The subject is a sore one for Nasdaq and its market-making companies which were widely criticized two years ago following complaints from investors who could n't reach their brokers or trade in the chaos of the crash

( S ( NP-SBJ ( DT The ) ( NN subject ) ) ( VP ( VBZ is ) ( NP-PRD ( DT a ) ( JJ sore ) ( CD one ) ) ( PP ( IN for ) ( NP ( NP ( NNP Nasdaq ) ) ( CC and ) ( NP ( NP ( PRP$ its ) ( JJ market-making ) ( NNS companies ) ) ( SBAR ( WHNP-3 ( WDT which ) ) ( S ( VP ( VBD were ) ( VP ( ADVP-MNR ( RB widely ) ) ( VBN criticized ) ( ADVP-TMP ( NP ( CD two ) ( NNS years ) ) ( RB ago ) ) ( PP-TMP ( VBG following ) ( NP ( NP ( NNS complaints ) ) ( PP ( IN from ) ( NP ( NP ( NNS investors ) ) ( SBAR ( WHNP-2 ( WP who ) ) ( S ( VP ( MD could ) ( RB n't ) ( VP ( VP ( VB reach ) ( NP ( PRP$ their ) ( NNS brokers ) ) ) ( CC or ) ( VP ( VB trade ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NN chaos ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN crash ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Peter DaPuzzo head of retail equity trading at Shearson Lehman Hutton declared It was the last hour of trading on a Friday

( S ( NP-SBJ ( NP ( NNP Peter ) ( NNP DaPuzzo ) ) ( NP ( NP ( NN head ) ) ( PP ( IN of ) ( NP ( JJ retail ) ( NN equity ) ( NN trading ) ) ) ( PP-LOC ( IN at ) ( NP ( NNP Shearson ) ( NNP Lehman ) ( NNP Hutton ) ) ) ) ) ( VP ( VBD declared ) ( SBAR ( S ( NP-SBJ ( PRP It ) ) ( VP ( VBD was ) ( NP-PRD ( NP ( DT the ) ( JJ last ) ( NN hour ) ) ( PP ( IN of ) ( NP ( NN trading ) ) ) ( PP-LOC ( IN on ) ( NP ( DT a ) ( NNP Friday ) ) ) ) ) ) ) ) )


There were too many phones ringing and too many things happening to expect market makers to be as efficient as robots

( S ( NP-SBJ ( EX There ) ) ( VP ( VBD were ) ( NP-PRD ( NP ( NP ( ADJP ( RB too ) ( JJ many ) ) ( NNS phones ) ) ( VP ( VBG ringing ) ) ) ( CC and ) ( NP ( NP ( ADJP ( RB too ) ( JJ many ) ) ( NNS things ) ) ( VP ( VBG happening ) ) ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB expect ) ( S ( NP-SBJ ( NN market ) ( NNS makers ) ) ( VP ( TO to ) ( VP ( VB be ) ( ADJP-PRD ( ADJP ( RB as ) ( JJ efficient ) ) ( PP ( IN as ) ( NP ( NNS robots ) ) ) ) ) ) ) ) ) ) ) )


It was n't intentional we were all busy

( S ( S ( NP-SBJ ( PRP It ) ) ( VP ( VBD was ) ( RB n't ) ( ADJP-PRD ( JJ intentional ) ) ) ) ( S ( NP-SBJ ( PRP we ) ) ( VP ( VBD were ) ( RB all ) ( ADJP-PRD ( JJ busy ) ) ) ) )


James Tarantino head of OTC trading at Hambrecht & Quist in San Francisco said It was just like two years ago

( S ( NP-SBJ ( NP ( NNP James ) ( NNP Tarantino ) ) ( NP ( NP ( NN head ) ) ( PP ( IN of ) ( NP ( NP ( NNP OTC ) ) ( NN trading ) ) ) ( PP-LOC ( IN at ) ( NP ( NP ( NNP Hambrecht ) ( CC & ) ( NNP Quist ) ) ( PP-LOC ( IN in ) ( NP ( NNP San ) ( NNP Francisco ) ) ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP It ) ) ( VP ( VBD was ) ( PP-PRD ( ADVP ( RB just ) ) ( IN like ) ( ADVP ( NP ( CD two ) ( NNS years ) ) ( RB ago ) ) ) ) ) ) ) )


Everybody was trying to do the same thing at the same time

( S ( NP-SBJ-1 ( NN Everybody ) ) ( VP ( VBD was ) ( VP ( VBG trying ) ( S ( VP ( TO to ) ( VP ( VB do ) ( NP ( DT the ) ( JJ same ) ( NN thing ) ) ( PP-TMP ( IN at ) ( NP ( DT the ) ( JJ same ) ( NN time ) ) ) ) ) ) ) ) )


Jeremiah Mullins the OTC trading chief at Dean Witter Reynolds in New York said proudly that his company executed every order it received by the close of trading

( S ( NP-SBJ ( NP ( NNP Jeremiah ) ( NNP Mullins ) ) ( NP ( NP ( DT the ) ( NNP OTC ) ( NN trading ) ( NN chief ) ) ( PP-LOC ( IN at ) ( NP ( NP ( NNP Dean ) ( NNP Witter ) ( NNP Reynolds ) ) ( PP-LOC ( IN in ) ( NP ( NNP New ) ( NNP York ) ) ) ) ) ) ) ( VP ( VBD said ) ( ADVP-MNR ( RB proudly ) ) ( SBAR ( IN that ) ( S ( NP-SBJ ( PRP$ his ) ( NN company ) ) ( VP ( VBD executed ) ( NP ( NP ( DT every ) ( NN order ) ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD received ) ) ) ) ) ( PP-TMP ( IN by ) ( NP ( NP ( DT the ) ( NN close ) ) ( PP ( IN of ) ( NP ( NN trading ) ) ) ) ) ) ) ) ) )


But he added you can only take one call at a time

( S-1 ( CC But ) ( PRN ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD added ) ) ) ) ( NP-SBJ ( PRP you ) ) ( VP ( MD can ) ( ADVP ( RB only ) ) ( VP ( VB take ) ( NP ( CD one ) ( NN call ) ) ( PP-TMP ( IN at ) ( NP ( DT a ) ( NN time ) ) ) ) ) )


Market makers keep supplies of stock on hand to maintain orderly trading when imbalances occur

( S ( NP-SBJ-2 ( NN Market ) ( NNS makers ) ) ( VP ( VBP keep ) ( NP ( NP ( NNS supplies ) ) ( PP ( IN of ) ( NP ( NN stock ) ) ) ) ( PP-LOC-CLR ( IN on ) ( NP ( NN hand ) ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB maintain ) ( NP ( JJ orderly ) ( NN trading ) ) ( SBAR-TMP ( WHADVP-1 ( WRB when ) ) ( S ( NP-SBJ ( NNS imbalances ) ) ( VP ( VBP occur ) ) ) ) ) ) ) ) )


On days like Friday that means they must buy shares from sellers when no one else is willing to

( S ( PP-TMP ( IN On ) ( NP ( NP ( NNS days ) ) ( PP ( IN like ) ( NP ( NNP Friday ) ) ) ) ) ( NP-SBJ ( WDT that ) ) ( VP ( VBZ means ) ( SBAR ( S ( NP-SBJ ( PRP they ) ) ( VP ( MD must ) ( VP ( VB buy ) ( NP ( NNS shares ) ) ( PP-CLR ( IN from ) ( NP ( NNS sellers ) ) ) ( SBAR-TMP ( WHADVP-1 ( WRB when ) ) ( S ( NP-SBJ-2 ( NP ( DT no ) ( NN one ) ) ( ADJP ( RB else ) ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ willing ) ( S ( VP ( TO to ) ) ) ) ) ) ) ) ) ) ) ) )


When selling is so frenzied prices fall steeply and fast

( S ( SBAR-TMP ( WHADVP-1 ( WRB When ) ) ( S ( NP-SBJ ( NN selling ) ) ( VP ( VBZ is ) ( ADJP-PRD ( RB so ) ( JJ frenzied ) ) ) ) ) ( NP-SBJ ( NNS prices ) ) ( VP ( VBP fall ) ( ADVP-MNR ( RB steeply ) ( CC and ) ( RB fast ) ) ) )


Two years ago faced with the possibility of heavy losses on the stocks in their inventories market makers themselves began dumping shares exacerbating the slide in OTC stock prices

( S ( ADVP-TMP ( NP ( CD Two ) ( NNS years ) ) ( RB ago ) ) ( S-ADV ( VP ( VBN faced ) ( PP-CLR ( IN with ) ( NP ( NP ( DT the ) ( NN possibility ) ) ( PP ( IN of ) ( NP ( NP ( JJ heavy ) ( NNS losses ) ) ( PP ( IN on ) ( NP ( NP ( DT the ) ( NNS stocks ) ) ( PP-LOC ( IN in ) ( NP ( PRP$ their ) ( NNS inventories ) ) ) ) ) ) ) ) ) ) ) ( NP-SBJ-2 ( NP ( NN market ) ( NNS makers ) ) ( NP ( PRP themselves ) ) ) ( VP ( VBD began ) ( S ( VP ( VBG dumping ) ( NP ( NNS shares ) ) ) ) ( S-ADV ( VP ( VBG exacerbating ) ( NP ( NP ( DT the ) ( NN slide ) ) ( PP-LOC ( IN in ) ( NP ( NNP OTC ) ( NN stock ) ( NNS prices ) ) ) ) ) ) ) )


On Friday some market makers were selling again traders said

( S ( S-TPC-1 ( PP-TMP ( IN On ) ( NP ( NNP Friday ) ) ) ( NP-SBJ ( DT some ) ( NN market ) ( NNS makers ) ) ( VP ( VBD were ) ( VP ( VBG selling ) ( ADVP-TMP ( RB again ) ) ) ) ) ( NP-SBJ ( NNS traders ) ) ( VP ( VBD said ) ) )


But with profits sagging on Wall Street since the crash companies have kept smaller share stockpiles on hand

( S ( CC But ) ( PP ( IN with ) ( S-NOM ( NP-SBJ ( NNS profits ) ) ( VP ( VBG sagging ) ( PP-LOC ( IN on ) ( NP ( NNP Wall ) ( NNP Street ) ) ) ( PP-TMP ( IN since ) ( NP ( DT the ) ( NN crash ) ) ) ) ) ) ( NP-SBJ ( NNS companies ) ) ( VP ( VBP have ) ( VP ( VBN kept ) ( NP ( JJR smaller ) ( NN share ) ( NNS stockpiles ) ) ( PP-LOC-CLR ( IN on ) ( NP ( NN hand ) ) ) ) ) )


Mr. Tarantino of Hambrecht & Quist said some prices fell without trades taking place as market makers kept dropping the prices at which they would buy shares

( S ( NP-SBJ ( NP ( NNP Mr. ) ( NNP Tarantino ) ) ( PP ( IN of ) ( NP ( NNP Hambrecht ) ( CC & ) ( NNP Quist ) ) ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( DT some ) ( NNS prices ) ) ( VP ( VBD fell ) ( PP ( IN without ) ( S-NOM ( NP-SBJ ( NNS trades ) ) ( VP ( VBG taking ) ( NP ( NN place ) ) ) ) ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ-1 ( NN market ) ( NNS makers ) ) ( VP ( VBD kept ) ( S ( VP ( VBG dropping ) ( NP ( NP ( DT the ) ( NNS prices ) ) ( SBAR ( WHPP-2 ( IN at ) ( WHNP ( WDT which ) ) ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( MD would ) ( VP ( VB buy ) ( NP ( NNS shares ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Everyone was hitting everyone else 's bid he said

( S ( S-TPC-1 ( NP-SBJ ( NN Everyone ) ) ( VP ( VBD was ) ( VP ( VBG hitting ) ( NP ( NP ( NP ( NP ( NN everyone ) ) ( ADJP ( RB else ) ) ) ( POS 's ) ) ( NN bid ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) )


So while OTC companies incurred losses on Friday trading officials said the damage was n't as bad as it was in 1987

( S ( RB So ) ( SBAR-ADV ( IN while ) ( S ( NP-SBJ ( NP ( NNP OTC ) ) ( NNS companies ) ) ( VP ( VBD incurred ) ( NP ( NNS losses ) ) ( PP-TMP ( IN on ) ( NP ( NNP Friday ) ) ) ) ) ) ( NP-SBJ ( NN trading ) ( NNS officials ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NN damage ) ) ( VP ( VBD was ) ( RB n't ) ( ADJP-PRD ( ADJP ( RB as ) ( JJ bad ) ) ( SBAR ( IN as ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD was ) ( PP-TMP ( IN in ) ( NP ( CD 1987 ) ) ) ) ) ) ) ) ) ) ) )


Two years ago we were carrying huge inventories and that was the big culprit

( S ( ADVP-TMP ( NP ( CD Two ) ( NNS years ) ) ( RB ago ) ) ( S ( NP-SBJ ( PRP we ) ) ( VP ( VBD were ) ( VP ( VBG carrying ) ( NP ( JJ huge ) ( NNS inventories ) ) ) ) ) ( CC and ) ( S ( NP-SBJ ( DT that ) ) ( VP ( VBD was ) ( NP-PRD ( DT the ) ( JJ big ) ( NN culprit ) ) ) ) )


I do n't know of anyone carrying big inventories now said Mr. King of Robinson-Humphrey

( SINV ( S-TPC-1 ( NP-SBJ ( PRP I ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB know ) ( PP-CLR ( IN of ) ( NP ( NP ( NN anyone ) ) ( VP ( VBG carrying ) ( NP ( JJ big ) ( NNS inventories ) ) ( ADVP-TMP ( RB now ) ) ) ) ) ) ) ) ( VP ( VBD said ) ) ( NP-SBJ ( NP ( NNP Mr. ) ( NNP King ) ) ( PP ( IN of ) ( NP ( NNP Robinson-Humphrey ) ) ) ) )


Tony Cecin head of equity trading at Piper Jaffray & Hopwood in Minneapolis said that Piper Jaffray actually made money on Friday

( S ( NP-SBJ ( NP ( NNP Tony ) ( NNP Cecin ) ) ( NP ( NP ( NN head ) ) ( PP ( IN of ) ( NP ( NN equity ) ( NN trading ) ) ) ( PP-LOC ( IN at ) ( NP ( NP ( NNP Piper ) ( NNP Jaffray ) ( CC & ) ( NNP Hopwood ) ) ( PP-LOC ( IN in ) ( NP ( NNP Minneapolis ) ) ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NNP Piper ) ( NNP Jaffray ) ) ( ADVP ( RB actually ) ) ( VP ( VBD made ) ( NP ( NN money ) ) ( PP-TMP ( IN on ) ( NP ( NNP Friday ) ) ) ) ) ) ) )


