News Corp to name Thomson as Publishing Co CEO next week: sources












(Reuters) – News Corp is expected to name Robert Thomson, a close confidant of Chairman and CEO Rupert Murdoch, to lead its new publishing company by the end of next week, according to sources familiar with News Corp’s plans.


Thomson is currently managing editor of the Wall Street Journal and editor in chief of its publisher Dow Jones & Co, which News Corp acquired in 2007. Gerard Baker, currently the deputy editor of the Journal, is expected to succeed Thomson, according to these sources.












Murdoch will be relying on his trusted lieutenant to steer the new company – whose main assets apart from Dow Jones include its British and Australian newspapers and HarperCollins book publishing business – at a difficult time. Newspapers in many developed markets are suffering from a severe drop in advertising revenue and circulation is being hit as readers are choosing to get their news on smartphones and tablets.


Among the key decisions Thomson will have to make include what to do about the financially struggling New York Post and whether the new company will go on an acquisition spree for other U.S. newspapers that could come on the market, such as the Los Angeles Times and the Chicago Tribune.


Thomson and Baker were not immediately available for comment. Representatives for Dow Jones and News Corp were also not immediately available.


In June, News Corp said it was separating its publishing and entertainment assets in response to shareholders who had pressed News Corp to get rid of its troubled newspapers business after a phone hacking scandal tainted its British newspapers and forced the company to drop its proposed acquisition of pay-TV group BSkyB.


News Corp is still finalizing the details of other executive appointments within the new company – a decision that could delay the announcement of the appointments of Thomson and Baker, one of the sources said. It wasn’t immediately clear whether the role of Dow Jones CEO Lex Fenwick will change in any way.


Murdoch will hold the chairman title at the publishing company after its split from the entertainment side, which will include most of the group’s TV and movie studio assets and where he will remain chairman and CEO.


The confirmation of Thomson’s long-rumored appointment to CEO of the publishing company appears to have sidelined any plans Murdoch may have had to bring his eldest son, Lachlan, back into the family business fold. News Corp watchers and industry experts had assumed that Murdoch would push hard to recruit Lachlan given his son previously had some success as publisher of the New York Post.


The Australian-born Thomson was appointed to oversee the newsroom of the Journal and Dow Jones Newswires shortly after News Corp’s $ 5.6 billion acquisition of Dow Jones from the Bancroft family in 2007. Thomson was editor of News Corp’s Times of London and before that he was at the Financial Times where he led that paper’s expansion in the U.S.


He recruited Baker in 2008 from the Times of London where he was heading up its coverage in the U.S.


While the newspaper industry is facing stiff challenges, News Corp has invested in the Wall Street Journal, adding new sections – including one that covers New York and one that focuses on real estate, while other papers have retrenched by slashing pages and frequency of publication. The Journal has risen to become the No. 1 daily newspaper in the U.S. and has broadened out its coverage beyond Wall Street to include more political and general news in an effort to compete with the New York Times.


The splitting of News Corp into two publicly traded companies will likely be completed by the end of June.


New Corp’s film and television businesses include the 20th Century Fox film studio, Fox broadcasting network and Fox News channel. The entertainment business, which generated revenues of $ 24.7 billion in the year ending June 2012, would dwarf the publishing unit, which posted $ 8.2 billion in revenue.


(Reporting By Jennifer Saba in New York; Editing by Peter Lauria and Martin Howell)


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Facebook Powerball frenzy: Purported winner offers to ‘share’ $1 million












His name is Nolan Daniels, and he’s just about to give some random dude or dudette $ 1 million. Or so he claims.


Purporting to be the second Powerball winner in Wednesday’s $ 588 million payout, Mr. Daniels posted a Facebook photo late Thursday of himself holding a ticket showing the winning numbers. The photo is the only one visible on Daniels’s account, which dates to 2008.












“Looks like I’m not going to work … EVER!!!” the smiling purported winner exclaimed. The numbers on his ticket – 5-23-16-22-29-Powerball 6 – correspond to the winning combination, but the ticket has not been publicly verified.


To make the Facebook announcement that much more bizarre, Daniels vowed to give $ 1 million of his winnings to a “random” person who “shares” his photo.


That set off a frenzy Friday as thousands of Facebook users got in on the action, with the photo being shared over 1,000 times a minute, with over 100,000 shares as of 3:30 p.m.


On his Facebook page, Daniels chastised skeptics and suggested, “Anyone who doubts the legitimacy of this photo will not be included in the 1 million dollar drawing.”


There were two winners in the drawing. The only winners confirmed so far are Cindy and Mark Hill of Dearborn, Mo., who decided to take a lump sum payment. Lottery authorities have not revealed the name of the other winner, who bought a ticket in Arizona. Earlier on Friday, some guessed that a video of a man celebrating in Maryland might show the winner.


The payout is the second largest in US history after three ticket buyers shared a $ 656 million jackpot in March. As the amount grew this week, tickets were selling at a rate of 130,000 a minute.


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Putin aide denies Russian president has health problems












TOKYO/MOSCOW (Reuters) – Vladimir Putin is in good health, his chief of staff said on Friday after Japanese media said Prime Minister Yoshihiko Noda had postponed a visit to Moscow next month because the Russian president had a health problem.


A former KGB officer who enjoys vast authority in Russia, Putin has long cultivated a tough-guy image, and health issues could damage that. His condition though has been questioned in some media since he was seen limping at a summit in September.












Three Russian government sources told Reuters late in October that Putin, who began a six-year term in May and turned 60 last month, was suffering from back trouble, but the Kremlin has dismissed talk that he had a serious back problem.


Putin’s health troubles stem from a recent judo bout, Belarussian President Alexander Lukashenko said this week.


Then on Friday Japanese news agencies Kyodo and Jiji reported that Prime Minister Noda talked about the delay of a visit planned for December in a meeting with municipal officials on the northern island of Hokkaido.


“It’s about (President Putin’s) health problem. This is not something that can easily be made public,” Jiji cited one of the officials as quoting Noda as saying.


But Putin’s chief of staff Sergei Ivanov denied there was any problem.


“Please don’t worry, don’t be concerned. Everything is in order with his health,” Putin’s said in Vienna, according to state-run Russian news agency RIA.


In an interview published on Friday in the popular Russian tabloid Komsomolskaya Pravda, Putin’s spokesman Dmitry Peskov said rumors about a spine problem were “strongly exaggerated”.


“He is working as he has before and intends to continue working at the same pace,” Peskov said.


“He also does not plan to give up his sports activities and for this reason, like any athlete, his back, his arm, his leg might sometimes hurt a little – this has never gotten in the way of his ability to work.”


Putin had been expected to make several foreign trips in late October or November, but they did not take place.


Putin is however due to visit Turkey on Monday and Turkmenistan on Wednesday.


Putin’s foreign policy adviser, Yuri Ushakov, made amply clear the Kremlin was displeased by the public discussion of scheduling by Japanese officials and denied that Noda’s visit had been postponed, saying no date had been set.


“It is just unethical to name the dates that were discussed. There were several: at first it was October, November, December, January … then we even shifted to February,” Ushakov said, adding that the sides eventually agreed tentatively on January.


He said the diplomatic process of agreeing dates for the visit should have been “hermetically sealed”.


Putin’s image as a fit, healthy man helped bring him popularity when he rose to power 13 years ago because of the stark contrast with his predecessor Boris Yeltsin, who was sometimes drunk in public and had heart surgery when president.


He has used activities like scuba diving and horseback riding to maintain that image.


On Friday, Putin met leaders of parliamentary factions in his Novo-Ogaryovo residence outside Moscow. He appeared in good health and was walking without any sign of a limp.


Likely to be on the agenda in talks between Russian and Japanese officials are energy cooperation and a decades-old dispute over islands north of Hokkaido known as the Southern Kurils in Russia and the Northern Territories in Japan.


