Undated (AP) _ A summary of developments in the news industry for the week of Oct. 4-11: Philadelphia Newspaper Talks Resume As Deadline Nears

PHILADELPHIA (AP) - The city's two daily newspapers and union negotiators resumed talks Oct. 11 in an effort to beat an afternoon strike deadline.

Ten unions representing 3,000 employees of the The Inquirer and Philadelphia Daily News had threatened to walk out if no agreement were reached. Contracts expired Sept. 1.

Management said a strike would not interrupt production.

Talks continued well past midnight Oct. 10, broke up, and then resumed about 9:30 a.m. Both papers published Oct. 11.

Robert Hall, publisher of Philadelphia Newspapers Inc., said round-the- clock talks over the weekend with the Newspaper Guild and two Teamsters locals had not gone well.

Union negotiators refused to comment.

Other newspaper unions have reached agreement on noneconomic issues but have said they will walk out with the Teamsters locals, which represent drivers and mailers, and the Guild, which represents editorial, advertising, circulation and business employees.

The Inquirer has a daily circulation of 502,149 and a Sunday circulation of 964,475. The Philadelphia Daily News, a tabloid, has a circulation of 193,192. PNI is the company that publishes both newspapers, which are owned by Knight- Ridder.

Discussion of wages and benefits was put off pending resolution of the noneconomic issues.

A key issue for drivers and mailers was a revamped distribution system accompanying the company's new $300 million suburban printing plant.

Mailers complain that nonunion workers now help assemble papers at 44 distribution warehouses. Many drivers' routes were shortened and some part- time drivers lost shifts with the new system.

The Newspaper Guild opposes plans for a nonunion advertising sales force. Guild spokesman Bill Brown accused the company of ''stonewalling on these noneconomic issues.''

Both papers will continue to publish if there is a strike, Hall said. Managers and supervisors are trained to produce the papers, and the company has hired extra security guards.

--- California Jury Awards Businessman $7.5 Million in Libel Lawsuit

LOS ANGELES (AP) - A businessman won a $7.5 million libel award against the Santa Barbara News-Press and its parent, The New York Times Co.

Leonard M. Ross argued that the newspaper wrongly identified him as the target of two federal criminal investigations in the 1970s, when he actually was investigated only once.

A jury on Oct. 4 awarded Ross $5 million for damage to his reputation and $2.5 million for emotional distress. The jury, which deliberated for 3 days, awarded no punitive damages, saying the defendants intended no malice. Ross had sought $15 million.

''The important thing was being vindicated and having the jury read the article in the misleading way it was written,'' Ross said.

The newspaper twice profiled Ross, who had become the largest shareholder in Santa Barbara Savings and Loan, then the city's largest financial institution.

Ross, 49, contended that the stories, published in November 1988 and February 1989, ruined his reputation in the Santa Barbara business community and caused him emotional distress.

The lawsuit said the newspaper also falsely connected him to a subsequent investigation of investor fraud that sent his former business partner, Barry Marlin, to prison.

The defendants' lawyer, Rex Heinke, said he might appeal if a judge denies his requests that the judgment be set aside or a new trial scheduled.

In addition to the News-Press and The New York Times Co., former News-Press business writer Kathleen Sharp and a former News-Press editor, David McCumber, were named as defendants.

The jury found that three of four disputed statements in the stories were false, defamatory and published negligently. Three of the disputed statements concerned the two federal criminal investigations in the 1970s.

--- Doctor Wins $376,000 Judgment Against Alternative Newspaper, Writer

DENVER (AP) - A jury awarded a neurosurgeon a $376,000 libel judgment against an alternative newspaper and a former writer for the newspaper over a November 1990 article that claimed the physician mishandled a patient's case.

After nearly two days of jury deliberations, Dr. Henry Fieger Jr. was awarded $226,000 Oct. 6 for injury to his reputation and $150,000 for personal humiliation.

Patricia Calhoun, editor of Westword, said the verdict will be appealed.

