The Virginian-Pilot
                             THE VIRGINIAN-PILOT 
              Copyright (c) 1997, Landmark Communications, Inc.

DATE: Thursday, January 16, 1997            TAG: 9701160317
SECTION: LOCAL                   PAGE: B2   EDITION: FINAL 
SOURCE: ASSOCIATED PRESS 
DATELINE: RICHMOND                          LENGTH:   55 lines

FUND-RAISING UPDATE: BEYER HAS EARLY LEAD OVER GILMORE

Lt. Gov. Donald S. Beyer Jr. leads Attorney General James S. Gilmore III in early fund-raising for this year's race for governor, according to campaign finance reports filed Wednesday.

Both men have plenty of cash on hand, the reports show.

Beyer, the likely Democratic candidate, said his campaign raised nearly $2.1 million through the end of December and had $1.5 million after spending about $660,000 last year. Beyer's $2.1 million included $242,000 carried over from 1995.

``Don has raised more money than any gubernatorial candidate at this point in Virginia history,'' said Page Boinest, a spokeswoman for Beyer. ``This reflects a broad range of support in every region.''

Gilmore, the likely Republican candidate, reported raising $1.8 million and had $1 million after spending more than $900,000. Gilmore's $1 million included $83,000 from 1995.

The reports were filed with the State Board of Elections.

Robert D. Holsworth, a political science professor at Virginia Commonwealth University, said the two reports show that ``many people see this as a very competitive race. It is a very important election for both parties.''

Holsworth said he expects both candidates to raise $7 million to $8million by the time the campaign is over.

Gilmore's total included $275,000 from the National Republican Senatorial Committee. The largest individual donor was Richmond industrialist Bruce Gottwald, who gave $50,000.

Details of Beyer's report were not immediately available.

The spending of both candidates involved mostly staff expenses, travel and fund-raising activities.

Republicans will conduct a primary June 10 to nominate their candidates. While Gilmore is unopposed, three candidates - T. Coleman Andrews III, a McLean businessman; John H. Hager, a Richmond businessman; and Del. Jay Katzen of Fauquier - are competing for the lieutenant governor nomination.

Four Republicans are vying for the nomination for attorney general. They are state senators Kenneth W. Stolle of Virginia Beach and Mark L. Earley of Chesapeake, Fairfax lawyer Gil Davis and former Secretary of Public Safety Jerry Kilgore of Gate City.

Former Rep. L.F. Payne is the only Democratic candidate for lieutenant governor. And William D. Dolan III of Arlington is the only Democrat running for attorney general. Dolan sought the office in 1993.

Reports show Andrews has raised more than $1 million, by far the largest ever raised in a campaign for lieutenant governor at this stage of the campaign. Andrews had $428,000 in his campaign treasury.

Payne's fund-raising total was $328,000, including $67,000 transferred from his congressional campaign account.

KEYWORDS: FUND RAISING CAMPAIGN FINANCING GOVERNOR'S RACE

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