January 21, 1975

GM chmn Thomas A Murphy says rebates ranging from $200 to $500 will be paid to customers who bought or who will buy any of co's compact and subcompact models between Jan 13 and Feb 28; action follows similar moves by Ford and Chrysler; spokesmen for both cos say sales have increased since rebate program began; incentive plans designed to stimulate car sales continue to proliferate outside auto indus; at least 35 cos, many in Detroit area, are paying rebates to their employes; Amer Motors and Chrysler are cooperating by contributing to such rebates, which range up to $300; Sperry & Hutchinson Co will give 50,000 S & H Green Stamps to its employes who buy new car before Mar 31, and Gulf & Western Industries is offering $100 bonus (M)

illus of Abp Makarios outside US culture center in Nicosia calming demonstrators protesting US policy for divided island

Gallup Poll, published in current issue of Newsweek magazine, repts that 55% of those responding prefer nationwide rationing program, campared with 32% who prefer taxes that would result in higher gasoline prices (S)

Fed Reserve, in 2d major action to combat recession in less than 3 wks, makes money for bank loans more easily available by reducing reserve requirements; in earlier actions, reduced interest rates it charges banks to which it lends money; reduced reserve requirements releases $1.1‐billion, and several times that amt in terms of vol of new loans banks may make; Fed Reserve, for 1st time in current recession, alludes to poor liquidity position of banks as reason for its action (M)

US officials say enough progress has been made in Eur security conf, Geneva, to permit US to start planning for final meeting, at summit level, in Helsinki, next summer; meeting would involve acceptance of declaration including ratification of postwar boundaries in Eur; conf revd; some issues involving Soviet acceptance of freer contacts to be negotiated (M)