FORTUNE Magazine contents page FEBRUARY 29, 1988 VOL. 117, NO. 5
(FORTUNE Magazine) – MANAGING /Cover Stories
34 Corporate Strategy for the 1990s Okay, Mr. CEO, so you restructured, cut costs, and lifted your stock price out of takeover range. What now? by Walter Kiechel III
44 The New J. P. Morgans They don' t sit around brooding about long- term strategy, and they' re taking over ever bigger companies. by Carol J. Loomis
54 Icahn on Icahn The famous raider- manager believes American CEOs are an example of reverse Darwinism -- the survival of the unfittest. And he' s outraged about it.
61 Fortune Forecast: Who' s Afraid of Inventories? The bulge in late 1987 provoked more recession jitters than it should have. Economic growth will be back on track by midyear. by Vivian Brownstein
67 The Shootout in Supercomputers The battle for this fast- growing market is getting superhot. With IBM' s aid, Steve Chen could build the most powerful machine ever. by Kenneth Labich
73 The Fix Is In at Home Depot Fixing up the old homestead, that is. This champion supplier of the do- it- yourself- prone shows it' s possible to provide top- of- the- line service at bargain- basement prices. by Bill Saporito
80 Companies to Watch
MONEY & MARKETS
82 The Slow Death of E. F. Hutton Mismanagement, selfishness, arrogance, and greed killed it. ''We made every mistake in the book,'' says an ex- employee, ''and no one was ever punished.'' by Brett Duval Fromson
91 The Comeback of Bob Abboud Can one of America' s toughest bosses transform himself into a good ol' boy who can make it big in Texas banking? He says yes. by Monci Jo Williams
POLITICS & POLICY
96 The World According to AARP We had better pay heed to what the 28- million- member American Association of Retired Persons stands for. Or we might pay in other ways. by Lee Smith
100 Crisis at Bechtel The men who ran the vast construction company were at ease with princes and Presidents. Then their world changed. by Laton McCartney
4 The Editor' s Desk
8 News/ Trends IBM loosens its collar, defections at First Boston, the platinum rush, in defense of fat, and more.
16 Letters to Fortune
25 Keeping Up A generic program, Jim Wright' s phone bill, the unfree riders, and other matters. by Daniel Seligman
113 Fortune People Soros sees red, doing it her way at Avon, Reports from Chris Whittle, Russians invade Vegas. by Nancy J. Perry
114 On the Rise
115 Personal Investing Finding growing dividends in a nervous market. by Andrew Evan Serwer
An alluring spinoff from Borden. What junk bond funds are buying.
Portfolio Talk: Stanley Druckenmiller of Dreyfus' s Leverage Fund.
121 Books & Ideas Bilious and funny, Lewis H. Lapham -- of the Texaco Laphams -- lambastes his class. by Stephen Birmingham
125 Other Voices The trade deficit is giving foreigners the dollars to invest in American industry and make it competitive again. by John Rutledge and Deborah Allen
Cover: Carl C. Icahn was photographed in his Manhattan office by Michele Singer.