Nightly Business Report

This report is brought to you by Pacific Telesis Group, including Pacific Bell and Copper. The ITC will recommend the course of action to the President on June 27th. We tend to think of corporations as faceless, sometimes, in sensitive institutions that are most concerned with the bottom line. But such a picture doesn't do justice to the entire business of America or in particular to Hallmark Cards, which is headquartered in Kansas City. Douglas Rutherford of our Wichita Bureau reports that the company does much more than extend greetings to its employees and to the communities in which they work. Hallmark started in 1910 when founder JC Hall moved to Kansas City from Nebraska and began a business selling postcards, Christmas cards, and Valentine's. 75 years later, Hallmark is a one and a half billion dollar a year international operation. The company manufactures greeting cards under the Hallmark and ambassador brand names and offers an array of other products, which include gift wrap, candles, party goods, and jigsaw puzzles.

Numerous benefits, which of course come along with being employed by such a large and stable and successful companies as Hallmark. Some of the major benefits offered to employees include use of the Employee Fitness Center, a profit-sharing plan, one-third of the company's own by employees, a thrift plan, assistance in adopting children, interest-free loans for emergencies, college tuition loans, and the company does not believe in layoffs. According to Robert Levering, one of the authors of the 100 best companies to work for America, Hallmark is not only one of the 10 best, but one of the 13 best for women employees. We feel that it's important in order for those employees to effectively work at the company's objectives. And so what we get is not only a place that's fun to work, but an effective and successful company.

In addition to caring for its employees, Hallmark donates 2% of its pre-tax income to charities primarily in the communities where plants and offices are located. In Kansas City, Hallmark has been involved in everything from revitalizing the Midtown area with its Crown Center Complex, which houses the corporate headquarters, to weatherizing homes in the area. It's easy for a wealthy company or a wealthy person to give money away. If he has it to give, he simply signs a check. Thank you very much. There you are. But the real test, I think, of the integrity and purpose of people that we find at Hallmark is the devotion of their own time to things. They're involved in everything from cultural activities, to social activities, to education activities. And we feel that that's the place of a company they need to be a driving force in their communities. I'm Douglas Rutherford for the Nightly Business Report. Well, I'm afraid on Wall Street, a sympathy card was in order for the bulls today as we review these closing averages on the downedestual centers in Ford Escorts and Mercury links.

The competitors' plan was closed, and Holley got a bigger market share. In Water Valley, Mississippi, Bob Friedman for the Nightly Business Report. We often hear about small towns dying out as they lose essential services such as air and bus transportation. Well, one tiny town in the heartland of America, Yoder Kansas, recently faced a similar danger. The Douglas Rutherford of our Wichita Bureau reports that the town's residents pull together to keep one of the town's central institutions. Water Kansas is an unincorporated community with a population of less than 100 members of the Amish sect who live without electricity, automobiles, and most of the modern conveniences farm the land around Yoder. The town serves as their primary source of supply. The farmer's state bank of Yoder has served Yomish and other nearby residents for close to 75 years. But last year, the bank's future was uncertain. The owners wanted to move the charter to Hutchinson, a nearby city, and just leave a branch in Yoder.

Of course, the fear of the people was that once our main bank was new to town, that they would forget about the local committee and close down the branch then later on. The community united last year to find a way to keep the bank in Yoder. Finally, a group of nine people, including the bank president, borrowed the money to purchase it. A local gas station owner Paul Troyer now also owns part of the bank. In the communities surrounding this area, where the banks have closed up in the small towns, it wasn't just a matter of a few years before there wasn't hardly anything left in the towns. It was practically dried up, and so of course, we were worried that if the bank left, a lot of the businesses would be leaving, and like eight or ten years, probably wouldn't have the town left here anymore. The Farmer State Bank has 1,500 individual accounts and assets of $12 million. Loan Demand lends a high 72% of the total deposits, and the customers appreciate the personalized

service. Especially the merchants in Yoder are dependent on the bank and the honest people, I think, appreciate the bank here. They do go to Hutchinson, and yet it's inconvenient for them to get there by means they're horse and buggy. They do come to Yoder, and it's kind of the center of the community. The Farmer State Bank is once again secure in Yoder, but officials aren't resting on their laurels. Even though those officials see a bright future, they say the Farmer State Bank will become more aggressive and competitive to attract customers. In Yoder, Kansas, this is Douglas Rutherford for the Nightly Business Report. Coming up, Dan Lundberg talks about life after the death of full service stations. In the price of heating their homes. The Bill Walgreens' support has been passed by the House Energy and Commerce Committee, but it's still in the House Rules Committee, and it's questionable whether Congress will

be able to act on it before its current term expires. To life forth means parades, picnics, music, and of course fireworks. Douglas Rutherford of our Wichita Bureau reports the holiday has helped light up the nation's fireworks industry which was once sputtering. Fireworks are an integral part of any 4th of July celebration, but according to the American Pirate Technical Association, the fireworks industry was starting to die in the late 60s and early 70s, but all that began to change in 1976. Since the bicentennial in 1976, both the retail cell, that is the Class C fireworks and the display business have increased greatly, both seem to be doing rather well. The bicentennial struck a patriotic vein in the hearts of most Americans, and now everyone wants to celebrate and one way or the other. If they can't get their own, they want someone to come and put on the display form. In Wichita and many other areas of the country, organized celebrations are the only way people can enjoy fireworks in the 4th.

According to the National Fire Protection Association, 14 states ban the use of common fireworks, which are those used by the public, and 18 states permit only limited use. In Kansas, it's determined on a local basis. In 1979, Wichita's Sedgwick County banned individual use of fireworks after receiving a record 125 alarms 1 4th of July. 78 was a disastrous year in the respect that we had a county bridge burned that cost the county approximately $240,000 loss. We had a couple of barns burned clear to the ground. We had one machine involved in an accident, but two firefighters in the hospital and totally destroyed one machine. Just numerous things this nature. Industry officials say fireworks are safer now, and business is better since 1976, when the government stepped in to regulate the product. And with help not only from the Consumer Public Safety Commission, but also the industry,

they got together and saw the problems that needed to be solved. And they really, really worked together to make fireworks safer and make sure that they were packaged better and that the overall product was a device that the average American could use in their backyard. The American Pyrotechnic Association estimates that $150 million worth of fireworks will be sold nationwide this year. That's almost double from 1976. However, fewer fireworks are being manufactured in this country now. China is our main supplier, accounting for $40 million in 1983 exports. Now all facts and figures aside, the 4th of July, this wouldn't be the same without a good old-fashioned fireworks display. In which stock hands is this is Douglas Rutherford for the Nightly Business Report. Incidentally, since the financial markets will be closed tomorrow for the July 4th holiday, we will present a special edition of the Nightly Business Report focusing on the effects of drugs in the workplace.

