September 6, 2001

Nonprofit Honeynet research project enlists expert volunteers to lay traps for predatory computer hackers and study their methods; was started as hobby by security engineer Lance Spitzner; hopes to raise awareness of risks posed by such hackers, even to home computers; has been sharing it research publicly, through series of papers released on Internet and in forthcoming book; Spitzner comments; photo (M)

Volkswagen AG reaches settlement with union leaders at plant in Puebla, Mex, ending 18-day strike without government intervention; for decades under rule of Institutional Revolutionary Party, big companies in Mexico could count on governemnt to keep labor peace; National Action Party runs Mexico now, and Pres Vicente Fox wants government to play different role in labor-management relations, as mediator rather than overseer; photo (M)

Portugal Telecom withdraws $2.4 billion offer to buy shares it does not own of Brazilian cellular provider Telesp Celular Participacoes, after stock drops below level set as condition for bid (S)

New York Yankees defeat Toronto Blue Jays, 4-3; photo (M)

Downgrade Adds to Fallout Over Hewlett-Compaq Deal Investor skepticism about a proposed merger between Hewlett-Packard and Compaq Computer turned to fallout as shares of both companies continued to slide, and Moody's Investors Service, a major rating service, downgraded Hewlett-Packard's credit worthiness. Shares of Hewlett-Packard fell 66 cents, or 3.5 percent, to $18.21. Compaq declined 67 cents, or 6.1 percent, to $10.41. [Page C4.] Résumé Left Off Attempted Murder For three years, Dr. Seymour I. Schlager worked as a top executive scientist at Becton Dickinson, one of the nation's largest medical-device companies. The résumé that Dr. Schlager submitted before being hired in 1998 had looked impressive, but omitted a few facts. He had been convicted and imprisoned for trying to murder his wife by smothering her, and his medical license had been suspended because of his crime. [A1.]