BUSINESS DIGEST
Barnes & Noble in Deal That Could Hurt Amazon Microsoft and Barnes & Noble announced an agreement to weave together their on-line products and services in a multimillion-dollar marketing arrangement that makes Barnes & Noble the exclusive book merchant on Microsoft's popular MSN network. The deal could prove damaging to the Internet's largest bookseller, Amazon.com. Financial terms of the deal were not disclosed, but analysts said it could give Barnes & Noble significant reach in an area where it has lagged. Shares of Barnes & Noble surged 10 percent and Microsoft rose nearly 5 percent. Shares of Amazon rose 1.3 percent. [Page C6.]