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GM SAYS ST. LOUIS TRUCK PLANT TO BE SHUT AUGUST SEVEN

DIGILOG <DILO> SAYS 2ND QTR REVENUES ROSE

Digilog Inc said revenues for the second quarter ended MArch 31 were about 4,300,000 dlrs, up from 3,065,000 dlrs a year earlier. Reuter 

CUBA TO STIMULATE ECONOMY DESPITE IMPORT CUTS

Cuba will continue to develop its economy despite the need to cut imports from hard currency nations by half this year, President Fidel Castro said. The Cuban economy is going through a difficult period due mainly to two years of drought, low sugar prices, a fall in the price of petroleum and the fall in the value of the dollar, Castro said in a published weekend speech delivered to a young communists union congress. Castro said cuba will continue to prospect for oil, build thermo-electric generating stations, a large petroleum refinery and a nuclear power plant in 1987. He said work would also continue this year in developing the chemical and mining industries. Among the main projects in mining are two nickel processing plants built with Soviet and Comecon aid . REUTER 

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. Reuter 

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. Reuter 

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. Reuter 

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. Reuter 

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 Reuter 

WALGREEN <WAG> SEES MARCH SALES UP 11.2 PCT

Walgreen Co said preliminary figures show that its sales for March will be up 11.2 pct over March 1986, when it had 313.4 mln dlrs in sales. Final March retail figures are expected Thursday April 9. It also said it expects a strong Easter selling season. Reuter 

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) REUTER 

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 Reuter 

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. Reuter 

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. Reuter 

IBM <IBM> NAMES NEW PRESIDENT FOR ROLM UNIT

International Business Machines Corp said IBM vice president Ray S. AbuZayyad has been named president of its ROLM Corp subsidiary, succeeding Dennis D. Paboojian, who remains with IBM as a consultant. The company said IBM vice president Paul R. Low has been named president of the IBM General Products Division, succeeding AbuZayyad, and IBM vice president Michael J. Attardo has been named president of IBM's General Technology Division, succeeding Low. A Rolm spokeswoman said Paboojian decided to step down for personal reasons. His decision, she said, was not related to IBM's move last month to merge Rolm's sales and service organization into its own marketing corps. That merger was viewed by some analysts as reducing Rolm's independence and relegating it to a role as a manufacturing and product development site within IBM. "He wanted to take some personal time off," she said, adding that Paboojian had taken part in the merger decision. Scores of Rolm veterans have left the company, which makes telephone exchanges and other communications equipment, since it was acquired by IBM in 1984. Rolm's highly respected founder, Ken Oshman, left more than a year ago. Rolm and IBM customers have complained about a lack of coordination between Rolm and IBM, and analysts estimate the unit lost money last year. But the spokeswoman said Paboojian was "happy with the way things are going with Rolm." She said the unit posted its best fourth quarter revenues ever in the 1986 fourth quarter. Reuter 

U.K. CHEMICAL INDUSTRY CAPITAL SPENDING SEEN UP

Capital spending in the U.K. Chemical industry is expected to rise to 1.4 billion stg this year, a three pct increase on the 1986 level after inflation, the Chemical Industry Association said. A further increase to 1.52 billion stg is expected in 1988, but there will be a decline to 1.38 billion in 1989, the association found in its latest investment intentions survey. Even so, the estimated total fixed capital spending for the 1987-89 period of 4.3 billion is a real spending increase of six pct on the previous three years, the report said. Eighty-one firms took part in the survey. Reuter 

SOCAL EDISON <SCE> SIGNS HOOVER DAM POWER PACT

Southern California Edison said it signed a 30-year contract with the federal government for hydroelectric power from Hoover Dam. Southern California Edison said it would receive some 277.5 megawatts of electrical power under the contract, enough to serve about 160,000 homes. Terms of the contract were not disclosed. The original 50-year contracts for Hoover Dam hydroelectric power are scheduled to expire at the end of May, the company said. Reuter 

