The Miami News from Miami, Florida • 10

IMINMMMFMNMIMWMP e.MIEMEmel flimm.m.m,.....M.IIMMMENnm.mn.,,nmmEW0M1M,IMIM I I Tuesday, March 30, 1982 8A vitEg ri Avt torelly $, 0 The Miami News BERNIE OELZE Locall viideomagame freaks gobble up home Pac-Man Six-month certificates now pay 13.493 per cent Yields on short-term Treasury bills rose more than one-half percentage point yesterday, and as a result savers will earn higher rates on six-month certificates sold by banks and savings institutions. Beginning today banks and savings institutions may pay as much as 13.493 per cent interest on six-month money market certificates, up from the previous 12.923 per cent. Also beginning today, savings institutions may pay as much as 14.3 per cent and commercial banks as much as 14.05 per cent interest on 212-year "small-saver" certificates, up from 14.1 per cent and 13.85 per cent in effect for the past two weeks. About 64.7 billion in six-month bills were sold Monday at an average discount rate of 13.243 per cent, up from 12.673 per cent last week. The government also sold about $4.7 billion in three-month bills at an average rate of 13.399 per cent, up from the 12.553 per cent of last week.

VICTORIA CORDER' Miami News gorier New-home sales plummet Sales of new single-family houses fell 11.8 per cent in February, to the second-lowest annual rate since such figures have been recorded. Yesterday's report by the departments of Commerce and Housing and Urban Development said new houses were sold last month at a seasonally adjusted annual rate of 336,000. That was down sharply from the January rate, which was Itself down 16.8 per cent from December, the report said. The February rate was only slightly above the 335,000 of last September, the lowest since the government began keeping such figures in 1963. With sales falling so quickly, the median price of new houses sold last month also declined, to $66,500 from January's $67,000, the report said.

"We got them (the cassettes last Wednesday, and we sold 120 in an hour," said Andrea Werner, owner of the Video Connection, 13718 N. Kendall Dr. "Almost any new Atari game does well, but I've never seen anything like this," she added. "We took pre-orders and had people pay in advance. Once word got out, people kept coming and paying for it.

We have hundreds of pieces on order with every distributor in town." "Two hundred pieces came in last Friday and we sold out over the weekend," said Joe Harari, manager of Captain Video, 600 Lincoln Rd. "Forty per cent of those sales were from a waiting list. Now we're totally out and we've ordered 1,000 more pieces." Jim Farnell, owner of Marketdyne, the Atari manufacturer's representative for Florida, said the game's reception has been "uncanny." "One of our distributors in Fort Lauderdale received 3,400 cassettes last week and now has none left," he said. "They (the stores have ordered and reordered and are all waiting for It." Perhaps the most amazing aspect of this PacMan rage is that Atari hasn't begun its nationwide advertising campaign yet. In view of the product's success, the campaign could turn out to be superfluous.

"It's word of mouth," emphasized Werner. "The word spreads like crazy when the cassettes hit town. I've even had little kids come in with piggy banks to buy one." In less than a month, Atari has shipped more than one million Pac-Man cassettes across the country, according to Jeff Hoff, a spokesman for the California-based company. "That was more than we had shipped of Space Invaders (another popular Atari video game( in one year," he added. "We knew it was going to be huge, but the demand is incredible," Hoff said.

"But after all, the arcade version is the most popular coin-operated game of all time." According to Hoff, Atari started "whetting the public's appetite" for the game by running print ads after Christmas that announced that Pac-Man "would soon be ready for home consumption." On April 3, the company will step up its $1.5 million publicity campaign by starting television and radio advertising. Hoff said stores across the country face the same problem Miami retailers are complaining about: insullident supply and overzealous demand. He added that Atari's three plants in California, Puerto Rico and Texas are doing their best to keep turning the home version out. The Pac-Man game has spawned not only a hit song but also T-shirts and toys that soon will be marketed by Warner's Knickerbocker Toy subsidiary. Paperback books that promise to help the videophiles outwit PacMan also have benefited from the fever.

"There are two books on Pac-Man and two on video games in general available," said Kathy Cameron, assistant manager of B. Dalton Bookseller in Omni International Mall. "All four are on our nationwide bestseller list." Why the furor over the game? "There is a lot of strategy involved," said Mickey Finkle, who put his name on a waiting list after his 7- and 10-year-old sons comparison-shopped and made a convincing sales pitch to their father. "Kids seem to have an innate understanding of the strategy, and it helps with hand-eye coordination." Others give simpler explanations for their Pac-Man fixation. "It's fun and challenging," said Gary Owens, a 14- year-old video enthusiast from Perrine, who put his name on a waiting list and became Ire of the first on his block to boast a living-room version of Pac-Man.

