Undecided Syrians Could Tip Balance of Rebellion





BEIRUT, Lebanon — At his government office in the Syrian capital, Damascus, the civil servant avoids discussing what Syrians call “the situation.” But he quietly ponders his own private endgame, toying with defecting to the rebels, yet clinging to his post, increasingly sure there are no fighters worth joining.




A multilingual former military officer, he says he is among many friends and colleagues who feel trapped: disenchanted with President Bashar al-Assad, disgusted by the violence engulfing Syria and equally afraid of the government and the rebels, with both sides, as he puts it, ready to sacrifice “the innocents.”


Mr. Assad remains in power in part because two years into the uprising, a critical bloc of Syrians remains on the fence. Among them are business owners who drive the economy, bankers who finance it, and the security officials and government employees who hold the keys to the mundane but crucial business of maintaining an authoritarian state. If they abandoned the government or embraced the rebels en masse, they might change the tide. Instead, their uncertainty contributes to the stalemate.


The Egyptian and Tunisian rebellions that inspired Syria’s initially peaceful uprising reached tipping points within weeks, with far less bloodshed. In those cases, widespread desire for change overwhelmed the fear of the unknown, and toppled governments — or rather, the dictatorial cliques that headed them. But in Syria, each side has bloodied the other while many stay on the sidelines, and a core contingent of supporters feels obligated to stick with the government even as their doubts grow. That is in part because the government’s ruthless crackdown has made protest far more risky than in other uprisings. But it is also because of doubts, among the urban elite and others, about the direction of the revolution and how a rebel-ruled Syria would look.


“Me and my neighbors, we were the first to go down to the street and scream that we want a country, a real country, not a plantation,” said Samar Haddad, who runs a Syrian publishing house. “But this armed revolution, I refuse it as much as I refuse the regime.”


Ms. Haddad, who is in her late 40s and now spends much of her time outside Damascus, said that she and her circle of intellectuals and professionals embrace unarmed Syrian protesters as heroes, but believe that the armed rebellion is creating warlords and cycles of revenge that will be hard to uproot.


The fence sitters include government employees, security forces, intellectuals and wealthy Syrians. Some, including members of Mr. Assad’s minority Alawite sect, say they fear the rule of Islamists, or the calls for vengeance from some factions of the Sunni Muslim-dominated uprising.


Some are former soldiers who say they defected only to be disappointed by rebels who lack discipline or obsess about religious ideology. One young man, Nour, said he gave up on revolution when he tried to join an Islamist brigade, Al Tawhid, but was rejected for wearing skinny jeans.


Others, like the Damascus civil servant, a Sunni, simply fear a post-Assad vacuum and are confused about the safest course for their families and the country.


Fewer and fewer Syrians appear to believe the government can restore order; the fraying of the country has become hard to miss. This has resulted in countless private debates over how to survive — amid growing alarm that without a political settlement or intervention, endless fighting will gut the Syrian state.


For those who support neither Mr. Assad nor his opponents, life has become a fearful wait.


In Damascus, little gets done in offices that tremble with explosions and empty out by dusk. Government salaries are still paid, the civil servant said, but fewer workers show up. Ms. Haddad said her publishing employees still come to work, in what has become an act of defiance to show that life goes on.


Many people express a wish for a political solution — perhaps a transitional government involving moderate government officials — but believe that decisions are being made by armed men on both sides who refuse to compromise.


“Both sides have the same mind,” said Abu Tony, a shopkeeper in central Damascus who favors a compromise and gave only a nickname for safety reasons.


“This is not life,” he said, “to spend half of the day without electricity, without heating oil and without even bread just because the two sides refuse to give up some of their demands.”


Ms. Haddad said she and like-minded friends were trying quietly to build civil society. But she said: “We feel depressed, useless, helpless. We are not the decision makers.”


Even as some Alawites grow frustrated with Mr. Assad — believing he has poisoned their future in Syria — many believe there is no safe place for them on the other side. In part for this reason, there have not been mass defections by senior Alawite military officers.


But even Sunni soldiers under strong pressure to defect sometimes feel that “we can’t offer them much,” said one rebel commander based in the northern province of Idlib.


He said many were in touch with colleagues who defected earlier, who recount months without salaries, and the humiliation of former colonels commanded by junior fighters with swollen egos.


One such disappointed defector is Nour, who said he served in the feared Fourth Division commanded by Mr. Assad’s brother Maher. He said he defected after security forces raped and killed his fiancée and many friends begged him to join the rebels.


But he was let down, first by fighters who drank and took drugs and offered him money for sexual acts; then by Al Tawhid Brigade, whose fighters, he said, taunted him, saying “You want to join us and you’re wearing skinny trousers?” He said he had decided to stay in Turkey and avoid both sides in the conflict.


The Damascus civil servant and would-be defector — who has talked for months about defecting, first to rebels from his hometown and then to a reporter — said he hesitates over many questions about the rebels and their plans: “Are the people aware enough? Can they practice self-control? Can the rebels set up a security zone?”


“Many questions need answers,” he said.


The government, he added, long ago stopped forcing him to attend pro-Assad demonstrations, but rebel supporters call him a traitor for asking questions.


“Why should I join a group where I am obliged to curtsy?”


An employee of The New York Times contributed reporting from Damascus, Syria, and Hania Mourtada from Beirut.



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Cricketer Herath alive and bowling despite death rumors






SYDNEY (Reuters) – As Mark Twain might have said, rumors of the death of Sri Lankan spinner Rangana Herath which spread like wildfire across social media late on Friday proved to be greatly exaggerated.


Far from lying in a Sydney morgue alongside former test bowler Chaminda Vaas after perishing in a car crash as the reports had suggested, Herath was very much alive when he pitched up for work at the Sydney Cricket Ground on Saturday.






The most prolific wicket-taker in test cricket last year, the 34-year-old leg spinner claimed two Australian wickets to seal a haul of four for 95 and then contributed nine runs with the bat.


Team mate Dimuth Karunaratne told reporters at the conclusion of the day’s play that the team had been dumbfounded by the rumors.


“I heard about it when we having breakfast but I had no idea where that came from,” he said with a laugh.


“Guys from Sri Lanka were calling us asking ‘when is the funeral?’ and stuff like that.


“Rangana is alive,” he added, somewhat unnecessarily.


Herath’s efforts were not enough to prevent Australia taking an iron grip on the third test match on Saturday and move to the brink of a 3-0 series sweep.


That could all change, however, if he and Dinesh Chandimal, who finished the third day unbeaten on 22, are able to dig in on Sunday, inflate their lead beyond the current 87 and give Sri Lanka a decent target to bowl at.


The Sydney track has traditionally offered a lot of turn for spinners in the last couple of days of a test and, as Herath’s 60 wickets last year showed, there are few better spinners operating in test cricket at the moment.


“The wicket is turning a lot now and the Aussie guys are playing the fourth innings, so I think Rangana… can do something,” said Karunaratne.


Vaas has no position with the test team and remains, also unharmed, in Sri Lanka, Sri Lankan reporters said.


(Editing by John O’Brien)


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'McDreamy' says he beat Starbucks for coffee chain


SEATTLE (AP) — "Grey's Anatomy" star Patrick Dempsey may be the real "McSteamy."


The actor, who was dubbed "McDreamy" as a star of the hospital drama while his co-star was called "McSteamy," may soon be serving hot, steaming cups of Joe.


Dempsey won a bankruptcy auction to buy Tully's Coffee, a small coffee chain based in Seattle. Among those he beat out is Tully's much bigger Seattle neighbor, Starbucks Corp., which is known for its ubiquitous white cups with a circular green mermaid logo.


Dempsey, whose company Global Baristas LLC plans to keep the Tully's name, declared victory on the social media site Twitter: "We met the green monster, looked her in the eye, and...SHE BLINKED! We got it! Thank you Seattle!


The win for Dempsey deals a rare setback for Starbucks on its home turf. Starbucks has long been both praised for bringing "coffeehouse culture" to the U.S. and criticized for crushing smaller chains. The coffee giant, which had planned to convert the Tully's cafes to its own brand, last month announced plans to expand its global footprint to 20,000 cafes over the next two years, up from the current 18,000.