In November 1990, Westword published an article by Michael O'Keeffe that alleged Fieger had performed brain surgery that left the patient in worse condition than before the procedure. The article described Fieger as an ''apathetic doctor'' who misdiagnosed the patient's condition, ordered an unnecessary procedure performed and did not treat the patient properly after the surgery.

Fieger alleged that the Westword story contained 14 defamatory statements. The jury found that nine of the statements were made with ''reckless disregard'' of the truth.

--- Time Magazine Apologizes for Staged Photos

NEW YORK (AP) - Time magazine acknowledged that a series of photographs purporting to show child prostitutes in Moscow was staged.

''Although both the pimp and the boys still insist to us that they were and are engaged in child prostitution, one boy has denied it to others,'' the magazine said in its Oct. 11 edition. ''Had we known this at the time, we would not have run these pictures. We regret the error.''

Time said the free-lance photographer, Alexey Ostrovskiy, admitted staging some of the pictures.

The six-picture spread in the June 21 issue showed the boys, ages 8 and 9, dressed as girls, and their pimp, ''Sasha.'' Time reported the boys were street urchins who ended up in Sasha's hands because of social upheaval in Russia.

Moscow police said the boys were actually 11 and 14, with no prostitution or cross-dressing experience. They were paid $6 apiece for posing, police said, and ''Sasha'' was paid $10. Administration Pledges to Make More Information Available

WASHINGTON (AP) - The Clinton administration promised to make more government information available to the public as it revoked a 12-year-old restriction on the Freedom of Information Act.

''Federal departments and agencies should handle requests for information in a customer-friendly manner,'' President Clinton said Oct. 4. ''Our commitment to openness requires more than merely responding to requests from the public.''

At the Justice Department, officials said the administration is rescinding a 1981 rule that let federal agencies withhold information whenever they could show ''a substantial legal basis.''

The new policy, by contrast, presumes that information should be made public, the department said.

From now on, the department will only defend an agency sued under FOIA if it can show it was ''reasonably foreseeable that disclosure would be harmful'' to some legitimate interest.

There are more than 500 such lawsuits pending, and officials said there is an additional huge backlog of requests for information under FOIA.

Associate Attorney General Webster Hubbell likened the new policy to ''a ship that's about to turn in a different direction.''

''This is an important step and a big first step. A responsible government is a government that lets people know what it is doing,'' Hubbell told a news conference.

To demonstrate the administration's support for open government, he said a meeting Oct. 5 of some 600 FOIA officers throughout the government would be open to reporters and the public. The annual meeting will examine specific ways of administering the new policy.

Hubbell also said the change could eventually save taxpayers money by cutting paperwork and reducing the number of lawsuits under FOIA.

He acknowledged that protecting privacy could pose a problem but said the first step now will be to see whether someone named in a FOIA request opposes release of the information. If no privacy claim is made, Hubbell said, that would bolster the presumption the information should be disclosed.

--- Hong Kong Paper Says Its Journalist May Have Broken Chinese Law

BEIJING (AP) - The chairman of a Hong Kong newspaper whose reporter has been accused of stealing Chinese state secrets said the jailed journalist may be guilty.

The remark Oct. 10 was a retreat from the Ming Pao newspaper's previous insistence that reporter Xi Yang was innocent and engaged only in normal reporting work.

State Security Ministry officials arrested Xi two weeks ago and said he illegally obtained Chinese central bank plans for interest rate changes and international gold transactions.

The case has shaken the lively Hong Kong media, which fear heavy Chinese censorship after the British-ruled enclave returns to Chinese rule in 1997.

Newspaper chairman Yu Pun Hoi flew to Beijing last week to seek Xi's release. The newspaper's executive chief editor, Cheung Kin-bor, said Yu met Oct. 10 with other Hong Kong reporters and told them that materials provided by the Chinese authorities indicated Xi may have violated the law.

Xi was arrested Sept. 27 and charged Oct. 7. Earlier, authorities arrested and charged Tian Ye, a People's Bank of China employee who was described as Xi's main source of secrets, China's state-run TV said.