Owens has 25 home video games but still visits his local video arcade after school. "It's fun," he said of the home version, "but I still go to the arcades just as much as I used to." "Pac-Man Fever," a boppy musical tribute to the coin-operated video game, says the game drives you crazy. Judging from the effect the recently introduced home version of Pac-Man is having on America's video devotees, the song's lyrics may be understated. Pac-Man drives some people to delirium. Video-crazed Miamians are converging en masse on local stores to get their hands on the home videocassette version of the game, which was introduced by Atari, a subsidiary of Warner Communications several weeks ago.

Florida stores began to receive the game March 19. "We've never seen anything like it," said Barney Horton, a group merchandising manager for Sears, Roebuck Co. "The demand Is so great. We got 2,400 cartridges for our 14 different stores from Fort Pierce to Key West, and we had a complete sellout in two or three The source of the hoopla is a game which is an electronic conglomeration of blips and blobs housed in a maze. Pac-Man also known as Pac, Jaws, Yellow Man and Critter to those in the video know is a little yellow creature that is maneuvered around the maze as it devours dots, monsters and fruit and tries to avoid being consumed by the various electronic monsters that stalk it.

The voracious little Pac also is taking quite a chomp out of America's pocketbook. After two years of playing the arcade circuit, Pac-Man, designed by Namco a Japanese company, has gobbled nearly $1 billion In quarters. Judging from the sensation the home version has stirred, Pac's feast on America's discretionary entertainment dollar is far from over. The home cassette retails from $29 to $39, according to Florida merchants and distributors. Late mortgage payments increase The United States League of Savings Associations says late payments on mortgage loans rose to a 17-year high last month as recession and high interest rates continued to squeeze household budgets.

The trade group said February payments on 1.21 per cent of the mortgages held by savings and loan associations were delinquent by at least 60 days, compared with 1.17 per cent in January and 0.94 per cent in February 1981. It was the highest delinquency rate since the 1.28 per cent of February 1965. The association, which began compiling the figures in 1953, said the deliquency rate hit a record 1.41 per cent in February of 1962 and again in February 1964. But the league said that while deliquencles continued to rise last month, the rate of increase slowed. MMIMI ammommumome Storer asks for approval of Dade Cable acquisition Dollar rises, gold prices mixed MORTON ILICOFF Miami Mows Roaariti The dollar, buoyed by high U.S.

interest rates, continued to set records against the French franc and Italian lira yesterday and rose against most other major currencies. Gold bullion prices were mixed, falling in Hong Kong and Europe, but rising in New York to end the day at $323 a troy ounce, up $1.25 from Friday. Gold, which pays no interest to holders, has been hurt by a strong dollar and rising interest rates. The precious metal rose $1 on the New York Commodity Exchange Inc. to end the day at $323.20 an ounce.

Bullion was bid a $323 at Republic National Bank, up from Friday's $321.75. Silver closed at $7.01 an ounce in London compared with $7.07 Friday. But on New York's Comex, silver rose 4.5 cents to wind up at $7.085. 4,..,,:,...,... "3, :7 1 Nk 4, 1 1 :..2: if-, 4 '444 1:.

44'; 4 gF't 4 1 i if: -ANT, 7,,1., i ftl 11 4, ii: 4 1 s. i 4 ilti r7 7cti 1 1. f', 'N i 1.ii;: 'ey 16,1 '''i 4 1' '41' ,..4 4 et he, 4., l' ..1. :::4:: I I ,1 11 The agreement also provided that neither company would sell more than 30 per cent og its system or stock without first offering it to the other. Americable charged that Dade Cable violated the spirit of the pact, if not the letter, by agreeing last July to sell 29.1 per cent of its stock to Storer.

Storer also took over management of Dade Cable. According to documents filed with the county, Storer paid about $2.59 million for the 29.1 per cent of the stock. It also was to get five per cent of Dade Cable's gross receipts for its management. The remaining stock will cost Storer about $6.3 million, according to the documents. Americable demanded that the Metro Commission give it reparations in the form of a valuable chunk of Dade Cable's territory west of Kendall.

Both sides had a lot of political clout lined up. In addition to Myers, Americable had political consultants Steve Ross and Dick Knight. Ross and Knight have strong ties to many commissioners. Both are also investors in Americable's contract to build and operate a cable system in Miami. On the other side were prominent and influential Miami lawyers Murray Dubbin, a former state senator; Stuart Simon, a former County Attorney; and Martin Fine, who's active in local political issues.

For three hours in mid-December, the Metro Commission heard arguments from both sides. The commission agreed then to a January hearing on Americable's application for a piece of Dade Cable's territory. Storer Broadcasting Co. has made another move in a high-stakes financial, legal and political game aimed at gaining control of more of Dade County's lucrative cable television' market. Storer, a Bay Harbor Islands firm, last week applied to County Manager Merrett Stierheim for final approval of its $8.9 million acquisition of Dade Cable Television Inc.