(Additional reporting by Darya Korsunskaya; Writing by Tomasz Janowski and Steve Gutterman; Editing by Nick Macfie and Jon Hemming)


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The Economy of Surgery












When I was twelve, my sister and I accompanied my grandparents to their annual yoga retreat in the hilly ranges of southern India. We had never been before, but the summer heat was particularly blistering that year, so we persuaded our grandparents to take us along. I envisioned a blissful two-week vacation in a photogenic little hamlet, nestled among tea plantations, in temperatures that were thirty degrees cooler than on the mainland. It was just that, and yet, it was even less complicated than that.The mean age of folk at the retreat was 67. Bells sounded every morning at 3:30am, and everyone filed out of their cabins and to a little gymnasium in the center of the dwelling, where we all meditated for two hours to the sounds of sitar music and transcendental humming. Meals were served at strict hours three times a day, and consisted of boiled vegetables and grains, with not a lick of salt or spice. The library in the middle of this utopian dwelling held only spiritual and philosophical texts, not the Nancy Drew or Hardy Boys I hoped for. In the afternoons, there were a variety of classes offered – cooking lessons, devotional classes, music and instrumental classes, and yoga. My sister and I stopped by the latter occasionally, and were always put to shame by octogenarians holding themselves up in impossible poses, such as balancing their entire habitus on the tips of their fingers. I journaled in the evenings, writing each day about a new facet of human life that I’d observed. In the absence of stimulus, my dreams grew vivid and exceedingly detailed.Over the course of the two weeks, my sister and I grew quiet and reflective. It was then that we began an important switch in our minds, something that has lasted to this day. We began to see value in living leanly, economically, functionally. We began to separate needs from wants, and to discard the ornamentation.*Third year of medical school has finally brought me around to my surgery rotation: three months of waking up at 4am, stuffing my white coat pockets to the brim with gauze and tape, retracting skin and fat during long abdominal surgeries, and practicing suturing techniques on pig’s feet procured at the local Stop&Shop grocery market. It’s fast and exhilarating, and deeply satisfying. I was skeptical when I first heard that my preceptor’s favorite procedure of all time was draining a deep-seated abscess. But when I saw it being done in clinic, how a single stab of the thing blade led to the gushing of what felt like liters of pus, I couldn’t help but agree. What a joy to just go in and fix a problem so dramatically, reconstruct a failing human body in a matter of hours!During orientation on the first day of the rotation, two residents sat down and gave my classmates and me some hard advice. Surgery is a demanding rotation, they said, and it reflects the demanding residency ahead that awaits the select few. We could expect to go in while it is still dark out, and leave after the sun had set, almost every day. Residents and attendings can be rough around the edges, and may be gruff with you, even kick you out of their operating room if they feel like it, but it’s not personal. Or even if it is, we’ve got to shrug it off and keep it moving. Gone are the days of noon conferences and luxurious afternoon didactics, with their promise of free lunches and coffee. We were to eat when we can, sit when we can, sleep when we can.After an hour of such grim prognostications, my classmates and I took a break and debriefed our feelings with each other outside the bathrooms. Some were giggling nervously with panicked eyes, but most looked inspired. I too felt like I had voluntarily signed up for a warrior training program, and was feeling pretty zen about it. I saw it as a character-building experience: surgery was the time to cut out the silly frills, and embrace a leaner, meaner way of living. It was time to lose the pretty business casual outfits and fancy footwear of internal medicine, and trade them in for utilitarian scrubs and clogs. It promised to be a time of talking less and getting things done.*During a recent health management class, my classmates and I discussed the case of a medical center based in Seattle that benefited from industry principles gleaned from, of all places, the Toyota car manufacturing company. Toyota’s revolution as a manufacturing miracle began in the supply-scarce post-WWII Japan, when management was confronted with the challenge of meeting customer needs in the face of little spare capital to hold inventory as a buffer to fluctuating demand. The company then developed a set of principles focused on cutting muda or waste, while pursuing kaizen, or continuous self -improvement by way of complete intolerance for redundancy. Toyota integrated these principles into every step of production and management.For instance, Toyota emphasizes innovation on the shop floor by frontline workers to solve problems in production in real time. If a problem is discovered that cannot be fixed within the production cycle time, workers pull a cord that halts the entire assembly line and brings a senior supervisor to the scene. The management aggressively seeks ideas for improvement from employees, resulting in an average yield of close to a million ideas annually, 90% of which go on to be implemented.Analysts attribute Toyota’s success to its emphatic optimization of flow – information flow, physical flow of parts, and overall production flow, via standardized processes and continuous improvement. Standardized processes are ones that are streamlined to eliminate aberrations and unplanned redundancies. Waste, measured even in the seconds, is simply not tolerated, forcing a redesign of processes, again and again, which any employee can take on.In 2004, Toyota surpassed Ford Motors to become the world’s second-largest manufacturer of cars and trucks, surpassing the latter consistently in quality, dependability and value assessments. In turn, Ford began to take cues from Toyota, transforming its assembly-line system to similarly cut out waste.*There are two kinds of people in the world: surgeons, and everyone else.Really, what does it mean to live leanly? I rediscovered it in this rotation. A life in surgery isn’t for everyone, but such an experience is something I truly feel everyone should have. These past 6 weeks have been teaching me to think fast, move fast. They’ve been teaching me to suffice with less, be it food, sleep, or words of appreciation. They’ve been teaching me to appreciate the vulnerabilities of the human body – for no matter how exhausted or sleep-deprived I may feel, actually laying hands on the more tangible deficits of another’s is always startling and humbling. The end result is a beautiful dance, for surgeons and their assistants, working with their hands, rediscovering the grace of human movement, bring art back into medicine.I never leave the OR thinking that more is better. I watch instruments fly, I watch the players push and pull, cut and stitch, wash and dry, and I think about things like symmetry, precision, and above all, the beauty of economy.


Follow Scientific American on Twitter @SciAm and @SciamBlogs.Visit ScientificAmerican.com for the latest in science, health and technology news.
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Dollar-Less Iranians Discover Virtual Currency












Under sanctions imposed by the U.S. and its allies, dollars are hard to come by in Iran. The rial fell from 20,160 against the greenback on the street market in August to 36,500 rials to the dollar in October. It’s settled, for now, around 27,000. The central bank’s fixed official rate is 12,260. Yet there’s one currency in Iran that has kept its value and can be used to purchase goods from abroad: bitcoins, the online-only currency.


a8270  econ bitcoin49  01inline  202 Dollar Less Iranians Discover Virtual Currency












Created in 2009 by a mysterious programmer named Satoshi Nakamoto, bitcoins behave a lot like any currency. Their value is determined by demand, and they can be used to buy stuff. Bitcoin transactions are encrypted and handled by a decentralized global network of tens of thousands of personal computers. Merchants around the world accept the currency, from a bakery in San Francisco to a dentist in Finland. Individuals who own bitcoins and wish to exchange them for physical currencies like euros or dollars can use exchange sites such as localbitcoins.com, a Finland-based site founded by Jeremias Kangas. “I believe that bitcoin is, or will be in the future, a very effective tool for individuals who want to avoid sanctions, currency restrictions, and high inflation in countries such as Iran,” Kangas wrote in an e-mail.


The advantage for Iranians is that bitcoins can be swapped for dollars that can then be kept outside the country. Another plus: Regulators can’t easily track the transactions, since bitcoins aren’t issued from a central server. Bitcoin users can conduct business on virtual private networks, which hide customers’ identities.


At online store coinDL.com, shoppers can use bitcoins to buy Beyond Matter, the latest album from Iranian artist Mohammad Rafigh. Anyone in the U.S. downloading songs, which fetch .039 bitcoins or 45¢ each, risks violating U.S. sanctions. That doesn’t bother Rafigh, who’s studying computer engineering as well as playing music. “Bitcoin is so interesting for me,” Rafigh wrote in an e-mail. “I wish the culture of using digital money spreads all over the world, because it does not have any dependency on anything like politics.” Rafigh has translated some bitcoin software into Farsi for his friends. “I love Iran, and if bitcoin is good for me, it can be good for more Iranians like me.”


a8270  econ bitcoin49  01  inline405 Dollar Less Iranians Discover Virtual Currency


Iranian-American bitcoin consultant Farzhad Hashemi recently traveled to Tehran and talked up bitcoin to his friends. “They are instantly fascinated by it,” he says. “It’s a flash for them when they realize how it can solve their problems.” Iranians working or living abroad can send bitcoins to their families, who can use one of the online currency matchmaking services to find someone willing to exchange bitcoins for euros, rials, or dollars. Bitcoins are useful to Iranians wishing to move their money abroad, either to children studying in Europe or America or simply to stash cash in a safe place.


As the value of the rial plunges, many Iranians are trying to acquire foreign currencies. “We have no idea what will happen,” says Amir-Hossein Madani, who says he’s traded tens of millions of street market dollars in Tehran over the past two years. “These days prices change every 10 minutes.”


The uncertainty has led some Iranian software developers to ask clients to pay them in bitcoins. “Anyone with a computer is able to own, send, and receive them. You can be at an Internet cafe in Iran and managing a bitcoin account,” says Jon Matonis, a founding board member of the Bitcoin Foundation, a Seattle nonprofit that promotes the currency. The exchange rate in Iran is 332,910 rials per bitcoin. It isn’t known how many Iranians use bitcoins to skirt sanctions. According to localbitcoins’ Kangas, 32 people in Iran have contacted each other through his site.