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. Reuter 

GENERAL MOTORS <GM> SETS SHUTDOWN DATES

General Motors Corp said it set dates to shut down two of its truck and bus facilities that had been slated for closure. General Motors said its number one line at its Flint, Mich., truck and bus assembly plant will be closed May 29. The company said the closing was in line with its announcement last November that it would close 11 plants. At that time, General Motors said the line would be closed "by August." At Flint, "layoffs could reach 2,000," the automaker said. Some 1,400 workers on the line will be transferred to other locations or put in a job placement program. The second line at the plant is not affected. General Motors also said it will close the truck and bus plant in St. Louis on August seven. General Motors did not specify how many of the 2,200 workers at the facility would be laid off, but said "many of those employees will be transferring toother General Motors operations in the area." In the automaker's previous announcement, it said the facility would be closed by "mid-1987." General Motors said the full-size pickup trucks currently being built of Flint's Line One are being replaced by a new full-size pickup truck being assembled at Fort Wayne, Ind., and at renovated plants in Pontiac, Mich., and Oshawa, Ont. The St. Louis plant makes full-size pickup trucks, including crew cab models. The production is being phased out as the Fort Wayne, Pontiac and Oshawa plant begin to produce General Motors' new redesigned 1988 full-size pickup. Crew cab truck output is being shifted to Janesvile, Wis. Reuter 

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. Reuter 

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. Reuter 

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 Reuter 

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." Reuter 

EC PLANS FOR CASH PAYMENTS TO FARMERS IMPEDED

Controversial plans to pay Western Europe's surplus-producing farmers generous cash grants to leave the land ran into problems at today's weekly meeting of the European Community (EC) Commission, officials said. They said the 17-member Commission, which effectively runs the Community on a day-to-day basis, appeared divided over the proposals which some people argue could lead to national capitals having too much say in EC farm policies. EC Farm Commissioner Frans Andriessen is proposing paying farmers as much as 2,800 dlrs a year over five years to leave the land. EC member states would be permitted to top up payments to the poorest farmers to 80 pct of the average national farm income. The package would also include an early retirement scheme, details of which have yet to be unveiled. Andriessen's aim is to make a restrictive price policy -- the centre-piece of a current battle to curb unwanted food production -- more acceptable to countries with large farming communities. With two-thirds of the EC's entire 39 billion dlr budget swallowed up by EC farm supports, he argues that in the long-run the payments would lead to considerable savings. Reuter 

ELECTROSPACE <ELE> WINS U.S. DEFENSE CONTRACTS

Electrospace Systems Inc said it won two follow up contracts from the U.S. Defense Communications Agency worth 10.7 mln dlrs. The company said the three year contracts are for scientific and technical support at the Center for Command and Control Communications systems. The company has provided the services since 1972. Reuter 

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. Reuter 

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. Reuter 

CONSERVATIVE LEAD DROPS IN NEW U.K. OPINION POLL

A British opinion poll showed the ruling Conservative party was still ahead of Labour and the Liberal-Social Democratic Alliance, but support appeared to be declining, raising the spectre of an inconclusive election result. The Marplan poll, to be published in tomorrow's Guardian newspaper, showed support for the Conservative party stood at 38 pct against 32 pct for Labour and 27 pct for the Alliance. Reuter 

GROUP OF FIVE MEETING CONCLUDES, LAWSON, STOLTENBERG DECLINE COMMENT

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. Reuter 

UAL RISES ON RUMORS THAT CONISTON PARTNERS IS TAKING POSITION IN STOCK, TRADERS SAY

ASHTON-TATE <TATE> NAMES SENIOR SCIENTIST

Ashton-Tate Corp said it appointed Harry Wong to the newly created position of senior scientist. Wong, formerly of the University of California's Lawrence Berkeley Laboratory, will provide technical direction in advanced database architectures and structured query language, SQL, a computer language. The company also said it is acquiring technology to develop a future database product that incorporates SQL. Reuter 

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 Reuter 

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. Reuter 

SIEMENS AG UNIT AND NEC <NIPNY> UNIT IN PACT

Siemens Information Systems Inc, a unit of <Siemens AG> of West Germany, has reached an agreement in principle with NEC America Inc, a unit of NEC Corp of Japan, allowing Siemens Information's Tel Plus Communications Inc subsidiary to continue distributing NEC's NEAX2400 Information Management System. Siemens Information said the three year agreement will allow TPC to market all current and future NEAX2400 models over the contract's term. Reuter 

