October 28, 2000

Microsoft Corp says unidentified intruders had access to its computers for about six weeks and were able to view some of source code for future software product; says culprits were not able to view or steal source code for Microsoft's most important products, its Windows and Office software; has contacted FBI for help (M)

Directors of Gazprom vote to tighten control over management in move to halt what many directors say has been loss of assets; directors, pushed by Russian government, company's biggest shareholder, votes to require management to seek board approval for any sales or share issues; shareholders have grown increasingly concerned that Gazprom is losing value through asset sales and issuance of new shares on conditions unfavorable to company; meeting was postponed to allow Pres Vladimir V Putin time to confer with his close aides, who are members of board; Dmitri Medvedev, chairman, says that Gazprom needs to be managed in new way and that assets need to be assessed and inventoried (M)

Nassau County, NY, Executive Thomas S Gulotta rejects Legislature's four-year fiscal rescue plan, holding he cannot accept 15.4 percent 2001 property tax rise, news conference; says he will veto measure, including $2.2 billion 2001 budget, if he cannot reach compromise with legislative leaders on more spending cuts to reduce tax rise; Judith A Jacobs, who leads Legislature's Democratic majority, bars compromise; Democrats say 2001 budget would cut spending by $145 million, but would still spend $60 million more that Gulotta proposed (M)

Vice Pres Al Gore and Gov George W Bush campaigns accuse each other of using dirty advertising techniques to try to win election, including inflammatory telephone calls to voters and incendiary television spots; both sides had been keeping fairly tight lid on invective in close race; Republicans and Democrats are beginning to accentuate negative to mobilize their partisans and stir up as much doubt as possible about opposition among undecided voters (M)d

Commerce Dept reports that pace of economic activity slowed sharply in third quarter as higher interest rates took their toll on growth; says gross domestic product rose at annual rate of 2.7 percent; economists say that signs point to temporary dip, but strong gains of recent years may have ended; Wall Street welcomes slowdown, with some forecasters seeing report as evidence that economy is on verge of achieving 'soft landing,' in which production and spending slow to pace that is not likely to raise inflation rate but is sufficient to keep economy from falling into recession (M)