quarter just ended.
      IBM had used Xebec's hard disk drive controller products in
  the IBM PC/XT, a product which IBM is phasing out.
      Xebec said it intends to continue streamlining its
  operations in light of the loss of business.
      The company also said it has already consolidated two of
  its plants in Nevada and it now plans to sell unused and
  surplus assets to provide additional liquidity.
  

CCC ACCEPTS EXPORT BID FOR WHEAT FLOUR TO IRAQ
  The Commodity Credit Corporation has
  accepted a bid for an export bonus to cover a sale of 12,500
  tonnes of wheat flour to Iraq, the U.S. AGriculture Department
  said.
      The bonus awarded was 113.0 dlrs per tonne and will be paid
  to Peavey Company in the form of commodities from CCC stocks.
      The wheat flour is for delivery May 15-June 15, 1987, the
  department said.
      An additional 162,500 tonnes of wheat flour are still
  available to Iraq under the Export Enhancement Program
  initiative announced January 7, 1987, USDA said.
  

EGYPT AUTHORIZED TO BUY PL-480 WHEAT - USDA
  Egypt has been authorized to purchase
  about 200,000 tonnes of U.S. wheat under an existing PL-480
  agreement, the U.S. Agriculture Department said.
      It may buy the wheat, valued at 22.0 mln dlrs, between
  April 15 and August 31, 1987, and ship it from U.S. ports by
  September 30, the department said.
  

CATERPILLAR <CAT> REAFFIRMS FIRST QUARTER OUTLOOK
  Caterpillar Inc, in remarks
  delivered at its annual meeting in San Francisco, reiterated
  its expectation of a loss in the first quarter.
      It said results would be hurt by a 25 mln dlr one-time
  charge by Caterpillar Mitsubishi, a 50-pct owned affiliate. The
  company said it expected profit from operations for the full
  year to improve over 1986.
      In remarks prepared for delivery to shareholders, President
  Peter Donis said Caterpillar's targeted five pct cost reduction
  in 1987 "will be difficult to achieve because the weaker dollar
  has limited opportunities to obtain lower material costs."
  

BROKER BOOSTS ZONDERVAN <ZOND> STAKE TO 7.1 PCT
  An investor group headed by
  Minneapolis, Minn., broker Jeffrey Wendel said it raised its
  stake in Zondervan Corp to 292,900 shares, or 7.1 pct of the
  total outstanding, from 238,900 shares, or 5.8 pct.
      In a filing with the Securities and Exchange Commission,
  the Wendel group said it bought 54,000 Zondervan common shares
  between March 24 and April 3 at prices ranging from 27.87 to
  29.96 dlrs a share.
      The Wendel group has acted in cooperation with another
  shareholder group headed by London investor Christopher Moran,
  who sought unsuccessfully last year to take over Zondervan.
  

KIENA TWO-FOR-ONE SHARE SPLIT APPROVED
  <Kiena Gold Mines Ltd> said shareholders
  approved a previously reported proposed two-for-one common
  stock split.
      Record date of the split will be April 21, Kiena said.
  

HANOVER INSURANCE <HINS> RAISES DIVIDEND
  Hanover Insurance Co said its
  board declared a quarterly dividend of nine cts per share
  payable May 15 to holders of record April 17.
      The dividend comes after a two-for-one stock split,
  effective April 10, which was approved by shareholders today.
      The company paid a dividend of 14 cts per share on a
  pre-split basis.
  

DAY INT'L <DAY> TO SELL UNIT
  Day International Corp said it has
  entered into a letter of intent to sell its Allen Industries
  Inc unit to a group including the unit's current management.
      Day said the sale could enable Day to accelerate its
  earnings for its current fiscal year ending October 31, 1987.
      "Net earnings for the full year (ending October 31)
  should be in the ball park of some analysts' estimates of 16
  mln dlrs to 19 mln dlrs," Richard Jacob, Day chairman and chief
  executive officer said.
      Day reported earnings of 3.1 mln dlrs, or 39 cts a share,
  in fiscal 1986.
      Day said the agreement is subject to the preparation and
  negotiation of a definitive agreement and the ability of the
  group to obtain financing.
  

RITE AID CORP <RAD> SETS QUARTERLY DIVIDEND
  Qtly div 16.5 cts vs 16.5 cts
      Pay April 27
      Record April 20
  

SOUTH KOREA CORN IMPORTS MAY INCREASE - USDA
  South Korea's purchase of about 2.4
  mln tonnes of U.S. corn in the past six months -- close to
  double last year's total -- indicates that imports from the
  United States, as well as total imports are set for a dramatic
  jump, the U.S. Agriculture Department said.
      In its World Production and Trade Report, the department
  said total South Korea corn imports for the 1986/87 season
  (Oct-Sept) are estimated at 4.3 mln tonnes, with about 3.4 mln
  tonnes from the United States.
      During the 1985/86 season, imports totaled only 1.3 mln
  tonnes of U.S. corn out of a total of 3.6 mln tonnes.
      Ite appears the Koreans are shifting back to U.S. corn in
  light of competitive U.S. prices and uncertain supplies from
  China, Argentina and South Africa, it said.
  

MEXICAN CATTLE IMPORTS TO BE BRANDED - USDA
  All steers imported into the United
  States from Mexico must now be branded with the letter M on the
  right jaw, the U.S. Agriculture Department said.
      In its World Production and Trade Report, the department
  said the branding is necessary to improve surveillance for
  bovine tuberculosis because it provides a permanent way to
  identify Mexican steers.
      The requirement is not expected to affect the number of
  Mexican steers imported into the United States and the brand
  will be applied before the animals arrive at U.S. ports of
  entry.
      Last November, the Mexican Government authorized an export
  quota of nearly 1.1 mln head of live cattle for the 1986/87
  season (Aug-July), most of which goes to the United States.
  

VULCAN <VUL> SEES FIRST QUARTER OPERATING LOSS
  Vulcan Corp's first quarter operating
  results will show a loss, Chairman Lloyd I. Miller told told
  the annual meeting.
      The company reported a profit of 365,883 dlrs, 23 cts a
  share, for the first quarter last year with one cent a share
  coming from non-operating factors, a spokesman said.
      Miller attributed the expected loss to completion of the
  purchase transfer and consolidation of operating assets of the
  O'Sullivan Rubber Division, saying this was proving more costly
  and taking more time than originally anticipated.
      Vulcan is working to resolve the problems, Miller told
  shareholders, adding it appears it will take most of 1987 to
  find solutions.
  

UAL <UAL> HAS NO COMMENT ON STOCK RISE
  UAL Inc, citing company policy, told
  the New York Stock Exchange it would not comment on the unusual
  rise in its stock.
      UAL, parent of United Airlines, closed up 6-1/4 at 72 on
  volume of 3.9 mln shares.
      Wall Street traders said UAL's stock soared in response to
  the the proposed 4.6 billion dlr buyout offer by United Air's
  pilots union and on a general rise in air fares throughout the
  industry.
  

STRATA CORP <STATA> YEAR DEC 31 LOSS
  Shr loss 1.11 dlrs vs loss 1.53 dlrs
      Net loss 7.1 mln vs loss 8.8 mln
      Revs 3.1 mln vs eight mln
  

STRATA <STATA> 1986 EARNINGS REPORT QUALIFIED
  Strata Corp said its 1986
  earnings report contained a qualified opinion from its
  independent auditors.
      Strata said it owed 1.4 mln dlrs in overdue interest to its
  lender at the end of 1986, and the entire 10.9 mln dlr
  principle has been classified as a liability.
      The company, which has an agreement to merge with <Lomak
  Petroleum Inc>, lost 7.1 mln dlrs in 1986 against a loss of 8.8
  mln dlrs a year earlier.
  

DAYTON HUDSON CORP <DH> VOTES QUARTERLY PAYOUT
  Qtly div 23 cts vs 23 cts prior qtr
      Pay 10 June
      Record 20 May
  

VULCAN CORP <VUL> REGULAR DIVIDEND
  Qtly div 20 cts vs 20 cts in prior qtr
      Payable June 10
      Record May 22
  

NAT'L DISTILLERS SAYS IT AGREES TO SELL SPIRITS UNIT FOR 545 MLN DLRS TO AMERICAN BRANDS

  NAT'L DISTILLERS SAYS IT AGREES TO SELL SPIRITS UNIT FOR 545 MLN DLRS TO AMERICAN BRANDS
  

USDA SEEKS COMMENTS ON GRAIN DISCOUNT SCHEDULE
  The U.S. Agriculture Department is
  seeking public comments on the question of adjusting the
  Commodity Credit Corporation's (CCC) discount and premium
  schedules to improve the quality of grain it accepts as loan
  collateral or under price support programs.
      The premiums and discounts schedule are based on quality
  factors such as moisture content and kernel damage. The
  schedule stipulates the premiums and discounts used for valuing
  grain the CCC accepts or purchases during the year.
      The department said it is possible that producers could be
  encouraged to delivery higher quality grain to CCC by adjusting
  the premiums and discounts.
      Comments are due by April 24 and a report to Congress is
  required by law by May 10.
  

CASCADE IMPORTERS UNIT ACQUIRES PARIS COMPANY
  <Cascade Importers Inc USA>'s
  Cascade International Europa GmbH of West Germany, said it
  tentatively acquired worldwide rights for the products of Madam
  Gre from the Bernard Tapie Group in Paris.
      The agreement calls for Cascade to have the rights for the
  manufacturing and trading of perfumes, skin care and treatment
  products, and cosmetics of the group, it said.
      Cascade said the agreement also includes the exclusive
  rights to trade through duty-free channels worldwide the
  designer Gres accessories.
      In addition, Cascade said it was granted an option to
  purchase all the assets including the plant and equipment
  located in France. 
      The company said the cosmetic product line in the U.S.
  market alone could represent 20 mln dlrs in revenue.
  

ARMEL INC <AML> 4TH QTR LOSS
  Oper shr loss 79 cts vs loss 2.32 dlrs
      Oper net loss 2,536,896 vs loss 6,562,472
      Revs 13.8 mln vs 14.5 mln
      Year
      Oper shr loss 59 cts vs loss 2.35 dlrs
      Oper net loss 1,712,896 vs loss 5,747,472
      Revs 43.6 mln vs 44.2 mln
      NOTE: 1986 excludes charge of 12 cts per share in the
  fourth quarter and gain of 11 cts per share in the year.
  

NATIONAL DISTILLERS <DR> TO SELL SPIRITS UNIT
  National Distillers and Chemical Corp
  said it signed a definitive agreement to sell its spirits
  division for 545 mln dlrs to James Beam Distilling Co, a unit
  of American Brands Inc <AMB>.
      The sale of the spirits division was made under the
  company's previously announced plan to sell its spirits and
  wines businesses, it said. The wine business was sold last
  month for 128 mln dlrs to Heublein Inc, part of Grand
  Metropolitan PLC, National Distillers said.
      The purchase price will be paid in cash, a National
  Distillers spokeswoman said.
      The sale permits National to focus on its core businesses,
  chemicals and propane marketing.
      Proceeds from the sale will be used to repay debt and for
  other corporate purposes, the company said.
      In a separate statement, American Brands said the sale
  would be for 545 mln dlrs plus the assumption of liabilities.
      The sale would be subject to compliance with the
  Hart-Scott-Rodino Antitrust Improvements Act and other
  regulatory approvals, the company said.
      National's distilled spirits business has sales of about
  580 mln dlrs, American Brands said. National's spirits brands
  include Gilbey's gin and vodka, DeKuyper Liqueurs and Windsor
  Supreme Canadian Whisky.
  

MANAGEMENT SCIENCE <MSAI> LOSS MAY TOP 20 CTS
  Management Science America Inc,
  clarifying statements made earlier today, said its loss for the
  first quarter could exceed 20 cts a share because of
  non-recurring expenses associated with the acquisition of
  several companies, including Comserv Inc.
      Earlier today, the company told a meeting of investors here
  that the first quarter loss would be 20 cts a share.
  

WOJNILOWER SEES DROP IN U.S. INTEREST RATES
  The Federal Reserve will promote lower
  interest rates this year to sustain world economic growth,
  First Boston Corp managing director Albert Wojnilower said.
      As much as the Fed would like to take a tough line against
  inflation, it cannot act to slow the growth of credit without
  subverting national U.S. economic policy.
      "On selected occasions when the dollar seems steady, and,
  because the trade deficit is not responding, the United States
  decided to push Germany and Japan harder to meet their
  commitments to economic growth, the Federal Reserve will do its
  part by moving rates down," Wojnilower said in a report.
      "Justifiably not anticipating either a recession or
  seriously higher interest rates, securities market participants
  have seen little to fear," Wojnilower said.
      He said last week's "hiccup" in money and currency rates
  and bond and stock prices was probably caused by Japanese
  window dressing for March 31 end-of-fiscal-year accounts.
      Wojnilower said the U.S. probably enjoyed above-average
  economic growth in the first quarter. However, the pick-up
  seems to reflect an unsustainable pace of inventory building
  and the prospect for the full year is still for real gross
  national product growth of about 2-1/2 pct, he said.
  

RAYTECH <RAY> BUYS WEST GERMAN COMPANY
  Raytech Corp said it acquired
  <Raybestos Industrie-Produkte GmBH> for 7.5 mln dlrs.
      Raybestos, with manufacturing facilities in Radevormwald,
  West Germany, produces friction materials for use in clutch and
  braking applications.
  

INTERCARE <CARE> TO POST 4TH QTR LOSS
  Intercare Inc said it
  expects to report a substantial loss for its fourth quarter
  ended January 31 because of a writeoff of expenses associated
  with its recently terminated debt and equity offering.
      The company also said the write off includes expenses
  associated with the acquisition of U.S. Medical Enterprises
  Inc, and with the restructuring of certain partnerships.
      Intercare also said it increased its reserve against
  accounts receivable.
      Executives at the company were not immediately available to
  provide additional details.
      Intercare also said it has implemented a workforce
  reduction, closed two medical centers and is considering
  additional closings as a means of reducing a working capital
  deficit.
  

CANADA TO MONITOR STEEL IMPORTS, EXPORTS
  Canada plans to monitor steel shipments
  flowing in and out of the country in an attempt to appease
  concerns in the U.S. over the high level of Canadian steel
  exports, Trade Minister Pat Carney said.
      "To help maintain our open access to the U.S. steel market,
  the government is taking further action to ensure we have more
  accurate data on exports and imports and that Canada is not
  used as a backdoor to the U.S. market by offshore suppliers,"
  Carney said.
      Carney also said Canadian companies were being asked to
  exercise prudence in the U.S. market and both countries were
  considering establishing a joint commission to study the
  growing steel problem.
      Carney told the House of Commons she will soon announce an
  amendment to the Exports and Imports Permits Act to set up the
  monitoring program.
      Canadian steel shipments to the U.S. have risen to 5.7 pct
  cent of the U.S. market in recent months, almost double the
  level just two years ago, Canadian trade officials said.
      The increase in Canadian shipments comes at a time of
  growing anger in the U.S. over rising steel imports from
  several countries in the face of a decline in the domestic
  steel industry.
      Some U.S. lawmakers have proposed Canada's share of the
  American market be limited to 2.4 pct.
  

UNITED TECH <UTX> SEES NO EARNINGS IMPACT
  United Technologies Corp said
  the decision by an international consortium not to develop a
  new engine would have no impact on 1987 or 1988 earnings.
      <International Aero Engines>, IAE, 30 pct owned by United
  Technologies' Pratt and Whitney division, has decided not to
  launch a superfan version of its V2500 engine.
      "We've told analysts that IAE's decision not to launch a
  full development program of the IAE superfan for certification
  in 1991 will have no short term impact on earnings," a United
  Technologies spokesman told Reuters.
      Short term refers to 1987 and 1988, the spokesman said. He
  declined to elaborate.
      IAE's other owners are Rolls Royce PLC, <Japanese Aero
  Engines Corp>, Fiat SPA and <MTU> of West Germany.
      Analysts are estimating United Technologies will earn 3.75
  dlrs to 4.50 dlrs a share in 1987. It reported earnings of 36
  cts a share in 1986, which included two large writeoffs.
  

STEWART AND STEVENSON <SSSS> 4TH QTR NET
  Shr profit 72 cts vs profit 14 cts
      Net profit 3,309,000 vs profit 609,000
      Revs 72 mln vs 65 mln
      Year
      Shr nil vs loss 4.13 dlrs
      Net profit 1,000 vs loss 19 mln
      Revs 249 mln vs 269 mln
      NOTE: Full name Stewart and Stevenson Services Inc.
  

WESTAMERICA BANCORP <WAB> 1ST QTR NET
  Shr 98 cts vs 63 cts
      Net 2,602,000 vs 1,571,000
      Loans 834.8 mln vs 729.0 mln
      Deposits 1.04 billion vs 942.1 mln
      Assets 1.15 billion vs 1.02 billion
  

U.S.SENATE LIFTS SOME BANS ON NATURAL GAS
  The Senate unanimously approved
  legislation to lift a ban on new construction of natural
  gas-fired power plants and other large industrial gas-burning
  plants.
      The bill, sponsored by Senate Energy Committee chairman
  Bennett Johnston, also repeals mandatory incremental pricing of
  natural gas which was designed to protect residential consumers
  from major price increases by forcing some industrial users to
  pay higher than market prices.
      "This legislation will open up new natural gas markets," the
  Lousiana Democrat said.
      The gas restrictions were enacted in 1978 in response to a
  shortage of natural gas and predictions of higher prices.
      "Now both oil and gas prices are severely depressed,"
  Johnston said.
      In a compromise with coal producers, the bill requires new
  baseload electric powerplants be designed to accomodate
  modifications necessary to burning coal or another alternate
  fuel.
  

SOUTHEAST BANCORP <STB> ACTS ON BRAZILIAN DEBT
  Following the lead of other major
  banks, Southeast Banking Corp told the Securities and Exchange
  Commission it would place 54.2 mln dlrs of medium- and
  long-term Brazilian debt on non-accrual or cash status.
      Based on current interest rates, it estimated in a filing
  that the move will reduce net income by about 800,000 dlrs in
  the first quarter and 3.2 mln dlrs for all of 1987. The company
  also said it did not believe the Brazilian debt situation would
  have a "material adverse" effect on it.
      It also said it would issue 1,080,000 common shares in
  connection with its acquisition of Popular Bancshares Corp.
  

WILLIAMS <WMB> SEES FLAT PIPELINE VOLUMES IN 1987
  Williams Cos said it expected oil and
  fertilizer transportation volumes to be flat in 1987 but said
  operating profits from the pipeline unit should improve from
  49.4 mln dlrs earned last year when a seven mln dlr special
  charge was incurred.
      Williams Pipeline Co took the charge against earnings in
  1986 for the removal of more than 500 miles of old pipeline
  from service and for casualty losses. Companywide, Williams had
  a net loss of 134 mln dlrs on total revenues of 1.85 billion
  dlrs, a decline from profits of 32 mln dlrs on sales of 2.46
  billion in 1985.
      In its annual report, Williams said its Northwest Pipeline
  Corp and Williams Natural Gas Co had natural gas costs that are
  among the lowest in the nation, averaging 2.04 dlrs and 2.07
  dlrs per mcf, respectively, last year. Total natural gas
  reserves for both units declined to 10,010 billion cubic feet
  in 1986 from 11,334 billion cubic feet the previous year.
      The company said its Williams Natural Gas unit, which has
  less take-or-pay exposure than most major pipelines, should
  show improvement in its 1987 operating results because of
  changes tariff and federal tax rates.
      The company's gas marketing business is expected to have
  somewhat lower earnings in 1987 because of competition in its
  operating region, the annual report said. The gas marketing
  unit earned 26.0 mln dlrs on sales of 285.6 mln dlrs last year.
      Williams also said it expected a substantial decline in its
  debt to equity ratio this year because of more than 250 mln
  dlrs received in cash from the sale of Agrico Chemical Co and
  proceeds from the sale and leaseback of Williams
  Telecommunications Co. The telecommunications business, a
  2,000-mile fiber optic system for long distance use, will not
  be profitable until late 1988, Williams said.
  

SUPER VALU STORES INC <SVU> 4TH QTR FEB 28 NET
  Shr 38 cts vs 25 cts
      Net 28,339,000 vs 18,650,000
      Sales 2.27 billion vs 1.97 billion
      Avg shrs 74,485,000 vs 74,270,000
      Year
      Shr 1.20 dlrs vs 1.23 dlrs
      Net 89,301,000 vs 91,247,000
      Sales 9.07 billion vs 7.91 billion
      Avg shrs 74,387,000 vs 74,184,000
      NOTE: 1986 period ended February 22, 1986
      1986 earnings include net loss of unconsolidated subsidiary
  of 162,000 dlrs in the quarter and 702,000 dlrs for the year
  

PARKER DRILLING CO <PKD> 2ND QTR FEB 28 LOSS
  Shr loss 70 cts vs loss 57 cts
      Net loss 20,616,000 vs loss 16,854,000
      Revs 23.1 mln vs 60.1 mln
      Six mths
      Shr loss 1.38 dlrs vs loss 1.02 dlrs
      Net loss 40,780,000 vs loss 29,996,000
      Revs 61.0 mln vs 114.9 mln
  

COFFEE COULD DROP TO 70/80 CTS, CARDENAS SAYS
  International coffee prices could drop to
  between 70 and 80 cents a lb by next October if no agreement is
  reached to support the market, Jorge Cardenas, manager of
  Colombia's National Coffee Growers' Federation said.
      Speaking at a forum for industrialists, he said one of the
  reasons was that the market was already saturated and that
  producers will have excess production and stockpiles of 39 mln
  (60-kg) bags in 1987.
      Today, May futures in New York settled at 107.90 cents a
  lb.
  

HBO <HBOC> URGES SHAREHOLDERS AGAINST ANDOVER
  HBO and Co said it sent a letter of
  strongly urging shareholders not to sign any proxy cards sent
  by Andover Group.
      ON March 30, Andover Group, a two-man general partnership
  which owns about seven pct of HBO's stock, filed preliminary
  proxy materials with the Securities and Exchange Commission
  seeking to nominate an alternative slate of directors at the
  company's April 30 annual meeting.
      Andover had expressed an interest to acquire the company in
  September 1986 but HBO has never received an offer from them,
  it said.
      In addition, HBO said its financial condition is improving
  rapidly as the result of a significant restructuring
  implemented in 1986.
      It expects the company to report net income of about 40 cts
  per share in 1987 and a very significant increase in 1988.
      For the year ended December 1986, the company reported a
  loss of 3.6 mln dlrs, or 16 cts per share.
  

(CFCF INC) SIX MTHS FEB 28 NET
  Shr 51 cts vs 56 cts
      Net 5,645,000 vs 6,153,000
      Revs 45.9 mln vs 45.3 mln            
  

UAP MAKES ACQUISITIONS
  <UAP Inc> said it has acquired Slater
  Auto Electric Ltd, with two Ontario stores, and United Diesel
  Engine Parts Ltd, of Dartmouth, Nova Scotia, for undisclosed
  terms. It said the transactions, together with acquisitions
  earlier this year, will increase its annual sales by about 4.5
  mln dlrs.
  

EIA SAYS DISTILLATE STOCKS UNCHANGED, GASOLINE OFF 200,000, CRUDE UP 6.3 MLN

  EIA SAYS DISTILLATE STOCKS UNCHANGED, GASOLINE OFF 200,000, CRUDE UP 6.3 MLN
  

USDA DISCUSSING PL 480 AGREEMENT WITH MOROCCO
  The U.S. Agriculture Department is
  currently discussing an amendment to a PL 480 agreement signed
  with Morocco on January 22, but the mix of commodities under
  the amendment has not been determined, a U.S. Agriculture
  Department official said.
      The official noted the agreement signed in January provided
  for the supply of about 55,000 tonnes of vegetable oil, 55,000
  tonnes of corn and 126,000 tonnes of wheat, all for delivery
  during the current fiscal year, ending this September 30.
      No purchase authorizations for the commodities provided in
  the January agreement have been announced by the department.
  

EIA SAYS DISTILLATE STOCKS UNCHANGED IN WEEK
  Distillate fuel stocks held in
  primary storage were unchanged in the week ended April three at
  106.9 mln barrels, the Energy Information Administration (EIA)
  said.
      In its weekly petroleum status report, the Department of
  Energy agency said gasoline stocks were off 200,000 barrels in
  the week to 248.1 mln barrels and refinery crude oil stocks
  rose 6.3 mln barrels to 335.8 mln.
      The EIA said residual fuel stocks fell 100,000 barrels to
  38.1 mln barrels and crude oil stocks in the Strategic
  Petroleum Reserve (SPR) rose 1.1 mln barrels to 520.0 mln.
      The total of all crude, refined product and SPR stocks rose
  9.4 mln barrels to 1,561.1, it said.
  

HAWKEYE <HWKB> 1986 ANNUAL REPORT QUALIFIED
  Hawkeye Bancorp's 1986 annual
  financial results were qualified by its auditors, according to
  the annual report.
      "...there are conditions which may indicate that the
  company will be unable to continue as a going concern,"
  auditors Deloitte Haskins and Sells said in Hawkeye's annual
  report to shareholders.
      Hawkeye reported a 1986 loss of almost 59 mln dlrs, citing
  an increase in its loan loss provision to 34.7 mln dlrs and
  restructuring costs of 27 mln dlrs.
      However, Hawkeye, with assets of 1.09 billion dlrs at 1986
  year end, said it expects "to have sufficient cash to meet its
  obligations for the next 12-month period."
      Last July the bank holding company reached a debt
  restructuring agreement which identifed 17 bank subsidiaries
  and five non-bank operations for disposition.
      "The restructuring has improved Hawkeye's financial
  condition, but it does not assure that Hawkeye will be able to
  survive as a going concern," the report said.
      Hawkeye's survival will depend on its ability to comply
  with provisions of the debt restructuring and regulatory
  agreements and on its ability to return to profitable
  operations, it said.
      There can be no assurance that Hawkeye will be able to meet
  these requirements. However, the company "believes it will be
  able to do so," Hawkeye said.
  

<WASHINGTON BANCORPORATION> 1ST QTR NET
  Shr 33 cts vs 37 cts
      Net 2,051,000 vs 1.8 mln
      Assets 1.7 billion vs 1.5 billion
      Deposits 1.4 billion vs 1.2 billion
      Loans 1.1 billion vs 900 mln
      Note: Year-ago results restated to reflect merger with
  Colson Inc.
  

DOME <DMP> PLAN MAY FORCE SALE OF ENCOR STAKE
  Dome Petroleum Ltd's proposal to
  restructure debt of more than 6.10 billion Canadian dlrs
  includes provisions that may force the company to sell its 42
  pct stake in <Encor Energy Corp Inc>, Dome said in a U.S.
  Securities and Exchange Commission filing.
      Dome said in the filing that its debt plan proposes making
  payments under a five year income debenture to the lender whose
  debt is secured by Dome's Encor shares.
      After the five years are up, "under certain circumstances
  the shares of Encor may be required to be disposed," the company
  said.
      Dome has pledged its 42.5 mln Encor shares as security for
  part of its debt to <Canadian Imperial Bank of Commerce>,
  estimated last year at 947 mln dlrs.
      Analysts have said Commerce Bank was pressing Dome to sell
  the stock to pay down its debt.
      Dome's Encor shares had a market value of 313 mln dlrs on
  March 17, 1987, the company's filing said.
      As previously reported, Dome is seeking approval in
  principle for the debt restructuring plan. Dome said in the
  filing it proposed lenders sign a letter of understanding in
  early April, with implementation to be effective July 1, 1987.
      Dome Petroleum reiterated in the SEC filing that its
  existence as a going concern is dependent on continuing the
  interim debt plan, due to expire on June 30, and winning
  agreement for its proposed restructuring plan.
      "The company believes that the negotiation and
  implementation of the proposed debt restructuring plan is
  realistic and achievable," Dome said.
      "However, the final outcome of the negotiations cannot be
  predicted at this time," it said.
  

RECENT U.S. OIL DEMAND OFF 2.6 PCT FROM YEAR AGO
  U.S. oil demand as measured by
  products supplied fell 2.6 pct in the four weeks ended April
  three to 15.73 mln barrels per day (bpd) from 16.16 mln in the
  same period a year ago, the Energy Information Administration
  (EIA) said.
      In its weekly petroleum status report, the Energy
  Department agency said distillate demand was off 7.9 pct in the
  period to 2.90 mln bpd from 3.15 mln a year earlier.
      Gasoline demand averaged 6.76 mln bpd, off 3.1 pct from
  6.98 mln last year, while residual fuel demand was 1.15 mln
  bpd, off 16.9 pct from 1.39 mln, the EIA said.
      So far this year, distillate demand fell 2.3 pct to 3.20
  mln bpd from 3.28 mln in 1986, gasoline demand was 6.63 mln
  bpd, off 0.3 pct from 6.65 mln, and residual fuel demand fell
  4.9 pct to 1.35 mln bpd from 1.42 mln, the EIA said.
      Year-to-date domestic crude output was estimated at 8.40
  mln bpd, off 7.6 pct from 9.09 mln a year ago, while gross
  crude imports averaged 3.92 mln bpd, up 27.1 pct from 3.08 mln,
  it said.
  

