Page 4-Thursday, February 16, 1978-The Michigan Daily hbr Sidjigan ai1y Eightv-Eight Years of Editorial Freedom, 420 Maynard St., Ann Arbor, MI 48109 Vol. LXXXVIII, No. 114 News Phone: 764-0552 Edited and managed by students at the University of Michigan LETTERS TO THE DAILY 'Selective democracy' on ballot issues Quiet SOMEWHERE IN U. S. visit a tion of a coa tlement last we tation Secretary Br nounced a major n prove and promote t transit systems. Publicity on the Sec ment was far from sidering the nature a of the new proposals. Speaking before th Club in Washington, President Sadat had only a few days befor a policy which, for acknowledges the in the personal automo anlintegral part ofA aria will remain so for -he major stress course, is to work tow transit more attractiv crucial, however, is phase out the const new highways in the favor of maint interstate highway The policy also str make vehicles "soci progress for transit between Sadat's by increasing auto safety and fuel ef- nd the rejec- ficiency. More emphasis will be placed 1 strike set- on studying the impact of transpor- 'ek, Transpor- tation on the environment. rock Adams an- One interesting idea contained in the ew policy to im- new policy is for the government to ex- he nation's mass periment with a free, federally- funded public transit system in some retary's announce- major city. Adams was correct when 1 adequate, con- he suggested that improved mass .nd scope of some transit could revitalize a decaying ur- ban area-if only by easing traffic 7e National Press jams, reducing pollution and creating where Egyptian new jobs. I made headlines When President Carter first announ- e, Adams outlined ced his ill-fated energy program to the first time, Congress last year, it was a mystery evitable fact that and an outrage to many that he did not bile has become include any proposals for mass transit American society with the plan. But now that the energy r many decades. legislation is bottled up with natural of the policy, of gas pricing technicalities, the public ard making mass transportation advocates can rejoice ve to people. More in the - exclusion of those transit the proposal to proposals. ruction of major The result is that while every e next decade, in alteration made in the energy plan by aining existing. Washington legislators has been a sub- s. ject of critical scrutiny, the major policy on mass transit announced by esses the need to Adams last week went over smooth as ally responsible," silk. To The Daily: Regarding your editorials of 10 February, specifically "No Gains from Death Vote," and typical Daily double-standard and hypocrisy in general: "The agreement ... to hold a 'new' election seems . . to be the best resolution to a bizarre problem" ("The Mayoral Mess: Solved" vs. "Deserving as much op- position is the idea of placing such an issue (capital punish- ment) on an election-year ballot" (same page, "No Gains"). Well, well - selective democracy, meet The Daily. Why is it that the people should only vote on some issues and not others? Is it because we don't want the ill-informed and irresponsible electorate deciding such literal life-and-death issues as capital punisihment? That might be - perish the thought - "democratic"! One might respect another's opposition to the death penalty for whatever reasons, but to advocate its denial of democratic due-process largely because the vast majority ("73 per cent") happen to feel otherwise is quite simply ridiculous. Instead of deter- mining the fate of capital felons, you would rather that we concern ourselves with nonflammable bovine, Detroit's progressive decomposition, and other mat- ters of equal import. You argue that the issue of capital punishment "is one of several scare-hysteria types, against which rational argument fails to make headway. Argument over the question is in- stead devoted to one emotional outburst after another." Well, well - Daily statement of vast thought, wisdom, and rationality, meet "We are opposed to the death penalty in any form for any reason" (three sentences previous). You argue that "the death penalty question . . . will create pressure on state can- didates for office to make it a majort campaign issue." God save the country if politicians should ever make a major cam- paign issue of matters of great voter concern. One can only imaginewhat The Daily would editorialize if John Vorster thought that mandatory sterilization of blacks shouldn't be a "major campaign issue" but instead decided that urban decay in. northern Koekenaap was deserved of greater voter atten- tion. I am rather confident that a definitive November referendum in the Upper Peninsula on the fate of Project Seafarer would meet with enthusiastic Daily support. But I have never heard such "scare-hysteria" argumen- ts("People will be X-rayed to death," "The U.P. will be nuked into Lake Superior," etc.) about an issue in my life. I am also-sure that The Daily would very much like Seafarer to become a major campaign issue in this election year. But what would we do if we didn't have The Daily to tell us what is and isn't important, let alone what should and shouldn't be subjected to the toils