Arts and entertainment reports from The Times, national and international news services and the nation’s press.

MOVIES

Hamming It Up: A wild boar named Spa’am will remain in Disney’s upcoming “Muppet Treasure Island” movie, because a federal appeals court gets the joke even if the makers of Spam don’t. The 2nd U.S. Circuit Court of Appeals on Thursday upheld an earlier U.S. District Court ruling that rejected as hogwash Hormel Foods Corp.’s argument that the movie’s “grotesque” and “untidy” Spa’am character will “inspire negative and unsavory associations” with Hormel’s canned luncheon meat. Instead, the court found the use of the name to be “simply another in a long line of Muppet lampoons. Moreover, this Muppet brand of humor is widely recognized and enjoyed.” The movie--with Spa’am as the high priest of a tribe of wild boars that worships Miss Piggy as its queen--is scheduled for release Feb. 16.

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Politics and Film: The Iranian government has officially withdrawn “The White Balloon,” from Oscar competition as Iran’s entry for best foreign-language film, in protest of Congress’ allocation of up to $20 million to fund a covert action program against the Iranian government. The Academy of Motion Picture Arts and Sciences is not, however, bound by the Iranian government’s move, and officials plan to meet within a week to decide how to proceed. Twice in the past, the academy has resisted foreign governments’ attempts to withdraw their films once the screening process has started--with Zhang Yimou’s “Ju-Dou” from China and Andrzej Wajda’s “Man of Iron” from Poland. “The White Balloon,” which has done well at international film festivals including winning two prizes at Cannes, is scheduled to open here on Jan. 24. But the Iranian government has informed distributor October Films that “White Balloon” director Jafar Panahi “will not be available” to travel in the U.S. to promote the film as planned.

DANCE

Bussell in AIDS Ballet: London’s renowned Royal Ballet is planning to stage a ballet based on AIDS, with prima ballerina Darcey Bussell dancing as the deadly virus. The one-act ballet, danced to a score by the late Benjamin Britten, will focus on a couple infected by the virus while the corps de ballet will portray white blood cells. In an interview Friday with London’s Evening Standard newspaper, Bussell said she wanted the subject treated seriously and not as entertainment. “My first thought was how controversial this was going to be and how important it was that we get it right,” Bussell said. “We all have our own experience of AIDS now. There have been people in the company who have died of it, so we have that added responsibility to carry.” The ballet’s premiere is scheduled for mid-February.

PEOPLE WATCH

Couric, Judd Expanding Families: “Today” co-anchor Katie Couric gave birth by caesarean section Friday morning to a 7-pound, 10-ounce baby girl--Caroline Couric Monahan. Couric and her husband, lawyer Jay Monahan, also have a 4-year-old daughter, Ellie. Couric is scheduled to return to “Today” in March. . . . Wynonna Judd is preparing to marry businessman Arch Kelley III, the father of her year-old son Elijah Judd Kelley, in what she said will be a quiet ceremony at home with family. Kelley proposed to her Wednesday, Judd said. The couple is expecting a second child in July. No wedding date is set.

POP/ROCK

Rapper Faces Murder Charge: Rap artist Steady B, who made his debut in 1987 with the album “What’s My Name,” was charged Friday with a Philadelphia policewoman’s murder during an attempted bank robbery. The 26-year-old rapper, whose real name is Warren McGlone, identified two other suspects, including another rapper, Christopher Roney, 26, whose stage name is Cool C. Police Friday were seeking Roney and the third suspect, Mark Canty, 22. Officer Lauretha Vaird, 42, was shot dead Tuesday in an ambush as she responded to a bank robbery call. Vaird, a mother of two, was Philadelphia’s first policewoman to be slain in the line of duty. In addition to solo projects, McGlone and Roney recorded for Ruffhouse Records as part of a three-person group called C.E.B.

QUICK TAKES

The public can vote for their favorite movie, video and music stars through Jan. 12 at all participating Blockbuster video and music stores. The results will be announced during second annual Blockbuster Entertainment Awards, airing March 6 on UPN. . . . “Apollo 13,” “Carrington,” “Devil in a Blue Dress,” “Get Shorty” and “Sense and Sensibility” were nominated Friday for USC’s 1995 Scripter Award, presented annually to recognize the “best realization of a book as a film.” The winner will be announced March 9. . . . New York radio station WXRK--home to shock jock Howard Stern--changed its format on Friday from “classic rock” to modern rock. In what he said was his first time playing a deejay, Stern stayed on the air for several hours Friday after his own talk show, playing bands like Nine-Inch Nails and Nirvana. . . . “My Little Margie” star Gale Storm, 73, is recuperating at Palm Terrace Health Care Center in Laguna Hills from a mid-December fall in which she shattered her right hip. Storm is undergoing physical therapy, and is expected to be released from the center in about two weeks. . . . Actor Christopher Reeve, paralyzed last May in a horseback riding accident, celebrated another recovery milestone this week: breathing for an hour without the aid of a respirator.