Datasets:

KomeijiForce

/

nyt_loc

like 0

when helen sharman of sheffield roared into space atop a soviet rocketship last saturday , the observer of london bannered the moment the next day with a front page headline that read , " women from mars is first briton in space . " the reference to mars , however , had nothing to do with miss_sharman 's new life in outer_space . rather , the observer , like other british papers , has been playing in recent months on miss_sharman 's former employment at the mars candy bar factory outside london . miss_sharman , a 27 year old chemist , was working there in 1989 when she answered an advertisement that read , " astronauts wanted no experience necessary . " she got the job by beating out 13 , 000 other people who also wanted a seat on the first british soviet space mission , which was organized by the soviet_government and a private consortium hoping to lure commerical sponsors . miss_sharman , who rode into space alongside two soviet astronauts , is to return to earth on sunday , after an eight day mission in which her schedule called for performing several scientific_experiments , as well as fulfilling a sponsor 's request by placing what is described as the first floral delivery order from outer_space . no celebrity orbit considering that she is the first from her nation to carry the british flag , and a portait of the queen , into outer_space , miss_sharman has not been propelled into the highest orbits of british celebrity . while sir rodric braithwaite , the british ambassador in moscow , joined miss_sharman 's parents , john and lyndis sharman , in watching the launching from the soviet space center in baikonur , in central_asia , the story made the front pages of only half the newspapers published in london , and television coverage has been spotty . either space travel is no big deal anymore , or it is tough to get excited about becoming the 22d nation to have one of its own in orbit . in the 30 years since yuri a . gagarin of the soviet_union and then alan b . shepherd jr . of the united_states became the first humans in space , astronauts from poland , mexico , saudi_arabia and even afghanistan , among others , have been there before britain , riding atop american or soviet rockets . if a scientist whose specialty involved the chemical properties of chocolate might seem an odd choice for an astronaut , friends and former teachers in sheffield , an industrial town in northern_england , say they are not surprised that miss_sharman was picked for the space mission . in an interview , ken cook , the headmaster at the meadowhead comprehensive school and one of miss_sharman 's instructors when she was a student there from 1974 to 1981 , described her as a " very determined , very bright young woman , " with interests in both music and science . something of a trailbreaker at the time , he said , she was the only woman enrolled in the school 's top mathematics , physics and chemistry classes . " back then , the expectations for girls were different , and i think it took some courage and determination for her to prevail , as she did , in the sciences , " mr . cook said . " she was determined to succeed in areas that were not traditional . " that sense of resolution coupled with a fine sense of tact served her well on thursday , when anatoly artsebarsky , the soviet flight commander , said at a news conference beamed back to earth that he would rather fly with men , because space flight is " not a woman 's work . " miss_sharman simply replied " we are getting on very well . there have been no arguments so far . " in interviews before the launching , miss_sharman sought to play down any apprehension over the mission . when british reporters asked if she was frightened , she replied sternly " i 'm not going into infinity . i 'm going into lower earth_orbit . " to prepare for the flight , she has had to undergo 14 months of rigorous training in the soviet_union , including intensive russian_language instruction that , among other things , enabled her to converse by radio on monday with president mikhail s . gorbachev . mr . cook said miss_sharman 's spaceflight had made her far and away the most famous graduate of the sheffield school , eclipsing the fame of one of her own classmates , fraser digby , a soccer player . family interest in science friends say she inherited her interest in science from her parents . mr . sharman was trained as a physicist , although he is now the assistant principal at sheffield college , a vocational_school . mrs . sharman is a nurse . " i think she clearly took her lead from her dad , " said ron eyley , an instructor at the college and a longtime friend of the family . " but she had an interest in a lot of things lanugages , athletics , whatever . she even used to drive her own motorcycle . " after graduating from university with a degree in chemistry , she was hired as a research scientist and confectionary specialist at the candy factory , which is operated by the american company mars inc . despite widespread public admiration for miss_sharman , the space mission has been the object of some criticism in recent weeks , amid disclosures that a lack of commerical sponsors for the trip has forced the main soviet backer , the narodny bank , to cut costs by eliminating some of the scientific_experiments that miss_sharman intended to carry out . " i know there are people who now say it 's not like a briton going into space for her country , but rather a case where she is just a passenger on board a russian spacecraft , " mr . eyley said . " well , that 's wrong . what she is doing is something that ought not to go unmarked in either sheffield or britain . we are all very proud of her . " correction may 31 , 1991 , friday a chart on saturday listing women who have flown on space missions , with an article about the first briton in space , omitted an american astronaut . she is ellen baker , who flew on the space_shuttle in october 1989 .

as expected , the halifax group , britain 's biggest mortgage lender , and the bank of scotland announced a 26 billion merger to create the fifth largest of britain 's highly competitive main_street banks , which include barclays , lloyds and hsbc . existing halifax shareholders will have 63 percent of the stock in the merged group , to be called hbos p.l.c. , and halifax executives will fill the top two management positions . the deal is expected to hasten a further takeover of the abbey national mortgage lender by lloyds tsb bank . halifax and bank of scotland said they expected cost savings of 420 million from the elimination of 2 , 000 jobs , 3 percent of the combined work force , over three years . alan_cowell ( nyt )

europe , battered by recession , expects 1.5 percent growth in 1994 . japan is still mired in economic woes , though there is some talk of a rebound . china , whose growth in the last year has been in the mid teens , could experience a slowdown to merely spectacular 10 percent growth . then there is russia , which must balance international calls for austerity with domestic politics and slow or fast_paced privatization . from around the world , correspondents of the new york times assess local economies . after a clear look at the dark underside of russian nationalism , manifested by the spectacular vote for vladimir v . zhirinovsky in last month 's elections , westerners must regard russia as one of the world 's great crap shoots . the west and its fiduciary agent , the international_monetary_fund , had high hopes for a resounding victory by the westernized economic reformers who dominated the russia 's choice party , led by first deputy prime_minister yegor t . gaidar . a reformist majority in the new parliament , they thought , would provide the political mandate for a sweeping economic program . they were wrong . there are many reasons that almost half of russia 's voters did not vote , as there are for the fury of those who voted for mr . zhirinovsky and the communists . but there is no denying that a large majority voted against what they understood to be the kind of economic_reform advocated by russia 's choice and the west . such a vote will make an i.m.f . austerity program , which would result in large increases in unemployment , almost impossible politically . so russia enters the new year at a crossroad . to listen to the voters too avidly would mean gutting economic change and bring about even higher inflation and instability , further fertilizing the ground for fascism , mr . gaidar argues . so he is relying on president boris n . yeltsin , who consciously remained above the fray , to ignore the voters and follow the usual russian route to reform from on high , by decree . but it is likely that mr . yeltsin will continue to fudge , to steer a sloppy , compromising course between irreconcilable concepts of how the russian economy should be managed . that might not insure disaster , but it could mean more of the same , only with higher inflation , as russia muddles through . grigory a . yavlinsky , the non government reform economist , suggests an alternative faster privatization to break up monopolies and produce competition , combined with less worry about fighting inflation . mr . gaidar counters that " to talk about a softer anti inflation policy when inflation remains at 15 percent a month is professionally senseless . " the economic reformers in the pre election government , led by mr . gaidar and finance minister boris g . fyodorov , were never dominant . in fact , economic_reform in russia has little deserved the " shock_therapy " label . diplomats have started calling it " bulimic " instead , because sharp doses of reform are followed by long periods of chaos , inactivity and bureaucratic paralysis . inflation ran at 20 percent a month , with a drop to 15 percent in november . that drop , intended to encourage the i.m.f to pony up an additional 1 . 5 billion in special transition loans to cover the budget_deficit , was created through a simple refusal to pay government obligations , including salaries , to miners , farmers , soldiers and others . so russia will begin the year with a sizable bill some 5 trillion_rubles , or 4 billion , in deferred payments . that is nearly 10 percent of g.n.p. , which will push inflation up again no matter what decisions any new government makes . steven erlanger.

the bodies of four american_soldiers were found by marines on friday in a shallow_grave in the battle worn town of nasiriya , near the euphrates_river . military officials said they believe that the four were executed by iraqi paramilitary_forces after they were seized in an ambush on sunday . military officials declined to speculate as to whether the four were among those who were shown alive by al_jazeera television last weekend . the military had heard reports that the soldiers were executed after they were shown on the arab network , but there was no confirmation of that . on friday a marine unit found the four bodies in a freshly dug grave near a house in the northeast corner of the town of al_jazeera . an army official said that the four were wearing american military uniforms . today the military were flying in a forensic team , military investigators and a member of the v corps staff judge_advocate 's office to the site . officers said that the military was tentatively treating the deaths as a war_crime . the soldiers seized in the ambush have been listed as missing in action . the 507th_maintenance_company is attached to the third infantry division . officers of v corps said the names of the dead would be released after their families were notified . the ambush took place in nasiriya , in southeastern iraq . according to army officers , soldiers of the 507th maintenance unit were traveling on highway one , a main north south artery , in darkness in a convoy of six vehicles . the unit was en_route to supply an antiaircraft_battery . the convoy took a wrong_turn , mistakenly leaving highway one . officials said they believed that as the americans realized their mistake , they turned around and quickly encountered two iraqi t_55 tanks and an advancing iraqi military unit . the soldiers came under rocket and small_arms fire . in the fight that followed , the first of the two cars , a humvee , the standard army vehicle and a tool truck , were separated from the other four . an army captain in the humvee the senior officer drove the vehicle carrying wounded soldiers through the gunfire . according to one account , the officer drove nearly four miles before being forced to stop because his tires had been crippled by gunshots . the officer sought to change the tires of the humvee , when an american marine unit on patrol saw him and the soldiers in his vehicle , officers said . the marines called in a medevac helicopter , which evacuated the officer and his wounded soldiers . some were seriously wounded , one of them shot in the jaw . the marines resumed their patrol in search of the fedayeen , the paramilitary force . within minutes , they came upon two american vehicles , damaged by bullets . two other vehicles were burning . no americans were in sight . hours later , grim photos of american_soldiers were shown on al_jazeera . some appeared to have bullet_wounds to the head . the uniforms of others were stained with blood . within 24 hours , the army was hearing reports that some of the soldiers had been executed . a nation at war the prisoners.

willie colon , the popular salsa musician , has taken up a political beat he is challenging an incumbent congressman , eliot l . engel , in the democratic primary for a seat representing much of the bronx and some of westchester . the 44 year old singer and bandleader , who was born and raised in the bronx and now lives in new rochelle , announced last week that he would seek to wrest the 17th congressional_district seat from the three term incumbent because , he said , he had been asked to by community groups " not satisfied " with mr . engel and wanting " more dynamic " leadership . it is the first attempt at public office by mr . colon , but he noted that he had been active in the political campaigns of other candidates , including bill clinton , on whose behalf he spoke before hispanic groups in illinois and pennsylvania in the 1992 presidential campaign , and former mayor dinkins , for whom he made radio commercials last year . a spokesman for mr . engel , frank pizzurro , said the congressman had many satisfied constituents and had " worked to fight tooth and nail " for his racially and ethnically_mixed district on such issues as education , health_care and housing . the district comprises the northern third of the bronx , with a spur running south to an area near yankee_stadium , as well as parts of such southern westchester cities as yonkers , mount vernon and new rochelle . it includes affluent riverdale in the bronx and middle_class and blue_collar areas such as co op city , kingsbridge and woodlawn . mr . colon could prove a formidable foe , said the head of the bronx democratic organization , assemblyman george friedman . he said the organization was backing mr . engel and predicted that the incumbent , who is white , " will do very well in the white community . " but he added that mr . colon , who is of puerto_rican heritage , was " a known name in the latino community , and if afro american people in the community coalesce around him , you 're talking about a real candidacy . " the district 's population is about a third hispanic , a third black and a third non hispanic white . on the other hand , it may not be a head to head contest in the sept . 13 democratic primary , in which victory is tantamount to election in the overwhelmingly democratic district . jeffrey r . korman , a former state senator , and dennis coleman , also a former state senator and now president of the new york city school boards association , said they were considering running , too . mr korman is white , mr . coleman black . mr . colon acknowledged that " my base is the latino base . but he said he was also " seeking afro american support and will also be seeking white support . " he stressed that he has received a crucial endorsement from larry seabrook , a north bronx assemblyman who is black and is chairman of the black and puerto_rican caucus in the legislature . so far two of the most prominent hispanic politicians in the bronx , representative jose e . serrano and brough president fernando_ferrer , have not taken positions on the contest , but mr . colon said , " i will be reaching out to them . " mr . colon said he had immersed himself in issues important to 17th district constituents . " i intend to be a full time congressman , " he said . " i have already limited my performing drastically . " joseph p . fried neighborhood report north bronx.

lead this tobacco town now has north_carolina 's toughest ban on smoking , largely because a pregnant woman grew angry about having smoke blown in her face in the check out line at her neighborhood supermarket . this tobacco town now has north_carolina 's toughest ban on smoking , largely because a pregnant woman grew angry about having smoke blown in her face in the check out line at her neighborhood supermarket . the complaint of lori faley is credited with initiating an ordinance that was approved by only 173 votes out of nearly 30 , 000 cast by the city 's voters in tuesday 's election . the city_council could enact the ordinance within two weeks , banning smoking in elevators and large retail stores and requiring no smoking sections in most restaurants . otherwise , if both sides agree , the ordinance would take effect jan . 1 , to give restaurants and stores time to prepare . the penalty for smoking in a designated nonsmoking area is 25 for each offense . but no penalties will be imposed in the first year . while greensboro may not be on the scale of winston_salem or durham in terms of tobacco production in north_carolina , it is still a tobacco stronghold . lorillard inc . , which makes newport , kent and true cigarettes , is one of greensboro 's major employers , with 2 , 300 workers in this city of nearly 200 , 000 people . ''we do n't feel like it 's going to stop here , '' earl jaggers , a union leader at the lorillard plant , said of those who sought the smoking_ban . ''these people are going to move on to other cities and states . '' david hudgins , spokesman for the group that pushed for the ordinance , said today ''we 're not saying , 'do n't smoke . ' we 're saying , 'do n't expect me to have to breathe your smoke . ' '' mrs . faley , who has since moved to wisconsin , did not return reporters' telephone calls . voluntary restraints sought ''she backed off from being in the forefront after she received some threats and comments , '' mr . hudgins said . ''i 've received some threats , too . '' before the vote , she told the greensboro daily news she was frustrated with trying to get businesses to impose voluntary restrictions . so mrs . faley and others formed gasp , for greensboro to alleviate smoking pollution , and collected 7 , 300 signatures calling for the ordinance . with 14 , 000 tobacco farmers , north_carolina produces about two thirds of the nation 's flue cured tobacco , and its cigarette makers produce 56 percent of all domestic brands . before tuesday 's election , the greensboro citizens for fairness mailed out 55 , 000 brochures to residents asking them to vote against the ordinance . the group was financed by lorillard , rjr_nabisco in winston_salem and other cigarette manufacturers , said betsy annese , a spokeswoman for rjr_nabisco . alexander spears , a lorillard vice_president who became the chief spokesman for the group fighting the ban , said the group did not plan to challenge the results of the vote . loewsd ( lorillard )

lead the legal implications of aids and the nomination of judge robert h . bork to the united_states_supreme_court are among the topics occupying the 20 , 000 people who have converged on this city for the annual meeting of the american_bar_association . the legal implications of aids and the nomination of judge robert h . bork to the united_states_supreme_court are among the topics occupying the 20 , 000 people who have converged on this city for the annual meeting of the american_bar_association . and at a news conference today , eugene c . thomas , the president , announced that the association had concluded an agreement with a soviet lawyers' association that would permit american lawyers to observe trials in the soviet_union and monitor compliance with human_rights agreements . the bar association began formal ties with the soviet group more than a year ago , despite opposition from some members who think the americans are being duped into lending support to a regime that ignores international_human_rights treaties . the dissidents have been picketing the convention . ''trying to trick a knowledgeable lawyer with a show trial would be foolish , '' said mr . thomas . ''it would not work . we are n't naive in dealing with soviets or in observing trials . '' mr . thomas also said that the association had allocated 65 , 000 for a ''comprehensive'' study of the legal implications of aids that would serve as a ' 'resource for lawmakers across the country . '' the convention marks a new level of concern about acquired_immune_deficiency_syndrome by the association and about violence aimed at homosexual men and women . at least a half dozen programs are devoted to those topics . homosexual men are one of the high risk groups for the disease , which destroys the body 's immune system . abby rubenfeld , who is a legal director of the lambda legal defense and education fund , a homosexual rights organization , was active in planning some of the a.b.a . programs . ''every area of the law is touched by the aids crisis , '' she said in an interview . but it is the bork nomination , which has pitted conservatives against liberals within the 330 , 000 member association , that is expected to dominate the convention . it even took center stage friday at a panel discussion on ''religion and politics the enduring constitutional question . '' after each panelist , including the rev . jerry falwell , the leader of moral majority and the ptl ministry , and edmund g . brown jr . , the former california_governor , had offered views on the influence of religion in politics and public_policy , members of the audience took advantage of a question and answer period to bring the discussion around to judge bork , and the ''threat'' that his confirmation would mean a five judge conservative majority on the high_court . mr . falwell said ''ronald_reagan has nominated him , and i have trusted the president 's wisdom in these matters . he 's done pretty well with sandra day o'connor and antonin_scalia and i 'm willing to trust one more time in his wisdom and judgment . '' mr . brown indicated his opposition to the nomination , and he later told reporters he would prefer to see a nominee in the tradition of associate justices lewis f . powell jr . , harry a . blackmun ''or even some of our liberal friends , but not someone as ideologically committed as bork has been over the last 25 years . '' judge bork , if confirmed , would replace justice powell , who is retiring . justice powell told a luncheon meeting today how the court had functioned in the first full term of william h . rehnquist as chief_justice . while he praised the manner in which chief_justice_rehnquist led the court , he said , ''it is , of course , too early to venture an opinion of any kind as to the extent to which chief_justice_rehnquist will lead or significantly influence the court in its decisions . ''

n.y . to g.o.p. walk this way be not afraid , good republicans . new york need not corrupt you . yo , though you walk through the valley of the shadow of death , you will fear no evil as long as you stick to a walking tour we have designed with a theme just for you how the republicans saved civilization . you might wonder what new york has to do with either republicans or civilization , but have faith . venture out of the garden east on 34th_street to the empire_state_building , which was paid for the old fashioned republican way , by capitalists trying to outdo other capitalists . the winner of their competition to own the world 's tallest building became the city 's symbol , and the runner up became many new yorkers' favorite skyscraper , the chrysler_building . the bureaucrats who later put up the world trade center ( at a cost to the public that became a scandal ) went higher , but their bland boxes never measured up to the deco glory of the capitalist towers . then stroll up fifth avenue to 41st_street and bow to a monument to compassionate conservatism , the new york public_library , another architectural landmark built with private money . the marble lions guarding it used to be called leo astor and leo lenox , in honor of john jacob astor and james lenox , the two philanthropists whose book collections were combined to form the library . ( lenox 's copy of the gutenberg bible is currently on exhibit . ) meanwhile , andrew_carnegie was financing dozens of libraries in new york and giving away more than 350 million in accordance with what he called ' 'scientific philanthropy'' and ''the gospel of wealth . '' it was scripture to soothe the soul of any republican worried about that camel fitting through the eye of a needle . carnegie preached that robber_barons were instruments of the lord . money flowed to them so they could use their genius to spend it for the public good and , of course , keep a small commission to spend on their own basic needs , like carnegie 's 64 room mansion on fifth avenue . carnegie 's gospel has been mocked for a century , especially by democrats , but it 's hard to imagine new york without the robber_barons' legacy . they left behind magnificent public buildings like carnegie_hall , superb universities and hospitals , museums ranging from the grand_metropolitan to small jewels like the cooper hewitt in carnegie 's old home and the frick collection in the mansion of his old partner henry clay frick . the great satan of the gilded age , john d . rockefeller , left the medical research institution named after him on the upper east side , but the supreme rockefeller gift to new york was n't an act of charity . you 'll find it by continuing up fifth avenue just beyond 49th_street to reach the promenade of rockefeller_center , the private real_estate_development that proved you could do very well by doing good . it was financed by john d . rockefeller jr . , who combined exquisite taste ( see radio_city_music_hall ) with a keen desire to make money . the promenade was designed to encourage shopping , from the strategically placed store windows to attractions like the christmas_tree and the sunken ice_skating rink , which was added to lure people to the restaurants and shops on the lower level . it 's now recognized as one of the world 's finest public spaces , but its lessons were ignored for much of the last century by the city 's leaders , starting with mayor fiorello la guardia ( a republican in name only ) . he preferred bureaucrats to capitalists . he renamed the library 's lions patience and fortitude , the qualities he called essential for new yorkers to get through the depression . we 're lucky he did n't call them new deal and w.p.a . la_guardia 's new gospel of government prevailed for more than half a century , leaving new yorkers with high taxes and huge debts for a legacy a lot less inspiring than the robber_barons' . carnegie 's philanthropy turned out to be more scientific , at least from the perspective of today 's republican welfare reformers , than the social programs of the 1960 's , which nearly bankrupted new york . robert_moses and later big spenders ( including the famously profligate governor nelson rockefeller , definitely not your kind of republican ) built some good parks and useful roads and bridges , but mainly they left a grim assortment of housing_projects , charmless public buildings and lifeless public spaces . the city 's master planners were especially fond of plazas free of the taint of commerce and , as it turned out , free of people , too . you can see some of these plazas by heading west to avenue of the americas , the stretch of modernity that seems especially dreary after fifth avenue and rockefeller_center . but if you turn downtown , you 'll reach the perfect oasis in which to contemplate the birth of your party . a republican for all seasons at 42nd_street you 'll find bryant_park , named after the poet and newspaper editor who helped found the republican_party , william cullen bryant . it did not always look like this . by the 1980 's it had become a decrepit spot used mainly by drug dealers . but then the businesses in the neighborhood established and financed their own organization to renovate and run it . liberals initially denounced the project as a republican inspired plot to privatize public space the idea of installing a restaurant to help pay the bills was particularly controversial but new yorkers thronged to the lovely new park , which was not only exquisitely maintained but also equipped with a radical innovation clean public bathrooms . bryant_park 's success inspired similar organizations in midtown and other neighborhoods to take over jobs neglected by municipal government , like sweeping sidewalks , fixing benches and collecting trash the little things that make all the difference in city life . their work , together with two republican mayors' crackdown on crime and street annoyances , transformed what was once called calcutta on the hudson into a magnet for tourists and a model for the revival of other cities . and that was how the republicans saved urban civilization , although you should probably not try sharing this insight with any of the natives on the street , especially the democratic protesters screaming at you . just head quietly back to the convention via times_square , and ignore all those old late night jokes about the hookers there . the republicans cleaned that up , too . the only thing you need to shield your children 's eyes from is the disney store . political points.

abbey national , a big british bank , said today that it had agreed to sell most of its consumer lending division to general_electric of the united_states for 1 . 4 billion in cash , to focus on providing consumers with checking and saving accounts , credit_cards and mortgages . the division , known as first national , makes subprime mortgage loans and home_improvement loans and finances large consumer purchases . first national also makes car loans and sells liability_insurance , but those operations were not part of the sale . abbey national said it was considering its options for those businesses . since luqman arnold took charge as abbey national 's chief executive in october , the bank has been reviewing its operations , aiming to step back from riskier businesses like corporate lending and bond underwriting . the bank is set to provide an update on that process , including further write_downs on some of those businesses , when it reports its 2002 financial results feb . 26 . most analysts expect abbey national to continue selling or closing peripheral and underperforming businesses , a process some see as preparation for an outright sale of the bank to a rival . ''luqman wants to restructure the bank , and then maybe sell it , '' said ben ritchie of aberdeen asset management . mr . ritchie expects all the units not directly related to retail_banking to go on the block . that includes the car loan and liability_insurance operations of first national , the ones general_electric did not agree to buy a portfolio of investments , including some junk_bonds railroad and aircraft leasing arms and a project finance division . but a quick sale or merger of abbey national with a rival is unlikely , analysts said , even though the bank was approached in recent months by the national australia bank and the bank of ireland both were rebuffed . the analysts say that to try to ensure he got the best terms for his shareholders , mr . arnold would want to fix abbey 's problems before he considers any deal . the problems stem mainly from a heady expansion into high risk lending during the bull market . moreover , a combination with any of the large british banks , like the merger the lloyd tsb group proposed in 2001 , would probably run afoul of regulators , analysts said . antitrust officials blocked the lloyd deal because they judged that the combined banks would have too large a share of the market for checking and saving accounts and wield too much power in lending to small businesses . abbey national has no plans now to scale back in either area . abbey national shares fell 2.2 percent today , to 4 . 09 ( 6 . 74 ) in london trading . general electric shares fell 60 cents , to 23 . 05 . for general_electric , the purchase of first national expands its reach into familiar territory at a time when concerns about consumer credit in britain are reaching a fever_pitch . most analysts now acknowledge that the housing market is experiencing a bubble fueled by very low interest rates , and consumers have gone on spending prolifically even as the overall economy has begun to slow . ''one would rightly be concerned about credit_risk , '' said david hochstim of bear , stearns company . ''but these are businesses that g.e . has a lot of familiarity with . '' since entering the european consumer finance market in 1990 , the company 's ge consumer finance unit has branched into three areas car loans , home mortgages and private label credit_cards . the company has made several acquisitions , including the igroup , a home mortgage_broker , in 2001 , and time retail finance , which provides in store financing for large consumer purchases , in 2002 . ''the acquisition of first national is right in our sweet spot , '' said ivan royle , a g.e . spokesman . g.e . is paying 218 million ( 359 million ) more for the first national businesses than the units' net tangible assets are worth , a price most analysts considered fair . g.e . could also owe a further 42 million if first national meets certain performance targets . for the first half of 2002 , first national 's profits fell 13 percent , to 54 million , compared with 62 million a year earlier .

the new no man 's land separating the kurds and american special_forces advancing in northern iraq from the retreating remnants of the iraqi_army is haunted terrain , riddled with hastily abandoned tanks and ammunition trucks , and interlaced with trenches filled with oil once intended to be set afire to delay an american assault . the allied ground war here now faces two principal challenges the risks of armed resistance on lonely approaches to the expected battle for tikrit , saddam_hussein 's ancestral home and power base , and the risks of escalating civil unrest in regions that have already changed hands . kirkuk fell into american control on thursday , and 4 , 000 american_soldiers were headed into the city today to help restore order and provide security in the area . but both kirkuk and its hinterlands remained rife with disorder and uncertainty . as has been the case in other cities where the american fighters have broken the baath_party 's hold on the government , kirkuk has initially been left largely to its own drift and disorder after the fighting stopped . fairadoon abdulkader , the interior_minister for the eastern kurdish zone , who arrived here today with a fledgling police force , was angry about the looting of the past two days , and he was upset that it was given a chance to occur . ''america does everything , but they do n't think about the next day , '' he said . ''in all of the towns , this is their mistake . '' an american special_forces major who is coordinating military activities in kirkuk said that 4 , 000 conventional soldiers were arriving to replace the kurdish fighters known as pesh_merga , and that they would begin by providing security at the main airport , a military airfield and oil fields . their arrival was intended both to influence local conditions and to satisfy turkey . ''one of the conditions set the other day by the turks was for the pesh_merga to leave the city , '' the major said . ''we are doing this now . '' the major also said he thought the disorder was not excessive , given the rush of adrenaline in a city that had been oppressed for so long . ''i do n't think it 's bad , but people here are concerned about perceptions , and we are working to get it under control , '' he said . but south of kirkuk , villages like maryam bak are populated primarily by arabs , not kurds , and arabs do not share the kurds' public enthusiasm for this war . neighborhoods in the village , which is about 24 miles from kirkuk , are said to be infiltrated by mr . hussein 's loyalists and iraqi soldiers now wearing civilian attire . a rifle skirmish between kurds and arabs occurred in nearby hawija this morning , and the bridge near maryam bak that crosses a sluggish canal briefly came under small_arms fire this afternoon , stopping both traffic and intentions to drive closer . moreover , it is not clear whether the disorganized young men dressed as kurdish fighters are moving forward to fight or to steal . most cars with fighters returning from arab villages appeared packed with other people 's household goods . the pesh_merga said they were avoiding direct contact with their foes . ''fedayeen are here , '' said taha ama salih , a gunman who stood by the road in the heat today . ''we do n't want to fight them seriously . '' in kirkuk itself , which was taken from the departing iraqi_army by a small number of pesh_merga and special_forces soldiers , the transition is proving uneasy . the combination of undisciplined pesh_merga and the absence of a sizable american presence has made for at least a temporary vacuum . widespread looting continued unchecked for a second day , occurring within sight of pesh_merga and directly in front of the first of the soldiers of the 173rd_airborne_brigade , which arrived to help establish law and order . the city 's electricity is out . markets are closed or mostly empty . residents complain that potable water is scarce . arsonists have struck . in the still air of sunset this evening , columns of smoke rose in several neighborhoods . kirkuk 's cotton plant was ablaze , as were some offices of the north oil company , which manages much of iraq 's northern oil fields . it was smokier in kirkuk today than it was the day before . the degeneration of order has not been complete . human_rights organizations feared that violence might erupt among the city 's competitive ethnic groups once the baath grip loosened so far the settling of old scores has not happened , according to kurdish and american officials , interviews with arabs and turkmen , and visits to the city 's hospitals . but there are signs of tension , including demonstrations today by turkmen , and the kurds' proclivity for driving the streets in armed groups . the armed victory laps , which kurds say stem from an understandable sense of triumph and joy over being freed after decades of mr . hussein 's rule , have made arabs and turkmen uncomfortable . ''we are afraid here , '' said ali khalil akbar , a turkmen who participated in a small demonstration for turkmen rights today . ''we 're seeing so many weapons on the street , and we do n't want to see them anymore . '' the americans and kurds were moving today to try to instill order . the general commanding special_forces in northern iraq and the colonel commanding the 173rd brigade met here today with kurdish , turkmen and arab officials and agreed to create a multiethnic council to assist with governing . how the council will fare remains an open question . aside from kurds from the northern enclave , iraqis emerging from dictatorial rule have little experience with democratic civil administration . some politicians mustered public optimism . ''kirkuk can be a city that will be an example to the world , '' said dr . barham_salih , the prime_minister of the eastern kurdish zone . yet early limitations were on display today . in the first hours of the american presence , with their ranks thin , the soldiers of the 173rd brigade had little capacity to help anyone , and could not meet the population 's expectations . when a father holding a small boy who had been shot in the left calf ran toward them to seek medical care at the former iraqi air base , the soldiers at the gate waved him away , shaking their heads . the father ran back with the bleeding child and disappeared inside a taxi . the soldiers also tolerated looting . at the air base , they ordered civilians to stand back , but they politely opened the gate for looters who were already inside the base when they arrived and allowed them to leave with stolen goods . one group of four thieves , passing through with a large air_conditioner balanced on a bicycle , thanked the americans soldiers again and again , and pushed their prize out into the crowd . a nation at war in the field special_forces.

the department of defense has identified 3 , 344 american service members who have died since the start of the iraq_war . it confirmed the deaths of the following americans yesterday botello , brian a. , 19 , pfc . , army alta , iowa second infantry division . funcheon , alexander j. , 21 , sgt . , army bel aire , kan . second infantry division . hicks , glenn d . jr . , 24 , sgt . , army college station , tex . third infantry division . martin , jay e. , 29 , staff sgt . , army baltimore second infantry division . ornsby adkins , jay d h. , 21 , pfc . , army ione , calif . third infantry division . spencer , cole e. , 21 , pvt . , army gays , ill . third infantry division . tollett , norman l. , 30 , sgt . , army columbus , ohio 82nd_airborne_division .

michael grant , a junior from columbia , pulled away from his teammate tom kloos to win the metropolitan intercollegiate cross_country association championship yesterday at van_cortlandt_park in the bronx . his winning time of 25 minutes 25 seconds in the five mile event helped lead the lions to a successful defense of the team title . grant , who turned in a career best time in registering a 60 yard victory over kloos , was eighth last year . kloos , the runner up for the second straight year , was clocked in 25 37 , as columbia earned its sixth team title over all . colleen sunderland retained her women 's title with a time of 18 39 . 8 for the 3 . 1 mile race . she led rutgers to the team title for the second straight year . plus in the news cross_country.

representative gregory w . meeks of new york city went through something of a legislative dry spell while the 107th congress was in session , being the chief sponsor of exactly two resolutions and five bills . none of them passed , congressional records show . it was also a tough time for edolphus_towns , another congressman from new york , who was the primary sponsor of 3 resolutions and 14 bills while the 107th congress met in 2001 and 2002 , the records show . none of those passed either . representative nydia m . velazquez , also from the city , did slightly better during that period , winning approval for 7 of the 27 measures she was the main sponsor of , though nearly all of them were amendments to major bills , according to the records . a fluke ? possibly . but political analysts say that the legislative slump that these three new yorkers went through is a stark reminder of the diminished stature of new york 's heavily democratic delegation , in a congress dominated by republicans . now , as the 108th congress gets down to work on a slew of major issues , the delegation finds itself marginalized by the conservative leaders on capitol_hill , lacking seniority on important committees and stripped of two seats as of 2002 because of population losses back home . ''it 's really been weakened , '' jeffrey stonecash , a political_science professor at syracuse_university , said . ''but i do n't think it 's because the members are not trying . it 's just that some real strong factors are limiting their ability to be effective . '' even new york lawmakers acknowledge as much . ''this is a very tough environment , '' said ms . velazquez , who represents parts of brooklyn and manhattan . ''you could have great ideas and great legislation . but this is a divided congress . '' in their own defense , new york lawmakers , chiefly democrats , point out that democratic lawmakers from other states have also had a difficult time getting their own bills passed in a republican controlled congress . more than that , they argue that being able to claim primary authorship of a bill that gets approved in either chamber is only one measure of success , particularly since republicans are reluctant to give democrats credit for much of anything . there are plenty of times , these democrats say , when they have little choice but to swallow hard and allow republicans to take top billing on legislation that they themselves authored in order to insure its passage . ''you have to decide whether you want to get stuff done when you 're in the minority or if you just want to pitch a fit , '' said representative anthony d . weiner , a democrat who represents parts of brooklyn and queens ( and who , according to records , won approval for 2 of the 19 measures that he was chief sponsor of in the 107th congress , one of which became law ) . mr . towns , who represents parts of brooklyn , suggested that the climate is so partisan in the house that when he has not been willing to let republicans claim ownership of a bill he authored , republicans ''just take it most of the time , they just take it . '' he said . ''being in the minority is difficult , '' mr . towns continued . ''if you have something you want to get done , you might have to back off to get it done , because they are in control , and you have to respect that . '' new york lawmakers also say that they have been effective at stopping some of the most radical elements of the republican agenda and that they have also gotten republicans to make good on some of their own initiatives , sometimes through delicate compromise , other times through intense public pressure . nothing illustrates this more , they say , than the fight new york lawmakers took up a few years ago over 20 billion that president_bush promised to give new york in the wake of the terrorist attacks on the world trade center . after months of refusing to follow through on the president 's pledge , the white_house and republican leaders on the hill finally came up with the money , amid a torrent of protests from new york democrats on the hill who questioned the republican_party 's commitment to help new york recover . the unenviable position that new york lawmakers find themselves in comes as the 108th congress prepares to get down to business on several issues that will have a major impact on the state , chiefly deciding how to spend billions of dollars in federal transportation aid . the situation is not entirely bleak . new york 's two democratic senators , charles e . schumer and hillary_rodham_clinton , have become significant players in congress , partly because they have been able to forge alliances with republicans and partly because the senate is more cordial and collegial than the house in its workaday ways . ''it 's night and day , '' said mr . schumer , who was a congressman from brooklyn before entering the senate in 1999 . ''i find it a lot easier to get things done in the senate than in the house , even when you are in the minority . '' part of the problem the new york delegation faces stems from turnover . in recent years , the delegation lost its three most powerful republicans in congress . senator alfonse m . d'amato , known for his ability to deliver pork_barrel projects to the state , was defeated by mr . schumer in 1998 . that same year , representative gerald b . h . solomon of glens_falls , the former chairman of the powerful rules committee , left , as did representative bill paxon from the buffalo region , who was a member of the republican house leadership team . there have been major departures on the democratic side , as well , in recent years . representative floyd h . flake , a highly_regarded six term democrat from queens , retired , as did one of the delegation 's longest serving democrats , representative thomas j . manton from queens . perhaps the biggest blow to new york democrats came in 1999 , when the state 's senior senator , daniel_patrick_moynihan , a four term democrat who used his seat on the influential finance committee to funnel federal aid to the state , retired . most of the new york delegation 's significant clout in congress these days is wielded by a handful of republicans from the upstate region . one of them is representative thomas m . reynolds of buffalo , a top political adviser to house leaders . he was recently appointed to head the national republican congressional campaign committee . that gives him enormous influence over congressional candidates around the nation , who rely on him for campaign cash , political advice and other support . his legislative record during the 107th congress is also telling . mr . reynolds was the chief sponsor of a total of 48 bills , amendments or resolutions while the 107th congress met during 2001 and 2002 , with 28 passing in the house and two becoming law . but even new york republicans have often found themselves on the sidelines politically , largely because their moderate brand of republicanism does not square with the national_party 's conservative agenda on issues ranging from gun_control to abortion rights . still , some members of new york 's congressional delegation stand out for their moxie , kind of the way new yorkers themselves often do . among the brashest members is representative carolyn b . maloney , a democrat of manhattan . not only is she prolific , having been the chief sponsor of 56 bills and amendments in the last congress , but she also has a keen talent for generating publicity like the time she gave a speech on the floor of the house , covered from head to toe in a blue burqa , to protest the treatment of women in afghanistan by the taliban . ''in order to get anything done in the minority in this congress , it requires lots of hard work , lots of persistence and sometimes a little theater , '' ms . maloney said .