The report said both Xi and Tian confessed, but gave no details.

What is considered diligent reporting in the West can be seen as espionage in China.

Last fall, a reporter for the Express of Hong Kong was expelled after being held about a week because she had acquired an advance copy of an important speech by Communist Party chief Jiang Zemin. The Chinese reporter who gave her the speech was later sentenced to life imprisonment.

The two cases have sent shock waves through the Hong Kong press corps, already jittery that Communist China will curtail press freedom after the British colony returns to Chinese rule in 1997.

--- Dow Jones Earnings Rose 51 Percent in Third Quarter

NEW YORK (AP) - Dow Jones & Co.'s profit for the third quarter climbed 50.9 percent, partly because of higher advertising volume at The Wall Street Journal and its other business publications.

The company reported improved operating results from its community newspapers and information services operation, and from lower interest expense.

Dow Jones earned $29.7 million, or 30 cents a share, in the three months ending Sept. 30, compared with $19.6 million, or 19 cents a share, a year earlier.

Revenue for the quarter rose 7 percent to $468.7 million from $438.1 million a year earlier.

Operating income at the company's business publications division rose 92 percent to $23.4 million in the quarter. Ad lines at the Journal were up 7.1 percent overall and 8.7 percent per issue.

Operating income rose 6.8 percent at the Ottaway Newspapers division and 13 percent at the business information services group that includes Telerate.

For the first nine months, Dow Jones earned $100.4 million, or $1.01 a share, up 29 percent from $77.8 million, or 77 cents a share, in 1992.

Revenue for the nine months rose 5.8 percent to $1.42 billion from $1.34 billion a year earlier.

--- World-Herald Co. Buys New Mexico Daily

OMAHA, Neb. (AP) - An Omaha World-Herald Co. subsidiary has purchased the Carlsbad Current-Argus, an 8,700-circulation afternoon newspaper in southeastern New Mexico.

The newspaper becomes the fifth daily owned by World Newspapers Inc., a group holding company of the Omaha World-Herald Co.

World Newspapers said Oct. 4 it purchased the Current-Argus from David B. Martens of Seattle and retiring president Edward Cantwell. Terms weren't disclosed.

Daryl Hall, publisher of the Kearney Hub, will become president and publisher of the Current-Argus. He has been president and publisher of the Hub since shortly after it was purchased by the Omaha World-Herald Co. in 1985. BROADCASTING: EEOC Rules in Favor of TV Anchorwoman in Discrimination Complaint

PHILADELPHIA (AP) - The Equal Employment Opportunity Commission ruled in favor of a television anchorwoman who complained that her CBS-operated station yanked her off the late-night news because of her age.

Diane Allen, 45, was replaced last year on WCAU's 11 p.m. news by a reporter-anchorwoman who is 13 years younger.

The EEOC found probable cause that Allen was discriminated against because of her age. The agency also said she was later discriminated against based on her gender when she applied for the anchor spot of a man on the same newscast and the job went to another man, station officials said Oct. 6.

Allen said she couldn't comment because she hadn't seen the ruling.

WCAU's general manager, Gene Lothery, disputed the ruling.

''WCAU-TV does not condone discrimination of any sort and has not discriminated against Ms. Allen in any fashion,'' he said.

The ruling is non-binding, but Allen had to file a complaint with the commission before she can file a federal lawsuit. Her plans for a lawsuit weren't known.

Allen has been working for the Philadelphia station as a general assignment reporter and is anchorwoman at 5 p.m.

--- Georgia Company Wins Bid for Two Kentucky Television Stations

FRANKFORT, Ky. (AP) - An Albany, Ga., company is the winning bidder for the two television stations owned by the financially troubled Kentucky Central Life Insurance Co., the state's insurance commissioner said.

A newly formed company is the winning bidder for WVLK radio in Lexington; the company includes employees of the station.

Insurance Commissioner Don Stephens, who has been overseeing the rehabilitation of Kentucky Central since the state took it over in February, said Oct. 5 that terms of the bids will not be announced until final negotiations take place.