It helped that his inventory is a third smaller now than it was two years ago he said

( S ( S-TPC-3 ( NP-SBJ ( NP ( PRP It ) ) ) ( VP ( VBD helped ) ( SBAR-1 ( IN that ) ( S ( NP-SBJ ( PRP$ his ) ( NN inventory ) ) ( VP ( VBZ is ) ( ADJP-PRD ( ADJP ( NP ( DT a ) ( NN third ) ) ( JJR smaller ) ) ) ( ADVP-TMP ( RB now ) ) ( SBAR-2 ( IN than ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD was ) ( ADVP-TMP ( NP ( CD two ) ( NNS years ) ) ( RB ago ) ) ) ) ) ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) )


Joseph Hardiman president of the National Association of Securities Dealers which oversees the Nasdaq computerized trading system said that despite the rush of selling he never considered the situation an emergency

( S ( NP-SBJ ( NP ( NNP Joseph ) ( NNP Hardiman ) ) ( NP ( NP ( NN president ) ) ( PP ( IN of ) ( NP ( NP ( NP ( DT the ) ( NNP National ) ( NNP Association ) ) ( PP ( IN of ) ( NP ( NNP Securities ) ( NNP Dealers ) ) ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBZ oversees ) ( NP ( DT the ) ( NNP Nasdaq ) ( JJ computerized ) ( NN trading ) ( NN system ) ) ) ) ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( IN that ) ( S ( PP ( IN despite ) ( NP ( NP ( DT the ) ( NN rush ) ) ( PP ( IN of ) ( NP ( VBG selling ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( ADVP-TMP ( RB never ) ) ( VP ( VBD considered ) ( S ( NP-SBJ ( DT the ) ( NN situation ) ) ( NP-PRD ( DT an ) ( NN emergency ) ) ) ) ) ) ) )


The pace of trading was orderly he said

( S ( S-TPC-1 ( NP-SBJ ( NP ( DT The ) ( NN pace ) ) ( PP ( IN of ) ( NP ( NN trading ) ) ) ) ( VP ( VBD was ) ( ADJP-PRD ( JJ orderly ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) )


Nasdaq 's Small Order Execution System worked beautifully as did the automated system for larger trades according to Mr. Hardiman

( S ( NP-SBJ ( NP ( NNP Nasdaq ) ( POS 's ) ) ( NNP Small ) ( NNP Order ) ( NNP Execution ) ( NNP System ) ) ( VP ( VBD worked ) ( ADVP-MNR ( RB beautifully ) ) ( SBAR-ADV ( IN as ) ( SINV ( VBD did ) ( NP-SBJ ( NP ( DT the ) ( JJ automated ) ( NN system ) ) ( PP ( IN for ) ( NP ( JJR larger ) ( NNS trades ) ) ) ) ) ) ( PP ( VBG according ) ( PP ( TO to ) ( NP ( NNP Mr. ) ( NNP Hardiman ) ) ) ) ) )


Nevertheless the shock of another steep plunge in stock prices undoubtedly will shake many investors ' confidence

( S ( ADVP ( RB Nevertheless ) ) ( NP-SBJ ( NP ( DT the ) ( NN shock ) ) ( PP ( IN of ) ( NP ( NP ( DT another ) ( JJ steep ) ( NN plunge ) ) ( PP-LOC ( IN in ) ( NP ( NN stock ) ( NNS prices ) ) ) ) ) ) ( ADVP ( RB undoubtedly ) ) ( VP ( MD will ) ( VP ( VB shake ) ( NP ( NP ( JJ many ) ( NNS investors ) ( POS ' ) ) ( NN confidence ) ) ) ) )


In the past the OTC market thrived on a firm base of small-investor participation

( S ( PP-TMP ( IN In ) ( NP ( DT the ) ( NN past ) ) ) ( NP-SBJ ( DT the ) ( NNP OTC ) ( NN market ) ) ( VP ( VBD thrived ) ( PP-CLR ( IN on ) ( NP ( NP ( DT a ) ( JJ firm ) ( NN base ) ) ( PP ( IN of ) ( NP ( NN small-investor ) ( NN participation ) ) ) ) ) ) )


Because Nasdaq 's trading volume has n't returned to pre-crash levels traders and OTC market officials hope the damage wo n't be permanent

( S ( SBAR-PRP ( IN Because ) ( S ( NP-SBJ ( NP ( NNP Nasdaq ) ( POS 's ) ) ( NN trading ) ( NN volume ) ) ( VP ( VBZ has ) ( RB n't ) ( VP ( VBN returned ) ( PP-DIR ( TO to ) ( NP ( JJ pre-crash ) ( NNS levels ) ) ) ) ) ) ) ( NP-SBJ ( NP ( NNS traders ) ) ( CC and ) ( NP ( NNP OTC ) ( NN market ) ( NNS officials ) ) ) ( VP ( VBP hope ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NN damage ) ) ( VP ( MD wo ) ( RB n't ) ( VP ( VB be ) ( ADJP-PRD ( JJ permanent ) ) ) ) ) ) ) )


But they are worried

( S ( CC But ) ( NP-SBJ ( PRP they ) ) ( VP ( VBP are ) ( ADJP-PRD ( JJ worried ) ) ) )


We were just starting to get the public 's confidence back lamented Mr. Mullins of Dean Witter

( SINV ( S-TPC-1 ( NP-SBJ-2 ( PRP We ) ) ( VP ( VBD were ) ( ADVP ( RB just ) ) ( VP ( VBG starting ) ( S ( VP ( TO to ) ( VP ( VB get ) ( NP ( NP ( DT the ) ( NN public ) ( POS 's ) ) ( NN confidence ) ) ( PRT ( RP back ) ) ) ) ) ) ) ) ( VP ( VBD lamented ) ) ( NP-SBJ ( NP ( NNP Mr. ) ( NNP Mullins ) ) ( PP ( IN of ) ( NP ( NNP Dean ) ( NNP Witter ) ) ) ) )


More troubling is the prospect that the overall collapse in stock prices could permanently erode the base of small-investor support the OTC market was struggling to rebuild in the wake of the October 1987 crash

( SINV ( ADJP-PRD-TPC-1 ( RBR More ) ( JJ troubling ) ) ( VP ( VBZ is ) ) ( NP-SBJ ( DT the ) ( NN prospect ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( DT the ) ( JJ overall ) ( NN collapse ) ) ( PP-LOC ( IN in ) ( NP ( NN stock ) ( NNS prices ) ) ) ) ( VP ( MD could ) ( ADVP ( RB permanently ) ) ( VP ( VB erode ) ( NP ( NP ( DT the ) ( NN base ) ) ( PP ( IN of ) ( NP ( NN small-investor ) ( NN support ) ) ) ( SBAR ( S ( NP-SBJ-2 ( DT the ) ( NNP OTC ) ( NN market ) ) ( VP ( VBD was ) ( VP ( VBG struggling ) ( S ( VP ( TO to ) ( VP ( VB rebuild ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NN wake ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP October ) ( CD 1987 ) ( NN crash ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Mr. Cecin of Piper Jaffray says some action from government policy makers would allay investor fears

( S ( NP-SBJ ( NP ( NNP Mr. ) ( NNP Cecin ) ) ( PP ( IN of ) ( NP ( NNP Piper ) ( NNP Jaffray ) ) ) ) ( VP ( VBZ says ) ( SBAR ( S ( NP-SBJ ( NP ( DT some ) ( NN action ) ) ( PP ( IN from ) ( NP ( NN government ) ( NN policy ) ( NNS makers ) ) ) ) ( VP ( MD would ) ( VP ( VB allay ) ( NP ( NN investor ) ( NNS fears ) ) ) ) ) ) ) )


It wo n't take much more to scare the hell out of retail investors he says

( S ( S-TPC-1 ( NP-SBJ ( NP ( PRP It ) ) ) ( VP ( MD wo ) ( RB n't ) ( VP ( VB take ) ( NP ( NP ( JJ much ) ) ( ADJP ( RBR more ) ) ) ( S-2 ( VP ( TO to ) ( VP ( VB scare ) ( NP-CLR ( DT the ) ( NN hell ) ) ( ADVP-CLR ( IN out ) ( PP ( IN of ) ( NP ( JJ retail ) ( NNS investors ) ) ) ) ) ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBZ says ) ) )


The sellers on Friday came from all corners of the OTC market big and small institutional investors as well as individual investors and market makers

( S ( NP-SBJ ( NP ( DT The ) ( NNS sellers ) ) ) ( PP-TMP ( IN on ) ( NP ( NNP Friday ) ) ) ( VP ( VBD came ) ( PP-DIR ( IN from ) ( NP ( NP ( DT all ) ( NNS corners ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP OTC ) ( NN market ) ) ) ) ) ( NP-1 ( NP ( ADJP ( JJ big ) ( CC and ) ( JJ small ) ) ( JJ institutional ) ( NNS investors ) ) ( CONJP ( RB as ) ( RB well ) ( IN as ) ) ( NP ( NP ( JJ individual ) ( NNS investors ) ) ( CC and ) ( NP ( NN market ) ( NNS makers ) ) ) ) ) )


But grateful traders said the sell orders generally ranged from 20,000 shares to 50,000 shares compared with blocks of 500,000 shares or more two years ago

( S ( CC But ) ( NP-SBJ ( JJ grateful ) ( NNS traders ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NN sell ) ( NNS orders ) ) ( ADVP ( RB generally ) ) ( VP ( VBD ranged ) ( PP-DIR ( PP ( IN from ) ( NP ( CD 20,000 ) ( NNS shares ) ) ) ( PP ( TO to ) ( NP ( CD 50,000 ) ( NNS shares ) ) ) ) ( PP ( VBN compared ) ( PP ( IN with ) ( NP ( NP ( NNS blocks ) ) ( PP ( IN of ) ( NP ( NP ( CD 500,000 ) ( NNS shares ) ( QP ( CC or ) ( JJR more ) ) ) ) ) ) ( ADVP-TMP ( NP ( CD two ) ( NNS years ) ) ( RB ago ) ) ) ) ) ) ) ) )


Shearson 's Mr. DaPuzzo said retail investors nervously sold stock Friday and never returned to bargain-hunt

( S ( NP-SBJ ( NP ( NNP Shearson ) ( POS 's ) ) ( NNP Mr. ) ( NNP DaPuzzo ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( JJ retail ) ( NNS investors ) ) ( VP ( VP ( ADVP-MNR ( RB nervously ) ) ( VBD sold ) ( NP ( NN stock ) ) ( NP-TMP ( NNP Friday ) ) ) ( CC and ) ( VP ( ADVP-TMP ( RB never ) ) ( VBD returned ) ( S-PRP ( VP ( TO to ) ( VP ( VB bargain-hunt ) ) ) ) ) ) ) ) ) )


Institutional investors which had been selling stock throughout last week to lock in handsome gains made through the third quarter were calmer

( S ( NP-SBJ ( NP ( JJ Institutional ) ( NNS investors ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBD had ) ( VP ( VBN been ) ( VP ( VBG selling ) ( NP ( NN stock ) ) ( PP-TMP ( IN throughout ) ( NP ( JJ last ) ( NN week ) ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB lock ) ( PRT ( RP in ) ) ( NP ( NP ( JJ handsome ) ( NNS gains ) ) ( VP ( VBN made ) ( PP-TMP ( IN through ) ( NP ( DT the ) ( JJ third ) ( NN quarter ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( VP ( VBD were ) ( ADJP-PRD ( JJR calmer ) ) ) )


We had a good amount of selling from institutions but not as much panic Mr. DaPuzzo said

( S ( S-TPC-1 ( NP-SBJ ( PRP We ) ) ( VP ( VBD had ) ( NP ( NP ( NP ( DT a ) ( JJ good ) ( NN amount ) ) ( PP ( IN of ) ( NP ( VBG selling ) ) ) ( PP ( IN from ) ( NP ( NNS institutions ) ) ) ) ( CC but ) ( RB not ) ( NP ( ADJP ( IN as ) ( JJ much ) ) ( NN panic ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP DaPuzzo ) ) ( VP ( VBD said ) ) )


If they could n't sell some of them put the shares back on the shelf

( S ( SBAR-ADV ( IN If ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( MD could ) ( RB n't ) ( VP ( VB sell ) ) ) ) ) ( NP-SBJ ( NP ( DT some ) ) ( PP ( IN of ) ( NP ( PRP them ) ) ) ) ( VP ( VBD put ) ( NP ( DT the ) ( NNS shares ) ) ( ADVP-DIR ( RB back ) ) ( PP-PUT ( IN on ) ( NP ( DT the ) ( NN shelf ) ) ) ) )


In addition he said some bigger institutional investors placed bids to buy some OTC stocks whose prices were beaten down

( S-2 ( PP ( IN In ) ( NP ( NN addition ) ) ) ( PRN ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) ) ) ( NP-SBJ ( DT some ) ( JJR bigger ) ( JJ institutional ) ( NNS investors ) ) ( VP ( VBD placed ) ( NP ( NNS bids ) ( S ( VP ( TO to ) ( VP ( VB buy ) ( NP ( NP ( DT some ) ( NNP OTC ) ( NNS stocks ) ) ( SBAR ( WHNP-1 ( WP$ whose ) ( NNS prices ) ) ( S ( VP ( VBD were ) ( VP ( VBN beaten ) ( PRT ( RP down ) ) ) ) ) ) ) ) ) ) ) ) )


In addition Mr. DaPuzzo said computer-guided program selling of OTC stocks in the Russell Index of 2000 small stocks and the Standard & Poor 's 500-stock Index sent occasional waves through the market

( S ( PP ( IN In ) ( NP ( NN addition ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP DaPuzzo ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( NP ( JJ computer-guided ) ( NN program ) ( NN selling ) ) ( PP ( IN of ) ( NP ( NP ( NNP OTC ) ( NNS stocks ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NP ( DT the ) ( NNP Russell ) ( NNP Index ) ) ( PP ( IN of ) ( NP ( CD 2000 ) ( JJ small ) ( NNS stocks ) ) ) ) ( CC and ) ( NP ( NP ( DT the ) ( NNP Standard ) ( CC & ) ( NNP Poor ) ( POS 's ) ) ( NNP 500-stock ) ( NNP Index ) ) ) ) ) ) ) ( VP ( VBD sent ) ( NP ( JJ occasional ) ( NNS waves ) ) ( PP-DIR ( IN through ) ( NP ( DT the ) ( NN market ) ) ) ) ) ) ) )


Nasdaq 's biggest stocks were hammered

( S ( NP-SBJ-1 ( NP ( NNP Nasdaq ) ( POS 's ) ) ( JJS biggest ) ( NNS stocks ) ) ( VP ( VBD were ) ( VP ( VBN hammered ) ) ) )


