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Consolidated financial statements
(In millions of dollars, except per-share amounts)

For the years ended December 31
INCOME 1997 1996 1995
Net revenues $ 9,750   $ 9,940 $11,409
Operating costs and expenses:    
Cost of revenues 6,067   7,146 7,401
Research and development 1,536   1,181 842
Marketing, general and administrative 1,532   1,639 1,727
  Total 9,135   9,966 9,970
Profit (loss) from operations 615   (26) 1,439
Other income (expense) net 192   76 79
Interest on loans 94   73 48
Income (loss) from continuing operations before
  provision for income taxes and extraordinary
  item
713   (23) 1,470
Provision for income taxes 411   23 474
Income (loss) from continuing operations before
  extraordinary item
302   (46) 996
Discontinued operations:    
  Income from operations 52   109 92
  Gain on sale 1,473   -- --
Income before extraordinary item 1,827   63 1,088
Extraordinary item: extinguishment of debt (22)   -- --
Net income $ 1,805   $ 63 $ 1,088
Diluted earnings (loss) per common share:    
Continuing operations before extraordinary item $ .76   $ (.12) $ 2.58
Discontinued operations:    
  Income from operations .13   .29 .23
  Gain on sale 3.70   -- --
Extraordinary item (.05)   -- --
Net income $ 4.54   $ .17 $ 2.81
Basic earnings (loss) per common share:    
  Continuing operations before extraordinary item $ .78   $ (.12) $ 2.65
  Discontinued operations:    
    Income from operations .14   .29 .25
    Gain on sale 3.82   -- --
  Extraordinary item (.05)   -- --
  Net income $ 4.69   $ .17 $ 2.90
See accompanying notes.

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