(FORTUNE Magazine) – This year, FORTUNE and the Council on Economic Priorities (CEP), a nonprofit research firm, enhanced the second annual list of America's best companies for minorities by trying to assess the true impact of a company's overall diversity efforts. To do that, we did more than ask companies whether they have diversity programs such as sensitivity training for executives and minority-recruiting initiatives: We also asked just how many employees were directly affected by the programs. For example, we learned how many managers' bonuses are tied to fulfilling diversity goals in their departments. Likewise, we ascertained just how many minority graduates were hired by companies that routinely visit historically black colleges. These data enabled us to better determine whether a company was truly making diversity work or simply paying lip service to the idea; the results were factored into each company's final score, which determined the rankings.

We sent our new survey to the FORTUNE 1,000 and the 200 largest privately held U.S. companies; 137 companies responded. The survey was separated into 12 categories. These included measuring minority representation on the company's board of directors, among corporate officers and the 25 highest-salaried employees, and in middle management, total work force, and hires made in the past year. In addition to the previously noted new data, we added two other categories in an attempt to measure whether companies put their money where their mouth is when it comes to diversity. We asked companies what percentage of dollars spent with outside suppliers goes to minority-owned firms and what percentage of underwriting business flowed to minority-owned investment banks. We also again asked what percentage of charitable contributions was given to programs that primarily benefit minorities. Each category was assigned a weight, varying in value according to importance. Every company was then scored by statistically comparing its performance with those of its peers in the survey. In other words, companies were graded on a curve. Finally, the scores were tallied and the companies' rankings were set.

--Edward Robinson and Jonathan Hickman

REPORTER ASSOCIATES Eileen P. Gunn, Patty de Llosa, Amy Merrick, Chanoine Webb, Alynda Wheat

Rank 1999 (1998) % minorites COMPANY No. of minorities OFFICIALS 1998 revenues BOARD OF TOP 25 AND (millions) DIRECTORS PAID MANAGERS WORK FORCE

1 [**] 53.7% UNION BANK OF CALIFORNIA 7 of 17 5 35.9% 25.6% [ASIAN] San Francisco 9.1% [BLACK] $2,619 18.6% [HISPANIC] 0.4% [NATIVE AMERICAN] MINORITIES AS A % OF NEW HIRES* 56% With the West Coast's diverse population, managers at all levels participate in numerous social, business, and community groups affiliated with various minorities. One goal: Recruit employees with foreign-language skills.

2 (4) 39.1% FANNIE MAE 4 of 16 6 27.3% 9.1% [ASIAN] Washington, D.C. 25.9% [BLACK] $31,499 3.9% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 47% In January, Chairman and CEO Franklin Raines became the first black to head a FORTUNE 500 company. Fannie Mae upped its ranking from 1998 by doubling the minorities among its 25 highest-paid employees from three to six.

3 [**] 47.3% PUBLIC SERVICE CO. 3 of 9 8 34.2% 0.6% [ASIAN] OF N.M. 1.7% [BLACK] Albuquerque 40.9% [HISPANIC] $1,252 4.1% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 48% One of only five companies to win the Hispanic Association on Corporate Responsibility's top grade (AAA) for board representation. Among our companies, SBC Communications, Wal-Mart, and US West were also so lauded.

4 (1) 46.8% SEMPRA ENERGY 5 of 16 3 28.0% 7.4% [ASIAN] San Diego (of 26) 11.1% [BLACK] $5,525 27.5% [HISPANIC] 0.8% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 28.0% Sempra was formed with the July 1998 merger of Pacific Enterprises, our No. 1 company last year, and Enova. Sempra helps its minority vendors develop management skills, access capital, and obtain technical expertise.

5 [**] 32.5% TOYOTA MOTOR SALES 13 of 18[1] 3 19.3% 12.6% [ASIAN] Torrance, Calif. 9.0% [BLACK] $32,000 (est.) 10.2% [HISPANIC] 0.7% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 19.3% Amid industrywide scrutiny into the lack of minority dealerships, Toyota upped the number of women- and minority-owned dealerships by 22% between 1994 and 1998. Today, 64 of its 1,374 dealerships are owned by minorities.