The Nasdaq 100 Index of the largest nonfinancial issues including the big OTC technology issues tumbled 4.2 % or 19.76 to 449.33

( S ( NP-SBJ ( NP ( DT The ) ( NNP Nasdaq ) ( CD 100 ) ( NNP Index ) ) ( PP ( IN of ) ( NP ( NP ( DT the ) ( JJS largest ) ( JJ nonfinancial ) ( NNS issues ) ) ( PP ( VBG including ) ( NP ( DT the ) ( JJ big ) ( NNP OTC ) ( NN technology ) ( NNS issues ) ) ) ) ) ) ( VP ( VBD tumbled ) ( NP-EXT ( NP ( CD 4.2 ) ( NN % ) ) ( CC or ) ( NP ( CD 19.76 ) ) ) ( PP-DIR ( TO to ) ( NP ( CD 449.33 ) ) ) ) )


The Nasdaq Financial Index of giant insurance and banking stocks dropped 2 % or 9.31 to 462.98

( S ( NP-SBJ ( NP ( DT The ) ( NNP Nasdaq ) ( NNP Financial ) ( NNP Index ) ) ( PP ( IN of ) ( NP ( JJ giant ) ( NN insurance ) ( CC and ) ( NN banking ) ( NNS stocks ) ) ) ) ( VP ( VBD dropped ) ( NP-EXT ( NP ( CD 2 ) ( NN % ) ) ( CC or ) ( NP ( CD 9.31 ) ) ) ( PP-DIR ( TO to ) ( NP ( CD 462.98 ) ) ) ) )


The OTC market has only a handful of takeover-related stocks

( S ( NP-SBJ ( DT The ) ( NNP OTC ) ( NN market ) ) ( VP ( VBZ has ) ( NP ( NP ( RB only ) ( DT a ) ( NN handful ) ) ( PP ( IN of ) ( NP ( JJ takeover-related ) ( NNS stocks ) ) ) ) ) )


But they fell sharply

( S ( CC But ) ( NP-SBJ ( PRP they ) ) ( VP ( VBD fell ) ( ADVP-MNR ( RB sharply ) ) ) )


McCaw Cellular Communications for instance has offered to buy LIN Broadcasting as well as Metromedia 's New York City cellular telephone interests and in a separate transaction sell certain McCaw properties to Contel Cellular

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McCaw lost 8 % or 3 1\/2 to 40

( S ( NP-SBJ ( NNP McCaw ) ) ( VP ( VBD lost ) ( NP ( NP ( CD 8 ) ( NN % ) ) ( CC or ) ( NP ( QP ( CD 3 ) ( CD 1\/2 ) ) ) ) ( PP-DIR ( TO to ) ( NP ( CD 40 ) ) ) ) )


LIN Broadcasting dropped 5 1\/2 or 5 % to 107 1\/2

( S ( NP-SBJ ( NNP LIN ) ( NNP Broadcasting ) ) ( VP ( VBD dropped ) ( NP-EXT ( NP ( QP ( CD 5 ) ( CD 1\/2 ) ) ) ( CC or ) ( NP ( CD 5 ) ( NN % ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 107 ) ( CD 1\/2 ) ) ) ) ) )


The turnover in both issues was roughly normal

( S ( NP-SBJ ( NP ( DT The ) ( NN turnover ) ) ( PP-LOC ( IN in ) ( NP ( DT both ) ( NNS issues ) ) ) ) ( VP ( VBD was ) ( ADJP-PRD ( RB roughly ) ( JJ normal ) ) ) )


On a day when negative takeover-related news did n't sit well with investors Commercial Intertech a maker of engineered metal parts said Haas & Partners advised it that it does n't plan to pursue its previously reported 27.50-a-share bid to buy the company

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Commercial Intertech plummeted 6 to 26

( S ( NP-SBJ ( NNP Commercial ) ( NNP Intertech ) ) ( VP ( VBD plummeted ) ( NP-EXT ( CD 6 ) ) ( PP-DIR ( TO to ) ( NP ( CD 26 ) ) ) ) )


The issues of companies with ties to the junk bond market also tumbled Friday

( S ( NP-SBJ ( NP ( DT The ) ( NNS issues ) ) ( PP ( IN of ) ( NP ( NP ( NNS companies ) ) ( PP ( IN with ) ( NP ( NP ( NNS ties ) ) ( PP ( TO to ) ( NP ( DT the ) ( NN junk ) ( NN bond ) ( NN market ) ) ) ) ) ) ) ) ( ADVP ( RB also ) ) ( VP ( VBD tumbled ) ( NP-TMP ( NNP Friday ) ) ) )


On the OTC market First Executive a big buyer of the high-risk high-yield issues slid 2 to 12 1\/4

( S ( PP-TMP ( IN On ) ( NP ( DT the ) ( NNP OTC ) ( NN market ) ) ) ( NP-SBJ ( NP ( NNP First ) ( NNP Executive ) ) ( NP ( NP ( DT a ) ( JJ big ) ( NN buyer ) ) ( PP ( IN of ) ( NP ( DT the ) ( JJ high-risk ) ( JJ high-yield ) ( NNS issues ) ) ) ) ) ( VP ( VBD slid ) ( NP-EXT ( CD 2 ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 12 ) ( CD 1\/4 ) ) ) ) ) )


Among other OTC issues Intel dropped 2 1\/8 to 33 7\/8 Laidlaw Transportation lost 1 1\/8 to 19 1\/2 the American depositary receipts of Jaguar were off 1\/4 to 10 1\/4 MCI Communications slipped 2 1\/4 to 43 1\/2 Apple Computer fell 3 to 45 3\/4 and Nike dropped 2 1\/4 to 66 3\/4

( S ( PP-LOC ( IN Among ) ( NP ( JJ other ) ( NNP OTC ) ( NNS issues ) ) ) ( S ( NP-SBJ ( NNP Intel ) ) ( VP ( VBD dropped ) ( NP-EXT ( QP ( CD 2 ) ( CD 1\/8 ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 33 ) ( CD 7\/8 ) ) ) ) ) ) ( S ( NP-SBJ ( NNP Laidlaw ) ( NNP Transportation ) ) ( VP ( VBD lost ) ( NP ( QP ( CD 1 ) ( CD 1\/8 ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 19 ) ( CD 1\/2 ) ) ) ) ) ) ( S ( NP-SBJ ( NP ( DT the ) ( JJ American ) ( JJ depositary ) ( NNS receipts ) ) ( PP ( IN of ) ( NP ( NNP Jaguar ) ) ) ) ( VP ( VBD were ) ( ADVP-PRD ( RB off ) ( NP ( CD 1\/4 ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 10 ) ( CD 1\/4 ) ) ) ) ) ) ( S ( NP-SBJ ( NNP MCI ) ( NNP Communications ) ) ( VP ( VBD slipped ) ( NP-EXT ( QP ( CD 2 ) ( CD 1\/4 ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 43 ) ( CD 1\/2 ) ) ) ) ) ) ( S ( NP-SBJ ( NNP Apple ) ( NNP Computer ) ) ( VP ( VBD fell ) ( NP-EXT ( CD 3 ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 45 ) ( CD 3\/4 ) ) ) ) ) ) ( CC and ) ( S ( NP-SBJ ( NNP Nike ) ) ( VP ( VBD dropped ) ( NP-EXT ( QP ( CD 2 ) ( CD 1\/4 ) ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 66 ) ( CD 3\/4 ) ) ) ) ) ) )


Investors who bought stock with borrowed money that is on margin may be more worried than most following Friday 's market drop

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That 's because their brokers can require them to sell some shares or put up more cash to enhance the collateral backing their loans

( S ( NP-SBJ ( DT That ) ) ( VP ( VBZ 's ) ( SBAR-PRP-PRD ( IN because ) ( S ( NP-SBJ ( PRP$ their ) ( NNS brokers ) ) ( VP ( MD can ) ( VP ( VB require ) ( S ( NP-SBJ ( PRP them ) ) ( VP ( TO to ) ( VP ( VP ( VB sell ) ( NP ( DT some ) ( NNS shares ) ) ) ( CC or ) ( VP ( VB put ) ( PRT ( RP up ) ) ( NP ( NP ( JJR more ) ( NN cash ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB enhance ) ( NP ( NP ( DT the ) ( NN collateral ) ) ( VP ( VBG backing ) ( NP ( PRP$ their ) ( NNS loans ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


In October 1987 these margin calls were thought to have contributed to the downward spiral of the stock market

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Typically a margin call occurs when the price of a stock falls below 75 % of its original value

( S ( ADVP ( RB Typically ) ) ( NP-SBJ ( DT a ) ( NN margin ) ( NN call ) ) ( VP ( VBZ occurs ) ( SBAR-TMP ( WHADVP-1 ( WRB when ) ) ( S ( NP-SBJ ( NP ( DT the ) ( NN price ) ) ( PP ( IN of ) ( NP ( DT a ) ( NN stock ) ) ) ) ( VP ( VBZ falls ) ( PP-DIR ( IN below ) ( NP ( NP ( CD 75 ) ( NN % ) ) ( PP ( IN of ) ( NP ( PRP$ its ) ( JJ original ) ( NN value ) ) ) ) ) ) ) ) ) )


If the investor does n't put up the extra cash to satisfy the call the brokerage firm may begin liquidating the securities

( S ( SBAR-ADV ( IN If ) ( S ( NP-SBJ ( DT the ) ( NN investor ) ) ( VP ( VBZ does ) ( RB n't ) ( VP ( VB put ) ( PRT ( RP up ) ) ( NP ( NP ( DT the ) ( JJ extra ) ( NN cash ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB satisfy ) ( NP ( DT the ) ( NN call ) ) ) ) ) ) ) ) ) ) ) ( NP-SBJ-2 ( DT the ) ( NN brokerage ) ( NN firm ) ) ( VP ( MD may ) ( VP ( VB begin ) ( S ( VP ( VBG liquidating ) ( NP ( DT the ) ( NNS securities ) ) ) ) ) ) )


But some big brokerage firms said they do n't expect major problems as a result of margin calls

( S ( CC But ) ( NP-SBJ ( DT some ) ( JJ big ) ( NN brokerage ) ( NNS firms ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP they ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB expect ) ( NP ( NP ( JJ major ) ( NNS problems ) ) ( PP-PRP ( IN as ) ( NP ( NP ( DT a ) ( NN result ) ) ( PP ( IN of ) ( NP ( NN margin ) ( NNS calls ) ) ) ) ) ) ) ) ) ) ) )


Margin calls since Friday have been higher than usual but reasonable a spokesman for Shearson Lehman Hutton Inc. said

( S ( S-TPC-1 ( NP-SBJ ( NN Margin ) ( NNS calls ) ) ( PP-TMP ( IN since ) ( NP ( NNP Friday ) ) ) ( VP ( VBP have ) ( VP ( VBN been ) ( ADJP-PRD ( ADJP ( ADJP ( JJR higher ) ) ( PP ( IN than ) ( NP ( JJ usual ) ) ) ) ( CC but ) ( ADJP ( JJ reasonable ) ) ) ) ) ) ( NP-SBJ ( NP ( DT a ) ( NN spokesman ) ) ( PP ( IN for ) ( NP ( NNP Shearson ) ( NNP Lehman ) ( NNP Hutton ) ( NNP Inc. ) ) ) ) ( VP ( VBD said ) ) )


Merrill Lynch & Co. officials do n't expect margin calls to be as big a factor as in 1987 because fewer individual investors are buying stock on margin a spokesman said

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Hugo Quackenbush senior vice president at Charles Schwab Corp. the San Francisco-based discount brokerage firm said he did n't expect any immediate problems with margin calls for Schwab customers

( S ( NP-SBJ ( NP ( NNP Hugo ) ( NNP Quackenbush ) ) ( NP ( NP ( JJ senior ) ( NN vice ) ( NN president ) ) ( PP-LOC ( IN at ) ( NP ( NP ( NNP Charles ) ( NNP Schwab ) ( NNP Corp. ) ) ( NP ( DT the ) ( ADJP ( NNP San ) ( JJ Francisco-based ) ) ( JJ discount ) ( NN brokerage ) ( NN firm ) ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD did ) ( RB n't ) ( VP ( VB expect ) ( NP ( NP ( DT any ) ( JJ immediate ) ( NNS problems ) ) ( PP ( IN with ) ( NP ( NN margin ) ( NNS calls ) ) ) ( PP ( IN for ) ( NP ( NNP Schwab ) ( NNS customers ) ) ) ) ) ) ) ) ) )


He said Schwab had increased margin requirements so customers have more of a cushion

( S ( NP-SBJ ( PRP He ) ) ( VP ( VBD said ) ( SBAR ( S ( S ( NP-SBJ ( NNP Schwab ) ) ( VP ( VBD had ) ( VP ( VBN increased ) ( NP ( NN margin ) ( NNS requirements ) ) ) ) ) ( IN so ) ( S ( NP-SBJ ( NNS customers ) ) ( VP ( VBP have ) ( NP ( NP ( JJR more ) ) ( PP ( IN of ) ( NP ( DT a ) ( NN cushion ) ) ) ) ) ) ) ) ) )


He added We learned a lesson in 1987 about volatility

( S ( NP-SBJ ( PRP He ) ) ( VP ( VBD added ) ( S ( NP-SBJ ( PRP We ) ) ( VP ( VBD learned ) ( NP ( NP ( DT a ) ( NN lesson ) ) ) ( PP-TMP ( IN in ) ( NP ( CD 1987 ) ) ) ( PP-1 ( IN about ) ( NP ( NN volatility ) ) ) ) ) ) )


The Senate 's decision to approve a bare-bones deficit-reduction bill without a capital-gains tax cut still leaves open the possibility of enacting a gains tax reduction this year

( S ( NP-SBJ ( NP ( DT The ) ( NNP Senate ) ( POS 's ) ) ( NN decision ) ( S ( VP ( TO to ) ( VP ( VB approve ) ( NP ( NP ( DT a ) ( JJ bare-bones ) ( NN deficit-reduction ) ( NN bill ) ) ( PP ( IN without ) ( NP ( DT a ) ( NNS capital-gains ) ( NN tax ) ( NN cut ) ) ) ) ) ) ) ) ( ADVP ( RB still ) ) ( VP ( VBZ leaves ) ( S ( ADJP-PRD ( JJ open ) ) ( NP-SBJ ( NP ( DT the ) ( NN possibility ) ) ( PP ( IN of ) ( S-NOM ( VP ( VBG enacting ) ( NP ( DT a ) ( NNS gains ) ( NN tax ) ( NN reduction ) ) ( NP-TMP ( DT this ) ( NN year ) ) ) ) ) ) ) ) )


