Banner Graphic, Volume 19, Number 150, Greencastle, Putnam County, 2 March 1989 — Page 2

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THE BANNERGRAPHIC March 2,1989

GOP promises long debate on Tower, after he admits to marital infidelity

WASHINGTON (AP) Republicans are promising a vigorous and lengthy Senate debate over John Tower’s nomination as defense secretary, even as his chances of confirmation fade under the mounting weight of Democratic opposition. Tower’s GOP allies made their fighting intentions clear late Wednesday while the man at the center of the storm said he has no intention of giving up. “Never surrender or retreat,” the former Texas senator said, quoting the commander of the Texas forces at the Alamo. THE FULL SENATE arranged to begin debate shortly after noon today, although no vote was expected until next week at the earliest, and there were fresh Democratic pleadings that Tower withdraw his nomination. Tower on Tuesday renewed his vow to abstain from drinking if he is confirmed. Asked during a National Press Club appearance if he had broken any previous pledges, the twice-divorced Tower said he had broken his marital vows. Tower also said he would not return to the defense consulting industry even if his confirmation fails. SEN WILLIAM COHEN, RBanner Graphic (USPS 142-020) CoasoMdatton of Tba Dally Bannar EatabHahad 1860 TBa HaraM Tha Dally Braphle EatabHahad nil Talapboaa 181-6181 PahHahad daHy axoapt Sunday aad Holidays by Baaaarßraphla, Inc. at 10« North Jackaoa It, Braaacastla, IN 48118. Socond-claaa pactage paid at Broancaatla, IN. POSTMASTER: Sand addreae chaagao to Tha BanaarOraphlc, PdO. Box 808, (beeacastts, IN 48138 Sabacriptioa Rates Par Weak, by carrier *1.40 Par Weak, by motor route *1.48 Mall Sabacriptioa Rateo R.R. In Rest of Bast of Patnam County Indiana U.S.A. 3 Months *20.30 *20.70 *22^o S Months ' *17.00 *38.80 *42JO 1 Year *73.40 *78.00 *84.70 Maß aabucrtpdons pay able la advanoa._aot accepted hi town and where motor route aar«lea la aval labia. Mamhar of tha Associated Praaa Tha Associated Praaa Is entitled exclusively to the aaa for lapubNcatlon of afl tha local news printed In this newspaper.

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SEN. GEORGE MITCHELL Will vote no on Tower

Maine, said there would be a “vigorous” debate on the Senate floor, adding that the issue involved is more important than a single nomination. In a reference to the Senate’s majority Democrats, Republican leader Bob Dole, R-Kan., said, “We hope the door is not closed on the other side.” But not a single Democrat has thus far supported Tower, and two Democrats announced their opposition in speeches on the Senate floor. Senate Majority Leader George Mitchell had been expected to vote no, but the decision of Sen. David Boren of Oklahoma to oppose Tower was a blow to the

Bayh, Quayle meet over issues

WASHINGTON (AP) Gov. Evan Bayh called on both Vice President Dan Quayle and Transportation Department Secretary Samuel K. Skinner in seeking help on getting two key transportation projects in northwest Indiana Bayh’s pitch Wednesday to Quayle on the state’s interest in locating the proposed third major Chicago-area airport in Gary and obtaining federal funds for the South Shore commuter railway broke little new ground because Quayle had been involved in those projects as a senator. STILL, THE 20 minutes with the vice president allowed Bayh to remind Quayle of the economic benefits the projects would bring to the Gary area and to solicit his support Although he has said the vice presidency forces him to look at issues from a national perspective rather than a parochial viewpoint, Quayle promised to listen closely to those pushing the Gary site. “I am always working for the interests of Indiana. I have for 12 years, and I don’t plan on stopping,” Quayle told reporters. Bayh described the meeting as “very amicable” and said, “Obviously, his concerns are national, but all else being even roughly equal, I’m sure he’ll go to bat for us to try to get the Gary airport.” “WE ARE GOING to have a good working relationship,” Bayh predicted. “He’s a Republican and

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JOHN TOWER Admits to infidelity

Republicans. BY DAY’S END Wednesday, an Associated Press survey showed 36 Republicans in favor, 36 Democrats against and the remainder undecided or not answering. Democrats hold a 55-45 majority in the Senate. Bush met at the White House with additional senators in his effort to win Democrats over to support the nomination. He summarized his appeal this way: “Do what you’ve got to do, but remember fair play, remember decency and honor and then remember also historically the concept of advice and consent where reasonable doubt is given historically to the

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GOV. EVAN BAYH

I’m a Democrat, but we are Hoosiers first and foremost and we are going to develop a working relationship on that basis.” Bayh and Quayle also discussed acid rain legislation and its potential effects on Indiana and the Midwest. Bayh said he reminded Quayle that any legislation reducing harmful sulfur dioxides would be national in scope and not fall disproportionately on Midwest coal-fired utilities. Bayh said Skinner, former chairman of the Illinois Transportation Authority, is strongly in favor of the need for a third Chicago-area airport. “HE HAD HAD A meeting with some of the (airline) carriers and he informed them he, felt they should

president of the United States who after all is responsible for the executive branch of this government” BUT IF BUSH’S lobbying was paying dividends, there was no public evidence of it Boren is one of the most conservative Democrats in the Senate. He met privately with Bush at the White House on Tuesday and said he looked forward to supporting the Republican president on numerous issues in the future. The Washington Post today quoted a retired Air Force sergeant as saying Tower appeared drunk and fondled women on two visits to Bergstrom Air Force Base in Texas, in 1976 and 1978. Tower fielded questions at the National Press Club about allegations concerning excessive drinking, womanizing and lucrative consulting fees he received from defense contractors. ASKED WHETHER HE had ever broken his wedding vows, the twice-divorced Tower said: “As a matter of fact, I have broken wedding vows. I think I am probably not alone in that connection.” Aides later released a statement clarifying his admission of marital infidelity, and administration sources who insisted on anonymity disclosed that the Senate Armed Services Committee had been told Tower was divorced from his first wife because of an affair with the woman who became his second wife.

