European Stars And Stripes (Newspaper) - February 2, 1987, Darmstadt, Hesse Pago a the stars and stripes monday. February a 1987 economic growth in . Declared most impressive new York. A the growth rate of he Economy jumped sharply in Jan uary with healthy increases in new or Ders and production and a Rise in exports Over imports a Trade group of corporate purchasing managers said the usual seasonal dip in Decem Ber we anticipated a better Economy in january but the magnitude of this improvement ii most impressive said Rob Ert j. Bretz chairman or the National association of purchasing management. Every month the association surveys executives in charge of purchasing materials and products at 250 Industrial turns. The group has about 30,000 members. The association said its composite Index comprising All its indicators jumped to a seasonally adjusted 55,8 percent in january from 50.4 percent in december. That was the highest Index recorded since july 1984, when i reached 56.1 percent. An Index above so percent generally signals the Economy is expanding the association says. The group said 37 percent of Purchas ing managers reported a Rise in production in january compared with 19 per cent in december. Twelve percent reported Tower Puipui Levels compared with 25 percent in december. N response to a special Survey Section on foreign Trade three fourths of the managers said their companies Export goods to foreign markets. Of those 40 percent reported a moderate improvement in Export orders Over the Pas two months and 4 percent reported sub Stantial Sains. Of the 78 percent of the companies that buy supplies from overseas 71 per cent said their purchases had not declined Over the previous two months while 21 percent reported moderate de creases and 8 percent reported substantial drops. In other areas surveyed inventories were higher in january after a lower than Normal seasonal decline in december. Nineteen percent of those surveyed reported higher inventories the most since May 1986, while 56 percent said their inventories were the same and 25 percent said they were lower. For the fifth month in a Row More purchasing managers said they were pay ing higher prices with 32 percent report ing higher costs 6 percent seeing Lowe costs and 62 percent reporting no change. Employment was reported higher i january by 13 percent of the purchasing managers lower by 20 percent and unchanged by 67 percent. A sore Eye for sight a Phou doctors Sahren no Tieb left nil Clam Fichte examine the left Eye of Sandy the Harbor Seal before a Cataract operation it the University of but lilo in Buffalo . Guidy is a popular per former at Ibe Niagara palls a Wirhun Cable to firms freed from rules raising rates Washington a unshackled from govern ment regulation barely a month ago Cable television companies have wasted no time raising rates for Basic service and repackaging the product they deliver to 42 million american Homes. Free now to set their own rates Cable operators across the United Stales Are trying a variety of strategies that generally include higher prices for the limited Basic serv ice lower Rales for Premium channels like Home Box office and the Disney Channel and elimination Ofchar Asfor second set hookups. The net effect in Many systems will be higher prices for customers receiving the lowest Range of services and sometimes lower prices for top of the Linc customers say Cable operators. The increases and programming changes that dropped some channels and replaced others Are an unwelcome Surprise to Many subscribers who have passed their complaints along to the Federal communications com Mission consumer Protection commissions and City councils. We Are seeing a number of complaints right now As Many subscribers find higher charges in their january Cable Bills said Stephen Ross chief of the fecs Cable to Section which will Monitor the Post deregulation changes in the Industry. But he noted in some cases people skills Are going though the changes appear abrupt to some subscribers Cable operators say their plans have been in the works far Many months in anticipation of the Jan. I deregulation. This has been in the offing for two having been written into the 1984 Cable communications policy act said James p. Mooney president of the National Cable television association. "1 think most of the operators have paid attention to what b the Price tolerance for the service and As of now it does t look like there s been any increase in the Norma number of disconnects. Until his year stale and local governments set rates for Basic Cable service which Many Cable operators complained were unreal Isu Cally Low. To compensate the operators usually inflated their Rales for the unregulated Premium channels and charged extra for services like second set hookups and Remote control devices. We lock deregulation As an Opportunity to get our prices in line said Stephen Kniffin president of mile i Cablevision in Denver our Premium services Are not going to be pressured upward by artificial rust Roi ills on the other Side of our is allowing mile i to drop its two lowest priced services. So to continue to receive Cable the 9,000customers who had subscribed to those services will have to pay More in some cases up to More than four limes More. But 45,000 customers that receive the system s top of inc Lac service will see their Bills Cut 11 a month to$13,95. Like mile i Many systems tried to minimize losses from Low priced Basic service by offering several Levels of service ranging from the Basic package required for Al subscribers id a High end package including All available channels. Now Many operators arc collapsing that Structure in favor of fewer simplified packages that can be expanded with Premium have had a hard time understanding the Cable menu said Steve tunic vice president of the National Cable television association. Now there is very Little reason to have a complicated think Cable companies realize that the ultimate regu Lator is the customer said Rick Demarco vice president and general manager of cd Noel Cable television of Ken Tucky and Indiana. They have o set their Rales at what is fair compensation for what they re people express dead but innovations live on Newark no. A people in press was one of America s most daring experiments in commercial aviation. On sunday it died the victim of competing airlines Money problems and its own ambition. Millions of americans saved Money by flying people express to . Cities London Brussels and Montreal. Some As Low As s19-, few were higher than j100. The airline built a Loyal innovative Shaft by training each person for several jobs and requiring every employee to buy Stock in the company. On Board services were few. Passen Gers had to pay for soft drinks. There was a charge for checking Luggage. But the people express Gamble was that the Low fares would draw passengers. The concept worked for six Yean. But late in 1986. The airline found itself on the Brink of bankruptcy. Starting this week it will be melded into another air line Continental air. What killed people. Express was hubris said John Pincavage an analyst with the Paine Webber investment misjudged How Complex an airline can people express simply outgrew itself undone by Over expansion and the very corporate Structure that made it unique analysts say. To the end it could not compete with the powerful established airlines once they wised up to its Low Cost philosophy. But the Carrier that pioneered no frills flying leaves a legacy of cheaper fares and revised labor relations in the Indus try. Founder Donald c. Burr chose As his Hub the under utilized Newark International Airport near new York City and began an aggressive program of aircraft purchases. People express offered fares Dis counted up to 60 percent. Though losing j9.2 million in 1981, the airline began carving its Niche with Young travellers recording 2.8 million passengers the next year. The Early years were a Lime of enthusiasm for employees of the airline where the slogan was attitude is As important As under its unorthodox Struc Ture everyone was a manager owned Stock and frequently switched position spending time in the air or on the ground. With the growing work Force con stantly changing jabs inexperience arid confusion caused delays cancellations and passenger complaints. Meanwhile airlines such its american and United began launching competitive supers Var fares. At ibis Point analysts said the com Pany would have done Best to Cut it losses change its Structure and live in its Low Cost Niche. Instead people express bought three airlines from october 1985 o january 1986 Denver based Frontier airlines Brill airways a Midwest regional Carrier and Provin Clown Boskin airline. Late lag year people express agreed to sell to Texas air for $100 million Les than an Eai i it offer to avoid bankruptcy proceedings. Texas air decided to merge people express with Continental. People express showed the bigger air lines they had to Cut overhead by giving employees Stock and profit sharing options. It also put passengers into the air who never would have flown taking bus riders out of their seats. It was a great Experiment Pinca Vii jct said