Late Friday night the Senate voted 87-7 to approve an estimated 13.5 billion measure that had been stripped of hundreds of provisions that would have widened rather than narrowed the federal budget deficit

( S ( NP-TMP ( RB Late ) ( NNP Friday ) ( NN night ) ) ( NP-SBJ-1 ( DT the ) ( NNP Senate ) ) ( VP ( VBD voted ) ( ADVP ( CD 87-7 ) ) ( S ( VP ( TO to ) ( VP ( VB approve ) ( NP ( NP ( DT an ) ( JJ estimated ) ( ADJP ( QP ( CD 13.5 ) ( CD billion ) ) ) ( NN measure ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( VP ( VBD had ) ( VP ( VBN been ) ( VP ( VBN stripped ) ( PP-CLR ( IN of ) ( NP ( NP ( NP ( NNS hundreds ) ) ( PP ( IN of ) ( NP ( NNS provisions ) ) ) ) ( SBAR ( WHNP-9 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN widened ) ( CONJP ( RB rather ) ( IN than ) ) ( VBN narrowed ) ( NP ( DT the ) ( JJ federal ) ( NN budget ) ( NN deficit ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Lawmakers drastically streamlined the bill to blunt criticism that it was bloated with special-interest tax breaks and spending increases

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We 're putting a deficit-reduction bill back in the category of being a deficit-reduction bill said Senate Budget Committee Chairman James Sasser D. Tenn

( SINV ( S-TPC-1 ( NP-SBJ ( PRP We ) ) ( VP ( VBP 're ) ( VP ( VBG putting ) ( NP ( DT a ) ( NN deficit-reduction ) ( NN bill ) ) ( ADVP-DIR ( RB back ) ) ( PP-PUT ( IN in ) ( NP ( NP ( DT the ) ( NN category ) ) ( PP ( IN of ) ( S-NOM ( VP ( VBG being ) ( NP-PRD ( DT a ) ( NN deficit-reduction ) ( NN bill ) ) ) ) ) ) ) ) ) ) ( VP ( VBD said ) ) ( NP-SBJ ( NP ( NNP Senate ) ( NNP Budget ) ( NNP Committee ) ( NNP Chairman ) ( NNP James ) ( NNP Sasser ) ) ( PRN ( NP ( NNP D. ) ) ( NP-LOC ( NNP Tenn ) ) ) ) )


But Senate supporters of the trimmer legislation said that other bills would soon be moving through Congress that could carry some of the measures that had been cast aside including a capital-gains tax cut

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In addition the companion deficit-reduction bill already passed by the House includes a capital-gains provision

( S ( PP ( IN In ) ( NP ( NN addition ) ) ) ( NP-SBJ ( NP ( DT the ) ( JJ companion ) ( NN deficit-reduction ) ( NN bill ) ) ( VP ( ADVP-TMP ( RB already ) ) ( VBN passed ) ( PP ( IN by ) ( NP-LGS ( DT the ) ( NNP House ) ) ) ) ) ( VP ( VBZ includes ) ( NP ( DT a ) ( NNS capital-gains ) ( NN provision ) ) ) )


House-Senate negotiations are likely to begin at midweek and last for a while

( S ( NP-SBJ-1 ( NNP House-Senate ) ( NNS negotiations ) ) ( VP ( VBP are ) ( ADJP-PRD ( JJ likely ) ( S ( VP ( TO to ) ( VP ( VP ( VB begin ) ( PP-TMP ( IN at ) ( NP ( NN midweek ) ) ) ) ( CC and ) ( VP ( VB last ) ( PP-TMP ( IN for ) ( NP ( DT a ) ( NN while ) ) ) ) ) ) ) ) ) )


No one can predict exactly what will happen on the House side said Senate Minority Leader Robert Dole R. Kan

( SINV ( S-TPC-2 ( NP-SBJ ( DT No ) ( NN one ) ) ( VP ( MD can ) ( VP ( VB predict ) ( SBAR ( WHNP-1 ( RB exactly ) ( WP what ) ) ( S ( VP ( MD will ) ( VP ( VB happen ) ( PP-LOC ( IN on ) ( NP ( DT the ) ( NNP House ) ( NN side ) ) ) ) ) ) ) ) ) ) ( VP ( VBD said ) ) ( NP-SBJ ( NP ( NNP Senate ) ( NNP Minority ) ( NNP Leader ) ( NNP Robert ) ( NNP Dole ) ) ( PRN ( NP ( NNP R. ) ) ( NP-LOC ( NNP Kan ) ) ) ) )


But he added I believe Republicans and Democrats will work together to get capital-gains reform this year

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White House Budget Director Richard Darman told reporters yesterday that the administration would n't push to keep the capital-gains cut in the final version of the bill

( S ( NP-SBJ ( NNP White ) ( NNP House ) ( NNP Budget ) ( NNP Director ) ( NNP Richard ) ( NNP Darman ) ) ( VP ( VBD told ) ( NP ( NNS reporters ) ) ( NP-TMP ( RB yesterday ) ) ( SBAR ( IN that ) ( S ( NP-SBJ-1 ( DT the ) ( NN administration ) ) ( VP ( MD would ) ( RB n't ) ( VP ( VB push ) ( S ( VP ( TO to ) ( VP ( VB keep ) ( NP ( DT the ) ( NNS capital-gains ) ( NN cut ) ) ( PP-LOC-CLR ( IN in ) ( NP ( NP ( DT the ) ( JJ final ) ( NN version ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN bill ) ) ) ) ) ) ) ) ) ) ) ) ) )


We do n't need this as a way to get capital gains he said

( S ( S-TPC-1 ( NP-SBJ ( PRP We ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB need ) ( NP ( DT this ) ) ( PP-CLR ( IN as ) ( NP ( NP ( DT a ) ( NN way ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB get ) ( NP ( NN capital ) ( NNS gains ) ) ) ) ) ) ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) )


House Budget Committee Chairman Leon Panetta D. Calif said in an interview If that 's the signal that comes from the White House that will help a great deal

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The Senate 's decision was a setback for President Bush and will make approval of a capital-gains tax cut less certain this year

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Opponents of the cut are playing hardball

( S ( NP-SBJ ( NP ( NNS Opponents ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN cut ) ) ) ) ( VP ( VBP are ) ( VP ( VBG playing ) ( NP ( NN hardball ) ) ) ) )


Senate Majority Leader George Mitchell D. Maine said he was confident that any House-Senate agreement on the deficit-reduction legislation would n't include a capital-gains tax cut

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And a senior aide to the House Ways and Means Committee where tax legislation originates said there are n't any plans to produce another tax bill that could carry a gains tax cut this year

( S ( CC And ) ( NP-SBJ ( NP ( DT a ) ( JJ senior ) ( NN aide ) ) ( PP ( TO to ) ( NP ( NP ( DT the ) ( NNP House ) ( NNP Ways ) ( CC and ) ( NNP Means ) ( NNP Committee ) ) ( SBAR ( WHADVP-2 ( WRB where ) ) ( S ( NP-SBJ ( NN tax ) ( NN legislation ) ) ( VP ( VBZ originates ) ) ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( EX there ) ) ( VP ( VBP are ) ( RB n't ) ( NP-PRD ( DT any ) ( NNS plans ) ( S ( VP ( TO to ) ( VP ( VB produce ) ( NP ( NP ( DT another ) ( NN tax ) ( NN bill ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( MD could ) ( VP ( VB carry ) ( NP ( DT a ) ( NNS gains ) ( NN tax ) ( NN cut ) ) ) ) ) ) ) ( NP-TMP ( DT this ) ( NN year ) ) ) ) ) ) ) ) ) ) )


One obvious place to attach a capital-gains tax cut and perhaps other popular items stripped from the deficit-reduction bill is the legislation to raise the federal borrowing limit

( S ( NP-SBJ ( NP ( CD One ) ( JJ obvious ) ( NN place ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB attach ) ( NP ( NP ( DT a ) ( NNS capital-gains ) ( NN tax ) ( NN cut ) ) ( CC and ) ( RB perhaps ) ( NP ( NP ( JJ other ) ( JJ popular ) ( NNS items ) ) ( VP ( VBN stripped ) ( PP-CLR ( IN from ) ( NP ( DT the ) ( NN deficit-reduction ) ( NN bill ) ) ) ) ) ) ) ) ) ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( DT the ) ( NN legislation ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB raise ) ( NP ( DT the ) ( JJ federal ) ( NN borrowing ) ( NN limit ) ) ) ) ) ) ) ) )


Such legislation must be enacted by the end of the month

( S ( NP-SBJ-1 ( JJ Such ) ( NN legislation ) ) ( VP ( MD must ) ( VP ( VB be ) ( VP ( VBN enacted ) ( PP-TMP ( IN by ) ( NP ( NP ( DT the ) ( NN end ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN month ) ) ) ) ) ) ) ) )


The Senate bill was pared back in an attempt to speed deficit-reduction through Congress

( S ( NP-SBJ-1 ( DT The ) ( NNP Senate ) ( NN bill ) ) ( VP ( VBD was ) ( VP ( VBN pared ) ( ADVP-CLR ( RB back ) ) ( PP-LOC ( IN in ) ( NP ( DT an ) ( NN attempt ) ( S ( VP ( TO to ) ( VP ( VB speed ) ( NP ( NN deficit-reduction ) ) ( PP-DIR ( IN through ) ( NP ( NNP Congress ) ) ) ) ) ) ) ) ) ) )


Because the legislation has n't been completed President Bush has until midnight tonight to enact across-the-board spending cuts mandated by the Gramm-Rudman deficit-reduction law

( S ( SBAR-PRP ( IN Because ) ( S ( NP-SBJ-1 ( DT the ) ( NN legislation ) ) ( VP ( VBZ has ) ( RB n't ) ( VP ( VBN been ) ( VP ( VBN completed ) ) ) ) ) ) ( NP-SBJ-2 ( NNP President ) ( NNP Bush ) ) ( VP ( VBZ has ) ( PP-TMP ( IN until ) ( NP ( NP ( NN midnight ) ) ( NP-TMP ( NN tonight ) ) ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB enact ) ( NP ( NP ( JJ across-the-board ) ( NN spending ) ( NNS cuts ) ) ( VP ( VBN mandated ) ( PP ( IN by ) ( NP-LGS ( DT the ) ( NNP Gramm-Rudman ) ( NN deficit-reduction ) ( NN law ) ) ) ) ) ) ) ) ) )


Senators hope that the need to avoid those cuts will pressure the House to agree to the streamlined bill

( S ( NP-SBJ ( NNS Senators ) ) ( VP ( VBP hope ) ( SBAR ( IN that ) ( S ( NP-SBJ ( DT the ) ( NN need ) ( S ( VP ( TO to ) ( VP ( VB avoid ) ( NP ( DT those ) ( NNS cuts ) ) ) ) ) ) ( VP ( MD will ) ( VP ( VB pressure ) ( S ( NP-SBJ ( DT the ) ( NNP House ) ) ( VP ( TO to ) ( VP ( VB agree ) ( PP-CLR ( TO to ) ( NP ( DT the ) ( JJ streamlined ) ( NN bill ) ) ) ) ) ) ) ) ) ) ) )


The House appears reluctant to join the senators

( S ( NP-SBJ-1 ( DT The ) ( NNP House ) ) ( VP ( VBZ appears ) ( ADJP-PRD ( JJ reluctant ) ( S ( VP ( TO to ) ( VP ( VB join ) ( NP ( DT the ) ( NNS senators ) ) ) ) ) ) ) )


A key is whether House Republicans are willing to acquiesce to their Senate colleagues ' decision to drop many pet provisions

( S ( NP-SBJ ( DT A ) ( NN key ) ) ( VP ( VBZ is ) ( SBAR-PRD ( IN whether ) ( S ( NP-SBJ-1 ( NNP House ) ( NNPS Republicans ) ) ( VP ( VBP are ) ( ADJP-PRD ( JJ willing ) ( S ( VP ( TO to ) ( VP ( VB acquiesce ) ( PP-CLR ( TO to ) ( NP ( NP ( PRP$ their ) ( NNP Senate ) ( NNS colleagues ) ( POS ' ) ) ( NN decision ) ( S ( VP ( TO to ) ( VP ( VB drop ) ( NP ( JJ many ) ( JJ pet ) ( NNS provisions ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Although I am encouraged by the Senate action said Chairman Dan Rostenkowski D. Ill of the House Ways and Means Committee it is uncertain whether a clean bill can be achieved in the upcoming conference with the Senate

( S-3 ( SBAR-ADV ( IN Although ) ( S ( NP-SBJ-1 ( PRP I ) ) ( VP ( VBP am ) ( VP ( VBN encouraged ) ( PP ( IN by ) ( NP-LGS ( DT the ) ( NNP Senate ) ( NN action ) ) ) ) ) ) ) ( PRN ( SINV ( VP ( VBD said ) ) ( NP-SBJ ( NP ( NNP Chairman ) ( NNP Dan ) ( NNP Rostenkowski ) ) ( PRN ( NP ( NNP D. ) ) ( NP-LOC ( NNP Ill ) ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP House ) ( NNP Ways ) ( CC and ) ( NNP Means ) ( NNP Committee ) ) ) ) ) ) ( NP-SBJ ( NP ( PRP it ) ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ uncertain ) ) ( SBAR-4 ( IN whether ) ( S ( NP-SBJ-2 ( DT a ) ( JJ clean ) ( NN bill ) ) ( VP ( MD can ) ( VP ( VB be ) ( VP ( VBN achieved ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( JJ upcoming ) ( NN conference ) ) ( PP ( IN with ) ( NP ( DT the ) ( NNP Senate ) ) ) ) ) ) ) ) ) ) ) )


Another big question hovering over the debate is what President Bush thinks

( S ( NP-SBJ ( NP ( DT Another ) ( JJ big ) ( NN question ) ) ( VP ( VBG hovering ) ( PP-LOC-CLR ( IN over ) ( NP ( DT the ) ( NN debate ) ) ) ) ) ( VP ( VBZ is ) ( SBAR-PRD ( WHNP-1 ( WP what ) ) ( S ( NP-SBJ ( NNP President ) ( NNP Bush ) ) ( VP ( VBZ thinks ) ) ) ) ) )


He has been resisting a stripped-down bill without a guaranteed vote on his capital-gains tax cut

( S ( NP-SBJ ( PRP He ) ) ( VP ( VBZ has ) ( VP ( VBN been ) ( VP ( VBG resisting ) ( NP ( NP ( DT a ) ( JJ stripped-down ) ( NN bill ) ) ( PP ( IN without ) ( NP ( NP ( DT a ) ( JJ guaranteed ) ( NN vote ) ) ( PP ( IN on ) ( NP ( PRP$ his ) ( NNS capital-gains ) ( NN tax ) ( NN cut ) ) ) ) ) ) ) ) ) )