of democracy? -David Morgan EDITOR 'S NOTE. The Edit- orial Board of the Daily has not endorsed a November ref- erendum on the fate of Proj- ect Seafarer in Michigan. Such referendums have" already been held in the Upper Penin- sula and have showed resounding opposition to the Navy project's presence there. on Nelson's music To The Daily: Having lived for eight years in Austin, Texas (progressive coun- try western mecca)before moving to Ann Arbor, and thus knowing something about Texas music, I was particularly an- tagonized by Mike Taylor's review of Willie Nelson's perfor- mance Sunday night. His com- ments reflect an unfamiliarity with Nelson's music and the culture from which it arose. Truthfully, I don't think he has ever listened to a Willie Nelson album, for if he had, he would have noted thateNelson's impec- cable live performance was a clear reflection of his fine album performances. Also, he would have noted certain details such as "Blue Eyes Crying in the Rain" .is only one of'a medley of tunes from Nelson's western drama The Red-Headed Stranger. Many of the comments Taylor does make exhibit an ignorance of Willie Nelson's place in the history of country and western music. Taylor, in addition, seems to equate lack of audience response with poor performance. Let me remind you that Nelson played to a Michigan audience, most of whom were also unfamiliar with Nelson's music. But for those for- tunate people who have spent many a night in Austin bars drinking cheap beer and plaything dominoes to Willie Nelson's songs, Nelson's perfor- mance was a true delight. My ad- vice to Michigan natives before attending such a concert in the future - have a few more beers before coming. - Merrianne Timko Near Eastern Studies Dept. teaching nominations To The Daily: An open letter to women students from the University's Commission for Women: Friday, February 17, is an im- portant date. It's the deadline for nominating faculty and teaching assistants for good teaching, ser- vice, and achievement awards. The awards nominations give you the chance to do something to acknowledge faculty members and teaching assistants who have been especially supportive of you in your pursuit of educational and career goals. One suggestion is that you write a letter to the Awards Committee describing the -assistance you've received from a faculty memberor teaching assistant, and ask that the person's department include it with their nominating materials. Departments have been asked by the Awards Committee to limit the number of nominees for Teaching Assistants Awards to one or two, so the sooner you act, the better. We hope 'that through the awards process the faculty members and teaching assistants who have made a special effort to help women students to achieve their educational and career goals will be acknowledged. - Bernadette Malinoski Co-chair, Commission for Women v L - _..' _ The 'U's unknown links to apartheid They gather monthly in the heart of America's corn belt - in Moline, Illinois, 150 miles west of Chicago.They are all white, all male, all older. They are the fifteen directors of Deere & Company, a corporation which boasts about being the world's largest producer of farm equipment, with sales of $3,133,790,000 in 1976. They not only, discuss John Deere cultivators and coripickers,'but also promote the flow of dozers, crawlers, scrapers, and ex- cavators, as well as lawn mowers, snowblowers, and snowmobiles. They approve the search for profits around the world, including in South Africa. WHO ARE these men? Two-thirds are officers in the company. The others, the five "outside" members of the board, are powerful heads of other huge cor- porations - UAL, Inc., Baxter Trav- enol Laboratories, A.O. Smith Corpor- ation, S.C. Johnson & Son, Inc., and the University of Michigan. UNIVERSITY OF MICHIGAN?? Yes, there is President Robben Fleming. Since I learned about this several months ago I have not found one per- son, among several dozen consulted, who knew that Fleming was on the board of Deere. Some of the regents ap- parently don't even know, for when I recently asked Regent Sarah Power about this she said she couldn't remember whether or not she knew it. This general ignorance of the situa- tion has led me to examine it, through public records mainly available in the business library (such as the "10-K Re- ports" which corporations must file an- nually with the Securities and Ex- change Commission). I HAVE FOUND numerous potential conflicts of interest. These merit both serious community discussion and public clarification of many points by Fleming. I hope that any questions of possible impropriety can and will thus be settled. Like many other members of the Uni- versity community and citizens of the State of Michigan I- am grieved by my inadvertent support of racism and in- humanity in South Africa. The recent public forum in Ann Arbor, sponsored by the University, made it unmistak- 'ably clear to me that functionally I am supporting apartheid through the Uni- versity's investmehts of over $40 million in corporations that seek profits through activities in South Africa. I believe we should dispossess these stocks, and