Coming up, $1,000 to $5,000. Patterson is accused of approving $100 million in bad loans and of lying at an attempt to cover up the bank's dangerous lending blacknesses. More indictments of other Penn Square officials are expected. Across the Midwest, this is the final week of the summer wheat harvest. Many large corporate-owned farms have already put their grain into silos with their own equipment. Some independent farms are going to outside contractors to help them with their harvesting efforts. Douglas Rutherford of our Wichita Bureau reports on custom cutters who bring in wheat for the small farmer. A total of 11 million acres of wheat will be harvested this year in Kansas. This will account for 20 percent of the nation's wheat and also amount to 3 percent of the world's wheat crop. The Kansas Crop and livestock recording service estimates that between a half to two-thirds of this wheat will be harvested by custom cutters. Custom cutters own their own equipment and farmers hire them to cut the wheat. Waldo Fraser of Inman, Kansas has been custom cutting for 29 years and his entire family

is involved in the operation. Fraser, his sons, and their wives will take their seven combines and eight trucks on the wheat harvest from Texas on north to South Dakota. The machine needs to cut about 1,200 acres per machine before it will break even, just to own a machine and if a farmer doesn't have that kind of acreage to cut and have his crops scattered out far enough to where he can cut that kind of acreage, my pants will don't figure it and therefore it's a savings to him for to hire me. The Fraser family combines cost $70,000 each and the trucks cost $30,000. Fraser estimates that interest alone for the equipment amounts to $64 a day. Two of the combines are cutting 500 acres for farmer curly new film, which will cost him around $10,000. Well, the weather is one of the main issues. He comes in here with a bunch of machines and wipes me out in a day or two where I would

like and handle with one machine, I'd have to hire another guy for a run the truck, I'd have to buy another truck and all in all I think I'm going to head right out this way. The two teenagers in the family lead quite a different summer vacation. 17-year-old Dale drives the combine and 14-year-old Bill drives the truck. Well, we usually get up about seven o'clock in the morning and then come out and service machines and I usually help clean filters and stuff with the machines and then we cut wheat and I run the sort of run the business while my dad's at the elevator and that's what basically goes on about all day. As the Fraser family and other custom cutters move their combines to state's north of Kansas, statistics on this year's state wheat crop are pouring in. According to the latest estimates from the Kansas crop and livestock reporting service, the wheat crop should be the fourth-largest and second-highest yield on record. In central Kansas, this is Douglas Rutherford for the Nightly Business Report.

Kroger at the nation's second largest supermarket chain said today will close 70 food stores of Michigan. It comes first. Now, unlike Mr. Reagan, he has come up with a specific program to cut the deficit in half. But even that's not enough. As president, Mondale would have to cut still more. I'm Walter Heller. And now it's night's last word, here's Bell. Don't look now, but there may be a bright spot in the future of one segment of the outdoor advertising industry. Until recently, the outlook was dim for those who put a company's name up in two blights, but Douglas Rutherford of our Wichita Bureau reports that their handy work has taken on a new glow. Neon signs have been illuminating American businesses ever since the 1920s when a Los Angeles car dealer went to Paris and purchased two signs for his packer dealership. In the 1940s, nearly every sign shop in Wichita employed Neon to benders. But when plastic became the rage for signs in the 50s and 60s, most of the two benders had to find other occupations.

Dale Braderick was one to bender who was lucky enough at that time to keep his job. But after a while, it got just down to where the world never's Neon. And it really required four-time Neon man. So that's when I decided everyone bends from herself. It takes years of practice to become an expert at bending the grass tubes into all the varied shapes. Rudy Stern, author of the book, Let There Be Neon, estimates that nationwide there are about 150 old-time two-benders still practicing the craft. Neon is beginning to be thought of as a primary lighting element and because of the extreme efficiency of the tubes and the fact that it uses very little electricity and provides a great deal of light and the fact that it can be sculpted and shaved as a tremendous future. The wholesale Neon company makes Neon signs for a wide variety of clientele like other sign companies, individuals, and businesses that are now rediscovering Neon. In order to keep up with the man, Braderick hired one other two-bender to help him the shop.

Even so, overtime is still a necessity. While the design and use of Neon is constantly evolving, the technique for making the signs hasn't changed much over the years, and if the Neon resurgence continues, then there will be a bright future for a new generation of Neon craftsmen. In which talk, Kansas, this is Douglas Mutherford for the Nightleague Business Report. And that is the Nightleague Business Report for Wednesday, July 25th. Brad, for Linda, for Bill, for all of them. For Bill by 8%, while the number of hours put in by American workers increased by 4.6%. The American automobile industry has improved productivity at its clients by automating sections of its assembly lines. And in response to growing foreign competition in other fields, other US businesses are also picking up on this technology. In fact, Douglas Rutherford of our Wichita Bureau reports, one company is actually using robots to make a product that's manually operated. Wichita-based Harvard Trucks is the largest manufacturer of hand trucks in the country. The company has a network of over 2,000 distributors and sells 150 different kinds of hand trucks for both industrial and consumer use.

The president owner purchased this privately held company in 1981, just in time for the recession. Sales volume dropped in half, and many employees were laid off. At that time, management decided to spend several million dollars to automate the plant and become more competitive in the marketplace. I made the decision in the middle of a recession to further automate the plant. So we brought in robots, and we automated the plant as much as you could automate it. And when the volume began to come back, we regrouped with the staff that we reduced staff. And of course, that was much more profitable to us. Since automating, Harper Trucks has doubled its production of hand trucks with the same number of employees. Woodworkers still need to tend to the robot too, Bender, and the four robot welders. Officials at Harper Trucks say the robot welder operates three times as fast as a human welder.

I think in the larger picture, though, we are going to find workers displaced by robots. At the same time, we're going to find a need for a different kind of worker to program the robots and other automation to maintain them and to do many of the other kinds of activities that need to be done in the factory. According to Dr. Graham, in the history of automation, there are more jobs created than lost. But these jobs require highly skilled training, as a result, the unskilled laborer may get lost in the shuffle. Dangerous and monotonous jobs provide the best application for robots. Virtually any company that manufactures a product might use a robot in its process, the specific applications are really only limited by your imagination and by the ability to come out economically on the application of the robot. Once the automation is set up and in place, it doesn't make any difference whether your robots are operating in Taiwan or Japan or Rich Stalkanzes.

