CONTACT LENSES Contact Lens Special $1178.50 includes exam, fittin , dispensing, follow-up visits, starter kits, and 6 month chec up. * includes a second pair of hard lenses { Dr. Paul C. Uslan, optometrist 545 Church Street 769-1222 by appointment All frames 20% off with this ad OFFER EXPIRES FRI., Oct. 31 Page 2-Thursday, October 30, 1980-The Michigan Daily Chrysler reports third quarter loss SIN BRIEF* Compled from Associated Press and United Press International reports DETROIT (UPI)-Chrysler Corp. reported a third quarter loss yesterday of $490 million, boosting auto industry red ink in the first nine months of finan- cially devastating 1980 to $3.6 billion. Ironically, Chrysler management and the government were encouraged by that performce. IT MARKED THE first time in Chrysler's two-year financial crisis Daily Classifieds Get Results! Call 764-0557 that it posted a quarterly loss smaller than General Motors Corp. and Ford Motor Co. It also represented a rare im- provement from the second quarter, when the company lost $536 million. Normally, auto industry financial results are poorest in the third or July- September quarter, when costs of model changeovers are absorbed. That was the case with Ford and GM this year. CHRYSLER, RESCUED from bankruptcy this year by an $800 million dole of government-secured cash, held firm to projections it can earn a profit in the fourth quarter of this year. But it added several important qualifications. "Assuming some moderation in in- terest rates, a modest upturn in the economy, and some improvement in the current rate of truck sales, Chrysler should report a profit in the fourth quarter," said Chairman Lee Iacocca. The U.S. Treasury Department, which administers the Chrysler loan guarantee program and has been keeping a close watch on the company's survival effort, agreed with Chrysler that no new injection of government- backed cash will be needed this year. Ford Motor Co. reported third quar- ter losses Tuesday of $595 million-the largest in U.S. automotive history-and GM on Monday posted a $567 million deficit for the period. KEEP AHEAD OF YOUR HAIRI " 4 Barbers e No Waiting " Men & Women THE DASCOLA STYLISTS " E. Univ. at S. Univ. " Liberty off State Nixon says FBI had authority to break-in WASHINGTON-Former President Richard Nixon testified in court yesterday that the director of the FBI had direct authority from the president to conduct warrantless break-ins in foreign intelligence cases that were important to national security. Testifying at the trial of two former FBI officials accused of illegally authorizing break-ins, Nixon said, "It was my understanding that in matters of foreign intelligence the line went directly from the president to Mr. J Edgar Hoover." Later, Nixon said that same authority was in effect in 1972 and 1973 when L. Patrick Gray III was acting director of the FBI and warrantless searches were conducted at residences of friends and relatives of radical Weather Underground fugitives. Khomeini mayt be near death, Carter aide says SHREVEPORT, La.-Ayatollah Ruhollah Khomeini has cancer of the colon and is "not going to last long," Frank Moore, a top aide to President, Carter, said in an interview published yesterday in the Shreveport Journal. The State Department said it had no comment on Moore's statement. Moore said the Iranian military was expected to take control upon Khomeini's death. Former governor indicted NASHVILLE, Tenn.-Former Gov. Ray Blanton and two of his former aides were indicted yesterday by a federal grand jury which has been in- vestigating state liquor licenses issued while Blanton was in office. Blanton was forced to leave office several days prematurely in 1979 after several aides were indicted in a scandal involving alleged sale of pardons and paroles. Blanton himself was never indicted in that case. The 12-count indictment accuses Blanton and his aides of conspiracy, mail fraud, racketeering, attempting to avoid taxes, and submitting false tax returns. Pope sets guidelines on dismissal of priets VATICAN CITY-Pope John Paul II, ending a two-year freeze on granting dispensation from vows of priestly celibacy, has issued new guidelines to allow Roman Catholic priests to leave the priesthood and marry but still remain in the church. The decision removes a major source of tension in the church created by the pope's refusal to process almost 5,000 petitions on file from priests seeking release from their vows, Vatican sources said. The celibacy rule is believed to be a main reason behind the sharp in- crease in the defections of Roman Catholic priests in recent years. 9 0 0 It's More For .Your Morning! I 0I Mysterious explosion rocks Peking railroad station PEKING-A mysterious explosion rocked central Peking's crowded main railroad station yesterday and witnesses said about 20 persons were killed or wounded. Officials refused to comment, but one called it an "ac- cident," Reports of casualties could not be immediately confirmed, but a steady stream of ambulances left the station and sped down Peking's main Chang An Boulevard, about a block away from the station. One man in the crowd of several thousand people gathered outside the station said the explosion occurred in an elevator, and about 20 people were killed or wounded. CIA agent pleads guilty BALTIMORE-Former CIA agent David Henry Barnett pleaded guilty yesterday to charges that he acted as a Soviet "mole" and sold secrets to the Russian KBG for nearly $100,000 in cash. The secrets concerned a CIA operation to steal information about Russian military hardware. The charges carry a maximum sentence of life imprisonment. Barnett, 47, is believed to be the highest ranking CIA agent to admit working for the Russian secret service. Under terms of a plea bargaining agreement, Barnett said he would cooperate fully with the FBI and the CIA in providing further information regarding his activities with the Soviets. SJbe 3ibigau BaiIy Volume XCI, No. 49 Thursday, October 30, 1980 The Michigan Daily is edited and managed by students at the University of Michigan. Published daily Tuesday through Sunday mornings during the University year at 420 Maynard Street, Ann Arbor, Michigan, 48109. Subscription rates: $12 September through April (2 semesters); $13 by mail outside Ann Arbor. Summer session published Tuesday through Saturday mornings. Subscription rates: $6.50 in Ann Arbor; $7 by mail outside Ann Arbor. Second class postage paid at Ann Arbor, Michigan. POSTMASTER: Send address changes to THE MICHIGAN DAILY, 420 Maynard Street, Ann Arbor, MI 48109. The Michigan Daily is a member of the Associated Press and subscribes to United Press International, Pacific News Service, Los Angeles Times Syndicate and Field Newspaper Syndicate. News room: )313) 764-0552, 76-DAILY; Sports desk: 764-0562; Circulation: 764-0558: Classified advertising: 764-0557: Display advertising: 764-0554; Billing: 764-0550; Composing room: 764-0556. IE MIEIJ3aU ; &IQ of M. You can have the U. student newspaper delivered to your dorm or door, Tuesday . f n 1 fA A A _ __ Editor-in-Chief..................... MARK PARRENT Managing Editor................MITCH CANTOR City Editor............. ...... PATRICIA HAGEN University Editor................. TOMAS MIRGA Features Editor ................. BETH ROSENBERG Opinion Page Editors..............JOSHUA PECK HOWARD WITT Sunday Page Editor.............ADRIENNE LYONS Arts Editor..................... MARK COLEMAN DENNIS HARVEY Sports Editor..................... ALAN FANGER Executive Sports Editors.......... 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