lead a panel of credit experts told congress today to expect an increase in the number of defaults by debt burdened corporations in the early 1990 's . but they said there was little that the federal_government should do to reverse the trend . a panel of credit experts told congress today to expect an increase in the number of defaults by debt burdened corporations in the early 1990 's . but they said there was little that the federal_government should do to reverse the trend . ''further policy action may make the situation worse , rather than better , '' said david a . wyss , senior vice_president of dri mcgraw_hill , an economic forecasting company based in lexington , mass . the hearing was called by representative edward j . markey , democrat of massachusetts and chairman of a house finance subcommittee , to examine the ''junk_bond'' market of high yield securities . thomas j . mcguire , an executive vice_president of moody 's investors service , a credit_rating company , said the default rate of speculative grade issues had risen to 5.4 percent . he said 51 companies defaulted on a total debt of nearly 12 billion last year . ''the outlook given the increase in lower rated issuers and the potentially unfavorable economic environment is for still higher levels of defaults in the early 1990 's , '' he said . mr . wyss said his company expected defaults to peak this year at 8.9 percent and to drop back to an average of 3.7 percent over the next five years .

his horse , point man , was the joint favorite in the fourth race today at the amiriya racetrack . so when the gray gelding could be seen well back in the pack at the first turn , muhammad sadiq anizi handed his binoculars to a guest who had wagered 1 on the horse to win , and counseled that the investment was safe . ''just wait , '' the wealthy 53 year old baghdad car dealer said . ''i know this jockey . he bides his time . he 'll come on in the stretch . '' at the second turn of the dirt track , in an afternoon heat rising into the 80 's , the horse was fading . ''keep cool , '' mr . anizi said , as he loosened his tie . entering the stretch , the horse was dead last in a field of 10 . the horse came home 15 lengths behind the nearest finisher , bleeding profusely at the nose . after a moment 's banter with the winning owner , mr . anizi strode briskly to the unsaddling enclosure . after a brief talk with the jockey , amer fahed , he confided in his guest . ''we think somebody got to the horse . somebody nobbled him in the stables before the race . tranquilizers , perhaps . without testing , we 'll never know . '' and so things went on friday , the muslim day of rest perhaps the last such day , many iraqis believe , before war breaks out between the united_states and iraq . war anxieties rise and fall daily here , often in response to the latest snippet of news from the united_nations . but on one sunny afternoon at the track , as at many other gathering places across baghdad , the mood was one of almost surreal calm , of everyday concerns that seemed to push thoughts of cruise_missiles and smart bombs and helicopter borne assault forces into the back of people 's minds or at least into the hinterland of what they were prepared to say . perhaps 5 , 000 people turned up at the track to watch the eight race card , about average for a friday meeting . in the city , pool halls and ottoman era coffee shops and pinball arcades were busy as usual . the expressways that crisscross the dallas that saddam_hussein 's bulldozers have made of one of the oldest cities in the arab_world with its array of vast new palaces , mosques , war monuments and statues in vast acres of open ground were busy carrying families out to stroll in the parks , or to linger over kebab lunches in restaurants , or to visit friends . in iraq , discerning what people think is a diviner 's art , since people everywhere learned years ago to tailor their conversations with foreigners , and even with family and friends , to the prescriptions they take from the utterances of mr . hussein . if asked , they will say as owners and jockeys and stableboys and bettors did today at the racetrack that america is making a big mistake , that iraq has no hidden weapons , that iraqis will fight to the last , and that allah , the protector of muslims , will see to it that america 's military might will founder at the gates of baghdad . but the more telling point , to an outsider , is how composed iraqis remain . privately , many admit to a nervousness about the risks of errant american bombing and missile attacks , and worry about whether they have stockpiled enough canned food and bottled_water and candles and kerosene for lamps to last the war if it drags on beyond a couple of weeks . still , in the main , they have gone to their jobs , paid their bills , watered their plants , laid plans for this week and the next and the one beyond and stuck to their pleasures , like heading out for a springtime day at the track . nowhere in saddam_hussein 's iraq is free from the tight grip he has imposed in his decades in power , and the amiriya track is no exception . in the track 's offices and the jockey_club building , officials display the occasional painting or photograph of a champion horse . but the images that dominate are those of mr . hussein and always just below , in smaller frames his oldest son , uday saddam_hussein , who is the jockey_club president , and amiriya 's founding patron . but more than the portraits , what registers at the racetrack or at almost any other place iraqis gather these days , including government offices is how little is volunteered about the iraqi leader . no iraqi can doubt that america intends , if it can , to remove mr . hussein from power , stripping this nation of 24 million people of a forbidding colossus . but facing the possibility of this transition , iraqis say hardly anything about him , leaving non iraqis to divine what beyond caution , or a difficulty grasping what an iraq without mr . hussein might be like the forbearance may portend . what is beyond doubt , at amiriya , is that the ruling family has left a mark on iraqi horse racing no war can change . britain brought the sport here in the 1920 's , when iraq was still a british mandate . by 1948 , racing had settled on a grassy track at mansour , close to the palace of king faisal_ii , who was a regular until his assassination in 1958 . in the new , professedly proletarian iraq , the club spiraled downward until 1994 , when saddam_hussein ordered it bulldozed to make way for a mosque that is now a vast , las_vegas like structure of bare concrete towers and domes . in 1995 , the 38 year old uday saddam_hussein gave the jockey_club the land in amiriya , a western suburb , along with a plan for a huge new grandstand . now , the grandstand project stands abandoned , with only the stark concrete of its elevator towers to show for the plans . owners like mr . anizi say it has been some time since they have seen uday saddam_hussein , or his younger brother qusay , who was the envy of iraq 's horse racing fraternity in the late 1990 's when one of his horses swept every amiriya classic stakes race before being sold to stud in jordan . the two sons , like the father , are thus ubiquitous , in their photos , yet so elusive in person as to raise questions about how readily american_troops would find them , should war bring american battalions to baghdad . another thought that occurred at amiriya was how much in iraq mirrors life in countries like the united_states . with american and british_forces massing on iraq 's borders , just about everybody encountered at the track was unstintingly welcoming to a british born reporter and an american photographer . ''britain , good country ! '' people said . ''america , o.k . '' to this , hastily added , were the anticipated reservations , often in english . ''bush bad , bush very bad , '' and ''tony_blair no good . '' amiriya seemed much like any racetrack elsewhere , with its dark tales of doping and other race fixing scams , the old trainers sitting in their checkered keffiyeh headdresses in the jockey_club lounge telling tales of the golden age of racing under king faisal and the jockeys and the stableboys in the saddling room pulling on their cigarettes and saying , with a surprising frankness , that life among the horses mattered more to them than any talk of war . ali hamzeh , a 16 year old novice jockey who is the talk of the stables for his wins , said , when questioned , that he had never heard of mr . blair , president jacques_chirac of france , gen . tommy r . franks , or even of united_nations weapons inspectors , and that , frankly , he did n't care . ''war , or no war , americans or no americans , i 'll still be here with the horses , '' he said . and then , seeing an older jockey dismounting after winning the day 's final race , he ran outside , cheering and dancing in the dust . ''praise be upon our prophet_muhammad'' he shouted , over and over again . threats and responses hussein's domain.

lead in a park bench encounter , joseph a . fernandez , the incoming schools chancellor , met for the first time yesterday with donald singer , the head of new york city 's principals union , in an effort to gain by persuasion rather than legislation the authority to transfer ineffectual principals . in a park bench encounter , joseph a . fernandez , the incoming schools chancellor , met for the first time yesterday with donald singer , the head of new york city 's principals union , in an effort to gain by persuasion rather than legislation the authority to transfer ineffectual principals . mr . singer appeared more conciliatory than he has to date , but mr . fernandez also spent much of the weekend talking with political and educational leaders in the hopes of knitting an alliance that could achieve the same results legislatively if negotiations with mr . singer fail . under current legislation and by contract , principals gain tenure after five years and can be transferred out of their schools only after lengthy disciplinary hearings . in an interview as he headed back to miami , mr . fernandez also disclosed that he has asked bernard mecklowitz , the interim chancellor , to review the 5 , 000 central board of education employees , particularly the 300 senior level aides , and give him confidential lists of those he considers ''high performers'' and those he considers ''poor performers . '' 'have n't dug the trenches' mr . fernandez and mr . singer , the two antagonists in what could be the central school drama in upcoming months , sat together yesterday morning in a shady vest pocket park on manhattan 's east side and laid out their positions for more than an hour in a meeting that was closed to reporters . mr . fernandez , who wore blue jeans and a striped red and white sweatshirt , chose the spot across from his hotel , the united_nations plaza , because it was a warm day , and mr . singer , who wore a suit , did not object . ''they 're sensitive to my needs and they 're willing to talk , which is a good sign , '' mr . fernandez said later . ''they have n't dug the trenches . '' no concessions were made , but mr . fernandez invited mr . singer to miami , where mr . fernandez is schools superintendent , and the two men are to talk more there . mr . fernandez extended the invitation in what appears to be an effort to gain the principals' trust , but he also wants mr . singer to see firsthand the operation of the school management teams , another issue that is likely to be touchy . at 160 of miami 's 263 schools , teams of principals , teachers and sometimes , parents make policy for their individual schools . although such teams could dilute the authority of principals , mr . singer said that new york has a number of school based management experiments and that such teams can work as long as the principal remains the chief instructional leader , governing through a consensus of teachers and parents . on the issue of principal tenure , mr . singer said that his union , the 4 , 500 member council of supervisors and administrators , does not ''condone incompetence . '' but , he said , ''we 're looking to protect competent people from arbitrary and capricious treatment'' by either the chancellor or the 32 local school boards . several tenure battlefronts the issue of tenure is a complicated one with several battlefronts . under the 1969 decentralization law , the schools chancellor controls the appointment only of high_school principals , while the elected school boards decide the appointment of principals at elementary and junior high_schools . to transfer principals throughout the system , mr . fernandez would need to win changes in the state 's decentralization law . beyond that , some say that principals have tenure within their buildings under a 1975 law that is open to interpretation , and under their current contract . the contract does not expire until february 1991 , though preliminary negotiations have already begun . changing the tenure rule through collective_bargaining would be far easier than through legislation . it was not clear yesterday how the state 's political leaders would line up on the tenure issue . mel_miller , the speaker of the assembly , said that while he is opposed to building tenure for principals , he believed the issue was a ''phony'' one , because principals have to prove themselves for five years before they get tenure now . a spokesman for gov . mario m . cuomo , gary fryer , said that the governor has opposed the concept of building tenure for principals for two years . the morning meeting with mr . singer capped a three day weekend in which mr . fernandez , who takes office in january , met with mayoral candidates david n . dinkins , the democrat , and rudolph w . giuliani , the republican jose e . serrano , the chairman of the state_assembly education committee the members of the board of education , and other city legislators . letting leaders know his plan stanley litow , head of mr . fernandez 's transition team , said mr . fernandez has let political leaders know he will put together a legislative package that will eliminate the board of examiners , which licenses the city 's 63 , 000 teachers , its principals and many other educational employees . mr . fernandez contends that the board duplicates tests given by the state . give the chancellor broad authority to transfer principals . give the chancellor the right to reject candidates for superintendents of the 32 school_districts who he believes are unqualified . the appointments would still be made by the local boards . give individual schools greater discretion in how money is spent for special services like dropout programs . this provision would complement school based management . mr . litow said that momentum is starting to build behind mr . fernandez 's package . ''the boat 's leaving the dock , '' he said , with a clear reference to mr . singer 's resistance . ''it 's time to identify yourself on this . '' mr . fernandez is also working with his transition team to make sure that he puts his stamp on the new school budget being prepared by board officials .

the department of defense has identified 2 , 595 american service members who have died since the start of the iraq_war . it confirmed the deaths of the following americans yesterday jenkins , kenneth a. , 25 , staff sgt . , army fouke , ark . fourth infantry division . lloyd , michael c. , 24 , staff sgt . , army san_antonio fourth infantry division . zeigler , kevin l. , 31 , staff sgt . , army overland park , kan . fourth infantry division . the reach of war.

the iraqi government has displaced or relocated nearly a million iraqis in the last three decades , creating deep regional and ethnic fractures that could erupt into civil_war if president saddam_hussein is deposed , according to a new report . the report , by the brookings institution and the johns_hopkins_university school of advanced international studies , says a vast majority of iraq 's internally displaced people are kurds from northern iraq whose villages have been razed or mined by the iraqi military and who have been forced to live in temporary , typically ramshackle communities . if mr . hussein is ousted , the report says , any effort by the kurds or other ethnic groups to regain control of the fertile , oil rich northern city of kirkuk could set off conflict . ''it 's a point of vulnerability that could easily undermine the stability of the country or even the region , '' said roberta cohen , co director of the brookings johns_hopkins project on internal displacement . ''you ca n't just have people rushing back to kirkuk to reclaim it . you need some organized , managed return . '' the report , the most comprehensive survey of displaced iraqis in recent years , says that mr . hussein was the major architect of iraq 's displacement policies , which were aimed at gaining control of oil resources and strengthening iraq 's sunni minority . it suggests that only a new government can be expected to address the needs of iraq 's displaced people . ''in iraq , over the last 30 years , there has never been a time when one group or another was not being expelled from their homes , '' the authors of the report , john fawcett and victor tanner , wrote in a draft version . the report also urges the united_nations and international aid groups to prepare plans to help stabilize iraq if mr . hussein is removed , perhaps by acting as ''confidence building observers and even referees'' for return or compensation programs . but the authors said the united_states and its allies should not try to control such programs . the report underscores a rising tide of concern among iraq 's neighbors , international aid groups and foreign_policy experts about the chaos that could be unleashed if the united_states forcefully deposes mr . hussein . some aid groups have begun making preparations for delivering food , clothing and medical supplies to iraq if war breaks out . the groups questioned whether the bush_administration was developing relief plans and complained that their efforts to coordinate with washington had been rejected . officials in the administration , sensitive about any discussion of postwar planning for iraq , have declined to say whether they are making preparations for relief programs . the united_nations has also begun developing contingency_plans for providing relief to iraq in the event of war , officials said , and has installed ramiro lopes da_silva as its highest official in iraq . it was he who organized the delivery of aid supplies to afghanistan during the american bombing campaign there last year . ''the degree of the problem depends on how quickly the u.s . and humanitarian organizations get aid in to meet the needs of displaced people , '' said kenneth h . bacon , the president of refugees international . ''the time to start thinking about it is now . '' mr . bacon and the officials of other aid organizations estimate that as many as 1.5 million people will try to flee iraq if war breaks out and that seven million to eight million iraqis will go hungry without foreign aid . iran and turkey have both said they are bracing for a flood of refugees . threats and responses displaced iraqis.

it had all the trappings of a japanese crisis . with the markets closed on saturday and the citizens frolicking in the weekend sun , the country 's fifth largest banking group , resona_holdings , applied for a government bailout that is expected to be worth around 17 billion . its capital had dwindled below legal minimums . prime_minister_junichiro_koizumi , eager to reassure jittery investors and savers , for the first time convened the financial_crisis council , a group that includes the central_bank governor , finance minister and top bank regulator . yes , resona 's balance_sheet was a concern , mr . koizumi said , but he would do anything and everything to stem the bleeding . ''the government will continue to make doubly sure of the stability of the financial system and the protection of depositors and maintenance of orderly functioning of the financial markets , '' the prime_minister said . despite the pledge , many experts wonder whether the bailout the first of a major banking company in four years is the end of the financial industry 's woes or the start of something worse . since 1999 , when the japanese government funneled 9.3 trillion_yen ( 80 billion ) in taxpayer money to the banks , the ruling liberal democratic_party and financial regulators have said that the financial system is in the process of recovering . yet every year , the banks' losses have piled higher and their nonperforming_loans have grown larger . resona 's distress is one of the more egregious setbacks . the bank now expects to lose 838 billion_yen ( 7 . 2 billion ) in the year ended march 31 , nearly triple the loss it had forecast . it suffered mounting losses on its stockholdings and found that under new , stricter accounting guidelines , it held more bad_loans than expected . resona 's president , yasuhisa katsuta , and four other executives will resign to take responsibility for the losses . though lawmakers have steadfastly papered over the banks' problems , every so often , a policy maker has noted the contradiction between the financial industry 's troubles and the government 's stance . the former central_bank governor , masaru_hayami , told parliament last year that the banks' capital was seriously depleted , but was then forced to ''clarify'' his comment later . last october , the chief financial regulator , heizo_takenaka , said that no bank was too big to fail . but his plan to overhaul the banks was quickly watered down . the government and the central_bank were quick to play down the possibility of a broader crisis . the central_bank 's current governor , toshihiko_fukui , said the country was not facing a financial_crisis . ''there is no concern at all that similar problems would happen to other japanese banks , '' mr . fukui said after a special meeting of the bank on saturday , according to bloomberg_news . the central_bank has its regularly scheduled meeting monday and tuesday . investors seem less certain . they have pummeled resona 's shares , which closed on friday at 58 yen ( 50 cents ) . the stock price of japan 's four other big banking groups including the mizuho_financial_group and ufj_holdings have fallen as much as 60 percent in the last year . there is suspicion that several other banks are in the same or worse straits than resona , which was created from the merger of asahi_bank , daiwa_bank and two smaller lenders . as worrying , experts say , is the government 's response . japan 's banks are drowning in bad_loans a condition worsened as deflation , or falling prices , has made it harder for debtors to pay their loans . yet the government is cutting spending and allowing the value of the yen to rise , two steps that aggravate deflation . in the process , the financial industry 's nonperforming_loans have swelled to 52 trillion_yen ( 448 billion ) , twice what they were five years ago . policy_makers have also been accused of taking piecemeal action to help the banks , and only when pushed hard , rather than assembling a comprehensive plan for dealing with the banks in a bold fashion . ''the fact that the government had to call together the crisis committee means they are dealing with the banks on a crisis basis rather than as part of a long term strategy to fix the banks , '' said ronald morse , a professor of japanese studies at u.c.l.a . ''by sweeping the banks' problems under the rug , they have only delayed the inevitable . '' the inevitable , mr . morse and others said , is more bad_loans , more bailouts and potentially , several bankruptcies .

life has changed for alan borg . while battles may have been his subject for the 13 years he spent as director of the imperial war museum in london , he was seldom in the middle of a skirmish himself . but now , two months after taking charge of the victoria and albert museum in london , one of the world 's greatest repositories of decorative art , dr . borg has had a taste of the hot seat . when he proposed a radical change for the 143 year old institution an admission fee the london press jumped on him . one newspaper went so far as to say that the museum was in a " disgraceful and appalling " state . the uproar caught the 53 year old dr . borg off guard . " the v . and a . is a bit like a supertanker , " he said in a recent interview . " it takes a long time to stop and turn it around . even a long time to adjust the course a bit . " so if dr . borg has his way , and the trustees agree , the museum will discontinue its current pay if you wish policy , making the victoria and albert the first major art_museum in london with a mandatory entrance_fee . dr . borg said he had few choices . faced with a budget_deficit of 4 . 5 million for 1997 98 , and the need for 300 million to repair the museum 's roof and 40 million to renovate 16 rundown galleries devoted to british art and design , something had to be done . " it wo n't happen tomorrow , but it 's something we are seriously considering , " he said of the admission fee . " certainly i 'd prefer a free museum , but if the choice is closing galleries and cutting services or charging admissions , this is definitely the best solution . " dr . borg said the fee had yet to be determined , but that it would probably be in the neighborhood of 6 . 75 , with special allowances for students and the elderly . dr . borg has already triumphed in one major battle the fierce competition for his post . he beat out five contenders , including such prominent figures as timothy clifford , director of the national galleries of scotland , and julian spalding , director of the glasgow museums . it was dr . borg 's record that made the crucial difference . an able fund_raiser , he presided over a 32 million face lift that transformed the imperial war museum from a moribund institution into an accessible one that has retained its intellectual emphasis . during his tenure the museum increased its attendance from 157 , 000 in 1981 to more than a million in 1994 . one of its main attractions , which dr . borg masterminded , is a three dimensional , multimedia exhibit called " blitz experience , " which provides a stunningly realistic simulation of the bombing of london during world_war_ii . unlike the imperial war museum , a quiet , specialized institution geographically out of the loop on lambeth road in the southwark district , the victoria and albert , on exhibition road in south kensington , is a high profile place vulnerable to criticism . dr . borg has joined the museum at a particularly sensitive time . his predecessor , elizabeth esteve_coll , ended a stormy six year tenure two years before the end of her contract by resigning late last year to become vice_chancellor of the university of east anglia . ms . esteve_coll was the first woman to head a national collection in england , and her supporters say this was why she was resented others say she brought her troubles on herself by trying to turn an elitist cloister into a museum for the masses overnight . in her first week on the job in 1988 , she dismissed eight senior curators and abolished their posts . she also drew fire for letting sotheby 's use the museum for the preview of an auction of elton_john memorabilia and for approving an advertising slogan " an ace cafe with quite a nice museum attached " that critics considered demeaning to the institution . some faulted ms . esteve_coll for organizing exhibitions that they considered trivial in scope , like a show about sporting trophies . " elizabeth is one of those people who got off on the wrong foot with the media and simply could n't get back , " dr . borg said . " unfortunate . but i shall benefit from this because she 's handing me a museum that 's very well run . " is it ? alan cave , a london based management consultant hired by the victoria and albert , concluded that the museum not only was suffering from financial problems but also from severe shortcomings in its management and wide dissatisfaction among its 850 staff members . " the museum wanted to find out what people thought was wrong , " dr . borg said . " i do n't think there are management problems , but there may be communication problems . " few found ms . esteve_coll wanting in administrative ability . for one thing , she computerized the collection 's four million objects , ranging from jewelry , costumes , armor and furniture to paintings , drawings , photographs and sculpture . she also partly refurbished the museum and expanded its educational programs . the victoria and albert , which is set on a 13 acre site and has 6 1 2 acres of galleries , surpasses the national gallery and british_museum in size , and even the sanguine dr . borg admits he has a big job on his hands . improving the museum 's image leads his list . " the v . and a . should have a higher profile , " he said . " if you surveyed the u.k . and asked people what the v and a is , most people would know . but if you asked them what 's in it , they 'd draw a blank . " an oxford graduate with a doctorate in art_history , dr . borg is a military historian with a special interest in medieval sculpture and middle_eastern archeology . museums have been his life . before taking over at the imperial war museum , he was assistant keeper of the royal armories at the tower of london and the first curator at the sainsbury center for the visual_arts in east anglia . when his appointment as director of the victoria and albert was announced , the london museum world judged the choice safe , a description that makes dr . borg bristle . " would critics rather have an unsafe choice ? " he asks . " i really do n't know what that means . " dr . borg faces questions that are certain to test his willingness to take risks . one issue is how he will renovate the central core galleries , including those devoted to british art and design , untouched since 1949 . an even bigger project involves trustees' plans to build a new exhibition space and education center . presumably , he said , that building will house 20th and 21st_century galleries . and like nearly all museum directors in britain , dr . borg must also struggle to raise money . . all of london 's national museums have had their acquisition budgets frozen since the 1980 's , and the victoria and albert has traditionally been viewed by the government as a lower priority than such fine_arts museums as the national gallery . dr . borg said he planned to apply for some projects to be financed by the national_lottery and that he hoped some new and exciting exhibitions would draw public and private support . the most immediate questions , however , are the scope and the timing of the changes he intends to make . he seems to favor a more cautious approach , at least at the outset , than that taken by ms . esteve_coll . " i 'm a believer in a system that works , " he said . " while museums should be businesslike , they are not businesses . what is most important is to make the staff feel they are at an institution that works . endless changes do n't produce that . "

lead reversing their earlier position , thousands of university students resolved on monday to maintain pressure on the government by continuing their round the clock occupation of tiananmen_square for at least three more weeks . reversing their earlier position , thousands of university students resolved on monday to maintain pressure on the government by continuing their round the clock occupation of tiananmen_square for at least three more weeks . in an emotional scene at the square in the heart of beijing late monday_night , a crowd of nearly 100 , 000 workers and students cheered the arrival of a 27 foot sculpture modeled after the statue of liberty . the statue , made by local art students and dragged to the square in several pieces on tricycle carts , was called the goddess of democracy and freedom , to distinguish it from the statue of liberty in new york harbor . the exuberance was a reminder of some of the students' past triumphs in rallying large numbers of people around the nation to support their demands for a more democratic system and less corruption . in recent days , the movement seems to have slumped from a combination of weariness and uncertainty about how to respond to the rise of a hard line faction in power struggles within the communist_party leadership . new mood of defiance with the number of students occupying the square slipping steadily , student leaders on saturday had called for a retreat to the university campuses . but on monday , displaying a new mood of defiance , most of the students remaining on the square declared that to leave would be an admission of defeat . they resolved to stay at least until a meeting of the standing committee of the national people 's congress on june 20 . the tens of thousands of students occupying tiananmen_square at the height of the demonstrations has dwindled to fewer than 10 , 000 , and the lack of garbage_collection has left it increasingly dirty and foul smelling . most beijing area students have already left , so that those remaining are from other parts of china . the students' occupation of the square is in its third week . the decision to remain in the square , and the arrival of the statue , seemed to raise the protesters' spirits and create a new sense of the possibilities of the movement . ''she signifies hope for china , '' said y . h . yang , a 22 year old teacher who was in the crowd . ''but she 's behind schedule in reaching the square , and she 's coming by tricycle . that is symbolic of the slowness and backwardness of the democratization process in china . '' public_relations coup seen it was not clear how the government would react to makeshift monument , one that dominates the eye of anyone traveling along the capital 's main east west thoroughfare , the avenue of eternal peace . officials will probably be tempted to take it away , but the students say that the only way to dismantle it would be to smash it . the statue is made of plaster and plastic foam . the students regard the statue as a public_relations coup either it will remain and symbolize the democracy movement and official weakness or the authorities will be in the embarrassing position of sending the police to attack the goddess of democracy and freedom with sledgehammers . by naming the statue a goddess , the students win a little extra cachet for their creation . chinese folk beliefs include a pantheon of gods , from the kitchen god to the god of fishermen . goddess with caucasian face on the other hand , the goddess closely_resembles the statue of liberty , to the point of having caucasian features and a large western nose . a few spectators said they thought it might have been more appropriate for her to have chinese features , but nobody seemed too concerned about such particulars . ''we do n't care if she resembles westerners or chinese , '' said t . x . wang , a 29 year old factory worker . ''the most important thing is that she symbolizes our common hopes for democracy . '' perhaps because many of the fainter hearted students already have left , the mood on tiananmen_square now is markedly more resolute than just a few days ago . the students have cleaned up the square to some extent , and they insisted that they would remain indefinitely . ''tiananmen_square has become a symbol of democracy in china , '' said chen di , a 23 year old student from shenyang . ''we ca n't abandon it . '' arrivals and departures mr . chen 's classmate liu gang interjected ''if we left , the student movement would certainly lose . and if we stay , the government will be forced to make a choice . either it will agree to a dialogue with students , or it will stage a crackdown . and if it chooses the crackdown , it will lose support . '' most of the students acknowledge that most of the students will drift away in the coming days and weeks , but some say that new ones will come and take their places . each day hundreds of new students arrive to join the sit_in at tiananmen_square , but for now even larger numbers are leaving the capital each day . as the movement 's momentum has waned , local residents who had heaped food and blankets on the demonstrators seemed to be cutting back on their material support . still , offerings of sustenance continued . ''the students are patriotic , and we must support them , '' said xue yuhai , a 74 year old fruit seller who had just bicycled over with several tubs of food to give to the students . ''we 'll continue to give contributions as long as there are students here . '' one of china 's retired leaders lent his support monday to prime_minister li_peng in his power struggle with the communist_party leader , zhao_ziyang . peng zhen , the former head of the national people 's congress , supported mr . li 's military crackdown against the democracy movement and without naming anyone he seemed to attack mr . zhao by criticizing ''the very small number of conspirators and bad elements who took advantage of the situation to create turmoil . '' still , mr . peng 's speech was not as hard line as might have been expected , since he is regarded as one of the retired leaders most suspicious of rapid liberalization .

manager bobby_valentine said he never believed rey_ord_ez was the problem with the mets' offense . that is why valentine kept ord_ez in the lineup , even when he was at his worst offensively and desi relaford was hitting well . ''i did n't want to contribute to that thought , '' valentine said . ord_ez has rewarded valentine with a solid offensive stretch that culminated in a game winning single off the san_francisco_giants' robb nen in the 11th inning of saturday 's 3 2 mets victory . ord_ez , who was hitting . 293 since july 18 before last night 's game against the giants , is trying to hit more fly balls than grounders . that has been his plan for years , but he has been executing it better lately . since july 1 , his ground ball to fly ball ratio has fallen by 20 percent , to 2 . 25 grounders for every fly ball . but the biggest change in ord_ez might be on defense . he made a dazzling play at shortstop in the 11th to get a crucial force on saturday , and he carried a 53 game errorless streak into last night 's game . with nine errors through june 20 , ord_ez , 29 , a three time gold_glove winner , needed to improve . ''people did n't like the way he was playing , '' valentine said , ' 'so it 's great he recognized it mentally or got physically better , to step his game up . '' valentine believes ord_ez was tentative in the field , failing to anticipate where balls would be hit because of his unfamiliarity with the pitchers , many of whom he had little experience playing with after missing most of last season with a broken left forearm . ord_ez said he has simply played himself into better shape , as he said he does every year . he reported to spring_training weighing 180 pounds , and now , he said , he is down to 169 . he is feeling and playing better . ''the last three months are a little more better , a little more range , '' he said . from pitcher to superhero for years , the soundtrack in kevin appier 's off season home in paola , kan . , never changed . it was the sound of him coughing . ''i 'd cough all day and all night , '' said appier , the mets right hander . ''during the winter , running outside for my training , i 'd cough the entire off season . it would never stop . '' appier suspected his coughing was just the price he paid for working out . then , two years ago in spring_training , a team doctor for the oakland_athletics asked appier if he had ever been checked for asthma . appier said no , and tests confirmed that he had a mild case . ever since , appier has used an inhaler on days he pitches and in the winter . ''it 's less energy consuming , '' he said of his work now , ''and i 'm not scuffling for air . '' appier will start for the mets at shea_stadium today , and children will receive a comic_book in which he stars as a superhero who encourages youngsters to get tested for asthma . a visit to shea the teams in yesterday 's little league world_series championship game will be at shea this afternoon , but the team from tokyo might have shown up even if it had not reached the final . last week , valentine and mets outfielder tsuyoshi_shinjo offered to pay the team 's way to new york . shinjo had a far different youth baseball experience than the players he will meet today . he played softball first , then baseball with a softer ball he did not use a hard ball until he was a freshman in high_school . shinjo said little league was not offered in fukuoka , japan , where he grew up . but shinjo has paid attention to japan 's run to the final . ''as i watched the game , the level of baseball is pretty high , '' he said yesterday through an interpreter . ''i think the u.s . team is the best , but now i think japan has a chance to win . '' and he was right . japan beat the team from apopka , fla . , 2 1 . baseball mets notebook.

a senior official in charge of enforcing economic_sanctions against iraq expressed concern today that baghdad may be importing pharmaceuticals and other medical supplies that could be used in the manufacture of chemical or biological_weapons . the official , marjatta rasi of finland , who heads the united_nations_security_council committee monitoring compliance with the trade_embargo , said at a news conference that iraq is bringing in " tons and tons of medicines it does not need . " she expressed concern that these medicines could include " dual_purpose " pharmaceuticals that might be used to help iraq 's known program for manufacturing chemical and biological_weapons in breach of the security_council 's total arms_embargo . miss rasi said her suspicions had been aroused because in some cases iraq has imported sufficent quantities of drugs to last it for up to 10 years . experts discount threat but medical experts contacted by reuters said such a threat is unlikely . " our people say the idea of using medications for making chemical_weapons is not too plausible , " said william grigg of the american food and drug administration . " it would be more probable if they were importing agricultural chemicals pesticides and the like . " thomas lemke , a chemist at the university of houston , told reuters that most medicines were too weak to be used to poison a water_supply and too complicated to be broken down into their constituent parts . as to building a biological arsenal from imported vaccines , " the answer is no , " said alan goldhammer of the industrial biotechnology association , a trade group . " the only thing it could conceivably be receiving would be vaccines , and they are either disabled or inactivated . " treaty being prepared miss rasi said that negotiators preparing a treaty in geneva to ban the manufacture or possession of all chemical_weapons have also expressed concern to her about iraq 's continued large pharmaceutical imports . but she said she had no clear evidence of sanctions violations and no firm numbers on the amount of medicine iraq is receiving . this is because the security_council resolutions imposing trade sanctions on iraq for its annexation of kuwait specifically exclude medicines from the embargo as does the resolution extending this embargo to all air_traffic . some countries have told the security_council 's sanctions committee they were sending in medicines when they asked its permission to fly planes to baghdad to evacuate their nationals but usually without specifying exactly what these medicines were . so far the council has authorized about 20 such flights . inspections not required but in addition , miss rasi said some nations , which she did not identify , appeared to be flying in supplies of medicine directly , merely telling the countries their planes fly over that they are carrying pharmaceuticals . as a result , the planes are not required to land for inspection to insure they are not breaking the trade ban . miss rasi said she favored some tightening of the trade sanctions to make sure that only genuine medicines were sent into iraq as well as steps insuring their use only for humanitarian purposes . the sanctions committee is expected to discuss the issue at a meeting here on thursday . miss rasi said that in other respects the trade_embargo appeared to be working well and that the committee had still received no reports of any violations . while a good harvest and the looting of supplies held in kuwait has enabled iraq to survive without great hardship so far , she predicted " a major grain shortage " by next spring as well as a general deterioration of the country 's economy through lack of raw_materials and spare_parts . mideast_tensions.

the decision president_bush is confronting could change the face of domestic politics , the map of the middle_east , the realities of big power relationships and the world_economy for years or decades to come . just as the new deal and world_war_ii solidified the democrats' position as the stronger party in the united_states for nearly a quarter century , reshaped the continent of europe and produced the western alliance that has formed the framework of american foreign_policy for half a century , so a war in the persian_gulf would have many repercussions that can be foreseen and many that cannot . marine skirmishes have been commonplace in american history , forgotten relatively quickly . but the nine american wars , from the revolution through the war of 1812 and the mexican war to the civil_war , from the spanish american war through two world wars to korea and vietnam , have been great events that marked the generations that fought them for their rest of their lives . so would a 10th , toward which the nation has moved for five months . nothing a president does so affects his reputation as his conduct of war . few presidents have had to face the decision to put the united_states through " the fiery trial' of warfare the phrase is that of abraham_lincoln , one of those who did so . by december 1941 , franklin d . roosevelt convinced his countrymen that he had acted wisely , and enhanced his reputation . americans concluded that woodrow_wilson had taken up arms on behalf of woolly minded ideals and turned against him . they soured on harry s . truman and the korean_war , and decided that lyndon b . johnson had erred so badly that they drove him from seeking re election in 1968 . the decision of mr . bush , who was a naval pilot in world_war_ii , is likely to make or break his presidency as well . " at times of crisis , the commander_in_chief represents the best or the worst in us , " said edmund morris , biographer of theodore_roosevelt and biographer to be of ronald_reagan . " if the war goes badly , so does the president . on the other hand , the presidents we consider the greatest washington , lincoln , f.d.r . were all warrior presidents . " " if the war is over in two or three weeks , he will be made , his re election insured , " said arthur m . schlesinger jr . , historian and biographer of franklin d . roosevelt . " if the fighting lasts five or six months , casualties are high , terrorists roam the world , he 's finished , in my view . " in a sense , the president had decided before the deadline . the process started when he pledged that the invasion of kuwait " will not stand " soon after it took place . that implied that he would push the iraqis out if he had to , as did his decision to send tens of thousands of ground troops instead of relying on air and naval power alone . when he doubled the size of the american force in and around saudi_arabia , converting it from a defensive to an offensive force , when he persuaded the united_nations to set a date for president saddam_hussein of iraq to withdraw from kuwait , when he won the approval of congress for military action , mr . bush was trying to bring irresistible pressure on baghdad but he also knew that if that pressure failed , he would have little recourse but to take the country into battle . as diplomatic efforts proved fruitless , the president 's room for maneuver narrowed and then vanished . to do nothing would wreck his credibility and damage that of his country . " he thought he could overpower saddam psychologically , but it has n't worked , " said james macgregor burns , a leading historian of the presidency . " now he may have misgivings , like many presidents on the eve of war , but he 's left himself no exit . " shades of wilsonian idealism mr . bush hopes that an allied victory over iraq would solidify the " new world order " that he hopes to build in the wake of the cold_war . he hopes that a defeat of iraq would deter other would be aggressors , especially in the third world , and make the world a better , freer place an idea not so very different from wilson 's campaign to make the world safe for democracy . he hopes to secure the gulf 's vast oil_reserves for the industrial world , and eventually to promote a general settlement of the outstanding problems in the middle_east , including the intractable palestinian question . few if any military analysts doubt that the united_states would " win " a war against iraq , though many doubt that it will be as short and relatively painless as some of the president 's advisers have suggested it will be . but many diplomats , many scholars and much of the foreign_policy establishment ( with the notable_exception of henry a . kissinger ) think that washington has failed to think the thing through adequately . they paint a much more baleful picture . they foresee the destablization rather than the stabilization of the mideast , with anti_americanism rampant , mr . hussein a hero or a martyr to ordinary arabs all across the region , and world oil supplies more tenuous than ever . the future of united_states relations with the soviet_union , clouded at the moment by the crackdown in the baltic_states , may also be affected by the course of events in the gulf . with the passing of the security_council deadline , the president had the backing of the american people but not their passionate backing , not a deep_seated commitment . for all the attempted demonization of mr . hussein , through the constant comparisons to hitler and other ogres , mr . bush has not yet succeeded in making most ordinary citizens of this country feel that they are embarking upon a crusade , which is what americans like their wars to be . there is a sense that the electorate is telling washington , " o . k. , fight if you must , but not with my son " or daughter , or husband , or wife . and that is not a very firm underpinning for war or national unity .