6 (2) 46.3% ADVANTICA 4 of 12 3 16.6% 3.9% [ASIAN] Spartanburg, S.C. 12.9% [BLACK] $1,962 29.0% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] N.A. Last year's No. 2 still aggressively pursues minority franchisees. Nearly four in ten Denny's franchises are minority-owned (in '93, there was only one black franchisee), as are more than half the 158 El Pollo Loco franchises.

7 [**] 36.4% SBC COMMUNICATIONS 4 of 21 1 28.7% 4.7% [ASIAN] San Antonio 18.0% [BLACK] $28,777 12.9% [HISPANIC] 0.8% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 51% Another newcomer to our ranking, telecom giant SBC spends $1 billion with minority vendors--more than any other company on our list. The company also hiked its percentage of minorities in the work force by 10% in '98.

8 (16) 24.5% LUCENT TECHNOLOGIES 1 of 9 9 19.5% 7.7% [ASIAN] Murray Hill, N.J. 11.7% [BLACK] $30,147 4.7% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 30% Lucent has more people of color among its 25 highest-paid executives (nine) than any other company in our rankings. Employees teach at colleges that produce African-American engineers.

9 [**] 33.8% DARDEN RESTAURANTS 3 of 12 4 17.7% 2.5% [ASIAN] Orlando 14.3% [BLACK] $3,287 15.5% [HISPANIC] 1.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 35% Richard Rivera, a Hispanic, is president of Red Lobster, the nation's largest full-service seafood chain (680 restaurants)--making him the most powerful minority in the restaurant industry.

10 [**] WAL-MART STORES 4 of 15 2 42.0% N.A. Bentonville, Ark. $139,208

[MINORITIES AS A % OF NEW HIRES*] 31% No surprise: The giant retailer is the largest corporate employer of blacks and Hispanics in the U.S. It also has the highest percentage of minority officials and managers (42%) of any firm in our rankings.

11 (11) 26.3% ALLSTATE 1 of 8 6 21.3% 2.8% [ASIAN] Northbrook, Ill. 16.9% [BLACK] $25,879 6.2% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 35% Allstate steers 60% of its charitable contributions to programs that primarily benefit minorities. Another focus is neighborhood revitalization. Why? Happy homeowners are great potential customers.

12 (20) 40.4% CHASE MANHATTAN 1 of 17 3 25.1% 6.0% [ASIAN] New York 23.6% [BLACK] $32,379 10.5% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 46% Chairman Walter Shipley and new CEO William Harrison co-chair the company's diversity council, leaving no doubt about the importance of this issue at Chase. Ethnic employee groups visit students at top colleges nationwide.

13 (5) 56.9% MARRIOTT INTERNATIONAL 2 of 10 N.A. 20.7% 7.6% [ASIAN] Bethesda, Md. 25.6% [BLACK] $7,968 23.3% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 60% Heady minority representation in the work force has not yet shown gains in executive ranks. In the meantime, 300 Marriott executives have their bonuses tied to diversity goals.

14 [**] 16.9% US WEST 3 of 12 5 16.0% 2.1% [ASIAN] Denver 4.8% [BLACK] $12,378 9.0% [HISPANIC] 1.0% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 22% Once the telecom company is acquired by Global Crossing--or whichever suitor--CEO Solomon Trujillo, a Hispanic, hopes to continue performance reviews of all managers on progress toward achieving diversity goals.

15 (15) 41.5% FEDERAL EXPRESS 0 of 9 N.A. 27.8% 3.0% [ASIAN] Memphis 29.8% [BLACK] $13,200 8.2% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 52% With its plethora of people of color on nonmanagement tracks (like drivers), FedEx hunts future managers in unlikely places. To wit: Shannon Brown, an African-American operations VP, began in 1978 as a cargo handler.

16 (7)[2] 42.0% SOUTHERN CALIF. EDISON 4 of 16 0 24.5% 7.9% [ASIAN] Rosemead, Calif. 8.9% [BLACK] $8,847 24.3% [HISPANIC] 0.9% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 52% In this highly competitive industry, Southern California Edison lost both of the two minorities who were among its top 25 wage earners in '97. On the flip side, more than half the people hired last year were minorities.

