CM 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 1 CENTIMETER = 0.3937 INCHES - 1 METER = 39.37 INCHES OR 3.28083 FEET OR 1.0936 YDS - 1 INCH = 2.54 CENTIMETERS - 1 DECIMETER = 3.937 IN. OR 0.328 FOOT 1 FOOT = 3.048 DECIMETERS - 1 YARD = 0.9144 METER MAVE The University Daily KANSAN Tuesday, January 20, 1981 Vol. 91, No. 77 USPS 650-640 University of Kansas Lawrence, Kansas U.S. hostages prepare to taste freedom Financial snag untied; next move up to Iran By United Press International The United States and Iran reached total agreement today on a deal to free the hostages in exchange for $9 billion in frozen Iranian assets and the Carter administration said all the funds had been transferred and the release should come without "undue delay." White House press secretary Jody Powell said that the Bank of England was completing its certification to the Bank of Algiers that the money in the escrow account, and that the only thing that remained at 7 a.m. EST was for the Algerian government to notify Iran. He said the notification "should be completed very shortly." "We have done everything that we have said we would do prior to the release of the hostages," Epstein said. He added that officials expected the 52 American hostages to be released by the fraternity in October. In Tehran, Iran's chief hostage negotiator, Bezhad Nabavi, confirmed the transfer of the funds, called it a "positive step," and said "now the hostages are ready to飞." "All preparations are made," he said. "And the hostages will go home to their families." An agreement on financial terms for the release of the hostages was announced by the White House on Wednesday. eight hours before President Carter was to turn eight the reins of government to Ronald Reagan The agreement broke a 24-hour impass. After transferring the assets—gold, securities and promissory notes—into an escrow account in London, Powell said, "This step completely fulfills all steps agreed to by the United States prior to the release of the hostages." From the London account, the funds would be placed into Iranian hands upon the departure of Mr. Razavi. Powell said the financial hitch that bedeviled the release of the hostages most of Monday dealt with how much interest was due on Iranian accounts in U.S. banks. "We had a different view of how to deal with it than they did," he said. Powell said the breakthrough came when the administration agreed early today to a new, last-ditch proposal by the British counsel of Iran's foreign minister that broke a 24-hour period of frustrated delays. "The president received word at 3:18 a.m. that the transfer authority instructions had been transmitted from Iran." Powell said. "That set of instructions is acceptable to the parties concerned." "The treasury secretary (G. William Miller), at 3:19 a.m., issued orders for the frozen Iranian assets to begin to move into the Federal Reserve." That was the first step toward placing them in an escrow account for the Iranians, Powell 88. Powell said the escrub agreement, signed by the United States and Iran early Monday, must be signed by representatives of the Federal Reserve Bank of New York and the Bank of England—all of whom are in Alers. "As soon as that's done, the money accumulated in the Federal Reserve can move into the escrrow account in the Bank of England, where he can use the name of the Central Bank of Algeria," he said. "I do not know of any other problems!" that would hold up release of the hostages. Powell and Ames are trying to find a solution. Powell, who stood by through the last night of the Carter administration, said, "the president was informed just a few minutes ago by (year) secretary (G. William) Miller all the funds accumulated from all the (U.S.) banks are now in the Federal Reserve in London." When the government of Algeria certifies that the money is being placed in the escrow account in the Bank of England, the hostages should be freed, Powell said. An Iranian government commune in Tehran said that the United States had agreed to its conditions for the release of the hostages, and that "a large portion of the Iranian assets contained therein in its subsidiary notes has been received by the Algerian Bank to be dispatched to Iran in due course." Pars later released a 1,000-word government statement that listed gains by Tehran in the hostage negotiations—an apparent announcement by an Iranian people that agreement had been reached. As two Algerian jets remained parked in Tehran to fly out the hostages, Powell announced that the United States had agreed to a proposal to allow Tehran to move its Central Bank to unspartal Monday's shang-up. The problem, over the amount of interest Iran's assets drew while frozen, prevented the opening of an account for Iran in London—a key part of the mechanism to exchange Iran's money for the 52 Americans. Without the escrow accrual, Iran would have lost the order to transfer the billions in Iranian assets. Earlier, Powell said the interest proposal may also be the last chance this administration buys. "Come 12 o'clock (non) and the hostages are not freed, then all bots are off," he said. Officials explained that moving the Iranian funds in the United States into the Federal Reserve places the money under direct control of the government and facilitates the international transfer. The snauf developed as the 52 hostages were being prepared for their flight home and shortly after they were checked by six Algerian doctors and pronounced in good health. On Monday, Iran delayed the freedom flight and made last-minute threats of "harsher decisions" against the hostages unless it received its $9 billion in frozen assets. Throughout the long day of soaring hopes and nagging