Show J f ' ' ' A2—The Herald Journal Logan Utah Tuesday July 30 2002 Nation I DENVER (AP)— Qwest’s acknowledgment of accounting problems could help die Regional phone service provider restore investor tnrst but analysts said big revisions in the bottom line for 2000 and 2001 could hurt foe sale of a business Qwest is counting on to reduce debt Officials of Qwest Communications International Inc already under investigation for its accounting practices said accounting errors made in 1999 2000 and 2001 under policies approved by previous auditor Arthur Andqrsen LLP ' prompted an internal analysis earlier this year Qwest hired auditor KPMO LLP in June to examine its books The company will restate its financial results from 2000 when it acquired Baby Bell US West and 2001 Chief executive Richard Notebaert said Monday foe revisions Qwest to restate earnings An Internal analysis by Qwest Communications International Inc found accounting errors The company announced Monday that expects to restate financial reports for 2000 and 2001 May 30 Moody’s fcwaatment Services down- grades Quest's partofan 132001 ukl R phone-directo- July 29 Company says Rexpsctsto nrstata?000 and £001 financial reports July 10 Qwest anndancsSItls under investigation by the Juatioe Department Aprils Qwest 2001- - lays ttw SEC-i- Feb 14 s investigating Qwaat draws antiie 3 L 10 junx into accounting 1 practices 7 000 Job cuts announced in addition to 4000 from September fl ctwr (King informal inquiry - 12 4bMoncradRlne to pay $3£ bUon in commercial debt ' how it recorded revenue from deals wilti companies June 17 Chairman CEO Joe Naochlo resigns M M SOURCES: Yahoacom CommodSy Systems Inc Anodalsd Press AP esroDpug3 could take months Tfiaccounting cr made they will be corrected and they will be disclosed ' The public will be fully informed'’ Notebaert said in a conference call with investors “If an individual violated company policy appropriate action will be taken” Analysts said Qwest is moving in foe right direction “There’s no doubt that the trust factor of all American corporations is at a low and Qwest disproportionately so” said Richard klugman cif Jefferies & Co If earnings by the Qwest-De- x yellow pages business were lower than previously announced proceedsfrom the sale could suffer hurting ' Qwest’s ability to reduce billion in $266 approximately debt analysts said “If they can sell Dex for a reasonable price Qwest can probably keep its indepen ry w VI'- - ' 3 - DfdCtiCGS Qwest shares recovered from in initial sharp downturn moving up 7 cents at $157 in heavy trading The company announced Sunday that poli cies were incorrectly applied to optical capacity sales in 1999 2000 and 2001 totaling about $11 billion or 18 percent of foe optical capacity transactions during that time Qwest said die errors caused it to book approximately $874 million as revenue for 2000 and 2001 The company also said it understated its expenses in 2001 by $113 million but overstated them by $13 million in 200a : On the Not: httpVWwwqwoatxom r 7$ SOY' Mr- s - T L V K3J VfYVV'frvs” r - - I' now-bankru- pt ' I 1 ' VC' "'v ' ’V - boost Enron’s cash flow to match its profit growth on 4 tV L v Rescue workers try to free more than 50 plot whales stranded on Chapin Beach -- r In AP photo Derails Mass on Citigroup chairman and chief executive officer Sanford Weill said in a separate affidavit that he has “no personal knowledge of any of die transactions” dozens of others saved went into shock said Sallie Riggs director of Cape Cod Stranding Network Seven others died after spending hours in the hot sun The carcasses were taken away in a dump truck while volunteers poured buckets of water over foe others and draped diem with wet towels to keep them : : DAYTONA BEACH Fla the world's puny filed foe Chapter 11 ing the poXt-Se- pt (APj—lbe parent of Budget ' hJr i - Jf 'VV H Co v ' nnnNSON HULMANSON OdobarlMS v 4 Stoll W MACX HIUS - Arai-2- i 22-2- f ' LWHaaploa IHG jHEALTii " ‘i y i Center Budge Clinic y CUtoNtoy0H1IMinilCklisx —J ‘ ' OiaMOM " ’ MlLRXMfiE 3apl2l-OclBb- Sepl — - onHmNpMmi ' v4 iwUld ft GRAND N0IEI IS (4 BfSaai 2t-O- ct UPPER MICHIGAN v Aupntl-7 lWHMS4aiUOlbui ' y ' WKBiawMmimkmm 1 ' ' ftarnutarll-2- 4 Hie IHC MRSAION00N of physician tliempul JL nd MhlcttctrainrM Wekxxnc Brjan C King MD