17 (3) 39.8% BANK OF AMERICA 4 of 19 0 23.3% 8.9% [ASIAN] Charlotte, N.C. 18.3% [BLACK] $50,777 11.9% [HISPANIC] 0.7% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 49% Merger pains from BankAmerica's marriage to NationsBank last year helped pull the former from No. 3. The Department of Labor is investigating allegations of discriminatory hiring practices at NationsBank, which it disputes.

18 [**] 61.7% HYATT No board 1 27.0% 15.4% [ASIAN] Chicago 20.6% [BLACK] $3,250 (est.) 25.4% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 59% With a heavy need for service staff, Hyatt understandably leads our rankings in overall work-force representation. (Marriott is No. 2.) More critically, ten of the company's 110 hotels are run by people of color.

19 (12) 48.3% TIAA-CREF 6 of 31 2 16.3% 8.1% [ASIAN] New York 29.0% [BLACK] $35,889 11.1% [HISPANIC] 0.1% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 43% The powerful teachers' retirement fund and prolific institutional investor discreetly pressures companies in which it invests to diversify their boards--not quite 20% of its own huge board is minority.

20 (21) 27.9% XEROX 2 of 14 2 23.0% 5.0% [ASIAN] Stamford, Conn. 15.1% [BLACK] $20,019 7.1% [HISPANIC] 0.7% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 38% A trailblazer in minority initiatives, it now offers diversity advice through Xerox Consulting. Barry Rand, an African-American executive VP, resigned last year after a new white executive was named president.

21 [**] 28.0% BELLSOUTH 2 of 14 1 23.1% 0.9% [ASIAN] Atlanta 23.1% [BLACK] $23,123 3.8% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 39% The telecom company requires quarterly reports from prime contractors denoting their record on hiring minorities and women as subcontractors. But like Xerox, the company recently lost its top-ranked black executive.

22 [**] 27.7% KNIGHT RIDDER 3 of 13 5 16.0% 3.3% [ASIAN] San Jose 16.7% [BLACK] $3,100 7.4% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] N.A. In 1996, five black newsroom executives left Knight Ridder, uncertain about its commitment to diversity after the death of popular CEO Jim Batten. Today six of the company's 57 top editors and publishers are minorities.

23 [**] 29.0% AMR 4 of 12 2 15.2% 3.5% [ASIAN] Fort Worth 12.7% [BLACK] $19,205 12.3% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 49% After the 1997 discovery of an old pilots' manual that contained derogatory remarks about Hispanics, American Airlines met with Latino business leaders and took steps to improve relations with Hispanic customers.

24 [**] 28.0% TEXAS INSTRUMENTS 0 of 10 6 15.9% 11.7% [ASIAN] Dallas 9.2% [BLACK] $8,460 6.7% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 46% In 1997, the National Society of Black Engineers recognized the company as the top employer of black engineers in the Plains States region. Nearly a quarter of its 25 highest-paid executives are minorities, among our best.

25 (40) 26.8% AMERITECH 2 of 13 3 23.2% 1.1% [ASIAN] Chicago, Ill. 22.0% [BLACK] $17,154 3.4% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 37% The Baby Bell is stepping up its contributions to charities that benefit minorities--up 30% in 1998--and it has targeted 10% of its procurement budget ($500 million) for minority-run companies.

26 (30) 26.0% AMERICAN EXPRESS 2 of 15 1 17.7% 4.3% [ASIAN] New York (of 5) 13.1% [BLACK] $19,132 8.0% [HISPANIC] 0.6% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 40% The company's financial advisers unit created Diversity Learning Labs to teach employees about the specific financial-planning needs of minorities, who have been slow to embrace investing.

27 (22) 24.4% GANNETT 3 of 11 4 13.6% 4.0% [ASIAN] Arlington, Va. 15.3% [BLACK] $5,121 4.3% [HISPANIC] 0.8% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 44% Last year Gannett won its second consecutive Unity Award for outstanding coverage of minority issues, and an Anti-Defamation League award for a story that resulted in the murder conviction of Klansmen.

28 (17) 26.1% BELL ATLANTIC 4 of 22 N.A. 19.2% 1.5% [ASIAN] New York 20.9% [BLACK] $31,566 3.6% [HISPANIC] 0.1% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 30% Promote and profit: Bell Atlantic's Leadership for the Millennium program develops promising middle managers for senior executive positions. Minorities account for 35% of the participants.

