( S ( NP-SBJ ( NNS Shareholders ) ) ( VP ( MD must ) ( VP ( VB approve ) ( NP ( DT the ) ( NN merger ) ) ( PP-LOC ( IN at ) ( NP ( NP ( JJ general ) ( NNS meetings ) ) ( PP ( IN of ) ( NP ( DT the ) ( CD two ) ( NNS companies ) ) ) ( PP-TMP ( IN in ) ( NP ( JJ late ) ( NNP November ) ) ) ) ) ) ) )

Shareholders must approve the merger at general meetings of the two companies in late November


( S ( CC But ) ( NP-SBJ ( NN approval ) ) ( VP ( VBZ is ) ( ADJP-PRD ( RB almost ) ( JJ certain ) ) ( SBAR-PRP ( IN since ) ( S ( NP-SBJ ( NP ( NNP Mr. ) ( NNP Rey ) ) ( CC and ) ( NP ( DT a ) ( JJ friendly ) ( NNP Adia ) ( NN management ) ) ) ( VP ( VBP are ) ( PP-PRD ( IN in ) ( NP ( NN control ) ) ) ) ) ) ) )

But approval is almost certain since Mr. Rey and a friendly Adia management are in control


( S ( PP-TMP ( IN After ) ( NP ( DT the ) ( NN transaction ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ estimates ) ( SBAR ( S ( NP-SBJ ( NP ( DT the ) ( NN value ) ) ( PP ( IN of ) ( NP ( NP ( PRP$ his ) ( ADJP ( CD 20 ) ( NN % ) ) ( NN stake ) ) ( PP ( IN in ) ( NP ( NP ( DT the ) ( JJ new ) ( NN company ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN held ) ( PP ( IN by ) ( NP-LGS ( PRP$ his ) ( NNP Omni ) ( NNP Holding ) ( NNP AG ) ) ) ) ) ) ) ) ) ) ) ) ) ( VP ( MD will ) ( VP ( VB be ) ( NP-PRD ( QP ( IN about ) ( CD 1 ) ( CD billion ) ) ( JJ Swiss ) ( NNS francs ) ) ) ) ) ) ) )

After the transaction Mr. Rey estimates the value of his 20 % stake in the new company to be held by his Omni Holding AG will be about 1 billion Swiss francs


( S ( NP-SBJ ( DT This ) ) ( VP ( MD will ) ( VP ( VB be ) ( NP-PRD ( NP ( PRP$ his ) ( NN return ) ) ( PP ( IN on ) ( NP ( NP ( DT an ) ( JJ original ) ( NN investment ) ) ( PP ( IN of ) ( PP ( IN between ) ( NP ( NP ( CD 50 ) ( CD million ) ( JJ Swiss ) ( NNS francs ) ) ( CC and ) ( NP ( CD 80 ) ( CD million ) ( JJ Swiss ) ( NNS francs ) ) ) ) ) ) ) ) ) ) )

This will be his return on an original investment of between 50 million Swiss francs and 80 million Swiss francs


( S ( NP-SBJ-1 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD bought ) ( NP ( NP ( DT a ) ( VBG controlling ) ( NN stake ) ) ( PP ( IN in ) ( NP ( NNP Inspectorate ) ) ) ) ( PP-CLR ( IN for ) ( NP ( CD 18 ) ( CD million ) ( JJ Swiss ) ( NNS francs ) ) ) ( PP-TMP ( IN in ) ( NP ( CD 1982 ) ) ) ( S-ADV ( VP ( VBG building ) ( PRT ( RP up ) ) ( NP ( DT the ) ( JJ little-known ) ( NN engineering ) ( NN company ) ) ( PP-MNR ( IN with ) ( NP ( UCP ( JJ European ) ( CC and ) ( NNP U.S. ) ) ( NNS acquisitions ) ) ) ) ) ) )

Mr. Rey bought a controlling stake in Inspectorate for 18 million Swiss francs in 1982 building up the little-known engineering company with European and U.S. acquisitions


( SINV ( S-TPC-3 ( NP-SBJ-1 ( PRP I ) ) ( VP ( VBP like ) ( S ( VP ( TO to ) ( VP ( VB succeed ) ) ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( PP-TMP ( IN during ) ( NP ( NP ( DT a ) ( JJ recent ) ( NN morning ) ) ( PP ( IN of ) ( NP ( S-NOM ( VP ( VBG working ) ( PP-LOC ( IN at ) ( NP ( NN home ) ) ) ) ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( NP-SBJ ( PRP he ) ) ( ADVP ( RB also ) ) ( VP ( VBZ likes ) ) ) ) ) ) ) ) )

I like to succeed says Mr. Rey during a recent morning of working at home which he also likes


( S ( NP-SBJ ( NN Home ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( NP ( DT an ) ( NN estate ) ) ( PP ( IN with ) ( NP ( NP ( JJ green ) ( NNS meadows ) ) ( VP ( VBG opening ) ( PP-CLR ( IN onto ) ( NP ( NNP Lake ) ( NNP Geneva ) ) ) ) ) ) ) ( CC and ) ( NP ( NP ( DT a ) ( JJ low-slung ) ( NN house ) ) ( SBAR ( WHNP-1 ( WP$ whose ) ( NNS rooms ) ) ( S ( VP ( VP ( VBP overlook ) ( NP ( DT the ) ( NN water ) ) ) ( CC and ) ( VP ( VBP offer ) ( NP ( NP ( DT a ) ( NN view ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP French ) ( NNP Alps ) ) ) ) ) ) ) ) ) ) ) )

Home is an estate with green meadows opening onto Lake Geneva and a low-slung house whose rooms overlook the water and offer a view of the French Alps


( SINV ( PP-PRD-LOC-TPC-1 ( IN In ) ( NP ( NP ( DT the ) ( NN corner ) ) ( PP ( IN of ) ( NP ( PRP$ his ) ( NN reception ) ( NN room ) ) ) ) ) ( VP ( VBZ is ) ) ( NP-SBJ ( NP ( DT a ) ( JJ delicate ) ( NN antique ) ( NN desk ) ) ( VP ( VBN piled ) ( ADVP-CLR ( RB high ) ) ( PP-CLR ( IN with ) ( NP ( NNS dossiers ) ) ) ) ) )

In the corner of his reception room is a delicate antique desk piled high with dossiers


( S ( NP-SBJ ( EX There ) ) ( VP ( VBZ is ) ( NP-PRD ( DT a ) ( JJ small ) ( NNP Renoir ) ) ( PP-LOC ( IN on ) ( NP ( DT the ) ( NN wall ) ) ) ) )

There is a small Renoir on the wall


( S ( NP-SBJ ( JJ Zurich-based ) ( NN magazine ) ( NNP Bilanz ) ) ( VP ( VBZ lists ) ( NP-1 ( NNP Mr. ) ( NNP Rey ) ) ( PP-CLR ( IN as ) ( S-NOM ( VP ( VBG having ) ( NP ( NP ( DT a ) ( NN fortune ) ) ( PP ( IN of ) ( NP ( QP ( IN about ) ( CD 1.5 ) ( CD billion ) ) ( JJ Swiss ) ( NNS francs ) ) ) ) ) ) ) ) )

Zurich-based magazine Bilanz lists Mr. Rey as having a fortune of about 1.5 billion Swiss francs


( SINV ( VP ( VBZ Writes ) ) ( NP-SBJ ( NNP Bilanz ) ) ( S-1 ( NP-SBJ ( NP ( DT No ) ( NN one ) ) ( PP-LOC ( IN in ) ( NP ( NNP Switzerland ) ) ) ) ( ADVP-TMP ( RB ever ) ) ( VP ( VBD came ) ( ADVP-CLR ( RB so ) ( RB far ) ) ( ADVP-TMP ( RB so ) ( RB fast ) ) ) ) )

Writes Bilanz No one in Switzerland ever came so far so fast


( S ( NP-SBJ ( PRP He ) ) ( VP ( VBD was ) ( ADVP ( RB simply ) ) ( NP-PRD ( NP ( DT the ) ( JJ first ) ) ( PP-LOC ( IN in ) ( NP ( DT this ) ( NN country ) ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB realize ) ( SBAR ( IN that ) ( S ( NP-SBJ-3 ( NNS treasures ) ) ( VP ( VBD were ) ( ADVP ( RB just ) ) ( VP ( VBG lying ) ( ADVP-CLR ( RB around ) ) ( S-ADV ( VP ( VBG waiting ) ( S ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN picked ) ( PRT ( IN up ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

He was simply the first in this country to realize that treasures were just lying around waiting to be picked up


( S ( PP ( IN In ) ( ADJP ( JJ short ) ) ) ( NP-SBJ ( NNP Rey ) ) ( VP ( VBD found ) ( NP ( NP ( NNS companies ) ) ( PP ( IN with ) ( NP ( NP ( JJ weak ) ( NNS earnings ) ) ( CC but ) ( NP ( JJ rich ) ( NNS assets ) ) ) ) ) ) )

In short Rey found companies with weak earnings but rich assets


( S ( ADVP ( RB However ) ) ( NP-SBJ ( NP ( NP ( DT the ) ( JJ Swiss ) ( JJ financial ) ( NN press ) ) ( PP ( IN in ) ( ADJP ( JJ general ) ) ) ) ( CONJP ( RB as ) ( RB well ) ( IN as ) ) ( NP ( JJ many ) ( NNS analysts ) ) ) ( VP ( VBP have ) ( VP ( VBN had ) ( NP ( NP ( DT a ) ( JJ hard ) ( NN time ) ) ( S-NOM ( VP ( VBG making ) ( PRT ( RP up ) ) ( NP ( PRP$ their ) ( NNS minds ) ) ( PP-CLR ( IN about ) ( NP ( NP ( NNP Mr. ) ( NNP Rey ) ) ( CC and ) ( NP ( PRP$ his ) ( JJ un-Swiss ) ( NNS ways ) ) ) ) ) ) ) ) ) )

However the Swiss financial press in general as well as many analysts have had a hard time making up their minds about Mr. Rey and his un-Swiss ways


( S ( PP ( IN For ) ( NP ( NP ( NP ( NNP Switzerland ) ( POS 's ) ) ( ADJP ( JJS most ) ( JJ prestigious ) ) ( NN newspaper ) ) ( NP ( NNP Neue ) ( NNP Zuercher ) ( NNP Zeitung ) ) ) ) ( NP-SBJ-2 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ seems ) ( VP ( VBN destined ) ( S ( VP ( TO to ) ( VP ( VB remain ) ( NP-PRD ( NP ( DT the ) ( JJ former ) ( NNP Bally ) ( NN raider ) ) ( NP ( NP ( DT an ) ( NN image ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBZ has ) ( VP ( VBN proved ) ( ADJP ( RB hard ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB overcome ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

For Switzerland 's most prestigious newspaper Neue Zuercher Zeitung Mr. Rey seems destined to remain the former Bally raider an image that has proved hard to overcome


( S ( PP-TMP ( IN In ) ( NP ( CD 1976 ) ) ) ( PP ( IN as ) ( NP ( NP ( DT an ) ( NN upstart ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NNS eyes ) ) ( PP ( IN of ) ( NP ( NP ( NNP Switzerland ) ( POS 's ) ) ( NN establishment ) ) ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD laid ) ( NP ( NP ( DT the ) ( NNS foundations ) ) ( PP ( IN of ) ( NP ( PRP$ his ) ( JJ present-day ) ( NN prominence ) ) ) ) ( PP-CLR ( IN with ) ( NP ( NP ( DT an ) ( JJ unheard-of ) ( NN raid ) ) ( PP ( IN on ) ( NP ( NP ( NNP Bally ) ) ( NP ( NP ( DT the ) ( NN country ) ( POS 's ) ) ( JJ traditional ) ( NN shoemaker ) ) ) ) ) ) ) )

In 1976 as an upstart in the eyes of Switzerland 's establishment Mr. Rey laid the foundations of his present-day prominence with an unheard-of raid on Bally the country 's traditional shoemaker


( S ( S-ADV ( VP ( VBG Sitting ) ( PP-LOC-CLR ( IN beside ) ( NP ( DT a ) ( NN banker ) ) ) ( PP-LOC ( IN at ) ( NP ( NP ( DT a ) ( NN luncheon ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNP London ) ) ( SBAR ( WHADVP-2 ( WRB where ) ) ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD was ) ( VP ( VBG working ) ( PP-CLR ( IN as ) ( NP ( DT a ) ( JJ financial ) ( NN consultant ) ) ) ) ) ) ) ) ) ) ) ) ) ( NP-SBJ-1 ( PRP he ) ) ( VP ( VBD learned ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( DT a ) ( JJ large ) ( NN packet ) ) ( PP ( IN of ) ( NP ( NP ( NNP Bally ) ( POS 's ) ) ( NNS shares ) ) ) ) ( VP ( VBD was ) ( PP-PRD ( IN up ) ( PP ( IN for ) ( NP ( NN sale ) ) ) ) ) ) ) ) )

Sitting beside a banker at a luncheon in London where he was working as a financial consultant he learned that a large packet of Bally 's shares was up for sale


( S ( S ( S-ADV ( VP ( VBG Looking ) ( PP-CLR ( IN into ) ( NP ( NNP Bally ) ) ) ) ) ( NP-SBJ-2 ( PRP he ) ) ( VP ( MD could ) ( ADVP ( RB hardly ) ) ( VP ( VB believe ) ( NP ( SBAR-NOM ( WHNP-1 ( WP what ) ) ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD saw ) ) ) ) ( NP ( NP ( DT a ) ( NN company ) ) ( PP ( IN with ) ( NP ( NP ( NP ( JJ enormous ) ( NN real-estate ) ( NNS holdings ) ) ( PP-LOC ( IN in ) ( NP ( JJ major ) ( JJ European ) ( NNS cities ) ) ) ) ( CC and ) ( NP ( NP ( DT a ) ( NN market ) ( NN capitalization ) ) ( PP ( IN of ) ( NP ( QP ( CD 28 ) ( CD million ) ) ( JJ Swiss ) ( NNS francs ) ) ) ) ) ) ) ) ) ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD had ) ( NP ( CD 7,000 ) ( NNS employees ) ) ) ) )

Looking into Bally he could hardly believe what he saw a company with enormous real-estate holdings in major European cities and a market capitalization of 28 million Swiss francs it had 7,000 employees


( S ( S-ADV ( VP ( VBG Investing ) ( NP ( NP ( NP ( QP ( CD four ) ( CD million ) ) ( JJ Swiss ) ( NNS francs ) ) ( VP ( VBN earned ) ( PP-CLR ( IN from ) ( NP ( PRP$ his ) ( JJ financial ) ( NNS transactions ) ) ) ) ) ( CC and ) ( NP ( NP ( QP ( CD two ) ( CD million ) ) ( JJ Swiss ) ( NNS francs ) ) ( PP ( IN from ) ( NP ( NP ( PRP$ his ) ( NNS parents ) ) ( CC and ) ( NP ( PRP$ his ) ( NN wife ) ) ) ) ) ) ) ) ( NP-SBJ-1 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD acquired ) ( NP ( NP ( CD 20 ) ( NN % ) ) ( PP ( IN of ) ( NP ( NP ( NNP Bally ) ( POS 's ) ) ( NNS shares ) ) ) ) ) )

Investing four million Swiss francs earned from his financial transactions and two million Swiss francs from his parents and his wife Mr. Rey acquired 20 % of Bally 's shares


( S ( CC But ) ( NP-SBJ ( JJ such ) ( NNS tactics ) ) ( VP ( VP ( VBD were ) ( ADJP-PRD ( JJ alien ) ( PP ( TO to ) ( NP ( NNP Switzerland ) ) ) ) ( PP-TMP ( IN in ) ( NP ( CD 1976 ) ) ) ) ( CC and ) ( VP ( ADVP-TMP ( RB still ) ) ( VBP are ) ( RB n't ) ( ADJP-PRD ( JJ common ) ) ( PP-PRP ( IN because ) ( IN of ) ( NP ( NP ( NN share ) ( NNS restrictions ) ) ( SBAR ( WHNP-1 ( IN that ) ) ( S ( NP-SBJ-2 ( NNS companies ) ) ( VP ( VBP are ) ( VP ( VBN allowed ) ( S ( VP ( TO to ) ( VP ( VB maintain ) ) ) ) ) ) ) ) ) ) ) ) )

But such tactics were alien to Switzerland in 1976 and still are n't common because of share restrictions that companies are allowed to maintain


( S ( ADVP-TMP ( RB Eventually ) ) ( NP-SBJ-1 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD was ) ( VP ( VBN forced ) ( S ( VP ( TO to ) ( VP ( VB sell ) ( NP ( PRP$ his ) ( NNP Bally ) ( NNS shares ) ) ( PP-DTV ( TO to ) ( NP ( DT the ) ( NNS weapons ) ( NN maker ) ( NNP Oerlikon-Buehrle ) ( NNP Holding ) ( NNP AG ) ) ) ) ) ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ ( NP ( NN establishment ) ( NN pressure ) ) ) ( VP ( VBD grew ) ( PP-2 ( IN on ) ( NP ( NP ( DT this ) ( JJ hostile ) ( NN move ) ) ( PP ( IN into ) ( NP ( NP ( DT the ) ( JJ Swiss ) ( JJ old ) ( NNS boys ) ( POS ' ) ) ( NN network ) ) ) ) ) ) ) ) ) ) )

Eventually Mr. Rey was forced to sell his Bally shares to the weapons maker Oerlikon-Buehrle Holding AG as establishment pressure grew on this hostile move into the Swiss old boys ' network


