The Los Angeles Times from Los Angeles, California • Page 314

I ANIIKI.KS TIMl-S Siyl'UIDAY. MAY 25. IWO D5 ECONOMY: Growth Estimate Reduced Agency Adds Twist to a Movie Deal have FDA approval Photoplex, from Herbert Laboratories, the dermatology division of Allergan, Inc. Instead of waiting for the general rules to come out, Herbert Laboratories filed a separate new-drug application for Pholoplcx's UVA-screening ingredient. It was approved.

The company will aim its marketing at doctors and pharmacists. There's also new disagreement about the optimal SPF. Sunscreen marketers, naturally assuming that if 15 is good, 30 or 50 is better, rushed into what detractors call an SPF "horsepower race" or "numbers game." But there's some question now whether an SPF above 15 adds much extra UVB screening. 0.2 during the first quarter after rising 2.8 in the October-December quarter of 1989. Profits from current production rose 0.7, after a 3.2 decline, while cash flow from current production fell 2.3, after a 0.3 decline.

The figures reflected general economic sluggishness and underscored the slow growth and inventory liquidation noted in the GNP report. CONSUMER: The Hunt for a Suntan Lotion Continued from Dl appropriate tests for their effectiveness, and spelled out permissible labeling. Alas, times change. Ultraviolet A rays, believed not to cause burns, turn out to be a problem as well, particularly in increasing the risk of cancer: "It's clear UVA has several roles, but exactly how it acts is unknown," says Los Angeles dermatologist Anita Highton, director of UCLA's Dermatology and Phototherapy Center. No matter.

Sunscreens have begun to advertise UVA blocking, including, say FDA warnings, misleading "numerical claims similar to SPF factors." Some advertise "broad spectrum" protection, implying protection that covers the full range of UVB and extends into the UVA range. As it happens, the FDA hasn't yet produced its sunscreen rule, a mere dozen years having passed since it was said to be coming. The agency will therefore add UVA to the consideration, rushing through a "tentative final monograph," or proposed rule, by the end of this year, and anticipating a final final monograph by 1994. Meantime, the FDA handles current claims and advertising with advisory letters saying that a company can advertise UVA protection if its product tests effective up to a given UVA wavelength. However, there are as yet no FDA-certified testing procedures for UVA sunscreens, so all such claims arc "unsubstantiated" and "unacceptable." As if the issue weren't confused enough, there are added complications.

For starters, there is one product whose manufacturer has made UVA-protection claims that Continued from Dl inventory liquidation that suggests a considerable rebound in the second quarter mostly from inventory rebuilding." Virtually all of the downward revision in GNP was the result of a decline in business inventories, as manufacturers shut down production to offset sluggish sales. Retail inventories plunged at an annual rate of $26.6 billion in inflation-adjusted 1982 dollars, with the troubled auto industry alone accounting for $23.2 billion of that. Economists agreed that the inventory reduction should be followed by stronger growth later this year to bring supplies more in balance with demand, both in domestic markets and overseas. "Inventory is the key here," said Cynthia Latta of Data Resources Inc. in Lexington, Mass.

"There was a much bigger runoff reported this time than the first time around, and that should be good for production in the second and third quarters. Since there are fewer goods on the shelves than we supposed, there is going to have to be more current production." The consensus among economists is that demand will remain fairly steady, with economic growth following a sluggish but steady path in the 2 to 2.5 range. "Inventory pullbacks like this almost never come before a recession, which is usually signaled by the opposite an inventory overhang," observed Giulio Martini, an economist with Sanford C. Bernstein Co. in New York.

"But it's also rare to see inventory liquidations like this late in an economic expansion," he added. "Normally you get it during the first quarter of a recovery, when a big burst of demand draws them down." U.S. exports increased at an annual rate of 7.7, or $11.3 billion in 1982 dollars, compared to an original first-quarter estimate of 0.9, or $1.4 billion. Imports increased 2.7, or $4.4 billion, compared to a previously estimated decline of 2.8, or $4.6 billion. The net result was an improvement in the nation's trade balance of $6.8 billion, compared to the SG-billion gain estimated earlier.

Economists mostly shrugged off the inflation figure. Significant inflation in goods has been evident from the beginning of the year. Most of it has been attributed to weather-related factors, primarily higher fuel and food prices, which have since begun to reverse. In a companion report issued Thursday, the Commerce Department said that after-tax profits of U.S. corporations increased only SMALL: First Aid Continued from D3 Sacramento: (916) 920-6131 Fresno: (209) 454-1295.

Job-Safety Issues Spawn Franchises The growing concern for workplace safety prompted businessman Donald Stern to create a franchised first-aid and safety-products business. 02 Emergency Medical Care Service in West Bloomfield, is registered to sell franchises in 41 states. "This kind of business can be worked out of your home, or in an office of about 300 square feet," said Stern, who previously owned a home health-care business. He said the start-up cost is about $37,000. Few employees are required because franchise holders contract with local paramedics and nurses to teach safety and emergency first-aid classes.