29 (6) 37.7% APPLIED MATERIALS 0 of 8 6 25.3% 22.7% [ASIAN] Santa Clara, Calif. 5.7% [BLACK] $4,042 9.0% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 44% To close the gap between the Silicon Valley elite and a nearby minority community, Applied Materials pairs employees with high school students from the East Side Union school district, which is 80% nonwhite.

30 (33) 29.1% SUN MICROSYSTEMS 0 of 7 5 20.6% 22.0% [ASIAN] Palo Alto 2.9% [BLACK] $9,791 3.9% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 31% Sun, which currently hires 6,000 people annually, is developing Internet links to schools with which it has strong recruiting ties, including three historically black colleges: Florida A&M, Howard, and Southern.

31 [**] 24.1% COLGATE-PALMOLIVE 1 of 9 3 17.2% 5.7% [ASIAN] New York 11.0% [BLACK] $8,972 7.2% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 42% To capitalize on the booming Hispanic market, the huge consumer-goods company brought to the U.S. two products that were well-established brands in Latin America--the first such nationwide effort in its category.

32 [**] 24.0% CITIGROUP 3 of 17 N.A. 15.0% 6.0% [ASIAN] New York 11.0% [BLACK] $76,431 7.0% [HISPANIC] 0.0% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 30% The company avoided deep scrutiny from Rev. Jesse Jackson during its merger last year by committing $115 billion over ten years for loans and investments in low- to middle-income communities and small businesses.

33 (19) 31.3% CONSOLIDATED EDISON 2 of 11 2 16.0% 3.3% [ASIAN] New York 18.3% [BLACK] $7,093 9.7% [HISPANIC] 0.0% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 37% ConEd is embroiled in a long and rancorous dispute with some minority employees over allegations of discriminatory practices, which it denies. It now has an intranet site where employees can file an EEO complaint.

34 [**] 29.7% PG&E CORP. 3 of 14 2 17.1% 10.3% [ASIAN] San Francisco 6.0% [BLACK] $19,942 11.9% [HISPANIC] 1.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 24% In 1996, PG&E Corp. was the only California company to officially oppose Proposition 209, an antiaffirmative action initiative. Yet some experts lament that managers aren't rewarded for diversity efforts or penalized for their lack.

35 [**] 33.0% UNITED PARCEL SERVICE 1 of 15 1 24.3% 2.1% [ASIAN] Atlanta 20.9% [BLACK] $24,788 9.5% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 49% Don't like diversity training? Don't work at United Parcel Service. Since 1968, UPS has sent 1,100 senior-level managers to its Community Internship Program, a one-month diversity and leadership course.

36 (36) 36.4% NORDSTROM 2 of 10 2 23.6% 10.2% [ASIAN] Seattle 11.8% [BLACK] $5,028 13.4% [HISPANIC] 1.0% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 40% Through Project Preview, the Seattle-based retailer allows minority subcontractors and suppliers to study new and remodeled stores in order to better understand the company's bidding process and building needs.

37 (29) 19.1% ADOLPH COORS BREWING 2 of 8 4 12.2% 1.4% [ASIAN] Golden, Colo. 7.8% [BLACK] $1,900 9.0% [HISPANIC] 0.9% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 28% Staunchly public-image conscious, Coors supports several programs for students and employees of color, such as the African American College Leadership Experience, an annual event for top black college students.

38 (10) 41.2% PITNEY BOWES 2 of 10 1 21.4% 4.9% [ASIAN] Stamford, Conn. 26.2% [BLACK] $4,334 9.8% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 45% No newcomer to diversity concerns, the postage-meter maker won a National Urban League award in 1950 for providing opportunities for minorities. In 1999, it was named to the Hispanic Corporate 100, another best companies list.

39 (13) 44.8% SHONEY'S 1 of 8 2 24.4% 0.9% [ASIAN] Nashville 40.5% [BLACK] $1,143 2.9% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 20% Diversity took a back table to financial travails at Shoney's last year. The company lost $107.7 million in 1998, and first-quarter revenues were down 12%. Shoney's added just one minority franchisee in '98.

40 (34) 25.1% MERCK 2 of 13 1 15.5% 8.5% [ASIAN] Whitehouse Station, N.J. 12.1% [BLACK] $26,898 4.3% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 38% Because blacks earn only 2% of Ph.D.s in biology and chemistry, Merck teamed with the United Negro College Fund to form the UNCF-Merck Science Initiative, which trains black students for high-tech science research.

