The Record from Hackensack, New Jersey • 41

FRIDAY, MARCH 26, 1993 2 THE RECORD C-31- fit.IIJJv nli.HWNHi1lflfrl Pasta Existing homo soles in percent change shown aa an annual roto, the current rata were held lor a year 1S. Down 6.11 io i rr 5 1 February chill for economy Home sales off by 6. 1 percent The Associated Press WASHINGTON Winter weather nipped more housing activity in February, a trade group's figures showed Thursday, and there were signs elsewhere that the job climate remains tepid. The National Association of Realtors said sales of existing single-family homes dropped 6.1 percent to a seasonally adjusted annual rate of 3.55 million. That was down from 3.78 million in January and from 4.04 million in December.

The decline was spread across all regions, including an 8.3 percent plunge in the Northeast. "The fundamentals suggest that the decline has to be weather-related," said Robert G. Dederick of the Northern Trust Co. in Chicago. The survey came on the heels of a Commerce Department report released last week.

The federal study showed that housing starts slowed to a 2.5 percent gain in February after soaring 8.4 percent a month earlier. Analysts attributed the slower pace to bad weather in February. They also predicted that activity would lag again this month because of the Blizzard of 93, which swept through the South, up the Atlantic seaboard, and into New England. Meanwhile, the Labor Department said the number first-time unemployment claims fell by 2,000 last week, to 349,000. Number of people filing new claims for unemployment benefits In thousands 600r I I I I I I I I I I I 12 2 23 13 6 20 Dec.

Jan. Feb. Mar. Source: Bureau of Labor Statistics KRTN Something else is expected to bolster housing activity further the lowest mortgage rates in two decades. Realtors said the national median price of a single-family home in February was $104,200, up 1.1 percent from January and 1 percent higher than a year earlier.

"Median" means half of the homes cost more and half cost less. Regionally, sales dropped 8.6 percent in the West, to a 740,000 annual rate. The median price was $140,900, down 0.3 percent from January. Sales fell 8.3 percent in the Northeast, hitting a 550,000 rate. The median price rose 1.9 percent, to $136,900.

In the Midwest, sales slipped 5 percent, to a 960,000 rate. The median price rose 2.5 percent, to $84,700. Sales were off 4.4 percent in the South, at 1.3 million, while the median price edged up to $90,600, a 0.8 percent increase. plans and company stock. Meanwhile, their employers are putting less money in defined-benefit plans, or terminating those plans, and workers aren't staying at one company long enough to earn the maximum pension.

Susan J. Velleman, managing director with William M. Mercer Inc. in Boston, said many workers are making one or all of three major mistakes: not saving enough; not investing savings well enough; or using retirement savings for other purposes. While arguments could be made to justify all these mistakes, the result will be the same.

"I think there are going to be a lot of people who aren't going to be able to retire," Velleman said. The Department of Labor could help employers by putting out more information, Velleman 550 500 I Week ended Mat 20 I wu 1 349,000 claims I 400 350 -N0 300 250 inn Tl MURDOCH READY TO ENTER HUNT FOR N.Y. POST NEW YORK Rupert Murdoch is ready to reenter the New York tabloid wan by trying next week to regain control of the New York Post, the president of his News America Corp. said Thursday. Murdoch agreed to step in after public officials, union leaders, and employees of the Post asked him to help save the faper, which once had been his North American flagship, said atrick Purcell, president of News America.

"We don't want to be in competition with Mr. Hirechfeld," Purcell said. "But we want to preserve the New York Post and we want to preserve the jobs." In a conference call with U.S. Bankruptcy Judge Francis Conrad, current publisher Abe Hirschfeld and his attorney, attorneys for Murdoch, and various executives of the paper discussed the present finances of the struggling tabloid. Purcell said a proposal for a 60- to 90-day management agreement would be submitted to the judge first thing Monday morning.

IAC0CCA GOT 512.7M FROM CHRYSLER IN '92 DETROIT Lee A. Iacocca received more than $12.7 million in compensation from the rebounding Chrysler Corp. in 1992, his final year as chairman. The biggest chunk of his compensation 250,000 shares of Chrysler common stock valued at nearly $8.5 million was part of a deal between Iacocca and the board of directors in which he remained chairman after Dec. 31, 1991.