They cost roughly the same. Corporate trucks is currently trying to expand their international markets. Company officials say long-term growth potential depends on being able to compete with cheaper foreign labor. And they believe automation is their key to success. In Rich Stalkanzes, this is Douglas Watt deferred for the Nile Business Report. On Capitol Hill, Ford and General Motors executives today. They're craft or a merger in an effort to increase its traffic. The recent takeover of Getty Oil by Texaco had an impact that extended far beyond Wall Street. The Federal Trade Commission decision allowing the merger to go through also posed a danger to one midwestern town's existence. But Douglas Watt deferred of our Wittetop Bureau reports that elected officials have worked out a way to keep the merger from putting their town out of business. In January, Texaco announced a $10.1 billion merger with Getty Oil.

The Federal Trade Commission originally ordered Texaco to sell the Getty Refinery in Alterado, Kansas. The town's people, as well as politicians, join forces to try and save the refinery. According to Alterado Mayor Ed Blake, the pressure worked. Because the FTC recently reversed his decision, and Texaco will be able to operate the refinery in Alterado. I think from the outset, what they really worried about was what to call a white coat of pipeline from Wyoming and the Denver and that whole midwest area, and their final decree was that if they would divest that, they could keep the refinery. And I think also that it was one of their first decisions on mergers, and they sort of overly cautious. It was overly drawn, and we didn't think from the start that there was much of an antitrust problem as far as that refinery is concerned. So we're very pleased with the outcome. The community was justifiably concerned about the fate of the refinery. The plan has been operating for over 60 years, and is a prime buyer of Kansas crude oil. From its beginnings, Alterado has been an oil town, and the refinery is the largest

employer in this community of 10,500. Loss of the refinery would put more than 1,000 people out of work. I think the payroll that they bring into the community is $18 million. And that's, you know, incalculable to figure it all out, but you figure a payroll turns over seven times in the community. So 18 million times seven is about what that means to the community in a year's time. Texaco has guaranteed to keep the refinery open for at least three years. According to a Texaco press release, the company believes that the Alterado refinery is a valuable and efficient facility, also its configuration and location make it well-suited to fit into the Texaco system. I don't think the three years is significant, except that we want that much of a guarantee. So I look for a long, continuing relationship with Texaco. Officials in Alterado are pleased with the outcome of the issue, and are certain that

their actions influence the FTC decision. The near-loss of the refinery forced the town to take a new look at its future plans, which will now include attracting more business and industry. In Alterado, Kansas, this is Douglas Rutherford for the Nightly Business Report. Coming up, Lester Thurrell says corporate takeover fights at a bad example for the business managers of tomorrow. For the Nightly Business Report. Other general aviation companies, however, are not doing quite as well. Recently, Cessna laid off 400 workers indefinitely, and Beach Aircraft had the same message for 500 other workers. Although aviation may have started in Kitty Hawk, it's experiencing growing pains in Wichita as corresponded Beth Stewart explains. In the 20s and 30s, men such as Clyde Cessna and Walter Beach pioneered an industry which put Wichita on the map, as the self-proclaimed air capital of the world. Over 200,000 airplanes have been built here since those early days. Today Wichita is home to two major general aviation manufacturers, Beach and Cessna.

General aviation includes everything from single engine planes on up to smaller jets. More than 75% of these planes are used for business and commercial purposes, and the remainder for training, personal, and recreational use. However, compared to its heyday in the 70s, general aviation is now in a slump. I got it, it's in a severe depression, and it has been in such a state for the past three years, just to give you an idea. In 1979, the industry shipped something like 18,000 units, and it will be hard pressed to exceed 2,000 units this year, so that has been devastated, an industry which has been quite devastated. Various factors have contributed to the situation. High interest rates, the strong value of the dollar on international markets, high rates of inflation which mean declining personal incomes or declining corporate profits, and then also you have to look at the trade climate, trade restrictions, and some collapse of

markets on the international scene because of those trade restrictions. Normally, exports account for 25% to 30% of total general aviation production. The strength of the dollar, combined with the state of the world economy, and increased foreign competition have helped bring that figure down to 14% this year. Officials at both Cessna and Beach have refused to talk to the Nightly Business Report. According to the General Aviation Manufacturers Association, Beach's July year-to-date shipments are about even with those of the same period last year, and billings are up slightly. July year-to-date shipments for Cessna are much lower than last year's, but billings have increased. Officials at Cessna attributed the gain to increased sales of its citation business jets, a high ticket item. Nationwide, sales of the turbo jets are up 22.4% this year. This is the only type of general aviation aircraft that has shown an increase. Most resilient part of that market turns out to be the more sophisticated aircraft that

appeals to either the higher income individual or the corporate sector. And with corporate profits increasing now, the perception of an aircraft as an investment with a rate of return still entices individuals to purchase those aircraft when it's economically viable. The one segment of General Aviation hardest hit has been the single engine aircraft, used primarily for training, recreational, and personal use. A new airplane has got a list on it with, I mean, loaded out with everything that you would want, well, very well equipped, of somewhere around $180,000. And you can buy an 80 or an 81 turbo 210, comparably equipped for somewhere close to $100,000 or, you know, plus or minus a few. So there is quite a difference between a good, used, older aircraft and a brand new airplane. But again, there are many advantages and disadvantages, warranty aspects, and again, the investment tax credits and so forth, but people take into consideration.

To promote sales, Sesna has offered rebates and beach has given price reductions on some models. Both companies are promoting their flight schools to get more people interested in becoming pilots. Other approaches involve the development of new technologies to make lighter, faster, more efficient airplanes, and the expansion of markets to include military and commuter aircraft. In Wichita, Kansas, this is Beth Stewart for the Nightly Business Report. And to... 0.2 and 4.3 percent. The state of Kansas is well known for its wheat and other agricultural products. But less well known is the fact that Kansas has more movie theaters per person than any other state of the nation. While those movie houses no longer have a monopoly on the motion picture business, Douglas Rutherford of our Wichita Bureau reports that attendance at the various theaters is holding up. In recent years, motion picture theaters have been receiving a lot of competition, according to the Electronic Industries Association, about 15 percent of American households have video

cassette recorders. This year, consumers will purchase 7 million recorders, 18.5 million pre-recorded cassettes, and 95 million blank tapes. The consumer retail market for home video will total about $6 billion for 1984, and more increases are expected. Both are on the increase. We set a lot more blank tape than we used to, and I'm sure that this is for home recording purposes, both for home movies, as well as duplicating some of the copyrighted materials at home. The movie rentals are increasing, purchasing or that is our selling of video cassettes which is increasing tremendously. Even with unprecedented competition from home video, box office receipts for movies are the record high this year, according to projections by Variety's financial expert Art Murphy, more than $4 billion worth of movie tickets will be sold in 1984. What seems to have happened is my personal evaluation is that people seeing uncut films in their home on a pay TV service run at cassette are suddenly remembering the thrill of