DEFICIT CUTS SEEN UNABLE TO CURE TRADE DEFICIT
  Financial analysts say they are
  pleased with congressional moves to trim next year's federal
  budget deficit but believe the actions will do little to help
  improve the U.S. trade deficit or buoy the economy.
      The House of Representatives is expected to vote tomorrow
  to approve a trillion-dollar budget blueprint for the coming
  fiscal year that reduces the deficit by 38 billion dlrs.
      Similarly, the Senate Budget Committee has approved a plan
  that would cut federal red ink by about 37 billion dlrs next
  year.
          "In terms of the economy, 37-38 billion dlrs is
  infinitesimal, so cuts of this magnitude will have little
  impact on the economy and the trade deficit," said Stanley
  Collander, a Touche Ross federal budget policy analyst.
      "At best, it will have a small positive effect," Collander
  said in an interview.
      Federal Reserve Board Chairman Paul Volcker has repeatedly
  told Congress that cutting federal red ink would go a long way
  to help reduce the massive trade deficit and also help ease
  some of the downward pressure on the value of the dollar.
      The U.S. government has attempted to remedy the trade
  imbalance by driving down the value of the dollar. But Volcker
  has warned that a further fall in the dollar's value is fraught
  with danger.
      Such a decline, he has said, could refuel inflation as
  imported goods become more expensive and chase away foreign
  capital needed to finance the federal budget deficit.
      In addition, in February, U.S. officials meeting with other
  major industrialized nations in Paris agreed that the value of
  the dollar had dropped enough and that world exchange rates
  should be stabilized at around current levels.
      As part of that agreement, Japan and West Germany agreed to
  take steps to stimulate their economies and the United States
  agreed to cut its budget deficit.
      The alternative to driving down the dollar any further as a
  way to deal with the trade deficit, Volcker said recently, is
  to reduce U.S. consumption, particularly federal spending.
      "If you don't deal with the budget deficit, everything else
  you do is going to be counterproductive," Volcker said in recent
  testimony before the Senate Banking Committee.
      Volcker also said he would prefer to further tighten the
  government's purse strings than have the Fed tighten the credit
  supply if action was needed to fight inflationary pressures or
  to assure the continued flow of foreign capital into the United
  States.
      Analysts say that Fed tightening now could choke off the
  current modest economic expansion and threaten a recession.
      Kemper Financial Services economist John Silvia stressed
  that any deficit reduction was better than none.
      But he said the size of the cuts under consideration were 
  not enough to give the Federal Reserve Board the flexibility it
  needs to steer the economy or to keep the value of the dollar
  from plunging further in world exchange markets.
      "There's no doubt that some deficit reduction helps, but if
  your objective is to stabilize the dollar and perserve the
  Fed's flexibility to conduct monetary policy, then the answer
  is, it's not enough," Silvia told Reuters.
      The U.S. trade deficit has become one of the government's
  most vexing and persistent problems.
      The 1986 deficit was 169.8 billion dlrs and there is as yet
  little indication that this year's figure will be any lower,
  though administration officials have predicted it will drop by
  about 20 to 30 billion dlrs by year's end.
      In the past, Volcker has joked that he never lost sleep
  worrying whether Congress would cut too much fat from the
  federal budget.
      On the other hand, he also has made it clear he is not
  attached to the gradually declining deficit ceilings set for
  the 1986-1991 period by last year's Gramm-Rudman balanced
  budget law.
      While the new law set a ceiling of 108 billion dlrs for
  next year's federal deficit, both the House and Senate Budget
  Committees have conceded that their budget plans would fall
  short of the deficit reduction goal by about 25 billion dlrs.
      "For political reasons, 35 to 40 billion dlrs is about the
  most you're going to get" out of Congress at the present time,
  said Touche Ross's Collander. "To do something more than that
  would be extraordinary, remarkable and very, very difficult."
      Collander said the real danger for Congress was to end up
  short of the deficit reduction goal set by its Budget panels.
      "To an extent, this has become the minimum acceptable
  reduction level," he explained. "Anything less than that will now
  look like a failure to Wall Street."
      The budget plan now under debate on the House floor would
  lower an estimated 171 billion dlr deficit for the year
  beginning on October one to about 133 billion dlrs by cutting
  defense and domestic programs by 38 billion dlrs from their
  anticipated spending levels for next year.
      The Senate Budget Committee has called for a deficit of
  nearly 134 billion dlrs with about 18.5 billion dlrs in new 
  taxes and about the same amount in spending cuts.
  

STEWART AND STEVENSON SERVICES <SSSS> 4TH QTR
  4th qtr ended Jan 31.
      Shr profit 72 cts vs profit 14 cts
      Net profit 3,309,000 vs 609,000
      Revs 72 mln vs 65 mln
      Year
      Shr profit nil vs loss 4.13 dlrs
      Net profit 1,000 vs loss 19 mln
      Revs 245 mln vs 269.1 mln
  

WESTAMERICA BANCORPORATION <WSAM> 1ST QTR NET
  Shr 98 cts vs 63 cts
      Net 2,602,000 vs 1,571,000
      Assets 1.15 billion vs 1.02 billion
      Deposits 1.04 billion vs 942.1 mln
      Loans 834.8 mln vs 729.0 mln
      Return on avg assets 0.92 pct vs 0.63 pct
  

COLOMBIA COFFEE REGISTRATIONS REMAIN OPEN
  Colombia's coffee export registrations
  remain open and there are no plans to close them since a new
  marketing policy means an unlimited amount can be registered,
  Gilberto Arango, president of the private exporters'
  association said.
      "The philosophy of the new policy is not to close
  registrations. Nobody so far said may would be closed," he told
  Reuters.
      On March 13, Colombia opened registrations for April and
  May for an unlimited amount.
      Without giving breakdowns, Arango said private exporters
  had registered 1,322,804 bags this calendar year up to April 6,
  or roughly 440,000 bags per month, slightly lower than the
  average in recent years.
      He estimated the amount of bags registered by the national
  coffee growers' federation at about the same, meaning a total
  of about 900,000 bags registered and sold per month by
  Colombia.
      "The only change that could happen is, because of the
  volume, we would be told that from such a date, registrations
  would be for June shipment, etc" Arango said.
  

GATEWAY BANCORP INC <GBAN> 1ST QTR NET
  Shr 32 cts vs 34 cts
      Net 902,178 vs 662,647
      Deposits 174.7 mln vs 134.4 mln
      NOTE: Per share amounts adjusted to reflect 10-for-one
  stock split effective Sept 16, 1986.
  

MORE AMERICAN BRANDS <AMB> ACQUISITIONS SEEN
  American Brands Inc's 545 mln dlrs
  acquisition of National Distillers and Chemical Corp's liquor
  business is expected to be one of a series of acquisitions by
  the tobacco company, analysts said.
       "They were very frustrated with their inability to get
  Chesebrough. They said they were looking for an acquisition. It
  doesn't surprise me that they came up with another one," said
  Allan Kaplan of Merrill Lynch and Co.
      American Brands failed late last year in its 2.9 billion
  dlrs bid for Chesebrough-Ponds Inc when Unilever N.V. agreed to
  buy the company. But since then, Wall Street has been
  speculating that American Brands would find another candidate
  to help reduce its earnings exposure to tobacco.
      "This is just typical," said George Thompson of
  Prudential-Bache securities. "There's going to be more to come
  here. American Brands had to make an acquisition because
  tobacco is still a significant part of earnings. Their position
  is a little less favorable than Philip Morris and RJ Reynolds,"
  he said.
  cash flow from its low growth tobacco, but the tobacco business
  does require great amounts of capital expenditures. It can
  therefore use its funds to make acquisitions. Analysts said the
  National Distillers' spirits company, which makes Gilbey's gin
  and vodka, Old Grandad and Old Crow whiskey, is not quite the
  type of acquisition they envisioned.
      "The distilled spirits business has been in a steady
  gradual decline for sometime, as has the tobacco business,"
  said Thompson.
   REUTER...
  

BUNDESBANK CALLS FOR CENTRAL BANK COOPERATION
  Bundesbank board member Claus Koehler
  called on central banks of major industrialised nations to
  cooperate closely on exchange and interest rate policies.
      In a lecture at the University of Surrey, pre-released
  here, Koehler said that the only alternative to cooperation was
  protectionism and control on capital movements.
      "Central banks have sufficient experience of exchange market
  transactions to steer exchange rates where they want to have
  them," he said. He added that West German growth forecasts would
  have to be revised downward because of the recent dollar drop
  to 1.80 marks from above two marks at the start of 1987.
      Koehler said that transactions on foreign exchange markets
  had parted company with transactions in goods, services and
  investments. It was the scale of speculative transactions that
  determined market trends.
      Speculative inflows could cause monetary aggregates to
  grow. To reverse such a rise in the money stock, interest rates
  would have to be lowered to allow funds to drain off.
      "In other words, the monetary policy measures required are
  different from -- and sometimes diametrically opposed to --
  those needed when the money stock is increasing as a result of
  mounting economic activity," Koehler said.
      The dollar fall was one means of reducing the massive U.S.
  Current account deficit. But attempts to keep the depreciation
  going by talking the dollar down posed problems.
      The sharp drop of the dollar had led to an immediate steep
  rise in the cost of U.S. Imports and a sharp fall in the cost
  of European imports. But the volume effect of falling imports
  to the U.S. And rising imports to Europe would take time to
  make itself felt compared with the price effect.
      "Hence the depreciation of the dollar may well be going
  further than would be necessary to adjust the current account
  over the medium term," Koehler said.
      A reduction in the U.S. Current account deficit would occur
  only if the growth rate of GNP was higher than domestic demand.
  In Japan and West Germany by contrast, domestic demand should
  rise faster than GNP.
      "In Germany this did indeed happen in 1986," Koehler said.
      If a further appreciation of the dollar was to be
  prevented, the U.S. Current account deficit could be offset by
  an inflow of foreign funds into the U.S..
      But only if there was an appropriate interest rate
  differential would Europe and Japan look for financial
  investment in the U.S.
      When selecting monetary policy instruments, a central bank
  had to pay greater heed than in the past to the impact its
  measures might have on expectations and consequent decisions.
      Koehler said the Bundesbank was changing money market rates
  by operating on the open market rather than adjusting leading
  interest rates because of the signal this gives to the market
  and its substantial impact on exchange rates.
      It was not only important to achieve the domestic goals of
  price stability, economic growth and full employment but also
  to tackle international problems like the exchange rate
  problem, the debt problem and the current account problem.
      A strategy had to be designed that helped "the safeguarding
  of non-inflationary economic growth in an international
  monetary system largely free of disruptions," Koehler said.
      Given the system of floating exchange rates, it was
  necessary for central banks to agree to intervene. It sufficed
  to tell the market where central banks saw exchange rates over
  the next few years and intervention points should not be set,
  because they were only testing points for the market, he said.
      In order to keep the international monetary system free of
  disruptions central banks should not only intervene jointly but
  also cooperate on interest rate policies, Koehler said.
  

AUSTRALIAN UNEMPLOYMENT RISES IN MARCH
  Australia's seasonally adjusted
  unemployment rate rose to 8.4 pct of the estimated workforce in
  March from 8.2 pct in February and 7.9 pct a year earlier, the
  Statistics Bureau said.
      The number of jobless rose to 650,700 from 631,900 in
  February and 593,200 a year earlier, the Bureau said.
      Unadjusted, the number of unemployed rose to 702,600 from
  699,600 in February but the rate eased to 9.0 pct from 9.1,
  reflecting a slight increase in the estimated workforce. In
  March 1986, 640,400 persons, or 8.5 pct of the workforce, were
  out of work.
  

CSR SAYS IT IS RETAINING NON-DELHI GAS-OIL STAKES
  CSR Ltd <CSRA.S> said its sale of <Delhi
  Petroleum Pty Ltd> will not affect the other oil and gas
  interests it manages or operates.
      CSR sold Delhi, which holds an average 25 pct in the Santos
  Ltd <STOS.S>-led Cooper-Eromanga Basin onshore gas and liquids
  joint ventures, to an Exxon Corp <XON> unit for 985 mln dlrs on
  April 1.
      In a statement to clarify the position, CSR said it will
  retain its Roma Gas unit, the associated Roma-Brisbane gas
  pipeline and the Bula oilfield on Seram, Indonesia, plus
  exploration interests in Queensland and Hainan Island, China.
  

JAPAN MINISTRY HAS NO COMMENT ON RICE TALKS REPORT
  The Agriculture Ministry declined comment
  on a local newspaper report that Japan had agreed to hold talks
  on its closed rice market in the new GATT round.
      "We have no idea about the report and cannot comment," a
  spokesman told Reuters.
      Nihon Keizai Shinbun, quoting unnamed government sources,
  said Japan would tell U.S. Agriculture Secretary Richard Lyng
  and U.S. Trade Representative Clayton Yeutter of its
  intentions. The two are due to visit Japan later this month for
  farm talks.
      The U.S. Has been pressing Japan to discuss the rice issue
  at the new round of General Agreement on Tariffs and Trade
  talks. But Japan has said GATT is not the right forum.
      Imports of rice to Japan are banned under the Foodstuff
  Control Act.
      Nihon Keizai said Japan's plan resulted from worries about
  mounting trade tension with the U.S. At the GATT talks, Japan
  will try to persuade the U.S. That its rice policy is
  justified, it said.
      The 93-nation world trade body began the Uruguay trade
  round last September. It will take four years to negotiate.
  

SHOWA DENKO EXPORTS ALUMINIUM CASTING EQUIPMENT
  <Showa Denko Ltd> said it is exporting
  aluminium billet casting equipment and technology to countries
  that have recently begun aluminium smelting.
      A company official said it won a 500 mln yen order to
  deliver 10 sets of casting equipment to Venezuela's Venalum by
  end-1987. He said it received an order for one set from
  Aluminium Bahrain B.S.C. Last year and expects further orders
  from the Bahrain smelter.
      Showa Denko withdrew from smelting last year but expects to
  increase its sales of equipment and technology, he said.
  

ECONOMIC SPOTLIGHT - TELECOM IS KEY JAPAN MINISTRY
  Japan's little-known Ministry of Posts and
  Telecommunications (MPT) has emerged as an international force
  to be reckoned with, political analysts said.
      MPT, thrust into the spotlight by trade rows with the U.S.
  And Britain, is in a position of strength due to its control of
  a lucrative industry and its ties with important politicians,
  they said.
      "The ministry is standing athwart the regulatory control of
  a key industrial sector, telecommunications and information,"
  said one diplomatic source.
      "They are a potent political force," the diplomatic source
  said.
      But MPT is finding domestic political prowess does not
  always help when it comes to trade friction diplomacy, analysts
  said.
      "The ministry was a minor ministry and its people were not
  so internationalized," said Waseda University professor Mitsuru
  Uchida. "Suddenly they're standing at the centre of the world
  community and in that sense, they're at a loss (as to) how to
  face the situation."
      Most recently the ministry has been embroiled in a row with
  London over efforts by Britain's Cable and Wireless Plc to keep
  a major stake in one of two consortia trying to compete in
  Japan's lucrative overseas telephone business.
      The ministry has favoured the merger of the two rival
  groups, arguing the market cannot support more than one
  competitor to Kokusai Denshin Denwa Co Ltd, which now
  monopolizes the business.
      It has also opposed a major management role in the planned
  merger for any non-Japanese overseas telecommunications firm on
  the grounds that no such international precedent exists.
      The ministry's stance has outraged both London, which has
  threatened to retaliate, and Washington, which says the merger
  plan is evidence of Japan's failure to honour pledges to open
  its telecommunications market.
      Washington is also angry over other ministry moves which it
  says have limited access for U.S. Firms to Japan's car
  telephone and satellite communications market.
      Much of MPT's new prominence stems from the growth of the
  sector it regulates.
      "What has been happening is an important shift in the
  economy which makes the ministry a very important place," said
  James Abegglen, head of the consulting firm Asia Advisory
  Service Inc.
      A decision to open the telecommunications industry to
  competition under a new set of laws passed in 1985 has boosted
  rather than lessened MPT's authority, analysts said.
      "With the legal framework eased, they became the de facto
  legal framework," said Bache Securities (Japan) analyst Darrell
  Whitten.
      Close links with the powerful political faction of the
  ruling Liberal Democratic Party (LDP) nurtured by former Prime
  Minister Kakuei Tanaka are another key to MPT's influence, the
  analysts said.
      "Other factions ignored MPT (in the 1970s), but the Tanaka
  faction was forward looking and ... Recognized the importance
  of MPT," Uchida said. Many former bureaucrats became members of
  the influential political group, he added.
      The ministry also has power in the financial sector due to
  the more than 100,000 billion yen worth of deposits in the
  Postal Savings System, analysts said.
      MPT has helped block Finance Ministry plans to deregulate
  interest rates on small deposits, a key element in financial
  liberalisation, since the change would remove the Postal
  Savings System's ability to offer slightly higher rates than
  banks, they said.
      Diplomatic sources, frustrated with what they see as MPT's
  obstructionist and protectionist posture, have characterized
  the ministry as feudal.
      Critics charge MPT with protecting its own turf, limiting
  competition and sheltering the former monopolies under its
  wing. Providing consumers with the best service at the lowest
  price takes a back seat to such considerations, they said.
      But many of the ministry's actions are not unlike those of
  its bureaucratic counterparts in much of the Western world
  including Britain, several analysts said.
      "The United States is really the odd man out," Abegglen said.
  "For a government to take the view that it wants to keep order
  in utilities markets is not an unusual and/or unreasonable
  view," he said.
  

G-7 ISSUES STATEMENT AFTER MEETING
  Following is the text of a statement
  by the Group of Seven -- the U.S., Japan, West Germany, France,
  Britain, Italy and Canada -- issued after a Washington meeting
  yesterday.
      1. The finance ministers and central bank governors of
  seven major industrial countries met today.
      They continued the process of multilateral surveillance of
  their economies pursuant to the arrangements for strengthened
  economic policy coordination agreed at the 1986 Tokyo summit of
  their heads of state or government.
      The managing director of the International Monetary Fund
  also participated in the meeting.
      2. The ministers and governors reaffirmed the commitment to
  the cooperative approach agreed at the recent Paris meeting,
  and noted the progress achieved in implementing the
  undertakings embodied in the Louvre Agreement.
      They agreed, however, that further actions will be
  essential to resist rising protectionist pressures, sustain
  global economic expansion, and reduce trade imbalances.
      In this connection they welcomed the proposals just
  announced by the governing Liberal Democratic Party in Japan
  for extraordinary and urgent measures to stimulate Japan's
  economy through early implementation of a large supplementary
  budget exceeding those of previous years, as well as
  unprecedented front-end loading of public works expenditures.
      The government of Japan reaffirmed its intention to further
  open up its domestic markets to foreign goods and services.
      3. The ministers and governors reaffirmed the view that
  around current levels their currencies are within ranges
  broadly consistent with economic fundamentals and the basic
  policy intentions outlined at the Louvre meeting.
      In that connection they welcomed the strong implementation
  of the Louvre Agreement.
      They concluded that present and prospective progress in
  implementing the policy undertakings at the Louvre and in this
  statement provided a basis for continuing close cooperation to
  foster the stability of exchange rates.
  

BANK OF FRANCE TO HOLD MONEY MARKET TENDER TODAY
  The Bank of France said it has invited
  offers of first category paper today for a money market
  intervention tender.
      Money market operators were divided over whether the Bank
  of France will use to occasion to cut its intervention rate,
  which has stood at 7-3/4 pct since March 9.
      Some thought a price cut unlikely while others said there
  was room for a further 1/4 point cut by the bank.
  

RIO TINTO-ZINC CORP PLC 1986 PRETAX PROFIT 601.7 mln stg
vs 614.4 mln

  RIO TINTO-ZINC CORP PLC 1986 PRETAX PROFIT 601.7 mln stg
  vs 614.4 mln
  

RIO TINTO-ZINC NET ATTRIBUTABLE PROFIT LOWER
  Year to December 31, 1986
      SHR 78.91p vs 83.05p
      DIV 16.5p making 23.5p vs 22p
      PRETAX PROFIT 601.7 mln stg vs 614.4 mln
      NET ATTRIBUTABLE PROFIT 245 mln stg vs 257 mln
      TURNOVER 3.34 billion stg vs 3.09 billion
      Note - Accounts have been restated
      Full name of company is Rio Tinto-Zinc Corp Plc <RTZL.L>
      Group operating profit 529.4 mln stg vs 470.7 mln
      Operating costs 2.81 billion stg 2.63 billion
      Share of profit less losses of related companies 104.4 mln
  stg vs 165.0 mln
      Interest receivable/other income 41.5 mln stg vs 47.4 mln
      Interest payable 73.6 mln stg vs 68.7 mln
      Tax 274.8 mln stg vs 277.1 mln
      Leaving 326.9 mln stg vs 337.3 mln
      RTZ' investment in Australian associate CRA has been equity
  accounted for 1986 and 1985 figures restated on the same basis
  after the reduction of RTZ's interest to 49 pct in October
  1986.
  

Burmah Oil 1986 pre-tax profit 105.9 mln stg vs 79.6 mln.

  Burmah Oil 1986 pre-tax profit 105.9 mln stg vs 79.6 mln.
  

GERMAN BANKERS' REMARKS REVIVE TALK OF RATE CUT
  Remarks by two leading central bankers
  sparked renewed speculation in financial markets that a cut in
  the West German three pct discount rate may be under
  discussion, currency dealers said.
      Bundesbank board member Claus Koehler said in a speech that
  monetary growth resulting from speculative capital inflows
  required cuts in interest rates.
      Separately, West Berlin state central bank president Dieter
  Hiss told journalists that the discount rate could fall below
  its lowest ever point of 2.75 pct. He made clear that he was
  not making a forecast on interest rates, however.
      Currency dealers here and in the Far East said the dollar
  gained slight background support from the speculation.
      But German dealers noted that the Bundesbank kept the 3.80
  pct rate unchanged at which it offered liquidity to the money
  market this week, dashing some expectations that it may either
  offer lower fixed rate money or offer a reduced minimum rate
  and let the strength of banks' demands set the allocation rate.
      It allocated 6.1 billion marks in new liquidity, much less
  than the 14.9 billion leaving the market as a prior pact
  expired. This further weakened sentiment the Bundesbank could
  move to a more accommodative monetary stance, dealers said.
      Koehler said in a speech in Surrey, England, speculative
  capital inflows may cause monetary growth, regardless of
  whether central banks intervened or exchange rates fell.
      "In other words, the monetary policy measures required are
  different from -- and sometimes diametrically opposed to --
  those needed when the money stock is increasing as a result of
  mounting economic activity."
      Though Koehler was known to be the most liberal of the
  generally monetarist Bundesbank board, his comments marked the
  first time cuts in rates had been concretely suggested as a
  counterpoint to overly strong monetary growth, dealers said.
  REUTER^M
  

SOVIET TRADE DEFICIT WITH WEST SOARS IN 1986
  The Soviet trade deficit with the West
  almost quadrupled last year, reaching 2.72 billion roubles
  compared with 713 mln in 1985, official figures showed.
      Statistics published by the monthly journal Foreign Trade
  showed Soviet trade turnover for 1986 fell to 130.9 billion
  roubles from 142.1 billion the previous year, a drop of 7.8
  pct.
      Moscow's trade surplus with East Bloc countries continued
  to grow in 1986.
      Western analysts attributed the deficit rise with the West
  to the world oil price slump, which hit Moscow's main export
  and cut hard currency earnings needed for purchases in the
  West.
  

BURMAH OIL PROFIT CLIMBS TO 105.9 MLN STG
  Year 1986
      Shr 33.54p vs 34.2p.
      Final div 9.5p, making 14p vs 12.75p.
      Pre-tax profit 105.9 mln stg vs 79.6 mln.
      Net profit before minorities 56 mln vs 52.1 mln.
      Turnover net of duties 1.32 billion stg vs 1.46 billion.
      Minorities 800,000 stg vs same.
      Extraordinary debit 20.4 mln vs 28.2 mln.
      NOTE: Company's full name is The Burmah Oil Co Plc <BURM.L>
  REUTER^M
  

CHINA'S WHEAT CROP THREATENED BY PESTS, DISEASE
  Pests and disease, which destroyed 1.1
  mln tonnes of wheat in China in 1986, are threatening crops on
  11.64 mln hectares this year, the China Daily said.
      About 14.54 mln hectares of wheat were affected in 1986.
      The paper said abnormal weather conditions had encouraged
  the spread of wheat midges in 2.47 mln hectares in Shanxi,
  Henan, Sichuan, Anhui, Hebei and Jiangsu.
      In Henan, Shandong and Hebei wheat aphids are affecting
  4.67 mln hectares, wheat red mite 2.8 mln hectares and wheat
  powdery mildew 1.7 mln hectares.
  

RTZ SEES RISING U.S. OUTPUT AIDING 1987 RESULTS
  Rio Tinto-Zinc Corp Plc <RTZL.L>, RTZ,
  said the predicted rise in industrial production in the U.S.
  And Europe should boost its 1987 performance.
      Consumption of some base metals and their dlr prices are
  showing signs of improvement, although iron ore markets have
  weakened. The oil price in U.S. Dlrs is above the 1986 average,
  and if sustained, should improve energy earnings.
      The company was commenting in a statement on its 1986
  results which, on a restated basis, showed net attributable
  profits lower at 245 mln stg after 257 mln the previous year.
  Pretax profits also dipped to 601.7 mln stg after 614.4 mln.
      RTZ said the excellent performance of its expanding range
  of industrial businesses in 1986 was offset by the collapse in
  oil prices.
      Industrial businesses contributed 202 mln stg to net
  profit, a 40 pct increase from 144 mln in 1985, and 60 pct of
  the total. Trading performance improved at wholly-owned
  subsidiaries RTZ Borax Ltd, RTZ Cement Ltd, RTZ Chemicals Ltd
  and RTZ Pillar Ltd. First time contributions from recent
  investment and acquisitions mainly in speciality chemicals and
  minerals also aided performance.
      Metals activities contributed 83 mln stg to net profit.
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  
  

BRIDGESTONE CORP <BRIT.T> YEAR TO DECEMBER 31
  Group shr 35.99 yen vs 38.28
      Net 21.01 billion vs 21.08 billion
      Current 47.73 billion vs 48.06 billion
      Operating 55.04 billion vs 54.99 billion
      Sales 792.71 billion vs 864.28 billion
      NOTE - Company forecast for current year is group shr 37.70
  yen, net 22 billion, current 52 billion and sales 800 billion.
  

EC SUGAR TENDER SEEN MARKING NO CHANGE IN POLICY
  The maximum export rebate granted at
  yesterday's EC sugar tender marked no change in policy over
  producer complaints that they are not obtaining the EC
  intervention price in exporting sugar outside the Community, EC
  Commission sources said.
      The maximum rebate was 46.496 Ecus per 100 kilos for
  118,350 tonnes of sugar, down from 46.864 Ecus the previous
  week, but the change is explained by world market conditions.
      Producers claim the rebate was short of the level needed to
  obtain a price equivalent to the intervention price by over one
  Ecu per 100 kilos, and was 0.87 Ecu short the previous week,
  the sources said.
      They said this was despite the fact that the Commission had
  to accept 785,000 tonnes of sugar into intervention from
  operators protesting that rebates are too low.
      Operators have now until early May to withdraw this sugar.
  But they have not given any sign of planned withdrawals unless
  the Commission reviews its export policy, they said.
  

BURMAH OIL PROSPECTS REMAIN FAVOURABLE
  The current year has opened well, with
  trading prospects remaining favourable, Burmah Oil Co Plc
  <BURM.L> said in a statement with its 1986 results.
      The company plans to maintain a steady rate of investment
  in its marketing operations and to obtain improved profit
  margins on its liquified natural gas, LNG, project.
      Burmah has the financial capacity to continue making
  acquisitions within its business sectors, it added. The
  rationalisation programme, including sale of the Bahamas oil
  terminal and all peripheral activities, is now complete.
      Pre-tax profit for 1986 rose to 105.9 mln stg from 79.6
  mln.
  REUTER^M
  

GEBRUEDER SULZER 1986 PROFIT UP ALMOST 60 PCT
  Year 1986
      Consolidated net profit 67 mln Swiss francs vs 42 mln.
      Dividend 100 francs per registered share vs 80 francs and
  10 francs per participation certificate vs eight.
      Consolidated turnover 4.55 billion francs vs 4.54 billion.
      Parent company net profit 38.2 mln francs vs 26.4 mln.
      Parent company turnover 2.20 billion francs vs 2.29
  billion.
      Note - Company's full name is Gebrueder Sulzer AG <SULZ.Z>
  

JAPAN BUSINESS LEADERS SAY G-7 ACCORD IS WORRYING
  The leaders of two of Japan's top business
  groups said in separate statements the Group of Seven (G-7)
  accord reached in Washington yesterday is of deep concern to
  Japan because it shows the major industrial nations regard the
  yen's current level as appropriate.
      Eishiro Saito, chairman of the Federation of Economic
  Organizations (Keidanren), said the yen's present rate is well
  above adequate levels. He did not elaborate.
      Takashi Ishihara, chairman of the Japan Committee for
  Economic Development, said the accord will not prevent the yen
  from rising further.
      "We do not understand why the G-7 approved present rates as
  the yen has risen excessively since the Paris accord," Ishihara
  said.
      G-7 members Britain, Canada, France, Italy, Japan, the U.S.
  And West Germany said in a statement they consider their
  currencies are now within ranges broadly consistent with
  economic fundamentals.
      Saito called on each G-7 member nation to prepare to
  intervene in the market strongly enough to ensure exchange
  rates are stabilised at appropriate levels.
  

PERGAMON HOLDINGS REDUCES BPCC AND HOLLIS STAKES
  <Pergamon Holdings Ltd> and its associate
  companies said that they had sold 30 mln ordinary shares in the
  British Printing and Communication Corp Plc <BPCL.L> and 10.5
  mln in <Hollis Plc> together with other securities.
      No total price was given but the company said the proceeds
  of the sales would be used to fund Pergamon's expansion
  programme and worldwide acquisition stategy. The company said
  that following these sales Pergamon's ordinary shareholdings in
  both BPCC and Hollis remained above 51 pct. It said it had no
  intention of further reducing its holdings in either company.
  

NATIONALE NEDERLANDEN PROFITS, SALES STEADY
  Year 1986
      Net profit 635.5 mln guilders vs 603.4 mln.
      Revenues 17.35 billion guilders vs 17.27 billion.
      Net profit per nominal 2.50 guilder share 5.79 guilders vs
  5.67, corrected for capital increase. (1985 uncorrected figure
  5.73).
      Dividend 2.50 guilders vs 2.38, corrected. (2.40
  uncorrected.)
      Note - Full name is Nationale Nederlanden NV <NTNN.AS>
  

SHANGHAI TYREb FACTORY TO RAISE 30 MLN U.S. DLRS
  Ta Chung Hua Rubber Factory of
  Shanghai will raise a 30 to 35 mln U.S. Dlr loan to expand and
  modernise its plant, arranger CCIC Finance Ltd said.
      The loan, to be lead managed by the Bank of China, is
  expected to mature in eight to nine years, but terms have not
  been finalized.
      The money will be used to import manufacturing equipment
  including technology transfer for the production of truck
  radial tyres. Part of the output will be exported.
      The expansion program is expected to cost a total 54 mln
  dlrs. The shortfall will be financed domestically.
  

SAUDI RATES RISE AS BAHRAIN BANKS CAUGHT SHORT
  Saudi riyal interest rates rose as
  Bahrain-based banks scrambled to cover short positions, dealers
  said.
      Several Bahrain banks had been lending in the fixed periods
  and borrowing in the short dates, but today they found the
  day-to-day money in short supply, dealers said.
      "Everybody's stuck in the spot-next," one trader said.
      Spot-next rose to as high as 6-1/4, six pct from 5-1/4,
  five pct yesterday, and the borrowing interest spilled over
  into the periods, with one month rising to around 6-3/16,
  5-15/16 pct from 5-15/16, 7/8 pct yesterday.
      Three months edged up to around 6-9/16, 5/16 pct from
  6-7/16, 1/4 pct, while six months was quoted a touch firmer by
  some banks at seven, 6-3/4 pct.
      Commercial banks quoted the spot riyal at 3.7500/04 to the
  dollar after 3.7507/09 yesterday.
  

BELGIUM TO ISSUE GOLD WARRANTS, SOURCES SAY
  Belgium plans to issue Swiss franc
  warrants to buy gold, with Credit Suisse as lead manager,
  market sources said.
      No confirmation or further details were immediately
  available.
  