prices of treasury_securities ended higher yesterday on late bargain_hunting and short covering by investors in a quiet but choppy trading session . the market had little reaction to a report showing a sharp rise in existing home sales in march . and while rising commodity prices put pressure on prices early in the session , a late retreat in crude_oil helped ease some inflation concerns in the bond_market . the price of the 30 year bond rose 11 32 , to 8930 32 . the bond 's yield , which moves in the opposite direction from the price , fell to 6 . 79 percent , from 6 . 82 percent on wednesday . prices rose even after the national_association_of_realtors said sales of existing single family homes jumped 6.9 percent in march . not only was the increase much higher than expected , it also came on the heels of a 6 percent spike in february . but analysts discounted the gains , noting that rising mortgage rates would eventually dampen sales . and alex araujo , a financial economist at nesbitt_burns securities , said that " the u.s . housing market experienced a similar spike under analogous conditions back in 1994 . " " it did n't take long for rising rates to retrace early sales gains , " he added . when bond prices rose after the report , short sellers , who had bet that prices would fall , bought securities to limit their losses . bonds were also bolstered by a stronger dollar , prompting some interest from japanese investors in the 2 year to 10 year maturities in overseas trading . but the commodity research bureau index of 17 commodities was busy pulling market participants in the opposite direction . the index briefly surpassed an eight year high , as a rise in precious_metals and grains caused investors to worry about rising inflation and its potential negative impact on the value of fixed_income investments like treasury_securities . but a retreat in crude_oil prices was an offsetting factor late in the session , and the bureau 's index ended up 0 . 43 point , to 261 . 81 . also weighing on bond prices yesterday was supply , following a busy week of new note and bill auctions . the treasury plans to announce next week the terms of the quarterly re funding . yesterday the treasury sold 19 . 5 billion of new one year bills at an average rate of 5 . 30 percent , up from 5 . 19 percent last month and the highest since last august . the results met the market 's expectations , analysts said . while trading has been slow this week in the absence of market moving data , that is expected to change next week . the government will report on gross_domestic_product for the first quarter on thursday and employment in april on friday . " by the end of next week , however , market participants will feel as they have just finished a numerical marathon , " said donald fine , chief market analyst at chase asset_management . at the end of the week , mr . fine said , the market will have enough new data " to reformulate , if necessary , its collective opinion on the future course of the economy and interest rates . " in the treasury futures market , some analysts see the makings of a rally . " all the ducks were lined up for a breakdown , but bonds failed to do so , " said robin mesch , fixed_income market analyst at technical data of boston . " in fact , the opposite is happening . we think a low price has been established with a target price of 113 or higher . " the june bond contract closed at 110 yesterday . following are the results of yesterday 's treasury auction of new one year bills ( 000 omitted in dollar figures ) average price . . . 94 . 641 discounted_rate . . . 5 . 30 coupon_yield . . . 5 . 60 high price . . . 94 . 651 discounted_rate . . . 5 . 29 coupon_yield . . . 5 . 59 low price . . . 94 . 631 discounted_rate . . . 5 . 31 coupon_yield . . . 5 . 61 accepted at low price . . . 8 total applied for . . . 53 , 960 , 546 accepted . . . 19 , 435 , 306 noncompetitive . . . 998 , 516 the one year bills mature on may 1 , 1997 . credit markets.

the bank of japan said in its monthly economic report that the risks to recovery were rising as a global slowdown depresses exports and output and holds down stock prices and consumer confidence . the bank said the economy had stabilized but it did not see clear signs of recovery , a more pessimistic view than the government 's . ken_belson ( nyt )

an article on dec . 2 about the conversions of manhattan town houses back into private homes misstated the number of buildings purchased by ronald o . perelman . he bought one , at 35 east 62d street .

tuffy rhodes describes himself as a patient man . he is resilient and realistic , too . he has to be . if rhodes did not have one of those traits , if he were ever impatient or rigid , he would not have survived eight superb seasons as an american dominating baseball in japan . rhodes is a compelling character in this baseball crazed country . yes , he is a superstar lives like one and is paid like one . yes , the fans blow whistles and ring bells and scream ''tuffy san ! '' from the first moment he saunters onto the field . yes , rhodes shares the home_run record for a season in japan with 55 . but despite his many accomplishments and his congenial manner , rhodes is an outsider . he always will be . rhodes is a gaijin , a foreigner , and no matter how many homers he hits or how many autographs he signs , that will never change . every foreigner who plays here knows that and , rhodes said , must accept it . ''i say to a lot of people , japanese people are prejudiced , '' he said . ''but they 're not prejudiced toward a certain person . they 're prejudiced toward anybody who is not japanese that 's trying to come and mess up their little thing they have . they do n't make changes . '' that behavior does not unnerve rhodes , whose braided black hair peeks out from his yomiuri_giants cap and makes him even more noticeable among the army of japanese faces on and off the field . rhodes considered it a compliment when he said the japanese were prejudiced , explaining that he respected their unity . ''they 're a close nation , '' he said . ''they 're real close to each other . they just do n't let anybody inside their little clique just because . '' rhodes has crept just about as close as a gaijin will ever get to that clique . after six ordinary years in the major_leagues , rhodes left the united_states for a full time job here in 1996 and has never returned . he speaks eloquently about how playing besuboru in japan has made him a rich man , physically , spiritually and financially . rhodes estimates that he has made about 30 million here . ''i would n't have come close to that in the states , '' he said . a decade ago , karl rhodes smashed three homers off the mets' dwight_gooden on opening day at wrigley_field in chicago . rhodes figured that performance would make him indispensable to the cubs and that he would spend a decade or two thriving in the majors . instead , rhodes lasted only until 1995 , departing the majors with a . 224 average and 13 career homers . when he joined the osaka kintetsu buffaloes in 1996 , rhodes was a desperate player . he was worried about supporting his son , now 10 years old , also named karl but called tuffy jr . , so he forced himself to adapt . ''i was stubborn in some ways , but i knew this was my last chance , '' he said . ''i had to take the mentality that i was going to end my career in japan . i had to accept some things i normally would n't . '' so that means rhodes deals with a wider strike_zone , what he and the other non japanese players call ''the foreign strike_zone , '' in which umpires make it more difficult for foreigners by calling strikes that would be balls for japanese players . each team is allowed four foreigners and they are often the highest paid players , so there are heightened expectations from the club and from the fans . and there are more obstacles . during a half hour interview , rhodes was most incensed when he discussed the strike_zone and the fact that he must sometimes swing at balls . after leading japan with 51 homers last year to push his career total here to 288 , learning to speak japanese fluently and deciding that this is his baseball home , rhodes lamented how at times he still felt as if he were a college kid being hazed . ''i 'm thinking , what more do i need to prove to them ? '' he said . ''what more do i need to do ? when is enough enough ? '' the treatment gaijin receive was also a factor as rhodes chased sadaharu oh 's single season home_run record in 2001 . rhodes had 53 with 10 games left , but six of them were against the daiei hawks . oh , who is considered the babe_ruth of japanese_baseball because of his 868 career homers , was managing the hawks at the time . rhodes clubbed his 54th before facing the hawks for the first three game series , and their pitchers did not throw him anything that resembled a strike . he then belted his 55th against the seibu lions and had four games to hit one more . in the next set of three games against daiei , the hawks pitched around rhodes again , so he only tied the record . ( alex cabrera of the seibu lions also hit 55 , in 2002 . ) when rhodes was asked how he handled the attempts to prevent him from passing oh , he said ''i just think about the 25th , man . my paycheck . '' rhodes laughed , but he was also being serious . a 35 year old outfielder , he cannot change the way a country behaves , so he turned his cheek . ''because as soon as you get comfortable over here , there 's just going to be another reminder that you 're a foreigner , '' he said . ''they test people . they test your character . '' rhodes said that even what the giants had publicized about his contract was an example of playing down a foreigner 's impact . it has been reported as a two year , 10 million deal , but rhodes said a signing_bonus , incentives and a third year team option could boost the total to 22 million . ''they said two years and 10 , that 's my contract , '' he said . ''they say it , i 'm fine with it . i 'm a foreigner . i 'm an outsider . they do n't want me to be the highest paid player . '' but interestingly , roberto petagine , rhodes 's teammate and another gaijin , from venezuela , is regarded as the highest paid at about 6 . 8 million a year . rhodes ambled from left field into foul territory at meiji jingu stadium before an exhibition_game thursday , and the fans watched every slow step . one young boy called to him while rhodes spoke to a reporter . ''hi , too fie , '' the boy said . a few seconds later , he repeated , ''hi , too fie , '' and , soon after said it a third time . finally , the boy snapped , ''mister rhodes ! '' at that point , rhodes broke off an interview to address the boy politely in japanese and the youth turned silent . so did everyone near him . rhodes was powerful enough to quiet the fans who adore him within five seconds . some of those fans have shown their adoration for rhodes by wearing afro wigs , painting their faces black and wearing t shirts with ''we love you rhodes'' written on them . black face ? wigs ? ''i can see where , like , you 'd think , 'are they crazy ? ' '' he said . ''but being over here so long , you know it was n't against you . it was with you . '' this is the approach rhodes has taken to finding his way in japan , and it is one he has mastered . he is a carefree man who feels fortunate to have blossomed here . rhodes says it bothers him that he ''is not accepted 100 percent , '' but he mostly ignores the negatives and focuses on the positives . he loves japan and , most of the time , the japanese love rhodes as much as a gaijin can be loved here .

in much of the world , lego is synonymous with toy plastic building blocks . so it is not all that surprising that decades after its last significant patent for lego expired , the lego group of denmark zealously guards its trademarks and other intellectual_property_rights . ''there are many who have tried to capitalize on the good will we have built with consumers , '' said poul hartvig nielsen , head of legal services at the company . but what lego casts as an effort to maintain a quality product is , its competitors say , an attempt to use intellectual property law unfairly to dominate the building block world . ''they are a company that enjoyed many years of monopoly in this market category and now they want to stifle anything competing against them in the construction toy aisle , '' said brahm segal , vice_president and lawyer for mega_bloks of montreal . the last major patents covering lego 's building blocks expired in 1978 . since the early 1990 's , mega_bloks has been involved in about a dozen lawsuits , most of them filed by lego and still active . best lock ( europe ) , which makes blocks compatible with legos , is also involved in eight lego related lawsuits in germany alone . ''we 've definitely been spending more on lawyers than i would consider necessary to be in this business , '' said best lock 's chief executive , torsten geller , who runs the small company from summerland , british_columbia . ''basically , lego is trying to extend its patents to the end of all time . lego 's public image is totally different from the reality of the company . '' lego 's management has been feeling the effects of increased competition ever since mega_bloks decided in 1991 to go beyond its original product jumbo bricks designed for infants into lego size blocks . npd funworld , which tracks retail toy sales , would not give market figures but said that mega_bloks is the no . 2 player , after lego , in the construction toy market for the united_states , the products' single largest market . marc bertrand , mega_bloks' president and chief executive , said his company had a stronger market position in parts of europe where construction toys were a much bigger business relative to the population . as a result of the increasing competition and changing toy trends , lego has faced several years of eroding sales and weakened financial performance . in 2004 , the company lost 400 million danish kroner ( 70 . 1 million ) on sales of 8.4 billion danish kroner ( 1 . 5 billion ) . on the other hand , mega_bloks reported net earnings of 28 . 8 million on 219 . 6 million in sales in 2003 . lego did not develop the idea of plastic blocks that lock together with small knobs . the blocks were invented and then patented in 1939 in england by harry fisher page , who went on to found kiddicraft , an early maker of plastic toys . mr . nielsen , the lego lawyer , acknowledges that kiddicraft bricks ''inspired'' ole kirk christiansen and godtfred kirk christiansen , lego 's founder and his son , to make their first plastic blocks . ( in 1981 , lego bought all rights to the kiddicraft blocks . ) but in 1958 , lego patented a subtle change in the bricks that even its competitors agree brought enormous improvement . the company introduced tiny tubes inside the bricks to give the knobs on top of other blocks more places to grip . ''we have , over the years , seen ourselves as being copied , although others say they are imitating , '' mr . nielsen said . ''since the late 60 's , we have been very cautious about our intellectual_property_rights and have tried to police them . '' mega_bloks grew out of a 2 million a year toy distribution business known as ritvik holdings that was owned by rita and victor bertrand , the parents of marc bertrand . in the early 1980 's , the elder mr . bertrand wanted to move the company from importing and into manufacturing ''a proprietary product that could be worldwide rather than canadian in scope , '' as marc bertrand puts it . about the same time , tyco industries , which was later acquired by mattel , was in a legal battle in the united_states with lego over a line of interlocking bricks it had introduced . tyco ultimately prevailed , but mega_bloks waited until 1991 before directly confronting lego . mr . bertrand said that mega_bloks applied some lessons from tyco 's bricks , which ultimately were not commercially successful . any lego competitor , he said , must be more than just a discount alternative . like lego in recent years , mega_bloks avoided emphasizing bulk packages and hired designers ( it now has 120 ) to develop kits based on themes like dragons and robots . mega_bloks' move in 1994 into europe , which now accounts for about half of its sales , was the start of the full scale legal war with lego . without any major patents , lego shifted toward trademark and copyright laws to protect its market . in particular , lego has tried in many countries to register the appearance of a standard lego brick with eight studs on top as a trademark . while mr . nielsen accepts the concept that patents are only supposed to give inventors limited protection from competition , he insisted that mr . christiansen designed his bricks with ''eye appeal , '' which is still covered by copyright and design laws . the complexity of the legal cases means that neither side can provide a clear score sheet . lego , for example , won a victory in a chinese court last year over the design of a pirate set produced by a small chinese toymaker . but mega_bloks has won significant court cases in france and italy , as well as before the european_community 's trademark office . last month , best lock was successful before germany 's supreme_court , which previously decided twice , first in 1964 , that only lego could make pieces that interlock with its blocks . last month , however , that court ruled that lego 's protection had lapsed , although it has ordered a lower court to review some of lego 's trademark and copyright claims . while best lock 's mr . geller , who is german , is obviously pleased by the german court decision , he does acknowledge that when it comes to the public 's sympathies , if not its buying habits , lego may always have the upper hand . ''it was the company i knew best as a child , '' mr . geller said . ''when i first showed some of my blocks to friends in germany , they said , 'how can you do this to a nice company like that ? ''' international business.

six months after the pentagon 's momentous announcement that american_troops may have been exposed to clouds of nerve_gas and other iraqi chemical_weapons shortly after the persian_gulf_war , no one yet knows the cause of the chronic health problems reported by tens of thousands of gulf_war veterans . some of the illnesses may be the result of exposure to chemical_weapons , as many gulf_war veterans insist . other veterans almost certainly suffer from the physical aftereffects of wartime stress , a phenomenon seen after other wars , or from exposure to a number of other chemicals , including pesticides , smoke from oil well fires or the experimental drugs that were given to the troops to protect them from nerve_gas . yet , even if the medical mystery is never solved , this much has become painfully clear to many of the 700 , 000 men and women who served in the brief but intense war against iraq and its president , saddam_hussein , in 1991 the files of the defense_department and other government agencies held extensive evidence suggesting that american_soldiers had been exposed to iraqi chemical_weapons in the war , even as the government assured the veterans and the public that no such evidence existed . after years of denials , the pentagon now acknowledges that more than 20 , 000 troops may have been exposed when a battalion of american combat engineers blew up the kamisiyah ammunition depot in the southern iraqi desert in march 1991 . almost daily since that announcement last june , the government has been confronted with new disclosures on the issue about the thousands of chemical detection alarms that sounded throughout the war , about the eagerness of american commanders to dismiss what soldiers considered to be valid chemical detections , about the callousness that many veterans faced when they sought medical care after the war . while the relationship between these episodes and the veterans' health problems remains unclear , the resulting credibility crisis from so many years of denial has only added to the misery of gulf_war veterans whose health has faltered since the war . many of them are now left with the suspicion that military commanders cared more about the perception of the war as a military triumph than about getting to the bottom of the health problems reported by those who were sent to fight . many ailing gulf_war veterans are unwilling at this point to accept any explanation from the pentagon . the government 's denials may also have had a direct effect on the way in which veterans' health problems were addressed . the department_of_veterans_affairs , which is ultimately responsible for the medical care of ailing gulf_war veterans , has said that it held off for years on any major research on the health effects of low level exposure to nerve_gas and other chemical_weapons because of the defense_department 's assertions that there was no evidence of exposures . the pentagon position following a policy of 'the three no 's' james turner , an investigator for a special white_house panel that has studied the issue , described the pentagon 's public_policy for most of the last five years as ''the three no 's there was no use , there was no exposure , there was no presence'' of chemical_weapons . it was a mindset that apparently took hold at the highest levels of the government . in his senate confirmation_hearings last year as director_of_central_intelligence , john m . deutch , who had been the pentagon 's chief investigator on gulf_war illnesses , said he believed that ''at present we have no compelling evidence of chemical or biological use in the gulf_war presence or use . '' in may 1994 , three cabinet officials the secretary of defense , william j . perry the secretary of veterans affairs , jesse brown , and the secretary of health_and_human_services , donna shalala signed a joint letter to the senate in which they said that ''there is no classified_information that would indicate any exposures to or detections of chemical or biological_agents . '' mr . deutch said in a recent interview that his testimony was based on the best information available to him at the time . but he acknowledged that in light of the evidence about the kamisiyah depot , it was ''understandable that people are skeptical'' about the pentagon 's motives . gen . h . norman_schwarzkopf , the commander of the american led alliance in the gulf_war , said that while he had no information during the war to suggest that american_troops had been exposed to chemical_weapons , he considered the pentagon 's handling of the issue in the first years after the war ''almost scandalous . '' a review of thousands of government documents and hundreds of interviews with government officials , scientists , doctors and veterans' advocates undermines the pentagon 's claims since the war that it had aggressively investigated the causes of the illnesses reported by gulf_war veterans . the pentagon has insisted that its earlier errors in public pronouncements were the result of incomplete , inadequate information . secretary perry said in december that any perception that the defense_department had tried to withhold information on the issue was ' 'dead wrong . '' the denials began early . only hours after american ground troops poured across the sandy border from saudi_arabia into kuwait at the start of the ground war , general schwarzkopf stepped from his military command bunker in the saudi arabian capital of riyadh on feb . 24 , 1991 , to announce that he was ' 'delighted'' with its progress . the initial reaction dismissing reports of chemical_weapons the fear that the iraqis would retaliate by using deadly chemical and biological_weapons seemed to be unfounded . ''we 've had some initial reports of chemical biological_weapons chemical_weapons but those reports to date as far as we 're concerned have been bogus , '' he said . ''there have been no reported chemical_weapons used . '' the evidence gathered to date shows that in the early hours of the ground war , general schwarzkopf had no proof that chemical or biological_weapons had been released on the battlefield . yet , over the next several hours and days and months and years evidence arrived at the pentagon suggesting that the initial judgments were wrong . even as general schwarzkopf was meeting with reporters in riyadh , american_marines stationed 300 miles north along the kuwait saudi border had begun to detect nerve_gas and mustard agent using the most sophisticated chemical detection_equipment in the american military the fox vehicle , a mobile chemical laboratory jammed with computerized detection_equipment . gunnery_sgt . george j . grass , a chemical detection specialist , told congress in december that his vehicle detected chemical_weapons repeatedly in kuwait in the first days of the ground war . yet , all of his reports , like those of other chemical specialists , were dismissed by his commanders . sergeant grass said he had talked to several other fox vehicle operators since the war ''and every one of them has verbally acknowledged the positive identification of chemical_weapons in their area of operation . '' ( pentagon officials say that while the fox vehicles can produce false_alarms , especially when chemicals are detected in the air instead of on the ground , they are now studying all of the detections to determine if they were in fact valid . ) the americans were not alone in detecting chemicals . during the earlier air war against iraq , czech and french soldiers in the american led alliance said they had detected chemical_weapons in northern saudi_arabia . on feb . 3 , 1991 , a french military spokesman , gen . raymond germanos , said low levels of nerve_gas and other chemical agents had been reported ''a little bit everywhere'' after the relentless bombing . the ground war was over in 100 hours . as american_soldiers overran areas of the southern iraqi desert , they were under orders to destroy iraqi military equipment and ammunition sites . an early , important target was the kamisiyah ammunition depot , about 100 miles northwest of kuwait . the depot was vast , with concrete bunkers spread across almost 20 square miles of desert . although the pentagon has said the bunkers were inspected for chemical_weapons , members of the 37th engineer battalion , the unit responsible for the demolition , said there was no time , equipment or expertise for a thorough search . ''how would we really know what 's inside those bunkers ? '' asked james r . riggins , a retired major who was the executive officer of the 37th . ''we 're obviously not chemical_weapons specialists . '' as the detonations began on march 4 , the chemical alarms began to sound and soldiers pulled on their rubberized chemical_warfare suits . under the cease fire that ended the war , united_nations weapons inspectors were allowed to visit kamisiyah and other iraqi weapons storage sites in search of evidence of chemical or biological_weapons . in the fall of 1991 , only months after the war , they found evidence that chemical_weapons had been stored at kamisiyah . the iraqis who had worked at the site acknowledged that shells filled with nerve_gas had been stored there . the inspectors then filed a series of public reports to the united_nations_security_council , outlining what they had found at kamisiyah . the pentagon has acknowledged that it received the reports but has said that they were overlooked in the flood of other intelligence data reaching the united_states in the months after the war . by late 1991 , groups of gulf_war veterans had begun showing up at hospitals run by the department_of_veterans_affairs , complaining of health problems that seemed unusual for men and women who had been in peak physical condition when they were sent to the gulf a year earlier . recent studies suggest that while gulf_war veterans did not die and were not hospitalized at unusual rates in the first two years after the war , they did report health problems , including digestive problems , chronic_fatigue and pains in the joints , at rates far higher than troops who were not deployed to the gulf . donald w . riegle_jr . , then a democratic senator from michigan , heard from several ailing michigan veterans and agreed to begin an investigation of gulf_war illnesses in 1993 under the auspices of the senate banking committee , of which he was chairman . the committee had some jurisdiction over the issue because there were questions about american export laws and whether american companies had shipped chemical or biological_agents to iraq . the senate inquiry trying to track down some elusive data the inquiry began with a request for all pentagon documents relating to the ' 'detection of , or investigations into , the detection of chemical agents , biological_agents or radiological agents'' during the gulf_war . the letter , dated march 16 , 1994 , and signed by mr . riegle , asked specifically for copies of the combat logs that had been maintained during the war in the headquarters compound of the united_states_central_command , the element of the defense_department that oversaw the war under the direction of general schwarzkopf . the response came on april 15 , 1994 , in a letter from stephen w . preston , the pentagon 's acting general_counsel . mr . preston said that the central_command had told him that the logs did not exist . ''central_command has conducted a search and has identified no documents that meet this description , '' he wrote . ''if you provide a more specific description of the documents that this category is intended to cover , i will ask central_command to repeat the search . '' james j . tuite 3d , the banking committee 's lead investigator , said that in subsequent telephone conversations with the pentagon he made it clear that the committee wanted a new search , and that it wanted any logs that recorded chemical or biological detections . ''they understood exactly what we wanted , '' he said . but the logs were never made available to the committee . in a joint letter to mr . riegle dated may 4 , 1994 , secretary perry , secretary brown and secretary shalala said they were ''committed to a full and accurate resolution of the issues surrounding the health problems experienced by the men and women who served in the persian_gulf_war . '' but they insisted that ''there is no classified_information that would indicate any exposures to or detections of chemical or biological_weapons agents'' an assertion that has since been shown to be false . there were in fact detailed chemical detection logs at central_command , and parts of them were eventually made public last year , initially to a veterans group , gulf_war veterans of georgia , under a freedom of information act request . most of the pages of the log were missing , however , including the entries for the eight day period in march 1991 in which the kamisiyah depot was blown up . the pentagon said in december that a search had failed to turn up the missing portions . it had no explanation for their disappearance . the logs that have been made public show that the central_command received dozens of reports of chemical detections throughout the war , including reports from the czech soldiers whose detections were later found by the pentagon to be valid . during the war , however , the reports were routinely dismissed as false_alarms . mr . preston , who now works at the justice_department , said in an interview that he denied the existence of the logs in his letter to the senate because this ''was the information that was made available to me'' from central_command . ''i do n't have reason to believe that anyone was deliberately withholding any documents or information , '' he said . the consequences conflicting testimony and delayed research by early 1994 , at least a handful of senior pentagon officials had begun to change their minds . in a letter to the surgeon_general dated jan . 18 , 1994 , maj . gen . ronald blanck , director of the walter_reed_army_medical_center , wrote that after meetings with military leaders in the czech_republic , france and the middle_east , he was convinced that ''clearly , chemical_warfare agents were detected and confirmed at low levels'' during the war . ''the two issues that arise from this are what was the origin of such agents , and did the agents contribute to the illness described by a small number of united_states veterans of the persian_gulf , '' he wrote . ''the answer to the first question has political and military significance but little medical relevance . of far greater importance to military medicine and to the veterans is the answer to the second question . '' but his information apparently did not reach others in the pentagon . on may 25 , 1994 , mr . riegle , frustrated by his inability to get important documents from the pentagon , called a hearing of the senate banking committee to take sworn_testimony from officials of the defense_department . the witnesses included edwin dorn , under secretary of defense for personnel , and theodore m . prociv , deputy assistant to secretary perry for chemical and biological_weapons . in their testimony , the two officials insisted that they knew of no evidence in the government 's files to suggest that americans had been exposed to chemical or biological_weapons during the war . ''i can say that i do not believe that any chemical agents entered the theater of operations and exposed any of our soldiers , '' mr . prociv testified . reminded by mr . riegle that he was under oath ''with your professional reputation on the line , '' mr . prociv said again , ''i do not understand how any of our veterans could have been exposed . '' mr . dorn said that chemical detection_equipment had been ' 'strategically located , and although many detectors alarmed , there were no confirmed detections of any chemical or biological_agents at any time during the conflict . '' he said in his prepared statement that all of the iraqis' chemical_weapons and related equipment ''were found stored at locations a great distance from the kuwait theater of operations . '' but in fact , the pentagon has made public evidence showing that there were stores of weapons in at least two sites in iraq within the kuwait theater of operations , or k.t.o. , which included kuwait and much of southern iraq . two former chemical_weapons specialists who operated fox vehicles testified before congress in december that they told their commanders that chemical_weapons had been found in kuwait itself . mr . dorn had to be corrected later in the same hearing when a third witness , john kriese , an analyst with the defense_intelligence_agency , acknowledged under heated questioning that mr . dorn 's testimony was wrong . ''i thought we had that fixed to be stricken from the draft testimony , '' he said . ''it is not correct to say that all munitions were found far from the k.t.o . '' mr . dorn , mr . prociv and mr . kriese declined to be interviewed for this article . mr . riegle , who has since retired from the senate , said it was obvious that the pentagon had tried to hide the truth from congress . ''this is such a remarkable abdication of responsibility after the fact that it takes your breath away , '' he said . the pentagon 's repeated public assurances after the war that it had no evidence of chemical_exposures held up research that might have provided gulf_war veterans with at least an explanation of what was responsible for their health problems . the department_of_veterans_affairs set up a special registry and testing program in 1992 for veterans who believed that their health had been damaged in the gulf . but the department held off on research projects on the health effects of low doses of chemical_weapons research that began only this year . dr . susan mather , a senior public_health officer at the department_of_veterans_affairs , said that if the department had known earlier about the evidence of chemical_exposures , ''i think it definitely would have made a difference in our research program . '' veterans groups say that the pentagon 's denials also affected the reception that ailing gulf_war veterans received when they sought medical care at hospitals run by the department_of_veterans_affairs . ''because doctors were told that chemicals had not been used , many veterans were sent straight to the psychiatric department , '' said paul sullivan , a spokesman for gulf_war veterans of georgia . a recent report by the general_accounting_office noted that as of july 1995 , the department_of_veterans_affairs had denied 95 percent of the more than 4 , 100 claims it had processed from gulf_war veterans who were seeking disability payments for undiagnosed war related ailments . said mr . sullivan ''the doctors believed that the soldiers must be faking it . '' chronicle of denial a special report .

the sprawling new brick building next to the dallas county probation department has 37 surveillance cameras , six metal_detectors , five full time police officers and a security conscious configuration based on the principles of crime prevention through environmental design . it is not the big house . it is a schoolhouse dallas 's 41 million state of the art townview magnet center , which has been touted as a model for high tech school security since it opened for the new school year . not too many schools can afford townview 's " robo cop " security . but the elaborate system here is a reminder how safety and security has gone from an ancillary issue to one that many experts see as the most critical key to maintaining or restoring confidence in the public schools . " our approach is not just about townview , " said chad woolery , superintendent of the dallas school_district , the nation 's eighth largest with 149 , 000 students and 200 schools , " and it 's not just about technology and equipment . but we 've decided , if anything , to overdo it up front , to overpower this issue . we want to make sure that safety is not an issue so kids can concentrate on learning . " security has become so pervasive an issue nationally that the american federation of teachers is sponsoring what officials call the most intensive campaign in its history based on the themes of higher student standards of conduct and achievement . central to the campaign is a demand for revamped standards of safety and discipline that will remove disruptive students from schools , a policy that many cities , including new york , have already adopted . " we are hearing cries for vouchers , for choice , for charters , " albert_shanker , president of the federation , said in a speech that laid out many of the ideas in the union 's current campaign . " but what people really want are their own schools back . " they want their kids to go to those schools , and they want the schools to be safe and orderly . it is insane to set up a system where we move 98 percent of our kids away from the 2 percent who are dangerous , instead of moving the 2 percent away from the 98 percent who are o.k. " officials in dallas say they believe in both the need for such policies and procedures and for the high tech security that exists at townview . four years ago , the district developed comprehensive security plans for each school , including conflict_resolution and training programs for students and teachers , increased security and special schools , like one that officials say is the nation 's first for youths expelled for committing felonies . the district 's security budget is 3 . 9 million a year , which includes 168 school_district police officers and 30 dallas police department officers stationed at schools . the number of crimes reported at schools , ranging from gun confiscations and theft to sex offenses and murder , dropped to 1 , 085 in 1994 95 from 1 , 730 in 1991 92 . the evidence is ample for the need of school security . according to the national school safety center in westlake village , calif . , 46 students were killed on school grounds during the school day in the 1993 94 year , the last for which figures are available . the previous year , 34 were killed . the group says about three million felony or misdemeanor level crimes are committed at schools each year . while that number has been fairly steady over recent years , the severity of crimes has increased , the organization said . one survey cited by the safety center found that 5 , 000 teachers are attacked or assaulted at schools each month , 1 , 000 of them seriously enough to require medical attention . a study cited by the american federation of teachers says 160 , 000 students miss school every day because they are afraid , 1 in 11 teachers say they have been attacked at school and that 135 , 000 juveniles carry guns to school daily . over the years , metal_detectors and security personnel have become more common at schools . but dallas has been a leader in putting together comprehensive approaches to school security . townview , a collection of several schools under one roof , with 2 , 172 students in the low income oak cliff neighborhood across the trinity river from downtown , is the best example of it . as a magnet_school , which attracts largely motivated students applying for special programs in areas like health_care , business , science and social_services , townview is not a school that would expect to have unusual safety problems . but officials say the security is primarily a way to protect students and expensive equipment from outsiders and an effort to do everything possible to ward off the one high profile incident that can scare parents away from the public schools . security was an integral part of the school design all straight lines with no nooks or crannies or shrubbery around which to hide . perimeter lights illuminate all public spaces and an eight foot iron pole fence seals off the school from an adjacent residential area . the halls are unusually broad and bright , to deter bumping and the potential for fights that could come with it . windows everywhere permit the grounds to be visible from inside . all students , teachers , administrators and staff members wear name tags . the room that houses the mainframes for the school 's computer system is a security command post , where officers scan 37 cameras monitoring the building and grounds . security personnel are stationed at the front doors and metal_detectors and others patrol different parts of the buildings . all teachers except for department heads do a 45 minute a day school monitoring stint as well , and officers prowl around the airy atrium like cafeteria , weaving between tables with stern looks , as students eat their sausage pizzas or play dominos . despite the security , townview , with its multicolored brick , is bright and inviting , more like a mall than an overly regulated institutional setting . still , the security gets mixed reviews from students . " i like it , " said lanita jackson , a 16 year old sophomore . " you never know what 's going to happen in a school . you feel secure here . " others , however , say some security is welcome , but not as much as townview has . " it 's just too much , " said 14 year old lakeitha brown . " it 's like they 're everywhere , in gym class , at lunch , there are too many eyes on you . it gets on your nerves . one of them 's not nice at all , picking at you about your clothes , saying your clothes are showing , your bra , whatever . it 's none of his business . " officials in dallas and elsewhere say that technology alone is not the answer to discipline problems in schools . and some educators worry that the focus on technology can divert resources that need to go directly to teaching . " that in lots of ways is a technological fix for what we think is more of a moral and political problem , " said john cole , president of the texas federation of teachers , " in the sense of adults taking responsibility for restoring discipline and removing the 1 or 2 percent of students who are genuinely incorrigible . " but given the degree to which perceptions of the schools rest on issues of safety , even those skeptical about the efficacy of high tech school security say that in the current environment it is hard to argue against it . " in the long run , we will not solve the problems of the schools by turning them into fortresses , " mr . cole said . " but for the short term , we 're going to have to cope with problems that are not immediately going away . i hesitate to be critical of any school that is trying to come to grips with them . "