Dempsey said in an interview on Friday that as the underdog in Seattle, Tully's will need to find its identity.


"It's a much smaller chain that has a lot of potential that hasn't been given the proper care," he said.


But in a statement shortly after the auction on Thursday, Starbucks insinuated that Dempsey shouldn't celebrate just yet.


Starbucks, which wanted to convert the Tully's cafes to its own brand, said that a final determination on the winning bid won't be made until a court hearing on Jan. 11. Starbucks said it's in a "backup" position" to buy 25 of the 47 Tully's cafes, with another undisclosed bidder making an offer for the remainder.


The combined bids of Starbucks and the undisclosed bidder come to $10.6 million, above the $9.2 million Dempsey's company is offering to pay through his company, which was formed in order to purchase Tully's. The other investors in Global Baristas aren't being disclosed.


Tully's Coffee, which is known for serving Joe with a milder taste than Starbucks brand, filed for Chapter 11 bankruptcy protection in October, citing lease obligations and underperforming stores. Tully's wholesale business, which includes Tully's Coffee in bags and single serve K-cup packs that are sold in supermarkets and other stores, is owned separately by Green Mountain Coffee Roasters Inc.


TC Global Inc., the parent company of Tully's, said in a release Friday that it was "encouraged and excited" about Dempsey's commitment to the chain.


Tully's President and CEO Scott Pearson called the deal a "great match" and that the goal is to make sure creditors get paid and to keep as many people employed as possible.


A bankruptcy court document signed late Friday by Pearson and Dempsey said TC Global had determined that Global Baristas submitted the successful bid.


"With this court filing, it's official - our group has been chosen as the successful bidder," Dempsey said in a statement. "We look forward to the court's final approval on Jan. 11."


Earlier in the day, Dempsey said he planned to be very involved in the running of the company, adding that the immediate challenges were to address bookkeeping issues, staff morale and sprucing up the coffee shops. Once the business is stabilized, Dempsey said the long-term goal would be to take the chain national.


"We can pull this off. We just have to take steps that are slow and smart," he said. "I'm going to get behind the counter. I'm going to serve coffee...I'm going to give the company a boost of energy."


Although Dempsey lives in Los Angeles, he plans to spend more time in Seattle, the city where "Grey's Anatomy" is set in. Dempsey said he believed there is room in the city for Tully's and the much larger Starbucks; he noted there might be people who are rooting for the underdog.


"In a society where there are so many big corporations that swallow the little guy, we thought, let's not let this happen to this company," he said.


Dempsey made an appearance Friday morning at a Tully's near Pike Place Market, shaking hands with workers and greeting customers before visiting other stores. Several dozen people, mostly women, came into the store.


Patrease Estelle, 45, works nearby, and came in with a small group from her office.


"I will take whatever I can get. A photo, a hug, a 'hey, how you doing,' a wink," said Estelle, who got a picture and handshake with the actor.


___


Blankinship reported from Seattle and Choi from New York.


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Scare Amplifies Fears That Clinton’s Work Has Taken Heavy Toll


Pool photo by Brendan Smialowski


Hillary Rodham Clinton with Field Marshal Mohamed Hussein Tantawi in Cairo in July.







WASHINGTON — When Secretary of State Hillary Rodham Clinton fractured her right elbow after slipping in a State Department garage in June 2009, she returned to work in just a few days. Her arm in a sling, she juggled speeches and a trip to India and Thailand with physical therapy, rebuilding a joint held together with wire and pins.




It was vivid evidence of Mrs. Clinton’s indomitable stamina and work ethic — as a first lady, senator, presidential candidate and, for the past four years, the most widely traveled secretary of state in American history.


But after a fall at home in December that caused a concussion, and a subsequent diagnosis of a blood clot in her head, it has taken much longer for Mrs. Clinton to bounce back. She was released from a hospital in New York on Wednesday, accompanied by her daughter, Chelsea, and her husband, former President Bill Clinton. On Thursday, she told colleagues that she hoped to be in the office next week.


Her health scare, though, has reinforced the concerns of friends and colleagues that the years of punishing work and travel have taken a heavy toll. Even among her peers at the highest levels of government, Mrs. Clinton, 65, is renowned for her grueling schedule. Over the past four years, she was on the road for 401 days and spent the equivalent of 87 full days on a plane, according to the State Department’s Web site.


In one 48-hour marathon in 2009 that her aides still talk about, she traveled from talks with Palestinian leaders in Abu Dhabi to a midnight meeting with Prime Minister Benjamin Netanyahu in Jerusalem, then boarded a plane for Morocco, staying up all night to work on other issues, before going straight to a meeting of Arab leaders the next morning.


“So many people who know her have urged me to tell her not to work so hard,” said Melanne S. Verveer, who was Mrs. Clinton’s chief of staff when she was first lady and is now the State Department’s ambassador at large for women’s issues. “Well, that’s not easy to do when you’re Hillary Clinton. She doesn’t spare herself.”


It is not just a matter of duty, Ms. Verveer and others said. Mrs. Clinton genuinely relishes the work, pursuing a brand of personal diplomacy that, she argues, requires her to travel to more places than her predecessors.


While there is no medical evidence that Mrs. Clinton’s clot was caused by her herculean work habits, her cascade of recent health problems, beginning with a stomach virus, has prompted those who know her best to say that she desperately needs a long rest. Her first order of business after leaving the State Department in the coming weeks, they say, should be to take care of herself.


Some even wonder whether this setback will — or should — temper the feverish speculation that she will make another run for the White House in 2016.


“I am amazed at the number of women who come up to me and tell me she must run for president,” said Ellen Chesler, a New York author and a friend of Mrs. Clinton’s. “But perhaps this episode will alter things a bit.”


Given Mrs. Clinton’s enduring status as a role model, Ms. Chesler said women would be watching which path she decides to take, as they plan their own transitions out of the working world.


“Do remember that women of our generation are really the first to have worked through the life cycle in large numbers,” she added. “Many seem to be approaching retirement with dread.”


For now, aides say, Mrs. Clinton’s focus is on wrapping up her work at the State Department. She would like to take part in a town hall-style meeting, thank her staff and sit for some interviews. But first she has to get clearance from her doctors, who are watching her to make sure that the blood thinners they have prescribed for her clot are working.


Speaking to a meeting of a foreign policy advisory board from her home in Chappaqua, N.Y., on Thursday, Mrs. Clinton said she was crossing her fingers and encouraging her doctors to let her return next week. “I’m trying to be a compliant patient,” she said, according to a person who was in the room. “But that does require a certain level of patience, which I’ve had to cultivate over the last three and a half weeks.”


While convalescing, Mrs. Clinton has spoken with President Obama and has held a 30-minute call with Senator John Kerry, Democrat of Massachusetts, whom Mr. Obama nominated as her successor.


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After Fiscal Deal, Tax Code May Be Most Progressive Since 1979





WASHINGTON — With 2013 bringing tax increases on the incomes of a small sliver of the richest Americans, the country’s top earners now face a heavier tax burden than at any time since Jimmy Carter was president.




The last-minute deal struck by the departing 112th Congress raised taxes on a handful of the highest-earning Americans, with about 99.3 percent of households experiencing no change in their income taxes. But the Tax Policy Center estimates that the average family in the top 1 percent will pay a federal tax rate of more than 36 percent this year, up from 28 percent in 2008. That is the highest rate since 1979, at least.


By some measures, the tax code might now be the most progressive in a generation, tax economists said, while noting that every American is paying a lower burden currently than they did then. In fact, the total federal tax rate is still vastly lower for the very rich than it was at any point in the 1940s through 1970s. It has risen from historical lows, but is still closer to those lows than where it was in the postwar decades.


“We made the system more progressive by raising rates at the top and leaving them for everyone else,” said Roberton Williams of the Tax Policy Center, a research group based in Washington. “The offsetting issue is that the rich have gotten a lot richer.”


Indeed, over the last three decades the bulk of pretax income gains have gone to the wealthy — and the higher up on the income scale, the bigger the gains, with billionaires outpacing millionaires who outpaced the merely rich. Economists doubted that the tax increases would do much to reverse that trend.