Iacocca, who retired from Chrysler at the end of 1992, was paid $885,000 in salary, $600,000 in cash bonus, and $1,142,640 in long-term incentive payments from stock options he cashed during 1992. The figures were contained in a document filed Thursday with the Securities and Exchange Commission. Publicly held companies such as Chrysler are required to disclose the salary and other compensation paid to top executives. Iacocca also received options to buy 130,000 shares of common stock worth $1,024,400 based on an SEC model showing the shares being purchased in 1997, the year Iacocca's option expires. GREENSPAN OPTIMISTIC ON CREDIT CRUNCH WASHINGTON Federal Reserve Chairman Alan Greenspan said Thursday that he sees signs an improving economy is finally beginning to break the grip of the credit crunch that has stifled business lending for two years.

But the ever-cautious head of the nation's central bank said it was too soon to declare victory. He pledged that federal regulators would continue doing what they could to ease regulatory burdens that bankers have complained are a big part of the problem. "As I review the current banking system, I find reasons for optimism, but not complacency," Greenspan told the House Small Business Committee. JACLYN INC. EXPECTS THIRD-QUARTER LOSS WEST NEW YORK Jaclyn Inc.

said Thursday that it expects to take a $2 million charge and report a loss in its third quarter, ending March 31, because of a voluntary recall of carry-all bags and backpacks for children. The company said the bags have the insignia of Barney, the TV dinosaur, as do three additional bags that contain sunglasses. Jaclyn said some of the components in manufacturing lots were found to contain excess lead, and that some of the sunglasses did not meet shatterproof lens tests. However, no accounts of ill effects have been reported, the company said. In the third quarter of its fiscal 1992, Jaclyn posted earnings of $401,000, or 15 cents a share.

GEC-MARCONI CLOSING CALIFORNIA PLANT WAYNE GEC-Marconi Electronic Systems Corp. is closing its San Marcos, plant to consolidate all its manufacturing on the East Coast. GEC-Marconi, based in Wayne, blamed the shrinking defense budget for its decision to close the plant, which employs 375 people. The plant manufactures navigation, communications, and computer systems for military aircraft. Layoffs will probably begin in June, said Bob Steffan, the plant's personnel manager.

The rest of the layoffs will be spaced throughout the coming year as contracts are completed, Steffan said. Employees have been asked if they're interested in transferring to the Wayne plant, Steffan said. DEGUSSA CORP. TO OPEN PLANT IN MEXICO RIDGEFIELD Degussa a unit of Degussa AG, plans to start up a production facility near Mexico City to manufacture automotive emission control catalysts. Degussa said the facility is scheduled to come on line in early 1994.

The plant is designed to meet the automotive catalyst requirements of the Mexican market and to supplement Degussa's North American catalyst capabilities. mustard, and now i jellies American Home buys M. Polaner Dow Jones News Service NEW YORK American Home Food Products Inc. has ic-y quired M. Polaner the largest jam and jelly producer iJV the United States.

The Roseland-based company was purchased from closely held Artal NV of the Netherlands. Terms were not disclosed, but people close to the acquisition estimated its value at $70 million. Polaner, which is the fastest-growing company in the industry, Ijad about $65 million in sales last year? American Home Products, parent of American Home Food announced the transaction Thursday. American Home Food has." brands such as Chef Boyardee canned and microwave pasta, GuK den's mustards, Pam cooking spray, and Franklin Crunch'n Munch snack. Charles LaRosa, president of the food unit, said the Polaner deal is part of an aggressive acquisition strategy begun six years LaRosa said the acquisition would help the food unit approach its sales target of $1 billion this year.

In 1992, the unit contributed $866 million to the parent's billion in sales. The parent is prir'; marily a pharmaceutical LaRosa said the company would continue to look at acquisitions as part of its growth strategy. He also said international pension would contribute to such growth. This year, he said, the! company is beginning to sell its Chef Boyardee, Pam, and rancV. style beans in Mexico.

