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Show v V V - -- r V ? r' XT r Y" 1 r V - ' ' V v ir a? v " V W- Lloyds of London Loses Shirt (and Pants) hi Deal 4i it 4 '1r United Press International deal lor It began as a sure-fir- e Lloyd's of London the kind the, world's largest and most famous insurance market often pioneers and the sort o! unique insuiame tolerate that tan reap handsome profits for relate el small risk It is ending as the biggest basin m y history, one that Lloyd's likely will tost the London primes of Insurance $221 million or more in c hum layouts and one which has blemished Lloyd's reputation lor astutt ness Along the way, the deal ihat was supposed to be good lor everyone has turned to grief for all Originator Convicted It even has resulted in the federal for bungled attempts iu conviction bug competitor's business meetings of the man who dreamed up the insoranee deal in the first place mistake was to j Lloyd's largest-eve- r provide computer lease insurance. Iwritmg policies for at least $1 billion in overage on leased equipment between tl9T3 and 1978. The policies pledged Lloyd's to pay the owners of computers put on lease for any losses if the leases were canceled Ttu6s imrsivehna the affair with hindsight say Lloyd's should have .known better than to insure against 'such losses, that it was greedy for what T looked like easy money instead of bad insurance Not Insurable "That was a business risk, not an J insurable risk," said John Vend of American International Group, the ; large insurance combine. A1G turned down requests to write computer lease ; insurance in 197th Federal Leasing Co. of McLean Va., a computer leasing firm which made .heavy use of the Lloyd's policies, says the London underwriters are reneging on claims payments. It has sued three-centur- , 1 1 - PuCirae sound Kilty Apartment Burning Mortgages oi mo$e eately ytetdRM) $6000 to $'00 000 denomma Investigate tn aerate rKOffi REtt TY & mORTOKX Of $6? test 00 5otAh . Took His Cut What worried the bankers didn t woi ry Lloyd's and Christopher got what he wanted. With the confidence of protection from Lloyd's, investors pul up the money; the computers weie leased witi the monthly fees repaying investors; and Christopher took a cut tor his efforts. "The leasing companies mostly attract money troin elsewhere and the investors are all (onrerned about the risk with the residual value of the computers." said Ted WTthingtnn of the Canbndge. Mass . consulting firm of computer leasing bandwagon Computer leasing insurance was so idely spread that perhaps the greatest majority of Lloyd's members are involved in one way or another." conceded spokesman D. H Lamer w 'If V Diesel Standard, Gasoline Optional DETROIT The 1980 Cadillacs with front wheel drive are first American cars with diesel engines as standard features. t, f AP) Special to The Tribune BRIGHAM CITY The first static test of Thiokol Wasatch Division's contribution to the MX Missile sy stem will be in late 1980. An offieial for the division said that during the Thiokol will static program, extending to test 21 development motors and will provide first stages and ordnance initiation and flight determination systems for the first 10 missile flights. from the previous week's 2.431 million tons, the American Iron and Steel Institute reported Monday. Savoca. Thiokol v ice president and general manager of the Wasatch Division west of Brigham City, estimates the total value of the development contract at "approximately $140 million " full-ti- Contract efforts have been under way since May he said, and the MX Missile w ill succeed the Air Foice Minuteman as the United States' primary intercontinental ballistic missile. A motor using MX propellant and a case fabicateii with Kevlar fiber to produce a lightweight chamber was successfully tested in the fall of 1977. Mr. Savoca said. The MX first stage ditiers from other Thiokol programs in that company will deliver the full stage rather than just the rocket motor. This includes hardware mounted on the motor, the thrust vector control system, the ordnance initiation system, flight cables and interstage hardware. t 1978, land-base- part-tim- d .'ull-scal- e Chuck consistently earns the National Quality Award, a measure of proec5:onal service to his clients. You can have confidence in him to help you plan your family's financial security. For sound, professional advice on how you can use life insurance to he'p you realize your personal goals, call Chuck Abercrombie high-strengt- today. nE?xyfSy '- irvyAni Naw York Life Insurance Company Utah General Office -o T East South Temple '- (sflcaiaiEEK) - as September 25. 