With the recovery failing to improve incomes for millions of average Americans and the country running trillion-dollar deficits, President Obama made “tax fairness” a centerpiece of his re-election campaign. In the heated negotiations with House Speaker John A. Boehner, that translated into the White House’s insistence on tax increases for the top 2 percent of households and a continuation of tax breaks and cuts for a vast number of taxpayers.


Republicans resisted increasing tax rates and aimed for lower revenue targets, arguing that spending was the budget’s primary problem and that no American should see his or her taxes go up too much in such a sluggish economy. But ultimately they relented, and Congress cut a last-minute deal.


“A central promise of my campaign for president was to change the tax code that was too skewed towards the wealthy at the expense of working middle-class Americans,” Mr. Obama said after Congress reached an agreement.


That deal includes a host of tax increases on the rich. It raises the tax rate to 39.6 percent from 35 percent on income above $400,000 for individuals, and $450,000 for couples. The rate on dividends and capital gains for those same taxpayers was bumped up 5 percentage points, to 20 percent. Congress also reinstated limits on the amount households with more than $300,000 in income can deduct. On top of that, two new surcharges — a 3.8 percent tax on investment income and a 0.9 percent tax on regular income — hit those same wealthy households.


As a result of the taxes added in both the deal and the 2010 health care law, which came into effect this year, taxpayers with $1 million in income and up will pay on average $168,000 more in taxes. Millionaires’ share of the overall federal tax burden will climb to 23 percent from 20 percent.


The result is a tax code that squeezes hundreds of billions of dollars more from the very well off — about $600 billion more over 10 years — while leaving the tax burden on everyone else mostly as it was. And the changes come after 30 years of both Republican and Democratic administrations doing the converse: zeroing out federal income taxes for many poor working families while also reducing the tax burden for households on the higher end of the income scale.


“Back at the end of the Carter and beginning of the Reagan administrations, we had a pretty severe income-tax burden for people at a low level of income. It was actually kind of appalling,” said Alan D. Viard, a tax expert at the American Enterprise Institute, a right-of-center research group in Washington. “Policy makers in both parties realized that was bad policy and started whittling away at it” by expanding credits and tinkering with tax rates.


After those changes and the new law, comparing average tax rates for poor households and wealthy households, 2013 might be the most progressive tax code since 1979. But economists cautioned that measuring progressivity is tricky. “It’s not like there is some scientific measure of progressivity all economists agreed upon,” said Leonard E. Burman, a professor of public affairs at Syracuse University. “People look at different numerical measures and they’ve changed in different ways at different income levels.”


Mr. Viard said that over time the code had become markedly more progressive for the poor compared with the middle class. But it arguably did not become much more progressive for the rich compared with the middle class, or the very rich compared with the rich, in part because of the George W. Bush-era tax cuts on investment income.


An anesthesiologist who earns a $500,000 salary subject to payroll and income taxes might pay a higher tax rate than a hedge fund manager making $1 billion subject mostly to capital-gains taxes, for instance.


Economists are also divided on the ultimate effect of those tax increases on the wealthy to income growth and income inequality in the United States. The recession hit the incomes of the rich hard, but they have snapped back much more strongly than those for middle or low-income workers.


“I’d still rather be really rich, even if I’m getting taxed much more than a low-income person” would be, Mr. Williams of the Tax Policy Center added.


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Pakistani Girl Shot by Taliban Leaves British Hospital


Dylan Martinez/Reuters


Malala Yousafzai, 15, was discharged from Queen Elizabeth Hospital in Birmingham on Thursday but is due to be readmitted in late January or early February for reconstructive surgery to her skull, doctors said.









LONDON (Reuters) — A Pakistani girl shot in the head by the Taliban for advocating girls’ education has been discharged from a British hospital after doctors said she was well enough to spend time recovering with her family.




Fifteen-year-old Malala Yousafzai, who was shot by the Taliban in October and brought to Britain for treatment, was discharged on Thursday but is due to be re-admitted in late January or early February for reconstructive surgery to her skull, doctors said.


The shooting of Yousafzai, in the head at point blank range as she left school in the Swat valley, drew widespread international condemnation.


She has become a an internationally recognized symbol of resistance to the Taliban’s efforts to deny women education and other rights, and more than 250,000 people have signed online petitions calling for her to be nominated for a Nobel Peace Prize for her activism.


Doctors at the Queen Elizabeth Hospital in Birmingham where Yousafzai was treated said that although the bullet hit her left brow, it did not penetrate her skull but instead travelled underneath the skin along the side of her head and into her neck.


She was treated by doctors specializing in neurosurgery, trauma and other disciplines in a department of the hospital which has treated hundreds of soldiers wounded in conflicts in Afghanistan and Iraq.


“Malala is a strong young woman and has worked hard with the people caring for her to make excellent progress in her recovery,” said Dave Rosser, the hospital’s medical director.


“Following discussions with Malala and her medical team, we decided that she would benefit from being at home.”


Yousafzai has already been leaving the hospital on a regular basis on “home leave” in recent weeks to spend time with her parents and younger brothers, who have a temporary home in central England, Rosser said.


“During those visits assessments have been carried out by her medical team to ensure she can continue to make good progress outside the hospital,” Rosser said.


Yousafzai’s father said in October he was sure she would “rise again” to pursue her dreams after medical treatment.


(Editing by Robin Pomeroy)


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Poll finds people want an ‘iPhone 5S’ with new color options






The latest rumor surrounding Apple’s (AAPL) next-generation “iPhone 5S” is that it will launch in May or June with two different screen sizes and five different color options. So said Topeka Capital Markets analyst Brian White in a research note earlier this week. White has made some good early calls before — he was one of the first to report that Apple was working on the iPad mini — but nothing is official until Apple announces it on stage at a press conference. One thing we can say with some amount of certainty, though, is that a sizable portion of Apple fans would be interested in a next-generation iPhone made available with new color choices.


[More from BGR: Samsung confirms plan to begin inching away from Android]






In a poll published by BGR on Wednesday, 35% of respondents reported that they would purchase the next iPhone in either blue, pink or yellow if Apple were to launch the device in those colors, as suggested by White. Another 28.4% said they would be interested in the new color options, but they would want to see how they look before making a purchasing decision.


[More from BGR: Microsoft called a failing giant that only survives by charging prices that ‘bleed customers dry’]


More than 2,000 people voted in the poll and roughly 85% of respondents live in the United States.


The results are not scientific, however they do suggest that there would be significant demand for an iPhone with new color options in key markets like the U.S. And where the iPhone 4S had Siri and the iPhone 5 had a fresh new design with a larger display, Apple will certainly look to launch its next-generation smartphone with some key points of differentiation.


As they were with the iPod touch, new color options may be among the next iPhone’s key new features when it launches later this year — and if that is indeed the case, it looks like the new colors will be met with significant interest from consumers.


This article was originally published by BGR


Gadgets News Headlines – Yahoo! News





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Actor Dempsey: Coffee chain bid appears successful


SEATTLE (AP) — Actor Patrick Dempsey said it appears his bid to buy a small coffee chain has prevailed in a bankruptcy auction that included Starbucks Corp.


Late Thursday night, Dempsey announced that his company, Global Baristas LLC, made the winning bid for Tully's Coffee. He noted in a KOMO-TV interview that a bankruptcy judge will have the final say on Jan. 11. Still, Dempsey tweeted "We got it! Thank you Seattle!"


Dempsey's company will pay $9,150,000 for Tully's and complete the purchase later this month after the court hearing, he said in a statement.


"I'm thrilled that we won and I'm even more excited about saving Tully's Coffee and its hundreds of jobs," he said. "Tully's is a great company with committed employees, and with its base in Seattle, one of the world's greatest cities, I'm confident we will be able to successfully build the brand and help grow the economy. "


Tully's Coffee has 47 company-owned locations in Washington and California. The company, with more than 500 employees, filed for Chapter 11 bankruptcy protection in October.


Dempsey, who gained the nickname "McDreamy" on the TV show "Grey's Anatomy" set in a fictional Seattle hospital, has said he wants to rescue the chain.


"Seattle has been very good to me over my career, and I am honored to have the privilege to own Tully's and work closely with the company's employees," he said in his statement.