Although Polaner had only! about 8 percent of the $700 milieu; jam and jelly market in the States, LaRosa said, Polaner sales-have been growing at more than 10-percent a year, driven by its all--J fruit line. Spreadable fruit, which is sweet- ened only with fruit-juice concert- 2 trate, is the fastest-growing seg- ment in the jam and jelly category, and Polaner is the best-selling brand, the company said. Polaner is "America's fastest- growing major jam LaRosa said, adding that the pur- chase gives the company "a signfi-; cant position in a growing market segment." -10 MA JASON OJP Region Feb. Jan. Northeast 550,000 600,000 Midwest 960,000 1,010,000 South 1,300,000 1,360,000 740,000 810.000 Source: National Association ol Realtors KRTN That marked the third weekly decline in a row and pushed jobless claims to the lowest level since the week ended Feb.

13, when 349,000 were filed. The four-week moving average of new claims totaled 359,250 during the period ended March 20, down from 359,750 a week earlier. The more recent figure was the lowest since the period ended March 6, when 353,250 were filed. Many analysts consider the four-week average a more reliable measure of employment trends because it smooths out the volatility of the weekly numbers. In the housing report, Realtors President William S.

Chee acknowledged the "poor weather conditions in many sections of the nation" in February. Still, he said, there are signs of improved consumer confidence. Through February, sales of existing homes were 4.6 percent above the same period of 1992. term pattern shows stocks beating bonds. "We don't know what's going to happen in the world tomorrow," he said.

"But if you have any faith in capitalism, people selling things to other people, you have to be in stocks." Ironically, Beese said, many people putting together their own 401(k) portfolios are making the same mistake a lot of pension funds made until the early 1970s, when the Employee Retirement Security Act was passed. "Before ERISA, pension funds were loading up on GICs and company stock," Beese said. But the law forced fund managers into broader diversification. Now, he said, most funds do a pretty good job of keeping ahead of inflation. Individuals, however, are now putting too much money in GICs HM: Retirement From Page C-1 in the employees' own companies and guaranteed investment contracts.

Employees of International Business Machines Corp. who have had most or all of their retirement money in IBM stock and people who owned GICs from the Executive Life Insurance Co. or the Newark-based Mutual Benefit Life Insurance Co. are walking object ldssons in the dangers of that approach. "People are definitely making the wrong choices," said Stephen Cronin, a senior consultant in the Boston office of Coopers Ly-brand, the accounting and consulting firm.

