Police search for Nordstrom Rack robbers who took hostages









Los Angeles police continued to search for armed suspects who took 14 hostages at a Nordstrom Rack store in Westchester this week, brutally assaulting some of them.


Law enforcement sources said detectives were following several promising leads in tracking the suspects.


Several of the hostages -- all store employees -- were hurt in the incident. But their injuries were not life-threatening, and by Friday afternoon the victims had all been treated and released.








The gunmen apparently stormed the store about 10 p.m. Thursday, as it was closing.


Two employees hid in a restroom, authorities said. The gunmen herded the rest into another restroom on the third level, according to dispatch audio posted on the Venice 311 server. There, at least two employees were told to strip.


One woman was dragged to a separate room, where she was sexually assaulted, police said. A second woman was stabbed in the neck, police said, and a third hostage was pistol-whipped.


After officers arrived, a vehicle with tinted windows and its headlights off sped out of the parking garage. The driver wore a black hoodie and the passenger a white T-shirt, according to dispatch recordings.


"White SUV! White SUV! White Ford Explorer!" an officer barked. "High rate of speed leaving the parking lot!"


"Go pursue that vehicle!" another officer said.


They did, to no avail.



"We lost sight of that vehicle," an officer said over the radio. "We're going on the 405 north. I need other units to try Sepulveda. We don't know where vehicle is now."


The suspects had apparently escaped — though officers didn't know that at the time and waited to move into the store. They called in a SWAT team, which arrived about 1 a.m. The mall remained on lockdown — stranding at least 200 moviegoers at the cineplex.


Simeon Campbell, 26, and two of his friends had gone to the 10 p.m. showing of "A Haunted House."


"It was funny until we got out," he said.


Theater employees told them the mall had been closed off but did not explain why. Some moviegoers were escorted to the second floor, where Campbell looked out a window.


"It became real when I saw the SWAT team," he said.


Some moviegoers munched on popcorn that theater employees handed out. Others tried to nap. Campbell paced, his head throbbing and his stomach in knots.


"What if they run in here? What if they have accomplices?" he said he thought.


The wait ended sometime before 3 a.m., when some of the Nordstrom hostages called 911, described their injuries and asked for medical aid, according to dispatch recordings.





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Judge Halts California Internet Sex-Offender Law











A federal judge late Friday blocked enforcement of a California voter-approved measure that would have dramatically curtailed the online, First Amendment rights of registered sex offenders.


Proposition 35, which passed with 81 percent of the vote in November, would have required anyone who is a registered sex offender — including people with misdemeanor offenses such as indecent exposure and whose offenses were not related to activity on the internet — to turn over to law enforcement a list of all identifiers they use online as well as a list of service providers they use.


U.S. District Judge Thelton Henderson of San Francisco also said the measure was overbroad.


“The challenged provisions have some nexus with the government’s legitimate purpose of combating online sex offenses and human trafficking, but the government may not regulate expression in such a manner that a substantial portion of the burden on speech does not serve to advance its goals,” he wrote.


The Californians Against Sexual Exploitation Act would also have forced sex offenders to fork over to law enforcement their e-mail addresses, user and screen names, or any other identifier they used for instant messaging, for social networking sites or online forums and in internet chat rooms.


The American Civil Liberties Union and the Electronic Frontier Foundation immediately filed suit after its passage. The measure would currently affect some 75,000 sex offenders registered in California, but the law also requires those convicted of human trafficking to register as sex offenders, thus widening the pool of people affected.


The measure carries three-year prison penalties.


Henderson had tentatively blocked enforcement of the measure immediately after it passed. His decision Friday is in the form of a preliminary injunction. Next up is a trial on the lawsuit’s merits, if it gets that far.




David Kravets is a senior staff writer for Wired.com and founder of the fake news site TheYellowDailyNews.com. He's a dad of two boys and has been a reporter since the manual typewriter days.

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Follow @dmkravets and @ThreatLevel on Twitter.



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Simon Rattle to quit Berlin Philharmonic in 2018






BERLIN (Reuters) – Renowned British conductor Simon Rattle said on Thursday he would step down as head of the prestigious Berlin Philharmonic in 2018 when his current contract with the orchestra expires and before he turns 64.


“In 2018 I will be nearly 64 years old,” the 57-year-old said in a statement on the Philharmonic’s website. “As a Liverpool boy, it is impossible not to think of the Beatles’ question ‘Will you still need me… when I’m 64?’” he joked.






“This was not an easy decision. I love this orchestra and therefore wanted to tell them my decision as early as possible.”


Rattle, known for his youthful energy, his readiness to take risks and his mop of curly grey hair, took over the Berlin Philharmonic, one of the world’s leading orchestras, in 2002.


The first Briton to hold a post previously associated with such giants of German music as Herbert von Karajan, Rattle has sometimes upset music traditionalists in his adopted land with his love of experimentation and his unorthodox approach.


Rattle has described his sometimes turbulent relationship with the Berlin Philharmonic as “a love affair”.


Critics have accused him of lacking appropriate German gravitas in such a high-profile cultural role and of caring more about the public image of the orchestra than about the music.


But his many supporters have welcomed efforts to reach out to new audiences as well as his success in forging relations with other orchestras around the world, including Venezuela’s Simon Bolivar Youth Orchestra.


“With his outstanding musicality and creativity he has filled new listeners with enthusiasm for the orchestra every day and has shaped the national and international perception of the Berliner Philharmonic as a vital cultural ambassador for Berlin,” said Martin Hoffmann, the orchestra’s general manager.


Rattle, who studied at the Royal Academy of Music in London, worked as conductor of the Birmingham Symphony Orchestra in central England for 18 years before moving to Berlin.


(Reporting by Gareth Jones; editing by Mike Collett-White)


Music News Headlines – Yahoo! News





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Former Lab Technician Denies Faulty DNA Work in Rape Cases





A former New York City laboratory technician whose work on rape cases is now being scrutinized for serious mistakes said on Friday that she had been unaware there were problems in her work and, disputing an earlier report, denied she had resigned under pressure.




The former lab technician, Serrita Mitchell, said any problems must have been someone else’s.


“My work?” Ms. Mitchell said. “No, no, no, not my work.”


Earlier, the city medical examiner’s office, where Ms. Mitchell said she was employed from 2000 to 2011, said it was reviewing 843 rape cases handled by a lab technician who might have missed critical evidence.


So far, it has finished looking over about half the cases, and found 26 in which the technician had missed biological evidence and 19 in which evidence was commingled with evidence from other cases. In seven cases where evidence was missed, the medical examiner’s office was able to extract a DNA profile, raising the possibility that detectives could have caught some suspects sooner.


The office declined to identify the technician. Documents said she quit in November 2011 after the office moved to fire her, once supervisors had begun to discover deficiencies in her work. A city official who declined to be identified said Ms. Mitchell was the technician.


However, Ms. Mitchell, reached at her home in the Bronx on Friday, said she had never been told there were problems. “It couldn’t be me because your work gets checked,” she said. “You have supervisors.”


She also said that she had resigned because of a rotator cuff injury that impeded her movement. “I loved the job so much that I stayed a little longer,” she said, explaining that she had not expected to stay with the medical examiner’s office so long. “Then it was time to leave.”


Also on Friday, the Legal Aid Society, which provides criminal defense lawyers for most of the city’s poor defendants, said it was demanding that the city turn over information about the cases under review.


If needed, Legal Aid will sue the city to gain access to identifying information about the cases, its chief lawyer, Steven Banks, said, noting that New York was one of only 14 states that did not require routine disclosure of criminal evidence before trial.


Disclosure of the faulty examination of the evidence is prompting questions about outside review of the medical examiner’s office. The City Council on Friday announced plans for an emergency oversight committee, and its members spoke with outrage about the likelihood that missed semen stains and “false negatives” might have enabled rapists to go unpunished.


“The mishandling of rape cases is making double victims of women who have already suffered an indescribably horrific event,” said Christine C. Quinn, the Council speaker.


A few more details emerged Friday about a 2001 case involving the rape of a minor in Brooklyn, in which the technician missed biological evidence, the review found. The victim accused an 18-year-old acquaintance of forcing himself on her, and he was questioned by the police but not charged, according to a law enforcement official.


Unrelated to the rape, he pleaded guilty in 2005 to third-degree robbery and served two years in prison. The DNA sample he gave in the robbery case was matched with the one belatedly developed from evidence the technician had overlooked in the 2001 rape, law enforcement officials said. He was recently indicted in the 2001 rape.


Especially alarming to defense lawyers was the possibility that DNA samples were cross-contaminated and led to false convictions, or could do so in the future.


“Up to this point,” Mr. Banks said, “they have not made information available to us, as the primary defender in New York City, to determine whether there’s an injustice that’s been done in past cases, pending cases, or allowing us to be on the lookout in future cases.” He added, “If it could happen with one analyst, how does anyone know that it stops there?”