( S ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD made ) ( NP ( QP ( CD 50 ) ( CD million ) ) ( JJ Swiss ) ( NNS francs ) ) ( PP ( IN on ) ( NP ( DT the ) ( NN sale ) ) ) ) )

Mr. Rey made 50 million Swiss francs on the sale


( S ( S-TPC-1 ( NP-SBJ ( NNP Bally ) ) ( VP ( VBD was ) ( RB not ) ( NP-PRD ( DT an ) ( JJ unfriendly ) ( NN takeover ) ) ) ) ( NP-SBJ ( PRP he ) ) ( VP ( VBZ insists ) ) )

Bally was not an unfriendly takeover he insists


( S ( S-TPC-1 ( S-NOM-SBJ ( VP ( VBG Buying ) ( PP-CLR ( IN from ) ( NP ( JJ willing ) ( NNS shareholders ) ) ) ) ) ( VP ( VBZ makes ) ( S ( NP-SBJ ( DT an ) ( JJ unfriendly ) ( NN takeover ) ) ( ADJP-PRD ( JJ impossible ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ contends ) ) )

Buying from willing shareholders makes an unfriendly takeover impossible Mr. Rey contends


( S ( NP-SBJ ( PRP I ) ) ( VP ( VBD bought ) ( PP-CLR ( IN from ) ( NP ( JJ willing ) ( NNS shareholders ) ) ) ) )

I bought from willing shareholders


( S ( ADVP ( RB Nevertheless ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ has ) ( VP ( VBN been ) ( ADJP-PRD ( RB very ) ( JJ careful ) ( PP-TMP ( IN since ) ( NP ( RB then ) ) ) ( S ( VP ( TO to ) ( VP ( VB make ) ( ADJP ( JJ sure ) ( SBAR ( S ( NP-SBJ ( PRP$ his ) ( NNS moves ) ) ( VP ( VBP are ) ( ADJP-PRD ( JJ welcome ) ) ) ) ) ) ) ) ) ) ) ) )

Nevertheless Mr. Rey has been very careful since then to make sure his moves are welcome


( S ( CC And ) ( NP-SBJ-1 ( PRP he ) ) ( VP ( VBZ has ) ( VP ( VBN worked ) ( S-PRP ( VP ( TO to ) ( VP ( VB shed ) ( NP ( PRP$ his ) ( NN raider ) ( NN image ) ) ) ) ) ) ) )

And he has worked to shed his raider image


( S ( PP-TMP ( IN In ) ( NP ( CD 1979 ) ) ) ( NP-SBJ ( NP ( PRP$ his ) ( NN career ) ) ( PP ( IN as ) ( NP ( DT an ) ( NN industrialist ) ) ) ) ( VP ( VBD began ) ( PP-CLR ( IN with ) ( NP ( NP ( DT the ) ( NN acquisition ) ) ( PP ( IN of ) ( NP ( NP ( DT the ) ( JJ Swiss ) ( NNS metals ) ( NNS works ) ( NNP Selve ) ) ( VP ( VBN based ) ( PP-LOC-CLR ( IN in ) ( NP ( NNP Thun ) ) ) ) ) ) ) ) ) )

In 1979 his career as an industrialist began with the acquisition of the Swiss metals works Selve based in Thun


( S ( SBAR-ADV ( IN With ) ( S ( NP-SBJ-1 ( DT the ) ( JJ nonferrous ) ( NNS metals ) ( NN business ) ) ( VP ( VBN undermined ) ( PP-LOC ( IN in ) ( NP ( NNP Switzerland ) ) ) ( PP ( IN by ) ( NP-LGS ( NP ( JJ tough ) ( JJ foreign ) ( NN competition ) ) ( CC and ) ( NP ( JJ high ) ( JJ domestic ) ( NNS costs ) ) ) ) ) ) ) ( NP-SBJ ( DT this ) ) ( VP ( VBD looked ) ( PP-CLR ( IN like ) ( NP ( DT a ) ( JJ dull ) ( NN undertaking ) ) ) ) )

With the nonferrous metals business undermined in Switzerland by tough foreign competition and high domestic costs this looked like a dull undertaking


( S ( S ( CC But ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD brought ) ( PRT ( RP about ) ) ( NP ( NP ( DT a ) ( NN merger ) ) ( PP-TMP ( IN in ) ( NP ( DT the ) ( JJ next ) ( JJ few ) ( NNS years ) ) ) ( PP ( IN between ) ( NP ( NP ( DT the ) ( NN country ) ( POS 's ) ) ( JJ major ) ( NNS producers ) ) ) ) ) ) ( S ( NP-SBJ ( DT the ) ( VBN increased ) ( NN efficiency ) ) ( VP ( VBZ has ) ( VP ( VBN perked ) ( PRT ( RP up ) ) ( NP ( DT the ) ( NN industry ) ) ) ) ) )

But Mr. Rey brought about a merger in the next few years between the country 's major producers the increased efficiency has perked up the industry


( S ( ADVP-TMP ( NP ( CD Three ) ( NNS years ) ) ( RB later ) ) ( NP-SBJ-1 ( NN machinery ) ( NN producer ) ( NNP Ateliers ) ( NNP de ) ( NNP Constructions ) ( NNP Mecaniques ) ( NNP de ) ( NNP Vevey ) ( NNP S.A. ) ) ( VP ( VBD was ) ( S ( VP ( TO to ) ( VP ( VB become ) ( NP-PRD ( NP ( NN part ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP Rey ) ( NN empire ) ) ) ) ) ) ) ) )

Three years later machinery producer Ateliers de Constructions Mecaniques de Vevey S.A. was to become part of the Rey empire


( S ( ADVP-TMP ( RB Once ) ( RB again ) ) ( NP-SBJ ( NP ( DT the ) ( NN company ) ( POS 's ) ) ( NN future ) ) ( VP ( VBD looked ) ( ADJP-PRD ( ADJP ( JJR less ) ) ( PP ( IN than ) ( ADJP ( JJ rosy ) ) ) ) ) )

Once again the company 's future looked less than rosy


( S ( CC But ) ( PP-TMP ( IN after ) ( NP ( NP ( VBG restructuring ) ) ( PP-LOC ( IN under ) ( NP ( JJ new ) ( NN management ) ) ) ) ) ( NP-SBJ ( DT the ) ( NNS profits ) ) ( VP ( VBD began ) ( VP ( VBG rolling ) ( ADVP-DIR ( IN in ) ) ) ) )

But after restructuring under new management the profits began rolling in


( S ( NP-SBJ ( NP ( DT A ) ( JJ major ) ( NN boost ) ) ( PP ( TO to ) ( NP ( NP ( NP ( NNP Mr. ) ( NNP Rey ) ( POS 's ) ) ( NN respectability ) ) ( PP-LOC ( IN among ) ( NP ( DT the ) ( NNPS Swiss ) ) ) ) ) ) ( VP ( VBD came ) ( PP-TMP ( IN in ) ( NP ( CD 1986 ) ) ) ( SBAR-TMP ( WHADVP-1 ( WRB when ) ) ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD sold ) ( NP ( NP ( CD 60 ) ( NN % ) ) ( PP ( IN of ) ( NP ( PRP$ his ) ( NNP Phibro ) ( NNP Bank ) ) ) ) ( PP-CLR ( TO to ) ( NP ( DT the ) ( JJ conservative ) ( JJ Swiss ) ( JJ cantonal ) ( NNS banks ) ) ) ) ) ) ) )

A major boost to Mr. Rey 's respectability among the Swiss came in 1986 when he sold 60 % of his Phibro Bank to the conservative Swiss cantonal banks


( S ( NP-SBJ-1 ( PRP They ) ) ( VP ( VP ( VBD renamed ) ( S ( NP-SBJ ( PRP it ) ) ( NP-PRD ( NNP Swiss ) ( NNP Cantobank ) ) ) ) ( CC and ) ( VP ( VBP are ) ( VP ( VBG using ) ( NP ( PRP it ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB expand ) ( ADVP-LOC ( RB abroad ) ) ) ) ) ) ) ) )

They renamed it Swiss Cantobank and are using it to expand abroad


( S ( PP-TMP ( IN In ) ( NP ( CD 1987 ) ) ) ( NP-SBJ-1 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBD bested ) ( NP ( VBG leading ) ( VBG publishing ) ( NNS houses ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB take ) ( PRT ( RP over ) ) ( NP ( NP ( NP ( NNP Switzerland ) ( POS 's ) ) ( NNP Jean ) ( NNP Frey ) ( NNP AG ) ) ( NP ( NP ( DT a ) ( JJ major ) ( NN producer ) ) ( PP ( IN of ) ( NP ( NNS magazines ) ( CC and ) ( NNS newspapers ) ) ) ) ) ) ) ) ) )

In 1987 Mr. Rey bested leading publishing houses to take over Switzerland 's Jean Frey AG a major producer of magazines and newspapers


( S ( CC And ) ( PP ( IN with ) ( NP ( NP ( DT the ) ( JJ recent ) ( NN acquisition ) ) ( PP ( IN of ) ( NP ( NP ( CD 30 ) ( NN % ) ) ( PP ( IN of ) ( NP ( JJ Winterthur-based ) ( NN machinery ) ( NN manufacturer ) ( NNP Gebrueder ) ( NNP Sulzer ) ( NNP AG ) ) ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ has ) ( VP ( VBN enjoyed ) ( NP ( NP ( DT the ) ( NN status ) ) ( PP ( IN of ) ( NP ( JJ white ) ( NN knight ) ) ) ) ) ) )

And with the recent acquisition of 30 % of Winterthur-based machinery manufacturer Gebrueder Sulzer AG Mr. Rey has enjoyed the status of white knight


( S ( NP-SBJ ( NNP Sulzer ) ) ( VP ( VBD preferred ) ( NP ( PRP him ) ) ( PP-CLR ( TO to ) ( NP ( NP ( NN financier ) ( NNP Tito ) ( NNP Tettamanti ) ) ( SBAR ( WHNP-1 ( WHNP ( WP$ whose ) ( JJ secretive ) ( NN raid ) ) ( PP ( IN on ) ( NP ( NP ( DT the ) ( NN company ) ( POS 's ) ) ( NN stock ) ) ) ) ( S ( VP ( VBD had ) ( VP ( VBN led ) ( PP-CLR ( TO to ) ( NP ( DT a ) ( JJ bitter ) ( NN battle ) ) ) ) ) ) ) ) ) ) )

Sulzer preferred him to financier Tito Tettamanti whose secretive raid on the company 's stock had led to a bitter battle


( S ( ADVP-TMP ( RB Meanwhile ) ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ ( JJ such ) ( JJ strategic ) ( NNS investments ) ) ( VP ( VBP have ) ( VP ( VBN mounted ) ) ) ) ) ( NP-SBJ ( NP ( DT the ) ( JJ merchant-banking ) ( NN arm ) ) ( PP ( IN of ) ( NP ( NP ( NNP Mr. ) ( NNP Rey ) ( POS 's ) ) ( NNP Omni ) ( NNP Holding ) ) ) ) ( VP ( VBZ has ) ( VP ( VBN been ) ( VP ( ADVP-MNR ( RB busily ) ) ( VBG buying ) ( CC and ) ( VBG selling ) ( NP ( NP ( NNS dozens ) ) ( PP ( IN of ) ( NP ( NNS companies ) ) ) ) ( PP-TMP ( ADVP ( RB often ) ) ( IN after ) ( NP ( DT a ) ( JJ financial ) ( CC or ) ( JJ corporate ) ( NN restructuring ) ) ) ) ) ) )

Meanwhile as such strategic investments have mounted the merchant-banking arm of Mr. Rey 's Omni Holding has been busily buying and selling dozens of companies often after a financial or corporate restructuring


( S ( NP-TMP ( NN Today ) ) ( NP-SBJ ( NP ( DT this ) ( NN branch ) ) ( PP ( IN of ) ( NP ( NP ( NNP Mr. ) ( NNP Rey ) ( POS 's ) ) ( NN empire ) ) ) ) ( VP ( VP ( VBZ runs ) ( PP-LOC ( IN under ) ( NP ( DT the ) ( NN name ) ( NNP Omnicorp ) ( NNP Offering ) ( NNPS Services ) ) ) ) ( CC and ) ( VP ( VBZ handles ) ( NP ( NP ( NNS mergers ) ( CC and ) ( NNS acquisitions ) ) ( NP ( NP ( NN placement ) ) ( PP ( IN of ) ( NP ( NNS securities ) ) ) ) ( CC and ) ( NP ( JJ real ) ( NN estate ) ) ) ) ) )

Today this branch of Mr. Rey 's empire runs under the name Omnicorp Offering Services and handles mergers and acquisitions placement of securities and real estate


( SINV ( PP-TPC-2 ( IN In ) ( NP ( PRP$ its ) ( NN portfolio ) ) ) ( VP ( VBP are ) ) ( NP-SBJ ( NP ( JJ such ) ( JJ diverse ) ( NNS companies ) ) ( PP ( IN as ) ( NP ( NP ( ADJP ( JJ United ) ( JJ Kingdom-based ) ) ( NNP Air ) ( NNP Europe ) ) ( NP ( NP ( NNP Checkrobot ) ( NNP Inc. ) ) ( NP ( NP ( DT a ) ( NNP U.S. ) ( NN company ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBZ makes ) ( NP ( NN supermarket ) ( NN checkout ) ( NNS machines ) ) ) ) ) ) ) ( NP ( NP ( NNP Norment ) ( NNPS Industries ) ) ( NP ( NP ( DT a ) ( NNP U.S. ) ( NN manufacturer ) ) ( PP ( IN of ) ( NP ( NNS securities ) ( NNS systems ) ) ) ) ) ( NP ( NP ( NNP Com ) ( NNPS Systems ) ( NNP Inc. ) ) ( NP ( DT a ) ( NNP U.S. ) ( JJ regional ) ( NN telephone ) ( NN company ) ) ) ( CC and ) ( NP ( NP ( JJ major ) ( NN real-estate ) ( NNS projects ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NNP U.S. ) ) ( CC and ) ( NP ( NNP Europe ) ) ) ) ) ) ) ) )

In its portfolio are such diverse companies as United Kingdom-based Air Europe Checkrobot Inc. a U.S. company that makes supermarket checkout machines Norment Industries a U.S. manufacturer of securities systems Com Systems Inc. a U.S. regional telephone company and major real-estate projects in the U.S. and Europe


( S ( PP ( IN For ) ( NP-1 ( JJ financial ) ( NNS analysts ) ) ) ( S-NOM-SBJ ( VP ( VBG reading ) ( NP ( NP ( NNP Omni ) ( POS 's ) ) ( NNS accounts ) ) ) ) ( VP ( VBZ is ) ( NP-PRD ( DT a ) ( JJ tough ) ( NN challenge ) ) ) )

For financial analysts reading Omni 's accounts is a tough challenge


( SINV ( S-TPC-1 ( NP-SBJ ( NNS Companies ) ) ( VP ( VBP move ) ( ADVP-DIR ( IN in ) ( CC and ) ( IN out ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( NP ( NNP Helga ) ( NNP Kern ) ) ( PP ( IN of ) ( NP ( NNP KK ) ( NNP Swiss ) ( NNP Investment ) ) ) ) )

Companies move in and out says Helga Kern of KK Swiss Investment


( S ( NP-SBJ ( JJ Financial ) ( NNS analysts ) ) ( VP ( VBP note ) ( SBAR ( IN that ) ( S ( NP-SBJ-1 ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ is ) ( VP ( VBN attracted ) ( PP-CLR ( TO to ) ( NP ( NP ( NNS companies ) ) ( SBAR ( WHNP-3 ( WDT that ) ) ( S ( VP ( VBP are ) ( VP ( VBN undervalued ) ( PP-PRP ( IN on ) ( NP ( NP ( DT the ) ( NN basis ) ) ( PP ( IN of ) ( NP ( PRP$ their ) ( NN real-estate ) ( NNS interests ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Financial analysts note that Mr. Rey is attracted to companies that are undervalued on the basis of their real-estate interests


( S ( PP-TMP ( IN In ) ( NP ( NNP August ) ) ) ( NP-SBJ ( NNP Omni ) ) ( VP ( ADVP-MNR ( RB unexpectedly ) ) ( VBD bought ) ( NP ( NP ( NP ( NNP Inspectorate ) ( POS 's ) ) ( CD 80 ) ( NN % ) ( NN stake ) ) ( PP ( IN in ) ( NP ( NP ( NP ( NNP Harpener ) ( NNP AG ) ) ( PP ( IN of ) ( NP ( NNP West ) ( NNP Germany ) ) ) ) ( NP ( DT a ) ( JJ land-rich ) ( NN company ) ) ) ) ) ) )

In August Omni unexpectedly bought Inspectorate 's 80 % stake in Harpener AG of West Germany a land-rich company


( S ( S ( NP-SBJ ( NP ( DT The ) ( JJ internal ) ( NN transaction ) ) ( PP-LOC ( IN within ) ( NP ( DT the ) ( NNP Rey ) ( NN empire ) ) ) ) ( VP ( VBD puzzled ) ( NP ( NP ( NNP Harpener ) ( POS 's ) ) ( JJ small ) ( NNS shareholders ) ) ) ) ( CC but ) ( S ( NP-SBJ ( NNS analysts ) ) ( VP ( VBP say ) ( SBAR ( S ( NP-SBJ ( NP ( PRP it ) ) ) ( VP ( VBZ makes ) ( NP ( NN sense ) ) ( SBAR-1 ( IN for ) ( S ( NP-SBJ ( NNP Inspectorate-Adia ) ) ( VP ( TO to ) ( VP ( VB focus ) ( PP-CLR ( IN on ) ( NP ( NP ( PRP$ its ) ( JJ main ) ( NNS businesses ) ) ( PP ( IN of ) ( NP ( NP ( NN product ) ( NN inspection ) ) ( CC and ) ( NP ( JJ temporary ) ( NN help ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