41 (26) 28.5% ABBOTT LABORATORIES 2 of 13 4 13.0% 8.8% [ASIAN] Abbott Park, Ill. (of 30) 12.1% [BLACK] $12,478 6.6% [HISPANIC] 1.0% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 28% A recent survey found that Abbott had the highest percentage of minority attorneys of any Chicago company. Also, senior attorneys are rewarded for using minority law firms. Credit Cuban-born general counsel Jose de Lasa.

42 [**] 11.8% S.C. JOHNSON & SON 2 of 9 4 10.1% 1.8% [ASIAN] Racine, Wis. 5.5% [BLACK] $5,000 (est.) 4.1% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 16% The consumer chemicals manufacturer conducts regular "cultural audits," using employee focus groups to determine diversity strategies. It also offers minority MBA candidates full-tuition fellowships.

43 (18) 18.7% E.I. DU PONT DE NEMOURS 2 of 12 2 10.4% 2.0% [ASIAN] Wilmington, Del. (of 24) 14.1% [BLACK] $39,130 2.2% [HISPANIC] 0.4% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 43% Frustrated by losing minority attorneys, Du Pont and its 36 law firms conduct a mentoring exchange program in which new minority attorneys get career help while educating experienced attorneys about diversity.

44 [**] 14.4% ELI LILLY 2 of 13 3 10.4% 3.6% [ASIAN] Indianapolis 8.1% [BLACK] $10,051 2.4% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 21% The drug company identifies potential leaders among all its employees and tracks their progress through its "talent pipeline." The number of minorities tapped has doubled in three years.

45 (8) 19.8% COMPUTER ASSOCIATES INTL. 2 of 7 6 14.2% 11.6% [ASIAN] Islandia, N.Y. 4.5% [BLACK] $4,719 3.4% [HISPANIC] 0.3% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 22% In recognition of the increasing global diversity among software developers, Computer Associates offers free courses in English as a second language to its New York-area employees.

46 [**] 23.4% SCHERING-PLOUGH 2 of 15 4 16.5% 7.4% [ASIAN] Madison, N.J. 10.2% [BLACK] $8,077 5.6% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 27% Raul Cesan, a Hispanic, was named president and COO in November. Cecil Pickett, an African American, oversees more than 1,300 employees as executive VP of the Drug Discovery Center, a new-product unit.

47 [**] 29.3% AVON PRODUCTS 3 of 12 2 19.6% 3.2% [ASIAN] New York 15.3% [BLACK] $5,213 10.6% [HISPANIC] 0.2% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 31% For years the cosmetics industry largely ignored the beauty needs of women of color. Last year Avon created a cosmetics collection for black women, run by Earlean Ward, an African American.

48 [**] 25.7% J.P. MORGAN 1 of 17 2 17.3% 9.7% [ASIAN] New York 9.2% [BLACK] $18,425 6.7% [HISPANIC] 0.1% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 28% It speaks volumes about the industry that J.P. Morgan, No. 48, is the top Wall Street firm in our rankings. Managing director Ron Gault lives in South Africa, where, among other duties, he trains local blacks for careers in finance.

49 [**] 25.2% PEPSICO 1 of 13 2 17.3% 2.2% [ASIAN] Purchase, N.Y. (of 18) 13.0% [BLACK] $22,348 9.5% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] N.A. PepsiCo spent 5% of its procurement budget ($285 million) with minority- and women-owned businesses last year. The recent $2.3 billion IPO of the bottling group was co-managed by a minority-owned firm.

50 (9) 26.5% RYDER SYSTEM 2 of 10 1 12.9% 1.3% [ASIAN] Miami 17.7% [BLACK] $5,189 7.0% [HISPANIC] 0.5% [NATIVE AMERICAN] [MINORITIES AS A % OF NEW HIRES*] 36% Why did the nation's largest truck rental company drop from No. 9 last year to No. 50? Easy. The number of minorities among the company's 25 highest-paid employees dropped from eight in 1997 to just one last year.

[**]Not on last year's list. *New hires within 1998. N.A. Not available. [1]Includes all U.S. affiliates. [2]As Edison International.