The medical examiner’s office has said that the risk of cross-contamination was extremely low and that it does not appear that anyone was wrongly convicted in the cases that have been reviewed so far. And officials in at least two of the city’s district attorneys’ offices — for Brooklyn and Manhattan — said they had not found any erroneous convictions.


But Mr. Banks said the authorities needed to do more, and that their statements thus far were the equivalent of “trust us.”


“Given what’s happened,” he said, “that’s cold comfort.”


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Business Briefing | Retailing: Best Buy Shares Rally on Improved Holiday Sales



The Best Buy Company had better-than-expected holiday sales, setting off a gain of $2, or 16.4 percent, in its stock price, to $14.21 a share on Friday. The holiday quarter accounted for about a third of Best Buy’s revenue last year. The chain said that revenue at stores open at least a year fell 1.4 percent for the nine weeks ended Jan. 5. The company’s performance in the United States was flat. The chief executive, Hubert Joly, said in a statement that the result was better than the last several quarters. A Morningstar analyst, R. J. Hottovy, said the results showed that some of Best Buy’s initiatives, like more employee training and online price matching helped increase sales.


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Southbound 5 Freeway at Grapevine reopened









Southbound Interstate 5 at the Grapevine was reopened Friday morning about 8 a.m. but the northbound lanes remained closed because of icy road conditions, the California Highway Patrol said.


Drivers were being escorted by CHP cruisers on the southbound side of the freeway as a precaution, officials said. CHP planned to escort cars on the northbound side Friday morning, but don't know what time that will begin.


The freeway was closed at the steep Grapevine grade Thursday afternoon as a cold winter storm pounded Southern California. 








Stranded motorists jammed hotels and parking lots of food outlets off Interstate 5 in Lebec on Thursday evening, trying to determine whether to wait out the reopening or find an alternate route. Truck drivers lined up along roadsides just off the freeway, near various food outlets.


At the Best Western Hotel in Lebec, which sold out of all rooms by early Thursday evening, many who were stranded crowded around tables in the breakfast room, watching the news and hoping for updates on the reopening of Interstate 5.


Tanya Viau said she sat for two hours on the freeway before being diverted off around 4:30 p.m. The deckhand for San Francisco ferries was headed from the Sacramento area to San Diego to visit her son, who had recently graduated.


"I felt fortunate to get a room," Viau said. "I've been driving this route for 30 years and this is the first time I've ever been stranded."


Jim McCluskey hurried out of the Best Western around 6:30 a.m. to try his luck getting onto the 58 Freeway and traversing the desert to try to get south. McCluskey had been headed to Castaic and turned up at the Best Western after being diverted from the freeway Thursday afternoon. 


"I've been stuck several times in the past, I'm used to it," he said.


Floyd Osborne and Dan Tobias, who were headed from Bakersfield to Lancaster, pored over computer maps to determine alternate routes.


Truck driver Samuel Watson, 23, said he arrived in Lebec around 1:30 p.m. Thursday and ended up getting stranded. He didn’t find out about the Grapevine being closed until he was already on the road from Ripon, Calif., to Torrance.


Watson ended up sleeping in the cab of his rig loaded with hazardous materials. He had extra warm clothing, adding he was always prepared and always had something to sleep on.


He was hoping to make it back to the Stockton area by Saturday to celebrate his 24th birthday.


Truck driver Ricardo Roman set out for an eight-hour trip from Sacramento and arrived in Lebec at 4 a.m. He was headed to Santa Fe Springs and was expected to make a delivery for Kohl’s department store at 8 a.m. Friday.


He said he had been in the trucking business for eight years and had enough clothes and food to get him through the ordeal.





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Ford Wants to Teach You Some Off-Peak Electrical Tricks



LAS VEGAS — Electric vehicle owners eager to charge up in the greenest, most economical manner plug in during off-peak hours when rates are lowest. Ford wants to extend the concept of off-peak power to home appliances, further reducing an EV owner’s electric bill and CO2 footprint by allowing them to tap into the cloud and a proprietary power-tracking database.



Here at CES 2013, the automaker announced MyEnergi Lifestyle, a sweeping collaboration with appliance giant Whirlpool, smart-meter supplier Infineon, Internet-connected thermostat company Nest Labs and, for a green-energy slant, solar-tech provider SunPower. The goal is to help people understand how the “time-flexible” EV charging model can more cheaply power home appliances, and how combining an EV, connected appliances and the data they generate can help them better manage their energy consumption and avoid paying for power at high rates.


Because the electric grid experiences its heaviest loads during daytime hours when people are most active, consumers pay more for juice because utilities must produce more of it — an expensive proposition for all involved. For that reason, many utilities offer discounted rates for off-peak consumption to encourage customers to shift their energy usage patterns to nighttime or early-morning hours. Discounted rates typically apply between midnight and 5 a.m. and, according to Ford, can cost half as much.


The use of smart electrical meters in more than 40 million homes across the U.S. allows households to better take advantage of off-peak rates, said Mike Tinskey, Ford’s global director of vehicle electrification and infrastructure.


“We launched in 19 markets last year with our Focus Electric,” he says. “Of those, 16 had a timing use rate available and that’s all been driven by smart power meters.”



Appliances are getting smarter, too. Some of the most power-hungry appliances, such as a water heater and the ice maker in your freezer, can now schedule their most energy-intensive activities at night. Nest’s Internet-connected thermostat can help homeowners save energy while their away. While some of the appliances and devices within MyEnergi Lifestyle launch early this year, others are available now, Tinskey said.


“One of the key points we wanted to make is that this isn’t expensive stuff,” he said. “This is aimed at mid-America.”


The MyEnergi Lifestyle project also aims to tie these threads together and make it easier for EV owners make to manage and track of their electrical consumption using cloud-based data collected by smart appliances and meters. Users enter info such as their location and local utility rates into the database via the participants products, such as the MyFord Mobile app for the automaker’s EVs. And then they get results on the best charging times and the potential energy savings.


“When we put all these things together, we were astonished by what you can actually do,” Tinskey said.


Ford and its partners worked with researchers at Georgia Institute of Technology to create a model that calculates the electricity usage of a typical single family home for one year and the savings that could come from using off-peak electricity. It predicted a 60 percent reduction in energy costs and a 55 percent reduction in CO2 generated. That’s more than 9,000 kilograms of CO2. MyEnergi Lifestyle collaborators also announced plans to award a “typical” American family with the delivery and installation of energy-saving products from each company to create a real-world example of how the effectiveness of the program.


Researchers estimate that having every home in the U.S. implement energy-saving technologies like those promoted by MyEnergi would be the equivalent of taking every home in California, New York and Texas — around 32 million — off the grid. That’s a significant savings, but it still requires a significant initial investment on the part of the average homeowner. And it still may not be reason enough for some to buy an EV.


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Seattle bankruptcy hearing to decide Tully’s sale






SEATTLE (AP) — The auction for beleaguered coffee company Tully’s will likely conclude Friday in federal bankruptcy court, with an ownership group led by actor Patrick Dempsey in position to take over the chain. But Starbucks isn’t’ out of the running.


Dempsey — dubbed “McDreamy” in the “Grey’s Anatomy” hospital TV drama — claimed victory last week after an auction.






But a company that teamed up with Starbucks to bid for the Tully’s chain filed an objection Wednesday. AgriNurture Inc. says it’s still willing to proceed with its combined bid with Starbucks of about $ 10.6 million. The bid from Dempsey’s company, Global Baristas LLC, was for $ 9.2 million.


Tully’s has 47 shops in Washington and California with more than 500 employees. It filed for Chapter 11 bankruptcy protection in October.


Entertainment News Headlines – Yahoo! News





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The New Old Age Blog: Taking a Zen Approach to Caregiving

You try to help your elderly father. Irritated and defensive, he snaps at you instead of going along with your suggestion. And you think “this is so unfair” and feel a rising tide of anger.

How to handle situations like this, which arise often and create so much angst for caregivers?

Jennifer Block finds the answer in what she calls “contemplative caregiving” — the application of Buddhist principles to caregiving and the subject of a year-long course that starts at the San Francisco Zen Center in a few weeks.

This approach aims to cultivate compassion, both for older people and the people they depend on, said Ms. Block, 49, a Buddhist chaplain and the course’s lead instructor. She’s also the former director of education at the Zen Hospice project in San Francisco and founder of the Beyond Measure School for Contemplative Care, which is helping develop a new, Zen-inspired senior living community in the area.

I caught up with Ms. Block recently, and what follows is an edited transcript of our conversation.

Let’s start with your experience. Have you been a caregiver?

My experience in caregiving is as a professional providing spiritual care to individuals and families when they are facing and coping with aging and sickness and loss and dying, particularly in hospital and hospice settings.