But Republican senators saw no way to overcome a procedural hurdle and garner the 60 votes needed to win the capital-gains issue on the floor so they went ahead with the streamlined bill

( S ( CC But ) ( S ( NP-SBJ ( JJ Republican ) ( NNS senators ) ) ( VP ( VBD saw ) ( NP ( NP ( DT no ) ( NN way ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VP ( VB overcome ) ( NP ( DT a ) ( JJ procedural ) ( NN hurdle ) ) ) ( CC and ) ( VP ( VB garner ) ( NP ( NP ( DT the ) ( CD 60 ) ( NNS votes ) ) ( VP ( VBN needed ) ( S-CLR ( VP ( TO to ) ( VP ( VB win ) ( NP ( DT the ) ( NNS capital-gains ) ( NN issue ) ) ( PP-LOC ( IN on ) ( NP ( DT the ) ( NN floor ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( IN so ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( VBD went ) ( ADVP-DIR ( RB ahead ) ( PP ( IN with ) ( NP ( DT the ) ( JJ streamlined ) ( NN bill ) ) ) ) ) ) )


The Senate bill was stripped of many popular though revenue-losing provisions a number of which are included in the House-passed bill

( S ( NP-SBJ-1 ( DT The ) ( NNP Senate ) ( NN bill ) ) ( VP ( VBD was ) ( VP ( VBN stripped ) ( PP-CLR ( IN of ) ( NP ( NP ( JJ many ) ( ADJP ( JJ popular ) ( IN though ) ( JJ revenue-losing ) ) ( NNS provisions ) ) ( SBAR ( WHNP-2 ( NP ( DT a ) ( NN number ) ) ( WHPP ( IN of ) ( WHNP ( WDT which ) ) ) ) ( S ( VP ( VBP are ) ( VP ( VBN included ) ( PP-LOC-CLR ( IN in ) ( NP ( DT the ) ( JJ House-passed ) ( NN bill ) ) ) ) ) ) ) ) ) ) ) )


These include a child-care initiative and extensions of soon-to-expire tax breaks for low-income housing and research-and-development expenditures

( S ( NP-SBJ ( DT These ) ) ( VP ( VBP include ) ( NP ( NP ( DT a ) ( NN child-care ) ( NN initiative ) ) ( CC and ) ( NP ( NP ( NNS extensions ) ) ( PP ( IN of ) ( NP ( NP ( JJ soon-to-expire ) ( NN tax ) ( NNS breaks ) ) ( PP ( IN for ) ( NP ( NP ( JJ low-income ) ( NN housing ) ) ( CC and ) ( NP ( NN research-and-development ) ( NNS expenditures ) ) ) ) ) ) ) ) ) )


Also missing from the Senate bill is the House 's repeal of a law called Section 89 that compels companies to give rank-and-file workers comparable health benefits to top paid executives

( SINV ( ADVP ( RB Also ) ) ( VP-TPC-2 ( VBG missing ) ( PP-CLR ( IN from ) ( NP ( DT the ) ( NNP Senate ) ( NN bill ) ) ) ) ( VP ( VBZ is ) ) ( NP-SBJ ( NP ( NP ( DT the ) ( NNP House ) ( POS 's ) ) ( NN repeal ) ) ( PP ( IN of ) ( NP ( NP ( DT a ) ( NN law ) ) ( VP ( VBN called ) ( S ( NP-PRD ( NNP Section ) ( CD 89 ) ) ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBZ compels ) ( S ( NP-SBJ ( NNS companies ) ) ( VP ( TO to ) ( VP ( VB give ) ( NP ( JJ rank-and-file ) ( NNS workers ) ) ( NP ( NP ( JJ comparable ) ( NN health ) ( NNS benefits ) ) ( PP ( TO to ) ( NP ( ADJP ( JJ top ) ( VBN paid ) ) ( NNS executives ) ) ) ) ) ) ) ) ) ) ) ) ) )


One high-profile provision that was originally in the Senate bill but was cut out because it lost money was the proposal by Chairman Lloyd Bentsen D. Texas of the Senate Finance Committee to expand the deduction for individual retirement accounts

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Mr. Bentsen said he hopes the Senate will consider that measure soon

( S ( NP-SBJ ( NNP Mr. ) ( NNP Bentsen ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBZ hopes ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NNP Senate ) ) ( VP ( MD will ) ( VP ( VB consider ) ( NP ( DT that ) ( NN measure ) ) ( ADVP-TMP ( RB soon ) ) ) ) ) ) ) ) ) ) )


To the delight of some doctors the bill dropped a plan passed by the Finance Committee that would have overhauled the entire physician-reimbursement system under Medicare

( S ( PP ( TO To ) ( NP ( NP ( DT the ) ( NN delight ) ) ( PP ( IN of ) ( NP ( DT some ) ( NNS doctors ) ) ) ) ) ( NP-SBJ ( DT the ) ( NN bill ) ) ( VP ( VBD dropped ) ( NP ( NP ( DT a ) ( NN plan ) ) ( VP ( VBN passed ) ( PP ( IN by ) ( NP-LGS ( DT the ) ( NNP Finance ) ( NNP Committee ) ) ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN overhauled ) ( NP ( NP ( DT the ) ( JJ entire ) ( JJ physician-reimbursement ) ( NN system ) ) ( PP-LOC ( IN under ) ( NP ( NNP Medicare ) ) ) ) ) ) ) ) ) ) ) )


To the detriment of many low-income people efforts to boost Medicaid funding especially in rural areas also were stricken

( S ( PP ( TO To ) ( NP ( NP ( DT the ) ( NN detriment ) ) ( PP ( IN of ) ( NP ( JJ many ) ( JJ low-income ) ( NNS people ) ) ) ) ) ( NP-SBJ-1 ( NNS efforts ) ( S ( VP ( TO to ) ( VP ( VB boost ) ( NP ( NP ( NNP Medicaid ) ( NN funding ) ) ( PP-LOC ( ADVP ( RB especially ) ) ( IN in ) ( NP ( JJ rural ) ( NNS areas ) ) ) ) ) ) ) ) ( ADVP ( RB also ) ) ( VP ( VBD were ) ( VP ( VBN stricken ) ) ) )


Asked why senators were giving up so much New Mexico Sen. Pete Domenici the ranking Republican on the Senate Budget Committee said We 're looking like idiots

( S ( S-ADV ( VP ( VBN Asked ) ( SBAR ( WHADVP-2 ( WRB why ) ) ( S ( NP-SBJ ( NNS senators ) ) ( VP ( VBD were ) ( VP ( VBG giving ) ( PRT ( RP up ) ) ( NP ( RB so ) ( JJ much ) ) ) ) ) ) ) ) ( NP-SBJ-3 ( NP ( NNP New ) ( NNP Mexico ) ( NNP Sen. ) ( NNP Pete ) ( NNP Domenici ) ) ( NP ( NP ( DT the ) ( JJ ranking ) ( NNP Republican ) ) ( NP-LOC ( IN on ) ( NP ( DT the ) ( NNP Senate ) ( NNP Budget ) ( NNP Committee ) ) ) ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP We ) ) ( VP ( VBP 're ) ( VP ( VBG looking ) ( PP-PRD ( IN like ) ( NP ( NNS idiots ) ) ) ) ) ) ) ) )


Things had just gone too far

( S ( NP-SBJ ( NNS Things ) ) ( VP ( VBD had ) ( ADVP ( RB just ) ) ( VP ( VBN gone ) ( ADVP-DIR ( RB too ) ( RB far ) ) ) ) )


Sen. Dole said that the move required sacrifice by every senator

( S ( NP-SBJ ( NNP Sen. ) ( NNP Dole ) ) ( VP ( VBD said ) ( SBAR ( IN that ) ( S ( NP-SBJ ( DT the ) ( NN move ) ) ( VP ( VBD required ) ( NP ( NP ( NN sacrifice ) ) ( PP ( IN by ) ( NP ( DT every ) ( NN senator ) ) ) ) ) ) ) ) )


It worked others said because there were no exceptions all revenue-losing provisions were stricken

( S-2 ( NP-SBJ ( PRP It ) ) ( VP ( VBD worked ) ( PRN ( S ( NP-SBJ ( NNS others ) ) ( VP ( VBD said ) ) ) ) ( SBAR-PRP ( IN because ) ( S ( S ( NP-SBJ ( EX there ) ) ( VP ( VBD were ) ( NP-PRD ( DT no ) ( NNS exceptions ) ) ) ) ( S ( NP-SBJ-1 ( DT all ) ( JJ revenue-losing ) ( NNS provisions ) ) ( VP ( VBD were ) ( VP ( VBN stricken ) ) ) ) ) ) ) )


The Senate also dropped a plan by its Finance Committee that would have increased the income threshold beyond which senior citizens have their Social Security benefits reduced

( S ( NP-SBJ ( DT The ) ( NNP Senate ) ) ( ADVP ( RB also ) ) ( VP ( VBD dropped ) ( NP ( NP ( DT a ) ( NN plan ) ) ( PP ( IN by ) ( NP ( PRP$ its ) ( NNP Finance ) ( NNP Committee ) ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN increased ) ( NP ( NP ( DT the ) ( NN income ) ( NN threshold ) ) ( SBAR ( WHPP-3 ( IN beyond ) ( WHNP ( WDT which ) ) ) ( S ( NP-SBJ ( JJ senior ) ( NNS citizens ) ) ( VP ( VBP have ) ( S ( NP-SBJ-2 ( PRP$ their ) ( NNP Social ) ( NNP Security ) ( NNS benefits ) ) ( VP ( VBN reduced ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


In addition the bill dropped a plan to make permanent a 3 % excise tax on long-distance telephone calls

( S ( PP ( IN In ) ( NP ( NN addition ) ) ) ( NP-SBJ ( DT the ) ( NN bill ) ) ( VP ( VBD dropped ) ( NP ( DT a ) ( NN plan ) ( S ( VP ( TO to ) ( VP ( VB make ) ( S ( ADJP-PRD ( JJ permanent ) ) ( NP-SBJ ( NP ( DT a ) ( ADJP ( CD 3 ) ( NN % ) ) ( NN excise ) ( NN tax ) ) ( PP ( IN on ) ( NP ( JJ long-distance ) ( NN telephone ) ( NNS calls ) ) ) ) ) ) ) ) ) ) )


It no longer includes a plan that would have repealed what remains of the completed-contract method of accounting which is used by military contractors to reduce their tax burden

( S ( NP-SBJ ( PRP It ) ) ( ADVP-TMP ( RB no ) ( RBR longer ) ) ( VP ( VBZ includes ) ( NP ( NP ( DT a ) ( NN plan ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN repealed ) ( SBAR ( WHNP-3 ( WP what ) ) ( S ( VP ( VBZ remains ) ( PP-CLR ( IN of ) ( NP ( NP ( DT the ) ( JJ completed-contract ) ( NN method ) ) ( PP ( IN of ) ( NP ( NN accounting ) ) ) ( SBAR ( WHNP-4 ( WDT which ) ) ( S ( VP ( VBZ is ) ( VP ( VBN used ) ( PP ( IN by ) ( NP-LGS-5 ( JJ military ) ( NNS contractors ) ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB reduce ) ( NP ( PRP$ their ) ( NN tax ) ( NN burden ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


It also drops a provision that would have permitted corporations to use excess pension funds to pay health benefits for current retirees

( S ( NP-SBJ ( PRP It ) ) ( ADVP ( RB also ) ) ( VP ( VBZ drops ) ( NP ( NP ( DT a ) ( NN provision ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN permitted ) ( S ( NP-SBJ-2 ( NNS corporations ) ) ( VP ( TO to ) ( VP ( VB use ) ( NP ( JJ excess ) ( NN pension ) ( NNS funds ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB pay ) ( NP ( NN health ) ( NNS benefits ) ) ( PP-PRP ( IN for ) ( NP ( JJ current ) ( NNS retirees ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Also stricken was a fivefold increase in the maximum Occupational Safety and Health Administration penalties which would have raised 65 million in fiscal 1990

( SINV ( ADVP ( RB Also ) ) ( VP-TPC-2 ( VBN stricken ) ) ( VP ( VBD was ) ) ( NP-SBJ-3 ( NP ( DT a ) ( JJ fivefold ) ( NN increase ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( JJ maximum ) ( NNP Occupational ) ( NNP Safety ) ( CC and ) ( NNP Health ) ( NNP Administration ) ( NNS penalties ) ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN raised ) ( NP ( QP ( CD 65 ) ( CD million ) ) ) ( PP-TMP ( IN in ) ( NP ( JJ fiscal ) ( CD 1990 ) ) ) ) ) ) ) ) ) )


A provision that would have made the Social Security Administration an independent agency was excised

( S ( NP-SBJ-1 ( NP ( DT A ) ( NN provision ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( VP ( MD would ) ( VP ( VB have ) ( VP ( VBN made ) ( S ( NP-SBJ ( DT the ) ( NNP Social ) ( NNP Security ) ( NNP Administration ) ) ( NP-PRD ( DT an ) ( JJ independent ) ( NN agency ) ) ) ) ) ) ) ) ) ( VP ( VBD was ) ( VP ( VBN excised ) ) ) )


The approval of the Senate bill was especially sweet for Sen. Mitchell who had proposed the streamlining

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Mr. Mitchell 's relations with Budget Director Darman who pushed for a capital-gains cut to be added to the measure have been strained since Mr. Darman chose to bypass the Maine Democrat and deal with other lawmakers earlier this year during a dispute over drug funding in the fiscal 1989 supplemental spending bill

( S ( NP-SBJ-1 ( NP ( NP ( NNP Mr. ) ( NNP Mitchell ) ( POS 's ) ) ( NNS relations ) ) ( PP ( IN with ) ( NP ( NP ( NNP Budget ) ( NNP Director ) ( NNP Darman ) ) ( SBAR ( WHNP-3 ( WP who ) ) ( S ( VP ( VBD pushed ) ( SBAR-CLR ( IN for ) ( S ( NP-SBJ-4 ( DT a ) ( NNS capital-gains ) ( NN cut ) ) ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN added ) ( PP-CLR ( TO to ) ( NP ( DT the ) ( NN measure ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( VP ( VBP have ) ( VP ( VBN been ) ( VP ( VBN strained ) ( SBAR-TMP ( IN since ) ( S ( NP-SBJ-2 ( NNP Mr. ) ( NNP Darman ) ) ( VP ( VBD chose ) ( S ( VP ( TO to ) ( VP ( VP ( VB bypass ) ( NP ( DT the ) ( NNP Maine ) ( NNP Democrat ) ) ) ( CC and ) ( VP ( VB deal ) ( PP-CLR ( IN with ) ( NP ( JJ other ) ( NNS lawmakers ) ) ) ) ) ) ) ( NP-TMP ( RBR earlier ) ( DT this ) ( NN year ) ) ( PP-TMP ( IN during ) ( NP ( NP ( DT a ) ( NN dispute ) ) ( PP ( IN over ) ( NP ( NP ( NN drug ) ( NN funding ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( JJ fiscal ) ( CD 1989 ) ( JJ supplemental ) ( NN spending ) ( NN bill ) ) ) ) ) ) ) ) ) ) ) ) ) )