After Thursday's auction, Starbucks spokesman Zack Hutson confirmed his company participated and "is currently in a back-up position" for some of Tully's assets. The final certification of the winning bid won't occur until the Jan. 11 bankruptcy court hearing, Hutson said.


"We have to wait until next week to make sure everything — I believe the 11th — to make sure it's all finalized," Dempsey told KOMO-TV.


The Starbucks spokesman said his company made an offer for 13 of Tully's company-owned stores in the Puget Sound region plus 12 outlets at Boeing Co. sites. Hutson said another bidder made an offer for all other assets — and is in a back-up position for those.


Also in the running was Baristas Coffee, which operates a chain of drive-thru espresso stands featuring female employees in skimpy outfits.


Both Starbucks and Tully's are based in Seattle.


The auction process was not public.


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Google’s Lawyers Work Behind the Scenes to Carry the Day





SAN FRANCISCO — For 19 months, Google pressed its case with antitrust regulators investigating the company. Working relentlessly behind the scenes, executives made frequent flights to Washington, laying out their legal arguments and shrewdly applying lessons learned from Microsoft’s bruising antitrust battle in the 1990s.




After regulators had pored over nine million documents, listened to complaints from disgruntled competitors and took sworn testimony from Google executives, the government concluded that the law was on Google’s side. At the end of the day, they said, consumers had been largely unharmed.


That is why one of the biggest antitrust investigations of an American company in years ended with a slap on the wrist Thursday, when the Federal Trade Commission closed its investigation of Google’s search practices without bringing a complaint. Google voluntarily made two minor concessions.


“The way they managed to escape it is through a barrage of not only political officials but also academics aligned against doing very much in this particular case,” said Herbert Hovenkamp, a professor of antitrust law at the University of Iowa who has worked as a paid adviser to Google in the past. “The first sign of a bad antitrust case is lack of consumer harm, and there just was not any consumer harm emerging in this very long investigation.”


The F.T.C. had put serious effort into its investigation of Google. Jon Leibowitz, the agency’s chairman, has long advocated for the commission to flex its muscle as an enforcer of antitrust laws, and the commission had hired high-powered consultants, including Beth A. Wilkinson, an experienced litigator, and Richard J. Gilbert, a well-known economist.


Still, Mr. Leibowitz said during a news conference announcing the result of the inquiry, the evidence showed that Google “doesn’t violate American antitrust laws.”


“The conclusion is clear: Google’s services are good for users and good for competition,” David Drummond, Google’s chief legal officer, wrote in a company blog post.


The main thrust of the investigation was into how Google’s search results had changed since it expanded into new search verticals, like local business listings and comparison shopping. A search for pizza or jeans, for instance, now shows results with photos and maps from Google’s own local business service and its shopping product more prominently than links to other Web sites, which has enraged competing sites.


But while the F.T.C. said that Google’s actions might have hurt individual competitors, over all it found that the search engine helped consumers, as evidenced by Google users’ clicking on the products that Google highlighted and competing search engines’ adopting similar approaches.


Google outlined these kinds of arguments to regulators in many meetings over the last two years, as it has intensified its courtship of Washington, with Google executives at the highest levels, as well as lawyers, lobbyists and engineers appearing in the capital.


One of the arguments they made, according to people briefed on the discussions, was that technology is such a fast-moving industry that regulatory burdens would hinder its evolution. Google makes about 500 changes to its search algorithm each year, so results look different now than they did even six months ago.


The definition of competition in the tech industry is also different and constantly changing, Google argued.


For instance, just recently Amazon and Apple, which used to be in different businesses than Google, have become its competitors. Google’s share of the search market has stayed at about two-thirds even though competing search engines are “just a click away,” as the company repeatedly argued. That would become the company’s mantra to demonstrate that it was not abusing its market power.


Claire Cain Miller reported from San Francisco, and Nick Wingfield from Seattle.



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A Soaring Homicide Rate, a Divide in Chicago


Scott Olson/Getty Images


Anton Watson, center, with other children, parents and teachers at a Chicago peace vigil held amid a rising number of killings.







CHICAGO — This city’s 471st homicide of 2012 happened in the middle of the day, in the middle of a crowd, on the steps of the church where the victim of homicide 463 was being eulogized. Sherman Miller, who was 21, collapsed amid gunfire not far from the idling hearse that was there to carry away James Holman, 32, shot to death a week earlier.






Scott Olson/Getty Images

Marcell Carter, left, 19, and Samantha Boyd, 18, at a makeshift memorial to a friend who was fatally shot on Chicago’s West Side.






The funeral shooting at St. Columbanus Catholic Church on the South Side left neighbors fretting that no place, not even a church, felt safe any longer. “It’s become the Wild Wild West,” said Charles Childs Jr., who had watched from across the street as mourners screamed and scattered.


The shooting, on Nov. 26, was one more jarring reminder of just how common killings seem to have grown on the streets of Chicago, the nation’s third-largest city, where 506 homicides were reported in 2012, a 16 percent increase over the year before, even as the number of killings remained relatively steady or dropped in some cities, including New York.


But the overall rise in killings here blurs another truth: the homicides, most of which the authorities described as gang-against-gang shootings, have not been spread evenly across this city. Instead, they have mostly taken place in neighborhoods west and south of Chicago’s gleaming downtown towers.


Already, 2013 began with three gun homicides on New Year’s Day, two of them on the South Side. Like other cities, Chicago has long been a segregated place, richer and whiter on the North Side, and the city’s troubling increase in killings has accentuated a longstanding divide.


“It’s two different Chicagos,” said the Rev. Corey B. Brooks Sr., the pastor of New Beginnings Church on the South Side, who had led the funeral service for Mr. Holman the day shots rang out, then found himself leading Mr. Miller’s funeral service a week later. The authorities here have described both shootings as gang related. “If something like that had happened at the big cathedral in downtown Chicago or up north at a predominantly white church, it would still be on the news right now, it would be such a major thing going on.”


More than 80 percent of the city’s homicides took place last year in only about half of Chicago’s 23 police districts, largely on the city’s South and West Sides. The police district that includes parts of the business district downtown reported no killings at all. And while at least one police district on the city’s northern edge saw a significant increase in the rate of killings, the total number there still was dwarfed by deaths in districts on the other sides of town, and particularly in certain neighborhoods.


Along the streets downtown and in neighborhoods on the North Side not far from Lake Michigan, some residents acknowledged that they had heard about a rise in the city’s homicide rate, but said it not had affected their own sense of safety. “This area is a bit of a Garden of Eden,” said Gwen Sylvain, as she walked dogs along a residential street not far from the Loop.


Others said they rarely had reason to go to the Chicago’s South or West Sides, only a few miles away, and some longtime residents said they had never once ventured to such neighborhoods. Police business on the North Side rarely seems to rise beyond an overly enthusiastic Cubs fan or a parking quibble, said Kyong Lee, who said that in the past he had, without consequence, forgotten to lock up his family’s shoe repair business.


In Back of the Yards, a South Side neighborhood near the city’s old meatpacking district, the tenor was far different. Mothers spoke of keeping their children inside from the moment school ended, and businessmen of decisions to lock the front doors of their shops during business hours. “I don’t go out at night,” said Jesse Martinez, who recalled the gun pressed to his head as he was robbed a few years ago inside the hat and boot store he has run for 32 years.


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Microsoft acquires start-up id8: source






SAN FRANCISCO (Reuters) – Microsoft Corp bought start-up id8 Group R2 Studios Inc as it looks to expand further in technology focused on the home and entertainment, a person familiar with the situation said on Wednesday.


id8 Group R2 Studios was started in 2011 by Silicon Valley entrepreneur and investor Blake Krikorian. It recently launched a Google Android application to allow users to control home heating and lighting systems from smartphones.






Krikorian’s Sling Media – which was sold to EchoStar Communications in 2007 – made the “Slingbox” for watching TV on computers.


Krikorian will join Microsoft with a small team, according to the Wall Street Journal, which reported the acquisition earlier on Wednesday. Microsoft also purchased some patents owned by the start-up related to controlling electronic devices, the newspaper added.


Krikorian and a Microsoft spokesman declined to comment.


Krikorian resigned from Amazon.com Inc’s board in late December after about a year and a half as a director at the company, the Internet’s largest retailer.