An internal FBI report in April expressed concern over the online currency. The report was leaked to Wired and Betabeat. “Since Bitcoin does not have a centralized authority, law enforcement faces difficulties detecting suspicious activity, identifying users, and obtaining transaction records—problems that might attract malicious actors to Bitcoin,” says the report. For now, Iranians are using bitcoins to maintain a fragile connection to the outside world.


The bottom line: Iranians are resorting to virtual currency to move money into and out of the country in a way that Western authorities find hard to detect.


With Ladane Nasseri, Yeganeh Salehi, and Peter S. Green


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African Union asks UN for immediate action on Mali












DAKAR, Senegal (AP) — In an open letter Thursday to U.N. Secretary-General Ban Ki-moon, the president of the African Union urged the U.N. to take immediate military action in northern Mali, which was seized by al-Qaida-linked rebels earlier this year.


Yayi Boni, the president of Benin who is also head of the African Union, said any reticence on the part of the U.N. will be interpreted as a sign of weakness by the terrorists now operating in Mali. The AU is waiting for the U.N. to sign off on a military plan to take back the occupied territory, and the Security Council is expected to discuss it in coming days.












In a report to the Security Council late Wednesday, Ban said the AU plan “needs to be developed further” because fundamental questions on how the force will be led, trained and equipped. Ban acknowledged that with each day, al-Qaida-linked fighters were becoming further entrenched in northern Mali, but he cautioned that a botched military operation could result in human rights abuses.


The sprawling African nation of Mali, once an example of a stable democracy, fell apart in March following a coup by junior officers. In the uncertainty that ensued, rebels including at least three groups with ties to al-Qaida, grabbed control of the nation’s distant north. The Islamists now control an area the size of France or Texas, an enormous triangle of land that includes borders with Mauritania, Algeria and Niger.


Two weeks ago, the African Union asked the U.N. to endorse a military intervention to free northern Mali, calling for 3,300 African soldiers to be deployed for one year. A U.S.-based counterterrorism official who saw the military plan said it was “amateurish” and had “huge, gaping holes.” The official insisted on anonymity because he was not authorized to speak on the matter.


Boni, in his letter, said Africa was counting on the U.N. to take decisive action.


“I need to tell you with how much impatience the African continent is awaiting a strong message from the international community regarding the resolution of the crisis in Mali. … What we need to avoid is the impression that we are lacking in resolve in the face of these determined terrorists,” he said.


The most feared group in northern Mali is al-Qaida in the Islamic Maghreb, or AQIM, al-Qaida’s North African branch, which is holding at least seven French hostages, including a 61-year-old man kidnapped last week.


On Thursday, SITE Intelligence published a transcript of a recently released interview with AQIM leader, Abu Musab Abdul Wadud, in which he urges Malians to reject any foreign intervention in their country. He warned French President Francois Hollande that he was “digging the graves” of the French hostages by pushing for an intervention.


Also on Thursday, Islamists meted out the latest Shariah punishment in northern city of Timbuktu. Six young men and women were each given 100 lashes for having talked to each other on city streets, witnesses said.


___


Associated Press writer Virgile Ahissou in Cotonou, Benin and Baba Ahmed in Bamako, Mali contributed to this report.


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Apple overcomes last hurdle, iPhone 5 cleared for sale in China as Android continues to dominate












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Gotye wins big at Australia’s Aria music awards












SYDNEY (AP) — Gotye has taken home album of the year at Australia‘s Aria music awards for his internationally acclaimed “Making Mirrors.”


The album features the Belgian-born, Australian-raised singer’s multiplatinum hit “Somebody That I Used to Know,” which was the top song of the year on digital music service Spotify.












Gotye won three other awards at Thursday night’s Arias, including best pop release, best Australian live act and best male artist.


The annual awards show is Australia’s version of the Grammys. This year’s gala featured appearances by Taylor Swift, Nicki Minaj and Russell Brand.


Fans shrieked with glee when British pop group One Direction was dubbed best international artist. The quintet thanked their Aussie supporters via video link.


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AIDS drug roll-out boosts South African life expectancy












JOHANNESBURG (Reuters) – South Africa has achieved a “stunning” increase in life expectancy in the last three years due to a government push to roll out antiretroviral drugs (ARVs) to people with HIV/AIDS, researchers said on Thursday.


The average South African is now likely to live to the age of 60, a study in the Lancet medical journal said, compared with just 56.5 in 2009 when President Jacob Zuma came to power with promises of a new approach to the country’s HIV/AIDS burden.












Africa’s biggest economy is home to 6 million HIV/AIDS sufferers but under Zuma’s predecessor, Thabo Mbeki, the government was reluctant to provide the life-prolonging drugs, the study said.


Nearly 2 million people are now taking ARVs daily in what is the world’s largest ARV programme. That total compares with 912,000 in 2009 and just 235,000 three years before that.


Although overall infection rates have stayed constant at around 10 percent since 2006, the study’s authors said such a dramatic increase in life expectancy was unheard-of.


“There are many factors that contribute to life expectancy but the single most important one was the expansion of the ARV treatment programme,” said Professor Salim Abdool Karim, director of the Centre for the AIDS Programme of Research in South Africa and a member of the Lancet South Africa team.


“That increase in life expectancy is nothing short of stunning. You don’t see those kinds of increases in the real world.”


Lead researcher Bongani Mayosi from the University of Cape Town singled out Health Minister Aaron Motsoaledi for praise in reversing the policies of Mbeki, whose health minister outraged activists by questioning the effectiveness of ARVs and championing the benefits of garlic and beetroot instead.


“We have no doubt that the new administration that came in 2009 was eager to make an improvement on the disastrous record of the first 15 years of the ANC government,” Mayosi said.


South Africa still faced formidable challenges however, particularly in reducing huge racial disparities in housing, employment and access to health services, Mayosi said.


Just 10.3 percent of black South Africans, who make up 80 percent of the population, have medical insurance, compared with 70.9 percent for whites, who make up just 10 percent of the overall 52 million population, the study showed.


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France Veers to Left With Threat to Nationalize a Mill












France’s threat to nationalize a steel mill to prevent job losses is shaping up as a public relations disaster for the government—with potential collateral damage to the European steel industry as well.


President François Hollande’s Socialist government says it may take temporary control of the Hayange-Florange plant in Lorraine to prevent its owner, ArcelorMittal (MT), from eliminating about 630 of 2,700 jobs at the site. Industry Minister Arnaud Montebourg told Parliament on Nov. 28 that the government had already found a potential buyer for the facility, which ArcelorMittal does not want to sell. The transaction would involve “a temporary nationalization” and resale, Montebourg said.












Talks between the government and the steelmaker are continuing after a Nov. 27 tête-à-tête between Hollande and Chief Executive Lakshmi Mittal at the Elysée Palace failed to produce an agreement.


The showdown has sparked an uproar extending well beyond France’s borders. In a Nov. 26 newspaper interview, Montebourg said, “We don’t want Mittal in France,” and accused the company of breaking earlier promises to protect jobs. Lakshmi Mittal’s family told Le Monde it was “extremely shocked” by the comment. London Mayor Boris Johnson, who happened to be visiting Mittal’s native India at the time, told a group of Indian businessmen: “If France doesn’t want you, Britain does.”


Nationalization of private companies was abandoned decades ago by most major economies—including France, where it was last used by Socialist President François Mitterrand in the early 1980s.  Its resurrection, along with the government’s attacks on Mittal, aren’t likely to help French efforts to reverse a slump in foreign investment. According to the United Nations, foreign direct investment in France last year totaled $ 40.9 billion, less than half the figure five years ago. Even the left-leaning Paris newspaper LibĂ©ration wondered in a Nov. 27 article whether nationalization was “really a good idea, or mission impossible?”


Underlying the Florange dispute is a big problem facing European steelmakers: Too much production capacity is chasing too few customers. Producers such as Luxembourg-based ArcelorMittal and Germany’s ThyssenKrupp (TKA:GR) collectively sell about 150 million tons of steel per year, utilizing only 71 percent of their capacity, says Seth Rosenfeld, an analyst at Jefferies International in London.


The excess capacity “reduces their pricing power” and weighs on profitability, Rosenfeld says. ArcelorMittal on Oct. 31 reported its lowest quarterly profit in almost three years.


With steel demand slumping almost everywhere in the world except China, other producers are struggling to cut capacity. ThyssenKrupp is trying to sell mills in the U.S. and Brazil, and Russia’s Novolipetsk Steel wants to downsize its mill at Louvière, Belgium.


