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R E O R G A N I Z A T I O N
OUT OF THE WOODS Court supervision of Dow Corning scheduled to end in June
BARRING LAST MINUTE COM-
plications, Dow Corning will end a nine-year stint un
der court supervision when it emerges from bankruptcy reorganization on June 1.
Stephanie A. Burns, Dow Coming's CEO, says she credits the focus and resolve of employees on servicing customers while the lawyers handled bankruptcy details for getting Dow Corning to this point.
However, trimming employment to improve the firm's financial performance will be among the first orders of business. A Dow Corning spokeswoman says about 250 positions—nearly 3%
of the workforce—are slated to go by year's end. A merger of several business units last year left redundancies, she adds.
Judge Denise Page Hood of U.S. District Court for the Eastern District of Michigan set the date to end Dow Coming's ordeal just two weeks after an attorney representing 48 Nevada women dropped his appeal of the firm's $3.2 billion settlement with silicone gel breast implant recipients.
Some 170,000 breast implant claimants and another 75,000 claimants with other types of silicone implants—including joint and jaw implants—could begin
receiving claim packets the first week of June. Payments of between $2 ,000 and $330,000 could start being distributed to claimants by June 15, according to the official website of the Dow Corning Trust Settlement Facility
A dispute over interest due on about $800 million owed to commercial creditors is the last remaining obstacle to bankruptcy resolution. But the company spokeswoman is confident that a deal will be worked out to let the June 1 date stand.
The workforce reduction will go ahead regardless of the firm's bankruptcy status. "We're looking at ways to be more efficient to meet financial targets," the spokeswoman explains. Although the company can't control high energy and raw material costs, "the size of the organization is one thing we can control."-MARC REISCH
S C I E N T I F I C P U B L I S H I N G
GOVERNMENT ENDS EDITING EMBARGO Treasury Department backs down from its earlier position on editing services
BOMBARDED BY PROTESTS
from publishers, researchers, and elected officials, the
Treasury Department has lifted its ban on the publication of peer-re viewed and edited scientific journal articles written by authors in countries under U.S. trade sanction. The department's Office of Foreign Assets Control (OFAC) conceded that its regulatory programs do not prohibit the routine * activities necessary to \ prepare such articles for publication.
The issue originally
arose in 2001 over a conference sponsored in Iran by the Institute of Electrical & Electronics Engineers. After learning that servic
es associated with the meeting might violate government regulations, IEEE decided that it had to limit activit ies involving Iran, including the editing of papers written by authors in that nation. Subsequently, the American Chemical Society reluctantly imposed a moratorium in November 2003 on publishing articles from
Iran and the other sanctioned coun
tries — Cuba, Iraq, Libya, and Sudan—fearing that the society could otherwise incur serious penalties from the government.
But publishers and their supporters refused to let the matter rest. For months, they have been trying to get OFAC to reverse its position on the grounds that the government ban violated trade-related legislation and the First Amendment. After judging that its customary publishing activities were lawful, ACS took a calculated risk and resumed publishing papers from the affected countries in mid-February (C&EN, Feb. 23, page 6). Then on April 2, IEEE received a letter from OFAC Director R. Richard Newcomb acknowledging that the institute's publishing activities do not "entail the prohibited exportation of services to Iran or another sanctioned country"
Robert D. Bovenschulte, president of ACS's Publications Division, says the society "has always believed that scholarly publishing should not be constrained by federal regulation. We are pleased to learn that the Treasury Depar tment concurs."—SOPHIE R0VNER
Burns
IN BRIEF: AMAZON
Destruction of Brazils Amazon rain forest increased by about 2 .1% last year, according to numbers released on
Apr i l 7 by the Brazilian government. Although the government has promised action, officials with the World Wildlife Fund say Brazil must do more to protect the Amazons unique array of plant and animal species.
H T T P : / / W W W . C E N - O N L I N E . O R G C & E N / A P R I L 12 , 2 0 0 4 5