What kinds of challenges have you witnessed?

People are for the most part unprepared for caregiving. They’re either untrained or unable to trust their own instincts. They lack confidence as well as knowledge. By confidence, I mean understanding and accepting that we don’t know all the answers – what to do, how to fix things.

This past weekend, I was on the phone with a woman who’d brought her mom to live near her in assisted living. The mom had been to the hospital the day before. My conversation with the daughter was about helping her see the truth that her mother needed more care and that was going to change the daughter’s responsibilities and her life. And also, her mother was frail, elderly, and coming nearer to death.

That’s hard, isn’t it?

Yes, because we live in a death-denying society. Also, we live in a fast-paced, demanding world that says don’t sit still — do something. But people receiving care often need most of all for us to spend time with them. When we do that, their mortality and our grief and our helplessness becomes closer to us and more apparent.

How can contemplative caregiving help?

We teach people to cultivate a relationship with aging, sickness and dying. To turn toward it rather than turning away, and to pay close attention. Most people don’t want to do this.

A person needs training to face what is difficult in oneself and in others. There are spiritual muscles we need to develop, just like we develop physical muscles in a gym. Also, the mind needs to be trained to be responsive instead of reactive.

What does that mean?

Here’s an example. Let’s say you’re trying to help your mother, and she says something off-putting to you like “you’ve always been terrible at keeping house. It’s no wonder you lost my pajamas.”

The first thing is to notice your experience. To become aware of that feeling, almost like being slapped emotionally. To notice your chest tightening.

Then I tell people to take a deep breath. And say something to themselves like “soften” to address that tightness. That’s how you can stay facing something uncomfortable rather than turning away.

If I were in this position, I might say something to myself like “hello unhappiness” or “hello suffering” or “hello aging” to tether myself.

The second step would be curiosity about that experience. Like, wow, where do I feel that anger that rose up in me, or that fear? Oh, it’s in my chest. I’m going to feel that, stay with it, investigate it.

Why is that important?

Because as we investigate something we come to understand it. And, paradoxically, when we pay attention to pain it changes. It softens. It moves. It lessens. It deepens. And we get to know it and learn not to be afraid of it or change it or fix it but just come alongside of it.

Over hours, days, months, years, the mind and heart come to know pain. And the response to pain is compassion — the wish for the alleviation of pain.

Let’s go back to what mother said about your housekeeping and the pajamas. Maybe you leave the room for five minutes so you can pay attention to your reaction and remember your training. Then, you can go back in and have a response rather than a reaction. Maybe something like “Mom, I think you’re right. I may not be the world’s best housekeeper. I’m sorry I lost your pajamas. It seems like you’re having a pretty strong response to that, and I’d like to know why it matters so much to you. What’s happening with you today?”

Are other skills important?

Another skill is to become aware of how much we receive as well as give in caregiving. Caregiving can be really gratifying. It’s an expression of our values and identity: the way we want the world to be. So, I try to teach people how this role benefits them. Such as learning what it’s like to be old. Or having a close, intimate relationship with an older parent for the first time in decades. It isn’t necessarily pleasant or easy. But the alternative is missing someone’s final chapter, and that can be a real loss.

What will you do in your course?

We’ll teach the principles of contemplative care and discuss them. We’ll have homework, such as ‘Bring me three examples of someone you were caring for who was caring toward you in return.’ That’s one way of practicing attention. And people will train in meditation.

We’ll also explore our own relationship to aging, sickness, dying and loss. We’ll tell our stories: this is the situation I was in, this is where I felt myself shut down, this was the edge of my comfort or knowledge. And we’ll teach principles from Buddhism. Equanimity. Compassion. Deep inner connectedness.

What can people do on their own?

Mindfulness training is offered in almost every city. That’s one of the core components of this approach.

I think every caregiver needs to have their own caregiver — a therapist or a colleague or a friend, someone who is there for them and with whom they can unburden themselves. I think of caregiving as drawing water from a well. We need to make sure that we have whatever nurtures us, whatever supplies that well. And often, that’s connecting with others.

Are other groups doing this kind of work?

In New York City, the New York Zen Center for Contemplative Care educates the public and professionals about contemplative care. And in New Mexico, the Upaya Zen Center does similar work, much of it centered around death and dying.

People who want to read about this might want to look at a new book of essays, “The Arts of Contemplative Care: Pioneering Voices in Buddhist Chaplaincy and Pastoral Work” (Wisdom Publications, 2012).

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DealBook: Client Redemptions Loom for SAC Capital

12:46 p.m. | Updated

The hedge fund giant SAC Capital Advisors is steeling itself for a possible wave of withdrawal requests from clients amid the government’s intensifying scrutiny of its trading practices.

Investors have about a month to decide whether to pull out money from SAC, the $14 billion fund owned by the billionaire investor Steven A. Cohen.

While posting one of the best investment track records on Wall Street across two decades, SAC has attracted billions of dollars from pension funds, wealthy families and other money management firms. But since late November, when federal prosecutors brought its latest criminal insider trading charge against a former SAC employee — a case that it calls the most lucrative insider trading scheme ever uncovered — those clients are weighing whether continuing their relationship with the fund is worth the reputational risk.

The fund has a standard quarterly redemption deadline, and the next one will fall on Feb. 15. Already, several of SAC’s clients, including Lyxor Asset Management and Titan Advisors, have notified the fund that they intend to withdraw their money. Others, like Skybridge Capital, have told SAC they will continue to invest with the fund.

Questions remain about the intentions of several of SAC’s well-known clients, including Blackstone Group, one of the world’s largest and most influential allocators to hedge funds. Blackstone has about $550 million invested in SAC, making it one of the fund’s largest outside investors. A Blackstone spokesman declined to comment.

The fund has told its employees that it could face at least $1 billion of withdrawals, according to a report in The Wall Street Journal on Friday. A spokesman for SAC said it was “far too early to speculate about redemptions, and we do not expect redemptions to have a significant impact on our funds.”

Any withdrawals from clients would come after a year of decent performance for SAC. In 2012 the firm returned about 13 percent net of fees, which while slightly underperforming the Standard & Poor’s 500 stock market index, is superior to the results of the average hedge fund.

While a spate of redemptions can have a crippling effect on a hedge fund by forcing it to sell its holdings at unfavorable prices, SAC is more insulated than most of its competitors from the ill effects of client withdrawals. That is because of the $14 billion that SAC manages, only about 40 percent of that comes from outside clients. The rest — a fortune of about $8 billion — belongs to Mr. Cohen and his employees.

Also, SAC has protected itself with a stringent redemption policy. The fund’s clients can redeem only 25 percent of their investment each quarter. So, for example, if a client has $200 million invested with SAC, and asks for its money back by the Feb. 15 deadline, SAC would return $50 million every three months beginning in March. That way, SAC is protected from having a forced liquidation of its investment portfolio.

Still, an investor exodus can have a crippling effect on a hedge fund, often causing it to shut down. Last month, Diamondback Capital Management, another hedge fund that became ensnared in the government’s insider trading investigation, closed after its investors sought to pull out roughly one-quarter of the fund’s assets.

Diamondback’s management decided that the most prudent course of action was to wind down rather than reorganize the firm to manage the reduced amount of money.

Like Diamondback, SAC has become embroiled in the government’s broad crackdown on insider trading at hedge funds. At least seven former SAC traders and analysts have been tied to illegal trading while at the fund. And the Securities and Exchange Commission has warned SAC that it might filed a civil action against the fund for failing to properly supervise its employees.

Mr. Cohen has told his employees that he believes he and his fund have at all times acted appropriately, and that the fund has fully cooperated with the government’s investigation.

In recent weeks, SAC has gone on a charm offensive in an attempt to hold on to clients. The fund has told its investors that they would not be responsible for any penalties incurred as a result of any of the government’s legal inquiry. Instead, SAC has told them, Mr. Cohen and his management company would pick up the costs.

There have also been changes at the fund. SAC last week told its staff that it was closing its office in Chicago, which is home to about a dozen employees. Such a move is not unusual, as the fund has closed offices before, such as San Francisco, where it saw limited opportunities.

A spokesman said it didn’t make sense to have an office in Chicago. SAC has more than 1,000 employees – portfolio managers, analysts, traders, and support staff – in five offices across the globe, with its headquarters in Stamford, Conn.

Though Mr. Cohen has told his friends and employees that he remains committed to managing money for outside clients, he could decide to follow in the footsteps of several fellow billionaire hedge fund managers.

A number of star investors, having already amassed billions in personal wealth, have decided to get out of the business of managing other people’s money. In recent years, for example, both George Soros and his onetime protégé, Stanley Druckenmiller, returned money to clients and set up so-called family offices to manage their own fortunes.

