May 31, 1979

IT isn't just an ordinary farmhouse, and it certainly can't be called a converted barn. In the barn/farmhouse that was recently completed Westchester County by Paul Segal Associates, the New York architectural firm, there is more country living than simply being down on the farm.

1st and 2d grade students at NYC Dalton School write and perform musical play celebrating NYC; illus (S)

Federal Reserve Board, FDIC and HLBB, at separate meetings, approve series of measures to let consumers earn more interest on savings accounts, effective July 1; regulators approve 1/4 percentage point rise in maximum interest rates on savings accounts to 5.5% at thrift institutions and 5.25% at commercial banks; maintain rate differential temporarily to enable savings and loan assns to attract funds for home mortgages; authorize creation of new kind of 4-year savings certificate, with no minimum denomination and with variable interest rate 1 percentage point below average 4-year rate for Treasury securities; moves are consistent with Pres Carter's decision to endorse bill to gradually drop all rate ceilings, but fall short of Carter's recommendations; regulators cite inflation as key factor in decision; HR Subcom on Commmerce, Consumer and Monetary Affairs chmn Benjamin S Rosenthal calls proposals 'inadequate' (M)

correction of May 29 article: Convenience & Safety Corp's contract is being challenged in courts and shelters are still being maintained by Bustop Shelters Inc (S)

Arabs fought Iranian troops, leaving at least 21 people dead and 71 wounded. The clashes pitted Arabs of Khuzistan Province, who have been seeking autonomy, against the dominant Persians. Other clashes were reported in nearby Abadan, site of the world's largest oil refinery. [Page A1, Column 1.]