European Stars and Stripes (Newspaper) - August 5, 1990, Darmstadt, Hesse                                Sunday augusts 1990 the stars and stripes a Pago 13 a at a 1 i business news a a crisis to revive Dollar watch Randy Mcclain iraqi tanks Roll into Kuwait. Capital seized. The headlines around the world on Friday morning trumpeted news of a War in the Middle East and a blatant grab for control of Kuwait s Oil held by iraqi president Saddam Hussein. The United Stales has sent a Battle group to the persian Gulf to reinforce other . Ships already on patrol. And the Bush administration has said it could not Rule out military action by american troops in the Region. Oil prices have skyrocketed to nearly $24 per barrel and economists have warned of dire consequences for the Oil consuming world if prices Rise much higher. Under such extreme circumstances with the free world on military Alert and what one . Senator termed a a madman Quot no better than Hitler in control of much of the worlds Oil Supply you a expect the Dollar to shoot up dra magical Lynn value. Normally in times of world crisis investors turn to the Buck As the safest currency to hold. This Lime though the Dollar s gains appear to have been Short lived. A in a Normal scenario you d expect to Sec the Dollar move up by five pfennig against the Mark and three or four cents against the British Pound in a situation like this Quot said Andrew Dennis a currency analyst with Chase investment Bank in London. Instead the Dollar moved up roughly two pfennig in 24 hours against the Mark and then slipped Back to its previous and rather dismal level of 1,59 Marks against the German currency by Midas Mcmoon Friday. Against the British Pound the Buck improved slightly right after the iraqi invasion on thursday and then Slid Back As Well. The military Exchange Rale in Britain was set at $1.89 for a Pound for the weekend a gain of four a cols for Sterling compared with a week earlier. Dennis while warning that the situation in the persian Gulf is extremely volatile said the Dollar s erratic performance signals that foreign Exchange markets continue to be pessimistic about the direction of the . Economy. A the Outlook for the Dollar is still quite negative in the near term Quot he said Dennis said he expects the Buck to remain weak with its Only Chance for a another breath of air Quot coming with the outbreak of further military action or a wider War in the persian Gulf. Even with such a development though the Dollar might be hard pressed to make gains against the British Pound. Great Britain does no to rely on imported Oil As much As the United suites does and it might be somewhat insulated from problems in the Middle East he said. Dennis said the Pound could jump in value another four cents in the next three months and hit $1.93 on the world Market within a year a hat rate would push the military Exchange rate for americans living in England to $1.97 per Pound at Community banking facilities. Late Friday the military Exchange rate Lor . Service members in West Germany was set at 1.56 Marks Tor the weekend based on a Price icing in Frankfurt. Thai ties the lowest military Exchange Rale in German since the end of world War ii 45 Sears ago. Also of particular interest fridas was the release by the . Labor department of statistics showing unemployment in the states in july increased by three tenths of one percentage bomb that put the nations unemployment Rale at 5.5 percent the highest its been in two years. Non farm payrolls another key statistic plunged by 2 19, duo jobs in july the labor department said adding to concerns about a sagging Economy in America. Tie Ssofi and so Pes donations from corporations bolster i i itary fun d raisers by Gary Pomeroy staff writer As military budgets get tighter Noii appropriated fund activities Are turning to the previously untapped private sector for support. A this is something that should have been done 20 or 30 years ago a said Diana Fawcett the . Army a chief of marketing and advertising in Europe. In recent months the army has become More adept at grabbing a piece of the $2,5 billion pie that image-1 conscious corporations Back Home divvy up each year to sponsor sporting events the arts and other cultural endeavours. Over the past year the army in Europe has garnered roughly $300,000 in Cash and merchandise from a Host of private companies. All of it has been used to stage other on Post festivities to raise More Morricy for such morale welfare and recreation activities As sports leagues and theater troupes. Special events staged in West Germany with the help of corporations have been a Germait american Volks fast in Frankfurt a special olympics for handicapped children in Kaiserslautern and a Chili Cook Oft in Baum older Tiv name a few. Just one of those events the Frankfurt Volks fast produced Gross sales of food and beverages of More than $375,000, said Shirley Kappa a business development specialist with the Community. Kappa said overhead expenses will consume a big chunk of that Revenue but 22 army units from the Community arc still expected to net a total of $93,000 to fund future morale and recreation operations. A a it a Money we  otherwise have a she said. Its becoming commonplace for firms to donate products for giveaways at military events and to help it in other ways. For private companies the reason for donating is simple. Showing the corporate Flag at military fundraisers is a smart Way to promote new products win customers and demonstrate Good citizenship. The list of recent business sponsors reads like a who a who of corporate America in Europe big contributors have  amp to Miller brewing co., coca cola Twa american airlines and others. At amp to for example has donated Long distance Telephone Calls from Europe to the United states at various events. Other companies such As Miller brewing co. And Philip Morns have paid to promote their Beer and cigarettes at military gatherings taking advantage of the Nguc crowds that Many of the events draw v4 c  us a. Or Dick Roper Jack Rogers demonstrates some Fane footwork at the Jerman american festival in Frankfurt on the fourth of july. American airlines one of he event s sponsors donated round trip tickets to the United slates. Sas Gary Pomeroy corporate support enhanced the special olympics which Drew participants like Randall Pfeifer of Atter bar Rye a developmental preschool in Frankfurt West Germany. With him is his a coach Quot pvt. I Dwayne Hines of cob 302nd military intelligence in. In Frankfurt 700,000 people visited the recent Volks fast during a 10-Day period. Fawcett said those kinds of numbers catch the attention of companies interested in marketing products to american Consumers abroad. The corporate sponsorship game is a Good Deal for the military and private businesses alike she said. A a we re Selling something and the Vendor is Selling something a she said. Quot people talk about How at amp to gave us thousands of dollars. They did t give us anything. We earned it. We allowed them Access to the military Market and they paid for  Kappa said companies taking part in the Frankfurt fest were required to Pul up a minimum of $1,500 per night for sponsorship rights. The Money covered that nights musical guest in the main festival Lent and in return sponsors were allowed to Creel advertising banners and Hawk their products. Jose c Servo night for instance featured margaritas spiced with that Well known Brand of tequila. Camel night featured a race car simulator for visitors to sit in while cigarette girls in Golden jumpsuits peddled. L u a nolds tobacco co. Packages of camels manufactured by the , Rey some sponsors pitched in More than others to make the bulks list a Success. Coca cola donated 1,000 cases of soda. American airlines supplied 18 round trip tickets to the United states and Miller brewing co donated 180 cases of Beer the military Community could sell and keep the proceeds. Linda Goebel who works in the corporate sponsorship Field with Miller brewing said tie company gets a lot out of sponsoring military events. A we get people to try our Beer and it gives us recognition a she said. Dealing for corporate dollars has received a big Hosl from the army a leadership in the last 17 months. Before feb i 1989, the army  make the first move whim seeking corporate help. Military marketers had to Wail Lor Linns to approach Ihorn with oilers. Beginning m february 1989, Hough corporate sponsorship rules were loosened to allow the army to actually solicit donations. On june 15, the air Force in Europe initiated a similar corporate sponsorship program. Results so tar have been modest but an air i orce spokesman said the service has High Hopes of one Day Matching or surpassing the army a Success rate. I Blair marketers Are still prohibited from pursuing Beer liquor and tobacco companies because of department of Desense rules against Lamori action of such products. But Beer liquor and cigarette salespeople gel their loot in the military s door any was. It s permissible for the companies to submit continued on Page 14