European Stars and Stripes (Newspaper) - December 14, 1992, Darmstadt, Hesse                                Monday december 14, 1992today�?Ts rates i Money matters the stars and stripes a Page 17 a i following Are fixed rates at which Community banking and credit Union facilities will sell foreign currencies to . Personnel for personal use German mark.1.54 British Pound.1.59 dutch guilder.1.73 greek drachma .201.6788 note the rates above apply within the Host country. Figures Are expressed in dollars to the British Pound other currencies to the Dollar following Are Interbank rates that fluctuate and should be regarded As the approximate value of the . Dollar to foreign currencies italian lira. 1,402.20 turkish lira .8,299.80 Spanish peseta.112.97 portuguese escudo.141.96 austrian schilling.11.107 saudi rial.3.7494 Bahrain dinar.0.37675 Kuwait dinar.0.30 norwegian krone.6.85 danish krone.6.15 British Pound .1.56 German mark.1.5755 Swiss franc .1.4055 French franc.5.402 dutch guilder.1.7735 belgian franc.32.58 Canadian Dollar.1.2765 note figures Are expressed in dollars to the British Pound other currencies to the Dollar Gold quote $335.00 an ounce Silver quote $3.73 an ounce expert sees serious problem As pension fund losses jump state farm hikes loss estimates from Hurricane Bloomington 111. A state farm fire and casualty co. On Friday added $1.3 billion to its already huge loss estimates from Hurricane Andrew bringing the company a estimated loss for the storm to $3.4 billion. State farm was the second insurer this week to dramatically increase its loss estimates from the nations most costly catastrophe on record. Allstate raised its estimate on thursday to $2.5 billion from $1.73 billion. Before the revisions the insurance Industry had put a $10.7 billion Price tag on the smashed Homes businesses and other properties. The most costly catastrophe before Andrew hit Southern Florida and Louisiana in August was Hurricane Hugo in 1989, which caused $4.2 billion in damage in South Carolina. State farm said it revised its loss estimate for Andrew because of the increased number and Cost of claims. State farm said the number of residential and commercial claims has reached nearly 115,000, with hundreds of new claims filed each  Bank buys bankrupt Merit or Philadelphia up Mellon Bank n.a., the largest Bank in Pennsylvania Friday acquired Merit or savings Bank a 27 branches from the . Federal Deposit insurance corp. For $181 million after the government Agency seized the institution. Mellon a subsidiary of Mellon Bank lorp., assumed about $2.5 billion of Merit or savings assets and some $2.5 billion of its deposits. The Odic took Over the banking Chain late Friday. All 27 Merit or branches which operated Ander the name Philadelphia savings fund society will open today under Mellon ownership. Mellon said there would be no interruption in regular customer serv ice. Mellon Stock lost 37.5 cents to $48.25 a Hare on the new York Stock Exchange l rid a. Quot by David a. Vise the Washington Post Washington the shortfall in employee pension funds increased to More than $50 billion from $40 billion in the past year the head of the Federal Agency that insures pension funds said saturday. James b. Lockhart Iii executive director of the pension Benefit guaranty corp., called the Sharp Rise a a serious problem a that indicates the Federal pension insurance system needs major reforms to protect retirees and taxpayers. He said the Agency plans to announce the new figure this week after it completes other related calculations. The Federal pension insurance fund is made up of payments from companies with pension plans but if the fund ran out of Money taxpayers would make up the difference Lockhart said. The Agency insures employee pensions up to about $28,000 a year. More than 40 million employees have pensions covered by the Federal pension insurance fund. During president elect Clinton a meeting in Washington last week with House democrats rep. . Pickle d-tex., said Congress needed to act to prevent companies from making pension promises they cannot afford since the government insurance fund could end up paying for them. In Many cases companies operating under bankruptcy court Protection have increased pensions for employees rather than raising pay. The Man Euver helps retain workers and does no to Cost the Cash strapped companies any immediate funds. And management and Union leaders know the Federal pension insurance fund will pick up the Tab if the company does no to survive and can to meet its pension obligations. A if we done to do something the pension problem is going to be the next a amp a scandal a Pickle said he told Clinton and House democrats last week. Pickle said the president elect nodded and said this was a major question that should be addressed. Pickle chairman of the oversight subcommittee of the House ways and Means committee said he will hold hearings Early next year to examine the growing risk to retirees and taxpayers of pension funding gaps. A we have let these things get bigger and bigger and concerned ourselves with other matters a he said. A we have got to put a Stop to that. Ultimately the risk is to the taxpayers. The Congress must protect the retirement funds of  if we Don t do something the pension problem be going to be the next Sal  rep. . Pickle Pickle said he also would use the upcoming hearings to investigate a Deal the pm