hundreds of thousands of low income people across the united_states have lost health_insurance as an unintended_consequence of the 1996 welfare law , federal and state officials and health_policy experts say . in new york city , poor people seeking welfare benefits have often been unable to get medicaid . new studies show that the problems documented in new york are occurring on a much larger scale around the country . moreover , investigators have discovered a new and different problem , which in some ways is more serious . many people who obtained jobs and left the welfare_rolls have lost medicaid and become uninsured , even though , under the 1996 law , they were supposed to be able to keep their medicaid coverage , health_care experts say . state officials , who administer welfare and medicaid , acknowledge that they have not always complied with the requirements of federal law intended to preserve medicaid for people losing cash assistance . many welfare_recipients have taken low wage jobs with no health benefits . even when employers offer benefits , low wage workers are often unable to pay for them . thus , president_clinton 's decision to sign the 1996 welfare law has unexpectedly undermined his goal of increasing the number of americans with health_insurance , a goal shared by congress . senator john h . chafee , republican of rhode_island , the main author of the provision of the law meant to preserve health benefits for people who lose cash aid , said ''i 'm deeply concerned about the reports i 've heard that people are losing their medicaid coverage . this directly contradicts the intent of the 1996 welfare law and could very well undermine states' future success in helping people become self sufficient . '' stan dorn , director of the health consumer alliance , a consumer help group for low income people in california , said ''we are seeing substantial losses in medicaid coverage resulting directly from welfare_reform , despite the best intentions of congress to make sure that did not happen . the administration hopes its legacy will be expanded health_insurance coverage for children . but the unintended fallout of welfare_reform threatens to swamp the significant benefits of new legislation to cover children . '' since early 1998 , mr . clinton has repeatedly urged state officials to seek out children who are eligible for medicaid but not enrolled , and he says there are at least four million of them . even as some state health officials try to find these children , other state employees , in the same or different agencies , are denying or stopping medicaid for many low income families . the possibility that some welfare_recipients might lose health_insurance was recognized in 1996 . but in the last month , several authoritative studies by the rockefeller institute of government in albany , the center for health_policy research at george_washington_university and the urban_institute have documented the pervasive problem . on march 22 , the secretary of health_and_human_services , donna e . shalala , sent a sternly worded letter to state officials reminding them of their statutory obligations . federal law says that when a state cuts off a family 's welfare payments because of increased earnings , it must include a medicaid card or other document authorizing the family to continue receiving medicaid . this law , adopted in 1988 , was strengthened by the 1996 law , which provided additional protection for people losing welfare benefits . state officials boast that they have transformed the culture and philosophy of welfare agencies , so they now focus on finding jobs rather than issuing checks . besides cutting off medicaid for many people who find jobs , some caseworkers have erroneously told poor people that they must search for work to get medicaid . before the 1996 law , people who received cash assistance were automatically enrolled in medicaid , and many welfare_recipients said they stayed on welfare to keep their health_insurance . congress severed the link between the two programs in 1996 , but federal officials said there was still a widespread perception that medicaid eligibility depended on whether a person received welfare . the 1996 law requires most welfare_recipients to work as a condition of getting cash aid , sets a five year limit on the receipt of federal welfare benefits and imposes many other restrictions on cash welfare . vernon k . smith , a former medicaid director in michigan who has studied the interaction between welfare and medicaid nationwide , said ''many people believe incorrectly that the tough new welfare policies apply to medicaid . '' matt d . salo , a health_policy expert at the national governors' association , said it was hard for caseworkers to reconcile two contradictory messages implicit in the 1996 law ''medicaid is good , everyone should stay on medicaid . but welfare is bad , everyone should stay off welfare . '' in new york , the number of people on medicaid has dropped by 265 , 348 , or 9 percent , since mr . clinton signed the welfare law in august 1996 . frances e . tarlton , a spokeswoman for the new york state health department , said ''we are concerned about the drop in the medicaid rolls . people who no longer qualify for cash assistance need to be informed that they are still probably eligible for medicaid and should sign up for it . but for some reason , we are not seeing this happen . '' in january , a federal district judge ruled that new york city had improperly denied applications for medicaid from needy individuals , on the ground that they had failed to comply with the work requirements of the city 's welfare program . the city has vowed to improve its procedures , but the plaintiffs say its plans are inadequate . the judge will hear arguments this month . in new jersey , the number of people on medicaid has declined by 54 , 261 , or 8 percent . in connecticut , which made a major effort to find eligible people , the number enrolled in medicaid rose by 3 , 258 , or 1 percent . in oregon , the number of medicaid recipients has dropped by 43 , 000 , or 11 percent . in texas , it has dropped by 306 , 890 , or 15 percent , even though the state has expanded eligibility for medicaid . the number of people on medicaid has dropped by 213 , 614 , or 13 percent , in pennsylvania by 453 , 640 , or 8 percent , in california , and by 58 , 899 , or 4 percent , in florida . patricia redmond , health director of philadelphia citizens for children and youth , a child advocacy_group , said ''when parents leave welfare for work , they and their children still qualify for medicaid . that 's the theory . in reality , it often does n't happen . ''time after time , children and parents who are legally entitled to medicaid end up without it because of misinformation and burdensome reporting requirements . the main message they hear is , 'go to work . ' they are not told what they need to do to keep their medicaid . '' chris jennings , the health_policy coordinator at the white_house , said there were ''unacceptable barriers'' to getting and keeping medicaid in some states . ''it is n't necessarily intentional , '' he said , ''but it has the same effect . people lose out on access to affordable coverage . '' diane ross , assistant_director of the arizona medicaid program , said ''when people get a job , they think they 're not eligible for welfare or medical assistance , so they do n't seek a redetermination of their eligibility for medicaid . they just call and drop out of both programs . '' the coverage available to people leaving welfare is sometimes called transitional medicaid , because it helps them make the transition to work . when welfare_rolls shrink , as they have in most states , the number of people using this form of medicaid would be expected to increase . but that does not always happen . in arizona , the number of people getting both welfare and medicaid dropped by 45 percent , to 81 , 106 last month from 147 , 890 in august 1996 . but contrary to state officials' expectations , the number of arizonans with transitional medicaid fell in the period , to 19 , 105 from 23 , 426 . in deciding who gets medicaid , states must use eligibility criteria at least as generous as those in effect in july 1996 , just before passage of the welfare law . families with incomes low enough to qualify for medicaid under the old standards are thus supposed to be eligible today , regardless of whether they receive welfare . congress provided 500 million to help states carry out the medicaid provisions of the 1996 law . but states have used less than 10 percent of the money , the government says . some counties in california have long lists of former welfare_recipients waiting to have their medicaid eligibility re evaluated . ''the state has not given us clear instructions or correct forms , '' said darlene d . landis , the eligibility director for the local department of health_and_human_services in inyo county , calif . karen czapanskiy , a law professor at the university of maryland , said she and her students had represented many welfare_recipients who were deprived of medicaid when they lost welfare . ''typically , if our clients get jobs , they call their caseworkers to stop cash benefits , '' she said . ''the caseworker rarely mentions that transitional medical assistance is available . ''

the bush_administration today singled out china for criticism over trade practices , adding to a groundswell of objections against china in political and business circles . commerce secretary donald l . evans , announcing plans for a task_force to investigate unfair trade restrictions , accused china of backsliding on promises to ease restrictions on foreign companies , dismantle old trade_barriers and clamp down on software piracy . ''american manufacturers can compete against any country 's white collars and blue collars , but we will not submit to competing against another country 's choke collars , '' mr . evans told a gathering of executives in detroit today . under the plan he outlined , the commerce_department will form an unfair_trade_practices team , which will chase down allegations about restrictions and barriers that seem to violate a government 's promises to open its national markets . the bush_administration has been making overtures toward manufacturers , which have eliminated 2.7 million jobs over three years and have complained that exports from china are their biggest problem . but the administration is on the defensive . in congress , republican and democratic lawmakers from industrial states are pushing for legislation that would threaten china with higher tariffs if it refuses to let its currency , the yuan , float at market rates . manufacturers complain that china has kept its exports artificially cheap by keeping the yuan undervalued against the dollar . on tuesday , moreover , the united_states_chamber_of_commerce plans to release a report accusing china of failing to open its markets as it promised to win acceptance in the world_trade_organization . the report says china has yet to relax restrictions on the ability of american companies to distribute their products or expand geographically . and it repeats longstanding complaints that chinese officials do not do enough to stop illegal copying of software and music or counterfeit versions of brand name products . ''the record can be better , and should be better , '' said myron brilliant , the vice_president in charge of asia issues at the chamber of commerce . ''china made commitments to the international business community and to the american business community . we want to see the fruits of their commitments . '' chinese officials have said that they do not manipulate their currency and that they have kept it at a fixed_exchange_rate to the dollar for almost a decade . and although american trade experts complain that china has been slow to fulfill many of its promises on opening markets , they also acknowledge that it made progress on many fronts , including the passage of laws intended to prevent software piracy . in addition to establishing a new watchdog group on trade practices , the commerce_department plans to set up an office of industry analysis , which would examine the impact of regulations on manufactuers . and it will create a new assistant secretary responsible for promoting exports . the new team to investigate unfair_trade_practices will be carrying on a function that is already a responsibility of the commerce_department . the department 's international trade administration has been adjudicating such issues for years . but administration officials are eager to show that they are taking a tough line , and the new team may well signal a more combative approach to other nations' trade policies . democratic opponents of president_bush quickly denounced mr . evans 's tough language on china as an inadequate response to the loss of american manufacturing jobs . ''we 've been hemorrhaging manufacturing jobs for the last two and a half years , and during that time george w . bush has n't even offered a band_aid , '' a democratic presidential_candidate , senator joseph i . lieberman of connecticut , said today . in congress , democratic lawmakers and some republicans are pushing for legislation that would impose import_tariffs on chinese products that would be comparable to the amount they say china 's currency is undervalued . ''the problem facing american industry has nothing to do with the way the commerce_department is set up , '' said senator charles e . schumer , democrat of new york and one of the bill 's sponsors . ''the problem is china and the manipulation of the yuan . ''

an austere home in a dusty alleyway here has become a center of power rivaling the american occupation headquarters in baghdad and the scene of fierce inner struggles for one man 's ear . grand_ayatollah_ali_al_sistani , a reclusive 73 year old cleric revered by many of iraq 's 15 million shiites , hears arguments and requests here from the country 's most senior politicians , occasionally issuing decrees through them that thwart the plans of the world 's sole superpower . donkey carts trundle through the mouth of the narrow alleyway , but bodyguards keep most visitors out . on saturday morning , two dozen men in brown robes pleaded to be allowed to seek the cleric 's spiritual advice . only two emissaries from a baghdad mosque were allowed in . the ayatollah 's secular power is clear his insistence on direct_elections for a transitional_national_assembly before iraqi sovereignty in june drew up to 100 , 000 supporters to baghdad 's streets on monday and left the bush_administration scrambling to salvage plans for a caucus style selection . yet this man has not stepped out of his house in six years , rarely gives interviews and is often described as wanting to stay out of politics . he has a web_site , sistani . org , but it focuses on religious guidance , like whether islamic_law allows the eating of caspian sturgeon . ( only if close inspection reveals scales , he counsels . ) the world now simply comes to him . the ayatollah 's house has become as important a pilgrimage site for iraq 's leaders as the nearby golden_domed_shrine of ali , son in law of the prophet_muhammad , is for the world 's shiites . the men who visit say they deliver their opinions on the american led occupation they are clearly vying for the cleric 's backing in the current political free for all , with many factions jockeying for a share in the as yet unshaped iraqi government . any endorsement from ayatollah sistani instantly bestows legitimacy in the eyes of many shiites his support can win votes for politicians and will weigh_heavily on further plans for installing an interim government . the full motives of the men advising ayatollah sistani are known only to them , yet they are some of the cleric 's main conduits to and from the outside , passing on his messages and bringing him their versions of the latest developments . that makes them the only tea leaves to read , however murkily , to divine the ayatollah 's intentions . they range from formerly exiled iraqi politicians to local imams to envoys of l . paul_bremer iii , the head of the coalition_provisional_authority . perhaps to distance himself from the day to day fray of politics , and to remain on a_level above the occupation forces , he has refused to meet with mr . bremer himself . it is inevitable that those closest to ayatollah sistani are shiite islamists , many of whom can win popular support by getting his backing . last week , ibrahim al jafari , a governing_council member and the current head of the venerable dawa islamic party , visited to discuss the stalemate over direct_elections . other frequent visitors include officials from the supreme council for the islamic_revolution in iraq , a political_party recently returned from exile in iran that clearly wants to play a role in governing the new iraq . adnan_pachachi , the current head of the governing_council , said he was skeptical of some of the men surrounding ayatollah sistani . mr . pachachi met with the ayatollah two weeks ago to ask him to back down from his demands for direct_elections , only to be rebuffed . some of the ayatollah 's advisers , mr . pachachi said in an interview , wanted to keep personal power ''under the guise of protecting shiite influence'' and ''want to use religion in order to assume power . '' mowaffak_al_rubaie , a senior dawa official in the 1980 's who now professes to be relatively secular , meets with the ayatollah once or twice a week and has his own view of the cleric 's decision making . ''the major thing in his mind is not to hand over the country to an american picked government , '' mr . rubaie said . ''the fear is that the coalition_forces will impose a group of western influenced politicians , fanatic liberals who will design the future of iraq irrespective of the culture and religion of the country . '' the ayatollah sometimes delivers his messages through political leaders , but more often through religious representatives , as he did friday when he asked a spokesman to tell worshipers at a mosque in karbala to refrain from protests against the americans . the people should hold off , the spokesman said , while the united_nations is deciding whether to send a team to assess the feasibility of direct_elections . associates say ayatollah sistani does not want to be so politically involved and that he simply sees it as his duty as a marja al taqlid , or senior cleric with the authority to interpret islamic_law , to ensure that iraq has an islamic identity . they say he is keenly_aware that the shiites , who make up 60 percent of the population , for centuries were kept from ruling under the ottoman and british empires and the dictatorship of saddam_hussein , a sunni arab . that is not to say that he wants a complete intertwining of the state and shiite islam , as in iran . though the ayatollah was born in the holy iranian city of mashad and began studying the koran there at age 5 , he spent his early 20 's in najaf , where he became the prot g of the late grand_ayatollah abu al qassim al khoei . ayatollah khoei was a proponent of the ''quietist'' school of islamic thought , which advocates a withdrawal from politics , unlike the activist school promoted by ayatollah_ruhollah_khomeini in iran and put into practice there after the revolution of 1979 . ayatollah sistani , mr . rubaie said , ''always says something like this 'i did not find election in the jurisprudence books . i did not go into the koran and the prophetic tradition to derive the idea of elections . i derived the idea from a textbook on democracy . ' '' befitting a spiritual leader , the ayatollah , through his representatives , interacts regularly with the other three grand_ayatollahs in najaf . muhammad hussein al_hakim , the son and spokesman of grand_ayatollah muhammad said al_hakim , said people from his organization and that of ayatollah sistani consult often . all the ayatollahs have voiced support for ayatollah sistani 's demands for direct_elections , though none have issued similar edicts . some iraqis have wondered whether ayatollah sistani 's political involvement is an attempt to stave off a power play by a young rival to the older clerics , moktada_al_sadr , who has also begun calling for direct_elections . his father , the respected cleric muhammad sadiq al sadr , was killed by saddam_hussein 's government in 1999 . mr . sadr is now trying to use his father 's name and brash anti american rhetoric to leverage himself into a position of authority . but his organization has only a fraction of the popular support and financial resources of the ayatollah 's group , which has amassed a fortune through the shiite tradition of donations . ''i know mr . sistani , and i 'm sure he 's not acting out of personal interest , '' mr . hakim said . ''the most important thing for the marjaiah is to act in the general interest of the people . maybe others just ca n't grasp this concept . '' last november , ayatollah sistani made it clear he wanted direct_elections for a transitional_assembly by delivering the message through abdul_aziz_al_hakim , the head of the supreme council for the islamic_revolution in iraq . mr . hakim is one of the politicians closest to the ayatollah and acts as an intermediary between the cleric , the governing_council and the coalition_provisional_authority . mr . hakim 's deputies meet often with ayatollah sistani , including imam jalaladeen al sagheir of the baratha mosque in baghdad . at a recent interview with two reporters , the imam took an urgent phone call from one of mr . bremer 's aides . ''i have to go to karbala and najaf to take care of that issue , '' he said quickly before hanging up , indicating perhaps that mr . bremer wanted him to talk to the ayatollah . two weeks ago , a major battle for the cleric 's ear was joined , when it fell to mr . pachachi , of the governing_council , to lead a delegation to discuss the issue of direct_elections . mr . rubaie , who accompanied the delegation , said the ayatollah sat on the floor of his home opposite them , wearing his customary black turban and black robes . mr . pachachi tried explaining that there was not enough time to organize direct_elections by the june 30 deadline . he produced a letter from kofi_annan , secretary general of the united_nations , saying as much . ''that did n't cut the ice with him , '' mr . rubaie said . ''he had already been convinced that elections were possible . '' that had come about , mr . rubaie said , because the ayatollah had absorbed the opinions of iraqi census experts , the minister of trade and a senior united_nations envoy acting unofficially , all of whom had made it known to the cleric that direct_elections were feasible . if american officials end up compromising too easily with ayatollah sistani , though , that could quickly alienate sunni arabs and kurds , who fear being marginalized in a shiite dominated government . those groups make up 40 percent of the population , and that is where ayatollah sistani 's influence ends . their loyalties lie with their own leaders . the struggle for iraq the reconstruction.

michelle_kwan arrived at the winter_games today and said that ''when i saw the olympic rings , i wanted to cry . '' the way she skated , her opponents might be the ones who end up crying after the women 's competition next week . kwan fell on her triple_lutz as she ran through her long program , but she skated an otherwise flawless routine . that was exceedingly impressive for someone who did not arrive until after midnight after a grueling trip from lake arrowhead , calif . ''i feel good , the ice is good , everything is perfect , '' kwan said . ''i do n't know what to expect right now . this is the olympic_games . '' she is such an attraction that both cbs and turner_broadcasting had cameras rolling during her workout . and the news_media frenzy is such that kwan was already being scrutinized for missing saturday 's opening ceremony and staying in a hotel instead of the athletes' village . there were also questions about whether she had received preferential_treatment by receiving her olympic accreditation in tokyo instead of in osaka , where the rest of the american team was processed . kwan and her coach , frank carroll , said that she wanted to attend the opening ceremony , but that her doctor wanted her to remain home and continue treating the stress_fracture in the second toe of her left foot . ''i had therapy on my foot i did n't know if i 'd be ready or not'' to leave home before the ceremony , kwan said . ''i wish i could have been there for my teammates . '' the women 's short_program is scheduled for feb . 18 , with the long program set for feb . 20 . this is earlier than she would usually arrive at a competition , kwan said , ''but i had to adjust to the time difference and things like that . '' inevitably , comparisons are being drawn between kwan , 17 , and her main rival , the 15 year old tara_lipinski , as their head to head competition approaches . lipinski is staying in the athletes' village kwan is not . lipinski participated in the opening ceremony kwan did not . does it matter ? who knows . but both sides are in full spin control . according to cbs officials , the lipinski camp waited to see how she would be treated in an interview with bryant gumbel before she would agree to cooperate with cbs during the games . the lipinskis were satisfied and agreed to cooperate . and lipinski made herself available to reporters after each practice here until she moved to osaka for several days of training . kwan 's agent asked for a credential giving him access to the mixed zone area where reporters speak to athletes after practice , said two skating officials . when told that it might be difficult to obtain the pass , the agent said that kwan might then be available only at formal news conferences . but kwan spoke to a few reporters after today 's practice . deflecting criticism , carroll , kwan 's coach , said that while it was fabulous to have a chance to participate in the games , ''michelle will feel most fabulous if she skates really well . '' the other american skater , nicole_bobek , who has recovered from a hip flexor injury suffered at the national championships last month , is scheduled to arrive on friday . the xviii winter_games figure_skating.

lead to the editor to the editor regarding ''showdown over landing fees'' ( dec . 11 ) , the plan to restrict traffic flow into logan international airport through restrictive landing fees is a topic of conversation by other airport authorities , national aviation groups and the department of transportation . there are two major issues associated with restrictive landing fees set by any individual airport authority that have nothing to do with congestion or delays does a local airport authority have the right to amend or ignore federally mandated national aviation policy ? can an airport authority unilaterally end a valid contractual agreement with the federal_government ? the issues at stake , therefore , are not only about airport congestion and delays . the issues regard the authority and right of the federal_government to implement policy based on the national interest and the obligation of municipal agencies to honor contracts with the federal_government . the problem of congestion and delays at major airports will not be solved by the unilateral_action of one airport authority . it can be solved by refining a national aviation policy with the input of groups that use the system . in fact , 10 billion for such action is already available in the aviation trust fund created by user taxes on general aviation products and airline tickets . if appropriated by congress , these funds would go a long way to provide the equipment , manpower and airport facilities to make a national aviation policy work for everyone on an equitable basis . walter v . wicker president , professional postgraduate services international secaucus , n.j. , dec . 13.

she is a slender sixth_grader whose eyes shine when she talks about how she loves school , but dai_manju has already dropped out of elementary_school four times . it is not that she minds the unheated dormitory crammed with bunks , where she and other girls sleep two or three to a bed on the six nights a week they are at school . nor did she drop out because of annoyance at having to help with the vegetable garden that the pupils and teachers keep to feed themselves . " my parents were ill , and they said they could n't afford sending me to school , " said dai_manju as she stood in front of the crudely built classroom where she is a star pupil . " since i am the oldest child , my parents asked me to drop out and help with the housework . " tuition at the school is the equivalent of 13 a year , including room and board . in this village of a few dozen mud_brick homes , that is a large sum especially to spend on a daughter . the peasants in this remote and backward part of the dabie mountains in central china have an average per capita income of less than 60 a year . dai_manju 's family of five is much poorer than average , owning nothing to speak of but a bare mud_hut not a radio , not even a bicycle or a watch . the challenges encountered by 13 year old dai_manju , and by the tiny school in yejuao ( pronounced yeh joo ow ) , offer a window into the troubled world of chinese education . it is the university students who yearn for democracy who attract the most attention , but for the ordinary peasants , who make up 70 percent of the nation 's population , the most basic and poignant problem is simply getting through elementary_school and learning to read . nationwide , about 15 percent of children never graduate from elementary_school and 55 percent never make it through junior high_school , even though nine years of education are supposed to be compulsory in china . only one child in 10 graduates from high_school , including vocational_schools . it is in villages like yejuao , whose name means wild chrysanthemum valley , that these missed opportunities take on a human form , that the knots in the educational system become clear . " a week after the beginning of school in the spring term this year , we found that 50 of our 170 pupils had dropped out , " said li huachun , the 39 year old principal of the elementary_school . that was when mr . li and the teachers moved into high gear , proving that while rural chinese schools may lack tape_recorders , gymnasiums and toilet_paper , they sometimes abound in commitment to their students . the entire school staff went door to door , begging parents to keep the children in school . if one trip did not work , they went again and again , sometimes trudging two or three hours over mountain trails to the children 's homes . they cajoled , and pleaded , and shamed the parents . this barrage of home visits worked , and soon 46 of the 50 pupils were back in school . among them was dai_manju , whose parents agreed to let her return when the teachers dug into their own pockets to pay her tuition . her dreams are still alive . " i want to go on to junior high_school next year , " dai_manju said as she related her hope of becoming a crafts teacher when she grows up . junior high will be more expensive , though the fee is 4 more a year and she confessed that she sometimes worries if her parents will allow her to attend . those are the worries , and the triumphs , of a town like yejuao . the 100 peasants who live here , each cultivating less than one sixth of an acre , do not worry about national politics but about more immediate questions how can i breach the family_planning policy and have a third child ? how is the crop , and after the harvest can i afford any new clothes ? how can i keep my children in school ? exceptional dedication this remote corner of hubei_province is typical of poor areas in the problems that schools face , but by all accounts the dedication of local teachers is exceptional . in some parts of china , schools make little effort to keep students in the classroom , and even impose unauthorized fees that discourage attendance . for that reason , the devotion of teachers here in luotian county has won paeans in the chinese press . the teachers of yejuao may demonstrate extraordinary commitment , but in some respects they have it better than their american counterparts . teachers here earn up to 19 a month , a grand sum that makes them the local equivalent of investment bankers , and they bask in the respect and affection of their students and the community . in the way that some american communities are known as " college towns , " yejuao might be called an " elementary_school village . " the 180 pupils in the school come from about 30 villages in the hills around yejuao . most live here from sunday_night until saturday afternoon because their homes are too far away . as in most of the country , the problem of dropouts is worse for girls . there are 50 percent more boys than girls in the elementary_school here because parents regard book learning as less important for their daughters than for their sons . the teachers' war on truancy is being waged in imaginative ways , and it is having considerable effect . at an elementary_school in a nearby village , one boy was a bed wetter and dropped out of school after the other boys refused to allow him to share their beds a necessary custom in rural chinese boarding_schools , where economy and togetherness are a way of life . dropouts 'a terrible loss' so the principal , zhu dongming , persuaded the child to come back and offered to share his own bed with the child . the boy promptly wet mr . zhu 's bed and quilt . afterward , mr . zhu woke the boy at 2 a.m . every day and took him to the outhouse . the boy stopped wetting his bed and was able to return to the dormitory . " if the students drop out , that is a terrible loss , " said fang shenfang , a 19 year old teacher at the local junior high_school . " so we do what we can to help . " education in china is largely the responsibility of local authorities , and shortly after the communist_revolution tremendous advances were made . special literacy classes were held for adults , particularly women who had never had a chance to study , and great emphasis was laid on building schools and making education universal . the fervor for education faded somewhat over time , particularly in the decade of the cultural_revolution , which ended in 1976 . but these days the government is again emphasizing the importance of education , even if it does not always provide the money needed . " this county is rich in natural_resources , but how can we develop them ? " said gao zuohuo , the deputy head of luotian county . " the best way is to educate the people and make them more knowledgeable . " officials acknowledge that school fees are a problem for many students , but they say the schools are desperately short of money and have no alternative but to charge . china last year started a national scholarship program to help students pay their fees and stay in school , but it depends on donations and is short of funds . some resist education moreover , sometimes the problem is not remaining in school but registering in the first place . chen youzhou , a tiny 18 year old now in the ninth_grade , has been able to stay in class because of help from teachers , but his 8 year old brother has not even been able to begin an education . " he wants to go to school , " mr . chen said , " but he ca n't afford to . " of course , money is not the only problem . some parents simply do not see much point to an education , and others think that if they hold out and refuse to pay the fees then the teachers will pay for them . for that reason , some officials discourage the teachers from helping students pay the tuition except as loans . " loans are what we need , and we can repay them when the harvest comes in , " zhang lanhua , a 28 year old mother of three , said as her latest child , a son , entertained himself by tweaking her nose and smearing his hand over his face . her son was evidence that the families of yejuao are sometimes delighted to part with their harvest earnings ms . zhang paid a 55 fine for giving birth to her son in defiance of family_planning restrictions . but she seemed to think it was a bargain her first two children were girls , and like many chinese peasants she felt she needed a son to pass on the family line . " my children are definitely going to school , " ms . zhang said , her voice slightly smothered as her son continued to paw her face . " it may be tough financially , but they 're going to get as much school as they possibly can . "

the major markets in europe generally did not do much last year , but there was plenty of action out on the volatile new frontiers of emerging_markets , enriching some investors and impoverishing others . in brazil , the bovespa equity index finished the year up by well over half in dollar terms , and other markets in peru and chile were not far behind . but the losers were almost as conspicuous as the winners . the new stock markets in china 's burgeoning cities of shanghai and shenzhen ended 1994 down by more than a third . the most embarrassing performance was turned in by turkey 's stock_market , whose value was cut 49 percent over the year . the turkish market was a big winner in 1993 . in europe , stock markets moved circumspectly in response to elections at home and skittishly in anticipation of rising interest rates in the united_states . the weaker dollar against major currencies from frankfurt to tokyo made european and japanese exports more expensive and left some industry stocks overpriced for foreigners . swings in exchange_rates also skewered market returns for foreign investors . mexico 's bolsa ended the year off by nearly 41 percent , dragged down by the peso 's devaluation . but the nikkei index in japan finished up 27 percent after the stronger japanese_yen moved into double_digits against the dollar . emerging_markets promise the most exciting opportunities again in 1995 , perhaps too exciting for the faint of heart . with the unexpectedly early and sharp rise in interest rates in the united_states driving down stock prices in most major markets , 1994 was not much of a year for investors in europe . in london , europe 's financial center , the financial_times stock_exchange index of 100 leading shares tumbled from a record of 3 , 520 early in 1994 to a low of 2 , 877 and ended the year around 3 , 000 . the markets in germany and france registered drops of similar scale amid concern among equity investors that rising rates would dampen hopes for earnings growth and siphon funds from stocks into bonds . indeed , every major european market ended well below its high for the year , with a particularly volatile market like italy 's down more than 25 percent . what is in store for 1995 ? mike young , the director of european investment_strategy at merrill_lynch in london , said the european markets over all could be in for a choppy ride , especially if the market in the united_states declined and european short term interest rates and bond yields rose . " the next move may well be down rather than up , " mr . young said . but there are pockets of opportunity . finland , norway , the netherlands and britain are currently merrill_lynch 's favorite european markets , he said . many stocks in finland and norway , especially cyclical and commodity stocks like paper companies , could still see enhanced earnings from the worldwide economic_recovery . many stocks in the netherlands could post surprisingly good earnings gains and may benefit from improving market valuations . and britain , mr . young said , is the cheapest of the major markets and has suffered from too much pessimism about the earnings outlook . financial_services , energy and consumer oriented companies all have potential for next year , said joe rooney , the strategist at lehman_brothers in london . lehman_brothers is recommending stocks such as banco popular of spain andabn amro of the netherlands in the banking field . royal dutch shell of the netherlands and total of france are among the major oil companies lehman is recommending , and a.b . astra of sweden , lvmh of france , heineken of the netherlands and b.a.t . industries of britain are among its favorite consumer driven stocks . richard w . stevenson.

seeking international support for its vision of a new iraq , the bush_administration will prod other nations to deepen and speed their economic aid to the embattled country at a conference of donors this week in tokyo . the extent to which the united_states is going it alone in iraq has been debated heatedly in the presidential campaign , so the outcome of the conference , to be held tomorrow and thursday , could figure in domestic politics as well . the american delegation will be led by deputy_secretary_of_state richard l . armitage . a year ago , a number of countries and international agencies pledged 13 . 5 billion in loans and grants for iraqi reconstruction . but because of rising violence in the country , much of it directed against foreigners and aid projects , little has been spent up to now . at the same time , the bush_administration 's crash program to provide 18 . 4 billion in american funds for reconstruction has moved at a crawl , with only 1 . 2 billion disbursed by sept . 22 , according to a state_department report released last week . also , in response to disintegrating security and rising public anger in iraq , the administration is shifting around 3 . 5 billion in aid mostly from planned water , sewage and electrical projects to the rapid training of more police officers and soldiers and to make work programs . if those shifts are not somehow made up , the state_department report said , the number of iraqis receiving potable water within the next two years will rise by 7.5 million instead of 15 million , as originally planned the number of people in homes newly connected to modern sewage systems will rise by only by 1.3 million instead of 5 million and the projected rise in electrical output will fall by one third . the bush_administration has quietly pushed other countries to say this week that they will fill the gap left by its emergency reallocation . this may not necessarily involve new gifts , but rather the allocation of previously promised aid . beyond the implications for iraqi welfare , the quest for aid is colored by presidential politics at home . the democratic challenger , senator john_kerry , argues that by making a fresh start with shaky allies , he could more successfully gain international help in iraq . ''to the extent that bush can arrange this himself , it will undercut kerry 's argument , '' said michael o'hanlon , a foreign_policy expert at the brookings institution in washington . hanging over the aid discussions is the question of iraq 's foreign debts , estimated at 120 billion . vice_president dick_cheney said during his debate last week with the democratic vice_presidential_nominee , john_edwards , that ''the allies have stepped forward and agreed to reduce and forgive iraqi debt to the tune of nearly 80 billion by one estimate . '' that estimate goes far beyond any publicly revealed figure for debt_relief . until the debt issue is resolved , it may be difficult for governments and international agencies to provide new loans to iraq .

commuters who walk into the subway at piccadilly circus these days cannot help but see the giant advertisement for go , british_airways' new no frills carrier . not far away is a considerably smaller bright orange poster for easyjet , a european bargain airline . it reads ''fly the real thing . go easyjet . '' the size and juxtaposition of the two ads say a lot about the war over the growing low cost , no frills european airline market now that british_airways has pushed its newborn into the fray . go , which began serving italy on may 22 with flights to rome and milan , has a lot of muscle behind it . but it has come under fire from four other no frills carriers that fly out of london easyjet , debonair , ryanair , and virgin_express all of which contend that british_airways is unfairly using its market dominance and deep pockets to subsidize go to drive them out of business . ''i am absolutely disgusted , '' said stelios haji ioannou , founder and chief executive of easyjet . he has taken british_airways to court here and is expecting to go to trial in several months . ''it 's impossible to compete against someone who is trying to lose money . '' for its part , go , which has been set up as a wholly owned subsidiary of british_airways , says that it is completely independent of its owner and is simply interested in finding a profitable niche in the low cost market that has been created by the deregulation of european airlines . ''being owned by b.a . is a double edged sword , '' barbara cassani , chief executive of go , said in an interview just before the service began . ''we are certainly a better airline because we are owned by b.a. , but it obviously makes us a target . '' in fact , ever since british_airways announced last year that it intended to enter the no frills airline business , executives from competing carriers have been on the attack . ''b . a . has done a lot of anticompetitive things over the years , '' said richard_branson , chief executive of virgin_group , which operates virgin_express along with virgin_atlantic , his original upstart airline that competes with british_airways on several international routes . ''i think they are determined to get rid of low cost carriers and subsidize go to make it happen . '' while low cost carriers like southwest_airlines have been part of the united_states airline_industry for years , no frills carriers are relatively new in europe . they exist largely because the european_union opened the door in april 1997 to increased competition . the idea was to provide an alternative to the long established european carriers , most of which began as state sponsored airlines . the london hub is the most hotly_contested . round trip tickets on a british_airways flight to rome , for example , typically cost 189 to 538 , or 308 to 876 , depending on the class of service and time of purchase . but a no frills round trip flight on debonair to rome costs as little as 119 , or 194 . and now go is charging only 100 , or 163 . the sharp drop in prices has caused a surge in passengers , but competitors of go say its fares are too low for anybody to make money . easyjet , in its lawsuit , contends that go will unfairly benefit from subsidies by its parent , arguing that british_airways is illegally supporting go by guaranteeing its aircraft leases and by providing help in other ways , like offering insurance , advertising and other services at below market rates . a week before go started service , a judge denied easyjet 's request for an injunction stopping british_airways from guaranteeing the leases of five go planes . but he also refused british_airways' request to throw out the suit . upon hearing the ruling , both companies claimed victory . ''all i want from the ultimate outcome of this whole thing is for them to play fair , '' said mr . haji ioannou of easyjet . ''if you maintain a dominant position in the marketplace , you have special responsibilities , '' he added , comparing the situation to the united_states justice_department 's antitrust case against microsoft . but some outsiders say the fight is as much for public attention as it is for legal victory . ''i do n't think b.a . has an agenda to drive easyjet out of business , '' said steve clapham , a travel industry analyst at robert fleming securities in london . ''easyjet is just looking for publicity . '' debonair , another low frills airline , is taking on british_airways by requesting an investigation by the european_commission in brussels , which governs competition . ''i can show you they have predatory pricing , '' said franco mancassola , chief executive of debonair . ''our objection is that their prices are unsustainable . '' ms . cassani of british_airways dismissed the accusations . ''we have never said we plan to maintain these prices , '' she said . ''like any introduction , they are promotional prices . we will introduce a flexible fare later in the year . '' mr . haji ioannou insisted that go 's strategy was to lose money until it could put everyone else out of business . ''in court it came out that b.a . said it was willing to lose 29 million over the next three years while they squash everybody else , '' he said . ms . cassani replied ''that number has been blown out of context and bandied about . as with any responsible business_plan , i had to tell the board how much b.a . would be out if things did n't work out . '' british_airways has provided go with 25 million , or 40 . 7 million , in capital . ms . cassani , an american who served as united_states general_manager for british_airways for four years before taking control of go a year ago , said she had a personal goal to turn a profit in two to three years . ''i would n't be here if i did n't think it could work , '' she said . for all the backing of its parent , go has started modestly . in addition to flights to rome and milan , it will begin service to copenhagen on friday . the only other no frills carrier that operates direct flights on those three routes is debonair , with its london to rome service . ms . cassani said she planned to announce another go route within a month and would move into other markets as the opportunities arise . in a twist , virgin express countered go 's debut by introducing service to rome and milan for 2 less than go but through brussels rather than nonstop . ''we would never let b.a . undercut us , '' mr . branson said . part of the reason the airlines can offer such cheap fares is that they operate out of airports that are far less crowded than heathrow , near london , which serves as the international hub for british_airways and virgin_atlantic . go and virgin express fly from stansted airport , northeast of london , while easyjet and debonair operate from luton , northwest of london , where slots are even cheaper and more available . ms . cassani acknowledged that all the sniping had forced her to spend less time on what she called the important things and more time responding to criticism . but she still sees a silver lining in the whole fight . ''all of this picking on us , '' she said , ''has made us tougher . '' international business.