orthopedic surgirnn Dr Xing b txMrd certified 'and i fclW will the AmcHcanAcTny of Ortlmpulic Surgi'otwi I Ic comet to U 1C from the US Air J Force thm he erred at 4 lieuteiunt rolnnrl ik1 olhewtliciiu iiiirgcixi Tor an elite medical group " j!i tuppmting military (perial forces all over the world Dr King earned his undergraduate degree at Briglvim ' Yoamg Univeriity autd then attended medical M'hool at the Uniformed Scrvictr University of I lealth ' r-- i i hyMcian Divffilon o( Cache Villcy and the IHC OctoMr 14-2- 4 SfKirli Medicine team Sciences in Bethesda MaryLid He txxuplted an orthnpnlic surgery resuhney at William Beaumont Army Medical Center and Texas Tech University I lealth Sdences Center in LI Paso 1 Icand liis wif Caiherincji arc the parents of frjur children They jook forward tq calling (jkJw Valley home J TMskMMGartMloadadlaar ( tennbseE cowmtr chrisIims HaMl Now 1 DoSywrtd' “ lySioatti cnuiscs - j PHNCESS A1AKAN CRUISE : ’rsassiiesr1 uavME amtsMlcBsuat Ottobir 27 Nwpb-11to- hli EASTON CARIBBEAN ROWLtAHBREAN V i y-- July 21 AugHtl WEnONIISENOS ROUND UP I Grart Sum Atg : ' Nwaa3lnaaaa Y : Y--- OTV OF JOSEPH MfiEANT 1UACAHN MolOi) f -- c LDSTOUnS COriCH TOURS 'VJ'-- : Budget Group Ihc which also rratatnicks under foe Ryder' name said customers will not be affected by the filing in US Bankruptcy Court in Wilmington Del The Daytona Beach- basedtroifo listed assittQf&05bilUoa and debts 'of $433 bil-- i lion Ine company said its franchisees will not be afTpc(ed ‘‘We wish to emphasize that we pontinpe normal operations and will honor all reservations” said company spokeswoman Kimberly Mulcahy Shh said the conqumy will continue to pay its empfoyr r ees usual and anticipates no layoffs v u S' ‘ car and truck rental com- oankruptcy protection Monday NamV 5408 SSU 14111 L :v- tiiird-large- st jl the first whale foat died Several vacationers joined volunteers from die stranding network the New England Aquarium and foe Crater for Coastal Studies in foe rescues Mass standings of pilot whales are not unusual since they are highly sociable ani- mals that travel and feed in groups and frequent areas near' die coastline 2122 V p : Doiii £r Daml & A necropsy was planned for 414-1- HARTFORD Conn (AP) — Connecticut did not violate die' rights of the Boy Scouts when it dropped the group from a list of charities that state employees contribute to through a payroll deduction plan a federal judge has ruled A state panel removed the Boy Scouts from the list in 2000 after a state human rights commission found that including the laws because of organization violates state foe scouts’ ban on gay troop leaders The Irving Tiexas-bas-ed discrimi-natio- n Boy Scouts ami a Connecticut scouting council filed a that from the exclusion lawsuit against the state arguing list Violated the group’s First Amendment rights In a decision dated July 22 US District Judge Warren Egin-to- n 11 Hyde's Eneore CHMSIIIASBIAMON Nm 1- -4 Nok 12-- 17 Dec 3--1 Mori lours iadiide 12 rtwM SdbaanSS brertdMb Court: State can bar Scouts from charity r Car rental firm fiJ6s for Chapter RO FESS (ON A tLTj E S C O RT E DITOU R SI comeback” ' The rising tide at midday helped volunteers push the remaining 46 whales into water deep enough for the animals to swim on their own “To see this many whales get off free after six hours is ng ruled in favor of the state " “lam gratified by the court’s decision" state Comptroller V Nancy'Vfyman said Monday “It just basically states that the: state of Connecticut does not and cannot by law do business wifo organizations that discriminate” amazing” said Judy Scarafile a member of the strandijra network “We all have our fingers crossed that they’ll not ' moist er Dazed-looki- paper Citigroup did pay some fees for the offshore company Deha Energy Corp to cover1 administrative costs but don not own or control it Barbara Yastine chief financial officer of the Qtigroup’s corporate and investment bank said in Monday DENNIS Mass (AP) — More than 50 pilot whries i beached themselves on a stretch of Cape Cod sand The train the Capitol Limit- Monday and nine' of them died before vacationers and other ed en route from Chicago to the nation’s capital with 173 pas- -' volunteers could push the animals back out to deeper water sengeri and crew members in a feverish