European Stars and Stripes (Newspaper) - January 23, 1992, Darmstadt, Hesse                                Pago 18 a the stars and stripes thursday january 23, 1992money matters today s tip saudi Arabia following the Lead of other open member nations announced tuesday that it would Cut its Oil output by 100,000 barrels a Day. But prices on the Oil markets unimpressed by the size of the Cut continued to Tumble. The Price of crude Oil fell 42 cents tuesday to $18.47 a barrel on the new York mercantile Exchange. Oil traders and analysts described the saudi move As Only a Token Effort Given total saudi production of More than 8 million barrels a Day. They said the members of the organization of Petroleum exporting countries will have to consider More drastic cuts at the cartels meeting next month if they Are to halt the downward spiral. The Price of Oil has dropped nearly 24 percent from its recent Peak of $24.14 a barrel in october. Conversion rates London up1 wednesdays rates for the . Dollar to other currencies. Figures Are expressed in dollars to the British Pound other local currencies in dollars Gold was quoted at $356.85 an ounce Silver at $4.26. Jan. 21 Jan. 22 British Pound.1.8080 1.8067 German mart.1.5805 1.5875 French franc.5.4255 5.4065 dutch ouilder.1.7875 1.7890 belgian iranc.32.73 32.70 Kalian lira.1.197.95 1,193.00 Swiss franc.1.4090 1.4055 greek drachma.183.34 183.38 turkish lira.5,371.90 5.387.30 saudi arabian rtyal.3.7498 3.7501 Spanish peseta.100.18 100.20 portuguese escudo 136.77 136.75 Canadian dollar.1.1535 1.1537 austrian schilling.11.1620 11.1725 norwegian krone.6.2320 6.2320 danish krone.6.1530 6,1505 these Are commercial rates and can be related Only to the use of foreign currency by . Forces for official business. The Only official rate concerns the Sale of British pounds to . Personnel for personal Vise. Through thursday this will be $1.85 for a Pound based on a Price fixing wednesday afternoon at military banking facilities. New York Exchange new York up York Stock Exchange the 15 most Active stocks in new composite trading on tuesday. Stock silo Lail net on. Glaxo holdings 3.723.300 304k atm adv Micro docs 3,163,400 20 up 4k gun Oral motors 3,032,800 32 a Oft 1 it Cypress Selcon Wal Mart stores 2.943,300 13 7a off Vuk 2,798,900 54 Vuk off 1 Vejr Nabisco hid 2,612,700 10 Vuk off h Pfizer inc 2.217,000 73 to off 2 4k Citicorp Home depot inc 2,020,300 13 to off 4k 1,983,700 61 a off 3 Vuk genl electric 1,959,000 7b off 2 a at amp to company 1,319,000 40 off w Bristol Myersq Pepsico inc us Marathon 1,784,600 81 it off 2 Vuk 1.741,600 32 a off Vuk 1,597,100 24 up 4k Tel Fonos de my 1.560,400 49 i off 1 4k american Exchange new York american Stock Slock Wang labs inc 8 Americus desc us Bio science Amdahl corp Ich corp Enzry Bochem new York times Alza corp pm group web Conti air Hodgs a the ten most Active stocks in Ange composite trading tuesday. Salei Lail net chg. 1,157,700 34k up 4k 600,100 94k off 1 Vuk 566,200 33 Vuk off 4k 643.900 17 off 1 439.600 4 i up 4k off i 397,000 44k 385.400 27 Vuk off w 329,900 46 a a off Vuk 320,800 10 7k up Vuk 305.400 1 unch Dow Jones new York up Dow Jones dosing Range of Ivert Ges tuesday 30 industrials 20 transport 15 utilities 55 stocks High 327549 1413.68 21319 1183.04 Tow 3194.10 1378.74 210.32 1155.48 Cloae 3223.39 1391.07 212.19 1185 98 Chi of 30 of 20.36 of 007 of 11 40 aerospace firm announces $1 billion loss Job cutbacks new York a United technologies corp., the Nuge rocket and aircraft builder said tuesday that it will eliminate 13,900 jobs and take a $1 billion loss for the year As it moves to slash costs in the face of shrinking defense spending and the recession. The Job reductions Over the next four years amount to 7 percent of the aerospace company a worldwide work Force of 186,000. About 100 plants will be closed or consolidated reducing manufacturing capacity by 16 percent the company said. The move adds Utcy a name to the list of corporate giants a for example International business machines corp. And general motors corp. A that Are being streamlined. The annual loss recorded for 1991 will be Utcy a first in two decades. For the year Etc will record a loss of $1.02 billion or $8.91 a share its first since 1971, on revenues of $21.3 billion compared with earnings of $751 million or $5.91 a share on revenues of $21.8 billion in 1990. The moves Are aimed at meeting Utcy a announced goal of slashing operating costs by $1.1 billion or about 5 percent by x994 in response to the slow Economy . Defense budget cuts and increased Competition worldwide. Quot its a real Tough look at the realities of business in the �?T90s,�?� said Howard Rubel an aerospace analyst with . Lawrence inc. Like other defense contractors Etc faces the Prospect of sharply reduced revenues in the Post cold War Era. Over the last cutting work Force Here is a breakdown of Job cuts announced tuesday by United technologies corp a Pratt amp Whitney Jet engine division will Cut 5,096 jobs and reduce its manufacturing suppliers from approximately 500 to about 250. A Sikorsky helicopter division will Cut 209 jobs. A Hamilton Standard maker of aerospace systems including spacesuits will eliminate 950 jobs. A Norden maker of defense systems will consolidate manufacturing operations in Norwalk  eliminate 703 jobs. A Carrier producer of heating and air conditioning equipment will eliminate 1,525 jobs. A Otis elevators will eliminate 3,952 jobs a amps five years the company has worked to reduce its Reliance on defense spending. Its percentage of Revenue derived from defense contracts fell from 28 percent in 1986 to 18 percent in 1991, Etc spokesman Dan Harrison said. The recession has also affected the com Panyk a sales of Jet engines for the commercial airline Market building systems