george w . bush and john_kerry ended the last of their three debates as they began them , with starkly defined differences in substance , semantics and style on almost every major question facing the american public , and they head into the campaign 's homestretch amid every indication that their debates mattered perhaps more than any such encounters in a quarter century . they were a rough passage for mr . bush , who saw his september lead over mr . kerry slip away as the democratic nominee established himself as a plausible presidential alternative . in a crucible where voters measure the self confidence , authority and steadiness of the candidates , mr . kerry delivered a consistent set of assertive , collected performances . mr . bush appeared in three guises impatient , even rattled at times during the first debate , angry and aggressive in the second , sunny and optimistic last night . in just 13 days the debates have upended the horse_race and brought mr . kerry back to dead even in the polls . but this is not 1980 , when ronald_reagan 's strong performance in his sole debate against jimmy_carter just a week before election day helped him gain support at an average rate of 1.2 percentage_points a day , and left president_carter no time to recover . now , there are almost three weeks of a final free for all , one likely to be dominated not by set piece face offs or scripted conventions that the candidates themselves can control , but by forces and factors comparatively beyond the power of either . the main thing each man can control is his own message mr . bush seems sure to keep accusing mr . kerry of a career of weak decisions on national_security and tax and spend liberalism at home , while mr . kerry is all but certain to keep hammering mr . bush 's handling of the war in iraq and the american economy . from the candidates' first meeting in coral gables , fla . , to their finale in tempe , ariz . , last night , the debates have been the public 's clearest window into just what different people mr . bush and mr . kerry are and just what different presidents they would be . the tightly structured format minimized mr . kerry 's penchant for prolixity and magnified mr . bush 's instinctual impatience . mr . bush 's certainties clashed with mr . kerry 's subtleties , and the president 's optimism was challenged by mr . kerry 's skepticism . as a rule , mr . bush summoned sweeping , time tested labels , as he did last night , to paint mr . kerry as sitting ''on the far left bank'' of the american mainstream in an effort to appeal to core republican supporters , while mr . kerry invoked the language that bill clinton used so successfully with swing voters , pledging to support ''people working hard , playing by the rules , trying to take care of their kids . '' but if both men often played to type , there were times when they played against their common caricatures last night . mr . kerry will never be warm and fuzzy , but television is a medium that loves a cool persona and he spoke calmly while mr . bush occasionally seemed agitated , as he has , to one degree or another in each debate . mr . kerry has a confessed fondness for nuance , but he gave clear and direct answers last night on topics that mr . bush dodged , declaring his belief that people are born gay and that he would not appoint judges who would overturn roe v . wade . on the question of homosexuality , mr . bush told the moderator , ''you know , bob , i do n't know , '' and on abortion , he twice avoided a direct answer , saying only that he would not have a ''litmus test'' for judges . at one point , mr . bush , who prides himself on his plain spokenness , lapsed into washingtonese , citing the ''lewin report , '' a private consultant 's analysis of mr . kerry 's health_care proposal , a reference that surely mystified most viewers . in many ways , last night 's encounter was the most subdued of the three , and it will almost surely be the least watched , competing as it did against not one but two baseball playoff_games . neither candidate made anything that would count as a major gaffe , and neither seemed to score a knockout punch . but mr . kerry repeatedly chastised mr . bush for lost jobs , the growing gulf between rich and poor , inequitable pay for women and lack of health_insurance . mr . bush ignored the specifics of many of mr . kerry 's complaints , instead frequently citing his efforts to improve american educational standards . ''this is one of those classic years where the debates actually did change the direction of the race , '' said alan schroeder , an associate professor at northeastern_university and author of ''presidential debates 40 years of high risk tv . '' ''it does n't always happen that way . it does n't even often happen that way . but clearly something in that first debate caused voters to take a second look at john_kerry , and take another look at george_bush . '' he added , ''the question is , are the debates conclusive , or are they just one more chapter in an ongoing saga that has another plot twist or two yet to come . '' there is every reason to think the latter is true . the latest polls show the race in a virtual deadlock . both men are now fully as much at the mercy of events as they are of each other . almost any variable violence in iraq or a possible terrorist attack at home , the vagaries of turnout or the verdict of the small but significant slice of voters who have yet to make up their minds might make a difference . each candidate has reason for hope , and ample evidence for doubt . by many empirical measures , the race has been mr . kerry 's to lose all year . for months , mr . bush has struggled to raise his job approval_ratings above 50 percent , polls have shown a clear majority of the public thinks the country is on the wrong track and events on the ground in iraq and official inquiries in washington have combined to raise widespread questions about the administration 's rationale for war there , and widespread doubts about its conduct . all that is bad news for any incumbent , especially one who owed his ultimate victory to a single vote on the supreme_court . but since sept . 11 , 2001 , mr . bush has remained buoyed by his consistently strong ratings on handling terrorism , and mr . kerry has never managed to open a clear , sustained lead in the horse_race even when polls showed viewers believed by lopsided margins that he had outperformed mr . bush in the first debate . that is bad news for any challenger , especially one in such an otherwise favorable environment . geoffrey garin , a veteran democratic pollster , said the debates were ''incredibly important events'' for mr . kerry . ''i think while the debates exacerbated some of the questions people had about bush , they were an opportunity for kerry to address a lot of the doubts and questions people had about him , '' he said . ''in that respect , the real general_election began for him with the first debate . '' mr . garin added , ''the biggest challenge for kerry is how voters ultimately work through their comfort level with making a change in leadership during the war on terror . '' the race may yet break open either way . history suggests that incumbent presidents do not win or lose in squeakers , but decisively , as mr . bush 's father did 12 years ago . this president_bush 's advisers make it clear that they are leaving nothing to chance . four years ago , mr . bush 's chief strategist expressed_regret that he had given mr . bush a sunday off from campaigning 10 days before an election in which he lost the popular vote . yesterday , the white_house_communications_director , dan_bartlett , said that the president would campaign ''just about'' every day from now till nov . 2 , and added , ''it 'll feel like it , if it 's not . '' the 2004 campaign news analysis.

yes , the thing in the urinal is talking to you . thanks to an inventor from islip , bar patrons in nassau_county now face the possibility that when they enter a men 's restroom they will be confronted at the most inopportune moment by a cheerful sounding machine chiding them about driving drunk . the device is placed at the bottom of a urinal and is sensitive to changes in light . the presence of a person standing before it sets it off . ''hey , you ! yeah , you . having a few drinks ? '' a male voice intones . ''then listen up . think you had one too many ? then it 's time to call a cab or call a sober friend for a ride home . '' the device is battery powered and watertight , looks like a hockey puck with mesh wings , and replaces the usual deodorant cake . there are other versions . one warns about drinking while boating , and some of the cakes have a picture of a man in handcuffs with the words ''you drink . you drive . you lose . '' nassau_county officials said they loved the idea when they learned about it and paid 2 , 200 for a hundred of the contraptions . the money comes from drunken_driving fines , and the county plans to give one free to any bar owner who wants it . a long_island based anti drunken_driving group , dedicatedd , is a co sponsor of the program . christopher mistron , the traffic safety educator for nassau_county , said that the reaction from friends and around the county has been mixed , but that the way he figures it , anything that gets people talking about the dangers of drunken_driving is a good thing . ''trust me , someone comes back from the men 's room after seeing one of these things , '' he said , ''and says to his friends at the bar , 'you 'll never believe what i saw in there . ' '' the talking urinal cake is the brainchild of richard deutsch , an islip resident , former chiropractor and engineer . ''there 's no more captive audience than a guy standing at a urinal , '' he said . he is hoping to put a similar device with scrolling text but no sound in women 's restrooms , where it would be fastened to stall doors . thus far , two bars have installed one of the devices , nassau officials said . at c . j . wellington 's , a bar in franklin square , the owner , john costello , placed one in a urinal yesterday . ''i do n't know how it 's going to go down , but at least it will be a deterrent to stop people from getting on the road when they should n't be , '' he said . in the past , mr . deutsch has sold another version of the wizmark , or ''interactive urinal communicator , '' as he calls it , to bars in canada and the united_states . instead of warning about drunken_driving , that version had advertising for molson beer and country music television . he is also developing a wizmark campaign aimed at motorcyclists , for bars in wisconsin . not everyone likes his product . one advertising_agency , he said , informed him it was ''a totally stupid idea . '' it does grab the attention , though . last week , it was lampooned on ''saturday_night_live . '' ''the message has gotten out there , '' said mr . mistron , the traffic safety educator . ''we have our own 'where 's the beef ? ' ''

lead tomorrow morning in the high bridge section of the bronx , worlds away from bedroom views of the statue of liberty , work will begin on the first city owned shells to be renovated using surplus battery_park_city revenues . tomorrow morning in the high bridge section of the bronx , worlds away from bedroom views of the statue of liberty , work will begin on the first city owned shells to be renovated using surplus battery_park_city revenues . the two year project by lehrer , mcgovern and bovis , a construction firm , will create 895 apartments for homeless and low and moderate income families . a ceremony to mark the occasion will be held at 11 a.m . in the 1512 townsend avenue courtyard , the first time that once pleasant spot will be filled with people since no . 1512 , like the 13 other apartment houses being rebuilt , was abandoned a decade ago . the 65 million project is the first use of 400 million in bonds issued by the state last year . eventually , 1 . 2 billion will be spent on such housing . built in the 1930 's for middle_class families , the bronx buildings are scattered throughout a four block area on townsend and walton avenues between jerome and mount eden avenues . first occupancy is expected in the fall of 1989 . the nonprofit operator of the completed project , settlement housing fund , is seeking private contributions to create a community center and garden .

following is the decision yesterday by judge n . sanders sauls of leon_county circuit court on vice_president al_gore 's contest of florida 's certified election results , as recorded by the associated press at this time , the court finds and concludes as follows the complaint filed herein states in its first paragraph that this is an action to contest the state certification in the presidential_election of 2000 , asserting that the state elections canvassing commission 's certification on nov . 26 , 2000 , is erroneous as the vote totals wrongly include illegal votes and do not include legal votes that were improperly rejected . plaintiffs further contest the state of florida 's certification of the electors for george w . bush and richard cheney as being elected . plaintiffs further challenge and contest the election certifications of the canvassing boards of dade , palm_beach and nassau counties . as to the dade canvassing board , plaintiffs seek to compel the dade board to include in its certification , and the state elections canvassing commission to include in the state certification , a six vote change in favor of plaintiffs , resulting from the board 's initial test partial manual_recount of 1 percent of the countywide vote total conducted with respect to three precincts designated by the plaintiffs' designees also additional votes manually hand counted in a further partial recount total resulting from the board 's discretionary decision to stop completion of a full manual_recount of all of the votes in all of the precincts of dade because of insufficiency of time to complete the same . these represent the result of the count of an additional 136 precincts of the 635 precincts in dade_county . and also the results of any court ordered manual review and recount of some 9 , 000 to 10 , 000 voter cards or ballots , which at the plaintiffs' request have been separated or were separated as alleged undervotes by the dade canvassing board or the dade supervisor of elections as a result of all of the countywide ballots being processed through the counting machines a third time and being nonreadable by the machine . as to the palm_beach canvassing board , plaintiffs seek to compel the palm_beach board to include in its certification , and the state elections canvassing commission to include in the state certification , additional votes representing the results of an attempted partial certification of results completed before the nov . 26 , 2000 , deadline mandated by the florida supreme court , as well as the additional remainder of the results of the manual_recount , which was completed after the deadline and the attempted certification thereof on dec . 1 and in addition , the results of any court ordered manual review and recount of some 3 , 300 ballots , which were objected to during the palm_beach board 's manual_recount , which plaintiffs alleged should have been counted as valid votes because that board used an improper standard . as to nassau , the nassau_county canvassing board , the plaintiffs seek to compel the nassau board to amend its certification , and the state elections canvassing commission to amend the state certification , to reflect and include the results of the board 's machine recount rather than the results of the board 's original machine count , thereby resulting in a favorable net gain to plaintiffs of 51 votes . it is the established law of florida , as reflected in state v . smith , that where changes or charges of irregularity of procedure or inaccuracy of returns in balloting and counting processes have been alleged , the court must find as a fact that a legal basis for ordering any recount exists before ordering such recount . further , it is well established , as reflected in the opinion of judge jonas in smith v . tynes , that in order to contest election results under section 102 . 168 of the florida statutes , the plaintiff must show that but for the irregularity or inaccuracy claimed , the result of the election would have been different , and he or she would have been the winner . it is not enough to show a reasonable possibility that election results could have been altered by such irregularities or inaccuracies . rather , a reasonable probability that the results of the election would have been changed must be shown . in this case , there is no credible statistical evidence and no other competent substantial evidence to establish by a preponderance a reasonable probability that the results of the statewide election in the state of florida would be different from the result which has been certified by the state elections canvassing commission . the court further finds and concludes the evidence does not establish any illegality , dishonesty , gross negligence , improper influence , coercion or fraud in the balloting and counting processes . secondly , there 's no authority under florida law for certification of an incomplete manual_recount of a portion of or less than all ballots from any county by the state elections canvassing commission , nor authority to include any returns submitted past the deadline established by the florida supreme court in this election . thirdly , although the record shows voter error and or less than total accuracy in regard to the punch_card voting devices utilized in dade and palm_beach counties , which these counties have been aware of for many years , these balloting and counting problems cannot support or effect any recounting necessity with respect to dade_county , absent the establishment of a reasonable probability that the statewide election result would be different , which has not been established in this case . the court further finds the dade canvassing board did not abuse its discretion in any of its decisions in its review and recounting processes . fourthly , with respect to the approximate 3 , 300 palm_beach_county ballots of which plaintiffs seek review , the palm_beach board properly exercised its discretion in its counting process and has judged those ballots which plaintiffs wish this court to again judge de novo . all cases upon which plaintiffs rely were rendered upon mandamus prior to the modern statutory election system and remedial scheme enacted by the legislature of the state of florida in section 102 of the florida statutes , or chapter 102 of the florida statutes . the local boards have been given broad discretion , which no court may overrule absent a clear abuse of discretion . the palm_beach_county board did not abuse its discretion in its review and recounting process . further , it acted in full compliance with the order of the circuit court in and for palm_beach_county . having done so , plaintiffs are estopped from further challenge of its process and standards . it should be noted , however , that such process and standards were changed from the prior 1990 standards , perhaps contrary to title 3 , section 5 of the united_states code . furthermore , with respect to the standards utilized by the board in its review and counting processes , the court finds that the standard utilized was in full compliance with the law , and review under another standard would not be authorized , thus creating a two tier situation within one county as well as with respect to other counties . the court notes that the attorney_general of the state of florida enunciated his opinion of the law with respect to this in a letter dated nov . 14 , 2000 to the hon . charles e . burton , chair of the palm_beach_county canvassing board , which in part is as follows ''a two tier system would have the effect of treating voters differently depending upon what county they voted in . a voter in a county where a manual count was conducted would benefit from having a better chance of having his or her vote actually counted than a voter in a county where a hand count was halted . ''as the state 's chief legal officer , i feel a duty to warn that if the final certified total for balloting in the state of florida includes figures generated from this two tier system of differing behavior by official canvassing boards , the state will incur a legal jeopardy under both the united_states and state constitutions . this legal jeopardy could potentially lead florida to having all of its votes , in effect , disqualified , and this state being barred from the electoral_college 's selection of a president . '' the court finds further that the nassau_county canvassing board did not abuse its discretion in its certification of nassau_county 's voting results . such actions were not void or illegal and it was done within the proper exercise of its discretion upon adequate and reasonable public notice . further , this court would further conclude and find that the properly stated cause of action under section 102 . 168 of the florida statutes to contest a statewide federal_election , the plaintiff would necessarily have to place an issue and seek as a remedy with the attendant burden of proof a review and recount of all ballots in all the counties in this state with respect to the particular alleged irregularity or inaccuracy in the balloting or counting processes alleged to have occurred . as recently stated by judge klein , with the concurrence of chief judge warner in the fourth district court of appeal case of fladell v . palm_beach canvassing board , section 102 . 168 provides in subsection 1 that the certification of election may be contested for presidential elections . section 103 . 011 provides that , quote , ''the department of state shall certify , as elected , the presidential electors of the candidates for president and vice_president who receive the highest number of votes . '' there is in this type of election one statewide election and one certification . palm_beach_county did not elect any person as a presidential elector , but rather the election was a winner take all proposition dependent on the statewide vote . finally , for the purpose of expedition due to the exigencies surrounding these proceedings , this court will deny those portions of the pending motions to dismiss of the various parties herein not affected by or ruled upon in these findings and conclusions with those portions consisting solely of matters of law being reviewable upon such denial . in conclusion , the court finds that the plaintiffs have failed to carry the requisite burden of proof and judgment shall be and hereby is entered that plaintiffs shall take nothing by this action and the defendants may go hence without delay . all ballots in the custody of the clerk of this court shall remain pending review . contesting the vote correction december 7 , 2000 , thursday a transcript by the associated press on tuesday for the decision by judge n . sanders sauls in leon_county , fla . , and a front page article based on it , rendered a phrase incorrectly in his closing reference to the gore campaign 's case against state and county authorities over certifying the election results . the judge said the plaintiffs ' 'shall take nothing by this action and the defendants may go hence without day'' that is , without the setting of a new meeting date . he did not say ''without delay . ''

a federal grand_jury in chicago indicted a former internal_revenue_service employee yesterday on charges of accepting_bribes from 1992 until 1997 to delay tax collections . the former employee , elmer k . mackey , 61 , of harvey , ill . , was indicted on two counts of bribery and impeding the administration of the tax laws , patrick j . fitzgerald , the united_states_attorney in chicago , announced last night . mr . mackey is accused of having taken 2 , 750 in seven separate bribes , plus part of an initial 5 , 000 bribe , to delay collection actions against a taxpayer . that person was represented by an income_tax preparer who was actually an undercover agent for the treasury department 's inspector general for tax administration . mr . mackey , reached at his home last night , said he was unaware of the indictment and had no comment on it . in july 2000 at least eight i.r.s . employees at four chicago_area offices were suspended as part of an investigation into allegations that i.r.s . customer service agents had accepted gratuities from tax preparers and tax lawyers to forestall collection actions and to provide copies of tax records .

lead the dollar finished slightly lower yesterday in what traders said was a delayed reaction to news that west_germany 's central_bank had sold dollars last month . the dollar finished slightly lower yesterday in what traders said was a delayed reaction to news that west_germany 's central_bank had sold dollars last month . gold prices also fell . on the commodity exchange in new york , gold finished at 460 a troy ounce , down 2 . 90 from monday 's close . and the republic national bank of new york said bullion was bid at 458 . 75 an ounce at 4 p.m. , down from 463 . 25 an ounce late monday . traders said investors continued to sell dollars following a a report by west_german central_bank officials monday that the bundesbank had quietly sold at least 2 billion during the last week of may . such a move lowered its huge dollar reserves and helped slow the dollar 's recent rise . ''there was some spillover activity from that , '' said david godwin , chief foreign exchange dealer at union_bank_of_switzerland 's new york office . in addition , traders have begun squaring up their positions ahead of the government 's report on united_states merchandise trade figures for april , due to be released next tuesday . ''some banks seem to be scaling up their estimates of the trade_deficit , '' said stephen flanagan , an assistant vice_president at manufacturers_hanover trust . the higher estimates spurred traders to sell dollars and take their profits , he said . manufacturers_hanover is forecasting an april deficit of 12 . 3 billion , higher than earlier estimates that pegged the shortfall at 10 billion , mr . flanagan said . at the end of the trading day in new york , the dollar had fallen to 125 . 52 yen , down from 125 . 76 yen on monday . the british_pound strengthened following monday 's increase of half a percentage point in british interest rates . in new york , the pound was 1 . 8138 , up from monday 's 1 . 8006 . other late dollar rates in new york , compared with late monday rates , included 1 . 7113 west_german marks , down from 1 . 7134 1 . 4254 swiss_francs , down from 1 . 4279 5 . 7818 french francs , down from 5 . 8015 1 , 271 . 65 italian lire , down from 1 , 273 . 88 , and 1 . 2283 canadian dollars , down from 1 . 2321 . silver on the comex fell to 7 . 237 a troy ounce , from 7 . 270 on monday . currency markets.

the iraqi government yesterday denounced a united_nations plan to allow limited sales of iraqi oil and organized large anti american demonstrations in baghdad . " i think the voices of the masses have expressed the iraqi stand , " the speaker of the iraqi parliament , saadi mahdi saleh , told associated press television during one rally . " what you heard from the people is rejection of this decision . " iraq 's revolutionary_command_council , the highest governmental body under president saddam_hussein , denounced the united_nations resolution . but after meeting with mr . hussein , the council did not say that it had rejected the plan . instead , it sent the plan to the iraqi parliament for action , calling the resolution " more dangerous " than previous ones offering baghdad limited and monitored sales for purely humane reasons . the iraqi parliament , however , is not known for opposing mr . hussein 's will . the baghdad rally , before a crowd that appeared to reporters on the scene to be made up largely of government employees , was similar to those iraq staged before the beginning of the persian_gulf_war in 1991 . it is not clear whether yesterday 's apparently orchestrated reaction was intended as iraq 's final word on the proposal . it would allow iraq to sell 2 billion in oil over six months to help pay for food , medicine and other relief supplies to ease the effects on the iraqi people of the international iraqi parliament for action , calling the resolution " more dangerous " than previous resolutions offering baghdad limited and monitored sales for purely humane reasons . the iraqi parliament , however , is not known for opposing mr . hussein 's will . president hussein has been holding out a proposal on easing sanctions that would be wider and less restrictive , to give iraq the right to sell as much oil as it wished and spend the money in any way it chooses . under current security_council resolutions , that would not be possible until a monitoring team has certified that iraq is fully complying with its instructions to eliminate the country 's weapons_of_mass_destruction and that the monitors are to conduct surveillance to prevent any new weapons programs . last week , iraq suffered a setback in its hopes when the head of the monitoring team , rolf_ekeus of sweden , reported to the security_council that iraq may have been concealing a biological_weapons program or plans to begin one since the late 1980 's . in 1991 , the united_nations proposed a more restrictive plan for easing sanctions that would have allowed iraq to resume limited oil exports to pay for emergency needs . but the iraqi government rejected the deal as an infringement on its sovereignty . under the new plan , which would be renewable , iraq would be permitted to sell up to 2 billion in oil within 180 days 1 billion in each 90 day period subject to certification by the secretary general . iraq would have to earmark 30 percent of the income from the sale to compensate victims of the invasion of kuwait . it would also have to pay the costs of the united_nations monitors watching both the oil sales and iraq 's compliance with weapons surveillance . in the first 90 days , iraq would earn about 650 million because of additional costs it would have to pay toward readying an oil pipeline . afterward , iraq would expect to receive about 680 million in a 90 day period . of that money , baghdad would be required by the resolution to set aside 150 million for kurdish areas in northern iraq . in line with yesterday 's attempt to make a rejection of the new plan appear to be by popular demand , president hussein 's eldest_son , udai , interviewed iraqi citizens on a government youth radio_station . all of those interviewed said that the resolution should be rejected . the iraqi government has had the help of france and russia and some sympathy from other nations on the security_council in its efforts to bring about easing of the embargo on exports and imports . but it risks losing much of its international support if it refuses to consider the new united_nations plan . madeleine k . albright , the chief united_states delegate to the united_nations and the target of repeated attacks from the iraqis , has maintained that iraq has been insincere in complaining about the sufffering of ordinary iraqis while government leaders build palatial homes and generally go on living well . the united_states has come in for considerable criticism at the united_nations for appearing to be too inflexible with iraq , demanding a show of good faith from president hussein before being willing to ease any sanctions . france and russia , among other nations , say that repeatedly moving the finish line on subjective criteria for easing the sanctions undermines the credibility of the united_nations in imposing sanctions . some diplomats contend that if the united_states' position is accepted , other nations that run afoul of the security_council will no longer believe that abiding by security_council requirements laid down in resolutions will be enough to lift sanctions after a period of punishment .

the police offered a_4 , 600 reward for clues in the shooting of an american soldier who was wounded after he pulled his car off the road to clean ice from the windshield . the soldier , from the first infantry division , was in civilian clothes on his way to the barracks in schweinfurt , 60 miles east of frankfurt , when he was shot in the left hand and leg . victor_homola ( nyt ) correction february 7 , 2003 , friday a report in the world briefing column on wednesday about a reward offered by the german police for information on the shooting of an american soldier misstated the amount . it is about 5 , 400 , not 4 , 600 .

mamoru imuta speaks with all the enthusiasm of a kid in a candy store . a senior manager in the aerospace engineering department of kawasaki heavy industries , mr . imuta loves showing off his division 's factories here in this city , an hour south of nagoya . in one long room is the polished aluminum fuselage of a boeing_767 . in another are the wing flaps for embraer jets . and in a third are winglets , the curved tips of the wing that stabilize planes . japanese companies produce many crucial parts for the world 's aircraft assemblers , including boeing and airbus . and kawasaki heavy industries is one of the biggest players in japan 's aerospace industry . though japan 's aviation industry is just one twelfth the size of america 's , japanese production of airplane frames , engines and related parts grew 23 percent from 1990 to 2002 , to about 1 trillion_yen ( 9 . 1 billion ) . japan 's defense agency typically buys more than half the output . but thanks to the race to build commercial planes that fly farther and cheaper , japan 's role in the civil aircraft industry is likely to grow . japanese companies like kawasaki heavy produce an array of composite_materials that reduce a plane 's weight and require almost no repairs . this allows assemblers to increase their planes' fuel efficiency and drive down costs . ''we thought this is a technology that cannot be emulated by others , '' mr . imuta said , standing beside a winglet in his gray factory smock . ''the aerospace industry requires special talent , and this technology can also be used in other products , like trains . '' expertise in this and other areas is one reason japanese manufacturers are expected to build a record 35 percent of the structure of boeing 's recently proposed 7e7 . boeing says the plane will burn 20 percent less fuel than similar planes already flying , like the 767 , partly because about half of its structure will be made with composite_materials instead of the traditional , heavier aluminum . the project could give japan 's aerospace manufacturers and perhaps boeing a much needed lift . kawasaki heavy and rival japanese companies , like sumitomo_metal_industries and bridgestone , also sell to airbus and other aircraft assemblers , but boeing buys the bulk of japan 's aircraft production . japan_airlines and all nippon airways are some of boeing 's best customers , and though boeing said there was no link , analysts said it was natural for japanese airlines to buy planes japanese companies help build . ''it 's na_ve not to understand that significant japanese content in products is beneficial when salesmen go calling on the japanese airlines , '' said lance gatling , an aerospace consultant in tokyo . ''the 7e7 takes it up another notch . '' many conglomerates are heavily_indebted and hard pressed to finance huge projects like new aircraft development . yet few feel they can abandon the often financially risky aerospace work . contracts from an assembler like boeing can employ hundreds of workers for several years , lead to contracts for replacement parts and services , and keep companies in the forefront in crucial technological areas . ''all countries want to have an aerospace industry , but it is very difficult to make it viable as a business , '' said sei hagiwara , a senior manager at the japan aircraft development corporation , an industry group that mediates between the government and airplane assemblers . eager to preserve jobs and flex its political muscle overseas , japan 's politicians , as in many countries , play a crucial role in steering and subsidizing the domestic aircraft manufacturers . ''it 's almost a pride thing , '' said peter harbison , an analyst at the center for asia_pacific aviation in sydney , australia . ''they can be justly proud to say they 've gotten into that position through the long , long process of getting the skills . '' oddly , however , japanese companies have had little success over the years building commercial jets . though japan makes some of the world 's best cars and electronics as well as jet parts , stiff competition , huge costs and technological hurdles have scuttled several attempts during the postwar era . the most notable attempt to compete in commercial_aviation began in the 1950 's , when the postwar ban on japan 's building of aircraft was lifted . the government backed the building of the ys 11 , a propeller plane that seated up to 67 passengers and that was unveiled in 1964 , but japanese companies lacked the marketing prowess overseas to turn the sturdy plane into a financial success . as later efforts to develop commercial jets flopped , japanese companies with government assistance focused more on supplying other builders . from 1978 to 1983 , the government covered about half the costs of developing parts built by japanese companies for the boeing_767 . in the 1990 's , japanese companies spent 104 . 5 billion_yen ( 942 million ) to develop parts for the boeing 777 , with a 60 billion_yen loan from the government . some of the money was sunk into developing composite_materials that make up about 10 percent of the frame of the 777 . the lighter , stronger material is also in the boeing_737 and 767 , and in rival jets . the rock hard , lightweight material is made from thousands of carbon fibers that are woven into strands and then weaved together into a mesh less than one fifth of millimeter thick . twelve or 24 layers of mesh are then cemented together with resins . the resulting material is 40 percent lighter than aluminum . it is also four to five times stronger than aluminum and does not corrode , so it needs fewer repairs . despite its advantages , it is costly , and it is difficult to mold and press . though kawasaki heavy has cut its prices about 80 percent , to 9 , 400 yen ( 85 ) a kilogram , the material is still more expensive than aluminum . but boeing and others are buying . jim morris , senior vice_president for supplier management at boeing commercial airplanes , said his company was convinced that composite_materials were cheaper over the life of the plane . helping develop a lighter fuselage is only one way japanese contribute to the airline_industry . the matsushita avionics systems corporation , based in bothell , wash . , is the world 's leading supplier of in flight entertainment systems . the company , a division of the matsushita electric industrial company , the world 's biggest electronics company , makes audio and video players that are connected by networks on most large passenger_jets . another japanese company , the jamco corporation makes about half the toilets and metal food carts used in commercial jets , along with other aircraft components . the japanese have not given up their dream of building an entire commercial jet , though they have scaled down their expectations . a government backed study of small passenger_plane development by japanese companies is in the works . they will face competition not just from assemblers like bombardier of canada but also from japan 's two biggest automakers . in february , honda motor and general_electric formed an alliance to produce engines for light business jets that honda plans to make . last year , toyota tested a single engine , four seat aircraft that included a lightweight composite carbon_fiber shell . these projects are still at least a few years from being commercially_viable . meantime , japanese companies seem to be taking considerable solace from their growing role behind the scenes building planes for other companies .

the kurdish security official sat at his desk , handling letters from his informants . each contained a tip that might change the future of iraq . or maybe he was being played for a dope . he held a sheet of paper aloft . ''this one says the iraqis built a mosque in tuz khormatu , but under the ground is a hollow place , '' he said . ''the mosque has no guards , people go there and pray , but underneath them chemical_weapons are stored . '' he picked up another . ''this one is about a shoe and plastics factory in baghdad where all of the workers were removed before the weapons inspectors returned , and new workers replaced them , '' he said . ''it is in a neighborhood called hay jameela . it is very strange . '' while united_nations inspectors search iraq for prohibited weapons , a parallel operation is taking place in kurdish controlled northern iraq . kurdish officials here are evaluating a stream of tips about where saddam_hussein 's chemical_weapons and illegal missiles are said to be hidden , and pondering how to handle them . throughout the region there is a lively internal debate about whether the tips are authentic or part of a deliberate counterintelligence campaign by mr . hussein 's security services . kurds wonder if they have uncovered definitive evidence against the iraqi government , or become ensnared in a circular game of spy versus spy . ''one way that saddam has always worked is that he has sent information into an area through his agents , and it is the wrong information , '' said a security official in erbil . ''believe me , the information we have received about all of the places he has hidden weapons is enough for the whole world to be busy searching . he leaks this information . '' back in sulaimaniya , the official with the hand scrawled tips said he believed them , because they were delivered by informants who had been reliable in the past . ''i am not new at this business , '' he said . ''i know whom i work with . '' dr . barham_salih , prime_minister of the eastern zone of northern iraq , leaves open the possibility that both views are right . ''we know that the iraqi government has chemical_weapons and is involved in a very elaborate concealment effort , '' he said . ''and we know that saddam_hussein is capable of such decoy operations and misinformation campaigns . '' whether true of false , the tips have a receptive audience . fear of chemical attack is part of the kurdish psyche . these are people who mr . hussein 's forces attacked in the 1980 's with nerve and mustard_gas . kurds are certain the iraqi leader retains prohibited weapons , and that he intends to use them again . the leaks carry great emotional power . but emotional power and intelligence value are not the same thing , and officials say they worry about the damage planted information might cause , including damage to their own credibility , since some of the tips that kurdish officials deem reliable have been shared with american intelligence teams working in northern iraq . ''saddam wants us to leak his misinformation to the u.n. , so the u.n . will go there once , twice , three times , and waste their time , and lose respect for the credibility of the kurds , '' the official in erbil said . kurds also worry that the meager intelligence means at their disposal means they cannot fully evaluate or corroborate the material at hand . they claim to have networks of informants , but acknowledge that this ''human_intelligence , '' as it is called , has limits . ''kurdish intelligence is not that clever or smart to determine if these are lies or true things , '' faraidoon abdulkader , interior_minister in the kurdish eastern zone . all the while , leaks keep surfacing , coming through informants , circulating in villages along the border between northern and southern iraq , and being passed to journalists . karim agha , chief of the hammond tribe , whose people straddle the border region at nearby chamchamal , said that earlier this fall a smuggler who often passes through the lines saw iraqi soldiers with heavy equipment digging holes at night in remote gullies , and burying metal containers . mr . abdulkader said that two weeks ago he received two separate tips of people burying materials at night under a military guard , and has been given descriptions of four trucks that are thought to be mobile biological labs . the official with the reports on his desk said that the sheer volume of the tips , and the debate about what to do with them , meant that information was allowed to go stale . he said his informant on the storage site at tuz khormatu complained . ''he asked me , 'why are you not coming to this mosque ? ' we give you this information , why are you not coming here ? ' '' the tension and frustration is high enough in the region that at least one tipster has approached outsiders , although he seemed motivated more by opportunism than public service . an unshaven man in a suit visited an abc_news producer in his hotel room here in late november , seeking 50 , 000 to arrange the smuggling of what he called suspicious bottles out of a weapons factory in baghdad . the man said the region was overrun with spies , and that he did not want to notify the kurdish government because he might be interrogated . he also hinted at fears that he might be killed by the iraqis . the producer , kevin mckiernan , declined the offer and notified his office . he wrote in his journal that the visitor ' 'seemed angry when i told him that news reporters do n't buy materials . '' the surge of tips has a familiar past . another kurdish official , who worked as a liaison to the united_states military during its relief operation in northern iraq in the early 1990 's , said he helped sort and assemble reports for american officials in dohuk and erbil . each report was filled with detailed tips about illegal activities in mr . hussein 's iraq . the official said the volume was enormous , and reading through them was often a frustrating chore . ''i assumed that 10 or 20 percent were correct , '' he said . ''the rest i just crossed out , or wrote a note on the papers we gave them 'from an unreliable source' . '' iraqi exile offers information ( by the new york times ) , tehran , dec . 28 an iraqi opposition_leader based here in iran said today that his group had evidence that iraq possessed weapons_of_mass_destruction and offered to share the information with the united_nations if the world organization established ties with it . ''we have information about the modernization of weapons_of_mass_destruction by the iraqi regime and we have detailed information about some of the sites , as well as some of the ways in which the iraqi regime tries to hide them , '' said abdelaziz al_hakim , a representative of a shiite opposition group . threats and responses northern iraq.

white_house officials reasserted yesterday that 380 tons of powerful explosives may have disappeared from a vast iraqi military complex while saddam_hussein controlled iraq , saying a brigade of american_soldiers did not find the explosives when they visited the complex on april 10 , 2003 , the day after baghdad fell . but the unit 's commander said in an interview yesterday that his troops had not searched the site and had merely stopped there overnight . the commander , col . joseph anderson , of the second brigade of the army 's 101st_airborne_division , said he did not learn until this week that the site , al_qaqaa , was considered sensitive , or that international inspectors had visited it before the war began in 2003 to inspect explosives that they had tagged during a decade of monitoring . colonel anderson , who is now the chief of staff for the division and who spoke by telephone from fort_campbell , ky . , said his troops had been driving north toward baghdad and had paused at al_qaqaa to make plans for their next push . ''we happened to stumble on it , '' he said . ''i did n't know what the place was supposed to be . we did not get involved in any of the bunkers . it was not our mission . it was not our focus . we were just stopping there on our way to baghdad . the plan was to leave that very same day . the plan was not to go in there and start searching . it looked like all the other ammunition supply points we had seen already . '' what had been , for the colonel and his troops , an unremarkable moment during the sweep to baghdad took on new significance this week , after the new york times , working with the cbs_news program ''60 minutes , '' reported that the explosives at al_qaqaa , mainly hmx and rdx , had disappeared since the invasion . earlier this month , officials of the interim iraqi government informed the united_nations international_atomic_energy_agency that the explosives disappeared sometime after the fall of mr . hussein on april 9 , 2003 . al_qaqaa , which has been unguarded since the american invasion , was looted in the spring of 2003 , and looters were seen there as recently as sunday . president_bush 's aides told reporters that because the soldiers had found no trace of the missing explosives on april 10 , they could have been removed before the invasion . they based their assertions on a report broadcast by nbc_news on monday_night that showed video images of the 101st arriving at al_qaqaa . by yesterday afternoon mr . bush 's aides had moderated their view , saying it was a ' 'mystery'' when the explosives disappeared and that mr . bush did not want to comment on the matter until the facts were known . on sunday , administration officials said that the iraq_survey_group , the c.i.a . taskforce that hunted for unconventional_weapons , had been ordered to look into the disappearance of the explosives . on tuesday night , cbs_news reported that charles a . duelfer , the head of the taskforce , denied receiving such an order . at the pentagon , a senior official , who asked not to be identified , acknowledged that the timing of the disappearance remained uncertain . ''the bottom line is that there is still a lot that is not known , '' the official said . the official suggested that the material could have vanished while mr . hussein was still in power , sometime between mid march , when the international inspectors left , and april 3 , when members of the army 's third infantry division fought with iraqis inside al_qaqaa . at the time , it was reported that those soldiers found a white powder that was tentatively identified as explosives . the site was left unguarded , the official said . the 101st_airborne_division arrived april 10 and left the next day . the next recorded visit by americans came on may 27 , when task_force 75 inspected al_qaqaa , but did not find the large quantities of explosives that had been seen in mid march by the international inspectors . by then , al_qaqaa had plainly been looted . colonel anderson said he did not see any obvious signs of damage when he arrived on april 10 , but that his focus was strictly on finding a secure place to collect his troops , who were driving and flying north from karbala . ''there was no sign of looting here , '' colonel anderson said . ''looting was going on in baghdad , and we were rushing on to baghdad . we were marshaling in . '' a few days earlier , some soldiers from the division thought they had discovered a cache of chemical_weapons that turned out to be pesticides . several of them came down with rashes , and they had to go through a decontamination procedure . colonel anderson said he wanted to avoid a repeat of those problems , and because he had already seen stockpiles of weapons in two dozen places , did not care to poke through the stores at al_qaqaa . ''i had given instructions , 'do n't mess around with those . it looks like they are bunkers we 're not messing around with those things . that 's not what we 're here for , ''' he said . ''i thought we would be there for a few hours and move on . we ended up staying overnight . '' the 2004 campaign missing explosives.

the shipbuilder bae systems said it would eliminate 1 , 045 jobs at four british shipyards , to help cut costs as it faced a lull in orders . bae said the job cuts would take place over an unspecified period of time as it negotiated with trade_union representatives . bae is competing for a 3 billion ( 4 . 83 billion ) contract to build two royal_navy aircraft_carriers , but construction on those ships would be unlikely to start until 2006 . its shares fell 3.6 percent . suzanne_kapner ( nyt )

canada 's largest nickel producer , inco ltd . , locked out 1 , 060 workers at its mine in thompson , manitoba , after 86 percent of the members of the steelworkers local rejected its offer on a new three year contract . mining and smelting operations at thompson , which account for 23 percent of inco 's total nickel production and about 4.5 percent of world supplies , will be completely shut down by sunday . the price of nickel has reached two year highs in expectation of a thompson mine shutdown , to more than 3 . 25 a pound . timothy_pritchard_world_business_briefing_americas.