Storer's cable TV subsidiary operates in North Dade and South Broward. Dade Cable's franchise would give It much of the affluent Kendall area. Stierheim can approve or deny the application; the choice can then be appealed to the Metro Commission. Since Storer and Dade Cable are involved in a lawsuit with competitor Americable Associates, Stierheim's decision could well be appealed. Americable claims that under a 1980 agreement it has the right of first refusal to acquire Dade Cable stock.

Kenneth Myers, Americable's lawyer and a former state senator, said yesterday he feels the "litigation puts a cloud over the acquisition." Storer's general counsel, Abiah Church, disagreed. He said the tripartite agreement, which was signed by Metro, Dade Cable and Americable, expires April 4. The disputed acquisition would become effective the next day. The 1980 agreement set cable service boundaries for Americable and Dade Cable, ending "range wars" in which the companies separately wired the same areas. Japan freezes auto exports The Japanese government, citing the continued slump in the U.S.

automobile market, announced yesterday that it will extend present restrictions on auto shipments to the United States for the second straight year. In Washington, William Brock, the U.S. trade representative, praised the action. "Recognizing that the U.S. auto industry continues to experience severe difficulties," he said in a prepared statement, "Japan has acted responsibly in deciding to freeze exports at the same level in the second year.

We appreciate this action by Japan and hope that it will provide a significant benefit to the U.S. auto industry's recovery." Press Assoctrec Counter-clockwise A Japanese company now sells watches that go backwards. They're a joke, not a time machine. The manufacturer says several people have tested them and assures that. -one gets used to it completely after two Associated Jane Bryant Quinn Construction contracts drop Contracting for new construction totaled $8.88 billion in February, down a seasonally adjusted 16 per cent from the previous month, the F.W.

Dodge Division of the McGraw-Hill Information Systems Co. said today. The private business information company said high borrowing costs, which have hurt the construction industry for the past two years, will continue to delay a recovery for the residential building industry. The report said its seasonally adjusted Dodge Index of total construction contract value dropped to 97 In February from 115 in January and 112 in December, months when it was bolstered by several large electric utility and natural gas pipeline Consider estate taxes when you pick an IRA NEW YORK You have two chances to save taxes on an Individual Retirement Account. Many people are planning for one chance and forgetting the other.

The best-known tax saving affects you personally. That's the thing that sells Individual Retire- ment Accounts. You may deposit up MI to $2,000 a year, deduct it from your income and leave the earnings to acI cumulate untaxed until retirement. might be able to reduce the tax bite by using five-year income averaging. When you take your IRA money in periodic "annuity" payments, you are taxed only on the payments you actually receive every year; the remainder of the IRA continues to earn interest tax-deferred.

There is a lot of confusion over what the term "annuity" means. It is clear that banks, and mutual funds may pay out inherited IRA funds in "annuity" payments over five years. The rules seem to suggest that they can also make payments over longer periods (up to your expected lifetime) to help you stretch out both your income and your tax obligations. But insurance-company people believe that only an insurance product can be used for payments lasting longer than five years. This issue is under study at the IRS.

IRA inheritances, they cannot escape income taxes. You must pay income taxes on IRA distributions when you receive them. The law lets beneficiaries defer their taxes by rolling inherited IRAs into an IRA of their own. Or, if the contract allows, you may simply treat the inherited IRA as yours, adding to it every year as finances permit. By treating the IRA as your Own, you subject yourself to the usual IRA rules.

For example, you will not be able to withdraw any of the money before age 59 and a half unless you're willing to accept the big penalty. You may be able to ignore your inherited IRA for up to five years without triggering any income taxes. After that, the money will have to be disposed of in some way. If you take your IRA money in a lump sum, you will owe income taxes on all the money at once. You Fed steps into Florida National fight The Federal Reserve Board has made its first formal move toward resolving the battle for control of Florida National Banks of Florida Inc.

The board's legal staff called a hearing for Thursday in Washington to hear arguments from Florida National and its rival suitors, Southeast Banking Corp. and Chemical New York Corp. Florida National has rejected Southeast's merger bid In favor of a marriage with Chemical that would take effect whenever interstate banking is allowed. Meanwhile, Chemical would own nonvoting stock in Florida National. Southeast complained to the board that the agreement gives Chemical an illegal "controlling influence" over Florida National.

willimilmiipi NOM Foreign exchange rates Unlisted Stocks (Currencies in U.S. dollars) STOCK MARKET PROFILE New York Stock Exchange Monday, March 29, 1982 ISSUES TRADED 1.840 TRADED 1.840 "IA Your second shot at tax savings affects your spouse, children or Quinn other heirs. With good planning, you can avoid the possibility of estate taxes at death. You can also make it possible for your beneficiaries to defer income taxes on any IRA savings they inherit, if tax-deferral suits their financial plans. This is an area that wives, in particular, should take an interest in, because they so often outlive their husbands.

