August 28, 1974

effects on Wall St of depressed stock mkt discussed; brokerage firm revenues have dropped 50% in last 5 yrs; avg common stock is worth 1/3 of its value 18 months ago; some indus leaders agree with I W Burnham 2d (Drexel Burnham & Co) that indus is as depressed as it was in 1930's; Lawrence H Weiss (Odd Lots Securities Ltd), Richard H Jenrette (Donaldson Lufkin & Jenrette), Thomas F Staley (Reynolds Securities Inc, retired), James E Bacon (G H Walker Laird Inc) and J Henning Hilliard (J J B Hilliard) comment; office vacancy rate in Wall St is estimated at from 15% to 20%; illus of Paine Webber Jackson & Curtis branch (L)

Turkish Foreign Min makes public statement presented to Soviet Amb Vasily F Grubyakov rejecting Soviet proposal for expanded Cyprus peace conf; Turkey rejects Soviet allegation that Cyprus crisis reflects attempt to turn Cyprus into stronghold of NATO; holds Turkish mil intervention on island is designed to maintain independence of Cyprus as nonaligned state against attempts of Greek mil to bring about union of Cyprus with Greece; says possibility of Cyprus's coming within collective security system of NATO could have arisen if whole or part of Cyprus were to be annexed to member country of NATO and says Turkey intends to resist such annexation; says Turkey has reservations about Soviet suggestion involving large number of states in Cyprus issue and warns that this would inevitably result in limitation of independence of Cyprus; objects that Soviet proposal would open way for permanent members of Security Council to decide status and policies of other countries whenever and wherever country is faced with problems that may cause some degree of internatl concern; criticizes Greek refusal to resume negotiations in Geneva; says Turkey is prepared to begin phased reduction of forces in Cyprus as soon as security of Turkish Cypriotes still in Greek Cypriote sector have been assured; holds Greek and Greek Cypriote talks and threats of enosis and verified repts of massacres committed against unprotected groups of Turkish community are not conducive to creation of atmosphere for fruitful negotiations (M)

Pres Ford's attempt to reshape Presidency he inherited from former Pres Nixon by making it more open and by removing everyone who had any association with Watergate scandals is proving more difficult than some of Ford's associates expected; Ford's associates are urging him to dismiss Alexander M Haig Jr as White House chief of staff; Haig's role in Nixon Adm discussed; those still on payroll from Nixon Adm include Patrick J Buchanan and Rev John J McLaughlin; as long as there are Nixon holdovers on staff, Haig's services as chief of staff are considered valuable to Ford; contributing to reluctance to dismiss Haig is fact that he played important role in Nixon's resignation as Pres (L)

Wayne Colburn, head of US Marshal's Service, says there is no rush about serving former Pres Nixon with subpoena to appear as witness in Watergate cover-up trial (S)

FBI probes friends and foes of Vice Pres-designate Nelson A Rockefeller as investigation into Rockefeller's background continues; those questioned say they have found nothing bad to tell FBI; some comment; FBI spokesman Tony Leone says FBI will go in whatever direction investigation takes until it feels investigation is complete; says it is not as yet complete; meanwhile, Rockefeller turns over what he describes as first installment of his financial records to Cong coms that will consider his nomination (L)