1979 'm'Ihui Firm to Replace Asbestos Parts A manufacturer of hair WASHINGTON iAPi in used salons agreed Monday to beauty dryers replace asbestos heat shields in the devices, the Consumer Product Safety Commission said The commission said the "Rocket Blower" hair dryer is used in about 300 beauty salons m major cities. Most are located in black neighborhoods, the commission said, because of the hair dryer's particular suitability for use on black hairstyles The hair dryer is made by Bonut Inc. of West Paterson. N.J., which has made about l.fioo ol the special purpose hair dryers for beauty salons since 1972, the commission said The commission this year actions against hair dryers which is considered a cause diseases if fibers of a size breathed are emitted t4f Bonat. like manufacturers of the home models, said it believes its hair dryers present no health hazard. The company said it nevertheless agreed to the correction program. are invited to a 3e No matter what your background, you too can become a success in Real Estate Learn What Real Estate team How To Get Started 'Manufacturers suggested Wigtitman hek Pre flense hot-selli- 'id Tribune DENVER Frontier irhnes has announced the promotion ot Ron Thornton, formerh ol Salt Lake City as deputy director of sales for the carrier's western chvi sion field mai ketmg Based at Frontiers corporate headquarters at Denver. Mr Thornton is responsible for sales and marketing develop nient for the cities in the western halt of Frontier's route s stem Mr. Thornton was district sales manager tor Frontier m Dallas Ft Worth lor the past eight . vein's w Mr. Thornton Senate Bank Panel OKs Bill on Interest WASHINGTON AP, The Senate Banking Committee approved a hill Monday that would phase out federal controls limiting the mtelest late that hanks and other institutions pay on sav ings accounts The measure would luqunu that the interest f a pen village point pci celling be raised by year from 1982 through 1Wi when controls would expire By that time, today's rate of 51, percentage on a pass hook account in a commercial hank would rise to 9k percent The same bill, aimed at meieusiiig incentives ,,r Americans to save more and spend less, would require that the 10 (HK minimum lor a certificate of deposit be reduced to M .(Hm within two years. This amendment. smsored by Sen William the committee chairman Proxinire, is designed spec tfically to help small savers i one-hal- lugh-euruin- g help INSURANCE BE 280 West 7200 I Clark b T COFRAGE PRICE SE.RVU & f 57 Companies Iqy.Is o Lorn!' "i- - BepiesePtmg So. pins L 942-210- 0 aie n iwkNi4rMh UFD 0 limp Small Jb s JAMES U'u.i E & iaj, 44 SLC Lt,n 84 lb 1801 a CO Ot UTAH W, l( Km 1. 'I 3 iNe s,;,.., ui.t'i 84,q Ob' Hi jy-- i ; Hb Business th $5,000 $10,000 NOW EARN $20,000550.000 oi new independent business SHORTTERM Opurrftmg C.ipilul Invuntory Now Lquipim nt Fain Loans, 3 JOHN WOODS EPEtUGEOTT I ' one builds cars the way we build cars. t'jW'VC T ewv j f: ft j & i'Hwft T i Free n jfttrtur months) (6-2- 4 FOR INFORMATION CALL Application taken by Phone. POE 10 PAID MONTHLY FULLY SECURED GOOD REASON r or established Ul EFFECTIVE ANNUAL YIELDS ON SHORT TERM TRUST DEEDS MONEY AVAILABLE FOR ANY Toll No Recalls No cost or ob'gdtioi of course but please call to let us kno you are coming 21 tor model shown is $10,733 20 Includes automatic transmission, air conditioner and AM'FM stereo radio Delivery, additional optional equipment, license, title, taxes, not included price learned th it yau could pti! the ocean s,ud one critic Announces ar Immediate r commercial myvn tra"i'r in hoouAf ViOevi t'din m. available 24 hours WHERE: Roadway Inn, Jf'crvren&s 266-003- Lloyd s the (dug on classes ana os Start up costs $100,000 UP TO $200,000 OR MORE - d at one e I c Guileful Motors Corp Monday DETROIT 'UPI oi 225IHKI its called popular X Car compact', h r, t a putt utiul ti jiisinissiuii cooling line lom-i- t that could cause a lire under the hood GM said ll.ll.Uixi ol those vehicles ako mJV have a cracked mounting plate in the steering mechanism, which could result in exces-iv- e steering wheel play tir-srecall involving the It was the the X Cars GM introduced in April as 198n models Chevrolet Citation. Pontiac Phoenix. Oldsmolnle tnneua and Buu k Skylark The company said it has leeeived no reports ol GM accidents or injuries because of the defects however, (here have lieen nine spokesman reports ol tires under the hood GM attributed the transmission line problem to possible material delicieiu ies in cooler line hoses "This cviuld cause hose failure and transmission fluid leakage which could create potential for an umlcthood lire " GM said The second ikied involves the steeling gear mounting plate. GM said On loiLlkk.i vehicles, fatmue clacks could develop and cause attm hment to loosen WHEN: Wednesday, September 26th TIME: 7:00 P.M. to 8:30 P.M. Figures based upon cap. cost $10,300, open end lease, residual of $4,120. First payment required as down. Does not include taxes or license. 