SPECTRA-PHYSICS <SPY> BOARD REJECTS TENDER OFFER
  Spectra-Physics Inc said its
  board rejected a 32 dlrs per share unsolicited tender offer for
  the company's stock from Ciba-Geigy Ltd <CIGZ.Z>, which already
  holds 18.8 pct of the stock.
      Spectra-Physics said it also filed a lawsuit in Delaware
  federal court this morning seeking to enjoin the offer and
  alleging, among other things, that the offer vilates federal
  securities laws, certain agreements between Ciba-Geigy and
  Spectra-Physics, and Ciba-Geigy's fiduciary duties.
      Spectra-Physics said the two Ciba-Geigy designess to its
  board were not present at yesterday's special meeting which
  voted to reject the offer as financially inadequate, unfair and
  not in the best interests of Spectra-Physics or its
  stockholders.
      The company said the board also authorized a special
  committee of outside directors to take whatever steps it deems
  necessary to protect the interests of Spectra-Physics and its
  stockholders and to investigate all alternatives to maximize
  the value of the stock, including talks with third parties.
      Spectra-Physics said a letter communicating the board's
  recommendation and reasons therefore is being mailed to
  stockholders.
      It said Robert Bruce, Reliance Group Holdings Inc's <REL>
  designee on Spectra-Physics' board, resigned his position on
  May 29. His letter of resignation said the action was to
  alleviate Ciba-Geigy's stated justification for making the
  unsolicited offer that it had not contemplated another
  significant investor having representation on the board when
  its Spectra-Physics' investment was made.