saying uncut films in a theater, and there seems to be a slight return to theaters of an audience that over age 30 tends to drop off. To encourage more business, some theater chains in Wichita and other parts of the country have gone beyond the traditional bargain mat maze to offer discount movie tickets. The Commonwealth Theater chain in Wichita says the discount tickets and blocks of $100 for $2.50 each, a savings of $1.50. The main buyers are large businesses which resale the tickets to their employees and financial institutions which offer the tickets to customers. Well, I think psychologically speaking, if you've already spent the money for a ticket, if you've run into your employee club and you've seen all like a bar tickets for $2.50 and so I better buy some to have them and then you see a movie listed in one of our ads and you think, well, I've already got the tickets, why not go? It's our feeling that you're more likely to come to the theater if you've already bought a ticket and I think there's no doubt that that is what happens and that's why we mainly

do it. It's expanding every year. Last year we saw 45,000 tickets and by word of mouth, we get customers and lots of customers particularly come to midcanzas for movie theater tickets. Movie attendance has increased 15% over the past few years. One reason is that more movies are being made and that trend is being fueled by the growth of the home video market, which provides Hollywood with increasing revenues from video rights. In Wichita, Kansas, this is Douglas Rutherford for the Nightly Business Report. Well, now that we've seen everything is up to date in Kansas City, let's have an instant replay of the dow, I'll be- I'm William Norman. Unfortunately, due to some satellite technical problems, we seem to have some gremlins up there out in space, we are not able to bring you tonight our scheduled interview with T-Boom Pickens, the chairman of Mesa Petroleum. If you think of Midwest farmers in their crops, you're likely to think of wheat and corn. But a new crop is popping up in those fields, sunflowers, although it's still a minor crop

with a history of under 10 years, Douglas Rutherford, of our Wichita Bureau reports that farmers are increasingly attracted by its export possibilities. Commercial grown sunflowers are primarily used to make cooking oil with a high protein animal feed as a byproduct. Only 5% of the U.S. production is for the edible sunflower. The sunflower is a minor crop compared to wheat and corn, but in terms of export, the figures have increased dramatically in recent years. In 1971, the U.S. sunflower seed accounted for 2% of all world exports as compared to 60% this year. Mexico is our largest customer importing 35% of the crop in the form of seed. Also in 1971, there were 200,000 acres of sunflowers planted as compared to 4 million acres across the country in 1984. When you consider both the seed that's exported, plus the refined oil that's exported, you're talking about a crop that 90% of the production ends up in the export market. So we must look to that.

And when our dollar goes up, our chance of selling it to our neighbors goes down. Sunflowers are not a government-supported crop. Its price fluctuates in relationship to soy beans on the world market. Next year, the price out of Duluth ranged between $10 to $20 per 100 pounds. This year, the price is stabilized around $12. North and South Dakota and Minnesota grow much larger sunflower crops than Kansas, but sunflowers didn't start here as a cash crop until 1976. Since then, the amount of acreage has been steadily increasing up to 58,000 acres this year. According to the National Sunflower Association, farmers will earn $500 million in 1984 on the total sunflower crop. We think right now that we'll increase it. It looks like something we can grow on a limited amount of water. And I like to grow on, they're an easy crop to grow. The chemicals work real well on them, and we just think they're going to be fine crop for our area.

Businesses serving sunflower production have grown as the number of acres planted in Kansas have continued to increase. This small sunflower oil processing plant in Scott City recently reached full production. There has been quite an interest, and it's getting bigger, and the area is getting larger. And of course, this furnishes a pretty good market for it. Along with that, you have some other competitors out here, and they're baiting for those sunflowers. So we're baiting as much as we can give for them and still keep our doors in. According to the National Sunflower Association, this country could easily use another million tons of sunflower production each year. Sunflower production may indirectly benefit from federal government policies, because if the target price for wheat and other major crops is lowered in the upcoming 1985 farm bill, then farmers may start looking for more profitable alternative crops. In Kansas, this is Douglas Rutherford for the Nightly Business Report. Recapping tonight's top story, Secretary of State Schultz says things are looking up for

Caribbean and Central American nations, thanks to the Reagan administration. And by other factors as well, including low commodity prices and high interest rates. Well, that reason farmers are apprehensive about expected cuts in federal farm subsidies, including price supports for their crops. Beth Stewart of our Wichita Bureau reports. Doing Carmichael and his three sons, Farm 1225 Acres, devoted to wheat, Milo, and soybean production, along with a small dairy operation. Chosen as the Sedgwick County Farm family of the year, the Carmichael have participated in various government farm programs in the past. Carmichael depends on government price supports in his operation. Now, one administration proposal calls for lowering the target price for crops such as wheat. When the target price is higher than the market price for a given crop, the government pays the farmer the difference. Well, that's going to hurt quite a bit. Our wheat price right now is low that there isn't any way you can make any money planning wheat.

And if they lower the price support, well, it's definitely going to affect the market. A number of factors have hurt farmers, including low prices for crops, high interest rates, and a weak export market due to a strong dollar overseas. One part of President Reagan's proposed budget plan calls for lowering the amount a farmer can receive in government crop support programs, and limiting participation in the government loan program for previously there had been no limit. I think there needs to be a limit, but I think the levels that this has been set at is a disguised perhaps an attempt to simply kill the bills because or kill the farm programs, because farmers will not be able to participate and set aside enough acres to have any effect on this excess supplies we have now. With the proposed cutbacks, the administration is trying to move toward a market-oriented agricultural economy less dependent on government support. But farm officials feel that a less drastic system of cutbacks is necessary to allow farmers time to readjust their crop planning.

We recognize that the deficit spending is the priority item before any prosperity can come back to agriculture. So as we think of subsidies and think of payments to farmers, if they can be phased out along with a renewal of the economy in this nation, certainly we can go along with that and would look forward to seeing that happen. You have to understand that this administration, when they come into office, they came in with the stated purpose of eradicating all farm programs, subsidy programs, loan programs or whatever. They wonder why I come off the book. So if you want to do that the best way in the world to do it is to manage them as poorly as possible, make them as costly as possible to U.S. Treasury to turn everybody against them. While farmers are the people affected by these proposals, Congress must weigh the pros and cons and come up with a workable farm bill in 1985. But with a push to reduce the federal deficit, the odds are good that the government will

play an increasingly smaller role in agriculture in the future. In Sedgwick, Kansas, this is Beth Stewart from the Knightley Business Report. For the past two years, the nation's hospitals have been in a period of economic transition since Medicare introduced a revised payment system in an attempt to control spiraling healthcare costs. Medicare now reimburses hospitals on a fixed rate for each treatment and some private insurance companies are moving to implement similar payment plans. Beth Stewart of our Wichita Bureau looks at how a large urban hospital and a small rural hospital are adapting to the new situation. According to a 1984 survey of 2,000 hospitals conducted by the American Hospital Association, hospital staff size, patient admissions, occupancy rates, and the average length of stay were all down from 1983. It is a time when as hospitals look for ways to offset that decline in volume that is occurring in the acute inpatient arena for those facilities to look at how they can broaden

