June 27, 2003

Fiat announces four-year plan that includes 12,300 layoffs, 1.84-billion-euro capital increase and return to profit in 2006; says capital increase and cost cuts will provide enough cash to finance plan, sale of new bonds will be considered if terms are favorable; will close 12 'non-Italian factories'; chairman Umberto Agnelli and chief executive Giuseppe Morchio comment; photo (M)

NBA draft is predictable through first three picks, with LeBron James going No.1 to Cleveland Cavaliers, Darko Milicic going No.2 to Detroit Pistons and Carmelo Anthony going No.3 to Denver Nuggets; Chris Bosh goes No.4 to Toronto Raptors; Michael Sweetney goes No.9 to New York Knicks; Zoran Planinic goes No.22 to New Jersey Nets; other selections discussed; photos (M)

Pres Bush outlines ambitious agenda for advancing peace and prosperity in Africa; pledges $100 million to help countries fight terrorism and makes case for expanded trade as most powerful engine for fighting poverty on continent; speaks to US-Africa Business Summit, group of African leaders, business executives and investors, 11 days before his scheduled first trip as president to sub-Saharan Africa; his speech is striking for its blunt calls for change in nations that have been wracked by violence; he demands that Pres Charles Taylor of Liberia step down to avert further bloodshed in his country; he calls for change of government and 'return to democracy' in Zimbabwe, which is ruled by Robert Mugabe; pledges active role in bringing peace to Sudan, saying he has asked his special envoy to Sudan John C Danforth to travel there to bring end to conflict (M)

St Lawrence Cement Co proposal to build large coal-burning cement plant near Hudson, NY, divides community there; opponents cite concerns about air pollution and acid rain, while backers cite economic benefits; photos; map (L)

Brazil's jobless rate rose to 12.8 percent in May from 12.4 percent in April as high interest rates appear ready to push economy into recession; average monthly income fell to 841 reais, or $290, 3 percent lower than in April and nearly 15 percent lower than May 2002; economic output contracted 0.1 percent in first quarter and many economists are predicting more contraction in second quarter (S)