Any sale must also be approved by the Franklin Circuit Court.

Gray Communications Systems Inc., a publicly held company that owns at least three other television stations in the South, is in line to buy WKYT-TV in Lexington and WYMT-TV in Hazard.

HMH Broadcasting Inc., which includes the president and general manager of WVLK, is the winning bidder for the AM and FM radio properties. station.

--- W.Va. Judge Approves Sale of TV Station to Kentucky Company

MARTINSBURG, W.Va. (AP) - A bankruptcy court judge has approved the sale of a bankrupt Martinsburg television station to a Kentucky company for less than its initial offer.

Green River Broadcast Corp. of Bowling Green, Ky., made a $1.5 million offer last month, but the price was lowered to $1.32 million after a company that holds the lien on much of the station's equipment agreed to remove itself from the bankruptcy proceedings.

U.S. Bankruptcy Court Judge Edward Friend II on Oct. 7 approved the sale of WYVN-TV to Green River.

The former Fox network affiliate went on the air in October 1991 but filed for Chapter 11 bankruptcy protection from its creditors a year later. Friend placed the station into Chapter 7 liquidation, however, and ordered its assets sold to satisfy the creditors.

In May, the station halted most local programming. It went off the air for a brief time last month after creditors could not agree on a buyer.

--- Tucson, Ariz., Company Buys N.C. Radio Station

DURHAM, N.C. (AP) - The Durham Herald Co., owner of The Herald-Sun newspaper, has sold FM radio station WDCG to Prism Radio Partners of Tucson, Ariz. Terms were not disclosed.

WDCG is the second radio station in the area that Prism has bought recently. Prism bought WZZU from the Village Cos. of Chapel Hill for $4 million in July.

Prism owns 12 other stations throughout the United States.

The sale of WDCG does not include its sister AM station, WDNC. The company is negotiating separately for the sale of WDNC.

In addition to The Herald-Sun, the Durham Herald Co. publishes The Chapel Hill Herald and The Raleigh Extra. PERSONNEL: Campbell Named Editor of Norfolk Newspapers

NORFOLK (AP) - Cole C. Campbell, managing editor of The Virginian-Pilot and The Ledger-Star since June 1991, was appointed editor of the newspapers.

Publisher Frank Batten Jr. named Campbell, 40, to the new position Oct. 5. In April, he assumed the duties of Sandra M. Rowe, the papers' former executive editor who left to become executive editor of The Oregonian in Portland, Ore.

Campbell's new title combines both jobs and reflects his expanded responsibilities, Batten said.

Campbell came to the Norfolk newspapers in 1990 as an assistant managing editor. He had spent eight years in various editing and writing positions at the Greensboro News & Record in North Carolina.

The Norfolk and Greensboro papers are owned by Landmark Communications.

--- Grossman Named Oakland Tribune Publisher

OAKLAND, Calif. (AP) - Former Tri-Valley Herald publisher Roger Grossman has been named publisher of The Oakland Tribune.

J. Allan Meath, president and chief executive officer of the Alameda Newspaper Group, relinquished his post as Tribune publisher to concentrate on his corporate responsibilities.

In addition to The Tribune and the Herald, the newspaper group also publishes The (Hayward) Daily Review, The (Fremont) Argus and the Alameda Times-Star.

Meath is relocating the Alameda Newspaper Group's new corporate offices to the Tri-Valley Herald building in Pleasanton, also the site of the group's news and advertising production center.

Grossman, 47, joined the group in 1989.

--- Games Magazine Editor Appointed Puzzle Editor at New York Times

NEW YORK (AP) - Will Shortz, editor of Games Magazine, has been named puzzle editor of The New York Times.

Shortz succeeds Eugene T. Maleska, who edited The Times' crosswords and other puzzles for 16 years until his death in August. The appointment is effective next month.

Shortz, 41, is director of the American Crossword Tournament, which he founded in 1978, and ''puzzlemaster'' for National Public Radio's program, ''Weekend Edition Sunday.''