NASD SETS FILING DEADLINES FOR BROKERS/DEALERS

The National Association of Securities Dealers Inc said it set April 15 as the deadline for government securities brokers and dealers to submit applications for registration under new rules. It said the rules apply to unregulated brokers and dealers, who must be registered with the Securities and Exchange Commission by July 25. NASD said it could guarantee brokers and dealers would meet the July 25 deadline if it received application materials by April 15. After April 15, it said it will make every effort to meet the July 25 deadline, but could not guarantee it. Reuter 

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." Reuter 

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. Reuter 

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. Reuter 

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. Reuter 

SALOMON <SB> SEES MORE STOCK GAINS WORLDWIDE

Analysts at Salomon Brothers Inc say the outlook for stock markets worldwide is postivie, although total returns in the U.S. stock market are not expected to exceed 10 pct over the next 12 months. The report by Robert Salomon Jr and Caroline Davenport said that after a strong first quarter, which saw U.S. stock market indices rise more than 20 pct, the direction of the market is still upward because slower economic growth will stretch out the recovery period. The firm expects profits for companies in the Standard and Poor's 500 stock index to rise 17 pct in 1987 and 18 pct in 1988. The bullish global outlook is underpinned by continued but subdued economic growth, fiscal restraint, good liquidity and increasing profits, Salomon said. The Salomon analysts say potential risks which must be monitored include any shift toward protectionism and foreign buying of U.S. stocks particularly by the Japanese. "A sharp run-up in stock prices in secondary stocks" would be a warning sign, as would a big increase in enthusiasm for the initial public offering market," Salomon said. Salomon said global diversification of equity markets has reached a new peak. Reuter 

FED'S HELLER SEES RETURN TO SLOWER MONEY SUPPLY GROWTH

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. Reuter 

NEW HAMPSHIRE YANKEE TO SUBMIT EMERGENCY PLANS

<New Hampshire Yankee> said it will submit to the Nuclear Regulatory Commission emergency response plans for the six Massachusetts communities within a 10-mile radius of the Seabrook Station. New Hampshire Yankee, a consortium of utility companies, said it is filing the plans because it claimed Massachusetts refuses to cooperate with it in emergency planning. It said the 26-volume emergency plan was originally prepared for Massachusetts by the state Civil Defense Agency and emergency planning consultants. New Hampshire Yankee said submitting the plans was done in an effort to keep the Seabrook licensing process moving forward. Reuter 

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. Reuter 

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. Reuter 

CHRYSLER, RENAULT EXTEND BY UP TO 2 WEEKS TIME FOR AMERICAN MOTORS ACCORD

<NSA INC> OFFERS TO REPURCHASE OWN SHARES

NSA Inc said, in an attempt to go private and repurchase its shares, it is offering to exchange a five year subordinated investment note for each share held by shareholders with more than 600 shares. NSA said the investment note will carry a face value of one dlr and will pay five annual principal installments, as well as quarterly interest payments on the outstanding principal amount at an eight pct annual rate. NSA added that for shareholders with less than 600 shares it is offering to purchase their shares for cash at one dlr per share. Reuter 

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. Reuter 

KAUFMAN AND BROAD <KB> FILE STOCK OFFER

Kaufman and Broad Inc said it registered with the Securities and Exchange Commission to offer up to two mln shares of common stock. First Boston Corp and Merrill Lynch Capital Markets will be the underwriters for the offering. Reuter 

INDUSTRIAL NATIONS RECONVENE AT U.S. TREASURY FOR FURTHER TALKS

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. Reuter 

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. Reuter 

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. Reuter 

GM EXTENDS CASH REBATES ON THREE CARS TO APRIL 30 FROM APRIL SIX

PERRY DRUG <PDS> MARCH SALES UP 9.3 PCT

Perry Drug Stores Inc said its March sales rose 9.3 pct to 60 mln dlrs from 55 mln dlrs in the same month a year ago. Fiscal year-to-date (November through March) sales increased 15 pct to 300 mln dlrs from 261 mln dlrs in the comparable period of fiscal 1986, it said. Reuter 

