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DIVESTMENT
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Vol. LXXXX, No. 15
Ann Arbor, Michigan-Saturday, September 22, 1979
Ten Cents
Eiyht Pages
Regents alter
S. Africa
policy slightly
Doily Photo by LISA UDELSON
PROTESTERS MARCH around the Regents' table in the Anderson Room of composed primarily of students, renewed its efforts to persuade the Regents to
the Michigan Union yesterday afternoon before leaving peacefully. The group, sell University stock in corporations that conduct business in South Africa.
CAR TER ANNOUNCES PACT:
By JULIE ENGEBRECHT
The University Board of Regents
yesterday approved minor changes in
its policy on South African investments
which will result in closer monitoring of
those holdings.
The policy was amended to add bonds
to the University holdings affected by
the March 1978 resolution. Previously it
covered only stocks and bank deposits.
THE UNIVERSITY'S policy calls for
the sale of investments in firms doing
business in South Africa which do not
respond to the University's requests for
affirmation of the anti-discriminatory
Sullivan Principles or their equivalent.
The principles are designed to ensure
more equitable treatment of employees
in South Africa.
That country maintains a system of
apartheid, or institutionalized racism,
which has aroused the long-standing
concern of many campus activists.
The meeting's quiet atmosphere
sharply contrasted that of the last two
such gatherings at the end of Winter
term when more than 200 pro-
divestment demonstrtors disrupted the
proceedings to protest the Regenst'
policy.
AMONG THOSE present. at yester-
day morning's meeting were members
of the Washtenaw County Coalition
Against Apartheid (WCCAA), which
has pushed for total divestiture since
early 1978.
Discussion focused on a faculty-
student report on the South African
issue requested by the Regents last
spring in the face of heavy protest.
Daniel Moerman, professor of an-
thropology on the Dearborn campus,
made a presentation on behalf of the
Senate Assembly Advisory Committee
on Financial Affairs (SAACFA), as did
Bob Stechuk, a member of the WCCAA.
After each presentation, Regents
responded with questions to the
representatives from both groups.
AFTER THE dialogue ended, the
Board proceeded to vote down motions
and amendments consecutively, until it
finally approved the inclusion of bonds
in its existing policy.
Little debate preceded votes on the
wide-ranging proposals, on which the
Regents presented a spectrum of
opinions.
Regent David Laro (R-Flint)
proposed that the Board rescind the.
March 1978 policy "in total."
"NONE OF US here in any way con-,
done the oppression and racism in
South Africa," Laro said.. He added,
however, that he was "disappointed
because he had not heard any position
See S. AFRICA, Page 5
Uncertain.
effects of'U
divestment
spur de bate
.p
By MITCH CANTOR
Even after years of protest and
debate, two basic questions have yet to
be answered in the divestment con-
troversy.
If the University were to sell all its
stocks in companies that do business in
South Africa, what would be the effects
on that country's apartheid system,
and, how would the University's in-
vestment portfolio fare?
DIVESTMENT ADVOCATES have
See UNCERTAIN, Page 2
U .S.topurchase
From AP and Reuter
Mexican gas
WASHINGTON-Climaxing two
years of difficult negotiations, the
United States and Mexico have agreed
on the sale of Mexican natural gas to
U.S. pipleline companies, President
Carter announced yesterday.
Carter said the pact is a "significant
step toward supplying a new energy
source for the United States."
HE ALSO SAID, in a brief announ-
cement before newspersons, that the
understanding is a breakthrough in
mutual respect . between the United
States and its southern neighbor.
The price, Carter said, was a fair one
for both countries.
At a news briefing, Deputy Secretary
of State Warren Christopher said gas
will begin to flow after the Mexican
state oil and' gas company, -PEMEX,
has negotiated commercial contracts
with U.S. natural-gas pipleine com-
panies. Christopher represented the
U.S. at the negotiations in Mexico City.
HE SAID THE agreed upon initial
price would be $3.625 per one thousand
culbic foot, well above the $2.80 the U.S.
now pays for Canadian gas. The price is
sharply below Mexico's original
demand of $4.95. However, the new
agreement provides for future price
hikes, keyed to an index that ties gas to
the price of fuel oil.
The purchase price of the Mexican
gas companies with a current
American market price of about $2.25.
But another government official said
the price impact of the deal on
American' consumers would be
negligible.
"Originally, Mexico wanted the price
tied to the cost of high grade heating oil
delivered to New York. The equivalen-
ce is calcualated by determining how
much gas would be required to match
the potential heating power of a barrel
of oil.
UNDER THAT FORMULA, of-
ficials say, Mexican gas would have
been priced at about $4.95 per thousand
cubic feet.,
Former Energy Secretary 'James
Schlesinger balked at that price last
year, in part because the Carter ad-
ministration was then trying to per-
suade Congress to set a much lower
controlled price for American
producers.
The stalled negotiations were
resumed following a Carter visit to
Mexico City in February that under-
scored a variety of emotional issues
dividing the two hemisphere neighbors.
U.S. NEGOTIATORS succeeded in
persuading Mexico to peg the price of
gas to an index that incorporates
residual oil, which is less expensive
saturday
'The Wolverines-back at
square one after last week's 12-10
loss to Notre Dame-take on the
hapless Kansas Jayhawks at
Michigan Stadium this afternoon.