For information contact: 02 Emergency Medical Care Service Corp. 5829 W. Maple Rd. Suite 123, W. Bloomfield, Mich.

48322 Keeping Minutes Up to the Minute Is your corporate minute book up to date? If it's not, the corporate veil can be pierced and you can be held personally liable for the debts and actions of your corporation. Meantime, the FDA handles current claims and advertising with advisory letters saying that a company can advertise UVA protection if its product tests effective up to a given UVA wavelength. There also is a fear that it encourages people to linger in the sun, thus exposing themselves to more UVA, infrared rays and whatever else is next found harmful. Moreover, even if a higher SPF further protects the skin from sun, it also irritates it more with chemicals. Finally, several ingredients are already revealed to be serious allergens and one a possible carcinogen.

Those not currently suspect may surface some years hence as causing bladder cancer in rats. It's that kind of product. Let's get real. These are only sunburn lotions, for most people purely recreational aids, and scarcely the only protection available. There are also hats, close-weave T-shirts, loose pants.

"If someone's extremely sensitive and burns immediately," says Highton, "they should avoid the sun instead of trying to increase the amount of time they can stay in it." Everyone else awaiting the definitive word can just go for a high number and a nice smell. Ruth Lewis, staff attorney for Corporate Minute Book Services in Agoura Hills, says it is important to keep your meeting minutes current. Her company will send you a free Corporate Update Checklist, if you send a stamped, self-addressed envelope to: CMBS, 28038 Dorothy Drive, Suite 5, Agoura Hills, Calif. 91301. Minority Hopefuls for RTC, Take Note Minority professionals interested in working for the Resolution Trust Corp.

can find out about the jobs available at a seminar set for May 31. The session is sponsored by the Thrift Bailout Minority Contractors Assn. It runs from 5:30 to 8 p.m. at the Hyatt Hotel, 6225 W. Century Los Angeles.

The cost is $50 in advance and $75 at the door. Call (213) 930-2208. Retired Executives on International Trade The Service Corps of Retired Executives is sponsoring a workshop on international trade on May 30. The session will deal with the challenges and opportunities of selling abroad. It runs from 9:30 a.m.

to 11:30 a.m. at the SBA office, 330 N. Brand Blvd. in Glendale. The cost is $10, payable at the door.

SCORE provides free business counseling to any small-business owner. Call (213) 894-3016. CHECK STORES FOR DETAILS SEC M0BLIE CELLULAR CAR PHONE 16 Digit LCD Display liUYNWifAYLATHll UHIJUUHLIUUK -J IFBMSE MB MDNIUnnE By ALAN CITRON 1 1 WES STAFF WRITER In a bizarre twist on Hollywood's tradition of hard-nosed deal making, a major talent agency on Thursday claimed credit for driving down the price paid to one of its top clients. Creative Artists Agency, bucking current trends, said it discouraged a bidding war over the screen rights to author Michael Crichton's upcoming science fiction thriller "Jurassic Park" in order to exert more control over the project. The novel still fetched a handsome $1.5 million from Universal Pictures in a deal that guarantees director Steven Spielberg's participation.

Crichton will also receive to write the screenplay and a percentage of the film's profits. But CAA said it could have gotten more. "There were a large number of studios and directors interested," said Robert Bookman, Crichton's agent. "But we wanted to put Michael in a situation where he could choose from among competing directors rather than competing studios. And a bidding war means you have to take the highest bid." Others who tried to acquire the film rights to Crichton's soon-to-be-published book about the havoc that results from the genetic re-creation of dinosaurs confirmed that the manuscript alone could have commanded $2 million.

Tri-Star Pictures Chairman Mike Medavoy, one of those interested in the manuscript, said. he viewed Crichton's book as a top prospect. "I think it's true" that they could have gotten more for the novel, Medavoy said. "Maybe not a lot more, but more. There was a lot of interest.

We're sorry we missed it." CAA's strategy in selling "Jurassic Park" is not unprecedented, especially when a specific author wants to work with a specific filmmaker. Even writer Shane Black, whose "The Last Boy Scout" fetched $1.75 million in a bidding war that sent shock waves through Hollywood, rejected a slightly higher bid in order to chose his studio. CAA has traditionally discouraged its clients from engaging in such bidding wars, believing that they are bad for business and for their clients' long-term careers. But those familiar with movie rights fees for books said Crichton's deal still ranks as one of Hollywood's sweetest. International Creative Management agent Jeff Berg negotiated an unprecedented $2-miIlion deal for client Peter Benchley's "The Island" in 1978, but most top books fetch less, even today.

