Fort Worth Star-Telegram from Fort Worth, Texas • 37

I "1 0 usmess Friday AM December 13 1991 SECTION FORT WORTH STAR-TELEGRAM I) BRIEFINGS Keating surrenders on federal charges Snyder to drill in Russia Tunisia -114 if I I 1 eritte' (-1 4 ''-'1 i i -)14" 4 '---40- t' 4 1 ------4' 1 1 CI114 44 i'''' tr'1) 5 0 '1 4 1 I CI' i i 19' 1 1 stwolatedd OC Indictments include racketeering fraud The Associated Press LOS ANGELES Federal authorities attacked former Lincoln Savings owner Charles Keating on two fronts yesterday accusing him of racketeering in an enormous criminal case and far-ranging fraud in a civil suit The Arizona land developer and four co-defendants surrendered to federal law enforcers to face the criminal charges a sweeping prosecution that far exceeds the scope of a state case in which Keating was convicted last week He could be sentenced to up to 510 years in prison The 77-count indictment accuses Keating and four others of racketeering to obtain money through Lincoln to support their jet-setting (More on KEATING on Page 4) Associated Press Former Lincoln Savings owner Charles Keating Jr right and his lawyer Stephen Neal arrive at the US court house in Los Angeles A piece of the auction -kt itx 41- or Iv 4" 1 di low jr 4 P' 417k SS 4 110101' i "'itt OttiT 4 Om It ltt I- -2-- sI0 si A 1 4644410 I 1 '4tAl 1 Al c-ark 1 40 ''''i 1 7 i' 1 141" A 4- 100-0-10--nomr 4-1 Airline stocks zoom skyward From Staff and ire Reports NEW YORK Stocks of the nations publicly traded airline companies soared yesterday after an analyst predicted an industry rally in the next six months The nation's top carriers UAL Corp and Fort Worth-based AMR led the way in percentage Stock of UAL parent of United closed at $12425 up $5625 cents per share Shares of AMR parent of American Airlines closed at $6250 per share up $3875 Shares 'of Delta Air Lines the nation's No 3 air carrier and the second-largest at DallasFort Worth Airport finished trading at $61 25 up $2375 The increases came after Samuel Bunrick an analyst at the Kidder Peabody investment firm in New York told his sales force to expect an 18 percent to 20 percent per-share gain in airline stocks between now and next spring the Dow Jones News Service reported NYSE may extend hours for foreign trading NEW YORK The New York Stock Exchange is considering an early morning session ill which 200 foreign securities could be traded as part of an effort to expand overseas opportunities for US investors Wall Street executives said Attracting more foreign companies is a primary goal of NYSE Chairman William Donaldson who is completing his first year as head of the tion's biggest stock exchange the NYSE's effort is facing opposition from the Securities and Exchange Commission which has opposed allowing the exchange to lower its financial reporting standards to let in foreign companies Industry executives familiar with the NYSE's plans said the exchange is considering a 300-stock trading session from 5 to 9 am Eastern time It Would consist of about 200 foreign company stocks plus 100 big US issues TV network ownership of cable units considered Fort Vvonh Star-Telegram DALE BLA( KWELL Kirk Dove coaxes offers from buyers at the FDIC's biggest auction ever The agency is marketing almost 180 properties Closed-circuit satellite TV hookups linked the Dallas sale at the Fairmont Hotel to bidders in four other US cities Bidding brisk at sale ale of bank assets by FDIC 'c-oncentrettzion LtrZ3st concentration of properties by state ct properties by state By JACK SMITH Fort Wonh Star-Telegram FORT WORTH Snyder Oil Co is joining a growing pack of US energy companies that are going international The Fort Worth-based exploration and production company said yesterday that it has been awarded a 1-million-acre exploratory concession in Tunisia and has executed a letter of intent for the establishment of a joint venture to develop oil properties in the Russian republic the largest republic in the rapidly disintegrating Soviet Union Snyder stock responded positive- ly to the announcement closing at $6375 a share up 50 cents from Wednesday The stock's trading volume was 175300 shares more than triple its normal level Snyder said it believes the ventures in Tunisia and Russia its first international efforts "provide significant potential to enhance the value of the company" "The Tunisian project is a pure exploration project so the potential is enormous but it's also very speculative" company Chairman John Snyder said in a telephone interview The Russian project is less risky he said because it involves the development of existing fields But it also could prove strongly profitable-- because of the large volume of oil reserves in the fields he said The plunge into international operations represents a "major leap" for a modest-size independent oil firm such as Snyder said Paul Leib-man an analyst for the Petrie Park-man Co investment research firm in Denver The company in a brief announcement yesterday afternoon revealed nothing of the Tunisian development other than that it recently was "awarded a million-acre ex- ploratory concession" in the North African nation But John Snyder provided some additional details He said that under terms of the concession his company has entered into an agreement with the government of Tunisia whereby they would