"Mostly, they are being too conservative." While there are short- and even medium-term risks in the stock market, Cronin said, the longer- A SAMPLING OF NORTH JERSEY MONEY RATES Rates as of March 24 Money Market 3-Month CD 6-Month CD 12-Month CD 18-Month CD 24-Month CD Rate Yield Rate Yield Rale Yield Rat Yield Hate Yield Rate Yield THRIFTS Anchor Savings 2.71 2.75 2.85 2.89 3.20 3.25 3.50 3.56 4.02 4.10 4.16 4.25 Boiling Springs 3.00 3.05 3.00 3.00 3.30 3.35 3.60 3.67 4.40 4.50 Carteret Federal 2.90 2.94 2.77 2.80 3.01 3.05 3.30 3.35 Columbia Savings 2.80 2.83 3.00 3.00 3.15 3.15 3.50 3.50 3.90 3.97 4.45 4.55 Dime Savings Bank NJ 2.81 2.85 2.71 2.75 3.32 3.38 3.54 3.60 3.63 3.70 4.21 4.30 GSL Savings Bank 2.75 2.83 2.95 3.04 3.20 3.30 3.50 3.61 3.90 4.03 Howard Savings Bank Hudson City Savings 3.20 3.25 3.31 3.40 3.47 3.50 3.58 3.70 4.25 4.40 Montclalr Savings 3.05 3.09 2.95 2.98 3.25 3.28 3.55 3.61 3.80 3.87 4.25 4.34 NVE Savings Bank 3.00 3.05 3.00 3.05 3.35 3.41 3.70 3.77 3.95 4.03 4.25 4.34 3.10 3.15 3.30 3.40 3.55 3.61 4.40 4.50 Palisade 2.80 2.84 3.00 3.03 3.30 3.35 3.55 3.61 3.90 3.97 4.15 4.23 Poilfly Provident Savings 2.75 2.83 3.41 3.47 3.57 3.63 Rldgewood Svgs Bank NJ 3.10 3.10 3.10 3.10 3.35 3.35 3.50 3.61 3.85 3.98 Savings of Rockland 3.05 3.09 3.20 3.25 3.50 3.55 4.00 4.06 4.25 4.32 South Bergen 3.05 3.10 3.10 3.14 3.30 3.33 3.60 3.67 4.40 4.50 Spencer 3.00 3.04 3.10 3.10 3.40 3.40 3.85 3.92 4.00 4.08 4.40 4.49 Washington Savings 2.90 2.94 3.25 3.29 3.35 3.38 3.60 3.66 4.00 4.07 4.40 4.49 World 2.96 3.00 2.71 2.75 3.06 3.11 3.46 3.52 3.46 3.52 4.21 4.30 COMMERCIAL BANKS Amboy National Bank 3.00 3.04 2.19 2.25 2.92 3.00 3.63 3.75 4.25 4.25 Bridge View Bank 2.62 2.65 2.71 2.75 2.96 3.00 3.44 3.50 4.16 4.25 Chemical Bank 2.57 2.60 2.62 2.65 2.76 2.80 3.25 3.30 3.25 3.30 3.92 4.00 Citizens First Nat'l 2.65 2.68 2.63 2.65 2.82 2.85 3.31 3.35 3.84 3.90 3.84 3.90 Community Bank Bergen 2.75 2.78 2.43 2.45 2.68 2.70 3.01 3.04 3.25 3.29 3.74 3.79 First Fidelity 2.47 2.50 2.57 2.60 2.81 2.85 3.20 3.25 3.25 3.30 3.83 3.90 First Morris Bank 2.47 2.50 2.18 2.20 2.86 2.90 3.05 3.10 3.54 3.60 3.92 4.00 Lakeland State Bank 2.75 2.78 2.69 2.72 2.94 2.97 3.24 3.28 3.84 3.90 Midland Bank 2.72 2.75 2.67 2.70 2.83 2.85 3.44 3.50 4.02 4.10 4.59 4.70 Mldlantlc 2.47 2.50 2.60 2.60 2.80 2.80 3.25 3.30 3.25 3.30 3.83 3.90 National Community 2.50 2.53 2.60 2.63 2.70 2.72 3.00 3.00 3.00 3.00 3.75 3.75 Nat'l Westminster NJ 2.70 2.73 2.55 2.58 2.75 2.79 3.00 3.05 3.15 3.20 3.75 3.82 New Jersey Nat'l 2.23 2.25 2.27 2.29 2.28 2.29 2.35 2.35 2.47 2.47 2.50 2.50 Newton Trust Co 2.25 2.25 2.40 2.40 2.80 2.80 3.00 3.04 3.35 3.40 3.50 3.56 RamapoBank 2.70 2.73 2.65 2.68 2.80 2.82 3.20 3.20 3.80 3.85 Trust Co. Of NJ 2.70 2.75 2.65 2.70 2.90 3.00 3.50 3.62 3.75 3.87 4.00 4.12 United Jersey Bank 2.62 2.65 2.63 2.65 2.88 2.90 3.21 3.25 3.45 3.50 3.94 4.00 Urban National 2.70 2.73 2.65 2.68 2.90 2.93 3.25 3.29 3.45 3.49 3.90 3.96 Valley Natl 2.75 2.79 2.65 2.69 3.05 3.05 3.50 3.50 3.60 3.60 4.00 4.00 () Some of the rates quoted may only be valid when combined with other accounts. Source: Financial Market Inc, 1-(718) 375-5557. No par; of this report may be reproduced without permlsston. Although the rates used were obtained from the financial institutions themselves.

Financial Market Focus cannot guarantee their accuracy. HIGHEST HONEY MARKET YIELDS BANKTHRIFT YIELDS as of March 23 MONEY FUND YIELDS as of March 23 MMA Annual Effective Yield Nat'l Avg: 2.63 Government-Only Money Funds Avg: 2.58 First Pep Natl Bk, Tilton, N.H. 3.36 United Services Govt Sees Svgs(k) 3.44 First Signature Portsmouth. N.H. 3.35 Dreyfus BASIC Government MMF(k) 3.31 Colonial Natl Bank, Wilmington.

