July 29, 2002

CNBC's ratings are flagging, with daily average audience down 25 percent in second quarter from 2001 period, despite spike in big financial stories; network also faces question of whether it shares in taint of now-discredited stock analysts and chief executives it helped make celebrities; CNBC executives say they are making comeback; note they have shifted away from treating trading day as sporting event by offering deeper economic analysis; parent NBC chairman Robert C Wright says rating losses have not seriously hurt profits and reflect loss of general-interest viewers, not businessmen and investors sought by CNBC advertisers (M)

New York Philharmonic buys large collection of papers of Ureli Corelli Hill, violinist and conductor who founded Philharmonic in 1842; musicologists say collection of Harold R Lineback includes valuable new material about orchestra's conductors, from Gustav Mahler to Leonard Bernstein; photos (M)

New York Mets defeat Cincinnati Reds, 6-5; photos (M)

Stephen Fry column in Writers on Writing series comments on people's curiosity about the mechanics of writing, such as whether he works on a computer or longhand, using pencil, ballpoint or old-fashioned ink pen; photo (M)

Crane being used on one of first major reconstruction projects near ground zero topples into street, delaying traffic for hours in Lower Manhattan; crane operator Noel Brolly is arrested and charged with reckless endangerment after registering .07 on Breathalyzer test; no one is seriously injured in accident; some residents of nearby Battery Park City say accident is hint of what could be in store in next several years, after plans for rebuilding area are finalized and construction begins; photo (M)

Qwest Communications International, dominant provider of local telephone service in 14 Western states, says it incorrectly accounted for more than $1.1 billion in transactions from 1999 to 2001; says accounting problems might extend to areas beyond sale of fiber optic capacity, where most scrutiny was focused until recently; might have improperly accounted for services acquired from other telecommunications carriers and for communications equipment it sold; withdraws financial forecasts for 2002 as result of weakness in its telecommunications business, but still expects to report financial results for second quarter and revised outlook for year on August 8; chief executive Richard C Notebaert says company will restate results for 1999 to 2001 on completion of extensive review of accounting practices; says Securities and Exchange Commission has been informed of discovery; photo (M)

This Week column offers selected arts events of interest coming to New York; photos (S)

America Online is struggling to continue expanding its subscriber base, where growth has slowed to only 7 percent annual rate in second quarter from 12 percent a year ago and 16 percent two years ago; is working harder and offering more discounts to maintain growth in dial-up service, while attracting only 4 percent of nation's 12 million broadband subscribers; experts say slow start in broadband means AOL will be unable to replicate its dominance of dial-up in broadband market; AOL's great strength is huge, stable roster of loyal customers, with few defections despite two price increases over last several years (M)

More than quarter of all families of Sept 11 terrorism victims have hired paid lawyers, rejecting offer of free legal advice from members of Assn of Trial Lawyers of America; lawyers' assn is encountering shortage of local volunteers, and many families have become frustrated by delays in assignments of free lawyers; paid lawyers could collect fees of up to 25 percent of awards paid by federal Victim Compensation Fund; government fund has proven to be far more complicated than anyone had anticipated; if idealistic impulse of trial lawyers' group was to cushion families from worrying about maneuvering and motivation of lawyers, realistic reckoning is that legal landscape may be as confusing as ever; photo (M)

New concept being explored by Bush administration for deposing Iraq's Pres Saddam Hussein offers risky approach of capturing Baghdad and one or two command centers and weapons depots first in hopes of cutting off country's central authority and setting off quick collapse of government; important aim would be to shock Iraq before it could use weapons of mass destruction; 'inside-out' approach would capitalize on American military's ability to strike over long distances, maneuvering forces to envelop target; advocates of plan say it reflects strong desire to find strategy that would not require full quarter-million American troops, yet hits hard enough to succeed (M)

2 Immigrants Die in Truck Two truckers were charged in the deaths of two illegal immigrants in Texas after a sweltering 12-hour ride that left 13 hospitalized. PAGE A9

New research into effects of 1996 welfare overhaul finds unwelcome trend in which rising numbers of particularly black urban children are turning up without parents, deposited with relatives, friends or foster families; suggests trend may partly be result of stresses of new welfare world--such as loss of benefits, low-wage jobs at irregular hours and pressure from new partner needed to pay rent; is reopening debate on how shifting welfare rules are affecting families; is contributing to second thoughts among analysts, even as White House and some lawmakers push to make welfare law's work requirements even stricter; photo (M)