Several of up to 60,000 people who have tentatively reached settlement in class-action civil rights suit against New York City describe being illegally subjected to strip-searches by jail guards in Manhattan and Queens after arrest for minor offenses, news conference; photo (M)

Despite Settlement in Strip-Searches, Effects of Shame Linger

Joyce Purnick column holds New York State Supreme Court Justice Leland DeGrasse's order to reform school financing is based on long known data about how New York City schools fail to provide sound, basic education to their mostly poor and minority students (M)

Metro Matters; No Secrets, Just the Shock Of the Familiar

Canada, ratcheting up trade dispute with Brazil, offers to guarantee low-interest bank loans to help Bombardier compete against Embraer of Brazil for order from Air Wisconsin that could be worth up to $3 billion (S)

LOAN SUBSIDIES FOR JET BUILDER

Silicon Valley home of David M Kelley, design entrepreneur, is designed by Ettore Sottsass, Milan-based architect best known in US for role in creating Memphis movement of early 1980's; photos (M)

A Milanese Master Jolts Silicon Valley

Bernard Holland reviews Philadelphia Orchestra concert of Iberian music under direction of David Robertson at Carnegie Hall; Pierre-Laurent Aimard is piano soloist; photo (M)

Refrain From Spain, Though French, Too, in the Main

 OPEC Faces Balancing Act As It Seeks to Cut Output  Next week, leaders of the Organization of the Petroleum Exporting Countries meeting in Vienna will face the delicate task of setting production levels that keep prices high enough to sustain their economies without helping place the United States into recession.    OPEC officials have announced they will sharply curtail petroleum output, although the size of the cut will not be known until next week. The Clinton administration, meanwhile, is scrambling to limit the damage, with the energy secretary, Bill Richardson, planning a round of talks with key OPEC officials in Europe and the Persian Gulf. [Page A1.]

BUSINESS DIGEST

Yamaha Motor Corp agrees to set up joint venture in US with Ford Motor Co to develop and manufacture engines for recreational boats (S)

YAMAHA AND FORD IN VENTURE

 Troubles for Yahoo  Fourth-quarter earnings at Yahoo, the second-largest Internet media company after America Online, barely met estimates, and Yahoo said its profit would fall 10 percent to 30 percent this year.   PAGE C1    FedEx to Haul Mail  The Postal Service will pay FedEx about $6.3 billion over seven years to transport some mail and will allow FedEx collection boxes at post offices around the country.   PAGE C4

INSIDE

NEC Corp of Japan will convert division that makes processors for network equipment into wholly owned subsidiary in preparation for taking unit public (S)

CHIP MAKER WILL SPIN OFF UNIT

Exide Corp, world's largest maker of car batteries, says federal prosecutors, who have been examining its business relationship with Sears, Roebuck & Co, are likely to seek criminal indictment of battery company or else demand plea bargain involving large fine; this is latest and most serious twist in long-running controversy over quality of millions of batteries that Exide shipped to Sears for sale as premium batteries under DieHard name; Exide problems could also draw further attention to business practices in auto and auto parts industry (M)

Exide Says Indictment Is Likely Over Battery Sales

Julie Salamon Critic's Notebook column appraises new wave of reality-base television shows: ox Entertainment's Temptation Island, CBS's Survivor II and ABC's The Mole; photos (M)

Reality Bites, But on TV It's Always Attractive

Fate of audacious plan that would give American Airlines and United Airlines control of half of domestic air travel market is in hands of government regulators, several labor unions and Delaware bankruptcy court; American Airlines and United Airlines disclose details of their five-airline, multibillion-dollar blueprint for remaking industry; Trans World Airlines files for bankruptcy protection and announces it has agreed to sell most of its assets to AMR Corp, American's parent, for $500 million in cash and agreement by American to assume $3 billion in TWA leases; American also confirms that it intends to buy about one-fifth of assets of US Airways to smooth way for United to win approval from Justice Department for its proposed $4.3 billion acquisition of US Airways; American says it will pay $82.4 million for 49 percent of DC Air, regional airline that will be created as result of United-US Airways merger; opponents, including consumer groups, travel agents and politicans, continue to voice concern that deals will lead to higher fares and dimished service; US House and Senate are planning hearings on transactions; American plans to absorb TWA's 2,400 pilots as well as 500 pilots from US Airways; photo (M)

