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Show nnta O Financial Markets C5-C- 7 O Mutual Funds C6-C- 7 D Local Business C7 The Daily Herald Filarket in brief Iz October 22, 1996 DOWdndtMnaisi NYSE fl Performance of key stock markets Percent JL ' Previous dose change Wednesday, October 23, 199S reach agreement to end strike G1V2 CAW, C By ALAN Knigrit-Riddj Amsterdam Milan 592 43 SAP 500 AMEX I ; Brussels A, NASDAQ S&PMidCap tmm NYSE Diary 915 New highs Advances: Declines: . 272903. Tokyo ' '1251005; 828 Unchanged: Total issues: 3,284 Composite volume: : 21302 95 ,. ' 0.3 j 57 505,085,560 1995 aig. comp. vol.: 422.909,640 Amse3am Be20 - ! U. j OAX . - . S ja r I c i l .r V i Kcng Kong Hang CAC-4- 0 Nwi j AP Photo Watched by fellow Windsor trim plant employees, Franca Lattuca, right, burns her picket sign outside factory Tuesday. About 26,000 GM workers Local Dinblinbt s DRAPER Utah Disaster Kleenup started its new Oriental Carpet Cleaning and Restoration service this week from its main headquarters in Draper. ;The new division will offer cleaning of decorative and imported rugs including Afghan, Chinese, Indian. Pakistani, Persian, Romanian and Turkish rugs. emerThe firm offers gency service along the Wasatch Front, has 100 full time employees and a skill bank of approximately 400 subcontractors. It has offices in Draper, Provo and Ogden, as well as a full service operation in Boise, Idaho, known as Disaster Kleeup Serving Treasure Valley. ParaSALT LAKE CITY digm Biosciences Inc. Tuesday presented results of studies demonstrating (hat a nucleic acid vaccine using a novel non-virpromoter induces a vigorous immune response in mice to the Herpes Simplex virus II (HSV-2- ). The response is further enhanced by the inclusion of a vitamin D3 adjuvant. The results were presented at IBC's 4th Annual International Conference on Mucosal Immunization, Genetic Approaches & Adjuvants, held in Washington, 24-ho- ur DC. LAKE CITY Medical (Nasdaq: RMED) Tuesday reported first quarter net income of $2,249,802 compared with $1,948,592 in the first quarter of fiscal 1996. a gain of SALT Research 15. Fully diluted earnings per share from health care operations grew by 24 to $.2 in the first quarter from $.17 in last year's same period. Earnings per share contributions from real estate operations declined from $.03 in the first quarter of fiscal 1996 to $.02 in this year's first quarter, resulting in an increase of 15 in the company's total fully diluted earnings per share to $.23 forthe first quarter from $.20 for the first quarter of fiscal 1996. 1 Data SALT LAKE CITY (EBB: Security Corp. DSCY). a Nevada corporation, announced that it has finalized ap agreement with Lockheed Martin Wideband Systems of Salt Lake City to manufacture and market the 0 high speed modem which has been developed by Lockheed Martin Wideband Systems. 0 The provides a high speed modem which can utilize spread spectrum radio frequency for publicly-trade- d EB-20- EB-20- Settlement seen soon in SALT LAKE CITY EFI Electronics Corp. (Nasdaq: EFIC). Tuesday announced results for the second quarter of fiscal 1997 ended September 30. The company reported a net loss of $13,000 with $21. (XX) representing total costs associated with the company's Network Response Systems on revenues of $3.6 million compared to a net loss of $305,000 or $0.10 per share on revenues of $2.9 million for the second quarter A settlement of the three-wee- k DETROIT (AP) strike by the Canadian Auto Workers against General Motors Corp. paves the way for the automaker and the United Auto Workers to reach a deal soon on a new labor pact. The UAW and G.M have talked throughout the strike and have reached an accord on many issues, sources say. But the UAW held off the final push on the remaining details while it awaited the outcome of the Canadian strike. "The UAW and General Motors are very, very close to signing an agreement," said analyst Ronald Glantz of Dean Witter Reynolds Inc. "I expect the UAW to sign within two weeks without any labor disruptions." UAW and GM spokesmen in Detroit declined to speculate on the talks, but said meetings were to resume today at GM headquarters. The strike shut down GM of Canada Ltd. and so far has affected 19,931 GM workers at U.S. and Mexico plants that depend on Canadian-mad- e parts. Assuming the contract is ratified, it could be two to three weeks before all those workers return to work, said a GM source, who spoke on condition of anonymity. 