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Irvine City Council overhauls oversight, spending on Great Park









Capping a raucous eight-hour-plus meeting, the Irvine City Council early Wednesday voted to overhaul the oversight and spending on the beleaguered Orange County Great Park while authorizing an audit of the more than $220 million that so far has been spent on the ambitious project.


A newly elected City Council majority voted 3 to 2 to terminate contracts with two firms that had been paid a combined $1.1 million a year for consulting, lobbying, marketing and public relations. One of those firms — Forde & Mollrich public relations — has been paid $12.4 million since county voters approved the Great Park plan in 2002.


"We need to stop talking about building a Great Park and actually start building a Great Park," council member Jeff Lalloway said.





The council, by the same split vote, also changed the composition of the Great Park's board of directors, shedding four non-elected members and handing control to Irvine's five council members.


The actions mark a significant turning point in the decade-long effort to turn the former El Toro Marine base into a 1,447-acre municipal park with man-made canyons, rivers, forests and gardens that planners hoped would rival New York's Central Park.


The city hoped to finish and maintain the park for years to come with $1.4 billion in state redevelopment funds. But that money vanished last year as part of the cutbacks to deal with California's massive budget deficit.


"We've gone through $220 million, but where has it gone?" council member Christina Shea said of the project's initial funding from developers in exchange for the right to build around the site. "The fact of the matter is the money is almost gone. It can't be business as usual."


The council majority said the changes will bring accountability and efficiencies to a project that critics say has been larded with wasteful spending and no-bid contracts. For all that has been spent, only about 200 acres of the park has been developed and half of that is leased to farmers.


But council members Larry Agran and Beth Krom, who have steered the course of the project since its inception, voted against reconfiguring the Great Park's board of directors and canceling the contracts with the two firms.


Krom has called the move a "witch hunt" against her and Agran. Feuding between liberal and conservative factions on the council has long shaped Irvine politics.


"This is a power play," she said. "There's a new sheriff in town."


The council meeting stretched long into the night, with the final vote coming Wednesday at 1:34 a.m. Tensions were high in the packed chambers with cheering, clapping and heckling coming from the crowd.


At one point council member Lalloway lamented that he "couldn't hear himself think."


During public comments, newly elected Orange County Supervisor Todd Spitzer chastised the council for "fighting like schoolchildren." Earlier this week he said that if the Irvine's new council majority can't make progress on the Great Park, he would seek a ballot initiative to have the county take over.


And Spitzer angrily told Agran that his stewardship of the project had been a failure.


"You know what?" he said. "It's their vision now. You're in the minority."


mike.anton@latimes.com


rhea.mahbubani@latimes.com





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Disk Jockey: Hear Your Favorite Theme Songs Played by a Floppy-Drive Orchestra











While making music with computers is nothing new, it’s rarely quite so literal as the melodies of Youtube user MrSolidSnake74, who transformed eight floppy disk drives into an orchestra of MIDI magic. In the gallery above, you can hear his arrangements based on popular themes from Super Mario Bros, Doctor Who, Ghostbusters, Mega Man, Star Trek: The Next Generation, Game of Thrones and more, as performed by his floppy disk “instruments.”


“The concept behind this is basically getting the stepper motor to operate a certain frequency (getting the motor to step a certain amount of times in a second) which generates a pitch. Then we arrange those pitches together and we get a song,” he explained.


After creating his own arrangements of songs, he uses code written by a Youtube user named Sammy1Am to transform MIDI files into serial data packets, and sends them to an Arduino — an open-source microcontroller board – which routes the information to the floppy drives.


Want to make your own musical disk drives? Check out the Sammy1A how-to video:







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Architecture writer Ada Louise Huxtable, awarded first Pulitzer for criticism, dead at 91






LOS ANGELES (TheWrap.com) – Ada Louise Huxtable, the architecture critic who was awarded the first Pulitzer Prize for criticism, has died. She was 91.


Huxtable, who was the architecture critic for the New York Times from 1963 to 1982 and, later, the Wall Street Journal, died Monday at Memorial Sloan-Kettering Cancer Center in New York, the Journal reported.






Huxtable was a firm believer in the power of tall buildings to enhance a city and decried the cookie-cutter suburban developments springing up around New York in the 1960s.


“The promise of… a new, improved suburbia in the greater metropolitan area, the dreams of beauty and better living are mire in mud,” Huxtable wrote in Newsweek magazine. She added that these suburban landscapes – including those in Staten Island “could not be better calculated to destroy the countryside if….planned by enemy action.”


In her final piece for the Journal – a look at the renovation plans for the landmark New York Public Library, dated December 3, 2012 – Huxtable wrote: “Buildings change; they adapt to needs, times and tastes. Old buildings are restored, upgraded and converted to new uses. For architecturally or historically significant buildings with landmark protection, the process is more complex; subtle, subjective and difficult decisions are often required. Nothing, not even buildings, stands still.”


A native New Yorker, Ada Louise Landsman was born March 14, 1921, the daughter of a doctor. She graduated from Hunter College in 1941. A year later, she married L. Garth Huxtable, an industrial designer, and together they produced tableware for the Four Seasons Hotel.


Throughout the 1940s, she continued graduate school at New York University but was more interested in her work as a curatorial assistant for architecture and design at the Museum of Modern Art.


From 1950 to 1963, she contributed articles to “Progressive Architecture” and “Art in America.” She became the first architecture critic of the Times in 1963. She wrote more than 10 books. Her early essays were collected in the book “Will They Ever Finish Bruckner Boulevard?”


She was awarded the first Pulitzer Prize for criticism in 1970. In 1981 she was awarded a MacArthur genius grant.


She also served for a time a juror for the Pritzker Prize, architecture’s highest honor.


Celebrity News Headlines – Yahoo! News




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F.D.A. Requires Cuts to Dosages of Ambien and Other Sleep Drugs





The Food and Drug Administration announced on Thursday that it was requiring manufacturers of popular sleeping pills like Ambien and Zolpimist to cut their recommended dosage in half for women, after laboratory studies showed that they can leave people still sleepy in the morning and at risk for accidents.


The agency issued the requirement for drugs containing the active ingredient zolpidem, by far the most widely used sleep aid. Using lower doses means less of the drug will remain in the blood in the morning hours, and leave people who take it less exposed to the risk of impairment while driving to work.


Women eliminate zolpidem from their bodies more slowly than men and the agency told manufacturers that the recommended dosage for women should be lowered to 5 milligrams from 10 milligrams for immediate-release products like Ambien, Edluar and Zolpimist. Dosages for extended-release products should be lowered to 6.25 milligrams from 12.5, the agency said. The agency also recommended lowering dosages for men.


An estimated 10 to 15 percent of women will have a level of zolpidem in their blood that impairs driving eight hours after taking the pill, while only about 3 percent of men do, said Dr. Robert Temple, deputy director for clinical science in the F.D.A.'s Center for Drug Evaluation and Research.


Doctors will still be told that they can prescribe the higher dosage if the lower one does not work, Dr. Temple said.


“Most people thought that by the morning it is gone,” he said. “What we’re reminding people is that is sort of true, but that in some women who take a full 10 milligram dose, and in a lot of people who take the control release dose, it is not entirely true. Some people will be impaired in the morning.”


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Nokia Sees Results From New Smartphone Line


BERLIN — Nokia said Thursday that its struggling mobile phone business was showing signs of a rebound, turning a profit in the fourth quarter fueled by sales of its Lumia smartphones that use Microsoft software.


Stephen Elop, the Nokia chief executive, said sales of smartphones and more basic cellphones, as well as profitability at the Nokia Siemens network-equipment venture, all came in better than expected during the three months through December.


“While we definitely experienced some tough challenges in the first half of 2012, we are managing through these issues,” Mr. Elop said in a conference call with journalists.


Nokia has amassed nearly €5 billion, or $6.5 billion, in losses since Mr. Elop, a former Microsoft executive, announced plans to phase out Nokia phones that used its own Symbian operating system for the Lumia line, which uses the Windows Phone 8 software, in February 2011.


Sales of Lumia phones increased only modestly during the early part of 2012, raising concern that the company’s turnaround strategy, marked by cost cutting and the sale of subsidiary businesses, would not be enough to save the former market leader.


But in the fourth quarter, amid heavy television and print ad spending in Europe and North America, Nokia said it sold 4.4 million Lumia phones, up from 2.9 million in the third quarter.


The company said revenue from the sale of 86.3 million mobile phones of all kinds amounted to €3.9 billion in the quarter, without providing comparative figures.


The company’s shares surged as much as 16 percent in Helsinki on the news.


In a statement, Nokia said that it expected operating profit at its devices and services business, which makes up about half of its total sales, to break even or generate a profit of as much as 2 percent of sales in the fourth quarter. In October, Nokia had told investors that it expected the business to make an operating loss of as much as 10 percent of sales.