share in any oil production that might result from success- ful exploration there Snyder declined to say what percentage of production revenues his company is eligible to receive under the concession other than to say that it would be "substantially more" than 25 percent He said Snyder already has minority partners in both the Tunisian and Russian projects although a final agreement has not been hammered out for the Russian project Additional partners and outside capital likely will be needed in the drilling phase of the projects he said Interest in exploration in Tunisia has been stirred by a major discovery in the country by Marathon Oil Marathon said on Dec 2 that it expects to produce 10000 barrels of oil per day from its Belli No 1 discovery well The discovery likely represents a large field of several hundred million barrels of oil Salomon Bros analyst Bernard Picchi said in a re-(More on SNYDER on Page 4) aidimi By Jim FUQUAY Fort Worth Star-Telegram DALLAS Donald Carter quickly flashed his bidder's card No 1875 to signal his willingness to pay $28 million fora Dallas apartment complex Auctioneer Kirk Dove held up his arm to acknowledge the bid by Carter owner of the Dallas Mavericks and a real estate investor whose Carter-Crowley Properties recently bought two office buildings in Dallas Carter's bid held up once twice then was bumped up at the last second by a bidder several rows in front of the packed ballroom at the Fairmont Hotel site of the Federal Deposit Insurance Corp's biggest auction ever The new bid was $285 million up $50000 a small increment instead ofthe auctioneer's plea for $29 million "Doesn't that make you mad sir?" Dove asked in the direction of Carter clearly hoping to draw the higher bid "No it doesn't make me mad at all" Carter murmured softly to associate Jed Thompson And No 1875 did not bid on the property again Carter resplendent in his trademark felt cowboy hat was one of the more conspicuous of close to 1500 bidders and observers of yesterday's huge auction The properties being sold have been repossessed by failed banks Most of those present credited the FDIC's fi nancing package one of two guaranteed loan options on accepted bids with the bid turnout and spirited bidding Sponsors were hoping yesterday's event would turn into the largest one-day auction ever held in terms of the dollar value of winning bids No one at the auction was sure exactly what the record was The I 990 edition of Guinness Book of World Records lists $2048 million in top bids on May 9 1989 by Sotheby's in New York City as the greatest art auction ever Otherwise the Dallas event can take aim at the Resolution Trust Corp's high of $106 million in winning bids at a Nov 21 auction in California Auction sponsors hope to tally the final count today Despite a list of close to 180 properties and satellite hookups to four other US cities the auction moved briskly Shortly after 12:15 pm rapid-fire auctioneer Ross Dove tossed out the first prospect a Howard Johnson's motel in Sacramento Calif and less than two minutes later he pronounced the I 27-room property sold for $22 million The first Tarrant County property the former Holiday I nnDFW South on Airport Freeway was the ninth property listed In rapid sequence the bidding topped $2 million and then $3 million but stalled and ended $425 million just 81 icconds (More on AUCTION on Page 4) Coloradl New Hampshire Louisiana 1 I Arizonal New Jersey I I 1 Maryland 0 10 2'0 30 80 70 60 50 40 i Total numberr of properties yu SOURCE: b--- Federal Depogit Insurance Corp i Total number of properties SOURCE: -l'i-' Federal Deposit Insurance Corp Mesa conversion plan narrowly passes WASHINGTON The Federal Communications Commission opened a public debate yesterday over whether it should discard a 21- year-old prohibition against television networks owning cable systems The unanimous vote to consider the matter came as commissioners look for ways to help the big-three broadcast networks which fear that stiff competition from cable satellite dishes and video rentals and sales will make them also-rans in the home entertainment industry they once dominated "I'm not neutral on this matter" said FCC Chairman Alfred Sikes He previously had suggested he was ready to scrap the "cross-ownership" rules Sikes has taken the side of CBS NBC and ABC against local broadcasters who strongly favor keeping the prohibition in place Other commission members said they are willing to hear more on the subject but are not so sure about abandoning the rules Unisys to shut plant in New Jersey BLUE BELL Pa Unisys Corp said yesterday it would close a personal computer plant in Flemington NJ by June and lay off most of its 675 workers as it consolidates personal computer engineering and manufacturing The announcement is another sign of the troubled PC industry which has suffered from steeply declining profits and hightened competition Unisys said the plant closing is part of a comprehensive restructuring the financially struggling computer maker announced in July to reduce costs by $800 million by the end of 1992 General partner Boone Pickens says that converting Mesa Limited Partnership into a corporate structure will help the partnership pull in more 'institutional investors been difficult for all of us" Pickens said after the vote Just under 