Page 2-The Michigan Daily - Wednesday, January 17, 1990 Bankruptcy effects may be widespread NEW YORK (AP) - Campeau- Corp. is keeping its coast-to-coast department store empire running, but the bankruptcy reorganization of its shattered finances could have far- reaching consequences beyond the retail business. Experts say its financial troubles eventually could endanger the jobs of some of the 100,000 employees at Campeau's 258 stores around the country, lessen the immediate trend toward price-cutting competition among department stores, and prompt investors to be more criti- cal of proposed retailer buyouts. By seeking bankruptcy court shelter from creditors Monday, Campeau's Federated Department Stores Inc. and Allied Stores Corp. which control such famous chains as Bloomingdale's, Lazarus and Rich's can continue operating, covering payrolls and meeting suppliers' bills while restructuring their debts. The fate of the store chains depends on how they untangle their balance- sheet problems. In filing the largest retailing case ever under Chapter 11 of the federal bankruptcy code,Fed- erated and Allied said their liabilities total $7.7 billion while their assets amount to $9.1 billion. There's no guarantee Federated and Allied will be healthy even once they complete a bankruptcy court- supervised reorganization, experts said yesterday. Retailers generally buy merchan- dise on credit, so if credit dries up, manufacturers may refuse to ship, leaving stores short of inventory and customers disenchanted. Business hasn't been booming at U.S. department stores in recent months, but analysts say stores owned by the Canadian Campeau largely have been moneymakers. JUSH MOORE-/aity Graffiti cleanup 'U' employee Dan Burton cleans graffiti off of the Diag. Senators push to legalize drug-testing IN BRIEF Compiled from Associated Press and staff reports Bulgarian opposition gets right to publish newspaper SOFIA, Bulgaria - The ruling Communist party, in a concession to the country's fledgling opposition, agreed yesterday to allow democratic groups to publish their own newspaper and said they would be granted of- fices in Sofia. However, the party rejected a demand for opposition access to radio an television, which would take democratic ideas across this largely rural na- tion. The compromise was fashioned after the opposition threatened to with- draw from talks with the Communists that many hope will hasten Bul- garia's faltering transition to democracy. More than 50,000 people attended one of the biggest anti-Communist demonstrations in Bulgarian history on Sunday to back the opposition's demands for more democracy. The demonstration, organized at two days' notice, testified to slowly growing popular support for opposition groups still banned just three months ago. Court to rule on accused's right to confront child victim WASHINGTON - The Supreme Court said yesterday it will decide by July whether people charged with child abuse have the right to at least one face-to-face meeting with their young accusers - a decision of enor- mous importance to child-abuse prosecutions. Many states in recent years have taken steps to protect young crime victims, such as allowing a child to testify by closed circuit television rather than in the presence of the defendant, which often can be traumatic. The court's decision could spell out what steps are necessary to meet the constitutional requirement that "in all criminal prosecutions, the ac- cused shall enjoy the right... to be confronted with the witnesses against him." Maryland Attorney General Joseph Curran said, "This is a crucial case for the protection of the most vulnerable of victims: our children." Former Rep. arrested again LANSING- Former state Rep. Dennis Dutko, just nine days after he got out of jail and pledged to build a new life, was arrested on cocaine and marijuana charges in Tennessee, police said yesterday. The Warren Democrat was serving a jail term for two drunken driving convictions when he resigned from his House seat Oct. 2. He was released from the Ingham County jail on Jan. 3. Dutko was arrested Friday in Chattanooga and charged with posses- sion of cocaine, marijuana, possession of drug paraphernalia, and driving with a revoked driver's licence, said Rick Mullins, assistant chief clerk at the Hamilton County Criminal Court. Yesterday Warren residents voted to replace Dutko, a 15-year incum- bent. The 25th District House seat, which Dutko occupied, has been without representation since May 24, when Dutko was sentenced for two drunken driving charges. Bridge needs higher railings LANSING - The Mackinac Bridge has fundamental safety flaws that should be corrected with higher railings and a new center median, accord- ing to a Senate committee.. The final report of the Senate Committee on State Affairs, Tourism and Transportation notes that the railings on the bridge, which links the Upper and Lower peninsulas of Michigan, haven't met national highway safety design standards for almost 26 years. The bridge opened in 1957, or 33 years ago. State Transportation Director James Pitz declined to comment on the recommendations, saying his department is waiting for a report from the engineering firm that designed the bridge. "Adding new railings or barriers are much more complicated for this bridge because the weight and wind resistence changes must be studied," Pitz said. EXTRASy S WASHINGTON (AP) - A Sen- ate bill setting federal drug-testing standards for private companies would provide consistency and elim- inate lawsuits, supporters including former Surgeon General C. Everett Koop said yesterday, but critics con- tend it would erode workers' rights. The bill, sponsored by Sens. Orrin Hatch (R-Utah) and David Boren (D-Okla.) does not require businesses to test employees but gives them the clear right to do so - a provision supporters said would prevent unwarranted court challenges to drug-testing policies. Court challenges discourage companies from implementing drug- testing programs, which have been shown to deter workers from using alcohol and drugs on the job, Koop and