See story, Page 7.
" A2 starving artists are
holding a sale at Canterbury Loft
today with prices to meet a star-
ving student's budget. See story,
Page 5.
* The U.S. Senate met behind
closed doors yesterday to discuss
the resumption of a peacetime
draft. See story, Page 3.
SReed the Today
column, Page 3
than high grade heating oil. .
The initial volume of natural gas
deliveries will be 300 million cubic feet
per day, approximately equivalent to
53,000 barrels of oil per day.
The amount is about one half of one
per cent of total U.S. gas consumption
and eight per cent of total U.S. natural
gas imports. ,
The United States uses about 18
million barrels of oil a day, about half of
which is imported.
The U.S.-Mexico arrangement is
designed to help the United States cut
down on foreign oil imports, a condition
Carter consistently has said is a threat
to national security.
Soviet withdrawal from Cube
'unrealistic and unnecessary'
African president
oust~s ditator
from wire services
PARIS-Forces of "democratic
liberty" backed up by French troops
took control of the Central African Em-
pire late Thursday night after 14 years
of bizarre and bloody rule by Jean-
Bedel Bokassa, a onetime army
sergeant who styled-himself as a new
Napolean lording it over a poor and
backward land.
Former President David Dacko
staged a bloodless coup and unseated
Emperor Bokassa I while the dictator
was reportedly in Libya. His liberated
subjects surged into the streets yester-
day and ransacked his family's shops.
BOKA5SA, WHO holds a French
passport based on his service in the
French Colonial army, arrived in
France in his personal jetliner last
night seeking political asylum. But
French authorities told the self-styled
emperor to refuel at the military base
at Evreux and then leave the country.
The 58-year-old Bokassa was the
third African dictator to be toppled this
year, after Uganda's Idi Amin and
Equatorial Guinea's Francisco Macias
Nguema.
Dacko, 49, was the country's first
president after independence from
France in 1960. He was deposed on New
Year's Eve 1965 by then-Col. Bokassa,
who headed the army at the time.
IN DECEMBER 1976 Bokassa
proclaimed himself emperor and the
Central African Republic an 'empire. A
year later he crowned himself -in a
multi-million-dollar ceremony modeled
after his idol Napoleon's imperial
coronation.
He gained his greatest notoriety
around the s world, with recent
disclosures of a massacre of
schoolchildren in Bangui. But over the
years there were persistent reports of
human rights violations.
Bokassa instituted such medieval
penalties as cutting off ears or hands
for crimes. In 1972, he reportedly led a
detachment of soldiers armed with
clubs to a jail and ordered them to beat
45 men imprisoned for theft. Three
died.
Bokassa's former Ambassador to
France, General Sylvestre Bangui, who
set up a government in exile earlier this
month, last night said he was ready to
cooperate with the new Central African
regime.
Bangui said he welcomed the over-
throw of the emperor. "What Mr,
Dacko has done is a good thing because
we all wanted Bokassa to go," he said.
WASHINGTON (AP) - The United States has not asked
the Soviet Union to withdraw its combat brigade from Cuba
because it would be "unrealistic" to expect the Russians to
leave, Carter administration officials said yesterday.
Instead, they said, the current negotiations between the
U.S. and the U.S.S.R. are aimed at eliminating the combat
capability of the Soviet troops.
THE OFFICIALS, who asked not to be named, said the
administration feels that demanding withdrawal of the
troops would be "unrealistic and unnecessary."
They refused to specify exactly what steps the ad-
ministration feels would eliminate the combat capability of
the Soviet troops.
But in the past weeks, the administration's definition of
combat capability, while vague, has centered on the com-
mand structure of the troops and the equipment that allows
them to perform combat roles.
The Soviets have insisted publicly that the'troops are
only advisers to Cuban forces, that they have been in Cuba
since 1962, and that they have a right to be there.
The United States traditionally has accepted the presen-
ce of Soviet advisers in Cuba. The current uproar started last
month when U.S. intelligence decided that the.Soviet troops
in Cuba had formed a combat brigade of 2,000 to 3,000 men.
SINCE THE announcement of that finding, Secretary of
State Cyrus Vance and Soviet Ambassador Anatoly Dobrynin
have held five negotiating sessions in an effort to resolve the
issue.
The dispute over the troops has stalled Senate con-
sideration of SALT II, the new strategic arms treaty between
the United States and the Soviet Union.
Boat people
benefit to
bring back
the Beatles?!
From AP and UPI
UNITED NATIONS-The suffering
of the "boat people" might do what
pleading fans and show business
promoters have failed to achieve in
nearly 10 years-bring the Beatles back
together.
A U.N. spokesman confirmed yester-
day that the four Liverpool boys, who
have not all played together in a
decade, are being urged to play a
benefit for the refugees of Southeast
Asia and elsewhere. U.N. Secretary-
General Kurt Waldheim would sponsor
the event.
DIRK SUMMERS, an independent
Los Angeles concert producer who
reportedly was handling negotiations,
told Garden City, N.Y., radio station
WLIR that three of the Beatles-Paul,
George, and Ringo-had agreed to per-
fom together on the same stage in
'U' Hospital budget may
be cut by $30 million
By JOHN GOYER
rVU- ~ ~ ~ ~ ~ n.u if--n lrrmrofphn
estimate.
REIZEN SAID he expected his
12.' a