The internal transaction within the Rey empire puzzled Harpener 's small shareholders but analysts say it makes sense for Inspectorate-Adia to focus on its main businesses of product inspection and temporary help


( S ( NP-SBJ ( NNP Mr. ) ( NNP Rey ) ) ( VP ( VBZ says ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NN move ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( ADJP ( RB yet ) ( DT another ) ) ( NN example ) ) ( PP ( IN of ) ( NP ( PRP$ his ) ( NN conservatism ) ) ) ) ) ) ) ) )

Mr. Rey says the move is yet another example of his conservatism


( S ( NP-SBJ ( PRP He ) ) ( VP ( VBZ explains ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( NNS companies ) ) ( PP ( IN with ) ( NP ( JJ real ) ( NN estate ) ) ) ) ( VP ( VBP give ) ( NP ( NN security ) ) ) ) ) ) )

He explains that companies with real estate give security


( S-2 ( NP-SBJ-1 ( DT The ) ( JJ real ) ( NN estate ) ) ( VP ( MD can ) ( VP ( VB be ) ( VP ( VBN used ) ( PRN ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBZ points ) ( PRT ( RP out ) ) ) ) ) ( PP-CLR ( IN as ) ( NP ( NP ( NNS guarantees ) ) ( PP ( IN for ) ( NP ( NP ( NN bank ) ( NNS loans ) ) ( PP ( IN for ) ( NP ( JJ corporate ) ( NN development ) ) ) ) ) ) ) ) ) ) )

The real estate can be used he points out as guarantees for bank loans for corporate development


( S ( NP-SBJ ( PRP He ) ) ( VP ( VBZ says ) ( SBAR ( S ( NP-SBJ-1 ( PRP he ) ) ( VP ( VBZ wants ) ( S ( VP ( TO to ) ( VP ( VB influence ) ( CC but ) ( RB not ) ( VB manage ) ( NP ( NNS companies ) ) ) ) ) ) ) ) ) )

He says he wants to influence but not manage companies


( S ( NP-SBJ-1 ( PRP I ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB want ) ( S ( VP ( TO to ) ( VP ( VB be ) ( PP-PRD ( IN like ) ( NP ( NP ( NN financier ) ( NNP Alan ) ( NNP Bond ) ) ( CC and ) ( NP ( DT the ) ( JJ other ) ( NNPS Australians ) ) ) ) ) ) ) ) ) )

I do n't want to be like financier Alan Bond and the other Australians


( S ( NP-SBJ ( PRP I ) ) ( VP ( VBP do ) ( RB n't ) ( VP ( VB want ) ( S ( NP-SBJ-1 ( NNS companies ) ) ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN built ) ( PP-CLR ( IN around ) ( NP ( NP ( PRP me ) ) ( PP ( IN as ) ( NP ( DT a ) ( NN person ) ) ) ) ) ) ) ) ) ) ) )

I do n't want companies to be built around me as a person


( S ( NP-SBJ ( PRP I ) ) ( VP ( VBP want ) ( S ( NP-SBJ ( PRP them ) ) ( VP ( TO to ) ( VP ( VB stand ) ( ADVP-MNR ( RB alone ) ) ) ) ) ) )

I want them to stand alone


( S ( S ( NP-SBJ ( NP ( DT The ) ( NN rationale ) ) ( PP ( IN for ) ( S-NOM ( VP ( VBG responding ) ( PP-CLR ( TO to ) ( NP ( NP ( PRP$ your ) ( NNS customers ) ( POS ' ) ) ( NNS needs ) ) ) ( ADVP-MNR ( ADVP ( RBR faster ) ) ( SBAR ( IN than ) ( S ( NP-SBJ ( DT the ) ( NN competition ) ) ( VP ( MD can ) ) ) ) ) ) ) ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ clear ) ) ) ) ( S ( NP-SBJ ( PRP$ Your ) ( NN company ) ) ( VP ( MD will ) ( VP ( VB benefit ) ( PP ( IN in ) ( NP ( NP ( NNS terms ) ) ( PP ( IN of ) ( NP ( NP ( NN market ) ( NN share ) ) ( NP ( NN customer ) ( NN satisfaction ) ) ( CC and ) ( NP ( NN profitability ) ) ) ) ) ) ) ) ) )

The rationale for responding to your customers ' needs faster than the competition can is clear Your company will benefit in terms of market share customer satisfaction and profitability


( S ( PP ( IN In ) ( NP ( NN fact ) ) ) ( NP-SBJ ( NNS managers ) ) ( NP-TMP ( NN today ) ) ( VP ( VBP are ) ( ADJP-PRD ( ADVP ( RB probably ) ( RBR more ) ( JJ aware ) ( PP ( IN of ) ( NP ( NP ( NN speed ) ) ( PP ( IN as ) ( NP ( DT a ) ( JJ competitive ) ( NN variable ) ) ) ) ) ) ( SBAR ( IN than ) ( FRAG ( ADVP-TMP ( RB ever ) ) ( PP-TMP ( IN before ) ) ) ) ) ) )

In fact managers today are probably more aware of speed as a competitive variable than ever before


( S ( ADVP ( RB However ) ) ( PP ( IN for ) ( NP ( JJ many ) ) ) ( S-NOM-SBJ ( VP ( VBG managing ) ( NP ( NN speed ) ) ) ) ( VP ( VBZ does ) ( RB not ) ( VP ( VBN come ) ( ADVP-MNR ( RB naturally ) ) ) ) )

However for many managing speed does not come naturally


( S ( S-TPC-3 ( NP-SBJ-2 ( NP ( JJS Most ) ) ( PP ( IN of ) ( NP ( PRP us ) ) ) ) ( VP ( VBD grew ) ( PRT ( RP up ) ) ( S-ADV ( VP ( VBG believing ) ( PP-CLR ( IN in ) ( NP ( NP ( DT the ) ( NNS axioms ) ) ( NP ( S ( NP-SBJ ( NN Haste ) ) ( VP ( VBZ makes ) ( NP ( NN waste ) ) ) ) ( CC and ) ( S ( VP ( VBP Do ) ( RB n't ) ( VP ( VB cut ) ( NP ( NNS corners ) ) ) ) ) ) ( NP ( NP ( NNS ideas ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBP seem ) ( S ( VP ( TO to ) ( VP ( VB run ) ( ADVP-CLR ( RB counter ) ( PP ( TO to ) ( NP ( NP ( DT the ) ( NN concept ) ) ( PP ( IN of ) ( S-NOM ( VP ( VBG managing ) ( NP ( NN speed ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( NP ( NNP Dean ) ( NNP Cassell ) ) ( NP ( NP ( NN vice ) ( NN president ) ) ( PP ( IN for ) ( NP ( NN product ) ( NN integrity ) ) ) ( PP-LOC ( IN at ) ( NP ( NNP Grumman ) ( NNP Corp ) ) ) ) ) )

Most of us grew up believing in the axioms Haste makes waste and Do n't cut corners ideas that seem to run counter to the concept of managing speed says Dean Cassell vice president for product integrity at Grumman Corp


( S ( CC But ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( JJ real ) ( NN world ) ) ) ( NP-SBJ ( PRP you ) ) ( VP ( VBP learn ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NN speed ) ( CC and ) ( NN quality ) ) ( VP ( VBP are ) ( RB not ) ( NP-PRD ( DT a ) ( NN trade-off ) ) ) ) ) ) )

But in the real world you learn that speed and quality are not a trade-off


( S ( NP-SBJ ( NN Speed ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( NP ( DT a ) ( NN component ) ) ( PP ( IN of ) ( NP ( NN quality ) ) ) ) ( NP ( NP ( CD one ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNS things ) ) ) ( SBAR ( S ( NP-SBJ-2 ( PRP we ) ) ( VP ( MD must ) ( VP ( VB deliver ) ( S-PRP ( VP ( TO to ) ( VP ( VB satisfy ) ( NP ( NNS customers ) ) ) ) ) ) ) ) ) ) ) ) )

Speed is a component of quality one of the things we must deliver to satisfy customers


( S ( NP-SBJ ( NP ( NNS Companies ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( ADVP ( RB actually ) ) ( VP ( VBP market ) ( NP ( NN speed ) ) ( PP-CLR ( IN as ) ( NP ( NP ( NN part ) ) ( PP ( IN of ) ( NP ( PRP$ their ) ( NN service ) ) ) ) ) ) ) ) ) ( VP ( VBP train ) ( S ( NP-SBJ ( PRP$ their ) ( NNS managers ) ) ( VP ( TO to ) ( VP ( VP ( VB lead ) ) ( CC and ) ( VP ( VB participate ) ( PP-CLR ( IN in ) ) ) ( NP-1 ( NP ( NNS teams ) ) ( SBAR ( WHNP-3 ( WDT that ) ) ( S ( VP ( VP ( VBP increase ) ( NP ( NN speed ) ) ) ( CC and ) ( VP ( VBP improve ) ( NP ( NN quality ) ) ) ( PP-LOC ( IN in ) ( NP ( JJ everyday ) ( NNS operations ) ) ) ) ) ) ) ) ) ) ) )

Companies that actually market speed as part of their service train their managers to lead and participate in teams that increase speed and improve quality in everyday operations


( S ( NP-SBJ-1 ( NNS Managers ) ) ( VP ( VBP learn ) ( S ( VP ( TO to ) ( VP ( VP ( VB spot ) ( NP ( NNS opportunities ) ( S ( VP ( TO to ) ( VP ( VB increase ) ( NP ( NN customer ) ( NN satisfaction ) ) ( PP-MNR ( IN through ) ( NP ( NN speed ) ) ) ) ) ) ) ) ( CC and ) ( VP ( VB shift ) ( NP ( NP ( DT some ) ( NN responsibility ) ) ( PP ( IN for ) ( S-NOM ( VP ( VBG analyzing ) ( VBG improving ) ( CC and ) ( VBG streamlining ) ( NP ( NN work ) ( NNS processes ) ) ) ) ) ) ( PP-CLR ( IN from ) ( NP ( PRP themselves ) ) ) ( PP-CLR ( TO to ) ( NP ( NP ( NNS teams ) ) ( PP ( IN of ) ( NP ( NNS employees ) ) ) ) ) ) ) ) ) ) )

Managers learn to spot opportunities to increase customer satisfaction through speed and shift some responsibility for analyzing improving and streamlining work processes from themselves to teams of employees


( S ( NP-SBJ ( NP ( CD One ) ( NN team ) ) ( PP-LOC ( IN at ) ( NP ( NP ( DT the ) ( NNP Federal ) ( NNP Express ) ( NNP Ground ) ( NNPS Operations ) ( NN station ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNP Natick ) ) ( NP ( NNP Mass. ) ) ) ) ) ) ) ( VP ( VBD focused ) ( PP-CLR ( IN on ) ( NP ( NP ( DT a ) ( ADJP ( RB particularly ) ( JJ time-sensitive ) ) ( NN operation ) ) ( NP ( DT the ) ( NN morning ) ( NN package ) ( NN sort ) ) ) ) ) )

One team at the Federal Express Ground Operations station in Natick Mass. focused on a particularly time-sensitive operation the morning package sort


( S ( NP-TMP ( DT Every ) ( NN morning ) ) ( NP-SBJ-1 ( NN tractor-trailer ) ( NNS trucks ) ) ( VP ( VBP arrive ) ( PP-LOC-CLR ( IN at ) ( NP ( DT the ) ( NNP Natick ) ( NNP Ground ) ( NNP Station ) ) ) ( PP-DIR ( IN from ) ( NP ( NP ( NNP Boston ) ( POS 's ) ) ( NNP Logan ) ( NNP Airport ) ) ) ( S-ADV ( VP ( VBG carrying ) ( NP ( NP ( DT the ) ( NN day ) ( POS 's ) ) ( NN package ) ( NN load ) ) ) ) ) )

Every morning tractor-trailer trucks arrive at the Natick Ground Station from Boston 's Logan Airport carrying the day 's package load


( S ( PP-TMP ( IN In ) ( NP ( NN peak ) ( NNS periods ) ) ) ( NP-SBJ ( DT that ) ( NN load ) ) ( VP ( MD may ) ( VP ( VB include ) ( NP ( CD 4,000 ) ( NNS pieces ) ) ) ) )

In peak periods that load may include 4,000 pieces


( S ( NP-SBJ-1 ( DT The ) ( NNS packages ) ) ( VP ( MD must ) ( VP ( VB be ) ( VP ( VP ( VBN sorted ) ( ADVP-MNR ( RB quickly ) ) ) ( CC and ) ( VP ( VBN distributed ) ( PP-CLR ( TO to ) ( NP ( JJR smaller ) ( NNS vans ) ) ) ( PP ( IN for ) ( NP ( NN delivery ) ) ) ) ( SBAR-PRP ( IN so ) ( S ( NP-SBJ ( NNS couriers ) ) ( VP ( MD can ) ( VP ( VB be ) ( PP-LOC-PRD ( IN on ) ( NP ( DT the ) ( NN road ) ) ) ( PP-TMP ( IN by ) ( NP ( CD 8:35 ) ) ) ) ) ) ) ) ) ) )

The packages must be sorted quickly and distributed to smaller vans for delivery so couriers can be on the road by 8:35


( S ( S ( NP-SBJ ( DT No ) ( NN customer ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ present ) ) ( PP-LOC ( IN at ) ( NP ( DT the ) ( NN morning ) ( NN package ) ( NN sort ) ) ) ) ) ( CC but ) ( S ( NP-SBJ ( DT the ) ( NN process ) ) ( VP ( VBZ is ) ( ADVP ( RB nevertheless ) ) ( ADJP-PRD ( JJ critical ) ( PP ( TO to ) ( NP ( NN customer ) ( NN satisfaction ) ) ) ) ) ) )

No customer is present at the morning package sort but the process is nevertheless critical to customer satisfaction


( SINV ( S-TPC-3 ( NP-SBJ-2 ( PRP We ) ) ( VP ( VBP 're ) ( VP ( VBN committed ) ( S ( VP ( TO to ) ( VP ( VB deliver ) ( NP ( NP ( DT the ) ( NN customer ) ( POS 's ) ) ( NN package ) ) ( PP-TMP ( IN by ) ( NP ( NP ( DT a ) ( VBN stated ) ( NN time ) ) ( NP ( ADVP ( RB usually ) ) ( CD 10:30 ) ) ) ) ) ) ) ) ) ) ( VP ( VBZ notes ) ) ( NP-SBJ ( NP ( NNP Glenn ) ( NNP Mortimer ) ) ( NP ( NP ( DT a ) ( NNP Federal ) ( NNP Express ) ( NN courier ) ) ( SBAR ( WHNP-1 ( WP who ) ) ( S ( VP ( VBD led ) ( NP ( DT the ) ( NNP Natick ) ( NN team ) ) ) ) ) ) ) )

We 're committed to deliver the customer 's package by a stated time usually 10:30 notes Glenn Mortimer a Federal Express courier who led the Natick team


( S ( SBAR-ADV ( X ( DT The ) ( RB sooner ) ) ( S ( NP-SBJ ( PRP$ our ) ( NNS vans ) ) ( VP ( VBP hit ) ( NP ( DT the ) ( NN road ) ) ( NP-TMP ( DT each ) ( NN morning ) ) ) ) ) ( X ( DT the ) ( JJR easier ) ) ( NP-SBJ ( NP ( PRP it ) ) ) ( VP ( VBZ is ) ( SBAR-1 ( IN for ) ( S ( NP-SBJ ( PRP us ) ) ( VP ( TO to ) ( VP ( VB fulfill ) ( NP ( DT that ) ( NN obligation ) ) ) ) ) ) ) )

The sooner our vans hit the road each morning the easier it is for us to fulfill that obligation


( S ( S-ADV ( VP ( VBG Following ) ( NP ( NP ( DT a ) ( JJ problem-solving ) ( NN formula ) ) ( VP ( VBN used ) ( PP ( IN by ) ( NP-LGS ( NP ( NNS teams ) ) ( PP-LOC ( IN throughout ) ( NP ( NNP Federal ) ( NNP Express ) ) ) ) ) ) ) ) ) ( NP-SBJ-2 ( NP ( NNS members ) ) ( PP ( IN of ) ( NP ( DT the ) ( NNP Natick ) ( NN team ) ) ) ) ( VP ( VBD monitored ) ( NP ( PRP$ their ) ( NN morning ) ( NN routine ) ) ( S-ADV ( VP ( ADVP-MNR ( RB carefully ) ) ( VBG noting ) ( SBAR ( SBAR ( WHADVP-3 ( WRB where ) ( CC and ) ( WRB when ) ) ( S ( NP-SBJ-1 ( NP ( DT the ) ( NN work ) ( NN group ) ( POS 's ) ) ( NNS resources ) ) ( VP ( VBD were ) ( VP ( VBN used ) ( ADVP-MNR ( RB effectively ) ) ) ) ) ) ( CC and ) ( SBAR ( WHADVP-5 ( WRB where ) ) ( S ( NP-SBJ-4 ( PRP they ) ) ( VP ( VBD were ) ( ADJP-PRD ( JJ idle ) ) ( S-ADV ( VP ( VBG waiting ) ( SBAR-CLR ( IN for ) ( S ( NP-SBJ ( NP ( NNS others ) ) ( ADVP-LOC ( RB upstream ) ( PP ( IN in ) ( NP ( DT the ) ( NN process ) ) ) ) ) ( VP ( TO to ) ( VP ( VB send ) ( NP ( NNS packages ) ) ( NP-ADV ( PRP$ their ) ( NN way ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Following a problem-solving formula used by teams throughout Federal Express members of the Natick team monitored their morning routine carefully noting where and when the work group 's resources were used effectively and where they were idle waiting for others upstream in the process to send packages their way