19. SALT LAKE CITY Merit Medical Systems Inc. (Nasdaq: MMSI), Tuesday announced record revenue and earnings for the third quarter and nine months ended September 30. 1996. Net income for the quarter just ended was $676,023, or $0.10 per share (up approximately 49 percent) on record revenue of $12.7 million (up 13 percent) versus net income of $453,905 or $0.07 per share on revenue of $1 1.3 million for the same period a year ago. Cvber-AmeriSALT LAKE CITY BB: CYAA) (OTC Corp. Tuesday announced that through one of its subsidiaries it has entered into three agreements to purchase approximately 4,100 acres in Box Elder County, Utah. The aggregate purchase price of all three parcels of property is $34 ,000. CyberAmerica is a diversified holding company specializing in Internet services, financial consulting services, and real estate ca Euro-troniSALT LAKE CITY Inc. (OTC: Holdings EUHI) announced Tuesday its implementation of a new marketing plan for Access Market Square, the company's virtual internet mall. The company's new marketing approach involves three tiers. The first segment is designed to increase direct sales by adding to the company's sales staff and introducing its products and services to prospective clients. The plan's second segment around direct mail revolves response. The final tier of the marketing program is to offer seminars throughout the country, selling the company's storefront and web page products. cs (See HIGHLIGHTS, Page C7) Briefly Unleaded gasoline (AP) futures rose sharply Tuesday after Venezuela's largest exporting refinery reported its gasoline-makin- g unit had been shut down for at least two weeks for repairs. Natural gas futures prices rose sharply a second day as suppliers raced to replenish low stockpiles amid below-normtemperatures in the Midwest. Elsewhere, coffee futures rose sharply, while wheat lows. futures fell to Gasoline futures staged a late rjilly on news that the unit at Lagoven S.A.'s refinery in Amuay Bay, Venezuela, had been shut down since Sunday. Repairs J al th ; gas-maki- at the facility will take at least two weeks, said Armando Garcia, head of Lagoven's marketing and Kennecott, union reach tentative agreement SALT LAKE CITY (AP) Kennecott Utah Copper and union negotiators have reached tentative conagreement on a new six-ye- ar tract. The company said in a news release Tuesday that the pact would "resolve all local issues" with the 17 unions representing roughly 1.800 workers. The workers staged a two-da- y strike last week, then returned to the negotiation table. They had been working without a contract for two weeks after nearly five months of negotiations. Kennecott spokeswoman Alexis Fernandez said the union negotiating team has recommended ratification of the agreement and voting will begin Thursday, after workers have had a chance to review its details. Kennecott had proposed an average 8 percent wage increase over six years and a boost in the company pension benefits. Union officials said the wage hikes would not keep up with inflation and could be offset by increases in deductibles, which would range from $350 a year per person to $700 for a family within three years. 1 health-insuran- "; U talks UAW-G- M In the meantime, more layoffs are expected. GM said its Lordstown, Ohio, assembly plant will have at least its third shift laid off starting Friday. The plant produces the Chevrolet Cavalier and Pontiac Sunfire twins. The key issue in the United States, as in Canathe practice of farming out da, is outsourcing suppliers. parts work to outside, lower-coCAW President Buzz Hargrove said his union won GM's promise not to farm out any jobs, except for the planned sale of two parts plants in Ontario. But the CAW pact also includes exceptions for jobs replaced by new technology or restructuring to increase productivity. The union originally demanded that GM not sell the plants. Instead, it got the company's guarantee that workers who remain at the plants after they are sold will retain GM wages and benefits term. Buyout packfor the contract's three-yea- r