lead an article on wednesday about president_reagan 's appearance before a student audience in moscow incompletely reported proposals by mikhail s . gorbachev to limit the terms of soviet officials . his plan provides for a limit of two five year terms , with the possibility of a third term by vote of three fourths of the communist_party central_committee . an article on wednesday about president_reagan 's appearance before a student audience in moscow incompletely reported proposals by mikhail s . gorbachev to limit the terms of soviet officials . his plan provides for a limit of two five year terms , with the possibility of a third term by vote of three fourths of the communist_party central_committee .

the clinton_administration today denounced a major element of the house republicans' welfare bill , which would replace most federal food and nutrition programs with cash grants to be administered by the states . the administration said the republican_proposal would cut at least 5 . 2 billion almost 13 percent from the 40 . 8 billion that would otherwise be spent on food assistance next year . in a report analyzing the bill , the agriculture department said today that the republican_proposal also would eliminate " all uniform nutrition standards " now set by the federal_government for school lunches , the supplemental nutrition program for women , infants and children , and other food programs . the programs were developed in response to evidence of malnutrition documented by the government over the last half century and many studies suggest that they have improved the diets and nutritional status of low income people , the report says . the welfare changes are in the proposed personal responsibility act , one of 10 bills introduced by house republicans as part of their " contract with america . " the bill authorizes a lump_sum payment of 35 . 6 billion from the government to the states for food assistance next year . people who now qualify for federal programs would not necessarily be entitled to assistance under the state programs . the agriculture department said 42 states would lose money under the proposed republican formula for distributing the food assistance money and eight states california , colorado , idaho , montana , nevada , new hampshire , utah and wyoming would gain . but the report says , " there is no guarantee that congress would appropriate the full amount authorized in any given year . " senator patrick j . leahy of vermont , the ranking democrat on the committee on agriculture , nutrition and forestry , said , for example , that congress might appropriate less than the maximum of 35 . 6 billion next year and could substantially reduce the appropriation in later years , under pressure to eliminate the federal budget_deficit . " i am afraid that the republicans will vote for the rhetoric but not the reality , " mr . leahy said . " they will want the symbolism of the 'contract with america , ' but will not live up to their part of the bargain by voting for the full appropriation . " the republicans say that states will be able to reduce administrative costs far below current federal levels . under the republican_proposal , the maximum lump_sum grant to the states would be adjusted for changes in population and food prices but not for increases in the proportion of residents who were unemployed or poor . in that case , the agriculture department said that " food assistance programs would be unable to respond to changing economic circumstances . " historically , the report said , " the food_stamp and child nutrition programs have automatically expanded to meet increased need when the economy is in recession . " but the report said the republican_proposal would burden states with demands for assistance " at precisely the time when state economies are in recession and tax bases are shrinking . " republicans who support the proposal say congress could simply appropriate more money for food assistance in a recession or other emergency . in its report , the agriculture department says the republican bill " could lead to the termination of benefits for six million food_stamp recipients " if states tightened eligibility to accommodate the proposed reduction in federal spending . the food_stamp program serves more than 27 million people a month . average monthly benefits were 69 a person last year . congress appropriated 27 . 7 billion for the program this year . the administration asserted that the republican_proposal , by cutting the amount spent on food aid , " would lower retail food sales , reduce farm income and increase unemployment , " especially in rural areas . the agriculture department said that the proposal would allow states to provide assistance in cash , rather than as food_stamp coupons or as scrip earmarked for food products rich in nutrients like calcium , iron and vitamins a and c . " under the proposed block grant , " it said , " states could immediately cash out any and all food assistance programs , " in spite of evidence that noncash benefits like food_stamps are more effective in stimulating the purchase of food .

japan 's gross_domestic_product in the july september period fell more than a third as capital spending grew less than first announced , according to a government report . japan 's economy grew at an annualized rate of 1.4 percent in the period compared with the previous three months , rather than the 2.2 percent growth announced in mid november , the report said . the revision resulted mostly from a smaller increase in corporate capital investment and a larger decline in public works spending . the government also reduced its growth estimates for three of the last four quarters . ken_belson ( nyt )

the man who stabbed monica_seles is likely to go on trial again but no date for the proceedings has been set , judicial sources in hamburg , germany , said yesterday . gunter parche , an unemployed lathe operator from eastern_germany , was given a two year suspended_sentence in october for stabbing seles in the back during a tournament in april . the former no . 1 female tennis_player in the world has not played since . parche spent six months in jail before the verdict . the state prosecutor appealed the mild sentence immediately after the verdict . " a second trial will come , of course , " said the prosecutor , rudiger bagger . " the only way there would be no new trial is if we dropped the appeal . and we do n't plan to do that . " he said no new date for the trial had been set . ( ap ) sports people tennis.

lead more than three months after they were separated in a dramatic , 22 hour long operation , two siamese twins from ulm , west_germany , remain in stable condition in their private room at the children 's center of the johns_hopkins medical institutions in baltimore . more than three months after they were separated in a dramatic , 22 hour long operation , two siamese twins from ulm , west_germany , remain in stable condition in their private room at the children 's center of the johns_hopkins medical institutions in baltimore . a spokeswoman for the center says doctors remain pleased with the progress made by the two babies , patrick and benjamin binder , who were born joined at the head , with a major cerebral blood_vessel . the twins are out of their coma and responsive to sound and light . but questions remain about their vision . ''the boys do see light , but doctors are unable to determine their visual acuity or how much vision the children will recover , '' the spokeswoman says . the two boys , who were born on feb . 2 , were separated in a 22 hour long operation on the weekend of sept . 5 , 6 and 7 . the 70 member operating team was one of the largest assembled in the hospital 's 98 year history . the operation was considered the first time that hypothermia , the deliberate lowering of body temperature , was coupled with circulatory bypass techniques and the deliberate stoppage of heart function to spare brain tissue during surgery . because of this , physicians expect both twins to retain normal brain function . the two boys still face more surgery to insert metal plates that will cover the open area of their skulls that was left by the separation procedure . but doctors have not decided when that surgery will take place . ''we estimate that they will be leaving here within a few weeks to go back to germany , '' the spokeswoman says , ''and then they will return for the metal plate surgery . '' follow up on the news.

the carlyle group , the united_states private_equity_firm , said it agreed to pay 375 million in cash to acquire majority control of the xugong group construction machinery company , china 's largest construction equipment maker . the agreement would be one of the biggest private_equity deals ever in china and also the first time a foreign company had engaged in a direct buyout of a large , state owned chinese company . carlyle said it had agreed to acquire 85 percent of xugong from its parent company , which is owned by the city of xuzhou in the coastal jiangsu_province . xugong , which had sales of about 800 million in 2004 , makes hydraulic cranes and earth moving and road building equipment . david barboza ( nyt )

following are excerpts from a news conference at the pentagon yesterday by victoria clarke , the pentagon spokeswoman , and maj . gen . stanley mcchrystal , vice director of operations of the joint_chiefs_of_staff , as recorded by the federal document clearing house inc . a full transcript is online at nytimes . com iraq . ms . clarke the coalition continues to make good progress toward ending the iraqi regime , freeing the iraqi people and disarming the country of weapons_of_mass_destruction . as secretary rumsfeld and others reminded us yesterday , coalition troops are within 50 miles of the iraqi capital we are approaching baghdad from the north , the south and the west we have taken iraq 's only port and control its coastline the oil wells in the south are being secured for the iraqi people and we recently hit a large terrorist facility in northern iraq . the bombing continues to weaken the command and control leadership . since the coalition bombed saddam 's headquarters at the very beginning of the war , the world has neither seen his hide nor hair , only tapes . we 've not seen his sons . we have seen evidence that family members are fleeing the country , or trying to flee the country . we continue to put about 2 , 000 troops a day into the country . one thing that is very clear is the end of the iraqi regime . it 's also important to note what has n't happened in the first 10 or 12 days , some of the things that were predicted or feared but have n't happened so far . unlike the gulf_war , no iraqi scud missiles have been fired into israel . unlike the gulf_war , the oil fields have not been turned into a huge bonfire , wreaking enormous economic and environmental damage . there has been thus far no humanitarian_crisis or mass exodus of refugees . there has , as yet , been no iraqi use of weapons_of_mass_destruction . of course , bad things may still occur . some of the toughest fighting , as we have indicated , may well lie_ahead . general mcchrystal more than 300 , 000 forces are deployed in support of combat operations with more than a third of those inside iraq . our ground operations are continuing to engage enemy positions throughout iraq . we 've seized additional key bridges over the euphrates_river , and conducted offensive operations to isolate samarra and nasiriya in order to destroy irregular forces in those areas . we flew about 1 , 000 sorties over iraq yesterday , mostly against the medina , hammurabi , baghdad and al nida divisions . we also hit the command , control and communications targets and air defense sites in baghdad and in northern iraq . our forces have fired more than 700 tomahawk land attack missiles and dropped more than 8 , 000 precision guided munitions since operation_iraqi_freedom began . questions and answers q . you said you 'd seen evidence of family members fleeing the country and trying to flee the country saddam 's family members . what kind of evidence do you see now that family members are fleeing the country ? ms . clarke we have seen some reports recently and i 'll just leave it at that that some family members , including family members of very senior officials , are trying to get out of the country . q . there are reports from the front that they found some kind of a torture chamber near this hospital that was used by iraqi forces . do you have any information that the iraqis have used torture on coalition prisoners ? ms . clarke i do n't have any information on what you just said , but there are reams and reams and reams of information about what the iraqi regime has done for decades . i mean , it is policy , it is practice , there 's bureaucracy behind it , civilians and military alike , what they do . . . . q . are the b_52 's dropping dumb bombs in what we used to call carpet bombing on the republican guard troops ? general mcchrystal sir , they are not . they are dropping a combination of munitions , a large number of precision munitions . so there 's really not carpet bombing occurring . q . can you say how much these republican guard divisions have been degraded ? and are you still seeing a problem with them moving their armor and so forth into civilian areas ? general mcchrystal we are seeing significant degradation of those forces . i wo n't put an exact number on it , but i 'll say very significant weakening of the forces . we are seeing some movement in republican guard formations as well . we are seeing movement around the battlefield . what we think we 're seeing them do is move to reinforce other forces that have already been significantly degraded or attrited at this point . so we think they 're trying to strengthen where they were . q . and they 're putting their armor in civilian areas . does that continue to be a problem with taking that armor out ? general mcchrystal well , we continue to see them put it next to houses , all kinds of structures . so it 's still targetable , but it 's more difficult . q . is there an effort to try to stop the units that are up on that front line from retreating back into baghdad ? general mcchrystal sir , there are maneuvers going to try to destroy those divisions that stand in our way . q . is there any reason it 's taking so long to take down basra ? ms . clarke it 's too soon to characterize which way it 's going . we know where it will go eventually , but it could take some time . we know that is a place where some of the worst of the worst of the iraqi regime were slaughtering people , putting civilians in front of the fighting , those sorts of things . q . general mcchrystal , could you talk a little bit about the planned follow on force that 's now moving to the region . general mcchrystal as you know , the plan was set up , or it was developed initially , to start with a force with a flow that then could be shut off if not required . we had the follow on forces that are now some in movement , some in preparation for movement all under orders for movement that can be shut off if not required . and the way it was designed was , if opportunity struck and conflict was not required or if very early success was achieved , in fact , the number of forces flowed could be adjusted . the others that come in , all come in with their full combat capability and can support the actions required . q . so what will they be doing now , broadly speaking , this 100 , 000 or so , the mission that they will be fulfilling once they get there ? . . . general mcchrystal it will be exactly based upon what 's required on the ground . if in fact they 're required to maneuver and be part of that combat fight , that 's what they 'll do , and they are prepared for that . q . general , for the record , have any of coalition_forces to date located any chemical_weapons or biological_weapons in iraq ? if not , more broadly , do you think you have an idea of where they are ? and how concerned are you that some of our air attacks , coalition air attacks , might hit a storage place or chemical_weapons and release a toxic plume ? general mcchrystal we have not located any chemical or biological_weapons to date . we still believe very strongly that the regime has the capability and potentially the intent to employ those weapons . we are targeting in a number of ways , through information operations , through attacking launchers or capabilities , the different ways they could deliver those munitions to try again to prevent their use . we are very carefully targeting suspected or potential storage sites for just the reasons you outlined , so that we do n't get an unintended_effect by targeting something kinetically . so we have some other methods we can do that . but i 'd remind you that when chemical and biological_weapons are used , in fact , once they 're disseminated they can be put in fairly small , difficult to predict areas . they can be delivered by everything from a garbage truck to a car_bomb , as well as , of course , conventional artillery . so we have got to maintain our own posture and preparation for that . q . general , you showed that video of a bomb hitting a bunker near h 2 , and that 's one of the few times that i 've seen much information at all come out about what 's happening in western iraq . could you describe what 's going on out there ? general mcchrystal sir , we have a combination of special_operations forces operating in western iraq supported by air , supported by information operations . they are doing what probably could be termed an area denial mission . they are able to move almost at will wherever they want . they have been cutting some lines of communication , they 've been raiding some facilities , they 've been going to some suspected weapons_of_mass_destruction locations . we 've had a series of direct_action raids , as well as interdiction . so we think what we 've done is in addition to doing some counter scud work out there , and denial we think that we have denied the regime the ability to operate effectively at all in western iraq . a nation at war for the record from the pentagon.

hostages a militant group beheaded a bulgarian hostage and threatened to execute a second . an egyptian 's captors said they would kill him unless his company pulled out of iraq . the philippine government said it had begun withdrawing its troops early in order to meet the demands of a filipino truck driver 's kidnappers . page_a14 security the baghdad police detained more than 500 suspects in a crackdown on crime . foreign_minister hoshiyar zebari called on nato to begin a promised training program for iraqi_security_forces . a14 intelligence prime_minister tony_blair of britain received an advance copy of a inquiry 's report on intelligence used to justify the war . in washington , senate democrats characterized a document prepared for president_bush in 2002 as missing evidence of what agencies told him of iraq 's illicit_weapons . a14 , 15 the reach of war.

raquel terrero has lived in the same apartment in marble hill for 30 years . her fourth floor walk up costs 579 . 98 a month . she says that in the last three months , her landlord has taken her to court seven times . ''i get very ill when i have to dealwith the landlord , '' she says . she has asthma , high_blood_pressure and heart_disease . ms . terrero sews in her bedroom , behind the flowered curtains that she made . and she dreams . ''i want to have a home to plant flowers . '' lens.

yen falls . the yen sank in response to a report that confirmed a recession in japan and on concern that japan will take steps to weaken its currency . in new york , the dollar settled at 125 . 62 yen , up from 124 . 75 on thursday .

lead amadou mahtar m'bow , whose 13 years as director general of unesco have split the organization , announced tonight that he wanted to withdraw from his race for re election . amadou mahtar m'bow , whose 13 years as director general of unesco have split the organization , announced tonight that he wanted to withdraw from his race for re election . western and soviet_bloc diplomats said this would likely mean that federico mayor zaragoza , a former spanish education minister , would become unesco 's next director general . in a letter to unesco 's executive board , mr . m'bow , of senegal , said he had asked the organization of african unity , which had sponsored his candidacy , to withdraw his name . two and a half hours later , the executive board received a letter from senegal 's president requesting that mr . m'bow 's candidacy be withdrawn . in washington , a state_department spokesman said the department had no comment either on mr . m'bow 's plan to withdraw or on his tenure at unesco . the spokesman , benjamin justesen , also declined to say whether the american position toward the organization might be reconsidered in light of mr . m'bow 's action . ''we are not currently members of unesco , '' he said , ''and i will not speculate on what we might do in the future . '' although several unesco delegates at first thought mr . m'bow 's withdrawal might be part of a strategy to rally african support , others said the two letters together made clear that mr . m'bow 's candidacy was dead . his withdrawal would end the tenure of one of the most controversial , tough minded leaders of any international organization . during the administration of the 66 year old director general , the first african to head a major international agency , the united_states and britain quit unesco , asserting inefficiency in the agency 's operations and ideological squabbling . several diplomats said mr . m'bow 's departure could open the way for the two countries to rejoin . clear support for rival over the last few days , several african and soviet_bloc delegates had urged mr . m'bow to withdraw gracefully in order to reduce the contentiousness within unesco , the united_nations educational , scientific and cultural organization . several delegates said mr . m'bow decided to request that his name be withdrawn only after it became clear that a majority of the 50 member executive board supported mr . mayor , 53 years old . mr . mayor , is a native of barcelona and a biochemistry professor . a member of the european_parliament , he was unesco 's deputy director general under mr . m'bow from 1978 to 1981 . on the executive board 's fourth ballot , taken on wednesday , mr . m'bow received 21 votes and mr . mayor 19 for the 170 , 000 a year job , which has a term of six years . mr . m'bow was backed principally by arab and african nations . mr . mayor had the official support of japan and most european and latin_american nations and the unofficial backing of the united_states and britain . many delegates predicted that in the fifth ballot , scheduled for tonight , mr . mayor would pick up most of the 10 votes that had gone to three other minor candidates . by unesco rules , the fifth ballot is limited to the top two candidates in the fourth round of voting . at midnight , board members were still arguing over procedure and had still not cast the fifth ballot . the united_states and britain have long said that even if mr . m'bow is succeeded by someone more to their liking , they would not automatically rejoin unesco . funds eroded the united_states quit unesco in 1984 and britain left the next year . their withdrawals , combined , slashed unesco 's funding about 30 percent . american and british officials have said they would only rejoin the organization if there were substantial changes in unesco 's programs and structure . among other things , they contend that the countries that contribute more of unesco 's budget should have more of a say in shaping the organization 's activities . in addition , west_germany , canada , switzerland , denmark , japan and the netherlands have threatened to resign if substantial changes were not brought about within the organization . their withdrawals would reduce the organization 's 159 million annual funding another 30 percent . mr . mayor has pledged to restructure unesco in an effort to woo back the countries that quit the organization . in his withdrawal letter , mr . m'bow protested that some member nations had ''perverted the democratic process'' by threatening to quit or not pay their annual contributions . speculation on new candidacy several western delegates interpreted mr . m'bow 's letter as intended to protest the executive board 's nomination process , perhaps in the hope of overturning its recommendation when unesco 's 158 nation general conference , its highest body , meets in early november . as the executive board meeting continued late saturday night , several delegates said they expected mr . mayor to win enough support within the board so that he would have little problem obtaining the general conference 's backing . however , many delegates did not rule out the possibility that despite his withdrawal letter , mr . m'bow might seek somehow to revive his candidacy . they remember mr . m'bow 's statement last year that he would not stand for re election if his candidacy were to prove divisive a statement that led many to believe he would not run for an unprecedented third term . thus , mr . m'bow surprised many unesco observers when he became a candidate last month .

tens of thousands of protesters loyal to moktada_al_sadr , the shiite_cleric , took to the streets of the holy_city of najaf on monday in an extraordinarily disciplined rally to demand an end to the american military presence in iraq , burning american flags and chanting ''death to america ! '' residents said that the angry , boisterous demonstration was the largest in najaf , the heart of shiite religious power , since the american led invasion in 2003 . it took place on the fourth anniversary of the fall of baghdad , and it was an obvious effort by mr . sadr to show the extent of his influence here in iraq , even though he did not appear at the rally . mr . sadr went underground after the american military began a new security push in baghdad on feb . 14 , and his whereabouts are unknown . mr . sadr used the protest to try to reassert his image as a nationalist rebel who appeals to both anti american shiites and sunni arabs . he established that reputation in 2004 , when he publicly supported sunni insurgents in falluja who were battling united_states_marines , and quickly gained popularity among sunnis across iraq and the region . but his nationalist credentials have been tarnished in the last year , as sunni arabs have accused mr . sadr 's militia , the mahdi army , of torturing and killing sunnis . iraqi policemen and soldiers lined the path taken by the protesters , and there were no reports of violence during the day . the american military handed security oversight of the city and province of najaf to the iraqi government in december , and the calm atmosphere showed that the iraqi_security_forces could maintain control , keeping suicide bombers away from an obvious target . in march , when millions of shiite_pilgrims flocked to the holy cities of the south , iraqi_security_forces in provinces adjoining najaf failed to stop bombers from killing scores of them . vehicles were not allowed near monday 's march , and baghdad had a daylong ban on traffic to prevent outbreaks of violence . during the protest in najaf , sadr followers draped themselves in iraqi flags and waved them to symbolize national unity , and a small number of conservative sunni arabs took part in the march . ''we have 30 people who came , '' said ayad abdul wahab , an agriculture professor in basra and an official in the iraqi_islamic_party , a leading fundamentalist sunni arab group . ''we support moktada in this demonstration , and we stress our rejection of foreign occupation . '' he and his friends together carried a 30 foot long iraqi flag . in the four years of war , the only other person who has been able to call for protests of this scale has been grand_ayatollah_ali_al_sistani , iraq 's most powerful shiite_cleric , who , like mr . sadr , has a home in najaf . the protest was in some ways another challenge to the shiite clerical hierarchy , showing that in the new iraq , a violent young upstart like mr . sadr can command the masses right in the backyard of venerable clerics like ayatollah sistani . mr . sadr has increasingly tapped into a powerful desire among shiites to stand up forcefully to both the american presence and militant sunnis , and to ignore calls for moderation from older clerics . lt . col . christopher_garver , an american military spokesman in baghdad , said that american officers had helped officials in najaf plan security for the event , but that the iraqis had taken the lead . colonel garver and other american officials tried to put the best possible light on the event , despite the fiery words . ''we say that we 're here to support democracy , '' he said . ''we say that free_speech and freedom of assembly are part of that . while we do n't necessarily agree with the message , we agree with their right to say it . '' the protest unfolded as heavy fighting continued in parts of diwaniya , a southern city where american and iraqi forces have been battling cells of the mahdi army since friday . mr . sadr issued a statement on sunday calling for the mahdi militiamen and the iraqi forces there to stop fighting each other , but those words went unheeded . gun_battles broke out on monday , and an american officer said at a news conference that at least one american soldier had been killed and one wounded in four days of clashes . that fighting and the protest in najaf , as well as mr . sadr 's mysterious absence , raise questions about how much control he actually maintains over his militia . mr . sadr is obviously still able to order huge numbers of people into the streets , but there has been talk that branches of his militia have split off and now operate independently . in baghdad , some mahdi army cells have refrained in the last two months from attacking americans and carrying out killings of sunni arabs , supposedly on orders from mr . sadr , but bodies of sunnis have begun reappearing in some neighborhoods in recent weeks . the protest in najaf was made up mostly of young men , many of whom drove down from the sprawling sadr_city section of baghdad , some 100 miles north , the previous night . they gathered monday morning in the town of kufa , where mr . sadr has his main mosque , and walked a few miles to sadrain square in najaf . protesters stomped on american flags and burned them . ''no , no america leave , leave occupier , '' they chanted . at sadrain square , the protesters listened to a statement read over loudspeakers that was attributed to mr . sadr . ''oh iraqi people , you are aware , as 48 months have passed , that we live in a state of oppression , unjust repression and occupation , '' the statement read . ''forty eight hard months that make four years in which we have gotten nothing but more killing , destruction and degradation . tens of people are being killed every day . tens are disabled every day . '' mr . sadr added ''america made efforts to stoke sectarian_strife , and here i would like to tell you , the sons of the two rivers , that you have proved your ability to surpass difficulties and sacrifice yourselves , despite the conspiracies of the evil powers against you . '' an interior_ministry employee in a flowing tan robe , haider abdul rahim mustafa , 23 , said that he had come from basra ''to demand the withdrawal of the occupier . '' ''the occupier supported saddam and helped him to become stronger , then removed him because his cards were burned , '' he said , using an arabic expression to note that saddam_hussein was no longer useful to the united_states . ''the fall of saddam means nothing to us as long as the alternative is the american occupation . '' estimates of the crowd 's size varied wildly . a police commander in najaf , brig . gen . abdul_karim al mayahi , said there were at least half a million people . colonel garver said that military reports had estimates of 5 , 000 to 7 , 000 . residents and other iraqi officials said there were tens of thousands , and television images of the rally seemed to support their estimates . the colonel declined to give any information on the whereabouts of mr . sadr , though american military officials said weeks ago that they believed he is in iran . mr . sadr 's aides declined to say where he is , but previously they have said he remained in iraq . in diwaniya , hospital officials said their wards were overwhelmed by casualties . there was a shortage of food and oxygen , and ambulances were being blocked from the scene of combat , said dr . hamid jaati , the city 's health director . the main hospital received 13 dead iraqis and 41 injured ones over the weekend , he added . the fighting started friday after the provincial council and governor called for the iraqi_army and american_forces to take on the sadr militiamen . the governor and 28 of 40 council members belong to a powerful shiite party called the supreme council for the islamic_revolution in iraq , which is the main rival to the sadr organization . sadr officials have accused the party of using the military to carry out a political grudge , but the governor , khalil jalil hamza , denied that on monday . in diyala_province , northeast of baghdad , a suicide car_bomb killed three civilians and wounded four others on sunday_night , police officials said monday . also in diyala , a local politician was fatally_shot on monday in hibhib , and three bodies were found in khalis . the reach of war.

re " how a much praised drug program to fight drugs lost its glow , " dec . 18 the reason the dare program did not win acceptance is that the existing ridgewood program is better because it focuses on many age groups , is more broad in scope and is designed for ridgewood . drug education is one part of the ridgewood schools family life curriculum , which has been carefully constructed by ridgewood health and teaching professionals and reviewed by the ridgewood family life committee . the committee , formed in 1980 , includes health and education professionals , clergy , local business people , citizens and students . it reviews all family life learning objectives , lesson plans and audio_visual material for all grade levels . self respect , self_esteem and factual knowledge help young people make their own decisions on drug use , sex and alcohol . this message comes candidly and repeatedly to the family life committee from its student members . ridgewood high_school has a nationally recognized program that helps students develop self respect and self_esteem . it is the adventure leadership peer support ( alps ) program , started in 1990 . alps involves four grade levels in multi day outdoor adventure based activities . what 's the connection ? a student tells it best . in november 1993 , midway througha three night , four day , 25 mile backpacking trip , after a full day of rain , in front of a sputtering campfire , an r.h.s . sophomore said " if i was in ridgewood , i 'd be at a party , under pressure to try alcohol , drugs or sex . here i can just be a kid . " in november of 1994 , 23 r.h.s . students dragged their sleeping_bags around a campfire and spent the entire 25 degree night talking and sleeping under the stars . one student called alps " the most significant learning experience i had at ridgewood high_school . " in my involvement with young people in adventure based activities , i have seen how these activities help develop self respect and self_esteem . i have learned from my own children and the students of ridgewood that it takes more than dare or the ridgewood program to prevent drug use and other destructive behavior . it takes adults who are willing to listen , to try to understand , to accept . it takes setting the example . as parents , we cannot condemn the use of drugs or alcohol if we use them ourselves . young people will do as we do , not as we say . william widlund ridgewood the writer is a member of the ridgewood schools' family life committee and outdoor adviser for the alps program .

what did you think of the election ? like dorothy on the yellow brick road , new yorkers on the upper west side of manhattan responded to the question posed to them on the sidewalk by figuratively tapping their heels together and whispering , there 's no place like home . the upper west side is the heart of liberal new york , which makes it the heart of the heart of liberal america , a kind of urban college town , the east_coast version of berkeley , calif . , or madison , wis . true to form , a week ago , assembly districts 67 and 69 , which more or less define the area , not only returned their democratic incumbents , scott m . stringer and edward c . sullivan , to the state_assembly with some 80 percent of the vote , but they voted for gov . mario m . cuomo by more than 6 to 1 . of course , mr . cuomo lost , along with many others of his ideological ilk across the country . so how does the liberal upper west side feel now ? " the liberal upper west side is very upset , " said fran schoen , who was walking along west 79th_street yesterday . indeed , in interviews over the last two days with often loquacious if weary sounding people , the same adjectives kept surfacing upset , distressed , disgusted , depressed , frightened , appalled . why they feel this way aside from the fact that their side lost is a question people found harder to answer , but it seems to have its roots in a kind of pride . the upper west side , with its well educated populace , its bookstores and bagel shops , its older , lefty intellectuals and younger , upwardly_mobile families , has long felt itself in the vanguard of social_justice . many expressed gratitude and appreciation to mayor rudolph w . giuliani for his endorsement of governor cuomo . and now , with the mayor in disrepute among the ruling party , there 's a sense among upper west siders that the mayor is one of them , and that heathens have united to repudiate their entire lot . " i feel uncertainty and fear , " said matt fried , a psychologist who was wheeling his 3 year old daughter , gaby , along west 80th_street yesterday . but he added , " i feel community here . " downtown a block , charles kleinbaum , 54 , a lawyer , was out for a midday stroll with his chihuahua . " giuliani had a lot of guts doing what he did , " he said . " and now that he 's picked the wrong person , the city 's going to suffer because the republicans seem a little vindictive . " referring to the newly elected republicans as " these people " as in , " these people are not going to find a way to cut the budget without affecting the services of those who need them " ms . schoen , a retired teacher who has lived in the neighborhood for 40 years , reflected the downtrodden ness of many of her middle_class peers who find themselves suddenly opposed to the zeitgeist , and are cast by the outspoken soon to be house speaker , newt_gingrich , as the enemies of normal americans . " am i depressed ? " said susan stone , a research scientist , who was window shopping on broadway on sunday afternoon . " of course , i am . everyone i know is . " so were some people she did n't . " i 'm more depressed than anyone , " said dr . kent sepkowitz , a 41 year old physician who grew up in oklahoma . he was one among many who voiced the idea that the essential and essentially appealing quality of manhattan is that spiritually even more than physically , it is but an island off the coast of america . " this is why i left the midwest , and now it 's caught up with me , " he said . " the only consolation i have is that i grew up during the mccarthy era , and there was life after that . " pausing in front of shakespeare 's , the bookstore on broadway and 81st_street , alfred shapiro nodded at his wife , jaclyn , and said " she 's depressed . i take a longer view . as the west side goes , so goes the west side . " mrs . shapiro nodded . " he predicted it , " she said , shuddering , particularly at the promise of the governor elect , george e . pataki , to reinstate capital_punishment , which governor cuomo staunchly resisted . " i ca n't imagine living in a state with the death_penalty . it makes you feel less than human . " mrs . shapiro , 63 , added , " i 'm so old i 'm afraid i 'll never see the pendulum swing back . " in addition to liberalism , the upper west side is also a bastion of psychotherapy . and several therapists in the neighborhood said politics frequently found its way into sessions , though it 's too soon , they said , for any reaction from last tuesday to have settled in on the couch . " these things take a while to filter through people 's offices , " one doctor said , insisting , like many others , on anonymity to protect her patients . " when giuliani was elected , i heard a lot about it . " the big topic regarding politics , she said , " is whether to stay in the city . " " especially people with young children , " she said . " one person i 'm seeing now comes to mind he 's well put together , not a crazy guy , who has the feeling that the world is coming to an end . everything he lived for in the 60 's and 70 's has disappeared . " of course , every now and then a contrary voice piped up . " i 'm not your typical upper west sider , " said joel martel , a rather big voiced iconoclast sitting in the jammed barnes_noble bookstore cafe . " i 'm a neo con . so of course i 'm delighted . " mr . martel , 48 , a lawyer , added " i think there are more and more people turning to conservatism because of the failure of the democrats and the increasing dependency of people on the largesse of the state . " in spite of his best efforts , mr . martel was unable to engage the diners around him in a debate . indeed , it seems as though few on the upper west side want to listen to republicans , even if they do have the loudest voices right now . though that is n't to say some are n't secretly conceding . a number of people shrugged , admitted defeat and looked on the bright side , saying , in one way or another oh , well . at least we can look forward to the tax_cut promised by mr . pataki . " economically we 'll probably do better , " said a 56 year old doctor walking in riverside park . the man , who would give only his first name , bob , said , " i do n't mind doing better , but when i think of what 's going to happen to this city , i do n't have an optimistic outlook . " correction november 17 , 1994 , thursday a picture caption on tuesday with an article about reaction on the upper west side to the election results misstated the occupation of one resident , matt fried . as the article said , he is a psychologist , not a psychiatrist .

lead amadou mahtar m'bow , whose tenure as director general of unesco has sharply divided the organization , became an official candidate for re election today , and western diplomats said the united_states and britain would probably not return to the group if he remained in office . amadou mahtar m'bow , whose tenure as director general of unesco has sharply divided the organization , became an official candidate for re election today , and western diplomats said the united_states and britain would probably not return to the group if he remained in office . the organization for african unity formally proposed the 66 year old senegalese incumbent as a candidate , and he is considered the favorite , but not a shoo in , in the race to head the united_nations educational , scientific and cultural organization . the organization 's executive board is scheduled to vote oct . 6 and 7 . its choice then must go before unesco 's general conference , its highest decision making body , which is expected to take its vote in early november . during mr . m'bow 's two six year terms , the united_states , britain and many other western nations have criticized unesco for being too ideological , wasting money , having poor management and supporting state control of news organizations . the united_states left the organization in 1984 and britain left the following year . richard t . miller , the united_states observer to unesco , said mr . m'bow 's candidacy would ''certainly be divisive . '' ''we always sought significant reform of the organization , '' he said . ''we have n't seen that under mr . m'bow and we would not foresee that under mr . m'bow should he be re elected . if he is re elected , it is unlkely that the united_states would be in a position to rejoin unesco . '' the african move makes mr . m'bow the first african and moslem to head a major worldwide organization the 11th candidate for the 170 , 000 a year post . france and several other western countries are supporting sahabzada yaqub khan , pakistan 's foreign_minister , who is considered the second strongest candidate in the race . mr . khan 's candidacy is also controversial because he is a soldier and served in pakistan 's right wing military government . last october , mr . m'bow said he would not run for a third term if his candidacy were to be divisive . but according to doudou diene , mr . m'bow 's spokesman , the director general said he would accept the proposed candidacy ''if the african group shows that the international_community is willing to embrace him as a candidate . '' western diplomats said mr . m'bow had been feverishly campaigning for months . but mr . diene denied their assertions and said that mr . m'bow had attended o.a.u . meetings not to drum up support , as his critics charged , but as part of his duties .

following are excerpts from a cable_news_network broadcast featuring peter_arnett as he was interviewed from baghdad yesterday by ralph wenge from the cnn center in atlanta , as transcribed by the new york times wenge peter , first of all , earlier today you said that you were not under the thumb of the iraqi censors , that they were allowing you to say whatever you wanted for the most part . is that still the case or is that now changed ? arnett it is basically still the case . we have a gentleman here from the information ministry who looked at our videotape when it was transmitted to atlanta just a few minutes ago , but he just looked at it he did n't make any comment . he is standing with me now . i am under the impression that while we 're under sort of supervision , they will not interfere with what we 're saying . that 's my impression at this point . wenge there is a lot of speculation about what happened , why it happened and so forth , and what this shelter really was . my question to you is this is it possible that under the ground , underneath was this shelter where civilians were kept and found , underneath perhaps a military compound . could that have been the case ? arnett anything is possible in constructing shelters and buildings . it was not obvious to us . we went in and out of the shelter . we went down the ramp that led into it . there was a foot of water there . we were up to our knees in water at one point . we went up into the part where people were trapped this morning to the steel doors . an underground part ? you know anything is possible . it was not visible to us that we saw any underground part . the only unusual , well not unusual aspect , i did see an antenna that was told to me to be a television antenna , one of our technicians said . the shelter at the hotel has a television set . apparently most shelters have television and radio in them . but we did have an opportunity to visit the scene of the incident today , and i have a package that i believe we 'll roll on that right now . husbands and fathers waited anxiously as bodies were brought out from the bomb_shelter . by late afternoon , officials said , 200 had been located and removed , leaving 300 more inside , they estimated , and many grieving relatives waiting for news of loved ones . earlier , baghdad firefighters had struggled to suppress the searing heat inside the shelter to reach steel doors that had been jammed shut by the force of the explosion . witnesses said two bombs hit just before 5 o'clock in the morning . . . . the roof of this building is 15 feet deep of concrete reinforced with steel bars . the bomb cut through it like butter . residents said the structure was constructed in 1984 as part of a community complex during the iran iraq_war . the block includes a mosque , a school and a shopping_center . the baghdad police chief and the shelter manager both denied that the shelter was put to any use other than civilian , a place where local residents could seek shelter during air raids , they said . arnett what is this area ? what is this part of town ? are there any military targets here ? iraqi information official . . . there is no any military targets . just residential area . arnett were there any military people in there at all ? iraqi . . . we do n't have single military man in the shelter , because this shelter is allocated for average people , for citizens . arnett several people in the shelter survived the bomb blast , including 17 year old omar adnan . he said he had lost several members of his family . adnan we were covered with a blanket , and we were hit by two blows , rockets , and everything was converted into fire . arnett others in the hospital included young children suffering from burn wounds . late morning , reporters were shown victims' bodies laid out in the courtyard of the yarmuk general_hospital . most were suffering from severe burn wounds . some were young children almost beyond recognition . . . . wenge peter , when you were there , did anybody around the building , anybody on the ground , say anything about , over the past few days the sighting of any military people there , or any military presence ? arnett we did not bring the topic up because there were a lot of military officials simply there to supervise in the excavation , in the rescue efforts . i did n't think of it at the time to bring up that particular question whether there had been military people there the previous day . residents assured us that the shelter was occupied every night by people from the area . every night there is bombing in baghdad . last night there were several major raids . the pattern here is for people , as in this hotel , to take their bedding to the shelter . they just sleep there . they were saying that every night there were several hundred people in this shelter . it was a routine that began on the night of jan . 17 , and it has n't stopped since until the early hours this morning , ralph . often no air raid sirens wenge peter , the u.s . military said today that there was no air raid siren . there were no sirens before the attack . if that was the case and there was no air raid , why would the civilians be going into a shelter ? arnett call it force of habit , ralph . there is often no air raid sirens . the speculation is that these are stealth_bombers coming in with their bombs and leaving . the public expects bombing every night . they do n't wait for the air raid alert because it gets dark here about 6 o'clock at night . they 're not about to be stumbling to an air_raid_shelter at 3 in the morning . people just take their bedding every evening , and they go to these shelters . war in the gulf iraqi report.