PHILIPPINE TELEPHONE FIRM PLANS STOCK SPLIT
  The Philippine Long Distance Telephone Co
  <PLDT.MN> is planning a two-for-one stock split and a 20 pct
  stock dividend later this year to reduce excess market
  buoyancy, Vice-President Sennen Lazo told Reuters.
      Lazo said the stock split would reduce the par value of the
  company's common stock from 10 to five pesos.
      He said the stock split would apply to holders of about 18
  mln common shares of stock on the record date of September 15
  1987. "The exercise should make our stock more marketable," Lazo
  said. "Now it is beyond the reach of many small investors."
      PLDT common stock surged from a low of 37 pesos in February
  1986 to 367.50 at close of trading yesterday on the Manila
  Stock Exchange.
      Lazo said the 20 pct stock dividend, payable on October 15,
  would also apply to stockholders on record as of September 15.
      PLDT reported 1986 net income of 1.89 billion pesos, up 68
  pct from 778.9 mln pesos in 1985, on operating revenues of six
  billion pesos, up from 4.7 billion pesos in 1985.
      At end December 1986 the company had 417,100 stockholders.
      A PLDT spokesman said the company's profits are likely to
  be substantial since the government raised its franchise tax to
  three pct from two and to impose a 35 pct corporate income tax
  from which it was previously exempt.
      The government has not so far ordered the implementation of
  the tax decision.
      PLDT is the largest of 58 telephone companies in the
  Philippines. On December 31 1986 the company had 856,014
  telephones in operation, representing 94 pct of all instruments
  in the country.
      In Manila item "Philippine Telephone firm plans stock split"
  please read in page 3, first para, "the company's profits are
  likely to be substantially cut" (inserting dropped word). This
  replaces  "the company's profits are likely to be substantial"
  

CARGILL CONFIRMS WHITE SUGAR SALE TO INDIA
  London-based trader Cargill (U.K.) Ltd
  confirmed it sold one cargo of white sugar to India for
  shipment April 15/May 15 at yesterday's tender.
      Price details were not immediately available but some
  traders suggested business had been done around 220 dlrs a
  tonne cif.
      India tendered for one or two cargoes of white sugar. There
  was no specific requirement on shipping period.
  

MALAYSIA SEEKS 42 BILLION YEN PIPELINE LOAN
  Malaysia has asked Japan for a 42
  billion yen 25-year loan to finance the construction of gas
  pipelines from eastern Trengganu to southern Johor, the
  Overseas Economic Cooperation Fund (OECF) said.
      OECF's chief representative, Takashi Matsuya, told
  reporters the Japanese Government is appraising the loan.
  Another OECF official told Reuters Japan is likely to approve
  the loan because "it is technically and economically viable."
      If approved, the loan would carry a coupon rate of four
  pct, a grace period of seven years, Matsuya said. It would be
  disbursed over three years, he added.
      The pipeline contruction is the second phase of the
  Peninsular Gas Utilisation Project by Petronas, Malaysia's
  national oil company.
      The first phase was the supply of gas to households in and
  around the eastern oil town of Kertih.
  

CCF REPORTS 34.8 PCT PROFIT BOOST, SHARE SPLIT SEEN
  Credit Commercial de France <CCFP.PA>
  reported a parent company net profit up 34.8 pct to 140.1 mln
  francs from 103.9 mln francs a few weeks before its
  denationalisation around the end of this month.
      Official sources said the bank, France's sixth largest in
  terms of its deposits and seventh in terms of its assets,
  
  planned a share split to increase the number of shares on offer
  ahead of the sale of 40 pct of its ordinary share capital to
  the public, of 10 pct to staff and 20 pct abroad.
      Previously one of France's biggest private banks, it was
  nationalised by the Socialists in 1982.
      The sources said it was too early to give details of the
  planned split or of the share price, but cited April 27 as a
  likely date for the flotation launch.
      So far 30 pct of the group's capital, currently at 10.33
  mln shares of 100 francs nominal, has been offered for sale to
  large private investors to constitute a solid core of eight to
  ten shareholders before the flotation.
      The private tender offer closes on April 16, while a 12 mln
  franc advertising campaign for the flotation begins on Sunday.
  "The privatisation will be a way of attracting extra clients,"
  CCF deputy director-general Rene de la Serre told Reuters.
      Market sources put the total value of CCF's privatisation
  at between four and five billion francs.
      De la Serre said the bank was likely to attract at least
  the same number of investors as <Sogenal>, another recently
  privatised bank in which 850,000 people bought shares.
      The government's sweeping privatisation programme has also
  included the sale of Saint-Gobain <SGEP.PA>, and Cie Financiere
  de Paribas <PARI.PA>. The sale of <Banque du Batiment et des
  Travaux Publics> and <Banque Industrielle et Mobiliere Privee>
  should be completed this month, while third largest French bank
  Societe Generale <SGEN.PA> will be privatised later this year.
  

JOHNSON MATTHEY'S PLATINUM GROUP PRICES
  Johnson Matthey today issued the
  following Platinum group base prices (unfabricated), all U.S.
  Dlrs per troy ounce.
   Previous prices in parentheses.
   PLATINUM  -   562   (567)
   PALLADIUM -   130   (130)
   IRIDIUM   -   400   (400)
   RHODIUM     1,230 (1,230)
   RUTHENIUM -    80    (80)
  

LEX SERVICE BUYS SEARS MOTOR GROUP
  Lex Service Plc <LEXL.L> said it had
  acquired <Sears Motor Group Ltd>, the retail motor distribution
  arm of Sears Plc < SEHL.L>, and an 11.9 mln stg loan note
  payable by Sears Motor for 33.4 mln stg.
      The purchase will be through 1.4 mln stg in cash and the
  issue to Sears Plc of 8.0 mln new Lex ordinary shares.
      The company said in a statement that immediately following
  the acquisition of the motor group, its car and commercial
  vehicle contract hire fleet of some 3,000 vehicles was sold to
  <Lex Vehicle Leasing Ltd> for 14.3 mln stg in cash, a sum equal
  to the net book value of the vehicles transferred.
      Lex Vehicle is owned equally by Lex Services and <Lombard
  North Central Plc>.
      Lex said the shares involved in the transaction were today
  being placed for Sears Plc with institutions at 400p. These
  shares will not qualify for the final Lex dividend on 10 April.
      Lex said in a statement that its acquisition of Sears Motor
  Group represents a major development for its automotive
  activities. The enlarged retailing operations of the Lex
  Automotive group now have a turnover of 530 mln stg. Lex's
  existing automotive interests include Volvo Concessionaires,
  the sole importer of Volvo cars and parts into the U.K.
      Lex said the turnover for Sears Motor Group in the year to
  31 December 1986 was 242 mln stg and that at the date of the
  acquisition the group had about 50 mln stg in external
  borrowings.
      Lex shares fell on the announcement to trade around 409p
  from a 419p close yesterday.
  

MAJOR RUBBER PRODUCERS TO MEET IN SINGAPORE
  Officials from Indonesia, Malaysia,
  Singapore and, perhaps, Thailand will meet here tomorrow to
  discuss increased regional cooperation on rubber marketing and
  ways to raise rubber prices, industry sources said.
      The officials will discuss linking rubber markets in the
  four countries to improve price transparency, the sources said.
      This is the first time Indonesia is attending such a
  meeting, they said, but representatives from Thailand may not
  be able to attend because of their tight schedule. Malaysia,
  Indonesia and Thailand account for 90 pct of world rubber
  exports and Singapore is a major regional rubber trading
  centre.
      The Malaysian Rubber Futures market, freighting and
  contracts for rubber are among other issues expected to be
  discussed.
      Last month, rubber importing and exporting countries
  adopted a new International Natural Rubber Agreement in Geneva.
  The new pact is more responsive to market trends than its
  predecessor, the sources said, and earlier provisions allowing
  the buffer stock to borrow from banks have been eliminated.
  

MEPC EXTENDS OFFER FOR OLDHAM
  MEPC Plc <MEPC.L> said that its offer for
  <Oldham Estates Ltd> would remain open until further notice.
      On February 26 MEPC made an agreed bid for Oldham based on
  a formula reflecting its asset value at 30 September 1986. A
  year earlier Oldham's net asset value was put at 531.4 mln stg.
      As of 1 April the valuation used under the formula had
  still to be agreed so Oldham had yet to give a firm
  recommendation to its shareholders regarding the value of the
  the offer.
  

GEORGE WIMPEY PROFITS UP 42 PCT TO 66.5 MLN STG
  Year to December 31, 1986.
      Shr 18.35p vs 14.95p
      Div 3.75p vs 2.9p making 4.75p vs 3.75p
      Pretax profit 66.5 mln stg vs 46.9 mln
      Tax 14.6 mln stg vs 4.5 mln
      Net profit 51.9 mln stg vs 42.4 mln
      Turnover 1.44 billion stg vs 1.58 billion
      Note - Full name of company is George Wimpey Plc <WMPY.L>.
      Operating profit before exceptional items 88.9 mln stg vs
  80.5 mln
      Exceptional debits 3.0 mln stg vs 11.6 mln
      Operating profit 85.9 mln stg vs 68.9 mln
      Share of profits less losses of associated companies 1.4
  mln stg vs 2.4 mln loss
      Interest - net payable 20.8 mln stg vs 19.6 mln
      Attributable minority profits debits 0.2 mln stg vs 0.3 mln
      Extraordinary items debit 3.4 mln stg vs 4.3 mln credit
      Net borrowings 195.1 mln stg vs 193.5 mln
  

CANADA FEBRUARY TRADE SURPLUS 1.25 BILLION DLRS AFTER
JANUARY 623 MLN DLRS SURPLUS

  CANADA FEBRUARY TRADE SURPLUS 1.25 BILLION DLRS AFTER
  JANUARY 623 MLN DLRS SURPLUS
  

AEGON 1986 NET PROFIT RISES 6.4 PCT
  Net profit 327.1 mln guilders vs
  307.5.
      Total revenue 7.97 billion guilders vs 8.7 billion.
      Net profit per five guilder nominal share 9.33 guilder vs
  9.25 (corrected for capital increase).
      Final dividend 1.30 guilders and 2.4 pct stock vs 1.30
  guilders and 2.2 pct in stock. Interim dividend already paid
  was 1.30 guilders.
      Note : full name of company is AEGON NV <AEGN.AS>
  

CANADA FEBRUARY TRADE SURPLUS 1.2 BILLION DLRS
  Canada had a trade surplus of 1.25
  billion dlrs in February compared with an upward revised 623
  mln dlrs surplus in January, Statistics Canada said.
      The January surplus originally was reported at 533 mln
  dlrs. The February surplus last year was 189 mln dlrs.
      February exports, seasonally adjusted, were 10.44 billion
  dlrs against 9.85 billion in January and 10.05 billion in
  February, 1986.
      February imports were 9.19 billion dlrs against 9.23
  billion in January and 9.86 billion in February, 1986.
  

BANK OF JAPAN BUYS DOLLARS IN TOKYO, DEALERS SAY
  The Bank of Japan bought a modest amount
  of dollars at around 145.10 yen just after the market here
  opened, dealers said.
      Just before the opening, the dollar dropped swiftly as
  speculators concluded the Group of Seven (G-7) comminuique
  issued in Washington contained nothing basically new, they
  said. It fell about a half yen, to around 145.
      The G-7 reaffirmed that their currencies around current
  levels reflect economic fundamentals.
      One dealer said the Bank of Japan probably intervened in
  Australia before the opening here, but could not confirm this.
  

MIYAZAWA SAYS YEN STILL INSIDE PARIS RANGE
  Japanese Finance Minister Kiichi
  Miyazawa said the strengthening of the yen against the dollar
  that has occurred since the Paris Agreement was within the
  range agreed on in the Louvre discussions.
      "I would say that what has happened (to the yen) in the past
  several weeks was not outside the range we agreed to in the
  discussions in Paris," Miyazawa told a press conference
  following the Group of Seven meeting here.
      He added that the current discussions were a "reaffirmation"
  of that agreement, indicating that the "solidarity" that occurred
  in Paris was still in place.
  

U.K. MONEY MARKET GETS 103 MLN STG HELP
  The Bank of England said it operated in
  the money market this morning, buying 103 mln stg bank bills.
      The central bank bought in band one 60 mln stg at 9-7/8, in
  band two eight mln at 9-13/16, in band three 26 mln at 9-3/4
  and in band four nine mln stg at 9-11/16 pct.
      This compares with the bank's forecast of a 400 mln stg
  shortfall today.
  

NATNED FORECASTS 1987 RESULTS IN LINE WITH 1986
  The Netherlands' largest insurer
  Nationale Nederlanden NV <NTTN.AS> (NatNed) said it expected at
  least unchanged results in 1987 after reporting 1986 net
  profits up 5.3 pct to 635.5 mln guilders from 603.4 mln in
  1985,
      Revenues increased by 0.5 pct to 17.35 billion guilders
  after 17.27 billion the previous year, and the dividend was
  raised to 2.50 guilders per share from 2.38 guilders in 1985,
  corrected on a capital increase.
      The company said guilder revenue and profit were pressured
  by falls in exchange rates, particularly in the US and
  Australian dollar and sterling.
      Without these currency fluctuations, net profit would have
  been 30.7 mln guilders higher and revenue 1.97 billion higher,
  NatNed said.
      The international share in turnover was 50 pct in 1986
  compared with 52 pct in 1985.
      The company's life insurance result fell to 365.7 mln
  guilders after 428.4 mln in 1985 due to currency influences,
  tighter interest margins and increased investment.
      Claim payouts fell to 9.9 mln guilders after 66.6 mln the
  previous year.
      The company's total assets reached 69.87 billion guilders
  in 1986 against 67 billion the year before.
      Assets per share equalled 65.68 guilders against 65.53.
      Without these currency fluctuations, net profit would have
  been 30.7 mln guilders higher and revenue 1.97 billion higher,
  NatNed said.
      The international share in turnover was 50 pct in 1986
  compared with 52 pct in 1985.
      The company's life insurance result fell to 365.7 mln
  guilders aft
   INTERRUPTED
  

 9-APR-1987 07:38:18.81
   9-APR-1987 07:38:18.81

EUROPEAN MARKETS REACT QUIETLY TO G-7 COMMUNIQUE
  European currency markets reacted quietly
  to the G-7 communique, with comments from bankers and dealers
  ranging from disappointment that it was not more concrete to
  surprise that the markets should have expected so much.
      The dollar opened lower against virtually all currencies
  and traded in a narrow range after the communique, which
  reaffirmed support for the Paris accord on currency
  stabilisation but contained no moves to strengthen it.
      Dealers in Frankfurt and Zurich saw the dollar remaining
  broadly entrenched in its current trading range.
      "The dollar is likely to stay within a range of 1.80 to 1.84
  marks," said Gisela Steinhaeuser, senior dealer at Chase Bank
  AG. She said there was some resistance to further climbs.
      However, she said the dollar could break out of the range
  with major surprises such as a worse-than-expected U.S.
  Merchandise trade deficit, due next Tuesday.
      Theodor Stadelmann, dealer with Bank Julius Baer and Co Ltd
  in Zurich, said he expects the dollar to hold steady against
  the mark and Swiss franc but to weaken further against the yen,
  possibly to 140 yen.
      A Milan banker shared Stadelmann's view, saying he expects
  a dollar-yen range of 140-150 in the short term.
      London traders said the G-7 communique failed to curb
  underlying bearishness toward the dollar but this negative
  sentiment was not yet strong enough to tempt interbank
  operators to test the downside.
      Concern that finance ministers and officials still in
  Washington could issue more concrete statements in favour of
  currency stabilisation kept players sidelined, along with
  worries about provoking fresh central bank intervention in the
  near term, the traders said.
      Most Paris dealers expressed disappointment at the
  communique, saying nothing has changed to reverse the dollar's
  downward trend.
      Traders in several centres said the market would look for
  fresh opportunities to test the willingness of central banks to
  defend current ranges, which the communique said were "broadly
  consistent with economic fundamentals and the basic policy
  intentions outlined at the Louvre meeting."
      Dave Jouhin, senior dealer at Midland Bank in London, said
  "They're going to put somebody's resolve to the test soon." The
  U.S. February trade data may provide the trigger, dealers said.
      However, some dealers said London-based operators would be
  unlikely to open major positions next week ahead of the long
  Easter weekend. They saw near-term technical support at 1.825
  marks and 145 yen and resistance about 1.83 marks and 146 yen.
      Chase Bank's Steinhaeuser and other Frankfurt dealers said
  the G-7 communique guaranteed a relatively calm and stable
  market for the foreseeable future compared with the extreme
  volatility seen in the first few months of this year.
      One dealer at a German bank said the wording of the
  communique made clear the leading nations did not want a
  further dollar drop, and this was supporting the dollar.
      The German dealer saw the dollar gradually appreciating to
  1.87 marks, broadly seen as its upper limit within the Louvre
  accord's supposed currency target range.
      A Swiss bank economist said he believed the markets were
  ready for a period of "mainly sideways movement."
      But Milan dealers were sceptical about the communique
  contributing to greater stability.
      "Nothing has changed substantially to give the dollar a big
  boost," said one dealer, while another Italian banker said he
  expects the dollar to trade between 1.77 and 1.87 German marks
  in the next three months.
      A Swiss monetary source, who asked not to be named, said
  the communique had been in line with realistic expectations and
  should not have produced disappointment.
      "The problem is that the changes needed in fiscal and trade
  policies to redress current imbalances are of a different
  timescale than currency markets operate on," the source told
  Reuters, "This is a political process which takes time."
      Alois Schwietert, chief economist at Swiss Bank Corp in
  Basle, also questioned the tone of disappointment evident on
  currency markets today. "Did people really expect a patent
  remedy?" he asked.
      Bank economists in Paris noted yesterday's meeting was only
  the first in a series and said the market would watch carefully
  in the next few weeks for any changes in positions.
      A senior economist with Banque Indosuez said the focus was
  now on trade and growth rather than interest rates. Any move by
  Japan and West Germany to boost their economic growth could
  lead to a quick change in the U.S. Position.
      Dealers in all centres agreed that markets would be wary in
  pushing the dollar too far too quickly in the coming months
  while central banks appear resolved to use their muscle to
  support the Paris accord.
  

GERMAN MONEY MARKET SPLIT ON LOWER RATE PROSPECTS
  Remarks by central bankers raised some
  hopes the Bundesbank will cut rates on securities repurchase
  pacts, but operators remained divided on the likelihood of a
  move in the near term, money market dealers said.
      Comments by Bundesbank board member Claus Koehler yesterday
  that rate cuts were needed to curb money supply growth from
  speculative capital inflows, and by West Berlin state central
  bank president Dieter Hiss that there was no natural lower
  limit to the discount rate had, however, no immediate impact.
      Call money declined to 3.65/75 pct from 3.75/85 pct but the
  drop was tied to extra liquidity in the market, dealers said.
      Dealers said the Bundesbank's latest liquidity allotment
  this week dashed some hopes of lower rates.
      The Bundesbank allotted only 6.1 billion marks yesterday in
  new liquidity in a repurchase pact at an unchanged rate of 3.80
  pct, thus subtracting some 8.8 billion marks from the market,
  as an outgoing 14.9 billion pact expired.
      But some dealers said the smaller volume awarded by the
  pact was in line with present liquid money market conditions,
  and did not exlude a cut in the repurchase pact rate soon to
  3.70 pct if money market rates continue at present levels.
      The next opportunity for the Bundesbank to lower rates on
  repurchase pacts will be in a tender expected next Tuesday.
      Bundesbank officials have already said they favour more
  discreet rate adjustments through repurchase pacts, rather than
  the more public adjustment of leading rates.
      The Bundesbank may either set a fixed allocation rate and
  allow banks to tender for the volume, as has been the case
  since it lowered its discount rate January 22, or else it may
  allow banks to tender for the rate and set the volume itself.
      Dealers expect volume of the tender to be lower than the
  15.2 billion marks flowing out, to offset other incoming funds.
      Some seven billion marks is expected to flow in next week.
  This should then flow back into the market as it is deposited
  with banks.
      Banks were well supplied with liquidity, holding 61.5
  billion marks in reserves at the Bundesbank on Tuesday.
      Holdings of average daily reserves over the first seven
  days of April stood at 59.6 billion marks, still above the
  estimated 51 billion required for all of April.
  

THAILAND TO RENEW LONG TERM SUGAR CONTRACTS -TRADE
  Thailand is to negotiate tomorrow with
  selected trade houses for renewal of long term raw sugar sales
  contracts, to cover the next five years at a rate of 60,000
  tonnes annually, traders said.
      They also reported vague talk Algeria may be seeking 50,000
  tonnes of raws tomorrow but details are unclear.
  

EC LAUNCHES ANTI-DUMPING PROBE ON JAPANESE CHIPS
  The European Community launched an
  investigation into allegations of dumping by Japanese
  semiconductor makers in a move which diplomats said could mark
  an intensification of world trade strains.
      Tokyo already faces a deadline of April 17 from Washington
  for the imposition of 300 mln dlrs worth of tariffs on chips it
  imports into the U.S.
      The EC Executive Commission said today the European
  Electrical Component Manufacturers Association complained that
  Japanese firms were selling high capacity EPROM type (erasable
  programmable read only memory) chips at unfairly low prices.
      Japan last year took 78 pct of the 170 mln dlr EC EPROM
  market, up from 60 pct in 1984. The EC firms said they had been
  forced to offer their products at a discount of up to 30 pct in
  order to compete with the Japanese.
      The Commission said it believed the Association had given
  sufficient elements of proof for dumping to warrant an
  investigation, which could lead it to impose duties if it found
  the complaints were justified.
      The Commission claims last year's accord between the U.S.
  And Japan on microchip pricing gives U.S. Firms privileged
  access to the Japanese market.
  

SWISS TO LAUNCH NEW SERIES OF MONEY MARKET PAPER
  The Swiss Federal Government will launch
  a new series of three month money market certificates totalling
  around 150 mln Swiss francs, the National Bank said.
      Subscriptions close April 14 and payment date is April 16.
      The last series of three month paper issued in March raised
  147.3 mln francs at an issue price of 99.142 pct, giving an
  average annual yield of 3.501 pct.
  

EUROPEAN MARKETS REACT QUIETLY TO G-7 COMMUNIQUE
  European currency markets reacted quietly
  to the G-7 communique, with comments from bankers and dealers
  ranging from disappointment that it was not more concrete to
  surprise that the markets should have expected so much.
      The dollar opened lower against virtually all currencies
  and traded in a narrow range after the communique, which
  reaffirmed support for the Paris accord on currency
  stabilisation but contained no moves to strengthen it.
      Frankfurt and Zurich dealers saw the dollar staying broadly
  entrenched in its current trading range.
  

FINANCE MINISTERS AGREE ON NEED FOR STABILITY
  Finance ministers from seven major
  industrialized nations agreed on the need to stabilize
  currencies at current levels but said more action was needed to
  reduce trade imbalances and sustain economic growth.
      In a communique issued after a four-hour meeting at the
  U.S. Treasury that ended last night, the ministers said the
  value of the dollar and other currencies was basically correct
  now, and they welcomed new measures planned by the Japanese to
  boost their economy.
      West German Finance Minister Gerhard Stoltenberg called it
  a "good meeting" and in brief remarks exchanged with reporters
  other ministers seemed pleased with its outcome.
      Shortly after the communique was issued and just as foreign
  exchange trading opened in Tokyo, the Bank of Japan intervened
  again to prevent the yen rising too quickly.
      The communique said, "The ministers and governors reaffirmed
  the commitment to the cooperative approach agreed at the recent
  Paris meeting. They agreed, however, that further actions will
  be essential to resist rising protectionist pressures, sustain
  global economic expansion and reduce trade imbalances."
      It welcomed the plans set this week by the Japan's ruling
  Liberal Democratic Party to stimulate its economy with what the
  communique termed "extraordinary and urgent measures" including
  an "unprecedented front-end loading of public works
  expenditures."
      The meeting of the so-called Group of Seven brought
  together ministers and central bank governors of the seven
  major industrial democracies, the United States, Japan, West
  Germany, France, Britain, Italy and Canada.
      The communique said the ministers reaffirmed the commitment
  on cooperation reached in a meeting on February 22 in Paris
  when they had agreed to stabilize foreign exchange rates at the
  then-current levels.
      In the weeks that followed, the dollar continued to fall
  against the Japanese yen despite massive dollar purchases by
  the Bank of Japan and other central banks and is now trading at
  around postwar lows.
      Japan has come under growing criticism from both the United
  States and European countries for its only modest efforts to
  open its markets to outside competition and to reduce its
  exports.
      The communique said Japan affirmed its intention to open
  domestic markets to foreign goods and services but did not
  elaborate.
      It said the officials "reaffirmed the view that around
  current levels their currencies are within ranges broadly
  consistent with economic fundamentals and the basic policy
  intentions outlined at the Louvre meeting."
  

AEGON EXPECTS MODERATE RISE IN 1987 PROFITS
  Dutch insurer AEGON NV <AEGN.AS>
  reported a 6.4 pct increase in 1986 net profits to 327.1 mln
  guilders and said it expected a moderate increase in profits
  for 1987.
      Total revenue was eight pct lower in 1986 at 7.97 billion
  guilders vs 8.7 billion guilders in 1985. The company said its
  revenues were down due to lower foreign exchange rates and a
  change in accounting practice. It added that revenues would
  have risen by about seven pct had those changes not occurred.
      Revenue from Dutch operations rose five pct in 1986, mainly
  due to its life insurance business.
      Health insurance revenues in the Netherlands also rose
  despite a notable shift to insurances with lower premiums and
  higher personal risks.
      Damage insurances made losses, mainly due to car damage
  insurances. AEGON did not specify the loss.
      In the United States, revenue in guilders from health and
  life insurance was lower. AEGON said this was due to a change
  in accounting for U.S. Annuities.
      AEGON said annuities are subject to such strong personal
  investment influences that it should be accounted differently
  from the more traditional insurances.
      This change in accounting practice and another change to
  account for profits made on fixed interest investments,
  resulted in an incidental rise in net profits of 31 mln
  guilders.
      AEGON said incidental negative influences on net profits
  were slightly higher, being the lower dollar rate, high initial
  costs for new products, and the cost of new headquarters in The
  Hague.
      In 1986, a large number of new insurance products emerged
  in the Netherlands and the U.S., AEGON said. Large initial
  costs for these products have depressed net profits somewhat.
      Monumental Corp, a U.S. Insurer which merged with AEGON in
  May 1986, saw its profits almost completely eroded by these
  costs and made only a small contribution to the group's
  profits.
      AEGON said it has written-off 657 mln guilders in goodwill
  for Monumental Corp.
      AEGON's net equity was 2.71 billion guilders in December
  1986, against 3.46 billion the year before.
  

G-7 ISSUES STATEMENT AFTER MEETING
  Following is the text of a statement
  by the Group of Seven -- the U.S., Japan, West Germany, France,
  Britain, Italy and Canada -- issued after a Washington meeting
  yesterday.
      1. The finance ministers and central bank governors of
  seven major industrial countries met today.
      They continued the process of multilateral surveillance of
  their economies pursuant to the arrangements for strengthened
  economic policy coordination agreed at the 1986 Tokyo summit of
  their heads of state or government.
      The managing director of the International Monetary Fund
  also participated in the meeting.
      2. The ministers and governors reaffirmed the commitment to
  the cooperative approach agreed at the recent Paris meeting,
  and noted the progress achieved in implementing the
  undertakings embodied in the Louvre Agreement.
      They agreed, however, that further actions will be
  essential to resist rising protectionist pressures, sustain
  global economic expansion, and reduce trade imbalances.
      In this connection they welcomed the proposals just
  announced by the governing Liberal Democratic Party in Japan
  for extraordinary and urgent measures to stimulate Japan's
  economy through early implementation of a large supplementary
  budget exceeding those of previous years, as well as
  unprecedented front-end loading of public works expenditures.
      The government of Japan reaffirmed its intention to further
  open up its domestic markets to foreign goods and services.
      3. The ministers and governors reaffirmed the view that
  around current levels their currencies are within ranges
  broadly consistent with economic fundamentals and the basic
  policy intentions outlined at the Louvre meeting.
      In that connection they welcomed the strong implementation
  of the Louvre Agreement.
      They concluded that present and prospective progress in
  implementing the policy undertakings at the Louvre and in this
  statement provided a basis for continuing close cooperation to
  foster the stability of exchange rates.
  

G-7 WANTS TO SHOW MARKETS ITS RESOLVE - MIYAZAWA
  Japanese Finance Minister Kiichi
  Miyazawa said the Group of Seven (G-7) countries reaffirmed
  their Paris accord on stabilising currencies to convince the
  market of their resolve.
      At a news conference after today's G-7 meeting, Miyazawa
  said the ministers and central bank governors did not believe a
  totally new statement was needed.
      The speculative selling did not reflect economic
  fundamentals, and since the fundamentals had not changed only a
  reaffirmation of the goals of the Paris accord was needed, he
  said.
      He also noted that this test of the G-7 nations resolve had
  concentrated on the yen, while other currencies, especially the
  mark, had remained stable.
      Miyazawa said any change in economic conditions since the
  Paris accord was not worth being called fundamental.
      "As I said at a time of Louvre (agreement), the expression
  of 'current level' is rather vague idea," he said.
      The yen's movement in the past several weeks is within the
  range agreed in Paris in Febraury, he said.
      It was better to give a vague expression than pin-pointing
  a level, which could have an adverse impact on the market,
  Miyazawa said.
      Asked why only Japan was committed to fresh measures in the
  statement, he said Japan was exceptional among the seven
  because the yen appreciated against the dollar while other
  major currencies largely have been stable.
      He also said Japan's ruling Liberal Democratic Party has
  justed adoped a package to reflate the economy while other
  nations are not supposed to produce new measures in a short
  period since the Paris agreement.
      Miyazawa also said the U.S. sanctions against Japanese
  semiconductor products was not discussed through the G-7
  meeting and did not affect the currency talks.
      The seven nations discussed the debt problems of developing
  countries and ways to proceed in line with the debt initiative
  outlined by U.S. Treasury Secretary James Baker 18 months ago.
  

YEN SEEN RISING AFTER G-7 COMMUNIQUE
  The yen is likely to start another
  uneven rise against the dollar and other major currencies
  because the Group of Seven communique contained nothing new,
  currency and bond analysts here said.
      "Is that it? I was expecting something more than that," said
  one trader at a major Wall Street securities company.
      Marc Cohen of Republic National Bank of New York said: "The
  market now has the impetus to drive the dollar lower again."
      The dollar hovered between 145.50 and 147 yen in the days
  just before the talks. Dealers restrained their underlying
  bearishness and squared positions ahead of Wednesday's meeting
  of the finance ministers and central bankers of the top seven
  industrialized nations in Washington.
      After more than four hours of talks, the G-7 issued a
  communique which merely reaffirmed the recent Paris agreement's
  view that prevailing currency levels were broadly consistent
  with economic fundamentals and that exchange rate stability
  should be fostered around these levels.
      The dollar sank to 144.75 yen in early Tokyo trading.
      "They said that the dollar/yen rate was broadly in line with
  fundamentals when it was 154. Now they are saying it's in line
  when it's at 146. Will this still be so at 138 or 130?," asked
  Republic's Cohen.
      Japanese Finance Minister Kiichi Miyazawa fuelled
  speculation about the amount of fluctuation the authorities are
  prepared to tolerate by saying that the current yen level is
  still inside the range agreed on in Paris in late February.
      Official statements in recent weeks had indicated that the
  key psychological level of 150 yen was at the lower end of the
  authorities' permissible range.
      Dealers and analysts warned that the dollar's decline would
  probably be uneven. They anticipated a concerted effort to prop
  up the dollar and restrain the yen via a mixture of open market
  intervention and public comments.
      Shortly after the Tokyo market opened today the Bank of
  Japan was detected by local dealers buying moderate amounts of
  dollars. The dollar rebounded to about 145.20 yen.
      The sources said the market may also be wary of agressively
  selling dollars for yen before Tuesday's February U.S. Trade
  data. The figures are expected to show a deficit of 13 billion
  dlrs, from a provisional 14.8 billion in January.
  