( S ( NP-SBJ ( PRP We ) ) ( VP ( VBD suspected ) ( SBAR ( S ( NP-SBJ ( EX there ) ) ( VP ( VBD was ) ( NP-PRD ( NP ( NN downtime ) ) ( VP ( VBN built ) ( PP-CLR ( IN into ) ( NP ( PRP$ our ) ( NN process ) ) ) ) ) ) ) ) ) )

We suspected there was downtime built into our process


( S ( CC But ) ( S-TPC-2 ( NP-SBJ ( PRP we ) ) ( VP ( VBD did ) ( RB n't ) ( VP ( VB know ) ( SBAR ( WHADVP-1 ( ADVP ( RB just ) ) ( WRB where ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD was ) ) ) ) ( SBAR-TMP ( IN until ) ( S ( NP-SBJ ( PRP we ) ) ( VP ( VBD completed ) ( NP ( PRP$ our ) ( NNS data ) ( NN gathering ) ) ) ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Mortimer ) ) ( VP ( VBZ says ) ) )

But we did n't know just where it was until we completed our data gathering Mr. Mortimer says


( S ( NP-SBJ-1 ( PRP We ) ) ( VP ( VBD used ) ( NP ( DT the ) ( NNS data ) ) ( S-CLR ( VP ( TO to ) ( VP ( VP ( VB redesign ) ( NP ( PRP$ our ) ( VBG sorting ) ( NN system ) ) ) ( CC and ) ( VP ( VB put ) ( NP ( PRP$ our ) ( NNS resources ) ) ( SBAR-PUT ( WHADVP-2 ( WRB where ) ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( MD could ) ( VP ( VB do ) ( NP ( DT the ) ( RBS most ) ( JJ good ) ) ) ) ) ) ) ) ) ) ) )

We used the data to redesign our sorting system and put our resources where they could do the most good


( S ( NP-SBJ ( DT The ) ( NN team ) ) ( ADVP ( RB even ) ) ( VP ( VBD created ) ( NP ( NP ( DT a ) ( NNS points ) ( NN system ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB identify ) ( NP ( NP ( DT those ) ( NNS couriers ) ( CC and ) ( NNS subgroups ) ) ( SBAR ( WHNP-1 ( WDT that ) ) ( S ( VP ( VBD were ) ( VP ( VBG doing ) ( NP ( NP ( DT the ) ( JJS most ) ) ( SBAR-PRP ( S ( VP ( TO to ) ( VP ( VB reduce ) ( NP ( JJ package-sort ) ( NN cycle ) ( NN time ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

The team even created a points system to identify those couriers and subgroups that were doing the most to reduce package-sort cycle time


( S ( NP-SBJ ( NP ( NNS Winners ) ) ( PP ( IN of ) ( NP ( DT the ) ( JJ friendly ) ( NN competition ) ) ) ) ( VP ( VBP earn ) ( NP ( NP ( NP ( DT a ) ( NN steak ) ( NN dinner ) ) ) ( ADVP ( IN out ) ) ( PP-1 ( IN with ) ( NP ( PRP$ their ) ( NNS spouses ) ) ) ) ) )

Winners of the friendly competition earn a steak dinner out with their spouses


( SINV ( S-TPC-1 ( NP-SBJ ( NN Monitoring ) ) ( VP ( VBZ shows ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( DT the ) ( NNP Natick ) ( NN team ) ( POS 's ) ) ( JJ new ) ( NN system ) ) ( ADVP ( RB really ) ) ( VP ( VBZ does ) ( VP ( VB reduce ) ( NP ( NP ( NN cycle ) ( NN time ) ) ( PP ( IN for ) ( NP ( DT the ) ( NN morning ) ( NN package ) ( NN sort ) ) ) ) ) ) ) ) ) ) ( VP ( VBZ reports ) ) ( NP-SBJ ( NP ( NNP James ) ( NNP Barksdale ) ) ( NP ( NP ( NN chief ) ( VBG operating ) ( NN officer ) ) ( PP-LOC ( IN at ) ( NP ( NNP Federal ) ( NNP Express ) ) ) ) ) )

Monitoring shows that the Natick team 's new system really does reduce cycle time for the morning package sort reports James Barksdale chief operating officer at Federal Express


( S ( NP-SBJ ( DT The ) ( NNS vans ) ) ( VP ( VBP leave ) ( ADVP-TMP ( ADVP ( NP ( QP ( IN at ) ( JJS least ) ( CD 15 ) ) ( NNS minutes ) ) ( RBR earlier ) ) ( PRN ( PP ( IN on ) ( NP ( NN average ) ) ) ) ( SBAR ( IN than ) ( S ( NP-SBJ-1 ( PRP they ) ) ( VP ( VBD used ) ( S ( VP ( TO to ) ) ) ) ) ) ) ) )

The vans leave at least 15 minutes earlier on average than they used to


( S ( CC And ) ( NP-SBJ ( NN service ) ( NNS levels ) ) ( VP ( VBP have ) ( VP ( VBN increased ) ( PP-CLR ( TO to ) ( NP ( NP ( DT the ) ( NN point ) ) ( SBAR ( WHADVP-1 ( WRB where ) ) ( S ( NP-SBJ ( PRP they ) ) ( VP ( VBP 're ) ( ADVP-MNR ( RB consistently ) ) ( PP-PRD ( IN above ) ( NP ( CD 99 ) ( NN % ) ) ) ) ) ) ) ) ) ) )

And service levels have increased to the point where they 're consistently above 99 %


( S ( NP-SBJ-2 ( NP ( DT A ) ( JJ cross-functional ) ( NN team ) ) ( PP-LOC ( IN at ) ( NP ( NP ( NP ( NNP Union ) ( NNP Carbide ) ( POS 's ) ) ( NAC-LOC ( NNP Tonawanda ) ( NNP N.Y. ) ) ( NN facility ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBZ produces ) ( NP ( NN air-separation ) ( NNS plants ) ) ) ) ) ) ) ) ( VP ( VBD followed ) ( NP ( DT a ) ( JJ similar ) ( NN path ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB reduce ) ( NP ( VBG manufacturing ) ( NN cycle ) ( NN time ) ) ) ) ) ) )

A cross-functional team at Union Carbide 's Tonawanda N.Y. facility which produces air-separation plants followed a similar path to reduce manufacturing cycle time


( SINV ( S-TPC-1 ( NP-SBJ ( DT The ) ( NN team ) ) ( VP ( VBD included ) ( NP ( NP ( NP ( NNS craftsmen ) ) ( PP ( IN from ) ( NP ( DT the ) ( NN shop ) ( NN floor ) ) ) ) ( CONJP ( RB as ) ( RB well ) ( IN as ) ) ( NP ( NN engineering ) ( NN scheduling ) ( CC and ) ( NN purchasing ) ( NNS personnel ) ) ) ) ) ( VP ( VBZ reports ) ) ( NP-SBJ ( NP ( NNP Alan ) ( NNP Westendorf ) ) ( NP ( NP ( NN director ) ) ( PP ( IN of ) ( NP ( NN quality ) ) ) ) ) )

The team included craftsmen from the shop floor as well as engineering scheduling and purchasing personnel reports Alan Westendorf director of quality


( S ( ADVP-TMP ( JJ First ) ) ( NP-SBJ ( PRP they ) ) ( VP ( VBD produced ) ( NP ( NP ( DT a ) ( NN flowchart ) ) ( VP ( VBG detailing ) ( NP ( NP ( DT the ) ( NN process ) ) ( SBAR ( WHPP-1 ( IN by ) ( WHNP ( WDT which ) ) ) ( S ( NP-SBJ-2 ( DT an ) ( NN air-separation ) ( NN plant ) ) ( ADVP ( RB actually ) ) ( VP ( VBZ gets ) ( VP ( VBN built ) ) ) ) ) ) ) ) ) )

First they produced a flowchart detailing the process by which an air-separation plant actually gets built


( S ( RB Then ) ( NP-SBJ ( PRP they ) ) ( VP ( VBD identified ) ( NP ( NP ( NNS snags ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NN process ) ) ) ) ) )

Then they identified snags in the process


( S ( NP-SBJ ( DT The ) ( NNP Tonawanda ) ( NN team ) ) ( VP ( VP ( VBD determined ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( NNS holdups ) ) ( PP ( IN for ) ( NP ( NNS inspections ) ) ) ) ( VP ( VBD were ) ( NP-PRD ( DT the ) ( JJ main ) ( NN problem ) ) ) ) ) ) ( CC and ) ( VP ( VBD identified ) ( SBAR-NOM ( SBAR ( WHNP-1 ( WHNP ( WDT which ) ( NNS kinds ) ) ( PP ( IN of ) ( NP ( NNS delays ) ) ) ) ( S ( VP ( VBN involved ) ( NP ( JJ critical ) ( NNS inspections ) ) ) ) ) ( CC and ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( VP ( VBD were ) ( UCP-PRD ( ADJP ( RBR less ) ( JJ critical ) ) ( CC or ) ( VP ( MD could ) ( VP ( VB be ) ( VP ( VBN handled ) ( PP ( IN by ) ( NP-LGS ( NP ( NNS workers ) ) ( PP-LOC ( ADVP ( RB already ) ) ( IN on ) ( NP ( DT the ) ( NN line ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

The Tonawanda team determined that holdups for inspections were the main problem and identified which kinds of delays involved critical inspections and which were less critical or could be handled by workers already on the line


( S ( NP-SBJ ( DT The ) ( NN team ) ) ( ADVP-TMP ( RB then ) ) ( VP ( VBD proposed ) ( NP ( NP ( NNS modifications ) ) ( PP-LOC ( IN in ) ( NP ( PRP$ their ) ( NN work ) ( NN process ) ) ) ) ( PP-CLR ( TO to ) ( NP ( NN management ) ) ) ) )

The team then proposed modifications in their work process to management


( S ( S-TPC-1 ( NP-SBJ ( DT The ) ( JJ streamlined ) ( NN manufacturing ) ( NN process ) ) ( VP ( VBZ benefits ) ( NP ( PRP$ our ) ( NNS customers ) ) ( PP-MNR ( IN in ) ( NP ( QP ( IN at ) ( JJS least ) ( CD two ) ) ( NNS ways ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Westendorf ) ) ( VP ( VBZ concludes ) ) )

The streamlined manufacturing process benefits our customers in at least two ways Mr. Westendorf concludes


( S ( ADVP-TMP ( JJ First ) ) ( NP-SBJ ( PRP we ) ) ( VP ( VBP have ) ( NP ( NP ( JJR better ) ( NN quality ) ( NN assurance ) ) ( SBAR ( IN than ) ( FRAG ( ADVP-TMP ( RB ever ) ) ) ) ) ( SBAR-PRP ( IN because ) ( S ( NP-SBJ ( NP ( DT the ) ( NNS people ) ) ( VP ( VBG building ) ( NP ( DT the ) ( NN product ) ) ) ) ( VP ( VBP have ) ( VP ( VBN taken ) ( PRT ( RP on ) ) ( NP ( NP ( JJR more ) ( NN responsibility ) ) ( PP ( IN for ) ( NP ( NP ( DT the ) ( NN quality ) ) ( PP ( IN of ) ( NP ( PRP$ their ) ( JJ own ) ( NN work ) ) ) ) ) ) ) ) ) ) ) )

First we have better quality assurance than ever because the people building the product have taken on more responsibility for the quality of their own work


( S ( ADVP-TMP ( JJ Second ) ) ( NP-SBJ ( PRP we ) ) ( VP ( VBD trimmed ) ( NP ( NP ( JJR more ) ) ( PP ( IN than ) ( NP ( DT a ) ( NN month ) ) ) ) ( PP-CLR ( IN off ) ( NP ( NP ( DT the ) ( NN time ) ) ( VP ( VBN required ) ( S-CLR ( VP ( TO to ) ( VP ( VB deliver ) ( NP ( DT a ) ( VBN finished ) ( NN product ) ) ) ) ) ) ) ) ) )

Second we trimmed more than a month off the time required to deliver a finished product


( S ( PP-LOC ( IN At ) ( NP ( NP ( NNP Grumman ) ( POS 's ) ) ( NNP Aircraft ) ( NNPS Systems ) ( NNP Division ) ) ) ( NP-SBJ ( DT a ) ( JJ cross-functional ) ( NN team ) ) ( VP ( VBD reduced ) ( NP ( NP ( DT the ) ( NN cycle ) ( NN time ) ) ( VP ( VBN required ) ( S-CLR ( VP ( TO to ) ( VP ( VB produce ) ( NP ( NP ( DT a ) ( JJ new ) ( NN business ) ( NN proposal ) ) ( PP ( IN for ) ( NP ( DT an ) ( JJ important ) ( NN government ) ( NN contract ) ) ) ) ) ) ) ) ) ) )

At Grumman 's Aircraft Systems Division a cross-functional team reduced the cycle time required to produce a new business proposal for an important government contract


( S ( NP-SBJ-1 ( DT The ) ( NN team ) ) ( VP ( VBD was ) ( VP ( VBN composed ) ( PP-CLR ( IN of ) ( NP ( NP ( NNS representatives ) ) ( PP ( IN from ) ( NP ( NP ( NN engineering ) ) ( NP ( NN manufacturing ) ) ( NP ( JJ corporate ) ( NN estimating ) ) ( NP ( NN flight ) ( NN test ) ) ( NP ( NN material ) ) ( NP ( NN quality ) ( NN control ) ) ( CC and ) ( NP ( JJ other ) ( NNS departments ) ) ) ) ) ) ) ) )

The team was composed of representatives from engineering manufacturing corporate estimating flight test material quality control and other departments


( SINV ( S-TPC-2 ( NP-SBJ-1 ( PRP We ) ) ( VP ( VBD needed ) ( NP ( NP ( NNS contributions ) ) ( PP ( IN from ) ( NP ( PDT all ) ( DT these ) ( NNS departments ) ) ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB generate ) ( NP ( DT the ) ( NN proposal ) ) ) ) ) ) ) ( VP ( VBZ says ) ) ( NP-SBJ ( NP ( NNP Carl ) ( NNP Anton ) ) ( NP ( NP ( JJ configuration-data ) ( NN manager ) ) ( PP ( IN for ) ( NP ( NP ( NNP Grumman ) ( POS 's ) ) ( NN A-6 ) ( NN combat ) ( NN aircraft ) ( NN program ) ) ) ) ) )

We needed contributions from all these departments to generate the proposal says Carl Anton configuration-data manager for Grumman 's A-6 combat aircraft program


( S ( CC But ) ( PP ( RB instead ) ( IN of ) ( S-NOM ( VP ( VBG gathering ) ( NP ( PRP$ their ) ( NN input ) ) ( ADVP-MNR ( RB piecemeal ) ) ) ) ) ( NP-SBJ-5 ( PRP we ) ) ( VP ( VP ( VBD formed ) ( NP ( NP ( DT the ) ( NN team ) ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( VP ( VBD reached ) ( NP ( NP ( NN consensus ) ) ( PP ( IN on ) ( NP ( DT the ) ( NN proposal ) ( NNS objectives ) ) ) ) ) ) ) ) ) ( CC and ) ( VP ( VBD produced ) ( NP ( NP ( DT a ) ( NN statement ) ) ( PP ( IN of ) ( NP ( NN work ) ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB guide ) ( NP ( NP ( PDT all ) ( DT the ) ( NNS functions ) ) ( SBAR ( WHNP-3 ( WDT that ) ) ( S ( VP ( VBD were ) ( VP ( VBN involved ) ) ) ) ) ) ) ) ) ) ) ) ) )

But instead of gathering their input piecemeal we formed the team which reached consensus on the proposal objectives and produced a statement of work to guide all the functions that were involved


( S ( S-ADV ( VP ( VBN Armed ) ( PP-CLR ( IN with ) ( NP ( NP ( DT this ) ( VBN shared ) ( NN understanding ) ) ( CC and ) ( NP ( JJ requisite ) ( NN background ) ( NN information ) ) ) ) ) ) ( NP-SBJ-1 ( DT each ) ( NN department ) ) ( VP ( VBD developed ) ( NP ( NP ( PRP$ its ) ( VBN specialized ) ( NN contribution ) ) ( PP ( TO to ) ( NP ( DT the ) ( NN proposal ) ) ) ) ( S-ADV ( VP ( VBG submitting ) ( NP ( NNS data ) ( CC and ) ( NN cost ) ( NNS estimates ) ) ( PP-TMP ( IN on ) ( NP ( DT a ) ( RB closely ) ( VBN managed ) ( NN schedule ) ) ) ) ) ) )

Armed with this shared understanding and requisite background information each department developed its specialized contribution to the proposal submitting data and cost estimates on a closely managed schedule


