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About The daily Nebraskan. ([Lincoln, Neb.) 1901-current | View Entire Issue (April 17, 1997)
SPORTS Winter lover NU women’s golfer Hanne Nyquist is a big fan of snow and golf. For Nyquist, the two have been a perfect fit this season. PAGE 10 HE Get happy Bobby McFenin, the one-man vocal band who sang “Don’t Worry, Be Happy,” performs tonight at the Lied Center for Performing Arts. PAGE 12 THURSDAY April 17, 1997 A Glimmer Of Hope Sunny, breezy, high 65. Clear tonight, low 43. VOL. 96 COVERING THE UNIVERSITY OF NEBRASKA-LINCOLN SINCE 1901 " NO. 140 Tobacco conpaales any snuff Icons NEW YORK (AP) — Abandoning their all out defense of cigarettes, the nation’s two big gest tobacco companies now seem willing to cut their legal losses for up to $300 billion and re tire Joe Camel and the Marlboro Man if the gov ernment backs off its threat to regulate nicotine. RJR Nabisco and Philip Morris are in early talks with the attorneys general of eight states in hopes of winning blanket protection from law suits over smoking-related health problems. In return, the cigarette companies would pay hundreds of billions of dollars and agree to cut back on ads, especially ones like Joe Camel that appeal to children and those that depict people, such as the Marlboro Man. The cigarette companies’ willingness to even consider such concessions marks a startling turn around. For decades, the tobacco industry has fought a no-retreat battle on all fronts. In the past few years, however, the industry has been barraged with lawsuits filed by 22 states Decision could seal fate of Marlboro Man, Joe Camel and countless individuals, and the litigation is hurting stock prices and taking management’s attention away from the business of selling ciga rettes. “I think the tobacco industry is in big trouble and they know it, so they are finally beginning to come to the table,” Minnesota Attorney Gen eral Hubert H. Humphrey El said. “I think then proposals still fall short of what we’d be inter ested in.” A sticking point is whether the Food and Drug Administration would get the right to regu late the nicotine levels in cigarettes to make them less addictive. The tobacco companies adamantly oppose such regulation for fear that once the FDA gets the power to regulate tobacco, it will try to ban it. News of the talks, first reported Wednesday by The Wall Street Journal, sent cigarette com pany stocks up 10 percent, reflecting investor hopes that an industrywide settlement of tobacco lawsuits would lift a cloud hanging over com panies. Industry analysts have said that tobacco com panies, which had revenue of about $45 billion last year, could finance a big settlement simply by raising cigarette prices. “A resolution of this issue is important to our shareholders, our customers and our coun try,” RJR Nabisco Chairman Steven Goldstone said at a stockholder meeting Wednesday in Win ston-Salem, N.C. “But it has to be fair and it has to be reasonable.” The amount of a settlement also is among the sticking points. “The industry is in the low twos and the plain tiffs are in the upper threes. There is no consen sus on the money,” said an anonymous source close to the negotiations. Also under discussion is the establishment of a fund from which smokers could seek pay ments. They would be banned from suing the. cigarette companies. Protection from lawsuits would require an act of Congress, and that’s another one of the unresolved issues that is said could still sink the Please see TOBACCO on 2 mIS: • Matt Miller/DN LOBBYIST BILL WYUE, left, talks wtth attorney Ted Frazier outside the legislative chamber Wednesday afternoon. Wylie was a state senator from 1965-1969. Nelson: Spring floods no reason for panic By Erin Schulte Senior Reporter While the drip, drip of melting snow may be music to frostbitten ears, it might sound like money gurgling down the drain for Nebraska farmers. Gov. Ben Nelson said Wednesday that parts of Nebraska should brace for spring flooding, but not panic. “There is a fine line between being prepared and the state crying wolf and scaring people unnecessarily,” he said. Snow melting from western mountains and die plains is flooding low-lying areas around Rulo, where some farmers have decided not to plant their crops, Nelson said Near Rulo, die Missouri River is al ready a few feet above flood level. Another problem, Nelson said, is that reservoirs are already full. During the 1993 floods, Nebraska escaped poten tial flood damage because die rains came after years of drought. Now,'the U.S, Army Corps of Engineers has to release water from the reservoirs to make room for spring flooding, Nelson said. Cooler temperatures and more pre cipitation is predicted for this spring and summer, which also adds to the problem, he said. Other areas expected to be hit hard are towns around the Niobrara River, he said. Two years ago, roads around the Niobrara had to be raised to avoid floodwaters, or residents would have had to fravel 100 miles for basic ser vices. “We’re going to meet with local officials and tell them what to expect,” Nelson said. One bright spot is Nebraska’s ex cellent flood control, he said, which consists of six dams along the Missouri River. The dams, which cost about $1.2 billion to build, have saved the state billions in past years; and will save more in the future. “Through last year’s flooding, it prevented $10.5 billion in damage and untold grief along the way,” Nelson said. “Without it, Eppley (Airfield) would be underwater.” Senators to receive online presentation on education finance By Brian Carlson Staff Reporter Supporters of increased federal funding for higher education will seek to gain the attention of U.S. senators in an online presentation Thursday at the Capitol. An Internet petition signed by thou sands of financial aid supporters demand ing increased federal funding will be pre sented to senators by the U.S. Public Interest Research Group, Rock the Vote, and the U.S. Students Association. Several Democratic senators, in cluding Senate Minority Leader Tom Daschle of South Dakota, Sen. Ted Kennedy of Massachusetts and Sen. Barbara Boxer of California will attend. The petition effort, sponsored by the Democratic Technology & Com munications Committee (DTTC), pro motes Democratic plans for easing fi nancial burdens for college students. Current initiatives call for increased Pell Grants, tax deductions for low- and middle-income families and lower fees and interest rates for student loans. Jim Papa, DTTC press secretary, said the Internet petition plays to stu dents’ political strengths. “Students are known for not having as much influence as the numbers indicate they should,” he said. “But one of the ad vantages students have is web savvy.” Currently, students are often pre vented from attending the colleges of their choice or face years of debt be cause of rising college costs, Papa said. He said greater access to higher education would be essential for main taining the United States’ status as an economic world power. Although federal budget constraints are a concern, higher education de serves special consideration by Con gress this year, Papa said. “It’s a matter of whether or not it It's a matter of whether or not we're going to make higher education a priority." Jim Papa DTTC press secretary we’re going to make higher education a priority,” he said. Press officials for Daschle said they were hopeful that Democratic propos als for easing college students’ finan cial burden would be passed into law. However, they also said Republicans had shown little inclination toward sup porting their proposals. Deb Fiddelke, press secretary for Nebraska’s Republican Sen. Chuck Hagel said Hagel’s office had not been contacted with regard to the petition drive. She said Hagel would support Re publican efforts to make college more affordable. Those efforts include the Safe and Affordable School Act, which would provide $7 billion in tax relief over the next seven years for parents faced with college expenses. An Intranet home page for the peti tion drive was recently constructed and can be accessed at <www.pirg.org/stu dent/aid/petition>. The site includes the petition, which can be sent via e-mail. Organizers said everyone affected by college costs is welcome to sign the petition, which concludes, “A college education is the best investment in America’s future. Support student aid and stop the doors of college from clos ing on America’s future.” Read the Daily Nebraskan on the World Wide Web at http: / / www.unl.edu IDailyNeb'