But sales of its Lumia smartphone and Asha feature phones rose more than expected. Also, Nokia Siemens, its network gear venture, will report an operating profit of 13 percent to 15 percent of sales in the fourth quarter, compared with an expected range of 4 percent to 12 percent.


Looking ahead, Nokia said it expected to return to an operating loss of 2 percent of sales in the first quarter amid the post-holiday buying lull and harsh competition. But the results for the coming three months could vary widely, Nokia warned, from an even bigger 6 percent operating loss to a 2 percent operating profit.


Pete Cunningham, an analyst at Canalys, a research firm in Reading, England, said Nokia’s improving financial position was a positive step. But the company, which ceded its market leadership to Samsung and Apple, is not out of the woods yet.


“On face value, this is a positive for Nokia,” Mr. Cunningham said. “But 2013 could still turn out to be another very difficult year for Nokia. It is way too premature to say that the company has made a turnaround.”


Mr. Cunningham said he used the Lumia 920, Nokia’s newest smartphone, during the Christmas holidays and liked the experience.


“But the more I used the phone, the more apparent it became to me that there are big gaps between Lumia and its competitors in terms of the functionality and usability of its apps,” Mr. Cunningham said. “I still think there is a lot of work to be done on Lumia.”


Mr. Elop said Nokia would continue to innovate to close the gap with competitors. The big issues that Nokia faces, he said, are “managing efficiently, building great products and changing the way we operate. We’re beginning to see that happen.”


Nokia’s shares closed up nearly 13 percent at €3.39 in Helsinki trading.


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Weight-loss regimen a preferred choice for countering diabetes









After all those well-intentioned New Year's resolutions have yielded to the force of habit, many of the nation's 79 million obese adults will have a day of reckoning with their primary care physicians.


Lose weight and get active, the doctor will order, or risk developing diabetes. Then the MD will scribble a prescription.


For most patients, the prescribed treatment will not be a pill. It will be a 12-week program aimed at preventing Type 2 diabetes by getting obese adults to shed as little as 10 pounds and exercise for a little more than 20 minutes a day.





That regimen — the Diabetes Prevention Program — may soon become the blockbuster prescription medicine you've never heard of. In 2013, it is poised to become the envy of pharmaceutical companies, a new rival to programs such as Weight Watchers, and a target of opportunity for healthcare entrepreneurs.


Led by a trained coach, it is a testament to the power of a mentor and of setting modest goals in spurring healthful behavior. And it may be a crucial first test of the Affordable Care Act's focus on preventive health.


In nearly 30 clinical trials, scientists have established that the program is far more effective at helping people lose weight and prevent or delay the onset of diabetes than "usual care" — essentially, a doctor telling a patient to slim down and get active, and then sending him on his way. But the program hasn't been packaged in a form that healthcare providers can simply and cheaply offer to patients, said Dr. Jun Ma of the Palo Alto Medical Foundation Research Institute, who studies diabetes prevention.


The Diabetes Prevention Program is not rocket science. In 12 weekly sessions, a coach teaches obese subjects at high risk of developing diabetes to set goals for losing 5% to 7% of their body weight, limit the fat and calories they consume, track their food intake, get at least 150 minutes of exercise each week, and devise strategies to avoid gaining back lost pounds.


In trials, subjects who attended the tightly scripted sessions and followed the regimen were far more likely than those who were on their own to reach their weight-loss goals in three months — and to keep that weight off for more than a year. By doing so, they drove down their risk of developing Type 2 diabetes by 58%, according to a landmark report published in the New England Journal of Medicine in 2002.


The program, in short, is powerful medicine.


"If you could take it as a pill, it would definitely be commercialized," said Sean Duffy, a software designer and former Google employee who launched an online version of the program about a month ago.


In June, a panel of physicians and public health experts that advises the Department of Health and Human Services gave the program a mighty push into everyday medical practice. The U.S. Preventive Services Task Force recommended that doctors refer their obese patients to "intensive, multicomponent behavioral interventions" designed to promote weight loss and physical activity. It cited only one that met its strict standards: the Diabetes Prevention Program.


Under the Affordable Care Act, that carries significant weight. Starting in June, most health insurers will be required to make proven weight-loss and behavior-modification programs available without a copayment to obese customers with a doctor's referral.


No one knows whether expanded coverage of such programs can save money and head off a public health disaster. But without it, experts believe a tidal wave of Type 2 diabetes and heart disease — with a 20-year price tag estimated at $550 billion in the U.S. alone — is a virtual certainty.


For all its promise, the program has remained little more than a good idea — and a pretty expensive one at that — for years. The researchers who developed it at the University of Indiana pegged the cost of the trial's intensive 12-week phase and nine months of maintenance at about $1,300 per patient. To make it cheaper and more accessible, they trained a few YMCA chapters to deliver the program.


Today, about 75 chapters in 28 states and the District of Columbia offer it. The Centers for Disease Control and Prevention, which has been charged with broadening access to "lifestyle change" programs, disbursed $6.75 million in 2012 to encourage health insurers, public health advocates and employer groups to offer versions of the program.


But with more than 78 million people potentially in line to get it, demand far outstrips supply.


Researchers like Ma have been working on ways to use technology to make the program more widely available. In a study published last month in the Archives of Internal Medicine, she and her colleagues found that putting the 12-week curriculum on an inexpensive DVD and assigning a coach to answer questions and offer support helped 37% of obese participants lose 7% of their body weight — a rate more than twice as high as for those who got no help at all.


In a related study published in the same journal, researchers gave obese volunteers a personal digital device to monitor their weight, diet and physical activity and had them check in with a coach every other week. The volunteers lost more weight than trial subjects who were on their own.


The UnitedHealth Group's Diabetes Prevention and Control Alliance in Minnetonka, Minn., has worked to make the Diabetes Prevention Program available on demand to Comcast cable subscribers nationwide. UnitedHealth Group physicians and public health specialists worked with a TV production crew to create a reality-show version of the program. After the pilot aired last year in Philadelphia and Knoxville, Tenn., it took just three weeks to get 700 people to volunteer for a clinical trial of the TV-based program. The results of that will be published soon, said Dr. Deneen Vojta, chief clinical officer for the UnitedHealth program.


"These people lost a ton of weight," she said.


The growing scientific consensus around the diabetes program has not been lost on one of the nation's most ubiquitous and respected weight-loss programs, Weight Watchers. With 20,000 meetings a week across the United States, Weight Watchers International has the infrastructure that the Diabetes Prevention Program lacks. Like the diabetes program, its groups are run by coaches who give advice and encouragement and teach members to track their intake. The company has steadily added features — most recently a spate of food-tracking apps — as clinical trials showed their value.


Weight Watchers has been lobbying the government to recognize its programs as an effective tool for diabetes prevention. The stakes are huge: If insurers were required to cover the costs of patients' Weight Watchers memberships, the customer base could expand by leaps and bounds.


In Britain, the National Health Service will pay for the company's initial 12-week course, said David Kirchhoff, chief executive of Weight Watchers International in New York City. Given the program's widespread presence in the U.S. and evidence of its effectiveness in clinical trials, it makes sense for insurers here to pay too, he said.


Entrepreneurs are also getting in on the act. Duffy's San Francisco-based startup, Omada Health, launched an online version of the Diabetes Prevention Program called Prevent that may be the first of many digital spinoffs.


Designed to win the CDC's seal of approval, Prevent resembles a Facebook version of the Diabetes Prevention Program while preserving the privacy of customers who prefer it. Incoming members are matched to a group, and everyone works toward a goal of losing 5% to 7% of their body weight in 12 weeks under the supervision of a coach. Members' weights are transmitted to the coach by a digital scale upon enrollment and weekly thereafter.


Early testing has shown that as groups jell, members learn from — and lean on — one another, Duffy said. He plans to sell the program at about $120 per month for four months, primarily to insurers and companies for use by their customers and employees.


Payment will be due only after users show results, he said.


melissa.healy@latimes.com





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Galactic Pile-Up May Point to Mysterious New Dark Force in the Universe



LONG BEACH, California — By closely mapping the mass of an enormous galactic collision, astronomers may have uncovered a type of force that only affects dark matter.


The results come from observations of the Musket Ball Cluster, a vast celestial object located about 5.23 billion light-years away in the constellation Cancer. Galaxies are usually gravitationally bound to other galaxies, creating massive galactic clusters. The Musket Ball Cluster is an example of what happens when two such galactic clusters – each composed of hundreds of individual galaxies – crash into one another.


Scientists know the visible stars in these galaxies make up only about two percent of the total mass in the cluster. About 12 percent of the mass is found in hot gas, which shines in X-ray wavelengths, while the remaining roughly 86 percent is made of invisible dark matter. Because the galaxies make up so little of the mass of the system and the spaces between them are so large, they don’t really do much of the crashing. Odds are that they will simply sail by one another as the clusters merge. It’s mostly the gas that collides, causing it to slow down and fall behind the galaxies.