RITE AID CORP <RAD> SETS DIVIDEND

Qtly div 16-1/2 cts vs 16-1/2 cts Pay April 27 Record April 20 Reuter 

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 Reuter 

GULF AND WESTERN <GW> REORGANIZES UNIT

Gulf and Western Inc's Madison Square Garden Corp subsidiary said it has reorganized into three operating groups including two new groups. The company said its MSG Sports group will continue to operate the New York Rangers National Hockey League team and the New York Knickerbockers National Basketball Association team. It said the new MSG Facilities Development and Management Group will be responsible for all operating aspects of Madison Square Garden Center and for planning and operation of the planned new Madison Square Garden. The company said its new MSG Entertainment Group will include the Madison Square Garden Network sport-oriented pay television operation, Madison Square Garden Event TV, which will produce specials and non-episodic programming for network television, pay television and first-run television syndication, and Madison Square Garden Productions, which will produce live entertainment including touring arena shows and concerts. It said it expects the greatest growth from the MSG Entertainment Group. Reuter 

TRIZEC COMPLETES OFFERING

<Trizec Corp Ltd> said it completed its previously announced 171.25 mln dlr share offering consisting of five mln Class A subordinated voting ordinary shares at 34.25 dlrs per share. Reuter 

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. Reuter 

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>. Reuter 

BANPONCE CORP <BDEP> 1ST QTR NET

Shr 1.08 dlrs vs 1.00 dlr Net 6,215,538 vs 5,757,013 Reuter 

AIRLINE FARE DISCLOSURE BILL PROPOSED IN SENATE

Angered by late flights and complicated restrictions on discount air fares, a senator has introduced legislation to make airlines provide more details on fares and schedules in their advertisements. Sen. Frank Lautenberg, the bill's sponsor, said airline ads now are often misleading because they do not give prospective passengers enough facts about discount fares. "Air travelers are lured by low advertised fares which simply aren't available," the New Jersey Democrat said in a statement. "It's the old bait and switch." Airline advertisements usually say discount seats are limited, but Lautenberg said more information was needed. Reuter 

E.F. HUTTON <EFH> SETS FINANCES TELEPHONE DEAL

E.F. Hutton Group Inc said it is providing financing for the previously announced acquisition of <Virgin Islands Telephone Co> by <Atlantic Tele-Network Co>. Terms of the financing were not disclosed. Virgin Islands Telephone, which operates telephone systems in the U.S. Virgin Islands, handles about 1.5 mln local calls per week and one mln long-distance calls per month, the company said. Reuter 

GENERAL AUTOMATION <GENA> SETS JOINT VENTURE

General Automation Inc said it signed a joint venture with Madrid, Spain-based Ingenieria De Sistemas Electronics S.A. The pact establishes General Automation Iberica S.A. as a local manufacturer and master distributor of General Automation's ZEBRA multi-user business systems in Spain and Portugal. General Automation Iberica will be equally financed by General Automation and Ingenieria. Reuter 

MINNETONKA <MINL> NOT PART OF UPJOHN <UPJ> SUIT

Minnetonka Inc said that neither its Foltene hair treatment nor its European supplier, Crinos Industria Farmacobiologica SpA, are named or involved in action filed by Upjohn Co. Earlier today, Upjohn said it filed a complaint with the International Trade Commission requesting an investigation of infringement of its patent for the drug, Minoxidil, used in its treatment for baldness. Minnetonka said it decided to make a statement to "dispell any association it may be involved" with the suit. Foltene does not use compositions of Minoxidil, it said. Reuter 

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. Reuter 

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. Reuter 

SAUDI AMERICAN BANK OPENS BRANCH IN LONDON

Saudi American Bank (SAMBA) will concentrate on treasury activities and be an active market maker in Saudi riyal foreign exchange through the new branch that opened here, Shaukat Aziz, SAMBA managing director said. He told Reuters that SAMBA also will be active in corporate banking, correspondent banking and investment management. It also plans to develop trade financing between the Middle East and Europe and be active in the Eurocurrency and sterling deposit markets. SAMBA is 40 pct owned by Citicorp of the U.S. And the balance is held by Saudi shareholders. Reuter 

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. Reuter 

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." Reuter 

INSPIRATION RESOURCES VENTURE PLANS TO GO PUBLIC

Mingold Resources, a newly formed gold company equally owned by Inspiration Resources Corp <IRC> and <Minorco Canada Ltd>, said it plans to be a publicly traded, self-financing gold mining company within three to four years. Mingold currently manages Hudson Bay Gold Inc and Farley Gold Inc, both wholly owned units of Inspiration. The company said Hudson Bay and Minorco have agreed to explore and, if warranted, to develop the Metalore gold property near Beardmore, Ontario, after Metalore satisfactorily settles an action filed against it by <Ontex Resources Ltd>. A work program that includes drilling will begin shortly, Mingold said. Reuter 

