1
 Investors dumped stocks of big companies 
5001
span

2
whose earnings fluctuate with the economy.
1
elaboration-object-attribute-e

3
 Many of those cyclical issues are in the Dow Jones Industrial Average, 
5002
span

4
which fell 26.23 to 2662.91. 
3
elaboration-additional-e

5
Declining issues on the New York Stock Exchange outpaced advancers, 1,012 to 501. 
5002
elaboration-additional

6
 Recession fears are springing up again among investors.
5003
consequence-n

7
 Analysts say 
8
attribution

8
that the selling of cyclical stocks yesterday will be followed by a sell-off in shares of companies with big debt loads on their balance sheets. 
5006
span

9
In an economic slowdown, heavy debt loads reduce the flexibility of companies 
5128
span

10
because cash 
5009
span

11
that would normally be used 
5008
span

12
to keep the company buoyant 
11
purpose

13
must be diverted to interest payments.
5010
Same-Unit

14
 On the other hand, investors beat a clear path yesterday to blue-chip issues with proven earnings growth records.
5015
span

15
 Among the 30 Dow industrials, they bought McDonald's, Coca-Cola Co. and Procter & Gamble 
5014
Contrast

16
and sold Aluminum Co. of America.
5014
Contrast

17
 In another sign of slowdown fears, investors dumped technology shares.
5013
Contrast

18
 Many money managers are bracing for a decline in stocks of companies with big debt loads on their balance sheets.
5069
span

19
 The junk bond market is being taken apart 
5017
span

20
because of recession fears, 
19
consequence-n

21
said J. David Mills, senior vice president at Boston Company Advisers.
5017
attribution

22
 Under this scrutiny, the first thing 
5020
span

23
you do 
22
elaboration-object-attribute-e

24
is sell your cyclical stocks 
5021
Same-Unit

25
and the second thing 
5022
span

26
you do 
25
elaboration-object-attribute-e

27
is sell your over-leveraged companies.
5023
Same-Unit

28
 In fact, much of the buying in blue chips yesterday was a pursuit of companies with lower debt levels. 
5046
evidence

29
In a recent investment letter 
5027
span

30
entitled Winners of the `Leverage Wars, '  
29
elaboration-object-attribute-e

31
Edward Kerschner, chairman of PaineWebber's investment policy committee, suggested 
5028
Same-Unit

32
that investors buy stocks of companies 
5030
span

33
that have avoided loading up on debt.
32
elaboration-object-attribute-e

34
 We're saying 
35
attribution

35
companies have to pay increasing attention to balance sheets, 
5031
span

36
said Mr. Kerschner.
5031
attribution

37
 He suggested 
38
attribution

38
that investors buy the shares of Great Atlantic & Pacific Tea, J. Baker, McDonald's, Philip Morris and Sara Lee.
5033
span

39
 He said 
40
attribution

40
that all of these companies will be able to compete fiercely in an economic downturn.
5034
span

41
 McDonald's has long-term debt 
5040
span

42
equaling 91% of shareholder equity currently, 
41
elaboration-object-attribute-e

43
but Mr. Kerschner said 
44
attribution

44
the company is carrying real estate assets at about $2.6 billion below their real value. 
5041
span

45
 Coca-Cola climbed 1 3/8 to 72 1/8; 
5044
List

46
McDonald's added 1 to 31 3/8, 
5044
List

47
and Procter & Gamble gained 3/4 to 130 5/8.
5044
List

48
 A&P fell 1 1/4 to 57 5/8, 
5044
List

49
and J. Baker gained 3/8 to 21 1/4.
5044
List

50
 Philip Morris slipped 1/2 to 43 7/8, 
5044
List

51
while Sara Lee closed unchanged at 60 1/8.
5044
List

52
 According to Salomon Brothers' stub stock index of 20 companies 
5049
span

53
whose debt is giant 
5050
span

54
compared with shareholder equity, 
53
comparison

55
investors are already beginning to retreat from shares of debt-laden companies. 
5051
span

56
From January to early September, the index of stub stocks 
5052
span

57
-- the tiny portion of equity 
5053
span

58
that's publicly traded 
5054
span

59
following a recapitalization -- 
58
circumstance

60
outperformed Standard & Poor's 500-stock index by about 20%.
5055
Same-Unit

61
 But 
5057
Same-Unit

62
starting in early September, 
63
circumstance

63
the index started to slide 
5131
span

64
and now stands about even with the S&P 500. 
5058
span

65
 Stocks 
5061
span

66
that have a high default risk 
65
elaboration-object-attribute-e

67
have started to underperform those stocks 
5062
span

68
that have a lower default risk, 
67
elaboration-object-attribute-e

69
said Eric Sorenson, director of quantitative analysis at Salomon Brothers.
5063
attribution

70
 Companies 
5065
span

71
that have the most exposure to the business cycle 
70
elaboration-object-attribute-e