( S ( S-TPC-2 ( NP-SBJ ( PRP We ) ) ( VP ( VBD cleared ) ( PRT ( RP up ) ) ( NP ( NNS questions ) ( CC and ) ( NNS inconsistencies ) ) ( ADVP-MNR ( RB very ) ( RB quickly ) ) ( SBAR-PRP ( IN because ) ( S ( NP-SBJ ( NP ( DT the ) ( NNS people ) ) ( SBAR ( WHNP-1 ( WP who ) ) ( S ( VP ( VBD had ) ( NP ( NP ( DT the ) ( NNS skills ) ( CC and ) ( NN perspective ) ) ( VP ( VBN required ) ( S-CLR ( VP ( TO to ) ( VP ( VB resolve ) ( NP ( PRP them ) ) ) ) ) ) ) ) ) ) ) ( VP ( VBD were ) ( NP-PRD ( NP ( NN part ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN task ) ( NN team ) ) ) ) ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Anton ) ) ( VP ( VBZ explains ) ) )

We cleared up questions and inconsistencies very quickly because the people who had the skills and perspective required to resolve them were part of the task team Mr. Anton explains


( S ( NP-SBJ ( DT The ) ( NN team ) ) ( VP ( VBD trimmed ) ( NP ( QP ( JJR more ) ( IN than ) ( CD two ) ) ( NNS months ) ) ( PP-CLR ( IN from ) ( NP ( NP ( DT the ) ( NN cycle ) ( NN time ) ) ( VP ( ADVP-TMP ( RB previously ) ) ( VBN required ) ( S-CLR ( VP ( TO to ) ( VP ( VB develop ) ( NP ( JJ comparable ) ( NNS proposals ) ) ) ) ) ) ) ) ) )

The team trimmed more than two months from the cycle time previously required to develop comparable proposals


( S ( NP-SBJ ( DT The ) ( NN team ) ) ( VP ( VBD eliminated ) ( NP ( NP ( DT the ) ( NN crisis ) ( NN mentality ) ) ( SBAR ( WHNP-1 ( IN that ) ) ( S ( NP-SBJ ( NN proposal ) ( NNS deadlines ) ) ( VP ( MD can ) ( VP ( VB generate ) ) ) ) ) ) ) )

The team eliminated the crisis mentality that proposal deadlines can generate


( S ( S-TPC-1 ( NP-SBJ ( DT The ) ( NN result ) ) ( VP ( VBD was ) ( NP-PRD ( DT a ) ( ADJP ( RBR more ) ( JJ thoughtful ) ( JJ complete ) ( CC and ) ( JJ competitive ) ) ( NN proposal ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Anton ) ) ( VP ( VBZ concludes ) ) )

The result was a more thoughtful complete and competitive proposal Mr. Anton concludes


( S ( NP-SBJ ( NP ( DT The ) ( NNS successes ) ) ( VP ( VBN achieved ) ( PP-LOC ( IN at ) ( NP ( NP ( NNP Federal ) ( NNP Express ) ) ( NP ( NNP Union ) ( NNP Carbide ) ) ( CC and ) ( NP ( NNP Grumman ) ) ) ) ) ) ( VP ( VBP suggest ) ( SBAR ( IN that ) ( S ( S-NOM-SBJ ( VP ( VBG managing ) ( NP ( NN speed ) ) ) ) ( VP ( MD may ) ( VP ( VB be ) ( NP-PRD ( NP ( DT an ) ( VBN underutilized ) ( NN source ) ) ( PP ( IN of ) ( NP ( JJ competitive ) ( NN advantage ) ) ) ) ) ) ) ) ) )

The successes achieved at Federal Express Union Carbide and Grumman suggest that managing speed may be an underutilized source of competitive advantage


( S ( NP-SBJ ( NP ( NNS Managers ) ) ( PP-LOC ( IN in ) ( NP ( DT all ) ( CD three ) ( NNS companies ) ) ) ) ( VP ( VBP recognize ) ( NP ( NN speed ) ) ( PP-CLR ( IN as ) ( NP ( NP ( NP ( DT a ) ( NN component ) ) ( PP ( IN of ) ( NP ( NN quality ) ) ) ) ( CC and ) ( NP ( NP ( DT a ) ( NN key ) ) ( PP ( TO to ) ( NP ( NN customer ) ( NN satisfaction ) ) ) ) ) ) ) )

Managers in all three companies recognize speed as a component of quality and a key to customer satisfaction


( S ( NP-SBJ ( PRP They ) ) ( VP ( ADVP-MNR ( RB effectively ) ) ( VBP lead ) ( NP ( NN team ) ( NNS efforts ) ( S ( VP ( TO to ) ( VP ( VB reduce ) ( NP ( NN cycle ) ( NN time ) ) ) ) ) ) ) )

They effectively lead team efforts to reduce cycle time


( S ( CC And ) ( NP-SBJ ( PRP they ) ) ( VP ( VBP prepare ) ( S ( NP-SBJ ( PDT all ) ( PRP$ their ) ( NNS people ) ) ( VP ( TO to ) ( VP ( VP ( VB increase ) ( NP ( NP ( DT the ) ( NN speed ) ) ) ) ( CC and ) ( VP ( VB improve ) ( NP ( NP ( DT the ) ( NN quality ) ) ) ) ( PP-1 ( IN of ) ( NP ( PRP$ their ) ( JJ own ) ( NN work ) ) ) ) ) ) ) )

And they prepare all their people to increase the speed and improve the quality of their own work


( S ( NP-SBJ ( NNP Mr. ) ( NNP Labovitz ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( NN president ) ) ( PP ( IN of ) ( NP ( NP ( NNP ODI ) ) ( NP ( NP ( DT a ) ( VBG consulting ) ( NN firm ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNP Burlington ) ) ( NP ( NNP Mass ) ) ) ) ) ) ) ) ) )

Mr. Labovitz is president of ODI a consulting firm in Burlington Mass


( S ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ( CC & ) ( NNP Co. ) ) ( VP ( VBD extended ) ( NP ( NP ( PRP$ its ) ( NN tender ) ( NN offer ) ) ( PP ( IN of ) ( NP ( NP ( NP ( CD 18 ) ) ( NP-ADV ( DT a ) ( NN share ) ) ) ( CC or ) ( NP ( QP ( IN about ) ( CD 576 ) ( CD million ) ) ) ) ) ( PP ( IN for ) ( NP ( NP ( DT the ) ( CD 33 ) ( NN % ) ) ( PP ( IN of ) ( NP ( NNP Telerate ) ( NNP Inc. ) ) ) ( SBAR ( WHNP-1 ( IN that ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ does ) ( RB n't ) ( ADVP-TMP ( RB already ) ) ( VP ( JJ own ) ) ) ) ) ) ) ) ( PP-TMP ( IN until ) ( NP ( NP ( CD 5 ) ( RB p.m. ) ( NN EST ) ) ( NP ( NNP Nov. ) ( CD 6 ) ) ) ) ) )

Dow Jones & Co. extended its tender offer of 18 a share or about 576 million for the 33 % of Telerate Inc. that it does n't already own until 5 p.m. EST Nov. 6


( S ( NP-SBJ-2 ( NP ( DT The ) ( NN offer ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( NP-SBJ ( NP ( NNP Telerate ) ( POS 's ) ) ( CD two ) ( JJ independent ) ( NNS directors ) ) ( VP ( VBP have ) ( VP ( VBN rejected ) ( PP-CLR ( IN as ) ( ADJP ( JJ inadequate ) ) ) ) ) ) ) ) ( ADVP-TMP ( RB previously ) ) ( VP ( VBD had ) ( VP ( VBN been ) ( VP ( VBN scheduled ) ( S ( VP ( TO to ) ( VP ( VB expire ) ( PP-TMP ( IN at ) ( NP ( NN midnight ) ) ) ( NP-TMP ( NNP Friday ) ) ) ) ) ) ) ) )

The offer which Telerate 's two independent directors have rejected as inadequate previously had been scheduled to expire at midnight Friday


( S ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( PRP it ) ) ( VP ( VBD extended ) ( NP ( DT the ) ( NN offer ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB allow ) ( NP ( NNS shareholders ) ) ( NP ( NP ( NN time ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB review ) ( NP ( NP ( DT a ) ( NN supplement ) ) ( PP ( TO to ) ( NP ( NP ( DT the ) ( NNP Dow ) ( NNP Jones ) ( NN tender ) ( NN offer ) ( JJ circular ) ) ( SBAR ( WHNP-3 ( IN that ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD mailed ) ( NP-TMP ( JJ last ) ( NNP Friday ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Dow Jones said it extended the offer to allow shareholders time to review a supplement to the Dow Jones tender offer circular that it mailed last Friday


( S ( S ( NP-SBJ ( DT The ) ( NN supplement ) ) ( VP ( VBZ contains ) ( NP ( NP ( JJ various ) ( NN information ) ) ( SBAR ( WHNP-2 ( WDT that ) ) ( S ( VP ( VBZ has ) ( VP ( VBN been ) ( VP ( VBN filed ) ( PP-CLR ( IN with ) ( NP ( DT the ) ( NNPS Securities ) ( CC and ) ( NNP Exchange ) ( NNP Commission ) ) ) ( SBAR-TMP ( IN since ) ( S ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ) ( VP ( VBD launched ) ( NP ( DT the ) ( NN offer ) ) ( PP-TMP ( IN on ) ( NP ( NNP Sept. ) ( CD 26 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ( CC but ) ( S ( NP-SBJ-3 ( PRP it ) ) ( VP ( VBZ does ) ( RB n't ) ( VP ( VB change ) ( NP ( NP ( DT the ) ( NNS terms ) ( CC and ) ( NNS conditions ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN offer ) ) ) ) ( SBAR-ADV ( IN except ) ( S ( VP ( TO to ) ( VP ( VB extend ) ( NP ( PRP$ its ) ( NN expiration ) ( NN date ) ) ) ) ) ) ) ) ) )

The supplement contains various information that has been filed with the Securities and Exchange Commission since Dow Jones launched the offer on Sept. 26 but it does n't change the terms and conditions of the offer except to extend its expiration date


( S ( PP-LOC ( IN In ) ( NP ( NNP Delaware ) ( NNP Chancery ) ( NNP Court ) ( NN litigation ) ) ) ( NP-SBJ ( NNP Telerate ) ) ( VP ( VBZ has ) ( VP ( VBN criticized ) ( NP-1 ( NNP Dow ) ( NNP Jones ) ) ( PP-CLR ( IN for ) ( S-NOM ( VP ( RB not ) ( VBG disclosing ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP ( NNP Telerate ) ( POS 's ) ) ( NN management ) ) ( VP ( VBZ expects ) ( S ( NP-SBJ ( NP ( DT the ) ( NN company ) ( POS 's ) ) ( NN revenue ) ) ( VP ( TO to ) ( VP ( VB increase ) ( PP-EXT ( IN by ) ( NP ( CD 20 ) ( NN % ) ) ) ( ADVP-TMP ( RB annually ) ) ) ) ) ( SBAR-ADV ( IN while ) ( S ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ) ( VP ( VBD based ) ( NP ( NP ( PRP$ its ) ( NNS projections ) ) ( PP ( IN of ) ( NP ( NP ( NNP Telerate ) ( POS 's ) ) ( NN performance ) ) ) ) ( PP-CLR ( IN on ) ( NP ( DT a ) ( ADJP ( CD 12 ) ( NN % ) ) ( NN revenue ) ( NN growth ) ( NN forecast ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

In Delaware Chancery Court litigation Telerate has criticized Dow Jones for not disclosing that Telerate 's management expects the company 's revenue to increase by 20 % annually while Dow Jones based its projections of Telerate 's performance on a 12 % revenue growth forecast


( S ( PP-LOC ( IN In ) ( NP ( DT the ) ( NN tender ) ( NN offer ) ( NN supplement ) ) ) ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ) ( VP ( VP ( VBZ discloses ) ( NP ( DT the ) ( JJ different ) ( NN growth ) ( NNS forecasts ) ) ) ( CC but ) ( VP ( VBZ says ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ views ) ( NP ( DT the ) ( ADJP ( CD 20 ) ( NN % ) ) ( NN growth ) ( NN rate ) ) ( PP-CLR ( PP ( IN as ) ( NP ( NP ( DT a ) ( JJ hoped-for ) ( NN goal ) ) ( PP ( IN of ) ( NP ( NP ( NNP Telerate ) ( POS 's ) ) ( NN management ) ) ) ) ) ( CC and ) ( RB not ) ( PP ( IN as ) ( NP ( NP ( DT a ) ( JJ realistic ) ( NN basis ) ) ( SBAR ( WHPP-1 ( IN on ) ( WHNP ( WDT which ) ) ) ( S ( VP ( TO to ) ( VP ( VB project ) ( NP ( NP ( DT the ) ( NN company ) ( POS 's ) ) ( JJ likely ) ( NN future ) ( NN performance ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

In the tender offer supplement Dow Jones discloses the different growth forecasts but says it views the 20 % growth rate as a hoped-for goal of Telerate 's management and not as a realistic basis on which to project the company 's likely future performance


( S ( NP-SBJ-1 ( NNP Telerate ) ( NNS shares ) ) ( VP ( VBD fell ) ( NP-EXT ( CD 50 ) ( NNS cents ) ) ( PP-TMP ( IN on ) ( NP ( NNP Friday ) ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB close ) ( PP-LOC-CLR ( IN at ) ( NP ( NP ( CD 20 ) ) ( NP-ADV ( DT each ) ) ) ) ( PP-LOC ( IN in ) ( NP ( NNP New ) ( NNP York ) ( NNP Stock ) ( NNP Exchange ) ( JJ composite ) ( NN trading ) ) ) ) ) ) ) )

Telerate shares fell 50 cents on Friday to close at 20 each in New York Stock Exchange composite trading


( S ( NP-SBJ-1 ( NNP Dow ) ( NNP Jones ) ( NNS shares ) ) ( ADVP ( RB also ) ) ( VP ( VBD fell ) ( NP-EXT ( CD 50 ) ( NNS cents ) ) ( S-CLR ( VP ( TO to ) ( VP ( VB close ) ( PP-LOC-CLR ( IN at ) ( NP ( CD 36.125 ) ) ) ( PP-LOC ( IN in ) ( NP ( NNP Big ) ( NNP Board ) ( JJ composite ) ( NN trading ) ) ) ) ) ) ) )

Dow Jones shares also fell 50 cents to close at 36.125 in Big Board composite trading


( S ( NP-SBJ ( NNP Dow ) ( NNP Jones ) ) ( VP ( VBZ has ) ( VP ( VBN said ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ believes ) ( SBAR ( S ( NP-SBJ ( DT the ) ( ADJP ( JJ 18-a-share ) ) ( NN price ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ fair ) ( PP ( TO to ) ( NP ( NP ( NNP Telerate ) ( POS 's ) ) ( NN minority ) ( NNS shareholders ) ) ) ) ) ) ) ) ) ) ) ) )

Dow Jones has said it believes the 18-a-share price is fair to Telerate 's minority shareholders


( S ( S ( NP-TMP ( JJ Late ) ( JJ last ) ( NN week ) ) ( NP-SBJ ( NP ( NNS representatives ) ) ( PP ( IN of ) ( NP ( NP ( NNP Dow ) ( NNP Jones ) ) ( CC and ) ( NP ( NNP Telerate ) ) ) ) ) ( VP ( VBD began ) ( NP ( NP ( NNS negotiations ) ) ( PP ( IN about ) ( NP ( NP ( DT the ) ( NNS terms ) ) ( PP ( IN of ) ( NP ( DT the ) ( NN offer ) ) ) ) ) ) ) ) ( CC but ) ( S ( NP-SBJ ( DT those ) ( NNS talks ) ) ( VP ( VBD did ) ( RB n't ) ( VP ( VB result ) ( PP-CLR ( IN in ) ( NP ( NP ( DT any ) ( NNS changes ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NN offer ) ) ) ) ) ) ) ) )

Late last week representatives of Dow Jones and Telerate began negotiations about the terms of the offer but those talks did n't result in any changes in the offer


( S ( NP-SBJ ( NNP Telerate ) ) ( VP ( VBZ provides ) ( NP ( NP ( NN information ) ) ( PP ( IN about ) ( NP ( JJ financial ) ( NNS markets ) ) ) ) ( PP-CLR ( IN through ) ( NP ( DT an ) ( JJ electronic ) ( NN network ) ) ) ) )

Telerate provides information about financial markets through an electronic network


( S ( NP-SBJ ( NP ( NNP Dow ) ( NNP Jones ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBZ owns ) ( NP ( NP ( CD 67 ) ( NN % ) ) ( PP ( IN of ) ( NP ( NNP Telerate ) ) ) ) ) ) ) ) ( VP ( VP ( VBZ publishes ) ( NP ( NP ( NNP The ) ( NNP Wall ) ( NNP Street ) ( NNP Journal ) ) ( NP ( NP ( NNP Barron ) ( POS 's ) ) ( NN magazine ) ) ( NP ( NN community ) ( NNS newspapers ) ) ) ) ( CC and ) ( VP ( VBZ operates ) ( NP ( NP ( JJ financial ) ( NN news ) ( NNS services ) ) ( CC and ) ( NP ( NN computer ) ( NNS data ) ( NNS bases ) ) ) ) ) )

Dow Jones which owns 67 % of Telerate publishes The Wall Street Journal Barron 's magazine community newspapers and operates financial news services and computer data bases


( S ( SBAR-TMP ( WHADVP-1 ( WRB When ) ) ( S ( NP-SBJ ( DT the ) ( NN economy ) ) ( VP ( VBD stumbled ) ( PP-TMP ( IN in ) ( NP ( DT the ) ( CD mid-1970s ) ) ) ) ) ) ( NP-SBJ ( NNP Akzo ) ( NNP NV ) ) ( VP ( VBD fell ) ( PP-CLR ( IN out ) ( PP ( IN of ) ( NP ( NN bed ) ) ) ) ) )

