Ronald Reagan, 73, takes oath for second term as 40th president (Jan. 20). General Westmoreland settles libel action against CBS (Feb. 18). Prime Minister Margaret Thatcher addresses Congress, endorsing Reagan's policies (Feb. 20). USSR leader Chernenko dies at 73 and is replaced by Mikhail Gorbachev, 54 (March 11). Two Shi'ite Muslim gunmen capture TWA airliner with 133 aboard, 104 of them Americans (June 14); 39 remaining hostages freed in Beirut (June 30). Supreme Court, 5–4, bars public school teachers from parochial schools (July 1). Arthur James Walker, 50, retired naval officer, convicted by federal judge of participating in Soviet spy ring operated by his brother, John Walker (Aug. 9).P.L.O. terrorists hijack Achille Lauro, Italian cruise ship, with 80 passengers, plus crew (Oct. 7); American, Leon Klinghoffer, killed (Oct. 8); Italian government toppled by political crisis over hijacking (Oct. 16). John A. Walker and son, Michael I. Walker, 22, sentenced in Navy espionage case (Oct. 28). Reagan and Gorbachev meet at summit (Nov. 19); agree to step up arms control talks and renew cultural contacts (Nov. 21). Terrorists seize Egyptian Boeing 737 airliner after takeoff from Athens (Nov. 23); 59 dead as Egyptian forces storm plane on Malta (Nov. 24). U.S. budget-balancing bill enacted (Dec. 12).