rescue effort jumped foe tracks 10 miles Hundreds of vacationers from its destination at about lined a quarter-mil- e of Chapin 1:53 pm authorities said Beach and watched as resA row of double-deckcuers tended to the small glisSuperliner cars lay on its side not to big trees that were Y tening black whales first discovered at about 6 am smashed to pieces Rescue ' One of foe whales was dead workers lifted passengers out When rescuers arrived and windows the forough A rescue worker left takes care was euthanized after it another people wandered on of an injured man after an the tracks as emergency work- - Amtrak train derailed on Monday en tended to the injured $ev- - in Kensington Md eral people were taken away on stretchers' Six people woe trapped in the cars but all were freed within an horn' Montgomery County Fire Department spokesman Oscar Garcia said a'Y (AP)—g 'vS1 KENSINGTON Md (AP) — A doublfedecker Amtrak train derailed in the summer heat outside Washington on Monday injuring 90 people about 30 of them seriously authorities said The National Transportation Safety Board sent a team of investigators and an expert said they would probably try to determine whether the heat had caused the track to buckle were in the mid-90- s Temperatures ' ''ftw WASHINGTON Congressional investigators are examining Enron Corp’s ties with Memll Lynch & Co saving foe nation’s biggest brokerage firm knowingly participated in deals that Enron used to mask its true financial condition The Justice Department is investigating one of the transactions in question in which Enron sold an interest in barges in Nigeria to an off-shore company established by Merrill Lynch according to the brokerage and Senate sources At issue is whether ' the transaction allowed Enron to artificially inflate its profits the sources said Monday speaking on condition Of 1 : 90 hurt in Amtrak traiirderailmert ' "'( ing his Fifth Amendment privilege and refusing to answer question? his attorney has notified foe investigative panel of foe Senate Governmental Affairs Committee At foe same time an official of banking giant Gtigroup Inc told foe subcommittee in a sworn affidavit that it does not directly or indirectly own another offshore used in complex transactions in which Citigroup made loans to Enron Jr M nt ar - M One Merrill Lynch official who was asked to testify at a Senate hearing today is invok- Yi?:' Yt ng Rent-A-C- v- NewYtockBrehange In midday trading on the 40-ho- ur : ' simple" they can’t foey won’t It’s that I YiV a— CHARLESTON SC (AP) — President Bush insisted Monwork week and said day that welfare recipients put in a a Senate bill requiring less is riddled with “so many exceptions so many loopholes” that it would reverse six years of welfare progress Bush leveled his assault on the Democrat-writte- n legislation while on a $12 million fund-raisihop to South Carolina for the state’s Republican gubernatorial candidate Mark Sanford He faulted legislation passed last month by Democrats who control the Senate Finance Committee because it does not include the stiffer work requirements he seeks would not pro- duce as much money as he wants for programs promoting mar- riage and would increase funds to help working welfare parents pay for child care “They’re saying we got to spend a bunch more money in order to make us feel better and to make things work better We don’t need that” Rush said The landmark 1996 welfare overhaul law expires Sept 30 arid the House has already passed a reauthorization in tune with what Bush wants — most notably by requiring mosfwelfare recipients to work 40 hours per week to continue receiving government checks The 1996 law requires 30 hours of work each week The Senate is looking at a different version written by that Finance Committee Chairman Max Baucus toughens the current work requirement but allows more flexibil" ity in counting education and training as work 8 Y ' Investigators eye Enyon’s business dence” said Tom Friedberg of Brean Murray and Co “If ‘v1 ? Bush criticizes Senate welfare bill for not including tougher work conditions ' ' - anonymity In briof - V--- 4 i to rastoto jr©(Binii MarctiS SEC requests documents as v ‘Vi :a I Stock performance cany ctostya par sham V v-’- j' Q 'k ' ’ v yY Y Vv' YYYYv Y Y aYY'Y I Y:Y Y' : Nuwfcir2H)iHUr7 ' : |