OTHER NEWS - Jan. 30, 1996

Loewen Settles Suit, Averts Potential Bankruptcy: North America’s second-biggest funeral service company reached the settlement in a legal wrangle in which the Mississippi Supreme Court had ordered it to post a bond of $625 million by Jan. 31, possibly forcing it to seek bankruptcy protection. The huge bond was required so Toronto-based Loewen Group Inc. could appeal a previous $500-million damage award against the company by a Mississippi trial court jury in November in a breach-of-contract case brought by Gulf National Life Insurance Co. and related plaintiffs. Under the settlement, Loewen agreed to pay the plaintiffs $50 million cash on Jan. 31, and issue 1.5 million Loewen shares by Feb. 15.