American Sets Complex Airline Deals in Motion

Guatemala, in effort to attract foreign investment, remove incentives to use offshore accounts and keep inflation in check, says it will lift ban on use of foreign currencies for financial transactions inside country (S)

GUATEMALA EASES CURRENCY RULE

Trent Lott, Republican leader of Senate, claims all 50 Republican Senators are behind Pres-elect George W Bush's choice for attorney general, John Ashcroft, and warns that Democratic efforts to derail nomination could poison effort to set new cooperative tone on Capitol Hill; Lott staunchly defends Ashcroft day after liberal groups intensify their fire on Ashcroft; counteroffensive by conservative groups includes telephone message on behalf of Ashcroft from Pat Robertson, president of Christian Coalition, to half million supporters in next few days; Sen James M Jeffords, important moderate Republican, has come out on Ashcroft's behalf, and Sen Russell D Feingold, Democrat, says after meeting with Ashcroft that he is inclined to support him; Bush advisers say president-elect would fight vigorously for Ashcroft; photo (M)

Lott and Conservatives Rallying Behind Ashcroft for Justice Post

Yahoo Inc, facing slowdown in overall economy and devastation among Internet companies, says its profits will fall 10 percent to 30 percent in 2001, sharp reversal from 34 percent growth analysts had expected; says that with $1.7 billion in cash and marketable securities, it has financial strength to make it through slowdown; posts loss of $97.8 million in fourth quarter, in contrast to profit of $37.7 million a year earlier; company earned $80.2 million in quarter, in line with analysts' estimates; Yahoo expects revenue of $220 million to $240 million for current quarter, roughly same as $230 million posted last year; says sales will be $1.2 billion to $1.3 billion for all of 2001 (Market Place column) (M)

THE MARKETS: Market Place; Yahoo Warns Of Sharp Drop In Earnings

Bank of China will not conduct initial public offering; bank will have to go through extensive restructuring before it can apply for regulatory permission to go public (S)

NO I.P.O. SOON FOR BANK OF CHINA

Sen Donald T DiFrancesco will take on duties and powers of New Jersey's chief executive in addition to his own as Senate president when Gov Christine Todd Whitman resigns to head Environmental Protection Agency; dual role will make him most powerful state official in nation; could prove powerful edge or, possibly, disadvantage, in his expected race for full term as governor; NJ's 1947 Constitution, which greatly strengthened governor's powers, retained old mode of succession; resignations left Senate president in charge of executive branch as well four times under 1844 Constitution; photos (M)

The Making Of an Office With Double The Clout; New Jersey's Uniting Of Powers Divided

David Yazbek, composer/lyricist, whose songs are drawing full houses to play, The Full Monty, on Broadway is appearing with members of his band at Fez in East Village; photo; radio personality Jonathan Schwartz and brother Paul will pay tribute to late father Arthur Schwartz, theatrical composer, in latest installment of Lincoln Center's American Songbook series, at Alice Tully Hall; poerformers will include Davis gaines, Bill Irwin, Rebecca Luker, Maureen McGovern, Jane Monheit and John Pizarelli; photo; New York Philharmonic and conductor Kurt Masur will go on tour of Spain; will visit six cities and give seven concerts through January 19; New York premiere of Pulitzer Prize-winning composer Ned Rorem's Double Concerto will be performed by New York Chamber Symphony under conductor Gerard Schwarz, with violinist Jaime Laredo and cellist Sharon Robinson (M)

Footlights

New York Giants coach Jim Fassel weighs using Jason Sehorn to return punts in playoff game because of injuries to Tiki Barber, regular returner, and Amani Toomer; Sehorn was hurt making debut as kick-off-return man in 1998 preseason game; photos (M)