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. Reuter 

CORVUS SYSTEMS <CRVS> NAMES NEW PRESIDENT

Corvus Systems Inc said it named Lewis Lipton its president and chief operating officer. Lipton had been consulting for Corvus for the past nine months and prior to that was the chief executive officer of Trimedia Corp. He reports to James Siehl, who had been acting as president and continues as chief executive officer. Siehl was also named Chairman of the Board, which he had also been acting as. Reuter 

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. Reuter 

AMERICA WEST <AWAL> REPORTS LOWER LOAD FACTOR

America West Airlines Inc said its March load factor fell to 58.7 pct from 69.8 pct a year earlier and its year-to-date load factor dropped to 56.6 pct from 60.4 pct during the same period of 1986. March revenue passenger miles rose to 422.1 mln from 280 mln and year-to-date revenue miles were up to 1.15 billion from 701.9 mln. Available seat miles for the month increased to 719.2 mln from 401 mln and for the first three months of the year available miles totaled 2.04 billion, up from 1.16 billion during a same period a year earlier, America West said. Reuter 

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. Reuter 

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. Reuter 

KANSAS POWER/LIGHT <KAN> NAMES CHIEF EXECUTIVE

Kansas Power and Light Co said it named David Black as chief executive officer. It said he will succeed William Wall after the May Five annual meeting. It said Black is the company's senior vice president, law. Reuter 

RITE AID CORP <RAD> SETS QUARTERLY DIVIDEND

Qtly div 16.5 cts vs 16.5 cts Pay April 27 Record April 20 Reuter 

SHULTZ SAYS "SHADOW" CAST OVER HIS USSR VISIT

U.S. Secretary of State George Shultz said the Marines spy case had cast a "heavy shadow" over his scheduled talks in Moscow next week. "Unfortunately, as is so often the case when we are in the midst of potentially promising discussions with the Soviets, the discussions take place in a difficult environment generated by their actions, and these things cast a heavy shadow on our discussions," he told reporters. Reuter 

GROUP OF 24 CALLS FOR DEBT RELIEF AND "NEW ATTITUDE" BY BANKS

AIRBUS SIGNS ACCORD ON CFM ENGINE FOR A340 PLANE

The European <Airbus Industrie> consortium today formally signed an agreement with the Franco-U.S. Group <CFM International> for an improved version of the CFM56-5 engine to power the A340-200 and A340-300 aircraft, an Airbus statement said. Airbus said yesterday that it chosen the CFM56-5-S3 engine, to be produced by <General Electric> of the U.S. And <SNECMA of France, because the <International Aero Engine> (IAE) high technology superfan engine would not be ready by early 1992, when the A340 plane is due to become operational. The five-nation IAE consortium has decided not to go ahead with the proposed launch of the superfan, a spokesman for consortium member <Rolls-Royce Plc> said today, adding that the project had not been cancelled and could be offered later on. Airbus said the CFM56-5-S3 will have a thrust of 30,600 lbs and an improved fuel burn of four per cent compared with the CFM56-5A1 which is now being operated on the A320 flight-test aircraft. It will be available for deliveries of the A340 in May 1992. At the same time, the Airbus statement said Airbus Industrie and General Electric have concluded an accord for an improved version of the GE CF6-80C2 engine, with 64,000 lbs of thrust and a three per cent improvement in specific fuel consumption, to power the A330 aircraft which will be introduced in spring 1993. "This continues the long-standing history of all Airbus launches being made with either GE or CFMI engines," Airbus Industrie president Jean Pierson said in the statement. "Airbus Industrie has already worked with CFMI to launch one new aircraft programme - the A320 - in early 1984, and is happy to build on this relationship by launching the A340 with an improved version of the same engine," Pierson said. Airbus Industrie said it has so far received a total of 128 commitments for the A340 and A330 from nine customers. Reuter 