their mission and perhaps become more like human services institutions than just a hospital. The 760-bed Wesley Medical Center is in competition with three other hospitals in Wichita. To keep the institution on firm financial footing, Wesley has expanded his outpatient services and other health-related programs such as its wellness center. In a hotly debated move, the United Methodist Church is in the process of selling Wesley Medical Center to the full-profit hospital corporation of America for $280 million. One of the major concerns that we had was being able in the future to have access to capital. And we saw that being eroded under the different reimbursement methodologies, primarily under Medicare. We felt like that we could strengthen that and position ourselves by making this move to sell the assets of Wesley Medical Center to hospital corporation of America. The Edwards County Hospital in Kinsley, Kansas is a 49-bed not-for-profit institution run

by the Lutheran Hospital Association. With two doctors near retirement age, the hospital has thus far been unable to recruit another physician to the town. The administration has adopted an innovative approach to keeping the hospital operating in the black while preserving the jobs of its employees. For instance, when faced with the prospect of having to lay off three part-time employees, they were put to work running a downtown cafe in Bakery. In addition to this venture, the hospital has plans to franchise its weight loss program and start up a laundry service. And what you have to do is to look at each department and not look at it in terms of what they do for the health care institution, but rather in terms of what they can do outside the hospital. And then you look at the individuals as to what the skills they have. A recent survey of health care experts indicates that a lot of changes will occur for hospitals over the next decade.

For example, outpatient revenues should increase, but annual admissions for acute care should decrease. And hospitals with over 200 beds that belong to a system should be in the best position for survival. In Wichita, Kansas, this is Beth Stewart for the Nightly Business Report. Having old corporate records is something most companies don't give a second thought about. But when companies have vital material that must be preserved from the effects of the elements, storage in the proper place is a top priority. Some companies in that situation have found that the best place to salt away those irreplaceable items is a properly and an old salt mine. As Beth Stewart reports from Hutchinson, Kansas. For 25 years, Underground Vaults and Storage has been leasing a 10-acre portion of the Kiri salt mine in Hutchinson, Kansas. Located 54 stories underground, the company stores records for government agencies, hospitals, financial institutions, and corporations. The types of items stored are varied, seismic charts, computer tapes, microfilm, videotape,

and films. So it's highly desirable for something like underground stories. Structurally, it has the strength of approximately the strength of concrete, and it is a rock that's easily mined and lends itself to making vertical walls and under the conditions such as those at Hutchinson, it's a stable rock. Underground Vaults and Storage is the only salt mine in the country used as a storage facility. Its main competition comes from storage businesses using other types of old mines. Company officials say the facility offers safety and a constant environment for record storage. We do all the servicing from receiving to inner filing. We are sending back references on a daily basis to clients all across the country. We do destruction programs once the material has reached its retention. Some GM, a customer for 20 years, stores over 2,000 films with the company.

In fact, the newly released consumer videocassette of Gone with the Wind was made from a fine grain master found here. Another customer is the 10th District Federal Reserve Bank. At the end of each day's business, all of its records are sent to the mine. The bank also maintains a room as an emergency relocation site. Bank employees could run the system from here through teletype links to the rest of the Federal Reserve. Underground Vaults and Storage is currently developing more storage space and plans to double its record storage capacity in the next two years. The company also has plans to expand its operation to include above ground storage facilities. In Hutchinson, Kansas, this is Beth Stewart for the Nightly Business Report. The SEC says is needed to encourage modernization of the telephone industry. Just two weeks ago, the Commerce Department sided with American farmers and found that

Canadian hog producers are being unfairly subsidized by the Canadian government. That ruling sets the stage for possible temporary duties on Canadian hog and pork imports, beginning later this summer. Beth Stewart of our Wichita Bureau has the background on this trade dispute. The National Port Producers Council fought hard to obtain the temporary duty, citing unfair trade advantages to Canadian hog producers because of government subsidies. The Canadian imports had a $940 million negative effect on domestic pork producers last year. I think our industry is being injured. I think that's true. The other real question is, can we prove that they have subsidies that are contributing to this injury to our agricultural industry? If that's the case, then the countervailing duty will stay in place. Now, it's possible that they will rule that it should stay in place. If they rule that way, it will. If they rule that it's inappropriate and should not be kept in place, then it will come off.

According to the National Port Producers Council, in 1984, Canada increased shipments of live hogs into the United States, 195% over the previous year. The trend continues in 1985, with hog shipments almost doubling in the first quarter when compared to the same period last year. Hogs are sold and purchased in units of 100 pounds, referred to as 100 weight. With more imported hogs being available to packers, prices have fallen into the $40 100 weight range. F&R Swine in Dwight, Kansas, produces about 30,000 hogs a year and is losing money with prices at this level. Our cost to production is right at 46 cents to break even. And that is an exact figure that's not something that we're guessing about, and we just have to have more than $46 100 on hogs to break even. Adding to the problem is the strong dollar, which makes the American market attractive not only to Canada, but also to the European economic community, since it receives a higher

price for pork products here. If we take all pork in combination along with the Canadian pork, we could be looking at something very easily in the $5 to $7 100 weight negative influence on domestic producers as a result of imports. According to the National Pork Producers Council, the duties will offset foreign government subsidies and will help slow the rate of import increases but won't make the problem go away. As long as the US dollar remains strong, foreign producers will have the incentive to sell hogs and pork products in this country. In Andale, Kansas, this is Beth Stewart for the Nightly Business Report. More than $3 a barrel would be healthy for the US economy. All our prices are going down, of course, because of an oversupply of product and a lack of demand. And a similar situation is affecting wheat prices. As the Midwestern wheat harvest wraps up, Beth Stewart of our Wichita Bureau reports that this year's crop will be a good one in terms of volume, but she says that may worsen the

financial plight of the nation's farmers. The bumper crop of wheat is pouring into grain elevators across Kansas, the number one wheat producing state. Amid this flow of activity comes the reality of low prices. Kansas wheat prices have slipped to the lowest level of the decade, below $3 a bushel in some areas. We market most of our wheat through cattle, take it directly to the feed yard and unless the price changes dramatically, we'll feed it. It's priced in line with other feed grains right now, so basically that's what we'll be doing with the wheat. The one saving grace for farmers comes from the federal government's wheat program. Most farmers in the state will be eligible to receive over $4 a bushel for wheat and return for islanding one-third of their wheat a-bridge. Setting aside the fields will have little economic impact since there was a tremendous oversupply of wheat, about one and a half billion bushels in storage from previous years.