The dark matter is mapped using a quirk in Einstein’s theories of gravity. According to General Relativity, the gravitational fields of massive objects like galaxies bend light. If there is a large galaxy in the way of a distant light source, observers on Earth will see that light distorted, often into a ring-like shape, like the Hubble image at left. By looking at how light from a distant object is bent by the Musket Ball Cluster, scientists can infer where the dark matter is.


But when astronomers did this with high precision, they discovered something odd: The dark matter clumps were slowing down relative to the visible galaxies in the cluster.


“We see this offset between the dark matter and the galaxies of about 19,000 light-years,” said astronomer William Dawson of the University of California, Davis, who presented his team’s result during a talk Jan. 7 here at the American Astronomical Society 2013 meeting.



The reason this is strange is that dark matter is thought to barely interact with itself. The dark matter should just coast through itself and move at the same speed as the hardly interacting galaxies. Instead, it looks like the dark matter is crashing into something — perhaps itself – and slowing down faster than the galaxies are. But this would require the dark matter to be able to interact with itself in a completely new an unexpected way, a “dark force” that affects only dark matter. This would be a new fundamental force of the universe, in addition to the four known forces: gravity, electromagnetism, and the strong and weak forces.


Such a force has been speculated theoretically in previous work and even searched for in small colliders but, if Dawson’s results turn out to be true, this would be the first observational evidence of its existence. Though the dark force is not part of any current model of physics, it could help explain certain behavior seen in dark matter.


In particular it would help solve the core/cusp problem, an outstanding mystery seen in dwarf galaxies and star clusters. If dark matter only feels the force of gravity, it should tend to clump in the center of these objects. But astronomers over and over observe the opposite: The dark matter in dwarf galaxies and star clusters is evenly distributed. If dark matter can interact through some sort of dark force, it can bump into itself and puff out, like a hot gas.


The finding could help open up observations of the so-called “dark sector,” a hypothetical set of forces and particles that don’t affect our own ordinary matter. Though dark matter models tend to assume the particles are simple and have no extra forces, there’s no particular reason this should be. Dawson suggested imagining some alien, scientific beings composed entirely of dark matter, who might not even consider that our version of matter has so many complex forces and interactions because they can’t detect them.


While agreeing that the results are neat and have a potentially huge payoff, astronomer Douglas Finkbeiner of Harvard, who was not involved in the work, isn’t completely convinced by them yet. “It is good to remember that every such hint of exotic dark matter particle properties has always been wrong,” he wrote in an email to Wired.


Finkbeiner should know. In 2008, he was part of research team that thought it had glimpsed a signal of a dark force in data from the PAMELA satellite. The results ended up being discounted a few years later.


Dawson knows his findings are preliminary, and even he is fairly skeptical of the dark force interpretation. His team can say with roughly 85 percent confidence that what they are observing is due to dark matter interacting with itself.


“Those are good odds in Las Vegas, but as scientists we can’t make grand claims with there still being a 15 or 20 percent possibility of this being noise in the measurement,” he said. The bending of light by massive objects is very tricky to observe, and it could turn out there is some problem in the team’s measurements.


For now, Dawson is working with his collaborators to analyze data from other massive galaxy cluster collisions and also discover new ones. If they see the same results on these systems, it would bolster the idea of a possible dark force. Otherwise, it will mean that dark matter is fairly simple and scientists need other explanations for the core/cusp problem.


“We need observations to either reign in the theoretical musings or motivate people to think harder about their dark matter models,” said Dawson.


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Oprah to interview Armstrong for Jan. 17 show






LOS ANGELES (AP) — Lance Armstrong has agreed to an interview with Oprah Winfrey in which he is to address allegations he used performance-enhancing drugs during a career in which he won seven Tour de France titles.


According to Winfrey’s website on Tuesday, this will be a “no holds-barred interview.” It will be the first with Armstrong since his cycling career crumbled under the weight of a massive report by the U.S. Anti-Doping Agency. The report detailed accusations of drug use by Armstrong and teammates on his U.S. Postal Service teams.






It’s unclear if the interview at Armstrong’s home in Austin, Texas, has already been taped. Nicole Nichols, a spokeswoman for Oprah Winfrey Network & Harpo Studios, declined comment.


The show will be broadcast Jan. 17 at 9 p.m. EST on OWN and Oprah.com.


Armstrong has strongly denied the doping charges that led to him being stripped of his Tour de France titles, but The New York Times reported Friday he has told associates he is considering acknowledging the use of performance enhancers.


The newspaper report cited anonymous sources, and Armstrong lawyer Tim Herman told The Associated Press that night he had no knowledge of Armstrong considering a confession.


Earlier Tuesday, “60 Minutes Sports” reported the head of USADA told the show a representative for Armstrong offered the agency a “donation” in excess of $ 150,000 several years before an investigation by the organization led to the loss of Armstrong’s Tour de France titles.


In an interview for the premiere on Showtime on Wednesday night, USADA chief executive Travis Tygart said he was “stunned” when he received the offer in 2004.


“It was a clear conflict of interest for USADA,” Tygart said. “We had no hesitation in rejecting that offer.”


Herman denied such an offer was made.


“No truth to that story,” Herman wrote Tuesday in an email to the AP. “First Lance heard of it was today. He never made any such contribution or suggestion.”


Tygart was traveling and did not respond to requests from the AP for comment. USADA spokeswoman Annie Skinner said Tygart’s comments from the interview were accurate. In it, he reiterates what he told the AP last fall: He was surprised when federal investigators abruptly closed their two-year investigation into Armstrong and his business dealings, then refused to share any evidence they gathered.


“You’ll have to ask the feds why they shut down,” Tygart told the AP. “They enforce federal criminal laws. We enforce sports anti-doping violations. They’re totally separate. We’ve done our job.”


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Economic Scene: Health Care and Pursuit of Profit Make a Poor Mix





Thirty years ago, Bonnie Svarstad and Chester Bond of the School of Pharmacy at the University of Wisconsin-Madison discovered an interesting pattern in the use of sedatives at nursing homes in the south of the state.




Patients entering church-affiliated nonprofit homes were prescribed drugs roughly as often as those entering profit-making “proprietary” institutions. But patients in proprietary homes received, on average, more than four times the dose of patients at nonprofits.


Writing about his colleagues’ research in his 1988 book “The Nonprofit Economy,” the economist Burton Weisbrod provided a straightforward explanation: “differences in the pursuit of profit.” Sedatives are cheap, Mr. Weisbrod noted. “Less expensive than, say, giving special attention to more active patients who need to be kept busy.”


This behavior was hardly surprising. Hospitals run for profit are also less likely than nonprofit and government-run institutions to offer services like home health care and psychiatric emergency care, which are not as profitable as open-heart surgery.


A shareholder might even applaud the creativity with which profit-seeking institutions go about seeking profit. But the consequences of this pursuit might not be so great for other stakeholders in the system — patients, for instance. One study found that patients’ mortality rates spiked when nonprofit hospitals switched to become profit-making, and their staff levels declined.


These profit-maximizing tactics point to a troubling conflict of interest that goes beyond the private delivery of health care. They raise a broader, more important question: How much should we rely on the private sector to satisfy broad social needs?


From health to pensions to education, the United States relies on private enterprise more than pretty much every other advanced, industrial nation to provide essential social services. The government pays Medicare Advantage plans to deliver health care to aging Americans. It provides a tax break to encourage employers to cover workers under 65.


Businesses devote almost 6 percent of the nation’s economic output to pay for health insurance for their employees. This amounts to nine times similar private spending on health benefits across the Organization for Economic Cooperation and Development, on average. Private plans cover more than a third of pension benefits. The average for 30 countries in the O.E.C.D. is just over one-fifth.


We let the private sector handle tasks other countries would never dream of moving outside the government’s purview. Consider bail bondsmen and their rugged sidekicks, the bounty hunters.


American TV audiences may reminisce fondly about Lee Majors in “The Fall Guy” chasing bad guys in a souped-up GMC truck — a cheap way to get felons to court. People in most other nations see them as an undue commercial intrusion into the criminal justice system that discriminates against the poor.


Our reliance on private enterprise to provide the most essential services stems, in part, from a more narrow understanding of our collective responsibility to provide social goods. Private American health care has stood out for decades among industrial nations, where public universal coverage has long been considered a right of citizenship. But our faith in private solutions also draws on an ingrained belief that big government serves too many disparate objectives and must cater to too many conflicting interests to deliver services fairly and effectively.


Our trust appears undeserved, however. Our track record suggests that handing over responsibility for social goals to private enterprise is providing us with social goods of lower quality, distributed more inequitably and at a higher cost than if government delivered or paid for them directly.