V.P. DAN QUAYLE

look seriously at a new airport,” Bayh said of Skinner. The Indiana governor, who said the Gary airport was at the top of the state’s priority list, left Skinner a 10-page study spelling out the advantages of locating a third airport in Gary. “We all look at this as one outstanding chance to improve the local economy in one part of the state that has been very hard-hit. This is a legitimate project that could have profound economic benefits for the area, and I stiation At in just those terms,” Bayh said. THE FEDERAL Aviation Administration is still studying the proposal of a third airport and is expected to make a recommendation before the end of the year.

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Soviets hype new export supervodka like capitalists

WASHINGTON (AP) Under Lenin’s dour gaze from a giant portrait, Soviet officials uncorked their new export supervodka and hustled American guests like born-again capitalists, with grins, backslaps and heaping bowls of caviar. Glasnost was in full flower Wednesday night at the Soviet Embassy, and warm feelings of “openness” were stoked by frequent gulps of Stolichnaya Cristall, the ultra-premium Russian vodka that will appear on liquor store shelves in 10 American cities this week. “YOU MIGHT ASK, what is the difference between Stolichnaya and Stolichnaya Cristall,” Soviet ambassador Yuri V. Dubinin smilingly told the happy throng. “I suspect the effect is just the same, but Stolichnaya Cristall is better for your health.” If Dubinin and his marketing comrades get their way, Stolichnaya Cristall will be good for the health of the Soviet economy, which suffers from a shortage of hard Western currencies. The Commerce Department says United States imported a record $1.7 billion in Soviet goods last year, compared with U.S. exports of nearly $2.8 billion to the Soviet Union. The U.S. export figure, representing largely grain, was up 87 percent from the previous year but below the record $3.6 billion in 1979 before the Soviet invasion of Afghanistan prompted a U.S. embargo. STOLICHNAYA, Cristall, like the older Stolichnaya brand, is bought by PepsiCo Inc. for resale in the United States under a 1972 agreement that allows the Soviets to produce Pepsi Cola at

Brady says media to blame for withdrawals from S&Ls

WASHINGTON (AP) Treasury Secretary Nicholas F. Brady is blaming newspaper headlines and television reports for causing billions of dollars in withdrawals at savings and loan associations so far this year. Federal savings and loan regulators on Wednesday revealed that depositors withdrew at least $1 billion last month after publication of a list of institutions targeted for government takeover. BRADY, APPEARING before the Senate Budget Committee, said, “It’s our conviction that the outflow is due to the stories on the nightly news and the black headlines on the front of the business prges or page 1 almost every day for die past two months.” He said S&Ls have been forced to increase interest rates on savings by an average of three-fourths of a percentage point to hold deposits following the increase in public attention to the industry’s problems. He predicted that the rates would drop once President Bush’s plan to bail out the industry is approved and public confidence is restored. “We feel growth (in deposits)

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21 bottling plants. Under a newly negotiated deal, 26 additional Pepsi Cola plants will be opened within the next few years. “It’s an old-fashioned barter deal,” said PepsiCo chairman Donald M. Kendall, who received the first bottle of Stolichnaya Cristall from Dubinin at the embassy reception. Stolichnaya Cristall is named for the Cristall distillery in Moscow, one of the two plants that produces the prestige export vodka. The latest version, developed in 1982, is made from the finest winter wheat and the purest spring waters from the Moscow region, said Suren S. Santurian, senior engineer of Amtorg Trading Corp., the Soviet government’s export marketing agency. A BOTTLE OF Stolichnaya Cristall will sell for $lB to S2O retail. The new vodka, served in brimming shot glasses from silver trays by waiters in black ties, was a hit among the several hundred American representatives of the wine and spirits trade, members of Congress and journalists who attended the reception. One reporter observed after downing a shot glass of Cristall: “It’s real smooth, compared to the cheap rotgut I buy. It’s like a sipping whiskey. There’s no bum. It just goes straight down.” PepsiCo officials said only a few thousand cases will be available in the United States this year for stores in Atlanta, Boston, Chicago, Dallas, Houston, Los Angeles, Miami, New York, San Francisco and Washington.

will be strong in the future,” he; said. ‘ : M. DANNY WALL, chairman; of the Federal Home Loan Bank; Board, said the nation’s 2,950; S&Ls suffered net withdrawals of: $4 billion to $5 billion in February,: $1 billion to $2 billion of it at the: 220 institutions earmarked for: takeover by the Federal Deposit In-; surance Corp. : Wall, in a separate appearance: before the Senate Banking Commit-: tee, said the bulk of the: withdrawals were a normal: response to rising interest rates.: Other investments offering a better; return, such as money market: mutual funds, lure bank and S&L: customers away, he said. Also, shaky and rescued S&Ls; under orders from regulators to scale back their operations, represented another substantial portion, he said. ROGER MARTIN, another member of the bank board, told reporters that withdrawals throughout the thrift industry totaled $7 billion in January. That represents a continuation of the so-called “silent run” that began gathering steam with a $7 billion outflow in November and a record withdrawal of $B.l billion in December. The withdrawals add up to $26 billion to $27 billion over the four months. All S&L deposits at the end of 1988 totaled $970 billion.

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