Fassel Might Send Sehorn to Field Punts on Sunday

David Pogue column says the best new Apple Computer product unveiled at Macworld Expo was a PowerBook G4, a lap-top that is one inch thick when closed but that is loaded with power and accommodates a vast, wide screen (M)

An End To Laptop Envy

Ariel Sharon, hawkish Likud Party leader and front-runner for premiership of Israel, formally kicks off his campaign, as American envoy Dennis Ross indefinitely postpones trip to region for last-minute peacekmaking efforts; Sharon has made it clear that if he becomes prime minister in Feb 6 elections, he will consider any Israeli-Palestinian understandings reached at or since failed Camp David talks last July to be void; he reminds supporters he served in military for many years, lost many friends and been wounded more than once; says he, too, yearns for peace; Sharon's lead over Prime Min Ehud Barak in polls is so big that Barak faces mounting pressure from within his own Labor Party to step down as candidate and let Shimon Peres run in his place; photo (M)

Sharon Opens His Campaign; U.S. Diplomat Puts Off Trip

St John's defeats Boston College, 73-71, in college basketball; photos (M)

Storm Hands Eagles Their First Loss

Muslim authorities accuse Ajinomoto Co, big food concern based in Tokyo, of using pork products forbidden under Muslim law in popular food seasoning, despite labeling to contrary; accusations have added to country's simmering religious tensions; police detain eight Ajinomoto executives, including Japanese president of its Indonesian subsidiary, for questioning, and factory near Jakarta is closed while store employees across predominantly Islamic archipelago pull bags of monosodium glutamate from shelves; Pres Abdurrahman Wahid tries to ease situation after meeting with Japanese justice minister, Masahiko Komura; photo (M)

Seasoning Fans Religious Tension in Indonesia

Forstmann Little is preparing to make major acquisitions while rival leveraged buyout firms regroup; competitors, like Kohlberg Kravis Roberts and Hicks, Muse, Tate & Furst, were buying into many highly leveraged telecommunications and technology investments while Theodore J Forstmann was squirreling away his money--over $4 billion--in special subordinated-debt fund and his more traditional equity fund, waiting for moment to make acquisitions; now just about everybody else is down, and Forstmann is feeling up; chart lists Forstmann's current holdings; photos (M)

It's Buying Time Again; With Rivals Regrouping, Forstmann Prepares to Pounce

OPEC officials face delicate task of setting production levels that keep prices high enough to sustain their economies without helping shove United States into recession; for OPEC, sluggish American economy could lead to decline in oil consumption worldwide and, with it, free fall in oil prices; OPEC ministers have watched with mounting concern as spending and investment in US has slowed in recent weeks; cartel's officials have announced in advance that they will sharply curtail petroleum output; Energy Sec Bill Richardson to hold immediate talks with key OPEC officials in Europe and Persian Gulf to forestall severe, precipitous cuts; for now, cartel is betting it can have hefty oil export revenues without damaging weakened economies of US and Asia; analysts say it is fine balance that will be tough to strike in volatile realm of oil prices; graphs (M)

For OPEC, Cuts in Production Are a Delicate Balancing Act

Sir Denys Louis Lasdun, CH, CBE, RA was an eminent English architect, the son of Nathan Lasdun (1879–1920) and Julie. Probably his best known work is the Royal National Theatre, on London's South Bank of the Thames, which is a Grade II* listed building and one of the most notable examples of Brutalist design in the United Kingdom.

January 11, 2001

Headlines from January 11, 2001

Despite Settlement in Strip-Searches, Effects of Shame Linger

Metro Matters; No Secrets, Just the Shock Of the Familiar

LOAN SUBSIDIES FOR JET BUILDER

A Milanese Master Jolts Silicon Valley

Refrain From Spain, Though French, Too, in the Main

Billboard 200

1

Now 5

Hotshot

Chocolate Starfish And The Hot Dog Flavored Water

Tha Last Meal

Notable Deaths

Historical Context for January 11, 2001