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. Reuter 

GROUP OF 24 COUNTRIES CALLS FOR DEBT RELIEF

The Group of 24 developing countries said in a communique that some kind of debt relief is necessary and called for "a new attitude" on the part of the banks. The communique, released in conjunction with the semiannual meetings of the International Monetary Fund and the World Bank, said the very low income countries needed a cancellation of debt to industrial countries, a conversion of part of their debt into grants and a rescheduling on concessional terms. For some other countries, the communique said, the debt cannot be properly serviced if the countries are to grow at the same time. "The debt overhang effects the capacity to grow as it reduces the ability to import," the communique said. It added: "Some kind of debt relief and a new attitude on the part of the banks is necessary." The communique added that debtor countries and banks have to explore new market mechanisms, debt into equity swaps, capitalization of interest and writeoffs. Reuter 

PERU DECREES FIRMS SHOULD BUY TREASURY BONDS

the Peruvian government decreed that a wide range of firms would have to earmark between 20 and 30 pct of their 1986 net profits to buy treasury bonds this year. A presidential decree said that banking, financial and insurance firms as well as bottling and tobacco industries with 1986 sales of more than 1.6 mln intis would have to earmark 30 pct of their net profits from last year to buy the bonds. The bonds would be redeemed over the next two years and their interest rate would be set by the central bank. Textile, commercial and fishing canneries with sales over 1.24 mln intis would have to buy bonds equal to 20 pct of profits. The firms would have to buy the bonds between April and December 1987. The decree said the government adopted the move to obtain financing for high-priority investment projects, which it did not specify. The economy ministry says it aims to keep the public sector's budget deficit to between five and six pct of the gross domestic product (gdp). Last year, the deficit was six pct of gdp, according to the central bank. Reuter 

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. Reuter 

GENERAL MOTORS <GM> EXTENDS CHEVROLET REBATES

General Motors Corp's Chevrolet Motor Division said it extended its cash rebates to April 30 on three of its cars and to June 30 on a fourth. A fifth car, the Cavalier, was dropped from the program after rebates on all five cars expired April six. Terms of the program were not changed. The Chevrolet division said buyers of its Celebrity and Camaro cars between yesterday and April 30 are eligible to receive 1,000 dlrs rebate, while buyers of the Nova can receive 750 dlrs. Spectrum customers are eligible for a 500 dlrs rebate until June 30. Reuter 

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. Reuter 

DETROIT EDISON <DTE> SELLS BONDS IN TWO TRANCHES

Detroit Edison Co is raising 400 mln dlrs through a two-tranche offering of general and refunding mortgage bonds, said sole manager Morgan Stanley and Co Inc. A 175 mln dlr issue of bonds due 1997 was given an 8-3/4 pct coupon and priced at 99.375 to yield 8.845 pct, or 128 basis points over comparable Treasury securities. A companion 225 mln dlr offering of 27-year bonds was given a 9-3/4 pct coupon and priced at 99.625 to yield 9.79 pct, or 180 basis points over Treasuries. Both tranches are non-refundable for five years and rated Baa-2 by Moody's and BBB by Standard and Poor's. Reuter 

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. Reuter 

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 Reuter 

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. Reuter 

N.Y. THRIFTS HAD RECORD MORTGAGE LOANS IN 1986

The Federal Home Loan Bank Board of New York said mortgage loans acquired by member institutions in 1986 rose 54 pct from the prior record made in 1985. Fouth-quarter mortgage lending by the 98 New York thrifts required to report was nearly 75 pct above the lending volume of the same 1985 period. Mortgage loans acquired - comprising total mortgage loans closed and mortage loans and participations purchased - were 5.3 billion dlrs in the fourth quarter and 15 billion for the year. Total mortgages outstanding for New York members were 58.8 billion dlrs on December 31 versus 50.7 billion at end-1985. Reuter 

VMS SHORT TERM <VST> TO FUND LOAN INCREASE

VMS Short Term Income Trust said it agreed to commit to fund a 1.8 mln dlrs loan increase for 1420 K Street, a 12-story, 60,000 square foot office building in Washington, D.C. The trust previously approved a 2.9 mln dlr loan for the property, making the total loan 4.7 mln dlrs. VMS said the increased financing will have an initial term of six months and will include a one pct participation in the net appreciation of the property upon sale or refinancing. Reuter 

DAYTON HUDSON CORP <DH> VOTES QUARTERLY PAYOUT

Qtly div 23 cts vs 23 cts prior qtr Pay 10 June Record 20 May Reuter 

VULCAN CORP <VUL> REGULAR DIVIDEND

Qtly div 20 cts vs 20 cts in prior qtr Payable June 10 Record May 22 Reuter