The government’s most expensive housing support program — it will cost about $140 billion this year — is a tax break for individuals to buy homes on the private market.


According to the Tax Policy Center, this break will benefit only 20 percent of mostly well-to-do taxpayers, and most economists agree that it does nothing to further its purported goal of increasing homeownership. Tax breaks for private pensions also mostly benefit the wealthy. And 401(k) plans are riskier and costlier to administer than Social Security.


From the high administrative costs incurred by health insurers to screen out sick patients to the array of expensive treatments prescribed by doctors who earn more money for every treatment they provide, our private health care industry provides perhaps the clearest illustration of how the profit motive can send incentives astray.


By many objective measures, the mostly private American system delivers worse value for money than every other in the developed world. We spend nearly 18 percent of the nation’s economic output on health care and still manage to leave tens of millions of Americans without adequate access to care.


Britain gets universal coverage for 10 percent of gross domestic product. Germany and France for 12 percent. What’s more, our free market for health services produces no better health than the public health care systems in other advanced nations. On some measures — infant mortality, for instance — it does much worse.


In a way, private delivery of health care misleads Americans about the financial burdens they must bear to lead an adequate existence. If they were to consider the additional private spending on health care as a form of tax — an indispensable cost to live a healthy life — the nation’s tax bill would rise to about 31 percent from 25 percent of the nation’s G.D.P. — much closer to the 34 percent average across the O.E.C.D.


A quarter of a century ago, a belief swept across America that we could reduce the ballooning costs of the government’s health care entitlements just by handing over their management to the private sector. Private companies would have a strong incentive to identify and wipe out wasteful treatment. They could encourage healthy lifestyles among beneficiaries, lowering use of costly care. Competition for government contracts would keep the overall price down.


We now know this didn’t work as advertised. Competition wasn’t as robust as hoped. Health maintenance organizations didn’t keep costs in check, and they spent heavily on administration and screening to enroll only the healthiest, most profitable beneficiaries.


One study of Medicare spending found that the program saved no money by relying on H.M.O.’s. Another found that moving Medicaid recipients into H.M.O.’s increased the average cost per beneficiary by 12 percent with no improvement in the quality of care for the poor. Two years ago, President Obama’s health care law cut almost $150 billion from Medicare simply by reducing payments to private plans that provide similar care to plain vanilla Medicare at a higher cost.


Today, again, entitlements are at the center of the national debate. Our elected officials are consumed by slashing a budget deficit that is expected to balloon over coming decades. With both Democrats and Republicans unwilling to raise taxes on the middle class, the discussion is quickly boiling down to how deeply entitlements must be cut.


We may want to broaden the debate. The relevant question is how best we can serve our social needs at the lowest possible cost. One answer is that we have a lot of room to do better. Improving the delivery of social services like health care and pensions may be possible without increasing the burden on American families, simply by removing the profit motive from the equation.


E-mail: eporter@nytimes.com;


Twitter: @portereduardo



Read More..

Economic Scene: Health Care and Pursuit of Profit Make a Poor Mix





Thirty years ago, Bonnie Svarstad and Chester Bond of the School of Pharmacy at the University of Wisconsin-Madison discovered an interesting pattern in the use of sedatives at nursing homes in the south of the state.




Patients entering church-affiliated nonprofit homes were prescribed drugs roughly as often as those entering profit-making “proprietary” institutions. But patients in proprietary homes received, on average, more than four times the dose of patients at nonprofits.


Writing about his colleagues’ research in his 1988 book “The Nonprofit Economy,” the economist Burton Weisbrod provided a straightforward explanation: “differences in the pursuit of profit.” Sedatives are cheap, Mr. Weisbrod noted. “Less expensive than, say, giving special attention to more active patients who need to be kept busy.”


This behavior was hardly surprising. Hospitals run for profit are also less likely than nonprofit and government-run institutions to offer services like home health care and psychiatric emergency care, which are not as profitable as open-heart surgery.


A shareholder might even applaud the creativity with which profit-seeking institutions go about seeking profit. But the consequences of this pursuit might not be so great for other stakeholders in the system — patients, for instance. One study found that patients’ mortality rates spiked when nonprofit hospitals switched to become profit-making, and their staff levels declined.


These profit-maximizing tactics point to a troubling conflict of interest that goes beyond the private delivery of health care. They raise a broader, more important question: How much should we rely on the private sector to satisfy broad social needs?


From health to pensions to education, the United States relies on private enterprise more than pretty much every other advanced, industrial nation to provide essential social services. The government pays Medicare Advantage plans to deliver health care to aging Americans. It provides a tax break to encourage employers to cover workers under 65.


Businesses devote almost 6 percent of the nation’s economic output to pay for health insurance for their employees. This amounts to nine times similar private spending on health benefits across the Organization for Economic Cooperation and Development, on average. Private plans cover more than a third of pension benefits. The average for 30 countries in the O.E.C.D. is just over one-fifth.


We let the private sector handle tasks other countries would never dream of moving outside the government’s purview. Consider bail bondsmen and their rugged sidekicks, the bounty hunters.


American TV audiences may reminisce fondly about Lee Majors in “The Fall Guy” chasing bad guys in a souped-up GMC truck — a cheap way to get felons to court. People in most other nations see them as an undue commercial intrusion into the criminal justice system that discriminates against the poor.


Our reliance on private enterprise to provide the most essential services stems, in part, from a more narrow understanding of our collective responsibility to provide social goods. Private American health care has stood out for decades among industrial nations, where public universal coverage has long been considered a right of citizenship. But our faith in private solutions also draws on an ingrained belief that big government serves too many disparate objectives and must cater to too many conflicting interests to deliver services fairly and effectively.


Our trust appears undeserved, however. Our track record suggests that handing over responsibility for social goals to private enterprise is providing us with social goods of lower quality, distributed more inequitably and at a higher cost than if government delivered or paid for them directly.


The government’s most expensive housing support program — it will cost about $140 billion this year — is a tax break for individuals to buy homes on the private market.


According to the Tax Policy Center, this break will benefit only 20 percent of mostly well-to-do taxpayers, and most economists agree that it does nothing to further its purported goal of increasing homeownership. Tax breaks for private pensions also mostly benefit the wealthy. And 401(k) plans are riskier and costlier to administer than Social Security.


From the high administrative costs incurred by health insurers to screen out sick patients to the array of expensive treatments prescribed by doctors who earn more money for every treatment they provide, our private health care industry provides perhaps the clearest illustration of how the profit motive can send incentives astray.


By many objective measures, the mostly private American system delivers worse value for money than every other in the developed world. We spend nearly 18 percent of the nation’s economic output on health care and still manage to leave tens of millions of Americans without adequate access to care.


Britain gets universal coverage for 10 percent of gross domestic product. Germany and France for 12 percent. What’s more, our free market for health services produces no better health than the public health care systems in other advanced nations. On some measures — infant mortality, for instance — it does much worse.


In a way, private delivery of health care misleads Americans about the financial burdens they must bear to lead an adequate existence. If they were to consider the additional private spending on health care as a form of tax — an indispensable cost to live a healthy life — the nation’s tax bill would rise to about 31 percent from 25 percent of the nation’s G.D.P. — much closer to the 34 percent average across the O.E.C.D.


A quarter of a century ago, a belief swept across America that we could reduce the ballooning costs of the government’s health care entitlements just by handing over their management to the private sector. Private companies would have a strong incentive to identify and wipe out wasteful treatment. They could encourage healthy lifestyles among beneficiaries, lowering use of costly care. Competition for government contracts would keep the overall price down.


We now know this didn’t work as advertised. Competition wasn’t as robust as hoped. Health maintenance organizations didn’t keep costs in check, and they spent heavily on administration and screening to enroll only the healthiest, most profitable beneficiaries.


One study of Medicare spending found that the program saved no money by relying on H.M.O.’s. Another found that moving Medicaid recipients into H.M.O.’s increased the average cost per beneficiary by 12 percent with no improvement in the quality of care for the poor. Two years ago, President Obama’s health care law cut almost $150 billion from Medicare simply by reducing payments to private plans that provide similar care to plain vanilla Medicare at a higher cost.


Today, again, entitlements are at the center of the national debate. Our elected officials are consumed by slashing a budget deficit that is expected to balloon over coming decades. With both Democrats and Republicans unwilling to raise taxes on the middle class, the discussion is quickly boiling down to how deeply entitlements must be cut.


We may want to broaden the debate. The relevant question is how best we can serve our social needs at the lowest possible cost. One answer is that we have a lot of room to do better. Improving the delivery of social services like health care and pensions may be possible without increasing the burden on American families, simply by removing the profit motive from the equation.