go made last week with Carl Icahn owner of trans world airlines inc. Twa has a pension funding shortfall that the pm go said exceeded $1 billion. Pm go officials warned Icahn this fall that he had to make a Bona fide offer to Deal with the shortfall or face Legal Steps that would a a bankrupt his companies and recover the funds. The pressure on the pm go mounted As iwas Cash dwindled and the pension Issue prevented the company from obtaining financing it needed to stay in business. After heavy lobbying by Twa management and employee groups of Congress the Secretary of labor and other Cabinet level officials who sit on the pig cd a Board of directors the pension Agency reached a Compromise with Icahn in which he agreed to guarantee about $200 million in payments to twas pension plans. Pm reportedly to sell Small cars in Japan under Deal with Toyota Detroit apr general motors corp. And Toyota motor co. Arc discussing plans for Toyota to begin Selling 50,000 pm built Small ears a year in Japan beginning in 1995, a Trade journal said. Wards automotive reports said in its dec. 14 edition the cars probably will be equipped with the steering wheel on the right Side because the japanese drive on the left Side of the Road. Spokesmen for pm and Toyota said they weren to aware of the journals report. The Deal would be significant because it would dramatically increase Gmys presence in the japanese Market where it sold Only 7,541 vehicles this year through october. For Toyota it could help ease Trade tensions created by its aggressive push to sell .-built and imported cars and trucks in the United states. The 50,000 pm cars would not significantly harm Toyota sales in its Home Market wards said. A i think its clearly a sign the japanese Auto companies Are really worried about the Specter of protectionist sentiment growing in Congress a Jack Kirnan an Auto Industry analyst with Salomon Brothers said saturday. A we have detected in the past few weeks almost paranoia among the japanese companies about the kind of action president elect Clinton might  increasing the sales of american cars in Japan was a major focus of president Bush a Trade Mission to Japan last january. Shortly before the trip major japanese automakers pledged to increase the Dollar value of Auto parts they buy from american companies. But the Trade trip brought Only a a. Have detected in the past few Weeke almost paranoia among the japanese companies about the kind of action president elect Clinton might  Jack Kirnan Auto Industry analyst vague statements from the japanese on increasing their purchases of vehicles. As much As three fourths of the $40 billion plus .-Japan Trade imbalance is in autos and Auto parts. Some believe the . Trade deficit with Japan could swell to $50 billion by the end of the year. The pm Toyota discussions As reported by wards would involve redesigned 1995 models of Gmys a cars currently the Pontiac sunbird and Chevrolet Cavalier. The cars for Export wards said will probably be built in Lansing Mich. Gmys reorganization and downsizing is leading to numerous manufacturing consolidations. The leading automaker recently said it was discussing work Rule changes with the United Auto workers Union that could bring new work to the Lansing Plant from Mexico where pm builds sunbird and Cavaliers for Export to Canada. It was unclear saturday whether the pm Law study in Lansing has anything to do with the pm Toyota discussions. It was also unknown whether the discussions will influence whether pm and Toyota continue their joint automating venture in Fremont calif., after its scheduled expiration in 1996. A i know nothing of the report. In be not heard that at All a John Pekarek a pm spokesman for International exports said saturday. A the Only thing we be said about right hand drive vehicles is that we plan to begin sending right hand drive Saturn to Japan sometime around the Middle of the  Ford motor co. Is hoping to increase its presence in Japan and possibly even build vehicles somewhere in Asia through its Strong ties with Mazda motor corp., of which it owns 25 percent. Rockwell try to build of s Brilliant eyes los Angeles up the air Force named Rockwell International corp. And try inc. As the winners of contracts Worth $489 million to design and demonstrate a space based surveillance system called Brilliant eyes. Rockwell a pact was for $265 million while to Rwy a was for $223.6 million an air Force spokesman said. Bids from teams headed by Lockheed corp. And Martin Marietta corp. Also were under consideration the spokesman said. Rockwell said work will begin later this month of the six year contract which includes launch and operation of two satellites and development of a supporting ground system. The Brilliant eyes system is designed to spot and track ballistic missiles after they have been launched As part of the strategic defense initiative and the air forces space come surveillance Mission. The air Force said that system also will be used to Monitor satellites in Low and High Earth orbit collecting data on targets and testing of ballistic missile defense systems. Try and Rockwell will be required to Fly two satellites each by fiscal year 1997. A a i hese Rockwell units have demonstrated strengths in major space surveillance systems electro optics and modern satellite production and test capabilities a said Sam Lacobellis Rockwell a chief operating officer