Shortz will edit Sunday puzzles for the newspaper's Sunday magazine and crossword puzzles for the daily newspaper.

--- Tribune Co. Names Senior Vice President of Development

CHICAGO (AP) - David D. Hiller, Tribune Co.'s senior vice president-general counsel, has been named senior vice president of development.

Hiller succeeds Scott C. Smith, who was named president and chief executive officer of The Sun-Sentinel Co. in Fort Lauderdale, Fla.

James E. Cushing Jr., vice president-business affairs for ChicagoLand Television News, a cable television news channel, will become Tribune's vice president-general counsel, Chairman Charles Brumback said Oct. 4.

Both appointments are effective Nov. 1.

--- The Trentonian Names New City Editor

TRENTON, N.J. (AP) - David Leibowitz, a columnist, reporter and copy editor for The Trentonian since July 1992, has been appointed city editor.

Leibowitz succeeds Chuck Pukanecz, who has been promoted to managing editor of The Times of Pawtucket, R.I. Both newspapers are owned by the Trenton-based Journal Register Co.

Pukanecz, 27, started as a reporter at The Trentonian in November 1990. After attending Temple University and American University, he worked for The Philadelphia Inquirer and The Morning Call of Allentown, Pa.

Leibowitz, 28, has master's degrees in journalism and English from New York University and Temple University and a bachelor's degree from Florida State University.

--- Grand Island, Neb., Publisher to Retire at Year's End

GRAND ISLAND, Neb. (AP) - Publisher Kent Thomas of The Grand Island Independent will retire at the end of the year and will be succeeded by John Goossen, publisher of the Hannibal (Mo.) Courier-Post.

Thomas, who became publisher of The Independent on Jan. 1, also has been publisher of the York News-Times and the Beatrice Daily Sun in Nebraska.

Goossen was circulation manager of The Independent from 1978 to 1986, when he was named assistant publisher at the Daily Ardmoreite in Ardmore, Okla. He became publisher at Hannibal in 1987.

The Courier-Post and the Daily Ardmoreite, like The Independent, are owned by Stauffer Communications Inc., which is based in Topeka, Kan.

Goosen, 39, is a graduate of the University of Nebraska.

Thomas, 62, joined The Independent as general manager 3 1/2 years ago after the Beatrice Daily Sun where he was publisher was sold by Stauffer Communications to American Publishing Co.

--- Keezing to Retire From The Herald in New Britain, Conn.

NEW BRITAIN, Conn. (AP) - Henry M. Keezing, executive editor of The Herald in New Britain, will retire Dec. 31.

Keezing will be replaced by William F. Millerick, editorial page editor of The Herald for six years. Millerick, 45, has been with the paper for 22 years. He was named managing editor Oct. 6.

Until his retirement, Keezing will take over Millerick's editorial page responsibilities.

Keezing, 63, has been on the afternoon paper's editorial staff for almost 40 years. He joined The Herald as a reporter in 1954 and later became an editorial writer. He campaigned for Connecticut's Freedom of Information Law, enacted during the administration of the late Gov. Ella Grasso.

--- Duncan Named Editor of Kinston, N.C., Paper

KINSTON, N.C. (AP) - The Kinston Daily Free Press has named George Duncan its new editor.

A native of Vero Beach, Fla., Duncan has worked at the Vero Beach Sun, the Florence (S.C.) Morning News, the Savannah (Ga.) Morning News and the Meridian (Miss.) Star.

Duncan, 43, majored in journalism at the University of Florida. DEATHS: Virginia Lee Bracker

NEW YORK (AP) - Virginia Lee Bracker, a retired reporter and foreign correspondent for The New York Times, died Oct. 5. She was 86.

Bracker, who wrote for The Washington Post under the byline Virginia Lee Warren, married Milton Bracker of the Times in 1936. They became a Times reporting team, working in Italy, Mexico and Latin America.