delays, officials insisted procedures, not principles, were holding up the transfer of funds to the agency free the hostages in their 444th day of captivity. "It isn't a problem," said State Department spokesman John Trattner. "It's a process." But doubts arose when Iranian officials questioned an appendix to the main agreement and Iran's chief negotiator charged U.S. banks for violating the terms of additional terms. Officers denied the charges. The day wore on, killing any chance of Carter flying to West Germany to greet the hostages before his presidency ended. Trattner conceded earlier statements suggesting a quick release Monday reflected more hope than reality, given the financial and legal complexities. Carter spent his remaining hours in the White House monitoring the hostage crisis that had bedeveled him for the last 14 months, staying up all night as the give-and-take with Iranian authorities pushed the hostages into their 44th apartment, not showing his disappointment, one aide said. "We expected our commitments to be carried out sometime today." Trattner said Monday. "Of course, that was more of a hope than a real expectation." At noon EST Ronald Reagan becomes the 40th president of the United States. George Bush will In an unprecedented gesture to a retiring president, Reagan named Carter to be his vice president. Reagan released and sent to West Germany for medical examinations and debriefings. Carter told Reagan yesterday that he appreciated the opportunity and would go to West Germany when possible. Across the street in Blair House, Reagan spent his last night as a private citizen. It was believed that he was not informed of developments in the hostage situation until he awoke. Forer says U.S., Iran still differ on many points By LINDA ROSEWICZ Staff Reporter The nightmare of the hostage situation may be near an end, but many sleepless nights still lie ahead for State Department officials, according to Norman Forer, KU associate professor of social welfare, who negotiated unofficially on the hostages' behalf in Iran in December 1979. Forer said that despite the agreement reached on the hostages, U.S. political attitudes toward ISIS were on the rise. "The hostages are coming home and the Iranians are getting some money, but the political situation hasn't changed at all. Forer said that the United States would not interfere in the United States and Iran will still be there." FORER THRUST himself into the international spot light soon after the embassy takeover when he and Clarence Dillingham, former inker of national welfare, traveled to Tehran in December 1879 Their unsuccessful attempt to mediate the crisis led to another trip to Iran in February 1980. Forer and Muriel Paul, a Lawrence social worker, led a group of 49 Americans from the Committee for American-Iranian Crisis Resolution to meet with officials of the ruling Revolutionary Council and militant students holding the hostages. "Our trips to Iran may not have been instrumental in the ending of the situation, but we certainly did not harm things." Forer said. "I think this is a climate for a peaceful, negotiated settlement." ACCORDING TO Forer, the same type of agreement arrived at last weekend could have been reached more than a year ago. See FORER page 6 SCOTT HOOKER/Kensan staff Lawrence shoppers are finding that the shelves usually stocked with peanut butter are suddenly empty. A 1.7 billion ton shortage in the September 1980 peanut harvest caused the shortage. Sticky spread costs more than just peanuts By PAMHOWARD Staff Reporter Staff Reporter Grocery shelves full of peanut butter may become as rare as the smiling Jimmy Carter who brought the nation's attention to the Southern peanut crop four years ago. The scanty September 1980 peanut harvest left the nation 1.7 billion tons short of demand and grocers wondering whether the next warehouse shipment would meet customer demand. LARRYLENWETTER, assistant manager of Food 4 LESS, 2525 Iowa ST, said last week that he had seen people buying as many as four cases of food in one time. He cannot keep major brands in stock. "Tonight we'll get 10 to 12 cases and by 10 tomorrow night, it'll be gone," he said. "We're locked in. We get whatever the warehouse sends us." The shelves of Lawrence supermarkets show telltale signs of a growing peanut butter shortage and soaring prices. Many brands and sizes are available, but have been stocking up to ensure a future supply. Some peanut butter brands will soon disappear. Private labels such as Nu Made, Scotch Brand, Good Value, Rainbow and First Pick are good choices by the major peanut butter manufacturers. Leinetter said that each time he ordered 200 cases of peanut butter he received only 10 to 12 "They just don't have enough peanuts to FLEMING FOOD COMPANY, Kansas City, Mo., and Associated Grocers Inc., Kansas City, Kan., wholesale grocers who supply some marketable markets, are also experiencing serious shortage. supply their own label plus our own too," said an employee of Safeway, 1000 W 38rd St., who works for the company. Kurtzman said that because of retail allocation, imposed by the peanut butter manufacturers, his business had only enough peanut butter to supply stores with 54 jars of each major brand. The price for this limited supply increased 45 percent during the last four months. Bok Kurtzman, a buyer for Associated Catering (A.C.) and a supplier were using rationing. Catered callalocation allocation. Bill Weatherbees, grocery merchandising manager for Fleming Foods, said he did not have any special knowledge. "I think eventually the price will get so high that the public will back off and supply will catch in." HIGHER PRICES, which are being passed down from the