Newspaper Page Text
By LAWRENCE L. KNUTSON
Associated Press Writer
WASHINGTON (AP) - The
Zenith moving key operations
CHICAGO (AP) - Zenith Ra
dio Corp., which claims to rely
on American parts and labor
more than any other major
television maker, is moving key
operations to Mexico and Tai
wan and eventually eliminating
one-fourth of its U.S. workforce.
Chairman John Nevin said
Tuesday the firm was forced to
take the action because of for
eign competition.
The announcement comes a
week after Youngstown Steel
Co. announced the layoff of 5,-
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Braces for horse
KISSIMMEE, Fla. — “Deck” a 9-year-old hone, doesn’t
know how lucky he is. Injured in a freak accident, which
might have resulted in having to be shot. He is now the
first horse to be fitted with braces. Sherwood Brown,
father of the veterinarian, and a welder is shown here with
“Deck” and the braces that Sherwood designed and
helped to make for the hone. (AP)
newsj
McDonald case closed
ATLANTA (AP) — U.S. Atty. William Harper says
allegations that Rep. Larry McDonald violated federal
gun law are not “prosecutable,” and that means the case
is closed.
McDonald, a politically conservative Marietta
urologist, came under federal scrutiny last April when he
was accused of using the signatures of patients on federal
firearms forms in order to amass a collection of
automatic weapons and explosives.
On Tuesday, Harper announced that his office had made
a “thorough and complete investigation” and had
“determined that the case was not prosecutable.”
Gainesville buys buses
GAINESVILLE, Ga. (AP) — The Gainesville City
Commission has voted to buy five new buses and to hire
seven additional employes in an effort to improve its
overtaxed city school bus system.
The system has been strained to accomodate an ad
ditional 30,000 students since 1975, according to Georgia
Mountains Area Planning and Development Commission
director Dr. Sam Dayton.
Officials estimate that the additional buses and em
ployes will tost the city between $60,000 and $90,000 for
the remainder of the school year. City Manager Ray Keith
said the cost will be absorbed by a $200,000 grant for urban
renewal.
Gay, Ga. mayor quits
GAY, Ga. (AP) — “If you can’t lick ’em and you can’t
join ’em, you just have to walk away,” Edith Buchanan
observed after announcing she was quitting as mayor of
this middle Georgia town.
Mrs. Buchanan decided to call it quits Tuesday after the
city council, over her objections, voted to ignore a munici
pal ordinance that called for a sl-a-day fine for businesses
failing to meet a Sept. 1 deadline for the purchase of
business licenses.
“If you’ve got an ordinance, you’ve got to enforce it,”
Mrs. Buchanan insisted. But after one businessman
refused to pay the fine, the council waived the penalty and
decided to refund fines to several other businesses that
had already paid.
Carter counterattacks canal treaty foes
Carter administration’s mili
tary and diplomatic forces are
mounting a united, point-by-
000 workers in Ohio, in part be
cause of competition from over
seas manufacturers.
Nevin said he believed Zenith
“has tried longer and has tried
harder than others to protect
the jobs of its U.S. employes.
“It is now clear, however,
that competitive manufacturers
are obtaining increasingly sig
nificant cost advantages from
production activities in lower
labor cost areas of the world.”
Nevin said the firm would
point counterattack against a
well-organized campaign to
scuttle the Panama Canal
transfer much of its television
module board and chassis as
sembly operations to plants in
Mexico and Taiwan. The move
is expected to cost 3,500 Ameri
can jobs by next year. Another
1,500 would be eliminated
through the purchase of im
ported stereo products.
The move will mean the al
most immediate firing of 600
middle-management, research
and engineering personnel,
mainly in the Chicago area. It
also will force the eventual lay
off of some 5,000 hourly workers
at plants in Chicago, Paris, 111.,
Springfield, Mo., Sioux City,
lowa, and Watsontown, Pa.
Zenith currently employs
about 21,000 hourly workers in
the United States and 3,000
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treaty.
In two days of hard-sell testi
mony this week, senior admin-
overseas.
Leaders of the Independent
Radionics Workers of America,
which represents Zenith’s hour
ly employes, were unavailable
for comment.
Zenith’s stock on the New
York Stock Exchange dropped
% point to 14% Tuesday when
news of the staff reduction was
announced.
Zenith’s profits fell 11 per cent
during the first six months of
the year, and Nevin announced
in August that the firm would
give increased sales promotion
allowances to its distributors.
At the time, Nevin said the
allowances would cut third
quarter profits, although he
expected the company to show a
profit for the year overall.
istration officials sought to re
ply to the anti-treaty campaign
and to specific conservative ar
guments against ratification.
Conservative opponents of the
treaty have argued that the
treaty does not guarantee the
U.S. right to defend the canal
after it is turned over to Pan
ama in the year 2000.
But in Senate testimony Tues
day, Defense Secretary Harold
Brown and Gen. George S.
Brown, chairman of the mili
tary Joint Chiefs of Staff,
stressed that there will be a far
more dangerous military threat
to the security of the canal if the
treaty is rejected than if it is
ratified.
Meanwhile, retired Adm.
Thomas Moorer, one of four
former chiefs of naval oper
ations on record as opposing
ratification of the treaty, was
called before the House Inter
national Relations Committee
today.
In his testimony Tuesday be-
Page 5
fore the Senate Foreign Affairs
Committee, Defense Secretary
Brown said: “The canal was
built for shipping, not slogans.
The treaties you are examining
provide real security, not paper
claims. They offer the most
practical guarantee obtainable
that the canal will remain oper
ational, secure and available to
the United States.”
And Gen. Brown indicated the
nation would have to be
prepared for a long period of
military action in Latin Amer
ica if the Senate refuses to rati
fy the treaty.
He said a guerrilla warfare
campaign from inside Panama
would require three divisions or
about 100,000 men to assure an
adequate force to protect the
canal. He said even a U.S. mili
tary force of that size could not
stop saboteurs or commandos
from causing enough damage to
force the canal to close down for
short periods.
And Secretary Brown said ef
forts to operate in such a hostile
Griffin Daily News Wednesday, September 28, 1977
environment would mean
repeated shutdowns that would
require the United States to re
spond with military force “over
and over again.”
Asked to respond to critics
who say that making the canal a
neutral zone would open it to
enemy shipping in time of war,
Secretary Brown said the treaty
does give the ships of all nations
access to the canal — but it does
not guarantee them safe
passage to reach it.
Adm. James L. Holloway 111,
chief of naval operations, told
the Senate panel in a written
statement that approving the
treaty would contribute to “a
friendly and cooperative atti
tude” toward the United States
by Latin American countries.
Meanwhile, a subcommittee
of the Senate Judiciary Com
mittee subpoenaed a recently
discharged Army sergeant who
allegedly passed to the Pan
amanian government evidence
that U.S. intelligence agents
bugged Panama’s treaty nego-
tiating team.
The Senate intelligence com
mittee, the State Department,
the Defense Department and
the two chief U.S. negotiators
have said the alleged incident in
no way affected the outcome of
the negotiations.
CBS News reported Tuesday
night that a second American
soldier was involved in selling
intelligence information to Pan
amanian officials. The service
man reportedly was involved in
U.S. intelligence operations
dealing with Panama. CBS said
the man was not prosecuted be
cause U.S. officials did not want
to have to disclose details of
their intelligence operations in
Panama.
CBS said the American was
granted immunity from prose
cution in exchange for revealing
what he had given the Pan
amanians. CBS, quoting Senate
sources, said the American was
given an honorable discharge
and that U.S. officials do not
know where he is now.