In 1952, she and her husband shared a George Polk Award for foreign reporting for their coverage of the repressive regime of Juan Domingo Peron in Argentina. She retired in 1978. William Angus Corley

NEW YORK (AP) - Emmy-winning newsman William Angus Corley, who worked for The Associated Press and NBC, died Oct. 3. He was 77.

Corley started his career in the 1930s at the Washington Daily News. He later worked for Trans Radio and joined the AP in 1941 as a radio newsman.

He left the AP in 1943 to serve with the Army in Italy. He returned to the AP in 1946. In 1955, he joined NBC as a news editor.

Corley's work at NBC included producing the early-morning ''World News Roundup'' and working in bureaus in Chicago, Moscow and Saigon.

In 1966, while in Saigon, he wrote and produced ''The First Television War,'' which won an Emmy in Chicago. In 1968, he co-produced an 8 1/2 -hour year-end news review, which also won an Emmy. James Edwin Gouldy

FORT WORTH, Texas (AP) - James Edwin ''Ted'' Gouldy, the editor and publisher of the Weekly Livestock Reporter and a former Fort-Worth Star Telegram reporter, died Oct. 3. He was 85.

Gouldy for more than half a century informed the public about livestock markets in print, radio broadcasts and folksy editorials called ''Stuph & Thangs.''

Gouldy began his newspaper career as a galley boy at the old Fort Worth Record and later became a reporter at the Star-Telegram.

Survivors include his wife and two sisters. Harold E. Hutchings

CHICAGO (AP) - Harold E. Hutchings, retired executive editor of the Chicago Tribune, died Oct. 2. He was 86.

Hutchings joined the paper in 1934 and worked as reporter, city editor and in other management positions until he was named executive editor in 1971. He retired in 1972, but worked as an archivist for the newspaper for several years afterward.

Survivors include his wife and a son. Jeannette Matthey

TORONTO (AP) - Jeannette Matthey, a foreign correspondent for Canadian Broadcasting Corp. Radio, died Oct. 6 of breast cancer. She was 37.

She covered the collapse of the Soviet Union, the crisis in Somalia, the Falklands War, Irish Republican Army bombings and the 1986 explosion of the space shuttle Challenger. Jim Raglin

LINCOLN, Neb. (AP) - Jim Raglin, a longtime Nebraska newspaperman, died Oct. 9. He was 68.

From 1951 to 1962, Raglin worked for the Lincoln Journal as a sports writer, assistant sports editor, state editor and assistant managing editor. He returned to the Journal as assistant managing editor in 1974, and became a columnist for the newspaper four years later.

He was director of public relations for the University of Nebraska from 1978 to 1985, when he became general manager of the Nebraska Press Association.

He retired as the association's director in 1991 and was inducted into the Nebraska Newspaper Hall of Fame in 1992.

Survivors include his wife, three sons and two daughters. James E. Rasmusen

GARY, Ind. (AP) - James E. Rasmusen, former publisher of the Post-Tribune, died Oct. 5. He was 80.

His first newspaper job was in Ironwood, Mich. He came to the Post-Tribune in 1946, working as a telegraph editor, news editor and assistant managing editor before being named head of the newsroom in 1959.

He became executive editor in 1969 and was named editor and publisher in 1973. He retired in 1978.

--- NOTES FROM EVERYWHERE: The Dominion Post of Morgantown, W.Va., has pledged $100,000 to the West Virginia University School of Journalism to fund student scholarships. ... A foundation created by publishing magnate Walter H. Annenberg is donating $25 million to Northwestern University. The gift is the latest in a string of multimillion-dollar donations to U.S. colleges and universities from the Annenberg Foundation. ... The Sacramento Union, a morning daily, will curtail publication to three days a week and lay off a quarter of its staff. The newspaper, whose circulation has dropped from about 115,000 in the mid-1960s to about 35,000, will publish Wednesday, Friday and Sunday. ... Newsweek produced a special issue on the career of NBA superstar Michael Jordan, in addition to the magazine's regular issue. This marks the first time Newsweek has closed two magazines over the same weekend.

End Industry News Advisory