ages also will be offered to workers who want to leave. GM chief negotiator Dean Munger said the deal was good for the automaker, which had pushed g hard for provisions in a new contract. Hargrove called it a precedent-settin- g pact. st cost-cuttin- The strike was costly for GM. but the agreement does allow the automaker to transfer some work to independent suppliers, in exchange, for reversing some outsourcing plans covering 1 ,8 1 4 jobs. GM's biggest departure from the pattern agreement the CAW signed with Chrysler Canada Ltd. last month is that it will sell a fatK rication plant in Oshawa and a plant in Windsor,; without replacing the 3,300 jobs.-Thosworkers will get the same pay and benefits as other GM workers for the next three years as well as up to nine years of GM pension benefits. But unlike a deal continued at an axle plant in St. Catharines. GM will not emnlov the w orkers. After being close to a deal for nearly 24 hours, the two sides finally declared peace about 2 p.m. Tuesday, after GM dropped its demand for continued mandatory overtime on weekdays at plants in Oshawa and agreed to skilled-tradavoid the use of workers. The tentative agreement should lead to a quick restart of talks between GM and the UAW jn Detroit. Negotiators delayed finishing an agreement until seeing what happened on the outsourcing issue in Canada. "I would suspect they wul . come to terms within a week," said Lehman Brothers analyst Joseph Phillippi. "It should go very fast now." trim-maki- es non-CA- S West: Answer the call of the future against two parts of the proposed FCC rule. The FCC has indicated it will appeal the order to the U.S. telecommunications companies has urged his industry's leaders Supreme Court. McCormick said the danger in to "answer the call of the future," implementing the proposed rules expanding their roles, their seris that the Regional Bell Compavices and their efforts to achieve fair regulation. nies, GTE and other large, local exchange telephone Richard D. McCormick, -chairman and CEO of U S companies would lose the FCC "The incentive to invest in the netWEST Inc., told members of works that our states and the United States Telephone are communities depend on for Association that it feeis good ever to i i i i i to the world," and 10 oe in local iciepnony, anu a - access facilto which he smaller telephone ability win. added, But, improve always "it's time to become more than OUT prOQUCtS 3110 companies depend upon for connections and income. 'The proposed FCC rules ryices, are the biggest threat, ever, and vigor- - button to society. and new markets to our industry's ability to ously opposing untair regulaRichard D. McCormick, improve our facilities, our tion. McCormick was keynote US WEST Inc. CEO products and services, and our contribution to society," speaker at the annual conven- tion of the USTA. a trade assoMcCormick said. The need to change the prociation whose members include the way, the FCC has blasted the owners and operators of most some unbelievable potholes. The posed FCC rules was among several "tenets of tomorrow's teleFCC's proposed rules on interof America's 1,200 and phony" which McCormick connection, telephone companies. unbundling described to convention deleMcCormick said competition resale are not competition; will be good for the industry and they're confiscation. gates. The others include: its customers, but only if federal The business is getting bet"It's as if the government said rules assure "true competition" sell your ter, as customers use fax 'OK, McDonald's: ' and encourage continued investhamburgers to Burger King, machines and modems to expand ment in local telephone networks. below your cost; watch them applications, and as competitors He pointed to the Federal undercut your price and call it are eager to enter the business. Communications Commission's competition.'" Competition will motivate Last week, in a case before the companies to improve existing "interconnection" proposed 8th Circuit Court of Appeals, U S services, develop new ones, and" rules, which U S WEST is opposing in federal courts. The pro- - WEST and others won a stay reduce costs. The chairman ATLANTA of one of America's largest posed rules would allow competitors to buy local telephone