(Reporting By Alistair Barr; Editing by Steve Orlofsky)


Wireless News Headlines – Yahoo! News





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Pan-Arab Al-Jazeera buys Current TV from Al Gore


LOS ANGELES (AP) — With its purchase of left-leaning Current TV, the Pan-Arab news channel Al-Jazeera has fulfilled a long-held quest to reach tens of millions of U.S. homes. But its new audience immediately got a little smaller.


The nation's second-largest TV operator, Time Warner Cable Inc., dropped Current after the deal was confirmed Wednesday, a sign that the channel will have an uphill climb to expand its reach.


"Our agreement with Current has been terminated and we will no longer be carrying the service. We are removing the service as quickly as possible," the company said in a statement.


Still, the acquisition of Current, the news network that cofounded by former Vice President Al Gore, boosts Al-Jazeera's reach in the U.S. beyond a few large U.S. metropolitan areas including New York and Washington nearly ninefold to about 40 million homes.


Gore confirmed the sale Wednesday, saying in a statement that Al-Jazeera shares Current TV's mission "to give voice to those who are not typically heard; to speak truth to power; to provide independent and diverse points of view; and to tell the stories that no one else is telling."


Al-Jazeera, owned by the government of Qatar, plans to gradually transform Current into a network called Al-Jazeera America by adding five to 10 new U.S. bureaus beyond the five it has now and hiring more journalists. More than half of the content will be U.S. news and the network will have its headquarters in New York, spokesman Stan Collender said.


Collender said there are no rules against foreign ownership of a cable channel — unlike the strict rules limiting foreign ownership of free-to-air TV stations. He said the move is based on demand, adding that 40 percent of viewing traffic on Al-Jazeera English's website is from the U.S.


"This is a pure business decision based on recognized demand," Collender said. "When people watch Al-Jazeera, they tend to like it a great deal."


Previous to Al-Jazeera's purchase, Current TV was in 60 million homes. It is carried by Comcast Corp., which owned less than a 10 percent stake in Current TV, as well as DirecTV. Neither company announced plans to drop the channel.


In 2010, Al-Jazeera English's managing director, Tony Burman, blamed a "very aggressive hostility" from the Bush administration for reluctance among cable and satellite companies to show the network.


Even so, Al-Jazeera has garnered respect for its ability to build a serious news product in a short time. In a statement announcing the deal, it touted numerous U.S. journalism awards it received in 2012, including the Robert F. Kennedy Journalism Award Grand Prize and the Scripps Howard Award for Television/Cable In-Depth Reporting.


But there may be a culture clash at the network. Dave Marash, a former "Nightline" reporter who worked for Al-Jazeera in Washington, said he left the network in 2008 in part because he sensed an anti-American bias there.


Al-Jazeera English went on the air in November 2006. It moved quickly to establish a strong presence on the Internet, launching web streaming services and embracing new social media services such as Twitter in part to compensate for its lack of a presence on U.S. airwaves.


The English news network has a different news staff and a separate budget from the Arabic network, which launched in 1996. They and the company's growing stable of other Al-Jazeera branded channels are overseen by Sheik Ahmed bin Jassim Al Thani, a member of Qatar's royal family.


Sheik Ahmed took over last year following the abrupt resignation of the company's longtime Palestinian head, Wadah Khanfar, who was widely credited with helping build Al-Jazeera into an influential global brand. In his departure note to staff, he said he was leaving behind "a mature organization" that "will continue to maintain its trailblazing path."


Both the English and the Arabic channels actively covered the protests, violence and political upheaval that have become known as the Arab Spring.


Current, meanwhile, began as a groundbreaking effort to promote user-generated content. But it has settled into a more conventional format of political talk television with a liberal bent. Gore worked on-air as an analyst during its recent election night coverage.


Its leading personalities are former New York Gov. Eliot Spitzer, former Michigan Gov. Jennifer Granholm and Cenk Uygur, a former political commentator on MSNBC who hosts the show called "The Young Turks." Current signed Keith Olbermann to be its top host in 2011 but his tenure lasted less than a year before it ended in bad blood on both sides.


Current has largely been outflanked by MSNBC in its effort be a liberal alternative to the leading cable news network, Fox News Channel.


Current hired former CNN Washington bureau chief David Bohrman in 2011 to be its president. Bohrman pushed the network to innovate technologically, with election night coverage that emphasized a conversation over social media.


Current TV, founded in 2005 by former vice president Gore and Joel Hyatt, is expected to post $114 million in revenue in 2013, according to research firm SNL Kagan. The firm pegged the network's cash flow at nearly $24 million a year.


___


AP Television Writer David Bauder in New York and AP writer Adam Schreck in Baghdad contributed to this report.


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The New Old Age Blog: On the Way to Hospice, Surprising Hurdles

I’ve often wondered why more families don’t call hospice when a loved one has a terminal disease — and why people who do call wait so long, often until death is just days away.

Even though more than 40 percent of American deaths now involve hospice care, many families still are trying to shoulder the burden on their own rather than turning to a proven source of help and knowledge. I’ve surmised that the reason is families’ or patients’ unwillingness to acknowledge the prospect of death, or physicians’ inability to say the h-word and refer dying patients to hospice care.

But maybe there’s another reason. A study in the journal Health Affairs recently pointed out that hospices themselves may be turning away patients because of certain restrictive enrollment policies. It’s possible, too, that physicians who know of these policies aren’t referring patients whom the doctors fear wouldn’t qualify.

Surprisingly, this randomized national survey of almost 600 hospice programs represents the first broad inquiry into enrollment practices, though it’s been nearly 30 years since hospice became a Medicare benefit.

Nearly 80 percent of hospice programs, the study found, reported having at least one policy that could restrict access. “It represents a barrier to people who want hospice care but can’t receive it,” said lead author Melissa Aldridge Carlson, a geriatrics and palliative care researcher at the Mount Sinai School of Medicine.

What kind of barriers are we talking about? More than 60 percent of hospices won’t accept a patient on chemotherapy, and more than half won’t take someone relying on intravenous nutrition. Many won’t enroll patients receiving palliative radiation or blood transfusions; a few say no to tube feeding.

This made more sense a couple of decades ago, when Medicare developed the regulations requiring patients to forgo curative treatments when they entered hospice. Hospice patients must have a terminal disease, likely to cause death within six months, so such treatments were presumed futile.

But medicine evolves. Now, Dr. Aldridge Carlson pointed out, the distinction between curative and palliative treatments has grown blurry. “It’s increasingly an artificial dichotomy,” she said. “That’s not the reality for most patients today with end-stage disease.”

Chemotherapy, for instance, is often used to shrink tumors that cause pain; radiation can prevent nausea and vomiting for patients with bowel obstructions. Though neither will cure a terminal cancer, as palliative treatments they can improve quality of life. Blood transfusions can help anemic cancer patients feel better, too, at least for a while.

Why, then, would hospices not accept dying people using these treatments? First, these are expensive to provide. The national average Medicare reimbursement for hospice care is just $140 a day, the study notes, and it’s not adjusted to reflect the cost of more complicated regimens. Besides, hospices worry about running afoul of Medicare regulations and being denied even that inadequate reimbursement.

This probably explains why the researchers found that smaller hospices were more likely than large ones to say no to patients receiving such treatments. “If you’re a small hospice caring for someone with many medical issues and the reimbursement doesn’t even cover the care – and then Medicare comes to take it back – that’s a big hit,” Dr. Aldridge Carlson said. Larger organizations with more patients and bigger budgets can better absorb the costs.

One bright note, though, is that almost 30 percent of the hospices studied offer some kind of open access enrollment without insisting on those prohibitions. Much more common in nonprofit hospices (a pity, because the real growth is in for-profit ones), open access usually means enrolling people who don’t yet meet the Medicare criteria, then converting them to Medicare patients as they become eligible.

At Gilchrist Hospice Care in Baltimore, for instance, patients still using chemotherapy, radiation, transfusions and several other treatments can enter what it calls “expanded care,” sometimes also known as “concurrent care.” (At Gilchrist, however, such patients still must meet the six-month hospice eligibility requirement.)

“If you say, ‘You can’t get blood transfusions any more,’ people say, ‘Why would I go with your program?’” said Regina Bodnar, Gilchrist’s clinical director. The hospice’s concurrent program “is not so either/or.”