the yen gains . the dollar fell against the yen on doubts that international finance officials meeting in berlin would move to weaken the japanese currency . in new york , the dollar settled at 110 . 73 yen , down from 111 . 56 .

the failure of the united_states and japan to resolve a longstanding trade dispute sent a jolt of disappointment through the foreign_exchange_market today , putting the dollar into a temporary freefall against the yen and dashing any optimism that its long slide would end soon . after a plunge as the market opened , the dollar leveled off at 98 . 55 yen in early trading here then rose slightly to 98 . 78 yen , well below the rate in new york late friday of 100 . 1 yen but still a way from its historic low of 96 . 60 yen . an earlier decline had put pressure on the federal_reserve to raise interest rates as a means of bolstering the dollar , pressure that may be renewed once again . but there were signs that the failure of the talks did not mark a complete breakdown in the increasingly strained relations between two of the world 's greatest trading powers . japan 's foreign ministry had said two weeks ago that the government would consider retaliating for any american move toward sanctions by formally cutting off further talks . this morning a senior foreign ministry official here said that the government had decided not to move toward such a breach . " we are not exercising our right to break things off , " the official said , who spoke on condition that he not be further identified . " we 'll take some time for reflection , and then will have some informal talks later . " he added a warning , though , apparently with the reaction of the markets in mind . " perhaps they would do well not to just kick out the chair and leave the table , " the official said , referring to the american negotiators . kozo igarashi , the chief_cabinet_secretary , said today that if the united_states did eventually enact sanctions , japan would retaliate by cutting off any further talks on the government_procurement issue or other trade topics . yukuo takahashi , the chief foreign exchange trader here for chemical_bank , said the currency market activity was relatively light and that the dollar had suffered the losses in one brief plunge in the day 's early hours . the bad news , he added , was that the breakdown of the trade talks , which took place in washington over the weekend , had pushed most of the optimists who had purchased dollars last week out of the market , at least for the time being . " the majority feel now that we 're going to see further declines " in the dollar 's value , mr . takahashi said . jorn simonson , a trader with the chase_manhattan bank , observed " the only thing people had been looking for was something on trade . the feeling was about 50 50 on the talks . when it did n't come out people were all ready to sell . but we may level off here for a while . " the united_states has fought with japan for more than a year on opening five japanese markets autos , auto_parts , insurance , and government_procurement of telecommunications and medical equipment . the clinton_administration had twice postponed a deadline on concluding the talks on government_procurement of telecommunications and medical gear , but insisted it would stand by the latest date , july 31 . japan 's overall trade surplus and its surplus with the united_states have been running at record levels for the last two years a key reason that the dollar has been sinking . the soaring value of the yen has put enormous pressure on japanese manufacturers , whose products are now far more expensive for foreign buyers . the pressure has also slowed the japanese economy and taken a big bite out of corporate profits , but it has not been enough pressure to force the government to agree to washington 's terms a guarantee of increased purchases of foreign telecommunications and medical equipment by government entities . " at this point , i 'm not really optimistic , but we still have hope , " the foreign ministry official said .

three years ago this week , president_bush made a surprise thanksgiving day visit to baghdad , where he told a group of stunned soldiers that the united_states did not wage a bloody war to depose saddam_hussein ''only to retreat before a band of thugs and assassins . '' mr . bush and secretary of state condoleezza_rice will spend this thanksgiving at camp_david , in part for a discussion about the meeting recently scheduled for next week between mr . bush and prime_minister_nuri_kamal_al_maliki of iraq , in amman , jordan . there , mr . bush and mr . maliki will have to contend with the thuggery and killing that continues to plague iraq three years after that hopeful thanksgiving day visit . white_house officials said wednesday that mr . bush and mr . maliki would discuss a range of issues from giving the iraqis more control over security forces to american frustrations with the pace of the disarmament of militias in iraq to the new political realities facing the president with the newly elected democratic congress , many of whose members are calling for some sort of withdrawal from iraq . the meeting comes as the administration , fresh off republican losses and its subsequent announced ouster of defense secretary donald h . rumsfeld , is considering a significant change in approach to the war in iraq , which will surpass world_war_ii in duration on sunday . officials acknowledge that the change that is in the air in washington is causing unease for leaders in iraq . ''it 's an important period we 're in with iraq and for his government , and there is a lot of speculation going on , '' said dan_bartlett , the white_house counselor . ''the president will assure the prime_minister that he 's the one who sets foreign_policy for the country . '' stephen j . hadley , the president 's national_security adviser , told reporters on tuesday night that mr . bush would also discuss with mr . maliki the roles that iran and syria could play in helping to stabilize iraq , rather than to inflame it . but white_house officials appeared to play down expectations for the meeting , with mr . hadley telling reporters , ''we 're not looking for a big , bold announcement . '' in diplomatic circles , the visit was being taken as an attempt to send a clear signal that mr . bush was intensely focused on iraq after a losing election that has been seen as a referendum on the war . the meeting comes as the iraq_study_group , being led in part by james a . baker_iii , his father 's longtime friend and adviser , is moving toward releasing a blueprint for a new approach to iraq . ''i think after nov . 7 they have to demonstrate that they 're seriously looking turning every stone for a strategy that will work , '' said ivo h . daalder , a national_security official for president_clinton and now a scholar at the brookings institution . mr . daalder said the administration appeared in part to be trying to pre_empt the study group 's widely expected call for direct talks with the iranians and the syrians about the security situation in iraq . but two administration officials , who spoke on the condition of anonymity so that they could speak freely about internal matters , said in private conversations that it would be unlikely that the president would do anything that could be seen as pre_empting mr . baker 's report , though they bristled at its expected suggestion of direct talks between the united_states and iran and syria on iraq . speaking before the senate armed services committee last week , david m . satterfield , the state_department coordinator for iraq , said the united_states was prepared ''in principle'' to enter a ' 'direct dialogue'' with iran to speak about iraq , but that the timing of such talks was undecided . mr . satterfield dismissed any similar consideration for syria . officials have been trying to emphasize that there are regional allies other than syria and iran that can help stabilize iraq . in announcing that the president would meet mr . maliki in jordan , mr . hadley said , ''jordan has been very helpful and supportive of the unity government in iraq . '' the white_house announced wednesday that vice_president dick_cheney would travel at the end of the week to saudi_arabia , another key ally in the region . mr . hadley said that at the top of mr . bush 's agenda with mr . maliki would be the results of a joint_commission they impaneled several weeks ago to study ways to transfer more control over security forces to mr . maliki 's government . that is one of several studies under way , including the one being overseen by mr . baker along with the former democratic congressman lee h . hamilton and reviews under way by the national_security_council and the pentagon . those reviews will give mr . bush an array of options beyond any that come from mr . baker 's group . speaking aboard air_force one on tuesday night , mr . hadley suggested that mr . bush would spend the holiday weekend going over reports from the administration reviews still in progress as he considers a new course in iraq . ''there are many voices the president will want to listen to , '' mr . hadley said , including those of the new congress and mr . baker 's commission . but , mr . hadley said , what is no less important will be the opinion of mr . maliki , ''who 's obviously been developing his own ideas on the way forward . '' the reach of war correction november 27 , 2006 , monday an article on thursday about president_bush 's preparations for meeting with the iraqi prime_minister described incorrectly the time frame for the war in iraq . on sunday , its duration surpassed that of america 's participation in world_war_ii , not the total duration of world_war_ii .

president_bush met for two hours today with his national_security advisers to discuss " the full range of options " to force iraq to comply with united_nations resolutions . a brief white_house statement indicated that no final decisions had been made , but an official with an allied government who was interviewed during the day said he expected an ultimatum to be issued on sunday or monday to president saddam_hussein , demanding immediate cooperation with united_nations inspectors in iraq . after the morning session at camp_david , md . , mr . bush 's aides returned to washington , where adm . jonathan howe , deputy national_security adviser , held a series of afternoon meetings with administration deputies from major departments to follow up the results of the camp_david session . iraq u . n . talks the white_house statement did not refer to any ultimatum . the statement was issued hours before rolf_ekeus , chairman of the united_nations enforcement operations in iraq , said daylong negotiations with iraq 's representative at the united_nations , abdul_amir_al_anbari , had failed to resolve the crisis . mr . ekeus said that talks would continue on sunday and that he expected iraq 's " final answer " then . page 8 . the white_house said mr . bush had considered iraq 's " record of non compliance " with the cease fire resolution and had examined " the full range of options for enforcing full compliance with the resolutions . " extensive consultations " no options have been ruled out , " the statement said . administration officials said no significant military deployments were under way , and the emphasis appeared to be on the next political and diplomatic steps , while unspecified military options that would presumably back up any ultimatum remained under discussion . a senior administration official interviewed on cable_news_network after the camp_david meeting said , " i do n't think the president has decided what action he should take . " the official , paul d . wolfowitz , the pentagon 's under secretary for policy , indicated that mr . bush believed he should take the time " necessary to do the very extensive consultations " with allies and members of congress , so that whatever diplomatic and military steps are decided on would draw the broadest possible support . mr . wolfowitz 's remarks on cnn underscored the determination by mr . bush to confront the iraqi leader 's broad challenge to the united_nations presence in iraq , but also reflected a cautious and deliberate approach in confronting the iraqi leader in the war of nerves that has seized mr . bush 's presidency in the midst of his re election campaign . secretary of state james a . baker 3d , traveling in the philippines , said he believed that the security_council was " very , very serious " about forcing iraq to adhere to the terms of the persian_gulf_war cease fire , which call for reparations , the elimination of weapons_of_mass_destruction and an end to internal oppression . baker to meet foes of hussein " i know the united_states , france and the united_kingdom are serious when we say the united_nations_security_council resolutions ought to be complied with , " mr . baker said in manila , where he is attending a meeting of the association of southeast asian nations . mr . baker will return for a meeting on wednesday at the state_department with iraqi opposition figures , the first such high level meeting . the administration has strongly opposed supporting such an external challenge to mr . hussein and in the past has refused to meet with opposition leaders in a highly visible way . administration officials gave no indication that they had changed this view . mr . baker will meet with six iraqis , including two kurdish leaders , jalal_talabani and massoud_barzani . an ultimatum to baghdad might be issued by washington and its allies as a " demarche " that they would back up with military force if necessary , said a senior official whose government was being consulted about the white_house deliberations . the official said there was also a discussion of drafting a new united_nations_security_council resolution that would put mr . hussein on notice that future non compliance could draw immediate punitive military retaliation . mr . bush began the meeting at 9 a.m . with vice_president dan_quayle samuel k . skinner , the white_house_chief_of_staff brent_scowcroft , the national_security adviser mr . scowcroft 's deputy , admiral howe robert m . gates , director_of_central_intelligence defense_secretary_dick_cheney gen . colin l . powell , chairman of the joint_chiefs_of_staff deputy_secretary_of_state lawrence s . eagleburger , and marlin fitzwater , the white_house spokesman . a broadening approach in his remarks to cnn , mr . wolfowitz indicated that the administration had broadened its thinking about how to respond to mr . hussein beyond the narrowly_focused confrontation over access to records at the agriculture ministry . under the united_nations resolution ending the persian_gulf_war , iraq was ordered to grant unconditional access to united_nations inspection_teams authorized to search out and destroy all weapons_of_mass_destruction and the factories and records pertaining to them . but seven inspectors abandoned their 17 day vigil outside the ministry this week after iraq refused them entry , calling them spies , and in the face of demonstrations that turned violent . mr . wolfowitz said mr . hussein was carrying out an " extraordinary " and " across the board challenge . " " it 's not just a matter of the agriculture ministry building , " mr . wolfowitz said . " it 's also a matter of how the iraqis have treated those inspectors . it 's also a question of what the future access of the u.n . inspection regime is going to be throughout iraq . " he also said the iraqi military was moving against shiite_muslims in southern iraq " in clear violation of resolution 688 . " mr . wolfowitz hinted that discussions may be focusing on a two track approach . one would be focused on an ultimatum to allow the work of the united_nations special commission to continue in its quest to destroy weapons . a second and broader track would try to build a new international consensus to stop mr . hussein 's broader attacks and aggression against his shiite and kurdish citizens and his attempts to frustrate other united_nations relief , inspection and negotiation efforts .

a co op shareholder in a building at 180 west 93rd street , jessica lichtner , recently submitted a question to the real_estate q . a . column on a matter of potential interest to many co op residents . ''i live in a co op , '' she wrote . ''a neighbor and i have discussed purchasing the apartment between our two apartments and splitting it so we each get half . we would then each absorb the half into our own apartments . is something like this possible ? '' not only is it possible , real_estate experts say , but it may be evidence of a growing trend in co op living . ''people in new york are always looking for a little more space , '' said arthur i . weinstein , a manhattan lawyer who is vice_president of the council of new york cooperatives and condominiums . ''when you tie that in with the empty nest syndrome , buying and selling sections of adjoining apartments can be a win win proposition for everyone . '' mr . weinstein said that whether the transaction involves two shareholders buying a third apartment to divide between them as in ms . lichtner 's proposal or one shareholder buying a portion of an adjoining apartment , the transaction is not much different , from a legal perspective , from combining two apartments into one . ''basically , all that 's legally required is for the co op to apportion the shares appropriately and issue new proprietary leases , '' he said . under federal tax laws , mr . weinstein said , for a co op shareholder to be able to take tax deductions for things like property_taxes and interest on share loans , the shareholder 's allocated shares must bear a reasonable relationship to the apartment itself . so , he said , if the portion of the apartment being transferred to a shareholder constitutes , say , 50 percent of the apartment and the apartment has 100 shares allocated to it , then the purchasing shareholder 's total share allocation should increase by 50 shares . at the same time , mr . weinstein said , the tax_law does not necessarily require a strict ' 'square_foot by square_foot'' calculation provision can be made for intangibles like windows and views and for amenities like fireplaces and bathrooms . as with any other matter of significance that takes place in a co op , mr . weinstein said , absorbing part of one apartment into another will require approval by the co op 's board . and in most cases , he said , as long as the proposed change does not alter the character of the building , place additional demand on building services or create an excessive disturbance to other shareholders , it is likely that the board will grant the necessary consent . ''boards generally do n't mind when apartments disappear , '' mr . weinstein said , referring to what would happen under ms . lichtner 's proposal . ''when there are fewer apartments in the building , the apartments that remain are larger there is less density in the building and less of a demand on building services . '' ( what most boards do not like , he said , are proposals to split one apartment into two . in such a case , the density in the building the number of people increases , and this typically results in an increased demand on building services . ) another issue that must be addressed when shares to an apartment are sold or transferred , he said , relates to existing financing on the apartments being changed . ''if there is financing on either or both apartments , the lenders become interested players , '' he said , explaining that in most cases , it will be necessary to obtain the consent of the holder of any share loans on the apartments that are being changed . marcel dewinter , a manhattan architect , said that when apartments are combined or when a portion of an existing apartment is made a part of an adjoining apartment and the total number of rooms in the building remains the same , it is usually not necessary to change the building 's certificate of occupancy . it is still necessary , however , to submit plans and obtain permits from the department of buildings for any physical alterations that are to be made . in most cases , mr . dewinter said , the application for the necessary permit known as an ''alteration type ii'' is one that does not require a new or amended certificate of occupancy . ''with this kind of application , the design professional can self certify that the work was completed in conformance with the description of the project accepted by the department of buildings , '' mr . dewinter said . he added that while it would seem that grafting a room from one apartment onto an adjoining apartment is relatively straightforward in most cases , merely closing off some existing interior doorways and opening up new ones there may be some construction considerations to address . for example , mr . dewinter said , when a standard interior wall in an apartment becomes a wall separating two different apartments , the wall usually has to be rebuilt so that it has the necessary fire rating . ''normally , the walls inside an apartment are not constructed with fire rated materials , '' he said . ''and you ca n't get the fire rating you need by just slapping a piece of fire rated gypsum board on top of the existing wall . '' mr . dewinter also pointed out that whenever more than 10 feet of wall space are being disturbed , it is usually necessary to have an asbestos inspection performed . and any asbestos found , he said , must be removed by a qualified asbestos abatement contractor . ''it 's probably wise to inspect for lead based paint as well , '' he said , explaining that if such paint is used on the wall , precautions must be taken to prevent the migration of lead dust and chips out of the area being worked on . in addition , mr . dewinter said , whenever more than two square_feet of painted surface is being disturbed in a pre 1978 building , the federal environmental_protection_agency 's pamphlet ''protect your family from lead in your home'' must be given to the owner and occupant of the apartment . dennis greenstein , a manhattan co op lawyer , said that since some amount of construction is going to be necessary any time such changes are made to adjoining apartments , it would be wise for a co op 's directors to insist that all parties sign an alteration agreement before being permitted to start work . ''if i had two shareholders splitting up an apartment , i would want to make sure that there are alteration agreements signed by both of them , '' mr . greenstein said . ''i would also want to make sure that each shareholder agrees to be singularly and jointly liable for any problems that may occur , and i would probably prefer that there be only one architect involved . if there are two architects working on the project , the one architect might not be telling the other architect what is going on . '' it is also necessary , mr . greenstein said , for the co op to insist that all contractors have adequate liability_insurance and that the co op 's architect or engineer reviews all plans to ensure that no building systems like electric or plumbing lines will be compromised . ''from my perspective , the most important thing is to protect the co op , '' mr . greenstein said . ''but once i 'm confident the co op is protected , this is the kind of project i feel comfortable encouraging . '' your home.

with democrats growing more confident about their chances of regaining control of the senate this fall , several colleagues of senator joseph i . lieberman are pressuring him to let another connecticut democrat seek his seat so that the party will not lose it if he becomes vice_president . even though he is campaigning as vice_president al_gore 's running_mate , mr . lieberman is also seeking a third term in the united_states_senate , which he is entitled to do under state law . democratic strategists and senators said that two senior democrats , harry_reid of nevada and byron l . dorgan of north_dakota , have approached senator tom_daschle of south_dakota , the democratic leader , to ask mr . lieberman to step aside . mr . daschle has rebuffed their appeals , aides and senators said . senator robert g . torricelli of new jersey , who heads the democrats' re election efforts , said this month on nbc 's ''meet the press'' that the ''right decision'' for mr . lieberman would be to step aside . if mr . lieberman wins his senate campaign and the vice_presidency , he will give up his senate seat and gov . john g . rowland , a republican , will be able to appoint his replacement . that would cost the democrats a senate seat , at a time when they are trying to narrow the republicans' 54 to 46 advantage . under state law , the interim senator appointed by the governor would serve for two years , with a replacement chosen in the 2002 general_election . ''there 's a huge worry that we could pick up four seats and then lose the senate because joe has n't stepped down , '' said one senate democrat who spoke on the condition of anonymity . ''it 's one of the main topics among democratic senators . '' if the democrats were to pick up four seats , and a democratic administration were in place , the party could control narrow votes in the senate . mr . lieberman has explained his decision to continue his senate campaign by saying that there would not be enough time to hold a primary so voters could choose a replacement candidate . instead the replacement would be chosen by the 72 member state democratic central_committee . under state law , mr . lieberman has until oct . 27 to change his mind . mr . lieberman 's intent to seek a third term scared away all of the best known , best liked potential republican senate candidates , leaving the field to philip giordano , the mayor of waterbury , who lacks money and name recognition . among the democrats mentioned most often is richard_blumenthal , the state attorney_general who could step in and be heavily favored to beat mr . giordano . the oddity of mr . lieberman 's dual political identity was on full display today , as he shifted for a day from the national campaign to stump in connecticut for his re election . responding to questions about it , he referred to polls that show voters by a slight margin oppose his dual candidacy . he and the voters have ''agreed to disagree'' on that point , he said , while noting that polls show him with an overwhelming lead over mr . giordano . in recent weeks , senate democrats say their hopes of recapturing control have been buoyed by new polls which republicans have quickly challenged with surveys of their own showing democratic candidates closing the gap in states the party had discounted or even written off , including montana , pennsylvania and nevada . these hopes also shot up when former gov . zell_miller of georgia , a democrat , was named to replace senator paul_coverdell , a republican who died in july . this boost also coincides with the post convention surge enjoyed by the gore lieberman ticket against their republican rivals , gov . george w . bush and dick_cheney . the democrats' strong showing in the presidential race , however , has fueled fears among mr . lieberman 's colleagues . while few if any have made their concerns known directly to the senator , several democrats spoke to a reporter today on the condition of anonymity , knowing their remarks would reach him . ''i wish joe would step aside , '' said one democratic senator . ''as his likelihood of success becomes more apparent , that seat of his could make a difference . '' said another senate democrat ''i would certainly say he should take a hard look at it in 10 to 12 days . '' senator evan_bayh , an indiana democrat , said , ''i have heard a lot of chatter about it , but ultimately it 's up to him and his conscience . '' an aide to mr . lieberman would say only that the senator ''has felt great support from his colleagues , '' and referred all other questions to mr . daschle . in an interview , mr . daschle defended mr . lieberman 's decision ''he 's had a very impressive record in the senate for 12 years . to throw away something that 's a sure thing , another term in the senate , for the possibility of a new position of vice_president is a choice and decision that only he can make . '' as he campaigned in connecticut today , mr . lieberman faced a barrage of questions about his balancing_act . might he change his mind ? did n't he worry about a republican taking his seat ? was he hedging his bets against a possible loss by vice_president al_gore ? the senator handled the questions calmly , saying that while the people of connecticut are split over his decision , polls show that they overwhelmingly favor his re election . last week , a quinnipiac college poll showed that 46 percent of voters oppose mr . lieberman 's double campaign and 45 percent support it . but he enjoys an extraordinary 80 percent approval rating and leads his republican opponent , mr . giordano , 72 percent to 19 percent . ''look , i understand this is an unusual situation and i appreciate the questions that people in connecticut are asking , '' he said , after a stop at the harbour park restaurant in middletown . ''i and my extended family in connecticut , that is , the people of connecticut have agreed to disagree , but ultimately , i 'm heartened , deeply heartened , and grateful by their response in the polls . '' mr . lieberman has called for a change in the state law , so that a special_election would be held next year , rather than 2002 . mr . rowland said last week that he would veto such a bill , but that , mr . lieberman insisted , had not shaken his resolve . ''it does not change my view , and hopefully , the legislature and the governor will work on this if it becomes necessary to work on it next year , '' he said . ''i still think that the best course is for there to be a special_election , should i be fortunate enough to be elected vice_president , there should be a special_election early next year , giving enough time for party nominations , full open list of candidates , primaries if that 's required , and then a good debate and election of a successor . '' as if to underscore his dual demands , mr . lieberman took time out from a day ostensibly devoted to his re election to attend three fund_raisers for the democratic national committee , which raised more than 3 million . the 2000 campaign the connecticut race.

lead the u s sprint communications company said it had deployed a system of signal enhancements that will speed voice and data transmissions through its fiber_optic network . the system will improve call setup time to put calls through an average of three seconds faster , and it will improve the company 's automated validation system to increase its ability to detect toll fraud , u s the u s sprint communications company said it had deployed a system of signal enhancements that will speed voice and data transmissions through its fiber_optic network . the system will improve call setup time to put calls through an average of three seconds faster , and it will improve the company 's automated validation system to increase its ability to detect toll fraud , u s sprint said . the company said the signaling system was critical to its plans to provide future features and functions of its network . earlier this month , u s sprint completed the final segment of its third planned transcontinental fiber_optic route , so that all calls over its network now go over fiber . u s sprint , based in shawnee mission , kan . , is the nation 's third largest long distance telephone company , behind a.t . t . and mci_communications . company news.

canadian economists were right about one thing a year ago when they were looking ahead , most of them predicted the canadian_dollar would strengthen against its american counterpart . but their forecasts fell short of the mark . unfortunately for canada 's export based economy , the canadian_dollar did not rise by the 3 percent to 5 percent most economists had predicted . by november , it had posted a 15 percent gain , a_12 year high , and begun to crimp canada 's long run of export growth and factory expansion . while the canadian_dollar has dropped slightly since that peak , few canadian economists think its rise , which makes the country 's exports more expensive to americans , and the problems for canada 's economy that flow from it , are over . ''it 's going to be a difficult grind in the first half of next year , '' said derek burleton , a senior economist with the toronto_dominion_bank . ''everyone 's in agreement that it 's not going to be a boom period for the canadian economy . '' from annual growth of 2.7 percent this year , he expects an annual rate of 2 percent to 2.5 percent for the first half of 2005 . unlike the united_states , canada has had an enviable economic run in recent years . among other things , it has had only two quarters of contraction in 12 years one after the sept . 11 attacks and the other after the sars outbreak in toronto . but with exports accounting for about 40 percent of the country 's gross_domestic_product and the overwhelming majority of them heading to the united_states , the rise in the canadian_dollar means those good times may be squeezed . few economists dispute that the low canadian_dollar from the mid 1990 's helped lure from the united_states manufacturing jobs and employment in service areas like call centers . ''in some cases america 's pain has been canada 's gain , '' michael j . gregory , the senior economist at the bank of montreal 's bmo nesbitt_burns unit in toronto . several factors underlie the rise in the canadian_dollar . many canadian provinces , as well as the federal_government in ottawa , are now posting budget surpluses . long running trade surpluses and rising commodity prices have helped push the currency up , too . but economists overwhelmingly agree that the canadian_dollar 's rise is mostly the result of a tumble in the american dollar . ''all the other factors were marginal in the face of the u.s . dollar 's weakening , '' said andrew pyle , a senior economist and vice_president at scotia capital , a unit of the bank_of_nova_scotia in toronto . some analysts have criticized the bank of canada and its governor , david dodge , for making a bad situation worse . while the public 's concern about the canadian_dollar 's rise began to grow in the late summer , the central_bank was more concerned that canada 's economy might overheat . to minimize the risk of inflation , the bank of canada raised its critical lending rate by 25 basis_points in september and again in october . both increases sparked immediate increases in the canadian_dollar 's value . it took weak growth and soft manufacturing employment in november for the bank of canada to acknowledge that the canadian_dollar 's high value had become a drag_on the economy . early this month , the bank left rates unchanged . jim stanford , a economist for the canadian_auto_workers union in toronto , argued in a report released earlier this month that mr . dodge should have made the canadian_dollar 's rise his priority long ago . ''if there is one central_bank in the world that should be acutely concerned with the appreciation of its currency against the u.s . dollar , it should be canada 's , '' mr . stanford wrote . ''our currency has appreciated more against the u.s . dollar in the last two years than any other major u.s . trading partner , and our economy is far more dependent on exports to the u.s . than any other country in the world . '' in his study , mr . stanford estimated that if the canadian_dollar stabilized at about 85 american cents , canadian manufacturers would shed about 400 , 000 jobs over the next two years . the canadian_dollar traded at 82 . 597 american cents thursday . an 85 cent canadian_dollar is not an unrealistic expectation . mr . pyle at scotia capital , for example , expects the exchange_rate to hover between 85 and 90 cents in 2005 . a minority of canadian economists believe that a collapse of the united_states dollar might even lead to parity between the two currencies . with the whopping budget and trade deficits in the united_states , the canadian currency may well continue its march higher into the new year . asked if the canadian_dollar could pass 90 american cents , mr . pyle said , ''it would be a mistake to rule anything out in this currency market in 2005 . ''

an army lieutenant_colonel who received the bronze_star for her wartime service in iraq was arrested yesterday and charged with taking bribes in a growing corruption scandal involving the iraq reconstruction program . an investigation has jolted the program , embarrassed the united_states military and exposed a dark underside of the american occupation authority that ran the country after the invasion in april 2003 . the officer , lt . col . debra harrison , a reservist in a civil_affairs unit based in norristown , pa . , is the fourth person and the second senior army officer to be arrested and charged in the scandal . the citation for her bronze_star recognizes her service in iraq in 2004 , including her actions during an ambush in april that a united_states official who served in south central iraq said had killed a security guard and wounded others in a convoy . colonel harrison was also ambushed earlier that year in an attack that sprayed windshield glass into her face and severed a nerve in her upper lip , the centre daily times of state college , pa . , reported recently . she is charged with receiving cash bribes of 80 , 000 to 100 , 000 , a cadillac escalade , a trove of illegal weaponry and other items for steering construction jobs to an american contractor in iraq . some of the cash , intended for projects like a library in the holy_city of karbala and an iraqi_police academy south of baghdad , paid for a new hot_tub and a deck for colonel harrison 's home in trenton , according to the federal affidavit . conviction on the charges , including conspiracy to commit bribery and money_laundering as well as a long list of weapons charges , could put her in prison for up to 30 years , the justice_department said in a statement . kristine belisle , a spokeswoman for the special_inspector_general_for_iraq_reconstruction , the independent office whose investigators uncovered what they say is a bribery and kickback_scheme , said more people would probably be arrested . ''it 's been a lengthy ongoing investigation , '' ms . belisle said . referring to the accusation that two senior army officers helped defraud iraq of money meant for its libraries , police facilities and other community centers , she said , ''it 's disconcerting , period , that the military is involved in this at all . '' a man who answered the telephone yesterday at the house listed under colonel harrison 's name said , ''thank you , but there will not be a statement . '' he would not identify himself . the other military officer to be charged in the case is lt . col . michael wheeler , an army reservist of amherst junction , wis . the others who have been charged are two civilians , robert j . stein jr . of fayetteville , n.c. , and philip h . bloom , an american citizen who lived for many years in romania . as officials in the coalition_provisional_authority based in hilla , south of baghdad , mr . stein , colonel wheeler and colonel harrison are charged with accepting_bribes totaling more than 200 , 000 a month , to steer at least 13 million in contracts to companies controlled by mr . bloom , who is accused of performing the work shoddily or not at all . for reasons that the pentagon has so far declined to clarify , mr . stein was hired as a comptroller by the coalition_provisional_authority and put in charge of 82 million for reconstruction , despite his conviction for felony fraud in the 1990 's . colonel harrison was initially mr . stein 's deputy and became acting comptroller in hilla in spring 2004 . the united_states official who served in south central iraq said that like mr . stein , colonel harrison was a combative and difficult bureaucrat . at one point , the official said , colonel harrison cut off the flow of construction funds to the southern holy_city of najaf because , colonel harrison said , american officials there were mismanaging the money . the struggle for iraq corruption.

yen slides . the yen slumped on a report of a bigger than expected drop in japanese industrial production in november . in new york , the dollar settled at 114 . 35 yen , up from 113 . 63 on tuesday .

arab leaders and diplomats expressed satisfaction and relief tonight over the agreement that appears to have averted the threat of a military confrontation between the united_states and iraq . there remains little affection for saddam_hussein , the iraqi president , among fellow arab leaders . but with sentiment on the street running sharply against the united_states , even arab governments that sided against iraq in the persian_gulf_war had made plain that military action would have only complicated matters in an already troubled region . for that reason , reactions to the resolution of the standoff were akin to sighs of deep relief . president hosni_mubarak of egypt said tonight that he believed that the american decision was motivated in large part by a recognition that ''the arab people were not ready'' for american use of force . ''i saw the situation as very sensitive , '' he said in a television interview . ''we were afraid that the united_states and other forces were going to launch attacks on iraq , and people were going to lose lives . '' the reason for that concern is the view that american military strikes against iraq would have presented arab governments with a nightmarish choice . by standing with the united_states , they would have risked a backlash among citizens who perceive american favoritism toward israel in efforts to broker a middle_east peace and american callousness toward the suffering of the iraqi people through seven years of economic_sanctions . siding with mr . hussein would have allowed arab leaders to play to the sympathies of people who themselves feel put upon by the west . but that would have meant suppressing concerns about iraq 's weapons_of_mass_destruction as well as risking vital economic and military partnerships with washington . arab officials said they believed that efforts by leaders like mr . mubarak and king_hussein_of_jordan to stave off a military threat had prevented a regional crisis and more . ''saddam avoided a war in the region , and he made it known that sanctions cannot go on indefinitely , '' an arab_league official said in a telephone interview tonight . ''he has made his issue the front burner issue . '' the official , who insisted on anonymity , said ''at the same time , arab countries have not given him a blank check . the major arab countries want him to understand his limitations and show some subtlety and flexibility , something for which he is not known . '' mr . hussein 's blatant aggression in ordering the invasion of kuwait in 1990 made it possible for egypt , syria , morocco and other arab_nations to justify sending troops into battle against iraq . but those decisions were accepted grudgingly , and tempered by two ideas that iraq 's ostracism would be short lived , and that arabs would be rewarded for their cooperation by american pressure on israel to reach lasting settlements with its neighbors . increasingly , arab frustration that neither goal is within reach has been expressed in complaints from ordinary people , politicians and the press that the united_states has not kept up its side of the bargain . ''those of us living in the area , friends of the united_states and friends of the west , know that the slowing up of the peace process has meant that the american image is not what it might be , '' crown_prince hassan of jordan said in a television interview at the beginning of the week . ''so the use of force as a blunt instrument , i do n't think would reflect well on the united_states at the current time . '' arab leaders still do not disguise their exasperation with the iraqi leader . in the interview tonight , mr . mubarak said that for now ''he is not a threat for sure . '' but when asked why mr . hussein had ousted american weapons inspectors , the egyptian president replied ''you should ask him . he started the war with iran , then he started the war with kuwait . it 's a mess . i hope this will come to end . '' over the last three weeks , while american officials have warned that iraq 's ability to produce weapons_of_mass_destruction was increasing daily , some arab leaders were concerned that as long as the standoff continued , it would galvanize antipathy to the united_states in a way that could have produced an anti american explosion next month at an islamic summit meeting in teheran . a jordanian official who insisted on anonymity made clear that his government would continue to press for a broader policy_review . ''the moral question that we have to ask ourselves is how can you punish 18 million iraqis when their leader is not suffering and does not care whether his people are being punished or not ? '' the deal on iraq the arabs.

lead the international trade commission issued a preliminary ruling today that the american metal forming industry was being injured by japanese imports , paving the way for import_duties . the international trade commission issued a preliminary ruling today that the american metal forming industry was being injured by japanese imports , paving the way for import_duties . the commission , an independent agency that monitors adherence to united_states trade law , acted on a complaint by the verson division of the allied products corporation , and two of its unions , the united automobile workers and the united steel workers . chicago based verson , which makes presses that industries use to form metal parts , complained that japanese companies were ' 'dumping'' pressess on the united_states market at less than fair value . the commission 's action opens the way for the commerce_department to investigate the amount of dumping and impose anti dumping duties , which would be made permanent if the commission issues a permanent ruling this summer .

lead needle and syringe exchange programs for intravenous_drug_users in three cities have reduced needle_sharing and the risk of transmitting the aids virus without an increase in drug use , new studies show . needle and syringe exchange programs for intravenous_drug_users in three cities have reduced needle_sharing and the risk of transmitting the aids virus without an increase in drug use , new studies show . but researchers who described the studies at an international meeting on aids here today said the studies were not extensive enough to document whether the programs slowed the spread of the virus . and the researchers said the programs were only one way of combating the spread of the aids virus . the exchange programs , in which used needles and syringes were exchanged for clean ones , were in tacoma , wash . , amsterdam and london . intravenous_drug_users account for a growing proportion of aids cases in the united_states and in europe . increasing numbers of intravenous_drug_users in thailand and in south_america are also becoming infected with the the virus that causes aids , the human_immunodeficiency_virus or hiv . health officials say intravenous_drug_users have become the main conduit for the aids virus to heterosexuals . infected drug addicts can spread it to their sexual partners . intravenous_drug_users statistics from the federal centers_for_disease_control in atlanta show that intravenous_drug_users now account for 25 percent of the 95 , 000 cases reported in the united_states . of this total , 17 percent are heterosexual intravenous_drug_abusers and 8 percent are homosexual men who are also intravenous_drug_users . dr . christina hartgers said that a program in amsterdam , in which drug users exchanged more than 700 , 000 needles last year , reaches about 40 percent of the estimated 2 , 800 addicts in the city . in a study of 145 of those exchanging needles , she said her team found that the program was ''especially attractive to regular injectors and does not lead to an increase in intravenous drug use'' among them or an increase in needle_sharing . however , because infrequent users are more likely to share needles , dr . hartgers said , additional efforts to educate this group are needed . in reporting on a study evaluating the busiest needle exchange program in london , dr . graham j . hart said there were an average of 257 participants who made about 762 visits each month . the program dispensed 8 , 950 needles and syringes 6 , 918 , or 77 percent , were exchanged . dr . hart 's team from middlesex hospital found that the percentage of addicts who borrowed equipment fell to 9 from 15 and that of addicts who lend equipment dropped to 7 from 13 . on entry , 7 of 121 addicts , or 6 percent , were hiv infected and they reported sharing equipment with twice as many intravenous_drug_users as those who were not hiv infected . gain in tacoma project dr . don des jarlais of the new york state division of substance_abuse services , one of the researchers on the tacoma project , reported that all measures showed change towards ' 'safer'' injections and a substantial reduction in behavior with a risk of aids infection . in tacoma , dr . des jarlais said , sharing_needles , syringes and other equipment used in injecting drugs with a sexual partner or close friend declined from a mean of 64 times each month to 44 . sharing with casual friends declined from 48 times each month to 32 each month and renting used equipment dropped from 29 to 18 times each month and borrowing equipment declined from 31 to 24 times each month . dr . stephen c . joseph , the new york city health commissioner , said that his department had enrolled 150 drug addicts in an experimental needle exchange program . of the 150 , 51 percent were infected with the aids virus and 16 percent also had syphilis , a bacterial infection that can be spread through blood . but he did not describe other results of the pilot program . dr . joseph said the city health department would soon open additional sites . ''needle_exchange_programs are one useful way , but not the only way'' to combat the aids epidemic , he said .