  
  
  
  

JAPAN BUSINESS LEADERS SAY G-7 ACCORD IS WORRYING
  The leaders of two of Japan's top business
  groups said in separate statements the Group of Seven (G-7)
  accord reached in Washington yesterday is of deep concern to
  Japan because it shows the major industrial nations regard the
  yen's current level as appropriate.
      Eishiro Saito, chairman of the Federation of Economic
  Organizations (Keidanren), said the yen's present rate is well
  above adequate levels. He did not elaborate.
      Takashi Ishihara, chairman of the Japan Committee for
  Economic Development, said the accord will not prevent the yen
  from rising further.
      "We do not understand why the G-7 approved present rates as
  the yen has risen excessively since the Paris accord," Ishihara
  said.
      G-7 members Britain, Canada, France, Italy, Japan, the U.S.
  And West Germany said in a statement they consider their
  currencies are now within ranges broadly consistent with
  economic fundamentals.
      Saito called on each G-7 member nation to prepare to
  intervene in the market strongly enough to ensure exchange
  rates are stabilised at appropriate levels.
  

UNIFIRST CORP <UNF> SETS QUARTERLY
  Qtly div five cts vs five cts prior
      Pay July One
      Record June 17
  

<TRUMP PLAZA> 4TH QTR NET
  Net profit 2,529,000 vs loss 1,066,000
      Revs 59.0 mln vs 52.6 mln
      Year
      Net profit 15.4 mln vs profit 865,000
      Revs 247.0 mln vs 231.1 mln
      NOTE: Company became wholly owned and operated by Donald
  Trump in May 1986, when he acquired 50 pct interest that had
  been owned by former operator Holiday Corp <HIA>.
  

EUROPEAN MARKETS REACT QUIETLY TO G-7 COMMUNIQUE
  European currency markets reacted quietly
  to the G-7 communique, with comments from bankers and dealers
  ranging from disappointment that it was not more concrete to
  surprise that the markets should have expected so much.
      The dollar opened lower against virtually all currencies
  and traded in a narrow range after the communique, which
  reaffirmed support for the Paris accord on currency
  stabilisation but contained no moves to strengthen it.
      Dealers in Frankfurt and Zurich saw the dollar remaining
  broadly entrenched in its current trading range.
      "The dollar is likely to stay within a range of 1.80 to 1.84
  marks," said Gisela Steinhaeuser, senior dealer at Chase Bank
  AG. She said there was some resistance to further climbs.
      However, she said the dollar could break out of the range
  with major surprises such as a worse-than-expected U.S.
  Merchandise trade deficit, due next Tuesday.
      Theodor Stadelmann, dealer with Bank Julius Baer and Co Ltd
  in Zurich, said he expects the dollar to hold steady against
  the mark and Swiss franc but to weaken further against the yen,
  possibly to 140 yen.
      A Milan banker shared Stadelmann's view, saying he expects
  a dollar-yen range of 140-150 in the short term.
      London traders said the G-7 communique failed to curb
  underlying bearishness toward the dollar but this negative
  sentiment was not yet strong enough to tempt interbank
  operators to test the downside.
      Concern that finance ministers and officials still in
  Washington could issue more concrete statements in favour of
  currency stabilisation kept players sidelined, along with
  worries about provoking fresh central bank intervention in the
  long term, the traders said.
      Most Paris dealers expressed disappointment at the
  communique, saying nothing has changed to reverse the dollar's
  downward trend.
      Traders in several centres said the market would look for
  fresh opportunities to test the willingness of central banks to
  defend current ranges, which the communique said were "broadly
  consistent with economic fundamentals and the basic policy
  intentions outlined at the Louvre meeting."
      Dave Jouhin, senior dealer at Midland Bank in London, said
  "They're going to put somebody's resolve to the test soon." The
  U.S. February trade data may provide the trigger, dealers said.
      However, some dealers said London-based operators would be
  unlikely to open major positions next week ahead of the long
  Easter weekend. They saw near-term technical support at 1.825
  marks and 145 yen and resistance about 1.83 marks and 146 yen.
      Chase Bank's Steinhaeuser and other Frankfurt dealers said
  the G-7 communique guaranteed a relatively calm and stable
  market for the foreseeable future compared with the extreme
  volatility seen in the first few months of this year.
      One dealer at a German bank said the wording of the
  communique made clear the leading nations did not want a
  further dollar drop, and this was supporting the dollar.
      The German dealer saw the dollar gradually appreciating to
  1.87 marks, broadly seen as its upper limit within the Louvre
  accord's supposed currency target range.
      A Swiss bank economist said he believed the markets were
  ready for a period of "mainly sideways movement."
      But Milan dealers were sceptical about the communique
  contributing to greater stability.
      "Nothing has changed substantially to give the dollar a big
  boost," said one dealer, while another Italian banker said he
  expects the dollar to trade between 1.77 and 1.87 German marks
  in the next three months.
  

WEST GERMAN BEET PLANTINGS DELAYED THREE WEEKS
  Unseasonal cold weather has delayed
  sugar beet plantings in West Germany by up to three weeks, the
  agriculture ministry said.
      A ministry spokesman said in some central areas, especially
  in the Rhineland, farmers have taken advantage of warmer
  weather and started plantings in the past two days.
      West German planting intentions this year are put at
  381,000 hectares, down from 390,500 ha last year, he said,
  adding that the 1980/1985 average was 405,000 ha.
  

STEP-SAVER <CODA> SAYS WARRANT EXERCISED
  Step-Saver Data Systems Inc
  said Bergen-Richards Corp has exercised a warrant to buy
  450,000 Step-Saver shares at two dlrs each.
      It said warrants issued to the underwriter in its initial
  public offering were exercised in March for an aggregate of
  169,200 dlrs.
  

COAST SAVINGS <CSA> IN TALKS ON BUYING BANK
  Coast Savings and Loan Association
  said it is in talks with the Federal Savings and Loan Insurance
  Corp on the acquisition of Central Savings and Loan Association
  of San Diego.
      Central, which operates 46 branches, has been under
  management guidance of the FSLIC since May 1985.
      Coast said the acquisition would give it an entry into the
  San Joaquin Valley market besides strengthening its presence in
  the San Diego, Los Angeles and Orange Counties areas.
  

BRAMALL TO ACQUIRE GELCO FOR UP TO 26.3 MLN DLRS
  <C.D. Bramall Plc> said in a statement
  accompanying its annual results that it proposed to acquire
  Gelco U.K. For some 26.3 mln dlrs.
      Part of the cost will be met by the issue of 2.14 mln new
  ordinary Bramall shares which are being placed at 265p each.
      The acquisition will be satisfied by an initial payment of
  some 25.3 mln dlrs in cash with further payments of 500,000
  dlrs up to a maximum 26.3 mln dlrs. These further payments will
  only be made if profits achieved by Gelco for the year ending
  July 31, 1987 reach a certain level.
      Bramall shares were trading 6p lower at 278p.
  

BELGIUM LAUNCHES BONDS WITH GOLD WARRANTS
  The Kingdom of Belgium is launching 100
  mln Swiss francs of seven year notes with warrants attached to
  buy gold, lead mananger Credit Suisse said.
      The notes themselves have a 3-3/8 pct coupon and are priced
  at par. Payment is due April 30, 1987 and final maturity April
  30, 1994.
      Each 50,000 franc note carries 15 warrants. Two warrants
  are required to allow the holder to buy 100 grammes of gold at
  a price of 2,450 francs, during the entire life of the bond.
      The latest gold price in Zurich was 2,045/2,070 francs per
  100 grammes.
  

FAO SEES LOWER GLOBAL WHEAT, GRAIN OUTPUT IN 1987
  The U.N. Food and Agriculture Organisation
  (FAO) said global wheat and coarse grain output was likely to
  fall in 1987 but supplies would remain adequate to meet demand.
      FAO said in its monthly food outlook bulletin total world
  grain output was expected to fall 38 mln tonnes to 1,353 mln in
  1987, due mainly to unusually high winter losses in the Soviet
  Union, drought in China and reduced plantings in North America.
      World cereal stocks at the end of 1986/87 were forecast to
  rise 47 mln tonnes to a record 452 mln tonnes, softening the
  impact of reduced production. But stocks are unevenly
  distributed, with about 50 pct held by the U.S.
      "Thus the food security prospects in 1987/88 for many
  developing countries, particularly in Africa, depend crucially
  on the outcome of this year's harvests," FAO said.
      FAO said world cereal supplies in 1986/87 were estimated at
  a record 2,113 mln tonnes, about five pct higher than last
  season and due mainly to large stocks and a record 1986
  harvest, estimated at 1,865 mln tonnes.
      FAO's forecast of 1986/87 world cereals trade was revised
  upwards by eight mln tonnes to 179 mln due to the likelihood of
  substantial buying by China and the Soviet Union.
  

CB AND T BANCSHARES INC <CBTB> 1ST QTR NET
  Shr 27 cts vs 24 cts
      Net 5,223,000 vs 4,682,000
      Avg shrs 19.7 mln vs 19.4 mln
      NOTE: Results reflected pooled acquisition of First
  Community Bancshares Inc on March 31, 1987 and include Camden
  Bancorp from January 31, 1987 purchase.
  

XICOR INC <XICO> 1ST QTR MARCH 22 NET
  Shr profit five cts vs loss 16 cts
      Net profit 689,000 vs loss 1,910,000
      Revs 12.3 mln vs 9,432,000
      NOTE: 1987 net includes 276,000 dlr tax credit.
  

GEORGE WIMPEY SAYS BENEFITS OF RESTRUCTURING SEEN
  George Wimpey Plc <WMPY.L> said  the
  outlook for 1987 looked encouraging as the company realised the
  continuing benefits of restructuring.
      It said its overall financial position showed further
  improvement in 1986 and the reshaping of its U.K. Business into
  clearly defined and activity related divisions had been
  successfully achieved.
      Wimpey was commenting in a statement on its 1986 results
  which showed pretax profits up 42 pct to 66.5 mln stg.
      The group had a good overall year in North America, the
  company said in a statement.
  

C.O.M.B. <CMCO> MAKES ACQUISITION
  C.O.M.B. Co said it has acquired
  the principal assets of National Tech Industries Inc and Telkom
  Corp, which are engaged in the sale and telemarketing of
  consumer electronic merchandise and do business as House of
  Imports and N.L. Industries respectively.
      The company said it paid a total of 8,700,000 dlrs,
  including the assumption of liabilities.
      National Tech had sales of about 23 mln dlrs for 1986, it
  said.
  

BELGIUM LAUNCHES BONDS WITH GOLD WARRANTS
  The Kingdom of Belgium is launching 100
  mln Swiss francs of seven year notes with warrants attached to
  buy gold, lead manager Credit Suisse said.
      The notes themselves have a 3-3/8 pct coupon and are priced
  at par. Payment is due April 30, 1987, and final maturity April
  30, 1994.
      Each 50,000 franc note carries 15 warrants. Two warrants
  are required to allow the holder to buy 100 grammes of gold at
  a price of 2,450 francs, during the entire life of the bond.
      The latest gold price in Zurich was 2,045/2,070 francs per
  100 grammes.
  

DATATRAK INC <DTRK> 3RD QTR FEB 28 NET
  Shr profit nil vs profit nil
      Net profit 27,622 vs profit 5,556
      Sales 1,031,306 vs 840,906
      Nine mths
      Shr loss one ct vs loss two cts
      Net loss 195,095 vs loss 445,379
      Sales 2,702,085 vs 2,219,961
  

MIYAZAWA SAYS YEN STILL INSIDE PARIS RANGE
  Japanese Finance Minister Kiichi
  Miyazawa said the strengthening of the yen against the dollar
  since the Paris Agreement was within the range agreed in the
  Louvre discussions.
      "I would say that what has happened (to the yen) in the past
  several weeks was not outside the range we agreed to in the
  discussions in Paris," Miyazawa told a press conference
  following the Group of Seven meeting here.
      He said the current discussions were a "reaffirmation" of
  that agreement, saying the "solidarity" that occurred in Paris
  was still in place.
  

TODD SHIPYARDS <TOD> STRUCK ON WEST COAST
  Todd Shipyards Corp said
  production workers represented by the multi-union Pacific Coast
  Metal Trades District Council at its San Francisco division
  struck on April Six.
      It said negotiations are expected to resume at the end of
  this month.
      Todd also said the collective bargaining division in effect
  at its Galveston Division expires April 17, and negotiations
  with the Galveston Metal Trades Council are continuing.
      The company said results of balloting on a new collective
  bargaining agreement proposal in its Seattle Division are
  expected to be tabulated at the close of business tomorrow.
      The Pacific Coast Council has recommended acceptance of
  that proposal by membership, Todd said.
  

U.S. FIRST TIME JOBLESS CLAIMS FELL IN WEEK
  New applications for unemployment
  insurance benefits fell to a seasonally adjusted 338,000 in the
  week ended March 28 from 355,000 in the prior week, the Labor
  Department said.
      The number of people actually receiving benefits under
  regular state programs totaled 2,436,000 in the week ended
  March 21, the latest period for which that figure was
  available.
      That was down from 2,480,000 the previous week.
  

CLEVITE INDUSTRIES SAYS J.P. INDUSTRIES OFFERED 13.50
DLRS A SHARE TO BUY COMPANY

  CLEVITE INDUSTRIES SAYS J.P. INDUSTRIES OFFERED 13.50
  DLRS A SHARE TO BUY COMPANY
  

SUNTRUST BANKS INC <STI> 1ST QTR NET
  Shr 54 cts vs 49 cts
      Net 70.2 mln vs 64.0 mln
      NOTE: Share adjusted for two-for-one split in July 1986.
      Results restated for pooled acquisition of Third NAtional
  Corp in December 1986.
      Net chargeoffs 15.0 mln dlrs vs 14.2 mln dlrs.
      Assets 25.8 billion dlrs, up 7.2 pct from a year earlier,
  deposits 21.1 billion, up 9.4 pct, and loans 17.1 billion dlrs,
  up 17.2 pct.
  

INTERNATIONAL THOMSON TO REPORT IN U.S. FUNDS
  <International Thomson Organisation Ltd>
  said it will report financial results in U.S. funds rather than
  sterling, beginning from Jan 1, 1987.
      It said the change will not be applied retroactively to
  prior financial periods.
      The company said as a result of recent investments, most of
  its assets now are located in the United States.
  

PHILIP CROSBY ASSOCIATES INC <PCRO> 4TH QTR NET
  Shr three cts vs 18 cts
      Net 220,000 vs 1,250,000
      Revs 11.8 mln vs 9,430,000
      Year
      Shr 45 cts vs 69 cts
      Net 3,400,000 vs 4,037,274
      Revs 45.1 mln vs 34.3 mln
  

COLONIAL AMERICAN BANKSHARES CORP <CABK> 1ST QTR
  Shr 52 cts vs 40 cts
      Qtly div 18 cts vs 15 cts prior
      Net 793,740 vs 603,661
      NOTE: Share adjusted for 10 pct stock dividend in November
  1986.
      Dividend pay May One, record April 25.
  

RPT - ARGENTINE GRAIN/OILSEED EXPORT PRICES ADJUSTED
  The Argentine Grain Board adjusted
  minimum export prices of grain and oilseed products in dlrs per
  tonne FOB, previous in brackets, as follows:
      Sorghum 64 (63), sunflowerseed cake and expellers 103 (102)
  , pellets 101 (100), meal 99 (98), linseed oil 274 (264),
  groundnutseed oil 450 (445), soybean oil 300 (290), rapeseed
  oil 290 (280).
      Sunflowerseed oil for shipment through May 323 (313) and
  june onwards 330 (320).
      The board also adjusted export prices at which export taxes
  are levied in dlrs per tonne FOB, previous in brackets, as
  follows:
      Bran pollard wheat 40 (42), pellets 42 (44).
  

CLEVITE <CLEV> GETS 13.50 DLR/SHR OFFER
  Clevite Industries Inc said it
  received a written proposal from J.P. Industries Inc <JPI>
  seeking to buy all of its outstanding shares for 13.50 dlrs a
  share.
      Clevite's stock was trading on NASDAQ at 13-1/4.
      J.P. Industries recently completed the acquisition of
  Clevite's Engine Parts Division.
      J.P. Industries said its proposed transaction would be
  financed through borrowings under its available bank lines and
  a bridge financing facility which Donaldson Lufkin and Jenrette
  Securities Corp agreed to arrange.
      To expedite the transaction, J.P. Industries said it would
  be willing to start a cash tender for Clevite's shares within
  five days after agreeing upon a definitive merger and
  confirmation of Clevite's financial results and condition.
  

JAPAN BUSINESS LEADERS SAY G-7 ACCORD WORRYING
  The leaders of two of Japan's top business
  groups said in separate statements the Group of Seven (G-7)
  accord reached in Washington yesterday is of deep concern to
  Japan because it shows the major industrial nations regard the
  yen's current level as appropriate.
      Eishiro Saito, chairman of the Federation of Economic
  Organizations (Keidanren), said the yen's present rate is well
  above adequate levels. He did not elaborate.
      Takashi Ishihara, chairman of the Japan Committee for
  Economic Development, said the accord will not prevent the yen
  from rising further.
      "We do not understand why the G-7 approved present rates as
  the yen has risen excessively since the Paris accord," Ishihara
  said.
  

ARGENTINE CATTLE MARKET REPORT
  ABOUT 3,314 HEAD OF CATTLE WERE
  AUCTIONED IN LINIERS CATTLE MARKET, AGAINST 13,952 ON WEDNESDAY
  AND 9,217 LAST THURSDAY, TRADE SOURCES SAID.
      MAXIMUN PRICES, IN AUSTRALES PER KILO, WITH DOLLAR
  EQUIVALENT IN BRACKETS, INCLUDED:
                                 TODAY     WEDNESDAY
      STEERS OVER 480 KILOS   1.02(0.658) 1.015(0.654)
      STEERS 460 TO 480 KILOS 1.05(0.677) 1.032(0.665)
      COWS FOR CANNING        0.56(0.361) 0.56 (0.361) REUTER
  

U.K. MONEY MARKET DEFICIT REVISED DOWNWARD
  The Bank of England said it has revised
  its estimate of today's shortfall to 350 mln stg from 400 mln,
  before taking account of 103 mln stg morning assistance.
  

PHYSIO TECHNOLOGY <PHYT> SEES LOSS, IN DEFAULT
  Physio Technology Inc said it
  expects to have a third quarter, ended March 31, loss of about
  200,000 dlrs and is in default on its bank loan because of the
  resignation of chairman and chief executive officer.
      The company said the loss followed four quarters of modest
  profits. In the year ago quarter it earned 11,000 dlrs, or one
  cent a share. For the first half of fiscal 1987, it reported a
  profit of 42,000 dlrs, or two cts a share, compared to a year
  earlier loss of 294,000 dlrs, or 17 cts a share.
      It said President Michael R. Hall will assume the duties of
  chief executive officer.
      Physio Technology said the resignation of Chairman James C.
  Lane can constitute non-compliance with its Series A
  convertible subordinated debentures due 1996 and a default
  under its agreement with the Merchants Bank of Kansas City.
      It explained a declaration of non-compliance under the
  debentures would create a a default under the loan agreements
  requiring immediate payment of 1.8 mln dlrs of debentures and
  about 450,000 dlrs outstanding under the bank credit line.
      The company said the debenture holders intend to waive the
  non-compliance, but reserve the right to withdraw the waiver at
  the end of any 30 day period.
      Physio Technology said it is changing its field sales force
  to independent representatives and dealers from employees to
  "significantly reduce its fixed overhead."
      Its statement did not indicate how many employees would be
  affected by the move.
      The company said Lane will become an independent dealter
  for the company in certain midwestern states. He will continue
  to serve as a director, it added.
  

WASHINGTON FEDERAL SAVINGS <WFSL> 2ND QTR NET
  Qtr ends March 31
      Shr one dlr vs 76 cts
      Net 11.9 mln vs 8,929,000
      Six mths
      Shr 1.92 dlrs vs 1.43 dlrs
      Net 22.8 mln vs 16.8 mln
      NOTE: full name of bank is washington federal savings and
  loan association.
  

U.S. ENERGY FUTURES CALLED UNCHANGED TO LOWER
  Traders expect U.S. energy futures will
  open unchanged to slightly lower this morning with support near
  yesterday's lows.
      Crude futures are called unchanged to five cts weaker
  tracking unchanged domestic crudes and North Sea Brent crude,
  which traded at 18.01 dlrs a barrel today, about ten cts below
  yesterday's New York close.
      Traders said the supply squeeze in 15-day forward April
  Brent appears to have ended.
      Product futures, which fell sharply yesterday, are due to
  open unchanged to 0.25 cent lower, traders said.
      Traders expect some followthrough selling in products but
  said gasoil futures in London will probably lend some support
  since they are trading as expected. May gasoil futures were off
  1.50 dlrs a tonne this morning while June was down 1.25 dlrs in
  thin conditions.
  

PONCE FEDERAL BANK F.S.B. <PFBS> 1ST QTR NET
  Shr 63 cts vs 89 cts
      Net 3,425,216 vs 3,370,682
      Avg shrs 5,421,330 vs 3,803,425
      NOTE: net for both qtrs reflects gains on sales of
  securities of 1,755,137, or 51 pct of net, in 1987; and
  3,001,222, or 89 pct of net in 1986.
  

 BUNDESBANK SEES NO REASON TO CHANGE MONETARY COURSE -
VICE-PRESIDENT SCHLESINGER

   BUNDESBANK SEES NO REASON TO CHANGE MONETARY COURSE -
  VICE-PRESIDENT SCHLESINGER
  

U.K. MONEY MARKET DEFICIT REMOVED
  The Bank of England said it has satisfied
  its revised estimate of today's shortfall in the money market,
  providing 261 mln stg assistance in afternoon operations.
      The Bank bought in band one, 60 mln stg bank bills at 9-7/8
  pct and in band two 200 mln stg bank bills and one mln stg
  treasury bills at 9-13/16 pct. This brings the total help so
  far today to 364 mln stg, compared with its deficit estimate of
  350 mln stg.
  

LEBANESE POUND FALLS SHARPLY AGAINST DOLLAR
  The Lebanese Pound fell sharply against
  the U.S. Dollar again today with dealers attributing the
  decline to continued political uncertainty.
      The pound closed at 118.25/118.75 against the dollar
  compared to yesterday's close of 115.60/115.80.
      "Political deadlock is reflected in the pound's position.
  There was more demand and less on offer in the market," one
  dealer told Reuters.
      The pound, which was at 18 to the dollar in January, 1986,
  has lost more than 30 pct of its international value over the
  past three months.
  

BROWN BOVERI UND CIE AG LIFTS 1986 DIVIDEND
  Dividend on 1986 business 12 marks per share vs seven
  marks.
      (Company is a subsidiary of Switzerland's BBC AG Brown
  Boveri und Cie <BBCZ.Z>).
  

LONDON FREIGHT MARKET FEATURES GRAIN OUT OF U.S.
  Moderately active grain fixing was
  reported out of the U.S. But none of the business involved the
  significant voyages to the Continent or Japan, ship brokers
  said.
      A steady 13.50 dlrs was paid from the U.S. Gulf to Morocco
  and 23.25 dlrs was paid for 27,000 long tons from the Gulf to
  Taiwan. A vessel carrying 13,500 long tons of bagged wheat
  flour from the Gulf to Aqaba received a lump sum of 472,500
  dlrs.
      Grain from the Great Lakes to Algeria made 28 dlrs against
  27.75 paid for similar fixing towards the end of March.
      Market talk suggested a Federal Commerce vessel had been
  booked to move grain from the Great Lakes to Morocco on Comanav
  account at about 22 dlrs and 15.50 had been paid for a cargo of
  oilseeds from British Columbia to Japan, but no confirmation
  was obtainable.
      On the Continent, shippers agreed 19 dlrs for wheat from La
  Pallice to Buenaventura and 10.75 dlrs for grain from Ghent to
  Naples/Venice range. Elsewhere, maize from East London to Japan
  paid 22 dlrs.
      Soviet charterers reappeared in the timecharter sector and
  secured a 30,000 tonner from Savona for a trans-Atlantic round
  trip at 4,450 dlrs daily and a 31,000 tonner from
  Antwerp-Hamburg for a similar voyage at 4,250 dlrs daily.
  

HOG AND CATTLE SLAUGHTER GUESSTIMATES
  Chicago Mercantile Exchange floor
  traders and commission house representatives are guesstimating
  today's hog slaughter at about 287,000 to 295,000 head versus
  292,000 week ago and 322,000 a year ago.
      Cattle slaughter is guesstimated at about 124,000 to
  128,000 head versus 129,000 week ago and 134,000 a year ago.
  

WHIRLPOOL CORP 1ST QTR SHR 66 CTS VS 67 CTS

  WHIRLPOOL CORP 1ST QTR SHR 66 CTS VS 67 CTS
  

BRAZILIAN SOY RAINFALL
  THE FOLLOWING RAINFALL WAS RECORDED IN
  THE 24 HOURS UP TO (1200) GMT TODAY
      PARANA STATE: CASCAVEL NIL, PONTA GROSSA NIL,CAMPO MOURAO
  NIL, LONDRINA NIL, MARINGA NIL.
      RIO GRANDO DO SUL STATE: PASSO FUNDO NIL, SANTA MARIA 7.0
  MILLIMETRES, CRUZ ALTA 8.5 MM, SAO LUIZ GONZAGA 4.4 MM. REUTER
  

BUNDESBANK SEES NO CHANGE IN MONETARY COURSE
  The Bundesbank sees no current reason
  to change monetary course, vice-president Helmut Schlesinger
  told Reuters in a telephone interview.
      Schlesinger was responding to questions following remarks
  yesterday by Bundesbank board member Claus Koehler and West
  Berlin state central bank president Dieter Hiss, which, dealers
  said, revived some speculation that German interest rate cuts
  may once again be under discussion.
      Schlesinger said he had no comment on the remarks of his
  two central bank council colleagues.
      But he added that the last central bank council meeting on
  April 2 had discussed the economic situation with a mood of
  "subdued optimism," particularly influenced by the news brought
  by several state central bank presidents.
      "Much is going better than the impression gained by the
  public from the January figures, which have been in the
  meantime superseded," he said.
      German January industrial output fell 3.0 pct after a
  decline of 0.9 pct in December. New industry orders fell 1.9
  pct after they had been unchanged in December.
      Bank economists said that the two together showed the
  economy would either stagnate or contract in the first quarter
  of 1987.
      Aside from the economic developments, Schlesinger added, a
  steady monetary course was important to hold the dollar/mark
  rate around current levels as Bundesbank president Karl Otto
  Poehl had said while attending the Washington World Bank/IMF
  meeting.
      Asked, however, if the Bundesbank could move to cut rates
  on repurchase agreements at the setting of the next repurchase
  tender, due next Tuesday, Schlesinger said, "Since the central
  bank council gives its opinion on this theme only every 14
  days, this is hardly probable."
      Responding to the question whether the Bundesbank had moved
  away from a policy of targetting monetary growth toward one of
  targetting currency rates, Schlesinger said he could have no
  comment on the subject while negotiations were still in
  progress in Washington.
  

BRAZILIAN COFFEE RAINFALL
  THE FOLLOWING RAINFALL WAS RECORDED IN
  THE AREAS OVER THE PAST 24 HOURS
      PARANA STATE: UMUARAMA NIL, PARANAVAI NIL, LONDRINA NIL,
  MARINGA NIL.
      SAO PAULO STATE PRESIDENTE PRUDENTE NIL, VOTUPORANGA NIL,
  FRANCA NIL, CATANDUVA NIL, SAO CARLOS NIL, SAO SIMAO NIL.
      MINAS GERAIS STATE: GUAXUPE NIL, TRES PONTAS NIL. REUTER
  

E.F. HUTTON LBO INC SAID TENDER OFFER BY PC ACQUISITTION
FOR PUROLATOR COURIER EXPIRED

  E.F. HUTTON LBO INC SAID TENDER OFFER BY PC ACQUISITTION
  FOR PUROLATOR COURIER EXPIRED
  

WORLD BANK TO SUPPORT SRI LANKA IF DEFICITS CUT
  The World Bank will support Sri Lanka's
  development program provided the country reduces its budget and
  current account deficits, the Ministry of Finance said.
      It said Bank President Barber Conable at a meeting with Sri
  Lanka's Finance Minister Ronnie de Mel in Washington also
  emphasised the need for structural adjustment and reform to the
  economy, battered by five years of separatist disturbances.
      Officials said Sri Lanka's budget deficit this year is
  expected to surpass the projected 28.7 billion rupees while
  defence spending, already up by two billion rupees from a
  targetted 10 billion, is also likely grow.
      The Ministry said de Mel asked the World Bank to give Sri
  Lanka 6.5 billion rupees balance of payments support.
  

E.F. HUTTON LBO INC SAYS UNIT TERMINATES MERGER AGREEMENT
WITH PUROLATOR COURIER

  E.F. HUTTON LBO INC SAYS UNIT TERMINATES MERGER AGREEMENT
  WITH PUROLATOR COURIER
  

GEMINA HAS NO COMMENT ON AMBROSIANO REPORT
  Holding company <Gemina Spa> said it had
  no comment on an Italian press report today that it has
  acquired a 12 pct stake in <Nuovo Banco Ambrosiano Spa>.
      Italian daily La Repubblica said that Gemina paid 205
  billion lire for the shareholding from several Italian banks. A
  Gemina spokeswoman told Reuters, "We have nothing to say about
  the report."
      A spokeswoman for Milan-based Ambrosiano said, "We have no
  information at this time." In February, Ambrosiano chairman
  Giovanni Bazoli said foreign and domestic firms have expressed
  interest in buying stakes in the bank.
  

VOLKSWAGEN DIVIDEND UNCHANGED ON 1986
  Dividend on 1986 business unchanged at 10 marks per
  ordinary share. Company also set dividend of 11 marks for new
  preference shares, which were issued last year.
      (Note: Company has said profit will match 1985 level,
  despite provisions of 480 mln marks connected with alleged
  currency fraud. Group net profit in 1985 was 596 mln marks,
  parent company net was 477 mln marks. Company's full name is
  Volkswagen AG <VOWG.F>).
  

