Section B · Page 8
The University Daily Kansan
Friday, October 23, 1998
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make changes in its new-generation 737 jetliners following flight tests. Those problems cost Boeing billions of dollars, including a $1 billion after-tax charge taken in third-quarter 1997.
Boeing reports a rise in net earnings
Executives warn that Asia is still a factor
SEATTLE — Boeing Co., still wrestling with production problems and the impact of the Asian financial crisis, reported yesterday third-quarter net earnings of $347 million, compared with a loss a year earlier.
The Associated Press
Boeing is forecasting $56 billion in revenue and more than $1 billion in net earnings for 1998. Boeing Chairman Phil Condit said. Revenues should be about the same in 1999, but profits should be about $2 billion, he said.
happens in Asia, one of Boeing's primary sales areas, said Alan Mulally. Boeing Commercial Airplanes Group president.
Company executives warned that they expect to lose far more orders to airlines than previously forecast because of Asia's troubles. They did not release specific figures.
Boeing still plans to deliver 550 planes this year and 620 in 1999, but next year's figure could decline depending upon what
Boeing said its sales improved during the quarter ended Sept. 30 because it delivered more aircraft than in the third quarter of 1997. But it said price pressures had kept its profit margins in check.
The company's earnings translated to 36 cents per diluted share and compared with a loss of $696 million or 72 cents per diluted share a year ago when the brunt of the production difficulties hit.
Boeing has been trying to more than double aircraft production, but ran into problems last year with snarled assembly lines, parts shortages and the need to
Some planes now coming off assembly lines also will go into storage. Mulally said in a teleconference with reporters. But he said the overall number of undelivered planes should be reduced by the end of the year.
Revenues for the quarter were $12.7 billion, up 12 percent from $11.4 billion a year ago.
Making 550 deliveries by year's end includes delivering at least some of the 34 jets now being stored because Asian airlines are having troubles or customers are trying to arrange financing.
Earnings for the quarter included recognition of tax benefits related to previous years' research and development tax credits worth $57 million or 6
During the quarter, Boeing delivered 123 commercial jets, up from 89 a year ago. As of the end of September, Boeing had delivered 368 planes.
cents a share.
He warned that the economic situation in Asia still poses a significant risk to Boeing for the next several years. Boeing already plans to reduce its 747 jumbo jet production rate from five jets to three-and-a half planes a month by the middle of next year, and Condit has said the rate may go lower if Asian conditions don't improve.
House lawyers will not discard Starr's evidence
The Associated Press
WASHINGTON — The House's top GOP impeachment lawyers bluntly told White House attorneys they have no intention of discarding any of the core evidence submitted by Independent Counsel Kenneth Starr.
That message was delivered Wednesday during a meeting at which White House lawyers complained they were unable to find out what charges President Clinton may face.
The first closed-door session between the lawyers and House Judiciary Committee attorneys regarding the impeachment inquiry was described as a cordial meeting that did little to force any cooperative agreements.
The session was followed by harsh public comments by a White House lawyer and a representative for committee Republicans.
Paul McNulty, the Republican representative, said the White House should concentrate on cooperating with Republicans to expedite the inquiry rather than posturing about the fairness issue.
"Now, the allegations against the president are very serious," he said. "The charges, if true, would constitute an attack on the constitutional system of government."
The committee is expected to begin hearings after the Nov. 3 congressional elections. Its chairman, Rep. Henry Hydie, R-III., has said he would like to finish by year's end.
Inside the Judiciary Committee meeting room Wednesday, White House lawyer pointed out that chief Republican investigator David Schippers enumerated 15 grounds for potential impeachment.
Starr complied 11 possible grounds in his referral to the House last month, and Hyde spoke of streamlining the investigation to package the allegations differently, the Clinton attorneys said. None of Schippers' grounds for possible impeachment need be accepted by the Judiciary Committee, which started fresh once the House authorized an impeachment inquiry this month.
Republican lawyer Thomas Mooney and Schippers told the White House attorneys they should not interpret anything Hyde said about streamlining. Core issues would be taken off the table.
Both Starr and Schippers found that Clinton may have obstructed justice, tampered with witnesses and lied under oath in trying to conceal his admittedly inappropriate relationship with Monica Lewinsky, a former White House intern.
FCC Chairman Bill Kennerd said that police would have no access to locations without a court order.
The location proposal is part of a larger plan to implement a 1994 law that requires telecommunication companies to make changes in their networks so police are able to carry out court-ordered wires taps in a world of digital technology.
for the FBI and invade Americans' privacy. I don't believe that will be the case," Kennard said.
"We think this is a positive step forward," said Stephen Colgate, the Justice Department's assistant attorney general for administration. "In many kidnapping cases, it would have been very helpful to have location information."
With a court order, police already can listen to cellular phone conversations.
But not every company has the technical ability to provide a caller's location. This proposal, if adopted, would set up a nationwide requirement for companies.
"A lot of people are saying the FCC will turn mobile phones into tracking devices
With about 66 million cellular phone customers, police want the authority to legally tap cellular phones to track down drug dealers, terrorists and kidnappers. But
The legal standard for obtaining a location is lower than the standard for a wiretap.
Under the proposal, police only would need to show that the location is relevant to an investigation. Privacy groups say the government then could easily track the movements not only of a suspect but also of associates, friends or relatives.
This proposal aims to help law enforcers keep pace with technology.
some groups worry that such a practice could violate privacy.
The Federal Communications Commission without dissent proposed yesterday that cellular phone companies make technical changes so the FBI and the police can locate a person talking on a mobile phone.
Technical improvements proposed to let FBI find mobile phone users
WASHINGTON — Law enforcement officials say they need to know where suspected criminals are when they make cellular telephone calls. Federal regulators are proposing to give them the capability to find out.
The Associated Press
The deployment came a day after Zimbabwe joined two other South African countries, Namibia and Angola, in announcing plans for a major offensive in eastern Congo. To date, their forces were concentrated in western Congo, where they fended off a rebel advance in August.
HARARE, Zimbabwe — Soldiers, armored personnel carriers and artillery pieces left Zimbabwe's capital yesterday, apparently headed to Congo for an assault on rebels in the country's eastern jungles.
Zimbabwe dispatches troops to Congo
The Associated Press
The joint military campaign in the east threatens a major escalation of a conflict in which two
Fighting in steamy, insect-infested jungles familiar to the rebels could be difficult.
other countries in the region also are embroiled. Rwanda and Uganda both reportedly back the rebels who are trying to topple Congo President Laurent Kabila.
Quintana said the troops also will have to contend with extended supply lines to their bases in the west.
Low cloud cover and tropical rainfall also would curtail the allies' advantage of air power, said Harare-based defense analyst Michael Quintana.
Residents on the main route to Harare's Manyman military airbase reported seeing convoys of
troops, munitions,
armored cars and trucks
towing artillery headed
toward the base today.
There was no official word on how many reinforcements were on their way to join about 3,000 Zimbabwe troops already in the Congo.
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