MORRISON KNUDSEN <MRN> SEES YEAR NET FALLING Morrison Knudsen Corp said its earnings for 1987 are likely to be lower than those for 1986 due to lower than expected growth in engineering and construction and a previously-predicted decline in earnings of its National Steel and Shipbuilding unit. The company earned 39.4 mln dlrs in 1986, including pretax gains of 11.5 mln dlrs from pension income and 7,400,000 dlrs from the settlement of vested pension obligations, down from 41.5 mln dlrs in 1985. It said "Lower than expected levels of new work booked in the last quarter of 1986 and the first two-plus months of this year have delayed the expected growth in the engineering and construction area." The company said it will remain profitable in 1987 and results should strengthen as the year progresses. It attributed the decline in new work to more stringent bidding standards and a competitive market.