companies' services below the cost of providing them. Citing the Telecommunications Act of 1996, MrCormick said that "where Congress paved rules proposed the biggest threat, our industry's our .i lJgSUS&i. ltlS, and ourwntri. local-exchan- w v Unleaded gas futures on the rise ; could be back making cars by the end of the week as union and company negotiators reached a tenta-th- e deal Tuesday. tive strike-endin- g communications at rates of up to 4 million bits per second. of fiscal ld le day. r shxn gene-- CBS-n- e Pans Tyo Zjneh CM Suss n M'B ni roi avaiace nonay Seng London FT 100 S&nef A OrSrarct Mfian 3788 2 I Can ' MARKETS I Rank-and-fi- 0.8 . : t Zurich J731 , The strike by 26,000 CAW; members had also resulted in the! layoffs of 20.000 U.S. and Mexi- can GM workers, who will now quickly return to work. Ratification of the agreement, which both sides portrayed as favorable, will be held today at all II of GM's facilities in Canada. acceptance by the CAW members is expected. Production should resume by Thurs- .?32. 0.4 Hong Kong 0.4 2180 22 ' Sydney ' 0.5 oil Ha 63 i London 127 1541 trnfrZJ Frankfurt 0.4 mm Paris 1820B7 0 .1 9962 03 n Newspapers three-week-o- I fiw-'- 0.1 L AOLER The Canadian TORONTO Auto Workers and General Motors Corp. reached a tentative agreement Tuesday to end a strike and allow GM to resume building cars and trucks ' ' er sup- ply division. Venezuela is the leading foreign oil products supplier to the United States, and the outage could cause a short-tersupply shortage. The Energy Department last week reported gasoline stocks fell a sharp 2.6 million barrels to 194.4 million barrels, leaving supplies at their lowest level in nearly 25 years as refiners focus on tight heating oil supplies. Natural gas futures also rose sharply on the New York Mercantile Exchange. Dow down 29; NEW YORK (KRT) Major stock indices posted their first big losses Tuesday in two weeks. led lower by technology, stocks, as investors took profits from the recent rally. The Dow Jones Industrial Average closed down 29.07 points, or 0.47 percent, at 6061 .80. It was the biggest loss for the Dow since Oct. 9, when it fell 36 points. The technology-lade- n NASDAQ composite index, which a week ago closed at a record 1258.10, has fallen in four of the past five sessions. Tuesday it lost 16.53, or 1.33 percent, to close at 219.88 as investors took profits in earnest. Many of the biggest technology companies turned in earnings for the third quarter, but the stocks already have seen Thus, sharp gains since the July sell-of- f. investors who bought in anticipation of good 1 techs sink on earnings have been selling technology shares in recent days to take profits as the predictions came true. Intel, which closed as low as 69 on July 24, is up 56 at the depths of the summer sell-of- f, percent since then. Tuesday, it fell for the fourth straight session, closing at 105 12, down 2 14. Microsoft, which reported earnings after the uosing bell Monday, rose initially in after-houtrading, but ended Tuesday's session down I 12 at 132 12. One big technology company turned in a truly disastrous earnings report and got pummelled for it. Digital Equipment Corp. plunged 5 58 to 28 34, on volume of 6 million shares, making it the most active issue on the New York Stock Exchange. The company said it lost 48c a share in the September quarter, when Wall Street had been expecting a loss of 14 cents. rs profit-takin- g! Late in the session, the Dow extended its loss to 50 points, triggering the New Yor Stock Exchange's restrictions on computer-guideprogram trading. e Aside from the technology stocks', investors have poured money since July into blue chips in such sectors as energy, shunning more speculative stocks in favor of those showing consistent earnings growth as the economy slows dowr. Greg Nie, technical analyst at Everen Securities in Chicago, said the stock market is near-in- g an overbought condition, although it stilt has a bit more to run on the upside. He noted line has had a difficult that the advance-declin- e time getting through its second-quarthigh, and volume remains anemic. Once the market tops out, it should slide to 5600-570- 0 on the Dow, he said. "I would conv sider that a minor move down," Nie said. big-nam- er |