other supporters said at a news conference. "Courts all over the country are saying, 'Yes, you can,' and 'No you can't,"' Koop said. Hatch said the measure protects the privacy rights by establishing guidelines for circumstances under which businesses can test their workers. But Rep. Don Edwards (D- Calif.), chair of the house judiciary subcommittee on civil and constitu- tional rights, called the measure "a horrible invasion of Americans' rights without probable cause." The bill might have support when Congress returns next week, Edwards said, "with the the drug hys- teria that is being fanned by Presi- dent Bush and his hard-line macho approach almost daily." Under the measure, drug and al- cohol tests would have to be ana- lyzed at a federally certified lab. Tests could be conducted before workers are hired, during annual physical exams and anytime for workers who had gone through a drug rehabilitation program. Random testing could be con- ducted only for "sensitive" employ- ees, or workers whose jobs, as de- fined by the employer, deal with na- tional security, health or safety, the environment or require "a high de- gree of trust and confidence." The American Civil Liberties Union considers the guidelines vague and broad, said the group's legisla- tive representative, Gene Guerrero. "You could say the cleaning per- son who comes in at night has a 'high degree of trust and confidence' because they could steal the type- writer," Guerrero said. "That's nickel and diming," coun- tered Hatch's press secretary, Paul Smith. He said the measure "sets down more for employees than for employers. The employees will have their eyes open - they'll know what's going on." The ACLU also opposes the measure because it would preempt state laws that do more to protect workers, Guerrero said. Sixteen states now have drug-testing laws, and several of those laws are more protective of workers' privacy rights than the Hatch-Boren measure, he said. LI Health & Fitness*] More than 700 to lose jobs in Detroit p* Ie WHAT'S HAPPENING RECREATIONAL SPORTS Outdoor Recreation Program INTRODUCTORY KAYAK CLINIC" WED., JAN. 17, 1990 North Campus Recreation Bldg. 8pm - 10pm "BEGINNER I;BEGINNER II CROSS COUNTRY SKI CLINIC" THURS., JAN. 18, 1990 Mitchell Field 7pm - 8:30pm HORSEBACK TRAIL RIDE- SUN., JANUARY 28, 1990 1PM - 3PM PRE-TRIP MEETING: WED., JAN. 17, 1990 North Campus Recreation Bldg. 7:00pm TO SIGN UP FOR ANY OF THESE CALL 764-3967 DETROIT (AP)- Five hundred police officers and 222 other city workers will be laid off next month, parts of efforts to cut in half an estimated $60 million budget deficit, a mayoral spokeperson said yesterday. Mayor Coleman Young's program to trim $28 million from the budget includes a hiring freeze, canceling nine police-training classes, curbing overtime and travel by city workers and recommending that Detroit City Council make reductions in departments under its direction. "The mayor is looking for more ways to cut, but he wanted to get moving on these right away, " said Bob Berg, the mayor's press secretary. The police layoffs, effective Feb.2, will affect officers who were hired after Jan.18, 1987. "I have directed the chief to take all possible steps to assure that these layoffs do not reduce the number of officers on the streets, but rather come from other parts of the department, " the mayor said in a statement released Tuesday. The heaviest cuts were made in the police force because it was the only department to gain in staff since a tight budget forced cuts in the early 1980s, Young said. The department had 4,741 sworn officers on Jan.1, compared with 3,721 before hiring was resumed in 1984. The 222 other workers who will lose their jobs are from the departments of Public Works, Health, Transportation, and Parks and Recreation. The mayor blamed the expected deficit on a loss of city tax revenue and state revenue-sharing funds and a payroll fattened up by this year's 3- to-5-percent raises for city workers. Talking about the weather U U S c i c . RE CREATIONAL SPORTS C rossword Puzle Love notes Announcements Stuff for sale S ummer sublets International travel Fabulous jobs Incredible offers Excellent results Daring personals O.K., all right, so the weather wasn't quite what it was built up to be in this space yesterday. You have my word though that today will be the day to use all those neat new words we published. -by Alex Gordon %, ~b ~rrb4Wu.1rai~l The Michigan Daily (ISSN 0745-967) is published Monday through Friday during the fall and winter terms by students at the University of Michigan. Subscription rates: for fall and winter (2 semesters) $28.00 in-town and $39 out-of-town, for fall only $18.00 in-town and $22.00 out-of-town. The Michigan Daily is a member of The Associated Press and the Student News Service. ADDRESS: The Michigan Daily, 420 Maynard, Ann Arbor, Ml 48109. 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Opinion: Jonathan Fink, Christina Fong, Deyar Jamil, Fran Obeid, Uz Paige, Henry Park, Greg Rowe, Kathryn Savoie, Kim Springer, Rashid Taher, Luis Vazquez, Dma Ziatimo. Sports: Jamie Burgess, Steve Cohen, Theodore Cox, Jeri Durst, Scott Erskine, Andy Gotlesman, Phil Green, Aaron Hnkin, David Hyman, Bethany Klipec, Eric Lemont, John Niyo, Sarah Osbumn, Matt Rennie, Jonathan Samnick, David Schechter, Ryan Schreiber, Jeff Shoran, Peter Zelten, Dan Zoch. Arts: Greg Bae, Sherill L Bannet, Jan Blk, Mark Binell, Kenneth Chow, Sheala Durant, Brent Edwards, Mike Fisdier, Forrest Green, Sharon Grimberg, Brian Jarvien, Mike Kuniavsky, Ami Mehta, Mike Molitor, Carolyn Pajor, Krisin Palm, Annette Peusso, Jay Pinka, Gregod Roach, Peter Shapiro, Rona Sheramy. Photo: Jennifer Dunetz, Amy Feldman, Julie Holiman, Jose Juarez, Jonathan Liss, Josh Moor, Samantha Sanders, Kenneth Smoller, Douas usher. S S Present MEN'S and WUMEN's r 4 S 3bonk3 Basketball " Single Elimination & Regional Tournaments held in Ann Arbor " Championship Game of Regionals to be played in The Palace before Piston's Game " Single Elimination Tournament Deadline: Jan. 22, 1990 !6:1 Q114M000OOTAce- S 1W lo .,. i BUSINES TAFF.