OTHER NEWS - Dec. 6, 1994

Borden Rejects Takeover Proposal: The food and consumer products company said the acquisition proposal from investor Paul Kazarian is unrealistic. Borden, in a letter to Kazarian’s Japonica Partners, said Japonica had failed to sufficiently respond to Borden’s concerns about the deal’s financing, the earnings and share price increases that would supposedly follow the transaction, and various legal and other concerns. Seeking to derail a buyout of Borden by Kohlberg Kravis Roberts Co., the Rhode Island investment group led by Kazarian last week sketched out a complex proposal valued at about $2.4 billion. The KKR offer expires Dec. 20. Borden’s stock fell 25 cents to $13.625 on the New York Stock Exchange.