Against that backdrop, transferring ownership of Florange to another company “continues the situation of having excess steelmaking capacity,” Rosenfeld says. “The government has a short-term view toward job preservation, rather than a longer-term view toward allowing the steel industry to remain profitable.”


ArcelorMittal wants to close two blast furnaces at Florange that are already idle, while continuing to operate other factories at the site. Taking those factories away from ArcelorMittal would disrupt its supply chain, jeopardizing “substantially more jobs” among the 20,000 the company employs in France, says Charles Bradford, an independent steel industry analyst in New York. “Arcelor has an integrated setup, some plants feed other plants,” he says. Without supplies from Florange, “other mills would have to close because they wouldn’t have the feedstock.”


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Myanmar cracks down on mine protest; dozens hurt












MONYWA, Myanmar (AP) — Security forces used water cannons and other riot gear Thursday to clear protesters from a copper mine in in northwestern Myanmar, wounding villagers and Buddhist monks just hours before opposition leader Aung San Suu Kyi was to visit the area to hear their grievances.


The crackdown at the Letpadaung mine near the town of Monywa risks becoming a public relations and political fiasco for the reformist government of President Thein Sein, which has been touting its transition to democracy after almost five decades of repressive military rule.












The environmental and social damage allegedly produced by the mine has become a popular cause in activist circles, but was not yet a matter of broad public concern. However, hurting monks — as admired for their social activism as they are revered for their spiritual beliefs — is sure to antagonize many ordinary people, especially as Suu Kyi’s visit highlights the events.


“This is unacceptable,” said Ottama Thara, a 25-year-old monk who was at the protest. “This kind of violence should not happen under a government that says it is committed to democratic reforms.”


According to a nurse at a Monywa hospital, 27 monks and one other person were admitted with burns caused by some sort of projectile that released sparks or embers. Two of the monks with serious injuries were sent for treatment in Mandalay, Myanmar’s second biggest city, a 2 ½ hour drive away. Other evicted protesters gathered at a Buddhist temple about 5 kilometers (3 miles) from the mine’s gates.


Lending further sympathy to the protesters’ cause is whom they are fighting against. The mining operation is a joint venture between a Chinese company and a holding company controlled by Myanmar’s military. Most people remain suspicious of the military, while China is widely seen as having propped up army rule for years, in addition to being an aggressive investor exploiting the country’s many natural resources.


Government officials had publicly stated that the protest risked scaring off foreign investment that is key to building the economy after decades of neglect.


State television had broadcast an announcement Tuesday night that ordered protesters to cease their occupation of the mine by midnight or face legal action. It said operations at the mine had been halted since Nov. 18, after protesters occupied the area.


Some villagers among a claimed 1,000 protesters left the six encampments they had at the mine after the order was issued. But others stayed through Wednesday, including about 100 monks.


Police moved in to disperse them early Thursday.


“Around 2:30 a.m. police announced they would give us five minutes to leave,” said protester Aung Myint Htway, a peanut farmer whose face and body were covered with black patches of burned skin. He said police fired water cannons first and then shot what he and others called flare guns.


“They fired black balls that exploded into fire sparks. They shot about six times. People ran away and they followed us,” he said, still writhing hours later from pain. “It’s very hot.”


Photos of the wounded monks showed they had sustained serious burns on parts of their bodies. It was unclear what sort of weapon caused them.


The protest is the latest major example of increased activism by citizens since the elected government took over last year. Political and economic liberalization under Thein Sein has won praise from Western governments, which have eased sanctions imposed on the previous military government because of its poor record on human and civil rights. However, the military still retains major influence over the government, and some critics fear that democratic gains could easily be rolled back.


In Myanmar’s main city of Yangon, six anti-mine activists who staged a small protest were detained Monday and Tuesday, said one of their colleagues, who asked not to be identified because he did not want to attract attention from the authorities.


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U.S. daily deals website Living Social to cut 400 jobs: WSJ












(Reuters) – U.S. daily deals online firm Living Social Inc is expected to announce on Thursday it is cutting 400 jobs, representing 9 percent of its workforce, as demand for daily deals and emailed daily discounts dries up, the Wall Street Journal reported, citing a source familiar with the plans.


The Washington-based company’s workforce has increased nearly 10-fold since the beginning of 2010 and it currently employs about 4,500 people worldwide, the Journal said. (http://link.reuters.com/rus34t)












Retail website Amazon.Com Inc owns a 30 percent stake in Living Social and booked a third-quarter charge of $ 169 million on the holding.


Living Social declined to comment to Reuters on the Journal report.


(Reporting By Neha Dimri and Alistair Barr; Editing by Muralikumar Anantharaman)


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X Factor judge Louis Walsh settles defamation case












DUBLIN (Reuters) – Television personality and pop music producer Louis Walsh on Wednesday settled a 500,000 euro ($ 640,000) defamation case against News Group Newspapers in Ireland.


The deal came after Walsh, best known for his role as a judge on the hit television show “The X Factor”, sued the group for publishing a story last year based on false allegations that he had groped a man in a Dublin night club.












Leonard Watters, who made the accusations before later retracting them, was jailed for six months earlier this year.


Paul Tweed, Walsh’s solicitor, said: “The publishers of the Irish, UK and online editions of the Sun have this morning unreservedly apologized to Louis Walsh.


“They have also agreed to pay very substantial damages of 500,000 euros together with his legal costs.”


Walsh, who managed Irish boy bands Westlife and Boyzone, said the story had a “terrible effect” on him.


“I’m very satisfied with this morning’s total vindication for me, but I remain very angry at the treatment I received at the hands of the Sun,” he said outside court.


“I have the utmost respect and time for most journalists with whom I’ve always enjoyed a good relationship, and I’m therefore absolutely gutted and traumatized that these allegations should have been published


“I wouldn’t wish this on my worst enemy.”


The Sun said it apologized “unreservedly”.


(Reporting by Sarah O’Connor)


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FDA advisory panel backs efficacy of J&J TB drug












(Reuters) – An advisory panel to the U.S. Food and Drug Administration on Wednesday voted that data suggest an experimental Johnson & Johnson drug for multidrug-resistant tuberculosis is effective, the drugmaker said.


The medicine, called bedaquiline, is a member of a new class of drugs that target adenosine triphosphate synthase, an enzyme the tuberculosis bacterium needs to generate its energy.












J&J said the panel of outside medical experts, in a vote of 18 to 0, found that trial data support the efficacy of bedaquiline in adults, taken in combination with standard treatments.


In September, the FDA granted priority review of the medicine, based on data from two mid-stage trials that tested it among patients with tuberculosis that is resistant to standard drugs.


J&J is hoping the agency will grant accelerated approval of the drug, on the basis of favorable data from mid-stage trials. The company plans to begin a larger Phase 3 study in the fourth quarter.


In a pair of completed Phase 2 trials, two doses of the medicine were tested for 24 weeks, in combination with standard treatments, followed by continuation of standard therapy for a year to 18 months.


The planned larger trial will involve nine months of treatment with bedaquiline, in combination with standard drugs, compared with standard drugs alone for the same period. The total nine-month treatment period would be far shorter than the current 18- to 24-month treatment period for multidrug-resistant tuberculosis drugs recommended by the World Health Organization, J&J said.


Cowen and Co has forecast peak annual sales of $ 300 million for bedaquiline, which would make it a fairly modest product for the diversified healthcare company.


Multidrug-resistant tuberculosis is caused by strains of the bacterium that have become resistant to at least isoniazid and rifampin, the two most potent drugs for TB.


Resistance to anti-TB drugs can occur when they are misused or mismanaged, for instance when patients don’t complete their full course of treatment or when doctors prescribe the wrong treatment, wrong dose or length of time taking the drugs.


An estimated 8.7 million people in 2011 fell ill with tuberculosis – which is spread by coughing and sneezing — while 1.4 million died from the disease, according to the World Health Organization. About 310,000 cases of multidrug-resistant TB were reported the same year, the organization said, with almost 60 percent in India, China and Russia.


(Reporting by Ransdell Pierson; Editing by Jan Paschal and Carol Bishopric)


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Oil below $87 after OECD cuts growth forecasts












BANGKOK (AP) — The price of oil fell below $ 87 a barrel Wednesday after the Organization for Economic Cooperation and Development cut its growth outlook for the U.S. and the 17 countries that use the euro currency.