Some IRA plans let you make tax-saving decisions even if your late husband forgot to plan for them. But others limit your possible choices. Savers should ask about these limitations before deciding where to open IRAs. You don't want to be stuck with a plan that forces you into a choice you would rather not make. Federal estate taxes are reasonably easy to avoid.

There are now no federal taxes on money left to a spouse. There are also no taxes if the total value of your estate, Including the IRA, is no greater than $225,000 this year. That exclusion rises every year until, by 1987, estates worth as much as $600,000 will owe no federal tax. Unfortunately, that doesn't mean that your medium-size estate is automatically in the clear. Some states still impose death taxes on smaller estates.

You will need a lawyer's advice on what to plan for. If the beneficiary is someone other than your spouse, estate taxes can normally be avoided by having the IRA account paid out in roughly equal payments over 38 months or more. The law calls these payments in they can be arranged by a bank, savings and loan association or mutual fund, as well as by an insurance company. Avoid IRA contracts that do not allow this option. You don't want to be forced into taking all your IRA money in a lump sum.

Although most people can escape estate taxes on Argentina (peso) Bolivia (peso) 0227 Brazil 0068 Britain (pound) 1.7800 Canada (dollar) 8118 Chile (peso) 0256 Colombia (peso) 0165 Ecuador (sticre) 0352 France (franc) 1601 Israel (shekel) 0529 Italy (lire) 000758 Japan (yen) 004059 Mexico limo) .0219 Uruguay (pew) 0840 Venezuela 2326 W. Germany (mark) 4143 (pesol .000099 (peso) 0227 icruieiro) 0068 (pound) 1.7800 (dollar) 8118 (peso) 0256 (peso) 0165 (strait) 0352 (franc) 1601 (shekel) 0529 (lire) 000158 Ivenl 004059 Sid Mk Gtr Jiy Inc 1111,2 Aoripost 212 1912 Air Fla SW Hardwick 3vs 31W Mica Inc 39 aa Hill liras in Aloo-Sherr 33,6 411 Homo Fed 1Ssa 14 Am Motai ire 2 int Cut Di. 11t 1St Am Sar 3vs invostax 112 Pito APECO 1332 Vi tra 11t 2 AT Miss SI Pei JEC Las 3 3vs Mice Fin PO 3,01 Land Misr 4V2 4111 Avatar Pt eve LxiCon 22 is, Immo' Cp eve 16 14 st MCI Com WA 3212 Conituri 3st Pt Meilen hod JO .211 Chou Dv Pit evs minor md PA Context lve Iva Minimart 1st ist Cent Lsr 1214 1212 Ormnt Ors 116 716 Crab Hs 316 5 14, Panattal ke 1W Oada End ..75 Pay-04Kat 1st Pt Dash Ind t16 II Poll Sksh 211116 Dauphin Vs 916 2116 Dante Mad 1 1V2 Savowy trod SV't Wit Wts 2W 3 T.n.tvy Ill Ike Equinox 1116 1311 Univ Prod let laii Fla Comni 7441 25 Vac Own tt 1116 Fla Glass 111,1 WCTV IOW WM Indus ve UNCHANGED 432 I UP t. 676 UNCHANGED 432 DOWN 732 Florida notes The Federal Reserve Board approved the application of Capital Bancorp of North Bay Village, the holding company for Capital Bank, to acquire First Bank of Oakland Park in Broward County Barnett Bank of South Florida opened a banking office at 18341 S. Dixie Hwy.

in Perrine Sharon Steel based in Miami Beach, declared a 9-cent quarterly dividend payable April 15, but Chairman Victor Posner said "it is unlikely that Sharon will be paying cash dividends for the near term" after that Royal Palm Beech Colony, a Miami-based development company, reported earnings the quarter ended Jan. 31 fell to $65,000, or 2 cents per share, compared with $234,000 for the same period last year. Florida bank stocks Fla We Fla Karl 23vs Flagship 703e Griimor. Gultstem lase Jolt Banc 111 Landmark IOUs Pan Amor Ire Popish 2 116 Souttwast Southwest IPS Sur Banks 1714 25 2312 21 84 Ye 1712 illotfri At VA 34 14 14 Find the best columnists from all over the country in The Miami News OPINION pages Art Buchwald, William F. Buckley, Mary McGrory and William Safire.

to name a few. Bid Ask Atta Mk 21As 12 Darnall 19 Vs Citatory IPS 1411 Corn Banc tlo City Nail 10 17 Ellis 11 lac 99999 latt la Fst Soar Ws 11 Ilst Wring. ItilAt First Fla Pa Pt First St lave 77 Flo Coast le leas N.YS.E Index 64.65 0.12 S. P. Comp.

112.30 0.36 Dow Jones Ind. 823.82 5.90 111.