lead an offering of a fund that invests in american ''junk_bonds'' attracted 277 million in subscriptions from japanese investors , considerably more than the 100 million that had been expected , a spokesman for salomon_brothers asia ltd said today . an offering of a fund that invests in american ''junk_bonds'' attracted 277 million in subscriptions from japanese investors , considerably more than the 100 million that had been expected , a spokesman for salomon_brothers asia ltd said today . the fund , which was offered by salomon_brothers between mid june and early september , is invested mainly in low rated united_states corporate bonds with maturities of around 10 years . japanese investors , particularly insurers and leasing companies , were attracted by yields of three or four percentage_points more than on treasury_securities with similar maturities , the spokesman said . finance new issues.

on the eve of the first meeting here of the new constitutional assembly , the major shiite and kurdish political_parties have yet to agree to form a coalition_government and will have to continue talks later in the week , senior officials on both sides said tuesday . nevertheless , the assembly is still expected to vote for a president and several other high ranking officials at its first meeting , on wednesday , iraqi officials said . the kurds and the shiites , the two blocs that won the most votes in the jan . 30 elections , have to resolve disputes on several major issues that are hindering moves toward an alliance , the officials from the two groups said . the two sides are deadlocked over conflicting visions of the future of the oil rich northern city of kirkuk and the status of the kurdish militia , among other things , the officials said . the wrangling is continuing into its seventh week after the elections , and there is evidence that it is deeply shaking the public 's trust . many iraqis defied insurgent threats to take part in the country 's first free elections in decades and now are expressing growing disillusionment with the top parties , accusing them of selfishly grabbing for power at the expense of the country . ''a state without a government is like sheep without a shepherd , and in such a situation the wolves can play very easily , '' said majida aziz , 40 , a teacher at a girls' high_school in western baghdad . ''not having a government is causing a great deal of harm to the iraqi people and to the interests of iraq . '' on wednesday , the 275 member assembly will try to take the first formal steps toward putting together a government , though it is unclear whether that will be enough to assuage the mounting concerns of iraqis . the assembly will most likely select jalal_talabani , a top kurdish leader , as the country 's president and a prominent sunni arab as one of the two vice_presidents , shiite and kurdish officials said . the other vice_presidency is expected to go to a shiite , possibly ayad_allawi , the interim prime_minister , said a shiite official familiar with the negotiations . the speaker of the assembly post is expected to go to fawaz al jarba , one of the few sunni arabs who joined the main shiite_bloc , the official said . a two thirds vote by the assembly is needed to install the president and the two vice_presidents , according to the transitional law approved last march . those three officials , who will constitute the presidency council , will have two weeks to decide on a prime_minister , who will be approved , along with the new cabinet , by majority_vote of the assembly . if the presidency council cannot settle on a prime_minister , then the assembly will appoint a prime_minister by a two thirds vote . many iraqi and american officials had hoped the shiites and kurds would be able to reach an accord and announce the formation of the entire top tier of a government complete with the presidency council , prime_minister and cabinet by the first meeting of the assembly , which is charged with drafting a permanent constitution by august . but the disagreements between the sides mean the government will have to be put together in steps , and any triumphal atmosphere at the assembly meeting will be dampened . there is also no guarantee that the assembly will elect a presidency council on wednesday , though iraqi and american officials put out a news release on tuesday saying that the assembly will vote people into those positions . the main shiite and kurdish blocs together control more than two thirds of the seats in the assembly , and so could vote in a presidency council on wednesday . but the council and the assembly could stall on appointing a prime_minister and cabinet until the two sides work out their differences . shiite and kurdish leaders say they have drafted a document that lays out the broad principles under which the new government would operate , though they are clashing over details . ''there is more common ground than differences , '' said safeen dizayee , a senior official with the kurdistan_democratic_party , one of the two main kurdish parties . but sometimes during the negotiations , he added , ''you take one step forward and then it 's two steps back . '' the senior shiite official said the two sides , despite their differences , had reached a tentative agreement on some cabinet positions . the shiite_bloc will most likely get the interior_ministry , the kurds will probably keep the foreign ministry , and a sunni arab will be put in charge of either the ministry of defense or the finance ministry , the official said . if the kurds and the shiites cannot reach a final agreement within a week , he said , then there is a chance that the shiites could change their prime_minister nominee in order to win the confidence of the secular kurds . the current nominee , ibrahim_al_jaafari , is a religious conservative . a possible alternative is adel_abdul_mahdi , a more secular shiite who is close to mr . talabani , the kurdish nominee for president , the shiite official said . as the talks continued , the sunni led insurgency kept up its campaign of attacks in the capital . two suicide car_bombs detonated in western baghdad on tuesday morning , killing four iraqi civilians and wounding three others , interior_ministry officials said . the bombs were aimed at an american convoy but missed their target , the officials said . abu_musab_al_zarqawi , the jordanian militant , claimed responsibility in an internet posting . the american military said a soldier on patrol was also killed tuesday morning by a car_bomb in baghdad . several other soldiers , iraqi civilians and an iraqi policeman were wounded , the military said . it was unclear whether this was the same attack that killed the four iraqi civilians . an american marine was killed in combat in anbar_province on monday , the military said tuesday . in najaf , the police chief , maj . gen . ghalib al jezaieri , said the police had arrested a man suspected of a car_bomb attack in august 2003 that killed a revered_shiite_cleric and at least 95 others . the suspect , ramzy hashem , is from mosul , general jezaieri said . the cleric , muhammad_bakr_al_hakim , was the head of the supreme council for the islamic_revolution in iraq , a powerful shiite party . the conflict in iraq politics.

tokyo stocks finished slightly higher today , but volume was the lowest since hitting a three year low on aug . 20 . trading was generally featureless , with the indexes ending mostly higher on the yen 's strength and on friday 's gains on wall_street . " the market started off really strong today , but the early morning rally lost steam because there was really very little out there to sustain buying , " said masahiko tsuyuzaki , chief trader at tachibana securities . the nikkei index of 225 issues finished up 190 . 34 points , or nearly eight tenths of a percent , to 24 , 385 . 33 , with 220 million shares trading . the index ended the morning session up 317 . 14 points , or 1.3 percent , to 24 , 512 . 13 . it fell 100 . 17 points on friday . morning turnover was 120 million shares , compared with 160 million on friday . the nikkei jumped up 380 . 38 points , to 24 , 575 . 37 , after about 30 minutes of trading . in the afternoon , it climbed to a high of slightly more than 1 percent before falling . brokers said more positive news , like gains by the yen or a positive turn in the middle_east crisis , would be needed to push the nikkei above the 24 , 500 level . " the nikkei is caught in a box of 1 , 000 points below or above this level , " toranobu sugai , a trader at lehman_brothers japan ltd . , said after the morning session ended . the market is going through a cooling off period after the nikkei rose more than 20 percent in october , brokers said . the index lost 810 . 65 points , or 3.2 percent , last week .

euro rises . the euro gained as slowing german inflation reinforced expectations that the european_central_bank will reduce interest rates . in new york , the euro settled at 87 . 64 cents , up from 86 . 96 cents on monday .

china 's most influential liberal newspaper found itself at odds with the ministry of propaganda once again this week and canceled plans to publish a major article about the misuse of funds at a large government backed charity , a reporter at the paper said this week . this week 's issue of southern weekend was to have carried a four and a half page expos about corruption at project hope , one of the country 's biggest charities , which provides financial assistance to poor children so that they may stay in school . the paper had begun printing the issue with the report when editors , under pressure from the ministry , decided to stop the presses and replace the article with another . although project hope is officially a nongovernmental organization , like all such groups in china it must have a government sponsor . project hope 's sponsor is the china youth development foundation , a subsidiary of the powerful communist youth league . for several weeks editors at southern weekend debated whether to run the article , knowing that its contents would be regarded as sensitive by some government officials . they decided to go ahead because there had been no specific instructions forbidding discussion of the percolating scandal , which has been widely reported in the hong_kong news_media in recent weeks . but editors reversed that decision on wednesday night , after the printing of this week 's newspaper started , because of new instructions from the ministry that proscribed any reporting about the scandal as well as new signals that the government was determined to stand behind the charity . that night , the china youth development foundation issued a statement calling charges against project hope ''a terrorist attack on the china youth development foundation by vicious criminals . '' it is not clear whether the editors received specific orders to stop the print run , although the reporter at the newspaper did not believe so . the article was replaced by one about a corrupt local official , and the paper was on sale as usual on thursday . although officially owned by the government , southern weekend is by far the largest and most influential chinese paper that consistently produces top flight investigative journalism . based in the freewheeling southern city of guangzhou , the paper deals with topics that most of the government press will not touch , from aids in rural china to the crushing tax burden on farmers . time and again , articles in the newspaper have drawn criticism from the powerful ministry of propaganda in beijing , and since 1999 several editors have been dismissed for overstepping the limits deemed acceptable by the ministry . specific directives from the ministry have become less common in recent years , editors say , making those limits hard to define . for example , editors have recently been reminded not to print stories that cause ' 'social instability'' or ''ideological confusion , '' but they are left to interpret those warnings on their own . southern weekend has far more leeway that most of china 's liberal leaning newspapers because it is owned by the influential guangdong provincial communist_party . its views are tolerated in part because as one of china 's best selling newspapers , it produces good revenues . the charges against project hope involve the illegal diversion of money donated to support childhood education into a variety of highly speculative investments . project hope receives large donations from american businesses and from chinese communities in the united_states . editors' note april 3 , 2002 , wednesday an article on march 24 reported a decision by china 's most influential liberal newspaper , southern weekend , to halt the publication of a report on the misuse of funds at a large government backed charity after pressure by the ministry of propaganda . while the charity , project hope , is officially nongovernmental , it must have a government sponsor , like all such groups in china . project hope 's sponsor is the china youth development foundation , a subsidiary of the communist youth league . the china based charity should not be confused with an american based one , project hope , with headquarters in washington , which also does charitable work in china .

soybean futures prices rose yesterday at the chicago_board_of_trade as a team of soviet grain buyers prepared to come to the united_states next week . renewed hopes of an emergency food deal with the soviet_union , and a report that brazil had reduced its planting by 15 percent , sent the prices of soybean futures up more than 11 cents a bushel in early trading . but some of the gains in soybean futures were eliminated later because of commercial selling . " there seems to be a consensus in the market that eventually the soviets and the u.s . will come to terms " on emergency aid , said joel karlin , a grain analyst in chicago with research department inc . the soviet team is expected to discuss export credits and their country 's long term grain agreement with the united_states . it was not clear how much attention would be given to the soviet_union 's food needs for this winter . corn up wheat mixed corn futures tagged along with the rise in soybeans , but wheat prices were mixed . corn was 1 cent to 2 3 4 cents higher , with december at 2 . 225 a bushel wheat settled 1 4 cent lower to 1 cent higher , with the contract for delivery in december at 2 . 4875 a bushel oats were 3 4 cent to 1 1 4 cents higher , with december at 1 . 085 a bushel , and soybeans were 3 to 4 3 4 cents higher , with january at 5 . 82 a bushel . cattle futures were higher , while pork declined on the chicago mercantile exchange . cattle got a lift from the futures market 's steep discount to cash prices and from stronger wholesale beef prices . expectations for lower cash hog prices on monday kept pork futures under pressure . live cattle settled 0 . 05 to 0 . 37 cent higher , with the december contract at 79 . 35 cents a pound feeder cattle were unchanged to 0 . 25 cent higher , with january delivery at 88 . 02 cents a pound live hogs were 0 . 20 cent lower to 0 . 20 cent higher , with december delivery at 53 . 45 cents a pound , and frozen pork bellies were 0 . 22 to 0 . 40 cent lower , with the february contract at 71 . 40 cents a pound . platinum futures advanced sharply on the new york mercantile exchange on word of mine layoffs in south_africa after months of labor unrest . platinum gained 13 . 70 to 14 . 10 an ounce , with january at 429 . 70 . futures options.

the newark school_district has known since last spring that it has a budget surplus of 43 . 9 million , its chief_financial_officer , joe cappello , said yesterday . but beverly hall , the state appointed acting schools superintendent , said that the district has to wait until an audit is completed next month before deciding how to spend the money . peter peretzman , a spokesman for the new jersey board of education , said the newark surplus is so big that it probably exceeds limits set by state law . in a related development , lawyers for the city 's former school board members said in an appeals court that the state had failed to give them a fair chance to defend themselves before their ouster , the associated press reported . new jersey daily briefing.

the showdown between a federal_judge and the press over the refusal to disclose a confidential source touched off modest protests by journalists at several newspapers , including the new york times , the star tribune in minneapolis and the denver post . some of the protesting journalists used the occasion to advocate a national shield law , like those in nearly every state , that might have protected judith_miller of the times , who was jailed , and matthew cooper of time , who said he would cooperate with a grand_jury investigation . while there was broad sentiment among her fellow practitioners that ms . miller was paying a steep penalty for her silence , reporters and editors were divided over the long term reverberations of her case and about what they would have done in her predicament , or mr . cooper 's . judge thomas f . hogan of federal district court in washington ordered ms . miller to jail yesterday because she has rebuffed a prosecutor 's insistence that she testify before a grand_jury investigating the public disclosure of the identity of a c.i.a . operative , which can be a crime . ms . miller never wrote about the operative , valerie_plame , but the syndicated columnist robert_novak did , two years ago as did mr . cooper , a short time thereafter and the prosecutor contends that ms . miller has information relevant to the case . thomas m . burton , a pulitzer_prize winning correspondent in the chicago bureau of the wall_street_journal , said he stood solidly behind ms . miller , particularly at a time when journalists have come under scrutiny about the degree to which they can be believed and their reliance on anonymous sources . ''the facts are complicated , but i have no doubt whatsoever that she is doing the right thing , '' mr . burton said . ''like so many of us , she needs to send a message to the public that many of us are willing to stand up and pay the ultimate price to make news reporting possible . '' not all journalists have applauded ms . miller for her hard line stance . col allan , editor in chief of the new york post , said in an interview yesterday that whatever principle ms . miller believed she was standing on had been taken from under her by the supreme_court , which refused to hear her appeal in the case . ''i can understand the concern journalists would have , '' mr . allan said . ''somebody has lost their liberty . and in the eyes of many , no crime has been committed . '' ''the problem is , however , that we here at the post believe that reporters are not above the law , '' he added . frank sesno , a special correspondent for cnn and former washington bureau chief for the network , said journalists should probably expect the case to affect their daily working lives though maybe not as profoundly as some have suggested . ''will it have a chilling_effect ? yes , '' said mr . sesno , whose network , like time , is owned by time warner . ''is it going to take anonymous sources out of our orbit and blast them into a distant galaxy ? no . '' mr . sesno said he was also mindful that the particulars of the case were rather narrow . ''this is not a pentagon papers case , '' he said . ''this is not the kind of case that , as a journalist , you 'd want to go down for the count on . '' a reporter jailed the reaction.

the canadian government is likely to appeal a united_states judge 's dismissal of a 1 billion lawsuit against r . j . reynolds_tobacco holdings for reportedly smuggling two billion cigarettes into canada between 1991 and 1994 to evade high taxes . in a decision made last week but released on tuesday , thomas mcavoy , a federal_judge in syracuse , said canada 's claim was not permissible under an 18th_century common_law that prohibits courts from collecting taxes owed in another country . but lawyers for canada noted that judge mcavoy also said he thought the law was outdated . timothy_pritchard ( nyt ) world business briefing americas.

lead a longtime aide to prime_minister noboru_takeshita committed_suicide this morning at his home in tokyo after disclosures that he had received gifts and loans from the company involved in japan 's influence_peddling and bribery scandal . a longtime aide to prime_minister noboru_takeshita committed_suicide this morning at his home in tokyo after disclosures that he had received gifts and loans from the company involved in japan 's influence_peddling and bribery scandal . the death of the aide , ihei aoki , a secretary to mr . takeshita , came a day after the prime_minister 's announcement of his intention to resign . it was the first such incident involving any of the more than 100 people whose names have been involved in the scandal . the police , in disclosing mr . aoki 's death this morning , gave no further details other than to say that he was found in his apartment in western tokyo , where he had hanged himself and slashed his wrists . the disclosure last weekend that mr . aoki had received a 400 , 000 loan from the recruit company , the concern at the heart of the scandal , was widely interpreted as the final blow contributing to mr . takeshita 's decision to resign , since earlier mr . takeshita had declared that all gifts to him and his associates had been disclosed . on tuesday , senior japanese officials and politicians said that mr . takeshita might have to remain in office several more weeks while leaders of his governing liberal democratic_party struggled to reach agreement on a choice for his successor . mr . takeshita began the selection process tuesday afternoon by conferring with three former prime_ministers and other top aides . despite the absence of a clear cut consensus on the succession , politicians said the leading popular choice for the next prime_minister continued to be masayoshi ito , a 75 year old former foreign_minister . mr . ito served for a month as a caretaker prime_minister in 1980 after the death of prime_minister masayoshi ohira . ''i would have no qualms about being chosen , but i think it 's a bit early for the press to jump to that assumption , '' mr . ito said at a news conference . he emphasized that mr . takeshita ought first to be permitted to win passage of japan 's 47 billion national budget before the selection process gets under way . the budget battle itself could last until the end of may . opposition_parties are continuing their boycott of the budget talks . other possible successors the prime_minister 's actions make it likely that japan will continue to be gripped by the effects of the scandal for many more weeks , preventing a restoration of stability to the government or political system . also being mentioned as possible successors to mr . takeshita were other party elders seen as untainted by the scandal , including shin_kanemaru , 74 , who has been mr . takeshita 's mentor in the party , and toshio komoto , 77 , a former minister who leads one of the liberal_democrats' smaller factions . mr . takeshita 's resignation announcement left several other issues unclear . among them are whether it will lead to any major changes in the system in which it is legal for businesses to give large contributions to politicians in japan . also unclear is whether the liberal democratic_party can turn around its poor standing before the next election , although most experts say its residual base among farmers , industrialists , shopkeepers and the rest of the middle_class is so strong that it has never been seriously threatened with being turned out of power altogether . elections this summer ? politicians said that among the decisions to be faced by mr . takeshita or his successor would be whether to dissolve the entire parliament , as some party leaders are advising , and hold new elections this summer . the constitution requires that there be an election for half of parliament 's upper_house , which is less powerful than the lower . some liberal democratic leaders have made it clear that they favor a full election once a successor is chosen . under this strategy , the successor would come forward with a sweeping package of changes to reduce the role of money in politics . the liberal democratic_party has dominated japan 's government since its inception in 1955 , at least partly because it is less a unified organization than a collection of powerful factions under the leadership of several strong personalities . the factions encompass a range of ideological views but are content to share in the patronage and perquisites of power . in the past , whenever a liberal democratic_party government dominated by one faction lost favor among the voters , there was always another faction prepared to take over and start afresh , keeping the party in power . a relatively weak opposition japan 's opposition_parties a weak collection of communists , socialists and a centrist group dominated by a buddhist sect have never mounted a serious drive to take power themselves , although they have vowed to stand together in the next elections . moreover , the opposition_parties continue to be badly split , with the centrist parties objecting to the left leaning japan_socialist_party 's call for an unarmed and neutral japan . this year , they have also had difficulty exploiting the influence_peddling scandal because several of their own leaders were reportedly involved . the initial consensus among political experts was that mr . takeshita 's resignation would make it possible for the liberal democratic_party to return itself to power once again in spite of the low ebb to which it has fallen . one recent poll showed that the current government commanded only a_4 percent voter approval rating . it appears likely that the party 's parliamentary margin could be sharply reduced in any elections , perhaps so much that it would be forced to govern in coalition with opposition groups . policies expected to stand most politicians and analysts also predicted that the party would retain its main economic and political approaches and policies , including the enforcement of a recently introduced 3 percent consumption_tax on goods and services . the tax has been extremely unpopular and probably contributed to mr . takeshita 's downfall . but some political leaders predicted that any new government would have less flexibility to deal with the united_states on trade issues . another uncertainty was the status of the criminal investigation into possible bribery charges against several leading politicians . an official close to the investigation said in an interview that the criminal investigation would be pursued vigorously despite mr . takeshita 's announcement . the scandal involves allegations of payoffs by recruit , an information services conglomerate that gave millions of dollars of contributions and cheap stock shares to dozens of politicians , bureaucrats and businessmen . fourteen civil_servants and businessmen have been arrested , but so far no politicians have been named . it was considered highly unusual for mr . takeshita to remain in office despite his status as a lame_duck . politicians said his decision , which was not opposed by other party leaders , suggested that he intended to remain a force in japanese politics even after his resignation takes effect .

in the first six days of war with iraq , the american and british armies have taken more than 3 , 500 prisoners of war , defense secretary donald h . rumsfeld said today . ''iraqi forces are capitulating by the hundreds , '' he said . ''the total now , as i understand it at least early this morning was something in excess of 3 , 500 iraqi prisoners of war and thousands more that have been part of units that have simply disbanded . '' it is not clear exactly where the prisoners are being held in temporary pens created by the advancing allied units , or in more centralized locations , according to military officials reached late tonight . but their treatment has become a matter of attention since iraqi national television showed graphic pictures of dead and captured american_soldiers on sunday . those pictures were picked up by the arabic_language cable station al_jazeera , and by other networks around the world . bush_administration officials accused the iraqi government of violating the geneva_convention , which says that the dignity of the prisoners should be respected and they should not be subject to public_humiliation . on the same day , the pentagon issued a statement asking that news organizations in the united_states and indeed elsewhere ''not air or publish recognizable images or audio recordings that identify p.o.w . 's . '' many american news outlets refrained from showing either film or still photographs of the dead and captured prisoners that day . however , on monday , some news outlets did print photographs of the two member crew of a downed american apache helicopter after the pentagon itself had confirmed their identity . the photographs were taken from film of the two shown on iraqi television . several american news_media have also printed pictures clearly showing the faces of unidentified iraqi prisoners . allied military officials in iraq say they take their duty to respect the rights of p.o.w . 's very seriously . col . chris vernon of the british_army said tonight that he has personally smacked the cameras from the hands of journalists who did not follow the rules . with many iraqis surrendering , allied soldiers sometimes find it difficult to know exactly who is a prisoner of war . human_rights_watch , the nongovernmental group based in new york , has issued guidelines as to who is entitled to p.o.w . status . they include members of the armed_forces , members of militia or similar forces who meet certain conditions , people accompanying the armed_forces without belonging to them , civilians taking up arms ''en_masse , '' and journalists . because allied forces say that iraqi irregular soldiers dressed as civilians have been faking surrender only to attack soldiers , allied military commanders have advised soldiers to act with more caution and suspicion . where to keep the prisoners is another challenge . reporters traveling with the military describe makeshift sites that are being used to hold a large number of prisoners until they can be moved farther south . the international committee for the red_cross , which traditionally handles prisoner issues in wartime , said its representatives hoped to visit with prisoners on both sides of the conflict soon . ''i think we will visit the ones held by the u.s . in the coming days , '' said christophe girod , head of the international committee of the red_cross for north_america . no date has been set for a visit to the prisoners held by the iraqis . the pentagon has listed seven american_soldiers as captured and another seven as missing . a nation at war captives.

with almost 40 percent of young workers skipping out on their social_security payments , japan started an advertising campaign featuring a popular actress , who sternly lectured subway riders ''so you do n't mind crying in the future ? pay now . or later , you do n't get paid . '' then , enterprising reporters discovered that the 20 something actress , a self employed worker , had neglected to pay into the national pension system for years . but as parliament prepares to vote thursday on legislation to increase pension contributions gradually by 35 percent , other enterprising reporters have uncovered that seven ministers , a third of prime_minister_junichiro_koizumi 's cabinet , also have neglected to pay into the national pension_plan . with the ministers of economy , of finance and of trade and industry on the list , the opposition thought it finally had an issue to take to voters in elections this summer . then , through more enterprising reporting , it was discovered that naoto kan , leader of the opposition , had neglected to pay into the plan for 10 months in 1996 , when , as health minister , he was in charge of the national pension system . ''this pathetic political theater leaves us more dumbfounded than angry , '' an editorial in asahi_shimbun stated . this liberal newspaper printed a cartoon showing a dozen bureaucrats cavorting on a double_decker wooden festival float , marked ''public pension system . '' as the four porters , labeled ''public , '' staggered bug eyed under this enormous weight , the bureaucrats did a fan dance , singing a jolly chorus ''trust us , trust us . '' but , according to a poll conducted in march by the mainichi newspaper , 81 percent of japanese respondents in their 20 's said they ' 'do n't trust'' the national pension system . for people in their 30 's , the figure was 74 percent . for all adults , the ' 'do n't trust'' group was 60 percent . ''those ministers not paying their premiums certainly exacerbated the already skeptical public view of the system , '' shingo hirata , a 21 year old economics student said here on wednesday . ''the existing system is not sustainable and drastic change is needed . '' yusuke tomofuji , a classmate agreed , saying ''honestly , i cannot trust the current pension system . i am sure that system will soon go bankrupt . it is almost unspoken common_sense , and this series of incidents showed that . '' the lack of trust derives from the widespread understanding that japan 's work force is already shrinking . at present , japan has one of the world 's lowest birth rates . on tuesday , the government 's statistics bureau announced that the number of children aged 15 or under had fallen by 200 , 000 over the last year , to 13 . 9 percent of the population , the lowest level on record . by contrast , the comparable american figure is 21 percent . in 1950 , when the national pension system started to take shape , 35 percent of japan 's population was 15 years or younger , and 4.9 percent of japanese were 65 or older . since 1970 , the number of workers supporting a pensioner has dropped from 8.5 to about 3.5 . if trends hold up , the elderly population will match the working population in 2044 , according to tadashi nakamae , president of nakamae international economic research . birthrates could stay low for years to come , as many japanese women are on a marriage strike . as of 2000 , 54 percent of japanese women in their late 20 's were single , more than double the 1980 level of 24 percent . the comparable rate in the united_states today is about 31 percent . in contrast to the united_states , japan has few births outside of marriage at last count , 99 percent of japanese babies were born in wedlock . without future workers in the pipeline , many young workers view the mandatory pension system as a one way intergenerational asset transfer . where will the money come from , they ask , to pay for their own retirements 40 years down the road ? the nikkei newspaper calculates a roughly 4 trillion gap between the government 's future pension obligations and its future contributions . with politicians determined to maintain a_level of government spending not related to tax receipts , japan is already the most indebted of the major industrialized_nations . taking one step , parliament is to approve in coming days the plan to raise premium payments gradually by about one third and to cut pension benefits by 15 percent . officials are also studying ways to simplify the system 's complicated rules , a trap that apparently caught many of the ministers . to keep the program solvent through 2012 , ''they are 85 percent there , '' robert a . feldman , chief economist for morgan_stanley japan , said wednesday . to keep japan 's pension system solvent and its living standards high , he said , the nation needs more immigration , more free_market economic policies and an annual rate of capital investment of 4.3 percent a year . but the problem will be daunting 20 years down the road , when japan shifts from the demographics of florida , to the demographics of a florida retirement_community . ''then , depreciation is the only way out , '' tony sorrenti , an international economist here , predicted on wednesday . with elderly voters displaying increasing political power , he said , politicians will be reluctant to cut benefits deeply or to raise retirement ages , or to increase premiums by 50 percent . instead , he predicted the inflation option will become more and more attractive , and government officials of the future will simply print money to meet obligations .

in the clinton_administration 's most vigorous defense of its russia policy since last week 's arrest of a c.i.a . agent on charges of spying for moscow , secretary of state warren_christopher told a congressional committee today that it was vital for washington to support economic_reform in russia . mr . christopher also rejected charges that the administration had backed the russian government too uncritically . he said the white_house would not shrink from differing with moscow when appropriate and warned russia not to intervene in neighboringcountries except as part of an international effort . " this winter has brought renewed fears about russia 's future , " he said , pointing to forces eager to block economic_reform and violate the independence of russia 's neighbors . " we know that russia ca n't overcome the soviet legacy in a year or any short period of time . we 've expected setbacks and i think we can expect more setbacks . " showing a more assertive attitude toward russia than in recent months , mr . christopher cautioned russia against military intervention over tensions in neighboring countries , although he acknowledged that moscow had legitimate concerns about the rights and security of 25 million ethnic_russians in those countries . " the point the united_states is making is that that should not be done unilaterally , it should be done in conjunction with international organizations , " he told the senate appropriations_subcommittee on foreign operations . mr . christopher asserted that washington 's cooperation with moscow is paying off , giving as an example his expectation that russia would soon remove its 12 , 500 troops from latvia and 300 from estonia . underlining the recent breakdown in a bipartisan approach toward russia , senator mitch_mcconnell of kentucky , the subcommittee 's ranking republican , said he was leaning against voting for economic aid to russia . he voiced concern about russia 's " neo imperial ambitions , " and said " i strongly oppose the 'russia first , yeltsin right or wrong' approach . " it would be counterproductive to cut off aid to russia , mr . christopher argued , saying that american aid was being channeled to activities , like privatization and entrepreneurship , that help insure russia 's transition to a market_economy . " if we disengage now , i think we 'd be hurting the friends of reform , not the enemies of reform , " he said . " we 'd be helping the forces who are opposed to our interests . "

of all the republican presidential_hopefuls peddling their views in iowa recently , gary_bauer has been the most inventive in waging his war against abortion . first , he offered his campaign donors a chance to visit the mccaughey septuplets , whose parents support mr . bauer and his platform . then , on saturday , he staged a media event in a des_moines cemetery where a local anti abortion group had provided a burial site in 1994 for a discarded fetus . the event , which drew about 30 shivering journalists and a few supporters , went slightly off course when the candidate had to acknowledge that this fetus had probably been stillborn , not aborted . but by camera time , mr . bauer had nimbly shifted his pitch , and with not so much as an ironic nod to the journalists trampling an infant graveyard , he lamented the ''coarsening of our culture'' in today 's america . if the battle for the ultraconservative christian vote in iowa is not always a pleasant sight , it is definitely a full scale political war . the born again voters in this state , variously labeled evangelicals or sometimes , less generously , the righteous wing of the republican_party , make up a startling 40 percent of those expected at tonight 's republican caucuses . so , while the media have been busy yawning about what looks like a ratification of both parties' front runners , these iowans know this is their last chance this season to stamp any potential president with their message . thus , they have pushed gov . george w . bush to clarify what had been an intentionally fuzzy stand on abortion . mr . bush , whose shift to the right could jeopardize support from moderates in a general_election , has now explained that he believes the supreme_court ' 'stepped across its bounds and usurped the right of legislatures'' when it legalized abortion . the same groups of evangelicals also pushed their candidates to pledge over the weekend to work against pornography and homosexuality . the iowa pledge for the presidential rally for family , faith and freedom created by several evangelical groups includes opposition to ' 'special legal protections based on sexual behavior or preference'' and a promise to help the boy_scouts ''abide by their own moral code . '' at a massive rally in des_moines saturday night , steve_forbes , alan keyes and mr . bauer signed the huge poster size pledge with a flourish so theatrical their signatures became more artful than legible . mr . bush declined by letter , explaining that he does not do pledges . bill horn , president of straight from the heart ministry , which helped organize the pledge , said mr . bush 's letter ''explained that he is against gay marriages and against pornography . '' while politicians normally try to avoid such divisive issues , in iowa these topics deliver energetic caucus voters . moreover , these voters are n't particularly open about their favorites . a des_moines register poll yesterday showed mr . bush far out front at 43 percent with mr . forbes trailing in second place with 20 percent of the vote . but polling for caucuses that often take over an hour is not the same as polling for pulling a lever . ''polling in iowa , especially on the republican side , is a dicey thing to do , '' explains hugh winebrenner , a drake university professor . ''the conservative christians are a huge force in this state , and while they do n't show up in the polls , they do show up at the caucuses . '' assessing the conservative christian bloc is especially difficult this year since ardent believers have so many suitors . if response at the saturday rally is any indicator , mr . keyes has strong emotional support , despite his polling_place at 8 percent of the vote . mr . keyes , who sounds like an old fashioned prophet of doom , warned about 1 , 200 listeners in the assembly of god amphitheater on saturday night against ''nice guys who equivocated on the issues . '' the reference seemed to be aimed at governor bush . still , mr . bush has his evangelical friends and a quiet , underground campaign to make certain christian groups know that he is a fervent believer . in iowa , robert cramer , a local republican_party activist , has been working the born again groups for mr . bush . ''this time i think the christian conservatives might split up a little differently , '' he says , because ''the so called establishment candidate is solid in his faith also . '' as if on cue , mr . bush , the establishment candidate , arrived at the assembly of god church for the 11 a.m . service , which featured a crowd of musicians who were clearly trying out for a possible bush inauguration . the question , of course , is how many of them will be at the caucuses voting for his competition . another question is whether mr . bush can scurry back to the center before election day .

lead this dairy farming and agricultural town dating from the 17th_century has annexed four farms totaling about 500 acres where development could triple the current population of 3 , 700 . this dairy farming and agricultural town dating from the 17th_century has annexed four farms totaling about 500 acres where development could triple the current population of 3 , 700 . ''we want to control our own destiny , '' said mayor kenneth branner , explaing the annexations . during delaware 's residential building spree of the 1980 's , middletown officials realized that they could be surrounded by unwanted development without getting the tax benefits . residential and commercial builders have increasingly sought development sites in the open area south of the chesapeake and delaware canal as land surrounding wilmington has become scarce . middletown is in southern new castle county , delaware 's northernmost county it is halfway between wilmington , the state 's largest city , and dover , the state capital . most of those who come to the area are young , two income families looking for affordable_housing , said mayor branner . they tend to commute to jobs in large corporations and banks north of the canal , near wilmington , or to dover , for state government jobs . the annexation will let developers build 1 , 215 new single family houses , 1 , 858 apartments and town houses , and 3.6 million square_feet of commercial space . an earlier rezoning in middletown allows for 813 mobile homes . single family houses in middletown are now priced as low as 70 , 000 , but some have risen to as much as 200 , 000 . if the farms had not been annexed , zoning for the projects would have been handled by new castle county council and the developments would not have had access to middletown 's sewer , water , electric and sanitation services . a landowner in this case , four farmers can petition for annexation , which must be approved by the town council . the land is still being farmed but at least three developers have contracts to buy the properties . the lower land in places around middletown is not always good for septic systems and wells , mayor branner said , adding that middletown is the only community in the county that can promise to provide sewage_treatment in the immediate future . the town can increase its sewage_treatment from a current usage of 350 , 000 gallons to 750 , 000 gallons daily . ''this new development will give us a base for taxes , '' mayor branner said . middletown has become popular with developers because they can avoid the new castle county rezoning or permit and approval process , which has become increasingly difficult and extended because of overdevelopment and opposition from community groups .

the european_commission gave the go ahead for a 1.4 billion euro ( 1 . 3 billion ) recapitalization of the italian airline alitalia . the commissioner for transport matters , loyola de palacio , said that although italy was financing 62 percent of the program , it did not constitute state aid because private investors were also taking part . the decision not to investigate the recapitalization comes shortly after the commission decided to investigate a public_sector loan of 19 . 5 million_euros to olympic airways of greece . paul_meller ( nyt )

the largest utility in britain utility , scottish_power p.l.c. , outlined a restructuring program that focused on expansion in the united_states , as it reported fourth_quarter profit that declined 15 percent , to 892 million , compared with 1 billion a year ago . profit was hurt by stricter regulation in britain , the volatile energy_market in the united_states and a breakdown at the company 's hunter power_station in utah . suzanne_kapner ( nyt )

todd m . rosenberg , the internet cartoonist who under the name of odd todd chronicles the life of the unemployed , has emerged victorious from his battle with the new york state_department of labor . the labor department administers the unemployment_insurance program , which in june 2001 began paying mr . rosenberg 405 a week after he lost his dot com job . unable to find a new position , he decided to keep busy by creating an internet site , oddtodd . com , that features his cartoons , fun facts , photos of kittens and his musings on topics like ''being the weird uncle . '' the site also suggested that fans donate a dollar to mr . rosenberg , who to his surprise has received thousands of dollars ( as well as donations of software , a leopard printed chair and ostrich jerky ) . he also received a notice from the labor department , which contended that his web_site was a revenue producing business . because a person cannot collect unemployment_benefits while running a business , the labor department demanded that he repay more than 2 , 000 of unemployment_benefits . mr . rosenberg 's brother daniel , a lawyer , helped him challenge that decision . and in a decision mr . rosenberg said he received yesterday , an administrative_law_judge ruled that mr . rosenberg , who stopped receiving benefits late last year , was entitled to the unemployment benefits he received . the web_site , the judge wrote , ''was simply a lark which turned into something lucrative . '' it seems to be getting more lucrative he is now selling enough ''laid off'' coffee cups and t shirts to cover his rent , mr . rosenberg said yesterday . he has done some freelance work , and hopes his cartooning will turn into a real job . in the meantime , he has created a new cartoon , he said , ''celebrating my one year anniversary of being unemployed . ''