WHIRLPOOL CORP <WHR> 1ST QTR NET
  Shr 66 cts vs 67 cts
      Net 48,700,000 vs 49,300,000
      Sales 961.0 mln vs 870.6 mln
      Avg shrs 74,123,837 vs 73,374,398
  

U.S. SAID TO VIEW G-7 MEETING AS MAJOR SUCCESS
  The United States, which has long
  sought Japanese action to stimulate its economy, appears to be
  satisfied Tokyo's latest package is a major development and
  allows leading industrial nations to reaffirm their agreement
  to stabilize currencies.
      Monetary sources said they believed that U.S. Treasury
  Secretary James Baker considered Tokyo's package, announced
  yesterday, to be a major stimulation of the Japanese economy.
      But yesterday's statement by seven leading industrial
  powers endorses the yen's rise from around 153 to the dollar,
  the level at the February 22 Paris Accord, to about 145 today.
      And the initial reaction of currency markets in the Far
  East demonstrates that financial markets are unconvinced that
  currencies yet reflect economic fundamentals, even though the
  countries appear to do so. The yen sank below 145 at one point
  despite intervention by the Bank of Japan.
      Kiichi Miyazawa, Japan's Finance Minister, said the
  movement since Paris was consistent with currency trading
  ranges the nations agreed to defend in the February talks.
      "I would say that what has happened (to the yen) in the past
  several weeks was not outside the range we agreed to in the
  discussions in Paris," Miyazawa said yesterday.
      The supplementary budget worth about 34.48 billion dlrs was
  announced by the ruling Liberal Democratic Party on the eve of
  Miyazawa's departure for Washington, to attend yesterday's
  meetings of leading industrial nations.
      In a strongly worded statement terming the Japanese action
  "extraordinary and urgent", the meeting reaffirmed the Paris
  Accord by noting that current exchange rates are within ranges
  broadly consistent with fundamentals, or economic reality.
      The Group of Seven -- the United States, Japan, West
  Germany, France, Britain, Italy and Canada -- therefore
  repeated their willingness to continue close cooperation to
  foster exchange rate stability.
      The cooperation agreement has resulted in concerted central
  bank intervention of 8 billion to 9 billion dlrs to halt the
  dollar's fall. While relatively unsuccessful, the scale of
  intervention between so many nations is unprecedented in recent
  years. Monetary sources also said they understood that
  Secretary Baker considered the meeting to be extremely
  successful in the light of the Japanese announcement.
      They also said there was a growing feeling among the
  finance ministers and central bankers that cooperation over
  medium-term policies has replaced the bickering over short-term
  differences in past meetings.
      West Germany, whose currency has not risen anything like
  the yen since the Paris Agreement, appears from the face of
  yesterday's statement to have won acceptance from other
  countries that its exchange rate is acceptable.
      Bonn's finance minister Gerhard Stoltenberg argues that
  major currency shifts needed to remedy the huge imbalance
  between West Germany and Japan's trade surpluses and America's
  trade deficit have already taken place.
      No mention was made, however, of the U.S. commitment to cut
  the budget deficit even though it is implied in the
  reafffirmation of Paris.
      European nations and Japan believe deficit cuts are
  essential to curbing the record U.S. trade shortfall that
  reached nearly 170 billion dlrs last year.
      A similar argument was made on Capitol Hill earlier this
  week by Federal Reserve Board chairman Paul Volcker. A further
  sharp fall to redress trade imbalances would "clearly pose
  substantial risks of renewed inflationary momentum and could
  undermine confidence in future financial stability," he said.
      Volcker warned a further dollar fall might force the
  politically independent Fed to drive up interest rates.
      Monetary sources said that, privately, West Germany
  welcomed the rise in the yen against the dollar while its own
  currency remained relatively stable against the U.S. unit.
      Bonn and other European nations worry that once the weak
  dollar blunts Tokyo's export drive to the United States, the
  Japanese monolith will concentrate on European markets.
      The ministers, meanwhile, also continued talks on making
  their policy coordination more binding and one, Canadian
  Finance Minister Michael Wilson, said good progress was made.
      Wilson said they will meet before the June Economic Summit
  to prepare a report for the leaders of the seven nations.
      The United States and France, backed by the International
  Monetary Fund, want the seven to agree on ranges or "norms" for a
  limited number of economic objectives such as growth,
  inflation, monetary conditions, trade balances and current
  account balances.
      Sharp deviations from these guidelines would result in
  consultations between the countries on whether corrective
  action should be required.
      But the inclusion of currencies as one of the objectives
  has Bonn and London worried, monetary sources say, because it
  implies Washington is moving in the direction of target zones.
      The sources said the Reagan administration unsuccessfully
  sounded out its allies on a system of target zones to limit
  currency fluctuations just before the February meeting.
      The concept is a much more rigid one than the secret ranges
  of the Paris Accord and would mark a sharp departure from the
  relatively free currency markets of recent years.
  

BANK OF FRANCE LEAVES INTERVENTION RATE UNCHANGED
  The Bank of France said it left its
  intervention rate unchanged at 7-3/4 pct when it injected funds
  in the market against first category paper in today's money
  market intervention tender.
      Money market dealers had earlier expressed mixed views on
  the possibility of quarter point cut.
      The rate was last adjusted on March 9, when it was cut to
  7-3/4 pct from the eight pct rate set in January.
  

GLOBAL ECONOMIC SLOWDOWN RAISES NEW DEBT FEARS
  The global economy is expected to
  weaken this year, adding new worries to an already serious
  poverty outlook, economic analysts said.
      For finance ministers and central bankers attending this
  week's semi-annual meetings of the International Monetary Fund
  and World Bank, the new figures released by the IMF add an
  additional concern.
      The Fund estimated world output would only grow by 2.7 pct
  this year, versus 2.9 pct last year, and 3.1 pct in 1985.
      In the industrial countries, Gross National Product, a
  measure of all goods and services, was expected to decline to
  2.3 pct this year, compared with 2.4 pct in 1986, the IMF said.
      For the developing countries, the Gross Domestic Product,
  another measure of economic growth, was expected to fall to 3.0
  pct from 3.5 pct last year.
      The new figures are considered a major disappointment to
  the poorest countries. They had hoped that new vitality in the
  industrial countries brought on by a sharp decline in oil
  prices would assist their economic recovery and help them cope
  with growing mounds of debt.
      IMF officials, discussing their outlook, said they believed
  the industrial country economies would move up to an annual
  growth rate of three pct by the end of the decade.
      Economic analysts and the IMF have been saying for some
  time that the ability to keep the debt crisis from turning into
  an economic rout rests on sustained economic growth.
      Since the debtor countries must look to the wealthier
  states for markets for their products as well as financial
  assistance, economic weakness in the developed nations' 
  economies poses fundamental worries.
      Debtor countries, including the very poorest states, have
  only a few avenues open to them for earning foreign exchange,
  including the key one of exports.
      The U.S. economy, which is in its fifth year of expansion,
  has served as a mainstay for developing country exports, but it
  too is seen as being rather feeble this year, growing by only
  2.3 pct, according to the IMF.
      For this reason and because of a high trade deficit, the
  United States has been pressuring Japan and West Germany to
  ignite their economies but with little apparent success.
      The IMF study also examines the course of the dollar and
  the curious lack of impact it has had on the U.S. trade
  deficit.
      Reagan administration officials have been saying that the
  impact is now beginning to show up, although it has been much
  slower than expected.
      The IMF observed in its World Economic Outlook that "it has
  to be recognized that exchange rate adjustments take time to
  work through to payments flows -- probably at least three years
  to get a resonably complete effect."
      The report added, however, "the adjustments may take even
  more time on this occasion."
  REUTER^M
  

SPANISH EMPLOYERS WORRIED BY HIGH INTEREST RATES
  The head of Spain's employers'
  federation, Jose Maria Cuevas, said employers were worried
  about the government's monetary policies because high real
  interest rates were hampering investment.
      He told a news conference wage pacts signed so far this
  year were not endangering the government's five pct inflation
  target. The government's perceived need to control inflation by
  keeping a tight rein on credit was unnecessary, he said.
      High real interest rates were attracting an influx of
  speculative foreign capital which was undercutting the
  government's target for monetary growth, Cuevas said.
      Spain's most closely-watched measure of money supply,
  liquid assets in public hands, grew at an annualised rate of 17
  pct in March, against 11.4 pct in December last year and a
  target range of 6.5 to 9.5 pct for 1987.
      To combat this, the Bank of Spain has raised its call money
  rate 14 times so far this year, to 14.5 pct at present from
  11.8 at end-1986.
      Cuevas said employers were heeding the government's call to
  hold wage increases to its five pct inflation target this year,
  with increases from salary reviews awarded last year and new
  wage pacts averaging 5.6 pct in the first quarter of 1987.
      These agreements covered less than 40 pct of Spanish
  workers, Cuevas said, with the rest still in wage negotiations.
      He said Spain's current wave of strikes mainly affected the
  state sector, where the government is trying to impose its five
  pct wage ceiling.
      Cuevas said employers were also worried about the trend in
  Spain's foreign trade balance. The trade deficit in the first
  two months of 1987 totalled 233 billion pesetas, a 68 pct
  increase over the corresponding period last year.
      However, employers did not favour a devaluation of the
  peseta to correct the imbalance.
  

SHOWBOAT <SBO> DECLARES STOCK SPLIT
  Showboat Inc said its board declared a
  two-for-one stock split, payable to shareholders of record on
  May 15.
  

LEAD PRICES RISE ON FINELY BALANCED PHYSICALS
  Lead prices have risen this week against
  a background of a finely balanced physical sector, traders
  said.
      Further gains are possible if the USSR steps up its buying
  or if labour problems develop in North America, they added.
      London Metal Exchange (LME) prices are unusually buoyant at
  a time of year when seasonal demand is normally slackening and
  prices tending to drift lower.
      This buoyancy is generally attributed by traders to the low
  level of LME stocks and steady, if unspectacular, physical
  demand in the Northern Hemisphere finding supplies curtailed.
      The supply problems are not new but are beginning to be
  felt by a market in which, as peak winter demand tails off,
  stocks usually build fast and availability increases, traders
  said.
      The lower supply levels result from a number of different
  factors around the globe.
      Delayed shipments from Peru to Mediterranean countries
  because of production and transport problems, lack of Spanish
  exports since the closure last year of Cia La Cruz's smelter at
  Linares and lower output in Morocco and Greece have all meant
  additional demand being directed to merchants who in turn have
  been drawing on LME stocks.
      In addition Broken Hill Associated Smelters' Port Pirie,
  South Australia, smelter is halting production for five weeks
  for maintenance. Although the company said it would meet
  commitments, this will put further pressure on stocks.
      And the U.S. Company Doe Run has kept its 140,000 tonnes
  per year Boss, Montana smelter closed. This cut producer stocks
  and contributed to a closer supply/demand balance within the
  U.S. Market, for many years depressed by surplus production and
  a regular supplier to the world market.
      Mexican supplies, which have sometimes swelled LME stocks,
  have been normal but are finding ready buyers, traders said.
      On the demand side, winter battery manufacture has held up
  quite well and some U.S. Buying of lead sheet has been reported
  in the U.K. Soviet lead buying, notably absent in Europe in the
  first two months of the year, was resumed when a large buying
  order was filled by merchants in March.
      Merchant demand has fuelled the rise in LME lead prices
  this week and has seen cash metal move above 320 stg and
  establish a premium of around 10 stg over three months
  delivery. Specific demand has been directed towards metal in
  Gothenburg and Trieste warehouses. Gothenburg material is often
  a target for merchants shipping to the USSR, traders said.
      On stocks, the popular LME Continental warehouses, Antwerp
  and Rotterdam, have little more than 3,000 tonnes of lead each,
  and this is believed to be in strong hands.
      Out of a total 22,125 tonnes in LME stocks, the lowest
  level since June 1980, just over half is in U.K. Warehouses
  which are not popular with merchants putting together
  shipments.
      But even U.K. Stocks have dropped around 6,000 tonnes since
  the start of the year. Traders said this is partly due to
  secondary smelters buying ingots to supplement feed supplies
  affected by environmental controls, which put restrictions on
  the transport of used batteries.
      Labour negotiations in North America will play an important
  part in determining the direction of prices, with contracts
  expiring end-April at Cominco's Trail and Kimberley, B.C.,
  Mine/smelter and at Doe Run's Herculaneum, Mo, smelter.
      Noranda's New Brunswick mine/smelter also has a contract
  expiry in July which may cause some nervousness in view of
  strikes by its zinc and copper workers over recent months.
      Traders said LME three months delivery, already attracting
  speculative buying, could rise to 320/330 stg on current
  firmness, while nearby tightness could widen the cash premium
  to 20 from four. Three months was quoted at 313 stg at
  midsession.
  

REXHAM CORP <RXH> 1ST QTR NET
  Shr 70 cts vs 42 cts
      Net 2,918,000 vs 1,746,000
      Sales 68.3 mln vs 53.5 mln
      NOTE: 1987 net includes pretax gain 400,000 dlrs from
  change in pension accounting.
      1987 results include Production Graphics Corp and Systems
  Technology and Weapons System Test Divisions of NEw Technology
  Inc, acquired December 30, 1986.
  

FIRST EASTERN CORP <FEBC> 1ST QTR NET
  Shr 50 cts vs 47 cts
      Net 3,445,000 vs 3,193,000
      NOTE: Share adjusted for two-for-one stock split in January
  1987.
  

FHLBB CHANGES SHORT-TERM DISCOUNT NOTE RATES
  The Federal Home Loan Bank Board
  adjusted the rates on its short-term discount notes as follows:
      MATURITY   NEW RATE  OLD RATE  MATURITY
    30-174 days  5.00 pct  5.00 pct    30-87 days
   175-190 days  5.85 pct  5.82 pct   88-103 days
   191-270 days  5.00 pct  5.00 pct  104-179 days
   271-288 days  5.92 pct  5.85 pct  180-205 days
   289-360 days  5.00 pct  5.00 pct  206-360 days
  

ANCHOR FINANCIAL <AFCX> TO MAKE ACQUISITION
  Anchor Financial Corp said it
  has agreed to acquire Waccamaw State Bank of Surfside Beach,
  S.C., in an exchange of 1.435 Anchor shares for each Waccamaw
  share, subject to regulatory and shareholder approvals.
      Waccamaw had assets of 22.8 mln dlrs as of March 31.
  

STOLTENBERG NOT SURPRISED BY DOLLAR REACTION
  West German Finance Minister Gerhard
  Stoltenberg said he was not surprised by the overnight decline
  of the dollar in foreign exchange markets.
      Speaking briefly with reporters before entering a meeting
  of the International Monetary Fund he said, "These minor
  movements don't really affect us."
      The dollar declined in the initial reaction to a statement
  by the Group of Seven industrial countries reaffirming their
  Paris agreement in February to maintain their currencies around
  current levels.
  

ASARCO UPS U.S. LEAD PRICE 0.50 CT TO 26.50 CTS
  Asarco Inc said it is increasing its
  base spot sales price for refined lead by one-half cent to
  26.50 cents a lb, FOB, delivered in carload lots, effective
  immediately.
  

E.F. HUTTON <EFH> UNIT'S PUROLATOR OFFER EXPIRES
  E.F. Hutton LBO Inc said the tender
  offer by its wholly owned unit, PC Acquisition Inc, for
  Purolator Courier Corp <PCC> expired at 2400 EDT yesterday
  without the purchase of any Purolator common stock.
      Hutton added that PC Acquisition also terminated its merger
  agreement with Purolator.
      Hutton said the offer, which had been conditioned upon the
  tender of at least 5,116,892 Purolator shares, or about
  two-thirds of the outstanding shares, was terminated because
  the minimum number of shares was not tendered.
      Purolator had entered into a definitive agreement with PC
  Acquisition, part-owned by E.F. Hutton LBO Inc, a unit of E.F.
  Hutton, and some officers of Purolator's U.S. courier division,
  in which PC offered to purchase 6,332,471 Purolator common
  stock shares for 35 dlrs a share.
      Following that move, PC Acquisition planned to merge a
  subsidiary into Purolator, converting all outstanding Purolator
  common it did not own into an aggregate 46 mln dlrs principal
  amount of 12 pct guaranteed debentures due 2002 and warrants to
  purchase 15 pct of a Purolator unit comprised of Purolator's
  U.S courier operations.
      Hutton said as of 2400 EDT yesterday about 181,000 shares
  of Purolator common stock, or about 2.4 pct of the outstanding
  shares, had been validly tendered and not withdrawn.
      PC Acquisition has instructed its depository for the offer
  to return promptly the Purolator stock deposited by, or on
  behalf of, tendering shareholders, Hutton said.
  

ABBOTT LABORATORIES 1ST QTR NET SHR 62 CTS VS 52 CTS

  ABBOTT LABORATORIES 1ST QTR NET SHR 62 CTS VS 52 CTS
  

INDIA FOODGRAIN TARGET 160 MLN TONNES IN 1987/88
  India's national foodgrain target has
  been fixed at 160 mln tonnes in 1987/88 (Apr-Mar), unchanged
  from the 1986/87 target, the Agriculture Ministry said in its
  annual report for 1986/87.
      Actual output was estimated at 151 mln tonnes in 1986/87
  due to failure of monsoon rains in 15 out of 35 meterological
  sub-divisions of the country.
      The report gave the targets for various crops with
  estimated harvested crops in 1986/87 in brackets as following,
  in mln tonnes - rice 65 (60), wheat 49 (49), coarse grains
  including sorghum and millets 32 (29) and pulses 14 (13).
      Despite failure of monsoon rains in recent years, it was
  possible to maintain higher foodgrain production, signifying
  growing resilience in agricultural sector, the report said.
      The strategy for increasing irrigation potential along with
  greater use of high yielding seed varieites and improvement in
  fertiliser efficiency is yielding results, it said, adding
  total foodgrain output in 1985/86, 1984/85 and 1983/84
  respectively was 150.5 mln tonnes, 145.5 mln and a record 152.4
  mln.
     India has targeted to produce between 178 and 183 mln tonnes
  of foodgrains by the last year of the seventh five-year
  development plan ending March 31, 1990.
      Taking the midpoint of 180 mln tonnes as the target and the
  1986/87 estimated production of around 151 mln tonnes, the gap
  of 29 mln tonnes has to be made up during the remaining three
  years of the plan by increasing grain output annually by more
  than nine mln tonnes. But the target can be achieved only with
  good weather, the report said.
      "The major thrust programme will, therefore, be better water
  (irrigation) management. Simultaneously, efforts for spread of
  improved technology including timely use of inputs (farm
  materials like fertilisers) in adequate quantities have to be
  vigrously pursued," it said.
  

CERTIFICATED COTTON STOCKS
  Certificated cotton stocks deliverable
  on the New York Cotton Exchange No 2 cotton futures contract as
  of April 8 were reported at 34,661 bales, down 421 bales from
  the previous day's figure. There were no bales awaiting review
  and 1,218 bales awaiting decertification.
  

REICHHOLD CHEMICAL <RCI> SETS ANTI-TAKEOVER PLAN
  Reichhold Chemical Inc said its
  board adopted a warrant dividend plan in which one preferred
  stock purchase right will be distributed as a dividend on each
  common share outstanding.
      The company said its warrant dividend plan is designed to
  protect its shareholders against unsolicted, coercive attempts
  to aquire control without making an adequate offer for all
  shares.
      Reichhold said the adoption is not a response to any
  specific takeover attempt.
      Reichhold said each right will entitle shareholders to buy
  one one-hundreth of a share of a newly created series of
  preferred stock at an initial exercise price of 120 dlrs, with
  dividend and voting rights approximately equal to those of one
  share of the company's common stock.
      The rights will be exercisable only if, without Reichhold's
  prior consent, a person or group a acquires 20 pct or more of
  the voting power or announces a tender offer which would result
  in 20 pct ownership, the company said.
      Reichhold said it is entitled to redeem the rights at five
  cts apiece before a 20 pct position has been acquired, or
  before an existing 20 pct shareholder buys an additional two
  pct or more of the voting power of the company, or in
  connection with certain transactions afterward.
      The tax-free distribution will become effective May 1,
  1987, and will expire 10 years later, the company said.
      Details of the plan are outlined in a letter to be mailed
  to stockholders.
  

ABBOTT LABORATORIES INC <ABT> 1ST QTR NET
  Shr 62 cts vs 52 cts 
      Net 142.0 mln vs 123.0 mln
      Sales 1.00 billion vs 865.0 mln
  

HANSON <HAN> TO BUY INT'L PROTEIN <PRO> STOCK
  International Proteins Corp said
  it has agreed to sell in a private placement 330,000 common
  shares at 11.75 dlrs a share to a U.S. subsidiary of Hanson
  Trust Plc.
      In addition, David Clarke the president of another Hanson
  Trust subsidiary, Hanson Industries, will be named chairman of
  International Proteins's executive committee upon his election
  to the board at the annual meeting.
      International Proteins recently acquired Clarke's family
  business, Great South Beach Sales Co, for 900,000 restricted
  common shares of which 350,000 have been issued to date.
      International Proteins said its agreement with Hanson Trust
  is subject to stockholder approval at the annual meeting which
  is expected to be held in June.
      The company said Hanson Trust is purchasing the stock for
  investment purposes, adding the agreement includes restrictions
  on purchase or sale of the company by Hanson for the next five
  years.
      International Proteins said it will use the proceeds to
  expand domestic operations.
      The company has about 2.1 mln shares outstanding.          
  

EGYPT BUYS PL 480 WHEAT FLOUR - U.S. TRADERS
  Egypt bought 125,723 tonnes of U.S.
  wheat flour in its PL 480 tender yesterday, trade sources said.
      The purchase included 51,880 tonnes for May shipment and
  73,843 tonnes for June shipment. Price details were not
  available.
  

SPAIN HAS 35 MLN DLR CURRENT SURPLUS FEBRUARY
  Spain had a 35 mln dlr current account
  surplus in February compared with a 68 mln dlr surplus in
  January and a 355 mln dlr surplus in February last year, Bank
  of Spain figures show.
      Spain's trade deficit narrowed to 581 mln dlrs compared
  with 664 mln dlrs in January but the large increase in non-oil
  imports contributed to the substantial increase over the 159
  mln dlr deficit registered in February 1986.
      Exports at 2.58 billion dlrs were up 19 pct compared with
  February last year, but imports were 46 pct higher than last
  February, totalling 3.16 billion dlrs.
      Non-oil imports totalled 2.79 billion dlrs compared with
  1.91 billion in February last year, reflecting the large
  ammount of investment goods entering the country with the
  recovery of the Spanish economy, the Bank of Spain said.
      Spain's tourism earnings continued to grow and totalled 655
  mln dlrs in February, compared with 103 mln dlrs in January and
  502 mln dlrs in February last year.
  

INDIA OILSEED OUTPUT FORECAST TO RISE
  India's oilseed output is expected to
  rise to 12.25 mln tonnes in 1986/87 ending October, up on 11.15
  mln in 1985/86 but down from 12.95 mln harvested in 1984/85,
  the Agriculture Ministry's 1986/87 report said.
      But the forecast for 1986/87 is well below a target of 14.8
  mln tonnes fixed for the year, it said, adding bad weather hit
  groundnut and other oilseed crops.
      The National Oilseeds Development Program will invest 300
  mln rupees in 1986/87 on supplying improved high-yielding seeds
  and other support services to help boost production, it added.
  India imports about 1.2 mln tonnes of edible oils a year.
  

EXXON <XON> SOUTH AFRICAN UNIT ACQUIRED BY ZENEX
  <Zenex Oil Pty Ltd> said it
  acquired the interests of Esso South Africa, the local
  subsidiary of Exxon Corp <XON), and will use up to 20 mln rand
  in profits to finance educational and social programs.
      The profit scheme will begin after Zenex has paid Exxon an
  undisclosed purchase price for Esso, Zenex chairman John
  Truscott said in a statement.
      The acquisition follows the Exxon withdrawal from South
  Africa announced last December.
  

SALLIE MAE ADJUSTS SHORT-TERM DISCOUNT NOTE RATES
  The Student Loan Marketing
  Association said its rates on short-term discount notes were as
  follows:
      MATURITY   NEW RATE    OLD RATE  MATURITY
      5-14 days  5.80 pct    5.75 pct     5-14 days
    15-360 days  5.00 pct    5.00 pct    15-85 days
                             5.80 pct    86-91 days
                             5.00 pct   92-176 days
                             5.83 pct  177-183 days
                             5.00 pct  184-360 days
  

FREDDIE MAC ADJUSTS SHORT-TERM DISCOUNT RATES
  The Federal Home Loan Mortgage Corp
  adjusted the rates on its short-term discount notes as follows:
     MATURITY   RATE       OLD RATE  MATURITY
      33 days   6.00 pct   6.00 pct  33 days
  

ARGENTINE GRAIN BELT WEATHER REPORT
  ARGENTINE GRAIN BELT TEMPERATURES
  (CENTIGRADE) AND RAIN (MM) IN THE 24 HOURS TO 12.00 GMT WERE:
      ...............MAX TEMP..MIN TEMP..RAINFALL
      BUENOS AIRES.......24.......12............0
      BAHIA BLANCA.......22........7............0
      TRES ARROYOS.......22........8............0
      TANDIL.............22........7............0
      JUNIN..............24.......11............0
      SANTA ROSA.........--........6............0
      CORDOBA............23.......12............1
      SANTA FE...........21.......18...........17 REUTER
  

VW SAYS 480 MLN MARKS MAXIMUM FOR CURRENCY LOSSES
  Losses for Volkswagen AG
  <VOWG.F>, VW, linked to an alleged foreign currency fraud will
  not exceed the 480 mln marks provision already made, a VW
  spokesman said.
      The spokesman was commenting after VW had confirmed it
  would pay an unchanged 10 mark dividend for ordinary shares on
  1986 business, despite the provision.
      One West German newspaper today quoted foreign currency
  dealers in Frankfurt as speculating that the total losses from
  the currency affair could be as high as 1.5 billion marks, but
  the VW spokesman described 480 mln marks as an "upper limit."
      VW said in a statement following today's supervisory board
  meeting that it had discussed the foreign currency scandal in
  detail, and was setting up a new probe into its foreign
  currency activities to be carried out by an unnamed auditing
  company.
      VW has said computer programs were erased and documents
  were faked in the alleged fraud in which it believes
  transactions intended to protect it against possible foreign
  currency losses were not completed.
      VW's former foreign currency chief Burkhard Junger was
  arrested on Monday on suspicion of embezzlement and of having
  evaded justice.
      Earlier VW had said that its 1986 results would match 1985
  profits. VW's group net profit in 1985 was 596 mln marks and
  parent company net was 477 mln marks. It also said it recommend
  an unchanged dividend to the supervisory board. The company has
  also set a dividend of 11 marks for new preference shares,
  which were issued last year. Analysts have described the held
  dividend as a move to reassure worried shareholders.
      VW increased nominal capital by 300 marks last year to 1.5
  billion marks, with the result that its total dividend payment
  on 1986 will be 306 mln marks compared with 240 mln on 1985,
  since the new capital was in preference shares.
      The share analysts say VW will have to dig into reserves in
  order to maintain the disclosed 1986 profit at 1985 levels. At
  the end of 1985, VW had parent company reserves of slightly
  less than three billion marks.
  

YUGOSLAVIA TO TENDER FOR 100,000 TONNES WHEAT
  Yugoslavia will tender April 14 for
  100,000 tonnes of wheat, the U.S. Agriculture Department's
  Counselor in Belgrade said in a field report.
      The report, dated April 7, said the wheat must be from 1986
  and 1987 harvest, and imports of soft wheat from Europe and
  from other suppliers will not be considered.
      It said the imports will be used to rebuild the federal
  reserves and as a result will not be subject to import
  surcharges.
  

FEDERATED DEPARTMENT STORES MARCH SALES UP 4.9 PCT

  FEDERATED DEPARTMENT STORES MARCH SALES UP 4.9 PCT
  

PRICES GENERALLY LOWER AT NAIROBI COFFEE AUCTION
  Prices were lower at this week's coffee
  auction for all grades and qualities except better quality AB
  grades, which held steady, the Coffee Board of Kenya said.
      The board said it offered 35,000 bags and sold 32,876.
      So far this coffee year, Kenya has sold 918,707 bags to all
  markets, of which 326,182 are for the 1986/7 pool, with an
  overall average price of 41,500 shillings a tonne, it added.
      The board will offer 35,000 bags at its next auction on
  April 14.
            BAGS                PRICE PER 50 KG
        OFFERED SOLD        AVERAGE
   PB      430   430   2304.78 (2267.21)
   AA     7289  6834   2292.92 (2358.96)
   AB    12664 11895   2289.99 (2291.13)
   C      3198  2867   2073.15 (2107.64)
   T       876   876   1508.79 (1510.67)
   TT     1375  1375   2053.25 (2095.64)
   E       159   159   2250.19 (2252.18)
   MISC   9009  8440   1409.50 (1398.60)
   TOTAL 35000 32876     AVERAGE FOR SALE      2014.93 (1994.94)
  

ALEX. BROWN <ABSB> SETS SPLIT, TO OFFER SHARES
  Alex. Brown Inc said it has declared a
  three-for-two stock split, payable May 29, record May 22.
      The company also said it has filed to offer 912,000 common
  shares, including 162,000 to be sold by a shareholder, with
  company proceeds to be used for working capital and general
  corporate purposes.  Its Alex. Brown and Sons Inc subsidiary is
  lead underwriter.
      The offering is expected to be made before the record date
  of the split, the company said.
  

HIGHLAND SUPERSTORES INC <HIGH> 4TH QTR NET
  Period ended Jan 31
      Shr 38 cts vs 61 cts
      Net 7,012,000 vs 11,193,000
      Revs 223.0 mln vs 200.3 mln
      Year
      Shr 1.11 dlrs vs 1.36 dlrs
      Net 20,214,000 vs 23,602,000
      Revs 656.5 mln vs 520.5 mln
      Avg shrs 18,257,631 vs 17,376,480
  

LVI GROUP <LVI> TO MAKE ACQUISITION
  LVI Group Inc said it has agreed in
  principle to purchase all outstanding shares of <Spectrum
  Holding Corp> for a proposed 13 mln dlrs in cash.
      LVI said an additional 10 mln dlrs in common stock and
  seven mln dlrs in notes will become payable if Spectrum has
  certain minimum future earnings.
      LVI, an interior construction firm, said the acquisition is
  subject to execution of a definitive agreement and completion
  of due diligence.
      LVI and Spectrum, an asbestos abatement concern, expect to
  close the deal in June, LVI said.
  

TEXAS AMERICAN <TAE> OMITS PREFERRED PAYOUT
  Texas American Energy Corp said
  its board has decided to again omit the quarterly dividend on
  its 2.575 dlr cumulative convertible exchangeable preferred
  stock.
      The dividend would have been payable May One.  The company
  last paid 64.3 cts a share on the issue in August 1986.
  