Benchmark oil for January delivery was down 23 cents to $ 86.96 per barrel at late afternoon Bangkok time in electronic trading on the New York Mercantile Exchange. The contract fell 56 cents to finish at $ 87.18 a barrel on the Nymex on Tuesday.












The Paris-based OECD said Tuesday that the combined economy of the 17 euro countries will contract by 0.4 percent this year, worse than May’s 0.1 percent forecast. For 2013, it will contract a further 0.1 percent.


The OECD also downgraded its forecasts for the U.S. economy. Even if the White House and Congress strike a budget deal before Jan. 1 and avoid the so-called fiscal cliff of automatic tax hikes and spending cuts, the OECD said the U.S. will grow by only 2 percent next year, down from May’s forecast of 2.6 percent.


Traders said weak economic growth would likely hurt demand for energy.


Michael Hewson, senior market analyst of CMC Markets, said the OECD report refocused concerns on “the toxic effect the European crisis continues to have on global growth prospects.”


Brent crude, which is used to set prices for many international varieties of oil, fell 28 cents to $ 109.59 a barrel on London’s ICE Futures exchange.


In other energy futures trading on the Nymex:


— Wholesale gasoline was down 0.3 cent at $ 2.692.


— Natural gas fell 2 cents to $ 3.749 per 1,000 cubic feet.


Heating oil fell 0.2 cent to $ 3.023 a gallon.


___


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Exclusive: Banks offer to help Sony offload battery unit – sources












TOKYO (Reuters) – Sony Corp has been approached by at least three investment banks offering to sell its battery business as the struggling Japanese group looks to offload non-core assets and focus on reviving its consumer electronics business, banking sources said.


Selling the unit, which employs 2,700 people and had sales last year of $ 1.74 billion, would help Sony cut costs and generate cash as it restructures its operations, three people involved in the preliminary discussions told Reuters.












The company, a byword for innovative gadgetry in the 1970s and 80s, has been battered by weak demand for its TVs in a fiercely competitive market. The TV business has racked up huge losses; Sony’s market value has slumped to below $ 10 billion and ratings agency Fitch last week downgraded the company’s debt to “junk” status – a move likely to push up borrowing costs and make asset sales more attractive.


CEO Kazuo Hirai has pledged to rebuild Sony around gaming, digital imaging and mobile devices, while nurturing new businesses such as medical devices. He is axing 10,000 jobs, closing facilities and selling assets. Any disposals would be part of a broader “garage sale” by Japan’s leading electronics groups that are hurting in weak markets and tight financing.


Potential buyers for Sony Energy Devices Corp – founded in 1975 as Sony-Eveready, a joint venture with Union Carbide Corp – could include Taiwan’s Hon Hai Precision Industry and BYD Co Ltd, a Chinese carmaker backed by billionaire investor Warren Buffett, said one of the sources. Hon Hai is also in negotiations to become rival TV maker Sharp Corp’s biggest shareholder.


FOREIGN INTEREST


Despite a strong yen, interest is likely to come mainly from potential foreign buyers, said the sources, who did not want to be named as the talks are private.


Selling the business overseas may not go down well with a Japanese government that in the past has kept technology at home by promoting alliances between local producers. Panasonic Corp, NEC Corp and Hitachi Ltd also make lithium-ion batteries, though the firms’ fabrication technology differs.


Sony declined to comment on the possible sale of the business, which makes lithium-ion batteries used in smartphones, tablets and PCs. “At our corporate strategy announcement in April, (Hirai) said we would explore possible alliances in E-vehicle batteries and battery storage,” said spokesman George Boyd.


As with TVs, Sony has struggled to compete against South Korean rivals in a battery business that is worth $ 18 billion a year. The small cells that power mobile devices now account for around 60 percent of the market, ahead of those used in cars and electrical tools, according to research company IHS iSuppli.


While lithium-ion battery demand has steadily expanded with the boom in mobile consumer electronics, severe price competition has resulted in razor thin margins that favor large-scale manufacturers with weak local currencies.


“The battery business is a prime example of the company’s loss-making and unwanted assets. It doesn’t make sense for them to keep it,” said one of the banking sources.


FALLING MARKET SHARE


As Hirai doubles down on Sony’s strength in consumer electronics, the company has sold a chemicals company, with 2,900 workers, and may also let go its U.S. headquarters building in New York go. At the same time, it has spent close to $ 2 billion on a U.S. game clouding company and a stake in medical equipment maker Olympus Corp.


Sony produced 74 million lithium-ion battery cells in July-September – almost 40 percent fewer than in the first quarter of 2008, when its output topped Samsung SDI Co Ltd’s 110 million and LG Chem Ltd’s 54 million, according to Techno System Research in Tokyo. Sony’s market share is now 7 percent, dwarfed by Samsung SDI’s 27 percent, Panasonic’s 21 percent and LG Chem’s 17 percent.


Sony’s battery unit, which also makes button batteries for watches and smaller appliances and optical devices, has three factories in Japan and two overseas assembly plants in China and Singapore. It has yet to enter the more lucrative business for automotive batteries.


In its most recent filing, Sony valued the battery unit’s fixed assets, including production sites and machinery, at 52 billion yen ($ 633 million). Under Sony’s accounting rules, asset sales are typically booked as operating profit.


The cost to protect $ 10 million of Sony debt against default for five years has edged higher this week to almost $ 400,000. The CDS spreads had tumbled earlier this month – from above 480 basis points – after Sony said it would raise 150 billion yen ($ 1.9 billion) through a sale of convertible bonds.


($ 1 = 82.1200 Japanese yen)


(Additional reporting by Reiji Murai; Editing by Ian Geoghegan)


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In elf ears and wizard hats, ‘Hobbit’ fans rejoice












WELLINGTON, New Zealand (AP) — Wearing elf ears and wizard hats, sitting atop their dad’s shoulders or peering from balconies, tens of thousands of New Zealanders watched their favorite “Hobbit” actors walk the red carpet Wednesday at the film trilogy’s hometown premiere.


An Air New Zealand plane freshly painted with “Hobbit” characters flew low over Wellington’s Embassy Theatre, eliciting roars of approval from the crowd.












Sam Rashidmardani, 12, said he came to see Gollum actor Andy Serkis walk the red carpet — and he wasn’t disappointed.


“It was amazing,” Rashidmardani said of the evening, adding his Gollum impression: “My precious.”


British actor Martin Freeman, who brings comedic timing to the lead role of Bilbo Baggins, said he thought director Peter Jackson had done a fantastic job on “The Hobbit: An Unexpected Journey.”


“He’s done it again,” Freeman said in an interview on the red carpet. “If it’s possible, it’s probably even better than ‘The Lord of the Rings.’ I think he’s surpassed it.”


While is unusual for a city so far from Hollywood to host the premiere of a hoped-for blockbuster, Jackson’s filming of his lauded ‘LOTR’ trilogy and now “The Hobbit” in New Zealand has helped create a film industry here. The film will open in theaters around the world next month.


One of the talking points of the film is the choice by Jackson to shoot it using 48 frames per second instead of the traditional 24 in hopes of improving the picture quality.


Some say the images come out too clear and look so realistic that they take away from the magic of the film medium. Jackson likens it to advancing from vinyl records to CDs.


“I really think 48 frames is pretty terrific and I’m looking forward to seeing the reaction,” Jackson said on the red carpet. “It’s been talked about for so long, but finally the film is being released and people can decide for themselves.”


Jackson said it was strange working on the project so intimately for two years and then having it suddenly taken away as the world got to see the movie.


“It spins your head a little bit,” he said.


Aidan Turner, who plays the dwarf Kili in the movie, said his character is reckless and thinks he’s charming.


“I don’t get to play real people it seems, I only get to play supernatural ones,” he said. “So playing a dwarf didn’t seem that weird, actually.


Perhaps the most well-known celebrities to walk the carpet were Cate Blanchett and Elijah Wood, who reprise their roles in the LOTR in the “Hobbit.”


“Mostly I came here to see everyone. I like them all,” said fan Aysu Shahin, 16, adding that Wood was her favorite. She said she wanted to see the movie “as soon as possible. I’m excited for it.”


At a news conference earlier in the day, Jackson said many younger people are happy to watch movies on their iPads.


“We just have to make the cinema-going experience more magical and more spectacular to get people coming back to the movies again,” he said.


Jackson said only about 1,000 of the 25,000 theaters that will show the film worldwide are equipped to show 48 frames, so most people will see it in the more traditional format. The movie has also been shot in 3D.


A handful of animal rights protesters held signs at the premiere.


The protest by the group People for the Ethical Treatment of Animals comes after several animal wranglers said three horses and up to two dozen other animals had died during the making of the movies because they were housed at an unsafe farm.