When the economy stumbled in the mid-1970s Akzo NV fell out of bed


( S ( NP-SBJ ( NP ( VBG Towering ) ( NN overcapacity ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( JJ synthetic ) ( NN fiber ) ( NN business ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBD accounted ) ( PP-CLR ( IN for ) ( NP ( NP ( NN half ) ) ( PP ( IN of ) ( NP ( NP ( DT the ) ( JJ Dutch ) ( NN chemical ) ( NN company ) ( POS 's ) ) ( NNS sales ) ) ) ) ) ) ) ) ) ) ) ( VP ( VP ( VBD led ) ( PP-CLR ( TO to ) ( NP ( JJ huge ) ( NNS losses ) ) ) ) ( CC and ) ( VP ( VBD left ) ( NP ( NP ( NNP Akzo ) ( POS 's ) ) ( NN survival ) ) ( PP-CLR ( IN in ) ( NP ( NN doubt ) ) ) ) ) )

Towering overcapacity in the synthetic fiber business which accounted for half of the Dutch chemical company 's sales led to huge losses and left Akzo 's survival in doubt


( S-CLF ( NP-SBJ ( PRP It ) ) ( VP ( VBD was ) ( RB n't ) ( PP-PRD ( IN until ) ( NP ( DT the ) ( JJ early ) ( CD 1980s ) ) ) ( SBAR ( WHADVP-1 ( IN that ) ) ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBD nursed ) ( NP ( PRP itself ) ) ( ADVP-CLR ( RB back ) ( PP ( TO to ) ( NP ( NN health ) ) ) ) ) ) ) ) )

It was n't until the early 1980s that Akzo nursed itself back to health


( S ( ADVP-TMP ( RB Now ) ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ ( NP ( DT a ) ( JJ new ) ( NN downturn ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NN chemical ) ( NN industry ) ) ) ) ( VP ( VBZ looms ) ) ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ says ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ is ) ( PP-PRD ( IN in ) ( NP ( NP ( ADJP ( RB far ) ( JJR better ) ) ( NN shape ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB cope ) ) ) ) ) ) ) ) ) ) ) )

Now as a new downturn in the chemical industry looms Akzo says it is in far better shape to cope


( S ( NP-SBJ ( NN Investment ) ( NNS analysts ) ) ( ADVP ( RB generally ) ) ( VP ( VBP agree ) ) )

Investment analysts generally agree


( S ( ADVP ( RB Aside ) ( PP ( IN from ) ( S-NOM ( VP ( VP ( VBG slashing ) ( NP ( NNS costs ) ) ) ( CC and ) ( VP ( VBG investing ) ( ADVP-MNR ( RB heavily ) ) ( PP-CLR ( IN in ) ( NP ( PRP$ its ) ( NNS plants ) ) ) ) ) ) ) ) ( NP-SBJ-1 ( NNP Akzo ) ) ( VP ( VBZ has ) ( VP ( VBN spent ) ( NP ( NP ( QP ( CD 3.9 ) ( CD billion ) ) ( NNS guilders ) ) ( PRN ( NP ( QP ( CD 1.88 ) ( CD billion ) ) ) ) ) ( PP-CLR ( IN on ) ( NP ( NNS acquisitions ) ) ) ( PP-TMP ( IN since ) ( NP ( CD 1983 ) ) ) ( S-PRP ( VP ( TO to ) ( VP ( VB give ) ( NP ( PRP it ) ) ( NP ( JJR better ) ( NN balance ) ) ) ) ) ) ) )

Aside from slashing costs and investing heavily in its plants Akzo has spent 3.9 billion guilders 1.88 billion on acquisitions since 1983 to give it better balance


( S ( PP-TMP ( IN During ) ( NP ( DT the ) ( JJ same ) ( NN period ) ) ) ( NP-SBJ ( DT the ) ( NN company ) ) ( VP ( VBZ has ) ( VP ( VBN sold ) ( NP ( NP ( QP ( IN about ) ( CD 1.6 ) ( CD billion ) ) ( NNS guilders ) ) ( PP ( IN of ) ( NP ( NNS assets ) ) ) ) ) ) )

During the same period the company has sold about 1.6 billion guilders of assets


( S ( NP-SBJ ( NP ( DT The ) ( NNS fibers ) ( NN business ) ) ( SBAR ( WHNP-1 ( WP$ whose ) ( NNS products ) ) ( S ( VP ( VBP go ) ( PP-CLR ( IN into ) ( NP ( NP ( NNS textiles ) ) ( NP ( NN carpeting ) ) ( CC and ) ( NP ( JJ myriad ) ( JJ industrial ) ( NNS uses ) ) ) ) ) ) ) ) ( ADVP-TMP ( RB now ) ) ( VP ( VBZ accounts ) ( PP-CLR ( IN for ) ( NP ( NP ( QP ( RB only ) ( CD 20 ) ) ( NN % ) ) ( PP ( IN of ) ( NP ( NP ( NNP Akzo ) ( POS 's ) ) ( NNS sales ) ) ) ) ) ) )

The fibers business whose products go into textiles carpeting and myriad industrial uses now accounts for only 20 % of Akzo 's sales


( S ( S-TPC-1 ( NP-SBJ ( PRP We ) ) ( VP ( VBP have ) ( ADVP ( RB definitely ) ) ( VP ( VBN become ) ( ADJP-PRD ( RBR less ) ( JJ cyclical ) ) ) ) ) ( NP-SBJ ( NP ( NNP Syb ) ( NNP Bergsma ) ) ( NP ( JJ executive ) ( NN vice ) ( NN president-finance ) ) ) ( VP ( VBD said ) ( PP-LOC ( IN in ) ( NP ( DT an ) ( NN interview ) ) ) ) )

We have definitely become less cyclical Syb Bergsma executive vice president-finance said in an interview


( S ( INTJ ( RB Still ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ has ) ( RB n't ) ( ADVP-TMP ( RB yet ) ) ( VP ( VBN found ) ( NP ( NP ( DT a ) ( NN way ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB achieve ) ( NP ( NP ( DT another ) ( NN goal ) ) ( NP ( NP ( DT a ) ( JJ large ) ( NN presence ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NNP U.S. ) ( NN market ) ) ( PP ( IN for ) ( NP ( NN prescription ) ( NNS drugs ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Still Akzo has n't yet found a way to achieve another goal a large presence in the U.S. market for prescription drugs


( S ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( NP ( NNS prices ) ) ( PP ( IN for ) ( NP ( NNP U.S. ) ( JJ pharmaceutical ) ( NNS companies ) ) ) ) ( VP ( VBP remain ) ( ADJP-PRD ( RB too ) ( JJ high ) ) ( S-ADV ( VP ( VBG making ) ( S ( NP-SBJ ( NP ( PRP it ) ) ) ( ADJP-PRD ( JJ unlikely ) ) ( SBAR-1 ( IN that ) ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( MD will ) ( VP ( VB pursue ) ( NP ( DT any ) ( JJ major ) ( NNS acquisitions ) ) ( PP-LOC ( IN in ) ( NP ( DT that ) ( NN area ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Mr. Bergsma said prices for U.S. pharmaceutical companies remain too high making it unlikely that Akzo will pursue any major acquisitions in that area


( S ( CC But ) ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ is ) ( VP ( VBG considering ) ( NP ( NP ( NNS alliances ) ) ( PP ( IN with ) ( NP ( JJ American ) ( NN drug ) ( NNS companies ) ) ) ) ) ) ) ) ( SBAR-ADV ( IN although ) ( S ( NP-SBJ ( PRP he ) ) ( VP ( MD would ) ( RB n't ) ( VP ( VB elaborate ) ) ) ) ) ) )

But he said Akzo is considering alliances with American drug companies although he would n't elaborate


( S ( NP-SBJ ( NP ( DT An ) ( NN indication ) ) ( PP ( IN of ) ( NP ( NP ( NP ( NNP Akzo ) ( POS 's ) ) ( NN success ) ) ( PP ( IN in ) ( S-NOM ( VP ( VBG reshaping ) ( NP ( PRP itself ) ) ) ) ) ) ) ) ( VP ( MD will ) ( VP ( VB come ) ( NP-TMP ( NNP Thursday ) ) ( SBAR-TMP ( WHADVP-1 ( WRB when ) ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ reports ) ( NP ( NN third-quarter ) ( NNS results ) ) ) ) ) ) ) )

An indication of Akzo 's success in reshaping itself will come Thursday when it reports third-quarter results


( S ( NP-SBJ ( NNS Analysts ) ) ( VP ( VBP expect ) ( S ( NP-SBJ ( DT the ) ( NN company ) ) ( VP ( TO to ) ( VP ( VB show ) ( NP ( NP ( NN profit ) ) ( PP ( IN of ) ( NP ( NP ( QP ( IN about ) ( CD 225 ) ( CD million ) ) ( NNS guilders ) ) ( ADVP ( RB up ) ( NP ( CD 9 ) ( NN % ) ) ( PP ( IN from ) ( NP ( QP ( CD 206.3 ) ( CD million ) ) ( NNS guilders ) ) ( ADVP-TMP ( NP ( DT a ) ( NN year ) ) ( RBR earlier ) ) ) ) ) ) ) ) ) ) ) )

Analysts expect the company to show profit of about 225 million guilders up 9 % from 206.3 million guilders a year earlier


( S ( NP-SBJ ( DT A ) ( JJR bigger ) ( NN test ) ) ( VP ( MD will ) ( VP ( VB come ) ( NP-TMP ( JJ next ) ( NN year ) ) ( SBAR-ADV ( IN if ) ( S ( SBAR-ADV ( IN as ) ( S ( NP-SBJ ( JJ many ) ( NNS analysts ) ) ( VP ( VBP expect ) ) ) ) ( NP-SBJ ( JJ bulk ) ( NN chemical ) ( NNS prices ) ) ( VP ( VBP slump ) ( PP-LOC ( IN in ) ( NP ( NNP Europe ) ) ) ) ) ) ) ) )

A bigger test will come next year if as many analysts expect bulk chemical prices slump in Europe


( SINV ( S-TPC-1 ( ADVP ( RB Maybe ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( MD can ) ( VP ( VB surprise ) ( NP ( DT the ) ( NN investment ) ( NN world ) ) ( NP-ADV ( DT a ) ( NN bit ) ) ) ) ) ( VP ( VBD said ) ) ( NP-SBJ ( NP ( NNP Jaap ) ( NNP Visker ) ) ( NP ( NP ( DT an ) ( NN analyst ) ) ( PP-LOC ( IN at ) ( NP ( NNP Amsterdam-Rotterdam ) ( NNP Bank ) ( NNP NV ) ) ) ) ) )

Maybe Akzo can surprise the investment world a bit said Jaap Visker an analyst at Amsterdam-Rotterdam Bank NV


( S ( NP-SBJ ( PRP He ) ) ( VP ( VBZ figures ) ( SBAR ( S ( NP-SBJ-1 ( NNP Akzo ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ likely ) ( S ( VP ( TO to ) ( VP ( VB be ) ( NP-PRD ( NP ( CD one ) ) ( PP ( IN of ) ( NP ( DT the ) ( JJ few ) ( JJ major ) ( NN chemical ) ( NNS companies ) ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB show ) ( NP ( NN profit ) ( NN growth ) ) ( NP-TMP ( IN next ) ( NN year ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

He figures Akzo is likely to be one of the few major chemical companies to show profit growth next year


( S ( NP-SBJ ( DT The ) ( NN bank ) ) ( VP ( VBZ projects ) ( SBAR ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( MD will ) ( VP ( VB show ) ( NP ( NP ( JJ per-share ) ( NNS earnings ) ) ( PP ( IN of ) ( NP ( CD 24 ) ( NNS guilders ) ) ) ) ( PP-TMP ( IN in ) ( NP ( CD 1990 ) ) ) ( ADVP ( RB up ) ( PP ( IN from ) ( NP ( NP ( NP ( DT an ) ( VBN estimated ) ( CD 22.5 ) ( NNS guilders ) ) ( PP ( IN for ) ( NP ( DT this ) ( NN year ) ) ) ) ( CC and ) ( NP ( NP ( DT the ) ( CD 20.9 ) ( NNS guilders ) ) ( VP ( VBN reported ) ( PP-CLR ( IN for ) ( NP ( CD 1988 ) ) ) ) ) ) ) ) ) ) ) ) ) )

The bank projects Akzo will show per-share earnings of 24 guilders in 1990 up from an estimated 22.5 guilders for this year and the 20.9 guilders reported for 1988


( S ( PP-LOC ( IN At ) ( NP ( NP ( NNP James ) ( NNP Capel ) ( CC & ) ( NNP Co. ) ) ( PP-LOC ( IN in ) ( NP ( NNP London ) ) ) ) ) ( NP-SBJ ( NN analyst ) ( NNP Jackie ) ( NNP Ashurst ) ) ( VP ( VBZ notes ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ is ) ( ADJP-PRD ( ADJP ( RBR less ) ( VBN exposed ) ) ( PP ( IN than ) ( NP ( NP ( JJ many ) ) ( PP ( IN of ) ( NP ( PRP$ its ) ( NNS rivals ) ) ) ) ) ( PP-1 ( TO to ) ( NP ( DT the ) ( ADJP ( RBS most ) ( JJ volatile ) ) ( NN chemical ) ( NNS products ) ) ) ) ) ) ) ) )

At James Capel & Co. in London analyst Jackie Ashurst notes that Akzo is less exposed than many of its rivals to the most volatile chemical products


( S ( PP ( IN For ) ( NP ( NN example ) ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VP ( VBZ has ) ( ADVP ( RB only ) ) ( NP ( JJ minor ) ( NN petrochemical ) ( NNS operations ) ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ small ) ) ( PP-LOC ( IN in ) ( NP ( NNS plastics ) ) ) ) ( CC and ) ( VP ( VBZ does ) ( RB n't ) ( VP ( VB make ) ( NP ( NNS fertilizers ) ) ) ) ) )

For example Akzo has only minor petrochemical operations is small in plastics and does n't make fertilizers


( S ( ADVP ( RB Thus ) ) ( SBAR-ADV ( IN while ) ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBD profited ) ( ADVP ( ADVP ( JJR less ) ) ( PP ( IN than ) ( NP ( JJ many ) ( NNS rivals ) ) ) ) ( PP-CLR ( IN from ) ( NP ( NP ( DT the ) ( NN boom ) ) ( PP ( IN of ) ( NP ( JJ recent ) ( NNS years ) ) ) ( PP-LOC ( IN in ) ( NP ( NNS petrochemicals ) ( CC and ) ( NNS plastics ) ) ) ) ) ) ) ) ( NP-SBJ ( PRP it ) ) ( VP ( VBZ has ) ( NP ( NP ( JJR less ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB fear ) ( PP ( IN from ) ( NP ( DT the ) ( JJ current ) ( NN slump ) ) ) ) ) ) ) ) ) )

Thus while Akzo profited less than many rivals from the boom of recent years in petrochemicals and plastics it has less to fear from the current slump


( S ( NP-SBJ-1 ( DT The ) ( NN company ) ) ( VP ( VBZ is ) ( VP ( VBN exposed ) ( PP-CLR ( TO to ) ( NP ( NN bulk ) ( NNS chemicals ) ) ) ( ADVP ( RB however ) ) ) ) )

The company is exposed to bulk chemicals however


( S ( S-TPC-1 ( SBAR-ADV ( IN Although ) ( S ( NP-SBJ-2 ( JJ bulk-chemical ) ( NNS prices ) ) ( VP ( VBP have ) ( VP ( VBN begun ) ( S ( VP ( VBG falling ) ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NNP U.S. ) ) ) ) ) ) ) ( NP-SBJ ( PRP they ) ) ( VP ( VBP are ) ( ADVP ( RB generally ) ) ( ADJP-PRD ( JJ stable ) ) ( PP-LOC ( IN in ) ( NP ( NNP Europe ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ) )

Although bulk-chemical prices have begun falling in the U.S. they are generally stable in Europe Mr. Bergsma said


( S-1 ( S ( NP-SBJ ( DT A ) ( NN decline ) ) ( VP ( MD may ) ( VP ( VB come ) ( PP-TMP ( IN in ) ( NP ( NP ( DT the ) ( JJ first ) ( NN half ) ) ( PP ( IN of ) ( NP ( CD 1990 ) ) ) ) ) ) ) ) ( PRN ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) ) ) ( CC but ) ( S ( NP-SBJ ( DT the ) ( NN market ) ) ( VP ( VBZ does ) ( RB n't ) ( VP ( VB appear ) ( PP-LOC-PRD ( IN on ) ( NP ( NP ( DT the ) ( NN verge ) ) ( PP ( IN of ) ( NP ( DT a ) ( JJ severe ) ( NN downturn ) ) ) ) ) ) ) ) )

A decline may come in the first half of 1990 he said but the market does n't appear on the verge of a severe downturn