For those farmers who are participating in the program, direct government payments and the form of deficiency payments will represent about 25 to 30 percent of their total expected income from the crop. The major problem facing US wheat farmers is the loss of their share of world wheat trade. In the 1981-82 trade year, we had 48 percent of world exports, but that amount has decreased to a projected 33 percent this year. We've seen a recovery in economic recovery here in the United States, but I don't believe in our major importing markets such as Brazil, Mexico, Nigeria, the Philippines, Indonesia, Korea, Taiwan, that we've seen the same kind of economic recovery. So, in those countries that are major markets for us, we haven't seen the economic recovery that's necessary to improve per capita incomes and consequently improve their diet so they can buy more of our wheat.

There has also been an increase in worldwide wheat production. Non-US wheat production has increased 21 percent in five years. Adding to our export woes, the value of the dollar against currencies of our major wheat competitors has been going up, making our wheat more expensive for other countries. As the wheat harvest moves northward through the great plains, Congress will be hammering out the details for the 1985 Farm Bill. The administration wants to cut loan rates for wheat and other commodities and move toward a free market policy. But some lawmakers are concerned that such measures will hurt an already shaky farm economy. In central Kansas, this is Beth Stewart for the Nightly Business Report. Well, you'd have been going against the grain today if you were buried. For economic problems in this country. A decline in American agricultural exports is largely responsible for this nation's huge trade deficit, and the resulting drop in farm revenues has also led to a decline

in the value of another farm commodity, farm land. Beth Stewart of our Wichita Bureau reports. Since peaking in 1981, the value of farm land has been continually dropping. According to Federal Reserve statistics, in 1984, the price of non-irrigated land in Kansas fell 20 percent. Irrigated land lost 15 percent, and ranch land dropped 17 percent. In neighboring Nebraska, non-irrigated land fell 21 percent. Irrigated land dropped 24 percent, and ranch land lost 25 percent of its value. Other Midwestern states experienced similar declines. Land prices dropped the average of 22 percent in Iowa, and 16 percent in Illinois. Probably there's more variation in what land will sell for if comparable quality right now than there has been. I know right here in our own area there is, we know of land that has sold for $1,500 an acre within the last year. We know of land of similar productive ability that's only brought a thousand.

So there's a lot of variation right in certain areas, but the difference is whether there's competition or whether there is. In the 1970s, the farm economy was strong, and land values increased. Currently land prices are off the most in states where values took the biggest gains in the 70s, and in states where the farm economy was hardest hit. Many farmers who purchased land at the high prices now find they have less equity in their land to borrow money against to support their operations. Now we've seen a kind of a double whammy in agriculture, an income shortfall, and those farmers who are heavily indebted, and that's roughly a third of them, are finding that if they don't generate enough income in a given year, then they really don't have any borrowing power left in their real estate either. And so it's a real crunch for those farmers who are heavily indebt, who now find that they need to sell, and in many cases wish they had sold part of that land back when it would have brought a higher price. Farmland has declined in value because of high interest rates and low prices for crops.

These factors have in turn created a surplus of land on the market. There's a considerable amount of farmland available, and there's more available every month. And the fact that there is so much land available makes it a buyer's market. And so for one person who really needs to sell, to sell his farm he has to reduce the price a little bit less than the other area farms to get it sold. And that all adds in to the declining prices. In order for farmland prices to rise, economists say that interest rates must drop, or crop prices must improve. Meanwhile many prospective buyers are speculating and waiting for further declines in the market before making any purchases. In Wichita, Kansas, this is Beth Stewart for the Nightly Business Report. Tomorrow night, Beth will take a look at another cornerstone of rural life that's feeling the effect of the farm crisis, the nation's agricultural banks. The combination of bumper crops and lower demand for exports has led to the worst financial problems in years for the nation's farmers.

Those problems are being shared by one of the farmers' main sources of funds agricultural banks. Of the 69 bank failures so far this year, 38 involved agricultural banks. And the Federal Deposit Insurance Corporation is projecting more than 100 agricultural bank failures in 1985, that's a new record. In the concluding part of her look at the fallout of the current farm crisis, Beth Stewart of our Wichita Bureau reports why so many agricultural banks are in trouble. In the 1970s, banks loaned a great deal of money so farmers could expand their operations and buy equipment. Now the heavily leveraged farmers are having trouble paying back the debt, and banks are in trouble when they have more problem loans than capital. Land values, the principal collateral for agriculture loans, have been steadily declining. With a depressed farm economy and few buyers for farmland, banks are reluctant to foreclose. And some continue to make loans to borrowers who, in the past, may have been considered credit risks.

Funders across the board have been unusually responsive in trying to stay with those customers who had a reasonable alternative to succeeding. The lender does not want to close out a borrower that has some prospect of success. Nationally, farm debt has risen from about $150 billion in 1980 to $212 billion this year. Commercial banks hold almost one-fourth of the debt. Ten percent of the nation's 4,000 agriculture banks are in Kansas. The Hallstead Bank is the only commercial bank in Hallstead, Kansas, a town of 2,000. Half of the bank's loans are in agriculture. Bank officials say they are changing their strategies to adapt to conditions that are different now than they were a few years ago. At that time, farmers' assets were increasing, maybe 30, 40,000 a year through inflation alone.

So his profit level could be near zero and it still would be a loanable situation. For us today, we must look at the profit potential before we make the loan. McPherson Bank and Trust Company is one of three commercial banks in McPherson, Kansas, population 12,000. One-third of its loans go to agriculture and related businesses. When we had 50 years of rising inflation, no one really was very cautious about lending money. The way to make money very, very fast and very easy and so all of a sudden the rules have changed and our everything has been turned upside down and what we did for 50 years no longer applies. Economists at the Federal Reserve predict the fall and winter of 1985 will be a difficult time for troubled banks and farmers. This year, 5 percent of farmers in the agricultural heartland did not receive credit to plant spring crops.

This percentage is expected to be even higher in the fall, creating further losses for the banks. In Hall, Stead, Kansas, this is Beth Stewart for the Nightly Business Report. What have last you? Well Dean with gasoline and plentiful supply sales of recreation vehicles or RVs have been picking up lately, but RV dealers have had their ups and downs in recent years as Beth Stewart of our Wichita Bureau reports. Recreational vehicles have gained in popularity as people have more time and money to devote to leisure activities. Americans own 7.5 million RVs ranging from luxury motor homes to small travel trailers. Times haven't always been good for RV sales. Shipments peaked in 1972, but in 1979 and 1980, the industry suffered a severe setback from gasoline shortages and the credit crunch. That sales of RVs have gained steadily since 1981. This is due to the plentiful supply and lower price of gasoline and improved economy and declining interest rates.