Jackson’s spokesman earlier acknowledged two horses had died preventable deaths at the farms but said the production company worked quickly to improve stables and other facilities and that claims of mistreatment were unfounded.


“No mistreatment, no abuse. Absolutely none,” Jackson said at the news conference.


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Salary growth lagging for primary care doctors












NEW YORK (Reuters Health) – Despite rising spending on health care in the United States, primary care doctors don’t seem to be reaping the rewards on their paychecks, a new study suggests.


The findings could have implications for what some predictions say will be a primary care shortage in some parts of the country in the coming years.












Researchers found that since the late 1980s, the average doctor‘s earnings have grown more slowly than the salaries of other health professionals, such as pharmacists, dentists and registered nurses.


“It is possible that there are some specialties that have done extremely well in the past 10 or 15 years,” said health policy researcher Amitabh Chandra from Harvard University in Cambridge, Massachusetts, who worked on the study.


But, “In terms of the experience of the median doctor, the median doctor is not at the heart of all the cost growth we’re seeing in America.” And that may have implications for the primary care field in the future, he noted.


For their study, Chandra and his colleagues analyzed data from a nationally-representative survey of Americans’ occupations and earnings conducted every year between 1987 and 2010. Each round included people older than 35 from 60,000 different households.


Over the 14-year study, 30,556 health professionals were surveyed, including 6,258 doctors.


The researchers found that between 1987-1990 and 2006-2010, the median doctor’s annual earnings grew from $ 143,963 to $ 157,751 – a difference of 9.6 percent. That was after taking into account any salary differences based on gender, age and location.


In comparison, the average pharmacist’s earnings increased by 44 percent, from $ 70,341 to $ 101,279, and the average dentist’s by 23 percent, from $ 105,511 to $ 129,795, the researchers reported Tuesday in the Journal of the American Medical Association.


Looking closer, the study team found that doctors’ salaries grew between 1987-1990 and 1996-2000, but then were stagnant over the next decade – a time when other health professionals continued to get bigger paychecks.


Because the earnings reflect pay for doctors in the middle of the salary pack, Chandra said the slow growth probably represents patterns for primary care doctors rather than specialists – and earnings for some “procedure-driven specialties,” such as cardiology, may have grown a lot.


Medicare payment cuts, as well as tougher bargaining by insurance companies, may be partly to blame for the “sluggish” growth in the primary care field, he added.


THE WHOLE PACKAGE?


In addition, more women and minorities are becoming doctors – and research has suggested they make less money than white, male physicians, said Bob Konrad from the University of North Carolina at Chapel Hill, who has studied doctor salaries.


He said the new findings may also not tell the whole economic story for primary care doctors.


Recently employers have started offering to pay off more of new doctors’ college and medical school debt as a way of luring top candidates, he said – but such financial benefits wouldn’t show up on their paychecks.


“Going forward, thinking about physician incomes, you have to think about the whole package,” Konrad, who wasn’t involved in the new study, told Reuters Health.


But Chandra said the study may have implications for some parts of the U.S. that are already facing a shortage of primary care doctors.


“If as a country we want more people to go into primary care, this anemic, jaundiced earnings growth is not going to be a motivator to get people to join primary care,” he told Reuters Health.


One profession not covered by the new research, Konrad pointed out, is wage workers such as home health aides.


“That’s a big part of the healthcare workforce and growing much faster than many other occupations,” he said. What’s more, “The hourly wage of a home health aide has been going down every year for the last 10 years… Half the people in the health sector are in the bottom half (of American workers) – they’re making less than $ 40,000 a year.”


SOURCE: http://bit.ly/JjFzqx Journal of the American Medical Association, online November 27, 2012.


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Work programme ‘to miss targets’













Government figures assessing the success of its welfare-to-work programme are expected to show a crucial target has been missed.












Firms and charities are paid to help find jobs for the long-term unemployed in the hope of helping 2.4m people.


But the first set of official figures, due out at shortly, are expected to show they are getting less than 5% of jobseekers into “sustainable” work.


Ministers argue the programme will help cut welfare payments and change lives.


But critics say only those in already economically successful areas will benefit.


The figures will show how many people are still in employment six months after joining the Work Programme, which was launched by the coalition in June last year.


BBC political editor Nick Robinson says the figures are expected to show that only around 3% of jobseekers meet this criteria.


Continue reading the main story

The work programme was part of what ministers called a revolution in welfare ”



End Quote



And failing to hit the 5% target will mean “as many unemployed are getting sustainable jobs as if the work programme had never existed”, he said.


He added that the government will not accept the scheme is a failure and will claim the work programme is taking longer than expected to succeed and the next set of figures will be better.


Under the scheme – replacing the New Deal, Employment Zones and Pathways to Work – approved providers in England, Scotland and Wales, mostly private companies, try to find work for claimants on a payment-by-results basis.


‘Still early days’


People aged over 25 become eligible when they have been out of work for a year and under-25s after nine months. Some younger people in certain circumstances, like young offenders, are eligible after a shorter period of time.


Ahead of the release of the government’s figures, the Employment Related Services Association, the trade body for the welfare-to-work industry, said 20,000 jobseekers were being helped each month. More than 200,000 have found employment since the scheme’s launch, it added.


But these figures do not show how many have remained in a job for six months after being helped off long-term unemployment, unlike the official ONS figures.


Employment minister Mark Hoban said: “The Work Programme has already helped more than 200,000 of the hardest-to-help unemployed people into jobs. This is great news.


He added: “It’s still early days, but it’s a welcome sign that one year in providers are getting more and more people into sustained jobs.”


The Centre for Economic and Social Inclusion think-tank predicted that the official data would show performance targets missed as a result of the poor state of the UK’s economy.


Under the programme, providers can earn between £3,700 and £13,700 per person helped into work, depending how hard it is to give support to an individual, with an initial payment of between £400 and £600.


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Mexican beauty queen killed in shootout












CULIACAN, Mexico (AP) — A 20-year-old state beauty queen died in a gun battle between soldiers and the alleged gang of drug traffickers she was traveling with in a scene befitting the hit movie “Miss Bala,” or “Miss Bullet,” about Mexico’s not uncommon ties between narcos and beautiful pageant contestants.


The body of Maria Susana Flores Gamez was found Saturday lying near an assault rifle on a rural road in a mountainous area of the drug-plagued state of Sinaloa, the chief state prosecutor said Monday. It was unclear if she had used the weapon.












“She was with the gang of criminals, but we cannot say whether she participated in the shootout,” state prosecutor Marco Antonio Higuera said. “That’s what we’re going to have to investigate.”


The slender, 5-foot-7-inch brunette was voted the 2012 Woman of Sinaloa in a beauty pageant in February. In June, the model competed with other seven contestants for the more prestigious state beauty contest, Our Beauty Sinaloa, but didn’t win. The Our Beauty state winners compete for the Miss Mexico title, whose holder represents the country in the international Miss Universe.


Higuera said Flores Gamez was traveling in one of the vehicles that engaged soldiers in an hours-long chase and running gun battle on Saturday near her native city of Guamuchil in the state of Sinaloa, home to Mexico’s most powerful drug cartel. Higuera said two other members of the drug gang were killed and four were detained.


The shootout began when the gunmen opened fire on a Mexican army patrol. Soldiers gave chase and cornered the gang at a safe house in the town of Mocorito. The other men escaped, and the gunbattle continued along a nearby roadway, where the gang’s vehicles were eventually stopped. Six vehicles, drugs and weapons were seized following the confrontation.


It was at least the third instance in which a beauty queen or pageant contestants have been linked to Mexico’s violent drug gangs, a theme so common it was the subject of a critically acclaimed 2011 movie.


In “Miss Bala,” Mexico’s official submission to the Best Foreign Language Film category of this year’s Academy Awards, a young woman competing for Miss Baja California becomes an unwilling participant in a drug-running ring, finally getting arrested for deeds she was forced into performing.


In real life, former Miss Sinaloa Laura Zuniga was stripped of her 2008 crown in the Hispanoamerican Queen pageant after she was detained on suspicion of drug and weapons violations. She was later released without charges.


Zuniga was detained in western Mexico in late 2010 along with seven men, some of them suspected drug traffickers. Authorities found a large stash of weapons, ammunition and $ 53,300 with them inside a vehicle.


In 2011, a Colombian former model and pageant contestant was detained along with Jose Jorge Balderas, an accused drug trafficker and suspect in the 2010 bar shooting of Salvador Cabanas, a former star for Paraguay‘s national football team and Mexico’s Club America. She was also later released.