E-mail: eporter@nytimes.com;


Twitter: @portereduardo



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LAPD force exceeds 10,000 for the first time, officials say









For the first time in the city's history, Los Angeles' police force now exceeds 10,000 officers, city officials said Monday.


Appearing with LAPD Chief Charlie Beck to discuss the continued drop in crime last year, Mayor Antonio Villaraigosa said the department is budgeted for 10,023 officers, up from the 9,963 authorized over the last three years, during a deep budget crisis.


The staffing increase took effect Jan. 1, when 60 sworn officers moved into the LAPD from the General Services Department, which patrols parks, libraries and other municipal buildings, said Villaraigosa spokesman Peter Sanders. Those officers will continue to patrol city facilities, budget officials said.





Some questioned the significance of the staffing milestone, since the overall number of sworn officers employed by the city hasn't grown.


"It's an increase for show," said Kevin James, a candidate for mayor in the March 5 election who has questioned Villaraigosa's LAPD hiring goals. "The mayor really wanted to get to 10,000 one way or the other before he left office, and this was the way he could do it under the current budget constraints."


Los Angeles experienced a 10.5% decrease in gang crime and an 8.2% drop in violent crime last year, compared with 2011. The city had the lowest number of violent crimes per capita of any major city, including New York and Chicago, Villaraigosa said.


The mayor attributed those numbers — and a decade-long decline in crime — in large part to the expansion of the police force.


Villaraigosa originally promised to add 1,000 new officers to the department during the 2005 election campaign, criticizing then-Mayor James K. Hahn for failing to do so. Since then, he has succeeded in adding 800 officers, Sanders said. On Monday, Villaraigosa suggested that the addition of the final 200 will not be achieved until after June 30, when he leaves office.


"I would hope that the next mayor would, as we get out of this economic crisis, increase our Police Department to that 1,000," he said.


While Villaraigosa has been pushing for continued hiring at the LAPD, Beck has warned in recent weeks that the LAPD would lose 500 officers if voters fail to approve Proposition A, a half-cent sales tax measure on the March 5 ballot. That would represent more than half of the LAPD buildup accomplished by Villaraigosa.


Despite Beck's warnings, Villaraigosa said he is not ready to endorse Proposition A until the council makes a series of cost-cutting moves, such as turning over operation of the city zoo to a private entity.


Since Villaraigosa took office, homicides have decreased 38% and gang crime has dropped by a similar amount. The number of slayings has stayed largely the same over the last three years, with 297 homicides in 2010, 297 in 2011 and 298 last year. Overall crime dropped 1.4% last year. Property crimes, which are more numerous than violent crimes, increased for the first time in several years — driven in part by a 30% increase in cell phone thefts, officials said.


With little money to pay officers for overtime, the department has been compensating them with time off. The resulting staffing loss has been the equivalent of about 450 officers at any given time, according to department figures — a hit that has complicated crime-fighting strategies.


Preserving LAPD funding has become increasingly challenging for council members. For nine months they have debated whether to lay off dozens of civilian LAPD employees while continuing to hire enough police officers to maintain current staffing levels.


Councilman Paul Koretz, who opposed the layoffs, said the movement of the 60 building patrol officers to the LAPD was "a little smoke and mirrors." He questioned whether the LAPD buildup in the Villaraigosa era was financially sustainable.


"It just seems like we really never did the analysis to see if we could afford it," he said.


A defeat of the sales tax increase, which is projected to generate roughly $215 million in new revenue, would leave council members no choice but to roll back the size of the LAPD, Koretz said.


But Villaraigosa warned that would be dangerous, saying other California cities have seen upticks in crime after cutting back on officers.


"I know some people think that 10,000 cops is a magical illusion, a meaningless number, that more officers don't necessarily lead to a reduction in crime," said the mayor, adding: "Those critics talk a lot, but they're just plain wrong."


david.zahniser@latimes.com


richard.winton@latimes.com





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CES Day 2: Streaming Cubes, Robotic Snakes and Even More Activity Monitors

LAS VEGAS -- Ah, CES. We're waiting for the real action to start today, so we spent Tuesday taking one cab after another to press conferences, waiting in epic lines for events we'd already RSVP'd to and eating finger foods like mini crab cakes and cheesecake on a stick.



Still, we managed to get some quality time with the latest tech and toys, including new robo-Legos, a wireless charger and yet another FitBit. And a light switch. Because, you know, we love light switches.



Here's the best and brightest, and weirdest, we saw at CES on Day 2



Photo: Jim Merithew/Wired

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‘Downton,’ ‘Girls,’ ‘Idol’ and more this January






NEW YORK (AP) — Where once the post-holiday schedule was a blizzard of chilly reruns, January is aburst with premieres and finales.


Already, the much-adored British miniseries “Downton Abbey” has made its much-awaited season return Sundays on PBS.






On IFC on Fridays, the hilarious “Portlandia” is back for its third season of sketch comedy poking fun at the peculiarities of Portland, Ore., starring Fred Armisen and Carrie Brownstein.


And NBC‘s mystery melodrama “Deception” has arrived on Mondays. Meagan Good stars as a detective going undercover at the home of a rich family with whom she was once friendly, to investigate a murder within the clan.


On Tuesday, PBS’ “American Experience” begins a three-week documentary miniseries, “The Abolitionists,” spotlighting Frederick Douglass, William Lloyd Garrison, Harriet Beecher Stowe, John Brown and Angelina Grimke.


Also on Tuesday, the FX drama “Justified” is returning for its fourth season of Kentucky hill-country crime-fighting led by Deputy U.S. Marshal Raylan Givens (series star Timothy Olyphant).


On Thursday, comedic action centers at the White House with the premiere of NBC‘s “1600 Penn.” Josh Gad (“The Book of Mormon”) stars as the goofball son of the incumbent U.S. president (played by Bill Pullman) who keeps the first family in a stir, yet manages to make everything turn out all right by the final fade-out.


The Gallaghers of “Shameless” are a much different family. In this dark comedy, William H. Macy stars as the boozy single father of a brood of kids who manage their ragtag Chicago homestead in spite of Dad’s overindulgences. Also starring Emmy Rossum, it returns Jan. 13 for its third season on Showtime.


Also on Jan. 13, HBO’s comedy “Girls” returns for a second season sure to be at least as ballyhooed, discussed and argued about as the first. Lena Dunham (who also writes, produces, directs and created the series) stars as one of a quartet of twentysomething gal pals in New York.


Right after “Girls,” HBO launches the second season of “Enlightened,” an affecting comedy starring Laura Dern as a confused New Age-y activist who’s bent on changing the world.


What was Carrie Bradshaw like before Sarah Jessica Parker and “Sex and the City”? Find out on “The Carrie Diaries,” which debuts on the CW on Jan. 14. AnnaSophia Robb stars as the high-school era Carrie in this likable prequel.


“American Idol” returns on Jan. 16 on Fox. Veteran judge Randy Jackson will be joined by Mariah Carey, Nicki Minaj and Keith Urban. Ryan Seacrest, as always, is the affable host.


After five seasons, Fox’s lovably inscrutable sci-fi series “Fringe” concludes its head-scratching run on Jan. 18. Stars include Anna Torv, Joshua Jackson and John Noble.


Fox’s bloody suspense drama “The Following” premieres Jan. 21. Kevin Bacon stars as a former FBI agent drafted back into service to chase a serial murderer and his vicious disciples.


My, how Spartacus‘ army has grown! Commanding thousands of freed slaves, Spartacus is primed to bring down the entire Roman Republic as the final season begins for “Spartacus: War of the Damned,” Jan. 25 on Starz. Liam McIntyre plays the rebel leader.


The world of “Dallas” will be rocked during its second season with the death of arch-villain oilman J.R. Ewing (played, of course, by Larry Hagman, who passed away in November while the series was in production). Also starring Patrick Duffy and Linda Gray, this rebooted (so to speak) version of the long-running CBS prime-time soap returns on TNT on Jan. 28.


FX weighs in with an edgy new drama “The Americans” on Jan. 30. It stars Matthew Rhys and Keri Russell as two KGB agents posing as the heads of a normal American household in the 1980s, as they work tirelessly to bring down the U.S. on behalf of Mother Russia.


On Jan. 31, NBC unveils a new medical drama “Do No Harm.” Steve Pasquale (“Rescue Me”) stars as a neurosurgeon with a great bedside manner who inconveniently shares a body with his sociopathic alter ego.


The same night, NBC closes the book on the brilliant mockery of “30 Rock.” This Tina Fey comedy wraps seven seasons of making fun of pop culture, modern life and especially its own real-life broadcast network — which, like the rest of the TV universe, has even more midseason goodies in store come February.


___


EDITOR’S NOTE — Frazier Moore is a national television columnist for The Associated Press. He can be reached at fmoore(at)ap.org and at http://www.twitter.com/tvfrazier


Entertainment News Headlines – Yahoo! News





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