The deficit reduction bill contains 5.3 billion in tax increases in fiscal 1990 and 26 billion over five years

( S ( NP-SBJ ( DT The ) ( NN deficit ) ( NN reduction ) ( NN bill ) ) ( VP ( VBZ contains ) ( NP ( NP ( NP ( QP ( CD 5.3 ) ( CD billion ) ) ) ( PP ( IN in ) ( NP ( NN tax ) ( NNS increases ) ) ) ( PP-TMP ( IN in ) ( NP ( JJ fiscal ) ( CD 1990 ) ) ) ) ( CC and ) ( NP ( NP ( QP ( CD 26 ) ( CD billion ) ) ) ( PP-TMP ( IN over ) ( NP ( CD five ) ( NNS years ) ) ) ) ) ) )


The revenue-raising provisions which affect mostly corporations would

( FRAG ( NP-SBJ ( NP ( DT The ) ( JJ revenue-raising ) ( NNS provisions ) ) ( SBAR ( WHNP-7 ( WDT which ) ) ( S ( VP ( VBP affect ) ( NP ( RB mostly ) ( NNS corporations ) ) ) ) ) ) ( VP ( MD would ) ) )


Prevent companies that have made leveraged buy-outs from getting federal tax refunds resulting from losses caused by interest payments on debt issued to finance the buy-outs effective Aug. 2 1989

( FRAG ( VP ( VB Prevent ) ( NP-1 ( NP ( NNS companies ) ) ( SBAR ( WHNP-8 ( WDT that ) ) ( S ( VP ( VBP have ) ( VP ( VBN made ) ( NP ( JJ leveraged ) ( NNS buy-outs ) ) ) ) ) ) ) ( PP-CLR ( IN from ) ( S-NOM ( VP ( VBG getting ) ( NP ( NP ( JJ federal ) ( NN tax ) ( NNS refunds ) ) ( VP ( VBG resulting ) ( PP-CLR ( IN from ) ( NP ( NP ( NNS losses ) ) ( VP ( VBN caused ) ( PP ( IN by ) ( NP-LGS ( NP ( NN interest ) ( NNS payments ) ) ( PP ( IN on ) ( NP ( NP ( NN debt ) ) ( VP ( VBN issued ) ( S-PRP ( VP ( TO to ) ( VP ( VB finance ) ( NP ( DT the ) ( NNS buy-outs ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( NNP Aug. ) ( CD 2 ) ( CD 1989 ) ) ) ) )


Require mutual funds to include in their taxable income dividends paid to them on the date that the dividends are declared rather than received effective the day after the tax bill is enacted

( FRAG ( VP ( VB Require ) ( S ( NP-SBJ ( JJ mutual ) ( NNS funds ) ) ( VP ( TO to ) ( VP ( VB include ) ( PP-LOC-CLR ( IN in ) ( NP ( PRP$ their ) ( JJ taxable ) ( NN income ) ) ) ( NP ( NP ( NNS dividends ) ) ( VP ( VBN paid ) ( PP-DTV ( TO to ) ( NP ( PRP them ) ) ) ( PP-TMP ( IN on ) ( NP ( NP ( DT the ) ( NN date ) ) ( SBAR ( WHADVP-2 ( IN that ) ) ( S ( NP-SBJ-4 ( DT the ) ( NNS dividends ) ) ( VP ( VBP are ) ( VP ( VBN declared ) ( CONJP ( RB rather ) ( IN than ) ) ( VBN received ) ) ) ) ) ) ) ) ) ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( NP ( DT the ) ( NN day ) ) ( SBAR-TMP ( IN after ) ( S ( NP-SBJ-5 ( DT the ) ( NN tax ) ( NN bill ) ) ( VP ( VBZ is ) ( VP ( VBN enacted ) ) ) ) ) ) ) ) )


Close a loophole regarding employee stock ownership plans effective June 6 1989 that has been exploited by investment bankers in corporate takeovers

( FRAG ( VP ( VB Close ) ( NP ( NP ( DT a ) ( NN loophole ) ) ( VP ( VBG regarding ) ( NP ( NN employee ) ( NN stock ) ( NN ownership ) ( NNS plans ) ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( NNP June ) ( CD 6 ) ( CD 1989 ) ) ) ( SBAR-3 ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBZ has ) ( VP ( VBN been ) ( VP ( VBN exploited ) ( PP ( IN by ) ( NP-LGS ( NN investment ) ( NNS bankers ) ) ) ( PP-LOC ( IN in ) ( NP ( JJ corporate ) ( NNS takeovers ) ) ) ) ) ) ) ) ) )


The measure repeals a 50 % exclusion given to banks on the interest from loans used to acquire securities for an ESOP if the ESOP owns less than 30 % of the employer 's stock

( S ( NP-SBJ ( DT The ) ( NN measure ) ) ( VP ( VBZ repeals ) ( NP ( NP ( DT a ) ( ADVP ( CD 50 ) ( NN % ) ) ( NN exclusion ) ) ( VP ( VBN given ) ( PP-DTV ( TO to ) ( NP ( NNS banks ) ) ) ( PP ( IN on ) ( NP ( NP ( DT the ) ( NN interest ) ) ( PP ( IN from ) ( NP ( NP ( NNS loans ) ) ( VP ( VBN used ) ( S-CLR ( VP ( TO to ) ( VP ( VB acquire ) ( NP ( NNS securities ) ) ( PP-PRP ( IN for ) ( NP ( DT an ) ( NNP ESOP ) ) ) ) ) ) ) ) ) ) ) ) ) ( SBAR-ADV ( IN if ) ( S ( NP-SBJ ( DT the ) ( NNP ESOP ) ) ( VP ( VBZ owns ) ( NP ( NP ( QP ( JJR less ) ( IN than ) ( CD 30 ) ) ( NN % ) ) ( PP ( IN of ) ( NP ( NP ( DT the ) ( NN employer ) ( POS 's ) ) ( NN stock ) ) ) ) ) ) ) ) )


Curb junk bonds by ending tax benefits for certain securities such as zero-coupon bonds that postpone cash interest payments

( FRAG ( VP ( VB Curb ) ( NP ( NN junk ) ( NNS bonds ) ) ( PP-MNR ( IN by ) ( S-NOM ( VP ( VBG ending ) ( NP ( NP ( NN tax ) ( NNS benefits ) ) ( PP ( IN for ) ( NP ( JJ certain ) ( NNS securities ) ) ) ( PP ( JJ such ) ( IN as ) ( NP ( JJ zero-coupon ) ( NNS bonds ) ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBP postpone ) ( NP ( NN cash ) ( NN interest ) ( NNS payments ) ) ) ) ) ) ) ) ) ) )


Raise 851 million by suspending for one year an automatic reduction in airport and airway taxes

( FRAG ( VP ( VB Raise ) ( NP ( QP ( CD 851 ) ( CD million ) ) ) ( PP-MNR ( IN by ) ( S-NOM ( VP ( VBG suspending ) ( PP-TMP ( IN for ) ( NP ( CD one ) ( NN year ) ) ) ( NP ( NP ( DT an ) ( JJ automatic ) ( NN reduction ) ) ( PP-LOC ( IN in ) ( NP ( NN airport ) ( CC and ) ( NN airway ) ( NNS taxes ) ) ) ) ) ) ) ) )


Speed up the collection of the payroll tax from large companies effective August 1990

( FRAG ( VP ( VB Speed ) ( PRT ( RP up ) ) ( NP ( NP ( DT the ) ( NN collection ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN payroll ) ( NN tax ) ) ) ( PP ( IN from ) ( NP ( JJ large ) ( NNS companies ) ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( NNP August ) ( CD 1990 ) ) ) ) )


Impose a tax on ozone-depleting chemicals such as those used in air conditioners and in Styrofoam beginning at 1.10 a pound starting next year

( FRAG ( VP ( VB Impose ) ( NP ( DT a ) ( NN tax ) ) ( PP-CLR ( IN on ) ( NP ( NP ( JJ ozone-depleting ) ( NNS chemicals ) ) ( PP ( JJ such ) ( IN as ) ( NP ( NP ( DT those ) ) ( VP ( VBN used ) ( PP-LOC ( PP ( IN in ) ( NP ( NN air ) ( NNS conditioners ) ) ) ( CC and ) ( PP ( IN in ) ( NP ( NNP Styrofoam ) ) ) ) ) ) ) ) ) ( PP-LOC ( VBG beginning ) ( PP ( IN at ) ( NP ( NP ( CD 1.10 ) ) ( NP-ADV ( DT a ) ( NN pound ) ) ) ) ) ( PP-TMP ( VBG starting ) ( NP ( JJ next ) ( NN year ) ) ) ) )


Withhold income taxes from the paychecks of certain farm workers currently exempt from withholding

( FRAG ( VP ( VB Withhold ) ( NP ( NN income ) ( NNS taxes ) ) ( PP-CLR ( IN from ) ( NP ( NP ( DT the ) ( NNS paychecks ) ) ( PP ( IN of ) ( NP ( NP ( JJ certain ) ( NN farm ) ( NNS workers ) ) ( ADJP ( ADVP-TMP ( RB currently ) ) ( JJ exempt ) ( PP ( IN from ) ( NP ( NN withholding ) ) ) ) ) ) ) ) ) )


Change the collection of gasoline excise taxes to weekly from semimonthly effective next year

( FRAG ( VP ( VB Change ) ( NP ( NP ( DT the ) ( NN collection ) ) ( PP ( IN of ) ( NP ( NN gasoline ) ( NN excise ) ( NNS taxes ) ) ) ) ( PP-CLR ( TO to ) ( NP ( RB weekly ) ) ) ( PP-CLR ( IN from ) ( NP ( RB semimonthly ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( IN next ) ( NN year ) ) ) ) )


Restrict the ability of real estate owners to escape taxes by swapping one piece of property for another instead of selling it for cash

( FRAG ( VP ( VB Restrict ) ( NP ( NP ( DT the ) ( NN ability ) ) ( PP ( IN of ) ( NP ( JJ real ) ( NN estate ) ( NNS owners ) ) ) ( S-1 ( VP ( TO to ) ( VP ( VB escape ) ( NP ( NNS taxes ) ) ( PP-MNR ( IN by ) ( S-NOM ( VP ( VBG swapping ) ( NP ( NP ( CD one ) ( NN piece ) ) ( PP ( IN of ) ( NP ( NN property ) ) ) ) ( PP-CLR ( IN for ) ( NP ( DT another ) ) ) ( PP ( RB instead ) ( IN of ) ( S-NOM ( VP ( VBG selling ) ( NP ( PRP it ) ) ( PP-CLR ( IN for ) ( NP ( NN cash ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Increase to 6 a person from 3 the international air-passenger departure tax and impose a 3-a-person tax on international departures by commercial ships

( FRAG ( VP ( VP ( VB Increase ) ( PP-DIR ( TO to ) ( NP ( NP ( CD 6 ) ) ( NP-ADV ( DT a ) ( NN person ) ) ) ) ( PP-DIR ( IN from ) ( NP ( CD 3 ) ) ) ( NP ( DT the ) ( JJ international ) ( NN air-passenger ) ( NN departure ) ( NN tax ) ) ) ( CC and ) ( VP ( VB impose ) ( NP ( DT a ) ( ADJP ( JJ 3-a-person ) ) ( NN tax ) ) ( PP-CLR ( IN on ) ( NP ( NP ( JJ international ) ( NNS departures ) ) ( PP ( IN by ) ( NP ( JJ commercial ) ( NNS ships ) ) ) ) ) ) ) )


The measure also includes spending cuts and increases in federal fees

( S ( NP-SBJ ( DT The ) ( NN measure ) ) ( ADVP ( RB also ) ) ( VP ( VBZ includes ) ( NP ( NP ( NN spending ) ( NNS cuts ) ) ( CC and ) ( NP ( NP ( NNS increases ) ) ( PP-LOC ( IN in ) ( NP ( JJ federal ) ( NNS fees ) ) ) ) ) ) )


Among its provisions

( FRAG ( PP ( IN Among ) ( NP ( PRP$ its ) ( NNS provisions ) ) ) )


Reduction of Medicare spending in fiscal 1990 by some 2.8 billion in part by curbing increases in reimbursements to physicians

( NP ( NP ( NNP Reduction ) ) ( PP ( IN of ) ( NP ( NNP Medicare ) ( NN spending ) ) ) ( PP-TMP ( IN in ) ( NP ( JJ fiscal ) ( CD 1990 ) ) ) ( PP-EXT ( IN by ) ( NP ( QP ( DT some ) ( CD 2.8 ) ( CD billion ) ) ) ) ( PP-MNR ( PP ( IN in ) ( NP ( NN part ) ) ) ( IN by ) ( S-NOM ( VP ( VBG curbing ) ( NP ( NP ( NNS increases ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNS reimbursements ) ) ( PP ( TO to ) ( NP ( NNS physicians ) ) ) ) ) ) ) ) ) )


The plan would impose a brief freeze on physician fees next year

( S ( NP-SBJ ( DT The ) ( NN plan ) ) ( VP ( MD would ) ( VP ( VB impose ) ( NP ( DT a ) ( JJ brief ) ( NN freeze ) ) ( PP-CLR ( IN on ) ( NP ( NN physician ) ( NNS fees ) ) ) ( NP-TMP ( IN next ) ( NN year ) ) ) ) )


Removal of the U.S. Postal Service 's operating budget from the federal budget reducing the deficit by 1.77 billion

( FRAG ( NP ( NP ( NNP Removal ) ) ( PP ( IN of ) ( NP ( NP ( DT the ) ( NNP U.S. ) ( NNP Postal ) ( NNP Service ) ( POS 's ) ) ( NN operating ) ( NN budget ) ) ) ( PP ( IN from ) ( NP ( DT the ) ( JJ federal ) ( NN budget ) ) ) ) ( S-ADV ( VP ( VBG reducing ) ( NP ( DT the ) ( NN deficit ) ) ( PP-EXT ( IN by ) ( NP ( QP ( CD 1.77 ) ( CD billion ) ) ) ) ) ) )


A similar provision is in the House version

( S ( NP-SBJ ( DT A ) ( JJ similar ) ( NN provision ) ) ( VP ( VBZ is ) ( PP-LOC-PRD ( IN in ) ( NP ( DT the ) ( NNP House ) ( NN version ) ) ) ) )