( S ( S-PRP ( VP ( TO To ) ( VP ( VB reduce ) ( NP ( NP ( DT the ) ( NN danger ) ) ( PP ( IN of ) ( NP ( JJ such ) ( NN pricing ) ( NNS cycles ) ) ) ) ) ) ) ( NP-SBJ-1 ( NNP Akzo ) ) ( VP ( VBZ has ) ( VP ( VBN invested ) ( ADVP-MNR ( RB heavily ) ) ( PP-CLR ( IN in ) ( NP ( NP ( NN specialty ) ( NNS chemicals ) ) ( SBAR ( WHNP-2 ( WDT which ) ) ( S ( VP ( VP ( VBP have ) ( NP ( ADJP ( RB highly ) ( JJ specific ) ) ( JJ industrial ) ( NNS uses ) ) ) ( CC and ) ( VP ( VBP tend ) ( S ( VP ( TO to ) ( VP ( VB produce ) ( NP ( NP ( ADJP ( JJ much ) ( JJR higher ) ) ( NN profit ) ( NNS margins ) ) ( SBAR ( IN than ) ( SINV ( VP ( VBP do ) ) ( NP-SBJ ( JJ bulk ) ( NNS chemicals ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

To reduce the danger of such pricing cycles Akzo has invested heavily in specialty chemicals which have highly specific industrial uses and tend to produce much higher profit margins than do bulk chemicals


( S ( NP-SBJ ( NP ( NP ( NNP Akzo ) ( POS 's ) ) ( JJS biggest ) ( NN move ) ) ( PP-LOC ( IN in ) ( NP ( DT this ) ( NN area ) ) ) ) ( VP ( VBD was ) ( NP-PRD ( NP ( DT the ) ( CD 1987 ) ( NN acquisition ) ) ( PP ( IN of ) ( NP ( NP ( NNP Stauffer ) ( NNP Chemical ) ( NNP Co. ) ( POS 's ) ) ( NN specialty ) ( NN chemical ) ( NN business ) ) ) ( PP ( IN for ) ( NP ( QP ( CD 625 ) ( CD million ) ) ) ) ) ) )

Akzo 's biggest move in this area was the 1987 acquisition of Stauffer Chemical Co. 's specialty chemical business for 625 million


( S ( PP-LOC ( IN In ) ( NP ( DT a ) ( ADJP ( RBR less ) ( JJ glamorous ) ) ( NN field ) ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( NP ( DT the ) ( NN world ) ( POS 's ) ) ( JJS biggest ) ( NN producer ) ) ( PP ( IN of ) ( NP ( NP ( JJ industrial ) ( NN salt ) ) ( VP ( VBD used ) ( PP-CLR ( PP ( IN as ) ( NP ( NP ( DT a ) ( JJ raw ) ( NN material ) ) ( PP ( IN for ) ( NP ( DT the ) ( JJ chemical ) ( NN industry ) ) ) ) ) ( CONJP ( RB as ) ( RB well ) ( IN as ) ) ( PP ( IN for ) ( NP ( NP ( JJ such ) ( NNS tasks ) ) ( PP ( IN as ) ( S-NOM ( VP ( VBG melting ) ( NP ( NN ice ) ) ) ) ) ) ) ) ) ) ) ) ) )

In a less glamorous field Akzo is the world 's biggest producer of industrial salt used as a raw material for the chemical industry as well as for such tasks as melting ice


( S ( NP-SBJ ( NNP Akzo ) ) ( ADVP ( RB also ) ) ( VP ( VBZ makes ) ( NP ( NP ( NP ( NNS products ) ) ( VP ( VBN derived ) ( PP-CLR ( IN from ) ( NP ( NN salt ) ) ) ) ) ( PP ( JJ such ) ( IN as ) ( NP ( NP ( NN chlorine ) ) ( CC and ) ( NP ( JJ caustic ) ( NN soda ) ) ) ) ) ) )

Akzo also makes products derived from salt such as chlorine and caustic soda


( S ( PP-LOC ( IN In ) ( NP ( DT the ) ( NNS fibers ) ( NN division ) ) ) ( NP-SBJ ( NN profit ) ) ( VP ( VBZ remains ) ( ADJP-PRD ( JJ weak ) ) ( PP-PRP ( ADVP ( RB largely ) ) ( IN because ) ( IN of ) ( NP ( JJ persistent ) ( NN overcapacity ) ) ) ) )

In the fibers division profit remains weak largely because of persistent overcapacity


( S ( S ( CC But ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ is ) ( ADVP-TMP ( RB still ) ) ( VP ( VBG slimming ) ( PRT ( IN down ) ) ) ) ) ( S ( NP-SBJ ( PRP It ) ) ( ADVP-TMP ( RB recently ) ) ( VP ( VBD announced ) ( NP ( NNS plans ) ( S ( VP ( TO to ) ( VP ( VB eliminate ) ( NP ( NP ( QP ( IN about ) ( CD 1,700 ) ) ( JJ fiber-related ) ( NNS jobs ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NNP Netherlands ) ) ( CC and ) ( NP ( NNP West ) ( NNP Germany ) ) ) ) ) ) ) ) ) ) ) )

But Akzo is still slimming down It recently announced plans to eliminate about 1,700 fiber-related jobs in the Netherlands and West Germany


( S ( SBAR-ADV ( IN Although ) ( S ( NP-SBJ ( DT the ) ( NN polyester ) ( CC and ) ( NN rayon ) ( NNS markets ) ) ( VP ( VBP remain ) ( ADJP-PRD ( RB mostly ) ( JJ bleak ) ) ) ) ) ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ has ) ( NP ( NP ( JJ high ) ( NNS hopes ) ) ( PP ( IN for ) ( NP ( NP ( DT some ) ( VBG emerging ) ( NN fiber ) ( NNS businesses ) ) ( ADJP ( JJ such ) ( NP ( NP ( NP ( NN carbon ) ( NNS fibers ) ) ( CC and ) ( NP ( NN aramid ) ) ) ( NP ( NP ( ADJP ( RB extremely ) ( JJ strong ) ) ( NNS fibers ) ) ( VP ( VBN used ) ( S-CLR ( VP ( VP ( TO to ) ( VP ( VB reinforce ) ( NP ( NNS tires ) ( CC and ) ( NNS metals ) ) ) ) ( CC and ) ( VP ( TO to ) ( VP ( VB make ) ( NP ( NP ( JJ such ) ( NNS products ) ) ( PP ( IN as ) ( NP ( JJ bullet-proof ) ( NNS vests ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Although the polyester and rayon markets remain mostly bleak Akzo has high hopes for some emerging fiber businesses such carbon fibers and aramid extremely strong fibers used to reinforce tires and metals and to make such products as bullet-proof vests


( S ( NP-SBJ ( NP ( NNP Akzo ) ( POS 's ) ) ( NNP Twaron ) ( NN aramid ) ( NN fiber ) ) ( VP ( VBZ is ) ( NP-PRD ( NP ( DT a ) ( JJ distant ) ( NN second ) ) ( PP ( TO to ) ( NP ( NP ( NP ( NNP Du ) ( NNP Pont ) ( NNP Co. ) ( POS 's ) ) ( NNP Kevlar ) ) ( SBAR ( WHNP-1 ( WDT which ) ) ( S ( VP ( VBZ dominates ) ( NP ( DT the ) ( NN market ) ) ) ) ) ) ) ) ) )

Akzo 's Twaron aramid fiber is a distant second to Du Pont Co. 's Kevlar which dominates the market


( S ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( NP ( JJ world-wide ) ( NN industry ) ( NNS sales ) ) ( PP ( IN of ) ( NP ( NN aramid ) ( NNS fibers ) ) ) ) ( VP ( VBP are ) ( VP ( VBN expected ) ( S ( VP ( TO to ) ( VP ( VB total ) ( NP ( QP ( IN about ) ( CD 500 ) ( CD million ) ) ) ( NP-TMP ( DT this ) ( NN year ) ) ) ) ) ) ) ) ) ) )

Mr. Bergsma said world-wide industry sales of aramid fibers are expected to total about 500 million this year


( S-1 ( S ( NP-SBJ ( NP ( NNS Sales ) ( NN growth ) ) ( PP ( IN of ) ( NP ( NP ( CD 10 ) ( NN % ) ) ( NP-ADV ( DT a ) ( NN year ) ) ) ) ) ( VP ( VBZ seems ) ( ADJP-PRD ( JJ possible ) ) ) ) ( PRN ( S ( NP-SBJ ( PRP he ) ) ( VP ( VBD said ) ) ) ) ( CC and ) ( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VBZ expects ) ( S ( NP-SBJ ( PRP$ its ) ( NNP Twaron ) ( NN business ) ) ( VP ( TO to ) ( VP ( VB become ) ( ADJP-PRD ( JJ profitable ) ) ( PP-TMP ( IN in ) ( NP ( CD 1990 ) ) ) ) ) ) ) ) )

Sales growth of 10 % a year seems possible he said and Akzo expects its Twaron business to become profitable in 1990


( S ( NP-SBJ ( NNP Akzo ) ) ( ADVP ( RB also ) ) ( VP ( VBZ has ) ( VP ( VBN spent ) ( ADVP-MNR ( RB heavily ) ) ( PP-CLR ( IN on ) ( NP ( NP ( NNS acquisitions ) ) ( PP-LOC ( IN in ) ( NP ( NP ( NNS paints ) ) ( NP ( NN auto ) ( NNS finishes ) ) ( CC and ) ( NP ( JJ industrial ) ( NNS coatings ) ) ) ) ) ) ) ) )

Akzo also has spent heavily on acquisitions in paints auto finishes and industrial coatings


( S ( PP-TMP ( IN In ) ( NP ( NNP August ) ) ) ( PP ( IN for ) ( NP ( NN example ) ) ) ( NP-SBJ ( PRP it ) ) ( VP ( VBD completed ) ( NP ( NP ( DT the ) ( ADJP ( QP ( CD 110 ) ( CD million ) ) ) ( NN acquisition ) ) ( PP ( IN of ) ( NP ( NP ( NNP Reliance ) ( NNP Universal ) ( NNP Inc. ) ) ( NP ( NP ( DT a ) ( NNP U.S. ) ( NN maker ) ) ( PP ( IN of ) ( NP ( NP ( JJ industrial ) ( NNS coatings ) ) ( PP ( IN for ) ( NP ( NN wood ) ( NNS metals ) ( CC and ) ( NNS plastics ) ) ) ) ) ) ) ) ( PP ( IN from ) ( NP ( NNP Tyler ) ( NNP Corp ) ) ) ) ) )

In August for example it completed the 110 million acquisition of Reliance Universal Inc. a U.S. maker of industrial coatings for wood metals and plastics from Tyler Corp


( S ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( NNP Akzo ) ) ( VP ( VBZ is ) ( ADJP-PRD ( JJ likely ) ( S ( VP ( TO to ) ( VP ( VB see ) ( NP ( NP ( JJ strong ) ( NN profit ) ( NN growth ) ) ( PP ( IN from ) ( NP ( NNS coatings ) ) ) ) ) ) ) ) ( SBAR-TMP ( IN as ) ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBZ realizes ) ( NP ( NP ( NN cost ) ( NNS savings ) ) ( CC and ) ( NP ( NP ( JJ other ) ( NNS benefits ) ) ( PP ( IN from ) ( NP ( PRP$ its ) ( JJR greater ) ( NN scale ) ) ) ) ) ) ) ) ) ) ) ) )

Mr. Bergsma said Akzo is likely to see strong profit growth from coatings as it realizes cost savings and other benefits from its greater scale


( S ( PP ( IN For ) ( NP ( NP ( NP ( NNP Akzo ) ( POS 's ) ) ( NN drug ) ( NN business ) ) ( SBAR ( WHADVP-1 ( WRB where ) ) ( S ( NP-SBJ ( NNS profits ) ) ( VP ( VBP have ) ( VP ( VBN shown ) ( NP ( JJ litle ) ( NN change ) ) ( PP-TMP ( IN for ) ( NP ( DT the ) ( JJ past ) ( CD five ) ( NNS years ) ) ) ) ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD predicted ) ( NP ( JJ moderate ) ( NN profit ) ( NN growth ) ) ) )

For Akzo 's drug business where profits have shown litle change for the past five years Mr. Bergsma predicted moderate profit growth


( S ( NP-SBJ ( NNP Akzo ) ) ( VP ( VP ( VBZ is ) ( NP-PRD ( NP ( DT the ) ( VBG leading ) ( NN seller ) ) ( PP ( IN of ) ( NP ( JJ birth-control ) ( NNS pills ) ) ) ) ( PP-LOC ( IN in ) ( NP ( NNP Europe ) ) ) ) ( CC but ) ( VP ( VBZ is ) ( ADVP-TMP ( RB still ) ) ( VP ( VBG seeking ) ( NP ( JJ regulatory ) ( NNS approvals ) ( S ( VP ( TO to ) ( VP ( VB enter ) ( NP ( DT that ) ( NN market ) ) ) ) ) ) ( PP-LOC ( IN in ) ( NP ( NP ( DT the ) ( NNP U.S. ) ) ( CC and ) ( NP ( NNP Japan ) ) ) ) ) ) ) )

Akzo is the leading seller of birth-control pills in Europe but is still seeking regulatory approvals to enter that market in the U.S. and Japan


( S ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ-1 ( NNP Akzo ) ) ( VP ( VBZ hopes ) ( S ( VP ( TO to ) ( VP ( VB have ) ( NP ( NN approval ) ( S ( VP ( TO to ) ( VP ( VB sell ) ( NP ( PRP$ its ) ( NNP Marvelon ) ( NN pill ) ) ( PP-LOC ( IN in ) ( NP ( DT the ) ( NNP U.S. ) ) ) ) ) ) ) ( PP-TMP ( IN in ) ( NP ( CD 1992 ) ) ) ) ) ) ) ) ) ) )

Mr. Bergsma said Akzo hopes to have approval to sell its Marvelon pill in the U.S. in 1992


( S ( NP-SBJ ( NNP Akzo ) ) ( ADVP ( RB also ) ) ( VP ( VBZ has ) ( NP ( NP ( JJ small ) ( NNS operations ) ) ( PP-LOC ( IN in ) ( NP ( NP ( JJ diagnostic ) ( NNS tests ) ) ( NP ( JJ generic ) ( NNS drugs ) ) ( CC and ) ( NP ( JJ veterinary ) ( NNS products ) ) ) ) ) ) )

Akzo also has small operations in diagnostic tests generic drugs and veterinary products


( S ( S-TPC-1 ( NP-SBJ ( JJ Veterinary ) ( NNS products ) ) ( VP ( VBP are ) ( VP ( VBG showing ) ( NP ( ADJP ( RB especially ) ( JJ strong ) ) ( NN growth ) ) ) ) ) ( NP-SBJ ( NNP Mr. ) ( NNP Bergsma ) ) ( VP ( VBD said ) ) )

Veterinary products are showing especially strong growth Mr. Bergsma said


( SINV ( PP-LOC-PRD-TPC-1 ( IN Among ) ( NP ( DT the ) ( VBG leading ) ( NNS products ) ) ) ( VP ( VBZ is ) ) ( NP-SBJ ( NP ( DT a ) ( NN flu ) ( NN shot ) ) ( PP ( IN for ) ( NP ( NNS horses ) ) ) ) )

Among the leading products is a flu shot for horses


( S ( NP-SBJ ( NNP Pacific ) ( NNP First ) ( NNP Financial ) ( NNP Corp. ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD signed ) ( NP ( NP ( DT a ) ( JJ non-binding ) ( NN letter ) ) ( PP ( IN of ) ( NP ( NN intent ) ( S ( VP ( TO to ) ( VP ( VB acquire ) ( NP ( NP ( DT the ) ( NN construction ) ( NN lending ) ( NN unit ) ) ( PP ( IN of ) ( NP ( NP ( NNP Old ) ( NNP Stone ) ( NNP Bank ) ) ( PP ( IN of ) ( NP ( NNP California ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Pacific First Financial Corp. said it signed a non-binding letter of intent to acquire the construction lending unit of Old Stone Bank of California


( S ( S-TPC-3 ( S ( NP-SBJ-1 ( NNS Terms ) ) ( VP ( VBP have ) ( RB n't ) ( VP ( VBN been ) ( VP ( VBN finalized ) ) ) ) ) ( CC but ) ( S ( NP-SBJ-2 ( DT the ) ( NN transaction ) ) ( VP ( VBZ is ) ( VP ( VBN expected ) ( S ( VP ( TO to ) ( VP ( VB close ) ( PP-TMP ( IN by ) ( NP ( NN year ) ( NN end ) ) ) ) ) ) ) ) ) ) ( NP-SBJ ( NNP Pacific ) ( NNP First ) ) ( VP ( VBD said ) ) )

Terms have n't been finalized but the transaction is expected to close by year end Pacific First said


( S ( NP-SBJ ( NP ( NNP Old ) ( NNP Stone ) ( POS 's ) ) ( NN construction ) ( NN lending ) ( NN portfolio ) ) ( VP ( VBZ includes ) ( NP ( NP ( QP ( IN about ) ( CD 250 ) ( CD million ) ) ) ( PP ( IN in ) ( NP ( NN real-estate ) ( NNS loans ) ) ) ( ADJP ( JJ outstanding ) ) ) ) )

Old Stone 's construction lending portfolio includes about 250 million in real-estate loans outstanding


( S ( S-TPC-1 ( NP-SBJ ( DT The ) ( NN unit ) ) ( VP ( VBZ has ) ( NP ( NP ( CD 30 ) ( NNS employees ) ) ( PP-LOC ( IN in ) ( NP ( CD four ) ( NNP California ) ( NNS offices ) ) ) ) ) ) ( NP-SBJ ( DT the ) ( NN company ) ) ( VP ( VBD said ) ) )

The unit has 30 employees in four California offices the company said


( S ( NP-SBJ ( NNP Pacific ) ( NNP First ) ) ( VP ( VBZ owns ) ( NP ( NP ( NNP Pacific ) ( NNP First ) ( NNP Federal ) ( NNP Savings ) ( NNPS Banks ) ) ( CC and ) ( NP ( JJ other ) ( JJ financial ) ( NNS services ) ( NNS firms ) ) ) ) )

