The Michigan Daily-Tuesday, July 20, 1982-Page 5 ' Chrysler profits at five times last year's level From AP and UPI NEW YORK - Chrysler Corp., struggling back from the brink of bankruptcy, said yeterday it earned $106.9 million in the second quarter, five times better than its profit a year ago, despite a dip in revenue. Analysts cautioned, however, that the recovery was a fragile one, coming on the heels of more than $2 billion worth of losses at Chrysler in the last two years and on the eve of new contract talks with the United Auto Workers union. Chrysler's second-quarter earnings compared with a profit of $20.7 million in the corresponding 1981 quarter. Revenue fell to $2.87 billion from $2.88 billion. "THIS SECOND-quarter profit is the result of outstanding automotive products selling well in a lousy market and a management-labor cooperative program of efficiency and productivity that is a model for American industry," Chairman Lee Iacocca said at a news conference. He predicted the company will be able to pay off $1.2 billion in federally backed loans by 1985 - five years early - "if the country doesn't go into a collap- se." For the first six months, the No. 3 automaker earned $256.8 million, com- pared with a loss of $268.6 million in the first half of 1981. Chrysler had a profit of $150 million for the first quarter, but that came from tax credits and the sale of Chrysler's defense subsidiary which erased an operating loss of $89 million. "Against all the odds, record high in- terest rates, record high unem- ployment and a 3 -year depression in the new car sales and a national recession that's the worst in 50 years, we've passed the test," Iacocca said. "Now wedon't have to prove anything anymore." The other Big Three automakers, General Motors Corp. and Ford Motor Co., have not released their earning reports. But industry anatysts are ex- pecting all three to show a profit. Chrysler's profit had been forecast in the range of $50 million to $100 million. "It was a magnificent performance," Arvid Jouppi, an analyst with Detroit- based Colin Hochstin Co., said of the Chrysler report. Interstate water pact supported DES MOINES (UPI)- Delegates to the Midwestern Governors' Conference yesterday supported the formation of an interstate compact on water resour- ces but took no position on South Dakota's controversial sale of Missouri River water to Wyoming for use in a coal slurry pipeline. A task force considering water resources issues decided the diversion of river waters needs further study and, while water transfers will be discussed at the governors' meeting, it likely will notje resolved at the conference. David Harrison, a Michigan delegate who chaired the water resources task' force, said, "For us to sit in this meeting and to try to solve the problems between states on the issues of water diversion is ridiculous. I don't see this as a forum for this particular issue." HARRISON said the state officials at- tending the conference support "the concept of an interstate compact," he said "the question is vhether we want to go ahead haphazard until a compact is reached." South Dakota has signed a contract with Energy Transportation Systems Inc. to sell up to 50,000 acre-feet of Correction Thomas Anton was incorrectly referred to as the chairman of the Board in Control of Intercollegiate athletics in an article appearing in the July 16 edition of the Daily. Anton is a member of the board, which is chaired by Athletic Director Don Cahham. in Midwest water annually from the Missouri River north of Pierre to enable the firm to use some of it ina coal slurry pipeline from Wyoming to southern states. The task force agreed the issue of water transfers is an "upstream-down- stream issue that needs study" and urged that work be completed on an in- terstate compact on Missouri River water use, but declined to take a stronger position. BILL CREWS, a task force member from Iowa - one of the states which has opposed the ETSI sale - said "We all agree the states should solve these issues among themselves." He agreed with the task force ap- proach not to take a position on water diversion because "it's a sticky question that involves many separate states but isn't necessarily encom- passing all these people" from the 13 states attending the conference. Clyde Saukerson, the South Dakota task force member, said his state is not considering any future water sales similar to the ETSI transfer, but he deemed the ETSI sale as justifiable and legal. Tel. 769-0342 TV RENTALS & AIR CONDITIONERS TV & STEREO SERVICE STUDENT RATES USED, RECONDITIONED EQUIPMENTfor$ALE HI Ft STUDIO 215 SOUTH ASHLEY, DOWNTOWNANN ARBOR TinBkWest of ma .nSteet Te..764-0342, 664-7942 What's new, pussycat? One thing that isn't for sale at David's Bookstore is their resident feline guard, Isabelle. In the absence of burglars and rodents, though, she enjoys eyeing the customers. Former student publications board secretary, 65, dies A memorial service will be held at 1 p.m. today for Maurice M. Rinkel, 65,. former Secretary-Treasurer of the University's Board for Student Publications. Rinkel died Friday at the Huronview Lodge, a local convalescent home. Rinkel was born November 29, 1916 in Cannelton, Indiana, moving to Ann Ar- bor at the age of 10. After graduating from high school, he attended the University where he received bachelor's and master's degrees, both in business administration. During World War II, Rinkel served in the Navy, after which he was em- ployed by the New York City accoun- ting firm of Arthur Little as an accoun- tant. Rinkel returned to Ann Arbor in 1948, accepting a position with the Univer- sity in the Office of Student Organizations. Since then he also held several positions including Director of the Law Club. In 1950, Rinkel began working for the Board for Student Publications. He became well known to students and administrators through his extensive work with both organizations. Following a long bout with illness, Rinkel officially retired on April 30th of this year. Memorial services will be held at St. Andrews Episcopal Church, 306 North Division. In lieu of flowers, family members are requesting that con- tributions be sent to University radio station WUOM. If vegetable dishes excite you, Then the League is sure to delight you. The quality's nice, Every dish is well-spiced, There's a different selection each night, too! 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