Monday, January 11, 1999

Internet stocks swing to the fences again, Revlon looks to slim down and the SEC fines 28 brokerages.
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Markets

The Internet sector had another huge day, other tech stocks drove the

Nasdaq Composite Index

to a new record high and blue chips cut early losses with another ninth-inning rally.

The

Dow Jones Industrial Average

dropped 23.43 to 9,619.89, while the

S&P 500

lost 11.28 to 1,263.81. The Nasdaq jumped 39.61 to 2,384.02, and the small-cap

Russell 2000

picked up a modest 1.87 to 433.10.

TheStreet.com Internet Sector

index soared 88.34 to 588.11.

European bourses closed lower.

For more markets action and news, click

here.

Companies

Drug wholesaler

Bergen Brunswig

(BBC) - Get Report

has agreed to buy

PharMerica

(DOSE)

, a provider of pharmacy services to nursing homes and prisons, in a deal worth $1.4 billion.

DaimlerChrysler

(DCX)

said it will spend $55 billion to $60 billion on research and development over the next three years.

Jon Corzine

will step down as co-CEO of

Goldman Sachs

, leaving

Henry Paulson

to serve as sole CEO. Both Paulson and Corzine will continue as co-chairmen.

Revlon

(REV) - Get Report

said it will cut as many as 1,200 jobs and liquidate excess real estate holdings in an effort to streamline operations.

For more news on companies and stocks, click

here.

Tech

Compaq

(CPQ)

agreed to acquire

Shopping.com

(IBUY) - Get Report

for about $220 million.

Lucent

(LU)

agreed to acquire billing software company

Kenan Systems

for $1.48 billion in stock. The company reportedly is also in talks to acquire networking supplier

Ascend Communications

(ACND)

.

MCI WorldCom

(WCOM)

said it will not bid for cellular phone giant

AirTouch Communications

, leaving AirTouch to continue talks with

Vodafone

(VOD) - Get Report

and

Bell Atlantic

(BEL)

.

Former

Packard Bell NEC

CEO Beny Alagem reportedly is in talks to acquire a large stake in

Samsung Group's AST Computer

.

For more tech news and commentary, click

here.

International

British American Tobacco

(BTI) - Get Report

agreed to acquire

Rothmans International

from

Compagnie Financiere Richemont

(RCHMY)

and

Rembrandt Group

(RBDGY)

for about $7.5 billion in stock.

U.K. oil production companies

Enterprise Oil

(ETP)

and

Lasmo

(LSO)

said they are in merger talks.

Italian carmaker

Fiat

(FIA)

reportedly is in merger talks with several companies, including Sweden's

Volvo

(VOLVY)

.

Guangdong International Trust & Investment

, the investment unit of the wealthy Chinese province of Guangdong, has filed for bankruptcy with debts of $4.3 billion.

Japan's nationalized

Long Term Credit Bank

has hired

Goldman Sachs

to assess its assets and help find a receiver for its operations.

For more international news and commentary, click

here.

General News

The

Securities and Exchange Commission

settled its investigation of improper trading practices on the

Nasdaq Stock Market

by levying $27.1 million in penalties to 28 brokerages.

Two U.S. fighter jets fired on an air-defense installation today in northern Iraq after they were lit up by Iraqi radar.

At the

Bank for International Settlements

meeting in Hong Kong,

Federal Reserve

Chairman

Alan Greenspan

told the heads of 16 central banks, including 11 from the Asia-Pacific region, to expect any slowdown of the U.S. economy to be "relatively moderate."

Elsewhere

Communications and pharmaceutical mogul Daniel Snyder and banking brothers Howard and Edward Milstein have agreed to purchase the

Washington Redskins

and

Jack Kent Cooke Stadium

for $800 million.