and automotive products. Sharply reduced airline travel accounted for a 25 percent drop in revenues for commercial Jet engine parts alone. Utcy a Job cuts also were prompted by production inefficiencies that have had Etc running to keep up with its competitors analysts said. Analysts Point to the Cost differential Between Pratt amp Whitney a subsidiary of Etc and general electric co., its main rival in the Jet engine business. Gets production costs Are generally considered to be 8 percent to 10 percent lower than Pratt amp Whitney a said Mark Bobbi an analyst with forecast International a Newtown  aerospace and defense consulting firm. A age is very Strong and they be had a Cost advantage a Bobbi said. A but cd a goal is to eliminate that by �?T95 and to become the Low Cost  about 25 percent to 30 percent of the 13,900 jobs to be eliminated Are expected to be Cut through direct layoffs said William Bucknall Utcy a vice president of human resources. He said the company expects the rest of the jobs to be eliminated through Severance and Early retirement programs. Approximately 1,700 workers have already accepted such programs As part of the restructuring. Last year Pratt amp Whitney Cut More than 2,400jobs. In addition approximately 300 of Utcy a 1,000 corporate employees accepted Early retirement packages. Stage set for showdown on financing tax package by the Washington Post Washington a As Congress and president Bush prepare for a major elec Tion year confrontation Over tax policy and other measures to Deal with the recession the average outsider looking in should keep several things in mind a the process is Likely to be one part smoke and mirrors one part political gamesmanship and one part hard nosed economic policy making. A any similarity Between what is proposed by the administration and members of Congress and what ultimately emerges will be strictly coincidental. A the Way in which Congress and the administration agree to pay for a tax package May prove to be More important in the Long run than the details of the program. Even before Bush has had a Chance to deliver his state of the Union message and 1993 budget proposal Congress is awash in dozens of detailed proposals for providing Middle income tax Relief and getting the Economy moving again. While some of those plans May become grist for a final Compromise others contain dubious financial projections on covering the Cost. Such plans have prompted prominent economists to warn that cuts might do More economic harm than Good by compounding the deficit and rekindling inflation. A i think most of them you la find wont be paid for a said Senate finance committee chairman Lloyd Bentsen a Texas. A they the proponents wont seriously try to pay for them and therefore they will never make the  at the heart of the debate lies the question of How to finance tax Relief for individuals and businesses in an Era of diminished resources soaring deficits and a 1990 budget agreement requiring that tax cuts be offset by an increase in Revenue or a reduction in spending. The proposals fall into several Broad categories including tax credits and tax rate reductions cuts in the capital gains tax lowering the social Security tax and once again opening up the tax benefits of individual retirement accounts to anyone with the Money to invest. The Cost of these plans ranges from $20 billion for a simple tax credit for children to $306 billion or More for comprehensive economic recovery plans. For comparison the administration is putting finishing touches on a plan that might Cost $50 billion Over five years. Most advocates propose paying for their tax plans with billions of dollars in savings from the defense budget a move that would require a change in the budget agreement. However officials in Washington Are divided Over whether to use the anticipated Quot peace dividend to pay for tax Relief and economic stimulants or to funnel the Money into traditional government programs and pork barrel projects. There is Little unanimity on the purpose and Likely Impact of the proposals for Middle class tax Relief. Some like Bentsen say it boils Down to the Issue of fairness that the Middle class has been ignored for too Long and deserves a break. Others like sen. Barbara a. Mikutsky d-md., believe even a modest tax Windfall for the Middle class would stimulate buying. However Many prominent economists have warned against a Middle class tax Cut. Weak recovery in 92 foreseen by the new York times Washington at the Start of a presidential election year in which the Economy is a Central Issue the congressional budget office predicted tuesday that the Economy would begin a weak recovery by the Middle of 1992. In a report to Congress the budget office said the recession was Likely to end within six months. But it offered no guidance As to whether president Bush and Congress would be Able to withstand the mounting political pressure for Steps to stimulate the Economy. The report said Federal spending will account for nearly 25 percent of the Gross National product this year the highest share since world War ii As the Federal budget deficit soars to a record of $352 billion. It foresees a growing Gap Between Federal spending and Revenue. Total Federal Revenue in 1992 will account for slightly less than 19 percent of the Gross National product it said. The budget office predicted the United states would begin to pull out of the recession in the second half of this year but said the Economy would grow Only 2.8 percent Between the final quarters of 1991 and 1992. A this lukewarm performance will Only gradually reduce the hardships that the recession has brought to Many parts of the country Quot it said. A the unemployment rate will remain High for some time averaging close to 7 percent in 1992.�?