People who enter hospice care with palliative treatments usually decide to forgo them anyway when they become less effective or more burdensome, Ms. Bodnar said, but “this allows people to make the transition over time.” As the largest hospice program in Maryland, a nonprofit with generous donors, Gilchrist can afford this more flexible, but expensive, approach.

Could it be the future of hospice? That would require Medicare to make some changes in eligibility and reimbursement practices — a shift that might bolster Medicare’s solvency, too.

“Hospice saves money because it keeps people out of the hospital,” Dr. Aldridge Carlson said. Even more expensive outpatient treatments, like palliative radiation, are less costly than days spent in intensive care. Adjusting policies to allow more patients into hospice might bring costs down.

But as important, it could make the call to hospice a slightly less terrifying prospect and provide more families with the help they need at the end of life. “We need to take down the barriers to hospice care,” Ms. Bodnar said, “and this is one way to do it.”


Paula Span is the author of “When the Time Comes: Families With Aging Parents Share Their Struggles and Solutions.”

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DealBook: Avis to Buy Zipcar for $500 Million

The Avis Budget Group said on Wednesday that it had agreed to acquire the car-sharing pioneer Zipcar for $500 million in cash.

The deal represents a new direction for Avis in the fiercely competitive car rental market. Rivals Hertz Global and Enterprise each have hourly rental operations that compete with Zipcar. These rentals tend to have younger, more urban customers than traditional business or leisure travelers. And the Zipcar acquisition comes just months after Hertz clinched a takeover of Dollar Thrifty Automotive group.

“We see car sharing as highly complementary to traditional car rental, with rapid growth potential and representing a scalable opportunity for us as a combined company,” Ronald L. Nelson, Avis’s chief executive, said in a statement.

Avis’s offer of $12.25 a share represents a premium of 49 percent over Zipcar’s closing stock price of $8.24 at the end of 2012. The company, based in Cambridge, Mass., rents vehicles by the hour or the day, and it went public in April 2011 at $18 a share.

Founded in 2000, Zipcar says it has more than 760,000 members, referred to as Zipsters. It is in 20 metropolitan areas in the United States, Canada and Europe, as well as located near many college campuses.

In November, Zipcar said that it expected to end its fiscal year with a profit of as much as $4 million — its first annual profit. That forecast came as the company reported a 15 percent gain in third-quarter revenue, to $78 million, from the year-ago period.

Avis said it expected to reap significant cost reductions in acquiring Zipcar, including savings on its fleet. It also said Avis’s fleet could meet more of Zipcar’s heavy weekend demand. Avis said it expected annual “synergies” of $50 million to $70 million.

When the deal is completed, Zipcar will operate as a subsidiary of Avis in new headquarters in Boston. Scott W. Griffith, Zipcar’s chief executive, and Mark D. Norman, its president and chief operating officer, are expected to stay on.

The venture capital firms Benchmark Capital, Greylock Partners and the AOL co-founder Stephen Case’s Revolution have been among Zipcar’s backers. Revolution is currently its largest shareholder, with a 17.1 percent stake.

In 2007, Zipcar had merged with a car-sharing rival, Flexcar.

Citigroup and the law firm Kirkland & Ellis is advising Avis Budget. Morgan Stanley and the law firm Latham & Watkins is advising Zipcar.

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Barack Obama’s AMA is Reddit’s Top Post of 2012






Do you remember that Barack Obama AMA on Reddit this past August? The one that started with “Hi, I’m Barack Obama, President of the United States. Ask me anything.”


That was Reddit’s top post of 2012 with 5,598,171 page views. Reddit compiled a list of it’s top posts of the year we just said farewell to.






[More from Mashable: This Is 2012 Summed Up in One Image]


The site also handed out some “best of” awards along with a few other tidbits of info. To see if your favorite post ranked, check out the video above.


BONUS: 20 Silliest Questions Posed to Obama in reddit AMA


1. Star Trek vs Star Wars


[More from Mashable: Dying Trekkie Gets Private ‘Into Darkness’ Screening]


Click here to view this gallery.


This story originally published on Mashable here.


Tech News Headlines – Yahoo! News





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Playboy Hugh Hefner marries his 'runaway bride'


LOS ANGELES (AP) — Hugh Hefner's celebrating the new year as a married man once again.


The 86-year-old Playboy magazine founder exchanged vows with his "runaway bride," Crystal Harris, at a private Playboy Mansion ceremony on New Year's Eve. Harris, a 26-year-old "Playmate of the Month" in 2009, broke off a previous engagement to Hefner just before they were to be married in 2011.


Playboy said on Tuesday that the couple celebrated at a New Year's Eve party at the mansion with guests that included comic Jon Lovitz, Gene Simmons of KISS and baseball star Evan Longoria.


The bride wore a strapless gown in soft pink, Hefner a black tux. Hefner's been married twice before but lived the single life between 1959 and 1989.


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Scant Proof Is Found to Back Up Claims by Energy Drinks





Energy drinks are the fastest-growing part of the beverage industry, with sales in the United States reaching more than $10 billion in 2012 — more than Americans spent on iced tea or sports beverages like Gatorade.




Their rising popularity represents a generational shift in what people drink, and reflects a successful campaign to convince consumers, particularly teenagers, that the drinks provide a mental and physical edge.


The drinks are now under scrutiny by the Food and Drug Administration after reports of deaths and serious injuries that may be linked to their high caffeine levels. But however that review ends, one thing is clear, interviews with researchers and a review of scientific studies show: the energy drink industry is based on a brew of ingredients that, apart from caffeine, have little, if any benefit for consumers.


“If you had a cup of coffee you are going to affect metabolism in the same way,” said Dr. Robert W. Pettitt, an associate professor at Minnesota State University in Mankato, who has studied the drinks.


Energy drink companies have promoted their products not as caffeine-fueled concoctions but as specially engineered blends that provide something more. For example, producers claim that “Red Bull gives you wings,” that Rockstar Energy is “scientifically formulated” and Monster Energy is a “killer energy brew.” Representative Edward J. Markey of Massachusetts, a Democrat, has asked the government to investigate the industry’s marketing claims.


Promoting a message beyond caffeine has enabled the beverage makers to charge premium prices. A 16-ounce energy drink that sells for $2.99 a can contains about the same amount of caffeine as a tablet of NoDoz that costs 30 cents. Even Starbucks coffee is cheap by comparison; a 12-ounce cup that costs $1.85 has even more caffeine.


As with earlier elixirs, a dearth of evidence underlies such claims. Only a few human studies of energy drinks or the ingredients in them have been performed and they point to a similar conclusion, researchers say — that the beverages are mainly about caffeine.


Caffeine is called the world’s most widely used drug. A stimulant, it increases alertness, awareness and, if taken at the right time, improves athletic performance, studies show. Energy drink users feel its kick faster because the beverages are typically swallowed quickly or are sold as concentrates.


“These are caffeine delivery systems,” said Dr. Roland Griffiths, a researcher at Johns Hopkins University who has studied energy drinks. “They don’t want to say this is equivalent to a NoDoz because that is not a very sexy sales message.”


A scientist at the University of Wisconsin became puzzled as he researched an ingredient used in energy drinks like Red Bull, 5-Hour Energy and Monster Energy. The researcher, Dr. Craig A. Goodman, could not find any trials in humans of the additive, a substance with the tongue-twisting name of glucuronolactone that is related to glucose, a sugar. But Dr. Goodman, who had studied other energy drink ingredients, eventually found two 40-year-old studies from Japan that had examined it.


In the experiments, scientists injected large doses of the substance into laboratory rats. Afterward, the rats swam better. “I have no idea what it does in energy drinks,” Dr. Goodman said.


Energy drink manufacturers say it is their proprietary formulas, rather than specific ingredients, that provide users with physical and mental benefits. But that has not prevented them from implying otherwise.


Consider the case of taurine, an additive used in most energy products.


On its Web site, the producer of Red Bull, for example, states that “more than 2,500 reports have been published about taurine and its physiological effects,” including acting as a “detoxifying agent.” In addition, that company, Red Bull of Austria, points to a 2009 safety study by a European regulatory group that gave it a clean bill of health.


