Time

TO OUR READERS 4

LETTERS 6

CHRONICLES 15

MILESTONES 25

COVER STORIES: A Mole Surfaces in the CIA 28

For $1.5 million, U.S. intelligence official Rick Ames and his wife Rosario allegedly sold Moscow a precious trove of American secrets. U.S. officials fear that during a nine-year period that ended with his arrest last week, he may have tipped off Moscow to virtually every CIA intelligence operation against the former Soviets, raising questions about America's security apparatus in the post-cold war era.

The CIA: Even before the Ames case broke, the agency was remaking itself

The KGB: Business as usual under a new name

Russia: A spy scandal erodes U.S. support for Yeltsin

THE WHITE HOUSE: New Quarterback on Health Care 40

Harold Ickes brings needed discipline to the Clinton team

Public Eye: The insufferable Harry and Louise

MONEY: Inflation Terminator 42

Alan Greenspan vows to defeat price rises, present and future

LAW: Verdicts in the Waco Trial 45

Cultists are acquitted of murder and conspiracy charges

MIDDLE EAST: Massacre in Hebron 48

A rampage by an Israeli settler leaves scores dead, but ultimately it may bring added pressure for peace

Baruch Goldstein: Portrait of a murderous zealot

BOSNIA: Can We Talk? 57

A burst of negotiations raises hopes that peace may soon spread

SARAJEVO: What Is Peace Like? 58

Zlatko Dizdarevic tells of the city after the cease-fire

BUSINESS: Sorry, Wrong Numbers 60

Bell Atlantic and TCI abandon their $33 billion megadeal

OLYMPICS: The End of the Melodrama 62

An injured skater wins the gold -- but it's not Nancy Kerrigan

Television: The Games that came in from the cold

THE ARTS & MEDIA

Theater: From Edith Wharton's sex life to Eric Bogosian's sociopaths, one- person shows are the rage -- often literally 66

Books: Two black journalists grapple with a white world 68

Paul Theroux riffs on health food and Scripture 71

Music: Canada's Celine Dion has the Power 73

A CD reissue celebrates the sonorous Billy Eckstine 74

Cinema: A delicate rapture from Vietnam 75

Steven Seagal's most inane epic yet. 75

PEOPLE 77

ESSAY 78

COVER: Photo illustration for TIME by Matt Mahurin from a photograph by Luke Frazza -- AFP; inset: photograph by Jacqueline Arzt -- AP

TIME (ISSN 0040-781X) is published weekly for $61.88 per year, by Time Inc. Principal Office: Time & Life Building, Rockefeller Center, New York, N.Y., 10020-1393. Reginald K. Brack Jr., Chairman; Joseph A. Ripp, Treasurer; Harry M. Johnston, Secretary. Second-class postage paid at New York, N.Y., and at additional mailing offices. (c) 1994 Time Inc. All rights reserved. Reproduction in whole or in part without written permission is prohibited. TIME and the Red Border Design are protected through trademark registration in the United States and in the foreign countries where TIME magazine circulates. POSTMASTER: Send address changes to TIME, P.O. Box 30601, Tampa, Fla. 33630-0601. For subscription queries, call Customer Service at 1-800-843-TIME (8463).