April 1, 2003

SK Global, trading group of SK Group, restates its 2002 earnings for second time in month, turning what was reported as profit of 194.2 billion won ($155 million) into loss of 296.7 billion won ($237 million); SK Global also says its $5.3 billion in debts exceeded its assets by $169 million at end of year; chief financial officer Moon Duk Kyu resigns, and trading in company's shares is suspended by Korea Stock Exchange until April 2; investors respond by bidding down Korean stock generally by 3.7 percent; National Statistical Office reports consumer prices were 4.5 percent higher in March than year earlier; photos (M)

Tobacco is tarnishing Kraft Foods as investors grow fearful that company may have to provide cash to its parent, renamed Altria Group, to cover tobacco litigation bills; recent concern springs from Illinois case in which jury found Philip Morris USA guilty of deceiving smokers about potency of its light cigarettes; state judge on March 21 ordered Philip Morris to pay $10.1 billion and post $12 billion bond while it appeals verdict; shares of Altria have lost 14.5 percent of their value since verdict; Kraft stock has fallen only 8.4 percent; rout in Kraft bonds began on March 27 and has caused far more damage; Moody's Investors Service lowers its rating on Kraft securities by one notch, to A3, at same time it lowers ratings of Altria (M)

Captain Jeffrey L Bacon, Naval Atlantic Meteorology and Oceanography Center in Norfolk Commander, affirms US ability to use predictions of military meteorologists to tactical advantage against Iraq; newly developed computer model shows combined effects of soil with atmospheric conditions, but unpredictability of summer storms and ground conditions are expected to challenge forecasters; geography, effects of military vehicles on soil and nature of storms themselves will require coordinated efforts and information from ground observations, satellites and atmospheric models; photo; images (M)

Radical groups in India are staging armed raids of some of most visible symbols of America: Coke and Pepsi warehouses as protest to American-led invasion of Iraq; 10 members of People's War Group, outlawed militant Maoist faction that has clashed with local authorities in southern India for two decades, storm Pepsi-Cola warehouse in Guntur district of Andhar Pradesh; management of warehouse belongs to local franchise bottler and not PepsiCo; several soft drink distribution centers were attacked last week, including apparent bombing at Coca-Cola operation in Andhra Pradesh that destroyed hundreds of cases of drinks (M)

New York Yankees defeat Toronto Blue Jays, 8-4, on opening day; Yankees shortstop Derek Jeter dislocates shoulder; photo (M)