CITIES SERVICE: TAKEOVER TALK
In the fast-paced, big-money world of oil company mergers, one name that has been in the news with increased frequency is the Cities Service Company, the Tulsa, Okla., energy conglomerate that is the nation's 20th-largest oil company. In the flurry of activity that preceeded the $6.82 billion purchase earlier this week of Conoco Inc. by the Du Pont Company, Cities Service was in the ring, talking of a possible Conoco merger. That talk, however, was scuttled by a $2.5 billion bid from Joseph E. Seagram & Sons Inc., the American subisidiary of the Canadian liquor company, which, in turn, was outbid by Du Pont. This week, there was talk on Wall Street of a possible bid by Texaco Inc. for Cities Service, and yesterday this talk prompted Cities Service to issue a terse statement saying it was not dis- Texaco's reported bid for Cities Service could top $3 billion, b anking sources said yesterday. Page D4. cussing a merger with Texaco, or with anyone else for that matter. And it added that it was not interested in starting such talks.