January 7, 1997

Advisory Council on Social Security, Federal advisory panel, suggests that nation consider investing part of Social Security revenues in stock market to insure solvency of retirement program; says program can obtain much higher return by investing money in stocks; members disagree on whether workers or Government should decide how money is invested; their recommendations discussed; graphs; photo (M)

News analysis; recommendation by Advisory Council on Social Security that nation place large part of Social Security trust fund in stock market, where it could reap greater returns and avoid revenue shortfall early in 21st century, raises host of questions (M)

Pres Clinton meets with clergy at annual White House ecumenical breakfast; asks for help in creating sense of reconciliation and right sort of spirit needed to grapple with nation's social problems; photo (M)

Raytheon Co wins bidding for Texas Instruments' military business; it will pay $2.95 billion in cash for a division that makes missiles, radar systems, night-vision equipment and electronic warfare gear; Washington has encouraged arms makers to combine in interest of efficiency, as military spending has shrunk; analysts think Raytheon paid too much, but Raytheon is determined to prevail amid brutal consolidation in industry; move signals its status as possible contender for Hughes Electronics military business, which General Motors hopes to sell for as much as $9 billion; Raytheon's chief financial officer, Peter D'Angelo, predicts that Raytheon and Texas Instruments operations would complement each other so well, with little overlap, that sales would grow with no staff cutbacks necessary (M)

Two sons and ailing widow of Dentist Dr Howard Cohen, in what may be largest wrongful death settlement ever in New Jersey, to receive $10.5 million; Dr Cohen was killed when he accidently drove his car into Shrewsbury River off unmarked boat ramp (New Jersey Daily Briefing) (S)