February 28, 2005

Pearson publishing group, in surprise move, says Dennis Stevenson will step down this year; plan seen blow to chief executive Marjorie M Scardino, whom Stevenson helped recruit and shepherd through company reorganization that has yet to show all of its promised results (M)

Federated Dept Stores, owner of Macy's and Bloomingdale's, will announce deal to buy May Dept Stores, owner of Lord & Taylor and Marshall Field's, for about $11 billion; merger would transform Federated, already nation's largest department store company, into retailing giant with more than 1,000 stores and $30 billion in sales; its sales will still be far exceeded by Wal-Mart, discount retailer with sales of $262 billion last year; traditional department stores are facing mounting pressure from rivals on all sides, from discount giants like Wal-Mart, specialty stores like Gap and upscale retailers like Neiman Marcus; last year Kmart and Sears, Roebuck & Co merged in $11 billion deal; Federated and May have been discussing merger on and off for last two years; deal has been approved by both company boards; regulators are not expected to block transaction, but may press Federated to sell stores in cities in which it has stronghold; analysts predict Federated will close significant number of May's underperforming locations and give Macy's name to many of May's regional stores; graph (M)

Nickelodeon Television to name Brown Johnson executive creative director of preschool television; she will oversee more than half of all nation's preschool programming on broadcast television, including public television; Nickelodeon's financial success has grown alongside its reputation for producing engaging and educational children's programs; she comments on use of choreographed pause, which lets children actively respond to television, in programs she has nurtured, interview; photos (M)

Spike in accidents, some fatal, puts spotlight on little-regulated and fast-growing medical helicopter industry; number of such sky ambulances has doubled in last decade, to estimated 700, as generous federal reimbursements and changes in payment methods attract more operators, including publicly traded corporations; emergency medical helicopters do save lives, by speeding patients to hospitals far faster than ground ambulance could and by reaching remote areas; but industry's rapid, competitive growth may be exacting toll; federal regulators and some doctors worry that pool of skilled helicopter pilots has become drained and that some of those flying are making poor decisions; also, some companies are flying older helicopters that lack instruments needed to help pilots navigate safely; 21 of 27 fatal medical helicopter accidents between 1998 and 2004 were at night and often in bad weather; National Transportation Safety Board is studying matter and will issue its recommmendations to Federal Aviation Adm; photo (M)

New Jersey Nets defeat Cleveland Cavaliers, 104-98; photos (M)