the sooner the better. WE HAVE .NOT seen Fleming's position on this issue. I am worried that ,his apparent vested interests may hold sway over broader social and moral considerations. For if Fleming ad- vocates - let alone acts - to divest from South Afica, he certainly will step on toes (or worse) of many of his close associates. Fleming would risk losing prestige and friendship in his peer By Thomas Detwyler Africa and the University through Fleming's fellow board members. DEERE & CO., an aggressive inter- national conglomerate, has plowed its way up Fortune's list of America's largest industrial corporations, from 103rd place in 2970 to 66th in 1976. During that period beere's;,worldwide sales nearly tripled, to $3.13 billion. Overseas profits in 1976 were $41 million, on sales of $716 million. John Deere began its South African operations in 1962 when it bought ma- jority interest in a farm implement manufacturing firm at Nigel, forty miles southeast of Johannesburg. Deere makes tractors, implements and parts there. BY 1970 DEERE operations were so successful that it was exporting to fore- ign markets, including the United corporations which has signed the Sulli- van statement of six principles, which includes such points as equal pay for equal work regardless of race. But the Sullivan statement has been criticized as ineffective because of its general terms and its neglect of important issues such as recognition of black labor unions.V PRESIDENT Fleming joined the board of directors of Deere on October 28, 1975. Obviously he bears no respon- sibility for corporate practices before that time. But during the past two years just what has headone to change or per- petuate Deere's South African actions? The public record is mute on this, and I ask for his response. Beyond Deere's direct interest in South Africa, Fleming might also feel pressured by his co-directors who rep- "the free world's largest airline"), whose chief executive officer, Edward Carlson, came on board Deere with Fleming in 1975. President Fleming himself is a link with Chrysler Corporation. He has been a director of the giant automaker since 1972. Early last year Chrysler reduced its stake in its South African unit from 100 per cent to 24.9 per cent. Of course the University of Michigan has scrupulously avoided investing in Deere, Chrysler, and the other firms primarily represented by Deere's directors. Nonetheless, we are invested in at least seven of the corporations secondarily connected with these direc- tors. Four of these companies are ac- tive in South Africa. To help protect their vested interests, what pressure might they place on Fleming through reasors). This observer thinks that such prestige is low or even negative (but we could vote on it). As for "keeping up with the Joneses," enough said, except it's true that others do it. A prime example is Clifton Whar- ton, who until recently was the president of Michigan State University as well as a director of Ford Motor Company and Burroughs Corporation (both firms heavily invested jp South Africa too). 3. The excitement and challenge of helping the captains of industry solve their problems. Perhaps after a decade as University head Fleming no longer is stimulated by the problems of aca- demia and a mere $440 million-a-year institution. (It does seem rather trifling business compared with Deere's $3.1 billion or Chrysler's $15.5 billion DEERE AND CO. Board of Directors WILLIAM A. HEWITT EDWARD E. CARLSON WILLIAM B. GRAHAM ROBBEN W. FLEMING LLOYD B. SMITH SAMUEL C. JOHNSON (Plus nine "inside" Chmn. and Chief Exec. Off. Chmn. and Chief Exec. Off. Chmn. and Chief Exec. Off. President Chmn. and Chief Exec. Off. Chmn. and Chief Exec. Off. directors, who are also DEERE AND CO. UNITED AIRLINES, INC. BAXTER TRAVENOL UNIV. OF MICHIGAN A. 0. SMITH CORP. S.C. JOHNSON AND SON INC. DEERE officers.) ($3,133,790,000-1976 sales) ($2,409,000,000-1975 sales) LABORATORIES ($440,907.000-1978 budget) ($619,000,000-1976 sales) ($600,000,000-1976sale) ($681,000,000-1976 sales) II *Continental Oil\ Corporation *Continental Illinois (Corporation (banking) *American Telephone and Telegraph Company *Dart Industrie Incorporated /Seafirst C' (hanl *Aluminum Corporati of America 'S orporationNorthwest king) Industries Inc. on B First Chicago Corporation (banking) *Borg-Warner Corporation ell and Howell ('orporation C'hrysler C'orpora tion Con In *Goodyear Tire and Rubber Company tinental (roup ncorporated fees earned by a director, payment of which is deferred to future years." How much has Fleming been paid by Deere? Has he deferred receipt of any pay- ments, for example until after univer- sity retirement? Does he hold any stock options (a common and significant form of income which is not included in the "total direct remuneration" fig- ures)? What -is the disposition by Fleming of all such payments and op- tions given to him? - Does he keep them or contribute them to the Uni- versity? (A few years ago the president publicly mentioned that he gavehis in- come from his Chrysler Corporation board membership, in the neigh- borhood of $10,000 per year, to the Uni- versity. Is this still the situation?) 