VORNADO INC <VNO> 4TH QTR JAN 31 NET
  Shr 1.64 dlrs vs 1.56 dlrs
      Net 4,583,000 vs 5,313,000
      Revs 20.1 mln vs 19 mln
      Avg shrs 2.8 mln vs 3.4 mln
      Year
      Shr 5.06 dlrs vs 5.92 dlrs
      Net 16 mln vs 20.3 mln
      Revs 74.6 mln vs 68 mln
      Avg shrs 3.2 mln vs 3.4 mln
  

BRENDA MINES SELLING KERR ADDISON SHARES
  <Brenda Mines Ltd> said it sold
  2,830,390 <Kerr Addison Mines Ltd> shares to a group of
  underwriters led by Wood Gundy Inc and Brown, Baldwin Nisker
  Ltd for redistribution.
      Financial terms were undisclosed.
  

PHOENIX FINANCIAL <PHFC> BUYS DATA ACCESS STAKE
  Data Access Systems Inc said
  chairman David Cohen has sold 1,800,000 common shares to
  Phoenix Financial corp for undisclosed terms and resigned as
  chairman and chief executive officer.
      The company said Phoenix Financial now has a 27 pct
  interest in Data Access and effective control.
      Data Access said Phoenix chairman Martin S. Ackerman has
  been named chairman of Data Access as well and two other
  Phoenix representatives have been named to the Data Access
  board.  It said four directors other than Cohen have resigned
  from the board.
  

HEALTH AND REHABILITATION <HRP> INITIAL PAYOUT
  Health and Rehabilitation
  Properties Trust said it declared an intitial dividend of 55
  cts per share for the period ending March 31, 1987
      The dividend will be payed May 20 to shareholders of record
  on April 20, the company said.
      The company said it organized in late 1986 and closed its
  intitial public offering of shares Dec 23, 1986.
      The initital dividend includes five cts attributable to the
  period between Dec 23 and 31, 1986, and 50 cts attributable to
  the first qtr of 1987, ending March 31, 1987.
  

T. ROWE PRICE <TROW> SEES HIGHER FIRST QUARTER
  T. Rowe Price Associates said its
  first quarter earnings rose about 50 pct from the year-ago
  2,634,000 dlrs and revenues about 30 pct from the year-ago 24.2
  mln dlrs.
      It said it expects "very good" earnings and revenue growth
  this year.  In 1986 it earned 14.8 mln dlrs on revenues of
  111.1 mln dlrs.
  

GENERAL PARTNERS CUTS STAKE IN GENCORP <GY>
  General Partners told the Securities
  and Exchange Commission it has reduced its stake in GenCorp Inc
  to 8.6 pct, from 9.8 pct, by selling 250,000 shares at a price
  equal to 118.5 dlrs per share.
      General Partners, which includes GC Holdings Inc and
  General Acquisitions Inc, said yesterday it was dropping its
  100-dlr-a-share hostile takeover bid for GenCorp because of
  GenCorp's move to buy back its shares for up to 130 dlrs each.
  

HERITAGE FINANCIAL SERVICES <HERS> 1ST QTR NET
  Shr 45 cts vs 43 cts
      Net 1,503,000 vs 938,000
      Avg shrs 3,358,664 vs 2,158,664
      NOTE: Company had its initial public offering of 1,200,000
  shares in October, 1986
  

NATIONAL COMPUTER <NLCS> SEES EARNINGS GROWTH
  National Computer Systems Inc
  expects fiscal year earnings to improve by about 20 pct, the
  company told analysts, although it said the April 30 first
  quarter should show "down earnings and virtually flat
  revenues."
      Chairman Charles Oswald said National Computer has taken
  steps to improve margins. He said revenues are expected to
  increase modestly because of the company's decision to downsize
  its leasing business, nonrecurring revenueslast year from a
  one-time Texas teacher assessment project and the impact of the
  discontinuance of products last year.
      Oswald said National Computer's first quarter results will
  be down as a result of a major financial systems sales last
  year, a higher effective tax rate and the increased number of
  shares outstanding.
      The company said the next three consecutive quarters should
  demonstrate "excellent earnings growth."
  

U.K. CHANCELLOR LAWSON SAYS THERE MAY BE NEED TO CUT
INTEREST RATES IN SOME COUNTRIES

  U.K. CHANCELLOR LAWSON SAYS THERE MAY BE NEED TO CUT
  INTEREST RATES IN SOME COUNTRIES
  

REXHAM <RXH> REPURCHASES STAKE FROM NORTEK <NTK>
  Rexham Corp said it has
  repurchased 381,050 of its shares or 9.1 pct from Nortek Inc
  for 42 dlrs each, and Nortek has withdrawn its proposal to
  acquire Rexham for 43 dlrs per share.
      Rexham said Nortek has also agreed not to buy Rexham shares
  or take other actions under a 10-year standstill agreement. 
  The Rexham board had rejected the Nortek bid as inadequate.
      The company also said its board has authorized the
  repurchase in the open market or privately from time to time of
  up to an additional five pct of its own shares and the
  establishment of an Employee Stock Ownership Plan.  The plan is
  expected to purchase from Rexham a new convertible preferred
  stock with 11.5 pct of Rexham's voting power with proceeds of a
  pension plan overfunding and borrowings.
  

EXXON <XON> CUTS HEATING OIL PRICE, TRADERS SAID
  Oil traders in the New York area said
  Exxon Corp's Exxon U.S.A. unit reduced the price it charges
  contract barge customers for heating oil in New York harbor
  0.50 cent a gallon, effective today.
      They said the reduction brings Exxon's contract barge price
  to 49.75. The price decrease follows sharp declines in heating
  oil prices in the spot and futures markets, traders said.
  

FHLBB CHANGES SHORT-TERM DISCOUNT NOTE RATES
  The Federal Home Loan Bank Board
  adjusted the rates on its short-term discount notes as follows:
      MATURITY   NEW RATE  OLD RATE  MATURITY
    30-174 days  5.00 pct  5.00 pct   30-174 days
   175-190 days  5.88 pct  5.85 pct  175-190 days
   191-270 days  5.00 pct  5.00 pct  191-270 days
   271-288 days  5.92 pct  5.92 pct  271-288 days
   289-360 days  5.00 pct  5.00 pct  289-360 days
  

<STRATHFIELD OIL AND GAS LTD> YEAR NET
  Shr 46 cts vs 48 cts
      Net 1,196,331 vs 1,341,314
      Revs 5,153,109 vs 7,680,350
  

FED MAY ADD RESERVES TO BANKING SYSTEM
  The Federal Reserve may intervene in
  the government securities market to supply temporary reserves
  indirectly via customer repurchase agreements, economists said.
      They said that while the Fed faces no great urgency to add
  reserves at the start of the two-week maintenance period today
  it would probably do so in order to offset a relatively high
  federal funds rate.
      Fed funds opened at 6-3/16 pct and remained there in early
  trading. Yesterday, they averaged 6.45 pct, after rising as
  high as seven pct at the close.
  

DIAMOND CRYSTAL <DSLT> MIGHT SELL SALT UNIT
  Diamond Crystal Salt Co said it
  might sell its salt division.
      The company said it retained First Boston Corp to assist it
  with the possible sale of the division, "assuming a fair price
  and reasonable terms can be obtained."
      Diamond Crystal said sale of the unit was in the best
  long-term interests of its shareholders.
      The company also said it incorporated its Packet Products
  Division as of April one. The unit will be an indirect wholly
  owned subsidiary called Diamond Crystal Specialty Foods Inc.
  Current management of the division will remain.
  

LAWSON SAYS SOME COUNTRIES COULD CUT RATES
  Nigel Lawson, Britain's Chancellor of
  the Exchequer, said some countries may need to cut interest
  rates with the aim of maintaining exchange rate stability.
      Speaking to journalists one day after the Group of Seven
  countries reaffirmed goals set in Paris six weeks ago, he said
  central banks would continue to intervene "as and when
  necessary."
      He said the G-7 countries were concerned that Japan do more
  to stimulate domestic demand and welcomed measures outlined by
  Japanese Finance Minister Kiichi Miyazawa yesterday.
      Lawson said he was still worried about  the risk of a
  simultaneous recession in the United States, Japan and West
  Germany, though less so than when he gave his March 17 budget
  speech to the British Parliament.
      "If anything I'm a little bit less concerned, but there is
  still a risk," he said.
      Asked if the United States should consider increasing
  interest rates to support the dollar, he said, "If there is a
  need for changes in relative interest rates, it doesn't need to
  be a rise in interest rates in the United States."
      Lawson said there was some concern expressed in yesterday's
  meetings at the slow progress the United States had made in
  reducing its budget deficit.
      "We believe there will be some worthwhile progress in
  reducing the deficit this year. The important thing is that it
  continue year after year," Lawson said.
      The February 22 Louvre accord called for efforts to
  stabilize currencies at then-current exchange rates. In the six
  weeks that followed the Japanese yen continued to rise against
  the dollar despite massive central bank intervention.
      Asked whether this intervention was a sign of weakness in
  the Louvre accord, he said, "I don't think so. If there had been
  no intervention you would have called that a sign of weakness."
      Although intervention could be a cause of inflation, Lawson
  said, "the world does not appear to be in an inflationary mode
  ... but one has to be vigilant."
      He said yesterday's G-7 statement, which affirmed that
  "current levels" of exchange rates were appropriate, had been
  "carefully worded." "We know what we mean, and we all mean the
  same thing," he said.
      Lawson said financial markets seem to believe that Japanese
  measures outlined in the Louvre accord were the source of
  weakness for that agreement.
      Therefore, the G-7 countries welcomed Miyazawa's
  presentation of plans for a supplemental budget to stimulate
  domestic demand.
      They particularly welcomed the goal of an immediate
  increase in public works spending, but Lawson said the package
  also involved a second stage to increase expenditures during
  the second half of this year.
  

FRENCH FREE MARKET CEREAL EXPORT BIDS DETAILED
  French operators have requested licences
  to export 320,000 tonnes of free market barley, 225,000 tonnes
  of maize, 25,000 tonnes of free market bread-making wheat and
  20,000 tonnes of feed wheat at today's EC tender, trade sources
  said.
      For the barley, rebates of between 138 and 141.25 European
  currency units (Ecus) per tonne were sought, for maize they
  were between 129.65 and 139 Ecus, for bread-making wheat around
  145 Ecus and for feed wheat around 142.45 Ecus.
      Barley rebates of up to 138.50 Ecus were requested for a
  total of 40,000 tonnes and at 139 Ecus for 85,000 tonnes.
      Rebates of up to 130 Ecus per tonne were requested for a
  total of 55,000 tonnes maize and up to 131 Ecus for 105,000
  tonnes, the sources said.
  

U.K. POTATO FUTURES TRADING NOT TO BE SUSPENDED
  Trading on the London potato futures
  market will not be suspended, Richard Harris, Chairman of the
  London Potato Futures Association (LPFA), said in a statement
  to floor members.
      It was in response to strong representations by the Potato
  Marketing Board (PMB) complaining of a gross distortion of
  price which they say will result in large deliveries into the
  physical market when the April futures position expires.
      The PMB had sought an immediate suspension in futures
  trading and asked the LPFA to take action to restore the
  relationship between futures and physicals.
      Farmers and merchants have alleged a squeeze and cornering
  of the market but Harris pointed out that recent investigations
  by the Association of Futures Brokers and Dealers (AFBD), the
  International Commodities Clearing House (ICCH) and other
  parties, found no evidence to substantiate this.
      The main complaint from some sections of the physical
  market is what they say is an unrealistic futures premium over
  the PMB's average ex-farm price. April futures traded this
  morning between 168 and 170 stg per tonne compared with PMB's
  average price of 104 stg.
      Bill Englebright, joint secretary of the LPFA said there is
  a two-tier market for physical potatoes. He said quality
  potatoes are in short supply and prepackers have been paying
  between 145 and 165 stg per tonne for best samples. But lesser
  quality grades have traded below 100 stg.
      Some merchants fear that a large tonnage will be delivered
  against the April futures contract between now and the end of
  the month, and possibly disrupt the physical market.
      Harris said the LPFA rule book allows the management
  committee to take steps as necessary to correct any malpractice
  and he assured the committee is monitoring the situation.
  

GROUP OF 10 WELCOMES LATEST G-7 AGREEMENT
  The Group of 10 developed nations
  issued a communique welcoming the reaffirmation of the Paris
  accord on currency stability by the Group of Seven leading
  industrial democracies yesterday.
      In the communique issued this morning, the G-10 said
  "prospects of member countries' economies would be improved by
  stability in the exchange rates of their currencies."
      The G-10 includes the group of seven - the United States,
  Canada, Britain, Japan, Italy, West Germany and France - plus
  Belgium, the Netherlands, Sweden and also Switzerland.
      Sources who attended the G-10 conference this morning said
  the reference to the latest G-7 agreement was especially added
  to the brief communique because currency stability will benefit
  all the G-10 members.
      The G-10 met briefly before the International Monetary Fund
  Interim Committee meeting scheduled for today.
  .
  

CANAM MANAC WINS 8.5 MLN DLR CONTRACT
  (The Canam Manac Group Inc) said its
  Canam Steel Works unit received a contract valued at 8.5 mln
  dlrs to supply steel trusses to (Canron Inc) for a new car
  plant in Ingersoll, Ontario.
      Canam Manac said it will produce the trusses at its Quebec
  and Ontario plants and delivery will be completed by August.
  

SPOT TIN EASIER ON EUROPEAN FREE MARKET
  Spot tin on the European free market was
  indicated in the easier range 4,200 to 4,230 stg per tonne, for
  high grade metal in warehouse Rotterdam, down 20 stg from
  yesterday's afternoon kerb close.
      Stability in sterling versus the dollar continued to apply
  pressure to a market which is coming close to testing a
  psychological chart support base at 4,200 stg, traders said.
      Dealers said major consumers still need to cover their May
  and June requirements but are holding out for even lower
  offers. Reported high grade tin business in London was confined
  to end April metal at 4,225 stg.
      Small-scale spot business was reported by West German
  operators at 12.60 and 12.63 marks per kilo although the market
  was still being undercut by Chinese material, which traded at
  one stage down to 12.54 marks per kilo, traders said.
  

DOLLAR ENDS LOWER IN LACKLUSTRE FRANKFURT
  The dollar drifted down to end one
  pfennig lower after a lacklustre session, held in limits by the
  lack of concrete news from the Group of Seven meeting and
  comments on the edge of the Washington IMF/World Bank meeting.
      Dealers said the communique early in the European morning
  from the G-7 meeting contained no significant new factors and
  although the dollar dipped it generally resisted further
  attempts to push it lower through the day.
      The U.S. Currency ended at 1.8270/80 marks, below
  yesterday's last 1.8365/75.
      Koch said the assessment of the dollar's direction was
  based on a global view, with operators paying most attention to
  comments by finance officials to see how closely they stated
  adherence to international agreements such as those set at the
  Plaza Hotel in 1985 and in Paris on February 22.
      Koch described the wording of the communique from the G-7
  as "soft as wax."
      Bundebank vice-president Helmut Schlesinger told Reuters in
  a telephone interview that the German central bank sees no
  current reason to change monetary course at present.
      Schlesinger was responding to questions following remarks
  yesterday by Bundesbank board member Claus Koehler and West
  Berlin state central bank president Dieter Hiss, which dealers
  said revived some speculation that German interest rate cuts
  may be under consideration.
      German call money was slightly softer today, at around 3.70
  pct after 3.80 yesterday.
      Some dealers said rates on new liquidity injections added
  via Bundesbank securities repurchase agreements may be cut next
  week. Hopes of a cut were dashed on Tuesday with an allocation
  at an unchanged 3.80 pct.
      But speaking of the pact tender rate next week, Schlesinger
  said, "since the central bank council gives its opinion on this
  theme only every 14 days, this is hardly probable."
      Euromark rates scarcely responded to the central bankers
  comments, with six months funds ending unaltered at around
  3-7/8 pct. Eurodollars for the same maturity rose a fractional
  1/16 pct from yesterday to around 6-11/16 pct.
      Sterling dipped to end at 2.952/956 marks after 2.960/965
  last night. The Swiss franc firmed slightly to 120.30/45 marks
  per 100 from 120.25/40, with the yen soaring however to
  1.2570/90 marks per 100 from 1.2515/35 yesterday.
      EMS currencies saw the French franc end unchanged from last
  night at 30.03/06 marks per 100, with the Belgian franc easing
  however to 4.829/831 marks per 100 from 4.831/833.
  

CONSOLIDATED PAPERS INC <CPER> 1ST QTR NET
  Shr 1.01 dlrs vs 1.08 dlrs
      Net 21,983,000 vs 23,434,000
      Sales 174.9 mln vs 161.7 mln
  

HUMANA <HUM> TO SELL MEDICAL OFFICES
  Humana Inc said it has agreed in
  principle to sell 68 MedFirst primary medical care facilities
  to <Primedical Corp> for undisclosed terms, with transfers
  taking place over the next four months.
      It said it retains 37 MedFirst offices, mostly in the
  Chicago area.
      The transaction is not expected to have any impact on
  earnings, Humana said.
  

MET-COIL SYSTEMS CORP<METS> 3RD QTR FEB 28 NET
  Shr seven cts vs nine cts
      Net 168,000 vs 206,000
      Sales 15.3 mln vs 10.9 mln
      Nine mths
      Shr 10 cts vs 38 cts
      Net 228,000 vs 649,000
      Sales 35.8 mln vs 32.5 mln
      Qtly div three cts vs three cts prior
      Pay April 30
      Record April 20
  

FORD RAISES QTLY PAYOUT 10 CTS/SHR TO 75 CTS

  FORD RAISES QTLY PAYOUT 10 CTS/SHR TO 75 CTS
  

LAWSON SEES NO CHANGE IN U.K. MONETARY POLICY
  British Chancellor of the Exchequer
  Nigel Lawson said he saw no immediate implications for British
  monetary policy arising from the Group of Seven meeting
  yesterday.
      "Exchange rate stability is in the U.K.'s interest," he told
  journalists.
      Asked what it meant for U.K. monetary policy, he said, "No,
  I do not think there are any immediate implications."
  

FORD MOTOR CO <F> RAISES QTLY PAYOUT
  Qtly div 75 cts vs 65 cts prior
      Pay June one
      Record May one
  

TALKING POINT/STEEL COMPANIES
  Steel stocks, which have had a healthy
  runup recently, still present some short term investment
  opportunities, according to some steel analysts.
      But others say the upturn, based on strong orders and firm
  prices this spring, has been strictly seasonal and will end
  soon. They recommend taking profits.
      "It's that time of year. This is strictly seasonal," said
  Charles Bradford of Merrill Lynch and Co. "Orders will be
  strong for about two months, and there are signs that some
  (order rates) are starting to dive already."
      But Dean Witter Reynolds Inc analyst Clarence Morrison sees
  some short-term potential in the group, which includes USX Corp
  <X>, Bethlehem Steel Corp <BS>, Armco Inc <AS> and Inland Steel
  Industries Inc <IAD>.
      "There is still some attractiveness to steels over the
  short- to intermediate-term based on improved order rates and
  rising prices," Morrison said. He only recommends one stock,
  however, Inland, which is modernizing steelmaking operations to
  make them more efficient.
      Despite his bearishness, Merrill's Bradford continues to
  recommend Armco, which he sees as a major turnaround.
      Armco's steelmaking operations are profitable, the balance
  sheet has been improved, and its oilfield equipment business
  has been slimmed and put in a joint venture with USX, Bradford
  noted. "It's not a high-quality investment situation yet but
  they've come a long way," he said.
      "We think the stock will do moderately better than the
  market," he said. Armco shares, trading off 1/4 at 10 today,
  could go to 12, and possibly as high as 15, he said.
      Bradford sees Armco earning 50 to 75 cts a share in 1987,
  before special gains from recouped investment tax credits,
  against losses last year.
      Armco's 1988 earnings could be significantly higher, he
  said.
      Bradford is recommending sale of USX shares. "We had a buy
  on it below 20 but when it gets to 28, let somebody else have
  it," he said.
      The steel and energy concern will earn about one dlr a
  share in 1987, about half of that coming from asset sales, and
  from two dlrs to 2.50 dlrs in 1988, Bradford said. "But a lot
  depends on oil prices," he added. About 60 pct of USX's sales
  come from oil and natural gas.
      Other analysts, including Michelle Galanter Applebaum of
  Salomon Brothers Inc, recommend USX. "The company's done a lot
  (of restructuring), more than the market's given them credit
  for," she said.
      She sees the stock going to the mid 30s or higher. USX was
  trading up 1/8 at 28-1/2. She predicts USX will earn 18 cts a
  share this year and 2.73 dlrs next year against large losses in
  1986.
      Applebaum, who is also positive on Armco and Inland, has
  been recommending the stocks since last November.
      Peter Marcus of Painewebber Inc is neutral on the group
  although he said the earnings outlook is improved through the
  third quarter.
      But he sees potential trouble beyond then. "I think (steel)
  prices on a bookings basis will start to drop by the summer,"
  he said.
      Applebaum of Salomon Brothers also sees some seasonal
  dropoff later in the year. "But there are more positives than
  negatives," she said, citing reduced capacity in the domestic
  industry, better prices, and a weaker dollar, which should
  cause steel imports to drop off slightly from last year.
  

DEKALB CORP <DKLBB> 2ND QTR FEB 28 NET
  Shr 20 cts vs 14 cts
      Net 2.4 mln vs 1.7 mln
      Revs 136.7 mln vs 174.4 mln
      Six Mths
      SDhr 72 cts vs 82 cts
      Net 8.6 mln vs 9.9 mln
      Revs 212.5 mln vs 268.8 mln
  

ABBOTT <ABT> SEES GAINS FROM WEAKER DOLLAR
  Abbott Laboratories Inc said
  its 1987 first quarter record results reflected continued
  productivity improvement, higher volume, better product mix and
  a weaker U.S. dollar.
      Abbott reported 1987 first quarter earnings rose to a
  record 142 mln dlrs or 62 cts a share on record sales of one
  billion dlrs.
      Research and development expenses, most of which was
  applied to diagnostic and pharmaceutical products, increased by
  23 pct to 78 mln dlrs, it said.
      Sales of pharmaceutical and nutritional products were 548
  mln dlrs in the first quarter, up 17.6 pct over a year ago,
  Abbott said. Hospital and laboratory product sales in the first
  quarter rose 14.1 pct to 456 mln dlrs, it said.
      First quarter sales in domestic markets advanced 11.5 pct
  to 688 mln dlrs while international sales jumped 27.1 pct to
  316 mln dlrs, Abbott said.
  

EASTERN DISTRIBUTIVE BEEF TRADE WEEKLY - USDA
  Demand good for moderate
  supplies of most beef cuts, However, limited interest noted for
  tenderloins/flank steaks. Yield grade 2-3 beef cuts, fabricated
  items, vacuum packed.
                            LBS    CHOICE
   ROUND CUTS -steady/up 11.00                 
   160 round, part bnls     50-85  few 137
   161 round, bnls          42-80  few 147
   161 diamond cut          49-85  few 149
   167 knuckle               8-15  few 148
   167a knuckle, peeled      8-15  few 163
   168 top inside round     14-26  165-175
   170 bottom gooseneck rnd 18-33  131-135
   More
  

BRAZIL COTTON CROP LOWER -- USDA REPORT
  Brazil's 1986/87 cotton crop estimate
  has been reduced to 710,000 from 735,000 tonnes (lint basis),
  the U.S. Agriculture Department's officer in Sao Paulo said in
  a field report.
      The report, dated April 7, said the reduction is based on
  an expected smaller harvest in the center-south region.
      The center-south crop is now estimated at 550,000 tonnes --
  25,000 tonnes below the previous estimate.
      Hot, dry weather during part of January and excessive rains
  in some areas in February reduced yield prospects and may have
  affected quality, the report said.
      Nearly 60 pct of the crop has been harvested in Parana and
  slightly less in Sao Paulo, it said. Cotton entering gins is of
  fairly good quality, according to trade sources, it said.
  

TREASURY'S BAKER SAYS TRADE, CURRENT ACCOUNT IMBALANCES "SIMPLY NOT SUSTAINABLE"

  TREASURY'S BAKER SAYS TRADE, CURRENT ACCOUNT IMBALANCES "SIMPLY NOT SUSTAINABLE"
  

EC AUTHORISES EXPORT 55,000 TONNES MAIZE,  MAXIMUM REBATE 130 ECUS/TONNE - TRADE SOURCES.

  EC AUTHORISES EXPORT 55,000 TONNES MAIZE,  MAXIMUM REBATE 130 ECUS/TONNE - TRADE SOURCES.
  

EC AUTHORISES EXPORT 65,000 TONNES BARLEY,  MAXIMUM REBATE 138.75 ECUS - BRUSSELS TRADE

  EC AUTHORISES EXPORT 65,000 TONNES BARLEY,  MAXIMUM REBATE 138.75 ECUS - BRUSSELS TRADE
  

RJR NABISCO FIRST QUARTER NET TO INCLUDE 208 MLN DLR GAIN, 209 MLN DLR CHARGE

  RJR NABISCO FIRST QUARTER NET TO INCLUDE 208 MLN DLR GAIN, 209 MLN DLR CHARGE
  

BRAZIL COCOA EXPORTERS UNLIKELY TO LIMIT SALES
  Brazilian cocoa exporters are not
  likely to follow the example of Cocoa Producers Alliance, CPA,
  members, who may limit sales of the product in an effort to
  boost world prices, trade sources said.
      They said a similar procedure was taken in the past in
  Brazil and that it did not work out according to plans.
      "The cocoa market is completely free. Unlike coffee, which
  is controlled through export registrations, cocoa exporters in
  Brazil operate at their own free will," a trade source said.
      The traders were responding to questions whether they would
  follow the example of CPA members meeting in Yaounde.
      The sources said the Banco do Brasil's Foreign Trade
  Department, CACEX, never interferes in the cocoa market by
  rejecting sales that do not meet certain price or shipment
  criteria.
      "The position of local producers is always to negotiate as
  they please. If they buy for ten and sell for eleven and think
  it's a good deal, they are free to go ahead," one source added.
  

HEALTH/REHABILITATION <HRP> SETS FIRST PAYOUT
  Health and Rehabilitation
  Properties Trust said its board declared an initial dividend of
  55 cts, including 50 cts for the first quarter just ended and
  five cts from its initial operating period that began December
  23.
      The dividend is payable May 30, record April 20.
  

U.S. TREASURY'S BAKER SAYS RATE SHIFTS ORDERLY
  Treasury Secretary James Baker said
  that changes in exchange rates have generally been orderly and
  have improved the prospects for a reduction in external
  imbalances to more sustainable levels.
      In remarks before the IMF's policy-making Interim
  Committee, Baker reiterated a Group of Seven statement last
  night that the substantial exchange rate changes since the
  Plaza agreement 18 months ago have "now brought currencies
  within ranges broadly consistent with economic fundamentals."
      Baker said, "These exchange rate shifts have generally been
  orderly, and have improved prospects for the reduction of
  external imbalances to more sustainable levels."
      As they are today, the trade and current account imbalances
  "simply are not sustainable," Baker told the ministers.
      He said that the Reagan administration was resisting "strong
  domestic pressure" for trade protection and was working closely
  with the U.S. Congress in crafting a trade bill.
      "While we cannot yet be sure of the outcome, we are doing
  what we can to ensure that the bill is not protectionist," he
  said.
      Baker also urged the International Monetary Fund's
  executive board to review possible modifications to the Fund's
  compensatory financing facility before the annual meeting this
  fall.
      "We should pay particular attention to the lack of
  continuing conditionality associated with the use of the CFF
  and to whether shortfalls in export earnings are indeed
  temporary," he said.
  

TIME <TL> TO SELL PART OF UNIT
  Time Inc said its Time-Life Video Inc
  subsidiary has agreed in principle to sell its institutional
  training business to Time-Life Video president William V.
  Ambrose for undisclosed terms.
      It said the business will operate as Ambrose Video
  Publishing.
  

SPRINKEL SAYS TAX HIKE WOULD NOT REDUCE DEFICIT
  Council of Economic Advisers chairman
  Beryl Sprinkel said the Reagan Administration remains strongly
  opposed to a tax increase, including 18 billion dlrs of new
  revenues in the budget plan by Congressional Democrats.
      "We believe that significant increases in taxes would not
  reduce deficits and could have adverse effects on growth,"
  Sprinkel told the House Rules Committee.
      He said the Administration wanted to continue its policy of
  gradually reducing deficits through restraining government
  spending and promoting economic growth. Sprinkel said cutting
  the budget deficit was the best way to lower the trade deficit.
  

ROYAL BUSINESS GROUP INC <ROY> 2ND QTR MARCH ONE
  Shr 49 cts vs five cts
      Shr diluted 45 cts vs five cts
      Net 651,000 vs 95,000
      Revs not given
      1st half
      Shr 57 cts vs one ct
      Shr diluted 53 cts vs one ct
      Net 781,000 vs 56,000
      Revs not given
      NOTE: Current year net both periods includes gain 873,000
  dlrs from repurchase of securities.
      Results exclude Business Forms Division, which is to be
  sold.
  

<MSE CABLE SYSTEMS INC> 4TH QTR NET
  Shr nil vs nil
      Net 18,534 vcs 27,431
      Revs 270,032 vs 188,326
      Avg shrs 6,598,871 vs 6,090,576
      Year
      Shr nil vs nil
      Net 47,299 vs 21,570
      Revs 1,004,392 vs 677,909
      Avg shrs 6,618,063 vs 5,931,324
      NOTE: Share adjusted for one-for-11 reverse split.
  

RULE INDUSTRIES INC <RULE> 2ND QTR FEB 28 NET
  Shr 17 cts vs 10 cts
      Net 408,000 vs 237,000
      Revs 8,863,000 vs 6,738,000
      1st half
      Shr 27 cts vs 15 cts
      Net 647,000 vs 356,000
      Revs 17.2 mln vs 12.5 mln
  

NEW JERSEY INVESTOR BUYS 5.2 PCT OF KINARK <KIN>
  A New Jersey investor, Joseph
  Falkenstein, told the Securities and Exchange Commission he
  holds 5.2 pct of the shares of Kinark Corp.
      He said he has no plans to change the company and that he
  bought the shares because he believed the stock was undervalued
  and would rise in the next six months.
  

