March 6, 1992

Bill Clinton approaches the Florida primary on Tuesday with more money to spend and a stronger organization behind him than his main rival, Paul E. Tsongas. But the demographics of Florida, which has millions of transplants from the north and a disproportionately large number of well educated, white professionals, may favor Mr. Tsongas.

The Economy An unusually large number of Americans were buying again in February, a sales month that is normally sparse, retail sales figures indicated. Sales were strong not only at Wal-Mart but at stores with more checkered records, like J. C. Penney. [ Page D1. ] A program of rapid approval for biotech products was announced by the head of the F.D.A. [ D2. ] Initial claims for unemployment benefits fell by 21,000, the Government said. [ D12. ] Personal computer users scurried to try to escape a computer virus timed to erase data and programs today. [ A14. ] The Government is hiring more than 100 Russian scientists to help America harness the energy of nuclear fusion. [ A1. ] New Jersey told auto insurers they would have nearly two years to phase in new regulations, but the changes may never go into effect. [ B1. ] Companies The $1.3 billion settlement with Milken and his former Drexel colleagues was rejected by the F.D.I.C. board. [ D1. ] Westinghouse won a contract to build a Philippine nuclear plant in 1974 by paying a Marcos associate more than $17 million to be a "special sales representative," documents indicate. [ D3. ] Macy's said it would shutter 5 of its 24 I. Magnin outlets and 52 other specialty stores by June. [ D4. ] The Gap reported sharply higher sales, but its stock fell after it said its growth would moderate in 1992. [ D4. ] The S.E.C. told Exxon it must allow shareholders to vote on a proposal to set up a special panel representing big shareholders to oversee the board. [ D6. ] Three years after Northwest Airlines went private, the company that helped pioneer passenger air service must either expand sharply or fade into an also-ran. [ D1. ] Airlines are offering discount fares for spring and summer because despite an improvement in transatlantic traffic, they are faced with lagging advance bookings. [ D16. ] S.A.S. said it would pull out of a venture to own Inter-Continental hotels with Seibu Saison. [ D3. ] International Shifting its policy toward the former Soviet republics, the U.S. reached tentative agreement to loosen international controls on exports of advanced telecommunications equipment. [ D1. ] American semiconductor executives are beginning to express concern that their Japanese competitors might be selling computer chips below production cost. [ D3. ] Markets The American Stock Exchange got S.E.C. permission to list smaller, younger and more speculative companies that now trade over the counter. [ D1. ] Stocks closed sharply lower in heavy but cautious trading. The Dow dropped 27.06, 3,241.50. [ D6. ] Prices of Treasury securities continued to slide and interest rates moved higher in active trading. [ D12. ] Confusion in the coffee market sent futures prices down. [ D13. ] The dollar gained. [ D13. ] Today's Columns John B. Neff, who runs the Windsor Fund, is not shy about offering opinions. His latest: Chrysler should quickly name a successor to Iacocca. Floyd Norris: Market Place. [ D1. ] Is a "new world order" on its way after a painful transition period? Leonard Silk: Economic Scene. [ D2. ] The language of the streets is becoming the language of Madison Avenue, as advertising slogans veer toward the vernacular. Stuart Elliott: Advertising. [ D5. ]

Another Rise in Retail Sales Americans increased their buying in February, giving the nation's largest retail chains their second straight monthly sales gains after the bleak Christmas season. Page D1. New Leader for United Way The United Way of America, still grappling with issues surrounding the resignation of its president this week, named an I.B.M. official, Kenneth W. Dam, as interim president. Page A15. Churches and the I.R.S. The White House said a proposal to allow Internal Revenue Service scrutiny of church donor lists was still alive in spite of opposition by Vice President Dan Quayle. Page A17. Taped-Beating Trial Opens The defense argued that police officers charged in the beating of a black motorist were frightened by his bizarre and violent behavior. Page A14.

A convicted child molester, released from prison one year ago, has been arrested on charges that he sexually attacked six more children in Brooklyn and Queens in the last six months, the police said. It is the second time that the suspect, Jose Velez, 38 years old, of 1570 East New York Avenue in East New York, Brooklyn, has been arrested in sexual attacks of children while under state supervision for similar crimes.

The Federal Deposit Insurance Corporation said yesterday that its board rejected the $1.3 billion settlement that its lawyers reached last month with Michael R. Milken, the former junk bond chief at Drexel Burnham Lambert, and hundreds of his former colleagues. But the agency left some room to negotiate. The agency, which had accused Mr. Milken of causing the savings and loan industry to lose billions of dollars, wavered all week on whether to approve the deal. Its last-minute announcement, on the eve of an important court hearing today, stunned many of the lawyers who had rushed to Washington to patch up the agreement and who left work yesterday thinking it was on track.