6. Cultivating the -garden. Perhaps through his corporate connections the president has loosened up gifts - be- quests, grants, etc. - to the University. To what extent is this the case, especi- ally from Deere and Chrysler? And what, if anything*, have the University or its members had to "give" in return? OTHER FORMS of university public relations and fundraising are more ap- propriate and less compromising. The University should give greater atten- tion to identifying and solving the problems of ordinary people. Instead we cater too much to commerce and its moguls, eroding public support. 7. Working as a director to make the corporation more socially aware and responsive. Here at last is the only possible justification for a university president also being a corporation director. To admit this reason for mem- bership and open it to community dis- cussion would be to open the Univer- sity's doors to needed fresh air. We need active discussion about subjects like the roles of corporations in the world today. (Incidentally, this would bring us much closer to clarifying values than all the dry doings of the recent "Values Year" which Fleming promoted at the University.) Here in- deed is a channel for exercising true educational, ethical and social leader- ship. Clearly Fleming's role on a corpora- tion board should be very different from the parts of most other directors. Most of them gained their chairs through privilege or private manipula- tion, not through earned public trust William Hewitt reached the top of Deere by marrying the boss's daughter ("terally). Lloyd B. Smith essentially ierited his position in a corporation s.0. Smith) still controlled by the .amily. Such directors will look after their private and financial interests. Usually it is someone else who must defend the broader public interests. The president of a great public acade- my like'the University of Michigan is a special public servant, having both immense power and obligation to promote public understanding. I d not First Wisconsin Corporation (hanking> Major Corporations connected with the University of Michigan through President Fleming and Deere and Co. (Each Deere Director also sits on the boards of the corporations attached above.) Corporations underlined are currently doing business in South Africa. *Denotes a Corporation in which the U of M is invested. States, significant amounts of agricul- tural equipment made at Nigel; profits in 1970 were 17 per cent of sales revenues. Cheap labor allowed such profits and low production costs. In 1970 Deere em- ployed 360 people, many of them African or colored. The lowest em- ployees got 19 cents an hour, $7.60 per week - about one-third the estimated amount required by an African family to meet expenses in the Johannesburg area. Meanwhile, skilled workers, in jobs reserved for whites, made $1.47 an hour starting pay. In that year Timothy Smith, Director of the Interfaith Center for Corporate Responsibility (and a recent South Afri- can investments forum speaker in Ann Arbor), interviewed one of Deere's top resent the South African interests of still other corporations. The accompanying diagram shows the structure of relations between the University of Michigan and major cor- porations represented on the board of Deere & Co., through the connection of President Fleming. THREE OF THE four corporations headed by other outside members of the Deere board do business in South Africa (according to "Directory of Firms Operating in Foreign Countries"). For example, Baxter Travenol Laboratories, which makes medical care products and is one of the 300 largest American industrial cor- porations, owns 40 per cent of Kea- grams, Ltd., South Africa. In turn, the outside directors plus their- connections, during our delibera- tions on the appropriateness of doing business in South Africa? FOR THE UNIVERSITY an import- ant general question is: How might Fleming's relations with the corpora- tions that he directs, and with his fellow board members, encumber his acting in the University's best interests? An even more fundamental question is this: Why should the president of a public university - a public servant in effect - sit as a corporation director at all? Any of several answers may be of- fered. But I believe only the last-men- tioned below is legitimate. 1. It's a "private affair" and no other explanation need be given. I don't think so. Certainly a major reason Fleming yearly.) But the University still has lots of problems, and we've hired a presi- dent to help lead us through them. 4. Keeping in practice. His board membership has provided opportunity for Fleming to keep his labor man- agement and negotiation skills honed. Within a year after he joined the Deere board, 27,000 production and mainte- nance workers had to strike for five weeks in order to get satisfactory tracts. But certainly being a dir not requisite to such activity. 5. Supplemental income. It can't be. that Fleming really needs the money. With a current University salary of $73,640 annually he is the State of Michigan's highest-paid employee, well above even the governor. His perks in- clude use of the presidential mansion on