We feel pretty confident that it's going to be a very stable business and we'll have some years where perhaps it will go up a few percent each point, but I don't think we'll see much for drop off in the next three or four years. Despite the gains in recent years, RV shipments haven't come close to the 1972 peak. In the first half of 1985, wholesale shipments are down about 10 percent from last year. From the retail standpoint, unit shipments are ahead of last year. From a wholesale standpoint, at the factory level, shipments are probably going to be down. The way we see it right now, the industry has overproduced and there is likely to be a period of time that must go by for the inventories that are still at retail. Backspot's factor of the summer season to be worked off. Three major manufacturers, Fleetwood, Coachman and Winnebago, dominate the industry. But with a total of 240 manufacturers in the country, competition for business is fierce.

Publicly held, El Dorado Motor Corporation in Minneapolis, Kansas, is the seventh largest in the nation. To remain competitive, officials at El Dorado say they not only have to expand markets and stimulate sales by dealers, but must constantly improve the quality of their product. In today's market, we have to help them secure below market financing rates for the retail customers if they need it. We have to do, we have to do, give them every sales aid we possibly can because we haven't sold the product until our dealers sold it to the aldermen owner. The critical factors that influence the demand for recreational vehicles are a good economy and plentiful gasoline supplies. If these conditions remain unchanged, experts say the RV industry should experience steady growth for the next few years. In Wichita, Kansas, this is Beth Stewart for the Knightley Business Report.

Coming up, tonight's guest. Another major American industry that is beginning to recognize the tremendous advantages of automation is agriculture. Although only a small percentage of the nation's farmers have purchased computers to help them manage their businesses, the current financial crunch in the industry is causing more farmers to turn to high tech for assistance. As Beth Stewart of our Wichita Bureau reports, simple applications of computer technology can benefit farmers in an unusually varied number of ways. A major key to survival in today's farm economy is efficiency and production. Some farmers are achieving that efficiency by introducing computer technology to their operations. Gary Meece runs one of the top 10 dairy farms in Kansas with 50 head of registered whole steam cows. Using a computerized feeding system, he is able to feed each cow the right amount of feed to obtain its optimum milk production. We have six feeding stations and they all have receivers on them. When the cow walks in, they have a tag.

Each cow has an individual tag around their neck and when they walk in that tag, it gets that little transponder in the individual feeding station and it sends a message back to the computer and the computer tells that station how long to run in order to produce the amount of grain that that cow needs. He's purchased the computerized feeding system two years ago for $16,000 and says it has already paid for itself from the money saved on feed grain and the money earned from increased milk production. I think there will be many farmers that will come to the realization that the way they can get an advantage over the farmer down the road to say would be to have a piece of equipment like a computer that might give them an advantage in that they might have a better handle on their costs and no exactly what their cost production are, which in the ultimate end would give them a better insight on how to market their product or have an idea of when to market their products. I think even if the farm economy stays the same that you will see an increase in computers

on the farm. After graduating from college with a business degree, George Hodson returned home to help run the family farm. He bought a computer three years ago to keep up with increasingly complex bookkeeping tasks and bank requirements for more detailed records. We enter our bills in it and it'll write checks for us and then when we enter the bill, we code the bill and split it off to different enterprises. We've set our machinery each piece of machinery has a separate code or a separate enterprise so we can split bills out to the machinery. Our crops, we can split the cost out between our different crops and our different fields. The new equipment farmers purchase to work the fields is also using new technology. One manufacturer includes digital instrumentation as standard equipment on its new tractors. The high tech features provide for better fuel economy and performance efficiency. Researchers at Kansas State University are working on farm machinery of the future equipped

with navigational devices which will allow the computer to apply fertilizer and seed to match soil conditions on each square yard of the field. We are taking a combine and intend to design a green flow sensor that we can mount in the combine to measure the green flow on the go in the field to get the instantaneous yield in the different areas of the field so that we can see how the yield varies within a specific field. Although agriculture has entered the information age, only about 10% of the nation's farmers currently own computers. The more farmers are beginning to realize that times are changing and farming will have to change too. Computers can help them enhance their own operations and through databases provide easy access to information on everything from commodity futures to local cash prices. In Wichita, Kansas, this is Beth Stewart for the Nightly Business Report. It wasn't that many years.

Agriculture Secretary Richard Ling today trimmed the wheat price support for 1987 below a dramatic cut made for this year's crop in order to win back export markets lost by American farmers. Ling said the 1987 price support or price floor will be $2.28 per bushel, the lowest amount permitted by law, and $0.12 lower than the 1986 price support which went into effect June 1st. Taxpayers will compensate farmers for income lost in the marketplace due to that lower price. Well Dean, it's wheat harvesting time in the nation's great plain states and while farmers are reaping the crop, they are not reaping the same monetary benefits they have in years gone by. Nor is this year's crop as large. Elizabeth Snyder of our Wichita Bureau reports on the status of this year's wheat crop. This year's winter wheat harvest is currently underway in the great plain states. Nationwide, it will be the smallest wheat crop in eight years. In Kansas, the number one wheat producing state, the harvest is estimated to be 26 percent less than last year.

The lower yield was caused in part by a severe drought in western Kansas, late planting, and changes in farm legislation which affected planting decisions. And in addition to lower production, come lower prices this year. The U.S. government reduced their support price, and that's the price that they offer to farmers in lieu of cash market prices, and last year that was $3.30 a bushel. This year, it's only $2.30 a bushel, and since we are in a world oversupply situation, wheat prices are at least a dollar lower than they were last year. In the past few years, wheat prices have closely followed the government loan rate. The price at which eligible farmers can sell wheat to the government. In 1983, the loan rate was $3.65 a bushel, and market wheat prices were around $3.53. This year, the loan rate is $2.30, and during the current wheat harvest, market prices have slipped to under $2.25 a bushel.

One way farmers can make up with a low crop prices is through participation in government farm programs. For instance, farmers receive $4.38 for a bushel of wheat from the government if they idle at least 25 percent of their land. I think in the long run, maybe that's going to be a good deal, we'll get to sell some grain and we'll be more competitive in the export market, hopefully, if there's any demand there, but we've got a tremendous amount of wheat, and everybody's competing for the same market, and it's going to make us more competitive. That tremendous amount of wheat exists in spite of this year's low crop because of an oversupply remaining from past years. In addition, world wheat production is up, and there's also effects prices. For every bushel cut out of U.S. production, the rest of the world is more than filling the gap by increasing production by almost one and a half bushels. Five years ago, the U.S. had about 50 percent of the world wheat market share.