72
have underperformed since late last summer.
5066
Same-Unit

73
 Union Carbide, 
5072
span

74
whose third-quarter earnings dropped about 35% from a year earlier 
5133
List

75
and fell short of analysts' expectations, 
5133
List

76
declined 1/2 to 24 1/2. 
5073
Same-Unit

77
Also, Exxon went down 3/8 to 45 3/4 
5074
List

78
and Allied-Signal lost 7/8 to 35 1/8 
5074
List

79
even though the companies' results for the quarter were in line with forecasts.
5074
concession

80
 Other weak blue-chip issues included Chevron, 
5077
span

81
which went down 2 to 64 7/8 in Big Board composite trading of 1.3 million shares; 
80
elaboration-additional-e

82
Goodyear Tire & Rubber, off 1 1/2 to 46 3/4, and American Express, down 3/4 to 37 1/4. 
5134
Same-Unit

83
Texas Instruments, 
5079
span

84
which had reported Friday 
85
attribution

85
that third-quarter earnings fell more than 30% from the year-ago level, 
5080
span

86
went down 2 1/8 to 33 on 1.1 million shares.
5081
Same-Unit

87
 Motorola, another major semiconductor producer, dropped 1 1/8 to 57 1/2.
5076
List

88
 Pinnacle West Capital, 
5082
span

89
whose earnings have been hurt by continued problems at its MeraBank unit, 
88
elaboration-additional-e

90
fell 1 5/8 to 9 1/8 on 2.1 million shares 
5083
Same-Unit

91
to lead the Big Board's list of most active issues.
5083
evaluation-s

92
 Growing pressures on the Arizona real-estate market are affecting the thrift; 
5086
circumstance

93
Pinnacle West told Dow Jones Professional Investor Report 
5087
attribution

94
it may consider filing for Chapter 11 bankruptcy protection 
5087
span

95
if it can't reach an agreement with federal regulators 
5088
span

96
to provide additional capital to MeraBank.
95
elaboration-object-attribute-e

97
 Hercules dropped 2 5/8 to 41 3/4 on one million shares 
5090
span

98
-- about six times its average daily trading volume -- 
97
restatement-e

99
after a disappointing third-quarter earnings report.
5091
Same-Unit

100
 Merrill Lynch and Prudential-Bache Securities both lowered the stock's investment rating 
5093
span

101
immediately after the results were issued Friday,
100
temporal-after

102
 according to PIR.
5093
attribution

103
 Elsewhere in the chemicals sector, Dow Chemical fell 1 1/4 to 97 1/2, 
5095
List

104
Monsanto lost 1 7/8 to 118,
5095
List

105
 B.F. Goodrich slipped 2 1/4 to 44 3/4
5095
List

106
 and Olin slid 1 to 57 3/4.
5095
List

107
 Other stocks 
5096
span

108
hurt by earnings-related selling 
107
elaboration-object-attribute-e

109
included Tandy, 
5097
span

110
which dropped 1 3/8 to 44, 
109
elaboration-additional-e

111
and Eaton, 
5098
span

112
which retreated 2 1/2 to 57 1/2.
111
elaboration-additional-e

113
 Third-quarter earnings at both companies were below analysts' forecasts.
5100
evaluation-s

114
 After declining about 41% last week, 
115
temporal-after

115
UAL advanced 9 7/8 to 178 3/8 on 1.1 million shares on anticipation of a revised takeover offer from a labor-management group for the parent company of United Airlines.
5103
span

116
 However, Delta Air Lines fell 1 1/2 to 67 1/2 
5104
List

117
and USAir Group dropped 3/4 to 42 1/2. 
5104
List

118
 Ramada gained 7/8 to 11 1/4 
5106
span

119
after revamping the terms of its restructuring plan, 
5107
span

120
which calls for the company to sell its hotel operations for $540 million and spin off its casino business to shareholders.
119
elaboration-additional-e

121
 The revision follows last month's withdrawal of a $400 million junk-bond offering for the new casino company, Aztar Corp.
5108
Inverted-Sequence

122
 Mead gained 1 to 37 7/8. 
5114
span

123
USA Today reported 
5113
attribution

124
that the Rales brothers, Washington, D.C.-based investors 
5111
span

125
who made an unsuccessful offer 
5112
span

126
to acquire Interco last year, 
125
elaboration-object-attribute-e

127
have bought nearly 3% of Mead's common shares.
5113
Same-Unit

128
 Entertainment and media stocks generally escaped the market's slide as well.
5116
span

129
 Paramount Communications rose 5/8 to 58 3/4, 
5115
List

130
Time Warner climbed 1 7/8 to 138 5/8,
5115
List

131
 Walt Disney advanced 3 1/8 to 127 1/2, 
5115
List

132
MCA rose 1 1/8 to 65 5/8 
5115
List

133
and McGraw-Hill added 1/2 to 67 1/8.
5115
List

134
 The American Stock Exchange Market Value Index lost 3.11 to 379.46.
5118
span

135
 Volume totaled 10,450,000 shares.
134
elaboration-additional

136
 Carnival Cruise Lines Class A fell 1 3/4 to 20 3/4.
5123
span

137
 The company said 
5122
attribution

138
it had been notified unofficially that Waertsilae Marine Industries, a Finnish shipyard 
5120
span