But Red Bull’s Web site does not mention reports by that same group, the European Food Safety Authority, which concluded that claims about the benefits in energy drinks lacked scientific support. Based on those findings, the European Commission has refused to approve claims that taurine helps maintain mental function and heart health and reduces muscle fatigue.


Taurine, an amino acidlike substance that got its name because it was first found in the bile of bulls, does play a role in bodily functions, and recent research suggests it might help prevent heart attacks in women with high cholesterol. However, most people get more than adequate amounts from foods like meat, experts said. And researchers added that those with heart problems who may need supplements would find far better sources than energy drinks.


Hiroko Tabuchi contributed reporting from Tokyo and Poypiti Amatatham from Bangkok.



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Global Markets Rise on Fiscal Deal


HONG KONG — Stock markets in the Asia-Pacific region began the year with gains Wednesday, as investors took some relief from the last-minute fiscal deal reached in Washington but wrestled with the lingering uncertainties about many other aspects of the U.S. budget.


Two important markets, Japan and China, remained closed for holidays Wednesday, but elsewhere in the region, markets gained modestly during the morning and climbed further after a crucial vote in Washington passed a compromise deal that staved off income tax increases for most Americans.


The Hang Seng index in Hong Kong had the biggest increase, closing up 2.9 percent at its highest level since June 2011. In South Korea, the Kospi rose 1.7 percent, while the benchmark indexes in Singapore, Australia and Taiwan climbed more than 1 percent.


European markets also headed solidly higher, with the DAX in Germany, the CAC-40 in France and the FTSE 100 up about 2 percent in the late morning.


With the Chinese economy having regained momentum in recent months, Asian economic prospects are relatively positive, and growth in most of the region’s developing economies is expected to outpace expansion in the beleaguered West and in Japan.


Purchasing managers’ index reports from Taiwan, South Korea and India, which gauge the health of the manufacturing sectors in those countries, underlined the improving picture Wednesday, with readings that climbed in December. The reading for Indonesia slipped but still indicated expansion.


But in Europe, similar surveys showed that euro zone factories had ended 2012 in poor shape, with both production and new orders declining in December. Spanish manufacturing shrank for the 20th consecutive month, with the decline and the pace of job cuts accelerating.


Analysts have long cautioned that the economic and budget travails of the United States and Europe were likely to overshadow global market sentiment and could cast a pall over Asia this year, especially in highly trade-dependent countries like Taiwan and South Korea and small, open economies like Singapore and Hong Kong.


The deal reached in Washington on Tuesday averted looming income tax increases for most Americans. Combined with significant spending cuts, these would have dealt a major blow to an economy that has been growing anemically since the global financial crisis.


Market relief, however, was likely to be short-lived, analysts said, as other important issues have not been tackled. In particular, decisions on spending cuts of $110 billion were delayed for two months, and politicians have not come up with a long-term solution that would allow the U.S. government to get past the borrowing limit known as the debt ceiling, which was reached at the end of the year.


The scaled-down deal “addressed the fiscal cliff but did nothing to address longer-term fiscal health of the nation,” Aneta Markowska, an analyst at Société Générale in New York, wrote in a research note sent before the final vote in the House of Representatives on Tuesday night in Washington. “This puts the U.S. rating at risk for a downgrade.”


Broader tax overhauls also remain on the table for 2013, while the negotiations about the debt ceiling are likely to involve more potentially unsettling brinkmanship in Washington.


The U.S. fiscal problems, noted Tom Kenny, an analyst at Australia & New Zealand Banking in Australia, “are far from over.” U.S. politicians, he added, will face intense negotiations over the next two months about raising the debt ceiling. These “are likely to prove more harrowing than those just completed.”


For financial markets, the last-minute, partial deal reached Tuesday is thus likely to have brought only a temporary reprieve, analysts said.


“Call it breathing room, call it kicking the can down the road, call it whatever you like — come mid-February, when the decision on the legal U.S. debt limit will be needed, the fight starts afresh,” analysts at DBS in Singapore wrote in a research note. “Two more months of shenanigans and waffling/seasick markets? It certainly looks that way.”


David Jolly contributed reporting from Paris.


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News Analysis: Grand Bargains Give Way to Legislative Quick Fixes


Stephen Crowley/The New York Times


Representative Sander M. Levin, left, speaking with reporters on Monday at the Capitol as the clock for a fiscal deal was ticking.







WASHINGTON — The confusing struggle to head off a national fiscal crisis has made one thing crystal clear: The era of the Big Deal is over.




Despite repeated, intense and personal efforts by President Obama and Speaker John A. Boehner as well as bipartisan coalitions, gangs of senators, supercommittees, special commissions and wonky outsiders, the grand bargain remains the elusive holy grail of fiscal policy and seems destined to stay that way for now.


“We don’t seem to be able to do grand bargains very well,” said Senator Susan Collins, Republican of Maine, who has long been a force for compromise.


Some groups have produced the framework for smaller deals and even gained some bipartisan support, particularly the 2010 Simpson-Bowles plan, which fell just short of a 14-vote threshold required to get before Congress. But the alchemy of Mr. Obama and the current Republican-controlled House, not to mention the ideologically diverse Senate, appears hopelessly inhospitable to accomplishing something huge.


As Mr. Obama all but acknowledged Monday, big bipartisan legislative dreams seem all but certain to be miniaturized as incremental policy visions.


“My preference would have been to solve all these problems in the context of a larger agreement, a bigger deal, a grand bargain, whatever you want to call it,” he said. “Maybe we can do it in stages. We’re going to solve this problem instead in several steps.”


Republicans appear to agree. “We’ll continue to work on smart ways to cut spending,” Senator Mitch McConnell of Kentucky, the Republican leader, said on the Senate floor. “But let’s not let that stand in the way.”


The list of unrealized goals from Mr. Obama and Mr. Boehner’s last attempt at a grand bargain two weeks ago are breathtaking in their number, particularly when compared with the probable outcome of these final Congressional negotiations. Ambitious plans to overhaul the individual tax code, tackle corporate rates, revamp the Medicare program and possibly consider changes in Social Security appear to have given way mainly to a tax increase for big earners.


Members in both the House and the Senate said perhaps that was O.K.


“We can’t do the task all at once,” said Senator John Hoeven, Republican of North Dakota. “I pushed for a big deal, but in this case this time we can only get the tax piece done, so we need to move we need to get it done.”


The downside of incrementalism is apparent every month in Washington, as a new battle emerges and legislative Band-Aids are affixed to fiscal gunshot wounds.


While Congress appeared on Monday to be lurching to a deal to avoid significant tax increases for millions of Americans, the emerging patchwork tax deal would push a series of fights into the next Congress, most of them very likely to be marked by the same 11th-hour, rancorous dynamics that have been the signature of every other fiscal deal.


Most pressing, Congress will have to come together as early as next month to lift the debt ceiling, which Republicans are already hoping to leverage to eke more spending cuts from Democrats. A similar fight almost led to default in 2011, and damaged the nation’s credit rating.


In March, Congress will spar again over a short-term spending agreement to keep the government open, the same sort that led to a near shutdown almost two years ago. It appeared on Monday that scheduled spending cuts to the Pentagon and other parts of government — the result of last year’s debt ceiling agreement — will be delayed for two months, yet another short-term kick of the can. Republicans and Democrats will most likely revisit the recurring question of revenues versus spending cuts when those two months are up.


Because the sharply divided 112th Congress and the White House repeatedly eschewed large-scale deals in favor of quick fixes, myriad bills left undone will be in the hands of the 113th Congress, set to convene at noon Thursday.


The legislation includes a farm bill to replace the one that has expired, a lapse that may result in soaring milk prices; a transportation bill; a funding mechanism to supplement the waning gas tax reserves to meet infrastructure needs; and even a measure, once completely uncontroversial, to prevent domestic violence.


Also left to the new year is a bill to help states hit by Hurricane Sandy. The Senate passed such a measure last week, but House Republicans, as has been the case with every disaster relief bill in this Congress, disagree with Democrats on its level of spending, and a final deal seems unlikely until the next Congress. The House was also set to vote on Tuesday on a quickie measure to deal with dairy prices.