Authority for the Federal Aviation Administration to raise 239 million by charging fees for commercial airline-landing rights at New York 's LaGuardia and John F. Kennedy International Airports O'Hare International Airport in Chicago and National Airport in Washington

( NP ( NP ( NNP Authority ) ) ( SBAR ( IN for ) ( S ( NP-SBJ-1 ( DT the ) ( NNP Federal ) ( NNP Aviation ) ( NNP Administration ) ) ( VP ( TO to ) ( VP ( VB raise ) ( NP ( QP ( CD 239 ) ( CD million ) ) ) ( PP-MNR ( IN by ) ( S-NOM ( VP ( VBG charging ) ( NP ( NNS fees ) ) ( PP ( IN for ) ( NP ( NP ( JJ commercial ) ( JJ airline-landing ) ( NNS rights ) ) ( PP ( IN at ) ( NP ( NP ( NP ( NNP New ) ( NNP York ) ( POS 's ) ) ( NNP LaGuardia ) ( CC and ) ( NNP John ) ( NNP F. ) ( NNP Kennedy ) ( NNP International ) ( NNP Airports ) ) ( NP ( NP ( NNP O'Hare ) ( NNP International ) ( NNP Airport ) ) ( PP-LOC ( IN in ) ( NP ( NNP Chicago ) ) ) ) ( CC and ) ( NP ( NP ( NNP National ) ( NNP Airport ) ) ( PP-LOC ( IN in ) ( NP ( NNP Washington ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Increases in Nuclear Regulatory Commission fees totaling 54 million

( NP ( NP ( NNS Increases ) ) ( PP-LOC ( IN in ) ( NP ( NNP Nuclear ) ( NNP Regulatory ) ( NNP Commission ) ( NNS fees ) ) ) ( VP ( VBG totaling ) ( NP ( CD 54 ) ( CD million ) ) ) )


Direction to the U.S. Coast Guard to collect 50 million from users of Coast Guard services

( NP ( NP ( NN Direction ) ) ( PP ( TO to ) ( NP-1 ( DT the ) ( NNP U.S. ) ( NNP Coast ) ( NNP Guard ) ) ) ( S-2 ( VP ( TO to ) ( VP ( VB collect ) ( NP ( QP ( CD 50 ) ( CD million ) ) ) ( PP-CLR ( IN from ) ( NP ( NP ( NNS users ) ) ( PP ( IN of ) ( NP ( NNP Coast ) ( NNP Guard ) ( NNS services ) ) ) ) ) ) ) ) )


Raising an additional 43 million by increasing existing Federal Communications Commission fees and penalties and establishing new fees for amateur radio operators ship stations and mobile radio facilities

( FRAG ( VP ( VBG Raising ) ( NP ( DT an ) ( JJ additional ) ( QP ( CD 43 ) ( CD million ) ) ) ( PP-MNR ( IN by ) ( S-NOM ( VP ( VP ( VBG increasing ) ( NP ( JJ existing ) ( NNP Federal ) ( NNP Communications ) ( NNP Commission ) ( NNS fees ) ( CC and ) ( NNS penalties ) ) ) ( CC and ) ( VP ( VBG establishing ) ( NP ( NP ( JJ new ) ( NNS fees ) ) ( PP ( IN for ) ( NP ( NP ( JJ amateur ) ( NN radio ) ( NNS operators ) ) ( NP ( NN ship ) ( NNS stations ) ) ( CC and ) ( NP ( JJ mobile ) ( NN radio ) ( NNS facilities ) ) ) ) ) ) ) ) ) ) )


John E. Yang contributed to this article

( S ( NP-SBJ ( NNP John ) ( NNP E. ) ( NNP Yang ) ) ( VP ( VBD contributed ) ( PP-CLR ( TO to ) ( NP ( DT this ) ( NN article ) ) ) ) )


Measuring cups may soon be replaced by tablespoons in the laundry room

( S ( NP-SBJ-1 ( NN Measuring ) ( NNS cups ) ) ( VP ( MD may ) ( ADVP-TMP ( RB soon ) ) ( VP ( VB be ) ( VP ( VBN replaced ) ( PP ( IN by ) ( NP-LGS ( NNS tablespoons ) ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NN laundry ) ( NN room ) ) ) ) ) ) )


Procter & Gamble Co. plans to begin testing next month a superconcentrated detergent that will require only a few spoonfuls per washload

( S ( NP-SBJ-2 ( NNP Procter ) ( CC & ) ( NNP Gamble ) ( NNP Co. ) ) ( VP ( VBZ plans ) ( S ( VP ( TO to ) ( VP ( VB begin ) ( S ( VP ( VBG testing ) ( NP-TMP ( JJ next ) ( NN month ) ) ( NP ( NP ( DT a ) ( JJ superconcentrated ) ( NN detergent ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( MD will ) ( VP ( VB require ) ( NP ( NP ( QP ( RB only ) ( DT a ) ( JJ few ) ) ( NNS spoonfuls ) ) ( PP ( IN per ) ( NP ( NN washload ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


The move stems from lessons learned in Japan where local competitors have had phenomenal success with concentrated soapsuds

( S ( NP-SBJ ( DT The ) ( NN move ) ) ( VP ( VBZ stems ) ( PP-DIR ( IN from ) ( NP ( NP ( NNS lessons ) ) ( VP ( VBN learned ) ( PP-LOC ( IN in ) ( NP ( NP ( NNP Japan ) ) ( SBAR ( WHADVP-1 ( WRB where ) ) ( S ( NP-SBJ ( JJ local ) ( NNS competitors ) ) ( VP ( VBP have ) ( VP ( VBD had ) ( NP ( JJ phenomenal ) ( NN success ) ) ( PP ( IN with ) ( NP ( JJ concentrated ) ( NNS soapsuds ) ) ) ) ) ) ) ) ) ) ) ) ) )


It also marks P&G 's growing concern that its Japanese rivals such as Kao Corp. may bring their superconcentrates to the U.S.

( S ( NP-SBJ ( PRP It ) ) ( ADVP ( RB also ) ) ( VP ( VBZ marks ) ( NP ( NP ( NNP P&G ) ( POS 's ) ) ( VBG growing ) ( NN concern ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( PRP$ its ) ( JJ Japanese ) ( NNS rivals ) ) ( PP ( JJ such ) ( IN as ) ( NP ( NNP Kao ) ( NNP Corp. ) ) ) ) ( VP ( MD may ) ( VP ( VB bring ) ( NP ( PRP$ their ) ( NNS superconcentrates ) ) ( PP-DIR ( TO to ) ( NP ( DT the ) ( NNP U.S. ) ) ) ) ) ) ) ) ) )


The Cincinnati consumer-products giant got clobbered two years ago in Japan when Kao introduced a powerful detergent called Attack which quickly won a 30 % stake in the Japanese markets

( S ( NP-SBJ-1 ( DT The ) ( NNP Cincinnati ) ( NNS consumer-products ) ( NN giant ) ) ( VP ( VBD got ) ( VP ( VBN clobbered ) ( ADVP-TMP ( NP ( CD two ) ( NNS years ) ) ( RB ago ) ) ( PP-LOC ( IN in ) ( NP ( NNP Japan ) ) ) ( SBAR-TMP ( WHADVP ( WRB when ) ) ( S ( NP-SBJ ( NNP Kao ) ) ( VP ( VBD introduced ) ( NP ( NP ( DT a ) ( JJ powerful ) ( NN detergent ) ) ( VP ( VBN called ) ( S ( NP-PRD ( NNP Attack ) ) ) ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( VP ( ADVP-MNR ( RB quickly ) ) ( VBD won ) ( NP ( NP ( DT a ) ( ADJP ( CD 30 ) ( NN % ) ) ( NN stake ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( JJ Japanese ) ( NNS markets ) ) ) ) ) ) ) ) ) ) ) ) ) )


They do n't want to get caught again says one industry watcher

( SINV ( S-TPC-1 ( NP-SBJ-2 ( PRP They ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB want ) ( S ( VP ( TO to ) ( VP ( VB get ) ( VP ( VBN caught ) ( ADVP-TMP ( RB again ) ) ) ) ) ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( CD one ) ( NN industry ) ( NN watcher ) ) )


Retailers in Phoenix Ariz. say P&G 's new powdered detergent to be called Cheer with Color Guard will be on shelves in that market by early November

( S ( NP-SBJ ( NP ( NNP Retailers ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNP Phoenix ) ) ( NP ( NNP Ariz. ) ) ) ) ) ( VP ( VBP say ) ( SBAR ( S ( NP-SBJ ( NP ( NP ( NNP P&G ) ( POS 's ) ) ( JJ new ) ( JJ powdered ) ( NN detergent ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN called ) ( S ( NP-PRD ( NP ( NNP Cheer ) ) ( PP ( IN with ) ( NP ( NNP Color ) ( NNP Guard ) ) ) ) ) ) ) ) ) ) ) ( VP ( MD will ) ( VP ( VB be ) ( PP-LOC-PRD ( IN on ) ( NP ( NP ( NNS shelves ) ) ( PP-LOC ( IN in ) ( NP ( DT that ) ( NN market ) ) ) ) ) ( PP-TMP ( IN by ) ( NP ( JJ early ) ( NNP November ) ) ) ) ) ) ) ) )


A P&G spokeswoman confirmed that shipments to Phoenix started late last month

( S ( NP-SBJ ( DT A ) ( NNP P&G ) ( NN spokeswoman ) ) ( VP ( VBD confirmed ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( NNS shipments ) ) ( PP ( TO to ) ( NP ( NNP Phoenix ) ) ) ) ( VP ( VBD started ) ( NP-TMP ( RB late ) ( JJ last ) ( NN month ) ) ) ) ) ) )


She said the company will study results from this market before expanding to others

( S ( NP-SBJ ( PRP She ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( DT the ) ( NN company ) ) ( VP ( MD will ) ( VP ( VB study ) ( NP ( NP ( NNS results ) ) ( PP ( IN from ) ( NP ( DT this ) ( NN market ) ) ) ) ( PP-TMP ( IN before ) ( S-NOM ( VP ( VBG expanding ) ( PP-DIR ( TO to ) ( NP ( NNS others ) ) ) ) ) ) ) ) ) ) ) )


Superconcentrates are n't entirely new for P&G

( S ( NP-SBJ ( NNS Superconcentrates ) ) ( VP ( VBP are ) ( RB n't ) ( ADJP-PRD ( RB entirely ) ( JJ new ) ) ( PP ( IN for ) ( NP ( NNP P&G ) ) ) ) )


The company introduced a superconcentrated Lemon Cheer in Japan after watching the success of Attack

( S ( NP-SBJ-1 ( DT The ) ( NN company ) ) ( VP ( VBD introduced ) ( NP ( DT a ) ( JJ superconcentrated ) ( NNP Lemon ) ( NNP Cheer ) ) ( PP-LOC ( IN in ) ( NP ( NNP Japan ) ) ) ( PP-TMP ( IN after ) ( S-NOM ( VP ( VBG watching ) ( NP ( NP ( DT the ) ( NN success ) ) ( PP ( IN of ) ( NP ( NNP Attack ) ) ) ) ) ) ) ) )


When Attack hit the shelves in 1987 P&G 's share of the Japanese market fell to about 8 % from more than 20 %

( S ( SBAR-TMP ( WHADVP-1 ( WRB When ) ) ( S ( NP-SBJ ( NNP Attack ) ) ( VP ( VBD hit ) ( NP ( DT the ) ( NNS shelves ) ) ( PP-TMP ( IN in ) ( NP ( CD 1987 ) ) ) ) ) ) ( NP-SBJ ( NP ( NP ( NNP P&G ) ( POS 's ) ) ( NN share ) ) ( PP ( IN of ) ( NP ( DT the ) ( JJ Japanese ) ( NN market ) ) ) ) ( VP ( VBD fell ) ( PP-DIR ( TO to ) ( NP ( QP ( RB about ) ( CD 8 ) ) ( NN % ) ) ) ( PP-DIR ( IN from ) ( NP ( QP ( JJR more ) ( IN than ) ( CD 20 ) ) ( NN % ) ) ) ) )


With the help of Lemon Cheer P&G 's share is now estimated to be 12 %

( S ( PP ( IN With ) ( NP ( NP ( DT the ) ( NN help ) ) ( PP ( IN of ) ( NP ( NNP Lemon ) ( NNP Cheer ) ) ) ) ) ( NP-SBJ-1 ( NP ( NNP P&G ) ( POS 's ) ) ( NN share ) ) ( VP ( VBZ is ) ( ADVP-TMP ( RB now ) ) ( VP ( VBN estimated ) ( S ( VP ( TO to ) ( VP ( VB be ) ( NP-PRD ( CD 12 ) ( NN % ) ) ) ) ) ) ) )


While the Japanese have embraced the compact packaging and convenience of concentrated products the true test for P&G will be in the 4 billion U.S. detergent market where growth is slow and liquids have gained prominence over powders

( S ( SBAR-ADV ( IN While ) ( S ( NP-SBJ ( DT the ) ( NNPS Japanese ) ) ( VP ( VBP have ) ( VP ( VBN embraced ) ( NP ( NP ( DT the ) ( JJ compact ) ( NN packaging ) ( CC and ) ( NN convenience ) ) ( PP ( IN of ) ( NP ( JJ concentrated ) ( NNS products ) ) ) ) ) ) ) ) ( NP-SBJ ( NP ( DT the ) ( JJ true ) ( NN test ) ) ( PP ( IN for ) ( NP ( NNP P&G ) ) ) ) ( VP ( MD will ) ( VP ( VB be ) ( PP-LOC-PRD ( IN in ) ( NP ( NP ( DT the ) ( ADJP ( QP ( CD 4 ) ( CD billion ) ) ) ( NNP U.S. ) ( NN detergent ) ( NN market ) ) ( SBAR ( WHADVP-1 ( WRB where ) ) ( S ( S ( NP-SBJ ( NN growth ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ slow ) ) ) ) ( CC and ) ( S ( NP-SBJ ( NNS liquids ) ) ( VP ( VBP have ) ( VP ( VBN gained ) ( NP ( NP ( NN prominence ) ) ( PP ( IN over ) ( NP ( NNS powders ) ) ) ) ) ) ) ) ) ) ) ) ) )


The company may have chosen to market the product under the Cheer name since it 's already expanded its best-selling Tide into 16 different varieties including this year 's big hit Tide with Bleach