139
building three cruise ships for the company,
138
elaboration-object-attribute-e

140
 is having financial trouble 
5121
Same-Unit

141
and may already have filed for bankruptcy.
5121
hypothetical

5001
span
5003
span

5002
span
5127
span

5003
span
5005
span

5004
span



5005
span
5007
span

5006
span
5129
span

5007
span
5013
Contrast

5008
span
10
elaboration-object-attribute-e

5009
span
5010
Same-Unit

5010
multinuc
9
consequence-n

5011
span



5012
span



5013
multinuc
5035
span

5014
multinuc
14
evidence

5015
span
5013
Contrast

5016
span



5017
span
5018
span

5018
span
5046
span

5019
span



5020
span
5021
Same-Unit

5021
multinuc
5024
Sequence

5022
span
5023
Same-Unit

5023
multinuc
5024
Sequence

5024
multinuc
5018
elaboration-process-step

5025
span



5026
span



5027
span
5028
Same-Unit

5028
multinuc
5030
attribution

5029
span
5037
span

5030
span
5029
span

5031
span
5032
span

5032
span
5029
restatement

5033
span
5038
span

5034
span
5130
span

5035
span
5125
span

5036
span



5037
span
5039
span

5038
span
5037
elaboration-general-specific

5039
span
5045
span

5040
span
5041
antithesis

5041
span
5042
span

5042
span
5034
elaboration-general-specific

5043
span



5044
multinuc
5039
elaboration-set-member

5045
span
5048
List

5046
span
5047
span

5047
span
5048
List

5048
multinuc
18
example

5049
span
55
attribution

5050
span
52
elaboration-object-attribute-e

5051
span
5060
span

5052
span
5055
Same-Unit

5053
span
56
definition-e

5054
span
57
elaboration-object-attribute-e

5055
multinuc
5132
Contrast

5056
span



5057
multinuc
64
result

5058
span
5132
Contrast

5059
span



5060
span
5068
span

5061
span
5063
Same-Unit

5062
span
5063
Same-Unit

5063
multinuc
5064
span

5064
span
5067
span

5065
span
5066
Same-Unit

5066
multinuc
5064
elaboration-additional

5067
span
5060
elaboration-additional

5068
span
5048
List

5069
span
5013
interpretation-s

5070
span



5071
span



5072
span
5073
Same-Unit

5073
multinuc
5076
List

5074
multinuc
5075
span

5075
span
5076
List

5076
multinuc
5117
Contrast

5077
span
5134
Same-Unit

5078
span



5079
span
5081
Same-Unit

5080
span
83
elaboration-additional-e

5081
multinuc
5076
List

5082
span
5083
Same-Unit

5083
multinuc
5084
span

5084
span
5089
span

5085
span
5084
hypothetical

5086
span
5085
span

5087
span
5086
span

5088
span
94
condition

5089
span
5076
List

5090
span
5091
Same-Unit

5091
multinuc
5092
span

5092
span
5076
List

5093
span
5094
span

5094
span
5091
consequence-s

5095
multinuc
5076
List

5096
span
5100
Same-Unit

5097
span
5135
Same-Unit

5098
span
5135
Same-Unit

5099
span



5100
multinuc
5101
span

5101
span
5076
List

5102
span



5103
span
5105
Contrast

5104
multinuc
5105
Contrast

5105
multinuc
5076
List

5106
span
5109
List

5107
span
5108
Inverted-Sequence

5108
multinuc
118
circumstance

5109
multinuc
5117
Contrast

5110
span
122
elaboration-additional

5111
span
5113
Same-Unit

5112
span
124
elaboration-object-attribute-e

5113
multinuc
5110
span

5114
span
5109
List

5115
multinuc
128
elaboration-general-specific

5116
span
5109
List

5117
multinuc
5035
elaboration-additional

5118
span
5124
span

5119
span
136
elaboration-additional

5120
span
5121
Same-Unit

5121
multinuc
5122
span

5122
span
5119
span

5123
span
5118
elaboration-set-member

5124
span
5125
elaboration-additional

5125
span
5126
span

5126
span



5127
span
5001
elaboration-additional

5128
span
5006
explanation-argumentative

5129
span
5005
interpretation-s

5130
span
5033
explanation-argumentative

5131
span
5057
Same-Unit

5132
multinuc
5051
evidence

5133
multinuc
73
elaboration-additional-e

5134
multinuc
5076
List

5135
multinuc
5100
Same-Unit