NATIONAL DISTILLERS <DR> SEES SECOND QTR GAIN
  National Distillers and Chemical Corp
  expects to realize a second quarter after-tax gain of four dlrs
  per share from the 545 mln dlr sale of its spirits business to
  American Brands Inc <AMB>.
      National Distillers' stock rose 1-1/8 to 65-1/2, after an
  opening delay on the New York Stock exchange for an imbalance
  of orders.
      "I think the sales price was higher than most people
  expected," said John Henry of E.F. Hutton Group.
      A company spokeswoman said the four dlr per share gain will
  be included in second quarter net, which compares with 31 cts
  per share last year, including the spirits and wine business
      "They netted over 700 mln dlrs for spirits and wine. That
  will ease their interest cost burden," said Henry.
      National Distillers sold its wine business last month to
  Grand Metropolitan PLC's Heublein Inc for 128 mln dlrs.
      Henry said he had anticipated National Distillers would net
  only 600 mln dlrs at the most from the sale of the two liquor
  businesses.
      Henry said the company recovered from the sales the cost of
  buying Enron Chemicals in the fourth quarter last year.
  National Distillers paid 570 mln dlrs cash for Enron and
  assumed 34 mln dlrs in debt. National Distillers said at the
  time it bought Enron it would sell the spirits and wine
  businesses, moving more into the chemical area.
      For 1986, two thirds of income were from chemicals and
  propane. National Distillers earned, excluding the liquor
  businesses, 2.21 dlrs per share for 1986. Income from
  discontinued operations, including the liquor businesses, was
  67 cts per share.
  

WEATHER HURTS ITALIAN ORANGES - USDA REPORT
  Unfavorable weather conditions during
  the second week of March caused damage to oranges in the
  Calabria region in southern Italy, the U.S. Agriculture
  Department's officer in Rome said in a field report.
      The report, dated April 3, said the region accounts for
  about 22,000 hectares of the Italian orange crop or about 26
  pct of total production.
      However, orange production in the region for marketing year
  1986/87 is forecast at 565,000 tonnes or 25 pct of the total
  Italian orange crop, it said.
      The report said trade contacts agree that about 15 pct of
  the orange output in Calabria was damaged by frost.
  

EC GRANTS FREE MARKET BARLEY, MAIZE EXPORTS
  The European Commission authorised the
  export of 65,000 tonnes of free market barley at today's tender
  at a maximum rebate of 138.75 European currency units and
  55,000 tonnes of French maize at 130 Ecus, grain traders here
  said.
      It rejected bids for breadmaking and feed wheat, they said.
  

FED BUYING DOLLARS FOR YEN IN OPEN MARKET, NEW YORK DEALERS SAY

  FED BUYING DOLLARS FOR YEN IN OPEN MARKET, NEW YORK DEALERS SAY
  

WASTE RECOVERY INC <WRII> 4TH QTR NET
  Shr loss eight cts vs loss nine cts
      Net loss 311,255 vs loss 157,941
      Revs 546,069 vs 284,636
      Avg shrs 3,790,235 vs 1,819,680
      Year
      Shr loss 27 cts vs loss 24 cts
      Net loss 858,624 vs loss 399,385
      Revs 1,491,518 vs 1,407,441
      Avg shrs 3,175,157 vs 1,692,700
  

BRANCH CORP <BNCH> 1ST QTR NET
  Shr primary 99ct vs 82 cxts
      Shr diluted 93 cts vs 78 cts
      Net 7,784,000 vs 6,357,000
      Assets 3.25 billion vs 2.74 billion
      Deposits 2.58 billion vs 2.24 billion
      Loans 2.20 billion vs 1.81 billion
  

KURZ-KASCH UPS STAKE IN COMPONENT TECH <CTEC>
  Kurz-Kasch Inc, a Dayton thermoset
  molding maker, told the Securities and Exchange Commission it
  had increased its holdings in Component Technology Corp by two
  pct, to 9.3 pct.
      It said it bought the 39,000 shares of stock at 5.30-6.875
  dlrs a share for investment purposes.
  

BRAZIL SOYBEAN YIELDS SEEN AVERAGE - USDA REPORT
  Based on field travel in the
  Brazilian state of Parana, soybean yields should be about
  average or 2.0 to 2.2 tonnes per hectare, the U.S. Agriculture
  Department's officer in Sao Paulo said in a field report.
      The report, dated March 24, noted Parana accounts for about
  20 to 24 pct of Brazil's total soybean crop.
      It said generally favorable weather from early December
  through February helped compensate for earlier dryness.
      However, hot, dry weather during the past 20 to 30 days
  followed by an unseasonably brief cold spell during the second
  week of march has raised concern about late planted soybeans
  which are still immature, but the impact may be localized, the
  report said.
      The corn crop is expected to be a record and will create
  serious storage problems, the report said.
      Due to favorable support prices, corn area increased by
  more than 25 pct at the expense of soybeans, and yields are
  expected to be above average, it said.
      Due to late plantings only about 20 pct of the corn crop
  crop has been harvested.
      During the field trip long truck lines were noted at grain
  elevators where preference is given to soybeans over corn, the
  report said.
      New crop wheat plantings are expected to decline  -- Parana
  accounts for about 60 pct of total production. Major reasons
  for the decline are expected reduced government support price
  and good summer crop harvests.
  

ZAYRE CORP <ZY> RAISES QUARTERLY
  Qtly div 10 cts vs eight cts prior
      Pay June Four
      Record May 14
  

FED SEEN BUYING DOLLARS FOR YEN IN OPEN MARKET
  The Federal Reserve was detected buying
  dollars for yen in the open market as the dollar fell to a
  40-year low of 144.60 yen in nervous late morning trading,
  currency dealers said.
       They said the size of the intervention was relatively
  modest so far but it was a clear indication that the U.S.
  remained committed to the late February Paris currency
  stabilization accord, which was reaffirmed in Washington last
  night.
      A Fed spokeswoman had no comment on the dealer reports.
      The dollar hovered around 144.70 just before midday.
  

RJR NABISCO <RJR> HAS OFFSETTING GAINS, CHARGES
  RJR Nabisco Inc said its
  1987 first quarter results will include an after-tax gain of
  208 mln dlrs from the sale of Heublein Inc and offsetting
  charges.
      The company said its operations are performing well and in
  line with expectations.
      RJR Nabisco said the charges reflect reserves it
  established to cover certain expenses.
      RJR Nabisco said the expenses covered, on after-tax basis,
  include --
      -- 50 mln dlrs for the write-down of redundant equipment
  and facilities resulting from modernization of its U.S. tobacco
  operations,
      -- 79 mln dlrs for continuing restruction of its food
  subsidiaries, and
      -- 80 mln dlrs in connection with the early retirement of
  high coupon debt.
  

BAYBANKS INC <BBNK> 1ST QTR NET
  Oper shr 1.08 dlrs vs 96 cts
      Oper shr diluted 1.02 dlrs vs 89 cts
      Oper net 16.1 mln vs 12.8 mln
      Avg shrs 14.9 mln vs 13.4 mln
      Avg shrs 16.1 mln vs 14.8 mln
      NOTE: 1987 net excludes gain 4,820,000 dlrs from cumulative
  effect of change in calculating depreciation expense.
  

FRANCE'S BALLADUR SAYS TARGET ZONE NOTION NEARER
  French Finance Minister Edouard
  Balladur said that the financial community is closer to
  arriving at a system of target zones for currencies despite the
  fact that little is being said about them.
      Speaking with reporters at the semiannual meetings of the
  International Monetary Fund, Balladur said, "We are not very far
  from the notion of target zones, even if we don't say so."
      He told reporters that "our ideas are progressing," adding
  that the finance ministers have been talking about more
  cooperation on economic policies and on levels around which
  currencies should stabilize.
  

STUDENT LOAN MARKETING ASSOCIATION <SLM> 1ST QTR
  Shr 95 cts vs 71 cts
      Net 42.4 mln vs 34.5 mln
      Assets 18.61 billion vs 15.66 billion
  

FIRE AT TATE/LYLE LONDON JETTY HALTS UNLOADING
  No raw sugar is being unloaded at Tate
  and Lyles refinery at Silvertown on the River Thames following
  a fire yesterday afternoon, Tate and Lyle Plc said.
      The fire destroyed a large sector of the main conveyor from
  the raw sugar jetty to the weighhouse.
      The company said it is not yet known how long the jetty
  will be out of use but it hoped that by tomorrow unloading of
  the bulk carrier Mykon Wave will be able to continue using
  temporary arrangements, Tate and Lyle said.
      The Mykon Wave arrived in the port recently with about
  18,300 tonnes of bulk sugar from Maputo in Swaziland. About
  1,600 tonnes remain to be discharged.
      Five other ships loaded with raw sugar are awaiting at
  Silvertown to be discharged, Tate and Lyle added.
  

JP INDUSTRIES <JPI> CONFIRMS PROPOSAL
  JP Industries Inc confirmed the
  announcement by Clevite Industries Inc <CLEV> that JP
  Industries has submitted a proposal to Clevite for the
  acquisition of the company at 13.50 dlrs per share in cash.
      John Psarouthakis, chairman and president of JP Industries,
  said that the company hopes to promptly negotiate an agreement
  with the special committee of Clevite's board.
      In February, JP Industries said it purchased Clevite's
  engine parts division.
      JP Industries said it is not aware of any other reason for
  activity in its stock.
  

MEDITRUST <MTRUS> RAISES QUARTERLY
  Qtly div 43 cts vs 38 cts prior
      Pay May 15
      Record April 30  
  

MONSANTO <MTC> UNIT SEES OPERATING LOSS IN 1987
  Monsanto Corp's G.D. Searle and Co unit
  said it will report an operating loss for 1987, mainly due to
  expenses for research and development.
      Searle chairman Sheldon Gilgore said Searle's operating
  loss in 1987 will be less than the 87 mln dlr operating loss in
  1986.
      He said Searle's first quarter sales will be up 21.8 pct to
  179 mln dlrs from 147 mln dlrs in the year ago quarter. In 1986
  Searle's sales were 665 mln dlrs.
      Gilgore said the company intends to have sales of three
  billion dlrs by the mid-1990s.
      He said the company anticipates approval in Japan, the
  U.S., Italy, Spain and the U.K. for its ulcer treatment drug
  Cytotech.
      He also said that in a paper not yet published the drug was
  shown to prevent a flare-up of ulcers for a longer period of
  time than Tagamet, made by SmithKline Beckman Corp <SKB>.
      Other drugs in Searle's pipeline include tissue plasminogen
  activator (TPA), made by a different process than Genentech's
  <GENE> TPA, expected to be approved for marketing this year.
  

STATUS GAME CORP <STGM> 3RD QTR FEB 28 NET
  Oper shr six cts vs one ct
      Oper net 194,109 vs 28,751
      Revs 2,731,688 vs 347,134
      Avg shrs 3,360,527 vs 2,295,359
      Nine mths
      Oper shr 11 cts vs five cts
      Oper net 356,571 vs 111,545
      Revs 5,923,907 vs 1,491,852
      Avg shrs 3,296,982 vs 2,289,762
      NOTE: Share adjusted for 10 pct stock dividend in December
  1986. Prior year net excludes tax credits of 5,775 dlrs in
  quarter and 17,325 dlrs in nine mths.
      Net excludes discontinued amusement game operations gains
  144,095 dlrs vs 70,194 dlrs in quarter and loss 2,952,814 dlrs
  vs gain 196,872 dlrs in nine mths.
  

UNIVERSAL FOODS CORP <UFC> VOTES DIVIDEND
  Qtly div 20 cts vs 20 cts prior qtr
      Pay 6 May
      Record 21 April
  

BETZ LABORATORIES INC <BETZ> SETS QUARTERLY
  Qtly div 35 cts vs 35 cts prior
      Pay May 14
      Record April 30
  

NORTHWESTERN NATIONAL LIFE <NWNL> UPS PAYOUT
  Qtly div 24 cts vs 21-1/2 cts prior
      Pay May 15
      Record April 24
      NOTE: Northwestern National Life Insurance Co.
  

GRAIN SHIPS WAITING AT NEW ORLEANS
  Ten grain ships were loading and 14
  were waiting to load at New Orleans elevators, trade sources
  said.
   ELEVATOR                     LOADING  WAITING
   Continental Grain, Westwego     1      6
   Mississippi River, Myrtle Grove 1      0
   ADM Growmark                    1      4
   Bunge Grain, Destrehan          1      0
      ELEVATOR                LOADING  WAITING
   ST CHARLES DESTREHAN         1      1
   RESERVE ELEVATOR CORP        1      0
   PEAVEY CO, ST ELMO           1      0
   CARGILL GRAIN, TERRE HAUTE   2      1
   CARGILL GRAIN, PORT ALLEN    0      0
   ZEN-NOH                      1      2
  

FOOTHILL <FGI>, SIERRITA IN STANDSTILL ACCORD
  Foothill Group Inc said it reached a
  standstill agreement with Santa Cruz Resources Inc and its
  parent, Sierrita Resources Inc, that bars the companies from
  acquiring more than a 30 pct interest in Foothill, except
  through a business combination approved by Foothill's board.
      The company also said Santa Cruz has advised it that it
  owns 24.7 pct of Foothill's outstanding common stock.
      In addition, Santa Cruz and Sierrita have agreed to vote
  their shares in accordance with instructions from the Foothill
  board in connection with certain business combinations and
  certain anti-takeover matters, Foothill said.
      Foothill said the arrangement also bars Santa Cruz and
  Sierrita fron tendering any Foothill securities owned by them
  into any tender offer unless certain unspecified conditions are
  met.
  

FIRST FEDERAL OF MICHIGAN <FFOM> 1ST QTR NET
  Shr 3.33 dlrs vs 3.39 dlrs
      Net 37,069,000 vs 36,902,000
      Avg shrs 10.95 mln vs 10.05 mln
  

COLONIAL BANCGROUP <CLBGA> MAKES ACQUISITION
  Colonial BancGroup said it has
  signed letter of intent to acquire Community Bank and Trust of
  Hartselle, Ala., with assets of 26 mln dlrs, for undisclosed
  terms, subject to approval by regulatory authorities and
  Community Bank shareholders.
      Completion is expected within the next year, it said.
  

FAB INDUSTRIES INC <FIT> 1ST QTR FEB 28 NET
  Shr 69 cts vs 67 cts
      Net 2,488,000 vs 2,435,000
      Revs 27.6 mln vs 26.5 mln
  

EC COMMISSION AUTHORISED TO BUY MAIZE IN JUNE
  The European Commission was authorised
  to buy up to one mln tonnes of maize into intervention stores
  in the second half of June, although sales into intervention
  normally end on April 30, Commission sources said.
      They said approval was given by the EC's Cereals Management
  Committee because of the possible disturbance of the market due
  to heavy imports of maize under the agreement between the EC
  and the United States.
      The agreement guarantees access to the Spanish market for
  two mln tonnes of non-EC maize a year for the next four years.
      The sources said the intervention price for the maize would
  be 201.49 Ecus a tonne.
      They said at this price it seemed unlikely that the full
      They added the decision is also designed to prevent massive
  offers of maize for intervention just ahead of the normal April
  30 deadline, which could be caused by speculation about the
  implementation of the accord with the United States.
  

JAPAN BUYS 5,000 TONNES CANADIAN RAPESEED
  Japan bought 5,000 tonnes Canadian
  rapeseed overnight at an undisclosed price for May shipment,
  trade sources said.
  

NORTHERN TRUST CORP <NTRS> 1ST QTR NET
  Shr 87 cts vs 73 cts
      Net 14.7 mln vs 11.7 mln
      Assets 8.38 billion vs 7.43 billion
      Loans 3.91 billion vs 3.40 billion
      Deposits 5.60 billion vs 5.08 billion
  

COLOMBIA JAN EXPORTS UP BUT COFFEE VALUES FALL
  The value of colombian exports other than
  coffee rose 55 pct in january compared with the same period
  last year, apparently setting a trend for the trade balance in
  1987, government statistics institute figures show.
      They amounted to 180.8 mln dlrs fob compared with 147.5 mln
  dlrs for coffee, a drop of 42 pct from last year.
      The trade balance registered a 35 mln dlr surplus, compared
  with a 56 mln dlr surplus in january 1986.
      The national planning department forecast that in 1987
  coffee, colombia's traditional major export, will account for
  only one-third of total exports, or about 1.5 billion dlrs.
  

LONDON GRAIN FREIGHTS
  27,000 long tons
  USG/Taiwan 23.25 dlrs fio five days/1,500 1-10/5 Continental.
      Trade Banner - 30,000 long tons grain USG/Morocco 13.50
  dlrs 5,000/5,000 end-April/early-May Comanav.
      Reference New York Grain Freights 1 of April 8, ship
  brokers say the vessel fixed by Cam from the Great Lakes to
  Algeria at 28 dlrs is reported to be the Vamand Wave.
      Reference New York Grain Freights 2 of April 8, they say
  the Cory Grain maize business from East London at 22 dlrs is to
  Japan and not to Spain as reported.
  

LONDON SUGAR FREIGHTS
  TBN 14,00 mt bulk sugar
  Fiji/Prai 16 dlrs fio 10,000/1,000 1-10/5 Fiji Sugar Marketing.
      TBN 15,000 mt bulk sugar Queensland/Japan 14.65 dlrs fio
  10,000/1,000 20-30/4 CSR.
      ENQUIRIES - Antwerp/1-3 ports Greece 40,000 mt bagged sugar
  indications 750/750 in shipments of 10,000/15,000 tonnes spread
  from May to July a/c unnamed charterer.
      Inchon/India 12,600 mt bagged sugar 1,000/1,000 20/4-5/5
  a/c Kaines.
      Reunion/1-2 ports Portugal 10,000 mt bulk sugar about 20
  dlrs 2,000/750 1-10/5 a/c French charterer.
  

LONDON GRAIN FREIGHT ENQUIRIES
  Antwerp/Libya 5,500 mt bagged flour 14
  daps 24-27/4.
      New Orleans/Guanta 9,387 mt bulk hss 3,000/13 days
  25-4/5-5.
      Naantali/Saudi Red Sea 30,000/35,000 mt barley 4,000/3,000
  20-30/4 or early May.
      Dunkirk/Xingang 12,000 mt bagged flour 1,500/1,700 13-20/4.
      Toledo/Seaforth 17,000 mt hss offers 18.50 dlrs four
  days/8,000 13-15/4.
      River Plate/Malaysia 20,000/22,000 long tons hss
  2,000/2,000 Apr.
  

HOME SAVINGS BANK <HMSB> 1ST QTR NET
  Shr 51 cts vs not given
      Net 6,089,000 vs 7,310,000
      NOTE: Company went public in November 1986.
      Net includes loan loss provisions of 75,000 dlrs vs 30,000
  dlrs and gains on sale of securities of 756,000 dlrs vs
  2,468,000 dlrs pretax.
      1986 net includes tax credit 1,022,000 dlrs.
      1987 net includes 2,400,000 dlr gain from tax credit
  resulting in reduction of goodwill.
  

AMOSKEAG BANK SHARES INC <AMKG> 1ST QTR NET
  Shr 70 cts vs 67 cts
      Net 6,416,000 vs 6,057,000
      NOTE: Net includes pretax securities sales gains of
  5,900,000 dlrs vs 5,900,000 dlrs.
  

MSR EXPLORATION LTD <MSR> YEAR LOSS
  Shr loss five cts vs profit 10 cts
      Net loss 381,391 vs profit 736,974
      Revs 6,161,391 vs 9,241,882
      NOTE: Canadian dollars.
      Proved oil reserves at year-end 3.3 mln barrels, up 39 pct
  from a year earlier, and natural gas reserves 4.7 billion cubic
  feet, off nine pct.
  

SOUTHMARK <SM> TO OFFER SPECIAL DIVIDEND
  Southmark Corp said it will issue its
  shareholders a special dividend right to acquire 22 shares of
  American Realty Trust <ARB> for each 100 shares of Southmark
  they own.
      Each right entitles the holder to buy one share of
  beneficial interest of American Realty Trust at a price of 3.75
  dlrs per share, Southmark said.
      Southmark said the offer's record date is May 1, with an
  ex-dividend date of April 27, adding that the it will issue the
  rights to shareholders on May 6 and the offer will expire on
  May 22.
      Southmark said it received the rights on April 6 as the
  holder of about 84 pct of American Realty Trust's outstanding
  shares.
      Holders of fewer than 455 Southmark shares who would
  receive rights to acquire fewer than 100 American Realty shares
  will be paid cash in lieu of the rights distribution, the
  company said.
      Southmark said it will compute the cash price paid based on
  the average closing market price of the rights on the American
  Stock Exchange for the first ten days the rights are traded,
  beginning April 6.
      In order to get the dividend for these rights a Southmark
  shareholder must own common stock on the ex-dividend date,
  April 27, the company said.
      After that, Southmark said its common stock will be traded
  on an ex-rights basis.
  

EXPORTS OTHER THAN COFFEE RISE SHARPLY IN COLOMBIA
  Colombian exports other than coffee rose
  55 pct in January compared with the same period last year,
  figures from the government statistics institute show.
      Non-coffee exports amounted to 180.8 mln dlrs fob compared
  with 147.5 mln dlrs for coffee, a drop of 42 pct from last
  year.
      The trade balance registered a 35 mln dlr surplus, compared
  with a 56 mln dlr surplus in January 1986.
      The national planning department forecast that in 1987
  coffee, Colombia's traditional major export, will account for
  only one third of total exports, or about 1.5 billion dlrs.
  

TAFT BROADCASTING <TFB> COMPLETES STATION SALE
  TVX Broadcast Group Inc
  <TVXG> said it has completed the previously-announced purchase
  of five Taft television stations.
      Last week, TVX said the sale, which was scheduled to close
  then, had been delayed.
      Taft said the purchase price was 240 mln dlrs, as
  previously announced. The price is subject to final
  adjustments, Taft said.
      Taft did not indicate the size of the gain, if any, it
  would post on the sale.
      It said the stations are WTAF-Philadelphia,
  WDCA-Washington, WCIX-Miami, KTXA-Dallas and KTXH-Houston.
  

U.S. MARCH RETAIL SALES CUT BY LATE EASTER
  U.S. retailers' lackluster March sales
  were due to a late Easter, according to analysts who expect a
  recovery in April.
      "Sales look soft because of the Easter shift, but
  underlying business is better than the numbers indicate," said
  Bear Stearns analyst Monroe Greenstein.
       Analysts generally average the sales results of March and
  April to account for the variation of Easter's occurance. This
  year, Easter is being observed on April 19, which is three
  weeks later than last year.
      Analyst Edward Johnson of Johnson Redbook Associates said
  sales for March rose an unadjusted 2.5 to 3.0 pct, and a
  seasonally adjusted 5.5 pct to six pct, compared to an adjusted
  5.7 pct last year.
      "The obvious question is whether these numbers indicate
  that the consumer activity is slowing, but it does not appear
  to be because liquidity and employment are rising," said
  analyst Jeff Edelman, analyst of Drexel Lambert and Burnham.
      Overall, analysts said first half sales are coming in
  according to expectations. Sales for all of 1987 are expected
  to rise about 5.5 pct to six pct, up a bit from 1986's rise.
       In March, sales of housewares, furniture and big ticket
  items were stronger than apparel sales, signaling to many
  analysts that apparel sales will be strong in April as the
  holiday nears.
      "Sales gains in home appliances and home fashions reflect a
  continuing strength in the housing market," said Edward
  Brennan, chairman of Sears Roebuck and Co <S> which reported an
  overall sales gain of 4.2 pct. Brennan said sales of women's
  sportswear were also excellent.
      "Sears' total apparel sales was up only modestly, but even
  a modest improvement in apparel is a very good accomplishment
  due to the fact that most people will buy apparel in April,"
  said C.J. Lawrence analysts Harry Mortner. 
      J.C. Penney Co Inc <JCP> and Dayton Hudson Corp <DH> were
  among the weaker performers with comparable stores sales
  declining 1.5 pct and 4.9 pct, respectively. Penney's store and
  catalog sales declined 1.3 pct overall and Dayton Hudson's
  overall sales rose 4.8 pct.
      Penney chairman William Howell said, "Sales continued
  strong for catalog operations and, geographically, ranged from
  very active in the east to weak in the economically depressed
  southwest."
      "Penney's been shifting away from leisure time activity
  wear to other apparel lines, which yield higher profit margins,
  but are currently hurting sales," said Greenstein of Bear
  Stearns.
      Hudson chairman Kenneth Mackes cited the late Easter for
  the decline. Edelman of Drexel said that "Hudson had a tougher
  comparison because it had an exceptionally good 1986."
      Most analysts agreed that promotions are slightly lower
  than last year.
      "Retailers are not planning for much - inventories are
  being kept lean, markdowns are lower than last year, but sales
  are coming through anyway," said CJ Analyst Harry Mortner.
      Mortner said he expects profits in the first quarter to  
  be better than he had originally expected in the beginning of
  the year.
      Most retailers report their first quarter in the middle of
  May.
       MARCH RETAIL SALES FOR MAJOR U.S. RETAILERS
      STORE       PCT        1987       1986
      SEARS       4.2     2.6 BIL       2.5 BIL 
      K MART      4.6     2.2 BIL       2.1 BIL 
      JC PENNEY  (1.3)    1.1 BIL       1.1 BIL 
      WAL-MART     32     1.1 BIL       855 MLN
      FEDERATED   4.9     934 MLN       891 MLN
      MAY         3.5     885 MLN       855 MLN
      DAYTON      4.8     792 MLN       756 MLN
      WOOLWORTH   0.2     591 MLN       590 MLN
      ZAYRE      12.7     522 MLN       464 MLN
  

FIRST INTERSTATE EXPECTS BRAZIL, ECUADOR LOAN ACTIONS TO CUT 1987 NET BY 15.4 MLN DLRS

  FIRST INTERSTATE EXPECTS BRAZIL, ECUADOR LOAN ACTIONS TO CUT 1987 NET BY 15.4 MLN DLRS
  

MOROCCO TENDERS FOR 55,000 TONNES PL 480 SOYOIL
  Morocco is scheduled to tender April 14
  for a total of 55,000 tonnes of U.S. soyoil under PL-480 for
  shipments from May through September, private export sources
  said.
      The tender calls for shipment of 6,100 tonnes in May,
  12,200 tonnes each in June, July and August and 12,300 tonnes
  in September, they said.
  

MIDLANTIC CORP <MIDL> 1ST QTR NET
  Shr diluted 1.18 dlrs vs 1.04 dlrs
      Net 45.0 mln vs 39.2 mln
      Assets 16.7 billion vs 15.2 billion
      Deposits 13.0 billion vs 12.1 billion
      Loans 11.9 billion vs 10.1 billion
      NOTE: Results restated for merger of Midlantic Banks Inc
  and Continental Bancorp Inc on January 30, 1987.
  

COMMUNITY BANK SYSTEM INC <CBSI> 1ST QTR NET
  Shr 46 cts vs 49 cts
      Net 1,101,551 vs 831,398
      NOTE: Share adjusted for two-for-one stock split in May
  1986.
  

FITCHBURG GAS <FGE> RAISES QUARTERLY
  Qtly div 38 cts vs 35 cts prior
      Pay May 15
      Record May One
  

NORTHERN TRUST <NTRS> NET HURT BY BRAZIL LOANS
  Northern Trust Corp said its first
  quarter earnings were reduced by 875,000 dlrs by placing 53.2
  mln dlrs of loans to Brazil and six mln dlrs in loans to
  Ecuador on a cash basis.
      Should these loans remain on nonperforming basis for the
  rest of 1987, net income for year will be cut by about 3.2 mln
  dlrs, the bank said.
      Earlier it posted net income for the period of 14.7 mln
  dlrs or 87 cts a share, up from 11.7 mln dlrs or 73 cts a
  share.
      Total nonperforming assets were 114.1 mln dlrs at March 31,
  up from 53.4 mln dlrs at December 31 and 79 mln dlrs at March
  31, 1986 the bank said.
      The provision for loan losses for the first quarter was
  eight mln dlrs compared to 11 mln a year ago. Net loan charge
  offs were six mln dlrs, down from 11 mln dlrs a year ago.
      The reserve for loan losses was 78.1 mln dlrs, or two pct
  of outstanding loans, higher than the 56 mln dlrs of 1.65 pct
  of loans outstanding at March 31, 1986.
  

DOE RUN RAISES LEAD PRICE 0.50 CT TO 26.50 CTS
  Doe Run Company said it is
  increasing the price of its corroding grade lead by one-half
  cent to 26.50 cents a lb, effective immediately.
      The price is quoted FOB, Herculaneum, Mo., and FOB, Boss,
  Mo., with freight allowed for carload quantities.
  

SPAIN'S FOREIGN RESERVES RISE IN FEBRUARY
  Spain's foreign reserves rose by 905 mln
  dlrs in February to total 17.05 billion dlrs, compared with
  14.11 billion dlrs in February 1986, Bank of Spain figures
  show.
      Under a new accounting system introduced this month,
  Spain's foreign reserves now exclude foreign currency held by
  financial institutions.
      Under the previous system, Spain's foreign reserves would
  have risen by 391 mln dlrs in February, taking into account a
  fall of 514 mln dlrs in financial institutions' foreign
  currency position.
      In January this year, the Central Bank's foreign reserves
  rose by 143 mln dlrs, while financial institutions' foreign
  currency position fell by 118 mln dlrs.
  

<SULPETRO LTD> 1ST QTR JAN 31 LOSS
  Shr not given
      Net loss 9,900,000 vs loss 17,300,000
      Revs 14.7 mln vs 29.8 mln
      Note: Previous loss restated.
  

WESTERN FEDERAL SAVINGS BANK <WFPR> 1ST QTR NET
  Shr 74 cts vs 92 cts
      Net 1,300,450 vs 1,600,258
      NOTE: Share adjusted for 10 pct stock dividend in July
  1986.
      Company based in Mayaguez, Puerto Rico.
  

FINAL TEST INC <FNLT> 4TH QTR LOSS
  Shr loss six cts vs loss 88 cts
      Net loss 123,840 vs loss 1,298,377
      Revs 1,333,416 vs 385,146
      Year
      Shr profit six cts vs loss 1.47 dlrs
      Net profit 124,872 vs loss 2,171,011
      Revs 4,618,232 vs 2,959,141
  

PROTECTIVE LIFE <PROT> IN ACQUISITION
  Protective Life Corp said it
  has signed a letter of intent to assume <Liberty Life Insurance
  Co's> group insurance on July 1, subject to regulatory
  approvals.
      Terms were not disclosed.
  

A.O. SMITH CORP <SMC> SETS QUARTERLIES
  Qtly divs Class A and B 20 cts vs 20 cts
      Pay May 15
      Record April 30
  

CENTRAL BANCORP INC <CBAN> 1ST QTR NET
  Shr 1.02 dlrs vs 78 cts
      Net 14.4 mln vs 11.0 mln
      NOTE: 1987 net includes gain 2,222,000 dlrs from
  termination of pension plan.
      Results restated for pooled acquisitions and share adjusted
  for stock dividends.
  

<EMCOR> COMPLETES SALE OF STOCK TO INVESTORS
  Emcore said it completed
  the sale of 4.1 mln dlrs of stock to Citicorp Venture Capital
  Ltd, Concord Ventures of Dillon Read and Co and private
  investors.
  