Sources close to Crichton's deal said the best-selling author and occasional director, who is known for such spine-tingling works as "The Andromeda Strain" and "The Terminal Man," helped determine how "Jurassic Park" would be peddled. Crichton's primary interest was in finding a director who could "execute his vision," one source near the deal explained. CAA offered Crichton's manuscript, which will be published by Alfred A. Knopf Inc. in October, to its usual list of major clients on Monday, according to sources.

The first offer was about $500,000, but CAA set a target price of $1.5 million, based on what other major books have fetched in recent years and on Crichton's expectations. In exchange for meeting its price, CAA promised that it would not "shop around" competing offers and encourage a bidding war. With the exception of Tri-Star, the studios in final competition for "Jurassic Park," refused to comment on the sale. One leading Hollywood executive, who1 asked not to be identified, said he found it unusual that the agency was publicizing such a deal. But he added that it may reflect a growing backlash against out-of-control costs that have concerned many Hollywood executives.

VOLVO TENNIS Cos UNOCAL CROSS 1 1 1 1 1 1 1 1 nrr I 23JTC-3 CENTURY CBJJJUUI NO ADDITIONAL MONTHLY SURCHARGES jsjggte0 SM'm MlWffllftilDQ ffffflRii'AviiiirtffiTn Jti TRANSPORTABLE MOBILE CELLULAR Small Wineries Beat Giants, Kill Marketing Panel By DAN BERGER TIMES WINE WRITER California's small, premium wineries won a major victory over industry giants Thursday by voting the California Wine Commission out of existence. The commission is the major marketing tool of the state's $6-billion wine industry. The members' vote was 125-111 against retaining the commission for five more years. In a separate vote, wineries representing 88.5 of the grape tonnage crushed in 1989 voted to keep the commission. But a majority vote was needed in both ballots to keep the commission going.

Bill Maclver of Matanzas Creek Winery, who helped spearhead a massive mail campaign against the commission, said commissioners previously were elected by a formula that allowed the state's largest wineries to dominate the commission." He said that, under his plan, "half of the commissioners would be elected on the basis of one winery, one vote." One of the small wineries' major complaints was that $7 million of the commission budget last year went to the Wine Institute, a private trade organization. "And the small wineries didn't have a voice in how the money was being spent or in Wine Institute," said one vintner. San Diego's (SEEP Perspective Cos Atifleles SRtnes San Dieco County Edition July 28 August 5 World's Top Players expected to compete: -Stefan Edbcrg -Michael Chang -Aaron Krickslcin -Pclc Sampras. and more! LA Tennis Center UCLA Thrifty Corporation Stadium MAY COMPANY MUSIC PLUS (213) 480-3232 (714) 740-2000 (005) 503-6700 -(619) 27B-TIXS Ticket Information (213) 208-0730 Atujelee itnes luc I ED 832 Channels) ttfcfcfcW Hands Free Operation CAR PHONE 10 Number Memory Dual Nam 832 Channels IndividualCumulative Timer 10 MEMORY "Pi lmbi CELLULAR TELEPHONE Carrying Bag Includes Antenna Extended Spectrum 50 Memory HANDS IHEE 90 MEMORY www ri (MOST 00 END USER ONLY IklCTAI I HO I WAMTrMMA' 4 I Ml STOM i i lOH KTAUSl 1 LIMIT 1 PER I CUSTOMER fouoemiuI LIMIT 1 PER panl CUSTOMER NBFTf NlBF TRANSPORTABLE OKI MOBILE CELLULAR CAR 1UI 1 1 'Automatic Tone Overdialinn CAHS) 40 Memory Electronic Scratch Pad Memory Installation Required 40 MEMORY 3S9 00 END USER ONLY MITSUBISHI TRANSPORTABLE CELLULAR CAR PHONE 832 Channel Operation Retractable Antenna 28 Hour Standby or 2.2 Hour Talk Time Charger Included In Car Re-Charging Dual Number Capability 100 Memory END USER ONLY OPEN DAILY 9-9 SAT.9-7 SUN.10-6 PHONE AB System Selector Multi-Level Call Restriction Capabilities Secret Memory Locations Dials 911 Even When Locked '100 Memory Locations Silent Scratchpad Antenna Included Installation Required 100 MEMORY CABSlf ice troiwrn F0K DETAILS I 5KP LIMIT 1 PER I I CUSTOM EHtM fT CELLULAR CAR PHONE Programmable Power Level Alphanumeric and Numeric Memory Scroll 4 Level Lock with 911 Override Call In Progress Override Call in Absence Indicator Last Number RecallRedlal DTMF Overdial and From Memory Conversation Mute 100 MEMORY flCfiOO DnMD (714) 941-1055 352 S. Mountain VAN RUTS II1BI H4-I3R1 15601 Roscoe Blvd.

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