OTHER NEWS - June 8, 1996

Freed From GM, EDS Courts Chrysler: Electronic Data Systems Corp., which ended a restrictive, 12-year ownership by General Motors Corp., already is courting Chrysler Corp. as a potential computer services customer, sources told Reuters. GM said it completed its long-awaited spinoff of EDS after a majority of mailed-in shareholder votes were counted in favor of the transaction. The deal will allow the Plano, Texas-based company founded by Ross Perot to expand into new markets and industries from which it was shut out under GM. An EDS source who spoke on condition of anonymity said the company has been actively pursuing business with Chrysler. One possible result is that EDS could strike a deal to take over a portion of Chrysler’s central data processing functions. Both Chrysler and EDS declined to confirm any discussions between the two companies.