Higuera said Flores Gamez’s body has been turned over to relatives for burial.


“This is a sad situation,” Higuera told a local radio station. She had been enrolled in media courses at a local university, and had been modeling and in pageants since at least 2009.


Javier Valdez, the author of a 2009 book about narco ties to beauty pageants entitled “Miss Narco,” said “this is a recurrent story.”


“There is a relationship, sometimes pleasant and sometimes tragic, between organized crime and the beauty queens, the pageants, the beauty industry itself,” Valdez said.


“It is a question of privilege, power, money, but also a question of need,” said Valdez. “For a lot of these young women, it is easy to get involved with organized crime, in a country that doesn’t offer many opportunities for young people.”


Sometimes drug traffickers seek out beauty queens, but sometimes the models themselves look for narco boyfriends, Valdez said.


“I once wrote about a girl I knew of who was desperate to get a narco boyfriend,” he said. “She practically took out a classified ad saying ‘Looking for a Narco’.”


The stories seldom end well. In the best of cases, a beautiful woman with a tear-stained face is marched before the press in handcuffs. In the worst of cases, they simply disappear.


“They are disposable objects, the lowest link in the chain of criminal organizations, the young men recruited as gunmen and the pretty young women who are tossed away in two or three years, or are turned into police or killed,” Valdez said.


___


Associated Press Writer E. Eduardo Castillo contributed to this report


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HTC confirms 5-inch ‘Deluxe’ smartphone won’t launch in Europe












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Halle Berry’s ex claims he was victim in Thanksgiving brawl












LOS ANGELES (Reuters) – Halle Berry‘s ex-boyfriend Gabriel Aubry on Monday won a restraining order against the actress’s current lover, as the two men fought in the Los Angeles courts over who started their Thanksgiving Day brawl.


Releasing photos of himself with a black eye and cuts to his face, Aubry claimed that he was the victim in the November 22 punch-up with Berry’s fiancĂ©, French actor Olivier Martinez, in the driveway of her Los Angeles house.












“I suffered numerous injuries as a result of the attack, including a fractured rib, multiple bruises on my face and a number of cuts which required stitches,” Aubry said in court papers, alleging that Martinez had threatened the day before to kill him.


“It all happened so fast and so suddenly; I did not see Mr Martinez’s actions coming and thus I was not ready for it and was not able to defend myself,” Aubry wrote.


Aubry, Martinez, and the Oscar-winning “Monster’s Ball” actress have been embroiled for months in a custody fight over Berry’s 4-year-old daughter, Nahla. Berry wants to take the daughter she had with Aubry to live with her and Martinez in France, but a Los Angeles judge denied that request earlier in November.


Aubry claimed in his request for a restraining order on Monday that Martinez told him, “You cost us $ 3 million,” while the French actor punched and kicked him on November 22.


Aubry, a Canadian model, was arrested last week for battery after the fist fight, and ordered to stay away from Berry, the child, and Martinez.


Neither man has been yet been formally charged in the case.


(Reporting by Jill Serjeant; Editing by Jackie Frank)


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Outbreak-Tied Peanut Butter Plant Shut












Nov 26, 2012 7:37pm



The Food and Drug Administration today shut down the country’s largest organic peanut butter processor following a salmonella outbreak that sickened scores of people nationwide.












For the first time the FDA has utilized new power granted by the 2011 food safety law and shut down Sunland Inc.’s New Mexico processing plant.


In a statement on their website, the FDA said that the link between the company and the salmonella outbreak that sickened 41 people in 20 states along with “Sunland’s history of violations led FDA to make the decision to suspend the company’s registration.”


Between June 2000 and September 2012 eleven product lots of nut butter tested positive for presence of Salmonella. And, according to the FDA, between March 2010 and September 2012, Sunland Inc. distributed at least a portion of eight product lots after they had tested positive.


The FDA also found the presence of Salmonella in 28 environmental samples during a September and October 2012 inspection.  FDA inspectors reported that employees of Sunland Inc. failed to wash hands, improperly handled equipment used to process food as well as providing  ”no records” to document cleaning of equipment. Additionally, the building housing the production and packaging had no hand-washing sinks even though employees had “bare-handed contact” with the product.


“The super-sized bags used by the firm to store peanuts were not cleaned despite being used for both raw and roasted peanuts.  There was a leaking sink in a washroom which resulted in water accumulating on the floor, and the plant is not built to allow floors, walls and ceilings to be adequately cleaned.


Finally, investigators found that raw materials were exposed to potential contamination.  Raw, in-shell peanuts were found outside the plant in uncovered trailers. Birds were observed landing in the trailers and the peanuts were exposed to rain, which provides a growth environment for Salmonella and other bacteria.  Inside the warehouse, facility doors were open to the outside, which could allow pests to enter.”


In a November 15 statement the president and CEO of Sunland, Jimmie Shearer, emphasized that at “no time” did the company distribute products they knew to be contaminated. The company has submitted a response to the FDA outlining their response to the recall and contaminated product testing.


“We believe that drawing any inferences much less conclusions about the Company’s practices based solely on the observations as set forth in the Form 483 without considering the Company’s response would be wholly premature and unduly prejudicial to Sunland.”


Food Safety Modernization Act, which the FDA acted under to shut down the plant, grants the agency the authority to suspend manufacturing when there is “reasonable probability of causing serious adverse health consequences or death to humans or animals, and other conditions are met.”


Sunland Inc., can request an informal hearing to lift the suspension.  However the 24-year-old company will only have its registration returned after the FDA decides the company has safe manufacturing practices.



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World stocks muted ahead of meeting on Greece












BANGKOK (AP) — Asian stock markets rose modestly Monday after the unofficial start of the holiday shopping season in the U.S. topped expectations. But trading in Europe was subdued hours before finance ministers gathered yet again to discuss what to do about Greece.


The ministers of the 17 countries that use the euro are scheduled to meet in Brussels to try to reach an agreement on conditions that Greece must meet before the next installment of its emergency bailout loan can be disbursed. Athens faces bankruptcy without the cash.












In early European trading, Britain’s FTSE 100 fell 0.1 percent to 5,812.32. Germany‘s DAX was 0.1 percent down at 7,301.64. France‘s CAC-40 lost 0.3 percent to 3,519.75.


Wall Street, gearing up for its first full day of trading since last Wednesday, was set to fall. Dow Jones industrial futures lost 0.2 percent at 12,937 and S&P 500 futures shed 0.3 percent to 1,401.50. U.S. stocks rose on Friday after a half-day of trading.


Stocks in Asia fared better, posting some modest gains after what appeared to be a successful start to the traditional pre-Christmas U.S. shopping season.


Americans visited stores and websites in record numbers last Friday, the day after the Thanksgiving holiday that is dubbed “Black Friday” because U.S. retailers traditionally turn a profit as millions of Americans rush out to stores in search of gifts for Christmas and other celebrations.


Surveys showed a record 247 million shoppers visited stores and websites between Thursday and Sunday, up 9.2 percent from the year before.


Japan‘s Nikkei 225 index rose 0.2 percent to 9,388.94 while Australia‘s S&P/ASX 200 added 0.3 percent to 4,424.20. Benchmarks in Singapore, Taiwan, Indonesia, India and the Philippines also rose.


But South Korea‘s Kospi shed 0.2 percent to 1,908.15. Hong Kong‘s Hang Seng was sapped of momentum by lethargic mainland Chinese markets. The index lost 0.3 percent to 21,857.77. The Shanghai Composite Index was down 0.5 percent to 2,017.46. The smaller Shenzhen Composite Index lost 1.4 percent to 789.49.


Francis Lun, managing director of Lyncean Holdings in Hong Kong, said traders were shying away from mainland stock markets due to the failure of Chinese authorities to remove companies that fail to earn profits after three years.


A regulation exists to allow for a delisting after three years, but it is not enforced, Lun said.


“If you cannot weed out the losers, the stock market will be inundated with companies not doing anything,” he said. “The listed companies are out to grab money instead of earning a profit for shareholders.”


Among individual stocks, Japanese vehicle makers posted solid gains. Toyota Motor Corp. rose 1.7 percent. Nissan Motor Co. added 2.3 percent. Yamaha Motor Co. gained 2.1 percent.


Australia’s Sydney Airport rose 1.5 percent after announcing it has secured about $ 1.1 billion in new funds to repay existing debts and fund future spending.


Benchmark crude for January delivery was down 9 cents to $ 88.18 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 90 cents to finish at $ 88.28 per barrel on Friday.