4528 So. State aMt Available PfSonM investment opportunities Unlimited income putentul ersonjl mcofmtion Heiioie time schedule Opportunities for advancement 48-mon- has taken a series ol containing asbestos, of cancer and other small enough to be "CAREER NIGHT L ,nr. c Sfiec ml to The I Page You about as smart as you can get. Because the 504 is, quite simply, one of the finest cars on the road. And one of the two finest diesels in the world. So come in and talk to us about leasing a diesel from Peugeot. Well set you up with the perfect lease. For the perfect car. c Ex-Sa- I) Offers You Leasing a car is a pretty smart move. And leasing a Peugeot 504 Diesel is I ny Frontier Promotes il Lake Man Tuesday Morning. The company and the government a geiicy piom- ised to instruct distributors and beauty aloiis aliout the program to modify the hair dryers Salt Lake City, Utah 84111 Phone: TX tZ alt Lake tJribnnr 'Bnsim'ss mid-198- A. L. 27S Cadillac Seville Elegante has same exterior dimensions as '79. but with 1.7 more cubic feet trunk space and leather seats. Thiokol Dockets MX Motor Test . y0f tiotis t The first flight test is scheduled from Yandenberg Air Force Base. Calif., in January 1983. We guarantee tomorrow today. X-C- 'V atocejwwwe, high-scho- NEW YORK equipment introduc ntei national Busines-MuLines prompted lease cancel!,, turns IBM chlivered a capping blow list January when it unveiled and cheaper 43n sene' Lease eU'tnmeis seeing a better deal am elect ill di ov es Critics sjy Lloyd's should have lecogtazed the basic pieunse of lllslll inflect plemninis oil a laige aiu-iuiuiIm r oi ships lor example, to pay oil didn't apply to the few wrecks ill lit which could he !' as 1977. tai As use-wou- ld -- ii f v it It certain computer keep their machines tor the full contract term and were happy with the m Sul premium tate that was to bring million to S75 nnlhon They also veete content Wllh the potential ales Vahie o! computers and other seeming sateguuids Couldn't Foresee s knew new computers might Lloyd come onto the market but thmiLht t lit se would be more expensive and not dampen demand for older equipment What Lloyd's did not foresee in an inflationary age was lower pines lor veii new computers wilh equal "i greater capabilities They GM For more than 20 years Chuck Abercrombie career of guiding V has made a ' families like yours toward greater financial security. Planning financial security for hundreds of families is just e basis. too imprrtant to work at it on a , Arthur D Little Inc "Because Lloyd s did this one thing.' W lthinglon said, "investors came out of the woodwork and computer leasing expanded markedly groups formed IJoyd's syndicates by individual Lloyd's members to scented a underw rite insurance risk free gold mine Senior members of Lloyd's governing committee tumped on the High-Scho- Steel production rose to 2.445 million tons in the week ended SepL 22, an increase of 0.6 percent 00 Government agencies, big lease Users, were free to cancel at any time Slecl Production Climbs S$ s$S Lloyd's for a minimum ol $27 million m claims and another $i millkn in damages, the larges! muIi suit ever faced by Lloyd's Lloyd's has explanations for why n w rote the insurance but for the most part is being tight lipped It hi!' launched an internal investigation to determine how it got stuc k so badly and what it will cost to get out Wipes Out Profits own Lloyd's preliminary loss esti mate of $22 nHlk'P more Ihatt double Us previous record loss on Hurricane Betsy which hit South Flori will da ami Ianusianna in 1965 "pretty well wipe out" Lloyd's profits for a year, according to an underwriter's spokesman Says Lloyd's Underwriter Murray Lawrence, head of the investigating panel: "We made a lot of mistakes. IJoyd's got into computer leasing insurance when presented with a "can't miss proMsition in 1973 by a brash, 27 year-ol- d Texan. Charles S. Christopher. Dropout A dropout who honed his selling skills on encyclopedias and insurance. Christopher gravitated to !t2:inrt frimpnlora Up crw.n pnmp im with an idea to get lenders, mostly banks, to finance computer deals on favorable terms, preferably with seven-yea- r loans loans also had tax benefits but Longer carried more risk: lenders worried technological advances would result in canceled leases and depress prices for releasing or selling the older equqi-menjeopardizing the loan repayments. The hankers wanted assurances. Christopher asked Lloyd's to insure the loan repayments if those using the computers canceled their leases Some leases pennitted cancellation after four years, some after as little as 180 days 328-252- 8 EQUITY GROWTH CO. 800 b.M.M-- l , air 298-249- 7 A COMMERCIAL CREDIT 74 West 500 S3,,,.. A . V Ml AH1 I South I Ml 1 Bountiful, Ot. 84010 All III Mill NTC1 t)Ml i - |