( S ( NP-SBJ-1 ( DT The ) ( NN company ) ) ( VP ( MD may ) ( VP ( VB have ) ( VP ( VBN chosen ) ( S ( VP ( TO to ) ( VP ( VB market ) ( NP ( DT the ) ( NN product ) ) ( PP-LOC ( IN under ) ( NP ( DT the ) ( NNP Cheer ) ( NN name ) ) ) ) ) ) ( SBAR-PRP ( IN since ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ 's ) ( ADVP-TMP ( RB already ) ) ( VP ( VBN expanded ) ( NP ( PRP$ its ) ( JJ best-selling ) ( NNP Tide ) ) ( PP-DIR ( IN into ) ( NP ( NP ( CD 16 ) ( JJ different ) ( NNS varieties ) ) ( PP ( VBG including ) ( NP ( NP ( NP ( DT this ) ( NN year ) ( POS 's ) ) ( JJ big ) ( NN hit ) ) ( NP ( NP ( NNP Tide ) ) ( PP ( IN with ) ( NP ( NN Bleach ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


With superconcentrates however it is n't always easy to persuade consumers that less is more many people tend to dump too much detergent into the washing machine believing that it takes a cup of powder to really clean the laundry

( S ( S ( PP ( IN With ) ( NP ( NNS superconcentrates ) ) ) ( ADVP ( RB however ) ) ( NP-SBJ ( NP ( PRP it ) ) ) ( VP ( VBZ is ) ( RB n't ) ( ADVP-TMP ( RB always ) ) ( ADJP-PRD ( JJ easy ) ) ( S-1 ( VP ( TO to ) ( VP ( VB persuade ) ( NP ( NNS consumers ) ) ( SBAR ( WDT that ) ( S ( NP-SBJ ( JJR less ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJR more ) ) ) ) ) ) ) ) ) ) ( S ( NP-SBJ-2 ( JJ many ) ( NNS people ) ) ( VP ( VBP tend ) ( S ( VP ( TO to ) ( VP ( VB dump ) ( NP ( ADJP ( RB too ) ( JJ much ) ) ( NN detergent ) ) ( PP-DIR ( IN into ) ( NP ( DT the ) ( NN washing ) ( NN machine ) ) ) ) ) ) ( S-ADV ( VP ( VBG believing ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( PRP it ) ) ) ( VP ( VBZ takes ) ( NP ( NP ( DT a ) ( NN cup ) ) ( PP ( IN of ) ( NP ( NN powder ) ) ) ) ( S-3 ( VP ( TO to ) ( VP ( ADVP ( RB really ) ) ( VB clean ) ( NP ( DT the ) ( NN laundry ) ) ) ) ) ) ) ) ) ) ) ) )


In the early 1980s P&G tried to launch here a concentrated detergent under the Ariel brand name that it markets in Europe

( S ( PP-TMP ( IN In ) ( NP ( DT the ) ( JJ early ) ( NNS 1980s ) ) ) ( NP-SBJ-2 ( NNP P&G ) ) ( VP ( VBD tried ) ( S ( VP ( TO to ) ( VP ( VB launch ) ( ADVP-LOC ( RB here ) ) ( NP ( DT a ) ( JJ concentrated ) ( NN detergent ) ) ( PP-LOC ( IN under ) ( NP ( NP ( DT the ) ( NNP Ariel ) ( NN brand ) ( NN name ) ) ( SBAR ( WHNP-1 ( IN that ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ markets ) ( PP-LOC ( IN in ) ( NP ( NNP Europe ) ) ) ) ) ) ) ) ) ) ) ) )


But the product which was n't as concentrated as the new Cheer bombed in a market test in Denver and was dropped

( S ( CC But ) ( NP-SBJ-2 ( NP ( DT the ) ( NN product ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBD was ) ( RB n't ) ( ADJP-PRD ( ADJP ( RB as ) ( JJ concentrated ) ) ( PP ( IN as ) ( NP ( DT the ) ( JJ new ) ( NNP Cheer ) ) ) ) ) ) ) ) ( VP ( VP ( VBD bombed ) ( PP-LOC ( IN in ) ( NP ( NP ( DT a ) ( NN market ) ( NN test ) ) ( PP-LOC ( IN in ) ( NP ( NNP Denver ) ) ) ) ) ) ( CC and ) ( VP ( VBD was ) ( VP ( VBN dropped ) ) ) ) )


P&G and others also have tried repeatedly to hook consumers on detergent and fabric softener combinations in pouches but they have n't sold well despite the convenience

( S ( S ( NP-SBJ-1 ( NNP P&G ) ( CC and ) ( NNS others ) ) ( ADVP ( RB also ) ) ( VP ( VBP have ) ( VP ( VBN tried ) ( ADVP ( RB repeatedly ) ) ( S ( VP ( TO to ) ( VP ( VB hook ) ( NP ( NNS consumers ) ) ( PP-CLR ( IN on ) ( NP ( NP ( NN detergent ) ( CC and ) ( NN fabric ) ( NN softener ) ( NNS combinations ) ) ( PP-LOC ( IN in ) ( NP ( NNS pouches ) ) ) ) ) ) ) ) ) ) ) ( CC but ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( VBP have ) ( RB n't ) ( VP ( VBN sold ) ( ADVP-MNR ( RB well ) ) ( PP ( IN despite ) ( NP ( DT the ) ( NN convenience ) ) ) ) ) ) )


But P&G contends the new Cheer is a unique formula that also offers an ingredient that prevents colors from fading

( S ( CC But ) ( NP-SBJ ( NNP P&G ) ) ( VP ( VBZ contends ) ( SBAR ( S ( NP-SBJ ( DT the ) ( JJ new ) ( NNP Cheer ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( DT a ) ( JJ unique ) ( NN formula ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( ADVP ( RB also ) ) ( VP ( VBZ offers ) ( NP ( NP ( DT an ) ( NN ingredient ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( VP ( VBZ prevents ) ( NP-3 ( NNS colors ) ) ( PP-CLR ( IN from ) ( S-NOM ( VP ( VBG fading ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


And retailers are expected to embrace the product in part because it will take up less shelf space

( S ( CC And ) ( NP-SBJ-1 ( NNS retailers ) ) ( VP ( VBP are ) ( VP ( VBN expected ) ( S ( VP ( TO to ) ( VP ( VB embrace ) ( NP ( DT the ) ( NN product ) ) ) ) ) ( SBAR-PRP ( PP ( IN in ) ( NP ( NN part ) ) ) ( IN because ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( MD will ) ( VP ( VB take ) ( PRT ( RP up ) ) ( NP ( JJR less ) ( NN shelf ) ( NN space ) ) ) ) ) ) ) ) )


When shelf space was cheap bigger was better says Hugh Zurkuhlen an analyst at Salomon Bros

( SINV ( S-TPC ( SBAR-TMP ( WHADVP-1 ( WRB When ) ) ( S ( NP-SBJ ( NN shelf ) ( NN space ) ) ( VP ( VBD was ) ( ADJP-PRD ( JJ cheap ) ) ) ) ) ( NP-SBJ ( JJR bigger ) ) ( VP ( VBD was ) ( ADJP-PRD ( JJR better ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( NP ( NNP Hugh ) ( NNP Zurkuhlen ) ) ( NP ( NP ( DT an ) ( NN analyst ) ) ( PP-LOC ( IN at ) ( NP ( NNP Salomon ) ( NNP Bros ) ) ) ) ) )


But with so many brands vying for space that 's no longer the case

( S ( CC But ) ( PP ( IN with ) ( S-NOM ( NP-SBJ ( ADJP ( RB so ) ( JJ many ) ) ( NNS brands ) ) ( VP ( VBG vying ) ( PP-CLR ( IN for ) ( NP ( NN space ) ) ) ) ) ) ( NP-SBJ ( DT that ) ) ( VP ( VBZ 's ) ( ADVP-TMP ( RB no ) ( RBR longer ) ) ( NP-PRD ( DT the ) ( NN case ) ) ) )


If the new Cheer sells well the trend toward smaller packaging is likely to accelerate as competitors follow with their own superconcentrates

( S ( SBAR-ADV ( IN If ) ( S ( NP-SBJ ( DT the ) ( JJ new ) ( NNP Cheer ) ) ( VP ( VBZ sells ) ( ADVP-MNR ( RB well ) ) ) ) ) ( NP-SBJ-1 ( NP ( DT the ) ( NN trend ) ) ( PP ( IN toward ) ( NP ( JJR smaller ) ( NN packaging ) ) ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ likely ) ( S ( VP ( TO to ) ( VP ( VB accelerate ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ ( NNS competitors ) ) ( VP ( VBP follow ) ( PP ( IN with ) ( NP ( PRP$ their ) ( JJ own ) ( NNS superconcentrates ) ) ) ) ) ) ) ) ) ) ) )


Then retailers will probably push the less-established brands out altogether he says

( S ( S-TPC-1 ( RB Then ) ( NP-SBJ ( NNS retailers ) ) ( VP ( MD will ) ( ADVP ( RB probably ) ) ( VP ( VB push ) ( NP ( DT the ) ( PRN ( JJ less-established ) ) ( NNS brands ) ) ( PRT ( RP out ) ) ( ADVP ( RB altogether ) ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBZ says ) ) )


Competition is bound to get tougher if Kao introduces a product like Attack in the U.S.

( S ( NP-SBJ-1 ( NN Competition ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ bound ) ( S ( VP ( TO to ) ( VP ( VB get ) ( ADJP-PRD ( JJR tougher ) ) ( SBAR-ADV ( IN if ) ( S ( NP-SBJ ( NNP Kao ) ) ( VP ( VBZ introduces ) ( NP ( NP ( DT a ) ( NN product ) ) ( PP ( IN like ) ( NP ( NNP Attack ) ) ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NNP U.S. ) ) ) ) ) ) ) ) ) ) ) )


To be sure Kao would n't have an easy time taking U.S. market share away from the mighty P&G which has about 23 % of the market

( S ( S-ADV ( VP ( TO To ) ( VP ( VB be ) ( ADJP-PRD ( JJ sure ) ) ) ) ) ( NP-SBJ ( NNP Kao ) ) ( VP ( MD would ) ( RB n't ) ( VP ( VB have ) ( NP ( NP ( DT an ) ( JJ easy ) ( NN time ) ) ( S-NOM ( VP ( VBG taking ) ( NP ( NNP U.S. ) ( NN market ) ( NN share ) ) ( ADVP-DIR ( RB away ) ( PP ( IN from ) ( NP ( NP ( DT the ) ( JJ mighty ) ( NNP P&G ) ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( VP ( VBZ has ) ( NP ( NP ( QP ( RB about ) ( CD 23 ) ) ( NN % ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN market ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )


Kao officials previously have said they are interested in selling detergents in the U.S. but so far the company has focused on acquisitions such as last year 's purchase of Andrew Jergens Co. a Cincinnati hand-lotion maker

( S ( S ( NP-SBJ ( NNP Kao ) ( NNS officials ) ) ( ADVP-TMP ( RB previously ) ) ( VP ( VBP have ) ( VP ( VBN said ) ( SBAR ( S ( NP-SBJ-1 ( PRP they ) ) ( VP ( VBP are ) ( ADJP-PRD ( JJ interested ) ( PP ( IN in ) ( S-NOM ( VP ( VBG selling ) ( NP ( NNS detergents ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NNP U.S. ) ) ) ) ) ) ) ) ) ) ) ) ) ( CC but ) ( S ( ADVP-TMP ( RB so ) ( RB far ) ) ( NP-SBJ ( DT the ) ( NN company ) ) ( VP ( VBZ has ) ( VP ( VBN focused ) ( PP-CLR ( IN on ) ( NP ( NP ( NNS acquisitions ) ) ( PP ( JJ such ) ( IN as ) ( NP ( NP ( NP ( JJ last ) ( NN year ) ( POS 's ) ) ( NN purchase ) ) ( PP ( IN of ) ( NP ( NP ( NNP Andrew ) ( NNP Jergens ) ( NNP Co. ) ) ( NP ( DT a ) ( NNP Cincinnati ) ( NN hand-lotion ) ( NN maker ) ) ) ) ) ) ) ) ) ) ) )


It also has a product-testing facility in California

( S ( NP-SBJ ( PRP It ) ) ( ADVP ( RB also ) ) ( VP ( VBZ has ) ( NP ( DT a ) ( NN product-testing ) ( NN facility ) ) ( PP-LOC ( IN in ) ( NP ( NNP California ) ) ) ) )


Some believe P&G 's interest in a superconcentrated detergent goes beyond the concern for the Japanese

( S ( NP-SBJ ( DT Some ) ) ( VP ( VBP believe ) ( SBAR ( S ( NP-SBJ ( NP ( NP ( NNP P&G ) ( POS 's ) ) ( NN interest ) ) ( PP ( IN in ) ( NP ( DT a ) ( JJ superconcentrated ) ( NN detergent ) ) ) ) ( VP ( VBZ goes ) ( PP-DIR ( IN beyond ) ( NP ( NP ( DT the ) ( NN concern ) ) ( PP ( IN for ) ( NP ( DT the ) ( NNPS Japanese ) ) ) ) ) ) ) ) ) )


This is something P&G would do with or without Kao says Mr. Zurkuhlen

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Ideal Basic Industries Inc. said its directors reached an agreement in principle calling for HOFI North America Inc. to combine its North American cement holdings with Ideal in a transaction that will leave Ideal 's minority shareholders with 12.8 % of the combined company

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HOFI the North American holding company of Swiss concern Holderbank Financiere Glaris Ltd. previously proposed combining its 100 % stake in St. Lawrence Cement Inc. and its 60 % stake in Dundee Cement Co. with its 67 % stake in Ideal

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But HOFI 's first offer would have given Ideal 's other shareholders about 10 % of the combined company

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Ideal 's directors rejected that offer although they said they endorsed the merger proposal

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Under the agreement HOFI will own 87.2 % of the combined company

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Ideal 's current operations will represent about 39.2 % of the combined company

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The transaction is subject to a definitive agreement and approval by Ideal shareholders

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Ideal said it expects to complete the transaction early next year

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Citing a payment from a supplier and strong sales of certain data-storage products Maxtor Corp. said earnings and revenue jumped in its second quarter ended Sept. 24

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The maker of computer-data-storage products said net income rose to 4.8 million or 23 cents a share from year-earlier net of 1.1 million or five cents a share

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Revenue soared to 117 million from 81.5 million

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Maxtor said its results were boosted by 2 million in payments received from a supplier for a certain line of products that Maxtor is n't going to sell anymore

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Maxtor said effects from discontinuing the line may have a positive effect on future earnings and revenue

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A spokeswoman would n't elaborate but the company said the discontinued product has never been a major source of revenue or profit

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Operationally Maxtor benefited from robust sales of products that store data for high-end personal computers and computer workstations

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In the fiscal first half net was 7 million or 34 cents a share up from the year-earlier 3.1 million or 15 cents a share

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