In currencies, the euro fell to $ 1.2957 from $ 1.2971 late Friday in New York. The dollar fell to 82.01 yen from 82.40 yen. Earlier Monday, the dollar rose to 82.59 yen.


___


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Betfair pulls out of Greece over permits row












LONDON (Reuters) – Online gambling exchange Betfair said it would withdraw from the Greek market until there was greater clarity on gaming regulation in the country.


Betfair, which has not yet applied for a permit to operate in Greece, questioned the cost and conditions attached to permits required by gaming firms to trade in the country.












“According to legal advice received, the value of these permits is unclear and we consider the gambling legislation in the country to be inconsistent with European law,” Betfair said on Monday.


“The associated fiscal conditions attached to these permits, which may include payment of taxes on historical revenues, make the market economically unattractive.”


Earlier this month the Greek Gaming Commission said gambling firms operating in Greece without a permit would face financial penalties and criminal sanctions.


Betfair said it believes there are “significant issues with the legality of this decision” by the Greek Gaming Commission.


It added that it was disappointed the European Commission had not moved to prevent what Betfair calls “protectionist behavior.”


Earlier this month Betfair, which launched 12 years ago and operates an exchange system that allows gamblers to bet against each other rather than the bookmaker, withdrew its online sports betting exchange in Germany because of a tax levied on stakes on sports events from July 2012.


The European Commission last month said it was not proposing EU-wide legislation to regulate online gambling.


Prior to Betfair’s decision to withdraw from the market, it had been expected to generate 13 million pounds ($ 20.81 million) of revenue from the Greek market in the current financial year.


($ 1 = 0.6246 British pounds)


(Reporting by Rhys Jones; editing by James Davey)


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Jose Luis Borau, Spanish Filmmaker, dies at 83












LOS ANGELES (TheWrap.com) – Influential Spanish filmmaker Jose Luis Borau died Friday in Madrid, the Spanish Academy of Cinematographic Arts and Sciences said. He was 83.


Borau had reportedly been suffering from throat cancer.












Though Borau, who was born in Zaragoza in 1929, only made a handful of films since his 1960 directorial debut “En el Rio,” his talents were widely respected, and he received a Goya award for Best Director in 2000 for his final film, “Leo.”


Borau was also a screenwriter and producer, and acted in some of his films. According to the Academy, his other pursuits included editing the first published biography of director-producer Samuel Bronston and short-story writing. He also “dabbled in advertising,” the Academy said.


Borau was probably best known for his 1975 drama “Furtivos” (“Poachers”), a film whose success, he later said, made him “a little sad.”


“Nobody is bitter sweet, but I’m a little sad,” the filmmaker once said. “My scale is a bit like what happened to Orson Welles, who made great films after ‘Citizen Kane,’ but just remember that title. “


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Embryo survival gene may fight range of diseases: study












HONG KONG (Reuters) – A gene that keeps embryos alive appears to control the immune system and determine how it fights chronic diseases like hepatitis and HIV, and autoimmune diseases like rheumatoid arthritis, scientists said on Monday.


Although the experts have only conducted studies on the gene Arih2 using mice, they hope it can be used as a target for drugs eventually to fight a spectrum of incurable diseases.












Lead author Marc Pellegrini at the Walter and Eliza Hall Institute of Medical Research in Australia said the gene appears to act like a switch, flipping the immune system on and off.


“If the gene is on, it dampens … the immune response. And if you switch it off, it greatly enhances immune responses,” Pellegrini said in a telephone interview.


“It is probably one of the few genes and pathways that is very targetable and could lead to a drug very quickly.”


Arih2 was first identified by another group of scientists in the fruit fly but it drew the interest of Pellegrini’s team because of its suspected links to the immune system.


In a paper published in Nature Immunology, Pellegrini and his team described how mice embryos died when the gene was removed.


Next, they removed the gene from adult mice and noticed how their immune systems were boosted for a short period of time. But it quickly went into an overdrive and started attacking the rodents’ own healthy cells, skin and organs.


“The mice survived for six weeks quite well. Then they started developing this very hyperactive immune responses and if you leave it for too long, it starts reacting against the body itself,” Pellegrini said.


Pellegrini and his colleagues hope that scientists can study the gene further and use it as a drug target to fight a large spectrum of diseases.


“It’s like an accelerator. In infectious diseases, you want to slam on the brakes on this gene, and for autoimmune diseases, you want to push the accelerator to make it work much harder to stop the whole immune response,” said Pellegrini.


“The more the gene works, the less of an immune response there is. And the less active the gene is, the more the immune response is.”


(Reporting by Tan Ee Lyn; Editing by Nick Macfie)


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Catalonia election tests Spanish unity












BARCELONA, Spain (Reuters) – Voters in Spain’s Catalonia region go to the polls on Sunday and are likely to elect a pro-independence leader who will test Spanish unity at a time of deep economic crisis.


Opinion polls show two-thirds of voters in this region on the French border will cast ballots for parties, both rightist and leftist, that want Catalan independence from Spain.












Catalan President Artur Mas will likely win re-election since his conservative Convergence and Union party is forecast to take a majority, some 62 to 64 seats, in the 135-seat regional assembly, or Parliament.


Frustration over high unemployment and a deep recession have fueled a separatist resurgence in Catalonia, where polls show that for the first time more than half of the people want to break away from Spain.


Many Catalans believe their economy would be more prosperous on its own, complaining that a high portion of their taxes go to the central government in Madrid.


Mas, who adopted the independence cause in September after a massive street demonstration, campaigned on a promise to hold a referendum on secession.


If he carries through with the pledge, it will put him on a collision course with Madrid, where Prime Minister Mariano Rajoy will use the constitution to block a referendum.


“Catalonia has never faced elections this important,” Mas said at a campaign rally this week. He told supporters he wanted to be the last president of Catalonia within Spain.


A strong mandate for Mas and other Catalan independence leaders from the left will undermine Rajoy’s mission to persuade investors of Spain’s fiscal and political stability.


Spain’s deep recession and high public deficit have put it at the heart of the euro zone debt crisis and the government’s borrowing costs are painfully high.


Alicia Sanchez-Camacho, the candidate for Rajoy’s People’s Party in Catalonia has campaigned on a message that leaving Spain and the European Union would lead to economic disaster. The PP is vying to be the second biggest party in the Catalan Parliament with opinion polls forecasting it will win 17 seats.


“Don’t stay at home (on election day) if you don’t want them to kick us out of Spain and out of Europe,” she said at a campaign rally this week.


Polls open at 0800 GMT and close at 1900 GMT.


IDENTITY AND ECONOMY


In the rest of Spain the Catalan secession drive is viewed with disbelief and suspicion. Many Spaniards fear that if Catalonia moves to break away, the Basques could soon follow.


Like Basques, Catalans speak their own language and have always seen themselves as distinct from the rest of Spain.


The land of surrealist painter Salvador Dali and architect Antoni Gaudi prides itself on a regional character that blends pragmatism and idealism.


Home to car factories and banks that generate one fifth of Spain’s economic wealth, Catalonia also has one of the world’s most successful football clubs, FC Barcelona.


This year at Barcelona’s famous Camp Nou stadium fans started a new tradition. They chant “independence” at every game when the clock hits 17 minutes and 14 seconds – 1714 being the last year that Catalonia was under the Crown of Aragon before the Bourbon King Philip V united most of what is now Spain into one kingdom.


Catalan independence movements have waxed and waned over the centuries. Secessionism had been politically dead since Spain returned to democracy and gave its 17 autonomous regions significant self-governing power in the 1978 Constitution.


But now there is a widespread perception among Catalans that autonomy did not go far enough and the region is treated unfairly. Most supporters of Mas’s CiU party say the tax system drains resources from their region and that Madrid has refused to negotiate improvements.


Even though the Catalan treasury is broke and Mas has had to cut spending on schools and hospitals, many people in the region still blame Madrid for their woes.


“It’s like a marriage, when things are good then everything is fine, but when things go bad then you see if there really is any love there,” said Elias Banares, the 35-year-old owner of a shop that sells prams. He plans to vote for CiU.


The political mood has driven demand for “esteladas,” a flag that symbolises the independence movement, with a lone star against the red and yellow stripes of the official Catalan banner.


The “estelada,” once too politically risky for most Catalans to fly, now waves all over the Catalan capital, the Mediterranean port city of Barcelona.


“In two weeks we’ve sold more than in the last eight years. Amazing figures,” said Margarita Bascompte, owner of a family business that makes the flags in the city of Vic, in the heart of the most pro-independence province of Catalonia.


(Additional reporting by Nigel Davies and Elena Gyldenkerne; Editing by Jon Hemming)


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