Doing business in pieces may end up a productive formula — in the sense that walking 100 miles will still transport a person absent an airplane or a bus — but many outside Congress do not think such halting forward motion should be confused with actual success.


“That’s the nature of the dysfunction,” said Julian E. Zelizer, a professor of history and public affairs at Princeton. “For the parties, it gives them temporary cover and to fight again on the issues in the next few months. The parties please their base, but the country does not get a solution.”


But that seems to be the nature of what constitutes progress in such a sharply divided political world.


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Unreleased ‘BlackBerry X10′ QWERTY phone appears again in new photos









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DiDonato a luminous Mary Stuart at Met


NEW YORK (AP) — The Metropolitan Opera may have pretty much turned opening night over to the glamorous Anna Netrebko, but New Year's Eve belongs to a very different diva — Joyce DiDonato.


Last year the Kansas-born mezzo-soprano headlined a starry lineup in the baroque pastiche "The Enchanted Island." On Monday night she brought a gala audience to its feet with a luminous performance in the title role of Donizetti's "Maria Stuarda."


Never before performed at the Met, this second opera in the composer's so-called "Three Queens" trilogy portrays the lethal conflict between Mary, deposed queen of Scotland, and Queen Elizabeth I of England.


From the moment she makes her entrance in the second scene, singing of her joy in strolling outside her prison in Fotheringay Castle, DiDonato rivets attention. She imbues every syllable with a concentrated eloquence that makes her compact voice seem larger than it is. She displays seemingly effortless command of coloratura embellishments throughout a wide vocal range. And she is equally impressive in fiery outbursts and in hushed, long-held phrases — like the ones she spun out as she sang through the chorus in the final scene.


The opera's dramatic heart is a confrontation between the two queens that never took place in history but that figures in the Friedrich Schiller play on which the libretto is based. Mary at first abases herself in hope of winning a pardon; then, as Elizabeth hurls insults, her pride reasserts itself and she seals her doom by denouncing her rival as "figlia impura di Bolena" ("impure daughter of Anne Boleyn") and "vil bastarda" ("vile bastard").


DiDonato was impressive in this scene when she sang the role for the first time last spring in Houston, but her performance Monday night was even better — more confident and more filled with vocal and dramatic shadings. There was a wonderful touch when, after she had spent her fury, she allowed herself a beatific smile, as if to convey: "There! I said it and I'm glad!"


Of course, it takes two to stage a confrontation, and DiDonato's partner at the Met is Elza van den Heever, a South African soprano making her debut. She has a voice that's impressive in many respects, with a large and vibrant upper register. But she tended to fade out in the lower part of her range, where much of Elizabeth's music lies.


More damagingly, she was victimized by a quirk of David McVicar's production that has Elizabeth lurching awkwardly about the stage for much of the evening, as if thrown off balance by John Macfarlane's elaborate period costumes. Perhaps this bizarre gait is intended to contrast with Mary's immaculate poise, but it mainly proves distracting.


The opening scene in Elizabeth's palace is garishly staged, with what look like red rafters hanging down from the ceiling and gratuitous acrobats in devil costumes, but once past this, matters improve. For the scene outside Fotheringay, Macfarlane fills the stage with spindly trees barren of leaves and provides a painted backdrop that evokes a cloudy landscape. The final tableau is also striking: Mary, shorn of her long hair and wearing a simple red dress, climbs a staircase with her back to the audience to meet her executioner and the chopping block.


Though the two queens dominate the opera, there are some other characters, and they are all in extremely good hands. Having the elegant tenor Matthew Polenzani take on the thankless role of the ineffectual Leicester is luxury casting indeed. Bass Matthew Rose is warmly sympathetic as Mary's confessor, Talbot; baritone Joshua Hopkins sings with robust tone as her nemesis, Cecil; and mezzo Maria Zifchak lends her customary strong support as Mary's attendant, Anna.


Maurizio Benini conducts a lithe and lively performance of the score, even if he can't quite disguise the fact that the second half of the opera is decidedly anti-climactic.


There are seven more performances, including a matinee on Saturday, Jan. 19, that will be broadcast live in HD to movie theaters around the world.


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Hispanic Pregnancies Fall in U.S. as Women Choose Smaller Families





ORLANDO, Fla. — Hispanic women in the United States, who have generally had the highest fertility rates in the country, are choosing to have fewer children. Both immigrant and native-born Latinas had steeper birthrate declines from 2007 to 2010 than other groups, including non-Hispanic whites, blacks and Asians, a drop some demographers and sociologists attribute to changes in the views of many Hispanic women about motherhood.




As a result, in 2011, the American birthrate hit a record low, with 63 births per 1,000 women ages 15 to 44, led by the decline in births to immigrant women. The national birthrate is now about half what it was during the baby boom years, when it peaked in 1957 at 122.7 births per 1,000 women of childbearing age.


The decline in birthrates was steepest among Mexican-American women and women who immigrated from Mexico, at 25.7 percent. This has reversed a trend in which immigrant mothers accounted for a rising share of births in the United States, according to a recent report by the Pew Research Center. In 2010, birthrates among all Hispanics reached their lowest level in 20 years, the center found.


The sudden drop-off, which coincided with the onset of the recession, suggests that attitudes have changed since the days when older generations of Latinos prized large families and more closely followed Roman Catholic teachings, which forbid artificial contraception.


Interviews with young Latinas, as well as reproductive health experts, show that the reasons for deciding to have fewer children are many, involving greater access to information about contraceptives and women’s health, as well as higher education.


When Marucci Guzman decided to marry Tom Beard here seven years ago, the idea of having a large family — a Guzman tradition back in Puerto Rico — was out of the question.


“We thought one, maybe two,” said Ms. Guzman Beard, who gave birth to a daughter, Attalai, four years ago.


Asked whether Attalai might ever get her wish for a little brother or sister, Ms. Guzman Beard, 29, a vice president at a public service organization, said: “I want to go to law school. I’m married. I work. When do I have time?”


The decisions were not made in a vacuum but amid a sputtering economy, which, interviewees said, weighed heavily on their minds.


Latinos suffered larger percentage declines in household wealth than white, black or Asian households from 2005 to 2009, and, according to the Pew report, their rates of poverty and unemployment also grew more sharply after the recession began.


Prolonged recessions do produce dips in the birthrate, but a drop as large as Latinos have experienced is atypical, said William H. Frey, a sociologist and demographer at the Brookings Institution. “It is surprising,” Mr. Frey said. “When you hear about a decrease in the birthrate, you don’t expect Latinos to be at the forefront of the trend.”


D’Vera Cohn, a senior writer at the Pew Research Center and an author of the report, said that in past recessions, when overall fertility dipped, “it bounced back over time when the economy got better.”


“If history repeats itself, that will happen again,” she said.


But to Mr. Frey, the decrease has signaled much about the aspirations of young Latinos to become full and permanent members of the upwardly mobile middle class, despite the challenges posed by the struggling economy.


Jersey Garcia, a 37-year-old public health worker in Miami, is in the first generation of her family to live permanently outside of the Dominican Republic, where her maternal and paternal grandmothers had a total of 27 children.


“I have two right now,” Ms. Garcia said. “It’s just a good number that I can handle.”


“Before, I probably would have been pressured to have more,” she added. “I think living in the United States, I don’t have family members close by to help me, and it takes a village to raise a child. So the feeling is, keep what you have right now.”


But that has not been easy. Even with health insurance, Ms. Garcia’s preferred method of long-term birth control, an IUD, has been unaffordable. Birth control pills, too, with a $50 co-payment a month, were too costly for her budget. “I couldn’t afford it,” she said. “So what I’ve been doing is condoms.”


According to research by the National Latina Institute for Reproductive Health, the overwhelming majority of Latinas have used contraception at some point in their lives, but they face economic barriers to consistent use. As a consequence, Latinas still experience unintended pregnancy at a rate higher than non-Hispanic whites, according to the institute.


And while the share of births to teenage mothers has dropped over the past two decades for all women, the highest share of births to teenage mothers is among native-born Hispanics.


“There are still a lot of barriers to information and access to contraception that exist,” said Jessica Gonzáles-Rojas, 36, the executive director of the institute, who has one son. “We still need to do a lot of work.”


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