April 9, 1998

Companies Vow to Drop Support for a Tobacco Deal The chairman of RJR Nabisco, followed by officials of other big tobacco companies, said that his company would no longer work for comprehensive legislation to regulate tobacco and would instead adopt a policy of full-scale advertising and litigation. The industry asserts that legislation approved by the Senate Commerce Committee would drive companies into bankruptcy. The bill would not give the companies the protection they want from lawsuits based on smoking-related illnesses. [Page A1.]

South Korea, financially destitute just four months ago, won an enormous vote of confidence from investors around the world yesterday with the successful sale of $4 billion in Government bonds. It was the first time South Korea had attempted to sell i.o.u.'s to foreign investors since the worst of its economic crisis in December, when the Government's largest state-owned bank had to scrap a bond sale because of investor resistance.

Harvey Araton Sports of The Times column discusses Miami Heat coach Pat Riley's cautious reaction to news that New York Knickerbockers center Patrick Ewing may play in playoffs after sitting out majority of season with broken wrist (M)

String of key departures after recent years of rapid expansion is causing Lazard Freres & Co, prestigious 150 year-old investment bank, to try to act more like other established financial institutions--with committees and governance; attempted cultural makeover, building on new management structure created 11 months ago when Steven Rattner was appointed deputy chief executive, also includes significant expansion of firm's principal investing business and more internal promotions; chairman-chief executive Michel A David-Weill and Rattner say new 'banking committee'--made up of Kenneth Jacobs, William R Loomis Jr, J Robert Lovejoy and Rattner--will oversee investment bankers; new committee replaces Gerald Rosenfeld, who resigned two weeks ago; photo (L)

More than 200 caricatures by well known artists--such as Will Cotton, Miguel Covarrubias and Al Hirschfeld--will be part of Celebrity Caricature in America exhibit at Smithsonian Institution's National Portrait Gallery; photo; 23-year-old Englsh composer Andrew March is first winner of Masterprize biennial competition to encourage new classical works that is administered by BBC, EMI and London Symphony; architect I P Pei is recipient of 1998 Edward MacDowell Medal, presented to creative artist for outstanding contribution to arts; photo; philanthropist Caroline Newhouse gives $1 million to Career Transition for Dancers to establish Caroline and Theodore Newhouse Center for Dancers--new headquarters for organization in Manhattan (M)