VLSI TECHNOLOGY INC <VLSI> 1ST QTR NET
  Shr seven cts vs six cts
      Net 1,612,000 vs 1,406,000
      Revs 38.2 mln vs 34.3 mln
      Avg shrs 23,742,000 vs 22,945,000
  

BELGIAN CURRENT ACCOUNT SURPLUS WIDENS IN 1986
  Belgium's current account surplus,
  measured on a cash basis, widened sharply to 134.9 billion
  francs last year from 17.5 billion in 1985, the Finance
  Ministry said.
      The increase was due almost entirely to a sharp rise in the
  goods trade surplus to 126.1 billion francs from 20.4 billion.
      The services trade surpluses increased to 52.4 billion
  francs from 38.9 billion while the deficit on transfers rose
  slightly to 43.6 billion from 41.8 billion.
      Private sector capital operations showed a steeply higher
  deficit of 160.7 billion francs after 56.9 billion in 1985.
  

SILICON SYSTEMS INC <SLCN> 2ND QTR MARCH 28
  Shr profit five cts vs profit two cts
      Net profit 325,000 vs profit 105,000
      Revs 19.5 mln vs 16.1 mln
      Six Mths
      Shr profit nine cts vs loss 35 cts
      Net profit 627,000 vs loss 2,280,000
      Revs 36.9 mln vs 27.4 mln
  

DISEASE PUTS ZIMBABWE BEEF EXPORTS IN JEOPARDY
  Zimbabwe's beef exports to the European
  Community (EC), potentially worth 70 mln Zimbabwean dlrs this
  year, may be jeopardised by an outbreak of foot and mouth
  disease in southwestern Matabeleland, industry sources said.
      The country has temporarily suspended beef exports to the
  EC because of the outbreak and awaits a decision from the EC
  veterinary committee, which is considering a formal ban.
      The outbreak in the country's main ranching province has
  already led neighbouring beef-producing Botswana and Zambia to
  bar beef and dairy imports from Zimbabwe, threatening the dairy
  industry with a loss of at least one mln dlrs in export
  revenue.
      "The situation is still uncertain at the moment. Normally
  when an outbreak occurs there is an automatic suspension of
  beef exports," one industry source said yesterday.
       Commenting on EC policy, he explained, "Depending on the
  seriousness of the outbreak the (veterinary) committee then
  decides on three options, allowing us to continue exporting
  beef from disease-free areas, clamping a three-month suspension
  on exports or banning us from exporting for a year. We are
  still awaiting their decision," he added, asking not to be
  identified.
      Zimbabwe was granted an export quota of 8,100 tonnes of
  high-grade beef to EC markets in 1985 after the country had
  spent millions of dollars erecting disease-control fences and
  upgrading abattoirs to meet stringent EC rules.
      Should the EC ban Zimbabwean exports, the country will be
  forced to sell its beef on glutted world beef markets at low
  prices, the source said. Projected earnings from beef sales
  could fall about 23 mln dlrs as a result, he said.
  

SHAWMUT CORP <SHAS> 1ST QTR NET
  Shr 1.32 dlrs vs 1.26 dlrs
      Net 21.2 mln vs 17.4 mln
      Avg shrs 16.1 mln vs 13.8 mln
      Assets 10.0 billion vs 8.4 billion
      Deposits 7.2 billion vs 6.1 billion
      Loans 6.7 billion up 26 pct
      NOTE: Results restated for pooled acquisitions of Shawmut
  Home Bank and Fidelity Trust Co and include First Gibraltar
  Mortgage Corp from December 30, 1986 purchase.
      Loan loss provision 8,800,000 dlrs vs 6,300,000 dlrs.
  

MINNTECH <MNTX> SEES FIRST QUARTER LOSS
  Minntech Corp said it expects
  to report loss for its fiscal 1988 first quarter to end June
  30, due to start-up costs related to a new membrane oxygenator
  and water filtration products.
      However, revenues and earnings should consistently increase
  throughout the remainder of the year, President Louis Cosentino
  told analysts.
  

GORDEX MINERALS LOCATES GOLD DEPOSITS
  <Gordex Mineral Ltd>
  said geologists located more than one mln tons of gold-bearing
  deposits, 0.057 ounces per ton, at Cape Spencer.
      The company said it plans to invest 2.5 mln Canadian dlrs
  to expand on-site treatment facilities to process 100,000 tons
  of gold-bearing deposits this year and 200,000 tons in 1988.
      Prior to the completion of the recent exploration program,
  Gordex estimated the Cape Spencer deposit had 200,000 tons.
      Gordex said the expansion of the Cape Spencer facilities is
  intented to enable it to operate 24 hours a day throughout the
  year.
  

U.S. CONGRESSMAN INTRODUCES REAGAN SUGAR BILL
  Rep. John Porter, R-Ill., introduced
  in the House of Representatives legislation proposed by the
  Reagan administration to slash the U.S. sugar price support, a
  spokesman for Porter said.
      The spokesman said the bill was introduced without any
  changes from the administration's proposal sent to Congress
  last month.
      That plan calls for a cut in the sugar loan rate to 12
  cents per pound from 18 cents now. Sugar growers would be
  compensated for the price cut with targeted direct payments,
  to be gradually phased-out through 1990. The payments to
  growers would cost an estimated 1.1 billion dlrs.
      Representatives of sugar growers have rejected the
  proposal, saying it would ruin the domestic sugar industry.
  

CANADA 91-DAY T-BILLS AVERAGE 6.95 PCT, MAKING BANK RATE 7.20 PCT

  CANADA 91-DAY T-BILLS AVERAGE 6.95 PCT, MAKING BANK RATE 7.20 PCT
  

REPUBLIC SAVINGS AND LOAN <RSLA> 3RD QTR NET
  Shr 89 cts vs not available
      Net 1,163,000 vs 466,000
      Nine Mths
      Net 3,696,000 vs 1,624,000
      NOTE: Company converted to stock ownership effective August
  1986.
      Periods end March 31, 1987 and 1986 respectively.
  

SOUTHMARK <SM> TO ISSUE AMERICAN REALTY RIGHTS
  Southmark Corp said shareholders will be
  issued, as a special dividend, rights to acquire 22 shares of
  American Realty Trust <ARB> for each 100 shares of Southmark
  owned.
      The record date for Southmark shareholders to receive these
  rights will be May one with an ex-dividend date of April 27.
      Southmark received these rights on April six, as the holder
  of about 84 pct of American Realty Trust's outstanding shares.
  

WALL STREET STOCKS/UAL INC <UAL>
  Takeover speculation continues to fuel
  heavy trading in UAL Inc, traders said.
      UAL rose 1-5/8 to 73-5/8 on volume of more than two mln
  shares, after trading with little upward movement earlier in
  the session.
      Traders said rumors, which began yesterday, added to
  speculation that the company would be the target of a takeover.
      They said it was believed Coniston Partners and the
  Pritzker family of Chicago were buying the stock.
      Coniston declined comment and the Pritzkers had no comment.
      Traders said there was speculation a bidder might appear,
  and also that real estate developer Donald Trump, who holds a
  stake in UAL, might participate in a takeover bid. UAL pilots
  said they would be willing to pay 4.5 billion dlrs, which
  includes debt, for the company's United Airlines unit.
  

GORDEX MINERALS LOCATES CANADA GOLD DEPOSITS
  Gordex Mineral Ltd
  said geologists located more than one mln short tons of
  gold-bearing deposits, 0.057 ounces per ton, at Cape Spencer.
      The company said it plans to invest 2.5 mln Canadian dlrs
  to expand on-site treatment facilities to process 100,000 tons
  of gold-bearing deposits this year and 200,000 tons in 1988.
      Prior to the completion of the recent exploration program,
  Gordex estimated the Cape Spencer deposit had 200,000 tons.
      Gordex said the expansion of the Cape Spencer facilities is
  intended to enable operation 24 hours a day throughout the
  year.
  

CANADIAN BANK RATE RISES IN WEEK
  Canada's key bank rate rose to 7.20 pct
  from 7.15 pct the week before, Bank of Canada said.
      Bank rate is set 1/4 percentage point above the average
  yield on the weekly issue of 91-day treasury bills. This week's
  yield was 6.95 pct compared with the previous week's 6.90 pct.
      Tenders were accepted for 2.55 billion dlrs of 91-day bills
  at an average price of 98.296 dlrs against 98.310 dlrs last
  week.
      The 1.40 billion dlrs of 182-day bills were priced at an
  average 96.488 dlrs against 96.549 dlrs last week, to yield an
  average 7.30 pct, versus 7.17 pct last week.
      The 500 mln dlrs of 364-day bills were priced at an average
  92.969 dlrs against 93.159 dlrs last week, to yield an average
  7.58 pct versus 7.38 pct last week.
      Tenders will be received next week for 2.50 billion dlrs of
   91-day bills, 1.40 billion dlrs of 182-day bills and 500 mln
  dlrs of 364-day bills.          
  

CONSENSUS SEEN ON TIN PACT EXTENSION
  The quarterly session of the
  International Tin Council (ITC) continued without formal
  agreement on an extension of the sixth International Tin
  Agreement (ITA), but delegates said it was apparent there was a
  general consensus the Agreement should be prolonged.
      Some delegations are still awaiting formal instructions
  from capitals, but informally most have indicated they favour
  an extension, delegates said.
      This afternoon's session was used by delegates to seek
  further clarification on some of the issues involved, and to
  discuss internal matters.
      Some sources were optimistic a resolution on an extension
  could be passed tomorrow but others suggested a special session
  would be convened to adopt the resolution after the Association
  of Tin Producing Countries meeting April 14 to 16.
      The full Council session resumes tomorrow at 1330 GMT after
  a European Community coordination meeting at 1100.
  

SLATER ELECTRIC INC <SLAT> 1ST QTR FEB 28 NET
  Shr four cts vs 10 cts
      Net 31,000 vs 82,000
      Sales 10.9 mln vs 9,760,000
  

SOUTH JERSEY INDUSTRIES INC <SJI> 1ST QTR NET
  Oper shr 1.64 dlrs vs 1.50 dlrs
      Oper net 6,200,000 vs 5,600,000
      Revs not given
      12 mths
      Oper shr 2.76 dlrs vs 2.58 dlrs
      Oper net 10.4 mln vs 9,600,000
      NOTE: Net income including discontinued operation and, in
  both 1986 periods, 1,500,000 dlr gain from change in accounting
  for which results restated, 6,200,000 dlrs vs 7,200,000 dlrs in
  quarter and 10.6 mln dlrs vs 11.6 mln dlrs.
  

CITY NATIONAL CORP <CTYN> 1ST QTR NET
  Shr 56 cts vs 35 cts
      Net 10,271,000 vs 6,425,000
      Loans 1.44 billion vs 1.20 billion
      Deposits 2.36 billion vs 1.96 billion
      Assets 2.96 billion vs 2.55 billion
  

ALLIED BANKSHARES INC <ABGA> 1ST QTR NET
  Shr 50 cts vs 26 cts
      Net 1,316,000 vs 656,000
      NOTE: qtr 1987 includes tax gain 500,000 dlrs, or 19 cts
  per share.
  

ROYAL DUTCH <RD> UNIT TO CUT HEATING OIL PRICE
  Royal Dutch/Shell's Scallop Petroleum
  Co subsidiary said it will reduce the price it charges contract
  barge customers in New York harbor for heating oil by 2.5 cts a
  gallon, effective tomorrow.
      The company said the price cut will bring the contract
  barge price for heating oil to 51 cts a gallon.
  

MAGMA RAISES COPPER PRICE 0.25 CT TO 65.75 CTS
  Magma Copper Co, a subsidiary of
  Newmont Mining Corp, said it is raising its copper cathode
  price by 0.25 cent to 65.75 cents a lb, effective immediately.
  

FIRST BANK SYSTEM INC <FBS> 1ST QTR NET
  Shr 95 cts vs 80 cts
      Net 57.4 mln vs 46.6 mln
      Assets 28.39 billion vs 25.87 billion
      Loans 13.99 billion vs 14.35 billion
  

CENTERRE BANCORP <CTBC> 1ST QTR NET
  Shr 94 cts vs 1.02 dlrs
      Net 7,255,000 vs 7,856,000
      Loans 2.88 billion vs 2.94 billion
      Deposits 4.05 billion vs 3.73 billion
      Assets 5.43 billion vs 5.14 billion
  

SEA GALLEY STORES INC <SEAG> 1ST QTR NET
  Oper shr four cts vs one ct
      Oper net 108,000 vs 30,000
      Revs 12.8 mln vs 14.8 mln
      Note: Current qtr figures exclude operating loss
  carryforward gain of 57,000 dlrs, or two cts per share vs gain
  of 21,000 dlrs, or one ct per share.
  

EGYPT CANCELS WHEAT TENDER
  Egypt has cancelled its April 2 tender for
  200,000 tonnes of any origin wheat for April 15-30 shipment,
  trade and Egyptian official sources said.
      Trade sources said the cancellation followed an offer by an
  Egyptian company, Islamic Corp, at 85.80 dlrs/tonne cost and
  freight, undercutting other traders' offers of between 93.90
  and 94.49 dlrs/tonne.
      An Egyptian trade official in Paris confirmed cancellation
  of the tender following the Islamic Corp offer, which he said
  the government had refused for legal reasons.
      The official denied trade reports that the government might
  have substituted a private deal with Islamic Corp for the
  original tender.
  

HOUSE PANEL WANTS PENTAGON MANAGE U.S. STOCKPILE
  The House Armed Services Committee
  has voted for a transfer in the management of stockpiled
  materials for national defense to the U.S. Defense Secretary.
      The committee also voted for legally-binding quantity and
  quality requirements on the materials, mostly metals.
      The measures are a part of the Defense Authorization Bill
  which will be voted on in the House next month.
      The purpose of the measures, passed by the committee
  yesterday, is to improve stockpile management and discourage
  sell-offs of materials that could jeopardize strategic needs, a
  staff member of the committee told Reuters.
      "They (the stockpiles) stand to gain the most by being
  managed properly," said the staffer. "Management of the stockpile
  over the last 10 years has been atrocious."
      Responsibility for stockpile management now belongs to a
  White House agency, the Federal Emergency Management Agency.
      The staffer said under the measures passed by the committee
  the Secretary of Defense would have more influence over
  decisions to keep or sell strategic stockpile materials.
      The administration has proposed a goal of 700 million dlrs
  worth of strategic materials to be held in the stockpile. The
  stockpile now contains around 10 billion dlrs of materials.
      He said several agencies currently helped FEMA to manage
  the stockpile and decide how much to sell to help the deficit.
      These agencies included the Office of Management and Budget
  and the Departments of Interior and Commerce, he said.
      The committee believed the shared involvement in stockpile
  management was counter-productive, he said.
  

CANADA TRADE RISE SEEN AS START OF RECOVERY
  Canada's trade picture has brightened
  considerably, underscoring economists' predictions the sector
  would post a long awaited recovery this year.
      The federal government reported today that the monthly
  surplus soared to 1.25 billion Canadian dlrs in February,
  double January's 623 mln dlrs surplus and sharply higher than
  February 1986's 189 mln dlr tally.
      "Hopefully it's the beginning of a trend," said Richardson
  Greenshields of Canada Ltd economist Susan Clark in Toronto.
      Economists generally don't expect such large gains over the
  next months, but are looking for an upward trend throughout the
  year.
      "We thought the trade balance would improve ... over the
  year, and it certainly looks as if this morning's figure is
  indicative of that," commented economist James Donegan at the
  Toronto securities firm of Midland Doherty Ltd.
      Statistics Canada reported the surplus was driven by a 23
  pct gain in automobile product exports to a record 3.2 billion
  dls in the month.
      "Recovery in the automotive sector helped push the value of
  exports up by 5.9 pct in February," the agency said in its
  monthly report.
      Total exports expanded to 10.44 billion dlrs from 9.85
  billion dlrs in February, while imports slipped to 9.19 billion
  dlrs from 9.23 billion dlrs.
      Economists have predicted the 1987 trade surplus would end
  up three to five billion dlrs higher than last year's dismal
  10.1 billion dlr total. In 1985 the surplus was 17.48 billion
  dlrs.
      Money market analysts said the positive trade news touched
  off a modest rally in the Canadian dollar, which rose to 76.85
  U.S. cts on North American markets early this morning after
  closing at 76.58 cts Wednesday.
      The currency was hovering around 76.78 cts in early
  afternoon trading.
      Economists have been banking on an improved trade
  performance this year to stimulate an otherwise sluggish
  Canadian economy.
      Money market analysts said the positive trade news touched
  off a modest rally in the Canadian dollar, which rose to 76.85
  U.S. cts on North American markets early this morning after
  closing at 76.58 cts Wednesday.
      The currency was hovering around 76.78 cts in early
  afternoon trading.
      Economists have been banking on an improved trade
  performance this year to stimulate an otherwise sluggish
  Canadian economy.
      They say the country's consumers, who have been spending at
  a torrid pace in recent years, will sharply curtail outlays
  this year and this should help curtail the flow of imports into
  the country.
      Meanwhile, demand for Canadian exports in the United
  States, by far the country's largest market, is expected to be
  strong as a result of a projected rise in American consumer
  spending and the relatively low value of the Canadian currency.
      "We maintain what's going to drive Canada's export
  performance is income growth in the U.S.," said Midland's
  Donegan.
      But at the Bank of Nova Scotia, deputy chief economist
  Warren Jestin was less optimistic about the U.S. outlook and
  said it could be a mistake to read too much into February's
  trade upturn.
      Jestin said, "Given the fact the U.S. economy is showing
  signs of weakening--particularly car sales--it would indicate
  that part of the strength (in Canada's trade figures) is
  probably transitory."
  

FIRST BANK <FBS> SEES LOSS ON BRAZILIAN LOANS
  First Bank Systems Inc, in reporting
  higher first quarter net, said that if interest is not paid on
  the 140 mln dlrs in Brazilian loans and nine mln dlrs in
  Ecuadorian loans for the rest of 1987, its profits for the
  entire year will be cut by 6.9 mln dlrs.
      The banking firm said the non-performing status of these
  loans cut first quarter net by 1.7 mln dlrs.
      Earlier it reported first quarter profits of 57.4 mln dlrs
  or 95 cts a share, up from 46.6 mln dlrs or 80 cts a share in
  the year-ago period.
      Nonaccrual loans, restructured loans and other real estate
  were 637 mln dlrs, or 2.24 pct of total assets, compared to 514
  mln dlrs or 1.84 pct of assets at the end of 1986 and 636.1
  mln, or 2.46 pct of assets at March 31, 1986.
      The provision for loan losses in the quarter was 35 mln
  dlrs, compared to 152.1 mln in the first quarter 1986, when
  there was a special addition to the reserve of 100 mln dlrs.
  Net charge offs were 34.7 mln, compared to 41.1 mln dlrs a year
  earlier.
  REUTER^M
  

USDA ESTIMATES 1986/87 USSR GRAIN IMPORTS  28.0 MLN TONNES VS 26.0 IN MARCH, 29.9 YEAR AGO

  USDA ESTIMATES 1986/87 USSR GRAIN IMPORTS  28.0 MLN TONNES VS 26.0 IN MARCH, 29.9 YEAR AGO
  

USDA ESTIMATES 1986 SOVIET GRAIN CROP  AT 210 MLN TONNES VS 210 IN MARCH, 192 YEAR-AGO

  USDA ESTIMATES 1986 SOVIET GRAIN CROP  AT 210 MLN TONNES VS 210 IN MARCH, 192 YEAR-AGO
  

USDA - U.S. 1986/87 ENDING CORN STOCKS  5,240 MLN BU, WHEAT 1,848 MLN, SOYBEANS 610 MLN

  USDA - U.S. 1986/87 ENDING CORN STOCKS  5,240 MLN BU, WHEAT 1,848 MLN, SOYBEANS 610 MLN
  

USDA 1986/87 U.S. ORANGE CROP 190,050,000  BOXES, FLORIDA CROP 122,900,000 BOXES

  USDA 1986/87 U.S. ORANGE CROP 190,050,000  BOXES, FLORIDA CROP 122,900,000 BOXES
  

USDA ESTIMATES 1986/87 ORANGE JUICE YIELD  AT 1.50 GALS PER BOX FROM FLORIDA CROP

  USDA ESTIMATES 1986/87 ORANGE JUICE YIELD  AT 1.50 GALS PER BOX FROM FLORIDA CROP
  

VORNADO INC <VNO> 4TH QTR JAN 31 NET
  Oper shr 1.64 dlrs vs 84 cts
      Oper net 4,583,000 vs 2,869,000
      Revs 20.1 mln vs 19.0 mln
      Avg shrs 2,791,639 vs 3,432,746
      Year
      Oper shr 4.46 dlrs vs 3.20 dlrs
      Oper net 14.1 mln vs 10.9 mln
      Revs 74.6 mln vs 68.0 mln
      Avg shrs 3,154,665 vs 3,425,187
      NOTE: Operating net excludes gains of nothing vs 2,444,000
  dlrs, or 72 cts a share, in quarter and 1,890,000 dlrs, or 60
  cts a share, vs 9,3267,000 dlrs, or 2.72 dlrs a share, in year
  from tax loss carryforwards
  

FIRST UNION CORP FIRST QTR SHR 71 CTS VS 61 CTS

  FIRST UNION CORP FIRST QTR SHR 71 CTS VS 61 CTS
  

U.S. SUPPLY/DEMAND HIGHLIGHTS
  Following are highlights of the U.S.
  Agriculture Department supply/demand projections for the
  1986/87 seasons, in mln bushels, with comparisons, unless noted
  --
      Corn -- Stocks, Aug 31, 1987, at 5,240, vs 5,595 last
  month. Stocks, Aug 31, 1986, at 4,040, vs 4,040 last month.
      Exports projected at 1,375, vs 1,250 last month. Exports in
  1985/86 at 1,241, vs 1,241 last month.
      Domestic use at 5,680, vs 5,450 last month. Usage in the
  1985/86 season at 5,255, vs 5,255 last month.
      Wheat -- Stocks, May 31, 1987, projected at 1,848, vs 1,877
  last month. Stocks on May 31, 1986, at 1,905, vs 1,905 last
  month.
      Exports in 1986/87 season at 1,025, vs 1,025 last month.
  1985/86 season at 915, vs 915 last month.
      Domestic use in 1986/87 at 1,134, vs 1,105 last month.
  1985/86 at 1,045, vs 1,045 last month.
      Cotton -- in mln 480 lb bales - Stocks, July 31, 1987, at
  5.40, vs 5.49 last month. Stocks July 31, 1986, at 9.35, vs
  9.35 last month.
      Exports in 1986/87 season at 6.66, vs 6.76 last month.
  Exports in 1985/86 - 1.96, vs 1.96 last month.
      Soybeans -- in mln bushels - Stocks, Aug 31, 1987,
  projected at 610, vs 635 last month. Stocks Aug 31, 1986, at
  536, vs 536 last month.
      Soybean crushings during 1986/87 - 1,130, vs 1,115 last
  month. Crushings in 1985/86 at 1,053, vs 1,053 last month.
      Exports in 1986/87 season at 700, vs 700 last month.
  Exports in 1985/86 at 740, vs 740 last month.
      Soybean Oil -- mln lbs - Stocks on Sept 30, 1987, at 1,360,
  vs 1,200 last month. Stocks on Sept 30, 1986, at 947,  vs 947
  last month.
      Exports in 1986/87 at 1,350, vs 1,350 last month.  Exports
  in 1985/86 at 1,257, vs 1,257 last month.
      Soybean Cake/Meal -- thousand short tons - Stocks, Sept 30,
  1987, at 270, vs 315 last month. Stocks, Sept 30, 1986, at 212,
  vs 212 last month.
      Exports in 1986/87 season at 6,500, vs 6,350 last month. 
  Exports in 1985/86 at 6,036, vs 6,008 last month.
  

U.S. CITRUS CROP ESTIMATE -- USDA
  The U.S. Agriculture Department
  estimated 1986/87 citrus production, as follows (in boxes) --
      Total U.S. orange crop (excluding Florida Temples) --
  190,050,000 boxes, vs 190,850,000 boxes last month and
  176,410,000 boxes in the 1985/86 crop.
      Florida oranges (excluding Temples) -- 122,900,000 boxes,
  vs 124,000,000 last month and 119,000,000 boxes in 1985/86.
      Florida Temples -- 3,400,000 boxes, vs 3,400,000 last month
  and 2,950,000 boxes in 1985/86.
      The department's estimates are based on April 1 crop
  conditions.
  

USDA ORANGE JUICE YIELD ESTIMATE
  The U.S. Agriculture Department
  projected an average yield of 1.50 gallons of frozen
  concentrated orange juice per box (42.0 degree brix equivalent)
  from Florida's 1986/87 crop.
      That compares with 1.47 gallons per box previously and 1.38
  gallons per box from the 1985/86 crop.
      The crop reporting board said the estimates for the 1986/87
  season are based on maturity and yields tests as of April 1.
  

USSR ADDS U.S. CORN TO COMMITMENTS - USDA
  The Soviet Union has added 175,600
  tonnes of U.S. corn to its previous commitments for delivery in
  the fourth year of the U.S.-USSR Grain Supply Agreement, which
  began October 1, 1986, the U.S. Agriculture Department said.
      According to the department's Export Sales Report, covering
  transactions in the week ended April 2, corn transactions
  consisted of 140,600 tonnes of new sales and changes in
  destinations for 35,000 tonnes.
      Total corn commitments to the USSR  for delivery in the
  fourth agreement year amount to 2,825,600 tonnes. The Soviets
  have not purchased wheat or soybeans in the fourth year of the
  agreement.
  

USDA SPRING POTATO ESTIMATES
  The U.S. Agriculture Department
  estimated 1987 spring potato production, based on April 1
  conditions, at 19,267,000 cwts (100 lbs), vs 19,822,000 cwts
  indicated last year.
      The department estimated spring potato area for harvest at
  79,100 acres, vs 76,700 acres estimated last month and 75,900
  acres harvested last year.
      Spring potato yield per harvested acre is forecast at 244
  cwt per acre, vs 261 cwt per acre a year ago, USDA said.
  

USDA REVISES 1986 SUMMER POTATOES
  The U.S. Agriculture Department made
  the following revisions for 1986 crop summer potatoes --
      Production -- 21,003,000 cwt (100 lbs), vs 20,900,000 cwt
  estimated previously.
      Acreage for harvest -- 95,700 acres, vs 95,800 acres
  estimated previously.
      Yield per harvested acre -- 219 cwt per acre, vs 218 cwt
  per acre previously estimated, the department said.
  

USDA DETAILS FREE GRAIN STOCKS UNDER LOAN
  The U.S. Agriculture Department gave
  projected carryover free stocks of feedgrains, corn and wheat
  under loans, with comparisons, as follows, in mln bushels,
  except feedgrains, which is in mln tonnes --
                  1986/87            1985/86
             04/09/87 03/09/87  04/09/87 03/09/87
   Under Regular Nine Month Loan --
        WHEAT    225     300       678     678
   FEEDGRAINS   52.1    68.1      75.7    75.7
         CORN  1,800   2,400     2,589   2,589
   Special Producer Storage Loan Program --
        WHEAT    165     150       163     163
   FEEDGRAINS    7.0     6.7       5.3     5.3
         CORN    200     200       147     147
  

CLEVITE <CLEV> AMENDS RIGHTS PLAN
  Clevite Industries Inc, which
  earlier received a 96 mln dlr takeover offer from J.P.
  Industries Inc <JPI>, said it amended its Shareholder Rights
  Plan so that certain provisions of the plan cannot occur until
  the board determines that it is in the best interests of the
  company and stockholders.
      The plan, adopted in December 1986, permits Clevite to
  issue shares at half price to existing stockholders and allows
  stockholders to buy shares of an unfriendly bidder at half
  price.
      Clevite said the amendments by its board effectively mean
  that the so-called flip-in and flip-over provisions of its
  rights plan can only be triggered by affirmative board
  approval.
      The company said it acted inview of the proposed
  acquisition and because certain debt restrictions could block
  its ability to redeem the rights.
  

USDA ESTIMATES SOVIET WHEAT, COARSE GRAINS
  The U.S. Agriculture Department
  forecast the Soviet 1986/87 wheat crop at 92.30 mln tonnes, vs
  92.30 mln tonnes last month. It put the 1985/86 crop at 78.10
  mln tonnes, vs 78.10 mln tonnes last month.
      Soviet 1986/87 coarse grain production is estimated at
  103.30 mln tonnes, vs 103.30 mln tonnes last month. Production
  in 1985/86 is projected at 99.99 mln tonnes, vs 100.00 mln
  tonnes last month.
      USSR wheat imports are forecast at 15.00 mln tonnes in
  1986/87, vs 15.00 mln tonnes last month. Imports in 1985/86 are
  put at 15.70 mln tonnes, vs 15.70 mln tonnes last month. USDA
  estimated Soviet 1986/87 coarse grain imports at 12.00 mln
  tonnes, vs 10.00 mln tonnes last month, and 1985/86 imports at
  13.70 mln tonnes, vs 13.70 mln tonnes last month.
      USDA said Soviet coarse grain imports include 1986/87 corn
  imports, which it forecast at 8.00 mln tonnes, vs 6.00 mln
  tonnes last month. Corn imports in 1985/86 are estimated at
  10.40 mln tonnes, vs 10.40 mln last month.
      Total Soviet grain imports in 1986/87, at 28.0 mln tonnes,
  include one mln tonnes of miscellaneous grains.
  

WHEAT BY CLASS BREAKDOWN
  The U.S. Agriculture Department gave
  the 1986/87 breakdown of supply and distribution for wheats by
  classes, in mln bushels, with comparisons, as follows.
      HARD WINTER --
                  1986/87           1985/86
             04/09/87 03/09/87  04/09/87 03/09/87
   Start Stocks 1,009   1,009      717     717
   Production   1,018   1,018    1,230   1,230
   Ttl Supply-X 2,027   2,027    1,947   1,947
   Domestic Use   599     579      543     543
   Exports        450     475      395     395
   Total Use    1,049   1,054      938     938
   End Stocks     978     973    1,009   1,009
   Note - Season begins June 1. X-Includes imports
      HARD SPRING --
                  1986/87           1985/86
             04/09/87 03/09/87  04/09/87 03/09/87
   Start Stocks   498     498      371     371
   Production     451     451      460     460
   Ttl Supply-X   956     956      838     838
   Domestic Use   218     192      174     174
   Exports        200     190      166     166
   Total Use      418     382      340     340
   End Stocks     538     574      498     498
   Note - Season begins June 1. X-Includes imports.
      SOFT RED --
                 1986/87           1985/86
            04/09/87 03/09/87  04/09/87 03/09/87
   Start Stocks   79     79       64     64
   Production    290    290      368    368
   Ttl Supply-X  369    369      432    432
   Domestic Use  181    193      204    204
   Exports       120    120      149    149
   Total Use     301    313      353    353
   End Stocks     68     56       79     79
   Note - Season begins June 1. X-Includes imports
      WHITE --
                 1986/87           1985/86
            04/09/87 03/09/87  04/09/87 03/09/87
   Start Stocks  198    198      173    173