This year we're lucky if we're going to get 20-25 percent of the world wheat market share. One of the goals of the 1985 Farm Bill was to increase the U.S. share in the world export market. According to Kansas State University's Bill Tierney, to support the bill, taxpayers may have to pay about $5 billion in wheat subsidies this year. With wheat prices one-third lower than last year, the nation's farmers can't afford not to participate in the government program. In Central Kansas, I'm Elizabeth Snyder for the Nightly Business Report. Coming up, Marshall Lowe talks about the long-term direction of the stock market. I know people who don't eat burgers, but I'm not sure I trust them. Civil Shepherd and James Garner are representing the Beef Industry Council in its $30 million

advertising campaign this year. The campaign represents the most extensive promotion the beef industry has attempted. The funding comes from cattle producers who give a dollar per head of cattle sold. The virtues of beef are being lauded in primetime television and radio, as well as in national magazines and newspapers. Conception and demand for our product has been generally sliding for about the last ten or twelve years, and it's got to the point where it's extremely difficult to make a living in the cattle business anymore, so the industry decided that now is a time that something had to be done. As consumers have become more health and diet conscious, they've reduced the amount of red meat in their diets because of all the adverse publicity in recent years. And although beef is still the number one meat choice in America, poultry has been making considerable inroads into the nation's eating habits. Since 1976, beef consumption has declined from 94.4 pounds per capita to 79.5 pounds per capita in 1986, but during the same time, poultry consumption has increased from 51.8 pounds to 73.5 pounds.

The Beef Industry Council is responding to this image problem with full-page ads and magazines, which give the fat, cholesterol and caloric content of a three ounce serving of beef. A portion considerably smaller than the average thick steak in a restaurant. In moderation, no, there's nothing wrong with beef. It provides nutrients, it provides some calories, it provides an excellent source of protein. It does have cholesterol and saturated fat, but if you get leaner cuts of it and you eat it in moderation, then you can say that there definitely is a place for it in your diet. In response to demands of consumers, cattle today are much leaner than those of even ten years ago. More fat is trimmed off of the packing plant, and when the beef arrives at the supermarket, lean more fat is trimmed. In Kansas, most supermarket chains only leave a quarter inch of fat on the beef they sell their customers. Bill Fielding works for the second largest meat-packing company in the country. Change the way we buy cattle. Pay premiums for the kind of cattle that fit what the consumer is really asking for. We're looking into things like branded beef, where the trim can be a little more uniform.

We can cut the product so the appearance is better. So all those things are being addressed as far as ending up with a leaner, better quality product. The ad campaign began in January, some more time is needed to determine its effectiveness. The beef council's main goal is to change the public's attitude toward beef. If the ad campaign succeeds, they're hoping beef will retain its place as the most popular meat on America's tables, in which it'll not Kansas. I'm Elizabeth Snyder for the Nightly Business Report. Not linked to the specific levels of agricultural production. Linda? Of course, many U.S. farmers currently benefit from U.S. government farm support programs, including wheat growers in the Great Plain States, where this year's winter wheat harvest is currently underway. What happens to government subsidies could have a big impact on those farmers in coming years, as Elizabeth Snyder reports from Kansas?

It's been a stop and go situation in harvesting the winter wheat crop this year. Bad weather in parts of Texas, Oklahoma, and Kansas delayed the wheat harvest in some areas. Kansas is the nation's largest winter wheat producer, growing 25% of the total crop. The USDA expects the Kansas harvest to be up 21% from last year, or the sixth largest in the history of the state. Ironically, in order to qualify for government subsidies, Kansas farmers had to idle 27 and a half percent of their wheat acreage. This year, almost 90 percent of the wheat farmers are participating in government programs. But all of that may be coming to an end. This year at the Summit Conference in Venice, President Reagan and the other participants proposed a worldwide elimination of agricultural subsidies by the year 2000, so that grain farmers in every country that wants to export will be competing on an even footing. In the general sense, subsidies hurt a market. The reason is, is because the economic subsidies, we're talking about the wheat market as a whole, raise, generally raises the price of wheat higher than what that willing buyer,

willing seller will pay for, or what that free market price is for the commodity. The government has been subsidizing agriculture for about 50 years. If a wheat farmer participates in the programs, the government will guarantee $4.38 per bushel for the wheat. It is adds to the federal deficit. In 1986, total net cash disbursements from the commodity credit corporation for all agricultural products were $25.8 billion, up from $3.8 billion in 1977. For 1987, the projected figure is $24.5 billion. To stay competitive in the world market, the government also subsidizes agricultural exports through the export bonus program. This program lowers our wheat price into competition with the world market price by providing free grain to countries who buy our wheat. For example, if a country wishes to purchase 100 tons of U.S. wheat, they could pay for 70 tons and receive 30 tons free. The subsidies are exactly what grain exporting countries around the world now want to eliminate.

Some wheat growers can envision a world without government agricultural supports under certain conditions. If we have a set of rules that we can understand and plan on, you know, two to five years down the road, then we can gauge our production to meet those goals, and we may be better off. In central Kansas, this is Elizabeth Snyder for the Nightly Business Report. There was no bumper crop of sales for the domestic automakers in the last hit. As to few moments, the parade of nations, the final parade, will be beginning in the last moments of the Olympic Games will be at hand. The final march into the stadium, completing all that has been done in the past 16 days. The memories, though, remain now as these final moments approach, the memories stay with us.

There are so many, but all of us who have witnessed these magnificent performances have come the way with the warm feeling that we have been the fortunate observers to a two-week interlude that will remain with us for a lifetime. And for that, we are dead of thanks, and now it is time to say goodbye to them. Those who have stood on the victory platform, and those many more who have continued the traditional pursuit that has centuries-old, sitius, outius, fortius, swifter, higher, stronger. Ladies and gentlemen, the final parade of nations.

The trumpets have sounded their final call 16 days ago, the same trumpets sounded, in all the hopes and dreams of the more than 2,000 athletes were in front of them. It's gone so quickly, then they marched into the arena to the stirring cadence of march and music. Today, there is different music, different cadence. The chorus and orchestra are singing their farewell, a farewell of love, a loha, farewell my love one, safe journey, till we meet again. And today, a loha is a song of celebration. For these young people from many lands are joined together by the knowledge that they are

the very best to come forth from their native country. They are the chosen ones who have entered the international arena, and made the attempt and competed with honor, and all of them will go back to their homes the better for it. And four years from now, in 1936 in Berlin, Germany, the trumpets will again sound, and once again the young men and women of the world will answer the call to join together for another two-week celebration for the honor of their country and the glory of sport. And now we look to the Paris style, and the Olympic flame is about to burn for the last

time, and now the Olympic flame dies, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again.

And now we look to the Paris style, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again.

And now we look to the Paris style, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again. And now we look to the Paris style, and we too say our farewell, a loha, until we meet again.

And now we look to the Paris style, and we too say our farewell, a loha, until we meet again.