51 percent of Mesa's preferred unitholders approved the conversion which gives them 135 shares of stock in the new Mesa Inc for each unit they own Slightly more than 52 percent of the common unitholders approved the conversion They will receive one share of stock for each unit when (More on MESA on Page 4) By EVAN RAMSTAD The Associated Press DALLAS Unitholders in Mesa Limited Partnership gave slim approval yesterday to a plan by general partner Boone Pickens to convert to a corporate structure The vote ended several months of strife including lawsuits and a two-hour give-and-take between Pickens and holders of Mesa's preferred units "The conversion proposal has 4 lit--- Fort Worth Star-Telegram I REX CURRY se g9rtpity 0(5191Jars1 Bentsen sees need for cooperation quick work to get economy on track Sam's planning to build warehouse in Arlington 1 152 150 ---148-1 146 144 1142 1140 138 152 1c'r4'11: 0 I 1 115o 0 I ti 1 ''l 146 11 1 -41i 1' 4 H' 144 1 1 1142 4 i 1 -1 1 '1 "1 1 I' HI I I I 1140 1 1 1: i 138 1- 1 '1' 'i1: '1 :1 14'11'1 6-14 BY JAMIE KOSZCZUK Fort Worth Star-Telegram Washington Bureau WASHINGTON Invoking memories of the Great Depresssion in the 1930s Texas Sen Lloyd Bentsen said yesterday that the economic outlook is for "little or no improvement" unless the White House and Congress can agree on solutions that will reverse the trend "One thing is certain" Bentsen said at a congressional hearing "The time for action is long past" Bentsen's words reflect growing concerns that the economy could slip into another recession or worse a depression if it conti nues on its present course At a time Congress is normally ad agree on solutions that will reverse the trend One thing is certain Bentsen said at a congressional hearing The time Bentsen's words reflect growing con- for action is long past" cems that the economy could slip into another recession or worse a depres- sion if it continues on its present course At a time Congress is normally ad- joumed for the Christmas holiday the Democratic chairman of the Senate Finance Committee and other legislators are engaged in a series of hearings aimed at speeding passage of an economic growth plan "America is now in the midst of the longest period of slow or no growth since the Great Depression" Bentsen said "Over the past three years real per capita incomes have fallen for the first time since Herbert Hoover was president" President Bush is expected to make the economy the centerpiece of his State of the Union address on Jan 28 but the president is being pressured by (More on ECONOMY on Page 4) since the Great Depression" Bentsen said "Over the past three years real per capita incomes have fallen for the first time since Herbert Hoover was presi- President Bush is expected to make dent" the economy the centerpiece of his State of the Union address on Jan 28 but the president is being pressured by (More on ECONOMY on Page 4) Pace a unit of the nation's No 2 retailer mart Corp said earlier this fall that it plans to open a new warehouse in the spring in a shopping center at Bardin Road and South Cooper Street south of Interstate 20 Pace has declined to say exactly when its south Arlington warehouse will open Sam's spokeswoman Brenda Lockhart also declined yesterday to say specifically when the Sam's warehouse is scheduled to open The two clubs will be virtually across the street from each other (More on SAM'S on Page 4) Pace has declined to say exactly when its south Arlington warehouse will open Sam's spokeswoman Brenda Lockhart also declined yes- Sam's warehouse is scheduled to terday to say specifically when the open The two clubs will be virtually across the street from each (More on SAM'S on Page 4) BY Scorr NISHIMURA Fort Worth Star-Telegram ARLINGTON Sam's Club plans to open a new warehouse club in south Arlington in the spring creating the closest Metroplex rivalry so far between a Sam's Club and a Pace Membership Warehouse Sam's said it plans to build a 132620-square-foot club in the 4800 block of South Cooper Street south of Interstate 20 The club which will employ 150 workers will be adjacent to the Hypermart USA grocery-general merchandise store that also is owned by Sam's parent Wal-Mart Stores Inc Pace Membership Warehouse Sam's said it plans to build a 132620-square-foot club in the 4800 block of South Cooper Street which will employ 150 workers will south of Interstate 20 The club be adjacent to the Hypermart USA grocery-general merchandise store that also is owned by Sam's parent Wal-Mart Stores Inc 011 futures Contract for January dlivery 'r: $1996 per bar'ref chango tutiisis Contract for Jamiary (Wivery' $1006 per barre' 4 ehartgo J-1 I it7 Vi A' 'M 'IA- 6: iSiPtil Sag Commer0 Associated Sales rise 03 percent in November prompting speculations of a slow Christmas for retailers Story page 10B 1 136 1 11 i 1 i I-- i 1- 1- 11 1 1-- -t 1-34 IA 11 I 1 1 Li I I i-1 It -I I i-i 1 1 i 11 'i i Iy I -J-: teriii J-)--j--A- A -61 Deo of commerca 0 IF I 1' 1 ii I 1990: loot i'' jp1 Assoclated Press Fort4rth rtarljegram Sales rise 03 percent in November kl iia i prompting speculations of a slow Christ- )' mas for retailers Story page 10B ii 1 1 tt 111 trt II: 1- 0 011! k'M tANRAMIltviehat41000441014101001411 "MCA 0141141" AmminAlkauciaitt AAAA 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