Del. 3.30 Blanchard 100 Treasury MMF(k) 3.28 Key Bank USA, Albany, N.Y. 3.30 Atlas US Treasury Money Fund(k) 3.16 New South Fed Svgs, Birmingham, Ala. 3.30 First Union Treas MMPTrust Shares(k) 3.13 6-Month CD Annualized Yield Nat'l Avg: 2.96 Mariner Government MMF 3.01 (Annualized yields are for 12 months and are based upon rate In Transamerlca US Govt Cash Res(k) 2 99 effect when account is opened.) Prlme ValueUS Govt Fund(kXh) 2.96 Colonial Natl Bank, Wilmington, Del. 3.70 First Pep Natl Bk, niton, N.H.

3.68 General Purpose Money Funds Avg: 2.68 Southern Pacific Culver City, Calif. 3.67 Dreyfus BASIC MMF(k) 3.49 Guaranty Bank, Milwaukee 3.61 0LDE Premium Plus MM Serles(k) 3.47 Atlantic Boston 360 Aetna Money Market Fund(k) 3.45 RIMCO Monument Prime MMF(k) 3.35 1-Year Annual Effective Yield Nat'l Avg: 3.21 7ti Prlm ValueCash Investment Fund(kXh) 3.18 Los Angeles Los Angeles 4.15 7 Evergreen Money Market Trust k) 3.15 Colonial Natl Bank, Wilmington, Del. 4.05 amoi Spartan MMF 3.14 MBNA America, Wilmington, Del. 4.03 I value Line Cash Fund 3.13 Guaranty Bank, Milwaukee 4.01 Custom Savings, Baltimore 410 Tax-Free Money Funde Avg: 1.92 A11 A Dreyfus BASIC Municipal MMF(k) 2.68 2.5-Year Annual Effective Yield Nat'l Avg: .3.9 (Average annual yields below show the average return per year over Fidelity Spartan Municipal MF(k) 2.50 the life of the CO.) Landmark CA Tax-Free Reserves(k) 2.48 J.C. Penney Natl Bk, Harrington, Del.

4.85 strong Municipal MMF Z48 CltlbankSD, Sioux Falls, S.D. 4.81 Boston Co T-F MunlCA T-F MF Retail(k) 2.44 California Santa Barbara, Calif. 477 Dreyfus OH Municipal MMF(k) 2.43 Eastern Svgs Bank, Baltimore 4.75 Evergreen Tax-Exempt MMF(k) 2.42 First Pep Natl Bk, Tilton, N.H. 4.66 Fidelity Spartan FL Muni MMP(k) 2.42 5- Year Annual Effective Yield Nat'l Avg: .5.1 BANKTHRIFT YIELDS Eastern Svgs Bank, Baltimore 6.05 Highest yields reported by federally-insured banks and MBNA America, Wilmington, Del. 5.97 Dased on stated rates and method of compounding r-nwni.

ti c-nt. Porharo rm Taw to631 minimum deposit available. National averages are California Santa Barbara, Calif. 582 based nua effectve ftMg offereJ Colonial Natl Bank. Wilmington, Del.

5.80 large banks and thrifts In the top 10 markets. Individual Apple Bank for Svgs, New York 5.76 vleld8 2.5-year and 5-year CDs are average annual Inter- est earned over entire life of account (not "annual effective $100,000 CDs Yield yield," which would only show interest earned the first year). 1-Month SOURCE: 100 HIGHEST YIELDS N. Palm Beach, FIs, 33408. Maryland Natl Bank, Baltimore 3.35 H800)-327-7717 Southern Pacific Culver City.

Calif. 3.30 MONEY FUND YIELDS Hurley State Bank, Sioux Falls, S.D. 3 25 column represents compounded (effective) rate of re- turn to shareholders for past seven days. Past returns are 3-Month not necessarily Indicative of future yields. Investment quality Bank of San Diego, San Diego 3.65 80(1 among funds.

(k) manager absorbing a portion of fund expenses. Southern Pacific Culver City, Calif. 3.50 Reprinted in condensed form with permission from Donogh- The New Merchants Bank. Kansas City. Mo.

3.40 ue'S MONEYLETTER of Holliston, Mass. 01746. 1-800-343- 6- Month 5413- Bank of San Diego, San Diego 3.80 oT'S" MNEYLETTER MaSS" First Pep NatkCrdt Card Bk. Concord, N.H. 3j9T nimwno fe; tribune media 1 First Dep Natl Bk, Tilton, N.H.

3.64 SERVICES. INC..