Pacific First owns Pacific First Federal Savings Banks and other financial services firms


( S ( NP-SBJ ( NNP McDonnell ) ( NNP Douglas ) ( NNP Corp. ) ) ( VP ( VBD received ) ( NP ( NP ( NNS contracts ) ) ( VP ( VBG totaling ) ( NP ( QP ( CD 244.8 ) ( CD million ) ) ) ) ( PP ( IN for ) ( NP ( NP ( NP ( CD 72 ) ( NN F-A-18 ) ( NN aircraft ) ) ( PP ( IN for ) ( NP ( DT the ) ( NNP Navy ) ) ) ) ) ( CC and ) ( NP ( NP ( NN helicopter ) ( JJ spare ) ( NNS parts ) ) ( PP ( IN for ) ( NP ( DT the ) ( NNP Army ) ) ) ) ) ) ) )

McDonnell Douglas Corp. received contracts totaling 244.8 million for 72 F-A-18 aircraft for the Navy and helicopter spare parts for the Army


( S ( NP-SBJ-1 ( NP ( NNP Aerojet ) ( NNP General ) ( NNP Corp. ) ) ( NP ( NP ( DT a ) ( NN unit ) ) ( PP ( IN of ) ( NP ( NNP GenCorp ) ( NNP Inc. ) ) ) ) ) ( VP ( VBD was ) ( VP ( VBN awarded ) ( NP ( NP ( DT a ) ( ADJP ( QP ( CD 40.1 ) ( CD million ) ) ) ( NNP Air ) ( NNP Force ) ( NN contract ) ) ( PP ( IN for ) ( NP ( NNP Minuteman ) ( NN missile ) ( NN rocket ) ( NNS motors ) ) ) ) ) ) )

Aerojet General Corp. a unit of GenCorp Inc. was awarded a 40.1 million Air Force contract for Minuteman missile rocket motors


( S ( NP-SBJ ( NNP Rockwell ) ( NNP International ) ( NNP Corp. ) ) ( VP ( VBD received ) ( NP ( NP ( DT a ) ( ADJP ( QP ( CD 26.7 ) ( CD million ) ) ) ( NNP Navy ) ( NN contract ) ) ( PP ( IN for ) ( NP ( JJ submarine ) ( JJ ballistic ) ( NNS missiles ) ) ) ) ) )

Rockwell International Corp. received a 26.7 million Navy contract for submarine ballistic missiles


( S ( NP-SBJ ( NNP Honeywell ) ( NNP Inc. ) ) ( VP ( VBD got ) ( NP ( NP ( DT a ) ( ADJP ( QP ( CD 22.3 ) ( CD million ) ) ) ( NNP Navy ) ( NN contract ) ) ( PP ( IN for ) ( NP ( NN aircraft ) ( NN missile ) ( VBG warning ) ( NNS sets ) ) ) ) ) )

Honeywell Inc. got a 22.3 million Navy contract for aircraft missile warning sets


( S ( NP-SBJ ( NP ( NNP Beech ) ( NNP Aircraft ) ( NNP Corp. ) ) ( NP ( NP ( DT a ) ( NN unit ) ) ( PP ( IN of ) ( NP ( NNP Raytheon ) ( NNP Co. ) ) ) ) ) ( VP ( VBD received ) ( NP ( NP ( DT an ) ( ADJP ( QP ( CD 11.5 ) ( CD million ) ) ) ( NNP Air ) ( NNP Force ) ( NN contract ) ) ( PP ( IN for ) ( NP ( NN C-12 ) ( NN aircraft ) ( NN support ) ) ) ) ) )

Beech Aircraft Corp. a unit of Raytheon Co. received an 11.5 million Air Force contract for C-12 aircraft support


( S ( NP-SBJ ( NP ( NNP Crossland ) ( NNPS Savings ) ( NNP Bank ) ( POS 's ) ) ( NN stock ) ) ( VP ( VBD plummeted ) ( SBAR-TMP ( IN after ) ( S ( NP-SBJ ( NN management ) ) ( VP ( VBD recommended ) ( NP ( NP ( DT a ) ( NN suspension ) ) ( PP ( IN of ) ( NP ( NP ( NN dividend ) ( NNS payments ) ) ( PP ( IN on ) ( NP ( PDT both ) ( PRP$ its ) ( ADJP ( JJ common ) ( CC and ) ( JJ preferred ) ) ( NN stock ) ) ) ) ) ) ( SBAR-PRP ( IN because ) ( S ( NP-SBJ ( NNP Crossland ) ) ( VP ( MD may ) ( RB not ) ( VP ( VB meet ) ( NP ( NP ( DT the ) ( JJ new ) ( NN government ) ( NN capital ) ( NNS criteria ) ) ( ADJP ( JJ effective ) ( NP-TMP ( NNP Dec. ) ( CD 7 ) ) ) ) ) ) ) ) ) ) ) ) )

Crossland Savings Bank 's stock plummeted after management recommended a suspension of dividend payments on both its common and preferred stock because Crossland may not meet the new government capital criteria effective Dec. 7


( S ( PP-LOC ( IN In ) ( NP ( JJ composite ) ( NN trading ) ) ) ( PP-LOC ( IN on ) ( NP ( DT the ) ( NNP New ) ( NNP York ) ( NNP Stock ) ( NNP Exchange ) ) ) ( NP-TMP ( NNP Friday ) ) ( NP-SBJ ( NNP Crossland ) ) ( VP ( VBD closed ) ( PP-CLR ( IN at ) ( NP ( NP ( CD 5.25 ) ) ( ADVP ( RB down ) ( NP ( CD 1.875 ) ) ) ) ) ( NP-ADV ( DT a ) ( ADJP ( CD 26 ) ( NN % ) ) ( NN decline ) ) ) )

In composite trading on the New York Stock Exchange Friday Crossland closed at 5.25 down 1.875 a 26 % decline


( S ( NP-SBJ ( DT A ) ( NN spokesman ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( DT the ) ( NNS savings ) ( NN bank ) ) ( VP ( MD may ) ( RB not ) ( VP ( VB qualify ) ( PP-CLR ( IN for ) ( NP ( DT the ) ( NN capital ) ( NNS requirements ) ) ) ( SBAR-PRP ( IN because ) ( S ( PP-LOC ( IN under ) ( NP ( DT the ) ( VBN proposed ) ( NNS guidelines ) ) ) ( NP-SBJ ( NP ( PRP$ its ) ( QP ( CD 380 ) ( CD million ) ) ) ( PP ( IN of ) ( NP ( VBN preferred ) ( NN stock ) ) ) ) ( VP ( VBZ does ) ( RB n't ) ( VP ( VB meet ) ( NP ( NP ( DT the ) ( NN core ) ( NN capital ) ( NNS criteria ) ) ( VP ( VBN outlined ) ( PP-LOC ( IN under ) ( NP ( NP ( DT the ) ( JJ new ) ( NNP Financial ) ( NNPS Institutions ) ( NNP Reform ) ( NNP Recovery ) ( CC and ) ( NNP Enforcement ) ( NNP Act ) ) ( PP ( IN of ) ( NP ( CD 1989 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

A spokesman said the savings bank may not qualify for the capital requirements because under the proposed guidelines its 380 million of preferred stock does n't meet the core capital criteria outlined under the new Financial Institutions Reform Recovery and Enforcement Act of 1989


( S ( NP-SBJ ( PRP He ) ) ( VP ( VBD added ) ( SBAR ( IN that ) ( S ( NP-SBJ ( NP-SBJ-1 ( JJ final ) ( NNS guidelines ) ) ( VP ( TO to ) ( VP ( VB be ) ( VP ( VBN published ) ( PP-TMP ( IN in ) ( NP ( JJ early ) ( NNP November ) ) ) ) ) ) ) ( VP ( MD will ) ( VP ( VB determine ) ( SBAR ( IN whether ) ( S ( NP-SBJ ( DT the ) ( NN bank ) ) ( VP ( VBZ is ) ( PP-PRD ( IN in ) ( NP ( NN compliance ) ) ) ) ) ) ) ) ) ) ) )

He added that final guidelines to be published in early November will determine whether the bank is in compliance


( S ( NP-SBJ ( NNP Crossland ) ) ( VP ( VBD said ) ( SBAR ( S ( NP-SBJ ( PRP it ) ) ( VP ( VBD retained ) ( NP ( NP ( CD three ) ( NN investment ) ( NNS bankers ) ) ( SBAR ( S ( VP ( TO to ) ( VP ( VB assist ) ( NP ( PRP it ) ) ( PP-LOC ( IN in ) ( S-NOM ( VP ( VBG developing ) ( CC and ) ( VBG implementing ) ( NP ( DT a ) ( JJ financial ) ( NN restructuring ) ( NN plan ) ) ) ) ) ) ) ) ) ) ) ) ) ) )

Crossland said it retained three investment bankers to assist it in developing and implementing a financial restructuring plan


( S ( NP-SBJ ( PRP It ) ) ( VP ( MD would ) ( RB n't ) ( VP ( VB identify ) ( NP ( DT the ) ( NNS bankers ) ) ) ) )

It would n't identify the bankers


( S ( ADVP ( RB Additionally ) ) ( NP-SBJ ( NNP Crossland ) ) ( VP ( VBD reported ) ( NP ( NP ( DT a ) ( NN third-quarter ) ( NN loss ) ) ( PP ( IN of ) ( NP ( NP ( NP ( QP ( CD 175.5 ) ( CD million ) ) ) ( CC or ) ( NP ( NP ( CD 13.44 ) ) ( NP-ADV ( DT a ) ( NN share ) ) ) ) ( PP ( VBN compared ) ( PP ( IN with ) ( NP ( NP ( JJ net ) ( NN income ) ) ( PP ( IN of ) ( NP ( NP ( QP ( CD 27.1 ) ( CD million ) ) ) ( CC or ) ( NP ( NP ( CD 1.16 ) ) ( NP-ADV ( DT a ) ( NN share ) ) ) ) ) ( ADVP-TMP ( NP ( DT a ) ( NN year ) ) ( IN ago ) ) ) ) ) ) ) ) ) )

Additionally Crossland reported a third-quarter loss of 175.5 million or 13.44 a share compared with net income of 27.1 million or 1.16 a share a year ago


( S ( NP-SBJ ( NP ( DT A ) ( JJ major ) ( NN factor ) ) ( PP ( IN in ) ( NP ( DT the ) ( NN third-quarter ) ( NN loss ) ) ) ) ( VP ( VBD was ) ( NP-PRD ( NP ( DT the ) ( NN write-down ) ) ( PP ( IN of ) ( NP ( NP ( QP ( CD 143.6 ) ( CD million ) ) ) ( PP ( IN of ) ( NP ( NN goodwill ) ) ) ) ) ) ) )

A major factor in the third-quarter loss was the write-down of 143.6 million of goodwill


( S ( NP-SBJ ( DT The ) ( NN spokesman ) ) ( VP ( VBD said ) ( SBAR ( IN that ) ( S ( NP-SBJ ( DT the ) ( VBN proposed ) ( NNS guidelines ) ) ( VP ( VBD caused ) ( S ( NP-SBJ ( NNP Crossland ) ) ( VP ( VP ( TO to ) ( VP ( VB revise ) ( NP ( PRP$ its ) ( NN business ) ( NNS objectives ) ) ) ) ( CC and ) ( VP ( ADVP ( RB consequently ) ) ( TO to ) ( VP ( VB write ) ( PRT ( RP down ) ) ( NP ( NP ( DT the ) ( NN asset ) ( NN value ) ) ( PP ( IN of ) ( NP ( DT some ) ( JJ previous ) ( NNS acquisitions ) ) ) ) ) ) ) ) ) ) ) ) )

The spokesman said that the proposed guidelines caused Crossland to revise its business objectives and consequently to write down the asset value of some previous acquisitions


( S ( NP-SBJ ( NNP Crossland ) ) ( VP ( VBD recorded ) ( NP ( NP ( DT an ) ( JJ additional ) ( QP ( CD 20 ) ( CD million ) ) ) ( PP ( IN in ) ( NP ( NN loan ) ( NN loss ) ( NNS reserves ) ) ) ) ( PP-TMP ( IN in ) ( NP ( DT the ) ( JJ third ) ( NN quarter ) ) ) ) )

Crossland recorded an additional 20 million in loan loss reserves in the third quarter


( S ( NP-SBJ ( NP ( JJ Net ) ( NN interest ) ( NN income ) ) ( PP ( IN for ) ( NP ( DT the ) ( JJ third ) ( NN quarter ) ) ) ) ( VP ( VBD declined ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 35.6 ) ( CD million ) ) ) ) ( PP-DIR ( IN from ) ( NP ( QP ( CD 70.1 ) ( CD million ) ) ) ( ADVP-TMP ( NP ( DT a ) ( NN year ) ) ( IN ago ) ) ) ) )

Net interest income for the third quarter declined to 35.6 million from 70.1 million a year ago


( S ( ADVP ( RB However ) ) ( NP-SBJ ( JJ non-interest ) ( NN income ) ) ( VP ( VBD rose ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 23.5 ) ( CD million ) ) ) ) ( PP-DIR ( IN from ) ( NP ( QP ( CD 22 ) ( CD million ) ) ) ) ) )

However non-interest income rose to 23.5 million from 22 million


( S ( NP-SBJ ( NN Third-quarter ) ( NN loan ) ( NNS originations ) ) ( VP ( VBD dropped ) ( ADVP-MNR ( RB sharply ) ) ( PP-DIR ( TO to ) ( NP ( QP ( CD 663 ) ( CD million ) ) ) ) ( PP-DIR ( IN from ) ( NP ( QP ( CD 1 ) ( CD billion ) ) ) ( ADVP-TMP ( NP ( DT a ) ( NN year ) ) ( IN ago ) ) ) ) )

Third-quarter loan originations dropped sharply to 663 million from 1 billion a year ago


( S ( NP-SBJ ( NP ( NNP Standard ) ( CC & ) ( NNP Poor ) ( POS 's ) ) ( NNP Corp. ) ) ( VP ( VP ( VBD lowered ) ( NP ( NP ( DT the ) ( NN rating ) ) ( PP ( IN on ) ( NP ( NP ( NNP Crossland ) ( POS 's ) ) ( VBN preferred ) ( NN stock ) ) ) ) ( PP-DIR ( TO to ) ( NP ( NN double-C ) ) ) ( PP-DIR ( IN from ) ( NP ( NN single-B-minus ) ) ) ) ( CC and ) ( VP ( VBD placed ) ( NP ( PRP it ) ) ( PP-CLR ( IN on ) ( NP ( NNP CreditWatch ) ) ) ( PP ( IN for ) ( NP ( JJ possible ) ( JJ further ) ( NN downgrade ) ) ) ) ) )

Standard & Poor 's Corp. lowered the rating on Crossland 's preferred stock to double-C from single-B-minus and placed it on CreditWatch for possible further downgrade


( S ( NP-SBJ ( PRP It ) ) ( ADVP ( RB also ) ) ( VP ( VBD placed ) ( PP-CLR ( IN on ) ( NP ( NNP CreditWatch ) ) ) ( PP-PRP ( IN for ) ( NP ( JJ possible ) ( NN downgrade ) ) ) ( NP ( NP ( JJ other ) ( NNS securities ) ) ( PP ( VBG including ) ( NP ( NP ( NP ( DT the ) ( NN double-B-minus\/B ) ( NN rating ) ) ( PP ( IN of ) ( NP ( NP ( NP ( NNP Crossland ) ( POS 's ) ) ( NNS certificates ) ) ( PP ( IN of ) ( NP ( NN deposit ) ) ) ) ) ) ( CC and ) ( NP ( NP ( DT the ) ( NN single-B ) ( NN rating ) ) ( PP ( IN of ) ( NP ( PRP$ its ) ( JJ senior ) ( VBN subordinated ) ( NN capital ) ( NNS notes ) ) ) ) ) ) ) ) )

It also placed on CreditWatch for possible downgrade other securities including the double-B-minus\/B rating of Crossland 's certificates of deposit and the single-B rating of its senior subordinated capital notes


( S ( NP-SBJ-1 ( NP ( QP ( IN About ) ( CD 518 ) ( CD million ) ) ) ( PP ( IN of ) ( NP ( NN debt ) ) ) ) ( VP ( VBZ is ) ( VP ( VBN affected ) ) ) )

About 518 million of debt is affected


( S ( NP-SBJ-1 ( NP ( NNP Lawrence ) ( NNP M. ) ( NNP Gressette ) ( NNP Jr. ) ) ( NP ( NN president ) ) ) ( VP ( VBD was ) ( VP ( VBN elected ) ( PP-CLR ( TO to ) ( NP ( NP ( DT the ) ( JJ additional ) ( NNS posts ) ) ( PP ( IN of ) ( NP ( NP ( NP ( NN chairman ) ) ) ( CC and ) ( NP ( NP ( NN chief ) ( JJ executive ) ( NN officer ) ) ) ( PP-2 ( IN of ) ( NP ( DT this ) ( NN utility ) ( NN holding ) ( NN company ) ) ) ) ) ) ) ( ADJP-ADV ( JJ effective ) ( NP-TMP ( NP ( NNP Feb. ) ( CD 1 ) ) ( NP ( CD 1990 ) ) ) ) ) ) )

Lawrence M. Gressette Jr. president was elected to the additional posts of chairman and chief executive officer of this utility holding company effective Feb. 1 1990