PRESS DIGEST - Wall Street Journal - June 26
Reuters Story - June 26, 1998 02:06
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NEW YORK, June 26 (Reuters) - The following stories were
reported in Friday's electronic version of The Wall Street
Journal:
* Saudi Arabia's Oil Minister said a new group of producers,
aside from OPEC, should guide world prices through direct
intervention when necessary.
* Rockwell is expected to announce layoffs of as
much as 10 percent of its 48,000 employees as it tries to deal
with slow growth and changes in technology.
* Electric-power interruptions have become a reality for
some big customers in the Midwest, after years of
utility-industry warnings about impending shortages, and the
problems are likely to spread to New England.
* The U.S. economy grew at a 5.4 percent rate in the first
quarter, even faster than initial estimates of 4.8 percent. But
the quicker pace may signal a sharper slowdown for the rest of
the year.
* Sales of existing homes rose 1 percent in May as the
nation's real-estate markets continue to surge.
* The maker of quinacrine, used to sterilise women in
developing countries, said it will stop producing it.
* Sunbeam's financial statements for 1997 are being
reviewed by Arthur Andersen, raising the possibility of
problems with an audit the accounting firm had recently
reaffirmed.
* AT&T shares have sunk 10.7 percent since it
unveiled plans to buy TCI , as some worry its profits
will be diluted by the low-earning cable giant.
* AT&T sought advice on its TCI and Teleport deals from
Goldman Sachs and First Boston. Wall Street veterans say the
deals suggest a big change in AT&T's ties with Morgan Stanley.
* GM dealers are growing increasingly concerned that
they will soon run out of vehicles to sell in a red-hot market
as the UAW's strike against the auto maker enters its fourth
week.
* Valeo agreed to buy ITT Industries'
electrical-systems business for $1.7 billion.
* Amex members approved the exchange's proposed merger with
Nasdaq's parent by a 3-to-1 margin.
* A software flaw found by a Lucent researcher could
allow hackers to decode Internet financial transactions.
* Ameritech will lose the head of its cellular and
paging services, who is leaving to join an Internet concern.
* Securities firms allow big institutional investors to
dump hot new stocks at their whim, but try to persuade
individual investors to hold on to IPO's, for better or worse.
* Major airlines were dealt a setback as a House panel
expanded the Department of Transportation's power to review
airline alliances and also affirmed the department's authority
to issue enforcement guidelines.
* An EU court cancelled the European Commission's approval
of $3.3 billion in assistance for Air France.
* Adaptec scuttled its $775 million purchase of a
chip-making business owned by South Korea's Hyundai in the face
of antitrust objections.
* ICO Global is expected to award a $130 million
information-technology contract to Computer Sciences Corp.,
part of the satellite-phone concern's effort to
economise by operating as a stripped-down "virtual
corporation." |