top, are landing directly on the customers. For example, a 12-inch jar ofanut butter at Louisiana Streets, increase [грн] $4.90 to [грн]$6.90. Many foods that use the scarce legume as an ingredient are in short supply. "It's also about our mixed nuts," Steve Julian, assistant manager of Rusty's, said. "We can do it in a way that works." Wholeasians' inability to obtain large supplies of peanut butter also has affected students living in the region. THE RESIDENCE HALLS have been conserving peanut butter because the University was unable to get any wholesalers to bid on the peanut butter. The Peanut Board, Loren Ekdahl, director of food service, said. Rex Hartwig, Phillipsburg freshman, who lives in Olive Hill, said he had resorted to being drunk. Ekdahl said she expected food service to secure a peanut butter bid on the next basic foods. he said. Clarence Campbell, Kansas City, Kan. sophomore, has not resorted to buying peanut butter. He said that peanut butter was too expensive and that he was getting used to not eating it. "I went to the store and got some of my own," he said. JUST HOW LONG the country will be stuck with a peanut butter shortage is a matter for speculation. Kurtman, however, was able to put it into numbers. "I thank we'll see an end in a year and a half—after the next crop is harvested and processed." No matter how sticky the peanut butter crisis seems today, it is destined for a smooth future. Staff Reporter By REBECCA CHANEY "It happens all the time." Leinwert said for shortages. "Right now it's just peanut butter." Additional funds needed to cover wage increase Nearly 3,200 student hourly employees were affected by the 25-cent increase. Richard Steffel and Jennifer Tucker are the authors. The recent increase of the minimum wage from $3.10 to $3.35 has pinched the KU budget, and student workers face losing their jobs or having their hours cut, according to University Steffen said that because the increase was not budgeted for the current fiscal year, each department of the University was responsible for funding the wage increases of its own employees. "I hate to say it, but if a department can't come up with the money, it will have no other choice than to let student workers go." Steffen said. AN EMERGENCY request for $47,000 in general use funds to cover the increased wages has been submitted to the Kansas Legislature, according to Martin Jones, associate director of business affairs. So far, no additional funds have been received. "We will probably not know what action the legislature has taken until April," Jones said, "too late to do much about the situation this year." Jones said the effects of the budgetary squeeze would vary from department to department. the greatest problem will probably be within the library system because of the large number of student employees and the extended hours that the libraries are open," he said. LIBRARY OFFICIALS said it was too early to tell what the consequences might be if additional funding sources could not be found to pay for the wage increase. "We simply don't know yet," Pat Miller, student employment coordinator for the KU library system, said. "Our funding comes from the University and that's our only source." Student employment within the library system is now at an all-time low, Miller said, partly because for this semester has not been completed. The number of available employees will be determined by available funding. THE LIBRARIES, which typically employ about 200 students, now have a student staff of 150. Budget limitations also have forced some library departments to cut student hours in order to pay the increased wages of the students they do employ. "Students are not getting as many hours as in the past," Liz Davidson, Paola junior, said. "There's only one person here at the desk during the day instead of two." DAVIDSON. A circulation department employee, said he did not know of any students fled before being fired. Steffen said the budget problems were complicated by the 1980 Educational Amendment Act signed by President Carter Oct. 3. The act requires the University to pay work-study students in order to improve the period but eliminated the six-month improvement period universities had to put the more intense impact See LIBRARY page 5 Police identify body found on campus Police have positively identified the decomposed body of a woman, found last week on the West Campus, as that of Connie Jo Foster, 30, of Kansas City, Kan. Foster had served a prison term in the women's division of Lansing Penitentiary for the voluntary manslaughter of her husband, according to Mike Thomas, director of University Records. At the time of her death, in September, a warrant had been filed against her for narcoleptic violations. Thomas said that the cause of death had not been determined but that a homicide involved. Officials had been puzzled by a hole in the left temple of the body. A Lawrence pathologist who performed an autopsy said the hole was a defect in the skull. Thomas said Foster's medical records showed that she had undergone extensive neurosurgeery. Foster's next of kin, her mother, a son and two siblings, were notified of the identification number. Officials used medical and dental records to identify the body. A facial reconstruction, scheduled to be performed by an Oklahoma forensic specialist, was canceled after the woman was identified, said Mike Malone, Douglas County district attorney. It will be mostly cloudy today with a high around 42, according to the National Weather Service. Little or no precipitation is expected tomorrow through Friday. Winds will be northerly at 10-15 mph today. Tonight the lows will be in the 20s. The high tomorrow will be in the 40s.